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HomeMy WebLinkAboutPC Reso 18-5 (2851, 2901, 3001 and 3125 PCH)P.C. RESOLUTION 18-5 A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF HERMOSA BEACH, CALIFORNIA, CERTIFYING THE FINAL ENVIRONMENTAL IMPACT REPORT AND ADOPTING THE MITIGATION MONITORING AND REPORTING PLAN FOR THE SKECHERS PROJECT AT 2851, 2901, 3001 AND 3125 PACIFIC COAST HIGHWAY IN HERMOSA BEACH, CALIFORNIA AND 305, 309, 317, 330 SOUTH SEPULVEDA BOULEVARD AND 1050 DUNCAN A VENUE IN MANHATTAN BEACH, CALIFORNIA; APPROVING A PRECISE DEVELOPMENT PLAN AND PARKING PLAN FOR A MULTI-STORY OFFICE BUILDING WITH SUBTERRANEAN PARKING TO BE LOCATED AT 2851 AND 2901 PACIFIC COAST HIGHWAY, HERMOSA BEACH, CALIFORNIA, WITH A PEDESTRIAN TUNNEL BENEATH 30TH STREET TO CONNECT THE BUILDING TO A MULTI-STORY OFFICE BUILDING WITH SUBTERRANEAN PARKING TO BE LOCATED AT 3001 AND 3125 PACIFIC COAST HIGHWAY; AND MAKING A FINDING OF GENERAL PLAN CONSISTENCY REGARDING THE PROPOSED VACATION OF A PORTION OF AN ALLEY LOCATED WEST OF 2851 PACIFIC COAST HIGHWAY The Planning Commission of the City of Hermosa Beach does hereby resolve and order as follows: Section l. In October 2014, Sepulveda Design Center LLC (Skechers USA, Inc.) (the "Applicant") filed applications for Precise Development Plan 14-24 and Parking Plan 14-9 to develop a multi-story office building with subterranean parking to be located at 2851 and 2901 Pacific Coast Highway, with a pedest,·i.an tunnel beneath 30th Sb·eet to connect the building to a multi-story building with subterranean parking to be located at 3001 and 3125 Pacific Coast Highway, and a request to vacate the remaining portion of the alley west of/behind 2851 Pacific Coast Highway. Section 2. The City prepared an Initial Study for the Project pursuant to Section 15063 of the State Guidelines implementing the California Environmental Quality Act ("CEQA"). The Initial Study concluded that there was substantial evidence that the Project has the potential to have significant environmental impacts. As such, the City prepared an Environmental Impact Report for the subject project. Section 3. Based upon this determination, a Draft Environmental Impact Report (Draft EIR) was circulated to public agencies, interested organizations and individuals for review from June 16, 2017 until August 15, 2017. Comments were submitted on the Draft EIR during the public review period, via email and other written correspondence and via public testimony at a Planning Commission meeting of July 18, 2017. Responses Page 1 -Design Center to each of the comments were prepared. A Final Environmental Impact Report (Final EIR) has been prepared, which includes the Draft EIR, responses to comments, and an explanation of certain revisions to the Project and to the environmental documentation in response to the public comments. A Mitigation Monitoring and Reporting Plan (MMRP) has also been prepared. Implementation of the mitigation measures listed therein would avoid or substantially reduce the significant impacts identified in the Final EIR to the extent feasible, and the MMRP indicates how compliance with each measure will be verified, the general timing of implementation of each measure, and the agency responsible for verifying compliance with each measure. In accordance with CEQA Section 21082.1, the Planning Commission independently reviewed and analyzed the Final EIR and the administrative record relating to the proposed project. The Final EIR constitutes an accurate and complete statement of the environmental impacts of the proposed project and good faith effort at full disclosure under CEQA. The Final EIR reflects the independent judgment of the Planning Commission and it hereby adopts the facts and analysis in the Final EIR and in Exhibit A to this resolution, "Hermosa Beach Planning Commission Project CEQA Findings and Statement of Overriding Considerations For the Skechers Project at 2851, 2901, 3001 and 3125 Pacific Coast Highway in Hermosa Beach, California and 305, 309, 317 and 330 South Sepulveda and 1050 Duncan Avenue in Manhattan Beach, California." The Planning Commission hereby certifies the Final EIR and adopts the Mitigation Monitoring and Reporting Plan, attached to this resolution as Exhibit B. The omission of some detail or aspect of the Final EIR does not mean that it has been rejected by the Planning Commission Section 4. Based on the testimony and evidence received, the Planning Commission makes the following findings pertaining to the application for a Precise Development Plan pursuant to Section 17.58.030 of the Hermosa Beach Municipal Code (HBMC): 1. Distance from existing residential uses in relation to negative effects: The EIR addresses impacts of development and long-term use of a new Design Center (2851 and 2901 Pacific Coast Highway) with Executive Offices (3001 and 3125 Pacific Coast Highway) in Hermosa Beach and two proposed office buildings in Manhattan Beach (305 and 330 S. Sepulveda Boulevard). The environmental analysis identifies the need to mitigate potential impacts related to air quality, biological resources, cultural resources, geology and soils, hazards, and groundwater, and the EIR provides feasible measures that would fully mitigate these impacts. Project impacts related to aesthetics, greenhouse gas emissions, hydrology and water quality, land use, public services and utilities are found to be less than significant and do not require mitigation. The Hermosa Beach component of the project would also result in construction- related temporary, but prolonged noise impacts to nearby sensitive uses (residences and a daycare facility). Due to the proximity of these sensitive uses, the nature of Page 2 -Design Center construction equipment used and the duration of the construction phase, it is not feasible to fully mitigate this impact to below a level of significance. The Hermosa Beach components meet/exceed the minimum required setbacks from residential uses, and a condition of approval is included requiring that the proposed bamboo plantings, which shall serve, for the life of the project, as a visual barrier between the commercial use and the adjacent residential uses. Conditions are included to ensure the building design and operation is compatible with neighboring residences (see #6 below). 