HomeMy WebLinkAbout05/15/1984
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MINUTES
REGULAR MEETING
COMMUNITY REDEVELOPMENT AGENCY
SANTA ANA, CALIFORNIA
MAY 15, 1984
The Regular Meeting of the Conununity Redevelopment Agency of
the City of Santa Ana was called to order by Chairman
Luxembourger at 5:45 P.M., in the City Council Chambers, 22
Civic Center Plaza, Santa Ana, California. After the Pledge
to the Flag and the Invocation given by Chairman
Luxembourger, roll was called:
PRESENT
ABSENT
John Acosta
Gordon Bricken
Daniel Griset, Vice Chairman
P. Lee Johnson
Robert Luxembourger, Chairman
Patricia McGuigan
Dan Young
Others in Attendance:
Robert C. Bobb, City Manager
Rex Swanson, Executive Director
Edward J. Cooper, City Attorney
David N. Ream, Conununity Development Director
Thomas E. Hanunill, Assistant Director Redevelopment
& Real Estate
Laura Juarez, Secretary
EXECUTIVE SESSION
At 5:46 P.M., the Redevelopment Agency adjourned to an
executive session to discuss legal matters. The meeting was
reconvened at 6:00 P.M., with the same members present.
RESOLUTION CERTIFYING THE FINAL ENVIRONMENTAL IMPACT REPORT
FOR THE FASHION SQUARE COMMERCIAL CENTER PROJECT
Mr. Don E. Smith, Councilman, City of Orange, 300 E. Chapman
Avenue, Orange, California, addressed the Agency by stating
that he was here tonight on behalf of the entire City
Council of the City of Orange. He stated that the City of
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Orange was disappointed that the members of the City Council
and Redevelo¡;:rnent Agency of the City of Santa Ana did not
begin discussions on this project many months ago. He
further advised that they will take all necessary steps to
protect the citizens and residents from the adverse impacts
of this project. His concerns addressed Santa Ana receiving
revenues and Orange receiving the problems consisting of
destruction of the residential life style and the creation
of additional traffic. Councilman Smith requested that the
Council delay final action for two weeks.
Robin Leiter, Assistant City Manager, City of Orange, was
next to address the Agency. Ms. Leiter stated that the City
of Orange has submitted a letter dated May 15, 1984, (which
is attached as a part of these Minutes) outlining the
concerns of the City of Orange. Ms. Leiter commented upon
some of the matters addressed in the City of Orange's
letter, including the matter of residential neighborhood
traffic: notification to neighborhood: plan of site
develo¡;:rnent: Transportation System Improvement Program
Agreement (TSIP): traffic signals: widening of certain
streets; and freeway ramps.
Next to address the Agency was Mr. Arnold Simon, c/o
Richards, Watson, Dreyfus & Gershon, 33th Floor, 333 S. Hope
Street, Los Angeles, California 90064, representing KLST
Partnership, Ltd. He stated that there was a letter
agreement on the Agency agenda for action and if acted upon
favorably they would have no objections to the EIR or the
Sale Agreement, and in fact were very much in favor of the
proposed expansion of Fashion Square.
After a brief discussion, a motion was made by Mr. Acosta,
seconded by Mr. Young to adopt Resolution 84-10: A
RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY
OF SANTA ANA CERTIFYING THE FINAL ENVIRONMENTAL IMPACT
REPORT FOR THE FASHION SQUARE COMMERCIAL CENTER PROJECT.
Mr. Bricken requested that two items be added to the motion:
1.
That staff be instructed to proceed swiftly to
bring the project to full force from this point
forward: and
2.
That Staff be instructed to enter into the
necessary discussions and other arrangements
necessary to work with the City of Orange in order
to address the concerns that they have expressed,
and further be instructed to see that the
decisions that were made between the two cities
relative to the general planning of their
neighboring areas be carried forward.
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Chairman Luxembourger then asked Mr. Acosta if he wished to
amend his prior motion. Mr. Acosta responded that he would
be glad to amend his motion and incorporate those statements
made by Mr. Bricken. Therefore, a motion was made by Mr.
Acosta, seconded by Mr. Young and carried by the following
roll call vote to:
1.
Adopt Resolution 84-10:
COMMUNITY REDEVELOPMENT
SANTA ANA CERTIFYING
IMPACT REPORT FOR THE
CENTER PROJECT;
A RESOLUTION OF THE
AGENCY OF THE CITY OF
THE FINAL ENVIRONMENTAL
FASHION SQUARE COMMERCIAL
2.
That Staff be instructed to proceed swiftly to
bring the project to full force from this point
forward; and
3.
That Staff be instructed to enter into the
necessary discussions and other arrangements
necessary to work with the City of Orange in order
to address the concerns that they have expressed,
and further be instructed to see that the
decisions that were made between the two cities
relative to the general planning of their
neighboring areas be carried forward.
