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HomeMy WebLinkAboutBolsa Chica Regional Linear Park - Gas Plant Element - Shell Shell Western E&P Inc. An oflel4ts of Shell Oil cemlwy PO Box 11164 Bakersfield CA 93389-1164 March 2, 1994 Honorable Mayor and Members of the City Council I 2000 Main Street I Huntington Beach, CA 92648 j SUBJECT": BOLSA CHICA REGIONAL PARK GAS PLANT ELEMENT Representatives from Shell had the opportunity of attending the January 12, 1994 joint j meeting of the Community Service Commission, Allied Arts Board, and the Historic Resources Board. We were impressed with the enthusiasm the various members of the Boards and Commission showed, and the interest they had in the County idea to include a portion of the Gas Plant as an element of the Bolsa Chica Regional Park. i While we are neutral as to whether or not this idea is desirable, we want to reinforce our commitment to cooperate and participate in the process. On the subject of our requested Gas Plant lease extension, it is very important to Shell we be granted that request. The construction of our new, smaller, more efficient, and lower emission replacement gas plant will not be completed until December 1994_ We are permitted to flare gas in the interim, if necessary. However, we are not anxious to create an increase in emissions for even a short period of time, while wasting a non renewable energy i resource. We concur with the Staff recommendations. We want to be a good corporate neighbor. We enjoy our relationships with the people and government of the City of Huntington Beach. In summary, we view the lease extension as a win/win proposition. Sincerely, " M . 1 a rn Q z Tom A. Christenson Asset Manager- Coastal r California Division I JFI`:yh Y JFF408101-1 I I (5 REQUEST FOR CITY COUNU L ACTION O Date March 7, 1994 Submitted to: The Honorable Mayor and City Council APPROVED BY CITY COUNCIL Submitted by: Michael Uberuaga, City Administrator °� - -7 Prepared by: Ron Hagan, Director, Community Service a Subject: �' - Y 4CIrt­-- BOLSA CHICA REGIONAL PARK/GAS PLANT ELEMENT Consistent with Council Policy? ( ] Yes [ ] New Policy or Exception Statement of Issue, Recommendation,Analysis, Funding Source,Alternative Actions,Attachments: STATEMENT OF ISSUE Three issues are addressed in this Request for Council Action: 1. In order to provide direction to the County of Orange in its planning efforts for the Bolsa Chica Regional Park, there is a need to establish a city position as to whether a portion of the Shell Oil Company gas plant, currently located on the Bolsa Chica Bluffs, should be included as an educational and historical element in the Orange County Bolsa Chica Regional Park as recommended by the Community Services Commission; 2. In order for the county to save a portion of the gas plant, the city would need to modify the terms of Development Agreement 90-1 with Seacliff Partners related to the dedication requirement for the 3.6 acre site; and 3. Shell Oil Company has offered additional park funding in exchange for continued operation of the existing gas plant. In order for either the county or the city to extend a lease to Shell Oil Com- pany for continued operation of the existing gas plant, the Development Agreement between Seacliff Partners and the city needs to be amended to allow for immediate dedication of the 3.6 acre site. RECOMMENDATIONS . 1. Recommend to the Q=f&mrCounty Harbors, s and Parks Department that ap on of the gas plant uded as an educatio historical element in the B nca Regional Park as r✓� ed herein; and 2. Direct staff to meet with Seacliff Partners to draft a mutually agreeable amendment to Section 2.2.1(a)6 of Development Agreement 90-1 to modify the clean up and dedication requirements for the 3.6 acre Shell Gas Company gas plant site for Council approval. P10 5/85 REQUEST FOR COUNCIL ACTION March 7; 1994 Page two ANALYSIS At the request of the Orange County Harbors, Beaches and Parks Department, a joint meeting of the Community Services Commission, Allied Arts, and Historic Resources Boards was conducted on January 12, 1994. The purpose of the meeting was to discuss the possibility of including a portion of the gas plant as an element in the Bolsa Chica Regional Park. The park is being developed by the county; however, the city is providing most of the land through developer dedications. The meeting was publicized to residents within 300 feet of the park as well as general public notices in newspapers and on HBTV Channel 3. Notices of the public meeting were also sent to Amigos de Bolsa Chica, Historical Society, Huntington Beach Tomorrow and the homeowner associations in the area of the project. Design Concept- County staff indicates that the proposal is to preserve approximately one-third to one-half of the main building plus some of the machinery within the gas plant site. Signs would be provided to indicate gas plant and oil production history and use ( see attached site plans). On January 12, the commission and boards gave their support to the concept and felt that the emphasis should be placed on the educational and historical elements and not the creation of a children's play- ground-type atmosphere. The