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HomeMy WebLinkAboutItem 1 - Staff Report - OR Freeway Commercial SPA PlanC H U A VISTA PLANNING COMMISSION AGENDA STATEMENT Item: I Meeting Date: 7127116 ITEM TITLE: Public Hearing: 1) Consideration of Addendum to Final Environmental Impact Report (FEIR) 02 -042; 2) Consideration of an amendment to the Otay Ranch Freeway Commercial SPA PIan (PCM 12 -16) and associated regulatory documents, including Planned Community District Regulations, and Design Plan to reflect the addition of multi - family residential use and mixed use designations within Freeway Commercial North (FC -2). The project also includes a Supplemental Public Facilities Finance Plan; 3) Consideration of a Tentative Map (PCS 15- 0007); and 4) Consideration of a Master Precise Plan (MPA15- 0018). APPLICANT: Baldwin & Sons SUBMITTED BY: Stan Donn, AICP, Senior Planner REVIEWED BY: Kelly Broughton, FASLA, Development Services Director INTRODUCTION Baldwin & Sons, LLC ( "Applicant" or "Developer ") is proposing to amend the Freeway Commercial Sectional Planning Area ' (SPA) Plan and the associated Planned Community (PC) District Regulations in order to develop a mixed use center with a combination of commercial, multi - family, and mixed use residential on an approximately 36 -acre site in the northern portion of the Freeway Commercial SPA. The project also includes a Tentative Map and a Master Precise Plan that establishes a unified, walkable, mixed use community intended to enhance living, working, shopping, and transit options in the area. An EIR Addendum has been prepared in order to provide additional information and analysis concerning land use impacts as a result of the proposed amendments. On September 24, 2015, the applicant filed applications to process all of the subject items. BACKGROUND In September 2004, the Freeway Commercial SPA Plan and Tentative Map were adopted, and entitled approximately 1,214,000 square -filet of commercial uses: 867,000 square -feet on FC -1 (Freeway Commercial South) and 347,000 square -feet on FC -2 (Freeway Commercial North). In May of 2015, General Plan (GP) and General Development Plan (GDP) amendments (Resolution No. 2015 -114) entitled the development of 600 multi- family residential units and mixed use commercial consisting of 15,000 square -feet of ground -floor commercial retail, and a 2 -acre highly amenitized urban park, and ensured the development of two hotels within the Freeway Planning Commission July 27, 2016 Page 2 Commercial North (FC -2) portion of the SPA. A Development Agreement was adopted by Ordinance No. 3345 on June 29, 2015. The applicant is now requesting an amendment to the Freeway Commercial SPA Plan and its associated documents in order to implement the development concept entitled by the GP, GDP, and the Development Agreement. Although new mixed use is proposed, the importance of commercial uses, including hotels, is recognized. As a result, hotel uses were located on the northwest corner of the site where they will have high visibility from both Olympic Parkway and SR -125. The planned retail uses (provided in a mixed use format) are located along Town Center Drive for optimal visibility from the street and as a bridge between the existing commercial uses directly north and south of the project site. One of two anticipated hotels is currently under construction, in conformance with the adopted FC SPA plan, and will be completed by Spring of 2017. The remainder of the FC -2 site remains vacant and undeveloped. ENVIRONMENTAL REVIEW The Development Services Director has reviewed the proposed project for compliance with the California Environmental Quality Act (CEQA) and has detennined that the project was covered in the previously adopted Final Environmental Impact Report . for the Otay Ranch Freeway Cornrnercial Sectional Planning Area (SPA) Plan - Planning Area 12 (FEIR 02 -04) (SCH #1989010154). The Development Services Director has determined that only minor technical changes or additions to this document are necessary and that none of the conditions described in Section 15162 of the State CEQA Guidelines calling for the preparation of a subsequent document have occurred; therefore, the Development Service Director has prepared a Second Addendum to FEIR 02 -04. RECOMMENDATION That the Planning Commission conduct a public hearing and adopt the proposed resolution recommending that the City Council: 1. Consider the second Addendum to FEIR 02 -04; 2. Approve a resolution for amendment to the Otay Ranch Freeway Commercial SPA Plan and a new Master Precise Plan in accordance with the findings and subject to the conditions contained therein; 3. Approve an ordinance for approval of modifications to the Freeway Commercial PC District Regulations; 4. Approve a resolution approving the Tentative Subdivision Map, based on the findings and subject to the conditions contained in the attached draft City Council Resolution. BOARDS /COMMISSION RECOMMENDATION: NIA DISCUSSION: Addendum to FEIR 