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HomeMy WebLinkAboutAnnexation of the Bolsa Chica Warner Mesa (Hearthside Homes® A� CITY la CLERK GIa CITY OF HUNTINGTON 6E 3 r4N BEACIi. CA City Council Interoffice Communication 1405 SEP 11.4, To: Honorable Mayor and City Council Members From: Don Hansen, City Council Member Date: September 12, 2005 Subject: H-ITEM FOR THE SEPTEMBER 19, 2005, CITY COUNCIL MEETING — ANNEXATION OF THE BOLSA CHICA WARNER MESA (HEARTHS/DE HOMES DEVELOPMENT SITE) STATEMENT OF ISSUE: The Hearthside Homes Project on the unincorporated Bolsa Chica Warner Mesa was approved by the California Coastal Commission on April 14, 2005, for the construction of 349 homes. Due to the adjacency of the project site to the city limits, this project will be an extension of the city and will use or require city services. As a result, there will be a fiscal impact to the city. The Warner Mesa Annexation Study, a fiscal impact analysis prepared for the city by Rosenow Spevacek Group, Inc., is scheduled for review by the City Council at the September 19, 2005, Study Session. Preliminary review of that study by city staff indicates that it would be fiscally beneficial to the city of Huntington Beach for annexation to occur prior to development of the project. Due to Hearthside's expected development schedule of the proposed project, it would be best to initiate annexation as soon as possible. On August 15, 2005, staff from the Local Agency Formation Commission (LAFCO) indicated that because the Warner Mesa is already within the city of Huntington Beach's sphere of influence, annexation would be supported by LAFCO. However, based on LAFCO requirements, the development site must be pre -zoned prior to annexation. If the city chooses to initiate the annexation, fees totaling $42,848 from an applicant would not be realized. RECOMMENDED ACTION: 1. Direct the Planning Department to prepare a Zoning Map Amendment, Environmental Assessment, and Annexation Request for the Warner Mesa Hearthside Homes development and return to the City Council with an appropriation of funds for LAFCO application costs. 2. Upon receipt of an application for a development agreement, dedicate the staff resources necessary to conclude the process in a timely manner. xc: Penny Culbreth-Graft, City Administrator Joan Flynn, City Clerk Paul Emery, Deputy City Administrator 9�Lfo.t �� 0 ���� (17) September 19, 2005 - Council/Agency Agenda - Page 17 Statement of Issue: Verizon's "Fiber to the Premises" (FTTP) project involves street work throughout most of Huntington Beach. Verizon is required to obtain a Utility Encroachment Permit from the Public Works Department for inspection of work within the public right-of-way. The construction work affecting street pavement and concrete sidewalk areas consists of boring and open cut trenching to install conduits through which the fiber optic cables will be pulled. The Public Works Department has the ability to require street restoration and concrete replacement in the public right-of-way. On private streets, areas covered by homeowners associations (HOA), Verizon may request access to these areas directly through the HOA with no Public Works encroachment permit required. Most HOAs do not have the expertise to condition and inspect the work of Verizon's subcontractors. It is important that these HOAs be provided the opportunity to retain professional assistance to properly oversee the work on their private streets and sidewalks. This assistance could be made available by private consulting inspection firms or through the city's Public Works Department. Recommended Action: 1. Direct staff to develop a communication tool that provides HOAs the adopted standards for restoration of infrastructure so that each HOA may retain its own consulting inspection; and/or 2. Direct staff to develop a "template" agreement in coordination with the City Attorney's office that allows HOAs to compensate the city for inspection services. Include in the agreement the necessary releases of liability. Each of these approaches would allow the HOAs to charge Verizon for the right to work on the private streets to offset the cost of inspection. Councilmember Cook reported orally. Verizon representative also reported, asking that Verizon be allowed to participate on the template. Cook/Bohr motion to approve recommended action, as amended to allow Verizon opportunity to comment on the template. Approved 6-0-9 (Hardy away from desk) H-2a. Submitted by Councilmember Hanson (City Council) Annexation of the Bolsa Chica Warner Mesa (Hearthside Homes Development Site) (450.40) Communication from Councilmember Hanson transmitting the following Statement of Issue: The Hearthside Homes Project on the unincorporated Bolsa Chica Warner Mesa was approved by the California Coastal Commission on April 14, 2005, for the construction of 349 homes. Due to the adjacency of the project site to the city limits, this project will be an extension of the city and will use or require city services. As a result, there will be a fiscal impact to the city. The Warner Mesa Annexation Study, a fiscal impact analysis prepared for the city by Rosenow Spevacek Group, Inc., is scheduled for review by the City Council at the September 19, 2005, Study Session. Preliminary review of that study by city staff indicates that it would be fiscally (18) September 19, 2005 - Council/Agency Agenda - Page 18 beneficial to the city of Huntington Beach for annexation to occur prior to development of the project. Due to Hearthside's expected development schedule of the proposed project, it would be best to initiate annexation as soon as possible. On August 15, 2005, staff from the Local Agency Formation Commission (LAFCO) indicated that because the Warner Mesa is already within the city of Huntington Beach's sphere of influence, annexation would be supported by LAFCO. However, based on LAFCO requirements, the development site must be pre -zoned prior to annexation. If the city chooses to initiate the annexation, fees totaling $42,848 from an applicant would not be realized. Recommended Action: Direct the Planning Department to prepare a Zoning Map Amendment, Environmental Assessment, and Annexation Request for the Warner Mesa Hearthside Homes development and return to the City Council with an appropriation of funds for LAFCO application costs. Upon receipt of an application for a development agreement, dedicate the staff resources necessary to conclude the process in a timely manner. Councilmember Hansen reported, asking recommended action be amended to state report be returned to Council the first meeting of December. Hansen/Coerper motion to approve as amended. Council inquiries followed relative to fees, development agreement deadlines, and timelines for approval process. Mayor Hardy reported on first meeting in December tradition of light agenda. CM Cook suggested project be referred to as Bo/sa Chica rather than Warner Mesa, and asked for a legal opinion on how property taxes can be used. She also stated other concerns with the report given by consultant earlier this evening. CM Bohr suggested amendments to motion: to direct staff to pursue reimbursement of all application fees from developer, confirm that project be referred to as `Bolsa Chica Mesa," to direct staff to do value engineering on costs for water pipeline, water reservoir, and accessory items. Councilmembers commented on importance of waiting for purchase agreement to be finalized. Maker of motion agreed to amend to second meeting in December, and accepted suggested amendments made by CM Bohr. CM Bohr suggested a Special meeting on 12112. Maker & second accepted amendment. MPT Sullivan inquired further about development and purchase agreements. CM Cook reported on deadline for agreement before funds go away. Mayor Hardy reported on property taxes received by City and stated her opposition to annexation until purchase agreement is finalized, but supports a study of pipeline costs. CMs Bohr, Hansen, and Green stated reasons for supporting motion including benefits to the City. CM Cook reiterated her opinion there is a need for legal opinion on tax revenue usage. Mayor Hardy spoke regarding park open space, suggesting park in -lieu fees are necessary to negotiate as part of the development agreement. MPT Sullivan stated desire for proof of Lower Bench sale and for strong staff negotiations on development agreement. CM Coerper stated concerns with County developed area, and less park areas than the City would require. Approved recommended action, as amended - 5-2 (Cook, Hardy- No) Council Comments - (Not Agendized) CM Green reported on events attended including funerals for Harry Dotson, Richard Silver; Spurgeon Awards, Eagle Scout Ceremony. CM Coerper reported that his son returned two weeks ago and must report back to Iraq.