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HomeMy WebLinkAboutMP 133; Occidental Petroleum; Master Plan (MP) (17)WRITE IT—DON'T SA. IT INTER-DEPARTMENT A.M. TO City Manager DATE August 1 19' 75 P.M. Attached is the Attorney General's opinion denying Occidental's claim of exemption. I would like to make copies available to the City Council. Before doing so, we should verify the facts of the opinion. I suggest asking Don to go through it in detail. Sooner or later we'll need such an analysis of the Occidental situation outselves in any case. Of particular interest is the statement that a Tentative Map has been approved in the PC zone without a Specific Plan and the current state of park dedication and school agreements. , .. ^ _, -\ ^-, ,yf:>^ ~V ^0 ^ -* '' *'"' ":"''J 1^ ^—i Attachment REPLY ON THIS SHEET FRO" v city Attorney /ml, / W1LMER "SERVtCf U.NC STANDARD INTER DEFT, MEMO. FORM 1 1-24 J. YOUNGER ATTORNEY GENERAL STATE OF CALIFORNIA OFFICE OF THE ATTORNEY GENERAL Itejrartwmt rf iuatfr? 110 West A St., #600 SSCKKXMXMSCK SAN DIEGO 93101 July 31, 1975 Vincent F. Biondo, JreCity Attorney of Carlsbad 1200 Elm Avenue Carlsbad, CA 92008 Don Agatep City Planner of Carlsbad 1200 Elm Avenue Carlsbad, CA 92008 Re; Occidental Land, Inc. Claim of Exemption FX0137 Dear Vince and Don: Enclosed is a copy of a memorandum regarding the Occidental Land, Inc., Claim of Exemption, before the San Diego Coast Regional Commission. I believe that all of the facts set forth in the memorandum are accurate. However, I would confess to some confusion regarding the history of this development and if you find I am in error in any respect, I would appreciate your informing me, 1 am very appreciative of the time and assistance you both provided me in terms of providing me with background information and making available the City s files. The matter is set for Friday } August 1, before the Coast Commission and I am sure you will learn of the result shortly thereafter. Very truly yours , ANTHONY C. JOSEPH Deputy Attorney General AC J: nl Encs. State.or .California I - Memorandum Department of Justice To s ALL COMMISSIONERS SAN DIEGO COAST REGIONAL COMMISSION Date s July 30, 1975 Fife No.: From : Office of the Attorney General - San Diego ANTHONY C. JOSEPH, Deputy Attorney General Subject: Occidental Land, Inc. Claim of Exemption FX0137 r I. BACKGROUND Occidental Land, Inc. (hereinafter referred to as Occidental) f/iled the present Claim of Exemption on February 21, 1975- The ^ublip Hearing on Occidental's Claim of Exemption was held March 21, M97W Thereafter, on April 11, 1975, a letter requesting additional Info/rmation was sent by the Attorney General's office to Occidental's attorney. By letter of May 7, 1975^ Occidental's attorney asked the Executive Director of the Regional Commission for a continuance of the final vate to a time beyond the sixty-day period for votes on matters before the Regional Commission. This .letter expressly waives the sixty-day provision. The May 1, 1975, letter also states that .the extension of time was sought to provide the information sought by the Attorney General's office. By letter of July 1, 1975* Occidental's attorney provided information and documents relating to the request of the Attorney General's office. The earliest Regional Commission meeting thereafter at which a final vote could be taken was the August 1, 1975s meeting. This was due to the fact that the Fourth of July holiday was on the first Friday in July and no "final vote" matters were heard at the July 18, 1975* meeting. II. FACTS The following facts are based upon materials in the Commission's files, including materials filed by Occidental as attachments to their Claim of Exemption form, materials attached to a letter from Occidental's attorney to the Office of the Attorney General, dated July 1, 1975* and documents obtained by Mr. Joseph of the Attorney General's office from the public records of the City of Carlsbad. A. Property On Which Exemption Is Claimed Occidental claims an exemption from the permit provisions of the Coastal Act for development of all property designated on Exhibit A -1- -2- All Commissioners Re: Occidental Land, Inc. July 30, 1975 attached to Occidental's Claim of Exemption (a copy of which is attached hereto) excluding those properties which are not presently owned by Occidental. (See letter, attached hereto, of April 28, 1975 j from Occidental's attorney to San Diego Coast Regional Commission, attention Thomas A. Crandall.) At the present time, the parcels designated No. 2 (Covington), No. 10 (Sequoia Pacific) and Nos. 11, 12 and 13 (Lusk and Son [see Claim of Exemption Exhibit D]) on the attached Exhibit A are not owned by Occidental and therefore are not part of the Claim of Exemption as clarified by the letter of Occidental's attorney of April 28, 1975- This leaves under the Claim of Exemption the parcels designated 1, 3, 4/5, 6/7, 8 and 9. At various times applications for tentative sub- division maps or specific plans were filed with the City of Carlsbad on Parcels 1 (Hester), 3 (Tracy-Woods) and 9 (Shopper's World) by developers other than Occidental. Exhibits B, 0, F and G attached to