Diamond Bar City Council
March 3, 2026

Diamond Bar Town Center Specific Plan Findings of Fact and Statement of Overriding Considerations February 25, 2026 Page IX-2
the responsibility of the City. The City has identified the California Department of Transportation (Caltrans) District 7, Regional Water Quality Control Board – Los Angeles Region, South Coast Air Quality Management District, and Southern California Association of Governments as other decision-making bodies that may rely on the Final SIR in the consideration and issuance of subsequent projects undertaken pursuant to the Final SIR (“Intended Uses of This SIR” in Section 2.2, Purpose and Objective of the Refined Project, of the Final SIR). The City provided the Draft SIR to Caltrans District 7, Regional Water Quality Control Board – Los Angeles Region, South Coast Air Quality Management District, and Southern California Association of Governments for review and comment. (3) Specific economic, legal, social, technological, or other considerations, including provision of employment opportunities for highly trained workers, make infeasible the mitigation measures or project alternatives identified in the Final SIR. a. The City has carried forward the seven applicable mitigation measures from the certified Diamond Bar Comprehensive General Plan Update and Climate Action Plan Draft Environmental Impact Report2 and added one additional mitigation measure for transportation (FOF/SOC Section IV, Significant Unavoidable Adverse Impacts That Cannot Be Mitigated to Below the Level of Significance).

IX.2 State CEQA Guidelines Section 15092 Findings
The Community Development Director has determined that based on the whole of the record, the City Planning Commission and City Council have concurred that the City has:
(a) Eliminated or substantially lessened all significant effects on the environment where feasible as shown in the Section 15091 Findings, and
(b) Determined any remaining significant effects on the environment found to be unavoidable under Section 15091 are acceptable due to findings under Section 15093 (FOC/SOC, Section X, Section 15093 Findings: Statement of Overriding Considerations). 2 City of Diamond Bar. 2019. Diamond Bar Comprehensive General Plan Update and Climate Action Plan Draft Environmental Impact Report. https://ceqanet.opr.ca.gov/2018051066/2

Diamond Bar Town Center Specific Plan Findings of Fact and Statement of Overriding Considerations February 25, 2026 Page X-1

X STATEMENT OF OVERRIDING CONSIDERATIONS
CEQA and its implementing regulations permit a public agency to approve a project notwithstanding the existence of significant and unavoidable environmental effects, provided that the agency makes a written statement identifying the specific benefits of the project that the agency has determined outweigh those unavoidable effects, and that this determination is supported by substantial evidence in the record. Specifically, CEQA Guidelines Section 15093 provides as follows:
(a) CEQA requires the decision-making agency to balance, as applicable, the economic, legal, social, technological, or other benefits, including region-wide or statewide environmental benefits, of a proposed project against its unavoidable environmental risks when determining whether to approve the project. If the specific economic, legal, social, technological, or other benefits, including regionwide or statewide environmental benefits, of a proposal project outweigh the unavoidable adverse environmental effects, the adverse environmental effects may be considered “acceptable.”
(b) When the lead agency approves a project which will result in the occurrence of significant effects which are identified in the final EIR but are not avoided or substantially lessened, the agency shall state in writing the specific reasons to support its action based on the final EIR and/or other information in the record. The statement of overriding considerations shall be supported by substantial evidence in the record.
(c) If an agency makes a statement of overriding considerations, the statement should be included in the record of the project approval and should be mentioned in the notice of determination. This statement does not substitute for, and shall be in addition to, findings required pursuant to Section 15091.

The SIR concluded that the implementation of Alternative 3 (the “Project”) would result in significant and unavoidable air quality and transportation impacts. Specifically, after imposition of mitigation measures MM-AQ-1, MM-AQ-2, MM-AQ-3, MM-AQ-4, MM-AQ-5, MM-AQ-6, and MMAQ-7, the SIR concluded that operation of Alternative 3 would result in significant and unavoidable impacts based on a cumulatively considerable net increase of ROGs and PM2.5, and with respect to exposure of sensitive receptors to substantial pollutant concentrations of ROGs and PM2.5.

Further, after imposition of mitigation measure MM-TRANS-1, the SIR concluded that the Project would result in a significant and unavoidable impact based on project-generated VMT per-service population.

The Project, however, provides the following benefits:

A. The Specific Plan Would Further Implement the City’s Housing Element Commitments to Meet Regional Housing Needs
The City is required to accommodate its share of regional housing needs as determined by the Regional Housing Needs Assessment (“RHNA”). On March 4, 2021, the Southern California Association of Governments (“SCAG”) adopted the 6th Cycle RHNA, 2021-2029, which assigned 2,521 dwelling units to the City. That allocation is further broken down across income categories as follows: 844 extremely low and very low, 434 low, 437 moderate, and 806 above-moderate

Diamond Bar Town Center Specific Plan Findings of Fact and Statement of Overriding Considerations February 25, 2026 Page X-2
units. In order to plan for this number of units, the City’s Housing Element commits the City to rezone three mixed use focus areas at a density of up to 30 units per acre, including the Town Center. The City adopted a Housing Element Site Overlay to achieve this minimum density within the Town Center.

The Specific Plan would further implement the Housing Element’s commitments and help the City to achieve its RHNA allocation by providing development incentives that may exceed those otherwise available under the City’s Development Code (Section 22.18.010) or the State Density Bonus Law (Government Code Sections 65915–65918) for the production of housing units within the Town Center. The Specific Plan includes an Inclusionary Incentive Program that would increase the base density for each “Inclusionary Point” earned by a developer. These points would be earned by providing, among other things, affordable housing units. (Specific Plan, § 5.3, Table 5-2, Table 5-3.) The goal of this program is to encourage the production of affordable housing in the Town Center to help the City accommodate its affordable housing RHNA allocation, and, ultimately, to expand rental and homeownership opportunities for young households, residents who wish to downsize and remain in Diamond Bar, and members of the workforce for whom housing costs in Diamond Bar are out of reach.

B. The Specific Plan Is Projected to Generate a Positive Fiscal Impact to the City’s General Fund
In 2022, RCLCO prepared a fiscal impact analysis to evaluate potential development scenarios for the Town Center. (RCLCO Fiscal Impact Analysis Diamond Bar Town Center, November 18, 2022.) The fiscal impact analysis projected that a development program of approximately 2,055 residential units and approximately 446,000 square feet of commercial space would generate a stabilized positive annual net fiscal impact of approximately $1.96 million to the City’s General Fund. (p. 5.) The existing use of the site, at the time that the fiscal impact analysis was prepared, was approximately $1.05 million in annual net fiscal impact. (p. 5.) The existing Town Center area, which comprises primarily aging automobile-oriented retail (approximately 456,000 square feet) and a 97-room motel, currently generates limited property tax revenue (approximately $142,100 annually) and sales tax revenue (approximately $672,800 annually) to the City. (p. 6.) The Specific Plan would transform this underutilized commercial area into a vibrant mixed-use development. The Specific Plan, which would allow for up to 2,055 residential units and approximately 446,000 square feet of commercial space, closely matches the residential and commercial components analyzed in the fiscal study. (pp. 4, 6.) And, as a result, according to the fiscal impact analysis, the Specific Plan could generate approximately $900,000 more annually as compared to the existing use. (p. 5.) The increased fiscal benefits would result primarily from new property tax revenues (projected at approximately $1.24 million annually) and sales tax revenues (projected at approximately $1.11 million annually), as well as transient occupancy tax (projected at approximately $520,500 annually for 97 hotel rooms. (p. 6.) The Specific Plan, however, allows for up to 200 hotel rooms compared to the 97 hotel rooms analyzed in the fiscal study, which would generate additional transient occupancy tax revenues beyond those projected in the analysis. (pp. 4, 16.) While the Specific Plan would result in increased demand for City services due to the additional residential population and commercial activity, the incremental General Fund expenditures required to serve the new development are projected to be substantially lower than the revenues generated, resulting in a strong positive net fiscal impact. (pp. 6-7.)

Diamond Bar Town Center Specific Plan Findings of Fact and Statement of Overriding Considerations February 25, 2026 Page X-3
These recurring revenues would provide a stable, long-term funding source to support essential municipal services including public safety, parks and recreation, public works, and community development programs that benefit all City residents. Without the Specific Plan, the Town Center would remain subject to the City's Housing Element Site Overlay, which establishes a maximum density of 30 units per acre but does not provide the enhanced development incentives included in the Specific Plan's Inclusionary Incentive Program. The Specific Plan's incentive structure is what makes the scale of mixed-use development analyzed in the fiscal impact study— approximately 2,055 residential units and 446,000 square feet of commercial space—financially achievable, and therefore what makes the projected fiscal benefits to the General Fund realistically attainable.

C. The Specific Plan Represents a Guiding Framework for Future Development Based on Extensive Public Engagement
The Specific Plan would implement the City’s 2040 General Plan, adopted by the City Council in December 2019 following a three-year process of public outreach, engagement, and participation.

Throughout the General Plan update process, Diamond Bar residents consistently expressed their desire for more local access to dining, entertainment, and retail establishments, as well as for pedestrian-oriented, mixed-use activity centers. (Urban Land Institute Technical Assistance Panel Report, p. 5.) As a result, the 2040 General Plan established a new vision for a pedestrianoriented “Town Center,” where residents can enjoy activated spaces, urban housing opportunities, food-oriented retail, restaurants, and entertainment.

The Specific Plan is the result of further public input from residents and local stakeholders. (Specific Plan, § 1.10.) Through public workshops, periodic meetings, and a public website, the public was encouraged to share their thoughts on the proposed Specific Plan. (Specific Plan §§

1.10.1-1.10.3.) Public comments and questions were noted and factored into the final plan. (Specific Plan § 1.10.3.)
The Specific Plan translates this community vision into implementable development standards and design guidelines for the Town Center Mixed Use Area. The Specific plan is “crafted to reflect the aspiration of the City’s residents for a pedestrian friendly Town Center.” (Specific Plan § 2.3).

To that end, the Specific Plan calls for (among other things): a “New Town Square”, a public green visible from Diamond Boulevard with a civic building; a “New Main Street,” a north-south street with 18’ wide sidewalks and views of the San Gabriel Mountains; a “New Street Grid” that would improve street intersection density, which is in turn associated with increased walkability and decreased per capita air pollution from vehicle emissions (the existing condition is 65 intersections/square mile, the minimum density to achieve a walkable environment is 150 intersections/square mile, and the Specific Plan calls for 284 intersections/square mile); a “New Torito Lane” that would extend the existing Torito Lane around a new neighborhood green crossing and through the new public plaza; and a “New Neighborhood Adjacent to Golden Springs Drive” that integrates elevated parcels into the larger Town Center through a public, accessible grand staircase inspired by the Spanish Steps in Rome. (Specific Plan §§ 2.3.) Without the Specific Plan, the existing zoning for the Town Center area would not implement the 2040 General Plan's vision or fulfill the community’s expressed desire for a pedestrian-oriented, mixed-use Town Center with activated public spaces, diverse housing options, and walkable streets.

Diamond Bar Town Center Specific Plan Findings of Fact and Statement of Overriding Considerations February 25, 2026 Page X-4
D. The Specific Plan Reflects Best Practices and Expert Recommendations for Town Center Development
Following adoption of the Vision 2040 General Plan, the City sought guidance from the Urban Land Institute Los Angeles (ULI-LA) to better understand market possibilities, implementation strategies, and design frameworks for the Diamond Bar Town Center. (Urban Land Institute Technical Assistance Panel Report (“TAP Report”), Diamond Bar Town Center, April 2021, p. 5.) In April 2021, ULI-LA convened a Technical Assistance Panel (“Panel”) of experts in land use, real estate development, architecture, urban design, city planning, economic analysis, and development financing to provide pro bono planning assistance. (TAP Report at p. 2.) Over a week-long process, the panel toured the site, interviewed city officials, property owners, and community members, analyzed the area, and presented findings to a joint session of the City Council and Planning Commission. (TAP Report at pp. 8-9.) The Panel identified comparable successful projects including The Village at Totem Lake (26 acres, 850 units, 400,000 SF retail), Santana Row (42 acres, 1,200 units, 680,000 SF retail), and Santa Clara Square (92 acres, 1,300 units, 120,000 SF retail), demonstrating that mixed-use town centers of similar or larger scale have been successfully developed in other California communities. (TAP Report at pp. 20-21.) The Panel emphasized that "[a]ll over the country and world, successful town centers are surrounded by, and integrated with, denser residential densities" and concluded its vision "includes higher residential densities than currently allowed in the Vision 2040 General Plan" because "[t]hese higher residential densities would provide the benefit of creating new housing options affordable at a mix of income levels" and "[t]he resulting residential population would also drive demand for new restaurants, retail, walkability, and open and gathering spaces in the Town Center." (TAP Report at pp. 7, 13.) The Panel recommended that the City develop a Specific Plan "that provides both the certainty to incentivize investment and the flexibility to ensure the financial feasibility of future development" and use "an urban framework to guide the cohesive redevelopment of the Town Center, with urban-sized blocks, residential density, and a priority on pedestrian movement." (TAP Report at p. 7.) The Specific Plan incorporates these expert recommendations through its urban street grid (284 intersections per square mile compared to the existing 65), pedestrian features including the grand staircase and 18-foot wide sidewalks, mix of uses, minimum residential density of 30 units per acre, and Inclusionary Incentive Program. By following guidance from experienced professionals who evaluated comparable successful projects, the Specific Plan increases the likelihood of achieving the community's vision and delivering anticipated benefits.

