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CC 2013-08-27_11.a. Revised MOU - Castillo Del MarTO: FROM: SUBJECT: DATE: MEMORANDUM CITY COUNCIL STEVEN ADAMS, CITY MANAGER f/l/. TERESA MCCLIS~ECTOR OF COMMUNITY DEVELOPMENT CONSIDERATION OF A REVISED MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF ARROYO GRANDE, LUCIA MAR UNIFIED SCHOOL DISTRICT, J.H. LAND COMPANY AND JOHN TAYLOR, TRUSTEE, REGARDING LAND ACQUISITION, EXTENSION OF CASTILLO DEL MAR ROAD AND THE PROVISION OF WATER SERVICE TO THE HEIGHTS AT VISTA DEL MAR DEVELOPMENT AND CONSIDERATION OF RESOLUTION TO PROCEED WITH AN AMENDMENT TO THE CITY'S SPHERE OF INFLUENCE AUGUST 27, 2013 RECOMMENDATION: It is recommended the City Council: 1) approve an amendment to the Memorandum of Understanding (MOU) with the Lucia Mar Unified School District (District), J.H. Land Partnership. and John Taylor, Trustee, regarding land acquisition, extension of Castillo Del Mar roadway extension, and the provision of water service to the Heights at Vista Del Mar Development; and 2) adopt a Resolution approving initiation of proceedings for the amendment of the Sphere of Influence (SOI). IMPACT ON FINANCIAL AND PERSONNEL RESOURCES: The costs related to road and drainage improvements are estimated to be $750,000 under the terms of the MOU. J.H. Land Partnership will pay up to $582,500 for the improvements. There Is currently $63,000 budgeted so an additional $100,000 appropriation may be necessary when the road construction occurs. Agricultural mitigation costs are $100,000 which will be paid by J. H. Land Partnership. The proposed revised MOU includes a non-refundable $43,000 payment from J.H. Land Partnership to provide for water retrofit offsets for the proposed Heights at Vista Del Mar subdivision, as well as any costs associated with processing an Outside User Agreement, SOI amendment and potential annexation. The proposal will have impacts on staff time related to project review, preparation of an Outside User Agreement and proceedings necessary for approval through the Local Agency Formation Commission (LAFCO). The Castillo Del Mar roadway extension is part of the City's adopted Capital Improvement Program and the provision of City water to the project will enable better management of water resources of the Santa Maria Ground Water basin. Item 11.a. - Page 1 CITY COUNCIL CASTILLO DEL MAR ROADWAY AND WATER SERVICE MOU; RESOLUTION AUGUST 27, 2013 PAGE2 BACKGROUND: In May 2006, the City entered into a MOU with the District, J.H. Land Partnership and John Taylor, Trustee to enable the City to accomplish the extension of Castillo Del Mar to Valley Road. The MOU was later amended on January 9, 2007, April 24, 2007, April 22, 2008 and again on December 14, 2010. The primary objective of the City has been to provide an additional access route behind the high school in order to relieve existing traffic congestion on Orchard Street caused by the high school and to provide safe, alternative access routes for students and the general public. The key terms, as previously amended, include the following: • J.H. Land Partnership will acquire approximately one acre of agricultural land from John Taylor, Trustee, which they will deed to the City at no cost; • J.H. Land Partnership will pay to City up to $582,500 for the cost of road improvements and mitigation of loss of agricultural land; • The District will transfer the private road to the City at no cost conditioned upon approval by City of a General Plan amendment and rezoning to hillside residential of 10 acres owned by the District on the south side of the roadway; • The existing access easement and access control located at the south end of Castillo Del Mar will be moved to the southern access point of the development proposed by J.H. Land Partnership; and • Remaining land deeded to the City by J.H. Land Partnership not used for road construction will be deeded to the District. The City has subsequently approved the General Plan amendment and rezoning for the 10 acres owned by the District; the District has transferred the road easement to the City; and the City has constructed a portion of the bike lane improvements associated with the roadway extension. The project is County Tract 3048, now referred to as the Heights at Vista Del Mar Development. The current project approved by the County consists of 16 units. The developer is now pursuing additional density to 22 units to improve the economic viability of the project. The project lies immediately south of the Vista Del Mar tract and is surrounded on three sides by the City limits (see Attachment 1 for project description). ANALYSIS OF ISSUES: Due to the economic recession and its impact on development, the J.H. Land Partnership project has not been developed. Therefore, the City has not yet received funding consistent with the time frames set forth in the MOU. The MOU was based on an agreement by the City to allow vehicle access from the J.H. Land Partnership project, which is in the unincorporated area, through the City. In exchange for rezoning of land, the City received from the District an irrevocable offer of Item 11.a. - Page 2 CITY COUNCIL CASTILLO DEL MAR ROADWAY AND WATER SERVICE MOU; RESOLUTION AUGUST 27, 2013 PAGE3 dedication of the roadway behind the high school. However, funding from the developer to widen and realign the roadway and extend it to Valley Road is still needed to improve local circulation. The agricultural land is needed for the realignment to improve the connection of the roadway to Valley Road. The District has benefited through rezoning of land they own behind the high school, and will benefit by receiving the additional remaining portion of the agricultural land that it will use for the high school agricultural program. The developer has indicated that they will proceed with the project if additional lots are approved by the County. Water The currently entitled 16-unit project would be served water from Rural Water Company. In order for the increase of 6-lots, additional water must be identified. The City could provide a more appropriate source of water supply than groundwater provided by a private water purveyor because it can be better managed to avoid negatively impacting projected groundwater supply. Approximately 5.54 acre-feet of water was anticipated for the entitled 16-lot development. An additional 2.07 acre-feet would be needed to serve the proposed 22-lot project (see Attachment 2 for WSC Technical Memorandum). I In order for the City to provide water outside the City limits, an Outside User Agreement must be approved by the City and LAFCO. LAFCO will require that the City first amend the SOI to include the area proposed to be served. Since the County is processing the amended tract map, they are the lead agency for CEQA review. In order for the County to consider project approval, the development needs to be cdnditioned to receive LAFCO approval of an Outside User Agreement. Staff proposes going forward with the amendment to the City's SOI at this time and proceed with the Outside User Agreement with LAFCO should the County approve the project. The City's General Plan discusses potential annexation of the unincorporated portion of the Arroyo Linda Crossroads and Williams properties within the existing SOI and policies would apply to serve water to Tract 3048. Specifically, LU11-6.10.1 a) states that "The proposed annexation will not deplete the water resources required for potential General Plan development within other parts of the City nor divert water resources needed for current and future Agricultural irrigation". The proposed MOU outlines a strategy of supplying water to Tract 3048 by utilizing a portion of new water conservation offsets identified by City water audits and paid for by the proposed development. Since the proposed water will come from conservation rather than new supply, staff has proposed a goal of achieving a ratio of 2:1 savings when compared to increased use. According to the developer, 7.61 acre-feet-year (AFY) will be required to meet the subdivision's water demand and would include water conservation mitigation measures limiting the quantity of turf and type of landscape. The ·City contracted with Water Systems Consulting to provide a third party analysis to determine if three identified water conservation irrigation retrofit projects would reliably offset the development's Item 11.a. - Page 3 CITY COUNCIL CASTILLO DEL MAR ROADWAY AND WATER SERVICE MOU; RESOLUTION AUGUST 27, 2013 PAGE4 water demands at a ratio of 2: 1 (with a minimum developer estimated goal of 15 AFY total offset). The irrigation retrofits are proposed to occur at the Arroyo Grande Cemetery, Ocean View Elementary School, and Paulding Middle School. The City's irrigation consultant, Sprinkler King Inc., has previously completed reports on estimated water savings calculations for the proposed irrigation retrofit projects. A similar project has been accomplished at Strother Park with successful monitored savings, so accurate data has been collected that verifies the methodology and results. Five years of consumption data, including wet and dry months, was evaluated for the three sites proposed for retrofits and compared to Strother. The analysis also includes a comparison of developer projected demand and the City's demand based on land use. It is important to note that the City's land-use based demands do not account for irrigation-related water conservation measures. The analysis confirms that the developer's demand projections are reasonable using restricted landscape requirements. Additionally, the project would connect with the City's water system and would be served by the Vista Del Mar Booster Station, which would be upgraded by the project. ' The results of the study indicate that the proposed retrofits (14.03 AFY) would fall 1.2 acre feet short of reliably offsetting the project's water demand (7.61AFY) by the 2:1 ratio. In order to meet or exceed the desired 2:1 threshold, Rancho Grande Park has been identified as a fourth project, with calculated savings of 4 AFY of savings, so that the overall impact will exceed a 2:1 savings (i.e. 15.2 AFY needed, approximately 18 AFY gained through retrofits). The Rancho Grande project is not included in the WSC analysis; however, the savings are calculated using the same methodology as the other retrofit projects. Sphere of Influence City General Plan Policy LU 11-6 states "The City of Arroyo Grande shall cooperate with the County of San Luis Obispo, the Oceano Community Services District and LAFCO to establish more logical and recognizable jurisdictional boundaries adjoining urban areas and to provide appropriate separation or identity". The project area is bounded by Vista Del Mar neighborhood (City) to the north, Freeway 101 to the east, County land to the south and a mobile home park to the west (City). Beyond Highway 101 to the east is the Fredericks land in the City, bounded to the south by the Fredericks/Williams property that comprises the City's SOI area. Incorporating the project area into the City's SOI, and any future annexation, would not create an illogical boundary of the City's southern City limit line and would be consistent with the adjacent SOI area across the freeway. Attachment 3 is a map of the approved SOI area from the 2012 SOI update and Attachment 4 is the