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Home My WebLink About2014-12-02 Agenda Packet I declare under penaity of perjury that I am amployed by the City of Chula Vis:a in the Office of the City Clerk and that I posted !his documen[on the bulleun board accortling to = .�_� . Brown Act requirements. . ', � � " ' ��`"� ' ated ( I �2�Signed v ��Sr/ — _ -�� cm oF CHULA VISTA �-�x:,r�-��- ° _:.�`�L.�i -�;: =r, e o . � �i�� Cheryl Cox, Mayor � Patricia Aguilar, Councilmember Gary HalbeR, City Manager � Pamela Bensoussan, Councilmember Glen R. Googins, City Attorney Rudy Ramirez, Councilmember ponna R. Norris, City Clerk Mary Salas, Councilmember Tuesday, December 2, 2014 2:00 PM Council Chambers 276 4th Avenue, Building A Chula Vista, CA 91910 � REGULAR MEETING OF THE CITY COUNCIL ' CALL TO ORDER ROLL CALL: Councilmembers Aguilar, Bensoussan, Ramirez, Salas and Mayor Cox PLEDGE OF ALLEGIANCE TO THE FLAG AND MOMENT OF SILENCE SPECIAL ORDERS OF THE DAY A. 14-0673 OATH OF OFFICE Marie Zhivago, Cuftural Arts Commission B. 14-0691 PRESENTATION BY SAN DIEGO ASSOCIATION OF GOVERNMENTS (SANDAG) CHAIRMAN JACK DALE OF A PLAQUE IN RECOGNITION OF MAYOR CHERYL COX'S SERVICE ON THE SANDAG BOARD OF DIRECTORS C. 14-0655 PRESENTATION BY BOARD OF PORT COMMISSIONERS • CHAIRMAN, BOB NELSON OF A PROCLAMATION TO MAYOR CHERYL COX RECOGNIZING HER FOR HER EXEMPLARY PUBLIC SERVICE TO THE CITY OF CHULA VISTA AND HER DEDICATION TO THE DEVELOPMENT OF CHULA VISTA'S BAYFRONT Ciry o/Chula V/sta Page t Pnnted on i 1/26�2010 City Council Agenda December 2,2014 D. 14-0634 PRESENTATION OF A SPECIAL AWARD BY CIRCULATE SAN DIEGO PRESIDENT STEPHEN HAASE TO THE CITY OF CHULA VISTA AND MCMILLIN COMMUNITIES FOR PLANNING EFFORTS FOR INNOVATIVE LAND USE AND WALKABLE COMMUNITIES IN THE FUTURE MILLENIA EASTERN URBAN CENTER E. 14-0678 PRESENTATION BY CHULA VISTA CHARITABLE FOUNDATION CHAIR MICHAEL MEACHAM AND VICE CHAIR DEBBIE ESPE REGARDING THE CVCF'S SUCCESS IN INCREASING LOCAL PHILANTHROPY AND COMMUNITY LEADERSHIP OPPORTUNITIES CONSENT CALENDAR (Items 1 - 10) The Council will enact the Consent Calendar staff recommendations by one motion, without discussion, unless a Councilmember, a member of the public, or staff requests that an item be removed for discussion. If you wish to speak on one of these items, please fill out a "Request to Speak" form (available in the lobby) and submit it to the City Clerk prior to the meeting. Items pulled from the Consent Calendar will be discussed immediately following the Consent Calendar. 1. 14-0690 APPROVAL OF MINUTES of November 18, 2014. Staff Recommendation: Council approve the minutes. 2. 14-0670 ORDINANCE OF THE CITY OF CHULA VISTA UPDATING THE WESTERN TRANSPORTATION DEVELOPMENT IMPACT FEE TO MITIGATE TRANSPORTATION IMPACTS WITHIN WESTERN CHULA VISTA, AMENDING THE WESTERN TRANSPORTATION DEVELOPMENT IMPACT FEE BENEFIT AREA, ESTABLISHING THE BAYFRONT TRANSPORTATION DEVELOPMENT IMPACT FEE AND AMENDING CHAPTER 3.55 OF THE MUNICIPAL CODE (SECOND READING AND ADOPTION) Department: Public Works Department Staff Recommendation: Council adopt the Ordinance. 3. 14-0669 ORDINANCE OF THE CITY OF CHULA VISTA AMENDING CHULA VISTA MUNICIPAL CODE CHAPTER 3.54, RELATING TO DEVELOPMENT IMPACT FEES TO PAY FOR THE TRANSPORTATION FACILITIES IN THE CITY'S EASTERN TERRITORIES (SECOND READING AND ADOPTION) Department: Public Works Department Staff Recommendation: Council adopt the Ordinance. City of Chula Vista Page 2 Printed on 1112612014 2014-12-02 Agenda Packet Page 2 City Council Agenda December 2,2014 4. 14-0671 ORDINANCE OF THE CITY OF CHULA VISTA AMENDING CHULA VISTA MUNICIPAL CODE SECTION 2.05.010 RELATING TO THE ESTABLISHMENT OF UNCLASSIFIED POSITIONS TO ADD POLICE ADMINISTRATIVE SERVICES ADMINISTRATOR, CHIEF OF STAFF, POLICY AIDE AND TREASURY AND BUSINESS MANAGER AND DELETE TREASURY MANAGER (SECOND READING AND ADOPTION) (4/5 VOTE REQUIRED) Department: Human Resources Department Staff Recommendation: Council adopt the ordinance. 5. 14-0642 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING THE CITY OF CHULA VISTA CAFETERIA BENEFITS PLAN FOR 2015 Department: Human Resources Department Staff Recommendation: Council adopt the resolution. 6. 14-0674 A. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING A MEMORANDUM OF UNDERSTANDING ("MOU") BETWEEN THE CITY OF CHULA VISTA AND THE INTERNATIONAL ASSOCIATION OF FIREFIGHTERS AFL-CIO LOCAL 2180 BARGAINING UNIT ("IAFF") RELATED TO COMPENSATION AND OTHER TERMS AND CONDITIONS OF EMPLOYMENT; AUTHORIZING THE CITY MANAGER TO EXECUTE THE MEMORANDUM OF UNDERSTANDING AND ANY NECESSARY DOCUMENTS AS MAY BE REQUIRED TO IMPLEMENT THE MEMORANDUM OF UNDERSTANDING; AND APPROPRIATING FUNDS ACCORDINGLY (4/5 VOTE REQUIRED) B. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE REVISED FISCAL YEAR 2014/15 COMPENSATION SCHEDULE AS REQUIRED BY CALIFORNIA CODE OF REGULATIONS, TITLE 2, SECTION 570.5 Department: Human Resources Department Staff Recommendation: Council adopt the resolutions. City of Chula Vista Page 3 Printed on 1112612014 2014-12-02 Agenda Packet Page 3 City Council Agenda December 2,2014 7. 14-0687 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA NAMING THE NEW MULTI-PURPOSE BUILDING AT THE ANIMAL CARE FACILITY AFTER MAYOR CHERYL COX IN HONOR OF HER SUPPORT OF THE FACILITY DURING HER EIGHT YEARS OF SERVICE Department: City Manager Staff Recommendation: Council adopt the resolution. 8. 14-0629 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA MODIFYING THE APPENDIX TO THE LOCAL CONFLICT OF INTEREST CODE TO AMEND THE LIST OF OFFICIALS, CANDIDATES AND DESIGNATED EMPLOYEES WHO ARE REQUIRED TO FILE PERIODIC STATEMENTS OF ECONOMIC INTERESTS AND THE DISCLOSURE CATEGORIES FOR SAID FILERS, AND DESIGNATING THOSE FILERS AS "LOCAL AGENCY OFFICIALS" FOR PURPOSES OF AB 1234, THEREBY REQUIRING THEM TO PARTICIPATE IN MANDATED ETHICS TRAINING Department: City Attorney & City Clerk Staff Recommendation: Council adopt the resolution. 9. 14-0645 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE PAYMENT OF PREVAILING WAGES ON CITY PUBLIC WORKS CONTRACTS AND OTHER MEASURES REQUIRED TO REMAIN ELIGIBLE FOR STATE FUNDING AND FINANCIAL ASSISTANCE FOR CITY CONSTRUCTION PROJECTS UNDER CALIFORNIA LABOR CODE SECTION 1782 (ALSO KNOWN AS SB 7) UNLESS AND UNTIL SB 7 IS ENJOINED OR INVALIDATED Department: City Attorney & Public Works Staff Recommendation: Council adopt the resolution. 10. 14-0668 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA REDUCING THE TRANSFER FROM THE GENERAL FUND TO THE PUBLIC LIABILITY EXPENSE FUND BY $300,000 AND APPROPRIATING SAID FUNDS TO THE NON-DEPARTMENTAL SUPPLIES AND SERVICES BUDGET FOR PROJECTED ATTORNEY SERVICES EXPENSES (4/5 VOTE REQUIRED) Department: City Attorney Staff Recommendation: Council adopt the resolution. City of Chula Vista Page 4 Printed on 1112612014 2014-12-02 Agenda Packet Page 4 City Council Agenda December 2,2014 ITEMS REMOVED FROM THE CONSENT CALENDAR PUBLIC COMMENTS Persons speaking during Public Comments may address the Council on any subject matter within the Council's jurisdiction that is not listed as an item on the agenda. State law generally prohibits the Council from discussing or taking action on any issue not included on the agenda, but, if appropriate, the Council may schedule the topic for future discussion or refer the matter to staff. Comments are limited to three minutes. PUBLIC HEARINGS The following item(s) have been advertised as public hearing(s) as required by law. If you wish to speak on any item, please fill out a "Request to Speak" form (available in the lobby) and submit it to the City Clerk prior to the meeting. 11. 14-0596 CONSIDERATION OF AN ENVIRONMENTAL IMPACT REPORT FOR OTAY RANCH VILLAGES THREE, A PORTION OF FOUR, EIGHT EAST, AND TEN RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA MAKING CERTAIN FINDINGS OF FACT; ADOPTING A STATEMENT OF OVERRIDING CONSIDERATIONS ; ADOPTING A MITIGATION MONITORING AND REPORTING PROGRAM AND CERTIFYING THE FINAL ENVIRONMENTAL IMPACT REPORT (EIR-13-01; SCH NO. 2013071077) FOR THE OTAY RANCH UNIVERSITY VILLAGES SECTIONAL PLANNING AREA PLANS, GENERAL PLAN AMENDMENT, GENERAL DEVELOPMENT PLAN AMENDMENT AND TENTATIVE MAPS PURSUANT TO THE CALIFORNIA ENVIRONMENTAL QUALITY ACT Department: Development Services Department Staff Recommendation: Council conduct the public hearing and adopt the resolution. 12. 14-0606 CONSIDERATION OF AMENDING THE GENERAL PLAN, THE OTAY RANCH GENERAL DEVELOPMENT PLAN, VARIOUS OTAY RANCH VILLAGE SECTIONAL PLANNING AREA PLANS, AND APPROVING VILLAGE THREE NORTH AND A PORTION OF FOUR, EIGHT EAST, AND TEN SECTIONAL PLANNING AREA PLANS AND RELATED TENTATIVE MAPS City of Chula Vista Page 5 Printed on 1112612014 2014-12-02 Agenda Packet Page 5 City Council Agenda December 2,2014 A. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AMENDMENTS TO THE CITY'S GENERAL PLAN AND THE OTAY RANCH GENERAL DEVELOPMENT PLAN TO REFLECT LAND USE, CIRCULATION AND POLICY CHANGES FOR APPROXIMATELY 1 ,375 ACRES WITHIN THE OTAY RANCH PLANNED COMMUNITY, INCLUDING ASSOCIATED TEXT, MAPS AND TABLES B. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE OTAY RANCH VILLAGE THREE NORTH AND A PORTION OF FOUR SECTIONAL PLANNING AREA (SPA) PLAN PROPOSING 1,002 SINGLE-FAMILY DWELLING UNITS, 595 MULTI-FAMILY DWELLING UNITS, APPROXIMATELY 40 GROSS ACRES OF INDUSTRIAL AND OFFICE USES, AND A MINIMUM OF 20,000 SQUARE FEET OF RETAIL USES FOR AN APPROXILATELY 436.0 ACRE SITE LOCATED PRIMARILY NORTH OF MAIN STREET AND NORTHWEST AND SOUTHEAST OF HERITAGE ROAD C. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE OTAY RANCH VILLAGE EIGHT EAST SECTIONAL PLANNING AREA (SPA) PLAN PROPOSING 943 SINGLE-FAMILY DWELLING UNITS, 2,617 MULTI-FAMILY DWELLING UNITS, AND A MINIMUM OF 20,000 SQUARE FEET OF RETAIL COMMERCIAL USES FOR AN APPROXIMATELY 575.3 ACRE SITE LOCATED PRIMARILY SOUTH OF MAIN STREET AND WEST OF SR- 125 D. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE OTAY RANCH VILLAGE TEN SECTIONAL PLANNING AREA (SPA) PLAN PROPOSING 695 SINGLE-FAMILY DWELLING UNITS, AND 1,045 MULTI-FAMILY DWELLING UNITS FOR AN APPROXIMATELY 363.4 ACRE SITE LOCATED SOUTH OF HUNTE PARKWAY AND THE FUTURE UNIVERSITY SITE City of Chula Vista Page 6 Printed on 1112612014 2014-12-02 Agenda Packet Page 6 City Council Agenda December 2,2014 E. ORDINANCE OF THE CITY OF CHULA VISTA APPROVING THE SECTIONAL PLANNING AREA (SPA) PLANNED COMMUNITY DISTRICT REGULATIONS FOR OTAY RANCH VILLAGE THREE NORTH AND A PORTION OF FOUR (FIRST READING) F. ORDINANCE OF THE CITY OF CHULA VISTA APPROVING THE SECTIONAL PLANNING AREA (SPA) PLANNED COMMUNITY DISTRICT REGULATIONS FOR OTAY RANCH VILLAGE EIGHT EAST (FIRST READING) G. ORDINANCE OF THE CITY OF CHULA VISTA APPROVING THE SECTIONAL PLANNING AREA (SPA) PLANNED COMMUNITY DISTRICT REGULATIONS FOR OTAY RANCH VILLAGE TEN (FIRST READING) H. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING TENTATIVE MAP CVT-13-02 (PCS-13-02) FOR THE OTAY RANCH VILLAGE THREE NORTH AND A PORTION OF FOUR PROJECT SUBJECT TO THE CONDITIONS CONTAINED HEREIN I. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING TENTATIVE MAP CVT-13-03 (PCS-13-03) FOR THE OTAY RANCH VILLAGE EIGHT EAST PROJECT SUBJECT TO THE CONDITIONS CONTAINED HEREIN J. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING TENTATIVE MAP CVT-13-04 (PCS-13-04) FOR THE OTAY RANCH VILLAGE TEN PROJECT SUBJECT TO THE CONDITIONS CONTAINED HEREIN Department: Development Services Department Staff Recommendation: Council conduct the public hearing, adopt the resolutions and place the ordinances on first reading. 13. 14-0597 CONSIDERATION OF APPROVING AMENDMENTS TO TWO DEVELOPMENT AGREEMENTS PURSUANT TO THE LAND OFFER AGREEMENT BETWEEN THE CITY AND SSBT LCRE V, LLC City of Chula Vista Page 7 Printed on 1112612014 2014-12-02 Agenda Packet Page 7 City Council Agenda December 2,2014 A. ORDINANCE OF THE CITY OF CHULA VISTA APPROVING A FIRST AMENDMENT TO THE RESTATED AND AMENDED PRE-ANNEXATION DEVELOPMENT AGREEMENT BETWEEN SSBT LCRE V, LLC AND THE CITY OF CHULA VISTA (FORMER SNMB DEVELOPMENT AGREEMENT) (FIRST READING) B. ORDINANCE OF THE CITY OF CHULA VISTA APPROVING A FIRST AMENDMENT TO THE RESTATED AND AMENDED PRE-ANNEXATION DEVELOPMENT AGREEMENT BETWEEN SSBT LCRE V, LLC AND THE CITY OF CHULA VISTA (FORMER JEWELS OF CHARITY DEVELOPMENT AGREEMENT) (FIRST READING) Department: Development Services Department Staff Recommendation: Council conduct the public hearing and place the ordinances on first reading. CITY MANAGER'S REPORTS MAYOR'S REPORTS 14. 14-0672 RATIFICATION OF APPOINTMENTS TO THE FOLLOWING COMMISSIONS: NANCY SEDGWICK TO THE RESOURCE CONSERVATION COMMISSION JORGE MARROQUIN AND JERRY MUNOZ TO THE SAFETY COMMISSION COUNCILMEMBERS' COMMENTS CLOSED SESSION Announcements of actions taken in Closed Session shall be made available by noon on Wednesday following the Council Meeting at the City Attorney's office in accordance with the Ralph M. Brown Act(Government Code 54957.7). 15. 14-0692 CONFERENCE WITH LEGAL COUNSEL REGARDING EXISTING LITIGATION PURSUANT TO GOVERNMENT CODE SECTION 54956.9 (a) City of Chula Vista v. Bay & E, Inc., et al., San Diego Superior Court, Case No. 37-2013-00055103-CU-MC-CTL City of Chula Vista Page 8 Printed on 1112612014 2014-12-02 Agenda Packet Page 8 City Council Agenda December 2,2014 ADJOURNMENT to the Special City Council Meeting on December 9, 2014, at 6:00 p.m., in the Council Chambers. Materials provided to the City Council related to any open-session item on this agenda are available for public review at the City Clerk's Office, located in City Hall at 276 Fourth Avenue, Building A, during normal business hours. In compliance with the AMERICANS WITH DISABILITIES ACT The City of Chula Vista requests individuals who require special accommodations to access, attend, and/or participate in a City meeting, activity, or service, contact the City Clerk's Office at(619) 691-504 1(California Relay Service is available for the hearing impaired by dialing 711) at least forty-eight hours in advance of the meeting. Sign up at www.chulavistaca.gov to receive email notifications when City Council agendas are published online. City of Chula Vista Page 9 Printed on 1112612014 2014-12-02 Agenda Packet Page 9 City of Chula Vista OF CHU�LAVISTA Staff Report File#: 14-0673, Item#: A. OATH OF OFFICE Marie Zhivago, Cultural Arts Commission City of Chula Vista Page 1 of 1 Printed on 11/25/2014 2014-12-02 Agenda Packet Page 10 City of Chula Vista CTY CHUILAVISTA Staff Report File#: 14-0691, Item#: B. PRESENTATION BY SAN DIEGO ASSOCIATION OF GOVERNMENTS (SANDAL) CHAIRMAN JACK DALE OF A PLAQUE IN RECOGNITION OF MAYOR CHERYL COX'S SERVICE ON THE SANDAG BOARD OF DIRECTORS City of Chula Vista Page 1 of 1 Printed on 11/26/2014 powered by Leg 2014-12-02 Agenda Packet Page 11 City of Chula Vista OF CHU�LAVISTA Staff Report File#: 14-0655, Item#: C. PRESENTATION BY BOARD OF PORT COMMISSIONERS CHAIRMAN, BOB NELSON OF A PROCLAMATION TO MAYOR CHERYL COX RECOGNIZING HER FOR HER EXEMPLARY PUBLIC SERVICE TO THE CITY OF CHULA VISTA AND HER DEDICATION TO THE DEVELOPMENT OF CHULA VISTA'S BAYFRONT City of Chula Vista Page 1 of 1 Printed on 11/26/2014 2014-12-02 Agenda Packet Page 12 City of Chula Vista CTY CHUILAVISTA Staff Report File#: 14-0634, Item#: D. PRESENTATION OF A SPECIAL AWARD BY CIRCULATE SAN DIEGO PRESIDENT STEPHEN HAASE TO THE CITY OF CHULA VISTA AND MCMILLIN COMMUNITIES FOR PLANNING EFFORTS FOR INNOVATIVE LAND USE AND WALKABLE COMMUNITIES IN THE FUTURE MILLENIA EASTERN URBAN CENTER City of Chula Vista Page 1 of 1 Printed on 11/26/2014 powered by Leg 2014-12-02 Agenda Packet Page 13 City of Chula Vista CTY CHUILAVISTA Staff Report File#: 14-0678, Item#: E. PRESENTATION BY CHULA VISTA CHARITABLE FOUNDATION CHAIR MICHAEL MEACHAM AND VICE CHAIR DEBBIE ESPE REGARDING THE CVCF'S SUCCESS IN INCREASING LOCAL PHILANTHROPY AND COMMUNITY LEADERSHIP OPPORTUNITIES City of Chula Vista Page 1 of 1 Printed on 11/26/2014 powered by Leg 2014-12-02 Agenda Packet Page 14 City of Chula Vista CTY CHUILAVISTA Staff Report File#: 14-0690, Item#: 1. APPROVAL OF MINUTES of November 18, 2014. RECOMMENDED ACTION Council approve the minutes. City of Chula Vista Page 1 of 1 Printed on 11/26/2014 powered by Leg 2014-12-02 Agenda Packet Page 15 City of Chula Vista Meeting Minutes - Draft Tuesday, November 18,2014 2:00 PM Council Chambers 276 4th Avenue, Building A Chula Vista, CA 91910 REGULAR MEETING OF THE CITY COUNCIL CALL TO ORDER A Regular Meeting of the City Council of the City of Chula Vista was called to order at 2:05 p.m. in the Council Chambers, located in City Hall, 276 Fourth Avenue, Chula Vista, California. ROLL CALL: Present: Deputy Mayor Aguilar, Councilmember Bensoussan, Councilmember Ramirez, Councilmember Salas and Mayor Cox Also Present: City Manager Halbert, City Attorney Googins, City Clerk Norris, and Assistant City Clerk Bigelow PLEDGE OF ALLEGIANCE TO THE FLAG AND MOMENT OF SILENCE Councilmember Bensoussan led the Pledge of Allegiance. SPECIAL ORDERS OF THE DAY 14-0693 PRESENTATION BY CHULA VISTA ANIMAL CARE FACILITY ANIMAL ADOPTION COUNSELOR LINDA SEPTON OF DIAMOND, A DOG AVAILABLE FOR ADOPTION AT THE FACILITY Animal Adoption Counselor Septon presented Diamond, a dog available for adoption at the Animal Care Facility. A. 14-0567 EMPLOYEE SERVICE RECOGNITION HONORING STAFF WITH MILESTONE SERVICE ANNIVERSARIES Performance and Organizational Development Manager Mills presented information on the program. Mayor Cox recognized employees with milestone anniversaries. B. 14-0657 RECOGNITION OF LOMA VERDE ELEMENTARY SCHOOL FIFTH GRADER GEORGIA MAGALLAN, WINNER OF THE ANNUAL LADIES AUXILIARY MILITARY ORDER OF THE PURPLE HEART, UNIT 49 AND CHULA VISTA MARINE CORPS LEAGUE DETACHMENT 1207'S CHULA VISTA ELEMENTARY SCHOOL DISTRICT ANNUAL FIFTH GRADE ESSAY CONTEST: "WHY IT'S IMPORTANT TO THANK OUR VETERANS." Cheryl Perez, President of Unit 49 of the Ladies Auxiliary Military Order of the Purple Heart, introduced essay contest winner, Georgia Magallan. Miss Magallan gave her speech, "Why It's Important to Thank Our Veterans." City of Chula Vista Page 1 2014-12-02 Agenda Packet Page 16 City Council Meeting Minutes -Draft November 18,2014 C. 14-0658 PRESENTATION BY CITIZENS ADVERSITY SUPPORT TEAM (CAST) DIRECTOR MARIA ZADOROZNY DEDICATING FORMER CAST DIRECTOR DR. EMERALD RANDOLPH WITH A WRITING TABLE TO BE POSITIONED AT THE ENTRANCE TO THE COUNCIL CHAMBERS Maria Zadorozny, Director, representing the Citizens Adversity Support Team (CAST), announced that a writing table and plaque, placed at the entrance to the Council Chambers, would be dedicated to Dr. Randolph. Dr. Randolph spoke regarding the CAST program. D. 14-0633 PRESENTATION BY THE CHURCH OF JESUS CHRIST OF LATTER-DAY SAINTS SOUTH BAY CONGREGATION DIRECTOR OF PUBLIC AFFAIRS JENNI BURNETT REGARDING A RECENTLY LAUNCHED FREE WEBSITE CALLED JUSTSERVE.ORG TO HELP CITIES, SCHOOLS, CHURCHES AND NON-PROFITS FIND VOLUNTEERS IN THE COMMUNITY Jenni Burnett, Director, representing the Church of Jesus Christ of Latter-Day Saints, presented information on JustServe.Org, a volunteer placement and resource website. E. 14-0637 HONORING UTC AEROSPACE SYSTEMS FOR CONTRIBUTING TO THE CITY OF CHULA VISTA'S CONTINUOUS IMPROVEMENT PROGRAM'S SUCCESS, RECOGNIZED BY THE INTERNATIONAL CITY/COUNTY MANAGEMENT ASSOCIATION (ICMA) WITH ITS 2014 STRATEGIC LEADERSHIP AND GOVERNANCE AWARD Performance and Organizational Development Manager Mills announced the City's receipt of the 2014 Strategic Leadership and Governance Award from the International City/County Management Association (ICMA). She presented Martin Lodge, representing UTC Aerospace Systems, with a plaque in recognition of the company's support of the City's Continuous Improvement program. F. 14-0634 PRESENTATION OF A SPECIAL AWARD BY CIRCULATE SAN DIEGO PRESIDENT STEPHEN HAASE TO THE CITY OF CHULA VISTA AND MCMILLIN COMMUNITIES FOR PLANNING EFFORTS FOR INNOVATIVE LAND USE AND WALKABLE COMMUNITIES IN THE FUTURE MILLENIA EASTERN URBAN CENTER Item F was continued to a future meeting of the City Council. G. 14-0659 PRESENTATION OF A PROCLAMATION TO THIRD AVENUE VILLAGE ASSOCIATION (TAVA) EXECUTIVE DIRECTOR LUANNE HULSIZER AND CHULA VISTA CHAMBER OF COMMERCE PRESIDENT JAY NORRIS PROCLAIMING SATURDAY, NOVEMBER 29, 2014 AS SMALL BUSINESS SATURDAY Mayor Cox read the proclamation and Deputy Mayor Aguilar presented it to Luanne Hulsizer, Executive Director of TA VA, and Jay Norris, President of the Chamber of Commerce. H. 14-0655 PRESENTATION BY BOARD OF PORT COMMISSIONERS CHAIRMAN, BOB NELSON OF A PROCLAMATION TO MAYOR CHERYL COX RECOGNIZING HER FOR HER EXEMPLARY PUBLIC SERVICE TO THE CITY OF CHULA VISTA AND HER DEDICATION TO THE DEVELOPMENT OF CHULA VISTA'S BAYFRONT Item H was continued to a future meeting of the City Council. City of Chula Vista Page 2 2014-12-02 Agenda Packet Page 17 City Council Meeting Minutes -Draft November 18,2014 I. 14-0660 PRESENTATION OF A PROCLAMATION TO MARKETING AND COMMUNICATIONS MANAGER ANNE STEINBERGER, PROCLAIMING WEDNESDAY, JULY 22, 2015 AS SAN DIEGO SOUTH COUNTY HOST DAY Deputy City Manager Bacon and Karen Terra, Regional Director of the Special Olympics, presented information on the 2015 Special Olympics and San Diego South County Host Day. Mayor Cox read the proclamation and Councilmember Bensoussan presented it to Ms. Terra. CONSENT CALENDAR (Items 1 - 8) Items 3 and 4 were removed from the Consent Calendar at the request of members of the public. 1. 14-0652 APPROVAL OF MINUTES of November 4, and November 6, 2014. Recommended Action: Council approve the minutes. 2. 14-0647 ORDINANCE NO. 3324 OF THE CITY OF CHULA VISTA AMENDING THE FEE DEFERRAL PROGRAM TO REQUIRE PAYMENT OF FEES PRIOR TO BUILDING PERMIT FINAL INSPECTION INSTEAD OF BUILDING PERMIT ISSUANCE (SECOND READING AND ADOPTION) Recommended Action: Council adopt the ordinance. Item 3 was removed from the Consent Calendar. Item 4 was removed from the Consent Calendar. 5. 14-0631 RESOLUTION NO. 2014-215 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING BIDS AND AWARDING A CONTRACT FOR THE "PAVEMENT MAJOR REHABILITATION FY13/14 (OVERLAY) (STM379)" PROJECT TO ATP GENERAL ENGINEERING CONTRACTORS IN THE AMOUNT OF $2,659,705.50, WAIVING CITY COUNCIL POLICY NO. 574-01, AND AUTHORIZING THE EXPENDITURE OF ALL AVAILABLE CONTINGENCY FUNDS IN AN AMOUNT NOT TO EXCEED $398,955.83 Recommended Action: Council adopt the resolution. 6. 14-0651 RESOLUTION NO. 2014-216 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA RECOMMENDING ADOPTION OF REVISED LIMITS FOR THE REGIONAL ARTERIAL SYSTEM TO THE SAN DIEGO ASSOCIATION OF GOVERNMENTS Recommended Action: Council adopt the resolution. 7. 14-0612 A. RESOLUTION NO. 2014-217 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING THE COMPENSATION SCHEDULE AND CLASSIFICATION PLAN TO REFLECT THE ADDITION AND REMOVAL OF VARIOUS POSITION TITLES, AMENDING THE AUTHORIZED POSITION COUNT IN VARIOUS DEPARTMENTS, AND APPROPRIATING FUNDS THEREFOR (4/5 VOTE REQUIRED) City of Chula Vista Page 3 2014-12-02 Agenda Packet Page 18 City Council Meeting Minutes -Draft November 18,2014 B. RESOLUTION NO. 2014-218 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE REVISED FISCAL YEAR 2014-2015 COMPENSATION SCHEDULE AS REQUIRED BY CALIFORNIA CODE OF REGULATIONS, TITLE 2, SECTION 570.5 C. RESOLUTION NO. 2014-219 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE AMENDED COMPENSATION SUMMARY FOR ALL UNREPRESENTED EMPLOYEES AND ELECTED OFFICIALS TO REFLECT THE CHANGE TO THE VACATION SELLBACK OPTION FOR EXECUTIVE AND SENIOR MANAGERS FROM TWO WEEKS TO THREE WEEKS D. ORDINANCE OF THE CITY OF CHULA VISTA AMENDING CHULA VISTA MUNICIPAL CODE SECTION 2.05.010 RELATING TO THE ESTABLISHMENT OF UNCLASSIFIED POSITIONS TO ADD POLICE ADMINISTRATIVE SERVICES ADMINISTRATOR, CHIEF OF STAFF, POLICY AIDE AND TREASURY AND BUSINESS MANAGER AND DELETE TREASURY MANAGER (FIRST READING) (4/5 VOTE REQUIRED) Recommended Action: Council adopt the resolutions and place the ordinance on first reading. 8. 14-0644 INVESTMENT REPORT FOR THE QUARTER ENDED SEPTEMBER 30, 2014 Recommended Action: Council accept the report. Approval of the Consent Calendar ACTION: A motion was made by Mayor Cox, seconded by Councilmember Ramirez, to approve staff's recommendations on the above Consent Calendar items, headings read,text waived. The motion carried by the following vote: Yes: 5- Aguilar, Bensoussan, Ramirez, Salas and Cox No: 0 Abstain: 0 ITEMS REMOVED FROM THE CONSENT CALENDAR 3. 14-0648 A. ORDINANCE NO. 3325 OF THE CITY OF CHULA VISTA APPROVING AMENDMENTS TO THE OTAY RANCH VILLAGE 2 PLANNED COMMUNITY DISTRICT REGULATIONS AND LAND USE DISTRICTS MAP FOR 26 NEIGHBORHOODS AND 10 PLANNING AREAS (SECOND READING AND ADOPTION) City of Chula Vista Page 4 2014-12-02 Agenda Packet Page 19 City Council Meeting Minutes -Draft November 18,2014 B. ORDINANCE NO. 3326 OF THE CITY OF CHULA VISTA APPROVING A DEVELOPMENT AGREEMENT BETWEEN THE CITY OF CHULA VISTA, BALDWIN AND SONS, LLC AND SUNRANCH CAPITAL PARTNERS FOR PORTIONS OF OTAY RANCH VILLAGE TWO (SECOND READING AND ADOPTION) Mayor Cox announced that a memorandum from Director of Development Broughton had been distributed to Council, which addressed restrictions on the vocational school use, the commitment to complete Jacaranda park, and the timing and construction of the proposed swim club. The following members of the public spoke in opposition to staff's recommendation: -Mark Livag, Chula Vista resident, who also submitted written documentation to Council -Ronald Hidinger, Chula Vista resident City Manager Halbert, Senior Planner Donn, Development Services Director Broughton, and Nick Lee, representing Baldwin and Sons, answered questions from the Council regarding the item. ACTION: A motion was made by Mayor Cox, seconded by Councilmember Bensoussan, that Ordinance Nos. 3325 and 3326 be adopted, headings read, text waived. The motion carried by the following vote: Yes: 4- Aguilar, Bensoussan, Salas and Cox No: 1 - Ramirez Abstain: 0 4. 14-055 RESOLUTION NO. 2014-214 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING THE RECOMMENDATION TO IMPLEMENT STRIPING MODIFICATIONS ON HILLTOP DRIVE BETWEEN PALOMAR STREET AND MAIN STREET FOR TRAFFIC CALMING PURPOSES AND AUTHORIZING A BIKE LANE ON HILLTOP DRIVE WITHIN THE LIMITS OF THE TEMPORARY TRAFFIC CALMING AREA Assistant Director of Engineering Valle and Principal Civil Engineer Rivera gave a presentation on the item. David Danciu, Chula Vista resident, representing the Southwest Chula Vista Civic Association, spoke in opposition to staffs recommendation and suggested additional outreach to the community regarding the proposed project. The following members of the public spoke in support of staffs recommendation: -Lou Medina, Chula Vista resident, representing the Bike Walk Chula Vista Committee -Armando lbarra, Chula Vista resident, representing the Bike Walk Chula Vista Committee -Randy Van Vleck, representing the Bike Walk Chula Vista Committee Principal Civil Engineer Rivera and Assistant Director of Engineering Valle answered questions from the Council. ACTION: A motion was made by Mayor Cox, seconded by Councilmember Salas, that Resolution No. 2014-214 be adopted, heading read, text waived. The motion carried by the following vote: Yes: 5- Aguilar, Bensoussan, Ramirez, Salas and Cox No: 0 Abstain: 0 City of Chula Vista Page 5 2014-12-02 Agenda Packet Page 20 City Council Meeting Minutes -Draft November 18,2014 Item 17 was noticed as time certain and was heard following Item 4. Public Comments were heard following Item 17. ACTION ITEMS (Part 1 of 2) 17. 14-0608 CONSIDERATION OF ACCEPTING THE CLIMATE CHANGE WORKING GROUP'S RECOMMENDATIONS FOR UPDATING THE CHULA VISTA CLIMATE ACTION PLAN RESOLUTION NO. 2014-224 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING THE CLIMATE CHANGE WORKING GROUP'S RECOMMENDATIONS FOR NEW GREENHOUSE GAS EMISSION REDUCTION STRATEGIES AND DIRECTING STAFF TO UPDATE THE CLIMATE ACTION PLAN ACCORDINGLY FOR FUTURE CONSIDERATION Item 17 was noticed as time certain for 3:30 p.m. and discussion began at 3:40 p.m. Environmental Resource Manager Reed, and Sassan Rahimzadeh, Sue Mosburg, Bob Coleman, and Ellen Kappes, representing the Climate Change Working Group, gave a presentation on the item. The following members of the public spoke in support of staffs recommendation: -Richard Garner, Chula Vista resident -Melanie Sepe, Chula Vista resident, representing the Sierra Club At the request of Councilmember Bensoussan, there was consensus of the Council to direct staff to investigate options for studying the possibility of implementing community choice aggregation for alternative energy sources. ACTION: A motion was made by Councilmember Salas, seconded by Councilmember Bensoussan, that Resolution No. 2014-224 be adopted, heading read, text waived. The motion carried by the following vote: Yes: 5- Aguilar, Bensoussan, Ramirez, Salas and Cox No: 0 Abstain: 0 Mayor Cox recessed the meeting at 4:51 p.m. The Council reconvened at 5:07 p.m., with all members present. PUBLIC COMMENTS Paola Potts, representing Sol-N-Air, Inc, spoke regarding the organization's program to educate communities about heat illness in children and pets due to being left in parked cars. PUBLIC HEARINGS 9. 14-0231 CONSIDERATION OF UPDATING THE WESTERN TRANSPORTATION DEVELOPMENT IMPACT FEE TO MITIGATE TRANSPORTATION IMPACTS WITHIN WESTERN CHULA VISTA, AMENDING THE WESTERN TRANSPORTATION DEVELOPMENT IMPACT FEE BENEFIT AREA, AND ESTABLISHING THE BAYFRONT TRANSPORTATION DEVELOPMENT IMPACT FEE City of Chula Vista Page 6 2014-12-02 Agenda Packet Page 21 City Council Meeting Minutes -Draft November 18,2014 A. RESOLUTION NO. 2014-220 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING THE NEXUS STUDY RECOMMENDING AN UPDATE TO THE WESTERN TRANSPORTATION DEVELOPMENT IMPACT FEE AND ACCEPTING THE BAYFRONT TRANSPORTATION DEVELOPMENT IMPACT FEE NEXUS STUDY B. ORDINANCE OF THE CITY OF CHULA VISTA UPDATING THE WESTERN TRANSPORTATION DEVELOPMENT IMPACT FEE TO MITIGATE TRANSPORTATION IMPACTS WITHIN WESTERN CHULA VISTA, AMENDING THE WESTERN TRANSPORTATION DEVELOPMENT IMPACT FEE BENEFIT AREA, ESTABLISHING THE BAYFRONT TRANSPORTATION DEVELOPMENT IMPACT FEE AND AMENDING CHAPTER 3.55 OF THE MUNICIPAL CODE (FIRST READING) Notice of the hearing was given in accordance with legal requirements, and the hearing was held on the date and no earlier than the time specified in the notice. Principal Civil Engineer Rivera gave a presentation on the item. Mayor Cox opened the public hearing. Sergio Sandoval, representing Pacifica, spoke in support of the Council continuing the item to a future date to allow Pacifica additional time to review staff's recommendation. There being no other members of the public who wished to speak, Mayor Cox closed the public hearing. ACTION: A motion was made by Mayor Cox, seconded by Councilmember Bensoussan, that Resolution No. 2014-220 be adopted and the above ordinance be placed on first reading, headings read, text waived. The motion carried by the following vote: Yes: 5- Aguilar, Bensoussan, Ramirez, Salas and Cox No: 0 Abstain: 0 10. 14-0418 CONSIDERATION OF ACCEPTING AN UPDATED TRANSPORTATION DEVELOPMENT IMPACT FEE TO MITIGATE TRANSPORTATION IMPACTS WITHIN THE CITY'S EASTERN TERRITORIES AND AMENDING CHAPTER 3.54 OF THE MUNICIPAL CODE TO MODIFY THE EXISTING TRANSPORTATION DEVELOPMENT IMPACT FEE A. RESOLUTION NO. 2014-221 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING A REPORT PREPARED BY STAFF RECOMMENDING AN UPDATED TRANSPORTATION DEVELOPMENT IMPACT FEE TO MITIGATE TRANSPORTATION IMPACTS WITHIN THE CITY'S EASTERN TERRITORIES City of Chula Vista Page 7 2014-12-02 Agenda Packet Page 22 City Council Meeting Minutes -Draft November 18,2014 B. ORDINANCE OF THE CITY OF CHULA VISTA AMENDING CHULA VISTA MUNICIPAL CODE CHAPTER 3.54, RELATING TO DEVELOPMENT IMPACT FEES TO PAY FOR THE TRANSPORTATION FACILITIES IN THE CITY'S EASTERN TERRITORIES (FIRST READING) Notice of the hearing was given in accordance with legal requirements, and the hearing was held on the date and no earlier than the time specified in the notice. Principal Civil Engineer Rivera gave a presentation on the item. Mayor Cox opened the public hearing. The following members of the public spoke in support of staffs recommendation: - Matt Adams, representing San Diego Building Association, and also spoke in support of the development of a credit system to refund those who had already paid in the event that funding from the Federal government is received - Ranie Hunter, representing State Street Bank and Trust, and also spoke in support considering the inclusion of Eastlake Parkway in the Transportation Development Impact Fee(TDIF)program. There being no other members of the public who wished to speak, Mayor Cox closed the public hearing. City Manager Halbert provided information on a potential credit system and possible inclusion of Eastlake Parkway in the TDIF program. ACTION: A motion was made by Councilmember Bensoussan, seconded by Councilmember Ramirez, that Resolution No. 2014-221 be adopted, the above ordinance be placed on first reading, and that staff be directed to continue to develop a credit system for those who had already paid in the event that additional government funding is received for the program, headings read, text waived. The motion carried by the following vote: Yes: 5- Aguilar, Bensoussan, Ramirez, Salas and Cox No: 0 Abstain: 0 11. 14-0624 CONSIDERATION OF APPROVING CHULA VISTA'S PORTION OF THE 2014 REGIONAL TRANSPORTATION IMPROVEMENT PROGRAM RESOLUTION NO. 2014-222 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE AMENDMENT OF THE TRANSNET LOCAL STREET IMPROVEMENT PROGRAM OF PROJECTS FOR FISCAL YEARS 2014/2015 THROUGH 2018/2019 FOR INCLUSION IN THE REGIONAL TRANSPORTATION IMPROVEMENT PROGRAM, AUTHORIZING THE TRANSFER OF FUNDS AND PROVIDING THE CERTIFICATION AND INDEMNITY STATEMENTS NECESSARY TO OBTAIN TRANSNET FUNDS, AND AMENDING THE FISCAL YEAR 2014/2015 BUDGET ACCORDINGLY (4/5 VOTE REQUIRED) Notice of the hearing was given in accordance with legal requirements, and the hearing was held on the date and no earlier than the time specified in the notice. City of Chula Vista Page 8 2014-12-02 Agenda Packet Page 23 City Council Meeting Minutes -Draft November 18,2014 City Attorney Googins stated that Councilmember Salas had a potential property-related conflict of interest with the originally proposed project but that the project had been amended so that the potential property-related conflict no longer applied. Mayor Cox opened the public hearing. There being no members of the public who wished to speak, Mayor Cox closed the public hearing. ACTION: A motion was made by Councilmember Salas, seconded by Deputy Mayor Aguilar, that Resolution No. 2014-222 be adopted, heading read, text waived. The motion carried by the following vote: Yes: 5- Aguilar, Bensoussan, Ramirez, Salas and Cox No: 0 Abstain: 0 12. 14-0617 SOLICITATION OF PUBLIC INPUT ON CHULA VISTA'S HOUSING AND COMMUNITY DEVELOPMENT NEEDS AND ITS HOUSING AND URBAN DEVELOPMENT FEDERAL GRANT PROGRAMS Notice of the hearing was given in accordance with legal requirements, and the hearing was held on the date and no earlier than the time specified in the notice. Housing Manager Hines and Project Coordinator Davis gave a presentation on the item. Mayor Cox opened the public hearing. There being no members of the public who wished to speak, Mayor Cox closed the public hearing. ACTION: A motion was made by Mayor Cox, seconded by Deputy Mayor Aguilar, that the report be accepted, heading read, text waived. The motion carried by the following vote: Yes: 5- Aguilar, Bensoussan, Ramirez, Salas and Cox No: 0 Abstain: 0 13. 14-0640 CONSIDERATION OF AMENDMENTS TO THE GROWTH MANAGEMENT ORDINANCE (CHAPTER 19.09 OF THE CHULA VISTA MUNICIPAL CODE), AND THE GROWTH MANAGEMENT PROGRAM IMPLEMENTATION MANUAL; TO REPLACE THE THRESHOLD STANDARDS, GROWTH MANAGEMENT OVERSIGHT COMMITTEE POLICY AND THE GROWTH MANAGEMENT PROGRAM DOCUMENT Notice of the hearing was given in accordance with legal requirements, and the hearing was held on the date and no earlier than the time specified in the notice. Mayor Cox opened the public hearing and continued the item to the meeting of December 16, 2014. 14. 14-0656 CONSIDERATION OF AMENDING CHAPTER 12 (SEWER FEES) OF THE CITY'S MASTER FEE SCHEDULE Notice of the hearing was given in accordance with legal requirements, and the hearing was held on the date and no earlier than the time specified in the notice. Mayor Cox opened the public hearing and continued the item to the meeting of December 16, 2014. City of Chula Vista Page 9 2014-12-02 Agenda Packet Page 24 City Council Meeting Minutes -Draft November 18,2014 ACTION ITEMS (Part 2 of 2) 15. 14-0639 REPORT ON A MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY MANAGER OF THE CITY OF CHULA VISTA AND THE CHIEF EXECUTIVE OFFICER OF THE HOMEFED CORPORATION REGARDING THE UNIVERSITY PARK AND INNOVATION DISTRICT Principal Planner Donaghe, Assistant Director of Development Services Crockett, and Hale Richardson, representing Homefed Corporation, gave a presentation on the item. City Manager Halbert and City Attorney Googins provided additional information on how the Chula Vista University Partners board members could be selected. 16. 14-0590 CONSIDERATION OF AUTHORIZING THE CITY MANAGER TO NEGOTIATE THE ACQUISITION OF A 3.94-ACRE PARCEL OF PARKLAND PROPERTY RESOLUTION NO. 2014-223 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AUTHORIZING THE CITY MANAGER TO NEGOTIATE WITH DAN FLOIT ON THE ACQUISITION OF A 3.94-ACRE PARKLAND PROPERTY LOCATED IN THE LOWER SWEETWATER VALLEY Assistant Director of Development Services Crockett and Senior Project Coordinator Kluth gave a presentation on the item. The following members of the public expressed concern regarding potential development types on the City-owned property: -Silvia Roji, Chula Vista resident - Christina Malone, Chula Vista resident City Manager Halbert and Assistant Director of Development Services Crockett provided additional information on the item. ACTION: A motion was made by Councilmember Ramirez, seconded by Deputy Mayor Aguilar, that Resolution No. 2014-223 be adopted, heading read, text waived. The motion carried by the following vote: Yes: 5- Aguilar, Bensoussan, Ramirez, Salas and Cox No: 0 Abstain: 0 Item 17 was noticed as time certain for 3:30 p.m. and was heard following Item 4. CITY MANAGER'S REPORTS There were none. City of Chula Vista Page 10 2014-12-02 Agenda Packet Page 25 City Council Meeting Minutes -Draft November 18,2014 MAYOR'S REPORTS 18. 14-0650 RATIFICATION OF APPOINTMENT OF MARIE ZHIVAGO TO THE CULTURAL ARTS COMMISSION ACTION: A motion was made by Mayor Cox, seconded by Councilmember Salas, that the above appointment be ratified. The motion carried by the following vote: Yes: 5- Aguilar, Bensoussan, Ramirez, Salas and Cox No: 0 Abstain: 0 19. 14-0662 CONSIDERATION OF REINSTITUTING THE REGULAR CITY COUNCIL MEETING OF DECEMBER 2, 2014 ACTION: A motion was made by Mayor Cox, seconded by Councilmember Bensoussan, that the Council meeting of December 2, 2014 be reinstituted. The motion carried by the following vote: Yes: 4- Bensoussan, Ramirez, Salas and Cox No: 1 - Aguilar Abstain: 0 Mayor Cox announced the San Diego Metropolitan Transit System's approval for the City to improve the railroad bridge on F Street for bicycle and pedestrian use. She also congratulated the Castle Park Junior Midget Pop Warner Football team for winning the San Diego Q-Bowl Championship. COUNCILMEMBERS' COMMENTS At the request of Councilmember Salas, there was consensus of the Council to place an item on the agenda for the December 16, 2014 meeting to consider changing the regular meeting time of the City Council. Mayor Cox announced that the Council would convene in closed session to discuss Item 21 listed below. She stated the Council would not discuss Item 20 at that time. Mayor Cox recessed the meeting at 7:08 p.m. The Council reconvened in Closed Session at 7:20 p.m., with all members present. CLOSED SESSION Pursuant to Resolution No. 13706 and Council Policy No. 346-03, Official Minutes and records of action taken during Closed Sessions are maintained by the City Attorney. 20. 14-0661 CONFERENCE WITH LEGAL COUNSEL--ANTICIPATED LITIGATION Significant exposure to litigation pursuant to Government Code Section 54956.9 (b): One Case Item 20 was not discussed. City of Chula Vista Page 11 2014-12-02 Agenda Packet Page 26 City Council Meeting Minutes -Draft November 18,2014 21. 14-0580 PUBLIC EMPLOYEE PERFORMANCE EVALUATION PURSUANT TO GOVERNMENT CODE SECTION 54957 Title: City Clerk ACTION: No reportable action. ADJOURNMENT At 7:55 p.m., Mayor Cox adjourned the meeting to the Regular City Council Meeting on December 2, 2014, at 2:00 p.m., in the Council Chambers. Kerry K. Bigelow, Assistant City Clerk City of Chula Vista Page 12 2014-12-02 Agenda Packet Page 27 City of Chula Vista CTY CHUILAVISTA Staff Report File#: 14-0670, Item#: 2. ORDINANCE OF THE CITY OF CHULA VISTA UPDATING THE WESTERN TRANSPORTATION DEVELOPMENT IMPACT FEE TO MITIGATE TRANSPORTATION IMPACTS WITHIN WESTERN CHULA VISTA, AMENDING THE WESTERN TRANSPORTATION DEVELOPMENT IMPACT FEE BENEFIT AREA, ESTABLISHING THE BAYFRONT TRANSPORTATION DEVELOPMENT IMPACT FEE AND AMENDING CHAPTER 3.55 OF THE MUNICIPAL CODE (SECOND READING AND ADOPTION) RECOMMENDED ACTION Council adopt the ordinance. SUMMARY The City's Western Transportation Development Impact Fee (WTDIF) Program was established on March 18, 2008, by Ordinances 3106 through 3110. This program is similar to the Eastern Transportation Development Impact Fee (TDIF) Program, which was established on January 12, 1988. In addition to preparing the City for future growth in the western portion of the City, these ordinances were required to be enacted by the City in order to continue to receive annual TransNet funds for local streets. Since this fee was established over five years ago, an update and revision is now due. In addition, it has been determined that the Bayfront, previously included in the WTDIF, should be removed from the WTDIF and a new DIF area covering only the Bayfront be established. ENVIRONMENTAL REVIEW The Development Services Director has reviewed the proposed activity for compliance with the California Environmental Quality Act and has determined that the activity is not a "Project" as defined under Section 15378 of the State CEQA guidelines because the activity consists of administrative/fiscal actions that will not result in direct or indirect physical changes to the environment. Therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines the activity is not subject to CEQA. Thus, no environmental review is required. Although environmental review is not required at this time, once the scope of potential individual projects has been fully defined, environmental review will be required for each project and the appropriate environmental determination will be made. BOARD/COMMISSION RECOMMENDATION Not applicable DISCUSSION New developments place demands on the existing transportation infrastructure, which can be mitigated by upgrading existing and/or constructing new transportation facilities. Chula Vista's original Transportation Development Impact Fee (TDIF) program, which was established on January 12, 1988, by Ordinance 2251 , has functioned as a system to distribute the cost of constructing certain infrastructure facilities in an equitable manner among new development in Eastern Chula Vista. The City of Chula Vista Page 1 of 7 Printed on 11/24/2014 powered by Leg 2014-12-02 Agenda Packet Page 28 File#: 14-0670, Item#: 2. proceeds from the fee are used to construct new transportation improvements or expand existing facilities. The Western Transportation Development Impact Fee Program was established in 2008 in order provide a similar program to distribute the cost of infrastructure needed in order to accommodate new development in Western Chula Vista. The second reason to establish a Western TDIF was stated in the TransNet Ordinance approved by the San Diego County voters in November 2004, which states, "Any local agency that does not provide its full monetary contribution required by Section 9(A) in a given fiscal year will not be eligible to receive funding for local streets and roads...for the immediately following fiscal year." Starting on July 1 , 2008, each agency in the San Diego region was required to contribute a minimum of $2,000 in exactions (updated annually) from the private sector for each newly constructed residential housing unit to the Regional Transportation Congestion Improvement Program (RTCIP). On July 1 , 2014, the amount was increased to $2,254. This ensures that future development contributes its proportionate share of funding needed to pay for the Regional Arterial System, as defined in SANDAG's Regional Transportation Plan. The RTCIP requirement does not apply to the Eastern TDIF because it was established prior to the 2004 TransNet ordinance requirement. The Western TDIF must comply with the 2004 TransNet ordinance requirements. Basis and Methodology for the Establishment and Value of the Original WTDIF The basis and methodology used in calculating the fee in this update is consistent with the basis and methodology used in the "Western Transportation Development Impact Fee Report" presented to City Council on March 4, 2008, and adopted on March 18, 2008, through passage of Ordinances Nos. 2008-3106 through 3110 (Attachment 1). One of the primary assumptions in the formulation of the original WTDIF is that the need for additional public facilities is generated by new development and the cost of the facilities should be paid by that new development in proportion to the traffic generated by said development. Average Daily Traffic (ADT) generation rates published by SANDAG for different land use categories were used to determine the trip generating characteristics on the transportation system. The first step in determining the original WTDIF was to determine the future growth-related traffic impacts from development west of I-805. Various approved City documents, such as the City's General Plan, the Urban Core Specific Plan, the 1991 Mid-Bayfront Environmental Impact Report, and related traffic studies were used (collectively "City Documents"). Based on these impacts, a list of recommended road improvements from the Bayfront to I-805 was generated. These improvements would need to be constructed in order to maintain an acceptable level of service, not to remedy any deficiencies already existing, on the City's circulation system west of I-805. The improvements will serve the entire benefit area by either providing roads for residents, employees, or customers to use, or by providing new streets for existing traffic, thus freeing up capacity on existing streets that can be used by new development. City of Chula Vista Page 2 of 7 Printed on 11/24/2014 powered by Leg 2014-12-02 Agenda Packet Page 29 File#: 14-0670, Item#: 2. The improvement locations were subdivided into the following categories: • Interstate 5 Improvements • Interstate 805 Improvements • State Route 54 Improvements • Regional Arterial System (RAS -as defined by SANDAL) Improvements • General Plan Impacts and Mitigation • Bicycle and Pedestrian Facilities Improvements • Mid-bayfront Local Coastal Program Roadways • Bayfront Roadways • Other Roadways (signalization projects) The next phase in the process involved calculating an impact fee to address the traffic impacts identified in the City Documents. The original WTDIF looked at associated costs for all eligible projects in Year 2007 dollars, the number of Average Daily Trips (ADT) and the corresponding Level of Service (LOS) for each affected street segment and intersection proposed for improvement. Anticipated traffic volumes for Year 2030 were retrieved from the City Documents and their impacts on existing infrastructure were analyzed to determine the impacts attributable solely to future development. This information establishes the nexus between future development and the need for future traffic-related improvements. The WTDIF fee is based on estimated trips for residential, commercial and industrial development. The City of Chula Vista, like other cities in San Diego County, uses the SANDAG Vehicular Traffic Generation Rates for the San Diego Region as the resource for specific land use trip generation. Trips were then converted to Equivalent Dwelling Units (EDUs) which are units of measure that standardize all land use types to the level of demand created by one single-family dwelling unit (SFDU). In 2008, it was also estimated that the western area of the City had a total of 19,914 future EDUs. Applicable costs for all eligible projects were summed up and divided by the number of remaining EDU's on the west side of the city. The initial baseline costs per EDU were determined to be $3,148.11 . To this sub-total, the WTDIF City administrative cost of 2% ($62.96/EDU) and a SANDAG administrative cost of 1% were added. The final fee was calculated at $3,243 per EDU. This fee has been collected and monitored separately for Regional facilities and local roadways. Regional arterials comprise 78.92% or $2,559 of the total fee, while 21.08% or $684 of the total fee remains for local roadways. The initial schedule of fees for the WTDIF is presented on Table 1 (Attachment 2). Land uses that are classified as Community Purpose Facilities are exempt from payment of the WTDIF. "Community Purpose Facility" means a facility which is used for social service activities, public or private schools, day care, senior care or recreation or worship and spiritual growth. The WTDIF program allows for the construction of eligible transportation projects by developers in City of Chula Vista Page 3 of 7 Printed on 11/24/2014 powered by Leg 2014-12-02 Agenda Packet Page 30 File#: 14-0670, Item#: 2. lieu of paying the WTDIF at building permit issuance similar to the existing Eastern TDIF program. Any projects constructed by a developer would be audited and credits issued incrementally as the facility is constructed. The TransNet Ordinance provides for an annual inflation adjustment to the fee on July 1 of each year beginning in 2009. The annual inflation adjustment will be 2% or based on the Caltrans Highway Construction Cost Index, whichever is higher. The program collects an additional 2% of the total improvement cost estimate for City staff administration. Originally, it was also anticipated that an additional 1% would be collected for SANDAG administrative costs, particularly for the cost of the Independent Taxpayer Oversight Committee (ITOC) annual audits. Changes Since 2008 There have been several changes that affect the WTDIF since it was originally established in March 2008. City staff had never been invoiced for the 1% administrative fee by SANDAL. Staff was subsequently informed by SANDAG in a letter dated December 15, 2010, that this fee would not be collected. The City subsequently went to Council on October 25, 2011 , and November 15, 2011 , to enact Ordinance No. 3214, which deleted the 1% SANDAG fee from the WTDIF rates. City staff has also processed refunds of the 1% administration fee to all permit holders who had paid it. The WTDIF fee has been increased every year on July 1. Ordinances 2008-3106 through 2008-3110 provided that the fee be adjusted by either the Caltrans Highway Construction Cost Index or 2%, whichever is higher. During Fiscal Year 2011-12, the Caltrans Index increased by 9.38%. The SANDAG Ordinance allows flexibility in choosing a comparable index, and SANDAG staff felt that a 2% increase, which reflected the Engineering News Record (ENR) 20-City Index of 1.93%, more accurately reflected the actual change in regional construction costs. Subsequently, Council adopted Ordinance No. 2012-3246 on December 11 , 2012 (Attachment 3). The new ordinance allows the City to use the Caltrans Highway Construction Cost Index, the ENR 20 -City Index (Los Angeles) or an index of at least 2 %. Annual adjustment of the fee shall be automatic in accordance with action taken by the SANDAG Board of Directors. The WTDIF may also be reviewed and amended by City Council as necessary. The most recent increase on July 1 , 2013, increased the WTDIF fee to $3,546 per EDU. The entire schedule of fees is shown on Attachment 4. The minimum portion of this that must be allocated to the Regional Arterial System (RAS) is $2,208 per EDU. Although the fee was not increased in July 2014, the required RAS allocation was increased to $2,254 on July 1 , 2014. Since the establishment of the WTDIF, two documents relating to the construction of bicycle and pedestrian facilities were completed and approved by Council. This includes the City's first Pedestrian Master Plan, which was approved by Council on June 22, 2010. The revised Bikeway Master Plan was approved by Council on February 1 , 2011 . The priority projects identified in these two reports were reviewed to identify those projects that were within the area covered by the original City of Chula Vista Page 4 of 7 Printed on 11/24/2014 powered by Leg 2014-12-02 Agenda Packet Page 31 File#: 14-0670, Item#: 2. Western TDIF and located on Regional Arterials. Four new or amended projects were added from these documents. Establishing a Bayfront Transportation Development Impact Fee (BFDIF) Since the establishment of the WTDIF, all properties to the west of the I-805 freeway have been included in the program. With the exception of the Bayfront area's new master plan, most of the development in western Chula Vista is infill development. Since most of the infrastructure has already been constructed, those WTDIF facilities unrelated to the Bayfront consist of expanding existing infrastructure and adding new and modified traffic signals. The Bayfront facilities are significantly different, because they will serve new large developments on predominantly vacant land. The infrastructure includes completely new streets and new traffic signals. Due to the large amount of new infrastructure needed on the Bayfront, it could be perceived as disproportionate for the developers in the largely developed area between the I-5 and the I-805 to be required to pay for the entire infrastructure needed in the Bayfront area. In light of this and with the agreement of the Bayfront developers, it was determined that a separate DIF should be established for the Bayfront area. To establish a Bayfront DIF (BFDIF) requires the existing WTIDF area be divided into two separate areas, as shown on the attached map (Attachment 5). The BFDIF area roughly includes the area west of I-5 between E Street and Naples Street. A Nexus Study has been prepared for the establishment of the BFDIF (Attachment 6). This study considers the new development being proposed for the Bayfront area (a total of 7,248 new Equivalent Dwelling Units (EDUs). This number of EDUs excludes public facilities as they are not charged development impact fees. The Chula Vista Bayfront Master Plan Final Environmental Impact Report (CVBMP EIR), dated April 2010, presents a detailed traffic analysis of the impacts to be generated by the new development. This analysis determined that certain transportation-related facilities are required solely because of the impacts from Bayfront development (Bayfront Roadways). Other facilities, such as those identified along the I-5 freeway, the Bayshore Bikeway, and Regional Arterial System Projects are required due to impacts from both the area of the original WTDIF east of the I-5 and the Bayfront (Shared Facilities). These costs of these Shared Facilities are required to be divided between the two areas based on the relative impacts from those areas. The final spreadsheet in the BFDIF Nexus Study is attached to the Agenda Statement (Attachment 7). It includes project costs from the original WTDIF (Original Project Costs), those costs escalated to July 2014 dollars, and the portion of those costs that are attributable to Bayfront impacts. In addition to the projects identified in the original WTDIF, the CVBMP EIR identified need for additional projects that would be required to fully mitigate the impacts from development within the Bayfront. Some of these additional projects are regional projects, while others are local. The total cost of improvements attributable to Bayfront (i.e. Bayfront share of Original Project Costs and costs of the City of Chula Vista Page 5 of 7 Printed on 11/24/2014 powered by Leg 2014-12-02 Agenda Packet Page 32 File#: 14-0670, Item#: 2. additional projects) is $68,438,679.98. The rate per EDU is $9,442. Updating Western Transportation Development Impact Fee The calculation of the updated Western TDIF began with the list of projects included in the initial 2008 report. The Mid-Bayfront category was eliminated, as it will now be included in the BFDIF. Some projects included in the 2008 report have been eliminated, because they have been completed or other funding sources have been identified. A new evaluation was done on the number of EDUs to be developed in the Western area. The number of EDUs identified in the 2008 report was 19,914. From this number, those EDUs attributed to the Bayfront were deducted. In addition, it was determined by City staff that the development in the WTDIF area would not reach the original estimate of 12,666 EDUs, but instead would be 10,365 (a reduction of 2,301 EDUs). The decrease in the number of EDUs is attributed to the use of a more realistic growth potential in the Western area. A Nexus Study was prepared to amend and update the WTDIF (Attachment 8). The final spreadsheet in the Nexus Study is also attached (Attachment 9). It includes the original project costs, costs escalated to July 2014, the WTDIF share (i.e. deducting the BFDIF share), and existing and projected traffic conditions. Additionally, specific references to traffic impacts discussed in the Urban Core Specific Plan (UCSP) or traffic monitoring that was perfomed as directed by the City's Growth Management Oversight Committee (GMOC) are provided. The total cost of improvements attributable to growth in the WTDIF area is $40,597,039.50. The fund balance in this account is $96,406.01 . Therefore, the total amount which will need to be financed by future fees is $40,500,633.49. This cost includes both local and the WTDIF share of regional projects. The total proposed rate is $3,907 per EDU. This also includes the 2 percent administrative fee, which is applied to hard costs only. If compared to the WTDIF amount of $3,617 which would have been otherwise effective on July 1 , 2014, this is a total increase of $290, or approximately 8.0 percent. Since this rate did not take effect on July 1 , 2014, the current rate is $3,546 per EDU. DECISION-MAKER CONFLICT Staff has reviewed the property holdings of the City Council and has found no property holdings within 500 feet of the boundaries of the properties which are the subjects of this action. Staff is not independently aware, and has not been informed by any Councilmember, of any other fact that may constitute a basis for a decision maker conflict of interest in this matter. LINK TO STRATEGIC GOALS The City's Strategic Plan has five major goals: Operational Excellence, Economic Vitality, Healthy Community, Strong and Secure Neighborhoods and a Connected Community. The Western transportation Development Impact Fee supports the Strong and Secure Neighborhood strategy. The western TDIF finances the construction and upgrading of public infrastructure, which is a key City function in providing a safe and efficient roadway system for residents, businesses and visitors. City of Chula Vista Page 6 of 7 Printed on 11/24/2014 powered by Leg 2014-12-02 Agenda Packet Page 33 File#: 14-0670, Item#: 2. CURRENT YEAR FISCAL IMPACT There is no direct impact on the General Fund from approving the proposed resolution and ordinance. All staff costs associated with preparation of this action are borne by the administrative components of the BFDIF and WTDIF programs. Western Transportation Development Impact Fee (WTDIF) Adoption of the proposed ordinance increases the WTDIF from $3,546 to $3,907 per EDU. This is an increase of approximately 10.2 percent (or $361). This rate increase will generate additional revenue for the WTDIF fund of $361 per EDU. Actual fiscal impact to the WTDIF fund will vary based on the number of building permits issued within the WTDIF program boundaries. Bayfront Transportation Development Impact Fee (BFDIF) Adoption of the proposed ordinance establishes the new BFDIF fee program, at a rate of $9,442 per EDU. Actual fiscal impact to the BFDIF fund will vary based on the number of building permits issued within the BFDIF program boundaries. ONGOING FISCAL IMPACT The proposed WTDIF fee increase and the new BFDIF fee provide funding to construct the new and expanded transportation facilities needed in order to accommodate new development in western Chula Vista. After subtracting out the current fund balance of $96,406.01 , the future WTDIF program cost of $40,500,633.49, when spread over the remaining 10,365 EDUs generates the proposed WTDIF rate of$3,907. The future BFDIF program cost of$68,438,679.98, when spread over the remaining 7,248 EDUs, generates the proposed BFDIF rate of$9,442. The facilities constructed under this fee program will result in routine maintenance. Attachments: 1 . Ordinance 2008-3106 2. 2008 WTDIF Schedule of Fees 3. Ordinance 2012-3246 4. 2013 WTDIF Schedule of Fees 5. WTDIF/BFDIF Map 6. BFDIF 2014 Nexus Study 7. BFDIF Cost Calculations 8. WTDIF Nexus Study 9. WTDIF Cost Calculations Staff Contact: Elizabeth Chopp City of Chula Vista Page 7 of 7 Printed on 11/24/2014 powered by Leg 2014-12-02 Agenda Packet Page 34 SECOND READING AND ADOPTION ORDINANCE NO. ORDINANCE OF THE CITY OF CHULA VISTA UPDATING THE WESTERN TRANSPORTATION DEVELOPMENT IMPACT FEE TO MITIGATE TRANSPORTATION IMPACTS WITHIN WESTERN CHULA VISTA, AMENDING THE WESTERN TRANSPORTATION DEVELOPMENT IMPACT FEE BENEFIT AREA, ESTABLISHING THE BAYFRONT TRANSPORTATION DEVELOPMENT IMPACT FEE, AND AMENDING CHAPTER 3.55 OF THE MUNICIPAL CODE WHEREAS, since January 1988, the City has had a program in place for the collection of a transportation development impact fee for the financing of street improvements in the area east of Interstate 805; and WHEREAS, on March 18, 2008, the Western Transportation Development Impact Fee (WTDIF) was established by adoption of Ordinances 3106 through 3110. The WTDIF was codified in Chapter 3.55 of the Municipal Code. In addition to preparing the City for future growth in the western portion of the City, SANDAG required San Diego County cities to enact a Citywide TDIF program in order to continue receiving annual TransNet funds for local streets; and WHEREAS, starting on July 1, 2008, each agency in the San Diego region was required to contribute $2000 in exactions (updated annually) from the private sector per Equivalent Dwelling Unit to improve the Regional Arterial System (RAS). Starting on July 1, 2014, the required SANDAG contribution to the RAS became $2254; and WHEREAS, subsequent to adoption of the Western Transportation Development Impact Fee, the Pedestrian and Bikeway Master Plans were adopted and the Bayfront Development Master Plan was developed and prepared in 2013; and WHEREAS, due to the amount of new streets and infrastructure needed in the Bayfront, the type and quantity of improvements needed in the Bayfront area is significantly different from the improvements needed in the rest of the Western area. Staff therefore recommends that a separate Development Impact Fee (DIF)be established for the Bayfront area; and WHEREAS, due to new development projections and projects that have been completed or received funding since 2008, as well as the change in benefit area (i.e. removal of the Bayfront from the existing WTDIF area), an update of the WTDIF is needed; and WHEREAS, on November 4, 2014, the City Council of the City of Chula Vista held a duly noticed public hearing at which oral or written presentations regarding the Western Transportation Development Impact Fee (WTDIF) and the Bayfront Development Impact Fee (BFDIF) could be made; and ORD#1 2014-12-02 Agenda Packet Page 35 SECOND READING AND ADOPTION NOW, THEREFORE the City Council of the City of Chula Vista does ordain as follows: Section I. Amend Chapter 3.55 of the Chula Vista Municipal Code to read as follows: Chapter 3.55 WESTERN AND BAYFRONT TRANSPORTATION DEVELOPMENT IMPACT FEES 3.55.010 General intent. .............................................................................................................................................................................................................................................................................................................. The City's General Plan Land Use and Transportation Element requires that adequate public facilities be available to accommodate increased population created by new development within the City of Chula Vista. The City Council has determined that new development will create adverse impacts on the City's existing public transportation facilities which must be mitigated by the financing and construction of certain public transportation facilities which are the subject of this chapter. New development contributes to the cumulative burden on these public transportation facilities in direct relationship to the amount of vehicular traffic and population generated by the development or the gross acreage of the commercial or industrial land in the development. The City Council has determined that a reasonable means of financing the public transportation facilities is to charge a fee on all developments within the area of the City east of Interstate I-805. Imposition of a transportation development impact fee would be placed on all new development in the Western portion of the City of Chula Vista (WTDIF) and a separate development impact fee would be placed on all new development Bayfront area of the City of Chula Vista (BFDIF). These fees (WTDIF and BFDIF) would only be applied to new development for which building permits have not yet been issued. The imposition and collection of the WTDIF and the BFDIF are necessary in order to protect the public health, safety and welfare, thereby ensuring effective implementation of the City's General Plan. Prior to the development of the Bayfront Development Master Plan, the Western and Bayfront portions of the City of Chula Vista were considered a one area for which a single development impact fee was charged. However, subsequent to the development of the Bayfront Development Master Plan, it became apparent that a significant difference in the type of infrastructure needed in the Bayfront area as compared to the rest of western Chula Vista exists and equity requires that the two areas, previously combined, be separated such that each area will only be required to mitigate the transportation- related impacts caused by development within the respective area; therefore,two separate benefit areas are hereby established with different rates, the Western Transportation Impact Fee (WTDIF) and Bayfront Transportation Development Impact Fee (BFDIF), to be applied to the Western Area and the Bayfront Area, respectively. (Ord. 3110 § 2, ORD#1 2014-12-02 Agenda Packet Page 36 SECOND READING AND ADOPTION 2008; Ord. 3109 § 2, 2008; Ord. 3108 § 2, 2008; Ord. 3107 § 2, 2008; Ord. 3106 § 2, 2008). 3.55.020 Definitions. .............................................................................................................................................................................................................................................................................................................. For the purposes of this chapter, the following words or phrases shall be construed as defined herein,unless from the context it appears that a different meaning is intended. A. "Building permit" means a permit required by and issued pursuant to the California Building Code. B. "City Engineer" means the City Engineer, the City Engineer's designee or the City Manager's designee. C. "Density"means dwelling units per gross acre identified for each planning area shown on the approved tentative map or approved tentative parcel map or as determined by the City Manager's designee. D. "Developer"means the owner or developer of a development. E. "Development permit" means any discretionary permit, entitlement or approval for a development project issued under any zoning or subdivision ordinance of the City. F. "Development project" or "development" means any activity described as the following: 1. Any new residential dwelling unit developed on vacant land; 2. Any new commercial/office or industrial development constructed on vacant land; 3. Any expansions to established developments or new developments on non-vacant land in those land use categories listed in subsections (F)(1) and (2) of this section, if the result is a net increase in dwelling units. The fee shall be based solely on this net dwelling unit increase; 4. Any new or expanding special land use project; 5. Any special purpose project developed on vacant land or non-vacant land, or expanded within a pre-existing site, if the result is a net increase in dwelling units. The fee shall be based solely on this net dwelling unit increase; 6. Any other development project not listed above but described in Section 65927 and 65928 of the State Government Code. G. "Community purpose facility" means a facility which serves one of the following purposes: ORD#1 2014-12-02 Agenda Packet Page 37 SECOND READING AND ADOPTION 1. Social service activities, including such services as Boy Scouts and Girl Scouts, Boys and Girls Club,Alcoholics Anonymous and services for the homeless; 2. Public schools; 3. Private schools; 4. Day care; 5. Senior care and recreation; 6. Worship, spiritual growth and development. H. "Western Area" generally means that area of the City of Chula Vista located between Interstate 5 on the west, Interstate 805 on the east, the City boundary on the north and the City boundary on the south, also including the area to the north of E Street, south of Naples Street and to the west of Interstate 5, as shown on the map entitled "Attachment 6" of the Council agenda statement for this ordinance, on file in the office of the City Clerk. L "Bayfront Area"means that area of the City of Chula Vista generally west of Interstate 5 and between E Street and Naples Street, excluding the United Technologies parcels, as shown on the map entitled "Attachment 6" of the Council agenda statement for this ordinance, on file in the office of the City Clerk. J. "Engineering study" and "Engineer's Report" means the Engineer's Report for the Western Transportation Development Impact Fee prepared by City staff, dated February 2008; and the Engineer's Report (Nexus Study) for the Western Transportation Development Impact Fee dated October, 2014, and the Engineer's Report (Nexus Study) for the Bayfront Transportation Development Impact Fee, both prepared by City staff on file in the office of the City Clerk. K. "Regional Arterial System (RAS)." RAS roadways are generally described as those facilities that act as a critical link in providing direct connections between communities ensuring system continuity and congestion relief in high volume corridors. They are roadways that are listed in the most recent edition of SANDAG's Regional Transportation Plan (RTP) or have been accepted for inclusion into the RTP. L. "Special land use" means any nonresidential, noncommercial/office or nonindustrial development project (e.g., Olympic Training Center, hospitals, utilities), or non-special purpose project. M. "Special purpose project" means any for-profit community purpose facility (e.g., day care). (Ord. 3110 § 2, 2008; Ord. 3109 § 2, 2008; Ord. 3108 § 2, 2008; Ord. 3107 § 2, 2008; Ord. 3106 § 2, 2008). 3.55.030 Public transportation facilities to be financed by the WTDIF. ORD#1 2014-12-02 Agenda Packet Page 38 SECOND READING AND ADOPTION A. The public transportation facilities (facilities) which are the subject matter of the WTDIF are listed below as detailed in subsection (C) of this section and in the Engineer's Report on file in the office of the City Clerk. B. The City Council may modify or amend the list of projects in order to maintain compliance with the Circulation Element of the City's General Plan. C. The facilities are as follows: Interstate 5 Improvements 1. (I-5-1) I-5/E Street NB off-ramp re-striping, add lane 2. (I-5-2) I-5/E Street/Bay Boulevard SB off-ramp re-striping, add lane 3. (I-5-4) E Street bridge widening over I-5 (250' X 20') 4. (I-5-5) F Street bridge widening over I-5 (250' X 20') 5. (I-5-6) I-5/H Street NB off-ramp re-striping, add lane 6. (I-5-7) I-5/H Street SB off-ramp re-striping, add lane 7. (I-5-8) H Street bridge widening over I-5 (200'X 40') 8. (I-5-9) I-5/J Street NB off-ramp re-striping, add lane 9. (I-5-10) I-5/J Street under-crossing widening, add EB-NB (175' X 20' X$350.00/sf) 10. (I-5-11) L Street bridge widening over I-5 (S/W for peds 300' X 12') (18%) 11. (I-5-12) I-5Bay Boulevard(south of L Street) SB on-/off-ramps traffic signal 12. (I-5-13) I-5/Industrial Boulevard NB on-/off-ramps, traffic signal 13. (I-5-14) I-5/Palomar Street bridge widening 14. (I-5-16) I-5/Main Street bridge widening (275 if X 20 if) 15. (I-5-17) I-5 HOV add managed lanes from SR 905 to SR 54 (50% in CV Interstate-805 Improvements 16. (I-805-2)Main Street under-crossing widening for EB-NB left turn lane State Route 54 Improvements 17. (SR-54-2) SR-54 EB off-ramp at N. Fourth Avenue-add ramp lane Regional Arterial System (RAS) Projects 18. (RAS-1) Bonita Road from First Avenue to I-805 19. (RAS-2) Broadway from C Street to south of Main Street(City Limits) 20. (RAS-3) E Street improvements-First Ave to Bonita Road/E. Flower Street 21. (RAS-4) E Street improvements, I-5 to 300 feet east of NB ramp 22. (RAS-5) E Street LRT grade separation (underpass LRT option) 23. (RAS-6) H Street LRT grade separation(underpass LRT option) 24. (RAS-7) H Street at Broadway EB queue jumper lane and traffic signal modifications 25. (RAS-9) H Street widening to six lanes from I-5 to Broadway 26. (RA S-10) H Street improvements from Second Avenue to Hilltop Drive 27. (RA S-11) East H St. north side improvements from Hilltop Drive to I-805 28. (RAS-13) L Street improvements south side west of Industrial Boulevard 29. (RAS-14) Telegraph Canyon Road at I-805 south side sidewalk 30. (RAS-15) Orange Avenue from Palomar Street tpo Hilltop Drive 31. (RAS-16) Palomar Street improvements from I-5 to I-805 ORD#1 2014-12-02 Agenda Packet Page 39 SECOND READING AND ADOPTION 32. (RAS-17)Main St. improvements from I-5 to I-805 (See GPU Table 5.10-6) 33. (RAS-18) H Street/4th Avenue add WB-NB and EB-SB right turn lanes 34. (RAS-19) H Street/4th Avenue add WB-NB and EB-SB right turn lanes 31. TF-358 Western Transportation Development Impact Fee 32. (RAS-21) Palomar Street LRT Grade Separation 33. (BP-4)Main Street bike lanes from Industrial Boulevard and I-805 34. (BP-7) H Street: Broadway to Second Ave. ped improvements 35. (BP-8) Broadway: D Street to Main Street ped improvements Bicycle and Pedestrian Facilities Improvements 36. (BP-1) Bayshore Bikeway (bike path)between E Street and F Streets 37. (BP-2)F Street sidewalk/bike lane improvements from I-5 to Fourth Avenue 38. (BP-3) Industrial Boulevard improvements and bike lanes from L Street to Main Street 45. (BP-9) Bayshore Bikeway (bike path) Other Roadways 39. (OR-2) Second Avenue/D Street all-way stop installation 40. (OR-4) Traffic Management Center (Ord. 3110 § 2, 2008; Ord. 3109 § 2, 2008; Ord. 3108 § 2, 2008; Ord. 3107 § 2, 2008; Ord. 3106 § 2, 2008). 3.55.035 Public transportation facilities to be financed by the BFDIF. A. The public transportation facilities (facilities) which are the subject matter of the BFDIF are listed below as detailed in subsection(C) of this section. B. The City Council may modify or amend the list of projects in order to maintain compliance with the Circulation Element of the City's General Plan. C. The facilities are as follows: Interstate 5 Improvements I. (I-5-1) I-5/E Street NB off-ramp re-striping, add lane 2. (I-5-2) I-5/E Street/Bay Boulevard SB off-ramp re-striping, add lane 3. (I-5-4) E Street bridge widening over I-5 (250' X 20') 4. (I-5-5) F Street bridge widening over I-5 (250' X 20') 5. (I-5-6) I-5/H Street NB off-ramp re-striping, add lane 6. (I-5-7) I-5/H Street SB off-ramp re-striping, add lane 7. (I-5-8) H Street bridge widening over I-5 (200'X 40' ) 8. (I-5-9) I-5/J Street NB off-ramp re-striping, add lane 9. (I-5-11) L Street bridge widening over I-5 (S/W for peds 300' X IT) 10. (I-5-12) I-5Bay Blvd. (south of L Street) SB on/off ramps traffic signal 11. (I-5-13) I-5/Industrial Blvd. NB on/off ramps traffic signal 12. (I-5-14) I-5/Palomar Street bridge widening (275 if X 50 If) 13. (I-5-16) I-5/Main Street bridge widening (275 if X 20 If) 14. (I-5-17) I-5 HOV add managed lanes from SR 905 to SR 54 (50% in CV) ORD#1 2014-12-02 Agenda Packet Page 40 SECOND READING AND ADOPTION Regional Arterial System (RAS) Projects 15. (RAS-5) E Street LRT grade separation (underpass LRT option) 16. (RAS-6) H Street LRT grade separation (underpass LRT option) 17. (RAS-9) H Street widening to 6 lanes from I-5 to Broadway Bicycle and Pedestrian Facilities Improvements (21% WTDIF share per GPU) 18. (BP-1) Bayshore Bikeway (bike path)between E Street and F Street 19. (BP-9) Bayshore Bikeway (bike path)between F Street and H Street 20. (BAY-15) Lagoon Drive (9501f)bike and pedestrian trail 21. (BAY-27) Bayshore Bikeway Bayfront Loop (14,4001f) Bayfront Roadways—RAS 22. (BAY-13) E Street extension Bay Blvd. to H Street(52'x5450') 23. (BAY-17) H Street from E Street to Marina Pkwy. (52'x1650')(BAY-6) 24. (BAY-18) Marina Pkwy. 2-lane from H Street to C Street(52'xI I00')(GP-2)(BAY-8) 25. (BAY-20)Marina Pkwy. 2-lane from J Street to C Street(52'x1450') (GP-2)(BAY-8) 26. (BAY-9) I-5/J Street NB on-ramp add EB-LT&WB-RT lanes (also I-5-10) 27. (BAY-22) J Street from Marina Pkwy. to Bay Blvd. (16501f) (GP-8)(BAY-10) 28. (BAY-29) Pump Station and Sewer Relocation Costs (Marina Pkwy. And J Street) Bayfront Roadways—non-RAS 28. (BAY-14) F Street from Bay Blvd. to west cul-de-sac (1863 If) 29. (BAY-19) "Street A" from H Street to C Street(74'x1150') (BAY-11) 30. (BAY-21) "Street A" from C St. to J St. (14001f) (BAY-11) 31. (BAY-25) "Street A"— South of J Street to Street"B" 32. (BAY-23) "Street U—Marina Pkwy. To Bay Blvd. (26001f) 33. (BAY-16) G Street(3001f) 34. (BAY-26) "Street B"—"A Street" to Bay Blvd. (26001f) 35. (BAY-24)Marina Way (1100If) 37. (BAY-28) Traffic Signals (seven) 38. (BAY-16) G Street(3001f) 3.55.040 Territory to which fee..applicable........................................................................................................................................................ The areas of the City of Chula Vista to which the fees herein amended and established shall be applicable are as follows: the WTDIF shall apply to the territorial limits of the Western Area and the BFDIF shall apply to the Bayfront Area as such areas are defined above, or as they may be amended from time to time. (Ord. 3110 § 2, 2008; Ord. 3109 § 2, 2008; Ord. 3108 § 2, 2008; Ord. 3107 § 2, 2008; Ord. 3106 § 2, 2008). 3.55.050 Establishment of a Western and a Bayfront Development Impact Fee. Development impact fees (fees) are hereby established to pay for the facilities within the territories. The fees shall be paid upon the issuance of building permits for each development project within the Western Area and the Bayfront Area. The WTDIF and the BFDIF fees in the amounts set forth in CVMC 3.55.090 are hereby established to pay for transportation improvements and facilities within the Western and Bayfront Areas. ORD#1 2014-12-02 Agenda Packet Page 41 SECOND READING AND ADOPTION (Ord. 3110 § 2, 2008; Ord. 3109 § 2, 2008; Ord. 3108 § 2, 2008; Ord. 3107 § 2, 2008; Ord. 3106 § 2, 2008). 3.55.060 Determination of fees.by land use cate.gory... A. For purposes of these fees, single-family dwelling units shall include single-family detached homes and detached condominiums; multifamily dwelling units shall include attached condominiums, townhouses, duplexes, triplexes, and apartments. The density of the development type shall be based on the number of dwelling units per gross acre for single-family or multifamily residential and shall be based upon the densities identified on the approved tentative map or approved tentative parcel map entitling the development unless otherwise approved in writing by the City Manager's designee. B. Commercial/office and industrial development projects shall be charged on a per acre or per square footage basis. For purposes of this fee, gross acreage and/or square footage as it applies to the commercial, industrial and office development types means all land area that the City Manager's designee deems necessary within the boundary of the parcel or parcels of the development project for which building permits are being requested. C. The fee multiplied by the total number of dwelling units, square footage or acres within a given development project represents a developer's fair share ("fair share") for that development project. (Ord. 3110 § 2, 2008; Ord. 3109 § 2, 2008; Ord. 3108 § 2, 2008; Ord. 3107 § 2, 2008; Ord. 3106 § 2, 2008). 3.55.070 Time to determine amount due. .............................................................................................................................................................................................................................................................................................................. The fee for each development shall be calculated at the time of building permit issuance and shall be the amount as indicated at that time, and not when the tentative map or final map was granted or applied for, or when the building permit plan check was conducted, or when application was made for the building permit. No building permit shall be issued unless the development impact fee is paid.The City Council finds that collection of the fees established by this chapter at the time of the building permit is necessary to ensure that funds will be available for the construction of facilities concurrent with the need for those facilities and to ensure certainty in the capital facilities budgeting for the western part of the City. (Ord. 3110 § 2, 2008; Ord. 3109 § 2, 2008; Ord. 3108 § 2, 2008; Ord. 3107 § 2, 2008; Ord. 3106 § 2, 2008). 3.55.080 Purpose and use of fee. .............................................................................................................................................................................................................. The fees collected shall be used by the City for the following purposes as determined by the City Council: A. To pay for the construction of facilities by the City, or to reimburse the City for facilities installed by the City with funds from other sources. B. To reimburse developers who have been required by CVMC 3.55.150(A) to install improvements that are major streets and are listed in CVMC 3.55.030 or 3.55.035. ORD#1 2014-12-02 Agenda Packet Page 42 SECOND READING AND ADOPTION C. To reimburse developers who have been permitted to install improvements pursuant to CVMC 3.55.150(B). (Ord. 3110 § 2, 2008; Ord. 3109 § 2, 2008; Ord. 3108 § 2, 2008; Ord. 3107 § 2, 2008; Ord. 3106 § 2, 2008). 3.55.090 Amount of fees. . ........................................................................................................................................................................................................................................................................................................... A. The fees shall be the amounts as set forth below in Table 1. The amount of a fee shall be adjusted on October 1, 2015 and on each October 1St thereafter. The annual inflation adjustment will be based on the one-year change (from July to July) in the Caltrans Highway Construction Cost Index or the Los Angeles Construction Cost Index as published by the Engineering News Record (ENR), or an increase of at least two percent. The program collects two percent of the total hard project cost estimate for program administration. B. Adjustments to the fees based upon the annual adjustment authorized in CVMC 3.55.090(A) shall be automatic in accordance with annual action taken by the San Diego Association of Governments (SANDAG) Board of Directors and shall not require further action by the City Council. The WTDIF and BFDIF may also be reviewed and amended by the City Council as necessary based on changes in the type, size, location or cost of the facilities to be financed by the fee; changes in land use designation in the City's General Plan; and upon other sound engineering, financing and planning information. Table 1 PROPOSED WTDIF/BFDIF FEE PER LAND USE CLASSIFICATION Proposed TDIF Fee per EDU: $3,907 $9,442 BFDIF Land Use Classification EDUs WTDIF Rate Rate RESIDENTIAL Residential (LOW) 0 to 6 dwelling units per acre I per EDU $3,907/DU $9,442/DU Residential (MED) 6.1 to 20 dwelling units per acre 0.8 per EDU $3,125/DU $7,554/DU Residential (HIGH) Over 20 dwelling units per acre 0.6 per EDU $2,344/DU $5,665/DU Mobile Home 10.5 per EDU $1,953/DU $4,721/DU CONIMERCIAL Regional Commercial Contain 1 —5 major dept. stores and usually have more than 50 20 EDU/Acre $78,140/ $188,840/ tenants. Typically larger than 40 Acre Acre acres. Community Smaller in that size than regional. Commercial Contain junior dept. store or $109,396/ $264,376/ variety store, (i.e., Target Center 28 EDU/Acre Acre Acre with other commercial stores) as a ORD#1 2014-12-02 Agenda Packet Page 43 SECOND READING AND ADOPTION major tenant and have 15 to 50 other tenants. Smaller in size, 8— 20 acres. Neighborhood Less than 10 acres. Includes Commercial supermarket and drug store. May 48 EDU/Acre $1Acre / $4Acre / include office spaces. Acre Acre Neighborhood Same as above but in square $45,322/ 4.8 EDU/KSF $18,753/KSF Commercial footage. KSF Street Front Commercial activities found along Commercial major streets not in a planned $62,512/ $151,072/ center with limited on-site 16 EDU/Acre Acre Acre parking. Retail Commercial Specialty retail/strip commercial. 16 EDU/Acre $62,512/ $151,072/ Acre Acre Wholesale Trade Usually located near transportation facilities. Structures are usually large and cover $93,768/ $226,608/ majority of the parcel. Examples 24 EDU/Acre Acre Acre are clothing and supply; also includes swap meet areas. OFFICE High Rise Office More than 100,000 S.F. and 6+ 60 EDU/Acre $234,420/ $566,520/ Stories Acre Acre Low Rise Office < 6 Stories 30 EDU/Acre $117,210/ $283,260/ Acre Acre Low Rise Office (in < 6 Stories thousands of square 2 EDU/KSF $ SF $18,884/ K feet) KSF KSF Medical Office Medical and dental facilities 50 EDU/Acre $195,350/ $472,100/ Acre Acre LODGING Low Rise Hotel/Motel < 4 Stories 20 EDU/Acre $78,140/ $188,840/ Acre Acre Low Rise Hotel/Motel < 4 Stories I EDU/Room $3,907/ $9,442/ Room Room High Rise Hotel >=4 Stories 30/EDU/Acre $117,210/ $283,260/ Acre Acre INDUSTRY Heavy Industry Shipbuilding, airframe, and aircraft manufacturing. Usually 12 EDU/Acre $ Acre / $1Acre / located next to transportation Acre Acre ORD#1 2014-12-02 Agenda Packet Page 44 SECOND READING AND ADOPTION facilities and commercial areas. Parcels are typically 20—50 acres. Warehouse/Storage Usually large buildings located $23,442/ $56,652/ near freeways, industrial or strip 6 EDU/Acre commercial areas. Acre Acre Industrial Park Office/industrial uses clustered into a center. The primary uses are industrial by may include high 9 EDU/Acre $35,163/Acre $ Acre / A percentages of other uses in Acre Acre service or retail activities. Light Industrial All other industrial uses and manufacturing not included in 20 EDU/Acre $ / $1 / Acre Acre categories above. Acre Acre (Ord. 3246 § 1, 2012; Ord. 3214 § 1, 2011; Ord. 3110 § 2, 2008; Ord. 3109 § 2, 2008; Ord. 3108 § 2, 2008; Ord. 3107 § 2, 2008; Ord. 3106 § 2, 2008). 3.55.100 Development projects exempt from the fee. ........ ......... ......... ......... ......... .......... A. Development projects by public agencies shall be exempt from the provisions of the fee if those projects are designed to provide the public service for which the agency is charged (public purpose). B. Community purpose facilities which are not operated for profit (nonprofit community purpose facilities) are also exempt inasmuch as these institutions provide benefit to the community as a whole, including all land use categories which are the subject matter of the fee. The City Council hereby determines that it is appropriate to spread any impact such nonprofit community purpose facilities might have to the other land use categories subject to the fee. In the event that a court determines that the exemption herein extended to community purpose facilities shall for any reason be invalid, the City Council hereby allocates the nonprofit community purpose facilities' fair share to the City of Chula Vista and not to any of the land use categories which are the subject matter of the development impact land use categories. C. Development projects which are additions or expansions to existing dwelling units or businesses, except special land use projects, shall be exempt if the addition or expansion does not result in a net increase in dwelling units or commercial/industrial acreage. (Ord. 3110 § 2, 2008; Ord. 3109 § 2, 2008; Ord. 3108 § 2, 2008; Ord. 3107 § 2, 2008; Ord. 3106 § 2, 2008). 3.55.110 Authority for accounting and expenditures. .............................................................. ................................................. ........................................................................................................................... A. The fees collected shall be deposited into a specific fund based on the area within which the development occurs. Fees collected for development within the Western Area shall be deposited into a Western Transportation Development Impact Fee financing fund and a fees collected from development within the Bayfront Area shall be deposited in a ORD#1 2014-12-02 Agenda Packet Page 45 SECOND READING AND ADOPTION Bayfront Development Impact Fee financing fund (WTDIF and BFDIF fee funds, or funds), which funds are hereby created. B. The Director of Finance is authorized to establish two separate funds for the facilities identified in this chapter, to establish accounts within the funds for the various improvements and facilities identified in this chapter, and to periodically make expenditures from the funds only for the purposes set forth herein in accordance with the facilities phasing plan or capital improvement plan adopted by the City Council. (Ord. 3110 § 2, 2008; Ord. 3109 § 2, 2008; Ord. 3108 § 2, 2008; Ord. 3107 § 2, 2008; Ord. 3106 § 2, 2008). 3.55.120 Findings.............................................................................................................................................................................................................................................. The City Council finds that: A. Collection of the fee established by this chapter at the time of the building permit issuance is necessary to provide funds for the transportation facilities identified in CVMC 3.55.030 and 3.55.035 and to ensure certainty in the capital facilities budgeting for growth-impacted public transportation facilities; and B. The purpose of the fees hereby enacted prevents new development from reducing the quality and availability of public transportation infrastructure facilities provided to residents of the City by requiring new development to contribute to the cost of additional capital transportation infrastructure improvements needed to meet the growth generated by such development; and C. The revenue from the fees hereby enacted will be used to construct public facilities and infrastructure and pay for other capital expenditures needed to serve new development as identified in the Engineer's Report dated February, 2008, the 2014 WTDIF Nexus Study, the 2014 BFDIF Nexus Study and as provided by the San Diego Unified Port District (collectively "Fee Studies"); and D. Based on analyses presented in the Fee Studies there is a reasonable relationship between: 1. The use of the fees and the types of development projects on which they are imposed; 2. The need for facilities and the types of development projects on which the fees are imposed; and 3. The amount of the fee and the cost of the public facility or portion of the public facility attributable to the development on which the fee is imposed. (Ord. 3110 § 2, 2008; Ord. 3109 § 2, 2008; Ord. 3108 § 2, 2008; Ord. 3107 § 2, 2008; Ord. 3106 § 2, 2008). 3.55.130 Fee additional to...other fees and charges................................................................................................................................ ORD#1 2014-12-02 Agenda Packet Page 46 SECOND READING AND ADOPTION This fee is in addition to the requirements imposed by other City laws, policies or regulations relating to the construction or the financing of the construction of public improvements within subdivisions or developments. (Ord. 3110 § 2, 2008; Ord. 3109 § 2, 2008; Ord. 3108 § 2, 2008; Ord. 3107 § 2, 2008; Ord. 3106 § 2, 2008). 3.55.150 Developer construction of transportation facilities. ........ ......... ......... ......... ......... .......... A. Whenever a developer of a development project would be required by application of City law or policy, as a condition of approval of a development permit, to construct or finance the construction of a portion of a transportation facility identified in CVMC 3.55.030 or 3.55.035, the City Council may impose an additional requirement that the developer install the improvements with supplemental size, length or capacity in order to ensure efficient and timely construction of the transportation facilities network. If such a requirement is imposed, the City Council shall, in its discretion, enter into a reimbursement agreement with the developer, or give a credit against the fee otherwise levied by this chapter on the development project, or some combination thereof. B. Whenever a developer requests reimbursement, or a credit against fees, for work to be done or paid for by the developer under subsection (A) of this section, the request shall be submitted in writing to the City Manager's designee. 1. The request shall contain a description of the project with a detailed cost estimate which itemizes those costs of the construction attributable to the transportation facility project and excludes any work attributable to a specific subdivision project. The estimate is preliminary and the amount of reimbursement or credit against fees is subject to final determination by the City Manager's designee. Additional information shall be provided to the City by the developer upon request of the City. 2. Such reimbursement or credit against fees shall be subject to the following conditions: a. Requirements of Developer. i. Preparation of plans and specifications for approval by the City; ii. Secure and dedicate any right-of-way required for the transportation facility project; iii. Secure all required permits and environmental clearances necessary for the transportation facility project; iv. Provision of performance bonds (where the developer intends to utilize provisions for immediate credit, the performance bond shall be for 100 percent of the value of the transportation facility project); v. Payment of all City fees and costs. ORD#1 2014-12-02 Agenda Packet Page 47 SECOND READING AND ADOPTION b. The City will not be responsible for any of the costs of constructing the transportation facility project. The developer shall advance all necessary funds to construct the transportation facility project. c. The developer shall secure at least three qualified bids for work to be done and shall award the construction contract to the lowest qualified bidder. The developer may combine the construction of the transportation facility project with other development-related work and award one construction contract for the combined work based on a clearly identified process for determining the low bidder, all as approved by the City Manager's designee. Should the construction contract be awarded to a qualified bidder who did not submit the lowest bid for the transportation facility project portion of the contract, the developer will only receive transportation development impact fee credit based on the lowest bid for the transportation facility portion of the contract. Any claims for additional payment for extra work or charges shall be justified, shall be documented to the satisfaction of the City Manager's designee and shall only be reimbursed at the prices for similar work included in the lowest bid for the transportation facility portion of the contract. d. Upon complying with the conditions set forth in subsections (13)(1) and (13)(2)(a) of this section as determined by the City and upon approval of the estimated cost by the City Manager's designee, the developer shall be entitled to immediate credit for 50 percent of the estimated cost of the construction attributable to the transportation facility project. Once the developer has received valid bids for the project which comply with subsection (13)(2)(c) of this section, entered into binding contracts for the construction of the project, and met the conditions set forth in subsections (B)(1) and (13)(2)(a) of this section as determined by the City, all of which have been approved by the City Manager's designee, the amount of the immediate credit shall be increased to 75 percent of the bid amount attributable to the transportation facility project. The immediate credits shall be applied to the developer's obligation to pay transportation development impact fees for building permits issued after the establishment of the credit. The developer shall specify these building permits to which the credit is to be applied at the time the developer submits the building permit applications. e. If the developer uses all of the immediate credit before final completion of the transportation facility project, then the developer may defer payment of development impact fees for other building permits by providing to the City liquid security such as cash or an irrevocable letter of credit, but not bonds or set-aside letters, in an amount equal to the remaining amount of the estimated cost of the transportation facility project. f. When all work has been completed to the satisfaction of the City, the developer shall submit verification of payments made for the construction of the transportation facility project to the City. The City Manager's designee ORD#1 2014-12-02 Agenda Packet Page 48 SECOND READING AND ADOPTION shall make the final determination on expenditures which are eligible for credit or cash reimbursement. g. After final determination of eligible expenditures has been made by the City Manager's designee and the developer has complied with the conditions set forth in subsection (B) of this section, the final amount of transportation development impact fee credits shall be determined by the City Manager's designee. The developer shall receive credit against the deferred fee obligation in an amount equal to the difference between the final expenditure determination and the amount of the 75 percent immediate credit used, if any. The City shall notify the developer of the final deferred fee obligation, and of the amount of the applicable credit. If the amount of the applicable credit is less than the deferred fee obligation, then the developer shall have 30 days to pay the deferred fee. If the deferred fees are not paid within the 30-day period, the City may make a demand against the liquid security and apply the proceeds to the fee obligation. h. At the time building permits are issued for the developer's project, the City will incrementally apply credit which the developer has accrued in lieu of collecting the required transportation development impact fees. The amount of the credit to be applied to each building permit shall be based upon the fee schedule in effect at the time of the building permit issuance. The City Manager's designee shall convert such credit to an EDU basis for residential development and/or a gross acre basis for commercial or industrial development for purposes of determining the amount of credit to be applied to each building permit. i. If the total eligible construction cost for the transportation facility project is more than the total transportation development impact fees which will be required for the developer's project, then the amount in excess of development impact fees will be paid in cash when funds are available as determined by the City Manager; a reimbursement agreement will be executed; or the developer may waive reimbursement and use the excess as credit against future transportation development impact fee obligations. The City may, in its discretion, enter into an agreement with the developer to convert excess credit into EDU and/or gross acre credits for use against future development impact fee obligations at the fee rate in effect on the date of the agreement. j. The requirements of this subsection (B) of this section may, in the City's discretion, be modified through an agreement between the developer and the City and approved by City Council. C. Whenever a transportation development impact fee credit is generated by constructing a transportation facility using assessment district or community facilities district financing, the credit shall only be applied to the transportation development impact fee obligations within that district. (Ord. 3110 § 2, 2008; Ord. 3109 § 2, 2008; Ord. 3108 § 2, 2008; Ord. 3107 § 2, 2008; Ord. 3106 § 2, 2008). ORD#1 2014-12-02 Agenda Packet Page 49 SECOND READING AND ADOPTION 3.55.160 Procedure for fee waiver or reduction. .............................................................................................................................................................................................................................................................................................................. A. Any developer who, because of the nature or type of uses proposed for a development project, contends that application of the fee imposed by this chapter is unconstitutional, or unrelated to mitigation of the traffic needs or burdens of the development, may apply to the City Council for a waiver,reduction, or deferral of the fee. A development which is designed and intended as a temporary use (10 years or less) and which is conducted in facilities which are, by their nature, short-term interim facilities such as a portable or modular building (including mobile homes, trailers, etc.) may qualify for a waiver, reduction, or deferral. In addition, a deferral may be granted on the basis of demonstrated economic hardship on the condition that: (1) the use offers a significant public benefit; (2) the amount deferred bears interest at a fair market rate so as to constitute an approximate value equivalent to a cash payment; and (3) the amount deferred is adequately secured by agreement with the applicant. Unless the requirement for timely filing is waived by the City, the application shall be made in writing and filed with the City Clerk not later than 10 days after notice of the public hearing on the development permit application or the project is given or, if no development permit is required, at the time of the filing of the building permit application. The application shall state in detail the factual basis for the claim of waiver or reduction. B. The City Council shall consider the application at a public hearing on same, notice of which need not be published other than by description on the agenda of the meeting at which the public hearing is held. Said public hearing should be held within 60 days after its filing. The decision of the City Council shall be final. If a deferral, reduction or waiver is granted, it should be granted pursuant to an agreement with the applicant and the property owner, if different from the applicant, providing that any change in use within the project shall subject the development to payment of the full fee. The procedure provided by this section is additional to any other procedure authorized by law for protesting or challenging the fee imposed by this chapter. (Ord. 3110 § 2, 2008; Ord. 3109 § 2, 2008; Ord. 3108 § 2, 2008; Ord. 3107 § 2, 2008; Ord. 3106 § 2, 2008). 3.55.170 Assessment districts. .............................................................................................................................................................................................................................................................................................................. If any assessment or special taxing district is established for any or all of the facilities listed in CVMC 3.55.030 or 3.55.035, the owner or developer of a project may apply to the City Council for a credit against the fee in an amount equal to the development's attributable portion of the cost of the authorized improvements as determined by the City Manager's designee, plus incidental costs normally occurring with a construction project, but excluding costs associated with assessment district proceedings or financing. (Ord. 3110 § 2, 2008; Ord. 3109 § 2, 2008; Ord. 3108 § 2, 2008; Ord. 3107 § 2, 2008; Ord. 3106 § 2, 2008). 3.55.180 Economic incentive credit. .............................................................................................................................................................................................................................................................................................................. The City Council may authorize the City to participate in the financing of transportation facility projects or portions of transportation facility projects as defined in CVMC 3.55.030 or 3.55.035 at the time of the appropriation of funds by City Council for the construction of an eligible transportation facility; the City shall be eligible to receive a credit known hereafter as an economic incentive credit. Such economic incentive credit ORD#1 2014-12-02 Agenda Packet Page 50 SECOND READING AND ADOPTION may be applied to development impact fee obligations for those projects which the City Council determines, in its sole discretion, to be beneficial to the City. The use of the economic incentive credit may be subject to conditions which shall be set forth in a written agreement between the developer of the project and the City and approved by City Council. The City may receive economic incentive credit only for those eligible projects identified in CVMC 3.55.030 and 3.55.035 for amounts of funding not identified in the most recent engineering study. (Ord. 3110 § 2, 2008; Ord. 3109 § 2, 2008; Ord. 3108 § 2, 2008; Ord. 3107 § 2, 2008; Ord. 3106 § 2, 2008). 3.55.190 Fund loans. . ........................................................................................................................................................................................................................................................................................................... A. Loans by the City. The City may loan funds to the funds to pay for facilities should the funds have insufficient funds to cover the cost of said facility. Said loans, if granted, shall be approved upon the adoption of the annual City budget or upon resolution of the City Council and shall carry interest rates as set by the City Council for each fiscal year. A schedule for repayment of said loans shall be established at the time they are made and approved by the Council,with a maximum term not to exceed the life of the fund. B. Developer Loans. A developer may loan funds to the City as outlined in CVMC 3.55.150. The City may repay said developer loans with interest,under the terms listed in subsection (A) of this section. (Ord. 3110 § 2, 2008; Ord. 3109 § 2, 2008; Ord. 3108 § 2, 2008; Ord. 3107 § 2, 2008; Ord. 3106 § 2, 2008). 3.55.200 Effective date. .............................................................................................................................................................................................................................................................................................................. This chapter shall become effective January 18, 2014. (Ord. 3110 § 2, 2008; Ord. 3109 § 2, 2008; Ord. 3108 § 2, 2008; Ord. 3107 § 2, 2008; Ord. 3106 § 2, 2008). Section IL Severability If any portion of this Ordinance, or its application to any person or circumstance, is for any reason held to be invalid, unenforceable or unconstitutional, by a court of competent jurisdiction, that portion shall be deemed severable, and such invalidity, unenforceability or unconstitutionality shall not affect the validity or enforceability of the remaining portions of the Ordinance, or its application to any other person or circumstance. The City Council of the City of Chula Vista hereby declares that it would have adopted each section, sentence, clause or phrase of this Ordinance, irrespective of the fact that any one or more other sections, sentences, clauses or phrases of the Ordinance be declared invalid, unenforceable or unconstitutional. Section III. Construction The City Council of the City of Chula Vista intends this Ordinance to supplement, not to duplicate or contradict, applicable state and federal law and this Ordinance shall be construed in light of that intent. ORD#1 2014-12-02 Agenda Packet Page 51 SECOND READING AND ADOPTION Section IV.Effective Date This Ordinance shall become effective 60 days after its second reading and adoption. Section V. Publication The City Clerk shall certify to the passage and adoption of this Ordinance and shall cause the same to be published or posted according to law. Presented by: Approved as to form by: Richard A. Hopkins Glen R. Googins Director of Public Works City Attorney ORD#1 2014-12-02 Agenda Packet Page 52 City of Chula Vista CTY CHUILAVISTA Staff Report File#: 14-0669, Item#: 3. ORDINANCE OF THE CITY OF CHULA VISTA AMENDING CHULA VISTA MUNICIPAL CODE CHAPTER 3.54, RELATING TO DEVELOPMENT IMPACT FEES TO PAY FOR THE TRANSPORTATION FACILITIES IN THE CITY'S EASTERN TERRITORIES (SECOND READING AND ADOPTION) RECOMMENDED ACTION Council adopt the ordinance. SUMMARY The City's Transportation Development Impact Fee (TDIF) Program was established on January 12, 1988, by Ordinance 2251. Since its inception, the program has been updated several times to reflect new land use approvals, proposed changes to the General Plan, and updated project cost estimates. The TDIF has been updated on August 13, 2002, and May 10, 2005. Staff recommends the approval of the 2014 TDIF update and a change in the current fee from $12,494 to $13,035 per Equivalent Dwelling Unit (EDU). The public hearing has been duly noticed. ENVIRONMENTAL REVIEW The Development Services Director has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that the activity is not a "Project" as defined under Section 15378(b)(4) of the State CEQA Guidelines because the proposal consists of a governmental fiscal activity which does not involve any commitment to any specific project, which may result in a potentially significant impact on the environment. Therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines the activity is not subject to CEQA review. Although environmental review is not required at this time, once the scope of individual projects to be funded through Transportation Development Impact Fees have been defined, environmental review will be required for each project and the appropriate environmental determination will be made. BOARD/COMMISSION RECOMMENDATION Not applicable. DISCUSSION 2014 TDIF Update New developments place demands on the existing transportation infrastructure, which can be mitigated by upgrading existing and/or constructing new transportation facilities. Chula Vista's TDIF Program functions as a system to distribute the cost of constructing infrastructure facilities in an equitable manner amongst new development in Eastern Chula Vista. The proceeds from the fee are City of Chula Vista Pagel of 8 Printed on 11/24/2014 powered by Le c 2014-12-02 Agenda Packet �Page 53 File#: 14-0669, Item#: 3. used to construct new transportation improvements or expand existing facilities. The existing TDIF rate is $12,494 per Equivalent Dwelling Unit (EDU). The 2014 update recommends a TDIF increase of 4.3%, or $541 to $13,035 per EDU. Table 1 below presents the rates for the different land uses. TABLE 1. Proposed Fee Proposed TDIF Fee per EDU: $ 13,035.00 Land Use Classification Current Fee Proposed Fee Residential(LOW)(0 to 6 DU/Acre) $ 12,494.00 $ 13,035.00 per DU Residential(ME D)(6.1 -18 DU/Acre) $ 9,995.20 $ 10,428.00 per DU Residential(HIGH)(+18.1 DU/Acre) $ 7,496.40 $ 7,821.00 per DU Senior Housing 0.4 EDU(8 EDU/Acre) $ 4,997.60 $ 5,214.00 per DU Residential Mixed Use"0.4 EDU(+18 DU/Ac.) $ 4,997.60 $ 5,214.00 per DU Commercial Mixed Use"16 EDU/20ksf $ 199,904.00 $ 208,560.00 per 20,000 Sq ft General Commercial(Acre)16 EDU/Acre(6 stories+) $ 199,904.00 $ 208,560.00 per Acre Regional Commercial(Acre)11 EDU(+60 Ac or+800 ksf) $ 137,434.00 $ 143,385.00 per Acre High Rise Commercial(Acre)28 EDU/Ac(6 stories+) $ 349,832.00 $ 364,980.00 per Acre Office(Acre)9 EDU/Acre(up to 5 stories height) $ 112,446.00 $ 117,315.00 per Acre Industrial(Acre)(9 EDU/Gross Acre) $ 112,446.00 $ 117,315.00 per Gross Acre Regional Technology Park(Acre)8 EDU/Gross Acre $ 99,952.00 $ 104,280.00 per Gross Acre 18-Hole Golf Course(70 EDU per golf course) $ 874,580.00 $ 912,450.00 per Golf Course Medical Center 65 EDU per Gross Acre $ 812,110.00 $ 847,275.00 1 per Gross Acre `Based on gross acreage "Project is considered commercial mixed use only if qualifying residential mixed use is located on second floor, or higher, above commercial project. Basis and Methodology The basis and methodology used in calculating the fee in this update is consistent with the basis and methodology used in the "Interim Eastern Area Development Impact Fee for Streets" report adopted in January 1988 and also the "Eastern Area Development Impact Fees For Streets" report adopted in January 1990, amended in May 2005 and amended in the September 2014 Eastern Transportation Development Impact Fee (TDIF) Engineer's Report (Attachment 1). One of the primary assumptions in the formulation of the previous fees is that the need for additional public facilities is generated by new development and the cost of the facilities should be borne by that new development. The first step in this update was to determine which road improvements are required to be constructed in order to maintain an acceptable level of service on the City's circulation system east of 1-805. The improvements that are to be constructed will serve the entire benefit area. The next step was to determine the method upon which the costs for the improvements would be spread. One of the most common tools used to equate benefit impact fees among the different land uses and densities is the "Equivalent Dwelling Unit" or "EDU". There is a clear relationship between the use of transportation facilities and the generation of traffic trips based on the land use and density City of Chula Vista Page 2 of 8 Printed on 11/24/2014 powered by Le c 2014-12-02 Agenda Packet �Page 54 File#: 14-0669, Item#: 3. of a specific parcel. As in previous methodologies, this update relies on the report "San Diego Traffic Generators", published by SANDAG. This report details the traffic trips generated by various classes of land use. The proposed street improvements are based on an analysis of the circulation system for various levels of development within the entire area of benefit, which is discussed below. All of the proposed street projects included are consistent with the Preferred Plan of the proposed General Plan Update and Specific Plans that have been adopted by the City Council. In addition, the street projects are required by the City's Growth Management Ordinance as a condition to all development within the area of benefit in order to maintain acceptable levels of service on the major roadways. The absence of contiguity to the proposed street projects is not essential to conferring a benefit to properties. The area of benefit is based on an analysis of impacts on the total circulation system east of 1-805 for various stages or increments of cumulative development within the total area of benefit. The circulation system must be viewed as a whole. Each of the proposed street projects will mitigate the adverse traffic impacts generated by new development; because every development will create traffic; which will utilize the entire system to access work, commerce, schools, residences and the other land uses throughout the City. A failure in any part of the system will have a negative impact in other parts of the system and traffic from the development closest to an impacted segment of street will be just as affected as traffic from a more distant development. The analogy of a water system is sometimes used where constrictions or breaks in any part of the system will have significant impacts on the whole system. Area of Benefit The TDIF program encompasses most properties within the City's jurisdiction located east of 1-805 inclusive of the Bonita Gateway site at Bonita Road/1-805 then south towards Otay Valley Road, excluding the Otay Valley Road Assessment District area and the County landfill site, then east to the easterly city limits. As of October 1, 2013, the proposed Area of Benefit (Attachment 2) contains a total of 19,545 future EDU's. The TDIF program includes transportation facilities required to serve the proposed University Campus and Innovation District site in the Otay Ranch. It is anticipated that the University, once approved, would be responsible for constructing suitable on-site transportation facilities required to mitigate the university's on site traffic impacts (i.e. access and frontage impacts). The EDUs for the 85-acre Innovation District portion of the University Campus and Innovation District will pay TDIF fees and are in the new TDIF fee calculations. However, the new TDIF fee calculations exclude the EDUs contained within the proposed university portion and no TDIF fees will be paid by the university. The proposed TDIF update does include one facility that passes through the University Campus and Innovation District, Discovery Falls Drive between Hunte Parkway and Street "B" in Village 9. This is a new road added to the Eastern TDIF program, and while it will be constructed on the future university property, construction of the facility is required in order to provide primary project access for Village 10. Transportation Facilities Projects completed since 2005, include (TDIF #): City of Chula Vista Page 3 of 8 Printed on 11/24/2014 powered by Le c 2014-12-02 Agenda Packet �Page 55 File#: 14-0669, Item#: 3. 52A. La Media Road from Birch Road/State Street to Santa Luna Street. 55A. Otay Lakes Road from Telegraph Canyon Road to East H Street (Phase 11) 55B. Otay Lakes Road from Canyon Drive/Ridgeback Road to East H Street (Phase 1). 59B. Proctor Valley Road from Coastal Hills Dr. to Agua Vista Drive/Northwoods Dr. Projects that have been revised are: 65. Traffic Management Center has been renamed to Traffic Demand Management/Transportation System Management since it also includes arterial equipment besides traffic operations center equipment. Thus, TDIF # 66 Transportation Demand Management has been closed out. Current projects under construction include; 57. Heritage Road from Olympic Parkway to Main Street. Interim 2-lane facility is completed from Olympic Parkway to Santa Victoria Road. A grading permit will be issued soon for the segment from Santa Victoria Road to Main Street. Completion of the interim improvements to Main Street is expected in FY15/16. Uncompleted projects include 28 remaining major arterial and system-wide projects including numerous traffic signals (TDIF # 63) within the proposed TDIF program. The cost estimate for constructing these remaining TDIF facilities is $294,011,801, including soft costs. This update includes all roads in the adopted Circulation Element of the General Plan in addition to capacity enhancement projects. There are several new roadways, traffic signals, a new Main Street bridge across Wolf Canyon (TDIF # 60B), as well as updated costs of completed projects since 2005 and remaining roadways which will be updated as part of the 2014 TDIF Program Update. At this point in time, the 2014 TDIF update does not include Federal Highway Bridge Program (HBP) funds for one Capital Improvement Program (CIP) bridge, which is pending inclusion into the HBP. The Heritage Road Bridge project (STM-364) (TDIF # 58B), near the amphitheater, may be able to receive approximately $20 million in HBP funds. The federal paperwork has been submitted, but the authorization process is not yet completed. We expect that we will be authorized for HBP funds sometime in mid-FY14/15. What the Federal HBP authorization would mean to the TDIF obligation for this project is that it could reduce the future TDIF program obligation by approximately $20 million (7%). As a comparison, existing grants that have been received on the TDIF eligible projects to date have already saved the TDIF program at least $1,000 per EDU. New Facilities With the 2014 TDIF update, the following new facilities are proposed to be included into the TDIF program (TDIF #): 69. Millenia Avenue within the Millennium project from Birch Road to Hunte Parkway. 70. Discovery Falls Drive from Hunte Pkwy south to Street "B" (Village 9). 71. Street "B" (Village 9) from Hunte Pkwy south to Otay Valley Road. 72. Otay Valley Road from east of SR-125 to Village 9 easterly subdivision boundary. In addition to those projects above, the 2014 TDIF update also includes the SR-125 interchange ramps at Main Street/Hunte Parkway (TDIF #67) and at Otay Valley Road (TDIF #68). These interchange ramps were added to the TDIF program since it is not expected that the region would construct these improvements until sometime around Year 2040. As future updates to the TDIF City of Chula Vista Page 4 of 8 Printed on 11/24/2014 powered by Le c 2014-12-02 Agenda Packet �Page 56 File#: 14-0669, Item#: 3. occur, we will have more current phasing from the region (Caltrans & SANDAG) regarding these two interchanges. Multiple Species Conservation Plan The Chula Vista Multiple Species Conservation Plan (MSCP) was approved in 2003. The requirement to create the Preserve Management Endowment Fund (PMEF) is described in our MSCP Subarea Plan and committed through our Implementing Agreement (IA) with the Wildlife Agencies. Both the Chula Vista MSCP Subarea Plan and our IA with the Wildlife Agencies were approved by City Council through Resolution 2003-197 (Attachment 3). Per the funding obligation in our Subarea Plan and IA, the PMEF will create an endowment program of approximately $1.85 million, funded through the following capital improvement programs: Salt Creek Sewer (including access roads and trails): $1,000,000 (SW-219)-Completed Wolf Canyon Sewer (including access roads and trails): $500,000 Main Street Bridge at Wolf Canyon: $250,000 (TDIF # 60C) La Media Road: $100,000 (TDIF # 52B) Thus, as Main Street is extended east of Heritage Road across Wolf Canyon on a new bridge, an amount of $250,000 will be paid out of the TDIF to create the (PMEF). The Wolf Canyon Bridge is TDIF Project # 60C. Similarly, the southerly extension of La Media Road (TDIF#52B) includes $100,000 in environmental endowment funds. The PMEF will be used for enhanced management programs within the North City (Rolling Hills Ranch and Bella Lago) and Otay Ranch Preserve Management Areas (PMA). The endowment is anticipated to generate, over time, a perpetual annual budget of $50,000 to over $92,000 (2002 dollars) specifically dedicated to Preserve Management activities as funding becomes available through the PMEF program. TDIF Credits There are a number of developers who have constructed TDIF roads in the past and maintain a credit against future TDIF fees in the estimated total amount of $15,304,432. The credits are summarized in Attachment 4. EDU Rates Government Code 66000 requires, among other things, that the City establish a reasonable relationship between the projects to be funded and the amount of the fee. The TDIF program uses the Average Daily Trip (ADT), which is converted to the Equivalent Dwelling Unit (EDU) as the tool to equate impact fees among the different land uses. As indicated above, ADT generation rates published by SANDAG are primarily used to determine the impacts of the different land use categories on the transportation system. Each land use category is assigned a specific EDU rate. A single family, detached residential unit is equal to 10 ADT or 1 EDU. Table 2 presents the current rates. Table 2. EDU Rates CONVERSION OF ADTs TO EDUs City of Chula Vista Page 5 of 8 Printed on 11/24/2014 powered by Le c 2014-12-02 Agenda Packet �Page 57 File#: 14-0669, Item#: 3. Land Use Classifica EDU's Residential (LOW ) 0-6 dwelling units per acre* 1. EDU/ 0 DU Residential (MED) 6.1-18 dwelling units per acre* 0. EDU/ 8 DU Residential (HIGH) >18.1 dwelling units per acre* 0. EDU/ 6 DU Senior Housing 0. EDU/ 4 DU Residential Mixed Us>18 dwelling units per acre* 0. EDU/ 4 DU Commercial Mixed U! 16.0 EDU/20,000 Sq ft General Commercial< five (5) stories in height 16 EDU/ .0 Acre Regional Commercial> 800,000 sq ft 11.0 EDU/Acre High Rise Commerci�> five (5) stories in height 28 EDU/ .0 Acre Office (Acre) < five (5) stories in height 9. EDU/ 0 Acre Industrial (Acre) 9.0 EDU/Acre Regional Technology Park(Acre) 8. EDU/ 0 Acre 18-Hole Golf Course 70.0 EDU/Course Medical Center 65.0 EDU/Acre *Based on gross acreag **Project is considered commercial mixed use only if qualifying residential mixed use is located on second f As a background, the following is a brief discussion on the EDU rate schedule: • The SANDAG Report ("San Diego Traffic Generators") identifies several categories of residential land use generating average daily trips (ADTs) ranging from 12 to 4 ADTs. The City historically had refined the SANDAG approach, identifying four categories based on the type of residential structure whether attached, detached, multifamily or senior housing, which also related to the density of the residential development according to the SANDAG Report. Since the 2002 TDIF update, this product-type basis was replaced with system based upon the density of the residential development, as a more accurate reflection of housing development within the Area of Benefit. Following this methodology, the TDIF is also based on the density of the residential development. Staff, therefore, uses the following: 10 ADTs generated from a residential unit with densities ranging on average from 0 to 6 dwelling units per gross acre; 8 ADTs from a residential unit with densities ranging from greater than 6 to 18 dwelling units per gross acre; 6 ADTs from a residential unit with greater than 18 dwelling units per gross acre; and 4 trips from a unit in a senior housing complex or mixed use residential with commercial. • Commercial Mixed Use generates the equivalent to 16 EDU's for every 20,000 square feet of floor space. City of Chula Vista Page 6 of 8 Printed on 11/24/2014 powered by Le c 2014-12-02 Agenda Packet �Page 58 File#: 14-0669, Item#: 3. Annual Index Based Adjustment The TDIF is subject to adjustment each October 1St, based on the one-year change (July to July) in the Los Angeles Construction Cost Index (CCI). The CCI increase from July 2013 to July 2014 supports an October 1, 2014 automatic TDIF increase to $12,864; an increase of $370, or 3%, over the current fee of $12,494 per EDU. Instead of implementing this automatic increase, staff recommends adopting the proposed comprehensive fee update; increasing the fee to $13,035 per EDU, an increase of $541 or 4.3%. If the proposed comprehensive update is approved, the next index based adjustment would go into effect in October 2015 (no index based adjustment in 2014). Proposed Ordinance By amending Chapter 3.54 of the Municipal Code, Council will establish a new TDIF rate of $13,035 per EDU and will amend the existing TDIF program to include all the properties and transportation facilities identified in the report. This ordinance will become effective 60 days after the second reading due to this TDIF update. The next automatic rate adjustment will be deferred until October 1, 2015. DECISION-MAKER CONFLICT Staff has reviewed the property holdings of the City Council and has found no property holdings within 500 feet of the boundaries of the property which is the subject of this action. Staff is not independently aware, and has not been informed by any Council member, of any other fact that may constitute a basis for a decision maker conflict of interest in this matter. LINK TO STRATEGIC GOALS The City's Strategic Plan has five major goals: Operational Excellence, Economic Vitality, Healthy Community, Strong and Secure Neighborhoods and a Connected Community. The eastern Transportation Development Impact Fee supports the Strong and Secure Neighborhood strategy. The eastern TDIF finances the construction and upgrading of public infrastructure, which is a key City function in providing a safe and efficient roadway system for residents, businesses and visitors CURRENT YEAR FISCAL IMPACT Adoption of the proposed ordinance increases the TDIF rate from $12,474 to $13,035 per EDU, an increase of $541 per EDU. This rate increase will generate additional revenue for the TDIF fund of $541 per EDU. Actual fiscal impact to the TDIF fund will vary based on the number of building permits pulled for new development east of Interstate-805. There is no direct impact on the General Fund from approving the new rate. All staff costs associated with preparation of the 2014 update is borne by the administration component of the TDIF. ONGOING FISCAL IMPACT The fee increase should allow the City to be able to construct all the new and expanded transportation facilities needed in order to accommodate new development in eastern Chula Vista. The facilities constructed under this fee program will result in routine maintenance. The future program cost of $254,780,493, when spread over the remaining 19,545 EDUs generates the proposed TDIF rate of $13,035 per EDU. City of Chula Vista Page 7 of 8 Printed on 11/24/2014 powered by Le c 2014-12-02 Agenda Packet �Page 59 File#: 14-0669, Item#: 3. ATTACHMENTS 1. Eastern Transportation Development Impact Fee Program Report dated Sept. 2014 2. Area of Benefit 3. City Council Resolution 2003-197 dated May 13, 2003 4. TDIF credits Staff Contact: Prepared by Francisco X. Rivera P.E., T.E. Principal Civil Engineer City of Chula Vista Page 8 of 8 Printed on 11/24/2014 powered by Le c 2014-12-02 Agenda Packet �Page 60 SECOND READING AND ADOPTION ORDINANCE NO. ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA,AMENDING CHULA VISTA MUNICIPAL CODE CHAPTER 3.54, RELATING TO DEVELOPMENT IMPACT FEE TO PAY FOR THE TRANSPORTATION FACILITIES IN THE CITY'S EASTERN TERRITORIES WHEREAS, in January 1988, the City Council of the City of Chula Vista adopted Ordinance No. 2251 establishing a development impact fee for transportation facilities in the City's eastern territories; and WHEREAS, pursuant to Ordinance No. 2251, the City has commenced the collection of development impact fees to be used to construct transportation facilities to accommodate increased traffic generated by new development within the City's eastern territories; and WHEREAS, Ordinance No. 2251 as amended by Ordinance Nos. 2289, 2348, 2349, 2431, 2580, 2604, and 2671 were repealed by Ordinance No. 2802 in January 1999; and WHEREAS, by Ordinance 2802, the Transportation Development Impact Fee (TDIF) was placed in Municipal Code Chapter 3.54; and WHEREAS,Municipal Code Chapter 3.54 was amended by Ordinance 2866; and WHEREAS, by Ordinance 3029, on May 10, 2005, the Transportation Development Impact Fee Program was updated to include new costs and facilities; and WHEREAS, pursuant to the Municipal Code, California Government Code Sections 66000, et. seq., and in accordance with City Council direction, City staff, has prepared a report entitled "Eastern Area Transportation Development Impact Fee" dated September 2014, in which the impacts of development on the transportation system for the City's eastern territories, previously analyzed in the respective eastern territory traffic studies for each of the master planned communities have been reanalyzed and reevaluated to identify capital improvements necessary to mitigate the impacts on the transportation system caused by new development in the eastern territories of Chula Vista and establish the costs associated therefor; and WHEREAS, the financial and engineering studies and the City's General Plan show the transportation network will be adversely impacted by new development within the eastern territories unless new transportation facilities are added to accommodate the new development; and WHEREAS, the financial and engineering studies and the City's General Plan establish that the transportation facilities necessitated by development in the eastern territories comprise and integrated network; and WHEREAS, the City's Municipal Code authorizes the City Council to amend or modify the list of projects to be financed by the fee; and 2014-12-02 Agenda Packet Page 61 Ordinance XXXX Page 2 WHEREAS, the City's Municipal Code 3.54.060 Development Impact Fee program support will be at a rate equal to three percent (3%) of the program's hard project costs consistent with the nexus study; and WHEREAS, on October 28, 2014, the City Council of the City of Chula Vista held a duly noticed hearing at which oral or written presentations regarding the development impact fee for the City's eastern territories could be made; and WHEREAS, the City's Environmental Review Coordinator has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that the activity is not a "Project" as defined under Section 15378 of the State CEQA Guidelines; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines the activity is not subject to CEQA, and NOW, THEREFORE, the City Council of the City of Chula Vista does ordain as follows: SECTION 1: Findings The City Council finds that developers of land within the Eastern Territory should be required to mitigate the burden created by development through the construction of transportation facilities within the boundaries of the development, the construction of those transportation facilities outside the boundaries of the development which are needed to provide service to the development in accordance with City standards and the payment of a development impact fee to finance the development's portion of costs of the transportation network; and The City Council finds that the legislative findings and determinations set forth in Ordinance No.2802 continue to be true and correct; and The City Council finds, after consideration of the evidence presented to it including the "Eastern Area Transportation Development Impact Fee" dated September 2014, that certain amendments to Chapter 3.54 of the Chula Vista Municipal Code are necessary in order to assure that there are sufficient funds available to finance the transportation facilities necessary to serve the eastern territories by the development impact fee; and The City Council finds, based on the evidence presented at the meeting, the City's General Plan, and the various reports and information received by the City Council in the ordinary course of its business, that the imposition of traffic impact fees on all development in the eastern territories for which building permits have not been issued is necessary in order to protect the public health, safety and welfare and in order to assure effective implementation of the City's General Plan; and The City Council finds that the amount of the amended fees levied by this ordinance does not exceed the estimated cost of providing the transportation facilities; and The City Council finds that it is appropriate to refine the fees for office and commercial land uses, including high rise commercial, to reflect the findings of the analyses of the commercial trip 2014-12-02 Agenda Packet Page 62 Ordinance XXXX Page 3 origination and destination whereby only estimated trips generated from outside the Transportation Development Impact Fee boundary shall be used in determining the fee for commercial land uses; and The City Council finds it is necessary to ensure the timely payment of the "DIF program monitoring" cost item, included in Table H "Program Funding Requirements" of the financial and engineering study, "Eastern Area Development Impact Fees for Streets" dated September 2014, to adequately fund ongoing and future administration activities and studies. SECTION 2: That the Development Impact Fee Schedule set forth in Section 3.54.010(C) of the Municipal Code, and as adjusted annually by the Los Angeles Construction Cost Index as published monthly in the Engineering News Record, shall be amended to read as follows: C. The amount of the fee for each development shall be calculated at the time of building permit issuance based upon the following schedule: TABLE J PROPOSED TDIF FEE PER LAND +_SSE GLASSIF;GATION Proposed TDIF Fee per EDU: $73,435,44 Land Use Classification EUUJ l TDIF Rate Residential(LCf%N) 0-6 dwelling units per acre* 1.0 ECU,DU $ 13,035.---- oer DU Residential(MED) 6.1-18 dwelling traits per acre* 0.8 EDUiDU $ 10,428.00 per DU Residential(HIGH) >18-1 dwelling units per acre,' 0.6 EDUADU $ 7,821.00 per DU Senior Housing 0.4 EDUMU $ 5,214.00 per DU Residential Mixed Use k >18 dwelling units per acre,' 0.4 EDUMU $ 5,214.01) per DU Commercial Mixed Use" 16.0 EDUF20,000 Sq ft $2081560.00 per 210,000 Sq ft General Commercial(Acre) <five(5)stones in height 16.0 EDUfAcre $208,560.00 per Acre Regional Commercial(Acre) >800,000 sQ ft 11.0 EDUTAcre $143,385.00 per Acre High Rise Commercial (Acre) >five(5ti stories in height 28.0 EDUTAcre $364,980.00 per Acre Office(Acre) <five(5j stories in height 9.0 EDUfAcre $117,315.00 per Acre Industrial(Acre) 9.0 EDUfAcre $117,315.00 per Acre Regional Tecl-mlogy Park(Acre) 8.0 EDUTAcre $104,280.00 per Acre 18-Hole Golf Course 70.0 EDU omae $912,450.00 per Course Medical Center 65.0 EDUTAcre $847,275.00 per Acre Based on grass acreage "Project is considered commercla;rro&ed arse only d grralr&y rag residential mixed rise is located on second floor_ or higher, above commercielprq�ecf- 2014-12-02 Agenda Packet Page 63 Ordinance XXXX Page 4 The density of the development type shall be based on the number of dwelling units per gross acre for single-family or multi-family residential and shall be based upon the densities identified on the approved tentative map or approved tentative parcel map entitling the development unless otherwise approved in writing by the city manager's designee. Gross acreage as it applies to the commercial, high rise commercial, industrial and office development types, means all land area that the city manager's designee deems necessary within the boundary of the parcel or parcels of the development project for which building permits are being requested. The amount of the fee shall be adjusted, starting on October 1, 2015, and on each October Ist thereafter, based on the one-year change (from July to July) in the Los Angeles Construction Cost Index as published monthly in the Engineering News Record. For reference purposes, this update is based on the July 2014, Los Angeles Construction Cost Index of 10,737.43. Adjustments to the above fees based upon the Construction Cost Index shall be automatic and shall not require further action of the city council. The city council may adjust the amount of the fee as necessary to reflect changes in the type, size, location or cost of the transportation facilities to be financed by the fee, changes in land use designations in the city's general plan, and upon other sound engineering, financing and planning information. Adjustments to the above fees resulting from the above reviews may be made by resolution amending the master fee schedule. SECTION 3: A. That Section 3.54.020 of the Municipal Code, shall be amended to read as follows: 3.54.020 Definitions. For the purposes of this chapter, the following words or phrases shall be construed as defined herein, unless from the context it appears that a different meaning is intended. H. "Financial and engineering studies" means the "Interim Eastern Area Development Impact Fee for Streets" study prepared by George T. Simpson and Willdan Associates dated November 1987; the "Eastern Area Development Fee for Streets" study prepared by Willdan Associates dated November 19, 1990; the Eastern Development Impact Fee for Streets - 1993 Revision" study prepared by city staff dated July 13, 1993; the study prepared by Project Design Consultants ("Eastern Area Development Impact Fees for Streets, 1999 Update") dated October 25 1999; the study prepared by Willdan ("Eastern Area Development Impact Fees for Streets" dated July 2002); the study prepared by city staff ("Eastern Area Transportation Development Impact Fees" dated March 2005) and; the study prepared by city staff("Eastern Area Development Impact Fees"dated September 2014, which are on file in the office of the city clerk. 2014-12-02 Agenda Packet Page 64 Ordinance XXXX Page 5 B. That Section 3.54.030(A) of the Chula Vista Municipal Code shall be amended as follows: 3.54.30 Transportation facilities to be financed by the fee. A. The transportation facilities &programs to be financed by the fee established by this chapter are: I. SR 125 f e San AiTigttel Read to Telegfaph Canyon Read, 2. 3.** Telegraph Canyon Road from Paseo Del Rey to east of Paseo Ladera north side 3a.** Telegraph Canyon Road/I-805 interchange, Phase II. 3b.** Telegraph Canyon Road from I-805 interchange to 200' east of Telegraph Canyon Shopping Center 4.** Telegraph Canyon Road, Phase L Rutgers Avenue to Eastlake Boundary. 5.** Telegraph Canyon Road, Phase II: Paseo Ladera to Apache Drive. 6.** Telegraph Canyon Road, Phase III: Apache Drive to Rutgers Avenue. 7a.** East H Street through Rancho Del Rey 7b.** East H Street/I-805 interchange modifications, Phase I 7c.** East H Street/I-805 interchange modifications, Phase II 8.** East H Street from Eastlake Drive to SR-125. 9a.** Otay Lakes Rd intersection with East H Street 9b.** Otay Lakes Road from Camino del Cerro Grande to Ridgeback Road. 10.** Central Avenue from Bonita Road to Corral Canyon Road I Oa.** La Media Road from Telegraph Canyon Road to East Palomar Street. I Ob.** La Media Road from East Palomar Street to Olympic Parkway. 11.** Bonita Road from Otay Lakes Road to Willow Street. 4 3. San Migtt l Read f Bonita Read to CST 14.** East H Street from SR-125 to San Miguel Road(Mt. Miguel Road). 15.** Proctor Valley Road (East H Street) from San Miguel Road(Mt. Miguel Road) to Hunte Parkway. 16.** Olympic Parkway from Brandywine Avenue to Paseo Ranchero. 17.** East Palomar Street from Oleander Avenue to Medical Center Drive. 17a.** East Palomar Street from Medical Center Drive to Paseo Ladera. 17b.** East Palomar Street from Paseo Ladera to Sunbow eastern boundary. 18.** Telegraph Canyon Road, Phase IV: from eastern boundary of Eastlake to Hunte Parkway. 19.** Eastlake Parkway from Otay Lakes Road to Eastlake High School southern boundary. 20.** Hunte Parkway from Proctor Valley Road to Telegraph Canyon Road. 21.** Hunte Parkway from Telegraph Canyon Road to Club House Drive. 21a.** Hunte Parkway from Club House Drive to Olympic Parkway. 22a.** Olympic Parkway, Phase IV: from SDG&E easement to Hunte Parkway. 22b.** Olympic Parkway, Phase V: from SR-125 to SDG&E easement. 2014-12-02 Agenda Packet Page 65 Ordinance XXXX Page 6 23a.** Paseo Ranchero from Telegraph Canyon Road to East Palomar Street. 23b.** Paseo Ranchero from East Palomar Street to Olympic Parkway. 24a.** Olympic Parkway, Phase L from Paseo Ranchero to La Media Road. 24b.** Olympic Parkway, Phase II: from La Media Drive to East Palomar Street. 24c.** Olympic Parkway, Phase III: from East Palomar Street to SR-125. 24e.** Olympic Parkway, Phase VI: from Heritage Road to SR-125 25a.** Olympic Parkway /I-805 interchange modifications. 25b.** Olympic Parkway from Oleander Avenue to Brandywine Avenue. 26.** East Palomar Street from Heritage Road to the Sunbow eastern boundary. 28a.** Otay Lakes Road from Hunte Parkway to Lake Crest Drive. 28b. Otay Lakes Road from Lake Crest Drive to Wueste Road 29.** Olympic Parkway from Hunte Parkway to Wueste Road. 30.** Otay Lakes Road from SR-125 to Eastlake Parkway. 31.** Eastlake Parkway from Fenton Street to Otay Lakes Road. 32a.** East "H" Street(westbound) from I-805 to Hidden Vista Drive. 32b.** East "H" Street(eastbound) from I-805 to Terra Nova Shopping Center. 33a.** Bonita Road at Otay Lakes Road intersection. 33b.** Telegraph Canyon Road/I-805 interchange modifications, Phase I 34. Otay Lakes Read at Rlmhttfst Dfive intefseefien. 35.** East "H" Street at Otay Lakes Road intersection. 37.** Eastlake Parkway from CWA Easement to Olympic Parkway. 38.** East "H" Street from Paseo Del Rey to Tierra del Rey. 39.** Bonita Road from I-805 to Plaza Bonita Road. 40. Alta Read ffem SR 125 te Eastlake Pafk-wery. 41.** Brandywine/Medical Center Drive from Medical Center Court to Olympic Parkway. 42.** Birch Road from La Media Road to SR-125. 43. Birch Road from SR-125 to Eastlake Parkway. 45.** Eastlake Parkway from Olympic Parkway to Birch Road. 46. Eastlake Parkway from Birch Road to Hunte Parkway/Rock Mountain Road. 47a. San Miguel Ranch Road (formerly Mt. Miguel Road) from Proctor Valley Road North to SR-125. 47b.**Mt. Miguel Road from SR-125 to Proctor Valley Road(South),previously named East "H" Street. 48.** Hunte Parkway from Olympic Parkway to Eastlake Parkway. 50. ha Media Read bfidge efessing the Otay Rivef(ene half t4e eest) 51 a.** La Media Road from Olympic Parkway to Santa Venetia Street. 51b.** La Media Road from Santa Venetia Street to Birch Road. 52. La Media Read fFefn Bifeh Read to Reek Metintain Read. 52a.** La Media Road from Birch Road to Santa Luna Street 52b. La Media Road from Santa Luna Street to Main Street Couplet intersection. 53. ha Media Read Getiplet f+em Reek Metifitaiii Read to Ot&y 3.1'alley Read. 53a. La Media Road Couplet within Village 8 to Otay Valley Road. 2014-12-02 Agenda Packet Page 66 Ordinance XXXX Page 7 53b. Main Street Couplet Road within Village 8W. 53c. Otay Valley Road from La Media Road to SR-125 R/W. 55a. Otay Lakes Road from East H Street to Telegraph Canyon Road. 55b.** Otay Lakes Road from Canyon Drive to East H Street 56a.** Main Street from Nirvana Avenue to 1600' West of Heritage Road/Rock Mountain Road. 56b Mai StFe°t fr-efn Reek A =taro Read to has Media cvc. 56c. Otay Valley Road (formerly Main Street) from La Media Road to SR 125. 56d.** Main Street at I-805 Underpass widening 56e. Main Street from 1600' west of Heritage Road/Rock Mountain Road to Heritage Road/Rock Mountain Road (Main Street extension). 57. Heritage Road (formerly Paseo Ranchero) from Olympic Parkway to Main Street. 58a. Heritage Road (formerly Paseo Ranchero) from Main Street to southern City boundary (excludes bridge crossing the Otay River). 58b. Heritage Road Bridge (formerly Paseo Ranchero) crossing the Otay River. 59a.** Proctor Valley Road from Hunte Parkway to Rolling Hills Ranch Neighborhood 9 west entrance. 59b.** Proctor Valley Road from Rolling Hills Ranch Neighborhood 9 west entrance to Rolling Hills Ranch Neighborhood 9 east entrance. 59c. Proctor Valley Road from Agua Vista Drive/Northwoods Drive (Rolling Hills Ranch Neighborhood 9 east entrance) to easterly city boundary. 60a. Main Street (formerly Rock Mountain Rd) from Heritage Rd to La Media Rd. 60b. Main Street (formerly Rock Mountain Road) from Wolf Canyon Bridge to La Media Road. 60c. Main Street (formerly Rock Mountain Road) Bridge across Wolf Canyon. 60d. Main Street (formerly Rock Mountain Road) from La Media Road to SR-125. 61. Willow Street Bridge from Bonita Road to Sweetwater Road. 62. East H Street from 500 LF west of Buena Vista Way to Otay Lakes Road. 63. System Wide Intersection signalization area within the Eastern Territories. 64. Hunte Parkway (Main Street) from SR-125 to Eastlake Parkway. 65. Transportation Demand Management/Transportation System Management (formerly Traffic Management Center). 66.** Transportation Demand Management(TDM) 67. Main Street (formerly Rock Mountain Road) Bridge Overcrossing and interchange ramps at SR-125. 68. Otay Valley Road Bridge Overcrossing and interchange ramps at SR-125. 69. Millenia Avenue from Birch Road to Hunte Parkway(Main Street). 70. Discovery Falls Drive from Hunte Parkway to Village 9/ Street`B". 71. Street`B"from Hunte Parkway(Main Street) to Otay Valley Road. 72. Otay Valley Road from east of SR-125 R/W to easterly subdivision boundary. **Project has been completed. Current projects are listed in bold 2014-12-02 Agenda Packet Page 67 Ordinance XXXX Page 8 C. That Section 3.54.060 of the Chula Vista Municipal Code shall be amended to read as follows: The "DIF program support" shall, with no exceptions, be paid in cash concurrently with the development impact fee at a rate equal to three percent (3%) of the DIF program's hard project costs, as identified in the most recent financial and engineering study, subject to the adjustment authorized by CVMC 3.54.010(C). D. That Code Section 3.54.090 of the Chula Vista Municipal shall be amended to read as follows: The City may receive economic incentive credit only for those eligible projects (i) identified in CVMC 3.54.030 and (ii) for amounts of funding not identified in the most recent financial and engineering study. SECTION 4: Expiration of this ordinance This ordinance shall be of no further force when the City Council determines that the amount of fees which have been collected reaches an amount equal to the cost of the transportation facilities or reimbursements. SECTION 5: Effective Date This ordinance shall become effective 60 days after its adoption. In the event that the City Council does not approve the second reading of this ordinance by NUMDD, 2014 the first reading of this ordinance shall no longer be effective. Presented by: Approved as to form by: Richard A. Hopkins Glen R. Googins Director of Public Works City Attorney PASSED,APPROVED, and ADOPTED by the City Council of the City of Chula Vista, California, this 18th day of November, 2014, by the following vote: YAYES: Councilmembers: XX,YY, ZZ NAYS: Councilmembers: None ABSENT: Councilmembers: XX,YY XXXXX ,Mayor ATTEST: 2014-12-02 Agenda Packet Page 68 Ordinance XXXX Page 9 Donna Norris, City Clerk STATE OF CALIFORNIA) COUNTY OF SAN DIEGO) CITY OF CHULA VISTA) I, Donna Norris, City Clerk of Chula Vista, California, do hereby certify that the foregoing Ordinance No. #### had its first reading at a regular meeting held on the 4th day of November, 2014 and its second reading and adoption at a regular meeting of said City Council held on the 18th day of November, 2014. Executed this 18th day of November 2014. Donna Norris, City Clerk J:\Engineer\TRAFFIC\TDIF\TF364 FY13\Ordinance\TDIF Ordinance 14-0418 111014fxr.doc 2014-12-02 Agenda Packet Page 69 City of Chula Vista CTY CHUILAVISTA Staff Report File#: 14-0671, Item#: 4. ORDINANCE OF THE CITY OF CHULA VISTA AMENDING CHULA VISTA MUNICIPAL CODE SECTION 2.05.010 RELATING TO THE ESTABLISHMENT OF UNCLASSIFIED POSITIONS TO ADD POLICE ADMINISTRATIVE SERVICES ADMINISTRATOR, CHIEF OF STAFF, POLICY AIDE AND TREASURY AND BUSINESS MANAGER AND DELETE TREASURY MANAGER (SECOND READING AND ADOPTION) (4/5 VOTE REQUIRED) RECOMMENDED ACTION Council adopt the ordinance. SUMMARY As part of the City's ongoing effort to maintain the classification plan, Human Resources staff completed several department and employee-initiated classification reviews. Human Resources staff also conducted classification reviews that were agreed upon during the most recent labor negotiations for a successor Memorandum of Understanding (MOU) between the City and the Western Council of Engineers (WCE) for the Plans Examiner and Surveyor classifications. ENVIRONMENTAL REVIEW The Development Services Director has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that the activity is not a "Project" as defined under Section 15378(b)(2) of the State CEQA Guidelines because it is a personnel related action; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines the activity is not subject to CEQA. Thus, no environmental review is necessary. BOARD/COMMISSION RECOMMENDATION The Civil Service Commission adopted the amendments to the classification plan, subject to the final approval of the City Council, at their November 6, 2014 meeting. DISCUSSION Civil Service Rule 1 .02(A), which applies to the City's classified positions, provides for necessary reviews and changes so that the City's classification plan is kept current, and that changes in existing classes, the establishment of new classes or the abolition of classes are properly reflected in the classification plan. Human Resources staff conducted several department and employee-initiated classification reviews on various positions assigned to the Development Services, Finance Department, Fire Department, Library Department, Office of the Mayor, Police Department, Public Works Department and Recreation Department to determine if the permanent and on-going duties and responsibilities of the positions were assigned to the appropriate classifications. City of Chula Vista Page 1 of 5 Printed on 11/25/2014 powered by Leg 2014-12-02 Agenda Packet Page 70 File#: 14-0671, Item#: 4. The following identifies the affected positions, departments and proposed changes. Department Position Tide FTE Plans Examiner -3.00 Development Services Associate Plan Cheek Engineer 3.00 Fi natic e Treasury Manager -1 00 Treasury and Business Manager 1 00 Secretary -1.00 Fire Traininq Programs Specialist 1 00 Firefighter -2.00 FirefiQhterfParamedic 200 Administrative Analyst 11 -100 Library Management Analyst 1.00 Librarian l -100 Librarian 11 1.00 Administrative Services Manager -1.00 Police Administrative ServioesAdministrator 1 00 r Parking Enforcement Dficer -1.00 Ranq,e Master -0.50 Senior Police TechnolagySpecialist 1 00 Construction and Repair Manaqer -1 00 Facilities Manager 1 00 Custodial and FaciltissManager -1.00 Construction and Re pair Supervisor 100 Custodial Supervisor -1 00 Public Works Lead Custodian -100 Custodian 2 00 Administrative Analyst II -2.00 Management Analyst 2.00 Assistant Surveyor II -1 00 Associate Land Surrevor 1 00 Recreation Recreation 5uperrisor II -2.00 Recreation 5uperwisor IN 2.00 Constituent Services Manager -2.00' Office of the Mayor Chief of Staff 1.0 Policy Aide 1.0 TOTAL (0.50) Effectrve December 10, 2014 In addition to the changes listed above, the Human Resources Department also recommends the following changes to titles that are included in the Compensation Schedule and Classification Plan but are not currently budgeted positions. These classifications (Assistant Surveyor I, Land Surveyor City of Chula Vista Page 2 of 5 Printed on 11/25/2014 2014-12-02 Agenda Packet Page 71 File#: 14-0671, Item#: 4. and Senior Plans Examiner) are not included in the fiscal year 2014-2015 budget; no changes to the authorized position count are needed at this time. However, the re-titles of these classifications (e.g., Senior Plan Check Engineer, Assistant Land Surveyor and Senior Land Surveyor) may be used in future budgets. Current Position Title Proposed Position Tide Asmslant Surveyor I Assistant Land Surveyor II hand Surveyor Senior Land Surveyor Senior Plans Examinor Senior Plan Check Engineer Summary of New Classifications pesadon Tide Bargaining Bi-Weekly E- Step Group Associme Plan Check Enqineer VtiCE $3565 31 Senior Plan Check Engineer WCE 5031 94 Assistant Land Surveyor WCE 53,187,22 Senior Land Surveyor VsVCE 54,215,10 Facilities Manager MM $3.905.47 Treasury and Business Manager SM $5,175.99 Police Administrative Services Manager S $4-885.47 Construction and Repair Supervisor CVEA 53-218.89 Senior Police Technology Specialist CVEA $3-821 65 Chief of Staff MMUC 52.845 12 Policy Aide PRUC $2.30045 California Code of Regulations, Title 2, Section 570.5 requires that, for purposes of determining a retiring employee's pension allowance, the pay rate be limited to the amount listed on a pay schedule that meets certain requirements and be approved by the governing body in accordance with the requirements of the applicable public meeting laws. The Fiscal Year 2014-2015 Compensation Schedule ("Compensation Schedule") was originally approved by the City Council at their meeting of July 8, 2014. Approval of Resolution D will approve the revised Compensation Schedule to reflect the addition of the Facilities Manager, Police Administrative Services Administrator, Treasury and Business Manager, Associate Plan Check Engineer, Senior Plan Check Engineer, Assistant Land Surveyor, Associate Land Surveyor, Senior Land Surveyor, Senior Police Technology Specialist, Construction and Repair Supervisor, Chief of Staff and Policy Aide titles and salaries and the removal of the Administrative Analyst 11, Construction and Repair Manager, Treasury Manager, Plans Examiner, Senior Plans Examiner, Assistant Surveyor I, Assistant Surveyor II and Land Surveyor position titles. Human Resources staff is requesting an amendment to Executive Management Group, Section I B City of Chula Vista Page 3 of 5 Printed on 11/25/2014 powered by Leg 2014-12-02 Agenda Packet Page 72 File#: 14-0671, Item#: 4. (8) Annual Leave (b) Vacation Sellback and to Senior Management Group, Section II B (8) Annual Leave (b) Vacation Sellback of the Compensation Summary for All Unrepresented Employees and Elected Officials. If approved, the amendment will change the vacation sellback option for Executive and Senior Managers from two weeks to three weeks. Due to the significant reductions taken at the Executive level, it has become more difficult to take time off and thus many are reaching their maximum accrual. This would allow for the Executive and Senior Managers the opportunity to sell back an additional week and avoid losing vacation accruals. Additionally, staff has analyzed the vacation balances of Senior and Executive Managers and has determined that allowing a greater sellback during the course of their employment could potentially reduce the amount of payouts at retirement. Lastly, Chula Vista Municipal Code Section 2.05.010 also needs to be updated to reflect the position changes impacting the unclassified positions. Chula Vista City Charter Section 500 requires that all unclassified positions not mentioned specifically in Charter Section 500 be adopted by ordinance. Adoption of the ordinance will add the position title of Police Administrative Services Administrator, Chief of Staff, Policy Aide and Treasury and Business Manager to Municipal Code Section 2.05.010 and delete the position title of Treasury Manager. DECISION-MAKER CONFLICT Staff has determined that the action contemplated by this item is ministerial, secretarial, manual, or clerical in nature and, as such, does not require the City Council members to make or participate in making a governmental decision, pursuant to California Code of Regulations Title 2, section 18702.4 (a). Consequently, this item does not present a conflict under the Political Reform Act (Cal. Gov't Code § 87100, et seq.). Staff is not independently aware, and has not been informed by any City Council member, of any other fact that may constitute a basis for a decision maker conflict of interest in this matter. LINK TO STRATEGIC GOALS The City's Strategic Plan has five major goals: Operational Excellence, Economic Vitality, Healthy Community, Strong and Secure Neighborhoods and a Connected Community. The reclassifications and proposed new classifications support the City-wide strategic goal of Operational Excellence by providing more accurate position titles that better reflect the needs of the City's workforce. Furthermore, approval of the revised Fiscal Year 2014-2015 Compensation Schedule and its posting on the City's internet website supports the goal of Operational Excellence as it enhances disclosure and transparency of employee compensation and, as a result, fosters public trust through an open and ethical government. CURRENT YEAR FISCAL IMPACT The proposed changes in the Fire, Library, and Recreation departments result in a fiscal impact of approximately $22,000. Approval of this resolution will result in the appropriation of $22,000 to the General Fund. This appropriation will be offset by unanticipated General Fund revenues. No budget amendments are needed for the proposed changes in City Council, Public Works, Finance, Police, and Development Services. ONGOING FISCAL IMPACT The annualized costs of these personnel changes will be incorporated into the fiscal year 2015-16 City of Chula Vista Page 4 of 5 Printed on 11/25/2014 2014-12-02 Agenda Packet Page 73 File#: 14-0671, Item#: 4. proposed budget, which will be considered by the City Council as part of the normal budget process. ATTACHMENTS Revised Fiscal Year 2014-2015 Compensation Schedule Staff Contact: Erin Dempster City of Chula Vista Page 5 of 5 Printed on 11/25/2014 2014-12-02 Agenda Packet Page 74 SECOND READING AND ADOPTION ORDINANCE NO. ORDINANCE OF THE CITY OF CHULA VISTA AMENDING CHULA VISTA MUNICIPAL CODE SECTION 2.05.010 RELATING TO THE ESTABLISHMENT OF UNCLASSIFIED POSITIONS TO ADD POLICE ADMINISTRATIVE SERVICES ADMINISTRATOR, CHIEF OF STAFF, POLICY AIDE AND TREASURY AND BUSINESS MANAGER AND DELETE TREASURY MANAGER (FIRST READING) (4/5 VOTE REQUIRED) WHEREAS, the Human Resources Department has created new classifications to better reflect the needs of the City's workforce and to provide greater service to the community; and WHEREAS, Chula Vista City Charter Section 500(a) requires that all new unclassified management level positions be adopted by ordinance and a four-fifths vote of the Council. NOW, THEREFORE, the City Council of the City of Chula Vista does ordain as follows: Section L That Section 2.05.010 of the Chula Vista Municipal Code is hereby amended to read as follows: 2.05.10 Unclassified positions established. In addition to those unclassified positions specifically delineated in Section 500 of the Charter of the City, there are established the unclassified positions entitled: Administrative Services Manager, Animal Care Facility Administrator, Animal Care Facility Manager, Assistant Chief of Police, Assistant Director of Development Services, Assistant Director of Engineering, Assistant Director of Human Resources, Assistant Director of Finance, Assistant Director of Public Works, Assistant Director of Recreation, Budget and Analysis Manager, Building Official/Code Enforcement Manager, California Border Alliance Group (CBAG) Deputy Executive Director, CBAG Director — IV LECC, CBAG Executive Director, Chief of Staff, Chief Service Officer, City Engineer, Constituent Services Manager, Deputy City Manager, Deputy Fire Chief, Development Services Department Director, Director of Conservation and Environmental Services, Director of Economic Development, Fire Division Chief, FA Accounting Technician, FA Administrative Analyst I, FA Administrative Analyst II, FA Analyst, FA Director of San Diego Law Enforcement Coordination Center, FA Executive Assistant, FA Geospatial Intelligence Analyst , FA Graphics Designer/Webmaster, FA Information Security Program Manager, FA Law Enforcement Coordination Center Information Technology Manager, FA Management Assistant, FA Microcomputer Specialist, FA Network Administrator I, FA Network Administrator II, FA Program Analyst, FA Program Manager, FA Public Safety Analyst, FA Network Engineer, FA Senior Public Safety Analyst, FA Senior Secretary, Finance Manager, Housing Manager, Human Resources Operations Manager, Information Technology Manager, Law Office Manager, Office Specialist (Mayor's Office), Performance and Organizational Development Manager, Planning Manager, Police Administrative Services Administrator, Police Captain, Policy Aide, Purchasing Agent, Real 2014-12-02 Agenda Packet Page 75 Ordinance No. Page No. 2 Property Manager, Redevelopment and Housing Manager, Risk Manager, Senior Council Assistant, Traffic Engineer, Transit Coordinator, Transit Manager, and Tfeasffizy Manage Treasury and Business Manager. Section IL Severability If any portion of this Ordinance, or its application to any person or circumstance, is for any reason held to be invalid, unenforceable or unconstitutional, by a court of competent jurisdiction, that portion shall be deemed severable, and such invalidity, unenforceability or unconstitutionality shall not affect the validity or enforceability of the remaining portions of the Ordinance, or its application to any other person or circumstance. The City Council of the City of Chula Vista hereby declares that it would have adopted each section, sentence, clause or phrase of this Ordinance, irrespective of the fact that any one or more other sections, sentences, clauses or phrases of the Ordinance be declared invalid,unenforceable or unconstitutional. Section III. Construction The City Council of the City of Chula Vista intends this Ordinance to supplement, not to duplicate or contradict, applicable state and federal law and this Ordinance shall be construed in light of that intent. Section IV. Effective Date This Ordinance shall take effect and be in force on the thirtieth day after its final passage. Section V. Publication The City Clerk shall certify to the passage and adoption of this Ordinance and shall cause the same to be published or posted according to law. Presented by Approved as to form by Kelley K. Bacon Glen R. Googins Director of Human Resources City Attorney 2014-12-02 Agenda Packet Page 76 City of Chula Vista CTY CHUILAVISTA Staff Report File#: 14-0642, Item#: 5. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING THE CITY OF CHULA VISTA CAFETERIA BENEFITS PLAN FOR 2015 RECOMMENDED ACTION Council adopt the resolution. SUMMARY The Internal Revenue Code requires that the Section 125 Cafeteria Benefits Plan offered by the City to its employees be in a written document and that the document be formally adopted by the City Council on or before the first day of the plan year. Adoption by resolution of the attached plan document fulfills the City's obligation for the 2015 plan year. ENVIRONMENTAL REVIEW Staff has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that this proposed activity is not a "Project" as defined under section 15378 of the State CEQA Guidelines because if will not result in a physical change to the environment; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines the action proposed is not subject to CEQA. BOARD/COMMISSION RECOMMENDATION Not applicable. DISCUSSION In June 1998, the City established its first Section 125 Cafeteria Benefits Plan. In compliance with Internal Revenue Code §125(d) the City Council annually adopts a written plan document prior to the first day of the plan year. The first day of the City's plan year is January 1 , 2015. This Plan Document lays out how the City offers eligible employees the choice between cash and certain nontaxable benefits (such as health insurance), thereby allowing employees to pay for the benefits they choose on a pre-tax basis. The specific health plans offered and their structure are not part of this Cafeteria Plan Document. They are included in what is known as the Summary Plan Document that was given to eligible employees as part of their open enrollment materials to assist them in making their benefit choices. The plans offered and their structure are determined after our broker, Barney and Barney, extensively markets and negotiates with providers to provide coverage comparable to the prior year while keeping the increase in costs to the City and its benefited employees to a minimum. All employee groups are advised of the offers and the plan structures that will provide the least increase in premium costs. Under current cafeteria plan regulations having an approved written plan is critical. Without a written City of Chula Vista Page 1 of 4 Printed on 11/25/2014 powered by Leg 2014-12-02 Agenda Packet Page 77 File#: 14-0642, Item#: 5. plan or if the written plan does not comply with applicable requirements regarding content and timing of adoption, then the plan is not a cafeteria plan and employees' elections will be taxable. The City has timed its open enrollment period for 2015 to comply with these regulations and to meet provider cutoff deadlines for enrollment to ensure employees are covered without interruption. The City's Plan includes the following required information: • Description of available benefits • Participation rules • Election procedures • Manner of contributions • Maximum amount of contributions • The plan year • The plans provisions for complying with flexible spending arrangements (FSAs) The attached Plan incorporates all of the operating rules prescribed in Code §125 and the regulations thereunder. DECISION-MAKER CONFLICT Staff has reviewed the decision contemplated by this action and has determined that it is not site specific and consequently, the 500-foot rule found in California Code of Regulations section 18704.2 (a)(1), is not applicable to this decision. Staff is not independently aware, and has not been informed by any City Council member, of any other fact that may constitute a basis for a decision maker conflict of interest in this matter. LINK TO STRATEGIC GOALS The City's Strategic Plan has five major goals: Operational Excellence, Economic Vitality, Healthy Community, Strong and Secure Neighborhoods and a Connected Community. Adopting the City's Cafeteria Benefit Plan document supports the Operational Excellence goal as it helps attract and retain quality employees. A Cafeteria Benefit Plan is an advantage for both the City and its employees because it allows health premiums to be deducted on a pre-tax basis. For the employee, it reduces the amount of federal and state taxes the employee has to pay. For the City, it reduces its payroll tax liability. CURRENT YEAR FISCAL IMPACT The flex allotment and cafeteria plan year to year change for all funds was accounted for in the fiscal year 2014/15 budget based on the projected cafeteria plan cost increases available at the time the budget was developed. Subsequent to the adoption of the budget, staff was informed that cafeteria plan costs were going to increase by less than the amount anticipated in the budget. The estimated savings resulting from this lesser increase were deducted from the departmental budgets as part of the budget amendments approved by Council with the First Quarter Financial Report on November 4, 2014. The savings were used to reduce the City's budgeted salary savings in the fiscal year 2014-15 budget. The City spent $11.9 million in fiscal year 2013/14 on these benefits for all funds. The amended budget for fiscal year 2014/15 totals $13.6 million. City of Chula Vista Page 2 of 4 Printed on 11/25/2014 2014-12-02 Agenda Packet Page 78 File#: 14-0642, Item#: 5. ONGOING FISCAL IMPACT Flex allotments are negotiated with the City's bargaining groups. Unrepresented employees and elected officials also receive flex allotments. With the exception of Public Safety bargaining groups, the City shares the cost of health insurance premiums on a 50/50 basis. For Public Safety bargaining groups, the City assumes the full cost of the medical premium increases. The increases reflected on the tables below illustrate the increase in the health insurance premiums on an annual basis. The impact to future budgets and the five-year financial forecast will depend on the outcome of negotiations with the City's bargaining groups and the changes in health insurance premiums. FXPri ijowp 14 )z "'Flex allotments remain at the 2013 amounts for all Employee Only members within the following L Executive. Mid Manaeers and Professionals. Senior Manaeers. Western Council of Eneineers. and M; Piihlir qnfptv F1 R( • Al - - - ! - ilbental insurance for public safety employees is fully compensated for at the DHMO level. Emplc variance between DHMO and PPO. City of Chula Vista Page 3 of 4 Printed on 11/25/2014 powered by Leg 2014-12-02 Agenda Packet Page 79 File#: 14-0642, Item#: 5. ATTACHMENTS: 1. 2015 City of Chula Vista Cafeteria Plan Document 2. Exhibit A - Dental/Medical/Vision and Dependent/Child Care Reimbursement Account 3. Exhibit B - Aflac Voluntary Plan 4. Exhibit C - Employee Assistance Program STAFF CONTACT: Edith Quicho (619) 585-5620 City of Chula Vista Page 4 of 4 Printed on 11/25/2014 2014-12-02 Agenda Packet Page 80 CM OF CHULA VISTA CAFETERIA BENEFITS PLAN FOR THE CITY OF CHULA VISTA Amended and Restated as of January 1, 2015 Established June 1998 Human Resources Department City of Chula Vista 2014-12-02 Agenda Packet Page 81 SECTION 125 CAFETERIA BENEFIT PLAN ADOPTION AGREEMENT The undersigned Employer hereby adopts the Section 125 Cafeteria Benefit Plan for those Employees who shall qualify as Participants hereunder. The Employer hereby selects the following Plan Specifications. A. EMPLOYER INFORMATION Name of Employer: City of Chula Vista Address: 276 Fourth Ave. Chula Vista, CA 91910 Employer Tax ID: 95-6000690 Nature of Business: Municipal Government Name of Plan: City of Chula Vista Cafeteria Benefits Plan B. EFFECTIVE DATE Original Effective Date of Plan: June 1998 Effective Date of Amendment: January 1, 2015 C. ELIGIBILITY REQUIREMENTS FOR PARTICIPATION Eligibility requirements for each component plan under this Section 125 document will be applicable and, if different, will be listed in Item F. Employee Status: (1) Benefited Employees: Directly employed by the City of Chula Vista in a full- or part-time benefited status. Part-time benefited employees must be authorized to work at least half- time or 40 hours biweekly. (2) Eligible Hourly Employees: Full-time Hourly employees as defined by the Affordable Care Act (ACA) working an average of 30 or more creditable service hours per week during the Standard Measurement Period. Eligibility is determined annually. 2 2014-12-02 Agenda Packet Page 82 Length of Service: (1) Benefited Employees: First day of employment in a benefited status. (2) Eligible Hourly Employees: end of the 60 days immediately following the Standard Measurement Period. D. PLAN YEAR The current plan year will begin on January 1, 2015 and end on December 31, 2015. E. EMPLOYER CONTRIBUTIONS Non-Elective Contributions: Flexible Allotment (Benefited Employees) The maximum amount available to each Participant for the purchase of certain elected benefits (Group Medical Insurance, Group Dental Insurance, Group Vision, Dental/Medical/Vision and Dependent/Child Care Reimbursement and Cash Payment Option) with non- elective contributions will be: Confidential $13,524 CVEA $13,024 Executive $16,300 MM,MMCF,MMUC $13,900 PROF,PRCF,PRUC $13,900 Senior Managers $14,900 WCE $13,900 Mayor/Council/City Attorney $16,300 Non-Elective Contributions For Employees represented by POA/IAFF (Safety): —The employer pays the full cost of the Kaiser Permanente Plan for employees and their dependents or the annual premium less $600 for non-Kaiser HMO plans. For employees enrolled in a non- Kaiser PPO plan, the City will pay an amount equal to the City's share for the non-Kaiser HMO premium. For dental coverage the City will pay an amount equal to the pre-paid dental premium for the coverage level elected. 3 2014-12-02 Agenda Packet Page 83 Non-Elective Contributions The annual maximum amount available (Eligible Hourly Employees): for each employee for the purchase of group "Employee Only" medical insurance coverage is $1,800. Other plan components of this Section 125 are not available. Elective Contributions (Salary Each Participant may authorize the Reduction): Employer to reduce his or her compensation by the amount needed for the purchase of benefits elected, less the amount of non-elective contributions. An election for salary reduction will be made on the Benefit Election Form or via Employee Online enrollment. F. AVAILABLE BENEFITS Each of the following components should be considered a plan that comprises this Plan. 1. Group Medical Insurance The terms, conditions, and limitations for Mandatory for all benefited the Group Medical Insurance will be as employees except those who are set forth in the insurance policy or policies covered by their City Employee described below: (See Section V of the Spouse or who are in Plan Document). classifications (all groups except CVEA, POA and IAFF) who can provide evidence of other qualified coverage. Medical enrollment is optional for Eligible Hourly Employees. 2. Dental Insurance The terms, conditions and limitations for Optional for all benefited the Dental Insurance will be as set forth in employees. the insurance policy or policies described below: (See Section V of the Plan Group dental insurance is not Document). available to Eligible Hourly Employees. 3. Vision Insurance The terms, conditions and limitations for Optional for all benefited the Vision Insurance will be as set forth in employees. the insurance policy or policies described below: (See Section V of the Plan Group vision insurance is not Document). 4 2014-12-02 Agenda Packet Page 84 available to Eligible Hourly Employees. 4. Dental/MedicalNision The terms conditions and limitations for Reimbursement Account the Dental/MedicalNision (Health Flexible Spending Reimbursement Account will be as set Accounts) forth in Section VI of the Plan Document and described below: Optional for all benefited employees. Minimum Coverage: $0 per Plan Year Health Flexible Spending Maximum Contribution: $2,550 from all Accounts are not available to sources per Plan Year. Eligible Hourly Employees. Recordkeeper: WageWorks 5. Dependent/Child Care The terms conditions and Limitations for Reimbursement Account the Dependent/ Child Care (Dependent Care Flexible Reimbursement Account will be as set Spending Accounts) forth in Section VII of the Plan Document and described below: Optional for all benefited employees. Minimum coverage: $0 per Plan Year Dependent Care Flexible Maximum Coverage: $5,000 per plan year Spending Accounts are not from all sources ($2,500 per plan year from available to Eligible Hourly all sources for a married employee filing Employees. separate tax returns). Recordkeeper: WageWorks 6. Cash Payment Option Any Flex Plan allotment remaining after Optional for all benefited electing mandatory medical coverage employees. may be allotted to this taxable option. Cash Payment Option is not available to ACA eligible hourly employees. 7. The following benefits are only AFLAC Cancer Insurance available through Elective AFLAC Basic Dental Coverage Contributions (Salary AFLAC Intensive Care Insurance Reduction): AFLAC Accident Insurance AFLAC Hospital Indemnity Insurance AFLAC Specified Health Event Insurance 5 2014-12-02 Agenda Packet Page 85 The terms condition and limitations for the AFLAC programs will be as set forth in Section VIII of the Plan Document. Administered by: AFLAC 8. Employee Assistance Program This free and confidential service is available to benefited employees and their household members. The terms condition and limitations for the EAP program will be set forth in Section IX of the Plan Document. Administered by: Aetna Resources for Living (dba Horizon Health EAP — Behavioral Services) The Plan shall be construed, enforced, administered, and the validity determined in accordance with the applicable provisions of the Employee Retirement Income Security Act of 1974 (as amended) if applicable, the Internal Revenue Code of 1986 (as amended), and the laws of the State of California. Should any provision be determined to be void, invalid, or unenforceable by any court of competent jurisdiction, the Plan will continue to operate, and for purposes of the jurisdiction of the court only, will be deemed not to include the provision determined to be void. This Plan is hereby adopted the 9t" day of December, 2014. By: MARY SALAS Title: City Mayor 6 2014-12-02 Agenda Packet Page 86 SECTION 125 CAFETERIA BENEFITS PLAN SECTION 1 PURPOSE The Employer is establishing this Cafeteria Benefits Plan in order to make a broader range of benefits available to its Employees and their Dependents. The Plan allows Employees to choose among different types of benefits and select the combination best suited to their individual goals, desires, and needs. These choices include an option to receive certain benefits in lieu of taxable compensation. In establishing this Plan, the Employer desires to attract, reward, and retain highly qualified, competent employees, and believes this Plan will help achieve that goal. It is the intent of the Employer to establish this Plan in conformity with Section 125 of the Internal Revenue Code of 1986, as amended, and in compliance with applicable rules and regulations issued by the Internal Revenue Service. This Plan will grant to eligible Employees an opportunity to purchase qualified benefits, which when purchased alone by the Employer, would not be taxable. SECTION II DEFINITIONS The following words and phrases appear in this Plan and will have the meaning indicated below unless a different meaning is plainly required by the context: "Administrator" means the Human Resources Department of the City of Chula Vista, or other such person or entity that it appoints as its designee. "Annual Enrollment Period" means the period designated by the Administrator which precedes the commencement of each Plan Year during which Eligible Employees can elect or modify the amount contributed for Benefits. "Applicable Law" means the Internal Revenue Code of 1986, and the same as may be amended from time to time, plus all regulations promulgated with respect thereto. Reference to any section or subsection of the Code includes reference to any comparable or succeeding provision of any legislation which amends, supplements or replaces such section or subsection. "Benefit Election Form" See Enrollment Form. 7 2014-12-02 Agenda Packet Page 87 "Benefit Package Option" means a qualified benefit under Code Section 125 (f) that is offered under the Cafeteria (Flexible) Benefits Plan, or an option for coverage under an underlying health plan (such as an HMO or PPO option under a health plan). "Benefits" or "Qualified Benefits" means the following benefits available under the Flex Plan: (a) Group Medical Insurance (b) Dependent/Child Care Reimbursement Account (c) Dental/Medical/Vision Reimbursement Account (d) Cash Compensation (Post-Tax) (e) Health Premiums for Non-Tax Qualified Dependents (Post- Tax) (f) Vision Insurance (g) Dental Insurance (h) Certain AFLAC Plans available via salary reduction only In order for a benefit to be qualified, a participant must also meet federal and/or state tax requirements, including Code Section 152, etc. "Child" means for these purposes will include (1) a natural child, (2) a stepchild, (3) a legally adopted child, (4) a child placed with the employee for legal adoption, (5) a foster child and (6) a child placed under the legal guardianship of the employee. In addition and in order to comply with OBRA 1993: a child will include a child for whom the employee or covered dependent spouse or Life Partner is required to provide coverage due to a Medical Child Support Order. A Qualified Medical Child Support Order (QMCSO) will also include a judgment, decree or order issued by a court of competent jurisdiction or through an administrative process established under state law and having the force and effect of law. "Code" means the Internal Revenue Code of 1986, as amended. "Dental/Medical/Vision Reimbursement Account" Shall have the meaning assigned to it by Section 6.01 of the Plan attached hereto as Exhibit A. "Dependent" means an individual including: (a) Participant's legal spouse; (b) Life Partner (see definition of Life Partner) (c) Child of the employee, spouse or Life Partner who is under 26 years of age; And (d) Unmarried child of any age who is incapable of self-support due to mental or physical handicap and such handicap began before attainment of limiting age Note: A child who is eligible for an employer-sponsored medical benefits plan where he/she works shall not be eligible for benefits under the City of Chula Vista's 8 2014-12-02 Agenda Packet Page 88 medical plan, even if the child does not elect to be covered under his/her employer's medical benefits plan. "Dependent/Child Care Reimbursement Account" shall have the same meaning assigned to it by Section 6.02 of the Plan Attached hereto as Exhibit A. "Effective Date" of this Flex Plan was June 1998. "Eligible Employee" means any active, full- or part-time employee of the City of Chula Vista employed in a benefited status. "Eligible Hourly Employee" means full-time hourly employee as defined by the Affordable Care Act. "Employee" means an individual that the Employer classifies as active, full-time or part-time, who is on the Employer's W-2 payroll, include elected and appointed officials but does not include the following: (a) any leased employee or an individual classified as a contract worker, independent contractor, temporary employee or casual employee for the period during which such individual is so classified, whether or not any such individuals are on the Employer's W-2 payroll or determined by the IRS or others or be common-law employees of the Employer; (b) any individual who performs services for the Employer but who is paid by a temporary or other employment or staffing agency for the period during which such individual is paid by such agency, whether or not such individual are determined by the IRS or others to be common-law employees of the Employer. "Employer" means the City of Chula Vista. "Enrollment Form" means the form or forms whether paper or electronic provided by the Employer or the Administrator for the purpose of allowing an Eligible Employee to participate in this Cafeteria Benefits Plan by employer contributions and by electing Salary Reductions to pay for Benefits. It includes an agreement pursuant to which an Eligible Employee or Participant authorizes the employer to make Salary Reductions. "Enrollment Period" means the period designated by the Administrator which allows new employees to select Benefits for the current Plan Year and shall be the first 30 days following each new Eligible Employee's hire date. "Entry Date" shall mean the date that an Eligible Employee shall become a Participant: (a) on the first day of the Flex Plan Year if the Eligible Employee's elections are made during the annual Enrollment Period, or (b) on the first day of the pay period coinciding with the receipt of the Enrollment Form by the Employer, provided the new hire makes such request within 30 days after the date of employment, or 9 2014-12-02 Agenda Packet Page 89 (c) on the first day coinciding with the date of satisfying the plan's eligibility requirements. "FMLA" means the Family and Medical Leave Act of 1993, as amended. "Flex Plan Year" means the twelve-month period commencing on January 1 and ending on December 31St "Health Plan" means the group medical, dental and vision plans maintained by the City for its employees, as amended from time to time and are automatically incorporated by reference under this Flex Plan. A Participant may request a copy of the plan(s) from the Human Resources Benefits Division. "HIPAA" Means the Health Insurance Portability and Accountability Act of 1996 as amended. "Life Partner" means: both the employee and their partner are eighteen (18) years of age or older and are capable of consenting to the domestic partnership; neither can be married to another or be a member of another domestic partnership; cannot be related by blood in a way that would prevent them from being married to each other in this state; they must share the same principal place of abode, with the intent to continue doing so indefinitely (this means that both partners share the same residence, however, it is not necessary that the legal right to possess the common residence be in both names); They are jointly financially responsible for "basic living expenses; defined as basic food, water, shelter, and any other basic living expenses. Life partners do not need to contribute equally to the cost of these expenses as long as they agree that both are responsible for the cost; neither have had a different domestic partner in the last six (6) months unless a previous domestic partnership terminated by death. "Non-elective Contribution(s)" means any amount which the Employer, pursuant to Labor Agreements contributes on behalf of each Participant to provide benefits for such Participant and his or her Dependents, if applicable, under one or more of the Benefit Plan Option(s) offered under the Plan. The amount shall be calculated for each plan year in a uniform and nondiscriminatory manner and in the case of POA and IAFF employees will be based upon the Participant's elected coverage dependent status, and for all others may be based on the commencement or termination date of the Participant's employment during the Plan Year, and such other factors as the Employer shall prescribe. To the extent set forth in the Summary Plan Description or enrollment material, the Employer may make non- elective contribution available to Participants and allow Participants to allocate the Non-elective Contributions among the various Benefit Plan Options offered under the Plan in a manner set forth in the Summary Plan Description or enrollment material. In no event will any Non-elective Contribution be disbursed to a Participant in the form of additional, taxable Compensation except as otherwise provided in the Summary Plan Description or enrollment material. 10 2014-12-02 Agenda Packet Page 90 "Participant" means all Eligible Employees. "Period of Coverage" means that portion of the Flex Plan Year for which one is a Participant. In no event shall the period of coverage commence prior to, nor terminate after, the commencement and ending dates of the Flex Plan Year. "Qualified Benefits" means any benefit excluded from the Employee's taxable income under Chapter 1 of the Code other than Sections 106 (b), 117,124, 127 or 132 and any other benefit permitted by the Income Tax Regulations (i.e. any premiums for Life Partners who are not otherwise tax qualified dependents). Long term care is not a "Qualified Benefit" SECTION III ELGIBILITY, ENROLLMENT, AND PARTICIPATION 3.01 ELIGIBILITY: Each Employee of the Employer who has met the eligibility requirements of Item C of the Adoption Agreement will be eligible to participate in the Plan on the entry date specified or the effective date of the Plan, which ever is later. The Employer must notify the Employee of his eligibility to participate in the Plan so that the Employee shall complete the necessary enrollment forms on or before the entry date. 3.02 ENROLLMENT: An eligible Employee may enroll (or re-enroll) in the Plan by submitting to the Employer, during an enrollment period, an Election Form which specifies his or her benefit elections for the Plan Year and which meets such standards for completeness and accuracy as the Employer may establish. A Participant's Election Form shall be completed prior to the beginning of the Plan Year, and shall not be effective prior to the date such form is submitted to the Employer. Any Election Form submitted by a Participant in accordance with this Section shall remain in effect until the earlier of the following dates: the date the Participant terminates participation in the Plan; or, the effective date of a subsequently filed Election Form. A Participant's right to elect certain benefit coverage shall be limited hereunder to the extent such rights are limited in the Policy. Furthermore, a Participant will not be entitled to revoke an election after a period of coverage has commenced and to make a new election with respect to the remainder of the period of coverage unless both the revocation and the new election are on account of and consistent with a change in status, or other allowable events, as determined by Section 125 of the Internal Revenue Code and the regulations thereunder. Notwithstanding anything to the contrary herein, to the extent required by the Health Insurance Portability and Accountability Act of 1996, the Plan shall permit special enrollment period for employees who have previously declined coverage under the Plan; a new dependent may also justify a special enrollment period. 11 2014-12-02 Agenda Packet Page 91 3.03 DEFAULT ENROLLMENT: (a) Employees of the CVEA, WCE, MAYOR, COUNCIL, CITY ATTORNEY, CITY CLERK, EXECUTIVE, SENIOR MANAGER, MID-MANAGER, MID- MANAGER CONFIDENTIAL, MID-MANAGER UNCLASSIFIED, PROFESSIONAL, PROFESSIONAL CONFIDENTIAL, PROFESSIONAL UNCLASSIFIED, AND CONFIDENTIAL employee groups who fail to make their elections during Open Enrollment will have their current medical and life insurance automatically continued in to the next Plan year as if the Employee elected to keep them. All other coverage, including dental, vision and reimbursement accounts will stop. Any Flex Allotment funds remaining after the health coverage election will be placed in the taxable cash option. In the case of a newly eligible employee, failure to turn in the completed enrollment forms within 30 days from eligibility date will result in automatic enrollment in the least costly medical coverage for employee only with any remaining funds placed in the taxable Cash Payment Option. (b) POA and IAFF employees who fail to make their benefit elections either within 30 days of their eligibility date or during open enrollment will only be enrolled in the Kaiser Employee Only plan. 3.04 TERMINATION OF PARTICIPATION: A Participant's coverage will stop on the last day of the month in which eligibility ends for any of the following reasons: a. The date the Participant terminates employment by death, disability, retirement or other separation from service; or b. The date the Participant ceases to work for the Employer as an eligible Employee; C. The date of termination of the Plan; d. The first date a Participant fails to pay required contributions while on a leave of absence, or e. The date an employee is on a leave of absence without benefits. Dependent coverage will end the earlier of the last day the employee's coverage ends or on the last day of the month in which he or she is no longer an eligible dependent. 12 2014-12-02 Agenda Packet Page 92 3.05 SEPARATION FROM SERVICE: The Employer shall, on a reasonable and consistent basis, permit an Employee who separates from the employment service of the Employer during a Plan Year to revoke his existing elections and terminate the receipt of benefits for the remaining portion of the Plan Year. 3.06 QUALIFYING LEAVE UNDER FAMILY AND MEDICAL LEAVE ACT: Notwithstanding any provision to the contrary in this Plan, if a Participant goes on a qualifying paid or unpaid leave under the Family and Medical Leave Act of 1993 (FMLA), to the extent required by the FMLA, the Employer will continue to maintain the Participant's existing coverage under the Plan with respect to the benefits under Section V and Section VI of the Plan on the same terms and conditions as though they were still an active Employee. If the Employee fails to return to work after such leave for any reason other than the serious illness of the employee or the family member for whom the leave was granted or through no fault of the employee, they will be required to pay all Cafeteria Benefits Plan monies paid to them, or on their behalf during the absence. 3.07 COVERAGE WHILE ON A LEAVE OF ABSENCE WITH BENEFITS: Employees who are authorized to take a leave with benefits (e.g. Military Leave as approved by the City Council) will continue to be covered under the Plan until the expiration of their leave. 3.08 COVERAGE WHILE ON A LEAVE OF ABSENCE WITHOUT BENEFITS: Employees on an unpaid leave of absence for any reason other than those under Section 3.06 and 3.07 are no longer eligible for participation in the Plan. If an employee returns from an unpaid leave of absence without benefits, the date the coverage is reinstated will depend on the employee's date of return. If the employee returns to work on or before the 15th of the month, coverage will be reinstated retroactive to the first of the month. If an employee returns after the 15th of the month, coverage will be reinstated the first of the following month. 13 2014-12-02 Agenda Packet Page 93 SECTION IV CONTRIBUTIONS 4.01 EMPLOYER CONTRIBUTIONS: The Employer may pay the costs of the benefits elected under the Plan with funds from the sources indicated in Item E of the Adoption Agreement. The Employer Contribution may be made up of Non-Elective Contributions and/or Elective Contributions authorized by each Participant. 4.02 IRREVOCABILITY OF ELECTIONS: A Participant may file a written election form with the Administrator before the end of the current plan year revising the rate of his contributions or discontinuing such contributions effective as of the first day of the following Plan Year. The Participant's Elective Contributions will automatically terminate the date his employment terminates. Except as provided in this Section 4.02 and Section 4.03, a Participant's election under the Plan is irrevocable for the duration of the plan year to which it relates. The exceptions to the irrevocability requirement which would permit a mid-year election change in benefits and the salary reduction amount elected are set out in the Treasury regulations promulgated under Code Section 125, which include the following: (a) Change in Status. A Participant may change or revoke his election under the Plan upon the occurrence of a valid change in status, but only if such change or termination is made on account of, and is consistent with, the change in status in accordance with the Treasury regulations promulgated under Section 125. The Employer, in its sole discretion as Administrator, shall determine whether a requested change is on account of and consistent with a change in status, as follows: (1) Change in Employee's legal marital status, including marriage, divorce, death of spouse, legal separation, and annulment; (2) Change in number of Dependents, including birth, adoption, placement for adoption, and death; (3) Change in employment status, including any employment status change affecting benefit eligibility of the Employee, spouse or Dependent, such as termination or commencement of employment, change in hours, strike or lockout, a commencement or return from an unpaid leave of absence and change in work site. If the eligibility for either the Cafeteria Plan or any underlying benefit plans of the Employer of the Employee, spouse or Dependent relies on the employment status of that individual, and there is a change in that individual's employment status resulting in gaining or losing eligibility under the Plan, this constitutes a valid change in status. This category only applies if the benefit eligibility is lost or gained as a result of the event. If an Employee terminates and is rehired within 30 days, the Employee is required to step back into his previous election. If the 14 2014-12-02 Agenda Packet Page 94 Employee terminates and his rehired after 30 days, the Employee may either step back into the previous election or make a new election; (4) Dependent satisfies, or ceases to satisfy, Dependent eligibility requirements; and (5) Resident change of Employee, spouse or Dependent, affecting the Employee's eligibility for coverage. (b) Special HIPAA Enrollment Rights. If a Participant or a Participant's Dependent enrolls in the health insurance plan pursuant to special enrollment rights under HIPAA, the Participant may make a corresponding change in election under this Plan. Special enrollment rights under the health insurance plan will be determined by the terms of the health insurance plan. (c) Certain Judgments, Decrees or Orders. If a judgment, decree or order resulting from a divorce, legal separation, annulment or change in legal custody (including a qualified medical child support order [QMCSO]) requires accident or health coverage for a Participant's child or for a foster child who is a dependent of the Participant, the Participant may have a mid-year election change to add or drop coverage consistent with the Order. (d) Entitlement to Medicare or Medicaid. If a Participant or a Participant's Dependent who is enrolled in an accident or health plan of the Employer becomes entitled to Medicare or Medicaid (other than coverage consisting solely of benefits under Section 1928 of the Social Security Act providing for pediatric vaccines), the Participant may cancel or reduce health coverage under the Employer's Plan. Loss of Medicare or Medicaid entitlement would allow the Participant to add health coverage under the Employer's Plan. (e) Family and Medical Leave Act. If an Employee is taking leave under the rules of the Family and Medical Leave Act, the Employee may revoke previous elections and re-elect benefits upon return to work. 4.03 OTHER EXCEPTIONS TO THE IRREVOCABILITY OF ELECTIONS. Other exceptions to the irrevocability of election requirement permit mid-year election changes and apply to all qualified benefits except for Dental/Medical/Vision Reimbursement Plan, as follows: (a) Change in Cost. If the cost of a benefit package option under the Plan significantly increases during the plan year, Participants may (i) make a corresponding increase in their salary reduction amount, (ii) revoke their elections and make a prospective election under another benefit option offering similar coverage, or (iii) revoke election completely if no similar coverage is available, including in spouse or dependent's plan. If the cost significantly decreases, employees may elect coverage even if they had not previously participated and may drop their previous election for a similar coverage option in order to elect the benefit package option that has 15 2014-12-02 Agenda Packet Page 95 decreased in cost during the year. If the increased or decreased cost of a benefit package option under the Plan is insignificant, the participant's salary reduction amount shall be automatically adjusted. (b) Significant curtailment of coverage. (i.) With no loss of coverage. If the coverage under a benefit package option is significantly curtailed or ceases during the Plan Year, affected Participants may revoke their elections for the curtailed coverage and make a new prospective election for coverage under another benefit package option providing similar coverage. (ii.) With loss of coverage. It there is a significant curtailment of coverage with loss of coverage, affected Participants may revoke election for curtailed coverage and make a new prospective election for coverage under another benefit package option providing similar coverage, or drop coverage if no similar benefit package option is available. (c) Addition or Significant Improvement of Benefit Package Option. If during the Plan Year a new benefit package option is added or significantly improved, eligible employees, whether currently participating or not, may revoke their existing election and elect the newly added or newly improved option. (d) Change in Coverage of a Spouse or Dependent Under Another Employer's Plan. If there is a change in coverage of a spouse, former spouse, or Dependent under another employer's plan, a Participant may make a prospective election change that is on account of and corresponds with a change made under the plan of the spouse or Dependent. This rule applies if (1) mandatory changes in coverage are initiated by either the insurer of spouse/dependent's plan or by the spouse/dependent's employer, or (2) option changes are initiated by the spouse/dependent's employer or by the spouse/dependent through open enrollment. (e) Loss of coverage under other group health coverage. If during the Plan Year coverage is lost under any group health coverage sponsored by a governmental or educational institution, a Participant may prospectively change his or her election to add group health coverage for the affected Participant or his or her dependent. (f) Coverage through Covered California Plan. An employee may revoke election under the City group health plan if the employee qualifies for Special Enrollment Period under the Covered California Plan (Marketplace). The employee's revocation must correspond to his or her intended enrollment. The Covered California Plan must begin by the day immediately following the last day of the revoked coverage. 16 2014-12-02 Agenda Packet Page 96 4.04 CASH BENEFIT: Available amounts not used for the purchase of benefits under this Plan may be considered a cash benefit under the Plan payable to the Participant as taxable income to the extent indicated in Item E of the Adoption Agreement. 4.05 PAYMENT FROM EMPLOYER'S GENERAL ASSETS: Payment of benefits under this Plan shall be made by the Employer from Elective Contributions which shall be held as part of its general assets. 4.06 EMPLOYER MAY HOLD ELECTIVE CONTRIBUTIONS: Pending payment of benefits in accordance with the terms of this Plan, Elective Contributions may be retained by the Employer in a separate account, or if elected by the Employer and as permitted or required by regulations of the Internal Revenue Service, Department of Labor or other governmental agency, such amounts of Elective Contributions my be held in a trust pending payment. 4.07 MAXIMUM EMPLOYER CONTRIBUTIONS: With respect to each Participant, the maximum amount made available to pay benefits for any Plan Year shall not exceed the Employer's Contribution specified in the Adoption Agreement and as provided in this Plan. SECTION V GROUP MEDICAL INSURANCE BENEFIT PLAN 5.01 PURPOSE: These benefits provide the group medical insurance benefits to Participants. 5.02 ELIGIBILITY: Eligibility will be required in Items F(1), F(2), and F(3) of the Adoption Agreement. 5.03 DESCRIPTION OF BENEFITS: The benefits available under this Plan will be as defined in items F(1), F(2), and F(3) of the Adoption Agreement. 5.04 TERMS, CONDITONS AND LIMITATIONS: The terms, conditions and limitations of the benefits offered shall be as specifically described in the Policy identified in the Adoption Agreement. 5.05 COBRA: To the extent required by Section 4980B of the Code and Sections 601 through 607 of ERISA, Participants and Dependents shall be entitled to continued participation in this Group Medical Insurance Benefit Plan by contributing monthly (subject to taxation) 102% of the amount of the premium for the desired benefits during the period that such individual is entitled to elect continuation coverage, provided, however, in the event the continuation period is extended to 29 months due to disability, the premium to be paid for 17 2014-12-02 Agenda Packet Page 97 the continuation coverage for the 11 month extension period shall be 150% of the applicable premium. 5.06 SECTION 105 AND 106 PLAN: It is the intention of the Employer that these benefits shall be eligible for exclusion from the gross income of the Participants covered by this benefit plan, as provided in Code Sections 105 and 106, and all provisions of this benefit plan shall be construed in a manner consistent with that intention. It is also the intention of the Employer to comply with the provision of the Consolidated Omnibus Budget Reconciliation Act of 1985 as outlined in the policies identified in the Adoption Agreement. However, eligibility for tax qualified benefits will be subject to all state and federal regulations. In order to receive tax free benefits, a participant must meet all other state and federal eligibility guidelines. 5.07 CONTRIBTUIONS: Contributions for these benefits will be provided by the Employer on behalf of a Participant as provided for in Item E of the Adoption Agreement. 5.08 UNIFORMED SERVICES EMPLOYMENT AND REEMPLOYMENT RIGHTS ACT: Notwithstanding anything to the contrary herein, the Group Medical Insurance Benefit Plan shall comply with the applicable provision of the Uniformed Services Employment and Reemployment Rights Act of 1994. SECTION VI DENTAL/MEDICAL/VISION REIMBURSEMENT PLAN 6.01 The Plan Document for this option is included in the attached Exhibit A and is incorporated by reference. SECTION VII DEPENDENT/CHILD CARE REIMBURSEMENT PLAN 7.01 The Plan Document for this option is included in the attached Exhibit A and is incorporated by reference. 18 2014-12-02 Agenda Packet Page 98 SECTION VIII AFLAC CANCER, BASIC DENTAL COVERAGE, ACCIDENT INSURANCE, HOSPITAL INDEMNITY INSURANCE, SPECIFIED HEALTH EVENT INSURANCE 8.01 The Plan Document for these options is included in the attached Exhibit B and is incorporated by reference. SECTION IX EMPLOYEE ASSISTANCE PROGRAM 9.01 The Plan Document for this benefit is included in the attached Exhibit C and is incorporated by reference. SECTION X AMENDMENT AND TERMINATION 10.01 AMENDMENT: The Employer shall have the right at any time, and from time to time, to amend, in whole or in part, any or all of the provisions of this Plan, provided that no such amendment shall change the terms and conditions of payment of any benefits to which Participants and covered dependents otherwise have become entitled to under the provisions of the Plan, unless such amendment is made to comply with federal or local laws or regulations. The Employer also shall have the right to make any amendment retroactively, which is necessary to bring the Plan into conformity with the Code. In addition, the Employer may amend any provision or any supplements to the Plan and may merge or combine supplements or add additional supplement to the Plan, or separate existing supplements into an additional number of supplements. 10.02 TERMINATION: The Employer shall have the right at any time to terminate this Plan, provided that such termination shall not eliminate any obligations of the Employer which therefore have arise under the Plan. 19 2014-12-02 Agenda Packet Page 99 SECTION XI ADMINISTRATION 11.01 NAMED FIDUCIARIES: The Administrator shall be the fiduciary of the Plan. 11.02 APPOINTMENT OF RECORDKEEPER: The Employer may appoint a Reimbursement Recordkeeper which shall have the power and responsibility of performing Recordkeeping and other ministerial duties arising under the Dental/Medical/Vision Reimbursement Plan and the Dependent/Child Care Reimbursement Plan provisions of this Plan. The Reimbursement Recordkeeper shall serve at the pleasure of, and may be removed by, the Employer without cause. The Recordkeeper shall receive reasonable compensation for its services as shall be agreed upon from time to time between the Administrator and the Recordkeeper. 11.03 POWERS AND RESPONSIBILITIES OF ADMINISTRATOR: a. General. The Administrator shall be vested with all powers and authority necessary in order to amend and administer the Plan, and is authorized to make such rules and regulations as it may deem necessary to carry out the provisions of the Plan. The Administrator shall determine any questions arising in the administration (including all questions of eligibility and determination of amount, time and manner of payments of benefits), construction, interpretation and application of the Plan, and the decision of the Administrator shall be final and binding on all persons. b. Recordkeeping. The Administrator shall keep full and complete records of the administration of the Plan. The Administrator shall prepare such reports and such information concerning the Plan and the administration thereof by the Administrator as may be required under the Code or ERISA and the regulation promulgated thereunder. C. Inspection of Records. The Administrator shall, during normal business hours, make available to each Participant for examination by the Participant at the principal office of the Administrator a copy of the Plan and such records of the Administrator as may pertain to such Participant. No Participant shall have the right to inquires as to or inspect the accounts or records with respect to other Participants. 11.04 COMPENSATION AND EXPENSES OF ADMINISTRATOR: The Administrator shall serve without compensation for services as such. All expenses of the Administrator shall be paid by the Employer. Such expenses shall include any expense incident to the functioning of the Plan, including, but not limited to, attorneys' fees, accounting and clerical charges, actuary fees and other costs of administering the Plan. 20 2014-12-02 Agenda Packet Page 100 11.05 LIABILITY OF ADMINISTRATOR: Except as prohibited by law, the Administrator shall not be liable personally for any loss or damage or depreciation which may result in connection with the exercise of duties or of discretion hereunder or upon any other act or omission hereunder except when due to willful misconduct. In the event the Administrator is not covered by fiduciary liability insurance or similar insurance arrangements, the Employer shall indemnify and hold harmless the Administrator from any and all claims, losses, damages, expenses, (including reasonable counsel fees approved by the Administrator) and liability (including any reasonable amounts paid in settlement with the Employer's approval) arising from any act or omission of the Administrator, except when the same is determined to be due to the willful misconduct of the Administrator by a court of competent jurisdiction. 11.06 DELEGATION OF RESPONSIBILITY: The Administrator shall have the authority to delegate, from time to time, all or any part of its responsibilities under the Plan to such person or persons as it may deem advisable and in the same manner to revoke any such delegation of responsibility which shall have the same force and effect for all purposes hereunder as if such action had been taken by the Administrator. The Administrator shall not be liable for any acts or omissions of any such delegate. The delegate shall report periodically to the Administrator concerning the discharge of the delegated responsibilities. 11.07 RIGHT TO RECEIVE AND RELEASE NECESSARY INFORMATION: The Administrator may release or obtain any information necessary for the application, implementation and determination of this Plan or other Plans without consent or notice to any person. This information may be released to or obtained from any insurance company, organization, or person subject to applicable law. Any individual claiming benefits under this Plan shall furnish to the Administrator such information as may be necessary to implement this provision. 11.08 CLAIM FOR BENEFITS: To obtain payment of any benefits under the Plan a Participant must comply with the rules and procedures of the particular benefit program elected pursuant to this Plan under which the Participant claims a benefit. 11.09 PROTECTED HEALTH INFORMATION: The provisions of this Section shall be effective on April 14, 2004 or at such other date required by 45 CFR Section 164.534. The Plan may disclose PHI to employees of the Employer with employee benefits responsibility or to employees with oversight responsibility for third party administrator claims administration. Access to and use by such individual must be restricted to plan administration functions that the plan sponsor performs for the Plan. The applicable claims 21 2014-12-02 Agenda Packet Page 101 procedures under the Plan shall be used to resolve any issues of non- compliance by such individuals. The Plan may disclose PHI to such individual only if the Employer certifies that the Plan documents have been amended to incorporate the following specific provisions, and the Employer agrees to comply with them. The Employer will: • Not use or further disclose PHI other than as permitted by the plan documents or as required by law; • Ensure that any agents or subcontractors to whom it provides PHI received from the Plan agree to the same restrictions and conditions that apply to the Employer; • Not use or disclose PHI for employment-related actions or in connection with any other employee benefit plan; • Report to the Plan any use of disclosure of the information that is inconsistent wit the permitted uses or disclosures; • Make available to Plan participants, consider their amendments, and upon their request, provide them with an accounting of PHI disclosures; • Make its internal practices and records relating to the use and disclosure of PHI received from the Plan available to the Department of Health and Human Services upon request; and • Will, if feasible, return or destroy all PHI received from the Plan that the Employer still maintains in any form and retain no copies of such information when no longer needed for the purposes for which the disclosure was made, except that, if such return or destruction is not feasible, limit further uses no disclosure to those purposes that make the return or discretion o the information infeasible. For purposes of this Section, "PHI" is "Protected Health Information" as defined in 45 CFR Section 164.501, which is individually identifiable health information that is maintained or transmitted any a covered entity, as defined in 45 CFR Section 16.4104. 22 2014-12-02 Agenda Packet Page 102 SECTION XII MISCELLANEOUS PROVISIONS 12.01 FORMS AND PROOFS: Each Participant or Participant's Beneficiary eligible to receive any benefit hereunder shall complete such forms and furnish such proofs, receipts, and release as shall be required by the Administrator. 12.02 NON-ASSIGNABILITY: No benefit under the Plan shall be liable for any debt, liability, contract, engagement or tort of any Participant or his Beneficiary, nor be subject to charge, anticipation, sale, assignment, transfer, encumbrance, pledge, attachment, garnishment, execution or other voluntary or involuntary alienation or other legal or equitable process, nor transferability by operation of law. 12.03 CONSTRUCTION: (a) Words used herein in the masculine or feminine gender shall be construed as the feminine or masculine gender, respectively where appropriate. (b) Words used herein in the singular or plural shall be construed as the plural or singular, respectively, where appropriate. 12.04 NONDISCRIMINATION: In accordance with Code Section 125(b)(1), (2), and (3), this Plan is intended not to discriminate in favor of Highly Compensated Participants (as defined in Code Section 125(e)(1) as to contributions and benefits nor to provide more that 25% of all qualified benefits to Key Employees. If, in the judgment of the Administrator, more than 25% of the total non-taxable benefits are provided to Key Employees, or the Plan discriminates in any other manner (or is at a risk of possible discrimination), then notwithstanding any other provision contained herein to the contrary, and in accordance with the applicable provision of the Code, the Administrator shall, after written notification to affected Participants, reduce or adjust such contributions and benefits under the Plan as shall be necessary to insure that, in the judgment of the Administrator, the Plan shall not be discriminatory. 