HomeMy WebLinkAbout07/15/2008, C9 - CONTRACT STAFF FOR THE CHEVRON SAN LUIS OBISPO TANK FARM RESTORATION AND REDEVELOPMENT PROJECT. council hfmd�Dah 7-15-08
j AGEnbA uEpont
CITY OF SAN LUIS OBISPO
FROM: John Mandeville, Community Development Direct
Prepared By: Kim Murry, Deputy Director, Long Raol Planning
SUBJECT: CONTRACT STAFF FOR THE CHEVRON SAN LUIS OBISPO TANK
FARM RESTORATION AND REDEVELOPMENT PROJECT.
CAO RECOMMENDATION
1. Approve in concept a third party reimbursement agreement for contract staff to assist the
City in reviewing applications for a Specific Plan amendment, vesting tentative map, and
development plan related to the Chevron San Luis Obispo Tank Farm Restoration and
Re-development project and to coordinate review with concurrent applications being
processed in the County.
2. Authorize the City Attorney to approve the form and the City Administrative Officer to
complete the contract signatures contingent upon the developer depositing with the City
the amount of the contract.
DISCUSSION
The Airport Area Specific Plan (AASP), adopted in August 2005, designates a portion of the
Chevron Tank Farm property for reuse and development. At the time of AASP adoption,
information was not complete regarding the contamination on the property. As a result, several
policies refer to mitigations and development guidance to be followed once more information
was available. Specifically, Policy 4.3.6 indicates that development on the Tank Farm Site needs
to be evaluated through a comprehensive development and conservation plan for the entire
property. Policy 3.2.24 acknowledges that Chevron is preparing a remediation plan to address
the contaminated areas on the site and that the City may consider proposals for changes to the
Specific Plan allowing uses of the remediated site for uses other than open space. The Tank
Farm site was envisioned 'for annexation to the City to accomplish several goals: the
infrastructure improvements and connections in the Airport Area rely on the owner participating
in the cost of providing for these improvements. The ability to secure the open space in
perpetuity to enhance airport safety, visual and habitat amenities is also dependent on
participation of the owner. The future development of the Tank Farm property was also a
component of the positive cost-benefit study that was done for the Airport Area. For these
reasons, staff has been working with Chevron to implement the adopted AASP.
On July 3, 2008, Chevron Corporation submitted an application to the City for Annexation, a
Specific Plan Amendment, and Vesting Tentative Tract Map to develop a portion (approximately
66 acres) of the 280 acre property that fronts Tank Farm Road with Service& Manufacturing and
Business Park uses. This submittal initiates a thirty day time during which the City reviews the
applications for completeness. Concurrently, Chevron is processing a use permit, tentative map,
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Chevron Project Manager Contract Page 2
and grading plan through the County process in order to phase grading work associated with the
Remedial Action Plan (RAP) and anticipated future development in the City. In order to address
the need for interagency collaboration, the intense amount of staff time required to process the
applications, and the applicant's desire for an aggressive review schedule, staff is recommending
that a consultant be hired to act as a project manager on behalf of the City as an extension of
staff. Due to the cancellation of the first Council meeting in August, staff is bringing the
agreement forward for Council's approval in concept with authorization for the City Attorney
and the City Administrative Officer to complete the agreement with Chevron for contract staff
assistance in order to bring the consultant on-board in time to assist with the initial completeness
review of the applications.
Chevron's Remedial Action Plan (RAP) incorporates actions to remediate site contamination in
response to the collaborative process conducted by the Surface Evaluation, Remediation, and
Restoration Team (SERRT). Neil Havlik, the City's Natural Resources Manager has been
participating on the SERRT team. When Chevron first applied to the County for entitlements to
grade the site, County staff abided by the City-County Memorandum of Understanding adopted
several years ago by referring Chevron to the City. While County staff cannot refuse to process
an application on property within County lands, they can strongly encourage an applicant to fully
explore development options with the City. After City and County staff met and discussed the
development process with Chevron, the applicant agreed to concurrently process an application
with the City.
In reviewing Chevron's initial proposal, City and County staff have concluded that a new
Environmental Impact Report (EIR) is required to address the changes to the Specific Plan to
implement the work associated with the RAP, and respective tentative maps and development
plan applications. In addition, the evaluation of the applications through both jurisdictions
requires close coordination and collaboration to ensure the project approvals are consistent with
each jurisdiction's policies while recognizing that ultimate development of the site will occur
under City purview.
On March 1, 2005, the City Council approved the use of consultants selected and managed by the
City to expedite permit processing and the Council authorized the CAO to enter into agreements
with applicants and consultants, subject to the applicant agreeing to fully pay for the cost in
advance of the City committing to the cost. Based on the experience of both City and County
staff with an array of consultants and the specialized expertise required to assist with the
remediation and subsequent development of the site, Bill Henry of SWCA (the firm previously
known as Morro Group),has been selected as the most suitable consultant to lead this effort.
