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HomeMy WebLinkAboutAdopt Resolution No. 2016-27, supporting architectural impro Dept ID CD 16-004 Page 1 of 3 Meeting Date 5/2/2016 a,a CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION MEETING DATE: 5/2/2016 SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A Wilson, City Manager PREPARED BY: Scott Hess, AICP, Director of Community Development SUBJECT: Adopt Resolution No 2016-27, supporting architectural improvements and approximate 150 ft height limit request of the amended Huntington Beach Energy Project (AES) and transmit the recommendation to the California Energy Commission Statement of Issue Transmitted for your consideration is a request to confirm the City's recommendation regarding architectural improvements and the proposal to exceed maximum height limitations for the Amended Huntington Beach Energy Project Based on action by the City Council, the City's recommendation will be transmitted to the California Energy Commission Financial Impact Not applicable Recommended Action Adopt Resolution No 2016-27, "A Resolution of the City Council of the City of Huntington Beach Supporting Proposed Architectural Improvements as Modified and Approximate 150 Foot High Structures Related to the Reconstruction of the Huntington Beach Energy Project " Alternative Action(s) The City Council may make the following alternative motion(s) 1 Approve Resolution No 2016-27 with revisions and direct the applicant to eliminate all visual screening plans for the amended electrical generating facility 2 Continue Resolution No 2016-27 and direct the applicant to return with the previously approved visual screening plan of surfboards, metal mesh wave forms, and trompe I'oeil painting design 3 Deny Resolution No 2016-27 Analysis A PROJECT PROPOSAL Applicant/Property Owner AES Southland, Stephen O'Kane, Manager, Sustainability and Regulatory Compliance, 690 N Studebaker Rd , Long Beach, CA 90803 Location 21730 Newland Street (Northeast corner of Newland Street and Pacific Coast Highway) Item 16. - 1 HB -722- Dept ID CD 16-004 Page 2 of 3 Meeting Date 5/2/2016 In June 2012, AES Southland submitted an application to the California Energy Commission (CEC) to reconstruct the existing electrical power generating station Although the power generating station is located in the City of Huntington Beach, the City has no permitting authority over the proposed request The CEC does ask AES and the City to demonstrate that the proposal is in compliance with all Local Ordinances, Rules, and Regulations (LORS) prior to CEC action on the proposed request To that end, City staff reviewed and provided comments on each stage of the proposed project and all aspects of the CEC review process Previous City Councils, City staff and CEC staff have identified that the appearance and architectural treatment of the proposed new plant are of primary concern to the citizens of Huntington Beach Along with identifying the importance of the architecture of the plant, City staff identified that the maximum height limit with the Public Semi-Public zoning on the property is 50 ft In March 2014, AES submitted a letter to the City requesting the City provide support of the proposal to exceed maximum height limitations for both the power plant and the architectural screening of three surfboards, two metal mesh wave forms, and trompe I'oeil painting on the air cooled condensers The two existing stacks at the plant are approximately 214 ft high On April 7, 2014, the City Council approved Resolution No 2014-18 confirming the City's support for the proposed architectural treatment and describing typical findings that could be made for a height variance for six stacks at 120 ft high, six HRSG platforms at 92 ft high, two air cooled condensers at 104 ft high, and architectural screening at 125 ft high In October 2014, the California Energy Commission (CEC) approved replacement of the existing AES Huntington Beach Generating Station (HBGS) with a natural gas-fired, combined cycle, air- cooled, 939 megawatt electrical generating facility on the 28 6 acre site The CEC's approval action included the visual screening plan recommended by the City After the CEC's certification of the new facility, Southern California Edison (SCE) awarded AES 20 year Power Purchase Agreements but selected a different power plant configuration than what CEC approved The selected power plant configuration differs from the approved plan because it is smaller (844 MW vs 939 MW), includes a different model of turbines, and results in a different physical appearance AES has submitted a Petition to Amend the certified project to the CEC to reflect the proposed changes On February 29, 2016, AES submitted a letter to the City seeking Design Review Board and City Council approval of a revised architectural screening plan and revised Resolution to exceed maximum height limitations (Attachment No 2) The revised power plant design results in two stacks at 150 ft high, two stacks at 80 ft high, two HRSG platforms at 95 ft high, an air cooled condenser at 110 ft high, and a sound wall at 50 ft high Additionally, the proposed architectural screening consists of a marine inspired sphere wall design treatment at 120 ft high Therefore, the amended proposed power plant, associated structures, and architectural screening exceed the maximum height limitations by approximately 30-100 ft The Design Review Board reviewed the revised architectural screening plan and recommend approval to the City Council In this case, because AES is asked to demonstrate compliance with local requirements, AES and the CEC have asked the City to determine whether or not a variance to exceed height would be affirmatively approved The attached Resolution No 2016-287 describes the typical findings necessary to approve a height variance and provides some Justification for the proposed request (Attachment No 1) The attached Resolution also confirms the City's support for the proposed architectural treatment of the proposed power plant and transmits the City's recommendation to the California Energy Commission HB -723- Item 16. - 2 Dept ID CD 16-004 Page 3 of 3 Meeting Date 5/2l2016 Alternatively, the Council may determine that the previous architectural screening consisting of surfboards, metal mesh wave forms, and trompe I'oeil painting is still the preferred visual screening design The Council may also determine that