HomeMy WebLinkAboutReso 2002-343 RESOLUTION NO. 2002-343
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING THE CONVEYANCE
SETTLEMENT AGREEMENT BETWEEN THE CITY OF
CHULA VISTA, OTAY RANCH COMPANY, LLC, AND THE
OTAY LAND COMPANY, LLC; AND AUTHORIZING THE
MAYOR TO EXECUTE SAID AGREEMENT
WHEREAS, on October 28, 1993, the San Diego County Board of Supervisors and the
City Council of the City of Chula Vista ("City Council")jointly adopted the Otay Ranch General
Development Plan/Subregional Plan ("GDP"), including the Otay Ranch Phase 1 Resource
Management Plan ("RMP 1") governing the development of the +23,000 acre Otay Ranch
project; and
WHEREAS, on Mamh 6, 1996, the San Diego County Board of Supervisors adopted the
Otay Ranch Phase 2 Resource Management Plan ("RMP 2"), including the Otay Ranch Preserve
Conveyance Plan ("Conveyance Plan"), which identified, in Exhibits 14A and 14B thereto,
specific open space areas ("1996 Schedule") within Otay Ranch to be conveyed to the Otay
Ranch Preserve Owner/Manager as a condition of the development of Otay Ranch SPA One; and
WHEREAS, on June 4, 1996, the City Council of the City of Chula Vista adopted the
RMP 2, including the Conveyance Plan and 1996 Schedule adopted by the San Diego County
Board of Supervisors on March 6, 1996; and
WHEREAS, at the time the City adopted the RMP 2 on June 4, 1996, the SPA One
applicant (a predecessor in interest of Otay Project) owned all of SPA One and all of the preserve
land to be conveyed in connection therewith (i.e., the 1996 Schedule); and
WHEREAS, in 1997, Otay Project's (OP's) predecessor in interest lost ownership of the
preserve lands within the1996 Schedule, and ownership of those lands became fragmented; and
WHEREAS, OP's predecessor in interest also lost ownership of portions of the
developable SPA One land, thus fragmenting ownership of the developable lands; and
WHEREAS, in October, 1997, OP's predecessor in interest sent a written request to the
City and County for an amendment to the Conveyance Plan and 1996 Schedule. The requested
amendment proposed, among other things, to expand the 1996 Schedule, thus permitting the
conveyance of mitigation lands in addition to those lands identified in the 1996 Schedule; and
WHEREAS, in February, 1998, OP's predecessor in interest filed with City an
application for an amendment to the RMP 2, the Conveyance Plan and the 1996 Schedule. The
amendment proposed, among other things, to expand the 1996 Schedule, thus permitting the
conveyance of mitigation lands in addition to those lands identified in the 1996 Schedule; and
WHEREAS, on May 13, 1998, City staff recommended, and the City Planning
Commission recommended, a revision to the RMP 2, Conveyance Plan and 1996 Schedule,
which added additional "keystone", preserve areas to the 1996 Schedule; and
WHEREAS, on June 9, 1998, the City Council of the City of Chula Vista pursuant to
Resolution 19031 adopted the fifth addendum to the Final Second-Tier Environmental Impact
Resolution 2002-343
Page 2
Report for the Otay Ranch SPA One Plan and approved an amendment to the RMP 2 ("the 1998
Amendment"). The preserve lands identified for conveyance in the 1998 Amendment are
referred to herein as the "1998 Schedule;" and
WHEREAS, following City passage of the 1998 Amendment, City approved several
development projects and, in conjunction therewith, obtained irrevocable offers of dedication
("IODs") and open space easements from the project applicants for conveyance of preserve lands
consistent with the provisions of the 1998 Amendment and the 1998 Schedule; and
WHEREAS, in October, 1998, Otay Land Company (OLC) purchased 4,793 acres in
Otay Ranch owned by the Estate of Mary Patrick, including approximately 437 acres of the land
depicted in both the 1996 Schedule and the 1998 Schedule; and
WHEREAS, it came to the attention of the parties that the County had not formally
adopted an amendment to the RMP 2 to be consistent with the 1998 Amendment. While the
County had indicated its concurrence with the City's actions and approvals by executing the
IODs and easements granted for conveyance of preserve open space consistent with the 1998
amendment, the Board of Supervisors had not formally amended the conveyance plan or 1996
schedule to be consistent with the 1998 Amendment.
