HomeMy WebLinkAboutOrd 2023-3542 DocuSign Envelope ID:Al 138421-249A-4CBB-8A98-CFE65E33E04C
ORDINANCE NO. 3542
ORDINANCE OF THE CITY OF CHULA VISTA APPROVING
A SECOND AMENDMENT TO THE DEVELOPMENT
AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND
MCMILLIN OTAY RANCH, LLC.
WHEREAS, on August 26, 2009, the City of Chula Vista's Planning Commission held a
duly noticed public hearing on the Development Agreement and at the conclusion of the hearing
recommended approval of the Development Agreement by and between the City of Chula Vista
(City) and McMillin Otay Ranch, LLC (the "Development Agreement"); and
WHEREAS, on September 15, 2009, the Chula Vista City Council held a duly noticed
public hearing on the Development Agreement at the conclusion of which the City Council
introduced and conducted the first reading of the ordinance approving the Development
Agreement and subsequently on October 6, 2009 adopted Ordinance No. 3143 approving the
Development Agreement and the agreement was recorded with the San Diego County Recorder's
Office on October 27, 2009 as Document No. 2009-0595116; and
WHEREAS, on June 13, 2018 the City's Planning Commission held a duly noticed public
hearing on a First Amendment to the Development Agreement(the"First Amendment") and at the
conclusion of the hearing recommended approval of the First Amendment; and
WHEREAS, on July 10, 2018, the City Council held a duly noticed public hearing on the
First Amendment, at the conclusion of which the City Council introduced and conducted the first
reading of the ordinance approving the First Amendment; and subsequently, on July 17, 2018,
adopted Ordinance No. 3431 approving the First Amendment and said Amendment was recorded
with the San Diego County Recorder's Office on July 27, 2018; and
WHEREAS, the purpose of the First Amendment was a Material Change to the project
proposed by the Master Developer to reduce the total amount of development in the Eastern Urban
Center without reducing infrastructure; and
WHEREAS, McMillian Otay Ranch, LLC was the Original Master Developer and now
Meridian Communities, LLC, is the successor-in-interest ("Developer"); and
WHEREAS, the City and Developer have agreed to amend the Development Agreement a
second time (the "Second Amendment") in order to facilitate the development of uses within the
Eastern Urban Center, known today as Millenia, that both City and Developer desire; and
WHEREAS,the intent of the Development Agreement and Eastern Urban Center Sectional
Planning Area Plan is to serve as a mechanism to further the comprehensive development vision
for Millema to advance a vibrant, mixed-use, pedestrian-oriented urban center that will serve as
the economic and social focal point of Eastern Chula Vista creating an urban employment center
which will establish a strong, well-located employment sub-market and add new local jobs
including higher-quality office employment opportunities; and
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Ordinance No. 3542
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WHEREAS, to continue with the establishment of a high-quality Class "A" office
submarket within Millenia, it is the desire of the Developer and the City to have the City guide the
economic development opportunity of up to 1.7 million square feet of Class "A" office space
available on the 10.93-acre Lot 1 of Millenia(APN 643-066-09-00); and
WHEREAS, Lot 1 of Millenia shall be subdivided with a 2.1-acre portion of the southerly
parcel being retained by the Developer and developed as a reputable flag hotel as a permissible
use under the Eastern Urban Center Sectional Planning Area Plan; and
WHEREAS, as part of the Second Amendment to the Development Agreement, the
Developer shall provide the remaining 8.83 acres of Lot l to the City for the price of$1 and shall
hold the land for the City for a period up to 60 months and at any time requested by the City, will
transfer ownership directly to a user of the City's choice; and
WHEREAS, in exchange for acquisition of 8.83 acres of Lot 1, City agrees to expedite the
review of developing the allowable remaining residential units within the Eastern Urban Center
on Lot 19 of Millema (APN 643-060-69-00); and
WHEREAS, the Eastern Urban Center Sectional Planning Area Plan has entitled 2,983
residential units and 2,659 units have been permitted to date allowing Master Developer to build
up to the remaining 324 residential units on Lot 19; and
WHEREAS, Lot 19 was previously entitled for up to 700,000 square feet of office
development, and such entitlements shall be transferred to the City's portion of Lot 1, a shift
permissible under the auspices of the Eastern Urban Center Sectional Planning Area Plan Density
Transfer provisions; and
WHEREAS, the Director of Development Services has reviewed the project for
compliance with the California Environmental Quality Act (CEQA) and has determined that the
Development Agreement Amendment was adequately covered in previously certified Final
Second Tier Environmental Impact Report (EIR 07-01) — SCH No. 2007041074 for Otay Ranch
Eastern Urban Center (EUC) Sectional Planning Area (SPA) Plan and Tentative Map; thus, no
further CEQA review or documentation is required; and
WHEREAS, the City's Planning Commission held a duly noticed public hearing on
December 14, 2022, to consider the Second Amendment at the conclusion of which the Planning
Commission adopted a resolution recommending the City Council authorize the Second
Amendment to the Development Agreement; and
WHEREAS, on January 17, 2023, a duly noticed public hearing was scheduled before the
City Council of the City of Chula Vista to consider adopting an ordinance to approve the Second
Amendment to Development Agreement; and
WHEREAS, City staff has reviewed the Second Amendment to the Development
Agreement and determined it to be consistent with the Otay Ranch General Development Plan and
the City's General Plan.