0204 Section 21002 of the CEQA requires that an environmental impact report identify the significant Planning Commission July 27, 2016 Page 3 effects of a project on the environment and provide measures or alternatives that can mitigate or avoid those significant effects. The Freeway Commercial SPA was analyzed in the previously adopted Final Environmental Impact Report for the Otay Ranch Freeway Commercial Sectional Planning Area (SPA) Plan - Planning Area 12 (FEIR 02 -04) (SCH 41989010154). The First Addendum to the FEIR was approved for the General Plan and Otay Ranch General Development Plan Amendments in May 2015. The First Addendum to the FEIR analyzed the impact of the General Plan and General Development Plan amendments, based on the urban, mixed use development proposal. As a result of this analysis, the basic conclusions and impacts identified in FEIR 02 -04 were determined to not have changed. The land use and public service impacts are found to be less than significant for the current SPA Plan and Tentative Map proposed project and were adequately covered in FEIR 02 -04. Therefore, in accordance with Section 15164 of the CEQA Guidelines, the City has prepared the Second Addendum to the FEIR. The Second Addendum provides an environmental analysis of the potential impacts associated with implementing the proposed Freeway Commercial SPA Plan Amendment. SPA Plan Amendment 1. Location, Existing Site Characteristics, and Ownership The Freeway Commercial SPA Plan area is generally located south of Olympic Parkway, north of Birch Road, east of State Route 125 and west of Eastlake Parkway (see Locator Map, Attachment 1). This amendment is limited to the FC -2 portion of the SPA Plan, located between Olympic Parkway and the existing Otay Ranch Town Center mall. One of the two anticipated hotels is currently under construction, in conformance with the exiting commercial entitlement, and anticipated to be completed by Spring of 2017. The remainder of the FC -2 site remains vacant and undeveloped. FC -2 includes approximately 36.3 acres under two ownerships, Village II Town Center, LLC and SunRanch Capital Partners, LLC (see Locator Map, Attachment 1). Planning Commission July 27, 2016 Page 4 Existing General Plan, SPA Plan Land Use Designations and Land Use 2. Project Description The proposed project is an urban mixed use multi- family neighborhood with amenity -rich open space. It will include up to 600 multifamily residential units, 300 hotel rooms, 15,000 square -feet of mixed use ground -floor retail, and a two -acre highly amenitized public park. It is consistent with the GP and GDP goals and vision for Freeway Commercial North and is intended to enhance living, worldng, shopping, and transit options in the Freeway Commercial North while increasing residents' opportunities for social interaction and recreation. The proposed amendment to the Freeway Commercial SPA Plan implements the Chula Vista GP and Otay Ranch GDP policy objectives for the Freeway Commercial North (i.e. provision of hotels and high density residential with ancillary commercial in a mixed use urban character setting that includes an urban park, GDP Sec 11.1.Q. - Y - - -- --- - - - - -- -- _ .. ;General Plan Otay Ranch CV Municipal _ _ -._ . PC District Land . . Existing Land General Code Zoning Use Designation Use Development i Plan Site ;Retail ;Freeway Planned i FC2a commercial FC2a Freeway Commercial and Commercial and Community (PC) Hotel currently under F Commercial Mixed Use Mixed Use FR2b - Multi - family development Residential Residential FC2b, FC2c, E FC2c —Mixed Use - park -- vacant. Comm/MF FC -1 developed 1. 1 Park as Otay Ranch j Town Center ma _ - - -- - .. . ....__._ .............. _. - _ - Existing North Commercial 1 N/A - the Planned Freeway Commercial Commercial Retail Eastl ake 11 Community (PC) - FC shopping center ' Freeway Commercial Eastern Urban EUC (Millenia) Planned D1 ........... ....... .... -_ - ...... _., 25K proposed South Center Community (PC) retail _ _ Low- Medium _ -- ___ __._. -.. Village 11 .. __- ___..... Planned �- RMi Fully developed 1 East Residential, Medium. -High Community (PC) residential Mixed Use Density Residential Residential __ _ . .. ..... .... . „__ Medium Village 6 _- ...-- __ -__ -__ Planned i RMl and RM2 Fully developed West E Residential, Medium -High Community (PC) residential Mixed Use Density residential, Low- Residential, Medium Low Medium I Residential, Village Density Public /Quasi - i Residential i Public, Parks & f . ................. - -- Recreation - -- ..... - -- 2. Project Description The proposed project is an urban mixed use multi- family neighborhood with amenity -rich open space. It will include up to 600 multifamily residential units, 300 hotel rooms, 15,000 square -feet of mixed use ground -floor retail, and a two -acre highly amenitized public park. It is consistent with the GP and GDP goals and vision for Freeway Commercial North and is intended to enhance living, worldng, shopping, and transit options in the