E. The Specific Plan Leverages Unique Site Characteristics and Regional Connectivity The Town Center site possesses exceptional characteristics that the Specific Plan would leverage to create a unique community asset. The ULI Technical Assistance Panel identified the site's sloped topography as creating opportunities for design elements that take advantage of the natural topography while optimizing the location of parking and creating space for pedestrian plazas and paseos. (TAP Report at p. 7.) The Panel noted that “[w]ith dramatic vistas to the San Gabriel Mountains to the north, these pedestrian spaces would be lined by creative and authentic food uses—the kinds of uses that activate the atmosphere of a village, with people shopping, eating, and celebrating.” (TAP Report at p. 7.)
The Specific Plan leverages these exceptional site characteristics through deliberate design strategies and development standards. The sloped topography identified by the TAP is utilized

Diamond Bar Town Center Specific Plan Findings of Fact and Statement of Overriding Considerations February 25, 2026 Page X-5
through the grand staircase connecting Golden Springs Drive to New Main Street to the north— a public amenity that not only provides pedestrian connectivity between upper and lower portions of the site but is envisioned as “a place in and of itself,” offering dramatic views to the San Gabriel Mountains while serving as a community gathering space. (Specific Plan § 2.3.5.) The Specific Plan’s street grid and block structure optimize parking locations by integrating structured and subgrade parking that takes advantage of the site’s grade changes, reducing surface parking from the current 2,086 spaces that dominate the site and freeing land for the pedestrian plazas, paseos, and activated street frontages recommended by the TAP.

The site’s strategic location adjacent to the SR-57 and SR-60 interchange—where approximately 350,000 vehicles traverse during a typical weekday—provides exceptional regional visibility and accessibility. (TAP Report at p. 11.) This strategic location positions the site to capture demand from a broader market area than a typical neighborhood-serving commercial center. The site is also proximate to the Gateway Corporate Center, which houses the South Coast Air Quality Management District, City Hall, and several Fortune 500 companies, supplying a high concentration of well-paying jobs and a large daytime workforce population that can support Town Center retail and dining establishments. (TAP Report at p. 10.) The Panel noted that ongoing phased improvements to the 57-60 interchange are “intended to significantly reduce congestion and collisions while also preventing overflow traffic onto the surface streets of Diamond Bar,” which would make the area more accommodating to pedestrian activity and support the Specific Plan's vision for a walkable, mixed-use Town Center. (TAP Report at p. 11.) The Specific Plan’s mix of uses, including up to 2,055 residential units and approximately 446,000 square feet of commercial space, is specifically scaled to take advantage of the site's strategic location adjacent to major regional transportation corridors and proximity to the Gateway Corporate Center’s daytime workforce population, creating the critical mass of residents and daytime workers needed to support viable retail and dining establishments.

F. The Specific Plan Responds to Strong Market Demand
The Specific Plan responds to documented market demand for housing and retail uses in Diamond Bar that has been unmet for decades. Market analysis prepared by RCLCO in September 2022 found that “[d]evelopment of new housing in Diamond Bar has been limited over the past two decades” with no new apartment communities delivered in the city since 1989 and building permits decreasing precipitously between 1980 and 2000. (RCLCO Existing Conditions & Market Demand Analysis “Demand Analysis”, Diamond Bar Town Center, September 6, 2022, p. 6.) This limited inventory has resulted in historically low apartment vacancy rates of just 0.8%, and tight vacancies combined with strong rent growth averaging 5.3% between 2017 and 2021 indicate strong demand for new multifamily housing. (Demand Analysis, p. 6.) RCLCO concluded that “the market has been underdeveloped for several decades and harbors inherent unmet demand” and that “[t]he aging population of Diamond Bar is resultant of a lack of new housing” such that “the introduction of a highly stratified and master-planned housing program should induce the latent demand within the region that has been building.” (Demand Analysis, p. 6.) The Specific Plan would address this unmet demand by implementing a targeted maximum of 2,055 residential units in diversified housing types serving residents at multiple income levels and life stages — the kind of “highly stratified and master-planned housing program” that RCLCO identified as necessary to induce the region's latent demand. While the City's Housing Element Site Overlay establishes the entitlement framework for residential development in the Town Center, it alone does not provide the master-planned structure, diversified product mix, or development incentives needed to capture this demand at meaningful scale. Given the City’s

Diamond Bar Town Center Specific Plan Findings of Fact and Statement of Overriding Considerations February 25, 2026 Page X-6
current lack of a central retail corridor or true town center, the Diamond Bar Town Center has the opportunity to capture a broad demand pool for retail, dining, hospitality, and multifamily housing with limited competition. (Demand Analysis, p. 6.) By providing new housing options in a cohesive mixed-use environment—options that have been unavailable in Diamond Bar for over three decades—the Specific Plan would allow younger households to move into the community, enable existing residents to downsize while remaining in Diamond Bar, and accommodate essential workers and the daytime workforce serving the Gateway Corporate Center and other Diamond Bar employers who currently cannot afford to live in the City.

Conclusion
The City of Diamond Bar has balanced the Project’s benefits against the Project’s significant unavoidable impacts. The City Council finds that the proposed Project’s benefits outweigh the Project’s significant unavoidable impacts, and these impacts, therefore, are considered acceptable in light of the Project’s benefits. The City Council finds that each of the benefits described above is an overriding consideration, independent of the other benefits, which warrants approval of the Project notwithstanding the Project’s significant unavoidable impacts.

Diamond Bar Town Center Specific Plan Findings of Fact and Statement of Overriding Considerations February 25, 2026 Page XI-1

XI REFERENCES
California Air Pollution Control Officers Association. December 2021. Handbook for Analyzing Greenhouse Gas Emission Reductions, Assessing Climate Vulnerabilities, and Advancing Health and Equity.
https://caleemod.com/documents/handbook/full_handbook.pdf California Building Standards Commission. 2023. Revision Record for the State of California. 2022 Title 24, Part 9, California Fire Code. https://www.iccsafe.org/wpcontent/uploads/errata_central/2022-California-Fire-Code-Part-9-Errata-eff.-January2023-5590S221.pdf City of Diamond Bar. 2019. Diamond Bar Comprehensive General Plan Update and Climate Action Plan Draft Environmental Impact Report.
https://ceqanet.opr.ca.gov/2018051066/2
City of Diamond Bar. 2019. Diamond Bar General Plan 2040. https://www.diamondbarca.gov/961/General-Plan-2040
City of Diamond Bar. 2019. Diamond Bar General Plan 2040: Community Character & Placemaking. https://www.diamondbarca.gov/DocumentCenter/View/7090/3- Community-Characterr?bidId=
City of Diamond Bar. 2022. Diamond Bar General Plan 2040 Housing Element Update 2021- 2029. https://www.diamondbarca.gov/963/Housing-Element-Update City of Diamond Bar. 2023. City of Diamond Bar General Plan Update Existing Conditions Report – Volume III.
https://www.diamondbarca.gov/DocumentCenter/View/7518/General-Plan-ExistingConditions-Report---Volume-III_011017?bidId= City of Diamond Bar. November 21, 2023. First Amendment to the Professional Services Agreement with MNS Engineers, Inc. for the Design of Diamond Bar Complete Street Project (CIP# PW17400). City Council Agenda Report. Prepared by Daniel Fox, City Manager, for Honorable Mayor and Members of the City Council. https://diamondbarca.iqm2.com/Citizens/Detail_LegiFile.aspx?Frame=&MeetingID=1962 &MediaPosition=&ID=3375&CssClass= (accessed January 13, 2026).

City of Diamond Bar. December 17, 2024. Adopt Resolution Authorizing Execution of Funding Agreements for State and Federal Funding, Approve WVWD Utility Agreement, Approve LACFCD Trash Excluder Agreement and Adopt a Class 1 CEQA Exemption for the Diamond Bar Boulevard Complete Streets Project. City Council Agenda Report.

Prepared by Daniel Fox, City Manager, for Honorable Mayor and Members of the City Council.
https://diamondbarca.iqm2.com/Citizens/Detail_LegiFile.aspx?Frame=&MeetingID=2052 &MediaPosition=&ID=3615&CssClass= (accessed January 13, 2026).

City of Diamond Bar. November 4, 2025. Award of Construction Agreement for the Diamond Bar Boulevard Complete Streets Project - CIP No. SI256 (Gentry Brothers, Inc.) and Approval of Amendment 2 to a Professional Services Agreement for Construction Management and Inspection Services (Local Agency Engineering Associates, Inc.). City

Diamond Bar Town Center Specific Plan Findings of Fact and Statement of Overriding Considerations February 25, 2026 Page XI-2
Council Agenda Report. Prepared by Daniel Fox, City Manager, for Honorable Mayor and Members of the City Council.

City of Diamond Bar. January 2026. Diamond Bar Town Center Specific Plan Mitigation Monitoring and Reporting Program.

City of Diamond Bar. N.d. Code of Ordinances, Title 22 – Development Code, Chapter 22.10 – Commercial/Industrial Zoning Districts.

County of Los Angeles Chief Executive Office. July 2011. Forty-Year Lease and Memorandum of Understanding with the City of Diamond Bar: The Diamond Bar Library, 2180 Copley Drive, Diamond Bar.

LA County Library. 2024. Where Community Happens. Strategic Plan 2024-2028. https://lacountylibrary.org/wpcontent/uploads/2024/03/LACountyLibrary_Strategic_Plan_2024-28.pdf (accessed December 2, 2024).

RCLCO Real Estate Consulting. 2022. Existing Conditions & Marketing Demand Analysis:

Diamond Bar Town Center, Diamond Bar, California. Prepared for Torti Gallas + Partners.

Pomona Unified School District. 2015. Promise of Excellence: PUSD Strategic Plan 2015-2020. https://4.files.edl.io/ca53/07/05/18/172730-f37a1a36-3e3f-434d-b959-ee1a9053eb45.pdf South Coast Air Quality Management District. 1993. CEQA Air Quality Handbook. http://www.aqmd.gov/home/rules-compliance/ceqa/air-quality-analysis-handbook/ceqaair-quality-handbook-(1993) South Coast Air Quality Management District. June 2008. Appendix C, LST Mass Look-up Tables. Final Localized Significance Thresholds Methodology. http://www.aqmd.gov/docs/default-source/ceqa/handbook/localized-significancethresholds/appendix-c-mass-rate-lst-look-up-tables.pdf?sfvrsn=2 Southern California Association of Governments. May 2020. MMRP for the Connect SoCal Final PEIR. https://scag.ca.gov/sites/main/files/file-attachments/exhibita_connectsocal_peir.pdf#:~:text=It%20is%20the%20intent%20of%20this%20program% 20to%3A,and%20%287%29%20utilize%20existing%20review%20processes%20wherev er%20feasible.

Southern California Association of Governments. September 2020. Connect SoCal. https://scag.ca.gov/sites/main/files/file-attachments/0903fconnectsocalplan_0.pdf?1606001176 2022 California Building Code, Title 24. https://codes.iccsafe.org/content/CABC2022P1 Urban Land Institute-Los Angeles. April 2021. Technical Assistance Panel Report: Diamond Bar Town Center. https://www.diamondbarca.gov/DocumentCenter/View/8250/Diamond-BarTown-Center-Report-April2021?bidId= (accessed October 29, 2024).

