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HomeMy WebLinkAbout25 - Hyatt Regency Environmental Impact ReportCITY OF NEWPORT BEACH CITY COUNCIL STAFF REPORT Agenda Item No. 25 January 13, 2009 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: Planning Department Jaime Murillo, Associate Planner (949) 644 -3209, imur !!!oa(%city.newgort- beach.ca.us SUBJECT: Contract for Environmental Consulting Services Hyatt Regency Environmental Impact Report (EIR) APPLICANT: Sunstone Hotel Investors, Inc. ISSUE In accordance with Council Policy F -14 (Authority to Contract for Services), the City Manager shall provide notice of a permit application and a brief description of the proposed project to the City Council when a contract for professional services is paid for by funds in an applicant deposit account and the total cost for services exceeds $100,000. RECOMMENDATION Receive and File. DISCUSSION This report is intended to provide notice to the City Council of a contract for professional services between the City of Newport Beach and The Planning Center for the preparation of an Environmental Impact Report (EIR) associated with a project to expand the existing Hyatt Regency Hotel at 1107 Jamboree Road. The current contract is in the amount of $236,590, which was paid for by the project applicant ( Sunstone Hotel Investors, Inc.); however, the scope of work has been expanded to include additional analysis required to complete the Final EIR. The Draft EIR will be revised to incorporate a revised site plan (moving a timeshare building to increase the biological resources buffer areas) and to include updated biological resources information. An amendment to the contract is also required to cover additional work required to respond to a comment letter received from the City of Irvine and to allow for additional project management and public hearing time. The estimated budget to complete this additional January 13, 2009 Page 2 analysis is $25,200, resulting in a total contract amount of $261,790. The applicant has been notified of the amended contract amount and has agreed to fund the amount. The project includes the addition of 88 timeshare units, an expanded 11,032 square -foot ballroom, a 10,072 square -foot spa and new pool, and a new two -level parking garage. Implementation will require demolition of 12 existing hotel rooms and the Terrace Ballroom and removal of a nine -hole golf course. The expansion will require the following approvals from the City: • A parcel map to reconfigure two existing lots, allowing the timeshares to remain on one parcel and the hotel on the other, and to establish finished grades for the purposes of measuring height. • A use permit to allow the expansion of the existing hotel and establishment of a timeshare development. A use permit is also required to allow the proposed timeshare buildings and ballroom to exceed the 26 -foot base height limit. • A modification permit to allow commercial tandem parking and to allow the architectural tower and finial element of the proposed ballroom to exceed the 35- foot maximum height limit. • A development agreement between the City and the operator of the timeshare development relating to the amount of tax payable to the City for the right of occupancy of the timeshare units. • Certification of an Environmental Impact Report. The Final EIR is currently under preparation and will consist of the circulated Draft EIR, the response to comments on the Draft EIR, and revisions to the Draft EIR. A January 27, 2009, City Council hearing is tentatively scheduled for review of the project and EIR. Prepared by: 7aime Murillo, Associate Planner RIUsersIPLMSharedlProfessional Services Agreements & ContractslHyatt - Planning CenteMyatt Council Report 4.doc AMENDMENT NO.4 TO PROFESSIONAL SERVICES AGREEMENT WITH THE PLANNING CENTER FOR PREPARATION OF AN EIR FOR THE HYATT REGENCY NEWPORT BEACH EXPANSION THIS AMENDMENT NO. 4 TO PROFESSIONAL SERVICES AGREEMENT, is entered into as of this 13th day of January, 2009, by and between the CITY OF NEWPORT BEACH, a Municipal Corporation ( "CITY "), and THE PLANNING CENTER a California Corporation, whose address is 1580 Metro Drive, Costa Mesa, California, 92626 ( "CONSULTANT'), and is made with reference to the following: RECITALS: A. On April 11, 2006, CITY and CONSULTANT entered into a Professional Services Agreement, hereinafter referred to as "AGREEMENT ", for environmental consulting services for the Hyatt Regency hotel expansion, hereinafter referred to as "PROJECT'. B. CITY and CONSULTANT have entered into three separate AMENDMENTS of the AGREEMENT, the latest dated September 22, 2008. B. CITY desires to enter into this AMENDMENT NO. 4 to reflect additional services not included in the AGREEMENT or prior AMENDMENTS and to extend the term of the AGREEMENT to March 10, 2009. C. CITY desires to compensate CONSULTANT for additional professional services needed for PROJECT. D. CITY and CONSULTANT mutually desire to amend AGREEMENT, hereinafter referred to as "AMENDMENT NO. 4, as provided here below. NOW, THEREFORE, it is mutually agreed by and between the undersigned parties as follows: In addition to the services to be provided pursuant to the AGREEMENT, CONSULTANT shall diligently perform all the services described in AMENDMENT NO. 4 including, but not limited to, all work set forth in the Scope of Services attached hereto as Exhibit A and incorporated herein by reference. The City may elect to delete certain tasks of the Scope of Services at its sole discretion. 