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HomeMy WebLinkAbout2024-03-12; City Council; ; Agricultural Conversion Mitigation Fee Funds for Batiquitos Lagoon Foundation ProjectsCA Review ___AF___ Meeting Date: To: From: Staff Contact: Subject: District: March 12, 2024 Mayor and City Council Scott Chadwick, City Manager Nicole Piano-Jones, Senior Program Manager nicole.pianojones@carlsbadca.gov, 442-339-2194 Agricultural Conversion Mitigation Fee Funds for Batiquitos Lagoon Foundation Projects 4 Recommended Action Adopt a resolution approving a $35,287 transfer of agricultural conversion mitigation fee funds from Batiquitos Lagoon Foundation project AGP 06-12 to Batiquitos Lagoon Foundation project AGP 09-03, a $120,236 appropriation for upcoming costs associated with the projects, and an additional appropriation of $5,000 for AGP 06-12 to align the current FY 2023-24 Agricultural Conversion Mitigation Fee Program budget, and authorizing the City Manager to execute funding agreements with the Batiquitos Lagoon Foundation. Executive Summary The City of Carlsbad’s Agricultural Mitigation Fee Grant Program supports certain agricultural, coastal or wetland restoration projects that enhance quality of life in Carlsbad.1 Funding for the grants come from fees that are paid by developers when agricultural land in the city’s Coastal Zone is used for development. Over time, the mitigation fees accumulate and are then made available as grants to organizations proposing coastal-focused improvement and restoration projects. The Batiquitos Lagoon Foundation has two projects that were awarded agricultural conversion mitigation fee funds in prior years: creating a lagoon resiliency plan, which was awarded funding in 2006; and developing the North Shore Trail, which was awarded funding in 2009. These projects have yet to be completed for several reasons. The Agricultural Conversion Mitigation Fee Citizens Advisory Committee reviewed a request made by the Batiquitos Lagoon Foundation to transfer $35,287 from the Batiquitos Lagoon Foundation’s lagoon resiliency plan project to its North Shore Trail project. The committee 1 Carlsbad Municipal Code Section 21.202.060 regulates the development of coastal agricultural property and allows the conversion of specific parcels located within the Coastal Zone only upon payment of a mitigation fee. March 12, 2024 Item #4 Page 1 of 9 approved the requests and adopted a resolution recommending that the City Council approve the funding transfer and related appropriation needs for these projects (Exhibit 2). The City Council makes the final decisions regarding the use of agricultural conversion mitigation fee funds after review and recommendation by the committee under the rules established by City Council Resolution 2005-242. Explanation & Analysis Lagoon Resiliency Plan - (AGP 06-12) The Batiquitos Lagoon Resiliency Plan was envisioned to be a long-term plan to identify gaps in the water quality and bathymetric data about the health of the lagoon and potential impacts upon it and develop climate change adaptation strategies. The project was to be completed in four phases: • Phase 1 - Scenario planning and data needs • Phase II - Data collection as needed • Phase III - Adaptation strategies • Phase IV - Final report o Original anticipated completion date 2019 Funding timeline 2006 - The Agricultural Conversion Mitigation Fee Citizens Advisory Committee approved the project, recommending that the City Council approve an award for the project of $780,589, of which $74,995 would be appropriated and made available to the foundation. 2007 - The City Council approved the grant award and appropriation. (Resolution No. 2008- 0500) 2016 - The Advisory Committee approved an additional appropriation of $100,000 for the project. 2017 - The City Council approved the additional appropriation. (Resolution No. 2017-061) 2017 - The committee recommended that the total grant award for the project be reduced by $50,000 to make additional funds available for other eligible projects. 