DATE: April 11, 2023
SUBJECT:
Title
PRESENTATION AND DIRECTION TO STAFF ON THE FRAMEWORK FOR THE PREPARATION OF A DRAFT TRUST LANDS USE PLAN FOR THE SUBMERGED LANDS AND TIDELANDS GRANTED TO THE DISTRICT THROUGH SENATE BILL 507
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EXECUTIVE SUMMARY:
On January 1, 2020, Senate Bill (SB) 507 (Attachment A) was enacted, which granted in trust certain submerged lands and tidelands in and around San Diego Bay (Bay) to San Diego Unified Port District (District) management from the California State Lands Commission (CSLC). One requirement of the legislation is for the District to prepare a Trust Lands Use Plan for the newly granted area. Per SB 507, the Trust Lands Use Plan (TLUP) should describe any proposed development, preservation, or other use of this area. Based on the legislation and further confirmation from CSLC staff, the TLUP will be prepared as a Port Master Plan Amendment (PMPA) pursuant to section 30711 of the California Coastal Act, as a PMPA will include the required contents of the TLUP. Once certified by the California Coastal Commission (CCC), the TLUP PMPA will provide the District with coastal permitting authority over the granted area. To prepare the TLUP, staff is following an approach that is similar to the Integrated Planning process utilized for preparation of the Port Master Plan Update (PMPU). This approach allows the District to build upon the foundation established by the PMPU, which will maintain consistency between these two planning documents. Staff anticipates releasing a Discussion Draft of the TLUP in late spring/early summer 2023 for public review. A draft of the presentation for this item is included as Attachment B.
RECOMMENDATION:
Recommendation
Receive a presentation and provide direction to staff on the framework for the preparation of a Draft Trust Lands Use Plan for the submerged land and tidelands granted to the District through Senate Bill 507.
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FISCAL IMPACT:
Funds for work associated with the Trust Lands Use Plan effort are budgeted in the Planning Department’s FY 2024 budget within the Professional Services expense account (#620100). Funds required for future fiscal years will be budgeted for in the appropriate year subject to Board approval upon adoption of each fiscal year’s budget.
Compass Strategic Goals:
This agenda item supports the following Strategic Goal(s).
• A Port that the public understands and trusts.
• A thriving and modern maritime seaport.
• A vibrant waterfront destination where residents and visitors converge.
• A Port with a healthy and sustainable bay and its environment.
• A Port with a comprehensive vision for Port land and water uses integrated to regional plans.
• A Port that is a safe place to visit, work and play.
• A financially sustainable Port that drives job creation and regional economic vitality.
DISCUSSION:
On January 1, 2020, SB 507 was enacted, which granted in trust certain submerged lands and tidelands in and around the Bay to District management from the CSLC. In addition to granting these submerged lands and tidelands to the District’s management, the legislation also: (1) requires the District at the end every fiscal year to transfer to the CSLC a specified amount of the revenues generated on the SB 507 granted area, and (2) requires the District to prepare and submit a Trust Lands Use Plan to the CSLC by January 1, 2024. While this item focuses on the preparation of the Trust Lands Use Plan, District staff would like to note that since the enactment of SB 507, staff has coordinated with the CSLC and lessees within the granted area to transfer the leases to the District’s management (as they were previously between the lessee and the CSLC), and to make the required annual payment every fiscal year.
Trust Lands Use Plan
Per SB 507, the TLUP should describe any proposed development, preservation, or other use of the granted area. The TLUP must be submitted to the CSLC on or before January 1, 2024 and thereafter, the District must submit to the CSLC for its approval any proposed changes or amendments to the TLUP. Based on the legislation and further confirmation from CSLC staff, the TLUP will be prepared as a PMPA pursuant to Section 30711 of the California Coastal Act, as a PMPA will include the required contents of the TLUP. Once certified by the CCC, a PMPA will also provide the District with coastal permitting authority over the granted area.
To prepare the TLUP, staff is following an approach that is similar to the Integrated Planning process utilized for the PMPU. This approach allows the District to build upon the foundation established by the PMPU, which will help to maintain consistency between these two planning documents. The TLUP drafting process entails the advancement of relevant components proposed in the Draft PMPU: Baywide goals, objectives, and policies within the six elements (Water and Land Use, Mobility, Ecology, Safety & Resiliency, Environmental Justice, and Economics); water and land use designations and use types; and Baywide development standards. The TLUP also includes new goals, objectives, policies, and water and land use designations and use types relevant to the newly granted area, as well as site-specific planned improvements, development standards, and water and land use maps for the four new Planning Districts (North Bay, North Central Bay, South Central Bay, and South Bay). The boundaries of the TLUP’s new Planning Districts follow the ecoregions identified in the joint U.S. Navy and District Integrated Natural Resources Management Plan.
