HomeMy WebLinkAboutAGENDA REPORT 2023 0517 CCSA REG ITEM 10ECITY OF MOORPARK, CALIFORNIA
City Council Meeting
of May 17, 2023
ACTION APPROVED STAFF
RECOMMENDATION.
BY A. Hurtado.
E. Consider Report of Annual Development Agreement Review, Established in
Connection with Residential Planned Development No. 2016-01 (Pacific
Communities), Located South of Los Angeles Avenue, East of Maureen Lane, and
West of Leta Yancy Road, on the Application of MP Group, LLC, Moorpark Homes,
LLC, and CLP Investment, LLC. Staff Recommendation: 1) Accept the Community
Development Director’s report and recommendation that, on the basis of
substantial evidence, MP Group, LLC, Moorpark Homes, LLC, and CLP
Investment, LLC has complied in good faith with the terms and conditions of the
agreement; and 2) Deem the annual review process for this project complete with
no further annual review necessary. (Staff: Carlene Saxton, Community
Development Director)
Item: 10.E.
MOORPARK CITY COUNCIL
AGENDA REPORT
TO: Honorable City Council
FROM: Carlene Saxton, Community Development Director
BY: Adam Pisarkiewicz, Contract Planner
DATE: 05/17/2023 Regular Meeting
SUBJECT: Consider Report of Annual Development Agreement Review,
Established in Connection with Residential Planned Development No.
2016-01 (Pacific Communities), Located South of Los Angeles
Avenue, East of Maureen Lane, and West of Leta Yancy Road, on the
Application of MP Group, LLC, Moorpark Homes, LLC, and CLP
Investment, LLC
BACKGROUND
Government Code Section 65864 and City of Moorpark Municipal Code Section 15.40
provide for Development Agreements between the City and property owners in
connection with proposed plans of development for specific properties. Development
Agreements are designed to strengthen the planning process, to provide developers
some certainty in the development process and to assure development in accordance
with the terms and conditions of the agreement.
On October 4, 2017, the Moorpark City Council adopted Ordinance No. 454 (effective
November 3, 2017), approving a Development Agreement (DA) between the City of
Moorpark and MP Group, LLC, Moorpark Homes, LLC, and CLP Investment, LLC. The
Agreement was approved in connection with Residential Planned Development Permit
No. 2016-01, allowing the construction of 284 homes consisting of 153 single family
residences and 131 detached condominium residences located on 37.09 acres south of
Los Angeles Avenue, east of Maureen Lane, and west of Leta Yancy Road known as
Pacific Communities. The Agreement remains in full force and effect for twenty (20) years
from the operative date of the Agreement, October 4, 2017. The twenty (20) year term
ends November 3, 2037.
Provisions of the agreement require an annual review and report to the City Council on
the status of completion of all aspects of the agreement. This is the first annual review of
this Development Agreement. Nelson Chung, President of Pacific Communities
Item: 10.E.
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Builder, Inc., submitted the necessary materials and fee/deposit for the 2023 annual
review. The Community Development Director has reviewed the submitted information,
the project status, and provides the following report.
DISCUSSION
Current Project Status
• City received a jurisdictional delineation report for the work within the Arroyo
Channel and the report is currently under environmental review.
• The developer is in the process of renegotiating the affordable housing
requirements. According to the developer, the affordable housing
requirement to build 25 low-income housing units renders one of the
proposed unit types, the detached townhouses (“Verbena”), is not financially
feasible. The developer has forwarded a feasibility study to the City for
review. The City is engaging with an outside consultant for review and
analysis of the study. Changes to the project approvals would require future
consideration by the City Council as an amendment to the Development
Agreement.
• The developer is currently working with the following agencies on various
plan reviews and approvals:
o Ventura County Waterworks District – Water and Sewer Plans
o Ventura County Watershed Protection District – Rough Grading Plans
for retention basins, Moorpark Storm Drain Plans, Hydrology and
Hydraulic Reports (onsite and offsite)
o Caltrans – Encroachment Permit for Los Angeles Avenue
improvements
o Southern California Edison
o Southern California Gas
o Ventura County Fire Department; and
o Ventura County Environmental Health Division
• Final Map has been prepared and will be submitted for City review once
infrastructure scope is finalized with the agencies mentioned above
Developer Compliance with Terms of Agreement
The developer’s responsibilities are included in Section 6 of the Development Agreement,
and include requirements 6.1 through 6.26, summarized below. Compliance with the
terms and conditions of the Development Agreement occurs at various stages of the
development process. Action by the developer and other clarifying information has been
noted. Where no comment appears, no specific activity has occurred.
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No. Requirement Status
6.1 Developer shall comply with the Agreement,
subsequent project approvals and Mitigation
Monitoring and Reporting Program (MMRP).
Developer has complied with the MMRP.
6.2 All lands and interests in land shall be dedicated free
and clear of liens and encumbrances.
