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R11414City Council Meeting: April 26, 2022 Santa Monica, California RESOLUTION NUMBER 11414 (CCS) (City Council Series) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA VACATING A PORTION OF 21 ST STREET BETWEEN SANTA MONICA BOULEVARD AND BROADWAY, IN THE CITY OF SANTA MONICA, CALIFORNIA WHEREAS, California Government Code Section 65450 et seq. permits each city to adopt a specific plan for the systematic implementation of the general plan for individual areas covered by the general plan; and WHEREAS, the Hospital Area Specific Plan (the "HASP") was adopted by Resolution No. 7695 (CCS) of the City Council on September 27, 1988 to ensure harmonious development within the Hospital Area identified in the HASP; and WHEREAS, the HASP was adopted to be consistent -with the Land Use and Circulation Elements (the "LUCE") of the City's 1984 General Plan and Zoning Map in effect at the time of adoption of the HASP; and WHEREAS, the HASP was amended by Resolution No. 8617 (CCS) on June 29, 1993, and Resolution No. 9254 (CCS) on April 1, 1998 (collectively referenced herein as the "HASP Amendments") to -reflect the changes associated with the Saint John's Health Center Development Agreement (the "Original Agreement"), dated June 9, 1998 and recorded in the Official Records of the County of Los Angeles, State of California on July 29, 1998 as Instrument No. 98-1311808 (the "Original Development Agreement"); and WHEREAS, the Original Development Agreement contemplated new development and associated zoning changes within the HASP areas associated with Saint John's Health Center; and WHEREAS, in July 2010; the City adopted a new LUCE ("2010 LUCE") and associated zoning changes Citywide, including the Hospital Area; and WHEREAS, the 2010 LUCE contemplates that future amendments to the HASP will occur to be consistent with 2010 LUCE and associated zoning code updates, as well as new development proposed by the Saint John's Health Center; and WHEREAS, the Original Development Agreement provided vested rights for development of the Saint John's Health Center in two phases ("Phase I" and "Phase II", respectively), with Phase I being developed entirely on the North Campus of the Saint John's Health Center properties (i.e,, those properties north of Santa Monica Boulevard) and Phase II being developed on a portion of the North Campus and on the South Campus (i.e., those properties south of Santa Monica Boulevard) of the Saint John's Health Center properties; and WHEREAS, the Original Development Agreement provided a ten (10) -year vesting deadline for Phase I ("Phase I Vesting Deadline") and a seventeen (17) -year vesting deadline for Phase II ("Original Phase II Vesting Deadline"), subject to the provisions for the continuation of vested rights pursuant to Sections 3.8.2 and 3.8.3 of the Original Development Agreement; and WHEREAS, the owner of Saint John's Health Center ('Saint John's") and City executed that certain First Amendment to Development Agreement dated October 4, 2011 and recorded in the Official Records of the County of Los Angeles, State of California on October 13, 2011 as Instrument No. 20111388841 (the "First Amendment"). The First Amendment extended the Phase I Vesting Deadline, modified the obligation under the Original Development Agreement to construct the North Subterranean Parking Structure and Entry Plaza as part of Phase I, and allowed a modified Entry Plaza and parking program in -lieu of constructing the North Subterranean Parking Structure; and WHEREAS, Saint John's completed construction of Phase I in accordance with the Original Development Agreement and First Amendment; however, Saint John's was unable to complete Phase 11 within the Original Phase II Vesting Deadline; and WHEREAS, Saint John's and the City executed that certain Second Amendment to Development Agreement dated August 28, 2017 and recorded in the Official Records of the County of Los Angeles, State of California on October 2, 2017 as Instrument No. 20171125181 ("Second Amendment"). The Second Amendment modified the terms of the Original Development Agreement, as amended by the First Amendment, with respect to Phase II as follows: (1) Replacement of the Original Development Agreement's requirement for City Council approval of a South Campus Master Plan with a requirement for City Council approval of the Phase II Master Plan to address Phase II development on both the North and South. Campuses ("Phase 11 Master Plan"). (2) Establishment of the basic development parameters for the Phase II Master Plan. (3) Provision-that-no-Phase-tl-Development Review Permits shall-be7---- — issued for the development of any building or parcel contemplated -in -the Phase Master Plan prior to City Council approval of the Phase II Master Plan. (4) Provision that Saint John's and the City each agree and covenant to negotiate in good faith a third amendment to the Original Development Agreement, as amended, to extend the Original Phase II Vesting Deadline in consideration for the provision of additional community benefits. (5) Confirmation that nothing in the Second Amendment constituted a