HomeMy WebLinkAbout2007 CON CDC City of San Diego / Chula Vista - Supplemental MOU - Enterprise ZoneSUPPLEMENTAL MEMORANDUM OF UNDERSTANDING TO THE
FIRST MOU ALLOCATING ENVIRONMENTAL ANALYSIS FEES FOR
THE SAN DIEGO REGIONAL ENTERPRISE ZONE
RECITALS
This Supplemental Memorandum of Understanding [SUPPLEMENTAL MOU] is
entered into by the City of San Diego [San Diego], the City of National City [National City], and
the City of Chula Vista [Chula Vista], all California municipal corporations [hereinafter
collectively "the Parties" or "the Partners" or "the Partnership"], for the limited purpose of
allocating financial responsibility of environmental analysis fees for the San Diego Regional
Enterprise Zone.
WHEREAS, on August 31, 2006, the Partners executed a First Memorandum of
Understanding [FIRST MOU] for purposes of identifying the Partnership and its intended goals,
and allocating financial responsibility for consulting services necessary only for the submittal of
the application to the California Housing and Community Development Department [HCD] for
designation of a San Diego Regional Enterprise Zone [EZ].
WHEREAS, in the FIRST MOU the Partners agreed upon conditional approval of the EZ
to negotiate a second memorandum of understanding [SECOND MOU] setting forth each
Partners' specific area of responsibility and financial obligation from that point forward for the
duration of the EZ. This SUPPLEMENTAL MOU does not constitute the SECOND MOU
contemplated by the Partners, but rather serves the limited purpose of allocating financial
responsibility of environmental analysis Ices for the EZ as further described below.
WHEREAS, on November 3, 2006, IICD awarded conditional EZ designation, and in a
letter dated January 17, 2007 (attached as Exhibit "A") set forth conditions to he satisfied prior to
the final EZ designation.
WIIEREAS, a condition of final EZ designation is submittal of an Environmental Impact
Report and Notice of Completion pursuant to CEQA Guidelines, Section 15085 ["EIR"].
WHEREAS, to satisfy the condition pertaining to the EIR, the Parties concur that
National City will enter into a contract with PACIFIC MUNICIPAL CONSULTANTS ["PMC"]
to provide environmental consulting services and produce the required EIR documents.
WHEREAS, the Parties agree the total fiscal PMC contractual obligation shall not exceed
$91,000, and that San Diego shall be responsible for a total amount not to exceed $72,800, and
National City shall be responsible for a total amount not to exceed S18,200. This allocation is
based on San Diego's and National City's acreage within the EZ, as well as the fact that Chula
Vista obtained a certified Environmental Impact Report in 2006, which the Panics are informed
and understand will be included by reference in the completed EZ EIR. In the event Chula
Vista's previously certified Environmental Impact Report is insufficient, or further
environmental review related to any areas within Chula Vista's boundaries is necessary, the
allocation set forth above will be null and void and a new allocation among all three Partners
shall be negotiated.
NOW THEREFORE, in consideration of the above recitals and the mutual covenants and
conditions set forth herein, and for good and valuable consideration the receipt and sufficiency of
which is hereby acknowledged, the Partners hereby agree to the following:
1. The Recitals set forth above are true and correct and fully incorporated herein.
2. National City will enter into a contract for professional services with PACIFIC
MUNICIPAL CONSULTANTS [PMC] for PMC to provide environmental consulting services
to the Partners, and for PMC to produce the Environmental Impact Report and Notice of
Completion pursuant to CEQA Guidelines, Section 15085 ["EIR"] as required by 1ICD in its
letter dated January 17, 2007 (Exhibit "A" hereto). All documents, invoices, and records related
to any services rendered by PMC shall promptly he made available to San Diego upon request.
3. National City expressly represents and warrants PMC is properly trained and
experienced to prepare the environmental documents required by HCD.
4. The total amount of the PMC contractual obligation shall not exceed $91,000.
5. The Parties shall pay the PMC contractual obligation in accordance with the following
allocation:
a. San Diego shall he responsible for 80% of all invoices received from PMC,
not to exceed a total amount of $72.800;
b. National City shall he responsible for 20% of all invoices received from PMC,
not to exceed a total amount of $18,200;
c. At this time, the Parties agree Chula Vista shall not be financially responsible
for any share of the PMC contractual obligation because it obtained a certified
Environmental Impact Report in 2006, which the Parties are informed and
understand will be included by reference in the completed EZ EIR. In the
event Chula Vista's previously certified Environmental Impact Report is
insufficient, or further environmental review related to any areas within Chula
Vista's boundaries is necessary, the allocation set forth above shall he null and
void and a new allocation among all three Partners shall be negotiated.