Freeway Commercial North while increasing residents' opportunities for social interaction and recreation. The proposed amendment to the Freeway Commercial SPA Plan implements the Chula Vista GP and Otay Ranch GDP policy objectives for the Freeway Commercial North (i.e. provision of hotels and high density residential with ancillary commercial in a mixed use urban character setting that includes an urban park, GDP Sec 11.1.Q. Planning Commission July 27, 2016 Page 5 In conformance with the GP and GDP, the project proposes converting approximately 26.7 acres of Freeway Commercial land use to Multi - Family Residential, 2 acres of Freeway Commercial to Mixed Use, and 2 acres of Freeway Commercial to Public Park uses. 7.6 acres will remain Freeway Commercial use and will accommodate two hotels. The Hotel corner is situated along Olympic Parkway, west of Town Center Drive for maximum visibility from the SR -125 and Olympic Parkway. Two hotels are anticipated to be built, providing 148 and 152 rooms each. The commercial component of the Mixed Use district will be located along the east side of Town Center Drive, and will contain at least 15,000 square -feet of retail and general commercial space. It will be provided on the ground floor with residential above, with active frontage to Town Center Drive. Of the proposed 600 dwelling units, 308 are proposed cast of Town Center Drive and 292 are proposed west of Town Center Drive. Residential East will consist of for -rent multi - family residential, at the density of 30 dwelling units per acre. Residential West will contain for -sale homes, and will consist of two distinct residential products, both attached multi - family. The townhome product will provide 212 units in the form of 8- and 12- plexes. Three to four -story tall buildings with individual character and massing will serve as a backdrop for the centrally located Public Park. It will create the desired urban height and an interesting skyline that will be viewed from surrounding neighborhoods. The lower density rowhome product will consist of 80 units and will be three -story high 3- and 4- plexes with private back yards and upstairs decks. At 14 dwelling units per acre (DU /ac), the rowhomes will provide a desired balance between the 30 DU /ac apartments and 26 DU /ac townhomes. Three different types of residential products ensure diversity and add an interest and distinctive character to the neighborhood. Each of the neighborhoods within the Project make up a dense, walkable community that offers modern smaller -scale living accommodations within walking distance to local shops, dining and services within the village, and the immediate surrounding area. It supports an active community that is bike - and pedestrian - friendly and is in proximity to available surrounding diverse amenities. 3. Proposed Amendments. The following is a brief summary of the proposed amendments to the Freeway Commercial SPA Plan, Design Plan, and PC District Regulations. Amend applicable text, tables, and exhibits to reflect changes in zoning necessary to implement the mixed use zoning district with 600 dwelling units, 15,000 square -feet of mixed use commercial and a 2 -acre park. I. Update the SPA Plan to be consistent with the GP /GDP objectives and policies regarding the Otay Ranch Freeway Commercial North as a "High quality mixed use transit supportive development within FC -2 with hotels, commercial retail, park and high - density uses through a cohesive, coordinated design that integrates well with the Freeway Commercial South (FC- 1) shopping center." 2. Rezone FC -2 parcel from Freeway Commercial to Mixed Use. 3. Update the Site Utilization Plan from an entirely Commercial land use in FC -2 to Commercial Hotel, Multi - Family Residential, Mixed Use, and Public Park. Planning Commission July 27, 2016 Page 6 4. Update the Project obligations and standards arising from the addition of Residential land use: a. Development Concept: update the Land Use Pattern; add Density Transfer provisions; provide an Affordable Housing Plan; describe the new Urban and Landscape Design concepts. b. Mobility: update the Circulation exhibit; provide new Street Sections. c. Grading: update the Storm Water quality requirements. d. Parks, Recreation and Open Space: include Park, Open Space, and Preserve Conveyance obligation based on the projected 600 dwelling units. e. Development Phasing: add Residential and Mixed Use components to the existing Commercial phasing schedule; update the Phasing exhibit. f. Public Facilities: update the Potable and Recycled Water and Sewer demand projections; update student generation rates and the resulting School obligations; update the Police and Fire Services inforrnation; include the CPF obligation of 2.2 acres and implementation procedure. g. Design Plan: add a Conceptual Site Plan exhibit for FC -2 and update the Design Review Planning Areas for the FC -2 parcel. Specific Design Guidelines for the Project are provided in the new Master Precise Plan. h. PC