2. The amount of existing or proposed off-street parking in relation to actual need: To address parking impacts during the construction period, a condition of approval is including requiring approval by both cities of a Construction Management Parking Plan (CMPP) that covers all project components in both cities; requiring that as conditions change, requested addendums will need review and approval by both cities; and among other things, the CMPP will include provisions to: a. Prohibit parking by construction workers on adjacent streets and directing the construction workers to available parking on the site. b. Coordinate deliveries to reduce the potential of trucks waiting to unload for protracted periods of time. c. Schedule receipt of construction materials during non-peak travel periods, to the extent possible. Regarding permanent parking, the Design Center is required to have a minimum of 401 parking spaces for its daily operations, and proposes 427 parking spaces, thereby exceeding the minimum requirement by 26 spaces. Pursuant to HBMC Section 17.44.210, a Parking Plan is proposed to allow the increase in parking demand generated by the periodic Global Sales Conference events to be accommodated by the additional 26 spaces in addition to the transport of the attendees to the Design Center from the Redondo Beach Performing Arts Center in a minimum of eight buses, each with a minimum 60-seat capacity, with the buses to be held offsite until they are needed for transportation to deliver the attendees back to their hotels. 3. The combination of uses proposed, as they relate to compatibility: The proposed office use along the Pacific Coast Highway (PCH) frontage, adjacent to residential uses to the rear, is consistent with the existing pattern of development along the PCH corridor. Conditions of approval are included to require that no entertainment, music, speakers, televisions or audio or visual media of any type, whether amplified or unamplified, shall be provided on the exterior of the building, within any outdoor seating area or open air area. 4. The relationship of the estimated generated traffic volume and the capacity and safety of streets serving the area: The EIR includes mitigation measures to lessen traffic impacts, but does not fully mitigate all traffic impacts. Additionally, a condition of approval is included requiring the preparation of an applicant-funded traffic calming study by the Cities of Hermosa Beach and Manhattan Beach to recommend potential Page 3 -Design Center measures that would enhance the livability of the neighborhood streets in the vicinity of the project sites after the project is built and in operation. A condition of approval is included requiring that 12 electric bikes distributed among the project components in both cities and are available to all Skechers employees. 5. The proposed exterior signs and decor, and the compatibility thereof with existing establishments in the area: Signage is not a part of this application and will require separate permits. The proposed architecture of the office building would match the existing Skechers offices located at 330 South Sepulveda Boulevard in Manhattan Beach, which is approximately 120 feet northeast of the Hermosa Beach site. The proposed building would be modern-style architecture, and the finishing on the buildings would be exposed concrete with glass and aluminum curtain wall systems. The proposed architecture is compatible within the existing context, and the high quality development creates an aesthetic improvement to the area. 6. Building and driveway orientation in relation to sensitive uses, e.g., residences and schools: The project is adjacent to existing residences to the west. Ingress/egress to the Design Center will be limited to SR 1 on the east, and the building will be oriented to SR 1. Because the project proposes some outdoor dining areas and open air areas, conditions of approval are included requiring that no entertainment, music, speakers, televisions or audio or visual media of any type, whether amplified or unamplified, shall be provided on the exterior of the building, within any outdoor seating area or open air area. The outdoor patio associated with the employee cafeteria does not require approval of an Administrative Permit or Conditional Use Permit because it is not open to the public, and a condition of approval with that restriction is included. Additionally, a condition of approval is included requiring the preparation of an applicant-funded traffic calming study by the Cities of Hermosa Beach and Manhattan Beach to recommend potential measures that would enhance the livability of the neighborhood streets in the vicinity of the project sites after the project is built and in operation. 7. Noise, odor, dust and/or vibration that may be generated by the proposed use: As identified in the EIR, temporary construction-related noise will be mitigated to the extent feasible by a temporary, solid noise attenuation barrier to be erected along the west edge of the site. The barrier design and its acoustic properties will be based on a site-specific acoustic analysis prepared by a qualified acoustic engineer approved by the City prior to issuance of demolition, grading or construction permits. Long-term operation of the proposed office use is not anticipated to generate significant noise impacts to the neighboring residences. Traffic-related noise impacts to the residences from PCH are expected to be buffered by the proposed three-story high office buildings. However, the proposed project is adjacent to existing residences and proposes some outdoor dining areas and open air areas. Therefore, conditions of approval are included requiring that no entertainment, music, speakers, televisions or audio or Page 4 -Design Center visual media of any type, whether amplified or unamplified, shall be provided on the exterior of the building, within any outdoor seating area or open air area. A condition of approval is also included restricting deliveries to 2-axle vans Monday through Saturdays between 8 AM and 6PM. 8. Impact of the proposed use to the City's infrastructure, and/or services: The proposed preliminary design has been reviewed and conceptually approved by the City's Fire and Police. Conditions of approval are included requiring the applicant to address impacts to the City's streets, utilities and other infrastructure and as such, the project is not anticipated to have negative impacts to the City's infrastructure and/or services. 