R 3639RESOLUTION N0.3639
A RESOLUTION OF APPROVAL OF A MEMORANDUM OF
AGREEMENT BY THE CITY COUNCIL OF THE CITY OF
ARROYO GRANDE WITH THE COUNTY OF SAN LUIS
OBISPO LOCAL AGENCY .FORMATION COMMISSION
PROCEEDINGS TO UPDATE THE SPHERE OF
INFLUENCE AND MUNICIPAL SERVICE REVIEW
WHEREAS, the San Luis Obispo Local Agency Formation Commission is required to
develop and determine the updated Sphere of Influence for the City of Arroyo Grande
pursuant to Govemment Code Section 56425 as part of its periodic review of Sphere of
Influence for every City and Special District et. seq. in the County of San Luis Obispo; and
WHEREAS, the City Council on November 12, 2002 approved a Resolution of Application
to the San Luis Obispo Local Agency Formation Commission to initiate proceedings for
the City of Arroyo Grande Sphere of Influence Update as authorized and in the manner
provided by the Cortese-Knox-Hertzberg Local Govemment Reorganization Act of 2000
(Govemment Code Sections 56000 et. seq.); and
WHEREAS, the CKH Act requires a Memorandum of Agreement between the City and
County within 60 days of the Resolution of Application and subsequently approved by
LAFCO as a prerequisite to Sphere of Influence Update and Municipal Service Review
Report adoption;
NOW THEREFORE BE IT RESOLVED by the City Council of the City of Arroyo Grande
that the Memorandum of Agreement (MOA) with the County of San Luis Obispo
regarding LAFCO proceedings to update the SOI and MSR, attached hereto as Exhibit
'A', is approved,
AND BE IT FURTHER RESOLVED that the Mayor is authorized to sign and submit the
original MOA to LAFCO with a copy transmitted to the County of San Luis Obispo Board
of Supervisors for like approval.
On motion by Council Member Lubin, seconded by Council Member Costello, and by the
following roll call vote, to wit:
AYES: Council Members Lubin, Costello, Dickens, Runels and Mayor Ferrara
NOES: None
ABSENT: None
the foregoing Resolution was adopted this 10"' day of December 2002.
RESOLUTION N0.3639
TONY M. F RA, MAYOR
ATTEST:
KEL WET ORE, ADMINISTRATIVE SERVICES DIRECTORI
DEPUTY CITY CLERK
APPROVED AS TO CONTENT:
_....
e
EN ADAMS, CITY MANAGER
APPROVED AS TO FORM:
TI OTHY ARMEL, CITY ATTORNEY
EXHIBIT A
MEMORANDUM OF AGREEMENT
BETWEEN THE CITY OF ARROYO GRANDE AND
THE COUNTY OF SAN LUIS OBISPO
REGARDING THE CITY'S SPHERE OF INFLUENCE
This Agreement is entered into on this day of
2002, by and between the City of Arroyo Grande (hereafter "City") and the County San
Luis Obispo County (hereafter "County").
WITNESSETH
WHEREAS, the Cortese/I{rtox/Hertzberg Act ("the Act") requires the Local
Agency Formation Commission (I.AFCO) to update the Spheres of Influence for all
applicable jurisdictions in the County every five yeazs; and
WHEREAS, a Sphere of Influence is defined by Government Code 56076 as a
plan for the probable physical boundaries and service azea of a local agency, and pursuant
to Government Code 56425 has been identified by the County of San Luis Obispo and the
City of Arroyo Grande as contained in Exhibit A; and
WHEREAS, the Act further requires that a Municipal Service Review be
conducted prior to or, in conjunction with, the update of a Sphere of Influence and such a
Municipal Service Review has been prepazed by LAFCO staff in accordance with Section
56430 of the California Government Code as a means of identifying and evaluating public
services provided by the City of Arroyo Grande and changes to the City's Spheres of
Influence; and
WHEREAS, the Act strongly encourages the City and County to reach agreement
regarding the boundaries (Exhibit A), development standards, and zoning requirements
(Exhibit B) to ensure that development within the sphere occurs in an orderly and logical
manner; and
Memorandum of Agreement Page I
City of Arroyo Grande and County of San Luis Obispo
WHEREAS, the City and County have reached an agreement regarding the
boundaries (Exhibit A), development standazds and zoning requirements (Exhibit B); and
WHEREAS, LAFCO is required by Government Code 56425 (b) to give great
weight to this agreement in making its final determination of the city's Sphere of
Influence.
NOW, THEREFORE, the parties agree as follows:
1. The Sphere of Influence boundary contained in Exhibit A provides for the orderly
and logical growth for the City of Arroyo Grande and represents an appropriate
20-year growth boundary based on existing information.