In addition to coordinating the review of Chevron's applications through the respective City and
County processes, Mr. Henry will provide the staff support needed to develop the scope of work
and assist in the selection of a consultant for the EIR. Conducting a single EIR with City and
County acting as "co-leads" will be the most efficient method to ensure that the environmental
document comprehensively addresses all aspects of the proposed development. In addition,
preparation of a single EIR will avoid a duplicative process for the applicant.
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Chevron Project Manager Contract Page 3
This staff report contains the draft consultant contract and reimbursement agreement to allow Bill
Henry of SWCA to get started in the role of project manager as an extension of City staff. It is
currently under review by Chevron. Authorizing the City Attorney and the City Administrative
Officer to complete the contract process will enable a more timely completion of the contract
process.
CONCURRENCES
Staff from Administration, Finance, Community Development, Public Works, Utilities,
Economic Development, and Natural Resources have been participating in discussions with the
Chevron team and concur with the approach of hiring contract staff to act as a project manager to
assist in this labor-intensive effort.
FISCAL IMPACT
There will be a slight fiscal impact to the General Fund. The contract staff person's time will be
fully funded by the applicant and the time spent by the City staff will be nearly fully covered by
application fees. The City will be responsible for updating the Airport Area Specific Plan in
response to the more detailed information available due to the SERRT process. It is the
applicant's desire to obtain approval for work on this property in advance of when City staff had
anticipated completing the AASP update work effort. Since most of the SERRT implementation
occurs on the Tank Farm property, it is appropriate for the owner to fund the project consultant to
augment staff resources to complete the project-related review and EIR necessary to support the
AASP amendment.
ALTERNATIVES
1. Do not authorize hiring contract staff to work in the project manager and interagency
coordinator role. This approach is not recommended due to the intensive work effort
associated with the project and the requirement to closely coordinate processing efforts
with County staff and superior agencies. Due to staff shortages and high workload,
existing staff would not be able to respond in a timely manner to this complex project.
2. Direct staff to develop a request for proposal and advertise for bids from consultants to
act in this capacity. This approach is not recommended due to the time required to
conduct this type of process and the special expertise required for the project at hand.
Mr. Henry is uniquely qualified to fill this role, is available and currently under contract
with the County to perform this function.
ATTACHMENTS
Third Party Reimbursement Agreement draft
G:\CD-PLAN\1KMURRY\Airport Issues\Chevron\CAR-Consultant.DOC
Attachment ..,
REIMBURSEMENT AGREEMENT
This Reimbursement Agreement("Agreement") is made this day of July 2008, by and
between the City of San Luis Obispo, a municipal corporation and Charter City(the"City") and
Chevron EMC (the"Applicant").
RECITALS
This Agreement is made with respect to the following facts:
A. The Applicant is the intended developer of that certain real property located within the
County of San Luis Obispo, California, generally described as Assessor's Parcels#: 076-381-021,
076-382-005, 076-383-001 and 002, 076-352 061 and 062 (Tank Farm Road). This property
constitutes the project site and is hereinafter collectively referred to as the"Property" for the
purposes of this Agreement.
B. The Applicant is contemplating the development of the Property with Service &
Manufacturing and Business Park uses. The Applicant has submitted applications for various
discretionary land use approvals for the development of the Property including, without limitation,
Annexation, Airport Area Specific Plan Amendment and Prezoning, Vesting Tentative Tract Map
and Architectural Review of public facilities improvements, to allow the development of
approximately 66 acres of the 280 acres property, and environmental documents pursuant to the
California Environmental Quality Act("CEQA"). All of the above applications shall be referred to
collectively as the"Project."
C. To provide the City with the staff and information necessary to the City's review
process concerning the development of the Property, it is necessary for the City to retain the
services of a project manager staff consultant.
D. As a condition to the City's completion of the review process,the Applicant has agreed
to reimburse the City for the consultant's costs and expenses related to the City's review process in
the manner and amounts set forth in this Agreement. The Applicant's obligation to reimburse the
City under this Agreement is to ensure that the City has the necessary resources to diligently and
efficiently process the Applicant's Project Application.
AGREEMENT
NOW, THEREFORE, in consideration of the following mutual promises and agreements,
City and Applicant agree as follows:
1. Incorporation of Recitals.
The parties agree that the Recitals constitute the factual basis upon which the City and the
Application have entered into this Agreement. The City and the Applicant each acknowledge the
accuracy of the Recitals and agree that the Recitals are incorporated into this Agreement as though
fully set forth at length.
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2. City to Retain Consultant.
