REPORT TO THE CITY COUNCIL June 8, 2017 FROM: JENNIFER K. CLARK, Director Development and Resource Management Department THROUGH: MIKE SANCHEZ, Assistant Director Development Services Division BONIQUE EMERSON, AICP, Planning Manager Development Services Division BY: WILL TACKETT, Supervising Planner Development Services Division SUBJECT ..Title ***BILL NO. B-28 - (Intro. 5/25/2017) (For adoption) - Approving the Development Agreement by and between the City of Fresno and High and Mighty Farms, Inc., Courthouse California, LLC., and Nancy M. Dunlap, Trustee of the Ruth Martori Non-QTIP Marital Trust dated July 26, 1994 for the future development of the approximately 78 acre subject property. ..Body RECOMMENDATIONS Staff recommends that the City Council take the following actions: a. ADOPT BILL approving the Development Agreement by and between the City of Fresno and High and Mighty Farms, Inc., Courthouse California, LLC., and Nancy M. Dunlap, Trustee of the Ruth Martori Non-QTIP Marital Trust dated July 26, 1994 for the future development of the approximately 78 acre subject property. EXECUTIVE SUMMARY On May 25, 2017, the Fresno City Council held a public hearing to consider and took action to adopt resolutions and ordinances approving Plan Amendment Application No. A-16-014; Rezone Application No. R-16-013; Vesting Tentative Tract map No. 6165/UGM; and, the associated Environmental Assessment No. A-16-014/R-16-013/T-6165. The subject proposed Development Agreement by and between the City of Fresno and High and Mighty Farms, Inc., Courthouse California, LLC., and Nancy M. Dunlap, Trustee of the Ruth Martori Non-QTIP Marital Trust was also introduced at the May 25th hearing for subsequent adoption. These applications were filed by Brian Yengoyan of Citadel Development Group, Inc., on behalf of High and Mighty Farms, Inc., pertaining to �78 acres of property located on the north side of East Church Avenue between South Sunnyside and South Fowler Avenues. Plan Amendment Application No. A-16-014 proposed to amend the Fresno General Plan and Roosevelt Community Plan to change the planned land use designations for the subject property from Medium-Low Density Residential (�22 acres), Medium Density Residential (�35 acres), Urban Neighborhood Residential (�15 acres), and Open Space/Neighborhood Park with a dual designation of Urban Neighborhood Residential (�6 acres) to Medium Density Residential (�63 acres), Residential Multi-Family Urban Neighborhood (�5 acres), Community Commercial (�7 acres), and Open Space/Neighborhood Park with a dual designation of Medium Density Residential (�3 acres). Rezone Application No. R-16-013 proposed to amend the Official Zone Map to reclassify the �78 acres from RS-4 (Residential Single Family, Medium-Low Density) (�22 acres), RS-5 (Residential Single Family, Medium Density) (�35 acres), and RM-2 (Residential Multi Family Urban Neighborhood) (�21 acres) to RS-5 (Residential Single Family, Medium Density) (�63 acres), RM-2 (Residential Multi Family Urban Neighborhood) (�5 acres), CC (Commercial-Community) (�7 acres), and PR (Parks and Recreation) (�3 acres) in accordance with Plan Amendment Application No. A-16-014. Vesting Tentative Tract Map No. 6165/UGM was also filed requesting authorization to subdivide the northerly approximately 39.58 acre portion of the subject property for purposes of creating a 208-lot conventional single family residential development at a density of approximately 5.26 dwelling units per acre; with one Outlot proposed to be dedicated for purposes of a public neighborhood park. These applications were filed in order to facilitate the future development of a Complete Neighborhood in accordance with the Goals, Objectives and Policies of the Fresno General Plan. Under the provisions of Section 65865 et seq. of the Government Code, the City of Fresno is authorized to enter into a Development Agreement with any person having a legal or equitable interest in real property for the development of the property. The purpose of the Development Agreement is to strengthen the public planning process, encourage private participation in comprehensive planning, and secure investment in, and commitment to, public facilities and infrastructure in the vicinity of the project in order to assure the maximum efficient utilization of resources at the least economic cost to the public. The purpose of the subject proposed development agreement by and between the City of Fresno and High and Mighty Farms, Inc., Courthouse California, LLC., and Nancy M. Dunlap, Trustee of the Ruth Martori Non-QTIP Marital Trust dated July 26, 1994 (collectively, the Developer) is to Negotiate and stipulate terms respective to: (1) Vested Rights; (2) The timing within which key elements of the project need to be constructed; (3) The sale, transfer or assignment of all or a portion of the project and rights, duties or obligations of the agreement; (4) Allocation of fee credits and reimbursements (i.e. developer financing); (5) The subjectivity of the project to exactions such as adopted impact mitigation fee assessments; (6) Permitted Uses on the subject property as well as acknowledgement of potential or permitted alternatives to the approved project, including conditions, terms, restrictions and requirements for subsequent discretionary actions; and, (7) The duration of the agreement. ENVIRONMENTAL FINDINGS An environmental assessment initial study was prepared for this project in accordance with the requirements of the California Environmental Quality Act (CEQA) Guidelines. This process included the distribution of requests for comment from other responsible or affected agencies and interested organizations. The City Council on May 25, 2017, adopted the Mitigated Negative Declaration prepared for the project and dated October 21, 2016, including the addendum dated May 10, 2017. In accordance with Section 15162 of the CEQA Guidelines, no substantial changes are proposed in the project which will require major revisions; no substantial changes have occurred with respect to the circumstances under which the project is undertaken which will require major revisions of the previous negative declaration due to the involvement of new significant environmental effects or a substantial increase in the severity of previously identified significant effects; and there is no new information of substantial importance, which was not known and could not have been known with the exercise of reasonable diligence at the time the previous Negative Declaration was adopted. Based upon these findings, it has been determined that no further environmental documentation is required for this project. FRESNO MUNICIPAL CODE FINDINGS Based upon analysis of the applications, staff concludes that the required findings contained within Section 15-6006 et seq. of the Fresno Municipal Code can be made. These findings are attached as Exhibit C. CONCLUSION The appropriateness of the proposed project has been examined with respect to its consistency with goals and policies of the Fresno General Plan and the Roosevelt Community Plan; its compatibility with surrounding existing or proposed uses; and its avoidance or mitigation of potentially significant adverse environmental impacts. These factors have been evaluated as described above and by the accompanying environmental assessment. Upon consideration of this evaluation, it can be concluded that Vesting Tentative Tract Map No. 6165/UGM is appropriate for the project site. Attachments: Exhibit A - Vicinity Map Exhibit B - 2015 Aerial Photograph Exhibit C - Fresno Municipal Code Findings Exhibit D - City Council Ordinance Bill for Development Agreement by and between the City of Fresno and High and Mighty Farms, Inc., Courthouse California, LLC., and Nancy M. Dunlap, Trustee of the Ruth Martori Non-QTIP Marital Trust Exhibit E- Development Agreement by and between the City of Fresno and High and Mighty Farms, Inc., Courthouse California, LLC., and Nancy M. Dunlap, Trustee of the Ruth Martori Non-QTIP Marital Trust