Agenda Item: 1
CITY OF SANTA CLARITA
AGENDA REPORT
NEW BUSINESS
CITY MANAGER APPROVAL:
DATE: September 10, 2024
SUBJECT: MEMORANDUM OF UNDERSTANDING REGARDING THE
FUTURE PROPOSAL OF THE SUNRIDGE SPECIFIC PLAN
DEPARTMENT: Community Development
PRESENTER: David Peterson
RECOMMENDED ACTION
City Council approve a Memorandum of Understanding entitled “MEMORANDUM OF
UNDERSTANDING BETWEEN THE CITY OF SANTA CLARITA AND BLUE OX
HOLDINGS, LLC, REGARDING THE CITY ENTITLEMENT PROCESS FOR THE PROPOSED DEVELOPMENT OF THE 980-ACRE SPECIFIC PLAN AREA.”
BACKGROUND
At their study session on March 6, 2024, the City of Santa Claritas (City) City Council provided direction to explore the possibility of entering into a Memorandum of Understanding (MOU) with the potential applicant, Blue Ox Holdings, LLC/New Urban West (Applicant), regarding a yet-to-be-proposed specific plan on the former Whittaker-Bermite property. The project, commonly known as the Sunridge Specific Plan project, would be proposed to replace the current Porta Bella Specific Plan that was approved on the property by the City Council in 1995.
The purpose of the MOU would be to outline the future entitlement process for the potential project. Although this is not a process the City Council commonly entertains, the Applicant has completed similar MOUs with other cities for similar projects.
On July 9, 2024, the City Council Development Committee received information on a draft of the MOU provided by the Applicant. It is important to note that the MOU does not commit the City to a future decision on the project and the document would expire upon the ultimate adoption or denial of the project by the City Council. If either party breaches the MOU, the document will be terminated.
KEY POINTS
The following is a summary of key points included in the draft MOU:
• The Applicant will propose replacing the existing Porta Bella Specific Plan with a new specific plan that reflects revised land use, circulation, and open space components:
o The future project would include a zone change and a general plan amendment.
o The Applicant proposes studying up to a maximum of 6,500 residential dwelling units and up to a maximum of 2.7 million square feet of commercial space. The future project itself may not ultimately propose that number of units or that intensity of commercial space, but represents the maximum allowable development under the proposed plan. o The Applicant intends to conduct a traffic study with the goal of demonstrating that traffic-related impacts can be accommodated with reductions to the roadway network that are currently contemplated by both the General Plan and the Porta Bella Specific Plan.
Traffic from the project as well as the overall Citywide traffic pattern would need to be analyzed. Any reduction to the roadway network may require the review and approval of an amendment to the Circulation Element by the City Council. • The Applicant proposes the City Council consider financing mechanisms, including the Enhanced Infrastructure Financing District (EIFD) and/or Community Facilities District (CFD).
• The Applicant proposes negotiating a Development Agreement with the City with a potential term of between 20 and 25 years.
• The Applicant is requesting the City agree to review the project with a Program Environmental Impact Report rather than a Project Environmental Impact Report.
• The Applicant will agree to reimburse the City for any City Attorney fees regarding the review of the project.
ALTERNATIVE ACTION
Other actions as determined by the City Council.
FISCAL IMPACT
There is no fiscal impact associated with the recommended action.
ATTACHMENTS
Memorandum of Understanding