HomeMy WebLinkAboutAGENDA REPORT 2018 0516 CCSA REG ITEM 10ECITY OF MOORPARK,
CALIFORNIA
City Council Meeting
of May 16, 2018
ACTION Approved staff
recommendation
BY M. Benson
MOORPARK CITY COUNCIL
AGENDA REPORT
TO: Honorable City Council
FROM: David A. Bobardt, Community Development Director
DATE: May 2, 2018 (CC Meeting of 5/16/2018)
SUBJECT: Consider Report of Annual Development Agreement Review,
Established in Connection with Meridian Hills Development Project,
Tracts 5187-1&2, Located on 350 Acres on the West Side of Walnut
Canyon Road at Meridian Hills Drive, on the Application of K.
Hovnanian Homes
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 February 6, 2002, the Moorpark City Council adopted Ordinance No. 277 (effective
March 8, 2002), approving a Development Agreement between the City of Moorpark
and West Pointe Homes, Inc. The agreement was approved in connection with the Tract
No. 5187/RPD No. 1999-02, a 248 single-family residential development on a portion of
a 350-acre site, located on the west side of Walnut Canyon Road, approximately 3,500
feet north of Casey Road. The agreement remains in full force and effect for twenty (20)
years from the operative date of the agreement (until March 8, 2022), or until the close
of escrow on the initial sale of the last Affordable Housing Unit, whichever occurs last.
In 2003, William Lyon Homes, Inc. purchased the project from West Pointe Homes,
graded and improved the site, and built the first 65 homes. In 2008, Resmark Equity
Partners, LLC purchased the project from William Lyon Homes. Resmark completed
some site improvements, but did not construct any homes during its ownership. K.
Hovnanian Homes purchased the project from Resmark in phases beginning in 2014,
and is currently responsible for compliance with the terms of the agreement.
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. The developer has submitted
the necessary application form, related materials, and fee/deposit for the annual review.
Item: 10.E.
187
The Community Development Director has reviewed the submitted information,
including the project status and provides the following report.
DISCUSSION
Current Project Status
• Grading has been completed.
• Final Maps have been approved by City Council.
• Tract improvements, including installation of wet and dry utilities and curb, gutter,
roadways and storm drains have been completed with the final cap of paving in
some of the developed areas where residential units exist.
• All 248 residential building permits have been issued. All but 25 homes have
received final occupancy approvals.
• The 17-home Brighton neighborhood has been completed to meet the project’s
affordable housing obligation.
• The original implementation plan was approved by the City Council on July 7,
2004, for William Lyon Homes. In January, 2008, Resmark Equity Partners, LLC
purchased the project and an amended implementation plan was approved by
the City Council on May 21, 2008. A second amendment to the Implementation
Plan was approved by the City Council on July 16, 2014 to recognize K.
Hovnanian as developer along with ORA Ashford 94, LLC. (Resmark).
• All of the mitigation landscaping has been installed per plan. Staff along with the
City’s consulting landscape architect completed the final landscaping inspection
and approved a final landscaping inspection zoning clearance on February 26,
2009. City staff is currently working with the HOA on the transfer of ownership of
Lot Q, which includes part of the mitigation landscaping area, from the City to the
HOA, as the City accepted ownership of this lot through the final map by error.
• Resmark completed construction of the HOA recreation lot with the tennis and
basketball courts and a zoning clearance for final occupancy of the facility was
approved on February 2, 2009.
• City staff completed a final landscaping inspection and approved a zoning
clearance for completion of HOA landscaping on January 11, 2011 for the HOA
landscaping that was installed at that time. The HOA recently accepted the
landscaping on Lot B behind Phases 24 – 27 along the east side of the
property. Additional landscaping on Lot C to be maintained by the HOA has not
yet received final inspection.
• Resmark adjusted the grades of two portions of the multi-use trail and sidewalk
that run along Walnut Canyon Road to meet accessibility requirements.