As a necessary and indispensable part of its fact-finding process relating to the review of the
Applicant's proposed uses of the Property, the City may retain,by means of a contract("Consultant
Contract") in its reasonable and sole discretion, the services of the consultant identified in Section 4
of this Agreement(hereinafter"Consultant"). The presently contemplated scope of work of the
respective Consultant is attached hereto as Exhibit B. The City reserves the right, in its reasonable
and sole discretion, to amend the scope of work as it deems necessary and appropriate where such
amendments are reasonably necessary and related to the City's proper review and consideration of
the Applicant's Project.
The Applicant agrees that, notwithstanding the Applicant's reimbursement obligations under
this Agreement, the Consultant selected by the City shall be the contractor exclusively of the City
and not of the Applicant. Except for those disclosures required by law including, without
limitations, the Public Records Act, all conversations, notes, memoranda, correspondence, and other
forms of communication by and between the City and the Consultant shall be, to the extent
permissible by law, privileged and confidential and not subject to disclosure to the Applicant. The
Applicant agrees that it shall have no claim to, nor shall it assert any right in any reports,
correspondence, plans, maps, drawings, news releases or any and all other documents or work
product produced by the Consultant pursuant to the Consultant Contract. City shall include in the
Consultant Contract a termination provision authorizing the City to, upon short notice, terminate the
contract without cause by sending written notice of termination to the Consultant. Applicant
understands that it will not be a third party beneficiary to City's contract with Consultant.
3. Applicant to Cooperate with Consultant.
The Applicant agrees to cooperate in good faith with the Consultant. The Applicant agrees
that it will instruct its agents, employees, consultants, contractors and attorneys to reasonably
cooperate with the Consultant and to provide all necessary documents or information reasonably
requested of them by the Consultant; provided,.however,that the foregoing shall not require the
disclosure of any documents or information of the Applicant which by law is privileged,
proprietary, confidential, or exempt from disclosure under the Public Records Act..
4. City's Preliminary Selection of Consultant.
The City has preliminarily decided to retain Bill Henry of The Morro Group, a Division of
SWCA, as a consultant as set forth in Exhibits A & B, pursuant to this Agreement.
The Applicant agrees that the City may select another consultant to replace the Consultant
preliminarily identified above and may do so without consulting with the Applicant or obtaining the
Applicant's approval. The Applicant further agrees that the City may need to retain additional
consultants that are not known at this time in order to process Applicant's project. The City shall
notify the Applicant of the need for any additional consultants and shall amend this Agreement to
include the additional consultants. If the Applicant disagrees with the City's need to retain
additional consultants, then the Applicants sole and exclusive remedy will be to terminate this
Agreement pursuant to Section 9, subject to the Applicant's obligation to reimburse the City for all
consultant costs incurred by the City prior to the date of termination, whether or not yet paid by the
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City to the applicable consultant. Applicant understands that such termination will relieve the City
of further obligation to process its application.
5. Applicant's Reimbursement of Consultant Costs, Expenditures and Administrative
Fees.
The Applicant shall reimburse the City for one hundred percent(100%) of the actual costs,
expenditures and administrative fees incurred by the City relative to the Consultant Contract
("Consultant Costs"), as specified in Exhibit A and Exhibit B. The City has preliminarily reviewed
the scope of work required of the Consultant and has estimated the aggregate Consultant Costs and
fees to be no less than $ (estimated consultant costs + 30% administration
fee)("estimated Consultant Costs").
The City may incur aggregate Consultant Costs up to the Estimated Consultant Costs
without specifically notifying the Applicant.. The City shall use reasonable good faith efforts to
inform the Applicant prior to amending the scope of services to be provided by the Contractor and
incurring Consultant Costs that exceed the Estimated Consultant Costs ("Excess Costs"). The
Applicant's obligation to reimburse the City for Excess Costs shall be contingent upon the City,
before completion of the work, providing the Applicant with written notice of the amendment to the
scope of work. The decision to incur Excess Costs and the amount of Excess Costs to incur shall lie
with the reasonable and sole discretion of the City.
If, after receiving notice of amendments to the scope of work, the Applicant disagrees with
the City's incurring of Excess Costs, then the Applicant's sole and exclusive remedy will be to
terminate this Agreement pursuant to Section 9, subject to the Applicant's obligation to reimburse
the City for all Consultant Costs incurred by the City prior to the date of termination, whether or not
yet paid by the City to the Consultant. Applicant understands that such termination will relieve the
City of further obligation to process its application.
6. Payment of Consultant Costs and Fees.
City shall not be required to advance its own funds to pay Consultant. Applicant shall
deposit one hundred percent (100%) of the estimated Consultant Costs and all administrative fees
(30% of Consultant Costs) and other fees as provided in Exhibit A. Upon receipt of these sums,
City shall be authorized to employ the Consultant. City may invoice the Applicant for any excess
costs charged by the Consultant pursuant to Exhibit A, and Applicant shall thereafter promptly
deposit within fifteen (15) days sufficient funds with City to enable City to make timely payment to
the Consultant.