AYES:
Acosta, Bricken, Griset, Johnson, Luxembourger,
McGuigan, Young
None
None
NOES:
ABSENT :
JOINT PUBLIC HEARING TO APPROVE THE PARTICIPATION AGREEMENT
WITH SANTA ANA VENTURE FOR THE FASHION SQUARE COMMERCIAL
CENTER
Chairman Luxembourger announced that this was the time and
place for the Joint Public Hearing of the Community
Redevelopment Agency and the City Council of the City of
Santa Ana for the proposed sale of property known as the
Fashion Square Commercial Center by the Community
Redevelopment Agency of the City of Santa Ana to Santa Ana
Venture. The site is bounded on the north by the Garden
Grove Freeway, on the West by the Santa Ana Freeway, on the
south by Owens Drive, and on the east by Main Street.
Chairman Luxembourger reqúested that staff identify the
property or issues and give staff recommendation. The
Assistant Director Redevelopment & Real Estate identified
the property using a map on display in the Council Chambers.
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Mr. Joseph F. Johnson, Senior Vice President, Federated
Department Stores introduced Mr. John Boorn who presented a
slide show to the Agency. Mr. Johnson then introduced Mr.
Robert C. Little, Vice President and Regional Director to
address the Agency. Mr. Little described the proposed
developnent and stated, "there are two questions which I
would like to respond to for the record in regard to the
project. First is why we need the flexibility to add the
additional space in the future; the office building and
hotel. A retail project of this type cannot support the
land cost in this area on its own. It must have a greater
density and that is supported through the office buildings
and the hotel facilities plus it adds to the mix and makes
the center a much stronger center economically and it
produces greater revenues. The second question is why is
this particular site the most appropriate site for
developnent of this size and scope. This is probably one of
the very few projects in the country which is served
basically by three freeways. The Santa Ana freeway, the
Garden Grove freeway and the Orange freeway which is just
off to the right of this plan. Also the access to Main
Street; the circulation road around the project and the
future transportation plans for Main Street contribute to
the location. It is already an established retail location
with Bullocks and the existing Fashion Square shops which
will continue in operation during the entire construction
period and it is also an established location for office
space located on Main Street and both KLST buildings and the
other buildings that are located on the other side of the
freeway and the City of Orange. The Santa Ana freeway also
gives access to the O:>sta Mesa freeway and the 57." .
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The o:>nununity Developnent Director stated: "In summary, the
Fashion Square expansion project represents the largest
private sector developnent undertaken in the City. While
the project will have certain significant effects on the
environment, we feel that the benefits of the project far
outweigh the environmental effects. Some overriding
considerations include:
1.
The project will stimulate future private
redevelopnent in the area, which is consistent
with the goals established in the Redevelopnent
Plan.
2.
Additionally, the developnent of this area will
provide the link between the northern retail
portion of the City and the downtown central core.
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3.
The viability of the existing center will be
substantially enhanced by this new developnent.
The center is presently under-utilized and does
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not meet the shopping needs of residents in the
area, which causes them to shop and spend their
money in other cities, thereby decreasing the
City's sales tax revenue base.
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4.
The expansion will provide additional employment
opportunities. Upon completion of the total
permitted development, there is estimated to be in
excess of 8,000 jobs created by this project.
5.
The Project will result in a significant increase
in tax revenues to the City by way of retail sales
taxes, food and beverage sales taxes, and
transient occupancy taxes generated by the hotels
planned.
Assuming the completion by the year 1990 of the
rehabilitation of Bullocks, 370,000 square feet of new
retail space, three new major department stores, 350,000
square feet of office space and a 400-room hotel, the
project will generate approximately $1 million per year in
retail sales tax; food and beverage sales tax of $70,000+
per year; and bed taxes of over $700,000 per year.
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These revenues may increase significantly over the years
should the developer proceed with the maximum permitted
development.
In addition to the above, after loan payoff, the Agency
will receive in excess of $2.6 million per year in tax
increment revenues.
The revenues generated by this project will further enable
the City to better carryout its governmental responsibili-
ties for the benefit of the public.
Staff is recommending the adoption by the Agency the
proposed agreement, and the adoption of the proposed budget
and authorization of its implementation by the Redevelopment
Commission.
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Chairman Luxembourger announced that the Agency would now
like to hear from those people who desire to address the
Agency on this issue. He added that if anyone desires to
address the Agency, they should step forward to the podium,
give their name and address and limit their comments to five
minutes. Chairman Luxembourger requested to hear from those
persons in agreement and disagreement with the proposed
sale. There being none, he asked if there were any
additional comments from staff, or if the Agency members had
any questions.
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The City Attorney stated that the Agency members had before
them an amended Exhibit C to the staff report that should be
made part of the record.
Chairman Luxembourger closed the public hearing. A motion
was made by Vice Chairman Griset, seconded by Mr. Young and
carried by the following roll call vote to:
1.
Adopt Resolution 84-11: A RESOLUTION OF THE
COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF
SANTA ANA APPROVING AN AGREEMENT BETWEEN THE
AGENCY AND SANTA ANA VENTURE.
2.
Approve the conceptual development plans proposed
by Santa Ana Venture for the project site.
3.
Adopt the proposed budget and authorize its
implementation by the Redevelopment Cbmmission.
