Encinitas — 2023-06-20

10A. Environmental Considerations - An Environmental Impact Report (EIR) was prepared to analyze the potential environmental effects of the project. In accordance with the California Environmental Quality Act (CEQA), the draft EIR was published for a 60-day public and agency review period on December 9, 2022 to February 6, 2023. Comments received during the public review period and corresponding responses are included in the Final EIR (Attachment CC-4). Responses were received from one federal agency (US Fish and Wildlife Service); two state agencies (California Department of Transportation (Caltrans); California Department of Fish and Wildlife (CDFW)]; one organization (Encinitas Community Collective); and 49 individuals (several whom submitted multiple comment letters). Following close of the public review period, one additional letter was received from an organization, and one additional letter was received from an individual. Through the analysis provided in the EIR, it was determined that the project would result in the following significant impacts unless mitigation measures are incorporated to reduce the environmental impacts to less than significant levels, with the exception of transportation, which was determined to be significant and unavoidable: • Air Quality • Biological Resources • Cultural Resources • Geology/Soils (Paleontological Resources) • Noise • Tribal Cultural Resources • Wildfire The impacts to air quality are associated with potential health risks to project residents due to Diesel Particulate Matter originating from proximity to Interstate 5. The impacts to biological resources are associated with direct and indirect impacts to species identified as a candidate, sensitive, or special status species in local or regional plans, policies, or regulations, or by the CDFW or USFWS. With respect to cultural resources and tribal/cultural resources and geology and soils, construction activity may impact potential historical, archaeological, and paleontological resources within the project area. The impacts to noise are associated with future residents’ exposure to Interstate 5. Impacts to wildfire activity were associated with potentially significant risk due to slope, prevailing winds, and other factors. For all the above impacts, mitigation measures are identified in the EIR to reduce the environmental effects to less than significant levels. The Mitigation Monitoring and Reporting Program (MMRP) is included as part of Attachment CC-4 and provides additional details of the required environmental mitigation measures. Through the analysis provided in the EIR, it was determined that the project would have significant and unavoidable transportation impacts related to Vehicle Miles Traveled (VMT) that cannot be fully mitigated. The project includes mitigation to reduce these impacts such as including various Transportation Demand Management (TDM) measures, but the VMT impacts would remain significant and unavoidable. Once significant impacts have been identified, CEQA and the CEQA Guidelines Sections 15043 and 15093 require that certain findings be made before project approval to justify the unavoidable transportation impact. The City must adopt a Statement of Overriding Considerations, which allows a lead agency to cite a project’s general economic, social or other benefits as justification for choosing to allow the occurrence of specified significant environmental effects that have not been avoided. The CEQA provisions require the agency to provide in writing the specific reasons to support its action to approve the project with a Statement of Overriding Considerations (included as a part of), indicating that the project’s benefits must outweigh the unavoidable significant effects. The overriding considerations must be supported by substantial evidence. The project would require the adoption of a Statement of Overriding Considerations. The statement provides the lead agency’s views on the ultimate balancing of the merits of approving a project despite its environmental impact. Although the project would have a significant and unavoidable transportation impact, it would also result in a number of public benefits associated with the development of the project site: SOCIAL BENEFITS 1. The project would provide visual and functional compatibility with adjacent residential neighborhoods, other nearby land uses, development, and natural features. 2. The project would create a walkable environment that promotes and enhances the pedestrian experience through the site by providing safe and convenient walkways, as well as an onsite area for social gathering and interaction. ECONOMIC BENEFITS 1. The project would provide affordable housing within the project for low-income families, thereby helping to meet the state-mandated affordable housing requirements and further encouraging diversity within the community. 2. The project would provide additional new residential housing opportunities within the Encinitas community, thereby addressing the local and state housing crisis and helping to meet regional and local housing mandates. ENVIRONMENTAL BENEFITS 1. The project would provide at least the minimum number of units and housing opportunities that are consistent with the goals of the adopted City of Encinitas Housing Element Update, while minimizing environmental effects and protecting surrounding natural and aesthetic resources. 2. The project would preserve the vegetation and habitat on the 4.95-acre parcel located adjacent to the north of the development area and would prepare a long-term management plan to provide an entity and endowment funding to maintain such open space in perpetuity. 3. The project would provide for the design of buildings, public spaces, and uses that enhance and respect the scenic nature of the I-5 corridor and the coastal environment. Staff concludes that a Statement of Overriding Consideration is appropriate. The EIR identified all unavoidable significant transportation (VMT) impacts could not be avoided or substantially lessened. The alternatives evaluated in the EIR either would not avoid or substantially lessen the significant and unavoidable transportation impacts or would be infeasible. Each of the above-listed benefits of the project is sufficient by itself to conclude that the project is justified despite the impacts of the project.