• The landscaping and irrigation has been installed in many areas within the
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Landscape Maintenance District (LMD), Zone 20, within Tract 5187, but the City
acceptance for maintenance has not occurred. Several punch lists of items
needing to be completed prior to acceptance have been provided by City staff to
Resmark beginning in 2012. Currently City staff and K. Hovnanian are working
on resolving the remaining items.
• City and K. Hovnanian entered into a Subdivision Improvement Agreement on
March 2, 2018, to achieve compliance with the Subdivision Map Act, the City
Municipal Code, and the conditions of approval for Tract 5187.
Developer Compliance with Terms of Agreement
The developer’s responsibilities are included in Section 6 of the Development
Agreement and include twenty-six (26) specific requirements, as summarized below.
Compliance with the terms and conditions of the Development Agreement will occur at
various stages of the development process. Action by the developer and other clarifying
information has been noted.
NO. REQUIREMENT STATUS
1. Developer shall comply with the Agreement,
subsequent project approvals and Mitigation
Monitoring Program.
Developer is in compliance with all
requirements at this time.
2. All lands and interests in land shall be
dedicated free and clear of liens and
encumbrances.
All lands and interests in land were
dedicated upon recordation of the Final
Map. The City accepted fee title of Lot Q, a
common open space lot with mitigation
landscaping, by error as part of the Final
Map. City staff and the HOA are working on
the transfer of this property to the HOA.
3. Payment of “Development Fees” of seven
thousand eight hundred fifty dollars ($7,850)
per residential unit and thirty-five thousand
three hundred twenty-five dollars ($35,325)
per gross acre of institutional land.
These fees are adjusted annually (until paid)
using the Consumer Price Index (CPI) in
accordance with the agreement. Fees must
be paid prior to issuance of Zoning
Clearance for Building Permit. This fee has
been collected with all Zoning Clearances
for all 248 Building Permits in Tract 5187
and all 17 Building Permits for the affordable
homes in Tract 5405. The Development
Fee on the last Building Permits issued was
$10,100 per unit for market rate homes and
$3,661 per unit for affordable homes (see
No. 11 under City Compliance).
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NO. REQUIREMENT STATUS
4. Payment of “Citywide Traffic Fees” of four
thousand four hundred twenty dollars
($4,420) per residential unit and nineteen
thousand eighty dollars ($19,080) per acre of
institutional land.
These fees are adjusted annually (until paid)
using the State Highway Bid Price Index in
accordance with the agreement. Fees must
be paid prior to issuance of Zoning
Clearance for Building Permit. This fee has
been collected with all Zoning Clearances
for all 248 Building Permits in Tract 5187
and all 17 Building Permits for the affordable
homes in Tract 5405. The Citywide Traffic
Fee on the last Building Permits issued was
$21,034.99 per unit.
5. Payment of “Community Service Fees” of two
thousand thirty dollars ($2,030) per
residential unit and six thousand four hundred
twenty-eight dollars ($6,428) per gross acre
of institutional land.
These fees are adjusted annually (until paid)
using the Consumer Price Index (CPI) in
accordance with the agreement. Fees must
be paid prior to issuance of Zoning
Clearance for Building Permit. This fee has
been collected with all Zoning Clearances
for all 248 Building Permits in Tract 5187
and all 17 Building Permits for the affordable
homes in Tract 5405. The Community
Service Fee on the last Building Permits
issued was $2,815 per unit.
6. Payment of all outstanding processing costs. This is an ongoing requirement. The
developer has provided payments to
replenish the deposit fund in a timely
manner when requested by staff.
7. Payment of a fee in lieu of park dedication
“Park Fee” of nine-thousand dollars ($9,000)
per residential unit and fifty cents ($0.50) per
square foot of each building used for
institutional purposes.