Timeline and Process
Staff’s proposed steps to preparing a TLUP for submittal to the CSLC include:
• Late Spring/Early Summer 2023: release a “Discussion Draft” for a 30- day review period to receive early stakeholder and public feedback on the TLUP.
• Once the review period has ended, prepare a Draft TLUP based on feedback received on the Discussion Draft.
• Fall 2023: present a Draft TLUP to the Board for additional feedback and consideration to direct staff to submit the draft to the CSLC.
• Process Draft TLUP with CSLC for conditional acceptance: staff have received preliminary feedback from CSLC staff that the submittal of a draft TLUP to the CSLC prior to January 1, 2024 would satisfy the legislation. CSLC staff also recommended that District staff provide a presentation update to the CSLC on the development of the TLUP prior to January 1, 2024 to show the progress made. At this step, staff anticipates requesting “conditional acceptance” from the CSLC on the Draft TLUP. Staff will continue to coordinate with CSLC to incorporate additional feedback or public comments as subsequent steps in the process advance.
• California Environmental Quality Act (anticipated 12-18 months): after Board consideration, the Draft TLUP will be used as the basis for a project description to analyze under the California Environmental Quality Act (CEQA).
• Process Draft TLUP with CCC (anticipated 10-12 months): following the CEQA process, staff will formally process the Draft TLUP as a PMPA with CCC staff.
• Process TLUP with CSLC for final approval: Once the TLUP PMPA is certified by CCC, it will be submitted to CSLC for final approval.
Stakeholder Engagement
Stakeholder engagement is a key component to this planning process. Staff has started, and will continue, to hold focused discussions with organizations, agencies, lessees, and other Bay stakeholders to obtain input on the process, potential opportunities, and key considerations.
General Counsel’s Comments:
The Office of the General Counsel has reviewed this agenda sheet and attachments, as presented to it, and approves the same as to form and legality.
Environmental Review:
The proposed Board action, including without limitation, receiving an informational presentation on the framework for the preparation of a Trust Lands Use Plan (TLUP) pursuant to Senate Bill 507, as well direction from the Board on the approach for preparing the TLUP, does not constitute a project under the definition set forth in California Environmental Quality Act (CEQA) Guidelines Sections 15352 and 15378 because no direct or indirect changes to the physical environment would occur. CEQA requires that the District adequately assess the environmental impacts of projects and reasonably foreseeable activities that may result from projects prior to the approval of the same. Any project developed as a result of the proposed Board action requiring the District or the Board’s discretionary approval resulting in a physical change to the environment would be analyzed in accordance with CEQA prior to such approval. CEQA review may result in the District, in its sole and absolute discretion, requiring implementation of mitigation measures, adopting an alternative, including without limitation, a “no project alternative” or adopting a Statement of Overriding Consideration, if required. The exercise of this discretion is in no way limited by this proposed Board action. Therefore, no further CEQA review is required.
The proposed Board action complies with Section 5.7(c)(2)(d) of the Port Act, which requires the District to prepare a trust lands use plan for the area transferred through SB 507. The Port Act was enacted by the California Legislature and is consistent with the Public Trust Doctrine. Consequently, the proposed Board action is consistent with the Public Trust Doctrine.
The proposed Board action does not allow for development, as defined in Section 30106 of the California Coastal Act, or new development, pursuant to Section 1.a. of the District’s Coastal Development Permit (CDP) Regulations because there will not be, without limitation, a physical change, change in use or increase the intensity of uses. Therefore, issuance of a Coastal Development Permit or exclusion is not required. However, development within the District requires processing under the District’s CDP Regulations. Future development would remain subject to its own independent review pursuant to the District’s certified CDP Regulations, Port Master Plan (PMP), and the relevant chapter(s) of the Coastal Act. The exercise of the District’s discretion under the District’s CDP Regulations is in no way limited by the proposed Board action.
Diversity, Equity, and Inclusion Program:
This agenda sheet has no direct DEI impact on District workforce or contract reporting at this time.
PREPARED BY:
Lesley Nishihira,
Director, Planning
Lily Tsukayama
Senior Planner, Planning
Attachment(s):
Attachment A: Senate Bill 507
Attachment B: Draft Presentation for Item 2023-0093