12.05 ERISA The Plan shall be construed, enforced, and administered and the validity determined in accordance with the applicable provision of the Employee Retirement Income Security Act of 1974 (as amended), the Internal Revenue Code of 1986 (as amended), and the laws of the State indicated in the Adoption Agreement. Notwithstanding anything to the contrary herein, the provisions of ERISA will not apply to this Plan if the Plan is exempt from coverage under ERISA. Should any provisions be determined to be void, invalid, or unenforceable by any court of competent jurisdiction, the Plan will continue to operate, and for purposes of the jurisdiction of the court only will be deemed not to include the provision determined to be void. 23 2014-12-02 Agenda Packet Page 103 EXHIBIT CM OF CHULA VISTA DENTAL/MEDICAL/VISION AND DEPENDENT/CHILD CARE REIMBURSEMENT ACCOUNTS PLAN DOCUMENT Amended and Restated as of January 1, 2015 Human Resources Department City of Chula Vista 2014-12-02 Agenda Packet Page 104 CITY OF CHULA VISTA FLEXIBLE BENEFITS PLAN SUMMARY PLAN DESCRIPTION TABLE OF CONTENTS CAFETERIA PLAN COMPONENT SUMMARY..................................................................................2 Q-1. What is the purpose of the Cafeteria Plan?.............................................................................2 Q-2. Who can participate in the Cafeteria Plan?.............................................................................2 Q-3. How do I become a participant?.............................................................................................2 Q-4. When does my participation in the Cafeteria Plan end?.........................................................3 Q-5. What are tax advantages and disadvantages of participating in the Cafeteria Plan?..............3 Q-6. What are the election periods for entering the Cafeteria Plan? ..............................................4 Q-7. Under what circumstances can I change my election during the Plan Year?.........................5 Q-8. How is my Benefit Plan Option coverage paid for under this Cafeteria Plan?.......................5 Q-9. What happens to my participation under the Cafeteria Plan if I take a leave of absence?.....6 Q-10. How long will the Cafeteria Plan remain in effect?................................................................7 Q-11. What happens if my request for a benefit under this Cafeteria Plan is denied?.....................7 HEALTH CARE SPENDING ACCOUNT COMPONENT SUMMARY.............................................8 Q-1. Who can participate in the Health Care Spending Account?..................................................8 Q-2. How do I become a Participant?.............................................................................................8 Q-3. What is my Health Care Spending Account?.........................................................................9 Q-4. When does my coverage under the Health Care Spending Account end?..............................9 Q-5. Can I ever change my Health Care Spending Account election?...........................................9 Q-6. What happens to my Health Care Spending Account if I take an approved leave of absence?................................................................................................................................10 Q-7. What is the maximum annual Health Care Spending Account amount that I may elect under the Health Care Spending Account, and how much will it cost?...............................10 Q-8. How are Health Care Spending Account benefits paid for under this Plan?........................10 Q-9. What amounts will be available for Health Care Spending Account Reimbursement at any particular time during the Plan Year?............................................................................10 Q-10. How do I receive reimbursement under the Health Care Spending Account?.....................11 Q-11. What is an`Eligible Medical Expense?................................................................................11 Q-12. When must the expenses be incurred in order to receive reimbursement?...........................12 Q-13. What if the "Eligible Medical Expenses" I incur during the Plan Year are less than the annual amount I have elected for the Health Care Spending Account Reimbursement?.....13 Q-14. What happens if a Claim for Benefits under the Health Care Spending Account is denied?..................................................................................................................................13 Q-15. What happens to unclaimed Health Care Spending Account Reimbursements? .................14 Q-16. What is continuation coverage?............................................................................................14 Q-17. Will my health information be kept confidential?................................................................16 Q-18. How long will the Health Care Spending Account remain in effect? ..................................16 DEPENDENT CARE SPENDING ACCOUNT COMPONENT SUMMARY....................................18 i 2014-12-02 Agenda Packet Page 105 Q-1. Who can participate in the Dependent Care Spending Account?.........................................18 Q-2. How do I become a Participant?...........................................................................................18 Q-3. What is my"Dependent Care Spending Account?".............................................................18 Q-4. When does my coverage under the Dependent Care Spending Account end?.....................18 Q-5. Can I ever change my Dependent Care Spending Account election? ..................................19 Q-6. What happens to my Dependent Care Spending Account if I take an unpaid leave of absence?................................................................................................................................19 Q-7. What is the maximum annual Dependent Care Spending Account Reimbursement that I may elect under the Dependent Care Spending Account?....................................................19 Q-8. How do I pay for Dependent Care Spending Account Reimbursements?............................20 Q-9. What is an `Eligible Employment-Related Expense" for which I can claim a reimbursement? ....................................................................................................................20 Q-10. How do I receive reimbursement under the Dependent Care Spending Account?...............21 Q-11. When must the expenses be incurred in order to receive reimbursement?...........................22 Q-12. What if the "Eligible Employment-Related Expenses" I incur during the Plan Year are less than the annual amount of coverage I have elected for Dependent Care Spending AccountReimbursement?.....................................................................................................23 Q-13. Will I be taxed on the Dependent Care Spending Account benefits I receive?....................23 Q-14. If I participate in the Dependent Care Spending Account,will I still be able to claim the household and dependent care credit on my federal income tax return?..............................23 Q-15. What is the household and dependent care credit?...............................................................23 Q-16. What happens to unclaimed Dependent Care Spending Account Reimbursements?...........24 Q-17. What happens if my claim for reimbursement under the Dependent Care Spending Accountis denied?................................................................................................................24 Q-18 How long will the Dependent Care Spending Account remain in effect?............................24 PLAN INFORMATION SUMMARY.....................................................................................................25 A. Employer/Plan Sponsor Information....................................................................................25 B. Cafeteria Plan Component Information................................................................................26 C. Health Care Spending Account Component Information.....................................................28 D. Dependent Care Spending Account Component Information..............................................30 APPENDIX I—CLAIMS REVIEW PROCEDURE..............................................................................31 APPENDIX II—TAX ADVANTAGES EXAMPLE..............................................................................33 APPENDIX III—ELECTION CHANGE CHART................................................................................34 ii 2014-12-02 Agenda Packet Page 106 CITY OF CHULA VISTA FLEXIBLE BENEFITS PLAN SUMMARY PLAN DESCRIPTION("SPD") City of Chula Vista (the "Employer") is pleased to sponsor an employee benefit program known as a "Flexible Benefits Plan" (the "Plan") for you and your fellow employees. It is so-called because it lets you choose from several different employee benefit plans (which we refer to as "Benefit Plan Options") according to your individual needs,and allows you to use pretax dollars to pay for them by entering into a salary reduction arrangement with the Employer. This Plan helps you because the benefits you elect are nontaxable (e.g., you save social security and income taxes on the amount of your salary reduction). Alternatively, to the extent described in your enrollment materials, you may choose to pay for any of the available benefits with After-tax Contributions as deductions from your salary. This Plan has three components: i. A Cafeteria Plan Component. The Cafeteria Plan Component allows you to pay your share of certain underlying welfare benefit plans (called "Benefit Plan Options") with Pretax Contributions. ii. The Health Care Spending Account ("HCSA"). The HCSA allows you to elect to use a specified amount of Pretax Contributions to be used for reimbursement of Eligible Medical Expenses. The HCSA is intended to qualify as a Code Section 105 self-insured medical reimbursement Plan. iii. The Dependent Care Spending Account ("DCSA"). The DCSA allows you to elect to use a specified amount of Pretax Contributions to be used for reimbursement of Eligible Employment-Related Expenses. The DCSA is intended to qualify as a Code Section 129 dependent care assistance plan. Each of the three components is summarized in this document. Information relating to the Plan that is specific to your Employer is described in the Plan Information Summary. For example, you can fmd the identity of the Third Party Administrator, the Employer, and the Plan Administrator in the Plan Information Summary as well as the Plan Number and any applicable contact information. Each summary and the attached Appendices constitute the Summary Plan Description for the Cafeteria Plan. The SPD (collectively, the Summary Plan Description or"SPD") describes the basic features of the Plan, how it operates, and how you can get the maximum advantage from it. The Plan is also established pursuant to a plan document into which this SPD has been incorporated. However, if there is a conflict between the official plan document and the SPD, the plan document will govern. Certain terms in this Summary are capitalized. Capitalized terms reflect important terms that are specifically defined in this Summary or in the Plan Document into which this Summary is incorporated. You should pay special attention to these terms as they play an important role in defining your rights and responsibilities under this Plan. Participation in the Plan does not give any Participant the right to be retained in the employment of his or her Employer or any other right not specified in the Plan. If you have any questions regarding your rights and responsibilities under the Plan, you may also contact the Plan Administrator(who is identified in the Plan Information Summary). 1 2014-12-02 Agenda Packet Page 107 CITY OF CHULA VISTA FLEXIBLE BENEFITS PLAN SUMMARY PLAN DESCRIPTION Cafeteria Plan Component Summary Q-1. What is the purpose of the Cafeteria Plan? The purpose of the Cafeteria Plan is to allow eligible Employees to pay for certain benefit plans called "Benefit Plan Options" with pretax dollars called "Pretax Contributions." The Benefit Plan Options to which you may contribute with Pretax Contributions under this Cafeteria Plan are described in the Plan Information Summary. Pretax Contributions are described in more detail below. Q-2. Who can participate in the Cafeteria Plan? Each Employee of the Employer(or an Affiliated Employer listed in the Plan Information Summary)who (i) satisfies the Cafeteria Plan Eligibility Requirements and (ii) is also eligible to participate in any of the Benefit Plan Options,will be eligible to participate in this Cafeteria Plan. If you meet these requirements, you may become a Participant on the Cafeteria Plan Eligibility Date. The Cafeteria Plan Eligibility Requirements and Eligibility Date are described in the Plan Information Summary. Those Employees who actually participate in the Cafeteria Plan are called"Participants." The terms of eligibility of this Cafeteria Plan do not override the terms of eligibility of each of the Benefit Plan Options. In other words, if you are eligible to participate in this Cafeteria Plan, it does not necessarily mean you are eligible to participate in the Benefit Plan Options. For the details regarding eligibility provisions, benefit amounts, and premium schedules for each of the Benefit Plan Options, please refer to the plan summary of each of the Benefit Plan Options. If you do not have a summary for each of the Benefit Plan Options, you should contact the Plan Administrator for information on how to obtain a copy. You may only pay for the coverage of yourself and your tax dependents; however, for health plan purposes and the Health Care Spending Account), a Dependent is any child of yours who as of the end of the taxable year has not attained age twenty-seven (27)), even if he/she is married or is not a tax dependent. Q-3. How do I become a Participant? If you have otherwise satisfied the Cafeteria Plan Eligibility Requirements, you become a Participant by signing an individual Salary Reduction Agreement (sometimes referred to as an "Election Form") on which you agree to pay for the Benefit Plan Options that you choose with Pretax Contributions. You will be provided with a Salary Reduction Agreement or Election Form on or before your Cafeteria Plan Eligibility Date. You must complete the form and submit it to the Plan Administrator or its designated Third Party Administrator (as indicated on or with the Salary Reduction Agreement), during one of the election periods described in Q-6 below. You may also enroll during the year if you previously elected not to participate and you experience a change described below that allows you to become a Participant during the year. If that occurs,you must complete an Election Change Form during the Election Change Period described in Q-7 below. In no event can you become a Participant in this Cafeteria Plan prior to the date you complete and properly submit the Salary Reduction Agreement to the appropriate person(s). 2 2014-12-02 Agenda Packet Page 108 In some cases, the Employer may require you to pay your share of the Benefit Plan Option coverage that you elect with Pretax Contributions. If that is the case, your election to participate in the Benefit Plan Options(s)will constitute an election under this Cafeteria Plan. Enrollment may also be accomplished via telephone, voice response technology, electronic communication, web or online enrollment systems, or any other method prescribed by the Plan Administrator. Q-4. When does my participation in the Cafeteria Plan end? Your coverage under the Cafeteria Plan ends on the earliest of the following to occur: a. The date that you make an election not to participate in accordance with this Cafeteria Plan Component Summary; b. The date you no longer satisfy the Eligibility Requirements of this Cafeteria Plan or all of the Benefit Plan Options; c. The date that you terminate employment with the Employer; or d. The date that the Cafeteria Plan is either terminated or amended to exclude you or the class of Employees of which you are a member. If your employment with the Employer is terminated during the Plan Year or you otherwise cease to be eligible, your active participation in the Cafeteria Plan will automatically cease, and you will not be able to make any more Pretax Contributions under the Cafeteria Plan except as otherwise provided pursuant to Employer policy or individual arrangement (e.g., a severance arrangement where the former Employee is permitted to continue paying for a Benefit Plan Option out of severance pay on a pretax basis). If you are rehired within the same Plan Year and are eligible for the Cafeteria Plan (or you become eligible again), you may make new elections, if you are rehired or become eligible again more than 30 days after you terminated employment or lost eligibility (subject to any limitations imposed by the Benefit Plan Option(s)). If you are rehired or again become eligible within 30 days or less of your termination date, your Cafeteria Plan elections that were in effect when you terminated employment or stopped being eligible will be reinstated and remain in effect for the remainder of the Plan Year(unless you are allowed to change your election in accordance with the terms of the Plan). Q-5. What are tax advantages and disadvantages of participating in the Cafeteria Plan? You save both federal income tax and FICA(Social Security)taxes by participating in the Cafeteria Plan. There is an example in Appendix II that illustrates the tax savings you might experience as a result of participating in the Cafeteria Plan. Participation in the Cafeteria Plan will reduce the amount of your taxable compensation. Accordingly, there could be a decrease in your Social Security benefits and/or other benefits (e.g., pension, disability, and life insurance)that are based on taxable compensation. 3 2014-12-02 Agenda Packet Page 109 Q-6. What are the election periods for entering the Cafeteria Plan? The Cafeteria Plan basically has three election periods: (i) the "Initial Election Period," (ii) the "Annual Election Period,"and (iii)the"Election Change Period,"which is the period following the date you have a Change in Status Event. The following is a summary of the Initial Election Period and the Annual Election Period. Q-6a. What is the Initial Election Period? If you want to participate in the Cafeteria Plan when you are first hired, you must enroll during the"Initial Election Period"described in the enrollment materials you will receive. If you make an election during the Initial Election Period, your participation in this Cafeteria Plan will begin on the later of your Eligibility Date or the first pay period coinciding with or next following the date that your election is received by the Plan Administrator (or its designated Third Party Administrator). The effective date of coverage under the Benefit Plan Options will be effective on the date established in the governing documents of the Benefit Plan Options. The election that you make during the Initial Election Period is effective for the remainder of the Plan Year and generally cannot be changed during the Plan Year unless you have a Change in Status Event described in 0-7 below. If you do not make an election during the Initial Election Period, you will be deemed to have elected not to participate in this Cafeteria Plan for the remainder of the Plan Year. Failure to make an election under this Cafeteria Plan generally results in no coverage under the Benefit Plan Options; however, the Employer may provide coverage under certain Benefit Plan Options automatically. These automatic benefits are called"Default Benefits." Any Default Benefit provided by your Employer will be identified in the enrollment materials. In addition, your share of the contributions for such Default Benefits may be automatically withdrawn from your pay on a pretax basis. You will be notified in the enrollment materials whether there will be a corresponding Pretax Contribution for such default benefits. Q-6b. What is the Annual Election Period? The Cafeteria Plan also has an"Annual Election Period"during which you may enroll if you did not enroll during the Initial Election Period or change your elections for the next Plan Year. The Annual Election Period will be identified in the enrollment materials distributed to you prior to the Annual Election Period. The election that you make during the Annual Election Period is effective the first day of the next Plan Year and cannot be changed during the entire Plan Year unless you have a Change in Status Event described in 0-7 below. If you fail to complete, sign, and file a Salary Reduction Agreement during the Annual Election Period,you may be deemed to have elected to continue participation in the Cafeteria Plan with the same Benefit Plan Option elections that you had on the last day of the Plan Year in which the Annual Election period occurred (adjusted to reflect any increase/decrease in applicable premium/contributions). This is called an`Evergreen Election." Alternatively, the Plan Administrator may deem you to have elected not to participate in the Cafeteria Plan for the next Plan Year if you fail to make an election during the Annual Election Period. The consequences of failing to make an election during the Annual Election Period are described in the Plan Information Summary. 4 2014-12-02 Agenda Packet Page 110 The Plan Year is generally a 12-month period (the initial or last Plan Year of the Plan could be an exception). The beginning and ending dates of the Plan Year are described in the Plan Information Summary. Q-7. Under what circumstances can I change my election during the Plan Year? Generally, you cannot change your election under this Cafeteria Plan during the Plan Year. There are, however,a few exceptions. First,your election will automatically terminate if you terminate employment or lose eligibility under this Cafeteria Plan or under all of the Benefit Plan Options that you have chosen. Second, you may voluntarily change your election during the Plan Year if you satisfy the following conditions(prescribed by federal law): a. You experience a"Change of Status Event" that affects your eligibility under this Cafeteria Plan and/or Benefit Plan Option; or b. You experience a significant Cost or Coverage Change; and c. You complete and submit a written Election Change Form within the Election Change Period described in the Plan Information Summary. Change in Status Events and Cost or Coverage Changes recognized by this Cafeteria Plan, and the rules surrounding election changes in the event you experience a Change in Status Event or Cost or Coverage Change are described in Appendix III-Election Change . Third, an election under this Cafeteria Plan may be modified downward during the Plan Year if you are a Key Employee or Highly Compensated Individual (as defined by the Internal Revenue Code), if necessary to prevent the Cafeteria Plan from becoming discriminatory within the meaning of the applicable federal income tax law. If coverage under a Benefit Plan Option ends, the corresponding Pretax Contributions for that coverage will automatically end. No election is needed to stop the contributions. Q-8. How is my Benefit Plan Option coverage paid for under this Cafeteria Plan? You may be given a choice to pay for any Benefit Plan Option coverage that you elect with Pretax or After-tax Contributions. The enrollment materials you receive will indicate whether you have an option to choose to pay with Pretax or After-tax Contributions. When you elect to participate both in a Benefit Plan Option and this Cafeteria Plan, an amount equal to your share of the annual cost of those Benefit Plan Options that you choose divided by the applicable number of pay periods you have during that Plan Year is deducted from each paycheck after your election date. If you have chosen to use Pretax Contributions (or it is a Plan requirement),the deduction is made before any applicable federal and/or state taxes are withheld. An Employer may choose to pay for a share of the cost of the Benefit Plan Options you choose with Non- elective Employer Contributions. The amount of Non-elective Employer Contributions that is applied by the Employer towards the cost of the Benefit Plan Option(s) for each Participant and/or level of coverage 5 2014-12-02 Agenda Packet Page 111 is subject to the sole discretion of the Employer and it may be adjusted upward or downward in the Employer's sole discretion. The Non-elective Employer Contribution amount will be calculated for each Plan Year in a uniform and nondiscriminatory manner and may be based upon your dependent status, commencement or termination date of your employment during the Plan Year, and such other factors that the Employer deems relevant. In no event will any Non-elective Employer Contribution be disbursed to you in the form of additional taxable compensation except as otherwise provided in the enrollment material or the Plan Information Summary. Q-9. What happens to my participation under the Cafeteria Plan if I take a leave of absence? The following is a general summary of the rules regarding participation in the Cafeteria Plan (and the Benefit Plan Options) during a leave of absence. The specific election changes that you can make under this Cafeteria Plan following a leave of absence are described in the Election Change Chart and the rules regarding coverage under the Benefit Plan Options during a leave of absence will be described in the Benefit Plan Option summaries. If there is a conflict between the Election Change Chart/Benefit Plan Option Summaries and this Q-9, the Election Change Chart or Benefit Plan Option summary, whichever is applicable,will control. a. If you go on a qualifying unpaid leave under the Family and Medical Leave Act of 1993 (FMLA), the Employer will continue to maintain your Benefit Plan Options that provide health coverage on the same terms and conditions as though you were still active to the extent required by FMLA (e.g., the Employer will continue to pay its share of the contribution to the extent you opt to continue coverage). b. Your Employer may elect to continue all health coverage for Participants while they are on paid leave (provided Participants on non-FMLA paid leave are required to continue coverage). If so, you will pay your share of the contributions by the method normally used during any paid leave (for example,with Pretax Contributions if that is what was used before the FMLA leave began). c. In the event of unpaid FMLA leave (or paid leave where coverage is not required to be continued), if you opt to continue your group health coverage, you may pay your share of the contribution in one of the following ways: i. With After-tax Contributions while you are on leave. ii. You may pre-pay all or a portion of your share of the contribution for the expected duration of the leave with Pretax Contributions from your pre-leave compensation by making a special election to that effect before the date such compensation would normally be made available to you. However, pre-payments of Pretax Contributions may not be utilized to fund coverage during the next Plan Year. iii. By other arrangements agreed upon between you and the Plan Administrator (for example, the Plan Administrator may fund coverage during the leave and withhold amounts from your compensation upon your return from leave). The payment options provided by the Employer will be established in accordance with Code Section 125, FMLA and the Employer's internal policies and procedures regarding leaves of absence and will be applied uniformly to all Participants. Alternatively, the Employer may require all Participants to continue coverage during the leave. If so,you may elect to discontinue 6 2014-12-02 Agenda Packet Page 112 your share of the required contributions until you return from leave. Upon return from leave,you will be required to repay the contribution not paid during the leave in a manner agreed upon with the Plan Administrator. The Election Change Chart will let you know whether you are able to drop your coverage or whether you are required to continue coverage during the leave. d. If your coverage ceases while on FMLA leave (e.g., for non-payment of required contributions), you will be permitted to re-enter the Cafeteria Plan and the Benefit Plan Option upon return from such leave on the same basis as you were participating in the plans prior to the leave, or as otherwise required by the FMLA. Your coverage under the Benefit Plan Options providing health coverage may be automatically reinstated provided that coverage for Employees on non- FMLA leave is automatically reinstated upon return from leave. e. The Employer may, on a uniform and consistent basis, continue your group health coverage for the duration of the leave following your failure to pay the required contribution. Upon return from leave, you will be required to repay the contribution in a manner agreed upon by you and the Employer. £ If you are commencing or returning from unpaid FMLA leave,your election under this Cafeteria Plan for Benefit Plan Options providing non-health benefits shall be treated in the same manner that elections for non-health Benefit Plan Options are treated with respect to Participants commencing and returning from unpaid non-FMLA leave. g. If you go on an unpaid non-FMLA leave of absence (e.g., personal leave, sick leave, etc.) that does not affect eligibility in this Cafeteria Plan or a Benefit Plan Option offered under this Cafeteria Plan,then you will continue to participate and the contribution due will be paid by pre- payment before going on leave, by After-tax Contributions while on leave, or with catch-up contributions after the leave ends,as may be determined by the Plan Administrator. If you go on an unpaid leave that affects eligibility under this Cafeteria Plan or a Benefit Plan Option, the election change rules described herein will apply. The Plan Administrator will have discretion to determine whether taking an unpaid non-FMLA leave of absence affects eligibility. Q-10. How long will the Cafeteria Plan remain in effect? Although the Employer expects to maintain the Plan indefinitely, it has the right to modify or terminate the Plan or any of its component programs at any time for any reason. Plan amendments and terminations will be conducted in accordance with the terms of the Plan document. Q-11. What happens if my request for a benefit under this Cafeteria Plan is denied? You will have the right to a full and fair review process. You should refer to Appendix I fora detailed summary of the Claims Procedures under this Cafeteria Plan. 7 2014-12-02 Agenda Packet Page 113 CITY OF CHULA VISTA FLEXIBLE BENEFITS PLAN SUMMARY PLAN DESCRIPTION Health Care Spending Account Component Summary Q-1. Who can participate in the Health Care Spending Account? Each Employee who satisfies the HCSA Eligibility Requirements is eligible to participate on the HCSA Eligibility Date. The HCSA Eligibility Requirements and Eligibility Date are described in the Plan Information Summary. Q-2. How do I become a Participant? If you have otherwise satisfied the HCSA Eligibility Requirements, you become a Participant in the HCSA by electing Health Care Savings Account benefits during the Initial or Annual Election Periods as described in the Cafeteria Plan Component Summary). Your participation in the HCSA will be effective on the date that you make an election or on your HCSA Eligibility Date,whichever is later. See the Plan Information Summary for your Employer's Plan specifics. If you have made an election to participate and you want to participate during the next Plan Year, you must make an election during the Annual Election Period, even if you do not change your current election. Evergreen Elections do not apply to HCSA elections. You may also become a Participant if you experience a Change in Status Event or Cost or Coverage Change that permits you to enroll mid-year(See Q-7 of the Cafeteria Plan Component Summary for more details regarding mid-year election changes and the effective date of those changes). Once you become a Participant, your "Eligible Dependents" also become covered. For purposes of the HCSA,Eligible Dependents are the following: (i) Your legal Spouse (as determined by state law to the extent consistent with the federal Defense of Marriage Act)and (ii) Any other individuals who would qualify as a tax Dependent, including any child of yours who as of the end of the taxable year has not attained age twenty-seven(27). If the Plan Administrator receives a qualified medical child support order (QMCSO) relating to the HCSA,the HCSA will provide the health benefit coverage specified in the order to the person or persons ("alternate recipients")named in the order to the extent the QMCSO does not require coverage the HCSA does not otherwise provide. "Alternate recipients" include any child of the Participant who the Plan is required to cover pursuant to a QMCSO. A"medical child support order" is a legal judgment, decree or order relating to medical child support. A medical child support order is a QMCSO to the extent it satisfies certain conditions required by law. Before providing any coverage to an alternate recipient,the Plan Administrator must determine whether the medical child support order is a QMCSO. If the Plan Administrator receives a medical child support order relating to your HCSA, it will notify you in writing, and after receiving the order, it will inform you of its determination of whether or not the order is g 2014-12-02 Agenda Packet Page 114 qualified. Upon request to the Plan Administrator, you may obtain, without charge, a copy of the Plan's procedures governing qualified medical child support orders. Q-3. What is my Health Care Spending Account? If you elect to participate in the HCSA,the Employer will establish a"Health Care Spending Account"to keep a record of the reimbursements you are entitled to, as well as the contributions you elected to withhold for such benefits during the Plan Year. No actual account is established; it is merely a bookkeeping account. Benefits under the HCSA are paid as needed from the Employer's general assets except as otherwise set forth in the Plan Information Summary. Q-4. When does my coverage under the Health Care Spending Account end? Your coverage under the HCSA ends on the earlier of the following to occur. See the Plan Information Summary for your Employer's Plan specifics. a. The date you elect not to participate in accordance with the Cafeteria Plan Component Summary; b. The last day of the Plan Year unless you make an election during the Annual Election Period; c. The date you no longer satisfy the HCSA Eligibility Requirements; d. The date you terminate employment; or e. The date the Plan is terminated or you or the class of eligible Employees of which you are a member are specifically excluded from the Plan. You may be entitled to elect Continuation Coverage (as described in Q-16 below) under the HCSA once your coverage ends because you terminate employment or experience a reduction in hours of employment. Coverage for your Eligible Dependents ends on earliest of the following to occur: a. The date your coverage ends; b. The date that your Dependents cease to be eligible Dependents (e.g., you and your Spouse divorce); or c. The date the Plan is terminated or amended to exclude the individual or the class of Dependents of which the individual is a member from coverage under the HCSA. You and/or your covered Dependents may be entitled to continue coverage if coverage is lost for certain reasons. The Continuation of Coverage provisions are described in more detail below. Q-5. Can I ever change my Health Care Spending Account election? You can change your election under the HCSA in the following situations: a. For any reason during the Annual Election Period. You can change your election during the Annual Election Period for any reason. The election change will be effective the first day of the Plan Year following the end of the Annual Election Period. b. Following a Change in Status Event. You may change your HCSA election during the Plan Year only if you experience an applicable Change in Status Event. See Q 7 of the Cafeteria Plan Component Summary for more information on election changes. NOTE: You may not make HCSA election changes as a result of any Cost or Coverage Changes. 9 2014-12-02 Agenda Packet Page 115 Q-6. What happens to my Health Care Spending Account if I take an approved leave of absence? Refer to the Cafeteria Plan Component Summary and the Election Change Chart to determine what, if any, specific changes you can make during a leave of absence. If your HCSA coverage ceases during an FMLA leave,you may,upon returning from FMLA leave,elect to be reinstated in the HCSA at either: a. The same coverage level in effect before the FMLA leave (with increased contributions for the remaining period of coverage); or b. At the same coverage level that is reduced pro-rata for the period of FMLA leave during which you did not make any contributions. Under either scenario,expenses incurred during the period that your HCSA coverage was not in effect are not eligible for reimbursement under this HCSA. Q-7. What is the maximum annual Health Care Spending Account amount that I may elect under the Health Care Spending Account, and how much will it cost? You may elect any annual reimbursement amount subject to the maximum annual HCSA amount and the minimum reimbursement amount described in the Plan Information Summary. You will be required to pay the annual contribution equal to the coverage level you have chosen reduced by any Non-elective Employer Contributions allocated to your HCSA. Any change in your HCSA election also will change the maximum available reimbursement for the period of coverage after the election. Such maximum available reimbursements will be determined on a prospective basis only by a method determined by the Plan Administrator that is in accordance with applicable law. The Plan Administrator (or its designated Third Party Administrator) will notify you of the applicable method when you make your election change. Q-8. How are Health Care Spending Account benefits paid for under this Plan? When you complete the Salary Reduction Agreement or Election Form,you specify the amount of HCSA reimbursement you wish to pay for with Pretax Contributions and/or Non-elective Employer Contributions, to the extent available. Your enrollment materials will indicate if Non-elective Employer Contributions are available for HCSA coverage. Thereafter,each paycheck will be reduced by an amount equal to pro-rata share of the annual contribution, reduced by any Non-elective Employer Contributions allocated to your HCSA. Q-9. What amounts will be available for Health Care Spending Account Reimbursement at any particular time during the Plan Year? So long as coverage is effective,the full,annual amount of Health Care Spending Account reimbursement you have elected, reduced by the amount of previous HCSA reimbursements received during the Plan Year, will be available at any time during the Plan Year, without regard to how much you have contributed. io 2014-12-02 Agenda Packet Page 116 Q-10. How do I receive reimbursement under the Health Care Spending Account? If you elect to participate in the HCSA, you will have to take certain steps to be reimbursed for your Eligible Medical Expenses. When you incur an Eligible Medical Expense,you file a claim with the Plan's Third Party Administrator by completing and submitting a Request for Reimbursement Form. You may obtain a Request for Reimbursement Form from the Plan Administrator or the Third Party Administrator. You must include with your Request for Reimbursement Form a written statement from an independent third party(e.g. a receipt,EOB,etc)associated with each expense that indicates the following: a. The nature of the expense (e.g. what type of service or treatment was provided). If the expense is for an over the counter drug,the written statement must indicate the name of the drug; b. The date the expense was incurred; and c. The amount of the expense. The Third Party Administrator will process the claim once it receives the Request for Reimbursement Form from you. Reimbursement for expenses that are determined to be Eligible Medical Expenses will be made as soon as possible after receiving the claim and processing it. If the expense is determined to not be an "Eligible Medical Expense" you will receive notification of this determination. You must submit all claims for reimbursement for Eligible Medical Expenses during the Plan Year in which they were incurred or during the Run Out Period. The Run Out Period is described in the Plan Information Summary. Q-11. What is an"Eligible Medical Expense?" An "Eligible Medical Expense" means an expense that has been incurred by you and/or your eligible Dependents that satisfies the following conditions: a. The expense is for"medical care"as defined by Code Section 213(d); and b. The expense has not been reimbursed by any other sources, and you will not seek reimbursement for the expense from any other source. The Code generally defines "medical care" as any amounts incurred to diagnose, treat, or prevent a specific medical condition or for purposes of affecting any function or structure of the body. Not every health-related expense you or your eligible Dependents incur constitutes an expense for "medical care." For example, an expense is not for"medical care," as that term is defined by the Code, if it is merely for the beneficial health of you and/or your eligible Dependents(e.g.,vitamins or nutritional supplements that are not taken to treat a specific medical condition) or for cosmetic purposes,unless necessary to correct a deformity arising from illness, injury, or birth defect. You may, in the discretion of the Third Party Administrator/Plan Administrator, be required to provide additional documentation from a health care provider showing that you have a medical condition and/or the particular item is necessary to treat a medical condition. Expenses for cosmetic purposes are also not reimbursable unless they are necessary to correct an abnormality caused by illness,injury,or birth defect. In addition, certain expenses that might otherwise constitute "medical care" as defined by the Code are not reimbursable under any Health Care Spending Account(per Treasury regulations): a. Health insurance premiums; 11 2014-12-02 Agenda Packet Page 117 b. Expenses incurred for qualified long-term care services; c. Effective January 1, 2011, expenses for a medicine or drug unless such medicine or drug is a prescribed drug (determined without regard to whether such drug is available without a prescription)or is insulin; and d. Any other expenses that are specifically excluded by the Employer. For a list of Eligible Medical Expenses, go to www.wageworks.com and enter your user name and password. If you have opted for the HSA-Compatible or Limited Purpose Health Care Spending Account, then only those eligible dental and vision expenses may be paid under the Plan while your limited coverage is effective. Q-12. When must the expenses be incurred in order to receive reimbursement? Eligible Medical Expenses must be incurred during the Plan Year and while you are a Participant in the Plan. "Incurred"means that the service or treatment giving rise to the expense has been provided. If you pay for an expense before you are provided the service or treatment, the expense may not be reimbursed until you have been provided the service or treatment. Except as provided below, you may not be reimbursed for any expenses arising before the HCSA becomes effective, before your Salary Reduction Agreement or Election Form becomes effective, or for any expenses incurred after the close of the Plan Year, or, after a separation from service or loss of eligibility (except for expenses incurred during an applicable continuation period). Your Employer has established a"Grace Period" for the HCSA offered under the Flexible Benefits Plan that follows the end of the Plan Year during which amounts you have allocated to the HCSA that is unused at the end of the Plan Year may be used to reimburse Eligible Medical Expenses incurred during the Grace Period. The Grace Period will begin on the first day of the Plan Year following the effective date and will end two (2) months and fifteen (15) days later. For example, if the Plan Year ends December 31, 2013, the Grace Period begins January 1,2014 and ends March 15,2014. In order to take advantage of the Grace Period,you must be -P A Participant in the HCSA on the last day of the Plan Year to which the Grace Period relates,or o A Qualified Beneficiary who is receiving continuation coverage under the HCSA on the last day of the Plan Year to which the Grace Period relates. The following additional rules will apply to the Grace Period: o Eligible Medical Expenses incurred during a Grace Period and approved for reimbursement will be paid first from available amounts that were remaining at the end of the Plan Year to which the Grace Period relates and then from any amounts that are available to reimburse expenses incurred during the current Plan Year. 12 2014-12-02 Agenda Packet Page 118 For example, assume that $200 remains in the HCSA sub-account at the end of the 2013 Plan Year and further assume that you have elected to allocate $2,400 to the HCSA for the 2014 Plan Year. If you submit for reimbursement an Eligible Medical Expense of$500 that was incurred on the March 15, 2014, $200 of your claim will be paid out of the unused amounts remaining in the HCSA from the 2013 Plan Year and the remaining $300 will be paid out of amounts allocated to your HCSA for 2014. -P Expenses incurred during a Grace Period must be submitted before the end of the Run-Out Period described in this SPD. This is the same Run-Out Period for expenses incurred during the Plan Year to which the Grace Period relates. Any unused amounts from the end of a Plan Year to which the Grace Period relates that are not used to reimburse Eligible Medical Expenses incurred either during the Plan Year to which the Grace Period relates or during the Grace Period will be forfeited if not submitted for reimbursement before the end of the Run-Out Period. o You may not use HCSA amounts to reimburse Eligible Employment Related Expenses and DCSA amounts may not be used to reimburse Eligible Medical Expenses. Q-13. What if the"Eligible Medical Expenses"I incur during the Plan Year are less than the annual amount I have elected for the Health Care Spending Account Reimbursement? You will not be entitled to receive any direct or indirect payment of any amount that represents the difference between the actual Eligible Medical Expenses you have incurred and the annual coverage level you have elected. Any amount allocated to a HCSA shall be forfeited by the Participant and restored to the Employer if it has not been applied to provide reimbursement for Eligible Medical Expenses incurred during the Plan Year that are submitted for reimbursement within the Run-Out Period described in the Plan Information Summary. Amounts so forfeited shall be used to offset administrative expenses and future costs, and/or applied in a manner that is consistent with applicable rules and regulations (per the Plan Administrator's sole discretion). The Plan Administrator will determine what this amount is on a uniform basis, consistent with applicable law and IRS interpretations. Notwithstanding any other provision of this Plan, an individual who has selected a Qualified Reservist Distribution shall be considered to have made such election as an alternative to continuation coverage or USERRA coverage continuation for the HCSA (except as may otherwise be required by applicable law). Q-14. What happens if a Claim for Benefits under the Health Care Spending Account is denied? You will have the right to a full and fair review process. You should refer to Appendix I for a detailed summary of the Claims Procedures under this Plan. 13 2014-12-02 Agenda Packet Page 119 Q-15. What happens to unclaimed Health Care Spending Account Reimbursements? Any HCSA reimbursement benefit payments that are unclaimed (e.g., uncashed benefit checks) by the close of the Plan Year following the Plan Year in which the Eligible Medical Expense was incurred shall be forfeited. Q-16. What is Continuation Coverage? Federal law requires most private and governmental employers sponsoring group health plans to offer employees and their families the opportunity for a temporary extension of health care coverage (called "Continuation Coverage") at group rates in certain instances where coverage under the plans would otherwise end. These rules apply to this HCSA,unless the Employer sponsoring the HCSA is not subject to these rules (e.g., the employer is a "small-employer" or the HCSA is a church plan). The Plan Administrator can tell you whether the Employer is subject to federal continuation rules (thus subject to the following rules). These rules are intended to summarize the continuation rights set forth under federal law. If federal law changes, only the rights provided under applicable federal law will apply. To the extent that any greater rights are set forth herein,they shall not apply. When Coverage May Be Continued Only "Qualified Beneficiaries" are eligible to elect Continuation Coverage if they lose coverage as a result of a "Qualifying Event." A "Qualified Beneficiary" is the Participant, covered Spouse and/or covered Dependent child at the time of the Qualifying Event. A Qualified Beneficiary has the right to continue coverage if he or she loses coverage as a result of certain Qualifying Events. The table below describes the qualifying events that may entitle a Qualified Beneficiary to continuation coverage: Covered Covered Covered Employee Spouse Dependent 1. Covered Employee's termination of ✓ ✓ ✓ employment or reduction in hours of employment 2. Divorce or Legal Separation ✓ 3. Child ceasing to be an eligible ✓ Dependent 4. Death of the covered Employee ✓ ✓ There are special rules pertaining to Health Care Spending Accounts that determine when continuation coverage is extended. Continuation Coverage is only extended when year-to-date deposits exceed year-to- date claims paid. Me of Continuation Coverage If you choose Continuation Coverage, you may continue the level of coverage you had in effect immediately preceding the Qualifying Event. However, if Plan benefits are modified for similarly situated active Employees, then they will be modified for you and other Qualified Beneficiaries as well. 14 2014-12-02 Agenda Packet Page 120 After electing Continuation Coverage,you will be eligible to make a change in your benefit election with respect to the HCSA upon the occurrence of any event that permits a similarly situated active Employee to make a benefit election change during a Plan Year. If you do not choose Continuation Coverage, your coverage under the HCSA will end with the date you would otherwise lose coverage. Notice Requirements You or your covered Dependents (including your Spouse) must notify the continuation coverage Administrator identified in the Plan Information Summary in writing of a divorce, legal separation, or a child losing Dependent status under the Plan within 60 days of the later of the date of the event or the date on which coverage is lost because of the event. Your written notice must identify the Qualifying Event, the date of the Qualifying Event, and the Qualified Beneficiaries impacted by the qualifying event. When the continuation coverage Administrator is notified that one of these events has occurred, the Plan Administrator will in turn notify you that you have the right to choose Continuation Coverage by sending you the appropriate election forms. Notice to an Employee's Spouse is treated as notice to any covered Dependents who reside with the Spouse. You may be required to provide additional supporting documentation. An Employee or covered Dependent is responsible for notifying the continuation coverage Administrator if he or she becomes covered under another group health plan. Election Procedures and Deadlines Each Qualified Beneficiary is entitled to make a separate election for continuation coverage under the Plan if they are not otherwise covered as a result of another Qualified Beneficiary's election. In order to elect Continuation Coverage, you must complete the Election Form(s) within 60 days from the date you would lose coverage for one of the reasons described above or the date you are sent notice of your right to elect Continuation Coverage, whichever is later and send it to the continuation coverage Administrator identified in the Plan Information Summary. Failure to return the election form within the 60-day period will be considered a waiver of your Continuation Coverage rights. Cost You will have to pay the entire cost of your Continuation Coverage. The cost of your Continuation Coverage will not exceed 102% of the applicable premium for the period of Continuation Coverage. The first contribution after electing Continuation Coverage will be due 45 days after you make your election. Subsequent contributions are due the first day of each month; however, you have a 30-day grace period following the due date in which to make your contribution. Failure to make contributions within this time period will result in automatic termination of your Continuation Coverage. When Continuation Coverage Ends The maximum period for which coverage may be continued is the end of the Plan Year in which the Qualifying Event occurs. However, in certain situations, the maximum duration of coverage may be 18 or 36 months from the Qualifying Event (depending on the type of qualifying event and the level of Non- 15 2014-12-02 Agenda Packet Page 121 elective Contributions provided by the Employer). You will be notified of the applicable maximum duration of Continuation Coverage when you have a Qualifying Event. Regardless of the maximum period,Continuation Coverage may end earlier for any of the following reasons: a. If the contribution for your Continuation Coverage is not paid on time or it is significantly insufficient (Note: if your payment is insufficient by the lesser of 10% of the required premium, or$50,you will be given 30 days to cure the shortfall); b. If you become covered under another group health plan and are not actually subject to a pre- existing condition exclusion limitation; c. If you become entitled to Medicare; or d. If the Employer no longer provides group health coverage to any of its Employees. Q-17. Will my health information be kept confidential? Under the Health Insurance Portability and Accountability Act of 1996 ("HIPAA"), group health plans such as the HCSA and the Third Party Administrators are required to take steps to ensure that certain "protected health information" is kept confidential. You may receive a separate notice that outlines the Employer's health privacy policies. Q-18. How long will the Health Care Spending Account remain in effect? Although the Employer expects to maintain the Plan indefinitely, it has the right to modify or terminate the Plan or any of its Component Programs at any time and for any reason. 16 2014-12-02 Agenda Packet Page 122 Newborns' and Mothers' Health Protection Act of 1996 Group health plans and health insurance issuers generally may not, under federal law,restrict benefits for any hospital length of stay in connection with childbirth for the mother or newborn child to less than 48 hours following a vaginal delivery, or less than 96 hours following a cesarean section. However, federal law generally does not prohibit the mother's or newborn's attending provider, after consulting with the mother, from discharging the mother or her newborn earlier than 48 hours (or 96 hours,as applicable). In any case, plans and issuers may not, under federal law, require that a provider obtain authorization from the plan or the issuer for prescribing a length of stay not in excess of 48 hours (or 96 hours). 17 2014-12-02 Agenda Packet Page 123 CITY OF CHULA VISTA FLEXIBLE BENEFITS PLAN SUMMARY PLAN DESCRIPTION Dependent Care Spending Account Component Summary Q-1. Who can participate in the Dependent Care Spending Account? Each Employee who satisfies the DCSA Eligibility Requirements is eligible to participate in the DCSA on the DCSA Eligibility Date. The DCSA Eligibility Requirements and Eligibility Date are described in the Plan Information Summary. Q-2. How do I become a Participant? If you have otherwise satisfied the DCSA Eligibility Requirements, you become a Participant in the DCSA by electing Dependent Care Reimbursement benefits during the Initial or Annual Election Periods described in 0-6 of the Cafeteria Plan Component Summary. Your participation in the DCSA will be effective on the date that you make the election or your DCSA Eligibility date,whichever is later. See the Plan Information Summary for your Employer's Plan specifics. If you have made an election to participate and you want to participate during the next Plan Year, you may be required to make an election during the Annual Election Period, even if you do not change your current election. Alternatively, if your Employer's Plan allows`Evergreen Elections,"you may be deemed to have elected to continue your Benefit Plan Option elections in affect as of the end of the Plan Year in which the Annual Election Period took place. You may also become a Participant if you experience a Change in Status Event or Cost or Coverage Change that permits you to enroll mid-year(See Q-7 of the Cafeteria Plan Component Summary for more details regarding mid-year election changes and the effective date of those changes). Q-3. What is my"Dependent Care Spending Account?" If you elect to participate in the DCSA, the Employer will establish a "Dependent Care Spending Account" to keep a record of the reimbursements you are entitled to, as well as the contributions you elected to withhold for such benefits during the Plan Year. No actual account is established; it is merely a bookkeeping account. Q-4. When does my coverage under the Dependent Care Spending Account end? Your coverage under the DCSA ends on the earlier of the following to occur. See the Plan Information Summary for your Employer's Plan specifics. a. The date you elect not to participate in accordance with the Cafeteria Plan Component Summary; b. The last day of the Plan Year unless you make an election during the Annual Election Period; c. The date you no longer satisfy the DCSA Eligibility Requirements; d. The date you terminate employment; or is 2014-12-02 Agenda Packet Page 124 e. The date the Plan is terminated or you or the class of eligible Employees of which you are a member are specifically excluded from the Plan. Q-5. Can I ever change my Dependent Care Spending Account election? You can change your election under the DCSA in the following situations: a. For any reason during the Annual Election Period. You can change your election during the Annual Election Period for any reason. The election change will be effective the first day of the Plan Year following the end of the Annual Election Period. b. Following a Change in Status Event or Cost or Coverage Change. You may change your DCSA election during the Plan Year only if you experience an applicable Change in Status Event or there is a significant Cost or Coverage change. See 0_-7 of the Cafeteria Plan Component Summary for more information on election changes. Q-6. What happens to my Dependent Care Spending Account if I take an unpaid leave of absence? Refer to the Cafeteria Plan Component Summary and the Election Change Chart to determine what,if any specific changes you can make during a leave of absence. Q-7. What is the maximum annual Dependent Care Spending Account Reimbursement that I may elect under the Dependent Care Spending Account? The annual amount cannot exceed the maximum DCSA reimbursement amount specified in Internal Revenue Code Section 129. The IRS Code Section 129 maximum amount is currently $5,000 per calendar year if you: a. Are married and file a joint return; b. Are married,but your Spouse maintains a separate residence for the last 6 months of the calendar year, you file a separate tax return, and you furnish more than one-half the cost of maintaining those Dependents for whom you are eligible to receive tax-free reimbursements under the DCSA; or c. Are single. If you are married and reside together, but file a separate federal income tax return, the maximum Dependent Care Spending Account Reimbursement that you may elect is $2,500. In addition,the amount of reimbursement that you receive on a tax-free basis during the Plan Year cannot exceed the lesser of the earned income(as defined in Code Section 32)or your Spouse earned income. Your Spouse will be deemed to have earned income of$250 if you have one Qualifying Individual and $500 if you have two or more Qualifying Individuals (described below), for each month in which your Spouse is: a. Physically or mentally incapable of caring for himself or herself; or b. A full-time student(as defined by Code Section 21). 19 2014-12-02 Agenda Packet Page 125 Q-8. How do I pay for Dependent Care Spending Account Reimbursements? When you complete the Salary Reduction Agreement or Election Form,you specify the amount of DCSA Reimbursement you wish to pay for with Pretax Contributions and/or Non-elective Employer Contributions, to the extent available. Your enrollment material will indicate if Non-elective Contributions are available for DCSA coverage. Thereafter,each paycheck will be reduced by an amount equal to a pro-rata share of the annual contribution, reduced by any Non-elective Employer Contributions allocated to your DCSA. Q-9. What is an"Eligible Employment-Related Expense"for which I can claim a reimbursement? You may be reimbursed for work-related dependent care expenses ("Eligible Employment-Related Expenses"). Generally, an expense must meet all of the following conditions for it to be an Eligible Employment Related Expense: a. The expense is incurred for services rendered after the date of your election to receive DCSA reimbursement benefits and during the calendar year to which it applies. b. Each individual for whom you incur the expense is a"Qualifying Individual." A Qualifying Individual is: (i) An individual age 12 or under who is a "qualifying child" of the Employee as defined in Code Section 152(a)(1). Generally speaking, a "qualifying child" is a child (including a brother, sister, step sibling) of the Employee or a descendant of such child (e.g. a niece, nephew, grandchild) who shares the same principal place of abode with you for more than half the year and does not provide over half of his/her support. (ii) A Spouse or other tax Dependent(as defined in Code Section 152)who is physically or mentally incapable of caring for himself or herself and who has the same principal place of abode as you for more than half of the year. Note: There is a special rule for children of divorced parents. If you are divorced, the child is a qualifying individual of the"custodial"parent(as defined in Code Section 152); c. The expense is incurred for the care of a Qualifying Individual (as described above),or for related household services, and is incurred to enable you (and your Spouse, if applicable)to be gainfully employed. Expenses for overnight stays or overnight camps are not eligible. Tuition expenses for kindergarten(or above)do not qualify. d. If the expense is incurred for services outside your household and such expenses are incurred for the care of a Qualifying Individual who is age 13 or older, such Dependent must regularly spend at least 8 hours per day in your home. e. If the expense is incurred for services provided by a dependent care center (i.e., a facility that provides care for more than 6 individuals not residing at the facility),the center complies with all applicable state and local laws and regulations. 20 2014-12-02 Agenda Packet Page 126 f. The expense is not paid or payable to a "child" (as defined in Code Section 152(f)(1)) of yours who is under age 19 the entire year in which the expense is incurred or an individual for whom you or your Spouse is entitled to a personal tax exemption as a Dependent. g. You must supply the taxpayer identification number for each dependent care service provider to the IRS with your annual tax return by completing IRS Form 2441. You are encouraged to consult your personal tax advisor or IRS Publication 17 "Your Federal Income Tax"for further guidance as to what is or is not an Eligible Employment-Related Expense if you have any doubts. In order to exclude from income the amounts you receive as reimbursement for dependent care expenses, you are generally required to provide the name, address, and taxpayer identification number of the dependent care service provider on your federal income tax return. Q-10. How do I receive reimbursement under the Dependent Care Spending Account? Under this DCSA, you have two reimbursement options. You can complete and submit a written Claim Form for reimbursement ("Pay Me Back Claim"). Alternatively, you can request payment directly to your provider("Pay My Provider"). The following is a summary of how both options work. When you incur an Eligible Employment-Related Expense, you file a claim with the Plan's Third Party Administrator by completing and submitting a Pay Me Back Claim Form. You may obtain a Pay Me Back Claim Form at www.wageworks.com. Simply enter your user name and password, or select First Time User to complete the online registration process to access your account online. You must include with your Pay Me Back Claim Form a written statement from an independent third party (e.g., a receipt, etc.)associated with each expense that indicates the following: a. The date(s)the expense was incurred; b. The nature of the expense(e.g.,what type of service was provided); and c. The amount of the expense. The Third Party Administrator will process the claim once it receives the Pay Me Back Claim Form from you. Reimbursement for expenses that are determined to be Eligible Employment-Related Expenses will be made as soon as possible after receiving the claim and processing it. If the expense is determined to not be an `Eligible Employment-Related Expense," you will receive notification of this determination. You must submit all claims for reimbursement for Eligible Employment-Related Expenses during the Plan Year in which they were incurred or during the Claim-It-By or Run-Out Period. The Run-Out Period is described in the Plan Information Summary. If your claim was for an amount that was more than your current DCSA balance, the excess part of the claim will be carried over into following months,to be paid out as your balance becomes adequate. You must incur the expense in order to receive payment. "Incurred"means the service has been provided without regard to whether you have paid for the service. Payments for advance services are not reimbursable because they have not yet been incurred. For example, Employee A pays the monthly day care fee on January 1 and then submits a copy of the receipt on January 3. The expense for the entire month is not reimbursable until the services for that month have been performed. In addition, you must certify with each claim that you have not been reimbursed for the expense(s) from any other source and you will not seek reimbursement from any other source. 21 2014-12-02 Agenda Packet Page 127 Q-11. When must the expenses be incurred in order to receive reimbursement? Eligible Employment-Related Expenses must be incurred during the Plan Year. You may not be reimbursed for any expense arising before the DCSA become effective, before your Salary Reduction Agreement or Election Form becomes effective, or for any expenses incurred after the close of the Plan Year and unless noted otherwise in the Plan Information Summary, after your participation the DCSA ends. Your Employer has established a "Grace Period" for the DCSA offered under the Flexible Benefits Plan that follows the end of the Plan Year during which amounts you have allocated to the DCSA that is unused at the end of the Plan Year may be used to reimburse Eligible Employment Related Expenses incurred during the Grace Period. The Grace Period will begin on the first day of the Plan Year following the effective date and will end two (2) months and fifteen (15) days later. For example, if the Plan Year ends December 31, 2013, the Grace Period begins January 1,2014 and ends March 15,2014. hi order to take advantage of the Grace Period, you must be a Participant in the DCSA on the last day of the Plan Year to which the Grace Period relates. The following additional rules will apply to the Grace Period: -P Eligible Employment Related Expenses incurred during a Grace Period and approved for reimbursement will be paid first from available amounts that were remaining at the end of the Plan Year to which the Grace Period relates and then from any amounts that are available to reimburse expenses incurred during the current Plan Year. For example, assume that $200 remains in the DCSA sub-account at the end of the 2013 Plan Year and further assume that you have elected to allocate $2,400 to the DCSA for the 2014 Plan Year. If you submit for reimbursement an Eligible Employment Related Expense of$500 that was incurred on the March 15, 2014, $200 of your claim will be paid out of the unused amounts remaining in the DCSA from the 2013 Plan Year and the remaining $300 will be paid out of amounts allocated to your DCSA for 2014. -P Expenses incurred during a Grace Period must be submitted before the end of the Run-Out Period described in this SPD. This is the same Run-Out Period for expenses incurred during the Plan Year to which the Grace Period relates. Any unused amounts from the end of a Plan Year to which the Grace Period relates that are not used to reimburse Eligible Employment Related Expenses incurred either during the Plan Year to which the Grace Period relates or during the Grace Period will be forfeited if not submitted for reimbursement before the end of the Run-Out Period. -P You may not use DCSA amounts to reimburse Eligible Medical Expenses and HCSA amounts may not be used to reimburse Eligible Employment Related Expenses. 22 2014-12-02 Agenda Packet Page 128 Q-12. What if the"Eligible Employment-Related Expenses" I incur during the Plan Year are less than the annual amount of coverage I have elected for Dependent Care Spending Account Reimbursement? You will not be entitled to receive any direct or indirect payment of any amount that represents the difference between the actual Eligible Employment-Related Expenses you have incurred, on the one hand, and the annual DCSA reimbursement you have elected and paid for, on the other. Any amount credited to a DCSA shall be forfeited by the Participant and restored to the Employer if it has not been applied to provide the elected reimbursement for any Plan Year by the end of the Claim-It-By or Run-Out Period following the end of the Plan Year for which the election was effective. Amounts so forfeited shall be used to offset reasonable administrative expenses and future costs and/or otherwise permitted under applicable law. Q-13. Will I be taxed on the Dependent Care Spending Account benefits I receive? You will not normally be taxed on your DCSA reimbursements so long as your family aggregate DCSA reimbursement (under this DCSA and/or another employer's DCSA) does not exceed the maximum annual reimbursement limits described above. However, to qualify for tax-free treatment, you will be required to list the names and taxpayer identification numbers on your annual tax return of any persons who provided you with dependent care services during the calendar year for which you have claimed a tax-free reimbursement. Q-14. If I participate in the Dependent Care Spending Account,will I still be able to claim the household and dependent care credit on my federal income tax return? You may not claim any other tax benefit for the tax-free amounts received by you under this DCSA, although the balance of your Eligible Employment-Related Expenses may be eligible for the dependent care credit. Q-15. What is the household and dependent care credit? The household and dependent care credit is an allowance for a percentage of your annual, Eligible Employment-Related Expenses as a credit against your federal income tax liability under the U.S. Tax Code. hi determining what the tax credit would be, you may take into account $3,000 of such expenses for one Qualifying Individual, or $6,000 for two or more Qualifying Individuals. Depending on your adjusted gross income (AGI), the percentage could be as much as 35% of your Eligible Employment- Related Expenses (to a maximum credit amount of$1,050 for one Qualifying Individual or $2,100 for two or more Qualifying Individuals), to a minimum of 20% of such expenses. The maximum 35% rate must be reduced by 1% (but not below 20%) for each $2,000 portion (or any fraction of$2,000) of your adjusted gross incomes over$15,000 for taxable years beginning after 2002 and before 2013. Illustration: Assume you have one Qualifying Individual for whom you have incurred Eligible Employment-Related Expenses of$3,600, and that your adjusted gross income is $21,000. Since only one Qualifying Individual is involved,the credit will be calculated by applying the appropriate percentage to the first $3,000 of the expenses. The percentage is, in turn, arrived at by subtracting one percentage point from 35% for each $2,000 of your adjusted gross income over $15,000. The calculation is: 35% -- [$21,000 — 15,000)/$2,000 x 1% = 32%. Thus, your tax credit would be $3,000 x 32% _ $960. If you 23 2014-12-02 Agenda Packet Page 129 had incurred the same expenses for two or more Qualifying Individuals, your credit would have been $3,600 x 32% = $1,152, because the entire expense would have been taken into account,not just the first $3,000. Q-16. What happens to unclaimed Dependent Care Spending Account Reimbursements? Any DCSA reimbursements that are unclaimed (e.g., uncashed benefit checks) by the close of the Plan Year following the Plan Year in which the Eligible Employment-Related Expense was incurred shall be forfeited. Q-17. What happens if my claim for reimbursement under the Dependent Care Spending Account is denied? You will have the right to a full and fair review process. You should refer to Appendix I for a detailed summary of the Claims Procedures under this Plan. Q-18 How long will the Dependent Care Spending Account remain in effect? Although the Employer expects to maintain the Plan indefinitely, it has the right to modify or terminate the program at any time for any reason. 24 2014-12-02 Agenda Packet Page 130 PLAN INFORMATION SUMMARY TO THE CITY OF CHULA VISTA PLAN SUMMARY PLAN DESCRIPTION This Appendix provides information specific to the City of Chula Vista Cafeteria Plan. A. Employer/Plan Sponsor Information 1. Name, address and phone number of Plan City of Chula Vista Sponsor: 276 Fourth Avenue Chula Vista,CA 91910 619-585-5620 2. Name, address and phone number of Plan Administrator: City of Chula Vista 276 Fourth Avenue The Plan Administrator shall have the exclusive right to interpret the Chula Vista,CA 91910 Plan and to decide all matters arising under the Plan, including the 619-585-5620 right to make determinations of fact, and construe and interpret possible ambiguities, inconsistencies, or omissions in the Plan and the SPD issued in connection with the Plan. 3. Federal Tax Identification 95-6000690 4. Controlling Law: California 5. Plan Number: 501 6. Initial Effective Date: Prior to 1991 This is the date that the Plan was first established. 7. Amended and Restated Date: January 1,2013 8. Initial Plan Year: January 1 through December 31 9. All subsequent Plan Years(If different from 8) -- 10. Affiliated Employers participating in the Plan: NA 11. Third Party Administrator: WageWorks,Inc. 1100 Park Place 4'h Floor San Mateo,CA 94403 25 2014-12-02 Agenda Packet Page 131 B. Cafeteria Plan Component Information (a) Cafeteria Plan Eligibility Requirements and Eligibility Date. Each Employee who is a regular full-time or part-time Employee working a minimum of 20 hours per week and who is eligible for coverage or participation under any of the Benefit Plan Options ("Cafeteria Plan Eligibility Requirements) will be eligible to participate in this Plan on the date of hire ("Cafeteria Plan Eligibility Date"). The Employee's commencement of participation in the Plan is conditioned on the Employee properly completing and submitting a Salary Reduction Agreement or Election Form as summarized in this SPD. Eligibility for coverage under any given Benefit Plan Option shall be determined not by this Plan but by the terms of that Benefit Plan Option. (b) Cafeteria Plan Annual Election Rules. With respect to Benefit Plan Option elections,including the HCSA and DCSA elections, failure to make an election during the Annual Election Period will result in the following deemed election(s): ® Dental, Vision, HCSA and DCSA - The Employee will be deemed to have elected not to participate during the subsequent plan year. Coverage under the Benefit Plan Options offered under the Plan will end the last day of the Plan Year in which the Annual Election Period occurred. ® Medical - The Employee will be deemed to have elected to continue his Benefit Plan Option elections in effect as of the end of the plan Year in which the Annual Election Period took place,unless Employee notifies the company in writing of a qualifying status change or at any time before the end of the Plan Year for the following Plan Year. This is called an`Evergreen Election". (c) Change of Election Period. If you experience a Change in Status Event or Cost or Coverage Change as described in the Cafeteria Plan Component Summary and in the Election Change Chart, you may make the permitted election changes described in the Election Change Chart either by making a mid-year election change online at www.wageworks.com or by submitting an Election Change Form within 30 days after the date of the event. If you are participating in an insured arrangement that provides a longer Election Change Period, the Election Change Period described in the insurance policy will apply. (d) Benefits Plan Options: The Employer elects to offer to eligible Employees the following Benefit Plan Option(s) subject to the terms and conditions of the Plan and the terms and conditions of the Benefit Plan Options. These Benefit Plan Option(s) are specifically incorporated herein by reference. The maximum Pretax Contributions a Participant can contribute via the Salary Reduction Agreement is the aggregate cost of the applicable Benefit Plan Options selected reduced by any Non-elective Contributions made by the Employer. It is intended that such Pretax Contribution 26 2014-12-02 Agenda Packet Page 132 amounts will,for tax purposes,constitute an Employer contribution,but may constitute Employee contributions for state insurance law purposes. 1. Premium Expense Plan(Medical,Dental,Vision) 2. Health Care Spending Account 3. Dependent Care Spending Account 27 2014-12-02 Agenda Packet Page 133 C. Health Care Spending Account Component Information (a) HCSA Eligibility Requirements and Eligibility Date. Each Employee who is a regular full- time or part-time Employee working a minimum of 20 hours per week (HCSA Eligibility Requirements) is eligible to participate in the HCSA on the date of hire ("HCSA Eligibility Date"). (b) Annual Health Care Spending Account Amount. The maximum annual HCSA reimbursement may not exceed the lesser of the HCSA reimbursement amount elected for that year or $5,000. Effective January 1, 2013,the maximum annual HCSA reimbursement may not exceed the lesser of the HCSA reimbursement amount elected for that year of$2,500. (This amount is indexed to reflect any anticipated cost of living adjustment as assigned by the IRS). The minimum reimbursement amount that may be elected under the HCSA is $0. (c) Coverage Effective Date for Qualified Changes Coverage following a qualified life change will begin on any day of the month following your request for new enrollment or change in enrollment. (d) Coverage End Date for Qualified Changes If coverage is revoked following a qualified life change, coverage will end on any day of the month following the request to revoke coverage. (e) Coverage End Date Under the Health Care Spending Account Coverage will end immediately upon cessation of participation under the HCSA. (f) Run-Out Period (Claim-It-By Date). The Claim-It-By Date/Run-Out Period is the deadline date in which expenses incurred during a coverage period must be submitted to be eligible for reimbursement. Claims must be received by this date to be eligible for reimbursement from the Plan. a. The Mid-Year Run-Out Period for terminated Employees ends 3 months after their termination date. b. The End-of-Plan Run-Out Period for an Employee who is covered through the end of the Plan Year ends 3 months after the end of the Plan Year. (g) Grace Period. The Grace Period is the two months and fifteen day period after the end of the Plan Year for which Eligible Medical Expenses can continue to be incurred should a balance remain in the account as of the last day of the Plan Year. Each Plan Year the Grace Period will begin January 1 and end March 15. All expenses incurred during the Grace Period with the intent to use up any monies from the previous Plan Year, must be submitted within the End-of-Plan Run-Out Period. 28 2014-12-02 Agenda Packet Page 134 (h) Continuation Coverage Administrator. The Continuation Coverage administrator for the HCSA is City of Chula Vista is WageWorks. (i) Method of Funding. HCSA benefits are paid from the Employer's general assets. 29 2014-12-02 Agenda Packet Page 135 D. Dependent Care Spending Account Component Information (a) DCSA Eligibility Requirements and Eligibility Date. Each Employee who is a regular full-time or part-time Employee working a minimum of 20 hours per week (DCSA Eligibility Requirements) is eligible to participate in the DCSA on date of hire ("DCSA Eligibility Date"). (b) Annual Dependent Care Spending Account Amount. The maximum annual DCSA reimbursement each calendar year may not exceed the lesser of the DCSA reimbursement amount elected for that year or $5,000 (or $2,500 for married filling separate returns). The minimum reimbursement amount that may be elected under the DCSA is $0. (c) Coverage End Date Under the Dependent Care Spending Account. Coverage will end immediately upon cessation of participation under the DCSA. (d) Run-Out Period (Claim-It-By Date). The Claim-It-By Date/Run-Out Period is the deadline date in which expenses incurred during a coverage period must be submitted to be eligible for reimbursement. Claims must be received by this date to be eligible for reimbursement from the Plan. a. The Mid-Year Run-Out Period for terminated Employees ends 3 months after their termination date. b. The End-of-Plan Run-Out Period for Employees who are covered through the end of the Plan Year ends 3 months after the end of the Plan Year. (e) Method of Funding. DCSA benefits are paid from the Employer's general assets. 30 2014-12-02 Agenda Packet Page 136 APPENDIX I—CLAIMS REVIEW PROCEDURE The Plan has established the following claims review procedure in the event you are denied a benefit under this Plan. The procedure set forth below does not apply to benefit claims filed under the Benefit Plan Options other than the Health Care Spending Account and Dependent Care Spending Account. Step 1: Notice of denial is received from Third Party Administrator. If your claim is denied, you will receive written notice from the Third Party Administrator that your claim is denied as soon as reasonably possible, but no later than 30 days after receipt of the claim. For reasons beyond the control of the Third Party Administrator, the Third Party Administrator may take up to an additional 15 days to review your claim. You will be provided written notice of the need for additional time prior to the end of the 30-day period. If the reason for the additional time is that you need to provide additional information, you will have 45 days from the notice of the extension to obtain that information. The time period during which the Third Party Administrator must make a decision will be suspended until the earlier of the date that you provide the information or the end of the 45-day period. Step 2: Review your notice carefully. Once you have received your notice from the Third Party Administrator,review it carefully. The notice will contain: a. The reason(s)for the denial and the Plan provisions on which the denial is based; b. A description of any additional information necessary for you to perfect your claim, why the information is necessary, and your time limit for submitting the information; c. A description of the Plan's appeal procedures and the time limits applicable to such procedures; and d. A right to request all documentation relevant to your claim. Step 3: If you disagree with the decision,file an appeal. If you do not agree with the decision of the Third Party Administrator, you may file a written appeal. Your appeal must be received within 180 days of the date you received notice that your claim was denied. You should submit all information identified in the notice of denial as necessary to perfect your claim and any additional information that you believe would support your claim to: WageWorks Claims Appeal Board,P.O. Box 991,Mequon,WI 53092-0991 or fax to 877-220-3248. The Appeal Review Process is documented at www.wageworks.com/hcdcappeals.pdf Step 4: Second notice of denial is received from Third Party Administrator. If the claim is again denied, you will be notified in writing by the Third Party Administrator as soon as possible but no later than 30 days after receipt of the appeal. Step 5: Review your notice carefully. You should take the same action that you take in Step 2 described above. The notice will contain the same type of information that is provided in the first notice of denial provided by the Third Party Administrator. Step 6: If you still disagree with the Third Party Administrator's decision,file a second level appeal with the Plan Administrator. If you still do not agree with the Third Party Administrator's decision and you wish to appeal,you must file a written appeal with the Plan Administrator within the time period set forth in the first level appeal denial notice from the Third Party Administrator. You should gather any 31 2014-12-02 Agenda Packet Page 137 additional information that is identified in the notice as necessary to perfect your claim and any other information that you believe will support your claim. If the Plan Administrator denies your second level appeal,you will receive notice within 30 days after the Plan Administrator receives your claim. The notice will contain the same type of information that was referenced in Step 1 above. Important Information Other important information regarding your appeals: a. Health Care Spending Account Only: Each level of appeal will be independent from the previous level (i.e.,the same person(s) or subordinates of the same person(s) involved in a prior level of appeal will not be involved in the appeal); b. On each level of appeal, the Third Party Administrator will review relevant information that you submit even if it is new information; and C. You cannot file suit in federal court until you have exhausted these appeals procedures. 32 2014-12-02 Agenda Packet Page 138 APPENDIX II—TAX ADVANTAGES EXAMPLE As indicated in the SPD,participating in the Plan can actually increase your take home pay. Consider the following example: You are married and have one child. The Employer pays for 80% of your medical insurance premiums, but only 40% for your family. You pay $2,400 in premiums ($400 for your share of the Employee-only premium,plus$2,000 for family coverage under the Employer's major medical insurance plan). You earn $50,000 and your Spouse(a student)earns no income. You file a joint tax return. If you participate in If you do not participate the Cafeteria Plan in the Cafeteria Plan 1. Gross Income $50,000 $50,000 2. Salary Reductions for Premiums $2,400(pretax) $0 3. Adjusted Gross Income $47,600 $50,000 4. Standard Deduction ($9,700) ($9,700) 5. Exemptions ($9,300) ($9,300) 6. Taxable Income $28,600 $31,000 7. Federal Income Tax ($3,590) ($3,904) (Line 6 x applicable tax schedule) 8. FICA Tax(7.65%x Line 3 Amount ($3,641) ($3,825) 9. After-tax Contributions ($0) ($2400) 10. Pay After Taxes and Contributions $40,365 $39,821 11. Take Home Pay Difference 1 $544 33 2014-12-02 Agenda Packet Page 139 APPENDIX III—ELECTION CHANGE CHART The following is a summary of the election changes that are permitted under this Plan. However, please note that election changes that are permitted under this Plan may not be permitted under the Benefit Plan Option (e.g., the insurance carrier may not allow a change). If a change is not permitted under a Benefit Plan Option, no election change is permitted under the Plan. Likewise, a Benefit Plan Option may allow an election change that is not permitted by this Plan. In that case, your pretax reduction may not be changed even though a coverage change is permitted. First,we describe the general rules regarding election changes that are established by the IRS. Then,you should look to the chart to determine under what circumstances you are permitted to make an election under this Plan and the scope of the changes you may make. 1. Change in Status. Election changes may be allowed if a Participant or a Participant's Spouse or Dependent experiences one of the Change in Status Events set forth in the chart. The election change must be on account of and correspond with the Change in Status Event as determined by the Plan Administrator (or its designated Third Party Administrator). With the exception of enrollment resulting from birth, placement for adoption or adoption, all election changes are prospective (generally the first of the month following the date you make a new election with the Third Party Administrator but it may be earlier depending on the Employer's internal policies or procedures). As a general rule, a desired election change will be found to be consistent with a Change in Status Event if the event the Change in Status affects eligibility for coverage. A Change in Status affects eligibility for coverage if it results in an increase or decrease in the number of Dependents who may benefit under the Plan. In addition,you must also satisfy the following specific requirements in order to alter your election based on that Change in Status: -0 Loss of Dependent Eligibility. For accident and health benefits (e.g., health, dental and vision coverage), a special rule governs which types of election changes are consistent with the Change in Status. For a Change in Status involving a divorce,annulment or legal separation, the death of a Spouse or Dependent, or a Dependent ceasing to satisfy the eligibility requirements for coverage, an election to cancel accident or health benefits for any individual other than the Spouse involved in the divorce, annulment, or legal separation, the deceased Spouse or Dependent, or the Dependent that ceased to satisfy the eligibility requirements, would fail to correspond with that Change in Status. Hence, you may only cancel accident or health coverage for the affected Spouse or Dependent. However,there are instances in which you may be able to increase your Pretax Contributions to pay for continuation coverage of a Dependent. Contact the Third Party Administrator for more information. Example: Employee Mike is married to Sharon, and they have one child. The Employer offers a calendar year cafeteria plan that allows employees to elect no health coverage, employee-only coverage, employee-plus-one-dependent coverage, or family coverage. Before the plan year, Mike elects family coverage for himself, his wife Sharon, and their child. Mike and Sharon subsequently divorce during the plan year; Sharon loses eligibility for coverage under the plan, while the child is still eligible for coverage under the plan. Mike now wishes to cancel his previous election and elect no health coverage. The divorce between Mike and Sharon constitutes a Change in Status. An election to cancel coverage for Sharon is 34 2014-12-02 Agenda Packet Page 140 consistent with this Change in Status. However, an election to cancel coverage for Mike and/or the child is not consistent with this Change in Status. In contrast, an election to change to employee-plus-one-dependent coverage would be consistent with this Change in Status. -P Gain of Coverage Eligibility Under Another Employer's Plan. For a Change in Status in which a Participant or his or her Spouse or Dependent gain eligibility for coverage under another employer's cafeteria plan or benefit plan as a result of a change in marital status or a change in the Participant's, the Participant's Spouse's, or the Participant's Dependent's employment status, an election to cease or decrease coverage for that individual under the Plan would correspond with that Change in Status only if coverage for that individual becomes effective or is increased under the other employer's plan. o Dependent Care Spending Account Benefits. With respect to the Dependent Care Spending Account benefit, an election change is permitted only if(1) such change or termination is made on account of and corresponds with a Change in Status that affects eligibility for coverage under the Plan; or(2)the election change is on account of and corresponds with a Change in Status that affects the eligibility of Dependent Care Spending Account expenses for the available tax exclusion. Example: Employee Mike is married to Sharon, and they have a 12 year-old daughter. The Employer's plan offers a dependent care spending account reimbursement program as part of its cafeteria plan. Mike elects to reduce his salary by $2,000 during a plan year to fund dependent care coverage for his daughter. In the middle of the plan year when the daughter turns 13 years old, however, she is no longer eligible to participate in the dependent care program. This event constitutes a Change in Status. Mike's election to cancel coverage under the dependent care program would be consistent with this Change in Status. Group Term Life Insurance, Disability Income, or Dismemberment Benefits (if offered under the Plan. See the list of Benefit Plan Options offered under the Plan). For group term life insurance, disability income and accidental death and dismemberment benefits only if a Participant experiences any Change in Status (as described above), an election to either increase or decrease coverage is permitted. Example: Employee Mike is married to Sharon and they have one child. The Employer's plan offers a cafeteria plan which funds group-term life insurance coverage (and other benefits) through salary reduction. Before the plan year Mike elects $10,000 of group-term life insurance. Mike and Sharon subsequently divorce during the plan year. The divorce constitutes a Change in Status. An election by Mike either to increase or to decrease his group-term life insurance coverage would each be consistent with this Change in Status. 2. Special Enrollment Rights. If a Participant, Participant's Spouse and/or Dependent are entitled to special enrollment rights under a Benefit Plan Option that is a group health plan, an election change to correspond with the special enrollment right is permitted. Thus, for example, if an otherwise eligible Employee declined enrollment in medical coverage for the Employee or the Employee's eligible Dependents because of outside medical coverage and eligibility for such coverage is subsequently lost due to certain reasons (e.g., due to legal separation, divorce, death, termination of 35 2014-12-02 Agenda Packet Page 141 employment,reduction in hours,or exhaustion of a coverage continuation period),the Employee may be able to elect medical coverage under the Plan for the Employee and his or her eligible Dependents who lost such coverage. Furthermore, if an otherwise eligible Employee gains a new Dependent as a result of marriage, birth, adoption, or placement for adoption, the Employee may also be able to enroll the Employee, the Employee's Spouse, and the Employee's newly acquired Dependent, provided that a request for enrollment is made within the Change of Election Period. An election change that corresponds with a special enrollment must be prospective, unless the special enrollment is attributable to the birth,adoption,or placement for adoption of a child,which may be retroactive up to 30 days. Please refer to the group health plan summary description for an explanation of special enrollment rights. Effective April 1, 2009, if an otherwise eligible Employee (1) loses coverage under a Medicaid Plan under Title XIX of the Social Security Act; (2) loses coverage under State Children's Health Insurance Program (SCHIP) under Title XXI of the Social Security Act; or (3) becomes eligible for group health plan premium assistance under Medicaid or SCHIP, the Employee is entitled to special enrollment rights under a Benefit Plan Option that is a group health plan, and an election change to correspond with the special enrollment right is permitted. Thus, for example, if an otherwise eligible Employee declined enrollment in medical coverage for the Employee or the Employee's eligible Dependents because of medical coverage under Medicaid or SCHIP and eligibility for such coverage is subsequently lost, the Employee may be able to elect medical coverage under a Benefit Option for the Employee and his or her eligible Dependents who lost such coverage. Furthermore, if an otherwise eligible Employee and/or Dependent gains eligibility for group health plan premium assistance from SCHIP or Medicaid, the Employee may also be able to enroll the Employee, and the Employee's Dependent, provided that a request for enrollment is made within the 60 days from the date of the loss of other coverage or eligibility for premium assistance. Please refer to the group health plan summary description for an explanation of special enrollment rights. 3. Certain Judgments,Decrees and Orders. If a judgment,decree or order from a divorce,separation, annulment or custody change requires a Dependent child (including a foster child who is your tax Dependent) to be covered under this Plan, an election change to provide coverage for the Dependent child identified in the order is permissible. If the order requires that another individual (such as your former Spouse) cover the Dependent child, and such coverage is actually provided, you may change your election to revoke coverage for the Dependent child. 4. Entitlement to Medicare or Medicaid. If a Participant or the Participant's Dependents become entitled to Medicare or Medicaid, an election to cancel that person's accident or health coverage is permitted. Similarly, if a Participant or Participant's Dependents who have been entitled to Medicare or Medicaid loses eligibility for such, you may elect to begin or increase that person's accident or health coverage. 5. Change in Cost. If the cost of a Benefit Plan Option significantly increases, a Participant may choose either to make an increase in contributions, revoke the election and receive coverage under another Benefit Plan Option that provides similar coverage, or drop coverage altogether if no similar coverage exists. If the cost of a Benefit Plan Option significantly decreases,a Participant who elected to participate in another Benefit Plan Option may revoke the election and elect to receive coverage provided under the Benefit Plan Option that decreased in cost. In addition, otherwise eligible 36 2014-12-02 Agenda Packet Page 142 Employees who elected not to participate in the Plan may elect to participate in the Benefit Plan Option that decreased in cost. For insignificant increases or decreases in the cost of Benefit Plan Options, however, Pretax Contributions will automatically be adjusted to reflect the minor change in cost. The Plan Administrator will have final authority to determine whether the requirements of this section are met. (Please note that none of the above "Change in Cost" exceptions are applicable to a Health Care Spending Account.) Example: Employee Mike is covered under an indemnity option of his employer's accident and health insurance coverage. If the cost of this option significantly increases during a period of coverage, the Employee may make a corresponding increase in his payments or may instead revoke his election and elect coverage under an HMO option. 6. Change in Coverage. If coverage under a Benefit Plan Option is significantly curtailed,a Participant may elect to revoke his or her election and elect coverage under another Benefit Plan Option that provides similar coverage. If the significant curtailment amounts to a complete loss of coverage, a Participant may also drop coverage if no other similar coverage is available. Further,if the Plan adds or significantly improves a benefit option during the Plan Year, a Participant may revoke his or her election and elect to receive, on a prospective basis, coverage provided by the newly added or significantly improved option, so long as the newly added or significantly improved option provides similar coverage. Also, a Participant may make an election change that is on account of and corresponds with a change made under another employer plan (including a plan of the Employer or another employer), so long as: (a) the other employer plan permits its participants to make an election change permitted under the applicable Treasury regulations; or(b)the Plan Year for this Plan is different from the Plan Year of the other employer plan. Finally, a Participant may change his or her election to add coverage under this Plan for the Participant, the Participant's Spouse or Dependents if such individual(s) loses coverage under any group health coverage sponsored by a governmental or educational institution. The Plan Administrator will have final discretion to determine whether the requirements of this section are met. (Please note that none of the above "Change in Coverage" exceptions are applicable to the Health Care Spending Account.) The following is a chart reflecting the election changes that may be made under the Plan with respect to each Benefit Plan Option. In addition, election changes that are permitted under this Plan are subject to any limitations imposed by the Benefit Plan Options. If an election change is permitted by this Plan but not by the Benefit Plan Option,no election change under this Plan is permitted. 37 2014-12-02 Agenda Packet Page 143 Change in Status Event Major Medical Dental and Vision Health Care Dependent Care Employee Group Spending Account Spending Account Life,AD&D and (HCSA) (DCSA) Disability Coverage I. Change in Status A. Change in Employee's Legal Marital Status 1. Gain Spouse Employee may enroll Same as previous Employee may Employee may enroll Employee may (marriage) or increase election for column(Note: enroll or increase or increase to enroll,increase, newly eligible Spouse HIPAA special election for newly accommodate newly decrease,or cease and Dependent enrollment rights eligible Spouse or eligible Dependents or coverage even when children(Note:Under likely do not apply). Dependents,or decrease or cease eligibility is not IRS"tag-along" likely decrease coverage if new impacted. interpretation,new and election if Spouse is not preexisting Employee or employed or makes a Dependents may be Dependents become DCSA coverage enrolled);coverage an eligible election under option(e.g.,HMO to Dependent under Spouse's plan. PPO)change may be new Spouse's health made;Employee may plan(Note:HIPAA revoke or decrease special enrollment Employee's or rights likely do not Dependent's coverage apply). only when such coverage becomes effective or is increased under the Spouse's plan.Also, see HIPAA special enrollment rule below. 2.Lose Spouse Employee may revoke Same as previous Employee may Employee may enroll Employee may (divorce,legal election only for column(Note: decrease election or increase to enroll,increase, separation, Spouse;coverage HIPAA special for former Spouse accommodate newly decrease,or cease annulment,death of option(e.g.,HMO to enrollment rights who loses eligible Dependents coverage even when Spouse)(See loss of PPO)change may be likely do not eligibility(Note: (e.g.,due to death of eligibility is not Dependent eligibility made;Employee may apply). HIPAA special spouse)or decrease or impacted. below for discussion elect coverage for self enrollment rights cease coverage if of Dependent or Dependents who likely do not eligibility is lost (e.g., eligibility loss lose eligibility under apply).Employee because Dependent following divorce, Spouse's plan if such may enroll or now resides with ex- separation,etc.) individual loses increase election Spouse). eligibility as a result where coverage of the divorce,legal lost under Spouse's separation,annulment, health plan. or death. (Note: Under IRS"tag- along"interpretation, any Dependents may be enrolled so long as at least one Dependent has lost coverage under the Spouse's plan.) 38 2014-12-02 Agenda Packet Page 144 Change in Status Event Major Medical Dental and Vision Health Care Dependent Care Employee Group Spending Account Spending Account Life,AD&D and (HCSA) (DCSA) Disability Coverage B.Change in the Number of Employee's Dependents 1.Gain Dependent Employee may enroll Same as previous Same as previous Employee may enroll Employee may (birth,adoption) or increase coverage column(Note: column(Note: or increase to enroll,increase, for newly-eligible HIPAA special HIPAA special accommodate newly decrease,or cease Dependent(and any enrollment rights enrollment rights eligible Dependents coverage even when other Dependents who likely do not likely do not (and any other eligibility is not were not previously apply). apply). Dependents who were impacted. covered under IRS not previously "tag-along"rule); covered under IRS coverage option(e.g., "tag-along"rule). HMO to PPO)change may be made; Employee may revoke or decrease Employee's or Dependent's coverage if Employee becomes eligible under Spouse's plan. Also, see HIPAA special enrollment rule below. 2.Lose Dependent Employee may drop Same as previous Employee may Employee may Employee may (death) coverage only for the column. decrease or cease decrease election for enroll,increase, Dependent who loses election for Dependent who loses decrease,or cease eligibility;coverage Dependent who eligibility. coverage even when option(e.g.,HMO to loses eligibility. eligibility is not PPO)change may be impacted. made. C.Change in Employment Status of Employee,Spouse,or Dependent That Affects Eligibility 1.Commencement of Employment by Employee, Spouse, or Dependent (or Other Change in Employment Status) That Triggers Eligibility a.Commencement Provided eligibility Same as previous Same as previous Same as previous Employee may of Employment by was gained for this column. column. column. enroll,increase, Employee or coverage,Employee decrease,or cease Other Change in may add coverage for coverage even when Employment Employee,Spouse or eligibility is not Status(e.g.,PT to Dependents and impacted. FT,hourly to coverage option(e.g., salaried,etc.) HMO to PPO)change Triggering may be made. Eligibility Under Component Plan 39 2014-12-02 Agenda Packet Page 145 Change in Status Event Major Medical Dental and Vision Health Care Dependent Care Employee Group Spending Account Spending Account Life,AD&D and (HCSA) (DCSA) Disability Coverage b.Commencement Employee may revoke Same as previous Employee may Employee may make Employee may of Employment by or decrease election as column. apparently decrease or increase election to enroll,increase, Spouse or to Employee's, or cease HCSA reflect new eligibility decrease or cease Dependent or Spouse's,or election if gains (e.g.,if Spouse coverage even when Other Dependent's coverage eligibility for previously did not Spouse's or Employment if Employee,Spouse health coverage work).Employee may Dependent's Event Triggering or Dependent is added under Spouse's or revoke election as to eligibility is not Eligibility Under to Spouse's or Dependent's plan. Dependent's coverage impacted. Their Employer's Dependent's if Dependent is added Plan coverage;coverage to Spouse's plan. option(e.g.,HMO to PPO)change may be made. 2.Termination of Employment by Employee, Spouse,or Dependent(or Other Change in Employment-Status)That Causes Loss of Eligibility a.Termination of Employee may revoke Same as previous Same as previous Employee may revoke Employee may Employee's or decrease election column. column. or decrease election to enroll,increase, Employment or for Employee,Spouse reflect loss of decrease or cease Other Change in or Dependents who eligibility. coverage even when Employment lose eligibility under eligibility is not Status(e.g., the plan. In addition, affected. unpaid leave,FT other previously to PT,strike, eligible Dependents salaried to hourly, may also be enrolled etc.)Resulting in a under"tag-along" Loss of Eligibility rule. Coverage option (I-IMO to PPO) change may be made. i. Termination Prior elections at Same as previous Same as previous Same as previous Same as previous and Rehire termination are column. column. column. column. Within 30 Days reinstated unless another event has occurred that allows a change(as an alternative,Employer may prohibit participation until next plan year). ii.Termination Employee may make Same as previous Same as previous Same as previous Same as previous and Rehire new elections. column. column. column. column. After 30 Days b.Termination of Employee may enroll Same as previous Employee may Employee may enroll Employee may Spouse's or or increase election column(Note: enroll or increase or increase if Spouse enroll,increase, Dependent's for Employee,Spouse HIPAA special HCSA election if or Dependent loses decrease or cease Employment(or or Dependents who enrollment rights Spouse or eligibility for DCSA. even when eligibility other change in lose eligibility under likely do not Dependent loses Employee may is not affected. employment status Spouse's or apply). eligibility for health decrease or cease resulting in a loss of Dependent's coverage(Note: DCSA election if eligibility under Employer's Plan.In HIPAA special Spouse's loss of their Employer's addition,other enrollment rights employment renders plan) previously eligible likely do not Dependents ineligible. Dependents may also apply). be enrolled under "tag-along"rule. 40 2014-12-02 Agenda Packet Page 146 Change in Status Event Major Medical Dental and Vision Health Care Dependent Care Employee Group Spending Account Spending Account Life,AD&D and (HCSA) (DCSA) Disability Coverage Coverage option(e.g., HMO to PPO)change may be made;See HIPAA special enrollment rule below. D. Event Causing Employee's Dependent to Satisfy or Cease to Satisfy Eligibility Requirements (Also see discussion of gain/loss of eligibility under Dependent or Spouse's Employer's plan) 1.Event by Which Employee may enroll Same as previous Employee may Employee may Employee may Dependent Satisfies or increase election column. increase election or increase election or enroll,increase, Eligibility for affected enroll only if enroll to take into decrease or cease Requirements Under Dependent.In Dependent gains account expenses of even when eligibility Employer's Plan addition,Employee eligibility under affected Dependent. is not affected. (attaining a specified may apparently add HCSA. age,becoming single, previously eligible becoming a student, (but not enrolled) etc.) Dependents under "tag-along"rule; coverage option(e.g., HMO to PPO)change may be made. 2.Event by Which Employee may Same as previous Employee may Employee may Employee may Dependent Ceases to decrease or revoke column. decrease election to decrease or drop enroll,increase, Satisfy Eligibility election only for take into account election to take into decrease or cease Requirements Under affected Dependent. ineligibility of account expenses of coverage even when Employer's Plan Coverage option(e.g., expenses of affected Dependent. eligibility is not (attaining a specified HMO to PPO)change affected affected. age,getting married, may be made. Dependent,but ceasing to be a student, only if eligibility is etc.) lost. E.Change in Place of Residence of Employee,Spouse,or Dependent 1.Move Triggers Employee may enroll Same as previous No change allowed, N/A.Dependent care Employee may Eligibility or increase election column. even if underlying eligibility is not increase or decrease for newly eligible health coverage generally affected by even if Spouse's or Employee,Spouse,or change occurs. place of residence(but Dependent's Dependent. Also, see change in eligibility is not other previously coverage below). affected. eligible Dependents may be re-enrolled under"tag-along" rule;coverage option (e.g.,HMO to PPO) change may be made. 41 2014-12-02 Agenda Packet Page 147 Change in Status Event Major Medical Dental and Vision Health Care Dependent Care Employee Group Spending Account Spending Account Life,AD&D and (HCSA) (DCSA) Disability Coverage 2.Move Causes Loss of Employee may revoke Same as previous No change allowed, N/A.Dependent care Employee may Eligibility(e.g., election or make new column. even if underlying eligibility is not enroll,increase, Employee or election if the change health coverage generally affected by decrease or cease Dependent moves in residence affects change occurs. place of residence(but even when eligibility outside HMO service the Employee's, see change in is not affected. area) Spouse's or coverage below). Dependent's eligibility for coverage option. II. Cost Changes With Automatic Increase/Decrease in Elective Contributions (including Employer-motivated changes and changes in Employee contribution rates) Plan may Same as previous No change Application is unclear. Same as Major automatically increase column. permitted. Presumably,plan may Medical column. or decrease(on a automatically increase reasonable and or decrease(on a consistent basis) reasonable and affected Employees' consistent basis) elective contributions affected Employees' under the plan,so elective contributions long as the terms of under the plan,so the plan require long as the terms of Employees to make the plan require such corresponding Employees to make changes. such corresponding changes. III. Significant Cost Changes Significant Cost Same as previous No change Same as Major Same as Major Increase:Affected column. permitted. Medical column for Medical column. Employee may significant cost increase election increase,except no correspondingly OR change can be made revoke election and when the cost change elect coverage under is imposed by a another benefit plan Dependent care option providing provider who is a similar coverage. If relative of the no option providing Employee. similar coverage is available,Employee may revoke election. Significant Cost Decrease:Employees may elect coverage (even if had not participated before) with decreased cost, and may drop election for similar coverage 42 2014-12-02 Agenda Packet Page 148 Change in Status Event Major Medical Dental and Vision Health Care Dependent Care Employee Group Spending Account Spending Account Life,AD&D and (HCSA) (DCSA) Disability Coverage option. Though unclear,it appears that tag-along concepts may apply. IV.Significant Coverage Curtailment(With or Without Loss of Coverage) Without Loss of Same as previous No change Election change may Same as Major Coverage:Affected column. permitted. apparently be made Medical column. participant may whenever there is a revoke election for change in provider or curtailed coverage and a change in hours of make new prospective Dependent care. election for coverage under another benefit plan option which provides similar coverage. With Loss of Coverage:Affected participant may revoke election for curtailed coverage and make new prospective election for coverage under another benefit plan option which provides similar coverage OR drop coverage if no similar benefit plan option is available. V.Addition or Significant Improvement of Benefit Plan Option Eligible employees Same as previous No change Eligible employees Same as previous (whether currently column. permitted. (whether currently column. participating or not) participating or not) may revoke their may revoke their existing election and existing election and elect the newly added elect the newly added (or newly improved) (or newly improved) option. option. Though unclear,it appears that tag-along concepts may apply. 43 2014-12-02 Agenda Packet Page 149 Change in Status Event Major Medical Dental and Vision Health Care Dependent Care Employee Group Spending Account Spending Account Life,AD&D and (HCSA) (DCSA) Disability Coverage VI.Change in Coverage Under Other Employer's Cafeteria Plan or Qualified Benefits Plan (In order for election changes to be permitted under this exception,the election change must be on account of and correspond with the change in coverage under the other Employer's cafeteria plan or qualified benefits plan. In addition,either(1)the plan of the other Employer must permit elections specified under the applicable regulations and an election must actually be made under such plan;or(2)the Employee's cafeteria plan must permit elections for a period of coverage different from that under the other Employer plan("election lock"rule). A. Other Employer's Plan Increases Coverage Employee may Same as previous No change Employee may Same as previous decrease or revoke column. permitted. decrease or revoke column. election for election for Employee,Spouse,or Employee,Spouse,or Dependents if Dependents if Employee,Spouse,or Employee,Spouse,or Dependents have Dependents have elected or received elected or received corresponding corresponding increased coverage increased coverage under other under other employer's plan. employer's plan B. Other Employer's Plan Decreases or Ceases Coverage Employee may enroll Same as previous No change Employee may Same as previous or increase election column. permitted. increase election for column. for Employee,Spouse, Employee,Spouse,or or Dependents if Dependents if Employee,Spouse,or Employee,Spouse,or Dependents have Dependents have elected or received elected or received corresponding corresponding decreased coverage decreased coverage under other under other employer's plan. Employer's plan. C. Open Enrollment Under Plan of Other Employer Corresponding Corresponding No change Corresponding Corresponding changes can be made changes can be permitted. changes can be made changes can be made under Employer's made under under Employer's under Employer's plan. Employer's plan. plan. plan. 44 2014-12-02 Agenda Packet Page 150 Change in Status Event Major Medical Dental and Vision Health Care Dependent Care Employee Group Spending Account Spending Account Life,AD&D and (HCSA) (DCSA) Disability Coverage VII.FMLA Leave (Employees can fund this coverage by(1)pre-paying their contribution obligations on a pre-tax basis(so long as the leave does not straddle two plan years); (2)making contributions on a month-by-month basis(pre-tax if they are receiving salary continuation payments); or(3)catching up on their contributions upon returning from the leave.) A. Employee's Commencement of FMLA Leave Employee can make Same as previous Same as previous Employee may revoke Same as previous same elections as column. column. election and make column. employee on non- another election as FMLA leave. In provided under addition,an employer FMLA. must allow an Employee on unpaid FMLA leave either to revoke coverage or to continue coverage but allow Employee to discontinue payment of his or her share of the contribution during the leave(the Employer may recover the Employee's share of contributions when the Employee returns to work). FMLA also allows an Employer to require that Employees on paid FMLA leave continue coverage if Employees on non- FMLA paid leave are required to continue coverage. B. Employee's Return from FMLA Leave Employee may make Same as previous Same as previous Employee may make Same as previous a new election if column. column. Note that, a new election if column. coverage terminated upon return,an coverage terminated while on FMLA leave. Employee whose while on FMLA leave. In addition,an coverage has In addition,an Employer may require lapsed has the right Employer may require an Employee to be to resume coverage an Employee to be reinstated in his or her at prior coverage reinstated in his or her 45 2014-12-02 Agenda Packet Page 151 Change in Status Event Major Medical Dental and Vision Health Care Dependent Care Employee Group Spending Account Spending Account Life,AD&D and (HCSA) (DCSA) Disability Coverage election upon return level(and make up election upon return from leave if unpaid premiums) from leave if Employees who return or at a level Employees who return from a non-FMLA reduced prorate for from a non-FMLA paid leave are the missed leave are required to required to be contributions. be reinstated in their reinstated in their elections. elections. IX.HIPAA Special Enrollment Rights (See related exception for addition of new Dependents) A. Special Enrollment for Loss of Other Health Coverage Employee may elect No change No change No change permitted. No change coverage for permitted,unless permitted,unless permitted. Employee,Spouse,or plan is subject to HCSA is subject to Dependent who has HIPAA. HIPAA. lost other coverage (COBRA coverage exhausted or terminated,no longer eligible for non- COBRA coverage or Employer contributions for non- COBRA coverage terminated,etc.) Though unclear,it appears that tag-along concepts may apply. B. Special Enrollment for Acquisition of New Dependent by Birth,Marriage,Adoption,or Placement for Adoption. (If newborn or newly adopted child is enrolled under HIPAA's special rules,child's coverage may be retroactive to date of birth,adoption, or placement for adoption;Employee may change salary reduction election to pay for extra cost of child's coverage retroactive to date of birth,adoption, or placement for adoption.For marriage,coverage is effective prospectively.) Employee may elect No change No change No change No change coverage for permitted,unless permitted,unless permitted. permitted. Employee,Spouse, plan is subject to HCSA is subject or Dependent. HIPAA. to HIPAA. Example provides that election of coverage may also extend to previously eligible(but not yet enrolled) Dependents. C. Special Enrollment for Loss of Medicaid under Title XIX of the Social Security Act, State Children's Health Insurance under Title XXI of the Social Security Act,or eligibility for group health plan premium assistance. (If newborn or newly adopted child is enrolled under HIPAA's special rules, child's coverage may be retroactive to date of birth, adoption, or placement for adoption;Employee may change salary reduction election to pay for extra cost of child's coverage retroactive to date of birth,adoption, or placement for adoption.) 46 2014-12-02 Agenda Packet Page 152 Change in Status Event Major Medical Dental and Vision Health Care Dependent Care Employee Group Spending Account Spending Account Life,AD&D and (HCSA) (DCSA) Disability Coverage Employee may elect No change No change No change permitted. No change coverage for permitted,unless permitted,unless permitted. Employee,or plan is subject to plan is subject to Dependent.Unclear, HIPAA. HIPAA. but appears election of coverage may also extend to previously eligible(but not yet enrolled)Dependents. X.COBRA Events Employee may Same as previous No change No change permitted. No change increase pre-tax column. permitted. permitted. contributions under Employer's plan for coverage if COBRA event(or similar state law continuation coverage event) occurs with respect to the Employee, Spouse,or Dependents with respect to which the COBRA qualifying event occurred(such as a loss of eligibility for regular coverage due to loss of Dependent status or a reduction in hours, etc.)and if applicable, the individual still qualifies as a tax Dependent of Employee. XI.Judgment,Decree,or Order A. Order That Requires Coverage for the Child Under Employee's Plan Employee may change Same as previous Same as previous No change permitted. No change election to provide column. column. permitted. coverage for the child. Though unclear,it appears that tag-along concepts may apply. B. Order That Requires Spouse,Former Spouse,or Other Individual to Provide Coverage for the Child Employee may change Same as previous Same as previous No change permitted. No change election to cancel column. column. permitted. coverage for the child. 47 2014-12-02 Agenda Packet Page 153 Change in Status Event Major Medical Dental and Vision Health Care Dependent Care Employee Group Spending Account Spending Account Life,AD&D and (HCSA) (DCSA) Disability Coverage XII.Medicare or Medicaid A. Employee, Spouse, or Dependent Enrolled in Employer's Accident or Health Plan Becomes Entitled to Medicare or Medicaid.(Other than coverage solely for pediatric vaccines) Employee may elect Unlikely that Employee may No change permitted. No change to cancel or reduce Employee can elect apparently decrease permitted. coverage for to drop dental or or revoke election Employee,Spouse,or vision coverage; or increase election Dependent,as presumably, if HCSA is dropped applicable. Employee must due to retain coverage. Medicare/Medicaid and prior Employer coverage was more comprehensive. B. Employee, Spouse, or Dependent Loses Eligibility for Medicare or Medicaid. (Other than coverage solely for pediatric vaccines) Employee may elect Unlikely that Employee may No change permitted. No change to commence or Employee can elect apparently increase permitted. increase coverage for to add dental or or decrease or Employee,Spouse,or vision coverage; revoke election Dependent,as presumably, where Employer applicable. Employee cannot. plan elected due to Though unclear,it loss of eligibility appears that tag-along for concepts may apply. Medicare/Medicaid is more comprehensive than Medicare/Medicaid 48 2014-12-02 Agenda Packet Page 154 EXHIBIT B CM OF CHULA VISTA VOLUNTARY PLAN AFLAC PLAN DOCUMENT Amended and Restated as of January 1, 2015 Human Resources Department City of Chula Vista 2014-12-02 Agenda Packet Page 155 Afiac, Dear EDITH QUICHO: Thank you for choosing Aflac's Flex One® flexible benefits plan. We appreciate your business. Enclosed is a packet containing the documents necessary to establish a cafeteria plan with the assistance of Flex One. Please carefully review the Flexible Benefits Plan Document and Summary Plan Description (SPD), and verify that all of the information about benefits offered, eligibility, plan administration, and funding is correct. Please notice that the sample Flexible Benefits Plan Document refers to the Summary Plan Description with regard to many of the plan's provisions. This approach eases administration and reduces the risk of inconsistency between the Flexible Benefits Plan Document provisions and the Summary Plan Description provisions. For example, if you have changes in the plan, most of the plan changes will only require formal adoption by the governing body of the employer and distribution of a Summary of Material Modifications(discussed in more detail below). You should also note that these documents are only sample documents typical of a plan intended to qualify as a Section 125 Cafeteria Plan with the terms and conditions thereof, and that they may need to be modified to conform to your individual circumstances. Aflac has developed these documents with legal counsel, and it is Aflac's intent and belief that the documents in form satisfy the requirements of IRS Code Section 125. However, Aflac is not in the business of offering legal counsel or tax advice, and thus, Aflac cannot and does not make any representations about the legal or tax effect of these documents upon any particular employer. Therefore, it is each employer's responsibility to determine, with the assistance of the employer's own legal counsel, the suitability of these particular documents, and the legal and tax effect of these plan documents upon the employer and its employees. Since Aflac has no control over your subsequent modification and/or administration of the plan and since the Internal Revenue Service will not render an opinion as to a plan's qualified status under IRS Code Section 125, Aflac makes no representation (express or implied)as to your plan's qualification under IRS Code Section 125 and related provisions as adopted and subsequently amended by you. You, as sponsoring employer, bear sole responsibility for amending your plan (as necessary)to comply with existing tax law and future changes, for meeting all reporting and disclosure requirements imposed by applicable law, and for the daily administration of your plan. As such, we recommend you review the following important information: Important Compliance Issues Nondiscrimination Testing. This test is at the very core of the legal requirements imposed by Section 125 of the Internal Revenue Code. Failure to satisfy these requirements will cause adverse tax consequences to highly compensated and/or key employees and could possibly disqualify the plan. For details regarding your nondiscrimination testing requirements, please refer to the Flex One Account Establishment Information Checklist. Qualified Premiums. Certain insurance premiums that cover the employee(or in the case of accident or health coverage other than life insurance, the employee and tax dependents/family) may be included in the Flexible Benefits Plan Documents if adopted as part of your benefits plan. These include the following: • Group Term Life Insurance covering the employee(eligible under IRS Code Section 79)that is equal to or less than $50,000 (Life insurance coverage on dependents is not eligible for pre-tax treatment.) • Accidental-Death and Dismemberment(AD&D) coverage • Medical, dental, hospital indemnity, cancer insurance, vision, hearing, and other qualified accident and health premiums Effects on taxes. When including health, medical, and disability income policies within the Flexible Benefits Plan, paying for coverage on a pre-tax basis may cause insurance benefit payments under medical coverage to be subject to federal and state taxes if benefit payments from all medical policies/plans are in excess of actual medical expenses. Paying for disability income policies with pre-tax premiums will cause the benefits payable thereunder to be taxable. Continuation of Coverage. Health benefits offered through a cafeteria plan may be subject to the continuation coverage provisions of the Consolidated Omnibus Budget Reconciliation Act of 1985("COBRA"). See the SPD for more details. Continuation of Coverage During FMLA Leave. Health benefits(including health FSA benefits)and nonhealth benefits offered through a cafeteria plan are subject to the continuation and reinstatement provisions of the Family and Medical Leave Act of 1993 ("FMLA"). See Question 13 of the SPD for more details on coverage offered under the Plan during FMLA leave. 1 C 2014-12-02 Agenda Packet Page 156 HIPAA Privacy and Security Requirements. During the course of providing participants with health coverage under a health FSA(if applicable), the plan will have access to information about covered individuals that is deemed to be protected health information (PHI) by the Health Insurance Portability and Accountability Act of 1996 (HIPAA). HIPAA Privacy and Security Rules apply to health plans, including health FSAs. The employer is solely responsible for ensuring that the employer and the plan comply with HIPAA's rules. If you are a Health FSA plan sponsor, Aflac is enclosing a privacy packet(Important Privacy Information)with an overview of the HIPAA Privacy Rules. Aflac is also including general HIPAA language in the sample documentation (Section 10.18 of the Flexible Benefits Plan Document and, for full plans only, Appendix II to the SPD). The privacy information provided in this cafeteria plan packet is not provided with the intent of fully satisfying your HIPAA obligations. HIPAA's Privacy Rules are complicated, and their effects may vary for each plan. Please consult with your legal counsel regarding your required actions and plan language for your company and plan to achieve HIPAA compliance. Plan Administration and Maintenance Plan Document Maintenance. Each plan sponsor is responsible for reviewing the Flexible Benefits Plan Documents to ensure that they are consistent with the desired plan design and any legal requirements that may apply in your state. For your added convenience and your future reference, the most current version of the sample cafeteria plan packet will be available on the Aflac Web site(aflac.com)and through the Flex One IVR(1-877-353-9487). As we make changes to the sample cafeteria plan documents to correspond with changes in applicable laws, you can access the updates quickly and easily. Summary Plan Description. All plan sponsors are required to give each eligible employee a copy of the SPD within 120 days of the effective date of the initial plan year and within 90 days of the effective date of coverage for all subsequent plan years. If an employer makes a change in the plan, the employer must provide employees with a summary of the changes [a Summary of Material Modifications(SMM)]within 60 days of the adoption of the change. Note: While the plan and related documents are copyrighted, Aflac gives you limited permission to copy the documents as necessary for distribution to your employees for use solely in the operation of your own cafeteria plan. Payroll Instructions. Payroll instructions will be thoroughly reviewed with you or your payroll representative by your Aflac agent. Employee Eligibility and Elections New Employees. For details regarding employee eligibility, please refer to Section 2.01 of the Flexible Benefits Plan Document. Employees of Affiliated Companies. If the requirements of IRS Code Section 414(b), (c), (m), or(o)are satisfied, the employees of an affiliated company may be able to participate in this plan. Please consult with your tax advisor concerning the potential impact of IRS Code Section 414(b), (c), (m), and (o). Benefit Election Changes. Employees generally cannot change their election to participate in the pre-tax contribution payment option or vary the pre-tax contributions they have selected. For details regarding important exceptions to this general rule, please refer to Section 3.04 of the Plan Document and Question 9 of the SPD. Due to the complexity of cafeteria plans, we recommend that you consult with your accountant, attorney or other tax advisor concerning the plan provisions, administration, and operation before executing the Plan Documents. Remember that your cafeteria plan will not be effective until your plan is adopted. NOTE: The Flexible Benefits Plan Documents must be signed PRIOR TO THE EFFECTIVE DATE. If your Flexible Benefits Plan Document is executed after the effective date, the IRS may attempt to challenge the qualified status of your plan. We recommend that you retain any evidence that you have showing that your plan was adopted and that enrollments were completed prior to the effective date. If no pre-tax deductions have been made thus far, you may consider changing the start date of your cafeteria plan. Aflac will use its best efforts to provide employers with information from time to time about developments concerning Section 125 Cafeteria Plans. However, for reasons stated above, it is the employer's responsibility to maintain the qualified status of the Section 125 Cafeteria Plan in form and in operation. We value the trust you have placed in us. If you need our help or if you have any questions, please call us toll-free at 1-800-32-FLEX1 (1-800-323-5391). Our customer service representatives are here to assist you Monday through Friday from 8 a.m. to 7 p.m. Eastern time Sincerely, Aflac Benefit Services Department Enc. 2 C 2014-12-02 Agenda Packet Page 157 FLEX ONE°ACCOUNT ESTABLISHMENT INFORMATION AND CHECKLIST Important steps for establishing your Flex One account For all Flex One Cafeteria Plans: ❑ Employer's Acknowledgment: After executing and adopting your Plan Document, please sign and date the Employer's Acknowledgment in order to officially adopt and execute your plan. Place the signed and dated Employer's Acknowledgment in your files with a copy of your Plan Document Packet. ❑ Summary Plan Description: A copy must be provided to each eligible employee as soon as possible. Regulations require distribution within 120 days of the effective date of the initial plan year and within 90 days of the effective date of coverage for all subsequent plan years. For all Flex One plans with FSAs when Flex One is the claims processor: To ensure that your account is established in a timely manner, the following documents must be returned to Flex One at least 10 working days prior to the effective date of your plan. You may return these documents by toll-free fax to (877) FLEX-SRA (877-353-9772)or by mail to Aflac Benefit Services/Flex One, 1932 Wynnton Road, Columbus, GA 31999-9950. ❑ Salary Redirection Agreements(SRAs): Completed SRAs for all Flexible Spending Account(FSA) participants must be returned to Flex One. ❑ Reimbursement Services Agreement (RSA): The RSA must be signed in the second signature block and returned to Flex One. It will be signed by Flex One and returned to you for your records. Important information for administering your Flex One account ❑ Plan Identification Number(PIN): The Department of Labor regulations require that welfare benefit plan sponsors assign a three-digit PIN number to their welfare plans(including cafeteria plans)for identification purposes. Numbering for welfare plans should begin at 501 and proceed consecutively. If you have other plans(e.g., health coverage)assign the next open number. This number must be indicated on the Summary Plan Description. ❑ Affiliated Companies: Only those companies described in Section 414(b), (c) or (m) of the Internal Revenue Code can participate in a cafeteria plan. In addition, if there are affiliated companies, nondiscrimination testing may be affected by affiliated companies. Consult your tax advisor. ❑ 5500 and Summary Annual Report: There is no Form 5500 filing requirement for the cafeteria plan itself. IRS Notice 2002-24 suspended this requirement. Please note that Notice 2002-24 does not affect annual reporting requirements under ERISA. Thus, welfare benefit plans subject to ERISA,which may include Health Flexible Spending Accounts(FSAs), must continue to file Form 5500 and any applicable schedules (unless an applicable exception applies)even if the benefits are funded through the cafeteria plan. You should contact your tax or legal advisor to find out if your Plan is subject to ERISA and whether filing a Form 5500(including any applicable schedules)for your Plan is required. ❑ Nondiscrimination Testing: Tax nondiscrimination tests, including the Eligibility, Contributions and Benefits, and Concentration of Benefits tests, must be performed. In the case of Flexible Spending Accounts (FSAs), nondiscrimination tests must be performed for each FSA. Upon request, Aflac Benefit Services will assist you at no extra charge with the Cafeteria Plan Key Employee 25% Concentration Test, Dependent Care 55% Average Benefit Test, and Dependent Care 5% Shareholder Test. ❑ Health FSAs: You, as Plan Sponsor, are responsible for ensuring that the Health FSA maximum, is in line with your risk tolerance/ Remember IRS Notice 2005-42 allows an additional 2 '/2 month period (i.e., grace period) in which to incur additional medical expenses. If you have selected the grace period feature, the Aflac sample plan incorporates this extension for Health FSAs. ❑ Eligibility: Any eligibility waiting period for pre-tax benefits should generally be uniformly applied. You, as Plan Sponsor, are responsible for ensuring that the eligibility period listed in your plan documents does not violate Internal Revenue Service or Department of Labor regulations. ❑ Privacy: You,as Plan Sponsor,are responsible for ensuring that your plan does not violate the privacy requirements set forth in the Gramm-Leach-Bliley Act of 1999 (GLB)and, if applicable, the Health Insurance Portability and Accountability Act of 1996 (HIPAA). GLB regulates the privacy of financial information and applies to all Flex One plans (see the attached "Privacy Practices"). HIPAA protects privacy by regulating the disclosure of protected health information (PHI), so Plan Sponsors of only Health FSAs must comply with HIPAA privacy requirements (Health FSA Plan Sponsors only, see the attached "Important Privacy Information"). * If you have any questions regarding this checklist, please contact Flex One toll-free at (877) FLEX-IVR (877-353-9487), and one of our Customer Service Representatives can assist you Monday through Friday from 8:00 A.M.to 7:00 P.M. EST. Employer Acknowledgment: Your signature verifies that an Aflac sales representative has reviewed the above information with you. Signature Printed Name Date 1 2014-12-02 Agenda Packet �ageST58 PRIVACY PRACTICES Protecting the privacy and confidentiality of employer and participant information through our Flex One® cafeteria plan services is very important to American Family Life Assurance Company of Columbus (Aflac)and American Family Life Assurance Company of New York (Aflac New York). Throughout this notice when we use the name "Aflac," we will be referring to both organizations. Accordingly,we strive to comply with each of the following practices in everything we do: • We do not sell, rent, lease or otherwise disclose personal information about employers or employees of an employer for purposes unrelated to our products and services. The personal information of our customers is of paramount importance to us. Therefore, we provide this information only to our employees, agents and third parties as required to allow them to help us develop and provide our insurance and employee benefit products and services. • We work to ensure information integrity and security. We use technology tools and design our business practices to help ensure that the personal information of the employer and employees of the employer are properly gathered, stored and processed. We also work to maintain the security of, and internal and external access to, the personal information of our customers through the use of technology and our business practices. • We expect our agents and employees to respect the personal information of our customers. Aflac has business policies and practices in place to help ensure that its employees and agents carry out these practices and otherwise protect the personal information. Both employees and agents are subject to censure,dismissal or termination for violation of these policies. These Privacy Practices apply to our U.S. customers. Due to legal and cultural differences, our practices may vary outside the United States. PRIVACY NOTICE Aflac and our agents provide this notice to let you know about the current privacy practices of Aflac, and our agents. You do not need to do anything in response to this notice. This notice is merely to inform you about how we safeguard your information. Collection of Information As part of Aflac's normal operating procedures,Aflac (and our agents acting on our behalf) need to obtain information from both the employer and the participant to service the flexible spending accounts. Aflac and our agents may collect nonpublic personal information (which includes both nonpublic personal financial information and nonpublic personal health information) about Aflac customers, including but not limited to: • Information from the employer or the participant (including names, addresses, Social Security numbers, financial and marital status,and health and dependent child-care information); • Information about the employer or the participants'transactions with Aflac or our agents (including claims, payment information and banking information); • Information from the employer or the participants' health care providers (including drug receipts and medical information), employers(including benefit elections and employment information)and family members. Disclosure of Information Aflac may disclose the nonpublic personal financial information we collect, as described above, as well as information about your transactions with us(such as your election amounts, premiums and payment history)to our agents or other third parties who perform services for us or functions on our behalf, including the marketing of Aflac services. Aflac may also disclose the nonpublic personal financial information we collect to other third parties as authorized by you,or as required or permitted by law. Our agents will make disclosures of the employer or the participants' nonpublic personal financial information only while acting on Aflac's behalf and,furthermore,will make such disclosures only as Aflac itself is permitted to make. Neither Aflac nor our agents will use or share with other parties any nonpublic personal health information about our customers for any purpose other than the servicing of the employer's flexible spending account plan by Aflac or on our behalf, or to which the customer consents. Neither Aflac nor our agents will further disclose any nonpublic personal information about a former customer of Aflac other than as may be required or permitted by law. Confidentiality and Security Aflac and our agents will safeguard,according to strict standards of security and confidentiality,any information we collect, receive or maintain about Aflac's customers. Aflac maintains administrative, technical and physical safeguards to ensure the security and confidentiality of the employer and employees, and the employer information and records; to protect against anticipated threats or hazards to such records;and to protect against unauthorized access to or use of such information or records. Internally, Aflac limits access to our customers' information to only those employees who need access to the information to perform their job functions. Employees who misuse information are subject to disciplinary actions. Externally,we do not disclose customer information to any third parties unless we have previously informed the customer of the disclosure, have been authorized to do so by the customer,or are required or permitted to make the disclosure by law or our regulators. P Rk 2014-12-02 Agenda Packet 1 rages 159 TABLE OF CONTENTS FLEXIBLE BENEFITS PLAN PREAMBLE 3 ARTICLE I- DEFINITIONS 3 1.01 "Affiliated Employer" 3 1.02 "After-tax Contribution(s)" 3 1.03 "Anniversary Date" 3 1.04 "Benefit Plan(s)or Policy(ies)" 3 1.05 "Board of Directors" 3 1.06 "Change in Status" 3 1.07 "Code" 3 1.08 "Compensation" 3 1.09 "Dependent" 3 1.10 "Dependent Care Expense Reimbursement" 3 1.11 "Earned Income" 3 1.12 "Effective Date" 3 1.13 "Eligible Employment-Related Expenses" 3 1.14 "Eligible Medical Expenses" 4 1.15 "Employee" 4 1.16 "Employer" 4 1.17 "ERISA" 4 1.18 "Medicare Care Expense Reimbursements" 4 1.19 "Highly Compensated Individual" 4 1.20 "Key Employee" 4 1.21 "Nonelective Contribution(s)" 4 1.22 "Participant" 4 1.23 "Plan" 4 1.24 "Plan Administrator" 4 1.25 "Plan Year" 4 1.26 "Pre-tax Contribution(s)" 4 1.27 "Qualified Benefit" 5 1.28 "Qualifying Employment-Related Expenses" 5 1.29 "Qualifying Individual" 5 1.30 "Qualifying Services" 5 1.31 "Reimbursement Account(s)"or"Account(s)" 5 1.32 "Salary Redirection Agreement"or"SRA" 5 1.33 "Spouse" 5 1.34 "Student" 5 1.35 "Summary Plan Description"or"SPD" 5 1.36 "Trustee" 5 ARTICLE 11- ELIGIBILITY AND PARTICIPATION 5 2.01 Eligibility to Participate 5 2.02 Termination of Participation 6 2.03 Eligibility to Participate in Reimbursement Accounts 6 2.04 Qualifying Leave Under FMLA 6 2.05 Non-FMLA Leave 6 ARTICLE III-BENEFIT ELECTIONS 6 3.01 Election of Contributions 6 3.02 Initial Election Period 6 3.03 Annual Election Period 6 3.04 Change of Elections 6 3.05 Impact of Termination of Employment on Election or Cessation of Eligibility 7 ARTICLE IV- BENEFIT FUNDING AND CREDITS AND DEBITS TO ACCOUNTS 7 4.01 Source of Benefit Funding 7 4.02 Reduction of Certain Elections to Prevent Discrimination 7 4.03 Medical Care Expense Reimbursement 7 4.04 Dependent Care Expense Reimbursement 7 ARTICLE V- BENEFITS 8 5.01 Qualified Benefits 8 5.02 Cash Benefit 8 5.03 Repayment of Excess Reimbursements 8 5.04 Termination of Reimbursement Accounts 8 5.05 Coordination of Benefits Under the URM 8 PLF 2014-12-02 Agenda Packet 1 rage 160 ARTICLE VI - PLAN ADMINISTRATION 8 6.01 Allocation of Authority 8 6.02 Payment of Administrative Expenses 9 6.03 Reporting and Disclosure Obligations 9 6.04 Indemnification 9 6.05 Substantiation of Expenses 9 6.06 Reimbursement 9 6.07 Annual Statements 9 ARTICLE VII - FUNDING AGENT 9 ARTICLE VIII - CLAIMS PROCEDURES 9 ARTICLE IX-AMENDMENT OR TERMINATION OF PLAN 10 9.01 Permanency 10 9.02 Employer's Right to Amend 10 9.03 Employer's Right to Terminate 10 9.04 Determination of Effective Date of Amendment or Termination 10 ARTICLE X- GENERAL PROVISIONS 10 10.01 Not an Employment Contract 10 10.02 Applicable Laws 10 10.03 Post-Mortem Payments 10 10.04 Nonalienation of Benefits 10 10.05 Mental or Physical Incompetency 10 10.06 Inability to Locate Payee 10 10.07 Requirement for Proper Forms 10 10.08 Source of Payments 10 10.09 Multiple Functions 11 10.10 Tax Effects 11 10.11 Gender and Number 11 10.12 Headings 11 10.13 Incorporation by Reference 11 10.14 Severability 11 10.15 Effect of Mistake 11 10.16 Provisions Relating to Insurers 11 10.17 Forfeiture of Unclaimed Reimbursement Account Benefits 11 10.18 HIPAA Privacy 11 ARTICLE XI - CONTINUATION COVERAGE UNDER COBRA 11 EMPLOYER'S ACKNOWLEDGEMENT 12 ATTACHMENT I - SUMMARY PLAN DESCRIPTION (SPD) 2 PLF 2014-12-02 Agenda Packet rage 161 PREAMBLE The Employer hereby establishes a Flexible Benefits Plan ("Plan") for its Employees for purposes of providing eligible Employees with the opportunity to choose from among the fringe benefits available under the Plan. The Plan is intended to qualify as a cafeteria plan under the provisions of Code Section 125. The Dependent Care Expense Reimbursement Plan ("DDC") is intended to qualify as a Code Section 129 dependent care assistance plan, and the Medical Care Expense Reimbursement Plan ("URM") is intended to qualify as a Code Section 105 medical expense reimbursement plan. Although printed within this document, the DDC and URM Plans are separate written plans for purposes of administration and all reporting and nondiscrimination requirements imposed by Sections 105 and 129 of the Code and all applicable provisions of ERISA. The DDC and the URM are available only if designated as a Benefit Plan or Policy in the Summary Plan Description (SPD). FLEXIBLE BENEFITS PLAN ARTICLE I - DEFINITIONS 1.01 "Affiliated Employer" means any entity who is considered with the Employer to be a single employer in accordance with Code Section 414(b), (c), or(m)of the Code. 1.02 "After-tax Contribution(s)" means amounts withheld from an Employee's Compensation pursuant to a Salary Redirection Agreement (SRA) after all applicable state and federal taxes have been deducted. Such amounts are withheld for purposes of purchasing one or more of the Benefit Plans or Policies available under the Plan. 1.03 "Anniversary Date" means the first day of any Plan Year. 1.04 "Benefit Plan(s) or Policy(ies)" means those Qualified Benefits available to a Participant under this Plan as set forth in the SPD, as amended and/or restated from time to time. 1.05 "Board of Directors" means the Board of Directors or other governing body of the Employer(the "Board"). The Board, upon adoption of this Plan, appoints the Plan Administrator to act on the Employer's behalf in all matters regarding the Plan. 1.06 "Change in Status" means any of the events described in the SPD, as well as any other events included under subsequent changes to Code Section 125 or regulations issued under Code Section 125, that the Plan Administrator(in its sole discretion) decides to recognize on a uniform and consistent basis as a reason to change the election mid-year. Note: See the SPD for requirements that must be met to permit certain mid-year election changes on account of a Change in Status. 1.07 "Code" means the Internal Revenue Code of 1986, as amended. 1.08 "Compensation" means the cash wages or salary paid to an Employee by the Employer. 1.09 "Dependent" means any individual who is a tax dependent of the Participant as defined generally in Code Section 152(a) except as otherwise set forth in Code Section 21 (for Dependent Care FSA purposes, if offered under the Plan), Code Section 105 (for health plan purposes, if offered under the Plan), and Code Section 223 (for Health Savings Account purposes, if offered under the Plan). Also, for DDC purposes, a Dependent shall also be defined as in Code section 21(e)(5) (i.e., dependent of the custodial parent as defined in Code Section 152(e)). 1.10 "Dependent Care Reimbursement"shall have the meaning assigned to it by Section 5.01 of the Plan. 1.11 "Earned Income" means all income derived from wages, salaries, tips, self-employment, and other Compensation (such as disability or wage continuation benefits), but only if such amounts are includable in gross income for the taxable year. Earned income does not include any other amounts excluded from earned income under Code § 32(c)(2), such as amounts received under a pension or annuity, or pursuant to workers'compensation. 1.12 "Effective Date"of this Plan is the effective date set forth in the SPD. 1.13 "Eligible Employment-Related Expenses" means those Qualifying Employment-Related Expenses (as defined below) paid or incurred incident to maintaining employment after the date of the Employee's participation in the DDC and during the Plan Year(plus any applicable grace period extension as described in the SPD), other than amounts paid to: (a) an individual with respect to whom a Dependent deduction is allowable under Code Sec. 151(c) to the Participant or his Spouse; (b) the Participant's Spouse; or 3 PLF 2014-12-02 Agenda Packet rage 162 (c) a child of the Participant who is under 19 years of age at the end of the taxable year in which the expenses were incurred. 1.14 "Eligible Medical Expenses" means those expenses incurred by the Employee, or the Employee's Spouse or Dependents, after the date of the Employee's participation in the URM and during the Plan Year (plus any applicable grace period extension as described in the SPD) to the extent that the expense satisfies the conditions set forth in the Summary Plan Description and are for "medical care" as defined by Code Section 213(d). For purposes of this Plan, the following expenses are not considered "Eligible Medical Expenses" even if they otherwise constitute "medical care" under Code Section 213(d): i) expenses for qualified long term care services (as defined in Code § 7702B(c)); and ii) expenses incurred for health insurance premiums. For purposes of this Plan, an expense is "incurred" when the Participant or beneficiary is furnished the medical care or services giving rise to the claimed expense, regardless of when the expense is paid. 1.15 "Employee" means any individual who is considered to be in a legal employer-employee relationship with the Employer for federal tax-withholding purposes. Such term includes "former employees" for the limited purpose of allowing continued eligibility for benefits hereunder for the remainder of the Plan Year in which an employee ceases to be employed by the Employer. The term "Employee" shall not include any leased employee (as that term is defined in Code Section 414(n)) or any self- employed individual who receives from the Employer "net earnings from self- employment"within the meaning of Code Section 401(c)(2) unless such individual is also an Employee. 1.16 "Employer" means the Employer and the Affiliated Employers named in the SPD provided, however, that when the Plan provides that the Employer has a certain power (e.g., the appointment of a Plan Administrator, entering into a contract with a third party insurer, or amendment or termination of the plan) the term "Employer" shall mean only that entity named on the first line of the Plan Information Summary of the SPD, and not any Affiliated Employer. Affiliated Employers who sign the Plan Information Summary and/or otherwise adopt the Plan shall be bound by the Plan as adopted and subsequently amended unless they clearly withdraw from participation herein. 1.17 "ERISA"shall mean the Employee Retirement Income Security Act of 1974, as amended. 1.18 "Health Care Reimbursement"shall have the meaning assigned to it by Section 5.01 of the Plan. 1.19 "Highly Compensated Individual" means an individual defined under Code Section 105(h), 125(e), or 414(q), as amended, as a "highly compensated individual"or a "highly compensated employee." 1.20 "Key Employee" means an individual who is a "key employee"as defined in Code Section 125(b)(2), as amended. 1.21 "Nonelective Contribution(s)" means any amount that the Employer, in its sole discretion, may contribute on behalf of each Participant to provide benefits for such Participant and his or her Spouse and Dependents, if applicable, under one or more of the Benefit Plan(s) or Policy(ies) offered under the Plan. The amount of employer contribution that is applied towards the cost of the Benefit Plan(s) or Policy(ies)for each Participant and/or level of coverage shall be subject to the sole discretion of the Employer. The amount of Nonelective Contribution for each Participant may be adjusted upward or downward in the contributing Employer's sole discretion. The amount shall be calculated for each Plan Year in a uniform and nondiscriminatory manner and may be based upon the Participant's dependent status, commencement or termination date of the Participant's employment during the Plan Year, and such other factors as the Employer shall prescribe. To the extent set forth in the SPD or enrollment material, the Employer may make Nonelective Contributions available to Participants and allow Participants to allocate the Nonelective Contributions among the various Benefit Plans or Policies offered under the Plan in a manner set forth in the SPD of additional, taxable Compensation except as otherwise provided in the SPD or enrollment material. 1.22 "Participant" means an Employee who becomes a Participant pursuant to Article II. 1.23 "Plan" means the Flexible Benefits Plan, the SPD (defined in Section 1.35 herein) and (if applicable) the related Trust created by this document. 1.24 "Plan Administrator" means the person(s) or Committee identified in the SPD that is appointed by the Employer with authority, discretion, and responsibility to manage and direct the operation and administration of the Plan. If no such person is named, the Plan Administrator shall be the Employer. 1.25 "Plan Year" shall be the period of coverage set forth in the SPD (as extended by any applicable grace period as set forth in the SPD). 1.26 "Pre-tax Contribution(s)" means amounts withheld from an Employee's Compensation pursuant to a Salary Redirection Agreement before any applicable state and federal taxes have been deducted. The amounts are withheld for purposes of purchasing one or more of the Benefit Plans or Policies available under the Plan. This amount shall not exceed the premiums or contributions attributable to the most costly Benefit Plan or Policy afforded hereunder, and for 4 PLF 2014-12-02 Agenda Packet rage 163 purposes of Code Section 125, shall be treated as an Employer contribution (this amount may, however, be treated as an Employee contribution for purposes of state insurance laws). 1.27 "Qualified Benefit" means any benefit excluded from the Employee's taxable income under Chapter 1 of the Code other than Sections 106(b), 117, 124, 127, or 132 and any other benefit permitted by the Income Tax Regulations (i.e., any life insurance coverage that is includable in gross income by virtue of exceeding the dollar limitation on nontaxable coverage under Code Sec. 79). Notwithstanding the previous sentence, long-term care insurance is not a "Qualified Benefit." 1.28 "Qualifying Employment-Related Expenses" means those expenses that would be considered to be employment-related expenses under Section 21(b)(2) of the Code (relating to expenses for household and dependent care services necessary for gainful employment) if paid for by the Employee to provide Qualifying Services. 1.29 "Qualifying Individual" means an individual defined as a "Qualifying Individual" in the Summary Plan Description. 1.30 "Qualifying Services" means services relating to the care of a Qualifying Individual that enable the Participant or his Spouse to remain gainfully employed which are performed: (a) in the Participant's home; or (b) outside the Participant's home for(1) the care of a Dependent of the Participant who is under age 13, or(2)the care of any other Qualifying Individual who resides at least eight (8) hours per day in the Participant's household. If the expenses are incurred for services provided by a dependent care center (i.e., a facility that provides care for more than six (6) individuals not residing at the facility), the center must comply with all applicable state and local laws and regulations. 1.31 "Reimbursement Account(s)" or "Account(s)" shall be the funding mechanism by which amounts are withheld from an Employee's Compensation and retained for future Health Care Reimbursement (as defined in Section 1.18 herein) and Dependent Care Reimbursement (as defined in Section 1.10 herein) to the extent adopted by the Employer as set forth in the SPD. No money shall actually be allocated to any individual Participant Account(s); any such Account(s) shall be of a memorandum nature, maintained by the Administrator for accounting purposes, and shall not be representative of any identifiable trust assets. No interest will be credited to or paid on amounts credited to the Participant Account(s). 1.32 "Salary Redirection Agreement" or "SRA" means the actual or deemed agreement pursuant to which an eligible Employee or Participant elects to contribute his share of the cost of chosen Benefit Plans or Policies with Pre-tax or After-tax Contributions and/or Benefit Credits (if offered under the Plan) in accordance with Article III herein. If the Employer utilizes an interactive voice response (IVR) system or web-based program for enrollment, the SRA may be maintained on an electronic database in accordance with all applicable federal and/or state laws. 1.33 "Spouse" means an individual who is legally married to a Participant(and who is treated as a spouse under the Code), but for purposes of the Dependent Care Reimbursement Plan provisions, shall not include an individual who, although married to the Participant, files a separate federal income tax return, maintains a separate, principal residence from the Participant during the last six months of the taxable year, and does not furnish more than one-half of the cost of maintaining the principal place of abode of the Qualifying Individual. 1.34 "Student" means an individual who, during each of five(5) or more calendar months during the Plan Year, is a full time student at any college or university, the primary function of which is the conduct of formal instruction, and which routinely maintains a regular faculty and curriculum and normally has an enrolled student body in attendance at the location where its educational activities are regularly presented. 1.35 "Summary Plan Description" or "SPD" means the document attached as Attachment I to the Plan document that describes the term of Plan not set forth herein. The SPD and all applicable appendices are incorporated hereto by reference. 1.36 "Trustee" (if applicable) means the person(s) or institution (and their successors) named on the signature page attached hereto, who have assented to being so named by their signature to this Agreement, otherwise empowered to hold and disburse the funds that are created hereunder. ARTICLE II - ELIGIBILITY AND PARTICIPATION 2.01 Eligibility to Participate. Each Employee who satisfies the eligibility requirements set forth in the SPD shall be eligible to participate in this Plan as of any applicable entry date set forth in the SPD. The provisions of this Article are not intended to override any eligibility requirement(s)or waiting period(s)specified in the applicable Benefit Plans or Policies and the terms of eligibility and participation for the Benefit Plan(s)or Policy(ies)offered under the Plan shall be subject to the requirements specified in the governing documents of the Benefit Plans or Policies. 5 PLF 2014-12-02 Agenda Packet rage 164 2.02 Termination of Participation. Participation shall terminate on the earliest of the dates set forth in the SPD. 2.03 Eligibility to Participate in Reimbursement Accounts. Each Employee who satisfies the eligibility requirements set forth in the SPD shall be eligible to participate in the Reimbursement Accounts, if adopted by the Employer, on the date set forth in the SPD. Participation in the Reimbursement Accounts shall be effective on the date set forth in the SPD. 2.04 Qualifying Leave Under FMLA. Notwithstanding any provision to the contrary in this Plan, if a Participant goes on a qualifying leave under the Family and Medical Leave Act of 1993 (the "FMLA"), then to the extent required by the FMLA, the Participant will be entitled to continue the Participant's Benefit Plans or Policies that provide health coverage (including URM benefits to the extent offered under the Plan) on the same terms and conditions as if the Participant were still an active Employee. The requirements for continuing coverage, procedures for FMLA leave, and payment option(s) provided by the Employer (as described above) will be set forth in the SPD and will be administered in accordance with the regulations issued under Code Section 125 and in accordance with the FMLA. 2.05 Non-FMLA Leave. If a Participant goes on an unpaid leave of absence that does not affect eligibility under this Plan or the Benefit Plans or Policies chosen by the Participant, then the Participant will continue to participate and the contributions due for the Participant will be paid by one or more of the payment options described in the SPD. If a Participant goes on an unpaid leave that affects eligibility under this Plan or the Benefit Plans or Policies chosen by the Participant, the election change rules in Section 3.04 will apply. If such policy requires coverage to continue during the leave but permits a Participant to discontinue contributions while on leave, the Participant will, upon returning from leave, be required to repay the contributions not paid by the Participant during the leave. ARTICLE III - BENEFIT ELECTIONS 3.01 Election of Contributions. A Participant may elect any combination of Pre-tax Contributions or After-tax Contributions (as set forth in the SPD) to fund any Benefit Plan or Policy available under the Plan, provided that only Qualified Benefits may be funded with Pre-tax Contributions. The Employer may, but is not required, to allocate Non-elective Contributions to one or more Benefit Plans or Policies offered under the Plan and to the extent set forth in the SPD or enrollment material, may allow the Participants to allocate his allotted share of Nonelective Contributions among the various Benefit Plans or Policies in a manner set forth in the SPD or enrollment material. 3.02 Initial Election Period. (a) Currently Eligible Employees. An Employee who is eligible to become a Participant in this Plan as of the Effective Date must complete, sign and file an SRA with the Plan Administrator during the election period (as specified by the Plan Administrator) immediately preceding the Effective Date of the Plan in order to become a Participant on the Effective Date. The elections made by the Participant on this initial SRA shall be effective, subject to Section 3.04, for the Plan Year beginning on the Effective Date. (b) New Employees and Employees Who Have Not Yet Satisfied The Plan's Waiting Period. An Employee who becomes eligible to become a Participant in this Plan after the Effective Date must complete, sign and file a SRA with the Plan Administrator (or its designated third party administrator as set forth on the SRA) during the Initial Election Period set forth in the SPD or the enrollment material. Participation will commence under this Plan as set forth in the SPD. Coverage under the component Benefit Plans or Policies will be effective in accordance with the governing provisions of such Benefit Plans or Policies. (c) Failure to Elect. An eligible Employee who fails to complete, sign and file a SRA in accordance with paragraph (a) or (b) above during an initial election period may become a Participant on a later date in accordance with Section 3.03 or 3.04. 3.03 Annual Election Period. Each Employee who is a Participant in this Plan or who is eligible to become a Participant in this Plan shall be notified, prior to each Anniversary Date of this Plan, of his right to become a Participant in this Plan, to continue participation in this Plan, or to modify or to cease participation in this Plan, and shall be given a reasonable period of time in which to exercise such right: such period of time shall be known as the Annual Election Period. The date that the Annual Election Period commences and ends will be set forth in the SPD or the enrollment material. An election is made during the Annual Election Period in the manner set forth in the SPD. The consequences of failing to make an election during the Annual Election Period will be set forth in the SPD. 3.04 Change of Elections. A Participant shall not make any changes to the Pre-tax Contribution amount or, where applicable, to the Participant's elected allocation of Nonelective Contributions except for election changes permitted under this Section 3.04, and for changes made during the Annual Election Period (Section 3.03), changes caused by termination of employment(Section 3.05)and changes pursuant to the Family and Medical Leave Act(Section 2.04). Except as provided in the SPD for HIPAA special enrollment rights arising from the birth, adoption, or placement for adoption of a child, all election changes shall be effective on a prospective basis only(i.e., election changes will become effective no earlier than the first day of the first pay period coinciding with or immediately following the date that the 6 PLF 2014-12-02 Agenda Packet rage 165 election change was filed) but, as determined by the Plan Administrator, election changes may become effective later to the extent the coverage in the applicable component plan commences later. The circumstances under which a Participant may change his election under this Plan are set forth in the SPD. 3.05 Impact of Termination of Employment on Election or Cessation of Eligibility. Termination of employment or cessation of eligibility shall automatically revoke any SRA. Except as provided below, if revocation occurs under this Section 3.05, no new election with respect to Pre-Tax Contributions may be made by such Participant during the remainder of the Plan Year. Rules governing elections for former participants rehired during the same Plan Year shall be set forth in the SPD. ARTICLE IV- BENEFIT FUNDING AND CREDITS AND DEBITS TO ACCOUNTS 4.01 Source of Benefit Funding. The cost of coverage under the component Benefit Plans or Policies shall be funded by the Participant's Pre-tax and/or After-tax Contributions and/or any Nonelective Contributions provided by the Employer. The required contributions for each of the Benefit Plans or Policies offered under the Plan shall be made known to employees in enrollment materials. Pre-tax or After-tax Contributions (as elected by the Employee on the SRA) shall equal the contributions required from the Participant less any available Nonelective Contributions allocated thereto by the Employer, or where applicable, the Participant for coverage of the Participant or the Participant's Spouse or Dependents under the Benefit Plans or Policies elected by the Participant under this Plan. Amounts withheld from a Participant's Compensation as Pre-tax Contributions or After-tax Contributions shall be applied to fund benefits as soon as administratively feasible. The maximum amount of Pre-tax Contributions plus any Nonelective Contributions made available by the Employer for Benefit Plan(s) or Policy(ies) offered under this Plan shall not exceed the aggregate cost of the Benefit Plan(s)or Policy(ies)elected by the Employee. 4.02 Reduction of Certain Elections to Prevent Discrimination. If the Plan Administrator determines, before or during any Plan Year, that the Plan may fail to satisfy for such Plan Year any requirement imposed by the Code or any limitation on Pre-tax Contributions allocable to Key Employees or to Highly Compensated Individuals, the Plan Administrator shall take such action(s) as he deems appropriate, under rules uniformly applicable to similarly situated Participants, to assure compliance with such requirement or limitation. Such action may include, without limitation, a modification or revocation of a Highly Compensated Individual's or Key Employee's election without the consent of such Employee. 4.03 Health Care Reimbursement. To the extent offered under the Plan, each Participant's URM will be credited for Health Care Reimbursement with amounts withheld from the Participant's Compensation and any Nonelective Contributions allocated thereto by the Employer or where applicable, the Participant. The Account will be debited for Health Care Reimbursements disbursed to the Participant in accordance with Article V of this document. The entire amount elected by the Participant on the SRA as an annual amount for the Plan Year for Health Care Reimbursement less any Health Care Reimbursements already disbursed to the participant for Expenses incurred during the Plan Year (plus any grace period as set forth in the SPD)shall be available to the Participant at any time during the Plan Year without regard to the balance in the Health Care Account (provided that the periodic contributions have been made). Thus, the maximum amount of Health Care Reimbursement at any particular time during the Plan Year will not relate to the amount that a Participant has had credited to his URM. In no event will the amount of Health Care Reimbursements in any Plan Year (plus any grace period as set forth in the SPD) exceed the annual amount specified for the Plan Year in the SRA for Health Care Reimbursement. Any amount credited to the Health Care Account shall be forfeited by the Participant and restored to the Employer if it has not been applied to provide Health Care Reimbursement within the Run-Off period set forth in the SPD. Amounts so forfeited shall be used in a manner that is permitted within the applicable Department of Labor ("DOL") or Internal Revenue Service ("IRS") regulations. The maximum annual reimbursement under the URM shall be set forth in the SPD. The Employer may establish a minimum annual reimbursement amount as set forth in the SPD. 4.04 Dependent Care Reimbursement. To the extent offered under the Plan, each Participant's DDC will be credited for Dependent Care Reimbursement with amounts withheld from the Participant's Compensation, and any Nonelective Contributions allocated thereto by the Employer or where applicable, the Participant. The Dependent Care Account will be debited for Dependent Care Reimbursements disbursed to the Participant in accordance with Article V of this document. In the event that the amount in the Account is less than the amount of reimbursable claims at any time during the Plan Year, the excess part of the claim will be carried over into following months within the same Plan Year, to be paid out as the Dependent Care Account balance becomes adequate. In no event will the amount of Dependent Care Reimbursements exceed the amount credited to the Dependent Care Account for any Plan Year. Any amount allocated to the Dependent Care Account shall be forfeited by the Participant and restored to the Employer if it has not been applied to provide Dependent Care Reimbursement for the Plan Year within the Run-Off period set forth in the SPD. Amounts so forfeited shall be used in a manner that is not prohibited by applicable federal or state law. The maximum annual reimbursement amount shall be set forth in the SPD. The Employer may establish a minimum annual reimbursement amount as set forth in the SPD. PLF 2014-12-02 Agenda Packet rage 166 ARTICLE V- BENEFITS 5.01 Qualified Benefits. The maximum benefit a Participant may elect under this Plan shall not exceed the sum of i) the aggregate premium for all Benefit Plan(s) or Policy(ies) set forth in the SPD (other than Health and DDC); ii) the maximum annual Health Care Reimbursement under the URM as set forth in the SPD (if offered under the Plan); and iii) the maximum annual Dependent Care Reimbursement under the DDC as set forth in the SPD (if offered under the Plan). (a) Special Rules for Health Care Reimbursement. To the extent offered under the Plan, payment shall be made to the Participant in cash as reimbursement for Eligible Medical Expenses incurred by the Participant or his Spouse or Dependents while he is a Participant during the Plan Year (plus any grace period extension as specified in the SPD) for which the Participant's election is effective provided that the substantiation requirements of Section 6.05 herein are satisfied. (b) Special Rules for Dependent Care Reimbursement. To the extent offered under the Plan, payment shall be made to the Participant in cash as reimbursement for Eligible Employment Related Expenses incurred by him while a Participant, during the Plan Year(plus any applicable grace period extension as described in the SPD) for which the Participant's election is effective, provided that the substantiation requirements of Section 6.05 have been satisfied. 5.02 Cash Benefit. To the extent that a Participant does not elect to have the maximum amount of his Compensation contributed as a Pre-tax Contribution or After-tax Contribution hereunder, such amount not elected shall be paid to the Participant in the form of normal Compensation payments; provided, however, that any applicable Nonelective Contributions may not be received in the form of cash compensation, except as otherwise provided for in the SPD or the enrollment material. 5.03 Repayment of Excess Reimbursements. If, as of the end of any Plan Year, it is determined that a Participant has received payments under this Plan that exceed the amount of Eligible Medical Expenses and/or Eligible Employment Related Expenses that have been substantiated by such Participant during the Plan Year as required by Section 6.05 herein, the Plan Administrator shall give the Participant prompt written notice of any such excess amount, and the Participant shall repay the amount of such excess to the Employer within sixty(60)days of receipt of such notification. 5.04 Termination of Reimbursement Accounts. Coverage under the URM and/or DDC shall cease as of the day in which a Participant is no longer employed by the Employer or when a premium payment for the respective plan(s) has been missed for any reason. Provided, however, that Participants may submit claims for reimbursement for Eligible Employment-Related Expenses arising during the Plan Year at any time until the end of the Run-Off period set forth in the SPD. Participants in the URM may submit claims for reimbursement for Eligible Medical Expenses arising during the Plan Year and before the date of separation from service at any time until the end of the Run-Off period set forth in the SPD. Unless a COBRA election is made as set forth in the SPD, Participants shall not be entitled to receive reimbursement for Eligible Medical Expenses incurred after employment ceases under this Section. Any unused reimbursement benefits at the expiration of the Plan Year (as set forth in the SPD) shall be treated in accordance with Sections 4.03 or 4.04. A special grace period may be applicable with regard to URM and/or DDC participation after the close of the Plan Year(see SPD). 5.05 Coordination of Benefits Under the URM. The URM is intended to pay benefits solely for otherwise unreimbursed medical expenses. Accordingly, it shall not be considered a group health plan for coordination of benefits purposes, and its benefits shall not be taken into account when determining benefits payable under any other plan. ARTICLE VI - PLAN ADMINISTRATION 6.01 Allocation of Authority. The Board of Directors or applicable governing body (or an authorized officer of the Employer)appoints a Plan Administrator that keeps the records for the Plan and shall control and manage the operation and administration of the Plan. The Plan Administrator shall have the exclusive right to interpret the Plan and to decide all matters arising thereunder, including the right to make determinations of fact, and construe and interpret possible ambiguities, inconsistencies, or omissions in the Plan and the SPD issued in connection with the Plan. In the case of an insured Benefit Plan or Policy, the insurer shall be the named fiduciary with respect to benefit claim determinations thereunder, and with respect to benefit claims shall have all of the powers of the Plan Administrator described herein. All determinations of the Plan Administrator with respect to any matter hereunder shall be conclusive and binding on all persons. Without limiting the generality of the foregoing, the Plan Administrator shall have the following powers and duties: (a) To require any person to furnish such reasonable information as he may request for the purpose of the proper administration of the Plan as a condition to receiving any benefits under the Plan; 8 PLF 2014-12-02 Agenda Packet rage 167 (b) To make and enforce such rules and regulations and prescribe the use of such forms as he shall deem necessary for the efficient administration of the Plan; (c) To decide on questions concerning the Plan and the eligibility of any Employee to participate in the Plan and to make or revoke elections under the Plan, in accordance with the provisions of the Plan; (d) To determine the amount of benefits which shall be payable to any person in accordance with the provisions of the Plan; to inform the Employer or insurer as appropriate, of the amount of such benefits; and to provide a full and fair review to any Participant whose claim for benefits has been denied in whole or in part; (e) To designate other persons to carry out any duty or power which may or may not otherwise be a fiduciary responsibility of the Plan Administrator, under the terms of the Plan. Such entity will be referred to as a third party administrator and shall be identified in the SPD; (f) To keep records of all acts and determinations, and to keep all such records, books of account, and data and other documents as may be necessary for the proper administration of the Plan; and (g) To do all things necessary to operate and administer the Plan in accordance with its provisions. 6.02 Payment of Administrative Expenses. Except as otherwise provided in the SPD, the Employer currently pays all reasonable expenses incurred in administering the Plan. 6.03 Reporting and Disclosure Obligations. Unless specified otherwise, it shall be the Employer and Plan Administrator's sole responsibility to comply with all filing, reporting, and disclosure requirements, imposed by the DOL and/or IRS, specifically including, but not limited to creating, filing and distributing Summary Annual Reports, Form 5500s, and SPDs. Furthermore, the Employer and Plan Administrator shall be required to amend the Plan as is necessary to ensure compliance with applicable tax and other laws and regulations. 6.04 Indemnification. The Plan Administrator shall be indemnified by the Employer against claims, and the expenses of defending against such claims, resulting from any action or conduct relating to the administration of the Plan except claims arising from gross negligence, willful neglect, or willful misconduct. 6.05 Substantiation of Expenses. Each Participant must submit a written Claim Form to the Plan Administrator identified in the SPD or its designated plan service provider to receive reimbursements from the URM and/or DDC, on a form provided by the Plan Administrator accompanied by a written statement/bill from an independent third party stating that the expense has been incurred, and the amount thereof. The forms shall contain such evidence, as the Plan Administrator shall deem necessary as to substantiate the nature, the amount, and timeliness of any expenses that may be reimbursed. 6.06 Reimbursement. Reimbursements shall be made as soon as administratively feasible after the required forms have been received by the Plan Administrator identified in the SPD or its designated plan service provider. Reimbursements of less than $15 may be carried forward and aggregated with future reimbursements until the reimbursable amount is greater than $15. However, claims for reimbursements outstanding at the end of the Plan Year (plus any grace period as set forth in the SPD) shall be reimbursed without regard to the $15 threshold limit. Year-end expense reimbursements must be submitted to the Plan Administrator within 90 days of the close of the Plan Year for which the SRA is effective, and during which such expense was incurred, in order to be eligible for reimbursement. 6.07 Annual Statements. The Plan Administrator shall furnish each Participant with an annual statement, showing the amounts paid or expenses incurred by the Employer in providing Medical and/or Dependent Care Expense Reimbursement during the previous calendar year and the respective Reimbursement Account balance(s) on or before January 31 following the close of the applicable Plan Year. ARTICLE VII - FUNDING AGENT The Plan shall be funded with amounts withheld from Compensation pursuant to SRAs, and/or Nonelective Contributions provided by the Employer, if any. The Employer will apply all such amounts, without regard to their source, to pay for the welfare benefits provided herein as soon as administratively feasible and shall comply with all applicable regulations promulgated by the DOL taking into consideration any enforcement procedures adopted by the DOL. If a Trust is designated Funding Agent in the SPD, an appropriate Trust Agreement shall be attached at the end of this Plan. ARTICLE VIII -CLAIMS PROCEDURES The Plan has established procedures for reviewing claims denied under this Plan and those claims review procedures are set forth in the SPD. The Plan's claim review procedures set forth in the SPD shall only apply to issues germane to the pre-tax benefits available under this Plan (i.e., such as a determination of: a Change in Status; change in cost or coverage; or eligibility 9 PLF 2014-12-02 Agenda Packet rage 168 and participation matters under this Cafeteria Plan document), and to the extent offered under the Plan, claims for benefits under the Reimbursement Accounts. ARTICLE IX-AMENDMENT OR TERMINATION OF PLAN 9.01 Permanency. While the Employer fully expects that this Plan will continue indefinitely, due to unforeseen, future business contingencies, permanency of the Plan will be subject to the Employer's right to amend or terminate the Plan, as provided in Sections 9.02 and 9.03 below. Nothing in this Plan is intended to be or shall be construed to entitle any Participant, retired or otherwise, to vested or non-terminable benefits. 9.02 Employer's Right to Amend. The Employer reserves the right to amend at any time any or all of the provisions of the Plan. All amendments shall be made in writing and shall be approved by the Employer in accordance with its normal procedures for transacting business (e.g. by approval by the Board of Directors through a meeting or unanimous consent of all Board members). Such amendments may apply retroactively or prospectively as set forth in the amendment. Each Benefit Plan or Policy shall be amended in accordance with the terms specified therein, or, if no amendment procedure is prescribed, in accordance with this section. Any amendment made by the Employer shall be deemed to be approved and adopted by any Affiliated Employer. 9.03 Employer's Right to Terminate. The Employer reserves the right to discontinue or terminate the Plan without prejudice at any time and for any reason without prior notice. Such decision to terminate the Plan shall be made in writing and shall be approved by the Employer in accordance with its normal procedures for transacting business. Affiliated Employers may withdraw from participation in the Plan, but may not terminate the Plan. 9.04 Determination of Effective Date of Amendment or Termination. Any such amendment, discontinuance, or termination shall be effective as of such date as the Employer shall determine. No amendment, discontinuance or termination shall allow the return to any Employer of any Reimbursement Account balance for its use for any purpose other than for the exclusive benefit of the Participants and their beneficiaries except as provided in Section 4.03 and 4.04 herein. ARTICLE X-GENERAL PROVISIONS 10.01 Not an Employment Contract. Neither this Plan nor any action taken with respect to it shall confer upon any person the right to continue employment with any Employer. 10.02 Applicable Laws. The provisions of the Plan shall be construed, administered and enforced according to applicable federal law and the laws of the state of the principal place of business of the Employer to the extent not preempted. 10.03 Post-Mortem Payments. Any benefit payable under the Plan after the death of a Participant shall be paid to his surviving spouse (if any), otherwise, to his estate. If there is doubt as to the right of any beneficiary to receive any amount, the Plan Administrator may retain such amount until the rights thereto are determined, without liability for any interest thereon. 10.04 Nonalienation of Benefits. Except as expressly provided by the Plan Administrator, no benefit under the Plan shall be subject in any manner to anticipation, alienation, sale, transfer, assignment, pledge, encumbrance, or charge, and any attempt to do so shall be void. No benefit under the Plan shall in any manner be liable for or subject to the debts, contracts, liabilities, engagements, or torts of any person. 10.05 Mental or Physical Incompetency. Every person receiving or claiming benefits under the Plan shall be presumed to be mentally and physically competent and of age until the Plan Administrator receives a written notice, in a form and manner acceptable to it, that such person is mentally or physically incompetent or a minor, and that a guardian, conservator or other person legally vested with the care of his estate has been appointed. 10.06 Inability to Locate Payee. If the Plan Administrator is unable to make payment to any Participant or other person to whom a payment is due under the Plan because it cannot ascertain the identity or whereabouts of such Participants or other person after reasonable efforts have been made to identify or locate such person, such payment and all subsequent payments otherwise due to such Participant or other person shall be forfeited one year after the date any such payment first became due. 10.07 Requirement for Proper Forms. All communications in connection with the Plan made by a Participant shall become effective only when duly executed on any forms as may be required and furnished by, and filed with, the Plan Administrator. 10.08 Source of Payments. The Employer, the Trust fund (if selected as Funding Agent), and any insurance company contracts purchased or held by the Employer or funded pursuant to this Plan shall be the sole sources of benefits under the Plan. No Employee or beneficiary shall have any right to, or interest in, any assets of the Employer upon 10 PLF 2014-12-02 Agenda Packet rage 169 termination of employment or otherwise, except as provided from time to time under the Plan, and then only to the extent of the benefits payable under the Plan to such Employee or beneficiary. 10.09 Multiple Functions. Any person or group of persons may serve in more than one fiduciary capacity with respect to the Plan. 10.10 Tax Effects. Neither the Employer, its agents, the Plan Administrator, nor the Trustee makes any warranty or other representation as to whether any Pre-tax Premiums made to or on behalf of any Participant hereunder will be treated as excludable from gross income for local, state, or federal income tax purposes. If for any reason it is determined that any amount paid for the benefit of a Participant or Beneficiary is includable in an Employee's gross income for local, federal, or state income tax purposes, then under no circumstances shall the recipient have any recourse against the Plan Administrator or the Employer with respect to any increased taxes or other losses or damages suffered by the Employees as a result thereof. The Plan is designed and is intended to be operated as a "cafeteria plan" under Section 125 of the Code. 10.11 Gender and Number. Masculine pronouns include the feminine as well as the neuter genders, and the singular shall include the plural, unless indicated otherwise by the context. 10.12 Headings. The Article and Section headings contained herein are for convenience of reference only, and shall not be construed as defining or limiting the matter contained thereunder. 10.13 Incorporation by Reference. Except for the Medical and Dependent Care Expense Reimbursement Plan(s), the actual terms and conditions of the separate component Benefit Plans or Policies offered under this Plan are contained in separate, written documents governing each respective benefit, and shall govern in the event of a conflict between the individual plan document, and this Plan as to substantive content. To that end, each such separate document, as amended or subsequently replaced, is hereby incorporated by reference as if fully recited herein. The provisions of the Medical and Dependent Care Expense Reimbursement Plan(s) are reproduced herein, but shall constitute separate plans for purposes of all applicable Code and ERISA provisions. 10.14 Severability. Should any part of this Plan subsequently be invalidated by a court of competent jurisdiction, the remainder thereof shall be given effect to the maximum extent possible. 10.15 Effect of Mistake. In the event of a mistake as to the eligibility or participation of an Employee, the allocations made to the account of any Participant, or the amount of distributions made or to be made to a Participant or other person, the Plan Administrator shall, to the extent it deems possible, cause to be allocated or cause to be withheld or accelerated, or otherwise make adjustment of, such amounts as will in its judgment accord to such Participant or other person the credits to the account or distributions to which he is properly entitled under the Plan. Such action by the Administrator may include withholding of any amounts due the Plan or the Employer from Compensation paid by the Employer. 10.16 Provisions Relating to Insurers. No insurer shall be required or permitted to issue an insurance policy or contract that is inconsistent with the purposes of this Plan, nor be bound to take any action not in accordance with the terms of any policy or contract with this Plan. The insurer shall not be deemed to be a party to this Plan, nor shall it be bound to interpret the construction or validity of the Plan. The insurer shall be protected from its good faith reliance on the written representations and instructions of the Trustee and the Plan Administrator, and shall not be responsible for the initial or continued qualified status of the Plan. 10.17 Forfeiture of Unclaimed Reimbursement Account Benefits. Any Reimbursement Account benefit payments that are unclaimed (e.g., uncashed benefit checks) by the close of the Plan Year following the Plan Year in which the Health or Dependent Care Expense was incurred shall be forfeited. 10.18 HIPAA Privacy. To the extent a URM is offered under the Plan, the rights and obligations of an individual covered under the URM, the Employer and Plan, with respect to permitted uses and disclosures of a covered individual's protected health information, set forth in the Health Insurance Portability and Accountability Act of 1996 (HIPAA)will be summarized in the SPD. ARTICLE XI -CONTINUATION COVERAGE UNDER COBRA The SPD includes provisions that shall be applicable to the URM to the extent the URM is a "group health plan"as defined by Code§§4980B and 5000(b)(1)and the regulations promulgated thereunder and to the extent it is offered under the Plan. The intent of those provisions(as incorporated in this Article) is to extend continuation rights required by COBRA. PLF 2014-12-02 Agenda Packet 11 rage 170 IN WITNESS WHEREOF, the Employer has executed this Plan as of the date set forth below. EMPLOYER'S ACKNOWLEDGMENT As evidenced by the formal execution of this document, the undersigned Employer adopted and established this Plan on the Effective Date as the Flexible Benefits Plan of the undersigned Employer. In doing so, the undersigned Employer acknowledges that the Summary Plan Description ("SPD")and this Plan document are important legal instruments with significant legal and tax implications. The Employer also acknowledges that it has read this SPD and the Plan document in their entirety, has consulted independent legal and tax counsel other than representatives of American Family Life Assurance Company of Columbus (Aflac), to the extent considered necessary, and accepts full responsibility for participation of Employees hereunder and the operation of the Plan. The Employer acknowledges that, as sponsor and Plan Administrator, it shall have sole responsibility to comply with all filing, reporting, and disclosure requirements imposed by the DOL, IRS, or any other government agency, specifically including, but not limited to, creating and filing Form 5500s and preparing and distributing SPDs and performing required nondiscrimination testing. Furthermore, the Employer further acknowledges that it shall bear sole responsibility for amending the Plan as necessary to ensure compliance with applicable tax, labor, and other laws and regulations. The Employer acknowledges receipt of the checklist of Plan Sponsor Responsibilities included provided with the applicable plan document request form and has agreed to the obligations set forth therein. It is also understood and agreed that American Family Life Assurance Company of Columbus (Aflac), and its subsidiaries, agents, and representatives, are not providing legal or tax advice to the undersigned Employer in connection with this Plan and that no representations are made by it with respect to the operation of the Flexible Benefits Plan pursuant to the documents provided by American Family Life Assurance Company of Columbus(Aflac)to the Employer. This Plan shall be construed and enforced according to the Internal Revenue Code of 1986, as amended from time to time, the applicable regulations thereto, and the laws of the state of the principal place of business of the Employer. IN WITNESS WHEREOF, the Employer has caused this Plan and Summary Plan Description to be executed on the day of to ratify the adoption of the Plan adopted and effective as of the Effective Date. WITNESS: Employer: By: Title: Date: Corporate Officer ATTACHMENT I -SUMMARY PLAN DESCRIPTION 12 PLF 2014-12-02 Agenda Packet rage 171 FLEXIBLE BENEFITS PLAN SUMMARY PLAN DESCRIPTION PLAN INFORMATION SUMMARY The Employer named below establishes a Flexible Benefits Plan (the "Plan") as set forth in this Summary Plan Description ("SPD") as of the Effective Date set forth below. The purpose of the Plan is to provide eligible Employees a choice between cash and the specified welfare benefits described in this Plan Information Summary (see "Benefits Provided Under the Plan"). Pre-tax Contribution elections under the Plan are intended to qualify for the exclusion from income provided in Section 125 of the Internal Revenue Code of 1986. FLEXIBLE BENEFITS PLAN EMPLOYER INFORMATION 1) Name and Address of Employer: CITY OF CHULA VISTA Plan Administrator: EDITH QUICHO 276 FOURTH AVENUE CHULA VISTA, CA 91910 The Plan Administrator has the exclusive right to interpret the Plan and to decide all matters arising under the Plan, including the right to make determinations of fact and to construe and interpret possible ambiguities, inconsistencies, or omissions in the Plan and this SPD. 2) Employer's Telephone Number: (619) 585-5620 3) Employer's Federal Tax Identification Number: 95-6000690 4) Plan Number Assigned to Cafeteria Plan (e.g., 501 if this is the first ERISA Plan Number assigned): 5) 125 Start Date: 01/01/10 6) Effective Date of this Plan: 12/15/11 7) Last Day of the Plan Year: 12/31/11 Subsequent Plan Years: 01/01-12/31 8) Name and Address of SAME FSA Claim Administrator: 9) Name and Address of registered IRENE MOSLEY agent for service of legal process: 10) Affiliated Employers that will participate in the Plan 11) Employer's Type of Business: OTHER ELIGIBILITY All Employees employed by the Employer shall be eligible to participate under the Plan except the following: An eligible Employee may become a Participant in the Plan: [ X ] Immediately, upon the first day of employment(but not prior to the Effective Date of the Plan). [ ] On the day following commencement of employment. [ ] On the first day of the month following days of employment. [ ] Other: OTHER provided the Employee completes a Salary Redirection Agreement ("SRA"). However, eligibility for coverage under any given Benefit Plan or Policy shall be determined by the terms of that Benefit Plan of Policy, and reductions of the Employee's Compensation to pay Pre-tax or After-tax Contribution(s) shall commence when the Employee becomes covered under the applicable Benefit Plan or Policy. An eligible Employee may become a Participant in the Dependent Care and/or Medical Expense Reimbursement Plan(s) (if elected below): [ ] On the same day such Employee is eligible for the Pre-Tax Contribution benefits under the Plan. [ ] On the day following commencement of employment. [ ] On the first day of the month following days of employment. [ ] Other: OTHER, provided the Employee completes an SRA selecting such benefits. 2014-12-02 Agenda Packet 1 Page 372 BENEFITS PROVIDED UNDER THE PLAN The following Benefit Plans and Policies subject to the terms and conditions of the Plan are available for election by eligible Employees. The maximum a Participant can contribute via the SRA is the maximum aggregate cost of the Benefit Plans or Policies elected minus any Nonelective Contribution made by the Employer. It is intended that such Pre-tax Contribution amounts shall, for tax purposes, constitute an Employer contribution, but may constitute Employee contributions for state insurance law purposes. Copies of the Benefit Plans or Policies (or a list of eligible Policy numbers) shall be attached as an appendix to this Plan. [ ] Medical Coverage [ ] Vision Care Coverage [ ] Disability Income- Short Term (A&S) [ X ] Cancer Insurance [ X ] Dental Coverage [ ] Group Term Life Insurance [ ] Disability Income- Long Term (LTD) [ X ] Intensive Care Insurance [ X ] Accident Insurance [ X ] Hospital Indemnity Insurance(HIP) [ X ] Specified Health Event [ X ] Personal Sickness Indemnity(PSI) [ ] Medical Care Expense Reimbursement described in Appendix I to this SPD, not to exceed $ per Plan Year pursuant to the CITY OF CHULA VISTA Medical Care Expense Reimbursement Plan. Name and Address of Medical Care Expense Reimbursement Plan COBRA Administrator(if applicable): [ ] Dependent Care Expense Reimbursement described in Appendix I to this SPD, not to exceed $5,000 per Plan Year or $2,500 for married filing separate returns pursuant to the CITY OF CHULA VISTA Dependent Care Expense Reimbursement Plan. [ ] Health Savings Account(as defined in Code Section 223)established with the following Custodian/Trustee: [ ] Opt-out Option: See Employer enrollment material. THE FUNDING AGENT The Employer selects the following Funding Agent for the Plan (check one): ❑ The Employer, which will comply with the requirements of Article VII of the Plan. ❑ The Flexible Benefits Trust created concurrently with the execution of the Plan, which shall receive contributions under the Plan in accordance with Article VII of the Plan. ADMINISTRATIVE EXPENSES Administrative Expenses incurred in operating the Plan shall be paid by(check one): ❑ The Employer, except as otherwise noted in the Plan. ❑ The Participants, except as otherwise noted in the Plan. 2014-12-02 Agenda Packet 2 Page 373 FLEXIBLE BENEFITS PLAN SUMMARY PLAN DESCRIPTION Introduction Your employer (the "Employer") is pleased to sponsor an employee benefit program known as a "Flexible Benefits Plan" (the "Plan")for you and your fellow employees. Under federal tax laws, it is also known as a "cafeteria plan". It is so called because it lets you choose from several different insurance and fringe benefit programs according to your individual needs. The Employer provides you with the opportunity to use pre-tax dollars to pay for them by entering into a salary redirection arrangement instead of receiving a corresponding amount of your regular pay. This arrangement helps you because the benefits you elect are nontaxable; you save Social Security and income taxes on the amount of your salary redirection. Alternatively, your Employer may allow you to pay for any of the available benefits with after-tax contributions on a salary deduction basis. This Summary Plan Description ("SPD") describes the basic features of the Plan, how it operates, and how you can get the maximum advantage from it. Information relating to the Plan that is specific to your Employer is described in the Plan Information Summary attached to the front of this SPD. You will be referred to the Plan Information Summary throughout the SPD. The Plan is also established pursuant to a plan document into which this SPD has been incorporated. If there is a conflict between the official plan document and the SPD, the plan document will govern. In some cases, the Employer may adopt a Medical Care and/or Dependent Care Reimbursement Plan. If so, they will be listed in the Plan Information Summary as"Benefits Provided under the Plan,"and the SPD for each Reimbursement Plan adopted by the Employer will be set forth in Appendix I to this SPD. To the extent that the Employer adopts a Medical Care Reimbursement Plan as indicated in the Plan Information Summary, a summary of your rights and obligations under HIPAA's privacy rules is attached to this SPD as Appendix 11. You may also be able to make pre-tax contributions to a Health Savings Account (as defined in Code Section 223) through this Plan if Health Savings Accounts are identified as an included benefit under "Benefits Provided under the Plan" in the Plan Information Summary. If Health Savings Accounts are identified as a benefit plan option offered under the Plan, your rights and obligations in regard to such contributions will be set forth in the Health Savings Account Contribution Appendix attached hereto. Questions &Answers about the Flexible Benefits Plan Q-1. What is the purpose of the Plan? The purpose of the Plan is to allow eligible employees to pay for certain benefits offered under the Plan (called "Benefit Plans or Policies")with pre-tax dollars called "Pre-tax Contributions". Pre-tax Contributions are described in more detail in Q-8 of this SPD. Q-2. What benefits can I purchase on a pre-tax basis through the Plan? You will be able to choose to participate in the Plan's various pre-tax options by filling out any required enrollment form(s) for the component Benefit Plans or Policies offered under the Plan. The complete list of Benefit Plans or Policies offered under the Plan is located in the Plan Information Summary under "Benefits Offered Under the Plan." NOTE: You may only contribute with Pre-tax Contributions towards the cost of Benefit Plans or Policies that cover you, your legal Spouse, and/or your tax Dependents defined under Internal Revenue Code Section 152. Each Benefit Plan or Policy may define eligible Dependents more narrowly for purposes of coverage under the particular Benefit Plan or Policy. Q-3. Who can participate in the Plan? Each employee of the Employer(or an Affiliated Employer identified in the Plan Information Summary)who satisfies the eligibility requirements described in the Plan Information Summary and who is eligible to participate in any of the Benefit Plans or Policies offered under the Plan will be eligible to participate in this Plan as of the date described in the Plan Information Summary (see Q-5 of this SPD for instructions on how to become a Participant). Those employees who actually participate in the Plan are called "Participants." The terms of eligibility of this Plan do not override the terms of eligibility of each of the Benefit Plans or Policies offered under the Plan. For the details regarding eligibility provisions, benefit amounts, and premium schedules for each of the Benefit Plans or Policies, please refer to the plan summary for each of the Benefit Plans or Policies listed in the Plan Information Summary. Only coverage for an Employee and the Employee's Dependents may be paid for under this Plan. A dependent is defined generally as an individual who would be considered the Employee's spouse under the federal income tax code or the Employee's tax dependents as defined in Code Section 152; however, for purposes of health benefits and Dependent Care Reimbursement ("DDC") benefits offered under the Plan, a dependent is defined as (i) for health plan purposes, as set forth in Code Section 105(b) and (ii) for DDC purposes, as any person who meets the requirements to be a "qualifying individual"as defined in the DDC component SPD. Q-4. When does my participation in the Plan end? You continue to participate in the Plan until (i)you elect not to participate in accordance with Q-9 of this SPD; (ii)you no longer satisfy the eligibility requirements described in the Plan Information Summary; (iii) you terminate employment with the Employer; or(iv) the Plan is terminated or amended to exclude you or the class of employees of which you are a member. If your employment with the Employer is terminated during the Plan Year or you otherwise cease to be eligible, your active participation in the Plan will automatically cease, and you will not be able to make any more 2014-12-02 Agenda Packet 3 Page 374 Pre-tax Contributions under the Plan. If you are rehired within the same Plan Year or you become eligible again, you may make new elections, provided that you are rehired or become eligible again more than 30 days after you terminated employment or lost eligibility. If you are rehired or again become eligible within 30 days or less, your prior elections will be reinstated and remain in effect for the remainder of the Plan Year unless you again lose eligibility. Q-5. How do I become a Participant? You become a Participant by signing an individual Salary Redirection Agreement ("SRA") on which you elect one or more of the Benefit Plans or Policies available under the Plan, as well as agree to a salary redirection to pay for those benefits so elected. You will be provided an SRA when you first become eligible to participate in this Plan. You must complete the form and turn it in to the Personnel Office during the applicable enrollment period described in Q-6 below. Q-6. What are the enrollment periods for entering the Plan? If you are eligible on the effective date of the Plan, you must enroll during the enrollment period immediately preceding the effective date of the Plan. Otherwise, you must enroll during either the "Initial Enrollment Period" or the "Annual Enrollment Period". You will be notified of the dates that each enrollment period begins and ends in the enrollment material provided to you prior to each enrollment period. If you make an election during the Initial Enrollment Period, your participation in this Plan will begin on the later of your eligibility date described in the Plan Information Summary, the first pay period coinciding with or next following the date that your election is received by the Plan Administrator(or its designated claims administrator) or the date coverage under a Benefit Plan or policy that you elect begins. The effective date of coverage under the applicable Benefit Plan(s) or Policy(ies) is governed by the terms of each Benefit Plan or Policy, as set forth in the governing documents for each Benefit Plan or Policy. The election that you make during the Initial Enrollment Period is effective for the remainder of the Plan Year and generally cannot be revoked during the Plan Year unless you have a Change in Status event as described in Q-9 below. If you do not make an election during the Initial Enrollment Period, you will be deemed to have elected not to participate in this Plan for the remainder of the Plan Year. You may, however, be covered by certain Benefit Plans or Policies automatically (and be required to contribute with pre-tax dollars) even if you fail to make an election. These automatic Benefit Plans or Policies are called "Default Benefits"and will be identified in the enrollment material that you receive. The election that you make during the Annual Enrollment Period is effective the first day of the next Plan Year and is irrevocable for the entire Plan Year unless you have a Change in Status event described in Q-9 below. A Participant who fails to complete, sign, and file an SRA during the Annual Enrollment Period as required shall be deemed to have elected to continue participation in the Plan with the same benefit elections as during the prior Plan Year (adjusted to reflect any increase/decrease in applicable premiums), and except for a Change in Status, will not be permitted to modify his election until the next Annual Enrollment Period. Notwithstanding the foregoing, annual elections for participation in the Medical Care and Dependent Care Expense Reimbursement Plans, if offered under the Plan, must be made by submitting an SRA prior to the beginning of each Plan Year-- no deemed elections shall occur with respect to such benefits. The Plan Year is generally a 12-month period (except during the initial or last Plan Year of the Plan). The beginning and ending dates of the Plan Year are described in the Plan Information Summary. Q-7. What tax advantages are available through the Plan? Suppose your monthly gross pay is $2,500 per month and your cost for coverage is $140 per month. Also, suppose your total withholdings (income tax and Social Security) are 22.65%. After paying for coverage from your after-tax pay, your take home pay is $1,794. However, under the pre-tax premium plan, you will be considered to have received $2,360 gross pay rather than $2,500 for tax purposes with $140 contributed for medical coverage. This means your take home pay will be $1,825 with the pre-tax premium plan rather than $1,794 without it. Thus, you save $31 per month ($372 per year) by participating in the pre-tax premium plan. The Table below illustrates this savings. With Cafeteria Plan Without Cafeteria Plan Gross Monthly Pay $2,500 $2,500 Pre-Tax Coverage Under Plan 140 -- Taxable Income 2,360 2,500 Estimated Federal Tax(15%) 354 375 FICA Tax 181 191 After-tax Coverage -- 140 Take Home Pay 1,825 1,794 Monthly Savings: $31.00 Q-8. How are my contributions under the Benefit Plans or Policies made? When you become a Participant, your share of the contributions for the elected Benefit Plan or Policy(ies) will be paid with Pre-tax Contributions elected on the SRA. Pre-tax Contributions are amounts withheld from your gross income before any applicable federal and state taxes have been deducted (some state tax laws do not recognize Pre-tax Contributions). In addition, all or a portion of the cost of the Benefit Plans or Policies may, in the Employer's discretion, be paid with contributions made by the Employer on behalf of each Participant (these are called "Nonelective Contributions"). The amount of Nonelective Contribution that is applied towards the cost of the Benefit Plan(s) or 2014-12-02 Agenda Packet 4 Page 375 Policy(ies) for each Participant and/or level of coverage is subject to the sole discretion of the Employer, and it may be adjusted upward or downward in the Employer's sole discretion. The Nonelective Contribution amount will be calculated for each Plan Year in a uniform and nondiscriminatory manner and may be based upon your Dependent status, commencement or termination date of your employment during the Plan Year, and such other factors that the Employer deems relevant. In no event will any Nonelective Contribution be disbursed to you in the form of additional, taxable Compensation except as otherwise provided in the enrollment material. To the extent set forth in the enrollment material, the Employer may make available a certain amount of Nonelective Contributions and then allow you to allocate the Nonelective Contributions among the various Benefit Plan(s) or Policy(ies) that you choose (subject to restrictions described in the enrollment material). Q-9. Can I ever change my election during the Plan Year? Generally, you cannot change your election to participate in the Plan or vary the Pre-tax Contribution amounts although your election will terminate if you are no longer working for the Employer or no longer eligible under the terms of the Plan. Otherwise, you may change your elections for Pre-Tax Contributions only during the Annual Enrollment Period, and then, only for the coming Plan Year. There are several important exceptions to this general rule: You may change or revoke your previous election during the Plan Year if you file a written request for change with the Plan Administrator (or its designated claims administrator)within 30 days of any of the following events: 1. Change in Status. If one or more of the following "Changes in Status"occur, you may revoke your old election and make a new election, provided that both the revocation and new election are on account of and correspond with the Change in Status (as described below). Those occurrences that qualify as a Change in Status include the events described below, as well as any other events that the Plan Administrator determines are permitted under subsequent IRS regulations: • a change in your legal marital status(such as marriage, legal separation, annulment, or divorce or death of your Spouse); • a change in the number of your tax Dependents (such as the birth of a child, adoption or placement for adoption of a Dependent, or death of a Dependent); • any of the following events that change the employment status of you, your Spouse, or your Dependent that affect benefit eligibility under a cafeteria plan (including this Plan and the Plan of another employer) or other employee benefit plan of yours, your Spouse, or your Dependents. Such events include any of the following changes in employment status: termination or commencement of employment, a strike or lockout, a commencement of or return from an unpaid leave of absence, a change in worksite, switching from salaried to hourly-paid, union to non-union, or part-time to full-time; incurring a reduction or increase in hours of employment; or any other similar change which makes the individual become (or cease to be) eligible for a particular employee benefit (NOTE: The specific rules governing election changes when you take a leave of absence are described in Q-13 of this SPD); • an event that causes your Dependent to satisfy or cease to satisfy an eligibility requirement for a particular benefit(such as attaining a specified age, getting married, or ceasing to be a student); • a change in your, your Spouse's or your Dependent's place of residence. If a Change in Status occurs and you want to make a corresponding election change, you must inform the Plan Administrator and complete a new election within 30 days from the date of the event. The election change must be on account of and correspond with the Change in Status event as determined by the Plan Administrator with the exception of special enrollment resulting from birth, placement for adoption or adoption, all election changes are prospective. As a general rule, a desired election change will be found to be consistent with a Change in Status event if the event affects eligibility for coverage. A Change in Status affects eligibility for coverage if it results in an increase or decrease in the number of Dependents who may benefit under the plan. In addition, you must also satisfy the following specific requirements in order to alter your election based on that Change in Status: • Loss of Dependent Eligibility. For accident and health benefits (e.g., health, dental and vision coverage, and Medical Care Reimbursement Plan), a special rule governs which types of election changes are consistent with the Change in Status. For a Change in Status involving your divorce, annulment or legal separation from your Spouse, the death of your Spouse or your Dependent, or your Dependent ceasing to satisfy the eligibility requirements for coverage, your election to cancel accident or health benefits for any individual other than your Spouse involved in the divorce, annulment, or legal separation, your deceased Spouse or Dependent, or your Dependent that ceased to satisfy the eligibility requirements, would fail to correspond with that Change in Status. Hence, you may only cancel accident or health coverage for the affected Spouse or Dependent. Example: Employee Mike is married to Sharon, and they have one child. The employer offers a calendar year cafeteria plan that allows employees to elect no health coverage, employee-only coverage, employee-plus-one-Dependent coverage, or family coverage. Before the plan year, Mike elects family coverage for himself, his wife Sharon, and their child. Mike and Sharon subsequently divorce during the plan year; Sharon loses eligibility for coverage under the plan, while the child is still eligible for coverage under the plan. Mike now wishes to cancel his previous election and elect no health coverage. The divorce between Mike 2014-12-02 Agenda Packet 5 Page 376 and Sharon constitutes a Change in Status. An election to cancel coverage for Sharon is consistent with this Change in Status. However, an election to cancel coverage for Mike and/or the child is not consistent with this Change in Status. In contrast, an election to change to employee-plus-one-Dependent coverage would be consistent with this Change in Status. However, there are instances in which you may be able to increase your Pre-tax Contributions to pay for COBRA coverage of a Dependent child or yourself. • Gain of Coverage Eligibility Under Another Employer's Plan. For a Change in Status in which you, your Spouse, or your Dependent gain eligibility for coverage under another employer's cafeteria plan (or Benefit Plan or Policy) as a result of a change in your marital status or a change in your, your Spouse's, or your Dependent's employment status, your election to cease or decrease coverage for that individual under the Plan would correspond with that Change in Status only if coverage for that individual becomes effective or is increased under the other employer's plan. • Dependent Care Reimbursement Plan Benefits (if offered under the Plan. See the list of Benefit Plans or Policies offered under the Plan in the Plan Information Summary). With respect to the Dependent Care Reimbursement Plan benefit(if offered by the Plan), you may change or terminate your election only if(1)such change or termination is made on account of and corresponds with a Change in Status that affects eligibility for coverage under the Plan; or(2) your election change is on account of and corresponds with a Change in Status that affects the eligibility of Dependent care assistance expenses for the available tax exclusion. Example: Employee Mike is married to Sharon, and they have a 12 year-old daughter. The employer's plan offers a Dependent care expense reimbursement program as part of its cafeteria plan. Mike elects to reduce his salary by $2,000 during a plan year to fund Dependent care coverage for his daughter. In the middle of the plan year when the daughter turns 13 years old, however, she is no longer eligible to participate in the Dependent care program. This event constitutes a Change in Status. Mike's election to cancel coverage under the Dependent care program would be consistent with this Change in Status. • Group Term Life Insurance, Disability Income, or Dismemberment Benefits (if offered under the Plan. See the list of Benefit Plans or Policies offered under the Plan in the Plan Information Summary). For group term life insurance, disability income, and accidental death and dismemberment benefits, if you experience any Change in Status(as described above), you may elect either to increase or decrease coverage. Example: Employee Mike is married to Sharon, and they have one child. The employer's plan offers a cafeteria plan which funds group-term life insurance coverage (and other benefits) through salary reduction. Before the plan year Mike elects $10,000 of group-term life insurance. Mike and Sharon subsequently divorce during the plan year. The divorce constitutes a Change in Status. An election by Mike either to increase or to decrease his group-term life insurance coverage would each be consistent with this Change in Status. 2. Special Enrollment Rights. If you, your Spouse, and/or a Dependent are entitled to special enrollment rights under a Benefit Plan or Policy that is a group health plan, you may change your election to correspond with the special enrollment right. Thus, for example, if you declined enrollment in medical coverage for yourself or your eligible Dependents because of outside medical coverage and eligibility for such coverage is subsequently lost due to certain reasons (i.e., due to legal separation, divorce, death, termination of employment, reduction in hours, or exhaustion of COBRA period), you may be able to elect medical coverage under the Benefit Plan or Policy for yourself and your eligible Dependents who lost such coverage. Furthermore, if you have a new Dependent as a result of marriage, birth, adoption, or placement for adoption, you may also be able to enroll yourself, your Spouse, and your newly acquired Dependents, provided that you request enrollment within the Election Change Period. An election change that corresponds with a special enrollment must be prospective, unless the special enrollment is attributable to the birth, adoption, or placement for adoption of a child, which may be retroactive up to 30 days. Please refer to the group health plan description for an explanation of special enrollment rights. Effective April 1, 2009, if you or your eligible Dependent (1) lose coverage under a Medicaid Plan under Title XIX of the Social Security Act; (2) lose coverage under a State Children's Health Insurance Program (SCHIP) under Title XXI of the Social Security Act; or(3) become eligible for group health plan premium assistance under Medicaid or SCHIP and you are entitled to special enrollment rights under a Benefit Plan or Policy that is a group health plan, you may change your election to correspond with the special enrollment right. Thus, for example, if you declined enrollment in medical coverage for yourself or your eligible Dependent(s) because of medical coverage under Medicaid or SCHIP and eligibility for such coverage is subsequently lost, you may be eligible to elect medical coverage under a Benefit Plan or Policy for yourself and your Dependent(s). You must request an election change to enroll in group plan coverage within 60 days from the date (1) the coverage terminates under the Medicaid or SCHIP plan or (2) the Employee or dependent child is determined eligible for state premium assistance. Please refer to the group health plan summary description for an explanation of special enrollment rights. 3. Certain Judgments, Decrees and Orders. If a judgment, decree or order from a divorce, separation, annulment, or custody change requires your Dependent child (including a foster child who is your tax Dependent) to be covered under this Plan, you may change your election to provide coverage for the Dependent child identified in the order. If the order requires that another individual (such as your former Spouse) cover the Dependent child, and such coverage is actually provided, you may change your election to revoke coverage for the Dependent child. 4. Entitlement to Medicare or Medicaid. If you, your Spouse, or a Dependent becomes entitled to Medicare or Medicaid, you may cancel that person's accident or health coverage. Similarly, if you, your Spouse, or a Dependent who has been entitled to Medicare or Medicaid loses eligibility for such, you may, subject to the terms of the underlying plan, elect to begin or increase that person's accident or health coverage. 