Within fifteen (15) days following receipt of written demand therefore by the Applicant, the
City shall provide the Applicant with such reasonable documentation as the Applicant may request
to substantiate any demands for payment.
Applicant understands that, despite the City's efforts to hire a qualified Consultant, it is
possible that the work of the Consultant may, in the City's opinion, prove to be defective, which
may in turn lead to the City refusing to pay some portion of Consultant's bills and/or the City
terminating the services of the Consultant. In such situations, the City may assign, and the
Applicant shall accept, the obligation of resolving and/or paying any outstanding bills of such
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Consultant. If litigation ensues concerning Consultant's bills, Applicant must indemnify and defend
the City in that regard. In any situation in which the Consultant is discharged, the City will,
pursuant to Paragraphs 2 through 5, retain other consultants at Applicant's expense.
7. City to Retain Absolute Discretion.
The Applicant acknowledges and agrees that notwithstanding the Applicant's
reimbursement obligations under this Agreement, the City is not obligated to approve any or all of
the proposed uses or permits for the Property, to approve any environmental documents or general
plan or municipal code amendments which may be required for any of the uses contemplated for the
Property. The Applicant warrants and represents that no City official, officer, employee, agent or
attorney has represented, expressly or impliedly, that the City will approve any proposed use of the
Property. The Applicant understands that there may be numerous legislative and quasi-judicial
decisions to be made by the City with regard to the development of the Property; that all such
decisions of the City with regard to the Property and the contemplated uses of the Property will be
made only after compliance with all the City's statutory and other legal obligations and after
considering all appropriate information and evidence; and that such evidence may cause the City to
disapprove any or all of the contemplated uses of the Property. Notwithstanding anything in this
Agreement to the contrary, the City retains all authority and discretion granted to it by law to
approve, disapprove or modify any of the proposed uses of the Property.
The Applicant further understands that the City shall not be bound by any recommendations
or conclusions reached by the Consultant and that the City may accept or reject, in whole or in part,
any such recommendations or conclusions that the City, in its reasonable and sole discretion, deems
to be unreasonable or contrary to the City's land use ordinances and regulations or State statutes or
regulations.
8. Term.
The term of this Agreement shall commence on July 16, 2008, and shall terminate when all
work required by the Consultant Contract has been completed to the City's reasonable satisfaction
and the Applicant has satisfied all of its obligations under this Agreement including, without
limitation, the obligation to pay the City for Consultant Costs and Excess Costs, whether or not paid
by the City to the Consultant prior to the date of termination. The Applicant's obligation to
reimburse the City as provided in this Agreement shall survive the termination of this Agreement
pursuant to this Section 8.
9. Early Termination.
For good cause, the City may terminate this Agreement prior to the term set forth in Section
8 above, without cost or liability to the City, upon thirty(30) days prior written notice to the
Applicant. The Applicant, upon thirty(30) days' prior written notice, may, in its reasonable and
sole discretion, terminate this Agreement prior to the end of the term set forth in Section 8 above,
provided, however, that the Applicant has satisfied all of its obligations under this Agreement to
date of termination regarding reimbursement to the City of both Estimated Consultant Costs and
Excess Costs and, furthermore, that the Applicant has given City written notice withdrawing its
application(s) for the Project.
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Within two (2) City working days following either the City's decision to terminate this
Agreement or the City's receipt of written notice indicating the Applicant's decision to terminate
this Agreement, the City shall notify the Consultant and instruct them to cease work under the
Consultant Contract. The Consultant shall be instructed to bill the City for any work completed
prior to the date of termination of the Consultant Contract.
10. Remedies Upon Default.
An event of default shall be deemed to exist upon the occurrence of all of the following:
(a) Either the City or the Applicant has, without legal justification or excuse,
breached any one or more of its obligations under this Agreement; and
(b) The nondefaulting party has sent written notice to the party claimed to be
in default, specifying the default and what actions the nondefaulting party
asserts should be taken to remedy the default; and
(c) The party claimed to be in default has not, within ten (10) days following
receipt of the written notice described above, either corrected the default or
taken actions, reasonably satisfactory to the nondefaulting party, to remedy the
default within a reasonable period of time,but in no event longer than thirty(30)
days after receipt of the written notice described in(b) above.
Following an event of default, the nondefaulting party may exercise any and all remedies available
to it pursuant to this Agreement, or at law or in equity, including, without limitation, instituting an
action for damages, injunctive relief, or specific performance.