Occidental's Claim of Exemption are lists of obligations and expenditures the preponderance of which relate to property not presently in the ownership of Occidental. The expenditures and "obligations" set forth in such exhibits must be reevaluated in terms of the property now owned by Occidental. As an example of such recalculation, Exhibit B lists all of the claimed costs of completed improvements. All of the listed costs with the exception of the Alta Mira Sewer Oversizing f|30,000} the sewer east of the freeway and north of Poinsettia ($30,000) and the Encina Sewer extension ($360,000) relate directly to Sequoia Pacific's mobile home park (Parcel 10). Also, a portion of the Encina Sewer Oversizing would be attribu- table to Sequoia Pacific's mobile home park, which is not owned by Occidental, and to the property owned by Lusk and Son (Parcels 11, 12 and 13). It appears that Occidental Land, Inc., does not intend to develop any of the individual parcels of property. Several developers who apparently did not complete a purchase of parcels of the property set forth on Exhibit A have filed for tentative subdivision maps or specific plan approval from the City of Carlsbad. Such filings have occurred in regard to Parcel 1 (Tentative Map 73-23 and Specific Plan-135). Parcel 3 (Tentative Map 73-58, Specific Plan-l47, Tentative Map 7^-23 and Specific Plan-165), and Parcel 9 (Specific Plan-152). - The only portion of the property set forth on Exhibit A on which construction has been commenced is the mobile home park on Parcel 10 which is owned by Sequoia Pacific. In addition, a sewer line from the Encina Sewer Treatment Plant has been run to the border of the property to service all the parcels west of Interstate 5 as set forth on Exhibit A. Four of the seven parcels in such area are owned by Sequoia Pacific or Lusk and Son. The three remaining properties are zoned for commercial use and it is likely that the extent of the use of the sewer by such commercial developments will be substantially less than the use of the sewer by the four residential developments which have been under discussion with the City of Carlsbad. All Commissioners Re: Occidental Land, Inc. July 30, 1975 B. Present Development Status Of Parcels Owned By Occidental The status of development of the properties now apparently owned by Occidental is set forth in part in Exhibit D to the Claim of Exemption. In that exhibit, it is indicated that a Tentative Subdivision Map for Parcel 1 was approved by the Carlsbad City Council in September of 1974. (See City Council Resolution No. 3503.) Specific Plan 135 sought for Parcel 1 has never been approved, although it was considered by the Carlsbad Planning Commission on November 13, 1973- No other specific plan in regard to Parcel 1 has been adopted. Several tentative subdivision maps and specific plans for Parcel 3 were presented to the City of Carlsbad. (Tentative Map 73-58, Tentative Map 74-23, Specific Plan-l47 and Specific Plan-3.69.) Hov/ever, it appears that the last tentative map and specific plan filed with Carlsbad were not considered by the Planning Commission or the City Council. The Carlsbad Planning Staff recommended denial of the last tentative map and specific plan filed on Parcel 3. In part, the negative recommendation was based on the analysis of the Assistant Planner of the City of Carlsbad in a memo of March 11, 1975j to the Planning Commission wherein it is indicated: "It is noted that in the absence of an approved Specific Plan, land in the P-C Zone may not be subdivided." (Also relating to development of Parcel 3 are the following letters: (1) from the City of Carlsbad to Jim D. Johnson, President, Occidental Land, Inc., January 15, 1975; (2) from G. Richard Smith, General Counsel of Occidental Land, Inc., to Mr. Ralph Plender, Assistant Planning Director, City of Carlsbad, December 11, 1974; and (3) from R. A. Crawford, District Superintendent, Carlsbad Unified School District to the City of Carlsbad, dated January 14, 1975.) Other than Parcels 1 and 3 on Exhibit A, all of the remaining parcels in the ownership of Occidental are presently zoned for commercial uses. Parcel 4/5 was recorded as an independent parcel by means of subdivision in July of 1974. Occidental indicates in Exhibit D to the Claim of Exemption that this parcel is in "preliminary design phase". Carlsbad City Ordinance No. 9245 (adopted January 6, 1970) adopted specific plans for each of these four parcels. The specific plans included conditions that required approval of details of the driveway locations as to each commercial property and of a concept of architecture to be adopted for all the commercial areas. (See sections 3A and G of Carlsbad Ordinance No. 9245.) At the time of adoption of the four commercial zone specific plans, no tentative subdivision map had been approved as to the commercial parcels of property. By means of Resolution No. 3130 of the City of Carlsbad (adopted on May 15, 1973), a tentative map (CT 71-2) -4- All Commissioners Re: Occidental Land., Inc. July 30, 1975 was approved which included a division of the land west of Interstate 5 into six parcels. Three of the six parcels into which the