AYES:
Acosta, Bricken, Griset, Johnson, Luxembourger,
McGuigan, Young
None
None
NOES:
ABSENT :
Mayor Luxembourger stated that the chair would now entertain
a motion of the City Cbuncil regarding the proposed sale. A
motion was made by Vice Mayor Griset, seconded by
Councilmember Young and carried by the following roll call
vote to adopt Resolution 84-61: A RESOLUTION OF THE CITY
COUNCIL OF THE CITY OF SANTA ANA MAKING CERTAIN
ENVIRONMENTAL FINDINGS AND CERTAIN FINDINGS WITH RESPECT TO
THE CONSIDERATION TO BE RECEIVED BY THE COMMUNITY
REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA PURSUANT TO A
PARTICIPATION AGREEMENT BETWEEN THE COMMUNITY REDEVELOPMENT
AGENCY OF THE CITY OF SANTA ANA AND SANTA ANA VENTURE FOR
THE SALE OF CERTAIN REAL PROPERTY IN THE SANTA ANA
REDEVELOPMENT PROJECT AND APPROVING THE SALE OF SAID REAL
PROPERTY UPON THE TERMS AND CONDITIONS CONTAINED IN THAT
AGREEMENT
AYES:
Acosta, Bricken, Griset, Johnson, Luxembourger,
McGuigan, Young
None
None
NOES:
ABSENT:
RECESS
At 7:03 P.M., Chairman Luxembourger recessed the meeting.
At 7:10 P.M., the meeting was reconvened with the same
members present.
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JOINT PUBLIC HEARING FOR THE PROPOSED SALE BY THE COMMUNITY
REDEVELOPMENT AGENCY TO CM PLAZA (A-3 SITE/OLD COURTHOUSE
PLAZA)
A motion was made by Mr. Acosta, seconded by Mr. Bricken and
carried unanimously to continue the joint public hearing
until June 19,1984.
AGREEMENT WITH KLST PARTNERSHIP
A motion was made by Mr. Bricken, seconded by Mr. Young and
carried unanimously to approve the terms outlined in the
letter agreement with KLST and authorize staff to proceed
with preparation of the appropriate form of agreement.
EXCLUSIVE RIGHT TO NEGOTIATE TO THE BARRATT CORPORATION FOR
DEVELOPMENT OF THE A-12 SITE
A motion was made by Vice Chairman Griset, seconded by Mr.
Young and carried by a 6:0 vote (Mr. Bricken - conflict of
interest) to grant a 90-day exclusive right to negotiate to
the Barratt Corporation for developnent of the A-12 site,
subject to the developer's payment of a $15,000 good faith
deposit.
PROPOSED SANTA ANA AUTO CENTER
A motion was made by Mr. Young, seconded by Mr. Johnson and
carried unanimously to:
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financing plan for the proposed auto
Approve
center;
the
2.
Approve the consultant
Consultants, Inc.;
with
Urban
agreement
3.
Authorize staff to issue Requests for Proposals
for bond counsel and underwriting services; and
4.
Authorize
site.
staff to proceed with appraisals of the
REJECTION OF DEVELOPMENT PROPOSALS FOR
SITE/AUTHORITY TO SOLICIT NEW PROPOSALS
LA
BONITA
THE
A motion was made by Mr. Johnson, seconded by Vice Chairman
Griset to reject all proposals submitted for the La Bonita
Site and to authorize staff to solicit new proposals for
residential developnent.
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MINUTES
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A motion was made by Mr. Johnson, seconded by Mrs. McGuigan
and carried unanimously to approve the Minutes of the
Regular Meeting held on April 17, 1984.
ORAL COMMUNICATIONS-
A-2 SITE
EXCLUSIVE RIGHT TO NEGOTIATE FOR THE
The Cbmmu~ity Development Director stated that he had just
received a letter from the law office of Raphael Louis
Rosingana representing the Ferrante/Walder Cbmany (which is
attached as part of these Minutes).
A motion was made by Mr. Young, seconded by Mr. Johnson and
carried unanimously to award the Carley Capital Group/
California Cbast Development Group a 90-day exclusive right
to negotiate for the development of the A-2 site as a major
high rise office building to exceed thirty (30) stories of
mixed use development including hotel, office and
governmental use, subject to the developer's submission of a
$15,000 good faith deposit.
ADJOURNMENT
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There being no further business to come before the Agency,
the meeting was adjourned at 7:27 P.M.
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Robert Luxembourger
Chairman
Executive Director
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'~ay 15, 1984
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Santa Ana City Council/ Community Redevelopmen~~gency
ci ty Hall - - ;$
T<,¡enty civic Center Plaza, '-.ö -<
Santa Ana, California 92701 V1
RE:
FINAL ENVIRONMENTAL P1PACT REPORT, ~
PROPOSED P.»'R"'ICI:"E'ION AGREEMENT AND (.j
f:~T~:': f)J"' REAL PROPERTY REGARDING PROPOSED -
!'<;'lION SQUARE COM.\ŒRCIAL CENTER DEVELOPMENT
Dear Mayor Luxembourger, and Agency Members:
. This letter is submitted on behalf of the City of Orange ("Orange")
in connection with the scheduled May 15, 1984, joint hearing of the
Community Redevelopment Agency ("CRA",) and City Council of the City
of Santa Ana concerning the proposed Fashion S~uare Commercial Center
Development (the "Proposed Development"). At that hearing, the CttA
is expected to consider the certification of the ~inal Environ~ental
Impact Report ("Final EIR") for the proposed Development and the
approval of a proposed participation Agreement between the CP~ and
the developer for the period, and the 'City Council is expected to
consider the approval of the sale of real property in connection
with the Development.