11. Nonwaiver of Rights or Remedies.
The failure of a party to exercise any one or more of its rights or remedies under this
Agreement shall not constitute a waiver of that party's right to enforce that right or seek that remedy
in the future. No course of conduct or act of forbearance on any one or more occasions by any party
to this Agreement shall preclude that party from asserting any right to remedy available to it in the
future. No course of conduct or act of forbearance on any one or more occasions shall be deemed to
be an implied modification of the terms of this Agreement.
12. Assignability.
This Agreement may not be assigned by either party without the prior and express written
consent of the other party, which consent shall not be unreasonably withheld. In determining
whether to approve a request by the Applicant to assign this Agreement, the City may consider,
among other things, the proposed assignee's financial status and commitment to the Project. Any
attempted assignment of this Agreement not in compliance with the terms of this Agreement shall
be null and void and shall confer no rights or benefits upon the assignee.
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13. No Oral Modifications.
This Agreement represents the entire understanding of the City and the Applicant and
supersedes all other prior or contemporaneous written or oral agreements pertaining to the subject
matter of this Agreement. This Agreement may be modified only by a writing signed by the
authorized representatives of both the City and the Applicant.
14. Binding Upon Successors.
This Agreement and each of its terms shall be binding upon the City, the Applicant and their
respective officers, elected officials, employees, agents, contractors, and permitted successors and
assigns.
15. Legal Challenges.
Nothing herein shall be construed to require City to defend any third party claims and suits
challenging any action taken by the City with regard to any procedure or substantive aspect of the
City's approval of development of the Property, the environmental process, or the proposed uses of
the Property. The Applicant may, however, in its sole and absolute discretion appear as real party
in interest in any such third party action or proceeding. If the City defends such action or
proceeding; the Applicant shall be responsible to reimburse the City for whatever legal fees and
costs, in their entirety that maybe incurred by the City in defense of such action or proceeding.
The City shall have the absolute right to retain such legal counsel as the City deems necessary and
appropriate. Applicant shall reimburse City in the event of an award of court costs or attorney fees
is made against City in favor of any third party challenging either the sufficiency of an
environmental impact report or the validity of the City's approval of the Application.
16. Attorneys' Fees.
In the event that any action or proceeding, including arbitration, is commenced by either the
City or the Applicant against the other to establish the validity of this Agreement or to enforce any
one or more of its terms, the prevailing party in any such action or proceeding shall be entitled to
recover from the other, in addition to all other legal and equitable remedies available to it, its actual
attorneys' fees and costs of litigation; including, without limitation, filing fees, service fees,
deposition costs, arbitration of costs and expert witness fees, including actual costs and attorneys'
fees on appeal..
17. Jurisdiction and Venue.
This Agreement is executed and is to be performed in the City of San Luis Obispo, and any
action or proceeding brought relative to this Agreement shall be heard in the appropriate court in the
County of San Luis Obispo, California. The City and the Applicant each consent to the personal
jurisdiction of the court in any such action or proceeding.
18. Time is of the Essence..
Except as otherwise expressly stated, time is of the essence in the performance of each and
every action required pursuant to this Agreement.
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19. Covenant of Further Assurances.
The City and the Applicant shall take all other actions and execute all other documents,
which are reasonably necessary to effectuate this Agreement.
20. Interpretation.
The City and the Applicant agree that this Agreement is the product of mutual negotiations
and is an arms-length transaction. Each party has negotiated this Agreement with the advice and
assistance of legal counsel of its own choosing.
It is further agreed that the terms of this Agreement shall be construed in accordance with
the meaning of the language and shall not be construed for or against either party by reason of
authorship and the rule that ambiguities in a document shall be construed against the drafter of the
document shall have no application to this Agreement. In construing and interpreting this
Agreement, the finder of fact shall give effect to the mutual intention of the City and the Applicant,
notwithstanding such ambiguity, and may refer to the facts and circumstances under which this
Agreement is made and such other extraneous evidence as may assist the finder of fact in
ascertaining the intent of the City and the Applicant.
21. Severability.
If any term or provision of this Agreement is found to be invalid or unenforceable, the City
and the Applicant both agree that they would have executed this Agreement notwithstanding the
invalidity of such term or provision. The invalid term or provision may be severed from the
Agreement and the remainder of the Agreement may be enforced in its entirety.
22. Headings.
The headings of each section of this Agreement are for the purposes of convenience only
and shall not be construed to either expand or limit the express terms and language of each section.
23. Representations of Authority.
Each party signing this Agreement on behalf of a party which is not a natural person hereby
represents and warrants to the other party that all necessary legal prerequisites to that party's
execution of this Agreement have been satisfied and that he or she has been authorized to sign this
Agreement and bind the party on whose behalf he or she signs.
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24. Notices.