confirmation or denial of Saint John's vested rights under the Original Development Agreement, as modified by the First Amendment, it being understood and agreed to by the City and Saint John's that the intent of the Second Amendment was solely to make a procedural change to implement the Original Development Agreement, as modified by the First Amendment, while preserving the substantive rights of Saint John's and the City, respectively; and WHEREAS, the comprehensive changes to the City's Zoning Code in 2015 rendered the zoning map designations and zoning code references in the HASP obsolete; and WHEREAS, the Saint John's and the City have negotiated in good faith a third amendment to the Original Development Agreement, as amended, to extend the Original Phase II Vesting Deadline in consideration for the provision of additional community benefits (the "Third Amendment"); and —WHEREAS, the Third Amendment contemplates the concurrent adoption of the - — _- --Phase-11 MasterPlan, vJhich will act as -the specific -plan for Phase II development of the Saint John's Health Center after the Third Amendment Effective Date and until the end of the Phase II Vesting Deadline; and WHEREAS, the Phase II Master Plan is a comprehensive master plan that governs the Phase 11 portion of the Saint John's Health Center Campus, including with respect to development, uses, circulation, parking, open space, and timing for implementation of the Phase II Master Plan; and WHEREAS, after the Phase II Vesting Deadline, the Zoning Code then in effect shall apply to any development applications filed for the Saint John's Health Center, except as otherwise expressly allowed in the Third Amendment; and WHEREAS, due to the fact that the HASP is now obsolete, the Phase II Master Plan is a focused specific plan for the Saint John's Health Center, and the development standards for the remainder of the Hospital Area are now included in Chapter 9 of the Santa Monica Municipal Code, City staff recommended amendments to the 2010 LUCE and repeal of the HASP; and WHEREAS, the proposed Phase II Master Plan conforms to the requirements of Government Code sections 65450 et seq. as well as the requirements of Chapter 9.45 of the Santa Monica Municipal Code (General and Specific Plans); and WHEREAS, the City prepared and circulated for public review and comment a Draft Environmental Impact Report for the Phase II Master Plan ("Phase II DEIR") ---pursuant-to the California -Environmental- Quality Act ("GE -QA") -and designated -SC- H-Pio. --- -- 2017041030;and WHEREAS, on January 26, 2022, the City's Planning Commission held a duly noticed public hearing on the Phase II Final Environmental Impact Report (" FEIR"), the Tentative Tract Map, the 2022 LUCE Amendment, the repeal of the HASP, the Third Amendment, the Phase 11 Master Plan, and the proposed street vacation of 218t Street, between Santa Monica Boulevard and Broadway, with conditions. At such hearing, the Planning Commission recommended that the City Council certify the Phase II FEIR and approve the 2022 LUCE Amendment, the repeal of the HASP, the Third Amendment with.specified conditions, the Phase II Master Plan, the Tentative Tract Map, and the proposed conditional street vacation of 21st Street, between Santa Monica Boulevard and Broadway, with conditions; and WHEREAS, the proposed amendments to the LUCE and repeal of the HASP should only be effective concurrently with the "Third Amendment Effective Date," as such term is defined in the Third Amendment; and WHEREAS, the Phase II Master Plan should only be effective concurrently with the "Third Amendment Effective Date," as such term is defined in the Third Amendment; and WHEREAS, the proposed Third Amendment conforms to the requirements of Government Code sections 65450 et seq. as well as the requirement of Chapter 9.60 of the -Santa -Monica Municipal -Code (Development -Agreements); WHEREAS, the Phase II Master Plan contemplates a partial vacation of 21' Street, between Santa Monica Boulevard and Broadway, with conditions, and the proposed street vacation area is as shown in Exhibit A, which is attached hereto and incorporated herein by this reference; and WHEREAS, on March 22, 2022, the City Council held a duly noticed public hearing and certified the FOR and adopted a Statement of Overriding Considerations and Mitigation and Monitoring Plan; adopted the 2022 LUCE Amendment and repealed the HASP; approved the Third Amendment; and approved the initiation of proceedings for the street vacation of 21St Street, between Santa Monica Boulevard and Broadway, with conditions; approved the Phase II Master Plan; and approved the. Tentative Tract Map; and WHEREAS, the proposed street vacation of 218t Street, between Santa Monica Boulevard and Broadway, will provide the opportunity for a pedestrian -oriented, publicly - accessible plaza as part of the Phase II Master Plan for the South Campus; and WHEREAS, the notice of the proposed street vacation of 21 st Street, between Santa Monica Boulevard and Broadway, and the April 26, 2022 public hearing to consider the proposed street vacation was published in accordance with Streets and Highways Code