the proposed new power plant does not require any architectural screening at all and that the equipment and infrastructure is acceptable on its own In this case, the Council may determine that no visual screening plan is preferable to any proposed screening These two scenarios have been included under Alternative Actions #1 and #2 should the Council decide to pursue a different proposal for the electrical generating facility Environmental Status Covered by HBEP Final Decision from the Energy Commission (12-AFC-02) and Petition to Amend Strategic Plan Goal Enhance and maintain infrastructure Attachments) 1 Resolution No 2016-27 2 Letter from AES Southland received and dated February 29, 2016 Item 16. - 3 HB -724- RESOLUTION NO 2016-27 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH SUPPORTING PROPOSED ARCHITECTURAL IMPROVEMENTS AS MODIFIED AND APPROXIMATE 150-FOOT-HIGH STRUCTURES RELATED TO THE RECONSTRUCTION OF THE HUNTINGTON BEACH ENERGY PROJECT WHEREAS, AES Southland Development, LLC (AES) submitted an Application for Certification (AFC) to the Califoinia Energy Commission (CEC) on June 27, 2012 for new construction of the Huntington Beach Energy Pioject (HBEP) The City Council pieviously adopted Resolution No 2014-18, "A Resolution of the City Council of the City of Iuntington Beach Supporting Proposed Architectuial Impiovements as Modified and Appioximate 125- Foot- High Structures Related to the Reconstiuction of the Huntington Beach Energy Piolect." On Septennbei 9, 2015, AES submitted a petition to amend the H13EP Ptoject to the CEC The Amended piolect will ieplace the existing AES Huntington Beach Generating Station (HBGS) with a natural gas-hied, combined cycle and simple-cycle, au-cooled, 844- megawatt electrical geneiating facility Al S' Amended piojcct consists of dennolishnlg the existing 200-foot-high structures and teplacing the stluctuies with two power blocks, each with three heat steam recovery geneiatois with a proposed height of 95 and 40 feet, and each has one aii cool condenser with a proposed height of i 10 and 24 feet, as well as two,stacks each at heights of 150 feet and 80 feet, respectively the CEC has peimitting autholtty for the Annended 1113EI' and has requested (lie City to identify how the piojecl complies with Local Oi dinances and RegulatloilS (LOBS) On Februaiy 29, 2016 AES submitted a letter and application for design i eview to the City of Huntington Beach requesting the City make ftndings in Support Of a height vai ranee although the City has no lw isdiction over the issue I f the Cit) lead fur indiction over this piolect, a proposal to exceed the City's 111ax1111L1111 height 111111tS would be SLIbJCC.t to approval of a vaiiance by (lie Planning Conunission and would have to comply with the General Plan and zoning code policies to enhance public visual iesOulces By this resolution. the City Council is making hypotlleltcal findings for a variance as requested In addition, City Council iecoininends CEC incotponate the architectural treatments with modifications as set forth Below into then Iinal piolect approvals NOW, THEREFORE, the City Council of the City of Huntington Beach does hereby resolve as follows SECTION 1. The existing HBGS is located on properly within the PS (Public Semi- public) zoning dlstilct wllrch allows nlaloi and minor utilities I lie existilg structures are approximately 214 feet high and have been opeialing on the sublect site since the 1950s The proposed piolect. will eliminate the less ellicient existing facility and ieplace it with a modein state of the ait Combined cycle electrical generation facility The height of 16-5228/135252 1 RESOLUTION NO 2016-27 the Amended IIBFP's stacks (approximately 150 and 80 feet high) are a icsult of the engineeimg and design iequuements to meet the aii quality pcimitting icquncmenls of the South Coast Aii Quality Managenment District (AQMD) The CEC's Pieliminary Staff Assessment for HBEP concludes that no feasible design alleinatives will eliminate the need foi slacks in excess of' the Cily's height limitations Therefoie, without the stacks at proposed height the propeily cannot continue to operate as an electrical generating facility SECTION 2. Because of special cucunmstances applicable to the subject piopeily, including sve, location a surroundings, the sliicl application of the zoning of durance may depi ive the subject pi opei ly of pi ivikeges enjoyed by olhei properties in the vicinity and undei identical zone classification The site is unique in that an electmal geneiating station has been operating at the site since the 1950s and it is already serviced by a high piessuie naluial gas pipeline to facilitate electrical generation and an electrical tiansfei station to tiansfei the genem(ed powei umlo the overall electrical grid 1'he piesence of these infiasliucluie components aie unique to a power plant and demonstrate the special cucunmslances applicable to the location and the subject pioperty Additionally, the requnenment to elnminale ocean walei foi once- lhiough cooling combined with the site's lack. of access to a feasible walei supply for wet-cooling, creates a unique cricunmstance lequu-nng diy cooling to aLconlnmodale electrical energy generation Fcn-lhel mole, an quality legulalory lequitements that apply due to the site location i equn e the use of stacks that exceed the maxmmunm height limit The stint application of the zoning ordinance would dcpiivc JIBEP of the existing privileges enjoyed by the 1950s eia HBGS, which opelales undei the same zoning classification Additionally, there ale other existing approximately 70-loot- high electrical tower structures that have been approved and constiucled exceeding maximum height limitations in Low Density Residential zones, Residential AgilUdWie zones, and Public Semi-Public zones. the strict application of the zoning ordinance would deprive HBEP of the existing privileges enjoyed by the cuilent power generating station and olhei existing electrical towel stiuclures opciating undci the same and othci zoning classifications SECTION 3. Fxceeding maxnmunm height limitations may be necessary to picseive the enjoyment of one of mole substantial pioperly lights beLausC the Public Scnmi-Public zoning classification allows major and minor utilities and the height vaiian(,e would be necessai), to allow AES to demolish and ieeonstiuct a mole efficient, lower piofike electrical power geneiating