5 RESOLUTION NO. 2026-06

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DIAMOND

BAR, CALIFORNIA, ADOPTING AMENDMENTS TO THE GENERAL
PLAN 2040 LAND USE AND ECONOMIC DEVELOPMENT ELEMENT IN

CONNECTION WITH ADOPTION OF THE TOWN CENTER SPECIFIC
PLAN.

WHEREAS, on December 17, 2019, the City Council adopted the Diamond Bar General Plan 2040 and the Climate Action Plan 2040 to create a vision and blueprint for development through 2040. The Diamond Bar General Plan 2040 establishes the Town Center Mixed-Use, Neighborhood Mixed-Use, Transit Oriented Mixed-Use, and Community Core Overlay focus areas and corresponding land use designations, estimates that up to 3,750 new housing units could be built in the city by 2040, and anticipates that much of this growth will occur within these four focus areas; and WHEREAS, the Town Center Mixed-Use focus area and land use designation encompasses those properties within an approximately 45-acre area along Diamond Bar Boulevard, between Golden Springs Drive and the SR-60 Freeway; and WHEREAS, on August 11, 2022, the City Council adopted the City’s 2021-2029 General Plan Housing Element (“2021-2029 Housing Element”), which was subsequently found by the California Department of Housing and Community Development (HCD) to be in full compliance with State Housing Element Law (Article 10.6 of the Government Code) on October 5, 2022. The 2021-2029 Housing Element identifies sites to accommodate the City’s Regional Housing Needs Allocation (RHNA) of 2,516 residential units, including through rezoning of underutilized sites in the Town Center Mixed-Use, Neighborhood Mixed-Use, Transit Oriented Mixed-Use focus areas. The 2021-2029 Housing Element expressly contemplates the implementation of a specific plan for mixeduse development in the Town Center Focus Area and encourages incentives to encourage and facilitate redevelopment in the Town Center Focus Area; and WHEREAS, on January 27, 2025, the City Council adopted Resolution No. 2025- 04 approving an amendment to the Land Use Element of the General Plan to establish a minimum residential density of 20 dwelling units per acre and a maximum residential density of 30 dwelling units per acre on sites within the Town Center Mixed-Use and Neighborhood Mixed-Use Land Use Designations, as required under Program H-8 of the; and
WHEREAS, to implement the Land Use and Economic Development and Housing Elements of the General Plan, the City of Diamond Bar initiated preparation of the Town Center Specific Plan (“TCSP”) pursuant to Government Code sections 65450 through 65457 and corresponding amendments to the General Plan Land Use and Economic Development Element, Development Code, and Official Zoning Map to establish the TCSP as the regulatory document governing the Town Center Mixed-Use land use designation and to revise the General Plan criteria and the zoning designation applicable

Resolution No. 2026-06
2 to the Planning Area covered by the Specific Plan as necessary to ensure consistency with, and implementation of, the Specific Plan’s framework, including maximum residential density and permitted uses; and
WHEREAS, the proposed TCSP would establish a regulatory framework to guide the transformation of the Town Center from the existing suburban-style retail shopping centers into a pedestrian-oriented downtown, providing housing opportunities, retail, restaurants, and entertainment uses within the City of Diamond Bar. Implementation of the TCSP is anticipated to result in the development of up to 2,055 housing units (an increase of 705 units); 200 hotel rooms (an increase of 103 rooms); 40,000 square feet of public open space (an increase of 40,000 square feet); and 446,000 square feet of commercial space (a net decrease of 64,000 square feet), including retail, dining, and entertainment uses, as compared to development anticipated for the area under the General Plan, as amended by the 2021-2029 Housing Element. Supporting infrastructure and development standards will be implemented through the TCSP and associated entitlements; and
WHEREAS, the proposed General Plan Amendment would amend the Land Use and Economic Development Element to ensure consistency between it and the TCSP by specifying that the Town Center Mixed Use Land Use designation is implemented by the TCSP and project density may be increased over the maximum base residential density of 30.0 dwelling units per acre in certain circumstances only through application of either the State Density Bonus Law or the TCSP Inclusionary Incentive Program Standards described in the TCSP, or through density transfers as permitted in the TCSP; and WHEREAS, the proposed General Plan Amendment, Town Center Specific Plan, Development Code Amendment, and Zoning Map Amendment are collectively referred to herein as the “Project”; and
WHEREAS, the City determined that the appropriate environmental document for the Project would be a Supplemental Environmental Impact Report (“SIR”) to the Diamond Bar General Plan 2040 (“General Plan”) and Climate Action Plan Program EIR, State Clearinghouse Number 2018051066, certified on December 18, 2019, as addended on August 11, 2022 with adoption of the 2021-2029 Housing Element Update, and an SIR has been prepared for the Project in compliance with the California Environmental Quality Act (“CEQA”); and
WHEREAS, on February 10, 2026, the City of Diamond Bar Planning Commission held a duly noticed public hearing regarding the Project and adopted Resolution No. 2026-02 making specified findings and recommending that the City Council adopt the proposed Town Center Specific Plan and corresponding General Plan, Development Code, and Zoning Map amendments. The City Council hereby adopts the facts and reasons stated in Planning Commission Resolution No. 2026-02, a copy of which is on file with the City Clerk and which is incorporated herein by reference with the same force and effect as if set forth in full; and

Resolution No. 2026-06
3 WHEREAS, on February 20, 2026, notification of the City Council public hearing for the Project was published in the San Gabriel Valley Tribune. Public hearing notices were mailed to property owners within a 1000-foot radius of the Planning Area, inclusive of the Planning Area, and notices were posted at the City’s designated community posting sites; and
WHEREAS, on March 3, 2026, the City Council held a duly noticed public hearing regarding the proposed Project; and
WHEREAS, concurrently with the adoption of this Resolution, the City Council (1) introduced an Ordinance adopting the Town Center Specific Plan and (2) adopted Resolution No. 2026-05 certifying the Final SIR for the Project, finding the Final SIR was prepared in compliance with CEQA; finding that the Final SIR reflects the independent judgment and analysis of the City Council; finding the Final SIR was presented to, and reviewed and considered by, the City Council; adopting a Statement of Overriding Considerations; and adopting a Mitigation Monitoring and Reporting Program; and WHEREAS, all legal prerequisites to the adoption of this Resolution have occurred.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Diamond Bar as follows:

Section 1. The City Council hereby specifically finds that all of the facts set forth in the Recitals of this Resolution are true and accurate.

Section 2. Based on the findings and conclusions set forth above, the City Council hereby adopts the amendments to the General Plan 2040 Land Use and Economic Development Element attached hereto as Exhibit 1 and incorporated herein by reference.

Section 3. This Resolution shall take effect from and after the effective date of the TCSP.

PASSED, APPROVED, AND ADOPTED this 3rd day of March, 2026.

CITY OF DIAMOND BAR
__________________________
Steve Tye, Mayor

Resolution No. 2026-06
4 ATTEST:

I, Kristina Santana, City Clerk of the City of Diamond Bar, California, do hereby certify that the foregoing Resolution was duly and regularly passed, approved and adopted by the City Council of the City of Diamond Bar, California at its regular meeting held on the 3 rd day of March 2026, by the following vote:

AYES: COUNCIL MEMBERS:

NOES: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

ABSTAINED: COUNCIL MEMBERS:
__________________________
Kristina Santana, City Clerk

5 Exhibit 1
AMENDMENTS TO THE GENERAL PLAN 2040 LAND

USE AND ECONOMIC DEVELOPMENT ELEMENT
Revisions to the following passages of the General Plan 2040 Land Use and Economic Development Element are highlighted with strikethrough text to show deletions, and double underline text to show additions.

1. The description of the Town Center Mixed Use on Page 2-12 of the section entitled Land Use Classifications is revised as follows:

Town Center Mixed Use
Allows and encourages a mix of uses with an emphasis on community-serving and destination retail, dining, and entertainment uses. Offices and professional services, and residential uses are also permitted. The Town Center Mixed Use Land Use designation is implemented by the Town Center Specific Plan (“TCSP”). Maximum FAR for non-residential uses is 1.5 and a residential density of 20.0 to 30.0 dwelling units per acre (20.0 - 30.0 du/ac) is permitted. Project density may be increased over the maximum base residential density of 30.0 dwelling units per acre in certain circumstances only through application of either the State Density Bonus Law or the TCSP Inclusionary Incentive Program Standards described in the TCSP, or through density transfers as permitted in the TCSP.

2. Page 2-16, Table 2-2 is revised as follows
Table 2-2: Land Use Density/Intensity Standards Summary Table Land Use Density (du/ac) Intensity (FAR) Acreage % of
Planning
Area

CITY OF DIAMOND BAR
…
Mixed Use
Town Center Mixed Use Min. 20.0/Max 30.0 Up to 1.5 45 <1 Neighborhood Mixed Use Min. 20.0/Max 30.0 Up to 1.25 38 <1 Transit-Oriented Mixed Use Min. 20.0/Max 30.0 Up to 1.5 33 <1 …
Note: In the Town Center Mixed Use land use designation, project density may be increased over the maximum base residential density of 30.0 dwelling units per acre in certain circumstances only through application of ether the State Density Bonus Law or the TCSP Inclusionary Incentive Program Standards described in the TCSP, or through density transfers as permitted in the TCSP.

ORDINANCE NO. 03 (2026)

AN ORDINANCE OF THE CITY OF DIAMOND BAR ADOPTING THE
TOWN CENTER SPECIFIC PLAN, AMENDING TITLE 22
(DEVELOPMENT CODE) OF THE DIAMOND BAR CITY CODE TO ADD
NEW CHAPTER 22.11 (MIXED USE DISTRICTS) AND TO ESTABLISH

THE TOWN CENTER SPECIFIC PLAN (TCSP) ZONING DISTRICT, AND

AMENDING THE OFFICIAL ZONING MAP OF THE CITY OF DIAMOND

BAR TO REZONE ALL PROPERTIES WITHIN THE TOWN CENTER

MIXED USE GENERAL PLAN LAND USE DESIGNATION TO THE TOWN CENTER SPECIFIC PLAN (TCSP) DISTRICT.

WHEREAS, On November 3, 1998, the City of Diamond Bar adopted a Development Code (Title 22 of the Diamond Bar City Code); and WHEREAS, on December 17, 2019, the City Council adopted the Diamond Bar General Plan 2040 and the Climate Action Plan 2040 to create a vision and blueprint for development through 2040. The Diamond Bar General Plan 2040 establishes the Town Center Mixed-Use, Neighborhood Mixed-Use, Transit Oriented Mixed-Use, and Community Core Overlay focus areas and corresponding land use designations, estimates that up to 3,750 new housing units could be built in the city by 2040, and anticipates that much of this growth will occur within these four focus areas; and WHEREAS, the Town Center Mixed-Use focus area and land use designation encompasses those properties within an approximately 45-acre area along Diamond Bar Boulevard, between Golden Springs Drive and the SR-60 Freeway; and WHEREAS, on August 11, 2022, the City Council adopted the City’s 2021-2029 General Plan Housing Element (“2021-2029 Housing Element”), which was subsequently found by the California Department of Housing and Community Development (HCD) to be in full compliance with State Housing Element Law (Article 10.6 of the Government Code) on October 5, 2022. The 2021-2029 Housing Element identifies sites to accommodate the City’s Regional Housing Needs Allocation (RHNA) of 2,516 residential units, including through rezoning of underutilized sites in the Town Center Mixed-Use, Neighborhood Mixed-Use, Transit Oriented Mixed-Use focus areas. The 2021-2029 Housing Element expressly contemplates the implementation of a specific plan for mixeduse development in the Town Center Focus Area and encourages incentives to encourage and facilitate redevelopment in the Town Center Focus Area; and WHEREAS, on January 27, 2025, the City Council adopted Resolution No. 2025- 04 approving an amendment to the Land Use Element of the General Plan to establish a minimum residential density of 20 dwelling units per acre and a maximum residential density of 30 dwelling units per acre on sites within the Town Center Mixed-Use and Neighborhood Mixed-Use Land Use Designations, as required under Program H-8 of the; and
WHEREAS, on February 4, 2025, the City Council adopted Ordinance No. 01 (2025), establishing the housing element site (H) overlay district to provide development

Ordinance No. 03 (2026)
2 and land use regulations for the development of multifamily dwellings on specified sites identified in the City of Diamond Bar 2021-2029 Housing Element to accommodate the City’s RHNA requirements. The Zoning Map was concurrently amended to apply the H overlay district designation to those parcels with a General Plan land use designation of Town Center Mixed-Use, Neighborhood Mixed-Use, and Transit-Oriented Mixed-Use.

