HomeMy WebLinkAbout1995-11-14 - AGENDA REPORTS - MOU NORTH VALENCIA ANNEX (2)AGENDA REPORT
City Manager Approv L
Item to be presented by:
Ken Pulskamp
NEW BUSINESS
DATE:: November 14, 1995
SUBJECT: MOU FOR THE NORTH VALENCIA ANNEXATION
DEPARTMENT: Community Development
In August 1995 the Valencia Company proposed annexation of 969 acres of uninhabited land
to the City. The project area boundaries are roughly between Magic Mountain Parkway, the
Valencia Industrial Center, Newhall Ranch Road, Bouquet Canyon Road and Valencia Blvd.
This annexation area encompasses a portion of the Santa Clara River and several
development projects which have been approved or are presently being processed by the
County totaling 3600 dwelling units, 196 acres of commercial/industrial land, 109.8 acres of
recreation areas and 384 acres of open space.
The proposed MOU is a non-binding agreement that outlines the basic understanding
between the City and Valencia Company that will allow this uninhabited annexation to
proceed. Since this area is uninhabited, only the permission of the property owner, the
Valencia Company, is needed for the annexation to proceed. Following approval of the MOU,
the City would proceed with a pre -zone of the annexation area and the Valencia Company
would develop an annexation and development agreement to further refine the terms of this
annexation with a binding agreement.
The attached MOU contains several benefits of importance to both the City and the Valencia
Company. A main benefit for the City is acquisition of a portion of the Santa Clara River for
$1.5 million and the subsequent reinvestment of that money in habitat enhancement and
recreational uses along the river within the annexation area. Main benefits for the Valencia
Company include acceptance of development project entitlements already approved by the
County, completion of entitlement processing of projects begun in the County at the same
density and intensity, consideration of waivers of Bridge and Thoroughfare District fees for
a 192 -unit income restricted senior project and agreement to consider establishing public
financing for the construction of public improvements within the annexation area.
The development projects already approved and proposed in the annexation area are
consistent with the Valley Center Concept of the City's General Plan. This MOU has not
by the Planning Commission; however, they would review the pre -zone, annexation and
development agreement, and subsequent development projects should this MOU be approved
and annexation processing occurs. Preliminary review by the City's Finance Department has
found that the fiscal impact of this annexation will be revenue neutral. The MOU has been
reviewed and approved as to form by the City Attorney's office.
RECOMMENDATION
1. Approve staff report and MOU, and
2. Authorize the City Manager to execute the MOU and any related MOU
amendments.
GAC:LHS:Iep
ATTACHMENT:
Memorandum of Understanding
cd\council\ aznlfmou.lhs
Page 1
NORTH VALENCIA ANNEXATION
MEMORANDUM OF UNDERSTANDING
Preamble
This Memorandum of Understanding (MOU) is designed to summarize the basic elements
ofunderstanding of the City and Valencia Company regarding the annexation of
approximately 969 acres presently located in the County.
The purpose of this MOU is to make sure that the City and Valencia Company have reached
anon -binding understanding with respect to certain points that are fundamental to both the
City and Valencia Company and without which, the time and effort that will go into
negotiating and approving an Annexation and Development Agreement would not be
warranted. The City and Valencia Company also recognize that each of the points outlined
below is essential to proceeding with the negotiation and approval of the Annexation and
Development Agreement.
The City and Valencia Company recognize that there are significant benefits to both the City
and Valencia Company if the Annexation Area outlined in the Project Summary attached
hereto as Exhibit l is annexed into the City.
City Benefits
1. FISCAL IMPACT
The fiscal impact of this annexation will be revenue neutral.
2. SANTA CLARA,RIVER
A. The City intends to acquire a permanent 285± acre river conservation and
recreational use easement for the benefit of the community over the Santa Clara
River and its tributaries within the annexation area. The easement and the
development project boundaries will be defined as the area covered by the
proposed Army Corps of Engineers permit shown on the River Area Summary
attached hereto as Exhibit 2. The easement will convert to fee simple ownership
once flood control improvements are complete.
B. The City intends to acquire the river conservation and recreational use easement
and the river greenbelt and trail easements for the appraised value or not to
exceed $1.5 million using funds targeted for habitat protection and enhancement,
construction of trails, landscaping of greenbelt areas and other purposes. It is
intended that the $1.5 million will be used for the 285± acre river acquisition
which includes wetlands, riparian habitat and approximately 5.5 miles of
multipurpose trails and greenbelt consistent with Exhibit 2. This includes an
interim trail alignment from Bouquet Canyon Bridge to the South Fork Trail
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northwest of the Valencia bridge. Valencia Company will use this $1.5 million to
landscape and improve the river greenbelt areas for the purposes of habitat
enhancement and recreational uses consistent with adopted plans.