6. Within 30 days of completion of any billable work, PMC shall prepare an itemized
invoice and shall promptly mail and fax it to National City for payment. PMC shall concurrently
deliver copies of the same invoice to San Diego for reference. The invoice shall include the total
invoiced amount, and a breakdown to reflect the 80% due from San Diego and the 20% due from
National City.
2
7. National City shall deliver a copy of PMC's invoice to San Diego with a request for
payment of San Diego's 80% share of the invoice. Within 10 business days of receipt of a
request for payment from National City, San Diego shall deliver a check to National City, made
out to "Community Development Commission of the City of National City," for San Diego's
80% share of the invoice.
8. In accordance with National City's contract with PMC, National City shall be solely
responsible for delivery of timely payment to PMC for all invoices received, including National
City's 20% share, within 45 days.
9. Each Partner acknowledges and agrees this SUPPLEMENTAL MOU, as well as any
payments hereunder, may be subject to approval by their respective City Councils.
10. This SUPPLEMENTAL MOU fully expresses the final and complete understanding
of the Partners concerning the matters covered therein. No change, alteration, or modification of
the terms or conditions of this SUPPLEMENTAL MOU, and no verbal understanding of the
Partners, their officers, agents, or employees shall be valid unless made in writing and signed by
the each Partners' duly authorized representatives. All prior negotiations and agreements
concerning the matters covered herein are merged into this SUPPLEMENTAL MOU.
IN WITNESS WIIEREOF, each Partner agrees to abide by the terms of this
SUPPLEMENTAL MOU and hereby executes the same by and through its duly authorized
representative on this 19`1' day of June, 2007.
Date: C42//(0
7
THE CITY OF SAN DIEGO
By
Approved as to form and legality: By
Date:
William Anderson
Director City Planning and Community Investment
g. Garmo, Deputy City Attorney
THE CITY OF CIIULA VISTA
By
avid ' Jarcia, City Manager
Approved as to form and legality: By"�
t':..'A`Moo.re
City Attorney
Date: June 19, 2007
TIIE CITY OF NATIONAL CITY
By
n, Executive Director,
7 nmunity Development Commission
of'the City of National City
Approved as to form and legality: By B
George E er,City Attorney
4
E-0-1i biif A
u]:41E_Of,CA'IFSO.BNIf.,fiJSINESS,TRANSF03IA1101 Q.t0S;�.L'-„4(=ENC:Y ._ _.
DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT
DIVISION OF FINANCIAL ASSISTANCE
STATE ENTERPRISE ECONOMIC DEVELOPMENT SECTION
Enterprise Tax Incentive Programs
1800 Trrd Stree:, Suite 390
P. 0. Box 952054
Sacramento, CA 94252.2054
(916) 322-1554
FAX (916) 327-6660
January 17, 2007
Scott Kessler
Deputy Director
City of San Diego
600 B Street, Fourti Floor, MS-904
San Diego, CA 92101-4506
Dear Mr. Kessler:
_ ...&fILSIC+S'cil✓ve:LCll(:g3'i<Lriove,:no'r
On November 3, 2006, the Department of Housing and Community Development (Department)
awarded a conditional Enterprise Zone designation to the City of San Diego The enclosed
table, Conditions for the San Diego Enterprise Zone, specifies the conditions that the
Enterprise Zone must satisfy in order to obtain the final designation. The Enterprise Zone
must complete and submit to the Department its responses to these conditions by 5 p.m. on
March 2, 2007.
Upon receipt of the responses, the Department will determine whether the Enterprise Zone has
satisfied all of the specified conditions. If the Department accepts the responses as
satisfactory, it will issue to the Enterprise Zone the Final Designation Letter.
This letter represer.ts the conditional designation letter for your new designation. Because
your enterprise zone's previous designation recently expired, this letter grants your new
enterprise zone, in accordance with Section 7074.2(c) of the Government Code, the option to
offer eligible taxpayers doing business within the geographic boundaries of the new zone all
enterprise zone benefits until the Department makes a final designation or declines to
redesignate the zone. The Department shall make the effective date of the new zone the date
of expiration of the previous designation and the term of the new zone shall begin on that date.
The geographic boundaries of the new zone are described on the enclosed document titled
Geographic Boundaries of the San Diego Enterprise Zone.