The H overlay district establishes a maximum residential density of 30 dwelling units per acre; and
WHEREAS, to implement the Land Use and Economic Development and Housing Elements of the General Plan, the City of Diamond Bar initiated preparation of the Town Center Specific Plan (“TCSP”) pursuant to Government Code sections 65450 through 65457 and corresponding amendments to the General Plan Land Use and Economic Development Element, Development Code, and Official Zoning Map to establish the TCSP as the regulatory document governing the Town Center Mixed-Use land use designation and to revise the General Plan criteria and the zoning designation applicable to the Planning Area covered by the Specific Plan as necessary to ensure consistency with, and implementation of, the Specific Plan’s framework, including maximum residential density and permitted uses; and
WHEREAS, the proposed TCSP would establish a regulatory framework to guide the transformation of the Town Center from the existing suburban-style retail shopping centers into a pedestrian-oriented downtown, providing housing opportunities, retail, restaurants, and entertainment uses within the City of Diamond Bar. Implementation of the TCSP is anticipated to result in the development of up to 2,055 housing units (an increase of 705 units); 200 hotel rooms (an increase of 103 rooms); 40,000 square feet of public open space (an increase of 40,000 square feet); and 446,000 square feet of commercial space (a net decrease of 64,000 square feet), including retail, dining, and entertainment uses, as compared to development anticipated for the area under the General Plan, as amended by the 2021-2029 Housing Element. Supporting infrastructure and development standards will be implemented through the TCSP and associated entitlements; and
WHEREAS, the proposed General Plan Amendment would amend the Land Use and Economic Development Element to ensure consistency between it and the TCSP by specifying that the Town Center Mixed Use Land Use designation is implemented by the TCSP and project density may be increased over the maximum base residential density of 30.0 dwelling units per acre in certain circumstances only through application of either the State Density Bonus Law or the TCSP Inclusionary Incentive Program Standards described in the TCSP, or through density transfers as permitted in the TCSP; and WHEREAS, the proposed Development Code Amendment would establish a new Town Center Specific Plan zoning district that implements the TCSP and would incorporate the TCSP into the Development Code by reference. These provisions are proposed to be set forth in a new chapter 22.11 of the Development Code entitled “Mixed Use Zoning Districts,” which will provide a framework for the incorporation of future specific plans implementing General Plan goals and policies for the the Neighborhood Mixed-Use and Transit Oriented Mixed-Use land use designations; and

Ordinance No. 03 (2026)
3 WHEREAS, the proposed Zoning Map Amendment would rezone all properties within the Town Center Mixed Use General Plan land use designation to the new Town Center Specific Plan (TCSP) District; and
WHEREAS, the proposed General Plan Amendment, Town Center Specific Plan, Development Code Amendment, and Zoning Map Amendment are collectively referred to herein as the “Project”; and
WHEREAS, on February 10, 2026, the City of Diamond Bar Planning Commission held a duly noticed public hearing regarding the Project and adopted Resolution No. 2026-02 making specified findings and recommending that the City Council adopt the proposed Town Center Specific Plan and corresponding General Plan, Development Code, and Zoning Map amendments; and
WHEREAS, on February 20, 2026, notification of the City Council public hearing for the Project was published in the San Gabriel Valley Tribune. Public hearing notices were mailed to property owners within a 1000-foot radius of the TCSP Planning Area, inclusive of the Planning Area, and notices were posted at the City’s designated community posting sites; and
WHEREAS, on March 3, 2026, the City Council held a duly noticed public hearing regarding the proposed Project; and
WHEREAS, following the public hearing held on March 3, 2026, the City Council (1) adopted Resolution No. 2026-05 certifying the Final SIR for the Project, finding that the Final SIR was completed in compliance with the California Environmental Quality Act (“CEQA”) ; finding that the Final SIR reflects the independent judgment and analysis of the City Council; finding that the Final SIR was presented to, and revised and considered by the, City Council; adopting a Statement of Overriding Considerations; and adopting a Mitigation Monitoring and Reporting Program; and (2) adopted Resolution No. 2026-06 approving a text amendment to the General Plan Land Use and Economic Development Element to ensure consistency between it and the TCSP by specifying that the Town Center Mixed Use Land Use designation is implemented by the TCSP and project density may be increased over the maximum base residential density of 30.0 dwelling units per acre in certain circumstances only through application of either the State Density Bonus Law or the TCSP Inclusionary Incentive Program Standards described in the TCSP, or through density transfers as permitted in the TCSP; and WHEREAS, all legal prerequisites to the adoption of this Ordinance have occurred.

NOW, THEREFORE, the City Council of the City of Diamond Bar does hereby find, determine and ordains as follows:

SECTION 1. Incorporation of Recitals
The foregoing recitals set forth above are true and correct and are incorporated herein by reference.

Ordinance No. 03 (2026)
4 SECTION 2. Findings
The City Council hereby finds and determines as follows:

A. The City Council of the City of Diamond Bar has considered the proposed Town Center Specific Plan (“TCSP”), prepared pursuant to Government Code Sections 65450–65457.

B. The TCSP is being adopted by ordinance in accordance with Government Code Section 65453, following a recommendation from the Planning Commission and after a duly noticed public hearing.

C. The TCSP is consistent with the General Plan, as amended pursuant to City Council Resolution No. 2026-06, as required by Government Code Section 65454, in that it implements the General Plan’s goals, policies, and land use framework applicable to the Town Center Mixed-Use land use designation, and provides regulatory standards and development guidance that further the General Plan’s vision for orderly, compatible, and well-planned development.

D. The TCSP complies with Government Code Section 65451 by including a statement of land uses, circulation and infrastructure provisions, development standards, and implementation measures necessary to carry out the General Plan within the Specific Plan area.

E. The proposed Development Code and Zoning Map Amendments are internally consistent with the General Plan, the TCSP, and other adopted goals and policies of the City.

F. The City Council hereby adopts the facts and reasons stated in Planning Commission Resolution No. 2026-02 recommending City Council approval of the Project, a copy of which is on file with the City Clerk and which is incorporated herein by reference with the same force and effect as if set forth in full.

SECTION 3. CEQA Compliance
The City determined that the appropriate environmental document for the Project would be a Supplemental Environmental Impact Report (“SIR”) to the Diamond Bar General Plan 2040 (“General Plan”) and Climate Action Plan Program EIR, State Clearinghouse Number 2018051066, certified on December 18, 2019, as addended on August 11, 2022 with adoption of the 2021-2029 Housing Element Update, and an SIR has been prepared for the Project in compliance with the California Environmental Quality Act and the State CEQA Guidelines. On March 3, 2026, the City Council adopted Resolution No. 2026-05 certifying the Final SIR for the Project, finding the Final SIR was completed in compliance with CEQA; finding that the Final SIR reflects the independent judgment and analysis of the City Council; finding that the Final SIR was presented to, and reviewed and considered by, the City Council; adopting a Statement of Overriding Considerations; and adopting a Mitigation Monitoring and Reporting Program.

Ordinance No. 03 (2026)
5 SECTION 4. Adoption of Specific Plan
The Town Center Specific Plan, a copy of which is attached hereto and incorporated herein by reference as Exhibit 1, is hereby adopted.

SECTION 5. Development Code Amendment
Title 22 of the Diamond Bar City Code is hereby amended to add new Chapter 22.11, entitled “Mixed Use Districts,” to read in its entirety as follows:
“CHAPTER 22.11 – MIXED-USE ZONING DISTRICTS
Sec. 22.11.010. – Purpose of chapter.

This chapter provides regulations for development and new land uses in the mixed-use zoning districts established by section 22.11.020.

Sec. 22.11.020. – Purpose of mixed-use zoning districts.

The purposes of the individual mixed-use zoning districts and the manner in which they are applied are as follows:
(1) TCSP (town center specific plan) district. The TCSP district implements the “Town Center Specific Plan” and is consistent with the town center mixed use land use category of the general plan.

Sec. 22.11.030. – Mixed-use zoning district land uses, permit requirements, and development standards.
(1) TCSP (town center specific plan) district. All development within the town center specific plan district shall be subject to the Town Center Specific Plan, as it may be amended from time to time. The Town Center Specific Plan is on file with the City Clerk and is incorporated herein by reference.

Sec. 22.11.040. – Special provisions applicable to lower-income sites within mixed-use zoning districts.
(1) TCSP (town center specific plan) district. In accordance with subdivision (h) of Government Code Section 65583.2, the following additional regulations shall apply to each site within the town center specific plan district identified in Table B-3 of Appendix B to the City of Diamond Bar 2021-2029 General Plan Housing Element to accommodate the City’s lowor very low-income housing needs: (a) at least sixteen (16) dwelling units may be developed on the site; (b) 100% of the uses on the site may be residential; (c) residential uses shall occupy at least 50 percent of the total gross floor area of any new development on the site; (c) for developments in which 20 percent or more of the units are affordable to lower income households, multifamily dwellings shall be considered a use by right and

Ordinance No. 03 (2026)
6 shall be reviewed ministerially pursuant to section 22.18.040(f).” SECTION 6. Zoning Map Amendment
The Zoning Map of the City of Diamond Bar is hereby amended as shown in Exhibit 2 to this Ordinance to rezone all properties within the Town Center Mixed Use General Plan Land Use designation to the Town Center Specific Plan (TCSP) District and to denote the Town Center Specific Plan (TCSP) District for the applicable properties.

SECTION 7. Effective Date
This Ordinance shall be effective 30 days after adoption pursuant to Government Code Section 36937, provided, however, that the effectiveness of this Ordinance shall be contingent upon the adoption and effectiveness of City Council Resolution No. 2026-06 approving and adopting the associated General Plan Amendment. Should Resolution No. 2026-06 not be adopted or take effect, this Ordinance shall automatically be deemed null and void.

SECTION 8. Severability Clause
If any section, subdivision, paragraph, sentence, clause or phrase of this Ordinance is for any reason held to be invalid or unconstitutional, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council hereby declares that it would have passed this Ordinance, and each section, subdivision, paragraph, sentence, clause and phrase thereof, irrespective of the fact that any one (or more) section, subdivision, paragraph, sentence, clause or phrase had been declared invalid or unconstitutional.

SECTION 9. Certification and Posting of Ordinance
The City Clerk shall certify to the passage and adoption of this Ordinance and shall cause a certified copy of this Ordinance to be posted within fifteen (15) days after this Ordinance is passed and adopted, in the Office of the City Clerk and two additional public places, together with the vote for and against the same.

APPROVED AND ADOPTED at a regular meeting of the City Council of the City of Diamond Bar on the ____ day of ____, 2026.

CITY OF DIAMOND BAR

Steve Tye, Mayor

Ordinance No. 03 (2026)
7 ATTEST:

I, Kristina Santana, City Clerk of the City of Diamond Bar, do hereby certify that the foregoing Ordinance was duly introduced at a regular meeting of the City Council of the City of Diamond Bar held on the ____ day of _____, 2026, and was finally passed at a regular meeting of the City Council of the City of Diamond Bar held on the ____ day of ______, 2026, by the following vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

ABSTAIN: Councilmembers:
__________________________
Kristina Santana, City Clerk

8 Exhibit 1
Town Center Specific Plan
Bound separately due to document size.

The full document has been provided to the City Council.

Also available at www.downtown4db.com

9 Exhibit 2
Amended Zoning Map

Agenda Item #: 6.1
Meeting Date: February 10, 2026

PLANNING COMMISSION AGENDA
REPORT

TOWN CENTER SPECIFIC PLAN
SUMMARY:

The proposed Diamond Bar Town Center Specific Plan (“TCSP” or "Project") establishes a comprehensive regulatory framework to guide the transformation of approximately 45 acres of existing suburban-style retail centers into a pedestrian-oriented, mixed-use downtown, or “Town Center.” The Specific Plan provides for a mix of residential, commercial, hotel, entertainment, and public open space uses, supported by form-based development standards intended to shape building scale, massing, and transitions adjacent to existing neighborhoods.

At buildout, the TCSP would allow development of up to 2,055 residential units, 200 hotel rooms, approximately 446,000 square feet of commercial space, and 40,000 square feet of public open space. Compared to development assumptions under the General Plan (as amended by the 2022 Housing Element Update), the Project increases residential capacity and open space while reducing overall commercial square footage.