2014-12-02 Agenda Packet 6 Page 377 5. Change in Cost. If you are notified that the cost of your Benefit Plan or Policy coverage under the Plan significantly increases or decreases during the Plan Year, you may make certain election changes. If the cost significantly increases, you may choose either to make an increase in your contributions, revoke your election and receive coverage under another Benefit Plan or Policy that provides similar coverage, or drop coverage altogether if no similar coverage exists. If the cost significantly decreases, you may revoke your election and elect to receive coverage provided under the option that decreased in cost. For insignificant increases or decreases in the cost of Benefit Plans or Policies, however, your Pre-tax Contributions will automatically be adjusted to reflect the minor change in cost. The Plan Administrator will have final authority to determine whether the requirements of this section are met. (Please note that none of the above "Change in Cost" exceptions are applicable to a Medical Care Reimbursement Plan, to the extent offered under the Plan.) Example: Employee Mike is covered under an indemnity option of his employer's accident and health insurance coverage. If the cost of this option significantly increases during a period of coverage, the Employee may make a corresponding increase in his payments or may instead revoke his election and elect coverage under an HMO option. 6. Change in Coverage. If you are notified that your Benefit Plan or Policy coverage under the Plan is significantly curtailed, you may revoke your election and elect coverage under another Benefit Plan or Policy that provides similar coverage. If the significant curtailment amounts to a complete loss of coverage, you may also drop coverage if no other similar coverage is available. Further, if the Plan adds or significantly improves a benefit option during the Plan Year, you may revoke your election and elect to receive on a prospective basis coverage provided by the newly added or significantly improved option, so long as the newly added or significantly improved option provides similar coverage. Also, you may make an election change that is on account of and corresponds with a change made under another employer plan (including a plan of the Employer or another employer), so long as: (a) the other employer plan permits its participants to make an election change permitted under the IRS regulations; or (b) the Plan Year for this Plan is different from the Plan Year of the other employer plan. Finally, you may change your election to add coverage under this Plan for yourself, your Spouse, or your Dependent if such individual(s) loses coverage under any group health coverage sponsored by a governmental or educational institution. The Plan Administrator will have final discretion to determine whether the requirements of this section are met. (Please note that none of the above "Change in Coverage" exceptions are applicable to the Medical Care Reimbursement Plan, to the extent offered under the Plan.) Additionally, your election(s), may be modified downward during the Plan Year if you are a Key Employee or Highly Compensated Individual (as defined by the Internal Revenue Code), if necessary to prevent the Plan from becoming discriminatory within the meaning of the federal income tax law. Q-10. How long will the Plan remain in effect? Although the Employer expects to maintain the Plan indefinitely, it has the right to modify or terminate the program at any time for any reason. It is also possible that future changes in state or federal tax laws may require that the Plan be amended accordingly. Q-11. What happens if my claim for benefits under this Plan is denied? This SPD describes the basic features of the Plan. If your claim is for a benefit under one of the component Benefit Plans or Policies, you will generally proceed under the claims procedures applicable under the component Benefit Plan or Policy(see the plan summary for each of the Benefit Plans or Policies that you elect). However, if you are denied a benefit under this Plan, the claims procedure under this Plan will apply. You will be notified if your claim under the Plan is denied. The notice of denial will be furnished to you within 30 days after receiving your claim. However, if additional time is needed to process your claim you will be notified before the initial 30-day period has expired. The notice will explain why an extension is necessary and the date a decision is expected to be rendered. In no event will an extension go beyond 15 days after the end of the initial 30-day period. The notice of the denial will include the specific reasons for the denial and the relevant plan provisions on which the denial was based. If your claim is denied in whole or in part, you may appeal by requesting a review of the denied claim, as set forth in the notice of denial, within 180 days after you receive notice of the denial. If there are two levels of appeal (as indicated in the notice of denial), you will have a reasonable amount of time in which to request a second review and such time period will be identified in the notice of denial. As part of the appeal process (whether there is one or two appeals), you or your authorized representative may examine documents, records, and other information relevant to your claim and submit issues, documents and comments in writing. Within 60 days after the request for review is received, you will be notified in writing of the decision on review. The notice of denial will indicate whether there are one or two levels of appeals and will contain the same type of information provided to you in the first notice of denial. If there are two levels of Plan appeals, the decisions on appeal will be made within 30 days after the request for each review is received. The Plan Administrator is the claims fiduciary for making the final decision under the plan. In the event of your death, your beneficiary has the same rights and is subject to the same time limits and other restrictions that would otherwise apply to you under the claims procedures explained above. Q-12. What effect will Plan participation have on Social Security and other benefits? Plan participation will reduce the amount of your taxable compensation. Accordingly, there could be a decrease in your Social Security benefits and/or other benefits (e.g., pension, disability and life insurance) that are based on taxable compensation. 2014-12-02 Agenda Packet 7 Page 378 Q-13. What happens if I take a leave of absence? (a) If you go on a qualifying unpaid leave under the Family and Medical Leave Act of 1993 (FMLA), to the extent required by the FMLA, the Employer will continue to maintain your Benefit Plans or Policies providing health coverage on the same terms and conditions as though you were still active (e.g., the Employer will continue to pay its share of the contribution to the extent you opt to continue coverage). (b) Your Employer may elect to continue all coverage for Participants while they are on paid leave (provided Participants on non-FMLA paid leave are required to continue coverage). If so, you will pay your share of the contributions by the method normally used during any paid leave (for example, with Pre-tax Contributions if that is what was used before the FMLA leave began). (c) In the event of unpaid FMLA leave (or paid leave where coverage is not required to be continued), if you opt to continue your group health coverage, you may pay your share of the contribution with after-tax dollars while on leave, or you may be given the option to pre-pay all or a portion of your share of the contribution for the expected duration of the leave with Pre-tax Contributions from your pre-leave compensation by making a special election to that effect before the date such compensation would normally be made available to you provided, however, that pre-payments of Pre-tax Contributions may not be utilized to fund coverage during the next Plan Year, or by other arrangements agreed upon between you and the Plan Administrator(for example, the Plan Administrator may fund coverage during the leave and withhold amounts from your compensation upon your return from leave). The payment options provided by the Employer will be established in accordance with Code Section 125, FMLA and the Employer's internal policies and procedures regarding leaves of absence. Alternatively, the Employer may require all Participants to continue coverage during the leave. If so, you may elect to discontinue your share of the required contributions until you return from leave. Upon return from leave, you will be required to repay the contribution not paid during the leave in a manner agreed upon with the Administrator. (d) If your coverage ceases while on FMLA leave (e.g., for non-payment of required contributions), you will be permitted to re-enter the Plan upon return from such leave on the same basis as you were participating in the Plan prior to the leave, or as otherwise required by the FMLA. Your coverage under the Benefit Plans or Policies providing health coverage may be automatically reinstated provided that coverage for Employees on non-FMLA leave is automatically reinstated upon return from leave. (e) The Employer may, on a uniform and consistent basis, continue your group health coverage for the duration of the leave following your failure to pay the required contribution. Upon return from leave, you will be required to repay the contribution in a manner agreed upon by you and Employer. (f) If you are commencing or returning from unpaid FMLA leave, your election under this Plan for Benefit Plans or Policies providing non-health benefits shall be treated in the same manner that elections for non-health Benefit Plans or Policies are treated with respect to Participants commencing and returning from unpaid non-FMLA leave. (g) If you go on an unpaid non-FMLA leave of absence (e.g., personal leave, sick leave, etc.) that does not affect eligibility in this Plan or a Benefit Plan or Policy offered under this plan, then you will continue to participate and the contribution due will be paid by pre-payment before going on leave, by after-tax contributions while on leave, or with catch-up contributions after the leave ends, as may be determined by the Administrator. If you go on an unpaid leave that affects eligibility under this Plan or a Benefit Plan or Policy, the election change rules in Q-9 of this SPD will apply. The Plan Administrator will have discretion to determine whether taking an unpaid non-FMLA leave of absence affects eligibility. Q-14. Is there any other information that I should know about the Plan? Participation in the Plan does not give any Participant the right to be retained in the employ of his or her Employer or any other right not specified in the Plan. The Plan Administrator's name, address and telephone number appear in the Plan Information Summary attached to the front of this SPD. The Plan Administrator has the exclusive right to interpret the Plan and to decide all matters arising under the Plan, including the right to make determinations of fact, and construe and interpret possible ambiguities, inconsistencies, or omissions in the Plan and this SPD. Other important information such as the Plan Number and Plan Sponsor's name and address has also been provided in the Plan Information Summary. 2014-12-02 Agenda Packet 8 Page 379 CM of CHULA VISTA EXHIBIT C EMPLOYEE ASSISTANCE PROGRAM AETNA RESOURCES FOR LIVING (dba Horizon Health EAP - Behavioral Services) PLAN DOCUMENT Amended and Restated as of January 1, 2015 Human Resources Department City of Chula Vista 2014-12-02 Agenda Packet Page 180 BARNEY BARNEY" A NarSh 8µclMran.Agenc ILU Co-pany August 18, 2014 TRANSMITTED VIA E-MAIL Gig Kaney Senior Account Executive Aetna Resources for Living RE: City of Chula Vista- 1/1/2015 Renewal Confirmation, Group #0643 Dear Gigi: The purpose of this letter is to confirm that the City of Chula Vista will be renewing their Employee Assistance Plan with Aetna Resources for Living, effective January 1, 2015, with the following rates & conditions. I. MONTHLY PREMIUM RATES EFFECTIVE JANUARY 1, 2015- DECEMBER 31, 2017 Final monthly premium rates for Active Employees/Early Retirees are: . -. r PER EMPLOYEE PER MONTH $1.79 $1.79 Oho II. RATE GUARANTEE Rates are guaranteed for a period of 36 months, January 1, 2015 through December 31, 2017. III. ON-SITE SERVICES: a. Critical Incident Stress Debriefings (CISD)/Grief Groups: i. Standard Service (on-site attendance response time is greater than two hours): $250 per hour plus travel and prep fee at a flat rate of $150 per location; ii. Immediate Service (on-site attendance response time is less than two hours): $350 per hour plus travel and prep fee at a flat rate of $150 per location b. Reduction In Force: $250 per hour plus travel and prep fee at a flat rate of $150 per location c. Trainings: 6 free hours. For web-based trainings with more than 25 participants, an additional charge of $50.00 applies for each additional 25 participants up to a maximum of 200 participants. i. After 6 free training hours, on-site trainings: $250 per hour plus $150 per location for travel and prep. ii. Webinar trainings: $250 per hour plus $150 for prep. For webinars with more than 25 participants, an additional charge of$50.00 applies for each additional 25 participants up to a maximum of 200 participants. d. Orientations: Employee or Supervisor orientations included at No Charge. e. DOT/SAP Consultation and Assessment Services: Included at No Charge per case. i. DOT Supervisor Training -2 hours at$800 ii. DOT Employee Training - 1 hour at$400 ��ws4%,w.GQneyandbmTiagyr.cam 2614 nuWjQe.&F2!X Page 181 BARNEY BARNEY" A NarSh 8µclMran.Agenc ILU Co-pany iii. Fees for DOT Employee and Supervisor training will be assessed on a case-by- case basis and are dependent upon travel expenses and for classes that exceed 50 participants. IV. NO BENEFIT PLAN DESIGN CHANGES WILL BE EFFECTIVE JANUARY 1, 2015 V. CONFIRMATION STATEMENT I acknowledge the above is true and accurate. Gigi' V-&" 8120114 Gigi Kaney, Sr. Account Executive Date Aetna Resources for Living Sincerely, Megan(Bafdvin Client Manager Barney & Barney, a Marsh & McLennan Agency LLC Company cc: City of Chula Vista ��ws4%-w..br-mmyandt❑mTiagyr.cam 2614-il Kgen7da F2!X Page 182 HEALTH AND HUMAN RESOURCE CENTER, INC. (dba HORIZON HEALTH EAP-BEHAVIORAL SERVICES) EMPLOYEE ASSISTANCE PROGRAM(EAP) SERVICES AGREEMENT This Employee Assistance Program (EAP) Services Agreement ("Agreement") is made and entered into by and between Health and Human Resource Center, Inc., doing business as Horizon Health EAP-Behavioral Services ("Plan"), and the organization identified as Group on the Cover Sheet of this Agreement("Group"). RECITALS A. Plan operates a specialized health care service plan licensed under the Knox-Keene Health Care Service Plan Act of 1975, as amended (the "Act"), and the regulations promulgated thereunder (the "Regulations"). B. Plan will provide and arrange for the provision of Benefits to Group employees and certain persons associated with Group employees, as Members, in accordance with the terms, conditions, Limitations and Exclusions of this Agreement, as such terms are defined below. C. Group will pay Periodic Fees to Plan for the provision of Benefits by Plan to Group employees and certain persons associated with Group employees, as Members. AGREEMENT NOW, THEREFORE, in consideration of the above recitals and the promises and covenants contained herein, Plan and Group agree as follows: I. DEFINITIONS The following terms shall have the following meanings: A. "Act" The Knox-Keene Health Care Service Plan Act of 1975, as amended (California Health and Safety Code Sections 1340 et seq.). B. 'Benefits" The coverages to which Members are entitled under this Agreement, and the services to be provided to Group hereunder, which are set forth in Exhibit A to this Agreement. C. "Director" Director of the California Department of Managed Health Care. D. "EAP Provider" A licensed assessment and short-term counseling professional employed by, or under contract with Plan to provide Benefits to Members. E. "Exclusion" Any provision of this Agreement whereby coverage for Benefits is entirely eliminated. F. "Evidence of Coverage" or "Combined Evidence of Coverage and Disclosure Form" The document issued to an employee of Group which summarizes the essential terms of this Agreement. 1 EAP Services Agreement 2014-12-02 Agenda Packet Page 183 G. "Group" The organization identified as such on the Cover Sheet of this Agreement. H. "Limitation" Any provision of this Agreement which restricts Benefits, other than an Exclusion. L "Member" An eligible employee of Group, the eligible employee's children under the age of 26, persons covered under the eligible employee's health benefit plan, persons residing with the eligible employee, including domestic partners. J. "Periodic Fees" The monthly amounts due and payable to Plan from Group for providing Benefits to Members. K. "Plan" Health and Human Resource Center, Inc., doing business as Horizon Health EAP-Behavioral Services. L. "Regulations" Those regulations promulgated and officially adopted under the Act. M. "Service Area" Those areas of the United States in which Plan is licensed to operate. This includes all areas in the United States where Group employees and their family members are located. II. CHOICE OF PROVIDERS Benefits must be obtained from an EAP Provider through Plan. A Member may obtain Benefits by contacting Plan at 1-800-342-8111. Upon contact, Plan will determine the Member's eligibility for Benefits and arrange for Benefits. III.BENEFITS Subject to all of the terms, conditions, Limitations and Exclusions of this Agreement, Members are entitled to receive Benefits as follows: A. Obtaining Benefits. Unless otherwise specifically stated to the contrary, the services described herein are Benefits only if, and to the extent, that they are authorized and directed by Plan and performed by an EAP Provider. B Non-EAP Providers. In the event Plan fails to pay a non-EAP Provider, the Member will be liable to such non-EAP Provider for the cost of services provided to the Member. C. Benefits. Benefits may be changed in accordance with Section XILA hereof. IV.LIMITATIONS AND EXCLUSIONS The rights of Members and the obligations of Plan hereunder are subject to the following Limitations and Exclusions: A. Limitation. In the event of any major disaster or epidemic, Plan shall provide Benefits to Members to the extent practical, according to its best judgment, within the limitations of such facilities and personnel as are then available. Plan shall have no liability to Members for any delay in providing or failure to provide Benefits under such conditions. 2 EAP Services Agreement 2014-12-02 Agenda Packet Page 184 B. Exclusion. Court ordered treatment or therapy, or any treatment or therapy ordered as a condition of parole, probation or custody or visitation evaluations, is entirely excluded from Benefits. V. PERIODIC FEES AND MEMBER CHARGES A. Periodic Fees. Group shall remit to Plan, by the date specified on the Cover Sheet of this Agreement, the number of employees entitled to receive Benefits as of the effective date of coverage for initial Members also set forth on the Cover Sheet, together with the applicable Periodic Fees set forth on Exhibit B of this Agreement for each such employee. Thereafter, on or before the first day of each month of the term of this Agreement, Group shall provide Plan with the number of employees entitled to receive Benefits during such month, and Plan shall invoice Group for Periodic Fees for such employees. Group shall remit such Periodic Fees to Plan within thirty (30) days of receipt of Plan's invoice therefore for Members entitled to receive Benefits during the month to which the invoice applies. In the event Group fails to timely provide Plan with the number of employees entitled to Benefits during a particular month, Plan may bill Group for Periodic Fees based on the most recent employee count provided by Group and adjust subsequent invoices to reflect any discrepancies accordingly. The Periodic Fees set forth on Exhibit B shall remain in effect for the term of this Agreement, unless changed in accordance with Section XILA hereof. B. Other Charges. Plan shall invoice Group for additional services or benefits provided under this Agreement. Group shall remit payment to Plan within thirty (30) days of receipt of each such invoice. C. Member Charges. Members will not be required to make co-payments to EAP Providers for Benefits. However, a Member is responsible for paying for the services of EAP Providers and others to whom the Member is referred, when the services do not constitute Benefits. VI.EFFECTIVE DATE OF BENEFITS A. Initial Members. All employees of Group as of the effective date of this Agreement provided for on the Cover Sheet hereof, and all persons entitled to be Members through such employees shall be entitled to receive Benefits as of 12:01 a.m. on such effective date. B. Subsequent Members. Any employee who becomes eligible after the effective date of this Agreement and all persons entitled to be Members through the employee, shall be entitled to Benefits, effective immediately. Group shall notify Plan of newly eligible employees. VII. TERM AND TERMINATION A. Term. The Initial Term of this Agreement for the provision of Benefits to Members hereunder is set forth on the Cover Sheet of this Agreement. Thereafter, this Agreement shall be automatically renewed for successive twelve (12) month terms ("Renewal Terms"), subject to the termination provisions contained herein. 3 EAP Services Agreement 2014-12-02 Agenda Packet Page 185 B. Termination of Individual Member. 1. Loss of Eligibility. If an employee ceases to meet the eligibility requirements of Group, as determined by Group's personnel and benefit policies, then coverage for Benefits under this Agreement for such employee, and all other Members covered for Benefits through the employee, terminates automatically at midnight on the last day of the month in which the employee ceases to meet the eligibility requirements of Group. Group shall notify Plan monthly of the employees ceasing to meet Group's eligibility requirements. Plan shall not charge an employee who ceases to meet Group's eligibility requirements, or Members covered for Benefits through such employee, for Benefits rendered prior to Group's notice to Plan of the employee's loss of eligibility. 2. Ri,zht to Review. A Member who alleges that his or her rights hereunder were terminated or not renewed because of the Member's health status or requirements for Benefits, may request a review of the termination by the Director pursuant to Section 1365(b) of the California Health and Safety Code. C. Termination of Group. 1. Termination of this Agreement. This Agreement may be terminated by Group, with or without cause, by giving Plan written notice at least ninety (90) days prior to the expiration of the Initial Term or the current Renewal Term. This Agreement may also be terminated by Plan for nonpayment, as provided in Section VILC.2 and VILC.3. 2. Nonpayment. If Group fails to pay any amount due Plan within thirty (30) days after Plan's notice to Group of, and bill for the amount due, then Plan may terminate the rights of the Members involved, effective upon Plan's issuance of notification of cancellation to Group. Such rights may be reinstated only by payment of the amounts due and in accordance with Section VILC.3. Plan shall continue to provide Benefits to Members until expiration of the applicable reinstatement period and shall not charge Members for services rendered during such period. Thereafter, Plan shall not be liable for Benefits to Members. 3. Reinstatement. Receipt by Plan of the proper Periodic Fees within fifteen (15) days of Plan's issuance of the notice of cancellation to Group for non-payment of Periodic Fees shall reinstate the Members as though there never was a cancellation. If such payment is received after said fifteen (15) day period, Plan, at its option, may either refund to Group the amounts paid and consider this Agreement terminated, or issue to Group, within twenty (20) days of the receipt of such payment, a new agreement accompanied by written notice stating clearly those respects in which the new agreement differs from this Agreement in Benefits or other terms. D. Extension of Benefits upon Termination 1. Termination of Provider Contract. Upon termination of a contract with an EAP Provider, Plan shall be liable for Benefits rendered by such EAP Provider to Members who retain eligibility under this Agreement, or by operation of law, under the care of such EAP Provider at the time of such termination, until the Benefits being rendered to such Members are completed, or until Plan makes reasonable provision for the assumption of such Benefits by another EAP Provider. 4 EAP Services Agreement 2014-12-02 Agenda Packet Page 186 2. Group Continuation Benefits. Federal or state law requires Group to continue to make health care benefits available to certain Members who lose eligibility for Benefits under this Agreement. To assist Group in complying with such laws, Plan, in its sole discretion, may agree to continue to make Benefits available to such persons. Under such circumstances, Group shall be solely responsible for complying with all applicable laws governing such continuation coverage, and for notifying eligible persons of the availability, terms, conditions and duration of, and of all changes in, such coverage. Group agrees to indemnify, save and hold harmless Plan from any and all liability in any way arising out of Group's health care benefit continuation obligations under federal or state law, and Group's notification obligations provided for above. VIII. COMPLAINT AND GRIEVANCE PROCEDURE Members are entitled to present complaints and grievances involving Benefits, Plan and EAP Providers to Plan, and Plan is obliged to seek to resolve such complaints and grievances. Plan has established a procedure for processing and resolving Member complaints and grievances. A copy of this procedure, and the form to be used to file a complaint or grievance, are available from Plan and from all EAP Providers and EAP Provider locations. A grievance is a written or oral expression of dissatisfaction regarding Horizon Health EAP-Behavioral Services and/or an EAP Provider, including quality of care concerns, and 'includes a complaint, dispute, request for reconsideration or appeal made by a Member or the Member's representative. A complaint is the same as a grievance. There is no discrimination by the Plan against a Member for filing a grievance. Members are entitled to present complaints and grievances. Horizon Health EAP-Behavioral Services is obliged to seek to resolve such complaints and grievances in a timely fashion. Members may file a grievance up to 365 calendar days following an incident or action that is the subject of the member's dissatisfaction. Horizon Health EAP-Behavioral Services has established a procedure for processing and resolving Member complaints and grievances. Should a Member desire to register a complaint or grievance with Horizon Health EAP-Behavioral Services concerning Benefits, he/she can either call Horizon Health EAP-Behavioral Services at the toll- free telephone number 1-800-342-8111 to report the complaint or grievance, or to request a copy of the Horizon Health EAP-Behavioral Services Complaint Form, or write directly to Horizon Health EAP- Behavioral Services at 7676 Hazard Center Drive, Suite 1100, San Diego, CA 92108. The telephone call or letter should be addressed to the Director, Clinical Quality Improvement. Horizon Health EAP- Behavioral Services will acknowledge each complaint and grievance within five (5) days of receipt. The Director, Clinical Quality Improvement will receive and investigate all Member complaints and grievances. The Director, Clinical Quality Improvement, will respond to the Member stating the disposition and the rationale within thirty (30) days of receipt of the grievance. If the grievance is not resolved to the Member's satisfaction, a second level of review may be requested within ten (10) days of notification of such disposition. Any such request will be reviewed by the Medical Director and responded to within seventy-two (72)hours of receipt. If the complaint or grievance involves a delay, modification, or denial of service related to a clinically emergent or urgent situation, the review will be expedited and a response provided in writing to the Member within three (3) days from receipt of the complaint or grievance. There is no requirement that the Member participate in Horizon Health EAP-Behavioral Services' grievance process before 5 EAP Services Agreement 2014-12-02 Agenda Packet Page 187 requesting a review by the California Department of Managed Care ("Department") in any case determined by the Department to be a case involving an imminent and serious threat to the health of the patient, including but not limited to severe pain, the potential loss of life, limb, or major bodily function, or in any other case where the Department determines that an earlier review is warranted. The criteria for determining emergent situations are whether the Member is assessed to be at imminent risk to seriously harm himself or another person, or is so impaired in judgment as to destroy property or be unable to care for his own basic needs. The criteria for determining urgent situations are whether the Member is assessed to be significantly distressed, and is experiencing a reduced level of functioning due to more than a moderate impairment resulting in an inability to function in key family/work roles. A Member, or the agent acting on behalf of the Member, may also request voluntary mediation with Horizon Health EAP-Behavioral Services prior to exercising the right to submit a grievance to the Department. The use of mediation services will not preclude the Member's right to submit a grievance to the Department upon completion of the mediation. In order to initiate mediation, the Member, or the agent acting on behalf of the Member, and Horizon Health EAP-Behavioral Services will voluntarily agree to mediation. Expenses for the mediation will be borne equally by the parties. The Department will have no administrative or enforcement responsibilities in connection with the voluntary mediation process. Mediations will take place in San Diego, California unless otherwise determined by the parties. Pursuant to Section 1365(b) of the Act, any Member who alleges his enrollment has been canceled or not renewed because of his health status or requirement for services may request review by the Department. The California Department of Managed Health Care is responsible for regulating health care service plans. If a member has a grievance against the Plan, the member should first telephone the Plan at (1- 800-342-8111) and use the Plan's grievance process (or locate their grievance form on Horizon Health EAP-Behavioral Services' website at www.horizoncarelink.com) before contacting the Department. Utilizing this grievance procedure does not prohibit any potential legal rights or remedies that may be available to the member. If a member needs help with a grievance involving an emergency, a grievance that has not been satisfactorily resolved by the Plan, or a grievance that has remained unresolved for more than thirty (30) days, the member may call the Department for assistance. The member may also be eligible for an Independent Medical Review (IMR). If the member is eligible for IMR, the IMR process will provide an impartial review of medical decisions made by a health plan related to the medical necessity of a proposed service or treatment, coverage decisions for treatments that are experimental or investigational in nature, and payment disputes for emergency or urgent medical services. The Department also has a toll-free telephone number (1-888-HMO-2219) and a TDD line (1-877-688-9891) for the hearing and speech impaired. The Department's internet website http://www.hmohelp.ca.gov has complaint forms, IMR application forms and instructions online. The Plan's grievance process and the Department's complaint review process are in addition to any other dispute resolution procedures that may be available to the member, and the member's failure to use these processes does not preclude the member's use of any other remedy provided by law. IX.RECORDS Plan agrees to maintain, in the State of California, such records and to provide such information to the Director as may be necessary for compliance by Plan with the provisions of the Act and the Regulations. Plan further agrees that such obligations are not terminated upon termination of this Agreement, whether by rescission or otherwise, and that such records shall be retained by Plan for at least five (5) years. 6 EAP Services Agreement 2014-12-02 Agenda Packet Page 188 Plan agrees to permit the Director access, at all reasonable times upon demand, to such records and information. X. ARBITRATION If any dispute or controversy shall arise between the parties with respect to the making, construction, terms, application or interpretation of this Agreement, or the rights of either party, or with respect to any transaction contemplated by this Agreement, either party may refer the dispute or controversy to the American Arbitration Association for resolution. The arbitration shall be an adversary hearing and each party shall be entitled to call and cross-examine witnesses under oath and to introduce oral and documentary evidence. The arbitration shall be held within thirty (30) days of the appointment of the arbitrator. The decision of the arbitrator shall be final and binding. Judgment on the award may be entered in any court having jurisdiction and shall be fully binding on the parties. The arbitration shall take place in San Diego, California, unless some other location is mutually agreed upon by the parties, and shall be governed by the rules of the American Arbitration Association, except as may otherwise be expressly provided herein. The expenses of the arbitrator shall be shared equally by the parties. The prevailing party in the arbitration or in any legal action concerning the arbitration or the judgment on the arbitration award, shall be entitled to recover its costs and reasonable attorney's fees from the other party. XI.HIPAA COMPLIANCE Each party acknowledges that the use and disclosure of individually identifiable health information is limited by the Health Insurance Portability and Accountability Act of 1996 (HIPAA) and any current and future regulations promulgated thereunder including without limitation the federal privacy regulations contained in 45 CFR Parts 160 and 164, the federal security standards contained in 45 CFR Part 160, 162 and 164 and the federal standards for electronic transactions contained in 45 CFR Parts 160 and 162, all collectively referred to herein as the HIPAA Requirements. Each party agrees to comply with the HIPAA Requirements to the extent applicable to such party and further agrees that it shall not use or further disclose Protected Health Information (as defined under the HIPAA Requirements) other than as permitted by the HIPAA Requirements. The parties further agree to execute such other agreements and understandings as may be necessary or required to satisfy all HIPAA Requirements applicable to this Agreement and the transactions contemplated hereby. XIL MISCELLANEOUS A. Change of Periodic Fees and/or Benefits. Plan may change Periodic Fees and/or Benefits hereunder, effective thirty (30) days after receipt by Group of written notice from Plan setting forth any such change, but in no event during the term of the Agreement then in effect. B. Member Consent. By this Agreement, Group makes Benefits available to Members. However, this Agreement shall be subject to amendment, modification or termination, in accordance with the provisions hereof, or by mutual agreement between Plan and Group, without the consent or concurrence of Members. By electing Benefits pursuant to this Agreement, or accepting Benefits 7 EAP Services Agreement 2014-12-02 Agenda Packet Page 189 hereunder, all Members legally capable of contracting, and the legal representatives of all Members incapable of contracting, agree to all terms, conditions and provisions hereof. C. Entitlement to Benefits. To be entitled to receive Benefits under this Agreement, a person must be a Member on whose behalf Periodic Fees have been paid. Any person receiving Benefits to which he or she is not then entitled pursuant to the provisions of this Agreement shall be responsible for payment therefore. D. Notice of Certain Events. Plan shall give Group written notice within a reasonable time of any termination or breach of contract by, or inability to perform of an EAP Provider, or any person with whom Plan has a contract to provide Benefits hereunder, if Group can be materially and adversely affected thereby. E. Liability of Plan. In the event Plan fails to pay EAP Providers for Benefits provided to Members, Members shall not be liable to EAP Providers for any sums owed by Plan. F. Member's Liability to Non-Plan Providers. Except with respect to Benefits rendered in an emergency, in the event Plan fails to pay non-EAP Providers, Members may be liable to such non-EAP Providers for the cost of services rendered. G. Plan Referrals to Members. When EAP Providers refer Members for further treatment, EAP Providers, to the best of their ability, will inform Members of the insurance deductibles and co-payments that Members will be liable for as a result of the referral. Members will be informed they are fully liable for all costs of treatment subsequent to the Benefits provided herein. H. Limitation on Liability. Group acknowledges that the information and advice provided to Members by legal and financial persons to whom Members are referred under this Agreement ("Referees") are not, expressly or impliedly, endorsed, recommended or approved by Plan. The relationship between Plan and a Referee is that of independent third party entities. Plan, its agents and affiliates are not agents or affiliates of any Referee. Referees maintain a Referee-client relationship with Members, and Referees are solely responsible to Members for any and all services that they may provide to Members. Plan makes no warranties, expressed or implied, of any kind with respect to the services provided by a Referee. Plan shall not be liable for the negligence or wrongful acts or omissions of Referees. L Plan's Policies. Plan may adopt reasonable policies, procedures, rules and interpretations to promote orderly and efficient administration of this Agreement. J. Entire Agreement. This Agreement, including its Exhibits, constitutes the entire understanding between the parties with respect to the subject matter hereof and, as of the effective date hereof, supersedes all other agreements between the parties with respect to such subject matter. If any part of this Agreement is deemed unenforceable, the remaining parts shall remain in full force and effect. K. Amendments. No agent or other person, except an authorized representative of Plan, has authority to waive any condition or restriction of this Agreement, to extend the time for making a payment, or to bind Plan by making any promise or representation or by giving or receiving any information. No change in this Agreement shall be valid unless evidenced by an endorsement to it signed by the aforesaid representative, or by an amendment to it signed by Group and such representative of Plan. 8 EAP Services Agreement 2014-12-02 Agenda Packet Page 190 The above notwithstanding, this Agreement shall be deemed automatically amended to comply with the provisions of the Act and the Regulations. L. Notices. Any notice under this Agreement may be given, addressed to the applicable party at the address provided on the Cover Sheet, or to such other address as may be provided by giving notice pursuant to this Section. Notices given by United States mail, postage prepaid, return receipt requested shall be deemed given three (3) days after deposit in the mail. Notices given by next day or overnight delivery or in person shall be deemed given upon delivery. M. Notices to Members. Group agrees to disseminate all notices regarding material matters with respect to this Agreement and Plan to Members within ten (10) days after the receipt of notice of such matters from Plan. In the event that any such notice from Plan involves the cancellation or termination of, or decision not to renew this Agreement, Group shall provide notice of such to Members promptly and shall provide Plan with written evidence of such notification. N. Discrimination. Plan may not refuse to enter into any contract, or cancel or decline to renew or reinstate any contract, nor may Plan modify the terms of a contract because of the race, color, national origin, ancestry, religion, sex, marital status, sexual orientation, handicap or age of any contracting party, or person reasonably expected to benefit from such contract. O. Headings. The headings of the Articles and Sections of this Agreement are for information purposes only and shall not limit or otherwise restrict the meaning of any provision of this Agreement. P. Interpretations and Governing Law. 1. Plan is subject to the requirements of the Act and the Regulations, and any provision required to be in this Agreement by either of the above shall bind Plan whether or not set forth herein. 2. This Agreement shall be governed by and construed in accordance with the laws of the State of California. 9 EAP Services Agreement 2014-12-02 Agenda Packet Page 191 EXHIBIT A Schedule of Benefits Employee Assistance Program A. Benefits. 1. Individual and family assessment and counseling for personal, marital, family, relationship, work-related, alcohol and substance abuse problems that in the judgment of the EAP Provider meet community standards of practice for such counseling and can be satisfactorily resolved in no more than eight (8) private counseling sessions per separate incident, within a twelve month period under the Agreement. A "session" is defined as either an in person or telephone consultation with the Member, of approximately one hour in duration, in connection with the Member's problems, to identify and evaluate such problems. A separate incident involves a single underlying issue or condition, regardless of the number of same or different events involving the issue or condition. Plan shall make the clinical determination as to what constitutes a separate incident. 2. Referrals by EAP Providers to licensed and accredited mental health agencies, practitioners and programs, for any Member whose problem, in the judgment of an EAP Provider, is of a type and level of severity to require a professional diagnostic evaluation and/or consideration of medical intervention on an emergency or non-emergency basis. 3. Referrals to non-medical agencies, practitioners and programs for a Member whose problem, following an assessment rendered by an EAP Provider, is not of a type or level of severity to meet community standards of practice for further counseling Benefits. 4. 24-hour crisis hotline, 7 days/week. 5. Referrals for legal consultation. 6. Referrals for financial counseling. 7. Identity theft consultation. 8. Childcare/Eldercare database on Horizon Health website. B. Services. 1. Management consultations. 2. Promotional and educational materials. 3. Drug-free workplace policy development assistance, consultation. 4. Participation at health/benefit fairs as agreed upon. 5. Statistical data relating to the use of the EAP. 6. Employee Orientation Meetings. Plan will make available on-site meetings for eligible employees to acquaint eligible employees with the operation of the EAP and to encourage eligible employees to use the EAP. 7. Supervisor Orientation and Training. Plan will make available training programs for Group's employees who provide supervision to others as part of their day-to-day duties. The purpose of this training program will be to acquaint supervisors with the operation of the EAP and to motivate supervisors to encourage Members to use the EAP. 10 EAP Services Agreement 2014-12-02 Agenda Packet Page 192 8. Comprehensive Substance Abuse Professional (SAP) Services. Upon request of Group, for drug and alcohol cases that fall under the Department of Transportation (DOT) guidelines, Plan shall provide initial and ongoing management consultation, initial and follow up SAP evaluation, as well as case management throughout the SAP aftercare recommendations. Plan shall refer to a qualified SAP to conduct initial assessment and provide treatment recommendations, follow-up testing schedule,referral to treatment resource and compliance meeting, as defined by DOT SAP guidelines. After an Eligible Employee's return to the workplace, and upon request of Group, Plan shall provide ongoing case management through completion of aftercare recommendations. Per DOT Regulation, Group has final decision-making authority regarding the return of an Eligible Employee to the workplace. If a referral to a treatment resource occurs, Eligible Employee will be responsible for the cost of services provided by the treatment source. 9. Standard EAP Seminars and Trainings. Plan will provide a total of six (6) hours of Standard EAP Seminars and Trainings on such topics as stress management, weight loss, smoking, conflict resolution and substance abuse prevention. Additional Seminars and Trainings will be provided at the rate of Two Hundred Seventy-Five Dollars ($275.00) per hour/per clinician. Travel both to and from the Group's premises shall be paid at a rate of Fifty Dollars ($50.00) per hour of travel. Web-based seminars, in which participants view the presentation through their web browser and listen to the audio through their telephone, are available at the rate of Two Hundred Dollars ($200.00) per hour/per clinician. Cancellations within twenty-four (24) hours of requested service will be charged a Two Hundred Seventy-Five Dollars ($275.00)per onsite hour/per clinician administrative fee. The following EAP Services are in addition to the per eligible employee/per month fee: 10. Critical Incident Stress Debriefing (CISD)/Critical Incident. Plan will make available to Group, upon its request, at Group's premises, an EAP Provider to provide group crisis counseling to Group's employees in the event of a catastrophic incident affecting a group of employees (e.g., robbery at the workplace, assault in the workplace, employee death in the workplace). Plan will schedule a CISD at the worksite with a group of employees directly impacted by a critical incident as soon as clinically necessary following the traumatic event. CISDs will be provided at the rate of Three Hundred Twenty-Five Dollars ($325.00) per on-site hour/per clinician. Travel both to and from the Group's premises shall be paid at a rate of Fifty Dollars ($50.00) per hour of travel. Cancellations within twenty-four (24) hours of requested service will be charged a Three Hundred Twenty-Five Dollar ($325.00) per on-site hour/per clinician administrative fee. 11. Reduction in Force. The process by which a work organization reduces its work force by eliminating jobs, such as closing subsidiaries or departments. On-site services for Reduction in Force will be provided at the rate of Three Hundred Twenty-Five Dollars ($325.00) per on-site hour/per clinician. Travel both to and from the Group's premises shall be paid at a rate of Fifty Dollars ($50.00) per hour of travel. Cancellations within twenty-four (24) hours of requested service will be charged a Three Hundred Twenty-Five Dollar ($325.00) per on-site hour/per clinician administrative fee. 12. Grief Groups. An on-site group that is facilitated by a provider to help employees deal with the death of a co-worker, family member, etc. Grief Groups will be provided at the rate of Three Hundred Twenty-Five Dollars ($325.00) per on-site hour/per clinician. Travel both to and from the Group's premises shall be paid at a rate of Fifty Dollars ($50.00) per hour of travel. 11 EAP Services Agreement 2014-12-02 Agenda Packet Page 193 Cancellations within twenty-four (24) hours of requested service will be charged a Three Hundred Twenty-Five Dollar ($325.00)per on-site hour/per clinician administrative fee. 13. On-Site Counseling. An on-site counselor can be provided to assist with providing one-on-one counseling in a confidential on-site location. On-site counseling will be provided at the rate of Three Hundred Twenty-Five Dollars ($325.00) per on-site hour/per clinician. Travel both to and from the Group's premises shall be paid at a rate of Fifty Dollars ($50.00) per hour of travel. Cancellations within twenty-four (24) hours of requested service will be charged a Three Hundred Twenty-Five Dollar ($325.00)per on-site hour/per clinician administrative fee. 14. Awareness Trainings. Plan will provide Awareness Trainings on topics such as Department of Transportation (DOT) Drug/Alcohol Awareness, Diversity in the Workplace, Drug Free Workplace, and Sexual Harassment for Employees, and Violence in the Workplace. Awareness Trainings will be provided at the rate of Three Hundred Fifty Dollars ($350.00) per on-site hour/per clinician. Travel both to and from the Group's premises shall be paid at a rate of Fifty Dollars ($50.00) per hour of travel. Cancellations within twenty-four (24) hours of requested service will be charged a Three Hundred Fifty Dollar ($350. 00) per on-site hour/per clinician administrative fee. The above quotes are valid only for the Initial Term. Pricing will be provided in advance of any Renewal Term. If no such pricing is provided, then the pricing above will remain in effect for such Renewal Term. 12 EAP Services Agreement 2014-12-02 Agenda Packet Page 194 EXHIBIT B Periodic Fees $1.79 Per Employee Per Month. This rate includes the following services, more fully documented in Exhibit A and the Agreement: Service Rate Eight-session Employee Assistance Program $ 1.79 per employee per month Additional services not specifically covered by this contract will be billed at then current rates. 13 EAP Services Agreement 2014-12-02 Agenda Packet Page 195 HORIZON HEALTH EAP-BEHAVIORAL SERVICES COMBINED EVIDENCE OF COVERAGE AND DISCLOSURE FORM TABLE OF CONTENTS I. DEFINITIONS..............................................................................................................................................2 II. HOW TO OBTAIN BENEFITS...................................................................................................................3 III. EMERGENCY SERVICES..........................................................................................................................4 IV. CRISIS INTERVENTION...........................................................................................................................4 V. PERIODIC FEES..........................................................................................................................................4 VI. OTHER CHARGES......................................................................................................................................5 VII. PREPAYMENT OF FEES...........................................................................................................................5 VIII. CHOICE OF EAP PROVIDERS.................................................................................................................5 IX. FACILITIES..................................................................................................................................................5 X. LIABILITY OF HORIZON HEALTH EAP-BEHAVIORAL SERVICES/MEMBERS.....................5 A. LIABILITY OF HORIZON HEALTH EAP-BEHAVIORAL SERVICES................................................................5 B. LIABILITY OF MEMBERS...........................................................................................................................5 C. MEMBER LIABILITY TO NON-EAP PROVIDERS.........................................................................................6 XI. PROVIDER COMPENSATION..................................................................................................................6 XII. SECOND OPINION POLICY.....................................................................................................................6 XIIL ELIGIBILITY/ENROLLMENT/EFFECTIVE DATE OF COVERAGE...............................................7 XIV. TERMINATION OF BENEFITS................................................................................................................7 A. CANCELLATION OF THE GROUP CONTRACT FOR NONPAYMENT OF PREMIUMS.........................................7 B. REINSTATEMENT OF THE CONTRACT AFTER CANCELLATION....................................................................8 C. MEMBER TERMINATION FOR NON-ELIGIBILITY........................................................................................8 D. TERMINATION FOR GOOD CAUSE..............................................................................................................8 XV. CONTINUITY OF CARE............................................................................................................................9 A. NEW MEMBERS.........................................................................................................................................9 1) Eligibility..........................................................................................................................................9 2) Access................................................................................................................................................9 B. TERMINATED EAP PROVIDERS...............................................................................................................10 i Evidence of Coverage 2014-12-02 Agenda Packet Page 196 XVI. CONTINUATION OF GROUP COVERAGE.........................................................................................10 A. COBRA CONTINUATION OF COVERAGE.................................................................................................10 B. CAL-COBRA CONTINUATION OF COVERAGE.........................................................................................11 1) Eligibility for Cal-COBRA Continuation Coverage........................................................................11 2) Notification of Qualifying Events....................................................................................................11 3) Cal-COBRA Enrollment and Premium Information.......................................................................12 4) Termination of Cal-COBRA Continuation Coverage.....................................................................12 XVIL COMPLAINT AND GRIEVANCE PROCEDURE.................................................................................13 XVIII. MISCELLANEOUS....................................................................................................................................15 A. CONFIDENTIALITY POLICY......................................................................................................................15 B. MEMBER CONSENT.................................................................................................................................15 C. HORIZON HEALTH EAP-BEHAVIORAL SERVICES'POLICIES...................................................................16 D. HORIZON HEALTH EAP-BEHAVIORAL SERVICES'PUBLIC POLICY COMMITTEE.....................................16 E. TERM AND RENEWAL PROVISIONS..........................................................................................................16 F. IMPORTANT INFORMATION ABOUT ORGAN AND TISSUE DONATIONS .....................................................16 EXHIBIT A-SCHEDULE OF BENEFITS,LIMITATIONS,AND EXCLUSIONS.........................................17 A. BENEFITS................................................................................................................................................17 B. LIMITATIONS.....................................................................................ERROR!BOOKMARK NOT DEFINED. C. EXCLUSIONS...........................................................................................................................................18 EXHIBIT B-COMPARISON OF BENEFITS......................................................................................................19 ii Evidence of Coverage 2014-12-02 Agenda Packet Page 197 HEALTH AND HUMAN RESOURCE CENTER (dba HORIZON HEALTH EAP-BEHAVIORAL SERVICES) 7676 Hazard Center Drive, Suite 1100 San Diego, CA 92108 1-800-342-8111 EMPLOYEE ASSISTANCE PROGRAM COMBINED EVIDENCE OF COVERAGE AND DISCLOSURE FORM The Employee Assistance Program (EAP) is being offered by your employer to provide you with confidential assistance from licensed mental health professionals. These professionals can help with problems affecting your life at work as well as at home. Such problems include marital issues, family relationships, depression and anxiety, alcohol and drug issues, and/or problems within the workplace. The EAP counselors will conduct a thorough assessment of your problem and together with you will decide on an action plan that will either resolve the issue within the EAP sessions or will refer you to appropriate providers and/or community resources that have been reviewed by the EAP. Your involvement with the EAP counselor will be at no cost to you. This Combined Evidence of Coverage and Disclosure Form constitutes only a summary of the health plan. The EAP Services Agreement must be consulted to determine the exact terms and conditions of coverage. A copy of the agreement will be furnished on request and is available from your employer. This Combined Evidence of Coverage and Disclosure Form discloses the terms and conditions of coverage. It also provides you with important information on how to obtain Benefits and the circumstances under which Benefits will be provided to you. PLEASE READ IT CAREFULLY. Individuals with special health care needs should read carefully those sections that apply to them. Keep this publication in a safe place where you can easily refer to it when you are in need of Benefits. Contact Horizon Health EAP-Behavioral Services at 1-800-342-8111 to receive additional information about Benefits. Enclosed as Exhibit B is Horizon Health EAP-Behavioral Services' matrix of covered services. 1 Evidence of Coverage 2014-12-02 Agenda Packet Page 198 I. DEFINITIONS The following terms have the following meanings for purposes of this Combined Evidence of Coverage and Disclosure Form. A. "Act" means the Knox-Keene Health Care Service Plan Act of 1975, as amended (California Health and Safety Code, Sections 1340 et seq.). B. "Benefits" means the services to which Members are entitled under an EAP Services Agreement, and which are described in Exhibit A to this Combined Evidence of Coverage and Disclosure Form. C. "EAP Provider" means the licensed assessment and short-term counseling mental health professionals employed by, or under contract with, Horizon Health EAP-Behavioral Services to provide Benefits to Members. D. "EAP Services Agreement" means the Employee Assistance Program (EAP) Services Agreement between Horizon Health EAP-Behavioral Services and a Group, which establishes the terms and conditions governing the provision of Benefits to Members by Horizon Health EAP-Behavioral Services. E. "Exclusion" means any provision of an EAP Services Agreement whereby coverage for Benefits is entirely eliminated, and which is set forth in Exhibit A to this Combined Evidence of Coverage and Disclosure Form. F. "Group" means the company that has entered into an EAP Services Agreement with Horizon Health EAP-Behavioral Services for Horizon Health EAP-Behavioral Services to provide Benefits to Members. G. "Plan" means Health and Human Resource Center, Inc., doing business as Horizon Health EAP-Behavioral Services. H. "Limitation" means any provision of an EAP Services Agreement, other than an Exclusion, which restricts Benefits, and which is set forth in Exhibit A to this Combined Evidence of Coverage and Disclosure Form. L "Enrollee" means any eligible employee of Group who (1) resides in California and (2) may be covered under the Act. J. "Member" means an Enrollee covered by the Group, as defined above, the Enrollee's children under the age of 26, persons covered under the Enrollee's health benefit plan, and persons residing with the Enrollee, including domestic partners. K. "Periodic Fees" means the monthly amounts due and payable to Horizon Health EAP- Behavioral Services by a Group for providing Benefits to Members. 2 Evidence of Coverage 2014-12-02 Agenda Packet Page 199 L. "Emergency Services" means medically necessary transport using the 911 system or medical screening, examination and evaluation by a physician to determine if an emergency medical condition or psychiatric emergency medical condition exists. M. "Crisis Intervention" means assessment and problem solving in situations which you feel require immediate attention. Crisis intervention is available 24 hours per day, 7 days a week by telephone, and face to face by appointment. To access, call 1-800-342-8111. N. "Emergency Medical Condition" means a medical condition manifesting itself by acute symptoms of sufficient severity (including severe pain) such that the absence of immediate medical attention could reasonably be expected by the Member to result in any of the following: • Placing the Member's health in serious jeopardy; • Serious impairment to bodily functions; • Serious dysfunction of any bodily organ or part; or • Active labor, meaning labor at a time that either of the following would occur 1) There is inadequate time to effect safe transfer to another hospital prior to delivery; or 2) A transfer poses a threat to the health and safety of the Member or unborn child. II. HOW TO OBTAIN BENEFITS Unless otherwise provided herein, you are entitled to Benefits from an EAP Provider. You must obtain Benefits by calling 1-800-342-8111. Upon contact, Horizon Health EAP- Behavioral Services will determine your eligibility for Benefits and arrange for Benefits. All Benefits must be provided by Horizon Health EAP-Behavioral Services or by an EAP Provider referred to by Horizon Health EAP-Behavioral Services. Local and toll-free telephone numbers are available to access Benefits. Appointments with EAP Providers are readily available and, depending on your desire for a particular time and location, most appointments are offered within forty-eight (48)hours of contact. Horizon Health EAP-Behavioral Services does not directly provide specialty services beyond assessment, brief counseling and/or referral. Horizon Health EAP-Behavioral Services' role in the referral process is to function as an advocate for you to obtain necessary and appropriate levels of care; usually under your group health plan. Your EAP Provider will assist you in securing potential referral resources. During or after business hours, any Member may access a licensed mental health professional for a telephone assessment. The telephone assessor may provide crisis intervention over the telephone, arrange a same-day appointment with an EAP Provider in your area, or assist you in obtaining more intensive, acute care services. 3 Evidence of Coverage 2014-12-02 Agenda Packet Page 200 III. EMERGENCY SERVICES Emergency services are medically necessary ambulance and ambulance transport services provided through the 911 emergency response system and medical screening, examination, and evaluation by a physician, or other personnel, to the extent provided by law, to determine if an Emergency Medical Condition or psychiatric emergency medical condition exists; and, if it does, the care, treatment, and/or surgery by a physician necessary to relieve or eliminate the Emergency Medical Condition or psychiatric emergency medical condition within the capabilities of the facility. What To Do When You Require Emergency Services If you believe that you need Emergency Services, you should call 911 or go to the nearest emergency medical facility for treatment. The Plan does not cover emergency medical services. It is appropriate for you to use the 911 emergency response system, or alternative emergency system in your area, for assistance in an emergency situation described above when ambulance transport services are required and you reasonably believe that your condition is immediate and serious and requires emergency ambulance transport services to transport you to an appropriate facility IV. CRISIS INTERVENTION If you need crisis intervention or problem solving, call Horizon Health EAP-Behavioral Services at 1-800-342-8111. Horizon Health EAP-Behavioral Services provides crisis intervention both during and after business hours at this number. A member who is currently outside the Plan service area and requires this service can call 1-800-342-8111. Members can obtain care if they are temporarily outside of the Plan service area. Members can also be scheduled for an appointment on an urgent basis following assessment by a licensed clinician over the telephone V. PERIODIC FEES Horizon Health EAP-Behavioral Services bills the Group for Periodic Fees and the Group remits such fees to Horizon Health EAP-Behavioral Services each month during the term of the EAP Services Agreement for Members entitled to receive Benefits during such month. Horizon Health EAP-Behavioral Services may change the Periodic Fees and/or Benefits under the EAP Services Agreement, effective thirty (30) days after receipt by the Group of written notice from Horizon Health EAP-Behavioral Services setting forth any such change, but in no event during the then-existing thirty-six (36) month term of the EAP Services Agreement. There are no co-payments, deductibles, or charges to you for Benefits. 4 Evidence of Coverage 2014-12-02 Agenda Packet Page 201 VI. OTHER CHARGES The Plan will bill the Group for additional services or benefits provided under the Agreement. The Group will remit payment to the Plan within thirty (30) days of receipt of invoice. VII. PREPAYMENT OF FEES The Member does not pay co-payments, deductibles, or fees for the Plan. All fees are paid by the Group. VIII. CHOICE OF EAP PROVIDERS PLEASE READ THE FOLLOWING INFORMATION SO YOU WILL KNOW FROM WHOM OR WHAT GROUP OF PROVIDERS BENEFITS MAY BE OBTAINED: You will be referred to an EAP Provider in accordance with your clinical, appointment time, and location needs. You should call Horizon Health EAP-Behavioral Services at 1-800-342-8111 to determine the names and locations of EAP Providers. EAP contracted providers include licensed psychologists, licensed clinical social workers, and licensed marriage and family therapists. Psychiatrists are not provided through the EAP. Members are given names of contracted providers in their area with knowledge in the problem area that is indicated. You may also request a list of providers, and this will be provided for the geographic area, customized by specialty, if you prefer. IX. FACILITIES The location of Providers is obtained by calling Horizon Health EAP-Behavioral Services at 1-800-342-8111. If you prefer, a customized list of providers will be provided upon request. This is arranged by zip code in the area specialty that you request. X. LIABILITY OF HORIZON HEALTH EAP-BEHAVIORAL SERVICES/MEMBERS A. Liability of Horizon Health EAP-Behavioral Services In the event Horizon Health EAP-Behavioral Services fails to pay EAP Providers for Benefits provided to you, you shall not be liable to EAP Providers for any sums owed by Horizon Health EAP-Behavioral Services. B. Liability of Members It is not contemplated that Members would make payment to Plan providers for benefits. If this has occurred, the Member may contact the Plan at 1-800-342-8111 to be reimbursed. There is no restriction on assignment of sums payable to the Member by the health plan. 5 Evidence of Coverage 2014-12-02 Agenda Packet Page 202 C. Member Liability to Non-EAP Providers You may be liable to non-EAP Providers for the cost of services rendered when such services are not authorized or referred by Horizon Health EAP-Behavioral Services. XI. PROVIDER COMPENSATION Horizon Health EAP-Behavioral Services compensates EAP Providers through an agreement by which they are paid a fixed amount of money based on hours worked, number of Members seen, or number of sessions provided. Providers are compensated within thirty (30) days after claim is received. Horizon Health EAP-Behavioral Services does not distribute financial bonuses or use any other incentive program to compensate its EAP Providers other than the methods of compensation defined above. Members may request further information about Horizon Health EAP-Behavioral Services' EAP Provider reimbursement policies and procedures by contacting Horizon Health EAP- Behavioral Services' Manager, Provider Relations, at 1-800-342-8111 or the Member's EAP Provider. XII. SECOND OPINION POLICY You may request a second opinion regarding both treatment recommended by the treating EAP Provider and treatment desired by you. Horizon Health EAP-Behavioral Services will authorize second opinions where the second opinion is consistent with professionally recognized standards of practice. The second opinion request will not result in a change in what is and is not a Benefit as described in the EAP Services Agreement and this Combined Evidence of Coverage and Disclosure Form. Horizon Health EAP-Behavioral Services may deny coverage for second opinion requests for services not listed as Benefits in the EAP Services Agreement and this Combined Evidence of Coverage and Disclosure Form. If Horizon Health EAP-Behavioral Services denies such a request, you will bear the financial responsibility for any self-directed second opinion. There will be no cost to you if the second opinion is received from an EAP Provider under contract with the Plan. If you request a second opinion from a provider not under contract with Horizon Health EAP-Behavioral Services, you must provide an explanation as to why an EAP Provider cannot render such an opinion. The Horizon Health EAP-Behavioral Services Medical Director shall review the request to determine whether there is an EAP Provider qualified to render a second opinion. Requests for second opinions may be made by contacting the Director, Clinical Quality Improvement at (1-800-342-8111) or in writing to 7676 Hazard Center Drive, Suite 1100, San Diego, CA 92108. All requests for second opinions shall be processed and approved or denied by Horizon Health EAP-Behavioral Services within five (5) business days of receipt. Requests related to urgent care or crisis intervention shall be processed and approved or denied within forty-eight (48) hours of receipt. 6 Evidence of Coverage 2014-12-02 Agenda Packet Page 203 XIIL ELIGIBILITY/ENROLLMENT/EFFECTIVE DATE OF COVERAGE All Enrollees identified by the Group prior to the effective date of the EAP Services Agreement and all persons covered under the identified Enrollee's health benefit plan or residing with the identified Enrollee shall be entitled to Benefits as of such effective date. The Group shall be responsible for notifying Horizon Health EAP-Behavioral Services of any Enrollee who becomes newly eligible after the effective date of the EAP Services Agreement. Horizon Health EAP-Behavioral Services shall rely upon the determination by the Group as to which Enrollees are eligible for Benefits under the EAP Services Agreement. Any disputes or inquiries regarding eligibility, including rights regarding renewal, reinstatement and the like, shall be referred by Horizon Health EAP-Behavioral Services to the Group, which shall then advise Horizon Health EAP-Behavioral Services of its determination with respect to the matter. XIV. TERMINATION OF BENEFITS Usually, your enrollment in the Plan terminates when the Group or Enrollee is no longer eligible for coverage under the employer's EAP Plan. In most instances, the Group determines the date in which coverage will terminate. Coverage can be terminated, however, because of other circumstances as well, which are described below. A. Cancellation of the Group Contract for Nonpayment of Premiums Continuing coverage under this EAP Plan is subject to the terms and conditions of the Group's EAP Services Agreement with the Plan. If the EAP Services Agreement is cancelled because the Group failed to pay the required premiums when due, then coverage for you and all your dependents will end 15 days after the Group mails you the Notice Confirming Termination of Coverage. The Plan will mail your Group a notice at least 30 days before any cancellation of coverage. This Prospective Notice of Cancellation will provide information to your Group regarding the consequences of your Group's failure to pay the premiums due within 15 days of the date the notice was mailed. If payment is not received from your Group within 15 days of the date the Prospective Notice of Cancellation is mailed, the Plan will mail the Group a Notice Confirming Termination of Coverage, which the Group will then forward to you. This notice will provide you with the following information: 1) That the Group Contract has been cancelled for non-payment of premiums; 2) The specific date and time when your Group coverage ends, which will be no sooner than 15 days after the Notice Confirming Termination of Coverage is mailed to you. 7 Evidence of Coverage 2014-12-02 Agenda Packet Page 204 B. Reinstatement of the Contract after Cancellation If the Group Agreement is cancelled for the Group's nonpayment of premiums, then the Plan will permit reinstatement of the Group Agreement if the Group pays the amounts owed within 15 days of the date of the Notice Confirming Termination is mailed to the Group. C. Member Termination for Non-Eligibility In addition to terminating the EAP Services Agreement, the Plan may terminate a Member's coverage for any of the following reasons: • The Member no longer meets the eligibility requirements established by the Group and/or Plan; • The Member lives or works outside the Plan Service Area and does not work inside the Plan Service Area(except for a child who is covered as a dependent). Ending Coverage Special Circumstances for Enrolled Family Members. Enrolled Family Members terminate on the same date of termination as the Group. If there is a divorce, the Spouse loses eligibility at the end of the month in which a final judgment or decree of dissolution of marriage is entered. Dependent children lose their eligibility when they reach the Limiting Age of 26 and do not qualify for extended coverage as a disabled dependent. D. Termination for Good Cause The Plan has the right to terminate your coverage under this EAP Plan in the following situation: ■ Fraud or Misrepresentation. Your coverage may be terminated if you knowingly provide false information (or misrepresent a meaningful fact) on your enrollment form or fraudulently or deceptively use services or facilities of the Plan, its Participating Providers (or knowingly allow another person to do the same). Termination is effective immediately on the date the Plan mails the Notice of Termination, unless the Plan has specified a later date in that notice. If coverage is terminated for the above reason, you forfeit all rights to enroll in the COBRA Plan. Under no circumstances will a Member be terminated due to health status or the need for EAP Services. Any Member who believes his or her enrollment has been terminated due to the Member's health status or requirements for EAP Services may request a review of the termination by the California Department of Managed Health Care. For more information, contact our Customer Service Department. 8 Evidence of Coverage 2014-12-02 Agenda Packet Page 205 NOTE: If the EAP Services Agreement is terminated by the Plan, reinstatement with the Plan is subject to all terms and conditions of the EAP Services Agreement between the Plan and the employer. XV. CONTINUITY OF CARE A. New Members 1) Eligibility Any newly covered Member with an acute, serious, chronic, or other mental health condition who has been receiving services from a licensed mental health provider who is not on the Horizon Health EAP-Behavioral Services panel is eligible for continuation of care. This does not include the services of psychiatrists, as the EAP benefit does not include psychiatric care. If you are newly covered under the EAP, you will be offered the option of continued care with your non-plan provider through the EAP. The Manager of Provider Relations or the Director of Clinical Services will review all requests for continued care with a non-plan provider. Consideration will be given to the potential clinical effect that a change of provider would have on your treatment for the condition. Notification of the referral acceptance is by telephone and a referral confirmation to the provider. If the provider declines to provide services,you will be notified in writing. 2) Access You may access the services of the provider by calling Horizon Health EAP- Behavioral Services and indicating to the Intake person that you have an ongoing client-patient relationship with the Provider. You then should ask the Provider to call and provide information to Provider Relations to be added to the panel for you. The non-plan provider must agree to continue until one of the following occurs: a. The episode of care is completed. b. Your benefit is exhausted, in which case you will be transitioned to other ongoing care. c. A reasonable transition period is determined on a case-by-case basis, during which time you would continue to see the non-plan provider. The decision as to how long this time will be takes into consideration the severity of your condition and the amount of time reasonably necessary to effect a safe transfer. This will be determined on a case-by-case basis with input from you and the therapist as to when it is safe to transition you to another provider, or into the full service health plan. The Medical Director will be consulted on these decisions. The following conditions must be met to receive continuing care services from a licensed mental health provider who is not on the Horizon Health EAP-Behavioral Services panel: a. Horizon Health EAP-Behavioral Services must authorize the continuing care. 9 Evidence of Coverage 2014-12-02 Agenda Packet Page 206 b. The requested treatment must be a covered benefit. c. The non-plan provider must agree in writing to the same contractual terms as a plan provider, which includes payment rates. d. The Member must be new to Horizon Health EAP-Behavioral Services. B. Terminated EAP Providers Should Horizon Health EAP-Behavioral Services terminate an EAP Provider for reasons other than a disciplinary cause, fraud, or other criminal activity, you may be able to continue receiving Benefits from the terminated provider following the termination, if the provider agrees in writing to continue to provide Benefits under the terms and conditions of his/her agreement with Horizon Health EAP-Behavioral Services. To inquire about continued care, you should contact the Member Services Department. XVL CONTINUATION OF GROUP COVERAGE A. COBRA Continuation of Coverage If the Group is subject to the Consolidated Omnibus Budget Reconciliation Act (COBRA) of 1985, as amended, you may be entitled to continuation of Group coverage under that act (COBRA Coverage). You may qualify for COBRA Coverage if you lose Group coverage due to the occurrence of certain qualifying events. Such events include, but are not limited to: ■ Termination or separation from employment for reasons other than gross misconduct. ■ Reduction of work hours. ■ Death of the Participant. ■ Termination of eligibility of a spouse due to divorce or legal separation. ■ Termination of eligibility of a dependent child. ■ Covered dependent if Member becomes eligible for Medicare COBRA Coverage extends up to thirty-six (36) months, depending upon your qualifying event. COBRA Coverage may be terminated on the occurrence of certain events, including you becoming eligible for coverage under Medicare. In addition, COBRA Coverage is not available to certain Members, including those Members who have certain other coverage at the time of the qualifying event. You may obtain complete information on COBRA qualifying events, COBRA Coverage termination circumstances, and ineligibility for COBRA Coverage from the Group. The Group is responsible for providing you with notice of your right to receive COBRA Coverage. You must provide Horizon Health EAP-Behavioral Services, or the Group, with a written request for COBRA Coverage within sixty (60) days of eligibility for such coverage or receipt of notice of the qualifying event. Qualified Members must make payment of Periodic Fees to the Group or COBRA administrator within forty-five (45) 10 Evidence of Coverage 2014-12-02 Agenda Packet Page 207 days of such written request. Members whose continuation of coverage under COBRA will expire may be eligible for continuation of coverage under Cal-COBRA. B. Cal-COBRA Continuation of Coverage 1) Eligibility for Cal-COBRA Continuation Coverage If a Group is subject to the California Continuing Benefits Replacement Act (Cal- COBRA), Members may be entitled to continuation of Group coverage under that act (Cal-COBRA Coverage). A Group is subject to Cal-COBRA continuation coverage if it: a) employs 2 — 19 employees on at least 50% of its working days during the preceding calendar year; or if the employer was not in business during any part of the previous year and employed 2 — 19 eligible employees on at least 50% of its working days during the previous calendar quarter; b) is not subject to the federal Consolidated Omnibus Budget Reconciliation Act of 1985, as amended(COBRA). If the employer is subject to Cal-COBRA, you and your dependants may qualify for Cal-COBRA if you would lose coverage due to one of the following Qualifying Events: • Termination of employment or reduction in work hours for reasons other than gross misconduct. • Death of Enrollee. • Termination of eligibility of a spouse due to divorce or legal separation. • Termination of eligibility of a dependent child. • Covered dependant if Member is entitled to Medicare. • Member whose COBRA coverage will expire. Cal-COBRA Coverage extends for up to thirty-six (36) months from the Qualifying Event unless earlier terminated by the occurrence of certain events. The Group is responsible for providing Members with notice of their right to receive Cal-COBRA Coverage. The Member must provide the Group or COBRA administrator with a written request for Cal-COBRA Coverage within sixty (60) days of eligibility for such coverage or receipt of notice of the Qualifying Event. Eligible Members must make payment of Periodic Fees to Horizon Health EAP-Behavioral Services within forty-five (45) days of such written request. 2) Notification of Qualifying Events It is the responsibility of the Member to notify Horizon Health EAP-Behavioral Services of the occurrence of any of the Qualifying Events noted below within sixty (60) days. The Qualifying Events that the Member is responsible for notifying include: ■ Subscriber's death. 11 Evidence of Coverage 2014-12-02 Agenda Packet Page 208 • Spouse ceases to be eligible due to divorce or legal separation. • Loss of dependent status by a Dependent enrolled in the group benefit plan. • With respect to a covered Dependent only, the Subscriber's entitlement to Medicare. The Group must notify Horizon Health EAP-Behavioral Services within thirty (30) days of a termination of employment or reduction in work hours, which would result in ending coverage under the Member's group benefit plan. Failure to notify Horizon Health EAP-Behavioral Services within sixty (60) days of the occurrence of a Qualifying Event will disqualify the Member from receiving continuation coverage. Notifications of a Qualifying Event are generally made to the Group or the Group's COBRA Administrator. If the Member has questions, he/she may contact the Group, or Horizon Health EAP-Behavioral Services at 1-800-342-8111. 3) Cal-COBRA Enrollment and Premium Information Within fourteen (14) days of receiving notification of a Qualifying Event, Horizon Health EAP-Behavioral Services will send enrollment and premium information, including a Cal-COBRA Election Form. The Member must return the completed Cal-COBRA Election Form within the required time period. The Cal-COBRA Election Form must be received within sixty (60) days of the latest of these occurrences: • The date coverage under the Plan was terminated or will terminate due to a Qualifying Event; or • The date the Member was sent the Cal-COBRA enrollment and premium information. Horizon Health EAP-Behavioral Services must receive the first Cal-COBRA premium payment within forty-five 45 days of the date the Member's Cal-COBRA Election Form was received. Failure to send the correct premium amount with forty- five (45) days will disqualify the Member from continuation coverage under Cal- COBRA. The first premium payment equals the amount of all premiums due from the first month following the Qualifying Event through the current month. After the initial payment, Cal-COBRA premiums are due on the first day of each month. The Cal-COBRA premium is generally I10% of the premium charged to the Group for employees. The Member's enrollment in Cal-COBRA will not occur until Horizon Health EAP-Behavioral Services receives both the Cal-COBRA Election Form and the first Cal COBRA premium payment. 4) Termination of Cal-COBRA Continuation Coverage Usually, a Member's Cal-COBRA continuation coverage will last up to thirty-six(36) months. The continuation coverage shall end automatically if the individual becomes eligible for Medicare or becomes covered under any group health plan not maintained 12 Evidence of Coverage 2014-12-02 Agenda Packet Page 209 by the employer or any other health plan, regardless of whether that coverage is less valuable. The Member's Cal-COBRA continuation coverage may terminate early if the Member moves out of Horizon Health EAP-Behavioral Services' service area, does not pay the required premium within fifteen (15) days of it being due, or commits fraud or deception in using Horizon Health EAP-Behavioral Services' services, or obtains other group coverage. If the group benefit plan is terminated prior to the date that the Member's Cal- COBRA continuation coverage would expire, the Member's coverage with Horizon Health EAP-Behavioral Services will expire. The Member has the opportunity to continue coverage under the any group benefit plan purchased by the Group. If the Group purchases a new plan, that plan will send the Member premium information and enrollment forms. The Member may continue coverage for the remainder of the Cal-COBRA continuation period. It is important for the Member to keep Horizon Health EAP-Behavioral Services and the group updated if there are any changes of address. The Cal-COBRA continuation coverage will terminate if the Member fails to enroll and pay premiums to the new group benefit plan within thirty (30) days after receiving notification of the termination of the Horizon Health EAP-Behavioral Services group benefit plan. If the group changes its EAP benefit to another plan, the Members coverage with Horizon Health EAP-Behavioral Services will expire, and you will be given the opportunity to continue coverage with the new plan. The new plan is required to provide coverage for the balance of the Cal-COBRA continuation coverage period. XVIL COMPLAINT AND GRIEVANCE PROCEDURE A grievance is a written or oral expression of dissatisfaction regarding Horizon Health EAP- Behavioral Services and/or an EAP Provider, including quality of care concerns, and includes a complaint, dispute, request for reconsideration, or appeal made by you or your representative. A complaint is the same as a grievance. You are entitled to present complaints and grievances within one year of the occurrence. Horizon Health EAP-Behavioral Services is obliged to seek to resolve such complaints and grievances in a timely fashion. Horizon Health EAP-Behavioral Services has established a procedure for processing and resolving your complaints and grievances. Should you desire to register a complaint or grievance with Horizon Health EAP-Behavioral Services concerning Benefits, you can either call Horizon Health EAP-Behavioral Services at the toll-free telephone number 1-800-342-8111, or access the website at www.horizoncarelink.com to either download the complaint form or to fill it out online. To request a copy of the Horizon Health EAP-Behavioral Services Complaint Form, write directly to Horizon Health EAP-Behavioral Services at 7676 Hazard Center Drive, Suite 1100, San Diego, CA 92108. The telephone call or letter should be addressed to the Director, Clinical Quality Improvement. Horizon Health EAP-Behavioral Services will acknowledge each complaint and grievance within five (5) days of receipt. The Director, Clinical Quality 13 Evidence of Coverage 2014-12-02 Agenda Packet Page 210 Improvement will receive and investigate all Member complaints and grievances. The Director, Clinical Quality Improvement will respond to you stating the disposition and the rationale within thirty (30) days of receipt of the grievance. If the grievance is not resolved to your satisfaction, a second level of review may be requested within ten (10) days of notification of such disposition. Any such request will be reviewed by the Medical Director and responded to within seventy-two (72)hours of receipt. Linguistic and cultural needs will be addressed by translation of grievance forms and procedures into languages other than English. Using TTY lines and varying the means by which an Enrollee may submit a grievance, including verbally to Horizon Health EAP- Behavioral Services' staff(bi-lingual capability), on website (Spanish and English), verbally by provider (multi-language capability), or interpreter. This allows Enrollees to submit grievances in a linguistically appropriate manner. When you are seen with the aid of an interpreter, the interpreter or counselor reading this statement will explain the information that is normally provided in a written format. If you have a complaint or grievance about the services you have received, or will receive in the future, you may notify your counselor (or interpreter), who will supply them with a grievance form and a description of the process. If you wish to submit the grievance through your counselor or interpreter,you may do so. Visually impaired clients may phone the Director of Quality Improvement directly at 1-800- 342-8111. The Director of Quality Improvement will describe the grievance procedure, and take the grievance information. In this case, the appropriate letters would be sent, and the client contacted by telephone so that the letter can be read. Hearing impaired clients may file a grievance using the telephone number 858-712-1080 to contact Horizon Health EAP- Behavioral Services. If the complaint or grievance involves a delay, modification, or denial of service related to a clinically emergent or urgent situation, the review will be expedited and a response provided in writing to you within three (3) days from receipt of the complaint or grievance. There is no requirement that you participate in Horizon Health EAP-Behavioral Services' grievance process before requesting a review by the California Department of Managed Care (Department) in the case of an urgent or emergent grievance. The criteria for determining emergent situations are whether you are assessed to be at imminent risk to seriously harm yourself or another person, or are so impaired in judgment as to destroy property or be unable to care for your own basic needs. The criteria for determining urgent situations are whether you are assessed to be significantly distressed, and are in any medical danger due to the level of the problem, or are experiencing a reduced level of functioning due to more than a moderate impairment resulting in an inability to function in key family/work roles. You, or the agent acting on your behalf, may also request voluntary mediation with Horizon Health EAP-Behavioral Services prior to exercising the right to submit a grievance to the Department. The use of mediation services will not preclude your right to submit a grievance to the Department upon completion of the mediation. In order to initiate mediation, you, or the agent acting on your behalf, and Horizon Health EAP-Behavioral Services will 14 Evidence of Coverage 2014-12-02 Agenda Packet Page 211 voluntarily agree to mediation. Expenses for the mediation will be borne equally by the parties. The Department will have no administrative or enforcement responsibilities in connection with the voluntary mediation process. Mediations will take place in San Diego, California unless otherwise determined by the parties. Pursuant to Section 1365(b) of the Act, any Member who alleges his enrollment has been canceled or not renewed because of his health status or requirement for services may request review by the Department. The California Department of Managed Health Care is responsible for regulating health care service plans. If you have a grievance against your health plan, you should first telephone your plan at (1-800-342-8111) and use the plan's grievance process (or locate their grievance form on Horizon Health EAP-Behavioral Services' website at www.horizoncarelink.com) before contacting the Department. Utilizing this grievance procedure does not prohibit any potential legal rights or remedies that may be available to you. If you need help with a grievance involving an emergency, a grievance that has not been satisfactorily resolved by your plan, or a grievance that has remained unresolved for more than thirty (30) days, you may call the Department for assistance. You may also be eligible for an Independent Medical Review (IMR). If you are eligible for IMR, the IMR process will provide an impartial review of medical decisions made by a health plan related to the medical necessity of a proposed service or treatment, coverage decisions for treatments that are experimental or investigational in nature and payment disputes for emergency or urgent medical services. The Department also has a toll-free telephone number (1-888-HMO-2219) and a TDD line (1-877-688-9891) for the hearing and speech impaired. The Department's internet web site http://www.hmohelp.ca.gov has complaint forms, IMR application forms and instructions online. The Plan's grievance process and the Department's complaint review process are in addition to any other dispute resolution procedures that may be available to you, and your failure to use these processes does not preclude your use of any other remedy provided by law. XVIIL MISCELLANEOUS A. Confidentiality Policy A STATEMENT DESCRIBING HORIZON HEALTH EAP-BEHAVIORAL SERVICES' POLICIES AND PROCEDURES FOR PRESERVING THE CONFIDENTIALITY OF MEDICAL RECORDS IS AVAILABLE AND WILL BE FURNISHED TO A MEMBER UPON REQUEST. B. Member Consent Under the EAP Services Agreement, the Group makes Benefits which are consistent with professionally recognized standards of practice, available to Members. The EAP Services Agreement is subject to amendment, modification or termination, in accordance with the provisions thereof, or by mutual agreement between Horizon Health EAP- Behavioral Services and the Group, without the consent or concurrence of Members. By accepting Benefits hereunder, all Members legally capable of contracting, and the legal 15 Evidence of Coverage 2014-12-02 Agenda Packet Page 212 representatives of all Members incapable of contracting, agree to all terms, conditions and provisions of the EAP Services Agreement. C. Horizon Health EAP-Behavioral Services' Policies Horizon Health EAP-Behavioral Services may adopt reasonable policies, procedures, rules and interpretations to promote orderly and efficient administration of the EAP Services Agreement. D. Horizon Health EAP-Behavioral Services' Public Policy Committee Horizon Health EAP-Behavioral Services has established a Public Policy Committee that includes, among others, Members of Groups that have contracted with Horizon Health EAP-Behavioral Services for Benefits. This committee meets quarterly and the Horizon Health EAP-Behavioral Services Board of Directors reviews the reports and recommendations of the committee. Any Member desiring more information about this committee should contact Horizon Health EAP-Behavioral Services at 1-800-342-8111. E. Term and Renewal Provisions The initial term of the EAP Services Agreement is thirty-six (36) months. Thereafter the agreement is automatically renewed for successive twelve (12) month periods, subject to the termination provisions contained therein. F. Important Information about Organ and Tissue Donations Organ and tissue transplants have helped thousands of people with a variety of problems. The need for donated organs, corneas, skin,bone and tissue continues to grow beyond the supply. Organ and tissue donation provides you with an opportunity to help others. Almost anyone can become a donor. There is no age limit. If you have questions or concerns you may wish to discuss them with your doctor, your family, or your clergy. Resources for Information: • For information and donor card call 1-800-355-SHARE. • Request donor information from the Department of Motor Vehicles. • On the Internet, contact All About Transplantation and Donation (www.transweb.org). • Department of Health and Human Services, contact http://www.organdonor.gov. Share your decision with family. If you decide to become a donor: • Sign the donor card in the presence of family members. • Have your family sign as witnesses and pledge to carry out your wishes. 16 Evidence of Coverage 2014-12-02 Agenda Packet Page 213 EXHIBIT A EXHIBIT A- SCHEDULE OF BENEFITS, LIMITATIONS,AND EXCLUSIONS Employee Assistance Program A. Benefits. 1) Individual, couple, or family assessment and brief counseling for personal, marital, family, relationship, work-related, and alcohol or substance abuse problems. Brief counseling is provided when, in the judgment of the EAP provider, the issues meet community standards of practice for brief counseling within eight (8) private counseling sessions per separate incident. A "session" is defined as either an in- person or telephone consultation with the Member, of approximately one hour in duration. Sessions are used to identify or work on resolving the issues or conditions that the Member is experiencing. A new incident for the same Member would involve different issues or conditions. Benefits will be consistent with professionally recognized standards of practice. A separate incident involves a single underlying issue or condition, regardless of the number of same or different events involving the issue or condition. The Plan shall make the clinical determination as to what constitutes a separate incident. 2) Referrals are offered to Members whose problem cannot be resolved within the scope of the eight (8) sessions per separate incident. The EAP Provider works with the Member to identify resources of an appropriate type and level of care beyond the benefit. 3) Referrals to other resources are offered to Members if the type of care is outside of the scope of practice of this benefit. 4) 24-hour crisis hotline, 7 days/week. 5) Referrals for legal consultation. 6) Referrals for financial counseling. 7) Identity theft consultation. 8) Childcare/Eldercare database on Horizon Health website. B. Limitations 1) The Benefits provided to Members by Horizon Health EAP-Behavioral Services are limited in nature as described in sections 1-8 above. 2) Horizon Health EAP-Behavioral Services will make a good faith effort to provide or arrange for the provision of Benefits to Members, in the event of certain circumstances, such as major disaster, epidemic,riot or civil insurrection. 17 Evidence of Coverage 2014-12-02 Agenda Packet Page 214 C. Exclusions. 1) Inpatient treatment of any kind, or outpatient treatment for any medically treated illness. 2) Psychiatrist services. 3) Prescription drugs. 4) Counseling services beyond the number of sessions covered by the benefit. 5) Services by counselors who are not Participating Providers. 6) Court ordered treatment or therapy, or any treatment or therapy ordered as a condition of parole, probation, custody, or visitation evaluations, or paid for by Workers' Compensation. 7) Formal psychological evaluations which normally involve psychological testing and result in a written report. 8) Fitness for duty evaluations which are used to evaluate whether an employee is safely able to perform his or her duties. This typically includes psychological testing and a written report 9) Investment advice (nor does Horizon Health EAP-Behavioral Services loan money or pay bills). 10)Legal representation in court, preparation of legal documents, or advice in the areas of taxes, patents, or immigration. 18 Evidence of Coverage 2014-12-02 Agenda Packet Page 215 EXHIBIT B HEALTH AND HUMAN RESOURCE CENTER (dba HORIZON HEALTH EAP-BEHAVIORAL SERVICES) EMPLOYEE ASSISTANCE PROGRAM EXHIBIT B - COMPARISON OF BENEFITS The Employee Assistance Program (EAP) is being offered by your employer to provide you with confidential assistance from licensed mental health professionals. These professionals can help with problems affecting your life at work as well as at home. Such problems include marital issues, family relationships, depression and anxiety, alcohol and drug issues, and/or problems within the workplace. THIS MATRIX IS INTENDED TO BE USED TO HELP YOU COMPARE COVERAGE BENEFITS AND IS A SUMMARY ONLY. THE COMBINED EVIDENCE OF COVERAGE AND DISCLOSURE FORM AND THE EAP SERVICES AGREEMENT SHOULD BE CONSULTED FOR A DETAILED DESCRIPTION OF BENEFITS,LIMITATIONS AND EXCLUSIONS. A. Deductible Not applicable B. Lifetime Maximum Not applicable C. Professional Services The EAP provides: Psychosocial Assessment Treatment Referrals and Resources for Psychosocial Problems 24-hour Crisis Telephone Access Eight(8)Counseling Sessions Per Incident Legal Referrals Financial Counseling Referrals Identity Theft Consultation D. Outpatient Services Please see Item C: Professional Services E. Hospitalization Services None F. Emergency Health Coverage Please see Item C: Professional Services G. Ambulance Services None H. Prescription Drug Coverage None I. Durable Medical Services None J. Mental Health Services Please see Item C: Professional Services K Chemical Dependency Services Please see Item C: Professional Services L. Home Health Services None M. Other None Members pay no co-payment. Coverage is limited to: a) eligible employees; b) the eligible employee's children under the age of 26; c) persons covered under the eligible employee's health benefit plan; d)persons residing with the eligible employee, including domestic partners. 19 Evidence of Coverage 2014-12-02 Agenda Packet Page 216 RESOLUTION NO. 2015- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING THE CITY OF CHULA VISTA CAFETERIA BENEFITS PLAN FOR 2015 WHEREAS, the Internal Revenue Code requires that the Section 125 Cafeteria Benefits Plan offered by the City to its employees be in a written document and that the document be formally adopted by the City Council on or before the first day of the plan year; and WHEREAS, in June 1998, the City established its first Section 125 Cafeteria Benefits Plan; and WHEREAS, in compliance with Internal Revenue Code §125(d) the City Council annually adopts a written plan document prior to the first day of the plan year; and WHEREAS, the first day of the City's plan year is January 1, 2015; and WHEREAS, this Plan Document lays out how the City offers eligible employees the choice between cash and certain nontaxable benefits(such as health insurance), thereby allowing employees to pay for the benefits they choose on a pre-tax basis; and WHEREAS, the specific health plans offered and their structure are not part of this Cafeteria Plan Document; and WHEREAS, they are included in what is known as the Summary Plan Document that was given to eligible employees as part of their open enrollment materials to assist them in making their benefit choices; and WHEREAS, the plans offered and their structure are determined after our broker, Barney and Barney, extensively markets and negotiates with providers to provide coverage comparable to the prior year while keeping the increase in costs to the City and its benefited employees to a minimum; and WHEREAS, all employee groups are advised of the offers and the plan structures that will provide the least increase in premium costs; and WHEREAS, under current cafeteria plan regulations having an approved written plan is critical; and WHEREAS, without a written plan or if the written plan does not comply with applicable requirements regarding content and timing of adoption, then the plan is not a cafeteria plan and employees' elections will be taxable; and WHEREAS, the City has timed its open enrollment period for 2015 to comply with these regulations and to meet provider cutoff deadlines for enrollment to ensure employees are covered without interruption; and 2014-12-02 Agenda Packet Page 217 Resolution No. 2014- Page 2 WHEREAS, The City's Plan includes the following required information: description of available benefits, participation rules, election procedures, manner of contributions, maximum amount of contributions,the plan year, and the plans provisions for complying with flexible spending arrangements (FSAs). NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby adopt the City of Chula Vista Cafeteria Benefits Plan for 2015, a copy of which is attached to the related Staff Report and on file with the City Clerk's Office. Presented by Approved as to form by Kelley Bacon Glen Googins Deputy City Manager City Attorney 2014-12-02 Agenda Packet Page 218 City of Chula Vista CTY CHUILAVISTA Staff Report File#: 14-0674, Item#: 6. A. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING A MEMORANDUM OF UNDERSTANDING ("MOU") BETWEEN THE CITY OF CHULA VISTA AND THE INTERNATIONAL ASSOCIATION OF FIREFIGHTERS AFL-CIO LOCAL 2180 BARGAINING UNIT ("IAFF") RELATED TO COMPENSATION AND OTHER TERMS AND CONDITIONS OF EMPLOYMENT; AUTHORIZING THE CITY MANAGER TO EXECUTE THE MEMORANDUM OF UNDERSTANDING AND ANY NECESSARY DOCUMENTS AS MAY BE REQUIRED TO IMPLEMENT THE MEMORANDUM OF UNDERSTANDING; AND APPROPRIATING FUNDS ACCORDINGLY (4/5 VOTE REQUIRED) B. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE REVISED FISCAL YEAR 2014/15 COMPENSATION SCHEDULE AS REQUIRED BY CALIFORNIA CODE OF REGULATIONS, TITLE 2, SECTION 570.5 RECOMMENDED ACTION Council adopt the resolutions. SUMMARY The most recent Memorandum of Understanding ("MOU") between the City of Chula Vista and the International Association of Firefighters AFL-CIO Local 2180 (IAFF) expired June 30, 2013. During the last year and a half, negotiating teams representing IAFF and the City have worked collaboratively, and in good faith, toward the development a mutually beneficial MOU. A tentative agreement was reached by the negotiating teams on compensation and other terms and conditions of employment. Staff is recommending approval of the MOU. Staff is also recommending an appropriation to the Fiscal Year 2014/15 budget to address salary changes effective the pay-period following ratification by IAFF membership and City Council approval of the MOU, and approval of the revised Compensation Schedule to reflect the salary change. ENVIRONMENTAL REVIEW The Development Services Director has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that the activity is not a "Project" as defined under Section 15378(b) (2) of the State CEQA Guidelines because it is a personnel related action; therefore, pursuant to Section 15060(c) (3) of the State CEQA Guidelines the activity is not subject to CEQA. Thus, no environmental review is necessary. BOARD/COMMISSION RECOMMENDATION NA DISCUSSION City of Chula Vista Page 1 of 5 Printed on 11/25/2014 istar 2014-12-02 Agenda Packet powered by Leg age 219 File#: 14-0674, Item#: 6. I. Memorandum of Understanding Between City and IAFF The most recent Memorandum of Understanding ("MOU") between the City of Chula Vista and the International Association of Firefighters AFL-CIO Local 2180 ("IAFF") expired June 30, 2013. During the last year and a half, negotiating teams representing the City and IAFF have worked collaboratively toward the development of a mutually beneficial MOU. Representatives of the City and IAFF have met and conferred in good faith, as required by the Meyers-Milias-Brown Act (Govt. Code Section 3500 et. seq.; "MMBA"), and reached a tentative agreement on the attached MOU with regards to compensation and other terms and conditions of employment. Below are the major highlights of the MOU: 1. MOU Term: The term of the MOU shall be from ratification by IAFF and approval of the MOU by the City until June 30, 2017. The City may reopen the MOU if it declares a fiscal emergency. 2. Compensation: A. IAFF members shall receive the following salary adjustments: • 2% in the full pay period following ratification by IAFF and City Council Approval of the MOU • 2% in the first full pay period of July 2015 • 2% in the first full pay period of July 2016 B. A one-time stipend in the amount of $1268, in lieu of start-up costs and monthly payments into a Retiree Medical Trust ("RMT"), in the first full pay period after ratification by IAFF of and approval of the MOU by the City Council C. A reopener during the period of September 1, 2015 to December 31 , 2015 on the issue of salary increases for Fiscal Year 2016-2017 D. Out-of-County Strike Team Compensation, including a $50 stipend for each full, consecutive, and complete 24 hour period in which IAFF members are deployed on strike team. E. Incorporation of prior City Pension Reform from side letter into MOU and addition of Third Retirement Tier to implement mandates of California Public Employee Pension Reform Act (AB 340; "PEPRA") F. Bilingual Pay - the establishment of two tiers for basic and advanced proficiency. The basic level will receive $125 per month and the advanced level will receive $225 per month. Current recipients of bilingual pay will continue at their current pay structure until they elect to test for the advanced level or their certification expires. 3. Terms and Conditions of Employment: City of Chula Vista Page 2 of 5 Printed on 11/25/2014 istar 2014-12-02 Agenda Packet powered by Leg age 220 File#: 14-0674, Item#: 6. A. Agreement as to continued use of Constant Minimum Staffing model B. Rest and Recovery provisions for Fire Inspector/Investigator classifications C. Study of Compensatory Overtime ("CTO") use and reopener on issue during September 1 , 2015 to December 31, 2015 time period D. Release Time provisions as required by Government Code section 3503.3 The proposed salary and benefit enhancements were ratified by a majority of IAFF members. Staff recommends approval of the MOU (Resolution A), which is attached to this report. II. FY 2014-15 Budget Amendment The proposed MOU will require an amendment to the FY 2014/15 Budget as discussed further below. III. Compensation Schedule California Code of Regulations, Title 2, Section 570.5 requires that, for purposes of determining a retiring employee's pension allowance, the pay rate be limited to the amount listed on a pay schedule that meets certain requirements and be approved by the governing body in accordance with the requirements of the applicable public meeting laws. The Fiscal Year 2014/15 Compensation Schedule ("Compensation Schedule") was originally approved by the City Council at their meeting of July 8, 2014 and most recently revised on November 4, 2014. Approval of Resolution C will approve the revised Compensation Schedule to reflect the salary adjustment for the International Association of Firefighters AFL-CIO Local 2180 effective December 12, 2014, in compliance with California Code of Regulations, Title 2, Section 570.5. DECISION-MAKER CONFLICT Staff has reviewed the decision contemplated by this action and has determined that it is not site specific and consequently, the 500-foot rule found in California Code of Regulations section 18704.2 (a)(1), is not applicable to this decision. Staff is not independently aware, and has not been informed by any Council member, of any other fact that may constitute a basis for a decision maker conflict of interest in this matter. LINK TO STRATEGIC GOALS The City's Strategic Plan has five major goals: Operational Excellence, Economic Vitality, Healthy Community, Strong and Secure Neighborhoods and a Connected Community. These changes support City Initiative 1 .2.3 Retain and attract quality employees under the Operational Excellence goal. Employee compensation is instrumental to recruiting and retaining quality employees. City of Chula Vista Page 3 of 5 Printed on 11/25/2014 2014-12-02 Agenda Packet powered by Leg age 221 File#: 14-0674, Item#: 6. CURRENT YEAR FISCAL IMPACT The fiscal year 2014-15 implementation costs related to this agreement are estimated at $383,543. These costs will be offset by unanticipated General Fund revenues. Approval of the resolution will result in the appropriation of $383,543 to the Fire Department's fiscal year 2014/15 personnel services budget. ONGOING FISCAL IMPACT The annualized costs related to the IAFF agreement will be incorporated into the fiscal year 2015-16 baseline budget and will be brought to Council for approval as part of the annual budget process. The Five Year Financial Forecast presented to the City Council in May 2014 has been updated to reflect more current revenue and expenditure trends. The MOU agreements with POA and IAFF have both been incorporated into the forecast. The forecast has also been updated to reflect various budget appropriations that have been approved since the beginning of the fiscal year. Revenues have been updated to reflect changes in trends as reported in the First Quarter Financial Report. Most significantly, assessed values improved at higher levels than assumed in the Council adopted budget and franchise fees have also increased resulting in unanticipated revenues. Five Year Financial Forecast Summary hA& Projected Forecast Forecast Forecast Forecast FY 2015 FY 2016 FY 2017 FY 2018 FY 2019 Revenues: Major Discretionary Revenues $ 96,543,000 $ 99,715,000 $102,810,000 $106,012,000 $ 109,348,000 Other Revenues $ 40,135,000 $ 39,455,000 $ 39,660,000 $ 39,927,000 $ 40,378,000 Total Revenues $136,678,000 $139,170,000 $142,470,000 $145,939,000 $ 149,726,000 Expenditures: Personnel Services $108,426,000 $112,303,000 $116,560,000 $120,195,000 $ 123,440,000 Other Expenses $ 28,174,000 $ 27,612,000 $ 28,214,000 $ 28,818,000 $ 29,591,000 Total Expenditures $136,600,000 $139,915,000 $144,774,000 $149,013,000 $ 153,031,000 Subtotal Surplus/(Deficit) $ 78,000 $ (745,000) $ (2,304,000) $ (3,074,000) $ (3,305,000) As summarized in the above table, the City projects that it will be able to absorb the costs of the IAFF agreement in the current fiscal year. The City projects a growing deficit starting in fiscal year 2016, which may require changes to the baseline budget going forward. Staff will continue to monitor revenue and expenditure assumptions and make specific recommendations to balance fiscal year 2016 as part of the budget development process. As presented, the Five Year Financial Forecast includes the following key assumptions over the forecast period: • Sustained modest economic growth and no adverse economic down turns • Projected revenue growth in alignment with stable economic conditions • Status quo expenditure growth with no major cost/program initiatives. ATTACHMENTS (1) Memorandum of Understanding (MOU) between International Association of Firefighters AFL- City of Chula Vista Page 4 of 5 Printed on 11/25/2014 2014-12-02 Agenda Packet powered by Leg age 222 File#: 14-0674, Item#: 6. CIO Local 2180, December 2, 2014 - June 30, 2017 (2) Revised Fiscal Year 2014/15 Compensation Schedule Staff Contact: Irene Mosley City of Chula Vista Page 5 of 5 Printed on 11/25/2014 2014-12-02 Agenda Packet Page 223 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING A MEMORANDUM OF UNDERSTANDING ("MOU") BETWEEN THE CITY OF CHULA VISTA AND THE INTERNATIONAL ASSOCIATION OF FIREFIGHTERS AFL-CIO LOCAL 2180 BARGAINING UNIT ("IAFF") RELATED TO COMPENSATION AND OTHER TERMS AND CONDITIONS OF EMPLOYMENT; AUTHORIZING THE CITY MANAGER TO EXECUTE THE MEMORANDUM OF UNDERSTANDING AND ANY NECESSARY DOCUMENTS AS MAY BE REQUIRED TO IMPLEMENT THE MEMORANDUM OF UNDERSTANDING; AND APPROPRIATING FUNDS ACCORDINGLY WHEREAS, the Memorandum of Understanding ("MOU") between the City of Chula Vista and the International Association of Firefighters AFL-CIO Local 2180 expired June 30, 2013; and WHEREAS, negotiating teams representing IAFF and the City have worked collaboratively toward the development of a mutually beneficial MOU; WHEREAS, City and IAFF negotiating teams have met and conferred in good faith, as required by the Meyers-Milias-Brown Act (Govt. Code Section 3500 et. seq.; "MMBA"); and WHEREAS, City and IAFF negotiators have tentatively reached an agreement with regards to term and effect, compensation and other terms and conditions of employment, and consistent with the MMBA, have set forth those terms in a Memorandum of Understanding (MOU),which has been designated as Exhibit A for identification in this Resolution; and WHEREAS, the proposed salary and benefit enhancements as set forth in the MOU (designated as Exhibit A)were ratified by a majority of the IAFF members. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista, that it hereby does (1) approve the MOU (designated as Exhibit A) between the City of Chula Vista and IAFF; (2) authorize the City Manager or his designee(s) to execute said MOU; (3) authorize the City Manager or his designee to make such minor modifications to said MOU as may be approved or recommended by the City Attorney's Office; and (4) approve an appropriation of $383,543 to the Fire Department's fiscal year 2014-15 Personnel Services' budget to be offset by unanticipated revenues (Non Departmental). 2014-12-02 Agenda Packet Page 224 Resolution No. Page 2 Presented by Approved as to form by Kelley K. Bacon Glen R. Googins Director of Human Resources City Attorney 2014-12-02 Agenda Packet Page 225 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE REVISED FISCAL YEAR 2014/15 COMPENSATION SCHEDULE AS REQUIRED BY CALIFORNIA CODE OF REGULATIONS, TITLE 2, SECTION 570.5 WHEREAS, California Code of Regulations, Title 2, Section 570.5 requires that, for purposes of determining a retiring employee's pension allowance, the pay rate be limited to the amount listed on a pay schedule that meets certain requirements and be approved by the governing body in accordance with the requirements of the applicable public meeting laws; and WHEREAS, the Fiscal Year 2014/15 Compensation Schedule ("Compensation Schedule") was originally approved by the City Council at their meeting of July 8, 2014 and most recently revised on November 18, 2014; and WHEREAS, any changes, including, but not limited to, across-the-board increases, classification changes, and salary adjustments approved subsequent to this date, must be reflected on a revised Compensation Schedule and submitted to Council for approval; and WHEREAS, the City has reached agreement with the International Association of Firefighters AFL-CIO Local 2180 (IAFF) bargaining unit on a Memorandum of Understanding ("MOU")for fiscal years 2014, 2015 and 2016; and WHEREAS, the MOU includes a provision for a two percent (2%) salary adjustment for classifications represented by IAFF in the first full pay period following both IAFF membership ratification and City Council approval of the MOU. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista, that it hereby does adopt the amendments to the compensation schedule and classification plan to reflect the salary adjustments required by the MOU to be given to classifications represented by IAFF, beginning with the 2% salary adjustment required in the first full pay period following both IAFF membership ratification and City Council approval of the MOU. Presented by Approved as to form by Kelley K. Bacon Glen R. Googins Director of Human Resources City Attorney 2014-12-02 Agenda Packet Page 226 M Cf CHULA VISTA MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF CHULA VISTA AND LOCAL 2180 INTERNATIONAL ASSOCIATION OF FIRE FIGHTERS AFL - CIO December 2, 2014—JUNE 30, 2017 2014-12-02 Agenda Packet Page 227 MEMORANDUM OF UNDERSTANDING CONCERNING WAGES AND OTHER TERMS AND CONDITIONS OF EMPLOYMENT BETWEEN THE CITY OF CHULA VISTA AND LOCAL 2180, INTERNATIONAL ASSOCATION OF FIRE FIGHTERS, AFL-CIO, DECEMBER 2, 2014 TO JUNE 30, 2017. SECTION I ADMINISTRATION ...............................................................................................3 ARTICLE 1.01 PREAMBLE.............................................................................................................3 ARTICLE 1.02 RECOGNITION......................................................................................................3 ARTICLE 1.03 CITY RIGHTS.........................................................................................................3 ARTICLE 1.04 LOCAL 2180 RIGHTS............................................................................................4 ARTICLE 1.05 EMPLOYEE RIGHTS.............................................................................................5 ARTICLE 1.06 LABOR-MANAGEMENT COOPERATION........................................................5 ARTICLE 1.07 TERM AND EFFECT OF MOU............................................................................6 ARTICLE 1.08 MOU REVISIONS...................................................................................................6 ARTICLE 1.09 REOPENER.............................................................................................................6 ARTICLE 1.10 RETENTION OF BENEFITS.................................................................................7 ARTICLE 1.11 GENERAL PROVISIONS.......................................................................................7 ARTICLE 1.12 SAVINGS CLAUSE.................................................................................................7 SUBSECTIONA. WAGES...................................................................................................................8 ARTICLE2.01 WAGES...................................................................................................................8 ARTICLE 2.02 OVERTIME..............................................................................................................8 ARTICLE 2.03 COMPENSATORY TIME......................................................................................9 ARTICLE 2.04 CALLBACKS...........................................................................................................9 ARTICLE 2.05 STRIKE TEAM COMPENSATION.....................................................................10 ARTICLE 2.06 STANDBY.............................................................................................................10 ARTICLE 2.07 OUT-OF-CLASS ASSIGNMENT.........................................................................10 ARTICLE 2.08 SPECIAL PROJECT PAY..................................................................................it ARTICLE 2.09 BILINGUAL PAY..................................................................................................it ARTICLE 2.10 DIFFERENTIAL PAY...........................................................................................it ARTICLE 2.11 MILEAGE REIMBURSEMENT..........................................................................it ARTICLE 2.12 UNIFORMS............................................................................................................it ARTICLE 2.13 PROFESSIONAL ENRICHMENT.......................................................................it ARTICLE 2.14 EDUCATION INCENTIVE PAY........................................................................12 SECTION II COMPENSATION................................................................................................13 SUBSECTIONB BENEFITS..............................................................................................................13 ARTICLE 2.15 EMPLOYEE BENEFITS.......................................................................................13 ARTICLE 2.16 GROUP TERM LIFE INSURANCE.....................................................................15 ARTICLE 2.17 RETIREMENT.......................................................................................................15 ARTICLE 2.18 DEFERRED COMPENSATION...........................................................................16 ARTICLE 2.19 RETIREMENT HEALTH SAVINGS ACCOUNTS............................................16 SECTIONIII HOURS..................................................................................................................18 ARTICLE 3.01 WORK PERIOD....................................................................................................18 ARTICLE 3.02 VACATION............................................................................................................18 ARTICLE 3.03 SICK LEAVE.........................................................................................................20 ARTICLE 3.04 BEREAVEMENT LEAVE...................................................................................21 ARTICLE 3.05 HOLIDAYS............................................................................................................22 ARTICLE 3.06 JURY DUTY/COURT ............................................................................................22 ARTICLE 3.07 RELEASE TIME ..........................................................................................23 2014-12-02 Agenda Packet Page 228 ARTICLE 3.08 SHIFT EXCHANGE...............................................................................................23 ARTICLE 3.09 CIVIL SERVICE RULES......................................................................................24 SECTION IV WORKING CONDITIONS..................................................................................25 ARTICLE 4.01 PROHIBITED PRACTICES.................................................................................25 ARTICLE 4.02 EQUIPMENT RESPONSIBILITY AND PROPERTY REPLACEMENT.........25 ARTICLE 4.03 DRIVING ELIGIBILITY......................................................................................25 ARTICLE 4.04 FITNESS FOR DUTY............................................................................................26 ARTICLE 4.05 CONSTANT MINIMUM STAFFING LEVELS..................................................26 ARTICLE 4.06 STATION MAINTENANCE AND REPAIR........................................................26 ARTICLE 4.07 SUBSTANCE ABUSE POLICY...........................................................................27 ARTICLE 4.08 DIRECT DEPOSIT................................................................................................27 ARTICLE 4.09 GRIEVANCE PROCEDURE................................................................................27 2014-12-02 Agenda Packet Page 229 SECTION I ADMINISTRATION ARTICLE 1.01 PREAMBLE This Memorandum of Understanding (MOU) is entered into by the City of Chula Vista, (City) and the International Association of Fire Fighters, (Local 2180), as a result of meeting and conferring in good faith concerning the wages, hours and other terms and conditions of employment, pursuant to the Employer-Employee Relations Policy of the City of Chula Vista and to the California Government Code Section 3500 et. seq. known as the Meyers-Milias-Brown Act. ARTICLE 1.02 RECOGNITION The City recognizes Local 2180 as the certified representative for safety employees in the City of Chula Vista who are employed in the classifications of Fire Fighter, Fire Fighter Paramedic, Fire Engineer, Fire Captain, Battalion Chief, Fire Inspector/Fire Investigator I, Fire Inspector/Fire Investigator II, Senior Fire Inspector/Fire Investigator, and Fire Prevention Engineer/Fire Investigator, hereinafter referred to as "represented employees" or"employees." ARTICLE 1.03 CITY RIGHTS Local 2180 agrees that the City has the right to unilaterally make decisions on all subjects that are outside the scope of bargaining. The exclusive rights of the City shall include,but not be limited to, the right to: A. Establish, plan for, and direct the work force toward the organizational goals of the City government. B. Determine the organization, and the merits, necessity and level of activity or service provided to the public. C. Determine the City budget. D. Establish, regulate and administer a merit or civil service system which provides for all types of personnel transactions, including, but not limited to, determining the procedures and standards for the hiring, promotion, transfer, assignment, lay off, retention, and classification of positions in accordance with the City Charter, Civil Service Rules, and established personnel practices. E. Discipline or discharge employees for proper cause. F. Determine the methods, means, numbers and kinds of personnel, and the job or position content required to accomplish the objectives and goals of the City. G. Effect a reduction in authorized positions. H. Take actions necessary to carry out the mission of the City in emergencies and in other situations of unusual or temporary circumstances. 2014-12-02 Agenda Packet Page 230 I. Continue to exercise efficient and productive management practices consistent with federal and state laws and in compliance with the City Charter and City ordinances. Terms and conditions set forth in this MOU represent the full and complete understanding between the parties. During the term of this MOU, Local 2180 expressly waives the right to meet and confer with respect to any subject covered in this MOU,unless modified through the voluntary, mutual consent of the parties in a written amendment. This MOU terminates and supersedes those partial practices, agreements,procedures, traditions, and rules or regulations inconsistent with any matters covered in the MOU. The parties agree that during the negotiations that culminated in this MOU, each party enjoyed the opportunity to make demands and proposals or counter-proposals with respect to any matter, even though some matters were proposed and later withdrawn, and that the understandings and agreements arrived at after the exercise of that right and opportunity are executed in this MOU. The City' s exercise of its management rights is not subject to challenge through the grievance procedure or in any other forum, except where otherwise in conflict with a specific term of this MOU. ARTICLE 1.04 LOCAL 2180 RIGHTS The exclusive rights of Local 2180 shall include,but not be limited to: A. Authorized representatives of Local 2180 shall be allowed reasonable access to represented employees at their work locations during working hours for the purpose of consulting with employees regarding the employer-employee relationship, provided that: (1) the work operation and service to the public are not unduly impaired, and (2) the authorized representatives shall have given advance notice to the Fire Chief or his/her designated representative when contacting represented employees during the duty period of the employees. The Fire Chief or his/her designee shall determine the appropriate time for such access. B. Local 2180 officers and members of its Board shall be granted use of City facilities for meetings composed of such officers or Board members, provided space can be made available without interfering with City needs, and provided such meetings are conducted at no cost to the City. C. Local 2180 may designate up to four(4)representatives (in addition to the President and Vice-President)who will be allowed reasonable access to unit employees. D. A reasonable amount of space shall continue to be provided to Local 2180 on City bulletin boards for legitimate communications with represented employees. Local 2180 shall be responsible to maintain space provided in an orderly condition and shall promptly remove outdated materials. Copies of such communications shall be furnished to the Director of Human Resources for review. E. The City will continue to provide biweekly payroll dues deductions as authorized by unit employees to Local 2180, and Local 2180 will pay the City $.10 per member per pay period for the actual costs incurred for dues deduction on behalf of Local 2180. The City will remit the deductions to Local 2180 in a timely manner and will provide Local 2180 a biweekly computer print-out of its members' dues deductions. 2014-12-02 Agenda Packet Page 231 F. The City shall provide,upon request, such literature and public documents as may be necessary (i.e., City budget, Civil Service Commission meetings, open Council conferences, etc.)when the requested documents are not available on the City' s intranet. ARTICLE 1.05 EMPLOYEE RIGHTS L Employees of the City shall have the right to: A. Form,join, and participate in the activities of employee organizations of their own Choosing for the purpose of representation in matters of employer- employee relations. B. Refuse to join or participate in the activities of employee organizations. C. Represent themselves individually in their employee relations with the City. II. Employee Personnel Records: A. Represented employees shall be entitled to see the contents of their personnel records. Availability of these records to the employee will be subject to the normal business hours affecting the position or office which has routine custody of these records. B. In Civil Service promotional oral boards used in establishing certification lists for Fire Engineer, Fire Captain, or Battalion Chief the City agrees not to use documents from employee jackets or other personnel records if such documents or records are more than three years old (unless they are presented by the candidate). C. The City agrees that all supervisors will remove any negative letters,notes, or other forms of documentation from any supervisor files they may have on an IAFF Local 2180 subordinate member after one year from the date the supervisor has knowledge of the facts/circumstances underlying the entry. Any such documentation should instead be reflected on an employee's most current performance evaluation. This will coincide with the City's current policy and will not apply to the employee's personnel folder maintained by the Human Resources Department. III. Representation by Local: Represented employees required to meet with any supervisor(s) in which the purpose or part of the purpose is to discipline the employee, or to discuss the likelihood of future disciplinary action, shall have the right to have a shop steward in attendance if any written record of the discussion will be made by the supervisor(s) or other management personnel. Such meeting shall be preceded by at least 24-hour notification of the time and purpose of the meeting to the employee, provided employees may waive any advance notification if they so choose. A shop steward would not be permitted in meetings for Performance Reports (except ones with an overall rating of Unsatisfactory), reviews or selections or promotion interviews. 2014-12-02 Agenda Packet Page 232 ARTICLE 1.06 LABOR-MANAGEMENT COOPERATION The parties agree that during the term of this MOU, they will continue to support the Pride At Work Program. In addition they will continue to participate in efforts to contain health care costs. The City and Local 2180 agree that they will continue to have open discussions on matters of concern to the parties during the term of this MOU. ARTICLE 1.07 TERM AND EFFECT OF MOU I. This Memorandum of Understanding shall remain in full force and effect from the date of ratification by IAFF and approval of City Council until June 30, 2017. The parties will endeavor to submit written proposals to each other by March 1, 2017 and the parties will endeavor to begin negotiations not later than April 15, 2017. II. The provisions of this MOU shall be subject to federal, state and local law. III. This MOU fully and completely incorporates the understandings of the parties for the full term of this MOU, constituting the sole and entire understanding between the parties. It is further understood, however, that nothing in this MOU prohibits the parties from changing and amending the terms of this MOU during the period of its effectiveness by mutual agreement. Nothing contained in this MOU shall affect rights and privileges of parties as established by the laws of the State of California, as contained in the Government Code of the State of California under those provisions known as the Meyers-Milias-Brown Act, unless specifically referred to herein. IV. If at any time during the term of this MOU, the City Council declares a fiscal emergency, then, in such event, the City may re-negotiate this MOU and meet and confer on wages,hours, and other terms and conditions of employment. This section, however, in no way effects the existing right of the City to lay off employees. ARTICLE 1.08 MOU REVISIONS The City and LOCAL 2180 agree that during the term of the MOU they will continue to meet and confer on non-substantive changes to the format and language of the MOU if necessary. The purpose of the proposed changes is to reconcile the MOU, Civil Service Rules, the Employer/Employee Relations Policy, and other City policies and procedures. ARTICLE 1.09 REOPENER See Article 1.07.IV, above. See Article 2.01.L13,below. See Article 2.03.2, below. ARTICLE 1.10 RETENTION OF BENEFITS The represented employees covered by this MOU shall retain all benefits provided herein for the full term of this MOU. 2014-12-02 Agenda Packet Page 233 ARTICLE 1.11 GENERAL PROVISIONS L For the purpose of this MOU, the "Fire Chief shall mean the chief executive officer of the Fire Department or his/her authorized representative. IL For represented employees who were employed by the Montgomery Fire Protection District at the time the area served by the District was annexed to the City, their seniority rights shall begin with their individual hiring dates with the District and all continuous service with the District shall be deemed to be continuous service with the City. III. For the purposes of vacation, holidays, sick leave, standby, and differential pay, all represented employees assigned to a 40-hour work week (including a temporary modified duty assignment) shall be eligible for the same benefits under the same terms as employees assigned to the Training Divisions with a 40-hour work week. ARTICLE 1.12 SAVINGS CLAUSE If any article or section of this MOU shall be held invalid by operation of law or by any court of competent jurisdiction or if compliance with, or enforcement of, any article or section shall be restrained by such court, the remainder of this MOU shall not be affected thereby. The parties shall, if possible, meet and confer or meet and consult as the case may be for the purpose of arriving at a mutually satisfactory replacement for such article or section. SECTION II COMPENSATION SUBSECTION A. WAGES ARTICLE 2.01 WAGES L A. [Salary Adjustments] Salary adjustments shall be made as follows: 1. 2% as stated in Paragraph B 2. 2% in the first full pay period of July 2015, if both parties ratify and approve this MOU as set forth on Paragraph B. 3. 2% in the first full pay period of July 2016, if both parties ratify and approve this MOU as set forth in Paragraph B. B. [Effective Date] The salary adjustments in Paragraph A shall be effective the first full pay period after ratification by IAFF and approval of this MOU by the City Council via resolution in open session. C. [Salary Adjustments Not Retroactive] The salary adjustments in Paragraph A shall not be retroactive. D. [Reopener] The City and IAFF shall mutually agree to reopen this Article for salary increases for Fiscal Year 2016-2017 by providing written notice between September 1, 2015 and December 31, 2015. 2014-12-02 Agenda Packet Page 234 E. [One-Time Stipend In-Lieu of RMT] IAFF withdraws its request for an RMT. In lieu of the City agreeing to contribute start-up costs and a per member amount into the RMT, IAFF represented employees shall be provided a one-time stipend in the amount of$1268 in the first full pay period after ratification by IAFF and approval of a successor MOU by the City Council via resolution in open session. II. Merit(Step) Increases will be made according to the formula set forth in the Civil Service Rules currently in effect. The effective date of exceptional merit increases shall be the beginning of the pay period following approval. The classifications shall be subject to a five (5) step salary range. III. Effective Dates -All other payroll and wage changes, such as regular merit increases, shall be made effective at the beginning of the regular biweekly payroll period closest to the employee's actual qualifying date. IV. Rate of Pay Following Promotion-When a represented employee is promoted, the new rate of pay will be the lowest step in the new salary range which will result in the employee receiving at least 5%more than the actual base rate of the old classification. ARTICLE 2.02 OVERTIME I. Whenever employees are ordered, because of an emergency or in the interest of the efficiency of the department, to render overtime service as defined below, they shall be granted overtime pay at the rate of 1-1/2 times their Fair Labor Standards Act (FLSA) "regular rate," or compensatory time off at 1-1/2 times the overtime hours worked (subject to the Compensatory Time provisions in Article 2.03 below). A. Fire Suppression personnel will receive overtime pay or compensatory time off at I1/2 time for hours worked in excess of 182 hours in a 24-day work period. Authorized paid time off(e.g. vacation, compensatory time, and sick leave) will be counted as time worked for purposes of calculating overtime. For Fire Suppression personnel, payment for overtime earned in a given 24-day work period will be made no later than with the pay warrant covering the biweekly pay period during which the work period ended. B. Non-Suppression personnel will receive overtime pay or compensatory time off at one and one-half times hours worked in excess of 40 hours in a 7-day work period. Authorized paid time off(e.g. vacation, compensatory time, and sick leave) will be counted as time worked for purposes of calculating overtime for non-Suppression personnel. For non-Suppression personnel, payment for overtime shall be made with the pay warrant covering the pay period in which the overtime was earned. C. [K-9 Hander Pay] Employees who are designated Dog Handlers will receive three and a half (31/2)hours paid overtime cash compensation per week. 2014-12-02 Agenda Packet Page 235 II. Emergency Holdovers - Employees who are held over more than fifteen minutes beyond the scheduled termination of their work shift due to fire or other emergency calls, shall be paid on a 1 '/2 time basis after fifteen minutes to the nearest half hour for all such time worked. " Time worked" shall include staff s preparation of incident reports and such personal or equipment clean-up as is necessary and required by the Fire Chief. III. Non-Emergency Holdovers - Employees required to remain on duty more than fifteen minutes beyond the scheduled termination of their shift for other than emergency calls shall be paid on a 1'/2 time basis after fifteen minutes to the nearest half hour for all such time worked. 'Time worked" shall include such personal or equipment clean-up as is necessary and required by the Fire Chief, up to a maximum of 30 minutes of clean-up time. IV. The practice of"acting down" and provisions set forth in paragraph 3 of the June 16, 2009 Side Letter of Agreement regarding "working down" are eliminated. However, fire personnel (Engineers and above) who are certified as a paramedic may "work down"to a firefighter- paramedic assignment. In addition, the Fire Chief or their designee may authorize"working down"under the following circumstances, as determined to exist by the Fire Chief or their designee: (1) during an emergency, such as a large fire or incident requiring a County wide response; (2)unplanned need for staffing, such as an employee having a family emergency and has the immediate need to leave the workplace; or(3)when attempts to contact replacement staff of the same rank have been made, but result in no same rank staff being available to work overtime and continuing attempts to contact replacement staff of the same rank would be futile or not permit a timely filling of an unfilled position and to prevent a force hire. However, this paragraph does not preclude the City from being able to force hire as an option. ARTICLE 2.03 COMPENSATORY TIME I. Compensation for overtime ("CTO")with compensatory time in lieu of overtime pay will be at the option of the supervisor and the Fire Chief,based on the employee's request while recognizing the overall staffing requirements of the department. Approval of such requests shall not be unreasonably withheld. A record of compensatory time earned and utilized shall be maintained on the biweekly pay records. Use of compensatory time will be subject to the same procedures as vacation leave requests i.e. approval of compensatory time off if the employee calls in by 6 a.m. on the day of the shift and no more than eight(8) hours off using annual leave or Ecompensatory time that shift except that requests for vacation leave will have priority over requests for compensatory leave. In the first pay period in September each year, employees shall be paid for any accumulated compensatory time at their regular rate of pay then in effect. 2. The City expects to study CTO and prepare a report. The City will provide IAFF a copy of that report. The City may reopen the MOU by providing written notice to IAFF between September 1, 2015 and December 31, 2015 and renegotiate this Article. 3. IAFF members shall be permitted to accrue up to 480 total hours of compensatory time off("CTO")per September to September period. Once IAFF members have reached 480 hours during this period they will be paid solely via overtime cash until the accrued 480 hours is reduced. In addition to the September CTO cash out in September of each year(as currently provided for in the MOU), CTO may be cashed out at any time at the employee's request. 2014-12-02 Agenda Packet Page 236 ARTICLE 2.04 CALLBACKS A. Employees who are called back to work before the scheduled start of their next regular shift, after having left their work site or at the conclusion of their prior scheduled shift, shall be paid for the actual overtime worked to the nearest half hour, with two (2) hours being the minimum amount paid. The two (2) hour minimum shall not, however, apply under any of the following situations: (1) The employee is held over beyond the scheduled termination of his or her work shift(see Article 2.02, II and III. (2) The employee returns to work within two (2) hours of the start of his/her next regular shift. B. The amount of overtime worked shall not include travel time from the employee's home (or other non-work location where he/she was notified of the callback) to the employee's work station or incident scene, whichever location the employee is required to report to first. Similarly, overtime shall not include travel time after the employee leaves his/her work station or incident scene, whichever location the employee reports to last. ARTICLE 2.05 STRIKE TEAM COMPENSATION L IAFF represented employees who are assigned to continuous non-relief strike team assignments (including overhead assignments or such other out-of-county assignments for which the City receives reimbursement from Cal OES) outside San Diego County shall receive their regular rate of pay on days they are ordinarily scheduled to work and, on days they are not regularly scheduled work, they shall receive premium overtime compensation of one and one-half times the employees regular rate of pay. Eligibility for strike team compensation shall begin when they report for duty until they return to the fire station. 2. In addition to the compensation provided for in Paragraph 1, those employees who are assigned to continuous non-relief strike team assignments (including overhead assignment or such other out-of- county assignments for which the City receives reimbursement from Cal OES) outside of San Diego County, shall receive a fifty dollar($50) stipend for each full, consecutive, and complete 24 hour period in which they are on the strike team. There shall be no stipend for partial hours or incomplete 24 hour periods. ARTICLE 2.06 STANDBY L Definition - Standby duty is defined as that period of time assigned by the Fire Chief, Deputy Chief or Battalion Chief in addition to the employee's normal work week assignment, during which the employee must remain at all times where he or she can be contacted by telephone or beeper,ready for callback to perform an essential service. II. Application in Suppression - In addition to his/her regular salary, Suppression personnel shall be compensated with an additional $50 per each 24-hr shift assigned to standby duties. If a Suppression employee works less than a full shift of standby, he or she shall be compensated $2.08 per hour assigned to standby duties. 2014-12-02 Agenda Packet Page 237 III. Any callbacks that occur while an employee is on standby duty shall not reduce the amount of standby pay the employee would have earned had there not been a callback Any overtime or callback pay shall thus be in addition to the standby pay. In terms of FLSA requirements, the parties agree that standby time shall not be counted as hours worked. IV Fire Investigation Stand-by-pay—In addition to his/her regular salary, represented employees assigned to Fire Investigation shall be compensated with an additional $50 per each 24-hr shift assigned to standby duties. If a Suppression employee works less than a full shift of standby,he or she shall be compensated $2.08 per hour assigned to standby duties. ARTICLE 2.07 OUT-OF-CLASS ASSIGNMENT L Employees assigned duty as an Acting Fire Engineer,Acting Fire Captain or Acting Battalion Chief for a period of at least one full regularly scheduled, continuous work shift (24-hour period) shall receive compensation at a rate of five percent (5%) above his orher base pay. Payment will be retroactive to the beginning of the first regularly scheduled shift of the out-of-class assignment and will continue until the out-of-class assignment ends, provided the above full-shift minimum is met. II. The assignment of Acting Fire Engineer,Acting Fire Captain,Acting Battalion Chief, or shall be made in writing and shall indicate the date and time the assignment begins. If any part of an hour is worked as an out-of-class assignment, the entire hour will be considered an out-of-class assignment ARTICLE 2.08 SPECIAL PROJECT PAY Local 2180 represented employees may be eligible to receive a maximum of 15% above base pay when assigned by the City Manager to a" Special Project" . ARTICLE 2.09 BILINGUAL PAY Those employees who, upon verification by the Fire Chief and the Director of Human Resources, and who successfully complete a Bilingual Performance Examination for the following languages: American Sign Language ("ASL") Spanish, Tagalog,Vietnamese, and Japanese,who use their bilingual skills will be eligible for bilingual pay as follows. I. If an employee passes an examination showing a basic level of proficiency they shall receive $125 per month in addition to their regular pay. An IAFF Local 2180 member in Fire Suppression,who is at a basic level of proficiency, shall have the skills to sufficiently and competently obtain and communicate (speak)basic information relating to EMT BLS skills. EMT BLS skills will be based on the current CVFD BLS EMT"Medical or Trauma Assessment' skill sheets. An IAFF Local 2180 member in Fire Prevention,who is at a basic level of proficiency, shall have the skills to sufficiently and competently obtain and communicate (speak)basic information relating to basic fire inspection skills. Fire Inspection skills will be based on the current CVFD FCIP forms. In order to continue receiving bilingual pay at this level, employees must successfully complete a Bilingual Performance Examination once every three (3)years. The Human Resources Department, in conjunction with IAFF Local 2180, shall develop and administer testing based on the skills above to determine if an employee is at a basic 2014-12-02 Agenda Packet Page 238 proficiency level. There will be one IAFF Local 2180 member as a representative on each two-member panel on all IAFF Local 2180 member exams. Candidates who have failed an exam may retest once every six months. 2. If an employee passes an examination showing an advanced level of proficiency they shall receive $225 per month in addition to their regular pay. An employee who is at advanced level of proficiency shall have the skills to read, write, and speak in any of the above languages at above a high school level, including demonstrating the ability to use medical, legal, and/or technical terminology. The communication should be of such a nature that the communication is at a more detailed and complex level,with little to no difficulty in communication during medical aids, inspections, or investigations. The Human Resources Department shall develop and administer testing to determine if an employee is at an advanced proficiency level. After an employee passes the City administered examination showing an advanced level of proficiency then no further re-testing is required. 3. A. Grandfather Clause. All IAFF members receiving $200 per month for bilingual pay, as of April 15, 2014, shall continue to receive,without retesting, $200 per month in bilingual pay until the end of the term of this contract; at which time the $200 will cease to be paid and they will be required to retest under paragraphs 1 and 2 to continue receiving bi-lingual pay as set forth in those paragraphs. A "grandfathered" IAFF member may voluntarily choose to retest prior the end of the contract,but will be subject to paragraphs 1 and 2. If the IAFF member, tests into the Advanced Proficiency Level, they will receive $225 per month as stated in paragraph 2. However, if they test into the Basic Proficiency Level, they will receive $125, as stated paragraph 1. Once retested, the IAFF member shall lose the $200. ARTICLE 2.10 DIFFERENTIAL PAY I. Suppression Division employees assigned to the Training Divisions or other 40-hour administrative assignment will receive 15% additional compensation over their base wage, effective the first day of the pay-period they assume their assignment. II. Represented employees undergoing Fire Academy (initial) training, shall not receive the compensation set forth in paragraph I of this Article. ARTICLE 2.11 MILEAGE REIMBURSEMENT Employees shall be subject to the City' s Mileage Reimbursement Program when required to use their personal vehicle for authorized City business. The reimbursement rate will be equal to the current maximum IRS rate. ARTICLE 2.12 UNIFORMS L The City shall during the term of this MOU furnish, repair or replace for unit employees, as determined by the Fire Chief, Class A—Class D uniforms. II. All represented employees shall receive $200 per calendar year for the cleaning and maintenance of uniforms. Payment will be made the first payday following November 1, annually, and will be prorated for individuals not employed for the entire calendar year. 2014-12-02 Agenda Packet Page 239 ARTICLE 2.13 PROFESSIONAL ENRICHMENT Employees represented by Local 2180 are eligible to participate in the City' s Professional Enrichment Program. To qualify as a reimbursable expense, the employee must demonstrate a nexus to their current job or career path. The supervisor and employee will endeavor to identify training needs/requests in the employee's performance goals. However, identification in the employee's performance goals shall not be a pre-requisite for approval of Professional Enrichment. Requests for professional enrichment must be approved by their immediate supervisor, designated training officer, Fire Chief or his designee (designated Deputy Chief), and HR director or their designee, prior to any expense being incurred, and under the following terms: • The training is to improve current skills or help in career advancement; and • The Employee is to report out/follow-up after the training, as requested by their Supervisor. Prior to the training, the employee and supervisor shall meet and discuss if and how the employee will report out/follow-up. If the employee and supervisor do not agree on how to report out, their Battalion Chief shall decide and such decision shall be final. Types of reporting out/follow-up may include, but are not limited to, writing a"white paper" on the subject or subjects taught, presenting a presentation to their crew; or discussing the course with their supervisor. The Professional Enrichment Fund allotment for Local 2180 is $59,000 each fiscal year. Employees are eligible to receive up to $1,000 per fiscal year for Professional Enrichment. Funds may be used at any time during the fiscal year. Fiscal year reimbursement under the City' s Professional Enrichment Plan will be closed the second Thursday in June. Employees may request professional enrichment expenses in accordance with state and federal law. Reimbursements are on a first come, first serve basis until the annual allotment of funds has been exhausted. Professional Enrichment may be used for Professional Enrichment dues, including dues for California Professional Firefighters ("CPF") and California State Firefighters Association (CSFA). Eligible Professional Associations shall be determined by mutual agreement and placed on an authorized list. If there is any disagreement, the final decision shall be made by the Human Resources Director. However, IAFF dues shall not be eligible for reimbursement. ARTICLE 2.14 EDUCATION INCENTIVE PAY L Employees represented by Local 2180 shall be entitled to education incentive pay as detailed below: A. Upon verification that a represented employee has completed course work for and received an Associates degree, or completes 30 units of fire science courses or any administrative or technical (i.e. computer, writing) courses in support of the fire service and has five (5) years experience, the employee shall receive $200 per month in education incentive pay. B. Upon verification that a represented employee has completed course work for and received a Bachelors degree, or completes 30 units of fire science courses or any administrative or technical (i.e. computer, writing) courses in support of the fire service and has ten (10)years experience, the employee shall receive $300 per month in education incentive pay. C. Upon verification that a represented employee has completed course work for and received a Masters degree, the employee shall receive $400 per month in education incentive pay. D. The amount of educational incentive pay will not be cumulative. 2014-12-02 Agenda Packet Page 240 SECTION II COMPENSATION SUBSECTION B BENEFITS ARTICLE 2.15 EMPLOYEE BENEFITS L Health, Dental and Vision Insurance The City will provide the following benefits to each represented employee: Health Insurance Dental Insurance ?annual Kaiser Non-Kaiser lion-Kaiser Pre-Paid Dental Cost H110's PPO Dental PPO Employee City Pays Employee Pays City Pays an City Pays City Pays an Onh- :00%of S50 per Month: Amount Equal to 100°/0 of Amount Equal to Premium City Pays the City's Share of Premium the Premium for Balance of Non-Kaiser HMO the Pre-Paid Premium Premium, Plan, Employee Employee Responsible for Responsible for Balance Balance Employee City Pays Employee Pays City Pays an City Pays City Pays an +1 100%of S50 per Month; Amount Equal to 100%of Amount Equal to P�enlinm City Pays the City's Share of Premium the Premium for Balance of Non-Kaiser HMO the Pre-Paid Premium Premium- Plan- Employee Employee Responsible for Responsible for Balance Balance Employee City Pays Employee Pays City Pays an City Pays City Pays an +Family :00°/b of S50 per Month: Amount Equal to 100%of Amount Equal to Premium City Pays the City's Share of Premium the Preinium for Balance of Non-Kaiser HMO the Pre-Paid Premium Premium_ Plan, Employee Employee Responsible for Responsible for Balance Balance Represented employees who are married to another represented employee have the option of being covered as an Employee Only or as a dependent under their spouse' s Employee + One or Employee+ Family coverage level. A. Enrollment: 1. Health —Each eligible employee will be covered under the City offered health plan of their choice effective from employee' s date of hire in that eligible position. For employees enrolling in Kaiser, the City will pay the full cost of the premium. For employees enrolling in a non-Kaiser HMO, the City will pay the cost of the premium less $50 per month. For employees enrolled in a non-Kaiser PPO, the City will pay an amount equal to the City' s share of the non-Kaiser HMO premium. Any difference between the City' s share of the health premium and the full premium cost will be paid by the employee through payroll deductions. Employees who fail to submit required benefit election forms within 30 days of the date of eligibility or during open enrollment will automatically be enrolled in the Kaiser- Employee Only plan. 2014-12-02 Agenda Packet Page 241 2. Dental —Represented employees will be eligible to participate in any City sponsored group dental plan effective the first of the month following the employee' s date of hire. The City will pay an amount equal to the pre-paid dental plan premium for employees who enroll in a dental plan within 30 days of their date of eligibility or during open enrollment. Any difference between the pre-paid dental plan premium and the PPO dental plan premium will be paid by the employee through payroll deductions. Employees may only change their health or dental coverage levels at open enrollment or upon a qualifying event(marriage, divorce, birth, adoption, etc.). 3. Employee Paid Medical and Dental Premiums Taken as Pre-Tax Payroll Deductions It is the intent of the parties that participating employees receive the maximum benefit allowable in accordance with IRS regulations. In those cases where the employee pays a portion of the cost, premiums will be deducted from the employee' s paycheck on a pre-tax basis as allowed under Sections 125, 105, and 213 of the Internal Revenue Code. If an employee prefers to have the deductions taken on a post-tax basis, he or she must present the request for such change in writing to the Human Resources Department. If the City does not meet IRS requirements, or if IRS regulations change for any reason, this benefit may be discontinued. 4. Vision—Optional Represented employees will be eligible to voluntarily participate in a City sponsored group vision plan. The premium for the selected plan will be paid by the employee through payroll deductions. 5. Insurance Coverage While on Leave of Absence Without Pay Represented employees on leave without pay for any reason may continue, at their own expense, their group insurance coverage by paying the full cost of their premium plus a 2% administrative fee. Upon an employee' s return from leave without pay, the employee' s benefits will be reinstated to the same benefit level in effect prior to the beginning of the leave without pay status, provided the employee is eligible to receive City benefits. An employee who pays for the cost of his or her insurance while on leave of absence and who returns to work prior to the 15 thof the month,will not be required to pay their insurance premiums for that month. 6. Termination of Benefits Upon Separation of Employment An employee' s coverage under the City' s group medical, dental, and group term life insurance plans is effective through the last day of the month in which the employee' s termination is effective. Employees may continue their coverage beyond that date, at his or her own expense, inaccordance with the federal COBRA law. The cost of COBRA coverage is his or her premium cost plus a 2% administrative fee. IL Flexible Spending Accounts (FSAs)-Health Care and Dependent Care Represented employees will be eligible to participate in the two Flexible Spending Account (FSA) options offered by the City. These accounts are allowed by Sections 125,105,129, and 213 of the Internal Revenue Code. Employees may elect to set aside a portion of their salary, on a pre-tax basis, to fund eligible health care and dependent care expenses. If the City does not meet IRS regulations, or if the IRS regulations change for any reason, this benefit may be discontinued. 2014-12-02 Agenda Packet Page 242 The maximum amounts an employee may set aside are: $2,500 for Health Care $5,000 for Dependent Care These accounts may only be established during the Benefits Open Enrollment period or within 30 days of a qualifying change in family status as defined by the IRS. Salary deductions will be taken 24 pay periods per year, bi-weekly except for those months with three pay periods,where deductions will only be taken two times. Reimbursements will be made on a schedule to be determined by the City. Requests for reimbursement must be made on forms provided by the City. Any monies not used by the end of the plan year will be forfeited. Specific details of the plan are provided in the City' s Summary of Benefits publication available from Human Resources. The City reserves the right to contract with a Third Party Administrator for administration of FSAs. The City will pay the start-up costs associated with third party administration. Participating employees will pay any fees (monthly, per employee, or per transaction). ARTICLE 2.16 GROUP TERM LIFE INSURANCE The City agrees to pay the premium for$50,000 of group term life insurance for each represented employee. Represented employees may apply for themselves and their eligible dependents to purchase from $50,000 to $300,000 of supplemental group term life insurance in $10,000 increments through the City's group insurance plan with employees paying the additional cost through payroll deductions. ARTICLE 2.17 RETIREMENT The City will provide to represented members retirement benefits via contract with the California Public Employees Retirement System (Ca1PERS) as set forth in the California Government Code. 1. TIER L For employees hired on or before the effective date of the January 14, 2011 MOA, the City will provide the 3% at 50 Retirement Plan for Local Safety Members as provided for under the California Public Employees' Retirement System (Ca1PERS). Employees in Tier 1 shall make contributions, that shall be applied to the City's (employer share) contribution to CalPERS under Government Code section 20516 for optional benefits, in the total amount of nine percent (9%) for Employees in the "Local Firefighters" Ca1PERS member category. The aforementioned contributions will be made on a pre-tax basis to the extent permitted by Internal Revenue Code section 414(h)(2). The City will provide the following CaIPERS contract options: A. One-Year Final Compensation B. Post-Retirement Survivor Allowance C. Credit for Unused Sick Leave D. 4th Level 1959 Survivor Benefit. E. Military Service Credit as Prior Service F. Cost of Living Allowance (2%) G. Post-Retirement Survivor Allowance Continuance 2014-12-02 Agenda Packet Page 243 H. Pre-Retirement Death Benefit for Spouse L Retired Death Benefit$5,000 J. Prior Service Credit K. Employer Paid Member Contribution 2. TIER IL For Employees hired after the effective date of the January 14, 2011 MOA and who do not qualify as "new members" as defined by PEPRA (see Gov't Code section 7522.04(f)(1)-(3)) and Ca1PERS, the Ca1PERS Retirement Plan benefits for Employees in the "Local Firefighters" Ca1PERS member category are (1) the 3% @ 55 retirement formula; (2) that the Employees make the statutory employee (employee share) contribution to Ca1PERS which is 9%; (3) that there be no final year concession of said payments to compensation for CalPERS benefit calculation purposes; and (4) the use of an average highest three consecutive years calculation to determine final compensation. Furthermore, the City will no longer provide a blended health care rate for Employees hired under the Second Tier Ca1PERS Retirement Plan. The City will provide the following Ca1PERS contract options: A. Post-Retirement Survivor Allowance B. Credit for Unused Sick Leave C. 4th Level 1959 Survivor Benefit. D. Military Service Credit as Prior Service E. Cost of Living Allowance (2%) F. Post-Retirement Survivor Allowance Continuance G. Pre-Retirement Death Benefit for Spouse H. Retired Death Benefit$5,000 I Prior Service Credit 3. Tier III. [PEPRA] For Employees hired on or after January 1, 2013 and determined to be "new members" as defined by PEPRA (see Gov't Code section 7522.04(f)(1)-(3) and Ca1PERS, the following shall apply: (1) a 2.7% @ 57 retirement formula; (2) no EMPC; (3) the use of an average highest three consecutive years calculation to determine final compensation; (4) employees shall pay 50% of the total normal cost of their pension, as set forth in PEPRA and determined by Ca1PERS; (5) pension capped as set forth in PEPRA (Gov't Code section 7522.10(c)(2)); and (6) no blended health care rate for Employees under this Tier. The City will provide the following Ca1PERS contract options: A. Post-Retirement Survivor Allowance B. Credit for Unused Sick Leave C. 4th Level 1959 Survivor Benefit. D. Military Service Credit as Prior Service E. Cost of Living Allowance (2%) F. Post-Retirement Survivor Allowance Continuance G. Pre-Retirement Death Benefit for Spouse H. Retired Death Benefit$5,000 I Prior Service Credit ARTICLE 2.18 DEFERRED COMPENSATION IAFF members shall be eligible to participate in the City's approved deferred compensation plans offered by the City. 2014-12-02 Agenda Packet Page 244 ARTICLE 2.19 RETIREMENT HEALTH SAVINGS ACCOUNTS This Article left Blank. SECTION III HOURS ARTICLE 3.01 WORK PERIOD I. Fire Suppression -Members of represented classifications assigned to this division shall work on a 56-hour week, three platoon basis. The duty schedule shall include eight (8) 24-hour shifts (totaling 192 hours) in a twenty-four(24) day duty cycle. Each 24-hour shift will begin and end at 7:30 a.m. The City has enacted the 7K exemption for Fire Suppression personnel as permitted under the Fair Labor Standards Act. This includes a 24-day work period which coincides with the 24-day duty cycle described in the previous paragraph. II. Non-Fire Suppression—Members of represented classifications which are assigned to the Training Division, Prevention Division, and other 40-hour work week assignments shall work 40 hours per week. The work period (week) for non-Suppression personnel is a fixed and regular recurring period of 168 consecutive hours (7 consecutive 24-hour periods). The work week for non- Suppression personnel begins at 12:01 a.m. on Friday morning and ends at 12:01 a.m. the following Friday morning. Represented members in Non-Fire Suppression assignments may request to work "Alternative Work Schedules" as provide for in Human Resources Policy 912. III. Fire Investigator Rest and Recovery Period—It is the purpose and intent to provide guidelines to Fire Investigators and their supervisors to ensure that Fire Investigators receive an adequate rest period before work shifts in order to perform their work duties in a safe and efficient manner. This section is a "work in progress" and this section may be modified at any time by the City upon written notice from the City to IAFF as part of a meet and confer process. It is the intent of the City and IAFF to allow Fire Investigators to have seven (7) total consecutive hours for rest and recovery prior to returning to work. If a Fire Investigator has worked their normal shift(10 hours) in any given 24-hour shift period and is called back to work before the start of their next normal shift and works no less than four(4) consecutive hours after midnight; or if a Fire Investigator is called into work outside of their normal work shift, and as part of that working period, the Fire Investigator does not have at least seven(7) consecutive hours of rest(midnight to 0700)prior to the beginning of their normal work shift then the Fire Investigator has the option to take up to seven (7) consecutive hours off for rest. The City will provide administrative leave,hour-for-hour up to a maximum of four(4)hours, for rest period hours that extend into the employee's normal work shift. The employee may take leave for the remaining rest period hours that also extend into the employee's normal work shift hours. This proposal does not allow a Fire Investigator to voluntarily leave an active fire investigation scene for rest without supervisor approval or to miss a court appearance. The aforementioned seven consecutive hours the Fire Investigator may take will begin when the Fire Investigator has completed their investigation for the evening and has transmitted their overtime report via email to their supervisor prior to leaving, as is the practice. The employee shall also inform their 2014-12-02 Agenda Packet Page 245 supervisor of the rest and recovery time they will be taking off. Section III applies only to the following work periods: starting at 12:00 am on the first regularly scheduled day of work and ending at 5:00 pm on the last regularly scheduled day of work. For example, if an employee works four(ten hour) days Monday through Thursday, then the employee would be eligible for rest and recovery time for hours worked starting Monday at 12:00 am and would not be eligible after Thursday at 5:00 pm. Thus, if the employee is called back any time between Thursday at 5:00 pm and Sunday 11:59, they would not get rest and recovery time. Section III does not apply to hard holidays,which the employee has off, starting at 12:00 am of the hard holiday and ending 24 hours later. ARTICLE 3.02 VACATION L Miscellaneous A. Definition - for the purpose of this section the following definitions shall apply: 1. "Continuous service" means City service uninterrupted by separation. 2. "Intermittent service" means City service interrupted by separation. 3. " Time worked" includes actual time worked, holidays with pay, and leave of absence without pay (not to exceed one year) for which worker's compensation is paid. It shall also include Saturdays, Sundays or other regular days off which are immediately preceded or immediately followed by other time worked. 4. "Active service" includes time worked, leaves of absence without pay not to exceed 14 calendar days and leave of absence not to exceed one (1) year for which workers' compensation is paid. B. Amount of Vacation and Sick Leave Use - Employees assigned to Fire Suppression must take a minimum of two (2) hours of vacation, compensatory time, or sick leave at one time. This two (2) hour minimum shall not apply if the time off occurs within the first two (2) hours or last two (2) hours of the employee's regular shift. During this first two (2) hours or last two (2)hours of the regular shift, the employee will be charged for the actual time taken off. II. VACATION A. Vacation Accrual - Continuous Service: Each employee paid at a biweekly rate who has had continuous full-time active service shall be entitled to vacation with pay. The following provisions shall apply: 1. The vacation leave accrual rates shall be as follows: Years of #of Hrs. of Hrs. of Hrs. of Non- Hrs. Non- Service Weeks Supp. Supp. Supp. Accrual Supp. Accrual Accrual Bi-Weekly Accrual Bi-Week Yearly Yearly 0-4 2 4.30 112 3.07 80 5-9 3 6.44 168 4.60 120 10-14 4 8.62 224 6.14 160 15+ 5 11.08 288 7.70 200 2014-12-02 Agen a ace t Page 246 2. Maximum Vacation Accrual— At no time may an employee have more than two years of vacation leave accumulated (i.e. twice the number of hours accrued annually).No vacation credits shall be accrued above this limit. B. Payment upon Separation At the time an employee is separated from City service, whether voluntarily or involuntarily, he or she shall be granted all of the unused vacation leave to which he/she is entitled based upon his or her active service in prior years, and in addition, he or she shall be granted vacation leave based upon the length of his/her active service during the year in which the separation occurs and computed on the basis set forth in Section (A). Payment shall be made hour for hour with any portion of an hour being considered a full hour. C. Vacation Use Vacation leave balances shall be reduced by the actual time not worked to the nearest quarter hour. Absence may not be charged to vacation, not already accumulated. D. Vacation Leave Sell Back All members of represented classifications who have completed at least four years of service shall have the option of selling one week(56 hours for employees assigned to Fire Suppression and 40 hours for employees assigned to other divisions) of accrued vacation leave back to the City annually. The accumulated vacation leave balance will be reduced accordingly. Payment of vacation leave hours will be made the first payday of any month provided that the Finance Department has received ten working days advance notice of the request prior to payday. ARTICLE 3.03 SICK LEAVE A. Accumulated paid sick leave credit is to be used for the sole purpose of protecting the employee's wages in the event absence is made necessary because of disability due to non-industrial injury or illness of the employee, or illness of the employee's immediate family. For the purposes of this article, immediate family is defined pursuant to the Family and Medical Leave Act. Sick Leave may not be used for absences due to an industrial injury or illness except as follows: in the event an employee sustains an industrial injury or illness that requires an absence beyond the one year of paid leave afforded by Labor Code 4850 and it appears, based on the medical evidence, that they will be able to return to full duty within a reasonable time frame, they may be granted an exemption to the non-industrial causation requirement of this section. This determination will be made by the City Manager on the advice of the Fire Chief, Director of Human Resources, and the Risk Manager, based on the medical evidence. If this exemption is granted and the employee fails to return to full duty for any reason other than the disabling condition, they may be required to pay back to the City all salary and benefits provided and accrued during the exemption period if it is determined that the employee is intentionally attempting to defer their retirement beyond the one year of paid leave afforded by Labor Code Section 4850. When an employee is on sick leave, any type of outside employment will not be permitted. The clear intent of this section is to prevent (except in very unusual cases) an employee from deferring his or her retirement beyond the one year of paid leave afforded by Labor Code 4850. 2014-12-02 Agenda Packet Page 247 B. Members of represented classifications assigned to the Fire Suppression Division will accumulate sick leave at the rate of 5.15 working hours for each biweekly pay period of service. C. Members of represented classifications assigned to divisions other than Fire Suppression will accumulate sick leave at the rate of 3.68 working hours for each biweekly pay period of service (96 hours annually). D. Unused sick leave may be accumulated in an unlimited amount but the City shall have no financial obligation to pay for such accumulated and unused sick leave upon termination from the City for any reason provided, however, this subsection does not abrogate the employee's right to have all unused accumulated sick leave credited to his/her service credits under PERS upon retirement or any rights provided under Section 7 below. In calculating the number of days of service credits under PERS,unused accumulated sick leave hours will be divided by 8.0. E. Sick Leave Reimbursement (1) Employees shall have the option of converting 50% of their accumulated unused sick leave for the fiscal year to pay. In calculating the number of hours that could be converted to pay, all computations shall be rounded to the nearest whole hour and the fiscal year will be considered to start and end with the first pay period commencing in July of each year. (2) If the pay option is selected, the paid sick leave hours shall be subtracted from the employee's accumulated yearly sick leave balance. The remaining sick leave hours shall be carried over and accumulated. (3) Payment for sick leave the previous fiscal year will be made during the month of July of each year. Pay will be computed based on the employee's base salary rate on June 15. (4) An employee will not be eligible for sick leave reimbursement under this plan if it would result in the employee having an accumulated sick leave balance of less than the amount that the employee would earn during a two-year period. This restriction shall not apply to subsections (5) and(6)below. (5) Permanent employees who retire during the fiscal year may be compensated in a prorated manner under this plan based on their formal retirement date. Prorated payment may also be made under this plan to an employee who terminates during the fiscal year. (6) In the event of the death of a represented employee while employed by the City, 100% of the employee's total unused accumulated sick leave, after consideration for any reductions allowed under PERS Sick Leave Conversion/Service Credit Policy, will be paid to the appropriate beneficiary. F. Sick leave balances shall be reduced by the actual time not worked to the nearest quarter hour. Absences for illness may not be charged to sick leave not accumulated. G. Sick Leave Verification - The City may, in its discretion, require a doctor's certificate or personal sworn affidavit verifying that the employee is unable to perform the duties of his or her job and the nature of the limitations and restrictions due to the disability injury or illness of the employee or illness or injury of immediate family members in order to determine eligibility for use of sick leave. H. The City and Local 2180 agree that Sick Leave is a benefit and not a right. 2014-12-02 Agenda Packet Page 248 L Employees may choose to donate any accrued,but unused, sick leave to another City employee who has exhausted his or her accrued leave due to a disability caused by prolonged illness or injury of the employee or a member of his/her immediate family, subject to and in the manner set forth in Human Resources Policy and Procedures, Policy 614, except as modified herein. Sick leave donations will be made in hourly increments. In order for employees to donate accrued unused sick leave as stated herein, the donating employee must have a minimum 80 hours of banked unused sick leave for themselves. The donated sick leave may not cause the donating employee to fall below the minimum hours required to be banked as stated herein and the donating employee may not donate more than a total of 72 hours of unused sick leave in any fiscal year. J. An employee,who has given birth, or at termination of their pregnancy, and is out on leave,may elect to either be on a 40-hour schedule or 56-hour schedule while out on said leave. The employee shall notify their Supervisor of their decision as to which work schedule will be used during their leave, the pay period prior to being out on leave or,if unable to do so because of unexpected medical reasons, as soon as possible. Any change in schedule shall be effectuated to begin in a complete pay period. There shall be no changes during portions of pay periods. In the absence of an employee election, the employee shall be on a 56 hours schedule. ARTICLE 3.04 BEREAVEMENT LEAVE When an employee with permanent status is compelled to be absent from work because of the death of an immediate family member, an immediate family member of the employee's spouse, or any other person defined by the Internal Revenue Service as a dependent, and after such employee makes written request and receives written approval from the Fire Chief, the employee may be allowed the privilege to be absent from work with pay for any scheduled work during a period of up to five (5) calendar days,plus reasonable travel time. Travel time will be actual time used not to exceed three (3) calendar days. Paid absence for the death of a family member shall be charged to sick leave. For purposes of bereavement leave, immediate family includes husband, wife, child, stepchild, brother, stepbrother, sister, stepsister, parent, step-parent or any other person serving as parent, grandmother, grandfather, or any other person living in the same household as the employee. ARTICLE 3.05 HOLIDAYS L Scheduled Holidays A. Employees assigned to the Fire Suppression Division will receive one hundred twenty (120) hours holiday pay at straight time ( 10 hours for each of the 12 holidays described below) each fiscal year. Holiday pay shall consist of approximately 4.60 hours per pay period for each employee in the bargaining unit. Pro-rated adjustments will be made for employees of represented classifications entering or leaving the Fire Suppression Division of the Department. B. Employees assigned to divisions other than Fire Suppression shall accrue 8 hours of holiday time for each of three (3) floating holidays and 10 hours of holiday time for each of ten (10) hard holidays, only if they work a 4-10 workweek (four ten-hour days). If said employees work a 5-8 work week (five eight-hour days), they shall accrue 8 hours of holiday time for each of the ten (10) hard holidays. Compensation will be administered as designated in the 2014-12-02 Agenda Packet Page 249 Civil Service Rules, Chapter 2.00, Section 2.01 (D). (Hard holidays are: New Year's Day, Martin Luther King's Birthday, Cesar Chavez Day, Memorial Day, Independence Day, Labor Day, Veterans' Day, Thanksgiving Day, Day After Thanksgiving, and Christmas Day; floating holidays are: Lincoln's Birthday,Washington's Birthday, and Admission Day. II. Unscheduled Holidays Members of the Fire Department from Fire Fighter through the rank of Battalion Chief shall work unscheduled holidays (i.e., special holidays declared by the President or Governor) at their regular hourly rate of pay. If employees have that day off, they will not receive extra compensation for the unscheduled holiday. III. Light Duty Days The City agrees to designate all hard holidays as `light duty days' for suppression personnel. No mandatory training or meetings will be scheduled or conducted on designated light duty days. Voluntary training or meetings are permissible. ARTICLE 3.06 JURY DUTY/COURT LEAVE L Permanent and probationary employees who are called to serve on jury duty for any county, state or federal court shall be entitled to paid leave under the following circumstances: A. The employee must present to his or her supervisor the court order to appear for jury duty at least three weeks prior to the date to report. B. The employee must submit a daily court authorized stamped time card accounting for all hours of required service ordered by the court. C. If jury service and travel time from court to work is less than five hours (7 hours for person on a 4/10 plan) in a work day, the employee is expected to return to work unless a justification for not returning to work is provided and approved, or pre-authorized leave is approved. D. Employees who are required to serve on jury duty on their scheduled days off will not be compensated for this time and may keep any fees paid by the court. E. If the employee is not required to report for jury duty on any particular day(s)he or she is then expected to be at work as per the normal schedule. F. It is the employee' s responsibility to inform his or her supervisor on a daily basis if he or she is required to report for jury duty the following day. This may include calling the supervisor after or before normal working hours. G. Absence due to jury duty will be submitted on the City leave form. H. An employee whose work week is other than Monday through Friday (8:00 a.m. to 5:00 p.m.) may have jury duty work day adjustments made by his or her supervisor. II. Court leave is paid leave granted by the City to enable an employee to fulfill his or her duty as a citizen to serve as a witness in a court action to which the employee is not a party, before a federal, superior, or municipal court located within San Diego County. 2014-12-02 Agenda Packet Page 250 Court leave shall be limited to: A. Required attendance before federal, superior, municipal, and justice courts located within San Diego County. B. Time in attendance at court together with reasonable travel time between court and work if attendance is for less than a full day and the employee can reasonably be expected to return to work. C. Court leave shall not be granted when the employee is paid an expert witness fee. D. The employee must submit to the City any payment received except travel and subsistence pay for such duty. E. Court leave will only be granted to employees who are not litigants in a civil case nor related to litigants in a civil case or defendants in a criminal case. F. The Employee shall provide his or her supervisor with a copy of the legal subpoena and provide other documentary evidence of service. G. When employees are subpoenaed in the line of duty they shall be guaranteed a minimum of two hours for each separate court appearance, including travel time. ARTICLE 3.07 RELEASE TIME 1. [Release Time] The City agrees to provide Release Time as set forth in Government Code section 3503.3, but only to the extent required by its terms unless otherwise stated herein. The City reserves any and all rights to challenge or object to for any reason in any forum or venue any aspect or term of Government Code section 3503.3 and not to apply it, as the City, in its discretion, determines it is not applicable or lawful. 2. [Procedure] The Release Time Leave set forth above shall be subject to the following. Release Time shall be provided only for actual time spent in"formal"meetings and for a reasonable period of time. Both parties must agree that the meeting is a"formal"meeting prior to such meeting to be eligible for Release Time. The term"formal meetings" shall not include informal meetings or discussions wherein items within the scope of representation are or may be discussed, including, but not limited to,working groups or meetings where the parties do not agree that the meeting is a"formal meeting." A"formal"meeting shall mean a meeting required under the MMBA to "meet and confer in good faith." The term"within the scope of representation" shall have the same meaning as set forth in Government Code section 3504. The term"meeting and conferring in good faith" shall have the meaning set forth in Government Code section 3505. Release Time will not be provided for days IAFF representatives are not regularly scheduled to work and/or for days they are working overtime. Release Time shall be calculated in base pay and shall not be on an overtime basis. In addition, Release Time provided herein may not be banked. Also included within"meeting and conferring"is time actually spent meeting with the City Manager(as the Municipal Employee Relations Officer)pursuant to section 14(A) of Employee-Employer Labor Relations Policy (if said meeting is required) and actual time spent in mediation with the City (if there was a mutual 2014-12-02 Agenda Packet Page 251 agreement to participate in mediation). Release Time shall not encompass Fact-Finding under the MMBA (if Fact-Finding is required). The Fire Department may remove the requirement that a leave slip is required and provide for alternate noticing and tracking of Release Time. IAFF shall provide reasonable notice of its request for Release Time,with IAFF endeavoring to provide 40 hour advance notice for non- suppression personnel and 48 hour advance notice for suppression personnel that Release Time will be requested and identify the person(s)who will be taking the Release Time. Only a reasonable number of designated IAFF representatives will be permitted; generally up to six (6) IAFF members constituting IAFF's "negotiating team" on a successor MOU(to the MOU that is set to expire on June 30, 2017 ) and up to two (2) IAFF members in other circumstances will be considered a"reasonable number." The number of designated IAFF representatives may be increased by mutual Agreement by the City and IAFF. The Human Resources Director shall make determinations if Release Time is required under this Section and said determination shall be final. 3. The City may permit one hour of additional release time (to be used for IAFF preparation) if a meeting under this Section is expected to last more than four(4)hours. IAFF must request the additional hour with its required advance notice of request for Release Time. The Human Resources Director shall make determinations if the additional hour may be authorized under this paragraph and said determination shall be final. 4. In addition to the activities for which Release Time is authorized under Government Code section 3503.3, the Fire Chief may permit up to two (2)hours of Release Time for IAFF representatives to attend the monthly "Labor-Management Meeting"with the Fire Chief or their designee. Release Time, pursuant to this paragraph, will be provided in such a manner so that impacts to Fire Department operations are minimized and may be denied or limited, if the Fire Department determines that Fire Department operations may be negatively impacted. IAFF shall work with the Fire Department to minimize impacts to Fire Department operations, including but not limited to,being"on call" during the"Labor-Management Meeting" or reducing the number of IAFF representatives present at the "Labor Management Meeting." For purposes of this paragraph, "Labor-Management Meeting" shall mean that one time per month meeting with the Fire Chief or their designee that has traditionally been held every third Tuesday of the month lasting for about 2 hours. It does not mean or include any other meeting with the Fire Chief or their designee, including, but not limited to, informal meetings or other discussions wherein items within the scope of representation are or may be discussed. ARTICLE 3.08 SHIFT EXCHANGE The City agrees to continue to allow the practice of shift exchanges, subject to the provisions of the Fair Labor Standards Act. Subject to the Battalion Chiefs approval, employees shall have the right to voluntarily exchange shifts or parts of shifts when the change does not interfere with the operation of the Fire Department. In addition to exchange rank for rank, personnel of a lower classification but of qualified rank may be permitted to exchange shifts. "Paybacks" of shift trades are the obligation of the employees involved in the trade. Paybacks should be completed within one calendar year of the date of the initial shift trade. Any dispute as to paybacks is to be resolved by the involved employees. The City is not responsible in any manner for hours owed to employees by other employees who leave the employment of the City or are assigned other duties. 2014-12-02 Agenda Packet Page 252 ARTICLE 3.09 CIVIL SERVICE RULES L For purpose of this MOU, the Civil Service Rules are incorporated as reference as though set out in full in this article. IL The City agrees to maintain a current eligibility list for Battalion Chief, Captain, and Fire Engineer. The Fire Department shall, in its sole discretion, determine the manner to keep an eligibility list current-- either by promulgating a new list or by extending a current list. Should an eligibility list expire, the remedy shall be the expeditious promulgation of a new eligibility list. SECTION IV WORKING CONDITIONS ARTICLE 4.01 PROHIBITED PRACTICES I. Local 2180 pledges it shall not cause, condone or counsel represented employees or any of them to strike, fail to fully and faithfully perform duties, slow down, disrupt, impede or otherwise impair the normal functions and procedures of the City. IL Should any unit employees breach the obligations of Paragraph I during the term of this MOU, the City Manager or his or her designee shall immediately notify Local 2180 that an alleged prohibited action is in progress. III. Local 2180 shall as soon as possible, and in any event, within eight working hours disavow any strike or other alleged prohibited action, shall advise its employees orally and in writing to immediately return to work and/or cease the prohibited activity and provide the City Manager with a copy of its advisement, or, alternatively, accept the responsibility for the strike or other prohibited activity. IV. If Local 2180 disavows the prohibited activity and takes all positive actions set forth in this MOU in good faith, the City shall not hold Local 2180 financially or otherwise responsible. The City may impose penalties or sanctions as the City may appropriately assess against the participants. V. Should Local 2180 breach its obligations or any of them under this section during the term of this MOU, it is agreed that the City shall pursue all legal and administrative remedies available to the City that in its discretion it may elect to pursue. VI. There shall be no lockout by the City during the term of this MOU. ARTICLE 4.02 EQUIPMENT RESPONSIBILITY AND PROPERTY REPLACEMENT I. The City will hold employees harmless for equipment damaged or lost, except for acts of negligence, vandalism, intoxication or other substance abuse. II. Any represented employee who, in the normal course of his/her employment, suffers damage or destruction as a result thereof to his/her prescription glasses or wrist watch, shall be entitled to replacement or repair thereof upon investigation and recommendation by such employee's department head, and approval by the City Manager,provided such damage or destruction did not occur as a result of such employee's negligence. Said reimbursement shall not exceed the reasonable value of functional replacement or repair. An employee will be reimbursed up to $250 or actual cost,whichever is less, for prescription glasses and up to $50 or actual cost, whichever is less, for watches which are damaged or destroyed. 2014-12-02 Agenda Packet Page 253 ARTICLE 4.03 DRIVING ELIGIBILITY I. Whenever an employee drives a vehicle for City business he or she shall have a valid California Drivers License. In order to ascertain the validity of the employee's licenses, employees must present their drivers license to their supervisor upon request. The City reserves the right to check at any time with the Department of Motor Vehicles to determine if the license is valid. If an employee's drivers license is revoked, suspended or otherwise made invalid, the employee must inform his or her supervisor. Failure to notify the supervisor may result in immediate disciplinary action. An employee who does not posses a valid California drivers license will be considered for a non-driving position, if one is available in the employee's classification. The non-driving assignment will continue for a maximum of six months if there is a reasonable expectation the employee will have a valid California drivers license at the expiration of that time. Extensions to the six-month limit will be considered on a case-by-case basis, however, in no case shall an employee receive more than one non-driving assignment in any three-year period. When no non- driving assignment is available, employees must request a leave of absence without pay for six months or such time as their license is once again valid, whichever is shorter. In order to assure that non-driving assignments are provided on a fair and equitable basis, the following procedures shall be observed: A. Each department will determine whether or not it has any non-driving assignments that can be filled by employees who would otherwise have driving assignments. B. Non-driving assignments will be given on a first come, first served basis. For example, if two employees in a department have non-valid drivers licenses and there is only one non-driving assignment, the first employee who comes forward will be given the non-driving assignment. The other employee may apply for a leave of absence as described above. II. The following shall also apply: A. All Fire Department personnel shall possess, at a minimum, at all times a valid and current Class C driver's license. B. Firefighters may on occasion be required to operate fire apparatus in the course of their duties. In such circumstances, firefighters shall be required to possess the appropriate/minimum license required by DMV while they operate such fire apparatus, which currently is a Class C driver's license with a firefighter endorsement. C. Fire engineers are required to operate fire apparatus in the course of their duties. As such, fire engineers shall be required to have and maintain at all times a current/valid and appropriate/minimum license required by DMV for the operation of fire apparatus,which currently is a Class C driver's license with a firefighter endorsement. D. IAFF members shall successfully complete all the required DMV/Vehicle Code steps, including testing and physicals, to obtain the appropriate DMV license for the operation of fire apparatus. The City shall pay for the costs of the aforementioned physicals. Employees with current Firefighter Restricted Class B driver's licenses are not required to downgrade to a Class C driver's license with a firefighter endorsement. However, they may do so voluntarily, but in such circumstances they shall bear the costs of such a voluntary, pre-expiration change, including the cost of required DMV physicals. 2014-12-02 Agenda Packet Page 254 E. To operate fire apparatus, IAFF members shall also be required to successfully complete all the Department required training. The Fire Department shall provide the aforementioned training. F. After successful completion of the required DMV steps to obtain the appropriate license and required DMV and/or Department training, the Department shall immediately and without delay complete an endorsement if required by the DMV to cause the appropriate DMV license for operation of fire apparatus to be issued by DMV. G. Fire Department personnel shall report any license suspension or any action which impacts the validity of their driver's license to their supervisor within 24 hours of such suspension or action or prior to their next work shift,whichever is sooner. H If an IAFF member suffers a license suspension,revocation, or restriction, the Fire Department will place said member in a non-driving position for the first 30 days of the suspension, revocation, or restriction. The 30 day time period may be extended an additional 30 days, if the employee is continuing to address the license suspension,revocation, or restriction at the related underlying venues, including but not limited to, criminal proceeding, civil proceeding, or administrative proceeding. Thereafter, the provisions of Article 4.03, Section I,will apply. I. Paragraph H will not preclude the City from imposing discipline for suspensions,revocations, or restrictions of more than 30 days, or 60 days if extended, after compliance with Article 4.03, Section I. In addition, Paragraph H will not preclude the City from imposing discipline at any time for the underlying conduct that lead or is related to the license suspension,revocation, or restriction. ARTICLE 4.04 FITNESS FOR DUTY The parties agree that physical and mental fitness of City employees are reasonable requirements to perform the duties of the job and instill public confidence. Recognizing these important factors, the parties agree that during the term of this MOU, the City with reasonable cause, may require medical and psychological assessments of employees provided the City pays for the assessment and provides time off without loss of pay for such assessments. All such assessments shall be done by appropriately qualified health care professionals. It is understood that the assessment regimen performed by the healthcare professionals shall be reasonably related to the requirements and duties of the job. Any treatment or remedial action recommended as a result of the assessment shall be the full responsibility of the employee, except as otherwise provided by law or as may be provided through the City' s Employee Assistance Program (EAP). ARTICLE 4.05 CONSTANT MINIMUM STAFFING LEVELS The City and IAFF Local 2180 believe that the current staffing model of Constant Minimum Staffing saves the City money. L Constant Minimum Staffing (CMS) A. Definitions: Constant Minimum Staffing model: The Department provides the minimum number of needed personnel to cover all seat positions staffed by the Department. Any leave vacancy that occurs is covered with overtime from those personnel that are off duty. 2014-12-02 Agenda Packet Page 255 Supplemental/Over-Staffing model: The Department provides the needed personnel to cover all seat positions staffed by the Department, often called minimum staffing, but also has additional personnel on shift or within a floater pool to cover leave vacancies. Minimum Staffing model: The Department provides the needed personnel to cover all seat positions staffed by the Department, but does not fill any vacancies. The vacant position will remain unstaffed until the normally assigned employee returns. This model pertains to 40-hour employees only. B. Suppression Constant Minimum Staffing: The City agrees to utilize the Constant Minimum Staffing model for staffing all Fire Suppression positions; consistent with the Fire Facility Master Plan. However, the City and IAFF Local 2180 agree that there may be rare instances where Over Staffing will be needed on a temporary basis. In such instances, the City may backfill via Overstaffing or means other than overtime when the Fire Chief and IAFF Local 2180 (or their designees)mutually agree. The Parties shall act in good faith in seeking mutual agreement. Effective with ratification of this MOU by IAFF Local 2180 and the City Council, the constant minimum staffing for IAFF Local 2180 represented Fire Suppression employees shall consist of. 38 employees per day, consisting of(2) Operational Battalion Chiefs, (11) Captains, (11) Engineers, and (14) Firefighters (including those in the Firefighter classification and those Firefighters assigned as paramedics). The above staffing shall be (1) Captain, (1) Engineer, and (1) Firefighter on Engines; (1) Captain, (1) Engineer, and (2) Firefighters on Trucks; and(1) Captain, (1) Engineer, and (2) Firefighters on USARs. If the City decides to place an additional Firefighter to an Engine due to a grant, it shall raise the constant minimum staffing per day accordingly until the grant is terminated or the City no longer receives funding for staff. Constant minimum staffing of apparatus shall be (2) Battalion Chiefs at 1.0, (8) Engines at 3.0, (2) Trucks at 4.0, and(1)USAR at 4.0. The City agrees not to cross-staff any combination of Engines, Trucks, or USARs; but may cross staff the following apparatus with an Engine, Truck, or USAR: • Type III Brush Apparatus • OES Type I Engine • OES Type II USAR Trailer • MCA 103 MCI Truck/Trailer. Any additional apparatus acquired during the term of this MOU,which is not considered an Engine, Truck, or USAR, and which the City intends to cross staff with an Engine, Truck, or USAR,will require Meet and Confer between the City and IAFF Local 2180. II. Training and Prevention Divisions A. Current Staffing Levels: i. Training Division consists of two(2) Fire Captains ii. Prevention Division consists of one (1) Fire Prevention Engineer/Investigator; one (1) Senior Fire Inspector/Investigators, and six (6) Fire Inspector/Investigator I's, II's, or combination thereof of Fire Inspector/Investigator I or II's. Over the course of the next six (6)months, the Fire Department agrees to evaluate Prevention Division staffing for the positions of Fire Prevention Engineer/Investigator and Senior Fire Inspector/Investigator and meet and confer with IAFF on any proposed changes as required under the MMBA and completion of the applicable impasse procedures. 2014-12-02 Agenda Packet Page 256 B. The City shall not layoff IAFF Local 2180 represented employees in the Training and Prevention Divisions if it will reduce the filled staffing levels set forth in paragraph A during the term of the MOU. C. Paragraph B shall not apply and the City may effectuate layoffs, if the City determines that a Fiscal Emergency exists and the City Council declares a Fiscal Emergency. There is no requirement to backfill vacant positions. If a vacancy occurs, the City shall determine when and how to fill such vacancy. E. This section(Section II) shall not prevent the City from increasing the current staffing levels in Prevention and Training as set forth in paragraphs A i & ii above. Paragraph B shall not apply to increase staffing levels under this paragraph and such increased staffing levels above those set forth in paragraphs A i & ii above may be reduced at any time and for any reason ARTICLE 4.06 STATION MAINTENANCE AND REPAIR Employees represented by Local 2180 agree to perform normal fire station maintenance and repair. " Normal fire station maintenance and repair" shall not include major construction or renovation projects that are determined by the Fire Chief to be beyond the capability of the represented employees or are projects that would seriously interfere with the ability of represented employees to respond to emergencies. The City agrees to provide materials and equipment necessary to perform the normal fire station maintenance and repairs as provided by this article. The fire station maintenance and repair duties will be performed between 0730 and 1630. ARTICLE 4.07 SUBSTANCE ABUSE POLICY Represented employees are subject to the City's current Substance Abuse Policy. ARTICLE 4.08 DIRECT DEPOSIT All represented employees will be required to provide written authorization to the City' s Director of Finance to electronically deposit their paychecks to a financial institution of their choice. ARTICLE 4.09 GRIEVANCE PROCEDURE This grievance procedure shall be in effect during the full term of this Memorandum of Understanding. Section 1. PURPOSE. The purposes and objectives of the Grievance Procedure are to: (1) Resolve disputes arising from the interpretation, application or enforcement of specific terms of this MOU. (2) Encourage the settlement of disagreements informally at the employee-supervisor level and provide an orderly procedure to handle grievances through the several supervisory levels 2014-12-02 Agenda Packwhere necessary. Page 257 (3) Resolve grievances as quickly as possible and correct, if possible, the causes of grievances thereby reducing the number of grievances and future similar disputes. Section 2. DEFINITIONS. For the purpose of this grievance procedure the following definitions shall apply: (1) Manager: The City Manager or his/her authorized representative. (2) Day: A calendar day, excluding Saturdays, Sundays and hard holidays as described by this MOU. (3) Department Head or head of department: Chief executive officer of a department. 2014-12-02 Agenda Packet Page 258 2014-12-02 Agenda Packet Page 259 (4) Director of Human Resources: The Director of Human Resources or his/her authorized representative. (5) Employee: Any officer or regular (not temporary) employee of the City, except an elected official. (6) Employee representative: An individual who speaks on behalf of the employee. (7) Grievance: A complaint of an employee or group of employees arising out of the application or interpretation of a specific clause in this MOU. (8) Immediate supervisor: The individual who assigns, reviews, or directs the work of an employee. (9) Superior: The individual to whom an immediate supervisor reports. Section 3. REVIEWABLE AND NON-REVIEWABLE GRIEVANCES. (1) To be reviewable under this procedure a grievance must: (a) Concern matters or incidents that have occurred in alleged violation of a specific clause in this MOU; and (b) Specify the relief sought,which relief must be within the power of the City to grant in whole or in part. (2) A grievance is not reviewable under this procedure if it is a matter which: (a) Is subject to those reserved City Management Rights as stipulated under Section 4 of the Employer-Employee Relations Policy for the City of Chula Vista or under management rights as specified in this MOU. (b) Is reviewable under some other administrative procedure and/or rules of the Civil Service Commission such as: 1. Applications for changes in title,job classification or salary. 2. Appeals from formal disciplinary proceeding. 3. Appeals arising out of Civil Service examinations. 4. Appeals from work performance evaluations. 5. Appeals that have Affirmative Action or civil rights remedy. (c) General complaints not directly related to specific clauses of this MOU. (d) Would require the modification of a policy established by the City Council or by law. 2014-12-02 Agenda Packet Page 260 (e) Relates to any City group insurance or retirement programs. Section 4. GENERAL PROVISION OF THE GRIEVANCE PROCEDURE. (1) Grievances may be initiated only by the employee or employees concerned and may not be pursued without his/her or their consent. (2) Procedure for Presentation. In presenting his/her grievance, the employee shall follow the sequence and the procedure outlined in Section 5. (3) Prompt Presentation. The employee shall discuss his/her grievance with his/her immediate supervisor within fifteen (15)business days after the act or omission of management causing the grievance, or within fifteen (15) business days of when the employee, with the exercise of reasonable diligence, should have discovered the act or omission being grieved. (4) Prescribed Form. The written grievance shall be submitted on a form prescribed by the Director of Personnel for this purpose. (5) Statement of Grievance. The grievance shall contain a statement of: (a) The specific situation, act or acts complained of as an MOU violation; (b) The inequity or damage suffered by the employee; and (c) The relief sought. (6) Employee Representative. The employee may choose someone to represent him/her at any step in the procedure. No person hearing a grievance need recognize more than one representative for any employee at any one time,unless he/she so desires. (7) Handled During Working Hours. Whenever possible, grievances will be handled during the regularly scheduled working hours of the parties involved. (8) Extension of Time. The time limits within which action must be taken or a decision made as specified in this procedure may be extended by mutual written consent of the parties involved. A statement of the duration of such extension of time must be signed by both parties involved at the step to be extended. (9) Consolidation of Grievances. If the grievance involves a group of employees or if a number of employees file separate grievances on the same matter, the grievances shall, whenever possible,be handled as a single grievance. (10) Settlement. Any complaint shall be considered settled without prejudice at the completion of any step if all parties are satisfied or if neither party presents the matter to a higher authority within the prescribed period of time. (11) Reprisal. The grievance procedure is intended to assure a grieving employee the right to present his/her grievance without fear of disciplinary action or reprisal by his/her supervisor, 2014-12-02 Agenda Packet Page 261 superior or department head, provided he/she observes the provisions of this grievance procedure. (12) Back pay. The resolution of a grievance shall not include provisions for back pay retroactive further than twenty (20) business days prior to the date the grievance is filed. However, if with the exercise of reasonable diligence the act or omission being grieved was not discovered within 10 business days of its occurrence, and the grievance is subsequently timely filed pursuant to Section IV (3), then the resolution of the grievance may include provision for back pay for a maximum period of one year from the date the grievance was filed. Section 5. GRIEVANCE PROCEDURE STEPS. The following procedure shall be followed by an employee submitting a grievance pursuant to policy: Step 1 Discussion with Supervisor. The employee shall discuss his/her grievance with his/her immediate supervisor informally. Within three (3) business days, the supervisor shall give his/her decision to the employee orally. Step 2 Written Grievance to Superior. If the employee and supervisor cannot reach an agreement as to a solution of the grievance or the employee has not received a decision within the three (3) business days' limit, the employee may within seven(7)business days present his/her grievance in writing to his/her supervisor who shall endorse his/her comments thereon and present it to his/her superior within seven (7) business days. The superior shall hear the grievance and give his/her written decision to the employee within seven (7) business days after receiving the grievance. Step 3 Grievance to Department Head. If the employee and superior cannot reach an agreement as to a solution of the grievance or the employee has not received a written decision within the seven (7) business days' limit, the employee may within seven(7) business days present his/her grievance in writing to his/her department head. The department head shall hear the grievance and give his/her written decision to the employee within seven(7) business days after receiving the grievance. Step 4 Grievance to Director and Manager. If the grievance is not settled at the department head level, it may be submitted by the Association Representative within twenty (20) business days to the Personnel Director, who shall investigate and report his/her findings and recommendations to the City Manager within ten (10) business days. The City Manager shall provide his/her answer within ten(10) additional business days. The times indicated may be extended by mutual agreement. Any Employee grievance will be filed with the Association Representative at Step 4. Following the submission of the City Manager's answer, and before going to Section 6, Advisory Arbitration, matters which are unresolved shall be discussed at a meeting between the parties during which all pertinent facts and information will be reviewed in an effort to resolve the matter through conciliation. 2014-12-02 Agenda Packet Page 262 Section 6. ADVISORY ARBITRATION. Any dispute or grievance which has not been resolved by the Grievance Procedure may be submitted to advisory arbitration by the Association Representative or the City without the consent of the other party providing it is submitted within ten (10)business days, following its termination in the Grievance Procedure. The following Advisory Arbitration procedures shall be followed: (1) The requesting party will notify the other party in writing of the matter to be arbitrated and the contract provision(s) allegedly violated. Within five (5) business days of the receipt of this notice, the parties may agree upon an arbitrator, or a panel of three arbitrators trained in conducting grievance hearings. If agreement on an arbitrator cannot be reached the State Department of Industrial Relations shall be requested by either or both parties to provide a list of five arbitrators. Both the City and the Association shall have the right to strike two names from the list. The party requesting the arbitration shall strike the first name; the other party shall then strike one name. The process will be repeated and the remaining person shall be the arbitrator. (2) The arbitrator shall hear the case within twenty (20) business days after the arbitrator has been selected. The arbitrator may make a written report of their findings to the Association and the City within fifteen (15) business days after the hearing is concluded. The arbitrator shall make rules of procedure. The decision of the arbitrator shall be advisory to the City Manager who shall render a final decision within ten (10)business days. The arbitrator shall have no authority to amend, alter or modify this MOU or its terms and shall limit recommendations solely to the interpretation and application of this MOU. The above time limits of this provision may be extended by mutual agreement. (3) Each grievance or dispute will be submitted to a separately convened arbitration proceeding except when the City and the Association mutually agree to have more than one grievance or dispute submitted to the same arbitrator. (4) The City and the Association shall share the expense of arbitrators and witnesses and shall share equally any other expenses, including those of a stenographer, if required by either party. If either party elects not to follow the advisory decision rendered by the arbitrator, that party shall pay the entire cost of the arbitration process, including the expense of the arbitrator, witnesses and/or stenographer. (Signature page to follow.) 