City Council Staff Report Page 1 of 3 June 23, 2026
Staff Report
Agenda Item No. 6.2
DATE: June 23, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Joan Malloy, City Manager
SUBJECT: Adopt a Resolution Authorizing the City Manager to Enter Into a Consulting Services Agreement With First Carbon Solutions for Environmental Review Services and the Preparation of an Environmental Impact Report for the O’Connell Lane Residential Project
EXECUTIVE SUMMARY
Staff recommends that the City Council adopt the proposed Resolution authorizing the City Manager to execute a Consulting Services Agreement with First Carbon Solutions for environmental review services and the preparation of an Environmental Impact Report in conformance with the California Environmental Quality Act (CEQA) for the O’Connell Lane Residential Project in an amount not to exceed $527,946, including a 20% contingency. See Exhibit A for the CEQA scope of work, budget, and schedule.
STRATEGIC PLAN ALIGNMENT
This project is consistent with Strategic Plan Goal C, Strategy 5: Promote housing development for all income levels in the community.
BACKGROUND
The hillside has long been of significant importance to Union City and its residents. The area was the subject of the voter-approved Measure B in 1989, which required the preparation of a Hillside Area Plan and established the 16 planning goals to guide future preservation and development efforts.
The Hillside Area Plan (“HAP”), adopted on July 25, 1995, provides detailed policy guidance for the Union City Hillside Area. The hillside area was also the subject of Measure II in 1996, which required a vote of the people of Union City to change the development policies included in the HAP. Measure II also required that a Specific Plan be prepared prior to any development taking place in portions of the Union City Hillside Area that were designated “Agricultural” as of July 17, 1989.
In 2020, Calibr Ventures Incorporated (“Calibr”) approached the City with two residential Agenda Item No. 6.2
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development proposals in the hillside area, including a proposal on lands with an Agricultural General Plan and Zoning designation and a proposal at the end of Appian Way. In response, the City hired a consultant, at the applicant’s expense, to prepare a Specific Plan, as required by the HAP, for the development of lands designated Agricultural. Subsequently, Calibr requested that the Appian Way project be processed separately from the other hillside project, as it did not trigger preparation of the Specific Plan because of the site’s existing residential General Plan and Zoning designations. The Appian Way project is progressing and will be reviewed by decision-makers in the next few months. In addition, Calibr paused preparation of the Specific Plan, indicating that they would work with their consulting team to prepare a draft for City review.
In February 2026, the City received an application submittal for the project proposed on lands with an Agricultural designation, referred to as the O’Connell Lane Residential Project (“Project”), that included the following:
• A draft Specific Plan, referred to as the Union City Hillside Specific Plan (“UCHSP”), focused on the lands included in the Project scope; • Related General Plan and Zoning Map/Text Amendments to implement the UCHSP (AG-26-001, AT-26-001, A-26-001);
• Tentative Tract Map to accommodate 403 single-family and multi-family residential units clustered on 57 acres (TTM-26-001); and • A Development Agreement.
Additional project components include:
• On- and off-site infrastructure to support the new development including upgrades to O’Connell Lane and a new water tank in Fremont; • Approximately 1,047 acres within Union City and approximately 158 acres within Fremont offered for dedication to East Bay Regional Park District (“EBRPD”); and
• A new EBRPD recreational staging area in Fremont and related access road.
Staff completed an initial review of the application submittal and provided comments on application completeness (i.e., additional information required to review the application) in May. Next steps will be to begin assessing the draft Specific Plan and other materials for consistency with the City’s General Plan, the HAP, and other relevant policies and regulations, and initiate the environmental review process.
DISCUSSION
An Environmental Impact Report (EIR) is required to evaluate the Project in a manner consistent with the California Environmental Quality Act (CEQA). The City requested a proposal from two firms that are on the City’s pre-qualified Environmental Review On-Call Consultant List. Both firms are well qualified and provided similar scopes of work and similar schedules. The main difference was that First Carbon Solutions' proposal was approximately $100,000 lower, primarily due to differences in billing rates. Based on a thorough review of both proposals, staff recommends selecting First Carbon Solutions to prepare the EIR.
First Carbon Solutions is a qualified firm with over 42 years of experience preparing CEQA Agenda Item No. 6.2
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documentation and supporting technical analyses throughout the State, including Alameda County. The EIR scope of work is attached (Exhibit A).
FISCAL IMPACT
There is no impact to the General Fund. Calibr will pay for the agreement with First Carbon Solutions. Calibr will also pay for City staff’s time associated with the administration of the consultant contract and the oversight of the preparation of the environmental documents.
RECOMMENDATION
Staff recommends that the City Council adopt the attached Resolution (Attachment 1) authorizing the City Manager to enter into a Consulting Services Agreement, in a form approved by the City Attorney, with First Carbon Solutions for environmental review services and preparation of an Environmental Impact Report for the O’Connell Lane Residential Project, in an amount not to exceed $527,946.
Prepared by: Lynette Diaz, Contract Planner
Submitted by: Carmela Campbell, Economic and Community Development Director Attachments
1. Draft Resolution
2. Exhibit A – Scope of Work