Final Map has been prepared and all
lands and interests will be dedicated to
the City in accordance with the DA.
6.3 Payment of “Development Fees” of $9,200 per
residential unit, to be updated annually commencing on
January 1, 2019.
These fees are due upon Building Permit
for each residential unit.
6.4 Payment of the “Citywide Traffic Fee” of $12,500.00 per
residential unit to be adjusted annually commencing
January 1, 2019.
Developer will pay all traffic mitigation fees
for each lot upon issuance of Building
Permits for each dwelling.
6.5 Payment of Los Angeles Avenue Area of Contribution
(LAAOC) Fee.
These fees are due upon Building Permit
for each residential unit.
6.6 MMRP requires the developer to pay a one-time “Air
Quality Fee". The Air Quality Fee shall be $1,709.00
per dwelling unit to be adjusted annually commencing
January 1, 2019.
These fees are due upon Building Permit
for each residential unit.
6.7 Payment of a fee in lieu of park dedication “Park Fee”
of $10,500.00 for each dwelling unit within the Property,
to be adjusted annually commencing January 1, 2019.
These fees are due upon Building Permit
for each residential unit.
6.8 Payment of a “Community Services Fee” of $2,700.00
per dwelling unit, to be adjusted annually commencing
on January 1, 2019.
These fees are due upon Building Permit
for each residential unit.
6.9 Developer agrees to pay the Art in Public Places Fee
(Art Fee) in effect at the time of building permit issuance
for each building prior to the issuance of the building
permit for that residential building within the Project
consistent with City Resolution No. 2005-2408 or any
Successor Resolution (1.0 percent of total building
valuations excluding land value and off-site
improvement costs).
These fees are due upon Building Permit
for each residential unit.
6.10 Payment of all City capital improvement and processing
fees.
These fees are due upon Building Permit
for each residential unit.
6.11 Payment of all outstanding processing fees. The City’s Developer Account is current
and in good standing.
6.12 File a final map for the Project, and pay the City a
$5,000.00 Landscape Maintenance District (LMD)
Formation Fee.
Developer will work with the City to form
a LMD for the maintenance of areas
related to the project.
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No. Requirement Status
6.13 Provide a total of twenty-five (25) affordable housing
units in accordance with the agreement.
Pay the direct costs for preparation of the affordable
housing agreement up to ten thousand dollars
($10,000).
The current Vesting Tentative Tract Map
(VTTM) and DA have specified the total
number of lots and dwelling units and is
not subject to any changes in the future.
The Developer has initiated a request
with the City to re-negotiate the
requirements of the affordable housing
agreement. The ”feasibility study”
package has been forwarded to the City
for their consultant’s review. Changes to
this requirement would require action of
the City Council to amend the DA.
6.14 Pay the City for the purchase price of $1,500,000.00 or
the appraised fair market value whichever is less, (the
"Purchase Price") an approximate 1.6-acre parcel of
land.
The site has been mapped as a separate
lot and ready to be dedicated upon:
1) The recordation of the final map; and
2) The completion of site
improvements, including grading,
the frontage street, and retaining
wall along the Arroyo Simi.
The City and the Developer are in
agreement that this item will be finalized
and the dollar price set prior to the time
of property being sold; and
Developer is in compliance with all
requirements at this time.
6.15 Annual review of the DA and requirements of the
MMRP.
Developer is in compliance with all
requirements at this time.
6.16 Developer agrees that any election to acquire property
by eminent domain shall be at City's sole discretion,
and only after compliance with all legally required
procedures including but not limited to a hearing on a
proposed resolution of necessity.
No off-site property has been identified
for the action of eminent domain to date.
6.17 The street improvements shall meet current design
standards.
All street improvements subject to
dedications have been designed per the
City Engineer’s requirements.
6.18 Prior to the recordation of the final map, the developer
will ensure the project meets the requirements of this
DA and in the conditions of approval for the project.
As the final map has not yet been filed,
the Developer is in compliance with all
requirements at this time.
6.19 Agreement to pay any fees and payments pursuant to
this Agreement without reservation.
Developer is in compliance with all
requirements at this time.
6.20 In the event that fee adjustments based on Consumer
Price Index (CPI) are no longer able to use the index,
an alternative adjustment is available.
The CPI is still available and used by all
governmental agencies. Bid prices will
be used in such cases that CPI is no
longer available.
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No. Requirement Status
6.21 Developer agrees that if a Mello-Roos Community
Facilities District (CFD) is formed, the developer will
work with the City to form the CFD and pay associated
costs.
The Developer will provide deposits in
case a CFD is to be formed.
6.22 If a traffic signal is warranted, the Developer agrees to
fund its installation.
No traffic signal is required per the traffic
report on file.
6.23 Developer acknowledges the City's ability to modify the
development standards and to change the General
Plan designation and zoning of the Property upon the
termination or expiration of this Agreement.