2018 - The City Council approved the funding reduction. (Resolution No. 2018-025) Jan. 31, 2024 - The Committee adopted a resolution recommending that the grant award for AGP 06-12 be reduced by $35,287 and transferred to another Batiquitos Lagoon Foundation project, resulting in a total award balance of $695,302. The request for an appropriation of $84,949 for upcoming project costs was also approved, bringing the total appropriation to $209,994. The remaining grant amount will be drawn upon for annual costs through 2030. Current status • $111,284 expended; remaining appropriated balance of $13,711 • Phase I completed as of February 2020 • Established water quality management program o First sampling collected in January 2022 March 12, 2024 Item #4 Page 2 of 9 Next step • Contracting with consulting firm for routine environmental sampling: o Expected cost $84,949, anticipated completion November 2024 o Remaining award balance reserved for ongoing sampling expected to cost $89,000 annually and to be completed from January 2025-January 2030 North Shore Trail (AGP 09-03) The Batiquitos Lagoon North Shore Trail project is intended to fill in missing trail segments on the north side of the lagoon. The multi-phased project is to include planning and design, property acquisition, wetland restoration and invasive species removal, and trail building. The project was expected to begin in December 2009 and be fully completed in June 2012. Funding timeline 2009 - The advisory committee approved the project and recommended that the City Council approve a $98,572 award and appropriation to the Batiquitos Lagoon Foundation. The City Council then approved the grant award and appropriation. (Resolution No. 2009-199) Jan. 31, 2024 - The Advisory Committee adopted a resolution recommending that the grant award and appropriation amount for the project be increased by $35,284, resulting in a total award and appropriation balance of $133,859. Current status • $59,754 has been expended, leaving an appropriated balance of $38,818. • Invasive species removal and erosion control of trail are ongoing. • Efforts to acquire the property required to complete the trail segment have stalled, so a new trail segment is being proposed: o The new trail – noted as Trail Segment 12C in the city’s Trails Master Plan – will connect the public trail system east of Interstate 5 with the public trail system west of I-5. Caltrans has completed the design and the plans are in the permitting process. Next step The Batiquitos Lagoon Foundation is coordinating the implementation of a 225-foot trail that would connect the new I-5 trail and the existing San Pacifico Trail trail head. The next step is for the foundation to engage a design firm to complete a “shovel ready” design for the trail connection. The design work is expected to cost $74,105 and anticipated to be complete 10 months after the contract is executed. The estimated cost and timeframe to complete the construction of the trail segment is unknown at this time. The foundation is not requesting an additional mitigation fee fund award for trail construction at this time but may request additional funds later. Fiscal Analysis The agricultural conversion mitigation fee grant program is fully funded through mitigation fees and there is no fiscal impact to the city's General Fund. The program operates on a reimbursement basis, meaning grant recipients expend funds first and then submit reimbursement requests to the city. March 12, 2024 Item #4 Page 3 of 9 As of Jan. 31, 2024, there was $1,140,442 in the agricultural mitigation fee fund. Of this amount, $371,077 is appropriated for disbursement of previously awarded projects and an additional $768,469 is committed to projects, of which $605,594 is committed to the Batiquitos Lagoon Foundation’s Lagoon Resiliency Plan and North Shore Trail projects. After considering all committed and appropriated award amounts, the agricultural mitigation fee fund has an available balance of $896. The requested actions are to: •Transfer $35,287 of committed funding from Batiquitos Lagoon Foundation project AGP 06-12 to Batiquitos Lagoon Foundation project AGP 09-03 •Appropriate a total of $125,236 of previously committed funds for both projects for actual use. Next Steps Housing & Homeless Services staff will enter into service agreements with the Batiquitos Lagoon Foundation for the use of Agricultural Conversion Mitigation Fee funds. The Batiquitos Lagoon Foundation may then proceed with the projects as described in this report. Progress reports will be provided