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HomeMy WebLinkAboutItem 5.1 - Attachment 6 - Department of Toxic Substances Control Letter dated Nov 23 2021 November 23, 2021 SENT VIA ELECTRONIC MAIL Mr. H. Robert Penner HomeFed Corporation 1903 Wright Place, Suite 220 Carlsbad, California 92008 bpenner@hfc-ca.com CONDITIONAL APPROVAL OF SITE ASSESSMENT REPORT, OTAY RANCH VILLAGE 3, HERITAGE ROAD, CHULA VISTA (SITE CODE: 401933) Dear Mr. Penner: The Department of Toxic Substances Control (DTSC) reviewed the Site Assessment Report (Report) (TRC, August 20, 2021) for the Otay Ranch Village 3, located on Heritage Road, in Chula Vista (Site). The Report was reviewed pursuant to the Standard Voluntary Agreement (Docket No. HSA-FY20/21-069) executed on November 16, 2020 between DTSC and HomeFed Village III Master, LLC. The Site is approximately 11.57 acres of currently vacant land that will be developed for commercial and industrial use, including warehousing, e-commerce and commerce delivery, light industrial manufacturing and assembly, distribution, and ancillary office. The Site is located adjacent to the Otay Landfill and was partially used for dry farming agricultural purposes from at least 1964 through at least 2012. As a result of the Site’s former use and its proximity to a landfill, metals, organochlorine pesticides, methane and volatile organic compounds (VOC) were identified as potential chemical of concerns. The Report summarized the soil and soil vapor investigation activities conducted in February and March 2021. The soil investigations indicated that (1) all metals, except arsenic, were detected below the residential screening levels; (2) arsenic was detected at maximum concentration of 13 milligrams per kilogram, which is within the range of regional ambient concentrations, and (3) organochlorine pesticides were detected below laboratory reporting limits for all samples. The soil vapor sample results identified residual VOCs including 1,1‐dichloroethane 1,4‐dichlorobenzene, benzene, chloroform, methylene chloride, tetrachloroethene, and trichloroethene that corresponded to Mr. H. Robert Penner November 23, 2021 Page 2 estimated potential cumulative cancer risks and noncancer hazard index for a commercial/industrial receptor of 3x10-7 and 0.1, respectively, using an attenuation factor of 0.0005. The Report concluded that the Site does not pose an unacceptable risk under a commercial/industrial land use scenario and recommended a Land Use Covenant (LUC) be implemented to restrict future Site use to commercial/industrial land use. In addition, the Report recommended installation of a passive sub-slab ventilation and membrane system as a precautionary mitigation measure for vapor intrusion although the low residual VOC concentrations do not represent an unacceptable risk under the anticipated future commercial/industrial land use or warrant mitigation measures. DTSC will not require oversight of the self-initiated proposed precautionary vapor intrusion mitigation measures but is available for consultation. The Report, with its findings and recommendations, was made available for public review and comment. The public comment period began on October 15, 2021 and ended on November 14, 2021 and a public notice was advertised on the Chula Vista Star News, the San Diego Daily Transcript, and Hispanos Unidos on October 15, 2021. No comments were received by DTSC. DTSC hereby approves the Report as final provided the enclosed LUC is recorded with the San Diego County Recorder’s Office. The Department will certify remediation has been satisfactorily completed at the Site once the LUC, as required by California Health and Safety Code section 25455.5 a (1)(C) and 25395.99, has been signed and recorded. A signed and recorded LUC shall be provided to DTSC within 30 days of this letter. Should you have any questions regarding this letter, please contact Ms. Chia Rin Yen, Project Manager, at (714) 484-5392 or at ChiaRin.Yen@dtsc.ca.gov, or Yolanda Garza, Unit Chief at (714) 816-1978 or Yolanda.Garza@dtsc.ca.gov. Sincerely, Javier Hinojosa, Chief Brownfields Restoration and Schools Evaluation Branch Site Mitigation and Restoration Program mv/cy/jh Enclosure: Land Use Covenant cc: See next page Mr. H. Robert Penner November 23, 2021 Page 3 cc: (via e-mail) Mr. Gary Mccue Market Director - Environmental Engineering, Construction & Remediation TRC Companies gmccue@trccompanies.com Mr. Jose Marcos Engineering Geologist DTSC/Geological Services Branch Jose.Marcos@dtsc.ca.gov Ms. Li Yang Staff Toxicologist DTSC/Human and Ecological Risk Office Li.Yang@dtsc.ca.gov Ms. Chia Rin Yen Project Manager DTSC/Brownfields Restoration and Schools Evaluation Branch ChiaRin.Yen@dtsc.ca.gov Brownfields Restoration and Schools Evaluation Branch Reading File – Cypress Page 1 RECORDING REQUESTED BY: Department of Toxic Substances Control and HomeFed Corporation 1903 Wright Place, Suite 220 Carlsbad, California 92008 WHEN RECORDED, MAIL TO: Department of Toxic Substances Control 5796 Corporate Avenue Cypress, California 90630 Attention: Yolanda Garza, Unit Chief Brownfields