Notices required under this Agreement shall be sent to the following:
If to the City: City of San Luis Obispo
Attn: City Administrative Officer
990 Palm Street
San Luis Obispo, CA 93401-3249
Facsimile No. (805) 781-7109
If to the Applicant: Chevron EMC
Attn: William Almas
Notices given pursuant to this Agreement shall be deemed received as follows:
(a) If sent by United States Mail— five (5) calendar days after deposit
into the United States Mail, first class postage prepaid.
(b) If by facsimile—upon transmission and actual receipt by the
receiving party.
(c) If by express courier service or hand deliver—on the date of receipt by the
receiving party.
The addresses to notices set forth in this Section 24 may be changed upon written notice of such
change to either the City or the Applicant, as appropriate.
25. Days.
Unless otherwise specified to the contrary, "days" in this Agreement shall mean calendar,
not business days.
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Dated: CITY OF SAN LUIS OBISPO
A Municipal Corporation (the"City')
By:
Ken Hampian, City Administrative Officer
ATTEST:
City Clerk
APPROVED AS TO FORM:
14�ity A rney
Dated Chevron EMC
By:
APPROVED AS TO FORM:
Legal Counsel for Applicant
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July 3, 2008 M®RRO
GROUP, INC.
A.DIVISION OF
SWCA
ENVIBONMENTA CONSWANTS
Mr. John Nall Ms. Kim Murry
Principal Environmental Specialist Deputy Director, Long Range Planning
County of San Luis Obispo City of San Luis Obispo
Department of Planning and Building Community Development
County Government Center, Room 200 919 Palm Street
San Luis Obispo, CA 93401 San Luis Obispo, CA 93401
SUBJECT: Scope of Work and Cost Summary to Provide Environmental Administration and
Assistant Project Manager Services to the County and City of San Luis Obispo for
the Chevron - Tank Farm Project(MG/SWCA -SLO 92)
Dear Mr. Nall and Ms. Murry:
Thank you for your interest in having Morro Group, a Division of SWCA (Morro
Group/SWCA), prepare a proposal to provide project management, environmental review
process, and planning services to the County of San Luis Obispo (County) and City of San Luis
Obispo (City) for the processing of the Chevron — Tank Farm project, located in the County of
San Luis Obispo, California. Environmental and planning services would include but not be
limited to the tasks outlined below. The cost estimate is based on previous experience serving as
the Assistant Project Manager for the County, facilitating both the Guadalupe Restoration and
the San Miguel Ranch General Plan Amendment project EIRs over the last three years, and
working closely with all key parties involved in the process. My review of Morro
Group/SWCA's invoices for both the Guadalupe and San Miguel Ranch projects also served as a
means of projecting the cost for providing project management services to the County and City.
As has been the case with the Guadalupe and San Miguel projects, there have several instances
where my delegation of tasks to various members of Morro Group/SWCA staff has been
beneficial from a cost as well as a timing standpoint. The cost estimate below includes
utilization of Morro Group staff where appropriate to assist in our efficiency of services to the
City and the County.
SCOPE OF WORK
The fust section of this scope describes work that will be done on behalf of both the City and the
County and for which billing will be split evenly between the City and the County.. The second
section of this scope describes work that will be done solely in support of the City review of the
Chevron application and for which services will be billed to the City alone. The third section of
1422 MONTEREY STREET, SUITE C200•SAN LUIS OBISPO,CA 93401•(805)543-7095 FAX 543-2367
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Aon%iScope of Work&Cost Summary for the Chevron- Tank Farm Project Coun /Ci 0J tY
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this scope describes work that will be done solely in support of the County review and services
will be billed to the County alone.
Section I—Joint City and County Process Responsibilities
When implementing the services outlined below, Morro Group/SWCA will divide equally the
costs associated the tasks between the County and the City. In doing so, we will reference the
Chevron application processing numbers assigned by both the County and the City when
preparing the billing for the services outlined below:
I. Coordinate all project submittals with outside agencies and utilities for referral comments /
Notice of Preparation comments. Agencies include, but are not limited to: Caltrans, PG&E,
SBC, Charter Cable, Gas Company, Fish and Game, Army Corps of Engineers, Regional
Water Quality Control Board, Airport Land Use Commission, County Planning, County
Environmental Health, APCD, US Fish & Wildlife Service, and any other agencies with
jurisdiction that may become involved. Prepare letters to applicant on information needed,
suggested refinements, and progress.
2. Prepare an initial environmental study,proposed EIR work scope, and Request for Proposals
(RFP) for preparation of the EIR by a third party consulting firm.
3. Prepare, review, and circulate a RFP so as to obtain an EIR consultant.
4. Review EIR consultant proposals and scope of work. Coordinate with a proposal review
team and determine most suitable consultant to prepare EIR. If necessary, set-up and hold
EIR consultant interviews as part of selection process. Coordinate refinement of scope of
work with County, City, and selected consultant.
