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HomeMy WebLinkAbout2022-06-07; City Council; ; Public hearing on TransNet Local Street Improvement Program of Projects for fiscal years 2022-23 through 2026-27CA Review _RMC_ Meeting Date: June 7, 2022 To: Mayor and City Council From: Scott Chadwick, City Manager Staff Contact: Hossein Ajideh, Engineering Manager hossein.ajideh@carlsbadca.gov, 442-339-2756 Subject: Districts: Public hearing on TransNet Local Street Improvement Program of Projects for fiscal years 2022-23 through 2026-27 All Recommended Action Hold a public hearing and adopt a resolution approving the Carlsbad TransNet Local Street Improvement Program of Projects for fiscal years 2022-23 through 2026-27 for inclusion in the 2023 San Diego Association of Governments Regional Transportation Improvement Program. Executive Summary To use county TransNet1 funds for local transportation projects, cities and other SANDAG member agencies must approve their programs of projects every two years. These programs are then incorporated into the regional list of TransNet projects which include proposed highway, arterial roadway, transit and bikeway projects for the entire county. In addition to projects using TransNet funds, each agency’s program of projects must also include transportation projects that are regionally significant and increase transportation capacity, regardless of their funding sources. To obtain the TransNet funding for Carlsbad projects, the City Council is required to hold a public hearing to consider and approve the Carlsbad Program of Projects. The signed resolution in Exhibit 1 approving the Carlsbad program is due to SANDAG by July 1, 2022. The city’s program will then be incorporated into SANDAG’s 2023 regional program and submitted to the state for approval. Staff recommend approval of the Carlsbad TransNet Local Street Improvement Program of Projects for fiscal years 2022-23 through 2026-27 for inclusion in the 2023 update of the TransNet Program of Projects for the entire county. Discussion Background SANDAG, acting as the Regional Transportation Commission, is required by state and federal laws to develop and adopt an updated regional program every two years. This is a multiyear list 1 TransNet is a countywide transportation sales tax first approved by county voters in 1987. June 7, 2022 Item #8 Page 1 of 13 of projects submitted by cities and other jurisdictions in the county identifying transportation projects that are eligible to use the sales tax funds generated through TransNet. In addition to the federal and state requirements, the San Diego Transportation Improvement Program Ordinance and Expenditure Plan2 requires that SANDAG prepare a five-year TransNet Program of Projects, also every two years. Each member agency of SANDAG that wants to spend TransNet and/or certain federal or state funds must approve its own program of projects every two years. In addition to the projects using those funding sources, the program must include projects that will increase transportation capacity, regardless of their funding sources. The federal Metropolitan Planning and Air Quality Conformity Regulations also require inclusion of all capacity-increasing road projects for air quality emissions modeling and analysis. The City Council approved the city’s 2020 TransNet Local Street Improvement Program of Projects on June 2, 2020, which covered fiscal years through 2024-25. The City Council also approved an amendment to the city’s 2020 program of projects on May 11, 2021. This year’s update As part of the 2022-23 Capital Improvement Program development process, staff have identified several transportation projects that need either additional TransNet funding or a change of schedule of TransNet funding allocations. These changes require holding a public hearing and a resolution of the City Council before they can be submitted to SANDAG for inclusion in the 2023 regional program. The SANDAG Board of Directors, acting as the San Diego County Regional Transportation Commission, approves the TransNet Program of Projects as an element of the 2023 regional program update. The 2023 TransNet Program of Projects is scheduled for consideration by the SANDAG board on Sept. 23, 2022. Carlsbad’s proposed Program of Projects The proposed Carlsbad Program for2022-23 through 2026-27, which is shown in Exhibit 1, Attachment A, includes projects with the following funding sources: • Federal funds – administered by the California Department of Transportation • TransNet Local Street Improvement Funds – administered by SANDAG • Local funds from the city’s funds, including traffic impact fees and gas tax • Local funds from developers Federal funds included in the program are from the Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users High Priority Project Funds that were repurposed for the El Camino Real widening project from Cassia Road to Camino Vida Roble. TransNet local funds are programmed for a variety of projects, including Americans with Disabilities Act improvements, various roadway improvements, pavement management program, traffic signal improvements and roadway lighting projects. 2 The TransNet Extension Ordinance, approved by San Diego County voters in 2004, extended the initial San Diego Transportation Improvement Program Ordinance (Proposition A, 1987) for a 40-year period commencing on April 1, 2008. June 7, 2022 Item #8 Page 2 of 13 The city’s program of projects also includes various capacity-increasing roadway projects along regionally significant arterial roadways, regardless of the funding source. Some of these projects are funded by city funds such as traffic impact fees or funding from adjacent private development. The program may be amended as needed on a quarterly basis during the two-year period. These amendments must go through SANDAG’s amendment procedures for approval. Funding requirements The TransNet Extension Ordinance places certain requirements on local jurisdictions regarding the use of TransNet funds: • No more than 30% of cumulative TransNet revenues shall be spent on local street and road maintenance projects. • All new projects or major reconstruction projects funded by TransNet revenues shall accommodate travel by pedestrians and bicyclists. Any deviation from this requirement shall be clearly noticed as part of that local jurisdiction’s public hearing process. • The required minimum annual level of local discretionary funds to be spent on streets and roads will be met throughout the five-year period consistent with the most recent Maintenance of Effort Requirements adopted by SANDAG. • Local jurisdictions must collect an amount equivalent to $2,688.21, plus all applicable annual increases, from the private sector for each newly constructed residential housing unit in that jurisdiction, unless exempted under the TransNet Extension Ordinance, and shall contribute these funds to the Regional Transportation Congestion Improvement Program. • Local jurisdictions must establish a separate Transportation Improvement Account for TransNet revenues with the interest earned spent only for those purposes for which the funds were allocated. • Each project of $250,000 or more will be clearly designated during construction with TransNet project funding identification signs. Options Staff provide the following options for the City Council’s consideration: 1. Adopt a resolution approving the Carlsbad TransNet Local Street Improvement Program of Projects for fiscal years 2022-23 through 2026-27 Pros • The identified transportation projects will receive the necessary TransNet funding to continue into the design phase or construction phase Cons • None identified 2. Do not adopt a resolution approving the Carlsbad TransNet Local Street Improvement Program of Projects for 2022-23 through 2026-27 Pros • None identified June 7, 2022 Item #8 Page 3 of 13 Cons • Those projects in need of TransNet funding to continue into design or construction phases will not receive the necessary funding • Staff would need to address the decrease in funding from the referenced projects • Potential delay in completing transportation projects in need of additional funding Staff recommend Option 1 for the City Council’s approval. Fiscal Analysis Inclusion in SANDAG’s regional program is not a guarantee that projects will receive the stated funding. The amounts shown in Attachment A to the Resolution, Exhibit 1, are the best available estimates of project costs and anticipated funding. The city is not obligated to proceed with the projects included in the city’s Program of Projects if funding falls short or is not available. Next Steps Upon approval by the City Council, staff will submit the city’s program of projects and signed resolution to SANDAG for inclusion in the 2023 regional program by the due date of July 1, 2022. The 2023 regional program is expected to be adopted by the SANDAG board on Sept. 23, 2022, and is anticipated to receive federal approval on Dec. 16, 2022. Environmental Evaluation The City Planner has determined that this project is exempt from the California Environmental Quality Act under Guidelines Section 15276(a), which states that the act does not apply to the development or adoption of a regional transportation improvement program. However, individual projects developed in accordance with such programs shall remain subject to the act. Public Notification Public notification of this item was published in accordance with the Ralph M. Brown Act, and because this item is a public hearing, notice was published 10 days before the scheduled meeting date. Exhibit 1. City Council resolution June 7, 2022 Item #8 Page 4 of 13 RESOLUTION NO. 2022-128 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, APPROVING THE CARLSBAD TRANSNET LOCAL STREET IMPROVEMENT PROGRAM OF PROJECTS FOR FISCAL YEARS 2022-23 THROUGH 2026-27 FOR INCLUSION IN THE 2023 SAN DIEGO ASSOCIATION OF GOVERNMENTS REGIONAL TRANSPORTATION IMPROVEMENT PROGRAM Exhibit 1 WHEREAS, on Nov. 4, 2004, the voters of San Diego County approved the San Diego Transportation Improvement Program Ordinance and Expenditure Plan, or TransNet Extension Ordinance, which has been amended from time to time in accordance with the applicable amendment requirements; and WHEREAS, the TransNet Extension Ordinance provides that the San Diego Association of Governments, or SAN DAG, acting as the Regional Transportation Commission, shall approve every two years a multi-year program of projects submitted by local jurisdictions identifying those transportation projects eligible to use transportation sales tax (i.e., TransNet) funds; and WHEREAS, the City of Carlsbad was provided with an estimate of annual TransNet local street improvement revenues for fiscal years, or FYs, 2022-23 through 2026-27; and WHEREAS, the City of Carlsbad has held a noticed Public Hearing with an agenda item that clearly identified the proposed list of projects prior to approval of the projects by its authorized legislative body, which is the City Council, in accordance with Section S(A) of the TransNet Extension Ordinance and Rule 7 of SAN DAG Board Policy No. 31. 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 pursuant to Section 2(()(1) of the TransNet Extension Ordinance, the City of Carlsbad certifies that no more than 30% of its cumulative revenues shall be spent on local street and road maintenance-related projects, or that its expenditures are consistent with the most recent TransNet Extension Ordinance requirements adopted by SANDAG. 3.That pursuant to Section 4(E)(3) of the TransNet Extension Ordinance, the City of Carlsbad certifies that all new projects, or major reconstruction projects, funded by June 7, 2022 Item #8 Page 5 of 13 TransNet revenues shall accommodate travel by pedestrians and bicyclists, and that any exception to this requirement permitted under the Ordinance and proposed shall be clearly noticed as part of the City of Carlsbad's public hearing process. 4.That pursuant to Section 8 of the TransNet Extension Ordinance, the City of Carlsbad certifies that the required minimum annual level of local discretionary funds to be expended for street and road purposes will be met throughout the five-year period consistent with the most recent Maintenance of Effort Requirements adopted by SANDAG. 5.That pursuant to Section 9A of the TransNet Extension Ordinance, the City of Carlsbad certifies that it will exact an amount equivalent to $2,688.21, plus all applicable annual increases, from the private sector for each newly constructed residential housing unit in that jurisdiction, unless exempted under the TransNet Extension Ordinance, and shall contribute such exactions to the Regional Transportation Congestion Improvement Program, or RTCIP. 6.That pursuant to Section 13 of the TransNet Extension Ordinance, the City of Carlsbad certifies that it has established a separate Transportation Improvement Account for TransNet revenues with interest earned expended only for those purposes for which the funds were allocated. 7.That pursuant to Section 18 of the TransNet Extension Ordinance, the City of Carlsbad certifies that each project of $250,000 or more will be clearly designated during construction with TransNet project funding identification signs. 8.That the City of Carlsbad does hereby certify that all other applicable provisions of the TransNet Extension Ordinance and SANDAG Board Policy No. 31 have been met. 9.That, pursuant to SANDAG Board Policy No. 31, Rule 15, the City of Carlsbad agrees to indemnify, hold harmless, and defend SANDAG, the San Diego County Regional Transportation Commission, and all officers and employees thereof against all causes of action or claims related to the City of Carlsbad's TransNet funded projects. 10. That the Carlsbad TransNet Local Street Improvement Program of Projects for fiscal years 2022-23 to 2026-27 attached to this Resolution as Attachment A is hereby June 7, 2022 Item #8 Page 6 of 13 ' 1 f • approved for inclusion in the 2023 SANDAG Regional Transportation Improvement Program. PASSED, APPROVED, AND ADOPTED at a Regular Meeting of the City Council of the City of Carlsbad on the 7th day of June, 2022, by the following vote, to wit: AYES: NAYS: ABSENT: Hall, Blackburn, Bhat-Patel, Acosta, Norby. None. Hall (on CB52, CB62), Blackburn (on CB13)* *Hall and Blackburn absent on projects listed above due to a conflict of interest MATT1:&!l!IL FAVIOLA MEDINA, City Clerk Services Ma (SEAL) June 7, 2022 Item #8 Page 7 of 13 lli Attachment A 1June 7, 2022 Item #8 Page 8 of 13----2023 TransNet Program of Projects FY 2022-23 to FY 2026-27 ---------- ----------in '000s ------City of CARLSBAD CIP# -I I --RTIP ID Project Trtle Project Description PRIOR EXPEND. FY23 FY24 FY2S FY26 FY27 TOTAl (8048 IEI Camino Real and Cannon Intersection of El Camino Real and Cannon Rd, along the ~,~I Road northbound side of El Camino Real just south of Cannon Rd, re-I stripe to provide three through lanes, add a separate ped/bike I bridge structure on the northbound side of El Camino Real over Agua Hedionda Creek TransNet 151 6042 -$1,701 TronsNet -151: CR I 1.ocal Funds $2,6721 l I TOTAL s2,612J $1,701 so so $01 $0 $4,373 --l --f Project Desaiption , ----RTIPID I Project Trtle PRIOR EXPEND.I FY23 FY24 FY2S FY26 FY27 TOTAL CBU I College Boulevard Reach A College Boulevard from Badger lane to Cannon Rd, construct a new segment of College Blvd to provide roadway with raised l median, bike lanes and sidewalks/trails I TransNet 151 so 3636 I TN LSI CarryOver $2171 $983 $1,205 ---TransNet -151: CR Local Funds $430! $1,283 $1,500 $1,500 $24,087 $28,800 --T -t TOTAL $6471 S~271 I-so $1,500 -$1,500 $24,087 $30,005 -----RTIPID I Project Title -1Pro_LectD~cription____ __ _ _ _.___ PRIOR EXPEND., FY23 I FY24 FY25 FY26 FY27 TOTAL --I ~ CB13 !Poinsettia Lane Reach E Poinsettia Lane from Cassia Drive to Skimmer Court (.3 miles) in Carlsbad, construct new 4-lane roadway with median, bike ___ 11anes, and sidewalks/trails TransNet 151 $0 3922 ~ ---------TransNet -151: CR ---+= Local Funds $14,081, $14,081 Complete I TOTAL $14,081 so I $0 FY25 sol 2° so $14,081 -I ' I Project Title -----RTIPIO Project Desaiption PRIOR EXPEND., FY23 FY24 FY26 FY27 TOTAL -----!Pavement Management -CB20 On various streets throughout the City, pavement overlay 1 I Overlay inch or greater and mi.sce.lt.aneous roadway section repair-5 $18,9421 I ' TransNet 151 ,,.,,._ ~ ,.,~ "·"" Sl,650 $25,042 6001 --I --TN 151 Carryover $0 -TronsNet -LSI: CR --r Local Funds $17,3991 S2,SOO I St,350 $1,350 S1,3501 $1,350 $25,299 ---' I TOTAL $36,3411 s2,soo: $2,500 $3,0001 $3,000 S3,000 $50,341 I I RTIPID I Project Title Project Description PRIOR EXPEND., FY23 FY24 FY2S I FY26 FY27 TOTAL CB21 !Pavement Management -Slurry Along various roadways, construct/apply street sealing and I I --,Seal/Fog Seal construct minor roadway pavement section repairs TransNet 151 I so 6001 Tra~ -LSI: Mafnt Local Funds sz,ooo I $2,000 $2,0001 $2,000' sz.0001 $10,00~ ' SZ.0001 "110,000 -TOTAL $01 S2,000 $2,000: $2,000 $2,0001 2June 7, 2022 Item #8 Page 9 of 131_R_TI_P-'ID;___,_P'--roject Title ____ _ CB22 .Avenida Encinas Coastal Rail Trail and Pedestrian Improvements TransNet -LSI: CR ------RTlPID C831 ProjectTrtle El Camino Real Widening -La Costa Ave to Arenal Road TronsNet -LSI: CR 2023 TransNet Program of Projects FY 2022-23 to FY 202S:-27 -----i-n '000s City of CARLSBAD-Project Description jPortion of Coastal Rail Trail and connect to the existing trail 'along Avenida Encinas. Improvements include expansion of lblcycle facilities to buffered bike lanes, new sidewalks and pedestrian ramps, enhanced Intersection treatments, traffic calming with road diet at select locations, and wldening to accommodate multi-modal transportation fea1ures TranstletLW PRIOR EXPEND~23 ~-------------------Stare Gran~----"$-'2+--_il. 774 __ ___::cLoca=I Funds $222 $4,956 TOTAL $22~ $6,730 Project Description PRIOR EXPEND. FYZ3 Transf-lel LSI FY24 $0 FY24 Along El Camino Real from 700 feet north of La Costa Ave to Arena I Rd, widening along the southbound side of the roadway 10 provide three travel lanes, sidewalk, and a bike jlane Lo<al Funds, $711-, --$2--:-539 $6,010 OP# =--1-----:=____,_ -.--1 FY25 FYZ6 FY27 TOTAl $0~ $1,776 $5,178 $0 $0 I __ .;cSO.:..-_..:.c$6,9S4 r FY25 t,Y2_6_--, ___ FYZ_7 ___ T_O_T_A_L __ _ I $9,2: I -J ~-6051 I $0 $0 sol $9,260 RTIPID CB32 TOTAL,______ ~ $2,539 L_ $6,010 ProjectTJtle ---~rojectDesaiption --=i--==-I PRIOR EXPEND. FY23 -FY-2-4------+----FY25 FY26 FY27 TOTAL EI Camino Real Widening -Resttfpe from Poinsettia Lane to Cinnabar Way and widen El Poinsettia Lane to Camino Vida Camino Real from Cinnabar Way to Camino Vida Roble, along Roble the northbound/east side of the roadway to provide three travel lanes, sidewalk, and a bike lane TransNet -LSI: CR RTIP ID CB34 ProjectTrtle , Palomar Alrport Road and Paseo Oel Norte Right Tum Lane Project Description Palomar Airport Rd from 1-5 to Paseo Del Norte, widening along eastbound Palomar Airport Rd to provide a dedicated TransNet LSI TN LSI CarryOver $442 $2,713 FED Earmark $302 $1,138 TOTAL $744 $3,851 I PRIOR EXPEND. FY23 $3.~f-6072 ~ ,-$1,44() -$0 $07--$0 $0 $4,595 FY24 FY25 FY26 FV27 TOTAL $8~ 6044 TronsNet -LSI: CR dght turn lane to southbound Paseo Del Norte TN l51 CarryOVer __ $830L_ l Local Funds ____ .:.$-=-28:::5'---------------~----------=;_;:_--= $285 Complete __iol_ $0 ~ $1,115 RTIP ID CB35 Project Title _ Palomar Airport Road and Paseo Del Norte Left Turn Lane TransNet -LSI: CR -+--TOTAL, $1,1~ Project Description __j talomar A1rport Rd from l·S to Paseo Del Norte lengthen the left tum pocket along eastbound Palomar Airport Road to northbound Paseo Del Norte TN ~ Carry(Jver Local funds TOTAL PRIOR EXPEND. $235 $124 $359 $0 FY23 FY24 $0 $0 -; I FY25 FY26 FV27 TOTAL 1 -+ $2351 6043 $124 Complete $0 $0 $0 $0 $359 3June 7, 2022 Item #8 Page 10 of 132023 TransNet Program of Projects FY 2022-23 to FY 2026-27 in 'OOOs ---City of CARLSBAD OP# RTIP ID Project Title _Project Description PRIOR EXPEND. FY23 FY24 FY25 FY26 FY27 TOTAl C836 cartsbad Boulevard Study realignment of C3rlsbad Blvd induding the relocation of Realignment the southbound lanes of cartsbad Blvd to the east and the !construction of complete street and multi use trail improvements along the coastal corridor TransNet LSI $0 6031 TronsNet -LSI: CR TN LSI carryOver $3,000 $250 $1,000 $4,250 l TOTAL $3,000 $250 $1,000 ~t $0 so $4,250 RTIPID Projectrrtle Project Description PRIOR EXPEND. FY23 FY24 FY25 FY26 FY27 TOTAL CB37 El camino Real and College Blvd Improve El Camino Real along the southbound approach to Intersection Improvements the intersection with College Blvd. to provide three thru lanes and a signal controlled right turn lane TransNet LSI so 6071 TronsNet • LSI: CR local Funds $1,02.1 $1,021 Complete -+-TOTAL $1,021 so $0 _so __ so_ so Sl,02.1 _,___ RTIP ID Projectrrtle Project Description PRIOR EXPEND. FY23 FY24 FY25 FY26 FY27 TOTAL OP# --f eonstruct ADA Improvements per the Oty of carlsbad C843 ADA Improvements Transition Plan for Publk Rights-of-way TN LSI carryover $1,788 $1,367 _$175 $715 $175 ~15 $4,935 6049 Tron.Nee -LSI: CR Local Funds $0 TOTAL $1,788 $1,367 $175 _1715 smL $715 -$4"'9~ RTIP ID Projectrrtle Project Description PRIOR EXPEND. FY23 FY24 FY25 FY26 FY27 TOTAL C844 Traffic Signal • RAMS City of Carlsbad annual operations and maintenance cost share for the Regional Arterial Management System, (RAMS) TransNet LSI $105 $105 Complete TronsNet -LSI: CR Local Funds $0 -.