9. Adequacy of mitigation measures to minimize environmental impacts in quantitative terms: The EIR addresses impacts of development and long-term use of a new Design Center with Executive Offices in Hermosa Beach and two proposed office buildings in Manhattan Beach. The environmental analysis identifies the need to mitigate potential impacts related to air quality, biological resources, cultural resources, geology and soils, hazards, and groundwater, and the EIR provides feasible measures that would fully mitigate these impacts. Project impacts related to aesthetics, greenhouse gas emissions, hydrology and water quality, land use, public services and utilities are found to be less than significant and do not require mitigation. Impacts to seven intersections along SR 1 (Pacific Coast Highway/Sepulveda Boulevard) are found to be significant and while mitigation has been incorporated, no feasible mitigation is available to reduce the impacts to below a level of significance. Therefore, these impacts are identified as significant and unavoidable. Additionally, three intersections along SR 1 would be adversely impacted during the construction phase. This temporary impact cannot be mitigated and is significant and unavoidable. The Hermosa Beach component of the project would also result in construction- related temporary, but prolonged noise impacts to nearby sensitive uses (residences and a daycare facility). Due to the proximity of these sensitive uses, the nature of construction equipment used and the duration of the construction phase, it is not feasible to fully mitigate this impact to below a level of significance. The EIR identifies certain impacts that have been identified as unavoidably significant and includes certain mitigation measures that may be infeasible. City of Hermosa Beach and City of Manhattan Beach decision makers will need to determine whether the project's benefits outweigh its unavoidable environmental impacts (which include temporary and long-term transportation/circulation impacts and temporary construction-related noise impacts). If the project benefits are found to outweigh these impacts, decision makers will need to adopt a Statement of Overriding Considerations for these impacts. The EIR identifies a number of physical improvements that would partially mitigate the project's transportation impacts, but even with these mitigation measures, the project's impact cannot be reduced to below a level of significance at all study intersections. Page 5 -Design Center Additional findings related to the mitigation measures and a Statement of Overriding Considerations are included in this resolution as Exhibit A. 10. Other considerations that, in the judgment of the planning commission, are necessary to assure compatibility with the surrounding uses, and the city as a whole: None are necessary. Section 5. Based on the testimony and evidence received, the Planning Commission makes the following findings pertaining to the application for a Parking Plan pursuant to HBMC Section 17.44.210: l. Approximately twice per year, Skechers invites approximately 500 to 1,500 people to attend the Global Sales Conference. This event lasts for three days at the Redondo Beach Performing Arts Center. After lunch, approximately 450 to 500 of those attendees are transported via bus to the Skechers building at 330 S. Sepulveda Boulevard. The numbers drop on the second and third days of the conference. Attendees are transported on eight buses, each with a 60-seat capacity. With completion of the Design Center, the attendees would visit the new showrooms in Hermosa Beach instead of at the 330 S. Sepulveda Boulevard Building. Buses would only be at the Design Center to drop off and pick up employees. The buses are typically held offsite until they are needed for transportation to deliver the attendees back to their hotels. Currently, most attendees stay at the Manhattan Beach Marriott, but with the expansion of the Design Center into Hermosa Beach it is anticipated that some of these visitors would stay at Hermosa Beach hotels. 2. The Design Center is required to have a minimum of 401 parking spaces for its daily operations, and proposes 427 parking spaces, thereby exceeding the minimum requirement by 26 spaces. Pursuant to HBMC Section 17.44.210, the Planning Commission finds that approval of a Parking Plan is appropriate adequate parking is provided to allow the increase in parking demand generated by the periodic Global Sales Conference events to be accommodated by the additional 26 spaces in addition to the transport of the conference attendees to the Design Center from the Redondo Beach Performing Arts Center in a minimum of eight buses, each with a minimum 60-seat capacity, with the buses to be held offsite until they are needed for transportation to deliver the attendees back to their hotels. A condition of approval is included requiring the additional 26 spaces, and the transport of the attendees to the Design Center from the Redondo Beach Performing Arts Center in a minimum of 8 buses, each with a minimum 60-seat capacity, with the buses to be held offsite until they are needed for transportation to deliver the attendees back to their hotels. Inclusion of this condition of approval meets the criteria of HBMC 17.44.210, Parking Plan, that the applicant provide information to show that adequate will be provided. Section 6. The City's 1979 General Plan was in effect at the time the applications were deemed complete, and the proposed projects comply with the provisions therein, including the provisions of the Economic Element as it pertains to the Pacific Coast Highway Commercial Corridor, and the 1994 Land Use Element as it pertains to the Commercial Corridor Land Use designation to: Page 6 -Design Center 1. Minimize conflicts between nonresidential land uses and residential properties by providing the required setbacks from residential; orienting/limiting building ingress/egress points away from residences; providing for the life of the project a visual screen of bamboo plantings between the offices and the existing residences; and prohibiting outdoor dining areas, open air areas or any building exterior areas from providing entertainment, music, speakers, televisions or audio or visual media of any type, whether amplified or unamplified. 2. Promote the establishment and improvement of commercial enterprises which contribute to the vitality and diversity of the City's commercial base by becoming the City's largest employer, introducing 655 new employees (430 in the Hermosa Beach component and 255 in the Manhattan Beach components), who will be encouraged to stimulate the local the local economies by: utilizing the Skechers lunchtime shuttle to frequent local businesses; patronizing local businesses as they commute through the cities; relocating their residences in close proximity to this employment center and thereby encourage their household members to further stimulate the local economy, and bringing visitors to the area for the twice-yearly global sales conferences. 3. Protect surrounding residential neighborhoods from adverse environmental impacts through implementation of the mitigation measures set forth in the Final EIR and implementation of the recommended conditions of approval. 