area proposed to be added to the SOI. Project The project applicant is proceeding with an application for an amended tract map through the County of San Luis Obispo. The previously entitled 16-lot project was approved after certification of an Environmental Impact Report (EIR). Generally, the project character is Item 11.a. - Page 4 CITY COUNCIL CASTILLO DEL MAR ROADWAY AND WATER SERVICE MOU; RESOLUTION AUGUST 27, 2013 PAGES compatible with the adjacent Vista Del Mar neighborhood in the City, although lot sizes are substantially larger, creating a logical transition to estate size lots in the County area to the south. The property is on a hillside and not comprised of agricultural land. The project was conditioned and provides mitigation for aesthetics by size limitations on some lots and building envelope location. Although the lot size configuration deviates from comparable City zoning standards due to lot layout on slopes, the development is not inconsistent with City subdivisions that cluster lots and decrease building envelop size within lot boundaries. Attachment 5 provides a project description and comparison of the entitled 16-unit development and the proposed 22-lot development. Below is a table comparing project attributes with both City and County development standards. Since the project impacts will be borne by the City, staff recommends that should the Council approve the MOU and amended SOI, that future annexation be considered so that impact fees are paid to the City. The proposed MOU includes provisions requiring this, which will need to be coordinated with the County. City of Arroyo Grande City of AG RH Tract 3048 Project Table 16.32.050-A Zoning I I Maximum density (DUs per 0.67 0.50 (1 unit) or 1.0 (with 2"0 units) gross acre) Minimum building site (net 49,000 Smallest Building Envelo12e areas: area in sq. ft.) (New Lot 1 = 20, 701 s.f. subdivisions) Lot 5 = 10,533 s.f. ' Lot 6 = 12,970 s.f. Lot 14 = 14,423 s.f. Lot 21 = 17,985 s.f. Minimum lot width new 130' Lot 8 = 114' min, wedge-shaped subdivisions Lot 9 = 95' min, wedge-shaped Lot 10 = 119 min, wedge-shaped Lot 16 = 80', wedge-shaped Lot 18 = 40', wedge-shaped, 2 acres Lot 13 = 52' min, 5-sided, 200' max Lot 21 = 63' min, -118' ave. width Minimum lot depth new 200' Lot 1 = 192' one side subdivisions Lot 2 = 192' one side Lot 11 = 180' one side Lot 12 = 191' one side Minimum front yard (new 35' 25' subidivisions of 5+ lots) Minimum interior side yard 10% of lot width 30' (CalFire) setback Minimum street side yard 15% of lot width 30' setback Minimum rear yard setback 40' 30' Maximum lot coverage 35% NA Maximum building height 30' or 2 stories 35' (lots 3-7 have visual height limits) Item 11.a. - Page 5 CITY COUNCIL CASTILLO DEL MAR ROADWAY AND WATER SERVICE MOU; RESOLUTION AUGUST 27, 2013 PAGES ALTERNATIVES: The following alternatives are offered for Council's consideration: -Approve staffs recommendations; Do not approve staffs recommendations and do not approve the MOU or authorize application to amend the City's SOI; -Approve the MOU but do not authorize application to amend the City's SOI at this time; or -Provide direction to staff. ADVANTAGES: Approval of the recommendations will help maintain the feasibility of the project that would provide valuable circulation benefits by reducing traffic on Orchard Street, as well as at the intersection of Orchard Street and Fair Oaks Avenue. Providing water to the project is appropriate in that it will not deplete existing supply, and will be served with a combination of strictly managed surface and groundwater instead of unregulated groundwater from a private purveyor. The MOU results in a net water savings to the City, will maintain City water in lieu fee revenue for other projects, and, if eventually annexed, will generate impact fees for a project that will already create comparable impacts to the City under the current plan previously approved by the County. DISADVANTAGES: Provision of water to the proposed project will utilize water savings that could otherwise be paid for by the City, whereby the full savings could be achieved. ENVIRONMENTAL REVIEW: In August, 2006 the City Council adopted a Mitigated Negative Declaration for the General Plan and Development Code Amendment 06-001 that included the extension of Castillo Del Mar Drive from Orchard Street to Valley Road. Due to potential federal funding (Federal Highway Administration (FHWA), Caltrans is the lead agency for the preparation of the NEPA determination that is anticipated to be a categorical exclusion. No environmental review is required for approval of the revised MOU. Environmental review has been and/or will be prepared in association with each of the projects involved in the terms of the MOU. PUBLIC NOTIFICATION AND COMMENTS: The Agenda was posted in front of City Hall on Thursday, August 22, 2013 and on the City's website on Friday, August 23, 2013. No public comments were received. - Attachments: 1. Vesting Tentative Map 3048 Heights at Vista Del Mar project description 2. WSC Technical Memorandum 3. 2012 Approved SOI Exhibit 4. Proposed area to be added to SOI Exhibit Item 11.a. - Page 6 MEMORANDUM OF UNDERSTANDING AMONG LUCIA MAR UNIFIED SCHOOL DISTRICT, CITY OF ARROYO GRANDE, J.H. LAND PARTNERSHIP, L.P. AND JOHN TAYLOR, TRUSTEE REGARDING EXTENSION OF CASTILLO DEL MAR ROADWAY 1. MEMORANDUM OF UNDERSTANDING This Memorandum of Understanding ("MOU") between the Lucia Mar Unified School District, (the "DISTRICT"), the City of Arroyo Grande (the "CITY"), J.H. Land Partnership and John Taylor, Trustee (collectively the "Parties") constitutes a conceptual agreement framework for the Parties to work cooperatively and to coordinate and develop possible water service to the J.H. Land Tract (defined below) by CITY and to further coordinate and develop the proposed extension of the existing CITY roadway (sometimes hereinafter the "roadway extension") known as Castillo Del Mar, from its present termiri.us, to Valley Road to serve the existing Vista Del Mar development located within the CITY limits and the J.H. Land Partnership proposed development located within the unincorporated area of San Luis Obispo County (the "J.H. Land Tract." The proposed roadway extension will traverse the DISTRICT's existing Arroyo Grande High School ("AGHS") property. 2. THE ROADWAY EXTENSION PROJECT Exhibit "A", attached hereto and incorporated herein, illustrates, in conceptual form, an intended general location for the roadway extension from its present terminus, through a portion of the AGHS property and a portion of Assessor's Parcel No. 006-095-002 (the one acre portion is referenced to herein as the "Taylor Property"), to Valley Road. The exact design and location of the proposed roadway extension will be established through cooperation and agreement of the Parties. All Parties recognize the need to provide safe access to the existing and proposed parcels and the importance of this proposed roadway extension in improving existing circulation conditions and as a safe, viable transportation corridor in the CITY'S long term traffic and circulation plan .. 3. WELL AGREEMENT The parties agree that any rights created hereunder or contemplated to be created hereunder are subordinate to that certain "MODIFICATION OF WATER WELL EASEMENT AND MAINTENANCE AGREEMENT AND RIGHT OF FIRST REFUSAL FOR LEASE" ("Well Agreement") recorded as Document Number 2004051468 in the official records of San Luis Obispo County, California, On June 11, 2004. DISTRICT and CITY agree to continue the water supply to the Taylor Property during construction of the roadway extension and thereafter in accord with the Well Agreement and to take no action in derogation of the Well Agreement. John Taylor, Trustee, the City and the District agree to coordinate construction activity related to the water supply to the Taylor property so as to avoid disruption to Taylor's farming activity. 1 Item 11.a. - Page 7 4. PURPOSE AND NEED The purpose ofthis MOU is to express the Parties' conceptual agreement for the roadway extension and related issues. Specifically, the Parties are in conceptual agreement on the following: (a) The CITY and DISTRICT will plan for, design, and develop a local public roadway to improve circulation and enhance public safety and to provide vehicular, bicycle, and pedestrian access from the present terminus of the Castillo Del Mar roadway, through the AGHS Property and Taylor Property, to Valley Road. The Parties will work cooperatively to ensure the road location is consistent with the needs of the DISTRICT and the CITY. It is the intention of the Parties that the final roadway design and location be established as soon as feasible. (b) The CITY will design and construct the proposed roadway extension, including all surveying, engineering, utility construction or relocation, grading, and drainage improvement costs, and shall comply with all required mitigation measures for the project, at no cost to DISTRICT, J.H. Land Partnership or John Taylor, Trustee. Thereafter, the roadway extension shall be maintained by CITY at no cost to DISTRICT, J.H. Land Parnrership, or John Taylor, Trustee. ( c) The Parties will provide each other necessary information and assistance regarding the development of the proposed roadway extension, including without limitation, executing, acknowledging, and delivering all documents reasonably requested by one of the Parties or required by any governmental authority. (d) The DISTRICT intends to create a separate IO-acre±: parcel on the south side of the proposed roadway extension ("DISTRICT'S New Parcel") for present allowed use and potential future development. DISTRICT will process a public land parcel map application to separate this new parcel from the AGHS school and grounds. (e) The DISTRICT has applied for and CITY has processed and approved a General Plan Amendment/rezoning application designating zoning the DISTRICT'S New Parcel for "Residential Hillside" uses. (f) DISTRICT shall provide land consistent with the terms herein described, through the AGHS Property, to serve as part of the location for the roadway extension project by providing an irrevocable offer of dedication for the necessary land to CITY by no later than February 22, 2011. (g) No later than February 22, 2011, DISTRICT shall provide an access easement adjacent to the Castillo Del Mar road extension property behind the high school for construction of a Class 1 bike lane adjacent to the roadway extension. (h) No later than March 1, 2011, J .H. Land Partnership agrees to pay to CITY the sum of fifty thousand dollars ($50,000) for design costs and matching funds for a Transportation Enhancement grant for construction of the Class 1 bike lane adjacent to 2 Item 11.a. - Page 8 (i) (k) (l) (m) (n) (o) the roadway extension and within the access easement referred in paragraph 3 (g) above. DISTRICT may apply for and CITY shall expeditiously process a tentative tract map application to subdivide the DISTRICT's New Parcel consistent with its new zoning designation, subject to compliance with all laws. The DISTRICT'S proposed tentative tract map application may include a request for approval of "density bonus" units (in excess of the number of units otherwise permitted by the CITY'S "Residential Hillside" zoning), in accordance with the CITY'S density bonus and affordable housing