---TOT~j $105 _$0 sot $0 $0 so $105 ----T .. -RTIP ID Projectrrtle P~ject Description PRIOR EXPEND. FY23 FY24 FY25 FY26 FY27 TOTAL CB4S cartsbad Boulevard and Reconfigure the intersection and the approaches to the Tamarack Ave Pedestrian intersection and provide enhanced facilities for pedestrians, Improvement Project (part of transit users and bicyclists; (Bike, Ped, and Neighborhood lump sum V17) Safety Program) SANDAG approved TransNet/ATP swap on Oct 23, 2015 TransNet BPNS 5116 $938 t-$1,054 6058 TOA-Blcydes S84 $84 Tron.sNet • LSI: CR Local funds $547 $1,029 $700 $2,2761 TOTAL $747 $1,967 so $700 $0 $0 $3,414 RTlPID Projectrrtle I Project Description PRIOR EXPEND. FY23 FY24 FY25 FY26 FY27 TOTAL C846 Terramar Area Complete Street Construct complete street improvements l11cluding the Improvements reconfiguration of the curbline and the, addition of medians, pedestrian crossings and parkwav improvements TN LSI carryOver $1,000 $1,000 $2,000 6054 TronsNet -LSI: CR Local Funds $1,439 $8,661 $2,800 SU,900 TOTAL $1-,439 $9,6611 $3,800 $01 $0 $0 $14,900 4June 7, 2022 Item #8 Page 11 of 132023 TransNet Program of Projects FY 2022-23 to FY 2026-27 in '000s City of CARLSBAD CIP# RTIP ID Project Title Project Description PRIOR EXPEND. FY23 FY24 FY25 FY26 FY27 TOTAL CB47 Carlsbad Village Drive and Provide mid-block pedestrian crossing improvements and Grand Avenue Improvements sidewalk/parkway improvements at the approaches to the railroad track crossings TransNet LSI $1,320 $1,320 n/a TransNet -LSI: CR Local Funds $0 TOTAL $0 $0 $0 $0 $0 $1,320 $1,320 RTIP ID Project Title Project Description PRIOR EXPEND. FY23 FY24 FY25 FY26 FY27 TOTAL CB48 Chestnut Avenue Complete Complete street improvements including sidewalk Street Improvements Valley improvements and traffic calming features such as bulb outs Street to 1-5 and medians TransNet LSI $1,080 $1,080 TN LSI Carryover $0 n/a -TransNet -LSI: CR Local Funds $0 TOTAL $0 $0 $0 $1,080 $0 $0 $1,080 RTIP ID Project Title Project Description PRIOR EXPEND. FY23 FY24 FY25 FY26 FY27 TOTAL CB49 Kelly Drive and Park Drive Complete street improvements including new curblines, Complete Street Improvements sidewalk and multi use trail improvements and traffic calming features such as bulb outs and medians TN LSI Carryover $703 $3,972 $4,675 6075 TransNet -LSI: CR Local Funds $1 $1,214 $1,215 TOTAL $704 $5,186 $0 $0 $0 $0 $5,890 RTIP ID Project Title Project Description PRIOR EXPEND. FY23 FY24 FY25 FY26 FY27 TOTAL CB50 Valley Street Road Diet and On Valley St, north of Chestnut, reconfigure to a complete Traffic Calming street with high visibility crosswalks, mid-block bulbouts, bike lanes, and parking in select areas TN LSI Carryover $1,645 $1,645 n/a TransNet -LSI: CR Other Subtotal $0 TOTAL $0 $0 $0 $0 $1,645 $0 $1,645 RTIPID Project Title Project Description PRIOR EXPEND. FY23 FY24 FY25 FY26 FY27 TOTAL CB51 Coordinated Traffic Signal Construct fiber optic communications upgrades and install Program traffic measuring systems and adaptive signal control systems to implement adpative traffic signal control along these roadways TransNet LSI $855 $855 6326 TN LSI Carryover $1,787 $1,787 TransNet -LSI: CR Local Funds $811 $862 $1,673 TOTAL $3,453 $862 $0 $0 $0 $0 $4,315 RTIP ID Project Title Project Description PRIOR EXPEND. FY23 FY24 FY25 FY26 FY27 TOTAL CB52 Carlsbad Village and Barrio At eight intersection locations in the Village and Barrio, Traffic Circles construct traffic circles at key intersections to calm traffic TN LSI Carryover $612 $413 $1,025 4015 TransNet -LSI: CR Local Funds $148 $4,586 $4,734 TOTAL $7601 $4,999 I $0 $0 $0 $0 $5,759 5June 7, 2022 Item #8 Page 12 of 132023 TransNet Program of Projects FY 2022-23 to FY 2026-27 in '000s City of CARLSBAD CIP# RTIP ID Project Title Project Description PRIOR EXPEND. FY23 FY24 FY25 FY26 FY27 TOTAL CB53 Carlsbad Blvd. Pedestrian Install pedestrian roadway lighting Roadway Lighting TN LSI Carryover $65 $1,260 $1,325 6068 TransNet -LSI: CR Local Funds $0 TOTAL $65 $1,260 $0 $0 $0 $0 $1,325 RTIP ID Project Title Project Description PRIOR EXPEND. FY23 FY24 FY25 FY26 FY27 TOTAL CB54 State Street Improvements at Widen the roadway to accommodate additional on street Northwest Corner with Grand parking, close driveway access and reconstruction of the Avenue parkway to conform with the new curbline TransNet LSI $325 $325 TN LSI Carryover $0 6082 TransNet -LSI: CR Local Funds $0 TOTAL $0 $0 $0 $0 $325 $0 $325 RTIP ID Project Title Project Description PRIOR EXPEND. FY23 FY24 FY25 FY26 FY27 TOTAL CB55 Christiansen Avenue Construct new curbline, sidewalk and parkway improvements Improvements TransNet LSI $310 $310 TN LSI Carryover $0 n/a TransNet -LSI: CR Local Funds $0 $0 TOTAL $0 $0 $0 $0 $310 $0 $310 -----RTIP ID Project Title Project Description PRIOR EXPEND. FY23 FY24 FY25 FY26 FY27 TOTAL CIP# CB56 Chestnut Avenue Complete Prepare a project study report to identify the scope of work Street Improvements -1-5 to for construction of complete street improvements including the Railroad traffic calming and pedestrian improvements TransNet LSI $85 $85 TN LSI Carryover $0 6069 TransNet -LSI: CR Local Funds $0 $0 TOTAL $0 $0 $85 $0 $0 $0 $85 RTIP ID Project Title Project Description PRIOR EXPEND. FY23 FY24 FY25 FY26 FY27 TOTAL CB58 Street Light Bulb Replacement Replace light bulbs with LED bulbs Program TransNet LSI $445 $445 6062 TN LSI Carryover $850 $700 $700 $630 $2,880 TransNet -LSI: Maint Local Funds $320 $320 -TOTAL $1,615 $700 $700 $630 $0 $0 $3,645 -RTIP ID Project Title Project Description PRIOR EXPEND. FY23 FY24 FY25 FY26 FY27 TOTAL CB59 El Camino Real Widening -Along El Camino Real from Sunnycreek to Jackspar, widen Sunny Creek to Jackspar along the southbound side of the roadway to provide three travel lanes, sidewalk, and a bike lane TransNet LSI $2,484 $2,484 6094 TransNet -LSI: CR TN LSI Carryover $411 $2,115 $2,526 TOTALI $4111 $4,599 I $al $01 $al $0 $5,010 6June 7, 2022 Item #8 Page 13 of 132023 TransNet Program of Projects FY 2022-23 to FY 2026-27 in '000s City of CARLSBAD CIP# RTIP ID Project Title Project Description PRIOR EXPEND. FY23 FY24 FY25 FY26 FY27 TOTAL CB60 Melrose Drive and Palomar Widen southbound Melrose Drive to provide an additional Airport Road Improvements through lane TransNet LSI $0 6034 -TransNet -LSI: CR Local Funds $154 $757 $911 -TOTAL $154 $757 $0 $0 $0 $0 $911 RTIP ID Project Title Project Description PRIOR EXPEND. FY23 FY24 FY25 FY26 FY27 TOTAL CB61 Palomar Airport Road and Widen southbound College Blvd to add an additional through College Blvd Improvements lane TransNet LSI $0 6028 TransNet -LSI: CR Local Funds $487 $808 $1,295 TOTAL $487 $808 $0 $0 $0 $0 $1,295 -RTIPID Project Title Project Description PRIOR EXPEND. FY23 FY24 FY25 FY26 FY27 TOTAL CB62 Barrio Lighting Program Conduct lighting assessment, design, public outreach, and construct streetlights and pedestrian lighting in the Barrio neighborhood TransNet LSI $1,280 $1,280 $1,030 $3,590 4013 ---TN LSI Carryover $0 ----Local Funds $268 $1,192 $1,460 TOTAL $268 $2,472 $1,280 $1,030 $0 $0 $5,050 --RTIP ID Project Title Project Description PRIOR EXPEND. FY23 FY24 FY25 FY26 FY27 TOTAL CB63 Valley and Magnolia Complete Construct sidewalks, bike paths, green street features and Streets underground overhead utilities TransNet LSI $0 6019 ---TN LSI Carryover $1,200 $1,200 --Local Funds $430 $3,106 $1,000 $4,536 TOTAL $4301 $4,3061 $1,000 $0 $0 $0 $5,736 ------Projected TransNet -LSI Revenue (02/2022 Rev) I I I $3,887 I $4,031 I $4,149 $4,275 I $4,403 $20,745 Programmed TransNet LSI $3,764 $2,515 $3,760 $2,285 $2,970 $15,294 -Programmed TransNet LSI Carry Over $15,978 $2,875 $1,345 $1,820 $715 $22,733 Total TransNet Programmed I $19,742 $5,390 $5,105 $4,105 I $3,685 $38,027 All Receive'" Agenda Item # & For the Information of the: CITY COUNCIL Tammy Cloud-McMinn DateJ.e/ iP};J;)o. ~CC ~ CM .....--ACM ....--UCM (3)..:::;:: From: Sent: To: Cc: Lance Schulte < meyers-schulte@sbcglobal.net> Sunday, June 5, 2022 12:07 PM Council Internet Email; City Clerk info@peopleforponto.com; Boyle, Carrie@Coastal; 'Prahler, Erin@Coastal'; Ross, Toni@Coastal; Linda Culp Subject: public input for 6-7-22 #8 Carlsbad Council agenda item -proposed Transnet funding requests -So. Carlsbad Blvd Relocation -Public input to Carlsbad Tomorrow Growth Management Committee & CCC -Parks & Unconstrained-Useable Open Space facilities 2001 ERA Finanicnal Analysis of Carlsbad_Blvd_Realingment-1_.pdf; 2022-June General Comparative cost-benifits of Completing PCH-PCH Modification-Ponto Park -Part 1 of 2.pdf; City's PCH area map w numbered notes of Constraints - 2 of 2.pdf; Sea Level Rise and Carlsbad DLCP-LUPA planned loss of OS at Ponto -2022.pdf Attachments: Dear City Council: It is requested that the City Council use the $4.25 million to simply build the missing sidewalks along the 2.3 miles of PCH after conducting a citizen-based design review. You should read the attached City of Carlsbad's 2001 Study of PCH Relocation Feasibility and funding sources. As the City has known since 2001, and also unofficially knew well before 2001, the ability to obtain 'other tax-payer' funds to pay for PCH Relocation are minimal. Your staff report says the City plans to spend $4.25 million of tax-payer money to continue Studying PCH Relocation. This is on top of the money already spent by the City for the two (2) 2002 PCH Relocation Studies, and the 2013 PCH Relocation Design and Constraints Analysis. It is not known how much Carlsbad tax-payer money was spent already on the 2001 and 2013 PCH Studies. But for the $4.25 million requested in the Staff report for addition studies, we could actually build the needed sidewalks for the 2.3 miles of PCH based on City costs (see attached 2022-June Comparative Cost-Benefit of completing PCH-PCH Modification-Ponto Park). The City Council should be using tax-payer funds wisely to actually build the needed sidewalks, not more studies to rehash what was known in 2001. Following are some summary excerpts from the City's 2001 ERA Financial Analysis of PCH Relocation. Council should read the 2001 Study as only Mayor Hall and Council Member Norby are familiar with the 2001 Study: p. 1: 'I. INTRODUCTION The Carlsbad Boulevard Realignment Study is an analysis of alternative scenarios for realigning Carlsbad Boulevard away from the coast bluff edge and, in the process, creating opportunities for commercial, recreation, and open space uses. One of the study's objectives is to explore ways to generate revenue from useable public land created, including potential land sale or lease opportunities, and using this revenue to help offset the cost of realigning the road.' p. 2: 'URS Corporation and the City of Carlsbad have identified four alternative land use scenarios for a realigned Carlsbad Boulevard. The proposed realignment creates 4-6 new surplus land areas resulting 5-7 potential parcels (see the Carlsbad Boulevard Realignment Study -Phase I and Phase II for more details regarding these alignments and surplus land areas). The consultant team prepared hypothetical development programs for each alternative. These hypothetical development programs are not recommendations; rather, they were devised to test the potential financial impact of the following alternative approaches towards reuse of the surplus land that is created with the road realignment. They were also designed to serve as a starting point for discussion of preferred uses and to allow the decision-makers to select and combine the elements from each alternative that 1 they find most desirable. Finally, these scenarios serve as starting points for discussions with State Parks, which is critical for the pivotal Manzano parcel. • Alternative 1 tests the financial impacts of a parks and open space scheme. It assumes that no major commercial development occurs and that the surplus parcels are used for parking, community facilities, parks, open space, and camping (concessionaire}, as shown in Table 1. ... ' p. 3: [see Table 1 below documenting only 4-acres of Park created with PCH Relocation. Table 1 lists all the "Surplus Area', most of which are small narrow slivers that have little more utility than the existing PCH right-of- way has currently with simply Completing PCH by adding missing/needed pedestrian improvements.] Please compare the 2001 data with the attached 2022-June Gen. Comparative Cost-Benefits of Completing PCH-PCH Modification-Ponto Park 1 of 2, City PCH map w number notes of constraints 2 of 2]. r ·J r · 1 C=:J r.-J c...J LJ CJ c ·-1 c-:J L...J c --1 r· 1 c..J Tabie 1: OEVELOPM'ENIT PROO.RAM SC.E.H.ARIOS · A.llcmaW·e 1 · P4illt5' ;111d Open Spa~; SurplltS Afl!;!I! Units 2 $ 4 5 6) A.Gn!a e, 20.a 5.1 10.1 1:;t 7 2 .3 -·· - Dev~l~pable Oo~~al c.arr,pgrovn(l 2.8 I' l•bli,; park.l'>g Ul CH~ 1.5 0.9 C 00',muni"iy faelily D.il 0.1 (]_ 1 Ac1lwi::iark~ 4.0 Or,ien:!.ir,r1CC· 15.0 4,4 10.1 9.3 1.-4 Commerclal Uses C ornmeroia~Rera:~ s.l Commerc1e1-Res1aurants $.P. om~ l;J. Tiir•u:: S.""cil"e Room& Full Ser,1ce t-'lotei Rooms Eile,:ulir\'e ~e,(,1ing Hotel ~oom~ C:a1111p!froun~ Prim.iii•,"!! :;ii,;,:;; Siles -<1$ R.Vi;tte~ Sale~ :il;I c Ct11111C11 faeo1ntes :i.ooo Pu lblio;; ?'arkl2!i! F.-es S~o~ 1<10 21)0 136 cornrnunliy IFatilftv V i~or Ce!>lGI" s.t 2.500 :J.OOD R8t{~~ tJumti,;,r 1 A.cllve ll-,tirk Facllllles A-dl,-e Parks ;;ert:.$ 4.0 0~ $pac;,ei f'ar.illliaoi; open ~,;ai::o ai::res 15,0 44 10.1 9.3 1:,4 sour.:e: URS; Wall;;u;:e. Roberts & TooO:,; and Etcno 1t1i~ R~~earch P.~ocia.les 2 p. 9: 'QUALIFICATIONS While it appears that alternatives 3 and 4 generate enough revenue to cover development costs, the findings at this preliminary planning stage of analysis are qualified, as follows: • The cost estimates are based on gross cost factors and need to be refined as project design becomes more specific. • The cost estimates do not include any extraordinary off-site costs, such as for environmental or traffic mitigation. • Some of the parcels identified for potential development, particularly those west of the alignment, may be vulnerable to long term erosion problems; therefore, their stability needs to be verified.' p. 14 'CONCLUSION Both the SAN DAG representative and the CalTrans Local Assistance Program representative noted that most road or highway realignments are done to facilitate development. Policymakers are aware of this and generally design funding programs in a way that encourages the private sector to pay for as much of the project costs as possible. Programs are also designed to encourage municipalities to utilize funds from their share of the gas tax, TransNet, and even the General Fund and Community Development Block Grants before turning to State and Federal funds. Finally, due to the limited funds available, all funding sources give priority to projects of a regional significance over those of local importance." The City's 2001 PCH Relocation Feasibility Study concluded there was limited availability for non-Carlsbad funding, particularly if tax-payer funding is used to reduce PCH roadway capacity, and particularly when other much more tax- payer efficient means to provide missing sidewalks in PCH. See the attached 2022-June Gen. Comparative Cost-Benefits of Completing PCH-PCH Modification-Ponto Park 1 of 2 file. It uses City of Carlsbad data. See also the City's PCH area map w number notes of constraints 2 of 2 file that like the City's 2001 Study confirms minimal added utility from 2.3 miles of PCH Relocation, particularly for a tax-payer cost of $60 to 85 million or $37 to 26 million per mile where other tax-payer transportation needs are far greater. As your 6-7-22 staff report says, • "In addition to projects using TransNet funds, each agency's program of projects must also include transportation projects that are regionally significant and increase transportation capacity, regardless of their funding sources." • "Each member agency of SAN DAG that wants to spend TransNet and/or certain federal or state funds must approve its own program of projects every two years. In addition to the projects using those funding sources, the program must include projects that will increase transportation capacity, regardless of their funding sources. Again the City's 2.3 mile PCH Relocation Proposal does not "increase transportation capacity", but proposes to reduces capacity by 50%. Adding needed pedestrian sidewalks will increase "pedestrian capacity' but adding most all the missing sidewalks can easily and cost-effectively be done within the Existing PCH configuration right-of-way. The City has had over 35-years to simply add sidewalks to PCH in South Carlsbad but has not added them for over 35 -years. • "Fiscal Analysis: Inclusion in SANDAG's regional program is not a guarantee that projects will receive the stated funding. The amounts shown in Attachment A to the Resolution, Exhibit 1, are the best available estimates of project costs and anticipated funding. The city is not obligated to proceed with the projects included in the city's Program of Projects if funding falls short or is not available. There is no City obligation to proceed with simply and cost-effectively adding any needed PCH sidewalks; nor for proceeding with an any potential PCH Relocation modification. However for the $4.25 million in tax-payer money staff wants to allocate to re-Study PCH Relocation, instead the City Council could actually build the missing sidewalks within he existing PCH Configuration right-of-way and after 35+ years 3 Carlsbad Citizens could be provided the missing sidewalks. That would save tax-payers $85 to 60 million and assure Carlsbad gets the sidewalk funded. It is requested that the City Council use the $4.25 million to simply build the missing sidewalks along the 2.3 miles of PCH after conducting a citizen-based design review. The City Council could then use the $85 to 60 million saved by not Relocating PCH and instead use it to buy the much needed Ponto Park and actually provide more and much better Park land. Thank you, Lance Schulte ---------------·-·---~----- From: Lance Schulte [mailto:meyers-schulte@sbcglobal.net] Sent: Monday, May 30, 2022 1:21 PM To: 'Eric.lardy@carlsbadca.gov'; council@carlsbadca.gov; 'City Clerk'; 'Kyle Lancaster'; Carrie Boyle (carrie.boyle@coastal.ca.gov); 'Prahler, Erin@Coastal'; Ross, Toni@Coastal (Toni.Ross@coastal.ca.gov); Don Neu (Dneu@ci.carlsbad.ca.us) Cc: 'info@peopleforponto.com' Subject: Public input to Carlsbad Tomorrow Growth Management Committee & CCC -Parks & Unconstrained-Useable Open Space facilities Dear Carlsbad Tomorrow Growth Management Committee, Carlsbad Council and Parks and Planning Commissions, & CA Coastal Commission: The Committee is tasked with recommending to the Council proposed changes to City Park and City Unconstrained/Useable Open Space Standards within the Growth Management Program Update. Because Carlsbad is quickly running out of vacant land, the Committee's recommendations are critical for very obvious reasons. The Committee will be recommending (for all future generations) the final methods to supply Citizen desired Parks and Unconstrained/Useable Open Space. It is important the Committee wisely represent the interests of those future generations. The Park and Open Space supply solutions for future generations will amend Carlsbad's updated 2015 General Plan and the "as of 2013" Local Coastal Program. Since 2017 many People for Ponto Carlsbad Citizens have overwhelming expressed their need and desire for: 1. Fairness, and a true adequately sized and dimensioned Ponto Park to address City Park Master Plan documented "lack of Park Service and Park Inequity" in this area, and 2. Correcting the City's documented 30-acre shortfall in required Unconstrained and Useable Open Space in the Ponto area, and 3. Correcting the City's planned loss of 32+ acres of Coastal Open Space at Ponto (the State Campground and Beach) first documented in 2017 and thus not a part of the City's General Plan & Growth Management Program. Since 2017, over 5,000 Carlsbad Citizen and visitor petitions have been sent to the City & Coastal Commission expressing the desire and need of both Citizens and visitors to have these Parks and Open Space issues addressed . The Council has been narrowing deferring addressing these issues and noted waiting for the Carlsbad Tomorrow Growth Management Committee to consider both the data and Citizen and visitor desires. Attached are 5 data files sent to the City by Carlsbad People for Ponto. The data files were sent as comments to the City's proposed Local Coastal Program (LCP) Amendment that seeks to change Carlsbad's 2013 LCP with the outdated 2015 General Plan, Carlsbad's Park Master Plan Update process, and the Growth Management Program that your 4 Committee will be making recommendations to change. People for Ponto Carlsbad Citizens conducted over 50 official Carlsbad Public Records Requests to compile this data. We provide these data files in preparation of your June 23rd meeting. 