2. The development standards and zoning requirements contained in Exhibit B
provide a framework for completing updates to the General Plans of both the.City
and the County for the azeas in the Sphere of Influence.
3. The development standazds and zoning requirements contained in Exhibit B are
intended to provide the City and the County with the basis for developing specific
land use policies and standazds for the azeas in the City of Arroyo Grande's Sphere
of Influence and do not supersede or limit the planning or environmental review
process of either jurisdiction.
Memorandum of Agreement Page 2
City of Arroyo Grande and County of San Luis Obispo
Mayor, City Council
City of Arroyo Grande
APPROVED AS TO FORM AND LEGAL EFFECT:
City Counsel
Dated:
ATTEST:
City Clerk
Dated:
Memorandum of Agreement Page 3
City of Arroyo Grande and County of San Luis Obispo
Chair, Board of Supervisors
County of San Luis Obispo
APPROVED AS TO FORM AND LEGAL EFFECT:
County Counsel
Dated:
ATTEST:
County Clerk
Dated:
Memorandum of Agreement Page 4
City of Arroyo Grande and County of San Luis Obispo
1. Exclude from
existing SOI
Exhibit A
_ ~ CITY OF ARROYO GRANDE
Proposed Sphere of Influence
November -2002
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PISMO BEACH
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Area remains in
Existing SOI ~ __
(Outside User Aoreementl
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5. Exclusion of Triangle Lot
OCSD requests to serve area
(Coker-Ellsworth)
Anoyo GnnN City Lhnae
~:~,~ Adopted SpMree of hdlwnu antl Servlu
(CObrmineue e:upl vrftera noted)
--'~-~~ Adoped SpMn of Service (an1Y)
naoeee m.is~ nMre ~~mw
Memorandum of Agreement
City of Arroyo Grande and County of San Luis Obispo
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2. Add area to SOI
(200 acres -Williams)
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/' _ ~ 3. Add area to SOI
(developed Ys to Yz acre lots)
4. Add existing Tract 1724
Church to SOI
Page 5
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EXHIBIT B
DEVELOPMENT STANDARDS AND ZONING REQUIREMENTS
The following development standards and zoning requirements are agreed to and shall be
used by the City of Arroyo Grande and the County to develop the proposed Sphere of
Influence as described in Exhibit A and to update their General Plans.
1. Intent. It is the intent of the County and the City to work cooperatively towazds
the goal of developing the agreed upon Sphere of Influence (as shown in Exhibit
A) in an orderly and logical manner consistent with the Cortese/Knox/Hertzberg
Act, the City and County General Plans, the California Environrnental Quality Act
and any other applicable laws and regulations.
2. Interagency Cooperation. The City and the County shall work cooperatively on
planning for land use, circulation connections, agricultural land and open space
preservation by referring discretionary development projects and General Plan
Amendments within each agency's jurisdiction to the other for review and
comment prior to action on a development proposal. In particulaz, the County
shall consult and provide the City with opportunities to comment on projects that
propose to intensify the land use pattern along the northern boundary. The City
shall seek the County's comment regarding projects that affect unincorporated
azeas surrounding the fringe area of the city. When a discretionary project
application is accepted for processing, it shall be referred immediately to the
following contact person(s) for early review and comment:
Warren Hoag, Principal Planner Rob Strong, Duector
Department of Planning and Building Community Development
County Government Center 214 East Branch
San Luis Obispo, CA 93401 Arroyo Grande, CA 93420
This provision shall not supercede or terminate other methods of commenting
or providing feedback regazding a proposal or project, but is meant to enhance
Memorandum of Agreement Page 6
City of Aaoyo Grande and County of San Luis Obispo
and increase interagency cooperation and communication.
3. Interim Development. To the extent possible, the County shall limit the
development in the Northern Arroyo Grande Fringe Area to be removed from the
City's Sphere of Influence area to what is allowed under current land use
designations. This includes compliance with the standards regazding the
Residential Rural and Residential Suburban land use categories found in the
County's San Luis Bay Area Plan.
4. City/County Shared Services, Infrastructure, and Facilities. The County and
City will evaluate the creation and implementation of various assessment and
financing mechanisms to provide for the construction and maintenance of public
improvements and services, such as; roads, Fire and Police emergency response,
utilities, recreation and trail improvements, historical and cultural pazks, and
similaz improvements that could serve visitors and residents of the City and the
County. Special consideration shall be given to the possible development of
impact fees that could assist the County in maintaining roads, and other
transportation infrastructure in the unincorporated azea adjacent to the City where
impact fees aze not currently chazged.
