MEETING DATE: July 1, 2021
PROJECT NAME: Development Agreement Amendment for Intermodal Way Extension PROJECT LOCATION: Land in and near the Northwest Airport Way Master Plan APPLICATION NUMBERS: DAA 21-70
RECOMMENDATION:
This project is consistent with the General Plan, and staff recommends the Planning Commission take the following actions:
1. Adopt the Findings as outlined herein;
2. Find that adherence to the mitigation measures and reporting program contained in the project’s Mitigated Negative Declaration will mitigate all foreseeable impacts to a level of less than significant.
3. Recommend the City Council waive the first reading and substitution of the title and introduce an Ordinance approving the third Amendment to the Development Agreement (DA) between the City and CenterPoint Properties regarding the Intermodal Way Extension and for the revised conditions of approval for Container Yard 2.
Project InFORMATION
Applicant:
CenterPoint Properties
Property Owner:
CenterPoint Properties
General Plan Designation:
N/A
Zoning:
N/A
Proposed Zoning:
N/A
Existing Use:
N/A
Proposed Use:
N/A
Parcel Size
N/A
CEQA Determination
Initial Study and Mitigated Negative Declaration (IS/MND) and Mitigation Monitoring Reporting Program (MMRP) Project DescriptioN & LOCATION
This is a request to approve a third amendment to the DA between the City of Manteca and CenterPoint Properties (CenterPoint) for the Northwest Airport Way Master Plan and subsequently approve the revised conditions of approval for Container Yard 2. This DA Amendment will contractually memorialize the waiver of the operational hours restriction placed on Container Yard 2, provided that CenterPoint agrees to construct the extension of Intermodal Way in a timely manner agreed upon by both parties.
CenterPoint may develop the approved project known as Container Yard 2 (CY2), consisting of approximately 16.12 acres of a paved container yard with associated landscaping, lighting, fencing, drainage, and roadway improvements (See Figure 1 below for Site Plan). The City of Manteca Planning Commission approved the project on May 28, 2019, but placed a condition of approval limiting the hours of operation. CenterPoint appealed the Planning Commission’s approval to the City Council. The City Council modified, but maintained a condition of approval limiting operational hours. However, on September 17, 2019, the City Council adopted Resolution 2019-141, approving the removal of the condition of approval restricting operating hours and authorizing a Memorandum of Understanding with CenterPoint. The City executed the MOU with CenterPoint on October 8, 2019, contractually memorializing the waiver of the CY2 operating hours restriction and agreeing to issue a building permit for the CY2 Project, contingent upon CenterPoint constructing the Intermodal Way Extension.
Figure 1: Site Plan - Container Yard 2 (CY2)
As part of the conditions of approval approved for the project, CenterPoint was also obligated to undertake certain construction activities, including, but not limited to installing a traffic signal at the intersection of Airport Way and Street A, as shown on the site plan (Exhibit B to the Ordinance). The City has evaluated the need for the Airport Way Traffic Signal in light of CenterPoint’s obligation to construct the Intermodal Way Extension, which will divert traffic away from Airport Way. The City has determined that the Airport Way Traffic Signal is no longer warranted if the Intermodal Way Extension is completed.
The purpose of this DA Amendment is to effectuate a waiver of the operating hours restriction for CY2, and memorialize the obligations of both parties in regards to the construction of the Intermodal Way Extension.
The Intermodal Way Extension will connect the constructed portion of Intermodal Way from CenterPoint’s Container Yard 1 to the approved CY2 (See Figure 2 below for location of Intermodal Way Extension). The construction of this portion of the roadway will enable trucks to use Intermodal Way to reach their destinations within the Master Plan area, minimizing the use of Airport Way as a means for internal circulation.
Until the Intermodal Way Extension is constructed, interim access to CY2 for construction equipment and semi-truck and trailer traffic will be via Airport Way. The existing access road is located south of and adjacent to the Crothall Laundry facility. Once the Intermodal Way Extension is complete, semi-truck and trailer access to CY2 shall be via Intermodal Way and not Airport Way. After the Intermodal Way Extension has been constructed, all other automobile and motorcycle traffic shall continue to be permitted to access CY2 via Airport Way.