The City of Orange urges the Agency not to certify the EIR as
complying with the California Environmental Quality Act ("CEQI',").
For the reasons',iscussed below, the EIR fails in nU!Tlerous respects
to meet the full disclosure mandate of CE~A. The EIR should not be
certified, and the Proposed Development and proposed sale of real
property should be rejected.
1.
INADEQUATE OPPORTUNITY TO REVIEW A..~D COMME'-T UPON
THE FWAL EIR
e.
The interest of the City of Orange in the ?roposed Fashion
Square Project is well known. The basis for Orange's
interest is equally well known -- traffic, residential
neighborhood, and other impacts associated with the Proposed
Development would ?roduce significant, ?ermane~t and
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Santa Ana City Council/ Community Redevelopment Agency
May 15, 1934
Page Two
negative L~?acts in the City of Orange. (See, e.g.,
final EIR at pages 108-110, especially last paragraph
page 110). As a result, the City of Orange has been
actively involved in the planning process for the pro-
posed redevelopment of Fashion Square for more than a
decade.
Notwithstanding this history of active involvement in
the Proposed Development, Orange as well as the residents
of Orange residing in areas adjacent to the proiect area,
were provided inadequate notice and opportunity to review
and comment during the EIR process. The only "notice" to
Orange or its residents was the standard oublished notice
to the public. Even that published notice was provided
only fifteen days pr'ior to the hearing on 'the Final EIR.
The inadequate notice afforded Orange has impaired its
ability to conduct a comprehensive reviel' and to submit
exhaustive comments on the proposed Final EIR. The City
of Orange, therefore, requests an additional two weeks
in which to review and comment upon this critical document
concerning a project of great importance and, we believe,
equally great peril to the residents of both Santa Ana
and Orange. At the present time Orange would like to submit
the following preliminary comments.
II .
INADEQUATE PROJECT DESCRIPTION
The "conceptual" project description contained in the Final
EIR does not provide sufficient detail needed to conduct the
legally mandated analysis of the enviro~~ental consequences
associated with the Proposed Development. If, as we under-
stand, tentative site plans have been prepared, those plans
should be disclosed, and the resulting environmental
consequences analyzed, in the Final EIR.
The City of Orange has previously submitted oral and written
comments at the scooing and draft EIR stages of the environ-
mental review process. Bernie W. Dennis, the Traffic Engineer
for ùrange, testified at a public hearing at Santa Ana
with respect to the scoping of the EIR. Robin Leiter, Assistant
City Manager, wrote a letter dated April 19,1983, to
Rex Swanson, Executive Director of the Santa Ana Community
Redevelopment Agency! presenting comments on the Draft EIR.
Orange's views were also presented at the public hearing on
the draft EIR. Rather than repeating the previous comments
and objections, Orange incorporates its prior comments by
this reference as though fully set forth herein.
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Santa Ana City Council/Community Redevelopment Agency
May 15, 1984
Page Three
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It is no answer to this concern to suggest that environmental
review can be supplemented when these plans are finalized
at a later date. CEQA requires complete disclosure and con-
sideration of the environmental consequences now -- before the
Agency has effectively committed itself to the project. This
fundamental precept of CEQA doctrine applies with particular
force to redevelopment projects such as this, which are intended
to be subjected to a single environmental review. (Public
Resources Code Section 21090.)
By certifying this EIR and approving the Participation Agreement,
the CRA and the Citv'Council would authorize the immediate
commencement of acquisitions expected to total $27.5 million.
After having made such a major commitment, any additional
environmental review would undoubtedly be influenced by
potentially serious adverse economic consequences of reversing
the prior decision to proceed with the project, Especially
where, as here, additional detail concerning the proposed
development is currently available to the Agency decision-makers,
such detail must be disclosed and analyzed in the EIR.
. I II. IMPROPER RELIANCE ON TRANSPORTATION SYSTE!IS
IMPROVEMENT PROGRAM
The Final EIR is predicated upon the operation of the Trans-
portation Systems Improvement Program ("TSIP") entered into'
by the City of Orange and Santa Ana in the spring of 1981. In
particular, the funding of many of the key mitigation measures
is supposed to be derived from the TSIP. (See draft Resolution
No. 84-11 (dated May 1, 1984) at page 2.) The improvements
noted and prioritized in phase II of the TSIP have not been
approved by the City Council of Orange. Further, the TSIP
documents, although liberally referenced throughout the EIR,
have not been incor~orated therein and, therefore, cannot be
relied upon in this' procedure.
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The EIR fails to disclose that serious questions exist concerning
whether or not the TSIP is currently in full force and effect.
It appears that Santa Ana has materially breached the TSIP on
several occasions. Indeed, it is not even clear if Santa Ana
ever appointed its two members to the Joint Planning Review
Committee. Nor is there any indication whether Santa Ana has
collected, on other projects in this area, the one percent
assessment of base construction costs imposed by the TSIP.