District Regulations: Update Land Use District definitions and exhibit; update the Permitted Use matrix for the new Residential, and Mixed Use districts; update Property Development Standards for the new uses, including lot and building standards, parking requirements, common and private open space provisions. ANALYSIS 1. SPA Plan Amendment Otay Ranch Freeii)ay Commercial SPA Plan Amendment The Freeway Commercial SPA Plan adopted in 2004 and subsequently amended in 2007 includes regulations for both the Freeway Commercial North (FC -2) and Freeway Commercial South (FC -1) sites. The proposed amendment addresses changes to the Freeway Commercial North site. The applicant is proposing amendments to the SPA Plan in order to develop 600 multi - family residential units, mixed use format commercial consisting of 15,000 square -feet of ground -floor commercial retail, and a 2 -acre highly amenitized urban park. The SPA Plan amendment would make the document consistent with the GP and GDP as amended in May, 2015. The proposed new Site Utilization Plan reflects the location of the uses and corresponding acreages in the planning area. Commercial uses are proposed to be sited where they will have optimal visibility and accessibility. Two hotels will be located at the northwest corner of the site with direct visibility from the SR -125 and Olympic Parkway. Ground floor retail and general commercial will be located along the east side of Town Center Drive to activate the pedestrian promenade. Residential uses span both sides of Town Center Drive, and are in proximity to transit, shopping, entertainment, employment and adjacent uses such as schools and trails. A highly amenitized 2 -acre Public Park located in the center of the project, along the west side of Town Center Drive is intended to link all of the uses together. Planning Commission July 27, 2016 Page 7 The amended SPA Plan would allow for a reduction of the Landscape Buffer along Olympic Parkway, along the project frontage between SR -125 and Eastlake Parkway, from 75 to 30 feet with Design Review approval by the Planning Commission. Olympic Parkway is designated as a Scenic Roadway in the GP. The GP defines an urban scenic corridor as a route that traverses an urban area, with the scenic corridor offering a view of attractive and exciting urban scenes. The nature of the proposed project at this location is more urban than the rest of the scenic corridor continuing east toward the Olympic Traning Center. A mixed use residential building with ground floor commercial frontage will have a prominent location at the corner of Olympic Parkway and Town Center Drive, creating an activated pedestrian environment. Urban -type three to four story residential buildings with enhanced frontages with a generous amount of windows, balconies, and pedestrian stoops will line along the sidewalk on Olympic Parkway, east of Town Center Drive. Elegant landscaping will create a pleasant pedestrian environment. The 30 -foot buffer in FC -2 must have the following features. it must be heavily landscaped; the urban environment along the scenic corridor will be activated with plazas in openings between buildings; provide pedestrian connections from Olympic Parkway to the project and provide commercial uses along Town Center Drive; and the landscaping must be attractive. The SPA Plan contains an Exhibit 5 showing a conceptual cross section for the proposed reduced enhancement buffer at this location. Parks, Dien Space & Trails Based on Chula Vista Municipal Code Chapter 17. 10, the project generates 4.7 acres of Parkland Acquisition obligation and a 4.7 acre Parkland Development obligation. Per Section 5.3 of the project Development Agreement executed on June 16, 2015, the applicant will satisfy this obligation by providing 2.0 acres of parkland and the remaining 7.4 acres will be provided via in- lieu fees (2.7 acres in acquisition fees and 4.7 acres in development fees), which will be used to construct the project park. The Applicant is granting a 2 -acre property to, the City in a permanent easement for public use. The Applicant will develop a highly amenitized, "turnkey" park and will invest substantially more to the development and granting of the park than would a typical equivalent to the dedication and improvement required to achieve full park obligations. Per the Development Agreement, the Developer is responsible for all costs of maintaining the park. Prior to approval of the first final map for the project, a Community Facilities District (CFD) or other funding mechanism will be established to fund the perpetual maintenance of the park. Per the Otay Ranch Resource Management Plan (RMP), parcel FC -2 has a preserve land conveyance obligation of 43.5 acres that will be conveyed upon approval of the first final map. Community Purpose Facilities CVMC Section 19.48 requires the provision of 1.39 acres of land per 1,000 persons be zoned for Community Purpose Facilities (CPF) when creating a SPA Plan. The Project will require 2.2 acres of