Restoration and School Evaluation Branch SPACE ABOVE THIS LINE RESERVED FOR RECORDER’S USE LAND USE COVENANT AND AGREEMENT ENVIRONMENTAL RESTRICTIONS County of San Diego, Assessor Parcel Number(s): 644-061-01-00, 644-061-02-00, and 644-061-03-00 Otay Ranch Village 3 (Lots 814, 815, and 816) Site Code: 401933 _____________________________________________________________________ This Land Use Covenant and Agreement ("Covenant") is made by and between HomeFed Corporation (the "Covenantor"), the current owner of property with unassigned addresses and known as Lots 814, 815, and 816 located within the Otay Ranch Village 3, at Chula Vista, in the County of San Diego, State of California (the "Property"), and the Department of Toxic Substances Control (the "Department"). Pursuant to Civil Code section 1471, the Department has determined that this Covenant is reasonably necessary to protect present or future human health or safety or the environment as a result of the presence on the land of hazardous materials as defined in Health and Safety Code section 25260. The Covenantor and the Department hereby agree that, pursuant to Civil Code section 1471 and Health and Safety Code section 25355.5, the use of the Property be restricted as set forth in this Covenant and that the Covenant shall conform with the requirements of California Code of Regulations, title 22, section 67391.1. Page 2 ARTICLE I STATEMENT OF FACTS 1.1. Property Location. The Property that is subject to this Covenant, totaling approximately 11.57 acres, is more particularly described in the attached Exhibit A, “Legal Description”, and depicted in Exhibit B, Plot Plan. The Property is located in the area now generally bounded by Heritage Road to the south, the Otay Landfill to the north, a storage facility at 3296 Heritage Road to the east, and two commercial lots at 881 and 895 Energy Way to the east. The Property is also identified as County of San Diego County, Assessor Parcel Number(s) 644-061-01-00, 644-061-02-00, and 644- 061-03-00. 1.2. Remediation of Property. This Property has been investigated under the Department’s oversight. The Department approved a Site Assessment Report TRC, August 20, 2021) on November 23, 2021 in accordance with Health and Safety Code, division 20, chapter 6.8. The investigation activities conducted at the Property indicated hazardous substances, including volatile organic compounds, remain at the Property above levels acceptable for unrestricted land use but below levels acceptable for commercial land use. 1.3. Basis for Environmental Restrictions. As a result of the presence of hazardous substances, which are also hazardous materials as defined in Health and Safety Code section 25260, at the Property, the Department has concluded that it is reasonably necessary to restrict the use of the Property in order to protect present or future human health or safety or the environment, and that this Covenant is required as part of the Department-approved remedy for the Property. The Department has also concluded that the Property, when used in compliance with the Environmental Restrictions of this Covenant, does not present an unacceptable risk to present and future human health or safety or the environment. ARTICLE II DEFINITIONS 2.1. Department. "Department" means the California Department of Toxic Substances Control and includes its successor agencies, if any. 2.2. Environmental Restrictions. “Environmental Restrictions” means all Page 3 protective provisions, covenants, restrictions, requirements, prohibitions, and terms and conditions as set forth in this Covenant. 2.3. Improvements. “Improvements” includes, but is not limited to buildings, structures, roads, driveways, improved parking areas, wells, pipelines, or other utilities. 2.4. Lease. “Lease” means lease, rental agreement, or any other document that creates a right to use or occupy any portion of the Property. 2.5. Occupant. "Occupant" or “Occupants” means Owner and any person or entity entitled by ownership, leasehold, or other legal relationship to the right to occupy any portion of the Property. 2.6. Owner. "Owner" or “Owners” means the Covenantor, and any successor in interest including any heir and assignee, who at any time holds title to all or any portion of the Property. ARTICLE III GENERAL PROVISIONS 3.1. Runs with the Land. This Covenant sets forth Environmental Restrictions that apply to and encumber the Property and every portion thereof no matter how it is improved, held, used, occupied, leased, sold, hypothecated, encumbered, or conveyed. This Covenant: (a) runs with the land pursuant to Civil Code section 1471 and Health and Safety Code section 25355.5; (b) inures to the benefit of and passes with each and every portion of the Property; (c) is for the benefit of, and is enforceable by the Department; and (d) is imposed upon the entire Property unless expressly stated as applicable only to a specific portion thereof. 