ordinance and consistent with State law. No later than January 1, 2014 and subject to the approval of the revised Tentative Tract Map by the County of San Luis Obispo of the J.H. Land Tract, John Taylor, Trustee agrees to sell to J.H. Land Partnership and J.H. Land Partnership agrees to buy from John Taylor, Trustee approximately one acre ofland at the north side of the Taylor Property for a total sum of eight hundred thousand dollars ($800,000). J.H. Land Partnership shall obtain the right to access said road extension subject to issuance of a CITY encroachment permit. J.H. Land Partnership agrees to deed to the CITY at no cost to CITY the entire property of approximately one acre acquired from John Taylor, Trustee for the purpose of enabling the connection of the roadway extension to Valley Road as partial mitigation for traffic impacts associated with access through City from Vista Del Mar and the development proposed by J.H. Land Partnership (the "J.H. Land Tract"). The CITY agrees to deed to the DISTRICT the remainder portion of the Taylor Property created by the new roadway (the "Remainder Parcel") and re-designate and rezone the Remainder Parcel from Agriculture to Public Facilities. CITY shall mitigate all impacts from said redesignation and rezoning of the Remainder Parcel. CITY and DISTRICT will jointly determine the allowed uses of the Remainder Parcel, which generally will be combined with AGHS facilities and grounds, and will be restricted to agriculture and agricultural education related uses. No water, sewer, drainage or other utilities relocation or improvements are proposed for the Remainder Parcel as part if this MOU. No later than January 1, 2013 and subject to prior approval of the J.H. Land Partnership revised Tentative Tact Map by the County of San Luis Obispo, J.H. Land Partnership agrees to pay CITY one hundred thousand dollars ($100,000) for mitigation of loss of prime agricultural property and the actual cost to construct the roadway extension and drainage improvements up to five hundred eighty-two thousand five hundred dollars ($582,500). A portion of funds described in paragraph 4(n), above, shall be subject to reimbursement by the owner ("Reimbursing Party") of the DISTRICT's New Parcel. Reimbursement shall be paid by Reimbursing Party to J.H. Land Partnership within forty-five (45) days of recordation of a final map further subdividing the DISTICT's New Parcel. Reimbursement 3 Item 11.a. - Page 9 shall be equal to the amount of payment from J.H. Land Partnership to CITY for reconstruction of roadway extension and drainage improvements in excess of five hundred thousand dollars ($500,000) up to a maximum of one hundred and fifty thousand dollars ($150,000). (p) DISTRICT agrees to maintain Remainder Parcel for agricultural purposes by use of an agricultural conservation easement as approved by the CITY. (q) Subject to payment to the CITY by J.H. Land Partnership of the funds described in 3(1) above, CITY and J.H. Land Partnership agree to relocate the existing access easement and access control located at the south end of Castillo Del Mar to the southern access point of the J. H. Land Partnership Tract (r) The Parties will work cooperatively to cause the proposed roadway extension design and alignment to be modified through the planning process for the project to meet the needs of the DISTRICT and the CITY. (s) The CITY and DISTRICT jointly will prepare a schedule for accomplishing each of the tasks set forth in this MOU, including a schedule for the roadway extension construction. J I (t) The Parties are cogniz.ant of the current fiscal constraints facing the DISTRICT, the need to creatively ameliorate the concomitant impacts to the DISTRICT's students and the related need to minimize DISTRICT outlays associated with this MOU. (u) The Parties agree that following approval ofthe,revised Tentative Tract Map and no later than January 1, 2013, J.H. Land Partnership and John Taylor, Trustee will e11ter into an agreement of purchase and sale and escrow instructions on the terms and conditions set forth herein. All costs associated therewith will be borne by J .H. Land Partnership. The escrow will be at a licensed escrow company in San Luis Obispo Cotinty. (v) It is not the intent of CITY, DISTRICT or J.H. Land Partnership in any way to limit or inhibit John Taylor, Trustee's ability to continue to farm the remainder of his land as he currently does, and nothing in this MOU shall be considered in any way a limitation or inhibition on his ability to farm. 5. WATER SERVICE The purpose of this Section 5 is to express the conceptual agreement for possible water service to the J.H. Land Tract by CITY. Specifically, CITY and J.H. Land Partnership are in conceptual agreement on the following: (a) Within thirty (30) days from the full execution of this MOU, J.H. Land Partnership shall pay to CITY a nonrefundable payment in the amount of forty three thousand dollars ($43,000) which shall be used by CITY to retrofit existing infrastructure as part of CITY's water conservation program. Such retrofits shall result in overall water savings in a ratio of 2 to 1 when compared to the projected water use of the proposed project currently consisting of twenty two (22) residential parcels, one (1) open space parcel, and one (1) detention basin parcel (the "Project"). 4 Item 11.a. - Page 10 (b) CITY agrees to provide water service to the J.H. Land Tract for the Project subject to the terms and conditions set forth herein. Said water service shall be in the form of an Outside Water User Agreement (the "Water Agreement") which shall be subject to the approval of CITY's City Attorney. J.H. Land Partnership understands and acknowledges that the Water Agreement and CITY's extraterritorial water service to the J.H. Land Tract is conditioned on and subject to approval by the San Luis Obispo County Local Agency Formation Commission ("LAFCO"). J.H. Land Partnership agrees to pay all normal water connection fees and all other costs and expenses required to connect the J.H. Land Tract to CITY's water system. (c) Upon CITY's receipt of funds described in Section 5(a) above, CITY shall submit and expeditiously process an application with LAFCO: (i) to amend the CITY's sphere of influence ("SOI") to include the J.H. Land Tract property; and (ii) for approval of the Water Agreement and CITY's extraterritorial water service to the J.H. Land Tract. J.H. Land Partnership shall, at its sole costs and expense, provide any and all necessary reports, analysis and other information for such application. J .H. Land Partnership further agrees to pay for any and all of CITY's costs and expenses related to such application, including, but not limited to, application fees, engineering fees, expert studies, surveys, reports and attorney's fees. (d) Upon LAFCO approval of the Water Agreement and amendment of the CITY's SOI as described in Section 5( c) above, CITY shall submit and expeditiously process an application with LAFCO to annex the J.H. Land Tract within CITY's municipal boundaries. J .H. Land Partnership shall, at its sole costs and expense, provide any and all necessary reports, analysis and other information for such application. J.H. Land Partnership further agrees to pay for any and all of CITY's costs and expenses related to such application, including, but not limited to, application fees, engineering fees, expert studies, surveys, reports and attorney's fees. (e) J.H. Land Partnership agrees to pay CITY all normal development impact and permit fees associated with the development of the J.H. Land Tract. 6. GENERAL PROVISIONS The following are general provisions ofthis MOU: (a) All coordination, assistance and services rendered as party to the development of reasonable and feasible solutions to improve current and future traffic safety and circulation needs for the roadway extension under this MOU will be carried out in 5 Item 11.a. - Page 11 compliance with the objectives and responsibilities of the Parties. Nothing in this MOU shall be in conflict with the responsibilities of any participating party as defined in Federal, State, or local law, statue, regulation, or participating parties' policies and procedures. (b) The Parties will exchange information and consult with each other before implementing the provisions hereof that may affect the ability of any other party to perform under this MOU. . ( c) The CITY will address environmental issues related to the development of the proposed roadway extension project, including acting as the "Lead Agency" for the project under the California Environmental Quality Act. 6. ROLES AND RESPONSIBILITIES The Parties shall each designate in writing a single point of contact to ensure their respective responsibilities are satisfied. All future correspondence regarding this MOU shall be directed to the designated single points of contact. 7. EFFECTIVE DATE, TERMINATION AND MODIFICATION This MOU will become effective when executed by all Parties. This MOU will terminate upon an impasse in the negotiation among the parties, or by the mutual consent of the parties. This MOU may be amended by written instrument executed by· all the parties. This MOU supercedes all previous offers, agreements, negotiations, understandings, and memorandums of understanding between the parties, whether oral or written. 8. MUTUAL INDEMNIFICATION Each of the Parties shall, to the fullest extent permitted by law, indemnify and hold each of the other parties harmless against any and all costs, expenses, losses, claims, suits, damages, and liabilities (including reasonable attorney's fees) for acts or omissions arising out of or in connection with this MOU. 6 Item 11.a. - Page 12 THE CITY OF ARROYO GRANDE By: Tony Ferrara, Mayor Dated: J.H. LAND PARTNERSHIP By: LUCIA MAR UNIFIED SCHOOL DISTRICT By: President of the School Board Dated: JOHN TAYLOR, TRUSTEE Dated: --------- 7 Item 11.a. - Page 13 Zoning Legend ~~ Public Facility .. Agriculture .llm AgricuJtura1 Buffer llesidentia1 Hillside .. Mobile Home Paik .. Single-Family .. City Limit Line Arroyo Grande High School Property Lucia M.ar Unified School District ZONING MAP 1anuary 17. 2006 Exhibit A -Page One .. OASIS LANDSCAPt t.RCHITtCTURt ,I.ND PLANNlllG Item 11.a. - Page 14 •. I••-----~ : i ' i . ' {.,"";\ ' i ~..) / .. ----, ___ ....... · I I ,,,,. . ., ... I I l.1t.J~=::.,,) Arroyo Grande High School Property Lucia Mar Unified School District Proposed \ ~esidential "Zone . Assessor's Map Proposed Land Use Scenarios January 17. 2006 Exhibit A -Page Two ' 006-095 , .... -· ··. ·· ... ... · . Item 11.a. - Page 15 RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE APPROVING INITIATION OF PROCEEDINGS FOR THE AMENDMENT OF THE SPHERE OF INFLUENCE WHEREAS, the City Council of the City of Arroyo Grande desires to initiate proceeding pursuant to the Cortese-Knox-Hertzberg Local Government Reorganization Act of 2000, commencing with Section 56000 of the California Government Code, for amending the Sphere of Influence; and WHEREAS, the nature of this proposal is to amend the SOI consistent with the Cortese- Knox-Hertzberg Act; and WHEREAS, the territory is uninhabited, and a map and description of the boundaries of the territory are attached hereto as Exhibit A; and WHEREAS, the principal reasons for the proposed amendment to the Sphere of Influence· are to allow the efficient provision of water and sewer service to a development approved in the County through an outside user agreement to an area immediately adjacent to the City limit line, and to allow for more orderly and logical development of the area pursuant to City and County policy; and WHEREAS, the following agency or agencies would be affected by the proposed Sphere of Influence Amendment: City of Arroyo Grande, County of San Luis Obispo, and South San Luis Obispo Sanitation District; and WHEREAS, the proposed amended Sphere of Influence is subject to compliance with the California Environmental Quality Act; and WHEREAS, the Local Agency Formation Agency has assumed Lead Agency status, responsible for compliance with the California Environmental Quality Act (CEQA) and the City shall pay for any studies needed to comply with CEQA. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Arroyo Grande does hereby adopt and approve this Resolution requesting that LAFCO proceed with the processing of this sphere of influence amendment as authorized and in the manner provided by the Cortese-Knox-Hertzberg Local Government Reorganization Act of 2000. BE IT FURTHER RESOLVED that this resolution shall become effective immediately upon its adoption. Item 11.a. - Page 16 RESOLUTION NO. PAGE2 On motion of Council Member and by the following roll call vote, to wit: AYES: NOES: ABSENT: , seconded by Council Member the foregoing Resolution was passed and adopted this day of 2013. Item 11.a. - Page 17 RESOLUTION NO. PAGE3 TONY FERRARA, MAYOR ATTEST: KELLY WETMORE, CITY CLERK APPROVED AS TO CONTENT: STEVEN ADAMS, CITY MANAGER APPROVED AS TO FORM: TIMOTHY J. CARMEL, CITY ATTORNEY Item 11.a. - Page 18 V A L L E Y R O A D F U T U R E E X T E N S I O N FAIR OAKS BLVD ORCHARD STREET CASTILL O D E L M A R ¬«101 City of Arroyo GrandeThe Heights at Vista Del Mar Proposed Outside Agreement Annexation toCity of Arroyo Grande Sphere Influence§0 450225 Feet 1 inch = 450 feet Legend PROJECT BOUNDARY PROPOSED ROADS ARROYO GRANDE CITY LIMITS EXHIBIT A Item 11.a. - Page 19 Project Description (REVISED August 19, 2013) The Heights at Vista De.I Mar VTTM 3048 Date: August 19, 2013 To: Teresa McClish, City of Arroyo Grande Planning CC: Stephanie Fuhs, SLO County Planning and Building From: Cindy Chambers, Wallace Group ATTACHMENT 1 Request: New 22-lot Vesting Tentative Tract Map to replace 16-lot VTTM 1789 PURPOSE This application proposes to increase the number of tentatively approved lots of Tract 1789 from 16 to 22 residential parcels to help offset the cost of improvements. Tentative Tract 1789 was approved in June of 2008, after a prolonged 17-year review process culminating in a Final Environmental Impact Report (FEIR) that focused on traffic and circulation, biological, visual, and drainage concerns. Resolving the project's site access resulted in a Memorandum of Understanding (MOU) executed on May 4, 2006 between the applicants, the City of Arroyo Grande, Lucia Mar School District and a nearby property owner, John Taylor. The MOU allowed the City to remove a non-access easement at the easterly terminus of Castillo Del Mar in exchange for fees to acquire land on which to extend Castillo Del Mar to Valley Road. The subsequent change in market conditions since 2008 have made the project infeasible, due in part to the MOU's s.ignificant impact fees. This application seeks to increase density by six units within the same development area, without altering or adding to the potential for impacts previously analyzed in the FEIR. Studies and supporting documents have been prepared to demonstrate that conditions pertaining to traffic, visual, air quality, biological, and drainage impacts are adequately addressed and mitigated for this project by conditions imposed under the prior project. Requirements for building permit compliance with current air and water quality standards during and post-construction would be applicable to this tract. The drainage design incorporated into the new application meets current requirements for LID and drainage as required by the Regional Water Quality Control Board. Althouse and Meade conducted biological and botanical surveys on the site in the spring of 2013, and prepared a report that was submitted with this application: The focus of the report is to address any new conditions on site as part of the overall project design, with a goal of keeping the revised project within the range of impacts and mitigations previously studied under the FEIR. An informal assessment of potential wetland within the ephemeral drainage was conducted and the report WALLACE GROUP@ CIVIL AND TRANSPORTATION ENGINEERING CONSTRUCTION MANAGEMENT LANDSCAPE ARCHITECTURE MECHANICAL ENGINEERING PLANNING PUBLIC WORKS ADMINISTRATION SURVEYING i GIS SOLUTIONS WATER RESOURCES WALLACE GROUP A California Corporacion 612 CLARION CT SAN LUIS OBISPO CALIFORNIA 93401 T 805 544-4011 F 805 544-4294 www.wallacegroup.us Item 11.a. - Page 20 VTTM 3048 Project Description Revised Page 2 provides recommendations for permitting the detention basin. See detailed biological and botanical discussion below. PROJECT STATISTICS Project Title: Property Owners: County Case #s: Project Location: Parcel Size: APNs: Land Use: The Heights at Vista Del Mar: VTTM 3048 The Heights at Vista Del Mar Group, LLC 332 Creekview Way Arroyo Grande, CA 93420 VTTM 3048 VTTM 1789 (S890232T), ED90-061 State Clearinghouse #1994041043 (FEIR) PRE-2010-00031, PRE-2012-00059 Between the termini of Castillo Del Mar and Coast View Drive, southwest of State Route 101, south of Arroyo Grande 47.54 acres 075-021-026; 075-021-042 Residential Suburban, San Luis Bay Inland PROJECT COMPARISON This section includes a discussion of items analyzed in the FEIR for the 16-lot subdivision, and how the proposed 22-lot subdivision application compares. Please refer to the reduced-sized maps attached to this Project Description. Lotting. Open Space and Slopes The prior subdivision (VTTM 1789) created 16 residential lots over the entire 47.5- acre property, including the steeply sloped northerly portion containing sensitive oak woodlands. Due to the inclusion of the steepest slopes, the average slope of the lots exceeded 15% and the 16 lots ranged from 2.0 to 4.17 acres in size. Lots 2 through 7 exceeded the County length-to-width ratio of 3: 1. A building limit line identified through the visual assessment bisected Lots 1 through 8 on the north side. The map was conditioned to place an open space easement over the area north of the building limit line across Lots 1-8, encompassing the oak woodlands and steeper slopes. The open space easement was approved to be maintained on individual lots by the lot owners. The proposed detention basin located in the drainage area in the southeast corner was within an easement spanning two of the residential lots. See Exhibit 1, Approved VTTM 1789. The proposed subdivision VTTM 3048 creates 22 residential lots within the same general development area as the prior map; a common open space parcel of 14.9- acres encompassing the steeper slopes and oak woodland (Lot 23); and a 0.85-acre 8/19/13 WALLACE GROUP@ CIVIL AND TRANSPORTATION ENGINEERING CONSTRUCTION MANAGEMENT LANDSCAPE ARCHITECTURE MECHANICAL ENGINEERING PLANNING PUBLIC WORKS ADMINISTRATION SURVEYING i GIS SOLUTIONS WATER RESOURCES WALLACE GROUP A California Corporation 612 CLARION CT SAN LUIS OBISPO CALIFORNIA 93401 T 805 544-4011 F 805 544-4294 www.wallacegroup.us Item 11.a. - Page 21 VTTM 3048 Project Description Revised Page 3 common lot over the detention basin (Lot 24). The common lots are to be maintained in perpetuity by the HOA. Creating a common lot over the steepest portions of the site allowed the residential lots to be reduced in size over the more gently sloped areas. The map proposes 18 residential lots at one-acre minimum in areas with less than 15% average slope; Lots 17-19 and 22, in the southeast corner, are 2.0 acres or larger in size where average slope exceeds 15%. The previously identified building limit line bisects Lots 3 through 1 O; an open space easement will be.placed over that portion of those lots to match the previous building limit line and will be maintained by the individual lot owners. The total open space area of Parcel 24 plus the "no-build" open space easement over Lots 3-10 is 18.5 acres, consistent with the previous tentative map open space. See Exhibit 2, Proposed VTTM 3048. Geologic. Soils and Seismic Soils and Geotechnical analyses were performed for the 16-lot VTTM 1789 by Earth Systems Pacific in 1996 and Pacific Geoscierice in 1997. No potentially significant effects were identified. The 22 proposed residential lots are located within the same development envelope as the previous 16 lots; proposed roads, utilities, and the drainage basin are in essentially the same locations. No change to the previous findings for geologic, soils or seismic hazard potential will result from this proposed application. Drainage and Erosion Control A Preliminary Drainage Report has been prepared to analyze the proposed project's consistency with the previous drainage design and to verify conformity with current requirements and standards for drainage and water quality. Project conditions for VTTM 1789 included compliance with erosion control requirements for grading activities and preparation of a SWPPP prior to construction. The conditions also include compliance with requirements of the NPDES municipal storm water program. Therefore, the proposed VTTM 3048 project would be subject to all current NPDES requirements of the County's Stormwater Management Program, including post-construction stormwater quality and erosion control, prior to issuance of construction permits. Analysis of the project drainage with increased site density finds that the previously approved drainage design is adequate for the proposed project. Further analysis in final design of the existing culvert outlet and the Castillo Del Mar Drive drainage system is recommended. Just as with the currently approved map, storm water quality requirements will be defined and met through preparation of a Stormwater Quality Plan and development of post-construction water quality BMPs in the final design. Biological Resources 1) Ephemeral Drainage, Waters of the United States Conditions for Tract 1789 required that a wetland delineation of the ephemeral drainage be prepared prior to construction permit to determine the presence and extent of "Waters of the US". If wetlands are present, a number of conditions apply to ensure that impacts are less than significant. The proposed project design is essentially the same as the previously approved tract, with the cul-de- sac road and drainage basin in the same location. The same project conditions would apply to the proposed VTTM 3048 project. The approved basin design of TR 1789 is adequate for the higher density of TR 3048, so there is no change 8/19/13 WALLACE GROUP@ CIVIL AND TRANSPORTATION ENGINEERING CONSTRUCTION MANAGEMENT LANDSCAPE ARCHITECTURE MECHANICAL ENGINEERl,NG PLANNING PUBLIC WORKS ADMINISTRATION SURVEYING i GIS SOLUTIONS WATER RESOURCES WALLACE GROUP A California Corporation 612 CLARION CT SAN LUIS OBISPO . CALIFORNIA 93401 T 805 544-4011 F 805 544-4294 www.wallacegroup.us Item 11.a. - Page 22 VTTM 3048 Project Description Revised Page 4 proposed to the design that would change the potential for wetland impacts to occur with this project. Althouse and Meade reviewed the drainage area for potential wetland species while conducting spring surveys. While no new wetland indicators were found, the Regional Board has imposed new regulations on drainage and erosion control that the project will be required to meet. The applicant has directed Althouse and Meade to begin a Jurisdictional Determination to evaluate the drainage and obtain formal concurrence, initiating the review and permitting process necessary for construction of either tract configuration. 