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Santa Ana City Council/ Community Redevelopment Agency
May 15, 1984
Page Four
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Most important, Santa Ana has failed to submit the Proposed
Development to the Joint Planning Review Committee, as
. required by Section 4.0(B) (6) of the TSIP.
Under those circumstances, the TSIP may not be available to
implement and fund mitigation measures associates with the
Proposed Development. The removal of this linchpin to the
matrix of mitigation measures proposed by the EIR would render
the EIR fatally defective. The EIR should be restudied and
revised forthwith to determine the environmental consequences,
and to formulate mitïgation measures relatin~ to, the Pro?osed
Development without the TSIP.
IV.
IMPROPER CONSIDERATION OF MEASURES REQUIRING THE
CONCURRENCE OF OTHER AGENCIES
The Proposed Development and mitigation measures include
several critical items that require the concurrence of the
City òf Orange. The EIR is deficient in that it fails to
consider the feasibility of those items; i.e., the possibility
that Orange may decline or be unable to implement any or all
of these items.
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Traffic mitigation measures of the Proposed Development requiring
the concurrence and participation of the City of Orange include
the following: .
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1.
The restriping of Bedford Road to four lanes;
2.
Installation of a traffic signal at the intersection
of Bedford Road and La Veta;
3.
4.
Restriping of Main Street at La Veta Avenue;
Widening of Main Street within the jurisdiction
of the City of Orange;
5.
Reconstruction of the median and develooment of
left turn pocket on Town and Country Roåd at
Uain Street;
6.
Modification of the traffic signal and phasing at
the intersection of Main Street and Town and Country
Road;
7.
Modification of interchange and construction of
bridge at Lawson Way, La Veta Avenue and the
Garden Grove Freeway: and
8.
Construction of Flower Street ramp connection to
the Orange Freeway.
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Santa Ana City Council/ Community Redevelopment Agency
May 15, 1984
Page Five
Needless to say, the City of Orange is gravely concerned
about the impact of the Proposed Development on the residents
of Orange. No guarantee of blanket acceptance of the measures
contained in the EIR can be made. Each and every item requiring
the concurrence of Orange must and will be scrutinized to
determine the impact of that item on Orange's residents and
our responsibilities.
A pre-requisite to any of the above traffic.measures is a
study and plan for implementing a neighborhood protection
program against adverse traffic impacts.
Under these circumstances, the EIR must consider the environ-
mental consequences -- and propose additional mitigation
measures -- premised upon the inability or unwillingness of
Orange to implement the eight measures listed above. Without
such analysis of the feasibility of the proposed mitigation
measures, the EIR fails to address the actual consequences of
the Proposed Development.
Similar concerns exist regarding measures, such as the con-
struction of proposed freeway ramps and use of the parking
structure, that require the concurrence of Cal Trans and/or
the United States Government. There is no guarantee that such
concurrence -- or the necessary funding for such projects --
will be forthcoming. The EIR must disclose this possibility
and evaluate the consequences of the Proposed Development .if-
such related projects are not constructed or approved.
v.
INADEQUATE CONSIDERATION OF PARKING ISSUES
The project is estimated to generate over 57,000 daily automobile
trips. (Final EIR page 89). Despite this enormous volume of
traffic, the EIR "analyzes" the question of finding sufficient
parking for those vehicles by stating (1) that the amount of
parking will be determined by reference to Santa Ana's formula
for calculating the minimum amount of required parking and
(2) that such requirements (as they existed at the time the
EIRwas prepared) would ensure that adequate parking would be
supplied. This non-sequiter does not beqin to address whether
the facility would contain sufficient parking.
Initially, it should be noted that the amount of parking required
by Santa Ana has decreased since the time the EIR was prepared.
This change undermines the EIR's conclusion concerning the
adequacy of parking, and requires that the portions of the EIR.
concerning parking (as well as related portions, such as trafflc
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Santa Ana City Council/Community Redevelopment Agency
May 15, 1984
Page Six
and circulation, noise, and air quality) be revised in
light of the current parking requirements.
When revised, the EIR should disclose precisely how many
parking spaces will be required. The Final EIR fails to
do so. The EIR should also disclose ~~e location of the
parking. The ~ocation of parking is closely related to,
and is a necessary predicate for, analysis of the traffic
consequences of the proposed project. The proposed Final
EIR currently contains no such disclosure.
The EIR should also disclose the relationship between the
phasing of the redevelopment of Fashion Square and the
construction of additional parking. For example, will there
be occasions during construction when parking will be
inadequate to meet the existing needs? The EIR ignores
this issue.
VI.
INADEQUATE DISCUSSION OF TRAFFIC
As discussed above, the EIR's cursory examination of parking
issues flaws its consideration of traffic issues. The EIR
cannot begin to consider the impact of the project on the
traffic in the surrounding areas without g~eater detail
concerning-where the Fashion Square traffic will be directed
and from whence it will come.
Moreover, the traffic analysis is inadequate in light of its
startling premise that the number of vehicles using the
facility can be reduced twenty percent through use of ride
sharing. This assumption is manifestly exaggerated for the
proposed mixed-use facility. The purported basis for this
figure is goals for ride sharing that have been established
for other projects in Southern California. To set goals is
one thing, but to demonstrate that those goals have been met
is another. The EIR contains no empirical basis to support
this critical TSM assumption. As a result the EIR's projections
of traffic levels and accompanying environmental degradations
on surrounding freeways, arteries, and residential streets are
all grossly underestimated.