property was divided are Parcels 6/7 , 8 and 9- A Specific Plan No. 152 was applied for on Parcel 9 in October of 1973. Such plan was in regard to an application on behalf of Shopper's World and was tabled at the request of Occidental by a letter to Mr. E. W. Dominguez, Chairman of the City of Carlsbad Planning Commission dated January 18, C. "Master Plan" And Governmental Approvals It appears that Occidental bases its Claim of Exemption upon the approval of a "master plan" and changes in zoning by the City of Carlsbad at the request of H. B. Development, Occidental's predecessor, obtained in December of 1969 and January of 1970. (See Exhibit E to Claim of Exemption.) The background memo from Carlsbad's City Manager to the Planning Commission dated November 19 3 1969 3 in regard to the H. B. Development Company's "master plan" request, indicates that changes in density in regard to the zones involved in the land set forth on Exhibit A would be required. The City Manager's memo specifically indicates in Item B ("Reclas- sification to Planned Community Zone and Adoption of Master Plan") that : "Those areas to be developed as planned community will be done so in conformance with the City Planned Community Ordinance (No. 9218), which stipulates submittal of Specific Plans and Tentative Subdivision Maps for review by the Planning Commission and City Council, prior to development." (See Paragraph 3 of Item B, page 3 of memorandum. ) Paragraph 4 of Item B states: "The Specific Plans, which will be submitted at a later date, shall delineate the locations of all proposed structures, open space areas, residential road systems, etc. The Tentative Map will designate the tentative configuration of all "the lots to be created, including the parks and school sites, as well as tentative details on street design and utility layouts." On page 6 of the Carlsbad City Manager's memorandum, section V sets forth conditions of the "master plan". The first of those conditions is "that those areas reclassified to Planned Community be developed in conformance with Ordinance No. 9218". Ordinance No. 92 18 is an ordinance of the City of Carlsbad regarding creation of planned community zones* Section 1380 of that ordinance states: -5- All Commissioners Re: Occidental Land, Inc. July 30, 1975 "Prior to the time of development of any area within the Master Development Plan, a Specific Plan prepared by. a registered architect, or a civil engineer for the specific area proposed for development shall be adopted, which said specific plan shall include at least the following: E. The proposed use of all land. F. The number of dwelling units per net acre. G. The location, dimensions and types of improvement proposed for all streets, walkways, driveways, parking and service areas. H. The location, height, number of stories and number of units for each proposed residential structure." (Numerous other requirements which set forth the details and specifics of any specific plan for a planned com- munity development are included in Paragraphs J through 0.) The effect of the "master plan" (see Carlsbad City Council Resolution Nos. 1670 and 1671) was to rezone portions of the property and to increase allowed densities in the new zones within the land then owned-by H. B. Development which was thereafter sold to Occidental. The "Master Plan" obtained by Occidental from the City of Carlsbad is limited to Planned Community zones only.(See Ordinance No. 9218, section 1376.) The Planned Community zones within the property set forth on Exhibit A are Parcels 1, 2, 3, 12 and 13. Only Parcels 1 and 3 are now owned by Occidental. No tentative map has been approved as to Parcel 3 at any time. No specific plan.has been approved as to either Parcel 1 or 3 at any time. A tentative map was approved for Parcel 1 in September 1974. D. Interdependency And Obligations Of Occidental Finally3 in support of its Claim of Exemption, Occidental contends "there is interdependency of each portion of the project upon every other portion." (See Exhibit I to the Claim of Exemption.) In support of this position, Occidental indicates that the sewer already ins-tailed (by which Occidental must mean both the Encina. Sewer extension and the sewer extension to the property East of Interstate 5) has been designed to accommodate the entire project. Occidental also states that, "School and park sites are dependent upon the completion of the project in its entirety, the quantity and quality of which were determined initially by the size of the project as presented." Occidental also contends that it has a contingent liability in connection with the railroad overpass at Poinsettia Lane and the Atchison, Topeka, Santa Fe Railroad Crossing and obligations to purchasers and developers of the land for construction of streets, roads, sewers and drainage. (See Exhibits -6- All Commissioners Re: Occidental Land, Inc. July 30, 1975 H and I to the Claim of Exemption.) 