The Developer agrees to the content of
this section
6.24 Developer agrees that the approving entitlements and
DA may expire or later be amended by the City Council.
Developer is in compliance with all
requirements at this time.
6.25 Developer agrees to form a Home Owner’s Association
(HOA).
The formation of a Home Owner’s
Association (HOA) is in process. The
Developer has preliminary HOA budget
and CC & R in hand. All material will be
submitted to the Californian Department
of Real Estate (DRE) for its approval
before the start of any sales.
6.26 Developer agrees to pay City $1,915,114.00 to
reimburse City for the cost of the improvements to Los
Angeles Avenue along the frontage of the Project. Los
Angeles Avenue Reimbursement Payment, which shall
be paid in $6,744.00, (“Reimbursement Fee”), for each
unit. The fee shall be adjusted annually starting
January 1, 2019.
Improvements to Los Angeles Avenue
along the frontage have not yet begun.
Developer will coordinate scheduling of
improvements with the City and
Caltrans.
City Compliance with Terms of Agreement
The City’s responsibilities are contained in Section 7 of the Development Agreement
and include provisions 7.1 through 7.11 summarized below.
No. Requirement Status
7.1 Agreement to commit reasonable time and resources
on expedited and parallel processing of application for
subsequent applications.
The Developer agrees to the content of this
section.
7.2 If requested, at the Developer’s cost, proceed to
acquire easements or fee title to land in order to allow
construction of required public improvements.
The Developer agrees to the content of this
section.
7.3 City agrees that upon receipt of a landowner' petition
by Developer and Developer's payment of a deposit of
fifteen thousand ($15,000.00) and agreement to
reimburse all City costs related to processing of the
proposed Mello-Roos Community Facilities District
(CFD).
The Developer agrees to the content of this
section.
7.4 Agreement to process concurrently, whenever
possible, all land use entitlements for the same
property (so long as deemed complete).
The Developer agrees to the content of this
section.
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No. Requirement Status
7.5 Agreement that Park Fee required per Section 6.7
meets obligation for park land dedication provisions of
state law and local codes.
The Developer agrees to the content of this
section.
7.6 City agrees that Developer previously paid the LAAOC
fee for eighty-seven (87) residential dwelling units in the
amount of $241,135.29 on August 3, 2001 and said
payments satisfies the LAAOC fee obligation for the
first eighty-seven (87) residential units of the Project.
Developer is in compliance with all
requirements at this time.
7.7 Agreement to facilitate reimbursement to developer of
any costs incurred to be subject to partial
reimbursement from other developers.
The Developer agrees to the content of this
section.
7.8 The City Manager is authorized to sign an Early
Grading Agreement on behalf of the City.
The Developer agrees to the content of this
section.
7.9 Provided Developer shall have duly executed and
delivered the Purchase and Sale Agreement to City,
City shall enter into the Purchase and Sale Agreement
to acquire the City Site.
The Developer agrees to the content of this
section.
7.10 City agrees that the previous Development Agreement
No. 1998-02 for the Property, approved by the City
Council by Ordinance No. 257 are both rescinded upon
the Operative Date of this Agreement. City further
agrees that the approval of Residential Planned
Development Permit No. 1996-01 and 1999-04
approved by the City Council have expired due to lack
of Project inauguration by Developer.
The Developer agrees to the content of this
section.
7.11 City agrees for purposes of Subsection 6.13(t) of this
Agreement that Cathay Bank is not considered an
affiliate of Developer. City at its sole discretion may
select lenders, escrow, title and other service providers
for the sale of the affordable units in the Project.
The Developer agrees to the content of this
section.
Evaluation of Good Faith Compliance
Based on a review of the Development Agreement Annual Review Application and the
status of the project, the Community Development Director has determined, on the basis
of substantial evidence that MP Group, LLC, Moorpark Homes, LLC, and CLP
Investment, LLC, has, to date, complied in good faith with all the te rms and conditions of
the agreement.
ENVIRONMENTAL DETERMINATION
This action is exempt from the California Environmental Quality Act (CEQA) as it does
not constitute a project, as defined by Section 15378 of the State CEQA Guidelines.
Therefore, no environmental review is required.
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FISCAL IMPACT
None.
COUNCIL GOAL COMPLIANCE
This action is consistent with Goal 1 of the City Council Goals and Objectives: “Identify
Options and Solutions to Barriers for Housing for All Economic and Age Ranges .”
STAFF RECOMMENDATION
1. Accept the Community Development Director’s report and recommendation that,
on the basis of substantial evidence, MP Group, LLC, Moorpark Homes, LLC, and
CLP Investment, LLC has complied in good faith with the terms and conditions of
the agreement; and
2. Deem the annual review process for this project complete with no further annual
review necessary.
Attachment: GIS Map of Project Site (Pacific Communities)
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ATTACHMENT
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