4. Encourage community participation in significant discretionary land use decisions by following the public participation requirements set forth in CEQA and the Hermosa Beach Municipal Code. 5. Ensure that future development will not encroach on or diminish public open spaces, public views, or unique natural resources by providing environmental analysis pursuant to the California Environmental Quality Act. This project is unique in that it was processed simultaneously with the City's update to its General Plan. The project was already well advanced when the City's 2017 General Plan (PLAN Hermosa) was adopted August 22, 2017 and the City determined that the project was not subject to the new General Plan; nevertheless, the land use designation for the project location remains the same type of commercial designation (with an updated name) under PLAN Hermosa (and as explained in the Statement of Overriding considerations, the project does not impede the City's ability to meet its new long-term land use vision for the City. Section 7. A portion of the alley west of/behind 2851 Pacific Coast Highway was previously vacated by the City, but a 100-foot by 20-foot segment was not vacated. The proposal includes a request for vacation of this remaining portion in order to accommodate construction of the Design Center. The vacation request requires City Council approval. The Planning Commission finds that the proposed vacation of the remaining portion of the alley to the west of/behind 2851 Pacific Coast Highway complies with the 2017 General Plan Intended Street Classification Map. That map does not show this portion of the alley as a public street since a majority of it was previously vacated by the City and the area has been blocked off for many years. Therefore, the vacation is consistent and would not require an amendment to the Classification Map. Page 7 -Design Center Section 8. Based on the foregoing, the Planning Commission hereby approves the subject Precise Development Plan and Parking Plan subject to the following Conditions of Approval: General: 1. The construction and of the site, architectural treatments and floor plans, and continuing use of the property shall conform to plans reviewed by the Planning Commission January 31, 2018, and the Mitigation Monitoring and Reporting Plan approved via P.C. Resolution 18-5. Minor modifications that do not affect scale, type, location or intensity of uses or impacts thereof may be approved by the Community Development Director when not in conflict with the findings or conditions of this permit. 2. Prior to issuance of any project-related permits, project plans shall be reviewed and approved by the Community Development Department and Public Works Department for consistency with the applicable plans reviewed and approved by the Planning Commission. 3. Precise building height information shall be provided on the final project plans, which shall include corner point elevations provided on a detailed roof plan indicating corner points of the lot, location of all property lines and maximum and proposed heights at the critical points on the roof. 4. Architectural treatments and accessory facilities shall be shown on building elevations, site and floor plans. Precise building height compliance shall be reviewed at the time of Plan Check, to the satisfaction of the Community Development Director. In addition:' a. All exterior lighting shall be down cast, fully shielded and illumination shall be contained within the property boundaries. Lighting shall be energy conserving and motion detector lighting shall be used for all lighting except low-level (3 feet or less in height) security lighting and porch lights. Lamp bulbs and images shall not be visible from within any onsite or offsite residential unit. Exterior lighting shall not be deemed finally approved until thirty days after installation, during which period the building official may order the dimming or modification of any illumination found to be excessively brilliant or impacting to nearby properties. b. Solid waste facilities shall comply with Chapter 8.12. c. Any satellite dish antennas and/or similar equipment shall comply with Section 17.46.210. Page 8 -Design Center d. Conduit to accommodate roof mounted alternative energy equipment for solar energy and solar thermal energy shall also be supplied per Section 15.32.140. e. Thirty (30%) percent rooftop coverage with solar panels along with non- reflective view glass will be used to reduce use of non-renewable energy. 5. A plan for urban and stormwater runoff controls approved by the Public Works Department shall be set forth on the construction plans in accordance with Chapter 8.44 and Section 8.44.090, and the applicant shall at all times comply with the required best management practices. 6. Plans and construction shall comply with all requirements of the Building Code in Title 15, Green Building Standards in Chapter 15.48 and Section 1207 with respect to sound transmission. 7. In the event that subsurface infiltration is required, plans shall designate the exact location of the subsurface infiltration system, the applicant shall enter into a maintenance agreement with the City (prior to Certificate of Occupancy) for the ongoing infiltration, and provide a surety bond to the City to guarantee that onsite, subsurface infiltration is achieved. The amount of the bond shall be determined by the Building Division. All other drainage shall be routed to an offsite facility or onsite permeable area approved by the City. To the extent possible, a portion of roof drainage shall be routed to onsite permeable areas. No drainage shall flow over any driveway or sidewalk. If the drainage of surface waters onto the property requires a sump pump to discharge said waters onto the street, the property owner(s) shall record an agreement to assume the risk associated with use and operation of said sump pump, release the City from any liability, and indemnify the City regarding receipt of surface waters from the property. 8. Prior to the issuance of any project-related permits, an 'Acceptance of Conditions' affidavit and recording fees shall be filed with the Planning Division of the Community Development Department stating that the applicant/property owner is aware of, and agrees to accept, all of the conditions of this grant of approval. 9. Prior to issuance of demolition/grading/construction permits, the applicant shall provide evidence to the City of Hermosa Beach that all required permits from other applicable permitting agencies have been obtained, including without limitation SCE and water providers. 