1- Railroad Overpass The agreement to construct an overpass at the Atchison, Topeka, Santa Fe Railroad has undergone many changes during the period involved in the ownership of the land set forth on Exhibit A by H. B. Development and Occidental. The initial agreement of 'July 73 19703 provided that plans and specifications for the overpass will be subject to the approval of "all appropriate governmental agencies". The First Supplement to the railroad overpass agreement dated July 2, 1974, indicates that "Occidental's obligation to deposit funds for the overpass is delayed pending receipt of Regional Commission's approval of the project™. (See Paragraph 1.) In the First Supplement, Occidental agrees that it will "use its best efforts to secure Coast Regional Commission's approval of the project through a permit or claim of exemption". (See Paragraph 2 of Supplement to the Agreement.) The San Diego Regional Coastal Commission has denied a permit to construct such railroad overpass. 2- Dedication Of Property The only evidence of any dedication of property to the City of Carlsbad is a dedication made on August 6, 1973, of a parcel approximately three hundred feet by five hundred and eighty feet at the northeast corner of Poinsettia Lane and an extension of Batiquitos Drive. This property was dedicated in connection with approval of a development which was to be undertaken by Lusk and Son on Parcels 11, 12 or 13, which were not then and are not now in the ownership of Occidental. There is no evidence of any further dedication in any of the materials filed by Occidental. The agreement between the Carlsbad Unified School District and Occidental Land, Inc., dated June 18, 1974, arrived at a means of assessing fees or apportioning the fees for school dedication purposes applies only to Parcels 1, 3, 11, 12 and 13. Further, , in Paragraph 11 of the agreement with the Carlsbad Unified School 1 w District, it is indicated that the agreement and the obligations ' thereunder shall terminate in the event that approvals of tentative tract maps then pending for the development land in the designated parcels are denied Occidental; or if its successors or assigns are unable to proceed with.construction on the designated parcels. 3. Obligations Of Occidental The only documents in the administrative file relating to obli- gations of Occidental to purchasers of portions of the property set forth on Exhibit A are the purchase agreement between Occidental -7- All Commissioners Re: Occidental Land, Inc. July 30, 1975 and Lusk and Son dated May 12, 1972, and the agreement of purchase and sale between Occidental and Sequoia Pacific dated February 18, 1971. In Paragraph II of the Lusk and Son purchase agreement, Occidental agrees that prior to the closing date of the escrow sewer, water, storm drains and other off-site improvements will be brought to the property line of the parcels involved. No evidence of whether utilities, other than sewer lines, were already to the property line is contained in the files. Nor is there any evidence in the administrative file that any of the listed utilities have been extended to date or will be in the future. In the agreement of purchase and sale between Occidental and Sequoia Pacific dated February 18, 1971* Occidental agrees to construct and install sewer lines and storm drains to the property. Occidental states that a sewer line from the Encina Sewage Treatment Plant was brought to the property by Occidental at a cost of $360,000. The contemplated use of this sewer line by Lusk and Son in the development of Parcels 11, 12 and 13, and the reim- bursement by other developers between the property set forth on Exhibit A and the Encina Sewage Treatment Plant has been discussed above. E. EIRs And Offer Of Property For Sale The Planning Director of the City of Carlsbad in a memorandum of April 2^, 1973 * commenting on the Environmental Impact Report for all of the property set forth on Exhibit A stated, u . . . this report addresses the entire 360-acre project in general terms, additional information will be necessary to adequately assess individual projects and their impacts. As each phase of the project is submitted to the City, specific con- sideration will be given to schools, public services, design, etc. as they relate to this final Environ- mental Impact Report." For sale signs have been located on the property in view of Interstate 5 for many months. Occidental indicates in the letter of July 1, 1975* to the Office of the Attorney General that Occidental would consider an offer to buy the land but that they feel that such an offer will not be forthcoming without the right to develop the property in accordance with the "master plan . -8- All Commissioners Re: Occidental Land, Inc. July 30, 1975 III. ISSUES TO BE DETERMINED In ruling on Occidental's Claim of Exemption, it is necessary to determine: • ., 1. Whether all required governmental approvals were obtained prior to the effective date of the act; 2. Whether Occidental diligently commenced con- struction and performed substantial work on the development and incurred substantial liabilities - for work and materials necessary therefor; and 3- Whether the concept of "interdependency" is applicable. A. Required Governmental Approvals To obtain an exemption from the permit requirement of the Coastal Act, a claimant must have acquired vested rights pursuant to final. fovernmental