CPF. In accordance with the provisions of Section 5.3.2 of the executed and recorded Development Agreement for Freeway Commercial North, the applicant may satisfy its CPF requirement by the provision of the CPF land offsite, at the discretion of the Development Services Director. The required 2.2 acres of CPF will be provided for within a 6.5 acre site available to be converted in Village 7. Planning Commission July 27, 2016 Page 8 Freeway Commercial PC District Re ulations Amendments The PC District Regulations function as the zoning regulations for the Otay Ranch Freeway Commercial SPA. The PC District Regulations would be amended to include the new land uses. FC -2 is proposed to be divided into 3 sub -land use districts (zones): H for hotels, RM for Multi - Family Residential, MU for Mixed Use, and P for Park. The Land Use District exhibit has been revised to reflect these land use districts. The amended Permitted Use Matrix and Property Development Standards contain the regulations for the residential and mixed use commercial /residential use districts. The PC District Regulations identify the parking standards for each land use category. Freeway Commercial North will be adopting the currently utilized Otay Ranch parking standards within Village 2, with the following modifications that require all parking to be provided on -site. City of Chula Vista Code Otay Ranch Freeway Commercial North RM1 (8 -14.9 du/ac): RM: Dwellings, Multiple: 2.33 spaces /unit (1) 2.33 spaces /unit RM2 (15+ du/ac) : R/MU : 1 -br — 1.5 spaces /unit 2 -br — 2.0 spaces /unit 1 -br — 1.5 spaces /unit 1 -br — 1.5 spaces /unit 3 + -br — 2.0 spaces /unit 2 -br — 2.0 spaces /unit 2 -br — 2.0 spaces /unit 3 + -br — 2.25 spaces /unit 3 + -br — 2.25 spaces /unit "I 1 covered space, 0.33 guest guest space included (2) 0.33 guest space included (3) Tandem - parking allowed (4) Tandem parking allowed. A two -car tandem parking garage counts as 1.75 spaces. The PC District regualtions do not allow residential parking on Town Center Drive. All residential parking will be provided on -site. Similarly to the Otay Ranch standards, tandem parking is allowed for residentival uses as a space- efficient solution. However, in order to reduce the building footprints and achieve the desired massing and higher density, consistent with the intent and vision of the SPA Plan for the project as a high intensity urban environment, the PC District Regulations count a 2 -car tandem space as 1.75 spaces. The remaining 0.25 spaces would be provided as common unassigned spaces on -site, including all required guest parking. Freewav Commercial SPA Plan Design Guidelines Amendments The Design Guidelines set forth design parameters that pertain to site planning, landscape architecture, architecture and signage for all developments within Planning Area 12. The Design Guidelines contain illustrations and requirements to implement the design concepts presented therein. The Freeway Commercial North Design Plan was updated to include the proposed residential and mixed use portion of the project. Specific design guidelines for residential and mixed use commercial /residential are provided in the Master Precise Plan. Planning Commission July 27, 2016 Page 9 Public Facilities Finance Plan (PFFP) and Fiscal Impact Analysis (FIA) A PFFP has been prepared as a supplemental document to the.original PFFP dated April 1, 2003. The Freeway Commercial North Supplemental PFFP for this project analyzes the proposed 600 - unit addition, any potential impacts on public facilities and services, and identifies the facilities, phasing and timing triggers for the provision of facilities and services to serve the project, consistent with the City's Quality of Life Threshold Standards. The PFFP describes in detail the cost, financing mechanism and timing for construction of necessary public facilities based on the project's proposed phasing. The public facilities needed to serve the project will be guaranteed by placing conditions of approval on the Tentative Map, requiring payment of various fees at the building permit stage, and/or continuing payment of bond payments under the approved Community Facilities Districts to finance or maintain public facilities. The PFFP included an analysis of transportation, drainage, water, sewer, fire, schools, libraries, parks, and fiscal impacts of the project. The supplemental PFFP also includes a Fiscal Impact Analysis (FIA) of the Freeway Commercial North plan and phasing program. The Freeway Commercial North Supplemental FIA has been prepared using the City's Fiscal Impact Framework to provide a consistent evaluation with those of other Chula Vista SPAs. Based on the FIA and the assumptions contained therein, the fiscal impact generated by the proposed Project as compared to the currently approved plan (i.e. base), are zero in Years 0 & 1 and positive in all future study years including at build -out. This is because no construction is taking place on the site in Years 0 & 1. Both the base and proposed