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Attachment 1 Resolution authorizing execution of Funding Agreement

Salinas City Council
May 24, 2022

Document
Attachment 1 Resolution authorizing execution of Funding Agreement
Meeting
May 24, 2022
Body
Salinas City Council
Original file
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RESOLUTION NO. (N.C.S.)

A RESOLUTION AUTHORIZING THE MAYOR TO EXECUTE A FUNDING AGREEMENT FOR THE FERRASCI BUSINESS CENTER SPECIFIC PLAN AND ALSO AUTHORIZING THE ESTBALISHMENT OF A CAPITAL IMPROVEMENT PROJECT AND APPROPRIATION OF FUNDING RELATED TO THE SPECIFIC PLAN WHEREAS, the Economic Development Element (EDE, 2017) identifies an area outside the City’s current northern Sphere of Influence boundary as a future growth area for economic development. The lands which comprise EDE Economic Opportunity Area K (EOA K), include a Target Area, where near to mid-term development (three (3) to five (5) years) is projected by the City; and WHEREAS, with the adoption of the EDE, the General Plan Land Use and Circulation Map was amended to reflect Business Park and Commercial Retail uses in Target Area K and projected development capacity impacts were evaluated in the EDE Program EIR, certified by the City Council on December 5, 2017; and WHEREAS, the Salinas General Plan requires the approval of Specific Plans by the City prior to any development in the Future Growth Area; and WHEREAS, in June 2021, the City received applications for the proposed Ferrasci Business Center Specific Plan, Sphere of Influence Amendment and Annexation (reorganzation), General Plan Amendment and Prezoning of EDE Target Area K (Project); and WHEREAS, the City has determined that an Environmental Impact Report must be prepared to analyze the potential environmental impacts of the Ferrasci Business Center Specific Plan in accordance with the requirements of the California Environmental Quality Act (CEQA); and WHEREAS, outside planning and technical project support is required for the preparation, packaging and processing of planning entitlements and associated Califonia Environmental Quality Act (CEQA) compliance for the proposed Project; and WHEREAS, on February 17, 2022, the City issued a Request for Proposals seeking a consultant team, or consultant teams, that have extensive experience in preparing General Plan Amendments, Pre-Zoning applications, Sphere of Influence Amendment and Annexation applications, Specific Plans, and associated California Environmental Quality Act (CEQA) documents for the Project; and WHEREAS, one proposal from EMC Planning Group was submitted by the March 25th deadline. Staff evaluated EMC’s proposal and confirmed EMC has the qualifications and experience to perform the requested work; and WHEREAS, the cost of the Environmental Impact Report is defined as $486,128.50; and WHEREAS, pursuant to separate resolution, the City will enter into an Agreement for Professional Services EMC Planning Group to process the Environmental Impact Report and support planning services, as such provided in the May 24, 2022 City Council Staff Report separate resolution, the City; and WHEREAS, one proposal from EMC Planning Group was submitted by the March 25th deadline. Staff evaluated EMC’s proposal and confirmed EMC has the qualifications and experience to perform the requested work; and WHEREAS, the applicant agrees to be responsible for all costs and expenses associated with contract consultants’ work, city staff time to administer consultant agreement(s) and work, and city staff time for project management and administrative costs and expenses incurred with the processing of Project entitlements; and WHEREAS, the City desires to enter into a Funding Agreement, incorporated herein and prepared to establish the terms and conditions for reimbursement; and WHEREAS, the action of authorizing the execution of the proposed Agreement is not a project as defined by the California Environmental Quality Act (CEQA) Section 15061 (b) (3) as there is no possibility that the activity in question, in this case the execution of the Funding Agreement, may have a significant effect on the environment. Execution of the Funding Agreement allows the City to proceed to process the submitted applications and prepare the required CEQA compliance for the Project.

NOW, THEREFORE, BE IT RESOLVED that the Salinas City Council authorizes The establishment of a new Capital Improvement Project (CIP) for the processing of the Ferrasci Business Center Specific Plan entitlements (Project), which will be fully funded through the Special Construction Assistance Fund (5203), The Mayor to execute a Funding Agreement with the Chris Steinbruner, an individual and Michael Mueller, an individual (Developer) under which City will be reimbursed for all Project costs and expenses and administrative overhead incurred with the processing of Project entitlements; and The appropriation of up to $500,000 to Fund 5203 for consultant planning and technical support ($486,128.50) and City staff time for project management and processing ($13,871.50), and directing initial deposit and corresponding reimbursement revenue of up to $500,000 from the Developer back into Fund 5203.

PASSED AND APPROVED this 24th day of May 2022, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

APPROVED:
________________________
Kimbley Craig, Mayor
ATTEST:
_________________________
Patricia M. Barajas, City Clerk
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