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Home My WebLink About2026-07-07; City Council; Resolution 2026-146Exhibit 1 RESOLUTION NO. 2026-146 . A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, APPROVING A REIMBURSEMENT AGREEMENT WITH 2502 & 2518 JEFFERSON, LLC FOR THE JEFFERSON STREET SEWER REPLACEMENT PROJECT TO BE CONSTRUCTED BY CARLSBAD TRACT NO. 2024-0004 WHEREAS, the City of Carlsbad, California has determined that it is necessary, desirable and in the public interest to increase the capacity of the existing Jefferson Street sewer main to serve new development; and WHEREAS, on May 21, 2025, the Planning Commission adopted Resolution No. 7543 approving Carlsbad Tract No. 2024-0004, contingent upon the construction of adequate sewer facilities, and giving RREG Investment Series LLC Series 1042, now operating as 2502 & 2528 Jefferson, LLC, the option to wait for the city to construct the improvements, or to upsize the existing eight-inch diameter sewer main in Jefferson Street, from Buena Vista Way southward to Laguna Drive or approximately 1,192 feet, itself and become eligible for reimbursement for the off-site sewer improvements; and WHEREAS, the sewer main upsizing must occur prior to or concurrently with the development of Carlsbad Tract 2004-0004 and sewer connections for Carlsbad Tract 2004-0004 will not be available until the sewer main upsizing is completed in accordance with city standards and to the satisfaction of the City Engineer; and WHEREAS, the developer shall pay sewer capacity fees in accordance with the Carlsbad Municipal Code Section 13.10, such fees being necessary to prevent adverse impact of Carlsbad Tract 2004-0004 on public health and safety; and WHEREAS, the conditions of approval for Carlsbad Tract 2024-0004 and Government Code Section 66486 require a reimbursement agreement between the developer and the city to reimburse the developer for more than the construction required to serve Carlsbad Tract 2024-0004; and WHEREAS, Carlsbad Municipal Code Sections 13.08.040 and 13.08.050 provide for off-site sewer extension and oversizing, respectively, and reimbursement of costs to the developer; and WHEREAS, the developer agrees to construct the sewer extension and capacity increase planned for Capital Improvement Program Project No. 5558, Jefferson Street Sewer Replacement, and costs in excess of the construction required for Carlsbad Tract 2004-0004 may be eligible for reimbursement, subject to review by the City Engineer and an audit by the city to determine eligibility July 7, 2026 Item #9 Page 5 of 28 Docusign Envelope ID: 129D5DBE-9FB1-8603-836E-445DBCEE2913 for reimbursement in accordance with the reimbursement agreement and upon completion and acceptance of the work by the city; and WHEREAS, the total estimated cost of Project No. 5558 is $2,078,825, of which $2,028,825 would be eligible for reimbursement; and WHEREAS, the sewer main upsizing along the property frontage of 2502 and 2518 Jefferson Street is the developer’s responsibility and is not eligible for reimbursement; and WHEREAS, sufficient funds are available in Project No. 5558, which is funded by the sewer replacement and sewer connection funds to reimburse the developer per the reimbursement agreement. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California, as follows: 1.That the above recitations are true and correct. 2.That the proposed action is not a “project” as defined by California Environmental Quality Act, or CEQA, Section 21065 and CEQA Guidelines Section 15378(a) and does not require environmental review under CEQA Guidelines Section 15060(c)(2) because the action is limited to the execution of a reimbursement agreement. The action has no potential to cause either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment. 3.That the Capital Improvement Program Project No. 5558, Jefferson Street Sewer Replacement, is statutorily exempt from the CEQA pursuant to California Public Resources Code Section 21080.21. 4.That, pursuant to the requirements of the Carlsbad Tribal, Cultural, and Paleontological Resources Guidelines dated September 2017, the developer shall comply with the cultural resources monitoring and mitigation requirements and prepare a project-level Phase I Cultural Resources Survey in accordance with the guidelines and record all resources encountered using Department of Parks & Recreation 523 forms in accordance with all applicable regulations. Resources shall be evaluated for significance and eligibility for inclusion in applicable historic registers using methods such as, but not limited to, subsurface testing and/or archival research by a qualified cultural resource professional. In the event that such resources are found to be historical resources, potential adverse July 7, 2026 Item #9 Page 6 of 28 Docusign Envelope ID: 129D5DBE-9FB1-8603-836E-445DBCEE2913 impacts must be analyzed as stated