1. Coastal Recreation and comparative Park data: Summary data on supply/demand/distribution-fairness of City Parks in Carlsbad, unflattering comparative data on how much parkland and where Carlsbad provides Parks relative to Encinitas and Oceanside and national averages, documents Carlsbad's Park Master Plan mapping Park distribution unfairness at Ponto, and documenting that many Carlsbad's Park acres are Unusable for people because they are constrained habitat land protected from human use/intrusion. 2. Sea Level Rise & Carlsbad planned loss of Open Space at Ponto: A) Summary data on how sea level rise (SLR) will remove Open Space at Ponto. B) City GIS maps/data that shows 30-aceres of required Unconstrained/Useable Open Space was not provided at Ponto (Zone 9) by using false exemptions while similar and adjacent Local Facility Management Zones (19 & 22) provided their required Unconstrained/Useable Open Space. C) City maps and data tables documenting the both loss of Open Space at Ponto from SLR and the missing Growth Management Open Space at Ponto. 3. Updated 2022-June Comparative Cost-Benefits of PCH Modification and Ponto Park: A) Summary City data comparing the Citizen and tax-payer Cost-Benefit of Park and Useable Open Space alternatives at Ponto. The data file initially compared cost-benefits of the 11-acre Ponto Planning Area F and pre-2022 City Cost data. However in May 2022 the City updated its PCH Relocation costs, and a willing seller of 14.3 acres of adjacent land (Ponto Planning Area G, H, and I; aka Kam Sang) was listed for sale. B) The Kam Sang list price of $2.7 million per acre or a bit more than the $2.4 to $1.4 million per acre price of recent Ponto land sales noted in the file but are close . C) The City's updated PCH Relocation Costs are similar. The Cost-Benefit Comparison still shows purchasing Ponto Park land is still a better value for Carlsbad Citizens, and saves tax-payers money. The Comparison references a City map and data showing sea level rise impact areas, and the City's PCH Relocation environmental and design constraints. 4. Citizens' City Budget Ponto Park need-requests: A) Summary data and verbatim documentation of Carlsbad Citizens requests to budget to address the need for Ponto Park, and Open Space issues at Ponto. B) The volume of Citizen input on Ponto Park and Open Space, and the actual verbatim Carlsbad Citizen comments should be considered. C) In addition since 2017 when Carlsbad Citizen first became aware of several Ponto Planning Mistakes by the City: a. false Growth Management Unconstrained/Useable Open Space 'Standard exemption' at Ponto b. failure in the 2010 Ponto Vision Plan that is the basis for the 2015 General Plan Update, and the failure of the 2015 General Plan Update to follow the 1996 Local Coastal Program Land Use Policy for Planning Area F that required the City to consider and document the need for Coastal Recreation (i.e. Public Park) and Low-cost Visitor Accommodation land use prior to proposing a change in the Non-residential Reserve land use policy. Failing to fully disclose the Coastal Commission's rejection of the Ponto Vision Plan in 2010 because of these reasons, and not disclosing 2016, 2017 and 2022 directions to the City .. c. SW Quadrant Park deficits going back to 2012 d. Not considering 2017 Sea Level Rise Impact Report that shows the loss of 32+ acres of high-priority Coastal Open Space land uses at Ponto. e. As a corollary example, the City has additional history in collaborating with developers to skirt standards and allow development without developers providing their required public facilities -the Rosalena HOA Trail segment of the Batiquitos Lagoon Bluff-top trail at Ponto is a classic example. This example resulted in delaying construction of the public trail by over 35-years and ended up costing about 75 Carlsbad homeowners over $1 million in additional costs. It almost resulted in no trail being built and City and/or developer pocketing money meant to pay for the trail. This scenario could happen a far larger scale and cost if Ponto developers are not required to provide the missing 30acres of required Useable Open Space at Ponto Carlsbad People for Ponto Citizens have asked the City to provide the Citizen input since 2017 for all things Ponto related. Reviewing the public record of 5,000+ citizen communications since 2017 reveals only maybe a dozen (mostly 5 0 0 0 G D 0 D 0 0 0 0 0 0 D 0 0 0 0 0 ■MM Economics Resear-ch Associates TABLE OF CONTENTS I. Introduction .................................................................................................................................... 1 II. Development Scenarios .................................................................................................................. 2 III. Land and Fiscal Value Estimates ................................................................................................... 7 IV. Other Potential Sources for Funding Realignment Costs ............................................................. 11 Appendix ................................................................................................................................................... 15 D D 0 D D 0 D 0 0 0 0 0 0 0 0 D D D 0 GENERAL LIMITING CONDITIONS Every reasonable effort has been made to ensure that the data contained in this study reflect the most accurate and timely infonnation possible, and they are believed to be reliable. This study is based on estimates, assumptions and other infonnation reviewed and evaluated by Economics Research Associates from its consultations with the client and the client's representatives and within its general knowledge of the industry. No responsibility is assumed for inaccuracies in reporting by the client, the client's agent and representatives or any other data source used in preparing or presenting this study. This report is based on information that was current as of October 2001 or as noted in the report, and Economics Research Associates has not undertaken any update of its research effort since such date. No warranty or representation is made by Economics Research Associates that any of the projected values or results contained in this study will actually be achieved. Possession of this study does not carry with it the right of publication thereof or to use the name of "Economics Research Associates" in any manner without first obtaining the prior written consent of Economics Research Associates. No abstracting, excerpting or summarization of this study may be made without first obtaining the prior written consent of Economics Research Associates. This report is not to be used in conjunction with any public or private offering of securities or other similar purpose where it may be relied upon to any degree by any person other than the client without first obtaining the prior written consent of Economics Research Associates. This study may not be used for purposes other than that for which it is prepared or for which prior written consent has first been obtained from Economics Research Associates. This study is qualified in its entirety by, and should be considered in light of, these limitations, conditions and considerations. D D D D 0 0 D D 0 0 D 0 0 0 0 0 D 0 0 ■=i;M Economics Resear-ch Associates I. INTRODUCTION The Carlsbad Boulevard Realignment Study is an analysis of alternative scenarios for realigning Carlsbad Boulevard away from the coast bluff edge and, in the process, creating opportunities for commercial, recreation, and open space uses. One of the study's objectives is to explore ways to generate revenue from useable public land created, including potential land sale or lease opportunities, and using this revenue to help offset the cost of realigning the road. This Phase II report is a preliminary evaluation of each scenario's financial implications. The Phase I report, presented in April 1999, evaluated the market context in which development may take place. Some of the key rent and market assumptions presented in this report are based on the 1999 research, adjusted for inflation. A market analysis update has not taken place since 1999. The values presented here are preliminary estimates for planning purposes only, and should not be interpreted as valuations or appraisals since they are based on conceptual development programs, gross preliminary development cost factors, and two-year old market research. Valuations or appraisals will require greater due diligence regarding current market conditions, more specific development and site planning programs, and more detailed cost estimates. PROJECT No. 14158 INTRODUCTION 1 0 0 0 0 D 0 0 0 0 0 0 0 0 0 0 0 D 0 0 ••@.t Economics Research Associates II. DEVELOPMENT SCENARIOS URS Corporation and the City of Carlsbad have identified four alternative land use scenarios for a realigned Carlsbad Boulevard. The proposed realignment creates 4-6 new surplus land areas resulting 5-7 potential parcels (see the Carlsbad Boulevard Realignment Study -Phase I and Phase II for more details regarding these alignments and surplus land areas). The consultant team prepared hypothetical development programs for each alternative. These hypothetical development programs are not recommendations; rather, they were devised to test the potential financial impact of the following alternative approaches towards reuse of the surplus land that is created with the road realignment. They were also designed to serve as a starting point for discussion of preferred uses and to allow the decision-makers to select and combine the elements from each alternative that they find most desirable. Finally, these scenarios serve as starting points for discussions with State Parks, which is critical for the pivotal Manzano parcel. • Alternative 1 tests the financial impacts of a parks and open space scheme. It assumes that no major commercial development occurs and that the surplus parcels are used for parking, community facilities, parks, open space, and camping (concessionaire), as shown in Table 1. • Alternative 2 tests the financial impacts of a predominately parks and open space scheme, with limited commercial development. It assumes that a time-share and executive meeting hotel is built on a small portion of Surplus Area 1, and that the rest of Surplus Area 1 and all of the other parcels are used for parking, community facilities, parks, or open space, as shown in Table 2. • Alternative 3, as shown in Table 3, tests the financial impacts of a significant commercial development scheme. It assumes significant commercial development on almost half of Surplus Areas 1 (specialty retail, restaurants, and office) and 3 (hotel), and all of Surplus Areas 2 (time-share), 6A (time-share), and 68 (office), as shown in Table 3. More than half of Surplus Area 1 is used as park space and more than half of Surplus Area 3 remains open space. Parcels 4 and 5 provide parking and open space. • Alternative 4 tests the financial impacts of a significant commercial development scheme for a majority of Surplus Area l (specialty retail, restaurants, time-share, and executive meeting hotel), with a neighborhood park on the remaining portion of Surplus Area l, as shown in Table 4. Parcels 2, 3, and 6A remain open space, and 4, 5, and 6B contain public parking and open space. PROJECT NO. "14158 DEVELOPMENT SCENARIOS 2 c::-=:J CJ CJ CJ c.=J ~ c-=i CJ c=J CJ C:J C..::J c:_J c=J C__J C__J c=i CJ ~ Table 1: DEVELOPMENT PROGRAM SCENARIOS · Alternative 1 -Parks and Open Space Surplus Area: Units 1 2 3 4 5 GA 6B Acreage 20.8 5.1 10.1 13.7 2.3 0.5 2.0 Developable Commercial Campground 2.8 Public parking 1.0 0.6 1.5 0.9 0.6 Community facility 0.8 0.1 0.1 Active parks 4.0 Open space 15.0 4.4 10.1 9.3 1.4 0.5 1.4 Commercial Uses Commercial-Retail s.f Commercial-Restaurants s.f. Office s.f. Time Share Rooms Full Service Hotel Rooms Executive Meeting Hotel Rooms Campground Primitive sites Sites 45 RV sites Sites 50 Common facilities 3,000 Public Parking Free Spaces 140 50 200 135 90 Community Facility Visitor Center s.f. 2,500 3,000 Restrooms Number 1 Active Park Facilities Active Parks acres 4.0 Open Space Facilities Open Space acres -15.0 4.4 10.1 9.3 1.4 0.5 1.4 Source: URS; Wallace, Roberts & Todd; and Economics Research Associates [__] [__.=J ~ C_::J L_J [_____=J L__] [___J c=J C_J c::J C_J C_J c.J C_J c:J LJ LJ c:J Table 2: DEVELOPMENT PROGRAM SCENARIOS -Alternative 2 Surplus Area:, Units 1 2 3 4 5 6A 6B Acreage 20.8 5.1 10.1 13.7 2.3 0.5 2.0 Oevelopable Commercial I 5.0 Campground Public parking 2.6 6.9 3.2 1.2 0.1 0.6 Community facility 0.1 0.4 Active parks 1.6 1.6 0.5 1.4 Open space 15.8 0.9 1.6 10.4 0.2 0.4 Commercial Uses Commercial-Retail s.f Commercial-Restaurants s.f. Office s.f. Time Share Rooms 100 Full Service Hotel Rooms Executive Meeting Hotel Rooms 150 Campground Primitive sites Sites RV sites Sites Common facilities Public Parking Free Spaces 150 870 520 176 10 90 Community Facility Visitor Center s.f. 19,600 Restrooms Number 1 3 2 1 Active Park Facilities Active Parks acres 1.6 1.6 0.5 1.4 Open Space Facilities Open Space acres 15.8 0.9 1.6 10.4 0.2 0.4 Source: URS; Wallace, Roberts & Todd; and Economics Research Associates C:J CJ CJ CJ CJ CJ c=::i CJ c=J CJ CJ c=J CJ c=i CJ CJ CJ CJ c::::J Table 3: DEVELOPMENT PROGRAM SCENARIOS -Alternative 3 Surplus Area: Units 1 2 3 4 5 6A 6B Acreage• 20.8 5.1 10.1 Developable Commercial I 10.0 5.1 4.3 Campground Public parking Community facility Active parks I 10.8 Open space 5.8 0.5 2.0 0.5 i Commercial Uses Commercial-Retail s.f 40,000 Commercial-Restaurants s.f. 40,000 Office s.f. 80,000 15,000 Time Share Rooms 150 30 Full Service Hotel Rooms 300 Executive Meeting Hotel Rooms Campground Primitive sites Sites RV sites Sites Common facilities Public Parking Free Spaces Community Facility Visitor Center s.f. Restrooms Number Active Park Facilities Active Parks acres 10.8 Open Space Facilities Open Space acres 5.8 *Acreages may not equal total due to rounding Source: URS; Wallace, Roberts & Todd; and Economics Research Associates c:J CJ CJ c=i c=i CJ CJ CJ Table 4: DEVELOPMENT PROGRAM SCENARIOS -Alternative 4 Acreag_e* Developable Commercial Campground Public parking Community facility Active parks Open space Commercial Uses Commercial-Retail Commercial-Restaurants Office Time Share Full Service Hotel Executive Meeting Hotel Campground Primitive sites RV sites Common facilities Public Parking_ Free Community Facility Visitor Center Restrooms Active Park Facilities Active Parks Open Space Facilities Open Space Surplus Area: Units 1 s.f s.f. s.f. Rooms Rooms Rooms Sites Sites Spaces s.f. Number acres acres 20.8 15.0 5.8 45,000 45,000 150 150 5.8 *Acreages may not equal total due to rounding c::J 2 Source: URS; Wallace, Roberts & Todd; and Economics Research Associates CJ CJ CJ c:J CJ CJ CJ CJ CJ CJ 3 4 5 6A 6B 0 0 0 0 D D D D 0 0 0 D D 0 0 0 D 0 D i=lil4 Economics Research Associates Ill. LAND AND FISCAL VALUE ESTIMATES ERA estimated the approximate residual land value and the capitalized value of the estimated fiscal revenue associated with each of the alternative alignments and development scenarios. The estimates are very preliminary since they are based on hypothetical development programs without architectural designs, rent assumptions based on 1999 research (updated to 2001 values), preliminary site capacity and site planning analysis, and gross development cost estimates for buildings and site development. The detailed analyses for each alternative are presented in Appendix A. These estimates, which are not appraisals, will need to be revised as development programs become more specific, and they do not form the basis for a financial offering, bond, or prospectus without additional planning, engineering, cost estimating, and due diligence. The residual land value estimates translate into the potential revenue generated from commercial land sales, or the capitalized values of leases, of surplus land areas created by the road realignment. These estimates are preliminary approximations of what a developer might be willing to pay for the land in order to obtain a reasonable rate of return on total capital (debt and equity capital). In order to be conservative, no real appreciation was assumed; in other words, rents only rise with inflation. Some developers may speculate that rents will rise faster than inflation, which would result in higher values than estimated in this report. The fiscal revenue translates into the capitalized value of the potential fiscal resources to the City and Redevelopment Agency that could help finance some of the Carlsbad Boulevard realignment costs. The total revenue from commercial land sales (or leases) and the capitalized value of fiscal revenue was compared to URS Corporation's preliminary estimate of road realignment costs ($18.8 million), and Wallace, Roberts, and Todd's preliminary estimates of possible public parking, parks, open space, and community facility costs ($8.5-12.1 million). While road realignment costs are required to produce the surplus parcels, costs to develop the open space are flexible. The estimates provided assume maximum improvements to the open space. As shown in Table 5, Alternative 1, the least commercial scenario, generates very limited revenue, only $ 1.1 million in commercial land value, and over $0.2 million in the capitalized value of fiscal revenue, for a total of almost $1.3 million. Other sources would have to fund over $17 .5 million in road construction costs, and $9 .0 million in public facility, parks, and open space costs, or the amount of improvements would have to be reduced. PROJECT No. 1415B LAND AND FISCAL VALUE ESTIMATES 7 ~~~~~~~~.