10. The applicant shall submit all required plans and reports to comply with the City's construction debris recycling program including manifests from both the recycler and County landfill; at least 65% of demolition debris associated with demolition of the existing improvements and new construction shall be recycled. Page 9 -Design Center 11. Prior to the issuance of any project-related permits, two copies of a Final Landscaping Plan, consistent with landscape plans approved by the Planning Commission, indicating size, type, quantity and characteristics of landscape materials shall be submitted to the Community Development Department, Planning Division for review and approval. The Final Plan shall also include the following: a. The Final Landscaping Plan shall comply with Sections 8.60.070, 8.56.070 and 17.40.180 to the satisfaction of the Community Development Director. b. An automatic landscape sprinkler system consistent with Section 17 .22.060(H) shall be provided, and shall be shown on plans (Building Permits are required). c. All landscaping shall be well-maintained at all times. Landscaping shall be replaced consistent with the approved Landscape Plan when dead or dying. d. Root barriers shall be required for the proposed bamboo plantings, which shall serve, for the life of the project, as a visual barrier between the commercial use and the adjacent residential uses. 12. Prior to issuance of any project-related permits, an approved civil engineering plan prepared by a licensed civil engineer, and approved by the Public Works Director, addressing grading, undergrounding of all utilities, sidewalk, curb and gutter improvements, onsite and offsite drainage (no sheet flow permitted), installation of utility laterals, and all other improvements necessary to comply with the HBMC and Public Works specifications, shall be filed with the Community Development Department. 13. The project shall comply with all requirements of the Building Division, Public Works Department, including any required improvements to the curb gutter or drainage on the public right-of-way, and Fire Department, and the HBMC. 14. Project construction shall protect private and public property in compliance with Sections 15.04.070 and 15.04.140. No structures or elements associated with the use or its construction, and no work in the public right-of-way, shall commence unless and until an Encroachment Permit has been approved by the Public Works Department. a. The applicant must submit for City review and approval an application for an encroachment permit in order to construct a pedestrian tunnel beneath 30th Street, which shall include a provision that said permit shall be revocable by the City for cause. Page 10 -Design Center 15. Project construction shall conform to the Noise Control Ordinance requirements in Section 8.24.050, and as further required by the Mitigation Monitoring and Reporting Plan. Allowed hours of construction shall be printed on the building plans and posted at construction site. a. Construction hours related to hauling, truck staging and lane closures shall be limited to 8:00 AM to 3:00 PM Monday through Friday, and 9:00 AM to 5:00 PM on Saturdays. All other construction activity shall be subject to the City's standard construction hours in the HBMC (8:00 AM to 6:00 PM, Monday through Friday and 9:00 AM to 5:00 PM on Saturdays). b. Construction equipment shall be well maintained and a no idling requirement will be implemented. 16. The address of each building shall be conspicuously displayed on the street side of the buildings with externally or internally lit numbers and the method for illumination shall be shown on plans. Addressing numbering and display subject to approval by the Community Development Department. 17. All signs associated with the commercial use shall comply with applicable requirements in Chapter 17.50. A sign permit shall be obtained for all commercial signs. Any illumination for commercial signage shall be turned off between the hours of 10:00 p.m. and 8:00 a.m. 18. Noise emanating from the long-term use of the property shall be within the limitations prescribed by the City's noise ordinance and shall not create a nuisance to surrounding residential neighborhoods, and/or commercial establishments. The business shall comply in all other respects with HBM Chapter 8.24 (Noise Control) and noise from the premises shall not constitute a public nuisance 19. The management of the facility shall police the property and all areas immediately adjacent to the businesses on the site during business hours to keep it free of litter. 20. The operators of the facility shall provide adequate management and supervisory techniques to prevent loitering and other security concerns outside the subject businesses. Security items or procedures shall be implemented and maintained on-site as determined to be appropriate by the Police Department. 21. The Design Center private cafeteria and related outdoor patio shall be limited to the sole use of Skechers employees and visitors, and shall not be open to the general public. Page 11 -Design Center 22. No entertainment, music, speakers, televisions or audio or visual media of any type, whether amplified or unamplified, shall be provided on the exterior of the building, within any outdoor seating area or open air area, or situated so as to be clearly visible to any outdoor seating area or open air area. 23. Deliveries -Deliveries and loading on residential streets shall be limited to 2-axle delivery vans between the hours of 8:00 a.m. and 6:00 p.m. Monday through Saturday. No delivery vehicles shall be allowed to remain in the loading area or on surrounding streets outside of business hours. No deliveries are permitted on Sundays. Delivery vehicles shall be prohibited on residential streets and alleys with the exception of that portion of 30th Street fronting the Executive Building at 3001 Pacific Coast Highway and Boundary Place, where deliveries would be limited to trucks/vans having a maximum length of 30 feet. 24. The exterior of the premises shall be maintained in a neat and clean manner, and maintained free of graffiti at all times, and adequate trash and recycle containers shall be provided within the establishment to reduce litter and contaminants on the public right-of-way per Chapter 8.12. 25. Design, construction, and continuing use of the Project shall comply with all requirements of the City, including, but not limited to Public Works and Fire Departments. Parking: 26. The number of parking spaces provided shall be consistent with the number of spaces identified on the plans reviewed by the Planning Commission January 31, 2018. 27. All parking spaces shall remain available for parking and shall not be used for storage or other purposes. Storage of boats, trailers, and recreational vehicles shall not be allowed in the parking garage. 28. Accessible parking spaces and loading area shall be signed and demarcated as required by law. 29. Parking Plan. The Design Center is required to have a minimum of 401 parking spaces for its daily operations, and proposes 427 parking spaces, thereby exceeding the minimum requirement by 26 spaces. The periodic Global Sales Conference events shall be accommodated by providing a total of 427 parking spaces as well as the transport of the conference attendees to the Design Center from the Redondo Beach Performing Arts Center in a minimum of eight buses, each with a minimum 60-seat capacity, with the buses to be held off site until they are needed for transportation to deliver the attendees back to their hotels. STREET IMPROVEMENTS: Page 12 -Design Center 30. The applicant shall provide plans detailing the design of the horizontal and vertical alignment for the project's access driveways, vehicle circulation and parking garage entrance to the satisfaction of the County of Los Angeles Fire Department and City of Hermosa Beach Public Works Department. Such design shall utilize standards for vertical curve, sight distance and turning movement design consistent with Caltrans, AASHTO and City of Hermosa Beach design requirements. Design plans shall be submitted to the City of Hermosa Beach Public Works Department for review and approval prior to the issuance of a demolition and/or grading permit. Prior to the commencement of construction and related activity in the public right of way, an encroachment permit shall be obtained from the City of Hermosa Beach Public Works Department. 