As part of this DA Amendment, CenterPoint will no longer be responsible for the purchasing, construction, or installation of the Airport Way Traffic signal at Airport Way and Street A.
It is understood by the City of Manteca and CenterPoint Properties that the construction of the Intermodal Way Extension is expected to take up to two years. If the construction is not completed within 2 years, and no unavoidable delay has occurred, the condition of approval for Container Yard 2 limiting hours of operation will be reinstated.
As part of the DA Amendment, the conditions of approval for Container Yard 2 will be amended (attached as Exhibit A to the Ordinance). The proposed changes to the conditions related to the Development Agreement Amendment are below (Conditions #24 and #18.f.). The conditions of approval have also been further amended to reflect corrections to minor errors included in the original conditions, as well as general updates to standard conditions, and other requests from the applicant. These conditions will be discussed further below.
Conditions to be Amended, Related to the Development Agreement Amendment Condition 24: “Property owner shall ensure at all times the hours of operation of Container Yard 2 will be no earlier than 8:00am and no later than 5:00 pm.” Based on the Memorandum of Understanding, dated October 8, 2019, and the Development Agreement Amendment for the Intermodal Way Extension, this condition is no longer necessary. This condition is modified to say “At all times, property owner shall ensure that operations do not negatively affect the quiet enjoyment of their property and quality of life for nearby residents. Property owner shall ensure noise levels generated at Container Yard 2 do not exceed City performance standards. Refer to Zoning Ordinance, Chapter 17.58, Performance Standards. Failure to comply with these standards will result in a revocation hearing.” Engineering Condition # 18.f.: “Developer shall install a traffic signal at the intersection of Airport Way and Street A, as labeled on the site plan.” This is an Engineering Division condition of approval. Per the developer’s responsibilities of the Memorandum of Understanding, dated October 8, 2019, and the Development Agreement for the Intermodal Way Extension, the construction of a traffic signal at the intersection of Airport Way and Street A is not necessary. Staff supports the removal of this condition.
Other Conditions to be Amended:
Condition # 27: “At all times, property owner shall ensure and enforce that employee parking and regular automobile parking will not be allowed on this site as it is designed. This site is approved for container parking only.” CenterPoint is requesting this condition be removed because Container Yard 2 is being developed on a speculative basis. CenterPoint proposes to modify the condition to allow flexibility for car and van parking, provided that the developer shows proper striping and drive aisles for intended use.
This is a condition of approval from the Planning Division. Staff supports the need for project flexibility provided the site remains an industrial parking and storage use appropriate to the Master Plan area, and therefore supports the removal of this condition.
Condition # 40: “Prior to building permit issuance, applicant/developer shall ensure the maximum allowed height for freestanding lighting is 20 feet (17.50.060.E.).” CenterPoint is requesting that this condition be modified to say 40 feet tall because they feel it is technologically and physically impossible to comply with City code on 20-foot light poles in the middle of drive aisles, which would be a hazard to all lot users. Per the Design Standards & Guidelines of the Master Plan, “where differences occur between the design standards of the Master Plan and the Manteca Municipal Code, the design standards of the Master Plan shall prevail (MP, 51).” The Lighting Section of the Design Guidelines states that lighting height should be appropriate to the building design, its function and location, and that light fixtures should be properly scaled to trucks in truck loading and parking areas (MP, 63), and included in the Design Standards & Guidelines Overview, includes the goal to “promote a functional and attractive environment (MP, 51).” Because of the nature of development in this industrial area, developments in the Master Plan typically have light poles that exceed 20 feet in height.
This is a Planning Division condition. Rather than modify the condition as requested, staff supports the removal of this condition.
Engineering Condition # 18.e.: “If City Council does not approve the part-width street request, the Developer shall, on behalf of the City, obtain right-of-way along the east side of Airport Way to accommodate full width street improvements.” This condition is no longer necessary because the partial lane width was approved at the City Council on August 18th, 2020. Accordingly, staff supports the removal of this condition.