~~~~~~~~~~~ Table 5: PRELIMINARY REVENUE/COST COMPARISON (Year 2001 Dollars) Alternatives 1 2 3 4 Revenues From Commercial Land Sales $ 1,131,000 $ 9,219,000 $ 28,155,000 $ 19,465,000 Capitalized Value of Fiscal Revenues to City & RDA $ 217,000 $ 10,849,000 $ 24,743,000 $ 16,429,000 Total Potential Revenues $ 1;348,000 $ 20,068,000 $ 52,898,000 $ 35,894,000 Less: Road Construction Costs $ 18,800,000 $ 18,800,000 $ 18,800,000 $ 18,800,000 Net Revenues <Deficit> After Road Construction Costs $ (17,452,000) $ 1,268,000 $ 34,098,000 $ 17,094,000 Less: Public Parking, Parks, Open Space, and Facilities $ 8,999,580 $ 12,062,589 $ 8,496,734 $ 9,358,925 Net Revenues <Deficit> After Public Costs $ (26,451,580) $ (10,794,589) $ 25,601,266 $ 7,735,075 Source: Economics Research Associates; URS; Wallace, Roberts & Todd D D 0 D D D D D 0 D D D 0 0 D D D D 0 ■:j;t+t Economics Research Associates Alternative 2 generates over $9.2 million in commercial land value, and $10.8 million in fiscal revenue, for a total of $20.1 million. This amount is enough to cover the $18.8 million in road realignment costs, but not enough to cover the estimated $12.1 million in potential public facility, parks, and open space costs. Other sources would have to fund approximately $10.8 million in public facility, parks, and open space costs, or the amount or type of improvements would have to be reduced. Alternative 3, the most commercial scenario, generates an estimated $28.2 million in revenues from commercial land value, and $24.7 million in capitalized fiscal revenue, for a total of $52.9 million. This amount is substantially more than enough to cover the $18.8 million in road realignment costs, and $8.5 million in public facility, parks, and open space costs. Alternative 4 generates an estimated $19 .5 million in commercial land value, and $16.4 million in capitalized fiscal revenue, for a total of $35.9 million, which is more than enough to cover the $18.8 million in road realignment costs, and $9.4 million in public facility, parks, and open space costs. QUALi FiCA TTONS While it appears that alternatives 3 and 4 generate enough revenue to cover development costs, the findings at this preliminary planning stage of analysis are qualified, as follows: • The cost estimates are based on gross cost factors and need to be refined as project design becomes more specific. • The cost estimates do not include any extraordinary off-site costs, such as for environmental or traffic mitigation. • Some of the parcels identified for potential development, particularly those west of the alignment, may be vulnerable to long term erosion problems; therefore, their stability needs to be verified. PROJECT No. 141 SB LAND AND FISCAL VALUE ESTIMATES D D D D D 0 D D D D D D 0 D D D D 0 D •1;14 Economics Research Associa1:es • A significant share of value and fiscal revenue in scenarios 2, 3, and 4 is attributable to hotels, which in 1999 demonstrated only average performance, especially among moderately priced hotels. Also, a new hotel has been developed since 1999. While the parcels identified for potential hotel development are competitive because of the views they offer, hotel development and financing are relatively risky. • WRT has determined that the hypothetical development programs can fit on the parcels, and URS Corporation has initially determined that the circulation system can accommodate the development. However, there could be difficult site planning issues with some of the parcels that would limit their development potential to less than what is assumed in this analysis. • The development cost estimates for the commercial development scenarios, for the most part, do not assume structured parking. If structured parking is required, development costs could be greater which would diminish residual land values unless higher rents are achievable. • Most of the value is generated on Surplus Area I, which is owned by the State of California. The City or Redevelopment Agency would not realize the value of Surplus Area 1 unless the State trades the parcel to the City or Agency for other considerations. Therefore, the City or Agency may not be able to apply proceeds from the value of Surplus Area 1 to road realignment and public facility costs. Nevertheless, under Alternative 3, the capitalized value of the fiscal revenue alone might be sufficient to cover road construction costs and a portion of public facility costs. The capitalized value of fiscal revenue under Alternative 4 comes close to covering road construction costs, but is not sufficient to cover other public facility costs. • Competitive market conditions could change which would affect the market potential of the development programs assumed in the scenarios analyzed in this report. The estimated values are based on the hypothetical development programs for each parcel. If development programs change, the values will change. PROJECT No. 1415B LAND AND FISCAL VALUE ESTIMATES 10 D D D 0 0 0 D D D D 0 D D D D D 0 D D •=ltf-1 Economics Resear-ch Associates IV.' OTHER POTENTIAL SOURCES FOR FUNDING REALIGNMENT COSTS The U.S. Department of Transportation (DOT) and State of California Transportation Department (CalTrans) are the traditional sources of funds for capital improvements to highways. For example, the Federal government offers approximately 70 different transportation-funding programs. The majority of these funds are made available for disbursement to regional entities such as SANDAG, while a small portion is made available directly to municipalities. FUNDS AVAILABLE DIRECTLY TO MUNICIPALITIES The Ca!Trans Local Assistance Program (LAP) is responsible for helping municipalities located in Ca!Trans District 11 identify which Federal and State funding programs for which they are eligible and guiding them through the application process. Each program is specifically tailored for a given need, and has very strict eligibility requirements. One such specialized program funds "Intelligent Transportation Systems". Funds are available to projects that integrate new technology (computer-related) with the road/highway project to improve traffic flow. Because this program is new, eligibility requirements are not yet well defined. There is no program specifically for road or highway realignment. Moreover, it is estimated that for every 10 applicants to each of the programs above, only the most urgent project is funded, leaving 90 percent of the applications unsuccessful. Given the level of competition for funds, if the City of Carlsbad finds that portions of the road may fall into one or more of the eligible categories, the application should present as compelling a case as possible. In any case, once a specific construction plan has been determined, a representative from the City of Carlsbad should meet with a representative from the Local Assistance Program to discuss the program in detail and determine whether or not portions of the project are eligible for Federal or State aid. Finally, another option is direct funding from special state legislative action. REGIONAL FUNDS The San Diego Association of Governments (SANDAG) administers the apportionment of funds from the larger, more general State and Federal transportation funding programs. The most likely source of funding for a project such as the realignment of Carlsbad Boulevard is the Regional Arterial Projects section of the Surface Transportation Projects. PROJECT No. 1415B OTHER POTENTIAL SOURCES FOR FUNDING REALIGNMENT COSTS 11 0 D 0 D D D 0 □ D 0 0 D 0 0 D D Q 0 D ■#i,t+t Economics Research Associates For a project to receive an apportionment from SANDAG, it must be included in the Regional Transportation Improvement Plan (RTIP). The City of Carlsbad is an active participant on the CTEC committee, the body that periodically updates the RTIP. However, it is important to note that the current RTIP (2000-2004) provides only $153 million towards projects estimated to cost nearly $392 million. Also; the current RTIP specifically states that "local governments will obtain private developer financing for those on-and off-site roadway and transit improvement necessary to accommodate the increased travel generated by private development." The major source of Federal transportation funds administered by SANDAG is the Transportation Equity Act for the 2 I st Century (TEA-21 ). In addition to highway and surface road construction and improvements, TEA- 21 is a source of funds for driver safety initiatives, transit programs, rail projects, and transportation research. TEA-21 was established in 1998 and funded through 2003, thus funding levels beyond that time are unknown. The Surface Transportation Program (STP) is the section of TEA-21 relevant to the realignment of Carlsbad Boulevard. One STP program, Transportation Enhancement Activities Program, funds highway enhancement activities over and above mitigation, standard landscaping and other permit requirements for a normal transportation project. Project eligibility categories under the Transportation Enhancement Program which may be applicable to the realignment of Carlsbad Boulevard are: 1) Scenic or historic highway programs; 2) Landscaping and other scenic beautification; 3) Environmental mitigation to address water pollution due to highway runoff. Currently, all TEA-21 funds, including STP, have been assigned to projects (detailed in SANDAG's 2000 Regional Transportation Improvement Plan); however, SANDAG continues to pursue additional discretionary funding available through TEA-21 on an annual basis. In 1987, San Diego voters passed Proposition A, which authorized a one-half percent sales tax increase dedicated for transportation improvements. The first $1 million in annual TransNet revenue is set aside for bicycle-related projects and the remainder is divided equally between highway, public transit and local street and road projects. Highway projects are approved for funding by SANDAG, CalTrans, the San Diego Metropolitan Transit Development Board, and the North San Diego County Transit Development Board. Local street and road projects are approved for funding by the city councils of the 18 cities and the County Board of Supervisors. The Carlsbad Boulevard Realignment project is a potential candidate project. TransNet funds have been programmed through 2004, and the measure will expire in 2008. PROJECT No. 14158 OTHER POTENTIAL SOURCES FOR FUNDING REALIGNMENT COSTS 12 0 D 0 D D D D D D 0 0 D 0 0 0 D u 0 0 1:j;l4 Economics Research Associates LOCAL SOURCES Local sources include developer financed road improvements, transportation impact fees, tax increment financing in redevelopment project areas, infrastructure financing districts, assessment districts, Community Facilities Districts, General Obligation Bonds, and the General Fund. To the extent that the realignment also increases road capacity that is required to mitigate the impacts of new development, developer financed road improvements or impact fees may apply. If the road realignment simply moves the road without enhancing capacity for future local developments, however, the nexus may not be strong enough for developer funding or impact fees to apply. Alternatively, the City may negotiate voluntary contributions to road realignment costs through development agreements on larger land development projects in the vicinity of Carlsbad Boulevard that require City discretionary approval. Since the proposed Carlsbad Boulevard Realignment project is within a newly adopted redevelopment project area, the City's Redevelopment Agency may use tax increment to finance some of the realignment costs. Tax increment financing does not result in higher tax rates; rather, the incremental gain in property tax revenues is directed toward certain improvements within a redevelopment project area. To the extent that the realignment creates parcels that are commercially developed, the realignment project will be directly responsible for the tax increment generated by those commercial developments. Because tax increment will not be generated until the parcels are developed with commercial uses, there may be a cash flow financing issue to overcome to fund the realignment costs that will occur in advance of tax increment. Another type of property tax increment financing is the Infrastructure Financing District (IFD). It also is based on the incremental gain in property taxes rather than an increase in tax rates. The City of Carlsbad was one of the first jurisdictions in California to form an IFD. Unlike tax increment in redevelopment project areas, an IFDs do not have to be located in redevelopment project areas and, therefore, do not have to address blight or meet the "predominately urbanized" test of redevelopment law. The public facility that is financed must serve the community at large. However, unlike a redevelopment project area that can be formed by Council action, an IFD must be approved by two-thirds of the voters if 12 or more registered voters reside in the district. Otherwise, two-thirds of the property owners within the district must vote to approve the district. The affected taxing agencies must also approve the district and tax increment sharing must be negotiated. PROJECT No. 1·4158 OTHER POTENTIAL SOURCES FOR FUNDING REALIGNMENT COSTS 13 G 0 0 C D 0 0 0 0 0 0 D 0 0 0 D 0 0 0 •#itt+i Economics Research Associates Properties that benefit from the realignment may be assessed for a portion of the cost through a benefit assessment district, such as the Municipal Improvement Act of 1913. The assessments may be pledged to support debt service on bonds, issued under the Improvement Bond Act of 1915. The formation process must establish the scope of improvements, identify the benefiting parcels, and determine an equitable allocation of costs. Property owners vote for or against formation of an assessment district at a public hearing. Some of the benefiting properties that are owned by the State may not be assessed. A Community Facilities District, commonly known as a Mello-Roos district, is a special tax that can be based on a formula that has a less strict benefit allocation. However, a Community Facilities District requires two- thirds voter approval of voters residing within the district. If there are fewer than twelve registered voters in the district, the qualified electors are defined as owners ofland within the district, with each owner allowed one vote per acre. General Obligation Bonds, backed by the full faith and credit of the City, are the most secure and lowest cost form of debt financing. However, it would require two-thirds voter approval among Carlsbad's electorate, which may be difficult for the Carlsbad Boulevard Realignment project unless it is perceived as a project that has citywide benefits. Finally, the General Fund may be used to fund a portion ofroad improvements through the Capital Improvement Plan, either as direct allocations, or as annual lease payments on Certificates of Participation. Fiscal revenue from development on surplus parcels could help augment the G~neral Fund, especially if a hotel or specialty retail is developed, to enable the City to use General Fund monies for some of the road realignment and other public facility costs. CONCLUSION Both the SANDAG representative and the CalTrans Local Assistance Program representative noted that most road or highway realignments are done to facilitate development. Policymakers are aware of this and generally design funding programs in a way that encourages the private sector to pay for as much of the project costs as possible. Programs are also designed to encourage municipalities to utilize funds from their share of the gas tax, TransNet, and even the General Fund and Community Development Block Grants before turning to State and Federal funds. Finally, due to the limited funds available, all funding sources give priority to projects of a regional significance over those of local importance. PROJECT No. 14158 OTHER POTENTIAL SOURCES FOR FUNDING REALIGNMENT COSTS 14 0 0 Q 0 D 0 0 0 0 0 0 D 0 0 0 0 0 0 ■eb;M Economics Research Associates Table 3.A.11 Carlsbad Boulevard Realignment -Alternative 3, Parcel 6A, Land Use Scenario A; Time Share Table 3.A.12, 13 Carlsbad Boulevard Realignment -Alternative 3, Parcel 6B, Land Use Scenario A; Office Operating Statement Table 4.A. l Carlsbad Boulevard Realignment -Alternative 3, Parcel 6B, Land Use Scenario A; Proforma Cash Flow -Prelimimiry Residual Land Value Table 4.A.2 Carlsbad Boulevard Realignment -Alternative 4, Parcel 1, Land Use Scenario A; Fiscal Revenues Table 4.A.3, 4, 5 Carlsbad Boulevard Realignment -Alternative 4, Parcel I, Land Use Scenario A; Executive Meeting Hotel Operating Statement Table 4.A.6, 7 Carlsbad Boulevard Realignment Retail/Commercial Operating Statement Alternative 4, Parcel I, Land Use Scenario A; Table 4.A.8 Carlsbad Boulevard Realignment-Alternative 4, Parcel I, Land Use Scenario A; Time Share PROJECT No. 1415B APPENDIX 16 CJ CJ c=J ~ CJ C:J CJ c:J c=J c::J Table I.A. I CARLSBAD.BOULEVARD REALIGNMENT-Alternative I, Land Use Scenario A PROFORMA CASH FLOW -PRELIMINARY RESIDUAL LAND VALUE (BEFORE TAXES & FINANCING) 2003 2004 Yr. 2001 l'clltl YeaL2 Inflation Factor 3% Value I 1.06 1.09 SOURCES AND USES OF FUNDS Net Sources of Funds By l,and Use RV -Concessionaire (0.79) 2005 Yw:...l 1.13 (0.82) Sub-total $ $ (0.79) $ (0.82) $ Net Cash Flow After Developer Costs Is Is (0.8!1 s (0.8)1 s Net ecescot ~alue A[ter Del'.clO.P.a...CDl1.s Net Present Value@ 14.0% Sl.20 _million, Yr. 2003 dollars Source: Economics Research Associates 2006 2007 l'l:a.cA Y=:.5 1.16 1.19 0.37 0.38 0.37 $ 0.38 $ 0.41 $ 0.41 s C::J 2008 .Year..li 1.23 0.42 0.42 $ o.4 Is CJ CJ c=J CJ c;;i C) CJ CJ 02-Oct-0I 2009 2010 2011 2012 2013 2014 2015 2016 2017 YllL1 ~ .fiac.2 Yes.ill haul fi.atl2 Yeru:.13 fu.r:.H 1'lltl5 1.27 1.30 1.34 1.38 1.43 1.47 1.51 1.56 1.60 I 0.43 0.44 0.46 0.47 0.49 0.50 0.52 0.53 5.40 0.43 $ 0.44 $ 0.46 $ 0.47 $ 0.49 $ 0.50 $ 0.52 $ 0.53 $ 5.40 o.4 Is o.4 Is o.s Is o.51 s o.5 Is o.51 s o.s Is o.5 I s 5.4 I CJ CJ CJ CJ C] CJ ~ CJ t=J CJ 0 CJ c=J c=i c=J CJ 0 CJ CJ Table 1.A.2 CARLSBAD BOULEVARD REALIGNMENT· Alternative 1, Land Use Scenario A FISCAL REVENUES 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 futl l'Hr..l l'.£a.t..3. filL4 Ynr..5 l'.ilr..6 Yw:.1 Tou:.8 Yi:ar..2 YilI:..10 fur..ll Tuu..12 fur...ll .Y.u.r..1A Yw:..1.5 Inflation Factor 3% I 1.06 1.09 1.13 1.16 1.19 1.23 1.27 1.30 1.34 1.38 1.43 1.47 1.51 1.56 1.60 I PROPERTY TAXES Expressed In Millions of US Dollars Land..llm RV $ $ $ $ s 0,03 $ 0.03 $ 0.03 $ O.o4 $ 0.04 $ 0.04 $ 0.04 s 0.04 $ 0.04 $ 0.04 $ 0.04 City's Share 4. 75% of Property Taxes $ $ $ $ $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 s 0.00 s 0.00 s 0.00 $ 0.00 $ 0.00 $ 0.00 RDA 's Non-housing Share 60.00% of Property Ta.es $ $ $ $ $ 0.02 $ 0.02 $ 0.02 $ 0.02 $ 0.02 $ 0,02 $ 0.02 $ 0.02 $ 0.02 $ 0,02 $ 0.02 Expressed In MIiiions or US Dollars TRANSIENT OCCUPANCY TAXES Full Service Hotel $ $ $ $ $ $ $ $ $ $ $ $ $ s $ Transient Occupancy Tax@ 10.00% of Room Revenue s $ $ $ $ $ $ $ $ $ $ $ $ $ s Gross Fiscal Operating Income From TOT & Tl s s s s s 0.02 s 0.02 s 0.02 s 0.02 s 0.02 s 0.02 s 0.82 $ 0.02 s O.OJ s 0.03 s O.OJ SALES TAX REVENUE Food & Beverage & 50% of Other Hotel Revt:nues $ s $ $ 0.00 $ 0.00 $ 0.00 s 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 s 0.00 Total Sales Tax Revenue $ s s s 0,00 $ 0.00 s 0.00 $ 0.00 $ 0.00 s 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 TOTAL FISCAL REVENUE Property Tax Revenue $ $ $ $ $ 0.02 s 0.02 $ 0.02 $ 0.02 $ 0.02 $ 0.02 s 0.02 $ 0.02 $ 0.03 $ 0.03 s 0.03 Transient Occupancy Tax Revenue $ $ $ $ $ $ $ $ $ s $ $ $ $ $ Sales Tax Revenue $ $ $ $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 Total Fiscal Revenue $ s s s 0.00 $ 0.02 s 0,03 $ 0.03 $ 0.03 $ 0.03 $ 0,03 $ 0.03 $ 0.03 $ 0.oJ $ 0.03 $ 0,03 Sources u[ Eunds FISCAL REVENUE $ $ $ $ 0.00 $ 0.02 $ 0.03 $ 0,03 $ 0.03 $ 0.oJ $ 0,03 $ 0.oJ s 0.oJ $ 0,03 $ 0,03 $ 0.oJ Reversion @ 7% $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ 0.47 Total Sources of Funds $ $ s $ 0.00 $ 0.02 $ 0.oJ $ 0.03 $ 0.03 $ 0.03 $ 0.03 s 0.03 $ 0.03 s 0.03 $ 0.03 $ 0.50 NET CASH FLOW Is Is Is Is o.oo Is 0.02 Is O.OJ I$ O.OJ Is 0.031 S o.o3 Is 0.031 S 0.031 $ O.OJ I$ o.o3 Is 0.03 ! S o.5o I Net Present Value@ 10% $0.2J million Yr. 2003 dollars Source: Economics Research Associates CJ CJ 0 CJ CJ CJ CJ CJ CJ CJ CJ CJ CJ CJ CJ CJ 0 CJ CJ Table I.A.3 CARLSBAD BOULEVARD REALIGNMENT-Altornallvo I, Parcel 4, Land Use Scenario A RV Concessionaire Operating Stalement 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Yr. 2001 Value ~ futl Y.w:..l Ycau filu:.S Yw:1i Yw:..1 Yu.r..8 Yi:a.r..2 fu.r..l.ll Yur..ll fuill Yil.c..13. Y.oar..li fur.J.S Assumptions -In nation Factor 3% 1.06 1.09 1.13 1.16 1.19 1.23 1.27 1.30 134 1.38 1.43 1.47 I.SI 1.56 1.60 Real Escalation 0% 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 Numhcr of I{\' S11a(·t·s 50 0 0 0 50 50 50 50 50 50 50 50 50 50 50 50 Total Potential Number of nights 18,250 18,250 18,250 18,250 18,250 18,250 18,250 18,250 18,250 18,250 18,250 18,250 Average Annual Occupancy Rate 0.0% 0.0% 0.0% 55.0% 60.0% 65.0% 65.0% 65.0% 65.0% 65.0% 65.0% 65.0% 65.0% 65.0% 65.0% Avg. Daily RV Ra1e /I $ 40 42 44 45 46 48 49 51 52 54 55 57 59 61 62 64 Nnmhcr or Primitive Spaces 45 0 0 0 50 50 50 50 50 50 50 50 50 50 50 50 Total Potential Number of nights 18,250 18,250 18,250 18,250 18,250 18,250 18,250 18,250 18,250 18,250 18,250 18,250 Average Annual Occupancy Rate 0.0% 0.0% 0.0% 50.0% 55.0% 55.0% 55.0% 55.0% 55.0% 55.0% 55.0% 55.0% 55.0% 55.0% 55.0% Avg. Daily RV Rale /I $ 20 21 22 23 23 24 25 25 26 27 28 29 29 30 JI 32 Operating Revenues Expressed In MIiiions of US Dollars Expressed In Millions of US Dollars Space Rental·Revenues $ $ s $ 0.68 $ 0.76 $ 0.83 $ 0.86 $ 0.88 $ 0.91 $ 0.93 $ 0.96 $ 0.99 $ 1.02 $ 1.05 $ 1.08 As% of Room Revenues Food & Beverage 20% 0.14 0.15 0.17 0.17 0.18 0.18 0.19 0.19 0.20 0.20 0.21 0.22 Other Revenues JO% 0.20 0.23 0.25 0.26 0.26 0.27 0,28 0.29 0.30 0.31 0.32 0.33 Sublotal (Non-Room Revenues) 50% S s $ s 0.34 $ 0.38 $ 0.42 $ 0.43 $ 0.44 s 0.45 $ 0.47 s 0.48 s 0.50 s 0.51 $ 0.53 s 0.54 Gross Revenues s s s $ 1.02 s 1.14 s 1.25 s 1.28 s 1.32 s 1.36 s 1.40 $ 1.44 s 1.49 s 1.53 s 1.58 s 1.63 Depactmeolal Cosls & Expenses As % of Departmental Revenues Spaces 25% 0.17 0.19 0.21 0.21 0.22 0.23 0.2) 0.24 0.25 0.26 0.26 0.27 Food & Beverage 75% 0.10 0.11 0.12 0.13 0. 13 0.14 0.14 0.14 0.15 0.15 0.16 0.16 Other Departments 50% 0.10 0.11 0.12 0.13 0.13 0,14 0.14 0.14 0.15 0,15 0.16 0.16 Total Departmental Expenses(% of Gross Revenues) 37% S $ $ $ 0.37 $ 0.42 $ 0.46 $ 0.47 $ 0.48 $ 0.50 $ 0.51 s 0.53 $ 0.55 $ 0.56 s 0.58 $ 0.60 Gross Operating Revenues 63% $ $ s s 0.64 $ 0.72 $ 0.79 $ 0.81 $ 0.84 $ 0.86 $ 0.89 $ 0.91 $ 0.94 s 0,97 $ 1.00 s 1.03 Notes: / I Rate, after discounts, per occupied room. Source: Economics Research Associates CJ CJ CJ D CJ D CJ CJ CJ C) CJ CJ CJ C.:=J CJ CJ 0 CJ CJ Table 1.A.4 CARLSBAll ROULEVARD REAI.IGNl\·tENT-AUernath·e 1, Parcel 4, Lund Use Scenario A RV Operating Statement 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Yr. 2001 Value fur...l har..l Yea.c..1 Yuu fur..S fiau Yw:..1 fiatJ! Year..2 Yt:ar...lJl Yn.r...11 Yuill Yoar..U Ym:.M YuLlS Expressed in Millions of US Dollars Expressed In Millions of US Dollars Gross OprcaCing Revenues 0.79 0.81 0.84 0.86 0.89 0.91 0.94 0.97 1.00 I.OJ lludistlibuled Operating E1peoses As % of Revenue Administrative & General 5.0% S $ s $ 0.05 $ 0.06 s 0.06 s 0.06 s 0.D7 s 0.07 $ 0.07 $ O.D7 s O.Q7 $ 0.08 s 0.08 $ 0.08 Management Fee 2.0% 0.02 0.02 0.02 0.0) 0.Q) O.DJ 0.0) O.oJ 0.0) 0.Q) O.QJ 0.0) Sales & Marketing 5.0% 0.05 0.06 0.06 0.06 O.D7 O.Q7 O.D7 O.D7 0.07 0.08 0.08 0.08 Energy Costs 6.0% 0.06 0.07 0.07 0.08 0.08 0.08 0.08 0.09 0.09 0.09 0.09 0.10 Repairs & Maintenance 4.0% 0.04 0.05 0.05 0.05 0.05 0.05 0.06 . 