City Council

12. FIRST AMENDMENT TO DEVELOPMENT AGREEMENT 2022-0002 – THE\nJESSUP AT 17802 – 17842 IRVINE BOULEVARD A request for the first\namendment to Development Agreement 2022-0002, an agreement between the\nCity of Tustin and Tustin 40 Development LLC (Property Owner) for “The\nJessup” residential project. The proposed amendment is a request to eliminate\nthe Property Owner’s requirement to pay the Voluntary Workforce Housing\nIncentive Program In-Lieu Fee (“In-Lieu Fee”). On July 9, 2024, the City of\nTustin Planning Commission held a public hearing on the proposed request and\nadopted Resolution No. 4492, recommending that the City Council adopt\nOrdinance No. 1544, approving the first amendment to Development\nAgreement 2022-0002. On September 17, 2024, the City Council held a public\nhearing to consider the Property Owner’s requested amendment to\nDevelopment Agreement 2022-0002. The City Council’s motion failed due to a\n2-2-1 vote (Attachment 3). The Property Owner is now requesting that the City\nCouncil reconsider the matter and adopt Ordinance 1564, approving first\namendment to Development Agreement 2022-0002 (Attachment 4).\nRecommendation: That the City Council conduct first reading of Ordinance No.\n1564, by title only, for the first amendment to Development Agreement 2022-\n0002, and set second reading to the next available Council meeting.\nORDINANCE NO. 1564 AN ORDINANCE OF THE CITY COUNCIL OF THE\nCITY OF TUSTIN, APPROVING FIRST AMENDMENT TO DEVELOPMENT\nAGREEMENT (DA) 2022-0002, TO ELIMINATE OWNER’S REQUIREMENT\nTO PAY FOR THE VOLUNTARY WORKFORCE HOUSING INCENTIVE\nPROGRAM IN-LIEU FEE FOR THE “THE JESSUP” RESIDENTIAL PROJECT\nLOCATED AT 17802 AND 17842 IRVINE BOULEVARD. Fiscal Impact: The\nremoval of the In-Lieu Fee will reduce anticipated contributions to the City’s\nHousing Fund by approximately $289,560; however, the reduction is consistent\nwith the Council’s action to temporarily waive the In-Lieu fee where it applies\nelsewhere, pursuant to the Municipal Code, which includes properties within the\nDowntown Commercial Core Specific Plan and Red Hill Avenue Specific Plan.