31. The applicant shall provide plans detailing the design of project frontage improvements within and adjacent to City right of way. Plans shall detail the design of frontage improvements including curb, gutter, sidewalk, roadway pavement, drainage, signage, striping, utilities and other improvements, and shall be submitted to the City of Hermosa Beach Public Works Department for review and approval prior to the issuance of a demolition and/or grading permit. Prior to the commencement of construction and related activity in the public right of way, an encroachment permit shall be obtained from the City of Hermosa Beach Public Works Department. 32. The applicant shall provide designs and details of existing and proposed sidewalk and driveway transitions compliant with the Americans with Disabilities Act (ADA) as well as disabled access provisions as contained in the latest edition of the Building Code (CBC), as amended by the City of Hermosa Beach and found in HBMC Title 15. Any existing frontage improvements (sidewalk, driveway(s), clearances around above-ground utility poles, utility boxes, etc.) shall be reviewed and upgraded as necessary to comply with disabled accessibility standards. Plans for the design of required improvements shall be submitted to the City of Hermosa Beach Public Works Department for review and approval prior to the issuance of a demolition and/or grading permit. Prior to the commencement of construction and related activity in the public right of way, an encroachment permit shall be obtained from the City of Hermosa Beach Public Works Department. 33. All pavement structural sections shall be designed by the project Geotechnical Engineer/Consultant and Engineering Geologist and submitted in conjuction with the final geotechnical report for review and approval by the City of Hermosa Beach Public Works Department prior to the issuance of a demolition and/or grading permit. STREET SPECIAL CONDITIONS: 34. The applicant shall provide plans detailing the design of project frontage improvements along State Route (SR) 1. Plans shall detail the design of frontage Page 13 -Design Center improvements including curb, gutter, sidewalk, roadway pavement, drainage, signage, striping, utilities and other improvements, and shall be submitted to the California Department of Transportation (Caltrans) for review, approval and permit. The applicant shall obtain required approvals prior to the issuance of a demolition and/or grading permit by the City of Hermosa Beach. 35. Proposed project frontage improvements along SR 1 shall provide for continuity in the conveyance of public pedestrian and vehicle traffic. For proposed frontage improvements, including curb, gutter, sidewalks, drainage and utilities adjacent to, and outside of existing public right of way, additional right of way shall be conveyed to insure the preservation of public vehicle and pedestrian access. An offer of dedication of additional right of way shall be made by appropriate legal mapping instrument to Caltrans in conjunction with the proposed project frontage improvements. Should Caltrans, upon review of improvements and related offer of dedication elect not to accept the right of way and related improvements, such right of way and related improvements shall be offered to the City of Hermosa Beach for dedication and acceptance. Such dedication and acceptance to Caltrans or the City of Hermosa Beach, as appropriate, shall be completed prior to the issuance of a demolition and/or grading permit by the City of Hermosa Beach. 36. 30th Street Tunnel (Design). The applicant shall provide design plans and calculations for the proposed tunnel structure under 30th Street, which will provide a subsurface connection between proposed buildings to the north and south of 30th Street. Design of the proposed tunnel shall be completed in accordance with AASHTO requirements, and shall include consideration for earth loads and vehicle live loads consistent with an HS-20 axle loading. Based on design loading, the tunnel structure shall be detailed for wall thickness and reinforcement, in accordance with the recommendations of the project geotechnical report. Design plans shall be submitted to the City of Hermosa Beach Public Works Department for review and approval prior to the issuance of a demolition and/or grading permit. Prior to the commencement of construction and related activity in the public right of way, an encroachment permit shall be obtained from the City of Hermosa Beach Public Works Department. 37. 30th Street Tunnel (Design). The applicant shall provide design plans and calculations for steel plate protective covers for the tunnel excavation. Such protective covers shall be installed to allow the passage of vehicular traffic to maintain 1-lane of traffic circulation at all times, and shall be installed at the end of the work day to protect open areas of tunnel excavation. Trench cover plates, supporting girders and vertical trench shoring members shall be designed to span the anticipated width of the trench excavation, shall be set/placed such that they are flush to the existing pavement, and shall accommodate vehicular HS-20 loads. Design shall be submitted to the City of Hermosa Beach Public Works Department for approval prior to the issuance of an encroachment permit. Page 14 -Design Center 38. 30th Street Tunnel (Construction). The applicant shall provide for 1-lane of traffic circulation through 30th Street at all times. Protective measures inclusive of steel plates, concrete barriers, signage and flaggers shall be employed at all times to protect the excavation and maintain a minimum 12' travel lane. Traffic control plans detailing these measures shall be prepared by a Traffic Engineer licensed to practice in the State of California, and shall be submitted to the City of Hermosa Beach Public Works Department for approval prior to the issuance of an encroachment permit. 39. 