Engineering Condition # 28: “The eight inch (8”) onsite water line will be maintained by the City of Manteca. Developer shall dedicate this waterline to the City and shall dedicate a waterline access and maintenance easement, over the roadway it is install in to the City of Manteca.” CenterPoint is requesting a 12” water line. Engineering Staff supports this modification, and the condition will be revised to state that a “12 inch (12”) onsite water line will be maintained…,” rather than an eight inch (8”) water line.
GIS Condition # 56: CenterPoint is requesting a diagram change to Condition # 56 from the IT Department, regarding the proposed addresses. An outdated diagram was used showing the proposed parcels and addresses. This condition will be updated to reflect the current parcel map and proposed addresses of the area.
The following standard condition has been added to update the conditions so they reflect the City’s current standards and expectations:
Prior to building permit issuance, applicant shall note that pursuant to the three-party settlement agreement between the City of Lathrop, the City of Manteca, and CenterPoint Properties, applicant shall pay an appropriate regional transportation impact fee, as determined by the Development Services Director.
This condition is in response to the settlement agreement in 2011 with the City of Manteca, the City of Lathrop, and CenterPoint Properties.
ANALYSIS
The proposed Planned Development Overlay and Tentative Subdivision Map are analyzed with respect to conformance with:
Findings Based on the Manteca General Plan and CEQA
California Environmental Quality Act (CEQA)
FINDINGS:
A Development Agreement Amendment may be granted when the City Council makes the following findings specifying that the Development Agreement:
FINDING # 1: Is consistent with the objectives, policies, and general land uses specified in the General Plan and any applicable Specific Plans.
General Plan Compliance:
This DAA and the revised conditions of approval for Container Yard 2 are consistent with the City of Manteca General Plan 2023 and supports the following goals, policies, and implementation programs:
LU-P-32: The City shall continue to support full development of its existing industrial park.
Approval of this DAA and the revised conditions of approval for CY2 support the full development of the Northwest Airport Way Master Plan, an existing industrial park in Manteca, in that it consists of the completion of one of the Plan area’s internal roads, which will allow truck traffic to move more efficiently to reach their destinations, and to stay off of Airport Way. Completion of this road segment will also make the currently undeveloped parcels in the Master Plan area more attractive for development because the circulation plan will be more complete, and these parcels will be capable of being accessed more efficiently, keeping truck traffic off of Airport Way.
Goal C-1: Provide for a circulation system that allows for the efficient movement of people, goods, and services within and through Manteca while minimizing public costs to build and maintain the system.
This DAA and the revised conditions of approval for CY2 will improve the circulation system by constructing the missing extension of Intermodal Way in a timely manner. This will enable trucks to use Intermodal Way to access the Master Plan area, keeping off of Airport Way, which will decrease traffic impacts on Airport Way.
C-P-7: The street system shall be expanded in a contiguous and concentric manner to serve new development areas and to provide improved circulation for existing residents.
This DAA and the revised conditions of approval for CY2 will allow for the expedited construction of the Intermodal Way Extension, which will enable the street system within the Northwest Airport Way Master Plan to be further developed in a contiguous and concentric manner to serve the new and existing developments in the Master Plan area. The construction of the Intermodal Way Extension will provide for improved circulation for the nearby residents in that trucks will not be using Airport Way to access the Master Plan area, which will result in a net decrease in traffic on Airport Way between Lovelace Road and Lathrop Road, and a resulting reduction in Vehicle Miles Traveled (VMT) (MND, 94). Furthermore, the MND states that, “with implementation of the project, Fehr & Peers projects a minor decrease (less than one-half of one percent - 0.5%) in traffic on Lathrop Road between Airport Way and McKinley Avenue… and a minor decrease (less than one-half of one percent - 0.5%) in traffic on McKinley Avenue, south of Lathrop Road (MND, 94).” According to the Final Cumulative No Project and Cumulative With Project Level of Service Analysis prepared by Fehr & Peers, the proposed Project would reduce overall operational VMT by 1,910 average daily trips (ADT) under cumulative conditions (MND, 94). In summary, the results of the traffic analysis’ Cumulative Level of Service Analysis - No Project versus with Project ADT Volumes are the following (MND, 95):