colors should be muted and not garish or bright. The facility should blend into the passive nature of the park. It was also recommended that the amount of the equipment should be kept to only what is necessary to tell the story of gas and oil production in the community. The general consensus was that there are not enough historical structures identified within the com- munity and that this would be an opportunity to create an historic element, not only for the park,,but for the city. While only one group, the Community Services Commission, made a formal motion and took a vote(unanimous); overall, the consensus of the three advisory groups was in favor of the pro- ject. Staff concurs with this position. Conflicts with Existing Agreements - Section 2.2.1(a)6 of the Holly Seacliff Development Agreement indicates that the developer(SeacliffPartners)will dedicate the 3.6 acre Shell Oil Company gas plant site "after Shell gas plant (is) removed and no later than December 31, 1994." Consequently, this section of the development agreement would have to be modified for the gas plant to remain. An agreement would have to be reached that would allow Seacliff Partners to immediately dedicate this site to the city or county. The city and Seacliff Partners would have to first agree to amend this sec- tion of the agreement. Timing Ur ency- The main portion of the Shell gas plant is located on a 3.6 acre parcel of land leased to Shell from Seacliff Partners. This lease expires on May 31, 1994, at which time Shell is obligated to remove its equipment and restore the site to its original condition. In anticipation of this sequence of events, the city and Seacliff Partners in Development Agreement 90-1 agreed that the 3.6 acre parcel would be dedicated to the city as a portion of the Bolsa Chica Regional Park by December 31, 1994. Should the City Council agree in concept to provide for continued operation 'A REQUEST FOR COUNCIL ACTION March 7, 1994 Page three of the gas plant beyond May 31, 1994, to December 31, 1994, the Council would need to take action to amend Section 2.2.1(a)6 of Development Agreement 90-1 prior to the expiration of the lease. ;,'New Agreements - If both the city and county are desirous of implementing the idea of saving a por- tion of the gas plant, certain terms of the Development Agreement with Seacliff Partners and the Land Dedication and Development Agreement between the City of Huntington Beach and the County of Orange must be amended. Additional agreements may need to be developed between the County of Orange and Shell Oil Company and between the County of Orange and Seacliff Partners. All of these details can be worked out later. Benefits - Staff feels that this project could benefit all parties concerned, although both Shell Oil and Seacliff Partners are prepared to fully adhere to all existing terms, conditions and deadlines under the current agreement if the concept is not approved by Council or the County Board of Supervisors. The benefits of the recommended actions are: Shell would get to continue operation of the existing plant for six months allowing them not to have to flare gas until their new plant is ready for use in December, 1994; the County would get the opportunity to explore the feasibility of developing an historical/cultural site within the linear park; the City would retain control over the clean up of the site; Seacliff Partners will meet all of the terms of their development agreement; and Shell Oil as a result of not having to flare gas has indicated a desire to financially participate in the development of the linear park for which the County needs funds. FUNDING SOURCE The county is responsible for development of Bolsa Chica Regional Park including the gas plant ele- ment if approved. While additional funding is needed, the county is not requesting development funds from the city. If Council approves the concept of extending the deadline on the Shell site, the City and County will work with Shell to gain their financial support for the development of the linear park. ALTERNATIVE ACTIONS Recommend to the county that the gas plant not be included as an element in the Bolsa Chica Re- gional Park and proceed with demolition of the facility per the existing terms of the Holly Seacliff Development Agreement with Seacliff Partners. NOTE: Council could act and approve Recom- mended Action#2 and defer or not approve recommended Action# 1, but it cannot approve#1 with- out approving#2. ATTACHMENTS County staff report (including location map and plan) Community Services Commission/Allied Arts Board/Historic Resources Board January 12, 1994 Minutes i BOLSA CHICA REGIONAL PARK PHASE I STAFF REPORT Location Hcrlaa Chica Regional Park is located on the Huntington Mesa, between Talbert Avenue and Pacific Coast Highway; and adjacent to Seapoint Avenue and Edwards Street (see attached map). This 106 acre regional park-lies partly within the City of Huntington Beach and partly within the unincorporated County of Orange. �1ist Planning for this park began in 1979 along with development proposals for the I.al:ger Holsa Chica property. The park, in its present form, is the result of land dedications and