30th Street Tunnel (Construction). The applicant shall provide for trench shoring and related personnel/vehicle protection during excavation operations for tunnel construction. Trench shoring and related protective measures shall be designed in accordance with AASHTO standards, incorporating consideration of vehicular HS-20 loads and recommendations of the project geotechnical report and related design parameters. Design shall be submitted to the City of Hermosa Beach Public Works Department for approval prior to the issuance of an encroachment permit. 40. SRl/Gould A venue Improvements. The applicant shall complete street improvements to add an eastbound right turn lane on Gould A venue/ Artesia Boulevard. Improvements shall include a combination of signage, striping, curb/gutter and sidewalk improvements as required to provide an additional turn lane. Any required utility adjustments, relocations and traffic signal modifications necessary for the required improvements shall be included in the design plans. Design plans shall consist of signage, striping, street improvement and traffic signal plans at a minimum scale of 1"=20', and shall be submitted to the City of Hermosa Beach Public Works Department for approval. Prior to the commencement of construction and related activity in the public right of way, an encroachment permit shall be obtained from the City of Hermosa Beach Public Works Department. Required improvements shall be completed and approved by the City of Hermosa Beach Public Works Department prior to the issuance of a Certificate of Occupancy. UTILITIES: 41. All new utilities serving the proposed project shall be placed underground. 42. All existing overhead utilities (electric, telephone, cable, etc.) along the project frontage and along the project boundaries shall be converted underground. 43. The project shall connect to an existing sewer. The applicant shall submit a design for the connection of the building sewer to the existing sewer contained within the public right of way of the adjacent street. The design size of the building sewer shall be consistent with the building drain as determined by the applicant's plumbing/mechanical engineer of record, or 6" minimum diameter, Page 15 -Design Center whichever is greater. The geometric, hydraulic and material design of the building sewer beyond the building envelope shall be consistent with the City of Hermosa Beach Public Works Standards and the County of Los Angeles PC Procedures Manual. Plans shall be submitted to the City of Hermosa Beach Public Works Department for review and approval prior to the issuance of a demolition and/or grading permit. Prior to the commencement of construction and related activity in the public right of way, an encroachment permit shall be obtained from the City of Hermosa Beach Public Works Department. 44. The applicant shall prepare a sewer area study to verify the capacity of the existing sewer to convey the project's calculated effluent. The study shall be prepared according to the County of Los Angeles PC Procedures Manual, and shall quantitatively evaluate the capacity of the existing sewer and impacts of the project on the existing sewer. The study shall identify the limits and degree of any areas of projected deficiency, and specify remedial measures necessary to mitigate the impact of the project's effluent, or in the case of an existing deficiency, the proportionate/fair share improvement as deemed acceptable by the City Engineer. The required sewer area study shall be submitted to the City of Hermosa Beach Public Works Department for review coincident with the submittal of sewer plans. 45. The project proposes the relocation of an existing sewer main. Design of the proposed sewer main shall be submitted for review and approval by the City of Hermosa Beach Public Works Department and Caltrans as appropriate to location. Design shall be provided in plan and profile format at a minimum scale of l "=20', and shall clarify pipe material, bedding, and shall be supported by hydraulic calculations based on flows associated with sewer area study. Design and related traffic control plans shall be approved by both the City and Caltrans, and an encroachment permit issued, prior to the commencement of any excavation or relay construction activities. 46. Provisions for maintaining existing sewer service for properties served by portions of the sewer main to be abandoned shall be detailed by the applicants engineer and submitted to the City for approval prior to the commencement of any sewer construction activities. 47. Sewer connection fees shall be paid to the City of Hermosa Beach. The applicant shall submit proof of payment of such fees to the City of Hermosa Beach Public Works Department prior to issuance of a building permit. 48. The project proposes the relocation of an existing water main. Design of the proposed water main shall be submitted for review and approval by the City of Hermosa Beach Public Works Department and the California Water Service Company. Evidence of approval by the California Water Service Company shall be submitted to the City of Hermosa Beach Public Works Department prior to the issuance of a demolition and/or grading permit. Prior to the commencement Page 16 -Design Center of construction and related activity in the public right of way, an encroachment permit shall be obtained from the City of Hermosa Beach Public Works Department. 49. The project shall connect to an existing water main. The applicant shall construct a water service lateral to connect the proposed project to the existing available water main. Plans shall be submitted to the City of Hermosa Beach Public Works Department and the California Water Service Company for review and approval prior to the issuance of a demolition and/or grading permit. Prior to the commencement of construction and related activity in the public right of way, an encroachment permit shall be obtained from the City of Hermosa Beach Public Works Department. 50. Water service connection, associated meter fees and any other miscellaneous fees/assessments shall be paid to the California Water Service Company. The applicant shall submit proof of payment of such fees (i.e.: Financial Arrangement Letter) to Public Works prior to the issuance of a building permit. GRADING, DRAINAGE AND GEOTECHNICAL: 51. The applicant shall submit a precise grading plan prepared by a Registered Civil Engineer prior to issuance of a demolition and/or grading permit which must be approved by the City Public Works Department. The plans shall be prepared on the Public Works standard sheets and shall address the specific design and construction of the development and the proposed project construction. The plans should include, but not limited to: specific elevation grades, keyways, subdrains, limits of removals, retaining walls callouts every 25 to 50 feet, and other callouts to establish in detail the horizontal and vertical geometric design. The plan should include all laterals and utility lines including sewers and water lines. 