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Ordinance No. 3542
Page No. 3
NOW, THEREFORE, the City Council of the City of Chula Vista does ordain as follows:
Section I. Adopt Ordinance Approving Second Amendment to Development Agreement
1.1 INCORPORATION OF PLANNING COMMISSION RECORD
The proceedings and all evidence introduced before the Planning Commission at their
public hearing held on December 14, 2022, 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 California Environmental Quality Act(CEQA) claims.
1.2 FINDING OF COMPLIANCE WITH CEQA
The City Council hereby finds that the adoption of the ordinance approving the
Development Agreement Amendment was adequately covered in previously certified Final
Second Tier Environmental Impact Report (EIR 07-01) — SCH No. 2007041074 for Otay Ranch
Eastern Urban Center (EUC) Sectional Planning Area (SPA) Plan and Tentative Map.
1.3 FINDING CONSISTENCY WITH GENERAL PLAN AND OTAY RANCH
GENERAL DEVELOPMENT PLAN
The City Council finds that the proposed Second Amendment to the Development
Agreement is consistent with the City's General Plan and Otay Ranch GDP. The Second
Amendment to the Development Agreement implements the General Plan and GDP by promoting
economic growth opportunities to attract industries and businesses that contribute to diversification
and stabilization of the local economy (ED 1.1), and increased office space and additional
economic development opportunities to strengthen Millenia's position as a business, cultural and
entertainment hub of the City(ED 9.2).
1.4 ACTION
The City Council adopts an Ordinance approving the Second Amendment to the
Development Agreement between the City of Chula Vista and McMillin Otay Ranch LLC., in
substantially the form presented, with such minor modifications as may be required or approved
by the City Attorney(a final copy of which is on file in the City Clerk's office),finding it consistent
with the California Government Code,adopted City policies, the General Plan,and the Otay Ranch
GDP.
Section II. 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.
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Ordinance No. 3542
Page No. 4
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 full force on the thirtieth day from and after its
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.
[SIGNATURES ON THE FOLLOWING PAGE]
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Ordinance No. 3542
Page No. 5
Presented by Approved as to form by
DocuSigned by: DocuSigned by:
EE,
2FC559998BD74C4_. CF406508504446F...
Eric C. Crockett Glen R. Googins
Deputy City Manager/Director of Economic City Attorney
Development
PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista,
California, this 14th day of February 2023, by the following vote:
AYES: Councilmembers: Cardenas, Chavez, Gonzalez, Preciado, and McCann
NAYS: Councilmembers: None
ABSENT: Councilmembers: None
DocuSigned by:
7804EC23B90B473...
John McCann, Mayor
ATTEST:
DocuSigned by:
IFAF'14?F
Kerry K. Bigelow, MMC, City Clerk
STATE OF CALIFORNIA )
COUNTY OF SAN DIEGO )
CITY OF CHULA VISTA )
I, Kerry K. Bigelow, City Clerk of Chula Vista, California, do hereby certify that the foregoing
Ordinance No. 3542 had its first reading at a regular meeting held on the 17th day of January 2023,
and its second reading and adoption at a regular meeting of said City Council held on the 14th day
of February 2023 and was duly published in summary form in accordance with the requirements
of state law and the City Charter.
DocuSigned by:
2/23/2023 ..x.. ,.
3074D10IEAF342E...
Dated Kerry K. Bigelow, MMC, City Clerk