Environmental review has been completed through a Final Supplemental EIR (Final “SIR”) prepared as a supplement to the previously certified General Plan EIR, including a subsequent Addendum adopted for the 2021-2029 Housing Element Update. The Final SIR identifies significant and unavoidable impacts related to air quality and transportation (vehicle miles traveled). A Statement of Overriding Considerations has been prepared to weigh the Project’s unavoidable environmental effects against a series of economic, social, planning, and legal benefits supported by substantial evidence in the record.

Required Legislative Actions
In addition to adopting the TCSP regulatory document, concurrent legislative actions include a General Plan Amendment and zoning map and text amendments. These actions align the General Plan land use designations and zoning with the Town Center Specific Plan to ensure internal consistency and to implement the Specific Plan’s land use framework.

The Planning Commission’s role is advisory. In other words, the Commission is asked to evaluate the policy framework of the Specific Plan, its consistency with adopted plans, and the adequacy of the environmental review, and to forward a recommendation to the City Council.

Enactment of the TCSP requires the following discretionary actions:

1. Adoption of the Diamond Bar Town Center Specific Plan;

2. Adoption of a General Plan Amendment;

3. Adoption of zoning map and zoning text amendments; and

4. Certification of the Final Supplemental EIR, adoption of Findings of Fact and Statement of Overriding Considerations, and adoption of the Mitigation Monitoring and Reporting Program.

The two attached resolutions drafted for the Planning Commission’s consideration incorporate recommended actions for the City Council to consider at an upcoming hearing.

RECOMMENDATION:

Agenda Item #: 6.1
Meeting Date: February 10, 2026

1. Adopt the attached Resolution (Attachment 1) recommending that the City Council certify the Final SIR, adopt the Findings of Fact and Statement of Overriding Considerations; and

2. Adopt the attached Resolution (Attachment 2) recommending that the City Council adopt the Town Center Specific Plan and corresponding General Plan Amendment, Development Code Amendment and Zoning Map Amendment.

BACKGROUND:

From a planning and policy perspective, the Specific Plan represents a deliberate shift toward a more compact, mixed-use development pattern in a location identified for long-term transformation. Key considerations include housing and mixed-use development, economic viability, neighborhood compatibility, and environmental review.

General Plan
The vision to create a Diamond Bar Town Center was conceived with the adoption of the Diamond Bar General Plan 2040 (“General Plan”) in December 2019. Early in the General Plan Update process, Diamond Bar residents expressed a desire to establish a downtown, or “Town Center” in Diamond Bar: a walkable “place” with entertainment, retail, restaurants, community gathering spaces and urban housing opportunities.

Participants in the General Plan Update process cited various examples of thriving historic, revitalized and newly created downtowns in nearby communities that they patronize regularly, including Brea, Chino Hills, Claremont, Fullerton and Monrovia. Several sites within the City were initially identified and discussed as potential locations for the Town Center. Ultimately, the 45-acre commercial district along Diamond Bar Boulevard, between Golden Springs Drive and the SR-60 Freeway would be designated as the Town Center Mixed-Use Focus Area in the General Plan.
• Vision 2040
The following passage from the General Plan summarizes the community vision (“Vision 2040”) for the Town Center:

Throughout the General Plan update process, residents of Diamond Bar have expressed a desire for greater access to dining, entertainment, and retail establishments within the city. More specifically, community input indicated a desire for the concentration of these new establishments within a walkable area resembling a more traditional downtown. While Diamond Bar has numerous centers of activity, including the Diamond Bar Center, the City Hall and Library complex, high schools and various suburban-style commercial centers, the city lacks a clear community focal point – a role commonly played by a vibrant downtown.
• Guiding Principles
The General Plan established seven Guiding Principles to further expand, reinforce and support the community vision. Guiding Principle 3 describes the Town Center’s role as follows: “Foster the development of a vibrant, pedestrian-oriented Town Center in Diamond Bar that serves as a place for Diamond Bar’s residents to shop, dine and gather.”
• Goals and Policies

Agenda Item #: 6.1
Meeting Date: February 10, 2026
To support the community vision and Guiding Principle 3, the General Plan Land Use and Economic Development Element sets forth the following Goals for the Town Center:

LU-G-22 -Promote and support the commercial area on both sides of Diamond Bar Boulevard from Golden Springs Drive to SR-60 as a vibrant, pedestrian-oriented Town Center that serves as Diamond Bar’s primary specialty retail and dining destination and is accessible to all Diamond Bar residents.

LU-G-23 - Ensure an inviting and comfortable public realm to encourage pedestrian activity in the Town Center area.

These Goals are further refined into a series of actionable Policies to implement the community vision for a future Town Center.

Urban Land Institute Technical Assistance Panel
In the fall of 2020, The City engaged the Urban Land Institute – Los Angeles (ULI-LA) to assemble a Technical Assistance Panel (TAP) to gain a better understanding of the market possibilities, implementation strategies, and design framework to consider as an initial step to implement the policies of the General Plan for the Town Center Focus Area.

The TAP convened between April 12 - 16, 2021, where panelists were able to visit, analyze and present some initial recommendations about the opportunities for the project area. The TAP presented its findings and recommendations at a Special Joint Planning Commission/City Council meeting on April 16, 2021 which was open to the public. Key recommendations from the TAP included the following:
• An increase in the residential densities over that currently allowed by the General Plan 2040 is needed to encourage new housing options affordable at a mix of income levels, and help drive demand for new restaurants, retail, walkability, and open and gathering spaces in the Town Center. • An urban framework with urban-sized blocks, residential density with a priority on pedestrian movement in and around the focus area is envisioned to create a successful Town Center environment. • Deliberate design choices can take advantage of the natural topography of the site by creating pedestrian-only plazas and paseos lined with retail and restaurants to activate the space offering dramatic views of the San Gabriel mountains.
• Adoption of a Specific Plan would provide the certainty to incentivize investment and create flexibility to ensure financial feasibility for future development.

In the summer of 2021, ULI-LA published the Diamond Bar Town Center Technical Assistance Panel Report, which documented the TAP’s land use, design, programming and implementations recommendations for the Town Center, including the items above.

TCSP Planning Process
In July 2022, the City initiated the Town Center Specific Plan (“TCSP”) to implement the vision, goals and policies set forth in the General Plan, as well as the recommended land use strategies published ULI-LA TAP Report. A fiscal impact analysis was prepared among the various technical reports and studies prepared following the kick-off of the TCSP, which recommended a residential buildout of 2,055 dwellings units in the

Agenda Item #: 6.1
Meeting Date: February 10, 2026
Town Center.

Public engagement played a significant role in developing the vision, guiding principles and regulatory framework for the TCSP. More than 600 individuals subscribed to the dedicated TCSP website (www.downtown4db.com). Between July 2022 and June 2023, the City hosted two well-attended community workshops, a weeklong design charrette, interviews with most of the property owners within the TCSP Planning Area, and two joint City Council/Planning Commission study sessions.

Setting and Location
As stated, the Town Center Planning Area is located along the segment of Diamond Bar Boulevard between Golden Springs Drive and the 60 Freeway. The Planning Area encompasses approximately 45 acres, and is currently developed with automobile-oriented retail and commercial uses. Surrounding land uses include single-family residential neighborhoods, commercial development, and public facilities. The Planning Area is served by major arterial roadways and is identified in the General Plan as a key opportunity area for reinvestment and intensification.

Town Center Planning Area
PROJECT DESCRIPTION:

Overview
The TCSP establishes land use regulations, development standards, and implementation policies intended to facilitate long-term redevelopment of the Planning Area into a cohesive, walkable Town Center. The Specific Plan regulates permitted uses, development intensity, building form, height, and site design, and is implemented through associated General Plan and zoning amendments.

Land Use and Buildout Targets

Agenda Item #: 6.1
Meeting Date: February 10, 2026
The TCSP allows a mix of residential, commercial, hotel, entertainment, and public open space uses. At buildout, the Specific Plan envisions the following land use and buildout profile:
• Up to 2,055 residential units;
• Up to 200 hotel rooms;
• Approximately 446,000 square feet of commercial space; and • Approximately 40,000 square feet of public open space.

Inclusionary Point System
Purpose and Policy Context
The Town Center Specific Plan includes a voluntary, incentive-based Inclusionary Point System designed to implement the City’s housing, economic development, and placemaking objectives while responding to constraints imposed by recent State housing laws. The system is intended to encourage affordable housing production, activate ground-floor commercial uses, and promote cohesive, master-planned development within the Town Center, while providing predictability and transparency to project applicants.

Rather than relying on negotiated development standards or State Density Bonus Law as the primary mechanism for achieving higher residential densities, the Inclusionary Point System establishes a clear, formulabased framework under which additional residential density may be earned in exchange for the provision of identified community benefits.

The TCSP’s Inclusionary Point (IP) System is provided as an alternative to State Density Bonus Law: a developer may design their project utilizing either the IP System or State Density Bonus Law, but not both.

Base Density and Incentive Structure
The Specific Plan establishes a base residential density of 30 dwelling units per acre (du/ac) for all parcels within the Town Center. Residential density above this base level is not automatic and may only be achieved by either applying State Density Bonus Law, or by earning Inclusionary Points pursuant to Chapter 5 of the Specific Plan.

Each Inclusionary Point (“IP”) earned increases the allowable residential density by 10% (i.e., 3 dwelling units per acre). The “Inclusionary Density” (ID) is calculated as follows:

ID = 30 + 3(IP)
As an example, a mixed-use project could earn Inclusionary Points by providing a combination of affordable housing units, ground-floor commercial space, and consolidating parcels to create a two-acre site area. If these elements result in the project being eligible for 5 Inclusionary Points, the above formula would yield an Inclusionary Density of 45 du/ac.

Eligibility and Point-Earning Criteria
Inclusionary Points may be earned through the voluntary provision of one or more of the following community

Agenda Item #: 6.1
Meeting Date: February 10, 2026
priorities, as specified in Chapter 5 of the Specific Plan:
• Affordable Housing – Provision of very low-, low-, or moderate-income units in excess of baseline requirements, with points awarded based on affordability level and percentage of units provided. • Commercial and Mixed-Use Activation – Inclusion of ground-floor commercial square footage intended to support a walkable, mixed-use Town Center environment. • Site Assembly and Project Scale – Development on parcels meeting minimum acreage thresholds or involving parcel consolidation to encourage larger, coordinated projects. • Hotel Uses (Location-Specific) – Provision of hotel uses in designated subareas where such uses advance the Town Center vision.

The Specific Plan varies IP opportunities by subarea to reflect differing land use objectives, desired development character, and locational priorities within the Town Center.

Relationship to State Density Bonus Law
The Inclusionary Point System is structured to provide a locally tailored alternative to the State Density Bonus Law by offering predictable, by-right density increases that may exceed what would otherwise be achievable through State law alone. The intent is to provide a locally tailored incentive framework that aligns with the Town Center vision, while preserving an applicant’s ability to utilize State Density Bonus Law where applicable.

Participation in the Inclusionary Point System is voluntary, and applicants may elect to pursue density increases under State law where applicable; however, the Specific Plan is designed to make the local incentive framework the more attractive and integrated option for achieving higher density.

Planning Considerations
From a planning and policy perspective, the Inclusionary Point System allows the City to shape the form, scale, and mix of development in the Town Center through objective standards and incentives rather than mandates. The system is intended to balance housing production with commercial vitality and public amenities, while providing certainty to applicants and a clear nexus between increased development capacity and community benefits.

Treatment of Existing Service Stations
The Specific Plan classifies legally established, existing service stations within the Planning Area as conforming uses. The Plan allows these uses to continue operating and to reinvest in their sites over time. Existing service stations may expand, modernize, and introduce ancillary uses, including automated car washes through approval of a Conditional Use Permit.

This regulatory approach reflects a deliberate land use policy choice recognizing the ongoing economic viability of existing service stations and their role as contributors to the City’s tax base. Allowing existing service stations to remain conforming and to adapt over time avoids premature obsolescence while maintaining regulatory oversight through the Specific Plan and applicable discretionary review processes.

Form-Based Development Standards and Residential Transitions

Agenda Item #: 6.1
Meeting Date: February 10, 2026
In addition to regulating land use and development intensity, the Specific Plan incorporates form-based development standards set forth in Chapter 6. These standards regulate building height, massing, and site design based on location and context, rather than solely on land use classification.