to Housing & Homeless Services staff and periodically presented to the Agricultural Conversion Mitigation Fee Advisory Committee. Environmental Evaluation The City Planner finds that adoption of a resolution modifying the funding for Batiquitos Lagoon Foundation Agricultural Conversion Mitigation Fee - funded projects is exempt from environmental review under the California Environmental Quality Act under CEQA Guidelines section 15061(b)(3), because it can be seen with certainty that the project will have no significant negative impact on the environment. Exhibits 1.City Council resolution 2.Agricultural Conversion Mitigation Fee Citizens Advisory Committee resolution Batiquitos Lagoon Foundation - Award Amount Award Prior Amount Awarded Requested Adjustment Revised Amount Awarded AGP 06-12 $730,589 -$35,287 $695,302 AGP 09-03 98,572 35,287 133,859 Total 829,161 0 829,161 Batiquitos Lagoon Foundation - Appropriation Award Prior Appropriations Requested Appropriation Total Appropriations AGP 06-12 $124,995 $89,949 $214,944 AGP 09-03 98,572 35,287 133,859 Total 223,567 125,236 348,803 March 12, 2024 Item #4 Page 4 of 9 RESOLUTION NO. 2024-044 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, APPROVING A $35,287 TRANSFER OF AGRICULTURAL CONVERSION MITIGATION FEE FUNDS FROM BATIQUITOS LAGOON FOUNDATION PROJECT AGP 06-12 TO BATIQUITOS LAGOON FOUNDATION PROJECT AGP 09-03, A $120,236 APPROPRIATION FOR UPCOMING COSTS ASSOCIATED WITH THE PROJECTS, AND AN ADDITIONAL APPROPRIATION OF $5,000 FOR AGP 06-12 TO ALIGN THE CURRENT FY 2023-24 AGRICULTURAL CONVERSION MITIGATION FEE PROGRAM BUDGET AND AUTHORIZING THE CITY MANAGER TO EXECUTE FUNDING AGREEMENTS WITH THE BATIQUITOS LAGOON FOUNDATION WHEREAS, the Carlsbad Municipal Code Section 21.202.060 establishes an Agricultural Conversion Mitigation Fee and the allowable uses; and WHEREAS, on August 2, 2005, the Carlsbad City Council created the Agricultural Conversion Mitigation Fee Ad Hoc Citizens Advisory Committee (Committee); and WHEREAS, the principal charge of the Committee is to make recommendations to the City Council for proposed expenditure from the Agricultural Conversion Mitigation Fee (ACMF) Fun�J_in keeping with the directives approved by the City Council; and . . WHEREAS, on November 13, 2007, the City Council approved Resolution No. 2008-050 which approved the grant award of $780,589 and appropriation of $74,995 for AGP 06-12; and WHEREAS, on June 28, 2009, the City Council approved Resolution No. 2009-03 which approved the grant award and appropriation of $98,571 to project AGP 09-03; and WHEREAS, on April 11, 2017, the City Council approved Resolution No. 2017-061 which approved a funding appropriation of $100,000 for AGP 06-12; and WHEREAS, on February 27, 2018, the City Council approved Resolution No. 2018-025 to reduce the grant award by $50,000 for AGP 06-12; and WHEREAS, on January 31, 2024, the ACMF Committee met and recommended that the City Council approve the request of Batiquitos Lagoon Foundation for funding appropriation of $84,949 to project AGP 06-12, and $35,287 to project AGP 09-03, and a grant award reduction of $35,287 for AGP 06-12; and WHEREAS, an additional $5,000 of committed funds is being requested to align the FY 2023-24 Agricultural Conversion Mitigation Fee budget; and Exhibit 1 March 12, 2024 Item #4 Page 5 of 9 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. That the above recitations are true and correct. 2.That the City Council herby approves the award transfer of Agricultural Conversion Mitigation Fee funds in the amount of $35,287 from Batiquitos Lagoon Foundation Project AGP 06-12 to Batiquitos Lagoon Foundation Project AGP 09-03. 3.That the City Manager, or designee, is hereby authorized to execute funding agreements with Batiquitos Lagoon Foundation, approved as to form by the City Attorney, itemizing the agreed upon milestones and timing of the release of funds. 