2) Oak Woodland Impacts The previous FEIRfound that lot development and fire clearance for defensible space could impact up to 13 oaks and a portion of the existing oak woodland on the site. The proposed project development is within the same area as the previous tract, and therefore the same potential for impacts would exist. Three lots of TR 3048 have the potential to impact oaks: Lots 1, 2, and 22; these are comparable to Tract 1789 Lots 1, 2 and 16. The same conditions for mitigation, including an Oak Impact Report and Oak Tree Mitigation and Monitoring Plan would appropriately apply to the proposed subdivision lots. No change to the potential for impacts to oaks would occur with the proposed 22-lot subdivision under conditions applied from TR 1789. 3) Sensitive and Special-Status Botanic Species Spring surveys were conducted on the project site by Althouse and Meade biologists in February through June of 2013. The site had been grazed periodically in the past but has remained undisturbed for several years. Small patches of native grassland habitat were found on the site, located within the oak woodland area on the proposed open space parcel, and in several patches in the southeast corner of the property near the drainage. Exhibit 3, Grassland Habitat, in this project description, and the Althouse & Meade Biological Assessment provided with this application. The approved 16-lot tract has no requirements for pre-construction surveys for sensitive plant communities as loss of the existing grassland was considered less than significant. The revised project proposes to create a separate HOA- maintained open space parcel and improve the quality of existing grassland habitat through enhancement and restoration planting as part of the project. The biological report prepared for the project includes a conceptual Native Grassland Enhancement Program to be implemented on the open space as a part of the project design. The proposed 22-lot project would enhance approximately 0.15 acre of existing native grassland patches in the open space, and plant native grasses in appro);Cimately 0. 75 acre area contiguous with existing native grassland patches. Planted areas would be in sites currently supporting annual grassland with potential to support native perennial grassland habitat. Enhancement activities would include weed removal and control. Planting activities would · include installing plugs of native grasses, providing temporary irrigation, and controlling weeds for three years. The planting palette would be selected from species native to the site. 8/19/13 WALLACE GROUP® CIVIL AND TRANSPORTATION ENGINEERING CONSTRUCTION MANAGEMENT LANDSCAPE ARCHITECTURE MECHANICAL ENGINEERING PLANNING PUBLIC WORKS ADMINISTRATION SURVEYING i GIS SOLUTIONS WATER RESOURCES WALLACE GROUP A California Corporation 612 CLARION CT SAN LUIS OBISPO CALIFORNIA 93401 T 805 544-4011 F 805 544-4294 www.wallacegroup.us Item 11.a. - Page 23 VTTM 3048 Project Description Revised Pages This restoration element is not proposed as part of the approved 16-lot plan, but the native grassland impact would be the same with the approved plan as for the 22-lot plan. The 22-lot plan provides the superior outcome for native perennial grassland in the Study Area. With all the previous tract conditions of approval applied to this project, no changes to the potential for adverse biological impacts will occur with this project, and a beneficial impact would result from protection and expansion· of native grassland habitat. 4) Sensitive Biotic Species The approved project was found to have the potential to disturb burrowing owl, active bird hests, dusky-footed woodrat nests, American badger, and other sensitive species. The proposed project development is within the same developable area as the previous project, and therefore the same potential for impacts would exist. Applying the same conditions for mitigation and monitoring would reduce the potential for impacts to a less than significant level. In addition, the creation of a separate open space parcel maintained by the HOA, instead of an open space easement across eight individually-owned parcels, increases the habitat protection of sensitive species for this area. Visual Resources VTTM 1789 identified a building limit line and height limits that minimized the potential for visual impacts to a less than significant level. The area beyond (north of) the building limit line was to be placed in an Open Space easement so that proposed homes on Lots 1-8 would be located south of that line. The approved project conditions imposed building height limitations on Lots 3, 4, 5 and 6 to restrict construction below a specified elevation above sea level, to reduce visibility and minimize disruption to the skyline. Exhibit 4, Visual Impact Restrictions, shows the new lot lines overlaid on the original lots, and illustrates the applicability of building height limits on the proposed lots. Lots 3-7 of TR 3048 are building envelope restricted to match the visual analysis mitigations conducted under the FEIR for TR 1789. These limits will be incorporated into the Codes, Covenants and Restrictions (CC&Rs) for the project to ensure that the impact of TR 3048 is no greater than the approved VTTM 1789. Fencing requirements and restrictions for the 22 lots would be the same as under the previous map, except that property line fencing would not bisect the open space under the current lot configuration as it could have under the approved 16-lot map. As designed, no new impacts would occur with the 22-lot subdivision that were not previously identified and mitigated in the FEIR to a less than significant level. Traffic and Circulation Associated Transportation Engineering, Inc. (ATE) previously prepared a traffic impact analysis for the 16-lot subdivision, and has prepared an update evaluating the change of six added lots for the revised 22-lot project. The primary access for the subdivision is Castillo Del Mar, connecting the proposed lots to Orchard Ave. and Fair Oaks Avenue, and eventually to Valley Road. A secondary connection is provided at Coast View Drive to the east; this access is gated with emergency-only use monitored by camera and CC&R stipulations, enforced by the HOA. 8/19/13 WALLACE GROUP® CIVIL AND TRANSPORTATION ENGINEERING CONSTRUCTION MANAGEMENT LANDSCAPE ARCHITECTURE MECHANICAL ENGINEERING PLANNING PUBLIC WORKS ADMINISTRATION SURVEYING I GIS SOLUTIONS WATER RESOURCES WALLACE GROUP A California Corporation 612 CLARION CT SAN LUIS OBISPO CALIFORNIA 93401 T 805 544-4011 F 805 544-4294 www.wallacegroup.us Item 11.a. - Page 24 VTTM 3048 Project Description Revised Page 6 A component of this project's approval is the negotiated MOU with the City of Arroyo Grande to construct a through-road connection to Valley Road across the back of the Arroyo Grande High School. The MOU involved purchase of a 1.2 acre portion of an agricultural field adjacent to the high school to allow Castillo Del Mar to extend to Valley Road. The City acted as lead agency to process the lot line adjustment and CEQA review for acquisition of that right-of-way located in the City limits. Under the MOU, the 16-lot subdivision project is conditioned to pay significant traffic and agricultural impact fees to the City of Arroyo Grande for construction of this road. In the current market, the per-lot cost for these fees rendered the 16-lot project infeasible. The goal of this application is to spread this cost over 22 lots without generating any new, unmitigated impacts. The updated Traffic Analysis prepared by ATE dated March 6, 2013 for VTTM 3048 finds that the small increase in peak hour trips (5 AM trips and 6 PM trips) would not change existing levels of service and would not generate any new impacts. Traffic- related conditions of approval for the prior project would therefore be sufficient to render the potential for impacts to a less than significant level, including the requirements for payment of traffic and ag impact fees to the City of Arroyo Grande. Air Quality and Greenhouse Gas Effects The FEIR analyzed air quality and found a potential for impacts from construction emissions for TR 1789. Conditions were imposed to manage construction emissions and dust that reduced the potential for impact to a less than significant level. The original project was found to be inconsistent with the County's Clean Air Plan (CAP), which encourages increased density in urban areas over rural areas. For this particular case, the inconsistency is not significant because the density is consistent with what was assumed in the last CAP update, and because the project is adjacent to the City of Arroyo Grande urban area. A third finding was that forecast modeling (URBEMIS) identified that vehicles in the near future would produce substantially lower emissions. The project was conditioned to pay mitigation fees for air quality impacts to help fund strategies to improve air quality in the South County. With TR 3048, the mitigation fees would apply to 22 lots instead of 16 lots. The Air Quality and Greenhouse Gas Assessment prepared by Ambient Air Quality and Noise Consulting (May 8, 2012) evaluated the 22-lot subdivision for short-term and long-term thresholds of significance using the most currently available criteria (SLOAPCD CEQA Air Quality Handbook 2012). The report summary on Page 6 finds that: In comparison to the impact assessment prepared for the previously proposed 16-lot subdivision, implementation of the proposed 22-lot subdivision would not result in any new significant air quality imp~cts. However, it is recommended that mitigation measures for the control of fugitive dust emissions be updated to be consistent with current SLOAPCD guidance. Short-term and long-term emissions of GHGs attributable to the proposed project would not exceed the SLOAPCD's bright line significance threshold of 1, 150 MT C02e/year and, therefore, would be considered to have a less than significant impact. Water Supply 8/19/13 WALLACE GROUP@ CIVIL AND TRANSPORTATION ENGINEERING CONSTRUCTION MANAGEMENT LANDSCAPE ARCHITECTURE MECHANICAL ENGINEERING PLANNING PUBLIC WORKS ADMINISTRATION SURVEYING I GIS SOLUTIONS WATER RESOURCES WALLACE GROUP A California Corporation 612 CLARION CT SAN LUIS OBISPO CALIFORNIA 93401 T 805 544-4011 F 805 544-4294 www.wallacegroup.us Item 11.a. - Page 25 VTTM 3048 Project Description Revised Page 7 Water supply was not an issue of concern for the project in the 2008 FEIR and the site is outside the Nipomo Mesa Management Area (NMMA). The 16-lot tract has a valid will-serve letter from Rural Water Company, which is subject to the NMMA, and project conditions included the strict indoor and outdoor water conservation measures required in the Management Area. For Tract 1789, water use based on the