WHEREAS, on April 29, 2002 the County Board of Supervisors' Otay Ranch
Subconunittee approved a motion directing County staff to prepare a recommendation to amend
the conveyance plan and 1996 Schedule for consideration by the County Planning Commission
and County Board of Supervisors to make it consistent with the 1998 Amendment and 1998
Schedule; and
WHEREAS, the County Department of Planning and Land Use recommended that the
County Board of Supervisors adopt an amendment to the RMP 2 substantially consistent with the
1998 Amendment; and
WHEREAS, on July 18, 2002, the County Planning Commission unanimously voted to
reject the County staff proposal, and require that (1) the entirety of Salt Creek remain a first
priority for acquisition, per the original agreement, (2) the price be determined via eminent
domain if the primary parties agreed and the City of Chula Vista agreed to initiate that action,
and (3) the wildlife agencies be involved with any expansion of the conveyance boundaries; and
WHEREAS, on July 24, 2002, the County Board of Supervisors continued its
consideration of the County staff proposal and unanimously approved a motion encouraging the
City, OP and Otay Land Company (OLC) "to enter into an agreement which would include the
following provisions: (a) City to immediately commence "' friendly'" condemnation proceedings
to acquire for fair market value the approximately 440 acres of land owned by Otay Land
Company in the 1996 approved conveyance area. The only issue to be addressed in the
condemnation is fair market value, (b) Otay Project to pay for acquisition of the land and to
provide a deposit for the condemnation in an amount satisfactory to the City of Chula Vista; (c)
At such time as the deposit is made to the City, all final maps, building permits and other
approvals needed by Otay Ranch from the City of Chula Vista will be moved forward for
approval by the City without opposition from Otay Land Company, (d) The parties agree to
support the County's immediate adoption of an amendment to the 1996 Conveyance Plan
substantially consistent with the 1998 Amendment already adopted by the City of Chula Vista,
and (e) All parties agree that they will not litigate or otherwise contest (1) the City's actions
adopting and/or implementing (e.g. through irrevocable offers of dedication, easements, etc) the
1998 amendment to the RMP, (2) the County's adoption of an amendment to the RMP
Resolution 2002-343
Page 3
substantially similar to the City's 1998 Amendment, and/or (3) any actions by the City to date
taken as a result of its adoption of the 1998 Amendment including, but not limited to, approval of
final maps and the issuance of building permits"; and
WHEREAS, at the County Board of Supervisors' heating of July 24, 2002, all three
parties indicated, on the record, that the five terms of the proposed agreement outlined in Recital
P above were acceptable; and
WHEREAS, on August 6-7, 2002, all three parties initiated a letter of intent ("the Letter
of Intent") outlining the principal points of a settlement agreement consistent with the County
Board of Supervisors' July 24, 2002 resolution; and
WHEREAS, on August 7, 2002, all three parties advised the County Board of
Supervisors of the Letter of Intent. Consistent therewith, OLC advised the County Board of
Supervisors that OLC supported the County staff's recommendation based on the Letter of
Intent, but, because an agreement was not yet effective, OLC reserved its rights for the record
pursuant to OLC's objections previously submitted to the County Board of Supervisors; and
WHEREAS, on August 7, 2002, the County Board of Supervisors took the following
action: "Noting for the record a revised Attachment BI, on Recommendation 4; and deleting
Recommendation 5; ON MOTION of Supervisor Cox, seconded by Supervisor Jacob, the Board
of Supervisors took action as recommended, adopting Resolution No. 02-281, RESOLUTION
OF SAN DIEGO COUNTY BOARD OF SUPERVISORS APPROVING GPA 00-01 (2) OTAY
RANCH RESOURCE MANAGEMENT PLAN AMENDMENT' ("the County Resolution");
and
WHEREAS, it is the intent of the parties to execute this agreement consistent with the
July 24, 2002, action of the County Board of Supervisors and the parties' Letter of Intent in order
to resolve any and all differences between them regarding the matters set forth in the agreement,
and to move forward with the development of the Otay Ranch Project.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula
Vista does hereby approve the Conveyance Settlement Agreement between the City of Chula
Vista; Otay Project, LP; and the Otay Land Company LLC, in substantially the form presented
with such minor 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.
BE IT FURTHER RESOLVED that the Mayor of the City of Chula Vista is hereby
authorized and directed to execute said agreement for and on behalf of the City of Chula Vista.
Presented by Approved as to form by
Robert
A.
Leiter
Planning and Building Director ~ty Attorney
Resolution 2002-343
Page 4
PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista,
California, this 27th day of August, 2002, by the following vote:
AYES: Councilmembers: Davis, Padilla, Rindone, Salas and Horton
NAYS: Councilmembers: None
ABSENT: Councilmembers: None
Shirley Hortor~,/~vlayor
ATTEST:
Susan Bigelow, City Clerk
STATE OF CALIFORNIA )
COUNTY OF SAN DIEGO )
CITY OF CHULA VISTA )
I, Susan Bigelow, City Clerk of Chula Vista, California, do hereby certify that the foregoing
Resolution No. 2002-343 was duly passed, approved, and adopted by the City Council at a
regular meeting of the Chula Vista City Council held on the 27th day of August, 2002.
Executed this 27th day of August, 2002.
Susan Bigelow, City Clerk°