station Exceeding the maximmum 50-foot height limit for the proposed approximately 150- and 80-fimol-high electrical generating plant along with appioxinmalely 120-(riot-high aiehilectuial seieenmg will not constitute a giant of'special piivilege inconsistent with limitations upon other piopeities in the vicinity and under an identical zone classification Theie lie other existing approximately 70-foot-high electrical towel structures that have been approved and constructed exceeding maximum height limitations in L,ow Density Residential zones. Residential Agiiculluie zones, and Public Senmm-Public zones The stint application of the zoning ordinance would deprive HBEP of the existing privileges enjoyed by the current power generating station and other existing electrical towel structures opeiatnmg undei the same and olhei zoning classifications 16-5228/135252 2 RESOLUTION NO 2016-27 SECTION 4 Lxcecdulg maximuni height limitations will not be materially detlunental to the public welfare of 111jUilotig to plopelty nl the same zone classification and will riot adversely affect the General Plan The ovetall site has favorable geology and soils suitable for the power plant development No new offsite development WOUld be needed fol 1-1131;P, such as upgiadesor additions to the existing electric tiansnussion system of natural gas pipeline system The Public land use designation is consistent with powei plant develol-inlent CorlstrllCtlon of Amended HBEP may result in the reduction of certain environmental impacts as compared to the existing HBGS Construction of the Amended HBEP also includes archrtectuial enhancements to soften the view of the new structuics, using a maiine inspired screen wall design treatment in varying shades of blue The aichiteetuial ullpiovenlents serve to preserve and enhance public visual Iesoulces as Iequued in the Coastal Zone overlay Although the proposed stiuctuies do not comply with nlaxinium height limitations,the portions that exceed the nlaxiillunl 50-foot height limit aic a small percentage of the overall nnprovenlents on the 28 6-acre site ^I lielefole, exceeding 111aXlnlulll height Imitations for HBEP and associated atclrltectural impiovenlents will not be materially detiunental to the public welfare or uljutious to ptupeity in the same zoning classification and is consistent with theGcneial flan SECTION 5. The Clty of Huntington Beach City Council ieconlrnends that CEC's final action incorpoiate an aichiteetuial plan based on the visual simulations and architcctulal enhancements as depicted in the Febivar_v 29, 2016 letter and attachments fillip AHS Southland, with the following nwdificationg 1 No signs of other identifying features he painted of attached to the stacks, ail cooled condensers. of heat iec,oveiy steam geneiatois, 2 The final architectural plan and color scheme shall be subject to review and approval by the Conlnlluilty Development Depai talent PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the 2nd day of May , 2016 REVIE D APPROVED APPROVEDA157FO FORM ,,F City Wna'd'ej rNITIA7 Attorney .w ND PPROVED Director o Conii a ity Deve opment 16-5228/135252 3 Res. No. 2016-27 STATE OF CALIFORNIA COUNTY OF ORANGE ) ss: CITY OF HUNTINGTON BEACH ) I, JOAN L FLYNN the duly elected, qualified City Clerk of the City of Huntington Beach, and ex-officio Clerk of the City Council of said City, do hereby certify that the whole number of members of the City Council of the City of Huntington Beach is seven, that the foregoing resolution was passed and adopted by the affirmative vote of at least a majority of all the members of said City Council at a Regular meeting thereof held on May 2, 2016 by the following vote AYES: Posey, O'Connell, Sullivan, Katapodis, Hardy, Delgleize, Peterson NOES: None ABSENT: None ABSTAIN: None City CUrk and ex-offic Clerk of the City Council of the City of Huntington Beach, California RECEIVED FEB 29 6 4AES D i t of Planning cox Building ave are the energy AES Huntington Beach LLC 21730 Newland Street Huntington Beach CA 92646 tel 562 493 7891 fax 562 493 7320 February 29, 2016 Jane James City of Huntington Beach Planning Manager 2000 Main Street, 3ro Floor Huntington Beach, CA 92648 Re: AES Huntington Beach Energy Project—Overall Architectural Treatment Design Review for the Amended Huntington Beach Energy Project including Specific Findings in Support of a Height Variance Dear Ms James This letter provides information to support the Design Review Planning Application AES Southland Development, LLC (AES-SLD) (Project Owner) provides herewith regarding the architectural treatment, site plan and elevation, and structures for architectural compatibility with existing structures for the Amended Huntington Beach Energy Project(Amended HBEP) This letter also provides information in support of a Height Variance for the Amended HBEP pursuant to sections 241 02 and 241 10 of the City of Huntington Beach Zoning Code Design Review Planning Application Item 16• A written narrative of the proposed use or project. The narrative shall contain the following minimum information (a) Description of project and services including proposed use, square footage hours and days of operation number of employees and other information as appropriate The Amended HBEP is a nominal 844=megawatt(MW) (net) electrical generating facility that will replace, and be constructed on the site of the existing AES Huntington Beach Generating Station (HBGS), an operating power plant in Huntington Beach, California The Amended HBEP will use natural-gas-fired, combined-cycle, and simple-cycle turbine technologies to provide high-efficiency, fast-start, and responsive generation to a critical location for local area electrical reliability The Amended HBEP will consist of a 644-MW(net)two-on-one combined-cycle gas turbine (CCGT) with General Electric (GE) Frame 7FA 05 gas turbines, two unfired heat recovery steam generators (HRSG), a steam turbine generator(STG), an air-cooled condenser, and related ancillary equipment, and two GE LMS-100 PB simple-cycle gas turbine (SCGT) generators, each with a nominal capacity of 100 MWs As part of the fast start, flexible design of the CCGT power block, the Amended HBEP will use a natural-gas-fired auxiliary boiler to provide startup steam Each power block will have a set of electrically powered natural gas compressors Other equipment and facilities to be constructed Item 16. - 7 HB -728- Ms Jane