2014-12-02 Agenda Packet Page 263 SIGNATURE PAGE TO MOU BETWEEN THE CITY OF CHULA VISTA AND LOCAL 2180, IAFF,AFL-CIO, NOVEMBER 18, 2014 TO JUNE 30,2017 For the City: For IAFF: Gary Halbert, John Hess, City Manager President, IAFF Local 2180 City Of Chula Vista Chief Negotiator Kelley K. Bacon, Deputy City Manager Chief Negotiator City Of Chula Vista 2014-12-02 Agenda Packet Page 264 �vrf rnror Fiscal Year 2014-2015 Compensation Schedule 1-ft`CHUTA VISTA Effective June 27,2014 Bi-Weekly Rate OSITION TITLE PCN BARG Step A Step B Step C Step D Step E L Step A Step B Step C Step D Step E ACCOUNTANT 3633 CONF $31.30 $32.86 $34.51 $36.23 $38.04 $2,503.77 $2,628.96 $2,760.40 $2,898.42 $3,043.35 ACCOUNTING ASSISTANT 3641 CVEA $19.14 $20.10 $21.11 $22.16 $23.27 $1,531.49 $1,608.07 $1,688.47 $1,772.90 $1,861.54 ACCOUNTING ASSISTANT(HRLY) 3640 UCHR $19.14 $20.10 $21.11 $22.16 $23.27 $1,531.50 $1,608.07 $1,688.48 $1,772.89 $1,861.54 ACCOUNTING TECH(HOURLY) 3676 UCHR $24.22 $25.43 $26.70 $28.03 $29.44 $1,937.34 $2,034.21 $2,135.91 $2,242.71 $2,354.85 ACCOUNTING TECHNICIAN 3643 CONF 1$24.221$25.43 $26.70 $28.03 $29.44 $1,937.34 $2,034.21 $2,135.92 $2,242.72 $2,354.85 ACCOUNTING TECHNICIAN 3675 CVEA $24.22 $25.43 $26.70 $28.03 $29.44 $1,937.34 $2,034.21 $2,135.92 $2,242.71 $2,354.85 ADMIN AIDE 0201 CVEA $16.11 $16.92 $17.76 $18.65 $19.58 $1,288.99 $1,353.44 $1,421.12 $1,492.17 $1,566.78 ADMIN ANALYST 1 0203 CVEA $26.60 $27.93 $29.33 $30.79 $32.33 $2,127.90 $2,234.28 $2,346.00 $2,463.30 $2,586.47 ADMIN SERVICES MANAGER 0215 SM $42.86 -- -- -- $52.09 $3,428.62 $4,167.50 ADMINISTRATIVE SECRETARY 0149 CONF $23.66 $24.84 $26.08 $27.39 $28.76 $1,892.59 $1,987.22 $2,086.58 1$2,190.91 $2,300.45 ADMINISTRATIVE SECRETARY 0179 CVEA $23.66 $24.84 $26.08 $27.39 $28.76 $1,892.59 $1,987.22 $2,086.58 $2,190.91 $2,300.45 ADMINISTRATIVE TECHNICIAN 0147 CONF $23.66 $24.84 $26.08 $27.39 $28.76 $1,892.59 $1,987.22 $2,086.58 $2,190.91 $2,300.45 ADMINISTRATIVE TECHNICIAN 0181 CVEA $23.66 $24.84 $26.08 $27.39 $28.76 $1,892.59 $1,987.22 $2,086.58 $2,190.91 $2,300.45 ANIMALADOPTION COUNSELOR 5310 CVEA $20.47 $21.49 $22.57 $23.70 $24.88 $1,637.70 $1,719.58 $1,805.56 $1,895.84 $1,990.63 ANIMAL CARE AIDE(HRLY) 5316 UCHR $11.32 $11.91 $12.55 $13.20 $13.90 $905.56 $953.01 $1,003.78 $1,056.21 $1,111.98 ANIMALCARE FAC ADMINISTRATOR 5327 SM $49.94 $52.43 $55.05 $57.81 $60.70 $3,994.85 $4,194.59 $4,404.32 $4,624.54 $4,855.77 ANIMAL CARE FACILITY MANAGER 5330 MM $43.15 $45.30 $47.57 $49.95 $52.44 $3,451.72 $3,624.31 $3,805.53 $3,995.80 $4,195.59 ANIMALCARE FACILITY SUPVR 5317 MM $34.01 $35.71 $37.50 $39.37 $41.34 $2,720.73 $2,856.76 $2,999.60 $3,149.58 $3,307.06 ANIMAL CARE SPECIALIST 5343 CVEA $17.17 $18.02 $18.93 $19.87 $20.86 $1,373.23 $1,441.90 $1,514.00 $1,589.69 $1,669.18 ANIMAL CARE SPECIALIST(HRLY) 5344 UCHR $17.17 $18.02 $18.92 $19.87 $20.86 $1,373.24 $1,441.90 $1,513.99 $1,589.69 $1,669.18 ANIMAL CARE SUPERVISOR 5319 CVEA $23.84 $25.03 $26.28 $27.59 $28.97 $1,906.90 $2,002.25 $2,102.35 $2,207.48 $2,317.85 ANIMAL CONTROL OFFICER 5303 CVEA 1$20.60 $21.63 $22.71 $23.85 $25.04 $1,647.88 1$1,730.28 $1,816.79 $1,907.63 $2,003.01 ANIMAL CONTROL OFFICER(HRLY) 5305 UCHR $20.60 $21.63 $22.71 $23.85 $25.04 $1,647.88 $1,730.27 $1,816.79 $1,907.63 $2,003.01 ANIMAL CTRL OFFCR SUPERVISOR 5304 CVEA $23.69 $24.87 $26.12 $27.42 $28.79 $1,895.05 $1,989.82 $2,089.30 $2,193.77 $2,303.46 ANIMAL SERVICES SPECIALIST 5309 CVEA $18.73 $19.66 $20.65 $21.68 $22.76 $1,498.07 $1,572.98 $1,651.63 $1,734.21 $1,820.92 APPLICATIONS SUPP SPEC HRLY 3078 UCHR $32.53 $34.16 $35.87 $37.66 $39.54 $2,602.54 $2,732.67 $2,869.29 $3,012.76 $3,163.40 APPLICATIONS SUPPORT MANAGER 3083 MM $39.76 $41.75 $43.84 $46.03 $48.33 $3,180.88 $3,339.92 $3,506.92 $3,682.26 $3,866.38 APPLICATIONS SUPPORT SPEC 3088 PROF 1$32.53 $34.16 $35.87 $37.66 $39.54 $2,602.54 $2,732.67 $2,869.30 $3,012.76 $3,163.40 AQUARIST 7741 CVEA $21.32 $22.39 $23.51 $24.68 $25.92 $1,705.79 $1,791.08 $1,880.64 $1,974.67 $2,073.40 AQUATIC SUPERVISOR 7579 CVEA $21.87 $22.96 $24.11 $25.31 $26.58 $1,749.43 $1,836.89 $1,928.74 $2,025.18 $2,126.44 AQUATIC SUPERVISOR II 7577 CVEA $24.05 $25.26 $26.52 $27.85 $29.24 $1,924.37 $2,020.58 $2,121.61 $2,227.70 $2,339.08 AQUATIC SUPERVISOR 111 7575 CVEA $27.66 $29.05 $30.50 $32.02 $33.62 $2,213.02 $2,323.67 $2,439.87 $2,561.86 $2,689.95 ASSISTANT CITY CLERK 2210 SM $36.22 $38.03 $39.93 $41.93 $44.03 $2,897.57 $3,042.45 $3,194.57 $3,354.29 $3,522.01 ASSISTANT DIR OF DEV SERVICES 4040 SM $63.15 -- -- -- $76.76 $5,051.90 $6,140.61 ASSISTANT LAND SURVEYOR 6289 WCE $32.78 $34.421$36.14 $37.941 $39.84 $2,622.14 $2,753.24 1$2,890.91 $3,035.45 $3,187.22 ASSOC ACCOUNTANT 3635 CONF $34.43 $36.15 $37.96 $39.85 $41.85 $2,754.13 $2,891.84 $3,036.43 $3,188.25 $3,347.67 ASSOC ENGINEER 6017 WCE $37.69 $39.58 $41.56 $43.63 $45.82 $3,015.46 $3,166.24 $3,324.54 $3,490.77 $3,665.31 ASSOC PLANNER 4437 CVEA $31.03 $32.58 $34.21 $35.92 $37.72 $2,482.54 $2,606.66 $2,737.00 $2,873.85 $3,017.54 ASSOC PLANNER(HOURLY) 4438 UCHR 1$31.03 $32.58 $34.21 $35.92 $37.72 $2,482.53 $2,606.66 $2,736.99 $2,873.85 1$3,017.54 ASSOCIATE LAND SURVEYOR 6287 WCE $37.69 $39.58 $41.56 $43.63 $45.82 $3,015.46 $3,166.23 $3,324.54 $3,490.77 $3,665.31 ASSOCIATE PLAN CHECK ENGINEER 4747 WCE $37.69 $39.58 $41.56 $43.63 $45.82 $3,015.46 $3,166.23 $3,324.54 $3,490.77 $3,665.31 ASST CHIEF OF POLICE 5011 SM $61.95 -- $75.30 $4,955.71 $6,023.69 ASST CITY ATTORNEY 2405 SM $66.14 $69.45 $72.92 $76.531 $80.39 $5,291.23 $5,555.80 $5,833.59 $6,122.02 $6,431.53 ASST CITY MANAGER/ADMIN 2707 EXEC $85.57 -- -- -- $103.37 $6,845.94 $8,269.53 ASST DIR HUMAN RESOURCES 3304 SM $57.61 $69.14 $4,609.10 $5,530.92 ASST DIR OF FINANCE 3604 SM $57.27 $69.14 $4,581.25 $5,530.92 ASST DIR OF PUBLIC WORKS 6322 SM $57.27 $69.14 $4,581.25 $5,530.92 ASST DIR OF RECREATION 7401 SM $47.31 $57.50 $3,784.40 $4,599.97 ASST DIRECTOR OF ENGINEERING 6008 SM $57.27 $69.14 $4,581.25 $5,530.92 ASST ENGINEER 6015 WCE $32.78 $34.42 $36.14 $37.94 $39.84 $2,622.13 $2,753.25 $2,890.90 $3,035.46 $3,187.22 ASST PLANNER 4439 CVEA 1$28.21 $29.62 $31.10 $32.66 $34.29 $2,256.85 $2,369.69 $2,488.18 $2,612.59 $2,743.22 AUTOMATED FINGERPRINTTECH 5123 CVEA 1$18.73 $19.66 $20.65 $21.68 $22.76 $1,498.08 1$1,572.98 $1,651.62 $1,734.20 $1,820.92 BENEFITS MANAGER 3404 MMCF $39.32 $41.29 $43.35 $45.52 $47.80 $3,145.81 $3,303.10 $3,468.26 $3,641.67 $3,823.76 BENEFITS TECHNICIAN 3401 CONF $22.39 $23.51 $24.69 $25.92 $27.22 $1,791.39 $1,880.96 $1,975.01 $2,073.76 $2,177.45 BENEFITS TECHNICIAN HOURLY 3400 UCHR $22.39 $23.51 $24.69 $25.92 $27.22 $1,791.39 $1,880.96 $1,975.01 $2,073.76 $2,177.44 BLDG PROJECT MANAGER 6412 PROF $36.54 $38.37 $40.291$42.301 $44.42 $2,923.26 $3,069.43 $3,222.90 $3,384.04 $3,553.25 BLDG PROJECTS SUPERVISOR 6404 PROF $33.23 1$34.891$36.631$38.471 $40.39 $2,658.21 $2,791.12 $2,930.68 $3,077.21 $3,231.07 All position titles designated as Executive("EXEC')or Senior Management("SM")have salary bands with a minimum("Step A")and maximum("Step E")salary;salary appointments and subsequent adjustments within the approved salary range may be made by the position's appointing authority. Approved and adopted: Res2lgfi3J,tp,02 Agenda Packet Page 265 �vrf rnror Fiscal Year 2014-2015 Compensation Schedule !-ft`,-CHUTA VISTA Effective June 27,2014 Hourly Rate Bi-Weekly Rate OSITION TITLE PCN BARG Step A Step B Step C Step D Step E Step A Step B Step C Step D Step E BUDGET&ANALYSIS MANAGER 2222 SM $53.62 -- -- -- $64.70 $4,289.25 $5,175.98 BUILDING INSPECTOR I 4771 CVEA $27.32 $28.68 $30.12 $31.61 $33.21 $2,185.42 $2,294.69 $2,409.43 $2,528.74 $2,656.40 BUILDING INSPECTOR II 4773 CVEA $30.05 $31.55 $33.13 $34.79 $36.53 $2,403.97 $2,524.17 $2,650.38 $2,782.90 $2,922.05 BUILDING INSPECTOR II HRLY 4774 UCHR $30.05 $31.55 $33.13 $34.79 $36.53 $2,403.97 $2,524.18 $2,650.39 $2,782.90 $2,922.05 BUILDING INSPECTOR III 4775 CVEA $33.05 1$34.71 $36.44 $38.26 $40.18 $2,644.37 $2,776.59 $2,915.42 1$3,061.19 $3,214.25 BUILDING OFFICIAL/CODE ENF MGR 4780 SM $60.14 -- -- -- $73.10 $4,811.33 $5,848.20 BUILDING PROJECT COORDINATOR 6407 CVEA $30.05 $31.55 $33.13 $34.79 $36.53 $2,403.97 $2,524.17 $2,650.38 $2,782.90 $2,922.05 BUSINESS LICENSE REP 4505 CVEA $19.14 $20.10 $21.11 $22.16 $23.27 $1,531.49 $1,608.07 $1,688.47 $1,772.90 $1,861.54 CARPENTER 6444 CVEA $23.84 $25.03 $26.28 $27.60 $28.98 $1,907.05 $2,002.41 $2,102.53 $2,207.65 $2,318.03 CBAG DEPUTY DIRECTOR SD LECC 5269 SM $44.20 -- -- $51.17 $53.72 $3,535.87 $4,093.21 $4,297.87 CBAG DEPUTY EXECUTIVE DIRECTOR 5273 SM 1$46.68 $58.46 $3,734.34 $4,676.66 CBAG DIR OF IV-LECC 5268 SM $44.20 $53.72 $3,535.87 $4,297.87 CBAG EXECUTIVE DIRECTOR 5272 EXEC $54.91 -- $60.54 -- $68.76 $4,392.69 $4,842.94 $5,501.14 CBAG PROGRAM MANAGER 5285 MM $44.20 $46.41 $48.73 $51.17 $53.72 $3,535.87 $3,712.66 $3,898.29 $4,093.21 $4,297.87 CHIEF OF POLICE 5001 EXEC $79.37 -- -- $94.47 $96.47 $6,349.47 $7,557.71 $7,717.83 CHIEF OF STAFF 2011 MMUC $29.26 $30.72 $32.26 $33.87 $35.56 $2,340.68 $2,457.72 $2,580.60 $2,709.63 $2,845.12 CHIEF SERVICE OFFICER 4030 SM 1$30.86 -- -- -- $37.51 $2,469.06 $3,001.16 CIP PROJECTS SUPV 6405 MM $25.30 $26.56 $27.89 $29.28 $30.75 $2,023.61 $2,124.79 $2,231.03 $2,342.58 $2,459.71 CITY ATTORNEY(ELECTED) 2400 CATY -- -- -- -- $103.00 $8,240.16 CITY CLERK 2201 CCLK -- $68.68 $5,494.10 CITY ENGINEER 6010 SM $57.67 $70.10 $4,613.96 $5,608.29 CITY MANAGER 2710 CMGR -- $114.07 $9,125.83 CIVIL BCKGRND INVEST(HOURLY) 5430 UCHR 1$22.66 $23.79 $24.98 $26.23 $27.54 $1,812.67 $1,903.30 $1,998.46 $2,098.38 $2,203.31 CIVILIAN BACKGROUND INVEST 5429 CVEA $22.66 $23.79 $24.98 $26.23 $27.54 $1,812.67 $1,903.30 $1,998.46 $2,098.38 $2,203.30 CIVILIAN POLICE INVESTIGATOR 5431 UCHR $25.79 $27.08 $28.43 $29.85 $31.35 $2,063.15 $2,166.32 $2,274.63 $2,388.36 $2,507.78 CLERICALAIDE 0241 UCHR $10.55 $11.07 $11.63 $12.21 $12.82 $843.66 $885.84 $930.14 $976.64 $1,025.47 CODE ENF OFFICER 1 4777 CVEA $23.73 $24.91 $26.16 $27.47 $28.84 $1,898.28 $1,993.19 $2,092.86 $2,197.50 $2,307.38 CODE ENF OFFICER I(HOURLY) 4776 UCHR $23.73 $24.91 $26.16 $27.47 $28.84 $1,898.29 $1,993.19 $2,092.86 $2,197.50 $2,307.38 CODE ENF OFFICER II 4779 CVEA 1$26.10 $27.41 $28.78 $30.22 $31.73 $2,088.11 $2,192.52 $2,302.14 $2,417.25 $2,538.11 CODE ENF OFFICER II(HOURLY) 4778 UCHR $26.10 $27.41 $28.78 $30.22 $31.73 $2,088.11 $2,192.51 $2,302.15 $2,417.25 $2,538.11 CODE ENFORCEMENT MANAGER 4757 SM $47.32 -- -- -- $57.52 $3,785.89 $4,601.77 CODE ENFORCEMENTTECHNICIAN 4789 CVEA $20.63 $21.67 $22.75 $23.89 $25.08 $1,650.68 $1,733.22 1$1,819.88 $1,910.87 $2,006.41 COLLECTIONS SUPERVISOR 3683 MM $32.99 $34.64 $36.37 $38.19 $40.10 $2,639.43 $2,771.41 $2,909.98 $3,055.48 $3,208.25 COLLECTIONS SUPERVISOR HOURLY 3687 UCHR $32.99 $34.64 $36.37 $38.19 $40.10 $2,639.43 $2,771.41 $2,909.98 $3,055.48 $3,208.25 COMMUNICATION SYSTEM MGR 5161 MM 1$29.73 $31.21 $32.77 $34.41 $36.13 $2,378.22 $2,497.13 $2,621.99 $2,753.09 $2,890.74 COMMUNITY SERV OFFICER 5141 CVEA $18.73 $19.66 $20.65 $21.68 $22.76 $1,498.07 $1,572.98 $1,651.63 $1,734.21 $1,820.92 COMPUTER PROG/ANALYST 3021 CVEA $31.07 $32.62 $34.25 $35.97 $37.76 $2,485.44 $2,609.71 $2,740.19 $2,877.20 $3,021.06 COMPUTER PROGRAMMER 3023 CVEA $28.24 $29.66 $31.14 $32.70 $34.33 $2,259.49 $2,372.46 1$2,491.09 $2,615.64 $2,746.42 CONSERVATION SPECIALIST 1 6200 CVEA $21.57 $22.65 $23.78 $24.97 $26.22 $1,725.70 $1,811.99 $1,902.59 $1,997.73 1$2,097.61 CONSTITUENT SERVICES MANAGER 2038 PRUC $26.89 $28.24 $29.65 $31.13 $32.69 $2,151.42 $2,258.99 $2,371.93 $2,490.53 1$2,615.06 CONSTRUCTION&REPAIR SUPERVISOR 6427 1 CVEA $33.10 $34.76 $36.50 $38.32 $40.24 $2,648.18 $2,780.59 $2,919.62 $3,065.60 $3,218.88 COUNCIL ASSISTANT 2023 UCHR $22.91 $24.06 $25.26 $26.52 $27.85 $1,832.86 $1,924.50 $2,020.73 $2,121.76 $2,227.85 COUNCILPERSON 2003 CL -- -- -- -- $23.43 $1,874.50 CRIME LABORATORY MANAGER 5101 MM $42.72 $44.86 $47.101$49.46 $51.93 $3,417.88 $3,588.78 $3,768.22 $3,956.63 $4,154.46 CUSTODIAL&FAC MANAGER 6654 MM $37.46 $39.33 $41.30 $43.36 $45.53 $2,996.62 $3,146.46 $3,303.78 $3,468.97 $3,642.42 CUSTODIAL SUPERVISOR 6667 CVEA $21.90 $23.00 $24.15 $25.35 $26.62 $1,752.09 $1,839.69 $1,931.68 $2,028.26 $2,129.68 CUSTODIAN 6661 CVEA 1$17.31 $18.18 $19.09 $20.04 $21.04 $1,385.05 $1,454.30 $1,527.01 $1,603.36 $1,683.53 CUSTODIAN(HOURLY) 6662 UCHR $17.31 $18.18 $19.09 $20.04 $21.04 $1,385.04 $1,454.30 $1,527.01 $1,603.36 $1,683.53 DELIVERY DRIVER 7191 CVEA $15.87 $16.66 $17.50 $18.37 $19.29 $1,269.63 $1,333.11 $1,399.77 $1,469.75 $1,543.24 DELIVERY DRIVER(HOURLY) 7192 UCHR $15.87 $16.66 $17.50 $18.37 $19.29 $1,269.63 $1,333.11 $1,399.76 $1,469.76 $1,543.24 DEP CITY MANAGER 2705 EXEC $88.51 -- -- -- $97.59 $7,081.12 $7,806.93 DEPUTY CITY ATTORNEY 1 2410 PRUC $38.66 $40.59 $42.62 $44.75 $46.99 $3,092.81 $3,247.46 $3,409.83 $3,580.32 $3,759.34 DEPUTY CITY ATTORNEY II 2408 PRUC $46.39 $48.71 $51.15 $53.70 $56.39 $3,711.37 $3,896.94 $4,091.79 $4,296.38 $4,511.20 DEPUTY CITY ATTY III 2411 SM $59.54 1$62.52 $65.64 $68.92 $72.37 $4,763.09 $5,001.24 $5,251.31 $5,513.87 $5,789.53 DEPUTY CITY CLERK 2202 PRUC $26.89 $28.24 $29.65 $31.13 $32.69 $2,151.41 $2,258.98 $2,371.93 $2,490.53 $2,615.06 DEPUTY CITY CLERK 1 2245 PRUC $24.45 $25.67 $26.95 $28.30 $29.72 $1,955.83 $2,053.62 $2,156.30 $2,264.11 $2,377.32 DEPUTY CITY CLERK 11 2243 PRUC $26.89 $28.24 $29.65 $31.13 $32.69 $2,151.41 $2,258.98 $2,371.93 $2,490.53 $2,615.06 DEPUTY FIRE CHIEF 5505 SM $59.53 -- $72.35 $4,762.11 $5,788.37 DEPUTY FIRE CHIEF(INTERIM) 5504 SM 1$59.53 -- $72.35 $4,762.11 $5,788.37 DESIGN REVIEW COORDINATOR 4472 $34.10 $35.81 $37.60 $39.48 $2,598.44 $2,728.36 $2,864.78 $3,008.02 $3,158.42 DETENTION FACILITY MANAGER 5130 2.72 $44.86 $47.10 $49.46 $51.93 $3,417.88 $3,588.78 $3768.22 $3956.63 $4,154.46 DEVELOPMENT SERVICES TECH 1 4542 9.52 $20.49 $21.52 $22.59 $23.72 $1,561.43 $1,639.50 $1,721.48 $1,807.55 $1,897.93 Approved and adopted: Res2lgfi3ftp,02 Agenda Packet Page 266 �vrf rnror Fiscal Year 2014-2015 Compensation Schedule !-ft`,-CHUTA VISTA Effective June 27,2014 Hourly Rate Bi-Weekly Rate OSITION TITLE PCN BARG Step A Step B Step C Step D Step E Step A Step B Step C Step D Step E DEVELOPMENT SVCS DEPT DIR 4039 EXEC $73.90 -- -- $88.41 $89.84 $5,912.04 $7,072.72 $7,187.08 DEVELOPMENT SVCS TECH 11 4541 CVEA $21.47 $22.54 $23.67 $24.85 $26.10 $1,717.58 $1,803.45 $1,893.63 $1,988.31 $2,087.72 DEVELOPMENT SVCS TECH 111 4543 CVEA $24.69 $25.92 $27.22 $28.58 $30.01 $1,975.21 $2,073.97 $2,177.67 $2,286.55 $2,400.88 DEVLPMENT SVCS TECH II(HRLY) 4544 UCHR $21.47 $22.54 $23.67 $24.85 $26.10 $1,717.57 $1,803.46 $1,893.63 $1,988.31 $2,087.72 DEVLPMT SVCS COUNTER MGR 4547 MM $35.69 $37.48 $39.35 $41.32 $43.38 $2,855.35 $2,998.12 $3,148.02 $3,305.42 $3,470.70 DIR OF ECON DEVELOPMENT 2734 EXEC $56.00 $79.82 $4,479.69 $6,385.74 DIR OF ENG/CITY ENGINEER 6006 EXEC $65.49 $79.60 $5,238.85 $6,367.85 DIR OF FINANCE 3601 EXEC $74.43 $89.83 $5,954.60 $7,186.12 DIR OF INFO TECH SVCS 3001 EXEC $64.59 $71.21 $78.51 $5,167.37 $5,697.03 $6,280.97 DIR OF LIBRARY 7002 EXEC $69.14 -- $83.40 $5,531.32 1$6,671.61 DIR OF PUBLIC WORKS 6320 EXEC $73.25 $86.36 -- $89.83 $5,860.03 $6,908.65 $7,186.12 DIR OF RECREATION 7405 EXEC $59.72 $62.71 $65.84 $69.14 $72.59 $4,777.81 $5,016.70 $5,267.53 $5,530.91 $5,807.46 DIR OF REDEVLPMENT&HOUSING 4201 EXEC $65.49 -- -- -- $79.60 $5,238.85 $6,367.85 ELECTRICIAN 6438 CVEA $25.03 $26.28 $27.60 $28.98 $30.42 $2,002.41 $2,102.53 $2,207.66 $2,318.04 $2,433.95 ELECTRONIC/EQUIP INSTALLER 6492 CVEA $22.75 $23.89 $25.09 $26.34 $27.66 $1,820.37 $1,911.39 $2,006.96 $2,107.31 $2,212.67 ELECTRONICS TECH SUPERVISOR 6472 CVEA $31.66 $33.25 $34.91 $36.65 $38.49 $2,533.10 $2,659.75 $2,792.74 $2,932.38 $3,079.00 ELECTRONICS TECHNICIAN 6475 CVEA $27.53 $28.91 $30.36 $31.871 $33.47 $2,202.69 $2,312.83 $2,428.47 $2,549.89 $2,677.39 EMERGENCY SRVCS COORD(HRLY) 5565 UCHR $35.60 $37.38 $39.25 $41.21 $43.27 $2,848.15 $2,990.55 $3,140.08 $3,297.08 $3,461.94 EMERGENCY SVCS COORDINATOR 5563 MM $35.60 $37.38 $39.25 $41.21 $43.27 $2,848.15 $2,990.55 $3,140.08 $3,297.08 $3,461.94 EMERGENCY SVCS COORDINATOR 5564 PROF $35.60 $37.38 $39.25 $41.21 $43.27 $2,848.15 $2,990.55 $3,140.08 $3,297.08 $3,461.94 EMS NURSE COORDINATOR 5567 PROF $45.03 $47.28 $49.65 $52.13 $54.74 $3,602.57 $3,782.69 $3,971.83 $4,170.42 $4,378.94 ENGINEERING TECH 1 6081 CVEA $23.75 $24.94 $26.19 $27.50 $28.87 $1,900.37 $1,995.39 $2,095.16 $2,199.92 $2,309.91 ENGINEERING TECH 11 6071 CVEA $26.13 $27.44 $28.81 $30.25 $31.76 $2,090.41 $2,194.93 $2,304.68 $2,419.91 $2,540.91 ENVIRON SVCS PROG MGR 6201 MM $35.81 $37.60 $39.48 $41.45 $43.52 $2,864.46 $3,007.68 $3,158.07 $3,315.97 $3,481.77 ENVIRONMENTAL HLTH SPECIALIST 6129 CVEA $31.42 $32.99 $34.64 $36.37 $38.19 $2,513.25 $2,638.91 $2,770.86 $2,909.40 $3,054.87 ENVIRONMENTAL RESOURCE SPEC 4464 CVEA $31.42 $32.99 $34.64 $36.37 $38.19 $2,513.25 $2,638.91 1$2,770.86 $2,909.40 $3,054.87 ENVIRONMNTL RESOURCE MGR 4463 MM 1$35.81 $37.60 $39.48 $41.451 $43.52 $2,864.46 $3,007.68 $3,158.07 $3,315.97 $3,481.77 EQUIPMENT MAINTENANCE MANAGER 6505 MM $35.26 $37.03 $38.88 $40.82 $42.86 $2,820.97 $2,962.02 $3,110.11 $3,265.62 $3,428.90 EQUIPMENT MECHANIC 6542 CVEA $23.62 $24.80 $26.04 $27.34 $28.71 $1,889.57 $1,984.05 $2,083.25 $2,187.41 $2,296.78 EQUIPMENT OPERATOR 6361 CVEA $25.14 $26.40 $27.72 $29.10 $30.56 $2,011.09 $2,111.64 $2,217.22 $2,328.09 $2,444.49 EVIDENCE CONTROL ASST 5115 CVEA $18.73 $19.66 $20.65 $21.68 $22.76 $1,498.07 $1,572.98 $1,651.63 $1,734.21 $1,820.92 EVIDENCE CONTROL ASST(HRLY) 5117 UCHR $18.73 $19.66 $20.65 $21.68 $22.76 $1,498.08 $1,572.98 $1,651.63 $1,734.21 $1,820.92 EXECUTIVE SECRETARY 0187 CONF 1$28.63 $30.06 $31.56 $33.141 $34.79 $2,290.03 $2,404.53 $2,524.76 $2,651.00 $2,783.55 EXECUTIVE SECRETARY(HOURLY) 0188 UCHR $28.63 $30.06 $31.56 $33.14 $34.79 $2,290.03 $2,404.53 $2,524.76 $2,650.99 $2,783.55 FA ACCOUNTING TECHNICIAN 5270 CONF $24.22 $25.43 $26.70 $28.03 $29.44 $1,937.35 $2,034.21 $2,135.92 $2,242.72 $2,354.85 FA ADMIN ANALYST 1 5297 CONF $26.60 $27.93 $29.33 $30.79 $32.33 $2,127.90 $2,234.28 $2,346.00 $2,463.30 $2,586.48 FA ADMIN ANALYST 11 5296 CONF $29.26 $30.72 $32.26 $33.87 $35.56 $2,340.68 $2,457.73 $2,580.60 $2,709.63 $2,845.12 FA ANALYST 5277 CONF $20.33 $21.34 $22.41 $23.53 $24.71 $1,626.07 $1,707.38 $1,792.75 $1,882.38 $1,976.50 FA DIRECTOR OF SD LECC 5274 SM 1$57.30 -- -- -- $68.76 $4,584.28 $5,501.13 FA EXECUTIVE ASSISTANT 5286 CONF $26.04 $27.34 $28.71 $30.15 $31.65 $2,083.29 $2,187.45 $2,296.83 $2,411.67 $2,532.25 FA GEOSPATIAL INTEL ANALYST 5439 PRUC $37.89 $39.78 $41.77 $43.86 $46.06 $3,031.15 $3,182.73 $3,341.86 1$3,508.95 $3,684.40 FA GRAPHIC DESIGNER/WBMSTR 5289 CONF $27.51 $28.89 $30.33 $31.85 $33.44 $2,201.15 $2,311.21 $2,426.60 $2,548.11 $2,675.51 FA INFO SECURITY PROGRAM MGR 5453 MMUC $44.20 $46.41 $48.73 $51.17 $53.72 $3,535.87 $3,712.66 $3,898.29 $4,093.21 $4,297.87 FA LECC IT MANAGER 5440 MMUC $40.42 $42.44 $44.56 $46.79 $49.13 $3,233.24 $3,394.91 $3,564.65 $3,742.88 $3,930.03 FA MANAGEMENT ASSISTANT 5278 CONF $24.801$26.04 $27.34 $28.71 $30.15 $1,984.09 $2,083.30 $2,187.46 $2,296.83 $2,411.68 FA MICROCOMPUTER SPECIALIST 5443 PRUC $32.86 $34.50 $36.23 $38.04 $39.94 $2,628.82 $2,760.27 1$2,898.28 $3,043.19 $3,195.35 FA NTWRK ADMINISTRATOR 1 5292 PRUC $33.07 $34.72 $36.46 $38.28 $40.20 $2,645.62 $2,777.90 $2,916.79 $3,062.63 $3,215.77 FA NTWRK ADMINISTRATOR II 5294 PRUC $36.38 $38.20 $40.11 $42.11 $44.22 $2,910.18 $3,055.68 $3,208.47 $3,368.90 $3,537.34 FA PROGRAM ANALYST 5444 PRUC $39.20 $41.16 $43.22 $45.38 $47.65 $3,136.28 $3,293.09 $3,457.75 $3,630.63 $3,812.17 FA PROGRAM ASSISTANT 5451 CONF 1$19.81 $20.80 $21.84 $22.93 $24.08 $1,584.92 $1,664.16 $1,747.37 $1,834.74 $1,926.48 FA PROGRAM MANAGER 5445 SM $44.20 $46.41 $48.73 $51.17 $53.72 $3,535.87 $3,712.66 $3,898.29 $4,093.21 $4,297.87 FA PUBLIC SAFETY ANALYST 5265 CONF $29.26 $30.72 $32.26 $33.87 $35.56 $2,340.67 $2,457.69 $2,580.59 $2,709.61 $2,845.09 FA RCFL NETWRK ENGINEER 5284 CONF $31.93 $33.53 $35.20 $36.96 $38.81 $2,554.36 $2,682.08 $2,816.19 $2,957.00 $3,104.85 FA SR PUBLIC SAFETY ANALYST 5414 PRUC $32.35 $33.97 $35.67 $37.45 $39.33 $2,588.25 $2,717.65 $2,853.54 $2,996.22 $3,146.02 FA SR SECRETARY 5477 CONF $20.38 $21.40 $22.47 $23.59 $24.77 $1,630.43 $1,711.96 $1,797.56 $1,887.43 $1,981.80 FACILITIES MANAGER 6425 MM $40.16 $42.17 $44.28 $46.49 $48.82 $3,213.04 $3,373.69 $3,542.38 $3,719.50 $3,905.47 FACILITY&SUPPLY SPECIALIST 5648 CVEA $20.35 $21.37 $22.44 $23.56 $24.74 $1,628.20 1$1,709.61 $1,795.09 $1,884.85 $1,979.09 FACILITY&SUPPLY SPEC(HRLY) 5646 UCHR $20.35 $21.37 $22.44 $23.56 $24.74 $1,628.20 $1,709.61 $1,795.09 $1,884.84 $1,979.09 FAMILY&YOUTH LITERACY COORD 7035 CVEA $24.05 $25.26 $26.52 $27.85 $29.24 $1,924.37 $2,020.58 $2,121.61 $2,227.69 $2,339.08 FIELD MAINTENANCE SPECIALIST 7471 CVEA $18.50 $19.43 $20.40 $21.42 $22.49 $1,480.18 $1,554.20 $1,631.90 $1,713.50 $1,799.18 FINANCE MANAGER 3623 SM $45.93 -- I -- -- $55.83 $3,674.27 $4,466.09 FIRE APPARATUS MECH 6521 CVEA 1$28.33 1$29.751$31.23 $32.79 $34.43 $2,266.30 $2,379.62 1$2,498.60 1$2,623.5 3 $2,754.71 Approved and adopted: Res2lgfi3ftp,02 Agenda Packet Page 267 �vrf rnror Fiscal Year 2014-2015 Compensation Schedule 1-ft`CHUTA VISTA Effective June 27,2014 Hourly Rate Bi-Weekly Rate OSITION TITLE PCN BARG Step A Step B Step C Step D Step E 0 Step A Step B Step C Step D Step E FIRE BATTALION CHIEF(112 HR) 5511 IAFF $46.49 $48.81 $51.25 $53.82 $56.51 $3,718.99 $3,904.94 $4,100.20 $4,305.20 $4,520.46 FIRE BATTALION CHIEF(80 HR) 5513 IAFF $46.49 $48.81 $51.25 $53.82 $56.51 $3,718.99 $3,904.94 $4,100.20 $4,305.20 $4,520.46 FIRE BATTALION CHIEF(INTERIM) 5540 IAFF $46.49 $48.81 $51.25 $53.81 $56.51 $3,718.99 $3,904.94 $4,100.19 $4,305.19 $4,520.47 FIRE CAPTAIN(112 HR) 5583 IAFF $37.32 $39.18 $41.14 $43.20 $45.36 $2,985.30 $3,134.57 $3,291.29 $3,455.86 $3,628.65 FIRE CAPTAIN(80 HR) 5581 IAFF 1$37.32 $39.18 $41.14 $43.20 $45.36 $2,985.30 $3,134.57 1$3,291.29 $3,455.86 $3,628.65 FIRE CAPTAIN(INTERIM) 5580 IAFF $37.32 $39.18 $41.14 $43.20 $45.36 $2,985.30 $3,134.57 $3,291.29 $3,455.86 $3,628.65 FIRE CHIEF 5501 EXEC $71.43 -- $84.67 -- $86.83 $5,714.52 $6,773.65 $6,946.05 FIRE CHIEF(INTERIM) 5502 EXEC $71.43 -- -- -- $86.83 $5,714.52 $6,946.05 FIRE DIVISION CHIEF 5507 MMUC $54.27 $56.99 $59.84 $62.83 $65.97 $4,341.96 $4,559.06 $4,787.01 $5,026.37 $5,277.68 FIRE ENG(112 HR) 5603 IAFF $31.82 $33.41 $35.08 $36.83 $38.67 $2,545.33 $2,672.60 $2,806.23 $2,946.54 $3,093.87 FIRE ENG(80 HR) 5601 IAFF 1$31.82 $33.41 $35.08 $36.83 $38.67 $2,545.33 $2,672.60 $2,806.23 $2,946.54 $3,093.87 FIRE ENGINEER(INTERIM) 5602 IAFF $31.82 $33.41 $35.08 $36.83 $38.67 $2,545.33 $2,672.61 $2,806.23 $2,946.54 $3,093.87 FIRE INSP/INVESTI 5530 IAFF $26.91 $28.25 $29.67 $31.15 $32.71 $2,152.66 $2,260.29 $2,373.31 $2,491.97 $2,616.57 FIREINSP/INVEST II 5531 IAFF $29.60 $31.08 $32.63 $34.26 $35.98 $2,367.92 $2,486.31 $2,610.63 $2,741.15 $2,878.22 FIRE INSP/INVEST II HRLY 5532 UCHR $30.19 $31.701$33.29 $34.951 $36.70 $2,415.28 $2,536.04 $2,662.84 $2,795.97 $2,935.78 FIRE PREV ENG/INVEST 5528 IAFF $35.70 $37.49 $39.36 $41.33 $43.39 $2,855.99 $2,998.80 $3,148.73 1$3,306.17 $3,471.48 FIRE PREVENTION AIDE 5533 UCHR 1$13.43 $14.10 $14.80 $15.54 $16.32 $1,074.12 $1,127.82 $1,184.22 $1,243.43 $1,305.60 FIREFIGHTER(112 HR) 5623 IAFF $27.04 $28.39 $29.81 $31.30 $32.87 $2,163.26 $2,271.43 $2,385.00 $2,504.25 $2,629.46 FIREFIGHTER(80 HR) 5621 IAFF $27.04 $28.39 $29.81 $31.30 $32.87 $2,163.26 $2,271.43 $2,385.00 $2,504.25 $2,629.46 FIREFIGHTER/PARAMEDIC(112 HR) 5613 IAFF $31.10 $32.65 $34.28 $36.00 $37.80 $2,487.75 $2,612.14 $2,742.75 $2,879.89 $3,023.88 FIREFIGHTER/PARAMEDIC(80 HR) 5611 IAFF $31.10 $32.651$34.28 $36.00 $37.80 $2,487.75 $2,612.14 $2,742.75 $2,879.89 1$3,023.88 FISCAL&MANAGEMENT ANALYST 0216 PRCF $40.49 $42.51 $44.64 $46.87 $49.21 $3,238.94 $3,400.89 $3,570.93 $3,749.47 $3,936.95 FISCAL&MGT ANALYST(HOURL) 0218 UCHR $40.49 $42.51 $44.64 $46.87 $49.21 $3,238.94 $3,400.89 $3,570.93 $3,749.47 $3,936.94 FISCAL OFFICE SPEC(HOURLY) 0170 UCHR $17.69 $18.57 $19.50 $20.47 $21.50 $1,414.84 $1,485.58 $1,559.86 $1,637.85 $1,719.74 FISCAL OFFICE SPECIALIST 0169 CVEA $17.69 $18.57 $19.50 $20.47 $21.50 $1,414.84 $1,485.58 $1,559.86 $1,637.85 $1,719.74 FISCAL SERVICES ANALYST 3610 PROF $40.09 $42.09 $44.20 $46.41 $48.73 $3,207.18 $3,367.54 $3,535.92 $3,712.72 $3,898.35 FLEET INVENTORY CONTROL SPEC 6513 CVEA $23.411$24.58 $25.80 $27.09 $28.45 $1,872.43 $1,966.05 $2,064.35 $2,167.57 $2,275.95 FLEET MANAGER 6501 MM $39.17 $41.13 $43.19 $45.35 $47.61 $3,133.79 $3,290.48 $3,455.00 $3,627.75 $3,809.14 FORENSICS SPECIALIST 5114 CVEA $28.05 $29.45 $30.92 $32.47 $34.09 $2,243.72 $2,355.91 $2,473.70 $2,597.39 $2,727.26 GARDENER(SEASONAL) 6629 UCHR $17.31 $18.18 $19.09 $20.04 $21.04 $1,385.04 $1,454.30 $1,527.01 $1,603.36 $1,683.53 GARDENER I 6627 CVEA $17.31 $18.18 $19.09 $20.04 $21.04 $1,385.05 $1,454.30 $1,527.01 $1,603.36 $1,683.53 GARDENER II 6623 CVEA 1$19.04 $20.001$21.00 $22.05 $23.15 $1,523.56 1$1,599.73 $1,679.72 $1,763.71 $1,851.89 GIS MANAGER 3079 MM $40.15 $42.16 $44.27 $46.48 $48.81 1$3,954.52$3,212.37 $3,373.00 $3,541.64 $3,718.73 $3,904.66 GIS SPECIALIST 3081 CVEA $28.24 $29.66 $31.14 $32.70 $34.33 $2,259.49 $2,372.46 $2,491.09 $2,615.64 $2,746.42 GIS SPECIALIST(HOURLY) 3092 UCHR $28.24 $29.66 $31.14 $32.70 $34.33 $2,259.49 $2,372.47 $2,491.09 $2,615.64 $2,746.42 GRAPHIC DESIGNER 2775 CVEA $25.02 $26.27 $27.58 $28.96 $30.41 $2,001.60 $2,101.68 $2,206.76 $2,317.10 $2,432.96 GYMNASTIC SPECIALIST 7543 UCHR $15.10 $15.86 $16.65 $17.48 $18.36 $1,208.09 $1,268.50 $1,331.92 $1,398.52 $1,468.44 HOUSING MANAGER 4093 SM $49.43 -- -- -- $59.61 $4,769.12 HOUSING REHAB SPEC 4791 CVEA $26.10 $27.41 $28.78 $30.22 $31.73 $2,088.11 $2,192.52 $2,302.14 $2,417.25 $2,538.11 HR ANALYST 3310 PRCF $29.09 $30.55 $32.07 $33.68 $35.36 $2,327.38 $2,443.74 $2,565.93 $2,694.23 $2,828.94 HR OPERATIONS MANAGER 3317 SM $45.47 -- -- -- $55.27 $3,637.89 $4,421.88 HR TECHNICIAN 3315 CONF $22.47 $23.60 $24.78 $26.02 $27.32 $1,797.96 $1,887.86 $1,982.25 $2,081.36 $2,185.43 HUMAN SERVICE COORD 7551 CVEA $24.05 $25.26 $26.52 $27.85 $29.24 $1,924.37 $2,020.58 $2,121.61 $2,227.69 $2,339.08 HVAC TECHNICIAN 6430 CVEA $25.03 1$26.28 $27.60 $28.98 $30.42 $2,002.41 $2,102.53 $2,207.66 $2,318.04 $2,433.95 INFO TECH MANAGER 5104 SM $48.85 -- -- -- $58.62 $3,908.30 $4,689.97 INFO TECH SUPPORTSPECIALIST 3014 PROF $32.86 $34.50 $36.23 $38.04 $39.94 $2,628.82 $2,760.27 $2,898.28 $3,043.19 $3,195.35 INFORMATION SYS TECH 3041 CVEA $21.98 $23.08 $24.24 $25.45 $26.72 $1,758.73 $1,846.67 $1,939.00 $2,035.95 $2,137.75 INTERN I 0261 UCHR $9.25 $9.71 $10.20 $10.71 $11.25 $740.11 $777.12 $815.98 $856.77 $899.61 INTERN II 0263 UCHR $10.20 $10.711$11.25 $11.811 $12.40 $815.99 $856.79 $899.62 $944.61 $991.84 INTERN III 0265 UCHR 1$11.22 $11.78 $12.37 $12.98 $13.63 $897.24 $942.10 $989.20 $1,038.66 $1,090.60 IT SUPPORT SPECIALIST(HOURLY) 3002 UCHR $32.86 $34.50 $36.23 $38.04 $39.94 $2,628.83 $2,760.26 $2,898.28 $3,043.19 1$3,195.35 LANDSCAPE ARCHITECT 4480 PROF $35.81 $37.60 $39.48 $41.45 $43.52 $2,864.46 $3,007.69 1$3,158.07 $3,315.98 $3,481.77 LANDSCAPE INSPECTOR 6291 CVEA $27.32 $28.68 $30.12 $31.62 $33.21 $2,185.43 $2,294.70 $2,409.44 $2,529.91 $2,656.41 LANDSCAPE PLANNER I 4482 CVEA $28.21 $29.62 $31.10 $32.66 $34.29 $2,256.85 $2,369.70 $2,488.18 $2,612.59 $2,743.22 LANDSCAPE PLANNER II 4483 CVEA $31.031$32.58 $34.21 $35.92 $37.72 $2,482.54 $2,606.66 $2,737.00 $2,873.85 $3,017.54 LATENT PRINT EXAMINER 5111 CVEA $32.25 $33.87 $35.56 $37.34 $39.20 $2,580.29 $2,709.30 $2,844.77 $2,987.00 $3,136.35 LATENT PRINT EXAMINER HRLY 5112 UCHR $32.25 $33.87 $35.56 $37.34 $39.20 $2,580.29 $2,709.30 $2,844.76 1$2,987.00 $3,136.35 LAW OFFICE MANAGER 2465 MMUC $29.93 $31.43 $33.00 $34.65 $36.38 $2,394.47 $2,514.19 $2,639.91 $2,771.91 $2,910.50 LEAD CUSTODIAN 6663 CVEA $19.04 $20.00 $21.00 $22.05 $23.15 $1,523.56 $1,599.73 $1,679.72 $1,763.71 $1,851.89 LEGAL ASSISTANT 0183 CONF $23.89 $25.09 $26.34 $27.66 $29.04 $1,911.33 $2,006.89 $2,107.24 $2,212.60 $2,323.23 LIBRARIAN I 7075 CVEA $22.69 $23.82 $25.01 $26.261 $27.57 $1,814.80 $1,905.54 $2,000.82 $2,100.86 $2,205.91 LIBRARIAN I(HOURLY) 7076 1 UCHR 1$22.691$23.821$25.011$26.261 $27.57 $1,814.80 $1,905.54 1$2,000.82 $2,100.87 1$2,205.91 Approved and adopted: Res2lgfi3ftp,02 Agenda Packet Page 268 �vrf rnror Fiscal Year 2014-2015 Compensation Schedule 1-ft`,'CHUTA VISTA Effective June 27,2014 Hourly Rate Bi-Weekly Rate POSITION TITLE PCN BARG Step A Step B Step C Step D Step E Step A Step B Step C Step D Step E LIBRARIAN II 7073 CVEA $24.95 $26.20 $27.51 $28.89 $30.33 $1,996.29 $2,096.10 $2,200.91 $2,310.95 $2,426.50 LIBRARIAN II(HOURLY) 7074 UCHR $24.95 $26.20 $27.51 $28.89 $30.33 $1,996.29 $2,096.10 $2,200.91 $2,310.95 $2,426.50 LIBRARIAN III 7071 CVEA $27.45 $28.82 $30.26 $31.78 $33.36 $2,195.92 $2,305.71 $2,421.00 $2,542.05 $2,669.15 LIBRARY ADMIN COORDINATOR 7018 PROF $34.91 $36.65 $38.48 $40.41 $42.43 $2,792.40 $2,932.02 $3,078.62 $3,232.55 $3,394.18 LIBRARYAIDE 7181 UCHR 1$10.551$11.07 $11.631$12.21 $12.82 $843.66 1 $885.84 $930.14 $976.64 $1,025.47 LIBRARY ASSISTANT 7157 CVEA $16.32 $17.13 $17.99 $18.89 $19.83 $1,305.36 $1,370.63 $1,439.15 $1,511.11 $1,586.67 LIBRARY ASSOCIATE 7091 CVEA $20.62 $21.65 $22.74 $23.87 $25.07 $1,649.82 $1,732.31 $1,818.93 $1,909.88 $2,005.37 LIBRARY ASSOCIATE(HOURLY) 7092 UCHR $20.62 $21.65 $22.74 $23.87 $25.07 $1,649.82 $1,732.31 $1,818.93 $1,909.88 $2,005.37 LIBRARY DIGITAL SERVICES MGR 7025 MM $34.91 $36.65 $38.48 $40.41 $42.43 $2,792.40 $2,932.02 $3,078.62 $3,232.55 $3,394.18 LIBRARY OPERATIONS MANAGER 7029 MM $44.79 $47.02 $49.38 $51.84 $54.44 $3,582.80 $3,761.93 $3,950.03 1$4,147.54 $4,354.91 LIBRARY TECHNICIAN 7121 CVEA 1$18.76 $19.70 $20.69 $21.72 $22.81 $1,501.17 $1,576.23 $1,655.04 $1,737.79 $1,824.68 LIBRARY TECHNICIAN(HOURLY) 7122 UCHR $18.76 $19.70 $20.69 $21.72 $22.81 $1,501.17 $1,576.23 $1,655.04 $1,737.79 $1,824.68 LIBRARY VISITOR ASSISTANT 7185 UCHR $13.25 $13.92 $14.61 $15.34 $16.11 $1,060.32 $1,113.34 $1,169.01 $1,227.46 $1,288.83 LIFEGUARD 1 7587 UCHR $13.82 $14.52 $15.24 $16.00 $16.80 $1,105.96 $1,161.26 $1,219.33 $1,280.29 $1,344.31 LIFEGUARD 11 7585 UCHR $15.21 $15.97 $16.77 $17.60 $18.48 $1,216.59 $1,277.42 1$1,341.29 $1,408.36 $1,478.77 LITERACY&PROGRAMMING COORD 7034 MM $34.91 $36.65 $38.48 $40.41 $42.43 $2,792.40 $2,932.02 $3,078.62 $3,232.55 $3,394.18 LITERACY TEAM COORD 7036 PROF 1$30.35 $31.86 $33.46 $35.13 $36.89 $2,427.78 $2,549.16 $2,676.62 $2,810.45 $2,950.98 LOCKSMITH 6443 CVEA $23.84 $25.03 $26.28 $27.60 $28.98 $1,907.05 $2,002.41 $2,102.53 $2,207.65 $2,318.03 MAINTENANCE WORKER 1 6377 CVEA $17.31 $18.18 $19.09 $20.04 $21.04 $1,385.05 $1,454.30 $1,527.01 $1,603.36 $1,683.53 MAINTENANCE WORKER I(HRLY) 6379 UCHR $17.31 $18.18 $19.091$20.04 $21.04 $1,385.04 $1,454.30 $1,527.01 $1,603.36 $1,683.53 MAINTENANCE WORKER 11 6373 CVEA $19.04 $20.00 $21.00 $22.05 $23.15 $1,523.56 $1,599.73 1$1,679.72 $1,763.71 $1,851.89 MAINTENANCE WORKER 11 HRLY 6381 UCHR $19.04 $20.00 $21.00 $22.05 $23.15 $1,523.55 $1,599.74 $1,679.72 $1,763.70 $1,851.89 MANAGEMENT ANALYST 0225 CVEA $29.26 $30.72 $32.26 $33.87 $35.56 $2,340.68 $2,457.72 $2,580.60 $2,709.63 $2,845.12 MARKTNG&COMMUNCTNS MGR 2780 MMUC $41.07 $43.13 $45.28 $47.55 $49.92 $3,285.80 $3,450.09 $3,622.59 $3,803.72 $3,993.91 MARKTNG&COMMUNICATIONS MGR 2781 SM $52.07 -- 1$53.54 -- 1 $63.30 $4,165.96 $4,283.46 $5,063.75 MAYOR 2001 MY -- -- -- -- $58.58 $4,686.25 MECHANIC ASSISTANT 6550 CVEA $19.02 $19.97 $20.97 $22.02 $23.12 $1,521.83 $1,597.92 $1,677.82 $1,761.71 $1,849.79 MUSEUM ATTENDANT 7215 UCHR $10.94 $11.49 $12.06 $12.67 $13.30 $875.38 $919.15 $965.11 $1,013.36 $1,064.02 OFFICE SPECIALIST 0161 CVEA $16.84 $17.69 $18.57 $19.50 $20.47 $1,347.46 $1,414.84 $1,485.58 $1,559.86 $1,637.83 OFFICE SPECIALIST(HOURLY) 0160 UCHR $16.84 $17.69 $18.57 $19.50 $20.47 $1,347.46 $1,414.84 $1,485.58 $1,559.86 $1,637.82 OFFICE SPECIALIST(MYR/@WILL) 0162 CVEA $16.84 $17.69 $18.57 $19.50 $20.47 $1,347.47 $1,414.84 $1,485.58 $1,559.86 $1,637.82 OFFICE SPECIALIST(MYR/AW/HR) 0156 UCHR $16.84 $17.69 $18.57 $19.50 $20.47 $1,347.47 $1,414.84 1$1,485.58 $1,559.86 $1,637.82 OPEN SPACE COORD 6301 MM $32.61 $34.24 $35.95 $37.75 $39.64 $2,608.80 $2,739.24 $2,876.20 $3,020.01 $3,171.02 OPEN SPACE INSPECTOR 6311 CVEA $27.32 $28.68 $30.12 $31.62 $33.21 $2,185.43 $2,294.70 $2,409.44 $2,529.91 $2,656.41 OPEN SPACE MANAGER 6302 MM $35.96 $37.76 $39.65 $41.63 $43.71 $2,876.83 $3,020.67 $3,171.70 $3,330.29 $3,496.80 OPS&TELECOM MGR 3025 MM $40.15 $42.16 $44.27 $46.48 $48.81 $3,212.37 $3,372.99 $3,541.64 $3,718.72 $3,904.66 PAINTER 6434 CVEA $22.75 $23.891$25.09 $26.341 $27.66 $1,820.37 $1,911.39 $2,006.96 $2,107.31 $2,212.68 PARK RANGER 7434 UCHR $13.25 $13.91 $14.61 $15.34 $16.10 $1,059.90 1$1,112.89 $1,168.53 $1,226.96 $1,288.31 PARK RANGER SUPERVISOR 7441 CVEA $29.03 $30.48 $32.00 $33.60 $35.28 $2,322.07 $2,438.31 $2,560.22 $2,688.23 $2,822.64 PARKING CONTROL OFFICER 5151 CVEA $17.02 $17.87 $18.77 $19.71 $20.69 $1,361.89 $1,429.98 $1,501.48 $1,576.55 $1,655.38 PARKING ENFORCEMENT OFFICER 5154 CVEA $17.02 $17.87 $18.77 $19.71 $20.69 $1,361.89 $1,429.98 $1,501.48 $1,576.55 $1,655.38 PARKING METER TECH(HOURLY) 3694 UCHR $18.73 $19.66 $20.65 $21.68 $22.76 $1,498.08 $1,572.98 $1,651.62 $1,734.21 $1,820.92 PARKING METER TECHNICIAN 3693 CVEA $18.73 $19.661$20.65 $21.68 $22.76 $1,498.08 $1,572.98 $1,651.62 $1,734.20 $1,820.92 PARKS MANAGER 6604 MM $35.26 $37.03 $38.88 $40.82 $42.86 $2,820.97 $2,962.02 $3,110.11 $3,265.62 $3,428.90 PARKS OPERATIONS MANAGER 6610 MM $44.53 $46.76 $49.10 $51.55 $54.13 $3,562.60 $3,740.73 $3,927.77 $4,124.15 $4,330.36 PARKS SUPERVISOR 6605 CVEA $29.03 $30.48 $32.00 $33.60 $35.28 $2,322.20 $2,438.31 $2,560.22 $2,688.23 $2,822.65 PEACE OFFICER 5061 POA $32.33 $33.95 $35.65 $37.43 $39.30 $2,586.52 $2,715.84 $2,851.64 $2,994.22 $3,143.93 PERFORMANCE&ORG DEV MGR 2758 SM $49.68 -- -- -- $59.61 $3,974.30 $4,769.12 PERMITS PROCESSING SUPERVISOR 4719 MM $32.99 $34.64 $36.37 $38.19 $40.10 $2,639.43 $2,771.41 1$2,909.98 $3,055.48 $3,208.25 PERSONNEL TECHNICIAN 3341 CONF $21.98 $23.08 $24.23 $25.45 $26.72 $1,758.45 $1,846.37 $1,938.69 $2,035.62 $2,137.40 PLAN CHECK SUPERVISOR 4731 MM $43.85 $46.05 $48.35 $50.77 $53.31 $3,508.37 $3,683.79 $3,867.98 $4,061.38 $4,264.45 PLANNING MANAGER 4727 SM $51.31 -- -- -- $61.90 $4,105.18 $4,952.25 PLANNING TECHNICIAN 4527 CVEA $21.47 $22.54 $23.67 $24.85 $26.10 $1,717.58 $1,803.45 $1,893.63 $1,988.31 $2,087.72 PLANS EXAMINER HOURLY 4744 UCHR $37.69 $39.58 $41.56 $43.63 $45.82 $3,015.46 $3,166.23 $3,324.54 $3,490.77 $3,665.31 PLUMBER 6432 CVEA $25.03 $26.28 $27.60 $28.98 $30.42 $2,002.41 $2,102.53 $2,207.65 $2,318.03 $2,433.94 POLICE ADMIN SERVICES ADMINISTRATOR 5025 SM $50.24 -- -- -- $61.07 $4,019.29 $4,885.47 POLICE AGENT 5051 POA 1$35.60 $37.381$39.25 $41.211 $43.27 $2,848.18 $2,990.58 $3,140.11 $3,297.12 $3,461.97 POLICE CADET 5427 UCHR $11.22 $11.78 $12.37 $12.98 $13.63 $897.24 $942.10 $989.20 $1,038.66 $1,090.60 POLICE CAPTAIN 5022 SM $61.93 -- -- -- $75.27 $4,954.10 -- -- -- $6,021.74 POLICE COMM REL SPECIALIST 5258 CVEA $21.98 $23.08 $24.24 $25.45 $26.72 $1,758.57 $1,846.51 1$1,938.83 $2,035.78 $2,137.56 POLICE COMM SYSTEMS MANAGER 5185 MM $39.76 $41.75 $43.83 $46.02 $48.33 $3,180.63 $3,339.65 1$3,506.64 $3,681.96 $3,866.07 POLICE DATA SPECIALIST 01631 CVEA $16.84 $17.69 $18.57 $19.50 $20.47 E$1,347.46 1$1,414.84 1$1,485.58 1$1,559.86 1$1,637.85 Approved and adopted: Res2lgfi3j,tp,02 Agenda Packet Page 269 �vrf rnror Fiscal Year 2014-2015 Compensation Schedule 1-ft`,'CHUTA VISTA Effective June 27,2014 Hourly Rate Bi-Weekly Rate POSITION TITLE PCN BARG Step A Step B Step C Step D Step E Step A Step B Step C Step D Step E POLICE DISPATCHER 5181 CVEA $25.28 $26.54 $27.87 $29.26 $30.73 $2,022.25 $2,123.36 $2,229.53 $2,341.01 $2,458.06 POLICE DISPATCHER(HOURLY) 5180 UCHR $25.28 $26.54 $27.87 $29.26 $30.73 $2,022.25 $2,123.37 $2,229.53 $2,341.01 $2,458.06 POLICE DISPATCHER SUPERVISOR 5183 CVEA $29.07 $30.52 $32.05 $33.65 $35.33 $2,325.59 $2,441.86 $2,563.96 $2,692.16 $2,826.76 POLICE DISPATCHER TRAINEE 5179 CVEA $22.98 $24.13 $25.34 $26.60 $27.93 $1,838.41 $1,930.33 $2,026.84 $2,128.19 $2,234.60 POLICE LIEUTENANT 5031 POA $49.15 $51.60 $54.19 $56.89 $59.74 $3,931.80 $4,128.39 $4,334.81 $4,551.55 $4,779.13 POLICE REC&SUPPORTSUPV 5203 CVEA $22.28 $23.39 $24.56 $25.79 $27.08 $1,782.02 $1,871.12 $1,964.67 $2,062.91 $2,166.06 POLICE REC TRANSCRIPT(HRLY) 0168 UCHR $16.84 $17.69 $18.57 $19.50 $20.47 $1,347.46 $1,414.84 $1,485.58 $1,559.86 $1,637.85 POLICE RECORDS SPEC(HOURLY) 0166 UCHR $16.84 $17.69 $18.57 $19.50 $20.47 $1,347.46 $1,414.84 $1,485.58 $1,559.86 $1,637.85 POLICE RECORDS SPECIALIST 0165 CVEA $16.84 $17.69 $18.57 $19.50 $20.47 $1,347.46 $1,414.84 $1,485.58 $1,559.86 $1,637.85 POLICE RECORDS TRANSCRIPTION 0167 CVEA $16.84 $17.69 $18.57 $19.50 $20.47 $1,347.46 $1,414.84 $1,485.58 $1,559.86 $1,637.85 POLICE RECRUIT 5071 CVEA $24.79 $26.03 -- -- -- $1,983.34 $2,082.51 POLICE SERGEANT 5041 POA $40.95 $43.00 $45.15 $47.41 $49.78 $3,276.25 $3,440.07 $3,612.07 $3,792.67 $3,982.31 POLICE SERVICES OFF(HOURLY) 5133 UCHR $22.66 $23.79 $24.98 $26.23 $27.54 $1,812.67 $1,903.30 $1,998.46 $2,098.38 $2,203.31 POLICE SERVICES OFFICER 5131 CVEA $22.66 $23.79 $24.98 $26.23 $27.54 $1,812.66 $1,903.30 $1,998.46 $2,098.38 $2,203.31 POLICE SERVICES TECHNICIAN 5415 CVEA $21.62 $22.70 $23.83 $25.02 $26.28 $1,729.36 $1,815.82 $1,906.61 $2,001.95 $2,102.04 POLICE SUPPORT SERVICES MGR 5205 MM $33.66 $35.35 $37.11 $38.97 $40.92 $2,692.98 $2,827.63 $2,969.01 $3,117.46 $3,273.33 POLICE SVCS OFFICER SUPERVISOR 5132 CVEA $26.06 $27.37 $28.73 $30.16 $31.67 $2,084.56 $2,189.83 $2,298.22 $2,413.14 $2,533.79 POLICE SVCS TECH(HOURLY) 5416 UCHR $21.62 $22.70 $23.83 $25.02 $26.28 $1,729.36 $1,815.82 $1,906.61 $2,001.95 $2,102.04 POLICE TECHNOLOGY SPECIALIST 5107 CVEA $34.17 $35.88 $37.68 $39.56 $41.54 $2,733.98 $2,870.67 $3,014.20 $3,164.93 $3,323.17 POLICE TRAINING&DEV SUPV 5264 PROF $33.13 $34.78 $36.52 $38.35 $40.27 $2,650.24 $2,782.75 $2,921.90 $3,067.99 $3,221.39 POLICY AIDE 2013 PRUC $23.66 $24.84 $26.08 $27.39 $28.76 $1,892.59 $1,987.22 $2,086.58 $2,190.91 $2,300.45 PRINCIPAL CIVIL ENGINEER 6021 MM 1$47.93 $50.33 $52.85 $55.49 $58.26 $3,834.56 $4,026.29 $4,227.60 $4,438.98 $4,660.94 PRINCIPAL ECONOMIC DEV SPEC 2724 PROF $42.97 $45.12 $47.37 $49.74 $52.23 $3,437.36 $3,609.23 $3,789.69 $3,979.17 $4,178.13 PRINCIPAL HR ANALYST 3306 PRCF $36.80 $38.64 $40.57 $42.601 $44.73 $2,944.14 $3,091.35 $3,245.92 $3,408.21 $3,578.63 PRINCIPAL LANDSCAPE ARCHITECT 4486 MM $42.72 $44.86 $47.10 $49.46 $51.93 $3,417.89 $3,588.78 1$3,768.22 $3,956.63 $4,154.46 PRINCIPAL LIBRARIAN 7051 MM $34.91 $36.65 $38.48 $40.41 $42.43 $2,792.40 $2,932.02 $3,078.62 $3,232.55 $3,394.18 PRINCIPAL MANAGEMENT ANALYST 0208 PROF $37.16 $39.02 $40.97 $43.02 $45.17 $2,973.00 $3,121.66 $3,277.74 $3,441.62 $3,613.71 PRINCIPAL MGMT ANALYST(CONF) 0214 PRCF $37.16 $39.02 $40.97 $43.02 $45.17 $2,973.00 $3,121.66 $3,277.74 $3,441.62 $3,613.71 PRINCIPAL MGT ANALYST(HOURLY) 0200 UCHR $36.05 $38.26 $40.181$42.18 $44.29 $2,883.75 $3,061.04 $3,214.09 $3,374.79 $3,543.54 PRINCIPAL MGT ANALYST(INTERIM) 0212 PROF $36.76 $39.02 $40.97 $43.02 $45.17 $2,940.86 $3,121.66 $3,277.74 $3,441.62 $3,613.71 PRINCIPAL PLANNER 4431 MM $42.97 $45.12 $47.37 $49.74 $52.23 $3,437.36 $3,609.23 1$3,789.69 $3,979.17 $4,178.13 PRINCIPAL PROJECT COORDINATOR 4212 PROF $42.97 $45.12 $47.37 $49.74 $52.23 $3,437.36 $3,609.23 $3,789.69 $3,979.17 $4,178.13 PRINCIPAL RECREATION MANAGER 7410 MM 1$36.23 $38.04 $39.95 $41.94 $44.04 $2,898.54 $3,043.46 $3,195.64 $3,355.42 $3,523.19 PRINCIPAL REVENUE ANALYST 3608 PROF $32.48 $34.10 $35.81 $37.60 $39.48 $2,598.44 $2,728.36 $2,864.78 $3,008.02 $3,158.42 PROCUREMENT SPECIALIST 3721 CVEA $26.56 $27.89 $29.28 $30.75 $32.29 $2,124.87 $2,231.12 $2,342.67 $2,459.81 $2,582.80 PROGRAMMER ANALYST 3090 PROF $32.53 $34.16 $35.87 $37.661 $39.54 $2,602.54 $2,732.67 $2,869.30 $3,012.76 $3,163.40 PROJECT COORDINATOR 4217 CVEA $28.21 $29.62 $31.10 $32.66 $34.29 $2,256.86 $2,369.69 1$2,488.18 $2,612.58 $2,743.21 PROJECT COORDINATOR I(HRLY) 4218 UCHR $28.21 $29.62 $31.10 $32.66 $34.29 $2,256.86 $2,369.69 $2,488.18 $2,612.58 $2,743.22 PROJECT COORDINATOR II 4215 CVEA 1$31.03 $32.58 $34.21 $35.92 $37.72 $2,482.54 $2,606.66 $2,736.99 $2,873.85 $3,017.54 PROJECT COORDINATOR II(HRLY) 4216 UCHR $31.03 $32.58 $34.21 $35.92 $37.72 $2,482.54 $2,606.66 $2,736.99 $2,873.85 $3,017.54 PUB WORKSSPECIALIST 6712 CVEA $21.78 $22.86 $24.01 $25.21 $26.47 $1,742.01 $1,829.11 $1,920.56 $2,016.59 $2,117.42 PUBLIC INFO OFFICER(HRLY) 5032 UCHR $35.72 $37.50 $39.38 $41.341 $43.41 $2,857.23 $3,000.09 $3,150.09 $3,307.59 $3,472.98 PUBLIC INFO OFFICER(PD) 5034 PROF $35.72 $37.50 $39.38 $41.35 $43.41 $2,857.23 $3,000.09 1$3,150.09 $3,307.60 $3,472.98 PUBLIC INFORMATION SPECIALIST 2782 CONF $23.89 $25.09 $26.34 $27.66 $29.04 $1,911.33 $2,006.89 $2,107.24 $2,212.60 $2,323.23 PUBLIC SAFETY ANALYST 5254 CVEA $29.26 $30.72 $32.26 $33.87 $35.56 $2,340.69 $2,457.72 $2,580.61 $2,709.64 $2,845.12 PUBLIC SAFETY ANALYST(HRLY) 5256 UCHR $29.26 $30.72 $32.26 $33.87 $35.56 $2,340.69 $2,457.72 $2,580.61 $2,709.64 $2,845.12 PUBLIC WORKS COORDINATOR 6324 PROF $32.48 $34.101$35.81 $37.60 $39.48 $2,598.44 $2,728.36 $2,864.78 $3,008.02 $3,158.42 PUBLIC WORKS INSP 1 6123 CVEA $27.32 $28.68 $30.12 $31.62 $33.21 $2,185.43 $2,294.70 $2,409.44 $2,529.91 $2,656.41 PUBLIC WORKS INSP 11 6121 CVEA $30.05 $31.55 $33.13 $34.79 $36.53 $2,403.97 $2,524.17 $2,650.38 $2,782.90 $2,922.05 PUBLIC WORKS MANAGER 6336 MM 1$35.96 $37.76 $39.65 $41.63 $43.71 $2,876.83 $3,020.67 $3,171.70 $3,330.29 $3,496.80 PUBLIC WORKS SUPERVISOR 6337 CVEA $29.03 $30.48 $32.00 $33.60 $35.28 $2,322.20 $2,438.31 $2,560.22 $2,688.23 $2,822.65 PUMP MAINTTECHNICIAN 6396 CVEA $24.80 $26.04 $27.341$28.71 $30.14 $1,983.87 $2,083.06 $2,187.22 $2,296.58 $2,411.41 PUMP MAINTENANCE SUPERVISOR 6392 CVEA $29.06 $30.51 $32.04 $33.64 $35.32 $2,324.89 $2,441.14 $2,563.20 $2,691.35 $2,825.92 PURCHASING AGENT 3711 SM $45.47 -- -- -- $55.27 $3,637.89 $4,421.88 RANGE MASTER 5417 CVEA $20.60 $21.63 $22.71 $23.85 $25.04 $1,647.88 $1,730.28 $1,816.79 $1,907.63 $2,003.01 RANGE MASTER(HOURLY) 5418 UCHR $20.60 $21.63 $22.71 $23.85 $25.04 $1,647.88 $1,730.27 $1,816.79 $1,907.63 $2,003.01 RCFL NETWORK ENGINEER 5450 UCHR $31.93 $33.53 $35.20 $36.96 $38.81 $2,554.37 $2,682.08 $2,816.19 $2,956.99 $3,104.84 REAL PROPERTY MANAGER 6037 MMUC 1$41.68 $43.76 $45.95 $48.25 $50.66 $3,334.40 $3,501.12 $3,676.17 $3,859.98 $4,052.98 RECAIDE 7605 UCHR $9.55 $10.03 $10.53 $11.06 $11.61 $764.21 $802.42 $842.54 $884.67 $928.90 REC SPECIALIST 7601 UCHR $15.10 $15.86 $16.65 $17.48 $18.36 $1,208.09 $1,268.50 $1,331.92 $1,398.52 $1,468.44 REC SUPERVISOR I(HOURLY) 7426 UCHR $21.87 $22.96 $24.11 $25.31 $26.58 $1,749.42 1$1,836.90 1$1,928.74 $2,025.18 $2,126.44 RECORDS MANAGER 2211 MM $30.95 $32.50 $34.131$35.83 1 $37.62 $2,476.26 1$2,600.08 1$2,730.09 $2,866.59 $3,009.92 Approved and adopted: Res2lgfi3j,tp,02 Agenda Packet Page 270 �vrf rnror Fiscal Year 2014-2015 Compensation Schedule 1-ft`,'CHUTA VISTA Effective June 27,2014 Hourly Rate Bi-Weekly Rate OSITION TITLE PCN BARG Step A Step B Step C Step D Step E L Step A Step B Step C Step D Step E RECORDS SPECIALIST 2217 CVEA $18.53 $19.45 $20.43 $21.45 $22.52 $1,482.22 $1,556.33 $1,634.14 $1,715.85 $1,801.64 RECREATION LEADER I 7609 UCHR $10.94 $11.49 $12.06 $12.67 $13.30 $875.38 $919.15 $965.08 $1,013.36 $1,064.02 RECREATION LEADER II 7607 UCHR $12.58 $13.21 $13.87 $14.56 $15.29 $1,006.13 $1,056.44 $1,109.27 $1,164.73 $1,222.97 RECREATION SUPERVISOR 1 7425 CVEA $21.87 $22.96 $24.11 $25.31 $26.58 $1,749.42 $1,836.89 $1,928.74 $2,025.18 $2,126.43 RECREATION SUPERVISOR 11 7423 CVEA $24.05 1$25.26 $26.52 $27.85 $29.24 $1,924.37 $2,020.58 $2,121.61 1$2,227.69 $2,339.08 RECREATION SUPERVISOR 111 7422 CVEA $27.66 $29.05 $30.50 $32.02 $33.62 $2,213.02 $2,323.67 $2,439.87 $2,561.86 $2,689.95 RECYCLING SPECIALIST 1 2742 CVEA $21.57 $22.65 $23.78 $24.97 $26.22 $1,725.70 $1,811.99 $1,902.59 $1,997.72 $2,097.61 RECYCLING SPECIALIST 11 2744 CVEA $23.73 $24.91 $26.16 $27.47 $28.84 $1,898.28 $1,993.19 $2,092.86 $2,197.50 $2,307.38 REDEVELOPMENT MANAGER 4045 SM $46.78 -- -- -- $56.86 $3,742.50 $4,549.02 REDEVLP COORDINATOR 4042 PROF $44.86 $47.10 $49.46 $51.93 $54.53 $3,588.78 $3,768.22 $3,956.63 $4,154.47 $4,362.19 REGISTERED VETTECH(HOURLY) 5312 UCHR 1$20.60 $21.63 $22.71 $23.85 $25.04 $1,647.88 $1,730.27 $1,816.79 1$1,907.63 $2,003.01 REGISTERED VETERINARY TECH 5307 CVEA $20.60 $21.63 $22.71 $23.85 $25.04 $1,647.88 $1,730.28 $1,816.79 $1,907.63 $2,003.01 RESERVE OFFICER 5081 UCHR $14.24 $14.95 $15.69 -- -- $1,139.42 $1,195.85 $1,255.53 REVENUE&RECOVERY MANAGER 3680 PROF $32.48 $34.10 $35.81 $37.60 $39.48 $2,598.44 $2,728.36 $2,864.78 $3,008.02 $3,158.42 RISK ANALYST 3380 PROF $24.63 $25.87 $27.16 $28.52 $29.94 $1,970.72 $2,069.26 $2,172.72 $2,281.36 $2,395.42 RISK MANAGEMENT SPECIALIST 3386 PROF $28.81 $30.25 $31.76 $33.35 $35.02 $2,304.56 $2,419.78 1$2,540.78 $2,667.82 $2,801.21 RISK MANAGER 3361 SM $45.93 -- -- -- $55.83 $3,674.27 -- -- -- $4,466.10 SCHOOL CROSSING GUARD 5143 UCHR $10.05 $10.55 $11.08 $11.64 $12.22 $804.19 $844.39 $886.62 $930.94 $977.49 SEASONAL ASSISTANT 0231 UCHR $9.55 $10.03 $10.53 $11.06 $11.61 $764.21 $802.42 $842.54 $884.67 $928.90 SECRETARY 0171 CVEA $18.53 $19.45 $20.43 $21.45 $22.52 $1,482.21 $1,556.32 $1,634.14 $1,715.85 $1,801.64 SECRETARY(HOURLY) 0152 UCHR $18.53 $19.45 $20.43 $21.45 $22.52 $1,482.21 $1,556.32 $1,634.14 $1,715.85 $1,801.64 SENIOR POLICE TECHNOLOGY SPECIALIST 5109 CVEA 1$39.30 $41.27 $43.33 $45.50 $47.77 $3,144.08 $3,301.28 1$3,466.35 $3,639.67 $3,821.65 SIGNAL SYSTEMS ENGINEER 1 6169 CVEA $31.41 $32.98 $34.63 $36.36 $38.17 $2,512.48 $2,638.11 $2,770.01 $2,908.52 $3,053.94 SIGNAL SYSTEMS ENGINEER II 6170 CVEA $34.55 $36.27 $38.09 $39.99 $41.99 $2,763.74 $2,901.92 $3,047.02 $3,199.37 $3,359.33 SIGNING&STRIPING SUPERVISOR 6355 CVEA $29.03 $30.48 $32.00 $33.60 $35.28 $2,322.20 $2,438.31 $2,560.22 $2,688.23 $2,822.65 SPECIAL EVENTS COORDINATOR 2799 PRUC $35.72 $37.50 $39.38 $41.34 $43.41 $2,857.23 $3,000.09 $3,150.09 $3,307.59 $3,472.98 SPECIAL EVENTS PLANNER 2762 PROF $32.36 $33.98 $35.68 $37.46 $39.34 $2,588.92 $2,718.37 $2,854.28 $2,997.00 $3,146.84 SPECIAL PLANNING PROJ MGR 4101 SM $42.88 -- -- -- $52.13 $3,430.78 -- I -- -- $4,170.14 SRACCOUNTANT 3630 MMCF $38.07 $39.97 $41.97 $44.071 $46.27 $3,045.44 $3,197.71 $3,357.60 $3,525.48 $3,701.75 SR ACCOUNTING ASST 3651 CVEA $22.02 $23.12 $24.27 $25.49 $26.76 $1,761.22 $1,849.29 $1,941.75 $2,038.84 $2,140.78 SR ADMINISTRATIVE SECRETARY 0145 CONF $26.02 $27.32 $28.69 $30.13 $31.63 $2,081.85 $2,185.94 $2,295.24 $2,410.00 $2,530.50 SR ADM IN ISTRATIVE SECRETA RY 0185 CVEA $26.02 $27.32 $28.69 $30.13 $31.63 $2,081.85 $2,185.94 $2,295.24 $2,410.00 $2,530.50 SR ANIMAL CARE SPECIALIST 5345 CVEA 1$19.74 $20.73 $21.76 $22.85 $23.99 $1,579.22 $1,658.18 $1,741.09 $1,828.14 $1,919.54 SR APPLICATIONS SUPPORTSPEC 3089 PROF $36.15 $37.95 $39.85 $41.84 $43.94 $2,891.71 $3,036.30 $3,188.11 $3,347.52 $3,514.89 SR ASST CITY ATTORNEY 2403 EXEC $71.43 -- -- -- $86.83 $5,714.52 $6,946.05 SR BENEFITS TECHNICIAN 3403 CONF $25.45 $26.72 $28.06 $29.46 $30.93 $2,035.87 $2,137.66 $2,244.55 $2,356.78 $2,474.61 SR BUILDING INSPECTOR 4781 CVEA $34.56 $36.29 $38.10 $40.00 $42.00 $2,764.57 $2,902.80 $3,047.93 $3,200.33 $3,360.35 SR BUSINESS LICENSE REP 4507 CVEA $22.02 $23.12 $24.27 $25.49 $26.76 $1,761.22 $1,849.29 $1,941.75 1$2,038.84 $2,140.78 SR CIVIL ENGINEER 6019 WCE $43.35 $45.51 $47.79 $50.18 $52.69 $3,467.77 $3,641.17 $3,823.23 $4,014.39 1$4,215.10 SR CODE ENF OFF(HOURLY) 4764 UCHR $33.02 $34.67 $36.40 $38.221 $40.13 $2,641.45 $2,773.54 $2,912.21 $3,057.82 $3,210.71 SR CODE ENFORCEMENT OFF 4763 CVEA $33.02 $34.67 $36.40 $38.22 $40.13 $2,641.46 $2,773.53 $2,912.21 $3,057.82 $3,210.71 SR COUNCIL ASST 2027 CONF $16.05 $16.86 $17.70 $18.58 $19.51 $1,284.24 $1,348.45 $1,415.87 $1,486.67 $1,561.00 SR COUNCIL ASST 2025 UCHR $25.45 $26.73 $28.06 $29.47 $30.94 $2,036.31 $2,138.13 1$2,245.03 $2,357.28 $2,475.15 SR DEPUTY CITY CLERK 2208 PRUC $30.93 $32.47 $34.10 $35.80 $37.59 $2,474.12 $2,597.83 $2,727.72 $2,864.10 $3,007.31 SR ECONOMIC DEV SPEC 2725 PROF $28.24 $29.66 $31.14 $32.69 $34.33 $2,259.44 $2,372.42 $2,491.04 $2,615.59 $2,746.37 SR EDUC SERVICES SUPERVISOR 7457 CVEA $27.66 $29.05 $30.50 $32.02 $33.62 $2,213.02 $2,323.67 $2,439.87 $2,561.86 $2,689.95 SR ELECTRICIAN 6442 CVEA $28.78 $30.22 $31.74 $33.32 $34.99 $2,302.77 $2,417.91 $2,538.81 $2,665.75 $2,799.03 SR ENGINEERING TECHNICIAN 6059 CVEA $30.05 $31.55 $33.13 $34.79 $36.53 $2,403.97 $2,524.17 $2,650.38 $2,782.90 $2,922.05 SR EQUIPMENT MAINTENANCE SUPV 6503 MM 1$31.06 $32.61 $34.24 $35.95 $37.75 $2,484.57 $2,608.80 $2,739.24 $2,876.20 $3,020.01 SR EQUIPMENT MECHANIC 6512 CVEA $27.16 $28.52 $29.95 $31.44 $33.02 $2,173.00 $2,281.66 $2,395.74 $2,515.52 $2,641.30 SR EVIDENCE CONTROL ASST 5119 CVEA $21.53 $22.61 $23.74 $24.93 $26.18 $1,722.79 $1,808.93 $1,899.37 $1,994.35 $2,094.06 SR FIRE INSP/INVEST 5529 IAFF $34.381$36.10 $37.91 $39.80 $41.79 $2,750.61 $2,888.15 $3,032.55 $3,184.17 $3,343.39 SR FISCAL OFFICE SPECIALIST 0141 CONF $19.45 $20.43 $21.45 $22.52 $23.65 $1,556.32 $1,634.14 $1,715.85 $1,801.64 $1,891.72 SR FISCAL OFFICE SPECIALIST 0175 CVEA $19.45 $20.43 $21.45 $22.52 $23.65 $1,556.32 $1,634.14 1$1,715.85 $1,801.64 $1,891.72 SR GARDENER 6621 CVEA $22.85 $24.00 $25.20 $26.46 $27.78 $1,828.27 $1,919.68 $2,015.67 $2,116.45 $2,222.28 SR GIS SPECIALIST 3080 CVEA $31.07 $32.62 $34.25 $35.97 $37.76 $2,485.44 $2,609.71 $2,740.19 $2,877.20 $3,021.06 SR GRAPHIC DESIGNER 2764 PROF 1$32.36 $33.981$35.68 $37.461 $39.34 $2,588.92 $2,718.37 $2,854.28 $2,997.00 $3,146.84 SR HR ANALYST 3308 PRCF $33.46 $35.13 $36.89 $38.73 $40.67 $2,676.48 $2,810.30 $2,950.83 $3,098.37 $3,253.28 SR HUMAN RESOURCES TECHNICIAN 3316 CONF $25.85 $27.14 $28.50 $29.92 $31.42 $2,067.88 $2,171.28 $2,279.83 $2,393.84 1$2,513.52 SR HVAC TECHNICIAN 6441 CVEA $28.78 $30.22 $31.74 $33.32 $34.99 $2,302.77 $2,417.91 $2,538.81 $2,665.75 $2,799.03 SRINFOTECHSUPPORTSPEC 3012 PROF $36.15 $37.95 $39.85 $41.84 $43.94 $2,891.71 1$3,036.30 1$3,188.11 $3,347.52 $3,514.89 SR LAND SURVEYOR 6285 WCE $43.35 $45.51 $47.79 $50.18 $52.69 E$3,467.77 1$3,641.16 1$3,823.22 $4,014.38 $4,215.10 Approved and adopted: Res2lgfi3j,tp,02 Agenda Packet Page 271 �vrf rnror Fiscal Year 2014-2015 Compensation Schedule 1-ft`CHUTA VISTA Effective June 27,2014 Hourly Rate Bi-Weekly Rate POSITION TITLE PCN BARG Step A Step B Step C Step D Step E 0 Step A Step B Step C Step D Step E SR LANDSCAPE INSPECTOR 6295 CVEA $31.42 $32.99 $34.64 $36.37 $38.19 $2,513.25 $2,638.91 $2,770.86 $2,909.40 $3,054.87 SR LEGAL ASSISTANT 2463 CONF $26.28 $27.59 $28.97 $30.42 $31.94 $2,102.46 $2,207.59 $2,317.97 $2,433.86 $2,555.56 SR LIBRARIAN 7053 MM $30.35 $31.87 $33.46 $35.14 $36.89 $2,428.18 $2,549.59 $2,677.07 $2,810.92 $2,951.47 SR LIFEGUARD 7589 UCHR $16.72 $17.55 $18.43 $19.35 $20.32 $1,337.40 $1,404.27 $1,474.48 $1,548.21 $1,625.62 SR MAINTENANCE WORKER 6371 CVEA 1$22.85 1$24.00 $25.20 $26.46 $27.78 $1,828.27 $1,919.68 $2,015.67 1$2,116.45 $2,222.28 SR MANAGEMENT ANALYST 0206 PROF $33.78 $35.47 $37.25 $39.11 $41.06 $2,702.72 $2,837.86 $2,979.76 $3,128.74 $3,285.18 SR MANAGEMENT ANALYST(HOURLY) 0210 UCHR $33.78 $35.47 $37.25 $39.11 $41.06 $2,702.72 $2,837.85 $2,979.76 $3,128.74 $3,285.18 SR OFFICE SPECIALIST 0173 CVEA $18.53 $19.45 $20.43 $21.45 $22.52 $1,482.21 $1,556.32 $1,634.14 $1,715.85 $1,801.64 SR OFFICE SPECIALIST(HOURLY) 0174 UCHR $18.53 $19.45 $20.43 $21.451 $22.52 $1,482.21 $1,556.32 $1,634.14 $1,715.85 $1,801.64 SR OPEN SPACE INSPECTOR 6309 CVEA $31.42 $32.99 $34.64 $36.37 $38.19 $2,513.25 $2,638.91 1$2,770.86 $2,909.40 $3,054.87 SR PARK RANGER 7439 CVEA 1$22.85 $24.00 $25.20 $26.46 $27.78 $1,828.27 $1,919.68 $2,015.67 $2,116.46 $2,222.27 SR PLAN CHECK ENGINEER 4745 WCE $41.46 $43.54 $45.71 $48.00 $50.40 $3,317.01 $3,482.86 $3,657.00 $3,839.85 $4,031.84 SR PLANNER 4432 PROF $35.81 $37.60 $39.48 $41.45 $43.52 $2,864.46 $3,007.69 $3,158.07 $3,315.98 $3,481.77 SR PLANNING TECHNICIAN 4529 CVEA $24.69 $25.92 $27.22 $28.58 $30.01 $1,975.21 $2,073.97 $2,177.67 $2,286.55 $2,400.88 SR POLICE DATA SPECIALIST 0164 CVEA $19.37 $20.34 $21.36 1$22.42 $23.54 $1,549.59 $1,627.07 $1,708.42 $1,793.84 $1,883.54 SR PROCUREMENT SPECIALIST 3728 PROF $29.37 $30.84 $32.38 $34.00 $35.70 $2,349.62 $2,467.10 1$2,590.46 $2,719.98 $2,855.98 SR PROGRAMMER ANALYST 3091 PROF $36.50 $38.33 $40.25 $42.26 $44.37 $2,920.34 $3,066.36 $3,219.68 $3,380.66 $3,549.69 SR PROJECT COORDINATOR 4214 PROF $35.81 $37.60 $39.48 $41.45 $43.52 $2,864.47 $3,007.69 $3,158.07 $3,315.97 $3,481.78 SR PUBLIC SAFETY ANALYST 5260 PROF $32.35 $33.97 $35.67 $37.45 $39.33 $2,588.26 $2,717.67 $2,853.56 $2,996.23 $3,146.05 SR PUBLIC WORKS INSP 6101 CVEA $34.56 $36.29 $38.10 $40.00 $42.00 $2,764.57 $2,902.80 $3,047.94 $3,200.33 $3,360.35 SR PUBLIC WORKS SPECIALIST 6702 CVEA $26.13 $27.44 $28.81 $30.25 $31.76 $2,090.41 $2,194.93 $2,304.68 $2,419.91 $2,540.91 SR RECORDS SPECIALIST 2215 CVEA $21.31 $22.37 $23.49 $24.67 $25.90 $1,704.54 $1,789.77 $1,879.26 $1,973.23 $2,071.89 SR RECREATION MGR 7421 MM $31.20 $32.76 $34.39 $36.11 $37.92 $2,495.76 $2,620.54 $2,751.57 $2,889.15 $3,033.61 SR RISK MANAGEMENT SPECIALIST 3385 PROF $33.46 $35.13 $36.89 $38.73 $40.67 $2,676.48 $2,810.30 $2,950.83 $3,098.37 $3,253.28 SR SECRETARY 0139 CONF $20.38 $21.40 $22.47 $23.59 $24.77 $1,630.43 $1,711.95 $1,797.55 $1,887.43 $1,981.80 SR SECRETARY 0177 CVEA $20.38 $21.40 $22.47 $23.59 $24.77 $1,630.43 $1,711.95 $1,797.55 $1,887.43 $1,981.80 SR SECRETARY(HOURLY) 0178 UCHR 1$20.38 $21.40 $22.47 $23.59 $24.77 $1,630.44 $1,711.96 1$1,797.55 $1,887.43 $1,981.80 SRTREETRIMMER 6573 CVEA $25.14 $26.40 $27.72 $29.10 $30.56 $2,011.09 $2,111.64 $2,217.22 $2,328.09 $2,444.49 STOREKEEPER 3734 CVEA $19.04 $20.00 $21.00 $22.05 $23.15 $1,523.56 $1,599.73 $1,679.72 $1,763.71 $1,851.89 STOREKEEPER SUPERVISOR 3732 CVEA $22.85 $24.00 $25.20 $26.46 $27.78 $1,828.27 $1,919.68 $2,015.67 $2,116.45 $2,222.28 STORMWTR COMPLNCE INSP I 6127 CVEA $24.83 $26.08 $27.38 $28.75 $30.19 $1,986.75 $2,086.09 $2,190.39 $2,299.91 $2,414.91 STORMWTR COMPLNCE INSP II 6125 CVEA $27.32 $28.68 $30.12 $31.62 $33.21 $2,185.44 $2,294.70 $2,409.44 $2,529.91 $2,656.41 SURVEY TECHNICIAN I 6151 CVEA $23.75 $24.94 $26.19 $27.50 $28.87 $1,900.37 $1,995.39 $2,095.16 $2,199.92 $2,309.91 SURVEY TECHNICIAN II 6141 CVEA $26.13 $27.44 $28.81 $30.25 $31.76 $2,090.41 $2,194.93 $2,304.68 $2,419.91 $2,540.91 SYSTEMS/DATABASE ADMINISTRATR 3015 PROF $36.14 $37.95 $39.85 $41.84 $43.93 $2,891.47 $3,036.05 $3,187.85 $3,347.24 $3,514.60 TELECOMMUNICATIONS SPECIALIST 3027 CVEA $21.98 $23.08 $24.24 $25.45 $26.72 $1,758.74 $1,846.66 $1,939.00 $2,035.95 $2,137.75 TINY TOT AIDE 7503 UCHR $12.58 $13.21 $13.87 $14.56 $15.29 $1,006.13 $1,056.44 $1,109.27 $1,164.73 $1,222.97 TINY TOT SPECIALIST 7505 UCHR 1$15.10 $15.86 $16.65 $17.48 $18.36 $1,208.09 $1,268.50 1$1,331.92 $1,398.52 $1,468.44 TRAFFIC DEVICES TECH 6177 CVEA $27.53 $28.91 $30.36 $31.87 $33.47 $2,202.69 $2,312.83 $2,428.47 $2,549.89 $2,677.39 TRAFFIC DEVICES TECH SUPV 6175 CVEA $31.66 $33.25 $34.91 $36.65 $38.49 $2,533.10 $2,659.75 $2,792.74 $2,932.38 $3,079.00 TRAFFIC ENGINEER 6024 PROF $37.37 $39.24 $41.20 $43.26 $45.42 $2,989.46 $3,138.93 $3,295.88 $3,460.68 $3,633.71 TRAFFIC OFFICER(HOURLY) 5293 UCHR $14.24 $14.95 $15.69 -- -- $1,139.42 $1,195.84 $1,255.53 TRAINING PROGRAM SPEC(HRLY) 5250 UCHR $21.98 $23.08 $24.24 $25.45 $26.72 $1,758.57 $1,846.51 $1,938.84 $2,035.78 $2,137.56 TRAINING PROGRAMS SPECIALIST 5262 CVEA 1$21.98 $23.08 $24.24 $25.45 $26.72 $1,758.57 $1,846.51 1$1,938.83 $2,035.78 $2,137.56 TRANS ENGINEER W/CERT 6031 WCE $43.35 $45.511$47.79 $50.181 $52.69 $3,467.77 $3,641.16 $3,823.22 $4,014.38 $4,215.10 TRANS ENGINEER W/O CERT 6033 WCE $41.28 $43.35 $45.51 $47.79 $50.18 $3,302.64 $3,467.77 $3,641.16 1$3,823.22 $4,014.38 TRANSIT MANAGER 6218 MMUC $44.79 $47.03 $49.39 $51.85 $54.45 $3,583.49 $3,762.67 $3,950.80 $4,148.34 $4,355.76 TRANSIT OPERATIONS COORD 6224 PROF $36.62 $38.45 $40.37 $42.39 $44.51 $2,929.22 $3,075.68 $3,229.46 $3,390.94 $3,560.48 TREASURY AND BUSINESS MANAGER 3611 SM $53.23 -- -- -- $64.70 $4,258.29 $5,175.98 TREE TRIMMER 6575 CVEA 1$20.95 $22.00 $23.10 $24.25 $25.46 $1,675.91 $1,759.70 $1,847.69 $1,940.07 $2,037.08 TREE TRIMMER SUPERVISOR 6572 CVEA $28.91 $30.36 $31.87 $33.47 $35.14 $2,312.76 $2,428.40 $2,549.82 $2,677.31 $2,811.17 URBAN FORESTRY MANAGER 3891 MM $35.26 $37.03 $38.88 $40.82 $42.86 $2,820.97 $2,962.02 1$3,110.11 $3,265.62 $3,428.90 VETERINARIAN 5321 PROF $36.69 $38.52 $40.45 $42.47 $44.59 $2,934.87 $3,081.61 $3,235.69 $3,397.48 $3,567.37 VETERINARIAN(HOURLY) 5308 UCHR $45.85 $48.15 $50.56 $53.09 $55.74 $3,667.78 $3,852.02 $4,044.62 $4,246.85 $4,459.19 VETERINARIAN(PERMITTED) 5331 PROF $51.65 $54.24 $56.95 $59.80 $62.79 $4,132.31 $4,338.92 $4,555.87 $4,783.66 $5,022.84 VETERINARIAN-PERMITTED 5322 UCHR 1$64.84 $68.08 $71.48 $75.06 $78.81 $5,186.99 $5,446.34 $5,718.66 $6,004.59 $6,304.82 VETERINARY ASSISTANT 5325 CVEA $17.17 $18.02 $18.931$19.87 $20.86 $1,373.23 $1,441.90 $1,514.00 $1,589.69 $1,669.18 VETERINARY ASSISTANT(HOURLY) 5323 UCHR $17.17 $18.02 $18.92 $19.87 $20.86 $1,373.24 $1,441.90 1$1,513.99 $1,589.69 $1,669.18 VOLUNTEER COORD(DEPT) 7131 CVEA $18.76 $19.70 $20.69 $21.72 $22.81 $1,501.17 $1,576.23 $1,655.04 $1,737.79 $1,824.68 VOLUNTEER COORD(DEPT)(HOURLY) 7132 UCHR $18.76 $19.70 $20.69 $21.72 $22.81 $1,501.17 $1,576.23 $1,655.04 $1,737.79 $1,824.68 WASTEWATER COLLECTIONS MGR 6334 MM $40.98 $43.03 $45.18 $47.44 $49.81 $3,278.51 $3,442.44 $3,614.56 1$3,795.29 $3,985.05 WEBMASTER 2777 CVEA $28.24 $29.66 $31.14 $32.70 $34.33 $2,259.49 $2,372.46 $2,491.09 1$2,615.64 $2,746.42 Approved and adopted: Res2lgfi3ftp,02 Agenda Packet Page 272 11`r�'error Fiscal Year 2014-2015 Compensation Schedule CHULA VISTA Effective June 27,2014 Hourly Rate Bi-Weekly Rate POSITION TITLE PCN BARG Step A Step B Step C Step D Step E Step A Step B Step C Step D Step E WEBMASTER(HOURLY) 2790 UCHR $28.24 $29.66 $31.14 $32.70 $34.33 $2,259.49 $2,372.47 $2,491.09 $2,615.64 $2,746.42 YOUTH COORDINATOR 1 74811 CVEA $24.05 $25.26 $26.52 $27.85 $29.24 $1,924.37 $2,020.58 $2,121.61 $2,227.69 $2,339.08 International Association of Fire Fighters(IAFF),Local 2180 Salaries Effective 12/12/2014 Hourly Rate Bi-Weekly Rate POSITION TITLE PCN BARG Step A Step B Step C Step D Step E Step A Step B Step C Step D Step E FIRE BATTALION CHIEF(112 HR) 5511 IAFF $33.87 $35.56 $37.34 $39.21 $41.17 $3,793.37 $3,983.04 $4,182.19 $4,391.30 $4,610.87 FIRE BATTALION CHIEF(80 HR) 5513 IAFF $47.42 $49.79 $52.28 $54.89 $57.64 $3,793.37 $3,983.04 $4,182.19 $4,391.30 $4,610.87 FIRE BATTALION CHIEF(INTERIM) 5540 IAFF $33.87 $35.56 $37.34 $39.21 $41.17 $3,793.38 $3,983.05 $4,182.20 $4,391.31 $4,610.88 FIRE CAPTAIN(112 HR) 5583 IAFF $27.19 $28.55 $29.97 $31.47 $33.05 $3,045.01 $3,197.26 $3,357.12 $3,524.97 $3,701.22 FIRE CAPTAIN(80 HR) 5581 IAFF 1$38.06 1$39.97 $41.96 1$44.06 $46.27 $3,045.01 $3,197.26 $3,357.12 $3,524.97 $3,701.22 FIRE CAPTAIN(INTERIM) 5580 IAFF $27.19 $28.55 $29.97 $31.47 $33.05 $3,045.01 $3,197.26 $3,357.12 $3,524.97 $3,701.22 FIRE ENG(112 HR) 5603 IAFF $23.18 $24.34 $25.56 $26.83 $28.18 $2,596.24 $2,726.05 $2,862.36 $3,005.47 $3,155.75 FIRE ENG(80 HR) 5601 IAFF $32.45 $34.08 $35.78 $37.57 $39.45 $2,596.24 $2,726.05 $2,862.36 $3,005.47 $3,155.75 FIRE ENGINEER(INTERIM) 5602 IAFF $23.18 $24.34 $25.56 $26.83 $28.18 $2,596.24 $2,726.05 $2,862.36 $3,005.47 $3,155.75 FIRE INSP/INVEST I 5530 IAFF $27.45 $28.82 $30.26 $31.77 $33.36 $2,195.71 $2,305.50 $2,420.77 $2,541.81 $2,668.90 FIRE INSP/INVEST II 5531 IAFF 1$30.19 $31.70 $33.29 $34.95 $36.70 $2,415.28 $2,536.04 $2,662.84 $2,795.99 $2,935.78 FIRE INSP/INVEST II HRLY 5532 UCHR $30.79 $32.33 $33.95 $35.65 $37.43 $2,463.58 $2,586.76 $2,716.10 $2,851.90 $2,994.50 FIRE PREV ENG/INVEST 5528 IAFF $36.41 $38.23 $40.15 $42.15 $44.26 $2,913.12 $3,058.77 $3,211.71 $3,372.29 $3,540.91 FIREFIGHTER(112 HR) 5623 IAFF $19.70 $20.69 $21.72 $22.81 $23.95 $2,206.53 $2,316.85 $2,432.70 $2,554.33 $2,682.05 FIREFIGHTER(80 HR) 5621 IAFF $27.58 $28.961$30.41 $31.931 $33.53 $2,206.53 $2,316.85 $2,432.70 $2,554.33 $2,682.05 FIREFIGHTER/PARAMEDIC(112 HR) 5613 IAFF $22.66 $23.79 $24.98 $26.23 $27.54 $2,537.51 $2,664.38 $2,797.60 $2,937.48 $3,084.36 FIREFIGHTER/PARAMEDIC(80 HR) 5611 IAFF 1$31.72 $33.30 $34.97 $36.72 $38.55 $2,537.51 $2,664.38 $2,797.60 $2,937.48 $3,084.36 SR FIRE INSP/INVEST 5529 IAFF 1$25.05 $26.30 $27.62 $29.001 $42.63 $2,805.63 $2,945.91 $3,093.20 $3,247.86 $3,410.26 Chula Vista Police Officers'Association(POA)Represented Classifications Salaries Effective 12/26/2014 Hourly Rate Bi-Weekly Rate POSITION TITLE PCN BARG Step A Step B Step C Step D Step E Step A Step B Step C Step D Step E PEACE OFFICER 5061 POA $33.30 $34.97 $36.71 $38.55 $40.48 $2,664.11 $2,797.32 $2,937.19 $3,084.05 $3,238.25 POLICE AGENT 5051 POA $36.67 $38.50 $40.43 $42.45 $44.57 $2,933.62 $3,080.30 $3,234.31 $3,396.03 $3,565.83 POLICE LIEUTENANT 5031 POA $50.62 $53.15 $55.81 $58.60 $61.53 $4,049.76 $4,252.24 $4,464.86 $4,688.10 $4,922.50 POLICE SERGEANT 5041 POA $42.18 $44.29 $46.51 $48.83 $51.27 $3,374.54 $3,543.27 $3,720.43 $3,906.46 $4,101.78 Revised: July 25,2014 August 8,2014 November 4,2014 November 18,2014 December 2,2014 Approved and adopted: Resglgfiqnj,tp,02 Agenda Packet Page 273 City of Chula Vista CTY CHUILAVISTA Staff Report File#: 14-0687, Item#: 7. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA NAMING THE NEW MULTI-PURPOSE BUILDING AT THE ANIMAL CARE FACILITY AFTER MAYOR CHERYL COX IN HONOR OF HER SUPPORT OF THE FACILITY DURING HER EIGHT YEARS OF SERVICE RECOMMENDED ACTION Council adopt the resolution. City of Chula Vista Page 1 of 1 Printed on 11/25/2014 2014-12-02 Agenda Packet powered by Leg age 274 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA NAMING THE NEW MULTI-PURPOSE BUILDING AT THE ANIMAL CARE FACILITY AFTER MAYOR CHERYL COX IN HONOR OF HER SUPPORT OF THE FACILITY DURING HER EIGHT YEARS OF SERVICE WHEREAS, on December 9, 2014, after eight years of service as the 39th Mayor of the City of Chula Vista, Cheryl Cox retires from office; and WHEREAS, during her two terms, Mayor Cox worked to support the Chula Vista Animal Care Facility, which ensures the health and safety for animals and residents of Chula Vista, Imperial Beach,National City and Lemon Grove; and WHEREAS, Mayor Cox played an integral role in establishing an on-site veterinary technician school at the facility operated by Pima Medical institute; and WHEREAS, Mayor Cox helped the facility acquire a mobile medical unit to improve animal care services in the community; and WHEREAS, Mayor Cox was responsible for the construction of The Cattery in 2012 and The Cottage in 2014 to improve housing and quality of life for the animals at the facility; and WHEREAS, Mayor Cox raised nearly $1 million in funds and in-kind donations to complete the new construction projects and support services at the facility; and NOW THEREFORE BE IT RESOLVED, the City Council of the City of Chula Vista does hereby name the newly constructed Cottage at the Chula Vista Animal Care Facility the "Cheryl Cox Cottage"in honor of her contribution and passion for helping improve services and quality of life for the animals housed at the facility. Presented by Approved as to form by Gary Halbert Glen Googins City Manager City Attorney 2014-12-02 Agenda Packet Page 275 City of Chula Vista CTY CHUILAVISTA Staff Report File#: 14-0629, Item#: 8. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA MODIFYING THE APPENDIX TO THE LOCAL CONFLICT OF INTEREST CODE TO AMEND THE LIST OF OFFICIALS, CANDIDATES AND DESIGNATED EMPLOYEES WHO ARE REQUIRED TO FILE PERIODIC STATEMENTS OF ECONOMIC INTERESTS AND THE DISCLOSURE CATEGORIES FOR SAID FILERS, AND DESIGNATING THOSE FILERS AS "LOCAL AGENCY OFFICIALS" FOR PURPOSES OF AB 1234, THEREBY REQUIRING THEM TO PARTICIPATE IN MANDATED ETHICS TRAINING RECOMMENDED ACTION Council adopt the resolution. SUMMARY The Political Reform Act requires every local agency to periodically review its Conflict of Interest Code to determine whether amendments are needed. The proposed resolution adopts an amended appendix to the City's Conflict of Interest Code, listing the officials and designated employees of the City who are required to file periodic statements of economic interests and the disclosure categories under which each such official and designated employee is required to file. Additionally, the resolution requires those designated officials and employees to complete biennial ethics training, pursuant to AB 1234. ENVIRONMENTAL REVIEW The Development Services Director has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that the activity is not a "Project" as defined under Section 15378(b)(5) of the State CEQA Guidelines because it an administrative activity that will not result in direct or indirect physical changes in the environment; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines, the activity is not subject to CEQA. Thus, no environmental review is necessary. BOARD/COMMISSION RECOMMENDATION Not applicable. DISCUSSION On March 21 , 2000, the Council adopted Ordinance No. 2807, adopting by reference the standardized conflict of interest code contained in Title 2 of the California Code of Regulations, Section 18730, and any amendments thereto that are adopted by the Fair Political Practices Commission. The ordinance requires that the Council set forth by resolution the officials and designated employees who are required to file statements of economic interests and the disclosure categories under which each such official and designated employee shall file. The City Clerk and the City Attorney have performed a review of the code in conformance with City of Chula Vista Page 1 of 2 Printed on 11/25/2014 2014-12-02 Agenda Packet powered by Leg age 276 File#: 14-0629, Item#: 8. Political Reform Act requirements. Each department director provided input regarding the level of decision-making authority employees in their respective departments have. With that input, along with various title changes that have occurred since the last update, it has been determined that the appendix to the Code requires amendments. Several positions that are currently vacant and unfunded were not deleted since they remain on the City's classification plan, and should be designated to file statements of economic interest. Adoption of the proposed resolution amends the appendix to the local Conflict of Interest Code accordingly. The resolution also specifies that all employees designated as filers under the City's Conflict of Interest Code are "designated employees" for purposes of AB 1234 and, as such, are expected to participate in mandatory ethics training. DECISION-MAKER CONFLICT Staff has reviewed the decision contemplated by this action and has determined that it is not site specific and consequently, the 500-foot rule found in California Code of Regulations section 18704.2 (a)(1), is not applicable to this decision. Staff is not independently aware, and has not been informed by any City Councilmember, of any other fact that may constitute a basis for a decision maker conflict of interest in this matter. LINK TO STRATEGIC GOALS The City's Strategic Plan has five major goals: Operational Excellence, Economic Vitality, Healthy Community, Strong and Secure Neighborhoods and a Connected Community. Adoption of this item supports the City's goal of providing responsible public service and fostering public trust through an open and ethical government. CURRENT YEAR FISCAL IMPACT Adoption of the resolution will have no impact on the general fund. ONGOING FISCAL IMPACT There is no ongoing fiscal impact. ATTACHMENTS None Staff Contact: Kerry Bigelow City of Chula Vista Page 2 of 2 Printed on 11/25/2014 2014-12-02 Agenda Packet powered by Leg age 277 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA MODIFYING THE APPENDIX TO THE LOCAL CONFLICT OF INTEREST CODE TO AMEND THE LIST OF OFFICIALS, CANDIDATES AND DESIGNATED EMPLOYEES WHO ARE REQUIRED TO FILE PERIODIC STATEMENTS OF ECONOMIC INTERESTS AND THE DISCLOSURE CATEGORIES FOR SAID FILERS, AND DESIGNATING THOSE FILERS AS "LOCAL AGENCY OFFICIALS" FOR PURPOSES OF AB 1234, THEREBY REQUIRING THEM TO PARTICIPATE IN MANDATED ETHICS TRAINING WHEREAS, the Political Reform Act (California Government Code sections 87100 through 91014),requires certain officials and candidates to file Statements of Economic Interests (Form 700) and requires local government agencies to adopt and promulgate conflict of interest codes; and WHEREAS, the City Council adopted Ordinance No. 2807, adopting by reference the standardized conflict of interest code contained in Title 2 of the California Code of Regulations, Section 18730, and any amendments thereto that are adopted by the Fair Political Practices Commission; and WHEREAS, the ordinance requires that the City Council set forth by resolution the officials and designated employees who are required to file statements of economic interests and the disclosure categories under which each such official and designated employee shall file; and WHEREAS, the Political Reform Act requires every local agency to review its Conflict of Interest Code periodically to determine if amendments are necessary; and WHEREAS, the City Attorney and the City Clerk have reviewed the Code and its Appendix, consulted with Department Directors, and determined that amendments to the Appendix of the Code are necessary; and WHEREAS, the City Council desires that all City employees who are required to file Form 700 under the City's Conflict of Interest Code be designated as "Local Agency Officials," as defined in Government Code §53234(c)(2), thereby requiring them to participate in the ethics training mandated by AB 1234; and WHEREAS, the list of officials, candidates and designated employees of the City of Chula Vista who are required to file periodic statements of economic interests, and the disclosure categories under which each such official, candidate or designated employee is required to file, was presented to the City Council and is attached hereto as Exhibit A and made a part of this Resolution. 2014-12-02 Agenda Packet Page 278 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista, that it hereby modifies the appendix to the local Conflict of Interest Code to amend the list of officials, candidates and designated employees who are required to file periodic statements of economic interests, and the disclosure categories for said filers, in the form presented and as reflected in Exhibit A to this resolution, a copy of which shall be kept on file in the Office of the City Clerk. Presented by Approved as to form by Donna R.Norris, CMC Glen R. Googins City Clerk City Attorney 2014-12-02 Agenda Packet Page 279 EXHIBIT A OFFICIALS REQUIRED TO FILE PURSUANT TO GOVERNMENT CODE §§ 87200, et seq. The following officials shall file periodic statements disclosing certain economic interests (commonly referred to as "700 Forms") with the Fair Political Practices Commission, as required by California Government Code §§87200— 87210: Mayor and City Councilmembers Candidates for Elective Office City Manager City Attorney Director of Finance/City Treasurer Planning Commission Members In addition, each official falling within any of the above-listed categories, except "Candidates for Elective Office," is required to comply with the ethics training requirements of California Government Code §§53234, et seq. DESIGNATED EMPLOYEES REQUIRED TO FILE UNDER THE CITY OF CHULA VISTA CONFLICT OF INTEREST CODE Each City employee whose position title is listed below shall file a 700 Form under the designated disclosure category (as set forth in Chula Vista Municipal Code §2.02.030) and is required to comply with the ethics training requirements of California Government Code §§53234, et seq. Position Title..................................................................................................Disclosure Category Administrative Analyst II ............................................................................................................4, 6 Administrative Services Manager................................................................................................1, 2 ...................................................................................................... Animal Care Facility Administrator....................................................................................1 3, 6, Animal Care Facility Manager.....................................................................................................3, 6 AssistantChief of Police..............................................................................................................1, 2 AssistantCity Attorney............................................................................................................1, 2, 6 AssistantCity Clerk.................................................................................................................1, 2, 6 AssistantCity Manager....................................................................................................1, 2, 4, 5, 7 2014-12-02 Agenda Packet Page 280 Position Title..................................................................................................Disclosure Category Assistant Director of Development Services...............................................................................1, 2 Assistant Director of Engineering................................................................................................1, 2 Assistant Director of Finance...................................................................................................1, 2, 7 Assistant Director of Human Resources..........................................................................................1 ................................................................................ Assistant Director of Public Works .............................................................................................1, 2 Assistant Director of Recreation..................................................................................................1, 2 AssistantPlanner..........................................................................................................................3, 4 ................................................ AssociateAccountant...............................................................................................................1, 2, 7 AssociateEngineer.......................................................................................................................3, 4 AssociatePlanner.........................................................................................................................3, 4 BenefitsManager.............................................................................................................................5 Budget&Analysis Manager....................................................................................................1, 2, 7 BuildingInspector(all levels)..........................................................................................................3 Building Official/Code Enforcement Manager............................................................................3, 4 BuildingProject Manager................................................................................................................4 Chiefof Police .............................................................................................................................1, 2 Chiefof Staff....................................................................................................................1, 2, 3, 6, 7 ChiefService Officer...............................................................................................................1, 2, 7 CityClerk.................................................................................................................................1, 2, 6 Code Enforcement Officer(all levels).............................................................................................3 CollectionsSupervisor.................................................................................................................2, 3 Constituent Services Manager .................................................................................................1, 2, 7 Constructionand Repair Manager...................................................................................................4 CouncilAssistant.....................................................................................................................1, 2, 7 Custodial and Facilities Manager.....................................................................................................5 Deputy City Attorney (all levels).................................................................................................1, 2 DeputyCity Manager...............................................................................................................1, 2, 7 DeputyFire Chief........................................................................................................................1, 2 2014-12-02 Agenda Packet Page 281 Position Title..................................................................................................Disclosure Cateaory ..............................................................................................3, 4, Development Services Counter Manager....................................................................................3, 4 Development Services Department Director...............................................................1, 2, 3, 4, 6, 7 Director of Economic Development....................................................................................1, 2, 6 7 Director of Engineering/City Engineer............................................................................1, 2, 3, 6, 7 Director of Information Technology............................................................................................1, 5 Directorof Library...............................................................................................................1, 2, 6, 7 Director of Public Works.....................................................................................................1, 2, 6 7 Directorof Recreation..........................................................................................................1, 2, 6, 7 EMSNurse Coordinator ..................................................................................................................5 Environmental Resource Manager...........................................................................................3, 6, 7 Environmental Services Program Manager.............................................................................3, 6, 7 Facility & Supply Specialist .......................................................................................................... 6 Family and Youth Literacy Coordinator..........................................................................................6 FinanceManager.......................................................................................................................I I 1 FireBattalion Chief......................................................................................................................1, 2 Fire Captain (80 HR Training Division only)..................................................................................6 FireChief.....................................................................................................................................1, 2 FireDivision Chief......................................................................................................................1, 2 Fire Inspector/Fire Investigator (all levels)..................................................................................3, 6 Fire Prevention Engineer/Fire Investigator..................................................................................3, 4 Fiscaland Management Analyst......................................................................................................5 Fiseal Opefatiens g, , 2, 7 Fleet Inventory Control Specialist...................................................................................................5 FleetManager..................................................................................................................................5 HousingManager.........................................................................................................................1, 2 Human Resources Operations Manager...........................................................................................5 Information Technology Manager............................................................................................... 5 LandSurveyor..............................................................................................................................4, 5 LandscapeArchitect.....................................................................................................................3, 4 2014-12-02 Agenda Packet Page 282 Position Title..................................................................................................Disclosure Category LandscapePlanner.......................................................................................................................3, 4 LawOffice Manager........................................................................................................................6 Librarian (all levels, except hourly).................................................................................................6 Library Digital Services Manager....................................................................................................6 ManagementAnalyst.......................................................................................................................6 Marketing and Communications Manager...................................................................................3, 5 OpenSpace Manager...................................................................................................................4, 6 ParksManager .............................................................................................................................4, 6 ParksOperations Manager...........................................................................................................4, 6 ParkRanger..................................................................................................................................1, 3 Performance and Organizational Development Manager................................................................5 PlanCheck Supervisor.................................................................................................................3, 4 PlanningManager........................................................................................................................1, 2 PlansExaminer............................................................................................................................1, 2 Police Administrative Services Administrator.............................................................................1, 2 PoliceCaptain------------------------------------------------------------------------------------------------------------------------------1, 2 PolicyAide...............................................................................................................................1, 2, 7 PrincipalCivil Engineer...........................................................................................................3, 4, 5 Principal Economic Development Specialist...............................................................................1, 2 Principal Landscape Architect.....................................................................................................3, 4 PrincipalLibrarian .......................................................................................................................... 6 Principal Management Analyst....................................................................................................3, 5 PrincipalPlanner..........................................................................................................................1, 2 Principal Project Coordinator ......................................................................................................1, 2 Principal Recreation Manager..........................................................................................................6 ProcurementSpecialist.............................................................................................................1, 2, 7 Project Coordinator(all levels)................................................................................................1, 2, 7 Public Works Inspector(all levels)..............................................................................................4, 6 PublicWorks Manager ................................................................................................................1, 2 PurchasingAgent.....................................................................................................................1, 2, 7 2014-12-02 Agenda Packet Page 283 Position Title..................................................................................................Disclosure Category RealProperty Manager................................................................................................................1, 2 RiskManagement Specialist........................................................................................................1, 2 RiskManager...............................................................................................................................1, 2 Senior Assistant City Attorney ....................................................................................................1, 2 SeniorBuilding Inspector................................................................................................................3 SeniorCivil Engineer...................................................................................................................4, 5 Senior Code Enforcement Officer ...............................................................................................3, 4 SeniorCouncil Assistant..........................................................................................................1, 2, 7 SeniorGraphic Designer..................................................................................................................5 SeniorLandscape Inspector.........................................................................................................4, 6 SeniorLibrarian ...............................................................................................................................6 SeniorManagement Analyst............................................................................................................6 SeniorOpen Space Inspector.......................................................................................................4, 6 SeniorPlanner..............................................................................................................................1, 2 Senior Plans Examiner.................................................................................................................3, 4 Senior Procurement Specialist-------------------------------------------------------------------------------------------------1, 2, 7 SeniorProject Coordinator ..........................................................................................................1, 2 Senior Public Works Inspector....................................................................................................4, 6 SeniorRecreation Manager..............................................................................................................6 Senior Risk Management Specialist............................................................................................1, 2 SpecialEvents Coordinator..............................................................................................................3 Special Planning Projects Manager .............................................................................................1, 2 TransitManager...............................................................................................................................5 Transportation Engineer...........................................................................................................3, 4, 5 Treasury and Business Manager..............................................................................................1, 2, 7 ...................................................................................................................1, 2, 7 Veterinarian (Permitted, except hourly) ......................................................................................3, 6 Wastewater Collections Manager................................................................................................1, 2 2014-12-02 Agenda Packet Page 284 Board and Commission Members: Board of Appeals and Advisors Members.......................................................................2, 5 Boardof Ethics Members ................................................................................................1, 2 Civil Service Commission Members ...................................................................................3 Charter Review Commission Members.......................................................................1, 2, 7 Districting Commission Members...............................................................................1, 2, 7 Growth Management Oversight Commission Members .................................................2, 4 Historic Preservation Commission ..................................................................................1, 2 Mobilehome Rent Review Commission Members..........................................................1, 2 Oversight Board to the Successor Agency to the Redevelopment Agency.....................1, 2 Consultants*.............................................................................................................................1, 2, 7 HearingOfficers...........................................................................................................................1, 2 *Consultants shall be included in the list of designated employees and shall disclose pursuant to the broadest disclosure category in the code, subject to the following limitation: The City may determine, in writing, that a particular consultant, although a "designated position," is hired to perform a range of duties that is limited in scope and thus is not required to fully comply with the disclosure requirements in this section. Such written determination shall include a description of the consultant's duties and, based upon that description, a statement of the extent of disclosure requirements. The determination shall be included in the contract by which the consultant is hired by the City. The City's determination is a public record. 2014-12-02 Agenda Packet Page 285 City of Chula Vista CTY CHUILAVISTA Staff Report File#: 14-0645, Item#: 9. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE PAYMENT OF PREVAILING WAGES ON CITY PUBLIC WORKS CONTRACTS AND OTHER MEASURES REQUIRED TO REMAIN ELIGIBLE FOR STATE FUNDING AND FINANCIAL ASSISTANCE FOR CITY CONSTRUCTION PROJECTS UNDER CALIFORNIA LABOR CODE SECTION 1782 (ALSO KNOWN AS SB 7) UNLESS AND UNTIL SB 7 IS ENJOINED OR INVALIDATED RECOMMENDED ACTION Council adopt the resolution. SUMMARY Starting January 1 , 2015, recently enacted state law requires Charter cities to pay prevailing wages on all (but very minor) local public works projects, regardless of whether or not state funding is involved, as a condition to receiving state funding for any such project. The legal validity of this law (SB 7) has been challenged, appropriately, as a violation of charter city "home rule" authority. Unfortunately, in August 2014 a local trial court upheld the state law. This holding has been appealed, but a final ruling (more than likely to come from the California Supreme Court), is not expected for some time. Until now, the City's longstanding policy has been to bid and award public works contracts with prevailing wages required only where federal or state funding sources imposed such a requirement. Pending a final ruling on the legal validity of SB 7, in order to avoid the loss of state funding for local public works, staff is now recommending that the City Council change this policy, at least temporarily, in order to comply with SB 7. Staff will monitor and keep the Council apprised of the progress of the SB 7 litigation, the additional costs incurred as result of this change in policy, and other factors relating to the amount and availability of state funding for City projects. If another change in prevailing wage policy becomes appropriate, staff will come back to Council and present such change for Council consideration. ENVIRONMENTAL REVIEW The City Attorney's office has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that the activity is not a "Project" as defined under Section 15378 of the State CEQA Guidelines because the activity consists of a governmental administrative/fiscal activity which does not involve any commitment to any specific project which may result in a potentially significant physical impact on the environment. Therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines the activity is not subject to CEQA. Thus, no environmental review is required. BOARD/COMMISSION RECOMMENDATION City of Chula Vista Page 1 of 4 Printed on 11/26/2014 istar 2014-12-02 Agenda Packet powered by Leg age 286 File#: 14-0645, Item#: 9. Not Applicable DISCUSSION In 2012, in the case of State Building and Construction Trades Council of California v. City of Vista, (2012) 54 Cal 4th 547 (the "Vista case"), the California Supreme Court ruled that the state could not directly impose prevailing wage requirements on charter cities. The ruling confirmed a long-held belief among charter cities that the manner and terms upon which they entered into local contracts was a core "municipal affair" within each charter city's constitutional "home rule" prerogative, thereby placing such matters beyond the lawful reach of the state legislature. In response to the 2012 Supreme Court ruling, state legislators enacted an amendment to the California Labor Code commonly known as S137. S137 purports to circumvent the Supreme Court ruling in favor of charter city authority through an alternative approach to imposing state prevailing wage requirements on charter cities. Starting January 1, 2015, S137 requires Charter cities to pay prevailing wages on all (but very minor) local public works projects, regardless of whether or not state funding is involved, as a condition to receiving state funding for any such project. Any entity that fails to pay prevailing wages in this manner is immediately disqualified from receiving state funding or assistance for any of its local public works for a period of two years. Believing that S137 amounted to an unlawful intrusion on charter city home rule authority, albeit in a new and novel way, a number of charter cities banded together and decided to challenge the legal validity of S137. Other charter cities, including Chula Vista, provided funding for the case. The issue was not whether or not the payment of paying prevailing wages was good or bad idea; rather, the issue was that for local projects, each charter should have the right to decide whether or not to pay prevailing wages for itself. Because the principles of "home rule" were at stake, the League of California Cities also got substantially involved, providing half the funding for the litigation, substantial in-kind support and an amicus brief. On the other side of the issue the state's position was represented primarily by the California Attorney General's office. The State Building and Construction Trades Council of California also got involved by formally intervening in the case and by filing an amicus brief in support of S137. The case was extensively briefed on both sides, and oral arguments were presented. Unfortunately, while we continue to believe that the cities' position regarding "home rule" is legally superior, the trial court ruled in favor of the state. The court held that the expressed intent of SB 7 (to create and maintain a skilled construction work force) was a matter of"statewide concern." The court also noted that imposing state policy objectives through "financial incentives" is only unconstitutional when the "incentive" is equivalent to a "gun to the head" compulsion. The court determined that SB 7 did not amount to this level of pressure, and that attaching conditions on a relatively "small amount" of state funding was not coercive as a matter of law. The court concluded, "if Petitioners desire to benefit from the receipt of state funds, their local concerns must yield to Respondent's policy objectives." The charter city plaintiffs in this case have since voted unanimously to appeal the trial court ruling. They did so because of their continuing belief in the righteousness of their position and the likely material adverse financial impacts posed by S137 if it were to remain in place, leaving cities to choose between losing state funding or paying higher costs on many of their public works projects. The appeal has been filed and is pending, but is unlikely to be resolved before January 1St, 2015. City of Chula Vista Page 2 of 4 Printed on 11/26/2014 2014-12-02 Agenda Packet Page 287 File#: 14-0645, Item#: 9. Pending a final determination on the validity of this law, or an injunction suspending its enforcement, City staff is recommending that the City adopt a Resolution changing current City policy regarding the payment of prevailing wages on public works in order to comply with S137. Council's adoption of the Resolution would cause the following to occur: 1. Beginning January 1, 2015, City "public works" (as defined by S137), would be bid out and paid as "prevailing wage"jobs. 2. Public works projects exempted from S137's requirements would continue to be bid as "non- prevailing wage." Exempted projects include "construction project" contracts of less than $25,000, and "alteration, demolition, repair, or maintenance work" contracts of less than $15,000. 3. Where S137's rules and applications are ambiguous, City staff would develop and implement administrative policies designed to achieve S137 compliance. Staff would consult with state representatives to resolve ambiguities as necessary and appropriate. 4. Staff will track any additional purchasing process costs or direct project costs resulting from S137 prevailing wage compliance and periodically report this information to Council. 5. The kinds and amounts of state funding and financial assistance available will also be carefully tracked and reported. 6. Staff will also track and report to Council on the progress of the S137 litigation. To the extent S137 is invalidated or enjoined, unless otherwise directed, staff will return to the City's pre-SB7 prevailing wage policies. 7. If the City's experience with paying prevailing wages, or any other factors, suggest the value of any other change in City public works policies, staff will come back to Council and present such change for Council consideration. If the City Council proceeds to approve this Resolution, a final, clerk certified copy thereof will be delivered to the State Department of Industrial Relations. This is the state entity assigned to oversee S137 implementation and compliance. Under S137 this Resolution should have the effect of maintaining the City's eligibility for state funding and financial assistance for local public works. DECISION-MAKER CONFLICT Staff has reviewed the decision contemplated by this action and has determined that it is not site specific; consequently, the 500-foot rule found in California Code of Regulations section 18704.2(a) (1), is not applicable to this decision. Staff is not independently aware, and has not been informed by any City Council member, of any other fact that may constitute a basis for a decision maker conflict of interest in this matter. LINK TO STRATEGIC GOALS The City's Strategic Plan has five major goals: Operational Excellence, Economic Vitality, Healthy Community, Strong and Secure Neighborhoods and a Connected Community. This item helps achieve Operational Excellence and Economic Vitality by complying with state law and maintaining eligibility for state funding of City construction projects. CURRENT YEAR FISCAL IMPACT City of Chula Vista Page 3 of 4 Printed on 11/26/2014 2014-12-02 Agenda Packet Page 288 File#: 14-0645, Item#: 9. Council approval of this item is expected to increase the cost of public works projects scheduled for this fiscal year; however, the amount of such increase is hard to estimate. Starting January 1, 2015, and for the remainder of the fiscal year, this item will increase the number of City public works contracts that require the payment of prevailing wages. The addition of a prevailing wage requirement to a contract usually increases its cost, with the amount of the increase, if any, determined by the type of project involved and the related labor market. Projects that require a lot of labor (versus materials) tend to see the greatest cost increase, especially where "market rates" for the labor trades involved are well below the equivalent "prevailing wage." An example of a contract of this type would be a major concrete or landscape installation. Projects that require less labor, and/or where the labor trades involved already command a "market rate" equal to or greater than the "prevailing wage" will be less affected. An example of a contract of this type would be an asphalt paving contract. Looking at these factors, depending upon the type of contract involved, under current market conditions, the addition of a prevailing wage requirement where not otherwise required could increase a public works contract cost anywhere from 5% to 25%. ONGOING FISCAL IMPACT If the proposed policy change is continued into the next fiscal year, the types of cost increases described in the previous paragraph would continue. Likely cost increases would be better understood by the time the next year's budget is prepared. Staff will account for and present these projected increases to the City Council at that time. ATTACHMENTS None Staff Contact: Glen Googins, City Attorney Rick Hopkins, Director of Public Works City of Chula Vista Page 4 of 4 Printed on 11/26/2014 2014-12-02 Agenda Packet Page 289 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE PAYMENT OF PREVAILING WAGES ON CITY PUBLIC WORKS CONTRACTS AND OTHER MEASURES REQUIRED TO REMAIN ELIGIBLE FOR STATE FUNDING AND FINANCIAL ASSISTANCE FOR CITY CONSTRUCTION PROJECTS UNDER CALIFORNIA LABOR CODE SECTION 1782 (ALSO KNOWN AS SB 7) UNLESS AND UNTIL SB 7 IS ENJOINED OR INVALIDATED WHEREAS, the City of Chula Vista is a Charter City protected from State legislative interference in its municipal affairs by the California Constitution, Article Xl, Sec. 5(a); and WHEREAS, in State Building and Construction Trades Council of California, AFL-CIO v. Vista (2012) 54 Cal.4" 547 (the "Vista Case"), the California Supreme Court determined that the subject of prevailing wage rates for locally funded public works projects is a municipal affair, and that Charter cities are not subject to the state law requirement to pay prevailing wages; instead, Charter cities have the independent authority to determine whether and when to paying prevailing wages as they deem appropriate; and WHEREAS, in response to the Vista Case, with the intent of imposing the state's prevailing wage requirements on Charter cities with an indirect approach, the California Legislature adopted and the Governor signed Senate Bill 7 (SB 7), adding Section 1782 to the California Labor Code. By its terms, SB 7 disqualifies a charter city from receiving state funding for any construction project if that city has awarded within the prior two years a public works contract without requiring the contractor to pay prevailing wage rates; and WHEREAS, in City of El Centro et al v. Lanier (Cal. Court of Appeal, Fourth District, Case No. D-066755), a group of charter cities filed suit to invalidate SB 7 on the grounds that it violates the Constitutional prohibition on interference in the municipal affairs of charter cities; and WHEREAS, the Lanier case is pending before the Court of Appeal, and no injunction has been issued staying the effect of SB 7; and WHEREAS, pursuant to Chula Vista Municipal Code Section 2.58.070, the policy of the City is to not pay prevailing wages on City contracts unless (A) The prevailing wage is legally required, and constitutionally permitted to be imposed, by federal or state grants; or (B) The project is considered by the City Council not to be a municipal affair of the city; or (C) Payment of the prevailing wage is authorized by resolution of the city council; and 2014-12-02 Agenda Packet Page 290 Resolution No. Page 2 WHEREAS, the City of Chula Vista desires to maintain its authority to determine on a local level whether and when to pay prevailing wages on locally funded projects, but is constrained by the prospect of losing state funds on all construction projects, a significant financial impact that would make it infeasible for the City to undertake certain critical infrastructure maintenance and improvement projects on which local residents depend; and WHEREAS, in order to avoid the significant negative financial impact of losing state funding as a result of SB 7, the City Council has found and determined that it is in the best interests of the City to modify City policy regarding the payment of prevailing wage to require the payment of prevailing wages to the extent necessary to comply with SB 7 unless and until SB 7 is enjoined or invalidated; WHEREAS, such Council action is expressly authorized by CVMC Section 2.58.070.C: NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista that it hereby authorizes and directs City staff to: (a) advertise, bid and award public works contracts (as defined in Labor Code section 1782(d)(1)) in conformance with the Public Contracting Code requirements regarding payment of prevailing wages; and (2) take such other measures required by SB 7 to remain eligible for state funding and financial assistance for City construction projects, including, without limitation, the development and implementation of appropriate administrative procedures. BE IT FURTHER RESOLVED that this Resolution shall expire and be of no further force or effect immediately on the issuance of a preliminary or permanent injunction enjoining the state from enforcing SB 7, or the entry of any other court order that invalidates or suspends the operation of SB 7. Presented by Approved as to form by Richard A. Hopkins Glen R. Googins Director of Public Works City Attorney 2014-12-02 Agenda Packet Page 291 City of Chula Vista OF CHU�LAVISTA Staff Report File#: 14-0668, Item#: 10. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA REDUCING THE TRANSFER FROM THE GENERAL FUND TO THE PUBLIC LIABILITY EXPENSE FUND BY $300,000 AND APPROPRIATING SAID FUNDS TO THE NON-DEPARTMENTAL SUPPLIES AND SERVICES BUDGET FOR PROJECTED ATTORNEY SERVICES EXPENSES (4/5 VOTE REQUIRED) RECOMMENDED ACTION Council adopt the resolution. SUMMARY Staff is recommending reducing the transfer to the Public Liability Expense fund from the General Fund by $300,000 and appropriating these funds to the Non Departmental budget for projected attorney services expenses. This budget amendment results in no net fiscal impact to the General Fund. ENVIRONMENTAL REVIEW The Development Services Director has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that the activity is not a "Project" as defined under Section 15378(b)(4) of the State CEQA Guidelines because the action applies only to a government fiscal activity, transferring funds between accounts, that does not involve any commitment to any specific project which may result in a potentially significant physical impact on the environment; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines the activity is not subject to CEQA. Thus, no environmental review is necessary at this time. BOARD/COMMISSION RECOMMENDATION Not Applicable DISCUSSION The fiscal year 2014-15 budget includes a transfer from the General Fund to the Public Liability Expense fund of $649,000. Staff is recommending reducing this transfer by $300,000 and appropriating these funds to the Non Departmental budget for attorney services expenses including attorney services for expected City initiated prosecution of illegal land use and zoning violations occurring within the City's jurisdiction. These legal expenses should be reflected in the General Fund and not in the Public Liability Expense Fund as the Public Liability Expense Fund has typically been reserved for defense matters, not prosecution. This budget amendment results in no net fiscal impact to the General Fund. The Public Liability Expense fund ended fiscal year 2013-14 with a higher than anticipated fund balance due to lower than average expenditures in this fund. The reduction in the transfer from the General Fund to the Public Liability Fund should not have an adverse effect on this fund. City of Chula Vista Page 1 of 2 Printed on 11/26/2014 2014-12-02 Agenda Packet Page 292 File#: 14-0668, Item#: 10. DECISION-MAKER CONFLICT Staff has determined that the action contemplated by this item is ministerial, secretarial, manual, or clerical in nature and, as such, does not require the City Council members to make or participate in making a governmental decision, pursuant to California Code of Regulations Title 2, section 18702.4 (a). Consequently, this item does not present a conflict under the Political Reform Act (Cal. Gov't Code § 87100, et seq.). Staff is not independently aware, and has not been informed by any City Council member, of any other fact that may constitute a basis for a decision maker conflict of interest in this matter. LINK TO STRATEGIC GOALS The City's Strategic Plan has five major goals: Operational Excellence, Economic Vitality, Healthy Community, Strong and Secure Neighborhoods and a Connected Community. This action supports the Operational Excellence goal by communicating budget amendments in an open and transparent manner. This transparency supports City Initiative 1.3.1. - "Foster public trust through an open and ethical government." CURRENT YEAR FISCAL IMPACT There is no fiscal impact to the General Fund as a result of these changes. The Public Liability Expense fund ended fiscal year 2013-14 with a higher than anticipated fund balance due to lower than average expenditures in this fund. The reduction in the transfer from the General Fund to the Public Liability Fund should not have an adverse effect on this fund. ONGOING FISCAL IMPACT There is no ongoing fiscal impact as a result of this action. ATTACHMENTS None Staff Contact: Bart Miesfeld, Senior Assistant City Attorney City of Chula Vista Page 2 of 2 Printed on 11/26/2014 2014-12-02 Agenda Packet Page 293 RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA REDUCING THE TRANSFER FROM THE GENERAL FUND TO THE PUBLIC LIABILTY EXPENSE FUND BY $300,000 AND APPROPRIATING SAID FUNDS TO THE NON DEPARTMENTAL SUPPLIES AND SERVICES BUDGET FOR PROJECTED ATTORNEY SERVICES EXPENSES WHEREAS, the Public Liability Expense fund for the fiscal year 2013-14 ended with a higher than anticipated fund balance due to lower than expected expenditures; and WHEREAS, the current 2014-15 budget includes a transfer from the General Fund to the Public Liability Expense Fund of$649,000; and WHEREAS, attorney services expenses have been and will be incurred during the 2014-15 fiscal year that are not supported by the Public Liability Expense Fund including attorney services for City initiated prosecution of illegal land use and zoning violations occurring within the City's jurisdiction; and WHEREAS, reducing the transfer from the General Fund by $300,000 and appropriating those funds to the Non Departmental budget for attorney services expenses will result in no net fiscal impact to the General Fund. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista, that it approves the following budget amendments: Department/Fund . . Out . . Non Departmental $ 300,000 $ (300,000) $ - $ - $ - General Fund Total $ 300,000 $ (300,000) $ - $ - $ - Public Liability Expense $ - $ - $ - $(300,000) $(300,000) Public Liability Total $ - $ - $ - $(300,000) $(300,000) Presented by Approved as to form by Glen R. Googins Glen R. Googins City Attorney City Attorney 2014-12-02 Agenda Packet Page 294 City of Chula Vista CTY CHUILAVISTA Staff Report File#: 14-0596, Item#: 11. CONSIDERATION OF AN ENVIRONMENTAL IMPACT REPORT FOR OTAY RANCH VILLAGES THREE, A PORTION OF FOUR, EIGHT EAST, AND TEN RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA MAKING CERTAIN FINDINGS OF FACT; ADOPTING A STATEMENT OF OVERRIDING CONSIDERATIONS; ADOPTING A MITIGATION MONITORING AND REPORTING PROGRAM AND CERTIFYING THE FINAL ENVIRONMENTAL IMPACT REPORT (EIR-13-01 ; SCH NO. 2013071077) FOR THE OTAY RANCH UNIVERSITY VILLAGES SECTIONAL PLANNING AREA PLANS, GENERAL PLAN AMENDMENT, GENERAL DEVELOPMENT PLAN AMENDMENT AND TENTATIVE MAPS PURSUANT TO THE CALIFORNIA ENVIRONMENTAL QUALITY ACT RECOMMENDED ACTION Council conduct the public hearing and adopt the resolution. SUMMARY In accordance with the requirements of the California Environmental Quality Act (CEQA), an Environmental Impact Report (EIR), CEQA Findings of Fact and Statement of Overriding Considerations, and a Mitigation Monitoring and Reporting Program (MMRP) have been prepared for the Otay Ranch University Villages Sectional Planning Area (SPA) Plans, General Plan Amendment (GPA), General Development Plan Amendment (GDPA) and Tentative Maps (TMs). In accordance with Section 15105(a) of the CEQA Guidelines, the Draft University Villages EIR was circulated for a 45-day public review. Written comments were received during the public review period, and responses to the comments are included in the Final University Villages EIR. This staff report discusses the general content of the University Villages Final EIR, CEQA Findings of Fact, and MMRP. The City Council must consider the University Villages Final EIR before taking any action on the University Villages SPA Plans, GPA, GDPA and TMs. ENVIRONMENTAL REVIEW The Final EIR for the University Villages Project has been prepared in accordance with the State CEQA Guidelines and the Environmental Review Procedures of the City of Chula Vista. BOARD/COMMISSION RECOMMENDATION At its meeting of November 19, 2014, the Planning Commission considered Resolution No. EIR-13- 01 and unanimously recommended that the City Council certify the Final EIR No.-13-01. DISCUSSION SSBT LCRE V, LLC submitted an application requesting approvals for the University Villages SPA Plans, GPA, GDPA and TMs, which encompass Village Three North and a portion of Village Four, Village Eight East and Village Ten (collectively, the "Project"). The University Villages EIR evaluates the environmental effects of the Project. The Project proposes development of a maximum of 6,897 City of Chula Vista Page 1 of 11 Printed on 11/26/2014 istar 2014-12-02 Agenda Packet powered by Leg age 295 File#: 14-0596, Item#: 11. residential units and associated village land uses on approximately 751 acres and approximately 624 acres of Open Space Preserve for a total project area of approximately 1 ,375 acres. Land uses by village are shown in Table 1 . The Project includes three SPA plans, a GPA, GDPA and TMs, which includes: (a) an Otay Ranch Village Three North and a Portion of Village Four SPA Plan and TM (b) Otay Ranch Village Eight East SPA Plan and TM, and (c) Otay Ranch Village Ten SPA Plan and TM. Implementation of the proposed Project also requires Chula Vista Multiple Species Conservation Plan Boundary Adjustments (MSCPBAs), and Otay Ranch Resource Management Plan Boundary Adjustments (RMPBAs). The Project also proposes amendments to three approved Sectional Planning Area (SPA) Plans: Otay Ranch Villages Two, Three, and a Portion of Village Four SPA Plan, adopted by the Chula Vista City Council on June 4, 2006; Otay Ranch Village Seven SPA Plan, adopted by the Chula Vista City Council on October 4, 2004; and the Otay Ranch Village Nine SPA Plan, adopted by the Chula Vista City Council on June 3, 2014. CEQA Compliance The University Villages Final EIR has been prepared in accordance with CEQA(Public Resources Code Section 21000 et seq.), the CEQA Guidelines (California Code of Regulations (CCR) Title 14 Section 15000 et seq.) and the City of Chula Vista's Environmental Review Procedures. Pursuant to Section 21067 of CEQA and Section 15367 and Sections 15050 through 15053 of the CEQA Guidelines, the City of Chula Vista is the Lead Agency under whose authority the EIR has been prepared. Because of the size, complexity of issues and extended buildout period of the development of the Otay Ranch, both the planning and environmental documentation associated with Otay Ranch have been tiered from the general to the specific, in accordance with CEQA Statute Section 21093 and CEQA Guidelines Section15152. The first tier of planning and approvals included approval of the Final Otay Ranch GDP/Sub-regional Plan (SRP) and certification of the associated Program EIR (SCH No. 89010154; EIR-90-01) in 1993. EIR-90-01 was prepared and certified jointly by the City and County of San Diego with the intent that as specific villages and planning areas are proposed for development, second- tier documentation including more precise or project-level planning and environmental documentation would be prepared. Under such tiering principles, the University Villages SPA Plans, GPA, GDPA and TMs are analyzed at a second-tier level of review (project level) in the University Villages Final EIR, which incorporates by reference EIR-90-01 as well as its associated Findings of Fact and MMRP. Pursuant to CEQA Guidelines Section 15161, as a "Project EIR," the University Villages Final EIR is "focused primarily on the changes in the environment that would result from the development" (i.e., the Project). The University Villages Final EIR also incorporates, by reference, other prior EIRs that address the subject property including the Otay Ranch SPA One EIR (SCH No. 94101046), 2005 Chula Vista General Plan Update/Otay Ranch GDPA Program EIR (EIR-05-01; SCH No. 2004081066), 2006 Otay Ranch Villages Two, Three, and a Portion of Village Four SPA Plan Second Tier EIR (EIR-02-02; SCH No. 2003091012), and the 2013 City of Chula Vista GPA/Otay Ranch GDPA Supplemental EIR (SEIR-09-01; SCH No. 2004081066) as well as their associated Findings of Fact, Mitigation Monitoring and Reporting Programs, SPA Plans and TMs. Table 1 University Village Proposed Land Uses Land Use Gross Acres Commercial Squar Residential Dwelling Units Population' Footage Village Three North/Portion of Village Four Single-Family ResidE 115.2 1,002 3,247 Multi-Family Residen 10.8 515 1,667 Mixed-Use 8.2 20,000 80 259 Industrial 28.6 City of Chula Vista Page 2 of 11 Printed on 11/26/2014 istar 2014-12-02 Agenda Packet powered by Leg age 296 File#: 14-0596, Item#: 11. Office 5.2 Parks 25.7 School 8.3 Community-Purpose 4.2 Private Open Space 2.4 Open Space 35.4 Preserve 158.1b Circulation 33.9 Subtotal 43620,0001,5975, 174 Village Eight East Single-Family ResidE 117.1 943 3,055 Multi-Family Residen 6.2 2,177 7,053 Mixed Use 9.5 20,000 440 1,426 Parks c 58.8 School 10.8 Community-Purpose 4.2 Open Space a 33.8 Preserve 253.6 Circulation 29.6 Other(Future Devel 8.1 Other(SR-125 ROW 3.6 Subtotal 575.3 20,0003,560 11,534 Village Ten Single-Family Resid 74.8 695 2,252 Multi-Family Residen21.5 1,045 3,386 Parks 7.6 School 9.2 Community-Purpose 4.3 Open Space(OS-2) 16.5 Private Open Space 0.7 Preserve 212.7 Circulation 16.1 Subtotal 363.4 1,740 5,638 Total 1,374.7 40,000 6,897 22,346 ROW= right-of-way City of Chula Vista Page 3 of 11 Printed on 11/26/2014 2014-12-02 Agenda Packet Page 297 File#: 14-0596, Item#: 11. a Population estimates based on 3.24 persons per residential dwelling unit. b Includes 2.9 acres of roadway, which is located within the Preserve and is an allowable use in the Preserve. This acreage is not accounted for in the Circulation acreage. ° Includes 51.5 acres of Village Eight East Community Park (P-2) and 7.3 acres of Neighborhood Park. d Includes 22.6 acres of Active Recreation Area (AR-11) and 11.2 acres of Open Space Comments on the Draft EIR The University Villages Draft EIR was circulated for a 45-day public review period from August 5, 2014 through September 18, 2014. Letters of comment were received on the University Villages Draft EIR from the following agencies and individuals: Governor's Office of Planning and Research (State Clearinghouse) United State Fish and Wildlife Service and California Department of Fish and Wildlife California Department of Transportation, District 11 County of San Diego Department of Environmental Health County of San Diego Planning & Development Services San Diego County Archaeological Society Bonita Valley Horsemen and Tijuana River Valley Equestrian Association Duane Bazzel Allen Matkins/Otay Land Company Vulcan Materials Hazard Construction TC Construction West Coast Sand and Gravel Coast Aggregates Flatiron Comments received during the 45-day public review period and the responses to those comments have been included in the University Villages Final EIR (see Attachment 1). None of the comments received resulted in modifications to conclusions regarding significance of impacts, or the addition of significant new information that would require recirculation of the EIR pursuant to CEQA Guidelines Section 15088.5. Additional Revisions to Draft EIR Staff observed minor typographical errors and inconsistencies in the University Villages Draft EIR during the public review period. Corrections and clarifications have been made in the University Villages Draft EIR, and the University Villages Final EIR reflects the corrected information. None of the minor corrections and clarifications resulted in modifications to conclusions regarding significance of impacts or the addition of significant new information that would require recirculation of the EIR pursuant to CEQA Guidelines Section 15088.5. Findings of the University Villages Final EIR-13-01 The University Villages Final EIR identified direct and cumulative significant environmental effects (or "impacts") that would result from the Project. Where environmental impacts have been determined to be potentially significant, the University Villages Final EIR presents mitigation measures directed at reducing those adverse environmental effects. The mitigation measures proposed for the Project are feasible and will substantially lessen or avoid the significant effects of the Project on the environment, and have been included in the University Villages MMRP. Where environmental impacts have been determined to be significant and no feasible mitigation is available to reduce the impact to below significance, the impacts would be significant and unavoidable. Findings and a Statement of Overriding Considerations have been prepared in accordance with the requirements of CEQA (Pub. Resources Code Section 21081 and CEQA Guidelines City of Chula Vista Page 4 of 11 Printed on 11/26/2014 2014-12-02 Agenda Packet Page 298 File#: 14-0596, Item#: 11. Sections 15043, 15091, and 15093.) Summary of Environmental Impacts The following discussion contains a summary of the impact conclusions from the Final EIR. Direct (Project) and cumulative impacts (effects from the Project and other probable future projects) which when considered together are considerable or which compound or increase other environmental impacts (CEQA Guidelines Section 15130) are identified and divided into three categories: 1 . Significant and Unmitigated/Unavoidable 2. Significant and Mitigated to Less Than Significant 3. Less Than Significant/No Impact Cumulative impacts are cumulatively considerable when the incremental effects of the Project are significant when viewed in connection with the effects of past projects, the effects of other current projects, and the effects of probable future projects (CEQA Guidelines Section 15065(a)(3)). 1 . Significant and Unmitigated/Unavoidable Impacts • Landform and Aesthetics - Direct and Cumulative Impacts - The Project would result in a direct impact due to the change in character of the site from open, rolling topography to urban development. Due to the cumulative permanent conversion of the existing rural setting that characterizes Otay Ranch to an urban setting, the Project, in combination with planned future development, would result in a significant and unavoidable cumulative impact. Mitigation Measure AES-1 would reduce this impact but not to below significance. • Transportation, Circulation, and Access - Direct and Cumulative Impacts - The Project would result in direct impacts relative to conflicts with applicable congestion management plans and cumulative impacts at the following locations in the identified study years: 0 1-805 SB Ramps / Olympic Parkway intersection (Years 2020, 2025 and 2030) o Orange Avenue between Melrose Avenue and the 1-805 SB ramps (Years 2020, 2025 and 2030) 0 1-805, from SR-94 to Market Street(Years 2025 and 2030) 0 1-805, from Market Street to E Division Street (Years 2020, 2025 and 2030) 0 1-805, from Plaza Boulevard to Bonita Road (Year 2025 and 2030) 0 1-805, from Bonita Road to Telegraph Canyon Road (Year 2030) o SR-905 from 1-805 to La Media Road (Year 2030) • Air Quality - Direct and Cumulative Impacts - The Project would result in a significant direct and cumulative air quality impact City of Chula Vista Page 5 of 11 Printed on 11/26/2014 istar 2014-12-02 Agenda Packet powered by Leg age 299 File#: 14-0596, Item#: 11. because its development yields are not consistent with the growth projections in the current San Diego County Regional Air Quality Strategy (RAQS). The current RAQS are based on the City's 2005 GPU. Thus, the Project would exceed the regional growth projections until the RAQS is updated to reflect the projected growth. The Project would also result in a significant direct and cumulative impact because construction activities and project operations would violate air quality standards for criteria pollutants and contribute to an existing or projected air quality violation for criteria pollutants. • Cultural Resources - Cumulative Impact - Although the actions of the proposed Project would be mitigated through data recovery, curation, and reporting, the proposed Project's contribution to the cumulative loss of cultural resources would be cumulatively significant and unavoidable. • Agricultural Resources - Direct and Cumulative - The Project would result in a direct and cumulative impact to agricultural resources due to the conversion of undeveloped agricultural lands to an urban environment. • Sewer - Direct - As the location and scope of construction of any newly developed treatment facility is unknown at this time, the development of treatment capacity beyond the City's existing and allocated capacity may result in a potentially significant direct environmental impact, even though such a project would likely be subject to its own environmental review in compliance with CEQA. • Energy - Direct and Cumulative - Compliance with mitigation measure 5.3.5-1 of the 2013 Otay Ranch GPA/GDPA EIR in conjunction with Statewide and City energy programs and policies would reduce impacts. However, because no assurance can be made that long-term energy will be supplied to the site, as well as other planned development sites at full buildout, the Project would result in a significant direct and cumulative impact to energy resources. • Climate Change - Direct - The project would increase land use intensity and associated vehicle trips that have not been anticipated in local air quality plans; therefore, the Project would result in a direct impact due to the inconsistency at a regional level with the underlying growth forecasts in the RAQS. In addition, even with required mitigation measures AQ-1 and AQ-2, the Project would result in operational emissions that would exceed the City's significance thresholds for ozone precursors. Ozone precursors, such as nitrogen oxides (NOx) or volatile organic compounds (VOCs) are a contributing factor in global warming. All feasible mitigation measures have been required of the Project with respect to these impacts. City of Chula Vista Page 6 of 11 Printed on 11/26/2014 istar 2014-12-02 Agenda Packet powered by Leg age 300 File#: 14-0596, Item#: 11. Although in some instances these mitigation measures may substantially lessen these significant impacts, adoption of the measures will not fully avoid the impacts. Role of the City as a Lead Agency Regarding Significant and Unmitigated Impacts As a Lead Agency, the City must make findings pursuant to CEQA Guidelines Sections 15043, 15091, and 15093 for each significant and unmitigated impact. The attached Findings of Fact and Statement of Overriding Considerations have been prepared specifically for the Project actions for which the City has authority to approve or carry out (see Attachment 2, Findings of Fact and Statement of Overriding Considerations). Sections 15043, 15091 and 15093 of the CEQA Guidelines state that the adverse environmental effects are considered "acceptable" and a Lead Agency can approve a project that will result in the occurrence of significant effects when, based upon substantial evidence, findings have been made that specific economic, legal, social, technological or other considerations make infeasible the mitigation measures or project alternatives identified in the Final EIR, and benefits of a proposed project outweigh the policy of reducing or avoiding the significant environmental effects of the Project. 2. Significant and Mitigated to Less than Significant Significant impacts were identified in the following environmental issue areas, and mitigation measures were required in the EIR to reduce the impacts to less than significant. A MMRP (see Attachment 1) has been prepared to ensure that the mitigation measures will be implemented in accordance with specified monitoring requirements. • Land Use and Planning - - Mitigation Measures LU-1 through LU-3 would reduce potential land use compatibility impacts due to the presence of a City of San Diego water line within the Villages Eight East and Ten development areas. Mitigation Measure LU-4 would reduce potentially significant impacts due to the inconsistency with the intent of General Plan Policy E 6.4. • Landform Alteration and Aesthetics - Mitigation Measure AES-1 through AES-4 would reduce potentially significant impacts to Iandform alteration, lighting, glare, and shadows to less than significant. • Transportation, Circulation and Access - Mitigation Measures TCA-1 through TCA-17 would reduce potentially significant impacts to GMOC thresholds, access and frontage, traffic volumes and level of service standards to less than significant. • Air Quality Mitigation Measure AQ-3 would reduce potentially significant impacts to sensitive receptors from exposure to Toxic Air Contaminants (TACs)to less than significant. • Noise - Mitigation Measures NOW through N0I-9 and BIO-17 and BIO-18 would reduce potentially significant impacts related to exposure of sensitive receptors to excessive noise levels, short-term increase in noise level, temporary increases in ambient noise levels and groundbourne vibration noise levels to less than significant. • Cultural Resources - Mitigation Measures CUL-1 through CUL-6 would reduce potentially significant impacts to archaeological resources and human remains to less than significant. • Paleontological Resources - Mitigation Measures PAL-1 through PAL-4 would reduce potentially significant impacts to paleontological resources to less than significant. • Biological Resources - Mitigation Measures AQ-1 through AQ-3, HYD-1 through 5 and BI0-1 through BIO-17 would reduce potentially significant impacts to sensitive plant and wildlife species; riparian habitat and other sensitive natural communities; federally protected wetlands; wildlife movement; and conflicts with local policies and City of Chula Vista Page 7 of 11 Printed on 11/26/2014 2014-12-02 Agenda Packet Page 301 File#: 14-0596, Item#: 11. ordinances, Habitat Conservation Plans (HCP), and Natural Community Conservation Planning (NCCP) to less than significant. • Water Quality and Hydrology - Mitigation Measures HYD-1 through HYD-7 would reduce potentially significant impacts to water quality standards, drainage patterns, surface runoff, drainage capacity, and degradation of water quality, to less than significant. • Geology and Soils - Mitigation Measures GEO-1 and GEO-2 would reduce potentially significant impacts to exposure to expansive soils to less than significant. • Public Services - Mitigation Measures PUB-1 through PUB-15 would reduce potentially significant impacts to fire protection service standards, consistency with fire and emergency medical service policies, police service standards, consistency with police service policies, school facilities, schools siting, library service standards, deterioration of parks and recreation facilities, and parks and recreation standards to less than significant. • Public Utilities Mitigation Measures UTL-1 through UTL-7 would reduce potentially significant impacts to compliance with water supply standards and adequate wastewater facilities to less than significant. • Hazards/Risk of Upset Mitigation Measures HAZ-1 through HAZ-5 would reduce potentially significant impacts related to accidental release of hazardous materials; hazards to schools, airport hazards; consistency with hazard policies, and historic use of pesticides to less than significant. 3) Less than Significant Impacts/No Impact Less than significant impacts and no impacts were identified in the following environmental issue areas: • Land Use: With adoption of the proposed GDPA/GPA, conflicts with land use designations in the General Plan would be less than significant. No significant effects were identified for compatibility and/or conflicts with HCP, NCCP, and other land use plans and policies. The Project would not result in significant cumulative land use impacts. • Landform and Aesthetics: Less than significant effects were identified for scenic vistas, scenic resources within a state highway and consistency with visual character plans and policies. The project would not result in significant cumulative impacts to landform or light and glare. • Transportation, Circulation and Access: Less than significant effects were identified for road safety, emergency access, air traffic patterns and consistency with transportation and transit policies. • Air Quality: Less than significant effects were identified for the creation of objectionable odors. The Project would not result in significant cumulative impacts related to TACs or generation of odors. • Noise: Less than significant effects were identified for permanent increase in noise levels, aircraft noise, and consistency with noise plans and polices. The Project would not result in significant cumulative noise impacts. • Cultural Resources: Less than significant effects were identified for the significance of historical resources. • Paleontological Resources: Less than significant effects were identified for consistency with paleontological plans and policies and loss of paleontological resources. The Project would not result in significant cumulative paleontological resource impacts. • Water Quality and Hydrology: Less than significant effects were identified for groundwater supplies and recharge; hazards; consistency with water quality policies; flooding; and inundation. No impact was identified for placement of housing within the 100-year flood zone. The Project would not result in significant cumulative water quality or hydrology impacts. • Geology and Soils: Less than significant effects were identified for exposure to seismic hazards, soil erosion, geologic hazards; and consistency with geotechnical policies. The Project would not result in significant City of Chula Vista Page 8 of 11 Printed on 11/26/2014 2014-12-02 Agenda Packet Page 302 File#: 14-0596, Item#: 11. cumulative geology and soils impacts. • Public Services: Less than significant effects were identified for the provision of new or altered fire, police, library, recreation facilities; consistency with police, fire, school, library and park plans and policies; location of schools; and compliance with park thresholds. The Project would not result in significant cumulative impacts to public services. • Public Utilities: Less than significant direct effects were identified for new water, recycled water and wastewater treatment facilities; water supply; consistency with water, wastewater, recycled water, solid waste and energy plans and policies; wastewater treatment/engineering standards; sufficient landfill capacity; solid waste regulations; and wasteful use of energy. The Project would not result in significant cumulative impacts to public utilities except energy (discussed above). • Climate Change: Less than significant effects were identified for compliance with the goals of AB 32. The Project would not result in significant cumulative impacts to climate change. • Agricultural Resources: No significant effects were identified for conflicts with existing zoning; and consistency with agricultural resource policies and loss of forest land. • Hazards and Risk of Upset: Less than significant effects were identified for transport, use, storage or disposal of hazardous materials; existing hazardous material sites; emergency response and evacuation plans; wildland fires; and consistency with hazards plans and policies. The Project would not result in significant cumulative impacts to hazards and risk of upset. • Housing and Population: Less than significant effects were identified for population growth; and consistency with population/housing plans and policies. No impact was identified related to displacement of existing housing or people. The Project would not result in significant cumulative impacts to housing and population. • Mineral Resources: Less than significant effects were identified for loss of valuable or locally-important mineral resources; and consistency with mineral plans and policies. No impact was identified for the loss of a locally- important mineral resource recovery site. The Project would not result in significant cumulative impacts to mineral resources. Village Ten Deferral Plan The boundary between Villages Nine, Ten, and the University site were negotiated between the Applicant, the City, and Otay Land Company. The ultimate configuration was based on a proposal made by, and agreed to by, Otay Land Company. This configuration allowed the Village Ten SPA Plan Area to overlap Village Nine and was subject to a future land exchange agreement whereby Otay Land Company would benefit by receiving a corresponding acreage for development further to the north, at the intersection of Hunte Parkway and Eastlake Parkway. Because the land exchange agreement has not been finalized, the Project Applicant has developed a plan for Village Ten which does not rely on the need for the land exchange agreement. This revised land plan is generally referred to as the "Village Ten Deferral Plan." The Village Ten Deferral Plan involves the following components compared to the proposed Village Ten Tentative Map and SPA Plan: • The 9.3-acre Deferral Area is comprised of 6.4 acres of residential land uses, 0.7 acres of land designated for CPF land uses, 0.2 acres of internal circulation and 2.0 acres of manufactured open space. • The single-family neighborhoods south of Otay Valley Road identified on the proposed Village Ten land plan as a portion of neighborhoods R-8, R-13 and R-14 would be deferred. This would decrease the overall Village Ten residential units by 67 single- family units. • The Deferral Plan includes a reconfigured R-13 residential neighborhood comprised of 19 single family lots. • The 0.7 acre CPF-4 site designated on the Village Ten land plan would be deferred. This would decrease the overall Village Ten CPF acreage from 4.0 acres to 3.3 acres. The Village Ten Deferral Plan was evaluated at the Project level to provide an actionable item for the decision makers, should this become the preferred plan. All environmental issues addressed in the Draft EIR were evaluated. The analysis concluded that the changes to the proposed Project as a result of the Village Ten Deferral Plan would not create any new impacts that had not been previously identified, and in many cases the Village Ten Deferral Plan would slightly City of Chula Vista Page 9 of 11 Printed on 11/26/2014 istar 2014-12-02 Agenda Packet powered by Leg age 303 File#: 14-0596, Item#: 11. reduce impacts identified in the Draft EIR due to the reduction in residential units and associated reduction in vehicle trips. The Village Ten Deferral Plan would not result in any increase in the development footprint beyond what was previously analyzed. Conclusion All feasible mitigation measures with respect to impacts for the Project have been included in the University Villages Final EIR. As described above, the Project will result in unmitigable impacts that would remain significant after the application of these measures. Therefore, in order to approve the Project, the City must adopt Findings of Fact and a Statement of Overriding Considerations pursuant to CEQA Guidelines Sections 15043, 15091 and 15093 (see Attachment 2). The City has examined a reasonable range of alternatives to the proposed Project, other than the proposed Project described in the University Villages Final EIR. CEQA requires the examination of Project alternatives that could reduce or avoid significant impacts even if the alternatives would not accomplish the Project objectives. The University Villages Final EIR evaluated five alternatives: the No Project Alternative, Existing General Plan and Otay Ranch GDP Alternative (1,570 units), Reduced Density Alternative (4,053 units), Nuisance Easement Alternative (6,897 units, same as the project) and an Otay Subregional Plan (SRP) alternative (2,311 units). Section 15126.6(e)(2) of the CEQA Guidelines states that if the environmentally superior alternative is the No Project Alternative, the EIR shall also identify an environmentally superior alternative among the other alternatives. The impacts of the Nuisance Easement Alternative differ slightly from the proposed Project in that the mix of land uses would: • generate 38 fewer ADT than the proposed project; • use approximately 168 gpd more potable water, which is offset by the use approximately 1,477 gpd more recycled water; • increase sewage flows by approximately 4,145 gpd; and; • reduce the amount of residential units within the nuisance easement area (1,000 feet from property line) Based on the City's assessment of the potential significant impacts of both the proposed project and the Nuisance Easement Alternative, the City finds that the Nuisance Easement Alternative is the environmentally superior alternative among the other alternatives identified in the Draft EIR. The University Villages Final EIR meets the requirements of CEQA and, therefore, staff recommends that the City Council certify that EIR- 13-01 that has been prepared in accordance with CEQA, the State CEQA Guidelines and the Environmental Review Procedures of the City of Chula Vista; make certain Findings of Fact; and adopt the Statement of Overriding Considerations. DECISION-MAKER CONFLICT Staff has reviewed the property holdings of the City Council and has found no property holdings within 500 feet of the boundaries of the property which is the subject of this action. Staff is not independently aware, and has not been informed by councilmember, of any other fact that may constitute a basis for a decision maker conflict of interest in this matter. LINK TO STRATEGIC GOALS The City's Strategic Plan has five major goals: Operational Excellence, Economic Vitality, Healthy Community, Strong and Secure Neighborhoods and a Connected Community. The University Villages Project supports the Economic Vitality goal, particularly City Initiative 2.1.3 (Promote and support development of quality master-planned communities). The University Villages EIR supports the Villages Three, Portion of Four, Eight East and Ten implementation documents (the SPA Plan, GPA, GDPA and TM). Approval of those implementation level documents will assure the development of quality master-planned communities. CURRENT YEAR FISCAL IMPACT The processing costs for the SPA Plan, GPA, GDPA, TM, Environmental Impact Report and all supporting documents were funded by a developer deposit account. This account funded City staff and consultants representing the City concerning the University Villages project. City of Chula Vista Page 10 of 11 Printed on 11/26/2014 istar 2014-12-02 Agenda Packet powered by Leg age 304 File#: 14-0596, Item#: 11. ONGOING FISCAL IMPACT The ongoing costs for implementing the Mitigation Monitoring and Reporting Program will be funded by a developer deposit account. This account will fund City staff and consultants as necessary. ATTACHMENTS 1. University Villages FEIR-13-01 and Mitigation Monitoring and Reporting Program (disk provided) 2. Findings of Fact and Statement of Overriding Considerations (disk provided) 3. Draft City Council Resolution No. EIR-13-01 Staff Contact:Marni Borg, Environmental Project Manager City of Chula Vista Page 11 of 11 Printed on 11/26/2014 2014-12-02 Agenda Packet Page 305 RESOLUTION NO. EIR-13-01 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA MAKING CERTAIN FINDINGS OF FACT; ADOPTING A STATEMENT OF OVERRIDING CONSIDERATIONS; ADOPTING A MITIGATION MONITORING AND REPORTING PROGRAM AND CERTIFYING THE FINAL ENVIRONMENTAL IMPACT REPORT (EIR-13-01; SCH NO. 2013071077) FOR THE OTAY RANCH UNIVERSITY VILLAGES SECTIONAL PLANNING AREA PLANS, GENERAL PLAN AMENDMENT, GENERAL DEVELOPMENT PLAN AMENDMENT AND TENTATIVE MAPS PURSUANT TO THE CALIFORNIA ENVIRONMENTAL QUALITY ACT WHEREAS, SSBT LCRE V, LLC, submitted applications requesting approvals for Sectional Planning Area (SPA) Plans, a General Plan Amendment (GPA), General Development Plan Amendment (GDPA) and Tentative Maps (TM), for the University Villages, including Villages 3, 8 East and 10 (Project); and WHEREAS, a Draft Environmental Impact Report (Draft EIR-13-01 or Draft EIR) for the Project was issued for public review on August 5, 2014, and was processed through the State Clearinghouse; and WHEREAS, in consideration of the comments received on the Draft EIR and requirements of the California Environmental Quality Act (CEQA), a Final EIR (Final EIR-13- 01 or Final EIR) was prepared for the Project; and WHEREAS, Final EIR-13-01 incorporates all comments and recommendations received on the Draft EIR, a list of all persons, organizations, and public agencies commenting on the Draft EIR, and the City's responses to all "significant environmental points"raised by public and agency comments submitted during the review and consultation process, in accordance with CEQA Guidelines Section 15132; and WHEREAS, additional corrections to Final EIR-13-01 did not result in modifications to conclusions regarding significance of impacts or the addition of significant new information that would require recirculation of the EIR pursuant to CEQA Guidelines section 15088.5; and WHEREAS, Final EIR-13-01 incorporates, by reference, the prior EIRs that address the subject property including the 1993 Otay Ranch General Development Plan and Program EIR (SCH No. 89010154), Otay Ranch SPA One EIR (SCH No. 94101046), 2005 Chula Vista General Plan Update/Otay Ranch General Development Plan Amendment and Program EIR (SCH No. 2004081066), 2006 Otay Ranch Villages Two, Three, and a Portion of Village Four SPA Plan and Final Second Tier EIR (SCH No. 2003091012), and 2013 City of Chula Vista General Plan Amendment/Otay Ranch General Development Plan Amendment and Supplemental EIR (SCH No.2004081066) as well as their associated Findings of Fact and 1 2014-12-02 Agenda Packet Page 306 Mitigation Monitoring and Reporting Programs; and the Project SPA Plans, GPA, GDPA and TM; and WHEREAS, the Chula Vista Planning Commission held a duly noticed public hearing for Final EIR-13-01 on November 19, 2014 and, voted to approve a resolution recommending the City Council make certain Findings of Fact; adopt a Statement of Overriding Considerations; adopt a Mitigation Monitoring and Reporting Program and certify Final EIR-13-01 for the Otay Ranch University Villages SPA Plans, GPA, GDPA and TMs pursuant to CEQA; and WHEREAS, to the extent that the Findings of Fact and Statement of Overriding Considerations for the Project, dated November, 2014 (Exhibit "1" of this Resolution, a copy of which is on file in the office of the City Clerk), conclude that proposed mitigation measures outlined in Final EIR-13-01 are feasible and have not been modified, superseded or withdrawn, the City of Chula Vista herby binds itself and the Applicant and its successors in interest, to implement those measures. These findings are not merely information or advisory, but constitute a binding set of obligations that will come into effect when the City adopts the Resolution approving the Project. The adopted mitigation measures contained within the Mitigation Monitoring and Reporting Program Section of Final EIR-13-01 are expressed as conditions of approval. Other requirements are referenced in the Mitigation Monitoring and Reporting Program that are adopted concurrently with these Findings of Fact and will be effectuated through the process of implementing the Project. NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL of the City of Chula Vista does hereby find, determine,resolve and order as follows: L PLANNING COMMISSION AND CITY COUNCIL RECORD The proceedings and all evidence introduced before the Planning Commission at their public hearing on Final EIR-13-01 held on November 19, 2014, and before the City Council at their public hearing held on December 2, 2014, as well as the Minutes and Resolutions resulting therefrom on Final EIR-13-01 shall be incorporated into the record of proceedings pursuant to Public Resources Code Section 21167.6. These documents, along with any documents submitted to the decision-makers, including documents specified in Public Resources Code Section 21167.6, subdivision (e), shall comprise the entire record of proceedings for any claims under the CEQA (Public Resources Code §21000 et seq.) The record of proceedings shall be maintained by the City Clerk at City Hall. IL Final EIR-13-01 CONTENTS That Final EIR-13-01 consists of the following: 1. EIR for the University Villages SPA Plans, GPA, GDPA and TMs 2. Comments received during public review and responses 3. Mitigation Monitoring and Reporting Program 4. Technical Appendices 2 2014-12-02 Agenda Packet Page 307 (All hereafter collectively referred to as "Final EIR-13-01") III. ACCOMPANYING DOCUMENT TO Final EIR-13-01 1. Findings of Fact and Statement of Overriding Considerations IV. PRESENTATION TO THE DECISIONMAKING BODY That the City Council does hereby certify that Final EIR-13-01 was presented to the City Council as the decision-making body of the lead agency and that the City Council has reviewed and considered the information contained in Final EIR-13-01 prior to approving the Project. V. COMPLIANCE WITH THE CALIFORNIA ENVIRONMENTAL QUALITY ACT That the City Council does hereby certify that Final EIR-13-01, the Findings of Fact and the Statement of Overriding Considerations (Exhibit"1"to this Resolution, a copy which is on file with the office of the City Clerk), and the Mitigation Monitoring and Reporting Program are prepared in accordance with the requirements of CEQA (Pub. Resources Code, §21000 et seq.), the CEQA Guidelines (California Code Regs. Title 14 §15000 et seq.), and the Environmental Review Procedures of the City of Chula Vista. VI. INDEPENDENT JUDGMENT OF CITY COUNCIL That the City Council does hereby certify that Final EIR-13-01 reflects the independent judgment and analysis of the City of Chula Vista as lead agency for the Project. VII. CEQA FINDINGS OF FACT, MITIGATION MONITORING AND REPORTING PROGRAM AND STATEMENT OF OVERRIDING CONSIDERATIONS A. Adoption of Findings of Fact The City Council does hereby approve, accept as its own, incorporate as if set forth in full herein, and make each and every one of the findings contained in Exhibit "1" to this Resolution, a copy of which is on file in the office of the City Clerk. B. Mitigation Measures Feasible and Adopted On the basis of the findings set forth in Exhibit"1" to this Resolution and as more fully identified and set forth in Final EIR-13-01, the City Council hereby finds pursuant to CEQA Section 21081 and CEQA Guidelines Section 15091 that changes or alterations have been required in, or incorporated into the Project which avoid or substantially lessen the significant environmental effects identified in Final EIR-13-01, and that such changes and alterations have eliminated or 3 2014-12-02 Agenda Packet Page 308 substantially lessened all significant effects on the environment where feasible as shown in the findings set forth in Exhibit"1"to this Resolution. Furthermore, the measures to mitigate or avoid significant effects on the environment, consisting of those mitigation measures set forth in Final EIR-13-01 and in Exhibit "1" to this Resolution, are fully enforceable through permit conditions, agreements or other measures, including but not limited to conditions of approval of the Project, and will become binding upon the entity (such as the project proponent or the City) assigned thereby to implement the same. C. Infeasibility of Mitigation Measures As more fully identified and set forth in Final EIR-13-01 and in the Findings of Fact for the Project, which is Exhibit "1" to this Resolution, certain mitigation measures described in said documents are infeasible. D. Statement of Overriding Considerations Even after the adoption of all feasible mitigation measures and any feasible alternatives, certain significant or potentially significant environmental effects caused by the project, or cumulatively,will remain. However, pursuant to CEQA Guidelines Section 15092, the City Council hereby finds and determines that any remaining significant effects on the environment which have been found to be unavoidable as shown in the findings set forth in Exhibit "1" to this Resolution are acceptable due to certain overriding considerations. Therefore, the City Council of the City of Chula Vista hereby approves, pursuant to CEQA Guidelines Section 15093, a Statement of Overriding Considerations in the form set forth in Exhibit "1" to this Resolution identifying the specific economic,legal, social, technological or other considerations that outweigh and render the unavoidable significant adverse environmental effects acceptable. E. Infeasibility of Alternatives As more fully identified and set forth in Final EIR-13-01 and in Exhibit "1" to this Resolution, the City Council hereby finds pursuant to Public Resources Code Section 21081 and CEQA Guidelines Section 15091 that alternatives to the project, which were identified in Final EIR-13-01, were not found to reduce impacts to a less than significant level or meet the project objectives. F. Adoption of Mitigation Monitoring and Reporting Program As required by Public Resources Code Section 21081 and CEQA Guidelines Section 15091, the City Council hereby adopts the program for reporting on or monitoring the changes which it has either required in the Project or made a condition of approval to avoid or substantially lessen significant environmental effects, consisting of the Mitigation Monitoring and Reporting Program set forth in Final EIR-13-01. The City Council further finds that the Mitigation 4 2014-12-02 Agenda Packet Page 309 Monitoring and Reporting Program is designed to ensure that, during Project implementation, the permittee/Project Applicant and any other responsible parties implement the Project components and comply with the mitigation measures identified in the Findings of Fact and the Mitigation Monitoring and Reporting Program. VIII. NOTICE OF DETERMINATION The Development Services Director of the City of Chula Vista is directed to file a Notice of Determination with the County Clerk of the County of San Diego, should City Council approve this Project in accordance with CEQA Guidelines section 15094. BE IT FURTHER RESOLVED THAT the City Council of the City of Chula Vista on the basis of the findings as set forth above certifies Final EIR-13-01, and adopts the Findings of Fact and Statement of Overriding Considerations (Exhibit "1" to this Resolution), and Mitigation Monitoring and Reporting Program in accordance with CEQA Guidelines Section 15091. Submitted by Approved as to form by Kelly Broughton, FASLA Glen R. Googins Development Services Director City Attorney Exhibit 1 - Findings of Fact and Statement of Overriding Considerations H:\PLANNING\MamiB\CC RESO UniversityVillages FEIR 111814.doc 5 2014-12-02 Agenda Packet Page 310 Final Environmental Impact Report Otay Ranch University Villages Project (EIR 13-01 ; SCH No. 20 1 307 1 077) CEQA Findings of Fact and Statement of Overriding Considerations Lead Agency City of Chula Vista 276 Fourth Avenue Chula Vista, California 91910 NOVEMBER 2014 2014-12-02 Agenda Packet Page 311 Printed on 30% post-consumer recycled material. 2014-12-02 Agenda Packet Page 312 CEQA Findings of Fact and Statement of Overriding Considerations TABLE OF CONTENTS Section Page No. 1.0 INTRODUCTION..............................................................................................................1 2.0 PROJECT DESCRIPTION..............................................................................................3 2.1 Discretionary Actions ............................................................................................. 5 2.2 Project Objectives................................................................................................... 7 2.2.1 Village Three North and a Portion of Village Four.................................... 8 2.2.2 Village Eight East....................................................................................... 8 2.2.3 Village Ten.................................................................................................. 9 2.3 Background............................................................................................................. 9 3.0 RECORD OF PROCEEDINGS.....................................................................................11 4.0 FINDINGS REQUIRED UNDER CEQA......................................................................13 4.1 Legal Effects of Findings...................................................................................... 16 4.2 Procedural Findings .............................................................................................. 16 5.0 MITIGATION MONITORING AND REPORTING PROGRAM............................19 6.0 SUMMARY OF IMPACTS............................................................................................21 7.0 FINDINGS REGARDING POTENTIALLY SIGNIFICANT DIRECT, INDIRECT,AND CUMULATIVE EFFECTS AND MITIGATION MEASURES.....23 7.1 Impacts Mitigated to Less-Than-Significant Levels............................................. 23 7.1.1 Land Use, Planning, and Zoning............................................................... 23 7.1.2 Landform Alteration/Aesthetics................................................................ 27 7.1.3 Transportation, Circulation, and Access................................................... 29 7.1.4 Air Quality ................................................................................................ 64 7.1.5 Noise ......................................................................................................... 65 7.1.6 Cultural Resources.................................................................................... 83 7.1.7 Paleontological Resources ........................................................................ 89 7.1.8 Biological Resources ................................................................................ 97 7.1.9 Water Quality and Hydrology................................................................. 124 7.1.10 Geology and Soils................................................................................... 133 7.1.11 Public Services........................................................................................ 135 7.1.12 Utilities---------------------------------------------------------------------------------------------------- 143 7.1.13 Hazards --------------------------------------------------------------------------------------------------- 147 7.2 Significant and Unavoidable Impacts................................................................. 155 7.2.1 Landform Alteration/Aesthetics.............................................................. 155 7.2.2 Transportation, Circulation, and Access................................................. 157 Otay Ranch University Villages Project Final EIR i 2014-12-02 Agenda Packet Page 313 CEQA Findings of Fact and Statement of Overriding Considerations TABLE OF CONTENTS (CONTINUED) Section Page No. 7.2.3 Air Quality .............................................................................................. 171 7.2.4 Cultural Resources.................................................................................. 178 7.2.5 Agricultural Resources............................................................................ 180 7.2.6 Utilities.................................................................................................... 181 7.2.7 Global Climate Change........................................................................... 184 8.0 FEASIBILITY FOR POTENTIAL PROJECT ALTERNATIVES .........................187 8.1 Existing GP and GDP Alternative ...................................................................... 189 8.2 Reduced Density Alternative.............................................................................. 193 8.3 Nuisance Easement Alternative.......................................................................... 196 8.4 Otay SRP Alternative.......................................................................................... 201 8.5 No Project(No Build) Alternative......................................................................204 8.6 Environmentally Superior Alternative................................................................ 206 9.0 STATEMENT OF OVERRIDING CONSIDERATIONS.........................................209 9.1 Project Benefits................................................................................................... 212 9.1.1 Implementation of the Otay Ranch General Development Plan Goals, Objectives and Principles ............................................................ 212 9.1.2 Extraordinary Benefits............................................................................ 215 10.0 CONCLUSION..............................................................................................................219 TABLES 1 Proposed Land Uses.............................................................................................................3 2 Future Discretionary Approvals and Permits.......................................................................6 Otay Ranch University Villages Project Final EIR ii 2014-12-02 Agenda Packet Page 314 CEQA Findings of Fact and Statement of Overriding Considerations 1.0 INTRODUCTION The Final Environmental Impact Report (Final EIR) prepared for the Otay Ranch University Villages Project (proposed project) addresses the potential environmental effects associated with implementation of the project. In addition, the Final EIR evaluates five alternatives to the project. These alternatives include the following: (1) Existing General Plan and General Development Plan Alternative; (2) Reduced Density Alternative; (3) Nuisance Easement Alternative; (4) Otay Subregional Plan Alternative; and(5)No Project Alternative. The Final EIR represents a second tier EIR, in accordance with California Environmental Quality Act(CEQA) Section 21094, and tiers from the certified City of Chula Vista General Plan Update EIR (SCH No. 2004081066) and the Otay Ranch General Development Plan Program EIR (SCH No. 89010154). These findings have been prepared in accordance with requirements of CEQA (Pub. Resources Code § 21000 et seq.) and the CEQA Guidelines (Cal. Code Regs. tit. 14, § 15000 et seq.). Otay Ranch University Villages Project Final EIR 1 2014-12-02 Agenda Packet Page 315 CEQA Findings of Fact and Statement of Overriding Considerations INTENTIONALLY LEFT BLANK Otay Ranch University Villages Project Final EIR 2 2014-12-02 Agenda Packet Page 316 CEQA Findings of Fact and Statement of Overriding Considerations 2.0 PROJECT DESCRIPTION The project proposes 6,897 homes and associated village land uses on approximately 751 acres and approximately 624 acres of Open Space Preserve for a total project area of approximately 1,375 acres. Implementation of the proposed project requires Chula Vista General Plan Amendments (GPA), a Chula Vista Multiple Species Conservation Program (MSCP) Boundary Adjustment, Otay Ranch General Development Plan (GDP) Amendments, and Otay Ranch Resource Management Plan (RMP) Boundary Adjustments. The project also proposes amendments to three Sectional Planning Area (SPA) Plans: Otay Ranch Village Two, Village Three, and a Portion of Village Four SPA Plan, adopted by the Chula Vista City Council on June 4, 2006; Otay Ranch Village Seven SPA Plan, adopted by the Chula Vista City Council on October 4, 2004; and the Otay Ranch Village Nine SPA Plan, adopted by the Chula Vista City Council on June 3, 2014. Three SPA plans are proposed: (a) an Otay Ranch Village Three North and a Portion of Village Four SPA Plan; (b) Otay Ranch Village Eight East SPA Plan; and (c) Otay Ranch Village Ten SPA Plan. Three Tentative Maps (TMs) are also proposed: (a) Village Three North and a Portion of Village Four; (b)Village Eight East; and (c) Village Ten. The development program for the proposed project is based on the Chula Vista General Plan and the approved Otay Ranch planning documents (Otay Ranch GDP, Overall Design Plan, and other SPA plans for Otay Ranch), which describe the land use plans and general design characteristics of the Otay Ranch villages. The village design is intended to provide balanced and diverse land uses, focus on transit and pedestrian orientation, and create a sense of place for village residents. The land uses for each village are identified below in Table 1. Table 1 Proposed Land Uses Commercial Square Residential Land Use Gross Acres Footage Dwelling Units Populationa Village Three North/Portion of Village Four Single-Family Residential 115.2 1,002 3,247 Multi-Family Residential 10.8 515 1,667 Mixed-Use 8.2 20,000 80 259 Industrial 28.6 Office 5.2 Parks 25.7 School 8.3 Community-Purpose Facilities 4.2 Private Open Space 2.4 Open Space 35.4 Otay Ranch University Villages Project Final EIR 3 2014-12-02 Agenda Packet Page 317 CEQA Findings of Fact and Statement of Overriding Considerations Table 1 (Continued) Proposed Land Uses Commercial Square Residential Land Use Gross Area Footage Dwelling Units Populationa Village Three North/Portion of Village Four Preserve 158.1 b Circulation 33.9 Subtotal 436 20,000 1,597 5,174 Village Eight East Single-Family Residential 117.1 943 3,055 Multi-Family Residential 46.2 2,177 7,053 Mixed Use 9.5 20,000 440 1,426 Parks c 58.8 School 10.8 Community-Purpose Facilities 4.2 Open Space d 33.8 Preserve 253.6 Circulation 29.6 Other(Future Development 8.1 Areas) Other(SR-125 ROW,Lot 4) 3.6 Subtotal 575.3 20,000 3,560 11,534 Village Ten Single-Family Residential 74.8 695 2,252 Multi-Family Residential 21.5 1,045 3,386 Parks 7.6 School 9.2 Community-Purpose Facilities 4.3 Open Space(OS-2) 16.5 Private Open Space 0.7 Preserve 212.7 Circulation 16.1 Subtotal 363.4 1,740 5,638 Total 1,374.7 40,000 6,897 22,346 ROW=right-of-way a Population estimates based on 3.24 persons per residential dwelling unit. b Includes 2.9 acres of roadway, which is located within the Preserve and is an allowable use in the Preserve. This acreage is not accounted for in the Circulation acreage. Includes 51.5 acres of Village Eight East Community Park(P-2)and 7.3 acres of Neighborhood Park. d Includes 22.6 acres of Active Recreation Area(AR-11)and 11.2 acres of Open Space Otay Ranch University Villages Project Final EIR 4 2014-12-02 Agenda Packet Page 318 CEQA Findings of Fact and Statement of Overriding Considerations 2.1 Discretionary Actions A discretionary action is an action taken by an agency that calls for the exercise of judgment in deciding whether to approve or how to carry out a project. The following discretionary actions are associated with the proposed project and will be considered by the Chula Vista Planning Commission and City Council: • Certification of a Final EIR, adoption of the Mitigation Monitoring and Reporting Program pursuant to CEQA, and approval of the CEQA Findings of Fact and Statement of Overriding Considerations; • Approval of the Chula Vista General Plan Amendments (please see discussion in EIR Section 4.2.8); • Approval of the Otay Ranch GDP Amendments(please see discussion in EIR Section 4.2.8); • Approval of the Otay Ranch RMP Boundary Modification; • Approval of amendments to the Villages Two, Three, and a portion of Four SPA Plan; Village Seven SPA Plan and Village Nine SPA Plan; • Adoption of the Village Three North and a Portion of Village Four SPA Plan (please see discussion in EIR Section 4.2.9); • Adoption of the Village Eight East SPA Plan(please see discussion in EIR Section 4.2.9); • Adoption of the Village Ten SPA Plan (please see discussion in EIR Section 4.2.9); • Approval of three Tentative Maps (TMs): Village Three North and a Portion of Four; Village Eight East; and Village Ten (please see discussion in EIR Section 4.2.6); • Approval of the Chula Vista Multiple Species Conservation Program (MSCP) Subarea Plan Boundary Adjustment(please see discussion in EIR Section 4.2.8); • Issuance of the Habitat Loss and Incidental Take (HLIT) Ordinance Permit; and • Approval of the amendments to the Development Agreements in accordance with the Land Offer Agreement provisions. Additionally, implementation of the Project may require that the Applicant obtain approval, permits, licenses, certifications, or entitlements from various federal, state, and other local agencies, including but not limited to those listed in Table 2. Otay Ranch University Villages Project Final EIR 5 2014-12-02 Agenda Packet Page 319 CEQA Findings of Fact and Statement of Overriding Considerations Table 2 Future Discretionary Approvals and Permits Agency Agency Discretionary Approval/Permit Description Status Notes/Explanation Final"A"Map(s)/Financial Parcel City of Chula Vista Lead Agency Mapping to facilitate project financing. Map(s) Final"B"Map(s) City of Chula Vista Lead Agency Final mapping to facilitate development. Construction and Encroachment City of Chula Vista Lead Agency Construction and encroachment permits are Permit(s) required for work performed within the City's road right-of-way. License, Easement, Entry Permit, City of San Diego Responsible Approval to relocate City of San Diego waterlines Encroachment Permit, Land Sale, Agency through Villages Eight East and Ten from existing Land Exchange,or Other Similar alignment into future alignment of Otay Valley Action Road/La Media Road. Construction and Encroachment Caltrans Responsible Construction and encroachment permits are Permit(s) Agency required for work performed within Caltrans road right-of-way(SR-125). Site Plans City of Chula Vista Lead Agency Site plans for single-family residential,mixed-use sites,and park developments. Village Core Master Precise City of Chula Vista Lead Agency Each SPA Plan includes a requirement to prepare Plans a subsequent Master Precise Plan to better define the village core uses,character and site plan. Section 401 Water Quality RWQCB Responsible Action required for development projects affecting Certification Agency waters of the United States. Section 404 Permit—Clean ACOE Responsible Action required for development projects affecting Water Act Agency waters of the United States. Streambed Alteration CDFW Responsible Action required for development projects affecting Agreement/Memorandum of Agency/Trustee jurisdictional streams/waters. Understanding Agency Air Quality Permit SDAPCD Responsible Action required for construction and development Agency projects using certain machinery,such as backup or emergency generators. NPDES Permit;General RWQCB Responsible Action required for development projects. Construction Activity Storm Water Agency Permit, including the Storm Water Pollution Prevention Plan NPDES General Groundwater RWQCB Responsible Permit would be applicable if groundwater Extraction Waste Discharge Agency disposal is proposed during construction. Permit General Construction Storm RWQCB Responsible Action required for development projects. Water Permit Agency Subarea Master Plan(s) OWD Responsible Reporting approval required from OWD for overall Agency water availability,service connection,etc. Caltrans=California Department of Transportation;RWQCB=Regional Water Quality Control Board;ACOE=U.S.Army Corps of Engineers; CDFW=California Department of Fish and Wildlife,SDAPCD=San Diego Air Pollution Control District;NPDES=National Pollutant Discharge Elimination System;OWD=Otay Water District Otay Ranch University Villages Project Final EIR 6 2014-12-02 Agenda Packet Page 320 CEQA Findings of Fact and Statement of Overriding Considerations 2.2 Project Objectives Section 15124(b) of the CEQA Guidelines requires an EIR to include a statement of objectives sought by the proposed project that outlines the underlying purpose of the project and assists in the development of project alternatives. In addition to more specific objectives for each of the project's components set forth later in this section, the SPA Plans identify the following general objectives of the proposed project: • Implement the goals, objectives, and policies of the Chula Vista General Plan, the MSCP Subarea Plan, the Otay Ranch GDP, the Otay Ranch Phase 1 and Phase 2 RMP, the Otay Ranch Facility Implementation Plan,the Otay Ranch Village Phasing Plan, and the Otay Ranch Service/Revenue Plan. • Provide a wide variety of housing options, including affordable housing, to City residents, future students and faculty of the planned 4-year university and employees of the Regional Technology Park,Village Eight West and Village Nine Town Centers and the EUC. • Implement the City of Chula Vista Growth Management Ordinance to ensure that public facilities are provided in a timely manner and financed by the parties creating the demand for, and benefiting from, the improvements. • Foster development patterns that promote orderly growth and prevent urban sprawl by comprehensively planning Villages Three North and a Portion of Village Four, Eight East, and Ten simultaneously. • Add to the creation of a unique Otay Ranch image that differentiates Otay Ranch from other communities. • Accentuate the relationship of the land use plan with its natural setting and the physical character of the region and promote effective management of natural resources by concentrating development in less sensitive areas while preserving large, contiguous open space areas with sensitive resources. • Establish multi-use trail linkages to the Chula Vista Greenbelt, consistent with the Chula Vista Greenbelt Master Plan. • Wisely manage limited natural resources. • Implement the Otay Valley Regional Park (OVRP) Concept Plan within the SPA boundaries through the planning and provision of portions of, and connections to, the City's Greenbelt trail network. • Establish land use and facility plans that assure the economic viability of the SPA Plan Areas in consideration of existing and anticipated economic conditions. Otay Ranch University Villages Project Final EIR 7 2014-12-02 Agenda Packet Page 321 CEQA Findings of Fact and Statement of Overriding Considerations 2.2.1 Village Three North and a Portion of Village Four Project Objectives The objectives of the Village Three North and a Portion of Village Four SPA Plan are as follows: • Develop a business park that provides a strong employment base for Village Three North residents and the City of Chula Vista, and supports the economic development goals of the Chula Vista General Plan. • Develop Mixed-Use Office/Commercial uses within a village core area that provide a strong employment base for Village Three North residents and the City of Chula Vista, and meet the commercial/retail needs of the village and surrounding villages. • Establish a pedestri an-oriented urban village with a village core designed to reduce reliance on the automobile and promote multimodal transportation, including walking and the use of bicycles,buses, and regional transit. • Promote synergistic uses between Village Three North and the adjacent Village Two by providing pedestrian/trail connections and complementary land uses to balance housing, activities, services, and facilities. 2.2.2 Village Eight East Project Objectives The objectives of the Village Eight East SPA Plan are as follows: • Establish a pedestri an-oriented urban village with a village core designed to reduce reliance on the automobile and promote multimodal transportation, including walking and the use of bicycles, buses, and regional transit. • Promote synergistic uses between Village Eight East and Village Eight West, the Eastern Urban Center, and the University/Regional Technology Park to balance activities, services, and facilities with employment, housing, transit, and commercial opportunities. • Develop, maintain, and enhance a sense of community identity that complements the future Village Eight West Town Center and surrounding land uses. • Designate a portion of Active Recreation Area (AR-11) as a 51.5-acre Community Park (a portion of the park may function as a staging area within the OVRP). • Establish a community park with amenities such as multipurpose open lawn areas, lighted ball fields, lighted sports courts, lighted picnic shelters, play areas, a community center building, lighted parking areas, and restroom and maintenance buildings. Otay Ranch University Villages Project Final EIR 8 2014-12-02 Agenda Packet Page 322 CEQA Findings of Fact and Statement of Overriding Considerations 2.2.3 Village Ten Project Objectives The objectives of the Village Ten SPA Plan are as follows: • Establish a pedestrian-oriented urban village within the University Planning Area designed to complement and support the University land uses, reduce reliance on the automobile, and promote multimodal transportation, including walking and the use of bicycles,buses, and regional transit. • Promote synergistic uses between Village Ten and Village Nine and the University to balance employment,retail,and educational activities,as well as services,housing, and public facilities. • Develop, maintain, and enhance a sense of community identity that complements the University and Village Nine Town Center. 2.3 Background Otay Ranch lies within the East Planning Area of the City, as identified in the City's General Plan. The proposed project is a component of the Otay Ranch GDP, which organizes the Otay Ranch into 20 villages and planning areas. The 1,375-acres project area is located within the Otay Valley Parcel of the Otay Ranch. The project area is comprised of Village Three North, a portion of Village Four, Village Eight East, and Village Ten. In addition, the proposed project includes necessary off-site improvements totaling approximately 160 acres. The boundaries of these villages differ from those identified in the Otay Ranch GDP due to ownership patterns that do not match the Otay Ranch GDP village boundaries and Otay Ranch GDP amendments approved in 2013. The Village Three North component of the proposed project encompasses a portion of Village Three as identified in the Otay Ranch GDP. The portion of Village Four included in the proposed project area is within the Otay Ranch GDP boundaries of Village Four; however, it is limited to 29.7 acres. Village Eight East encompasses the eastern part of Village Eight, adjacent to SR-125, as identified in the Otay Ranch GDP, as well as a portion of Village Seven. The Village Ten component of the proposed project includes the eastern portion of Village Nine and the southern portion of Village Ten as identified in the Otay Ranch GDP. Implementation of the proposed project requires Chula Vista GPAs, Chula Vista Multiple Species Conservation Plan Boundary Adjustments (MSCPBAs), Otay Ranch General ' The current ownership is 1,363 acres;however,as part of the proposed project,approximately 12 acres of land currently within the SR-125 ROW will be"decertified" (removed from the ROW)and exchanged with Caltrans, resulting in a project total of 1,375 acres. Otay Ranch University Villages Project Final EIR 9 2014-12-02 Agenda Packet Page 323 CEQA Findings of Fact and Statement of Overriding Considerations Development Plan Amendments (GDPAs), and Resource Management Plan Boundary Modifications (RMPBAs). The project also proposes amendments to three approved SPA Plans: (1) Otay Ranch Villages Two, Three, and a Portion of Village Four SPA Plan, adopted by the Chula Vista City Council on June 4, 2006; (2) Otay Ranch Village Seven SPA Plan, adopted by the Chula Vista City Council on October 4, 2004; and (3) the Otay Ranch Village Nine SPA Plan, adopted by the Chula Vista City Council on June 3, 2014. Otay Ranch University Villages Project Final EIR 10 2014-12-02 Agenda Packet Page 324 CEQA Findings of Fact and Statement of Overriding Considerations 3.0 RECORD OF PROCEEDINGS For purposes of CEQA and the Findings and Statement of Overriding Considerations set forth below, the administrative record of the City Council decision on the environmental analysis of this project shall consist of the following: • The Notice of Preparation and all other public notices issued by the City in conjunction with the project; • The Draft and Final EIR for the project (EIR 913-01, SCH 92013071077), including appendices and technical reports; • All comments submitted by agencies or members of the public during the public comment period on the Draft EIR; • All reports, studies,memoranda, maps, staff reports, or other planning documents relating to the project prepared by the City, consultants to the City, or responsible or trustee agencies with respect to the City's compliance with the requirements of CEQA and the City's actions on the project; • All documents, materials, comments, and correspondence submitted by the project applicant and members of the public and public agencies in connection with this project, in addition to comments on the EIR for the project; • All documents submitted to the City by other public agencies or members of the public in connection with the EIR and the project,up through the close of the public hearing; • All staff reports and analyses, and legislative details prepared and provided in connection with the EIR and the project; • Minutes and verbatim transcripts of the scoping meeting, other public meetings, and public hearings held by the City; • All findings and resolutions adopted by City decision makers in connection with this project and certification of the Final EIR, and all documents cited or referred to therein; and • Matters of common knowledge to the City which the members of the City Council considered regarding this project, including federal, state, and local laws and regulations, and including but not limited to the following: • Chula Vista General Plan; • General Plan Update Final EIR (EIR 905-01, SCH 92004081066) and associated Mitigation Monitoring and Reporting Program; • Otay Ranch General Development Plan Program Draft and Final EIRs (SCH 4 89010154), including all appendices, and technical reports. Otay Ranch University Villages Project Final EIR 11 2014-12-02 Agenda Packet Page 325 CEQA Findings of Fact and Statement of Overriding Considerations o General Plan Amendment/Otay Ranch General Development Plan Amendment and Supplemental EIR(SEIR 09-01, SCH 92004081066); o Relevant portions of the Zoning Code of the City; o City of Chula Vista Multiple Species Conservation Program Subarea Plan; and o Any other materials required to be in the record of proceedings by Public Resources Code Section 21167.6, subdivision (e). The City Council has relied on all of the documents listed above in reaching its decision on the project, as well as the CEQA Findings and Statement of Overriding Considerations, even if every document was not formally presented to the City Council or City staff as part of the City files generated in connection with the project. Without exception, any documents set forth above but not found in the project files fall into two categories. Many of them reflect prior planning or legislative decisions with which the City Council was aware in approving the project (see City of Santa Cruz v. Local Agency Formation Commission (1978) 76 Cal.App.3d 381, 391-392; Dominey v. Department of Personnel Administration (1988) 205 Cal.App.3d 729, 738, fn. 6). Other documents influenced the expert advice provided to City staff or consultants, who then provided advice to the City Council. For that reason, such documents form part of the underlying factual basis for the City Council's decisions relating to the adoption of the project (see Pub. Resources Code, § 21167.6, subd. (e)(10); Browing Ferris Industries v. City Council of City of San Jose (1986) 181 Cal. App.3d 852, 866; Stanislaus Audubon Society, Inc. v. County of Stanislaus (1995) 33 Cal.App.4th 144, 153, 155). The documents and other materials that constitute the record of proceedings on the project and the EIR on which the City's decisions, determinations, findings and approvals are based are located at the City Clerk's offices at 276 4th Avenue, Chula Vista, CA 91910. The custodian for such documents and record of proceedings is Donna Norris, City Clerk. This information is provided in compliance with CEQA Guidelines section 15091(e). Otay Ranch University Villages Project Final EIR 12 2014-12-02 Agenda Packet Page 326 CEQA Findings of Fact and Statement of Overriding Considerations 4.0 FINDINGS REQUIRED UNDER CEQA Public Resources Code Section 21002 provides that"public agencies should not approve projects as proposed if there are feasible alternatives or feasible mitigation measures available which would substantially lessen the significant environmental effects of such projects." (emphasis added.) The same statute states that the procedures required by CEQA "are intended to assist public agencies in systematically identifying both the significant effects of proposed projects and the feasible alternatives or feasible mitigation measures which will avoid or substantially lessen such significant effects." (emphasis added.) Section 21002 goes on to state that "in the event [that] specific economic, social, or other conditions make infeasible such project alternatives or such mitigation measures, individual projects may be approved in spite of one or more significant effects thereof" The mandate and principles announced in Public Resources Code Section 21002 are implemented, in part, through the requirement that agencies must adopt findings before approving projects for which EIRs are required (see Pub. Resources Code, § 21081, subd. (a); CEQA Guidelines, § 15091, subd. (a)). For each significant environmental effect identified in an EIR for a proposed project, the approving agency must issue a written finding reaching one or more of three permissible conclusions. The first such finding is that "[c]hanges or alterations have been required in, or incorporated into, the project which avoid or substantially lessen the significant environmental effect as identified in the final EIR" (CEQA Guidelines, § 15091, subd. (a)(1)). The second permissible finding is that"[s]uch changes or alterations are within the responsibility and jurisdiction of another public agency and not the agency making the finding. Such changes have been adopted by such other agency or can and should be adopted by such other agency" (CEQA Guidelines, § 15091, subd. (a)(2)). The third potential finding is that "[s]pecific economic, legal, social, technological, or other considerations, including provision of employment opportunities for highly trained workers,make infeasible the mitigation measures or project alternatives identified in the final EIR" (CEQA Guidelines, § 15091, subd. (a)(3)). Public Resources Code Section 21061.1 defines "feasible" to mean "capable of being accomplished in a successful manner within a reasonable period of time, taking into account economic, environmental, social and technological factors." CEQA Guidelines Section 15364 adds another factor: "legal" considerations (see also Citizens of Goleta Valley v. Board of Supervisors (1990) 52 Cal.3d 553, 565). The concept of "feasibility" also encompasses the question of whether a particular alternative or mitigation measure promotes the underlying goals and core objectives of a project (see San Diego Citizenry Group v. County of San Diego (2013) 219 Cal.App.4' 1, 18; see also City of Del Mar v. City of San Diego (1982) 133 Cal.App.3d 410, 417). " `[F]easibility' under CEQA encompasses `desirability' to the extent that desirability is based on a reasonable balancing of the relevant economic, environmental, social, and technological factors" (Ibid.; see also California Native Plant Otay Ranch University Villages Project Final EIR 13 2014-12-02 Agenda Packet Page 327 CEQA Findings of Fact and Statement of Overriding Considerations Soc y v. County of Santa Cruz (2009) 177 Cal.App.4th957, 1002; Sequoyah Hills Homeowners Assn. v. City of Oakland(1993)23 Cal.App.4th 704, 715). The CEQA Guidelines do not define the difference between "avoiding" a significant environmental effect and merely "substantially lessening" such an effect. The City must therefore glean the meaning of these terms from the other contexts in which the terms are used. Public Resources Code Section 21081, on which CEQA Guidelines Section 15091 is based, uses the term "mitigate" rather than "substantially lessen." The CEQA Guidelines therefore equate "mitigating" with "substantially lessening." Such an understanding of the statutory term is consistent with the policies underlying CEQA, which include the policy that "public agencies should not approve projects as proposed if there are feasible alternatives or feasible mitigation measures available which would substantially lessen the significant environmental effects of such projects" (Pub. Resources Code, § 21002). For purposes of these findings, the term "avoid" refers to the effectiveness of one or more mitigation measures to reduce an otherwise significant effect to a less-than-significant level. In contrast, the term "substantially lessen" refers to the effectiveness of such measure or measures to substantially reduce the severity of a significant effect, but not to reduce that effect to a less- than-significant level. These interpretations appear to be mandated by the holding in Laurel Hills Homeowners Association v. City Council (1978) 83 Cal.App.3d 515, 519-527, in which the Court of Appeal held that an agency had satisfied its obligation to substantially lessen or avoid significant effects by adopting numerous mitigation measures, not all of which rendered the significant impacts in question less than significant. Although CEQA Guidelines Section 15091 requires only that approving agencies specify that a particular significant effect is "avoid[ed] or substantially lessen[ed]," these findings, for purposes of clarity, in each case will specify whether the effect in question has been reduced to a less-than-significant level or has simply been substantially lessened but remains significant. Moreover, although Section 15091, read literally, does not require findings to address environmental effects that an EIR identifies as merely "potentially significant," these findings will nevertheless fully account for all such effects identified in the Final EIR. In short, CEQA requires that the lead agency adopt mitigation measures or alternatives, where feasible, to substantially lessen or avoid significant environmental impacts that would otherwise occur. Project modifications or alternatives are not required, however, where such changes are infeasible or where the exclusive jurisdiction and responsibility for modifying the project lies with some other agency (CEQA Guidelines, § 15091, subd. (a), (b), (c)). Otay Ranch University Villages Project Final EIR 14 2014-12-02 Agenda Packet Page 328 CEQA Findings of Fact and Statement of Overriding Considerations With respect to a project for which significant impacts are not avoided or substantially lessened either through the adoption of feasible mitigation measures or a feasible environmentally superior alternative, a public agency, after adopting proper findings, may nevertheless approve the project if the agency first adopts a statement of overriding considerations setting forth the specific reasons why the agency found that the project's "benefits" rendered "acceptable" its "unavoidable adverse environmental effects" (CEQA Guidelines, §§ 15093 and 15043, subd. (b); see also Pub. Resources Code, § 21081, subd. (b)). The California Supreme Court has stated that, "[t]he wisdom of approving . . . any development project, a delicate task which requires a balancing of interests, is necessarily left to the sound discretion of the local officials and their constituents who are responsible for such decisions. The law as we interpret and apply it simply requires that those decisions be informed, and therefore balanced" (Goleta, supra, 52 Cal.3d at p. 576; see also Cherry Valley Pass Acres Neighbors v. City of Beaumont (2010) 190 Cal.App.4th 316, 357-359). Recirculation Not Required. The City has independently reviewed and considered the comments, responses to comments, and revisions made to the Draft EIR since circulation for public review. In its review, the City took into account whether any of those comments, responses to comments, or changes or revisions to the Draft EIR give rise to significant new information, as defined under CEQA, requiring recirculation. Under CEQA, significant new information requiring recirculation includes a disclosure showing that: 1. A new significant environmental impact would result from the project or from a new mitigation measure proposed to be implemented; 2. A substantial increase in the severity of an environmental impact would result unless mitigation measures are adopted that reduce the impact to a level of insignificance; 3. A feasible project alternative or mitigation measure considerably different from others previously analyzed would clearly lessen the significant environmental impacts of the project, but the project's proponents decline to adopt it; or, 4. The draft EIR was so fundamentally and basically inadequate and conclusory in nature that meaningful public review and comment were precluded. (CEQA Guidelines, 15088.5, subsection (a).) Recirculation is not required when the new information added to the EIR merely clarifies or amplifies or makes insignificant modifications in an adequate EIR. (CEQA Guidelines, 15088.5, subsection (b).) In this case, the comments, responses to comments, and revisions to the Draft EIR do not evidence new significant environmental impacts that would result from the project or from a new mitigation measure proposed to be implemented. Additionally, there is no substantial increase in Otay Ranch University Villages Project Final EIR 15 2014-12-02 Agenda Packet Page 329 CEQA Findings of Fact and Statement of Overriding Considerations the severity of an environmental impact, nor is there a feasible alternative or feasible mitigation measure that would clearly lessen the significant environmental effects of the project that the project's proponents have declined to adopt. The Draft EIR is adequate in every respect and did not preclude meaningful public review and comment. Any new information that has been added to the EIR merely clarifies or amplifies or makes insignificant modifications in an adequate EIR. As such, based on the Draft EIR, comments and responses to comments, and revisions to the Draft EIR, the City finds that substantial evidence supports the determination that recirculation of the EIR is not required. 4.1 Legal Effects of Findings To the extent that these findings conclude that proposed mitigation measures outlined in the Final EIR are feasible and have not been modified, superseded, or withdrawn, the City hereby binds itself and any other responsible parties, including the applicant and its successors in interest (hereinafter referred to as "project applicant"), to implement those measures. These findings, in other words, are not merely informational or hortatory, but constitute a binding set of obligations that will come into effect when the City adopts the resolution(s)approving the project. The adopted mitigation measures are express conditions of approval. Other requirements are referenced in the Mitigation Monitoring Reporting Program (MMRP) adopted concurrently with these findings and will be effectuated both through the process of constructing and implementing the project. The mitigation measures referenced in the MMRP are adopted concurrently with these findings, and will be effectuated both through the process of implementing the SPA Plans and through the process of constructing and implementing the project. 4.2 Procedural Findings The City Council finds as follows: Based on the nature and scope of the Otay Ranch University Villages Project, SCH #2013071077, the City determined, based on substantial evidence, that the project may have a significant effect on the environment and prepared an environmental impact report (EIR) for the project. The EIR was prepared, noticed, published, circulated, reviewed, and completed in full compliance with the California Environmental Quality Act (Public Resources Code Sections 2100 et seq. (CEQA) and the CEQA Guidelines (14 California Code of Regulations Sections 1500 et. seq.), as follows: A. A Notice of Preparation (NOP) of the Draft EIR was filed with the Office of Planning and Research and each responsible and trustee agency and was circulated for public comments from July 23, 2013 to August 31,2013. The NOP was also sent to Otay Ranch University Villages Project Final EIR 16 2014-12-02 Agenda Packet Page 330 CEQA Findings of Fact and Statement of Overriding Considerations all interested groups, organizations and individuals who previously had submitted written requests to the City to be provided copies of the NOP, as well as to all residents within 500 feet of the Project boundaries. In addition, the NOP was filed with the County of San Diego on July 18, 2013, and was published in the Star News on July 19, 2013. The NOP provided notice of a public scoping meeting to be held on August 7, 2013. B. A Notice of Completion (NOC) and copies of the Draft EIR were distributed to the Office of Planning and Research on August 5, 2014, to those public agencies that have jurisdiction by law with respect to the project, or which exercise authority over resources that may be affected by the project, and to other interested parties and agencies as required by law. The comments of such persons and agencies were sought. The City sought input on the Draft EIR between August 5, 2014 and September 18, 2014. C. An official 45-day public comment period for the Draft EIR was established by the Office of Planning and Research. The public comment period began on August 5, 2014 and September 18, 2014. D. A Notice of Availability (NOA) of the Draft EIR was mailed on August 5, 2014 to all interested groups, organizations, and individuals who had previously requested notice in writing, as well as to all residents within 500 feet of the Project boundaries. The NOA stated that the City has completed the Draft EIR and that copies were available at the City's website at www.chulavistaca.gov, at the Chula Vista Development Services Department, 276 Fourth Avenue, Chula Vista, CA, and at the Chula Vista Public Library located at 365 F Street. E. The NOA also was posted at the County of San Diego on August 4, 2014, and was published in the Star News on August 5, 2014, which notices stated that the Draft EIRwas available forpublic review and comment. F. On November 7, 2014, the City published notice in the Star News about the City Planning Commission hearing on the Final EIR for the Project, and the availability of related documents to be reviewed at the City's Development Services Department. The Final EIR included copies of all comments submitted on the Draft EIR, responses to those comments in accordance with CEQA Guidelines section 15088, and the information set forth in CEQA Guidelines sections 15089 and 15132. The City has reviewed and edited as necessary the submitted drafts and certified that the Final EIR reflects its own independent judgment and analysis under CEQA Guideline Section 15090(a)(3)and Public Resources Code Section 21082.1(a)-(c). Otay Ranch University Villages Project Final EIR 17 2014-12-02 Agenda Packet Page 331 CEQA Findings of Fact and Statement of Overriding Considerations INTENTIONALLY LEFT BLANK Otay Ranch University Villages Project Final EIR 18 2014-12-02 Agenda Packet Page 332 CEQA Findings of Fact and Statement of Overriding Considerations 5.0 MITIGATION MONITORING AND REPORTING PROGRAM As required by Public Resources Code Section 21081.6, Subdivision (a)(1), the City, in adopting these findings, also concurrently adopts an MMRP. The program is designed to ensure that during project implementation, the applicant and any other responsible parties comply with the feasible mitigation measures identified below. The program is described in the document entitled Otay Ranch University Villages Project Mitigation Monitoring Reporting Program. The City will use the MMRP to track compliance with project mitigation measures. The MMRP will be available for the public to review by request during the mitigation compliance period, which is on-going following project approval through buildout of the project. The monitoring program will serve the dual purpose of verifying completion of the mitigation measures for the project and generating information on the effectiveness of the mitigation measures to guide future decisions. The program includes monitoring team qualifications, specific monitoring activities, a reporting system, and criteria for evaluating the success of the mitigation measures. Otay Ranch University Villages Project Final EIR 19 2014-12-02 Agenda Packet Page 333 CEQA Findings of Fact and Statement of Overriding Considerations INTENTIONALLY LEFT BLANK Otay Ranch University Villages Project Final EIR 20 2014-12-02 Agenda Packet Page 334 CEQA Findings of Fact and Statement of Overriding Considerations 6.0 SUMMARY OF IMPACTS The Final EIR identified a number of direct and indirect significant environmental effects (or "impacts") resulting from the project. Some of these significant effects can be reduced to a less than significant level through the adoption of feasible mitigation measures. Others cannot be mitigated to a less than significant level by the adoption of feasible mitigation measures or feasible environmentally superior alternatives. However, these effects are outweighed by overriding considerations set forth in Section 9.0 below. This Section presents in greater detail the City Council's findings with respect to the environmental effects of the project. The project would result in direct and/or indirect potentially significant environmental changes with regard to the following issues: land use, landforms and aesthetics, transportation and traffic, air quality, noise, cultural resources, paleontological resources, biological resources, agricultural resources, water quality and hydrology, geology and soils, public services, utilities, climate change, and hazards and risk of upset. These potentially significant environmental impacts are discussed in the Final EIR in Chapter 1 Table 1-3 and in Chapter 5. No significant effects were identified for housing and population or mineral resources. The project would mitigate, avoid, or substantially lessen to below a level of significance direct and/or indirect significant environmental changes with regard to the following issues: land use, certain landforms and aesthetics; certain transportation, circulation and access, certain air quality, noise, certain cultural resources, paleontological resources, biological resources, water quality and hydrology, geology and soils, public services, certain utilities, and hazards and risk of upset. The project would result significant unmitigable direct or indirect environmental changes with regard to the following issues: certain landforms and aesthetics, certain transportation and traffic, certain air quality, agricultural resources, certain utilities, and climate change. Otay Ranch University Villages Project Final EIR 21 2014-12-02 Agenda Packet Page 335 CEQA Findings of Fact and Statement of Overriding Considerations INTENTIONALLY LEFT BLANK Otay Ranch University Villages Project Final EIR 22 2014-12-02 Agenda Packet Page 336 CEQA Findings of Fact and Statement of Overriding Considerations 7.0 FINDINGS REGARDING POTENTIALLY SIGNIFICANT DIRECT, INDIRECT, AND CUMULATIVE EFFECTS AND MITIGATION MEASURES 7.1 Impacts Mitigated to Less-Than-Significant Levels 7.1.1 Land Use, Planning, and Zoning Thresholds of significance—Land Use Compatibility Impacts to land use, planning, and zoning would be significant if the proposed project would: • Physically divide an established community or be incompatible with adjacent and surrounding uses. Impact Village Eight East and Village Ten If relocation of the City of San Diego water transmission pipelines does not occur prior to construction of the proposed development, a conflict with the existing City of San Diego waterline easements would occur. Therefore, impacts to land use compatibility is considered potentially significant. Explanation Several water transmission lines traverse the project site that are owned, operated, and maintained by the City of San Diego. These pipelines would not provide water to the project, but the SPA Plan and TM would construct development above ground of where these pipelines are currently located. Construction of the proposed development would impede the availability of access to these pipeline easements. The project proposes to relocate these pipelines into the future public rights of way within Otay Valley Road. If relocation of these water transmission pipelines does not occur prior to construction of the proposed development, a conflict with the existing City of San Diego waterline easements would occur. Therefore, impacts to land use compatibility is considered potentially significant. Mitigation MM LU-1 Prior to approval of the mass grading permit for Village Eight East and Village Ten, the mass grading plans shall include the relocation of the City of San Diego waterlines to the satisfaction of the City of San Diego and the City of Chula Vista. Otay Ranch University Villages Project Final EIR 23 2014-12-02 Agenda Packet Page 337 CEQA Findings of Fact and Statement of Overriding Considerations MM LU-2 Prior to approval of the first Final Map in Village Eight East, the Applicant shall provide evidence satisfactory to the Development Services Director (or their designee) that the: 1. Applicant has entered into an agreement with the City of San Diego to relocate the City of San Diego waterlines within Village Eight East within the right-of-way of future Otay Valley Road, as approved by both the City of San Diego and the City of Chula Vista. The pipeline relocation work contemplated by said agreement shall be secured with the City of Chula Vista listed as a third party beneficiary of the bonds. 2. The City of San Diego has abandoned, or is required to abandon, any water main easements not needed as a consequence of the relocation of the City of San Diego waterlines within Village Eight East and entered into a Joint Use agreement for the new location of the facility within the City of Chula Vista right-of-way of future Otay Valley Road. Prior to the Final Map approving the 1,200th Residential Dwelling Unit (Single- Family and/or Multi-Family Residential) for Village Eight East, the new water line shall be constructed. MM LU-3 Prior to approval of the first Final Map in Village Ten, the Applicant shall provide evidence satisfactory to the Development Services Director (or their designee) that the: 1. Applicant has entered into an agreement with the City of San Diego to relocate the City of San Diego waterlines within Village Ten within the right- of-way of future Otay Valley Road, as approved by both the City of San Diego and the City of Chula Vista. The pipeline relocation work contemplated by said agreement shall be secured with the City of Chula Vista listed as a third party beneficiary of the bonds. 2. The City of San Diego has abandoned, or is required to abandon, any water main easements not needed as a consequence of the relocation of the City of San Diego waterlines within Village Ten and entered into a Joint Use agreement for the new location of the facility within the City of Chula Vista right-of-way of future Otay Valley Road. Prior to the Final Map approving the 580th Residential Dwelling Unit (Single- Family and/or Multi-Family Residential) for Village Ten, the new water line shall be constructed. Otay Ranch University Villages Project Final EIR 24 2014-12-02 Agenda Packet Page 338 CEQA Findings of Fact and Statement of Overriding Considerations Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Mitigation measures MM LU-1 through MM LU-3 are feasible and shall be required as a condition of approval and made binding on the Applicant. Implementation of these mitigation measures will reduce potentially significant direct impacts related to the City of San Diego waterlines to a less-than-significant level. Reference EIR Section 5.1 Land Use, Planning, and Zoning Thresholds of Significance - Conflict with Land Use Plan, Policy, or Regulation Impacts to land use planning and zoning would be potentially significant if the project would: • Conflict with any applicable land use plan, policy, or regulation of an agency with jurisdiction over the project (including but not limited to the general plan, specific plan, local coastal program, or zoning ordinance) adopted for the purpose of avoiding or mitigating an environmental effect. Impact Village Three North and a Portion of Village Four Impacts as to inconsistency of the proposed project with General Plan Policy E 6.4 (as corrected) and the Amended and Restated Otay Landfill Expansion Agreement are potentially significant. Explanation General Plan Policy E 6.4 calls for not placing sensitive receptors, such as a residential land use, within 1,000 feet of a major toxic emitter. In the case of proposed Village Three North land uses, planned residential land uses are considered sensitive receptors and the landfill to the north of Village Three is considered a major toxic emitter. The proposed project would locate residential units approximately 4502 feet from the property boundary of the landfill and 7003 feet or more 2 Since the approval of the Amended and Restated Otay Landfill Agreement,and public review of the Draft EIR, the distance from the southern boundary of the landfill property to planned residential uses in Village Three North has increased to 477 feet. Otay Ranch University Villages Project Final EIR 25 2014-12-02 Agenda Packet Page 339 CEQA Findings of Fact and Statement of Overriding Considerations from the current active solid waste disposal operation areas of the landfill. The proposed project would not be consistent with the intent under General Plan Policy E 6.4 (as corrected) to not site residential land uses within 1,000 of a major toxic air emitter. Therefore, a potentially significant impact related to consistency with the General Plan would occur. The Amended and Restated Otay Landfill Expansion Agreement, at Section 2.5, prevents the City from allowing the construction of residential units within 1,000 feet of the active solid waste disposal areas of the Otay Landfill,which active areas may change over time. Also under Section 2.5, the Landfill operator is prohibited from moving or opening new active solid waste disposal areas within 1,000 feet of already developed residential units. Further, both the City and the Landfill operator will confer from time to time, as appropriate, to coordinate regarding the implementation of their obligations under Section 2.5 of the Amended and Restated Otay Landfill Expansion Agreement. While the active solid waste disposal areas of the landfill will change over time and could move further away from the location of residential units as proposed by the project, the project proposes to site residential units within 1,000 feet of the currently active solid waste disposal areas at the landfill. Accordingly, an impact related to consistency with the Amended and Restated Otay Landfill Expansion Agreement would occur. Mitigation MM LU-4 Prior to approval of each residential building permit in Village Three North and a Portion of Village Four, the applicant shall provide evidence satisfactory to the Development Services Director (or their designee) that each proposed residential unit to be constructed shall be located at least 1,000 feet away from the then active solid waste disposal areas of the Otay Landfill as required by General Plan Policy E 6.4 (as corrected) and by Section 2.5 of the Amended and Restated Otay Landfill Expansion Agreement. The City shall deny any building permit application regarding any residential lot or parcel that does not comply with this Mitigation Measure. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM LU- 4 is feasible and shall be required as a condition of approval and made binding on the applicant. 3 Since the approval of the Amended and Restated Otay Landfill Agreement,and public review of the Draft EIR, the distance from the active portion of the landfill to planned residential uses in Village Three North has increased to 916 feet. Otay Ranch University Villages Project Final EIR 26 2014-12-02 Agenda Packet Page 340 CEQA Findings of Fact and Statement of Overriding Considerations Implementation of this mitigation measure will reduce significant direct impacts related to consistency with General Plan Policy E 6.4 and the Amended and Restated Otay Landfill Expansion Agreement to a less-than-significant level. Reference EIR Section 5.1 Land Use, Planning, and Zoning 7.1.2 Landform Alteration/Aesthetics Thresholds of Significance—Lighting and Glare Impacts regarding aesthetics and landform alteration would be significant if the project would: • Create a new source of substantial light or glare that would adversely affect day or nighttime views in the area. Impacts Future lighting and shade and shadow impacts cannot be determined at this time because the location, size, and orientation of future buildings are not yet known. Therefore, these impacts are considered potentially significant prior to mitigation. Explanation New lighting installed at parks, mixed-use residential and commercial buildings, multi-family residential, and Community-Purpose Facility (CPF) uses may be incompatible with surrounding development and inconsistent with applicable regulations. Mitigation MM AES-2 Concurrent with the preparation of site-specific plan(s) for park sites and prior to issuance of a building permit for any park, the Applicant shall prepare, or in the case of the City being the lead on the preparation of the site specific plan, the Applicant shall fund the preparation of a lighting plan and photometric analysis. The plan shall be prepared to the satisfaction of the Development Services Director (or their designee) and demonstrate that the proposed height, location, and intensity of all exterior lighting complies with the City's performance standards for light, and glare (Chula Vista Municipal Code, § 19.66.100). MM AES-3 Concurrent with design review and prior to the issuance of building permits for mixed-use residential, commercial, Community Purpose Facility and multi-family Otay Ranch University Villages Project Final EIR 27 2014-12-02 Agenda Packet Page 341 CEQA Findings of Fact and Statement of Overriding Considerations residential, the Applicant shall prepare a lighting plan and photometric analysis. The plan shall be prepared to the satisfaction of the Development Services Director (or their designee) and demonstrate that the proposed height, location, and intensity of all exterior lighting complies with the City's performance standards for light, and glare (Chula Vista Municipal Code, § 19.66.100). MM AES-4 Prior to design review approval for any structure three stories and above, the Applicant shall prepare to the satisfaction of the Development Services Director (or their designee), a shadow analysis demonstrating that adjacent shadow- sensitive uses are not permanently shadowed, and/or any other approved city- standard in place at the time the shadow analysis is performed. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM AES-2 through MM AES-4 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant direct impacts related to lighting, glare and shadows to a less-than- significant level. Reference EIR Section 5.2 Landform Alteration/Aesthetics Thresholds of Significance—Landform Alteration Impacts regarding aesthetics and landform alteration would be significant if the project would: • Alter areas of sensitive landforms and grade steep slopes that may be visible from future development and roadways that negatively detract from aesthetic character of the site or surrounding area. Impacts Landform alterations and the visibility of these alterations from future development and roadways are considered potentially significant prior to mitigation. Otay Ranch University Villages Project Final EIR 28 2014-12-02 Agenda Packet Page 342 CEQA Findings of Fact and Statement of Overriding Considerations Explanation Development of the proposed project would create a substantial change in the topography of the Otay Ranch area. The landform alteration and the visibility of these alterations would be significant even when manufactured slopes are contour graded to avoid detracting from the topographic change. Mitigation MM AES-1 Prior to issuance of the first Final Maps for Village Three North, Village Eight East, and Village Ten, the Applicant shall prepare to the satisfaction of the Development Services Director (or their designee), a Landscape Master Plan. The Landscape Master Plan shall demonstrate compliance with Otay Ranch GDP Policies pertaining to softening manufactured slopes, particularly on visible manufactured slopes greater than 25 feet in height, through plant selection, placement, and density, etc. The Landscape Master Plan shall also demonstrate compliance with Otay Ranch GDP Policies pertaining to blending development harmoniously with natural features of the land including the OVRP and its major canyons. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM AES-1 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant direct impacts related to landform alteration to a less-than-significant level. Reference EIR Section 5.2 Landform Alteration/Aesthetics 7.1.3 Transportation, Circulation, and Access Thresholds of Significance—Conflict with Applicable Plan, Ordinance, or Policy Impacts to traffic, circulation, and access would be considered significant if the proposed project would: • Conflict with an applicable plan, ordinance or policy establishing measures of effectiveness for the performance of the circulation system, taking into account all modes of transportation including mass transit and non-motorized travel and relevant Otay Ranch University Villages Project Final EIR 29 2014-12-02 Agenda Packet Page 343 CEQA Findings of Fact and Statement of Overriding Considerations components of the circulation system, including but not limited to intersections, streets, highways and freeways,pedestrian and bicycle paths, and mass transit. Short-term (0-4 years) Impact— Growth Management Ordinance Compliance In the short-term (0-4 years), a significant impact could occur on Olympic Parkway between Heritage Road and Oleander Avenue during the AM peak hour if the 2,463rd building permit for units east of the I-805 is issued. Explanation Based on the LLG study, the segment of westbound Olympic Parkway between Heritage Road and Oleander Avenue during AM peak hours would be the first to fall below Growth Management Ordinance (GMO) traffic threshold standards as traffic volumes increase over time with this project and other projects east of I-805. However, the analysis also demonstrated that GMO thresholds would not be reached along Olympic Parkway until building permits for 2,463 dwelling units have been issued for projects east of I-805. The projected 2,463rd dwelling unit (DU) threshold is used by the City to determine when cumulative impacts may occur along the corridor. Therefore, in the short-term (0-4 years), a significant impact could occur on Olympic Parkway between Heritage Road and Oleander Avenue during the AM peak hour if the 2,463rd building permit for units east of the I-805 is issued. To reduce vehicle-generated trips to the extent feasible, the Project Applicant proposes implementation of a Transportation Demand Management (TDM) program to reduce vehicle trips in favor of alternative modes of transportation. The TDM program will facilitate increased opportunities for transit, bicycling, and pedestrian travel. Mitigation MM TCA-1 Prior to the issuance of the building permit for the 2,463rd DU for development east of I-805 commencing from April 4, 2011, the Applicant may: a. Prepare a traffic study that demonstrates, to the satisfaction of the City Engineer, that the circulation system has additional capacity without exceeding the GMO traffic threshold standards. The City's determination regarding the adequacy of the circulation system shall be based on whether the quality of life threshold standards for traffic set forth in the City of Chula Vista GMO (Chapter 19.09 of the Chula Vista Municipal Code) are met. The current traffic threshold is to maintain LOC "C" or better as measures by Otay Ranch University Villages Project Final EIR 30 2014-12-02 Agenda Packet Page 344 CEQA Findings of Fact and Statement of Overriding Considerations observed average travel speed on all signalized arterial segments, except, that during peak hours a LOS "D" can occur for no more than two hours; or b. Demonstrate that other improvements are constructed which provide the additional necessary capacity to comply with the GMO traffic threshold to the satisfaction of the City Engineer; or; c. Agree to the City Engineer's selection of an alternative method of maintaining GMO traffic threshold compliance. The City's determination regarding the scope and timing of the alternative method shall be based on demonstrated compliance GMO traffic thresholds; or; d. Enter into agreement, approved by the City, with other Otay Ranch developers that alleviates congestion and achieves GMO traffic threshold compliance for Olympic Parkway. The agreement will identify the deficiencies in transportation infrastructure that will need to be constructed, the parties that will construct said needed infrastructure, and a timeline for such construction, as well as providing assurances for construction, in accordance with the City's customary requirements, for said infrastructure. If GMO compliance cannot be achieved through la, lb, lc, or Id, then the City shall stop issuing new building permits within the project area, after building permits for 2,463 DU have been issued for any development east of I-805 after April 4, 2011,until such time that GMO traffic threshold standard compliance can be assured to the satisfaction of the City Manager. These measures shall constitute full compliance with growth management objectives and policies in accordance with the requirements of the General Plan, Chapter 10, and with regard to traffic thresholds set forth in the GMO. MM TCA-15 The Project Applicant shall incorporate the following measures as part of the project design and development, consistent with the identified triggers, to the satisfaction of the Development Services Director: • Implement pedestrian circulation improvements to improve the internal pedestrian circulation and encourage the usage of public transportation (concurrent with the approval of improvement plans for each village). • Implement bicycle circulation improvements to improve internal bicycle circulation and encourage the usage of bicycles (concurrent with the approval of improvement plans for each village). • Participate in car sharing and bike sharing programs through HOA noticing, should such programs become available. Otay Ranch University Villages Project Final EIR 31 2014-12-02 Agenda Packet Page 345 CEQA Findings of Fact and Statement of Overriding Considerations • Promote Carpool/Vanpool programs by providing preferential parking for carpools and vanpools(concurrent with the approval of site plans for each village core). • Promote available websites providing transportation options for residents and businesses (concurrent with issuance of certificate of occupancy). • Create and distribute a "new resident" information packet addressing alternative modes of transportation(concurrent with issuance of certificate of occupancy). • Promote programs to encourage workplace peak hour trip reduction, including staggered work hours, regional ride-matching services, and telecommuting (concurrent with issuance of certificate of occupancy). • Orient buildings to the main street or activity area, such that they are not separated from the street by vast parking areas or fences, thereby encouraging pedestrian traffic (concurrent with the approval of site plans for each village core). • Where transit is available on-site, participate in providing the necessary transit facilities, such as bus pads, shelters, signs, lighting, and trash receptacles (concurrent with the approval of improvement plans for each village). • Coordinate with the MPO as to the future siting of transit stops/stations within the project site (concurrent with the approval of improvement plans, and/or site plans, for each village). Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM TCA-1 and MM TCA-15 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant impacts related to compliance with the GMO to a less-than-significant level. Reference EIR Section 5.3 Transportation, Circulation, and Access Impact—Access and Frontage A potentially significant impact would occur if access and frontage improvements are not provided concurrent with development. Otay Ranch University Villages Project Final EIR 32 2014-12-02 Agenda Packet Page 346 CEQA Findings of Fact and Statement of Overriding Considerations Explanation According to Section 12.24 of the City's Municipal Code, access related impacts would occur if access and frontage improvements are not provided concurrent with development. Mitigation To ensure the access and frontage improvements assumed as part of the traffic analysis are constructed concurrent with development, the following mitigation measure is provided: MM TCA-2 Project Applicant shall construct the access and frontage improvements consistent with the triggers identified in Table 5.3-56 of the Final EIR to the satisfaction of the Development Services Director and the City Engineer. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM TCA-2 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant impacts related to access and frontage to a less-than-significant level. Reference EIR Section 5.3 Transportation, Circulation, and Access Year 2015 Conditions Impact—Access and Frontage A potentially significant impact would occur if access and frontage improvements are not provided concurrent with development. Roadway improvements to be constructed by the project for access and frontage: • Heritage Road along the frontage of Village Three North, between Santa Picacho and Main Street. • Santa Picacho @ Heritage Road (Int 962). • Santa Maya @ Heritage Road(Int 963). Otay Ranch University Villages Project Final EIR 33 2014-12-02 Agenda Packet Page 347 CEQA Findings of Fact and Statement of Overriding Considerations Explanation • Heritage Road along the frontage of Village Three North, between Santa Picacho and Main Street — This facility is included as a Six-Lane Prime Arterial providing frontage and access for Village Three North (project access and frontage and the Public Facilities Financing Plan (PFFP) discussions are provided in EIR Appendix M). • Santa Picacho @ Heritage Road (Int 962) — All-way stop controlled T-intersection (will provide necessary access to Village Three North, which will be partially developed by Year 2015). • Santa Maya @ Heritage Road (Int 963) — All-way stop controlled T-intersection (will provide necessary access to Village Three North, which will be partially developed by Year 2015). According to section 12.24 of the City's Municipal Code, access related impacts would occur if access and frontage improvements are not provided concurrent with development. Mitigation See MM TCA-2 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM TCA-2 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant impacts related to access and frontage to a less-than-significant level. Reference EIR Section 5.3 Transportation, Circulation, and Access Impact— Circulation System Assumptions If the assumed roadway improvements are not in place prior to each traffic scenario as assumed, additional traffic impacts would occur resulting in a potentially significant impact. Roadway improvements to be constructed by others: • I-805, between Home Avenue and East Palomar Street • Heritage Road, south of Main Street to Chula Vista city limit Otay Ranch University Villages Project Final EIR 34 2014-12-02 Agenda Packet Page 348 CEQA Findings of Fact and Statement of Overriding Considerations Explanation • I-805, between Home Avenue and East Palomar Street — The I-805 South Project area is roughly 11 miles, between East Palomar Street in Chula Vista and the I-805/SR-15 interchange in San Diego. The project includes the addition of HOV/Express Lanes within the freeway median. As originally approved, the I-805 South Project would be constructed in two major phases: • Phase 1 (2012-2014) — Phase 1, currently under construction, includes building one HOV lane in each direction and the construction of a direct access ramp, and a transit station and park& ride at East Palomar Street in Chula Vista. • Phase 2 (2015-2020) — The second phase of the I-805 South Project would have further expanded transportation choices by building out the HOV lanes into Express Lanes for a total of 4 lanes, 2 in each direction. Phase 2 also included the addition of in-line transit stations and freeway-to-freeway direct connectors. However, on December 16th, 2011, the SANDAG Board of Directors gave final approval to buy the lease to operate the SR-125 toll road from South Bay Expressway. SANDAG reported that following completion of the transaction, it expected to begin a process to lower tolls on SR-125 by 40% to 50% of the current rates, and that the reduced tolls are expected to attract more traffic to SR-125,relieving congestion on I-805 and reducing the need for certain planned improvements. Specifically, SANDAG reported that the acquisition of SR-125 will make it unnecessary to add the two additional carpool lanes that would have been constructed as part of Phase 2 of the I-805 South Project. In support of the Board's action, an Addendum to SANDAG's 2030 Research Technology Park (RTP) EIR (State of California Clearinghouse 92002071059) was prepared pursuant to CEQA. The Addendum addressed the amendment to the TransNet Extension Ordinance that would consist of a swap of the two planned HOV lanes on I-805 between SR-54 and SR-905 (Phase 2 of the I-805 South Project discussed above) for a portion of the SR-125 toll road assets acquisition costs. Specific to future traffic conditions, the Addendum determined that while the reduction in tolls would result in a shift of traffic from I-805 to SR-125, freeway operations on both facilities would remain acceptable. The Series 11 model included 4-HOV lanes on I-805, consistent with SANDAG's 2030 RTP (the 2050 RTP was not prepared until after the SANDAG Series 1 I model was developed). No manual adjustments were made to the model outputs on I-805 or SR-125 because it was determined that it would be speculative to estimate the number of trips which would shift from I-805 to SR-125 due to: (1) the loss of two HOV lanes on I-805; and (2) the SR-125 reduced toll amount. Otay Ranch University Villages Project Final EIR 35 2014-12-02 Agenda Packet Page 349 CEQA Findings of Fact and Statement of Overriding Considerations Because SANDAG subsequently decided to use the funding previously identified to build two of these I-805 HOV lanes instead to purchase the SR-125 lease, the TIA analyzed potential impacts to I-805 with only 2-HOV lanes (because there is only identified funding for two HOV lanes due to the SR-125 purchase). Thus, the TIA conservatively estimates (over-estimates) potential impacts on I-805 because the modeling attracts more cars (due to the 4-HOV lanes scenario), but the analysis uses fewer lanes/less capacity (only 2-HOV lanes). Then, the TIA analysis relies on the SANDAG Addendum to the 2030 RTP EIR, which concluded that there would be no additional, un-analyzed impacts on SR-125 due to the corresponding reduction in tolls. For additional information in regard to the I-805 South Project as well as SANDAG's 2030 RTP EIR Addendum, see EIR Appendix M. • Heritage Road, south of Main Street to Chula Vista city limit—This facility is included as a Four-Lane Major Road in 2015. As indicated in the City's currently adopted General Plan Circulation Element, the ultimate classification designation for Heritage Road south of Main Street is a Six-Lane Prime Arterial. This improvement project (STM364 — Heritage Road Bridge Replacement) is included in the Chula Vista adopted FY 2012-13 through FY 2016-17 Capital Improvement Program (CIP) and will be funded by a mix of the Highway Bridge Program, Traffic Development Impact Fees (TDIFs), and other miscellaneous transportation grants. For additional information, see EIR Appendix M. The traffic analysis assumed certain roadway improvements to be in place prior to commencement of each study scenario. These assumed roadways were taken into account due to other Otay Ranch communities' planned improvements or City of Chula Vista and City of San Diego Circulation Element funded improvements in the project study area. If the assumed roadway improvements are not in place as modeled for the Year 2015 scenario, additional traffic impacts could occur. Therefore, a potentially significant impact could occur if assumed improvements are not developed as prescribed in the traffic impact analysis. If the assumed roadway improvements are not constructed by others and in place as modeled for the Year 2015 scenario, the Project Applicant and the City will take those steps necessary to either construct the subject facilities or implement substitute measures to ensure adequate infrastructure as modeled is in place, as detailed in TCA-2 and TCA-3. Mitigation In addition to MM TCA-3 below, see MM TCA-2 identified above. To ensure the circulation system improvements assumed in the University Villages Traffic Impact Analysis, dated July 31, 2014, are constructed and operational, the following mitigation measure is provided: Otay Ranch University Villages Project Final EIR 36 2014-12-02 Agenda Packet Page 350 CEQA Findings of Fact and Statement of Overriding Considerations MM TCA-3 The year 2015 scenario assumes the following intersection and roadway improvements are in place: • Phase 1 of the I-805 South Project, including improvements to I-805 between Home Avenue and East Palomar Street • Heritage Road, south of Main Street to the Chula Vista city limit as a 4-lane Major Road with Raised Median If the first final map containing the 611th EDU is submitted for approval prior to these improvements being constructed and open to traffic, then one of the following steps shall be taken, each to the satisfaction of the City Engineer: i. Development in Village Three and the Portion of Village Four shall stop until those assumed future roadways are constructed by others as presently planned; or ii. City and the Applicant shall meet to determine the need for the incomplete roadway segments. Because a number of factors, including changes to the tolling structure at SR-125, may affect future traffic patterns in Otay Ranch, the Applicant shall submit to the City additional traffic analysis of the roadway network and levels of service at that time to determine: (i) if such improvements in fact are necessary; and (ii) the scope and timing of additional circulation improvements, if any. The City's determination of whether such improvements are necessary, or the scope and timing of additional improvements, shall be based on whether the City's traffic quality of life threshold standards are met, consistent with the performance standards set forth in the City of Chula Vista Growth Management Ordinance (GMO) (Chapter 19.09 of the Chula Vista Municipal Code). The current traffic threshold is to maintain LOS "C" or better as measured by observed average travel speed on all signalized arterial segments; except, that during peak hours, a LOS "D" can occur for no more than two hours; or iii. Applicant shall construct the missing roadway links and receive a transportation development impact fee credit for those improvements as applicable; or iv. An alternative measure is selected by the City that is demonstrated to ensure the applicable GMO quality of life thresholds are met for traffic. Otay Ranch University Villages Project Final EIR 37 2014-12-02 Agenda Packet Page 351 CEQA Findings of Fact and Statement of Overriding Considerations Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM TCA-2 and MM TCA-3 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to circulation system assumptions to a less-than-significant level. Reference EIR Section 5.3 Transportation, Circulation, and Access Year 2020 Conditions Impact—Intersections • I-805 NB Ramps/Olympic Parkway • Brandywine Avenue/ Olympic Parkway (all-way stop controlled) • Heritage Road/Main Street(all-way stop controlled) • La Media Road(SB)/Main Street(WB) (all-way stop controlled) • La Media Road(NB) /Main Street(WB) (all-way stop controlled) • La Media Road (SB)/Main Street (EB) (all-way stop controlled) • La Media Road(NB) /Main Street(EB) (all-way stop controlled) • Magdalena Avenue/Main Street(one-way stop controlled) Explanation • I-805 NB Ramps / Olympic Parkway — LOS E during the AM peak hour and LOS F during the PM peak hour. The 2020 project traffic would comprise approximately 11.1% of the total intersection-entering volume in both the AM and PM peak hours. Since the project contribution is more than 5%, the project would result in a direct impact at this intersection. • Brandywine Avenue / Olympic Parkway (all-way stop controlled) — LOS F during both the AM and PM peak hours. The 2020 project traffic would comprise approximately 11.1% and 11.8% of the total intersection-entering volume in the AM and PM peak hours, respectively. Since the project contribution is more than 5%, the project would result in a direct impact at this intersection. Otay Ranch University Villages Project Final EIR 38 2014-12-02 Agenda Packet Page 352 CEQA Findings of Fact and Statement of Overriding Considerations • Heritage Road/Main Street (all-way stop controlled) — LOS F during the AM peak hour and LOS F during the PM peak hour. The 2020 project traffic would comprise approximately 61.3% and 60.7% of the total intersection-entering volume in the AM and PM peak hours, respectively. Since the project contribution is more than 5%, the project would result in a direct impact at this intersection. • La Media Road (SB) / Main Street (WB) (all-way stop controlled) — LOS E during the PM peak hour. The 2020 project traffic would comprise approximately 52.3% of the total intersection-entering volume in the PM peak hour. Since the project contribution is more than 5%, the project would result in a direct impact at this intersection. • La Media Road (NB) / Main Street (WB) (all-way stop controlled) — LOS E during the AM peak hour. The 2020 project traffic would comprise approximately 41.4% of the total intersection-entering volume in the AM peak hour. Since the project contribution is more than 5%, the project would result in a direct impact at this intersection. • La Media Road (SB) /Main Street(EB) (all-way stop controlled)—LOS E during the PM peak hour. The 2020 project traffic would comprise approximately 59.0% of the total intersection-entering volume in the PM peak hour. Since the project contribution is more than 5%, the project would result in a direct impact at this intersection. • La Media Road (NB) / Main Street (EB) (all-way stop controlled) — LOS E during the PM peak hour. The 2020 project traffic would comprise approximately 44.1% of the total intersection-entering volume in the PM peak hour. Since the project contribution is more than 5%, the project would result in a direct impact at this intersection. • Magdalena Avenue / Main Street (one-way stop controlled) — LOS E during the PM peak hour. The 2020 project traffic would comprise approximately 90.2% of the total intersection-entering volume in the PM peak hours. Since the project contribution is more than 5%, the project would result in a direct impact at this intersection. Impact—Roadways The following roadway segments in the City of Chula Vista would be significantly impacted by the proposed project traffic under the Year 2020 conditions (impacts are identified as direct or cumulative): • Olympic Parkway,between I-805 SB Ramps and I-805 NB Ramps (direct) • Olympic Parkway,between I-805 NB Ramps and Oleander Avenue (direct) • Olympic Parkway,between Oleander Avenue and Brandywine Avenue (direct) • Olympic Parkway,between Brandywine Avenue and Heritage Road (direct) Otay Ranch University Villages Project Final EIR 39 2014-12-02 Agenda Packet Page 353 CEQA Findings of Fact and Statement of Overriding Considerations Explanation • Olympic Parkway, between I-805 SB Ramps and I-805 NB Ramps (LOS F) — The proposed 2020 project traffic would comprise approximately 6.6% (more than 5%) of the total segment volume and would add 4,200 Average Daily Trips (ADT) (more than 800 ADT). In addition, both ramps and intersections along this segment would operate at substandard LOS E/F during the AM/PM peak hours. Therefore, the project traffic would result in a significant direct impact at this location. • Olympic Parkway, between I-805 NB Ramps and Oleander Avenue (LOS F) — The proposed 2020 project traffic would comprise approximately 11.3% (more than 5%) of the total segment volume and would add 8,000 ADT (more than 800 ADT). In addition, one of the intersections (I-805 NB Ramps / Olympic Parkway) along this segment would operate at substandard LOS E/F during the AM/PM peak hours. Therefore, the project traffic would result in a significant direct impact at this location. • Olympic Parkway, between Oleander Avenue and Brandywine Avenue (LOS F) — The proposed 2020 project traffic would comprise approximately 12.4% (more than 5%) of the total segment volume and would add 8,100 ADT (more than 800 ADT). In addition, one of the intersections (Brandywine Avenue / Olympic Parkway) along this segment would operate at substandard LOS E during both peak hours. Therefore, the project traffic would result in a significant direct impact at this location. • Olympic Parkway, between Brandywine Avenue and Heritage Road (LOS E) — The proposed 2020 project traffic would comprise approximately 13.8% (more than 5%) of the total segment volume and would add 8,200 ADT (more than 800 ADT). In addition, one of the intersections (Brandywine Avenue / Olympic Parkway) along this segment would operate at substandard LOS E during both peak hours. Therefore, the project traffic would result in a significant direct impact at this location. Mitigation MM TCA-4 Intersections: I-805 NB Ramps / Olympic Parkway (CV), and Brandywine Avenue / Olympic Parkway (CV); Roadways: Olympic Parkway, between I-805 SB Ramps and I-805 NB Ramps (CV); Olympic Parkway, between I-805 NB Ramps and Oleander Avenue (CV); Olympic Parkway, between Oleander Avenue and Brandywine Avenue (CV); and Olympic Parkway, between Brandywine Avenue and Heritage Road (CV) — Prior to issuance of the Final Map that contains the 956th equivalent dwelling unit (EDU) in Village Three North, the Project Applicant shall construct Heritage Road, between Olympic Parkway and Main Street, as a Six-Lane Prime Arterial. Otay Ranch University Villages Project Final EIR 40 2014-12-02 Agenda Packet Page 354 CEQA Findings of Fact and Statement of Overriding Considerations This connection will provide an important linkage and alleviate traffic congestion along Olympic Parkway, between I-805 and Heritage Road. As a result, the impacts identified at the intersections of I-805 NB Ramps / Olympic Parkway, and Brandywine Avenue / Olympic Parkway would be reduced to less than significant by this mitigation measure. This connection will provide an important linkage and alleviate traffic congestion along Olympic Parkway, between I-805 and Heritage Road. The impacts identified on Olympic Parkway between the I-805 SB Ramps and I- 805 NB Ramps; Olympic Parkway between the I-805 NB Ramps and Oleander Avenue; Olympic Parkway between Oleander Avenue and Brandywine Avenue; and, Olympic Parkway between Brandywine Avenue and Heritage Road also would be reduced to less than significant with implementation of this mitigation measure. MM TCA-5 Heritage Road /Main Street (all-way stop controlled) (CV) — Prior to issuance of the Final Map that contains the 751st EDU in Village Three North, the Project Applicant shall signalize Heritage Road/Main Street intersection. MM TCA-6 La Media Road (SB) / Main Street (WB) (all-way stop controlled) (CV) — Prior to issuance of the Final Map that contains the 880th EDU in Village Eight East, the Project Applicant shall signalize the La Media Road (SB) / Main Street (WB) intersection. MM TCA-7 La Media Road (NB) / Main Street (WB) (all-way stop controlled) (CV) — Prior to issuance of the Final Map that contains the 880th EDU in Village Eight East, the Project Applicant shall signalize the La Media Road (NB) / Main Street (WB) intersection. MM TCA-8 La Media Road (SB) / Main Street (EB) (all-way stop controlled) (CV) — Prior to issuance of the Final Map that contains the 880th EDU in Village Eight East, the Project Applicant shall signalize the La Media Road (SB) / Main Street (EB) intersection. MM TCA-9 La Media Road (NB) / Main Street (EB) (all-way stop controlled) (CV) — Prior to issuance of the Final Map that contains the 880th EDU in Village Eight East, the Project Applicant shall signalize the La Media Road (NB) / Main Street (EB) intersection. MM TCA-10 Magdalena Avenue / Main Street (one-way stop controlled) (CV) — Prior to issuance of the Final Map that contains the 1,693rd EDU in Village Eight East, the Project Applicant shall signalize the Magdalena Avenue / Main Street intersection. Otay Ranch University Villages Project Final EIR 41 2014-12-02 Agenda Packet Page 355 CEQA Findings of Fact and Statement of Overriding Considerations Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM TCA-4 through MM TCA-10 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to intersections and roadway segments in the year 2020 to a less-than- significant level. Reference EIR Section 5.3 Transportation, Circulation, and Access Impact—Ramp Metering The Year 2020 project traffic would have a significant cumulative impact at the I-805 northbound on-ramp at Main Street. Explanation The peak-hour demand at the I-805 northbound on-ramp at Main Street would be greater than the capacity that the ramp meter provides under Year 2020 (with project) conditions. Moreover, based on the SANDAG CMP, the projected delay of 25.6 minutes would exceed the allowable threshold of 15 minutes (SANDAG 2008). Hence, the proposed project would result in a significant cumulative impact at the Main Street on-ramp in 2020. Mitigation See MM TCA-4 identified above. The Year 2020 project traffic would have a significant impact at the I-805 northbound on-ramp at Main Street. As previously noted, the construction of Heritage Road, between Olympic Parkway and Main Street, previously identified as a required mitigation measure, would provide traffic from Village Three North with a more direct route to the north and east of the project site, and hence reduce traffic utilizing the northbound on-ramp at Main Street. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation Otay Ranch University Villages Project Final EIR 42 2014-12-02 Agenda Packet Page 356 CEQA Findings of Fact and Statement of Overriding Considerations measure MM TCA-4 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant impacts related to cumulative impacts at the I-805 northbound on-ramp at Main Street to a less-than-significant level. Reference EIR Section 5.3 Transportation, Circulation, and Access Impact—Access and Frontage A potentially significant impact would occur if access and frontage improvements are not provided concurrent with development. Roadway improvements to be constructed by the project for access and frontage: • Main Street from Heritage Road to Village Three North R-20 driveway. • Main Street, from La Media Road to SR-125 right-of-way (western boundary). • La Media Road, from Santa Luna Street to Main Street. • Heritage Road along the frontage of Village Three North, between the northern project boundary and Int 962. In addition, the following seven driveways to be constructed as part of the project are also included in the Year 2020 analysis: • Santa Macheto @ Heritage Road (Int#61) • Santa Picacho @ Heritage Road (Int 9 62) • Santa Maya @ Heritage Road (Int 963) • Village Three North R-20 Driveway @ Main Street (Int 966) • La Media Road/ Village Four Driveway @ Santa Luna Street (Int 9 67) • Santa Tipu @ Main Street(Int 968) • Santa Marisol @ Main Street(Int 969) Explanation Roadway improvements to be constructed by the project for access and frontage: • Main Street from Heritage Road to Village Three North R-20 driveway — This facility is included as a 2-lane roadway providing access to parcel R-20 of Village Three Otay Ranch University Villages Project Final EIR 43 2014-12-02 Agenda Packet Page 357 CEQA Findings of Fact and Statement of Overriding Considerations North. The addition of this facility would also convert the intersection of Heritage Road / Main Street into a 4-legged intersection. Quarry Driveway @ Main Street (Int 965) would be constructed as an all-way stop controlled intersection providing access to the existing quarry. • Main Street, from La Media Road to SR-125 right-of-way (western boundary) — This facility is included as a Six-Lane Prime Arterial providing frontage and access for Village Eight East. • La Media Road, from Santa Luna Street to Main Street — This facility is included as a Four-Lane Major Road providing access for the community park in Village Four (project access and frontage, and the PFFP discussions are provided in Chapter 13 of EIR Appendix M). • Heritage Road along the frontage of Village Three North, between the northern project boundary and Int 962 — This facility is included as a 6-lane Prime Arterial providing frontage and access for Village Three North. In addition, the following seven driveways to be constructed as part of the project are also included in the Year 2020 analysis: • Santa Macheto @ Heritage Road (Int#61) — Signalized intersection • Santa Picacho @ Heritage Road (Int 9 62) — Signalized intersection (was modeled as all- way stop controlled T-intersection in the 2015 scenario) • Santa Maya @ Heritage Road (Int 963) — Signalized intersection (was modeled as all- way stop controlled T-intersection in the 2015 scenario) • Village Three North R-20 Driveway @ Main Street (Int 966) — all-way stop controlled intersection • La Media Road/ Village Four Driveway @ Santa Luna Street (Int 9 67) — Signalized intersection • Santa Tipu @ Main Street(Int 968)—one-way controlled intersection • Santa Marisol @ Main Street(Int 969)— Signalized intersection According to Section 12.24 of the City's Municipal Code, access related impacts would occur if access and frontage improvements are not provided concurrent with development. Mitigation See MM TCA-2 identified above. Otay Ranch University Villages Project Final EIR 44 2014-12-02 Agenda Packet Page 358 CEQA Findings of Fact and Statement of Overriding Considerations Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM TCA-2 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant impacts related to access and frontage to a less-than-significant level. Reference EIR Section 5.3 Transportation, Circulation, and Access Impact— Circulation System Assumptions If the assumed roadway improvements are not in place prior to each traffic scenario as assumed, additional traffic impacts would occur resulting in a potentially significant impact. Roadway improvements to be constructed by others: • Heritage Road, south of Main Street to the Chula Vista city limit as a 6-lane Prime Arterial • Otay Lakes Road between H Street and Telegraph Canyon Road as a 6-lane Prime Arterial • Quarry Driveway (Int 965) @ Main Street as an all-way stop controlled intersection Explanation • Heritage Road, south of Main Street to Chula Vista City limit — This facility is included as its ultimate classification in 2020. As indicated in the City's currently adopted General Plan Circulation Element, the ultimate classification designation for Heritage Road south of Main Street is a Six-Lane Prime Arterial. This improvement project (STM364 — Heritage Road Bridge Replacement) is included in the Chula Vista adopted FY 2012-13 through FY 2016-17 CIP and will be funded by a mix of the Highway Bridge Program, TDIFs, and other miscellaneous transportation grants. For additional information, see EIR Appendix M. • Otay Lakes Road, between H Street and Telegraph Canyon Road — This facility is included as widened from a Four-Lane Major Road to a Six-Lane Prime Arterial consistent with the classification identified in the City's currently adopted General Plan Circulation Element. This improvement project (STM355 — Otay Lakes Road Widening) is included in the Chula Vista adopted FY 2012-13 through FY 2016-17 CIP and will be funded by the TDIFs. For additional information, see EIR Appendix M. Otay Ranch University Villages Project Final EIR 45 2014-12-02 Agenda Packet Page 359 CEQA Findings of Fact and Statement of Overriding Considerations Quarry Driveway (Int 965) @ Main Street — As an all-way stop controlled intersection. The signalization of this intersection would occur in conjunction with the construction of Main Street between Heritage Road and La Media Road (City of Chula Vista CIP #STM357). Signalization would not be needed until completion of this Main Street segment. The traffic analysis assumed certain roadway improvements to be in place prior to commencement of each study scenario. These assumed roadways were taken into account due to other Otay Ranch communities' planned improvements or City of Chula Vista and City of San Diego Circulation Element funded improvements in the project study area. If the assumed roadway improvements are not in place as modeled for the year 2020 scenario, additional traffic impacts could occur. Therefore a potentially significant impact could occur if assumed improvements are not developed as prescribed in the traffic impact analysis. As previously noted, if the assumed roadway improvements are not constructed by others and in place as modeled for the Year 2020 scenario, the project applicant and the City will take those steps necessary to either construct the subject facilities or implement substitute measures to ensure adequate infrastructure as modeled is in place, as detailed in mitigation measure TCA-11. Mitigation To ensure the circulation system improvements assumed in the University Villages Traffic Impact Analysis, dated July 31, 2014, are constructed and operational, the following mitigation measure is provided: MM TCA-11 The year 2020 scenario assumes the following intersection and roadway improvements are in place: • Heritage Road, south of Main Street to the Chula Vista city limit as a 6-lane Prime Arterial • Otay Lakes Road between H Street and Telegraph Canyon Road as a 6-lane Prime Arterial If the project equivalent dwelling unit of 4,070th EDU is exceeded prior to these improvements being constructed and open to traffic, then one of the following steps shall be taken each to the satisfaction of the City Engineer: i. Development in Village Three and the Portion of Village Four and Village Eight East shall stop until those assumed future roadways are constructed by others as presently planned; or ii. City and the Applicant shall meet to determine the need for the incomplete roadway segments. Because a number of factors, including changes to the tolling structure at SR-125, may affect future traffic patterns in Otay Ranch, Otay Ranch University Villages Project Final EIR 46 2014-12-02 Agenda Packet Page 360 CEQA Findings of Fact and Statement of Overriding Considerations the Applicant shall submit to the City additional traffic analysis of the roadway network and levels of service at that time to determine: (i) if such improvements in fact are necessary; and (ii) the scope and timing of additional circulation improvements, if any. The City's determination of whether such improvements are necessary, or the scope and timing of additional improvements, shall be based on whether the City's traffic quality of life threshold standards are met, consistent with the performance standards set forth in the City of Chula Vista Growth Management Ordinance (GMO) (Chapter 19.09 of the Chula Vista Municipal Code). The current traffic threshold is to maintain LOS "C" or better as measured by observed average travel speed on all signalized arterial segments; except, that during peak hours, a LOS "D" can occur for no more than two hours; or iii. Applicant shall construct the missing roadway links and receive a transportation development impact fee credit for those improvements as applicable; or iv. An alternative measure is selected by the City that is demonstrated to ensure that the applicable GMO quality of life thresholds are met for traffic. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM TCA-I I is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant impacts related to circulation system assumptions to a less-than-significant level. Reference EIR Section 5.3 Transportation, Circulation, and Access Year 2025 Conditions Impact—Intersections Under Year 2025 conditions, the proposed project would have significant project-specific impacts at the following two study area intersections in the City of Chula Vista: • Heritage Road/Olympic Parkway (direct) • La Media Road/ Olympic Parkway (direct) Otay Ranch University Villages Project Final EIR 47 2014-12-02 Agenda Packet Page 361 CEQA Findings of Fact and Statement of Overriding Considerations Explanation • Heritage Road/ Olympic Parkway— LOS E during both the AM and PM peak hours. The 2025 project traffic would comprise approximately 14.7% and 16.4% of the total intersection-entering volume in the AM and PM peak hours, respectively. Since the project contribution is more than 5%, the project would result in a significant direct impact at this intersection. • La Media Road / Olympic Parkway — LOS E during the AM peak hour. The 2025 project traffic would comprise approximately 16.0% of the total intersection- entering volume in the AM hour. Since the project contribution is more than 5%, the project would result in a significant direct impact at this intersection. Impact—Roadways The following roadway segments in the City of Chula Vista would be significantly impacted by the proposed project traffic under the Year 2025 conditions: • Olympic Parkway between Heritage Road and Santa Venetia Street(direct) • Heritage Road between East Palomar Street and Olympic Parkway (direct) Explanation • Olympic Parkway, between Heritage Road and Santa Venetia Street (LOS D) — The proposed 2025 project traffic would comprise approximately 20.3% (more than 5%) of the total segment volume and would add 11,100 ADT (more than 800 ADT). In addition, one of the intersections (Heritage Road / Olympic Parkway) along this segment would operate at LOS E during both peak hours. Therefore, the project traffic would result in a significant direct impact at this location. • Heritage Road, between East Palomar Street and Olympic Parkway (LOS D) — The proposed 2025 project traffic would comprise approximately 12.2% (more than 5%) of the total segment volume and would add 6,300 ADT (more than 800 ADT). In addition, one of the intersections (Heritage Road / Olympic Parkway) along this segment would operate at LOS E during both peak hours. Therefore, the project traffic would result in a significant direct impact at this location. Mitigation MM TCA-12 Intersections: Heritage Road / Olympic Parkway (CV) and La Media Road / Olympic Parkway (CV); Roadways: Olympic Parkway, between Heritage Road and Santa Venetia Street (CV); and Heritage Road, between East Palomar Street Otay Ranch University Villages Project Final EIR 48 2014-12-02 Agenda Packet Page 362 CEQA Findings of Fact and Statement of Overriding Considerations and Olympic Parkway (CV) — Prior to the issuance of each building permit, the Project Applicant shall pay the appropriate Transportation Development Impact Fees (TDIF) for the construction of Main Street, between Heritage Road and La Media Road, as a Six-Lane Prime Arterial, including the construction of Main Street bridge, the signalization of Quarry Driveway / Main Street (Int 965), and the signalization of Village Three North R-20 Driveway / Main Street (Int 966). The project will signalize the intersection of Village Three North R-20 Driveway / Main Street (Int 966) in conjunction with the construction of Main Street, while the TDIF program will signalize the intersection of Quarry Driveway / Main Street (Int 965). The analysis shows the need for Main Street from the Heritage Road to La Media Road is triggered by the 4,737 1h EDU. If the project equivalent dwelling unit limit of 4,736 EDU is reached prior to this roadway segment being constructed and open to traffic, then one of the following steps shall be taken as determined by the City Engineer: i. Development in Villages Three North, Eight East, and Ten shall stop until the future roadway is constructed by the City; or ii. City and the Applicant shall meet to determine the need for the incomplete roadway segments. Because a number of factors, including changes to the tolling structure at SR-125, may affect future traffic patterns in Otay Ranch, the Applicant shall submit additional traffic analysis of the roadway network and levels of service at that time to determine: (i) if such improvements in fact are necessary; and (ii) the scope and timing of additional circulation improvements, if any. The City's determination of whether such improvements are necessary, or the scope and timing of additional improvements, shall be based on whether the City's traffic quality of life threshold standards are met, consistent with the performance standards set forth in the City of Chula Vista Growth Management Ordinance (GMO) (Chapter 19.09 of the Chula Vista Municipal Code). The current traffic threshold is to maintain LOS "C" or better as measured by observed average travel speed on all signalized arterial segments; except, that during peak hours, a LOS "D" can occur for no more than two hours; or iii. Applicant shall construct the missing roadway link and receive a transportation development impact fee credit for the improvements as applicable; or iv. An alternative measure is selected by the City that is demonstrated to ensure the applicable GMO quality of life thresholds are met for traffic. The segment of Main Street between Heritage Road and La Media Road will provide an important direct east-west linkage and reduce traffic along Heritage Road — Olympic Parkway — La Media Road, thereby improving operations at the Heritage Road / Olympic Parkway Otay Ranch University Villages Project Final EIR 49 2014-12-02 Agenda Packet Page 363 CEQA Findings of Fact and Statement of Overriding Considerations intersection to acceptable levels and reducing the identified impact to less than significant. The construction of this segment of Main Street is included within the City's TDIF program. The first phase of construction, as well as the preparation of subsequent environmental compliance documents, are included in the City's CIP Program for 2013-2016 (STM357). The construction of Main Street between Heritage Road and La Media Road will also significantly reduce traffic on Olympic Parkway between Heritage Road and Santa Venetia Street, Heritage Road between Olympic Parkway and Main Street, and Olympic Parkway between Heritage Road and La Media Road. These reductions would improve the intersection operations at Heritage Road /Olympic Parkway to acceptable levels, hence, would mitigate the impact at the segment of Heritage Road between East Palomar Street and Olympic Parkway. Potential impacts associated with the Main Street extension previously were addressed in several environmental documents, including the Chula Vista Vision 2020 General Plan Update (GPU) Final Environmental Impact Report (EIR) (2005b), the City's Multiple Species Conservation Plan (MSCP) Subarea Plan (2003), the Otay Ranch Resource Management Plan (RMP) (1993), and the Otay Ranch Resource Management Plan Phase 2 (2002). The extension and the bridge are not required until 2025; therefore, assessing the design and impacts to resources would be speculative at this time. However, prior to the construction of Main Street between Heritage Road and La Media Road, the City will conduct a project-specific review of the potential environmental impacts associated with construction of the road extension. A preliminary analysis of the potential effects is provided in EIR Appendix M.4 Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM TCA-12 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant impacts related to intersections and roadway segments in the year 2025 to a less-than-significant level. Reference EIR Section 5.3 Transportation, Circulation, and Access 4 Traffic operations at the quarry access off of Main Street under conditions with and without the Main Street connection over Wolf Canyon are addressed in EIR Appendix M,Chapter 14.0,Quarry Access. Otay Ranch University Villages Project Final EIR 50 2014-12-02 Agenda Packet Page 364 CEQA Findings of Fact and Statement of Overriding Considerations Impact—Access and Frontage A potentially significant impact would occur if access and frontage improvements are not provided concurrent with development. Roadway improvements to be constructed by the project for access and frontage: • Main Street,from Santa Marisol to SR-125 right-of-way(western boundary) • Otay Valley Road, from Main Street to SR-125 right-of-way (western boundary) • Access road to the community park in Village Eight East(Community Park Driveway) • University Drive,between Main Street/Hunte Parkway and University Driveway 91 • University Drive,between University Driveway 91 and Discovery Falls Drive • Discovery Falls Drive,between Hunte Parkway and University/RTP Driveway • Discovery Falls Drive,between University/RTP Driveway and Village Nine Street"B" In addition, the following seven driveways to be constructed as part of the project are also included in the 2025 analysis: • Village Eight East R-16 Driveway @ Main Street(Int 970) • Village Eight East Community Park Driveway @ Otay Valley Road(Int#71) • Cutter Avenue @ Otay Valley Road (Int 972) • Santa Marisol @ Otay Valley Road (Int 973) • Santa Juilliard @ Discovery Falls Drive (Int 976) • University Drive @ Discovery Falls Drive (Int 977) • Santa Davis @ Discovery Falls Drive (Int 978) Explanation Roadway improvements to be constructed by the project for access and frontage: • Main Street, from Santa Marisol to SR-125 right-of-way (western boundary) — This facility was included as a 6-lane Prime Arterial providing frontage and access for Village Eight East. • Otay Valley Road, from Main Street to SR-125 right-of-way (western boundary) — This facility is included as a Four-Lane Major Road providing frontage and access for Village Eight East including the community park south of Otay Valley Road. Otay Ranch University Villages Project Final EIR 51 2014-12-02 Agenda Packet Page 365 CEQA Findings of Fact and Statement of Overriding Considerations • Access road to the community park in Village Eight East (Community Park Driveway) — This road is included as two lanes to provide access for the community park to Otay Valley Road. • University Drive, between Main Street / Hunte Parkway and University Driveway 91 — This facility is included as a Class II Collector providing access for Village Ten. • University Drive, between University Driveway 91 and Discovery Falls Drive — This facility is included as a Class II Collector providing access for Village Ten. • Discovery Falls Drive, between Hunte Parkway and University / RTP Driveway — This facility is included as a Four-Lane Major Road providing frontage and access for Village Ten (project access and frontage, and the PFFP discussion are provided in Chapter 13 of EIR Appendix M). • Discovery Falls Drive, between University / RTP Driveway and Village Nine Street `B" — This facility is included as a Class H Collector providing frontage and access for Village Ten. In addition, the following seven driveways to be constructed as part of the project are also included in the 2025 analysis: • Village Eight East R-16 Driveway @ Main Street(Int 970) —Right-turn in/out only • Village Eight East Community Park Driveway @ Otay Valley Road (Int 471) — Signalized intersection • Cutter Avenue @ Otay Valley Road (Int 972)—Right-turn in/out only • Santa Marisol @ Otay Valley Road (Int 973)— Signalized intersection • Santa Juilliard @ Discovery Falls Drive (Int 976) — Signalized intersection • University Drive @ Discovery Falls Drive (Int 977)— Signalized intersection • Santa Davis @ Discovery Falls Drive (Int 978)— Signalized intersection According to Section 12.24 of the City's Municipal Code, access related impacts would occur if access and frontage improvements are not provided concurrent with development. Mitigation See MM TCA-2 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM Otay Ranch University Villages Project Final EIR 52 2014-12-02 Agenda Packet Page 366 CEQA Findings of Fact and Statement of Overriding Considerations TCA-2 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant impacts related to access and frontage to a less-than-significant level. Reference EIR Section 5.3 Transportation, Circulation, and Access Impact— Circulation System Assumptions The traffic analysis assumed certain roadway improvements to be in place prior to commencement of each study scenario. These assumed roadways were taken into account due to other Otay Ranch communities' planned improvements or City of Chula Vista and City of San Diego Circulation Element funded improvements in the project study area. If these improvements are not in place prior to each traffic scenario as assumed, additional traffic impacts would occur resulting in a potentially significant impact. Circulation System Assumptions Being Carried Forward from 2020 • Heritage Road, south of Main Street to the Chula Vista city limit as a 6-lane Prime Arterial • Otay Lakes Road between H Street and Telegraph Canyon Road as a 6-lane Prime Arterial • Quarry Driveway (Int 965) @ Main Street as an all-way stop controlled intersection Explanation Roadway improvements to be constructed by others: • Heritage Road, south of Main Street to Chula Vista City limit — This facility is included as its ultimate classification in 2020. As indicated in the City's currently adopted General Plan Circulation Element, the ultimate classification designation for Heritage Road south of Main Street is a Six-Lane Prime Arterial. This improvement project (STM364 — Heritage Road Bridge Replacement) is included in the Chula Vista adopted FY 2012-13 through FY 2016-17 CIP and will be funded by a mix of the Highway Bridge Program, TDIFs, and other miscellaneous transportation grants. For additional information, see EIR Appendix M. • Otay Lakes Road, between H Street and Telegraph Canyon Road — This facility is included as widened from a Four-Lane Major Road to a Six-Lane Prime Arterial consistent with the classification identified in the City's currently adopted General Plan Circulation Element. This improvement project (STM355 — Otay Lakes Road Widening) Otay Ranch University Villages Project Final EIR 53 2014-12-02 Agenda Packet Page 367 CEQA Findings of Fact and Statement of Overriding Considerations is included in the Chula Vista adopted FY 2012-13 through FY 2016-17 CIP and will be funded by the TDIFs. For additional information, see EIR Appendix M. • Quarry Driveway (Int 965) @ Main Street—As an all-way stop controlled intersection. The signalization of this intersection would occur in conjunction with the construction of Main Street between Heritage Road and La Media Road (City of Chula Vista CIP #STM357). Signalization would not be needed until completion of this Main Street segment. The traffic analysis assumed certain roadway improvements to be in place prior to commencement of each study scenario. These assumed roadways were taken into account due to other Otay Ranch communities' planned improvements or City of Chula Vista and City of San Diego Circulation Element funded improvements in the project study area. If the assumed roadway improvements are not in place as modeled for the year 2020 scenario, additional traffic impacts could occur. Therefore a potentially significant impact could occur if assumed improvements are not developed as prescribed in the traffic impact analysis. As previously noted, if the assumed roadway improvements are not constructed by others and in place as modeled for the Year 2020 scenario, the project applicant and the City will take those steps necessary to either construct the subject facilities or implement substitute measures to ensure adequate infrastructure as modeled is in place, as detailed in mitigation measure TCA-11. Mitigation See MM TCA-11 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM TCA-11 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant impacts related to circulation system assumptions to a less-than-significant level. Reference EIR Section 5.3 Transportation, Circulation, and Access Otay Ranch University Villages Project Final EIR 54 2014-12-02 Agenda Packet Page 368 CEQA Findings of Fact and Statement of Overriding Considerations Year 2030 Conditions Impact—Intersections The proposed project would have a significant impact at the following study area intersection in the City of Chula Vista: • Discovery Falls Drive/Hunte Parkway (direct) Explanation • Discovery Falls Drive / Hunte Parkway — LOS E during the AM and PM peak hours. The buildout project traffic would comprise approximately 11.3% and 14.2% of the total intersection entering volume in the AM and PM peak hours, respectively. Since the project contribution is more than 5%, the project would result in a significant direct impact at this intersection. Mitigation MM TCA-13 Intersection: Discovery Falls Drive/Hunte Parkway (CV)—Prior to approval of the Final Map containing the 1,295th EDU of Village Ten, the Project Applicant shall construct a dedicated right-turn lane at the northbound Discovery Falls Drive approach to the Discovery Falls Drive/Hunte Parkway intersection. After implementation of the identified improvement, the project-impacted intersection of Discovery Falls Drive / Hunte Parkway would operate at acceptable LOS D during both the AM and PM peak hours. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM TCA-13 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant impacts related to intersections under the year 2030 to a less-than-significant level. Reference EIR Section 5.3 Transportation, Circulation, and Access Otay Ranch University Villages Project Final EIR 55 2014-12-02 Agenda Packet Page 369 CEQA Findings of Fact and Statement of Overriding Considerations Impact—Ramp Metering Project buildout traffic would have a significant cumulative impact at the I-805 northbound on- ramp at Main Street under Year 2030 conditions. Explanation The peak hour capacity expected to be processed through the ramp meter (Meter Rate) would be greater than the peak hour demand (Demand) at the I-805 northbound on-ramp at Olympic Parkway. However, the peak hour demand at the I-805 northbound on-ramp at Main Street would be greater than the capacity that the ramp meter provides under the Year 2030 conditions, and would result in 13.8 minutes of delay without the proposed project and 33.1 minutes of delay with the proposed project. Therefore, based on the SANDAG CMP impact threshold (SANDAG 2008), the proposed project would result in a significant cumulative impact at the I-805 northbound on-ramp at Main Street. Mitization MM TCA-14 I-805 Northbound On-Ramp at Main Street - Prior to project buildout, the Project Applicant shall work with Caltrans to, and Caltrans can and should, adjust the ramp meter rate at the I-805 northbound on ramp at Main Street such that the ramp meter reflects the additional vehicle traffic attributable to the project. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM TCA-14 is feasible and shall be required as a condition of approval and made binding on the applicant (Public Resources Code 21081(a)(2)). MM TCA-14 is feasible because there are no Caltrans standard or rules that prevent a ramp meter from being adjusted; the nearby ramp to I-805 is metered differently to allow substantially more vehicles to enter the freeway each hour than the ramp at Main street; and there is only a nominal cost, if any, for Caltrans to adjust the meter. Implementation of this mitigation measure will reduce significant impacts related to the I-805 northbound on-ramp at Main Street under Year 2030 conditions to a less-than-significant level. Reference EIR Section 5.3 Transportation, Circulation, and Access Otay Ranch University Villages Project Final EIR 56 2014-12-02 Agenda Packet Page 370 CEQA Findings of Fact and Statement of Overriding Considerations Impact—Access and Frontage A potentially significant impact would occur if access and frontage improvements are not provided concurrent with development. When comparing to the Year 2025 network, the following additional roadway improvements would be constructed by the project for access and frontage: • Village Nine Street"B" / Otay Valley Road (#74) • Village Nine Street`B"/Discovery Falls Drive(#75) Access and Frontage Mitigation Beim Carried Forwards from 2025 • Main Street, from Santa Marisol to SR-125 right-of-way (western boundary) • Otay Valley Road, from Main Street to SR-125 right-of-way (western boundary) • Access road to the community park in Village Eight East(Community Park Driveway) • University Drive,between Main Street/Hunte Parkway and University Driveway 91 • University Drive,between University Driveway 91 and Discovery Falls Drive • Discovery Falls Drive,between Hunte Parkway and University/RTP Driveway • Discovery Falls Drive,between University/RTP Driveway and Village Nine Street"B" • Hunte Parkway @ Eastlake Parkway (Int 947) • Hunte Parkway @ Discovery Falls Drive (Int 948) • Village Three North R-20 Driveway 94 @ Main Street(Int 966) • Village Eight East R-16 Driveway @ Main Street(Int 966) • Village Eight East Community Park Driveway @ Otay Valley Road(Int#71) • Cutter Avenue @ Otay Valley Road (Int 972) • Santa Marisol @ Otay Valley Road (Int 973) • Santa Juilliard @ Discovery Falls Drive (Int 976) • University Drive @ Discovery Falls Drive (Int 977) • Santa Davis @ Discovery Falls Drive (Int 978) Otay Ranch University Villages Project Final EIR 57 2014-12-02 Agenda Packet Page 371 CEQA Findings of Fact and Statement of Overriding Considerations Explanation When comparing to the Year 2025 network, the following additional roadway improvements would be constructed by the project for access and frontage: • Village Nine Street"B" / Otay Valley Road (#74) — Signalized intersection. • Village Nine Street `B" / Discovery Falls Drive (#75) — Signalized intersection, including construction of Discovery Falls Drive between Village Nine Street`B" and Santa Julliard. Access and Frontage Mitigation Being Carried Forward from 2025 • Main Street, from Santa Marisol to SR-125 right-of-way (western boundary) — This facility was included as a 6-lane Prime Arterial providing frontage and access for Village Eight East. • Otay Valley Road, from Main Street to SR-125 right-of-way (western boundary) — This facility is included as a Four-Lane Major Road providing frontage and access for Village Eight East including the community park south of Otay Valley Road. • Access road to the community park in Village Eight East (Community Park Driveway — This road is included as two lanes to provide access for the community park to Otay Valley Road. • University Drive, between Main Street/Hunte Parkway and University Driveway 91 — This facility is included as a Class II Collector providing access for Village Ten. • University Drive, between University Driveway 91 and Discovery Falls Drive — This facility is included as a Class II Collector providing access for Village Ten. • Discovery Falls Drive, between Hunte Parkway and University / RTP Driveway — This facility is included as a Four-Lane Major Road providing frontage and access for Village Ten (project access and frontage, and the PFFP discussion are provided in Chapter 13 of EIR Appendix M). • Discovery Falls Drive, between University / RTP Driveway and Village Nine Street `B" — This facility is included as a Class H Collector providing frontage and access for Village Ten. • Hunte Parkway @ Eastlake Parkway (Int 947) — Signal modification. • Hunte Parkway @ Discovery Falls Drive (Int 948) — Signal modification. • Village Three North R-20 Driveway 94 @ Main Street(Int 966) — Signalized intersection (analyzed as an all-way stop controlled in 2020). • Village Eight East R-16 Driveway @ Main Street (Int 966) — Signalized intersection (analyzed as AWSC in 2020). Otay Ranch University Villages Project Final EIR 58 2014-12-02 Agenda Packet Page 372 CEQA Findings of Fact and Statement of Overriding Considerations • Village Eight East Community Park Driveway @ Otay Valley Road (Int 471) — Signalized intersection. • Cutter Avenue @ Otay Valley Road (Int 972) —Right-turn in/out only. • Santa Marisol @ Otay Valley Road (Int 973)— Signalized intersection. • Santa Juilliard @ Discovery Falls Drive (Int 976) — Signalized intersection. • University Drive @ Discovery Falls Drive (Int 977)— Signalized intersection. • Santa Davis @ Discovery Falls Drive (Int 978)— Signalized intersection. According to Section 12.24 of the City's Municipal Code, access related impacts would occur if access and frontage improvements are not provided concurrent with development. Mitigation See MM TCA-2 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM TCA-2 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant impacts related to access and frontage to a less-than-significant level. Reference EIR Section 5.3 Transportation, Circulation, and Access Impact— Circulation System Assumptions The traffic analysis assumed certain roadway improvements to be in place prior to commencement of each study scenario. These assumed roadways were taken into account due to other Otay Ranch communities' planned improvements or City of Chula Vista and City of San Diego Circulation Element funded improvements in the project study area. If these improvements are not in place prior to each traffic scenario as assumed, additional traffic impacts would occur resulting in a potentially significant impact. Roadway improvements to be constructed by others: • Main Street, between SR-125 right-of-way (western boundary) and EastLake Parkway / University Drive Otay Ranch University Villages Project Final EIR 59 2014-12-02 Agenda Packet Page 373 CEQA Findings of Fact and Statement of Overriding Considerations • SR-125 / Main Street interchange is included, consistent with the currently adopted Circulation Elements • Otay Valley Road, between subdivision boundary and Village Nine Street"B" (Int#74) Circulation System Assumptions Being Carried Forward from 2025 • Village Eight East R-16 Driveway @ Main Street(Int#66) • Quarry Driveway (Int 965) @ Main Street Mitigation Being Carried Forward from 2025 • Construction of Main Street, between Heritage Road and La Media Road, as a Six- Lane Prime Arterial including construction of Main Street Bridge. • Signalization of Quarry Driveway/Main Street(Int 965)as part of Main Street construction. • Signalization of Village Three North R-20 Driveway / Main Street (Int 966) as a part of Main Street construction. Explanation • Main Street, between SR-125 right-of-way (western boundary) and EastLake Parkway/University Drive — This facility is included as a Six-Lane Gateway Street, consistent with the currently adopted Circulation Element. • SR-125 / Main Street interchange is included, consistent with the currently adopted Circulation Element.6 The SR-125 / Main Street interchange (overpass and ramps) is included as part of the City of Chula Vista's TDIF program and was approved by the City Council on July 22, 2014. • Otay Valley Road, between subdivision boundary and Village Nine Street "B" (Int 974), is included providing an overpass at SR-125. The SR-125 / Otay Valley Road overpass is included as part of the City of Chula Vista's TDIF program and was approved by the City Council on July 22, 2014. Circulation System Assumptions Beim Carried Forwards from 2025 • Village Eight East R-16 Driveway @ Main Street (Int 466) — Signalized intersection (analyzed as AWSC in 2020) • Quarry Driveway (Int 965) @ Main Street— Signalized Intersection 5 Potential configurations and associated traffic and safety operations at the SR-125 /Main Street interchange are addressed in the TIA,EIR Appendix M,Chapter 15.0. 6 Potential configurations and associated traffic and safety operations at the SR-125 /Main Street interchange are addressed in the TIA,EIR Appendix M,Chapter 15.0. Otay Ranch University Villages Project Final EIR 60 2014-12-02 Agenda Packet Page 374 CEQA Findings of Fact and Statement of Overriding Considerations The signalization of these two (2) intersections would occur in conjunction with the construction of Main Street between Heritage Road and La Media Road (City of Chula Vista CIP # STM357). Signalization of these two intersections would not be needed until the completion of the Main Street connection between Heritage Road and La Media Road. If the assumed roadway improvements are not constructed by others and in place as modeled for the Year 2030 scenario, the Project Applicant and the City will take those steps necessary to either construct the subject facilities or implement substitute measures to ensure adequate infrastructure as modeled is in place, as detailed in mitigation measure TCA-16. Mitigation To ensure the circulation system improvements assumed in the University Villages Traffic Impact Analysis, dated June 2014, are constructed and operational, the following mitigation measure is provided: MM TCA-16 The year 2030 scenario assumes the following intersection and roadway improvements are in place: • Main Street between SR-125 right-of-way (western boundary) and Eastlake Parkway/University Drive is constructed as a 6-lane Gateway Street (6,432nd EDU) • SR-125 /Main Street interchange constructed(6,432nd EDU) • Otay Valley Road constructed between SR-125 right-of-way (western boundary) and Village Nine Street"B" (Int 974), including an overpass at SR- 125 (7,767th EDU) If the project equivalent dwelling unit limit of the EDUs identified above are exceeded prior to the respective improvements being constructed and open to traffic, then one of the following steps shall be taken, each to the satisfaction of the City Engineer: i. Development in Village Three and the Portion of Village Four, Village Eight East, and Village Ten shall stop until those assumed future roadways are constructed by others as presently planned; or ii. City and the Applicant shall meet to determine the need for the incomplete roadway segments. Because a number of factors, including changes to the tolling structure at SR-125, may affect future traffic patterns in Otay Ranch, the Applicant shall submit to the City additional traffic analysis of the roadway network and levels of service at that time to determine: (i) if such Otay Ranch University Villages Project Final EIR 61 2014-12-02 Agenda Packet Page 375 CEQA Findings of Fact and Statement of Overriding Considerations improvements in fact are necessary; and (ii) the scope and timing of additional circulation improvements, if any. The City's determination of whether such improvements are necessary, or the scope and timing of additional improvements, shall be based on whether the City's traffic quality of life threshold standards are met, consistent with the performance standards set forth in the City of Chula Vista Growth Management Ordinance (GMO) (Chapter 19.09 of the Chula Vista Municipal Code). The current traffic threshold is to maintain LOS "C" or better as measured by observed average travel speed on all signalized arterial segments; except, that during peak hours, a LOS "D" can occur for no more than two hours; or iii. Applicant shall construct the missing roadway links and receive a transportation development impact fee credit for those improvements as applicable; or iv. An alternative measure is selected by the City that is demonstrated to ensure that the applicable GMO quality of life thresholds are met for traffic. Note: Potential secondary impacts as a result of the mitigation measures described above have been analyzed in the EIR as off-site improvement areas. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM TCA-16 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant impacts related to circulation system assumptions to a less-than-significant level. Reference EIR Section 5.3 Transportation, Circulation, and Access Construction Phasing Impact In the event that the proposed project is not constructed in accordance with the assumed phasing schedule as identified in Section 4.0, Project Description, Table 4.3, a potentially significant impact would occur and mitigation is required. Otay Ranch University Villages Project Final EIR 62 2014-12-02 Agenda Packet Page 376 CEQA Findings of Fact and Statement of Overriding Considerations Explanation Construction of the proposed project is anticipated to begin with Village Three North in late 2014. Construction of the residential portion of Village Three North is anticipated to be complete in September 2018 and the non-residential portion (Industrial) is anticipated to be complete by 2025. Generally, Village Three North is expected to phase from northwest to southeast. Construction of Village Eight East is anticipated to begin in February 2016 and to be complete in September 2024. Village Eight East is expected to phase from north to south. Lastly, construction of Village Ten is anticipated to begin in August 2023 and to be complete in September 2029. Village Ten is expected to phase from north to south. There are different phasing dates between the Traffic Impact Analysis (TIA) (Appendix M) and the EIR,because the TIA only analyzes the project in 5-year increments. Mitigation MM TCA-17 The proposed project shall be implemented, or phased, consistent with the development timeframe set forth in Project Description Table 4-3. In the event that project development substantially deviates from the phasing set forth in Table 4-3 (e.g., Village Three being built first, followed by Village Eight East and then Village Ten), the Applicant, or its designee, shall conduct additional environmental analysis consistent with the requirements of CEQA and as approved by the Development Services Director, or designee. Additional analysis may include a supplemental traffic study that analyzes the potential traffic circulation impacts associated with the phasing deviation, and identifies new circulation improvements or other mitigation measure(s), if needed. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM TCA-17 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant impacts related to construction phasing to a less-than-significant level. Reference EIR Section 5.3 Transportation, Circulation, and Access The original construction schedule,beginning in March 2014,is analyzed for the proposed project;however,as identified above, construction would start at a later date. The construction scenario and schedule analyzed as part of the proposed project analysis is considered conservative. Otay Ranch University Villages Project Final EIR 63 2014-12-02 Agenda Packet Page 377 CEQA Findings of Fact and Statement of Overriding Considerations 7.1.4 Air Quality Thresholds of Significance—Pollutant Concentrations near Sensitive Receptors Impacts to air quality would be significant if the proposed project would: • Expose sensitive receptors to substantial pollutant concentrations. Impact Impacts arising from the emission of Toxic Air Contaminants (TACs) would be potentially significant if the site is developed to accommodate any light industrial uses, gas stations, or dry cleaning facilities in close proximity to sensitive receptors. Explanation CARB's Air Quality and Land Use Handbook: A Community Health Perspective (GARB 2005) lists land uses that are considered major air toxic emitters. These land uses are generally industrial and processing land uses that require a permit from the SDAPCD to operate, though CARB also considers dry cleaning facilities and gas stations to be stationary sources of TAC emissions that should not be located near sensitive receptors. Mitigation MM AQ-3 Prior to approval of the building permit for any uses that are regulated for TACs by the SDAPCD, the Project Applicant shall demonstrate to the satisfaction of the Development Services Director (or their designee) that the use complies with established criteria (such as those established by SDAPCD Rule 1200 and GARB). Also, gas stations shall not be located within 50 feet of a sensitive receptor, in accordance with CARB's siting recommendations. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM AQ- 3 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant direct impacts related to pollutant concentrations near sensitive receptors to a less-than-significant level. Otay Ranch University Villages Project Final EIR 64 2014-12-02 Agenda Packet Page 378 CEQA Findings of Fact and Statement of Overriding Considerations Reference EIR Section 5.4 Air Quality 7.1.5 Noise Thresholds of Significance—Excessive Noise Levels The proposed project would have significant impacts to noise if it would: • Result in the exposure of persons to or generation of noise levels in excess of standards established in the Chula Vista General Plan or noise ordinance, or applicable standards of other agencies. Onsite Noise Exposure—Major Roadways Impact Village Three North The noise level associated with future Main Street traffic volumes (67 dB CNEL) would exceed the exterior noise criterion of 65 dB CNEL, and is considered a potentially significant impact. Explanation Main Street provides access from Interstate 805 to the immediate vicinity of Village Three North, and is aligned along the southern boundary of the development portion of the Village. Main Street under the Year 2030 Plus Project scenario would carry up to 49,200 ADTs adjacent to Village Three North. There are residences at the southern boundary of the development area, which are adjacent to Main Street. The first row of homes aligned closest to Main Street could be exposed to noise levels ranging to 67 dB CNEL from future traffic along Main Street. This noise level associated with future Main Street traffic volumes would exceed the exterior noise criterion of 65 dB CNEL, and is considered a potentially significant impact. Mitigation_ MM N0I-1 Site-Specific Acoustical Analysis — Single- and Multi-Family Residential Development - Exterior. Prior to the approval of rough grading permits for residential development adjacent to Main Street and Heritage Road (Village Three), Otay Valley Road, SR-125 and Main Street (Village Eight), and Discovery Falls Drive and University Drive (Village Ten), the Project Applicant or its designee shall: (i) prepare a site-specific acoustical study based on the Final Otay Ranch University Villages Project Final EIR 65 2014-12-02 Agenda Packet Page 379 CEQA Findings of Fact and Statement of Overriding Considerations Map design; (ii) construct noise barriers as specified below; and (iii) implement any additional noise control measures recommended as a result of the analysis necessary to achieve compliance with the City's Land Use/Noise Compatibility Guidelines and the City's Noise Ordinance (Municipal Code Section 19.68) for exterior noise sensitive land uses. Implementation of all recommended measures shall be to the satisfaction of the Development Services Director (or their designee) and all required noise control measures shall be made conditions of grading permit issuance. The acoustical study shall include, but not be limited to the following: 1. Specification of the location, height, and building material to be used for the noise barriers to be constructed in accordance with Figures 12, 13 and 14 (Approximate Sound Wall Locations), contained in the Noise Assessment Technical Report for the Otay Ranch University Villages Project (Dudek 2014). The sound wall noise barriers shall be a minimum of six feet in height, must have a surface density of at least four pounds per square foot, and be free of openings and cracks (with the exception of expansion joints gaps and other construction techniques, which could create an opening or crack). The wall may be constructed of acrylic glass, masonry material, earthen berm, or a combination of these materials. Heights are provided relative to final pad elevation. Required heights may be achieved through construction of walls, berms or a wall/berm combination; 2. A detailed analysis that demonstrates that barriers and/or setbacks have been incorporated into the project design, such that noise exposure to residential receivers placed in all useable outdoor areas, including multi-family residential patios and balconies, are at or below 65 dBA CNEL. Measures to reduce noise levels may include, but are not limited to, setback of structures from the roadway, installing acoustic barriers, or orienting outdoor activity areas away from roadways so that surrounding structures provide noise attenuation; and 3. Should pad grade elevations, lot configuration/site design, and/or traffic assumptions change during the processing of any Final Maps, the barriers shall be refined to reflect those modifications. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM Otay Ranch University Villages Project Final EIR 66 2014-12-02 Agenda Packet Page 380 CEQA Findings of Fact and Statement of Overriding Considerations N0I-1 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant direct impacts related to onsite traffic noise exposure in Village Three North to a less-than-significant level. Reference EIR Section 5.5 Noise Impact Village Three North The noise level associated with future Heritage Road traffic volumes (67 dB CNEL) would exceed the exterior noise criterion of 65 dB CNEL, and is considered a potentially significant impact. Explanation Heritage Road would extend northward from Main Street through Village Three North, at the western end of the Village. Heritage Road is a major arterial forecast to carry 45,600 ADT through Village Three North in 2030. The first row of homes aligned closest to Heritage Road could be exposed to noise levels ranging to 67 dB CNEL from future traffic along Heritage Road. This noise level associated with future Heritage Road traffic volumes would exceed the exterior noise criterion of 65 dB CNEL, and is considered a potentially significant impact. Mitigation See MM N0I-1 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM N0I-1 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant direct impacts related to onsite traffic noise exposure in Village Three North to a less-than-significant level. Reference EIR Section 5.5 Noise Otay Ranch University Villages Project Final EIR 67 2014-12-02 Agenda Packet Page 381 CEQA Findings of Fact and Statement of Overriding Considerations Impact Village Three North Interior noise levels at residences adjacent to Main Street and Heritage Road would have the potential to exceed 45 dBA CNEL; therefore, a potentially significant impact related to interior noise levels would also occur. Explanation Interior noise levels at residences adjacent to Main Street and Heritage Road would have the potential to exceed 45 dBA CNEL; therefore, a potentially significant impact related to interior noise levels would occur under the Existing Plus Project scenario (EIR pg. 5.5-21). Mitigation MM N0I-2 Site-Specific Acoustical Analysis — Single-Family Residences - Interior. Concurrent with design review and prior to the approval of building permits for single-family residential development where the exterior noise level exceeds 60 dBA CNEL as indicated in the Noise Assessment Technical Report for the Otay Ranch University Villages Project (Dudek 2014), the Applicant or its designee shall: (i) prepare a site-specific acoustical analysis identifying those noise control measures necessary to ensure that interior noise levels due to exterior noise sources will be at or below 45 dBA CNEL; and (ii) implement all measures recommended as a result of the analysis necessary to achieve compliance with the City's Land Use/Noise Compatibility Guidelines and the City's Noise Ordinance (Municipal Code Section 19.68) for single-family residential interior uses. This mitigation measure shall apply to neighborhoods R-1, R-2, R-9, R-11 and R- 20 in Village Three North; and neighborhoods R-I I and R-13 in Village Eight East where exterior noise levels exceed 60 dBA CNEL. Measures to reduce noise levels may include, but are not limited to, setback of structures from the roadway, installing acoustic barriers, or orienting outdoor activity areas away from roadways so that surrounding structures provide noise attenuation. The analysis shall also demonstrate that barriers or setbacks have been incorporated into the project design, such that, when considered with proposed construction specifications, ground level and upper story interior noise levels shall not exceed 45 dBA CNEL. Roof-ceiling assemblies making up the building envelope shall have a sound transmission class value of at least 50, and Otay Ranch University Villages Project Final EIR 68 2014-12-02 Agenda Packet Page 382 CEQA Findings of Fact and Statement of Overriding Considerations exterior windows shall have a minimum sound transmission class of 30 in compliance with the California Green Building standards code. Design-level architectural plans shall be used to assess the exterior-to-interior transmissions loss for habitable rooms. Contingent upon the results of the interior acoustical analysis, the units may need to include an air conditioning system to provide a habitable interior environment with the windows closed while meeting the interior standard of 45 dBA CNEL. The acoustical analysis shall be prepared to the satisfaction of the Development Services Director (or their designee), and all required noise control measures identified in the acoustical analysis shall be made conditions of building permit issuance. MM N0I-3 Site-Specific Acoustical Analysis —Multi-Family Residences - Interior. Concurrent with design review and prior to the approval of building permits for multi-family areas where first and/or second floor exterior noise levels exceed 60 dBA CNEL and/or where required outdoor area (patios or balconies) noise levels exceed 65 dBA CNEL as indicated in the Noise Assessment Technical Report for the Otay Ranch University Villages Project (Dudek 2014), the Applicant or its designee shall: (i) prepare a site-specific acoustical analysis identifying those noise control measures necessary to achieve compliance with California's Title 24 Interior Noise Standards (i.e., 45 dBA CNEL) and the City's Exterior Land Use/Noise Compatibility Guidelines for outdoor use areas (i.e., 65 dBA CNEL); and (ii) implement those measures necessary to achieve compliance with all applicable noise standards. This mitigation measure shall apply to neighborhoods R-14a, R-15a, R-16, R-17 and R-18d in Village Eight East; and neighborhoods R-5, R-6, R-7, R-8, R-9, R- 10, R-17a, R-17b, R-17c, R-18a, R-I8b, R-19a, R-19b, and R-19c in Village Ten, where exterior noise levels exceed 60 dBA CNEL. Measures to reduce noise levels may include,but would not be limited to, setback of structures from the roadway, installing acoustic barriers, or orienting outdoor activity areas away from roadways so that surrounding structures provide noise attenuation. The analysis shall also demonstrate that barriers or setbacks have been incorporated into the project design, such that, when considered with proposed construction specifications, ground level and upper story interior noise levels shall not exceed 45 dBA CNEL. Roof-ceiling assemblies making up the building envelope shall have a sound transmission class value of at least 50, and exterior windows shall have a minimum sound transmission class of 30 in compliance with the California Green Building standards code. Otay Ranch University Villages Project Final EIR 69 2014-12-02 Agenda Packet Page 383 CEQA Findings of Fact and Statement of Overriding Considerations Design-level architectural plans will be available during design review and will permit the accurate calculation of transmissions loss for habitable rooms. For these areas, it may be necessary for the windows to be able to remain closed to ensure that interior noise levels meet the interior standard of 45 dBA CNEL. Consequently, the design for buildings in these areas may need to include a ventilation or air conditioning system to provide a habitable interior environment with the windows closed based on the result on the interior acoustical analysis. The acoustical analysis shall be prepared to the satisfaction of the Development Services Director (or their designee), and all required noise control measures identified in the acoustical analysis shall be made conditions of building permit issuance. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM N0I-2 and MM N0I-3 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant direct impacts related to onsite traffic noise exposure in Village Three North to a less-than- significant level. Reference EIR Section 5.5 Noise Impact Village ht East This noise level associated with future Main Street traffic volumes would exceed the exterior noise criterion of 65 dB CNEL, and is considered a potentially significant impact. Explanation Main Street provides access from SR-125 to the immediate vicinity of Village Eight East, and is aligned along the northern boundary of the development portion of the Village. Main Street under the Year 2030 Plus Project scenario would carry up to 54,800 ADTs adjacent to Village Eight East. There are residences at the northern boundary of the development area that are Otay Ranch University Villages Project Final EIR 70 2014-12-02 Agenda Packet Page 384 CEQA Findings of Fact and Statement of Overriding Considerations adjacent to Main Street. The first row of homes closest to Main Street could be exposed to noise levels ranging to 66 dB CNEL from future traffic along Main Street. Mitigation See MM N0I-1 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM NOI-1 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant direct impacts related to onsite traffic noise exposure in Village Eight East to a less-than-significant level. Reference EIR Section 5.5 Noise Impact Village Eight East Interior noise levels at residences adjacent to Main Street, SR-125 and Otay Valley Road could exceed California's Title 24 Interior Noise Standard of 45 dBA CNEL. Therefore, a potentially significant impact related to interior noise levels would also occur. Explanation Regarding interior noise impacts, with standard construction practices common in California, typical buildings achieve outdoor to indoor noise reductions of 20 dB with the windows closed. Thus, because exterior noise levels at certain locations could exceed 65 dBA CNEL, even with closed windows, the interior noise levels at residences adjacent to Main Street, SR-125 and Otay Valley Road could exceed California's Title 24 Interior Noise Standard of 45 dBA CNEL(EIR pg. 5.5-27. Mitigation See MM N0I-2 and MM N0I-3 identified above. Otay Ranch University Villages Project Final EIR 71 2014-12-02 Agenda Packet Page 385 CEQA Findings of Fact and Statement of Overriding Considerations Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM N0I-2 and MM N0I-3 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant direct impacts related to onsite traffic noise exposure in Village Eight East to a less-than- significant level. Reference EIR Section 5.5 Noise Impact Village Ten The noise level from future traffic along Discovery Falls Drive and University Drive would result in a noise level to 68 dB CNEL at the first row of homes closest to Discovery Falls Drive. This noise level would exceed the exterior noise criterion of 65 dB CNEL, and is considered a potentially significant impact. Explanation Discovery Falls Drive would be extended southward from Hunte Parkway, and would form the northern boundary of Village Ten. Discovery Falls Drive is forecast to carry approximately 27,900 ADT between Hume Parkway and Street`B"in the Year 2030 Plus Project scenario. Residences and a neighborhood park are proposed along the southern side of Discovery Falls Drive in Village Ten. As shown, the first row of homes closest to Discovery Falls Drive could be exposed to noise levels ranging to 68 dB CNEL from future traffic along Discovery Falls Drive and University Drive. This noise level would exceed the exterior noise criterion of 65 dB CNEL. Mitigation See MM NOI-I identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM Otay Ranch University Villages Project Final EIR 72 2014-12-02 Agenda Packet Page 386 CEQA Findings of Fact and Statement of Overriding Considerations NOI-1 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant direct impacts related to onsite traffic noise exposure in Village Ten to a less-than-significant level. Reference EIR Section 5.5 Noise Impact Villa Interior noise levels at residences adjacent to Discovery Falls Drive and Otay Valley Road would have the potential to exceed California's Title 24 Interior Noise Standard of 45 dBA CNEL. Therefore, a potentially significant impact related to interior noise levels would occur. Explanation Regarding interior noise impacts, with standard construction practices common in California, typical buildings achieve outdoor to indoor noise reductions of 20 dB with the windows closed. Thus, because exterior noise levels at certain locations could exceed 65 dBA CNEL, even with closed windows, the interior noise levels at residences adjacent Discovery Falls Drive and Otay Valley Road would have the potential to exceed California's Title 24 Interior Noise Standard of 45 dBA CNEL. Mitigation See MM N0I-2 and MM N0I-3 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM N0I-2 and MM N0I-3 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant direct impacts related to onsite traffic noise exposure in Village Ten to a less-than-significant level. Reference EIR Section 5.5 Noise Otay Ranch University Villages Project Final EIR 73 2014-12-02 Agenda Packet Page 387 CEQA Findings of Fact and Statement of Overriding Considerations Onsite Noise Exposure— Commercial and Industrial Land Uses Impact Locating residences or other sensitive receptors in Village Three North and Portion of Village Four, Village Eight East, and Village Ten in close proximity to a mixed-use building or other building that requires an HVAC system could result in a potentially significant impact. Explanation Typical HVAC equipment can result in noise levels that average between 50 and 65 dBA Leq at 50 feet (City of Santa Ana 2010). For a single point source such as a piece of mechanical equipment, the sound level normally decreases by about 6 dBA for each doubling of distance from the source. Therefore, it is assumed that HVAC equipment would generate noise levels that exceed 45 dBA within 500 feet for the equipment, 50 dBA within approximately 275 feet of the equipment, and 55 dBA within 155 feet of the equipment. Mitigation MM N0I4 Site-Specific Acoustic Analysis — Non-Residential Commercial and/or Mixed- Use Residential — Exterior. Concurrent with design review and prior to the approval of building permits for non-residential commercial and/or mixed use residential area where exterior noise levels exceed 65 dBA CNEL as indicated in the Noise Assessment Technical Report for the Otay Ranch University Villages Project (Dudek 2014), the Applicant or its designee shall: (i) prepare a site- specific acoustical analysis identifying those noise control measures necessary to ensure that exterior noise levels at the boundary of the proposed noise sensitive land use will be below 65 dBA CNEL; and (ii) implementation of any measures recommended as a result of the analysis. Measures to reduce noise levels may include, but would not be limited to, setback of structures from the roadway, installing acoustic barriers, or orienting outdoor activity areas away from roadways so that surrounding structures provide noise attenuation. The analysis shall also demonstrate that barriers or setbacks have been incorporated into the project design, such that, when considered with proposed construction specifications, ground level and upper story interior noise levels shall not exceed 45 dBA CNEL. Roof-ceiling assemblies making up the building envelope shall have a sound transmission class value of at least 50, and exterior windows shall have a minimum sound transmission class of 30 in compliance with the California Green Building standards code. Otay Ranch University Villages Project Final EIR 74 2014-12-02 Agenda Packet Page 388 CEQA Findings of Fact and Statement of Overriding Considerations The acoustical analysis shall be prepared to the satisfaction of the Development Services Director (or their designee), and all required noise control measures identified in the acoustical analysis shall be made conditions of building permit issuance. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM N0I4 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant direct impacts related to noise generation from commercial and industrial land uses to a less- than-significant level. Reference EIR Section 5.5 Noise Impact Industrial activities would have the potential to result in average noise levels above the City's noise thresholds. Therefore, noise generated from proposed industrial development could be potentially significant. Explanation As to future noise sensitive land uses that would be built as part of the project, industrial land uses possess many of the same noise generating characteristics as commercial uses (loading/unloading docks and parking lots; HVAC equipment; maintenance activities; and additional truck traffic along adjacent roads), and often include manufacturing processes and materials handling operations with additional noise generation potential. These industrial activities would have the potential to result in average noise levels above the City's noise thresholds. Mitigation MM N0I-5 Site-Specific Acoustical Analysis — Industrial Zone. As part of the site plan/development plan review process conducted in connection with future industrial development applications submitted to the City, the Applicant or its designee shall prepare a site-specific acoustical analysis to identify those noise Otay Ranch University Villages Project Final EIR 75 2014-12-02 Agenda Packet Page 389 CEQA Findings of Fact and Statement of Overriding Considerations control measures necessary to ensure noise levels generated by the proposed use will comply with the City's General Plan noise standards for residential property boundaries proximate to the industrial zone (maximum exterior noise levels of 65 CNEL). The acoustical analysis shall be prepared to the satisfaction of the Development Services Director (or their designee). All required noise control measures identified in the acoustical analysis shall be made conditions of development approval. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM N0I-5 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant direct impacts related to noise generation from commercial and industrial land uses to a less- than-significant level. Reference EIR Section 5.5 Noise Onsite Noise Exposure—Parks and Recreation Related Noise Impact Village Three North and Portion of Village Four The Village Four Community Park (P-2) would have the potential to exceed the daytime one- hour 60 dBA Leq limit if the loudest noise sources are placed within 160 feet of sensitive habitat. Explanation The EIR for the Otay Ranch Village 2, 3, and Portion of 4 SPA Plan (SCH 92003091012) included an analysis of noise that would potentially be generated by activity at the Village Four Community Park (P-2) (City of Chula Vista 2006). The analysis determined that multi- purpose fields would have the potential to generate noise levels of approximately 54 dBA at 50 feet, and a skate park facility would have the potential to generate noise levels of 70 dBA at 50 feet. The locations of any potential community park uses are not known at this time. However, consistent with the Village Four Community Park analysis in the EIR for the Villages 2, 3, and Portion of 4 SPA Plan, skate park noise is considered the worst-case noise Otay Ranch University Villages Project Final EIR 76 2014-12-02 Agenda Packet Page 390 CEQA Findings of Fact and Statement of Overriding Considerations level that could be generated at 50 feet from the Village Four Community Park (P-2). Therefore, the Village Four Community Park (P-2) would have the potential to exceed the daytime one-hour 60 dBA Leq limit if the loudest noise sources are placed within 100 feet of sensitive habitat. Because the Portion of Village Four is located on the very western edge of the Community Park (P-2), the adjacent noise sensitive land use would be the MSCP Preserve. Therefore, this impact would be considered potentially significant. Mitigation MM N0I-6 As a condition of approval of the proposed project, the City shall limit the active programming operational hours for neighborhood park sites to 7:00 am 10:00 pm, 7 days a week. MM BIO-17 and MM BIO-18 identified below would also help mitigate this impact to less than significant. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM NOI-6, MM B10-17 and MM B10-18 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant direct impacts related to noise generation from parks and recreation to a less-than- significant level. Reference EIR Section 5.5 Noise Impact Village Eight East The Village Eight East Community Park (P-2) would have the potential to exceed the daytime one-hour 60 dBA Leq limit if the loudest noise sources are placed within approximately 100 feet of sensitive habitat. Explanation The Village Eight East Community Park (P-2) would generate a one-hour average noise level of approximately 55-65 dB at a distance of 50 feet from the stands and/or spectator areas, which is Otay Ranch University Villages Project Final EIR 77 2014-12-02 Agenda Packet Page 391 CEQA Findings of Fact and Statement of Overriding Considerations comparable to the Community Park (P-2) noise levels located within Village Four. The Village Eight East Community Park (P-2) would have the potential to exceed the daytime one-hour 60 dBA Leq limit if the loudest noise sources are placed within approximately 100 feet of sensitive habitat. Therefore, this impact would be considered potentially significant. Mitigation See MM NOI-6 identified above and MM BIO-17 and MM 1310-18 identified below. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM NOI-6, MM BIO-17 and MM BIO-18 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant direct impacts related to noise generation from parks and recreation to a less-than- significant level. Reference EIR Section 5.5 Noise Impact Village Three North and Portion of Village Four, Village Eight East, and Village Ten Noise levels from Neighborhood Parks would not be expected to exceed nighttime noise standards between 10:00 p.m. and 10:30 p.m.; however the noise threshold after 10:00 p.m. is lower and therefore there could be significant impacts after 10 p.m. Explanation One neighborhood park site is planned for each of the three Villages. Based upon the most recent conceptual design drawings, each of the park sites is surrounded on all four sides by a street having a minimum 58 foot wide right of way. Thus, noise levels from the proposed parks would be approximately 64 dB (i.e., slightly less than 65 dB) during park operating hours. According to the Chula Vista Municipal Code Section 2.66.270, some parks in the city are permitted to stay open as late as 10:30 p.m. It is reasonable to assume that noise levels would generally be lower between 10:00 p.m. and 10:30 p.m. than those occurring during peak park activity hours. Otay Ranch University Villages Project Final EIR 78 2014-12-02 Agenda Packet Page 392 CEQA Findings of Fact and Statement of Overriding Considerations Mitigation See MM N0I-6 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM N0I-6 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant direct impacts related to noise generation from parks and recreation to a less-than-significant level. Reference EIR Section 5.5 Noise Onsite Noise Exposure—School Related Noise Impact Village Three North and Portion of Village Four, Village Eight East, and Village Ten Traffic-related noise exposure levels within exterior use areas for the schools (i.e., playground, sports fields, athletic courts, etc.) could exceed the established noise standards, thereby resulting in a potentially significant impact. Explanation In Village Three North, the proposed school site is located approximately at the center of the development area, bounded on all four sides by local roads. In Village Eight East, the elementary school site is bounded along the south side by Street "B" and along the east side by Street"A," a road connecting to Main Street on the north and Otay Valley Road on the south. In Village Ten, the elementary school site would abut Street "C" to the north, while Street "B" would border the west side of the site. Traffic volume projections are not available for these roads bordering the school sites; therefore, future noise contours from roadway operation are not available. However, it is possible that future traffic volumes carried on one or more of these bordering roads could have an associated 65 dB CNEL contour that extends to the school site. Mitigation MM N0I-7 Concurrent with design review and prior to the approval of building permits for the elementary schools, an acoustical analysis shall be prepared identifying the noise control measures necessary to ensure that noise levels at exterior use areas Otay Ranch University Villages Project Final EIR 79 2014-12-02 Agenda Packet Page 393 CEQA Findings of Fact and Statement of Overriding Considerations (i.e., playground, sports fields, athletic courts, etc.) will be below 65 dBA CNEL and requiring implementation of any measures recommended as a result of the analysis. Measures to reduce noise levels may include, but would not be limited to, setback of structures from the roadway, installing acoustic barriers, or orienting outdoor activity areas away from roadways so that surrounding structures provide noise attenuation. The acoustical analysis shall also address control measures for outdoor school activity noise and its effect upon immediately adjacent residential land uses, to ensure school activity related noise levels do not exceed 65 dB CNEL at exterior use areas of adjacent residential properties. The analysis shall also demonstrate that barriers or setbacks have been incorporated into the project design, such that, when considered with proposed construction specifications, ground level and upper story interior noise levels shall not exceed 45 dBA CNEL. Roof-ceiling assemblies making up the building envelope shall have a sound transmission class value of at least 50, and exterior windows shall have a minimum sound transmission class of 30 in compliance with the California Green Building standards code. The acoustical analysis shall be prepared consistent with all applicable requirements to the satisfaction of the school district, and all required noise control measures identified in the acoustical analysis shall be made conditions of development approval. Mitigation measure N0I-7 is consistent with the School Site Selection and Approval Guide prepared by the California Department of Education, which provides that if a school district is considering a potential school site near a freeway or other source of noise, it should hire an acoustical engineer to determine the level of sound that location is subject to and assist in designing the school site that should be chosen. The Guide provides further that the American Speech-Language-Hearing Association guidelines recommend that in classrooms sounds dissipate in 0.4 seconds or less (and not reverberate) and that background noise not rise above 30 decibels. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM Otay Ranch University Villages Project Final EIR 80 2014-12-02 Agenda Packet Page 394 CEQA Findings of Fact and Statement of Overriding Considerations NOI-7 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant direct impacts related to noise generation from schools to a less-than-significant level. Reference EIR Section 5.5 Noise Thresholds of Significance—Temporary Increase in Ambient Noise The proposed project would have significant impacts to noise if it would: • Result in a substantial temporary or periodic increase in ambient noise levels in the project vicinity above levels existing without the project. Impact Project generated construction noise would pose a potentially significant impact on noise- sensitive receptors if construction hour limitations are not imposed. Explanation Olympian High School is located approximately 125 feet from the Village Eight project site boundary, and approximately 250 feet from the nearest off-site improvement work. High Tech High Chula Vista is located approximately 250 feet from the nearest off-site improvement work. As such, project generated construction noise would pose a potentially significant impact on noise-sensitive receptors if construction hour limitations are not imposed (EIR pg. 5.5-52). Mitigation MM N0I-8 The Project Applicant or its designee shall limit all project-related site preparation and construction activities to the hours between 7:00 am-6:00 pm, Monday—Friday, and between 8:00 am-6:00 pm Saturday. No construction activities shall occur on Federal holidays (e.g., Thanksgiving, July 4th, Labor Day, etc.). All maintenance of construction equipment shall be limited to the same hours. This language shall be added to the project grading plans. Minor construction (i.e., minor household do-it-yourself type projects) and non- noise-generating construction activities such as interior painting are not subject to these restrictions. Otay Ranch University Villages Project Final EIR 81 2014-12-02 Agenda Packet Page 395 CEQA Findings of Fact and Statement of Overriding Considerations Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM N0I-8 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant direct impacts related to temporary or periodic increases in noise to a less-than-significant level. Reference EIR Section 5.5 Noise Thresholds of Significance- Groundborne Vibration or Noise The proposed project would have significant impacts to noise if it would: • Expose persons to or generation of excessive groundborne vibration or groundborne noise levels. Impact Portion of Village Four Blasting may be required in the Village Four Community Park (P-2) area. Although this would not exceed any City thresholds, blasting, if determined to be necessary, is considered to have a potentially significant impact. Explanation Rock blasting is typically done as a single event to break up rock material which can then be processed. The duration is very brief(fractions of a second) for a blasting event, and typically only one blast occurs per day. Given that the location of the Village Four Community Park(P-2) is within approximately 3,000 feet of existing sensitive receptors, this would result in a potential peak noise level of approximately 104 dB Peak. A peak noise level of this magnitude would fall within the range (90-120 dB Peak) of strongly perceptible to mildly unpleasant, and would be well below the threshold of damage to physical property. Although this would not exceed any City thresholds, blasting, if determined to be necessary, is considered to have a potentially significant impact. Otay Ranch University Villages Project Final EIR 82 2014-12-02 Agenda Packet Page 396 CEQA Findings of Fact and Statement of Overriding Considerations Mitigation MM N0I-9 Prior to the issuance of a grading permit, and in the event that blasting is proposed in Village Four, the Project Applicant or its designee shall prepare a blasting plan to ensure that exterior noise levels at noise sensitive land uses are in compliance with the City of Chula Vista General Plan Exterior Land Use / Noise Compatibility Guidelines and the City's Noise Ordinance Exterior Noise Limits. The plan shall be prepared by a licensed blasting engineer and identify when such blasting events would occur, the approximate amount of explosives to be used (which amount shall be limited to the extent practicable so as to minimize resulting noise), and the location and proximity of the blasting event relative to sensitive receptors. If deemed beneficial for noise reduction purposes, the plan shall include a requirement that blasting mats be used. The blasting plan shall also detail the surrounding zone in which noise-sensitive land uses would be notified of planned blasting activities, and of the nature of audible warning signals to be used just prior to blasting. The blasting plan shall be prepared to the satisfaction of the Development Services Director (or their designee), and all noise control measures identified in the blasting plan shall be made conditions of grading permit issuance. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM NOI-9 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant direct impacts related to groundborne vibrations or groundborne noise levels to a less-than-significant level. Reference EIR Section 5.5 Noise 7.1.6 Cultural Resources Thresholds of Significance—Archaeological Resources The proposed project would have potentially significant impacts on cultural resources if it would: • Cause a substantial adverse change in the significance of an archaeological resource as defined in CEQA Guidelines Section 15064.5. Otay Ranch University Villages Project Final EIR 83 2014-12-02 Agenda Packet Page 397 CEQA Findings of Fact and Statement of Overriding Considerations Impact Village Three North and a Portion of Village Four Village Three North and a Portion of Village Four could cause a substantial change in the significance of an identified archaeological resource as defined in CEQA Guidelines Section 15064.5 and impacts to this site would be potentially significant. Explanation A total of four sites (SDI-11,378, SDI-14,204, SDI-12,291b, and SDI-14,211) were identified within Village Three North and a Portion of Village Four, outside of the development area. These sites would not be directly impacted by the project since they are within proposed open space areas. Of the four sites, only SDI-12,29lb is identified as a significant resource. Although no direct impacts to this site are anticipated as a result of development of Village Three North and a Portion of Village Four, potential indirect impacts associated with intrusion into this site during or after construction of the proposed project may occur. Mitigation NM CUL-1 Prior to issuance of land development permits, including clearing or grubbing and grading permits, the Applicant shall provide written confirmation and incorporate into grading plans, to the satisfaction of the Development Services Director or their designee, that a principal investigator (PI) meeting the criteria listed in the Secretary of the Interior guidelines (36 CFR 61) has been retained in an oversight capacity to ensure that an archaeological monitor(s) will be present during all cutting of previously undisturbed soil. If these cutting activities occur in more than one location, multiple monitors shall be provided to monitor these areas, as determined necessary by the PL Native American monitoring will only be required in the event that human remains are discovered and identified as Native American. The location and duration of monitoring by a Native American representative will be determined by the Consulting Archaeologist and will be focused strictly upon the area corresponding to the discovery of human remains. MM CUL-2 During the initial grading of previously undisturbed soils within the SPA Plan areas and off-site improvement areas, prehistoric and historic resources may be encountered. In the event that the archaeological monitor identifies a potentially significant site, the monitor shall secure the discovery site from further impacts by delineating the site with staking and flagging, and by diverting grading equipment away from the archaeological site. Following notification to the City, the archaeological monitor shall conduct investigations as necessary to determine if the discovery is significant under the criteria listed in CEQA and the Otay Ranch University Villages Project Final EIR 84 2014-12-02 Agenda Packet Page 398 CEQA Findings of Fact and Statement of Overriding Considerations environmental guidelines of the City. If the discovery is determined to be not significant, grading operations may resume and the archaeological monitor shall summarize the findings in a letter report submitted to the City following the completion of mass grading activities. The letter report shall describe the results of the on-site archaeological monitoring, each archaeological site observed, the scope of testing conducted, results of laboratory analysis (if applicable), and conclusions. The letter report shall be completed to the satisfaction of the City of Chula Vista's Development Services Director or their designee prior to the release of grading bonds. Any artifacts recovered during the evaluation of resources shall be curated at a facility approved by the City. MM CUL-3 For the cultural prehistoric/historic resources that are determined to be significant, alternate means of achieving mitigation shall be pursued. In general, these forms of mitigation include: • site avoidance by preservation of archaeological site in a natural state in open space, or in specific open space easements, • site avoidance by preservation through capping the site and placing landscaping on top of the fill, • data recovery through implementation of an excavation and analysis program, • a combination of one or more of the above measures. See Chapter 9.0 in the Cultural Resources Study for the University Villages Project at Otay Ranch (Appendix F of this EIR) for the detailed mitigation and monitoring program for each of the identified significant sites that would be impacted. MM CUL-4 For those sites that are found to contain significant resources and for which avoidance and preservation is not feasible or appropriate, the Applicant shall prepare a Data Recovery Plan. The plan will, at a minimum,include the following: • a statement of why data recovery is appropriate as a mitigation measure, • a research plan that explicitly provides the research questions that can reasonably be expected to be addressed by excavation and analysis of the site, • a statement of the types and kinds of data that can reasonably be expected to exist at the site and how these data will be used to answer important research questions, • a step-by-step discussion of field and laboratory methods to be employed, Otay Ranch University Villages Project Final EIR 85 2014-12-02 Agenda Packet Page 399 CEQA Findings of Fact and Statement of Overriding Considerations • provisions for curation and storage of the artifacts, notes, and photographs will be stated. Grading operations within the affected area may resume once the site has been fully evaluated and mitigated to the satisfaction of the Development Services Director or their designee. All artifacts collected during the survey, test, data recovery, and monitoring programs for this project shall be permanently curated at a qualified facility approved by the City of Chula Vista. Artifacts shall be prepared for curation in accordance with the guidelines of the selected curation facility. MM CUL-5 Following the completion of mass grading operations, the Applicant shall prepare a plan that addresses the temporary on-site presentation and interpretation of the results of the archaeological studies for the proposed project. This could be accomplished through exhibition within a future community center, civic building and/or multi-purpose building. Any artifacts used for public displays shall be selected from the curated collections originating from the project. This exhibition will only be for temporary display of artifacts for public interpretation and display purposes. Artifacts selected for the exhibit shall be withdrawn on loan from the curation facility and will subsequently be returned to that facility upon the close of the exhibition. The applicant will be responsible for the artifacts during the display period and for the return of the artifacts at the close of the exhibition. The consulting archaeologist shall act on the applicant's behalf to coordinate the curation of all collections and the subsequent use of selected artifacts for the public display. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM CUL-1 through MM CUL-5 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to archaeological resources to a less-than-significant level. Reference EIR Section 5.6 Cultural Resources Otay Ranch University Villages Project Final EIR 86 2014-12-02 Agenda Packet Page 400 CEQA Findings of Fact and Statement of Overriding Considerations Impact Village Eight East Development of Village Eight East could cause a substantial change in the significance of identified archaeological resources as defined in CEQA Guidelines Section 15064.5. Therefore, impacts to these resources would be potentially significant. Explanation One regionally/locally important site would be directly impacted by grading and brushing associated with development of Village Eight East (SDI-12,809). SDI-12,809 is characterized as a major occupation site, although the entire site would not be impacted by the proposed project. Mitigation See MM CUL-1 through MM CUL-5 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM CUL-1 through MM CUL-5 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to archaeological resources to a less-than-significant level. Reference EIR Section 5.6 Cultural Resources Impact Villa Development of Village Ten could cause a substantial change in the significance of identified archaeological resources as defined in CEQA Guidelines Section 15064.5, impacts to these resources would be potentially significant. Explanation Two sites are assumed to be significant based on the CEQA criteria (SDI-14,199 and SDI- 10,875). However, no direct impacts to these sites are anticipated as a result of development Otay Ranch University Villages Project Final EIR 87 2014-12-02 Agenda Packet Page 401 CEQA Findings of Fact and Statement of Overriding Considerations of Village Ten because they are all located outside the development envelope. Potential indirect impacts associated with intrusion into these sites during or after construction of the proposed project may occur. Mitigation See MM CUL-1 through MM CUL-5 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM CUL-1 through MM CUL-5 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to archaeological resources to a less-than-significant level. Reference EIR Section 5.6 Cultural Resources Thresholds of Significance—Human Remains The proposed project would have potentially significant impacts to cultural resources if it would: • Disturb any human remains, including those interred outside of formal cemeteries. Impact Any disturbance of human remains that may occur during project grading or construction would be significant. Explanation No human remains were identified within the project area during the cultural testing program. However, the possibility exists that human remains may be discovered during project grading and construction. Any disturbance of human remains that may occur during project grading or construction would be significant. Mitigation MM CUL-6 If human remains are discovered during grading or site preparation activities within the SPA Plan area(s) and off-site improvement areas, the archaeological Otay Ranch University Villages Project Final EIR 88 2014-12-02 Agenda Packet Page 402 CEQA Findings of Fact and Statement of Overriding Considerations monitor shall secure the discovery site from any further disturbance. State Health and Safety Code Section 7050.5 requires that no further disturbance shall occur until the San Diego County Coroner has made the necessary findings as to the origin and disposition of the remains pursuant to PRC Section 5097.98. If the remains are determined to be of Native American descent, the coroner has 24 hours to notify the Native American Heritage Commission (NAHC). The NAHC will then identify the person(s) thought to be the Most likely Descendent (MLD) of the deceased Native American. The MLD will assist the City in determining what course of action shall be taken to deal with the remains. Grading operations within the affected area may resume once the site has been fully evaluated and mitigated to the satisfaction of the Development Services Director or their designee. The Archaeological Monitor shall summarize the findings in a letter report to the City following the completion of mass grading activities. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM CUL-6 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant impacts related to the disturbance of human remains to a less-than-significant level. Reference EIR Section 5.6 Cultural Resources 7.1.7 Paleontological Resources Thresholds of Significance—Unique Paleontological Resource Impacts to paleontological resources would be significant if the proposed project would: • Directly or indirectly destroy a unique paleontological resource or site or unique geologic feature. Otay Ranch University Villages Project Final EIR 89 2014-12-02 Agenda Packet Page 403 CEQA Findings of Fact and Statement of Overriding Considerations Impact Village Three North and a Portion of Village Four Grading and construction activities may impact fossils potentially buried in the underlying formations. Based upon the recognized potential to encounter fossils in specific geologic formations, impacts are considered potentially significant. Explanation Development of the area within Village Three North and a Portion of Village Four would encounter sedimentary rocks with a"high paleontological resource sensitivity" that are assigned to the Sweetwater Formation, the upper sandstone-mudstone member of the Otay Formation and the San Diego Formation; sedimentary rocks with a "moderate paleontological resource sensitivity" are assigned to the Lindavista Formation and Quaternary terrace deposits. Therefore, grading and construction activities may impact fossils potentially buried in the underlying formations. Mitigation MM PAL-1 Prior to the issuance of grading permits for the proposed project, including the Off- site Improvement Areas, the Applicant shall confirm to the Development Services Director, or their designee, that a qualified paleontologist (QP) has been retained to carry out an appropriate mitigation program. A QP is defined as an individual with a doctorate or a master's degree in paleontology or geology, who is familiar with paleontological procedures and techniques. A pre-grade meeting shall be held between the paleontologist and the grading and excavation contractors. MM PAL-2 A paleontological monitor shall be on site at all times during the original cutting of previously undisturbed sediments of highly sensitive geologic formations (i.e., San Diego, Otay, and Sweetwater formations) to inspect cuts for contained fossils. (A paleontological monitor is defined as an individual who has experience in the collection and salvage of fossil materials.) The paleontological monitor shall work under the direction of a qualified paleontologist. The monitor shall be on site on at least a half-time basis during the original cutting of previously undisturbed sediments of moderately sensitive geologic formations (i.e., unnamed river terrace deposits of the Mission Valley Formation) to inspect cuts for contained fossils. a. The monitor shall be on site on at least a quarter-tie basis during the original cutting of previously undisturbed sediments of low sensitivity geologic formations (i.e., Lindavista Formation and Santiago Peak Volcanics [metasedimentary portion only] to inspect cuts for contained fossils. He or she Otay Ranch University Villages Project Final EIR 90 2014-12-02 Agenda Packet Page 404 CEQA Findings of Fact and Statement of Overriding Considerations shall periodically (every several weeks) inspect original cuts in deposits with an unknown resource sensitivity (i.e., Quaternary alluvium). b. In the event that fossils are discovered in unknown, low, or moderately sensitive formations, the Applicant shall increase the per-day field monitoring time. Conversely, if fossils are not discovered, the monitoring, at the discretion of the Planning Department, shall be reduced. A paleontological monitor is not needed during grading of rocks with no resource sensitivity (i.e., Santiago Peak Volcanics, metavolcanic portion). MM PAL-3 When fossils are discovered, the paleontologist (or paleontological monitor) shall recover them. In most cases, this fossil salvage can be completed in a short period of time. However, some fossil specimens (such as a complete whale skeleton) may require an extended salvage time. In these instances, the paleontologist (or paleontological monitor) shall be allowed to temporarily direct, divert, or halt grading to allow recovery of fossil remains in a timely manner. Because of the potential for the recovery of small fossil remains such as isolated mammal teeth, it may be necessary in certain instances and at the discretion of the paleontological monitor to set up a screen-washing operation on the site. MM PAL-4 Prepared fossils along with copies of all pertinent field notes, photos, and maps shall be deposited in a scientific institution with paleontological collections such as the San Diego Natural History Museum. A final summary report shall be completed. This report shall include discussions of the methods used, stratigraphy exposed,fossils collected, and significance of recovered fossils. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM PAL-1 through MM PAL-4 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to paleontological resources to a less-than-significant level. Reference EIR Section 5.7 Paleontological Resources Otay Ranch University Villages Project Final EIR 91 2014-12-02 Agenda Packet Page 405 CEQA Findings of Fact and Statement of Overriding Considerations Impact In the event that a unique paleontological resource is uncovered during construction, the proposed project would be required to implement a comprehensive program for fossil salvage, fossil preparation, fossil curation, fossil storage, and a summary report. If a comprehensive program is not implemented potentially significant impacts could result. Explanation The scientific value of fossils is in the information they contain rather than in the fossilized materials themselves. Thus, any mitigation program must focus upon recovering, not every fossil and/or fossil fragment encountered, but rather those fossils that are sufficiently complete and diagnostic to allow generic and specific identifications. Potential impacts caused by construction of the proposed project would be mitigated through implementation of a comprehensive program of construction monitoring, fossil salvage, fossil preparation, fossil curation, fossil storage and summary report preparation. Mitigation See MM PAL-1 through MM PAL-4 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM PAL-1 through MM PAL-4 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to paleontological resources to a less-than-significant level. Reference EIR Section 5.7 Paleontological Resources Impact Village Eight East Grading and construction activities may impact fossils potentially buried in the underlying formations. Based upon the recognized potential to encounter fossils in specific geologic formations, impacts are considered potentially significant. Otay Ranch University Villages Project Final EIR 92 2014-12-02 Agenda Packet Page 406 CEQA Findings of Fact and Statement of Overriding Considerations Explanation The analysis of the paleontological data gathered for this project has led to the conclusion that the Village Eight East property contains geological formations characterized as fossiliferous. A "high paleontological resource sensitivity" has been assigned to the upper sandstone-mudstone member of the Otay Formation, and a "moderate paleontological resource sensitivity" to the middle and lower members of the Otay Formation and the Quaternary terrace deposits. Grading and construction activities may impact fossils potentially buried in the underlying formations. Mitigation See MM PAL-1 through MM PAL-4 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM PAL-1 through MM PAL-4 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to paleontological resources to a less-than-significant level. Reference EIR Section 5.7 Paleontological Resources Impact In the event that a unique paleontological resource is uncovered during construction, the proposed project would be required to implement a comprehensive program for fossil salvage, fossil preparation, fossil curation, fossil storage, and a summary report. If a comprehensive program is not implemented potentially significant impacts could result. Explanation The scientific value of fossils is in the information they contain rather than in the fossilized materials themselves. Thus, any mitigation program must focus upon recovering, not every fossil and/or fossil fragment encountered, but rather those fossils that are sufficiently complete and diagnostic to allow generic and specific identifications. Potential impacts caused by construction of the proposed project would be mitigated through implementation of a comprehensive program of construction monitoring, fossil salvage, fossil preparation, fossil curation, fossil storage and summary report preparation. Otay Ranch University Villages Project Final EIR 93 2014-12-02 Agenda Packet Page 407 CEQA Findings of Fact and Statement of Overriding Considerations Mitigation See MM PAL-1 through MM PAL-4 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM PAL-1 through MM PAL-4 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to paleontological resources to a less-than-significant level. Reference EIR Section 5.7 Paleontological Resources Impact Village Ten Grading and construction activities may impact fossils potentially buried in the underlying formations. Based upon the recognized potential to encounter fossils in specific geologic formations, impacts are considered potentially significant. Explanation The analysis of the paleontological data gatered for this project has lead to the conclusion that the Village Ten project site contains geological formations characterized as fossiliferous. A "high paleontological resource sensitivity" has been assigned to the upper sandstone-mudstone member of the Otay Formation and a "moderate paleontological resource sensitivity" to the middle and lower members of the Otay Formation and the Quaternary terrace deposits. Grading and construction activities may impact fossils potentially buried in the underlying formations. Mitigation See MM PAL-1 through MM PAL-4 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as Otay Ranch University Villages Project Final EIR 94 2014-12-02 Agenda Packet Page 408 CEQA Findings of Fact and Statement of Overriding Considerations identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM PAL-1 through MM PAL-4 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to paleontological resources to a less-than-significant level. Reference EIR Section 5.7 Paleontological Resources Impact In the event that a unique paleontological resource is uncovered during construction, the proposed project would be required to implement a comprehensive program for fossil salvage, fossil preparation, fossil curation, fossil storage, and a summary report. If a comprehensive program is not implemented potentially significant impacts could result. Explanation The scientific value of fossils is in the information they contain rather than in the fossilized materials themselves. Thus, any mitigation program must focus upon recovering, not every fossil and/or fossil fragment encountered, but rather those fossils that are sufficiently complete and diagnostic to allow generic and specific identifications. Potential impacts caused by construction of the proposed project would be mitigated through implementation of a comprehensive program of construction monitoring, fossil salvage, fossil preparation, fossil curation, fossil storage and summary report preparation. Mitigation See MM PAL-1 through MM PAL-4 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM PAL-1 through MM PAL-4 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to paleontological resources to a less-than-significant level. Reference EIR Section 5.7 Paleontological Resources Otay Ranch University Villages Project Final EIR 95 2014-12-02 Agenda Packet Page 409 CEQA Findings of Fact and Statement of Overriding Considerations Impact Off-Site Improvement Areas Grading and construction activities may impact fossils potentially buried in the underlying formations. Based upon the recognized potential to encounter fossils in specific geologic formations, impacts are considered potentially significant. Explanation Off-site improvement areas are designated as "moderate to high paleontological resource sensitivity." Grading and construction activities may impact fossils potentially buried in the underlying formations. Mitigation See MM PAL-1 through MM PAL-4 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM PAL-1 through MM PAL-4 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to paleontological resources to a less-than-significant level. Reference EIR Section 5.7 Paleontological Resources Impact Off-Site Improvement Areas In the event that a unique paleontological resource is uncovered during construction, the proposed project would be required to implement a comprehensive program for fossil salvage, fossil preparation, fossil curation, fossil storage, and a summary report. If a comprehensive program is not implemented potentially significant impacts could result. Otay Ranch University Villages Project Final EIR 96 2014-12-02 Agenda Packet Page 410 CEQA Findings of Fact and Statement of Overriding Considerations Explanation The scientific value of fossils is in the information they contain rather than in the fossilized materials themselves. Thus, any mitigation program must focus upon recovering, not every fossil and/or fossil fragment encountered, but rather those fossils that are sufficiently complete and diagnostic to allow generic and specific identifications. Potential impacts caused by construction of the proposed project would be mitigated through implementation of a comprehensive program of construction monitoring, fossil salvage, fossil preparation, fossil curation, fossil storage and summary report preparation. Mitigation See MM PAL-1 through MM PAL-4 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM PAL-1 through MM PAL-4 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to paleontological resources to a less-than-significant level. Reference EIR Section 5.7 Paleontological Resources 7.1.8 Biological Resources Thresholds of Significance—Special-Status Species Impacts to biological resources would be significant if the proposed project would: • Have a substantial adverse effect, either directly or through habitat modifications, on any species identified as a candidate, sensitive, or special status species in local or regional plans, policies, or regulations, or by the California Department of Fish and Game or U.S. Wildlife Service. Otay Ranch University Villages Project Final EIR 97 2014-12-02 Agenda Packet Page 411 CEQA Findings of Fact and Statement of Overriding Considerations Special-Status Plant Species Direct Impact Direct impacts to species special-status plant species that are covered and non-covered under the MSCP Subarea Plan would be potentially significant. Explanation Implementation of the proposed project has the potential to result in direct impacts to special- status plant species through the removal or disturbance of habitats from construction activities involving clearing, grading, re-contouring of topography, earth moving activities and the construction of buildings, pipelines, and other facilities. Under the MSCP Subarea Plan, significant direct impacts to "covered" sensitive plant species include the following: Otay tarplant, variegated dudleya, and San Diego barrel cactus. Otay tarplant and variegated dudleya are identified in the MSCP Subarea Plan as narrow endemics. Significant impacts to non-covered species include California adolphia, south coast saltscale, San Diego marsh- elder, singlewhorl burrobush, and Robinson's pepper grass. Mitigation MM BI0-1 Prior to the approval of the first Final Map for the project,the Project Applicant shall coordinate with the City of Chula Vista (City) Engineer and annex the project area within the Otay Ranch Preserve Community Facilities District No. 97-2. Prior to the recordation of each Final Map, the Applicant shall convey land within the Otay Ranch Preserve to the Otay Ranch Preserve Owner/Manager (POM) or its designee at a ratio of 1.188 acres for each acre of "Developable Area" as defined by the RMP. Access for maintenance purposes shall also be conveyed to the satisfaction of the POM. Each tentative map shall be subject to a condition that the Applicant shall execute a maintenance agreement with the POM stating that it is the responsibility of the Applicant to maintain the conveyed parcel until the Preserve CFD has generated sufficient revenues to enable the POM to assume maintenance responsibilities. The Applicant shall maintain and manage the offered conveyance property consistent with the RMP Phase 2 until the Preserve CFD has generated sufficient revenues to enable the POM to assume maintenance and management responsibilities. Prior to the POM's formal acceptance of the conveyed land in fee title, the Project Applicant shall prepare, to the satisfaction of the POM, Area Specific Management Directives (ASMDs) for the associated conveyance areas. The Otay Ranch University Villages Project Final EIR 98 2014-12-02 Agenda Packet Page 412 CEQA Findings of Fact and Statement of Overriding Considerations ASMDs shall incorporate the guidelines and specific requirements of the Otay Ranch RMP plans and programs, management requirements of Table 3-5 of the MSCP Subregional Plan, and information and recommendations from any relevant special studies. Guidelines and requirements from these documents shall be evaluated in relationship to the Preserve configuration and specific habitats and species found within the associated conveyance areas and incorporated into the ASMDs to the satisfaction of the POM. MM BI0-2 Prior to the issuance of any land development permits that impact maritime succulent scrub, including clearing and grubbing or grading permits, the Project Applicant shall prepare a restoration plan to restore impacts to maritime succulent scrub at a 1:1 ratio pursuant to the Otay Ranch RMP. A total of 5.5 acres will require restoration. The maritime succulent scrub restoration shall be prepared by a City-approved biologist and to the satisfaction of the Development Services Director (or their designee) pursuant to the Otay Ranch RMP restoration requirements. The restoration plan shall include, at a minimum, an implementation strategy; species salvage and relocation; appropriate seed mixtures and planting method; irrigation; quantitative and qualitative success criteria; maintenance, monitoring, and reporting program; estimated completion time; and contingency measures. The Project Applicant shall also be required to implement the revegetation plan subject to the oversight and approval of the Development Services Director(or their designee). MM BI0-3 Prior to issuance of land development permits, including clearing, grubbing, grading and construction permits for the Future and Planned Facilities associated with Village Ten, the Project Applicant shall provide a revegetation plan for temporary impacts to 0.3 acres of coastal sage scrub habitat. The revegetation plan must be prepared by a qualified City-approved biologist familiar with the City's MSCP Subarea Plan and must include, but not be limited to, an implementation plan; appropriate seed mixtures and planting method; irrigation method; quantitative and qualitative success criteria; maintenance,monitoring, and reporting program; estimated completion time; and contingency measures. The Project Applicant shall be required to prepare and implement the revegetation plan subject to the oversight and approval of the Development Services Director(or their designee). MM BI04 Prior to issuance of land development permits, including clearing, grubbing, grading, and/or construction permits for any areas adjacent to the preserve and the off-site facilities located within the preserve, the Project Applicant shall provide written confirmation that a City-approved biological monitor has been retained and shall be on site during clearing, grubbing, and/or grading activities. The biological monitor Otay Ranch University Villages Project Final EIR 99 2014-12-02 Agenda Packet Page 413 CEQA Findings of Fact and Statement of Overriding Considerations shall attend all pre-construction meetings and be present during the removal of any vegetation to ensure that the approved limits of disturbance are not exceeded and provide periodic monitoring of the impact area including,but not limited to, trenches, stockpiles, storage areas and protective fencing. The biological monitor shall be authorized to halt all associated project activities that may be in violation of the City's MSCP Subarea Plan and/or permits issued by any other agencies having jurisdictional authority over the project. Before construction activities occur in areas containing sensitive biological resources within the off-site facilities area, all workers shall be educated by a City- approved biologist to recognize and avoid those areas that have been marked as sensitive biological resources. MA4 BIO-12 Prior to the issuance of land development permits, including clearing or grubbing and grading permits, for areas with salvageable sensitive biological resources, including Otay tarplant, variegated dudleya, San Diego barrel cactus, San Diego bur-sage, singlewhorl burrobush, south coast saltscale, San Diego marsh-elder, and Robinson's pepper grass (including plant materials and soils/seed bank), the Project Applicant shall prepare a Resource Salvage Plan. The Resource Salvage Plan shall be prepared by a City-approved biologist to the satisfaction of the Development Services Director(or their designee). The Resource Salvage Plan shall, at a minimum, evaluate options for plant salvage and relocation, including individual cactus salvage, native plant mulching, selective soil salvaging, application of plant materials on manufactured slopes, and application/relocation of resources within the Preserve. The Resource Salvage Plan shall include incorporation of relocation efforts for non-covered species, including singlewhorl burrobush, south coast saltscale, San Diego marsh-elder, and Robinson's pepper grass, species that are all considered special-status by the CEQA and that would be impacted with project implementation. Relocation efforts may include seed collection and/or transplantation to a suitable receptor site and will be based on the most reliable methods of successful relocation. The program shall also contain a recommendation for method of salvage and relocation/application based on feasibility of implementation and likelihood of success. The program shall include, at a minimum, an implementation plan, maintenance and monitoring program, estimated completion time, and any relevant contingency measures. The program shall also be subject to the oversight of the Development Services Director(or their designee). Otay Ranch University Villages Project Final EIR 100 2014-12-02 Agenda Packet Page 414 CEQA Findings of Fact and Statement of Overriding Considerations Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM BIO-1 through MM BIO-4, and MM BIO-12 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant direct impacts related to special-status plant species to a less- than-significant level. Reference EIR Section 5.8 Biological Resources Indirect Impact Indirect impacts to special-status plant species are considered potentially significant. Of particular sensitivity is the population of Otay tarplant in Wolf Canyon adjacent to the project site to the south and east. Explanation During construction of the project, indirect effects may include dust, which could disrupt plant vitality in the short term, and construction related soil erosion and runoff. Long-term edge effects could include intrusions by humans and domestic pets and possible trampling of individual plants, invasion by exotic plant and wildlife species, exposure to urban pollutants, soil erosion, litter, fire, and hydrological changes (e.g., surface and groundwater level and quality). Mitigation See MM 13I0-1 through MM BIO-4 and MM BIO-12 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM BIO-1 through MM BIO-4, and MM BIO-12 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant direct impacts related to special-status plant species to a less- than-significant level. Otay Ranch University Villages Project Final EIR 101 2014-12-02 Agenda Packet Page 415 CEQA Findings of Fact and Statement of Overriding Considerations Reference EIR Section 5.8 Biological Resources Special-Status Wildlife Species Direct Impact Implementation of the proposed project would result in the direct loss of habitat for all of the special-status wildlife discussed in EIR Section 5.8.3.6 and is considered potentially significant. Explanation Impacts to sensitive animal species listed as having a moderate to high potential to occur, and impacts to five pairs of coastal California gnatcatcher within the project site and two pairs in areas outside of Otay Ranch, are considered significant. Mitigation MM BIO-13 To avoid any direct impacts to raptors and/or any migratory birds protected under the MBTA, removal of habitat that supports active nests on the proposed area of disturbance should occur outside of the breeding season for these species. The breeding season is defined as February 15 to August 15 for coastal California gnatcatcher and other non-raptor birds and January 15 to August 31 for raptor species. If removal of habitat on the proposed area of disturbance must occur during the breeding season, the Project Applicant shall retain a City-approved biologist to conduct a pre-construction survey to determine the presence or absence of nesting birds on the proposed area of disturbance. The pre-construction survey must be conducted within 10 calendar days prior to the start of construction, and the results must be submitted to the City for review and approval prior to initiating any construction activities. If nesting birds are detected, a letter report or mitigation plan, as deemed appropriate by the City, shall be prepared and include proposed measures to be implemented to ensure that disturbance of breeding activities are avoided. The report or mitigation plan shall be submitted to the City for review and approval and implemented to the satisfaction of the City. The City's Mitigation Monitor shall verify and approve that all measures identified in the report or mitigation plan are in place prior to and/or during construction. MM BIO-14 Prior to issuance of any land development permits, including clearing, grubbing, and grading permits, the Project Applicant shall retain a City-approved biologist to conduct focused surveys for northern harrier to determine the presence or absence Otay Ranch University Villages Project Final EIR 102 2014-12-02 Agenda Packet Page 416 CEQA Findings of Fact and Statement of Overriding Considerations of this species within 900-feet of the construction area. The pre-construction survey must be conducted within 10 calendar days prior to the start of construction. The results of the survey must be submitted to the City for review and approval. If active nests are detected by the City-approved biologist, a bio-monitor shall be on site during construction to minimize construction impacts and ensure that no nests are removed or disturbed until all young have fledged. NM BI0-15 Prior to issuance of any land development permits (including clearing, grubbing, and grading permits), the Project Applicant shall retain a City-approved biologist to conduct focused pre-construction surveys for burrowing owls. The surveys shall be performed no earlier than 30 days prior to the commencement of any clearing, grubbing, or grading activities. If occupied burrows are detected, the City-approved biologist shall prepare a passive relocation mitigation plan subject to the review and approval by the Wildlife agencies and City, including any subsequent burrowing owl relocation plans to avoid impacts from construction-related activities. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM BIO-13 through MM BIO-15 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to special-status wildlife to a less-than-significant level. Reference EIR Section 5.8 Biological Resources Direct Impact If any active nests or the young of nesting special-status bird species are impacted through direct grading, these impacts would be considered potentially significant. Explanation The Migratory Bird Treaty Act(MBTA)prohibits the Take of any migratory bird or any part,nest,or eggs of any such bird. Under the MBTA, "take" is defined as pursuing, hunting, shooting, capturing, collecting,killing, or attempting to commit any of these acts (16 U.S.C. § 703, et seq.). If any active nests or the young of nesting special-status bird species are impacted through direct grading, these impacts would be considered potentially significant(EIR pg. 5.8-58). Otay Ranch University Villages Project Final EIR 103 2014-12-02 Agenda Packet Page 417 CEQA Findings of Fact and Statement of Overriding Considerations Mitigation See MM 1310-13 through MM 1310-15 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM BIO-13 through MM BIO-15 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to special-status wildlife to a less-than-significant level. Reference EIR Section 5.8 Biological Resources Indirect Impact Indirect impacts to special-status nesting bird species would consist of lighting,human activity in the Preserve,noise, and domestic animal predation. Indirect impacts to special-status wildlife species are considered potentially significant. Explanation Short-term indirect impacts to special-status nesting bird species include construction noise impacts. Species potentially affected by such activities include, but are not limited to, California gnatcatcher, cactus wren, Southern California rufous-crowned sparrow, and nesting raptors. While Quino checkerspot butterfly has not been recorded on site in the recent survey, it is known to be present nearby within the Salt Creek Preserve. Dust may result in indirect impacts to a number of special status wildlife species. Indirect impacts to special-status bird species may occur if construction is conducted during the breeding season for California gnatcatcher (February 15—August 15) and raptors (January 15—August 31). Dust control will be implemented per the Air Quality Technical Report (Dudek 2014) to limit impacts of fugitive dust on sensitive habitat and species. Long-term indirect impacts to special-status wildlife species would also occur as a result of the proposed project. Mitigation See MM BIO-13 through MM BIO-15 identified above,MM AQ-1 through MM AQ-3 identified above in Section 7.1.4, and MM HYD-1 through MM HYD-5 identified below in Section 7.1.9. Otay Ranch University Villages Project Final EIR 104 2014-12-02 Agenda Packet Page 418 CEQA Findings of Fact and Statement of Overriding Considerations MM BIO-16 Prior to issuance of grading permits, the Project Applicant shall submit evidence to the satisfaction of the Development Services Director (or their designee), showing that the following features of the Preserve Edge Plans (Otay Ranch Company 2013a through 2013c) have been incorporated into grading and landscaping plans: • Provide post and fencing and signage for sensitive habitat adjacent to trails. Prior to the issuance of land development permits, including clearing or grubbing and grading and/or construction permits, for the project, the project owner shall submit wall and fence plans depicting appropriate barriers to prevent unauthorized access to the Preserve. The wall and fence plans shall, at a minimum, illustrate the locations and cross-sections of proposed walls, fences, informational and directional signage, access controls, and/or boundary markers along the Preserve boundary and off-site pedestrian trails as conceptually described in the Edge Plans. The required wall and fence plan shall be subject to the approval of the Development Services Director(or their designee). • Install canyon subdrains to prevent erosion of drainage and wetlands within the Preserve. • Prevent release of toxins, chemicals, petroleum products, exotic plant materials and other elements that might degrade or harm the natural environment or ecosystem within the Preserve. • Implement all necessary requirements for water quality as specified by the State and local agencies • Phase out agricultural uses adjacent to the Preserve to remove pollutants from the project site. • No invasive non-native plant species shall be introduced into areas immediately adjacent to, or within, the Preserve. All slopes immediately adjacent, or within, to the Preserve shall be planted with native species that reflect the adjacent native habitat, per the Edge Plan. Prior to the issuance of land development permits, including clearing or grubbing and grading and/or construction permits, for 1) areas within the 100-foot Preserve edge, and 2) infrastructure (e.g., roads, trails, utilities, etc.) sited within the Preserve, the Project Applicant shall prepare and submit to the satisfaction of the Development Services Director (or their designee) landscape plans to ensure that the proposed plant palette is consistent with the plant list contained in the Preserve Edge Plans for each village. The landscape plan shall also incorporate a manual weeding program for areas adjacent to the Preserve. The Otay Ranch University Villages Project Final EIR 105 2014-12-02 Agenda Packet Page 419 CEQA Findings of Fact and Statement of Overriding Considerations manual weeding program shall describe, at a minimum, the entity responsible for controlling invasive species, the maintenance activities and methods required to control invasive species, and a maintenance/monitoring schedule. • All fuel modification shall be incorporated into development plans and shall not include any areas within the Preserve. MM BIO-17 In accordance with the City's Adjacency Management Guidelines, the following mitigation measures shall be implemented to further reduce indirect impacts (from lighting, noise, invasive species, toxic substances, and public access) to sensitive biological resources located in the adjacent Preserve areas: • Lighting. In compliance with the Chula Vista MSCP Subarea Plan, all lighting shall be shielded and directed away from the Preserve. Concurrent with design review and prior to issuance of a building permit for any development located adjacent to the Preserve, the Applicant shall prepare a lighting plan and photometric analysis to the satisfaction of the Development Services Director (or their designee), for review and approval. The lighting plan shall illustrate the location of the proposed lighting standards and type of shielding measures. Low- pressure sodium lighting shall be used, if feasible, and shall be subject to the approval of the Development Services Director(or their designee). • Noise. Noise impacts adjacent to the Preserve lands shall be minimized. Berms or walls shall be constructed adjacent to commercial areas and any other use that may introduce noises that could impact or interfere with wildlife utilization of the Preserve. A 100-foot buffer around community park areas, specifically Community Parks (P-2) south of Village Eight East and in Portion of Village Four, should be installed in sections adjacent to Preserve habitat occupied by sensitive species such as the coastal cactus wren. Potential noise generating uses, such as baseball diamonds and soccer fields, should be oriented away from sensitive species habitat in these areas. Construction activities shall include noise reduction measures or be conducted outside the breeding season of sensitive bird species. • Noise, California Gnatcatcher. For any work proposed between February 15 and August 15, prior to issuance of any land development permits, including clearing, grubbing, grading, and construction permits, associated with the off-site facilities located within the Preserve, the Project Applicant shall retain a City-approved biologist to conduct a pre-construction survey for the coastal California gnatcatcher to reaffirm the presence and extent of occupied habitat. The pre-construction survey area for the coastal California gnatcatcher shall encompass all habitats within the project work zone, as well as within a 300-foot buffer. The survey shall be Otay Ranch University Villages Project Final EIR 106 2014-12-02 Agenda Packet Page 420 CEQA Findings of Fact and Statement of Overriding Considerations performed to the satisfaction of the Development Services Director (or their designee)by a qualified biologist familiar with the City's MSCP Subarea Plan. The results of the pre-construction survey must be submitted in a report to the Development Services Director(or their designee)for review and approval prior to the issuance of any land development permits and prior to initiating any construction activities. If the coastal California gnatcatcher is detected, a minimum 300-foot buffer delineated by orange biological fencing shall be established around the detected species to ensure that no work shall occur within the occupied habitat from February 15 through August 15 and on-site noise reduction techniques shall be implemented to ensure that construction noise levels do not exceed 60 dB(A) Leq-h at the location of any occupied sensitive habitat areas. The Development Services Director (or their designee) shall have the discretion to modify the buffer width depending on-site-specific conditions. If the results of the pre-construction survey determine that the survey area is unoccupied, the work may commence at the discretion of the Development Services Director (or their designee) following the review and approval of the pre-construction report. • Invasive Species. Prior to issuance of land development permits, including clearing or grubbing and grading and/or construction permits for 1) areas within the 100-foot Preserve edge, and 2) infrastructure (e.g., roads, trails, utilities, etc.) sited within the Preserve, the Project Applicant shall prepare and submit to the satisfaction of the Development Services Director (or their designee), landscape plans to ensure that the proposed plant palette is consistent with the plant list contained in the Preserve Edge Plan. The landscape plan shall also incorporate a manual weeding program for areas adjacent to the preserve. The manual weeding program that shall describe at a minimum, the entity responsible for controlling invasive species, the maintenance activities and methods required to control invasives,and a maintenance/monitoring schedule. • Toxic Substances. See MMs 13I0-4, 13I0-6, 13I0-8, BIO-16 • Public Access. Prior to issuance of grading permits, the Project Applicant shall submit wall and fence plans depicting appropriate barriers to prevent unauthorized access into the Preserve. The wall and fence plans shall illustrate the locations and cross-sections of proposed walls and fences along the Preserve boundary, subject to the approval the City's Development Services Director (or their designee). MM BIO-18 In accordance with the City's Adjacency Management Guidelines, the following mitigation measures shall be implemented to further reduce indirect impacts Otay Ranch University Villages Project Final EIR 107 2014-12-02 Agenda Packet Page 421 CEQA Findings of Fact and Statement of Overriding Considerations from noise to sensitive biological resources located in the adjacent Preserve areas emanating from the community parks: Concurrent with the preparation of site-specific plan(s), and prior to the approval of a precise grading plan, the Project Applicant shall prepare, or in the case of the City being the lead on the preparation of the site specific plan, the Project Applicant shall fund the preparation of an acoustical analysis to ensure that noise impacts to surrounding Preserve areas have been minimized. The park design shall include measures to minimize noise impacts adjacent to the Preserve. Features that may be included in the park design may include, but are not limited to: • berms or walls; • inclusion of a minimum of 100 feet between the Preserve boundary and park uses where adjacent to habitat occupied by sensitive species such as coastal California gnatcatcher and coastal cactus wren; • allow uses within the 100-foot buffer adjacent to the Preserve that may include access roads, parking, picnic areas,walking paths, and graded slopes; • orient potential noise generating uses such as soccer fields and baseball diamonds away from occupied coastal California gnatcatcher and coastal cactus wren habitat. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM BIO-13 through MM BI0-18, MM AQ-1 through MM AQ-3, and Mm HYD-I through MM HYD-5 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to special-status wildlife to a less-than-significant level. Reference EIR Section 5.8 Biological Resources Thresholds of Significance—Riparian or Sensitive Habitat Impacts to biological resources would be significant if the proposed project would: Otay Ranch University Villages Project Final EIR 108 2014-12-02 Agenda Packet Page 422 CEQA Findings of Fact and Statement of Overriding Considerations • Have a substantial adverse effect on any riparian habitat or other sensitive natural community identified in local or regional plans, policies, regulations, or by the California Department of Fish and Game or U. S. Fish and Wildlife Service. Direct Impact Direct impacts to sensitive vegetation communities are considered potentially significant. Explanation Sensitive vegetation communities to be permanently impacted include non-native grassland, freshwater marsh, cismontane alkali marsh, disturbed cismontane alkali marsh, coastal sage scrub, disturbed coastal sage scrub, broom baccharis scrub, maritime succulent scrub, disturbed maritime succulent scrub, mulefat scrub, southern mixed chaparral, tamarisk scrub, and southern willow scrub. Mitigation See MM BI0-1 identified above. MM BI0-5 Prior to issuance of grading permits in portions of the SPA Plan areas that are adjacent to the Preserve, the Project Applicant shall install fencing. Prior to issuance of land development permits, including clearing, grubbing, grading and/or construction permits, the Project Applicant shall install fencing in accordance with Chula Vista Municipal Code(CVMC) 17.35.030. Prominently colored,well-installed fencing and signage shall be in place wherever the limits of grading are adjacent to sensitive vegetation communities or other biological resources, as identified by the qualified monitoring biologist. Fencing shall remain in place during all construction activities.All temporary fencing shall be shown on grading plans for areas adjacent to the preserve and for all off-site facilities constructed within the preserve. Prior to release of grading and/or improvement bonds, a qualified biologist shall provide evidence that work was conducted as authorized under the approved land development permit and associated plans. MM BI0-6 Prior to issuance of land development permits, including clearing, grubbing, grading, and construction permits, the following notes shall be included on the applicable construction plans to the satisfaction of the Development Services Director (or their designee): Otay Ranch University Villages Project Final EIR 109 2014-12-02 Agenda Packet Page 423 CEQA Findings of Fact and Statement of Overriding Considerations • A qualified biologist shall be on site to monitor all vegetation clearing and periodically thereafter to ensure implementation of appropriate resource protection measures. • Dewatering shall be conducted in accordance with standard regulations of the RWQCB. A permit to discharge water from dewatering activities will be required. This will minimize erosion, siltation, and pollution within sensitive communities. • During construction,material stockpiles shall be placed such that they cause minimal interference with on-site drainage patterns. This will protect sensitive vegetation from being inundated with sediment-laden runoff. • Material stockpiles shall be covered when not in use. This will prevent fly- off that could damage nearby sensitive vegetation communities. • Graded area shall be periodically watered to minimize dust that may affect adjacent vegetation. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM BI0-1, MM BI0-5, and MM BI0-6 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to riparian habitat and sensitive vegetation communities to a less- than-significant level. Reference EIR Section 5.8 Biological Resources Indirect Impact Indirect impacts to sensitive vegetation communities are considered potentially significant. Explanation During construction of the proposed project, edge effects may include dust, which could disrupt plant vitality in the short term, and construction-related soil erosion and runoff. Long-term indirect impacts on vegetation communities would most likely occur as a result of trampling of vegetation by humans and domestic pets, invasion by exotic species, alteration of the natural fire Otay Ranch University Villages Project Final EIR 110 2014-12-02 Agenda Packet Page 424 CEQA Findings of Fact and Statement of Overriding Considerations regime, and exposure to urban pollutants (e.g., fertilizers, pesticides, herbicides, and other hazardous materials). Mitigation See MM BIO-5 through MM BIO-6 identified above and MM HYD-1 through MM HYD-5 identified below in Section 7.1.9. MM BI0-8 Prior to issuance of grading permits in portions of the SPA Plan areas that are adjacent to the Preserve, the Project Applicant shall develop a Storm Water Pollution Prevention Plan (SWPPP). The SWPPP shall be developed, approved, and implemented during construction to control storm water runoff such that erosion, sedimentation, pollution, and other adverse effects are minimized. The following performance measures contained in the Edge Plans shall be implemented to avoid the release of toxic substances associated with urban runoff: • Sediment shall be retained on-site by a system of sediment basins, traps, or other appropriate measures. • Where deemed necessary, storm drains shall be equipped with silt and oil traps to remove oils, debris, and other pollutants. Storm drain inlets shall be labeled "No Dumping—Drains to Ocean." Storm drains shall be regularly maintained to ensure their effectiveness. • The parking lots shall be designed to allow storm water runoff to be directed to vegetative filter strips and/or oil-water separators to control sediment, oil, and other contaminants. • Permanent energy dissipaters shall be included for drainage outlets. • The BMPs contained in the SWPPP shall include, but are not limited to, silt fences, fiber rolls, gravel bags, and soil stabilization measures such as erosion control mats and hydro-seeding. • The project area drainage basins will be designed to provide effective water quality control measures, as outlined in the Water Quality Technical Report. Design and operational features of the drainage basins will include design features to provide maximum infiltration,maximum detention time for settling of fine particles; maximize the distance between basin inlets and outlets to reduce velocities; and establish maintenance schedules for periodic removal of sedimentation, excessive vegetation and debris. Otay Ranch University Villages Project Final EIR 111 2014-12-02 Agenda Packet Page 425 CEQA Findings of Fact and Statement of Overriding Considerations Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM BIO-5, MM BIO-6, MM BIO-8, and MM HYD-1 through MM HYD-5 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to riparian habitat and sensitive vegetation communities to a less-than-significant level. Reference EIR Section 5.8 Biological Resources Thresholds of Significance—Wetlands Impacts to biological resources would be significant if the proposed project would: • Have a substantial adverse effect on Federally protected wetlands as defined by Section 404 of the Clean Water Act (including, but not limited to, marsh, vernal pool, coastal, etc.)through direct removal, filling, hydrological interruption, or other means. Direct Impact Onsite Impacts Direct impacts to ephemeral and intermittent unvegetated waters and jurisdictional wetlands are considered potentially significant. Explanation Impacts to jurisdictional waters total 0.56 acre and are all permanent. Impacts to jurisdictional wetlands total 1.03 acres, 0.05 acre of which includes a compatible use while the remaining acres are permanently impacted. A total of 1.35 acres of jurisdictional areas under the ALOE, RWQCB, and CDFW would be impacted. Otay Ranch University Villages Project Final EIR 112 2014-12-02 Agenda Packet Page 426 CEQA Findings of Fact and Statement of Overriding Considerations Mitigation MM BI0-9 The City requires that impacts to wetlands be avoided to the maximum extent possible and where impacts are unavoidable, compensatory mitigation within the Chula Vista Subarea or Chula Vista Planning Area shall be required resulting in no overall net loss of wetlands. A total of up to 1.03 acres of wetland and 0.56 acre of waters of the U.S./State within the project may be impacted within the Development Area. Off-site areas may impact a total of up to 0.98 acre of wetlands and 0.38 acre of waters (0.24 acre of waters of the U.S. and 0.14 acre of water of the State). Prior to issuance of land development permits, including clearing, grubbing, and grading permits that impact jurisdictional waters, the Project Applicant shall prepare a Wetlands Mitigation and Monitoring Plan to the satisfaction of the City, ACOE, and CDFW. This plan shall include, at a minimum, an implementation plan, maintenance and monitoring program, estimated completion time, and any relevant contingency measures. Areas under the jurisdictional authority of ACOE and CDFW shall be delineated on all grading plans. Mitigation areas shall occur within the Otay River watershed in accordance with the Wetlands Mitigation and Monitoring Plan to the satisfaction of the City, ACOE, and CDFW. The Project Applicant shall also be required to implement the Wetlands Mitigation and Monitoring Plan subject to the oversight of the City, ACOE, and CDFW. MM BIO-10 Prior to issuance of land development permits, including clearing, grubbing, and grading permits for areas that impact jurisdictional waters, the Project Applicant shall provide evidence that all required regulatory permits, such as those required under Section 404 of the federal Clean Water Act, Section 1600 of the California Fish and Game Code,and the Porter Cologne Water Quality Act have been obtained. MM BIO-11 The Project Applicant shall implement one of the following prior to the issuance of grading permits for areas impacting vernal pools within Village Three North: • The Project Applicant shall restore 240 square feet of vernal pools within the Village Thirteen (resort) planning area. The restoration would involve reconfiguration and reconstruction of the mima mounds and basins, removal of weedy vegetation, revegetation of the mounds with upland sage scrub species and inoculation of the pools with vernal pool species. The property owner has prepared a Conceptual Vernal Pool Mitigation Plan (Dudek 2008). The Plan includes,but is not limited to an implementation plan, maintenance and monitoring program, estimated completion time,and relevant contingency measures. Otay Ranch University Villages Project Final EIR 113 2014-12-02 Agenda Packet Page 427 CEQA Findings of Fact and Statement of Overriding Considerations • The Project Applicant shall restore 240 square feet of vernal pools somewhere other than the Village Thirteen (resort) planning area. The restoration would still involve reconfiguration and reconstruction of the mima mounds and basins, removal of weedy vegetation, revegetation of the mounds with upland sage scrub species and inoculation of the pools with vernal pool species. • The Project Applicant shall buy into a mitigation bank in an amount that would mitigate for impacts to 120 square feet of vernal pool. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM BIO-9 through MM BIO-11 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to wetlands to a less-than-significant level. Reference EIR Section 5.8 Biological Resources Direct Impact Off-site Impacts Impacts to off-site jurisdictional wetlands and waters due to project implementation would be potentially significant. Explanation Off-site facilities (i.e., outside of the SPA Plan Area but not outside of the Otay Ranch boundary), would impact 0.30 acre of waters (EIR Section 5.8 Table 5.8-9). Of the 0.30 acre of waters to be impacted, 0.16 acre is ephemeral waters under regulation of ACOE, RWQCB, and CDFW. The remaining waters,0.14 acre,are under the sole jurisdiction of CDFW. Mitigation See MM BIO-9 through MM BIO-11 identified above. Otay Ranch University Villages Project Final EIR 114 2014-12-02 Agenda Packet Page 428 CEQA Findings of Fact and Statement of Overriding Considerations Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM BIO-9 through MM BIO-11 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to wetlands to a less-than-significant level. Reference EIR Section 5.8 Biological Resources Direct Impact Vernal Pool Within Village Three North, there is one vernal pool within the K17 complex that would be impacted that is under ACOE jurisdiction. Impacts to the vernal pool are considered potentially significant. Explanation Within Village Three North, there is one vernal pool within the K17 complex that would be impacted that is under ACOE jurisdiction, but characterized by the ACOE as a seasonal depression for permitting purposes. The total surface area proposed to be impacted is 120 square feet. It has not been established whether the vernal pool is considered jurisdictional by the RWQCB. Mitigation See MM BIO-9 through MM 13I0-11 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM 13I0-9 through MM 1310-11 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to wetlands to a less-than-significant level. Otay Ranch University Villages Project Final EIR 115 2014-12-02 Agenda Packet Page 429 CEQA Findings of Fact and Statement of Overriding Considerations Reference EIR Section 5.8 Biological Resources Indirect Impact Indirect impacts to jurisdictional waters,without mitigation, are considered potentially significant. Explanation Indirect, adverse edge effects to jurisdictional waters and wetlands include potential runoff, sedimentation, erosion, exotics introduction, and habitat type conversion in the short and long term,particularly within the Wolf Canyon drainage. Mitigation See MM 13I0-9 through MM 1310-11 identified above and MM HYD-1 through MM HYD-5. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM BIO-9 through MM BIO-11, and MM HYD-1 through MM HYD-5 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to wetlands to a less-than- significant level. Reference EIR Section 5.8 Biological Resources Thresholds of Significance—Conflict with Local Policies, NCCP/HCP Impacts to biological resources would be significant if the proposed project would: • Conflict with any local policies or ordinances protecting biological resources, such as a tree preservation policy or ordinance. • Conflict with the provisions of an adopted Habitat Conservation Plan (HCP), Natural Community Conservation Plan (NCCP), or other approved local, regional, or State habitat conservation plan. Otay Ranch University Villages Project Final EIR 116 2014-12-02 Agenda Packet Page 430 CEQA Findings of Fact and Statement of Overriding Considerations Impact Village Three North and a Portion of Village Four Impacts to species or habitat could potentially occur as a result of the trail system within the Preserve, and impacts would be potentially significant. Explanation Within Village Three North and Portion of Village Four, there is a portion of one existing trail within the Preserve. The trail segment is identified in the Chula Vista Greenbelt Master Plan and OVRP Concept Plan. Mitigation See MM 1310-16,MM 1310-17, and MM 1310-18 identified above. MM BI0-7 Prior to issuance of any land development permits, including clearing or grubbing and grading and/or construction permits, the project will be required to obtain a HILT Permit pursuant to Section 17.35 of the Chula Vista Municipal Code for impacts to Chula Vista MSCP Tier I, II, and II vegetation communities as shown in EIR Section 5.8 Tables 5.8-24 and 5.8-25 and in accordance with Table 5-3 of the City of Chula Vista MSCP Subarea Plan. These impacts are due to the proposed development and are not associated with Planned or Future Facilities. Mitigation for off-site impacts outside of Otay Ranch will be in accordance with the City of Chula Vista MSCP Subarea Plan and the City's Habitat Loss and Incident Take (HLIT) Ordinance and as provided in the HLIT Findings. Mitigation for impacts associated with the landfill (off-site Area 5) is not required. Prior to issuance of any land development permits, the Applicant shall mitigate for direct impacts pursuant to Section 5.2.2 of the City's MSCP Subarea Plan. In compliance with the City's MSCP Subarea Plan, the Applicant shall secure mitigation credits within a City/Wildlife Agency-approved Conservation Bank or other approved location offering such credits consistent with the ratios specified in EIR Section 5.8 Tables 5.8-24 and 5.8-25. The Applicant shall be required to provide verification of purchase to the City, prior to issuance of any land development permits. In the event that a Project Applicant is unable to secure mitigation through an established mitigation bank approved by the City and Wildlife Agencies, the Otay Ranch University Villages Project Final EIR 117 2014-12-02 Agenda Packet Page 431 CEQA Findings of Fact and Statement of Overriding Considerations Project Applicant shall secure the required mitigation through the conservation of an area containing in-kind habitat within the City's MSCP Subarea Plan or MSCP Planning Area in accordance with the mitigation ratios contained in Table 5-3 of the City's MSCP Subarea Plan and subject to Wildlife Agency concurrence. Prior to issuance of any land development permit, and to the satisfaction and oversight of the City's Development Services Director (or their designee), the Applicant shall secure the parcel(s) that will be permanently preserved for in-kind habitat impact mitigation, prepare a long-term Management and Monitoring Plan (MMP) for the mitigation area, secure an appropriate management entity to ensure long-term biological resource management and monitoring of the mitigation area is implemented in perpetuity, and establish a long-term funding mechanism for the management and monitoring of the mitigation area in perpetuity. The long-term MMP shall provide management measures to be implemented to sustain the viability of the preserved habitat and identify timing for implementing the measures prescribed in the MMP. The mitigation parcel shall be restricted from future development and permanently preserved through the recordation of a conservation easement or other mechanism approved by the Wildlife Agencies as being sufficient to insure that the lands are protected in perpetuity. The conservation easement or other mechanism approved by the Wildlife Agencies shall be recorded prior to issuance of any land development permits. The Project Applicant shall be responsible for maintaining the biological integrity of the mitigation area and shall abide by all management and monitoring measures identified in the MMP until such time as the established long-term funding mechanism has generated sufficient revenues to enable a City-approved management entity to assume the long-term maintenance and management responsibilities. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM BI0-7 and MM BIO-16 through MM BIO-18 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to the Preserve to a less-than-significant level. Reference EIR Section 5.8 Biological Resources Otay Ranch University Villages Project Final EIR 118 2014-12-02 Agenda Packet Page 432 CEQA Findings of Fact and Statement of Overriding Considerations Impact Village Eight East Impacts due to a proposed trail within the Preserve as identified in the Chula Vista Greenbelt Master Plan and OVRP Concept Plan would be potentially significant prior to mitigation. Explanation There is one trail proposed within the Preserve, which is approximately 3,188 linear feet in length. It is located within the existing Salt Creek sewer maintenance road and is a continuation of the trail in Village Three North. The trail segment is identified in the Chula Vista Greenbelt Master Plan and OVRP Concept Plan (EIR pg. 5.8-105). Mitigation See MM BI0-7 and B10-16 through MM B10-18 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM BI0-7 and MM BIO-16 through MM BIO-18 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to the Preserve to a less-than-significant level. Reference EIR Section 5.8 Biological Resources Impact Village Ten Impacts due to the implementation of a Connector Trail in Village Ten would be potentially significant prior to mitigation. Explanation Within Village Ten, there are two trail segments proposed. The first is the continuation of the trail from Village Three North and Village Eight East that is located within Salt Creek sewer maintenance road. This segment is a total of 2,700 linear feet. The trail segment is identified in the Otay Ranch University Villages Project Final EIR 119 2014-12-02 Agenda Packet Page 433 CEQA Findings of Fact and Statement of Overriding Considerations Chula Vista Greenbelt Master Plan and OVRP Concept Plan. A second trail segment, a Greenbelt connector, is located north of the Wiley Road segment and provides a connection to the Salt Creek Sewer Easement east from Village Ten and will provide a connection to proposed trails within Village Ten. The trail segment for this eastern trail is approximately 225 linear feet within the preserve within the Village Ten project boundary and approximately 410 linear feet within the Otay Ranch Preserve (outside the Village Ten project boundary) (EIR pg. 5.8-106). Mitigation See MM BIO-7 and MM BIO-16 through MM BIO-18 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM BIO-7 and MM BIO-16 through MM BIO-18 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to the Preserve to a less-than-significant level. Reference EIR Section 5.8 Biological Resources Impact Impacts to native upland vegetation communities and wetland habitats are considered significant under the City's Habitat Loss and Incidental Take (HLIT) Ordinance, impacts would be potentially significant and mitigation would be required. Explanation A portion of the proposed project is located outside of the Otay Ranch boundary and is subject to the City of Chula Vista's HLIT Ordinance. These outside of Otay Ranch areas are all affiliated with Village Three North (Areas 1, 2 and 3). Impacts to native upland vegetation communities and wetland habitats are considered significant under the City's HLIT Ordinance and require mitigation. Impacts to the wetlands south of the existing alignment of Main Street are unavoidable because the project component is the widening of the road; however, impacts have been minimized by keeping the road improvement within the existing footprint and adding on the minimal amount necessary to achieve the requirements of the roadway. Potential impacts to Otay Ranch University Villages Project Final EIR 120 2014-12-02 Agenda Packet Page 434 CEQA Findings of Fact and Statement of Overriding Considerations waters north of the existing Main Street, due to the location of a detention basin, are less significant than the alternative location on property owned by the Takashima Family Trust. Mitigation See MM BI0-7 and MM B10-16 through MM B10-18 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM BI0-7 and MM BIO-16 through MM BIO-18 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to the Preserve to a less-than-significant level. Reference EIR Section 5.8 Biological Resources Thresholds of Significance—Wildlife Corridor Impacts to biological resources would be significant if the proposed project would: • Interfere substantially with the movement of any native resident or migratory fish or wildlife species or with established native resident or migratory wildlife corridors, or impede the use of native wildlife nursery sites. Direct Impact Village Three North and a Portion of Village Four Impacts to wildlife corridors in Village Three North and Portion of Village Four would be potentially significant prior to mitigation. Explanation Wolf Canyon does not function as a regional habitat linkage or wildlife corridor, but is identified as a local corridor for focused mammal and bird species. The northern portion of Wolf Canyon functions as a corridor for California gnatcatcher and cactus wren. Although the proposed project would remove 0.8 acres from a portion of the Preserve in Wolf Canyon, the impact is concentrated along the edges of the Preserve. Otay Ranch University Villages Project Final EIR 121 2014-12-02 Agenda Packet Page 435 CEQA Findings of Fact and Statement of Overriding Considerations Mitigation See MM BIO-7 and BIO-16 through MM BIO-18 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM BIO-7 and MM BIO-16 through MM BIO-18 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to wildlife corridors to a less-than-significant level. Reference EIR Section 5.8 Biological Resources Direct Impact Village Eight East Impacts to wildlife movement as a result of development in Village Eight East would be potentially significant prior to mitigation. Explanation Within the upland habitat along the slopes of Village Eight East between the proposed residential development and the proposed Community Park (P-2), there is a corridor designated for California gnatcatcher and cactus wren. One access road/utility corridor and an emergency access route/utility corridor leading to the Village Eight East Community Park (P-2) area extends south from the developed portion of Village Eight East through the Preserve. These facilities have been designed to the minimum widths feasible to reduce impacts to the Preserve by removal of sidewalks on one side and reduction of landscaping in order to narrow the roadway impact. Mitigation See MM BIO-7 and BIO-16 through MM BIO-18 identified above. Otay Ranch University Villages Project Final EIR 122 2014-12-02 Agenda Packet Page 436 CEQA Findings of Fact and Statement of Overriding Considerations Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM BIO-7 and MM BIO-16 through MM BIO-18 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to wildlife corridors to a less-than-significant level. Reference EIR Section 5.8 Biological Resources Impact Village Ten Impacts to wildlife movement as a result of development in Village Ten would be potentially significant prior to mitigation. Explanation Development to the north of Salt Creek Canyon has restricted wildlife movement between the San Miguel Mountains and the Otay River Valley along this corridor. The mouth of Salt Creek is considered an integral corridor that allows for movement of these two bird species to the Otay River Valley (Ogden 1992). Although the proposed project (Take Area B of the Boundary Adjustment) extends the future University site farther east into the Salt Creek area, Salt Creek remains intact as an area for avian movement as designated in the corridor study (Ogden 1992) and for live-in habitat. In addition, the MSCP Boundary Adjustment retains a connection from Salt Creek to Otay Lakes because the acreage in the proposed Boundary Adjustment Give B area would preserve the wildlife connection between Otay River Valley, Salt Creek, Lower Otay Lake, and ultimately Sweetwater. Mitigation See MM BIO-7 and BIO-16 through MM BIO-18 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM Otay Ranch University Villages Project Final EIR 123 2014-12-02 Agenda Packet Page 437 CEQA Findings of Fact and Statement of Overriding Considerations BIO-7 and MM BIO-16 through MM BIO-18 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to wildlife corridors to a less-than-significant level. Reference EIR Section 5.8 Biological Resources Indirect Impact Potential indirect impacts to wildlife utilizing the local corridor would be potentially significant. Explanation According to the Wildlife Corridor studies conducted by Ogden (1992), the University Villages project area does not support any existing wildlife corridors,but does serve as a local corridor for target mammal species. Potential indirect impacts to wildlife utilizing this local corridor would be significant. Mitigation See MM BIO-7 and BIO-16 through MM BIO-18 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM BIO-7 and MM BIO-16 through MM BIO-18 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to wildlife corridors to a less-than-significant level. Reference EIR Section 5.8 Biological Resources 7.1.9 Water Quality and Hydrology Thresholds of Significance—Water Quality Standards Impacts to water quality and hydrology would be significant if the proposed project would: • Violate any water quality standards or waste discharge requirements, including City of Chula Vista Engineering Standards for storm water flows and volumes. Otay Ranch University Villages Project Final EIR 124 2014-12-02 Agenda Packet Page 438 CEQA Findings of Fact and Statement of Overriding Considerations Impact Construction Pollutants associated with construction would degrade water quality if they were washed by stormwater or non-stormwater into surface waters. Impacts would be significant prior to mitigation. Explanation Construction of the proposed project would involve grading and site preparation activities within each of the villages and the off-site improvements areas. The proposed project would result in sources of polluted runoff during construction which would have short-term impacts on surface water and groundwater quality through activities such as demolition, clearing and grading, excavation of undocumented fill materials, stockpiling of soils and materials, concrete pouring, painting and asphalt surfacing. Construction activities would involve various types of equipment such as bulldozers, scrapers, graders, loaders, compactors, dump trucks, cranes, water trucks and concrete mixers. Additionally, soils and construction materials are typically stockpiled outdoors. Mitigation MM HYD-1 Erosion Control. The developer shall monitor any erosion at the project's outfalls at the Otay River and, prior to the last building permit for the project, obtain approval for and complete any reconstructive work necessary to eliminate any existing erosion and prevent future erosion from occurring, all to the satisfaction of the Development Services Director. MM HYD-2 Storm Water Pollution Prevention Plan. Prior to issuance of each grading permit for each village or any land development permit, including clearing and grading, the Project Applicant shall submit a notice of intent and obtain coverage under the NPDES permit for construction activity from the SWRCB. Adherence to all conditions of the General Permit for Construction Activity is required. The Applicant shall be required under the SWRCB General Construction Permit to develop a SWPPP and monitoring plan that shall be submitted to the City Engineer and the Director of Public Works. The SWPPP shall be incorporated into the grading and drainage plans and shall specify both construction and post- construction structural and non-structural BMPs on site to reduce the amount of sediments and pollutants in construction and post-construction surface runoff before it is discharged into off-site storm water facilities. Section 7 of the City's Storm Water Manual outlines construction site BMP requirements. The SWPPP shall also address operation and maintenance of post-construction pollution Otay Ranch University Villages Project Final EIR 125 2014-12-02 Agenda Packet Page 439 CEQA Findings of Fact and Statement of Overriding Considerations prevention measures, including short-term and long-term funding sources and the party or parties that will be responsible for said measures. The grading plans shall note the condition requiring a SWPPP and monitoring plans. MM HYD-3 Supplemental Water Quality Report. Prior to issuance of each grading permit, the Applicant shall submit supplemental reports to the Otay Ranch Villages Three North and Portion of Village Four, Village Eight East, and Village Ten Tentative Map Water Quality Technical Reports, respectively, prepared by Hunsaker and Associates San Diego, Inc. (2014) that identifies which onsite storm water management measures from the Water Quality Technical Report have been incorporated into the project to the satisfaction of the City Engineer. If a storm water management option is chosen by the Applicant that is not shown in the water quality technical report, a project-specific water quality technical report shall be prepared for the parcel, referencing the Otay Ranch Villages Three North and Portion of Village Four, Village Eight East, or Village Ten Tentative Map Water Quality Technical Reports, prepared by Hunsaker and Associates and dated March 2014, for information relevant to regional design concepts (e.g., downstream conditions of concern)to the satisfaction of the City Engineer. MM HYD-5 Limitation of Grading. The Project Applicant shall comply with the Chula Vista Development Storm Water Manual limitation of grading requirements, which limit disturbed soil area to 100 acres, unless expansion of a disturbed area is specifically approved by the Director of Public Works. With any phasing resulting from this limitation, if required, the Project Applicant shall provide, to the satisfaction of the City Engineer, erosion and sediment control BMPs in areas that may not be completed, before grading of additional area begins. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM HYD-I through MM HYD-3 and MM HYD-5 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to water quality to a less-than-significant level. Reference EIR Section 5.10 Water Quality and Hydrology Otay Ranch University Villages Project Final EIR 126 2014-12-02 Agenda Packet Page 440 CEQA Findings of Fact and Statement of Overriding Considerations Impact Operational —Village Three North and Portion of Village Four Village Three North and a Portion of Village Four would have the potential to violate water quality standards or waste discharge requirements. Therefore, impacts would be potentially significant and mitigation measures would be required. Explanation Equipment and hazardous materials associated with construction activities would be removed from the project site after build-out is complete, which would reduce the potential for pollutants to be discharged. However, there are multiple pollutants associated with operation of the proposed land uses within the project area. Development of Village Three North and a Portion of Village Four would result in the net increase of runoff discharged to the adjacent Otay River by approximately 234 cubic feet per second (cfs). Mitigation MM HYD-4 Post-Construction/Permanent BMPs. Prior to issuance of each grading permit, the City Engineer shall verify that parcel owners have incorporated and will implement post-construction BMPs in accordance with current regulations. In particular, Applicants are required to comply with the requirements of Section 2c of the City of Chula Vista's Standard Urban Storm Water Management Plan (SUSMP), the Chula Vista Development Storm Water Manual, and the Otay Ranch Villages Three North and Portion of Village Four, Village Eight East, and Village Ten Tentative Map Water Quality Technical Report, respectively, or any supplements thereto to the satisfaction of the City Engineer. Specifically, the Applicant shall implement low impact development BMPs in the preparation of all site plans and, the Applicant shall incorporate structural on-site design features into the project design to address site design and treatment control BMPs as well as requirements of the hydromodification management plan. The Applicant shall monitor and mitigate any erosion in downstream locations that may occur as a result of on-site development. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM HYD-4 is feasible and shall be required as a condition of approval and made binding on the Otay Ranch University Villages Project Final EIR 127 2014-12-02 Agenda Packet Page 441 CEQA Findings of Fact and Statement of Overriding Considerations applicant. Implementation of this mitigation measure will reduce significant impacts related to water quality to a less-than-significant level. Reference EIR Section 5.10 Water Quality and Hydrology Impact Operational—Village Eight East Village Eight East would have the potential to violate water quality standards or waste discharge requirements. Therefore, impacts would be potentially significant and mitigation measures would be required. Explanation Equipment and hazardous materials associated with construction activities would be removed from the project site after build-out is complete, which would reduce the potential for pollutants to be discharged. However, there are multiple pollutants associated with operation of the proposed land uses within the project area. Development of Village Eight East would result in the net increase of runoff discharged to the adjacent Otay River by approximately 332 cfs. Mitigation See MM HYD-4 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM HYD-4 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant impacts related to water quality to a less-than-significant level. Reference EIR Section 5.10 Water Quality and Hydrology Otay Ranch University Villages Project Final EIR 128 2014-12-02 Agenda Packet Page 442 CEQA Findings of Fact and Statement of Overriding Considerations Impact Operational —Villas Village Ten would have the potential to violate water quality standards or waste discharge requirements. Therefore, impacts would be potentially significant and mitigation measures would be required. Explanation Equipment and hazardous materials associated with construction activities would be removed from the project site after build-out is complete, which would reduce the potential for pollutants to be discharged. However, there are multiple pollutants associated with operation of the proposed land uses within the project area. Development of Village Ten would result in the net increase of runoff discharged to the adjacent Otay River by approximately 537 cfs. Mitigation See MM HYD-4 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM HYD-4 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant impacts related to water quality to a less-than-significant level. Reference EIR Section 5.10 Water Quality and Hydrology Thresholds of Significance—Alter Drainage Pattern Causing Erosion Impacts to water quality and hydrology would be significant if the proposed project would: • Substantially alter the existing drainage pattern of the site or area, including through the alteration of the course of a stream or river, in a manner that would result in substantial erosion or siltation on- or off-site. Otay Ranch University Villages Project Final EIR 129 2014-12-02 Agenda Packet Page 443 CEQA Findings of Fact and Statement of Overriding Considerations Impact The net increase in runoff discharged to the Otay River would be a result of an alteration in the existing drainage pattern, which could consequently result in substantial erosion or siltation on- or off-site. Therefore,prior to mitigation,impacts would be potentially significant. Explanation The proposed project would result in the net increase of runoff discharged to the Otay River by approximately 234cfs in Village Three North and Portion of Village Four, 332cfs in Village Eight East, and 537cfs in Village Ten. With the project area entirely developed, paved, or landscaped, stormwater runoff could result in substantial off-site erosion to downstream facilities. Mitigation MM HYD-6 Hydromodification Criteria. The Project Applicant shall comply, to the satisfaction of the City Engineer, with city hydromodification criteria (Municipal Permit Order R9-2007-0001 Section D.l.g; as may be amended) or the hydrograph modification management plan, as applicable, addressed regionally at the SPA Plan level concurrent with grading and improvement plans for each village. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM HYD-6 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant impacts related to erosion due to altered drainage patterns to a less-than-significant level. Reference EIR Section 5.10 Water Quality and Hydrology Thresholds of Significance—Exceed Stormwater Drainage Capacity Impacts to water quality and hydrology would be significant if the proposed project would: • Create or contribute runoff water, which would exceed the capacity of existing or planned stormwater drainage systems or provide substantial additional sources of polluted runoff. Otay Ranch University Villages Project Final EIR 130 2014-12-02 Agenda Packet Page 444 CEQA Findings of Fact and Statement of Overriding Considerations Impact The proposed project would create a substantial amount of runoff and new stormwater drainage systems would be necessary. Additionally, the proposed project could create additional sources of polluted runoff, impacts would be potentially significant and mitigation measures would be required. Explanation The proposed project would result in the net increase of runoff discharged to the Otay River by approximately 234cfs in Village Three North and Portion of Village Four, 332cfs in Village Eight East, and 537cfs in Village Ten. The net increase in runoff discharged to the Otay River would be a substantial contribution to existing conditions. Mitigation See MM HYD-1 through MM HYD-6 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM HYD-1 through MM HYD-6 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to increased runoff as a new source of polluted water to a less-than- significant level. Reference EIR Section 5.10 Water Quality and Hydrology Thresholds of Significance— Substantially Degrade Water Quality Impacts to water quality and hydrology would be significant if the proposed project would: • Otherwise, substantially degrade water quality. Impact The proposed project has the potential to substantially degrade water quality, and impacts would be potentially significant. Otay Ranch University Villages Project Final EIR 131 2014-12-02 Agenda Packet Page 445 CEQA Findings of Fact and Statement of Overriding Considerations Explanation As described above, construction and operation of the proposed project have the potential to contribute to an increase in expected pollutants, which could adversely impact the water quality of receiving waters. Impacts would be reduced to the maximum extent practicable through conservation of natural areas, minimizing impervious footprint, minimizing directly connected impervious areas to area drains, minimizing soil compaction in landscaped areas, soil amendments, and protection of slopes, channels and erosion control. Mitigation See MM HYD-1 through MM HYD-6 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM HYD-1 through MM HYD-6 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to water quality to a less-than-significant level. Reference EIR Section 5.10 Water Quality and Hydrology Thresholds of Significance—Impede Flood Flows Impacts to water quality and hydrology would be significant if the proposed project would: • Place structures within a 100-year flood hazard area which would impede or redirect flood flows. Impact The proposed project would place structures within a 100-year flood hazard area and impacts would be potentially significant. Otay Ranch University Villages Project Final EIR 132 2014-12-02 Agenda Packet Page 446 CEQA Findings of Fact and Statement of Overriding Considerations Explanation The proposed project would place drainage structures within a 100-year flood hazard area. In the event of a 100-year flood, the drainage structures would not impede or redirect flows in the project area. Mitigation MM HYD-7 Scour Analysis. Concurrent with all grading plan submittals, the Applicant shall prepare a scour analysis for all structures within the 100-year flood hazard area. Additionally, all said structures shall be monitored until the last building permit for the project has been issued. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM HYD-7 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measures will reduce significant impacts related to structures impeding flood flow to a less-than-significant level. Reference EIR Section 5.10 Water Quality and Hydrology 7.1.10 Geology and Soils Thresholds of Significance—Rupture of Earthquake Fault Impacts to geology and soils would be significant if the proposed project would: • Be located on expansive soil, as defined in Table 18-1-B of the Uniform Building Code (1994), creating substantial risks to life or property. Impact Impacts associated with expansive soil are considered to be potentially significant. Explanation Village Three North and a Portion of Village Four, Village Eight East, and Village Ten project sites all possess expansive soils. The formational units, bentonitic claystone, topsoil, and Otay Ranch University Villages Project Final EIR 133 2014-12-02 Agenda Packet Page 447 CEQA Findings of Fact and Statement of Overriding Considerations alluvium are predominantly clayey sand and sandy clay materials that have high to very high expansion potential. Recommendations found in the geotechnical report are intended to reduce the potential for cracking of slabs due to expansive soils. However, even with the incorporation of the recommendations, the exterior concrete flatwork has a potential to experience some uplift due to expansive soil beneath grade. Mitigation MM GEO-1 Prior to the issuance of each grading permit for Village Three North and Portion of Village Four, Village Eight East, and Village Ten, the Applicant shall verify that the applicable recommendations in the Geotechnical Investigation prepared by Geocon, dated May 23, 2013; November 21, 2012; and November 20, 2012, respectively, have been incorporated into the final project design and construction documents to the satisfaction of the City Engineer. These recommendations address issues including but not limited to site grading, retaining walls, seismic design, slope stability, backdrain systems, undercuts, excavation and fill, monitoring, and soil testing. Geotechnical review of grading plans shall include a review of all proposed storm drain facilities to ensure the storm water runoff would not interfere with the proposed geotechnical recommendations. MM GEO-2 All graded slopes shall have a minimum factor of safety of 1.5. Strategies to increase stability may include, but are not limited to, a stability buttress or shear pins.All slope stability strategies shall be to the satisfaction of the City Engineer. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM GEO-1 and MM GEO-2 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to expansive soils to a less-than-significant level. Reference EIR Section 5.11 Geology and Soils Otay Ranch University Villages Project Final EIR 134 2014-12-02 Agenda Packet Page 448 CEQA Findings of Fact and Statement of Overriding Considerations 7.1.11 Public Services Thresholds of Significance—Fire and Emergency Medical Services Impacts to fire and emergency medical services would be significant as follows: • The City's Threshold Standards Policy states that the proposed project would have a significant impact on fire protection services if it would: o Reduce the ability of properly equipped and staffed fire and medical units to respond to calls throughout the City within 7 minutes in 80% of the cases. Impact Prior to mitigation, the proposed project would have potentially significant impacts on fire and emergency medical services due to the increase in demand for service and the subsequent increase in average response times. Explanation Overall phasing of the proposed project and nearby projects would determine when additional fire stations are constructed. The construction of new fire stations would be supported on a fair share basis by the proposed project through payment of the City's Public Facilities Development Impact Fees (PFDIF). Payment of PFDIF fees, implementation of the FPPs, compliance with existing city codes, policies and regulations, and implementation of mitigation measures would ensure that the growth management ordinance threshold standard is achieved. This impact would be potentially significant if these mechanisms are not enforced. Therefore, impacts would be potentially significant and mitigation is required. Mitigation MM PUB-1 Prior to the issuance of each building permit for any residential dwelling units, the Applicant(s) shall pay a Public Facilities Development Impact Fee (PFDIF) in accordance with the fees in effect at the time of building permit issuance and phasing approved in the Public Facilities Finance Plan, unless stated otherwise in a separate development agreement. MM PUB-2 Prior to issuance of the first building permit for Village Ten, the Applicant(s) will be required to build a temporary fire station in the currently designated Community Purpose Facilities (CPF) site if a fire station has not yet been built in Village Eight West or the EUC as identified in the Fire Facility Equipment and Deployment Master Plan (FFMP). Otay Ranch University Villages Project Final EIR 135 2014-12-02 Agenda Packet Page 449 CEQA Findings of Fact and Statement of Overriding Considerations Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM PUB-1 and MM PUB-2 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to fire and emergency medical services to a less-than-significant level. Reference EIR Section 5.12 Public Services Thresholds of Significance—Police Services Impacts to Police services would be significant if the proposed project would: • Exceed the City's threshold standards to respond to Priority One emergency calls throughout the City (within 7 minutes in 81% of the cases and an average response time to all Priority One calls of 5.5 minutes or less) and/or exceed the City's threshold standards to respond to Priority Two urgent calls throughout the City (within 7 minutes in 57% of cases and an average response time to all Priority Two calls of 7.5 minutes or less). Impact Prior to mitigation the proposed project would have potentially significant impacts on police services due to the increase in demand for service and the subsequent increase in average response times. Explanation The CVPD did not meet the growth management response time threshold for Priority One calls, or Priority Two calls in FY 2012. Development of the proposed project would increase the demand for police services as a result of increased population and development density. Subsequently, the proposed project would contribute to an increase in average response times due to a potential increase in the frequency of police calls. Mitigation MM PUB-3 Prior to the issuance of each building permit for any residential dwelling units, the Applicant(s) shall pay the City's Public Facilities Development Impact Fee (PFDIF) in accordance with the fees in effect at the time of Otay Ranch University Villages Project Final EIR 136 2014-12-02 Agenda Packet Page 450 CEQA Findings of Fact and Statement of Overriding Considerations building permit issuance and phasing approved in the Public Facilities Finance Plan, unless stated otherwise in a separate development agreement. MM PUB-4 The City of Chula Vista will continue to monitor the Chula Vista Police Department responses to emergency calls and report the results to the Growth Management Oversight Commission on an annual basis. MM PUB-5 Prior to issuance of each building permit, site plans shall be reviewed by the Chula Vista Police Department or its designee to ensure the incorporation of Crime Prevention through Environmental Design Features (OPTED) features and other recommendations of the Chula Vista Police Department, including but not limited to, controlled access points to parking lots and buildings, maximizing visibility along building fronts, sidewalks and public parks, and providing adequate street,parking lot and parking structure visibility and lighting. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM PUB-3 through MM PUB-5 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to police services to a less-than-significant level. Reference EIR Section 5.12 Public Services Thresholds of Significance— Schools Impacts to schools would be significant if the proposed project would: • Result in substantial adverse physical impacts associated with the provision of new or physically altered governmental facilities, need for new or physically altered governmental facilities, the construction of which could cause significant environmental impacts, in order to maintain acceptable service ratios, response times or other performance objectives for educational facilities services. Otay Ranch University Villages Project Final EIR 137 2014-12-02 Agenda Packet Page 451 CEQA Findings of Fact and Statement of Overriding Considerations Elementary Schools Impact If the proposed project does not pay the State mandated fees or enter into a school mitigation agreement, which would guarantee construction of the needed school facilities, there would be a potentially significant impact to elementary schools. Explanation The Chula Vista Elementary School District (CVESD) has estimated that buildout of the proposed project's 6,897 residential units would generate approximately 2,204 elementary school students. In order to accommodate the additional students the proposed project will either pay the State mandated school fees or enter into a School Mitigation Agreement to ensure that schools are built as population increases during the phased development. Mitigation MM PUB-6 Prior to the issuance of each building permit for any residential dwelling units, the Applicant(s) shall provide evidence or certification by the Chula Vista Elementary School District (CVESD) that any fee charge, dedication or other requirement levied by the school district has been complied with or that the district has determined the fee, charge, dedication or other requirements do not apply to the construction or that the Applicant has entered into a school mitigation agreement. School Facility Mitigation Fees shall be in accordance with the fees in effect at the time of building permit issuance. MM PUB-7 Prior to approval of a Final Map for private development on parcels S-1 in Village Three North, Village Eight East, and Village Ten, designated for future schools, the Applicant shall provide evidence from the CVESD that the site has been determined by the district to not be needed for future use as a school site. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM PUB-6 and MM PUB-7 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to elementary schools to a less-than-significant level. Otay Ranch University Villages Project Final EIR 138 2014-12-02 Agenda Packet Page 452 CEQA Findings of Fact and Statement of Overriding Considerations Reference EIR Section 5.12 Public Services Middle Schools Impact If the proposed project does not pay the State mandated fees or enter into a school mitigation agreement, which would guarantee construction of the needed school facilities, there would be a potentially significant impact to middle schools. Explanation The Sweetwater Union High School District (SUHSD) has estimated that buildout of the proposed project would generate 543 middle school students. In order to accommodate the additional students the proposed project will either pay the State-mandated school fees or enter into a School Mitigation Agreement to ensure that schools are built as population increases during the phased development. Mitigation See MM PUB-6 and MM PUB-7 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM PUB-6 and MM PUB-7 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to middle schools to a less-than-significant level. Reference EIR Section 5.12 Public Services High Schools If the proposed project does not pay the State mandated fees or enter into a school mitigation agreement, which would guarantee construction of the needed school facilities, there would be a potentially significant impact to high schools. Otay Ranch University Villages Project Final EIR 139 2014-12-02 Agenda Packet Page 453 CEQA Findings of Fact and Statement of Overriding Considerations Explanation The project would generate approximately 1,056 high school students. In order to accommodate the additional students the proposed project will either pay the State mandated school fees or enter into a School Mitigation Agreement to ensure that schools are built as population increases during the phased development. Mitigation See MM PUB-6 and MM PUB-7 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM PUB-6 and MM PUB-7 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to high schools to a less-than-significant level. Reference EIR Section 5.12 Public Services Thresholds of Significance—Parks and Recreation Impacts to parks,recreation, and open space would be significant if the proposed project would: • Increase the use of existing neighborhood and regional parks or other recreational facilities such that substantial physical deterioration of the facility would occur or be accelerated. Impact Prior to mitigation, the proposed project would have potentially significant impacts associated with parks, recreation, and open space facilities. Explanation The proposed project would increase population in the surrounding area, which would subsequently increase the use of existing neighborhood and regional parks. Otay Ranch University Villages Project Final EIR 140 2014-12-02 Agenda Packet Page 454 CEQA Findings of Fact and Statement of Overriding Considerations Mitigation MM PUB-8 Prior to the approval of each Final Map for the project, or, for any residential development within the project that does not require a Final Map, prior to building permit approval, the Applicant shall either dedicate parkland and/or pay applicable Park Acquisition and Development in-lieu fees in accordance with the phasing indicated in the project's approved SPA Plan, the PFFP, and a park agreement, if any, subject to approval of the Development Services Director or their designee. In-lieu fees shall be based on the Park Acquisition and Development fees in effect at the time of issuance of building permits, unless stated otherwise in a parks or development agreement. MM PUB-9 Prior to the issuance of each building permit for any residential dwelling units, the Applicant shall pay recreation facility development impact fees (part of the Public Facilities Development Impact Fee) in accordance with the fees in effect at the time of building permit issuance and phasing approved in the Public Facilities Finance Plan, subject to approval of the Development Services Director or their designee. MM PUB-10 Prior to the approval of the first Final Map for each village (Village Three North, Village Eight East, and Village Ten) the Applicant shall enter into an agreement with the City that provide the following: phased dedication of public park sites, payment of Park Improvement Fees, schedule for completion of improvements, including utilities to streets adjacent to the park sites, all to the satisfaction of the Development Services Director or their designee. Under the current method for delivery of new parks the City will award a design-build contract for the project's neighborhood park. The agreement will include provisions that in the event the City chooses not to go forward with a design-build contract, the Applicant will be obligated to fully comply with the Parkland Ordinance and park threshold standards by constructing the parks in accordance with all City standards and under a time schedule as specified in the agreement. MM PUB-11 Prior to approval of the first Final Map for each Village, the Applicant shall offer for dedication all public parkland identified in the Project's approved SPA Plan, or as approved by the Development Services Director or their designee. Park facilities required to meet the overall park obligation shall be identified on the first Final Map and shall be publically accessible. MM PUB-12 The Applicant shall comply with the Threshold Compliance and Recommendations contained within the PFFPs for Village Three North and Portion of Village Four, Village Eight East and Village Ten. Otay Ranch University Villages Project Final EIR 141 2014-12-02 Agenda Packet Page 455 CEQA Findings of Fact and Statement of Overriding Considerations MM PUB-13 Prior to the Final Map containing the 1,313' EDU in Village Eight East, the Applicant shall secure and agree to construct the Village 8 East Community Park (P-2) Access Road from Otay Valley Road to the Community Park (P-2). Prior to the issuance of the Final Map containing the 1,313' EDU, the Applicant shall submit to the City and obtain approval for improvement plans for the Community Park (P-2) access road to the satisfaction of the Development Services Director (or their designee). The Community Park (P-2) Access Road shall be completed prior to the issuance of the Final Map containing the 1,929'EDU in Village Eight East. The following sections and mitigation measures also address physical impacts associated with construction with parks and recreational facilities: Section 5.1, Landforms and Aesthetics, addresses lighting for ball fields (MM AES-2); Section 5.3, Traffic and Circulation, addresses average trips and park access; Section 5.4, Air Quality, addresses construction emissions; Section 5.5, Noise, addresses noise impacts from park users (MM N0I-6); Section 5.8, Biological Resources, addresses indirect impacts from noise to sensitive biological resources (MM B10-18); and Section 5.10, Hydrology and Water Quality, addresses runoff. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM PUB-8 through MM PUB-13 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to parks and recreation to a less-than-significant level. Reference EIR Section 5.12 Public Services Thresholds of Significance—Libraries Impacts to library services would be significant if the proposed project would: • Fail to meet the City's threshold standard of 500 gross square feet of library space, adequately equipped and staffed,per 1,000 population. Impact Impacts to library facilities could be potentially significant and mitigation would be required. Otay Ranch University Villages Project Final EIR 142 2014-12-02 Agenda Packet Page 456 CEQA Findings of Fact and Statement of Overriding Considerations Explanation The proposed project would generate a demand for approximately 11,000 square feet of additional library facilities within the City. The City does not currently meet the growth management ordinance's threshold standard of 500 square feet of library facilities for every 1,000 residents. The proposed project would also fail to meet the City's threshold standard of 500 gross square feet of library space per 1,000 population. Funding for required facilities would be necessary to reduce impacts on operations and maintenance of library facilities to less than significant. Mitigation MM PUB-14 Prior to the issuance of each building permit for any residential dwelling units, the Applicant shall pay the required Public Facilities Development Impact Fee in accordance with the fees in effect at the time of building permit issuance and phasing approved in the Public Facilities Finance Plan. MM PUB-15 The City of Chula Vista shall continue to monitor library facilities and services and report the results to the Grown Management Oversight Commission on an annual basis. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM PUB-14 and MM PUB-15 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to libraries to a less-than-significant level. Reference EIR Section 5.12 Public Services 7.1.12 Utilities Thresholds of Significance—Water Impacts to water supply services would be significant if the proposed project would: • Exceed City threshold standards which seek to ensure availability of adequate supplies of quality water, appropriate for intended uses. The standards require the Applicant to Otay Ranch University Villages Project Final EIR 143 2014-12-02 Agenda Packet Page 457 CEQA Findings of Fact and Statement of Overriding Considerations request and deliver to the City service availability letters from the appropriate water district for each project; to submit a Water Conservation Plan along with the SPA Plan application; and, such project plans must ensure an adequate supply of water on a long- term basis prior to the development of each Otay Ranch SPA Plan. Impact As required by the City, service availability letters shall be submitted to the City prior to issuance of each building permit. Failure to do so would result in potentially significant impacts. The transfer of density between planning areas could have a significant impact to on-site infrastructure. Explanation As required by the City, service availability letters shall be submitted to the City prior to issuance of each building permit. This requirement is incorporated into the project's Mitigation Monitoring and Reporting Program. Individual developers would be required to obtain service availability letters prior to construction within the proposed project. Mitigation MM UTL-1 Prior to issuance of each Final Map for each village, the permit Applicant/developer shall deliver to the City service availability letters from the appropriate water district. MM UTL-2 Prior to approval of the first Final Map for each village, the Applicant shall provide a Subarea Master Plan to the Otay Water District. Water facilities improvements shall be financed or installed on-site and off-site in accordance with the fees and phasing pursuant to the approved Public Facilities Financing Plan(s) and Subarea Master Plan(s). The Subarea Master Plan shall include, but shall not be limited to: a. Existing pipeline locations, size, and capacity b. The proposed points of connection and system c. The estimated water demands and/or sewer flow calculations d. Governing fire department's flow requirements (flow rate, duration, hydrant spacing, etc.) e. Agency Master Plan f Agency's planning criteria (see Sections 4.1 through 4.3 of the Water Agencies Standards) Otay Ranch University Villages Project Final EIR 144 2014-12-02 Agenda Packet Page 458 CEQA Findings of Fact and Statement of Overriding Considerations g. Water quality maintenance h. Size of the system and number of lots to be served. MM UTL-3 Prior to approval of the first Final Map, the Applicant shall obtain the Otay Water District's approval of the Subarea Master Plan(s) for both potable and recycled water. Any on-site and off-site facilities identified in the Subarea Master Plan required to serve a Final Mapped area, including but not limited to water facilities within the SR-125 overcrossing at Otay Valley Road, shall be secured or constructed by the Applicant prior to approval of the Final Map and in accordance with the phasing in the public facilities finance plans. MM UTL-4 Prior to design review approval in accordance with the Density Transfer provision in the Village Three and Portion of Village Four, Village Eight East and Village Ten SPA Plans, the Applicant/developer shall provide an update to the Overview of Water Service for Otay Ranch University Villages (Dexter Wilson 2014a) with each proposed project requesting a density transfer. The density transfer technical study shall demonstrate to the satisfaction of the City Engineer that adequate on- site water infrastructure will be available to support the transfer. The transfer of residential density shall be limited by the ability of the on-site water supply infrastructure to accommodate flows. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM UTL-I through MM UTL-4 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to water supply to a less-than-significant level. Reference EIR Section 5.13 Utilities Thresholds of Significance—Sewer Impacts to sewer services would be significant if the proposed project would: • Result in a determination by the wastewater treatment provider, which serves or may serve the project that it has inadequate capacity to serve the project's projected demand in addition to the provider's existing commitments. Otay Ranch University Villages Project Final EIR 145 2014-12-02 Agenda Packet Page 459 CEQA Findings of Fact and Statement of Overriding Considerations Impact As the location and scope of construction for any newly developed treatment facility are unknown, and the development of treatment capacity beyond the City's existing and allocated capacity may result in impacts on the environment, it is conservatively concluded that a potentially significant environmental impact associated with construction of new or expanded treatment facility may occur. Explanation The City of Chula Vista would need to acquire capacity rights for an additional 5.4 mgd to accommodate year 2030 flows. The Salt Creek Interceptor Technical Sewer Study for South Otay Ranch addresses the City's current projections regarding the need to acquire additional treatment capacity. The City may acquire rights for this additional capacity in the Metro system through negotiations with the City of San Diego. In addition, the City of Chula Vista is evaluating construction of a new wastewater treatment plant and other alternatives to meet its future treatment capacity and disposal requirements. The cumulative projects will be timed to proceed with the City's acquisition of additional treatment capacity. Building permits will be issued only if the City Engineer has determined that adequate sewer capacity exists. Furthermore, all developments are required to prepare a PFFP that articulates needed facilities and funding mechanisms. The proposed project includes a PFFP and requires new and expanded sewer facilities to serve the proposed development. Implementation of existing policies and expanded sewer facilities would therefore avoid significant cumulative impacts associated with inadequate treatment capacity. Mitigation measures are also provided to ensure that adequate wastewater facilities are provided concurrently with demand. Mitigation MM UTL-5 The Applicant shall finance or install all on-site and off-site sewer facilities required to serve development in each village in accordance with the fees and phasing in the approved Public Facilities Finance Plan to the satisfaction of the City Engineer. MM UTL-6 Prior to issuance of each building permit, the Applicant shall pay the Salt Creek Development Impact Fee at the rate in effect at the time of building permit issuance and corresponding to the sewer basin that the building will permanently sewer to, unless stated otherwise in a development agreement that has been approved by the City Council. Otay Ranch University Villages Project Final EIR 146 2014-12-02 Agenda Packet Page 460 CEQA Findings of Fact and Statement of Overriding Considerations MM UTL-7 Prior to design review approval in accordance with the Density Transfer provision in the Village Three North and Portion of Village Four, Village Eight East and Village Ten SPA Plans, the Applicant shall provide an update to the Overview of Sewer Service for Otay Ranch University Villages (Dexter Wilson 2014c) with each proposed project requesting a density transfer. The technical study shall demonstrate to the satisfaction of the City Engineer that adequate on-site wastewater infrastructure will be available to support the transfer. The transfer of residential density shall be limited by the ability of the on-site sewerage facilities to accommodate flows. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM UTL-5 through MM UTL-7 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to new wastewater treatment facilities to a less-than-significant level. Reference EIR Section 5.13 Utilities 7.1.13 Hazards Thresholds of Significance—Accidental Release of Hazardous Materials Impacts related to hazards and risk of upset would be significant if the proposed project would: • Create a significant hazard to the public or the environment through reasonably foreseeable upset and accident conditions involving the release of hazardous materials into the environment. Impact Construction Impacts Accidental spills or unauthorized releases of hazardous materials during construction, including ground clearing, access road construction and foundation excavation could potentially result in soil contamination, which would be a potentially significant impact. Additionally, in the event that the proposed project encounters contaminated soils during grading and excavation it could Otay Ranch University Villages Project Final EIR 147 2014-12-02 Agenda Packet Page 461 CEQA Findings of Fact and Statement of Overriding Considerations result in increased health risks to construction workers, future residents, and potentially impact water quality. Explanation Accidental spills or unauthorized releases of hazardous materials during construction, including ground clearing, access road construction and foundation excavation could potentially result in soil contamination, which would be a potentially significant impact. In order to reduce this potential impact, mitigation is provided. Additionally, in some areas contaminated soils associated with former agricultural use have been identified. Soils in the project area may contain organochlorine pesticides, organophosphorous pesticides, organochlorine herbicides, and metals including arsenic. In the event that the proposed project encounters contaminated soils during grading and excavation it could result in increased health risks to construction workers, future residents, and potentially impact water quality. Mitigation MM HAZ-1 Prior to issuance of a mass grading permit for each village, the Applicant shall prepare a soils assessment to the satisfaction of the City Engineer to determine if residual pesticides, herbicides, and/or arsenic are present on site. The assessment shall be prepared by a Registered Environmental Assessor in accordance with Department of Toxic Substances Control guidance document. The assessment shall include analysis for organochlorine pesticides that include compounds such as toxaphene, dichlorodiphenyldichloroethane (DDD), dichlorodiphenyltrichloroethane (DDT), and dichlorodiphenyldichloroethylene (DDE), which have been historically identified at properties in the site vicinity. The concentrations of the contaminants shall be compared to regulatory agency soil screening levels for residential land use (e.g., U.S. EPA Region IX Soil Screening Levels). If levels of contamination exceeding the soil screening levels are found on site, a Soil Reuse Plan shall be prepared prior to construction on site. The Soil Reuse Plan shall include a determination of the suitability of the soils for on-site or off-site reuse, any special handling provisions that shall be incorporated as part of the site grading activities, and the procedure for the proper remediation and disposal of the contaminated soils, either on site or off site. The results of the limited soil assessment and the Soil Reuse Plan shall be submitted to the County of San Diego Department of Environmental Health, the Development Services Director (or their designee), and/or the Regional Water Quality Control Board for review and approval,prior to implementation. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM Otay Ranch University Villages Project Final EIR 148 2014-12-02 Agenda Packet Page 462 CEQA Findings of Fact and Statement of Overriding Considerations HAZ-1 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant impacts related to accidental release of hazardous materials to a less-than-significant level. Reference EIR Section 5.15 Hazards and Risk of Upset Thresholds of Significance—Handle Hazardous Materials near School Impacts related to hazards and risk of upset would be significant if the proposed project would: • Emit hazardous emissions or handle hazardous or acutely hazardous materials, substances, or waste within one-quarter mile of an existing or proposed school. Impact Due to the proximity of the project area to schools and potential for hazardous impacts due to the Otay Landfill, FUDS-eligible property, and potentially contaminated soils, impacts to schools could be potentially significant. Explanation The proposed elementary school sites must comply with state standards and CVESD standards regarding health and safety issues, including the potential for toxins in the soil. The northern portion of Village Three near the Otay Landfill, and the Formerly Used Defense Site (FUDS)- eligible property, located in the southern portion of Village Ten, were both identified for areas of environmental concern. Additionally, in some areas contaminated soils associated with former agricultural use have been identified. Soils in the project area may contain organochlorine pesticides, organophosphorous pesticides, organochlorine herbicides, and metals including arsenic. In the event that the proposed project encounters contaminated soils during grading and excavation, it could result in increased health risks to construction workers, future residents, and potentially impact water quality. Mitigation See MM HAZ-1 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as Otay Ranch University Villages Project Final EIR 149 2014-12-02 Agenda Packet Page 463 CEQA Findings of Fact and Statement of Overriding Considerations identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM HAZ-1 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant impacts related to hazardous material use within one-quarter mile of a school to a less-than-significant level. Reference EIR Section 5.15 Hazards and Risk of Upset Thresholds of Significance—Hazardous Materials Sites Impacts related to hazards and risk of upset would be significant if the proposed project would: • Be located on a site that is included on a list of hazardous materials sites compiled pursuant to Government Code Section 65962.5 and, as a result, a significant hazard to the public or the environment is created. Impact Due to the determinations found during the risk assessment, although unlikely, the presence of munitions and explosives of concern, along with munitions debris, has the potential for harm to human health, if there is contact to still functioning munitions. Parsons recommended a remedial investigation and feasibility study with surface water and sediment sampling as the next step in ACOE's phased cleanup process. Impacts would be potentially significant and mitigation would be required. Explanation There are 153.9 acres in the southern portion of Village Ten that are within the Brown Field FUDS-eligible property boundary. These 153.9 acres are designated as part of the Otay Ranch Preserve. Although a portion of the area within the Village Ten project boundary is within the Brown Field FUDS-eligible property boundary, no Village Ten housing development is proposed in this area. However, the project proposes certain improvements within the Preserve at the outer perimeter of the Brown Field FUDS-eligible property boundary. The proposed improvements consist of: (a) construction of two water quality basins; (b) installation of an access road for maintenance of the basins; and (c) installation of the OVRP/Greenbelt trail improvements. All such improvements would be situated outside the former target boundary within the Brown Field FUDS-eligible property boundary. Total improvement areas within the Brown Field FUDS-eligible property boundary in Village Ten would equal 3.9 acres. The balance of 150 acres of FUDS-eligible property within Village Ten would remain undisturbed Preserve land and public access would be restricted. Otay Ranch University Villages Project Final EIR 150 2014-12-02 Agenda Packet Page 464 CEQA Findings of Fact and Statement of Overriding Considerations Mitigation MM HAZ-2A Prior to approval of the Village Ten Final Map, the Applicant shall retain a Unexploded Ordnance (UXO) specialist to prepare a Safety Plan for the approximately 154 acres of the Village Ten Sectional Planning Area (SPA) Plan area that is within the boundaries of the Formerly Used Defense Site (FUDS)- eligible property as defined in the Final Site Inspection Report for the Former Brown Field Bombing Range (hereinafter referred to as the Site Inspection Report) prepared by Parsons for the UD Army Corps of Engineers (ACOE) dated December 2007. The Safety Plan shall be prepared to the satisfaction of the Director of Development Services or their designee. The Safety Plan shall include, but not be limited to, the following: • Findings based on a current visual inspection of the approximately 154-acre SPA Plan area within the FUDS-eligible property including a description of evidence of current activity and uses. • A discussion on the prior use of the site and the types of munitions used, dates of use, etc. • Review of prior US Army Corps of Engineers Site Inspection Reports and historical data and summaries of those reports' conclusions. • Review of current site inspection data to determine trail access to and through the FUDS area. • A detailed characterization of the site and its risk profile, based on a combination of the reports to date, the types of munitions uses and found in the prior investigation and current site inspection. • Hazard mitigation measures, such as fencing and signage, appropriate for this site given its risk profile and planned land use in accordance with applicable Federal, State and local requirements and best practices. • As part of implementation of the Safety Plan, specifically the installation of fencing and/or signage determined to be appropriate for the site, or the dedication of any trails, the following shall be performed: o A surface visual survey (SVS) of future dedication trails within the approximately 154-acre Village Ten SPA Plan Area within the FUDS- eligible property boundaries shall be conducted. • UXO anomaly avoidance - performed by a UXO technician using a handheld detector at each point where intrusive activities will be performed for the Otay Ranch University Villages Project Final EIR 151 2014-12-02 Agenda Packet Page 465 CEQA Findings of Fact and Statement of Overriding Considerations installation of a fence/sign post. If subsurface metal is indicated at the desired installation point,the fence/sign post will be moved slightly to avoid the subsurface metal. If multiple fencing/signage teams are fielded,it is recommended that a UXO Technician accompany each team to provide UXO anomaly avoidance during intrusive activities such as fence and sign post installation. MM HAZ-2B Prior to the approval of trail improvement plans for the OVRP/Greenbelt trail (approximately 1.3 acres), or grading plans for water quality basins (approximately 1.8 acres) and any associated access roads (approximately 0.8 acre) that are within the Village Ten SPA Plan boundary and FUDS-eligible property boundaries (hereinafter referred to as the "Cleanup area"), the applicant shall develop and implement a Village Ten FUDS Cleanup Plan in cooperation with the appropriate agencies, including but not limited to the Army Corps of Engineers (ACOE) and Department of Toxic Substances Control (DTSC), as applicable. The purpose of the Village Ten FUDS Cleanup Plan is to identify and clean up any risks of munitions or other FUDS associated risks within the Cleanup area in order to render the area suitable for the intended uses. The Village Ten FUDS Cleanup Plan shall include a risk assessment that identifies the nature and extent of munitions, explosives, munitions debris or other FUDS associated risks within the Cleanup area. Enough data shall be gathered to assess the threat to human health, safety and the environment, as well as to support the detailed cleanup program for any portion of the site anticipated to be impacted by grading activity, signage and fence installation, future trail users and/or future maintenance activities for the basins. The Village Ten FUDS Cleanup Plan shall be developed in cooperation with the appropriate agencies and shall be implemented by a qualified UXO specialist prior to issuance of the grading permit for the Cleanup area. Upon completion of the Cleanup Plan, and prior to issuance of construction permits for construction within the Cleanup area, the Applicant shall provide verification by the appropriate agency that the site is suitable for the intended uses to the satisfaction of the Development Services Director(or their designee). Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM Otay Ranch University Villages Project Final EIR 152 2014-12-02 Agenda Packet Page 466 CEQA Findings of Fact and Statement of Overriding Considerations HAZ-2A and MM HAZ-2B are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to development within the FUDS-eligible property boundary in Village Ten to a less-than-significant level. Reference EIR Section 5.15 Hazards and Risk of Upset Thresholds of Significance—Public or Private Airports Impacts related to hazards and risk of upset would be significant if the proposed project: • Is located within an airport land use plan or, where such a plan has not been adopted, within two miles of a public airport or public use airport and would result in a safety hazard for people residing or working in the project area. Impact Prior to compliance with FAA specifications, the proposed project would result in a potentially significant impact associated with airport hazards. Explanation The nearest airport to the project area is the Brown Field Municipal Airport, which is located approximately three miles south of the project area. The proposed project is located within the Brown Field Airport FAA height notification boundary (FAR Part 77). FAR Part 77 is issued by the FAA and establishes the standards which govern the height of objects on and around an airport. If the project results in development that would obstruct the flight approach paths for Brown Field, a potentially significant safety hazards from flight operations at Brown Field would occur. Mitigation MM HAZ-3 Prior to issuance of a building permit for the first structure and/or dwelling unit within the Airport Influence Area of Brown Field, the Applicant shall prepare and file a Form 7460-1, Notice of Proposed Construction or Alteration, with the Federal Aviation Administration to ensure that no objects related to development would present a hazard to air navigation. MM HAZ-4 Prior to the issuance of a building permit for the first structure and/or dwelling unit within the Airport Influence Area of Brown Field, the Applicant shall Otay Ranch University Villages Project Final EIR 153 2014-12-02 Agenda Packet Page 467 CEQA Findings of Fact and Statement of Overriding Considerations obtain and provide proof of Federal Aviation Administration clearance to the satisfaction of the Development Services Director (or their designee). MM HAZ-5 Prior to approval of the first Final Map for those areas within the overflight notification area for Brown Field, the Applicant shall record the Airport Overflight Agreement with the County Recorder's office, and provide a signed copy of the recorded Airport Overflight Agreement to the City's Development Service Director (or their designee). Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measures MM HAZ-3 through MM HAZ-5 are feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of these mitigation measures will reduce significant impacts related to proximity to a public airport to a less-than-significant level. Reference EIR Section 5.15 Hazards and Risk of Upset Thresholds of Significance—Historic use of Pesticides According to the Otay Ranch GDP Program EIR, impacts to public health and safety would be significant if: • The historic use of pesticides would result in soil contamination and health effects. Impact In the event that the proposed project encounters contaminated soils during grading and excavation, it could result in increased health risks to construction workers, future residents, and potentially impact water quality. Explanation According to the Phase I ESA, flatter areas of the project area were cultivated for agricultural use (primarily dry farmed grain crops) from at least 1928 through 2007. The site history is similar to the history of other Otay Ranch villages which have undergone assessment for organochlorine pesticides, organophosphorous pesticides, organochlorine herbicides, and metals including arsenic and lead associated with former agricultural use. In some areas these analytes have been Otay Ranch University Villages Project Final EIR 154 2014-12-02 Agenda Packet Page 468 CEQA Findings of Fact and Statement of Overriding Considerations detected in soil samples above their respective EPA Region IX Preliminary Remediation Goals for residential use. In the event the proposed project encounters contaminated soils during grading and excavation, it could result in increased health risks to construction workers, future residents, and potentially impact water quality. Remediation may be required that would involve the removal of top soil and disposing of it. Considering the potential consequences of encountering contaminated soils, impacts would be potentially significant. Mitigation See MM HAZ-1 identified above. Finding Pursuant to Section 15091(a)(1) of the CEQA Guidelines, changes or alterations are required in, or incorporated into, the project that will substantially lessen or avoid the significant effect as identified in the Final EIR to a level of insignificance. Specifically, mitigation measure MM HAZ-1 is feasible and shall be required as a condition of approval and made binding on the applicant. Implementation of this mitigation measure will reduce significant impacts related to the historic use of pesticides to a less-than-significant level. Reference EIR Section 5.15 Hazards and Risk of Upset 7.2 Significant and Unavoidable Impacts 7.2.1 Landform Alteration/Aesthetics Thresholds of Significance—Visual Character or Quality Impacts regarding aesthetics and landform alteration would be significant if the project would: • Substantially degrade the existing visual character or quality of the site and its surroundings. Impact—Direct and Cumulative The project would permanently alter the character of the project site from open, rolling topography to urban development.This impact would be potentially significant prior to mitigation. Explanation The development of the site would change the undeveloped, open and natural character of the on-site rolling hills to one of low to high density residential uses, industrial/office complexes, Otay Ranch University Villages Project Final EIR 155 2014-12-02 Agenda Packet Page 469 CEQA Findings of Fact and Statement of Overriding Considerations passive and active park and recreation areas, and public facilities. Vegetation removal, grading and construction of Village Three North and a Portion of Village Four, Village Eight East, and Village Ten would transform the rolling, coastal sage scrub and grassland covered terrain of the project area into an urban environment supporting residential development, industrial and commercial uses, and roadways. Mitigation While mitigation measure AES-1 would reduce this impact, no additional feasible mitigation measures exist for the above identified impacts to visual character or quality that would reduce the impact to below significance. Finding There are no feasible mitigation measures to maintain the undeveloped character of the site to reduce this impact to below a level of significance. The project is required to prepare a Landscape Master Plan that will include a robust vegetation program to soften the aesthetic and visual impacts resulting from development of the site. The landscape palette in the Landscape Master Plan will be based on water capacity and supply available to the site. The Landscape Master Plan will not be able to be feasibly enhanced to any substantial degree without resulting in adverse impacts to the project's operational water capacity, as well as to global climate change due to increased energy usage for additional water supply, conveyance, treatment, and distribution related to the need for additional irrigation. Further, none of the project alternatives would reduce this impact compared to the proposed project, with the exception of the No Project Alternative in which this impact would be avoided. Pursuant Section 15091(a)(3) of the CEQA Guidelines, specific economic, legal, social, technological, or other considerations make this project alternative infeasible. Because there are no feasible mitigation measures within the control of the City at this time to reduce impacts to the visual character or quality of the area to below a level of significance, impacts would remain significant and unmitigated. Adoption of a Statement of Overriding Considerations will be required should the decision makers choose to approve the project. Reference EIR Section 5.2 Landform Alteration/Aesthetics Otay Ranch University Villages Project Final EIR 156 2014-12-02 Agenda Packet Page 470 CEQA Findings of Fact and Statement of Overriding Considerations 7.2.2 Transportation, Circulation, and Access Thresholds of Significance - Conflict with Applicable Plan, Ordinance, or Policy Impacts to traffic, circulation, and access would be considered significant if the proposed project would: • Conflict with an applicable plan, ordinance or policy establishing measures of effectiveness for the performance of the circulation system, taking into account all modes of transportation including mass transit and non-motorized travel and relevant components of the circulation system, including but not limited to intersections, streets, highways and freeways, pedestrian and bicycle paths, and mass transit. Year 2020 Conditions Impact—Intersections • I-805 SB Ramps / Olympic Parkway (Cumulative) Explanation • I-805 SB Ramps / Olympic Parkway — LOS E during the AM peak hour and LOS F during the PM peak hour. The 2020 project traffic would comprise approximately 6.5% and 7.2% of the total intersection-entering volume in the AM and PM peak hours, respectively. Since the project contribution is more than 5%, the project would result in a direct impact at this intersection. Mitigation To mitigate the remaining cumulative impact, construction of an additional left-turn lane at the I- 805 southbound off-ramp, as well as a third through lane along the Olympic Parkway eastbound approach, would be required. However, this mitigation is infeasible. Finding To mitigate the remaining cumulative impact, construction of an additional left-turn lane at the I- 805 southbound off-ramp, as well as a third through lane along the Olympic Parkway eastbound approach, would be required. These improvements would require widening of Orange Avenue / Olympic Parkway; however, there are right-of-way constraints that would make such improvements infeasible (an engineering right-of-way assessment was conducted and is included in EIR Appendix M). The right-of-way constraints which make widening infeasible are due to existing structures located north and south of Orange Avenue, as well as retaining walls Otay Ranch University Villages Project Final EIR 157 2014-12-02 Agenda Packet Page 471 CEQA Findings of Fact and Statement of Overriding Considerations supporting the structures. Any additional widening would require right-of-way acquisition from private property owners or condemnation of existing occupied homes and some operational business. In addition to the proximity of existing residences, another limiting factor is the fixed width of the bridge over I-805. Any widening of Orange Avenue would require a corresponding widening of the bridge over I-805 and there is no plan or program in place into which the Project Applicant could pay its fair share toward the cost of such improvements. Furthermore, since the freeway system is developed and managed exclusively by Caltrans, the City has only limited ability to affect the level of congestion on these roadways, as such, mitigation is not within the authority of the City of Chula Vista sufficient to avoid the cumulative contribution to traffic on these roadways. There are no other feasible physical improvements that would reduce the remaining cumulative impact to less than significant. Therefore, the impact at the intersection of I-805 SB Ramps / Olympic Parkway (CV) will remain significant and unavoidable at this location. Because there are no feasible mitigation measures within the control of the City at this time to reduce impacts to I-805 SB Ramps / Olympic Parkway to below a level of significance, impacts would remain significant and unmitigated. Adoption of a Statement of Overriding Considerations will be required should the decision makers choose to approve the project. Reference EIR Section 5.3 Transportation, Circulation, and Access Impact - Roadways • Orange Avenue,between Melrose Avenue and I-805 SB Ramps (cumulative) Explanation • Orange Avenue,between Melrose Avenue and I-805 SB Ramps (LOS D) —The proposed 2020 project traffic would comprise approximately 0.9% (less than 5%) of the total segment volume and would add 300 ADT (less than 800 ADT). However, one of the intersections (I-805 SB Ramps / Olympic Parkway) along this segment would operate at substandard LOS E/F during the AM/PM peak hours. Therefore, the project traffic would result in a significant cumulative impact at this location. Mitigation The improvement necessary to mitigate the significant cumulative impact on Orange Avenue between Melrose Avenue and I-805 SB Ramps is to widen this segment from 4 lanes to 6 lanes. However,this mitigation is infeasible. Otay Ranch University Villages Project Final EIR 158 2014-12-02 Agenda Packet Page 472 CEQA Findings of Fact and Statement of Overriding Considerations Finding The improvement necessary to mitigate the significant cumulative impact on Orange Avenue between Melrose Avenue and I-805 SB Ramps is to widen this segment from 4 lanes to 6 lanes. However, there are right-of-way constraints that would make such widening infeasible (an engineering right-of-way assessment was conducted and is included in EIR Appendix M). The right-of-way constraints which make widening infeasible are due to existing structures located north and south of Orange Avenue, as well as retaining walls supporting the structures. Any additional widening would require right-of-way acquisition from private property owners or condemnation of existing occupied homes and some operational business. In addition to the proximity of existing residences, another limiting factor is the fixed width of the bridge over I-805. Any widening of Orange Avenue would require a corresponding widening of the bridge over I-805 and there is no plan or program in place into which the Project Applicant could pay its fair share toward the cost of such improvements. Furthermore, since the freeway system is developed and managed exclusively by Caltrans, the City has only limited ability to affect the level of congestion on these roadways, as such, mitigation is not within the authority of the City of Chula Vista sufficient to avoid the cumulative contribution to traffic on these roadways. There are no other feasible physical improvements that would reduce the remaining cumulative impact to less than significant. Therefore, the impact will remain cumulatively significant and unavoidable at this location. Because there are no feasible mitigation measures within the control of the City at this time to reduce impacts to Orange Avenue, between Melrose Avenue and I-805 SB Ramps to below a level of significance, impacts would remain significant and unmitigated. Adoption of a Statement of Overriding Considerations will be required should the decision makers choose to approve the project. Reference EIR Section 5.3 Transportation, Circulation, and Access Impact—Freeways/ State Hi was The following two freeway / state highway segments would be cumulatively impacted by the proposed project in the Year 2020. • I-805, from Market Street to Imperial Avenue • I-805, from Imperial Avenue to E. Division Street Otay Ranch University Villages Project Final EIR 159 2014-12-02 Agenda Packet Page 473 CEQA Findings of Fact and Statement of Overriding Considerations Explanation • I-805, from Market Street to Imperial Avenue (LOS F) — The proposed project would comprise 1.0% (less than 5%) of the total freeway segment volume and, therefore, project traffic would not result in a significant direct impact. However, because the segment would operate at LOS F, the addition of trips generated by the proposed project would result in a significant cumulative impact to this segment. • I-805, from Imperial Avenue to E Division Street (LOS E) —The proposed project would comprise 1.1% (less than 5%) of the total freeway segment volume and, therefore,project traffic would not result in a significant direct impact. However, because the segment would operate at LOS E, the addition of trips generated by the proposed project would result in a significant cumulative impact to this segment. Mitigation Mitigation to reduce the identified significant cumulative impacts to the above two freeway / state highway segments is infeasible. Finding As explained previously, previously planned Phase 2 of the I-805 South Project included buildout of the HOV lanes constructed as part of Phase 1 into Express lanes for a total of four lanes, two in each direction. Phase 2 also would have included the addition of in-line transit stations and freeway-to-freeway direct connectors. With the previously planned Phase 2 improvements in place, impacts to freeways/state highways would be less than significant. However, also as explained previously, SANDAG has determined not to proceed with Phase 2 of the I-805 South Project because SANDAG's Addendum showed that the reduction in tolls on SR-125 will result in a shift of traffic from I-805 to SR-125 and, as such, freeway operations on both facilities would remain acceptable without implementation of Phase 2. (See EIR Appendix M (TIA), Appendix K.) Nonetheless, the Project traffic model did not account for the shift of traffic from I-805 to SR-125, so it continues to reflect a significant impact at the above two I-805 segments; that is, the analysis utilized the traffic model volumes (with four HOV lanes) with a reduced capacity (two HOV lanes). Because neither Caltrans nor SANDAG will construct Phase 2 of the I-805 South Project, and because there is no longer any plan or program in place to construct the Phase 2 improvements, which would be within the exclusive jurisdiction of Caltrans, mitigation is infeasible and the model-identified impacts are determined to be significant and unavoidable. However, as noted above, SANDAG has determined that freeway operations on both the I-805 and SR-125 facilities would remain acceptable without implementation of Phase 2 of the I-805 South Project. Otay Ranch University Villages Project Final EIR 160 2014-12-02 Agenda Packet Page 474 CEQA Findings of Fact and Statement of Overriding Considerations Because there are no feasible mitigation measures within the control of the City at this time to reduce impacts to freeways/State Highways to below a level of significance, impacts would remain significant and unmitigated. Adoption of a Statement of Overriding Considerations will be required should the decision makers choose to approve the project. Reference EIR Section 5.3 Transportation, Circulation, and Access Year 2025 Conditions Impact—Intersections Under Year 2025 conditions, the proposed project would have significant cumulative impact at the following study area intersection in the City of Chula Vista: • I-805 SB Ramps / Olympic Parkway (Cumulative) Explanation • I-805 SB Ramps / Olympic Parkway—LOS F during the PM peak hour. The 2025 project traffic would comprise approximately 2.9% and 3.3% of the total intersection-entering volume in the AM and PM peak hours, respectively. Since the project contribution is less than 5% but the resulting LOS is F, the project would result in a significant cumulative impact at this intersection. Mitigation The improvement necessary to mitigate the significant cumulative impact at the intersection of I-805 SB Ramps and Olympic Parkway is to construct an additional left-turn lane at the I- 805 southbound off-ramp, as well as a third through lane along the Olympic Parkway eastbound approach. Finding The improvement necessary to mitigate the significant cumulative impact at the intersection of I-805 SB Ramps and Olympic Parkway is to construct an additional left-turn lane at the I-805 southbound off-ramp, as well as a third through lane along the Olympic Parkway eastbound approach. However, there are right-of-way constraints that would make the recommended widening infeasible (an engineering right-of-way assessment was conducted and is included in EIR Appendix M). Any additional widening would require right-of-way acquisition from private property owners or condemnation of existing occupied homes and some operational Otay Ranch University Villages Project Final EIR 161 2014-12-02 Agenda Packet Page 475 CEQA Findings of Fact and Statement of Overriding Considerations businesses. In addition, there is no plan or program in place into which the Project Applicant could pay its fair share toward the cost of such improvements. Therefore, impacts related to the I-805 interchange at Olympic parkway are infeasible due to specific constraints. Furthermore, since the freeway system is developed and managed exclusively by Caltrans, the City has only limited ability to affect the level of congestion on these roadways, as such, mitigation is not within the authority of the City of Chula Vista sufficient to avoid the cumulative contribution to traffic on these roadways. There are no other feasible physical improvements that would reduce the remaining cumulative impact to less than significant. Therefore, mitigation is infeasible and the impact at this location will remain cumulatively significant and unavoidable at this location. Because there are no feasible mitigation measures within the control of the City at this time to reduce impacts to I-805 SB Ramps/Olympic Parkway intersection to below a level of significance, impacts would remain significant and unmitigated. Adoption of a Statement of Overriding Considerations will be required should the decision makers choose to approve the project. Reference EIR Section 5.3 Transportation, Circulation, and Access Impact—Roadway Segments The following roadway segments in the City of Chula Vista would be significantly impacted by the proposed project traffic under the Year 2025 conditions: • Orange Avenue between Melrose Avenue and I-805 SB Ramps (Cumulative) Explanation • Orange Avenue,between Melrose Avenue and I-805 SB Ramps (LOS D) —The proposed 2025 project traffic would comprise approximately 1.2% (less than 5%) of the total segment volume and would add 400 ADT (less than 800 ADT). However, one of the intersections (I-805 SB Ramps / Olympic Parkway) along this segment would operate at LOS F during the PM peak hour. Therefore, the project traffic would result in a significant cumulative impact at this location. Mitigation The improvement necessary to mitigate the significant cumulative impact on Orange Avenue between Melrose Avenue and I-805 SB Ramps is to widen this segment from 4 lanes to 6 lanes. Otay Ranch University Villages Project Final EIR 162 2014-12-02 Agenda Packet Page 476 CEQA Findings of Fact and Statement of Overriding Considerations Finding The improvement necessary to mitigate the significant cumulative impact on Orange Avenue between Melrose Avenue and I-805 SB Ramps is to widen this segment from 4 lanes to 6 lanes. However, as previously noted, there are right-of-way constraints that would make such widening infeasible (an engineering right-of-way assessment was conducted and is included in EIR Appendix M). The right-of-way constraints which make widening infeasible are due to existing structures located north and south of Orange Avenue, as well as retaining walls supporting the structures. Any additional widening would require right-of-way acquisition from private property owners or condemnation of existing occupied homes and some operational businesses. In addition to the proximity of existing residences, another limiting factor is the fixed width of the bridge over I-805. Any widening of Orange Avenue would require a corresponding widening of the bridge over I-805 and there is no plan or program in place into which the Project Applicant could pay its fair share toward the cost of such improvements. Furthermore, since the freeway system is developed and managed exclusively by Caltrans, the City has only limited ability to affect the level of congestion on these roadways, as such, mitigation is not within the authority of the City of Chula Vista sufficient to avoid the cumulative contribution to traffic on these roadways. There are no other feasible physical improvements that would reduce the remaining cumulative impact to less than significant. Therefore, mitigation is infeasible and the impact will remain cumulatively significant and unavoidable at this location. Because there are no feasible mitigation measures within the control of the City at this time to reduce impacts to Orange Avenue between Melrose Avenue and I-805 SB Ramps to below a level of significance, impacts would remain significant and unmitigated. Adoption of a Statement of Overriding Considerations will be required should the decision makers choose to approve the project. Reference EIR Section 5.3 Transportation, Circulation, and Access Impact—Freeways/ State Highways The following freeway / state highway segments would be cumulatively impacted by the proposed project in the Year 2025. • I-805,between SR-94 and Market Street • I-805,between Market Street and Imperial Avenue • I-805,between Imperial Avenue and E. Division Street Otay Ranch University Villages Project Final EIR 163 2014-12-02 Agenda Packet Page 477 CEQA Findings of Fact and Statement of Overriding Considerations • I-805,between Plaza Boulevard and SR-54 • I-805,between SR-54 and Bonita Road Explanation • I-805, from SR-94 to Market Street (LOS E) — The proposed project would comprise 1.6% (less than 5%) of the total freeway segment volume and, therefore, project traffic would not result in a significant direct impact. However, because the segment would operate at LOS E, the addition of trips generated by the proposed project would result in a significant cumulative impact to this segment. • I-805, from Market Street to Imperial Avenue (LOS F) — The proposed project would comprise 1.5% (less than 5%) of the total freeway segment volume and, therefore,project traffic would not result in a significant direct impact. However, because the segment would operate at LOS F, the addition of trips generated by the proposed project would result in a significant cumulative impact to this segment. • I-805, from Imperial Avenue to E Division Street (LOS F) — The proposed project would comprise 1.4% (less than 5%) of the total freeway segment volume and, therefore,project traffic would not result in a significant direct impact. However, because the segment would operate at LOS F, the addition of trips generated by the proposed project would result in a significant cumulative impact to this segment. • I-805, from Plaza Boulevard to SR-54 (LOS E) — The proposed project would comprise 1.8% (less than 5%) of the total freeway segment volume and, therefore, project traffic would not result in a significant direct impact. However, because the segment would operate at LOS E, the addition of trips generated by the proposed project would result in a significant cumulative impact to this segment. • I-805, from SR-54 to Bonita Road (LOS E) —The proposed project would comprise 0.7% (less than 5%) of the total freeway segment volume and, therefore, project traffic would not result in a significant direct impact. However, because the segment would operate at LOS E, the addition of trips generated by the proposed project would result in a significant cumulative impact to this segment. Mitigation Mitigation to reduce the identified significant cumulative impacts to the above freeway / state highway segments is infeasible. Otay Ranch University Villages Project Final EIR 164 2014-12-02 Agenda Packet Page 478 CEQA Findings of Fact and Statement of Overriding Considerations Finding Previously planned Phase 2 of the I-805 South Project included buildout of the HOV lanes constructed as part of Phase 1 into Express lanes for a total of four lanes, two in each direction. Phase 2 also would have included the addition of in-line transit stations and freeway-to-freeway direct connectors. With the previously planned Phase 2 improvements in place, impacts to freeways/state highways would be less than significant. However, also as explained above, SANDAG has determined not to proceed with Phase 2 of the I-805 South Project because SANDAG's Addendum (State of California Clearinghouse 92002071059) showed that the reduction in tolls on SR-125 will result in a shift of traffic from I- 805 to SR-125 and, as such, freeway operations on both facilities would remain acceptable without implementation of Phase 2. (See EIR Appendix M (TIA),Appendix K.)Nonetheless, the Project traffic model did not account for the shift of traffic from I-805 to SR-125, so it continues to reflect a significant impact at the above five I-805 segments; that is, the analysis utilized the traffic model volumes (with four HOV lanes)with a reduced capacity (two HOV lanes). Because neither Caltrans nor SANDAG will construct Phase 2 of the I-805 South Project, and because there is no longer any plan or program in place to construct the Phase 2 improvements, which would be within the exclusive jurisdiction of Caltrans, mitigation is infeasible and the model- identified impacts are determined to be significant and unavoidable. However, as noted above, SANDAG has determined that freeway operations on both the I-805 and SR-125 facilities would remain acceptable without implementation of Phase 2 of the I-805 South Project. Because there are no feasible mitigation measures within the control of the City at this time to reduce impacts to freeways/State Highways to below a level of significance, impacts would remain significant and unmitigated. Adoption of a Statement of Overriding Considerations will be required should the decision makers choose to approve the project. Reference EIR Section 5.3 Transportation, Circulation, and Access Year 2030 Conditions Impact—Intersections The proposed project would have a significant cumulative impact at the following study area intersection in the City of Chula Vista: • I-805 SB Ramps/ Olympic Parkway (cumulative) Otay Ranch University Villages Project Final EIR 165 2014-12-02 Agenda Packet Page 479 CEQA Findings of Fact and Statement of Overriding Considerations Explanation • I-805 SB Ramps / Olympic Parkway — LOS F during the PM peak hour. The buildout project traffic would comprise approximately 1.2% and 1.1% of the total intersection entering volume in the AM and PM peak hours, respectively. Since the project contribution is less than 5% but the resulting LOS is F, the project would result in a significant cumulative impact at this intersection. Mitigation The improvement necessary to mitigate the identified significant cumulative impact at the I-805 SB Ramps / Olympic Parkway intersection is to construct an additional left-turn lane at the I-805 southbound off-ramp, as well as a third through lane along the Olympic Parkway eastbound approach prior to issuance of building permits. Finding The improvement necessary to mitigate the identified significant cumulative impact at the I-805 SB Ramps / Olympic Parkway intersection is to construct an additional left-turn lane at the I-805 southbound off-ramp, as well as a third through lane along the Olympic Parkway eastbound approach prior to issuance of building permits. However, there are right-of-way constraints that would make such widening infeasible (an engineering right-of-way assessment was conducted and is included in EIR Appendix M). Any additional widening would require right-of-way acquisition from private property owners or condemnation of existing occupied homes and some operational businesses. In addition, there is no plan or program in place into which the Project Applicant could pay its fair share toward the cost of such improvements. Therefore, impacts related to the I-805 interchange at Olympic parkway are infeasible due to specific constraints. Furthermore, since the freeway system is developed and managed exclusively by Caltrans, the City has only limited ability to affect the level of congestion on these roadways, as such, mitigation is not within the authority of the City of Chula Vista sufficient to avoid the cumulative contribution to traffic on these roadways. There are no other feasible physical improvements that would reduce the identified cumulative impact to less than significant. Therefore, mitigation is infeasible and the impact will remain cumulatively significant and unavoidable at this location. Because there are no feasible mitigation measures within the control of the City at this time to reduce impacts to I-805 SB Ramps / Olympic Parkway intersection to below a level of significance, impacts would remain significant and unmitigated. Adoption of a Statement of Overriding Considerations will be required should the decision makers choose to approve the project. Otay Ranch University Villages Project Final EIR 166 2014-12-02 Agenda Packet Page 480 CEQA Findings of Fact and Statement of Overriding Considerations Reference EIR Section 5.3 Transportation, Circulation, and Access Impact—Roadway Segments The following roadway segment in the City of Chula Vista would be significantly cumulatively impacted by the proposed project traffic under the Year 2030 conditions: • Orange Avenue between Melrose Avenue and I-805 SB Ramps (Cumulative) Explanation • As to the City of Chula Vista, while project buildout traffic would comprise only approximately 0.8% of the total segment volume and less than 300 ADT on the segment of Orange Avenue between Melrose and the I-805 SB Ramps, the intersection along this segment (I-805 SB Ramps / Olympic Parkway) would operate at LOS F during the PM peak hour. Therefore, project traffic would result in a significant cumulative impact at this location. Mitigation The recommended improvements to Orange Avenue between Melrose Avenue and I-805 SB Ramps would require widening Orange Avenue / Olympic Parkway; however, as previously noted, there are right-of-way constraints that would make such widening infeasible (an engineering right-of-way assessment was conducted and is included in EIR Appendix M). Finding The improvement necessary to mitigate the identified significant cumulative impact on Orange Avenue, between Melrose Avenue and I-805 SB Ramps is to widen Orange Avenue between Melrose Avenue and the I-805 SB Ramps from four lanes to six lanes (Major Road). However, there are right-of-way constraints that would make such widening infeasible (an engineering right-of-way assessment was conducted and is included in EIR Appendix M). The right-of-way constraints which make widening infeasible are due to existing structures located north and south of Orange Avenue, as well as retaining walls supporting the structures. Any additional widening would require right-of-way acquisition from private property owners or condemnation of existing occupied homes and some operational businesses. In addition to the proximity of existing residences, another limiting factor is the fixed width of the bridge over I-805. Any widening of Orange Avenue would require a corresponding widening of the bridge over I-805 Otay Ranch University Villages Project Final EIR 167 2014-12-02 Agenda Packet Page 481 CEQA Findings of Fact and Statement of Overriding Considerations and there is no plan or program in place into which the Project Applicant could pay its fair share toward the cost of such improvements. Furthermore, since the freeway system is developed and managed exclusively by Caltrans, the City has only limited ability to affect the level of congestion on these roadways, as such, mitigation is not within the authority of the City of Chula Vista sufficient to avoid the cumulative contribution to traffic on these roadways. There are no other feasible physical improvements that would reduce the identified cumulative impact to less than significant. Therefore, mitigation is infeasible and the impact will remain cumulatively significant and unavoidable at this location. Because there are no feasible mitigation measures within the control of the City at this time to reduce impacts to Orange Avenue between Melrose Avenue and I-805 SB Ramps to below a level of significance, impacts would remain significant and unmitigated. Adoption of a Statement of Overriding Considerations will be required should the decision makers choose to approve the project. Reference EIR Section 5.3 Transportation, Circulation, and Access Impact—Freeways/State Highways The following freeway / state highway segments would be cumulatively impacted by the proposed project in the Year 2030. • I-805, from SR-94 to Market Street • I-805, from Market Street to Imperial Avenue • I-805, from Imperial Avenue to E Division Street • I-805, from Plaza Boulevard to SR-54 • I-805 from SR-54 to Bonita Road • I-805, from Bonita Road to East H Street • I-805, from East H Street to Telegraph Canyon Road • SR-905 from I-805 to Caliente Avenue • SR-905 from Caliente Avenue to Heritage Road • SR-905 from Heritage Road to Britannia Boulevard • SR-905 from Britannia Boulevard to La Media Road Otay Ranch University Villages Project Final EIR 168 2014-12-02 Agenda Packet Page 482 CEQA Findings of Fact and Statement of Overriding Considerations Explanation • I-805, from SR-94 to Market Street (LOS F) — The proposed project would comprise 0.8% (less than 5%) of the total freeway segment volume; therefore, project traffic would not result in a significant direct impact. However, because the segment would operate at LOS F, the addition of trips generated by the proposed project would result in a significant cumulative impact to this segment. • I-805, from Market Street to Imperial Avenue (LOS F) — The proposed project would comprise 0.9% (less than 5%) of the total freeway segment volume and, therefore,project traffic would not result in a significant direct impact. However, because the segment would operate at LOS F, the addition of trips generated by the proposed project would result in a significant cumulative impact to this segment. • I-805, from Imperial Avenue to E Division Street (LOS F) — The proposed project would comprise 1.0% (less than 5%) of the total freeway segment volume and, therefore,project traffic would not result in a significant direct impact. However, because the segment would operate at LOS F, the addition of trips generated by the proposed project would result in a significant cumulative impact to this segment. • I-805, from Plaza Boulevard to SR-54 (LOS F) — The proposed project would comprise 1.2% (less than 5%) of the total freeway segment volume and, therefore, project traffic would not result in a significant direct impact. However, because the segment would operate at LOS F, the addition of trips generated by the proposed project would result in a significant cumulative impact to this segment. • I-805, from SR-54 to Bonita Road (LOS F) —The proposed project would comprise 1.4% (less than 5%) of the total freeway segment volume and, therefore, project traffic would not result in a significant direct impact. However, because the segment would operate at LOS F, the addition of trips generated by the proposed project would result in a significant cumulative impact to this segment. • I-805, from Bonita Road to East H Street (LOS E) — The proposed project would comprise 1.8% (less than 5%) of the total freeway segment volume and, therefore, project traffic would not result in a significant direct impact. However, because the segment would operate at LOS E, the addition of trips generated by the proposed project would result in a significant cumulative impact to this segment. • I-805, from East H Street to Telegraph Canyon Road (LOS E) — The proposed project would comprise 1.7% (less than 5%) of the total freeway segment volume and, therefore, project traffic would not result in a significant direct impact. However, because the segment would operate at LOS E, the addition of trips generated by the proposed project would result in a significant cumulative impact to this segment. Otay Ranch University Villages Project Final EIR 169 2014-12-02 Agenda Packet Page 483 CEQA Findings of Fact and Statement of Overriding Considerations • SR-905, from I-805 to Caliente Avenue (LOS F) — The proposed buildout project would comprise 0.3% (less than 5%) of the total freeway segment volume; therefore, project traffic would not result in a significant direct impact. However, because the segment would operate at LOS F with the project, the addition of trips generated by the proposed project would result in a significant cumulative impact to this segment. • SR-905, from Caliente Avenue to Heritage Road (LOS F) — The proposed project would comprise 0.3% (less than 5%) of the total freeway segment volume; therefore, project traffic would not result in a significant direct impact. However, because the segment would operate at LOS F with the project, the addition of trips generated by the proposed project would result in a significant cumulative impact to this segment. • SR-905, from Heritage Road to Britannia Boulevard (LOS F) — The proposed project would comprise 0.6% (less than 5%) of the total freeway segment volume; therefore, project traffic would not result in a significant direct impact. However, because the segment would operate at LOS F with the project, the addition of trips generated by the proposed project would result in a significant cumulative impact to this segment. • SR-905, from Britannia Boulevard to La Media Road (LOS F) — The proposed project would comprise 0.9% (less than 5%) of the total freeway segment volume; therefore, project traffic would not result in a significant direct impact. However, because the segment would operate at LOS F with the project, the addition of trips generated by the proposed project would result in a significant cumulative impact to this segment. Mitigation Mitigation to reduce the identified significant cumulative impacts to the following freeway/ state highway segments is infeasible. Finding As explained above, previously planned Phase 2 of the I-805 South Project included buildout of the HOV lanes constructed as part of Phase I into Express lanes for a total of four lanes, two in each direction. Phase 2 also would have included the addition of in-line transit stations and freeway-to-freeway direct connectors. With the previously planned Phase 2 improvements in place, impacts to freeways/state highways would be less than significant. However, also as explained above, SANDAG has determined not to proceed with Phase 2 of the I-805 South Project because SANDAG's Addendum showed that the reduction in tolls on SR- 125 will result in a shift of traffic from I-805 to SR-125 and, as such, freeway operations on both facilities would remain acceptable without implementation of Phase 2. (See EIR Appendix M (TIA), Appendix K.)Nonetheless, the Project traffic model did not account for the shift of traffic Otay Ranch University Villages Project Final EIR 170 2014-12-02 Agenda Packet Page 484 CEQA Findings of Fact and Statement of Overriding Considerations from I-805 to SR-125, so it continues to reflect a significant impact at these I-805 segments. That is, the analysis utilized the traffic model volumes (with four HOV lanes) with a reduced capacity (two HOV lanes). Because neither Caltrans nor SANDAG will construct Phase 2 of the I-805 South Project, and because there is no longer any plan or program in place to construct the Phase 2 improvements, which would be within the exclusive jurisdiction of Caltrans, mitigation is infeasible and the model-identified impacts are determined to be significant and unavoidable. However, as noted above, SANDAG has determined that freeway operations on both the I-805 and SR-125 would remain acceptable without implementation of Phase 2. Because there are no feasible mitigation measures within the control of the City at this time to reduce impacts to freeways/State Highways to below a level of significance, impacts would remain significant and unmitigated. Adoption of a Statement of Overriding Considerations will be required should the decision makers choose to approve the project. Reference EIR Section 5.3 Transportation, Circulation, and Access 7.2.3 Air Quality Thresholds of Significance—Air Quality Plans Impacts to air quality would be significant if the proposed project would: • Conflict with or obstruct implementation of the applicable air quality plan or General Plan policies. Impacts The proposed project would result in an increase in land use intensity and associated increase in vehicle trips that have not been anticipated in the applicable air quality plans. Therefore, the proposed project would not be consistent with the State Implementation Plan (SIP) and Regional Air Quality Strategy (RAQS), and impacts would be significant and unavoidable. Explanation The air quality plans relevant to this discussion are the SIP and RAQS.8 The SIP includes a demonstration that current strategies and tactics will maintain acceptable air quality in the San 8 For the purpose of this discussion,the relevant federal air quality plan is the ozone maintenance plan(SDAPCD 2012a). The RAQS is the applicable plan for purposes of state air quality planning. Both plans reflect growth projections in the San Diego Air Basin(SDAB). Otay Ranch University Villages Project Final EIR 171 2014-12-02 Agenda Packet Page 485 CEQA Findings of Fact and Statement of Overriding Considerations Diego Air Basin(SDAB)based on the National Ambient Air Quality Standards (NAAQS), while the RAQS includes strategies for the SDAB to meet the California Ambient Air Quality Standards (CAAQS). Consistency with the SIP and RAQS is assessed via two lines of inquiry: (1) whether the proposed project exceeds the growth assumptions contained in the SIP and RAQS; and, (2) if the growth assumptions are exceeded, whether the proposed project (a) increases the frequency or severity of existing air quality violations, contributes to new violations, or delays the timely attainment of air quality standards or interim reductions, as specified in the RAQS, or(b)results in failure to maintain attainment under the SIP. Project-related emissions of VOCs (construction and operation), NOX (construction and operation), CO (operation), PMIo (construction and operation), and PM2.5 (construction and operation) would be significant, and thereby may lead to air quality violations. Because the proposed project exceeds the growth projections in the SIP and RAQS and would exceed the significance thresholds for certain criteria air pollutants during construction and operation, the proposed project may conflict with or obstruct implementation of applicable air quality plans. Mitigation Due to the absence of additional feasible mitigation measures, the proposed project would remain inconsistent. Finding The increase in land use intensity and associated increase in vehicle trips as a result of the proposed project has not been anticipated in local air quality plans; therefore, the proposed project would be inconsistent at a regional level with the underlying growth forecasts in the RAQS. Because the proposed project exceeds the growth projections in the SIP and RAQS and would exceed the significance thresholds for certain criteria air pollutants during construction and operation, the proposed project may conflict with or obstruct implementation of applicable air quality plans. Mitigation measures identified above in Section 7.1.4 would reduce impacts to air quality, however they would not reduce impacts to below a level of significance. No other feasible mitigation measures exist based on best available control technologies or best management practices that would reduce this impact to air quality to below a level of significance or substantially lessen the impact. Because there are no additional feasible mitigation measures within the control of the City at this time to reduce this impact to air quality to below a level of significance or substantially lessen the impact, the impact would remain significant and unmitigated. Adoption of a Statement of Overriding Considerations will be required should the decision makers choose to approve the project. Otay Ranch University Villages Project Final EIR 172 2014-12-02 Agenda Packet Page 486 CEQA Findings of Fact and Statement of Overriding Considerations Reference EIR Section 5.4 Air Quality Thresholds of Significance—Air Quality Violations Impacts to air quality would be significant if the proposed project would: • Violate any air quality standard or contribute substantially to an existing or projected air quality violation. Impacts The emissions of (1) VOC, (2) NO, and (3) PMIo, and PM2_5 would exceed the applicable significance threshold levels during construction. Accordingly, generation of these criteria pollutant emissions when combined with other cumulative projects, particularly those occurring simultaneously during various construction periods of the proposed project, would result in a temporary significant cumulative impact to air quality. As such, the project's contribution to cumulative construction emissions would be significant and unavoidable. Operation of the proposed project would result in a cumulatively considerable contribution to regional 03, PM10, and PM2_5 concentrations. Impacts would be significant and unavoidable. Explanation The emissions of VOC, NO, PM10, and PM2_5 would exceed the applicable significance threshold levels during construction. Emissions of PM10, PM2_5,NO, and/or VOCs generated during project construction would be localized to the proposed project site. Additionally, the proposed project would be required to comply with SDAPCD Rule 55. However, PM10 emissions would exceed the threshold. The VOC and NOX emissions from the proposed project would exceed the significance threshold, and project design features included as part of the project would not substantially reduce those emissions from the proposed project. Accordingly, generation of these criteria pollutant emissions when combined with other cumulative projects, particularly those occurring simultaneously during various construction periods of the proposed project, would result in a temporary significant cumulative impact to air quality. This increase in land use intensity and associated increase in vehicle trips has not been anticipated in local air quality plans; therefore, the proposed project would be inconsistent at a regional level with the underlying growth forecasts in the RAQS. Furthermore, the emissions VOCs and NOX (precursors of 03), as well as those of PM10 and PM2_5,would exceed operational significance thresholds. The health effects attributed to criteria air pollutants emitted by any Otay Ranch University Villages Project Final EIR 173 2014-12-02 Agenda Packet Page 487 CEQA Findings of Fact and Statement of Overriding Considerations singular project, however, cannot be accurately predicted at this time because of the numerous variables that influence public health (e.g., background air pollutant concentrations, meteorology and weather patterns, diet, preexisting conditions, genetic predispositions, and personal habits such as smoking). Nonetheless, operation of the proposed project would result in a cumulatively considerable contribution to regional 03, PM10, and PM2.5 concentrations. Impacts would be significant and unavoidable. Mitigation MM AQ-1 Prior to approval of any grading permits, the Project Applicant or its designee shall place the following on all grading plans to the satisfaction of the Development Services Director and City Engineer, and these requirements shall be implemented during grading of each phase of the project to minimize NOX emissions: • Minimize simultaneous operation of multiple construction equipment units. During construction, vehicles in loading and unloading queues shall turn their engines off when not in use to reduce vehicle emissions; • All construction equipment shall be outfitted with best available control technology (BACT) devices certified by CARB. A copy of each unit's BACT documentation shall be provided at the time of mobilization of each applicable unit of equipment; • All construction equipment shall be properly tuned and maintained in accordance with manufacturer's specifications; • All diesel-fueled, on-road construction vehicles shall meet the emission standards applicable to the most current year to the greatest extent possible. To achieve this standard, new vehicles shall be used, or older vehicles shall use post-combustion controls that reduce pollutant emissions to the greatest extent feasible; • The effectiveness of the latest diesel emission controls is highly dependent on the sulfur content of the fuel. Therefore, diesel fuel used by on- and off-road construction equipment shall be low sulfur (less than 15 ppm) or other alternative, low-polluting diesel fuel formulation; • The use of electrical construction equipment shall be employed where feasible; • The use of catalytic reduction for gasoline-powered equipment shall be employed where feasible; • The use of injection timing retard for diesel-powered equipment shall be employed where feasible. Otay Ranch University Villages Project Final EIR 174 2014-12-02 Agenda Packet Page 488 CEQA Findings of Fact and Statement of Overriding Considerations MM AQ-2 Prior to approval of any grading permits, the Project Applicant or its designee shall place the following Standard Construction Best Management Practices (BMPs) on all grading plans to the satisfaction of the Development Services Director and City Engineer and shall implement these BMPs during project construction to minimize PM10 and PM2_5 emissions, including: • Water, or utilize another acceptable SDAPCD dust control agent on, the grading areas at least twice daily to minimize fugitive dust; • Stabilize grading areas as quickly as possible to minimize fugitive dust; • Apply chemical stabilizer or pave the last 100 feet of internal travel path within the construction site prior to public road entry; • Install wheel washers adjacent to a paved apron prior to vehicle entry on public roads; • Remove any visible track-out into traveled public streets within 30 minutes of occurrence; • Wet wash the construction access point at the end of the workday if any vehicle travel on unpaved surfaces has occurred; • Provide sufficient perimeter erosion control to prevent washout of silty material onto public roads; • Cover haul trucks or maintain at least 12 inches of freeboard to reduce blow- off during hauling; • Suspend all soil disturbance and travel on unpaved surfaces if winds exceed 25 miles per hour (mph); • Cover/water on-site stockpiles of excavated material; • Enforce a 20 mph speed limit on unpaved surfaces; • Pave permanent roads as quickly as possible to minimize dust; • During construction, site grading activities within 500 feet of a school in operation shall be discontinued or all exposed surfaces shall be discontinued or all exposed surfaces shall be watered to minimize dust transport off site to the maximum degree feasible, when the wind velocity is greater than 15mph in the direction of the school; • During blasting, utilize control measures to minimize fugitive dust. Control measures may include, but are not limited to, blast enclosures, vacuum blasters, drapes,water curtains or wet blasting. Otay Ranch University Villages Project Final EIR 175 2014-12-02 Agenda Packet Page 489 CEQA Findings of Fact and Statement of Overriding Considerations Implementation of Mitigation Measure AQ-1 and AQ-2 would reduce construction-related NO, PMIo, and PM2_5 emissions generated by the proposed project. There are no feasible mitigation measures, however, to reduce construction-related VOC emissions. Even with incorporation of these mitigation measures, VOC, NO, PMIo, and PM2_5 emissions are anticipated to be above the threshold. Therefore, project construction would result in a significant and unavoidable impact at the project and cumulative levels, even with incorporation of all feasible mitigation measures. Additionally, daily operational emissions for VOCs, NO, CO, PMIo, and PM2_5 would remain significant and unavoidable at the project and cumulative levels due to the absence of feasible mitigation measures. Finding The emissions of VOC, NO, PMIo, and PM2_5 would exceed the applicable significance threshold levels during construction. Operation of the proposed project would result in a cumulatively considerable contribution to regional 03, PMIo, and PM2_5 concentrations. Significant reductions in emissions would be required to reduce emissions of the identified pollutants to less than significant, and feasible mitigation measures are not available to achieve these reductions as emissions are attributable to consumer product use and mobile emissions. No other feasible mitigation measures exist based on best available control technologies or best management practices that would reduce this impact to air quality to below a level of significance or substantially lessen the impact. Because there are no additional feasible mitigation measures within the control of the City at this time to reduce impacts to air quality to below a level of significance or substantially lessen the impact, impacts would remain significant and unmitigated. Adoption of a Statement of Overriding Considerations will be required should the decision makers choose to approve the project. Reference EIR Section 5.4 Air Quality Thresholds of Significance—Criteria Air Pollutants Impacts to air quality would be significant if the proposed project would: • Result in a cumulatively considerable net increase of any criteria pollutant for which the project region is non-attainment under an applicable federal or state ambient air quality standard (including releasing emissions which exceed quantitative thresholds for ozone precursors). Otay Ranch University Villages Project Final EIR 176 2014-12-02 Agenda Packet Page 490 CEQA Findings of Fact and Statement of Overriding Considerations Impacts The project's cumulative contribution to the net increase of criteria pollutants during construction and operation would be significant and unavoidable. Explanation The SDAB is currently classified as a nonattainment area for the NAAQS and CAAQS for 03, which is caused by contributions from 03 precursors NO,, and VOCs. The SDAB is also classified as a nonattainment area for the CAAQS for PM10 and PM2.5. Construction of cumulative projects simultaneously with the proposed project would result in a temporary addition of pollutants to the local airshed caused by soil disturbance and hauling activities, fugitive dust emissions, and combustion pollutants from on-site construction equipment, as well as from off-site trucks hauling construction materials and worker vehicular trips. Fugitive dust (PMIo and PM2_5) emissions would primarily result from site preparation activities. NO,, and CO emissions would primarily result from the use of construction equipment and motor vehicles, the latter of which would generally be dispersed over a large area where the vehicles are traveling. The closest cumulative projects to be constructed in the vicinity of the project site are Village Two located northeast of Village Three North and north of Village Four, the remaining segments of Village Four located immediately east of Village Three, Village Eight West located immediately west of Village Eight East, Village Nine located east of Village Eight East, and Planning Area-12. The construction of surrounding villages would employ similar construction practices, equipment fleets, and construction schedules as the proposed project; therefore, the potential exists for various construction phases of these projects to occur concurrently,resulting in cumulatively considerable air emissions. Regarding operational emissions, the increase in land use intensity and associated increase in vehicle trips has not been anticipated in local air quality plans; therefore, the proposed project would be inconsistent at a regional level with the underlying growth forecasts in the RAQS. The emissions VOCs and NOX (precursors of 03), as well as those of PM10 and PM2_5, would exceed operational significance thresholds. The health effects attributed to criteria air pollutants emitted by any singular project, however, cannot be accurately predicted at this time because of the numerous variables that influence public health (e.g., background air pollutant concentrations, meteorology and weather patterns, diet, preexisting conditions, genetic predispositions, and personal habits such as smoking). Nonetheless, operation of the proposed project would result in a cumulatively considerable contribution to regional 03, PM10, and PM2_5 concentrations. Impacts would be significant and unavoidable. Otay Ranch University Villages Project Final EIR 177 2014-12-02 Agenda Packet Page 491 CEQA Findings of Fact and Statement of Overriding Considerations Mitigation Implementation of Mitigation Measure AQ-1 and AQ-2 would reduce construction-related NO, PM10 and PM2_5 emissions generated by the proposed project. There is no feasible mitigation, however, to reduce construction-related VOC emissions. Even with incorporation of these mitigation measures, VOC, NO., PM10, and PM2_5 emissions are anticipated to be above the threshold. Therefore, project construction would result in a significant and unavoidable impact at the project and cumulative levels, even with incorporation of all feasible mitigation measures. Additionally, daily operational emissions for VOCs, NO, CO, PM10, and PM2_5 would remain significant and unavoidable at the project and cumulative levels due to the absence of feasible mitigation measures. Findings Significant reductions in emissions would be required to reduce emissions of the identified pollutants to less than significant, and feasible mitigation measures are not available to achieve these reductions as emissions are attributable to consumer product use and mobile emissions. No other feasible mitigation measures exist based on best available control technologies or best management practices that would reduce this impact to air quality to below a level of significance or substantially lessen the impact. Because there are no additional feasible mitigation measures within the control of the City at this time to reduce impacts to air quality to below a level of significance or substantially lessen the impact, impacts would remain significant and unmitigated. Adoption of a Statement of Overriding Considerations will be required should the decision makers choose to approve the project. Reference EIR Section 5.4 Air Quality 7.2.4 Cultural Resources Thresholds of Significance—Cumulative Impact on Cultural Resources The proposed project would result in cumulatively considerable impacts to cultural resources if: • A proposed project's incremental effects in combination with other closely related past, present, and reasonably foreseeable future projects whose impacts may compound or increase the incremental effect of the proposed project to cultural resources Otay Ranch University Villages Project Final EIR 178 2014-12-02 Agenda Packet Page 492 CEQA Findings of Fact and Statement of Overriding Considerations Impacts Given the loss of prehistoric resources from pasts projects, especially habitation sites and temporary camps in the generally vicinity and on the Otay Mesa in combined with the previous impacts of roads, plowing, and erosion, the proposed University Villages project is considered to contribute to a cumulative impact on prehistoric cultural resources, since it represents the continued destruction of non-renewable cultural resources. Explanation Together, the development of the proposed project on two of the three habitation sites within the project area, and other minor sites identified as non-significant shell and lithic scatters, would contribute to a cumulative impact to prehistoric cultural resources. Furthermore, these sites are positioned along the Otay River and, as such, are ideally suited for answering important questions regarding subsistence and settlement, chronology, technology, and trade. Therefore, the cumulative impact on cultural resources would be cumulatively considerable. Mitigation No mitigation measures are available to reduce the proposed project's incremental contribution to cumulatively considerable impacts on cultural resources. Findings A cumulative impact, in terms of cultural resources, refers to the mounting aggregate effect upon cultural resources due to modern or recent historic land use, such as residential development, and natural processes, such as erosion, that result from acts of man. Mitigation can be implemented to reduce impacts of the proposed project by ensuring the scientific recovery, study, documentation, and curation of significant sites to be impacted. Important information about prehistory would not be lost through a well-planned and executed mitigation program that documents and gathers all data from these non-replaceable and non-renewable resources. While any individual project may avoid or mitigate the direct loss of a specific resource, the effect is considerable when considered cumulatively. Although the actions of the proposed project would be mitigated through data recovery, curation, and reporting, the proposed project's contribution to a cumulatively considerable impact would not be reduced to a less than significant level. No other feasible mitigation measures exist based on best available control technologies or best management practices that would reduce this cumulative impact to cultural resources to below a level of significance or substantially lessen the impact. Otay Ranch University Villages Project Final EIR 179 2014-12-02 Agenda Packet Page 493 CEQA Findings of Fact and Statement of Overriding Considerations Because there are no additional feasible mitigation measures within the control of the City at this time to reduce impacts to cultural resources to below a level of significance or substantially lessen the impact, impacts would remain significant and unmitigated. Adoption of a Statement of Overriding Considerations will be required should the decision makers choose to approve the project. Reference EIR Section 6.3.6 Cumulative Impact on Cultural Resources 7.2.5 Agricultural Resources Thresholds of Significance—Conversion of Agricultural Land Impacts to agricultural and/or forestry resources would be significant if the proposed project would: • Convert Prime Farmland, Unique Farmland, or Farmland of Statewide Importance, as shown on the maps prepared pursuant to the Farmland Mapping and Monitoring Program (FMMP) of the California Resources Agency, to non-agricultural use. Impacts Incremental loss of Farmland of Local Importance as a result of the proposed project would be a potentially significant direct and cumulative impact. Explanation The proposed project would not convert Prime Farmland, Unique Farmland, or Farmland of Statewide Importance to nonagricultural use. However, the proposed project would convert approximately 476 acres designated as Farmland of Local Importance to residential and village land uses. Although the project area is no longer used for crops because of the lack of reliable and affordable water, the loss would contribute to an incremental loss of Farmland of Local Importance. Mitigation No mitigation measures are available to reduce the proposed project's impact on Farmland of Local Importance to below a level of significance. Otay Ranch University Villages Project Final EIR 180 2014-12-02 Agenda Packet Page 494 CEQA Findings of Fact and Statement of Overriding Considerations Findings Placing agricultural easements or restrictions on new parcels is possible, but would not feasibly result in the economical use or operation of other agricultural lands due to high land costs, high water and labor costs, restrictive water use regulations, restrictive environmental regulations related to air quality and use of pesticides, agricultural competition from other parts of the State and from foreign countries, and the likelihood of incompatibility with other existing and planned land uses due to growing urbanization within the Otay Ranch area. Also, restriction of other properties to agricultural or farmland uses would not facilitate the achievement of City objectives to provide sufficient housing units to meet identified housing needs and obligations, to improve the existing jobs/housing balance, to increase property values and related property-based municipal revenues, and to preserve biological habitat and open space. Further, there are no fee- based programs in the City that would facilitate the purchase of economically viable farmland resources based on the cost and regulatory factors. Because there are no feasible mitigation measures within the control of the City at this time to reduce impacts to agricultural resources to below a level of significance, impacts would remain significant and unmitigated. Adoption of a Statement of Overriding Considerations will be required should the decision makers choose to approve the project. Reference EIR Section 5.9 Agricultural Resources 7.2.6 Utilities Thresholds of Significance—Demand for Wastewater Capacity Impacts to sewer services would be significant if the proposed project would: • Require or result in the construction of new wastewater treatment facilities or expansion of existing facilities,the construction of which would cause significant environmental effects. Impacts The City of Chula Vista would need to acquire capacity rights for an additional 5.4 mgd to accommodate year 2030 flows. The Salt Creek Interceptor Technical Sewer Study for South Otay Ranch addresses the City's current projections regarding the need to acquire additional treatment capacity. As the location and scope of construction of future expanded or newly developed treatment facilities is unknown, the development treatment capacity beyond the City's existing and allocated capacity may result in significant and unavoidable impacts. Otay Ranch University Villages Project Final EIR 181 2014-12-02 Agenda Packet Page 495 CEQA Findings of Fact and Statement of Overriding Considerations Explanation The estimated year 2030 flows based on the 2005 General Plan were 23.3 million gallons per day (mgd). The projected year 2030 average flow for the City is 26.2 mgd. Thus, the City of Chula Vista would need to acquire capacity rights for an additional 5.4 mgd to accommodate year 2030 flows. The project's wastewater generation volume combined with other planned projects would require sewage treatment capacity beyond the City's existing capacity rights and allocated additional treatment capacity. The means by which additional treatment capacity would be acquired is unknown at this time. Mitigation There are no feasible mitigation measures that would reduce impacts associated with the construction or new or expanded treatment facilities. Finding Implementation of respective General Plan policies would ensure that treatment capacity would be provided by the City; however, the means by which additional treatment capacity would be acquired is unknown at this time. The City's options include the acquisition of treatment capacity from a San Diego Metropolitan Sewer Authority member agency, including the City of San Diego, or construction of a Chula Vista treatment facility. Final determination on the means by which additional treatment capacity would be acquired has not yet been made. As the location and scope of construction for any newly developed treatment facility are unknown, and the development of treatment capacity beyond the City's existing and allocated capacity may result in impacts on the environment, it is conservatively concluded that a potentially significant environmental impact associated with construction of new or expanded treatment facility may occur. Because there are no feasible mitigation measures within the control of the City at this time to reduce impacts to new or expanded wastewater treatment facilities to below a level of significance, direct impacts would remain significant and unmitigated. Adoption of a Statement of Overriding Considerations will be required should the decision makers choose to approve the project. Otay Ranch University Villages Project Final EIR 182 2014-12-02 Agenda Packet Page 496 CEQA Findings of Fact and Statement of Overriding Considerations Reference Section 5.13 Utilities Thresholds of Significance—Demand for Energy Impacts to gas and electric service would be significant if the proposed project would: • Increase the demand of energy resources to exceed the City's available supply or cause a need for new and expanded facilities the construction of which would cause significant environmental impacts in order to maintain acceptable service ratios, response times or other performance objectives. Impacts No assurance can be made that long-term energy will be supplied to the site at full buildout and beyond, therefore, impacts would be considered potentially significant because the proposed project could increase the demand for energy resources that exceed the City's available supply. Explanation The various statewide, regional, and City programs and policies aimed at reducing energy consumption would result in more efficient use of energy; however, there is no guarantee energy resources will be available at the time of full project buildout. SDG&E has indicated that without an increased import capacity, including a new substation within the Otay Ranch area, future energy needs could not be assured.The new substation would be located in the EUC, south of the east end of Hunte Parkway. Construction of the substation is expected to begin in late 2014 and is expected to require approximately 18 to 24 months from initial site development through energization and testing (SDG&E 2013b). The 120 megavolt amperes substation would provide infrastructure necessary to provide power to buildout of Otay Ranch, but would not generate electricity or guarantee that adequate supply would be available. Mitigation The Supplemental Environmental Impact Report for Amendments to the City of Chula Vista General Plan (GPA-09-0 1) and Otay Ranch General Development Plan (PCM-09-11) included mitigation measure 5.3.5-1, which would encourage energy efficient development throughout the SPA through implementation of the City of Chula Vista Energy Strategy & Action Plan, including implementation of the Adaptation Strategies to prepare the City for impacts associated with climate change. The proposed project would comply with this mitigation measure because it includes a non-renewable energy conservation plan to reduce energy use. No additional Otay Ranch University Villages Project Final EIR 183 2014-12-02 Agenda Packet Page 497 CEQA Findings of Fact and Statement of Overriding Considerations mitigation measures are available to reduce direct and cumulative impacts related to energy consumption to a less-than-significant level. Finding Implementation of the energy conservation plan would aid in the implementation of energy efficient measures throughout project design; however, there is no assurance that long-term energy resources would be supplied to the project site following full project buildout. Because there are no feasible mitigation measures within the control of the City at this time to reduce impacts to energy resources to below a level of significance, impacts would remain significant and unmitigated. Adoption of a Statement of Overriding Considerations will be required should the decision makers choose to approve the project. Reference Section 5.13 Utilities 7.2.7 Global Climate Change Thresholds of Significance—Increased Exposure of Global Warming Impacts to climate change would be significant if the proposed project would: • Result in substantially increased exposure of the project from the potential adverse effects of global warming identified in the California Global Warming Solutions Act of 2006 (AB 32). Impacts The project's potential to exacerbate air quality problems resulting from global warming as a result of ozone formation is a significant and unavoidable impact due to the unavailability of feasible mitigation. Explanation This increase in land use intensity and associated increase in vehicle trips has not been anticipated in local air quality plans; therefore, the proposed project would be inconsistent at a regional level with the underlying growth forecasts in the RAQS. Furthermore, as discussed in EIR Section 5.4, the emissions VOCs and NOX (precursors of 03), as well as those of PM10 and PM2_5, would exceed operational significance thresholds. As a result, operation of the proposed project would result in significant impacts to air quality. Project design features Otay Ranch University Villages Project Final EIR 184 2014-12-02 Agenda Packet Page 498 CEQA Findings of Fact and Statement of Overriding Considerations would help to reduce operational emissions; however, significant reductions in ozone precursor emissions would be required to reduce emissions of these pollutants to less than significant and feasible mitigation measures are not available to achieve these reductions. Therefore, even with incorporation of these design features, emission for ozone precursors are anticipated to be above the thresholds. As a result, and as discussed further in EIR Section 5.4, this direct impact is considered significant and unavoidable. Mitigation Implementation of Mitigation Measure AQ-1 and AQ-2 would reduce construction-related NO, PM10, and PM2_5 emissions generated by the proposed project. There is no feasible mitigation, however, to reduce construction-related VOC emissions. Even with incorporation of these mitigation measures, VOC, NO, PM10, and PM2_5 emissions are anticipated to be above the threshold. Therefore, project construction would result in a significant and unavoidable impact at the project and cumulative levels, even with incorporation of all feasible mitigation measures. Additionally, daily operational emissions for VOCs, NO, CO, PM10, and PM2_5 would remain significant and unavoidable at the project and cumulative levels due to the absence of feasible mitigation measures. Finding The emissions of VOC, NO, PM10, and PM2_5 would exceed the applicable significance threshold levels during construction. Operation of the proposed project would result in a cumulatively considerable contribution to regional 03, PM10, and PM2_5 concentrations. Significant reductions in emissions would be required to reduce emissions of the identified pollutants to less than significant, and feasible mitigation measures are not available to achieve these reductions as emissions are attributable to consumer product use and mobile emissions. Because there are no feasible mitigation measures within the control of the City at this time to reduce direct impacts to global climate change to below a level of significance, impacts would remain significant and unmitigated. Adoption of a Statement of Overriding Considerations will be required should the decision makers choose to approve the project. Reference Section 5.14 Global Climate Change Otay Ranch University Villages Project Final EIR 185 2014-12-02 Agenda Packet Page 499 CEQA Findings of Fact and Statement of Overriding Considerations INTENTIONALLY LEFT BLANK Otay Ranch University Villages Project Final EIR 186 2014-12-02 Agenda Packet Page 500 CEQA Findings of Fact and Statement of Overriding Considerations 8.0 FEASIBILITY FOR POTENTIAL PROJECT ALTERNATIVES Because the project will cause significant environmental effects, as outlined above, the City must consider the feasibility of any environmentally superior alternative to the project as finally approved. The City must evaluate whether one or more of these alternatives could avoid or substantially lessen the significant unavoidable environmental effects of the proposed project. In general, in preparing and adopting findings, a lead agency need not necessarily address feasibility when contemplating the approval of a project with significant impacts. Where the significant impacts can be mitigated to an acceptable (less-than-significant) level solely by the adoption of mitigation measures, the agency, in drafting its findings, has no obligation to consider the feasibility of environmentally superior alternatives, even if their impacts would be less severe than those of the project as mitigated (Laurel Heights Improvement Association v. Regents of the University of California (1988) 47 Ca1.3d 376; Laurel Hills Homeowners Association v. City Council (1978) 83 Cal.App.3d 515; Kings County Farm Bureau v. City of Hanford (1990) 221 Cal.App.3d 692). Accordingly, for this project, in adopting the findings concerning project alternatives, the City Council considers only those environmental impacts that, for the finally approved project, are significant and cannot be avoided or substantially lessened through mitigation. If project alternatives are feasible, the decision makers must adopt a Statement of Overriding Considerations with regard to the project. If there is a feasible alternative to the project, the decision makers must decide whether it is environmentally superior to the project. Proposed project alternatives considered must be ones that"could feasibly attain the basic objectives of the project." However, the CEQA Guidelines also require an EIR to examine alternatives "capable of eliminating" environmental effects, even if these alternatives "would impede to some degree the attainment of the project objectives" (CEQA Guidelines Section 15126). The City has properly considered and reasonably rejected project alternatives as "infeasible" pursuant to CEQA. CEQA provides the following definition of the term "feasible" as it applies to the findings requirement: "feasible means capable of being accomplished in a successful manner within a reasonable period of time, taking into account economic, environmental, social, and technological factors" (Pub. Resources Code, § 21061.1). The CEQA Guidelines provide a broader definition of "feasibility" that also encompasses "legal" factors and "other considerations." CEQA Guidelines Section 15364 states, "the lack of legal powers of an agency to use in imposing an alternative or mitigation measure may be as great a limitation as any economic, environmental, social, or technological factor." (See Citizens of Goleta Valley v. Board of Supervisors (1990) 52 Cal.3d 553, 565). Otay Ranch University Villages Project Final EIR 187 2014-12-02 Agenda Packet Page 501 CEQA Findings of Fact and Statement of Overriding Considerations Accordingly, "feasibility" is a term of art under CEQA and thus may be afforded a different meaning as may be provided by Webster's dictionary or any other sources. Moreover, Public Resources Code Section 21081 governs the "findings" requirement under CEQA with regard to the feasibility of alternatives. Specifically, no public agency shall approve or carry out a project for which an EIR has been certified which identifies one or more significant effects on the environment that would occur if the project is approved or carried out unless the public agency makes one or more of the following findings: "Changes or alterations have been required in, or incorporated into, the project which avoid or substantially lessen the significant environmental effect as identified in the final EIR" (CEQA Guidelines, § 15091, subd. (a)(1)). "Such changes or alterations are within the responsibility and jurisdiction of another public agency and not the agency making the finding. Such changes have been adopted by such other agency or can and should be adopted by such other agency" (CEQA Guidelines, § 15091, subd. (a)(2)). "Specific economic, legal, social, technological, or other considerations, including provisions of employment opportunities for highly trained workers, make infeasible the mitigation measures or project alternatives identified in the final EIR" (CEQA Guidelines, § 15091, subd. (a)(3)). The concept of"feasibility" also encompasses the question of whether a particular alternative or mitigation measure promotes the underlying goals and objectives of a project (City of Del Mar v. City of San Diego (1982) 133 Ca1.App.3d 410, 417). " `[f]easibility' under CEQA encompasses `desirability' to the extent that desirability is based on a reasonable balancing of the relevant economic, environmental, social, and technological factors" (Ibid.; see also Sequoyah Hills Homeowners Assn. v. City of Oakland(1993) 23 Cal.App.4th 704, 715). These findings contrast and compare the alternatives where appropriate in order to demonstrate that the selection of the finally approved project, while still resulting in significant environmental impacts, has substantial environmental, planning, fiscal, and other benefits. In rejecting certain alternatives, the decision makers have examined the finally approved project objectives and weighed the ability of the various alternatives to meet objectives. The decision makers believe that the project best meets the finally approved project objectives with the least environmental impact. The City evaluated five alternatives to the proposed project and they are discussed in detail below. These alternatives include the following: (1) Existing General Plan and General Otay Ranch University Villages Project Final EIR 188 2014-12-02 Agenda Packet Page 502 CEQA Findings of Fact and Statement of Overriding Considerations Development Plan Alternative; (2) Reduced Density Alternative; (3) Nuisance Easement Alternative; (4) Otay Subregional Plan Alternative; and(5)No Project Alternative. 8.1 Existing GP and GDP Alternative Description Under the Existing GP and GDP Alternative, development would be proposed for the villages consistent with the General Plan and Otay Ranch GDP. The adopted Otay Ranch GDP land uses village boundaries are different than those in the proposed project. Village Three North is within Village Three as shown in the Otay Ranch GDP and planned as an "Industrial" village. The Portion of Village Four is the same as the proposed project, with a portion designated as "Open Space," and a portion designated for "Community Park." No residential units were allocated to Village Three North or the Portion of Village Four by the Otay Ranch GDP. As discussed in Section 2.0, Introduction, and Section 3.0, Environmental Setting, the General Plan and Otay Ranch GDP designate Village Three North for Limited Industrial land uses in a business park setting that reflects the unique characteristics of the landform and surrounding development. A 1,000 foot nuisance easement area surrounds the Otay Landfill and extends into the northern portion of Village Three. General Plan Policy E 6.4 calls for not placing sensitive receptors, such as a residential land use, within 1,000 feet of a major toxic emitter. In the case of proposed Village Three North land uses, planned residential land uses are considered sensitive receptors and the landfill to the north of Village Three is considered a toxic emitter. This alternative would not conflict with the General Plan Policy E 6.4. Further, Village Three North was a part of the previously approved Village Two, Village Three and Portion of Village Four Sectional Planning Area (SPA) Plan which identified Village Three North for Industrial and CPF development. The General Plan designates Village Eight East for residential uses including Residential Mixed Use, Residential Medium—High, Residential Low—Medium, Public and Quasi Public, Parks and Recreation, and Open Space. The Otay Ranch GDP designates Village Eight East as an urban village with single-family and multi-family residential, and a mixed-use village core. Under the Otay Ranch GDP, a portion of what is proposed as Village Eight East is within the Village Seven SPA Plan boundary. This portion of Village Seven is designated as Open Space. The Otay Ranch GDP allocates Village Eight East a total of 928 residential units. The General Plan designates Village Ten as part of the University Study Area. The village is designated Public and Quasi Public uses. The Otay Ranch GDP has two land uses identified for Village Ten. The primary land use designates Village Ten as Public and Quasi-Public for a university campus site; the secondary land use designates Village Ten as an urban village with single-family and multifamily residential, a mixed-use village core, and a community park. Otay Ranch University Villages Project Final EIR 189 2014-12-02 Agenda Packet Page 503 CEQA Findings of Fact and Statement of Overriding Considerations The Otay Ranch GDP allocates the secondary land use designation for Village Ten a total of 642 residential units. This alternative includes generally the same development area as the proposed project; however, the land uses are reconfigured per the Otay Ranch GDP and no Give/Take is proposed to convert Preserve areas to development nor any development areas to Preserve. This alternative would not require an MSCP Preserve Boundary Adjustment or GDPA related to increased densities, circulation element modifications, and the allowance of residential land uses within the landfill nuisance easement area; however, as described further below in Land Use, a GPA would be required for residential land uses in Village Ten to be consistent with the Otay Ranch GDP land use. A total of 1,570 residential units would be built under the Existing GP and GDP Alternative. Using a household coefficient of 3.24 persons per household, this alternative would increase the population by 5,087 people. Landforms and Aesthetics Both the proposed project and the Existing GP and GDP Alternative would substantially alter the aesthetics of the surrounding area, both would create significant and unmitigable impacts to landforms and aesthetics. Thus, compared to the proposed project impacts would not be reduced or avoided under the Existing GP and GDP Alternative. Transportation and Circulation Under the Existing GP and GDP Alternative, development would occur as planned in the General Plan and Otay Ranch GDP. Due to the decrease in the number of dwelling units, the Existing GP and GDP Alternative would result in approximately 31,309 fewer ADT compared to the proposed project at buildout, which would reduce impacts to traffic and circulation. Air Quality Under the Existing GP and GDP Alternative, development would occur as planned in the General Plan and Otay Ranch GDP. The decreased amount of dwelling units allowed under this alternative would result in lower traffic volumes. Therefore, the Existing GP and GDP Alternative would result in reduced air quality impacts compared to the proposed project. Cultural Resources Under the Existing GP and GDP Alternative, development would still contribute to a cumulatively considerable impact on cultural resources. Therefore, this alternative would Otay Ranch University Villages Project Final EIR 190 2014-12-02 Agenda Packet Page 504 CEQA Findings of Fact and Statement of Overriding Considerations continue to make an incremental contribution to a significant and unavoidable cumulative impact to cultural resources. Agricultural Resources Under the Existing GP and GDP Alternative, development would occur as planned in the General Plan and Otay Ranch GDP, which would also result in the loss of Farmland of Local Importance. Impacts to agricultural resources as a result of the Existing GP and GDP Alternative would not be reduced or avoided compared to the proposed project. Utilities Water Since implementation of the Existing GP and GDP Alternative would result in less development, there would be less demand for water. Therefore, compared to the proposed project, impacts would be reduced. Recycled Water Since implementation of the Existing GP and GDP Alternative would result in less development, there would be less demand for recycled water. Therefore, compared to the proposed project, impacts would be reduced. Wastewater The Existing GP and GDP Alternative would have reduced impacts on wastewater facilities because less development would occur under this alternative compared to the proposed project; however, additional capacity in the system would still require the expansion of existing facilities or construction of new treatment facilities. Similar mitigation measures as required by the proposed project would be required for this alternative. Therefore, impacts would not be avoided. Energy Since the implementation of the Existing GP and GDP Alternative would result in less development, there would be less demand for energy. However, similar to the proposed project, the guarantee for long term energy resources cannot be provided with this alternative. Therefore, compared to the proposed project, the demand would be reduced, but impacts would not be avoided. Otay Ranch University Villages Project Final EIR 191 2014-12-02 Agenda Packet Page 505 CEQA Findings of Fact and Statement of Overriding Considerations Global Climate Change The significant and unavoidable impact related to exacerbation of air quality problems as a result of climate change would be reduced under this alternative because operational emissions of ozone precursors would be reduced. Direct and cumulative impacts related to the potential effects of climate change would still be significant and unavoidable; however, compared to the proposed project, impacts would be slightly reduced. Finding The proposed project was designed to be consistent with the goals and objectives of the Otay Ranch GDP. Since the Existing GP and GDP Alternative would ultimately lead to development as planned in the Otay Ranch GDP, most of the proposed projects objectives would be met; with the exception of the following objectives for Village Three North and Portion of Village Four: • Develop Mixed-Use Office/Commercial uses within the Village core area that provide a strong employment base for Village Three North residents and the City of Chula Vista and meet the commercial/retail needs of the village and surrounding villages. This goal aims to provide a strong employment base for the residents of Village Three North. Future development under the Existing GP and GDP Alternative, as planned in the Otay Ranch GDP, would not include residential units for Village Three North; therefore, the Existing GP and GDP Alternative fails to meet these goals. Additionally, the Existing GP and GDP Alternative does not include enough residential development to accommodate SANDAGs 2050 Regional Growth Forecast. Development of this alternative could result in an inadequate amount of dwelling units in the future and inconsistency with the following objective. • Provide a wide variety of housing options, including affordable housing, to City residents, future students, and faculty of the planned 4-year university and employees of the Regional Technology Park,Village Eight West and Village Nine Town Centers and the EUC. Although this alternative would lessen impacts to traffic, air quality and certain utilities, impacts would not be reduced to below a level of significance. The City rejects this alternative because it does not meet two critical project objectives discussed above and is therefore infeasible. Otay Ranch University Villages Project Final EIR 192 2014-12-02 Agenda Packet Page 506 CEQA Findings of Fact and Statement of Overriding Considerations 8.2 Reduced Density Alternative Description The Reduced Density Alternative would follow the same land use pattern as the proposed project, with the exception of having reduced maximum dwelling units for multi-family and mixed-use land uses. Instead of the proposed 45.0+ du/ac for multi-family land uses, the Reduced Density Alternative would assume the Otay Ranch GDP's maximum density of 18.0 du/ac for multi-family land uses; and instead of the proposed 44.4 du/ac for mixed-use land uses, the Reduced Density Alternative would assume the Otay Ranch GDP's maximum density of 27.0 du/ac for mixed-use land uses. Similar to the proposed project, the Reduced Density Alternative would also require a General Plan amendment, an Otay Ranch GDP amendment, and an MSCP Subarea Plan Boundary Adjustment as detailed below. This alternative would include the same development area as the proposed project. Table 10-3 in the Final EIR shows the difference between the Reduced Density Alternative and the proposed project. The proposed project would result in 2,640 single-family dwelling units, 3,737 multi- family dwelling units, and 520 mixed-use dwelling units, for a total of 6,897 dwelling units. The Reduced Density Alternative would retain the 2,640 single-family dwelling units, but reduce the number of multi-family units to 1,413 multi-family dwelling units and would not provide any mixed-use dwelling units. Therefore, the Reduced Density Alternative would have a decrease of 2,324 multi-family dwelling units, and a decrease of 520 mixed-use dwelling units, for a total reduction in dwelling units of 2,844 compared to the proposed project. Overall, the Reduced Density Alternative would have a 41% decrease in dwelling units and a 41% decrease in population compared to the proposed project. Further, because of the decrease in dwelling units and population, the Reduced Density Alternative would reduce the amount of park demand such that the Village Eight East Community Park (P-2) would not be developed, thus, this alternative would not be compliant with project objectives. Landforms and Aesthetics Similar to the proposed project, this alternative would result in a significant impact related to aesthetics and landform alteration. Overall, the Reduced Density Alternative would not reduce or avoid impacts to landforms and aesthetics compared to the proposed project. Transportation and Circulation Impacts related to General Plan and Otay Ranch GDP emergency access, road safety, and transportation policies would be less than significant under this alternative, similar to the proposed project, because the circulation system proposed by the Otay Ranch GDP would still be implemented by the Reduced Density Alternative. The Reduced Density Alternative Otay Ranch University Villages Project Final EIR 193 2014-12-02 Agenda Packet Page 507 CEQA Findings of Fact and Statement of Overriding Considerations would also result in similar impacts to air traffic patterns compared to the project because the same maximum building heights would be allowed under this alternative. Overall, impacts as a result of the Reduced Density Alternative would be reduced compared to the proposed project due to the reduction of trips by 31.7%. However, impacts would not be reduced to below a level of significance. Air Quality Impacts related to odors would be the same under this alternative as the proposed project because none of the uses would be expected to generate objectionable odors. As it relates to potential odors from the Otay Landfill, the Reduced Density Alternative would reduce the number of sensitive receptors within the Landfill Nuisance Easement area compared to the proposed project because the density in the MU-1 and R-19 neighborhoods would be reduced. The Reduced Density Alternative would not exceed the RAQS growth assumption for the University Villages. The decreased amount of dwelling units allowed under this alternative would result in lower traffic volumes. Therefore, this Reduced Density Alternative would result in reduced air quality impacts compared to the proposed project. However, this alternative would still result in new significant and unavoidable criteria pollutant emissions, and would thus still be inconsistent with the RAQS and SIP. Direct and cumulative impacts would remain significant and unavoidable, similar to the project. Less-than-significant impacts related to consistency with General Plan and Otay Ranch GDP air quality policies would be similar to the project under the Reduced Density Alternative. Overall, the Reduced Density Alternative would have reduced air quality impacts compared to the proposed project. Cultural Resources Under the Reduced Density Alternative, development would still contribute to a cumulatively considerable impact on cultural resources. Therefore, this alternative would continue to make an incremental contribution to a significant and unavoidable cumulative impact to cultural resources. Agricultural Resources The Reduced Density Alternative would still result in the loss of 476 acres of designated Farmland of Local Importance. This alternative would also not result in any conflict with agricultural policies. Therefore, impacts would not be reduced or avoided compared to the proposed project. Otay Ranch University Villages Project Final EIR 194 2014-12-02 Agenda Packet Page 508 CEQA Findings of Fact and Statement of Overriding Considerations Utilities Water Since implementation of the Reduced Density Alternative would result in less development and less population, there would be less water demand; mitigation measures MM UTL-1 through MM UTL-4 would still be required. This impact would be reduced compared to the proposed project. Recycled Water Since the implementation of the Reduced Density Alternative would result in less development and less population, there would be less demand for recycled water. Therefore, compared to the proposed project, impacts would be reduced. Wastewater The Reduced Density Alternative would have reduced impacts on wastewater facilities, because less development would occur under this alternative compared to the proposed project; however, the Reduced Density Alternative combined with other planned projects would also require sewage treatment capacity beyond the City's existing capacity rights and allocated additional treatment capacity. Additional capacity may require the expansion of existing or construction of new treatment facilities. Similar mitigation measures as required by the proposed project would be required for this alternative. Energy The guarantee for long term energy resources cannot be provided with this alternative similar to the proposed project. Therefore, compared to the proposed project, impacts would be reduced, but not avoided. Global Climate Change Direct and cumulative impacts related to the potential effects of climate change would still be significant and unavoidable, similar to the project. Overall, the Reduced Density Alternative would have reduced impacts related to climate change as compared to the proposed project. Findings The Reduced Density Alternative would result in similar land use and development patterns as the proposed project, and would meet many of the project objectives. The primary difference between the proposed project and this alternative would be the decrease in multi-family and Otay Ranch University Villages Project Final EIR 195 2014-12-02 Agenda Packet Page 509 CEQA Findings of Fact and Statement of Overriding Considerations mixed-use dwelling units, resulting in a lack of housing concurrent with needs as shown in SANDAG forecasts and in the Growth Management Plan. Therefore, this alternative does not meet the following project objectives: • Provide a wide variety of housing options, including affordable housing, to City residents, future students and faculty of the planned four year university and employees of the Regional Technology Park,Village Eight West and Village Nine Town Centers and EUC. • Establish a land use and facility plan that assures the economic viability of the SPA Plan areas in consideration of existing and anticipated economic conditions. Additionally, the reduction of all mixed-use land uses within Village Three North and Village Eight East would not result in a pedestrian-oriented development. With respect to Village Three North and Village Eight East, this alternative does not meet the following project objectives: • Promote synergistic uses between Village Eight East and Village Eight West, the Eastern Urban Center and the University/Regional Technology Park to balance activities, services and facilities with employment,housing, transit and commercial opportunities. • Develop Mixed-Use Office/Commercial uses within the Village core area that provide a strong employment base for Village Three North residents and the City of Chula Vista and meet the commercial/retail needs of the village and surrounding villages. Furthermore, the Reduced Density Alternative would not yield enough units to trigger demand for the Village Eight East Community Park (P-2) and therefore would not include the development of the western portion of AR-11 as Community Park (P-2) in Village Eight East. Therefore, this alternative does not meet the following project objective: • Designate a portion of Active Recreation Area (AR-11) as a 51.5-acre Community Park (P-2) (a portion of the park may function as a staging area within the OVRP). Although this alternative would lessen impacts to traffic, air quality and certain utilities, impacts would not be reduced to below a level of significance. The City rejects this alternative because it does not meet five critical project objectives discussed above and is therefore infeasible 8.3 Nuisance Easement Alternative Description General Plan Policy E 6.4 calls for not placing sensitive receptors within 1,000 feet of a major toxic emitter. In the case of proposed Village Three North land uses, planned residential land uses are considered sensitive receptors and the landfill to the north of Village Three is considered Otay Ranch University Villages Project Final EIR 196 2014-12-02 Agenda Packet Page 510 CEQA Findings of Fact and Statement of Overriding Considerations a toxic emitter. The landfill property's southern boundary is within approximately 4509 feet of planned residential land uses within Village Three North and the active landfill10 is approximately 70011 feet away from planned residential land uses. In order to ascertain potential impacts to sensitive receptors within 1,000 feet of the southern property boundary of the landfill a HRA was performed for Village Three North. The HRA found potential impacts to be less than significant (see Appendix D to this EIR). Based on the fact that all calculated carcinogenic (cancerous) and non-carcinogenic (non-cancerous) risks are below the identified SDAPCD CEQA thresholds for each respective receptor within the development, impacts are not considered significant. The Nuisance Easement Alternative would result in fewer residential land uses within the nuisance easement area of the Otay Landfill. This Nuisance Easement Alternative has been developed to comply with the City of Chula Vista General Plan Policy E 6.4, which does not allow the placement of sensitive receptors within 1,000 feet of a"toxic emitter." The Nuisance Easement Alternative would only affect Village Three North and there would be no changes to the Portion of Village Four, Village Eight East, or Village Ten. Therefore, all discretionary actions, impacts, conclusions, and mitigation measures related to these villages, discussed above, are identical to the proposed project. In Village Three North this alternative plan includes the same number of overall units as the proposed Village Three North project and the development area is identical to the proposed project (i.e. —no additional grading areas). The following differences exist between the proposed project and this alternative land plan for Village Three North: • The single-family neighborhoods north of Tributary Street and between Santa Maya and Santa Picacho (proposed project neighborhoods R-1, R-4, and R-5) would be replaced by MF-18, Mixed Use Residential/Commercial neighborhood MU-1 and Neighborhood Park P-1. The 1,000-foot setback from the active portion of the landfill bisects the mixed use pad (MU-1). The Nuisance Easement Alternative would designate non-residential commercial and park uses on the north side of this line, and multi-family residential uses on the south side of this line. 9 Since the approval of the Amended and Restated Otay Landfill Agreement,and public review of the Draft EIR, the distance from the southern boundary of the landfill property to planned residential uses in Village Three North has increased to 477 feet. 10 The "active portion" of the landfill is defined as cells which have accepted waste but have not undergone final closure. This represents portions of the landfill which could become the"working face," or the area being filled with waste. 11 Since the approval of the Amended and Restated Otay Landfill Agreement,and public review of the Draft EIR, the distance from the active portion of the landfill to planned residential uses in Village Three North has increased to 916 feet. Otay Ranch University Villages Project Final EIR 197 2014-12-02 Agenda Packet Page 511 CEQA Findings of Fact and Statement of Overriding Considerations • The single-family neighborhoods Tributary Street"C" and west of Santa Maya (proposed project neighborhoods R-2, R-3, and R-6) would be converted to Multi-Family neighborhood R-17 and Open Space (OS-4). • The former MU-2a — 2f (Mixed Use Commercial/Office) and CPF-1 site north of Tributary Street between Santa Picacho and Santa Macheto would be revised to MU- 2/CPF-1 and MU-3, which would allow for Mixed Use with non-residential uses north of the 1,000' setback and multi-family residential uses on the south side of the setback. • The School site would move to the proposed project's P-1 Neighborhood Park site. The proposed project's S-1 Elementary School site would be converted to neighborhood R-10 and lotted as single family homes. • The proposed project's 0-1 Office site would be slightly increased to coincide with the 1,000-foot setback. As a result of this increase the proposed project's R-21a — c multi- family site would be reduced and become neighborhood R-16 under the Nuisance Easement Alternative. Landforms and Aesthetics The Nuisance Easement Alternative would only change the land use designations in Village Three North compared to the proposed project. The Nuisance Easement Alternative would have the same impacts to landforms and aesthetics as the proposed project and the same mitigation measures would apply. Therefore, impacts as a result of the Nuisance Easement Alternative would not be reduced or avoided compared to the proposed project. Transportation and Circulation The Nuisance Easement Alternative would result the same traffic impacts as the proposed project given that the uses would be substantially unchanged, with the exception of minor changes in Village Three North. Overall impacts as a result of the Nuisance Easement Alternative would be slightly reduced compared to the proposed project due to the reduction of trips by 0.2%. However, this reduction in trips would not be substantial enough to lessen significant impacts compared to the proposed project; however, impacts would be slightly reduced. Air Quality Direct and cumulative impacts would remain significant and unavoidable, similar to the project. Less-than-significant impacts related to consistency with General Plan and Otay Ranch GDP air quality policies would be similar to the project under the Nuisance Easement Alternative. The Nuisance Easement Alternative would not reduce impacts related to air quality compared to the proposed project. Impacts as a result of the Nuisance Easement Alternative would be slightly Otay Ranch University Villages Project Final EIR 198 2014-12-02 Agenda Packet Page 512 CEQA Findings of Fact and Statement of Overriding Considerations reduced compared to the proposed project due to the reduction of trips by 0.2%. However, this reduction in trips would not be substantial enough to lessen air quality impacts compared to the proposed project; however, impacts would be slightly reduced. Cultural Resources Under the Nuisance Easement Alternative, development would impact two out of the three identified habitat sites in the project area. Therefore, this alternative would continue to make an incremental contribution to a significant and unavoidable cumulative impact to cultural resources. Agricultural Resources Under the Nuisance Easement Alternative, the same amount of Farmland of Local Importance would be converted. This alternative would also not result in any conflict with agricultural policies. Impacts to agricultural resources would not be reduced or avoided as a result of the Nuisance Easement Alternative. Utilities Water The Nuisance Easement Alternative would result in an estimated water demand increase of 186 gpd, or 0.03%, compared to the projections for Village Three North under the proposed project. The increase in potable water demand is due to the increase in neighborhood park acreage, commercial land uses, and multi-family residential acreage. A 0.03% increase in potable water demand is offset by an increase in potential recycled water use. Thus, net potable water use would be approximately the same as the proposed project under this alternative. Recycled Water Projected recycled water demand as a result of the Nuisance Easement Alternative is estimated to increase by 1,477 gpd, or 0.9%. The increase in recycled water demand is due to the increase in park acreage, commercial land uses, and multi-family residential acreage. A 0.8% increase in recycled water demand is offset by an increase in potential potable water demand. Thus, net recycled water use would be approximately the same as the proposed project under this alternative. Wastewater Implementation of the Nuisance Easement Alternative would result in an increase of 4,145 gpd, or 0.8%, compared to the projections for Village Three North under the proposed project. The increase in wastewater generation is due to the increase in multi-family units and increase in Otay Ranch University Villages Project Final EIR 199 2014-12-02 Agenda Packet Page 513 CEQA Findings of Fact and Statement of Overriding Considerations commercial land uses. Therefore, compared to the proposed project impacts associated with the generation of wastewater would be slightly increased compared to the proposed project. Energy Implementation of proposed project has the potential to result in impacts due to increased consumption of electricity and natural gas above that analyzed in the 2005 GPU EIR, which identified a significant and unavoidable impact related to energy demand. No guarantee can be made that long-term energy resources would be available as needed to support the future development of the site; therefore, impacts associated with energy consumption would be considered potentially significant. Since the implementation of the Nuisance Easement Alternative would result in fewer single family units, and a corresponding increase in multi- family units, and more commercial development, there would be an increased demand for energy. Therefore, compared to the proposed project, impacts would be increased. Global Climate Change The significant and unavoidable impact related to exacerbation of air quality problems as a result of climate change would be the same under this alternative because operational emissions of ozone precursors would not be reduced. Direct and cumulative impacts related to the potential effects of climate change would still be significant and unavoidable, similar to the project. Feasible mitigation is not available to make reductions in ozone precursor emissions sufficient to render the impact less than significant. Overall, the Nuisance Easement Alternative's impacts related to climate change would not be reduced or avoided compared to the proposed project. Findings The Nuisance Easement Alternative would meet all the project objectives. Due to the Amended and Restated Landfill Expansion Agreement (Agreement) and the inclusion of MM LU-4, when the Draft EIR was released for public review both the proposed project (with implementation of mitigation measure MM LU-4 and compliance with the Agreement), and the Nuisance Easement Alternative, restricted development within 1,000 feet of the active portion of the Otay Landfill. The proposed project accomplished this through inclusion of MM LU-4; and the Nuisance Easement Alternative through a land use plan that did not include residential uses within the 1,000-foot setback. The result was two very similar development plans and land uses and, therefore, similar associated impacts. Various technical memoranda were prepared at the project level (traffic, air quality, noise, biology, drainage and water quality, water and sewer) to compare impacts. These memoranda found that impacts are virtually the same. The slight reduction in trips and associated reduced operational air quality emissions, and reduction of units within the nuisance easement, this Otay Ranch University Villages Project Final EIR 200 2014-12-02 Agenda Packet Page 514 CEQA Findings of Fact and Statement of Overriding Considerations alternative does not avoid or substantially minimize any impacts of the proposed project identified as significant and unavoidable; nor does the slight increase in potable and recycled water usage, or increase in sewer generation, result in new or greater impacts compared to the proposed project. Based on the City's assessment of the potential significant impacts of both the proposed project and the Nuisance Easement Alternative, the City finds that the Nuisance Easement Alternative remains the environmentally superior alternative among the other alternatives identified in the Draft EIR. 8.4 Otay SRP Alternative Description The Otay Subregional Plan (SRP) Alternative depicts the County of San Diego's primary land uses for Villages Three North, the Portion of Four, Eight East and Ten. The Otay SRP Alternative is consistent with the land uses and village boundaries that currently exist in the Otay Ranch GDP with the exception of Village Three. The Otay Ranch GDP designates industrial land uses in Village Three and does not designate any residential land uses. Conversely, the Otay SRP designates industrial land uses in Village Three North (as part of Planning Area 18-B) and also includes residential land uses. The land uses designated, as well as the number of dwelling units allocated, in a Portion of Village Four, Village Eight East, and Village Ten are the same under the Otay SRP as they are in the Otay Ranch GDP. The General Plan designates industrial land uses within Village Three and does not designate any residential land uses, similar to the Otay Ranch GDP. Under the County Otay SRP, Village Three is allocated 613 single-family dwelling units and 128 multi-family dwelling units, for a total of 741 dwelling units. Using a household coefficient of 3.24 persons per household, this alternative would result in approximately 2,401 people in Village Three. In comparison to the proposed project, the Otay SRP Alternative would result in a decrease of 4,586 dwelling units,which would result in the reduction of the population by 14,858 people. The Otay SRP Alternative would also implement Planning Area 18-B (which was incorporated as part of Village Three in the Otay Ranch GDP), which calls for 69.7 acres of Industrial uses west of Heritage Road. Landforms and Aesthetics Both the proposed project and the Otay SRP Alternative would have significant and unmitigable impacts to landforms and aesthetics. Under the Otay SRP Alternative, due to the reduced number of multifamily buildings, impacts would be reduced, but not avoided compared to the proposed project. Otay Ranch University Villages Project Final EIR 201 2014-12-02 Agenda Packet Page 515 CEQA Findings of Fact and Statement of Overriding Considerations Transportation and Circulation The Otay SRP Alternative would result in fewer trips, which would decrease impacts on traffic and circulation. The reduction of dwelling units corresponds to a reduction of ADT. Construction of new roadways or expansion of existing roadways would still occur as a result of the Otay SRP Alternative, and overall traffic impacts would be slightly reduced but would remain significant and unavoidable. Air Quality The Otay SRP Alternative would not exceed the RAQS growth assumption for the University Villages. However, this alternative would still result in new significant and unavoidable criteria pollutant emissions, and would thus still be inconsistent with the RAQS and SIP. Direct and cumulative impacts would remain significant and unavoidable, similar to the project. Less-than- significant impacts related to consistency with General Plan and Otay Ranch GDP air quality policies would be similar to the project under the Otay SRP Alternative. Overall, impacts would to air quality would be reduced compared to the proposed project. Cultural Resources Under the Otay SRP Alternative, development would still result in cumulatively considerable impacts to cultural resources. Therefore, this alternative would continue to make an incremental contribution to a significant and unavoidable cumulative impact to cultural resources. Agricultural Resources The Otay SRP Alternative would result in the same loss of designated Farmland of Local Importance. This alternative would also not result in any conflict with agricultural policies. Therefore, impacts would not be reduced or avoided compared to the proposed project. Utilities Water The Otay SRP Alternative would reduce the amount of dwelling units by 4,586 units. Since the land uses in the proposed project represent a worst case scenario, it can be assumed that the Otay SRP Alternative would not be associated with any additional impacts. A reduction in 4,586 units would substantially reduce water demands compared to the proposed project. Therefore, compared to the proposed project, impacts would be reduced but not avoided. Otay Ranch University Villages Project Final EIR 202 2014-12-02 Agenda Packet Page 516 CEQA Findings of Fact and Statement of Overriding Considerations Recycled Water No significant impacts related to new or expanded recycled water treatment facilities and no significant impacts related to consistency with applicable recycled water policies were identified with respect to implementation of the proposed project. Since the implementation of the Otay SRP Alternative would result in less development, there would be less demand for recycled water. Therefore, compared to the proposed project, impacts would be reduced. Wastewater The Otay SRP Alternative would reduce impacts on wastewater facilities compared to the proposed project because it proposes 4,586 fewer units; however, this alternative combined with other planned projects would also require sewage treatment capacity beyond the City's existing capacity rights and allocated additional treatment capacity. Additional capacity may require the expansion of existing or construction of new treatment facilities. Similar mitigation measures as required by the proposed project would be required for this alternative. Therefore, impacts would not be avoided. Energy Since the implementation of the Otay SRP Alternative would result in less development, there would be less demand for energy. Therefore, compared to the proposed project, impacts would be reduced but would remain significant and unavoidable. Global Climate Change The significant and unavoidable impact related to exacerbation of air quality problems as a result of climate change would be reduced under this alternative because operational emissions of ozone precursors would be reduced. Direct and cumulative impacts related to the potential effects of climate change would still be significant and unavoidable; however, compared to the proposed project, impacts would be slightly reduced. Findings The proposed project was designed to be consistent with the goals and objectives of the Otay Ranch GDP. Since the Otay SRP Alternative essentially tiers off the development as planned in the Otay Ranch GDP, many of the proposed project's objectives would be met; with the exception of the following objectives for Village Three North and Portion of Village Four: • Develop Mixed-Use Office/Commercial uses within the Village Three North core area that provide a strong employment base for Village Three North residents and the City of Chula Vista and meet the commercial/retail needs of the village and surrounding villages. Otay Ranch University Villages Project Final EIR 203 2014-12-02 Agenda Packet Page 517 CEQA Findings of Fact and Statement of Overriding Considerations This goal aims to provide a strong employment base for the residents of Village Three North. Future development under the Otay SRP Alternative would not include office/commercial or industrial land uses in Village Three North; therefore, the Otay SRP Alternative fails to meet these goals. Additionally, the Otay SRP Alternative does not include enough residential development to accommodate SANDAG's 2050 Regional Growth Forecast. Development of this alternative could result in an inadequate amount of dwelling units in the future and inconsistency with the following objective. • Provide a wide variety of housing options, including affordable housing, to City residents, future students and faculty of the planned four year university and employees of the Regional Technology Park. This alternative would not avoid or substantially lessen any of the project's significant and unavoidable impacts. Therefore, this alternative does not qualify as environmentally superior with respect to unmitigated impacts. Further it is not feasible as it fails to meet two critical project objectives. 8.5 No Project (No Build) Alternative CEQA Guidelines Section 15126.6 requires the inclusion of a No Project (No Build) Alternative to be analyzed. Under the No Build Alternative, no development would occur on Village Three North and a Portion of Village Four, Village Eight East, or Village Ten. Accordingly, the site characteristics of this alternative would be equivalent to the existing conditions for each category analyzed in Section 5 of the Final EIR. Although no development would occur, surrounding land uses and villages would continue to be built-out. Landforms and Aesthetics The No Build Alternative would not result in any changes to the existing visual character, views, or lighting and glare. The site would remain as rural open space. Therefore, the proposed project's cumulatively considerable contribution to a significant cumulative aesthetic impact would be avoided under the No Build Alternative. Transportation and Circulation The No Build Alternative would have no direct impacts on transportation and traffic since site conditions would remain unchanged. However, without the proposed project's circulation plan there would be a lack of regional connectivity, which could create long-term cumulative traffic impacts under the No Build Alternative. Without the regional connections that would be Otay Ranch University Villages Project Final EIR 204 2014-12-02 Agenda Packet Page 518 CEQA Findings of Fact and Statement of Overriding Considerations provided by the proposed project, future growth in the surrounding villages would be concentrated on fewer roadways. Therefore, impacts would be increased compared to the proposed project. Air Quality The No Project Alternative would not result in new significant or unavoidable criteria pollutant emissions, thus, impacts would be reduced compared to the proposed project. Cultural Resources Under the No Build Alternative, impacts to cultural resources would be avoided and therefore, there would be no incremental contribution to a significant cumulative cultural resource impact. Agricultural Resources Under the No Build Alternative, significant impacts to agricultural resources would be avoided. Utilities The No Project Alternative would not result in an increase in population which would increase demand for public utilities. Therefore, the No Project Alternative would avoid impacts to public utilities compared to the proposed project. Global Climate Change There would be no direct construction or operational GHG emission impacts associated with the No Build Alternative since the site would remain in its current state and no construction would occur. The significant and unavoidable direct and cumulative impact related to exacerbation of air quality problems as a result of climate change would be avoided under the No Build Alternative. Finding The No Build Alternative would entirely avoid the proposed project's significant and unavoidable impacts. However, the No Build Alternative would not be consistent with the vision, goals, or policies set forth in the General Plan or Otay Ranch GDP. The No Build Alternative would not meet any of the project objectives, including the establishment of urban pedestrian- oriented villages designed to complement and support surrounding land uses, or reducing reliance on the automobile by promoting multi-modal transportation such as walking or use of bicycles, buses or regional transit. Furthermore, the No Build Alternative would not promote synergistic uses between villages or create employment, commercial or recreational land uses. Otay Ranch University Villages Project Final EIR 205 2014-12-02 Agenda Packet Page 519 CEQA Findings of Fact and Statement of Overriding Considerations 8.6 Environmentally Superior Alternative Section 15126.6(e)(2) of the CEQA Guidelines states that if the environmentally superior alternative is the No Project Alternative, the EIR shall also identify an environmentally superior alternative among the other alternatives. The Nuisance Easement Alternative was developed during preparation of the Draft EIR and was found to be the environmentally superior alternative. The proposed project's design placed residential land uses within 1,000 feet of the property boundary of the Otay Landfill (i.e., the 1,000-foot nuisance easement area), which was consistent with the General Plan Policy E 6.4, as then written. However, as noted in Section 5.1, Land Use, General Plan Policy E 6.4 was amended during the writing of this EIR such that residential land uses were prohibited within 1,000 feet of a "major toxic emitter that, according to City staff, includes the existing Otay Landfill. Therefore, the EIR's Nuisance Easement Alternative was developed to avoid placing residential land uses within 1,000 feet of the active portion of the Landfill, resulting in reduced impacts due to potential incompatible land uses compared to the proposed project, which located such residential uses within 1,000 feet of the Landfill. Prior to the release of the DEIR, City staff notified the project applicant that the City had been negotiating with the Landfill operator on an Amended and Restated Landfill Expansion Agreement (Agreement). The Agreement, among other things, clarified the location of the "residential setback" with respect to the active area of the Otay Landfill. Specifically, Section 2.5 of the Agreement states, in part, that the "City shall not allow the construction of residential units on properties within 1,000 feet of the active area of the Otay Landfill, as illustrated on the attached drawing" shown in Exhibit B of the Agreement. Section 2.5 further provides that the Landfill operator "shall keep the active area of the landfill at least 1,000 feet away from any constructed residential units." Moreover, Section 2.5 requires the parties to the Agreement to meet and confer from time to time as appropriate to coordinate regarding implementation of the obligations set forth in that section of the Agreement. Based on this Agreement, which is a valid expression and implementation of the City's police power and zoning authority to avoid the proximity of incompatible land uses, residential units in the proposed project would not be allowed to be constructed within 1,000 feet of the then active area of the Otay Landfill, as shown on revised Exhibit B of the Agreement. At a duly noticed public meeting held on August 12, 2014 (i.e., during the public review period for the Draft EIR), the City Council adopted a resolution approving the Agreement and authorizing the Mayor to execute it on behalf of the City. Based on the language in the public notice for the Agreement, mitigation measure MM LU-4 was added to the Draft EIR, which requires that the proposed project include a residential setback that precludes the construction of residential units on properties within 1,000 feet from Otay Ranch University Villages Project Final EIR 206 2014-12-02 Agenda Packet Page 520 CEQA Findings of Fact and Statement of Overriding Considerations the "then active" area of the Otay Landfill. This setback requirement is similar to the Nuisance Easement Alternative contained in the Draft EIR. To be consistent with the setback set forth in the Agreement, the applicant revised the proposed project's tentative map for Village Three and a Portion of Village Four (October 2014) to show the limits of the active portion of the landfill. As a result of these various developments, when the Draft EIR was released for public review, both the proposed project (with implementation of mitigation measure MM LU-4 and compliance with the Agreement) and the Nuisance Easement Alternative restricted residential development within 1,000 feet of the active portion of the Otay Landfill. The proposed project accomplished this through inclusion of MM LU-4; and the Nuisance Easement Alternative through a land use plan that did not include residential uses within the 1,000-foot setback. The result was two very similar development plans and land uses and, therefore, similar associated impacts. The overall unit count remained the same for both plans (1,597 units), although in order to achieve this total in the Nuisance Easement Alternative, the ratio of multi-family homes to single family homes was greater for the Alternative than the proposed project. In addition, the Nuisance Easement Alternative provided for more acreage of non-residential uses, including more commercial/retail uses than the proposed project. More specifically, the Nuisance Easement Alternative differs from the proposed project as follows: • The single-family neighborhoods north of Tributary Street and between Santa Maya and Santa Picacho (proposed project neighborhoods R-1, R-4 and R-5) would be replaced by MF-18,Mixed Use Residential/Commercial neighborhood MU-1 and Neighborhood Park P-1. As shown in Figure 10-3, the 1,000-foot setback from the active portion of the landfill bisects the mixed use pad (MU-1). The Nuisance Easement Alternative would designate non-residential commercial and park uses on the north side of this line, and multi-family residential uses on the south side of this line. • The single family neighborhoods Tributary Street"C" and west of Santa Maya (proposed project neighborhoods R-2, R-3 and R-6) would be converted to Multi-Family neighborhood R-17 and Open Space (OS-4). • The former MU-2a — 2f (Mixed Use Commercial/Office) and CPF-1 site north of Tributary Street between Santa Picacho and Santa Macheto would be revised to MU- 2/CPF-1 and MU-3, which would allow for Mixed Use with non-residential uses north of the 1,000' setback and multi-family residential uses on the south side of the setback. Otay Ranch University Villages Project Final EIR 207 2014-12-02 Agenda Packet Page 521 CEQA Findings of Fact and Statement of Overriding Considerations • The School site would move to the proposed project's P-1 Neighborhood Park site. The proposed project's S-1 Elementary School site would be converted to neighborhood R-10 and lotted as single family homes. • The proposed project's 0-1 Office site would be slightly increased to coincide with the 1,000-foot setback. As a result of this increase the proposed project's R-21a — c multi- family site would be reduced and become neighborhood R-16 under the Nuisance Easement Alternative. Although very similar, the impacts of the Nuisance Easement Alternative differ in that the mix of land uses would • generate 38 fewer average daily trips 0.2% than the proposed project; • use approximately 186 gpd (0.03%) more potable water, which is offset by the use approximately 1,477 gpd (0.9%)more recycled water; • increase sewage flows by approximately 4,145 gpd (0.8%); and; • reduce the amount of residential units within the nuisance easement area (1,000 feet from property line). Various technical memoranda were prepared at the project level (traffic, air quality, noise, biology, drainage and water quality, water and sewer) to compare impacts. As summarized above, these memoranda found that impacts are virtually the same. This alternative would result in a slight reduction in trips and associated reduced operational air quality emissions, and reduction of units within the nuisance easement area. Therefore, this alternative does not avoid or substantially minimize any impacts of the proposed project identified as significant and unavoidable; nor does the slight increase in potable and recycled water usage, or increase in sewer generation,result in new or greater impacts compared to the proposed project. Based on the City's assessment of the potential significant impacts of both the proposed project and the Nuisance Easement Alternative, the City finds that the Nuisance Easement Alternative remains the environmentally superior alternative among the other alternatives identified in the Draft EIR. Otay Ranch University Villages Project Final EIR 208 2014-12-02 Agenda Packet Page 522 CEQA Findings of Fact and Statement of Overriding Considerations 9.0 STATEMENT OF OVERRIDING CONSIDERATIONS The proposed project would have significant, unavoidable impacts on the following areas, described in detail in Section 7.0 of these Findings of Fact: • Landform Alteration/Aesthetics • Direct and cumulative impact on visual character or quality • Cumulative impacts on scenic vistas/resources • Transportation, Circulation and Access • Year 2020 cumulative impact on intersections • I-805 SB Ramps/ Olympic Parkway • Year 2020 roadway segments cumulative scenario • Orange Avenue,between Melrose Avenue and I-805 SB Ramps • Year 2020 freeway/highway segments cumulative scenario • I-805, from Market Street to Imperial Avenue • I-805, from Imperial Avenue to E Division Street • Year 2025 intersections cumulative scenario • Same as 2020 • Year 2025 roadway segments cumulative scenario • Orange Avenue,between Melrose Avenue and I-805 SB Ramps • Year 2025 freeway/highways cumulative scenario • I-805, from SR-94 to Market Street • I-805, from Market Street to Imperial Avenue • I-805, from Imperial Avenue to E Division Street • I-805, from Plaza Boulevard to SR-54 • I-805, from SR-54 to Bonita Road • Year 2030 intersections cumulative scenario • Same as 2020 and 2025 • Year 2030 roadway segments cumulative scenario Otay Ranch University Villages Project Final EIR 209 2014-12-02 Agenda Packet Page 523 CEQA Findings of Fact and Statement of Overriding Considerations • Orange Avenue,between Melrose Avenue and I-805 SB Ramps (LOS D) o Year 2030 freeway/highways cumulative scenario • I-805, from SR-94 to Market Street • I-805, from Market Street to Imperial Avenue • I-805, from Imperial Avenue to E Division Street • I-805, from Plaza Boulevard to SR-54 • I-805 from SR-54 to Bonita Road • I-805, from Bonita Road to East H Street • I-805, from East H Street to Telegraph Canyon Road • SR-905 from I-805 to Caliente Avenue • SR-905 from Caliente Avenue to Heritage Road • SR-905 from Heritage Road to Britannia Boulevard • SR-905 from Britannia Boulevard to La Media Road • Air Quality • Direct and cumulative air quality violations • Direct and cumulative conflict with air quality plans • Cultural Resources o Cumulative loss of archaeological resources • Agricultural Resources o Direct and cumulative conversion of agricultural resources • Public Utilities • Cumulative demand for wastewater capacity • Direct and cumulative demand for energy • Global Climate Change o Potential direct effects of global climate change The City has adopted all feasible mitigation measures with respect to these impacts. Although in some instances these mitigation measures may substantially lessen these significant impacts, adoption of the measures will, for many impacts,not fully avoid the impacts. Otay Ranch University Villages Project Final EIR 210 2014-12-02 Agenda Packet Page 524 CEQA Findings of Fact and Statement of Overriding Considerations Moreover, the City has examined a reasonable range of alternatives to the project. Based on this examination, the City has determined that the Nuisance Easement Alternative meets all of the projects goals and objectives and eliminates indirect land use conflicts (odor and TACs) associated with the Otay Landfill by not developing any residential units within 1,000 ft. of the active portion of the Landfill. As a result, to approve the project, the City must adopt a "statement of overriding considerations" pursuant to CEQA Guidelines sections 15043 and 15093. This provision allows a lead agency to cite a project's general economic, social, or other benefits as a justification for choosing to allow the occurrence of specified significant environmental effects that have not been avoided. The provision explains why, in the agency's judgment, the project's benefits outweigh the unavoidable significant effects. Where another substantive law (e.g., the California Clean Air Act, the Federal Clean Air Act, or the California and Federal Endangered Species Acts) prohibits the lead agency from taking certain actions with environmental impacts, a statement of overriding considerations does not relieve the lead agency from such prohibitions. Rather, the decision maker has recommended mitigation measures based on the analysis contained in the Final EIR, recognizing that other resource agencies have the ability to impose more stringent standards or measures. CEQA does not require lead agencies to analyze "beneficial impacts" in an EIR. Rather, EIRs are to focus on potential "significant effects on the environment," defined to be "adverse." (Pub. Resources Code, § 21068.) The Legislature amended the definition to focus on "adverse" impacts after the California Supreme Court had held that beneficial impacts must also be addressed (See, Wildlife Alive v. Chickering (1976) 18 Cal.3d 190, 206). Nevertheless, decision-makers benefit from information about project benefits. These benefits can be cited, if necessary, in a statement of overriding considerations (CEQA Guidelines, § 15093). The City finds that the project would have the following substantial benefits. Any one of the reasons for approval cited below is sufficient to justify approval of the project. Thus, even if a court were to conclude that not every reason is supported by substantial evidence, the City Council would stand by its determination that each individual reason is sufficient. The substantial evidence supporting the various benefits can be found in the preceding findings, which are incorporated by reference into this Section, and in the documents found in the Record of Proceedings, as defined in Section 3.0. The City, after balancing the specific economic, legal, social, technological or other benefits of the project, including considerations for the provision of employment opportunities, determines and finds that the unavoidable adverse environmental effects may be considered "acceptable" due to the following specific considerations. Otay Ranch University Villages Project Final EIR 211 2014-12-02 Agenda Packet Page 525 CEQA Findings of Fact and Statement of Overriding Considerations 9.1 Project Benefits 9.1.1 Implementation of the Otay Ranch General Development Plan Goals, Objectives and Principles By implementing goals, objectives, and principles of the Otay Ranch General Development Plan, the proposed project would provide benefit to surrounding villages, the surrounding community, and the City of Chula Vista as a whole. In particular, the proposed project would engender development of a complete, amenity rich community that furthers Otay Ranch Village goals and objectives by enhancing living, working, learning, shopping, and transit options while increasing residents' opportunities for social interaction and recreation. Housing Choices and Alignment with Housing Market The proposed project brings Village planning in-line with today's marketplace and homebuyer preference as well as home typologies attainable to a broader range of buyers and renters. This provides Chula Vista residents with a diverse range of housing choices and opportunities that conform to their preferences. Aligning Village planning and today's housing market also facilitates construction and home sales. Furthermore, the proposed project provides a wide range of housing types and options that will meet the needs of all population groups. Affordable housing will be provided in each village and fair housing practices will be employed in the sale, rental, and advertising of all units. A fair housing marketing plan has been prepared to ensure equal opportunities for persons of all economic, ethnic, religious, and age groups, as well as those with special needs such as the handicapped, the elderly, single-parent families,and the homeless. Integrated Land Use Compatibility The proposed project is comprehensively planned to accommodate a balanced mix of uses that are compatible with the surroundings. The proposed land use plans locate a mixed-use village core in each village composed of high- and medium high-density multi-family, an elementary school, and neighborhood park. Village Three North and Eight East also include Mixed-Use Retail/Commercial land uses. These mixed use areas will accommodate housing,jobs, childcare, shopping, entertainment, parks, and recreation in close proximity to one another. This integrated land use plan encourages housing and employment opportunities. The SPA Plans support the objective of enhancing the unique environmental and visual qualities of Otay Ranch by maximizing view opportunities to surrounding natural open space areas, and the organization of land uses within each village meets the objectives of integration and compatibility of land uses within the village and with adjacent communities. Otay Ranch University Villages Project Final EIR 212 2014-12-02 Agenda Packet Page 526 CEQA Findings of Fact and Statement of Overriding Considerations Viability of Transit Increasing the number of dwelling units (and population) within Village Three North and Portion of Village Four, Village Eight East, and Village Ten provides additional ridership for the regional Bus Rapid Transit (BRT) and local bus systems, which would facilitate and support the introduction of transit on the Otay Valley Parcel. This increases ridership/viability of the transit systems and reduces automobile dependence, emissions, and traffic. Since the proposed project would incorporate public transit, bicycle, and pedestrian facilities in each village, consistent with the Otay Ranch GDP and related transit, bicycle, and pedestrian plans, it would not conflict with policies, plans, or programs related to these modes of transportation. Furthermore, based on the existing bus and trolley transit services, in combination with both planned transit improvements to serve the project study area and the transit features that are part of the Otay Ranch community, the proposed project would not conflict with public transit programs nor would it decrease the performance or safety of such facilities. The proposed project planned for the extension of mass transit through the community and set aside right-of-way in anticipation of future transit lines. The proposed land plans were designed to create village cores to accommodate transit stops by locating transit adjacent to high-density housing and/or mixed-use retail/commercial. In addition, the combination of land uses proposed within each village would reduce reliance on the automobile and reduce the length of vehicle trips because residents would not have to leave the villages to access these uses. Viability of Commercial Uses Commercial uses proposed by the project are sized to meet the needs of the immediate villages. The surrounding Village Eight West, Nine, Otay Ranch Town Centers, Village Eleven, and the Eastern Urban Center provide more regional commercial opportunities which the residents of the proposed project will support. The villages are designed to locate schools, parks, and mixed-use retail/commercial uses in the most accessible areas for nearby developed or planning villages. The proposed project contributes to the economic base of Otay Ranch with light industrial, office, and retail/commercial uses which will attract new business and contribute to the diversification and stabilization of the local economy. The proposed Village Three North and Village Eight East village cores will each provide up to 20,000 square feet of Mixed-Use Retail and Office space expected to create new business opportunities for small businesses and local residents. Design and Mix of Uses to Encourage Walking/Biking The proposed land use pattern of Villages Three North and Portion of Village Four, Eight East, and Ten and their relationship to surrounding land uses promotes walking and cycling as alternatives to fuel-consumptive automobile use. Walkable village cores are planned in Villages Otay Ranch University Villages Project Final EIR 213 2014-12-02 Agenda Packet Page 527 CEQA Findings of Fact and Statement of Overriding Considerations Three North and Eight East, and Village Ten is within walking distance of the planned Village Nine Town Center. By providing neighborhood-serving uses close to homes, residents can walk or bike instead of using an automobile. This promotes a healthy lifestyle, encourages local businesses, and reduces automobile dependence, emissions, and traffic. The SPA Plans incorporate the village concept established in the Otay Ranch GDP by creating village cores containing a mix of land uses connected by an extensive trail and bikeway system. These pedestrian and bicycle routes reinforce a pedestrian friendly concept as well as promote the use of alternative modes of transportation. By reducing the need for automobiles, residents will have opportunities to interact with neighbors and other village residents as they walk or ride to their destinations. Walking to School Providing two elementary schools within each of the villages puts residents and students closer to elementary schools and helps ensure sufficient capacity would be available serve the students within the each of the villages. This allows implementation of programs such as `walking school buses' where students walk to school in groups, eliminating car and bus trips. This promotes a healthy lifestyle for students while reducing automobile dependence, emissions, and traffic. Provision of Additional Park and Community Purpose Facilities The proposed project will dedicate and improve park land consistent with the Chula Vista Parks and Recreation Master Plan. This will be met through the provision of a 51-acre Community Park (P-2) south of Village Eight East, 17.8 acres of the 70-acre Village Four community park, three neighborhood parks, and a series of pedestrian parks. Implementation of the SPA Plans would provide over 12 acres of land designated Community-Purpose Facility (CPF), with each village core containing a 2.6-acre CPF site which may accommodate a non-profit user. Park/CPF provides residents valuable and unique opportunities for recreation, social interaction, learning, and teaching. A resident may be able to enjoy a private swim club, a community garden, a private recreational facility, a public park, and the town square within short walking distance. Village Character The SPA Plans support the objective of enhancing the unique environmental and visual qualities of Otay Ranch by maximizing view opportunities to surrounding natural open space areas, and the organization of land uses within each village meets the objectives of integration and compatibility of land uses within the village and with adjacent communities. The Village Design Plans encourage differentiation in building mass, roof forms, materials, color, and apparent floor heights to reduce building bulk and create variety within the building facade. Visual resources in the SPA Plan area are Rock Mountain, and Otay River Valley. A cohesive design of development along scenic roadways and from scenic resources that meet the Otay Ranch University Villages Project Final EIR 214 2014-12-02 Agenda Packet Page 528 CEQA Findings of Fact and Statement of Overriding Considerations aesthetic standards established for the project area will improve public access to views designated as scenic resources. Contextual Design The proposed project would comply with existing Design Guidelines and be similar to the bulk, scale, and architectural design of surrounding projects. The project is also connected via transit, pedestrian bridges, and roadways to adjacent Villages. Public Facilities Financing Plan The PFFP implements the City's Growth Management Program and Ordinance to ensure that the project's phased development is consistent with the overall goals and policies of the City's General Plan and Growth Management Program and the Otay Ranch GDP. The PFFP ensures that facilities are constructed concurrent with demand such that development of the project will not adversely impact the City's Quality of Life Standards. The PFFP also contains a fiscal analysis identifying capital budget impacts on the City as well as maintenance and operation costs for each phase of development. The PFFP components include an analysis of infrastructure facilities such as drainage, traffic, water, and sewer, as well as the provision of community services and facilities, including fire protection and emergency services, law enforcement, libraries, schools, and parks. The analysis and provisions of the PFFP fulfill the Otay Ranch GDP requirements for SPA-level master facility plans for most facilities associated with the development of the villages. Where additional project-specific study and planning is needed, separate technical studies and plans for the villages have been prepared and included as a component of each SPA plan. The proposed project includes a PFFP that identifies the necessary facilities and service needs, and the methods for financing those improvements and services. The proposed SPA plans will phase development with infrastructure improvements as described in the PFFP. The PFFP implements the City's Growth Management Program and meets General Plan/Growth Management Element goals and objectives. Implementation of the PFFP and the Growth Management Program would ensure that public services are available to serve the development during emergencies. The Chula Vista Growth Management Program ensures the City's necessary public facilities and services exist or are provided concurrent with the demands of new development. 9.1.2 Extraordinary Benefits In addition to meeting the goals, objectives, and principles of the Chula Vista General Plan and the Otay Ranch General Development Plan, the proposed project provides a number of public benefits to the immediate area, Otay Ranch, and to the City of Chula Vista. Otay Ranch University Villages Project Final EIR 215 2014-12-02 Agenda Packet Page 529 CEQA Findings of Fact and Statement of Overriding Considerations Affordable Housing The SPA Plans provide a wide variety of housing types, including affordable housing. Proposed housing includes apartments, townhomes, condominiums, attached housing, small lot single- family, and conventional lot single-family residential. The SPA Plans include an Affordable Housing Plan to ensure that ten percent of units in the SPA would be affordable units. High- density development and accessory units would provide opportunities for affordable housing. A total of 10% of all units would be income-qualified homes, 50% of which must be affordable to low-income households. Preserve In areas where the project proposes development in areas previously identified as Preserve, this land is being replaced with biologically equivalent Preserve land which would result in a superior Preserve design, increased wildlife connectivity/improved wildlife corridors, and preservation of sensitive species and habitat. Village Three North and Portion of Village Four includes approximately 158.1 acres of designated Preserve open space. Public Services The proposed project ensures the adequate provision of public services, including police services, fire protection and medical response, and additional elementary schools located within each of the villages. Additionally, all new units would be subject to the existing Chula Vista Elementary School District and Sweetwater Union High School District Community Financing Districts. Fiscal Impact The proposed project encourages economic growth and diversity within the City of Chula Vista. Increasing the number of dwelling units within the same village footprint increases tax revenues from residential and commercial uses, supports employment of construction workers, and reduces per capita costs for provision of public services. The proposed project's combination of uses in Village Three North also appears to meet the goal of creating an environment for higher value jobs based on the mix of office and light industrial uses, as envisioned for the Village Three North site. The proposed land use in Village Three North creates capacity for an estimated 460 additional jobs over the previous employment estimates, not including additional capacity for an estimated 100 retail jobs. Water Conservation The water conservation plan and landscape design proposed in the SPA Plan would promote efficient water use. The water conservation plan creates a comprehensive framework for design and maintenance for water conserving measures. The purpose of the water conservation plan is Otay Ranch University Villages Project Final EIR 216 2014-12-02 Agenda Packet Page 530 CEQA Findings of Fact and Statement of Overriding Considerations to respond to the Growth Management policies of the City of Chula Vista, which are intended to address the long-term need to conserve water in new developments, address short-term emergency measures, and establish standards for water conservation. The proposed project would develop an extensive water recycling system and investigate new ways of using recycled water. The proposed project would also comply with all water conservation standards and policies of jurisdictions. Landscaping within the proposed project would be required to comply with the City's Landscape Water Conservation Ordinance (CVMC Section 20.12). Additionally, the site would utilize recycled water to reduce potable water use for landscaping. Economic Contribution The proposed project encourages economic growth and diversity within the City of Chula Vista. Increasing the number of dwelling units within the Otay Ranch area increases tax revenues from residential and commercial uses, supports employment of construction workers, and reduces per capita costs for provision of public services. Additionally, permanent jobs would be created by the build-out of the commercial and industrial land components of the proposed project. Otay Ranch University Villages Project Final EIR 217 2014-12-02 Agenda Packet Page 531 CEQA Findings of Fact and Statement of Overriding Considerations INTENTIONALLY LEFT BLANK Otay Ranch University Villages Project Final EIR 218 2014-12-02 Agenda Packet Page 532 CEQA Findings of Fact and Statement of Overriding Considerations 10.0 CONCLUSION The proposed project implements the General Plan and Otay Ranch General Development Plan by responding to regulatory, economic, and market changes which have occurred since the initial vision for Otay Ranch over 20 years ago. These include greater choice for both for-sale and rental home typologies, increased density to use existing developable land more efficiently, and reducing the reliance on vehicular trips by locating additional residential development in proximity to transit,public amenities, and neighborhood serving uses. The City finds that there is substantial evidence in the administrative record of benefits, as described above in Section 9.1,which would directly result from approval and implementation of the proposed project. The City finds that the need for these benefits specifically overrides the impacts of the proposed project on landform alteration/aesthetics; transportation, circulation, and access; air quality; agricultural resources; utilities; and cumulative global climate change. Thus, the adverse effects of the proposed project are considered acceptable. The City has independently reviewed and analyzed the Final EIR as required by CEQA. Prior to that review and analysis, the City circulated the Draft EIR and appendices and those documents also reflect the City's independent review, analysis, and judgment pursuant to CEQA. As part of the certification of the Final EIR, the City finds that the Final EIR reflects the independent judgment of the City, acting in its capacity as the lead agency. As required by CEQA (Public Resources Code Section 21081.6), the City in adopting these findings, also adopts the MMRP as prepared by the environmental consultant under the City's review and direction. The City hereby finds that the MMRP meets the requirements of Public Resources Code Section 21081.6 by providing for the implementation and monitoring of the project mitigation measures set forth herein, which mitigate the identified significant impacts associated with the project and are fully enforceable through permit conditions, agreements, these findings, and other measures. Otay Ranch University Villages Project Final EIR 219 2014-12-02 Agenda Packet Page 533 CEQA Findings of Fact and Statement of Overriding Considerations INTENTIONALLY LEFT BLANK Otay Ranch University Villages Project Final EIR 220 2014-12-02 Agenda Packet Page 534 City of Chula Vista CTY CHUILAVISTA Staff Report File#: 14-0606, Item#: 12. CONSIDERATION OF AMENDING THE GENERAL PLAN, THE OTAY RANCH GENERAL DEVELOPMENT PLAN, VARIOUS OTAY RANCH VILLAGE SECTIONAL PLANNING AREA PLANS, AND APPROVING VILLAGE THREE NORTH AND A PORTION OF FOUR, EIGHT EAST, AND TEN SECTIONAL PLANNING AREA PLANS AND RELATED TENTATIVE MAPS A. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AMENDMENTS TO THE CITY'S GENERAL PLAN AND THE OTAY RANCH GENERAL DEVELOPMENT PLAN TO REFLECT LAND USE, CIRCULATION AND POLICY CHANGES FOR APPROXIMATELY 1 ,375 ACRES WITHIN THE OTAY RANCH PLANNED COMMUNITY, INCLUDING ASSOCIATED TEXT, MAPS AND TABLES B. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE OTAY RANCH VILLAGE THREE NORTH AND A PORTION OF FOUR SECTIONAL PLANNING AREA (SPA) PLAN PROPOSING 1 ,002 SINGLE- FAMILY DWELLING UNITS, 595 MULTI-FAMILY DWELLING UNITS, APPROXIMATELY 40 GROSS ACRES OF INDUSTRIAL AND OFFICE USES, AND A MINIMUM OF 20,000 SQUARE FEET OF RETAIL USES FOR AN APPROXILATELY 436.0 ACRE SITE LOCATED PRIMARILY NORTH OF MAIN STREET AND NORTHWEST AND SOUTHEAST OF HERITAGE ROAD C. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE OTAY RANCH VILLAGE EIGHT EAST SECTIONAL PLANNING AREA (SPA) PLAN PROPOSING 943 SINGLE-FAMILY DWELLING UNITS, 2,617 MULTI-FAMILY DWELLING UNITS, AND A MINIMUM OF 20,000 SQUARE FEET OF RETAIL COMMERCIAL USES FOR AN APPROXIMATELY 575.3 ACRE SITE LOCATED PRIMARILY SOUTH OF MAIN STREET AND WEST OF SR-125 D. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE OTAY RANCH VILLAGE TEN SECTIONAL PLANNING AREA (SPA) PLAN PROPOSING 695 SINGLE-FAMILY DWELLING UNITS, AND 1,045 MULTI-FAMILY DWELLING UNITS FOR AN APPROXIMATELY 363.4 ACRE SITE LOCATED SOUTH OF HUNTE PARKWAY AND THE FUTURE UNIVERSITY SITE City of Chula Vista Page 1 of 25 Printed on 11/26/2014 istar 2014-12-02 Agenda Packet powered by Leg age 535 File#: 14-0606, Item#: 12. E. ORDINANCE OF THE CITY OF CHULA VISTA APPROVING THE SECTIONAL PLANNING AREA (SPA) PLANNED COMMUNITY DISTRICT REGULATIONS FOR OTAY RANCH VILLAGE THREE NORTH AND A PORTION OF FOUR (FIRST READING) F. ORDINANCE OF THE CITY OF CHULA VISTA APPROVING THE SECTIONAL PLANNING AREA (SPA) PLANNED COMMUNITY DISTRICT REGULATIONS FOR OTAY RANCH VILLAGE EIGHT EAST (FIRST READING) G. ORDINANCE OF THE CITY OF CHULA VISTA APPROVING THE SECTIONAL PLANNING AREA (SPA) PLANNED COMMUNITY DISTRICT REGULATIONS FOR OTAY RANCH VILLAGE TEN (FIRST READING) H. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING TENTATIVE MAP CVT-13-02 (PCS-13-02) FOR THE OTAY RANCH VILLAGE THREE NORTH AND A PORTION OF FOUR PROJECT SUBJECT TO THE CONDITIONS CONTAINED HEREIN I. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING TENTATIVE MAP CVT-13-03 (PCS-13-03) FOR THE OTAY RANCH VILLAGE EIGHT EAST PROJECT SUBJECT TO THE CONDITIONS CONTAINED HEREIN J. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING TENTATIVE MAP CVT-13-04 (PCS-13-04) FOR THE OTAY RANCH VILLAGE TEN PROJECT SUBJECT TO THE CONDITIONS CONTAINED HEREIN RECOMMENDED ACTION Council conduct the public hearing, adopt the resolutions and place the ordinances on first reading. SUMMARY The applicant, SSBT LCRE V, LLC (SSBT), filed an application for the University Villages Project which includes amendments to the General Plan (GPA-10-02), Otay Ranch General Development Plan Amendments (GDPA-09-28), and Sectional Planning Area (SPA) Plans and Tentative Maps for Villages Three North and a Portion of Four (PCM-1 2-06/PCS-1 3-03), Eight East (PCM-1 2-04/PCS-1 3 -03), and Ten (PCM-12-01/PCS-13-04). The Project implements the terms of the Land Offer Agreement for Villages Three North and a Portion of Four, Eight East and Ten approved in 2014 between the City of Chula Vista and SSBT. ENVIRONMENTAL REVIEW The Otay Ranch University Villages Final EIR has been prepared in accordance with CEQA (Public Resources Code Section 21000 et seq.) and the City of Chula Vista's Environmental Review Procedures. Pursuant to Section 21067 of CEQA and Section 15367 and Sections 15050 through 15053 of the CEQA Guidelines, the City of Chula Vista is the Lead Agency under whose authority this EIR has been prepared. In accordance with the requirements of the California Environmental Quality Act (CEQA), a second- tier Environmental Impact Report (EIR-13-01) has been prepared to analyze the environmental City of Chula Vista Page 2 of 25 Printed on 11/26/2014 istar 2014-12-02 Agenda Packet powered by Leg age 536 File#: 14-0606, Item#: 12. impacts of the proposed University Villages GPA, GDPA, SPAs and TMs. EIR-13-01 is discussed in detail in a companion agenda statement and must be addressed and acted upon prior to City Council consideration of the University Villages GPA, GDPA, SPAs and TMs. BOARD/COMMISSION RECOMMENDATION The Planning Commission, at their November 12, 2014 meeting, held a public hearing to review the project. The Planning Commission unanimously voted in favor of recommending approval of the project and asked staff to also provide a fiscal analysis of currently approved land uses. DISCUSSION The Project relates to three primary geographic areas (Villages Three North and a Portion of Four, Eight East and Ten) within Otay Ranch area of the City of Chula Vista. One of the areas, Village Ten, is located adjacent to the future university site. (Attachment 1 - Locator Map) As envisioned in the City's General Plan (GP) and the Otay Ranch General Development Plan (GDP) the City of Chula Vista has maintained a vision of locating a university within the Otay Ranch. The GP and GDP assign the designation of University within the southeastern area of the Otay Ranch. While the properties have been designated "University" many of the parcels that comprise the university area have been held in private, rather than public, ownership. In 2001, progress in assembling the land necessary to locate the University was made with the acquisition of approximately 140 acres of developable land for university purposes. It was understood that additional acreage was required to realize the land mass envisioned for the University by the GP and GDP. In 2007, the City began negotiating with area landowners on a land plan that would be beneficial to the City and carry out the goals of the GP and GDP. On July 8, 2014 the City of Chula Vista entered into a Restated and Amended Land Offer Agreement (LOA) with landowner SSBT that would allow the City of Chula Vista to accept Irrevocable Offers of Dedication (IODs) for an additional 130.7 acres of developable University/Regional Technology Park land (as well as an adjacent 40 acres of Preserve land that could be potentially converted to university purposes land) and 22.6 acres of active recreation land, if certain entitlements are approved within the required timeframes. The proposed project is consistent with the LOA between the Applicant and the City, which consists of up to 6,897 homes and associated village land uses within three geographic areas within the Otay Valley Parcel of the Otay Ranch GDP. The LOA supports the vision expressed in the GP and GDP for a University in Eastern Chula Vista. The GP/GDP amendments (Project) will result in land use changes for project areas, reconfigure existing Otay Ranch village boundaries, increase residential densities, and amend the General Plan Circulation Element in eastern Chula Vista. The General Plan amendment (GPA), and Otay Ranch General Development Plan (GDP) amendment, will result in policy, circulation, and land use changes affecting lands within the Project area. All amendments are intended to facilitate and support a university site, and establish appropriate land uses adjacent to the university. The GP/GDPA will establish the land use patterns and development intensities necessary for a successful university. The SPA Plans and Tentative Subdivision Maps related to the three project areas further implement the vision for Otay Ranch Area Urban Villages in the context of established and planned communities City of Chula Vista Page 3 of 25 Printed on 11/26/2014 istar 2014-12-02 Agenda Packet powered by Leg age 537 File#: 14-0606, Item#: 12. along the University site Project Area Descriptions Village Three North and a Portion of Four Village Three North and a Portion of Four (approximately 436.0 acres of the proposed project area) is located at the southwest edge of the Otay Valley Parcel of Otay Ranch, just north of the Otay Valley Regional Park (OVRP), north and south of the future extension of Main Street and east of existing industrial development. The Village Three North component of the proposed project encompasses a Portion of Village Three as identified in the Otay Ranch GDP. The portion of Village Four included in the proposed project area is within the Otay Ranch GDP boundaries of Village Four; however, it is limited to 29.7 acres. Village Three North is visible from the OVRP and the Chula Vista Greenbelt trail systems. The Portion of Village Four is located west of the southern terminus of La Media Road, east of Wolf Canyon and north of the Otay Valley rock quarry. The Portion of Village Four is visible from the southern edge of Village Two and from the eastern Portion of Village Three North. (Refer to Attachment 2a). Village Eight East Village Eight East (approximately 575.3 acres) is located at the southern edge of the Otay Valley Parcel of Otay Ranch, just north of the Otay River Valley, primarily south of Main Street, and west of SR-125. Situated above the bottom of the river valley, Village Eight East is visible from the OVRP and Chula Vista Greenbelt trail systems. Village Eight East encompasses the eastern part of Village Eight, adjacent to SR-125, as identified in the Otay Ranch GDP, as well as a portion of Village Seven. The project includes a boundary adjustment for that portion of Village Seven to be encompassed in Village Eight East. The Village Eight East project area also includes active recreation and open space designated lands within the Otay Ranch General Development Plan Planning Area 20. (Refer to Attachment 3a). Village Ten Village Ten (approximately 363.4 acres) is located south of Hunte Parkway and the future University site, west of Salt Creek Canyon and north of the Otay River Valley. Village Ten is visible from the OVRP and Chula Vista Greenbelt trail systems, as well as the County of San Diego Lower Otay Regional Park. The Village Ten component of the proposed project includes the eastern portion parcel of Village Nine and the southern portion of Village Ten as identified in the Otay Ranch GDP. (Refer to Attachment 4a). GP Amendments The proposed GP amendments would result in the following changes in land use in each village. Enclosure 1 contains details of proposed GP Amendments. The existing and proposed GP Plans are contained respectively in Attachments 5 and 6. The proposed project also seeks to change portions City of Chula Vista Page 4 of 25 Printed on 11/26/2014 istar 2014-12-02 Agenda Packet powered by Leg age 538 File#: 14-0606, Item#: 12. of the adopted Chula Vista GP Circulation Plan-East in order to support the project's design. These amendments would allow the Circulation Plan to be consistent with proposed land use changes. Village Three North and a Portion of Village Four Village Three North land use changes would convert the existing Limited Industrial land uses to the following: Residential Low-Medium, Residential Medium, Mixed-Use Residential, Parks and Recreation, Public and Quasi Public, Open Space (OS), Open Space Preserve (OS/P), and Mixed- Use Commercial. The proposed land use changes for the Portion of Village Four would convert a portion of the area designated as OS to OS/P. The amendment would allow for residential land uses to be located within the 1 ,000 foot nuisance easement area however, not within 1,000 feet of the active landfill area. Village Eight East Village Eight East land use changes would convert the Residential Low-Medium to Residential Medium as well as rearrange the uses. Uses proposed for Village Eight East include: Mixed-Use Residential, Residential Medium, Public and Quasi Public, Parks and Recreation, Open Space - Active Recreation and OS. Village Ten Village Ten land use changes would convert the existing designated uses of Public and Quasi Public to Residential Medium, Mixed-Use Residential, Parks and Recreation, and OS. Areas remaining north of the proposed Village Ten boundary would be available to accommodate the future university site. A parcel of approximately 8 acres would be detached from Village Nine and be re-assigned to Village Ten. Otay Ranch GDP Amendments The following provides an overview of proposed amendments to the Otay Ranch GDP (Refer to Enclosure 2 for full document of changes). These amendments are required to implement the land plans of the proposed project. Land Use Changes The existing Otay Ranch GDP Land Use Plan for the project area is shown on Attachment 7. The proposed project seeks to amend the land uses identified on the Otay Ranch GDP Land Use Map in Villages Three North and a Portion of Village Four, Village Eight East, and Village Ten. The proposed Otay Ranch GDP Land Use Plan for the project area is shown on Attachment 8. The tables that follow provide the existing Otay Ranch GDP land uses as currently approved and the proposed land uses. Overall, residential dwelling unit yields would increase under the project from 1 ,263 (existing) to 6,897 (proposed) representing a net increase of 5,634 dwelling units. Project population would increase from 4,707 to 19,775 persons. Developed park land would increase from 13.2 to 92.1 gross acres. Industrial lands would decrease from 176.5 to 39.9 gross acres. Commercial lands would City of Chula Vista Page 5 of 25 Printed on 11/26/2014 istar 2014-12-02 Agenda Packet powered by Leg age 539 File#: 14-0606, Item#: 12. increase from 8.9 to 22.1 gross acres. Additionally, the location of Village Ten supports the creation and configuration of the future university site. Village Three North and a Portion of Village Four Village Three North land use changes are proposed to convert a portion of existing Industrial use designations to the following: Low-Medium Village Residential, Medium Residential, Mixed Use, Mixed Use Commercial (MU-C), Community Park/Park (P-2/P), and OS. The Otay Ranch GDP land use changes for the Portion of Village Four would adjust a portion of the area designated as OS to OS/P. The amendment would locate residential uses within the 1,000 foot nuisance easement area however, not within 1,000 feet of the active landfill area. Tables 1, 2, 3 and 4 below describe the existing and proposed land uses. Table 1 Existing Village Three Land Uses Use Dwelling Units Acreage Approx . Pop. SF MF Total Dens Res Park CPF Sch C'ml Ind. OS Art Total Industrial 10.2 176.5 176.5 Other 10.2 146.9 34.8 191.9 Total 1 176.5 146.9 34.8 368.410 Table 2 Proposed Village Three Land Uses Use Dwelling Units Acreag e Approx . Pop. SF MF Total Dens Res Park CPF Sch C'ml Ind. OS Art Total LMV 51 51 4.9 10.5 .5 11.0 169 M 951 951 7.8 122.4 1.1 8.3 123.5 3,169 MU 595 595 40.8 14.6 7.9 2.6 33.4 1,535 MUC 11.3' 11.3 1 39.9 39.9 Other 129.5 19.8 164.3 Total 1002 1597 10.8 147.5 7.9 4.2 8.3 129.5 19.8 368.4 4,873 +20,000 Square feet of commercial may occur vertically or horizontally;therefore,actual acreage may vary. *Part of park acreage requirement has been allocated to community parks.Actual park size to be determined at the SPA level.Park acreage based on ratio of 3.0 acres per 1000 persons. **Includes 5.2 acres of Office and 6.1 acres of Mixed Use. Population estimate based on 3.3 persons per single family household and 2.55 persons per multi-family household. City of Chula Vista Page 6 of 25 Printed on 11/26/2014 2014-12-02 Agenda Packet Page 540 File#: 14-0606, Item#: 12. Table 3 Existing Portion of Village Four Land Uses Use Dwelling Units Acreage Approx . Pop. SF IMF Total Dens Res Park CPF Sch C'ml Ind. OS Art Total Other 17.8 167.1 184.9 Total 0 0 Table 4 Proposed Portion of Village Four Land Uses Use Dwelling Units Acreage Approx . Pop. SF IMF Total Dens Res Park CPF Sch C'ml Ind. OS Art Total Other 17.8 167.1 184.9 Total 0 0 Village Eight East Land uses proposed for Village Eight East would be consistent with the existing Otay Ranch GDP land use designations-Mixed Use, Community Park/Park, and OS-and would convert Medium-High Residential to Medium Residential. Tables 5 and 6 below describe the existing and proposed land uses. Table 5 Existing Village Eight Land Uses Use Dwelling Units Acreage Approx . Pop. SF IMF Total Dens Res Park CPF+ Sch C'ml OS Art Total LMV 635 635 4.3 148.5 148.5 2,115 MU 5.9** 2.9 8.9 17.7 MH 293 293 14.5 20.2 10.0 30.2 756 Other 15.1 9.5 24.6 Total 635 293 928 5.5 168.7 5.9 2.9 10.0 8.9 15.1 9.5 221.0 2,871 **Part of park acreage requirement has been allocated to community parks.Actual park size to be determined at the SPA level.Park acreage based on ratio of 3.0 acres per 1000 persons. Population estimate based on 3.3 persons per single family household and 2.55 persons per multi-family household. City of Chula Vista Page 7 of 25 Printed on 11/26/2014 2014-12-02 Agenda Packet Page 541 File#: 14-0606, Item#: 12. Table 6 Proposed Village Eight Land Uses Use Dwelling Units Acreage Approx . Pop. SF MF Total Dens Res Park CPF Sch C'ml OS Art Total M 943 943 7.2 130.5 1.6 132.1 3,140 MU 2617 2617 42.2 62.1 7.3 2.9 10.8 10.8 82.8 6,752 Other 11.2 9.9 21.1 Total 943 2617 3560 18.5 192.6 7.3 4.5 10.8 10.8 11.2 9.9 236.0 9,892 *20,000 Square feet of commercial may occur vertically or horizontally;therefore,actual acreage may vary. **Part of park acreage requirement has been allocated to community parks.Actual park size to be determined at the SPA level.Park acreage based on ratio of 3.0 acres per 1000 persons. Village Ten Village Ten proposed land use changes would convert the existing land designated as University to the following: Medium Residential, Mixed-Use Residential, Park, and OS. Refer to Tables 7 and 8. Table 7 Existing Planning Area Ten Land Uses Use Dwelling Units Acreage Approx . Pop. SF MF Total Dens Res Park CPF+ Sch C'ml OS Art Total L 35 35 2.0 17.8 17.8 112 LMV 242 242 4.5 53.9 53.9 774 M 30 30 6.0 5.1 5.1 96 MU 4.0 2.5 3.1 9.6 MH 335 335 17.5 18.8 4.6 23.4 854 CP 3.3 3.3 Other [24.9 4.9 12.7 37.6 Total 307 293 335 5.5 168.7 7.3 2.5 4.6 3.1 12.7 150.7 1,836 City of Chula Vista Page 8 of 25 Printed on 11/26/2014 2014-12-02 Agenda Packet Page 542 File#: 14-0606, Item#: 12. Table 8 Proposed Village Ten Land Uses Use Dwelling Units Acreage Approx . Pop. SF MF Total Dens Res Park CPF+ Sch C'mI OS Art Total M 695 695 7.9 88.0 1.7 89.7 2,314 MU 1045 1045 41.6 25.1 7.6 2.6 9.2 44.5 2,696 Other 16.5 16.5 Total 695 1045 1740 15.4 113.1 7.6 4.3 9.2 1 16.5 150.7 5,010 Circulation Plan Changes The proposed project seeks to change portions of the adopted Otay Ranch GDP Circulation Plan. These amendments are essential the same as those circulation plan changes described in the GP amendments and would allow the Circulation Plan to be consistent with proposed land use changes. Other amendments to the Otay Ranch GDP include establishing revised village/planning area boundaries for Village Three North, Village Eight East, Village Nine, Village Ten, and the University/Research Technology Park Planning Area. Also included is the elimination of the requirement to provide an average 75-foot landscape buffer along Otay Valley Road through Village Ten due to the change in character of the road and surrounding village development. Chula Vista MSCP Subarea Plan and Otay Ranch Boundary Adjustment The proposed project would result in an adjustment to the boundaries of the Chula Vista MSCP Preserve as identified in the MSCP Subarea Plan and would also result in a Boundary Modification to the Otay Ranch Preserve as identified in the Otay Ranch RMP. Specifically, the project proposes to develop approximately 5.1 acres adjacent to Village Three North, 1 .3 acres adjacent to Village Ten, and roughly 40.9 acres adjacent to the University site previously identified as Preserve. The project proposes to designate 4.3 acres in Village Three North and a Portion of Village Four and 50.7 acres on the east side of Salt Creek, previously identified for development by the MSCP, as Preserve. The result is an overall increase of approximately 7.7 acres of MSCP Preserve land. Sectional Planning Area Plans Village Three North and a Portion of Four City of Chula Vista Page 9 of 25 Printed on 11/26/2014 istar 2014-12-02 Agenda Packet powered by Leg age 543 File#: 14-0606, Item#: 12. The Village Three North portion of the SPA Plan Area was originally included within the planning boundaries of Village Three and the Villages Two, Three, and a Portion of Village Four SPA Plan approved by the Chula Vista City Council in 2006. Proposed amendments to the 2006 SPA Plan will exclude the Village Three North area from the SPA boundary to coincide with current ownership boundaries. This SPA Plan includes a Portion of Village Three (Village Three North). The balance of Village Three (Village Three South) remains in the Villages Two, Three and a Portion of Village Four SPA Plan, is not a part of the SPA Plan area and is under separate ownership. Enclosure 3 contains the proposed SPA Plan. Village Three North is designed as an urban village with pedestrian orientation and a multi-modal transportation focus. The design is consistent with the goals of the Otay Ranch GDP which guide the creation of a distinct, residential community including a village core. The community is designed to attract village residents to the core for social, public service, neighborhood shopping and recreation and community activities. A variety of residential neighborhoods are planned south of the village core connected by an internal circulation network that emphasizes pedestrian comfort and safety. The City of Chula Vista Regional Trail continues south from Village Two along Heritage Road through Village Three North, ultimately connecting to the Greenbelt Trail planned in the Otay River Valley. The Regional Trail along Main Street provides an east-west pedestrian connection between Village Three North and villages to the east. The Village Pathway connects the village core to the Regional Trail. The northern portion of Village Four included within the SPA Plan area includes a community park. Access is provided via the extension of Santa Luna Road west of La Media Road. A regional trail along La Media is extended along Santa Luna, providing a continuous pedestrian link into the community park and the residential neighborhood. A "Main Street" village identity is created along the central north/south street through Village Three North. Two additional Secondary Village Entry Streets enter Village Three North from Heritage Road. The extension of Main Street forms the southern boundary of the village. This community structure establishes key pedestrian connections along Heritage Road to and through the Business Park and between village serving land uses in the core and the surrounding residential neighborhoods. The village core includes an elementary school, a neighborhood park, higher density residential a CPF Site and commercial/mixed use land uses. A Rapid Bus route is planned along Main Street. A Local Bus stop may be provided along Heritage Road, within walking distance of the village core and business park uses. The location of mixed use commercial/retail land uses within the village core provides neighborhood serving land uses within walking distance of a majority of Village 3 North residents. Consistent with the village planning concept, higher density residential development is located in the village core with decreasing densities and single family detached homes located towards the perimeter of the village. Private recreational facilities (designated "CPF" or "P-OS" on the plan), approximately one-half to one-acre in size, are located in the residential neighborhoods and are connected to the core along a network of Promenade streets. Village serving land uses including the private recreational facilities, a neighborhood park and elementary school are located to create a series of open space focal points within the village. The residential neighborhoods of the village are connected by a grid street system to create multiple pedestrian and vehicular travel options City of Chula Vista Page 10 of 25 Printed on 11/26/2014 2014-12-02 Agenda Packet powered by Leg age 544 File#: 14-0606, Item#: 12. throughout the village. Village Three North includes one segment of the Chula Vista Greenbelt Trail (approximately 289'). This segment will be implemented according to the Greenbelt Master Plan and OVRP Design Standards and Guidelines. The southern portion of the Otay Ranch Business Park is located in the northern portion of the SPA Plan area south of the Otay Landfill. The land use plan for this area provides for large-pad developments suitable for industrial and business park uses. Multiple points of access to the Business Park are provided from Heritage Road. This circulation design facilitates access and movement throughout the site. Office and commercial uses are support on a parcel south of Heritage Road, at the north east corner of the Village Three. A Site Utilization Plan (Attachment 2a) and Site Utilization Table (Attachment 2b) depict the location and acreage of the land uses and the densities. The SPA Park Master Plan includes one Neighborhood Park (6.6 net acres). The location is within walking distance of the most densely populated portion of the village and its proximity to the elementary school provides opportunities for shared facilities, access and programs. Also included in the overall plan is a 15.6 net acre portion of the future Otay Ranch Community Park. Project area trails along with area parks and open space are depicted on Attachment 2e. Public Facilities Financing Plan (PFFP) and Fiscal Impact Analysis (FIA) The SPA Plan includes a PFFP and FIA. The PFFP, prepared for the city by Burkett & Wong Engineers (B&W), addresses all of the public facility needs associated with Village Three North and a Portion of Four. The PFFP has been prepared under the requirements of the City of Chula Vista's Growth Management Program (GMP), Growth Management Ordinance (GMO) (CVMC 19.09) and Chapter 9 - Growth Management of the Otay Ranch GDP. The PFFP provides an analysis of threshold requirements and a set of recommendations for public facility needs associated with traffic, police, fire and emergency services, schools, libraries, parks, water, sewer, drainage, air quality, civic center, corporation yard, and other city administrative facilities. The PFFP also includes a FIA of the Village Three North and a Portion of Four plan and phasing program that was prepared by HR&A Advisors. The Village Three North and a Portion of Four FIA has been prepared using the City's Fiscal Impact Framework to provide a consistent evaluation of all of the Chula Vista SPAs. The Framework utilizes the City of Chula Vista budget to identify and allocate variable revenues and costs that grow proportionally with incremental development, and sets up a consistent method to calculate revenue and cost impacts that may change according to the specific development program. Such variables include property taxes, vehicle license fees, sales tax receipts, and transient occupancy tax receipts. Based on the FIA and the assumptions contained therein, the village is expected to generate a positive annual net fiscal impact of $401,000 in 2030 (Year 17). Annual fiscal impacts are negative from Year 1 through Year 3 primarily due to the lag in property tax receipts. During this period, the project will generate a net fiscal cost to the City of -$164,000. The project generates a net fiscal revenue staring in the fourth project year (2017). There is a one-time surge in annual fiscal impacts in year 6 (2019) due to property transfer tax from the last year of residential absorption. Thereafter, net fiscal revenues gradually increase as industrial acres and commercial acres are absorbed City of Chula Vista Page 11 of 25 Printed on 11/26/2014 2014-12-02 Agenda Packet Page 545 File#: 14-0606, Item#: 12. between 2018 and 2028 (Year 5 and Year 15). (CVMC Section 19.09.060(J) states that "projects shall be conditioned to provide funding for periods where expenditures exceed projected revenues." A condition has been added to the Tentative Map conditions requiring that the applicant enter into an agreement to provide such funding. Please refer to the PFFP, which includes the fiscal impact analysis, for additional details (SPA Plan). Village Three Alternative Plan The project also includes an alternative land use plan that maintains the same quantity of dwelling units and similar non-residential land acreages but with a reconfigured mixed use core area. The alternative land plan precludes the construction of residential units within 1 ,000 feet of the active landfill area (Consistent with the Amended and Restated Otay Landfill expansion Agreement (August 12, 2014), Paragraph 2.5 Residential Setback of the Otay Landfill Expansion Agreement, requires the City to not allow the construction of residential units on properties within 1 ,000 feet of the active area of the Otay Landfill). The Village Three Alternative Plan would locate residential parcels within about 700 feet of the landfill's southern boundary. While the current landfill nuisance easement boundary (established in 1997) is 1 ,000 feet from the landfill's southern property boundary, the 1 ,000 foot buffer (Active Landfill) is approximately 700 feet from the southern Otay Landfill. The Alternative Land Plan relocates the neighborhood park where a few residential neighborhoods (R-1 , R-4, R-6) reside in the non-alternative land plan. Additionally, the boundary between the 0-1 parcel and adjacent residential is reconfigured to coincide with the 1 ,000 foot buffer boundary. The Alternative Plan (Enclosures 4a, b, and c) maintains the mix of village core land uses thereby maintaining consistency with the design parameters of Otay Ranch Village Cores. The applicant's preferred plan is the "non-alternative". Public comments received by the City during the Project's EIR public review comment period included a comment from the San Diego County Solid Waste Local Enforcement Agency (LEA) pertaining to the Village Three Alternative Plan. The LEA indicated a preference for the Alternative since "Per the Draft EIR, this alternative is consistent with the City of Chula Vista's General Plan Policy E 6.4 which avoids placement of sensitive receptors (residential properties, schools, etc.) within 1 ,000 feet of a "toxic emitter" and the landfill is identified as a major toxic emitter" in the Draft EIR". The preferred plan ("non-alternative") is also consistent with General Plan Policy E 6.4. Policy 6.4 states: "Do not site new or re-powered fossil- fueled baseload or peaking-type Electrical Generating Facilities and other major toxic air emitters within 1 ,000 feet of sensitive receptors or site sensitive receptors within 1,000 feet of such facilities." The operative phrase that applies to Village Three North is "...and other major toxic air emitters within 1 ,000 feet..." With the application of and implementation of a Tentative Map condition of approval that prohibits the construction of residential structures within 1,000 feet of the active landfill area; the project will be in compliance with the General Plan Policy 6.4. The Planning Commission reviewed the merits of each of the two land plans for Village 3 North and indicated a preference for the preferred plan following testimony from the public. Should the Council choose the Alternative Land Plan (Enclosure items 4a, b, c and d) staff will be able to, along with the Applicant, create a conformed copy of the SPA Plan document. Conversion of Industrial Lands City of Chula Vista Page 12 of 25 Printed on 11/26/2014 istar 2014-12-02 Agenda Packet powered by Leg age 546 File#: 14-0606, Item#: 12. The subject of job-housing balance and the adequacy of Chula Vista's employment lands inventory to meet projected local jobs demand was prevalent part of the General Plan Update (GPU) process. The consulting firm AECOM was retained during the GPU to prepare an Employment Lands Analysis (ELA) evaluating both the regional context for employment demands, and in particular the amount of employment land capacity that Chula Vista should be retaining/building into the GPU. Three scenarios were developed (Low, Moderate and High), with the "low" scenario reflecting Chula Vista's historic capture rate of regional employment growth, and the "moderate and high" scenarios assuming increasing capture rates for Chula Vista given our increasing attractiveness as other employment opportunities in the region are consumed. The conclusions presented with the GPU (adopted in December 2005) were positive, and supported by the expansion of office capacity within the Urban Core area, future Bayfront development, the University, as well as through the addition of the Regional Technology Park (RTP) use in eastern Chula Vista. To be conservative, and recognizing Chula Vista's growing role in regional employment attraction, the ELA suggested that Chula Vista plan for the moderate or high demand scenario, and consider providing for some residual capacity beyond the year 2030 which was the horizon for the ELAs. Given that the 2010 Land Offer Agreements proposed changes to employment lands over those analyzed and adopted as part of the GPU, the City of Chula Vista (City) retained AECOM to review the assumptions and projections considered in the 2005 GPU analyses, investigate any significant changes in regional market conditions, and considering those changes, identify the resulting effects of the proposed projects on the adequacy of the City's employment lands base. AECOM prepared a series of updated ELAs evaluating LOA land use changes for both the OLC and JPB properties. As presented in those updated ELAs, after evaluating revised demand assumptions to reflect 2010 market conditions, and a fairly significant adjustment in SANDAG's regional employment forecast due largely to the Great Recession, AECOM concluded that the proposed land use changes will not have a negative effect on the sufficiency of the City's remaining employments lands to meet revised demands under either the moderate or high demand scenarios. The below table summarizes those outcomes, and shows the revised, current moderate and high demand scenario amounts for Chula Vista in comparison to the original GPU work. As can be seen, the demand projections have dropped from those of the GPU due primarily to SANDAG's revised regional employment demand projections. It should be noted that these figures do not include the retail sector as the focus of the ELAs was on the creation of "higher value" jobs which are predominantly associated with the office and industrial land use sectors. Employment Lands Demand Summary City of Chula Vista Page 13 of 25 Printed on 11/26/2014 istar 2014-12-02 Agenda Packet powered by Leg age 547 File#: 14-0606, Item#: 12. ■ 2005 OPU Projection - Industrial Space Demand Moderate Scenario: 5.6 Million SF 1 (342 Acres) a High Scenario: 9.1 Million SF 1 (558 Acres) ■ 2012 Projection - Industrial Space Demand - Moderate Scenario: 2.8 Million SF 1 (171 Acres) - High Scenario: 4.1 Million SF 1(253 Acres) 2005 OPU Projection - Office Space Demand Moderate Scenario: 2.2 Million SF High Scenario: 3.8 Million SF 2012 Projection - Office Space Demand Moderate Scenario: 1.2 Million SF High Scenario: 2.2 Million SF Using the "high" demand sceario, Chula Vista should be retaining capacity for approximately 4.1 million square feet of industrial job space. Under an assumed Floor Area Ratio (FAR) of approximately .4 (meaning only 40% of any site is considered when calculating capacity), that equates to approximately 253 acreas of land. For Office capacity, the revised figure for the high demand scenario is 2.2 million square feet. Acre conversions are not shown for Office capacity as FARs on office sites vary greatly, including mid- to high-rise bulding configurations that could be present in both the Urban Core and Eatern Urban Center (Millenia) where FARs can be much higher. Below is a summary table prepared by staff illustrating the current estimated supply/capacity of remaining major Office and Industrial land inventories throughout Chula Vista. For the Industrial category, the acreages were taken from both vacant parcels in our land use inventory, and from adopted land plans. As reflected in the footnotes, potential building square footage capacity was estimated by applying "net land" discounts to the acres, and then assuming development at a .3 FAR which is average for industrial development. For the Office category, square footages were taken from associated land planning documents, and as previously noted, acreas are not provided given the highly variant FARs, and that some of these capacities occur in a mixed use settings. With regard to proposed Village 3 land plan, it is important to note that the below information reflects the proposed reduction of industrial land, and the addition of office capacity. As can be seen, the remaining supplies/capacities for both Industrial and Office lands are more than sufficient to meet the revised ELA's high demand projections of 4.1 millon square feet (253 acreas) for Industrial, and the 2.2 million square feet for Office. This is not to suggest that we are somehow City of Chula Vista Page 14 of 25 Printed on 11/26/2014 2014-12-02 Agenda Packet Page 548 File#: 14-0606, Item#: 12. now "overplanned", but rather indicates that the City would have remining capacity beyond the year 2030 which was the horizon year for the ELAs. It's also wothwhile to note that some of this total available capacity may not ultimatley be built based on market conditions. Employment Land Supply Overview Industrial office Area Acres Square Feet Acres Square Feet VJLLAGE 8 WEST n/a 50,000 VILLAGE 5 nfa 1,200,000 EASTERN URBAN CENTER(EUC) n/a 2,000,000 UNIVERSITY n/a 818,261** REGIONAL TECHNOLOGY PARK(RTP) 85 1,850,300 VILLAGE 3 2.8.6 280,300 1113 120,0U0* URBAN CORE SPECIFIC PLAN n/a 1,300,00D SOUTHWEST CHULA VISTA 22 229,000 BAYFRONT 110 1,149,000 n/a 540,000 SllNBOW 46 480,000 VILLAGE 2 83 867,7OQ EASTLAKE BUSINESS CENTER 24 250,500 OTAY VALLEY ROAD 56 548,000 TOTAL 454.45 5,655,200 n/a 5,090,000 *Uses 20-25/;a reduction on acres for net land.Assurnes 4.3 FAR on net area. *' Academic and Administrative Offices Tentative Subdivision Map (PCS-13-02) The Village Three North and a Portion of Four Tentative Map covers 436.0 acres of land. The proposed subdivision includes 1 ,002 single family lots, three multi-family development parcels and nine mixed use lots. There are three Community Purpose Facility (CPF) sites, an Elementary School site, and two park sites. There will be approximately 192.8 acres of Open Space, and approximately 34.6 acres of land devoted to major roads. The multi-family parcels may be re-subdivided as development projects are submitted. The SPA Plan and the design process described in the PCD Regulations will control the dwelling unit counts within each of these larger parcels and ensure that development occurs in an orderly manner. The overall grading concept results in a development site that is sloped from the north to the south. City of Chula Vista Page 15 of 25 Printed on 1112612014 istarl 2014-12-02 Agenda Packet powered by Leg age 549 File#: 14-0606, Item#: 12. The grading proposes a balanced grading program with approximately 5.4 million cubic yards of cut and fill. In compliance with the requirements of the City's General Plan and the Otay Ranch GDP, contour grading techniques along with landscaping will be utilized on all manmade slopes. The Alternative Village Three North and a Portion of Four Tentative Map (PCS-13-02A) represents 950 single-family lots, six multi-family lots, 27.5 acres of mixed use/office/industrial, three CPF sites, an elementary school, two parks and 192.9 acres of open space. Major Roads account for 32.9 acres. Village 8 East The Village Eight East SPA Plan area represents the second eastern half of the former (Pre- February 2013) GDP titled Village Eight. Village Eight East will be self-contained in terms of having its own unique Village Core with an elementary school, public park, and mixed use areas yet will fit cohesively within the larger context of the community of Otay Ranch. Vehicular and pedestrian maintain connections with adjoining Otay Ranch Villages. Village Eight East is designed as an urban village with pedestrian orientation and a multi-modal transportation focus. The design is consistent with the goals of the Otay Ranch GDP which guide the creation of a distinct, residential community including a village core. The community is designed to attract village residents to the core for social, public service, neighborhood shopping and recreation and community activities. The Village Eight East Site Utilization Plan is provided in Attachment 3a. The Site Utilization Table is provided in Attachment 3b. The Village Eight East village core area is centrally located, placing the highest activity land uses within walking distance of a majority of homes. The village core includes an elementary school, a neighborhood park, community purpose facility sites, higher density residential and commercial/mixed use land uses. The location of mixed use commercial/retail land uses within the village core provides neighborhood serving land uses within walking distance of a majority of Village Eight East residents. A local bus stop may also be provided within the village core. A "Main Street" village identity is created along the Mixed Use frontage. As described in greater detail in the Village Eight East Design Plan, the Main Street theme is created through special paving, landscaping and architectural treatment at the mixed use and commercial area. The land use pattern establishes key pedestrian connections along Main Street and Otay Valley Road between village serving land uses in the core and the surrounding residential neighborhoods. The extension of Main Street forms the northern boundary of the Village. Otay Valley Road provides secondary access to Village Eight East as it links through Village Eight West and crosses SR-125 to connect with the University Planning Area (Villages Nine and Ten and the University and RTP). Regional Trails are provided on Main Street and Otay Valley Road. Village Eight East is connected to Village Nine via a future off-site pedestrian bridge which spans SR-125 and creates a pedestrian linkage from the Village Eight West Town Center through Village Eight East and to the University Planning Area as depicted in the Otay Ranch Overall Design Plan. A village paseo is provided within the northeast portion of the Village to provide a strong pedestrian linkage through single family City of Chula Vista Page 16 of 25 Printed on 11/26/2014 2014-12-02 Agenda Packet Page 550 File#: 14-0606, Item#: 12. neighborhoods to the village core. Village Eight East includes a 3/4 mile segment of the Chula Vista Greenbelt/OVRP Trail. Two pedestrian connections from Village Eight East to the Chula Vista Greenbelt/OVRP trail are provided along the Community Park Entry Drive and Community Park Paseo. Three points of pedestrian access are provided between the Community Park and the Greenbelt/OVRP trail along the parks, southern edge. Consistent with the village planning concept, higher density residential development is located in the village core with decreasing densities and single family detached homes located towards the perimeter of the village. A mixed-use area is designated within the village core to provide neighborhood serving retail/commercial uses within the village core. The single-family residential neighborhoods of the village are connected by a grid street system to create multiple pedestrian and vehicular travel options throughout the village. Densities generally decrease west to east and north to south, with the less dense single family homes located in the southern village portion of the village. The southern portion of the SPA Plan area includes the active recreation community park site. The site is essentially an island of developed parkland surrounded by open space Preserve lands. Vehicular and pedestrian access is provided to the west side of the site and pedestrian and emergency access is available on the east side of the site. Its proximity to the Otay Valley affords trail connections from the park to the City's greenbelt trail system. Village Eight East - Land Use Alternative The Village Eight East SPA Plan contains a Land Use Alternative for Neighborhoods R-11 a and R- 12. The Tentative Map provides a layout for single family homes within both of these neighborhoods. However, in order to provide greater flexibility to respond to changing market conditions through build -out of the village, a multi-family Land Use Alternative is included in this SPA. Under the Land Use Alternative, the two neighborhoods would be combined and developed as one multi-family neighborhood. Under the single family scenario a total of 103 dwelling units could be accommodated. If the Multi-family alternative were implemented, a transfer of units from another development area could yield up to a maximum of 449 dwelling units. In order to implement the multi- family option within Neighborhoods R-11a and R-1 2a, units would be transferred from other multi- family neighborhoods within Village Eight East and/or other multi-family neighborhoods in Villages Three North or Ten, subject to the Density Transfer discussion below. A maximum of 346 multi- family units may be transferred to the combined R-11 a / R-1 2a parcel, resulting in a maximum of 449 DUs. Public Facilities Finance Plan (PFFP) and Fiscal Impact Analysis (FIA) The PFFP, prepared for the city by Burkett & Wong Engineers (B&W), addresses all of the public facility needs associated with Village Eight East. The PFFP has been prepared under the requirements of the City of Chula Vista's Growth Management Program (GMP), Growth Management Ordinance (GMO) (CVMC 19.09) and Chapter 9 - Growth Management of the Otay Ranch GDP. The preparation of the PFFP is required in conjunction with the preparation of the SPA Plan to ensure that City of Chula Vista Page 17 of 25 Printed on 11/26/2014 2014-12-02 Agenda Packet powered by Leg age 551 File#: 14-0606, Item#: 12. the development is consistent with the goals and policies of the City's General Plan, GMP, GMO and the Otay Ranch GDP. The PFFP also includes a Fiscal Impact Analysis (FIA) of the Village Eight East plan and phasing program that was prepared by HR&A Advisors. Based on the FIA and the assumptions contained therein, the village is expected to generate a positive annual net fiscal impact of $123,000 in 2030 (Year 17). However, the project scenario is projected to generate net annual fiscal costs for 10 out of 15 years of absorption, totaling -1 .6 million. Net fiscal costs decrease after 2022 (Year 9) with gradual property tax revenue increases. Residential, parks, CPF, and other acres are fully absorbed in 2014 (Year 11). Annual net impacts become positive for the first time in 2025 (Year 12) and remain positive after 2026, as property revenues gradually increase relative to the stabilized costs of the fully absorbed residential and other acres. Based on the SPA Fiscal Framework's property growth factors, annual fiscal revenues grow from $23,000 in 2027 (Year 14) to $ 123,000 in 2039 (Year 17). Village Eight East also includes an alternative land plan related to neighborhoods R-11 a and R-1 2a. As described previously, the alternative would permit replacing single family with multi-family. The fiscal results of the alternative plan scenario differ slightly from the base project scenario. The alternative scenario is expected to generate a positive annual net fiscal impact of $70,000 in 2030 (Year 17). The alternative scenario has similar annual impacts relative to the project base scenario, but the net fiscal costs are projected for 12 out of 15 years of absorption, totaling -$1.7 million. While both scenarios generate annual net costs for several years, the alternative scenario generates two additional years of net costs. The base scenario generates cumulative total costs of -$1 .6 million (versus -$1.7 million for the alternative. In 2030, the base scenario is expected to generate $123,000 in annual net fiscal revenues (versus $70,000 for the alternative scenario). (CVMC Section 19.09.060(J) states that "projects shall be conditioned to provide funding for periods where expenditures exceed projected revenues." A condition has been added to the Tentative Map conditions requiring that the applicant enter into an agreement to provide such funding. Please refer to the PFFP, which includes the fiscal impact analysis, for additional details (SPA Plan). Tentative Subdivision Map (PCS-13-03) The Village Eight East Tentative Map covers 575.3 acres of land. The proposed subdivision includes 943 single family lots, ten multi-family development parcels and three mixed use lots. There are four Community Purpose Facility (CPF) sites, an Elementary School site, and two park sites. There will be approximately 264.8 acres of Open Space, and approximately 8.1 acres of land devoted to major roads. The multi-family parcels may be re-subdivided as development projects are submitted. The SPA Plan and the design process described in the PCD Regulations will control the dwelling unit counts within each of these larger parcels and ensure that development occurs in an orderly manner. The overall grading concept results in a development site that is sloped from the north to the south. The grading proposes a balanced grading program with approximately 4.85 million cubic yards of cut and fill. In compliance with the requirements of the City's General Plan and the Otay Ranch GDP, contour grading techniques along with landscaping will be utilized on all manmade slopes. Village 10 City of Chula Vista Page 18 of 25 Printed on 11/26/2014 istar 2014-12-02 Agenda Packet powered by Leg age 552 File#: 14-0606, Item#: 12. The SPA Plan for Village Ten refines and implements the land use goals, objectives and policies of the Otay Ranch GDP and the City of Chula Vista General Plan (CVGP). GDP and CVGP amendments are necessary to implement the vision for villages located within the City's University Planning Area, including increasing units, village circulation, village boundary adjustments and other land use refinements. The Chula Vista General Plan established the University Planning Area comprised of Villages Nine and Ten of the Otay Valley Parcel. The Village Ten SPA refines the boundaries of Village Ten and future University/Regional Technology Park within the boundaries of the University Planning Area. With its proximity to the future University and Village Nine, Village Ten is part of a broader community that provides a balance of land uses. The Village Ten land use plan strives to create a pedestrian-oriented urban village, as described by the GDP. The urban village is composed of mix of uses including higher density residential development, a community purpose facility site, a neighborhood park and elementary school site, forming a village core. The Village Ten core area is located along the northern village edge, providing a transition area between University land uses and the Village Ten residential land uses to the south. Because Village Ten neighborhoods are within an approximate one-half mile walking distance of the adjacent Village Nine Town Center with approximately 500,000 square feet of town center uses, the commercial/retail needs of Village Ten residents will be met within the Village 9 Town Center. In addition to Village Nine, neighboring Village 11 and the Eastern Urban Center provide additional commercial development to serve Village Ten residents. Densities will generally decrease north to south, with the less dense single family homes located along the southern village edge adjacent to the Otay River Valley. A Site Utilization Plan (Attachment 4a) and Table (Attachment 4b) depict the location and acreages of the land uses and the densities for Village Ten. The extension of off-site Discovery Falls Drive and University Drive are needed to implement the project. University Drive transitions from a 4-lane major road to a 2-lane secondary village entry street as it crosses the University/Regional Technology Park Planning Area. Attachment 4c depicts project vehicular circulation network. A hierarchical pedestrian circulation system within Village Ten includes the Chula Vista Regional Trail, Chula Vista Greenbelt Trail, Rural Trail, Village Pathway, Promenade Trails and Village Trail/Maintenance Access Road linkages (Attachment 4d). Bicycle circulation is accommodated along Hunte Parkway, University Drive, Discovery Falls Road and Otay Valley Road, as well as the internal street network. Access to the regional transportation network includes a potential Bus Rapid Transit station within Village 9 to the west and potential local bus stop at Discovery Falls and University Drive. Deferral Alternative- Village Ten With consideration for the recently approved land plan changes for Village Nine, Village Ten's western boundary extends west toward Village Nine's Street "B" and occupies the former Village Nine Lot "CC" and a parcel north of Lot "CC." The concept was supported by the landowner of Village Nine, through presentation of a letter (June 6, 2014) authorizing Village Ten's boundary moving westward onto soon to be former Village Nine area. The boundary modification is consistent with the LOA approved by City Council on July 8, 2014. Vehicular and pedestrian connections with the City of Chula Vista Page 19 of 25 Printed on 11/26/2014 2014-12-02 Agenda Packet Page 553 File#: 14-0606, Item#: 12. adjacent Village Nine and the university site support connectivity and pedestrian friendly principles expressed in the GP and GDP. Notwithstanding the authorization letter (June 6, 2014) from adjacent landowner (Otay Land Company-(OLC)), OLC prepared a comment letter during the public review circulation of the University Villages EIR citing concerns about the project boundary and ownership issues. In response to the OLC comment letter, the Final EIR "Response to Comments" states in part "...the boundary between Villages Nine, Ten, and the University site were negotiated at great length between the Applicant, the City, and Otay Land Company. The ultimate configuration was based on a proposal made by, and agreed to by, Otay Land Company. This configuration allowed the Village Ten SPA Plan Area to overlap Village Nine and was subject to a future land exchange agreement swap ..." After submitting the EIR comment letter, OLC stopped processing the land exchange agreement. Accordingly, the project Applicant (SSBT) has developed a revised land plan for Village Ten which does not rely on the need for the land exchange agreement. The revised land plan is generally referred to as "Village Ten Deferral Plan". The Deferral Plan (Enclosure 11) involves 9.3 acres, 6.4 acres of residential land uses, 0.7 acres of land designated for CPF land uses, 0,2 acres of internal circulation, and 2.0 acres of manufactured open space. The single family neighborhoods south of Otay Valley Road identified on the proposed Village Ten land plan as a portion of neighborhoods R-8, R-13 and R-14 would be deferred until that time a property owner agreement addressing the boundary adjustment was completed. The Deferral Plan would decrease the single family residential unit count by 67. The Deferral Plan includes a reconfigured R-13 residential neighborhood comprised of 13 single family lots. The 0.7 acre CPF-4 site designated on the Village Ten land plan would be deferred. This would decrease the overall Village Ten CPF acreage from 4.0 acres to 3.3 acres. The Deferral Plan is incorporated into the TM for Village 10. A TM condition addressing the yet to be approved land exchange, is incorporated into the Village Ten TM resolution of approval. The Village Ten Deferral Site Utilization Plan and Table (Enclosure 11) will ultimately be incorporated into a conformed copy of the SPA document following action by the Planning Commission and City Council. Public Facilities Finance Plan (PFFP) and Fiscal Impact Analysis (FIA) The PFFP, prepared for the city by Burkett & Wong Engineers (B&W), addresses all of the public facility needs associated with Village Ten. The PFFP has been prepared under the requirements of the City of Chula Vista's Growth Management Program (GMP), Growth Management Ordinance (GMO) (CVMC 19.09) and Chapter 9 - Growth Management of the Otay Ranch GDP. The preparation of the PFFP is required in conjunction with the preparation of the SPA Plan to ensure that the development is consistent with the goals and policies of the City's General Plan, GMP, GMO and the Otay Ranch GDP. The PFFP also includes a Fiscal Impact Analysis (FIA) of the Village Ten plan and phasing program City of Chula Vista Page 20 of 25 Printed on 11/26/2014 istar 2014-12-02 Agenda Packet powered by Leg age 554 File#: 14-0606, Item#: 12. that was prepared by HR&A Advisors. Based on the FIA and the assumptions contained therein, the village is expected to generate a positive annual net fiscal impact of $269,000 in 2030 (Year 17). The Village is expected to generate annual fiscal revenues of approximately $2.3 million in 2030. Property taxes are the greatest source of revenues, followed by motor vehicle license fees (MVLF). Together, property taxes and MVLF fees make up approximately 74 percent of anticipated revenues. The project has a net cost of approximately $60,000 in its two initial years of absorption, but then generates net revenues to the city thereafter, with revenues growing from $7,000 in the third year of absorption up to $269,000 in 2030, at build out of project. (CVMC Section 19.09.060(J) states that "projects shall be conditioned to provide funding for periods where expenditures exceed projected revenues." A condition has been added to the Tentative Map conditions requiring that the applicant enter into an agreement to provide such funding. Please refer to the PFFP, which includes the fiscal impact analysis, for additional details (SPA Plan). Fire Protection Plan - All Villages The city requires the preparation and approval of a Fire Protection Plan (FPP) with every new SPA Plan. Each of the project's Villages includes the identification of Fuel Modification Zones (FMZ). Fuel Modification Zones are essentially a brush management area from the perimeter structures extending outwards towards Preserve areas. All brush management zones and related fuel modification activities shall occur outside of the Preserve. The FPP includes a diagrammatic map that identifies physical zones in relationship to proposed structures. Each zone has specific planting and maintenance criteria applied to ensure fire protection goals and standards are maintained. Two zones are generally established at 50 foot intervals, radiating out from planned structures. The two zones combined total 100 feet of managed zones. The primary focus of the FPP is providing an implementable framework for suitable protection of the planned structures and the people living and utilizing them. Tasks completed in the preparation of this FPP include data review, code review, site fire risk analysis, land use plan review, fire behavior modeling, and site-specific recommendations. Each of the three FPPs provide details regarding site-specific policies and implementation measures concerning fire protection. Further, the FPP outlines a "systems approach" to fire prevention, protection, suppression, and emergency relocation to ensure proposed improvements and uses will reduce potential risks associated with fire hazard. For Village Three and a Portion of Four, the FPPF concludes that the Project is located in an area with nearby existing Chula Vista fire stations (Stations 3 and 7) as well as planned stations in Village 8 West and the Eastern Urban Center (EUC) that would enable a 5-minute travel time standard for City of Chula Vista Page 21 of 25 Printed on 11/26/2014 2014-12-02 Agenda Packet Page 555 File#: 14-0606, Item#: 12. 