2. City shall pay Consultant for the services on a time and expense not -to- exceed basis in accordance with the provisions of this Section and the r Schedule of Billing .Rates attached to the AGREEMENT. Consultant's compensation for all work performed in accordance with this AMENDMENT NO. 4, including all reimbursable items and subconsultant fees, shall not exceed Twenty Five Thousand Two Hundred Dollars and no /100 ($25,200.00) without prior written authorization from City. 3. The term of the AGREEMENT shall be extended to March 10, 2009. 4. Except as expressly modified herein, all other provisions, terms, and covenants set forth in AGREEMENT shall remain unchanged and shall be in full force and effect. IN WITNESS WHEREOF, the parties hereto have executed this AMENDMENT NO. 4 on the date first above written. APPROVED AS TO FORM: Attorney for the City of Newport Beach ATTEST: By: LaVonne Harkless, City Clerk Attachments: Exhibit A — Scope of Services CITY OF NEWPORT BEACH, A Municipal Corporation Mayor for the City of Newport Beach CONSULTANT: By: Dwayne Me Corporate ecutive Officer By: Keith McCann Chief Financial Officer F:1UsersTLMSharedlProfessiona1 Services Agreements & ComracdsUiyatt - Planning Center\Planning Center Contract Amendment No 4 01- 13- 09.doc CO THE PLANNING CENTER Governmental Services Planning & Urban Design Environmental Studies School Facilities Planning December 22, 2008 7580 Metro Drive Costa Mesa, CA 92528 Mr. Jaime Murillo, Associate Planner Phone: 714.955.9220 City of Newport Beach 3300 Newport Boulevard Far: 716.955.9221 Newport Beach, CA 92658 costamesa@planningcemer.com Subject: Request for Contract Amendment No. 4 for Environmental Services for the Hyatt Regency Newport Beach Project (CNB- 09.OE) Dear Mr. Murillo: This letter is to request Contract Amendment No. 4 for The Planning Center's environmental services for the Hyatt Regency Newport Beach Project. Our last contract amendment (August 18, 2008, as updated September 24, 2008) addressed supplemental work for preparation of the Final EIR including incorporating project detail about lighting plans, fuel modification, grading, and additional visual simulations. The last amendment also included fees for additional meetings, project management related to extending the project schedule, and additional intersection and parking analysis by IBI, the traffic consultant. Contract Amendment No. 4 is required for additional effort beyond the approved scope of work to revise the Final EIR to incorporate 1) a proposed new Local Coastal Plan Amendment, 2) a slightly revised site plan (moving a timeshare building to increase the biological resources buffer area), and 3) updated biological resources information. This amendment will also cover additional work required to respond to the City of Irvine DEIR comment letter (received subsequent to our submittal of Contract Amendment No. 3) and additional project management and public hearing time. As summarized in Table 1, Cost Estimate, our existing contract as previously amended for this project is for a total of $236,590, including subconsultants and reimbursables. To complete the processing of this project, we are requesting $23,680 in additional labor fees for The Planning Center and $1,520 in fees for IBI. No additional reimbursable costs are requested. Total contract amount upon approval of this amendment will be $261,790, including suboonsultants and reimbursables. THE PLANNING CENTER SCOPE OF WORK Task 1: Initial Study /Notice of Preparation This task has been completed and there are no changes. Task 2: Public Scoping Meeting Subsequent to contract execution, the City decided that a public scoping meeting would not be necessary for the project. The budget for this task was subtracted in Contract Amendment No. 1. r , Mr. Jaime Murillo, City of Newport Beach December 22, 2008 Page 2 of 5 Task M Screencheck Draft EIR This task has been completed and there are no changes. Task 4, Draft EIR This task has been completed and there are no changes. Task 5: Final EIR /Response to Comments Additional scope of work included in this amendment includes: • Response to City of Irvine comment letter (dated October 22, 2008) • Update to the "Revisions to the DEIR" section to include a description of the proposed LCP Amendment, revisions to the Site Plan, and supplemental biological resource information. • Revisions to responses to comments received on the DEIR to correct the FEIR with respect to the proposed LCP Amendment and site plan changes (or alternative method such as an expanded introduction to the Response to Comments to explain and update the changes) • Submittal of revised responses to commenting agencies • Preparation of memorandum to the City explaining The Planning Center's position on whether the proposed LCP requires recirculation of the DEIR Additional work required for IBI to assist The Planning Center in preparing Response to Comments for OWWWA the Final EIR is included in a separate