James February 29, 2016 Page 2 and shared by both power blocks include water treatment facilities, emergency services, and administration and maintenance buildings Amended HBEP will be constructed on 30 acres, which includes the 28 6 acres of the Licensed HBEP' within the existing HBGS plus an additional 1 4 acres the Project Owner has acquired from Southern California Edison (SCE) that is contiguous to the Licensed HBEP site and immediately adjacent to the footprint of the existing HBGS as shown on the attached Figure 1 This 1 4-acre area was previously evaluated for the Licensed HBEP AFC as a construction worker parking area, though it is now included in the Amended HBEP site boundary In addition, construction of the Amended HBEP will use an additional 20 acres beyond the 1 9 acres identified in the Final Decision at the former Plains All American Tank Farm site located adjacent to the HBEP site for construction laydown and construction worker parking The expected commercial operation date (COD) for the Amended HBEP CCGT power block is May 2020, with the SCGT power block COD in the third quarter of 2023 Construction of the Amended HBEP CCGT power block will require the demolition of the HBGS retired Unit 5 (former gas turbine generator) and two former fuel oil tanks and associated fuel oil pipelines and containment berms Construction of the Amended HBEP SCGT units will require the retirement and demolition of existing HBGS Units 3 and 4 (see below for overview of demolition of exiting Units 3 and 4) Existing HBGS Unit 1 will be retired in the fourth quarter of 2019 to provide interconnection capacity for the HBEP CCGT units, and HBGS Unit 2 will be retired either after commercial operation of the Amended HBEP SCGT or at the final compliance deadline for once-through-cooling intake structures as determined by the State Water Resources Control Board, after which demolition of HBGS Units 1 and 2 will commence Existing HBGS Units 3 and 4 are licensed through the California Energy Commission (CEC, 00- AFC-13C) Demolition of these units is authorized under that license and will proceed irrespective of the Amended HBEP Therefore, demolition of existing HBGS Units 3 and 4 is not part of the Amended HBEP project definition Removal/demolition of existing HBGS Units 3 and 4 will occur in advance of the construction of the Amended HBEP SCGT power block The Amended HBEP will reuse existing onsite potable water, natural gas, stormwater, process wastewater, and sanitary pipelines, fire protection systems, and electrical transmission facilities No offsite linear developments are proposed as part of the project Amended HBEP will continue to use potable water, provided by the City of Huntington Beach, for construction, operational process, and sanitary uses, but at substantially lower volumes than historically used by the existing generating units at the Huntington Beach Generating Station The Amended HBEP will also use less water than the Licensed HBEP As with the Licensed HBEP, for the Amended HBEP's operations, stormwater and process wastewater will be discharged to a retention basin and then ultimately to the Pacific Ocean via an existing outfall Sanitary wastewater will be conveyed to the Orange County Sanitation District via the existing City of Huntington Beach sewer connection Two 230-kilovolt (kV)transmission interconnections will connect both Amended HBEP power blocks to the existing SCE 230-kV substation located on a separate parcel within the existing HBGS site Facility operations at Amended HBEP CCGT will employ a staff of 23, including plant operators, supervisors, administrative personnel, mechanics, engineers, chemists, and electricians in three rotating shifts Eleven operators, mechanics, and controls specialists will be added to the staff With the addition of the SCGT power block, the facility will be capable of operating 24 hours per ' The California Energy Commission licensed the HBEP on October 29,2014 The Amended HBEP is an amendment to the existing CEC license and falls under the exclusive jurisdiction of the Energy Commission HB -729- Item 16. - 8 Ms Jane James February 29, 2016 Page 3 day, 7 days per week Architectural treatment will consist of a marine inspired sphere wall design treatment along the southern perimeter of Block 1 which extends toward the central portion of the HBEP site as shown on the Site Plan within Attachment 1 Construction of the screens will be assembled as three separate structures to visually screen HBEP Blocks 1 and 2 The architectural screens are comprised of 24-inch plastic colored spheres of varying shades of blue attached to high tensile wires in a wave like structure up to a height of 120 feet at the tallest point Features of the Amended HBEP site will be partially obscured from adjoining properties as seen in the views presented in the Sphere Wall Beach View and PCH View simulations (see Attachment 1) (b) Reasons for initiating application As stated above, this Design Review Planning Application is being submitted for the review of proposed architectural treatment, site plan and elevation, and proposed structures for architectural compatibility with existing structures for the Amended HBEP as well as providing information in support of a height variance for the Amended HBEP (c) Surrounding Uses to the north, south east, and west As with the Licensed HBEP, primary access to the Amended HBEP will be provided via the existing HBGS entrance off Newland Street,just north of the intersection of the Pacific Coast Highway(Highway 1) Secondary and emergency access to the site is provided via an entrance off Edison Drive on the north side of the existing HBGS site As presented in the Amended HBEP Petition to Amend, attached Figure 10 shows the facility site plan and general arrangement, and attached Figures 11, 12, and 13 show typical elevation views of the project The Amended HBEP site is bounded to the west by a manufactured home/recreational vehicle park, to the north by an out-of-service tank farm that will become the site of the proposed Poseidon desalination plant(the tank farm is the Project Owner's property which will be leased to Poseidon) and the Huntington Beach Channel (a facility operated by the Orange County Flood Control District), to the southeast by Huntington Beach Wetland Preserve/Magnolia Marsh wetlands and the Plains All American Tank Farm, and to the south and southwest by the Pacific Coast