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BACKGROUND PUD-81-30-87D, a Planning Unit Development (PUD) development plan for a 168-unit apartment project and related site improvements was approved by the City Council on June 18, 2013. Prior to approval of the project by the City Council, the applicant requested that the City enter into a Development Agreement relating to this project. The State legislature has enacted California Government Code sections 65864 et seq which authorize the City to enter into an agreement with any person having a legal or equitable interest in real property regarding the development of such property. Further, this statute (Section 65867) requires a public hearing on the proposed Development Agreement be held by the Planning Commission and by the City Council. As noted in Section 65867.5, the Development Agreement shall be approved by ordinance and the provisions of the agreement shall be found to be consistent with the General Plan. In essence, a development agreement locks in the laws in existence at the time of entering into the agreement and the City agrees not to change its planning or zoning laws applicable to the specific development project for a specific period of time. Therefore, future land use decisions regarding such a development project will not be based on the then current planning and zoning law, but rather will be based on the laws as they were in existence at the time the development agreement was executed. In exchange, the City gets certain benefits and concessions that it might not be able to require through conditions of approval. PROJECT DESCRIPTION A project description for the 168-unit apartment development is provided in the attached City Council agenda report of May 21, 2013 (Attachment 2). At its May 21 meeting, the City Council introduced an ordinance to approve the project, and agreed to consider a subsequent development agreement. The draft Development Agreement (Attachment 1, Exhibit A) includes sections regarding the vested right to develop, permitted uses, and applicable law which refer back to the project approval. Other sections cover moratorium, initiatives and conflicting enactments, the life of project approvals, development timing and compliance with State and federal law. The draft Development Agreement also lays out the Developer's Obligations as they relate to development impact fees, traffic mitigation measures, the below-market rate units, school fees, processing fees and permit fees, and park fees. City Obligations are covered in sections on protection of vested rights, availability of public services, developer's right to rebuild, and processing subsequent approvals. The term of the draft Development Agreement is ten years. ENVIRONMENTAL ASSESSMENT On January 4, 2012, the City Council certified a Supplemental Environmental Impact Report (SEIR) and adopted the California Environmental Quality Act (CEQA) Findings and a Statement of Overriding Considerations for the Housing Element update and Climate Action Plan General Plan Amendment and Rezonings. This SEIR was a supplement to the EIR prepared for the Pleasanton 2005-2025 General Plan which was certified in July 2009. The subject property was one of 21 potential housing sites Page 2 of 4