These fees are adjusted annually (until paid)
using the Consumer Price Index (CPI) in
accordance with the agreement. Fees must
be paid prior to issuance of Zoning
Clearance for Building Permit. This fee has
been collected with all Zoning Clearances
for all 248 Building Permits in Tract 5187
and all 17 Building Permits for the affordable
homes in Tract 5405. The Park Fee on the
last Building Permits issued was $11,578
per unit for market rate homes and $4,394
per unit for affordable homes (see No. 11
under City Compliance).
8. Prior to Final Map recordation, confirmation
from Ventura County Waterworks District No.
1 that sufficient recycled water is available to
serve public and community owned
landscape areas. Design and construction of
facilities required to deliver the reclaimed
water to the project, and payment of any
connection/meter fees required by the
District.
At the present time, no connection points
exist within the vicinity of the project.
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NO. REQUIREMENT STATUS
9. Greenbelts, open space areas, landscape
areas and trails (not covered by any other
section) shall be dedicated to the City, or one
or more property owners associations as
determined by the City.
Included on recorded Final Map. The City
accepted fee title of Lot Q, a common open
space lot with mitigation landscaping, by
error as part of the Final Map. City staff and
the HOA are working on the transfer of this
property to the HOA. The City will retain a
conservation easement for Lot Q.
10. (a) Irrevocable offer of dedication of Lot 263, for
permanent open space preservation
purposes on the first Final Map.
Included on recorded Final Map.
10. (b) Annual Payment of ten-thousand dollars
($10,000) for permanent management,
maintenance, and mitigation monitoring for
open space Lot 263. The HOA shall be
responsible for this perpetual obligation.
The payment of this fee by the HOA is
current.
10. (c) Grant conservation easement to retain Lots
254, 255, 257, 258, 259, 260, 261, 262, 264
and 265 in predominantly open space
condition.
Dedication of Lot 251 to the City for
permanent open space preservation and trail
staging area.
Prior to occupancy of the 165th residential unit
the developer shall improve the trail staging
area, provide payment for perpetual
maintenance, and provisions for temporary
trail staging area within “A” Street right-of-
way.
Included on recorded Final Map.
Included on recorded Final Map.
The trail staging area has been constructed
and will receive final inspection as part of
the LMD turnover. Maintenance will be the
responsibility of the LMD.
11. Provide a total of twenty (20) affordable
housing units in accordance with the
agreement. Payment of an in-lieu fee of
seventy thousand ($70,000) for each unit less
than the required twenty (20) shall be paid
prior to occupancy of the 50th unit.
Prior to occupancy of the first residential unit,
the developer will enter into an Affordable
Housing Agreement with the City, and pay
the direct costs for preparation of the
agreement up to seven thousand five
hundred dollars ($7,500).
Under the Affordable Housing Agreement
for this project, executed by the applicant
and the City and recorded on December 15,
2006, seventeen (17) affordable units were
completed by K. Hovnanian Homes in Tract
5405. On November 15, 2007, the
developer paid the $236,667.53 in-lieu fee
for three units required prior to occupancy of
the 50th unit.
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NO. REQUIREMENT STATUS
12. Pay Air Quality Fee in the amount of one
thousand four hundred forty-four dollars
($1,444) per residential unit, and for
institutional uses at a rate calculated by the
Community Development Department.
This fees are adjusted annually (until paid)
using the Consumer Price Index (CPI) in
accordance with the agreement. Fees must
be paid prior to issuance of Zoning
Clearance for Building Permit. This fee has
been collected with all Zoning Clearances
for all 248 Building Permits in Tract 5187
and all 17 Building Permits for the affordable
homes in Tract 5405. The Air Quality Fee
on the last Building Permits issued was
$2,002 per unit for market rate homes and
$611 per unit for affordable homes (see No.
11 under City Compliance).
13. Submittal and approval of an Implementation
Plan to address requirements for phasing and
construction responsibilities.