Highway, Huntington State Beach, and the Pacific Ocean (d) Description of population served by the proposed use or project The Amended HBEP site is located in Orange County in the densely populated Southern California region and serves the Western Los Angeles Basin local electrical reliability sub- region The facility will support the electrical system of southern Orange County and can provide enough energy to supply over 900,000 southern California households Item 19 In order to support findings for approval for a Variance respond to the following on a separate page The following demonstrates Amended HBEP's compliance with the requirements for a variance in accordance with the City's Zoning Code Specifically, the information and findings below relate to the height of certain components of Amended HBEP that will exceed the City's maximum height of 50 feet for a commercial structure in the City's Coastal Zone Overlay District (Zoning Code Section 214 08) While the Amended HBEP is under the exclusive jurisdiction of the California Energy Commission (CEC), the information and findings below demonstrate that absent the CEC's sole permitting/licensing authority, Amended HBEP meets the variance requirements of the City's Zoning Code Item 16. - 9 xB -730- ' Ms Jane James February 29, 2016 Page 4 BACKGROUND AND VARIANCE SUPPORTING INFORMATION On April 1, 2014, the City approved Resolution 2014-18, Supporting Proposed Architectural Improvements as Modified and Approximate 125 Foot High Structures Related to the Reconstruction of the Huntington Beach Energy Project As noted above, the Project Owner has submitted a Petition to Amend the HBEP license to the California Energy Commission The Project as contemplated in Resolution 2014-18 has changed and, therefore, the Project Owner is requesting the City revisit Resolution 2014-18 and update the variance findings The Licensed HBEP and Resolution 2014-18 contemplated three heat steam recovery generators (HSRGs) with a height of 92 feet, and one air cooled condenser for each with a height of 104 feet, and 120 foot high stacks The Amended HBEP proposes two power generation blocks Blocks 1 and 2, with two stacks each at heights of approximately 150 ft tall (Block 1) and 80 ft tall (Block 2) In addition to the four stacks, the Amended HBEP Blocks 1 and 2 each have two HRSGs which have a maximum height of 94 ft(Block 1) and 40 ft(Block 2), and Amended HBEP Blocks 1 and 2 each have 1 air cool condensers (ACC)that are 110 ft tall (Block 1) and 24 ft (Block 2) To support the finding that the Amended HBEP will meet the variance requirements of the City's Zoning Code, the Project Owner reiterates the following information that is also set forth in the Final Petition to Amend submitted to the CEC in September 2015 - The existing Huntington Beach Generating Station (HBGS) site on which the Amended HBEP will be located is designated as Public(P) in the City of Huntington Beach General Plan, which, among other uses allows public utilities The HBGS site and the portion of the site that will be used by the Amended HBEP is zoned Public/Semi-public (PS) with an Oil Overlay (0), which allows for minor utilities, This zoning district also allows large public or semipublic uses including major utilities, for which approval of a Conditional Use Permit from the City would be required except for the CEC licensing process Notwithstanding the CEC's jurisdiction over the licensing of HBEP, electrical generation facilities are a permitted/allowable use within the City of Huntington Beach's PS zoning district - The existing HBGS consists of two existing power blocks Units 1 and 2 comprise one power block, and Units 3 and 4 comprise the second power block The two existing HBGS power blocks are each supported by one 200-foot tall stack, so the existing HBGS has two 200 foot(ft) tall stacks The existing HBGS pre-dates the City of Huntington Beach Zoning Ordinance that was adopted after construction of HBGS Units 1 through 4 and their supporting facilities Therefore, the existing HBGS is a recognized pre-existing use and complies with the City's General Plan and Zoning Code due to the nature of the existing and allowable land uses at the HBGS for electrical generation since the 1950s - The Amended HBEP will be developed on a portion of the previously disturbed HBGS site that, as noted above, is zoned PS which includes electrical generation facilities as an allowable land use As a modern, state of the art combined-cycle electrical generation system, Amended HBEP will replace the less efficient existing generating equipment at HBGS The California Independent System Operators (CAISO) and the CEC specifically recognize the importance of continued electrical generation at the HBGS site with the replacement of the existing 1950s generation units with modern combined cycle electrical generation units In addition, Amended HBEP will use air-cooled condensers that will allow the Amended HBEP to use less than 20 percent of fresh water used by the HB -731- Item 16. - 10 Ms Jane James February 29, 2016 Page 5 existing HBGS generating units, and will eliminate the use of ocean water for once- through cooling that is required for the existing electrical generating units at HBGS State law requires HBGS to significantly change ocean water intake structures to minimize marine impacts or to discontinue once-through cooling The four stacks for the Amended HBEP (the Amended HBEP consists of two power generation blocks Blocks 1 and 2, each of which have two stacks for a total of four stacks) are approximately 150 ft tall (Block 1) and 80 ft tall (Block 2) as compared to the two existing HBGS stacks which are 200 ft tall I n addition to the four stacks, the Amended HBEP Blocks 1 and 2 each have two heat steam recovery generators (HRSGs) which have a maximum height of 94 ft (Block 1) and 40 ft(Block 2), and Amended HBEP Blocks 1 and 2 each have one air cool condensers(ACC) that are 110 ft tall (Block 1) and 24 ft (Block 2) Amended HBEP Stack Height The height of the two stacks of Amended HBEP Block 1 (150 ft tali) and two stacks of the Amended HBEP Block 2 (80 ft tall) are a direct result of the Project's engineering and design requirements to meet the air quality permitting requirements of the South Coastal Air Quality Management District (AQMD) The height of the stacks are a direct requirement for Amended HBEP to meet the AQMD's permitting requirements for sufficient