approvals as of November 8, 1972. (Pub. Res. Code 27404.) To have a vested right, the claimant must show that it has relied upon the final discretionary approvals of the local government to which its development is subject, by diligently commencing construction and performing substantial work on the development and incurring substantial liabilities for work and materials necessary therefor. (Pub. Res. Code § 27404.) Reliance may only be shown through expenditures or work occurring after the final governmental discretionary approvals. Aries Development_Cp. v. California Coastal Zone Conservation Com., 48 Gal. App. 3d 334, 539~(1975)•Expenditures for the purchase of land made in advance of final governmental discretionary approval may not be considered in determining whether substantial liabilities have been incurred or construction has commenced. See Aries, Ibid. The concept of vested rights is based upon the rationale that where the government has authorized an action, and such action has been taken in reliance on that authorization, it is unfair to permit the government to then rescind its authorization or impose new require- ments. If, however, the government has not given its final discre- tionary authorization, a person who proceeds with a project on the assumption that authorization will follow does so at his own risk. In such a case, the government has not induced reliance, and there is no unfairness in permitting it to change the standards for ob- taining government authorization. -9- All Commissioners Re: Occidental Land, Inc. July 30, 1975 In the present matter, Occidental relies principally upon the "master plan" which was adopted by -the Carlsbad City Council in late 1969- The effect of the City's approval of the "master plan" was to increase densities in certain zones, and to rezone certain portions of the property. Both the master plan and the ordinance controlling development of planned community districts within the City of Carlsbad require approval of tentative maps and specific plans prior to construction of any development sub- ject to the master plan. Final governmental approval on the residential properties owned by Occidental is far from being completed. At this date, neither a tentative subdivision map nor specific plan has been approved for Parcel 3. As to Parcel 1, tentative subdivision map approval was obtained in September of 1974, but no specific plan has been appr ov ed. Although specific plans were adopted for the four commercial par- cels (Parcels 4/5, 6/7, 8 and 9) prior to the effective date of the Coastal Zone Conservation Act, approval of a tentative subdi- vision map did not occur until the adoption of Tentative Map 71-2 in May of 1973- (Carlsbad City Council Resolution Ho. 3130.) Since all discretionary governmental approvals were obtained long after the November 8, 1972, effective date of the Coastal Zone Conservation Act there was no governmental approval on which a claim of vested rights can be based. B. Commencing Construction and Performing Substantial Work Even if final discretionary governmental approvals had been granted prior to November 8, 1972, the Claim of Exemption would fail be- cause no construction or work has occurred on the parcels owned by Occidental. The only construction which has occurred in regard to the land presently owned by Occidental is the extension of sewers to the property both east and west of Interstate 5- The sewer ex- tension to the west of Interstate 5 was necessary for the develop- ment of Parcel 10, a parcel owned by Sequoia Pacific, and the only parcel on which construction has occurred. To fulfill the need for commencing construction Occidental relies on its "obligations" to developers and to the City of Carlsbad in regard to bringing off-site improvements to parcels of property sold by Occidental, and in regard to the dedication of property for school and park purposes. The only indication of any such expenditures con- tained in the material filed by Occidental are the extension of the Encina sewer lines, the oversizing of the Alta Mira sewer lines and the extension of a sewer line to the property east of Interstate 5- -10- All Commissioners Re: Occidental Land, Inc. " July $0, 1975 The total expenditures for all of these properties were $420,000. This amount must be considered in terms of the overall estimated costs of development of all the property in Exhibit A of in excess of 55 million dollars. (See Exhibit P to the Claim of Exemption.) Further, these costs are reimbursable and were undertaken in part for developers other than Occidental. If the completed construc- tion cost claimed -by Occidental in Exhibit B to the Claim of Exemption is reduced by the expenditures attributable to non- Occidental parcels the total is reduced from $3*520,000 to a maximum of $420,000 - and probably to a more realistic amount of approximately $200,000. Also, the major cost of the Encina Sewer extension will be reimbursed as development occurs west of Interstate 5 and between the Encina Sewage Treatment Plant and the property set forth on Exhibit A. The sole dedication of land which has occurred is an approximately four-acre parcel. This dedication