10B. Public Hearing for consideration of adopting resolutions authorizing the annual indexed adjustments to the cost of services schedule (User Fees) for planning and engineering development processing fees for Fiscal Year 2023-24. Contact Person: Assistant Finance Director Gallup. Environmental Considerations: The action being considered by the City Council is exempt from the California Environmental Quality Act (CEQA) because it is not a "project" under Section 15378(b)(5) of CEQA Guidelines. The action involves an organizational or administrative activity of government that will not result in the direct or indirect physical change in the environment.\nRecommended Action: 1) Adopt Resolution 2023-67, titled "A Resolution of the City Council of the City of Encinitas, California, Amending the Schedule of Fees For Planning Services; and 2) Adopt Resolution 2023-68, titled "A Resolution of the City Council of the City of Encinitas, California, Amending the Schedule of Fees for Engineering Services."\n2023-06-21 Item 10B Planning and Engineering Fees

10C. Approval of FY 2023-24 Operating Budget and FY 2023-24 to FY 2027-28 Capital Improvement Program (CIP) and Financial Plan; Adoption of Resolution 2023-47, Approving Operating and CIP Appropriations for FY 2023-24; Adoption of Resolution 2023-48, Determining the Appropriations Limit for FY 2023-24; and Adoption of Resolution 2023-49, Approving Position Titles and Pay Ranges for FY 2023-24. Contact Person: Finance Manager Sanderson. Environmental Considerations: The action being considered by the City Council is exempt from the California Environmental Quality Act (CEQA) because it is not a "project" under Section 15378(b)(5) of CEQA Guidelines. The action involves an organizational or administrative activity of government that will not result in the direct or indirect physical change in the environment.\nRecommended Action: 1) Adopt Resolution No. 2023-47, titled "A Resolution of the City Council of the City of Encinitas Adopting the Fiscal Year 2023-24 Operating and Capital Improvement Program Appropriations; 2) Adopt Resolution No. 2023-48, titled "A Resolution of the City Council of the City of Encinitas Determining and Adopting the Appropriations Limit for Fiscal Year 2023-24 in Accordance with Article XIII-B of the Constitution of the State of California;" and 3) Adopt Resolution No. 2023-49, titled "A Resolution of the City Council of the City of Encinitas Approving Titles and Pay Ranges for the City of Encinitas for Fiscal Year 2023-24."\n2023-06-21 Item 10C FY24 Operating and CIP Budget Adoption

10D. Approve Amendment #1 to the Retainer Agreement for City Attorney Services between the City of Encinitas and Jones Mayer. Contact Person: Administrative Services Director Schwarm. Environmental Considerations: The action being considered by the City Council is exempt from the California Environmental Quality Act (CEQA) because it is not a "project" under Section 15378(b)(5) of CEQA Guidelines. The action involves an organizational or administrative activity of government that will not result in the direct or indirect physical change in the environment.\nRecommended Action: Approve Amendment #1 to the Retainer Agreement for City Attorney Services between the City of Encinitas and Jones Mayer, effective July 1, 2023.\n2023-06-21 Item 10D City Attorney Contract Amendment

4A. Presentation of Proclamation Declaring June Pride Month

8A. Approval to waive the full reading of the text of all ordinances and resolutions introduced/adopted at this meeting. Ordinances and resolutions shall be introduced/adopted by title only. Contact Person: City Clerk Hollywood\nRecommended Action: Approve.