scope, below. Task 6: Mitigation Monitoring Program This task has been completed and we are not anticipating any changes to project mitigation or the MMP. Task 7; Findings of Fact and Statement of Overriding Considerations The draft Findings of Fact and Statement of Overriding Considerations has been completed. These will be updated to reflect the revisions to the project including the proposed LCP Amendment and site plan revisions. Task 8; Public Hearings /Meetings The Planning Center's project manager (JoAnn Hadfield) and one additional environmental professional have attended the two Planning Commission public hearings held on this project. Our scope of work includes our attendance at up to two additional public hearings (by JoAnn and Nicole Vermillion, noise /AQ specialist). We do not anticipate more than two more public hearings, and therefore have not revised this task or associated cost estimate. Task 9: Notice of Determination This task has not been initiated and we are not recommending any changes. ,Mr. Jaime Murlilo, City of Newport Beach December 22, 2008 Page 3 of 5 Task 10: Project Management and Coordination Resolution of Coastal Commission and wetlands issues has resulted in more delays for processing this project. As of the previous contract amendment, we anticipated approval of the project prior to November 2008. This task, therefore, includes additional project management and coordination fees based on an estimated approval by mid - February (assuming a Public Hearing on January 27, 2009, and one additional City Council hearing, if needed). Additional fees for project management and coordination have been based on an estimated 2 hours /week for an additional 17 weeks, in comparison to the contract as approved to date. IBI The following additional scope of work for IBI is based on its revisions to their original scope of work, as amended through Contract Amendment No. 3. TASK 1: Project Definition No additional work efforts are assumed under Task 1. TASK 2: Existing Conditions No additional work efforts are assumed under Task 2. TASK 3: Future Traffic Conditions - TPO Analysis No additional work efforts are assumed under Task 3. TASK 4: Future Traffic Conditions - CEQA Analysis No additional work efforts are assumed under Task 4. TASK 5: Review of Applicant Parking Study This task completed under previous contract amendment. TASK 6: Response to Environmental Impact Report Comments The budget augment under this request to cover the work required to respond to the City of Irvine DEIR comment letter, which was received after the close of the DEIR public review period and after to the previous contract amendment. TASK 7: Meetings The approved meeting and public hearing attendance task for IBI includes up to two meetings and two public hearings. Bill Delo has attended one public hearing, and therefore this task currently accommodates his attendance at one additional hearing. TASK 8: Future Traffic Conditions - Construction Analysis This task was completed under previous contract amendment. 0 Mr. Jaime Murlllo, City of Newport Beach December 22, 2008 Page 4 of S SUMMARY COST ESTIMATE AND SCHEDULE Attached Table 1 summarizes the previously approved contract and requested Contract Amendment No. 4 by task and consultant. This contract amendment request is for a total of $23,680 for The Planning Center labor and $1,520 for IBI labor. No additional reimbursable costs are requested. Approval of this 4th Contract Amendment would bring the total contract amount to $261,790 for the Hyatt Regency Newport EIR. For purposes of planning and budgeting, it is assumed that the revised site plans due from the project applicant will be available to The Planning Center by January 9, 2008, and that the revised Final EIR, and revised Facts and Findings and Statement of Overriding Considerations will be submitted to the City by January 16, 2008, to ensure City staff time to review the revised document and to finalize the staff report prior to the City Council public hearing. We look forward to working with the City and the Hyatt consultant team to successfully complete this project. Please contact me with any questions you may have regarding this contract amendment request. Sincerely, THE PLANNING CENTER JoAnn Hadfield Director, Environmental Services Attachment �1 Mr. Jaime Murlilo, City of Newport Beach December22,2008 Page 5 of 5 Task Total Approved Contract through Amend. No. 3 (as signed October 31,2008) Requested Contract Amendment # 4 Total Task 1. Initial Stud /NOP $4,250 $0 4,250 Task 2. Public Sco ing Meeting 0 0 0 Task 3. Screencheck Draft EIR 79,840 0 7,9840 Task 4. Draft EIR 6,450 0 6,450 Task 5. Final EIR/Response to Comments 42,975 14,935 57,910 Task 6. Mitigation Monitoring Program 750 0 750 Task 7. Statement of Findings/Statement of Ovemding Considerations 1,400 1,350 2,750 Task 8. Hearings/Meetings 11,085 11,085 Task 9. Notice of Determination 200 0 200 Task 10. Project Management and Coordination 27,905 7,395 35,300 Subtotal - Labor $174,855 $23,680 198,535 IBI Group (Traffic) $35,710 $1,520 37,230 Co stone Resource Management Cultural 3,609 0 3,609 Subtotal - Subconsultards $39,319 $1,520 40,839 TOTAL LABOR $214,174 $25,200 239,374 Reimbursable Expense Estimate $22,416 $0 22,416