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The First Three Sites In March 2010, the Hacienda Task Force began meeting to develop recommendations for the rezoning of three properties in Hacienda. This resulted, in the spring of 2011, in the City Council approving a Major Modification of Hacienda's PUD for three sites in the development as follows: (1) the WP Carey site (now identified as BRE North) at the southeast corner of Owens Drive and Willow Road (APN 941 - 2778 - 0130 -0); (2) the BRE site at the north corner of Hacienda Drive and Gibraltar Drive (APN 941 - 2778 - 0110 -0); and (3) the Roche Molecular Systems site, south of Gibraltar Drive between Willow Road and Hacienda Drive (a portion of APN 941 - 2761- 003 -00) to allow for residential and mixed use development. The Next Four Sites In October 2010, the City Council convened an 11- member Housing Element Task Force to oversee the update of the City's Housing Element. Following review and discussion of the Task Force's work at its meeting on June 19, 2011, the Planning Commission made recommendations to the City Council on a Draft Housing Element. The Housing Element was ultimately adopted by the City Council on February 13, 2012, resulting in the rezoning of nine sites throughout the City. Four of these nine Housing Element sites are located within Hacienda as follows: (1) the BART site at the northerly end of Willow Road at Owens Drive (APN 941 - 2771 - 0150 -0 and 941 - 2778 - 0020 -0); (2) the California Center site at the northwestern corner of Owens Drive and Rosewood Drive (8.4 acres at the westerly portion of APN 941 - 2780 - 0160 -0); (3) the Nearon site at the northwest corner of Stoneridge Drive and West Las Positas Boulevard (APN 941 - 2764- 0150 -0); and (4) the CM Capital sites at the south side of West Las Positas Boulevard at Hacienda Drive (APN 941 - 2762- 0060 -0 and 941 - 2762- 0110 -1). As with the previous three sites, the Hacienda PUD's were modified in January of 2012 to allow for residential and mixed use development this type of development at these four sites. As part of the analysis of both the initial rezonings and, most importantly the Housing Element, the City performed extensive reviews, particularly of traffic concerns, to carefully analyze impacts. Because of the need to look comprehensively at a variety of future planning scenarios, the environmental analysis looked closely at a number of buildout conditions for not just Hacienda but the entire community. In Hacienda's case, the analysis looked specifically at how new residential development could be accommodated within Hacienda's existing plan at buildout (i.e., assuming the full development of Hacienda under the existing PUD development cap; see discussion below). This analysis demonstrated that such accommodation could occur in conformance with the General Plan. All findings and recommendations in this report are derived from this analysis and are based on modeling using the Pleasanton Traffic Model and reviewed through the Housing Element Environmental Impact Report which followed the California Environmental Quality Act process. Based on the foregoing, staff's recommendation is to exempt the current seven housing sites from Hacienda's development cap and to return to the City Council with a unified program that will clarify how development will be counted in future calculations. In so doing, this exemption will provide the clarification needed to allow Hacienda to accommodate residential development within Pleasanton in furtherance of the City's RHNA objectives without jeopardizing Hacienda's ability to build out under the existing limitations on development. Page 3 of 7