8C. Approval of the Warrants List (Register of Demands). Contact Person: Finance Manager Dinh\nRecommended Action: Staff recommends that the City Council review and approve the warrants.\n2023-06-21 Item 08C Approval of Warrants List

8D. Fiscal Year 2022-23 Third Quarter Operating Budget Status Report and Proposed Budget Amendments. Contact Persons: Finance Manager Sanderson and Finance Analyst Clisby. Environmental Considerations: The action being considered by the City Council is exempt from the California Environmental Quality Act (CEQA) because it is not a "project" under Section 15378(b)(5) of CEQA Guidelines. The action involves an organizational or administrative activity of government that will not result in the direct or indirect physical change in the environment.\nRecommended Action: 1) Receive and file the Fiscal Year 2022-23 Third Quarter Operating Budget Status Report; and 2) Adopt Resolution No. 2023-76, titled "A Resolution of the City Council of the City of Encinitas Amending the Fiscal Year 2022-23 Adopted Budget."\n2023-06-21 Item 08D FY 2022-23 Third Quarter Operating Budget Status Report & Proposed Budget Amendments

8E. Approve the Updated City of Encinitas Annex of the 2023 Multi-Jurisdictional Hazard Mitigation Plan. Contact Person Senior Management Analyst Jimenez. Environmental Considerations: The action being considered by the City Council is exempt from the California Environmental Quality Act (CEQA) because it is not a "project" under Section 15378(b)(5) of CEQA Guidelines. The action involves an organizational or administrative activity of government that will not result in the direct or indirect physical change in the environment.\nRecommended Action: Adopt City Council Resolution No. 2023-54 titled "A Resolution of the City Council of the City of Encinitas Approving the Updated City of Encinitas Annex of the 2023 Multi-Jurisdictional Hazard Mitigation Plan."\n2023-06-21 Item 08E Approve the Updated COE Annex of the 2023 Multi-Jurisdictional Hazard Mitigation Plan

8F. Public Works General Repair Services Agreement. Contact Person: Superintendent Ugrob. Environmental Considerations: The action being considered by the City Council is exempt from the California Environmental Quality Act (CEQA) because it is not a "project" under Section 15378(b)(5) of CEQA Guidelines. The action involves an organizational or administrative activity of government that will not result in the direct or indirect physical change in the environment.\nRecommended Action: 1) Authorize City Manager, in conjunction with the City Attorney, to execute an agreement in substantial form as attached for General Repair Services with L.C. Paving & Sealing, Inc. for an initial three (3)-year term; and 2) Authorize City Manager to extend the agreement if needed for two (2) three (3)-year renewal options, not to exceed nine (9) years total. The original agreement and renewal options for these services are not to exceed the annual budgeted amounts.\n2023-06-21 Item 08F General Repair Services Contract Award

8G. Authorization to renew Microsoft Office 365 product subscriptions. Contact Person: IT Operations Supervisor O’Connor. Environmental Considerations: The action being considered by the City Council is exempt from the California Environmental Quality Act (CEQA) because it is not a "project" under Section 15378(b)(5) of CEQA Guidelines. The action involves an organizational or administrative activity of government that will not result in the direct or indirect physical change in the environment."\nRecommended Action: Authorize the City Manager to purchase Microsoft Office 365 subscriptions in an amount of $173,353 for FY 2023-24 using Microsoft Cloud Reseller Agreement for U.S. Government Cloud, which was competitively bid.\n2023-06-21 Item 08G Microsoft Office 365 Product Subscriptions

