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EIP Proposal to Prepare an EIR and Provide Planning Consulting Services for The First and Fourth Street Corridors Mixed -Use Overlay Zone January 6, 2006 Section 1. PROJECT UNDERSTANDING It is our understanding that the City's objectives forth is project are to create general plan and zoning tools that will allow a mix of land uses to complement and support increased development intensity in this area. The City desires to facilitate new development consistent with this objective by completing the necessary planning and environmental analysis up front including a general plan amendment, zoning code amendment, and the required environmental review and analysis. This project was precipitated by two pending proposals for mixed use projects that include high-density residential and the need for the City to establish appropriate regulatory tools to review and evaluate these proposals within the context of a cohesive and integrated development strategy for the Overlay Zone area. Generally, we understand that the project will have the following components: • Program level of analysis for the 200+ acre planning area as well as project specific analysis for the Arnel property, currently optioned to Shea Homes, and the Capital Pacific/Makar property which is the old Racquetball World site. We understand that Capital Pacific also may look to develop other properties within the Overlay Zone though no other specific locations have yet been identified. • A 9-12 month project schedule. • Analyze the impacts of an overall FAR of 2.0 within the project area at a maximum residential density of 90 units/acre, as currently permitted in the District Center land use designation. • Analyze the short-term impacts (for project specific components), then long term impacts (to 2030) for programmatic components. • A general plan amendment and zone change.