4IÞ VII. INADEQUATE DISCUSSION OF CUMULATIVE IMPACT
The EIR's consideration of only six orojects in its cumulative
impact analysis is grossly deficient. In addition to the
project examined in the EIR, theEIR should consider the
cumulative impacts associated with major developments proposed,
which will impact common transportation facilities as well as
air quality, noise, and availability of public services. Some
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Santa Ana City Council/Community Redevelopment Agency
Hay 15, 1984
Page Seven
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of the major proposed developments include but are not
limited to Anaheim Stadium Center, Main Street Mixed-
Use Corridor, Santa Ana Downtown Redevelopment Program,
and other such developments generally located in the
Orange, Garden Grove, Santa Ana, Anaheim area.
VIII.
INADEQUATE DISCUSSION OF GROWTH INDUCING IMPACTS
.
The Final EIR also fails to adequately disclose growth-
inducing impacts associated with the Proposed Development.
The EIR recites as 'one of the primary justifications for
the development the desire to encourage the improvement of
the Main Street commercial cooridor connecting Central
Santa Ana with the North Main area. (See Final EIR at
page 25.) However, the EIR's cursory consideration of
growth-inducing impacts completely ignores the redevelopment
of existing nearby development to more intense commercial
and office'uses and the resultant adverse environmental
consequences that would be associated with such additional
redevelopment. For example, the impact of such redevelop-
ment on nearby freeways, arteries, and residential streets
is completely ignored. The same is true with respect to
the impact of such development on land use, noise, air
quality, public services and utilities, police and fire,
and other ,environmental impacts. The EIR must contain an
analysis of each of these inevitable, substantial impacts.
IX.
INADEQU."TE CONSIDERATION OF NOISE
The EIR's inaccurate calculation of the amount of traffic
that can be anticipated to be generated by the proposed
development also infects the EIR's analysis of noise. Traffic
levels in excess of those predicted in the EIR will necessarily
create noise levels above those predicted by the EIR.
x.
INADEQUATE CONSIDERATION OF ALTERNATIVES
.
The EIR also fails to adequately analyze feasible alternatives
to the proposed development.
First, the alternatives section of the EIR should consider
locating all or a portion of the proposed development, such
as the hotel, on Main Street south of the Santa Ana Freeway.
Such development would meet the CRA's desire to facilitate
the development of North Main without aggravating the already
acute traffic problems north of the Santa Ana Freeway in the
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Santa Ana City Council/Con~unity Redevelopment Agency
May 15, 1984
Page Eight
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area of Fashion Square. It would also accelerate the
desired redevelopment of the portion of Main Street
between Central Santa Ana and Fashion Square.
Development south of the Santa Ana Freeway should ,be
analyzed both separately from, and together with, a more
modest redevelopment, or a different mix of development,
at the Fashion Square area. Moreover, the EIR should
consider efforts to improve the existing retail facilities
at Fashion Square.
XI.
THE EIR DOES NOT CONSIDER THE PROPOSED PHASING
OF THE PROJECT
.
We understand that the CRA will consider approving the
proposed project on the condition that development of the
property is limited to 1,000,000 square feet of retail or
office space and 600 hotel rooms unless and until certain
additional freeway ramps are installed. This limitation --
and the consequences associated with the development of
the project up to that level without construction of the
freeway ramps -- are not disclosed in the EIR. The con-
sequences of such a development on traffic and circulation,
noise, air quality, and other environmental resources must
be disclosed in the EIR. At a minimum, the 1,000,000 square
foot/ 600 hotel room scenario should be considered as an
alternative.
XII.
INADEQUATE DISCUSSION OF IMPACTS ON MUNICIPAL SERVICES
The EIR's consideration of the effect of the Proposed Develop-
ment on fire protection is inadequate. Incredibly, the EIR
fails to disclose that the firs~ due engine and truck company
is located in the City of Orange. Pursuant to the Mutual Aid
Agreement between the cities of Orange and Santa Ana, the
first station that would respond to any call for Fashion
Square is located at Maple Avenue and Main Street in the City
of Orange. The ability of this station to provide adequate
fire protection to the proposed development must be analyzed
in the EIR.
.
Moreover, the impact on the City of Orange's paramedics,
parking control, police services, traffic control, emergency
access to major hospitals, is not analyzed or mitigated in
the EIR.
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Santa Ana City Council/Community Redevelopment Agency
May 15, 1984
Page Nine
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XIII.
.
XIV.
XV.
.
Moreover, .the EIR by way of mitigation measures, finds
that the City of Santa Ana will be recipient of significant
tax revenues to offset increased municioal services.
However, the City of Orange will derive-no additional
revenue to offset its increased costs for municipal services
in the impacted area of Orange. -
FAILURE TO CONSIDER RAMIFICATIONS OF PROJECT
IN THE CITY OF ORANGE
.
In response to the significant adverse impacts of the
Proposed Development, the City of Orange can be expected
to consider the following measureS designed to mitigate
the consequences of the traffic generated by the project:
1.