8H. Amendment No. 3 to Agreement for As-Needed Architectural Services between the City of Encinitas and COAR Design Group to add $40,000 for construction support at the Pacific View Project site (CF20D). Contact Person: Senior Engineer Cabrera Environmental Considerations: The actions being considered by the City Council are not subject to the California Environmental Quality Act (CEQA) because agreement amendments are not “projects” per Section 15378(b)(5) of the CEQA Guidelines. These actions authorize staff to implement an organizational or administrative activity of government that by itself will not result in a direct or indirect physical change in the environment.\nRecommended Action: Authorize the City Manager or her designee, in coordination with the City Attorney, to execute Amendment No. 3 to the As-Needed Architectural Services agreement with COAR Design Group, in substantial form as Attachment 1, to add $40,000 of capacity to the agreement for construction support, for a new not-to-exceed amount of $916,500.\n2023-06-21 Item 08H Amend Agreement for Architectural Services with Coar Design Group

8I. Appropriate $130,110 in additional State Highway Safety Improvement Program grant funding for the Highway 101 Separated Bike Lanes (Cycle Track Phase II) Project (CS22C). Contact Person: Traffic Engineer II Barr. Environmental Considerations: The action being considered by the City Council is exempt from the California Environmental Quality Act (CEQA) because appropriating funds is an administrative activity that is not a "project" per Section 15378(b)(5) of the CEQA Guidelines.\nRecommended Action: 1) Authorize the City Manager, or designee, to accept and administer additional state grant funding from the Highway Safety Improvement Program for the Highway 101 Separated Bike Lanes (Cycle Track Phase II) Project; and 2) Adopt City Council Resolution No. 2023-74 titled, "A Resolution of the City Council of the City of Encinitas Amending the Fiscal Year 2022-23 Budget" for the Highway 101 Separated Bike Lanes (Cycle Track Phase II) Project (CS22C).\n2023-06-21 Item 08I Grant Acceptance Cycle Track (CS22C)

8J. Appropriate $548,820 in grant funding and $60,980 in City matching funds for the Highway Safety Improvement Program Cycle 11 Citywide Pedestrian Crossing Upgrades Project (CS23G). Contact Person: Traffic Engineer II Barr. Environmental Consideration: The action being considered by City Council is exempt from the California Environmental Quality Act (CEQA) because appropriating funds is an administrative activity that is not a "project" per Section 15378(b)(5) of the CEQA Guidelines.\nRecommended Action: 1) Authorize the City Manager, or designee, to accept and administer state funding from the Highway Safety Improvement Program (HSIP) for the Citywide Pedestrian Crossing Upgrades Project; and 2) Adopt City Council Resolution No. 2023-36 titled, "A Resolution of the City Council of the City of Encinitas Amending the Fiscal Year 2022-23 Budget" for the Citywide Pedestrian Crossing Upgrades Project (CS23G).\n2023-06-21 Item 08J HSIP Cycle 11 Grant Acceptance

8K. Adopt Resolution No. 2023-70 authorizing the City Manager or designee(s) to execute a Memorandum of Understanding (MOU) between the City of Encinitas/San Dieguito Water District and Service Employees International Union (SEIU) Local 221. Contact Person: Human Resources Director Bokosky. Environmental Consideration: The action being considered by the City Council is exempt from the California Environmental Quality Act (CEQA) because it is not a "project" under Section 15378(b)(5) of CEQA Guidelines. The action involves an organizational or administrative activity of government that will not result in the direct or indirect physical change in the environment.\nRecommended Action: Adopt Resolution No. 2023-70, titled "A Resolution of the City Council of the City of Encinitas Authorizing the City Manager or Designee(s) to Execute a Memorandum of Understanding Between the City of Encinitas/San Dieguito Water District and Service Employees International Union (SEIU) Local 221."\n2023-06-21 Item 08K SEIU MOU