0.06 0.06 0.06 0.06 O.D7 Total 22.0% S $ $ $ 0.22 $ 0.25 $ 0.27 s 0.28 $ 0.29 $ 0.)0 $ 0.31 $ 0.32 $ 0.)) $ 0.)4 $ 0.35 s 0.36 Gross Qpenting Profit 41.3% $ $ $ $ 0.42 $ 0.47 $ 0.51 $ 0.53 $ 0.55 $ 0.56 $ 0.58 $ 0.60 s 0.61 $ 0,63 $ 0.65 $ 0,67 El:u:d E1p1:ases &. Capital Costs Property Taxes (based on 1% of prior year capitalized value) fommla 0.03 0.03 0.03 0.04 0.04 0.04 0.04 0.04 0.04 0.04 0.04 Incentive Fee 2.0% 0.02 0.02 0.02 0.03 0.03 0.03 0.03 0.03 0.03 0.03 0.03 0.03 Insurance 1.0% 0.01 0.01 0.01 0.01 0.01 0.01 0.GI 0.01 0.01 o.oz 0.02 0.02 Capital Reserve 2.0% o.oz 0.02 0.02 0.03 0.03 O.QJ O.oJ 0.0~ O.oJ O.oJ O.oJ 0.0) Total 5.0% 0.05 0.09 0.10 0.10 $ 0.IO $ 0.IO s 0.11 $ 0.11 s 0.11 s 0.12 s 0.12 $ 0.12 NET OPERA TING INCOME (ex. depr., Interest & tax) 0.37 0.38 0.42 0.43 0.44 0.46 0.47 0.49 0.50 0.52 0.53 0.55 Source: Economics Research Associates C) CJ CJ CJ CJ D CJ CJ CJ C) CJ CJ Table I.A.5 CARLSBAIJ BOULEVARD REALIGNMENT-Alternatl,·e I, Parcel 4, Land Use Scenario A (BEFORE TAXES & FINANCING) RV Operating S1atement 2001 2002 2003 2004 2005 2006 2007 Yr. 2001 Value ::w.rJ. Xur.l fur..J. Y=.A l.'u.t.S Yw:..li Yw:..1 Sources of Fund5 Expressed in Millions of US Dollars Net Operating I n<:ome 0.37 0.38 0.42 0.43 Reversion @ 11.0% Less Cost of Sales @ 3.0% Net Sales Proceeds Total Sources of Funds 0.37 0.38 0.42 0.43 Development Costs Inflation Assumptions I 1.06 1.09 1.13 1.16 I. 19 1.23 1.27 Number of Spaces 95 48 48 Development Costs -Annual % 0% 50% 50% 0% 0% 0% 0.0% Development Costs per space /1 $ 15,263 0.79 0.82 Total Development Costs $ $ 0.79 s 0.82 $ s s s NET CASH FLOW (before financing & taxes) 0.79 0.82 0.37 o.38 0.42 0.43 Cumulative Cash Flow 0.79 1.61) (1.24) (0.86) (0.44) (0.01) Nel Present Value@ 14.0% Sl.20 million 2003 dollars Notes: / I New development costs include direct costs, ofT-sile & on-site costs, indirect costs, and developer profit. /2 Included in development cost per space Source: Economics Research Associates CJ CJ CJ CJ C) CJ CJ 2008 2009 2010 2011 2012 2013 2014 2015 l'ea.t...8 Yu.rJ! YfatlO fuI..l..l fu.r.ll Ye.aLU futl4 Ycaill Expressed in Millions of US Dollars s 0.44 $ 0.46 s 0.47 s 0.49 $ 0.50 s 0.52 s 0.53 $ 0.55 5.00 0.15 s $ s $ s s s $ 4.85 s 0.44 $ 0.46 $ 0.47 $ 0.49 $ 0.50 $ 0.52 s 0.53 $ 5.40 I.JO 1.34 1.38 1.43 1.47 1.51 1.56 1.60 t 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% $ $ s s s $ 0.44 0.46 0.47 0.49 o.so O.S2 0.53 S.40 0.44 0.90 1.37 1.8S 2.36 2.87 3.41 8.80 C) CJ CJ CJ CJ CJ CJ CJ c=i Table 2.A.I CARI,SBAD BOULEVARD REALIGNMENT -Allcrnath·c 2, Land Use Scenario A PROFORMA CASH FLOW -PRELIMINARY RESIDUAL LAND Y ALUE (BEFORE TAXES & FINANCING) 2003 2004 2005 Yr. 2001 Yl:ar...l Yllr..l .fillr..J lnnation Factor 3% Value I 1.06 1.09 1.13 SOURCES AND USES OF FUNDS Net Snncres of Funds By I.and Ilse Executive Mtg. Hotel Nel Cash Flow (I 1.06) (11.40) Time Share pI.54) 2006 YcaU 1.16 2.82 9,24 CJ CJ 2007 2008 Tul.r..S filu:Ji 1.19 1.23 2.84 2.93 (2.72) 9.81 CJ CJ c:J CJ CJ c:) c=i 02-Oct-01 2009 20IO 2011 2012 2013 2014 2015 2016 2017 l'.w:.1 Ye.aLll Year..2 ~ .Yur.ll fuI:..l.2 Yw:.13. fi.lu:.lA fur_.15 1.27 1.30 1.34 1.38 1.43 1.47 1.51 1.56 1.60 I 3.02 3.11 3.21 3.31 3.41 3.52 3.63 3.74 41.24 IO.IO 10.40 1.07 Sub-total $ $ (I 1.06) $ (22.93) $ 12.06 $ 0.12 $ 12.74 $ 13.12 $ 13.52 $ 4.28 $ 3.31 s 3.41 $ 3.52 $ 3.63 $ 3.74 $ 41.24 Net Cash Flow After Developer Costs Is I s (I t.1)1 s (22.9)1 s 12.1 Is 0.1 Is 12.1 Is 13.1 Is 13.S IS 4.3 Is 3.31 s 3.4 1 $ 3.s Is 3.61 $ 3.71 $ 41.2 j Ne& eces1:nt l::'.:alue A.Dec De1:elopec Costs Net Present Value@ 14.0% $9.78 million US dollars Source: Economics Research Associates CJ CJ CJ CJ CJ CJ CJ CJ CJ CJ CJ CJ CJ CJ CJ c=J c=J c:::=J D CJ Table 2.A.2 CARLSBAD BOULEVARD REALIGNMENT-Allcrnatlvc 2, Parcel I, Land Use Scenario A FISCAL REVENUES 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 ~ fuu l'.caL1 ~ l:'.t.&LS fi.a.r..!i fia.t..1 Yur..ll Year..2 XutlQ l'.lltlJ. ~ YlltiJ Ylltl!I Tolr.1.5 Inflation Factor 3% I 1.06 1.09 1.13 1.16 1.19 1.2) 1.27 1.)0 1.34 1.38 1.4) 1.47 1.51 1.56 1.601 PROPERTY TAXES Expressed In MIiiions or US Dollars Lanll....l.Lm Executive Mtg. Hotel $ $ $ $ $ 0.28 $ 0.29 $ 0.29 $ 0.)0 $ 0.)0 $ 0.)1 $ 0.)2 $ 0.)2 s 0.)) $ 0.)4 $ 0.)4 Time Share $ $ $ $ $ 0.11 $ 0.22 $ 0.)4 $ 0.46 $ 0.59 $ 0.62 $ 0.6) $ 0.64 $ 0.65 $ 0.67 $ 0.68 Total Property Tax Increment $ $ $ $ $ 0.39 $ 0.51 $ 0.63 $ 0.76 s 0.90 $ 0.93 $ 0.95 $ 0.96 $. 0.98 $ 1.00 $ 1.02 City's Share 4, 75% or Property Taxes $ $ $ $ $ 0.02 $ 0.02 $ 0,03 $ 0.04 $ 0.04 $ 0.04 $ 0.04 $ 0.05 $ 0.05 $ 0.05 $ 0.05 RDA's Non-housing Share 60.00% or Property Taxes $ $ $ $ $ 0.2) $ 0.)0 $ 0.38 $ 0.46 $ 0.54 $ 0.56 $ 0.57 $ 0.58 $ 0.59 $ 0.60 $ 0.61 Expressed In Millions or US Dollars TRANSIENT OCCUPANCY TAXES Executive Mtg. Hotel $ $ $ $ 5.57 $ 6.18 $ 6.36 $ 6.55 $ 6.75 $ 6.95 $ 7.16 $ 7.38 $ 7.60 $ 7.8) s 8,06 $ 8.30 Transient Occupancy Tax @ 10.00% of Room Revenue $ $ $ s 0.56 $ 0.62 $ 0.64 $ 0.66 $ 0.68 $ 0.70 $ 0.72 $ 0.74 $ 0.76 $ 0.78 s 0.81 $ 0.83 Gross Fiscal Operating Income From TOT & Tl s s s s 0.56 s 0.87 $ 0.96 $ 1.06 s 1.17 s 1.28 $ 1.32 s 1.35 $ 1.38 s 1.42 s 1.46 s 1.49 SALES TAX REVENUE Food & Beverage & 50% of Other Hotel Revenues $ $ $ s 0.03 s 0,03 $ 0.03 $ 0.03 $ 0.04 s 0.04 $ 0.04 $ 0.04 $ 0.04 s 0.04 $ 0.04 $ 0.04 Total Sales Tax Revenue $ $ $ $ 0,03 $ 0.03 $ 0,03 $ 0.03 $ 0.04 s 0.04 $ 0.04 $ 0.04 $ 0.04 $ 0.04 s 0.04 $ 0.04 TOTAL FISCAL REVENUE Property Tax Revenue $ $ $ $ s 0.25 $ 0.33 $ 0.41 $ 0.49 $ 0.58 $ 0.60 $ 0.61 $ 0.62 s 0.64 $ 0.65 $ 0.66 Transienl Occupancy Tax Revenue $ $ $ $ 0.56 $ 0.62 $ 0.64 $ 0.66 s 0.68 $ 0.70 $ 0.72 $ 0.74 $ 0.76 $ 0.78 $ 0.81 $ 0.83 Sales Tax Revenue $ $ s $ 0.03 s 0.03 $ 0.03 $ 0,03 $ 0.04 $ 0.04 $ 0.04 $ 0.04 $ 0.04 s 0.04 $ 0.04 s 0.04 Total Fiscal Revenue $ $ $ $ 0.59 $ 0,90 $ 1.00 $ 1.10 $ 1.20 $ 1.31 $ 1.35 $ 1.39 s 1.42 $ 1.46 $ 1.50 $ 1.54 Sam:1:1::s o[ Enods FISCAL OPERA TING INCOME $ $ $ $ 0.59 $ 0.90 $ 1.00 $ 1.10 $ 1.20 $ 1.31 $ 1.35 $ 1.39 $ 1.42 $ 1.46 $ 1.50 s 1.54 Reversion@ 7% $ s s $ $ $ $ $ $ $ $ $ $ $ $ 23.64 Total Sources of Funds $ $ s s 0.59 $ 0.90 $ 1.00 s 1.10 s 1.20 $ 1.31 $ 1.35 $ 1.39 $ 1.42 $ 1.46 $ 1.50 $ 25.18 NET CASH FLOW Is Is Is Is o.s9 Is o.9o Is 1.00 Is 1.10 Is 1.20 Is 1.31 I s 1.3s I s 1.39 Is 1.42 Is 1.46 I s I.SO I S 25.18 I Net Present Value @l IO¾ Sil.SI million 2003 dollars Source: Economics Research Associales CJ CJ CJ CJ CJ CJ CJ CJ c:::J CJ CJ CJ c:::J CJ CJ CJ CJ C:=J CJ Table 2.A.3 CARLSBAD BOULEVARD REALIGNMENT-Alternnth·e 2, Parcel I, Lnnd Use Scenorio A ExecutiH Ml't!ling Hotel Operating Stalement 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Yr. 2001 Value Y£Jl1'...l :ua.c.l Tou:.l Y.oau fuJ.:..S l'ul:.6 l'.w:1 ~ Xu.r.2 l:'.wJJl YtllL.ll Yw:..ll ~ Yw:..li l'.<ar..lS Assumptions lnnation Factor 3% 1.06 1.09 1.13 1.16 1.19 1.23 1.27 1.30 1.34 1.38 1.43 1.47 1.51 1.56 1.60 Real Escalation 0% 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 llotl'I -Exec. C:our. Ctr. :\'umhcr of Rooms 150 0 0 0 150 150 150 150 150 ISO 150 150 ISO 150 150 150 Total Potenlial Number of Room nights 54,750 54,750 54,750 54,750 54,750 S4,750 S4,7SO 54,750 S4,750 S4,750 S4,7SO 54.750 Average Annual Occupancy Rate 0.0% 0.0% 0.0% 65.0% 70.0% 70.0% 70.0% 70.0% 70.0% 70.0% 70.0% 70.0% 70.0% 70.0% 70.0% Avg. Daily Rm. Rate Hotel 2 /1 $ 135 143 148 152 157 161 166 171 176 181 187 192 198 204 210 217 Operolinr Revenues Expressed In Millions or US Dollan Expressed In Millions or US Dollars Room Revenues s $ s $ 5.57 $ 6.18 s 6.36 $ 6.55 s 6.75 $ 6.95 $ 7.16 $ 7.)8 $ 7.60 $ 7.8) $ 8.06 $ 8.30 As% of Room Revenues Food & Beverage 45% 2.5] 2. 78 2.86 2.95 3.04 3.13 3.22 3.32 3.42 3.52 3.63 3.74 Other Revenues 15% 0.84 0.93 0.95 0.98 1.01 1.04 1.07 I.I I 1.14 1.17 1.21 1.25 Subtotal (Non-Room Revenues) 60% $ $ $ s 3.34 $ 3.71 s 3.82 s 3.93 $ 4.05 s 4.17 s 4.30 $ 4.43 $ 4.56 s 4.70 $ 4.84 s 4.98 Gross Revenues $ $ $ $ 8.91 $ 9.88 S 10.18 S 10.49 S 10.80 S 11.13 S 11.46 S 11.80 $ 12.16 S 12.52 S 12.90 s 13.28 D.tp_artmen1al Costs & Expenses As% of Departmental Revenues Rooms 25% 1.39 1.54 1.59 1.64 1.69 1.74 1.79 1.84 1.90 1.96 2.02 2.08 Food & Beverage 75% 1.88 2.09 2.15 2.21 2.28 2.35 2.42 2.49 2.56 2.64 2.72 2.80 Other Departments 50% 0.42 0.46 0.48 0.49 0.5 1 0.52 0.54 0.55 0.57 0.59 0.60 0.62 Total Departmental Expenses(% of Gross Revenues) 41% $ s $ $ 3.69 $ 4.09 s 4.22 s 4.34 $ 4.47 $ 4.61 $ 4.74 s 4.89 $ 5.03 s 5.18 s 5.34 s 5.50 Gross Openllng Revenues 59% $ s $ $ 5.22 $ 5.79 $ 5.97 $ 6.14 s 6.33 $ 6.52 s 6.71 s 6.92 s 7.12 s 7.34 s 7.56 s 7.78 Notes: /I Rate, after discounts, per occupied room. Source: Economics Research Associates CJ CJ CJ CJ c:::J c=i CJ CJ CJ CJ CJ CJ c=J C:=J c:=J CJ CJ CJ CJ Table 2,A.4 CARLSBAD BOULEVARD REALIGNMENT-Allernative 2, Parcel 1, Land Use Sc('nario A Executive Meeting Hotel Operating Statement 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Yr. 2001 Value fiar..1 Tou:..l YuL.l ~ YlaL5 l'.u.r..6 fuL1 l:'.caL.l! Yur..2 fiaLl!l Y<ar..11 fiar..12 fiaLU Yu.ill l'.u.c.l.S Expressed In Million5 of US Dollan Expre5sed in Millions or US Dollan Go>ss Operating Revenues 5.97 6.14 6.33 6.52 6.71 6,92 7.12 7.34 7.56 7.78 l!udisttibuted Qpenting Expenses As % of Revenue Administrative & General 5.0% $ $ $ $ 0.45 $ 0.49 $ 0.51 s 0.52 s 0.54 $ 0.56 $ 0.57 $ 0.59 s 0.61 $ 0.63 s 0.64 s 0.66 Management Fee 2.0% 0.18 0.20 0.20 0.21 0.22 0.22 0.23 0.24 0.24 0.25 0.26 0.27 Sales & Marketing 5.0% 0.45 0.49 0.51 0.52 0.54 0.56 0.57 0.59 0.61 0.63 0.64 0.66 Energy Costs 6.0% 0.53 0.59 0.61 0.63 0.65 0.67 0.69 0.71 0.73 0.75 0.77 0.80 Repairs & Maintenance 4.0% 0.36 0.40 0.41 0.42 0.43 0.45 0.46 0.47 0.49 0.50 0.52 0.53 Total 22.0% $ $ s $ 1.96 $ 2.17 $ 2.24 $ 2.3 I $ 2.38 $ 2.45 $ 2.52 $ 2.60 s 2.67 $ 2.75 $ 2.84 $ 2.92 Gross Operating Profit 36.6% S $ $ s 3.26 $ 3.62 s 3.73 $ 3.84 $ 3.95 s 4.07 $ 4.19 $ 4.32 $ 4.45 $ 4.58 $ 4.72 $ 4.86 Ei:ud E1pensu & Cauitol Costs Property Taxes fommla 0.28 0.29 0.29 0.30 0,30 0.31 0.32 0.32 0.33 0.34 0.34 Incentive Fee 2.0% 0.18 0.20 0.20 0.21 0.22 0.22 0.23 0.24 0.24 0.25 0.26 0.27 Insurance 1.0% 0.09 0.10 O.IO 0.10 0.1 I 0,11 0.11 0.12 0.12 0.13 0.13 0.13 Capital Reserve 2.0% 0.18 0.20 0.20 0.21 0.22 0.22 0.23 o .. i4 0.24 0.25 0.26 0.27 Total 5.0% 0.45 0.78 0.80 0.82 $ 0.84 $ 0,86 $ 0.88 $ 0.91 $ 0.93 $ 0.96 $ 0.98 $ 1.01 NET OPERA TING INCOME (ex. depr., Interest & tax) 2.82 2.84 2.93 3.02 3.11 3.21 3.31 3.41 3.S2 3.63 3.74 3.85 Source: Economics Research Associates CJ CJ CJ c=J CJ CJ CJ CJ CJ CJ C=:J CJ CJ CJ c:J CJ CJ CJ CJ Table 2.A.6 CARLSBAD BOULEVARD REALIGNMENT-Alternative 2, Parcel I, Land Use Scenario A Time Share 2003 2004 2005 2006 2007 2008 2009 20!0 2011 2012 2013 2014 2015 2016 2017 Yr. 2001 Value filu:J. .Yolll:..l l'.ilr..l fia.t.A Y<ar...5 l'.eal:Ji l.'.ea.r.1 Y.t.u..11 fiar..2 Year..J.11 XllL.11 Yoai:..ll fuLlJ. Yw:.ll Yw:...lS Assumptions Innation Factor 3% 1.06 1.09 1.13 1.16 1.19 1.23 1.27 1.30 1.34 1.38 1.43 1.47 1.51 1.56 1.60 Real Escalation 0% 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 Ti111e Share (Number of Hrwms) 100 0 0 0 50 50 100 100 100 100 100 100 100 100 100 100 Total Number of Intervals Available 2,550 2,550 5,100 5,100 5,100 5,100 5,100 5,100 5.100 5,100 5,100 5,100 Total Number of Intervals Sold Per Year 1,000 1,000 1,000 1,000 1,000 100 Cumulative Intervals Sold 1,000 2.000 3,000 4,000 5,000 5,100 5,100 5,100 5,100 5,100 5,100 5,100 Interval Sales Price $ 18,500 s 19.627 $20,215 $20,822 $21,447 $22,090 $22,753 $23,435 $24,138 $24,862 S25.608 $26,377 $27,168 $27,983 S28,822 $ 29,687 Sales Revenues Expressed in Millions of US Dollan Expressed in MIiiions of US Dollars Annual Sales Volume s $ $ $ 21.45 $ 22.09 $ 22.75 S 23.44 S 24.14 $ 2.49 $ $ $ $ $ s Cumulative Sales Volume 21.45 43.54 66.29 89.72 I 13.86 I 16.35 116.35 116.35 I 16.35 116.35 I 16.35 I 16.35 Cost of Sales Per Room Product Cost (excluding land coSI) /I $ 205,000 11.54 12.24 Gross Profit Before Land Costs s $ $(11.54) S 21.45 s 9.85 S 22.75 S 23.44 $ 24.14 $ 2.49 s s $ s s Cumulative Profit Before Land Costs (11.54) 9.91 19.76 42.51 65.95 90.09 92.57 92.57 92.57 92.57 92.57 92.57 92.57 Costs & Expenses/2 As% of Annual Gross Sales Commissions 22.0% $ $ $ $ 4.72 $ 4.86 $ 5.01 s 5.16 s 5.31 $ 0.55 $ s s $ s $ Marketing 22.0% 4.72 4.86 5.01 5.16 5.3 I 0.55 Sales Overhead 5.0% 1.07 1.10 1.14 1.17 1.21 0.12 Administration 7.0% 1.50 1.55 1.59 1.64 1.69 0.17 Acct./Legal/Counsulting 0.5% 0.1 I 0.11 0.1 I 0.12 0.12 0.01 Depreciation 0.3% 0.06 0.07 0.07 0.07 O.Q7 0.01 Other 0.1% 0.02 0.02 0.02 0.02 0.02 0.00 Total Cost & Expenses(% of Annual Gross Sales) 56.9% $ s s $ 12.20 S 12.57 $ 12.95 $ 13.33 $ 13. 73 $ 1.41 s s $ s s $ ~et Uu£1opmeot ~tofit (I 11ssl $ $ $(11.54) S 9.24 $ (2.72) S 9.81 S 10.10 $ 10.40 s 1.07 s $ $ $ s s Cumulative Cash Flow $ $ $(11.54) $ (2.29) $ (5.01) $ 4.80 $ 14.90 S 25.30 $ 26.37 $ 26.37 $ 26.37 $ 26.37 $ 26.37 S 26.37 $ 26.37 Net Present Value@ 15.0% S8.09 million 2003 dollars Notes: /I Development costs include allocated share of onsite/offsite costs. /2 Selling and marking expenses only. Operating expenses are covcre<l 100% by annual fees. Source: RCI Consulting, Inc.; and Economics Research Associates C:J CJ CJ CJ CJ CJ c=i c=J CJ Table 3.A.I CARLSBAD BOULEVARD REALIGNMENT-Alternati.-e 3, Land Use Scenario A PROFORMA CASH FLOW -PRELIMINARY RESIDUAL LAND VALUE (BEFORE TAXES & FINANCING) 2003 2004 2005 Yr. 2001 Yl:ac..l fu.r.l filu:..J. Inflation Factor 3% Value I 1.06 1.09 I. 13 SOURCES AND USES OF FUNDS Net Sources of Funds By I and Use Commercial Retail Cash Flow (2.95) (3.04) Office I (9.90) Time Share (17.30) Full Service Hotel (20.49) (21.10) Time Share 6A (6.92) Office 6B !1.71) 2006 1'll.r.A 1.16 1.74 1.59 9.24 5.55 6.93 0.30 Sub-total $ $ (23.44) $ (59.99) $ 25.36 CJ 2007 Yllc..S 1.19 2.13 1.84 9.52 5.60 7.43 0.36 $ 26.89 s Net Cash Flow After Developer Costs Is I s !23.4)1 s i6o.oll s 25.4 Is 26.9 Is ~el fce:seot Yahu~ A£tet lb:1::eloper Costs Net Present Value_@_ 14.0% $29.87 million 2003 dollars CJ CJ c=i CJ c=i CJ CJ CJ CJ 02-Oct-01 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 fiJu:..fi Y£.III:..1 Yw:JI Yl:a.r..2 ~ l'.ellLll fur.ll Yc.a.r..13 fu.t..14 Year..15 1.23 1.27 1.30 1.34 1.38 1.43 1.47 1.51 1.56 1.60 I 2.20 2.26 2.33 2.40 2.47 2.55 2.62 2.70 2.78 30.38 2.00 2.06 2. 13 2.19 2.25 2.32 2.39 2.46 2.54 27.97 (9.10) 10.10 10.40 10.72 I 1.04 5.77 5.95 6.14 6.33 6.52 6.72 6.93 7.15 7.37 81.27 0.38 0.39 0.40 0.41 0.42 0.44 0.45 0.46 0.48 5.24 1.25 S 20.77 $ 21.39 $ 22.04 S 22.71 $ 12.03 $ 12.40 $ 12.77 $ 13.16 $ 144.86 1.21 s 20.8 Is 21.4 ! S 22.0 I s 22.1 I $ 12.0 Is 12.4 ! S 12.8 Is 13.21 s 144.9 ! CJ CJ CJ CJ CJ CJ c=J CJ CJ CJ CJ CJ CJ CJ CJ CJ c=i CJ CJ Table 3.A.2 CARLSBAD BOULEVARD REALIGNMENT-Allernalive 3, Land Use Scenario A FISCAL REVENUES 2003 2004 200S 2006 2007 2008 2009 2010 2011 2012 2013 2014 201S 2016 2017 fiatl Yw:..2 Year..3. fuc.A YeJu:.S .Yc.aLJi .Yt:aJ:..1 Yw:...11 Ycad Yar..1Jl Yutl1 l'.il.c..l.2 .Yca.r..lJ l'.'.car..14 Yutl5 Jnnation Factor 3% I 1.06 1.09 1.13 1.16 1.19 1.23 1.27 1.30 1.34 1.38 1.43 1.47 1.5 1 1.56 160 I PROPERTY TAXES Expressed In Millions or US Dollars Lllllll..1J.w Commercial Retail $ $ s s $ 0.20 s 0.21 $ 0.22 $ 0.22 $ 0.22 s 0.23 $ 0.23 $ 0.24 $ 0.24 $ 0.25 $ 0.25 Office I s $ $ $ $ 0.18 $ 0.19 $ 0.20 $ 0.20 $ 0.21 s 0.21 $ 0.22 s 0.22 $ 0.23 s 0.23 $ 0.23 Time Share2 $ s $ $ $ 0.11 $ 0.22 $ 0.34 s 0.46 $ 0.59 $ 0.73 $ 0.87 s 0.89 $ 0.91 s 0.92 s 0.94 Full-Service Hotel $ $ s s s 0.55 $ 0.57 $ 0.58 $ 0.59 s 0.60 $ 0.61 $ 0.62 s 0.64 $ 0.65 s 0.66 $ 0.68 Time Share 6A s s $ $ s 0.09 $ 0.09 $ 0.09 s 0.09 s 0.09 s 0.10 $ 0.10 s 0.10 s 0.10 s 0.10 $ 0.11 Office 68 $ s $ s s 0.04 $ 0.04 $ 0.04 $ 0.04 $ 0.04 $ 0.04 $ 0.04 $ 0.04 $ 0.04 $ 0.04 $ 0.04 Total Property Tax Increment $ $ $ s s 1.17 $ 1.32 $ 1.46 $ 1.60 $ 1.76 $ 1.92 $ 2.08 $ 2.12 $ 2.17 $ 2.21 $ 2.25 City's Share 4.75% of Property Taxes $ s $ $ $ 0.06 s 0.06 s 0.07 s 0.08 $ 0.08 $ 0.09 s 0.10 s 0.10 s 0.10 s 0.10 $ 0.11 RD A's Non-housing Share 60.00% of Proper1y Taxes s $ $ $ s 0.70 $ 0.79 $ 0.87 s 0.96 s 1.05 $ 1.15 s 1.25 $ 1.27 $ 1.30 s 1.33 $ 1.35 Expressed In Millions of US Dollars TRANSIENT OCCUPANCY TAXES Full Service Hotel $ $ $ $ 10.31 $ 11.44 $ 11.78 S 12.14 $ 12.50 $ 12.88 $ 13.26 $ 13.66 $ 14.07 S 14.49 $ 14.93 $ 15.38 Transient Occupancy Tax@ 10.00% or Room Revenue $ s $ $ 1.03 $ 1.14 $ 1.18 $ 1.21 s 1.25 $ 1.29 $ 1.33 s 1.37 $ 1.41 s 1.45 $ 1.49 $ 1.54 Gross Fiscal Operating Income From TOT & Tl s s s s 1.03 s 1.90 s 2.03 s 2.16 s 2.29 s 2.42 s 2.57 s 2.71 s 2.78 s 2.8S s 2.92 s 3.00 SALES TAX REVENUE Retail Commercial s s $ $ 0.23 s 0.28 s 0.29 $ 0.30 $ 0.31 s 0.32 $ 0.33 s 0.34 $ 0.35 $ 0.36 $ 0.37 s 0.38 Food & Beverage & 50% of Other Hotel Revenues s s $ $ 0.07 s 0.08 $ 0.08 $ 0.08 $ 0.09 s 0.09 $ 0.09 $ 0.10 $ 0.10 $ 0.10 s 0.10 $ 0.11 Total Sales Tax Revenue $ s $ $ 0.30 $ 0.36 $ 0.37 $ 0.39 $ 0.40 $ 0.41 $ 0.42 $ 0.43 $ 0.45 $ 0.46 $ 0.47 $ 0.49 TOT A.L FISCAL REVENUE Property Tax Revenue $ s $ s s 0.76 $ 0.85 s 0.94 $ 1.04 $ 1.14 $ 1.24 s 1.35 s 1.38 $ 1.40 $ 1.43 s 1.46 Transient Occupancy Tax Revenue s s $ $ 1.03 $ 1.14 $ 1.18 s 1.21 $ 1.25 s 1.29 $ 1.33 ·s 1.37 s 1.41 $ 1.45 $ 1.49 $ 1.54 Sales Tax Revenue s s s s 0.30 $ 0.36 s 0.37 s 0.39 s 0.40 $ 0.41 $ 0.42 $ 0.43 s 0.45 s 0.46 $ 0.47 $ 0.49 Total Fiscal Revenue $ s $ $ 1.34 $ 2.26 $ 2.40 $ 2.54 s 2.69 $ 2.83 $ 2.99 $ 3.15 s 3.23 $ 3.31 $ 3.40 s 3.49 Sa11tcts a[ Enods FISCAL REVENUE $ s $ $ 1.34 $ 2.26 $ 2.40 $ 2.54 $ 2.69 $ 2.83 $ 2.99 $ 3.15 s 3.23 s 3.3 I $ 3.40 s 3.49 Reversion@ 7% s s $ $ s s s s $ s s s $ $ $ 53.62 Total Sources of funds s s $ $ 1.34 s 2.26 $ 2.40 $ 2.54 s 2.69 $ 2.83 $ 2.99 $ 3.15 s 3.23 s 3.31 $ 3.40 $ 57.11 NET CASH FLOW Is -Is Is -Is 1.34 I$ 2.26 Is 2.40 I s 2.54 ! S 2.69 ! S 2.83 I s 2.99 Is 3.15 ! S J.23 ! S 3.31 Is 3.40 Is s1.11 I Net Present Value@ 10% S26.2S million 2003 dollars Source: Economics Research Associates CJ CJ CJ CJ CJ CJ CJ CJ CJ c=J CJ CJ c=i CJ c=i CJ CJ c=i CJ Table 3.A.3 CARLSBAD BOULEVARD REALIGNMENT· Alternative 3, Parcel I, Land Use Scenario A Retail/Commercial: Operating Statement 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 futl Yl:Ju:.l fiu..J. Yta.r.A .Yi:JlLS l'cll.t...6 ~ .huJI Ytar..2 l'.l:lu:...lll. Yu.c..11 ~ YcaLll fu.c..11 YllL.l.S Inflation Factor 3% 1.09 1.13 1.16 1.19 1.23 1.27 1.30 1.34 1.38 1.43 1.47 1.51 1.56 1.60 Rental Escalation 0% 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 Cumulative Gross Lcasablc Area Comml·n·inl Retail 40,000 40,000 40,000 40,000 40,000 40,000 40,000 40,000 40,000 40,000 40,000 40,000 40,000 Restauranls 40,000 40,000 40,000 40,000 40,000 40,000 40,000 40,000 40,000 40,000 40,000 40,000 40,000 To1al 80,000 80,000 80,000 80,000 80,000 80,000 80,000 80,000 80,000 80,000 80,000 80,000 80,000 · Occupancy Rate Commercial l!c•tuil 0% 0% 0% 80% 95% 95% 95% 95% 95% 95% 95% 95% 95% 95% 95% Rl'sfaunrnts 0% 0% 0% 80% 95% 95% 95% 95% 95% 95% 95% 95% 95% 95% 95% Average NNN Base Rent Per s. f. Per Y r/1 US$ ( :011111,crcial Rt•lail $ 20.00 21.22 21.85 22.51 23.19 23.88 24.60 25.34 26.10 26.88 27.68 28.52 29.37 30.25 31.16 32.09 l{estaurnnts $ 30.00 31.83 32.78 33.77 34,78 35.82 36.90 38.00 39.14 40.32 41.53 42.77 44.06 45.38 46.74 48.14 Average Gross Sales Per Square Foot Per Year US$ Co1111m.•rcial Rt•lail $ 250.00 265 273 281 290 299 307 317 326 336 346 356 367 378 389 401 Restllurants $ 375.00 398 410 422 435 448 461 475 489 504 519 535 551 567 584 602 Expressed in MIilions or US Dollars Expressed In Millions or US Dollars Operating Revenues Base Rent Revenue $ $ $ $ 1.85 $ 2.27 $ 2.34 $ 2.41 $ 2.48 $ 2.55 $ 2.63 $ 2.71 $ 2.79 $ 2.87 $ 2.96 $ 3.05 Gross Revenues $ $ $ $ 1.85 $ 2.27 $ 2.34 $ 2.41 $ 2.48 $ 2.55 $ 2.63 $ 2.71 $ 2.79 $ 2.87 $ 2.96 $ 3.05 Operating Expenses % of Rev. Administrative & General 4.0% $ $ $ $ 0.07 $ 0.09 $ 0.09 $ 0.10 $ 0.10 $ 0.10 $ 0.11 $ 0.11 $ 0.11 $ 0.11 $ 0.12 $ 0.12 Sales & Marketing 2.0% 0.04 0.05 0.05 0.05 0.05 0.05 0.05 0.05 0.06 0.06 0.06 0.06 Total 6.0% $ $ $ $ 0.11 $ 0.14 $ 0.14 $ 0.14 $ 0.15 $ 0.15 $ 0.16 $ 0.16 $ 0.17 $ 0.17 $ 0.18 $ 0.18 NET OPERATING INCOME (ex. depr., interest & tax) $ $ $ $ 1.74 $ 2.13 $ 2.20 $ 2.26 $ 2.33 $ 2.40 $ 2.47 $ 2.55 $ 2.62 $ 2.70 S 2.78 S 2.87 Notes: /I Triple-net rent where tenant pays for pro-rata share of common area charges, insurance, property taxes, and utilities in addition to base rent. No rent for tenant improvements; tenants pay for improvements. Source: Economics Research Associates c:=J c::::::J c::::::J C=:J c::::::J c::::J c::::::J CJ c::::::J c::::J C3 CJ c:=J CJ c=J CJ CJ c=J CJ Table 3.A.4 CARLSBAD BOULEVARD REALIGNMENT -Alternative 3, Parcel I, Land Use Scenario A Retail/Commercial: Operating Statement 2003 2004 zoos 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 :hlll:.l Ycat..l fia.r..3. YH.L.4 YcllL!i filu:..6 YllL1 fuLll fi.ar.2. Ytlu:..lJl l'nc...11 Yl:B.r..ll l:n.r..1.1 l:.'