Prohibit through traffic on Bedford Road
at the city limits;
2.
Prohibit through traffic on Lawson Way
at the city limits;
3.
Prohibit through traffic on Parker Street
at the city limits; and
4.
Failure to execute cooperative agreement with
Cal Trans regarding the proposed freeway ramps
into the City of Orange.
The EI~ must consider the consequences of each of these
measures.
INADEQUATE CONSIDEP~TION OF FLOODING ISSUE
The EIR fails to disclose that the Proposed Development is
located in the flood plain. The EIR should disclose this
fact and the size of a storm (e.g., 100 year) that can be
expected to result in flooding.
THE FINDINGS RE CERTIFICATIOr OF THE EIR ARE INADEQUATE
Proposed Resolution No, 84-10 concerning certification of the
Final EIR is inadequate. The proposed resolution fails to
contain legally mandated findings concerning the basis for
the Agency's conclusion that the EIR complies with CEQA, and
fails to provide any indication of the analytical path that the
Agency took to that conclusion.
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Santa Ana City Council/ Community Redevelopment Agency
May 15, 1984
Page Ten
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XVI.
THE FINDINGS RE APPROVAL OF THE PARTICIPATION
AGREEMENT ARE INADEQU~TE
The findings concerning approval of the Proposed Participation
Agreement contained in Proposed Resolution No. B4~11 are also
inadequate. The findings reveal nothing about the extent of
the unmitigable adverse environmental consequences associated
with the project. For example, the findings state that there
will be "increased traffic in the surrounding area". Proposed
Resolution No. 84-11 (at page 4). How much of an increase
will occur? What level of traffic will result? What
"surrounding areas" will be affected? The findings offer no
answers to these questions. As a result, there is no indication
that .the,CRA is aware of the actual consequences of any
approval of the Proposed Development.
.
Similarly, the findings give no indication of the feasibility
or effectiveness of the proposed mitigation measures. For
example, standards are imposed to "minimize adverse shadow
and glare effects". Are these standards measurable? To
what extent will they be effective? Again, the findings offer
no indication of the answer to this question.
Finally, there is no basis in the record before the CR~ to
conclude, as does Proposed Finding No.3, that the Proposed
Development will be viable from an economic point of view.
Without any basis for this conclusion, the statement of
overriding considerations also fails for want of supporting
evidence.
XVII.
INADEQUATE NOTICE TO AFFECTED PERSONS
In violation of CEQA an1 the State EIR Guidelines, official
notice of matters concerning this EIR was not provided to
City of Orange City Clerk, Cal Trans, the United States
Department of Transportation, and Orange residents in the
vicinity of the Proposed Development. Accordingly, proper
notice must be provided those persons and the EIR recirculated
for comment and review.
. XVIII. INADEQUATE CONSIDERATION OF RESIDENTIAL
NEIGHBORHOOD IMPACT
The EIR analysis should have included traffic, noise, police
and fire protection, air quality, housing, light and shadow,
view, trash management, crime, privacy and enjoyment of
residential life style, parking management, and impacts
associated with construction. The Final EIR also fails to
discuss mitigation measures designed to preserve the
residential character of the surrounding neighborhoods.
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Santa Ana City Council/Community Redevelopment Agency
May 15, 1984
Page Eleven
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INADEQUATE CONSIDERATION OF RESIDENTI~
NEIGHBORHOOD IMPACT
XVIII. (Continued)
XIX.
.
xx.
XXI.
.
The EIR does not specifically deal with the continued use
and enjoyment of the property of the neighborhood residents
in conjunction with the proposed development. Not only the
failure to notify these residents but more importantly the
failure to analyze or mitigate the impact of this proposed
development is vol~tive of CEOA and its fundamental purposes.
INADEQUATE CONSIDERATION OF GEOLOGY AND SUBSIDENCE ISSUES
The area of the Proposed Development is subject to subsidence.
See "Preliminary Review of Geologic Soils Conditions in
Area of the General Plan," City of Orange, April 10,1971,
F. Beach Leighton & Associates. The impacts of this condition
must be addressed in the Final EIR.
The failure of the Final EIR to analyze the stability of the
earth is especially significant in light of proposed under-
ground parking and multi-story commercial office development
adjacent to residential areas,
INADEQUATE RESPONSE TO COMMENTS
The Final EIR fails to provide adequate responses to the comments
'on the draft EIR. None of the City's,concerns are adequately
answered. Moreover, no response at all is given to Cal Trans'
disclosure that there is no funding for additional freeway ramps.
The Response to Comments should have been recirculated in light
of the new information presented in the co~~ents and responses.
CONCLUSION
In light of the aforementioned concerns, the City of Orange
respectfully requests the following procedures for the further
consideration of the Fashion Square project.
1.
Additional details should be provided forthwi'_h
concerning plans for the Proposed Development;
2.
The EIR should be supplemented to analyze the
environmental consequences associated with the
development in light of this additional detail;
the EIR should also be supplemented in light of the
concerns addressed in this letter;
3.
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Santa Ana City Council/ Community Redevelopment Agency
May 15,1984
Page Twelve
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XXI.
CONCLUSION (Continued)
4.
At a minimum, the City of Orange should be afforded
an additional two weeks in which to comment on the
proposed Final EIR.