The original implementation plan was
approved by the City Council on July 7,
2004. In January, 2008, Resmark Equity
Partners, LLC purchased the project and an
amended implementation plan was
approved by the City Council on May 21,
2008. A second amendment to the
Implementation Plan was approved by the
City Council on July 16, 2014 to recognize
K. Hovnanian as developer along with ORA
Ashford 94, LLC. (Resmark).
14. Waiver of any density bonus rights that would
increase the number of dwelling units
approved to be constructed on the property.
Applicant has not requested density bonus
units.
15. Agreement to cast affirmative ballots for
formation of one or more assessment districts
for maintenance of parkway and median
landscaping and street lighting, including but
not limited to all water and electricity costs.
Agreement to form property owners
association(s) to provide landscape, street
lighting and park (if necessary) open space
land, trails drainage facilities maintenance
and compliance with NPDES requirements.
The required fees were collected by staff
and a Landscape Maintenance District
formation petition for the formation of an
Assessment District has been reviewed and
approved by the City Council to inaugurate
an Assessment District.
16. Payment of all City capital improvement and
processing fees.
Developer is in compliance with all
requirements at this time.
17. Payment of Los Angeles Avenue Area of
Contribution (AOC) Fee.
Fees must be paid prior to issuance of
Zoning Clearance for Building Permit. This
fee has been collected with all Zoning
Clearances for all 248 Building Permits in
Tract 5187 and all 17 Building Permits for
the affordable homes in Tract 5405. The
Los Angeles Avenue AOC Fee on the last
Building Permits issued was $8,683 per unit
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NO. REQUIREMENT STATUS
18. Construction of regional flood control basin
(Lot 259) per Walnut/Gabbert Deficiency
Study, in lieu of pro rata contribution for
Drainage, Sediment Transport and Flood
Control Planning Mitigation Measure #4.
Basin is shown on Final Map, with capacity
verified by Ventura County Watershed
Protection District. Improvement plans and
permits have been issued by VCWPD,
construction has been completed, and the
basin was accepted by VCWPD on August
25, 2011.
19. Payment of seventy-thousand dollars
($70,000) to satisfy Final EIR Biological and
Botanical Resources Mitigation Measures.
This fee was paid on April 7, 2006, and
deposited to the Open Space Maintenance
Fund (2155).
20. Construct “A” Street from “E” Street to
southern boundary prior to occupancy of
165th residential unit, including all plan check
and inspection costs, and improvement
surety.
These improvements were included with
project improvement plans and securities.
The Meridian Hills Drive improvements
terminate at a temporary detention basin
within the right-of-way at the southern site
boundary due to the drainage of the road.
Once this road is connected to the Hitch
Ranch Specific Plan property, the detention
basin will no longer be needed. As part of
the Subdivision Improvement Agreement,
an in-lieu fee has been collected from the
applicant to fund the completion of this road
as part of the Hitch Ranch project.
21. Payment of three hundred thousand dollars
($300,000) to satisfy Mitigation Monitoring
Program Traffic and Transportation Mitigation
measures. Payment of twenty-thousand
($20,000) to satisfy Public Services and
Utilities Mitigation Measures.
Effective March 1, 2005, the $300,000 fee
increased by one-half of one percent (0.5%)
per month until paid. These fees were
collected on October 28, 2005 and paid in
full with indexing.
22. Acquire at sole cost and expense the
property needed to improve Walnut Canyon
Road.
The Walnut Canyon Road improvements
have been completed.
23. Construct public trail system across Walnut
Canyon Road frontage of the property to
connect to the trail constructed by Tract No.
4928 (County Club Estates). Maintenance to
be the responsibility of the property owners
association(s).
This trail system has been completed. A
correction punch list has been prepared and
the Parks and Recreation Department
intends to complete the corrections, with the
costs subtracted from the deposit refund to
Resmark.
24. Agreement to pay any fees and payments
pursuant to this Agreement without
reservation.
Developer is in compliance with all
requirements at this time.