landscape restrictions is estimated to be 0.35 acre-feet per year (AFY) per unit, or 5.54 AFY for the project. Although Rural Water Company staff believes that they can provide the water to service the proposed 22 lots, they are unable to identify a source of supplemental water for the additional lots pursuant to County requirements. The applicant has requested an Intent-to-Serve Letter to provide water service to the 22 lots from the City of Arroyo Grande. The City is able to serve the project if it is within the City's Sphere of Influence (SOI) and LAFCO staff supports this action because the Project site is surrounded by the City on three sides. The details of the SOI application and water agreement will be resolved in the next few months, but the intent is to secure 7.5 AFY for the project by way of a Memorandum of Understanding with the City as part of an annexation application process. The Applicant will retrofit existing high-consumption properties within the City to conserve water at a 2: 1 to achieve a positive balance in the City. The applicant is proposing to limit indoor and outdoor water use of this subdivision per the standards required of TR 1789 to keep total water use to 0.35 acre-foot per year per unit. The six additional lots will .require an additional 2.1 afy over TR 1789, for a total of 7.63 afy. See Exhibit 5, Water Demand Comparison and Exhibit 6, Cleath Letter. Sewer Service Tentative Tract 1789 was approved with sewer service to be provided by South San Luis Obispo County Sanitation District (SSLOCSD). The sewer service is to be provided through an executed Outside User Agreement between SSLOCSD and the City of Arroyo Grande; a copy is submitted with this application. A Sphere of Influence (SOI) revision bringing the project into the District's Sphere of Influence was certified by LAFCO on April 4, 2001 (OR Doc #2001-027120) to complete the agreement. That agreement included reference to the payment of fees through the County Tax Rolls, and the mechanism for that fee transfer is not clear to the District Staff at this time. District staff has committed to reviewing the terms of the agreement to determine the specifics of updating it, and in the interim has provided a Letter of Intent to serve the 22 lots of VTTM 3048, attached as Exhibit 7. Future Annexation Consistency with City Zoning An agreement to serve this project with water by the City of Arroyo Grande would require annexation to the City's Sphere of Influence. Inclusion in the City's sphere could eventually result in annexation into the City. The project as proposed is generally compatible with the City's Residential Hillside (RH) zoning district, found under Chapter 16.32.020 of the City Zoning Code. 8/19/13 16.32.020.B: Residential Hillside (RH) District. The primary purpose of the RH district is to provide for and protect rural atmosphere and lifestyles, as well as to provide for protection of existing hillside WALLACE GROUP@ CIVIL AND TRANSPORTATION ENGINEERING CONSTRUCTION MANAGEMENT LANDSCAPE ARCHITECTURE MECHANICAL ENGINEERING PLANNING PUBLIC WORKS ADMINISTRATION SURVEYING I GIS SOLUTIONS WATER RESOURCES WALLACE GROUP A California Corporation 612 CLARION CT SAN LUIS OBISPO CALIFORNIA 93401 T 805 544-4011 F 805 544-4294 www.wallacegroup.us Item 11.a. - Page 26 VTTM 3048 Project Description Revised Page 8 areas in accordance with general plan policies. This district is intended as an area for development of low density, large lot, single-family detached and small lot single-family detached residential dwelling units at a maximum density of one dwelling unit per 1.5 gross acres. Cluster development is encouraged in order to protect the environment Other uses may be considered through a planned unit development or similar mechanism. Density: The maximum density of RH is one unit per 0.67 gross acres; the project proposes 22 lots on 47.9 gross acres, or 1 unit per 2.1 acres. Secondary dwelling units are allowed on the site under the current County zoning but are not proposed at this time; if secondary units were constructed on all lots, the 22-lot subdivision would not be within the City's density limit for RH. Site Development Standards: Tract 3048 as proposed compares to City of Arroyo Grande Residential Hillside (RH) zoning standards as follows: City of Arroyo Grande Table City of AG TR 3048 Project 16.32.050-A RH Zoning Maximum density (DUs per gross 0.67 .50 (1 unit) or 1.0 (with 2"d units) acre) Minimum building site 49,000 Smallest Building Enveloge areas: (Net area in sq. ft.) (New subdivisions) Lot 1 = 20, 701 sf Lot 5 = 10,533 sf Lot 6 = 12,970 sf Lot 14 = 14, 423 sf Lot 21 = 17,985 sf Minimum lot width new subdivisions 130" Building Env Shortest Dimensions: Lot 8 = 114' min, wedge-shaped Lot 9 = 95' min, wedge-shaped Lot 10 = 119 min, wedge-shaped Lot 16 -80', wedge-shaped Lot 18 = 40', wedge-shaped, 2 acres Lot 13 = 52' min, 5-sided, 200' max Lot21=63' min, -118' ave. width Minimum lot depth new subdivisions 200" Lot 1 = 192' one side Lot 2 = 192' one side Lot 11 = 180' one side Lot 12 = 191' one side Minimum front yard 35" 25' (New subdivisions of 5+ lots) i Minimum interior side yard setback 10% of lot 30' (CalFire) I width I Minimum street side yard setback 15% of lot 30' i width i 8/19/13 I I l I I I I I I I I I I I I I I I I WALLACE GROUP@ CIVIL AND TRANSPORTATION ENGINEERING CONSTRUCTION MANAGEMENT LANDSCAPE ARCHITECTURE MECHANICAL ENGINEERING PLANNING PUBLIC WORKS ADMINISTRATION SURVEYING i GIS SOLUTIONS WATER RESOURCES WALLACE GROUP A California Corporacion 612 CLARION CT SAN LUIS OBISPO CALIFORNIA 93401 T 805 544-4011 F 805 544-4294 www.wallacegroup.us Item 11.a. - Page 27 VITM 3048 Project Description Revised Page 9 I Minimum rear yard setback Maximum lot coverage . Maximum Building Height I Exhibits Attached Exhibit 1, Approved VTTM 1789 Exhibit 2, Proposed VTTM 3048 140" 35% 30' or2 stories Exhibit 3, Grassland Habitat Enhancement Exhibit 4, Visual Impact Restrictions 130' NA 35' (Lots 3-7 have visual height limits) Exhibit 5, Water Demand Comparison (dated 5-1-2013) Exhibit 6, Cleath and Associates Letter dated March 13, 2013 Exhibit 7, Letter of Intent to Serve, South SLO County Sanitation District, 6-27-13 8/19/13 WALlACE GROUP@ CIVIL AND TRANSPORTATION ENGINEERING CONSTRUCTION MANAGEMENT LANDSCAPE ARCHITECTURE MECHANICAL ENGINEERING PLANNING PUBLIC WORKS ADMINISTRATION SURVEYING i GIS SOLUTIONS WATER RESOURCES WALLACE GROUP A California Corporation 612 CLARION CT SAN LU IS OBISPO CALIFORNIA 93401 T 805 544-4011 F 805 544-4294 www.wallacegroup.us Item 11.a. - Page 28 ii i ' . ;;;j;~§§;~;;~~~;;;~~;~~;j~;j~;r ;~i§§;;;$;;;§;~;~~~§~;;;;~~;;;1 L-=-=====·==~1~~~~8i:"~. ~Revised Vesting Tentative Map _ a l: ""'Jod ~·-·- I Pra;.:t .' 1 ... ~ -~ ~ .. -~~Gorino~.~ .. c= ... =, ..... ~~- TroGt No. 11&! -Serl Luis Obispo ~ GarlnoTavlor ,.. ~ ~ .. _ . a·~1ates ='i ._'ll2, Item 11.a. - Page 29 \ \ ' ' ' ' ' ' ' VESTING TENTATIVE TRACT MAP3048 ,., / ' / ' PROPOSED SUBDIVISION OF: REMAINDER TRACT NO 2207. ne ACRES POSITION PARCEL AA.GAL ee-37940 PM• APN:015-021-Q28 APN0~1-042 TOTAlAREA• !51 IS ACRES -·---... "* '" : n•1 om ... m ; ~· ·~ -rn . .. 0 .... '" . ... 0 •» om . ·-•m " -"' " ·-om " .. ~ "' . -· ~ " ·~ •m . ·-,. " •w> "' . -· '~ " ""' •m m -.. " •m .. -•m " m• .. = -~-in•• .. !Exhibit 2 I LEGEND ~&AHlUISCllllFO --•• --•• morvu•m•LHll CffYOlll.rJtltO'rOOIWCll! LOf2 l.OTNUllllEI 100-Nl!'T-•ClllOllAow ... "· ®· CENTDIUICI! 'Z!I WIOll Elil["°'1CY ACCDa !o\IOlttlT PER111Ull21UCl2PTEDPDl20ll7..0ll:aD1'0111!.r.6t.rc:c:tlCD' AU.DISTANCtallHOVIN""IUlllURVE'f~W ~PAATNERSHP,LP mCAEEKVIEWWAY ARflC!'tOORANDE. CADl20 PROPOSED USE RESICENTW. PROPOSED WlTEA 81.FPl Y CITY rl Ml()CSD PROPOSED SEWt.ClE! DISPOSAL ~~~~ ... u• ail!YW'l'PQT n., CONfOUlll NTOllAl II I POCIT ___ ,. __ ~.,.OOl.DDllJTATl..altN. N~a.OIV°""'lllTIJ-.1.0CIOllO# PRELIMINARY TITlE REPORT: --IC.YITITUI~ 011111•-.-Ga-lT-... EXU!ITlN'.J E.AaalENTI NOT PLOTTED -NOT!'!..QnlOAll?PALUGl'P•ll,"1.CllGCoUTUODIL~ ~':',=:z..~=-onlml,COllMCl'l.UW...,DD'I ID•lQ.ICT~~Dl~IMDm<TOlfllll.O"fCI Ol'ntAC'TllZl~ l I l ~~: !I .. j·~~j .. I! "~~~~· '''l: -. '"'" .. .. ... ,io ..... ... II WAUJ\Cl. GROUP. ----~~­_t,im_CiJt._ '--··----- 9 -. . e;;;•••• ,.. lltll!!1!9! er1ptzn1 R"'Mn "'D~WINQNO OF 2 SHEET Item 11.a. - Page 30 m x :::::r fr 11 ;::::;.: I I\.) I I\.) . -\' ~---· .. ... -··· .. ------~ --------.. -.. __ ··---- --.. __ _ / .. -····" -: / / Item 11.a. - Page 31 BUNCHGRASSENHANCEMENT AREAS GRAPHIC SCALE 120' O' 60' -----120' EXISTING BUNCHGRASS AREAS TO REMAIN ~ BUNCHGRASS AREAS t!K'Lill TO BE REMOVED THE HEIGHTS AT VISTA DEL MAR Arroyo Grande, CA BUNCHGRASS RESTORATION AREAS I Exhibit 3 f WALLACE GROUP JUNE 11, 2013 Item 11.a. - Page 32 rJ'' '•,. \ '·'' LEGEND NOTE: FOR ALL LOTS BUILDING HEIGHT IS LIMITED TO 3S' MAXIMUM HEIGHT ABOVE NATURAL GRADE UNLESS NOTED OTHERWISE. (~;;-,) LOT NUMBER PER TENTATIVE TRACT 1 789 .... __ _ LOT1 NEW LOT NUMBER PER PROPOSED TENTATIVE TRACT 3048 8 HEIGHT CANNOT EXCEED 295' ABOVE MSL ~ HEIGHT CANNOT EXCEED 290' ABOVE MSL r:::: :~ HEIGHT CANNOT EXCEED 2S' ABOVE NATURAL GRADE THE HEIGHTS AT VISTA DEL MAR 200' Arroyo Grande, CA VISUAL IMPACT RESTRICTIONS CONDITIONS #27-H,l,J & L GRAPHIC SCALE O' 100' 200' SCALE 1" = 200' I Exhibit 4 I WALLACE GROUP JUNE 21, 2013 Item 11.a. - Page 33 WALIACE GROUP JUNE 24, 2013 310 300 290 2llO 270 2llO ZiD 240 LOT 3: HEIGHT CANNOT EXCEED 25' ABOVE NATURAL GRADE •OPEN SPACE EASEMENT FOR THIS LOT NOT SHOWN ATTHIS SECTION PLANE LOT 4: HEIGHT CANNOT EXCEED 290' ABOVE MSL . '~ l •• _; .. f.-""""""-"+-""'.;._...-.;.;..;...--_;.;,;..._i-f-.;._ ....... ~.;....;..;_.;.;~--~ ....... '""""""+-.....,..;+'--....... ~240 230llL~:i=-~:·-~:-!j~:l..:.:1:.:::..;;:::,::;:_=.:J.:;:_;!t::;:t:::.;:t:.;:_.::s:.;,;!!;.;.:::;:;r;;:::J;:::::t:.t:.;:;:;:::;;::t230 °'°° 1+00 OPEN SPACE EASEMENT I Exhibit 4.21 THE HEIGHTS AT VISTA DEL MAR Arroyo Grande, CA VISUAL IMPACT BUILDING ENVELOPE RESTRICTIONS VTTM 1789 CONDITIONS #27-H,l,J & L Item 11.a. - Page 34 WALIACE GROUP JUNE 24, 2013 LOT 5: HEIGHT CANNOT EXCEED 29S' ABOVE MSL FOR WEST SIDE OF ENVELOPE HEIGHT CANNOT EXCEED 290' ABOVE MSL FOR EAST SIDE OF ENVELOPE Z!D ................................................................................. +. ........ r-:_c_-~·t·_ .• _-~~ ...................... ..._.._ ........ ..._...04 OoCJO 1+00 2'00 :toOO OPEN SPACE EASEMENT BLDG. ENVELOPE LOT 6: HEIGHT CANNOT EXCEED 29S' ABOVE MSL .................................................................................................................................................................................. '"'2<0 1<00 2'00 -OPEN SPACE EASEMENT LOT 7: HEIGHT CANNOT EXCEED 29S' ABOVE MSL I Exhibit 4.3 I THE HEIGHTS AT VISTA DEL MAR Arroyo Grande, CA VISUAL IMPACT BUILDING ENVELOPE RESTRICTIONS VTTM 1789 CONDITIONS #27-H,l,J & L Item 11.a. - Page 35 The Heights at Vista Del Mar Water Demand for Approved VTTM 1789 vs. Proposed VTTM 3048 TABLE 1: VTTM 1789 Water Demand of 16 Lots Maxi mum LS Area Total Area in Water Demand AFYOutdoor Demand per lot Per Lot in SF 1 No. lots SF Area in Acres Factor in AFY 2 Demand (Total afy/ 16) Drip Irrigated Shrubs & Ground Cover 1,200 16 19,200 0.44 1 0.44 Turf Area 300 16 4,800 0.11 2.5 0.28 Drip Irrigated Common . Entry .area 500 2 1,000 0.02 1 0.02 Total Outdoor Demand 0.74 0.05 Indoor Demand 16 0.3 Total Indoor Demand 4.8 0.3 16-Lot Total Project Demand 5.54 0.35 1. Per Project Condition 59: Subject to Nipomo Mesa Water Conservation Area Plan limits on irrigation due to service by Rural Water Co. 2. Using Landscape Water Demand Factors in Cypress Ridge FEIR 1996 Table V-4 (which calculated turf & drip irrigation demand separately) and using the Indoor Water Demand Factor from the Woodlands FEIR (Table 4.1-4) for residential 0.3-1 acre lots TABLE 2: Proposed VTTM 3048 Water Demand of 22 Lots Maximum LS Area Total Area in Water Demand AFYOutdoor Demand per lot Per Lot in SF 1 No. lots SF Area in Acres Factor in AFY 2 Demand (Total afy/ 22) Drip Irrigated Shrubs & Ground Cover 1,200 22 26,400 0.61 1 0.61 Turf Area 300 22 6,600 0.15 2.5 0.38 Drip Irrigated Common Entry area 500 2 1,000 0.02 1 0.02 Total Outdoor Demand 1.01 0.05 Indoor Demand 22 0.3 Total Indoor Demand 6.6 0.3 22-Lot .Total Project Demand 7.61 0.35 1. Per Project Condition 59: Subject to Nipomo Mesa Water Conservation Area Plan limits on irrigation due to service by Rural Water Co. 2. Using Landscape Water Demand Factors in Cypress Ridge FEIR 1996 Table V-4 (which calculated turf & drip irrigation demand separately) and using the Indoor Water Demand Factor from the Woodlands FEIR (Table 4.1-4} for residential 0.3-1 acre lots Proposed Water Demand Increase= 0.35 AFY {6 lots)= 2.1 AFY 5/1/2013 J I Exhibit 5 I Item 11.a. - Page 36 March 13, 2013 Jim LaLoggia Cleath-Harris Geologists, Inc. 11545 Los Osos Valley Road, Suite C-3 San Luis Obispo, California 934-05 (805) 543-1413 The Heights at Vista del Mar LLC P.O. Box 2129 Nipomo, California 93444 Subject: Assessment of Water Demand Values The Heights at Vista del Mar project, Arroyo Grande, California Dear Mr. LaLoggia: Cleath-Harris Geologists (CHG) has performed an assessment of water demands for the proposed increased number of lots at The Heights at Vista del Mar project in the City of Arroyo Grande, California. This development is known as Tract 1789 and is on San Luis Obispo County -J Assessor's Parcel Number 075-021-026. ' The proposed project includes 22 residential 2-acre minimum lots (an increase from 16 lots formerly proposed) and also involves the retirement of the irrigation of agricultural land on a 1.5- acre parcel at the intersection of Valley Road and the proposed Castillo del Mar Drive. CONDUCT OF WORK CHG reviewed the previous estimate of water demand and has developed a revised estimate that includes the modified parcel sizes and updated water use values. CHG estimated the historic water use for the agricultural lands that would be no longer irrigated due to the road intersection reconfiguration. CHG then researched land use maps and applied water estimates for crops in the Cienaga Valley of Arroyo Grande. As a part of this assessment, CHG visited the properties and observed water wells or irrigation system facilities. CHG discussed the history of the project and water demand values with Wallace Group and The Heights at Vista del Mar owners. This assessment is summarized in this letter report. PROJECT WATER DEMAND The project water demand is likely to be similar to other equivalent sized residential lots in the area that have been subject to similar development ordinances. I Exhibits I Item 11.a. - Page 37 The Falcon Ridge residential tract is located adjacent to the proposed subdivision and was developed under different County water conservation policies. The Falcon Ridge ,development lots have areas of about 2.5 acre-similar in area to the proposed project. The buildin'g/landscaped areas of improved lots at the Falcon Ridge development are typically about an acre. Hardscape areas and buildings cover a portion of the developable envelopes. Landscaping on each lot, though not formally restricted, is confined to a limited portion of the developable area. The improved Falcon Ridge lots have turf areas that range from 0-5000 square feet, based on areas calculated from observing a recent aerial photograph. Groundcover, shrubs, and trees line some of the driveways and property boundaries. According to Rural Water Company, the average water use for a residential lot at the 46-lot Falcon Ridge development is I. I acre-feet per year. The County water cons~rvation requirements enacted since the Falcon Ridge development (established in 1988) will result in lower water demands for the proposed project than those of the Falcon Ridge development. I The water demand resulting from implementing County development requirements is calculated based on allowable landscape areas. Wallace Group has estimated the landscape areas based on the Nipomo Water Conservation Plan area limits in the South County Area Plan. The landscape areas on each lot include drip irrigated shrubs and ground cover (1,200 square feet) and turf area (300 square feet). Water demand factors for these two categories are 1.0 acre-feet per acre per year and 2.5 acre-feet per acre per year. The corresponding outdoor water uses for the two categories are estimated to be 0.027 AFY and 0.017 AFY, for a total of 0.044 AFY per lot. Rounding up to the nearest .01 AFY, the outdoor water use would be estimated at 0.05 AFY per lot. Wallace Group estimated the indoor water use to be 0.3 AFY per lot. The water demand for an individual residential lot under these development conditions would be 0.35 AFY. The total water demand for the 16 lot development under the development conditions described above would be 5.6 acre-feet per year. The total water demand for the 22 lot development under the development conditions described above would be 7.7 acre-feet per year. The net change in water demand from the previously approved project with the existing South County Area Plan water conservation requirements therefore would be an increase of 2.1 acre- feet per year. REDUCTION IN AGRICULTURAL WATER DEMAND The project involves placement of a road accessing Valley Road from the proposed development. This road will connect to Valley Road in the Cienaga Valley. This approved roadway alignment has necessitated the purchase of a 1.5-acre parcel formerly used for irrigated farming. The irrigated area on this 1.5-acre parcel was calculated at 1.2-acres in the City of Arroyo Grande waterassessment letter 2 I Exhibit 6.21 Item 11.a. - Page 38 Mitigated Negative Declaration. The irrigation of truck crops, typically leafy vegetables in the Arroyo Grande area, has been estimated in the 2010 Hydro logic Balance for the Northern Cities Management Area prepared by Todd Engineers to have an applied water demand 0.95 acre-feet per crop. Double cropping is reported to be typical in this area for these crops. Therefore, the reduction of irrigation water deman-d due to the change in land use is 2.28 acre-feet per year. Return-flow to the groundwater from agricultural applied water was estimated in the 2010 Hydrologic Balance to be about 30 percent of the total in the Northern Cities Management Area. The portion of applied water returned to the groundwater on this 1.2 acres of irrigated land therefore would be 0.68 acre-feet per year. The net reduction in consumed groundwater from the Cienaga Valley area due to the change in land use on this 1.5 acre parcel would be 1.6 acre-feet per year. CONCLUSION -i The project water demand will increase by 2.1 acre-feet per year with the increase in residential lots from 16 lots to 22 lots. The net reduction in consumed groundwater from the Cienaga Valley of Arroyo Grande due to the approved routing of the road accessing the project will be 1.6 acre-feet per year. Respectfully submitted, CLEA TH-HARRIS GEOLOGISTS, INC. " ; /y ._,_,.,~_;;~-;{::> /I',.· Timothy S. Cleath, California Certified Hydrogeologist #81 President waterassessment letter 3 I Exhibit 6.31 Item 11.a. - Page 39 References Arroyo Grande, City of, 2006, Mitigated Negative Declaration-TPM 06-004 Google Earth, 2013, Aerial Photography of Falcon Ridge development, The· Heights at Vista del Mar, and Arroyo Grande Rural Water Company, January 21, 2011, Will Serve Letter Replacing Expired Letter dated November 28, 2007, addressed to J.H. Land Partnership LP San Luis Obispo County Department of Planning and Building, 2013, Permit View, http://www.sloplanning-maps.org/ Todd Engineers, 20 l 0, Hydro logic Balance for the Northern Cities Management Area, Table 13 I Wallace Group, February 2013, Information provided in meeting with Cindy Chambers, Senior Planner, and subsequent emails regarding water demand calculations, water use at Falcon Ridge, and project Tentative Parcel Map 06-0004 and Revised Vesting Tentative Map waterassessment letter 4 I Exhibit 6.41 Item 11.a. - Page 40 June 27, 2013 Mr. Jason Blankenship SOUTH SAN LUIS OBISPO COUNTY SANITATION DISTRICT Post Office Box 339, Oceano, California 93475-0339 1600 Aloha Oceano, California 93445-9735 Telephone (805) 489-6666 F~"X (805) 489-2765 W\'llW .sslocsd.org The Heights at Vista Del Mar Group, LLC 332 Creekview Way Arroyo Grande, CA 93420 RE: Sewer Service to Tract 1789 Dear Mr. Blankenship: This letter is in regards to the Agreement executed in April of 2001 betweenthe City of Arroyo Grande and the South San Luis Obispo County Sanitation District for providing sewer service to Tract 1789. The District understands that you are currently seeking to increase the residential lots on the site and that you will require sewer service for the proposed 22-lot project. The District has the capacity and intends to provide service to the extra lots. Nevertheless, the District is not prepared, at this time, to issue a Will-Serve letter because of the uncertainty of collecting all applicable connection fees and service charges due to the District through the County tax roll as stipulated on page 2 of the aforementioned agreement. Once the logistics and mechanisms for the collection of both sewer service revenue fees and connection fees related to sewer hook-ups are better understood and put into place, the District will be more than willing and able to provide sewer service based on the agreements previously executed for VTTM 1789. The District looks forward to working with you on this very important endeavor. If you have any questions or concerns, please feel to contact me at (805) 481-6903 or at my email address: matthew@sslocsd.us. Very truly yours, Matthew Haber Bookkeeper/Secretary South San Luis Obispo County Sanitation District I Exhibit 1 I Item 11.a. - Page 41 Technical Memorandum Date: 8/20/2013 To: Teresa Mcclish Director of Community Development City of Arroyo Grande 300 E. Branch Street Arroyo Grande, CA 93421 Prepared by: Spencer Waterman and Joshua Reynolds, P.E. Reviewed by: Jeffery Szytel, P.E. Phone: SUBJECT: REVIEW OF THE PROPOSED BUSICK TRACT 3048 WATER SUPPLY OFFSET FROM CONSERVATION PROJECTS ATTACHMENT 2 ~~\IVSC WATER SYSTEMS (ONSUlTING, INC. (805) 473-5420 This Technical Memorandum (TM) summarizes Water System Consulting's (WSC) preliminary review of the proposed Busick Tract 3048 Project (Development) water offset for the City of Arroyo Grande (City). The TM is comprised of three parts: Part 1 -Comparison of the proposed development water demand projections with typical City land use based demands; Part 2 -Analysis of the previously completed Strother Park irrigation retrofit project; Part 3 -Review of the Sprinkler King reports on the proposed irrigation retrofits. The TM evaluates and summarizes the City's potential to offset the Development's water demands through