in California Public Resources Code, Sections 21084.1 and 21083.2(l). Suitable mitigation for significant effects on archaeological resources are outlined in Section 15126.4(b)(3) and the 2017 guidelines. The developer, in consultation with the City Planner, shall be responsible for implementing the methods for eliminating or substantially reducing impacts on resources as recommended by the archaeologist and in consultation with the Native American Tribe. Such methods could include, but are not limited to, excavation (data recovery) of archaeological resources; and/or construction monitoring by a qualified professional and appropriate Native American monitors as identified through consultation with the Native American Heritage Commission or Native American Tribe. In the event that such resources are found to be historical resources, the developer shall enter into a pre-excavation agreement or cultural resource treatment and monitoring agreement with the appropriate Native American Tribe prior to the commencement of earthwork activities and consistent with the 2017 guidelines. The qualified archaeologist and a Native American representative shall attend the pre- construction meeting and shall be on site during earthwork activities to perform periodic inspections of the investigations. If previously unidentified cultural resources are discovered, either the archaeologist or the Native American representative shall have the authority to divert or temporarily halt earthwork operations in the discovery area. The archaeologist, in consultation with the City Planner, shall determine the significance of the discovered resources. The City Planner must concur with the evaluation before construction activities will be allowed to resume in the affected area. The results of the cultural resources investigation shall be compiled into a technical report or memorandum documenting the field conditions and any data recovery and analysis results and submitted to the City and the South Coastal Information Center. 5.That the reimbursement agreement with 2502 & 2518 Jefferson, LLC, for construction of Capital Improvement Program Project No. 5558, Attachment A, is approved and the Mayor is hereby authorized and directed to execute said reimbursement agreement in an amount not to exceed $2,028,825. July 7, 2026 Item #9 Page 7 of 28 Docusign Envelope ID: 129D5DBE-9FB1-8603-836E-445DBCEE2913 6.That the City Manager or designee is authorized to sign all other documents necessary for regulatory compliance or to otherwise implement the reimbursement agreement, subject to review and approval as to form by the City Attorney’s office. PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of the City of Carlsbad on the 7th day of July, 2026, by the following vote, to wit: AYES: Blackburn, Bhat-Patel, Acosta, Burkholder, Shin. NAYS: None. ABSTAIN: None. ABSENT: None. ______________________________________ KEITH BLACKBURN, Mayor ______________________________________ SHERRY FREISINGER, City Clerk (SEAL) July 7, 2026 Item #9 Page 8 of 28 Docusign Envelope ID: 129D5DBE-9FB1-8603-836E-445DBCEE2913 Attachment A July 7, 2026 Item #9 Page 9 of 28 Docusign Envelope ID: 129D5DBE-9FB1-8603-836E-445DBCEE2913 8th 26July July 7, 2026 Item #9 Page 10 of 28 Docusign Envelope ID: 129D5DBE-9FB1-8603-836E-445DBCEE2913 July 7, 2026 Item #9 Page 11 of 28 Docusign Envelope ID: 129D5DBE-9FB1-8603-836E-445DBCEE2913 July 7, 2026 Item #9 Page 12 of 28 Docusign Envelope ID: 129D5DBE-9FB1-8603-836E-445DBCEE2913 July 7, 2026 Item #9 Page 13 of 28 Docusign Envelope ID: 129D5DBE-9FB1-8603-836E-445DBCEE2913 July 7, 2026 Item #9 Page 14 of 28 Docusign Envelope ID: 129D5DBE-9FB1-8603-836E-445DBCEE2913 July 7, 2026 Item #9 Page 15 of 28 Docusign Envelope ID: 129D5DBE-9FB1-8603-836E-445DBCEE2913 July 7, 2026 Item #9 Page 16 of 28 Docusign Envelope ID: 129D5DBE-9FB1-8603-836E-445DBCEE2913 July 7, 2026 Item #9 Page 17 of 28 Docusign Envelope ID: 129D5DBE-9FB1-8603-836E-445DBCEE2913 July 7, 2026 Item #9 Page 18 of 28 Docusign Envelope ID: 129D5DBE-9FB1-8603-836E-445DBCEE2913 July 7, 2026 Item #9 Page 19 of 28 Docusign Envelope ID: 129D5DBE-9FB1-8603-836E-445DBCEE2913 July 7, 2026 Item #9 Page 20 of 28 Docusign Envelope ID: 129D5DBE-9FB1-8603-836E-445DBCEE2913 July 7, 2026 Item #9 Page 21 of 28 Docusign Envelope ID: 129D5DBE-9FB1-8603-836E-445DBCEE2913 July 7, 2026 Item #9 Page 22 of 28 Docusign Envelope ID: 129D5DBE-9FB1-8603-836E-445DBCEE2913 July 7, 2026 Item #9 Page 23 of 28 Docusign Envelope ID: 129D5DBE-9FB1-8603-836E-445DBCEE2913 July 7, 2026 Item #9 Page 24 of 28 Docusign Envelope ID: 129D5DBE-9FB1-8603-836E-445DBCEE2913 July 7, 2026 Item #9 Page 25 of 28 Docusign Envelope ID: 129D5DBE-9FB1-8603-836E-445DBCEE2913 July 7, 2026 Item #9 Page 26 of 28 Docusign Envelope ID: 129D5DBE-9FB1-8603-836E-445DBCEE2913 July 7, 2026 Item #9 Page 27 of 28 Docusign Envelope ID: 129D5DBE-9FB1-8603-836E-445DBCEE2913