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RESOLUTION NO. 2017-104 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING A NON-BINDING LETTER OF INTENT (LOI) BETWEEN THE CITY, THE SAN DIEGO UNIFIED PORT DISTRICT, AND RIDA CHULA VISTA, LLC, FOR DEVELOPMENT OF A HOTEL AND CONVENTION CENTER PROJECT WITHIN THE CHULA VISTA BAYFRONT
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RECOMMENDED ACTION
Recommended Action
Council adopt the resolution.
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SUMMARY
On May 14, 2014, the San Diego Unified Port District’s Board of Commissioners selected RIDA Development Corporation to enter negotiations to develop a large scale destination resort and convention center on parcel H-3 of the Chula Vista Bayfront. On February 10, 2015, the Board of Port Commissioners approved an Exclusive Negotiating Agreement (ENA) with RIDA, establishing a timeline of deliverables during the term of the agreement, including programming the type and size of hotel and convention center. Since that time, Port and City staff have worked diligently to negotiate final deal terms. Tonight’s action, approving a non-binding Letter of Intent, represents the next step in the process of developing a destination resort hotel and convention center project on the Chula Vista Bayfront.
ENVIRONMENTAL REVIEW
Environmental Notice
Environmental Notice
The Project was adequately covered in previously adopted Environmental Impact Report UPD# 83356- EIR- 65B/ SCH# 20005081077.
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Environmental Determination
The Development Services Director has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that the activity was covered in previously adopted Environmental Impact Report UPD#83356-EIR-65B/SCH#2005081077. The Development Services Director has also reviewed the proposed activity for additional compliance with CEQA and has determined that there is no possibility that the activity may have a significant effect on the environment; therefore, pursuant to Section 15061(b)(3) of the State CEQA Guidelines the activity is not subject to CEQA. Thus, no environmental review is required.
BOARD/COMMISSION RECOMMENDATION
Not Applicable.
DISCUSSION
Please see Port District staff report (attached).
DECISION-MAKER CONFLICT
Staff has reviewed the property holdings of the City Council members and has found no property holdings within 500 feet of the boundaries of the property which is the subject of this action. Consequently, this item does not present a disqualifying real property-related financial conflict of interest under California Code of Regulations Title 2, section 18702.2(a)(11), for purposes of the Political Reform Act (Cal. Gov’t Code §87100,et seq.).
Staff is not independently aware, and has not been informed by any City Council member, of any other fact that may constitute a basis for a decision maker conflict of interest in this matter.
LINKS TO STRATEGIC GOALS
The City’s Strategic Plan has five major goals: Operational Excellence, Economic Vitality, Healthy Community, Strong and Secure Neighborhoods and a Connected Community. Approving a non-binding LOI with the Port District and RIDA Chula Vista, LLC, supports the Economic Vitality Goal by continuing implementation of the Chula Vista Bayfront Master Plan, Initiative 2.1.1 of the City’s Strategic Plan.
CURRENT YEAR FISCAL IMPACT
Approval of a non-binding LOI with the Port District and RIDA Chula Vista, LLC, results in no current year fiscal impact.
ONGOING FISCAL IMPACT
Specific commitments of revenues and other forms of financial support for the CVBMP will be determined in a future Plan of Finance, yet to be negotiated. The proposed non-binding LOI reflects City financial commitments consistent with the Amended and Restated Financing Agreement, approved by the Council in November 2016. Both the previously approved Amended and Restated Financing Agreement and the proposed LOI are non-binding without further action of the respective legislative bodies.
ATTACHMENTS
1. San Diego Unified Port District File #2017-0338, dated June 20, 2017, including Attachments A through K.
Staff Contact: Tiffany Allen, Development Services Department