C. Valencia Company will continue to maintain existing revegetation areas and may
elect to provide new revegetation and/or mitigation banking and maintenance in
the easement area in cooperation with the City.
3. PARKS
A. The City will be assured that the approximately 20 acre Lake Park proposed
within the Valencia Del Lago project will be reasonably accessible to the general
public for recreational use. Valencia Company will reserve the right to also
provide private recreation areas in the project area.
B. The park land and recreational improvements as proposed within the annexation
area satisfy the City's Quimby park requirements.
4, PONY LEAGUE
The City will be assured that the Wm. S. Hart Pony League will have long term use of
their existing playing fields and access from Valencia Blvd.
5. LIGHT RAIL RIGHT-OF-WAY
Valencia Company will commit to reserve an adequate right-of-way for future light rail
purposes within the annexation area adjacent to the river conservation and recreation use
easement.
6. GENERAL PLAN CONSISTENCY
The intensity of development within the proposed annexation area is consistent with the
City's General Plan Valley Center Concept. The proposed developments are substantially
consistent with the Santa Clara River Park Project, the Santa Clara River Trails EIR and
the Parks and Recreation Master, Plan.
T LONGTERM MAINTENANCE
The City and Valencia Company intend that landscape maintenance districts (LMDs) or
similar maintenance financing mechanisms will be established at the time of
development.
Valencia Company Benefits
1. ENTITLEMENTS
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A. The City intends that entitlements for projects that are approved by the County
prior to annexation will continue to be governed by the conditions imposed by the
County and the County's rules and regulations to the extent possible.
B. The City intends, if requested by Valencia Company, to accept projects and project
documentation being processed by the County for the South River, Valencia Del
Lago, Tibbets Industrial and Builders South projects for continued processing in the
City.
C. The City and Valencia Company will use good faith efforts to process the
entitlements, development plans and permits for the density and intensity of
development shown on the Project Summary (Exhibit 1) in accordance with the
schedule shown on the Project Schedule attached hereto as Exhibit 3,
D. Valencia Company will reserve the right to construct flood control and other
reasonably necessary improvements as required by regulatory agencies.
2. BOUQUET SENIOR HOUSING
The City intends to consider waiving a portion of the Bridge and Thoroughfare (B&T)
fees for the 192 -unit, income and deed restricted Bouquet Senior Housing project in a
percentage similar to that waived for other income restricted senior housing projects in
the City and to use a portion of the remaining B & T fees for pedestrian improvements.
3, PUBLIC FINANCING
The City will consider, at Valencia Co's request,. establishing Community Facilities
Districts (CFD), assessment districts, tax increment infrastructure financing districts,
integrated financing districts, [revenue increment financing vehicles to be considered]
and/or other public financing mechanisms in the annexation area for the construction of
eligible public facilities including but not limited to roads, bridges, water and sewer
facilities, lakes, parks, trails, flood control structures, etc., through the issuance of fixed
or variable interest rate (taxable or tax exempt) bonds. The terms and conditions of any
financing shall be in compliance with the City debt policy.
Conclusion
Neither the City nor Valencia Company intend this MOU to be a contract or to be bound by
this MOU. No formal agreement will exist until a formal Annexation and Development
Agreement has been approved and executed by the City and Valencia Company The City
intends to consider the term of the Annexation and Development Agreement to be 15 years.
Upon execution of the MOU, City and Valencia Company will commence the pre -zone, the
Annexation and Development Agreement, and a Mitigated Negative Declaration. Subsequent
development proposals will be subject to environmental review in accordance with the
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Page 4
California Environmental Quality Act (CEQA).
The City and Valencia Company intend to execute a conveyance agreement setting forth the
terms and conditions of the river and trails acquisition. It is the intent of both parties to
reach mutual agreement on entitlements prior to conveyance of the river area.
Unless and until an Annexation and Development Agreement is approved and executed,
either the City or Valencia Company may, at any time and for any reason, refuse to proceed
with and withdraw from the negotiations.
By executing this MOU, the City and Valencia Company again wish to confirm that what is
set forth in this MOU represents the basic and fundamental elements of understanding of
the City and Valencia Company regarding the basis for their going forward with the
negotiation of an Annexation and Development Agreement.
The foregoing sets forth our Memorandum of Understanding as of November _, 1995.
CITY OF SANTA CLARITA
George A. Caravalho
City Manager
ATTEST:
City Clerk.
