Agenda Item
City Council
Item #: 3.9. 6/14/2022 File #: 22-0326
TO: Honorable Mayor and Members of the City Council
THRU: Rob Houston, City Manager
FROM: Susan Galvan, Interim Community Development Director
1. SUBJECT
First Amendment to Consultant Services Agreement with PlaceWorks, Inc. for preparation of a Transfer of Development Rights Ordinance.
2. SUMMARY
The City currently has an agreement with PlaceWorks, Inc. to prepare a feasibility study of a Transfer of Development Rights Program. The proposed First Amendment will increase the amount by $30,000, for a total amount not-to-exceed of $54,749.00 for the preparation of a Transfer of Development Rights Ordinance.
3. RECOMMENDED ACTION
Approve the First Amendment to agreement with PlaceWorks for the preparation of a Transfer of Development Rights Ordinance; and authorize the Mayor and the City Clerk to execute on behalf of the City.
4. FISCAL IMPACT
The total expenditure for this agreement amendment is $30,000.00 and will be funded through Senate Bill 2 (SB-2) Planning Grant Program - Building Homes and Jobs Act funds (312).
5. STRATEGIC PLAN GOALS
Goal 5: Recognize, promote and preserve Orange’s rich heritage. b. Expand and strengthen processes and practices related to protection and cultural resources.
Goal 3: Enhance and promote quality of life in the community. b: Support and enhance attractive, diverse living environment.
6. DISCUSSION AND BACKGROUND
The Land Use Element of the General Plan identifies Transfer of Development Rights (TDR) as a possible means of incentivizing housing production, historic preservation, economic development, and the creation of open space. The City entered into an agreement with PlaceWorks, Inc. on September 15, 2021 for the preparation of a feasibility study to determine whether a TDR program would be viable in Orange. PlaceWorks was selected based on their understanding of the work effort, knowledge of and experience working with development right transfers, and the qualifications and relevant experience of the overall project team.
A TDR program would serve to provide a historic preservation incentive to property owners in the City of Orange Printed on 6/9/2022Page 1 of 2
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Item #: 3.9. 6/14/2022 File #: 22-0326
A TDR program would serve to provide a historic preservation incentive to property owners in the Plaza District by enabling the transfer of un-used development rights to properties in the city’sUrban Mixed Use (UMU) and Neighborhood Mixed Use (NMU) zones where higher density development is planned and is appropriate based on the development context.
The transferring of development rights is also contemplated between sites in the UMU zone for purposes of increased housing density and providing land area for the development of urban open spaces such as parks or other passive space that could provide an amenity to UMU or NMU district residents and contribute to a high-quality living environment.
The Implementation Program of the General Plan also identifies development of a TDR program as an action item. Relevant excerpts from the General Plan are provided as attachments to this report.
Since completion of PlaceWorks feasibility study in February 2022, the findings indicate that a TDR program would be viable. In addition, staff has determined that development of the TDR program may also take into consideration the incorporation of privately zoned open space properties into the program in some manner that would provide options for these sites.
Preparation of an ordinance and associated TDR program parameters is needed to bring this concept to fruition. The consultant Services Agreement with PlaceWorks including the scope of work, is provided as an Attachment to this report. Staff is requesting approval of the First Amendment to the agreement for the preparation of a TDR Ordinance which brings the total cost of services performed by PlaceWorks to a not-to-exceed amount of $54,749.00.
7. ATTACHMENTS
· First Amendment to Consultant Services Agreement
· General Plan Land Use Element excerpt
· General Plan Implementation Program excerpt
City of Orange Printed on 6/9/2022Page 2 of 2
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