5. Prepare, review, and distribute the Notice of Preparation. Coordinate the scoping process
through the County and the City. The process includes a.scoping meeting at public hearings
before the City of San Luis Obispo Planning Commission and the County of San Luis
Obispo Planning Commission. Responsible for timely filing of required public hearing
notices.
6. Consolidate and distribute Scoping Meeting and NOP comments to interested parties (e.g.,
agency staff, interested members of the public, and EIR consultants).
7. Administer the EIR consultant contracts to be issued by the City and the County and ensure
compliance with local, state, and federal requirements, when appropriate. As part of this
process, coordinate with County and City Counsel to ensure contracts prepared properly.
8. Review and comment on the Administrative Draft EIR(ADEIR) and follow process through
to a revised ADEIR and prepare a Notice of Completion of Draft EIR(DEIR). This process
includes a public hearing on the DEIR with the City and County Planning Commissions.
Administrative draft review is expected to take four weeks.
Morro Group—A Division of SWCA 7
Cq - � �
' tycnent
Scope of Work& Cost Summaryfor the Chevron- Tank Farm Project County/Cit o an tspo
9. Consolidate, review, and distribute DEIR comments, and review consultant's response to
comments and DEIR revisions. Review and comment on the Administrative Final EIR
(AFEIR) and follow process through to a revised Final EIR.
10. Coordinate with City and County staff, property owner, property owners' representatives,
and other agencies to keep "key players" informed of issues, problems, and progress, both
orally and in writing.
11. Throughout the entire process, provide information to the members of the public interested
in the progress or status of the project (e.g., neighbors, appellants, decision makers, media,
etc.). This may involve phone calls, meetings, and email.
12. Arrange and coordinate agencies, participate in monthly meetings between City and County
staff, and project applicant to ensure coordination and timeliness of City and County
processes. Attend one project team meeting per week (one hour) for anticipated duration of
18 months. Prepare meeting notes and distribute to team for review.
13. Prepare the Notice of Determination related to the CEQA process for both the City and the
County.
Section 2—City Process Responsibilities
Morro Group/SWCA will reference the Chevron application processing numbers assigned by the
City when billing for the services outlined below:
1. Review project application for initial completeness and consistency with City plans,
programs, and policies. Assist in the preparation and refinement of the project description
for City review.
2. Coordinate all project submittals with internal departments and outside agencies and utility
providers for subdivision map and public utility requirements associated with the vesting
tentative tract map submitted for City consideration. These entities may include: Caltrans,
PG&E, SBC, Charter Cable, Gas Company, Fish and Game, Army Corps of Engineers,
Regional Water Quality Control Board etc. Prepare letters to applicant on information
needed, suggested refinements, and progress.
3. Prepare City Council staff report and attend one Council hearing for EIR consultant
contract.
4. Coordinate with City staff assigned to project to ensure the development review and Specific
Plan amendment processes proceed smoothly.
5. Assist assigned City staff where necessary to coordinate evaluation of Airport Area Specific
Plan amendments required as part of the project, Airport Land Use Plan (ALUP) restrictions,
and superior agency requirements with the project proposal. Attend one ALUP Commission
hearing.
Morro Group—A Division of SWCA 3
CJ - l5
ent
Scope of Work&Cost Summary for the Chevron- Tank Farm Project County/C y �
6. Assist assigned City staff in evaluation of Vesting Tentative Tract Map proposal for
compliance with Zoning requirements, transportation best practices, grading and drainage
information provided by the Community Development, Public Works staff, and Utilities
service information relative to zoning, design, water sewer, and recycled water facilities
necessary to serve the development.
7. Assist assigned City staff in analysis and preparation of staff reports to advisory bodies (i.e.,
ARC and PC) and City Council documenting the project's compliance with City plans,
programs, policies, and good design principles. Attend one PC meeting, attend one CC
meeting.
8. Perform other planning tasks related to the project review, as required.
Section 3— County Process Responsibilities
Morro Group/SWCA will reference the Chevron application processing numbers assigned by the
County when billing for the services outlined below:
I. Prepare Staff Report for the project preparation;
2. Represent staff at Planning Commission and Board of Supervisors hearings and give staff
report presentations;
3. Prepare Notice of Determination; and,
In addition to the tasks outlined above, EIR project management has required attendance at
numerous meetings with County staff, the EIR consultant, and the project applicant, and has
required response to numerous phone calls, e-mails, and other information requests from County
staff, the project applicant, interested members of the public, and representatives of responsible
agencies. It is recognized that not all of the above tasks may need to be implemented for the
Chevron EIR and that there may be other tasks not listed above that are unique to this project.