Project are estimated to generate more revenues than expenditures throughout the build -out period. The currently adopted SPA plan is estimated to generate annual revenues of $4.1 million and expenses of $2.1 million resulting in a net positive fiscal impact to the City of $2.0 million annually at build -out. The proposed Project is estimated to generate revenues of $4.8 million and expenses of $2.3 million resulting in a net positive fiscal impact to the City of $2.5 million annually at build -out. Overall, the proposed Project is .estimated to generate approximately $0.5 million more than the base primarily due to the Transient Occupancy Tax (TOT) revenues estimated from the development of the hotels. While hotel uses are allowed under the current FC entitlement, the original FIA for the Freeway Commercial SPA Plan did not include revenues for hotels, therefore, the base (i.e. existing approved project) does not include revenues for hotels because there were no assurances that hotels would be developed on either the FC -1 or FC -2 sites. The previously approved Development Agreement for the proposed Project provides financial assurances and development thresholds to ensure the City receives the anticipated tax revenue commensurate with the phasing of the hotel and residential development. The findings in the FIA show that hotel uses generate revenues for the City at a higher rate than general commercial, and the proposed project will generate over a half million dollars more than the base, as described above. Affordable Housing Plan The Chula Vista General Plan Housing Element contains objectives, policies and action programs to accomplish key affordable housing objectives. Key among these is the affordable Planning Commission July 27, 2016 Page 10 housing policy which requires that residential development with fifty (50) or more dwelling units provide a minimum of 10% of the total dwelling units for low and moderate income households; one -half of these units (5% of the total project) being designated for low income, and the other half (5 %) to moderate income households. Based on the entitlement of 600 residential units in FC -2, 30 low - income and 30 moderate - income affordable units are required. These affordable housing units may be located either within or outside the plan area. A Housing and Development Agreement between the City of Chula Vista and Baldwin and Sons was executed on April 21, 2016, which allows the Developer to satisfy its affordable housing obligation from credits earned by the development of off -site housing at the Olympic Training Center. The Project may satisfy its affordable housing obligation through a combination of on- site and off-site units. Water Conservation Plan The City of Chula Vista's Growth Management Ordinance requires that all development of 50 units or more prepare a Water Conservation Plan (WCP) as part of the SPA Plan. This plan presents a review of presently available technologies and practices that result in water conservation. This plan identifies water conservation measures that will be incorporated into the project as a condition of approval on the SPA Plan. A WCP, consistent with the current City standards, has been prepared as a part of the proposed project. This WCP covers additional land uses proposed by this amendment. The FC -2 WCP requires that residential development provide hot water pipe insulation, pressure reducing valves and water efficient dishwashers. Non - residential measures include hot water pipe insulation, pressure reducing valves and compliance with Division 5.3 of the California Green Building Standards Code. In addition, to comply with the City's current water conservation requirements, the developer will also include dual flush toilets and water efficient landscaping. Together these measures annually save approximately 8,850 gallons per multi- family unit. The WCP also provides a discussion of the local water conservation requirements related to the use of reclaimed water. The City of Chula Vista Landscape Manual requires the use of recycled water for irrigation of parks, median landscaping, open space slopes, and common landscaped areas. The Landscape Manual also requires some drought tolerant plant selection in the landscaping plan and the use of evapotranspiration controllers for parks and common landscaped areas. Additionally, the Landscape Water Conservation Ordinance is expected to reduce outdoor water consumption due to the setting of strict water budgets on City approved landscape plans that must not be exceeded. The use of recycled water and other water conservation measures is expected to reduce potable water usage by 46,936 gallons per day (gpd), or 21 %. The proposed conservation measures outlined above, and identified in the FC -2 WCP, comply with the City of Chula Vista's Growth Management Ordinance and the goals, objectives and policies of the City's General Plan and the Otay Ranch GDP. See the Water Conservation Plan section of the SPA Plan. Planning Commission July 