90% of the project site (consistent with the approved FFMP) and the 4-minute travel time standard for approximately 65% of the project site, substantially in conformance with the existing goals and NFPA standard. The Village Eight East PFFP concludes that the Project is located in an area with a nearby existing Chula Vista fire station (Station 7) as well as planned stations in Village Eight West and the Eastern Urban Center (EUC) that would enable a 5-minute travel time standard for all of the project site (consistent with the approved FFMP) and the 4-minute travel time standard for approximately 70% of the project site, substantially in conformance with the existing goals and NFPA standard. Village Eight East Village Ten The Village Ten PFFP concludes that the Project is located in an area with a nearby existing Chula Vista fire station (Station 7) as well as planned stations in Village 8 West and the Eastern Urban Center (EUC) that would enable a 5-minute travel time standard for all of the project site (consistent with the approved FFMP) and the 4-minute travel time standard for approximately 70% of the project site, substantially in conformance with the existing goals and NFPA standard. Planned Community District (PCD) Regulations/Design Plan - All Villages Each of the respective SPA Plans contains PCD Regulations unique to each of the three Villages (Villages Three North and a Portion of Village Four, Eight East, and Ten). Planned Community District Regulations are intended to ensure the each SPA Plan is implemented in accordance with the Otay Ranch GDP by promoting the orderly planning and long term phased development of a Village. The PCD Regulations support a thoughtful cohesive community by establishing provisions that regulate, restrict and separate the use of land, buildings and structures, and that regulate and limit the type, height and bulk of buildings and structures in the various districts. Each Village SPA Plan is divided into Zoning Districts. The Zoning District Maps for each Village are contained in Attachments 2f, 3f, and 4.f. The PCD Regulations include provisions for addressing flexibility in implementation of the land plan as well as the establishment of a monitoring program to ensure overall land plan consistency. Intensity Transfer is an administrative process, conducted by the Zoning Administrator to ensure that implementation of the SPA Plan does not exceed the maximum number of units authorized while also permitting flexibility in implementation. The PCD Regulations also includes provisions for permitting potential density transfers between other identified Villages. Pursuant to the LOA, the Applicant may transfer, at its discretion, up to fifteen percent (15%) of the units allocated to a village within the University Villages Project to another village within the Project. The Zoning Administrator may approve, in his or her discretion, City of Chula Vista Page 22 of 25 Printed on 11/26/2014 2014-12-02 Agenda Packet Page 556 File#: 14-0606, Item#: 12. any transfer of units more than fifteen percent (15%) or any transfer of units to another village within Otay Ranch but not within the University Villages Project, if all of the following requirements are satisfied. Village Design Plans Each of the SPA Plans includes a Village Design Plan unique to each respective Village. The Design Plans guide the site, building and landscape design within the village to ensure the quality of the adopted urban design and architectural concepts established for the overall Otay Ranch community are maintained. A separate set of guidelines are include for the industrial lands. The Village Design Plan identifies a theme for the village and delineates that identity through streetscape and landscape design, architecture, signage programs and lighting guidelines. DECISION-MAKER CONFLICT Staff has reviewed the property holdings of City Council and has found no property holdings within 500 feet of the boundaries of the property which is the subject of this action. Staff is not independently aware, and has not been informed by any councilmember, of any other fact that may constitute a basis for a decision maker conflict of interest in this matter. LINK TO STRATEGIC GOALS The City's Strategic Plan has five major goals: Operational Excellence, Economic Vitality, Healthy Community, Strong and Secure Neighborhoods and a Connected Community. The University Villages Project supports the Economic Vitality goal, particularly City Initiative 2.1.3 (Promote and support development of quality master-planned communities). The project implementation documents (including the SPA Plans and TMs) support the development of a quality master-planned community (as described above) and allow the City the opportunity to accept lands for the university and regional technology park, as agreed to in the LOA between the City and the SSBT, which will provide access to higher education for the citizens of Chula Vista and south bay. CURRENT YEAR FISCAL IMPACT No actual development within the project area will occur in the current fiscal year. The processing of all project entitlements including the SPA Plans, Tentative Maps and all supporting documents are funded by a developer deposit account. This account funds both city staff and consultants representing the City on the project. ONGOING FISCAL IMPACT City of Chula Vista Page 23 of 25 Printed on 11/26/2014 2014-12-02 Agenda Packet Page 557 File#: 14-0606, Item#: 12. An initial Fiscal Impact Analysis (FIA) was conducted for the City by AECOM in 2012 that analyzed the proposed develop plans at buildout, along with the proposed development plans for the Village 8W and 9 areas owned by Otay Land Company that are also the subject of university Land Offer Agreements (LOAs) with the City. This "cumulative" evaluated the net fiscal impact of the five villages subject to the LOAs. Based on subsequent revisions by the applicant to the land plans for Villages 3, 8E and 10, an updated cumulative FIA was prepared by AECOM in October 2013, and indicated an annual net fiscal surplus to the City of 238,000/yr. at buildout. In addition to this earlier, cumulative buildout analysis, the proposed projects are also required to prepare more detailed FIAs for each SPA Plan. As presented in more detail in the respective PFFP chapters of each SPA Plan, and based on a set of development phasing assumptions, the combined fiscal impacts of the proposed three projects (Villages 3, 8E, 10) results in a positive annual fiscal impact of $793,061 at their build-out (approximately year 17). Within the scope of the proposed land use changes being considered for approval in this report, is an alternative mix of dwelling units proposed for Village 8. This alternative scenario substitutes 103 more multi-family dwelling units in favor of single family dwelling units. At build-out, the alternative scenario results in a positive annual impact of $739,228 that is $53,833 less than the proposed project. Both of the scenarios reflect an improved, positive fiscal impact over the initial buildout FIA noted above due primarily to more refined information as to product types, associated valuations, sales tax assumptions, and an improvement in market condtions. A comparison of the fiscal impacts of these proposals over the build-out period is summarized in the following table: 17-Year Build-Out Period Project Annual Fiscal Cumulative Fiscal 9 of Deficit Years Yearly Deficit Impact at Build- Impact Over Build- Ranges Out Out Period Proposed $ 793,061 $2,309,919 9 $18,850-$151,200 Alternative $ 739,228 $2,763,133 10 $10,178-$150,400 Although the projects generate a net positive fiscal impact by their buildout, there are varying projected, annual fiscal deficits during the first 9-10 years of development. In the first year there is a combined (three project areas) net fiscal deficit of approximately $33,500, which spikes in year 3 at $151,199 and turns positive in year 11, with a surplus of approximately $236,309. Residential units are primarily constructed during the early years, with more non-residential (industrial, office, retail) underway beginning in year 6. The Chula Vista Municipal Code requires that projects shall be conditioned to provide funding for periods where expenditures exceed revenues. As a result, the project has been conditioned to require payment to the City of $120.00 at building permit for each of the 6,897 units, generating $827,640 in revenue to compensate for the early deficit years. Note: The above fiscal impact is based on the proposed land use entitlement changes and do not City of Chula Vista Page 24 of 25 Printed on 11/26/2014 2014-12-02 Agenda Packet Page 558 File#: 14-0606, Item#: 12. reflect the difference between the proposed changes and the net fiscal impact of the currently approved entitlements for these lands if they were developed with no changes to their current entitlement status. ATTACHMENTS None Staff Contact: Joe Gamble City of Chula Vista Page 25 of 25 Printed on 11/26/2014 2014-12-02 Agenda Packet Page 559 RESOLUTION NO. 2014- RESOLUTION OF THE CITY OF CHULA VISTA CITY COUNCIL APPROVING AMENDMENTS TO THE CITY'S GENERAL PLAN AND THE OTAY RANCH GENERAL DEVELOPMENT PLAN TO REFLECT LAND USE, CIRCULATION AND POLICY CHANGES FOR APPROXIMATELY 1,375 ACRES WITHIN THE OTAY RANCH PLANNED COMMUNITY, INCLUDING ASSOCIATED TEXT, MAPS AND TABLES I RECITALS A. Project Site WHEREAS, the areas of land which are the subject of this Resolution contain all lands within the boundaries of Exhibit I attached hereto and incorporated into this Resolution by this reference, and includes approximately 1,375 acres of land generally located north south of Main Street, west of Salt Creek Canyon and north of the Otay River Valley within the Otay Ranch Planned Community; and B. Project; Application for Discretionary Approvals WHEREAS, in March, 2012, the City of Chula Vista deemed the SSBT, LCRE V, LLC (the "Applicant") application complete and initiated a General Plan Amendment (GPA) and Otay Ranch General Development Plan Amendment(GDPA) (the"Project"); and WHEREAS, the proposed GPA involve amending portions of the Land Use and Transportation; Economic Development; Public Facilities and Services; and Environmental Elements, including associated text, maps and tables of the City's General Plan; and WHEREAS, the proposed GDPA involves amending portions of Part II of said GDP, including associated text,maps and tables; and WHEREAS, the proposed GPA is contained in a document entitled "University Villages, Otay Ranch Villages Three North and a Portion of Four, Eight East, and Ten, General Plan Amendment, July 2014" as represented in Exhibit 2 attached hereto and incorporated herein by this reference; and WHEREAS, the proposed GDPA is contained in a document entitled "University Villages, Otay Ranch Villages Three North and a Portion of Four, Eight East, and Ten, General Development Plan Amendment, July 2014" as represented in Exhibit 3 attached hereto and incorporated herein by this reference; and 2014-12-02 Agenda Packet Page 560 Resolution 2014 - Page 2 of 4 C. Prior Discretionary Approvals WHEREAS, the City of Chula Vista's current General Plan was last comprehensively updated in December 2005; and WHEREAS, the Otay Ranch General Development Plan was approved on October 23, 1993, and most recently updated on February 26, 2013; and WHEREAS, the GPA and GDPA as presented are necessary to accommodate the land uses anticipated in the 2014 Land Offer Agreement (LOA) between the City of Chula Vista and SSBT LCVE V, LLC; and WHEREAS, the GPA and GDPA were designed to complement and facilitate development of a University and Regional Technology Park in conjunction with the development of Villages Three North and a Portion of Four, Eight East, and Ten, in which the City's ownership of land for a University and its related uses is an essential element; and WHEREAS, the approval of the proposed amendments is the first step in carrying out the development contemplated by the LOA; and WHEREAS, the next step in the process would require the approval of the Sectional Planning Area (SPA) Plan's, and Tentative Maps (TMs) for Villages Three North and a Portion of Four, Eight East, and Ten; and D. Planning Commission Record of Application WHEREAS, pursuant to California Government Code section 65090, the Planning Commission held a duly noticed public hearing on the GPA and GDPA on November 19, 2014; and WHEREAS, the proceedings and all evidence introduced before the Planning Commission at the public hearing on this Project held on November 19, 2014, and the minutes and resolution resulting there from, are hereby incorporated into the record subsequent to these proceedings; and E. City Council Record of Application WHEREAS, the City Clerk set the time and place for the hearing on the GPA and GDPA and notices of said hearings, together with its purposes given by its publication in a newspaper of general circulation in the City, at least ten days prior to the hearing; and WHEREAS, pursuant to California Government Code section 65090, the City Council held a duly noticed public hearing on December 2, 2014, on the subject GPA and GDPA. NOW, THEREFORE BE IT RESOLVED, the City Council hereby finds and determines as follows: 2014-12-02 Agenda Packet Page 561 Resolution 2014 - Page 3 of 4 IL COMPLIANCE WITH CEQA That the Development Services Director has reviewed the proposed project for compliance with the California Environmental Quality Act and has determined that there is substantial evidence, in light of the whole record before the City, that the Project may have a significant effect on the environment; therefore, an Environmental Impact Report (EIR-13-01; SCH 92013071077) has been prepared. Certification of the EIR(EIR-13-01) for this Project was considered by the City Council as a separate item before City Council took any action on this Resolution. The City Council of the City of Chula Vista reviewed, analyzed, considered, approved and certified a Final EIR, made certain Findings of Fact, adopted a Statement of Overriding Considerations and a Mitigation Monitoring and Reporting Program for the GPA and GDPA, pursuant to CEQA,by Resolution No.2014- III. GENERAL PLAN INTERNAL CONSISTENCY The City Council hereby finds and determines that the General Plan, as amended, is internally consistent and shall remain internally consistent following amendment thereof by this Resolution. IV. GENERAL DEVELOPMENT PLAN CONSISTENCY The City Council hereby finds and determines that the General Development Plan, as amended, is internally consistent and shall remain internally consistent following amendment thereof by this Resolution. V. ADOPTION OF GENERAL PLAN AND GENERAL DEVELOPMENT PLAN AMENDMENTS In light of the findings above, the General Plan and General Development Plan Amendment provisions are hereby approved and adopted in the form as presented in Exhibits 2 and 3 attached hereto and incorporated herein by this reference and on file in the City Clerk's Office. Presented by: Approved as to form by: Kelly Broughton, FASLA Glen R. Googins Development Services Director City Attorney PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, California, this 2nd day of December, 2014, by the following vote: AYES: Councilmembers: 2014-12-02 Agenda Packet Page 562 Resolution 2014 - Page 4 of 4 NAYS: Councilmembers: ABSENT: Councilmembers: ABSTAIN: Councilmembers: Cheryl Cox,Mayor ATTEST: Donna Norris, City Clerk STATE OF CALIFORNIA ) COUNTY OF SAN DIEGO ) CITY OF CHULA VISTA ) I, Donna Norris, City Clerk of Chula Vista, California, do hereby certify that the foregoing Resolution No. was duly passed, approved, and adopted by the City Council at a regular meeting of the Chula Vista City Council held on the 2nd day of December, 2014. Executed this 2nd day of December, 2014. Donna Norris, City Clerk 2014-12-02 Agenda Packet Page 563 RESOLUTION RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE OTAY RANCH VILLAGE THREE NORTH AND A PORTION OF FOUR SECTIONAL PLANNING AREA (SPA) PLAN PROPOSING 1,002 SINGLE- FAMILY DWELLING UNITS, 595 MULTI-FAMILY DWELLING UNITS, APPROXIMATELY 40 GROSS ACRES OF INDUSTRIAL AND OFFICE USES, AND A MINIMUM OF 20,000 SQUARE FEET OF RETAIL USES FOR AN APPROXILATELY 436.0 ACRE SITE LOCATED PRIMARILY NORTH OF MAIN STREET AND NORTHWEST AND SOUTHEAST OF HERITAGE ROAD L RECITALS A. Project Site WHEREAS, the area of land that is the subject of this Resolution is diagrammatically represented in Exhibit "I" attached to and incorporated into this Resolution, and commonly known as Otay Ranch Village Three North and portion of Four, and for the purpose of general description herein consists of approximately 436.0 acres generally located north of Main Street and northwest and southeast of Heritage Road (Project Site); and B. Project; Application for Discretionary Approvals WHEREAS, on March 26, 2012, a duly verified application requesting approval of Sectional Plan Area (SPA) Plan (PCM-12-06), was filed with the City of Chula Vista Development Services Department by SSBT LCRE V, LLC (the "Applicant" and "Owner"); and WHEREAS, the proposed SPA Plan is entitled "Sectional Planning Area Plan, Village Three North and a Portion of Four, July 2014"(the"Project")which includes and is incorporated therein all of the attached Appendices, on file in the Office of the City Clerk; and C. Prior Discretionary Approvals WHEREAS, the development of the Project Site has been the subject matter of a General Plan Amendment GPA-10-02, and the Otay Ranch General Development Plan Amendment GDPA 09-28, approved by the City Council on December 2, 2014, by Resolution No. 2014-XXX (GPA/GDPA Resolution) wherein the City Council, in the environmental evaluation of said GPA/GDPA, relied on the Otay Ranch University Villages Project Environmental Impact Report No. 13-01, SCH No. 2013071077 (EIR- 2014-12-02 Agenda Packet Page 564 Resolution No. Page 2 13-01); and D. Environmental Determination WHEREAS, the City's Development Services Director has reviewed the Project for compliance with the California Environmental Quality Act (CEQA) and determined that the Project would result in a significant impact to the environment, and therefore has prepared the University Villages Project EIR-13-01 that includes the Village Three North and a Portion of Four Sectional Planning Area and Village Three North and a Portion of Four Tentative Map; and E. Planning Commission Record of Application WHEREAS, the Development Services Director set the time and place for a hearing on the Project, and notice of the hearing, together with its purpose, was given by its publication in a newspaper of general circulation in the City and its mailing to property owners within 500 feet of the exterior boundary of the Project Site at least ten (10) days prior to the hearing; and WHEREAS, the Planning Commission held an advertised public hearing on the Project on November 19, 2014; and WHEREAS, the proceedings and all evidence introduced before the Planning Commission at the public hearing on the Project held on November 19, 2014 and the Minutes and Resolution resulting therefrom, are incorporated into the record of this proceeding; and F. City Council Record of Application WHEREAS, the City Clerk set the time and place for the hearing on the Project application and notices of said hearings, together with its purposes given by its publication in a newspaper of general circulation in the City and its mailing to property owners within 500 feet of the exterior boundaries of the Project Site at least ten (10) days prior to the hearing; and WHEREAS, the duly called and noticed public hearing on the Project was held before the City Council on December 2, 2014 in the Council Chambers in the City Hall, Chula Vista Civic Center, 276 Fourth Avenue, at 2:00 p.m. to hear public testimony with regard to the same. The proceedings and any documents submitted to the City Council as the decision-makers shall comprise the entire record of the proceedings; and WHEREAS, immediately prior to this action, the City Council reviewed and 2014-12-02 Agenda Packet Page 565 Resolution No. Page 3 certified Final EIR 13-01 (FEIR-13-01) and adopted the Findings of Fact, Statement of Overriding Considerations, and Mitigation Monitoring and Reporting Program, pursuant to Resolution NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby find,determine, and resolve as follows: H. CERTIFICATION OF COMPLIANCE WITH CEQA The City Council, in the exercise of their independent review and judgment, immediately prior to this action, reviewed and certified FEIR-13-01 and adopted the Findings of Fact, Statement of Overriding Considerations, and Mitigation Monitoring and Reporting Program, which are attached to this Resolution as Exhibit"2." III. SPA FINDINGS A. THE PROPOSED SECTIONAL PLANNING AREA PLAN IS IN CONFORMITY WITH THE OTAY RANCH GENERAL DEVELOPMENT PLAN AND ITS SEVERAL ELEMENTS. The proposed Village Three North and a Portion of Four SPA Plan reflects land use designations, circulation, and public facilities that are consistent with the Otay Ranch General Development Plan and the City of Chula Vista General Plan. The proposed SPA Plan is compatible with previously approved plans and regulations applicable to surrounding sites and, therefore, the proposed SPA Plan can be planned and zoned in coordination and substantial compatibility with surrounding development. B. THE PROPOSED SPA PLAN WILL PROMOTE THE ORDERLY SEQUENTIALIZED DEVELOPMENT OF THE INVOLVED SECTIONAL PLANNING AREAS. The proposed Village Three North and a Portion of Four SPA Plan will promote the orderly sequentialized development of the SPA Plan area because the project will be developed in a manner that is consistent with the project's Planned Community District Regulations,Phasing Plan, and Public Facilities Financing Plan. C. THE PROPOSED SPA PLAN WOULD NOT ADVERSELY AFFECT ADJACENT LAND USE, RESIDENTIAL ENJOYMENT, CIRCULATION OR ENVIRONMENTAL QUALITY. 2014-12-02 Agenda Packet Page 566 Resolution No. Page 4 The proposed SPA Plan has been reviewed and has been determined to be consistent with the overall land use pattern and circulation system envisioned in the Otay Ranch General Development Plan. Environmental Impact Report FEIR - 13-01 and its associated Mitigation Monitoring and Reporting Program have been prepared and any impacts associated with the proposed SPA Plan would be mitigated to the extent feasible. Thus, the proposed SPA Plan will not adversely affect the adjacent land uses, residential enjoyment, circulation or environmental quality of the surrounding uses. IV. CONDITIONS OF APPROVAL I. Prior to approval of any land development permits, the Applicant shall demonstrate that the applicable Air Quality Improvement Plan (AQIP) project design features and measures outlined in the Air Quality Improvement Plan pertaining to the design, construction and operational phases of the project have been incorporated in the Project design. 2. Prior to issuance of building permits or approval of landscape construction plans, the Applicant shall implement the applicable mandatory water quality conservation measures of the Water Conservation Plan of the SPA Plan. 3. Prior to approval of any Project proposing private development of property designated for a school use, prior to the expiration of the school site reservation, the Applicant shall: a. Provide evidence and proof of agreement from the applicable school district that the site has not been determined by the district to be needed for use as a school site. b. Obtain approval of a SPA and Administrative Amendment approving the underlying use for the site(s)pursuant to SPA Section 10. 4. All of the terms, covenants and conditions contained herein shall be binding upon and inure to the benefit of the heirs, successors, assigns and representatives of the Developer as to any or all of the Property. For the purpose of this document"Developer" shall have the same meaning as "Applicant." 5. If any of the terms, covenants or conditions contained herein shall fail to occur or if they are,by their terms, to be implemented and maintained over time, if any of such conditions fail to be so implemented and maintained according to their terms, the City shall have the right to revoke or modify all approvals herein granted including issuance of building permits, deny, or further condition the subsequent approvals that are derived from the approvals herein granted, institute and prosecute litigation to compel their compliance with said conditions and/or seek damages for their violation. 2014-12-02 Agenda Packet Page 567 Resolution No. Page 5 6. The Applicant shall indemnify, protect, defend and hold the City its agents, officers and employees harmless from and against any and all claims, liabilities and costs, including attorneys' fees, arising from challenges to the Village Three North and portion of Four Sectional Planning Area Plan and Tentative Map Environmental Impact Report (EIR-13- 01)Mitigation Monitoring and Reporting Program for the Project, the Otay Ranch Village Three North and a Portion of Four Sectional Planning Area (SPA, PCM-12-06) Plan, and/or any and all entitlements issued by the City in connection with the Project. The Applicant and the City agree that the indemnity provisions contained in the Development Agreement satisfy this condition. 7. The Applicant shall comply with all conditions of approval, guidelines, policies, and any other applicable requirements of the following plans and programs, as amended from time to time: The City of Chula Vista Municipal Code; the Chula Vista Subdivision Manual; City of Chula Vista Multiple Species Conservation Program (MSCP) Subarea Plan; City of Chula Vista Design and Construction Standards; the Development Storm Water Manual for Development and Redevelopment Projects; the City of Chula Vista Grading Ordinance, CVMC 15.04; the State of California Subdivision Map Act; the City of Chula Vista General Plan; the City's Growth Management Ordinance; Chula Vista Design Manual; Chula Vista Landscape Manual; Chula Vista Fire Facility Master Plan, and Fire Department Policies and Procedures; Otay Ranch General Development Plan, Otay Ranch Resource Management Plan (RMP) Phase 1 and Phase 2, including the Preserve Conveyance Schedule; City of Chula Vista Adopted Parks and Recreation Master Plan, Otay Ranch Wide Affordable Housing Plan; Otay Ranch Overall Design Plan; Otay Ranch Village Three North and a Portion of Four Sectional Planning Area (SPA, PCM- 12-06) Plan and supporting appendices, including: Public Facilities Finance Plan (PFFP), Affordable Housing Plan, Air Quality Improvement Plan (AQIP), Agricultural Plan, Fire Protection Plan, Non-Renewable Energy Conservation Plan, Preserve Edge Plan, and Water Conservation Plan (WCP), as amended from time to time; and Village Three and a Portion of Four Tentative Map (TM) CVT-13-02. The Project shall comply with all applicable mitigation measures specified in the University Villages Project (EIR-13-01) Mitigation Monitoring and Reporting Program, as they relate to the Village Three North and a Portion of Four Sectional Planning Area Plan and Tentative Map Environmental Impact Report to the satisfaction of the Development Services Director. 8. The Applicant acknowledges and agrees to comply with the provisions of the City of Chula Vista Greenbelt Master Plan (September 16, 2003) as expressed in the SPA Plan. 9. The Project shall satisfy the requirements of the Parkland Dedication Ordinance (PDO) pursuant to Chula Vista Municipal Code Chapter 17.10. The Ordinance establishes a requirement that the project provide three (3) acres of local parks and related improvements per 1,000 residents. Local parks are comprised of community parks and 2014-12-02 Agenda Packet Page 568 Resolution No. Page 6 neighborhood parks. Overall park obligation shall be met through the payment of fees, dedication of land, or a combination thereof in a manner acceptable to the Director of Development Services. 10. Phasing approved with the SPA Plan may be amended subject to approval by the Director of Development Services and the City Engineer. 11. The Applicant shall enter into supplemental agreement(s)with the City,prior to approval of each Final Map for any phase or unit,whereby: a. The Developer agree(s) that the City may withhold building permits for any units within the Project Site in order to have the Project comply with the Growth Management Program; or, if any one of the following occur: i. Regional development threshold limits set by a Chula Vista transportation- phasing plan, as amended from time to time,have been reached. ii. Traffic volumes, level of service, public utilities and/or services either exceed the adopted City threshold standards or fail to comply with the then effective Growth Management Ordinance and Growth Management Program and any amendments thereto. iii. The Project's required public facilities, as identified in the Public Facilities Finance Plan (PFFP), or as amended or otherwise conditioned, have not been completed or constructed in accordance with the Project entitlements including the Development Agreement to the satisfaction of the Development Services and the City Engineer. The Developer may propose changes in the timing and sequencing of development and the construction of improvements affected. In such case, the PFFP may be amended after review and approval by the City's Director of Development Services and the City Engineer. The Developer agree(s) that the City may withhold building permits for any of the phases of development identified in the PFFP for the Project if the Project's required public facilities, as identified in the PFFP or in accordance with the Development Agreement are not meeting the City's standard operating thresholds. Public utilities shall include, but not be limited to, air quality, drainage, sewer and water. 12. After final SPA approval, the Applicant shall submit electronic versions of all SPA documents, including text and graphics, to the Development Services Department in a format specified and acceptable to the Development Services Director. 13. The Applicant shall comply with the Fire Department's codes and policies for Fire Prevention. As part of any submittal for design review, a fire access and water supply plan prepared by a licensed engineering firm, which has been determined to be qualified in the sole discretion of the Fire Marshall, shall be submitted for approval by the City of Chula Vista Fire Marshall. The plan shall detail how and when the Applicant shall 2014-12-02 Agenda Packet Page 569 Resolution No. Page 7 provide the following items either prior to the issuance of building permit(s) for the Project, or prior to delivery of combustible materials on any construction site on the Project,whichever occurs earlier: a. Water supply consisting of fire hydrants as approved and indicated by the Fire Department during plan check to the satisfaction of the Fire Marshall. Any temporary water supply source is subject to prior approval by the Fire Marshal. b. Emergency vehicle access consisting of a minimum first layer of hard asphalt surface or concrete surface,with a minimum standard width of 15 feet. c. Street signs installed to the satisfaction of the City Engineer. Temporary street signs shall be subject to the approval of the City Engineer and Fire Marshall. Locations and identification of temporary street signs shall be subject to review and approval by the City Engineer and Fire Marshall. V. GOVERNMENT CODE SECTION 66020 NOTICE Pursuant to Government Code Section 66020(d) (1), NOTICE IS HEREBY GIVEN that the 90 day period to protest the imposition of any impact fee, dedication, reservation, or other exaction described in this resolution begins on the effective date of this resolution and any such protest must be in a manner that complies with Section 66020(a) and failure to follow timely this procedure will bar any subsequent legal action to attack, set aside, void or annual imposition. The right to protest the fees, dedications, reservations, or other exactions does not apply to planning, zoning, grading, or other similar application processing fees or service fees in connection with the project; and it does not apply to any fees, dedication, reservations, or other exactions which have been given notice similar to this, nor does it revive challenges to any fees for which the Statute of Limitations has previously expired. VI. EXECUTION OF RESOLUTION OF APPROVAL The Property Owner and the Developer shall execute this document by signing the lines provided below, said execution indicating that the Property Owner and Developer have each read, understood and agreed to the conditions contained in Resolution No. PCS-13- 02, and will implement same to the satisfaction of the Development Services Director. Upon execution, this document and a copy of Resolution No. PCS-13-02 shall be recorded with the County Clerk of the County of San Diego, at the sole expense of the Property Owner and/or Developer, and a signed, stamped copy returned to the City Clerk. Failure to return a signed and stamped copy of this recorded document within thirty days of recordation to the City Clerk shall indicate the Property Owner/Developer's desire that the project, and the corresponding application for building permits and/or a business license,be held in abeyance without approval. 2014-12-02 Agenda Packet Page 570 Resolution No. Page 8 Signature of Property Owner Date Signature of Developer Date VII. CONSEQUENCE OF FAILURE OF CONDITIONS If any of the forgoing conditions fail to occur, or if they are, by their terms, to be implemented and maintained over time, and any of such conditions fail to be so implemented and maintained according to the their terms, the City shall have the right to revoke or modify all approvals herein granted, deny or further condition issuance of future building permits, deny, revoke or further condition all certificates of occupancy issued under the authority of approvals herein granted, instituted and prosecute litigate or compel their compliance or seek damages for their violations. No vested rights are gained by Applicant or successor in interest by the City approval of this Resolution. VIII. INVALIDITY; AUTOMATIC REVOCATION It is the intention of the City Council that its adoption of this Resolution is dependent upon enforceability of each and every term provision and condition herein stated; and that in the event that any one or more terms, provisions or conditions are determined by the Court of competent jurisdiction to be invalid, illegal or unenforceable, if the City Council so determines in its sole discretion, this Resolution shall be deemed to be revoked and no further in force or in effect ab initio. BE IT FURTHER RESOLVED, that based on the above-referenced Findings and Conditions of Approval, the City Council does hereby approve the Village Three North and a Portion of Four SPA Plan. Presented by: Approved as to form by: Kelly Broughton Glen R. Googins Director of Development Services City Attorney 2014-12-02 Agenda Packet Page 571 RESOLUTION RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE OTAY RANCH VILLAGE EIGHT EAST SECTIONAL PLANNING AREA (SPA) PLAN PROPOSING 943 SINGLE-FAMILY DWELLING UNITS, 2,617 MULTI-FAMILY DWELLING UNITS, AND A MINIMUM OF 20,000 SQUARE FEET OF RETAIL COMMERCIAL USES FOR AN APPROXILATELY 575.3 ACRE SITE LOCATED PRIMARILY SOUTH OF MAIN STREET AND WEST OF SR- 125 L RECITALS A. Project Site WHEREAS, the area of land that is the subject of this Resolution is diagrammatically represented in Exhibit "I" attached to and incorporated into this Resolution, and commonly known as Otay Ranch Village Eight East, and for the purpose of general description herein consists of approximately 575.3 acres generally located south of Main Street and west of SR-125 (Project Site); and B. Project; Application for Discretionary Approvals WHEREAS, on March 8, 2012, a duly verified application requesting approval of Sectional Plan Area (SPA) Plan (PCM-12-04), was filed with the City of Chula Vista Development Services Department by SSBT LCRE V, LLC (the "Applicant" and "Owner"); and WHEREAS, the proposed SPA Plan is entitled "Sectional Planning Area Plan, Village Eight East,July 2014" (the"Project")which includes and is incorporated therein all of the attached Appendices, on file in the Office of the City Clerk; and C. Prior Discretionary Approvals WHEREAS, the development of the Project Site has been the subject matter of a General Plan Amendment GPA-10-02, and the Otay Ranch General Development Plan Amendment GDPA 09-28, approved by the City Council on December 2, 2014, by Resolution No. 2014-XXX (GPA/GDPA Resolution) wherein the City Council, in the environmental evaluation of said GPA/GDPA, relied on the Otay Ranch University Villages Project Environmental Impact Report No. 13-01, SCH No. 2013071077 (EIR- 13-01); and 2014-12-02 Agenda Packet Page 572 Resolution No. Page 2 D. Environmental Determination WHEREAS, the City's Development Services Director has reviewed the Project for compliance with the California Environmental Quality Act (CEQA) and determined that the Project would result in a significant impact to the environment, and therefore has prepared the University Villages Project EIR-13-01 that includes the Village Eight East Sectional Planning Area and Village Eight East Tentative Map; and E. Planning Commission Record of Application WHEREAS, the Development Services Director set the time and place for a hearing on the Project, and notice of the hearing, together with its purpose, was given by its publication in a newspaper of general circulation in the City and its mailing to property owners within 500 feet of the exterior boundary of the Project Site at least ten (10) days prior to the hearing; and WHEREAS, the Planning Commission held an advertised public hearing on the Project on November 19, 2014; and WHEREAS, the proceedings and all evidence introduced before the Planning Commission at the public hearing on the Project held on November 19, 2014 and the Minutes and Resolution resulting therefrom, are incorporated into the record of this proceeding; and F. City Council Record of Application WHEREAS, the City Clerk set the time and place for the hearing on the Project application and notices of said hearings, together with its purposes given by its publication in a newspaper of general circulation in the City and its mailing to property owners within 500 feet of the exterior boundaries of the Project Site at least ten (10) days prior to the hearing; and WHEREAS, the duly called and noticed public hearing on the Project was held before the City Council on December 2, 2014 in the Council Chambers in the City Hall, Chula Vista Civic Center, 276 Fourth Avenue, at 2:00 p.m. to hear public testimony with regard to the same. The proceedings and any documents submitted to the City Council as the decision-makers shall comprise the entire record of the proceedings; and WHEREAS, immediately prior to this action, the City Council reviewed and certified Final EIR 13-01 (FEIR-13-01) and adopted the Findings of Fact, Statement of Overriding Considerations, and Mitigation Monitoring and Reporting Program, pursuant to 2014-12-02 Agenda Packet Page 573 Resolution No. Page 3 Resolution NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby find,determine, and resolve as follows: H. CERTIFICATION OF COMPLIANCE WITH CEQA The City Council, in the exercise of their independent review and judgment, immediately prior to this action, reviewed and certified FEIR-13-01 and adopted the Findings of Fact, Statement of Overriding Considerations, and Mitigation Monitoring and Reporting Program,which are attached to this Resolution as Exhibit"2." III. SPA FINDINGS A. THE PROPOSED SECTIONAL PLANNING AREA PLAN IS IN CONFORMITY WITH THE OTAY RANCH GENERAL DEVELOPMENT PLAN AND ITS SEVERAL ELEMENTS. The proposed Village Eight East SPA Plan reflects land use designations, circulation, and public facilities that are consistent with the Otay Ranch General Development Plan and the City of Chula Vista General Plan. The proposed SPA Plan is compatible with previously approved plans and regulations applicable to surrounding sites and, therefore, the proposed SPA Plan can be planned and zoned in coordination and substantial compatibility with surrounding development. B. THE PROPOSED SPA PLAN WILL PROMOTE THE ORDERLY SEQUENTIALIZED DEVELOPMENT OF THE INVOLVED SECTIONAL PLANNING AREAS. The proposed Village Eight East SPA Plan will promote the orderly sequentialized development of the SPA Plan area because the project will be developed in a manner that is consistent with the project's Planned Community District Regulations, Phasing Plan, and Public Facilities Financing Plan. C. THE PROPOSED SPA PLAN WOULD NOT ADVERSELY AFFECT ADJACENT LAND USE, RESIDENTIAL ENJOYMENT, CIRCULATION OR ENVIRONMENTAL QUALITY. The proposed SPA Plan has been reviewed and has been determined to be consistent with the overall land use pattern and circulation system envisioned in the Otay Ranch General Development Plan. Environmental Impact Report FEIR - 2014-12-02 Agenda Packet Page 574 Resolution No. Page 4 13-01 and its associated Mitigation Monitoring and Reporting Program have been prepared and any impacts associated with the proposed SPA Plan would be mitigated to the extent feasible. Thus, the proposed SPA Plan will not adversely affect the adjacent land uses, residential enjoyment, circulation or environmental quality of the surrounding uses. IV. CONDITIONS OF APPROVAL 1. Prior to approval of any land development permits, the Applicant shall demonstrate that the applicable Air Quality Improvement Plan (AQIP) project design features and measures outlined in the Air Quality Improvement Plan pertaining to the design, construction and operational phases of the project have been incorporated in the Project design. 2. Prior to issuance of building permits or approval of landscape construction plans, the Applicant shall implement the applicable mandatory water quality conservation measures of the Water Conservation Plan of the SPA Plan. 3. Prior to approval of any Project proposing private development of property designated for a school use, prior to the expiration of the school site reservation, the Applicant shall: a. Provide evidence and proof of agreement from the applicable school district that the site has not been determined by the district to be needed for use as a school site. b. Obtain approval of a SPA and Administrative Amendment approving the underlying use for the site(s)pursuant to SPA Section 10. 4. All of the terms, covenants and conditions contained herein shall be binding upon and inure to the benefit of the heirs, successors, assigns and representatives of the Developer as to any or all of the Property. For the purpose of this document"Developer" shall have the same meaning as "Applicant." 5. If any of the terms, covenants or conditions contained herein shall fail to occur or if they are, by their terms, to be implemented and maintained over time, if any of such conditions fail to be so implemented and maintained according to their terms, the City shall have the right to revoke or modify all approvals herein granted including issuance of building permits, deny, or further condition the subsequent approvals that are derived from the approvals herein granted, institute and prosecute litigation to compel their compliance with said conditions and/or seek damages for their violation. 6. The Applicant shall indemnify, protect, defend and hold the City its agents, officers and employees harmless from and against any and all claims, liabilities and costs, including 2014-12-02 Agenda Packet Page 575 Resolution No. Page 5 attorneys' fees, arising from challenges to the Village 8 East Sectional Planning Area Plan and Tentative Map Environmental Impact Report (EIR-13-01)Mitigation Monitoring and Reporting Program for the Project, the Otay Ranch Village Eight East Sectional Planning Area (SPA, PCM-12-04) Plan, and/or any and all entitlements issued by the City in connection with the Project. The Applicant and the City agree that the indemnity provisions contained in the Development Agreement satisfy this condition. 7. The Applicant shall comply with all conditions of approval, guidelines, policies, and any other applicable requirements of the following plans and programs, as amended from time to time: The City of Chula Vista Municipal Code; the Chula Vista Subdivision Manual; City of Chula Vista Multiple Species Conservation Program (MSCP) Subarea Plan; City of Chula Vista Design and Construction Standards; the Development Storm Water Manual for Development and Redevelopment Projects; the City of Chula Vista Grading Ordinance, CVMC 15.04; the State of California Subdivision Map Act; the City of Chula Vista General Plan; the City's Growth Management Ordinance; Chula Vista Design Manual; Chula Vista Landscape Manual; Chula Vista Fire Facility Master Plan, and Fire Department Policies and Procedures; Otay Ranch General Development Plan, Otay Ranch Resource Management Plan (RMP) Phase 1 and Phase 2, including the Preserve Conveyance Schedule; City of Chula Vista Adopted Parks and Recreation Master Plan, Otay Ranch Wide Affordable Housing Plan; Otay Ranch Overall Design Plan; Otay Ranch Village Eight East Sectional Planning Area (SPA, PCM-12-04) Plan and supporting appendices, including: Public Facilities Finance Plan (PFFP), Affordable Housing Plan, Air Quality Improvement Plan (AQIP), Agricultural Plan, Fire Protection Plan, Non-Renewable Energy Conservation Plan, Preserve Edge Plan, and Water Conservation Plan (WCP), as amended from time to time; and Village Eight East Tentative Map (TM) CVT-13-03. The Project shall comply with all applicable mitigation measures specified in the University Villages Project (EIR-13-01) Mitigation Monitoring and Reporting Program, as they relate to the Village Eight East Sectional Planning Area Plan and Tentative Map Environmental Impact Report to the satisfaction of the Development Services Director. 8. The Applicant acknowledges and agrees to comply with the provisions of the City of Chula Vista Greenbelt Master Plan (September 16, 2003) as expressed in the SPA Plan. 9. The Project shall satisfy the requirements of the Parkland Dedication Ordinance (PDO) pursuant to Chula Vista Municipal Code Chapter 17.10. The Ordinance establishes a requirement that the project provide three (3) acres of local parks and related improvements per 1,000 residents. Local parks are comprised of community parks and neighborhood parks. Overall park obligation shall be met through the payment of fees, dedication of land, or a combination thereof in a manner acceptable to the Director of Development Services. 2014-12-02 Agenda Packet Page 576 Resolution No. Page 6 10. Phasing approved with the SPA Plan may be amended subject to approval by the Director of Development Services and the City Engineer. 11. The Applicant shall enter into supplemental agreement(s)with the City,prior to approval of each Final Map for any phase or unit,whereby: a. The Developer agree(s) that the City may withhold building permits for any units within the Project Site in order to have the Project comply with the Growth Management Program; or, if any one of the following occur: i. Regional development threshold limits set by a Chula Vista transportation- phasing plan, as amended from time to time,have been reached. ii. Traffic volumes, level of service, public utilities and/or services either exceed the adopted City threshold standards or fail to comply with the then effective Growth Management Ordinance and Growth Management Program and any amendments thereto. iii. The Project's required public facilities, as identified in the Public Facilities Finance Plan (PFFP), or as amended or otherwise conditioned, have not been completed or constructed in accordance with the Project entitlements including the Development Agreement to the satisfaction of the Development Services and the City Engineer. The Developer may propose changes in the timing and sequencing of development and the construction of improvements affected. In such case, the PFFP may be amended after review and approval by the City's Director of Development Services and the City Engineer. The Developer agree(s) that the City may withhold building permits for any of the phases of development identified in the PFFP for the Project if the Project's required public facilities, as identified in the PFFP or in accordance with the Development Agreement are not meeting the City's standard operating thresholds. Public utilities shall include,but not be limited to, air quality, drainage, sewer and water. 12. After final SPA approval, the Applicant shall submit electronic versions of all SPA documents, including text and graphics, to the Development Services Department in a format specified and acceptable to the Development Services Director. 13. The Applicant shall comply with the Fire Department's codes and policies for Fire Prevention. As part of any submittal for design review, a fire access and water supply plan prepared by a licensed engineering firm, which has been determined to be qualified in the sole discretion of the Fire Marshall, shall be submitted for approval by the City of Chula Vista Fire Marshall. The plan shall detail how and when the Applicant shall provide the following items either prior to the issuance of building permit(s) for the Project, or prior to delivery of combustible materials on any construction site on the Project,whichever occurs earlier: 2014-12-02 Agenda Packet Page 577 Resolution No. Page 7 a. Water supply consisting of fire hydrants as approved and indicated by the Fire Department during plan check to the satisfaction of the Fire Marshall. Any temporary water supply source is subject to prior approval by the Fire Marshal. b. Emergency vehicle access consisting of a minimum first layer of hard asphalt surface or concrete surface,with a minimum standard width of 15 feet. c. Street signs installed to the satisfaction of the City Engineer. Temporary street signs shall be subject to the approval of the City Engineer and Fire Marshall. Locations and identification of temporary street signs shall be subject to review and approval by the City Engineer and Fire Marshall. V. GOVERNMENT CODE SECTION 66020 NOTICE Pursuant to Government Code Section 66020(d) (1), NOTICE IS HEREBY GIVEN that the 90 day period to protest the imposition of any impact fee, dedication, reservation, or other exaction described in this resolution begins on the effective date of this resolution and any such protest must be in a manner that complies with Section 66020(a) and failure to follow timely this procedure will bar any subsequent legal action to attack, set aside, void or annual imposition. The right to protest the fees, dedications, reservations, or other exactions does not apply to planning, zoning, grading, or other similar application processing fees or service fees in connection with the project; and it does not apply to any fees, dedication, reservations, or other exactions which have been given notice similar to this, nor does it revive challenges to any fees for which the Statute of Limitations has previously expired. VI. EXECUTION OF RESOLUTION OF APPROVAL The Property Owner and the Developer shall execute this document by signing the lines provided below, said execution indicating that the Property Owner and Developer have each read, understood and agreed to the conditions contained in Resolution No. , and will implement same to the satisfaction of the Development Services Director. Upon execution, this document and a copy of Resolution No. shall be recorded with the County Clerk of the County of San Diego, at the sole expense of the Property Owner and/or Developer, and a signed, stamped copy returned to the City Clerk. Failure to return a signed and stamped copy of this recorded document within thirty days of recordation to the City Clerk shall indicate the Property Owner/Developer's desire that the project, and the corresponding application for building permits and/or a business license, be held in abeyance without approval. Signature of Property Owner Date 2014-12-02 Agenda Packet Page 578 Resolution No. Page 8 Signature of Developer Date VII. CONSEQUENCE OF FAILURE OF CONDITIONS If any of the forgoing conditions fail to occur, or if they are, by their terms, to be implemented and maintained over time, and any of such conditions fail to be so implemented and maintained according to the their terms, the City shall have the right to revoke or modify all approvals herein granted, deny or further condition issuance of future building permits, deny, revoke or further condition all certificates of occupancy issued under the authority of approvals herein granted, instituted and prosecute litigate or compel their compliance or seek damages for their violations. No vested rights are gained by Applicant or successor in interest by the City approval of this Resolution. VIII. INVALIDITY; AUTOMATIC REVOCATION It is the intention of the City Council that its adoption of this Resolution is dependent upon enforceability of each and every term provision and condition herein stated; and that in the event that any one or more terms, provisions or conditions are determined by the Court of competent jurisdiction to be invalid, illegal or unenforceable, if the City Council so determines in its sole discretion, this Resolution shall be deemed to be revoked and no further in force or in effect ab initio. BE IT FURTHER RESOLVED, that based on the above-referenced Findings and Conditions of Approval, the City Council does hereby approve the Village Eight East SPA Plan. Presented by: Approved as to form by: Kelly Broughton Glen R. Googins Director of Development Services City Attorney 2014-12-02 Agenda Packet Page 579 Resolution No. Page 9 EXHIBIT"I" AGE 12 - - � � VILL � Win'•_rf� i ':,{ � / MLLA E 7 EUG III OTAY NCH - VILLA 10 PROJEO I 1 OTAY RANCH VILLAGE 9 I VILLAGE 8 AT PROJECT VILLAGE 4 M LLAGE 8 WEST RANCH � YIL 3 N.TH AND A PORTION OF Y L E PROJE I ti 2014-12-02 Agenda Packet Page 580 RESOLUTION RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE OTAY RANCH VILLAGE TEN SECTIONAL PLANNING AREA (SPA) PLAN PROPOSING 695 SINGLE-FAMILY DWELLING UNITS, AND 1,045 MULTI-FAMILY DWELLING UNITS FOR AN APPROXIMATELY 363.4 ACRE SITE LOCATED SOUTH OF HUNTE PARKWAY AND THE FUTURE UNIVERSITY SITE L RECITALS A. Project Site WHEREAS, the area of land that is the subject of this Resolution is diagrammatically represented in Exhibit "1" attached to and incorporated into this Resolution, and commonly known as Otay Ranch Village Ten, and for the purpose of general description herein consists of approximately 363.4 acres generally located south of Hunte Parkway Street and the future university site (Project Site); and B. Project; Application for Discretionary Approvals WHEREAS, on January 3, 2012, a duly verified application requesting approval of Sectional Plan Area (SPA) Plan (PCM-12-01), was filed with the City of Chula Vista Development Services Department by SSBT LCRE V, LLC (the "Applicant" and "Owner"); and WHEREAS, the proposed SPA Plan is entitled "Sectional Planning Area Plan, Village Ten, July 2014" (the"Project")which includes and is incorporated therein all of the attached Appendices, on file in the Office of the City Clerk; and C. Prior Discretionary Approvals WHEREAS, the development of the Project Site has been the subject matter of a General Plan Amendment GPA-12-02, and the Otay Ranch General Development Plan Amendment GDPA 09-28, approved by the City Council on December 2, 2014, by Resolution No. 2014-XXX (GPA/GDPA Resolution) wherein the City Council, in the environmental evaluation of said GPA/GDPA, relied on the Otay Ranch University Villages Project Environmental Impact Report No. 13-01, SCH No. 2013071077 (EIR- 13-01); and 2014-12-02 Agenda Packet Page 581 Resolution No. Page 2 D. Environmental Determination WHEREAS, the City's Development Services Director has reviewed the Project for compliance with the California Environmental Quality Act (CEQA) and determined that the Project would result in a significant impact to the environment, and therefore has prepared the University Villages Project EIR-13-01 that includes the Village Ten Sectional Planning Area and Village Ten Tentative Map; and E. Planning Commission Record of Application WHEREAS, the Development Services Director set the time and place for a hearing on the Project, and notice of the hearing, together with its purpose, was given by its publication in a newspaper of general circulation in the City and its mailing to property owners within 500 feet of the exterior boundary of the Project Site at least ten (10) days prior to the hearing; and WHEREAS, the Planning Commission held an advertised public hearing on the Project on November 19, 2014; and WHEREAS, the proceedings and all evidence introduced before the Planning Commission at the public hearing on the Project held on November 19, 2014 and the Minutes and Resolution resulting therefrom, are incorporated into the record of this proceeding; and F. City Council Record of Application WHEREAS, the City Clerk set the time and place for the hearing on the Project application and notices of said hearings, together with its purposes given by its publication in a newspaper of general circulation in the City and its mailing to property owners within 500 feet of the exterior boundaries of the Project Site at least ten (10) days prior to the hearing; and WHEREAS, the duly called and noticed public hearing on the Project was held before the City Council on December 2, 2014 in the Council Chambers in the City Hall, Chula Vista Civic Center, 276 Fourth Avenue, at 2:00 p.m. to hear public testimony with regard to the same. The proceedings and any documents submitted to the City Council as the decision-makers shall comprise the entire record of the proceedings; and WHEREAS, immediately prior to this action, the City Council reviewed and certified Final EIR 13-01 (FEIR-13-01) and adopted the Findings of Fact, Statement of Overriding Considerations, and Mitigation Monitoring and Reporting Program, pursuant to Resolution 2014-12-02 Agenda Packet Page 582 Resolution No. Page 3 NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby find,determine, and resolve as follows: H. CERTIFICATION OF COMPLIANCE WITH CEQA The City Council, in the exercise of their independent review and judgment, immediately prior to this action, reviewed and certified FEIR-13-01 and adopted the Findings of Fact, Statement of Overriding Considerations, and Mitigation Monitoring and Reporting Program,which are attached to this Resolution as Exhibit"2." III. SPA FINDINGS A. THE PROPOSED SECTIONAL PLANNING AREA PLAN IS IN CONFORMITY WITH THE OTAY RANCH GENERAL DEVELOPMENT PLAN AND ITS SEVERAL ELEMENTS. The proposed Village Ten SPA Plan reflects land use designations, circulation, and public facilities that are consistent with the Otay Ranch General Development Plan and the City of Chula Vista General Plan. The proposed SPA Plan is compatible with previously approved plans and regulations applicable to surrounding sites and, therefore, the proposed SPA Plan can be planned and zoned in coordination and substantial compatibility with surrounding development. B. THE PROPOSED SPA PLAN WILL PROMOTE THE ORDERLY SEQUENTIALIZED DEVELOPMENT OF THE INVOLVED SECTIONAL PLANNING AREAS. The proposed Village Ten SPA Plan will promote the orderly sequentialized development of the SPA Plan area because the project will be developed in a manner that is consistent with the project's Planned Community District Regulations, Phasing Plan, and Public Facilities Financing Plan. C. THE PROPOSED SPA PLAN WOULD NOT ADVERSELY AFFECT ADJACENT LAND USE, RESIDENTIAL ENJOYMENT, CIRCULATION OR ENVIRONMENTAL QUALITY. The proposed SPA Plan has been reviewed and has been determined to be consistent with the overall land use pattern and circulation system envisioned in the Otay Ranch General Development Plan. Environmental Impact Report FEIR - 13-01 and its associated Mitigation Monitoring and Reporting Program have been 2014-12-02 Agenda Packet Page 583 Resolution No. Page 4 prepared and any impacts associated with the proposed SPA Plan would be mitigated to the extent feasible. Thus, the proposed SPA Plan will not adversely affect the adjacent land uses, residential enjoyment, circulation or environmental quality of the surrounding uses. IV. CONDITIONS OF APPROVAL 1. Prior to approval of any land development permits, the Applicant shall demonstrate that the applicable Air Quality Improvement Plan (AQIP) project design features and measures outlined in the Air Quality Improvement Plan pertaining to the design, construction and operational phases of the project have been incorporated in the Project design. 2. Prior to issuance of building permits or approval of landscape construction plans, the Applicant shall implement the applicable mandatory water quality conservation measures of the Water Conservation Plan of the SPA Plan. 3. Prior to approval of any project proposing private development of property designated for a school use, prior to the expiration of the school site reservation, the Applicant shall: a. Provide evidence and proof of agreement from the applicable school district that the site has not been determined by the district to be needed for use as a school site. b. Obtain approval of a SPA and Administrative Amendment approving the underlying use for the site(s)pursuant to SPA Section 10. 4. All of the terms, covenants and conditions contained herein shall be binding upon and inure to the benefit of the heirs, successors, assigns and representatives of the Developer as to any or all of the Property. For the purpose of this document"Developer" shall have the same meaning as "Applicant." 5. If any of the terms, covenants or conditions contained herein shall fail to occur or if they are, by their terms, to be implemented and maintained over time, if any of such conditions fail to be so implemented and maintained according to their terms, the City shall have the right to revoke or modify all approvals herein granted including issuance of building permits, deny, or further condition the subsequent approvals that are derived from the approvals herein granted, institute and prosecute litigation to compel their compliance with said conditions and/or seek damages for their violation. 6. The Applicant shall indemnify, protect, defend and hold the City its agents, officers and employees harmless from and against any and all claims, liabilities and costs, including attorneys' fees, arising from challenges to the Village Ten Sectional Planning Area Plan 2014-12-02 Agenda Packet Page 584 Resolution No. Page 5 and Tentative Map Environmental Impact Report (EIR-13-01) Mitigation Monitoring and Reporting Program for the Project, the Otay Ranch Village Ten Sectional Planning Area (SPA, PCM-12-01) Plan, and/or any and all entitlements issued by the City in connection with the Project. The Applicant and the City agree that the indemnity provisions contained in the Development Agreement satisfy this condition. 7. The Applicant shall comply with all conditions of approval, guidelines, policies, and any other applicable requirements of the following plans and programs, as amended from time to time: The City of Chula Vista Municipal Code; the Chula Vista Subdivision Manual; City of Chula Vista Multiple Species Conservation Program (MSCP) Subarea Plan; City of Chula Vista Design and Construction Standards; the Development Storm Water Manual for Development and Redevelopment Projects; the City of Chula Vista Grading Ordinance, CVMC 15.04; the State of California Subdivision Map Act; the City of Chula Vista General Plan; the City's Growth Management Ordinance; Chula Vista Design Manual; Chula Vista Landscape Manual; Chula Vista Fire Facility Master Plan, and Fire Department Policies and Procedures; Otay Ranch General Development Plan, Otay Ranch Resource Management Plan (RMP) Phase 1 and Phase 2, including the Preserve Conveyance Schedule; City of Chula Vista Adopted Parks and Recreation Master Plan, Otay Ranch Wide Affordable Housing Plan; Otay Ranch Overall Design Plan; Otay Ranch Village Ten Sectional Planning Area (SPA, PCM-12-04) Plan and supporting appendices, including: Public Facilities Finance Plan (PFFP), Affordable Housing Plan, Air Quality Improvement Plan (AQIP), Agricultural Plan, Fire Protection Plan, Non- Renewable Energy Conservation Plan, Preserve Edge Plan, and Water Conservation Plan (WCP), as amended from time to time; and Village Ten Tentative Map (TM) CVT-13-04. The Project shall comply with all applicable mitigation measures specified in the University Villages Project (EIR-13-01)Mitigation Monitoring and Reporting Program, as they relate to the Village Ten Sectional Planning Area Plan and Tentative Map Environmental Impact Report to the satisfaction of the Development Services Director. 8. The Applicant acknowledges and agrees to comply with the provisions of the City of Chula Vista Greenbelt Master Plan (September 16, 2003) as expressed in the SPA Plan. 9. The Project shall satisfy the requirements of the Parkland Dedication Ordinance (PDO) pursuant to Chula Vista Municipal Code Chapter 17.10. The Ordinance establishes a requirement that the project provide three (3) acres of local parks and related improvements per 1,000 residents. Local parks are comprised of community parks and neighborhood parks. Overall park obligation shall be met through the payment of fees, dedication of land, or a combination thereof in a manner acceptable to the Director of Development Services. 10. Phasing approved with the SPA Plan may be amended subject to approval by the Director of Development Services and the City Engineer. 2014-12-02 Agenda Packet Page 585 Resolution No. Page 6 11. The Applicant shall enter into supplemental agreement(s)with the City, prior to approval of each Final Map for any phase or unit,whereby: a. The Developer agree(s) that the City may withhold building permits for any units within the Project Site in order to have the Project comply with the Growth Management Program; or, if any one of the following occur: i. Regional development threshold limits set by a Chula Vista transportation- phasing plan, as amended from time to time,have been reached. ii. Traffic volumes, level of service, public utilities and/or services either exceed the adopted City threshold standards or fail to comply with the then effective Growth Management Ordinance and Growth Management Program and any amendments thereto. iii. The Project's required public facilities, as identified in the Public Facilities Finance Plan (PFFP), or as amended or otherwise conditioned, have not been completed or constructed in accordance with the Project entitlements including the Development Agreement to the satisfaction of the Director of Development Services and City Engineer. The Developer may propose changes in the timing and sequencing of development and the construction of improvements affected. In such case, the PFFP may be amended after review and approval by the City's Director of Development Services and the City Engineer. The Developer agree(s) that the City may withhold building permits for any of the phases of development identified in the PFFP for the Project if the Project's required public facilities, as identified in the PFFP or in accordance with the Development Agreement are not meeting the City's standard operating thresholds. Public utilities shall include, but not be limited to, air quality, drainage, sewer and water. 12. After final SPA approval, the Applicant shall submit electronic versions of all SPA documents, including text and graphics, to the Development Services Department in a format specified and acceptable to the Development Services Director. 13. The Applicant shall comply with the Fire Department's codes and policies for Fire Prevention. As part of any submittal for design review, a fire access and water supply plan prepared by a licensed engineering firm, which has been determined to be qualified in the sole discretion of the Fire Marshall, shall be submitted for approval by the City of Chula Vista Fire Marshall. The plan shall detail how and when the Applicant shall provide the following items either prior to the issuance of building permit(s) for the Project, or prior to delivery of combustible materials on any construction site on the Project,whichever occurs earlier: a. Water supply consisting of fire hydrants as approved and indicated by the Fire Department during plan check to the satisfaction of the Fire Marshall. Any temporary water supply source is subject to prior approval by the Fire Marshal. 2014-12-02 Agenda Packet Page 586 Resolution No. Page 7 b. Emergency vehicle access consisting of a minimum first layer of hard asphalt surface or concrete surface,with a minimum standard width of 15 feet. c. Street signs installed to the satisfaction of the City Engineer. Temporary street signs shall be subject to the approval of the City Engineer and Fire Marshall. Locations and identification of temporary street signs shall be subject to review and approval by the City Engineer and Fire Marshall. V. GOVERNMENT CODE SECTION 66020 NOTICE Pursuant to Government Code Section 66020(d) (1), NOTICE IS HEREBY GIVEN that the 90 day period to protest the imposition of any impact fee, dedication, reservation, or other exaction described in this resolution begins on the effective date of this resolution and any such protest must be in a manner that complies with Section 66020(a) and failure to follow timely this procedure will bar any subsequent legal action to attack, set aside, void or annual imposition. The right to protest the fees, dedications, reservations, or other exactions does not apply to planning, zoning, grading, or other similar application processing fees or service fees in connection with the project; and it does not apply to any fees, dedication, reservations, or other exactions which have been given notice similar to this, nor does it revive challenges to any fees for which the Statute of Limitations has previously expired. VI. EXECUTION OF RESOLUTION OF APPROVAL The Property Owner and the Developer shall execute this document by signing the lines provided below, said execution indicating that the Property Owner and Developer have each read, understood and agreed to the conditions contained in Resolution No. , and will implement same to the satisfaction of the Development Services Director. Upon execution, this document and a copy of Resolution No. shall be recorded with the County Clerk of the County of San Diego, at the sole expense of the Property Owner and/or Developer, and a signed, stamped copy returned to the City Clerk. Failure to return a signed and stamped copy of this recorded document within thirty days of recordation to the City Clerk shall indicate the Property Owner/Developer's desire that the project, and the corresponding application for building permits and/or a business license, be held in abeyance without approval. Signature of Property Owner Date Signature of Developer Date 2014-12-02 Agenda Packet Page 587 Resolution No. Page 8 VII. CONSEQUENCE OF FAILURE OF CONDITIONS If any of the forgoing conditions fail to occur, or if they are, by their terms, to be implemented and maintained over time, and any of such conditions fail to be so implemented and maintained according to the their terms, the City shall have the right to revoke or modify all approvals herein granted, deny or further condition issuance of future building permits, deny, revoke or further condition all certificates of occupancy issued under the authority of approvals herein granted, instituted and prosecute litigate or compel their compliance or seek damages for their violations. No vested rights are gained by Applicant or successor in interest by the City approval of this Resolution. VIII. INVALIDITY; AUTOMATIC REVOCATION It is the intention of the City Council that its adoption of this Resolution is dependent upon enforceability of each and every term provision and condition herein stated; and that in the event that any one or more terms, provisions or conditions are determined by the Court of competent jurisdiction to be invalid, illegal or unenforceable, if the City Council so determines in its sole discretion, this Resolution shall be deemed to be revoked and no further in force or in effect ab initio. BE IT FURTHER RESOLVED, that based on the above-referenced Findings and Conditions of Approval, the City Council does hereby approve the Village Ten SPA Plan. Presented by: Approved as to form by: Kelly Broughton, FASLA Glen R. Googins Director of Development Services City Attorney 2014-12-02 Agenda Packet Page 588 ORDINANCE No. ORDINANCE OF THE CITY OF CHULA VISTA APPROVING THE SECTIONAL PLANNING AREA (SPA) PLANNED COMMUNITY DISTRICT REGULATIONS FOR OTAY RANCH VILLAGE THREE NORTH AND A PORTION OF FOUR WHEREAS, the property which is the subject matter of this Ordinance is identified as Exhibit "1" attached hereto and incorporated herein by this reference and commonly known as Otay Ranch Village Three North and a portion of Four, which consists of approximately 436.0 acres located primarily north of Main Street and northwest and southeast of Heritage Road (the "Property"); and WHEREAS, an application (PCM-12-06) to consider a new Sectional Planning Area (SPA) Plan, including Planned Community District Regulations for Village Three North and a portion of Four (the "Project") was filed with the City of Chula Vista Development Services Department on March 26, 2012, by SSBT LCRE V, LLC (the "Applicant" and "Owner"); and WHEREAS, the Project is intended to ensure that the Otay Ranch Village Three North and a Portion of Four SPA Plan is prepared in accordance with the Otay Ranch General Development Plan (GDP) to implement the City of Chula Vista General Plan for Eastern Chula Vista to promote the orderly planning and long term phased development of the Otay Ranch GDP and to establish conditions which will enable Otay Ranch Village Three North and a Portion of Four to exist in harmony within the community; and WHEREAS, the development of the Property has been the subject matter of a General Plan Amendment GPA-10-02, and Otay Ranch General Development Plan Amendment GDPA-09-28, approved by the City Council on December 2, 2014, by Resolution No. 2014- ; and WHEREAS, the development of the Property relied on the Otay Ranch University Villages Project Environmental Impact Report No. 13-01 , SCH # 2014071077 (EIR-13- 01); and the Findings of Fact and Mitigation Monitoring and Reporting Program, Certified by the City Council on December 2, 2014; and WHEREAS, the Project is established pursuant to Title 19 of the Chula Vista Municipal Code, specifically Chapter 19.48 Planned Community (PC) Zone, which is applicable to the Otay Ranch Village Three North and a portion of Four SPA Land Use Plan; and WHEREAS, the Project establishes a Planned Community District Regulation Code applicable to the Residential, Mixed Use, Industrial and Office, Open Space and Parks, and Community Purpose Facility Districts, located in the Otay Ranch Village Three North and a Portion of Four SPA Land Use Plan; and 2014-12-02 Agenda Packet Page 589 WHEREAS, the City's Development Services Director has reviewed the Project for compliance with the California Environmental Quality Act (CEQA) and determined that the Project could result in a significant impact to the environment, and therefore, the University Villages Project Environmental Impact Report (EIR-13-01) has been prepared and addresses the Village Three North and a Portion of Four Sectional Planning Area Plan and Tentative Map; and WHEREAS, the Planning Commission set the time and place for a hearings on said Project and notice of said hearing, together with its purpose, was given by its publication in a newspaper of general circulation in the City and its mailings to property owners within 500 feet of the exterior boundaries of the Project site at least ten days prior to the hearing; and WHEREAS; the hearing was held at the time and place as advertised, namely 6:00 p.m. November 19, 2014 in the City Council Chambers located at 276 Fourth Avenue, and said hearing was thereafter closed; and WHEREAS; a duly noticed public hearing was scheduled before the City Council of the City of Chula Vista to approve the Project; and WHEREAS, the proceedings and any documents submitted to the City Council as the decision makers shall comprise the entire record of the proceedings. NOW, THEREFORE, THE CITY COUNCIL of the City of Chula Vista does hereby order and ordain as follows: I. PLANNING COMMISSION RECORD The proceedings and all evidence introduced before the Planning Commission at their public hearing held on November 19, 2014 and the Minutes and Resolutions resulting therefrom are hereby incorporated into the record of this proceeding. These documents, along with any documents submitted to the decision-makers, shall comprise the entire record of the proceedings for any CEQA claims. II. COMPLIANCE WITH CEQA Immediately prior to this action, the City Council reviewed and certified EIR-13- 01 and adopted the Findings of Fact; Statement of Overriding Considerations, and Mitigation Monitoring and Reporting Program, pursuant to Resolution III. ACTION The City Council hereby adopts an Ordinance approving the Otay Ranch Village Three North and a Portion of Four SPA Planned Community District Regulations, 2014-12-02 Agenda Packet Page 590 finding that they are consistent with the City of Chula Vista General Plan, the Otay Ranch General Development Plan and all other applicable Plans; as set forth in Resolution PCM-12-06 adopting the Village Three North and a Portion of Four SPA Plan, and that the public necessity; convenience, general welfare and good planning and zoning practice support their approval and implementation. IV. SEVERABILITY If any portion of this Ordinance, or its application to any person or circumstance, is for any reason held to be, invalid, unenforceable or unconstitutional; by a court of competent jurisdiction, that portion shall be deemed severable, and such invalidity, unenforceability or unconstitutionality shall not affect the validity or enforceability of the remaining portions of the Ordinance, or its application to any other person or circumstance. The City Council of the City of Chula Vista hereby declares that it would have adopted each section, sentence, clause or phrase of this Ordinance, irrespective of the fact that any one or more other sections, sentences, clauses or phrases of the Ordinance be declared invalid, unenforceable or unconstitutional. V. CONSTRUCTION The City Council of the City of Chula Vista intends this Ordinance to supplement, not to duplicate or contradict, applicable state and federal law and this Ordinance shall be construed in light of that intent. VI. EFFECTIVE DATE This Ordinance shall take effect and be in full force on the thirtieth day from and after its adoption. VII. PUBLICATION The City Clerk shall certify to the passage and adoption of this Ordinance and shall cause the same to be published or posted according to law. Presented by: Approved as to form by: Kelly Broughton, FASLA Glen R. Googins Development Services Director City Attorney 2014-12-02 Agenda Packet Page 591 ORDINANCE No. ORDINANCE OF THE CITY OF CHULA VISTA APPROVING THE SECTIONAL PLANNING AREA (SPA) PLANNED COMMUNITY DISTRICT REGULATIONS FOR OTAY RANCH VILLAGE EIGHT EAST WHEREAS, the property which is the subject matter of this Ordinance is identified as Exhibit "1" attached hereto and incorporated herein by this reference and commonly known as Otay Ranch Village Eight East, which consists of approximately 575.3 acres located primarily south of Main Street and west of SR-125 (the "Property"); and WHEREAS, an application (PCM-12-04) to consider a new Sectional Planning Area (SPA) Plan, including Planned Community District Regulations for Village Eight East (the "Project") was filed with the City of Chula Vista Development Services Department on March 8, 2012, by SSBT LCRE V, LLC (the "Applicant" and "Owner"); and WHEREAS, the Project is intended to ensure that the Otay Ranch Village Eight East SPA Plan is prepared in accordance with the Otay Ranch General Development Plan (GDP) to implement the City of Chula Vista General Plan for Eastern Chula Vista to promote the orderly planning and long term phased development of the Otay Ranch GDP and to establish conditions which will enable Otay Ranch Village Eight East to exist in harmony within the community; and WHEREAS, the development of the Property has been the subject matter of a General Plan Amendment GPA-10-02, and Otay Ranch General Development Plan Amendment GDPA 09-28, approved by the City Council on December 2, 2014, by Resolution No. 2014- ; and WHEREAS, the development of the Property relied on the Otay Ranch University Villages Project Environmental Impact Report No. 13-01 , SCH # 2014071077 (EIR-13- 01); and the Findings of Fact and Mitigation Monitoring and Reporting Program, Certified by the City Council on December 2, 2014; and WHEREAS, the Project is established pursuant to Title 19 of the Chula Vista Municipal Code, specifically Chapter 19.48 Planned Community (PC) Zone, which is applicable to the Otay Ranch Village Eight East SPA Land Use Plan; and WHEREAS, the Project establishes a Planned Community District Regulation Code applicable to the Residential, Mixed Use, Open Space and Parks, and Community Purpose Facility Districts, located in the Otay Ranch Village Eight East SPA Land Use Plan; and 2014-12-02 Agenda Packet Page 592 WHEREAS, the City's Development Services Director has reviewed the Project for compliance with the California Environmental Quality Act (CEQA) and determined that the Project could result in a significant impact to the environment, and therefore, the University Villages Project Environmental Impact Report (EIR 13-01) has been prepared and addresses the Village Eight East Sectional Planning Area Plan and Tentative Map; and WHEREAS, the Planning Commission set the time and place for a hearing on said Project and notice of said hearing, together with its purpose, was given by its publication in a newspaper of general circulation in the City and its mailings to property owners within 500 feet of the exterior boundaries of the Project site at least ten days prior to the hearing; and WHEREAS; the hearing was held at the time and place as advertised, namely 6:00 p.m. November 19, 2014 in the City Council Chambers located at 276 Fourth Avenue, and said hearing was thereafter closed; and WHEREAS; a duly noticed public hearing was scheduled before the City Council of the City of Chula Vista to approve the Project; and WHEREAS, the proceedings and any documents submitted to the City Council as the decision makers shall comprise the entire record of the proceedings. NOW, THEREFORE, THE CITY COUNCIL of the City of Chula Vista does hereby order and ordain as follows: I. PLANNING COMMISSION RECORD The proceedings and all evidence introduced before the Planning Commission at their public hearing held on November 19, 2014 and the Minutes and Resolutions resulting therefrom are hereby incorporated into the record of this proceeding. These documents, along with any documents submitted to the decision-makers, shall comprise the entire record of the proceedings for any CEQA claims. II. COMPLIANCE WITH CEQA Immediately prior to this action, the City Council reviewed and certified EIR- 13- 01 and adopted the Findings of Fact; Statement of Overriding Considerations, and Mitigation Monitoring and Reporting Program, pursuant to Resolution III. ACTION The City Council hereby adopts an Ordinance approving the Otay Ranch Village Eight East SPA Planned Community District Regulations, finding that they are consistent with the City of Chula Vista General Plan, the Otay Ranch General 2014-12-02 Agenda Packet Page 593 Development Plan and all other applicable Plans; as set forth in Resolution adopting the Village Eight East SPA Plan, and that the public necessity; convenience, general welfare and good planning and zoning practice support their approval and implementation. IV. SEVERABILITY If any portion of this Ordinance, or its application to any person or circumstance, is for any reason held to be, invalid, unenforceable or unconstitutional; by a court of competent jurisdiction, that portion shall be deemed severable, and such invalidity, unenforceability or unconstitutionality shall not affect the validity or enforceability of the remaining portions of the Ordinance, or its application to any other person or circumstance. The City Council of the City of Chula Vista hereby declares that it would have adopted each section, sentence, clause or phrase of this Ordinance, irrespective of the fact that any one or more other sections, sentences, clauses or phrases of the Ordinance be declared invalid, unenforceable or unconstitutional. V. CONSTRUCTION The City Council of the City of Chula Vista intends this Ordinance to supplement, not to duplicate or contradict, applicable state and federal law and this Ordinance shall be construed in light of that intent. VI. EFFECTIVE DATE This Ordinance shall take effect and be in full force on the thirtieth day from and after its adoption. VII. PUBLICATION The City Clerk shall certify to the passage and adoption of this Ordinance and shall cause the same to be published or posted according to law. Presented by: Approved as to form by: Kelly Broughton, FASLA Glen R. Googins Development Services Director City Attorney 2014-12-02 Agenda Packet Page 594 ORDINANCE No. ORDINANCE OF THE CITY OF CHULA VISTA APPROVING THE SECTIONAL PLANNING AREA (SPA) PLANNED COMMUNITY DISTRICT REGULATIONS FOR OTAY RANCH VILLAGE TEN WHEREAS, the property which is the subject matter of this Ordinance is identified as Exhibit "1" attached hereto and incorporated herein by this reference and commonly known as Otay Ranch Village Ten, which consists of approximately 363.4 acres located south of Hunte Parkway and the future university site (the "Property"); and WHEREAS, an application (PCM-12-01) to consider a new Sectional Planning Area (SPA) Plan, including Planned Community District Regulations for Village Ten (the "Project") was filed with the City of Chula Vista Development Services Department on January 3, 2012, by SSBT LCRE V, LLC (the "Applicant" and "Owner"); and WHEREAS, the Project is intended to ensure that the Otay Ranch Village Ten SPA Plan is prepared in accordance with the Otay Ranch General Development Plan (GDP) to implement the City of Chula Vista General Plan for Eastern Chula Vista to promote the orderly planning and long term phased development of the Otay Ranch GDP and to establish conditions which will enable Otay Ranch Village Ten to exist in harmony within the community; and WHEREAS, the development of the Property has been the subject matter of a General Plan Amendment GPA-10-02, and Otay Ranch General Development Plan Amendment GDPA 09-28, approved by the City Council on December 2, 2014, by Resolution No. 2014- ; and WHEREAS, the development of the Property relied on the Otay Ranch University Villages Project Environmental Impact Report No. 13-01 , SCH # 2014071077 (EIR-13- 01); and the Findings of Fact and Mitigation Monitoring and Reporting Program, Certified by the City Council on December 2, 2014; and WHEREAS, the Project is established pursuant to Title 19 of the Chula Vista Municipal Code, specifically Chapter 19.48 Planned Community (PC) Zone, which is applicable to the Otay Ranch Village Ten SPA Land Use Plan; and WHEREAS, the Project establishes a Planned Community District Regulation Code applicable to the Residential, Open Space and Parks, and Community Purpose Facility Districts, located in the Otay Ranch Village Ten SPA Land Use Plan; and WHEREAS, the City's Development Services Director has reviewed the Project for compliance with the California Environmental Quality Act (CEQA) and determined that the Project could result in a significant impact to the environment, and therefore, the 2014-12-02 Agenda Packet Page 595 University Villages Project Environmental Impact Report (EIR-13-01) has been prepared and addresses the Village Ten Sectional Planning Area Plan and Tentative Map; and WHEREAS, the Planning Commission set the time and place for a hearing on said Project and notice of said hearing, together with its purpose, was given by its publication in a newspaper of general circulation in the City and its mailings to property owners within 500 feet of the exterior boundaries of the Project site at least ten days prior to the hearing; and WHEREAS; the hearing was held at the time and place as advertised, namely 6:00 p.m. November 19, 2014 in the City Council Chambers located at 276 Fourth Avenue, and said hearing was thereafter closed; and WHEREAS; a duly noticed public hearing was scheduled before the City Council of the City of Chula Vista to approve the Project; and WHEREAS, the proceedings and any documents submitted to the City Council as the decision makers shall comprise the entire record of the proceedings. NOW, THEREFORE, THE CITY COUNCIL of the City of Chula Vista does hereby order and ordain as follows: I. PLANNING COMMISSION RECORD The proceedings and all evidence introduced before the Planning Commission at their public hearing held on November 19, 2014 and the Minutes and Resolutions resulting therefrom are hereby incorporated into the record of this proceeding. These documents, along with any documents submitted to the decision-makers, shall comprise the entire record of the proceedings for any CEQA claims. II. COMPLIANCE WITH CEQA Immediately prior to this action, the City Council reviewed and certified EIR- 13- 01 and adopted the Findings of Fact; Statement of Overriding Considerations, and Mitigation Monitoring and Reporting Program, pursuant to Resolution III. ACTION The City Council hereby adopts an Ordinance approving the Otay Ranch Village Ten SPA Planned Community District Regulations, finding that they are consistent with the City of Chula Vista General Plan, the Otay Ranch General Development Plan and all other applicable Plans; as set forth in Resolution adopting the Village Ten SPA Plan, and that the public necessity; convenience, general welfare and good planning and zoning practice support their approval and implementation. 2014-12-02 Agenda Packet Page 596 IV. SEVERABILITY If any portion of this Ordinance, or its application to any person or circumstance, is for any reason held to be, invalid, unenforceable or unconstitutional; by a court of competent jurisdiction, that portion shall be deemed severable, and such invalidity, unenforceability or unconstitutionality shall not affect the validity or enforceability of the remaining portions of the Ordinance, or its application to any other person or circumstance. The City Council of the City of Chula Vista hereby declares that it would have adopted each section, sentence, clause or phrase of this Ordinance, irrespective of the fact that any one or more other sections, sentences, clauses or phrases of the Ordinance be declared invalid, unenforceable or unconstitutional. V. CONSTRUCTION The City Council of the City of Chula Vista intends this Ordinance to supplement, not to duplicate or contradict, applicable state and federal law and this Ordinance shall be construed in light of that intent. VI. EFFECTIVE DATE This Ordinance shall take effect and be in full force on the thirtieth day from and after its adoption. VII. PUBLICATION The City Clerk shall certify to the passage and adoption of this Ordinance and shall cause the same to be published or posted according to law. Presented by: Approved as to form by: Kelly Broughton, FASLA Glen R. Googins. Development Services Director City Attorney 2014-12-02 Agenda Packet Page 597 CITY COUNCIL RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING TENTATIVE MAP CVT-13-02 (PCS-13-02) FOR THE OTAY RANCH VILLAGE THREE NORTH AND A PORTION OF FOUR PROJECT SUBJECT TO THE CONDITIONS CONTAINED HEREIN L RECITALS WHEREAS, the parcel of land which is the subject matter of this Resolution is depicted in Exhibit "1," attached hereto and incorporated herein by this reference and for the purpose of general description consists of 436.0 acres, and identified in County Assessor Records as APN 9 644-060-07-00, 644-060-15-00 and a portion of 644-060-19-00, (Project Site); and WHEREAS, on March 26, 2012, a duly verified applications requesting approval of a Tentative Subdivision Map (PCS-13-02), Chula Vista Tract No. 13-02 (Tentative Subdivision Map), and the Sectional Plan Area (SPA) Plan (PCM-12-06), which followed the duly verified applications for General Plan Amendment (GPA-10-02)(GPA), and General Development Plan Amendment (PCM-09-28) (GDPA), all of which were filed with the City of Chula Vista Development Services Department by SSBT LCRE V, LLC (the"Applicant" and"Owner"); and WHEREAS, the City's Development Services Director has reviewed the Project for compliance with the California Environmental Quality Act (CEQA) and determined that the Project would result in a significant impact to the environment, and therefore has prepared the Otay Ranch University Villages Project Environmental Impact Report (EIR), SCH 92013071077 (EIR-13-01); and WHEREAS, the development of the Project Site has been the subject matter of General Plan Amendment GPA-10-02, and the Otay Ranch General Development Plan Amendment GDPA-09-28, previously approved by the City Council on December 2, 2014,by Resolution No. 2014- wherein the City Council, in the environmental evaluation of said GPA/GDPA, relied on the Otay Ranch University Villages Project EIR No. 13-01; and WHEREAS, on December 2, 2014, the Applicant obtained approval of the Otay Ranch Village Three North and a Portion of Four Sectional Planning Area(PCM 12-06) establishing the pattern of land uses and circulation, policies to guide the development of the Project Site, and establishing the zoning for the property, wherein the City Council, in the environmental evaluation of said Sectional Planning Area, reviewed, considered and certified Final EIR-13-01 (FEIR-13-01) and adopted the Findings of Fact, Statement of Overriding Considerations, and Mitigation Monitoring and Reporting Program, pursuant to Resolution No. EIR-13-01; and WHEREAS, the Applicant requests approval of a Tentative Map to subdivide 436.0 Acres into parcels supporting up to 1,002 single-family residential units, 595 multi-family residential units, approximately 40 gross acres of industrial and office uses, and a minimum of 20,000 square feet of retail uses (the "Project") on said Project Site; and WHEREAS, a hearing time and place was set by the Planning Commission for consideration of the Project and notice of said hearing, together with its purpose,was given by its publication in a newspaper of general circulation in the City, and its mailing to property owners 2014-12-02 Agenda Packet Page 598 Resolution No. 2014- Page 2 and residents within 500 feet of the exterior boundaries of the property, at least ten (10) days prior to the hearing; and WHEREAS, the Planning Commission held an advertised public hearing on the Project on November 19, 2014; the Planning Commission took public testimony; heard staffs' presentation; and reviewed and considered EIR-13-01 and said hearing was thereafter closed; and WHEREAS, following the Planning Commission's public hearing on the Project, a hearing time and place was set by the City Council for consideration of the Project and notice of said hearing, together with its purpose, was given by its publication in a newspaper of general circulation in the City and its mailing to property owners within 500 feet of the exterior boundary of the Project, at least 10 days prior to the hearing; and WHEREAS, the duly called and noticed public hearing on the Project was held before the City Council on December 2, 2014 in the Council Chambers, 276 Fourth Avenue, at 2:00 p.m. to hear public testimony with regard to the same; and WHEREAS,immediately prior to this action,the City Council reviewed and certified FEIR- 13-01 and adopted the Findings of Fact, Statement of Overriding Considerations, and Mitigation Monitoring and Reporting Program,pursuant to Resolution No.EIR-13-01. NOW, THEREFORE BE IT RESOLVED by the City Council of the City of Chula Vista that it does hereby find, determine and resolve as follows: II. PLANNING COMMISSION RECORD Record of the proceedings of the Planning Commission at their public hearing on November 19, 2014, including their vote, along with any relevant comments, have been provided to the City Council and are hereby incorporated into the record of this proceeding. III. CERTIFICATION OF COMPLANCE WITH CEQA The City Council, in the exercise of their independent review and judgment, immediately prior to this action, on December 2, 2014, reviewed and certified FEIR-13-01 and adopted the Findings of Fact, Statement of Overriding Considerations, and Mitigation Monitoring and Reporting Program by Resolution No. EIR-13-01. IV. TENTATIVE SUBDIVISION MAP FINDINGS A. Pursuant to Government Code Section 66473.5 of the Subdivision Map Act, the City Council finds that the Tentative Subdivision Map, as conditioned herein for the Project, is in conformance with the elements of the City's General Plan, based on the following: 1. Land Use and Circulation The Project is consistent with and implements the Otay Ranch Village Three North and a Portion of Four SPA Plan by establishing developable parcels, public Village 3 North/4 Version 102114 2014-12-02 Agenda Packet Page 599 Resolution No. 2014- Page 3 improvements and public facilities that will create a mixed-use urban pedestrian village with a village core that contains complementary land uses, including community purpose facilities, public schools and parks, and residential neighborhoods that offer a variety of housing types and densities. The Mixed Use Urban Village would be comprised of integrated commercial, residential and office uses that would encourage use of alternative modes of transportation and reduce reliance on the automobile. The project also contains a business park that provides a strong employment base for the residents of the Village and the City and supports economic development goals of the general plan. The Project will be designed to encourage residents to utilize modes of transportation such as local bus service, pedestrian sidewalks and trails, and bicycle lanes. The Project has been designed to include a vehicle circulation system that complies with the requirements of the City of Chula Vista's General Plan, Otay Ranch General Development Plan and Otay Ranch Village Three North and a Portion of Four SPA Plan. The circulation system includes a hierarchy of streets, each providing accommodations for pedestrian walkways and bicycle ways. Reduced lane widths and bulb-outs at intersections will enhance pedestrian comfort and safety in the Village Core, and Mixed-Use Residential districts. The construction of the circulation system will be phased in accordance with the Village Three North and a Portion of Four SPA's Public Facilities Financing Plan (PFFP), such that the development of the circulation system will precede planned growth and maintain acceptable levels of service, as required by the City's Growth Management Program. 2. Economic Development The Project will contribute to the economic base of the City by providing a mixed use Village Core and Residential districts that will provide for a range of multi-family residential product types that will enhance the image and appearance of the Otay Ranch community and will benefit the local economy. The development of a business park component provides a strong employment base along with a mixed-use office/commercial area. Approval of the Project will help achieve the General Plan objectives that seek to promote a variety of job and housing opportunities to improve the City's jobs/housing balance, provide a diverse economic base, and encourage the growth of small businesses. 3. Public Facilities and Services To fulfill educational needs of students residing in Village Three North and portion of Four, an elementary school site of approximately 8.3 gross acres has been reserved as described in the PFFP for acquisition by the Chula Vista Elementary School District. The Chula Vista Elementary School District would be able to accommodate the additional students generated by the Project, and the existing schools would not be adversely impacted by the approval of the Project. Sewer The Project Site is within the boundaries of the City of Chula Vista wastewater services area. Sewer capacity needs for the Project, in conjunction with long-term growth in the area, have been analyzed in the PFFP. Sewer capacity will be available to serve the Project subject to the PFFP requirements, which are included as Conditions of Approval for the Project. Based on these requirements, no adverse Village 3 North/4 Version 102114 2014-12-02 Agenda Packet Page 600 Resolution No. 2014- Page 4 impacts to the City's sewer system or City's sewer threshold standards will occur as a result of the Project. Parks The Project has been conditioned to dedicate parkland for a 6.7 net-acre Neighborhood Park and approximately 8.6 net-acres of Community Park. Said park sites will be developed with a variety of recreational opportunities ranging from active to passive recreational experiences. Phasing of park facilities and maintenance has been addressed in the PFFP. The actual park facilities and amenities will be determined in conjunction with the park master plan process for each individual park. Services The Project has been conditioned to ensure that all necessary public facilities and services will be available to serve the Project concurrent with the demand for those services. The City Engineer, Fire and Police Departments have reviewed the proposed subdivision for conformance with City safety policies and have determined that the proposal meets those standards. Project construction will be required to comply with the applicable California Green Building Standards, the City's Green Building Standards and the City's Energy Efficiency Ordinance in affect at the time of building permit issuance, ensuring energy-efficient homes will be developed. 4. Housing The Project will provide a variety of housing types, including single-and multi-family residential home ownership opportunities, as well as affordable housing opportunities, as required by the Affordable Housing Plan prepared for the Project. The Project has been conditioned to require that the Applicant enter into an agreement to provide affordable housing prior the approval of the first Final Map. Thus the Project is consistent with the Housing Element of the City's General Plan by providing additional opportunities for high-quality, market-rate single-family residential home ownership in the southeastern portion of the City. 5. Growth Management The Project is in compliance with applicable Growth Management Element requirements because a PFFP has been prepared as required by the Growth Management Ordinance. The PFFP requirements have been included in the Project's conditions of approval. 6. Environmental The Project EIR-13-01 addressed the goals and policies of the Environmental Element of the General Plan and found development of this site to be consistent with these goals and policies. The Otay Ranch Resource Management Plan (RMP) requires conveyance of 1.188 acres of land to the Otay Ranch Preserve for every one- acre of developed land prior to approval of any Final Map, which is equivalent to approximately 259.6 acres. The Project has been conditioned to dedicate Multi- species Conservation Plan (MSCP) open space preserve lands prior to recordation of Village 3 North/4 Version 102114 2014-12-02 Agenda Packet Page 601 Resolution No. 2014- Page 5 each Final Map. The Project is therefore consistent with the requirements of the Otay Ranch RMP and MSCP Subarea Plan. B. Pursuant to Government Code Section 66473.1 of the Subdivision Map Act, the configuration, orientation, and topography of the site allows for the optimum siting of lots for natural and passive heating and cooling opportunities and that the development of the site will be subject to site plan and architectural review to ensure the maximum utilization of natural and passive heating and cooling opportunities. C. Pursuant to Government Code Section 66412.3 of the Subdivision Map Act, the City Council has considered the effect of this approval on the housing needs of the region and has balanced those needs against the public service needs of the residents of the City and the available fiscal and environmental resources. D. The site is physically suited for development because it will be developed in conformance with the Otay Ranch Village Three North and a Portion of Four SPA Plan and EIR-13-01, which contain provisions to ensure that the site is developed in a manner that is consistent with the standards established by the City for a master—planned community. E. The conditions herein imposed on the Project, are approximately proportional both in nature and extent to the impact created by the Project, based upon the City's police powers and evidence provided by the record of the proceedings of EIR-13-01. V. GOVERNMENT CODE SECTION 66020 NOTICE Pursuant to Government Code Section 66020(d) (1), NOTICE IS HEREBY GIVEN that the 90 day period to protest the imposition of any impact fee, dedication, reservation, or other exaction described in this resolution begins on the effective date of this resolution and any such protest must be in a manner that complies with Section 66020(a) and failure to follow in a timely manner this procedure will bar any subsequent legal action to attack, set aside, void or annul imposition. The right to protest the fees, dedications, reservations, or other exactions does not apply to planning, zoning, grading, or other similar application processing fees or service fees in connection with the project; and it does not apply to any fees, dedication, reservations, or other exactions which have been given notice similar to this, nor does it revive challenges to any fees for which the Statute of Limitations has previously expired. VL EXECUTION AND RECORDATION OF RESOLUTION OF APPROVAL The Property owner and the Applicant shall execute this document by signing the lines provided below, said execution indicating that the property owner and Applicant have each read, understood, and agreed to the conditions contained herein. Upon execution, this document shall be recorded with the County Recorder of the County of San Diego, at the sole expense of the property owner and the Applicant, and a signed, stamped copy of this recorded document shall be returned within ten days of recordation to the City Clerk. Failure to record this document shall indicate the property owner and Applicant's desire that the Village 3 North/4 Version 102114 2014-12-02 Agenda Packet Page 602 Resolution No. 2014- Page 6 Project, and the corresponding application for building permits and/or a business license, be held in abeyance without approval. Said document will also be on file in the City Clerk's Office and known as Document No. Signature of Applicant Date Signature of Property Owner Date VII. CONSEQUENCE OF FAILURE OF CONDITIONS If any of the foregoing conditions fail to occur, or if they are, by their terms, to be implemented and maintained over time, if any of such conditions fail to be so implemented and maintained according to their terms, the City shall have the right to revoke or modify all approvals herein granted, deny, or further condition issuance of all future building permits, deny, revoke, or further condition all certificates of occupancy issued under the authority of approvals herein granted, institute and prosecute litigation to compel their compliance with said conditions or seek damages for their violation. The Applicant shall be notified ten (10) days in advance prior to any of the above actions being taken by the City and shall be given the opportunity to remedy any deficiencies identified by the City within a reasonable and diligent time frame. VIII. INVALIDITY; AUTOMATIC REVOCATION It is the intention of the City Council that its adoption of this Resolution is dependent upon the enforceability of each and every term, provision and condition herein stated; and that in the event that any one or more terms, provision, or conditions are determined by a Court of competent jurisdiction to be invalid, illegal or unenforceable, this resolution shall be deemed to be automatically revoked and of no further force and effect ab initio. BE IT FURTHER RESOLVED that the City Council does hereby approve the Project subject to the Findings contained herein and subject to the Conditions of Approval set forth in Exhibit"2" attached hereto and incorporated herein by this reference. Presented by: Approved as to form by: Kelly Broughton, FASLA Glen R. Googins Development Services Director City Attorney Village 3 North/4 Version 102114 2014-12-02 Agenda Packet Page 603 Resolution No. 2014- Page 7 EXHIBIT "1" ol4y LA��S ,gyp. FAST H ST, r r COV16t 1 Otay Ranch Bdy $05 �� 2�" m � 125 OGVMPIC VIO AY 4 // \ PORUWA) I Mph \\\ OTAY MLME 3 WRTH 8DR'/, / ` _ OTAY i -�VALLE'/RO" rr SITS OTAV MR 0 PALM AVE_ dC 4� 0001M H � y Otay Ranch Boundary s OTAy MESA RR NOT M SME Village 3 North/4 Version 102114 2014-12-02 Agenda Packet Page 604 Resolution No. 2014- Page 8 Exhibit "2" - Village Three North and a Portion of Four Tentative Map Conditions TENTATIVE MAP CONDITIONS OF APPROVAL GENERAL/PLANNING AND BUILDING 1. Unless otherwise specified or required by law: (a) the conditions and Chula Vista Municipal Code requirements set forth below shall be completed prior to the related Final Map as determined by the Development Services Director and the City Engineer, unless otherwise specified, "dedicate" means grant the appropriate easement, rather than fee title. Where an easement is required the Applicant shall be required to provide subordination of any prior lien and easement holders in order to ensure that the City has a first priority interest and rights in such land unless otherwise waived by the City Manager or his/her designee. Where fee title is granted or dedicated to the City, said fee title shall be free and clear of all encumbrances,unless otherwise excused by the City. 2. Should conflicting wording or standards occur between these conditions of approval, any conflict shall be resolved by the City Manager or designee. 3. The Applicant, or his/her successors in interest, shall improve the Project Site with the Project as described in the Tentative Subdivision Map, Chula Vista Tract No. 13-02, generally located adjacent to Main Street and adjacent to Heritage Road. 4. The Project shall comply with approved General Plan Amendment GPA-10-02 and General Development Plan Amendment PCM-09-28 approved December 2, 2014, the Sectional Planning Area (SPA) Plan PCM-12-06, approved December 2, 2014 and all supporting documents including but not limited to the Public Facilities Finance Plan, Parks, Recreation, Open Space and Trails Plan, Affordable Housing Plan and Non- Renewable Energy Conservation Plan, and the City of Chula Vista Standard Tentative Map Conditions as outlined in the Subdivision Manual and incorporated herein. 5. The Applicant shall implement, to the satisfaction of the Development Services Director and the City Engineer, the associated Mitigation Measures and associated Mitigation Monitoring and Reporting Program (MMRP) identified in the Final Environmental Impact Report (EIR-13-01: SCH No. 2013071077) for Amendments to the Chula Vista General Plan (GPA-10-02), Amendments to the Otay Ranch General Development Plan (PCM-09-28), the Sectional Planning Area Plan (SPA Plan) (PCM-12-06) for the Village Three North and a Portion of Four Project, and the Tentative Map for the Village Three North and portion of Four Project (CVT-13-02), within the timeframe specified in the MMRP. 6. During any real estate transaction, or prior to lease-signing of any property within the Village Three North and Portion of Four Project, the prospective owners or residents shall be notified of the following information in disclosure documents and in the CC&Rs for each HOA within the Village: a. NOTICE OF AIRPORT VICINITY: This property is presently located in the vicinity of an airport, within what is known as an airport influence area / overflight area. For that reason, the property may be subject to some of the annoyances or noise, vibration, or odors. Individual sensitivities to those annoyances can vary from person to person. You may wish to consider what Village 3 North/4 Version 102114 2014-12-02 Agenda Packet Page 605 Resolution No. 2014- Page 9 airport annoyances, if any, are associated with the property before you complete your purchase or lease and determine whether they are acceptable to you. b. NOTICE OF MINING OPERATIONS: This property is located near an existing mining operation that is expected to operate during and after build-out of Village Three North and a Portion of Four and could subject residents to nuisance noise, blasting,vibration and dust from on-going mining operations. c. NOTICE OF LANDFILL: This property is located in the vicinity of the Otay Landfill which is a solid waste disposal facility. Customary solid waste disposal operations may include,but are not limited to,noise, odors, dust, vibrations, birds, and vectors. Individual sensitivities to those annoyances can vary from person to person. You may wish to consider which of these annoyances, if any, are associated with the property before you complete your purchase or lease and determine whether they are acceptable to you. d. NOTICE OF FUTURE EXPANSION OF STATE ROUTE 125 (SR-125): Be advised that Caltrans has a long-term plan (per SANDAG RTP) for the widening of SR-125 to improve traffic flows. This property may be subject to some of the annoyances related to the construction and operation of the road. A copy of these disclosure documents shall be recorded with the County of San Diego Recorder's Office as part of project approval. Each prospective homeowner and or lease holder shall sign the disclosure document confirming they have been informed of the vicinity of the airport, mine/quarry, and landfill prior to purchase of property and or occupancy. 7. The Applicant shall obtain approval of a subsequent Final Map showing condominium ownership prior to development of condominiums within any Planning Area proposing mixed residential/commercial or multi-family residential uses. 8. The Applicant shall construct public facilities in compliance with the Otay Ranch Village Three North and Portion of Four Public Facilities Finance Plan (as amended from time to time) as specified in the Threshold Compliance and Recommendations Section for each public facility chapter. At the applicant's request, the City Engineer and Development Services Director may, at their discretion, modify the sequence, schedule, alignment and design of improvement construction should conditions change to warrant such a revision. 9. The Applicant shall dedicate, with the applicable Final Map, for public use all the public streets shown on the Village Three North and a Portion of Village Four Tentative Map (CVT 13-02) within the subdivision boundary. The applicant shall construct or enter into an agreement to construct and secure all street and intersection improvements as necessary to mitigate the impacts of the Village Three North and Portion of Four Project and as specified in Otay Ranch Village Three North and portion of Four SPA Plan Final Public Facilities Finance Plan Table C.8 "Project Access and Direct Traffic Mitigation Threshold Requirements" and Table C.7 "Internal Street Improvements." The Applicant shall construct the public improvements and provide security satisfactory to the City Engineer. Village 3 North/4 Version 102114 2014-12-02 Agenda Packet Page 606 Resolution No. 2014- Page 10 10. Prior to approval of any Final Map showing public or private streets, the Applicant shall obtain approval of street names to the satisfaction of the Development Services Director and City Engineer. 11. In accordance with Subdivision Manual Condition 40: The applicant shall notify the City at least 60 days prior to consideration of the first map if any off-site right-of-way or any interest in real property needed to construct or install offsite improvements cannot be obtained as required by the Conditions of Approval. After said notification, the Applicant shall comply with the requirements set forth in Subdivision Manual Condition 40. 12. Prior to the approval of the Final Map for Planning Areas adjacent to off-site fuel management areas, the Applicant shall provide an off-site fuel management program per Section 4.1.2 "Other Vegetation Management" of the Fire Protection Plan, and CVMC Chapter 15.38- "Urban Wildland Interface Code." The Program shall establish the obligations for fuel management that apply to each of the Planning Areas and adjacent off-site properties, including required fuel management zones adjacent to structures, consent from affected off-site property owners, and other applicable requirements to the satisfaction of the Fire Marshal and Development Services Director. The program requirements shall be satisfied prior to the delivery of combustible material to the site, to the satisfaction of the Fire Marshal. 13. A reserve fund program has been established by Resolution No. 18288 for the funding of the Fiscal Impact of New Development (F.LN.D.) Model for the Otay Ranch Project. The Applicant shall provide funds to the Reserve Fund as required by the Reserve Fund Program (RFP). Pursuant to the provisions of the Growth Management Ordinance and the Otay Ranch General Development Plan (GDP), the Applicant shall participate in the funding of the preparation of an annual report monitoring the development of the community of Otay Ranch. The annual monitoring report will analyze the supply of, and demand for, public facilities and services governed by the threshold standards. An annual review shall commence following the first fiscal year in which residential occupancy occurs in the Project and is to be completed during the second quarter of the following fiscal year. The annual report shall adhere to the GDP/SRP, as amended from time-to-time. 14. Prior to the first Final Map, the applicant will enter into an agreement to provide funding for periods where project expenditures exceed projected revenues in compliance with CVMC 19.09.060(J). 15. Prior to approval of the first final map authorizing dwelling units containing any parcel within the Village Core, the applicant shall submit and obtain approval by the City of a Master Precise Plan 16. Prior to approval of the First Minal map, the Applicant shall submit and obtain approval by the City of a Village-Wide Planned Sign Program. Applicant shall be required to obtain an approval of a Master Encroachment Permit prior to construction of signage in the public right-of-way in any project area, to the satisfaction of the City Engineer and Development Services Director. Public Facilities: Village 3 North/4 Version 102114 2014-12-02 Agenda Packet Page 607 Resolution No. 2014- Page 11 17. The Applicant shall provide the City with evidence from the CVESD that the Village 3 North school site has been determined by the district to be acceptable for school use, to the satisfaction of the Director of Development Services. 18. Prior to approval of the Final Map or Design Review application that identifies the need for local public transit facilities in accordance with MTS determination, the Applicant shall provide a deposit in the amount of$20,000 for each planned transit facility station or transit stop payable to the City of Chula Vista for a Capital Improvement Project for future transit improvements as depicted on the Village Three North and Portion of Village Four SPA Plan, Conceptual Public Transportation Plan, Exhibit 19, or enter into an agreement to construct future transit improvements to the satisfaction of MTS or their designee. 19. Prior to approval of the first Final Map for the Project, the Applicant(s) shall provide the City with a Village Three North and a Portion of Village Four Subarea Master Plan(s) (SAMP) for potable, recycled, and fire flow water, as approved by Otay Water District (OWD). Applicant(s) shall bond and construct for all on-site and off-site water facilities in accordance with the SAMP. The SAMP shall be consistent with the SPA Plan. 20. The project shall comply with Section 3-400 of the Subdivision Manual. 21. Prior to approval of the first Final Map for Village Three North and a Portion of Four that exceeds 120 EDUs, Applicant shall secure and construct Heritage Road between the northerly Village Three North boundary and Main Street, to the satisfaction of the Development Services Director. 22. Prior to approval of the first Final Map for the Project, the Developer shall provide an agreement to the satisfaction of the Development Services Director stating that the Applicant will not protest the formation of a reimbursement district to finance the construction of Heritage Road for its prorated share of the road as determined by the Development Services Director. 23. Prior to approval of the first Final Map, the Applicant shall grant the right-of-way for Energy Way within the boundaries of the Village Three North and a Portion of Village Four Tentative Map (CVT 13-02) providing the connection between the existing Energy Way and the proposed Heritage Road. 24. The Applicant shall bond for and construct intersection improvements at Energy Way and Heritage Road prior to the approval of the Final Map that contains the 1,000th EDU, or as approved by the Development Services Director. 25. Prior to issuance of a Land Development ("Grading") Permit for Neighborhoods R-9, R- 11 or R-20, the Applicant shall provide, on the appropriate grading plan, a 16-foot wide graded bench within the grading limits depicted on the Village Three North and a Portion of Village Four Tentative Map (CVT 13-02) at the approximate location of the future Wolf Canyon western bridge abutment, to the satisfaction of the Development Services Director. 26. Prior to the approval of the first Final Map for Village Three North and a Portion of Four that includes Neighborhood R-20, Applicant shall bond and construct Main Street between Heritage Road and the eastern boundary of Village Three North, to the satisfaction of the Development Services Director. Village 3 North/4 Version 102114 2014-12-02 Agenda Packet Page 608 Resolution No. 2014- Page 12 27. Prior to the approval of the first Final Map that includes the 800th EDU, the Applicant shall begin grading operations of the development areas I-la to I-3b, to the satisfaction of the Development Services Director. 28. Prior to approval of the first Final Map the Applicant shall demonstrate to the satisfaction of the Development Services Director that: a. The off-site property located at the northwest corner of the future Heritage Road and Main Street intersection where a proposed bioretention basin will be located (pursuant to the "'Master Water Quality Technical Report for Otay Ranch Village Three North and a Portion of Village Four Tentative Map", Hunsaker & Associates, March 7, 2014) has been acquired by the Applicant; otherwise, Applicant shall process an amendment to the SPA Plan to propose new storm water treatment facilities for the site. b. A funding mechanism is in place to fund the perpetual maintenance of storm water treatment facilities, including, but not limited to, the proposed bioretention basin. Affordable Housing: 29. Prior to approval of the first Final Map for the Project, the Applicant shall enter into a Balanced Communities Affordable Housing Agreement, in compliance with applicable City and State of California regulations. This agreement shall identify potential affordable housing sites, schedules and the following building permit threshold requirements described in the Affordable Housing Plan: (1) prior to the City's issuance of the 798th building permit within Village Three North and portion of Four the Applicant shall commence construction of the Initial Phase of the low and moderate-income housing units, and (2) prior to the City's issuance of the 1,197th building permit, Applicant shall commence construction of the remainder of required low and moderate- income housing units. "Initial Phase" shall mean 60% of the total number of qualified low and moderate-income housing units. Water Quality: 30. Applicant shall agree to remain in compliance with the City's Storm Water Manual, as determined by the Development Services Director. Parks: 31. Prior to approval of the first Final Map, the Applicant shall provide the City with an Irrevocable Offer of Dedication (IOD) for the 6.7 acre (net) neighborhood park site (Lot P-1) and approximately 8.56 net acres of Community Park land within either the Village Four Community Park or the Village Eight East Active Recreation site (Lot P-2) acceptable to the Development Services Director. The Existing 1.9 acre IOD within the Village Four Community Park in satisfaction of the Village Two Project area park acre obligation shall be accounted for when calculating available eligible park credit within the Village Four Community Park. Village 3 North/4 Version 102114 2014-12-02 Agenda Packet Page 609 Resolution No. 2014- Page 13 32. Prior to approval of the Final Map that includes the Parks & Recreation lot ("P-2"), Applicant shall: a. Demonstrate to the satisfaction of the Development Services Director that an access road to the Village Four Community Park has been provided. b. Provide adequate sewer and water connections to serve the future park and recreation facilities. Trails: 33. Prior to approval of the first Final Map, the Applicant shall obtain approval of and record an easement for public trail purposes for the segments of the Chula Vista Greenbelt Trail within the boundaries of Village Three North on any portion of Wiley Road and/or the existing Salt Creek Sewer Easement, owned by the Applicant, to the satisfaction of the Development Services Director. 34. The Applicant shall submit and obtain approval of trail improvement plans and shall construct all required trails fencing and signage, consistent with City trail standards when required by the Development Services Director. Said improvement plans containing Chula Vista Greenbelt Trail segments as depicted on the Village Three North and a Portion of Village Four Tentative Map (CVT 13-02), to be located within existing Salt Creek Sewer Easement, will include improvements such as fencing and signage. 35. Prior to the approval of the first residential building permit within the Village Three North Red Phase, as depicted on the Conceptual Phasing Plan of the Otay Ranch Village Three North and a Portion of Four SPA Plan Exhibit 33, the Applicant shall construct all Chula Vista Greenbelt Trail improvements, including fencing and signage consistent with City trail standards, as required by the Development Services Director. Landscaping/Walls/Fences: 36. Footings and geosynthetic reinforcement grid for retaining walls and walls that may be planted shall not encroach into adjacent properties or public rights-of-way subject to approval of the Development Services Director. 37. In place of Subdivision Manual Condition 30 and 33, prior to approval of the first Final Map the Applicant shall: a. Obtain Development Services Director approval of the Landscape Master Plan for the project. The Landscape Master Plan shall identify a funding mechanism to maintain parks, landscape improvements, trails, open space areas and other improvement areas subject to approval of the Development Services Director. The contents of the Landscape Master Plan shall contain the major components listed in Master Condition 30(a) thru (h) in the Subdivision Standard Conditions unless waived by the Development Services Director. b. Submit evidence acceptable to the City Engineer and Development Services Director of the formation of a Master Homeowner's Association (MHOA), or another financial mechanism acceptable to the City Manager, including a Community Facilities District (CFD) or Open Space District. A Community Village 3 North/4 Version 102114 2014-12-02 Agenda Packet Page 610 Resolution No. 2014- Page 14 Facilities District is the preferred financial mechanism for a maintenance district. If another financial mechanism is not formed, the MHOA shall be responsible for the maintenance of those landscaping improvements that are not included in the proposed financial mechanism. The City Engineer and the Development Services Director may require that some improvements be maintained by the Open Space District. The final determination of which improvements are to be included in the Open Space District and those to be maintained by the MHOA shall be made during the Open Space District Proceedings. The MHOA shall be structured to allow annexation of future tentative map areas in the event the City Engineer and Development Services Director requires such annexation of future tentative map areas. c. The Applicant shall submit for City's approval the CC&R's grant of easements and maintenance standards and responsibility of the MHOA's for the Open Space Areas within the Village Three North and portion of Four Project Area. The Applicant shall acknowledge that the MHOA's maintenance of public open space, trails, etc. may expose the City to liability. The Applicant agrees to establish an MHOA that will indemnify and hold the City harmless from any actions of the MHOA in the maintenance of such areas. d. Submit and obtain approval of the City Engineer and Development Services Director of a list of all facilities and other items to be maintained by the proposed district or MHOA. Separate lists shall be submitted for the improvements and facilities to be maintained by the Open Space District or some other financing mechanism and those to be maintained by the MHOA. Include a description, quantity, and cost per year for the perpetual maintenance of said improvements. These lists shall include but are not limited to the following facilities and improvements: i. All facilities located on open space lots to include but not be limited to: walls, fences, water fountains, lighting structures, paths, trails, access roads, drainage structures, and landscaping. Each open space lot shall also be broken down by the number of acres o£ 1) turf, 2) irrigated, and 3) non-irrigated open space to aid in estimation of a maintenance budget thereof. ii. The proportional share of the maintenance costs of any medians and parkways along the applicable roadways as identified in the PFFP adjoining the development as determined by the City Engineer. iii. All water quality basins serving the Project. 38. The Applicant agrees to not protest formation or inclusion in a maintenance district or zone for the maintenance of landscape medians, and scenic corridors along streets, within or adjacent to the subject subdivision. 39. The Applicant shall submit a detailed wall/fencing plan with the Design Review Site Plan submittal for each planning area showing that all project walls and fences comply with the approved SPA Plan Village Design Plan, Landscape Master Plan, and other applicable City requirements, to the Development Services Director for approval. Plans shall indicate color, materials, height and location of freestanding walls, retaining walls, Village 3 North/4 Version 102114 2014-12-02 Agenda Packet Page 611 Resolution No. 2014- Page 15 and fences. The plan shall also include details such as accurate dimensions, complete cross-sections showing required walls, adjacent grading, landscaping, and sidewalk improvements. 40. Prior to the approval of the first Final Map, the applicant shall annex the project area within the Otay Ranch Preserve Community Facilities District No. 97-2, Improvement Area"C." 41. Prior to recordation of each applicable Final Map, the Applicant shall convey fee title to land within the Otay Ranch Preserve to the Otay Ranch Preserve Owner Manager or its designee at a ratio of 1.188 acres for each acre of development area, as defined in the Otay Ranch Resource Management Plan. Access to the conveyed property for maintenance purposes shall also be provided to the satisfaction of the Preserve Owner Manager. 42. Prior to construction of Regional Bus Rapid Transit and/or Rapid Bus transit stations in Village Three North and a Portion of Four, the Applicant shall obtain approval of improvement plans as depicted on the Village Three North and a portion of Village Four, Public Transportation Concept Plan, Exhibit 19,to the satisfaction of SANDAG, MTS, and the Development Services Director. 43. Prior to issuance of the first building permit or other discretionary permits for mixed use, multi-family, or non-residential developments within the project site, the Applicant shall comply with applicable provisions of Municipal Code Section 8.24 - Solid Waste and Litter, and Section 8.25 — Recycling, related to development projects, to the satisfaction of the Department of Public Works, Environmental Services Division. These requirements include, but are not limited to the following design requirements: a. The Applicant shall design mixed-use, multi-family, and commercial development projects to comply with the Recycling and Solid Waste Standards for central collection bin services. b. The Applicant shall design each single-family lot or residence to accommodate the storage and curbside pickup of individual trash, recycling and green waste containers (3 total), as approved for a small-quantity generator (single family residential use). 44. Prior to recordation of each Final B Map, all CFD slope and open space areas shall be designated as individual lots on said Final Map to the satisfaction of the Development Services Director. 45. Prior to approval of the first Final A Map, Applicant shall update the Village Two, Three and portion of Four SPA Plan to reflect the detachment of Village Three North and portion of Four SPA Plan area from the former Village Two, Three and portion of Four SPA Plan boundaries, to the satisfaction of the Development Services Director. 46. Prior to the first Final Map Applicant shall cause all unplottable easements to be quitclaimed. Village 3 North/4 Version 102114 2014-12-02 Agenda Packet Page 612 Resolution No. 2014- Page 16 47. Prior to each Final Map approval, Applicant shall provide letters of permission to grade all off-site areas (including slopes, roads, utilities, etc) necessary to support each Final Map independently. 48. Prior to approval of each Final Map, Applicant shall provide proof that all offsite right of way, drainage, sewerage and water facilities have approved and bonded improvement plans necessary to connect said Final Map to existing facilities to the satisfaction of the Development Services Director and City Engineer. In the case of two separate property owners utilizing the same plans and bonds of said improvement plans and or rights-of- ways, both property owners shall provide written proof to: process plans, construct from the same set of plans, process as-builts, complete punch list items, and have the same bond company listing them both as principal, all to the satisfaction of the Development Services Director and City Engineer. 49. Prior to approval of each residential building permit in Village Three North and a Portion of Village Four, the applicant shall provide evidence satisfactory to the Development Services Director (or their designee) that each proposed residential unit to be constructed shall be located at least 1,000 feet away from the then active solid waste disposal areas of the Otay Landfill as required by General Plan Policy E 6.4 and by Section 2.5 of the Amended and Restated Otay Landfill Expansion Agreement. Notwithstanding the typically ministerial nature of building permit approvals, the City shall have and retain discretion here to deny any building permit application regarding any residential lot or parcel that does not comply with this Condition of Approval. Village 3 North/4 Version 102114 2014-12-02 Agenda Packet Page 613 CITY COUNCIL RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING TENTATIVE MAP CVT-13-03 (PCS-13-03) FOR THE OTAY RANCH VILLAGE EIGHT EAST PROJECT SUBJECT TO THE CONDITIONS CONTAINED HEREIN L RECITALS WHEREAS, the parcel of land which is the subject matter of this Resolution is depicted in Exhibit "1," attached hereto and incorporated herein by this reference and for the purpose of general description consists of 575.3 acres, and identified in County Assessor Records as APN 9 644-070-11-00 and a portion of 646-010-04-00, (Project Site); and WHEREAS, on January 24, 2012, a duly verified application requesting approval of a Tentative Subdivision Map (PCS-13-03), Chula Vista Tract No. 13-03 (Tentative Subdivision Map),which preceded the March 8, 2012 duly verified application for Sectional Plan Area(SPA) Plan (PCM-12-04), which followed the duly verified applications for General Development Plan (PCM-09-28) (GDP), and General Plan Amendment (GPA-10-02), all of which were filed with the City of Chula Vista Development Services Department by SSBT LCRE V, LLC (the "Applicant" and"Owner"); and WHEREAS, the City's Development Services Director has reviewed the Project for compliance with the California Environmental Quality Act (CEQA) and determined that the Project would result in a significant impact to the environment, and therefore has prepared the Otay Ranch University Villages Project Environmental Impact Report (EIR) No. 13-01, SCH 92013071077 (EIR-13-01); and WHEREAS, the development of the Project Site has been the subject matter of General Plan Amendment GPA-10-02, and the Otay Ranch General Development Plan Amendment GDPA-09-28,previously approved by the City Council on December 2, 2014,by Resolution No. 2014- wherein the City Council, in the environmental evaluation of said GPA/GDPA, relied on the Otay Ranch University Villages Project EIR-13-01; and WHEREAS, on December 2, 2014, the Applicant obtained approval of the Otay Ranch Village Eight East Sectional Planning Area (PCM 12-04) establishing the pattern of land uses and circulation,policies to guide the development of the Project Site, and establishing the zoning for the property, wherein the City Council, in the environmental evaluation of said Sectional Planning Area, reviewed, considered and certified Final EIR-13-01 (FEIR-13-01) and adopted the Findings of Fact, Statement of Overriding Considerations, and Mitigation Monitoring and Reporting Program,pursuant to Resolution EIR-13-01; and WHEREAS, the Applicant requests approval of a Tentative Map to subdivide 575.3 Acres into parcels supporting up to 943 single-family residential units, 2,617 multi-family residential units, and a minimum of 20,000 square feet of retail uses (the "Project") on said Project Site; and WHEREAS, a hearing time and place was set by the Planning Commission for consideration of the Project and notice of said hearing, together with its purpose,was given by its publication in a newspaper of general circulation in the City, and its mailing to property owners 2014-12-02 Agenda Packet Page 614 Resolution No. 2014- Page 2 and residents within 500 feet of the exterior boundaries of the property, at least ten (10) days prior to the hearing; and WHEREAS, the Planning Commission held an advertised public hearing on the Project on November 19, 2014; the Planning Commission took public testimony; heard staffs' presentation; and reviewed and considered EIR-13-01 and said hearing was thereafter closed; and WHEREAS, following the Planning Commission's public hearing on the Project, a hearing time and place was set by the City Council for consideration of the Project and notice of said hearing, together with its purpose, was given by its publication in a newspaper of general circulation in the City and its mailing to property owners within 500 feet of the exterior boundary of the Project, at least 10 days prior to the hearing; and WHEREAS, the duly called and noticed public hearing on the Project was held before the City Council on December 2, 2014 in the Council Chambers, 276 Fourth Avenue, at 2:00 p.m. to hear public testimony with regard to the same; and WHEREAS,immediately prior to this action,the City Council reviewed and certified FEIR- 13-01 and adopted the Findings of Fact, Statement of Overriding Considerations, and Mitigation Monitoring and Reporting Program,pursuant to Resolution No.EIR-13-01. NOW, THEREFORE BE IT RESOLVED by the City Council of the City of Chula Vista that it does hereby find, determine and resolve as follows: II. PLANNING COMMISSION RECORD Record of the proceedings of the Planning Commission at their public hearing on November 19, 2014, including their vote, along with any relevant comments, have been provided to the City Council and are hereby incorporated into the record of this proceeding. III. CERTIFICATION OF COMPLANCE WITH CEQA The City Council, in the exercise of their independent review and judgment, immediately prior to this action, on December 2, 2014, reviewed and certified FEIR-13-01 and adopted the Findings of Fact, Statement of Overriding Considerations, and Mitigation Monitoring and Reporting Program by Resolution No. EIR-13-01. IV. TENTATIVE SUBDIVISION MAP FINDINGS A. Pursuant to Government Code Section 66473.5 of the Subdivision Map Act, the City Council finds that the Tentative Subdivision Map, as conditioned herein for the Project, is in conformance with the elements of the City's General Plan,based on the following: 1. Land Use and Circulation The Project is consistent with and implements the Otay Ranch Village Eight East SPA Plan by establishing developable parcels, public improvements and public facilities that will create a mixed-use Town Center and other complementary land 2014-12-02 Agenda Packet Page 615 Resolution No. 2014- Page 3 uses, including community purpose facilities, public schools and parks, and residential neighborhoods that offer a variety of housing types and densities. The Mixed Use Urban Village would be comprised of integrated commercial, residential and office uses that would encourage use of alternative modes of transportation and reduce reliance on the automobile. The Project will be designed to encourage residents to utilize alternative modes of transportation such as Bus Rapid Transit (BRT) service, local bus service, the SR-125 Village Pathway Bridge, pedestrian sidewalks and trails, and bicycle lanes. The Project has been designed to include a vehicle circulation system that complies with the requirements of the City of Chula Vista's General Plan, Otay Ranch General Development Plan and Otay Ranch Village Eight East SPA Plan. The circulation system includes a hierarchy of streets, each providing accommodations for pedestrian walkways and bicycle ways. Reduced lane widths and bulb-outs at intersections will enhance pedestrian comfort and safety in the Village Core, and Mixed-Use Residential districts. The construction of the circulation system will be phased in accordance with the Village Eight East SPA's Public Facilities Financing Plan (PFFP), such that the development of the circulation system will respond to planned growth and maintain acceptable levels of service, as required by the City's Growth Management Program. 2. Economic Development The Project will contribute to the economic base of the City by providing a mixed use Village Core and Residential districts that will provide for a range of multi-family residential product types that will enhance the image and appearance of the Otay Ranch community and will benefit the local economy. Approval of the Project will help achieve the General Plan objectives that seek to promote a variety of job and housing opportunities to improve the City's jobs/housing balance, provide a diverse economic base, and encourage the growth of small businesses. 3. Public Facilities and Services To fulfill educational needs of students residing in Village Eight, an elementary school site of approximately 10.8 acres has been reserved as described in the PFFP for acquisition by the Chula Vista Elementary School District. The Chula Vista Elementary School District would be able to accommodate the additional students generated by the Project, and the existing schools would not be adversely impacted by the approval of the Project. Sewer The Project Site is within the boundaries of the City of Chula Vista wastewater services area. Sewer capacity needs for the Project, in conjunction with long-term growth in the area, have been analyzed in the PFFP. Sewer capacity will be available to serve the Project subject to the PFFP requirements, which are included as Conditions of Approval for the Project. Based on these requirements, no adverse impacts to the City's sewer system or City's sewer threshold standards will occur as a result of the Project. 2014-12-02 Agenda Packet Page 616 Resolution No. 2014- Page 4 Parks The Project has been conditioned to dedicate parkland for a 6.8 net-acre Neighborhood Park and approximately 23.7 net-acres of Community Park. Said park sites will be developed with a variety of recreational opportunities ranging from active to passive recreational experiences. Phasing of park facilities and maintenance has been addressed in the PFFP. The actual park facilities and amenities will be determined in conjunction with the park master plan process for each individual park. Services The Project has been conditioned to ensure that all necessary public facilities and services will be available to serve the Project concurrent with the demand for those services. The City Engineer, Fire and Police Departments have reviewed the proposed subdivision for conformance with City safety policies and have determined that the proposal meets those standards. Project construction will be required to comply with the applicable California Green Building Standards, the City's Green Building Standards and the City's Energy Efficiency Ordinance in affect at the time of building permit issuance, ensuring energy-efficient homes will be developed. 4. Housing The Project will provide a variety of housing types, including single-and multi-family residential home ownership opportunities, as well as affordable housing opportunities, as required by the Affordable Housing Plan prepared for the Project. The Project has been conditioned to require that the Applicant enter into an agreement to provide affordable housing prior the approval of the first Final Map. Thus the Project is consistent with the Housing Element of the City's General Plan by providing additional opportunities for high-quality, market-rate single-family residential home ownership in the southeastern portion of the City. 5. Growth Management The Project is in compliance with applicable Growth Management Element requirements because a PFFP has been prepared as required by the Growth Management Ordinance. The PFFP requirements have been included in the Project's conditions of approval. 6. Environmental The Project EIR-13-01 addressed the goals and policies of the Environmental Element of the General Plan and found development of this site to be consistent with these goals and policies. The Otay Ranch Resource Management Plan (RMP) requires conveyance of 1.188 acres of land to the Otay Ranch Preserve for every one- acre of developed land prior to approval of any Final Map, which is equivalent to approximately 256.6 acres. The Project has been conditioned to dedicate Multi- species Conservation Plan (MSCP) open space preserve lands prior to recordation of each Final Map. The Project is therefore consistent with the requirements of the Otay Ranch RMP and MSCP Subarea Plan. B. Pursuant to Government Code Section 66473.1 of the Subdivision Map Act, the configuration, orientation, and topography of the site allows for the optimum siting of lots for natural and passive heating and cooling opportunities and that the development of 2014-12-02 Agenda Packet Page 617 Resolution No. 2014- Page 5 the site will be subject to site plan and architectural review to ensure the maximum utilization of natural and passive heating and cooling opportunities. C. Pursuant to Government Code Section 66412.3 of the Subdivision Map Act, the City Council has considered the effect of this approval on the housing needs of the region and has balanced those needs against the public service needs of the residents of the City and the available fiscal and environmental resources. D. The site is physically suited for development because it will be developed in conformance with the Otay Ranch Village Eight East SPA Plan and EIR-13-01, which contain provisions to ensure that the site is developed in a manner that is consistent with the standards established by the City for a master—planned community. E. The conditions herein imposed on the Project, are approximately proportional both in nature and extent to the impact created by the Project, based upon the City's police powers and evidence provided by the record of the proceedings of EIR-13-01. V. GOVERNMENT CODE SECTION 66020 NOTICE Pursuant to Government Code Section 66020(d) (1), NOTICE IS HEREBY GIVEN that the 90 day period to protest the imposition of any impact fee, dedication, reservation, or other exaction described in this resolution begins on the effective date of this resolution and any such protest must be in a manner that complies with Section 66020(a) and failure to follow timely this procedure will bar any subsequent legal action to attack, set aside, void or annul imposition. The right to protest the fees, dedications, reservations, or other exactions does not apply to planning, zoning, grading, or other similar application processing fees or service fees in connection with the project; and it does not apply to any fees, dedication,reservations, or other exactions which have been given notice similar to this, nor does it revive challenges to any fees for which the Statute of Limitations has previously expired. VI. EXECUTION AND RECORDATION OF RESOLUTION OF APPROVAL The Property owner and the Applicant shall execute this document by signing the lines provided below, said execution indicating that the property owner and Applicant have each read, understood, and agreed to the conditions contained herein. Upon execution, this document shall be recorded with the County Recorder of the County of San Diego, at the sole expense of the property owner and the Applicant, and a signed, stamped copy of this recorded document shall be returned within ten days of recordation to the City Clerk. Failure to record this document shall indicate the property owner and Applicant's desire that the Project, and the corresponding application for building permits and/or a business license, be held in abeyance without approval. Said document will also be on file in the City Clerk's Office and known as Document No. Signature of Applicant Date 2014-12-02 Agenda Packet Page 618 Resolution No. 2014- Page 6 Signature of Property Owner Date VII. CONSEQUENCE OF FAILURE OF CONDITIONS If any of the foregoing conditions fail to occur, or if they are, by their terms, to be implemented and maintained over time, if any of such conditions fail to be so implemented and maintained according to their terms, the City shall have the right to revoke or modify all approvals herein granted, deny, or further condition issuance of all future building permits, deny, revoke, or further condition all certificates of occupancy issued under the authority of approvals herein granted, institute and prosecute litigation to compel their compliance with said conditions or seek damages for their violation. The Applicant shall be notified ten (10) days in advance prior to any of the above actions being taken by the City and shall be given the opportunity to remedy any deficiencies identified by the City within a reasonable and diligent time frame. VIII. INVALIDITY; AUTOMATIC REVOCATION It is the intention of the City Council that its adoption of this Resolution is dependent upon the enforceability of each and every term, provision and condition herein stated; and that in the event that any one or more terms, provision, or conditions are determined by a Court of competent jurisdiction to be invalid, illegal or unenforceable, this resolution shall be deemed to be automatically revoked and of no further force and effect ab initio. BE IT FURTHER RESOLVED that the City Council does hereby approve the Project subject to the Findings contained herein and subject to the Conditions of Approval set forth in Exhibit"2" attached hereto and incorporated herein by this reference. Presented by: Approved as to form by: Kelly Broughton, FASLA Glen R. Googins Director of Development Services City Attorney 2014-12-02 Agenda Packet Page 619 Resolution No. 2014- Page 7 Exhibit "I" aqy LA��S gyp• EAST H ST r v y� E pQC ti1QQ �1 m - ��6.PQCy Otay Ranch Bdy 805 6I RD- m 125 \4 OLYMpIG \ t �� r -'4__�VALLEYRV. � �1 07A4'RIVER � T6 QTAY RAVCH v VILLAGE$EAST PALM AW. d �, BDUMPARY ti �Dtay Ranch Boundary s 0 OTAY MESA RD, NOT TO SCALE 2014-12-02 Agenda Packet Page 620 Resolution No. 2014- Page 8 Exhibit"2" -Village Eight East Tentative Map Conditions TENTATIVE MAP CONDITIONS OF APPROVAL GENERAL/PLANNING AND BUILDING 1. Unless otherwise specified or required by law: (a) the conditions and Code requirements set forth below shall be completed prior to the related Final Map as determined by the Development Services Director and the City Engineer, unless otherwise specified, "dedicate" means grant the appropriate easement, rather than fee title. Where an easement is required the Applicant shall be required to provide subordination of any prior lien and easement holders in order to ensure that the City has a first priority interest and rights in such land unless otherwise waived by the City Manager or his/her designee. Where fee title is granted or dedicated to the City, said fee title shall be free and clear of all encumbrances,unless otherwise excused by the City. 2. Should conflicting wording or standards occur between these conditions of approval, any conflict shall be resolved by the City Manager or designee. 3. The Applicant, or his/her successors in interest, shall improve the Project Site with the Project as described in the Tentative Subdivision Map, Chula Vista Tract No. 13-03, generally located south of Main Street and east of SR-125. 4. The Project shall comply with approved General Plan Amendment GPA-10-02 and General Development Plan Amendment PCM-09-28 approved December 2, 2014, the Sectional Planning Area (SPA) Plan PCM-12-04, approved December 2, 2014 and all supporting documents including but not limited to the Public Facilities Finance Plan, Parks, Recreation, Open Space and Trails Plan, Affordable Housing Plan and Non- Renewable Energy Conservation Plan, and the City of Chula Vista Standard Tentative Map Conditions as outlined in the Subdivision Manual and incorporated herein. 5. The Applicant shall implement, to the satisfaction of the Development Services Director and the City Engineer, the associated Mitigation Measures and associated Mitigation Monitoring and Reporting Program (MMRP) identified in the Final Environmental Impact Report (EIR-13-01: SCH No. 2013071077) for Amendments to the Chula Vista General Plan (GPA-10-02), Amendments to the Otay Ranch General Development Plan (PCM-09-28), the Sectional Planning Area Plan (SPA Plan) (PCM-12-04) for the Village Eight East Project, and the Tentative Map for the Village Eight East Project (CVT-13- 03),within the timeframe specified in the MMRP. 6. The CC&R's for each Homeowners Association (HOA) within the Village Eight East project shall contain a provision that provides all new residents with an overflight notification disclosure document that discloses the following information during any real estate transaction or prior to lease signing, as required by the Brown Field Airport Land Use Compatibility Plan(ALUCP): NOTICE OF AIRPORT IN VICINITY: This property is presently located in the vicinity of an airport, within what is known as an airport influence area. For that reason, the property may be subject to some of the annoyances or inconveniences associated with proximity to airport operations (for example: noise, vibration, or odors). Individual 2014-12-02 Agenda Packet Page 621 Resolution No. 2014- Page 9 sensitivities to those annoyances can vary from person to person. You may wish to consider what airport annoyances, if any, are associated with the property before you complete your purchase or lease and determine whether they are acceptable to you. A copy of this disclosure document shall be recorded with the County of San Diego County Recorder's Office as part of project approval. Each prospective homeowner shall sign the disclosure document confirming they have been informed of the vicinity of the airport prior to the purchase of a home. 7. During any real estate transaction, or prior to lease-signing of any property within the Village Eight East Project, the prospective owners or residents shall be notified of the following information in a disclosure document and in the CC&Rs for each HOA within the Village: a. NOTICE OF FUTURE EXPANSION OF STATE ROUTE 125 (SR-125): Be advised that Caltrans has a long-term plan (per SANDAG RTP) for the widening of SR-125 to improve traffic flows. This property may be subject to some of the annoyances related to the construction and operation of the road. A copy of this disclosure document shall be recorded against the property as part of project approval. Each prospective homeowner shall sign the disclosure document confirming they have been informed of the vicinity of the airport,mine, and landfill prior to the purchase of a home. 8. The Applicant shall obtain approval of a subsequent Final Map showing condominium ownership prior to development of condominiums within any Planning Area proposing mixed residential/commercial or multi-family residential uses. 9. The Applicant shall construct public facilities in compliance with the Otay Ranch Village Eight East Public Facilities Finance Plan (as amended from time to time) as specified in the Threshold Compliance and Recommendations Section for each public facility chapter. At the applicant's request, the City Engineer and Development Services Director may, at their discretion, modify the sequence, schedule, alignment and design of improvement construction should conditions change to warrant such a revision. 10. The Applicant shall dedicate, with the applicable Final Map, for public use all the public streets shown on the tentative map within the subdivision boundary. The applicant shall construct or enter into an agreement to construct and secure all street and intersection improvements as necessary to mitigate the impacts of the Village Eight East Project and as specified in Otay Ranch Village Eight East SPA Plan Final Public Facilities Finance Plan Table C.7 "Project Access and Direct Traffic Mitigation Threshold Requirements" and Table C.6 "Internal Street Improvements". The Applicant shall construct the public improvements and provide security satisfactory to the Development Services Director, City Engineer and City Attorney. 11. Prior to approval of any Final Map showing public or private streets, the Applicant shall obtain approval of street names to the satisfaction of the Development Services Director and City Engineer. The Otay Valley Road street name shall be changed to Otay Valley Parkway. 2014-12-02 Agenda Packet Page 622 Resolution No. 2014- Page 10 12. In accordance with Subdivision Manual Condition 40: The applicant shall notify the City at least 60 days prior to consideration of the first map if any off-site right-of-way or any interest in real property needed to construct or install offsite improvements cannot be obtained as required by the Conditions of Approval. After said notification, the Applicant shall comply with the requirements set forth in Subdivision Manual Condition 40. 13. Prior to the approval of the Final Map for Planning Areas adjacent to R-1, R-2, R-3, R1la, R-12a, R-12b, R-13, R-14a, or RI 4b provide an off-site fuel management program per Section 4.1.2 "Other Vegetation Management" of the Fire Protection Plan, and CVMC Chapter 15.38- "Urban Wildland Interface Code." The Program shall establish the obligations for fuel management that apply to each of the Planning Areas and adjacent off-site properties, including required fuel management zones adjacent to structures, consent from affected off-site property owners, and other applicable requirements to the satisfaction of the Fire Marshal and Development Services Director. The program requirements shall be satisfied prior to the delivery of combustible material to the site, to the satisfaction of the Fire Marshal. 14. A reserve fund program has been established by Resolution No. 18288 for the funding of the Fiscal Impact of New Development (F.LN.D.) Model for the Otay Ranch Project. The Applicant shall provide funds to the Reserve Fund as required by the Reserve Fund Program (RFP). Pursuant to the provisions of the Growth Management Ordinance and the Otay Ranch General Development Plan (GDP), the Applicant shall participate in the funding of the preparation of an annual report monitoring the development of the community of Otay Ranch. The annual monitoring report will analyze the supply of, and demand for, public facilities and services governed by the threshold standards. An annual review shall commence following the first fiscal year in which residential occupancy occurs in the Project and is to be completed during the second quarter of the following fiscal year. The annual report shall adhere to the GDP/SRP, as amended from time-to-time. 15. Prior to the first Final Map, the applicant will enter into an agreement to provide funding for periods where project expenditures exceed projected revenues in compliance with CVMC 19.09.060(J). To address projected project revenue shortfalls, the Applicant shall pay a fee in the amount of $120 per dwelling unit prior to building permit issuance, subject to Development Services Director approval. 16. Prior to approval of the first final map authorizing dwelling units containing any parcel within the Village Core, the Applicant shall submit and obtain approval by the City of a Master Precise Plan 17. Prior to the first Final Map, the Applicant shall submit and obtain approval by the City of a Planned Sign Program. Applicant shall be required to obtain an approval of a Master Encroachment Permit prior to construction of signage in the public right-of-way in any project area, to the satisfaction of the City Engineer and Development Services Director. Public Facilities: 18. Prior to the first Final Map for planning areas adjacent to SR-125 (or per the unit/EDU thresholds in the PFFP), the Applicant shall dedicate the right-of-way that is necessary for the SR-125 interchange at Main Street and the SR-125 interchange at Otay Valley Road to the satisfaction of the Development Services Director and City Engineer. 2014-12-02 Agenda Packet Page 623 Resolution No. 2014- Page 11 19. Prior to approval of the first Final Map containing planning areas adjacent to SR-125 and/or the water quality basin and associated water quality basin access road, the Applicant shall obtain approval from CALTRANS and SANDAG of decertification of SR-125 right-of-way and transfer of title of decertified SR-125 right-of-way to the satisfaction of Development Services Director and City Engineer. 20. Prior to approval of the first Final Map containing the water quality basin and associated water quality basin maintenance and emergency access road adjacent to and within the SR-125 right-of-way, the Applicant shall obtain a maintenance/emergency vehicle and community park paseo access easement from CALTRANS and SANDAG for the benefit of the City of Chula Vista to the satisfaction of Development Services Director. 21. Prior to the first Final Map for the Project, the Applicant shall fund the processing of a Pedestrian Bridge Development Impact Fee Ordinance (which will be applied to Village Eight East and portion of Village Nine) for the cost of constructing a village pathway pedestrian and bicycle bridge, including but not limited to: conceptual plans, environmental review, final plans, approach ramps, abutments, encroachment permits, right-of-way, grading, paving, walls, lighting and all line items necessary for the complete construction of said improvement on a pro-rata basis, in order to comply with the Village 8 East Sectional Planning Area (SPA) Plan and the Otay Ranch GDP. The Applicant shall agree not to protest the amount of the fee established by said Ordinance. 22. The Village Pathway and Pedestrian Bridge facility shall be designed in a location to be determined by the Development Services Director, with a minimum deck width of 13- feet, sufficient for both two-way bicycle and pedestrian users to safely share the Village Pathway and Pedestrian Bridge, to the standards and satisfaction of the Directors of Development Services and Public Works; and the timing of the construction of said bridge will be determined by the City Manager or his designee, consistent with the requirements of the Village Eight East SPA Plan, Public Facilities Financing Plan (PFFP). 23. Prior to the Final B Map for the Project containing the 2,948th dwelling unit, the Village Pathway within Village Eight East, including the pedestrian bridge between Village Eight East and Village Nine, shall have been constructed and in service. If these facilities are not constructed and in service then one of the following steps shall be required as determined by the Development Services Director: a. Development in Village Eight East shall not proceed until the Village Pathway pedestrian and bicycle bridge is constructed; or, b. City and the Applicant shall meet to determine whether revised timing of the facilities is appropriate. A number of factors, including the progress of development of Village Nine and changes to the assumed land uses, may affect the timing and location of the facilities; or, c. Applicant shall construct the facilities and be eligible for reimbursement from the Village Pathway/Pedestrian Bridge DIF for total expenditures in excess of 50- percent of the total cost of the facilities. 24. The Applicant shall provide the City with evidence from the CVESD that the Village 8 East school site has been determined by the district to be acceptable for school use, to the satisfaction of the Development Services Director. 2014-12-02 Agenda Packet Page 624 Resolution No. 2014- Page 12 25. Prior to approval of the Final Map or Design Review application that identifies the need for local public transit facilities in accordance with MTS determination, the Applicant shall provide a deposit in the amount of$20,000 for each planned transit facility station or transit stop payable to the City of Chula Vista for a Capital Improvement Project for future transit improvements as depicting on the Village 8 East SPA Plan, Conceptual Transportation Plan, Exhibit 21, or enter into an agreement to construct future transit improvements to the satisfaction of MTS or their designee. 26. Prior to approval of the first Final Map or the issuance of the first grading permit for the Village Eight East Project, whichever occurs first, the Applicant shall provide all of the following: a. Evidence satisfactory to the Development Services Director, that the Applicant has entered into a binding and properly executed agreement with the City of San Diego to construct the new City of San Diego waterlines at a location that has been approved by the City of Chula Vista ("Waterline Agreement"), as depicted on the Village 8 East Tentative Map (CVT 13-03), to replace the existing City of San Diego waterlines located within the Village Eight East development area. The pipeline relocation work contemplated by said Waterline Agreement shall be secured with the City of Chula Vista listed as a third party beneficiary of the bonds. b. Evidence that the City of San Diego has abandoned or has agreed to abandon any water main easements not needed as a consequence of the relocation of the City of San Diego waterlines within Village Eight East and entered into a Joint Use Agreement for the new location of the City of San Diego water lines within the City of Chula Vista right-of-way of future Otay Valley Road. Submit grading and improvement plans for the approval of the Development Services Director, including security for completion of said work (or proof of security in which City of Chula Vista has a right thereto), for the construction of new City of San Diego waterlines in accordance with the provisions of the Waterline Agreement. The improvement plans shall depict the closure or abandonment of the existing water lines in accordance with standard engineering practices. c. Enter into an agreement to obtain City approval of a SPA amendment and/or any other documentation, to the satisfaction of the Development Services Director, if the relocation of the City of San Diego waterline is not completed in accordance with the Waterline Agreement. d. Enter into an agreement with the City of Chula Vista to defend, indemnify and hold harmless the City, its elected and appointed officers and employees, from and against any and all claims, causes of action, demands, suits, actions or proceedings,judicial or administrative, for writs, orders, injunction or other relief, damages, liability, cost and expense (including without limitation attorneys' fees) arising out of, connected with or incidental to the construction of the new City of San Diego waterlines and the closure and abandonment of the old waterlines, or from any and all City action, conduct or matter related thereto. 27. Prior to the Final Map approving the 1,200' Residential Dwelling Unit (Single-Family and/or Multi-Family Residential) for Village Eight East, the new City of San Diego water line shall be constructed, as depicted on the Village Eight East Tentative Map (CVT 13- 03). 2014-12-02 Agenda Packet Page 625 Resolution No. 2014- Page 13 28. Prior to approval of the first Final Map for the Project, the Applicant(s) shall provide the City with a Village 8 East Subarea Master Plan (SAMP) for potable, recycled water, and fire flow, as approved by Otay Water District (OWD). Applicant shall agree to participate in the pro rata share of the cost of facilities to satisfaction of the Development Services Director. 29. Prior to approval of the first Final Map in Village Eight East, or as approved by the Development Services Director, the Applicant shall provide evidence satisfactory to the Development Services Director that: a. Applicant has acquired from CALTRANS the remainder right-of-way along State Route 125 that will be utilized as residential, open space, and/or CPF land uses, as depicted on the Village 8 East Tentative Map (CVT 13-03). b. CALTRANS has agreed to the proposed location, design and construction of retaining walls, if any,within the right-of-way of State Route 125. 30. Prior to approval of the first Final Map in Village Eight East, the Applicant shall convey the necessary right-of-way and bond for the construction of the required retaining walls to accommodate the future on/off ramps of State Route 125 at Otay Valley Road, all to the satisfaction of the Development Services Director and City Engineer. 31. Prior to approval of any Final Map in Village Eight East that shows a lot labeled on the TM as "Future Development Lot," the Applicant shall provide access to a public street improved to standards, all to the satisfaction of the Development Services Director and City Engineer. Affordable Housing: 32. Prior to approval of the first Final Map for the Project, the Applicant shall enter into a Balanced Communities Affordable Housing Agreement, in compliance with applicable City and State of California regulations. This agreement shall identify potential affordable housing sites, schedules and the following building permit threshold requirements described in the Affordable Housing Plan: (1) prior to the City's issuance of the 1,780th building permit within Village Eight East, Applicant shall commence construction of the Initial Phase of the low and moderate-income housing units, and (2) prior to the City's issuance of the 2,670th building permit, Applicant shall commence construction of the remainder of required low and moderate-income housing units. "Initial Phase" shall mean 60% of the total number of qualified low and moderate-income housing units. Water Quality: 33. Applicant shall agree to remain in compliance with the City's Storm Water Manual, as determined by the Development Services Director. 2014-12-02 Agenda Packet Page 626 Resolution No. 2014- Page 14 Parks: 34. Prior to approval of the first Final Map for the Project, the Applicant shall provide the City with an Irrevocable Offer of Dedication (IOD) for the neighborhood park site (Lot P-1) and that portion of the Community Park site (Lot P-2) related to Village 8 East's actual park acre obligation (approximately 23.7 net acres) acceptable to the Development Services Director. Trails: 35. Prior to approval of the first Final Map, the Applicant shall obtain approval of and record an easement for public trail purposes for the segment of the Chula Vista Greenbelt Trail within the boundaries of Village 8 East on any portion of Wiley Road and/or the Salt Creek Sewer Easement owned by the Applicant, to the satisfaction of the Development Services Director. 36. The Applicant shall submit and obtain approval of trail improvement plans and shall construct all required trails, fencing and signage, consistent with City trail standards when required by the Development Services Director. Said improvement plans containing Chula Vista Greenbelt Trail segments as depicted on the Village 8 East Tentative Map (CVT 13-03), to be located within the existing Salt Creek Sewer Easement,will include improvements such as fencing and signage. 37. Prior to issuance of the building permit for the 1,929' dwelling unit within Village 8 East, the Applicant shall construct all Chula Vista Greenbelt Trail improvements, including fencing and signage, consistent with Chula Vista trail standards, as required by the Development Services Director. 38. Community Park Access Trails, as depicted on the Village 8 East Tentative Map (CVT 13-03), shall be constructed in conjunction with the construction of the Village 8 East Community Park. 39. The Applicant shall designate private open space lots to accommodate the Village Paseo design that traverses neighborhoods R-7, R-8, R-9 and R-10 generally on an east-west axis, on any Final Map that includes said neighborhoods to the satisfaction of the Development Services Director. Landscaping/Walls/Fences: 40. Footings and geosynthetic reinforcement grid for retaining walls and walls that may be planted shall not encroach into adjacent properties or public rights-of-way subject to approval of the Development Services Director. 41. In place of Subdivision Manual Condition 30 and 33, prior to approval of the first Final Map the Applicant shall: a. Obtain Development Services Director approval of the Landscape Master Plan for the project. The Landscape Master Plan shall identify a funding mechanism to maintain parks, landscape improvements, trails, open space areas and other improvements in such areas. The contents of the Landscape Master Plan shall 2014-12-02 Agenda Packet Page 627 Resolution No. 2014- Page 15 contain the major components listed in Master Condition 30(a) thru (h) in the Subdivision Standard Conditions unless waived by the Development Services Director. b. Submit evidence acceptable to the City Engineer and Development Services Director of the formation of a Master Homeowner's Association (MHOA), or another financial mechanism acceptable to the City Manager, including a Community Facilities District (CFD) or Open Space District. A Community Facilities District is the preferred financial mechanism for a maintenance district. If another financial mechanism is not formed, the MHOA shall be responsible for the maintenance of those landscaping improvements that are not included in the proposed financial mechanism. The City Engineer and the Development Services Director may require that some improvements be maintained by the Open Space District. The final determination of which improvements are to be included in the Open Space District and those to be maintained by the MHOA shall be made during the Open Space District Proceedings. The MHOA shall be structured to allow annexation of future tentative map areas in the event the City Engineer and Development Services Director requires such annexation of future tentative map areas. The MHOA formation documents shall be subject to the approval of the City Attorney. c. The Applicant shall submit for City's approval the CC&R's grant of easements and maintenance standards and responsibility of the MHOA's for the Open Space Areas within the Village Eight East Project Area. The Applicant shall acknowledge that the MHOA's maintenance of public open space, trails, etc. may expose the City to liability. The Applicant agrees to establish an MHOA that will indemnify and hold the City harmless from any actions of the MHOA in the maintenance of such areas. d. Submit and obtain approval of the City Engineer and Development Services Director of a list of all facilities and other items to be maintained by the proposed district or MHOA. Separate lists shall be submitted for the improvements and facilities to be maintained by the Open Space District or some other financing mechanism and those to be maintained by the MHOA. Include a description, quantity, and cost per year for the perpetual maintenance of said improvements. These lists shall include but are not limited to the following facilities and improvements: i. All facilities located on open space lots to include but not be limited to: walls, fences, water fountains, lighting structures, paths, trails, access roads, drainage structures, and landscaping. Each open space lot shall also be broken down by the number of acres o£ 1) turf, 2) irrigated, and 3) non-irrigated open space to aid in estimation of a maintenance budget thereof. ii. The proportional share of the maintenance costs of any medians and parkways along the applicable roadways as identified in the PFFP adjoining the development as determined by the City Engineer. iii. All water quality basins serving the Project. 2014-12-02 Agenda Packet Page 628 Resolution No. 2014- Page 16 42. The Applicant agrees to not protest formation or inclusion in a maintenance district or zone for the maintenance of landscape medians, pedestrian bridges, and scenic corridors along streets,within or adjacent to the subject subdivision. 43. The Applicant shall submit a detailed wall/fencing plan with the Design Review Site Plan submittal for each planning area showing that all project walls and fences comply with the approved SPA Plan Village Design Plan, Landscape Master Plan, and other applicable City of Chula Vista requirements, to the Development Services Director for approval. Plans shall indicate color, materials, height and location of freestanding walls, retaining walls, and fences. The plan shall also include details such as accurate dimensions, complete cross-sections showing required walls, adjacent grading, landscaping, and sidewalk improvements. 44. Prior to the approval of the first Final Map for the SPA Plan, the applicant shall annex the project area into Otay Ranch Preserve Community Facilities District No. 97-2, Improvement Area"C." 45. Prior to recordation of each Final Map the applicant shall convey fee title to land within the Otay Ranch Preserve to the Otay Ranch Preserve Owner Manager or its designee at a ratio of 1.188 acres for each acre of development area, as defined in the Otay Ranch Resource Management Plan. Access to the property for maintenance purposes shall also be provided to the satisfaction of the Preserve Owner Manager 46. Prior to construction of Regional Bus Rapid Transit and/or Rapid Bus transit stations in Village Eight East, the Applicant shall obtain approval of improvement plans, as depicted on the Village 8 East SPA Plan, Conceptual Public Transportation Plan, Exhibit 21, to the satisfaction of SANDAG,MTS, and the Development Services Director. 47. Prior to issuance of the first building permit or other discretionary permits for mixed use, multi-family, or non-residential developments within the project site, the Applicant shall comply with applicable provisions of Municipal Code Section 8.24 - Solid Waste and Litter, and Section 8.25 — Recycling, related to development projects, to the satisfaction of the Department of Public Works, Environmental Services Division. These requirements include,but are not limited to the following design requirements: a. The Applicant shall design mixed-use, multi-family, and commercial development projects to comply with the Recycling and Solid Waste Standards for central collection bin services. b. The Applicant shall design each single-family lot or residence to accommodate the storage and curbside pickup of individual trash, recycling and green waste containers (3 total), as approved for a small-quantity generator (single family residential use). 48. Prior to recordation of each Final B Map, all CFD slope and open space areas shall be designated as individual lots on said final map to the satisfaction of the Development Services Director. 49. Prior to the first Final B Map for R-17 and R-18 Applicant shall provide for reciprocal private access from R17 to Street C (Caraway Street) between R-18B/C and along the easterly edge of R-18d to the satisfaction of the Development Services Director. 2014-12-02 Agenda Packet Page 629 Resolution No. 2014- Page 17 50. Prior to the First Final B Map in planning area MU-1 Applicant shall provide reciprocal access between Street C (Caraway Street) and Street K (Casabel Street) to the satisfaction of the Development Services Director. 51. Prior to the First Final B Map for R-15 Applicant shall provide reciprocal access between Streets A (Santa Marisol) and B (Santa Tipu) to the satisfaction of the Development Services Director. 52. Prior to the First Final B Map which includes Street M, the Applicant shall widen Street M (Safflower Street) on said Map to mirror the width of Street L (Safflower Street) and indicate Street "M"s cross section on said Map to the satisfaction of the Development Services Director. 53. Prior to First Final A Map Applicant shall provide right of way for dual lefts and a right turn at north bound Street "A" at Main Street to the satisfaction of the Development Services Director and City Engineer. 54. Prior to each Final Map approval Applicant shall provide letters of permission to grade all off-sites (including slopes,roads,utilities, etc)necessary to support each Final Map independently to the satisfaction of the Development Services Director. 55. Prior to each Final Map approval Applicant shall provide proof that all offsite right of way, drainage, sewerage and water facilities have signed and bonded improvement plans necessary to connect said Final Map to existing facilities to the satisfaction of the Development Services Director and City Engineer. In the case of two separate property owners utilizing the same plans and bonds of said improvement plans and or rights-of- ways, both property owners shall provide proof in a written agreement to; process plans, construct from the same set of plans, process as-builts, complete punch list items, and have the same bond company list them both as principal, all to the satisfaction of the Development Services Director and City Engineer. 2014-12-02 Agenda Packet Page 630 CITY COUNCIL RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING TENTATIVE MAP CVT-13-04 (PCS-13-04) FOR THE OTAY RANCH VILLAGE TEN PROJECT SUBJECT TO THE CONDITIONS CONTAINED HEREIN L RECITALS WHEREAS, the parcel of land which is the subject matter of this Resolution is depicted in Exhibit "1," attached hereto and incorporated herein by this reference and for the purpose of general description consists of 363.4 acres, and identified in County Assessor Records as APN 9 644-080-17-00 and a portion of 644-090-03-00, (Project Site); and WHEREAS, on December 21, 2011, a duly verified application requesting approval of a Tentative Subdivision Map (PCS-13-04), Chula Vista Tract No. 13-04 (Tentative Subdivision Map), which preceded the January 3, 2012 duly verified application requesting approval of the Sectional Plan Area (SPA) Plan (PCM-12-01), which followed the duly verified applications for General Development Plan (PCM-09-28) (GDP), and General Plan Amendment (GPA-10-02), all of which were filed with the City of Chula Vista Development Services Department by SSBT LCRE V, LLC (the "Applicant" and"Owner"); and WHEREAS, the City's Development Services Director has reviewed the Project for compliance with the California Environmental Quality Act (CEQA) and determined that the Project would result in a significant impact to the environment, and therefore has prepared the Otay Ranch University Villages Project Environmental Impact Report (EIR) No. 13-01, SCH 92013071077 (EIR-13-01); and WHEREAS, the development of the Project Site has been the subject matter of General Plan Amendment GPA-10-02, and the Otay Ranch General Development Plan Amendment GDPA-09-28,previously approved by the City Council on December 2, 2014,by Resolution No. 2014- wherein the City Council, in the environmental evaluation of said GPA/GDPA, relied on the Otay Ranch University Villages Project EIR-13-01; and WHEREAS, on December 2, 2014, the Applicant obtained approval of the Otay Ranch Village Ten Sectional Planning Area (PCM 12-04) establishing the pattern of land uses and circulation, policies to guide the development of the Project Site, and establishing the zoning for the property, wherein the City Council, in the environmental evaluation of said Sectional Planning Area, reviewed, considered and certified Final EIR-13-01 (FEIR-13-01) and adopted the Findings of Fact, Statement of Overriding Considerations, and Mitigation Monitoring and Reporting Program,pursuant to Resolution No. EIR-13-01; and WHEREAS, the Applicant requests approval of a Tentative Map to subdivide 363.4 Acres into parcels supporting up to 695 single-family residential units, and 1,045 multi-family residential units, (the"Project") on said Project Site; and WHEREAS, a hearing time and place was set by the Planning Commission for consideration of the Project and notice of said hearing, together with its purpose,was given by its publication in a newspaper of general circulation in the City, and its mailing to property owners 2014-12-02 Agenda Packet Page 631 Resolution No. 2014- Page 2 and residents within 500 feet of the exterior boundaries of the property, at least ten (10) days prior to the hearing; and WHEREAS, the Planning Commission held an advertised public hearing on the Project on November 19, 2014; the Planning Commission took public testimony; heard staffs' presentation; and reviewed and considered EIR-13-01, and said hearing was thereafter closed; and WHEREAS, following the Planning Commission's public hearing on the Project, a hearing time and place was set by the City Council for consideration of the Project and notice of said hearing, together with its purpose, was given by its publication in a newspaper of general circulation in the City and its mailing to property owners within 500 feet of the exterior boundary of the Project, at least 10 days prior to the hearing; and WHEREAS, the duly called and noticed public hearing on the Project was held before the City Council on December 2 , 2014 in the Council Chambers, 276 Fourth Avenue, at 2:00 p.m. to hear public testimony with regard to the same; and WHEREAS,immediately prior to this action,the City Council reviewed and certified FEIR- 13-01 and adopted the Findings of Fact, Statement of Overriding Considerations, and Mitigation Monitoring and Reporting Program,pursuant to Resolution No.EIR-13-01. NOW, THEREFORE BE IT RESOLVED by the City Council of the City of Chula Vista that it does hereby find, determine and resolve as follows: II. PLANNING COMMISSION RECORD Record of the proceedings of the Planning Commission at their public hearing on November 19, 2014, including their vote, along with any relevant comments, have been provided to the City Council and are hereby incorporated into the record of this proceeding. III. CERTIFICATION OF COMPLANCE WITH CEQA The City Council, in the exercise of their independent review and judgment, immediately prior to this action, on December 2, 2014, reviewed and certified FEIR-13-01 and adopted the Findings of Fact, Statement of Overriding Considerations, and Mitigation Monitoring and Reporting Program by Resolution No. EIR-13-01. IV. TENTATIVE SUBDIVISION MAP FINDINGS A. Pursuant to Government Code Section 66473.5 of the Subdivision Map Act, the City Council finds that the Tentative Subdivision Map, as conditioned herein for the Project, is in conformance with the elements of the City's General Plan,based on the following: 1. Land Use and Circulation 2014-12-02 Agenda Packet Page 632 Resolution No. 2014- Page 3 The Project is consistent with and implements the Otay Ranch Village Ten SPA Plan by establishing developable parcels, public improvements and public facilities that will create a mixed-use Town Center and other complementary land uses, including community purpose facilities, public schools and parks, and residential neighborhoods that offer a variety of housing types and densities. The Mixed Use Urban Village would be comprised of integrated potential commercial and residential uses that would encourage use of alternative modes of transportation and reduce reliance on the automobile. The Project will be designed to encourage residents to utilize alternative modes of transportation such as the Bus Rapid Transit (BRT) service, local bus service, the SR-125 Village Pathway Bridge, sidewalks, trails, and bicycle lanes. The Project has been designed to include a vehicle circulation system that complies with the requirements of the City of Chula Vista's General Plan, Otay Ranch General Development Plan and Otay Ranch Village Ten SPA Plan. The circulation system includes a hierarchy of streets, each providing accommodations for pedestrian walkways and bicycle ways. Reduced lane widths and bulb-outs at intersections will enhance pedestrian comfort and safety. The construction of the circulation system will be phased in accordance with the Village Ten SPA's Public Facilities Financing Plan (PFFP), such that the development of the circulation system will precede planned growth and maintain acceptable levels of service, as required by the City's Growth Management Program. 2. Economic Development The Project will contribute to the economic base of the City by providing a mixed use Village Core with a street grid system, and Residential districts that will provide for a range of multi-family residential product types that will enhance the image and appearance of the Otay Ranch community and will benefit the local economy. Approval of the Project will help achieve the General Plan objectives that seek to promote a variety of housing opportunities. The Village Ten development pattern responds to adjoining development areas that contain additional opportunities for synergy with adjacent employment areas such as the university innovation district and eastern urban center designated areas thereby enhancing the City's jobs/housing balance, providing a diverse economic base, and encouraging the growth of small businesses. 3. Public Facilities and Services To fulfill educational needs of students residing in Village Ten, one elementary school site totaling 9.2 gross acres have been reserved as described in the PFFP for acquisition by the Chula Vista Elementary School District. The Chula Vista Elementary School District would be able to accommodate the additional students generated by the Project, and the existing schools would not be adversely impacted by the approval of the Project. Sewer The Project Site is within the boundaries of the City of Chula Vista wastewater services area. Sewer capacity needs for the Project, in conjunction with long-term growth in the area, have been analyzed in the PFFP. Sewer capacity will be available to serve the Project subject to the PFFP requirements, which are included as Conditions of Approval for the Project. Based on these requirements, no adverse 2014-12-02 Agenda Packet Page 633 Resolution No. 2014- Page 4 impacts to the City's sewer system or City's sewer threshold standards will occur as a result of the Project. Parks The Project has been conditioned to dedicate parkland for a 6.6 net-acre Neighborhood Park and approximately 9.0 net-acres of Community Park land within the Village Eight East Active Recreation community park site. Said park sites will be developed with a variety of recreational opportunities ranging from active to passive recreational experiences. Phasing of park facilities and maintenance has been addressed in the PFFP. The actual park facilities and amenities will be determined in conjunction with the park master plan process for each individual park. Services The Project has been conditioned to ensure that all necessary public facilities and services will be available to serve the Project concurrent with the demand for those services. The City Engineer, Fire and Police Departments have reviewed the proposed subdivision for conformance with City safety policies and have determined that the proposal meets those standards. Project construction will be required to comply with the applicable California Green Building Standards, the City's Green Building Standards and the City's Energy Efficiency Ordinance in affect at the time of building permit issuance, ensuring energy-efficient homes will be developed. 4. Housing The Project will provide a variety of housing types, including single-and multi-family residential home ownership opportunities, as well as affordable housing opportunities, as required by the Affordable Housing Plan prepared for the Project. The Project has been conditioned to require that the Applicant enter into an agreement to provide affordable housing prior the approval of the first Final Map. Thus the Project is consistent with the Housing Element of the City's General Plan by providing additional opportunities for high-quality, market-rate single-family residential home ownership in the southeastern portion of the City. 5. Growth Management The Project is in compliance with applicable Growth Management Element requirements because a PFFP has been prepared as required by the Growth Management Ordinance. The PFFP requirements have been included in the Project's conditions of approval. 6. Environmental The Project EIR-13-01 addressed the goals and policies of the Environmental Element of the General Plan and found development of this site to be consistent with these goals and policies. The Otay Ranch Resource Management Plan (RMP) requires conveyance of 1.188 acres of land to the Otay Ranch Preserve for every one- acre of developed land prior to approval of any Final Map, which is equivalent to approximately 159.1 acres. The Project has been conditioned to dedicate Multi- species Conservation Plan (MSCP) open space preserve lands prior to recordation of 2014-12-02 Agenda Packet Page 634 Resolution No. 2014- Page 5 each Final Map. The Project is therefore consistent with the requirements of the Otay Ranch RMP and MSCP Subarea Plan. B. Pursuant to Government Code Section 66473.1 of the Subdivision Map Act, the configuration, orientation, and topography of the site allows for the optimum siting of lots for natural and passive heating and cooling opportunities and that the development of the site will be subject to site plan and architectural review to ensure the maximum utilization of natural and passive heating and cooling opportunities. C. Pursuant to Government Code Section 66412.3 of the Subdivision Map Act, the City Council has considered the effect of this approval on the housing needs of the region and has balanced those needs against the public service needs of the residents of the City and the available fiscal and environmental resources. D. The site is physically suited for development because it will be developed in conformance with the Otay Ranch Village Ten SPA Plan and EIR-13-01, which contain provisions to ensure that the site is developed in a manner that is consistent with the standards established by the City for a master—planned community. E. The conditions herein imposed on the Project, are approximately proportional both in nature and extent to the impact created by the Project, based upon the City's police powers and evidence provided by the record of the proceedings of EIR-13-01. V. GOVERNMENT CODE SECTION 66020 NOTICE Pursuant to Government Code Section 66020(d) (1), NOTICE IS HEREBY GIVEN that the 90 day period to protest the imposition of any impact fee, dedication, reservation, or other exaction described in this resolution begins on the effective date of this resolution and any such protest must be in a manner that complies with Section 66020(a) and failure to follow this procedure in a timely manner will bar any subsequent legal action to attack, set aside, void or annul imposition. The right to protest the fees, dedications, reservations, or other exactions does not apply to planning, zoning, grading, or other similar application processing fees or service fees in connection with the project; and it does not apply to any fees, dedication, reservations, or other exactions which have been given notice similar to this, nor does it revive challenges to any fees for which the Statute of Limitations has previously expired. VL EXECUTION AND RECORDATION OF RESOLUTION OF APPROVAL The Property owner and the Applicant shall execute this document by signing the lines provided below, said execution indicating that the property owner and Applicant have each read, understood, and agreed to the conditions contained herein. Upon execution, this document shall be recorded with the County Recorder of the County of San Diego, at the sole expense of the property owner and the Applicant, and a signed, stamped copy of this recorded document shall be returned within ten days of recordation to the City Clerk. Failure to record this document shall indicate the property owner and Applicant's desire that the Project, and the corresponding application for building permits and/or a business license, be held in abeyance without approval. Said document will also be on file in the City Clerk's Office and known as Document No. 2014-12-02 Agenda Packet Page 635 Resolution No. 2014- Page 6 Signature of Applicant Date Signature of Property Owner Date VII. CONSEQUENCE OF FAILURE OF CONDITIONS If any of the foregoing conditions fail to occur, or if they are, by their terms, to be implemented and maintained over time, if any of such conditions fail to be so implemented and maintained according to their terms, the City shall have the right to revoke or modify all approvals herein granted, deny, or further condition issuance of all future building permits, deny, revoke, or further condition all certificates of occupancy issued under the authority of approvals herein granted, institute and prosecute litigation to compel their compliance with said conditions or seek damages for their violation. The Applicant shall be notified ten (10) days in advance prior to any of the above actions being taken by the City and shall be given the opportunity to remedy any deficiencies identified by the City within a reasonable and diligent time frame. VIII. INVALIDITY; AUTOMATIC REVOCATION It is the intention of the City Council that its adoption of this Resolution is dependent upon the enforceability of each and every term, provision and condition herein stated; and that in the event that any one or more terms, provision, or conditions are determined by a Court of competent jurisdiction to be invalid, illegal or unenforceable, this resolution shall be deemed to be automatically revoked and of no further force and effect ab initio. BE IT FURTHER RESOLVED that the City Council does hereby approve the Project subject to the Findings contained herein and subject to the Conditions of Approval set forth in Exhibit"2" attached hereto and incorporated herein by this reference. Presented by: Approved as to form by: Kelly Broughton, FASLA Glen R. Googins Director of Development Services City Attorney 2014-12-02 Agenda Packet Page 636 Resolution No. 2014- Page 7 EXHIBIT "1" EAST H S7 �� E•p M ~ J, ASP m 1 �CE�•t'.4Gy o 6AIJYMIJ $ otay Ranch MY m� BI m 0� y 805 W.i \\ 125 / VIUME r h 140 NNW dLyMPIC / \ �7Yr DTAY VALLEY RD. OrAY MER PALM AVE. )tay Ranch Boundary lCl r OTAY MESA PP. nor TO sc4r 2014-12-02 Agenda Packet Page 637 Resolution No. 2014- Page 8 Exhibit"2" -Village Ten Tentative Map Conditions TENTATIVE MAP CONDITIONS OF APPROVAL GENERAL/PLANNING AND BUILDING 1. Unless otherwise specified or required by law: (a) the conditions and Chula Vista Municipal Code requirements set forth below shall be completed prior to the related Final Map as determined by the Development Services Director and the City Engineer, unless otherwise specified, "dedicate" means grant the appropriate easement, rather than fee title. Where an easement is required the Applicant shall be required to provide subordination of any prior lien and easement holders in order to ensure that the City has a first priority interest and rights in such land unless otherwise waived by the City Manager or his/her designee. Where fee title is granted or dedicated to the City, said fee title shall be free and clear of all encumbrances,unless otherwise excused by the City. 2. Should conflicting wording or standards occur between these conditions of approval, any conflict shall be resolved by the City Manager or designee. 3. The Applicant, or his/her successors in interest, shall improve the Project Site with the Project as described in the Tentative Subdivision Map, Chula Vista Tract No. 13-04, generally located south of the future university site. 4. The Project shall comply with approved General Plan Amendment GPA-10-02 and General Development Plan Amendment PCM-09-28 approved December 2, 2014, the Sectional Planning Area (SPA) Plan PCM-12-01, approved December 2, 2014 and all supporting documents including but not limited to the Public Facilities Finance Plan, Parks, Recreation, Open Space and Trails Plan, Affordable Housing Plan and Non- Renewable Energy Conservation Plan, and the City of Chula Vista Standard Tentative Map Conditions as outlined in the Subdivision Manual and incorporated herein. 5. The Applicant shall implement, to the satisfaction of the Development Services Director and the City Engineer, the associated Mitigation Measures and associated Mitigation Monitoring and Reporting Program (MMRP) identified in the Final Environmental Impact Report (EIR-13-01: SCH No. 2013071077) for Amendments to the Chula Vista General Plan (GPA-10-02), Amendments to the Otay Ranch General Development Plan (PCM-09-28), the Sectional Planning Area Plan (SPA Plan) (PCM-12-01) for the Village Ten Project, and the Tentative Map for the Village Ten Project (CVT-13-04), within the timeframe specified in the MMRP. 6. The CC&R's for each Homeowners Association (HOA) within the Village Ten project shall contain a provision that provides all new residents with an overflight notification disclosure document that discloses the following information during any real estate transaction or prior to lease signing, as required by the Brown Field Airport Land Use Compatibility Plan (ALUCP): NOTICE OF AIRPORT IN VICINITY: This property is presently located in the vicinity of an airport, within what is known as an airport influence area. For that reason, the property may be subject to some of the annoyances or inconveniences associated with proximity to airport operations (for example: noise, vibration, or odors). Individual sensitivities to those annoyances can vary from person to person. You 2014-12-02 Agenda Packet Page 638 Resolution No. 2014- Page 9 may wish to consider what airport annoyances, if any, are associated with the property before you complete your purchase or lease and determine whether they are acceptable to you. A copy of this disclosure document shall be recorded with the County of San Diego County Recorder's Office as part of project approval. Each prospective homeowner shall sign the disclosure document confirming they have been informed of the vicinity of the airport prior to the purchase of a home. 7. The Applicant shall construct public facilities in compliance with the Otay Ranch Village Ten Public Facilities Finance Plan (as amended from time to time) as specified in the Threshold Compliance and Recommendations Section for each public facility chapter. At the applicant's request, the City Engineer and Development Services Director may, at their discretion, modify the sequence, schedule, alignment and design of improvement construction should conditions change to warrant such a revision. 8. The Applicant shall dedicate, with the applicable Final Map, for public use all the public streets shown on the tentative map within the subdivision boundary. The applicant shall construct or enter into an agreement to construct and secure all street and intersection improvements as necessary to mitigate the impacts of the Village Ten Project and as specified in Otay Ranch Village Ten SPA Plan Public Facilities Finance Plan Table C.6 "Project Access and Direct Traffic Mitigation Threshold Requirements" and Table C.5 "Internal Street Improvements." The Applicant shall construct the public improvements and provide security satisfactory to the City Engineer, Development Services Director, and City Attorney. 9. Prior to approval of any Final Map showing public or private streets, the Applicant shall obtain approval of street names to the satisfaction of the Development Services Director and City Engineer. 10. In accordance with Subdivision Manual Condition 40: The applicant shall notify the City at least 60 days prior to consideration of the first map if any off-site right-of-way or any interest in real property needed to construct or install offsite improvements cannot be obtained as required by the Conditions of Approval. After said notification, the Applicant shall comply with the requirements set forth in Subdivision Manual Condition 40. 11. Prior to the approval of the Final Map for Planning Areas adjacent to R-3, R-5, R-17a, R- 17b, or R-17c, provide an off-site fuel management program per Section 4.1.2 "Other Vegetation Management' of the Fire Protection Plan, and CVMC Chapter 15.38- "Urban Wildland Interface Code." The Program shall establish the obligations for fuel management that apply to each of the Planning Areas and adjacent off-site properties, including required fuel management zones adjacent to structures, consent from affected off-site property owners, and other applicable requirements to the satisfaction of the Fire Marshal and Development Services Director. The program requirements shall be satisfied prior to the delivery of combustible material to the site, to the satisfaction of the Fire Marshal. 12. A reserve fund program has been established by Resolution No. 18288 for the funding of the Fiscal Impact of New Development (F.LN.D.) Model for the Otay Ranch Project. The Applicant shall provide funds to the Reserve Fund as required by the Reserve Fund Program (RFP). Pursuant to the provisions of the Growth Management Ordinance and the Otay Ranch General Development Plan (GDP), the Applicant shall participate in the 2014-12-02 Agenda Packet Page 639 Resolution No. 2014- Page 10 funding of the preparation of an annual report monitoring the development of the community of Otay Ranch. The annual monitoring report will analyze the supply of, and demand for, public facilities and services governed by the threshold standards. An annual review shall commence following the first fiscal year in which residential occupancy occurs in the Project and is to be completed during the second quarter of the following fiscal year. The annual report shall adhere to the GDP/SRP, as amended from time-to-time. 13. Prior to the first Final Map, the applicant will enter into an agreement to provide funding for periods where project expenditures exceed projected revenues in compliance with CVMC 19.09.060(J). 14. Prior to approval of the first final map authorizing dwelling units containing any parcel within the Village Core, the Applicant shall submit and obtain approval by the City of a Master Precise Plan. 15. Prior to approval of the first Final Map, the Applicant shall submit and obtain approval by the City of a Village-Wide Planned Sign Program. Applicant shall be required to obtain an approval of a Master Encroachment Permit prior to construction of signage in the public right-of-way in any project area, to the satisfaction of the City Engineer and Development Services Director. Public Facilities: 16. The Applicant shall provide the City with evidence from the CVESD that the Village 10 school site has been determined by the district to be acceptable for school use, to the satisfaction of the Development Services Director. 17. Prior to approval of the Final Map or Design Review application that identifies the need for local public transit facilities, in accordance with MTS determination, the Applicant shall provide a deposit in the amount of$20,000 for each planned transit facility station or transit stop, payable to the City of Chula Vista for a Capital Improvement Project for future transit improvements as depicted on the Village 10 SPA Plan, Conceptual Public Transportation Plan, Exhibit 21, or enter into an agreement to construct future transit improvements to the satisfaction of MTS or their designee. 