section 8322, in the Santa Monica Daily Press on April 6, April 11, and April 18, 2022; and WHEREAS, notices of the proposed street vacation of 21 st Street, between Santa Monica Boulevard and Broadway, and the April 26, 2022 public hearing to consider the proposed -street -vacation -were -postedan-accordance-with Street"nd-Highways Code --- - - section 8323; and WHEREAS, at the duly noticed public hearing conducted on April 26, 2022, the City Council heard oral and/or written testimony offered by persons interested in the proposed street vacation of 21 st Street, between Santa Monica Boulevard and Broadway; and WHEREAS, the City Council finds, from all the evidence submitted, that the proposed street vacation is unnecessary for present or prospective public use, provided that the Third Amendment, which is filed in the Office of the City Clerk, is effective and the conditions outlined in Section 2.6.4 of the Third Amendment are satisfied, to wit (the "Conditions"): (i) the approval of the Street Vacation shall terminate in the event that Saint John's does not meet the Phase II Vesting Deadline for the 81 or S3 sites in accordance with Third Amendment Section 2.6.1; (ii) the approval of the Street Vacation shall terminate if Saint John's does not obtain building permits for the Phase II development of the S1 or S3 sites prior to the Outside Building Permit Issuance Date, as it may be extended, pursuant to Third Amendment Section 2.7; (iii) the City accepts a dedication of Saint John's Way and 20th Place in accordance with Third Amendment Section 2.6.5; —--(iv)—the -City accepts -a- dedication -of -the Middle 24/7 -Pedestrian -Connection (as defined in Third Amendment Section 2.11.4(a)), pursuant to an easement agreement in accordance with Third Amendment Section 2.11.5; (v) Saint John's dedicates the West 24/7 Pedestrian Connection (as defined in Third Amendment Section 2.11.4(b)) pursuant to a springing easement agreement in accordance with Third Amendment Section 2.11.5; (vi) a written plan for interim condition of the vacated Street Vacation area is submitted by Saint John's and approved by the Community Development Director based on the requirements for the interim condition set forth in Section D.2.2 of the Phase 11 Master Plan Standards (Exhibit "0" to the Third Amendment); and (vii) Saint John's shall provide City with any subsurface easements where public water or sewer utilities may be located and any areas that would have to be accessed for maintenance of those utilities. and; WHEREAS, this.resolution of the proposed vacation of 218t Street, between Santa Monica Boulevard and Broadway, may not be recorded until the Conditions have been satisfied. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES RESOLVE AS FOLLOWS: SECTION 1. The above recitals and exhibits are hereby incorporated by reference, and deemed as true and correct. SECTION 2. The City Council of the City of Santa Monica elects to proceed under and in accordance with the provisions of Streets and Highways Code Section 8300 et seq. In accordance with Streets & Highways Code Section 8324, subd. (b), the City Council authorizes vacating the portion of 215E Street, between Santa Monica Boulevard and Broadway, shown in Exhibit A in the event that the Third Amendment is in effect and the Conditions are satisfied, in which event this Resolution shall be recorded. SECTION 3. In consideration of the vacation of 21St Street, between Santa Monica Boulevard and Broadway, shown in Exhibit A, PROVIDENCE HEALTH SYSTEM -SOUTHERN CALIFORNIA, a California non-profit religious corporation, or its successors in interest under the Third Amendment, will relocate any sewer line, water line, and other utilities that may require relocation per City requirements, and provide any necessary utility easements to City and other utility providers. These costs will be borne by PROVIDENCE HEALTH SYSTEM -SOUTHERN CALIFORNIA, a California non-profit religious corporation, or its successors in interest.under the Third Amendment, in addition to any connection fees. SECTION 4. The City Clerk shall certify the adoption of this Resolution, and thenceforth and thereafter the same shall be in full force and effect. D AS SUSAN Y. 1 Interim City Exhibit "A" Diagram of Proposed Street Vacation Area on 21St Street, between Santa Monica Boulevard and Broadway EXHIBIT "A91 MAP DF VACATION OF 21ST STREET 100' S6 ®.G _. _ _._ 1b�J'ec0' �_..._ H�jONICA 8OULEVARO SANTA M A -- oR�oB S� � we! h ry 0 9 A ' n n - n c : > � I VICINITY MAP �9�P a -- 12 NOf TO sCALE) BROADWAY MAI' 5eOW'VG VACATE);: Cf C E ty cf Santa MOpi Ca cORTIOh. W 2:91 ST AT ANI: 1.104acr, niV`c _ Pepadmenldpvllc'A'sk; L 1 ]l 1 15 1 310 A4v Adopted and approved this 26th day of April 2022. Himmelrich, I, Denise Anderson -Warren, City Clerk of the City of Santa Monica, do hereby certify that Resolution No. 11414 (CCS) was duly adopted at a meeting of the Santa Monica City Council held on the 26th day of April 2022, by the following vote: AYES: Councilmembers Brock, Davis, De la Torre, _ Parra, Mayor Pro Tem McCowan, Mayor Himmelrich NOES: None ABSENT: Councilmember Negrete ATTEST: Denise Anderson:Warren, City Clerk 9