25. Agreement to comply with requirements for
annual review of the Agreement including
evaluation of Mitigation Monitoring Program.
To date, the applicant has complied with
review requests and Mitigation Monitoring
Program requirements.
26. Agreement to install photovoltaic system for
each residential dwelling unit, so long as City
adopts a policy and standards prior to
January 31, 2004 or approval of the first
phase of the Final Map, whichever is later.
On February 18, 2004, City Council adopted
standards which provide for voluntary
installation of photovoltaic systems. K.
Hovnanian has supplied each home with a
solar ready conduit and panel as standard.
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All requirements of the Development Agreement are considered in the City’s review and
approval process for all aspects of the development; including but not limited to,
subsequent entitlement requests, public and private improvements, Final Maps, and
building permits.
City Compliance with Terms of Agreement
The City’s responsibilities are included in Section 7 of the agreement and include eleven
(11) specific provisions, as summarized below.
NO. REQUIREMENT STATUS
1. Agreement to commit reasonable time and
resources on expedited and parallel processing
of application for subsequent applications.
To date, City has complied with any such
requests.
2. If requested, at the developers cost, proceed to
acquire easements or fee title to land in order
to allow construction of required public
improvements.
To date, no such request has been
received.
3. Agreement to authorize the City Manager to
sign an early grading permit.
An early grading agreement was executed
by the City Manager in August 2004.
4. Agreement to process concurrently, whenever
possible, all land use entitlements for the same
property (so long as deemed complete).
Entitlement applications for the affordable
housing project were processed
concurrently.
5. Agreement that Park Fee required per section
6.7 meets obligation for park land dedication
provisions of state law and local codes.
To date, City has complied.
6. Agreement to cooperate with developer to
allow maximum tax benefits for dedication of
Lot 263 for public open space.
Open Space Easement Grant Deed was
recorded April 27, 2004; and a conservation
easement over this land was dedicated on
the recorded Final Map.
7. Agreement to appoint affordable housing staff
person to oversee the implementation of
affordable housing requirements.
The Program Manager in the Parks,
Recreation, and Community Services
Department oversaw the completion of the
affordable housing requirements.
8. Agreement to allow for a variation of five (5’)
feet maximum in the grades as shown on the
Grading Plan exhibit, subject to approval of the
Community Development Director/City Council
that the overall design and visual quality would
not be significantly affected.
To date, no such request has been
received.
9. Agreement to facilitate reimbursement to
developer of any costs incurred that be subject
to partial reimbursement from other developers.
To date, no such request has been
received.
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NO. REQUIREMENT STATUS
10. Agreement to process a lot line adjustment to
modify the common lot line between Tract 5187
and APN 500-0230-195 (Peters’ parcel) to
increase Peters’ parcel to ten (10) gross acres,
not to exceed eight-thousand eight hundred
(8,800) square feet. The lot line adjustment
must be filed prior to approval of the first final
map.
The lot line adjustment has been approved
and recorded.
11. Agreement that affordable unit Development
Fee shall be three thousand dollars ($3,000)
per unit; Park Fee shall be three thousand six
hundred dollars ($3,600) per unit, and Air
Quality Fee shall be five-hundred dollars ($500)
per unit.
These fees have been included in
Conditions of Approval of the affordable
housing development. The 17 affordable
units in Tract 5405 have been completed.
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 that, on the
basis of substantial evidence, K. Hovnanian Homes has to date complied in good faith
with the terms and conditions of the agreement.
FISCAL IMPACT
None.
STAFF RECOMMENDATION
1. Accept the Community Development Director's Report and recommendation, and
find, on the basis of substantial evidence, that K. Hovnanian Homes has
complied in good faith with the terms and conditions of the agreement.
2. Deem the 2018 annual review process complete.
ATTACHMENTS:
1. Location Map
2. Site Plan
3. Narrative
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LOCATION MAP
CC ATTACHMENT 1
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