18. Prior to approval of the first Final Map or the issuance of the first grading permit for the Village Ten Project, whichever occurs first, the Applicant shall provide all of the following: a. Evidence satisfactory to the Development Services Director, that the Applicant has entered into a binding and properly executed agreement with the City of San Diego to construct new City of San Diego waterlines at a location that has been approved by the City of Chula Vista ("Waterline Agreement") and as depicted on the Village 10 Tentative Map (CVT 13-04) to replace the existing City of San Diego waterlines located within the Village Ten development area. The pipeline relocation work contemplated by said Waterline Agreement shall be secured with the City of Chula Vista listed as a third party beneficiary of the bonds. b. Evidence that the City of San Diego has abandoned or has agreed to abandon any City of San Diego water main easements not needed as a consequence of the 2014-12-02 Agenda Packet Page 640 Resolution No. 2014- Page 11 relocation of the City of San Diego waterlines within Village Ten and entered into a Joint Use Agreement for the new location of the facility within the City of Chula Vista right-of-way of future Otay Valley Road. Submit grading and improvement plans for the approval by the Development Services Director, including security for completion of said work (or proof of security in which City of Chula Vista has a right thereto), for the construction of the new City of San Diego waterlines in accordance with the provisions of the Waterline Agreement. The improvement plans shall depict the closure or abandonment of the existing water lines in accordance with standard engineering practices. c. Enter into an agreement to obtain City approval of a SPA amendment and/or any other documentation, to the satisfaction of the Development Services Director, if the relocation of the City of San Diego waterline is not completed in accordance with the Waterline Agreement. d. Enter into an agreement with the City of Chula Vista to defend, indemnify and hold harmless the City, its elected and appointed officers and employees, from and against any and all claims, causes of action, demands, suits, actions or proceedings,judicial or administrative, for writs, orders, injunction or other relief, damages, liability, cost and expense (including without limitation attorneys' fees) arising out of, connected with or incidental to the construction of the new City of San Diego waterlines and the closure and abandonment of the old waterlines, or from any and all City action, conduct or matter related thereto. 19. Construct the new City of San Diego waterline within Village 10, between the eastern and western project boundary, per the Waterline Agreement and as depicted on the Village 10 Tentative Map (CVT 13-04), prior to the Final Map approving the 580th Residential Dwelling Unit (Single-Family and/or Multi-Family Residential) for Village Ten. Affordable Housing: 20. Prior to approval of the first Final Map for the Project, the Applicant shall enter into a Balanced Communities Affordable Housing Agreement, in compliance with applicable City and State of California regulations. This agreement shall identify potential affordable housing sites, schedules and the following building permit threshold requirements described in the Affordable Housing Plan: (1) prior to the City's issuance of the 870th building permit within Village Ten, Applicant shall commence construction of the Initial Phase of the low and moderate-income housing units, and (2) prior to the City's issuance of the 1,305th building permit, Applicant shall commence construction of the remainder of required low and moderate-income housing units. "Initial Phase" shall mean 60% of the total number of qualified low and moderate-income housing units. Water Quality: 21. Applicant shall agree to remain in compliance with the City's Storm Water Manual, as determined by the Development Services Director. Parks: 2014-12-02 Agenda Packet Page 641 Resolution No. 2014- Page 12 22. Prior to approval of the first Final Map for the Project, the Applicant shall provide the City with an Irrevocable Offer of Dedication (IOD) for the neighborhood park site (Lot P-1) and approximately 9 acres of Community Park land within Village 8 East Active Recreation site (Lot P-2) acceptable to the Development Services Director. Trails: 23. Prior to approval of the first Final Map, the Applicant shall obtain approval of and record an easement for public trail purposes for the segment of the Chula Vista Greenbelt Trail within the boundaries of Village 10 on the portion of Wiley Road and/or the Salt Creek Sewer Easement owned by the Applicant, to the satisfaction of the Development Services Director. 24. The Applicant shall submit and obtain approval of trail improvement plans and shall construct all required trails fencing and signage improvements, consistent with City trail standards when required by the Development Services Director. Said improvement plans containing Chula Vista Greenbelt Trail segments as depicted on the Village 10 Tentative Map (CVT 13-04), to be located within the existing Salt Creek Sewer Easement, will include improvements such as fencing and signage. 25. Prior to approval of the first Final Map for the Project, the Applicant shall prepare and obtain approval of trail improvement plans for the 8-foot wide public Rural Trail (Greenbelt Connector Trail) located within an existing disturbed dirt road, that connects to the Chula Vista Greenbelt Trail, to the satisfaction of the Development Services Director. The Applicant shall obtain approval of and record an easement over the existing dirt road for said public rural trail to the satisfaction of the Development Services Director. 26. Prior to the approval of the first residential building permit within the Village 10 Red Phase, as depicted on the Conceptual Phasing Plan of the Otay Ranch Village 10 SPA Plan Exhibit 39, the Applicant shall construct all Chula Vista Greenbelt Trail improvements and Rural Trail improvements, including fencing and signage consistent with City trail standards, as required by the Development Services Director. 27. The trail designated the Village Trail/Maintenance Access Road, which provides a trail connection between Village 10 and the Rural Trail/Chula Vista Greenbelt Trail, depicted on the Village 10 Tentative Map (CVT 13-04), shall be constructed by the Applicant concurrent with adjacent slope grading and improvements. Landscaping/Walls/Fences: 28. Footings and geosynthetic reinforcement grid for retaining walls and walls that may be planted shall not encroach into adjacent properties or public rights-of-way subject to approval of the Development Services Director. 29. In place of Subdivision Manual Conditions 30 and 33, prior to approval of the first Final Map the Applicant shall: a. Obtain Development Services Director approval of the Landscape Master Plan for the project. The Landscape Master Plan shall identify a funding mechanism to maintain parks, landscape improvements, trails, open space areas and other improvements in such areas. The contents of the Landscape Master Plan shall 2014-12-02 Agenda Packet Page 642 Resolution No. 2014- Page 13 contain the major components listed in Master Condition 30(a) thru (h) in the Subdivision Standard Conditions unless waived by the Development Services Director. b. Submit evidence acceptable to the City Engineer and Development Services Director of the formation of a Master Homeowner's Association (MHOA), or another financial mechanism acceptable to the City Manager, including a Community Facilities District (CFD) or Open Space District. A Community Facilities District is the preferred financial mechanism for a maintenance district. If another financial mechanism is not formed, the MHOA shall be responsible for the maintenance of those landscaping improvements that are not included in the proposed financial mechanism. The City Engineer and the Development Services Director may require that some improvements be maintained by the Open Space District. The final determination of which improvements are to be included in the Open Space District and those to be maintained by the MHOA shall be made during the Open Space District Proceedings. The MHOA shall be structured to allow annexation of future tentative map areas in the event the City Engineer and Development Services Director requires such annexation of future tentative map areas. The MHOA formation documents shall be subject to the approval of the City Attorney. c. The Applicant shall submit for City's approval the CC&R's grant of easements and maintenance standards and responsibility of the MHOA's for the Open Space Areas within the Village Ten Project Area. The Applicant shall acknowledge that the MHOA's maintenance of public open space, trails, etc. may expose the City to liability. The Applicant agrees to establish an MHOA that will indemnify and hold the City harmless from any actions of the MHOA in the maintenance of such areas. d. Submit and obtain approval of the City Engineer and Development Services Director of a list of all facilities and other items to be maintained by the proposed district or MHOA. Separate lists shall be submitted for the improvements and facilities to be maintained by the Open Space District or some other financing mechanism and those to be maintained by the MHOA. Include a description, quantity, and cost per year for the perpetual maintenance of said improvements. These lists shall include but are not limited to the following facilities and improvements: i. All facilities located on open space lots to include but not be limited to: walls, fences, water fountains, lighting structures, paths, trails, access roads, drainage structures, and landscaping. Each open space lot shall also be broken down by the number of acres of: 1) turf, 2) irrigated, and 3) non-irrigated open space to aid in estimation of a maintenance budget thereof. ii. The proportional share of the maintenance costs of any medians and parkways along the applicable roadways as identified in the PFFP adjoining the development as determined by the City Engineer. iii. All water quality basins serving the Project. 2014-12-02 Agenda Packet Page 643 Resolution No. 2014- Page 14 30. The Applicant agrees to not protest formation or inclusion in a maintenance district or zone for the maintenance of landscaped medians, and scenic corridors along streets, within or adjacent to the subject subdivision. 31. Applicant shall fund 25 percent of the cost to design and construct the pedestrian bridge proposed to be located over Hunte Parkway between Village Ten and Village 11 to the satisfaction of the Development Services Director. 32. The Applicant shall submit a detailed wall/fencing plan with the Design Review Site Plan submittal for each planning area showing that all project walls and fences comply with the approved SPA Plan Village Design Plan, Landscape Master Plan, and other applicable City of Chula Vista requirements, to the Development Services Director for approval. Plans shall indicate color, materials, height and location of freestanding walls, retaining walls, and fences. The plan shall also include details such as accurate dimensions, complete cross-sections showing required walls, adjacent grading, landscaping, and sidewalk improvements. 33. Prior to the approval of the first Final Map for the SPA Plan, the applicant shall annex the project area into Otay Ranch Preserve Community Facilities District No. 97-2, Improvement Area"C." 34. Prior to recordation of each Final Map the applicant shall convey fee title to land within the Otay Ranch Preserve to the Otay Ranch Preserve Owner Manager or its designee at a ratio of 1.188 acres for each acre of development area, as defined in the Otay Ranch Resource Management Plan. Access to the conveyed property for maintenance purposes shall also be provide to the satisfaction of the Preserve Owner Manager. 35. Prior to construction of Regional Bus Rapid Transit and/or Rapid Bus transit stations in Village Ten, as depicted on the Village 10 SPA Plan, Conceptual Public Transportation Plan, Exhibit 21, the Applicant shall obtain approval of improvement plans to the satisfaction of SANDAG,MTS, and the Development Services Director. 36. Prior to issuance of the first building permit or other discretionary permits for mixed use, multi-family, or non-residential developments within the project site, the Applicant shall comply with applicable provisions of Municipal Code Section 8.24 - Solid Waste and Litter, and Section 8.25 — Recycling, related to development projects, to the satisfaction of the Department of Public Works, Environmental Services Division. These requirements include, but are not limited to the following design requirements: a. The Applicant shall design mixed-use, multi-family, and commercial development projects to comply with the Recycling and Solid Waste Standards for central collection bin services. b. The Applicant shall design each single-family lot or residence to accommodate the storage and curbside pickup of individual trash, recycling and green waste containers (3 total), as approved for a small-quantity generator (single family residential use). 37. Prior to recordation of each Final B Map, all CFD slope and open space areas shall be designated as individual lots on said final map to the satisfaction of the Development Services Director. 2014-12-02 Agenda Packet Page 644 Resolution No. 2014- Page 15 38. Prior to the approval of the first Final Map, the Applicant shall demonstrate that any mitigation land to be conveyed to the City subject to a Former Used Defense Site ("FUDS") designation does not contain munitions debris or any such munitions debris has been remediated to the satisfaction of the Development Services Director, or, the Applicant may provide mitigation property without a FUDS designation within the Otay Ranch Preserve of an equivalent size in a condition acceptable to the Development Services Director. 39. Prior to the first Final Map, Applicant shall provide a letter, if required by the Development Services Director and to the satisfaction of the Development Services Director,from the City of San Diego stating that: a. The relocated City of San Diego water lines, as shown on the Village 10 Tentative Map (CVT 13-04), are acceptable (including the proposed fill over the existing lines); b. All access roads are of an acceptable alignment, grade and surface; and c. All access roads have long term maintenance provisions acceptable to the City of San Diego. 40. Prior to approval of the first Final Map for the Project, the Applicant shall provide the City with a Village 10 Subarea Master Plan (SAMP) for potable, recycled, and fire flow water, as approved by Otay Water District(OWD). Applicant shall agree to participate in the pro rata share of the potable and recycled water facilities costs to satisfaction of the Development Services Director. 41. Prior to approval of the first Final A Map, the Applicant shall amend the Village Nine SPA Plan to reflect the revised boundary between Village Nine boundary and Village Ten boundary subject to approval of the Director of Development Services. 42. The Applicant shall process a joint use agreement between the City of Chula Vista and City of San Diego for the new City of San Diego waterline for any right-of-way dedication depicted on any Final Map that includes the future relocated City of San Diego waterline, . 43. Prior to the first Final Map Applicant shall cause all unplottable easements to be quitclaimed. 44. Prior to the construction of Eastlake Parkway/University Drive Applicant shall meet and confer with the City regarding the City's anticipated schedule for grading the university site. If the timing of the grading of the university site near the area of the proposed pumping of the storm drain system, as shown on the Village Ten TM (CVT 13-04), occurs more than one calendar year before University grading is planned to occur, as determined by the City Engineer, Applicant shall install a storm drain under University Drive so that no pumping of storm water is needed. 45. Prior to each Final Map approval Applicant shall provide letters of permission to grade all off-site parcels (including slopes, roads, utilities, etc.) necessary to support each Final Map independently. 2014-12-02 Agenda Packet Page 645 Resolution No. 2014- Page 16 46. Prior to each Final Map approval, Applicant shall provide proof that all offsite right of way, drainage, sewerage and water facilities have approved and bonded improvement plans necessary to connect said Final Map to existing facilities to the satisfaction of the Development Services Director and City Engineer. In the case of two separate property owners utilizing the same plans and bonds of said improvement plans and or rights-of- ways, both property owners shall provide proof in a written agreement to; process plans, construct from the same set of plans, process as-builts, complete punch list items, and have the same bond company listing them both as principal, all to the satisfaction of the Development Services Director and City Engineer. Public Park Maintenance: 47. Prior to approval of the First Final B Map the Applicant shall obtain approval of the Landscape Master Plan for the Project. Said Landscape Master Plan shall include the identification of a maintenance entity for public neighborhood and community parks to the satisfaction of the Development Services Director. 48. Prior to the issuance of land development permits, including clearing or grubbing and grading and/or construction permits for the water quality/detention basins located in the Preserve area south of the Village 10 SPA Plan development area, the Applicant shall prepare and submit a landscape plan and access control plan (e.g., fencing and signage) to ensure that the proposed facilities have been designed to retain the existing pre- development biological function of the area, to the maximum extent practicable. The existing pre-development condition provides foraging opportunities for raptors and an unimpeded wildlife corridor connecting Otay River Valley to Salt Creek Canyon. The landscape plan shall include native plant species complementary to the surrounding Preserve areas and incorporate a program for routine maintenance of the basins following construction. The maintenance program shall describe, at a minimum, the entity responsible for controlling invasive species, the maintenance activities and methods required to control invasive species, and a maintenance/monitoring schedule. This condition shall be to the satisfaction of the Otay Ranch Preserve Steward/Biologist (or designated Chula Vista POM joint staff representative) and the Development Services Director(or their designee). 49. "Prior to approval of the first Final Map for Village Ten, the Applicant shall obtain approval of a Land Exchange Agreement (or equivalent agreement) between the Applicant, the City of Chula Vista and/or the owner of those lots designated as all or portions of R-1, R-7, R-8, R-13, R-14, R-19a, R-19b, CPF-4 and OS-2, as applicable and as determined by the Development Services Director, to ensure transfer of those lots to the Applicant or its designee. The Land Exchange Agreement is subject to approval of the Chula Vista City Council. In the event that the Applicant is unable to obtain approval of a Land Exchange Agreement prior to approval of the first Final Map, then the Applicant may seek approval of a Final Map substantially in conformance with the Village 10 Deferral Plan depicted on the Village 10 Tentative Map, CVT 13-04, Sheet 4a. 2014-12-02 Agenda Packet Page 646 City of Chula Vista CTY CHUILAVISTA Staff Report File#: 14-0597, Item#: 13. CONSIDERATION OF APPROVING AMENDMENTS TO TWO DEVELOPMENT AGREEMENTS PURSUANT TO THE LAND OFFER AGREEMENT BETWEEN THE CITY AND SSBT LCRE V, LLC A. ORDINANCE OF THE CITY OF CHULA VISTA APPROVING A FIRST AMENDMENT TO THE RESTATED AND AMENDED PRE-ANNEXATION DEVELOPMENT AGREEMENT BETWEEN SSBT LCRE V, LLC AND THE CITY OF CHULA VISTA (FORMER SNMB DEVELOPMENT AGREEMENT) (FIRST READING) B. ORDINANCE OF THE CITY OF CHULA VISTA APPROVING A FIRST AMENDMENT TO THE RESTATED AND AMENDED PRE-ANNEXATION DEVELOPMENT AGREEMENT BETWEEN SSBT LCRE V, LLC AND THE CITY OF CHULA VISTA (FORMER JEWELS OF CHARITY DEVELOPMENT AGREEMENT) (FIRST READING) RECOMMENDED ACTION Council conduct the public hearing and place the ordinances on first reading. SUMMARY The applicant, SSBT LCRE V, LLC (SSBT), entered into a Land Offer Agreement (LOA) with the City of Chula Vista on July 8, 2014. One of the provisions of the LOA, as given in Exhibit K of the LOA (Attachment 1 of this report), was to amend the existing development agreements for the project. Action on this item completes the City's obligations under the LOA. ENVIRONMENTAL REVIEW The Development Services Director has reviewed the proposed project for compliance with the California Environmental Quality Act (CEQA) and has determined that the proposed project was adequately covered in Final Environmental Impacts Report (EIR-13-01). Thus, no further environmental review or documentation is required. BOARD/COMMISSION RECOMMENDATION Planning Commission recommended City Council adopt ordinance for first reading. DISCUSSION In 1997, the City of Chula Vista entered into two Amended and Restated Pre-Annexation Development Agreements (one with Jewels of Charity and one with SNMB, LTD.). Together, the two agreements encompass the properties for which entitlements are currently being sought. The agreements provided certain assurances to the City, while providing the owners with certainty in the planning process for the Otay Ranch (See Attachments 4 and 5). The original term of the agreements was 20 years. With the breakup in ownership of properties in the Otay Ranch beginning in the late 1990's, SSBT acquired title to several large parcels that were subject to the agreements. Since City of Chula Vista Page 1 of 3 Printed on 11/26/2014 2014-12-02 Agenda Packet powered by Leg age 647 File#: 14-0597, Item#: 13. development agreements "run with the land", SSBT became a party to the agreements for their portions of property within the original agreements. On May 20, 2008, the City of Chula Vista entered into a LOA with JJJ&K Investment Two, LLC et al. that would allow the City of Chula Vista to accept Irrevocable Offers of Dedication (IODs) for 160 acres of University/Regional Technology Park land if certain entitlements are approved within the agreed upon timeframes. On August 17, 2010, the City Council approved a resolution authorizing the Mayor to enter into an agreement that superseded the first LOA. The superseded LOA specifically excluded the Village 4 property from the provisions of the 2008 agreement because the owner no longer owned the Village 4 property. On July 8, 2014, the City Council approved a Restated and Amended LOA that further modified the 2010 LOA to reflect a modified land plan related to the geographic areas of Villages Three North and a Portion of Four, Eight East, and Ten. Entitlements, in the form of Sectional Planning Area (SPA) Plans and Tentative Maps (TMs) for SSBT Villages 3 North and a Portion of Four, Eight East, and Ten are the subject of tonight's meeting as well. Exhibit K of the LOA, stipulated certain amendments to the Development Agreement that needed to be approved in order to assume the benefits described above. These amendments are presented for action in this report and are summarized below. As directed by the approved LOA, the proposed amendments (See Attachments 2 and 3) to the previous Agreements are minor in nature and would make the following five required changes: • Increase the term of the Agreement for an additional 20 years; • Increase the period of time that TMs and Permits are valid for a period of time equal to the term of the Agreements; • Clarify the applicability of the City's Growth Management Ordinance on the project; • Stipulate that the parties agree to the modifications, as may be applicable, to the Existing Project Approvals that were approved by the City in the form of the Villages Three North and a Portion of Four, Eight East, and Ten SPA Plans and TMs; and • Clarify Section 7.5 as it relates to reimbursement for the oversizing of facilities; DECISION-MAKER CONFLICT Staff has reviewed the property holdings of the City Council and has found no property holdings within 500 feet of the boundaries of the property which is the subject of this action. Staff is not independently aware, and has not been informed by any councilmember, of any other fact that may constitute a basis for a decision maker conflict of interest in this matter. LINK TO STRATEGIC GOALS The City's Strategic Plan has five major goals: Operational Excellence, Economic Vitality, Healthy Community, Strong and Secure Neighborhoods and a Connected Community. This project supports the Economic Vitality goal, particularly City Initiative 2.1 .3 (Promote and support development of quality master-planned communities) as it relates to development within portions of the Otay Ranch. These amendments will also allow the City the opportunity to accept lands for the University Park and Innovation District, as agreed to in the LOA between the City and SSBT, which will provide access to City of Chula Vista Page 2 of 3 Printed on 11/26/2014 istar 2014-12-02 Agenda Packet powered by Leg age 648 File#: 14-0597, Item#: 13. higher education for the citizens of Chula Vista and south bay. CURRENT YEAR FISCAL IMPACT The current fiscal year is anticipated to be -$33,500 based on the fiscal impact analysis. This analysis assumed that 200 homes would be built in the first year. The proposed $120 per unit "fiscal fee" paid by the developer would bring this deficit down to $24,000. ONGOING FISCAL IMPACT The project has negative fiscal impacts for 9 of the first 10 years which are offset by the $120 per unit "fiscal fee." Ongoing fiscal impacts after year 10 are positive. ATTACHMENTS 1 . Exhibit K from the July 8, 2014 Land Offer Agreement between the City of Chula Vista and SSBT. 2. Proposed Amendment to Amended and Restated Pre-Annexation Development Agreement (Jewels of Charity) 3. Proposed Amendment to Amended and Restated Pre-Annexation Development Agreement (SNMB, LTD) 4. Restated and Amended Pre-Annexation Development Agreement with Jewels of Charity dated May 12, 1997. 5. Restated and Amended Pre-Annexation Development Agreement with SNMB, LTD dated May 12, 1997. Staff Contact: Joe Gamble, Project Manager City of Chula Vista Page 3 of 3 Printed on 11/26/2014 istar 2014-12-02 Agenda Packet powered by Leg age 649 ORDINANCE NO. ORDINANCE OF THE CITY OF CHULA VISTA APPROVING A FIRST AMENDMENT TO THE RESTATED AND AMENDED PRE-ANNEXATION DEVELOPMENT AGREEMENT BETWEEN SSBT LCRE V, LLC AND THE CITY OF CHULA VISTA (FORMER SNMB DEVELOPMENT AGREEMENT) WHEREAS, on or about March 18, 1997, City and SNMB, LTD entered into that certain Amended and Restated Pre-Annexation Development Agreement (Development Agreement) as approved by the City of Chula Vista by Ordinance No. 2700; and WHEREAS, on July 8, 2014 the City Council approved a Land Offer Agreement (LOA) between SSBT LCRE V, LLC and the City of Chula Vista that contemplated certain amendments to the Development Agreement, with said LOA being recorded in the San Diego County Recorder's Office on July 29, 2014, as Document No. 2014-0319703; and WHEREAS, the property which is the subject matter of this Ordinance is identified in that certain First Amendment to Restated and Amended Pre-Annexation Development Agreement(First Amendment) and commonly known as a portion of Planning Area 20 and Otay Ranch Villages 3, 8 East and 10 (the"Property"); and WHEREAS, that certain amendment to the Development Agreement was a component of the Entitlements described in the LOA, attached hereto as Exhibit K; and WHEREAS, the City's Development Services Director has reviewed the Project for compliance with the California Environmental Quality Act (CEQA) and determined that the project was adequately covered in Final Environmental Impact Report (EIR-13-01). Thus, no further environmental review or documentation is required; and WHEREAS, the Planning Commission set the time and place for a hearing on said First Amendment and notice of said hearing, together with its purpose,was given by its publication in a newspaper of general circulation in the City and its mailing to property owners within 500 feet of the exterior boundaries of the project site at least ten days prior to the hearing; and WHEREAS, the hearing was held at the time and place as advertised, namely 6:00 p.m. November 19, 2014, in the Council Chambers, 276 Fourth Avenue, and the Planning Commission voted thereon; and WHEREAS, on December 2, 2014, a duly noticed public hearing was scheduled before the City Council of the City of Chula Vista to consider adopting the Ordinance to approve the First Amendment between the City of Chula Vista and SSBT LCRE V, LLC; and WHEREAS, City staff has reviewed the First Amendment and determined it to be consistent with the Otay Ranch General Development Plan and the City's General Plan. 2014-12-02 Agenda Packet Page 650 Ordinance No. Page 2 NOW, THEREFORE, THE CITY COUNCIL of the City of Chula Vista does hereby order and ordain as follows: L PLANNING COMMISSION RECORD The proceedings and all evidence introduced before the Planning Commission at their public hearing held on November 19, 2014, and the minutes and resolutions resulting therefrom, are hereby incorporated into the record of this proceeding. These documents, along with any documents submitted to the decision makers, shall comprise the entire record of the proceedings for any CEQA claims. IL COMPLIANCE WITH CEQA The City Council hereby finds that the adoption of the Ordinance approving the First Amendment would have no new effects that were not examined in said Final EIR. III. CONSISTENCY WITH GENERAL PLAN AND OTAY RANCH GENERAL DEVELOPMENT PLAN The City Council finds that the proposed First Amendment is consistent with the City's General Plan and Otay Ranch General Development Plan (GDP). The First Amendment implements the General Plan and GDP by providing for facilities and development that are consistent with the General Plan and GDP. IV. ACTION The City Council hereby adopts an Ordinance approving the First Amendment between SSBT LCRE V, LLC and the City of Chula Vista in the form presented, with such modifications as may be required or approved by the City Attorney, a copy of which shall be kept on file in the Office of the City Clerk, finding said First Amendment between SSBT LCRE V, LLC and the City of Chula Vista consistent with the California Government Code, adopted City policies, the General Plan, and the GDP, which shall include amendment to the following provisions thereto: 1. Term. The following language shall be added after the phrase "twenty (20) years" and before the phrase "(the term)" in the fourth sentence of Section 3 of the Development Agreement: "from , 2014, the date upon which the City may accept the Offers of Dedication in Sections 3.3 of that certain "Land Offer Agreement" by and between the City and SSBT LCRE V, LLC, a Delaware limited liability company, approved by the City Council on or about July 8, 2014." 2. Tentative Map/Permit Duration. Section 6.2 of the existing Development Agreement, entitled "Length of Validity of Tentative Subdivision Maps," is hereby deleted in its entirety and replaced with the following: "6.2 Tentative Map/Permit Duration." Pursuant to California Government Code section 66452.6, any tentative subdivision map, parcel map or other map authorized 2014-12-02 Agenda Packet Page 651 Ordinance No. Page 3 by the State Subdivision Map Act that is approved for the Project shall remain valid for a period of time equal to a term of this Agreement. In addition, notwithstanding any condition or provision to the contrary, every permit and approval for the Project other than ministerial approvals shall remain valid for a period of time equal to "the term of this Agreement." 3. Growth Management. The second full paragraph of Section 5.2 appearing at page 8 of the existing Development Agreement, entitled "Development of Property," which begins "Notwithstanding the foregoing," shall be deleted in its entirety and replaced with the following: "Notwithstanding any provision of this Agreement to the contrary, the City's Growth Management program, as set forth in the Growth Management Element of the City General Plan, applicable to the Project shall be those in effect on the date the City approves the Land Offer Agreement referenced in Section 3 hereof" 4. Modifications to Existing Project Approvals. The following sentence shall be added to the end of Section 5.2.3 of the existing Development Agreement: "The parties agree that they accept the modifications to the Existing Project Approvals approved by the City Council on , 2014." 5. Reimbursement. At the end of the first sentence of Section 7.5 of the existing Development Agreement, entitled "Facilities Which are the Obligations of Another Party, or are of Excessive Size, Capacity, Length or Number," a new sentence shall be inserted as follows: "City shall not require such monies or improvements unless City provides reasonable assurance of funding or reimbursement in accordance with State law and/or the City's ordinances." 6. Owner. Owner is the successor to the rights and obligations of Jewels of Charity and SNMB under the respective Development Agreements. The addresses for notices to Owner in Section 16.3 of the Development Agreement are changed to: SSBT LCRE V. LLC c/o State Street Bank and Trust One Lincoln Street(SFC9) Boston, MA 02111-2900 Attention: Q. Sophie Yang and Paul J. Selian Facsimile No: (617) 664-3555 with a copy to: SSBT LCRE V. LLC c/o State Street Bank and Trust One Lincoln Street(SFC9) Boston,MA 02111-2900 2014-12-02 Agenda Packet Page 652 Ordinance No. Page 4 Attention: Al Uluatam, Senior Counsel Facsimile: (617) 664 4747 And a copy to; Bingham McCutchen Three Embarcadero Center San Francisco, CA 94111-4067 Attention: Edward S. Merrill Facsimile: (415) 262-9228 7. No Further Modification. Except as set forth in this First Amendment to Restated and Amended Pre-Annexation Development Agreements, all of the terms and provisions of the Development Agreement shall remain unmodified and in full force and effect. V. SEVERABILITY If any portion of this Ordinance, or its application to any person or circumstance, is for any reason held to be invalid, unenforceable or unconstitutional, by a court of competent jurisdiction, that portion shall be deemed severable, and such invalidity, unenforceability or unconstitutionality shall not affect the validity or enforceability of the remaining portions of the Ordinance, or its application to any other person or circumstance. The City Council of the City of Chula Vista hereby declares that it would have adopted each section, sentence, clause or phrase of this Ordinance, irrespective of the fact that any one or more other sections, sentences, clauses or phrases of the Ordinance be declared invalid, unenforceable or unconstitutional. VI. CONSTRUCTION The City Council of the City of Chula Vista intends this Ordinance to supplement, not to duplicate or contradict, applicable state and federal law and this Ordinance shall be construed in light of that intent. VII. EFFECTIVE DATE This Ordinance shall take effect and be in full force on the thirtieth day from and after its adoption. VIII. PUBLICATION The City Clerk shall certify to the passage and adoption of this Ordinance and shall cause the same to be published or posted according to law. Presented by: Approved as to form by: 2014-12-02 Agenda Packet Page 653 Ordinance No. Page 5 Kelly Broughton, FASLA Glen R. Googins Development Services Director City Attorney 2014-12-02 Agenda Packet Page 654 ORDINANCE NO. ORDINANCE OF THE CITY OF CHULA VISTA APPROVING A FIRST AMENDMENT TO THE RESTATED AND AMENDED PRE-ANNEXATION DEVELOPMENT AGREEMENT BETWEEN SSBT LCRE V, LLC AND THE CITY OF CHULA VISTA (FORMER JEWELS OF CHARITY DEVELOPMENT AGREEMENT) WHEREAS, on or about March 18, 1997, City and Jewels of Charity entered into that certain Amended and Restated Pre-Annexation Development Agreement (Development Agreement) as approved by the City of Chula Vista by Ordinance No. 2701; and WHEREAS, on July 8, 2014 the City Council approved a Land Offer Agreement (LOA) between SSBT LCRE V, LLC and the City of Chula Vista that contemplated certain amendments to the Development Agreement, with said LOA being recorded in the San Diego County Recorder's Office on July 29, 2014, as Document No. 2014-0319703; and WHEREAS, the property which is the subject matter of this Ordinance is identified in that certain First Amendment to Restated and Amended Pre-Annexation Development Agreement(First Amendment) and commonly known as a portion of Planning Area 20 and Otay Ranch Villages 3, 8 East and 10 (the"Property"); and WHEREAS, that certain amendment to the Development Agreement was a component of the Entitlements described in the LOA, attached hereto as Exhibit K; and WHEREAS, the City's Development Services Director has reviewed the Project for compliance with the California Environmental Quality Act (CEQA) and determined that the project was adequately covered in Final Environmental Impact Report (EIR-13-01). Thus, no further environmental review or documentation is required; and WHEREAS, the Planning Commission set the time and place for a hearing on said First Amendment and notice of said hearing, together with its purpose,was given by its publication in a newspaper of general circulation in the City and its mailing to property owners within 500 feet of the exterior boundaries of the project site at least ten days prior to the hearing; and WHEREAS, the hearing was held at the time and place as advertised, namely 6:00 p.m. November 19, 2014, in the Council Chambers, 276 Fourth Avenue, and the Planning Commission voted thereon; and WHEREAS, on December 2, 2014, a duly noticed public hearing was scheduled before the City Council of the City of Chula Vista to consider adopting the Ordinance to approve the First Amendment between the City of Chula Vista and SSBT LCRE V, LLC; and WHEREAS, City staff has reviewed the First Amendment and determined it to be consistent with the Otay Ranch General Development Plan and the City's General Plan. 2014-12-02 Agenda Packet Page 655 Ordinance No. Page 2 NOW, THEREFORE, THE CITY COUNCIL of the City of Chula Vista does hereby order and ordain as follows: L PLANNING COMMISSION RECORD The proceedings and all evidence introduced before the Planning Commission at their public hearing held on November 19, 2014, and the minutes and resolutions resulting therefrom, are hereby incorporated into the record of this proceeding. These documents, along with any documents submitted to the decision makers, shall comprise the entire record of the proceedings for any CEQA claims. IL COMPLIANCE WITH CEQA The City Council hereby finds that the adoption of the Ordinance approving the First Amendment would have no new effects that were not examined in said Final EIR. III. CONSISTENCY WITH GENERAL PLAN AND OTAY RANCH GENERAL DEVELOPMENT PLAN The City Council finds that the proposed First Amendment is consistent with the City's General Plan and Otay Ranch General Development Plan (GDP). The First Amendment implements the General Plan and GDP by providing for facilities and development that are consistent with the General Plan and GDP. IV. ACTION The City Council hereby adopts an Ordinance approving the First Amendment between SSBT LCRE V, LLC and the City of Chula Vista in the form presented, with such modifications as may be required or approved by the City Attorney, a copy of which shall be kept on file in the Office of the City Clerk, finding said First Amendment between SSBT LCRE V, LLC and the City of Chula Vista consistent with the California Government Code, adopted City policies, the General Plan, and the GDP, which shall include amendment to the following provisions thereto: 1. Term. The following language shall be added after the phrase "twenty (20) years" and before the phrase "(the term)" in the fourth sentence of Section 3 of the Development Agreement: "from , 2014, the date upon which the City may accept the Offers of Dedication in Sections 3.3 of that certain "Land Offer Agreement" by and between the City and SSBT LCRE V, LLC, a Delaware limited liability company, approved by the City Council on or about July 8, 2014." 2. Tentative Map/Permit Duration. Section 6.2 of the existing Development Agreement, entitled "Length of Validity of Tentative Subdivision Maps," is hereby deleted in its entirety and replaced with the following: "6.2 Tentative Map/Permit Duration." Pursuant to California Government Code section 66452.6, any tentative subdivision map, parcel map or other map authorized 2014-12-02 Agenda Packet Page 656 Ordinance No. Page 3 by the State Subdivision Map Act that is approved for the Project shall remain valid for a period of time equal to a term of this Agreement. In addition, notwithstanding any condition or provision to the contrary, every permit and approval for the Project other than ministerial approvals shall remain valid for a period of time equal to "the term of this Agreement." 3. Growth Management. The second full paragraph of Section 5.2 appearing at page 8 of the existing Development Agreement, entitled "Development of Property," which begins "Notwithstanding the foregoing," shall be deleted in its entirety and replaced with the following: "Notwithstanding any provision of this Agreement to the contrary, the City's Growth Management program, as set forth in the Growth Management Element of the City General Plan, applicable to the Project shall be those in effect on the date the City approves the Land Offer Agreement referenced in Section 3 hereof" 4. Modifications to Existing Project Approvals. The following sentence shall be added to the end of Section 5.2.3 of the existing Development Agreement: "The parties agree that they accept the modifications to the Existing Project Approvals approved by the City Council on , 2014." 5. Reimbursement. At the end of the first sentence of Section 7.5 of the existing Development Agreement, entitled "Facilities Which are the Obligations of Another Party, or are of Excessive Size, Capacity, Length or Number," a new sentence shall be inserted as follows: "City shall not require such monies or improvements unless City provides reasonable assurance of funding or reimbursement in accordance with State law and/or the City's ordinances." 6. Owner. Owner is the successor to the rights and obligations of Jewels of Charity and SNMB under the respective Development Agreements. The addresses for notices to Owner in Section 16.3 of the Development Agreement are changed to: SSBT LCRE V. LLC c/o State Street Bank and Trust One Lincoln Street(SFC9) Boston, MA 02111-2900 Attention: Q. Sophie Yang and Paul J. Selian Facsimile No: (617) 664-3555 with a copy to: SSBT LCRE V. LLC c/o State Street Bank and Trust One Lincoln Street(SFC9) Boston,MA 02111-2900 2014-12-02 Agenda Packet Page 657 Ordinance No. Page 4 Attention: Al Uluatam, Senior Counsel Facsimile: (617) 664 4747 And a copy to; Bingham McCutchen Three Embarcadero Center San Francisco, CA 94111-4067 Attention: Edward S. Merrill Facsimile: (415) 262-9228 7. No Further Modification. Except as set forth in this First Amendment to Restated and Amended Pre-Annexation Development Agreements, all of the terms and provisions of the Development Agreement shall remain unmodified and in full force and effect. V. SEVERABILITY If any portion of this Ordinance, or its application to any person or circumstance, is for any reason held to be invalid, unenforceable or unconstitutional, by a court of competent jurisdiction, that portion shall be deemed severable, and such invalidity, unenforceability or unconstitutionality shall not affect the validity or enforceability of the remaining portions of the Ordinance, or its application to any other person or circumstance. The City Council of the City of Chula Vista hereby declares that it would have adopted each section, sentence, clause or phrase of this Ordinance, irrespective of the fact that any one or more other sections, sentences, clauses or phrases of the Ordinance be declared invalid, unenforceable or unconstitutional. VI. CONSTRUCTION The City Council of the City of Chula Vista intends this Ordinance to supplement, not to duplicate or contradict, applicable state and federal law and this Ordinance shall be construed in light of that intent. VII. EFFECTIVE DATE This Ordinance shall take effect and be in full force on the thirtieth day from and after its adoption. VIII. PUBLICATION The City Clerk shall certify to the passage and adoption of this Ordinance and shall cause the same to be published or posted according to law. Presented by: Approved as to form by: 2014-12-02 Agenda Packet Page 658 Ordinance No. Page 5 Kelly Broughton, FASLA Glen R. Googins Development Services Director City Attorney 2014-12-02 Agenda Packet Page 659 Attachment 1 EXHIBIT K DEVELOPMENT AGREEMENT PROVISIONS 1. Term. The following language shall be added after the phrase"twenty 20.years" and before the phrase"(the term)" in the fourth sentence of Section 3 of the existing Development Agreement: "from 20 date upon which the City may accept the Offers of Dedication in Sections 3.3 of that certain "Land Offer Agreement" by and between the City and OV Three Two, LLC; 333 & K Investments Two, LLC; and RR Quarry, LLC, approved by the City Council on 2008." 2. Tentative Map Permit Duration. Section .6.2 of the existing Development Agreement, entitled "Length of Validity of Tentative Subdivision Maps," is hereby deleted in its entirety and replaced with the following: "6.2 Tentative Map/Permit Duration. Pursuant to California Government Code section 66452.6, any tentative subdivision map, parcel map or other map authorized' by the State Subdivision Map Act that is approved for the Project shall remain valid- for a period of time equal to a term of this Agreement. In addition, notwithstanding any condition or provision to the contrary,every permit and approval for the Project other than ministerial approvals shall remain valid for a period of rime equal to the term of this Agreement." 3. Growth. The second. full paragraph of Section. 5.2 appearing at page 8 of the existing development Agreement entitled "Development of Property," which begins "Notwithstanding the foregoing," shall be deleted in its entirety and replaced with the following: "Notwithstanding any provision of this Agreement to the contrary, the City's Growth Management program, as set forth in the Growth Management Element.of the City's General Plan, applicable to the Project shall be those in effect on the date the City approves the Land Offer Agreement referenced in Section 3 hereof." 4. Modifications to Existing Project Approvals. The following sentence shall be added to the end of Section 5.2.3 of the existing Development Agreement: "The parties agree that they accept the modifications to the Existing Project Approvals approved by the City Council on ,20 ." 5. Reimbursement. At the end of the first sentence of Section 7.5 of the existing Development Agreement, entitled "Facilities Which are the Obligations of Another Party,-or are of Excessive Size, Capacity, Length or Number," a new sentence shall be inserted as follows: "City shall not require such monies or improvements unless City provides reasonable assurance of funding or reimbursement in accordance with State law and/or the City's ordinances." 2014-12-02 Agenda Packet Page 660 RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: CITY OF CHULA VISTA 276 Fourth Ave. Chula Vista, CA 91910 Attention: Citv Clerk (Space Above For Recorder's Use) FIRST AMENDMENT TO RESTATED AND AMENDED PRE-ANNEXATION DEVELOPMENT AGREEMENT This FIRST AMENDMENT TO RESTATED AND AMENDED PRE-ANNEXATION DEVELOPMENT AGREEMENT (First Amendment) is entered into and effective as of 2014, by and between SSBT LCRE V. LLC, a Delaware limited liability company (Owner) and the City of Chula Vista a political subdivision of the State of California (City). RECITALS A. On or about March 18, 1997: City and Jewels of Charity entered into that certain Amended and Restated Pre-Annexation Development Agreement (Development Agreement), as approved by the City of Chula Vista by Ordinance No. 2 70 1. attached hereto as "Exhibit I." B. On or about May 20. 2008. City and JJJB_K Investments Two. LLC: OV Three Two LLC_ and RR Quarry, LLC (referred to collectively as the "Previous Owners") entered into that certain Land Offer Agreement (LOA) recorded in the San Diego County Recorder's Office on June 19. 2008. as Document No. 2008-0329779 and subsequently amended on or about August 17. 2010. recorded in the San Diego County Recorder's Office on September 1, 2010. as Document No. 2010-0468263. Owner succeeded Previous Owners to the LOA and subsequently amendment the LOA a third time on or about July 8. 2014; recorded in the San Diego Count-,' Recorder's Office on Julv 29. 2014. as Document No. 2014-0319703. C. Owner has also succeeded Jewels of Charity as the owner of the property subject to the Development Agreement through various mesne conveyances. D. Citv and Owner wish to amend the Development Agreement in accordance with the terms and provisions of the LOA and record this First Amendment as set forth in the Legal Description attached hereto as "Exhibit 2." E. Unless otherwise defined herein. capitalized terms as used herein shall have the same meaning as given thereto in the Development Agreement. 2014-12-02 Agenda Packet Page 661 NOW, THEREFORE, in consideration of the above recitals and of the mutual covenants hereinafter contained and for other good and valuable consideration. the receipt and sufficiency of which is hereby acknowledged. Owner and City agree as follows: 1. Term. The following language shall be added after the phrase "twenty (20 years" and before the phrase "(the term)" in the fourth sentence of Section 3 of the Development Agreement: "from December 3, 2014, the date upon which the City may accept the Offers of Dedication in Sections 3.3 of that certain "Land Offer Agreement" by and between the Cite and SSBT LCRE V. LLC, a Delaware limited liability company. approved by the City Council on or about July 8, 2014." 2. Tentative Map/Permit Duration. Section 6.2 of the existing Development Agreement. entitled "Length of Validity of Tentative Subdivision Maps." is hereby deleted in its entirety and replaced Nvith the following: "6? Tentative Map/Permit Duration." Pursuant to California Government Code section 6642.6. any tentative subdivision map, parcel map or other map authorized by the State Subdivision Map Act that is approved for the Project shall.remain valid for a period of time equal to a term of this Agreement. In addition. not-withstanding any condition or provision to the contrary. every permit and approval for the Project other than ministerial approvals shall remain valid for a period of time equal to the term of this Agreement." 3. GroNNth Management. The second full paragraph of Section 5.2 of the existing Development Agreement, entitled "Development of Property," which begins "Notwithstanding the foregoing." shall be deleted in its entirety and replaced with the following: "Notwithstanding amr provision of this Agreement to the contrary. the City's Growth Management program. as set forth in the Gro A th Management Element of the City General Plan. applicable to the Project shall be those in effect on the date the City approves the Land Offer Agreement referenced in Section 3 hereof" 4. Modifications to Existing Project Approvals. The following sentence of the existing Development Agreement shall be added to the end of Section 5.23 of the existing Development Agreement: 4 "The parties agree that they accept the modifications to the ExistingProject Approvals approved by the City Council on December 2. 2014." 5. Reimbursement. At the end of the first sentence of Section-7.5 of the existing Development Agreement. entitled "Facilities W-hich are the Obligations of Another Party. or are of Excessive Size. Capacity. Length or Number," a new sentence shall be inserted as follows: 2014-12-02 Agenda Packet - Page 662 "Cite shall not require such monies or improvements unless City provides reasonable assurance of funding or reimbursement in accordance with State law and/or the Clvv's ordinances." 4 6. Owner. Owner is the successor to the rights and obligations of Jewels of Charity under the Development Agreement. The addresses for notices to Owner in Section 16.3 of the Development Agreement are chanced to: SSBT LCRE V. LLC c/o State Street Bank and Trust One Lincoln Street (SFC9) Boston. MA 02111-2900 Attention: Q. Sophie Yana and Paul J. Selian Facsimile-No: (617) 664-3555 with a cope to: SSBT LCRE V. LLC c/o State Street Bank and Trust One Lincoln Street (SFC9) Boston. MA 02111-2900 Attention: Al Uluatam, Senior Counsel Facsimile: (617) 664 4747 And a copy- to; Bingham McCutchen Three Embarcadero Center San Francisco, CA 94111-4067 Attention: Edward S. Merrill Facsimile: (41 S) 262-9228 6. No Further Modification. Except as set forth in this First Amendment, all of the terms and provisions of the Development Agreement shall remain unmodified and in full force and effect. [Remainder of page intentionally left blank] 2014-12-02 Agenda Packet Page 663 I?`` )WITNESS WHEREOF. this First Amendment to Restated and Amended Pre- Annexation Development Agreement has been executed as of the day and year first above written. CITY OF CHULA VISTA, a political SSBT LCRE V, LLC, subdivision of the State of California a Delaware limited liabilit"r compam By: Bv: SSBT LCRE HOLDCO_. LLC. a Delaware limited liability company. its sole member Bv: STATE STREET BANK AND TRUST COMPANY. a Massachusetts trust compan, Chervl Cox. Mavor its sole member BNr. r Attested Bv: Q. Sophie Vice President Donna Norris, City Clerk APPROVED AS TO FORM: Glen R. Googins, City Attornev l-lAttornei lINtichaelShlLandOEierAgus DAUPB-DA-AMeadmentOAISSBTAmendmenlTo3ew elsDA-11 4 14-FMAL dcea 2014-12-02 Agenda Packet Page 664 EXHIBIT LIST EXHIBIT I AMENNDED AID;D RESTATED PRE-AN-NEXAT1ON DEVELOPMENT AGREEMENT BETWEEN CITY OF CHULA VISTA AND JEWELS OF CHARITY EXHIBIT 2 LEGAL DESCRIPTION 2014-12-02 Agenda Packet Page 665 EXHIBIT l AMENDED AND RESTATED PRE-ANN=EXATION DEVELOPMENT AGREEMENT BETNVEEN CITY OF CHULA VISTA AND JEVdELS OF CHARIT)' -6- 2014-12-02 Agenda Packet Page 666 ORDINANCE NO. 2701 AN ORDINANCE OF THE CITY OF CHULA VISTA ADOPTING THE RESTATED AND AMENDED PRE-ANNEXATION DEVELOPMENT AGREEMENT WITH JEWELS OF CHARITY WHEREAS, on August 6, 1996, the City Council approved Ordinance 2687 on first reading, which adopted the Pre-Annexation Development Agreement between the City of Chula Vista and Jewels of Charity ("Previously Negotiated Agreement"); and WHEREAS, the Previously Negotiated Agreement was not executed by Jewels of Charity so no second reading of the ordinance was held and therefore no agreement is currently in existence; and WHEREAS, there is now a mutual desire by the City and Jewels of Charity to restate and amend the Previously Negotiated Agreement in order for the Previously Negotiated Agreement to become effective ("Restated Agreement"); and WHEREAS, on February 19, 1 997, the Planning Commission reviewed the Restated Agreement and voted to approve same. NOW, THEREFORE, the City Council of the City of Chula Vista ordains as follows: SECTION I: The City Council does hereby adopt, amend and restate the Restated and Amended Pre-Annexation Development Agreement with Jewels of Charity on file in the office Of the City Clerk as Document No. C097-015. SECTION II: The Mayor of the City of Chula Vista is hereby authorized and directed to execute said Restated Agreement for and on behalf of the City of Chula Vista- SECTION III: This ordinance shall take effect and be of full force on the effective date of annexation as set forth in the Restated Agreement, Document No. C097-015. Presented by Approved as to form by George rem #itAttorney Kaheny Deputy City Manager 2014-12-02 Agenda Packet Page 667 AMENDED AND RESTATED PRE-ANNEXATION DEVELOPMENT AGREEMENT THIS AMENDED AND RESTATED PRE-ANNEXATION DEVELOPMENT AGREEMENT ("Agreement") is made effective on the date hereinafter set forth below by and among the CITY OF CHULA VISTA ("City") and JEWELS OF CHARITY ("Jewels")., who agree as follows: 1. RECITALS. This Agreement is made with respect to the following facts: 1. 1 Owner. The owners of the properties subject to this Agreement (hereinafter collectively referred to as "Owner" or as "Developer") are as follows: 1. 1. 1 Jewels is the owner of approximately 475 acres of undeveloped real property ("the Jewels Property") in the unincorporated area of the County, described in Exhibits "A" and "C", attached hereto and incorporated herein by this reference. Portions of Jewels Property are located in Villages 9 and 10 of the Otay Ranch Property. 1. 1 . 2 Jewels (the "Property") is part of a larger area commonly known, and referred to herein, as "the Otay Valley Parcel of Otay Ranch. " 1. 2 City. The City of Chula Vista is a municipal corporation with Charter City powers incorporated within the County. 1. 3 Code Authorization and Ac'- wledcments. 1. 3 . 1 City is authorized pursuant to -its charter, self-rule powers and California Government Code sections 65864 through 65869. 5 to enter into development agreements for the purpose of establishing certainty for both City and owners of real property in the development process. 1. 3 . 2 Government Code section 65865 expressly authorizes a city to enter into a development agreement with any person having a legal or equitable interest in real property in unincorporated territory within that cityls sphere of .influence for the development of property as provided in the Development Agreement Law; provided that the agreement shall not become operative unless annexation proceedings annexing the property to the city are completed within the time specified by the agreement. 1 . 3 . 3 City enters into this Agreement pursuant to the provisions of the California Government Code, its home- rule powers, and applicable City ordinances, rules, regula- tions and policies. 2014-12-02 Agenda Packet —1 �1 O l 'a'ge 668 1. 3 . 4 City and Owner intend to enter into this agreement for the following purposes: 1. 3 .4 . 1 To assure adequate public facilities at the time of development. 1. 3.4 . 2 To assure development in accordance with City's capital improvement plans. 1. 3.4 .3 To provide certainty to Owner in the development approval process by vesting the permitted use(s) , density, intensity of use, and the timing and phasing of development as described in the Development Plan, which is defined in Paragraph 2. 4 of this Agree- ment, in exchange for Owner's entering into this Agree- ment and for its commitment to support the Annexation described below. 1. 3 .4 .4 To permit achievement of City growth management goals and objectives. 1.3 .4 .5 To allow City to realize significant economic, recreational, park, open space, social, and public facilities benefits for the City, some of which are of regional significance. 1. 3 . 4 . 6 To provide and assure that the City receive sales tax revenues, increase in the property tax base, residential housing and other development, sewer, water and street facilities. 1. 3 .4 .7 To provide and assure that the -City receives public facilities- in excess of project generated impacts and such facilities shall be of supplemental size, number capacity or length, which shall be provided earlier than could be provided either by funds from the City or than would strictly be necessary to mitigate project related impacts at any development phase. 1. 3 .4. 8 To provide the City the developer's support to secure annexation of the lands depicted in Exhibit "B" . 1. 3 . 4 . 9 To enable the City to secure title to the land within the boundaries of the Property necessary to complete the- Chula Vista greenbelt system as defined in the Chula Vista General Plan. 1. 3 .4 . 10 Because of the complexities of the financing of the infrastructure, park, open space, and other dedications, and regional and community facilities, and the significant nature of such facilities, certainty in the development process is an absolute necessity. The phasing, timing, and development of public infrastructure necessitate a significant commitment of resources, planning, and effort by Owner for the public facilities financing, construction, and dedication to be success- fully completed. In return for Owner's participation and 2014-12-02 Agenda Packet —2— Page 669 commitment to these significant contributions of private resources for public purposes and for Owner's consent to the Annexation described below, city is willing to exercise its authority to enter into this Agreement and to make a commitment of certainty for the development process for the Property. 1. 3 .4 . 11 Inconsideration of owner's agreement to provide the significant benefits and for Owner's consent to the Annexation described below, City hereby grants Owner assurances that it can proceed with develop- ment of the Property in accordance with City's ordinances, rules, regulations, and policies existing as of the effective date of this Agreement subject to section 5. 2 . 1 below. Owner would not enter into this Agreement or agree to provide the public benefits and improvements described in this Agreement if it were not for the commitment of City that the Property subject to this Agreement can be developed in accordance with city's ordinances, rules, regulations, and policies existing as of the effective date of this Agreement subject to Section 5. 2 . 1 below. 1. 4 The Annexation. on July 1, 1996, the Local Agency Formation Commission ("LAFCO") approved annexation of Sphere of Influence Planning Area 1 "The Otay Parcel", -Planning Area 2 "Inverted L" and the Mary Patrick Estate Parcel (see Attachment "B") . 1. 5 Sphere of Influence. On February 5, 1996 and July 1, 1996 the Local Agency Formation Commission approved the inclusion of Planning Area 1, "The "Otay Parcel", into the City Sphere of Influence (Sphere of Influence Planning Area 1 "the Otay Parcel" , Planning Area 2 "Inverted L" and the Mary Patrick Estate Parcel - see Attachment "B") . 1. 6 Planning Documents. On October 28, 1993, City.-and County adopted the Otay Ranch General Development Plan/5ubregional Plan ("the GDP") which includes the Otay Ranch Village Phasing Plan, Facility Implementation Plan, Resource Management Plan and Service Revenue Plan, for approximately 23 , 000 acres of the Otay Ranch, including the Otay Valley- Parcel and the Jewels property. 1. 7 Owner Consent. City desires to have the cooperation and consent of Owner to include the Property in the Annexation in order to better plan, finance, constrllC4 and maintain `he infra- structure for the otay Valley Parcel; and Jewels desires to give their cooperation and consent'. , provi-d-ed th3L they obtain regain LJ IA t, ziV:"I the effective date oL Annexation. 2014-12-02 Agenda Packet -3- Page 670 2 . DEFINITIONS. In this Agreement, unless the context otherwise requires: 2 . 1 "Annexation" means the proposed annexation of that portion of the Otay Ranch into the City as depicted on Exhibit "B" . 2. 2 "City" means the City of Chula Vista, in the County of San Diego, State of California. 2 . 3 "County" means the County of San Diego, ' State of California. 2 .4 "Development Plan" means the GDP. 2 .5 "GDP" means the General Development Plan/Subregional Plan for the Otay Ranch, described in Paragraph 1. 6, above. 2. 6 "Owner" or "Developer" means the person, persons, or entity having a legal and equitable interest in the Property, or parts thereof, and includes Owner's successors-in-interest. 2 . 7 "Project" means the physical development of the private and public improvements on the Property as provided for in the Existing Project Approvals and as may be authorized by the City in Future Discretionary Approvals. 2 . 8 "Property" means the real property described in Paragraph 1. 1. 1. 2 . 9 The "Term" of this Agreement means the period defined in Paragraph 3 , below. 2 . 10 "Builder" means developer to whom; Developer has sold or conveyed property within the Property for purposes of its improvement for residential, commercial, industrial or other use. 2. 21 f'CEQA" means the California Environmental Quality Act, California Public Resources Code section 21000, et seq. 2. 12 "City Council" means the City of Chula Vista City Council. 2 . 13 "Commit" or "Committed" means all of the following requirements have .-been met with respect to any public facility: 2 . 13 . 1 For a public facility within the City's jurisdictional boundaries and a responsibility of the develop- er. 2 . 13 . 1. 1 All discretionary permits required of the Developer have been obtained for construction of the public facility; 2 . 13 . 1. 2 Plans for the construction of the public facility have all the necessary governmental approvals; and 2014-12-02 Agenda Packet —4— Page 671 2 . 13 . 1. 3 Adequate funds (i. e. , letters of credit, cash deposits, performance bands or land secured public financing, including facility benefit assessments, Mello-Roos assessment districts of similar assessment mechanism) are available such that the City can construct the public facility if construction has not commenced within thirty (30) days of issuance of a notice to proceed by the Director of Public Works, or construction is not progressing towards completion in a reasonable manner as reasonably deemed by the Director of Public Works. 2. 13 . 2 For a public facility within the City's jurisdictional boundaries, but to be provided by other than Developer. 2 . 13 . 2 . 1 Developer's proportionate share of the cost of such public facility as defined in the existing Project Approvals and Future. Discretionary Approvals has been provided or assured by Developer through the payment or impositions of development impact fee or other similar exaction mechanism. 2 . 13. 3 For public facility not within City's jurisdictional boundaries: 2 . 13 . 3 . 1 Developer's proportionate share of the cost of such public facility as defined in the existing Project Approvals and Future Discretionary Approvals has been provided for or otherwise assured by Developer to the reasonable satisfaction of the Director of Public Works. 2: 14 "Development Impact Fee (DIF) " means fees imposed upon new development pursuant to the City of Chula Vista Development Impact Fee Program, for example, including but not limited to the Transportation Development Impact Fee Program;• the Interim SR-125 Development Impact Fee Program, the Salt Creek Sewer DIF and the Public Facilities DIF. 2 . 15 "Existing Project Approvals" means all discretionary approvals affecting the Project which have been approved or established in conjunction with, or preceding, the effective date consisting of, but not limited to the GDP, the Chula Vista General Plan, the otay Ranch Reserve Fund Program adopted pursuant to Resolution 18288, and the Phase I and II Resource Management Plan (RMP) , as may be amended from time to time consistent with this agreement. 2 . 16 "Final Map(s) " means any final subdivision map for all or any portion of the Property other than the Superblock Final Map ("A" Maps) . 2 . 17 "Future Discretionary Approvals" means all permits and approvals by the City granted after the effective date and excluding existing Project Approvals, including, but not limited to: (i) grading permits; (ii) site plan reviews; (iii) design guidelines and reviews; (iv) precise plan reviews;- (v) subdivisions 2014-12-02 Agenda Packet —5— Page 672 of the Property or re-subdivisions of the Property previously subdivided pursuant to the Subdivision Map Act; (vi) conditional use permits; (vii) variances; (viii) encroachment permits; (ix) Sectional Planning Area plans; (x) Preserve Conveyance Plan and (xi) all other reviews, permits, and approvals of any type which may be required from time to time to authorize public or private on- or off-site facilities which are a part of the Project. 2. 18 "Planning Commission" means the Planning Commission of the City of Chula Vista. 2 . 19 "Preserve Conveyance Plan" means a plan that will, when adopted, sets forth policies' and identify the schedule for transfer of land and/or fees to be paid to insure the orderly conveyance of the Otay Ranch land to the Preserve Owner Manager. The purpose of the plan is to fulfill the obligations to convey resource sensitive land, per the criteria contained in the phase I and II Resource Management Plans and to mitigate environmental impacts of the Otay Ranch Project. 2.20 "Public Facility" or "Public Facilities" means those public facilities described in the Otay Ranch Facility Implementation Plan. 2.21 "Subdivision Map Act" means the California Subdivision Map Act, Government Code section 66410, et seq. , and its amendments as may from time to time be adopted. 2.22 "Substantial Compliance" means that the party charged with the performance of a covenant herein has sufficiently followed the terms of this Agreement so as to carry out the intent of the parties in entering into this Agreement. 2 .23 "Threshold" means the facility thresholds set forth in the City's Municipal Code Section 19. 19 . 040. 3 . TERM. This -Agreement shall become effective as a development agreement upon- the' effective date of the Annexation ("the -Effective bate") ; provided, however, that if the Annexation does not occur on or before July 1,_ 19970 this-Agreement shall be null and void unless the annexation proceedings have been extended by LAFCO. I-f the annexation proceedings have been extended, this Agreement shall become effective upon the effective date of such Annexation; provided however, if the annexation does not occur by the end of such extension(s) , this Agreement shall become null and void. Any of the foregoing to the contrary notwithstanding, from the date of the first reading of the ordinance approving this Agreement, and unless or until this Agreement becomes null and void, Owner shall be bound by the terms of Paragraph 4 . The Term of this Agreement for purposes other than Paragraph 4 shall begin upon the Effective Date, and shall continue for a period of twenty (20) years ("the Term") . -The Term shall also be extended for any period of time during which issuance of building permits to Owner is suspended for any reason other than the- default of Owner, and for a period of time equal to the period of time during which any action by City or court action limits the processing of future discretionary approvals, issuance of building permits or any other development of the Property consistent with this Agreement. 2014-12-02 Agenda Packet —6— Page 673 4 . OWNER CONSENT TO ANNEXATION. Owner hereby consents to and shall cooperate with the applications of City to declare that the Otay Valley Parcel is within City's sphere of influence and to annex the otay Valley Parcel to the City; provided, however, that Owner may withdraw such consent and withhold further cooperation if the City, prior to the Effective Date, adopts rules, regulations, ordinances, policies, conditions, environmental regulations, phasing controls, exactions, entitlements, assessments or fees applicable to and governing development of the Property which are inconsistent with, or render impractical development of the Property according to, the Development Plan or the additional commitments of City set forth in Paragraphs 5.1. 1 through 5. 1. 5, below. Owner also agrees not to challenge the annexation of the Otay Valley Parcel into the City. 4 . 1 The Developer understands and agrees that this Agreement shall become effective and valid only upon the Effective Date of the annexation proceedings, as more fully described in paragraph 3 of this Agreement. Developer further understands that as a condition precedent to the completion of annexation proceedings-, and this Agreement becoming effective, certain property owners such as SNMB, Ltd. , are required to provide certain easements and subordination agreements satisfactory to the County. Developer agrees that the City's second reading of the Ordinance approving this Agreement shall not occur unless - and until said subordination agreements have been accepted by the County. No terms of this Agreement shall be subject to renegotiation between the first and second reading of the ordinance approving this Agreement except by mutual consent of the parties to this Agreement. 5. VESTED - RIGHTS. . Notwithstanding any future action or inaction of the City during *the term of ' this Agreement, whether such action is by ordinance, 'resolution or policy of the City, Owner and Developer shall have a vested right, except as may be r othewise provided in this Section 5, - to -construct the Project in accordance with: 5. 1 Existing Project Approvals, subject to the following requests for modifications, if approved by the City: 5. 1 . 1 If the interchange improvements at Otay Valley Road and I--805 are needed to - serve -the Project, the City will -hold appropriate hearings to consider an amendment to its - Transportation Phasing Plan (TPP) and Development Impact Fee (DIF) Program to-.include said improvements as may be deemed appropriate by the City to accommodate the project phasing. The City agrees to reasonably cooperate and work with CALTRANS to complete plans for said -interchange improve- ment. 5. 1.2 City shall initiate contact and diligently pursue discussions with the County of San Diego and the City of -San Diego to determine the number, scheduling and financing of the Otay River road and bridge crossings. 5. 1.3 City shall allow the owner for purposes of processing entitlements to proceed with planning of the 2014-12-02 Agenda Packet —7— Page 674 Property on a first come first served basis, with other properties in the area of the Annexation. In addition, if necessary the city shall, with proper environmental review, consider in its discretion an amendment to the Village Phasing Plan to facilitate the planning and development of the properties covered by this Agreement. 5. 1.4 To the extent any of the foregoing commitments of City are embodied in changes to the Development Plan or the rules, regulations, ordinances, policies, conditions, environmental regulations, phasing controls, exactions, entitlements, assessments, and fees applicable to and governing development of the Property, whether adopted before or after the Effective Date, such changes shall be deemed applicable to the Property without change to this Agreement. 5. 1. 5 City shall diligently process any amendments, applications, maps, or other development applica- tions. 5. 1. 6 City may make such modifications or amendments to the Existing Project Approvals/Future Discretionary Approvals, as may be ordered by a court of competent jurisdiction, in an action in which the Developer is a party or has had an opportunity -to appear or has been provided notice of such action by the City. 5. 2 Development of Property. The development of the Property. will be governed by this Agreement and Existing Project Approvals and such development shall comply and be governed by all rules, regulations, policies, resolutions, ordinances, and standards in effect as of the Effective Date subject to the provisions of Section 5. 2 . 1 below. The City shall retain its discretionary authority as to Future Discretionary Approvals, provided however, such Future Discretionary Approvals shall be regulated by the Existing Project Approvals,, this Agreement, and City rules, regulations, standards, ordinances, resolutions and policies in effect on the Effective Date of this Agreement and subject to Section 5.2 . 1. Notwithstanding the foregoing, the City may make such- changes to the City's Growth Management Ordinance applicable to the Project as are reasonable and consistent with the purpose and intent of the existing Growth Management Ordinance and which are generally applicable to all private projects citywide or east of I-805 or within a specific benefit, fee or reimbursement district created pursuant to the California Government Code. 5. 2 . 1 New or Amended Rules, Regulations Policies Standards Ordinances and Resolutions. The City may apply to the Project, including Future Discretionary Approv- als, new or amended rules, laws, regulations, policies, ordinances, resolutions and standards generally applicable to all private projects east of 1-805 or within a specific benefit fee or reimbursement district created pursuant to the -8- 2014-12-02 Agenda Packet Page 675 California Government Code. The application of such new rules, or amended laws, regulations, resolutions, policies, ordinances and standards will not unreasonably prevent or delay development of the Property to the uses, densities or intensities of development specified herein or as authorized by the Existing Project Approvals. The City may also apply changes in City laws, regulations, ordinances, standards or policies specifically mandated by changes in state or federal law in compliance with Section 13 . 3 herein. 5. 2 .2 Developer may elect with City's consent, to have applied to the project any rules, regulations, policies, ordinances or standards enacted after the date of this Agreement. Such an election has to be made in a manner consistent with Section 5. 2 of this Agreement. 5.2 . 3 Modifications to Existing _Project Approvals. It is contemplated by the parties to this Agreement that the City and Developer may mutually seek and agree to modifications to the Existing Project Approvals. Such modifications are contemplated as within the scope of this Agreement, and shall, -upon written acceptance by all parties, constitute for all purposes an Existing Project Approval. The parties agree that any such modifications may not constitute an amendment to this Agreement nor require an amendment to the Agreement. 5. 2 .4 Future Discretionary Approvals. It is contemplated by the parties to this Agreement that the City and Developer may agree to kuture Discretionary Approvals. The parties agree that any such Future Approvals may not consti- tute an amendment to this Agreement nor require an amendment to the Agreement. 5. 3 Dedication and Reservation of Land for Public Purposes. Except as expressly required by this Agreement or the Existing Project Approvals and Future Discretionary Approvals (excepting dedications required within the boundaries of any parcel created by the subsequent subdivision of the' Property as required by the Subdivision Map Act) , no dedication or reservation of real property within or outside the Property shall be required by City or Developer in conjunction with the Project. Any dedications and reservations of land imposed shall -be in accordance with Section 7. 2 and Section 7.8 herein. 5.4 Time for Construction and Completion of Project. Because the California Supreme Court held in Pardee construction Company v. City of Camarillo (1984) 27 Cal . 3d 465, that the failure of the parties to provide for the timing of development resulted in a later-adopted initiative restricting the timing of development to prevail over such parties' Agreement,, it is the intention of the parties to, this Agreement to- cure that deficiency by specifically acknowledging that timing and.phasing of development is completely and exclusively governed by the Existing Project Approvals, including the Chula Vista Growth Management ordinance. The purpose of the Chula Vista Growth Management Ordinance is -to l'control the timing and location of development by tying the pace of development to the provision of public facilities and improvements to conform -9-- 2014-12-02 Agenda Packet Page 676 to the City's threshold standards. " (Municipal Code Section 19. 09 . 01OA. 7) The findings in support of the Growth Management Ordinance conclude that the ordinance "does not affect the number of houses which may be built. " (Municipal Code Section 19 . 09 . 0108. 3) Therefore, the parties acknowledge that the Chula Vista Growth Management Ordinance completely occupies the topic of development timing and phasing and expressly precludes the adoption of housing caps, urban reserves or any other means by which the rate of development may be controlled or regulated. The City agrees that the Developer shall be entitled to, apply for and receive all permits necessary , for the development of property, consistent with the Growth Management Ordinance, Existing Project Approvals, Future Discretionary Approvals and this Agreement. 5. 5 Benefit of Vesting. Nothing in this Agreement will be construed as limiting or impairing Developer's vested right, if any, to proceed with the development and use of the Property pursuant to the Federal and State Constitutions, and pursuant to statutory and decisional law. 5. 6 vesting of Entitlements. All rights conferred by this Agreement vest with the Effective Date hereof. The approval of Future Discretionary approvals shall not be deemed to limit Developer's rights authorized by this Agreement, and once such approvals are obtained they shall be vested to the same extent as the Existing Project Approvals. 6. DEVELOPMENT PROGRAM. 6. 1 Processing of Future Discretionary Approvals. City will accept and diligently process development applications and requests for Future Discretionary Approvals, or other entitlements with respect to the development and use of the Property, provided said applications and requests are in accordance with this Agreement. City costs for processing work related to the Project, including hiring of additional City personnel 'and/or the retaining of professional consultants, will be reimbursed to City by Developer. 6. 2 Length of Validity of Tentative Subdivision Maps. Government Code Section 66452 . 6 provides that tentative subdivision map(s) may remain valid for a length up to the term of a Develop- ment Agreement. The City agrees that tentative subdivision map(s) for the property shall be for' a term of six . (6) years and may -be extended by the City Council for a period of time not to exceed a total of twenty (20) years and in no event beyond the term of this Agreement. 6. 3 Pre-Final Map Development. If Developer desires -to do certain work on the Property after approval of a tentative map (for example, grading) prior to the recordation of a final map, it may do so by obtaining a grading and/or other required approvals from the City which are authorized by the City prior to recordation of a final map. Such permit shall be issued to Developer, or its contractor, upon Developer's application., approval, and provided Developer posts a bond or other reasonably adequate security required by City in an amount to assure the rehabilitation of the -10- 2014-12-02 Agenda Packet Page 677 land if the applicable final map does not record. 6.4 Final Maps. 6. 4 . 1 "A" Maps and "B" Maps. If Developer so elects, the City shall accept and process a master subdivision or parcel map ("A" Map) showing "Super Block" lots and backbone street dedications. . "Super Block" lots shall be consistent with -the GDP and subsequent Sectional Plan Area plans, and shall not subdivide land into individual single- family lots. All "Super Blocks" created shall have access to dedicated public streets. The City shall not require improve- ment plans in order to record a final map for any "A" Map lots, but the City shall require bonding for the completion of backbone facilities prior to recording in an amount to be determined by the City. Following the approval by City of any final map for an "A" Map lot and its recordation, Developer may convey the "Super Block" lot. The buyer of a "Super Block" lot shall then process_ final improvement plans and grading plans and a final map- ("B" Map) for each "Super Block" lot which the City shall process. The "B" Maps shall be in substantial conformance with the related approved "A" Map. In the instance of the multi--family dwelling unit areas, a separate tentative subdivision map may be submitted to the City and the "B" Map(s) for these areas may be submitted to the City after the City Planning Commission approves said tentative subdivision map. 6. 4 . 2 Recordation of Final Subdivision Map in Name of Builder or Third Party. Developer may, if it so elects,_ convey to a Builder or third party any "super block" lot(s) shown on the recorded- Superblock Final Map. in such case, - the Builder or third party will (i) process any neces- sary final improvement and grading- plans and a final map for each such "super block" lot, which map City- shall accept and process as subsequent phases in a multi-phase project, . (ii) enter into a subdivision improvement agreement with City -with respect to the subdivision improvements which are required for such super block lot, and (iii) provide security and insurance satisfactory to City for the completion of the subdivision improvements. 6. 4 . 3 Recordation of Final Subdivision Map in Devely er's Name; Transfer of Obligations Under Subdivision Improvement Agreement(s) . If Developer so elects, it may defer the conveyance of any super block lot to a Builder or third party until after the final map of such super-block lot has been recorded. - If- Developer elects to proceed in this manner, it will enter into City's standard subdivision improvement agreement(s). - with City for the improvements required as a condition to the approval of such map(s) . Upon sale to a Builder or third party, if such Builder or third party assumes Developer's obligations under the improvement agreement and provides its own security and insurance for the completion of- the subdivision improvements as approved by the City, Developer shall be released from liability under the subdivision improvement agreement(s) and Developer's security shall be released. -11- 2014-12-02 Agenda Packet Page 678 6. 4 . 4 Transfer of Rights and Obligations of Development. whenever Developer conveys a portion of the Property, the rights and obligations of this Agreement- shall transfer in accordance with Section 15 herein. 7 . DEVELOPER'S OBLIGATIONS. 7. 1 Condition to Developer's Obligations to Dedicate, Fund or Construct Public Facilities. Developer agrees to develop or provide the public improvements, facilities, dedications, or reservations of land and satisfy other exactions conditioning the development of the Property which are set forth hereinbelow. The obligations of the Developer pursuant to this Agreement are conditioned upon: (i) the City not- being in default of its obliga- tions under this agreement; and (ii) the City not preventing or unreasonably delaying the development of the property; and (iii) the Agreement having not been suspended in response to changes in state or federal law; and (iv) the City's. obligations having not been suspended pursuant to section 13. 2 . 7.2 Dedications and Reservations of Land for Public Purposes The policies by which property will be required to be reserved, dedicated or improved for public purposes are identified in the Existing Project Approvals. A more precise delineation of the property to be preserved, dedicated or improved for public purposes shall occur as part of Future Discretionary Approvals, consistent with the Existing Project Approvals. 7 . 3 Growth Management ordinance. Developer shall commit the public facilities and City shall issue building permits as provided in this Section. The City shall have the right to withhold the issuance of building permits any time after the City reasonably determines a Threshold has been exceeded, unless and until the Developer has mitigated the deficiency in accordance with the City's Growth Management ordinance. Developer agrees that building permits may be withheld where the public facilities described in the Existing Project Approvals/- Future Discretionary Approvals required for a particular Threshold have not been committed. In the event a Threshold is not met and future building permit issuance may be withheld, the notice provisions and procedures contained in Section 19. 09 . 100C of the Municipal Code will be followed. In the event the issuance of building permits is suspended pursuant to the provisions herein, such suspension shall not constitute a breach of the terms of this Agreement by Developer or City. Furthermore, any such suspension which is not caused by the actions or omissions of the Developer, shall toll the term of this Agreement as provided for in -Section 16. 12 of this Agreement, and suspend the Developer's obligations pursuant to this Agreement. 7 . 3. 1 Required Condemnation. The City and Developer recognize that certain of the public facilities identified in the Existing Project Approvals/Future Discretionary Approvals and required to comply with a threshold are located on properties which neither the Developer nor the City has, or 2014-12-02 Agenda Packet —12— Page 679 will have, title to or control of_ The City shall identify such property or properties and at the time of filing of the final map commence timely negotiations or, where the property is within the City's jurisdiction, commence timely proceedings pursuant to Title 7 (commencing with § 1230. 010) of Part 3 of the Code of Civil Procedure to acquire an interest in the property or properties. Developer's share of the cost involved in any such acquisition shall be based on its proportionate share of the public facility as defined in the Existing Project Approvals/Future Discretionary Approvals. Nothing in this Agreement shall be deemed to preclude the City from requiring the Developer to pay the cost of acquiring such off-site land. For that portion of the cost beyond the Developer's fair share responsibility, the City shall take all reasonable steps to. establish a procedure whereby the develop- er is reimbursed for such costs beyond its fair share. 7.3 . 2 Information Regarding Thresholds. Upon Developer's written requests of the City Manager, the City will provide Developer with information regarding the current status of a Threshold. Developer shall be responsible for any staff costs incurred in providing said written response. 7 .4 Improvements Re fired bv a Subdivision Map. As may be required pursuant to the terms of a subdivision map, it shall be the responsibility of Developer_ to construct the improvements required by a subdivision map. Where Developer is required to construct a* public improvement which has been identified as the responsibility of another party' vr .to provide public improvements of supplemental size, capacity, number or length benefiting property not within the subdivision, _ city shall. process a reim- bursement agreement to the Developer iri accordance with Article 6 of Chapter 4 of the Subdivision Map Act, commencing with Government Code section- 66485, and Section 7. 5, below. 7 .5 Facilities Which Are the Obligations of Another Party, or Are of Excessive Size ' Capacity , Length or Number. Developer may offer to advance monies and/or construct - public improvements which are the responsibility of another land owner, or outside the City's jurisdictional boundaries, or which are of supplemental - size, capacity, number or length for the benefit of land not within the Property. city, where requesting such funding or construction of oversized public improvements, shall consider after a 'public hearing, .contemporaneous with -the imposition of the obligation, the formation of a reimbursement district, assessment district, facility benefit assessment, or reimbursement agreement or other reimbursement mechanism. 7 . 6 Pioneering of Facilities. To the extent Developer itself constructs (i.e. , "Pioneers") any public facilities or public improvements which are covered by a DIF Program, Developer shall be given a credit against DIFs otherwise payable, subject to the City's Director of Public -Works reasonable determination that such costs are allowable under the applicable DIF Program. It is specifically intended that Developer be given DIF credit for the DIF Program improvements it makes. The fact that such improvements may be financed by an assessment district or other financing 2014-12-02 Agenda Packet —13— Page 680 mechanism, shall not prevent DIF credit from being given to the extent that such costs are allowed under the applicable DIF Program 7 . 7 Insurance: Developer shall name City as additional insured for all insurance policies obtained by Developer for the Project as pertains to the Developer's activities and operation on the Project. 7. 8 Other Land owners. Developer hereby agrees to dedicate adequate rights-of-way within the boundaries of the Property for other land owners to "Pioneer" public facilities on the Property; provided, however, as follows: (i) dedications shall be restricted to those reasonably necessary for the construction of facilities identified in the City's adopted public facility plans; (ii) this provision shall not be binding on the successors-in- interest or assignees of Developer following recordation of the final "Super Block" or "A" Map; and (iii) the City shall use its reasonable best efforts to obtain agreements similar to this subsection from other developers and to obtain equitable reimburse- ment for Developer for any excess dedications. 8. DEVELOPMENT IMPACT FEES. 8. 1 Existing Development Impact Fee Program Payments. Developer shall pay to the City a DIF, or construct improvements in lieu of payment, for improvements which are conditions of a tentative subdivision map upon the issuance of building permits (s) , or at a later time as specified by City ordinance, the Subdivision Map Act, or Public Facility Financing Plan (PFFP) . The DIF will be in the amount in effect at the time payment is made and may only be increased pursuant to Section 8 . 6 herein. 8 . 2 Other Undeveloped Properties. The City will use its reasonable best efforts to - impose and collect, or cause the imposition and collection of, the same DIF program on all the undeveloped real properties which benefit from the provision of the public facility through the DIF program, or provided as a condition of Project Approvals. 8. 3 Use of Develo Pment Impact Fee Program. The DIF amounts paid to the City by Developer and others with respect to the Area of Benefit shall be . placed by the City in a capital facility fund account established pursuant to California Government Code sections 66000-66009 . The City shall expend such funds only for the Projects described in the adopted fee program as may be modified from time to time. The City will use its reasonable best efforts to cause such Projects to be completed as soon as practica- ble; however, the City shall not be obligated to' use its general funds for such Projects. 8 . 4 Withholding of Permits. Developer agrees that City shall have the right to withhold issuance of the building permit for any structure or improvement on the Property unless and until the DIF is paid for such structure or improvement. 8 . 5 Develo meet Impact Fee Credit. Upon the completion and acceptance by the City of any public- facility, the City shall immediately credit Developer with the appropriate amount of cash 2014-12-02 Agenda Packet —14— Page 681 credits ("EDUs") as determined by Developer and City. However, if the improvements are paid for through an Assessment District, the City shall credit the Developer with the appropriate number of Equivalent Dwelling Unit Credits (EDU's) . Developer shall be entitled to apply any and all credits accrued pursuant to this subsection toward the required payment of future DIF for any phase, stage or increment of development of the Project. 6. 6 Modification of Development Impact Fees. The parties recognize that from time to time during. the duration of the Agreement it will be necessary for the City to update and modify its DIF fees. Such reasonable modifications are contemplated by the City and the Developer and shall not constitute a modification to the Agreement so long as: (i) the modification incorporates the reasonable costs of providing facilities identified in the Existing Project Approvals; (ii) are based upon methodologies in substantial compliance with the methodology contained in the existing DIF programs; or other methodology approved by the City Council following a public hearing; (iii) complies with the provisions of Government Code sections 66000-66009 . 8.7 standards for Financina obligations of Owner. In connection with the development of the Property, the following standards regarding the financing of public improvements shall apply: 8. 7. 1 Owner shall pay its fair share for the interchanges described . in Paragraph 5. 3. 1., based upon the number of dwelling units or equivalent dwellings of develop- ment allowed on the Property as compared to the total dwelling units or equivalent dwelling units allowed on properties served by such interchanges. 8 .7 .2 Owner- shall participate in the DIF Program for the. Otay Valley Parcel with other owners in proportion to the total dwelling units or equivalent dwelling units allowed on the - Property as compared with the total of such units allowed on properties in that particular DIF or by some other equitable methodology decided by the City Council. 8 . 7. 3 The City shall diligently pursue the requirements that the Eastern Territories' DIF requires offsite third parties and adjacent jurisdictions to bear their fair share of all otay River Valley crossings. 9. CITY OBLIGATIONS. 9. 1 Urban Infrastructure. To the extent it- is within the authority of the City to provide, City shall accommodate urban infrastructure to the project, consistent with Existing Project Approvals. . where it is necessary to utilize City property to provide urban infrastructure consistent with the Existing Project Approvals, the City agrees to make such land available for such uses, provided that the City if it so chooses is compensated at fair market value for . the property. To the extent that the provision of urban infrastructure is within the authority of another public or quasi-public agency or utility, " the City agrees to fully cooperate with such agency or agencies -to accommodate the 2014-12-02 Agenda Packet Page 682 urban infrastructure, consistent with Existing Project Approvals. Urban infrastructure shall include, but not be. limited to gas, electricity, telephone, cable and facilities identified in the Otay Ranch Facility Implementation Plan. 9. 2 Sewer Capacity. The City agrees to provide adequate sewer capacity for the project, upon the payment of ordinary and necessary sewer connection, capacity and/or service fees. 10. ANNUAL REVIEW. 10. 1 City and Owner Responsibilities. City will, at least every twelve (12) months during the Term of this Agreement, pursuant to California Government Code 565865.1, review the extent of good - faith substantial compliance by Owner with the terms of this Agreement. Pursuant to California Government Code section 65865. 1, as amended, Owner shall have the duty to demonstrate by substantial evidence its good faith compliance with the terms of this Agreement at the periodic review. Either City or Owner may address any requirement of the Agreement during the review. 10.2 Evidence. The parties recognize that this Agreement and the documents incorporated herein could be deemed to contain hundreds of requirements and that evidence of each and every requirement would- be a wasteful exercise of the parties' resources. Accordingly, Developer shall be deemed to have satisfied its good faith compliance when it presents evidence of substantial com- pliance with the major provisions of this Agreement. Generalized evidence or statements shall be accepted in the absence of any evidence that- such evidence is untrue. 10. 3 Review Letter. If. Owner- is found to be in com- pliance -with this Agreement after_ the annual review, City shall, within forty-five --(95) days after Owner's written request, issue a review letter in- recordable form to Owner ("Letter") stating that based upon information known or made- known to the Council, the City Planning -Commission - and/or the City Planning Director, -this Agreement remains in effect and Owner is not in default. Owner may record the Letter_ - in the Official Records of the County of San Diego. 10. 4 Failure of Periodic Review. City's failure' to review at least annually Owner's compliance with the terms and conditions of this Agreement shall not constitute, or be asserted by City or Owner as, a breach of the Agreement. 11. DEFAULT.- 11. 1 Events of Default. A default under this Agreement shall be deemed to have occurred upon the happening of one or more of the following events or conditions: 11. 1. 1 A warranty, representation or statement made or furnished by Owner to City is false or proves to have been false in any -material respect when it was made. 11. 1. 2 A finding and determination by City made following a periodic review under the procedure provided for 2014-12-02 Agenda Packet —16— Page 683 in California Government Code section 65865. 1 that upon the basis of substantial evidence Owner has not complied in good faith with one or more of the terms or conditions of this Agreement. . 11. 1. 3 City does not accept, timely review, or consider requested development permits or entitlements submitted in accordance with the provisions of this Agreement. 11. 1.4 Any other act or omission by City or Owner which materially interferes with the terms of this Agreement. 11. 2 Procedure Upon Default. 11. 2 . 1 Upon the occurrence of default by the other party, City or owner may terminate this Agreement after providing the other party thirty (30) days written notice specifying the nature of the alleged default and, when appropriate, the manner in which said default may be satis- factorily cured. After proper notice and expiration of said thirty (30) day cure period without cure, this Agreement may be terminated. In the event that City's or Owner's default is not subject to cure within the thirty (30) day period, City or Owner shall be deemed not to remain in default in the event that City or Owner commences to cure within such thirty (30) day period and diligently prosecutes such cure to completion. Failure or delay in giving notice of any default shall not constitute a waiver of any default, nor shall it change the time of default. Notwithstanding any other provision of this Agreement, City reserves the right to formulate and propose to Owner options for curing any defaults under this Agreement for which a cure is not specified in this Agreement. 11. 2. 2 City does not waive any claim of defect in performance by Owner if, on periodic review, City does not propose to -modify or terminate this Agreement. 11. 2. 3 Subject to Paragraph 16. 12 of this Agreement, the failure of a third person shall not excuse a party's nonperformance under this agreement. 11.2 .4 -Remedies Upon Default. In the event of a default by either party to this Agreement, the parties shall have the remedies of specific performance, mandamus, injunc- tion and other equitable remedies without having. to first prove there is an inadequate remedy at law. Neither party shall have the remedy of monetary damages against the other; provided, however, that the award of costs of litigation and attorneys' fees shall not constitute damage. 12 . ENCUMBRANCES AND RELEASES ON PROPERTY. 12 . 1 Discretion to Encumber. This Agreement shall not prevent or limit Owner in any manner at Owner's sole discretion, from encumbering the Property, or any portion of the Property, or any improvement on the Property, by any mortgage, deed of trust, or other security device -securing financing with respect to the Property or its improvement. 2014-12-02 Agenda Packet —17— Page 684 12 .2 Mortgagee- Rights and Obligations. The mortgagee of a mortgage or beneficiary of a deed of trust encumbering the Property, or any part thereof, . and their successors and assigns shall, upon written request to City, be entitled to receive from City written notification of any default by Owner of the performance of Owner's obligations under the Agreement which has not been cured within thirty (30) days following the date of default. 12 . 3 Releases. City agrees that upon written request of Owner and payment of all fees and performance of the require- ments and conditions required of Owner by this Agreement with respect to the Property, or any portion thereof, City may execute and deliver to Owner appropriate release(s) of further obligations imposed by this Agreement in form and substance acceptable to the San Diego County Recorder and title insurance company, if any, or as may otherwise be necessary to effect the release. City. Manager shall not unreasonably withhold approval of such release(s) . 12.4 Obligation to Modify. City acknowledges that the lenders providing financing for the Project may require certain modifications to this Agreement and City agrees, upon request from time to time, to meet with -Owner and/or representatives of such lenders to negotiate in good faith any such requirement for modification. City will not unreasonably withhold its consent to any such requested modification. 13 . MODIFICATION OR SUSPENSION. 13 . 1 Modification to Agreement by Mutual Consent. This Agreement may be modified_ , from time to time, by the mutual consent of the parties only in the same manner 'as its adoption by an ordinance as set forth in California Government Code sections 65867, 65867.5 and 65868. The term, "this Agreement" as used .in this Agreement, will include any such modification properly approved and executed. 13 .2 Unforeseen Health or Safety Circumstances. If, as a result of facts, events, or circumstances presently unknown, unforeseeable, and which could not have been known to the parties prior to the commencement of this Agreement, City finds that failure to suspend this Agreement would place the residents -of City in a severe and immediate emergency to their health or safety. 13. 2 . 1 Notification of Unforeseen Circumstances. Notify Developer of (i) City's determination; and (ii) the reasons for City's determination, and all facts upon which such reasons are based; 13 . 2 . 2 Notice of Hearing. Notify Developer in writing at least fourteen (14) days prior to the date, of the date, time and place of the hearing and forward to Developer a minimum of ten (10) days prior to the hearings described in Section 13 .2 . 3, all documents related to . such determination and reasons therefor; and 13 . 2. 3 Hearing. Hold a hearing on the deter- 2014-12-02 Agenda Packet _ 8_ Page 685 mination, at which hearing Developer will have the right to address the City Council. At the conclusion of said hearing, City may take action to suspend this Agreement as provided herein. The City may suspend this Agreement if, at the conclusion of said hearing, based upon the evidence presented by the parties, the City finds failure to suspend would place the residents of the City in a severe and immediate emergency to their health or safety. 13. 3 Change in State or Federal Law or Regulations. if any state or federal law or regulation enacted during the Term of this Agreement, or the action or inaction of any other affected governmental jurisdiction, precludes compliance with one or more provisions of this Agreement, or requires changes in plans, maps, or permits approved by City, the parties will act pursuant to Sections 13 . 3 . 1 and 13. 3 . 2, below. 13 . 3 . 1 Notice; Meeting. The party first becoming aware of such enactment or action or inaction will provide the other party(ies) with written notice of such state or federal law or- regulation and provide a copy of such law or regulation and a statement regarding its conflict with the provisions of this Agreement. The parties will promptly meet and confer in a good faith and reasonable attempt to modify or suspend this Agreement to comply with such federal or state law or regula- tion. 13. 3 . 2 Hearing. If an agreed upon modification or suspension would not require an amendment to this Agree- ment," no hearing shall be held: , Otherwise, the matter of such federal or -state" law or regulation will be scheduled for hearing before the City. Fifteen (15) days' written notice of such hearing shall be provided to Developer; and the City, at such ' hearing, will determine "and issue findings on the modification or suspension which is-'required- by such federal or state law -or regulation. " Developer, at the hearing, shall have the right to offer testimony and other evidence. If the parties fail to agree after said hearing, the matter may be submitted to mediation pursuant to subsection 13 . 3 .3, below. Any modification or suspension shall be taken by the affirma- tive vote of not less than a majority of the authorized voting members of the City. Any suspension or modification may be subject to judicial review in conformance with subsection 16. 19 of this Agreement. 13 . 3 . 3 Mediation of Disputes. In the event" the dispute between the parties with respect to the provisions of this paragraph has not been resolved to the satisfaction of both parties following the City hearing required by subsection 13 . 3 .2 , the matter shall be submitted to mediation prior to the filing of any legal action by any party. The mediation will be conducted by the San Diego Mediation Center; if San Diego Mediation Center is unable to conduct the mediation, the parties shall submit the dispute for mediation to the Judicial Arbitration and Mediation Service or similar organization and make a good faith effort to resolve the dispute. The cost of 2014-12-02 Agenda Packet -19- Page 686 any such mediation shall be divided equally between the Developer and City. 13 . 4 Natural_Communities Conservation Act (NCCP) . The parties recognize that Developer and the City are individually negotiating agreements with the United States Fish and Wildlife Service ("USF&W") and the California Department of Fish and Game pursuant to the ongoing regional effort to implement the Natural Communities Conservation Act ("NCCP") , locally proposed to be implemented through the_ Multi-Species Conservation Program ("MSCP") . The parties further recognize that implementation of the agreements may necessitate modification to the Existing . Project Approvals. The parties agree to utilize their best efforts to implement these agreements, once executed, through the timely processing of modifications to the Existing Project Approvals as they relate to the Property. The Developer agrees to pay the reasonable City cost for processing work related to the modifica- tions. Once such modifications are obtained they shall be vested to the same extent as Existing Project Approvals. 14 . DISTRICTS PUBLIC FINANCING MECFANISMS. This Agreement and the Existing Project Approvals recognize that assessment districts, community facility districts, or other public financing mechanisms, may be necessary to finance the cost of public improvements borne by this Project. If Developer, pursuant to the Existing Project Approvals/Future Discretionary Approvals, is required to install improvements through the use of assessment districts, community facility districts, or other public financing mechanisms, the City shall initiate and conclude appropriate proceedings for the formation of such financing district or funding mechanism, under applicable laws or ordinances. Developer may request that the City- utilize any other financing methods which- may become available under City laws or ordinances. All costs associated with- the consideration and formation of such financing districts or funding mechanisms shall be paid by Developer subject to reimbursement, as may be legally authorized out of the proceeds. of any financing district or funding mechanism. 15. ASSIGNMENT AND DELEGATION. 15. 1 Assignment_ Owner shall have the right to transfer or assign its interest in the Property, in whole or in part, to any persons, partnership, joint venture, firm, or corpora- tion at any time during the Term of this Agreement without the consent of City. Owner also shall have the right to assign or transfer all or any portion of its interest or rights under this Agreement to third parties acquiring an interest or estate in the Property at any time during the Term of this Agreement without the consent of City. 15.2 Delegation_ In addition, Owner shall have the right to delegate or transfer its obligations under this Agreement to third parties acquiring an interest or estate in the Property after receiving the prior written consent of the City Manager, which consent shall not be unreasonably with- held, delayed, or conditioned. once the City Manager has consented to a transfer, delivery to and acceptance by the 2014-12-02 Agenda Packet —20— Page 687 I City Manager of an unqualified written assumption of Owner's obligations under this Agreement by such transferee shall relieve Owner of the obligations under this Agreement to the extent the obligations have been expressly assumed by the transferee. Such transferee shall not be entitled to amend this Agreement without the written consent of the entity that, as of the Effective Date, is Owner, which consent shall not be unreasonably withheld, delayed, or conditioned. The entity that is Owner as of the Effective Date, however, shall be entitled to amend- this Agreement without the written consent of such transferee. 16. MISCELLANEOUS PROVISIONS. 16. 1 Binding Effect of Agreement. Except to the extent otherwise provided in this-Agreement, the burdens of this Agreement bind, and the benefits of this Agreement inure, to City's and Owner's successors-in-interest .and shall run with the land. 16. 2 Relationship of City and Owner. The contractual relationship between City and Owner arising out of this Agreement is one of independent contractor and not agency. This Agreement does not create any third-party beneficiary rights. 16. 3 Notices. All notices, demands, and correspondence required or permitted by this Agreement shall be in writing and delivered in person, or mailed by first-class or certified mail, postage prepaid, addressed as follows: If to City, to: City of Chula Vista .276 Fourth. -Avenue Chula *Vista, CA 91910 Attention: City Manager - If to Owner, to: Jewels of Charity, Inc. 705 Severn Road, Suite 1040 Wilmington; DE 19803 Attention: Patrick Patek With a Copy to: STEPHENSON, WORLEY, GARRATT SCHWARTZ, HEIDEL & PRAIRIE 101 West Broadway, Suite 1300 San Diego, CA 92101 Attention: Donald R. Worley, Esq. City or Owner may change its address by giving notice in writing to the other. Thereafter, notices, demands, and correspondence shall be addressed and transmitted to the new address. Notice shall be deemed given upon personal ' delivery, or, if mailed, two (2) business days following deposit in -the United States mail.. 16. 4 Rules of Construction. In this Agreement, the use of the singular includes the plural; the masculine gender includes the feminine; "shall" is mandatory; "may" is .permissive. 16.5 Entire Agreement, Waivers, and Recorded Statement. This Agreement constitutes the entire understanding and agreement 2014-12-02 Agenda Packet —21- Page 688 of City and Owner with respect to the matters set forth in this Agreement. This Agreement supersedes all negotiations or previous agreements between City and Owner respecting this Agreement. All waivers of the provisions of this Agreement must be in writing and signed by the appropriate authorities of City and Owner. Upon the completion of performance of this Agreement, or its revocation or termination, a statement evidencing completion, revocation, or termination signed by the appropriate agents of City shall be recorded in the Official Records of San Diego County, California. 16. 6 Project as a Private Undertaking. it is specifically understood by City and Owner that (i) the Project is a private development; (ii) City has no interest in or responsibilities for or duty to third parties concerning any improvements to the Property until City accepts the improvements pursuant to the provisions of the Agreement or in connection with subdivision map approvals; and (iii) owner shall have the full power and exclusive control of the Property subject to the obligations of Owner set forth in this Agreement. 16. 7 Incorporation of Recitals. The recitals set forth in Paragraph 1 of this Agreement are part of this Agreement. 16. 8 Ca tions. The captions of this Agreement are for convenience and reference only and shall not define, explain, modify, construe, limit, amplify, or aid in the interpretation, construction, or meaning of * any of the provisions of this Agreement. 16. 9 Consent. Where the consent or approval of City or Owner is required or necessary under this Agreement, the consent or approval shall not be unreasonably withheld, delayed, or con- ditioned. 16. 10 Covenant of Cooperation'. City and owner shall cooperate and deal with each -other in good faith, and assist each other in the performance of the provisions of this Agreement;— 16. 11 Recording. The City Clerk shall cause a copy of this Agreement to be recorded with the Office of. the County Recorder of San Diego County, California, . within ten (10) days following the Effective Date. 16, 12 Delay, Extension of Time for Performance. In addition to any specific provision of this Agreement, performance by either City ' or Owner of its obligations hereunder shall be excused, and the Term of this Agreement and the Development Plan extended, during any period of delay caused at any time by reason of any event' beyond the control of City or Owner which prevents or delays and -impacts City's or Owner's ability'to perform obligations under this Agreement, including, but not limited to, acts of God, enactment of new conflicting federal or state laws or regulations (example: listing of a species as threatened or - endangered) , judicial actions such as the issuance of restraining orders and injunctions, riots, strikes, or damage to work in process by reason of fire, floods, earthquake, or other such casualties. If City or Owner - seeks excuse from performance, it shall provide written notice of such delay to the other within thirty (30) days of the 2014-12-02 Agenda Packet —22— Page 689 commencement of such delay. If the delay pr default is beyond the control of City or Owner, and is excused, an extension of time for such cause will be granted in writing for the period of the enforced delay, or longer as may be mutually agreed upon. 16. 13 Covenant of Good _Faith and Fair Dealings. No party shall do anything which shall have the effect of harming or injuring the right of the other parties to receive the benefits of this Agreement; each party shall refrain from doing anything which would render its performance under this Agreement impos'si,ble; and each party shall do everything which this Agreement contemplates that such party shall do in order to accomplish the objectives and purposes of this Agreement. 16. 14 Opegating Memorandum. The parties acknowledge that the provisions of this Agreement require a close degree of cooperation between City and Developer, and that the refinements and further development of the Project may demonstrate that minor changes are appropriate with respect to the details of performance of the parties. The parties, therefore, retain a certain degree of flexibility with respect to those items covered in general under this Agreement. When and if the parties mutually find that minor changes or adjustments are necessary or appropriate, they may effectuate _changes or adjustments through operating memoranda approved by the parties. - For purposes of this section 16. 14, the City Manager, or his designee, shall have the authority to approve the operating memoranda on behalf of City. No operating memoranda shall require notice or hearing or constitute an amendment to this Agreement. 16:15 Time of Essence. Time is of the essence in the performance -of the provisions of this Agreement as to which time is an element. ' 16. 16 Amendment or Cancellation of A reement. This Agreement may be amended from time to time - or canceled by the mutual consent of City and owner only in the same manner as---its adoption, by an ordinance as set forth in California Government Code section 65868, and shall be in a form suitable for recording in the Official Records of San Diego County, California. The term "Agreement" shall include any such amendment properly approved and executed. City and owner acknowledge that the provisions of this Agreement require a close degree of cooperation between them, and that minor or insubstantial changes to the Project and the Development Plan may be required from time to time to accommodate design changes, engineering changes, and other refinements. Accordingly, changes to the Project and the Development Plan that do not result in a change in - use, an .increase in density or intensity of use, cause new or increased environmental impacts, or violate any applicable , health and safety regulations, may be considered minor or insubstantial by the City Manager and made without amending this Agreement. 16. 17 Estoppel Certificate. within 30 calendar days following a written request by any of the parties, the other parties to this Agreement shall execute and deliver to the requesting party a statement certifying that (i) this Agreement is unmodified and in full force and effect, or if there have been 2014-12-02 Agenda Packet —23— Page 690 modifications hereto, that this Agreement is in full- force and effect as modified and stating the date and nature of - such modifications; (ii) there are no known current uncured defaults under this Agreement, or specifying the dates and nature of any such default; and (iii) any other reasonable information requested. The failure to deliver such a statement within such time shall constitute a conclusive presumption against the party which fails to deliver such statement that this Agreement is in full force and effect without modification, except as may be represented by the requesting party, and that there are no uncured defaults in the performance of the requesting party, except as may be represented by the requesting party. 16. 18 Severability. If any material provision of this Agreement is held invalid, this Agreement will be automatically terminated with neither party bearing any liability hereunder. Notwithstanding the foregoing, within 15 days after such provision is held invalid, if the party holding rights under the invalidated provision affirms the balance of this Agreement in writing this Agreement shall not be terminated. This provision will not affect the right of the parties to modify or suspend this Agreement by mutual consent pursuant to Paragraph 12. 4 . 16. 19-Institution of Legal Proceeding. In addition to any other rights or remedies, any party may institute legal action to cure, correct, or remedy any default, to enforce any covenants or agreements herein, or to -enjoin any threatened or attempted violation thereof; to recover damages for any default as allowed by this Agreement or to obtain any remedies consistent with the purpose of this Agreement. . Such legal actions must be instituted in the Superior Court of the County of San- Diego, -State of California. 16. 20 Attorneys'- Fees and Costs. If any party commences litigation or other proceedings (including, without limitation, arbitration) for - the interpretation,_ reformation, enforcement, or rescission of this Agr.eement•, the prevailing party, as determined by the court, will be entitled to its reasonable attorneys' fees and costs. 16.21 Hold Harmless. Developer agrees to and shall hold city, its officers, agents, employees- and representatives harmless from liability for damage- or claims for damage for personal injury, including death, and claims for property damage which may arise from the direct or indirect - operations of Developer or those of its contractors, subcontractors, agents, employees or other persons acting on Developer's behalf which relate to the Project. Developer agrees to and shall defend City and its officers, agents, employees and representatives from actions for damage caused or alleged to have been caused by reason of. Developer's activities in connection with the Project. Developer agrees to indemnify, hold harmless, pay all costs and provide a defense for City in any legal action filed in a court of competent jurisdiction by a third party challenging the validity of this Agreement. The provisions of this Section 16.21 shall not apply to the extent such damage, liability- or claim is caused by the intentional or negligent act or omission of- City, its officers, agents, employees or representatives. 2014-12-02 Agenda Packet _24— Page 691 17 . AUTHORITY Each signatory and party hereto hereby warrants and represents to the other party that it has legal authority and capacity and direction from its principal to enter into this Agreement, and that all resolutions or other actions have been taken so as to enable it to enter into this Agreement. 2014-12-02 Agenda Packet Page 692 SIGNATURE PAGE ��TO PRE-ANNEXATION DEVELOPMENT AGREEMENT. Dated this rQf�day of 1997. "CITY" CITY OF CHULA VISTA By: SHI Y RTON, MAYOR "OWNER" JEWELS OF CHARITY PATRICK PATEK, P ESIDENT I hereby approve the form and legality of the foregoing Pre- Annexation Development Agreement this day of 1997 . John M. Kaheny, City Attorney By: Ann Moore Assistant City Attorney 2014-12-02 Agenda Packet Page 693 EXHIBIT A My vY - CHUTA VISTA PLANNING GfPART.MENT JEWELS OF CHARITY X10,96 2 14-12-02 Agenda Packet / 1 Pag 694 • r as a EXHIBIT -C- Pre-annexation Development Agreement Planning Area Assessor Ownership I Acreage Parcel Numbers Ota} Va.l Icy Par�xl 644-080-10 Jewels of Charirf 315.17 Otay Valley Parcel ( 644-040-03 Imels of Charity ]60.00 ( 475.171Total 2014-12-02 Agenda Packet ' i Page 696 s I I EXHIBIT 2 LEGAL DESCRIPTION PARCEL A LOTS 13 AND 14 OF OTAY RANCHO, IN THE CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 862, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY, FEBRUARY 7, 1900. EXCEPTING THEREFROM THAT PORTION OF LOT 13 OF OTAY RANCHO, IN THE CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 862, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY ON FEBRUARY 7, 1900, BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS: COMMENCING AT THE NORTHEAST CORNER OF SAID LOT 13; THENCE ALONG THE NORTHERLY LINE OF SAID LOT 13 SOUTH 71 057'57"WEST, 1107.50 FEET TO THE TRUE POINT OF BEGINNING; THENCE LEAVING SAID NORTHERLY LINE SOUTH 41°3334" EAST, 72.14 FEET; THENCE SOUTH 50 013'24" WEST, 315.59 FEET; THENCE SOUTH 42°51'05" WEST, 265.78 FEET; THENCE SOUTH 34 004'54" WEST, 732.68 FEET; THENCE SOUTH 46 025'40" WEST, 495.28 FEET TO A POINT ON THE WESTERLY LINE OF SAID LOT 13; THENCE ALONG SAID WESTERLY LINE NORTH 18°41'15"WEST, 846.72 FEET TO A POINT ON THE SOUTHERLY SIDELINE OF HUNTE PARKWAY DEDICATED PER DOCUMENT RECORDED DECEMBER 28, 2005 AS FILE NO. 2005- 1108989 OF OFFICIAL RECORDS;THENCE ALONG SAID SOUTHERLY SIDELINE NORTH 48°26'26" EAST, 15.92 FEET; THENCE SOUTH 84°47'30" EAST, 26.23 FEET TO THE BEGINNING OF A NON-TANGENT 2568.00 FOOT RADIUS CURVE CONCAVE NORTHEASTERLY, A RADIAL LINE TO SAID POINT BEARS SOUTH 51°5833" WEST; THENCE SOUTHEASTERLY ALONG THE ARC OF SAID CURVE THROUGH A CENTRAL ANGLE OF 00 018'11"A DISTANCE OF 14.09 FEET; THENCE NORTH 42 048'28" EAST, 145.84 FEET TO THE BEGINNING OF A NON-TANGENT 2424.00 FOOT RADIUS CURVE, CONCAVE NORTHEASTERLY, A RADIAL LINE TO SAID POINT BEARS SOUTH 52 011'32" WEST; THENCE NORTHWESTERLY ALONG THE ARC OF SAID CURVE THROUGH A CENTRAL ANGLE OF 00 014'22" A DISTANCE OF 10.13 FEET; THENCE NORTH 05°26'10" EAST, 24.55 FEET; THENCE NORTH 48°2626" EAST, 108.33 FEET TO A POINT ON SAID NORTHERLY LINE OF LOT 13; THENCE ALONG SAID NORTHERLY LINE NORTH 71°57'57" EAST, 1254.76 FEET TO THE TRUE POINT OF BEGINNING. ALSO EXCEPTING THEREFROM THAT PORTION OF LOT 14 OF OTAY RANCHO, CONVEYED BY SAN DIEGO LAND COMPANY TO THE SOUTHERN CALIFORNIA MOUNTAIN WATER COMPANY, BY DEED DATED APRIL 11, 1912 AND RECORDED JUNE 24, 1912 IN BOOK 570, PAGE 113 OF DEEDS. ALSO EXCEPTING THEREFROM THAT PORTION OF LOT 13 OF OTAY RANCHO, IN THE CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 862, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY ON FEBRUARY 7, 1900, BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS: BEGINNING AT THE NORTHEAST CORNER OF SAID LOT 13; THENCE ALONG THE EASTERLY LINE OF SAID LOT 13 SOUTH 18 041'55" EAST, 2833.88 FEET; THENCE LEAVING SAID EASTERLY LINE NORTH 50°58'25" WEST, 57.10 FEET; THENCE NORTH 32°18'24" WEST, 60.45 FEET; THENCE NORTH 19°52'25" WEST, 79.70 FEET; THENCE NORTH 10°31'35" WEST, 99.50 FEET; THENCE NORTH 05°10'36"WEST, -7- 2014-12-02 Agenda Packet Page 697 74.74 FEET; THENCE NORTH 07 056'58" WEST, 52.00 FEET TO THE BEGINNING OF A 40.00 FOOT RADIUS CURVE CONCAVE SOUTHWESTERLY; THENCE NORTHWESTERLY ALONG THE ARC OF SAID CURVE THROUGH A CENTRAL ANGLE OF 118°48'16"A DISTANCE OF 82.94 FEET; THENCE SOUTH 53 014'46"WEST, 26.00 FEET; THENCE SOUTH 51 105'52" WEST, 50.43 FEET; THENCE SOUTH 61 039'39" WEST, 90.22 FEET; THENCE SOUTH 48°31'20" WEST, 27.04 FEET; THENCE SOUTH 36 126'34" WEST, 91.97 FEET; THENCE SOUTH 78 1103'27" WEST, 87.62 FEET; THENCE NORTH 18 147'53" EAST, 89.81 FEET; THENCE NORTH 33 136'51"WEST, 328.04 FEET; THENCE NORTH 34008'47" WEST, 512.10 FEET; THENCE NORTH 84 046'10" WEST, 168.12 FEET TO THE BEGINNING OF A 510.00 FOOT RADIUS NON- TANGENT CURVE CONCAVE WESTERLY, A RADIAL LINE TO SAID POINT BEARS SOUTH 87°12'49" EAST, THENCE SOUTHERLY ALONG THE ARC OF SAID CURVE THROUGH A CENTRAL ANGLE OF 22 004'06" A DISTANCE OF 196.43 FEET; THENCE SOUTH 24°51'17"WEST, 2025.24 FEET TO THE BEGINNING OF A 480.00 FOOT RADIUS CURVE CONCAVE NORTHWESTERLY; THENCE SOUTHWESTERLY ALONG THE ARC OF SAID CURVE THROUGH A CENTRAL ANGLE OF 24 053'27"A DISTANCE OF 208.53 FEET; THENCE SOUTH 38 014'42" EAST, 13.01 FEET TO THE BEGINNING OF A 493.00 FOOT RADIUS NON-TANGENT CURVE CONCAVE NORTHWESTERLY, A RADIAL LINE TO SAID POINT BEARS SOUTH 40°12'05" EAST, THENCE SOUTHWESTERLY ALONG THE ARC OF SAID CURVE THROUGH A CENTRAL ANGLE OF 21 041'37"A DISTANCE OF 186.66 FEET; THENCE SOUTH 71 129'32"WEST, 65.94 FEET TO THE WESTERLY LINE OF SAID LOT 13; THENCE ALONG SAID WESTERLY LINE NORTH 18 141'14" WEST, 2371.85 FEET TO THE MOST SOUTHERLY CORNER OF THAT PARCEL OF LAND GRANTED TO THE CITY OF CHULA VISTA DESCRIBED IN DEED RECORDED JUNE 28, 2011 AS FILE NO. 2011-0326935 OF OFFICIAL RECORDS; THENCE LEAVING SAID WESTERLY LINE ALONG THE SOUTHEASTERLY LINE OF SAID PARCEL NORTH 46 025'40" EAST, 495.29 FEET;THENCE NORTH 34°04'54" EAST, 732.68 FEET; THENCE NORTH 42 051'05" EAST, 265.78 FEET; THENCE NORTH 50°13'24" EAST, 315.59 FEET; THENCE NORTH 41 033'34" WEST, 72.14 FEET TO THE NORTHERLY LINE OF SAID LOT 13; THENCE LEAVING SAID SOUTHEASTERLY LINE ALONG SAID NORTHERLY LINE NORTH 71 05755" EAST, 1107.50 FEET TO THE POINT OF BEGINNING. PARCEL B LOT 15 OF OTAY RANCHO, IN THE CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 862, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY, FEBRUARY 7, 1900. -8- 2014-12-02 Agenda Packet Page 698 RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO: CITY OF CHULA VISTA 276 Fourth Ave. Chula Vista, CA 91910 Attention: City Clerk (Space Above For Recorder's Use) FIRST AMENDMENT TO RESTATED AND AMENDED PRE-ANNEXATION DEVELOPMENT AGREEMENT This FIRST AMENDMENT TO RESTATED AND AMENDED PRE-ANINEXATION DEVELOPMENT AGREEMENT ("First Amendment') is entered into and effective as of . 2014; by and between SSBT LCRE V. LLC. a Delaware limited liability company (Owner) and the Citv of Chula Vista, a political subdivision of the State of California (City). RECITALS A. On or about March 18, 1997. City and SNMB. LTD entered into that certain Amended and Restated Pre-Annexation Development Agreement ("Development Agreement") as approved by the City of Chula Vista by Ordinance No. 2700. attached hereto as "Exhibit 1." B. On or about May 20. 2008. City and JJJR.K Investments Two, LLC. Three Two LLC: and RR Quan-y, LLC (referred to collectively as the "Previous Owners") entered into that certain Land Offer Agreement (LOA) recorded in the San Diego County Recorder's Office on June 19; 2008. as Document No. 2008-0329779 and subsequently amended on or about August 17, 2010. recorded in the San Diego County Recorder's Office on September 1. 2010. as Document No. 2010-0458263. Owner succeeded Previous 0,Aners to the LOA and subsequently amendment the LOA a third time on or about July 8. 2014. recorded in the San Diego County Recorder's Office on Julv 29. 2014. as Document No. 2014-0319703. 4 C. Owner has also succeeded SNMB. LTD as the owner of the property subject to the Development Agreement through various mesne conveyances. D. City and Owner wish to amend the Development Agreement in accordance with the terms and provisions of the LOA and record this First Amendment as set forth in the Lesal Description attached hereto as -Exhibit 2." E. Unless otherwise defined herein. capitalized terms as used herein shall have the same meaning as given thereto in the Development Agreement. 2014-12-02 Agenda Packet Page 699 NOW. THEREFORE. in consideration of the above recitals and of the mutual covenants hereinafter contained and for other good and valuable consideration. the receipt and sufficiency of which is hereby acknowledged, Owner and Cite agree as follows: 1. Term. The following language shall be added after the phrase "twenty (20 nears" and before the phrase "(the terra)" in the fourth sentence of Section 3 of the Development Agreement: "from December �, 2014, the date upon which the CAN, may accept the Offers of Dedication in Sections 3.3 of that certain "Land Offer Agreement" by and between the Cite and SSBT LCRE V. LLC. a Delaware limited liability company. approved by the City Council on or about July 8, 2014." 2. Tentative Ma /Permit Duration. Section 6.2 of the existina Development Agreement. entitled "Length of Validity of Tentative Subdivision Maps," is hereby deleted in its entirety and replaced with the following: "6? Tentative Map/Permit Duration." Pursuant to California Government Code section 66452.6, any tentative subdivision map, parcel map or other map authorized by the State Subdivision Map Act that is approved for the Project shall remain valid for a period of time equal to a term of this Agreement. In addition, notwithstanding any condition or provision to the contran•_ every permit and approval for the Project other than ministerial approvals shall remain valid for a period of time equal to the term of this Agreement." 3. Growth Management. The second full paragraph of Section 5.2 of the existing Development Agreement. entitled "Development of Property." which begins "Notwithstanding the foregoing." shall be deleted in its entirety and replaced with the following: "Notwithstanding anv provision of this Agreement to the contrary. the City's Growth Management program. as set forth in the GroNvth Management Element of the City General Plan, applicable to the Project shall be those in effect on the date the City approves the Land Offer Agreement referenced in Section 3 hereof" 4. Modifications to Existing Project Approvals. The following sentence of the existing Development Agreement shall be added to the end of Section 5.2.3 of the existing Development Agreement: "The parties agree that they accept the modifications to the Existing Project Approvals approved by the City Council on December 2, 2014." 5. Reimbursement. At the end of the first sentence of Section-7.5 of the existing Development Agreement. entitled "Facilities 'Which are the Obligations of Another Party. or are of Excessive Size, Capacity, Length or Number;" a new sentence shall be inserted as follows: 2014-12-02 Agenda Packet - Page 700 "City shall not require such monies or improvements unless City provides reasonable assurance of funding or reimbursement in accordance with State law and/or the Citv's ordinances." v 6. Owner. Owner is the successor to the rights and obligations of SNMB_. LTD under the Development Agreement. The addresses for notices to Owner in Section 16.3 of the Development Agreement are changed to: SSBT LCRE V. LLC c/o State Street Bank and Trust One Lincoln Street (SFC9) Boston. MA 02111-2900 Attention: Q. Sophie Yang and Paul J. Selian Facsimile No: (617) 664-3555 with a cope to: SSBT LCPE V. LLC c/o State Street Bank and Trust One Lincoln Street (SFC9) Boston. MA 02111-2900 Attention: Al Uluatam. Senior Counsel Facsimile: (617) 664 4747 And a copy to; BinL,ham McCutchen Three Embarcadero Center San Francisco. CA 94111-4067 Attention: Edward S. Merrill Facsimile: (415) 262-9228 7. No Further Modification. Except as set forth in this First Amendment, all of the terms and provisions of the Development Agreement shall remain unmodified and in full force and effect. [Remainder ofpage intentionally left blank] 2014-12-02 Agenda Packet Page 701 IN WITNESS WHEREOF. this First Amendment to Restated and Amended Pre- Annexation Development Agreement has been executed as of the day and year first above '"Titten. CITY" OF CHULA VISTA, a political SSBT LCRE V. LLC, subdivision of the State of California a Delaware limited liability compam Bv: By: SSBT LCRE HOLDCO. LLC. a Delaware limited liability company, its sole member By: STATE STREET BANK AND TRUST COMPANY. a Massachusetts trust companN, Cheryl Cox, Mayor its sole member Bv: A�� Attested By: . Sop i 'ang' Vice President Donna Norris- City Clerk APPROVED AS TO FORM: Glen R. Goo2ins, City Attorney J:l Attomev\K chae15h\lmdOffe;A ns1 DAV PB-DA-Amendmeutti DA1SSBTAmendmemYoSNMBDA-E 1.4.14-FINAL doe). -4- 2014-12-02 Agenda Packet Page 702 EXHIBIT LIST EXHIBIT 1 AMENDED AND RESTATED PRE-ANINEXATION DEVELOPMENT- AGREEMENT BETWEEN CITY OF CHULA VISTA AND SNN4B, LTD EXHIBIT 2 LEGAL DESCRIPTION AND PLAT 2014-12-02 Agenda Packet Page 703 EXHIBIT I A 4-EN'DED AND RESTATED PRE-ANINEXATION DEVELOPMENT AGREEMENT BETWEEN CITY OF CHULA VISTA AND SNMB, LTD. -6- 2014-12-02 Agenda Packet Page 704 ORDINANCE NO. 2700 AN ORDINANCE OF THE CITY OF CHULA VISTA ADOPTING THE - RESTATED AND AMENDED PRE-ANNEXATION DEVELOPMENT AGREEMENT WITH SNMB, LTD. WHEREAS, on August 6, 1996, the City Council approved Ordinance 2688 on first reading, which adopted the Pre-Annexation Development Agreement between the City of Chula Vista and SNMB, Ltd. ("Previously Negotiated Agreement"); and WHEREAS, the Previously Negotiated Agreement was not executed by SNMB, Ltd. so no second reading of the ordinance was held and therefore no agreement is currently in existence; and WHEREAS, there is now a mutual desire by the City and SNMB, Ltd. to restate and amend the Previously Negotiated Agreement in order for the Previously Negotiated Agreement to become effective ("Restated Agreement"); and WHEREAS, on February 19. 1997, the Planning Commission reviewed the Restated Agreement and voted to approve same. NOW, THEREFORE, the City Council of the City of Chula Vista ordains as follows: SECTION I: The City Council does hereby adopt, amend and restate the Restated and Amended Pre-Annexation Development Agreement with SNMB, Ltd. on file in the office of the City Clerk as Document No. C097-014. SECTION II: The Mayor of the City of Chula Vista is hereby authorized and directed to execute said Restated Agreement for and on behalf of the City of Chula Vista- SECTION Ili: This ordinance shall take effect and be of full force on the effective date of annexation'as set forth in the Restated Agreement, Document No. 0097-014. Presented by Approved as to form by -� eorge lkre l �� M. Kaheny Deputy City Manager City Attorney 2014-12-02 Agenda Packet Page 705 AMENDED AND RESTATED PRE-ANNEXATION DEVELOPMENT AGREEMENT THIS AMENDED AND RESTATED PRE-ANNEXATION DEVELOPMENT AGREEMENT ("Agreement") is made effective on -the date hereinafter set forth below by and among the CITY OF CHULA VISTA ("City") and SNMB, LTD. ("SNMB") , who agree as follows: I. RECITALS. This Agreement is made with respect to the following facts: 1. 1 Owner. The owners of the properties subject to this Agreement (hereinafter collectively referred to as "Owner" or as "Developer") are as follows. 1 . 1. 1 SNMB is the owner of approximately 1, 827 acres of undeveloped real property ("the SNMB Property") in the unincorporated area of the County of San Diego ("County") , described in Exhibits "A" and "E, attached hereto and incorpo- rated herein by this reference. 1. 1.2 The SNMB Property (the "Property") is part of a larger area commonly known, and referred to herein, as "the Otay Valley Parcel of Otay Ranch. " Portions of SNMB Property are located in Villages 2, 3 , 4 , 7, 8 , 9 and Planning Areas 12 and 18B of the Otay Ranch Property. 1. 2 j±y- The City of Chula Vista is a municipal corporation with Charter City powers incorporated within the County. 1. 3 Code Authorization and Acknowledgments. 1. 3 . 1 City is authorized pursuant to its charter, self-rule powers and California Government Code sections 65864 through 65869 .5 to enter into development agreements for the purpose of establishing certainty for both City and owners of real property in the development process. 1. 3 .2 Government Code section 65865 expressly authorizes a city to enter into a development agreement with any person having a legal or equitable interest in real property in unincorporated territory within that city's sphere of influence for the development of property as provided in the Development Agreement Law; provided that the agreement shall not become operative unless annexation proceedings annexing the property to the city are completed within the time specified by the agreement. 1. 3 . 3 City enters into this Agreement pursuant to the provisions of the California Government Code, its home- rule powers, and applicable City ordinances, rules, regula- tions and policies. 2014-12-02 Agenda Packet —1 Gv �,�0��/Page 706 1. 3 .4 City and Owner intend to enter into this agreement for the following purposes: 1. 3 . 4 . 1 To assure adequate public facilities at the time of development. 1. 3 . 4 .2 To assure development in accordance with City's capital improvement plans. 1. 3.4 . 3 To provide certainty to Owner in the development approval process by vesting the permitted use(s) , density, intensity of use, and the timing and phasing of development as described in the Development Plan, which is defined in Paragraph 2 .4 of this Agree- ment, in exchange for Owner's entering into this Agree- ment and for its commitment to support the Annexation described below. 1. 3 . 4 .4 To permit achievement of City growth management goals and objectives. 1. 3. 4 . 5 To allow City to realize significant economic, recreational, park, open space, social, and public facilities benefits for the City, some of which are of regional significance. 1. 3 . 4 . 6 To provide and assure that the City receive sales tax revenues, increase in the property tax base, residential housing and other development, sewer, water and street facilities. 1.3 . 4 . 7 To provide and assure that the City receives public facilities in excess of project generated impacts and such facilities shall be of supplemental size, number capacity or length, which shall be provided earlier than could be provided either by funds from the City or than would strictly be necessary to mitigate project related impacts at any development phase. 1. 3 . 4 . 8 To provide the City the developer's support to secure annexation of the lands depicted in Exhibit "B" . 1 . 3 .4 .9 To enable the City to secure title to the land within the boundaries of the Property necessary to complete the Chula Vista greenbelt system as defined in the Chula Vista General Plan. 1. 3 .4 . 10 To assure the City that the Developer will dedicate rights-of-way to the City for SR-125, a route which, when constructed, will substantially alleviate congestion on I-805 and I-5, and also will facilitate the economic development of Chula Vista. 2014-12-02 Agenda Packet —2— Page 707 1. 3 .4 . 11 Because of the complexities of the financing of the infrastructure, park, open space, and other dedications, and regional and community facilities, and the significant nature of such facilities, certainty in the development process is an absolute necessity. The phasing, timing, and development of public infrastructure necessitate a significant commitment of resources, planning, and effort by Owner for the public facilities financing, construction, and dedication to be success- fully completed. In return for Owner's participation and commitment to these significant contributions of private resources for public purposes and for Owner's consent to the Annexation described below, City is willing to exercise its authority to enter into this Agreement and to make a commitment of certainty for the development process for the Property. 1. 3. 4. 12 Inconsideration of Owner's agreement to provide the significant benefits and for Owner's consent to the Annexation described below, City hereby grants Owner assurances that it can proceed with develop- ment of the Property in accordance with City's ordinances, rules, regulations, and policies existing as of the effective date of this Agreement subject to Section 5.2 . 1 below. Owner would not enter into this Agreement or agree to provide the public benefits and improvements described in this Agreement if it were not for the commitment of City that the Property subject to this Agreement can be developed in accordance with city's ordinances, rules, regulations, and policies existing as of the effective date of this Agreement subject to Section 5. 2. 1 below. 1. 4 The Annexation. On July 1, 1996, the Local Agency Formation Commission ("LAFCO") approved annexation of Sphere of Influence Planning Area 1 "The Otay Parcel", Planning Area 2 "Inverted L" and the Mary Patrick Estate Parcel (see Attachment "BOO) . 1. 5 Sphere of Influence. On February 5, 1996 and July 1, 1996 the Local Agency Formation Commission approved the inclusion of Planning Area 1, "The "Otay Parcel" , into the City Sphere of Influence (Sphere of Influence Planning Area 1 "the Otay Parcel", Planning Area 2 "Inverted L" and the Mary Patrick Estate Parcel - see Attachment "B") . 1. 6 Planning Documents. On October 28, 1993, City and County adopted the otay Ranch General Development Plan/Subregiona1 Plan ("the GDP") which includes the Otay Ranch Village Phasing Plan, Facility Implementation Plan, Resource Management Plan and Service Revenue Plan, for approximately 23 , 000 acres of the Otay Ranch, including the Otay Valley Parcel and the SNMB property. 2014-12-02 Agenda Packet —3— Page 708 1. 7 Owner Consent. City desires to have the cooperation and consent of owner to include the Property in the Annexation in order to better plan, finance, construct and maintain the infra- structure for the Otay Valley Parcel; and SNMB desires to give their cooperation and consent, provided that they obtain certain assurances, as set forth in this Agreement. 1.8 City Ordinance. , 1997 is the date of adoption by the City Council of ordinance No. approving this Agreement. The ordinance shall take effect and be in full force on the effective date of Annexation. 2 . DEFINITIONS. In this Agreement, unless the context otherwise requires: 2 . 1 "Annexation" means the proposed annexation of that portion of the Otay Ranch into the City as depicted on Exhibit I'D". 2 .2 "City" means the City of Chula Vista, in the County of San Diego, State of California. 2 . 3 "County" means the County of San Diego, State of California. 2 . 4 "Development Plan" means the GDP. 2. 5 "GDP" means the General Development Plah/Subregional Plan for the Otay Ranch, described in Paragraph 1. 6, above. 2. 6 "Owner" or "Developer" means the person, persons, or entity having a legal and equitable interest in the Property, or parts thereof, and includes Owner's successors-in-interest. 2 .7 "Project" means the physical development of ..the private and public improvements on the Property as provided for in the Existing Project Approvals and as- may be authorized by the City in Future Discretionary Approvals. 2.8 "Property" means the real property described in Paragraph 1. 1. 1. 2 . 9 The "Term" of this Agreement means the period -defined in Paragraph 3, below. 2. 10 "Builder" means developer to whom Developer has sold or conveyed property within the Property for purposes of its improvement for residential, commercial, industrial or other use. 2 . 11 "CEQA" means the California Environmental Quality Act, California Public Resources Code section 21000, et seq. 2 . 12 "City Council" means the City of Chula Vista City Council. 2014-12-02 Agenda Packet —4— Page 709 2 . 13 "Commit" or "Committed" means all of the following requirements have been met with respect to any public facility: 2 . 13 .1 For a public facility within the City's jurisdictional boundaries and a responsibility of the develop- er. 2 . 13 . 1. 1 All discretionary permits required of the Developer have been obtained for construction of the public facility; and 2 . 13. 1. 2 Plans for the construction of the public facility have all the necessary governmental approvals; and 2 . 13 . 1. 3 Adequate funds (i.e. , letters of credit, cash deposits, performance bonds or land secured public financing, including facility benefit assessments, Mello-Roos assessment districts of similar assessment mechanism) are available such that the City can construct the public facility if construction has not commenced within thirty (30) days of issuance of a notice to proceed by the Director of Public Works, or construction is not progressing towards completion in a reasonable manner as reasonably deemed by the Director of Public Works. 2. 13.2 For a public facility within the City's jurisdictional boundaries, but to be provided by other than Developer. 2 . 13. 2 . 1 Developer's proportionate share of the cost of such public facility as defined in the existing Project Approvals and Future Discretionary Approvals has been provided or assured by Developer through the payment or impositions of development impact fee or other similar exaction mechanism. 2 . 13 . 3 For public facility not within City's jurisdictional boundaries: 2 .13 . 3. 1 Developer's proportionate share of the cost of such public facility as defined in the existing Project Approvals and Future Discretionary Approvals has been provided for or otherwise assured by Developer to the reasonable satisfaction of the Director of Public Works. 2 . 14 "Development Impact Fee (DIF) " means fees imposed upon new development pursuant to the City of Chula Vista Development Impact Fee Program, for example, including but not limited to the Transportation Development Impact Fee Program, the Interim SR-125 Development Impact Fee Program, the Salt Creek Sewer DIF and the Public Facilities DIF. 2014-12-02 Agenda Packet —5— Page 710 2 . 15 "Existing Project Approvals" means all discretionary approvals affecting the Project which have been approved or established in conjunction with, or preceding, the effective date consisting of, but not limited to the GDP, the Chula Vista General Plan, the otay Ranch Reserve Fund Program adopted pursuant to Resolution 18288, and the Phase I and II Resource Management Plan (RMP) , as may be amended from time to time consistent with this agreement. 2 . 16 "Final" Map(s) " means any final subdivision map for all or any portion of the Property other than the Superblock Final Map ("All Maps) . 2 . 17 "Future Discretionary Approvals" means all permits and approvals by the City granted after the effective date and excluding existing Project Approvals, including, but not limited to: (i) grading permits; (ii) site plan reviews; (iii) design guidelines and reviews; (iv) precise plan reviews; (v) subdivisions of the Property or re-subdivisions of the Property previously subdivided pursuant to the Subdivision Map Act; (vi) conditional use permits; (vii) variances; (viii) encroachment permits; (ix) Sectional Planning Area plans; (x) Preserve Conveyance Plan and (xi) all other reviews, permits, and approvals of any type which may be required from time to time to authorize public or private on- or off-site facilities which are a part of the Project. 2 . 18 "Planning Commission" means the Planning Commission of the City of Chula Vista. 2 . 19 "Preserve Conveyance Plan"- means a plan that will, when adopted, set forth policies and identify the schedule for transfer of land and/or fees to be paid to insure the orderly conveyance of the Otay Ranch land to the Preserve Owner Manager. The purpose of the plan is to fulfill the obligations to convey resource sensitive land, per the criteria contained in the phase I and II Resource Management Plans and to mitigate environmental impacts of the Otay Ranch Project. 2 .20 "Public Facility" or "Public Facilities" means those public facilities described in the Otay Ranch Facility Implementation Plan. 2 . 21 "Subdivision Map Act" means the California Subdivision Map Act, Government Code section 66410, et seq. , and its amendments as may from time to time be adopted. 2 . 22 "Substantial Compliance" means that the party charged with the performance of a covenant herein has sufficiently followed the terms of this Agreement so as to carry out the intent of the parties in entering into this Agreement. 2. 23 "Threshold" means the facility thresholds set forth in the City's Municipal Code Section 19 . 19 . 040. 2014-12-02 Agenda Packet —6— Page 711 3 . TERM. This Agreement shall become effective as a development agreement upon the effective date of the Annexation ("the Effective Date") ; provided, however, that if the Annexation does not occur on or before July 1, 1997, this Agreement shall be null and void unless the annexation proceedings have been extended by LAFCO. if the annexation proceedings have been extended, this Agreement shall become effective upon the effective date of such Annexation; provided however, if the annexation does not occur by the end of such extension(s) , this Agreement shall become null and void. Any of the foregoing to the contrary notwithstanding, from the date of the first reading of the ordinance approving this Agreement, and unless or until this Agreement becomes null and void, Owner shall be bound by the terms of Paragraph 4 . The Term of this Agreement for purposes other than Paragraph 4 shall begin upon the Effective Date, and shall continue for a period of twenty (20) years ("the Term") . The Term shall also be extended for any period of time during which issuance of building permits to Owner is suspended for any reason other than the default of Owner, and for a period of time equal to the period of time during which any action by City or court action limits the processing of future discretionary approvals, issuance of building permits or any other development of the Property consistent with this Agreement. 4 . OWNER CONSENT TO ANNEXATION. Owner hereby consents to and shall cooperate with the applications of City to declare that the Otay valley Parcel is within City's sphere of influence and to annex the Otay valley Parcel to the City; provided, however, that Owner may withdraw such consent and withhold further cooperation if the City, prior to the Effective Date, adopts rules, regulations, ordinances, policies, conditions, environmental regulations, phasing controls, exactions, entitlements, assessments or fees applicable to and governing development of the Property which are inconsistent with, or render impractical development of the Property according to, the Development Plan or the additional commitments of City set forth in Paragraphs 5. 1. 1 through 5. 1. 8, below. Owner also agrees not to challenge the annexation of the Otay valley Parcel into the City. 4 . 1 The Developer understands and agrees that this Agreement shall become effective and valid only upon the Effective Date of the annexation proceedings, as more fully described in' paragraph 3 of this Agreement. Developer further understands that as a condition precedent to the completion of annexation proceed- ings, and this Agreement becoming effective, certain property owners such as SNMB, Ltd. , are required to provide certain easements and subordination agreements satisfactory to the County. Developer agrees that the City's second reading of the Ordinance approving this Agreement shall not occur unless and until said subordination agreements have been accepted by the County. No terms of this Agreement shall be subject to renegotiation between the first and second reading of the ordinance approving this Agreement except by mutual consent of the parties to this Agree- ment. 2014-12-02 Agenda Packet —7— Page 712 5. VESTED RIGHTS. Notwithstanding any future action or inaction of the City during the term of this Agreement, whether such action is by ordinance, resolution or policy of the City, owner and Developer shall have a vested right, except as may be otherwise provided in this Section 5, to construct the Project in accordance with.. 5. 1 Existing Project Approvals, subject to the following requests for modifications if approved by the City: 5. 1. 1 City shall reasonably consider in its discretion and with proper environmental review, a request to increase the residential density of Villages 2 , 4, and 8, up to the number of residential units provided in Village 3 by the County adopted .GDP. 5. 1.2 City shall reasonably consider in its discretion and with proper environmental review a request to change the primary land use designation for Village 3 from Industrial to commercial, recreational, visitor-serving, and some residential.uses in addition to the Industrial use. The exact acreages of the residential, industrial, commercial, or other uses, shall be agreed upon and set forth in a general plan amendment. 5. 1. 3 If the interchange improvements at Otay Valley Road and I-805 are needed to serve the Project, the City will hold appropriate hearings to consider an amendment to its Transportation Phasing Plan (TPP) and Development Impact Fee (DIF) Program to include said improvements as may be deemed appropriate by the City to accommodate the project phasing. The City agrees to reasonably cooperate and work with CALTRANS to complete plans for said interchange improve- ment. 5. 1.4 City shall initiate contact and diligently pursue discussions with the County of San Diego and the City of San Diego to determine the number, scheduling and financing of the Otay River road and bridge crossings. 5. 1. 5 City shall allow the owner for purposes of processing entitlements to proceed with planning of the Property on a first come first served basis, with other properties in the area of the Annexation. In addition, if necessary the City shall, with proper environmental review, consider in its discretion an amendment to the Village Phasing Plan to facilitate the planning and development of the properties covered by this Agreement. 5. 1. 6 To the extent any of the foregoing changes are embodied in the Development Plan or the rules, regula- tions, ordinances, policies, conditions, environmental regulations, phasing controls, exactions, entitlements, assessments, and fees applicable to and governing development of the Property, whether adopted before or after the Effective 2014-12-02 Agenda Packet -a— Page 713 Date, such changes shall be deemed applicable to the Property without- change to this Agreement. 5. 1. 7 City shall diligently process any amend- ments, applications, maps, or other development applications. 5. 1. 8 City shall diligently process and reason- ably consider in its discretion with proper environmental review a request to expand the development areas of Villages 2, 3, 4 and 8 in. the event . future environmental studies indicate that areas once considered environmentally con- strained can be developed without significant, unmitigable environmental impacts. 5. 1. 9. City may make such modifications or amend- ments to the Existing Project Approvals/Future Discretionary Approvals, as may be ordered by a court of competent jurisdiction in an action in which the Developer is a party or has had an opportunity to appear or has been provided notice of such action by the City. 5.2 Development of Property. The development of the Property will be governed by this Agreement and Existing Project Approvals and such development shall comply and be governed by all rules, regulations, policies, resolutions, ordinances, and standards in effect as of the Effective Date subject to the provisions of Section 5. 2. 1 below. The City shall retain its discretionary authority as to Future Discretionary Approvals, provided however, such Future Discretionary Approvals shall be regulated by the Existing Project Approvals, this Agreement, and City rules, regulations, standards, ordinances, resolutions and policies in effect on the Effective Date of this Agreement and subject to Section 5 .2 . 1. Notwithstanding the foregoing, the City may make such changes to the City's Growth Management ordinance applicable to the Project as are reasonable and consistent with the purpose and intent of the existing Growth Management Ordinance and which are generally applicable to all private projects citywide or east of I-805 or within a specific benefit, fee or reimbursement district created pursuant to the California Government Code. 5.2 . 1 New or Amended Regulations, Policies, Standards. Ordinances and Resolutions. The City may apply to the Project, including Future Discretionary Approv- als, new or amended rules, laws, regulations, policies, ordinances, resolutions and standards generally applicable to all private projects east of I-805 or within a specific benefit fee or reimbursement district created pursuant to the California Government Code. The application of such new rules, or amended laws, regulations, resolutions, policies, ordinances and standards will, not unreasonably prevent or delay development of the Property to the uses, densities or intensities of development specified herein or as authorized by the Existing Project Approvals. The City may also apply 2014-12-02 Agenda Packet —9 Page 714 changes in City laws, regulations, ordinances, standards or policies specifically. mandated by changes in state or federal law in compliance with Section 13. 3- herein. 5. 2 . 2 Developer may elect with City's consent, to have applied to the project any rules, regulations, policies, ordinances or standards enacted after the date of this Agreement. Such an election has to be made in a manner consistent with Section 5.2 of this Agreement. 5. 2 . 3 Modifications to Existing Proms Approvals.. It is. contemplated by the parties to this Agreement that the City and Developer may mutually seek and agree to modifications to the Existing Project Approvals. Such modifications are contemplated as within the scope of this Agreement, and shall, upon written acceptance by all parties, constitute for all purposes an Existing Project Approval. The parties agree that any such modifications may not constitute an amendment to this Agreement nor require an amendment to the Agreement. 5. 2.4 Future Discretionary Approvals. It is contemplated by the parties to this Agreement that the City and Developer may agree to Future Discretionary Approvals. The parties agree that any such Future Approvals may not consti- tute an amendment to this Agreement nor require an amendment to the Agreement. 5. 3 Dedication and Reservation of Land for Public Purposes. Except as expressly required by this Agreement or the Existing Project Approvals and Future Discretionary Approvals (excepting dedications required within the boundaries of any parcel created by the subsequent subdivision of the Property as required by the Subdivision Map Act) , no dedication or reservation of real property within or outside the Property shall be required by City or Developer in conjunction with the -Project. Any dedications and reservations of land imposed shall be in accordance with Section 7 .2 and Section 7. 8 herein. 5.4 Time for Construction and Completion of Project. Because the California Supreme Court held in Pardee Construction Company v. City of Camarillo (1984) 27 Cal. 3d 465, that the failure of the parties to provide for the timing of development resulted in a later-adopted initiative restricting the timing of development to prevail over such parties' Agreement, it is the intention of the parties to this Agreement to cure that deficiency by specifically acknowledging that timing and phasing of development is completely and exclusively governed by the Existing Project Approvals, including the Chula Vista Growth Management Ordinance. The purpose of the Chula Vista Growth Management Ordinance is to "control the timing and location of development by tying the pace of development to the provision of public facilities and improvements to conform to the City's threshold standards. " (Municipal Code Section 19. 09 . 010A.7) The findings in support of the Growth Management Ordinance conclude that the ordinance "does not affect the number 2014-12-02 Agenda Packet _10_ Page 715_ I of houses which may be built. " (Municipal Code Section 19 . 09. 010B.3) Therefore, the parties acknowledge that the Chula Vista Growth Management Ordinance completely occupies the topic of development timing and phasing and expressly precludes the adoption of housing caps, -urban reserves or any other - means by which the rate of development may be controlled or regulated. The City agrees that the Developer shall be entitled to, apply for and receive all permits- necessary for the development of property, consistent with the Growth Management Ordinance, Existing Project Approvals, - Future Discretionary Approvals and this Agreement. 5.-5 Benefit of Vesting. Nothing in this Agreement will be construed as limiting or impairing Developer's vested right, if any, to proceed with the development and use of the Property pursuant to the Federal and State Constitutions, and pursuant to statutory and decisional law. 5. 6 Vesting of Entitlements. All rights conferred by this Agreement vest with the Effective Date hereof. The approval of Future Discretionary approvals shall not be deemed to limit Developer's rights authorized by this Agreement, and once such approvals are obtaiped they shall be vested to the same extent as the Existing Project Approvals. 6. DEVELOPMENT PROGRAM. 6. 1 Processing of Future Discretionary Approvals. City will accept and diligently process development applications and requests for Future Discretionary Approvals, or other entitlements with respect to the development and use of the Property, provided said applications and requests are in accordance with this Agreement. City costs for processing work related to the Project, including hiring of additional City personnel and/or the retaining of professional consultants, will be reimbursed to City----by Developer. 6. 2 Length of Validity of Tentative Subdivision_ Maps. Government Code Section 66452. 6 provides that tentative subdivision map(s) may remain valid for a length up to the term of a Develop- ment Agreement. The City agrees that tentative subdivision map(s) for the property shall be for a term of six (6) years and may be extended by the City Council for a period of time not to exceed a total of twenty (20) years and in no event beyond the term of this Agreement. 6.3 Pre-Final Mao Development. If Developer desires to do certain work on the Property after approval of a tentative map (for example, grading) prior to the recordation of a final map, it may do so by obtaining a grading and/or other required approvals from the City which are authorized by the City prior to recordation of a final map. Such permit shall be issued to Developer, or its contractor, upon Developer's application, approval, and provided Developer posts a bond or other reasonably adequate security required by City in an amount to assure the rehabilitation of the land if the applicable final map does not record. 2014-12-02 Agenda Packet —11 Page 716 6. 4 Final Maps. 6.4. 1 "A" Maps and "B" Maps. If Developer so elects, the City shall accept and process a master subdivision or parcel map ("A" Map) showing "Super Block" lots and backbone street dedications. "Super Block" lots shall be consistent with the GDP and subsequent Sectional Plan Area plans, and shall not subdivide land into individual single- family lots. All "Super Blocks" created shall have access to dedicated public streets. The City shall not require improve- ment plans in order to record a final map for any "A" Map lots, but the City shall require bonding for the completion of backbone facilities prior to recording in an amount to be determined by the City. Following the approval by City of any final map for an "A" Map lot and its recordation, Developer may convey the "Super Block" lot. The buyer of a "Super Block" lot shall then process final improvement plans and grading plans and a final map ("B" Map) for each "Super Block" lot which the City shall process. The "B" Maps shall be in substantial conformance with the related approved "A" Map. In the instance of the multi-family . dwelling unit areas, a separate tentative subdivision map may be submitted to the City and the "B" Map(s) for these areas may be submitted to the City after the City Planning commission approves said tentative subdivision map. 6. 4. 2 Recordation of Final Subdivision- Map in Name of Builder or Third Party. Developer may, if it so elects, convey to a Builder or third party any "super block" lot(s) shown on the recorded Superblock Final Map. In such case, the Builder or third party will (i) process any neces- sary final improvement and grading plans and a final map for each such "super block" lot, which map City shall accept and process as subsequent phases in a multi-phase project, -(ii) enter into a subdivision improvement agreement with City with respect to the subdivision improvements which are required for such super block lot, and (iii) provide security and insurance satisfactory to City for the completion of the subdivision improvements. 6.4 . 3 Recordation of Final Subdivision Map in Developer's Name; Transfer of obligations Under Subdivision Improvement Agreement(s) . If Developer so elects, it may defer the conveyance of any super block lot to a Builder or third party until after the final map of such super block lot has been recorded. If Developer elects to proceed in this manner, it will enter into City's standard subdivision improvement agreement(s) with City for the improvements required as a condition to the approval of such map(s) . Upon sale to a Builder or third party, if such Builder or third party assumes Developer's obligations under the improvement agreement and provides its own security and insurance for the completion of the subdivision improvements as approved by the City, Developer shall be released from liability under the -12- 2014-12-02 Agenda Packet Page 717 subdivision improvement agreement(s) and Developer's security shall be released. 6. 4 . 4 Transfer of Rights and Obligations of Development. Whenever Developer conveys a portion of the Property, the rights and obligations of this Agreement shall transfer in accordance with Section 15 herein. 7 . DEVELOPER'S OBLIGATIONS. 7 . 1 Condition to Developer's Obligations to Dedicate, Fund or Construct Public Facilities. Developer agrees to develop or provide the public improvements, facilities, dedications, or reservations of land and satisfy other exactions conditioning the development of the Property which are set forth hereinbelow. The obligations of the Developer pursuant to this Agreement are conditioned upon: (i) the City not being in default of its obliga- tions under this agreement; and (ii) the City not preventing or unreasonably delaying the development of the property; and (iii) the Agreement having not been suspended in response to changes in state or federal law; and (iv) the City's obligations having not been suspended pursuant to Section 13. 2 . 7. 2 Dedications and Reservations of Land for Public Pur ores. The policies by which property will be required to be reserved, dedicated or improved for public purposes are identified in the Existing Project Approvals. A more precise delineation of the property to be preserved, dedicated or improved for public purposes shall occur as 'part of Future Discretionary Approvals, consistent with the Existing Project Approvals. 7 . 2 . 1 Dedication of Land for SR 125. Developer agrees to dedicate land for right-of-way purposes and property owned by the Developer that is reasonably necessary for the SR-125 configuration selected by CALTRANS and depicted: (1) general- ly in the GDP or (2) that alignment identified as the Brown Field Modified Alignment which is generally depicted in the SR-125 draft Environmental Impact Report/Statement and ' as revised in the Final Environmental Impact Report/Statement to respond to engineering, design, environmental and similar constraints. Notwithstanding the foregoing, should CALTRANS not select alignment (1) or (2) above, the Developer shall dedicate land for any such alternate SR-125 configuration only on the condition that the City agree to relocate any land uses displaced by such alternate Freeway alignment. City agrees that in the event City shall negotiate with California Transportation Ventures (CTV) or other toll road builder any participation or advantages to City that City shall share such rights with subsequent owner/resident of the property. -13- 2014-12-02 Agenda Packet Page 718 7. 2 . 2 Landfill Nuisance Easements. The parties to this Agreement understand and acknowledge that the "Landfill Nuisance Easement" is an integral part of this Agreement. Developer shall deliver to- the City "Landfill Nuisance Easements" in the form attached as Exhibit "C" and satisfacto- ry to the County of San Diego prior to the second reading of the Ordinance approving the Agreement. If there is no second reading of this Agreement, the City shall return said ease- ments to the Developer. If _ the County Board of Supervisors does not accept or approve said easements, this Agreement shall be automatically terminated with neither party bearing any liability hereunder. 7.2. 3 City shall reasonably consider in its discretion and with proper environmental review, a request to relocate all land uses which may be eliminated as a result of an unknown relocation of SR-125 from the route currently depicted in the GDP. 7. 3 Growth Management Ordinance. Developer shall commit the public facilities and City shall issue building permits as provided in this Section. The City shall have the right to withhold the issuance of building permits any time after the City reasonably determines a Threshold has been exceeded; unless and until the Developer has mitigated the deficiency in accordance with the City's Growth Management Ordinance. Developer agrees that building permits may be withheld where the public facilities described in the Existing Project Approvals/- Future Discretionary Approvals required for a particular Threshold have not been committed. In the event a Threshold is not met and future building permit issuance may be withheld, the notice provisions and procedures contained in section 19 . 09. 1000 of the Municipal Code will be followed. In the event the issuance of building permits is suspended pursuant to the provisions herein, such suspension shall not constitute a breach of the terms of this Agreement by Developer or City. Furthermore, any such suspension which is not caused by the actions or omissions of the Developer, shall toll the term of this Agreement as provided for in Section 15. 12 of this Agreement, and suspend the Developer's obligations pursuant to this Agreement. 7. 3.1 Re uired Condemnation. The City and Developer recognize that certain of the public facilities identified in the Existing Project Approvals/Future Discretionary Approvals and required to, comply with a threshold are located on properties which neither the Developer nor the City has, or will have, title to or control of. The City shall identify such property or properties and at the time of filing of the final map commence timely negotiations or, where the property is within the City's jurisdiction, commence timely proceedings pursuant to Title 7 (commencing with § 1230. 010) of Part 3 of the Code of Civil Procedure to acquire an interest in the property or properties. Developer's share of the cost -14- 2014-12-02 Agenda Packet Page 719 involved in any such acquisition shall be based on its proportionate share of the public facility as defined in the Existing Project Approvals/Future Discretionary Approvals. Nothing in this Agreement shall be deemed to preclude the City from requiring the Developer to pay the cost of acquiring such off-site land. For that portion of the cost beyond the Developer's fair share responsibility, the City shall take all reasonable steps to establish a procedure whereby the develop- er is reimbursed for such costs beyond its fair share. 7 . 3 .2 Information Regarding Thresholds. Upon Developer's written requests of the City Manager, the City will provide Developer with information regarding the current status of a Threshold. Developer shall be responsible for any staff costs incurred in providing said written response. 7 .4 Improvements Required_ by a Subdivision Map. As may be required pursuant to the terms of a subdivision map, it shall be the responsibility of Developer to construct the improvements required by a subdivision map. Where Developer is required to construct a public improvement which has been identified as the responsibility of another party or to provide public improvements of supplemental size, capacity, number or length benefiting property not within the subdivision, City shall process a reim- bursement agreement to the Developer in accordance with Article 6 of Chapter 4 of the Subdivision Map Act, commencing with Government Code section 66485, and Section 7 . 5, below. 7. 5 Facilities Which Are the Obligations of Another Party, or Are of Excessive Size Capacity , Length or Number . Developer may offer to advance monies and/or construct public improvements which are the responsibility of another land owner, or outside the City's jurisdictional boundaries, or which are-- of supplemental size, capacity, number or length for the benefit of land not within the Property. City, where requesting such funding or construction of oversized public improvements, shall consider after a public hearing, contemporaneous with the imposition of the obligation, the formation of a reimbursement district, assessment district, facility benefit assessment, or reimbursement agreement or other reimbursement mechanism. 7 . 6 Pioneering of Facilities. To the extent Developer itself constructs (i.e. , "Pioneers") any public facilities or public improvements which are covered by a DIF Program, Developer shall be given a credit against DIFs otherwise payable, subject to the City's Director of Public Works reasonable determination that such costs are allowable under the applicable DIF Program. It is specifically intended that Developer be given DIF credit for the DIF Program improvements it makes. The fact that such improvements may be financed by an assessment district or other financing mechanism, shall not prevent DIF credit from being given to the extent that such costs are allowed under the applicable DIF Program -15- 2014-12-02 Agenda Packet Page 720 7 . 7 Insurance. Developer shall name City as additional insured for all insurance policies obtained by Developer for the Project as pertains to the Developer's activities and operation on the Project. 7.8 Other Land Owners. Developer hereby agrees to dedicate adequate rights-of-way within the boundaries of the Property for other land owners to "Pioneer" public facilities on the Property; provided, however, as follows: (i) dedications shall be restricted to those reasonably necessary for the construction of facilities identified in the City's adopted public facility plans; (ii) this provision shall not be binding on the successors-in- interest or assignees of Developer following recordation of the final "Super. Block" or "A" Map; and (iii) the City shall use its reasonable best efforts to _obtain agreements similar to this subsection from other developers and to obtain equitable reimburse- ment for Developer for any excess dedications. 8 . DEVELOPMENT IMPACT FEES. 8 . 1 Existing Development Impact Fee Program Payments. Developer shall pay to the City a DIF, or construct improvements in lieu of payment, for improvements which are conditions of a tentative subdivision map upon the issuance of building permits (s) , or at a later time as specified by City ordinance, the Subdivision Map Act, or Public Facility Financing Plan (PFFP) . The DIF will be in the amount in effect at the time payment is made and may only be increased pursuant to Section 8 . 6 herein. 8.2 Other Undeveloped Properties. The City will use its reasonable best efforts to impose and collect, or cause the imposition and collection of, the same DIF program on all the undeveloped real properties which benefit from the provision of the public facility through the DIF program, or provided as a condition of Project Approvals. 8. 3 Use of Development Impact Fee Program. The DIF amounts paid to the City by Developer and others with respect to the Area of Benefit shall be placed by the City in a capital facility fund account established pursuant to California Government. Code sections 66000-66009 . The City shall expend such funds only for the Projects described in the adopted fee program as may be modified from time to time. The City will use its reasonable best efforts to cause such Projects to be completed as soon as practica- ble; however, the City shall not be obligated to use its general funds for such Projects. 8 .4 withholding of Permits. Developer agrees that City shall have the right to withhold issuance of the building permit for any structure or improvement on the Property unless and until the DIF is paid for such structure or improvement. 8 . 5 Development Impact Fee Credit. Upon the completion and acceptance by the City of any public facility, the City shall immediately credit Developer with the appropriate amount of cash 2014-12-02 Agenda Packet —16— Page 721 credits ("EDUs") as determined by Developer and City. However, if the improvements are paid for through an Assessment District, the City shall credit the Developer with the appropriate number of Equivalent Dwelling Unit Credits (EDU's) . Developer shall be entitled to apply any and all credits accrued pursuant to this subsection toward the, required payment of future DIF for any phase, stage or increment of development of the Project. 8. 6 Modification of Development IrRact Fees. The parties recognize that from time to time during the duration of the Agreement it will be necessary for the City to update and modify its DIF fees. Such reasonable modifications are contemplated by the City and the Developer and shall not constitute a modification to the Agreement so long as: (i) the modification incorporates the reasonable costs of providing facilities identified in the Existing Project Approvals; (ii) are based upon methodologies in substantial compliance with the methodology contained in the existing DIF programs; or other methodology approved by the City council following a public hearing; (iii) complies with the provisions of Government Code sections 66000-66009 . 8. 7 Standards for Financing obligations of Owner. In connection with the development of the Property, the following standards regarding the financing of public improvements shall apply: 8. 7 . 1 Owner shall pay its fair share for the interchanges described in Paragraph 5. 1. 3 , based upon the number of dwelling units or equivalent dwellings of develop- ment allowed on the Property as compared to the total dwelling units or equivalent dwelling units allowed on properties served by such interchanges. 8. 7 . 2 Owner shall participate in the DIF Program for the Otay Valley Parcel with other owners in proportion to the total dwelling units or equivalent dwelling units allowed on the Property as compared with the total of such units allowed on properties in that particular DIF or by some other equitable methodology decided by the City Council. 8.7. 3 The City shall diligently pursue the requirements that the Eastern Territories' DIF requires offsite third parties and adjacent jurisdictions to bear their fair share of all Otay River valley crossings. 9. CITY OBLIGATIONS. 9. 1 Urban Infrastructure. To the extent it is within the authority of the City to provide, City shall accommodate urban infrastructure to the project, consistent with Existing Project Approvals. Where it is necessary to utilize City property to provide urban infrastructure consistent with the Existing Project Approvals, the City agrees to make such land available for such uses, provided that the City if it so chooses is compensated at fair market value for the property. To the extent that the 2014-12-02 Agenda Packet —17— Page 722 provision of urban infrastructure is within the authority of another public or quasi-public agency or utility, the City agrees to fully cooperate with such agency or agencies to accommodate the urban infrastructure, consistent with Existing Project Approvals. Urban infrastructure shall include, but not be limited to gas, electricity, telephone, cable and facilities identified in the Otay Ranch Facility Implementation Plan. 9. 2 sewer Capacity. The City agrees to provide adequate sewer capacity for the project, upon the payment of ordinary and necessary sewer connection, capacity and/or service fees. 10. ANNUAL REVIEW. 10. 1 City and Owner Responsibilities. City will, at least every twelve (12) months during the Term of this Agreement, pursuant to California Government Code §65865. 1, review the extent of good faith substantial compliance by Owner with the terms of this Agreement. Pursuant to California Government Code section 65865. 1, as amended, Owner shall have the duty to demonstrate by substantial evidence its good faith compliance with the terms of this Agreement at the periodic review. Either City or Owner may address any requirement of the Agreement during the review. 10.2 Evidence. The parties recognize that this Agreement and the documents incorporated herein could be deemed to contain hundreds of requirements and that evidence of each and every requirement would be a wasteful exercise of the parties' resources. Accordingly, Developer shall be deemed to have satisfied its good faith compliance when it presents evidence of substantial com- pliance with the major provisions of this Agreement. Generalized evidence or statements shall be accepted in the absence of any evidence that such evidence is untrue. 10.3 Review Letter. If Owner is found to be in com- pliance with this Agreement after the annual review, City shall, within forty-five (45) days after Owner's written request, issue a review letter in recordable form 'to Owner ("Letter") stating that based upon information known or made known to the Council, the City Planning Commission and/or the City Planning Director, this Agreement remains in effect and Owner is not in default. Owner may record the Letter in the Official Records of the County of San Diego. 10.4 Failure of Periodic Review. City's failure to review at least annually Owner's compliance with the terms and conditions of this Agreement shall not constitute, or be asserted by City or Owner as, a breach of the Agreement. 11. DEFAULT. 11. 1 Events of Default. A default under this Agreement shall be deemed to have occurred upon the happening of one or more of the following events or conditions: 2014-12-02 Agenda Packet —18 Page 723 11. 1. 1 A warranty, representation or statement made or furnished by owner to City is false or proves to have been false in any material respect when it was made. 11. 1. 2 A finding and determination by City made following a periodic review under the procedure provided for in California Government Code section 65865. 1 that upon the basis of substantial evidence owner has not complied in good faith with one or more of the terms or conditions of this Agreement. 11. 1 . 3 City does not accept, timely review, or consider requested development permits or entitlements - submitted in accordance with the provisions of this Agreement. 11. 1.4 Any other act or omission by City or Owner which materially interferes with the terms of this Agreement. 11. 2 Procedure Upon Default. 11.2 . 1 Upon the occurrence of default by the other party, City or owner may terminate this Agreement after providing the other party. thirty (30) days written notice specifying the nature of the alleged default and, when appropriate, the manner in which said default may be satis- factorily cured. After proper notice and expiration of said thirty (30) day cure period without cure, this Agreement may be terminated. In the event that City's or Owner's default is not subject to cure within the thirty (30) day period, City or owner shall be deemed not to remain in default in the event that City or owner commences to cure within such thirty (30) day period and diligently prosecutes' such cure to completion. Failure or delay in giving notice of any default shall not constitute a waiver of any default, nor shall it change-the time of default. Notwithstanding any other provision of this Agreement, City reserves the right to formulate and propose to owner options for curing any defaults under this Agreement for which a cure is not specified in this Agreement. 11.2. 2 - City does not waive any claim of defect in performance by Owner if, on periodic review, City does not propose to modify or terminate this Agreement. 11.2 . 3 Subject to Paragraph 16. 12 of this Agreement, the failure of a third person shall not excuse a party's nonperformance under this agreement. 11.2 . 4 Remedies Upon Default. In the event of a default by either party to this Agreement, the parties shall have the remedies of specific performance, mandamus, injunc- tion and other equitable remedies without having to first prove there is an inadequate remedy at law. Neither party shall have the remedy of monetary damages against the other; provided, however, that the award of costs of litigation and attorneys' fees shall not constitute damage. 2014-12-02 Agenda Packet _19— Page 724 12. ENCUMBRANCES AND RELEASES ON PROPERTY. 12. 1 Discretion to Encumber. This Agreement shall not prevent or limit Owner in any manner at Owner's sole discretion, from encumbering the Property, or any portion of the Property, or any improvement on the Property, by any mortgage, deed of trust, or other security device securing financing with respect to the Property or its improvement. 12 . 2 Mortgagee Rights and Obligations. The mortgagee of a mortgage or beneficiary of a deed of trust encumbering the Property, or any part thereof, and their successors and assigns shall, upon written request to City, be entitled to receive from City written notification of any default by owner of the performance of Owner's obligations under the Agreement which has not been cured within thirty (30) days following the date of default. 12 . 3 Releases. City agrees that upon written request of Owner and payment of all fees and performance of the require- ments and conditions required of Owner by this Agreement with respect to the Property, or any portion thereof, City may execute and deliver to Owner appropriate release(s) of further obligations imposed by this" Agreement in form and substance acceptable to the San Diego County Recorder and title insurance company, if any, or as may otherwise be necessary to effect the release. City Manager shall not unreasonably withhold approval of such release(s) . 12 .4 Obligation to Modify. - City acknowledges that the lenders providing financing for the Project may require certain modifications to this Agreement and City agrees, upon request from time to time, to meet with Owner and/or representatives of such lenders to negotiate in good faith any such requirement'-for modification. City will not unreasonably withhold its consent to any such requested modification. 13. MODIFICATION OR SUSPENSION. 13 . 1 Modification to Agreement by Mutual Consent. This Agreement may be modified, from time to time, by the mutual consent of the parties only -in the same manner as its adoption by an ordinance as set forth in California Government Code sections 65867, 65867 .5 and 65868. The term, "this Agreement" as used in this Agreement, will include any such modification properly approved and executed. 13 . 2 Unforeseen Health or safety Circumstances. If, as a result of facts, events, or circumstances presently unknown, unforeseeable, and which could not have been known to the parties prior to the commencement of this Agreement, City finds that failure to suspend this Agreement would place the residents of City in a severe and immediate emergency to their health or safety. 2014-12-02 Agenda Packet 20- Page 725 - 13 . 2 . 1 Notification of unforeseen Circumstances. Notify Developer of (i) City's determination; and (ii) the reasons for City's determination, and all facts upon which such reasons are based; 13 : 2 .2 Notice of- Hearin . Notify Developer in writing at least fourteen (14) days prior to the date, of the date, time and place of the hearing and forward to Developer a minimum of ten (10) days prior to the hearings described in Section 13 . 2 . 3 , all documents related to such determination and reasons therefor; and 13 . 2. 3 Hearing. Hold a hearing on the deter- mination, at which hearing. Developer will have the right to address the City Council. At the conclusion of said hearing, City may take action to suspend this Agreement as provided herein. The City may suspend this Agreement if, at the conclusion of said hearing, based upon the Evidence presented by the parties, the City finds failure to suspend would place the residents of the City in a .severe and immediate emergency to their health or safety. 13 . 3 Change in State or Federal Law or Regulations. If any state or federal law or regulation enacted during the Term of this Agreement, or the action or inaction of any other affected governmental jurisdiction, precludes compliance with one or more provisions of this Agreement, or requires changes in plans, maps, or permits approved by City, the parties will act pursuant to Sections 13 . 3 . 1 and 13 . 3 . 2, below. 13 . 3 . 1 Notice; Meeting. The party first becoming aware of such enactment or action or inaction will provide the other party(ies) with written notice of such state or federal law or regulation and provide a copy of such law or regulation and a statement regarding its conflict with the provisions of this Agreement. The parties will promptly meet and confer in a good faith and reasonable attempt to modify or' suspend this Agreement to comply with such federal or state law or regula- tion. 13 . 3 .2 Hearing. If an agreed upon modification or suspension would not require an amendment to this Agree- ment, no hearing shall be held. Otherwise, the matter of such federal or state law or regulation will be scheduled for hearing before the City. Fifteen (15) days' written notice of such hearing shall be provided to Developer, and the City, at such hearing, will determine and issue findings on the modification or suspension which is required by such federal or state law or regulation. Developer, at the hearing, shall have the right to offer testimony and other evidence. If the parties fail to agree after said hearing, the matter may be submitted to mediation pursuant to subsection 13 . 3 .3 , below. Any modification or suspension shall be taken by the affirma- tive vote of not less than a majority of the authorized voting members of the City. Any suspension or modification may be 2014-12-02 Agenda Packet -21- Page 726 subject to judicial review in conformance with subsection 16. 19 of this Agreement. 13. 3 . 3 Mediation of Disputes. In the event the dispute between the parties with respect to the provisions of this paragraph has not been resolved to the satisfaction of both parties following the City hearing required by subsection 13 . 3 .2, the matter shall be submitted to mediation prior to the filing of any legal action by any party. The mediation will be conducted by the San Diego Mediation Center; if San Diego Mediation Center is unable to conduct the mediation, the parties shall submit the dispute for mediation to the Judicial Arbitration and Mediation Service or similar organization and make a good faith effort to resolve the dispute. The cost of any such mediation shall be divided equally between the Developer and City. 13 .4 - Natural Communities Conservation Act NCCP . The parties recognize that Developer and the City are individually negotiating agreements with the United States Fish and Wildlife Service ("USF&W") and the California Department of Fish and Game pursuant to the ongoing regional effort to implement the Natural Communities Conservation Act ("NCCP") , locally proposed to be implemented through the Multi-Species Conservation Program ("MSCP") . The parties further recognize that implementation of the agreements may necessitate modification to the Existing Project Approvals. The parties agree to utilize their best efforts to implement these agreements, once executed, through the timely processing of modifications to the Existing Project Approvals as they relate to the Property. The Developer agrees to pay the reasonable City cost for processing work related to the modifica- tions. Once such modifications are obtained they shall be vested to the same extent as Existing Project Approvals. 14 . DISTRICTS, PUBLIC FINANCING MECHANISMS. This Agreement and the Existing Project Approvals recognize that assessment districts, community facility districts, or other public financing mechanisms, may be necessary to finance the cost of public improvements borne by this Project. If Developer, pursuant to the Existing Project Approvals/Future Discretionary Approvals, is required to install improvements through the use of assessment districts, community facility districts, or other public financing mechanisms, the City shall initiate and conclude appropriate proceedings for the formation of such financing district or funding mechanism, under applicable laws or ordinances. Developer may request that the City utilize any other financing methods which may become available under City laws or ordinances. All costs associated with the consideration and formation of such financing districts or funding mechanisms shall be paid by Developer subject to reimbursement, as may be legally authorized out of the proceeds of any financing district or funding mechanism. 2014-12-02 Agenda Packet -22_ Page 727 15. ASSIGNMENT AND DELEGATION. 15. 1 Assignment. Owner shall have _the right to transfer or assign its interest in the Property, in whole or in part, to any persons, partnership, joint venture, firm, or corpora- tion at any time during the Term of this Agreement without the consent of City. Owner also shall have the right to assign or transfer all or any portion of its interest or rights under this Agreement to third parties acquiring an interest or estate in the Property at any time daring the Term of this Agreement without the consent of City. 15.2 Delegation. In addition, Owner shall have the right to delegate or transfer its obligations under this Agreement to third parties acquiring an interest or estate in the Property after receiving the prior written consent of the City Manager, which consent shall not be unreasonably with- held, delayed, or conditioned. Once the City Manager has consented to .a transfer, delivery to and acceptance by the City Manager of an unqualified written assumption of Owner's obligations under this Agreement by such transferee shall relieve Owner of the obligations under this Agreement to the extent the obligations have been expressly assumed by the transferee. Such transferee shall not be entitled to amend this Agreement without the written consent of the entity that, as of the Effective Date, is Owner, which consent shall not be unreasonably withheld, delayed, or conditioned. The entity that is Owner as of the Effective Date, however, shall be entitled to amend this Agreement without the written consent of such transferee. 16. MISCELLANEOUS - PROVISIONS. 16. 1 Binding Effect of Agreement. Except to the extent otherwise provided in this Agreement," the burdens of this Agreement bind, and the benefits of this Agreement inure, to City's and Owner's successors-in-interest and shall run with the land. 16. 2 Relationship of City and Owner. The contractual relationship between City and Owner arising out of this Agreement is one of independent contractor and not agency. This Agreement does not create any third-party beneficiary rights. 16. 3 Notices. All notices, demands, and correspondence required or permitted by this Agreement shall be in writing and delivered in person, or mailed by first-class or certified mail, postage prepaid, addressed as follows: If to City, to: City of Chula Vista 276 Fourth Avenue Chula Vista, CA 91910 Attention: City Manager 2014-12-02 Agenda Packet Page 728 If to Owner, to: SNMB, LTD. 7811 La Mesa Boulevard Suite B-3 La Mesa, CA- 91941 Attention: Christopher Patek With a Copy to: STEPHENSON, WORLEY, GARRATT SCHWARTZ, HEIDEL & PRAIRIE 101 West Broadway, Suite 1300 San Diego, CA 92101 Attention: Donald R. Worley, Esc . City or Owner may change its address by giving notice in writing to the other. Thereafter, notices, demands, and correspondence shall be addressed and transmitted to the new address. Notice shall be deemed given upon personal delivery, or, if mailed, two (2) business days following deposit in the United States mail. 16. 4 Rules of Construction. In this Agreement, the use of the singular includes the plural; the masculine gender includes the feminine; "shall" is mandatory; "may" is permissive. 16. 5 Entire Agreement, Waivers and Recorded Statement. This Agreement constitutes the entire understanding and agreement of City and Owner with respect to the matters set forth in this Agreement. This Agreement supersedes all negotiations or previous agreements between City and Owner respecting this Agreement. All waivers of the provisions of this Agreement must be in writing and signed by the appropriate authorities of City and Owner. Upon the completion of performance of this Agreement, or its revocation or termination, a statement evidencing completion, revocation, or termination signed by the appropriate agents of City shall be recorded in the Official Records of San Diego County, California. 16. 6 Project as a Private Undertaking. It is specifically understood by City and Owner that (i) the Project is a private development; (ii) City has no interest in or responsibilities for or duty to third parties concerning any improvements to the Property until City accepts the improvements pursuant to the provisions of the Agreement or in connection with subdivision map approvals; and (iii) Owner shall have the full power and exclusive control of the Property subject to the obligations of Owner set forth in this Agreement. 16. 7 Incorporation of Recitals. The recitals set forth in Paragraph 1 of this Agreement are part of this Agreement. 16. 8 Captions. The captions of this Agreement are for convenience and reference only and shall not define, explain, modify, construe, limit, amplify, or aid in the interpretation, construction, or meaning of any of the provisions of this Agreement. 16.9 Consent. Where the consent or approval of City or Owner is required or necessary under this Agreement, the consent or 2014-12-02 Agenda Packet —24— Page 729 approval shall not be unreasonably withheld, delayed, or con- ditioned. 16. 10 Covenant of Cooperation. City and owner shall cooperate and deal with each other in good faith, and assist each other in the performance of the provisions of this Agreement. 16. 11 Recording. The City Clerk shall cause a copy of this Agreement to be recorded with the Office of the County Recorder of San Diego County, California, _ within ten (10) days following the Effective Date. 16. 12 Delay, Extension of Time for Performance. In addition to any specific provision of this Agreement, performance by either City or Owner of its obligations hereunder shall be excused, and the Term of this Agreement and the Development Plan extended, during any period of delay caused at any time by reason of any event beyond the control of City or Owner which prevents or delays and impacts City's or Owner's ability to perform obligations under this Agreement, including, but not limited to, acts of God, enactment of new conflicting federal or state laws or regulations (example: listing of a species as threatened or endangered) , judicial actions such as the issuance of restraining orders and injunctions, riots, strikes, or damage to work in process by reason of fire, floods, earthquake, or other such casualties. If City or Owner seeks excuse from performance, it shall provide written notice of such delay to the other within thirty (30) days of the commencement of such delay. If the delay or default is beyond the control of City or Owner, and is excused, an extension of time for such cause will be granted in writing for the period of the enforced delay, or longer as may be mutually agreed upon. 16. 13 Covenant of Good Faith and Fair Dealings. No party shall do anything which shall have the effect of harming'- or injuring the right of the other parties to receive the benefits of this Agreement; each party shall refrain from doing anything which would render its performance under this Agreement impossible; and each party shall do everything which this Agreement contemplates that such party shall do in order to accomplish the objectives and purposes of this Agreement. 16. 14 Operating Memorandum. The parties acknowledge that the provisions of this Agreement require a close degree of cooperation between City and Developer, and that the refinements and further development of the Project may demonstrate that minor changes are appropriate with respect to the details of performance of the parties. The parties, therefore, retain a certain degree of flexibility with respect to those items covered in general under this Agreement. When and if the parties mutually find that minor changes or adjustments are necessary or appropriate, they may effectuate changes or adjustments through operating memoranda approved by the parties. For purposes of this Section 16. 14 , the City Manager, or his designee, shall have the authority to approve the operating memoranda on behalf of City. No operating memoranda 2014-12-02 Agenda Packet -25- Page 730 shall require notice or hearing' or constitute an amendment to this Agreement. 16. 15 Time of Essence. Time is of the essence in the performance of the provisions of this Agreement as to which time is an element. 16. 16 Amendment or Cancellation of Agreement. This Agreement may be amended from time to time or canceled by the mutual consent of City and Owner only in' the same manner as its adoption, by an ordinance as set forth in California Government Code section 65868, and shall be in a form suitable for recording in the Official Records of San- Diego County, California. The term "Agreement" shall include any- such amendment properly approved and executed. City and Owner acknowledge that the provisions of this Agreement require a close degree of cooperation between them, and that minor or insubstantial changes to the Project and the Development Plan may be required from time to time to accommodate design changes, engineering changes, and other refinements. Accordingly, changes to the Project and the Development Plan that do not result in a change in use, an increase in density or intensity of use, cause new or increased environmental impacts, or violate any applicable health and safety regulations, may be considered minor or insubstantial by the City Manager and made without amending this Agreement. 16. 17 Estoppel Certificate. Within 30 calendar days following a written request by any of the parties, the other parties to this Agreement shall - execute and deliver to the requesting party a statement certifying that (i) this Agreement is unmodified and in full force and effect, or if there have been modifications hereto, that this Agreement is in full force and effect as modified and stating the date and nature of such modifications; (ii) there are no known current uncured defaults under this Agreement, or- specifying the dates and nature of any such default; and (iii) any other reasonable information requested. The failure to deliver such a statement within such time shall constitute a conclusive presumption against the party which fails to deliver such statement that this Agreement is in full force and effect without modification, except as may be represented by the requesting party, and that there are no uncured defaults in the performance of the requesting party, except as may be represented by the requesting party. 16. 18 Severability. If any material provision of this Agreement is held invalid, this Agreement will be automatically terminated with neither party bearing any liability hereunder. Notwithstanding the foregoing, within 15 days after such provision is held invalid, if the party holding rights under the invalidated provision affirms the balance of this Agreement in writing this Agreement shall not be terminated. This provision will not affect the right of the parties to modify or suspend this Agreement by mutual consent pursuant to Paragraph 12.4 . 2014-12-02 Agenda Packet Page 731 -26- 16. 19 Institution of Lecral Proceeding. In addition to any other rights or remedies,_ any party may institute legal action to cure, correct, or remedy any default, to enforce any covenants or agreements herein, or to enjoin any threatened or attempted violation thereof; to recover damages for any default as allowed by this Agreement or to obtain any remedies consistent with the purpose of this Agreement. Such legal actions. must be instituted in the Superior Court of the County of -San Diego, State of California. 16.20 Attorneys' Fees and Costs. If any party commences litigation or other proceedings (including, without limitation, arbitration) for the interpretation, reformation, enforcement, or rescission of this Agreement, the prevailing party, as determined by the court, will be entitled to its reasonable attorneys' fees and costs. 16.21 Hold Harmless. Developer agrees to and shall hold City, its officers, agents, employees and representatives harmless from liability for damage or claims for damage for personal injury, including death, and claims for property damage which may arise from the direct or indirect operations of Developer or those of its contractors, subcontractors, agents, employees or other persons acting on Developer's behalf which relate to the Project. Developer agrees to and shall defend City and its officers, agents, employees and representatives from actions for damage caused or alleged to have been caused by reason of Developer.'s activities in connection with the Project. Developer agrees to indemnify, hold harmless, pay all costs and provide a defense for City in any legal action filed in a court of competent jurisdiction by a third party challenging the validity of this Agreement. The provisions of this Section 16 . 21 shall not apply to the extent such damage, liability or claim is caused by the intentional or negligent act or omission of City, its officers, agents, employees or representatives. 17. AUTHORITY Each signatory and party hereto hereby warrants and represents to the other party that it has legal authority and capacity and direction from its principal to enter into this Agreement, and that all resolutions or other actions have been taken so as to enable it to enter into this Agreement. 2014-12-02 Agenda Packet Page 732 1 SIGNATURE PAGE TO PRE-ANNEXATION DEVELOPMENT AGREEMENT. Dated this /P day of C/I 1997. "CITY" CITY OF CHULA VISTA By: SHIRLEY ORTON, RXYOR "OWNER" SNMB, LTD. By: A 14 Ge ra Partner I hereby approve the form and legality of the foregoing Pre- Annexation Development Agreement this day of , 1997. John M. Kaheny, City Attorney By: Ann Moore Assistant City Attorney 2014-12-02 Agenda Packet Page 733 - , EXHIBIT A f ,.r� �•vN^fir:S' £ �.�.-YM v"�,.<!,; �..`:a K�.. v - MY OF 2 4-12-02 Agenda Packet CHUTA�L'� Page 34 • M a • r op �� mow.•-'V��i��.:`�`.n.�� Z, � Rt It Ile fir'•�1.��.'� �L.�\4`aF'.`w �' �:� a \ �..::yy�.:ir�, • ' •a . D EXaitBIT "C" hw rdlry smarted h, aid whom AwAnsed Flom, AetAM for alof J/iolottutl.e *"lar coo" Wr s " a Ina trm relfit ar, *am 01po, n RIM mom* fK LrrreOor'r Imo] IAAD?nZ NUISANCZ ZA$ZXEU T AND C4VZN712iT8 YDNHINC WITH THE LAYD (hereinafter referred to as "Grantor") , for valuable ` consideration, does' hereby GRANT to the COUNTY OF SAN DZEGO, a political- subdivision Of tbs State of California (hereinafter refarra to as "Orantea") as the owner of that real property located in the County of San Diego, California knovn as the *Otay Landfill* which is more particularly dascribed in "Exhibit A" .:.hereto (hereinafter referred to as the ■Daainant Tansment") and .,.its successor& in intarast to the Dominant Tenamant, an E.ASII'RNT (hereinafter referred to as *Nuisance Easemant•) over all that real propaity located in the county of San Diego, California dascribsd in *zxhibit a" hereto (hereinafter referred to as the wServisnt Tenement") . This Nuisance Easement is for the use and bwwfit of Grant" and its successors in intareat and invited quests in the conduct of solid waste landfilling operations On the Dominant Tsnament, for the free and unobstructed passage on, onto, in, through, and .across the surface and airspaoa above the surfaoe of the Servient Tenement or the following things (hereinaftar referred to as •xuisanae Ztass"} : Gust= "is&; vibrations; any " all ohaaicals or particles suspw%dsd (paraanently or temporarily) in the air and wind including but not lusted to &ethane gas; odors; nrm sr fuel particles; saaqulls and other scavengar birds and the axorement droppings tberefromi and the unobstructed passage below the surface of leachate and other Dollutantsi and for each, ovary and all affects as Ray be caused by or result frva tha operation of a 2"fiil vhlah is raw in axistenoe or which may be developed it the future, togsthar with the continuing right to cause or allow it all of such Sarviant Terienent such Nuisance Items, it being understood .and agreed that Grant**, or its svoosssors in Lnterrst, intends- to develop, aaintain and expand the landfill on the adjacent 2014-12-02AgePQ�+�e�nt Tanemert in s ane such a Rar that said landfill and the Page 736 easamemt granted herein will be used at all tines in comalfanca of stag and ?ederal agencies regulating anvironvAntal factors, toxic and/or ic a hazardous oasts, and tha operation of the landfill. Grantor, for itself and its successors and assig s# doss eb hery fully waive and relaass MY right or cause of action which -t-boy or any of than Bay nov have or may have in tba future against Crantas. Its successors and assigns, an s000unt o! or arising out or succh Ruisanae Ztess heratafo" and heraatte.r CA"a" by the operation of a landfill. Grantor, for itself and its successors and assiq�LS, oovanants and agrees, with the "arstanding and intent that much shall run with the land, and which shall r with the lane, that nation, they nor any of tram will oamsanaa or saintain a suit, action, writ, arbitration, or other legal or agjitable proceeding against Grantee or its successors or assigns vharain the raliet sought is the oessntion or li�n.itation on the use of the Dominant Tenement as a landfill. Grantor, for itself and its suaoassors and assigns, coV*narts amd aggrracs, with the unda,rstardinq and intent that ouch shall run vith the lard, and which shall run .ofth the land, that in the *vent that they violate tbo above ov*nLnts of the forogcing sentence, tAsy shall pay to Crantes such attorneys feo8 and oasts as may ba deterained to be reasonable by a Court of cc+apetsat lurlsaiction. Ir�ttirias or rmivasts for enforasnent Wade try Grantor, Its successors or assigns to State or ?adsral agQncias with regulatory authority over the operation of landfills sh311 not be considered a v1s1ation of this paragraph. Upon tha teraination of asa of the �arinant Tenement for landfill purposes, (includ'ng acaDlstian of active landfill operations and all closure and post-closurs activities) , Grantor, its successors or assigns MAY request that Grantee, its -- suocasors or assigns, through the applicable legal yrooadurs, vacate or terminate this easa►me.At, vbich request will not be -�ru�easaaably vithald. ACaCuted this ..... (Lay of ► t196, at sae Diego, •Callforaia. 2014-12-02 Agenda Packet Page 737 OAS.., r iEl : 0. i L � !, 41 a oz4 x T O� om w U U z N �}` Q CQ <CL J r 0 qr P-- O W qr M V r Q � Q U z �,. o ' N �i �i �S &-12-02 Agenda Packet Page 738 r EXHIBIT -E- Pro-annexation Development Agreement Planning Area Assessor Ownership Acreage Parcel Numbers Otay ValI Para] 644-030-07 S N M B Ltd. I34.25 Otay Vallcy Parcel 644-060-07 SNMB Ltd. 159.18 Oiay VaUcy Parcd 644-060-08 S N M B Lid. 80.00 Otay VaUg Parxl 644-060-09 S N M B Ltd. 8(].00 Otay Valley Parcel 644-060-10 S N M B Ltd 289.70 Otay Valley Parr-c] 644-060-12 SNMB Lid 82.20 Otay VaUey Para] 644-070-08 S N M B Ltd 313.28 Otay Valley Para] 645-030-19 S N M B Ltd 335.34 Otay Valley Parcel 646-010-02 SNMB Ltd. 352.70 x.826.65 RTata] 2014-12-02 Agenda Packet - Page 739 EXHIBIT 2 LEGAL DESCRIPTION PARCEL A LOT 43 OF OTAY RANCH, IN THE CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 862, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY, FEBRUARY 7, 1900. EXCEPTING THEREFROM THAT PORTION OF SAID LOT 43 LYING WITHIN THE FOLLOWING DESCRIBED LAND: COMMENCING AT THE SOUTHWEST CORNER OF FRACTIONAL SECTION 17, TOWNSHIP 18 SOUTH, RANGE 1 WEST, SAN BERNARDINO MERIDIAN, IN SAID SAN DIEGO COUNTY, ACCORDING TO LICENSED SURVEYOR'S MAP THEREOF NO. 275, A PLAT OF WHICH IS FILED IN THE OFFICE OF THE COUNTY RECORDER NOVEMBER 5, 1936; THENCE ALONG THE SOUTHERLY LINE OF SAID FRACTIONAL SECTION 17, SOUTH 88°55'00" EAST, A DISTANCE OF 2,071.03 FEET(2,074.27 PER SAID LICENSED SURVEYOR'S MAP NO. 275)TO A POINT ON THE WESTERLY BOUNDARY OF SAID OTAY RANCH, SAID POINT BEING ALSO THE TRUE POINT OF BEGINNING; THENCE LEAVING SAID SOUTHERLY LINE, NORTH 19 100'00" WEST, ALONG SAID WESTERLY BOUNDARY, A DISTANCE OF 2,893.65 FEET(2,893.04 FEET PER SAID LICENSED SURVEYOR'S MAP NO. 275)TO THE MOST NORTHERLY NORTHEAST CORNER OF THAT LAND DESCRIBED IN DEED TO THE COUNTY OF SAN DIEGO, RECORDED APRIL 16, 1962 AS FILE NO. 64315 OF OFFICIAL RECORDS, IN THE OFFICE OF SAID COUNTY RECORDER; THENCE CONTINUING ALONG SAID WESTERLY BOUNDARY NORTH 19 000'00" WEST, A DISTANCE OF 741.41 FEET; THENCE LEAVING SAID WESTERLY BOUNDARY, NORTH 74°23'37" EAST, A DISTANCE OF 3,829.24 FEET; THENCE SOUTH 02°44'38" EAST, A DISTANCE OF 2,922.46 FEET; THENCE SOUTH 59°39'21"WEST, A DISTANCE OF 3,064.30 FEET TO THE TRUE POINT OF BEGINNING. ALSO EXCEPTING THEREFROM THAT PORTION OF SAID LOT 43 DESCRIBED AS FOLLOWS: COMMENCING AT THE EAST QUARTER CORNER OF FRACTIONAL SECTION 20, TOWNSHIP 18 SOUTH, RANGE 1 WEST, SAN BERNARDINO MERIDIAN, AS SHOWN ON OTAY INDUSTRIAL PARK, MAP NO. 8147, FILED IN THE OFFICE OF THE COUNTY RECORDER; THENCE ALONG THE EASTERLY LINE OF SAID FRACTIONAL SECTION 20, BEING ALSO THE WESTERLY BOUNDARY LINE OF SAID OTAY RANCH, NORTH 18°37'06" WEST 650.00 FEET TO THE TRUE POINT OF BEGINNING; THENCE LEAVING SAID RANCH BOUNDARY NORTH 71 122'54" EAST 55.00 FEET; THENCE LEAVING SAID RANCH BOUNDARY NORTH 71 022'54" EAST 55.00 FEET; THENCE NORTH 18°37'06" WEST, PARALLEL WITH SAID RANCH BOUNDARY LINE 200.00 FEET; THENCE SOUTH 71 022'54"WEST 55.00 FEET TO SAID RANCH BOUNDARY LINE; THENCE ALONG SAID LINE SOUTH 18 037'06" EAST 200.00 FEET TO SAID POINT OF BEGINNING. ALSO EXCEPTING THEREFROM THAT PORTION OF SAID LOT 43 DESCRIBED AS FOLLOWS: BEGINNING AT A POINT ON THE WESTERLY RANCH OTAY BOUNDARY DISTANT SOUTH 18 037'10" EAST 499.12 FEET ALONG SAID OTAY RANCH BOUNDARY FROM THE SOUTHEAST CORNER OF LOT 17 OF MAP NO. 8147; THENCE LEAVING SAID OTAY RANCH BOUNDARY EASTERLY ALONG A NON-TANGENT CURVE, CONCAVE SOUTHERLY AND HAVING A RADIUS OF 157.00 FEET, A RADIAL TO SAID POINT BEARS NORTH 34 156'19" WEST; THENCE ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 49 041'39" AN ARC LENGTH OF 136.17 FEET; THENCE -7- 2014-12-02 Agenda Packet Page 740 TANGENT TO SAID CURVE SOUTH 75 014'40" EAST 179.58 FEET; THENCE SOUTH 14 045'20" WEST 62.00 FEET; THENCE NORTH 75 014'40"WEST 45.61 FEET TO THE BEGINNING OF A TANGENT 95.00 FOOT RADIUS CURVE CONCAVE SOUTHERLY; THENCE WESTERLY ALONG THE ARC OF SAID CURVE THROUGH A CENTRAL ANGLE OF 107 028'43"A LENGTH OF 178.21 FEET TO A POINT ON THE NORTHERLY LINE OF SAID LOT 44 OF OTAY RANCH; THENCE DEPARTING THE ARC OF SAID CURVE NON-RADIALLY SOUTH 71 058'08" WEST 9.63 FEET ALONG THE NORTHERLY LINE OF SAID LOT 44 TO THE EASTERLY LINE OF THAT EASEMENT FOR COUNTY HIGHWAY RECORDED APRIL 9, 1979 AS FILE NO. 79-144675 OF OFFICIAL RECORDS; THENCE NORTH 18 03710" WEST 78.39 FEET ALONG THE EASTERLY LINE OF SAID EASEMENT FOR COUNTY HIGHWAY; THENCE SOUTH 71 022'50"WEST 55.00 FEET ALONG THE NORTHERLY LINE OF SAID EASEMENT FOR COUNTY HIGHWAY TO A POINT OF INTERSECTION WITH SAID RANCH BOUNDARY; THENCE ALONG SAID RANCH BOUNDARY NORTH 18 037'10" WEST 119.86 FEET TO THE POINT OF BEGINNING. PARCEL B PARCEL 3 OF PARCEL MAP NO. 19923, IN THE CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, JANUARY 18, 2006. PARCEL C PARCEL 4 OF PARCEL MAP N0, 20264, IN THE CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, JUNE 1, 2007. PARCEL D LOTS 25 AND 26 IN OTAY RANCHO, IN THE CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 862, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY, FEBRUARY 7, 1900. EXCEPTING THEREFROM THAT PORTION OF SAID LOT 25 CONVEYED TO THE STATE OF CALIFORNIA BY DEED RECORDED JUNE 21, 2006 AS DOCUMENT NO. 2006-0437364, OFFICIAL RECORDS. ALSO EXCEPTING THEREFROM THAT PORTION OF LOT 25 IN OTAY RANCHO, IN THE CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 862, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY, FEBRUARY 07, 1900, BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS: COMMENCING AT THE SOUTHEAST CORNER OF SAID LOT 25; THENCE ALONG THE EASTERLY LINE OF SAID LOT 25 NORTH 18 040'35" WEST, 1756.49 FEET TO THE TRUE POINT OF BEGINNING; THENCE LEAVING SAID EASTERLY LINE SOUTH 63 042'23"WEST, 712.12 FEET; THENCE SOUTH 74°46'02"WEST, 790.86 FEET TO A POINT IN THE EASTERLY SIDELINE OF STATE HIGHWAY 125 DEDICATED PER DOCUMENT RECORDED JUNE 21, 2008 AS DOC. NO. 2008-0437364 OF OFFICIAL RECORDS, BEING ALSO THE BEGINNING OF A 5124.33 FOOT RADIUS NON-TANGENT CURVE CONCAVE EASTERLY, A RADIAL LINE TO SAID POINT BEARS NORTH 76 023'06"WEST, THENCE NORTHERLY ALONG SAID EASTERLY SIDELINE OF SAID STATE HIGHWAY AND THE ARC OF SAID CURVE THROUGH A CENTRAL ANGLE OF 02 035'07" A DISTANCE OF 231.21 FEET; THENCE NORTH 16 112'01" EAST, 516.13 FEET TO THE BEGINNING OF A 208.85 FOOT RADIUS NON-TANGENT CURVE CONCAVE NORTHWESTERLY A RADIAL LINE TO SAID POINT BEARS SOUTH 01 041'11" EAST,THENCE NORTHEASTERLY ALONG THE ARC OF SAID CURVE THROUGH A CENTRAL ANGLE OF 76 000'20" A DISTANCE OF 277.05 FEET; THENCE -8- 2014-12-02 Agenda Packet Page 741 City of Chula Vista CTY CHUILAVISTA Staff Report File#: 14-0672, Item#: 14. RATIFICATION OF APPOINTMENTS TO THE FOLLOWING COMMISSIONS: NANCY SEDGWICK TO THE RESOURCE CONSERVATION COMMISSION JORGE MARROQUIN AND JERRY MUNOZ TO THE SAFETY COMMISSION City of Chula Vista Page 1 of 1 Printed on 11/26/2014 2014-12-02 Agenda Packet powered by Leg age 742 Mayor and City Council City Of Chula Ysta 276 Fourth Avenue Chula Vista,Ca 91910 CITY OF 619.691.5044—6519.476.5379 Fax CHUTA VISTA MEMO November 19, 2014 TO: Kerry Bigelow, Senior Deputy City Clerk Sheree Kansas, Deputy City Clerk CC: Jill Maland, Assistant City Attorney FROM: Jennifer Quijano, Constituent Services Managed Q`' RE: Resource Conservation Commission and Safety Commission ! Mayor Cox would like to recommend Nancy Sedgwick for appointment to the Resource Conservation Commission and Jorge Marroquin and Jerry Munoz for appointment to the Safety Commission. Nancy will replace Ben Flores. Jorge will replace Gabe Gutierrez and Jerry will replace Julio Fuentes. Please place these items on the December 2, 2044 Council agenda for ratification and schedule the oaths of office for the next available City Council meeting. Thank you. 1 2014-12-02 Agenda Packet Page 743 City of Chula Vista CTY CHUILAVISTA Staff Report File#: 14-0692, Item#: 15. CONFERENCE WITH LEGAL COUNSEL REGARDING EXISTING LITIGATION PURSUANT TO GOVERNMENT CODE SECTION 54956.9 (a) Cit-y of Chula Vista v. Ba-y & E, Inc., et al.= San Diego Superior Court, Case No. 37-2013- 00055103-CU-MC-CTL City of Chula Vista Page 1 of 1 Printed on 11/25/2014 2014-12-02 Agenda Packet powered by Leg age 744