27, 2016 Page 11 Air Quality lmlLi ovement Plan The City has included a Growth Management Element (GME) in its General Plan. One of the stated objectives of the GME is to actively plan to meet federal and state air quality standards. This objective is incorporated into the GME's action program. In addition, the City's Growth Management Ordinance (CVMC 19.09) requires that an Air Quality Improvement Plan (AQIP) be prepared for all major development projects (50 dwelling units or greater) as part of the SPA Plan process. A new AQIP has been prepared by Criterion Planners for the FC -2 SPA Amendment to comply with the City's current AQIP Guidelines. The purpose of the AQIP is to provide an analysis of air pollution impacts that would result from development and to demonstrate how the project design reduces vehicle trips, maintains or improves traffic flow, reduces vehicle miles traveled and reduces direct or indirect greenhouse gas emissions. FC-2 is considered as an infill project site whose AQIP value derives in large part from existing surrounding uses interface with the project site. In accordance with the AQIP Guidelines that allows for utilization of other "equivalent" alternative programs such as LEED ND to demonstrate compliance with INDEX thresholds, AQIP analysis for FC -2 was completed using the LEED -ND rating system in lieu of INDEX indicators. Based on the FC -2 project site characteristics, proposed development plan, and surrounding conditions, the AQIP analysis finds that FC -2 scores the equivalent of 56 points, which would earn a Silver certification under the LEED -ND rating system. Criterion Planning was the expert consultant, who in conjunction with city staff worked on the original development of the INDEX indicator thresholds for the City. Based on their experience with INDEX model and certifying over 100 LEED -ND projects nationally, the consultant concluded that the base ND certification of 40 points is the functional equivalent of INDEX indicator thresholds. A score of 56 points exceeds the INDEX thresholds, and demonstrate clear AQIP compliance. Fire Protection Plan (FPP) As determined by the Fire Chief, this project does not require a FPP because it is considered an infill site that is surrounded by manmade slopes and development. 2. Tentative Ma The Tentative Subdivision Map proposes to subdivide 2 existing lots totaling approximately 36.2 acres into 13 lots (3 multi - family, 2 open space, 2 hotel lots, 3 mixed use, 1 park, 1 private street, 1 remainder parcel). The total number of dwelling units proposed is 600 (East residential: lot 3 — 140 units, lot 4 — 93 units, lot 5 — 88 units; and West Residential: lot 6 — 79 units, lot 7 — 140 units, lot 9 — 60 units). Project Access: Access to the project area is provided from Olympic Parkway via Town Center Drive and a private road east of Town Center Drive. Private Street A and Hotel Drive serve as the primary access points along with other internal private streets which will provide access within the project area. All streets will conform to the guidelines set forth in the Freeway Commercial SPA Plan and City of Chula Vista street design guidelines. Planning Commission July 27, 2016 Page 12 Subdivision Design: The subdivision design consists of three (3) multi- family residential lots, three (3) mixed use commercial multi - family residential lots, two (2) hotel lots, two (2) open space lots, one (1) public park, one (1) private street, and one (1) remainder parcel. The subdivision is planned to allow a maximum of 600 residential units. Grading: The FC -2 site is a triangularly - shaped lot bounded by Olympic Pkwy on the north, SR -125 on the west, Otay Ranch Town Center Mall on the south, and Eastlake Pkwy on the east. PA -12 was sheet - graded in 2005. The topography of the site is relatively flat with elevations of about 620' above mean sea level (AMSL). Descending slopes exist on the west with a maximum height of approximately 30'. Drainage is directed to a desilting basin located north of the property. The property will be graded for 4 sheet - graded parcels for future multi- family residential developments and a park. The property will also include a water quality basin on the west and accommodate utilities, driveways, parking areas, and landscaping. The Applicant must obtain a Land Development Permit prior to beginning any earthwork activities at the site and before issuance of building permits in accordance with Chula Vista Municipal Code Chapter 15.05. The Applicant must also submit grading plans in conformance with the City's Subdivision Manual and the City's Development Storm Water Manual requirements. 