4.That the City Manager, or designee, is hereby authorized to appropriate $125,236 of ACMF funds according to the terms of the approved funding agreements. PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of.the City of Carlsbad on the 12th day of March, 2024, by the foliowing vote, to wit: AYES: NAVS: ABSTAIN: ABSENT: BLACKBURN, BHAT-PATEL, ACOSTA, BURKHOLDER, LUNA. NONE. NONE. NONE. KEITH BLACKBURN, Mayor SHERRY FREISINGER, City Clerk (SEAL) March 12, 2024 Item #4 Page 6 of 9 RESOLUTION NO. 2024-001 A RESOLUTION OF THE AGRICULTURAL CONVERSION MITIGATION FEE CITIZENS ADVISORY COMMITTEE OF THE CITY OF CARLSBAD, CALIFORNIA, RECOMMENDING THAT THE CITY COUNCIL APPROVE PROJECT CHANGES AS DESCRIBED HEREIN WHEREAS, the Agricultural Conversion Mitigation Fee Citizens Advisory Committee of the City of Carlsbad, California held a noticed public meeting to obtain public input and review and consider projects funded with Agricultural Conversion Mitigation Fee funds; and WHEREAS, on Nov. 18, 2006, the Agricultural Conversion Mitigation Fee Citizens Advisory Committee recommended that the City Council approve an award of $780,589, of which $74,995 appropriated to the Batiquitos Lagoon Foundation for AGP 06-12; and WHEREAS, on Nov. 13, 2007, the City Council approved Resolution No. 2008-050, approving the award of $780,589, of which $74,995 appropriated to the Batiquitos Lagoon Foundation for AGP 06- 12; and WHEREAS, on Nov. 29, 2016, the Agricultural Conversion Mitigation Fee Citizens Advisory Committee recommended that the City Council approve an appropriation of $100,000 to the Batiquitos Lagoon Foundation for AGP 06-12; and WHEREAS, on April 11, 2017, the City Council approved Resolution No. 2017-061, approving an appropriation of $100,000 to the Batiquitos Lagoon Foundation for AGP 06-12; and WHEREAS, on Oct. 26, 2017, the Agricultural Conversion Mitigation Fee Citizens Advisory Committee recommended that the City Council approve a grant award reduction of $50,000 to the Batiquitos Lagoon Foundation for AGP 06-12; and WHEREAS, on Feb. 27, 2018, the City Council approved Resolution No. 2018-025, approving the reduction of $50,000 to the Batiquitos Lagoon Foundation for AGP 06-12; and WHEREAS, on June 15, 2009, the Agricultural Conversion Mitigation Fee Citizens Advisory Committee recommended that the City Council approve a grant award and appropriation of $98,572 to the Batiquitos Lagoon Foundation for AGP 09-03; and WHEREAS, on June 28, 2009, the City Council approved Resolution No. 2009-199, approving the grant award and appropriation of $98,572 to Batiquitos Lagoon Foundation for AGP 09-03; and Exhibit 2 March 12, 2024 Item #4 Page 7 of 9 March 12, 2024 Item #4 Page 8 of 9 WHEREAS, the Batiquitos Lagoon Foundation has requested that the Committee consider an additional award and appropriation request of $35,287 for AGP 09-03 -reducing the award balance of AGP 06-12 by $35,287; and WHEREAS, the Batiquitos Lagoon Foundation has requested that $84,949 be appropriated to project 06-12, and that the remaining award balance be reserved for future AGP 06-12; and WHEREAS, the Agricultural Conversion Mitigation Fee Citizens Advisory Committee of the City of Carlsbad on Jan. 31, 2024, held a noticed public meeting to consider these requests; and NOW, THEREFORE, BE IT RESOLVED by the Agricultural Conversion Mitigation Fee Citizens Advisory Committee of the City of Carlsbad, California, as follows: 1. That the above recitations are true and correct. 2. The Agricultural Conversion Mitigation Fee Citizens Advisory Committee recommends that the City Council approve the project changes provided in Attachment A. PASSED, APPROVED AND ADOPTED at a Regular Meeting of the Agricultural Conversion Mitigation Fee Citizens Advisory Committee of the City of Carlsbad on the 31st day of January, 2024, by the foliowing vote, to wit: AYES: Merz, Householder, Brisbois, Alkire. NAVS: ABSTAIN: ABSENT: None. None. Lichten. March 12, 2024 Item #4 Page 9 of 9 Attachment A AGRICULTURAL CONVERSION MITIGATION FEE CITIZENS ADVISORY COMMITTEE RECOMMENDATIONS FOR PROJECTS AGP 06-12 AND AGP 09-03 Project Batiquitos Lagoon Foundation Requests ACMF Committee Current Status Recommendation Requested Change Requested Total AGP 06-12 ACMFAward: Award Reduction: ACMFAward: ACMFAward: Approved $730,589 (-$35,287 ) $695,302 $695,302 2006 Expended: Appropriated: Current Appropriation: Appropriation: Appropriation: $111,284 $124,995 (+ $84,949) $209,994 $209,994 AGP 09-03 ACMFAward: Award lncrease: ACMFAward: ACMFAward: Approved $98,572 (+ $35,287) $133,859 $133,859 2009 Expended: Appropriated: Current Appropriation: Appropriation: Appropriation: $59,754 $98,572 (+$35,287) $133,859 $133,859