dispersion of operational air emissions from Amended HBEP As noted above, the 150 ft and 80 ft tall Amended HBEP stacks are significantly shorter than the existing 200 ft tall stacks at HBGS The CEC's Preliminary Staff Assessment, Part B ("PSA Part B") discusses alternatives to HBEP and concludes there is no alternative that would eliminate the need for stacks that exceed the height limit Thus, the site cannot take advantage of electrical generating use within the prescribed height limits Height of Amended HBEP's HRSGs The Amended HBEP Blocks 1 and 2 each have two heat steam recovery generators (HRSGs)which have a maximum height of 94 ft(Block 1) and 40 ft (Block 2)which is based on the manufacturers design specifications to meet the Amended HBEP's operational parameters of the 844-megawatt (MW) of modern, high efficiency combined cycle generating units that will replace the existing 1950s-era HBGS generation equipment Height of Amended HBEP's ACCs The height of the air cool condensers (ACC) associated with the Amended HBEP Block 1 (110 ft) and Block 2 (24 ft) are based on the manufacturer's design specifications to meeting the Amended HBEP's operational parameters of the 844-megawatt (MW) of modern, high efficiency combined cycle capacity that will replace the existing 1950s-era HBGS generation equipment As discussed above, the use of air-cooled condensers will allow Amended HBEP to use less than 20 percent of fresh water used by the existing HBGS generating units, and will eliminate the use of ocean water for once-through cooling that is required for the existing electrical generating units at HBGS Moreover, any air-cooled alternative to the proposed project will include ACCs that exceed the prescribed height limit A wet cooling alternative is not feasible because once-through cooling with ocean water is prohibited and there is not a reasonably available or suitable water source located at the site for wet cooling Thus, the site cannot enjoy the electrical generating use within the prescribed height limit Item 16. - 11 xB -732- Ms Jane James February 29, 2016 t Page 6 - The Amended'HBEP is located within a portion of the existing HBGS that is served by infrastructure and services adequate to support additional development The existing HBGS has various ancillary facilities that will support the Amended HBEP, such as the • , Southern California Gas Company (SoCalGas) natural gas pipeline serving the site, the existing onsite Southern California Edison (SCE) 230-kV switchyard, and the existing connections to the City of Huntington Beach potable water system and sanitary sewer system These unique site characteristics further support locating the Amended HBEP at the proposed site The existing HBGS is defined as a coastal-dependent energy facility within the City of Huntington Beach Local Coastal Plan (LCP) Based on the priority of the City of - Huntington Beach's LCP to redevelop existing industrial parcels in the coastal zone rather than establishing new industrial parcels in the coastal zone, the repowering of the existing HBGS through the implementation of the Amended HBEP is consistent with the City's LCP as it will reuse and connect to existing industrial infrastructure, including the existing SCE switchyard, existing Southern California Gas Company high pressure natural gas pipeline, existing City of Huntington Beach potable water and sanitary sewer pipelines, and the existing Huntington Beach Generating Station's ocean outfall for discharge of stormwater and process water - The overall HBGS site and, more specifically the Amended HBEP site, has favorable geology and sods suitable for power plant development and has no significant engineering constraints No new offsite development would be needed for the Amended HBEP, such as upgrades or additions to the existing electric transmission system or natural gas pipeline system The land use designation of the site is consistent with power plant development Development of Amended HBEP and the retirement of the existing HBGS generating units will not result in any new significant impacts to public health or the environment Rather, as documented in the Final Petition to Amend, the Amended HBEP will result in the reduction of certain environmental impacts as compared to the existing HBGS As documented in Section 6 0 Alternatives of the Petition to Amend submitted to the CEC for Amended HBEP, the region in which the existing HBGS is located and in which the Amended HBEP will be located does not include suitable alternative sites Rather the region consists of densely developed residential neighborhoods, commercial facilities, and public facilities, with little suitable open land As noted above, the Amended HBEP site has a strong relationship to the existing HBGS electrical generation/industrial site and the existing regional SCE electrical transmission and distribution system As detailed in Section 6 0-Alternatives of the Petition to Amend, the Amended HBEP will provide critical electric reliability service in a densely populated load pocket of Southern California If a suitable brownfield alternative site were identified, it is unlikely that such a site would provide the necessary infrastructure already available at the Amended HBEP site Therefore, an alternative site will likely not reduce or avoid any impacts associated with the Amended HBEP site, which, as the analysis in the Petition to Amend shows, are already below significant levels Further, development on alternative sites could result in greater impacts than present with the redevelopment of a portion of the existing HBGS for the Amended HBEP HB -733- Item 16. - 12 Ms Jane James February 29, 2016 Page 7 By replacing the existing HBGS, the Amended HBEP will ensure reliable generation is maintained at a location critical to Southern California, and will provide fast response, modern, clean, and efficient electrical power that fully supports and assists the region and California in achieving much greater reliance on intermittent renewable electricity generation sources, such as wind and solar REQUIRED FINDINGS IN SUPPORT OF A VARIANCE FOR AMENDED HBEP (CITY ZONING CODE SECTION 241.10) Based on the discussion and supporting information set forth above, the Project Owner provides the following findings in support of a variance for the Amended HBEP ® (a) What exceptional circumstances apply to the subject property (including size, shape topography