.l:Ju:..H 1D.t..!S Suuc..::e:i o( Euods Expressed in Millions or US Dollars Expressed in Millions of US Dollars Net Operating Income $ $ $ $ 1.74 $ 2.13 $ 2.20 $ 2.26 $ 2.33 $ 2.40 $ 2.47 $ 2.55 $ 2.62 $ 2.70 $ 2.78 $ 2.87 Reversion@ 10.0% $28.66 Less Cost of Sales@ 4.0% $ 1.15 Net Sale Proceeds $ $ $ $ $ $ $ $ $ $ $ $ $ $ $27.51 Total Sources of Funds $ $ $ $ 1.74 $ 2.13 $ 2.20 $ 2.26 $ 2.33 $ 2.40 $ 2.47 $ 2.55 $ 2.62 $ 2.70 $ 2.78 $30.38 DcYclopmeot Costs Gross Leasable Area (s.f.) 80,000 40,000 40,000 Inflation Assumptions I 1.06 1.09 1.13 1.16 1.19 1.23 1.27 1.30 1.34 1.38 1.43 1.47 1.51 1.56 1.60 I Comnu:rcial Rct:iil 0.0% 50.0% 50.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% Restaurants 0.0% 50.0% 50.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% New Development Costs/2 $ 135.00 per sf $ $ 2.95 $ 3.04 $ $ $ $ $ $ $ $ $ $ $ -$ Total Development Costs 2.95 3.04 NET CASH FLOW (before financing & taxes) 2.9S 3.04 1.74 2.13 2.20 2.26 2.33 2.40 2.47 2.55 2.62 2.70 2.78 30.38 CUMULATIVE CASH FLOW 2.95 5.99 4.25 2.11 0.08 2.35 4.68 7.08 9.55 12.10 14.72 17.42 20.20 50.S8 Residual Land Value= Net Present Value@ 14.0% SS.28 million 2003 dollars Notes: /1 New development costs, include direct costs, indirect costs, and developer profit. Source: Economics Research Associates CJ c=i c=J c=i c=J c=i c.:J c=i Table 3.A.5 CARLSBAD BOULEVARD REALIGN1'-1ENT-Alternati\'e 3, Parcel 11 Land Use ~cenario A Office Operating Statement lnnation Factor Rental Escalation ()nice Total Cl.!\ Average Annual Occupancy Rate Occupied Space A,•ernge NNN Rent Per s.f.. Per Year New Yr. 2001 Va\!!!:_ 3% 0% 80,000 80,000 22.80 2003 2004 Y<a.r.1 fiu.l 1.06 1.09 1.00 1.00 0% 0% $ 24.19 $ 24.91 c:J 2005 2006 '.uat..l Ytau 1.13 1.16 1.00 1.00 80,000 80,000 0% 80% 64,000 $ 25.66 S 26.43 CJ C=:J c=i 2007 2008 2009 2010 fu.t..S fiacii Y£u.1 l.'£.u..ll 1.19 1.23 1.27 I.JO 1.00 1.00 1.00 1.00 80,000 80,000 80,000 80,000 80,000 80,000 80,000 80,000 90% 95% 95% 95% 72,000 76,000 76,000 76,000 s 27.22 $ 28.04 $ 28.88 $ 29.75 c=i CJ C:::J CJ [=3 2011 2012 2013 2014 2015 . 2016 2017 Y.atl YtatlJI l'.'.nill Y.u..12 Yw:.U l:'.ll.r..14 Ync..15 1.34 1.38 1.43 1.47 1.51 1.56 1.60 1.00 1.00 1.00 1.00 1.00 1.00 1.00 80,000 80,000 80.000 80,000 80,000 80,000 80,000 80,000 80,000 80,000 80,000 80,000 80,000 80,000 95% 95% 95% 95% 95% 95% 95% 76,000 76,000 76,000 76,000 76,000 76,000 76.000 $ 30.64 $ 31.56 s 32.51 s 33.48 s 34.49 $ 35.52 $ )6.59 Expressed In MIiiions or US Dollan Expressed In MUHons of US Dollars Gross Revenues Operating Expenses Administralive & General Sales & Marketing Total NET OPERATING INCOME (ex. depr., Interest & tax) Notes: % of Rev. 4.0% s s s 1.69 s 1.96 0.07 0.08 s 2.1) s 2.20 $ 2.26 0.09 0.09 0.09 2.0% V.VJ VoV"'T U.V"'T V ,V-, V,VJ n n, nn, nn, nn.t n n< 6.0% 0.10 $ 0.12 s 0.13 s O.IJ $ 0.14 $ s 1.59 s 1.84 s 2.00 s 2.06 s 2.13 s 2.3) s 2.40 $ 2.47 0.09 0.10 0.10 n n< 0.05 0.05 s 0.14 s 0.14 $ 0.15 s 2.19 s 2.25 s 2.32 /I Triple.net renl where tenant pays for pro~rata share of common area charges, insurance, property taxes, and utilities in addition 10 base rent. No rent for tenant improvements; tenants pay for improvements. Source: Economics Research Associates $ 2.54 $ 2.62 s 2.70 s 2.78 O.IO 0.10 0.11 0.11 0.05 0.05 0.05 0.06 $ 0.15 s 0.16 s 0.16 $ 0.17 s 2.39 s 2.46 s 2.54 s 2.61 CJ c=J CJ c=J c=i c=J c=J CJ c:=i c::J c=J CJ c::J CJ c::=:J c=i CJ c:::J c=i c=i CJ Table 3.A.7 CARLSBAD BOULEVARD REALIGNMENT-Alternative 3, Parcel 2, Land Use Scennrio A Time Share 2003 2004 200S 2006 2007 2008 2009 2010 2011 2012 2013 2014 201S 2016 2017 Yr. 200 I Value YllLl Ytu..l l'.e.u..l Yw:..i fiac..S. fiatJi l'.lld Xw:.B ~ l'.eatl.11 l'..eac..ll Xtatll Yen.ll l'.w:.M YtaLl5 Assumptions Inflation Factor 3% 1.06 1.09 1.13 1.16 1.19 1.23 1.27 1.30 1.34 1.38 1.43 1.47 1.5 1 1.56 1.60 Real Escalation 0% 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 i\umhcr or Hooms 150 0 0 0 75 75 75 150 150 150 150 150 150 150 150 150 Total Number of Intervals Available 3,825 3,825 3,825 7,650 7,650 7,650 7,650 7,650 7,650 7,650 7,650 7,650 Total Number of Intervals Sold Per Year 1,000 1,000 1,000 1,000 1.000 1.000 1,000 Cumulative Intervals Sold 1,000 2,000 3.000 4.000 5,000 6,000 7,000 650 650 650 650 650 Interval Sales Price $ 18,500 $ 19,627 $20,215 $20,822 $21,447 $22,090 S22,753 $23,435 $24,138 $24,862 $25,608 $26,377 $27,168 $27,983 $28,822 $ 29.687 Sales Revenues Expressed In Millions or US Dollars Expressed in Millions or US Dollars Annual Sales Volume $ s $ $ 21.45 S 22.09 $ 22.75 $ 23.44 $ 24.14 $ 24.86 S 25.61 s $ s $ Cumulative Sales Volume 21.45 43.54 66.29 89.72 I 13.86 138.73 164.33 164.33 164.33 164.33 164.33 164.33 Cost of Sales Per Room Product Cost (excluding land cost) /I s 205,000 17.30 18.9 1 Gross Profit Before Land Costs $ s $(17.30) S 21.45 $ 22.09 s 3.84 $ 23.44 $ 24.14 S 24.86 S 25.61 $ $ $ s $ Cumulative Profit Before Land Costs (17.30) 4.14 26.23 30.08 53.51 77.65 102.51 128.12 128.12 128.12 128.12 128.12 128.12 Cosh & Expeoses/2 As% of Annual Gross Sales Commissions 22.0% S s s s 4.72 $ 4.86 s 5.01 $ 5.16 s 5.31 $ 5.47 s 5.63 s $ $ s Marketing 22.0% 4.72 4.86 5.01 5.16 5.31 5.41 5.63 Sales Overhead 5.0% 1.07 I.IO 1.14 1.17 1.21 1.24 1.28 Administration 7.0% 1.50 1.55 1.59 1.64 1.69 1.74 1.79 Acct./Legal/Counsulting 0.5% 0.11 0,1 I 0.11 0.12 0.12 0.12 0.13 Depreciation 0.3% 0.06 0.D7 0.07 O.Q7 0.07 0.07 0.08 Other 0.1% 0.02 0.02 0.02 0.02 0.02 0,02 0.03 Total Cost & Expenses (% of Annual Gross Sales) 56.9% S s $ $ 12.20 S 12.57 S 12.95 $ 13.33 $ 13.73 $ 14.15 $ 14.57 $ $ s $ $ !Sel Duclopmeot ecom (I ass) $ $ $(17.30) $ 9.24 $ 9.52 S (9.10) $ IO.IO $ I 0.40 $ l0.72 $ I 1.04 $ $ s $ $ Cumulative Cash Flow $ s S (17.30) S (8.06) $ 1.46 $ (7.64) S 2.46 S 12.86 $ 23.58 $ 34.61 $ 34.61 S 34.61 $ 34.61 $ 34.61 $ 34.61 Net Pl"esent Value@ 15.0% 57.68 million 2003 dollars Noles: /1 Development costs include allocated share of onsite/ofTsite costs. /2 Selling and marking expenses only. Operating expenses are covered 100% by annual fees. Source: RCI Consulting, Inc.; and Economics Research Associates CJ c::J c::=i c=J CJ CJ ~ c=i Table 3.A.8 CARLSBAD BOULEVARD REALIGNMENT-Alternative 3, Parcel 3, Land Use Scenario A Full Service Hotel 2003 Yr. 2001 Value fiar..l AssumptiOns Inflation Factor 3% 1.06 Real Escalation 0% 1.00 llPlJ 1.5 (llotd 2 -E.Hl". C1mf. Cir.) Numhl•r of Rooms 300 0 Total Potential Number of Room nights Average Annual Occupancy Rate 0.0% Avg. Daily Rm. Rate Hotel 2 /1 $ 125 133 Operating Revenues Room Revenues $ As % of Room Revenues Food & Beverage 55% Other Revenues 30% Subtotal (Non-Room Revenues) 85% $ Gross Revenues $ D .. epa.rJmental Co:sts & Expenses As % of Departmental Revenues Rooms 25% Food & Beverage 75% Other Departments 50% Total Departmental Expenses(% of Gross Revenues) 44% S Gross Operating Revenues 56% $ Notes: / I Rate, aller discounts, per occupied room. Source: Economics Research Associates $ $ $ $ $ CJ [ 7 c=J CJ 2004 2005 2006 2007 2008 2009 fiar...2 l'.£al:..J. fiar.A fi.a.r..S Yo.ar.11 Yw:J: 1.09 1.13 1.16 1.19 1.23 1.27 1.00 1.00 1.00 I.DO 1.00 1.00 0 0 300 300 300 300 109,500 109,500 109,500 109,500 0.0% 0.0% 65.0% 70.0% 70.0% 70.0% 137 141 145 149 154 158 Expressed In MIiiions of US Dollan s S 10.31 S 11.44 S 11.78 S 12.14 5.67 6.29 6.48 6.68 3.09 3.43 3.54 3.64 $ $ 8.77 $ 9.72 $ 10.02 $ 10.32 $ S 19.08 $ 21.16 $ 21.80 S 22.45 2.58 2.86 2.95 3.03 4.25 4.72 4.86 5.01 1.55 1.72 1.77 1.82 $ $ 8.38 $ 9.30 s 9.57 $ 9.86 $ $ 10.70 $ 11.87 $ 12.23 $ 12.59 c:J c:=J C=:J C:=J CJ c=J CJ 2010 2011 2012 2013 2014 2015 2016 2017 l:'.ea.cJ! Yi:.u..2 Ycatl1I har..11 l'.w:..12. fiatl.1 l:'..oa.c..li l'.il.c..1.5. 1.30 1.34 1.38 1.43 1.47 I.SI 1.56 1.60 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 300 300 300 300 300 300 300 300 109,500 109,500 109,500 109,500 I 09,500 109,500 109,500 109.500 70.0% 70.0% 70.0% 70.0% 70.0% 70.0% 70.0% 70.0% 163 168 173 178 184 189 195 201 Expressed in MIiiions of US Dollan $ 12.50 S 12.88 $ 13.26 $ 13.66 S 14.07 $ 14.49 $ 14.93 $ 15.38 6.88 7.08 7.29 7.51 7.74 7.97 8.21 8.46 3.75 3.86 3.98 4.10 4.22 4.35 4.48 4.61 $ 10.63 $ 10.94 $ 11.27 $ 11.61 $ 11.96 $ 12.32 $ 12.69 . S 13.07 $ 23.13 $ 23.82 $ 24.54 $ 25.27 $ 26.03 $ 26.81 $ 27.62 $ 28.44 3.13 3.22 3.32 3.42 3.52 3.62 3.73 3.84 5.16 5.31 5.47 5.63 5.80 5.98 6.16 6.34 1.88 1.93 1.99 2.05 2.11 2.17 2.24 2.31 $ 10.16 $ 10.46 $ 10.78 $ 11.10 $ 11.43 $ 11.78 $ 12.13 $ 12.49 $ 12.97 $ 13.36 $ 13.76 $ 14.17 S 14.60 S 15.04 $ 15.49 $ 15.95 CJ D D D D D D D D D D D D D D D D D D Tnblc 3.A.9 CARLSBAD BOULEVARD REALIGNMENT. Alternati\'e 3. Parcel 3, Land Use Scenario A Full Service Hotel 2003 2004 2005 2006 2007 2008 2009 20!0 2011 2012 2013 2014 2015 2016 2017 Yr. 2001 Value l'.w:.l l'..w:..l fuc.l .fiau Xtar..S ~ Yw:.1 fiar.ll YrllL2 l'.liLlll l'.w:.ll fur.ll fur..ll Yw:.li l'.w:.L5 Expr-essed in Millions or US Dollars E:11:pressed ln Millions or US Dollars Gross Qper.ating Revenues 12.23 12.59 12.97 13.36 13.76 14.17 14.60 15.04 15.49 15.95 I lodisldbu&ed QpccaUog Expenses As% of Revenue Administrative & General 5.0% S s $ s 0.95 s 1.06 $ 1.09 s 1.12 $ 1.16 s 1.19 $ 1.23 $ 1.26 s 1.30 s 1.34 $ 1.38 s 1.42 Management Fee 2.0% 0.38 0.42 0.44 0.45 0.46 0.48 0.49 0.51 0.52 0.54 0.55 0.57 Sales & Marketing 5.0% 0.95 1.06 1.09 1.12 1.16 1.19 1.23 1.26 1.30 1.34 1.38 1.42 Energy Costs 6.0% 1.14 1.27 1.3 I 1.35 1.39 1.43 1.47 1.52 1.56 1.61 1.66 1.71 Repairs & Maintenance 4.0% 0.76 0.85 0,87 0.90 0.93 0.95 0.98 1.01 1.04 1.07 1.10 1.14 Total 22.0% $ $ s $ 4.20 $ 4.66 s 4.80 s 4.94 s 5.09 $ 5.24 s 5.40 s 5.56 $ 5.73 $ 5.90 $ 6.08 s 6.26 Gross Operating_fmfit 34.1% $ $ $ $ 6.50 s 7.21 s 7.43 s 7.65 $ 7.88 s 8.12 s 8.36 s 8.61 $ 8.87 $ 9.14 $ 9.41 $ 9.69 Ein:d Euu:oses & Cagital Casts Property Taxes (based on I% of prior year capitalized value) fommla 0.55 0.57 0.58 0.59 0.60 0.61 0.62 0.64 0.65 0.66 0.68 Incentive Fee 2.0% 0.38 0.42 0.44 0.45 0.46 0.48 0.49 0.51 0.52 0.54 0.55 0.57 Insurance 1.0% 0.19 0.21 0.22 0.22 0.23 0.24 0.25 0.25 0.26 0.27 0.28 0.28 Capital Reserve 2.0% 0.38 0.42 0.44 0.45 0.46 0.48 0.49 0.51 0.52 0.54 0.55 0.57· Total 5.0% 0.95 1.61 1.66 1.70 s 1.75 $ 1.79 s 1.84 $ 1.89 s 1.94 $ 1.99 $ 2.04 s 2.10 NET OPERA TING INCOME (ex. depr., lnlerest & tax) 5.55 5.60 5.77 5.95 6.14 6.33 6.52 6.72 6.93 7.15 7.37 7.60 Source: Economics Research Associates CJ CJ c::J c=J CJ CJ c.::J CJ CJ CJ c::J CJ CJ CJ c:=i c=J c=i CJ CJ Table 3.A.11 CARLSBAD BOULEY ARD REALIGNMENT -Alternati,·e 3, Parcel 6A, Land Use Scenario A Time Share 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Yr. 2001 Value Tou:..l Y<llL2 fiu..J Yciu:.A Yl:a.L5 Y<B.r..6 fillL1 Y.ear..11 fillL2 Ycac.JJl Yu.c..l.l YllLU YeJu:JJ Y<.al:J.!I Y<aLLS Assumptions Inflation Factor 3% 1.06 1.09 1.13 1.16 1.19 1.23 1.27 1.30 1.34 1.38 1.43 1.47 1.51 1.56 1.60 Real Escalation 0% 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 Time Shal'c Honms 30 0 0 0 30 30 30 30 30 30 30 30 30 30 30 30 Total Number of Intervals Available 1,530 1.530 1,530 1,530 1,530 1.530 1,530 1.530 1.530 1,530 1,53(1 1,530 Total Number of Intervals Sold Per Year 750 780 Cumulative Intervals Sold 750 1.530 1.530 1.530 1,530 1,530 1,530 1,530 1.530 1.530 I .530 1.530 Interval Sales Price $ 18,500 s 19,627 $20.215 $20.822 $21,447 $22,090 S22,753 $23,435 $24, I 38 $24.862 $25.608 $26,377 $27.168 $27,983 $28,822 $ 29,687 Sales Revenues Expressed in MIiiions of US Dollar,; Expressed In Millions or US Dollars Annual Sales Volume $ s $ $ 16.08 $ 17.23 $ s s $ $ $ s $ $ Cumulative Sales Volume 16.08 33.32 33.32 33.32 33.32 33.32 33.32 33.32 33.32 33.32 33.32 33.32 Cost of Snles Per Room Product Cost (excluding land cost) /I $ 205,000 6.92 Gross Profit Before Land Costs $ $ $ (6.92) $ 16.08 S 17.23 $ $ $ $ s s s s $ $ Cumulative Profit Before Land Costs (6.92) 9.16 26.39 26.39 26.39 26.39 26.39 26.39 26.39 26.39 26.39 26.39 26.39 Coses & E1penses'2 As% of Annual Gross Sales Commissions 22.0% $ $ $ $ 3.54 $ 3.79 $ $ $ $ $ Marketing 22.0% 3.54 3.79 Sales Overhead 5.0% 0.80 0.86 Administration 7.0% 1.13 1.21 Acct./Legal/Counsulting 0.5% 0.08 0.09 Depreciation 0.3% 0.05 0.05 Other 0.1% 0,02 0.02 Total Cost & Expenses(% of Annual Gross Sales) 56.9% $ $ $ $ 9.15 $ 9.80 $ $ $ $ $ $ $ $ $ Nn.J!J?velopment Profit (l◄oss) 43% $ $ S (6.92) S 6.93 $ 7.43 $ $ $ $ $ $ $ $ $ $ Cumulative Cash Flow $ $ S (6.92) $ 0.01 $ 7.44 $ 7.44 $ 7.44 $ 7.44 $ 7.44 $ 7.44 $ 7.44 $ 7.44 $ 7.44 $ 7.44 $ 7.44 Net Present Value@ 15.0% $3. IO million 2003 dollars Notes: /I Development costs include allocated share of onsite/ofTsite costs. /2 Selling and marking expenses only. Operating expenses are covered 100% by annual fees. Source: RCI Consulting, Inc.; and Economics Research Associates c=J CJ CJ CJ CJ c::::J c=i Tnbk3.A.12 CARLSBAD BOULEVARD REALICNr\lENT • Alll'rnalin J, Parcel 6B, Land UJe Scl'nario A ornce Operating Stal<"mcnl CJ CJ c:::J CJ CJ C=:J CJ CJ c:J 2003 2004 2005 2006 2007 2008 1009 2010 2011 2012 2013 2014 2015 2016 2017 Yr.2001Va~ l:'.uL1 Yui:..2 Yw:.J hu:..4 .l:'.w:..5 YurJi l:'.u.t.1 Yur..B Yu.tl l:'.uL.1.11 Yw:..ll }'.nr..1.2 l:'.uLll :k'.nLL4 hu..l5 InO:uion Factor Rental Escalation ()flin· Tu1111c;1.,\ Average Annual Occupancy Rate Occupied Space A veragc NNN Rcnl Per s.f.. Per Y car New 3% 1.06 1.09 1.13 l.lfi 1.19 1.23 1.27 I.JO 1.)4 1.38 0% 1.00 1.00 1.00 1.00 I.DO 1.00 I.DO 1.00 I.DO 1.00 15,000 15,000 15,000 15.000 15.000 15,000 15 000 15.000 15,000 15,000 15,000 15,000 15,000 15,000 15,000 15,000 0% 0% 0% RO% 95% Q5% 95% 95% 95% 95% 12,000 14,250 14,250 14,150 14,250 14,250 14.250 22,80 5 24.19 S 2<.91 $ 25.66 $ 26.4) $ 27.22 S 2R,O<I S 28.R8 S 29.75 $ J0.64 S Jl.56 E1pressed In Mllllon1 of US Dollars 1.4] 1.47 l.51 1.56 1.00 I.DO I.DO 1.00 15,000 15 000 15 000 15,000 15,000 15,000 15,000 15,000 95"1,, 95"!., 95% 95% 14,250 14,250 14.250 14,250 32.5 I $ 3J.4R S JH9 S 35.52 E1prened In MIiiion, of US Dollars GroSI Revenues S 0.)2 S 0.)9 S 0.40 0.4 I S 0,42 S 0.44 S 0.45 S 0.46 S 0.48 S 0.49 S 0.51 f)pcratinli,l t·1pensrs Administrative & General Sales & Marketing Total NET OPERATING INCOME (n. dtpr., lnterl!st & ta:x) Noles: %ofRev. 4.0% 2.0% 6.0% S 0.01 0.01 S 0.02 S 0.30 0.02 0.02 0,01 O.DI s 0.02 s 0.02 $ 0J6 s O.J8 0.02 0.02 0.02 0,02 0,02 0.01 0,01 0.01 0,01 O.o! s 0.02 s O.oJ s 0,0) s 0.03 s 0.03 s 0.39 $ 0.40 s 0.41 $ 0.42 s 0,44 /I Triple-net renl where tenant pays for pro-rata share of common area charges, insurance, property taxes, and utilities in addition to base rent. No rent for tenant improvements; tenants pay for improvements. Source: Economics Research Associates Tahlc J.A.IJ CARI.SHAD ROUI.F.VARD REALIGNMENT. Allem.etlve 3, P■ rccl 69, L■nd Use Scenario A (IIEFOI\E TAXES & FINANCING) OfnC"e Operatin~ Staccmenl 0.02 0,02 0.02 O.ol 0.01 0.0] s 0.03 s 0.03 s 0.03 s 0.45 s 0.◄6 s 0.48 s s 1.60 1.00 15/X){) 15,000 95% 14,150 36.59 0.52 0.02 0.01 O.QJ 0.49 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Yr. 2001 Value l:'.uL1 Yui:..2 Yw:.J l'.uu fuL5 YurJi Ytat:.2 Yur..B Yu.tl l:'.uL.1.11 Yw:..ll }'.nr..1.2 l'.w:..ll :k'.nLL4 Yuill Sourer, or Funcls E:1preued In MIiiions of US Doll■n Expressed In Mllllons of US Dollan NC"C Operating Income s s s s O.JO s 0.36 s 0.38 s 0.39 s 0.40 s 0.41 s 0.42 s 0.44 s 0.45 s 0,46 s 0.48 s 0.49 Reversion@ 10.0% 4.90 Less Cost of Sales @ 3.0% 0.15 Net Sale Proceeds s s s s s s s s s s s s s s s 4.75 Tolal Sources of Funds s s. s s 0.30 s 0.36 s 0.38 $ 0.39 s 0.40 s 0.41 s 0,42 s 0.44 s 0.45 s 0.46 s 0.48 s 5.24 Drvrlnpmcnt Cous lnn:1.1ion Assumptions 1.06 1.09 1.13 1.16 1.19 1.23 l.27 1.30 1.34 1.38 1.4) 1.47 1..51 1.56 1.60 Gross Lcasablc Area New 15,000 15,000 15,000 ll,000 15,000 15.000 15,000 15,000 1.5,000 15.000 15,000 15,000 ll.000 Development Costs Annual % New O¾ 0% 100% 0% New Developmcnl Costs S 101.44 per sf s s s 1.71 Total Dcvelopmenl Costs s s s 1.71 NET CASH FLOW (before financing & lases) 1.71 0.30 0J6 0.38 0J9 0.40 0.41 0.42 0.44 0.45 0.46 0.48 5.24 CUMULATIVE CASH FLOW 1.71 1.41 I.OS 0.67 0.29 0.11 O.Sl 0,94 1.38 1.83 2.29 2.77 8.01 Rrsldual Land Value-Ne1 Presrnl Value_@ 14.00/U Sl.01 million 2003 dollars Noles: II New devclopmcnl costs include din:cl costs, indirect costs, 11,nd developer profit. Source: Economics Research Associa1es c:=i c=i CJ CJ CJ c::::J c=J ~ c:J CJ CJ CJ Table 4.A.I CARLSBAD BOULEVARD REALIGNMENT-Alternative 4, Parcel I, Land Use Scenario A PROFORMA CASH FLOW -PRELIMINARY RESIDUAL LAND VALUE (BEFORE TAXES & FINANCING) 2003 2004 2005 Yr. 2001 fu.r...l fiai:.Z .Yw:..J Inflation Factor 3% Value I 1.06 1.09 1.13 SOURCES AND USES OF FUNDS Net Sources or Funds By Land Use Executive Mtg. Hotel Net Cash Flow (I 1.06) (11.40) Commercial Retail Cash Flow (3.32) (3.42) Time Share p7.30) 2006 l'.w:.A 1.16 2.82 1.96 9.24 c:J CJ 2007 2008 l'llr...S TolrJi 1.19 1.23 2.84 2.93 2.40 2.47 9.52 (9.10) CJ CJ CJ CJ CJ c=i C=1 02-Oct-0I 2009 2010 2011 2012 2013 2014 2015 2016 2017 Yw:..1 fin..ll Yw:...2 fur...1ll fu.r...ll fuLl2 fur..1.1 fuill ~ 1.27 1.30 1.34 1.38 1.43 1.47 I.SI 1.56 1.60 I 3.02 3.12 3.21 3.31 3.42 3.52 3.63 3.74 41.27 2.55 2.62 2.70 2.78 2.86 2.95 3.o4 3.13 34.18 10.10 I 0.40 10.72 11.04 7.39 Sub-total $ $ (14.38) $ (32.12) $ 14.02 $ 14.76 $ (3.70) $ 15.67 $ 16.14 $ 16.63 $ 17.13 $ 13.67 $ 6.47 $ 6.67 $ 6.87 $ 75.45 Net Cash Flow Arter Developer Costs Is I s i14.4ll s p2.1il s 14.o Is 14.8 1 $ l3·7ll $ 1s.1 Is 16.1 Is 16.61 s 11.1 I s 13.71 s 6.s Is 6.71 $ 6.9 Is 1s.s I ~et ensent Yalue ACter Del'.'.eloper Costs Net Present Value.@_ 14.0% SZ0.65 million 2003 dollars CJ CJ CJ CJ CJ CJ c=i CJ CJ CJ CJ CJ CJ CJ CJ CJ CJ CJ CJ CJ Table 4.A.2 CARLSBAD BOULEVARD REALIGNMENT-Alternative 4, Parcel I, Land Use Scenario A FISCAL REVENUES 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Xw:..l fiar.l i'.J:ar...1 l'ca.t.j l:'.c.aL5 Yw:.Ji Yn.r..1 Yw:..l! Yw:..2 Yllr._1.J) Yill:..11 fur..12 Yrn:..lJ. fu.t..1.4 l'.'.ear:..15 lnnation Factor 3% I 1.06 1.09 1.13 1.16 1.19 1.23 1.27 1.30 1.34 1.38 1.43 1.47 1.51 1.56 1.60 I PROPERTY TAXES Expressed In Millions of US Dollars Larul.l.L= Executive Mtg. Hotel $ $ $ $ $ 0.28 $ 0.28 $ 0.29 $ 0.30 $ 0.30 $ 0.31 $ 0.31 $ 0.32 $ 0.33 $ 0.33 $ 0.34 Commercial Retail $ $ $ $ $ 0.23 $ 0.24 $ 0.24 $ 0.25 $ 0.25 $ 0.26 $ 0.26 $ 0.27 $ 0.27 $ 0.28 $ 0.28 Time Share $ $ $ $ $ 0.11 $ 0.22 $ 0.34 $ 0.46 $ 0.59 $ 0.73 $ 0.87 $ 0.97 $ 0.99 $ 1.01 $ 1.03 Total Property Tax Increment $ $ $ $ $ 0.62 $ 0.74 $ 0.87 $ 1.00 $ I.IS $ 1.29 $ 1.45 $ 1.56 $ 1.59 $ 1.62 $ 1.66 City's Share 4. 75% of Property Taxes $ $ $ $ $ 0.03 $ 0.04 $ 0.04 $ 0.05 $ 0.05 $ 0.06 $ 0.07 $ 0.07 $ 0.08 $ 0.08 $ 0.08 RDA 's Non-housing Share 60.00% of Property Taxes $ $ $ $ $ 0.37 $ 0.44 $ 0.52 $ 0.60 $ 0.69 $ 0.78 $ 0.87 $ 0.94 $ 0.96 $ 0.97 $ 0.99 Expressed In Millions or US Dollars TRANSIENT OCCUPANCY TAXES Executive Mtg. Hotel $ $ $ $ 5.57 $ 6.18 $ 6.36 $ 6.55 $ 6.75 $ 6.95 $ 7.16 $ 7.38 $ 7 .. 60 $ 7.83 $ 8.06 $ 8.30 Transient Occupancy Tax @ 10.00o/o or Room Revenue $ $ $ $ 0.56 $ 0.62 $ 0,64 $ 0.66 $ 0,68 $ 0.70 $ 0.72 $ 0.74 $ 0.76 $ 0.78 $ 0.81 $ 0.83 Gross Fiscal Operating Income From TOT & Tl s s s s 0,56 s 1.02 s 1.12 s 1.22 s 1.33 s 1.44 s 1.55 s 1.67 s 1.77 s 1.81 s 1.86 s 1.90 SALES TAX REVENUE Retail Commercial $ $ $ $ 0,26 $ 0.32 $ 0.33 $ 0.34 $ 0.35 $ 0.36 $ 0.37 $ 0.38 $ 0.39 $ 0.40 $ 0.42 $ 0.43 Food & Beverage & 50% of Other Hotel Revenues $ $ $ $ 0.03 $ 0.03 $ 0.03 $ 0.03 $ 0.04 $ 0.04 $ 0.04 $ 0,04 $ 0.04 $ 0.04 $ 0.04 $ 0.04 Total Sales Tax Revenue $ $ $ $ 0.29 $ 0.35 $ 0.36 $ 0.37 $ 0.38 $ 0.40 $ 0.41 $ 0.42 $ 0.43 $ 0.45 $ 0.46 $ 0.47 TOTAL FISCAL REVENUE Property Tax Revenue $ $ $ $ $ 0.40 $ 0.48 $ 0.56 $ 0.65 $ 0.74 $ 0.84 $ 0.94 $ 1.01 $ 1.03 $ 1.05 $ 1.07 Transient Occupancy Tax Revenue $ $ $ $ 0.56 $ 0.62 $ 0.64 $ 0.66 $ 0.68 $ 0.70 $ 0.72 $ 0,74 $ 0.76 $ 0.78 $ 0.81 $ 0.83 Sales Tax Revenue $ $ $ $ 0.29 $ 0,35 $ 0.36 $ 0.37 s 0.38 $ 0.40 $ 0.41 $ 0.42 $ 0.43 $ 0.45 $ 0.46 $ 0.47 Total Fiscal Revenue Available for Fiscal Operating Costs $ $ $ $ 0.85 $ 1.37 $ 1.48 $ 1.59 $ 1.71 $ 1.83 $ 1.96 $ 2.09 $ 2.20 $ 2.26 $ 2.32 $ 2.38 Saucccs o[ Euuds FISCAL OPERA TING INCOME $ $ $ $ 0.85 $ 1.37 $ 1.48 $ 1.59 s 1.71 $ 1.83 $ 1.96 $ 2.09 $ 2.20 $ 2.26 s 2.32 $ 2.38 Reversion@ 7% $ $ $ $ $ $ $ $ $ s $ $ $ $ $ 36.54 Total Sources of Funds $ $ $ $ 0.85 $ 1.37 $ 1.48 $ 1.59 $ 1.71 $ 1.83 $ 1.96 $ 2.09 $ 2.20 $ 2.26 $ 2.32 $ 38.92 NET CASH FLOW Is Is Is Is 0.85 rs 1.37IS us Is 1.59 Is 1.11 Is 1.831 s 1.96 Is 2,091 $ 2.20 Is 2.26 IS 2.32 I s 38.92 I Net Present Value@ 10% Sl7.43 million 2003 dollars Source: Economics Research Associates c:J CJ c=J CJ CJ CJ c=i CJ c=J c:J c:J CJ CJ CJ CJ CJ CJ CJ CJ Table 4.A.3 CARLSBAD BOULEVARD REALIGNMENT-Alternative 4, Parcel I, Land Use Scenario A Executi\·e Meeting Hotel Operating Statement 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Yr. 2001 Value Tou:.1 YeJu:.2 fur_J Yl,ar_;( fur.5 YucJi Yeu:.1 l.'