5. Environmental Constraints. The City and the County shall base their
recommendations and decisions for the 180 acre Frederick site (already within the
City's SOI) and the 200 acre Williams site (to be added to the SOI) on an
environmental constraints analysis that studies resources such as, but not limited
to; sensitive habitats, 100 yeaz flood plain azeas, agricultural lands with class I, II
or III soils, open space resources, cultural resources, and areas of greater then 30%
slopes. The Constraints Analysis shall be used to help prepare the Specific Plan
for these SOI azeas. Further, the SOI areas shall be developed in a phased manner,
with the SOI azea closest to the City (Fredericks) being considered first as called
for in the City's General Plan, and the Williams property being considered after
the Frederick project receives approval and is annexed into the City.
Memorandum of Agreement Page 7
City of Arroyo Grande and CounTy of San Luis Obispo
6. Agriculture and Open Space. To the greatest extent possible, the City and the
County shall work together to preserve the agricultural and open space resources
in the SOI area and Planning Area, particulazly the portion south of and
surrounded by the City Limits. Special attention shall be given to addressing the
criteria contained in Agricultural Policy 24 (Exhibit C) of the County's
Agriculture and Open Space Element. This shall be evident in the prepazation of
the Constraints Analysis and Specific Plan. The remainder of agricultural azea
outside the SOI shall not be included in the Constraints Analysis and City
Specific Plan.
7. Land Uses. The proposed area being added to the SOI as described in Exhibit A
may include, but are not limited to residential, mixed-use, public facilities, visitor-
serving, agriculture uses, and/or recreational uses dependent upon the preparation
of a Specific Plan for the azea.
8. General Plan Amendment. The City intends to complete pre-zoning, pre-
annexation, and any necessary pre-general plan amendment activities prior to or
concurrent with an annexation proposal being processed by LAFCO. The County
intends to complete any necessary amendments to its General Plan in the San Luis
Bay Area Plan to reflect the annexation of territory to the City of Arroyo Grande.
The County shall also consider policies for the northern part of the City/County
boundary, currently zoned Residential Suburban, that limit the intensification of
land uses in the area. The County shall consider placing the southeast portion of
the Sphere of Influence into one Planning Area, preferably the San Luis Bay
planning area.
9. Zoning Requirements/Specific Plan. A Specific Plan, which identifies land uses
within the Sphere of Influence areas, shall be prepazed and adopted by the City
prior to the annexation of the property into the City. The Plan shall be prepazed in
accordance with the City's General Plan and subject to environrnental review
Memorandum of Agreement Page 8
City of Arroyo Grande and County of San Luis Obispo
which shall include analysis of issues related to completing the annexation, such
as a reliable and adequate water supply, sewer capacity, and other services for the
proposed project. Policies in the City's General Plan may apply to the SOI azea
include, but aze not limited to:
• Land Use #10 Utilize Conservation/Open Space, Planned Development
and/or Specific Plan districts or combining designations for areas of special
site development concerns.
• Land Use #11 Promote a pattern of land use that protects the integrity of
existing land uses, azea resources and infrastructure and involves logical
jurisdictional boundaries with adjacent communities and the County.
• Land Use #12 Components of "rural setting" and "small town character" shall
be protected.
Each of the above policies have "sub-policies" that more cleazly define the
elements and issues to be considered in the Specific Plan prepazed for the SOI
azea.
Policies in the County's Agricultural and Open Space Element that may apply to
the SOI area include, but are not limited to:
• Agricultural Policy #24 Conversion of Agricultural Land, which is attached to
this agreement in Exhibit C.
10. Timing of Actions. Several actions will be completed prior to the City annexing
properties located in the Sphere of Influence as shown in Exhibit A. Please note
the tazget dates are intended to be advisory in nature:
Memorandum of Agreement Page 9
City of Arroyo Grande and County of San Luis Obispo
Action Agency Tazget Date
1. Sphere of Influence Update/MSR LAFCO 2002
2. Project Referrals County and City On-going
3. Phase 1-Fredericks Property
Specific Plan Preparation City of Arroyo Grande 2005-2010
Prezoning & Annexation City of Arroyo Grande/LAFCO
2010
4. Phase 2-Williams Property City of Arroyo Grande
Specific Plan Preparation City of Arroyo Grande/LAFCO
Prezoning & Annexation
2005-2010
S. Other smaller sites
Annexation Request &Pre-zoning City of Arroyo Grande
Annexation Consideration LAFCO
Memorandum of Agreement Page 10
City of Arroyo Grande and County of San Luis Obispo
EXHIBIT C
COUNTY AGRICULTURE AND OPEN SPACE POLICY #24
Memorandum of Agreement Page 11
City of Arroyo Grande and County of San Luis Obispo
AGP24: Conversion of Agricultural Land.
a. Disrnurage the conversion of agricultural lands to non-agricultural uses
through the following actions:
Work in cooperation with the incorporated sties, service districts,
school districts, the County Department of Agriculture, the
Agricultural Liaison Board, Farm .Bureau, and affected community
advisory groups to establish urban service and urban reserve lines and
vffiage reserve lines that ~t~ll protect agricultural land and will stabilize
agriculture at the urban fringe.