location or surroundings) that deprive it of privileges normally enjoyed` Finding The existing HBGS site on which the Amended HBEP will be located is designated as Public (P) in the City of Huntington Beach General Plan, which among other uses allows public utilities The HBGS site and the portion of the site that will be used by the Amended HBEP is zoned Public/Semi-public(PS)with an Oil Overlay (0), which allows for minor utilities This zoning district also provides areas for large public or semipublic uses including major utilities, for which approval of a Conditional Use Permit from the City would be required except for the CEC licensing process Specifically, electrical generation facilities, such as the existing HBGS and the proposed Amended HBEP, are a permitted use within the PS zoning district The site is unique in that it is already serviced by a natural gas pipeline to facilitate electrical generation The requirement to eliminate once-through cooling combined with the site's lack of access to a feasible water supply for wet cooling creates a unique circumstance requiring dry cooling to accommodate electrical energy generation In addition, air quality regulatory requirements that apply due to the site location require the use of stacks that exceed the height limit Therefore, the strict application of the zoning ordinance would deprive the Amended HBEP of the existing privileges enjoyed by the existing HBGS, which operates under the identical PS zoning district classification In addition, the granting of a variance for the Amended HBEP on the existing HBGS site is consistent with the PS zoning district for the site O (b) Explain why the request will not constitute a grant of special privilege Finding The existing HBGS site on which the Amended HBEP will be located is designated as Public(P) in the City of Huntington Beach General Plan, which, among other uses, allows public utilities The HBGS site and the portion of the site that will be used by the Amended HBEP is zoned Public/Semi-public(PS) with an Oil Overlay (0), which allows for minor utilities This zoning district also provides areas for large public or semipublic uses including major utilities, for which approval of a Conditional Use Permit from the City would be required except for the CEC licensing process Specifically, electrical generation facilities, such as the existing HBGS, are a permitted use within the PS zoning district Therefore, the granting of a variance for the Amended HBEP on the existing HBGS is consistent with the PS zoning district for the site, and does not grant the Amended HBEP a special privilege inconsistent with limitations upon other properties in the vicinity and under an identical zone classification Item 16. - 13 HB -734- t Ms Jane James February 29, 2016 Page 8 • (c) Why is this request necessary for the preservation and enjoyment of one or more substantial property rights when compared with other properties in the same zoning designation's Finding The existing HBGS site on which the Amended HBEP will be located is designated as Public(P) in the City of Huntington Beach General Plan, which among other uses allows public utilities The HBGS site and the portion of the site that will be used by the Amended HBEP is zoned Public/Semi-public (PS) with an Oil Overlay (0), which allows for minor utilities This zoning district also provides areas for large public or semipublic uses including major utilities, for which approval of a Conditional Use Permit from the City would be required except for the CEC licensing process Specifically, electrical generation facilities, such as the existing HBGS and the proposed Amended HBEP, are permitted uses within the PS zoning district The granting of a variance is necessary to preserve the Project Owner's ability to use the site for electrical generation as permitted by the City's General Plan Thus, granting of a variance is necessary to preserve the Project Owner's enjoyment of one or more substantial property rights • (d) State reasons why the granting of the request will not be materially detrimental to the public welfare Findinq The overall HBGS site and specifically the Amended HBEP site has favorable geology and soils suitable for power plant development and has no significant engineering constraints No new offsite development would be needed for Amended HBEP, such as upgrades or additions to the existing electric transmission system or natural gas pipeline system The land use designation of the existing HBGS is consistent with power plant development The General Plan also recognizes the existing use of the HBGS site and includes references to potential proposals to expand or alter the facility Moreover, development of the Amended HBEP and the retirement of the existing HBGS generating units will not result in any new significant impacts to public health or the environment Rather, the Amended HBEP will result in the reduction of certain environmental impacts as compared to the existing HBGS Therefore, the granting of a variance for the Amended HBEP will not be materially detrimental to the public welfare or injurious to property in the same zone classification and is consistent with the General Plan If you have any additional questions, please contact either me or Robert Mason of CH2M HILL (714 435-6113) Sincerely, Xe Stephen O'Kane HB -735- Item 16. - 14 ' Ms Jane James February 29, 2016 Page 9 Vice-President AES Southland Development, LLC Attachment 1 Architectural Enhancements (to address Items 0 & 11) Aerial Site Plan Sphere Wail Detail Sphere Wall Beach View Simulation Sphere Wall PCH View Simulation Site Plan Sphere Wall Beach View Simulation Sphere Wall PCH View Simulation Attachment 2 Figures (to address Items 14 & 16) Figure 1 Amended HBEP Project Location Figure Figure 2 Project Site and Locations of KOPs Figures 3- 9 Existing Views from KOPs 1-7 Figure 10 General arrangement/Site Plan Figures 11-13 Typical Elevation Views cc Robert Mason/CH2M Jerry Salamy/CH2M Melissa Foster/Stoel Rives LLP Item 16. - 15 HB -7;6- 3 Attachment 1 Architectural Enhancements xB -73 7- Item 16. - 16 N Z W Z � a = o oj > > pW in 0 cz ui w cz Q o a z o w (� a f 4� t�?:a ,5. may. �' � ""%•. � I dr.: f _ Qe � ..., I xB -739- Item 16. - 18 a a, o,, \` ,.' ��- `� •'� w.