The Specific Plan includes specific provisions addressing transitions between Town Center development and existing residential neighborhoods. These provisions include graduated height limits, massing controls, stepback requirements, and design standards intended to reduce perceived bulk and potential privacy impacts where buildings abut or face residential uses. Together, these form-based standards provide an objective and enforceable framework to ensure appropriate transitions at residential interfaces while allowing flexibility for redevelopment within the Town Center.

Road Diet
One of the key planning considerations of the TCSP was to establish a “Road Diet” along the segment of Diamond Bar Boulevard that traverses the Planning Area. The Road Diet would reduce the number of travel lanes along Diamond Bar Boulevard from three lanes in each direction to two. The intent of the Road Diet would be to slow traffic and shorten pedestrian crossing distances to enhance the overall walkability of the Town Center.

The transportation analysis prepared for the Draft Supplemental Environmental Impact Report found the proposed Road Diet configuration to have no reduction in traffic flow, primarily due to the incorporation of right-turn lanes to relieve the flow of through-traffic. However, public input reflected limited support for incorporating the Road Diet, so staff is recommending that the TCSP be adopted without the Road Diet as a required component of the Specific Plan.

ANALYSIS:

Consistency with Adopted Plans and Policies
o General Plan
The TCSP is consistent with the Diamond Bar General Plan 2040 (“General Plan”), as amended, which identifies the Planning Area as a key opportunity site for reinvestment, intensification, and long-term transformation. The General Plan anticipates a transition from auto-oriented commercial development to a more compact, mixed-use pattern that supports housing production, economic vitality, and multimodal circulation.

The Specific Plan implements these objectives by establishing a comprehensive regulatory framework that allows increased residential density, a diversified mix of land uses, and form-based development standards that shape building scale, massing, and transitions. Concurrent General Plan and zoning amendments are proposed to ensure consistency between the General Plan land use designations, zoning regulations, and the Specific Plan.
o 2021-2029 Housing Element Update
The Specific Plan is consistent with the City’s certified 2021–2029 Housing Element. The Planning Area was identified in the Housing Element as a key site capable of accommodating higher-density residential development to support the City’s Regional Housing Needs Allocation (RHNA).

By allowing up to 2,055 residential units and establishing an objective Inclusionary Point System to incentivize affordable housing and mixed-use development, the Specific Plan directly supports Housing Element policies related to housing supply, housing choice, and long-term housing feasibility.

Agenda Item #: 6.1
Meeting Date: February 10, 2026
o ULI-LA Recommendations
The Town Center Specific Plan is consistent with the policy recommendations and major conclusions of the Urban Land Institute – Los Angeles (ULI-LA) Technical Assistance Panel (TAP) report, published in 2021, which recommended increased residential density and a coordinated, mixed-use approach to redevelopment in order to create a viable Town Center environment.

NOTICE OF PUBLIC HEARING:

On January 21, 2026, notification of the Planning Commission public hearing for the TCSP, including all related legislative actions, was published in the San Gabriel Valley Tribune. Public hearing notices were mailed to property owners within a 1000-foot radius of the TCSP Planning Area, inclusive of the Planning Area, and notices were posted at the City’s designated community posting sites.

PUBLIC COMMENTS RECEIVED:

Following distribution of the public hearing notice, the City received written correspondence from a nearby resident expressing concern regarding building height, massing, and potential privacy impacts where new Town Center development interfaces with existing single-family neighborhoods.

The comment requests careful consideration of building transitions, including step-backs, landscaping, placement of balconies and windows, lighting, and service areas adjacent to residential uses.

The concern raised regarding building height, massing, and potential privacy impacts at residential interfaces is a valid planning consideration. As discussed earlier in this report, the Specific Plan anticipates these issues and addresses them through objective, form-based development standards contained in Chapter 6.

Because these provisions are embedded within the adopted regulatory framework of the Specific Plan and are applied at the project level, the issues raised in the public comment are addressed through the Plan’s form-based standards and do not require additional discretionary modifications or amendments.

ENVIRONMENTAL ASSESSMENT:

In accordance with the California Environmental Quality Act (CEQA), the City, as Lead Agency, prepared a Supplemental Environmental Impact Report (SIR) to evaluate the potential environmental impacts associated with adoption and implementation of the TCSP and related legislative actions. The SIR was prepared as a supplement to the previously certified Diamond Bar General Plan 2040 and Climate Action Plan Program Environmental Impact Report (State Clearinghouse No. 2018051066), which was certified by the City Council on December 17, 2019, and as subsequently addended in conjunction with adoption of the City’s 2021–2029 Housing Element on August 11, 2022.

The City determined that an SIR was the appropriate environmental document because the Town Center Specific Plan represents a refinement and implementation of the General Plan land use framework for a defined Planning Area, and because the certified General Plan EIR and Housing Element Addendum provide relevant program-level environmental analysis. The SIR focuses on those environmental topics where additional project-specific analysis was warranted and relies on the prior EIR and addenda where impacts were previously analyzed and remain adequately addressed.

Environmental Review Process and Public Participation
On June 5, 2023, the City issued a Notice of Preparation (NOP) to solicit comments regarding the scope and

Agenda Item #: 6.1
Meeting Date: February 10, 2026
content of the SIR. The NOP was circulated to the State Clearinghouse, responsible and trustee agencies, and interested parties; published in the San Gabriel Valley Tribune; mailed to property owners and business owners within a 1,000-foot radius of the Planning Area; and distributed electronically to individuals subscribed to receive Town Center updates. The NOP was circulated for a 30-day public review period.

As part of the scoping process, the City held a public scoping meeting on June 8, 2023, at Diamond Bar City Hall, during which verbal comments were received from members of the public and considered in preparation of the Draft SIR. Written comments were also received from public agencies and individuals and were incorporated where appropriate into the environmental analysis.

Following completion of the Draft SIR, the City filed a Notice of Completion with the State Clearinghouse and a Notice of Availability with the Los Angeles County Clerk of the Board. The Draft SIR was circulated for a Statemandated 45-day public review period, which ran from August 25, 2025, through October 10, 2025. Notice of availability was published in the San Gabriel Valley Tribune, mailed to approximately 910 property owners, business owners, agencies, and interested parties, and distributed electronically to subscribers.

During the public review period, the Draft SIR was made available for review on the City’s dedicated Town Center website (www.downtown4db.com) and in hard copy at Diamond Bar City Hall and the Diamond Bar Public Library. The City received written comment letters and emails from public agencies, organizations, and members of the public during the review period.

Final Supplemental EIR
Following the close of the public review period, the City prepared a Final Supplemental EIR, which includes the Draft SIR, all written comments received during the public review period, responses to those comments, and minor revisions and clarifications to the Draft SIR where appropriate. The Final SIR does not identify any new significant impacts beyond those disclosed in the Draft SIR and reflects the City’s independent judgment and analysis as Lead Agency.

The Final SIR, together with the Mitigation Monitoring and Reporting Program (MMRP) and the Findings of Fact and Statement of Overriding Considerations (discussed in detail below), has been made available for public review on the Town Center website and in hard copy at City Hall and the Diamond Bar Public Library in advance of the Planning Commission hearing.

Environmental Impacts
The Final SIR concludes that most environmental impacts would be less than significant or mitigated to a lessthan-significant level. Significant and unavoidable impacts remain in the areas of air quality and transportation (vehicle miles traveled), consistent with CEQA Guidelines Section 15064.3.

Statement of Overriding Considerations
Because the Final Supplemental EIR identifies significant and unavoidable impacts related to air quality and transportation (vehicle miles traveled), approval of the Town Center Specific Plan would require adoption of a Statement of Overriding Considerations pursuant to CEQA Guidelines Section 15093.

As documented in the Statement of Overriding Considerations prepared for the Project, the City Council will be asked to weigh the Project’s unavoidable environmental effects against a series of economic, social, planning, and legal benefits supported by substantial evidence in the record. These benefits include, but are not limited to, the following:
• Implementation of the City’s Housing Element Commitments and RHNA Obligations.

The Specific Plan implements the City’s certified 2021–2029 Housing Element by rezoning the Town Center to permit residential development at a base density of 30 dwelling units per acre and by establishing an

Agenda Item #: 6.1
Meeting Date: February 10, 2026
Inclusionary Point System that incentivizes the production of affordable housing. The Town Center represents one of the City’s primary opportunity sites for accommodating its assigned Regional Housing Needs Allocation across multiple income categories.
• Generation of Long-Term Fiscal Benefits to the City.

The fiscal analysis prepared for the Town Center projects that redevelopment under the Specific Plan would result in a substantial positive net fiscal impact to the City’s General Fund, driven by increased property tax, sales tax, and transient occupancy tax revenues. These revenues would support essential municipal services and represent a significant improvement over the existing underutilized commercial condition of the site. • Implementation of the Community’s Longstanding Vision for a Town Center.

The Specific Plan translates the community vision established through the General Plan 2040 and subsequent public engagement into an implementable regulatory framework. The Plan reflects extensive public outreach, including workshops, study sessions, and a design charrette, and establishes form-based standards to guide future development consistent with that vision.
• Consistency with Expert Planning and Urban Design Recommendations.

The Specific Plan incorporates recommendations from the ULI-LA TAP, which concluded that higher residential densities, a coordinated street grid, and pedestrian-oriented design are necessary to create a viable and successful Town Center environment.
• Leveraging Unique Site Characteristics and Regional Accessibility.

The Plan capitalizes on the site’s topography, regional freeway access, and proximity to major employment centers to create a mixed-use destination with sufficient scale to support housing, retail, dining, and public spaces in a manner not achievable under existing zoning. • Response to Documented Market Demand.

The market analysis demonstrates long-standing unmet demand for housing and mixed-use development in Diamond Bar. The Specific Plan responds to this demand by providing new housing opportunities for a range of household types while supporting a critical mass of residents and visitors necessary to sustain a Town Center.

Ultimately, the City Council will need to determine whether these benefits, considered individually and collectively, provide the basis to determine that the Project’s unavoidable environmental impacts are acceptable in light of the Project’s overall benefits.

Mitigation Monitoring and Reporting Program
A Mitigation Monitoring and Reporting Program has been prepared to ensure implementation of all applicable mitigation measures identified in the Final SIR.

PREPARED BY:

Greg Gubman, Director, Community Development
ATTACHMENTS:

MINUTES OF THE CITY OF DIAMOND BAR

REGULAR MEETING OF THE PLANNING COMMISSION
February 10, 2026

1. CALL TO ORDER:

AC/Torres called the meeting to order at 6:30 p.m. in the Windmill Community Room, 21810 Copley Drive, Diamond Bar, CA 91765.

PLEDGE OF ALLEGIANCE: Mao
ROLL CALL: Mehta, Torres, Mao
ABSENT: Rawlings, Worthington
STAFF PRESENT: Greg Gubman, Community Development Director, Grace Lee, Planning Manager, Hal Ghafari, Public Works
Manager/Assistant City Engineer, Neal Payton, Consultant, Marie Campbell, Consultant, Arlene Laviera, Administrative Coordinator; Ricia R. Hager, Assistant City Attorney and Michael Daudt, City Attorney.

2. PUBLIC COMMENTS: None.

3. CONSENT CALENDAR:

3.1 MINUTES OF THE PLANNING COMMISSION REGULAR MEETING – November 25, 2025.

Mao moved, and Mehta seconded to approve consent calendar. Motion carried 3-0-0- 2 by the following Roll Call vote:

AYES: 3 COMMISSIONERS: Mao, Mehta, A/C Torres
NOES: 0 COMMISSIONERS: None
ABSTAIN: 0 COMMISSIONERS: None
ABSENT: 2 COMMISSIONERS: Rawlings, Worthington

4. OLD BUSINESS:

5. NEW BUSINESS:

6. PUBLIC HEARING:

6.1 Town Center Specific Plan: The proposed Diamond Bar Town Center Specific Plan (“TCSP” or "Project") establishes a comprehensive regulatory framework to guide the transformation of approximately 45 acres of existing suburban-style retail centers into a pedestrian-oriented, mixed-use downtown, or “Town Center.” The Specific Plan provides for a mix of residential, commercial, hotel, entertainment, and public open space uses, supported

February 10, 2026 PAGE 2 PLANNING COMMISSION
by form-based development standards intended to shape building scale, massing, and transitions adjacent to existing neighborhoods.

At buildout, the TCSP would allow development of up to 2,055 residential units, 200 hotel rooms, approximately 446,000 square feet of commercial space, and 40,000 square feet of public open space. Compared to development assumptions under the General Plan (as amended by the 2022 Housing Element Update), the Project increases residential capacity and open space while reducing overall commercial square footage.

