HomeMy WebLinkAboutNS-2911 - Approving an Amendment to Development Agreement Between City of Santa Ana and Heritage Village LLC, A California Limited Liability CompanyLS 11/14/16
ORDINANCE NO. NS -2911
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY
OF SANTA ANA APPROVING AN AMENDMENT TO THE
DEVELOPMENT AGREEMENT BETWEEN THE CITY OF
SANTA ANA AND HERITAGE VILLAGE LLC, A
CALIFORNIA LIMITED LIABILITY COMPANY
THE CITY COUNCIL OF THE CITY OF SANTA ANA DOES ORDAIN AS
FOLLOWS:
Section 1. The City Council of the City of Santa Ana hereby finds, determines
and declares as follows:
A. The City is authorized pursuant to Government Code Sections 65864 through
65869.5 to enter into development agreements with persons having legal or
equitable interests in real property for the purpose of establishing certainty for
both City and owner in the development process.
B. The City enters into this Amendment to the Development Agreement pursuant
to the provisions of the Government Code and applicable City policies.
C. This Amendment to the Development Agreement came before the Planning
Commission for a duly noticed public hearing on November 14, 2016. The
Planning Commission, on a vote of 5:1, with one abstention, made a motion
to recommend denial of the Amendment to the Development Agreement.
D. Entering into this First Amendment to the Development Agreement would
provide the City with significant benefits that are of regional significance,
relate to existing deficiencies in public facilities, and require the owner of the
Heritage Village to contribute toward public benefits.
E. The City Council has held a noticed public hearing on this Ordinance and has
considered all testimony presented thereto.
F. The previously adopted and certified Final Environmental Impact Report EIR
for the property, EIR No. 2015-01, including the Mitigation Monitoring
Program, Findings of Fact and Statement of Overriding Considerations, have
been previously approved and certified by this Council.
G. The proposed project will not adversely affect the General Plan, as is
expressly set forth in the Request for Council Action dated December 20,
2016, together with all supporting documents, including but not limited to,
proposed resolutions, which are incorporated herein by this reference.
Ordinance No. NS -2911
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Section 2. The First Amendment to the Development Agreement, a true and
correct copy of which is attached hereto as Exhibit 1, is hereby approved, and the City
Manager and Clerk of the Council are authorized to execute it on behalf of the City with
such non -substantive changes as may be authorized by the City Manager and City
Attorney. The Clerk of the Council is hereby authorized and directed to cause this
Amendment to Development Agreement to be recorded with the County Recorder's Office.
Section 3. If any section, subsection, sentence, clause, phrase or portion of this
ordinance is for any reason held to be invalid or unconstitutional by the decision of any
court of competent jurisdiction, such decision shall not affect the validity of the remaining
portions of this ordinance. The City Council of the City of Santa Ana hereby declares that
it would have adopted this ordinance and each section, subsection, sentence, clause
phrase or portion thereof irrespective of the fact that any one or more sections,
subsections, sentences, clauses, phrases, or portions be declared invalid or
unconstitutional.
ADOPTED this 17th day of Janua , 2017.
APPROVED AS TO FORM:
Sonia R. Carvalho
City Attorney
By: c
Lisa Storck
Assistant City Attorney
AYES: Councilmembers
NOES: Councilmembers
ABSTAIN: Councilmembers
NOT PRESENT: Councilmembers
Ordinace No. NS -2911
Page 2 of 7
Benavides Pulido Solorio, Tinaiero,
Villegas (5)
Martinez (1)
None (0)
Sarmiento (1)
CERTIFICATE OF ATTESTATION AND ORIGINALITY
I, MARIA D. HUIZAR, Clerk of the Council, do hereby attest to and certify that the
attached Ordinance No. NS -2911 to be the original ordinance adopted by the City
Council of the City of Santa Ana on January 17, 2017, and that said ordinance was
published in accordance with the Charter of the City of Santa Ana.
Date: f
1 X20 r:)
Maria D. Huizar
Clerk of the Council
City of Santa Ana
Ordinance No. NS -2911
Page 3 of 7
EXEMPT FROM RECORDER'S FEES
Pursuant to Government Code §§6103 and 27383
RECORDING REQUESTED BY
AND WHEN RECORDED MAIL TO:
Clerk of the Council
City of Santa Ana
20 Civic Center Plaza M-30
P.O. Box 1988
Santa Ana, California 92702
(Space Above For Recorder's Use)
AMENDMENT NO. 1 TO
DEVELOPMENT AGREEMENT
by and between
THE CITY OF SANTA ANA
HERITAGE VILLAGE OC, LLC
A DELAWARE LIMITED LIABILITY COMPANY
Dated:
Ordinace No. NS -2911
Page 4 of 7 Exhibit 1
20
AMENDMENT NO. 1 TO DEVELOPMENT AGREEMENT
BETWEEN THE CITY OF SANTA ANA AND
HERITAGE VILLAGE OC, LLC,
a Delaware limited liability company
This Amendment No. 1 to the DEVELOPMENT AGREEMENT is entered into between
THE CITY OF SANTA ANA, a charter city and municipal corporation duly authorized under
the Constitution and laws of the State of California ("City") and Heritage Village OC, LLC, a
Delaware limited liability company ("Owner"). The City and Owner are referred to jointly in
this Development Agreement as the "Parties" and individually as a "Party."