According to the California Code of Regulations, Title 25, Article 8, Section 8445.2, a
conditionally -designated enterprise zone may requestan extension of time to satisfy the
conditions. The Department must receive in writing the request for an extension of the time by
March 2, 2007.
if you have any questions, please contact me at (916) 327-2862.
Sincerely.
F�,T► Luera, ief
St.te Enterprise and Economic Development
jl
Conditions for Designation
For
The San Diego Enterprise Zone
Condition(s)
Describe the specific steps the multi-jurisidictional enterprise
zone will take to ensure that the economic development and
marketing plan contained in its Application for Designation
represents a unified, coherent plan, which addresses the needs
of the entire application area, and that the employment,
economic, and physical infrastructure commitments proposed
serve the entire application area.
2. Provide explicit, quantifiable goals that will be accomplished in
the first five years of the proposed enterprise zone.
3. Describe how performance of the activities in the Financing
Plan will be self -evaluated.
Authority
Page 12
Describe the self -evaluation process to be used to evaluate the
performance of each LocalLncentiv offered to zone 47C
businesses. i-✓, P
Submit two copies of the certified Environmental Impact Report
addressing the environmental impacts of designation of the
proposed zone and of the Notice of Completion as described in
CEQA Guidelines, Section 15085.
Page 20
Page 24
Page 28
Page 32
Unless otherwise stated, the authority cited is the page number from the Department of !lousing and
Community Development's Application for Designation -2006 (I-landhook).
RESOLUTION NO. 2007 — 140
RESOLU I ION OF THE COMMUNITY DEVELOPMENT
COMMISSION OF THE CITY OF NATIONAL CITY AUTHORIZING
THE EXECUTIVE DIRECTOR TO EXECUTE A SUPPLEMENTAL MOU WITH
THE CITY OF SAN DIEGO AND UNE CITY OF CHULA VISTA FOR THE SAN DIEGO
REGIONAL ENTERPRISE ZONE TO REFLECT EACH JURISDICTION'S
FISCAI.. RESPONSIBILITY TO COMPLETE THE EIR
WHEREAS, on August 31, 2006, the City of San Diego, the City of Chula Vista and
the City of National City entered into a FIRST MOU with Pacific Municipal Contractors ["PMC"] to
identify this joint partnership and divide fiscal responsibility for consulting services for the submittal
of the Enterprise Zone ["EZ"] Application for designation of the San Diego Regional Enterprise
Zone ["SDREZ"]; and
WHEREAS, National City agreed to pay $25,000 to provide environmental
consulting services related to the submittal of the Application in compliance with the
requirements of the California Environmental Quality Act (CEQA) guidelines; and
WHEREAS, the Department of Housing and Community Development ["HCD"]
granted the parties a conditional designation effective October 15, 2006; and
WHEREAS, one of these conditions is an Environmental Impact Report ["EIR"]
and the Partnership requested and received an extension to complete and submit their
response to the remaining conditions by May 31, 2007; and
WHEREAS, the parties seek to produce the required EIR for submittal to HCD so
that final EZ designation can be awarded to them; and
WHEREAS, the parties desire to encourage economic development and growth
by supporting businesses and industries to expand or locate in the SDREZ, as well as provide
jobs, goods and services to the inhabitants of this area; and
WHEREAS, the parties now wish to enter into a Supplemental Memorandum of
Understanding to the First MOU to allocate financial responsibilities related to the Environmental
Impact Report that must he prepared to receive a final designation.
NOW, THEREFORE, BE IT RESOLVED that the Community Development
Commission of the City of National City hereby authorizes the Executive Director to execute the
Supplemental Memorandum of Understanding to the FIRST MOU with the City of San Diego
and the City of Chula Vista for the San Diego Regional Enterprise Zone to reflect each
jurisdiction's fiscal responsibility to complete the Environmental Impact Report, with San Diego
to pay for 80% of the costs, not to exceed $72,800; and National City to pay 20% of the costs,
not to exceed $18,200.
--- Signature Page to Follow ---
Resolution No. 2007 — 140
June 19, 2007
Page 2
PASSED and ADOPTED this 19th day of June, 20
Rdfi Morrison, Chairman
ATTEST:
Bra
APPROVED AS TO FORM:
George H. E ser, III
Legal Counsel
Passed and adopted by the Community Development Commission of the City of
National City, Califomia, on June 19, 2007, by the following vote, to -wit:
Ayes: Commissioners Morrison, Natividad, Parra, Ungab, Zarate.