Environmental review has been completed through a Final Supplemental EIR (Final “SIR”) prepared as a supplement to the previously certified General Plan EIR, including a subsequent Addendum adopted for the 2021-2029 Housing Element Update. The Final SIR identifies significant and unavoidable impacts related to air quality and transportation (vehicle miles traveled). A Statement of Overriding Considerations has been prepared to weigh the Project’s unavoidable environmental effects against a series of economic, social, planning, and legal benefits supported by substantial evidence in the record.

Required Legislative Actions
In addition to adopting the TCSP regulatory document, concurrent legislative actions include a General Plan Amendment and zoning map and text amendments. These actions align the General Plan land use designations and zoning with the Town Center Specific Plan to ensure internal consistency and to implement the Specific Plan’s land use framework.

The Planning Commission’s role is advisory. In other words, the Commission is asked to evaluate the policy framework of the Specific Plan, its consistency with adopted plans, and the adequacy of the environmental review, and to forward a recommendation to the City Council.

Enactment of the TCSP requires the following discretionary actions:

1. Adoption of the Diamond Bar Town Center Specific Plan;

2. Adoption of a General Plan Amendment;

3. Adoption of zoning map and zoning text amendments; and

4. Certification of the Final Supplemental EIR, adoption of Findings of Fact and Statement of Overriding Considerations, and adoption of the Mitigation Monitoring and Reporting Program.

The two attached resolutions drafted for the Planning Commission’s consideration incorporate recommended actions for the City Council to consider at an upcoming hearing.

Environmental Assessment:

In accordance with the California Environmental Quality Act (CEQA), the City, as Lead Agency, prepared a Supplemental Environmental Impact Report (SIR) to evaluate the potential environmental impacts associated with adoption and implementation of the TCSP and related legislative actions. The SIR was prepared as a supplement to the previously

February 10, 2026 PAGE 3 PLANNING COMMISSION
certified Diamond Bar General Plan 2040 and Climate Action Plan Program Environmental Impact Report (State Clearinghouse No. 2018051066), which was certified by the City Council on December 17, 2019, and as subsequently addended in conjunction with adoption of the City’s 2021–2029 Housing Element on August 11, 2022.

The City determined that an SIR was the appropriate environmental document because the Town Center Specific Plan represents a refinement and implementation of the General Plan land use framework for a defined Planning Area, and because the certified General Plan EIR and Housing Element Addendum provide relevant program-level environmental analysis. The SIR focuses on those environmental topics where additional project-specific analysis was warranted and relies on the prior EIR and addenda where impacts were previously analyzed and remain adequately addressed.

Environmental Review Process and Public Participation
On June 5, 2023, the City issued a Notice of Preparation (NOP) to solicit comments regarding the scope and content of the SIR. The NOP was circulated to the State Clearinghouse, responsible and trustee agencies, and interested parties; published in the San Gabriel Valley Tribune; mailed to property owners and business owners within a 1,000-foot radius of the Planning Area; and distributed electronically to individuals subscribed to receive Town Center updates. The NOP was circulated for a 30-day public review period.

As part of the scoping process, the City held a public scoping meeting on June 8, 2023, at Diamond Bar City Hall, during which verbal comments were received from members of the public and considered in preparation of the Draft SIR. Written comments were also received from public agencies and individuals and were incorporated where appropriate into the environmental analysis.

Following completion of the Draft SIR, the City filed a Notice of Completion with the State Clearinghouse and a Notice of Availability with the Los Angeles County Clerk of the Board.

The Draft SIR was circulated for a State-mandated 45-day public review period, which ran from August 25, 2025, through October 10, 2025. Notice of availability was published in the San Gabriel Valley Tribune, mailed to approximately 910 property owners, business owners, agencies, and interested parties, and distributed electronically to subscribers.

During the public review period, the Draft SIR was made available for review on the City’s dedicated Town Center website (www.downtown4db.com) and in hard copy at Diamond Bar City Hall and the Diamond Bar Public Library. The City received written comment letters and emails from public agencies, organizations, and members of the public during the review period.

Final Supplemental EIR
Following the close of the public review period, the City prepared a Final Supplemental EIR,

February 10, 2026 PAGE 4 PLANNING COMMISSION
which includes the Draft SIR, all written comments received during the public review period, responses to those comments, and minor revisions and clarifications to the Draft SIR where appropriate. The Final SIR does not identify any new significant impacts beyond those disclosed in the Draft SIR and reflects the City’s independent judgment and analysis as Lead Agency.

The Final SIR, together with the Mitigation Monitoring and Reporting Program (MMRP) and the Findings of Fact and Statement of Overriding Considerations (discussed in detail below), has been made available for public review on the Town Center website and in hard copy at City Hall and the Diamond Bar Public Library in advance of the Planning Commission hearing.

Environmental Impacts
The Final SIR concludes that most environmental impacts would be less than significant or mitigated to a less-than-significant level. Significant and unavoidable impacts remain in the areas of air quality and transportation (vehicle miles traveled), consistent with CEQA Guidelines Section 15064.3.

Statement of Overriding Considerations
Because the Final Supplemental EIR identifies significant and unavoidable impacts related to air quality and transportation (vehicle miles traveled), approval of the Town Center Specific Plan would require adoption of a Statement of Overriding Considerations pursuant to CEQA Guidelines Section 15093.

As documented in the Statement of Overriding Considerations prepared for the Project, the City Council will be asked to weigh the Project’s unavoidable environmental effects against a series of economic, social, planning, and legal benefits supported by substantial evidence in the record. These benefits include, but are not limited to, the following:
• Implementation of the City’s Housing Element Commitments and RHNA Obligations.

The Specific Plan implements the City’s certified 2021–2029 Housing Element by rezoning the Town Center to permit residential development at a base density of 30 dwelling units per acre and by establishing an Inclusionary Point System that incentivizes the production of affordable housing. The Town Center represents one of the City’s primary opportunity sites for accommodating its assigned Regional Housing Needs Allocation across multiple income categories.
• Generation of Long-Term Fiscal Benefits to the City.

The fiscal analysis prepared for the Town Center projects that redevelopment under the Specific Plan would result in a substantial positive net fiscal impact to the City’s General Fund, driven by increased property tax, sales tax, and transient occupancy tax revenues. These revenues would support essential municipal services and represent a significant improvement

February 10, 2026 PAGE 5 PLANNING COMMISSION
over the existing underutilized commercial condition of the site. • Implementation of the Community’s Longstanding Vision for a Town Center.

The Specific Plan translates the community vision established through the General Plan 2040 and subsequent public engagement into an implementable regulatory framework. The Plan reflects extensive public outreach, including workshops, study sessions, and a design charrette, and establishes form-based standards to guide future development consistent with that vision.
• Consistency with Expert Planning and Urban Design Recommendations.

The Specific Plan incorporates recommendations from the ULI-LA TAP, which concluded that higher residential densities, a coordinated street grid, and pedestrian-oriented design are necessary to create a viable and successful Town Center environment. • Leveraging Unique Site Characteristics and Regional Accessibility.

The Plan capitalizes on the site’s topography, regional freeway access, and proximity to major employment centers to create a mixed-use destination with sufficient scale to support housing, retail, dining, and public spaces in a manner not achievable under existing zoning. • Response to Documented Market Demand.

The market analysis demonstrates long-standing unmet demand for housing and mixed-use development in Diamond Bar. The Specific Plan responds to this demand by providing new housing opportunities for a range of household types while supporting a critical mass of residents and visitors necessary to sustain a Town Center.

Ultimately, the City Council will need to determine whether these benefits, considered individually and collectively, provide the basis to determine that the Project’s unavoidable environmental impacts are acceptable in light of the Project’s overall benefits.

Mitigation Monitoring and Reporting Program
A Mitigation Monitoring and Reporting Program has been prepared to ensure implementation of all applicable mitigation measures identified in the Final SIR.

Recommended Action:

1. Adopt the attached Resolution (Attachment 1) recommending that the City Council certify the Final SIR, adopt the Findings of Fact and Statement of Overriding Considerations; and

2. Adopt the attached Resolution (Attachment 2) recommending that the City Council adopt the Town Center Specific Plan and corresponding General Plan Amendment, Development Code Amendment and Zoning Map Amendment.

CDD/Gubman presented the staff report.

February 10, 2026 PAGE 6 PLANNING COMMISSION
Recess taken at 7:10 p.m. to address technical issues with audio.

The Planning Commission reconvened at 7:15 p.m.

AC/Torres opened the public hearing.

The following provided public comments:

Mario Del Hoya, resident, expressed concerns regarding traffic, parking, and safety of the children that attend nearby schools. One other concern is that his solar panels will be blocked depending on the size of the buildings within the Town Center.

Mao moved, Mehta seconded to adopt Resolution Nos. 2026-01, and 2026-02 recommending that the City Council certify the Final SIR, adopt the Findings of Fact and Statement of Overriding Considerations; and adopt the Town Center Specific Plan, corresponding General Plan Amendment, Development Code Amendment and Zoning Map Amendment subject to the conditions of approval. Motion carried 3-0-0-2 by the following Roll Call vote:

AYES: 3 COMMISSIONERS:Mao, Mehta, A/C Torres
NOES: 0 COMMISSIONERS:None
ABSTAIN: 0 COMMISSIONERS:None
ABSENT: 2 COMMISSIONERS:Rawlings, Worthington

7. PLANNING COMMISSION COMMENTS/INFORMATION ITEMS:

8. STAFF COMMENTS/INFORMATIONAL ITEMS:

CDD/Gubman informed the Planning Commission that on February 24, 2026 staff is presenting the Citywide Objective Design Standards.

9. SCHEDULE OF FUTURE EVENTS:

As noted in the agenda.

10. ADJOURNMENT: With no further business before the Planning Commission, AC/Torres adjourned the Regular Planning Commission meeting at 7:49 p.m.

The foregoing minutes are hereby approved this 10th day of February, 2026.

February 10, 2026 PAGE 7 PLANNING COMMISSION
Attest:

Respectfully Submitted,
_______________________________________
Greg Gubman, Community Development Director

____________________________
Ruben Torres, Acting Chairperson

Agenda Item #: 10.1
Meeting Date: March 3, 2026

CITY COUNCIL AGENDA REPORT
TO: Honorable Mayor and Members of the City Council
FROM: Daniel Fox, City Manager
SUBJECT: FY 2025/26 Mid-Year Budget Update.

STRATEGIC GOAL: Responsible Stewardship of Public Resources RECOMMENDATION:

Approve Resolution No. 2026-07 amending the FY 2025/26 Operating Budget.

FINANCIAL IMPACT:

The Fiscal Year (FY) 2025/26 Mid-Year budget review proposes a total increase in estimated resources of $630,177 and a total increase in expenditures of $512,050 for all funds (see table below). The impact for the General Fund is an estimated one-time increase to the General Fund’s fund balance in the amount of $94,313.

Proposed revisions to resources and appropriations, including estimated fund balances at the end of the current FY 2025/26 are included in the attached Exhibit A (Attachment 2), and are discussed throughout the report as summarized below:

FY 2025/26 Summary of Recommended Mid-Year Adjustments

Agenda Item #: 10.1
Meeting Date: March 3, 2026
BACKGROUND:

The City Council adopted Resolution No. 2025-16 in June 2025, approving the FY 2025/26 Adopted Budget. The City Council has since approved additional appropriations as they have occurred throughout the year, as well as carry-over requests from FY 2024/25. It is City policy for staff and the City Council to periodically review the annual budget and make any additional adjustments as deemed necessary. Staff has conducted the midyear review of the FY 2025/26 Adopted Budget, evaluated current revenue and expenditure trends, and confirmed the status of capital improvement projects. Based on this review, a Resolution amending the FY 2025/26 Adopted Budget is proposed for City Council consideration (Attachment 1).

ANALYSIS:

The City’s current Revised General Fund Budget for FY 2025/26 estimates anticipated resources to be $32.3 million. It is recommended that these resource estimates be increased by $604,363 to $32.9 million. The current Revised General Fund Budget for FY 2025/26 includes appropriations for expenditures totaling $34.2 million (Adopted Budget plus City Council amendments and carryovers). It is recommended that this budget be increased by $510,050 to $34.7 million. As a result of these actions, the General Fund’s fund balance reserves will increase by $94.3 thousand. If approved, year-to-date changes to the appropriated resources and uses are expected to leave the General Fund with an available fund balance of $22.5 million at the end of the fiscal year (excludes 25% Contingency Reserve), which reflects a net decrease of $1.74 million in fund balance from the prior year ending June 30, 2025 (this utilization of fund balance will fund one-time carryover appropriations for ongoing initiatives and projects from the prior year, including the transfer-out of funds to the CIP Fund for approved capital projects).