3. Master Precise Plan A new Master Precise Plan (MPP) for Freeway Commercial North is required by the Freeway Commercial SPA Plan (PC District Regulations, III.E.1) and provides the entitlement bridge linking the approved policies and land use designations of ne Freeway Commercial SPA /Design Plan with subsequent project -level approvals within the Freeway Commercial North MPP area. It serves as a framework document by which future "Individual Precise Plans" will be evaluated for compliance with the approved MPP concepts that encompass streetscape and landscape design, signs, and architectural and lighting guidelines. The MPP supplements the Design Plan. It provides design direction and establishes a detailed framework for building design and siting; pedestrian/vehicle /transit access; urban character /architecture /landscape architecture; and lighting /signage /street furnishings. It contains specific mandatory criteria and general design recommendations for establishing a unifying design theme in FC -2 and for achieving the planning area's intended character and use mix. The MPP provisions are intended to ensure that FC -2 is developed as a diverse urban center in a walkable urban framework with a quality public realm. It promotes an active community that is bike- and pedestrian - friendly and offers diverse amenities. Abstract Spanish with elements of Contemporary California is the defining architectural style linking the entire project together. This modern design with cleaner lines emphasizes building massing, interlocking volumes (i.e. scale), mixture of materials on primary facades and a strong connection to the outdoors. Three separate design checklists are included for each of the Hotel, Mixed Use, and the Residential plan areas. RECISION -MAKER CONFLICTS: Staff has reviewed the property holdings of the Planning Commission and has found that no Planning Commissioner has property holdings within 500 feet of the boundaries of the property Planning Commission July 27, 2016 Page 13 which is the subject of this action. Consequently, this item does not represent a disqualifying real property - related financial conflict of interest under California Code of Regulations Title 2, section 18702.2(a)(I1), for purposes of the Political Reform Act (Cal. Gov. Code section 87100 et seq.). Staff is not independently aware, nor has staff been informed by any Planning Commissioner, of any other fact that may constitute a basis for a decision maker conflict of interest in this matter. RELATIONSHIP TO THE CITY'S STRATEGIC PLAN The City's Strategic Plan has five major goals: Operational Excellence, Economic Vitality, Healthy Community, Strong and Secure Neighborhoods and a Connected Community. The Freeway Commercial North Project supports the Economic Vitality goal, particularly City Initiative 2.1.3 (Promote and support development of quality master - planned communities). The subsequent SPA Plan amendment implementation documents {the SPA Plan,, Master Precise Plan, and TSM) support the development of a high - quality master - planned community (as described above) with a park, jobs, transit, shopping, and other amenities, all within walking distance for residents. CONCLUSION Within Freeway Commercial North, the proposed integrated land uses, development intensities and grading program directly implement the provisions of the City's GP and the Otay Ranch GDP that foster "Smart Growth." The proposed project provides all of the-public facilities required by the Otay Ranch GDP. The additional higher- density mixed use residential located proximate to the hotels, park, and ancillary retail commercial further implement pedestrian -and transit - oriented policies and is in conformance with the goals, objectives and policies of the GP and the Otay Ranch GDP. CURRENT YEAR FISCAL IMPACT All costs associated with preparing and processing the SPA Plan amendment, EIR Addendum, Master Precise Plan, Tentative Subdivision Map, and all supporting documents were borne by the developer, resulting in no net fiscal impact to the General Fund or the Development Services Fund. ONGOING FISCAL IMPACT The proposed project results in an increase of 600 units within Freeway Commercial North. The Supplemental FIA for the Freeway Commercial North Amendment estimates that during years 0 and 1 there would be no difference between the base and proposed project's fiscal impact of $1.9 million net annual positive impact because the hotels have not yet been constructed. From years 2 through 10 (build -out), when comparing the base to the proposed project, a net positive fiscal benefit to the City starting at approximately $390,000 per year and increasing to over $536,000 per year is projected, primarily attributable to Transient Occupancy Tax (TOT) revenues generated by the two planned hotels. Planning Commission July 27, 2016 Page 14 If approved, the proposed project will yield an overall estimated $2.5 million annual net positive fiscal impact to the City at build -out, compared to an estimated $2.0 million under the adopted plan. Attachments: 1. Locator Map 2. Planning Commission Resolution SPA/MPP /TM 3. Draft City Council SPAIMPP Resolution 4. Draft City Council TM Resolution 5. Draft City Council PC District Regulations Ordinance 6, Disclosure Statement 7. Freeway Commercial North SPA Amendments binder, Tentative Map CVT 15 -0007, and Second Addendum to FEIR 02 -04 (disc)