Placentia Cit Council
AGENDA REPORT
TO: CITY COUNCIL
VIA: CITY ADMINISTRATOR
FROM: DIRECTOR OF DEVELOPMENT SERVICES
DATE: JUNE 20, 2023
SUBJECT: PROFESSIONAL SERVICES AGREEMENT WITH LSA ASSOCIATES, INC., FOR
PREPARATION OF SUPPLEMENTAL CALIFORNIA ENVIRONMENTAL
QUALITY ACT (CEQA) DOCUMENTATION REGARDING EXPANSION OF THE
CITY'S TRANSIT ORIENTED DEVELOPMENT (TOD) PACKINGHOUSE
DISTRICT
FISCAL
IMPACT: EXPENSE: $ 117,180 PROFESSIONAL SERVICES AGREEMENT BUDGET: $ 231,000 FY 2023-24 OPERATING BUDGET (742531-6099) SUMMARY:
On March 15, 2022, the City Council approved the "Sixth Cycle" 2021-2029 Housing Element.
The adopted Housing Element includes strategies to accommodate the Regional Housing Needs Assessment (RHNA) shortfall of approximately 1,137 potential housing units. One of the City Council adopted strategies was expansion of the City's Transit Oriented Development (TOD) Packinghouse District. The Southern California Association of Governments (SCAG) has offered the Planning Services of Interwest Planning Consultants, funded via SCAG Regional Early Action Planning (REAP) funding to complete the contemplated TOD Zone expansion. However, California Environmental Quality Act (CEQA) documentation is not covered under REAP, and such documentation is necessary to accommodate the corresponding General Plan Amendment and Zone Change. SCAG has designated LSA Associates, Inc. as an approved consulting firm to provide CEQA documentation for REAP funded projects. Therefore, Staff seeks approval of a Professional Services Agreement with LSA Associates, Inc., for preparation of supplemental CEQA documentation regarding expansion of the City's TOD District.
RECOMMENDATION:
It is recommended that the City Council take the following actions:
1. Approve a Professional Services Agreement with LSA Associates, Inc., for preparation of supplemental CEQA documentation regarding expansion of the City's Transit Oriented Development (TOD) Packinghouse District; and
2. Authorize the City Administrator to approve contract change orders up to 10% of the contract not -to -exceed amount, or $11,718; and
1.p.
June 20, 2023
City Council Agenda
June 20, 2023
3. Adopt Resolution No. R-2023-52, A Resolution of the City Council of the City of Placentia, California authorizing a budget amendment in Fiscal Year 2023-24 in compliance with City Charter of the City of Placentia §§1206 and §§1209 pertaining to appropriations for actual expenditures; and
4. Authorize the City Administrator and/or his designee to execute the necessary documents, in a form approved by the City Attorney.
STRATEGIC PLAN STATEMENT:
This Council action is generally related to Goal 3 to promote Community and Economic Development. This action is consistent with and furthers Objective 3.10: Implementation of Housing Element Strategies in that expansion of the City's TOD District is one of the specific objectives of the adopted "Sixth Cycle" 2021-2029 Housing Element.
BACKGROUND:
On March 15, 2022, the City Council approved the "Sixth Cycle" 2021-2029 Housing Element.
The adopted Housing Element includes strategies to accommodate the Regional Housing Needs Assessment (RHNA) shortfall of approximately 1,137 potential housing units. Although the total RHNA allocated to the City of Placentia is 4,398 units for the Sixth Cycle, the projected shortfall of units that cannot be accommodated under current Zoning/Land Use designations is 1,137 units.
The adopted Sixth Cycle Housing Element includes the following rezoning strategies:
Strategy Description
1. TOD Zone The TOD zoning district currently allows up to 95 units/acre in some subareas.
Expansion This strategy would expand the boundaries of the TOD district.
2. Increase R-3 The current R-3 maximum density is 25 units/acre. Under State law, a density density of 30 units/acre is considered sufficient to accommodate lower-income housing. Increasing the allowable density from 25 to at least 30 units/acre would accomplish 2 things: 1) create additional housing capacity; and 2) allow R3 properties to accommodate lower-income housing for RHNA purposes.
In addition to identifying areas where additional housing could be accommodated through rezoning, State law requires the rezoning of those properties before State certification of the Element can be achieved. The increase of R-3 density from 25 to 30 units/acre was prepared by Staff and adopted by City Council via a Zoning Code Amendment and General Plan Amendment in November 2022. Therefore, one of two RHNA shortfall strategies has been accomplished by Staff. The next step to achieving State certification of the Sixth Cycle Housing Element is to complete the City Council adopted strategy to expand the TOD Zone and corresponding General Plan Land Use designation.
City Council Agenda
June 20, 2023
DISCUSSION:
The City has been awarded REAP funding from SCAG to complete the contemplated TOD Zone expansion and corresponding General Plan Amendment. The REAP funding will be utilized by SCAG to hire the Planning Services of Interwest Planning Consultants on behalf of the City of Placentia. However, CEQA documentation is not covered under REAP, and such documentation is necessary to accommodate the corresponding General Plan Amendment and Zone Change.
SCAG has designated LSA Associates, Inc. as an approved consulting firm to provide CEQA documentation for REAP funded projects. Therefore, the recommended actions would approve a Professional Services Agreement with LSA Associates, Inc., in the amount of $117,180 for preparation of supplemental CEQA documentation regarding expansion of the City's TOD District.
It should be noted that the resulting CEQA documentation and related studies/findings will also be utilized to craft updated TOD Development Impact Fees to address impacts associated with more development in the project area. It is possible future development could also benefit from the updated CEQA documentation, as it may be possible to rely on that documentation in some form for project level approvals.
FISCAL IMPACT:
The proposed contract not -to -exceed amount for the Professional Services Agreement with LSA Associates, Inc., totals $117,180 for preparation of supplemental CEQA documentation regarding expansion of the City's TOD District. Resolution No. R-2023-52 (Attachment 2) is recommended for approval to appropriate General Plan Update Fee funds for these services. As such, sufficient funds exist for the recommended actions.
Prepared by: Reviewed and approved:
sd ph M. Lambert Jennifer Lampman
Director of Development Services Director of Finance
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Reviewed and approved:
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Damien R. Arrula
City Administrator
Attachments:
1. Professional Services Agreement with LSA Associates, Inc.
2. Budget Amendment Resolution No. 2023-52