1. Marginal increase in traffic volumes on Roth Road between Airport Way and I-5.
2. No change/impact to Lathrop Road between McKinley Avenue and I-5.
3. Marginal increase in traffic volumes on Airport Way between French Camp Road and Lovelace Road.
4. Marginal decrease in traffic volumes on Airport Way between Lovelace Road and Tactical Way.
5. Net decrease in traffic volumes on Airport Way between Tactical Way and Lathrop Road.
6. No change in traffic volumes on Airport Way between Lathrop Road and Yosemite Avenue.
7. Net decrease in traffic volumes on Lathrop Road east of Airport Way.
8. Net decrease in traffic volumes on Lathrop Road between Airport Way and McKinley Avenue.
9. No change in traffic volumes on Lathrop Road between McKinley Avenue and Interstate 5 Interchange.
10. No change in traffic volumes on Spartan Way between Interstate 5 Interchange and Golden Valley Parkway.
Goal N-1: Protect the residents of Manteca from the harmful and annoying effects of exposure to excessive noise.
The Intermodal Way Extension will protect the residents of Manteca from the harmful and annoying effects of exposure to excessive noise in that it will enable trucks to stay off of Airport Way, reducing truck-related noises near the Master Plan area and the nearby residences. According to the IS-MND, “the project would reduce noise on some adjacent roadways located closer to existing residential receptors, since it would divert some traffic (including truck traffic) that would otherwise travel along these roadways (such as Airport Way), resulting in a less-than-significant impact generated from project-related traffic noise (MND, 81).” Additionally, construction noises, including vibration, are not expected to exceed acceptable levels (MND, 80 & 82-83), and the project will comply with the following mitigation measure related to noise:
Mitigation Measure NOISE-1: During project construction activities, the applicant shall require its construction contractors to adhere to the following noise attenuation requirements:
Construction activities shall be limited to the hours between 7 a.m. to 8 p.m. daily. The City of Manteca Director of Public Works shall have the discretion to permit construction activities to occur outside of allowable hours if compelling circumstances warrant such an exception (e.g., weather conditions necessary to pour concrete). All construction equipment shall use noise-reduction features (e.g., mufflers and engine shrouds) that are no less effective than those originally installed by the manufacturer. If no noise-reduction features were installed by the manufacturer, then the contractor shall require that at least a muffler be installed on the equipment. Construction staging and heavy equipment maintenance activities shall be performed a minimum distance of 300 feet from the nearest residence, unless safety or technical factors take precedence (e.g., an equipment breakdown). A 10-foot-high construction noise barrier shall be installed along the edge of the project site within 300 feet of any offsite residence prior to start of grading activities, as applicable. The noise barrier shall either be constructed of a minimum 0.5-inch plywood or utilize acoustical blankets with a minimum Sound Transmission Class of 12. The barrier shall remain in place until noise intensive aspects of construction are completed.
Master Plan Compliance:
The Development Agreement Amendment and the revised conditions of approval for Container Yard 2 are also consistent with the goals and principles of the Northwest Airport Way Master Plan. Guiding Principle #2 states, “Provide an adequate internal roadway system within the Plan Area for all phases of development (Master Plan, 11).” With the completion of the Intermodal Way Extension, the circulation system in and near the Master Plan area will be improved because trucks will be able to use Intermodal Way, rather than Airport Way, to reach their destinations within the Master Plan area.
As stated in the Master Plan’s Circulation section of Plan Components, “the primary goal of the circulation system is to provide a network of roadways that allows for the safe and efficient movement of goods, people and services within the Plan Area and to provide proper connections to the existing network of roadways and routes in the City of Manteca (Master Plan, 16).” Private Roadway “F” (Intermodal Way) at Roth Road is intended to be used as one of the major entries to the Plan Area for trucks (Master Plan, 16). The completion of the Intermodal Way Extension will help fully realize this circulation intention, as the trucks will now be able to reach their destinations without using Airport Way.
FINDING # 2: Is compatible and in conformity with public convenience, general welfare, and good land use and zoning practice.