commitments of future land dedications associated with development of remaining properties within this area. The regional parks General Development Plan (GDP) was approved by the County Board of Supervisors in November 1992, and envisions phased implementation based on the schedule for Inud dedication, clean up of oil facilities and available funding. The GDP The General Development Plan is designed to provide low-intensity recreational uses. Most of the park acreage will be planted with native plant material consistent with the park's focus on resource protection and enhancement of ndJacent Holsa Chica wetlands. Additional park features includes bicycle and 0(iuestr-i.an trails= a park interpretive center; vista overlooks; picnicking; open 11iformal play areas and on-site visitor parking. Several Environmental Sensitive Habitat Areas (or ESHA's) are included in the pl.asr. One of these areas is a local drainage from the adjacent Seacliff Golf Course which has become eroded and an impact to the salt water wetlands below Iliv bluffs. This area is planned to be reconstructed to provide a high quality 11csh water riparian habitat. The other area is along the lower bluffs, where !!lpproxlmately 15 acres of native tree ESHA is planned to support the Bolsa Chica sir-tuary slated for future enhancement. Phase I Park Improvements Phase 1 consists of approximately 47 acres and includes: park entries with �.-ignage; a 40-car parking lot; a vista overlook with interpretive signage; !)(>rimeter fencing with signage; park security lighting; informal picnic areas; t+r,de!^ti-tan/bicycle/equestrian trails; a restroom; an interpretive center; a ;;(•Hand enhancement area; ornamental and native planting; and irrigation. '.I'own fie_ll Meet The park's Interpretive Center is a prominent part of Phase One. The design c,.orrcept provides a building of about 5,000 square feet which will feature exhihits describing park history and resources, and house the park's volunteer pi-ogram. It will also provide space for county and state ranger staff. I'lie Interpretive Center on the site is presently occupied by the Shell Gas N nnt. The GDP envisioned removal of the gas plant structures to make zoom for the park. However, the County design staff is proposing adaptive re-use of fi few of these structures for interpreptive use. A limited number of the existing structures are proposed to be incorporated into the park to help J11itstrate an important historical part of Huntington Beach oily production. Tonight's presentation is focused on the gas plant site , its clean-up and rtibsequent park use. REQUEST FOR COUNCIL ACTION March 7, 1994 Page three New Agreements- If both the city and county are desirous of implementing the idea of saving a portion of the gas plant, certain terms of the Development Agreement with Seacliff Partners and the Land Dedication and Development Agreement between the City of Huntington Beach and the County of Orange must be amended. Additional agreements may need to be developed between the County of Orange and Shell Oil Company and between the County of Orange and Seacliff Partners. All of these details can be worked out later. Benefits - Staff feels that this project could benefit all parties concerned, although both Shell Oil and Seacliff Partners are prepared to fully adhere to all existing terms, conditions and deadlines under the current agreement if the concept is not approved by Council or the County Board of Supervisors. The benefits of the recommended actions are: Shell would get to continue operation of the existing plant for six months allowing them not to have to flare gas until their new plant is ready for use in December, 1994; the County would get the opportunity to explore the feasibility of developing an historical/cultural site within the linear park; the City would retain control over the clean up of the site; Pacific Coast Homes could extend Shell's lease and still meet all of the terms of their development agreement; and Shell Oil as a result of not having to flare gas has indicated a desire to financially participate in the development of the linear park for which the County needs funds. FUNDING SOURCE The county is responsible for development of Bolsa Chica Regional Park including the gas plant element if approved. While additional funding is needed, the county is not requesting development funds from the city. If Council approves the concept of extending the deadline on the Shell site, the City and County will work with Shell to gain their financial support for the development of the linear park. ALTERNATIVE ACTIONS Recommend to the county that the gas plant not be included as an element in the Bolsa Chica Regional Park and proceed with demolition of the facility per the existing terms of the Holly Seacliff Development Agreement with Seacliff Partners. NOTE: Council could act and approve Recommended Action#2 and defer or not approve recommended Action# 1, but it cannot approve#1 without approving#2. ATTACHMENTS County staff report (including location map and plan) Community Services Commission/Allied Arts Board/Historic Resources Board January 12, 1994 Minutes Newport Ana Beach a Rig _ er Brookhurst Street Westminster Fountain, Huntington, Valley V - Beach d /Be�ach Boulevard d or � Golden West Street o4 G / - Edwards Street .