— oars �, z:,ve 4 i I Item 16. - 19 HB -740- mown= sac I" • ` Wall Ak psi M , i 24" PLASTIC SPHEREy 1 CABLE NET STRUCTURE N O �b 7y3 S g d R � 6 \ ¢ `w k fit" vu x \ 3 � g A># ryax � R� � � 'zq W 4 xz /._ x �v Z� x s, p S s�a at a � a Item 16. - 21 xs -�42- ... z�y a y � S \ a � s �k5 $ E r � any in I All g � 91 Ago", o �r was X � Y Item 16. - 22 - ', � rei `^P _I Item 16. - 23 xB -744- .� PN nk, 7527 E 4 Q� tiff ' • &1 Rik a. kkk p sy�ka yb t k p, e a �.'„o �� veaexk svvesve�_ r Item 16. - 24 r ms Sl s E z i uj sE F I 1 t i Item 16. - 25 ' y Attachment 2 Figures HB -747- Item 16. - 26 ■ ■ o�a I� I 1.4 acres acquired from 1 Southern California Edison i c, � IX Legend ®AES Huntington Beach Generating Station Q AES Amended Huntington Beach Energy Project Figure 1 HBEP Project Location N AES Amended Huntington Beach Energy Project 0 0.25 Huntington Beach, California Miles Item 16. - 27 zm. 91232DiscPhaseRep',AFC_Archive%HBGSiGIS\AES',MapFiles'Jiuntingtoq xB -748-Huntington Expanded_Area mxd - "�,. Offsite HBEP Equip nt Tempora!y Storage Area ,h• ryrun ter 5ral Brash IX �� s•,<F, � r�,!Ir�,u, � �v�yy Yallcy Beach � � i Am nded HBEP* tl Br•achT Hu tingt•n 9eaIS Pier i KO Legend rKey Observation Point(KOP) AFS Huntington Beach Generating Station xQ AES Amended Huntington Beach Energy Project W Oflsite Construction Parking r t KOP 5 '• ®Offsite Construction Perking and I aydown Area y Onsde Construction Parking t 0.5-Mile Radius From Project Site KOP 9 �1-Mile Radius From Project SO KOP� Hu tln9tOn B aCtl Imagery and Basemap Source ESRI W tlan• Prese "'` KOP,6,, N 0 04 e F l I r..p Miles I—A • Figure 2 Project Site and Locations of KOPs N AES Amended Huntington Beach Energy Project 00 Huntington Beach.California 2M. - MI 11YOSETE OMESCORRa 1232DISCPNASEREMM ARCHUPMBGSIGlbU,T UPFItES'Ht!NTtNGTON BEACMVISUALIZAT!OMPTAV!VNTINGTON KOP.MXD KGRNITt K'79:L015 T-0t 58 W.1 ///fffff *-4 � I 1 N KOP 1-Existing view toward the project site from Huntington State Beach. Figure 3 KOP1—View Toward HBEP from Huntington State Beach AES Huntington Beach Energy Project Huntington Beach, California As presented in Figure 5.13-5 of the HBEP AFC dam.- SC0653771.01.02.01 huntington_kopLa!2116 ! W 1 J Vl KOP 2- Existing view toward the project site from Huntington Beach Pier. Figure 4 KOP 2—View toward HBEP from Huntington Beach Pier � AES Huntington Beach Energy Project Huntington Beach, California As presented in Figure 5.13-6 of the HBEP AFC ; . 17651771.01.02.01 huntington ko02.ai 2116 r--r CD }e � 1 s _ M v Vi N KOP 3-Existing view toward the project site from Edison Park. Figure 5 KOP 3—View toward HBEP from Edison Park AES Huntington Beach Energy Project Huntington Beach, California As presented in Figure 5.13-7 of the HBEP AFC C fizM SC06S3771.01.02.01 huntlngton_kop3.ai 2/16 ,. v F1. r a KOP 4-Existing view toward the project site from Magnolia Street. Figure 6 KOP 4—View toward HBEP F,a from Magnolia Street �p AES Huntington Beach Energy Project Huntington Beach, California As presented in Figure 5.13-8 of the HBEP AFC CA2,M: SCO653771.01.02.01 huntingtnq_knp4.ai 2/16 1 W N r-r- W W Y y 3 �7 i v i i KOP 5-Existing view toward the project site from Huntington-By-The-Sea RV Park. Figure 7 KOP 5—View toward HBEP from Huntington-By-The-Sea RV Park AES Huntington Beach Energy Project Huntington Beach, California As presented in Figure 5.13-9 of the HBEP AFC C112 n.- SCO653771.01.02.01 huntlngton_kop5.ai 2116 f r F g,. t KOP 6- Existing view toward the project site from Pacific Coast Highway. Figure 8 KOP 6—Existing view toward HBEP from Pacific Coast Highway �p AES Huntington Beach Energy Project Huntington Beach, California cuzm: • SC0653771.01,02.01 hnntington_kop64 2116 1 �.IJ � t i 1 1 . .. KOP 7-Existing view toward the project site from Huntington Shorecliffs Mobile Home Park. Figure 9 KOP 7—Existing view toward HBEP from Huntington Shorecliffs Mobile Home Park AES Huntington Beach Energy Project Huntington Beach, California CH2NN►* SC0653771.01.02.01 hunGngton_ko07.af 2/16 1, A/1"/ r , _ - Figure 10 General an AES Amended Huntington i tingtonBeach Energy Project HuntmgtorPeach California CD 01 W J x m o as cc � T4'A 51+�h 7FA STACK ; -_)15— 7F�i � "`"l u+sloz srxrx A I r ,C R air`` I�- .kG4�3_.AL @_4p1YQ 1 /{ I t�-P <<"F,'�N Warzx SmRACf-xr�t 2-W irA 3`N-fAN^ORS/ i 1 /� /3/-0 4LSM fl4-FAN CW.R 23 A lkS1M U�Ck ANM.A.BURYN.F Vt // fjCl_AGMN ptm.px,o� 7.s'-0 PAS m mRoiw.:� 0 i B lc;—YPLAN • Mt. ME F—rICFtN IS OATS"4R(N4 WE CGUNTR<t6riCMSi PIRCP'iM Figure 11 Looking Plant East Elevation AES Amended Huntington Beach Eneryy PIOJLLI Huntington Beach,Calif �—/(�J--`orn a ������r ec+„I mnt nn_arsa n_ne4-Lys_aLa 9�.5 " P v � ^ a , 0Vn 1m nm 1 A „� Lam] s v' rr Figure 12 Looking Plant South Elevation AESArnended Hurtington Beach Energy Project ' Huntington Beach,Calrfomia /���99����-i®n�fI f S K r-� rt (D PIN N M G }9 5f` Psi RA STAG( RA tTAg4 �3-R STEAN T,.RflR.E H RD.-o'xe asx WIDOW J, VN ag� ° '. .. ��� '9' % ` ' W l;i-T uc1W u rvtutl u MnRi^ + z 'r NC CMG , Rt � Y-b aNIN WA'[:5 STpiA6t ThWC j +t+a tt pp g}g} K;7,YPI AN E?El o C1 mNc awons a-r,[T max, vw+'t+ss+m er as^23e w 'HE CONwiEft CtM?�MiC omccnarT Figure 13 Looking Plant West Elevation AESAmenaed Huntrngton Beach Ene+gy Project Huntington Beach California ` 5/3/2016 HuntingtonBeach AES Architectural Screening and Height Resolution .---------------- --- ---- City Council May 2, 2016 Site Plan with Screening — Phase I e krwi�u 1 5/3/2016 =E Site Plan with Screening — Phase II • • 4 Screen Wall Architectural Screen Wall •24 in.plastic spheres •Cable net structure 2 5/3/2016 Proposed Architectural Screen tom; s- ': } Proposed Architectural Screen on PI- F-I woo C. 3 5/3/2016 Proposed Architectural Screen 1 � Project Attributes Proposed Amendment Stack Height 2 at 214 ft each 6 at 120 ft each 2 at 150 ft 2at8oft Boiler and HRSG Units 1&2 HRSG—92 ft HRSG—95 ft Platform Boiler - 152 ft Units 3&4 Boiler -138 ft Air Cooled Condensers 2 Air Cooled Condensers 1 Air Cooled Condenser—iio ft —104 ft Sound Wall 25 ft high x 450 ft long 50 ft high x 750 ft long Architectural Surfboards—125 ft Sphere Wall—120 ft Enhancement 4 5/3/2016 Council Resolution • DRB reviewed and recommended approval 3-10-16 • Building Height • Maximum 50 ft height in Public Semi-Public zone • Approximately 150 ft for two stacks; 8o ft for two stacks; 110 ft. for air cooled condenser • Approximately 12o ft for sphere wall • Architectural Improvements: Recommendations • Incorporate uplighting • No signs or other identifying features on stacks,ACCs, HRSGs, or architectural screening • Transmit Council Action to CEC 5