is tied at least partially to approvals of projects owned by Lusk and Son. This dedication did not occur until August 6, 1973> long after the effective date of the Coastal Zone Conservation Initiative. The obligation to construct the railroad overpass is based in part on the development of parcels owned by Sequoia Pacific and Lusk and Son. . The obligation to construct the overpass is dependent upon Coastal Commission approval. The obligation to construct the over- pass and many other so-called obligations are tied to various agree- ments with the City of Carlsbad and may all be dependent upon whether the projects contemplated are completed. Any agreements to dedicate real property or construct the railroad overpass were incurred in connection with obtaining the enactment of an ordinance or issuance of permits in relation to contemplated development of the property set forth on Exhibit A. Therefore, even if such agreements were found to be binding on Occidental, the cost of fulfilling such "obligations" are not deemed to be liabilities for work and materials necessary to meet the vested rights criteria of Public Resources Code section 27404 (see Pub. Res. Code § 27404). C. Int erdep endency Occidental claims that the entire project and each parcel within it is dependent upon the development of every other parcel. While any development of real property may be dependent to some extent upon a neighboring parcel of real property, such a geographical relationship does not create an interdependency within the legal framework necessary to provide a vested right to complete construc- tion. It is clear that portions of the property involved in this -11- All Commissioners Re: Occidental Land, Inc. July 30, 1975 Claim of Exemption can be developed independently from other portions of the property. The mobile home park on Parcel 10 has been completed and is operating at this time. No further development has occurred. One of the four parcels of commercial property was sought to be developed separately from the specific plans previously filed on such parcels. In connection with the Shopper's World's applica- tion no additional modification of the specific plan of the re- maining commercial property was sought. In order to find interdependency, each portion of a project must be necessary to the other portions so that the parts effectively create a single project. In the present situation, no such facts are present. Occidental and its purchasers have sought approval of each parcel separately before the City of Carlsbad. Since the adoption of zoning changes and increased densities by the "master plan," every application to the City of Carlsbad has been on a parcel by parcel basis. Interdependency presumes that a portion of a project has been developed which cannot properly function unless additional portions of the project are completed. Occidental has not undertaken any construction on the property set forth on Exhibit A. The only construction which occurred was on the part of Sequoia Pacific. Since no construction by Occidental has been completed, there cannot be any project, dependent upon the developments which Occidental now claims and exempted from the permit requirements of the Coastal Zone Conservation Act. CONCLUSION Based on the facts set forth herein and in the Claim of Exemption of Occidental, it is the opinion of the undersigned that the appli- cant has not sustained the burden of proof necessary for an exemption from the permit requirements of the Coastal Zone Conservation Act. _ ANTHONY C . JOSEPH Deputy Attorney General ACJ:alb ..;•'" \— . • '-} LAW OFFICES OF ...... DAUBNEY, BANCHE, PATTERSON, NARES AND REED _, A PROFESSIONAL. CORPORATIONWIU.1AM H. DAU.HIT AREA CODE 714 WCHOLA.C.BANCHE 7O2 FOURTH STREET ^rfU* fi.l^ > TJJLEPHONE 722-1331 JOKK*. PATTERN POST OFFICE BOX 33O OILBCRT MARU • OCEANSTDE. CALIFORNIA 92064 ...» ' KENNETH K. DUO °'''""" ' \]P~April 28, 1975 San Diego Coast Regional Commission 6154 Mission Gorge Road Suite 220 San Diego, California 92120 Re: FX0137 Attention: Thomas A. Crandall Dear Tom: As a follow-up to our telephone conversation of recent date with regard to the above-referenced matter, please accept this letter as a formal amendment to our application for exemption, in order to absolutely clarify any misunderstanding which may exist with regard to the property encompassed by the exemption. Obviously, the application of Occidental Land, Inc., can only affect land which that entity owns. As a matter of fact, Exhibit "B" to the application would seem to clearly set forth that some of the land encompassed by the original H B Development Company .plan has already been developed, or processed for permit, Obviously, our application for exemption can in no way affect the land owned by Covington Brothers, nor the land owned by Sequoia Pacific, nor for that matter, the land owned by anyone other than Occidental Land, Inc. While I understand that neither you nor myself was confused by our application, nevertheless I did want to provide this letter in order that no other person might be confused. As usual, your courtesy and cooperation are appreciated. Sincerely, ECHOLAS C. BANCHE NCB:lg