COST ESTIMATE
Based on the above description of services, a time-and-materials budget of $164.510.00 is
recommended (refer to Table 1).
Should you have any further questions or need additional information, please contact me at (805)
543-7095, extension 104.
Sincerely,
Morro Group—A Division of SWCA 4
C� `I
Scope of Work&Cost Summary for the Chevron- Tank Farm Project County/G o San�:as Gbis o
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MORRO GROUP/SWCA
Bill Henry, AICP
Office Director
Morro Group—A Division of SWCA 5
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- ATTAC14MENT
Exhibit "B"
4A
scope-of-woRk foa chevron consultant
contract
The Consultant will provide immediate attention to the Chevron permit application, as
an extension of both City and County staff. The first section of this scope describes
work that will be done on behalf of both the City and the County and for which billing will
be split evenly between the City and the County. The second section of this scope
describes work that will be done solely in support of the City review of the Chevron
application and for which services will be billed to the City alone,.,-'-,,,
SECTION 1 —Joint City and County Process Responsibilities
1. Coordinate all project submittals with outside agencies andutilities for referral
comments / Notice of Preparation comments. Agencies include,but aren't limited
to: Caltrans, PG&E, SBC, Charter Cable, Gas Company, Fisl�'and.,Game, Army
Corps of Engineers, Regional Water Quality Control Board, etc.; Prepare letters to
applicant on information needed, suggested refinements,.and progress;
2. In cooperation with County and,.City staff, prepare an initial environmental study,
proposed EIR work scope and Request for Proposals for preparation of the EIR by
a third party consulting firm;
3. Prepare, review and circulate a Request forproposals_for an EIR consultant;
4. Review EIR consultant proposals and,,,scope of work. Coordinate refinement of
scope of work with County, City and selected consultant;
5. Prepare, review and distribute the Notice;',of Preparation. Coordinate the scoping
process:through the County and the City. The process includes a scoping meeting
at a o6blic hearing before the City of San Luis Obispo Planning Commission.
6. ,Administer the EIR'consultant contract and ensure compliance with local, state and
federal requirements;,when appropriate;
7. Review and comment'dn the Administrative Draft EIR (ADEIR) and follow process
through to revised ADEIR with Notice of Availability of Draft EIR; This process
includes a public hearing on the Draft EIR at the Planning Commission.
8. Consolidate, review and distribute DEIR comments, and review consultant's
response to comments and DEIR revisions; Review and comment on the
Administrative Final EIR (AFEIR) and follow process through to a revised Final EIR.
9. Coordinate with City and County staff, property owner, property owners'
representatives and other agencies to keep "key players" informed of issues,
problems and progress, both orally and in writing;
10. Provide information to the public;
01 _ 20
ATTACH'I ENT
Scope of Work -Chevron Profect Manager Exhibit "B"
Page 2 Qq/
11. Arrange and participate in monthly meetings between City and County staff and
project applicant to ensure coordination and timeliness of City and County
processes.
12. Prepare the Notice of Determination and the Notice of Final Action related to both
City and County projects;
SECTION 2 — City Process Responsibilities
The City will assign the Chevron application processing numbers which the project
manager should reference when billing for services rendered.
1. Review project application for initial completeness and consistency with City plans,
programs and policies; Assist in the preparation and refinement of the project
description for City review;
2. Coordinate all project submittals with interrial departments and outside agencies
and utility providers for subdivision map"and\public utility requirements associated
with the vesting tentative tract map submitted for Cit bonsideration. These entities
may include: Caltrans, PG&E, SBC, Charter Cable, Gas Company, Fish and Game,
Army Corps of Engineers; Regional Water Quality`Control Board etc. Prepare
letters to applicant on information needed, suggested-refinements, and progress.
3. Prepare staff report to City Council to authorize distribution of a Request for
Proposal for preparation of an Environmental Impact Report for the project by a
third party consulting=firm.
4. Prepare City Council staff report for EIR consultant contract;
5. Coordinate with City staff-assigned to project to ensure the development review and
Specific Plan amendment processes proceed smoothly.
6. Assist assigned City staff where-necessary to coordinate evaluation of Airport Area
Specific Plan amendments required as part of the project, Airport Land Use Plan
(ALUP) restrictions, and superior agency requirements with the project proposal.
7. Evaluate Vesting Tentative Tract Map proposal for compliance with Zoning
requirements, transportation best practices, grading and drainage information
provided by the Community Development, Public Works staff, and Utilities service
information relative to zoning, design, water sewer, and recycled water facilities
necessary to serve the development;
8. Analyze and prepare staff reports to advisory bodies (i.e. ARC, and PC) and City
Council documenting the project's compliance with City plans, programs, policies,
and good design principles;
9. Perform other planning tasks related to the project review, as required.
C.1 - 2-