These comments are submitted without waiving the City of Orange's
right to object to the Final EIR's adequacy on other grounds if
such grounds should be discovered.
Thank you for your consideration of our concerns.
.
fi', ïJ~:--~
J. William Little
City ~anager
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FASHION SQUARE EXPANSION
COST-BENEFIT ANALYSIS
. New
New Retail New Sales New Occupancy New Tax
'fear- Squar-e Footage Ta>< Revenue Hotel Rooms Ta>< Incr-ement
-------------- ----------- ----------- ------------- -------------
1984 0 0 0 0 100,000
1985 0 0 0 0 102,000
1986 618,000 784,860 0 0 764,040
1987 0 784,860 0 0 779,321
1988 20,000 814,860 0 0 1,096,907
1989 0 814,860 0 0 1,118,845
1990 143,000 ,957,860 400 569,400 1,673,022
1991 103,000 1,112,360 0 569,400 2,086,483
1992 0 1,112,360 0 569,400 2,128,212
1993 0 1,112,360 400 1,138,800 2,910,777
1994 0 1,112,360 0 1,138,800 2,968,992
1995 0 1,112,360 0 1,138,800 3,028,372
1996 0 1,112,360 0 1,138,800 3,548,939
1997 0 1,112,360 400 1,708,200 4,009,918
1998 0 1,112,360 0 1,708,200 4,090,117
89 0 1,112,360 0 1,708,200 4,171,919 -,
,0 0 1,112,360 0 1,708,200 4,255,357
2001 0 1,112,360 0 1,708,200 4,340,464
2002 0 1,112,360 0 1,708,200 4,427,273
2003 0 1,112,360 0 1,708,200 4,515,819
2004 0 1,112,360 0 1,708,200 4,606,135
2005 0 1,112,360 0 1,708,200 4,698,258
2006 0 1,112,360 0 1,708,200 4,792,223
2007 0 1,112,360 0 1,708,200 4,888,068
2008 0 1,112,360 0 1,708,200 4,985,829
2009 0 1,112,360 0 1,708,200 5,085,546
2010 0 1,112,360 0 1,708,200 5,187,256
2011 0 1,112,360 0 1,708,200 5,291,002
2012 0 1,112,360 0 1,708,200 5,396,822
2013 0 1,112,360 0 1.708,200 5,504,758
2014 0 1,112,360 0 1,708,200 5,614,853
----------- ----------- ----------- ----------- -----------
884,000 30,853,940 1,200 37,011,000 108,167,527
----------- ----------- ----------- ------------ -----------
----------- ----------- ----------- ----------- -----------
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EXHIBIT C
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RAPI-jAJ;L LOUIS ROSINGANA
Þ PPO¡:::¡;sso'"Þ - CC P:CORft TC' ,
401 Cv<c C,c"r D--", 'W",
Se",53C
Soo'o Aoo, CoLfe-- 09"2701
(714) 547-33 i
May 15, 1984
GITY OF SAHTA AN,.
M.~y 1 5 1984
Redevelopment Agency
City of Santa Ana
Civic Center
Santa Ana, California 92701
COMMUNITY DEVEluPMENT
l!~!'ARrMfNT
HAND DELI VERED
A-2 Site; 4th and Ross Streets
Santa Ana, California
Dear Sirs:
RE:
Please be ádvised that this office represents the Ferrante/Walder Company.
They informed me that at 4:45 p.m. they were advised at their Los Angeles
offices of a meeting of the Redeveloment Agency at 5:30 p.m. in Santa Ana.
They were further advised that under consideration is a staff
recommendation to grant Carley Capital Corporation and Carley Pacific
Corporati on excl us i ve negot i at ing ri ghts wi th regards to the above
referenced redevelopment site.
Since representat i ves of the Ferrante/Wal der Company were not able to
attend this meeting in person, they requested that the agency be informed
that the Ferrante/Wal der Company has a joi nt development agreement with
Carley Pacific Corporation regarding the above referenced site.
Some negotiations have taken place with the city and altHough additional
negotiations were to take place pursuant to the previously awarded
exclusive negotiating agreement which includes Ferrante/Walder Company as
a co-developer, my clients were subsequently informed that the staff
desired to change the entire concept regarding the manner in which this
parcel was to be developed.
-The staff has recently informed my clients that Carley Pacific Corporation
and Carley Capital Corporation would negotiate a good faith solution with
my client to this matter and that these reprsentations would be made in
writing to the city.
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,< RAPf-iAfL LOUiS ROSNGA'JA
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Therefore, on behalf of my clients, these offices request that any
actions taken to grant exclusive negotiating rights to Carley Pacific
Corporation and Carley Capital Corporation include either (i)
Ferrante/Walder Company as a co-developer; or (ii) that Carley Pacific
Corporation and Carley Capital Corporation reach an amiable solution in
writing with Ferrante/Walder Company regardi'lg their rights. It is
requested that any such award be conditional on one of the above.
I am certain that the agency can appreciate the fact that my clients have
spent a tremendous amount of time and money in regard to this site and
simply want to be treated fairly in the resJlution thereof.
Thank you for your time and cooperation.
Sincerely,
~ffi"~~-
Attorney 2f~
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