3.2. Binding upon Owners/Occupants. This Covenant: (a) binds all Owners of the Property, their heirs, successors, and assignees; and (b) the agents, employees, and lessees of the Owners and the Owners’ heirs, successors, and assignees. Pursuant to Civil Code section 1471, all successive Owners of the Property are expressly bound hereby for the benefit of the Department; this Covenant, however, is binding on all Owners and Occupants, and their respective successors and assignees, only during their respective periods of ownership or occupancy except that such Owners or Occupants shall continue to be liable for any violations of, or non-compliance with, the Environmental Restrictions of this Covenant or any acts or omissions during their Page 4 ownership or occupancy. 3.3. Incorporation into Deeds and Leases. This Covenant shall be incorporated by reference in each and every deed and Lease for any portion of the Property. 3.4. Conveyance of Property. The Owner and new Owner shall provide Notice to the Department not later than 30 calendar days after any conveyance or receipt of any ownership interest in the Property (excluding Leases, and mortgages, liens, and other non-possessory encumbrances). The Notice shall include the name and mailing address of the new Owner of the Property and shall reference the site name and site code as listed on page one of this Covenant. The notice shall also include the Assessor’s Parcel Number(s) noted on page one. If the new Owner’s property has been assigned a different Assessor Parcel Number, each such Assessor Parcel Number that covers the Property must be provided. The Department shall not, by reason of this Covenant, have authority to approve, disapprove, or otherwise affect proposed conveyance, except as otherwise provided by law or by administrative order. 3.5. Costs of Administering the Covenant to Be Paid by Owner. The Department has already incurred and will in the future incur costs associated with this Covenant. Therefore, the Covenantor hereby covenants for the Covenantor and for all subsequent Owners that, pursuant to California Code of Regulations, title 22, section 67391.1(h), the Owner agrees to pay the Department’s costs in administering, implementing and enforcing this Covenant. ARTICLE IV RESTRICTIONS AND REQUIREMENTS 4.1. Prohibited Uses. The Property shall not be used for any of the following purposes without prior written approval by the Department: (a) A residence, including any mobile home or factory built housing, constructed or installed for use as residential human habitation. (b) A hospital for humans. (c) A public or private school for persons under 18 years of age. (d) A day care center for children. Page 5 42. Access for Department. The Department shall have reasonable right of entry and access to the Property for inspection, investigation, remediation, monitoring, and other activities as deemed necessary by the Department in order to protect human health or safety or the environment. 4.3. Inspection and Reporting Requirements. The Owner shall conduct an annual inspection of the Property verifying compliance with this Covenant and shall submit an annual inspection report to the Department for its approval by January 15th of each year. The annual inspection report must include an evaluation of potential migration of contaminants from the adjacent landfill toward the Property, the dates, times, and names of those who conducted the inspection and reviewed the annual inspection report. It also shall describe how the observations that were the basis for the statements and conclusions in the annual inspection report were performed (e.g., drive by, fly over, walk in, etc.). If any violation is noted, the annual inspection report must detail the steps taken to correct the violation and return to compliance. If the Owner identifies any violations of this Covenant during the annual inspection or at any other time, the Owner must within 10 calendar days of identifying the violation: (a) determine the identity of the party in violation; (b) send a letter advising the party of the violation of the Covenant; and (c) demand that the violation cease immediately. Additionally, a copy of any correspondence related to the violation of this Covenant shall be sent to the Department within 10 calendar days of its original transmission. ARTICLE V ENFORCEMENT 5.1. Enforcement. Failure of the Owner or Occupant to comply with this Covenant shall be grounds for the Department to require modification or removal of any Improvements constructed or placed upon any portion of the Property in violation of this Covenant. Violation of this Covenant, such as failure to submit (including submission of any false statement) record or report to the Department, shall be grounds for the Department to pursue administrative, civil, or criminal actions, as provided by law. ARTICLE VI VARIANCE, REMOVAL AND TERM 6.1. Variance from Environmental Restrictions. Any person may apply to the Page 6 Department for a written variance from any of the Environmental Restrictions imposed by this Covenant. Such application shall be made in accordance with Health and Safety Code section 25223. 