REPORT TO COUNCIL
SUBJECT
Title
Action on Adoption of Ordinance No. 1985 Approving a Development Agreement between the City of Santa Clara and Benton and El Camino, LP for the Property located at 575 Benton Street, Santa Clara
Report
BACKGROUND
Proposed Ordinance No. 1985 was passed for the purpose of publication on July 17, 2018. Pursuant to City Charter Sections 808 and 812, proposed Ordinance No. 1985 was published on July 25, 2018 and copies were posted in at least three public places.
DISCUSSION
On July 17, 2018, the City Council considered a development proposal for a mixed-use project to be constructed on a 5.75-acre project site at the northwestern corner of Benton Street and El Camino Real by Benton and El Camino, LP, an affiliate of Prometheus Development (the “Developer”). The proposed project would consist of up to 355 apartment units including 8 live-work units, 650 parking spaces, 19,985 square feet of retail space, and a 0.14-acre public plaza. At the close of the public hearing, the Council voted to adopt Resolutions approving an addendum to an Environmental Impact Report; a General Plan Amendment to change the land use designation from Santa Clara Station High Density Residential to Santa Clara Station Very High Density Residential; and a rezoning from Light Industrial (ML), Single-Family (R1-6L), Duplex (R2-7L) and Thoroughfare Commercial (CT) to Planned Development (PD).
In addition, on July 17, 2018, the City Council introduced Ordinance No. 1985, which would approve a Development Agreement (“DA”) between the City of Santa Clara and the Developer. The DA gives the Developer the right to proceed with the project for a ten-year period, plus a one-time extension of five years, and the Developer agrees to make 10% of the dwellings affordable, provide approximately $5.57 Million in parkland dedication fees, maintain a public plaza for a period of 40 years, and preserve two existing historic homes on the site. Final approval of the ordinance will allow the DA to go into effect in thirty days.
ENVIRONMENTAL REVIEW
On February 23, 2016, the City Council certified the Final Environmental Impact Report (FEIR) and adopted the Findings and the Mitigation Monitoring Program pursuant to California Environmental Quality Act (CEQA) for the Mission Town Center project.
The Mission Town Center Project analyzed in the FEIR included the demolition of the existing buildings on the project site and the construction of a mixed-use residential development that would consist of 385 apartment units, three distinctive private open spaces, approximately 27,000 square feet of ground floor retail, 6,000 square feet of amenity space, three courtyards, 4,000 square feet of leasing space, and 839 parking spaces. The current project includes fewer residential units than were analyzed in the Mission Town Center FEIR (355 rather than 385) as well as less retail space and parking spaces.
The City of Santa Clara prepared an Addendum#1 to the Mission Town Center FEIR that concluded that the proposed project is substantially the same as the previously evaluated project and that the potential environmental effects of the proposed development project were adequately analyzed in the Mission Town Center FEIR, certified in February 2016, and that there are no changes in circumstances or substantial new information that would trigger the need for further environmental review under CEQA.
Traffic studies conducted as part of the Mission Town Center FEIR concluded the Mission Town Center project would result in some significant and unavoidable traffic impacts. Since the proposed project is generally similar to but smaller than the originally proposed Mission Town Center project, its potential transportation and traffic impacts would be similar to or less than the impacts previously analyzed in the Mission Town Center FEIR.
The FEIR Addendum concludes that the proposed project would not result in any new significant adverse environmental impacts, nor would it result in an increase in the severity of any previously identified significant environmental impacts identified and studied in the FEIR.
FISCAL IMPACT
There is no cost to the City to act on the proposed entitlement actions other than administrative staff time and expense which are offset by permit application fees. The proposed increase in residential density would have a small incremental increase in demand for City services (e.g., police and fire calls) associated with the population growth and may be partially offset by increases in property values and sales tax revenue. Residential development generally incurs a net fiscal cost to the City. Generally, higher density residential development generates less of a fiscal impact as the compact nature of the development reduces per capita service costs.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City’s official-notice bulletin board outside City Hall Council Chambers. A complete agenda packet is available on the City’s website and in the City Clerk’s Office at least 72 hours prior to a Regular Meeting and 24 hours prior to a Special Meeting. A hard copy of any agenda report may be requested by contacting the City Clerk’s Office at (408) 615-2220, email clerk@santaclaraca.gov <mailto:clerk@santaclaraca.gov> or at the public information desk at any City of Santa Clara public library.
RECOMMENDATION
Recommendation
Adopt Ordinance No. 1985 Approving a Development Agreement between the City of Santa Clara and Benton and El Camino, LP for the Property located at 575 Benton Street, Santa Clara.
Staff
Reviewed by: Brian Doyle, City Attorney
Approved by: Deanna J. Santana, City Manager
ATTACHMENTS
1. Ordinance No. 1985