SR - - APPROPRIATION OF FUNDS FOR SANTIAGO HILLS II PROJECT GENERAL PLAN AMENDMENT1. SUBJECT
Appropriate $150,000 for a General Plan Amendment related to the Detachment of East Orange
Planning Areas 1 and 2 from the City.
2. SUMMARY
Pursuant to the 2016 Development Agreement with The Irvine Company for the Santiago Hills II
(SHII) project, appropriate funds received from The Irvine Company to process a General Plan
Amendment related to the detachment of The Irvine Company's East Orange Planning Areas 1
and 2 from the City.
3. RECOMMENDATION
Authorize appropriation of $150,000 from Unreserved General Fund balance into expenditure
account number 100.6011.51670.20364, Professional & Consulting Services — E. Orange
Detachment.
4. FISCAL IMPACT
In Fiscal Year 2016 -17, The Irvine Company provided $150,000 to process a General Plan
Amendment related to the detachment of The Irvine Company's East Orange Planning Areas 1
and 2 from the City as agreed upon in the SHII Development Agreement. Upon appropriation,
funds will be available to cover the cost of the General Plan Amendment as follows:
100.6011.51670.20364 Professional & Consulting Services —E. Orange Detachment $150,000
5. STRATEGIC PLAN GOAL(S)
Goal 3c. Support and enhance attractive, diverse living environments.
6. GENERAL PLAN IMPLEMENTATION
GOAL 7.0: Promote coordinated planning among City departments and agencies, property owners,
residents, special districts, and other jurisdictions in the region.
7. DISCUSSION and BACKGROUND
The General Plan envisions the future development of the City and plans and predicts likely
infrastructure and services based on development projections. At present, the General Plan
anticipates residential development in The Irvine Company's East Orange Planning Areas 1 and 2
(generally located north of Santiago Canyon Road and east of State Route 241/261 to Irvine Lake)
based on project entitlements approved in 2005, when in fact the property owner dedicated that
land to permanent open space many years ago. As a result, the City's development projections and
infrastructure systems take into account a level of development in Planning Areas 1 and 2 that will
never come to pass. A General Plan Amendment is needed to align General Plan maps, policies,
and infrastructure needs with current projections of growth.
In addition, Planning Areas 1 and 2 are currently within the City limits as a result of project
entitlements approved in 2005 and the subsequent annexation of the property into the City. Since
the area is now dedicated as permanent open space, it is recommended that the City divest itself of
this area, and let it revert back to unincorporated County by processing a detachment through the
Local Agency Formation Commission (LAFCO) and a General Plan Amendment to reflect this
detachment. The $150,000 payment from The Irvine Company, received in May 2017, will cover
the cost to process the General Plan Amendment associated with this detachment.
8. ATTACHMENTS
• No attachments.
ITEM 2 7/11/17