Nays: None.
Absent: None.
Abstain: None.
AUTHENTICATED BY: RON MORRISON
Chairman, Community Development Commission
Secretary, evelopment Commission
By:
Deputy
I HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of
RESOLUTION NO. 2007-140 of the Community Development Commission of the City
of National City, California, passed and adopted on June 19, 2007.
Secretary, Community Development Commission
By:
Deputy
City of National City, California
COMMUNITY DEVELOPMENT COMMISSION AGENDA STATEMENT
26
MEETING DATE June 19 2007 AGENDA ITEM NO.
/16-EM TITLE
Resolution to Authorize the Execution of the Supplemental Memorandum of Understanding to the FIRST
MOU with the City of San Diego and the City of Chula Vista allocating environmental analysis fecs for the
San Diego Regional Enterprise Zone, with San Diego to pay for 80% of the cost, not to exceed $72,800 and
National City to pay 20% of the costs, not to exceed $18,200.
PREPARED BY DEPARTMENT
Jacqueline Reynoso (ext. 4293) Economic Development Division
Community Development Coordinator
EXPLANATION
On August 31, 2006, the City of San Diego, the City of Chula Vista and the City of National City entered into a
FIRST MOU with Pacific Municipal Contractors (PMC) to identify this joint partnership and divide fiscal
responsibility for consulting services for the submittal of the Enterprise Zone (EZ) Application for designation
of the San Diego Regional Enterprise Zone (SDREZ). National City agreed to pay S25,000 to provide
environmental consulting services related to the submittal of the Application in compliance with the
requirements of the California Environmental Quality Act (CEQA) guidelines.
On November 3, 2006, the Partnership was awarded conditional designation by HCD, effective October 15,
2006, pending completion of the Environmental Impact Report (EIR).
This Supplemental MOU specifies each jurisdiction's fiscal responsibility to complete the EIR, which costs
an estimated $91,000. The Partners are requesting for San Diego to pay 80% of the total invoiced amount not
• exceed S72,800, and National City to pay 20% of the total costs, not to exceed $18,200.
Environmental Review N/A
Financial Statement The estimated cost of the E1R is S91,000. San Diego has agreed to fund 80%, not
to exceed S72,800, and National City has agreed to fund 20%, not to exceed $18,200.
STAFF RECOMMENDATION City Council Adopt a resolution approving the SUPPLEMENTAL MOU to
the FIRST MOU with the City of San Diego and the City of Chula Vista for the San Diego Regional
Enterprise Zone.
a.O0r1-\Lk()
ATTACHMENTS Resolution No.
1. Background Report
2. SUPPLEMENTAL MOU
L3. Resolution
A-200 (9/80)
City of National City
Office of the City Clerk
1243 National City Boulevard, National City, CA 91950-4397
Michael R. Della, CMC - City Clerk
(619) 336-4228 Fax: (619) 336-4229
July 16, 2007
Mr. Gustavo Perez
Senior Community Development Specialist
City of Chula Vista
276 Fourth Avenue
Chula Vista, CA 91911
Dear Mr. Perez,
On June 19, 2007, Resolution No. 2007-140 was passed and adopted by the
Community Development Commission of National City, authorizing execution of
a supplemental memorandum of understanding with the City of San Diego and
the City of Chula Vista.
We are enclosing for your records a certified copy of the above Resolution and
three fully executed original supplemental memorandum of understanding.
Michael R. Dalla, CMC
City Clerk
Enclosure
cc: Community Development Commission
Pacific Municipal Consultants
® Recycled Paper
City of National City
Office of the City Clerk
1243 National City Boulevard, National City, CA 91950-4397
Michael R. Della, CMC - City Clerk
(619) 336-4228 Fax: (619) 336-4229
July 16, 2007
Ms. Lydia Moreno
Community Development Coordinator
City of San Diego
Economic Development Division
City Planning & Community Investment Department
1200 Third Avenue, 14th Floor
San Diego, CA 92101
Dear Ms. Moreno,
On June 19, 2007, Resolution No. 2007-140 was passed and adopted by the
Community Development Commission of National City, authorizing execution of
a supplemental memorandum of understanding with the City of San Diego and
City of Chula Vista.
We are enclosing for your records a certified copy of the above Resolution and
three fully executed original supplemental memorandum of understanding.
Michael R. Dalla, CMC
City Clerk
Enclosure
cc: Community Development Commission
Pacific Municipal Consultants
® Recycled Paper