Proposed adjustments to one-time General Fund revenues, net of corresponding one-time General Fund expenditure adjustments, result in a positive balance of $357 thousand. More importantly, proposed adjustments to recurring General Fund revenues, net of recurring General Fund expenditure adjustments, result in a negative balance of $263 thousand.

This ongoing shortfall—the result of a decrease in anticipated Sales Tax revenues compared to the Adopted Budget—indicates that recurring expenditures continue to exceed recurring revenues and further underscores the City’s structural budget deficit. While one-time resources may provide temporary budgetary relief in the current fiscal year, they do not address the underlying imbalance between recurring revenues and expenditures. Absent corrective actions to realign recurring revenues and expenditures, the structural deficit is expected to persist and place continued pressure on future General Fund budgets and service levels.

General Fund Revenues:

In preparation for the mid-year budget review, staff examined the City’s revenue sources to ensure valid revenue estimates based on current trends and activities. The below table includes a summary of proposed changes to the General Fund revenue estimates. Included within the revised estimates is a decrease in Sales Tax revenues consistent with current trends, bringing the revised year-over-year increase to 0.9%, compared to the originally anticipated 4.8% increase in the Adopted Budget. Outside of the adjustments listed below, revenue sources are currently trending as anticipated in the Adopted Budget.

Agenda Item #: 10.1
Meeting Date: March 3, 2026
FY 2025/26 Recommended Mid-Year General Fund Revenue Adjustments

General Fund Expenditures
Proposed adjustments to General Fund expenditures are listed in the table below.

FY 2025/26 Recommended Mid-Year General Fund Expenditure Adjustments

Agenda Item #: 10.1
Meeting Date: March 3, 2026
Other Governmental Funds:

The following table summarizes the proposed changes in revenue and expenditures for other Governmental Funds.

FY 2025/26 Recommended Mid-Year Adjustments for Governmental Funds

PREPARED BY:

Jason Jacobsen, Finance Director
ATTACHMENTS:

1. Resolution No. 2026-07 Amending FY 2025-26 Budget

2. Exhibit A - FY 2025-26 Mid-Year Resources & Uses

RESOLUTION NO. 2026-07

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DIAMOND BAR AMENDING THE FISCAL YEAR 2025/26 MUNICIPAL BUDGET.

WHEREAS, the City Council adopted Resolution No. 2025-16 approving and adopting a budget for the City of Diamond Bar for the Fiscal Year commencing July 1, 2025 and ending June 30, 2026, including maintenance and operations, special funds and capital improvements and appropriating expenditures for all funds, departments, divisions, objects and purposes therein set forth (herein referred to as the "Budget"); and
WHEREAS, the City Council may choose to amend the Budget from time to time throughout the fiscal year; and

WHEREAS, an Amendment to the Budget has been presented to the City Council for consideration at the City Council meeting; and
WHEREAS, all legal prerequisites to the adoption of this Resolution have occurred.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Diamond Bar as follows:

Section 1. The City Council hereby approves amendments to the Fiscal Year 2025/26 Adopted Budget as set forth in the attached Exhibit A.

Section 2. There are hereby appropriated for obligations and expenditures by the City Manager the amounts shown on the attached Exhibit A. All obligations and expenditures shall be incurred and made in the manner provided by the provisions of State law and City ordinances and resolutions applicable to purchasing and contracting.

Section 3. The City Clerk shall attest and certify to the passage and adoption of this Resolution and enter it into the book of original resolutions, and it shall become effective immediately upon its approval.

PASSED, APPROVED AND ADOPTED this 3rd day of March, 2026.

CITY OF DIAMOND BAR
_________________________
Steve Tye, Mayor

Resolution No. 2026-07
2 ATTEST:

I, Kristina Santana, City Clerk of the City of Diamond Bar, do hereby certify that the foregoing Resolution was passed, adopted and approved at a regular meeting of the City Council of the City of Diamond Bar held on the 3rd day of March, 2026, by the following vote:

AYES: COUNCIL MEMBERS:

NOES: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

ABSTAINED: COUNCIL MEMBERS:
__________________________
Kristina Santana, City Clerk

Fund # Fund Title
Estimated FB
Reserves @
07/01/25 Revenues Transfers-In Carryovers Amendments
Mid-Year
Request Total Resources Appropriations Transfers-Out Carryovers Amendments Mid-Year
Request Total Uses
Estimated FB
Reserves @
06/30/26
Addition/(Use) of
Fund Balance Fund Balance Notes
100 General Fund (+ 25% Contingency) $ 32,266,964 $ 30,687,651 $ 1,647,500 $ - $ - $ 604,363 $ 32,939,514 $30,690,776 $1,595,375 $1,516,720 $371,500 $ 510,050 $ 34,684,421 $ 30,522,057 $ (1,744,907) - -
101 Com Organization Support Fund 2,062 - 20,000 - - - 20,000 20,000 - - - - 20,000 2,062 - 102 Law Enforcement Reserve Fund 1,355,922 - - - - - - - 50,000 32,268 - - 82,268 1,273,654 (82,268) 103 General Plan Update Fund 325,213 - - - - - - 12,000 - 114,482 - 2,000 128,482 196,731 (128,482) 104 Technology Reserve Fund 172,225 74,000 100,000 - - - 174,000 - 250,000 - - - 250,000 96,225 (76,000) 105 OPEB Reserve Fund 259,360 - 44,000 - - - 44,000 22,000 88,000 - - - 110,000 193,360 (66,000) 106 Covid-19 Recovery Fund (106,000) - - - - 106,000 106,000 - - - - - - - 106,000 107 Homelessness Response Fund 77,065 - 50,000 - - - 50,000 50,000 - - - - 50,000 77,065 - 201 Measure W 1,904,646 838,000 - - - - 838,000 595,556 - 921,292 444,000 - 1,960,848 781,798 (1,122,848) 202 Road Maint. & Rehab (RMRA) 2,509,135 1,501,268 - - - - 1,501,268 1,500,000 - 1,220,874 - - 2,720,874 1,289,529 (1,219,606) 203 Measure M Fund 1,469,016 980,122 - - - - 980,122 1,363,566 - 974,780 (380,000) - 1,958,346 490,792 (978,224) 204 Measure R Fund 1,361,955 862,784 - - - - 862,784 1,020,566 - 1,074,820 (500,000) - 1,595,386 629,353 (732,602) 205 Gas Tax Fund 681,022 1,566,903 - - - - 1,566,903 66,000 1,435,000 - - - 1,501,000 746,925 65,903 206 Prop A - Transit Fund 2,734,167 1,658,345 - - - - 1,658,345 1,327,001 - 600,000 2,073,333 - 4,000,334 392,178 (2,341,989) 207 Prop C - Transit Fund 1,374,024 1,153,879 - - - - 1,153,879 1,218,595 - 626,955 150,000 - 1,995,550 532,353 (841,671) 208 MAP-21 Fund 1,072 - - - - - - - - - - - 1,072 -
209 SB821 Trails (TDA) 659 - - - - - - - - 105,080 - - 105,080 (104,421) (105,080) Pending Grant Reimb. 210 MTA Grants Fund - - - - - - - - - - - - - - -
224 PLHA Fund (120,920) 390,664 - - - - 390,664 390,664 - - - - 390,664 (120,920) - Pending Grant Reimb. 225 Community Dev Block Grant Fd (7,265) 387,192 - - - - 387,192 387,192 - 81,146 - - 468,338 (88,411) (81,146) Pending Grant Reimb. 226 CASP (SB1186) Fund 65,005 8,200 - - - - 8,200 60,000 - - - - 60,000 13,205 (51,800) 238 Landscape Maint Dist - 38 (308,476) 276,780 217,326 308,477 - - 802,583 493,992 - - - - 493,992 115 308,591 239 Landscape Maint Dist - 39 858,998 687,833 45,535 - - - 733,368 1,087,817 - - - - 1,087,817 504,549 (354,449) 241 Landscape Maint Dist - 41 288,508 320,686 12,314 - - - 333,000 520,873 - - - - 520,873 100,635 (187,873) 245 Street Beautification 374,653 2,400 - - - - 2,400 - - - - - - 377,053 2,400 246 Traffic Mitigation Fund 8,791,949 150,000 - - - - 150,000 - - - - - - 8,941,949 150,000 247 Sewer Mitigation Fund 63,641 400 - - - - 400 - - - - - - 64,041 400 248 Tres Hermanos 6,923 - 80,000 - - - 80,000 80,000 - - - - 80,000 6,923 - 250 Integrated Waste Mgt Fund 2,608,339 825,670 - - - (80,186) 745,484 888,774 10,000 61,529 - - 960,303 2,393,520 (214,819) 251 Air Quality Improvement Fd 209,326 75,100 - - - - 75,100 74,000 - - - - 74,000 210,426 1,100 252 Waste Hauler Fund 272,098 174,450 - - - - 174,450 195,000 - 250,000 - - 445,000 1,548 (270,550) 253 Used Oil Grant 29,645 8,033 - - - - 8,033 7,833 - - - - 7,833 29,845 200

CITY OF DIAMOND BAR
Resources & Uses
Fiscal Year 2025/26 Budget

PROPOSED RESOURCES PROPOSED USES
EXHIBIT "A"

Fund # Fund Title
Estimated FB
Reserves @
07/01/25 Revenues Transfers-In Carryovers Amendments
Mid-Year
Request Total Resources Appropriations Transfers-Out Carryovers Amendments Mid-Year
Request Total Uses
Estimated FB
Reserves @
06/30/26
Addition/(Use) of
Fund Balance Fund Balance Notes

CITY OF DIAMOND BAR
Resources & Uses
Fiscal Year 2025/26 Budget

PROPOSED RESOURCES PROPOSED USES
254 Beverage Recycling Grant 130,584 14,800 - - - - 14,800 97,314 - - - - 97,314 48,070 (82,514) 255 LRSP Grant Fund (92) - - - - - - - - - - - - (92) - 256 Hazard Mitigation Grant Fund 5,815 - - - - - - - - - - - - 5,815 - 260 Park Fees (Quimby) Fd 140,082 500 - - - - 500 - - - - - - 140,582 500 261 Measure A Neigh. Parks Act - - - - - - - - - - - - - - - 262 Park & Facility Development Fd 2,594,022 7,300 - - 1,000,000 - 1,007,300 35,000 - 509,646 901,425 - 1,446,071 2,155,251 (438,771) 263 Prop A - Safe Neigh. Pks Fd - - - - - - - - - - - - - - - 270 PEG Fees Fund 492,986 103,800 - - - - 103,800 100,000 - - 40,000 - 140,000 456,786 (36,200) 280 Citizens Option for Public Sfty Fd 473,676 188,200 - - - - 188,200 10,000 152,500 - - - 162,500 499,376 25,700 301 Capital Improvement Project Fd (1,774,510) - - 10,118,338 1,000 - 10,119,338 - - 10,005,461 (1,165,000) - 8,840,461 (495,633) 1,278,877 Pending Grant Reimb. 401 Debt Service Fund - - 729,700 - - - 729,700 729,700 - - - - 729,700 - - 501 Self Insurance Fund 1,056,223 10,000 - - - - 10,000 650,744 100,000 - - - 750,744 315,479 (740,744) 502 Vehicle Maint & Replacement Fd 725,393 6,000 296,500 - - - 302,500 261,500 - - - - 261,500 766,393 41,000 503 Comp. Equipment Maint & Repl Fd 2,925,120 8,000 250,000 - - - 258,000 332,000 - 886,482 - - 1,218,482 1,964,638 (960,482) 504 Building Facility & Maint Fund 2,611,270 10,800 100,000 - - - 110,800 89,000 - - 119,500 - 208,500 2,513,570 (97,700) 601 OPEB Trust Fund 945,947 26,600 88,000 - - - 114,600 - - - - - - 1,060,547 114,600 Grand Totals $ 69,847,446 $ 43,006,360 $ 3,680,875 $ 10,426,815 $ 1,001,000 $ 630,177 $ 58,745,227 $ 44,377,463 $ 3,680,875 $ 18,981,535 $ 2,054,758 $ 512,050 $ 69,606,681 $ 58,985,992 $ (10,861,454)