irrigation retrofits of existing large demand customers (i.e. Ocean View Elementary School, Paulding Middle School and Arroyo Grande Cemetery) in order to reliably deliver water to the proposed Development. Background The Development project is a 22 unit subdivision located outside but adjacent to the City Limits that has requested annexation into the City. The Developer proposes to connect with the City's water system and would be served by the Vista Del Mar Booster Station. According to the developer, 7.61 AFY will be required to meet the subdivision's water demands. The developer proposes to fund three water conservation irrigation retrofit projects to offset the Development's water demands at a minimum ratio of 2:1. The irrigation retrofits are proposed to occur at the Arroyo Grande Cemetery (AG Cemetery), Ocean View Elementary School (Ocean View), and Paulding Middle School (Paulding). The City's irrigation consultant, Sprinkler King, Inc. (Sprinkler King), has previously completed reports on estimated water savings calculations for the proposed irrigation retrofit projects. Part 1 -Comparison of Proposed Development Water Demand Projections with City Demand Projections Water demand estimates for the proposed development created by the developer were analyzed. The sources of the demand factors were other Environmental Impact Reports (El Rs) for nearby developments. WSCwas unable to locate copies of these El Rs, so the real basis of these demand factors could not be assessed. Table 1 Arroyo Grande_Busick Tract 3048 Water Suppty Offset Review Final Item 11.a. - Page 42 2012 Engineering Consulting Services Review of the Proposed Busick Tract 3048 Water Supply Offset from Conservation Projects shows the Project's estimated water demand as presented in the Heights at Vista Del Mar: VTTM 3048 Project Description, dated 5/1/2013. I Table 1. Project Estimated Water Demand Drip Irrigated Shrubs and Ground Cover Turf Areas Drip Irrigated Common Entry Area Indoor Demand Demand (AFY) LJLJCJ.IL___ -0.61 I ·-----··-···--· --· ---, -----····-···-··--· .. -·-· 11-----------------Jr Acres I! 0.15 'i 2.5 :! c:JEJr-==1 ---··-=11= = -----------.. l Q.38 I 0.02 1 -------,----------' Dwelling ' 22 0.3 ''. Unit ii --~~=, =--== - 6.60 I J 7.61 I Total Project Demand The proposed City Zoning for the project is Residential Rural (RR), which is compatible with the City's Single family Low Density Residential Land Use category. WSC developed water demand estimates for the Project based on water demand factors from the City's Water Master Plan as shown in Table 2. Single Family Low Density Residential Table 2. Master Plan Based Demand Estimates Unit Type • Project Demand (AFY) '---D-~-~_l:~_ng__,C]L]c:J The Water Master Plan land use based water demand projection of 13.64 AFY does not include any of the proposed low impact and water conservation measures proposed by the Developer. As envisioned, the project will severely restrict the amount of irrigated landscape and turf area allowed on each parcel to 1,200 sf of irrigated area and 300 sf of turf (for comparison, each parcel is larger than 1 acre (43,560 sf) in size). To compare the proposed low water use developmentto a traditional development and assess the reasonableness of the demand factors used by the developer's engineer in the calculation of the restricted water usage (as shown in Table 1); the allowable irrigated acreage can be increased to a degree more representative of existing uses. To do this, the project was analyzing using a theoretical parcel with 12,000-sf of irrigated area and 1,500- sf of turf area with the Table 1 demand factors, results in a theoretical project demand of 14.58 AFY, which matches reasonably well with the 13.64 AFY demand derived using the Water Master Plan demand factors. Therefore the demand projected by the developer using the restricted landscape requirements seems reasonable. 8/20/2013. Page 2 of 6 Arroyo Grande_Busick Tract 3048 Water Supply Offset Review Final Item 11.a. - Page 43 2012 Engineering Consulting Services Review of the Proposed Busick Tract 3048 Water Supply Offset from Conservation Projects .~~~ 'WSC ~WArill:Smt.\tSCoNSULTING,. INC. WSC assumes the City will reach an agreement with the Developer on a method to enforce the irrigation restrictions; and considers the demand reduction to be aggressive, but achievable. Part 2 -Analysis of Strother Park Irrigation· Retrofit Strother Park was surveyed by Sprinkler King on March 6, 2009 to assess the irrigation system and conditions affecting the water consumption for irrigation. The report for the survey contained irrigation retrofit recommendations and estimated that water consumption could be reduced by 33% for the park if the irrigation retrofit recommendations were implemented. The City implemented all of the recommendations and completed the retrofit in August 2009. Table 3 shows the estimated savings and actual savings achieved based on analysis of water consumption data before and after the retrofit. · Table 3. Strother Park Retrofit Estimated and Actual Savings Estimated 2005 ... 2008 Assumed 2010-2012 Actual Actual Potential Pre-Retrofit Savings Post-Retrofit Savings Savings(%) Savings(%) Average (AFY) Average (AFY) Consumption Consumption (AFY) (AFY) Strother Park Retrofit 33% 9.1 3.0 5.5 39.6% While the analysis of the average consumption data before and after the retrofit indicates that the actual savings exceed the estimated savings, ~onsideration of hydrologic conditions during the periods analyzed should be taken into account. Monthly and annual rainfall data was analyzed from 2005 through 2011 and annual average rainfall was analyzed from 1966-2011. The driest year from 2005 through 2011 was 2007, during which the monthly and annual consumption remained approximately close to the years surrounding it prior to the retrofit. The wettest year from 2005 through 2011 was 2011, during which the monthly and annual consumption remained approximately the same as the years surrounding it after the retrofit. The amount of monthly and annual rainfall did not appear to be correlated with reduced water consumption before or after the retrofit. Furthermore, average annual rainfall from 2005-2011 was only slightly higher than the long-term historical average rainfall. As shown in Figure 1, monthly average consumption decreased after the retrofit. 8/20/2013 Page 3 of6 Arroyo Grande_Busick Tract 3048 Water Supply Offset Review Final Item 11.a. - Page 44 2012 Engineering Consulting Services Review of the Proposed Busick Tract 3048 Water Supply Offset from Conservation Projects 4.5 4 3.5 ~ 3 c ii 2.5 a: .... 0 2 VI cu .J:. u 1.5 .E 1 0.5 0 ..:S-~<o ~~ 9.~ .;.. ~~ ~" ~0 ':8-6 o~ !<-<., ...... <( ~ ~ ~ ') ') ~ " 0 ~ <:) Month 3 2.5 2 c 0 1.5 i. E ::I VI 1 s v 0.5 c::::::::J Average Consumption (2005- 2008) -Average Consumption (2010- 2012) -Average Rainfall (1966-2011) -Average Rainfall (2005-2011) Figure 1. Pre and Post Retrofit Consumption and Rainfall Review of Sprinkler King's Strother Park survey as well as historical rainfall and consumption data indicates that the estimated water savings presented in the Sprinkler King survey are accurate. Based on the observed results · of Strother Park's irrigation retrofit, it is assumed that the water savings estimates in Sprinkler King's surveys are reasonable, and adequate for determining potential water savings that can be achieved through retrofitting other irrigation customers within the City's service area, including AG Cemetery, Ocean View, and Paulding. Part 3 -Review of Sprinkler King Surveys Arroyo Grande Cemetery District The landscape irrigation survey for the AG Cemetery submitted on April 30, 2009 identified the landscape retrofit recommendations and estimated water savings as shown in Table 4. Table 4. AG Cemetery Estimated Potential Water Savings Recommended Retrofit 1. Update the Sprinkler Heads 2. Update the Control System 3. Valve Maintenance Service 4. Handheld Remote Control Unit 5. ET Based Weather Stations Total 2004-2012 Average Consumption (AFY) Assumed Savings (AFY) ·s12012013 Arroyo Grande_Busick Tract 3048 Water Supply Offset Review Final Estimated Potential Savings (%) ·~1 ====~·=··=····=···~.s~-~=~·=· ,,,.,..,.,~==~ Not Estimated I Not Estimated . j 20~·-···· .. ···--····· _j I 3s.11 I [_·_· --·--·_7.02 ·---··-~-~-~~-_] Page 4 of 6 Item 11.a. - Page 45 2012 Engineering Consulting Services Review of the Proposed Busick Tract 3048 Water Supply Offset from Conservation Projects Ocean View Elementary School The landscape irrigation survey for Ocean View submitted on January 10, 2011 identified the landscape retrofit recommendations and estimated water savings as shown in Table 5. Table 5. Ocean View Estimated Potential Water Savings Recommended Retrofit 1. Update Nozzles 2. Soil Improvements Total 2004-2012 Average Consumption (AFY} Assumed Savings (AFY) Paulding Middle School Estimated Potential Savings (%) 25% · Not Estimated ~~---~--~'~'-~~~ -c. 25% 17.04 .4.26 1 The landscape irrigation survey for the Paulding Middle School (Paulding) submitted on January 10, 2011 identified the landscape retrofit recommendations and estimated water savings as shown in Table 6. Table 6. Paulding Estimated Potential Water Savings Recommended Retrofit 1. Update Irrigation Controllers 2. Lawn Aeration Total 2004-2012 Average Consumption (AFY) Assumed Savings (AFY) Total Potential Water Savings f Estimated Potential Savings (%) 25% - Not Estimated 25%. ·-· 11.02 r-~m••L• ™• H•2~75 The total estimated potential water savings for the three proposed irrigation retrofits is shown in Table 7. Table 7. Total Estimated Potential Water Savings Potential Irrigation Retrofit Customer Assumed Savings (AFY) AG Cemetery I· 7.02 . Ocean View Elementary 4.26 Paulding Middle School I 2.75. . ] ···-1 Total 14.03 8/20/2013 Page 5 of 6 Arroyo Grande_Busick Tract 3048 Water Supply Offset Review Final Item 11.a. - Page 46 2012 Engineering Consulting Services Review of the Proposed Busick Tract 3048 Water Supply Offset from Conservation Projects Conclusion Table 8 shows potential retrofit savings, development demand estimates and potential water demand offset ratio for the project. Developer's Project Demand Estimate Table 8. Comparison of Water Demand Estimates and Potential Water De;;,and Offsets Potential Retrofit Savings (AFY) 14.03 II Estimated Project Demand (AFY} 7.61 Potential Demand Offset 1.84:1 II Exceeds 2:1 Offset No The project is offset by less than the desired 2:1 ratio, therefore WSC recommends the City and Developer seek an additional project to increase the offset by at least 1.2 AFY for a total demand offset of more than 15.2 AFY which will meet the desired 2:1 offset goal. 8/20/2013 Page 6 of6 Arroyo Grande_Busick Tract 3048 Water Supply Offset Review Final J Item 11.a. - Page 47 ATTACHMENT 3 CHAPTER 1 INTRODUCTION AND EXECUTIVE SUMMARY Figure 1-1 -Recommended Sphere of Influence City of Arroyo Grande City Limits & Sphere of Influence Recommendation Legend /'V Major Roads ---\ ·t l ··: I Service Area -Sphere of Influence .,.._..._. ;"..... ·-~ , __ ')' ~ ...... oe,Sl.OINCO "" ... c:.., ..... .,. .... _.,. fWr -"1Wl011 ADOPTED 1-17 NOVEMBER 2012 j Item 11.a. - Page 48 WAUACE GROUP l ,,. -,_ Proposed Outside Agreement Annexation to City of Arroyo Grande Sphere Influence Item 11.a. - Page 49 THIS PAGE INTENTIONALLY LEFT BLANK Item 11.a. - Page 50