2. Establish clear criteria in this plan and the Land Use Element for
changing the designation of land from Agriculture to non-agricultural
designations.
3. Avoid land redesignadon (rezoning) that would create new rural
residential development outside the urban and village reserve lines.
4. Avoid locating new• public facilities outside urban and village reserve
lines tmless they serve a rural ftmction or there is no feasible
alternative location within the urban and village reserve lines.
Discussion: The purpose of this policy is twofold: to protect agrculttual land at the urban
fringe by limiting the expansion of urban development; and to discourage urban suburban
sprawl by preventing "leapfrog" development into the agricultural azeas of the county.
Agricultural land is often convened to other uses for a variety of reasons, including: urban
growth pressttres, rising land values and speculation, competition between urban and
agricultural uses, the desirability of large-lot rural homesites, subdivision of agricultural
properties into parcels too small to sustain agricultural uses, piecemeal LUE amendments
to non-agricultural land use categories, and a lack of policies that clearly define under
what circumstances agricultural lands should be converted to other uses and land use
designations in the general plan. This conversion of agricultural land has the potential to
seriously erode the long-term protection of agricultural resources.
Even with the strong Williamson Act program in the county, there has been pressure to
convert agricultural lands to other non-agricultural toes. Since adoption of the LUE in
1980, over 3,000 acres of land have been rezoned from the Agriculture category to non-
agriculttual land use categories in the unincorporated areas of the county.
Statistics from the state Department of Conservation's farmland mapping program show
that in the period between 1984 and 1995 (the last year for which statistics are available),
there was an overall decrease in agricultural land of about 14,800 acres. There was a net
TIm AGRICULTURE Er-ESfsivr 2-SO AGRICULTURE & OPEN SPACE ELEbfENT
AG&OS Ctv+P2
increase of prime Farmland due to intensification (primarily irrigated vineyards); however,
the net acreage of Farmland of Statewide Importance also declined by 783 acres.
The LUE contains a number of general goals that focus on the envvonment, distribution
of land uses, phasing of -urban development, and the provision of public services and
facilities. Consistent with those goals, specific criteria should be developed for when it
may be appropriate to convert agricultural lands to ocher uses. The criteria should
include, but not necessarily be limited to, the following:
** Do not expand existing urban or village areas until such aeeas are largely built-out,
or until such time as additional land is needed to accommodate necessary uses or
services that cannot otherwise be accommodated within the existing urban or
village area.
** Urban or village expansion should occur only where contiguous to an existing
urbanlvillage reserve line, as shown in the concept diagram in Figure 2-5, or
where an entirely new urban or village area is needed in order to direct
development away from surrounding agricultural or open space resources.
** Where urban expansion is to occur, it shall be annexed to an incorporated city or
an existing community services disuact/county service area. The annexation shall
occur only where the clustered development from rural property is to be located
adjacent to the urban area, or when higher density development is to occur and
where such development is consistent with resource and service capabilities and
orderly extension of urban services.
** Where agricultural land is proposed for conversion to urbanJsuburban uses, give
consideration to the protection of agricultural lands in the following priority order:
row crop terrain and soils, specialty crops and forage lands, dry farm lands, and
rangelands far grazing.
AGRICULT[7RE & OPEN SPACE ELEf~NT 2-51 Tt¢ AGR[Ct7LTtktE ELEMENT
AG&OS_CAAe2
RESOLUTION N0.3639
OFFICIAL CERTIFICATION
I, KELLY WETMORE, Director of Administrative Services/Deputy City Clerk of
the City of Arroyo Grande, County of San Luis Obispo, State of California, do
hereby certify under penalty of perjury, that Resolution No. 3639 is a true, full,
and correct copy of said Resolution passed and adopted at a regular meeting of
the City Council of the City of Arroyo Grande on the 10~' day of December, 2002.
WITNESS my hand and the Seal of the City of Arroyo Grande affixed this 13~'
day of December, 2002.
KELLY~INETI~II~ORE, AIRECTOR OF ADMINISTRATIVE SERVICES!
DEPUTY CITY CLERK