.w:JI Year...2 Yl:iu.:..lJI fiaLll l'.oaLll Y.w:..l3 YfaLli fuL1S Assumptions Innation Factor 3% 1.06 1.09 1.13 1.16 1.19 1.23 1.27 1.30 1.34 1.38 1.43 1.47 1.51 1.56 1.60 Real Escalation 0% 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 llo1d Rooms 150 0 0 0 150 150 150 150 150 I 50 150 150 150 150 150 150 Total Potential Numhcr of Room nights 54,750 54,750 54,750 54,750 54,750 54,750 54.750 54,750 54.750 54.750 54,750 54,750 Average Annual Occupancy Rate 0.0% 0.0%, 0.0% 65.0% 70.0% 70.0% 70.0% 70.0% 70.0% 70.0% 70.0% 70.0% 70.0% 70.0% 70.0% Avg. Daily Rm. Rate Hotel 2 /1 $ 135 143 148 152 157 161 166 171 176 181 187 192 198 204 210 217 Operating Revenues Expressed ln Millions or US Dollars Expressed In Millions of US Dollars Room Revenues $ $ $ $ 5.57 $ 6.18 $ 6.36 $ 6.55 $ 6.75 $ 6.95 $ 7.16 $ 7.38 $ 7.60 $ 7.83 $ 8.06 $ 8.30 As % of Room Revenues Food & Beverage 45% 2.51 2.78 2.86 2.95 3.04 3.13 3.22 3.32 3.42 3.52 3.63 J.74 Other Revenues 15% 0.84 0.93 0.95 0.98 1.01 1.04 1.07 I.II 1.14 1.17 1.21 1.25 Subtotal (Non-Room Revenues) 60% $ $ $ $ 3.34 $ 3.71 $ J.82 $ 3.93 $ 4.05 . S 4.17 $ 4.30 $ 4.43 $ 4.56 $ 4.70 $ 4.84 $ 4.98 Gross Revenues s $ $ $ 8.91 $ 9.88 $ 10.18 S 10.49 $ 10.80 $ 11.13 S I 1.46 $ 11.80 $ 12.16 $ 12.52 $ 12,90 $ 13.28 ~epatlmeotal CoSl5 & E1p1:oscs As% of Departmental Revenues Rooms 25% 1.39 1.54 1.59 1.64 1.69 1.74 1.79 1.84 1.90 1.96 2.02 2.08 Food & Beverage 75% 1.88 2.09 2.15 2.21 2.28 2.35 2.42 2.49 2.56 2.64 2.72 2.80 Other Departments 50% 0.42 0.46 0.48 0.49 0.51 0.52 0.54 0.55 0.57 0.59 0.60 0.62 Total Departmental Expenses(% of Gross Revenues) 41% $ $ $ $ 3.69 $ 4.09 $ 4.22 $ 4.34 $ 4.47 $ 4.61 $ 4.74 $ 4.89 $ 5.03 $ 5.18 $ 5.34 $ 5.50 Gro55 Operating Revenues 59% S $ $ $ 5.22 $ 5.79 $ 5.97 $ 6.14 $ 6.33 $ 6.52 $ 6.71 $ 6.92 $ 7.12 $ 7.34 $ 7.56 $ 7.78 Notes: /I Rate, after discounts, per occupied room. Source: Economics Research Associates c:::J CJ CJ CJ CJ CJ CJ CJ CJ c:::J CJ CJ CJ CJ c:::J CJ CJ CJ CJ Table 4.A.4 CARLSBAD BOULEVARD REALIGNMENT-Alternati\'e 4, Parcel I, Land Use Scenario A E11:eeurin Meeting Hotel Operating Statement 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Yr. 2001 Value YeaLl har..l fia.c..J. fillLi fia.c..S firu filll:.1 lDJ:..11 fuL2 l:'.J:JtLUl ::ua.c..11 fillLll l'.ell..lJ ~ :t'ur.1.5 Expressed Jn Millions of US Dollars Exprened in Millions of US Dollars G.coss Operating Revenues S.97 6.14 6.33 6.52 .6.71 6.92 7.12 7.34 7.56 7.78 llodistcibuted 0111:ratlng Expenses As % of Revenue Administrative & General 5.0% $ s $ $ 0.45 $ 0.49 $ 0.51 s 0.52 $ 0.54 s 0.56 $ 0.57 $ 0.59 s 0,61 $ 0.63 $ 0.64 s 0.66 Management Fee 2.0% 0.18 0.20 0.20 0.21 0.22 0.22 0.23 0.24 0.24 0.25 0.26 0.27 Sales & Marketing 5.0% 0.45 0.49 0.51 0.52 0.54 0.56 0.57 0.59 0.61 0.63 0,64 0.66 Energy Costs 6.0% 0.53 0.59 0.61 0.63 0.6S 0.67 0.69 0.71 0.73 0.7S 0.77 0.80 Repairs & Maintenance 4.0% 0,36 0.40 0.41 0.42 0.43 0.45 0.46 0.47 0.49 0.50 0.52 0.53 Total 22.0% $ s s $ 1.96 s 2.17 s 2.24 $ 2.31 $ 2.38 $ 2.45" $ 2.52 $ 2.60 $ 2.67 $ 2.75 $ 2.84 $ 2.92 Gross Operating Profit 36.6% $ s s $ 3.26 s 3.62 $ 3,73 $ 3.84 $ 3.95 $ 4.07 $ 4.19 $ 4.32 $ 4.45 $ 4.58 s 4.72 s 4.86 Elxed Euu:o5es & Capital Costs Property Taxes fom1Ula 0.28 0.28 0.29 0.30 0.30 0.31 0.31 0.32 0.33 0.33 0.34 Incentive Fee 2.0% 0,18 0,20 0.20 0.21 0.22 0.22 0.23 0.24 0.24 0.25 0.26 0.27 Insurance 1.0% 0.09 0.10 0,10 0.10 0.11 0.11 0.1 t 0.12 0.12 0. 13 0.13 0.13 Capital Reserve 2.0% 0, 18 0,20 0,20 0.21 0.22 0,22 0.23 0.24 0,24 0,25 0.26 0.27 Total 5.0% 0.45 0.78 0.79 0.81 $ 0.84 s 0.86 $ 0.88 $ 0.90 s 0.93 $ 0.95 s 0.98 $ 1.00 NET OPERATING INCOME (ex. depr., interest & tu) 2.82 2.84 2.93 3.02 3.12 3.21 3.31 3.42 3.52 3.63 3.74 3.86 Source: Economics Research Assoc'iates c=J CJ c=J CJ c=i c=i c=i c=i CJ C:J CJ CJ c=J CJ c=J CJ CJ CJ CJ Table 4.A.6 CARLSBAD BOULEY ARD REALIGNMENT -Alternative 4, Parcel I, Land Use Scenario A Retail/Commercial: Operating Statement 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 fur..1 YeJu:..2 fia.u Ye.a.c.A Yea.u ~ ~ YilL8 fiw:.2 filu:..lll fiatll Yl:aLll Yll.t..13. Yllr...li Yu..c..15 lnnation Factor 3% 1.06 1.09 1.13 1.16 1.19 1.23 1.27 1.30 1.34 1.38 1.43 1.47 1.51 1.56 1.60 Rental Escalation 0% 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 Cumulative Gross Leasable Area Commercial Retail 45,000 45,000 45 ,000 45,000 45,000 45,000 45,000 45,000 45,000 45,000 45,000 45.000 45,000 Restaurants 45,000 45,000 45,000 45,000 45,000 45,000 45,000 45,000 45,000 45.000 45,000 45,000 45,000 Total 90,000 90,000 90,000 90.000 90,000 90,000 90,000 90,000 90,000 90,000 90,000 90,000 90,000 Occupancy Rate Commercial l~elail 0% 0% 0% 80% 95% 95% 95% 95% 95% 95% 95% 95% 95% 95% 95% lh-slaurants 0% 0% 0% 80% 95% 95% 95% 95% 95% 95% 95% 95% 95% 95% 95% Average NNN Base Rent Per s. f. Per Yr/ I US$ Commercial R.t•taH $ 20.00 21.22 21.85 22.51 23.19 23.88 24.60 25.34 26.10 26.88 27.68 28.52 29.37 30.25 31.16 3_2.09 Restaurants $ 30.00 31.83 32.78 33.77 34.78 35.82 36.90 38.00 39.14 40.32 41.53 42.77 44.06 45.38 46.74 48.14 Average Gross Sales Per Square Foot Per Year US$ Cnmml'rcial R~tail $ 250.00 265 273 281 290 299 307 317 326 336 346 356 367 378 389 401 Rl'!lifaurants $ 375.00 398 410 422 435 448 461 475 489 504 519 535 551 567 584 602 Expressed in Millions or US Dollars Expressed in Millions or US Dollars Operating Revenues Base Rent Revenue $ $ $ $ 2.09 $ 2.55 $ 2.63 s 2.71 $ 2.79 $ 2.87 $ 2.96 $ 3.05 $ 3.14 $ 3.23 $ 3.33 $ 3.43 Gross Revenues $ $ $ $ 2.09 $ 2.,55 $ 2.63 $ 2.71 $ 2.79 $ 2.87 $ 2.96 s 3.05 $ 3.14 $ 3.23 $ 3.33 $ 3.43 Operating Expenses % of Rev. Administrative & General 4.0% $ $ $ $ 0.08 $ 0.10 $ 0.11 $ 0.11 $ 0.11 $ 0.11 $ 0.12 $ 0.12 $ 0.13 $ 0.13 $ 0.13 $ 0.14 Sales & Marketing 2.0% 0.04 0.05 0.05 0.05 0.06 0.06 0.06 0.06 0.06 0.06 O.o7 0.07 Total 6.0% $ $ $ $ 0.13 $ 0.15 $ 0.16 $ 0.16 $ 0.17 $ 0.17 $ 0.18 $ 0.18 $ 0.19 $ 0.19 $ 0.20 $ 0.21 NET OPERATING INCOME (ex. depr., interest & tax) s $ $ $ 1.96 $ 2.40 $ 2.47 $ 2.55 s 2.62 s 2.70 $ 2.78 $ 2.86 $ 2.95 $ 3.04 $ J.13 S 3.22 Notes: / I Triple-net rent where tenant pays for pro-rata share of common area charges, insurance, property taxes, and utilities in addition to base rent. No rent for tenant improvements; tenants pay for improvements. Source: Economics Research Associates CJ CJ c=J CJ c:J CJ c:J c:::J Table 4.A.8 CARLSBAD BOULEVARD REALIGNMENT-Alternative 4, Parcel I, Land Use Scenario A Time Share 2003 2004 Yr. 2001 Value ~ Y£.u:..2 Assumptions Inflation Factor 3% 1.06 1.09 Real Escalation 0% 1.00 1.00 Time Share (:'\'umhcr or nooms) 150 0 0 Total Number of Intervals Available Total Number of Intervals Sold Per Y car Cumulative Intervals Sold Interval Sales Price s 18,500 $ 19,627 $20.215 Sales Revenues Annual Sales Volume $ $ Cumula1ive Sales Volume Cost of Sales Per Room Product Cost ( excluding land cost) II $ 205,000 Gross Profit Before Land Costs $ $ Cumulative Profit Before Land Costs Costs & Expeoses/2 As% of Annual Gross Sales Commissions 22.0% $ $ Marketing 22.0% Sales Overhead 5.0% Administration 7.0% Acct./Legal/Counsultinj! 0.5% Depreciation 0.3% Other 0.1% Total Cosl & Expenses(% of Annual Gross Sales) 56.9% $ $ ~i:1 Denlupmeol tcafil ([.ass) 43% S $ Cumulative Cash Flow $ $ c:J CJ CJ c=i 2005 2006 2007 2008 2009 2010 YeaLl Yu.LI. l'.l:a.c..S. l:'.£aL6 fiar..1 l:'.ilt..B 1.13 1.16 1.19 1.23 1.27 1.30 1.00 1.00 1.00 1.00 1.00 1.00 0 75 75 75 150 150 3,825 3,825 3,825 7.650 7,650 1,000 1,000 1,000 1,000 1.000 1,000 2,000 3,000 4,000 5,000 $20,822 $21,447 $22,090 $22,753 $23,435 $24,138 Expressed In Millions of US Dollars $ $ 21.45 $ 22.09 $ 22.75 $ 23.44 $ 24.14 21.45 43.54 66.29 89.72 113.86 17.30 18.91 $ ( 17.30) $ 21.45 $ 22.09 s 3.84 s 23.44 $ 24.14 (17.30) 4.14 26.23 30.08 53.51 77.65 $ $ 4.72 s 4.86 s 5.01 s 5.16 s 5.31 4.72 4.86 5.01 5.16 5.3 I 1.07 1.10 1.14 1.17 1.21 I.SO 1.55 1.59 1.64 1.69 0.11 0.11 0.11 0.12 0.12 0.06 0.07 0.07 0.o7 0.07 0.02 O.Q2 0.02 0.02 O.Q2 s $ 12.20 S 12.57 $ 12.95 S 13.33 $ 13.73 $(17.30) $ 9.24 $ 9.52 $ (9.10) S 10.10 S 10.40 $ ( 17.30) $ (8.06) $ 1.46 S (7.64) S 2.46 S 12.86 Net Present Value@ 15.0% S9.27 million 2003 dollars Notes: / I Development costs include allocated share of onsite/offsilc costs. /2 Selling and marking expenses only. Operating expenses are covered 100% by annual fees. Source: RCI Consulting, Inc.; and Economics Research Associates c:J CJ [_=:J CJ CJ CJ CJ 2011 2012 2013 2014 2015 2016 2017 l:'.tJU:..2 Y.o.atlll Yw:...ll fiaL.12 l'.'.ea.cJ.J Yea.t..14 Yil.r..1.5. 1.34 1.38 1.43 1.47 1.51 1.56 1.60 1.00 1.00 1.00 1.00 1.00 1.00 1.00 150 150 150 150 150 150 ISO 7,650 7,650 7.650 7.650 7,650 7,650 7,650 1,000 1,000 650 6,000 7,000 7.650 7,650 7.650 7,650 7,650 $24,862 $25,608 $26,377 $27,168 $27,983 $28,822 $ 29.687 Expressed In Millions or US Dollars $ 24.86 S 25.61 S 17.14 $ $ $ 138.73 164.33 181.48 181.48 181.48 181.48 181.48 $ 24.86 S 25.61 $ 17.14 $ s $ 102.51 128.12 145.26 145.26 145.26 145.26 145.26 $ 5.47 $ 5.63 $ 3.77 $ s s $ 5.47 5.63 3.77 1.24 1.28 0.86 1.74 1.79 1.20 0.12 0.13 0.09 0.07 0.08 0.05 0.02 0.03 0.02 $ 14.15 $ 14.57 s 9.76 s $ $ $ $ 10.72 $ I 1.04 $ 7.39 $ $ $ S 23.58 S 34.61 S 42.00 S 42.00 S 42.00 $ 42.00 $ 42.00 2022-June General Comparative tax-payer Costs/Benefits of Completing PCH, PCH Modification, and 14.3 acre Ponto Park to address planned loss of 30+ acres of Coastal Open Space Land Use at Ponto/WestBL/South Carlsbad: Part 1 of 2 Key points regarding tax-payer Cost/Benefit comparison : City Park Fairness: Ponto/Coastal South Carlsbad has ZERO Parks and ZERO Park acres v. 10 Coastal Parks totaling 37 acres in North Carlsbad. South Carlsbad is home to 62% of Carlsbad citizens and the City major visitor industries, and they have no Coastal Park. North Carlsbad is home to 38% of Carlsbad citizens have the entire City's Coastal Parks. The City also falsely allowed Ponto Developers to NOT provide the required 15% unconstrained Growth Management Open Space required by other adjacent developers in Carlsbad . Consequently Ponto is already developed at a density 35% higher than the rest of City. What is missing from South PCH: The only missing components of a Carlsbad Livable (Complete) Street are adequate Coastal sidewalks/pedestrian paths. Better safer protected bike paths for the volume of bike traffic on a higher-speed roadway are highly desired. Both these missing features can be cost-efficiently provided in the existing PCH configuration. The City had over 35-years to provide the missing sidewalks on PCH and should have added sidewalks years ago. Generalized Costs: Costs initially came from publicly stated costs by Mayor Hall in a 2019 at Meet the Mayor Realtor luncheon at Hilton Garden Inn, the City's 2001 PCH Feasibility Analysis for PCH Relocation, the earlier $13 million per mile cost for the simpler .85 mile City CIP #6054 PCH Modification Project at Terramar, general City cost data from official public records requests, and vacant Ponto land costs of $1.4 to $2.4 million per acre from recent recorded land sales at Ponto. In May, 2022 the City released an updated cost increase for the .85 mile Terramar PCH Modification of $22.4 million per mile; and an updated cost of between $85 -$60 million for the 2.3 mile South PCH Relocation Proposal that comes to $40 to 26.1 million per mile. Kam Sang listed their 14.3 acre vacant site at Ponto for sale for $2.7 million per acre in May. The Kam Sang list price is a bit higher that recent Ponto land costs, but the Kam Sang site is of significantly higher quality being adjacent to Batiquitos Lagoon, and with 270 degree lagoon and ocean views. Generalized Benefits: The number of acres and the quality and usability of each of those acres, and the number of new added beach parking for each of the known Option's define each Option's benefits. There may be other unknown Options that have different benefits. The City's 2001 PCH Relocation Feasibility Analysis's highest Park and Open Space Option (2001 ERA Financial Analysis "Alternative 1-parks and open space scheme") only made possible a 4-acre Active Park north of Palomar Airport Road in North Carlsbad. The City's 2013 PCH Relocation Concept design eliminated that 4-acre Active Park and only showed a few small open space areas with picnic tables. Any PCH Modification benefits are limited by existing PCH constraints. See attached Part 2: City PCH map with numbered notes on various existing environmental and land use constraints from the City's 2013 PCH Modification Design. PCH Modification limitations: Most critically PCH Modification does NOT add any new City land. Rearranging existing PCH land may add some usability beyond the usability of existing parkway areas along PCH. However significant land in PCH right-of-way is already constrained by habitat, slopes, and water quality detention basins. Past City Studies in 2001 and 2013 showed relatively modest changes in useable acreage from major PCH Modifications. Forever removing 2-travel lanes (over 50% of PCH capacity due to removing passing ability) will 2022-June General Comparative cost-benefits of Completing PCH-PCH Modification-Ponto Park -part 1 Page 1 of 5 create Terra mar like traffic congestion, but could repurpose that City pavement for open space. Any net usable land in the PCH median will be relativity narrow and may be modest once all constraints are accounted for. PCH Modification should be accurately compared with the existing usable and open space parkway areas in the existing PCH configuration and Ponto Park situation. See attached Part 2: City PCH map with numbered notes on various existing land use constraints from the City's 2013 PCH Modification Design . Four (4) Comparative tax-payer Cost/Benefits: .1. Completing PCH & adding missing sidewalk/path and additional public parking and bike safety: 4 vehicle lanes and 2 bike lanes 177 parking spaces currently exist along South Carlsbad Blvd The only missing component of "Complete/Livable Street" is a pedestrian sidewalk/path on about 70% of PCH Total Cost to provide missing sidewalks per City data = $3-5 million (based on path width) Costs for desirable safety upgrade to existing bike lanes are not known Cost to add more Beach parking on City owned abandoned PCH North and South of Poinsettia ranges from: • 273 additional spaces=$ 0.76 million • 546 additional spaces=$ 1.1 million • Plus an estimated $1.5 million for 2 signalized intersection upgrades for full 4-way access • Cost per parking space is estimated at $19,275 to $13,899 per additional parking space Total cost:$ 3.8 to 6.1 million to provide missing sidewalk/path and add more parking+ unknown amount for any desired upgrades to existing bike lanes 2. '2013 2.3 mile PCH Modification Proposal' [AECOM 11/26/2013 Alternative Development Meeting) Total Cost is $75 million per Mayor Matt Hall, but updated by City to $85-60 Million or $40-26.1 million per mile. The costs appear consistent with 20-years of cost inflation of the basic (unmitigated environmental and traffic) 2001 costs of $26.5 to 37.3 million (in 2001 dollars) identified by the City's 2001 Feasibility Analysis by ERA. The City's 2001 ERA Analysis indicated fully mitigated costs will be higher. Total $85 to 60 million PCH Modification cost comes to: $ 21 to 6 million per acre to reuse existing City land into narrow open space areas (from portions of city roadway) $872,093 per additional parking space • 86 additional parking spaces created= 263 replacement spaces -177 existing spaces removed • Includes multi-use pathway (sidewalk) within primarily native/natural landscaping. • Possible 50% reduction in vehicle lanes (from 4 to 2 lanes) with corresponding traffic congestion like at Terramar. Not clear if Citizens and tax-payers will approve spending $85 -60 million to double traffic congestion. • Includes about 4 -10 acres for possible narrow passive Park area identified in City's 2001 PCH Modification Feasibility Analysis by ERA. However City's 2013 PCH Modification (AECOM) plans look like smaller acreage is provided. • Does not purchase any new City land (only reconfigures existing City land) so requires Carlsbad Citizens to vote to expend funds per Proposition H, and as noted in the City's 2001 Feasibility Analysis likely will not qualify for regional, State or Federal tax-payer funding. • 2013 PCH Modification proposal could not/did not consider and map City's 2017 sea level rise data to show what areas would be lost due to sea level rise and account for any added cost and issues. 2022-June General Comparative cost-benefits of Completing PCH-PCH Modification-Ponto Park-part 1 Page2of5 ~ 14.3 acre Ponto Coastal Park Total Cost: $52.3 million that includes $38 million (full list price) to purchase 14.3 acres plus $1 million per acre to landscape/irrigate like the recent development cost for Buena Vista Reservoir Park (aka Poinsettia 61). $ 3.7 million per acre is the cost for buying 14.3 acres of New City land and developing a true City Park. Ponto Park purchase: is $3.7 million per New Added Park Acre v. $21 to $6 million per acre to NOT buy new land but simply repurposed existing City land in PCH, Saves tax-payers $17.3 million to $2.3 million per acre, Saves tax-payers $32.7 to $7.7 million, and Provides up to 278% to 43% more Parkland than the 2.3 mile 'PCH Modification option' • Includes adding 14.3-acres of new and viable parkland similar to (but twice as large) as Carlsbad's Holiday Park. Site includes habitat and habitat connection to Batiquitos Lagoon, and lagoon and ocean view tails that connect to the ocean and eventually east along Batiquitos Lagoon to El Camino Real. • Since an Open Space land purchase per Proposition C acquisition voters exempted such purchases from Proposition H. NCA already recommended vacant Ponto land be considered for City purchase as Open Space per the City's obligations under a lawsuit settlement. • Ponto Park's cost savings over '2.3 mile PCH Modification'= $32.7 to 7.7 million • Ponto Park's+ adding missing sidewalks cost savings over 'PCH Modification'= $28.7 to 2.7 million • Ponto Park's+ adding missing sidewalks+ 273 additional parking spaces cost savings over "PCH Modification' = $28 to 2 million • Ponto Park's+ adding missing sidewalks+ 546 additional parking spaces cost savings over 1/PCH Modification'= $27.6 to 1.6 million 4. Combining both #1-PCH Completion and #3-Ponto Park: Combining #1 and #3 creates at cost effective and more beneficial Coastal Park-Coastal Parking-Completes Streets solution. This solution actually adds 14.3-acres of New City land for a needed Park, provides for a Complete PCH without increasing traffic congestion, does not forever congest PCH travel if future PCH traffic increases, adds comparatively more beach parking, and preserves PCH land and provides the City with Coastal land use and sea level rise planning flexibility to address future needs by not forever committing the City's PCH land to a Final solution. See map on page 4 showing land use synergy of combining #1 and #3. $27.6 to 1:6 million in tax-payer cost savings are estimated from combining #1 & #3 compared to the estimated $85 -60 million PCH Modification of 2.3 miles. Combining #1 and #3 provides all the PCH Modification features, added beach parking benefits, and Adds 14.3 acres of New City land for parks, provides the City 100% of the flexibility it will need to address sea level rise, and do so for a reduced cost to tax-payers. Page 5 shows the synergistic beach parking and Ponto Park relationship. The new 14.3 acre Kam Sang Ponto Park site is just south of the 11-acre Planning Area F site and between Avenida Encinas and Batiquitos Lagoon. a. Ponto Park's location allows it to use the 337-610 parking spaces created by #1 above (177 existing+ 273 to 546 new parking spaces). The 337-610 parking spaces will allow Ponto Park to effectively host Carlsbad's special community events. b. Acquiring Ponto Park's 14.3-acres provides both the City and State of CA with important future land use options to address the Sea Level Rise and Coastal Erosion (SLR) planned by the City. These options are created by leaving the exiting South Carlsbad Blvd right-of-way substantially the same (except for adding needed sidewalks and using the existing Old paved roadway for parking) thus allowing future upland relocation of the Campground. If $85 to $60 million is spent on #2 the 2022-June General Comparative cost-benefits of Completing PCH-PCH Modification-Ponto Park-part 1 Page3of5 likelihood this very expensive City expenditure would never be abandoned by the City to allow relocation ofthe Campground. c. Carlsbad' 2017 Sea Level Rise study shows SLR will eliminate½ of the State Campground -a high- priority Coastal land use under the CA Coastal Act. The CA Coastal Act calls for "upland" relocation of high-priority Coastal land uses due to SLR impacts. Ponto Park could also provide for "upland" relocation of the State Campground. Part 2 of this Comparative analysis is a separate 2-page map and data file. This Part 2 file consists of the City's PCH map of a reduced one lane in each direction (greater than 50% roadway capacity reduction) PCH configuration that maximizes potential 'excess right-of-way'. That map has numbered notes to marking locations of PCH environmental and design constraints from the City's 2013 PCH Relocation design, maps the City's 2017 Sea Level Rise Impact Areas, and for reference outlines the easterly 6.5 acre portion of the 11-acre Planning Area F site for acreage comparison purposes. 