6.2 Removal of Environmental Restrictions. Any person may apply to the Department to remove any of the Environmental Restrictions imposed by this Covenant or terminate the Covenant in its entirety. Such application shall be made in accordance with Health and Safety Code section 25224. 6.3 Term. Unless ended in accordance with paragraph 6.2, by law, or by the Department in the exercise of its discretion, this Covenant shall continue in effect in perpetuity. ARTICLE VII MISCELLANEOUS 7.1. No Dedication Intended. Nothing set forth in this Covenant shall be construed to be a gift or dedication, or offer of a gift or dedication, of the Property, or any portion thereof, to the general public or anyone else for any purpose whatsoever. 7.2. Recordation. The Covenantor shall record this Covenant, with all referenced Exhibits, in the County of San Diego within 10 calendar days of the Covenantor's receipt of a fully executed original. 7.3. Notices. Whenever any person gives or serves any Notice ("Notice" as used herein includes any demand or other communication with respect to this Covenant), each such Notice shall be in writing and shall be deemed effective: (a) when delivered, if personally delivered to the person being served or to an officer of a corporate party being served; or (b) five calendar days after deposit in the mail, if mailed by United States mail, postage paid, certified, return receipt requested: To Owner: HomeFed Corporation 1903 Wright Place, Suite 220 Carlsbad, California 92008 Attn.: Mr. H. Robert Penner, Vice President Page 7 And To Department: Department of Toxic Substances Control 5796 Corporate Avenue Cypress, California 90630 Attention: Ms. Yolanda Garza, Unit Chief Brownfields Restoration and School Evaluation Branch Any party may change its address or the individual to whose attention a Notice is to be sent by giving advance written Notice in compliance with this paragraph. 7.4. Partial Invalidity. If this Covenant or any of its terms are determined by a court of competent jurisdiction to be invalid for any reason, the surviving portions of this Covenant shall remain in full force and effect as if such portion found invalid had not been included herein. 7.5. Statutory References. All statutory or regulatory references include successor provisions. 7.6. Incorporation of Exhibits. All exhibits and attachments to this Covenant are incorporated herein by reference. Page 8 IN WITNESS WHEREOF, the Covenantor and the Department hereby executes this Covenant. Covenantor: HomeFed Corporation By: ___________________________________ Erin N. Ruhe Vice President HomeFed Corporation Date: _________________________________ Department of Toxic Substances Control: By: ___________________________________ Javier Hinojosa, Chief Brownfields Restoration and Schools Evaluation Branch Site Mitigation and Restoration Program Department of Toxic Substances Control Date: _________________________________ Page 9 State of California County of _________ On ________________________ before me, (space above this line is for name and title of the officer/notary), personally appeared ________________________________________________, who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal, _______________________________ (seal) Signature of Notary Public A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. Page 10 State of California County of _________ On ________________________ before me, (space above this line is for name and title of the officer/notary), personally appeared ________________________________________________, who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal, _______________________________ (seal) Signature of Notary Public A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. PAGE 1 OF 1 M:\2395\028\Legal Description\A05 Rockefeller Lots 814-816.docx EXHIBIT “A” Legal Description Residential Restricted Area Lots 814, 815, and 816 of Chula Vista Tract No. 16-02, Otay Ranch Village 3 North, in the City of Chula Vista, County of San Diego, State of California, according to Map thereof No. 16160, filed in the office of the County Recorder of San Diego County on December 21, 2016. Containing 11.574 acres, more or less. Portions of APNs 644-061-01-00, 644-061-02-00, and 644-061-03-00 Basis of Bearings is the northeasterly line of said Lot 816 of said Map No. 16160. Prepared by, _________________________________________ Douglas B. Stroup, PLS 8553 Hunsaker & Associates San Diego, Inc. My license expires: 12/31/2022 October 21, 2021 0 SCALE 1" = 200 400 600 200' Residential Restricted Area (Area is shaded gray) N o rt h e a st e rly li n e L o t 8 1 6 APN 644-061-01-00 APN 644-061-02-00 APN 644-061-03-00 6 4 4 -0 6 1 -1 5 -0 0 644-061-14-00SKETCH TO ACCOMPANY EXHIBIT "A" HUNSAKER& ASSOCIATES S A N D I E G O, I N C. 9707 Waples Street (858)558-4500 San Diego, CA 92121 THIS EXHIBIT IS FOR GRAPHIC PURPOSES ONLY. ANY ERRORS OR OMISSIONS ON THIS EXHIBIT SHALL NOT AFFECT THE DEED DESCRIPTION. CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA See Exhibit "A" for Legal Description Assessor Parcel Numbers Shown Hereon L.S. 8553DOUGLASB.S T ROUPLICENSE D L AND SU R V E YORST A TE OF CA L I F O RNIADouglas B. Stroup, PLS 8553 My license expires 12/31/2022 10/21/2021