The Intermodal Way Extension is a roadway infrastructure project, which will increase roadway linkages within the Master Plan area. According to the traffic consultant, Fehr & Peers, this will result in a net decrease in traffic on Airport Way between Lovelace Road and Lathrop Road, as well as a resulting reduction in VMT (MND, 94). The MND adds, “The proposed project has been designed to complete the internal roadway network, provide a direct route to and from Roth Road, and reduce traffic volumes on Airport Way between Lovelace Road and Lathrop Road. With implementation of the project, Fehr & Peers projects a minor decrease (less than one-half of one percent - 0.5%) in traffic on Lathrop Road between Airport Way and McKinley Avenue. Furthermore, Fehr & Peers projects a minor decrease (less than one-half of one percent - 0.5%) in traffic on McKinley Avenue, south of Lathrop Road (MND, 94). According to the Final Cumulative No Project and Cumulative With Project Level of Service analysis prepared by Fehr & Peers, the proposed Project would reduce overall operational VMT by 1,910 ADT volume (net) under cumulative conditions (MND, 94).” The results of the analysis show that the proposed project would result in the following (MND, 95):
1. Marginal increase in traffic volumes on Roth Road between Airport Way and I-5.
2. No change / impact to Lathrop Road between McKinley Avenue and I-5
3. Marginal increase in traffic volumes on Airport Way between French Camp Road and Lovelace Road
4. Marginal decrease in traffic volumes on Airport Way between Lovelace Road and Tactical Way
5. Net decrease in traffic volumes on Airport Way between Tactical Way and Lathrop Road
6. No change in traffic volumes on Airport Way between Lathrop Road and Yosemite Avenue
7. Net decrease in traffic volumes on Lathrop Road east of Airport Way
8. Net decrease in traffic volumes on Lathrop Road between Airport Way and McKinley Avenue.
The construction of the Intermodal Way Extension will enable trucks to avoid Airport Way to access the Master Plan Area, which will alleviate growing concerns about truck traffic along Airport Way, which currently causes a real and perceived nuisance to nearby residential areas.
FINDING # 3: Will not be detrimental to health, safety, and general welfare of the city.
Moving truck traffic off of Airport Way near the Master Plan area and close to residential uses is a positive step in improving the health, safety, and general welfare of the city. As stated above, the Intermodal Way Extension is a roadway infrastructure project, which will increase roadway linkages within the Master Plan area. According to the traffic consultant, Fehr & Peers, this will result in a net decrease in traffic on Airport Way between Lovelace Road and Lathrop Road, as well as a resulting reduction in VMT (MND, 94). The construction of the Intermodal Way Extension will enable trucks to avoid Airport Way to access the Master Plan Area, which will alleviate growing concerns about truck traffic along Airport Way.
FINDING # 4: Will not adversely affect the orderly development of property or the preservation of property values.
As stated above, the Intermodal Way Extension is a roadway infrastructure project, which will increase roadway linkages within the Master Plan, reducing the amount of truck traffic on Airport Way. Therefore, this project will not negatively affect the orderly development of property or the preservation of property values.
ENVIRONMENTAL REVIEW
An Initial Study with a Mitigated Negative Declaration was prepared for the project, and was found that the project will not have a significant impact, provided the recommended mitigations are implemented. The mitigation measures are included in the environmental document, available on the City website.
ATTACHMENTS:
Attachment 1A – City Council Ordinance
Attachment 1A.1- Third Amendment to the CenterPoint Development Agreement Attachment 1A.2- Revised Conditions of Approval for CY2 Attachment 1A.3- Site Plan for CY2
Attachment 1B- Memorandum of Understanding
Report prepared by: Mallorie Fenrich, Associate Planner Reviewed by:
Lea Simvoulakis, Senior Planner/Acting Planner Manager Date Approved by:
Chris Erias, Development Services Director Date
ATTACHMENT 1ATTACHMENT 1
ATTACHMENT 1
ATTACHMENT 1
ATTACHMENT 1ATTACHMENT 1City of Manteca Planning Commission ATTACHMENT 1
ATTACHMENT 1
AGENDA REPORT