1. RECITALS. This Amendment No. 1 to the Development Agreement is entered
into with reference to the following facts:
1.1 Development Agreement. A Development Agreement by and between the
City of Santa Ana and Heritage Village OC, LLC (the "Development Agreement"), was
approved by the City Council on February 2, 2016 and was recorded on June 28, 2016 as
Instrument No. 2016000293512 in the Official Records, Orange County. The Development
Agreement establishes vested development rights for the Heritage Village Project (the "Project")
on an 18.84 acre parcel located at the northwesterly corner of East Dyer Road and Redhill
Avenue in the City.
1.2 Amendment to Development Agreement. Section 4.3 of the Development
Agreement provides that the Development Agreement may be amended from time to time by the
mutual consent of the parties provided it is done in a manner consistent with California
Government Code Section 65868. Government Code Section 65868 requires that an amendment
to a development agreement be subject to a public hearing held by both the Planning
Commission and the City Council pursuant to appropriate notice and that the amendment be
approved by ordinance and be consistent with the general plan and any applicable specific plan.
1.3 Phasing of In Lieu Fees. Pursuant to Section 5.8 of the Development
Agreement, the Project will be developed in three phases as more fully described in the
Development Agreement. Pursuant to Section 5.9 of the Development Agreement the Owner is
obligated to pay the City an in lieu fee of $9.35 per square foot of habitable space in order to
fulfill its inclusionary housing requirement. Section 5.9 does not indicate when the in lieu fees
are to be paid. Section 41.1904(c)(3) of the City Zoning Code addresses the payment of such
fees and states that: "The developer shall pay any in lieu fees allowed by this section in full
before issuance of the first building permit for any portion of the residential project, including
any non-residential portions of a mixed use development." Both the Owner and the City have
determined that it is in the best interest of both parties to allow for a phased payment of the in
lieu fees pursuant to the terms of this Amendment No. 1 to the Development Agreement.
Ordinance No. NS -2911
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1.4 Remainder of Development Agreement. All of the provisions of the
Development Agreement, other than the amended language in Section 2 below, shall remain the
same.
1.5 Interest of Owner. Owner represents that it has approved this Amendment
No. I to the Development Agreement and is authorized to enter into this Amendment No. I to
the Development Agreement.
1.6 Public Hearings. This Amendment No. 1 to the Development Agreement
was the subject of the following public hearings:
(a) Planning Commission. On November 14, 2016, the Planning
Commission, after giving notice pursuant to Government Code Sections 65090 and
65091, held a public hearing to consider the Owner's application for this amendment to
Development Agreement and the environmental documentation evaluating the potential
impacts of the proposed project.
(b) City Council. On 20 the City Council, after
providing notice as required by law, held a public hearing to consider Owner's
Application for this Development Agreement and the proposed project.
(c) Environmental Anal. Before approving this Amendment No. 1
to the Agreement, the Planning Commission and the City Council reviewed the proposed
action and concluded no further environmental review is required pursuant to California
Resources Code Section 21166 and CEQA Guidelines section 15162.
1.7 City Council Findings. The City Council finds that this Amendment No. 1
to the Development Agreement is consistent with the General Plan, as amended by General Plan
Amendment No. 2015-03, applicable specific plan(s), applicable zoning regulations, and all
other applicable ordinances, plans, policies and regulations of the City.
1.8 City Ordinance. On , 20 , the City Council adopted
Ordinance No. NS- approving this Amendment No. 1 to the Development Agreement.
That ordinance becomes effective thirty (30) days after the date of adoption.
2. Revised Development Agreement Section 5.9. Section 5.9 of the Development
Agreement is hereby amended to now read as follows:
"5.9 Inclusionary Housing.
(a) Owner's project qualifies as a'pipeline project' under the
Amended Housing Opportunity Ordinance (Article XVIII.I of
Chapter 41 of the Santa Ana Municipal Code) and shall pay the
City an in lieu fee of $9.35 per square foot of habitable space in
order to fulfill the inclusionary housing requirement. Owner may
express a preference for how these finds may be used, but the final
decision regarding use of the inclusionary housing finds lies solely
Ordinace No. NS -2911
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with the Executive Director of the Community Development
Agency.
(b) Owner's payment of the in lieu fees shall be paid in phases
consistent with the phases of development set forth in Section 5.8.
The Owner shall pay the applicable in lieu fee for each phase of
the project, based on the habitable space within that phase of the
project, prior to the issuance of the first building permit for that
phase of the project."
IN WITNESS WHEREOF, this Amendment No. 1 to the Development Agreement has
been executed by the City of Santa Ana and by the Owner.
Dated this day of , 20
ATTEST:
Maria Huizar, Clerk of the Council
APPROVED AS TO FORM:
SONIA CARVALHO
City Attorney
Lisa Storck, Assistant City Attorney
RECOMMEND APPROVAL:
Hassan Haghani, Executive Director
Planning & Building Agency Name:
Title:
CITY OF SANTA ANA
David Cavazos, City Manager
HERITAGE VILLAGE OC, LLC
a Delaware limited liability company
Ordinance No. NS -2911
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