2022-June General Comparative cost-benefits of Completing PCH-PCH Modification-Ponto Park-part 1 Page 4 of 5 City's PCH Modification Proposal Area Map with notes on usability Constraints and Issues: P4P Input 2 of2 The City's map below is marked with the following numbered list of Area Constraints and Issues. The Constraints are from the City's 2013 PCH Modification designs, the City's older 2017 Sea Level Rise Impact Study, and on-site observations. The Constraints will limit any fundamental change to the existing PCH landscape. For instance existing slope and habitat area will remain or have to be relocated which will limit the use of any excess land area from PCH Modification. These Constraints will then reduce from 62 acres the actual number of unconstrained and acres that are actually useable and can be used for different uses than currently exist. 1. Loss of the last section of Old "Historic 101" design, ambiance, and openness. Will it be replaced with typical urban arterial design? 2. Freshwater habitat 3. Sewer pumping facility 4. City's 2013 PCH plan for RESTORED RIPARIAN HABITAT 5. Sea Level Rise 2 meter Impact Area 6. City's 2013 PCH plan for BIO SWALE AND RESTORED RIPARIAN HABITAT 7. Existing beach parking to be retained 8. Least Tern habitat 9. Major storm water detention basin 10. Water 11. Slopes will likely need retaining walls to move road inland closer to proposed Kam Sang Resort 12. Endangered Species Habitat 13. City's 2013 PCH plan for COASTAL SAGE SCRUB RESTORATION 14. City's 2013 PCHplan for NATIVE GRASSLAND RESTORATION 15. City's 2013 PCH plan for BIO SWALE AND RESTORED RIPARIAN HABITAT 16. Eliminating access road for homes/businesses south of Cape Rey Resort. Who pays to replace? 17. Removes Cape Rey Resort developer required GMP Open Space for this LFMP. This GMP Open Space will have to be replaced. Who Pays? 18. City's 2013 PCH plan for L.I.D. BASIN/ BIO SWALE 19. City left several acres vacant for 20+ years. This area can cost-effectively provide 200-500 more parking spaces w/o any PCH relocation. 20. Unusual jog in roadway. Is this viable? 21. City's 2013 PCH plan for RESTORED NATIVE LANDSCAPE 22. Habitat & need to provide major storm water quality detention basin before discharging urban and creek runoff into ocean. 23. Slopes will likely need retaining walls to move road inland closer to mobile home community. 24. Steep unusable slopes needed for Palomar Airport Road overpass over railroad corridor. For a Cost/Benefit reference point, the City's PCH Modification at Terramar (CIP project #6054 from Cannon to Manzano) that is less constrained and simpler than South Carlsbad is projected to cost around $13 million per mile. Vacant primarily unconstrained land sale costs at Ponto are documented at around $1 .4 to $2.4 million per acre. Honest Cost/Benefit of these two options should be a public tax-payer discussion. Page1of2 Sea Level Rise and Carlsbad's DLCP-LUPA's projected/planned Loss of Open Space at Ponto Introduction: Carlsbad first documented Sea Level Rise (SLR) and associated increases in coastal erosion in a December 2017 Sea Level Rise Vulnerability Assessment (2017 SLR Assessment). Prior planning activities (2010 Ponto Vision Plan -rejected by CA Coastal Commission, and 2015 General Plan Update) did not consider SLR and how SLR would impact Coastal Open Space Land Use & CA Coastal Act 'High-Priority' Coastal Open Space Land Uses at Ponto. The 2017 SLR Assessment shows Open Space land and Open Space Land Uses are almost exclusively impacted by SLR at Ponto & South Coastal Carlsbad. The 2017 SLF Assessment also shows significant LOSS of Open Space land acreage and Land Uses. Most all impacted Open Space Land Uses are CA Coastal Act "High-Priority Coastal Land Uses" -Coastal Recreation (i.e. Public Park) and Low-Cost Visitor Accommodations. Existing Ponto Open Space Land Uses are already very congested (non-existent/narrow beach) and have very high, almost exclusionary, occupancy rates (Campground) due to existing population/visitor demands. Future population/visitor increases will make this demand situation worst. The significant permanent LOSS of existing Coastal Open Space land and Coastal Open Space Land Use (and land) due to SLR reduces existing supply and compounds Open Space congestion elsewhere. Prior Ponto planning did not consider, nor plan, for significant SLR and current/future "High-Priority" Coastal Open Space Land Use demands. Open Space and City Park demand at Ponto: Open Space at Ponto is primarily 'Constrained' as defined by the City's Growth Management Program (GMP), and cannot be counted in meeting the City's minimal 15% 'Unconstrained' GMP Open Space Standard. Per the GMP Open Space Standard, the developers of Ponto should have provided in their developments at least 30-acres of additional 'Unconstrained' GMP Open Space at Ponto. City GIS mapping data confirm 30-acres of GMP Standard Open Space is missing at Ponto (Local Facilities Management Plan Zone 9). The City of Carlsbad GIS Map on page 2 shows locations of Open Spaces at Ponto. This map and its corresponding tax parcel-based data file document Ponto's non-compliance with the GMP Open Space Standard. A summary of that City GIS data file is also on page 2. The City said Ponto's non-compliance with the GMP Open Space Standard was 'justified' by the City 'exempting' compliance with the Standard. The City 'justified' this 'exemption' for reasons that do not appear correct based on the City's GIS map and data on page 2, and by a review of 1986 aerial photography that shows most of Ponto as vacant land. The City in the Citywide Facilities Improvement Plan (CFIP) said 1) Ponto was already developed in 1986, or 2) Ponto in 1986 already provided 15% of the 'Unconstrained' land as GMP Standard Open Space. Both these 'justifications' for Ponto 'exemption' in the CFIP were not correct. The legality of the City 'exempting' Ponto developers from the GMP Open Space Standard is subject to current litigation. The City proposes to continue to exempt future Ponto developers from providing the missing 30-acres of minimally required GMP Open Space, even though a change in Ponto Planning Area Fland use from the current 'Non-Residential Reserve" Land Use requires comprehensive Amendment of the Local Facilitates Management Plan Zone 9 to account for a land use change. City exemption is subject of litigation. Ponto (west of 1-5 and South of Poinsettia Lane) currently has 1,025 homes that per Carlsbad's minimal Park Standard demand an 8-acre City Park. There is no City Park at Ponto. Coastal Southwest Carlsbad has an over 6.5 acre Park deficit that is being met 6-miles away in NW Carlsbad. Ponto is in the middle of 6-miles of Coastline without a City Coastal Park west of the rail corridor. Sea Level Rise and Carlsbad's DLCP-LUPA's projected/planned Loss of Open Space at Ponto Page 1 of 7 Sea Level Rise impacts on Open Space and Open Space Land Use Planning at Ponto: The City's 2015 General Plan Update did not factor in the impacts of Sea Level Rise (SLR) on Ponto's Open Space land. In December 2017 the City conducted the first Sea Level Rise Vulnerability Assessment https://www.carlsbadca.gov/civicax/filebank/blobdload.aspx?Blob1D=33958. The 2017 SLR Assessment is an initial baseline analysis, but it shows significant SLR impacts on Ponto Open Space. More follow-up analysis is being conducted to incorporate newer knowledge on SLR projections and coastal land erosion accelerated by SLR. Follow-up analysis may likely show SLR impacts occurring sooner and more extreme. Troublingly the 2017 SLR Assessment shows SLR actually significantly reducing or eliminating Open Space land at Ponto. SLR is projected to only impact and eliminate Open Space lands and Open Space Land Use at Ponto. The loss of Ponto Open Space land and Land Use being at the State Campground, Beaches, and Batiquitos Lagoon shoreline. The losses of these Open Space lands and land uses would progress over time, and be a permanent loss. The 2017 SLR Assessment provides two time frames near- term 2050 that match with the Carlsbad General Plan, and the longer-term 'the next General Plan Update' time frame of 2100. One can think of these timeframes as the lifetimes of our children and their children (2050), and the lifetimes of our Grandchildren and their children (2100). SLR impact on Coastal Land Use and Coastal Land Use planning is a perpetual (permanent) impact that carries over from one Local Coastal Program (LCP) and City General Plan (GP) to the next Updated LCP and GP. Following (within quotation marks) are excerpts from Carlsbad's 2017 Sea Level Rise Vulnerability Assessment: [Italicized text within brackets] is added data based on review of aerial photo maps in the Assessment. "Planning Zone 3 consists of the Southern Shoreline Planning Area and the Batiquitos Lagoon. Assets within this zone are vulnerable to inundation, coastal flooding and bluff erosion in both planning horizons (2050 and 2100). A summary of the vulnerability assessment rating is provided in Table 5. A discussion of the vulnerability and risk assessment is also provided for each asset category. 5.3.1. Beaches Approximately 14 acres of beach area is projected to be impacted by inundation/erosion in 2050 .... Beaches in this planning area are backed by unarmored coastal bluffs. Sand derived from the natural erosion of the bluff as sea levels rise may be adequate to sustain beach widths, thus, beaches in this reach were assumed to have a moderate adaptive capacity. The overall vulnerability rating for beaches is moderate for 2050. Vulnerability is rated moderate for the 2100 horizon due to the significant amount of erosion expected as the beaches are squeezed between rising sea levels and bluffs. Assuming the bluffs are unarmored in the future, sand derived from bluff erosion may sustain some level of beaches in this planning area. A complete loss of beaches poses a high risk to the city as the natural barrier from storm waves is lost as well as a reduction in beach access, recreation and the economic benefits the beaches provide. 5.3.3. State Parks A majority of the South Carlsbad State Beach day-use facilities and campgrounds (separated into four parcels) were determined to be exposed to bluff erosion by the 2050 sea level rise scenario (moderate exposure). This resource is considered to have a high sensitivity since bluff erosion could significantly impair usage of the facilities. Though economic impacts to the physical structures within South Carlsbad State Beach would be relatively low, the loss of this park would be significant Sea Level Rise and Carlsbad's DLCP-LUPA's projected/planned Loss of Open Space at Ponto Page 3 of7 since adequate space for the park to move inland is not available (low adaptive capacity). State parks was assigned a high vulnerability in the 2050 planning horizon. State park facilities are recognized as important assets to the city in terms of economic and recreation value as well as providing low-cost visitor serving amenities. This vulnerability poses a high risk to coastal access, recreation, and tourism opportunities in this planning area. In 2100, bluff erosion of South Carlsbad State Beach day-use facilities and campgrounds become more severe and the South Ponto State Beach day-use area becomes exposed to coastal flooding during extreme events. The sensitivity of the South Ponto day-use area is low because impacts to usage will be temporary and no major damage to facilities would be anticipated. Vulnerability and risk to State Parks remains high by 2100 due to the impacts to South Carlsbad State Beach in combination with flooding impacts to South Ponto. Table 5: Planning Zone 3 Vulnerability Assessment Summary [condensed & notated]: Asset Category Beaches Public Access State Parks {Campground - Low-cost Visitor Accommodations] Transportation (Road, Bike, Pedestrian) Environmentally Sensitive Lands Horizon [time] Hazard Type 2050 2100 2050 Inundation/Erosion, Flooding Inundation/Erosion, Flooding Inundation, Flooding 2100 Inundation, Flooding 2050 Flooding, Bluff Erosion 2100 Flooding, Bluff Erosion 2050 Bluff Erosion 2100 Flooding, Bluff Erosion 2050 Inundation, Flooding 2100 Inundation, Flooding Impacted Assets 14 acres (erosion) 54 acres (erosion) 6 access points 4,791 feet of trails 10 access points 14,049 feet of trails Vulnerability Rating Moderate Moderate Moderate Moderate 4 parcels [<18 Acres] High 4 parcels [>18 Acres] High [loss of over 50% of the campground & its Low-cost Visitor Accommodations, See Figure 5.) 1,383 linear feet 11,280 linear feet 572 acres 606 acres Moderate High Moderate High Sea Level Rise and Carlsbad's DLCP-LUPA's projected/planned Loss of Open Space at Ponto Page 4 of7 In 2020 NCA recommended the City acquire Ponto Planning Area Fas Open Space. The status of City processing that recommendation is unclear. However the Lawsuit Settlement Agreement and NCA's recommendation to the City should also be considered in the required Existing LCP analysis. Summary: Tragically Carlsbad's' Draft Local Coastal Program -Land Use Plan Amendment (DLCP-LUPA) is actually planning to both SIGNIFICATLY REDUCE Coastal Open Space acreage, and to eliminate 'High-Priority Coastal Open Space Land Uses at Ponto due to SLR; The Existing LCP requirements for Ponto Planning Area F to analyze the deficit of Coastal Open Space Land Use should factor in the currently planned LOSS of both Coastal Open Space acreage and Coastal Open Space Land Uses at Ponto due to SLR. As a long-range Coastal Land Use Plan this required LCP analysis needs to also consider the concurrent future increases in both population and visitor demand for those LOST Coastal Open Space acres and Coastal Open Space Land Uses. It is very troubling that demand for these CA Coastal Act 'High-Priority' Coastal Open Space Land Uses is increasing at the same time the current (near/at capacity) supply of these CA Coastal Act 'High-Priority' Coastal Open Space Land Uses is significantly decreasing due to SLR. Instead of planning for long-term sustainability of these CA Coastal Act 'High-Priority' Coastal Open Space Land Uses for future generations there appears to be a plan to use SLR and inappropriate (lower-priority residential) Coastal Land Use planning to forever remove those CA Coastal Act 'High-Priority' Coastal Open Space Land Uses from Ponto. CA Coastal Act Policies to address these issues should be thoroughly considered. 2021-2 proposed Draft Local Coastal Program -Land Use Plan Amendment (DLCP-LUPA) will likely result in City and CA Coastal Commission making updates to the 2015 General Plan, based on the existing Ponto Planning Area F LCP -LUP Policy requirements, Ponto Open Space issues, high-priority Coastal Land Use needs, and SLR issues not addressed in the 2015 General Plan. Sea Level Rise and Carlsbad's DLCP-LUPA's projected/planned Loss of Open Space at Ponto Page 7 of7 CITY OF CARLSBAD NOTICE OF PUBLIC HEARING NOTICE lS HEREBY GIVEN 1h0:t the City Council of the City of Carlsbad will hold a publ.ic hearing at the Council Chamber, 1200 Carlsbad Village Drive, Carlsbad, Cal- ifornia, at S p.m. on Tues., June 7, 2022, to consider appro,-ing the Carlsbad TransNet Local S!Net lmprove.me111 Pro&nm of Projects for Oscal years: 2022-23 through 2026-27 for inclusion in the 2023 San Diego Association o( Covemments (SANDAC) Regional Transporl'adoo Improvement Program (RTIP). The Carlsbad Program of Projects con- sists of the following: El Camino Real Widening Project from Poinsettia Lane to Cantino Vida Roble Al.'Cruda Encinas Coastal Rail Trail and Pedestrian lmprovemcncs ADA Improvement Progni,m Adaptive Traffic Siana! Pro&ram Carlsbad Blvd. llJld Tamarack Avenue Improvements Carlsbad Blvd. Pedenrian Roadway Lighting-North of Tamarack A,·enue Carlsbad Blvd. Realignment Carlsbad Village and Barrio Trame Circles Carlsbad Village Drive and Crand Avenue Improvemenls Chesmut Avenue Complete Street Impro,•ements-Valley Sa-eet to 1-S Chestnut Avenue Complete Street Improvements• I-5 to the Railroad Chrisl.ianun A,•enue lmprm:e.menu College Boulevard Reach A Kelly Drh·e and Park Drh,e Improve.menu Pavement Management Program (overlay and slurry/fog seal) State Street Improvements at Grand Avenue Street Light BuJb Replacement Program Terramar Area Coastal lmpro,'f!ments Valley Street Road Diet and 'ftafflc Calming El Camino Real Widening • Sunny Creek to Jackspar Barrio Lighting Program Valley and Magnolia Complete Struts El Camino Real and Cannon Rd El Camino Real Widening-La Costa Ave to Arena) Palomar Airport Rd and College Blvd lmpro,·ements Melrose Dr and Palomar Airport Rd Improvements The details of the funding changes are included in Attachment A to the resolution for this agenda item. The sraff re.po.rt and resolution will be available on or a£tcr Fri., June 3, 2022. Those persons wishing to speak on this item arc cordially invited to auend the pub- lic hearing. If you have any questions. please cnntact Hossein Ajldeh in the Public Works Department at 442-339-2756 or boneio aiidch@carh;badca KO\' The meeting can be ,ricwcd onlinc at bun:rUw»:w carlsbadca eaxl<:itv·halllmccrinKl:IPCDdll or on the City's cable channel. ln addition, "'ritten comments may be submitted to the Chy Council at or prior to the hearing via U.S. Mail to the attention of Office of lhe City Clerk. 1200 Carlsbad Village Drive, Carlsbad, CA 92008, or via email to~ -If you challenge the Carlsbad TnmsNet Local Street lmprovcmeot Program of Projects in court, you may be limited to raising only those issues you or someone else ra.ised at the public hearing described in ibis nodce or in written correspondence delivered to the City of Carlsbad, Attn: Chy Clttrk's Office. 1200 carlsbad Village Drive, Carlsbad, CA 92008, at or prior 10 the public hearing. PUBLISH: MAY 27, 2022 CITY OF CARLSBAD CJTY COUNCIi~ 0S/2712022 CN 26595 3 Col X 7,5'' 22.50" X $15 $337.50 NOTICE OF PUBLIC HEARING NOTICE IS HEREBY GIVEN that the City Council of the City of Carlsbad will hold a public hearing at the Council Chamber, 1200 Carlsbad Village Drive, Carlsbad, California, at 5 p.m. on Tues., June 7, 2022, to consider approving the Carlsbad TransNet Local Street Improvement Program of Projects for fiscal years 2022-23 through 2026-27 for inclusion in the 2023 San Diego Association of Governments (SANDAG) Regional Transportation Improvement Program (RTIP). The Carlsbad Program of Projects consists of the following: • El Camino Real Widening Project from Poinsettia Lane to Camino Vida Roble • Avenida Encinas Coastal Rail Trail and Pedestrian Improvements • ADA Improvement Program • Adaptive Traffic Signal Program • Carlsbad Blvd. and Tamarack Avenue Improvements • Carlsbad Blvd. Pedestrian Roadway Lighting -North of Tamarack Avenue • Carlsbad Blvd. Realignment • Carlsbad Village and Barrio Traffic Circles • Carlsbad Village Drive and Grand Avenue Improvements • Chestnut Avenue Complete Street Improvements -Valley Street to 1-5 • Chestnut Avenue Complete Street Improvements -1-5 to the Railroad • Christiansen Avenue Improvements • College Boulevard Reach A • Kelly Drive and Park Drive Improvements • Pavement Management Program (overlay and slurry/fog seal) • State Street Improvements at Grand Avenue • Street Light Bulb Replacement Program • Terramar Area Coastal Improvements • Valley Street Road Diet and Traffic Calming • El Camino Real Widening -Sunny Creek to Jackspar • Barrio Lighting Program • Valley and Magnolia Complete Streets • El Camino Real and Cannon Rd • El Camino Real Widening -La Costa Ave to Arena I • Palomar Airport Rd and College Blvd Improvements • Melrose Dr and Palomar Airport Rd Improvements The details of the funding changes are included in Attachment A to the resolution for this agenda item. The staff report and resolution will be available on or after Fri., June 3, 2022. Those persons wishing to speak on this item are cordially invited to attend the public hearing. If you have any questions, please contact Hosse in Ajideh in the Public Works Department at 442-339-2756 or hossein.ajideh@carlsbadca.gov. The meeting ca n be viewed online at https://www.carlsbadca.gov/city- hall/meetings-agendas or on the City's cable channel. In addition, written comments may be submitted to the City Council at or prior to the hearing via U.S. Mail to the attention of Office of the City Clerk, 1200 Carlsbad Village Drive, Carlsbad, CA 92008, or via email to clerk@carlsbadca.gov. If you cha llenge the Carlsbad TransNet Local Street Improvement Program of Projects in court, you may be limited to raising only those issues you or someone else raised at the public hearing described in this notice or in written correspondence delivered to the City of Carlsbad, Attn: City Clerk's Office, 1200 Carlsbad Village Drive, Carlsbad, CA 92008, at or prior to the public hearing. PUBLISH: MAY 27, 2022 CITY OF CARLSBAD CITY COUNCIL