Approved as to form:
City Attorney
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VALENCIA COMPANY
Thomas Dierckman
President
Mark Subbotin
Senior Vice President
1
MOU Approval
2
Prezone Process
8
Annexaticn/DevelopmentA
11
Entitlements
15
Record Map Engineering
19
Property is Annexed
20
Conveyance of River
21
Construction
29
30
31
32
33
34
November
11/14
North Valencia Annexation
Processing Schedule
Project: Processing Schedule Task Milestone Rolled Up Task Rolled Up Progress -
Date: 11/1195 Progress Summary ^ Rolled Up Milestone Q
Page 1
EXHIBIT 3
t�11
C A` TWAN GOLF AND
( I(_ /\1.A,iFK r1IF-MK F'.NIRI'
INDI'S IRI\I.
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(see notes below) 11I J/\♦♦ ' t \\111 \I1 1 ��
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17.11.-\(',
VAI LN('IA
DFA- LAGO - - _.` - A
Q'30 W
r -
SOU 111 IM kR
E
A E~.
PROJECT NAME
s1 n S1rn
>II t vn
hr.+n(I,IIt
t Valencia Del La20
662 61 103718(At
:" 41.± `��:. 101.0
2'Golf Acadcmv
Gulf Acadcmv
,5
;'.5
3)Arbor Park
I a
^4
"
4) Builders South
4 Builders South
Ci1S
13.0
.5'Sante. Fe 11
2;ti „
(1,umv
140 36.2
6` Bouquet Seniors
6 Bou(uct SCIIWI-S
11 r.
t7)Inline Shops
7 Inline Shops
7'
t8Ton v League
8 Pony League
"};
4"'
l9)south River
465
3.4
17.5 M 1)
I(iSValencia Industrial Center
to Valencia Industrial Center
Cit'
-.4nit
1 t Santa Clara River
27'-.}2272..
13' Circulation/Roads
260
Total
662 546124623(#)0."'..:;�
1090
391.2767."
0-1111 I'(1N1 I.1 .\iil'li-
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4_
MAL
vL .
RE1111_ ,
v 4 \
crvit
'I OWN CENTER
PROJECT SUMMkRY
VALENCIA COMPANY
ocr�ws
PARK \ S(-11001.
11R01(1511D \NNI:.AAIION
1301 ND;\R1
I3m:Ovl I SI moll's
I' (t A(
INI INI:SI1011S
V..
SAN IA I II
n._ .\('.
IWII SI11 I I I
ARBOR MRIK
PROJECT DAME
(l,i
r1.0I ,ti.
>II t vn
hr.+n(I,IIt
I Valencia Del La *o
Cottnt\
Gulf Acadcmv
Comm
Ciu
Arbor Park
Comm
4 Builders South
Ci1S
Cm
5 Sainta Fe II
(1,umv
('(,un1N
6 Bou(uct SCIIWI-S
Cngttl)
City
7 Inline Shops
C1nml1
Cowry
8 Pony League
(ile
Cites
t) South River
Cite
—Po—ulitvi
Cm
to Valencia Industrial Center
Cit'
Cily
Note This recap docs not in( h,1,
devcluped pared, within the
Valencia Indu,mal (enter
These areas ¢presented within
the Imndxation huunda" and
not within the control of
NLF
EXHIBIT I
Im
mai
za 16' STAT. SUMMARY
H TRAIL
ly RIVER AREA:
TYP, 16' TRAIL RIVER SEGMENT 2 85.B AC.
RIVER SEGMENT 3 107.2 AC.
@ MWD EASEMENT AND SCRT PHASE IV RIVER SEGMENT 4 29.7 AC.
VARIES S6' /14'MIN. N-T.S. RIVER SEGMENT 5 9.8 AC'.
TRAIL LAN;iCAPE SECTION B RIVER SEGMENT 6 39.8 AC.
BUFFER
TYP. 30' BUFFER/TRAIL TOTAL: 272.3 AC.
TRAIL AREA:
N.T.S. To pF
'
Y//Z\
EA LIIEAR FEET
SECTION At5n fI III 16' TRAIL 4.2
TRAIL. 4.2 AC, 10.650'•
TOTAL: 10.2 AC.. 25,100't
LEGEND
INV. OF PROP.. BANK STABILIZATION PER ACOE GENERAL PERMIT
- - - - - EXIST. BANK PER ACOE GENERAL PERMIT
- - MWD EASEMENT
— - SCE EASEMENT
SCALE 1'=1000'
RIVER RRER SU""RRY
NORTH VRLENCIR RNNEXRTION
EXHIBIT 2