�:......_--.- a Seapointe- 8o1s�Chicax Avenuei R `,Wetlands: a Solsa Chica.Street 'P'ra.j6c.t-.Site. Huntington- Harbor- , Appproximate Bolsa Chica. L6 Boundary Seal / . Pacific Ocean Beach BQLSA CHICA REGIONAL. PARS • `` � • r-----may _ - ___ ___ ,•� - :� {? � - f � . a -= EN � ::• �` Ale Pill F1♦ of s � ter;=,., �• -- - _-- ,�'' E P T -f mr tTj ' Y � I,• I *V pJ� 9 ,/ k... Icy`�\\�,��1 �l��► �i�I ',; 1 `. ri z rli�:_�y,T` ?• ,rim 3�5\( � .���"•��..�=�-- ;jib — ----- [ ,)•��.�� �' � �-�5. J, sari,•; ' , >. If if i S I� ' 4 MINUTES CITY OF'HUNTINGTON BEACH COMMUNITY SERVICES COMMISSION ALLIED ARTS BOARD HISTORIC RESOURCES BOARD Wednesday, January 12, 1994; 7:00 P.M. Council Chambers, Civic Center 2000 Main Street Huntington Beach, CA 92648 Community Services Commission Chairman Judy Diaz called the meeting.to order at 7:05 p.m. and asked Commissioner Weaver to lead the salute to the flag. Following the salute to the flag, roll was taken. COMMUNITY SERVICES COMMISSION Members Present: Elaine Craft-, Judy Diaz-, Jay Kreitz; Gary Nelson-, Donna Ryan; Michael Simons; Judy Swan-, Carrie Thomas; Richard Weaver Members Absent: Dan Moss (unexcused); Wendy Weber (excused) ALLIED ARTS BOARD Members Present: William Anderson; Lloyd Baron-, Anna Friesen; Elizabeth Goldner; Elaine Hanl<in, Mary Lou Hughes-, Neil Reynolds Members Absent: Philip Mosbo (excused); Mary Elizabeth Shebell (excused) HISTORIC RESOURCES BOARD Members Present: Elizabeth Binsacl<; Edmund Cunningham; Idabelle Griffin; . Douglas Langevin; Maureen Rivers; April Van Wie; Aaron Weiner; Loretta Wolfe Members Absent: Guy Guzzardo; (excused); Maryann Malamut (excused) STAFF PRESENT: Ron Hagan; Jim Engle, Bill Fowler; Vick Morris, Anita Morrison; Michael Mudd, Barbara Schultz PRESENTATION ORANGE COUNTY BOLSA CHICA REGIONAL PARK/GAS PLANT - The county had requested this joint meeting of the Community Services Commission, Allied Arts and Historic Resources Boards. The meeting was publicized to residents within 300 feet of the park as well as general public notices in newspapers and on HBTV Channel -3. Notices of the public meeting were also sent to Amigos de Bolsa Chica, Historical Society, Huntington Beach Tomorrow, and COMMUNITY SERVICES COMMISSION January 12, 1994 ALLIED ARTS BOARD Page two HISTORIC RESOURCES BOARD Minutes - 578 the home owners association in the area of the project. Community Services Commission Chairman Judy Diaz introduced the topic of including the Shell Oil Company gas plant as an element within Bolsa Chica Regional Park. Chairman Diaz presented Mr. Bob Fisher, Director, Orange County Harbor, Beaches and Parl<s Department who, along with county staff and consultants, provided an overview of the linear park including its history and update on the development process. Mr. Fisher indicated that the county was soliciting input to determine if a portion of the gas plant should be retained as an historical element within the park. Approximately one-half of one building plus some of the machinery would be retained. There would be signs providing information aboutt the gas plant and oil production. If a portion of the gas plant is not retained, the entire site is to be.razed by the end of the year, per the Holly/Seacliff development agreement between the city and the Huntington Beach Company. There was only one public comment and it was in favor of the project. The commission and board members felt that the emphasis should be placed on the educational and historical elements and not on the creation of a children's playground-type atmosphere. The colors should be more muted and not garish or bright. The facility should blend into the passive nature of the park. It was also felt that the amount of equipment should be kept to only what is necessary to tell the story about gas.and oil production in the community. One board member also suggested the idea of identifying the first oil well in Huntington Beach that is located within the park boundaries. The general consensus was that there are not enough historical structures within the community and this would be an opportunity to create an historic element not only for the park, but for the city. While only one group, the Community Services Commission, made a formal motion and took a vote (vote was unanimous), overall, the consensus of the three advisory groups was in favor of the project. Since this was only a conceptual plan, there was some concern expressed about the process to formulate a final project. In order to address this issue, it was determined that each of the three groups select a representative and an alternate who will work with the county staff in the design process. The Community Services Commission appointed Jay Kreitz and Carrie Thomas, the Allied Arts Board appointed Elaine Hankin and Neil Reynolds and the Historic Resources Board appointed Aaron Weiner and Doug Langevin. ADJOURNNI ENT There being no fin-ther business, the Chairman of the Community Services Commission adjourned the joint meeting of the commission, Allied Arts and Historic Resources Boards at 8:30 p.m.