52. The precise grading plan prepared shall be based on a detailed geotechnical report prepared by a Geotechnical Engineer/Consultant and Engineering Geologist. The precise grading geotechnical report must specifically address the proposed improvement including engineering calculations for all graded slopes, foundations, retaining walls, temporary excavations and other aspects as required by the proposed development. The report shall present detailed geotechnical recommendations for design and construction of the proposed project and improvements. The reports should be in accordance with the County of Los Angeles standards and the City of Hermosa Beach Public Works Department. 53. The applicant shall eliminate or remediate all geologic hazards associated with this proposed development to the satisfaction of the City of Hermosa Beach Public Works Department. Page 17 -Design Center 54. Grading operations involving the hauling of dirt shall be controlled and reasonable efforts to avoid the spillage of dirt onto Public Streets shall be enforced. The grading contractor shall maintain on site at all times a means of preventing blowing dust within the project site and onto adjacent sites. 55. The applicant shall provide any required on-site storm water detention and water quality treatment (Qpm) in accordance with the Low Impact Development (LID), NPDESpermits and City requirements, including without limitation HBMC Chapter 8.44. Calculations shall be submitted with the Hydrology Study. All covenants shall be recorded prior to a demolition and/or grading permit issuance. 56. The project grading plans shall be reflective of the excavations necessary to achieve the design grades for the parking garage, adjacent retaining walls, slopes and property lines. Provide sections as necessary to clarify the depth and grade relationships of these excavations. 57. The grading plans and required sections shall clarify the limits of required over- excavation based on the recommendations of the project soils engineer. 58. All other requirements, notes and regulations arising from plan review as determined necessary by the City and their reviewers will be required and shall be incorporated into the design as the need arises during plan review. 59. The applicant agrees to address and mitigate any and all engineering and geotechnical design and construction issues not contained within these conditions, associated with the proposed development that may arise during final design. 60. The applicant shall provide a current copy of the preliminary title report, prepared within the last 6 months, for the subject property. 61. The applicant shall prepare plans for the shoring and related protection of public right of way and adjacent property during construction. The required plans shall reflect the shoring necessary for the construction of the retaining walls/parking garage. The shoring plans and related calculations and details shall incorporate the recommendations of the project geotechnical report, and shall address any areas of required over-excavation or dewatering. Shoring shall not rely on tie-back anchorage (temporary or permanent), unless the permission of adjacent affected property owners is obtained by written agreement or permit. 62. The required shoring plans shall be submitted to the Building and Safety Division of the Community Development Department for structural design review and approved prior to the issuance of a demolition and/or grading permit for the project. Page I 8 -Design Center 63. The applicant shall prepare plans for the shoring and related protection of right of way associated with SR 1 during construction. Shoring plans shall be submitted to Caltrans for review, approval and permit. The required plans shall reflect the shoring necessary for the construction of the retaining walls/parking garage. The shoring plans and related calculations and details shall incorporate the recommendations of the project geotechnical report, and shall address any areas of required over-excavation or dewatering. Shoring shall not rely on tie- back anchorage (temporary or permanent), without the written consent of Caltrans. Evidence of approval of proposed shoring by Caltrans shall be submitted to the City of Hermosa Beach Public Works Department prior to the issuance of a demolition and/or grading permit. 64. The applicant shall provide for a well-point or other equally effective means for the control and drawdown of groundwater encountered during excavation operations. The design of such a dewatering system shall be submitted to the City of Hermosa Beach Public Works Department for review and approval prior to the issuance of a demolition and/or grading permit. 65. The applicant shall provide for a means of impounding and clarifying groundwater associated with the dewatering system prior to discharge. Such a system shall be subject to review and approval by the Los Angeles Regional Water Quality Control Board (LARWQCB). Evidence of such review and approval shall be submitted to the City of Hermosa Beach Public Works Department prior to the issuance of a demolition and/or grading permit. 66. All excavation, grading, site utility installation (private water, sewer and storm drain), pavement construction and related site work shall be observed and approved by the project geotechnical engineer, as well as Public Works Department inspection staff or their delegates. 67. All grading and excavation shall be observed and documented by the project Geotechnical Engineer, who shall verify that the excavation, grading, subdrainage, backfill, compaction, and related operations are executed by the site construction personnel in conformance with the provisions of the approved Geotechnical Report. Any deficiencies noted shall be brought to the attention of the grading contractor and the City. Such observations, verifications, related tests, and other pertinent documentation shall be submitted to the City of Hermosa Beach Public Works and Community Development Departments for review and approval prior to the issuance of a building permit. 68. Rough Grade Report. At the completion of rough grading, the project Geotechnical Engineer shall submit a comprehensive rough grade report summarizing the required observations, verifications, related tests, and other pertinent documentation to the City of Hermosa Beach Public Works and Page 19 -Design Center Community Development Departments for review and approval prior to the issuance of a building permit. 69. Rough Grade and BuiJding ]>ad Certifications. Upon completion of rough grading, the applicant shall submit Rough Grade and Building Pad Certifications on the City's forms. The certifications shall be signed by the project Geotechnical Engineer and project Civil Engineer, as well as the Grading Contractor. The certification shall be accompanied by as-built survey where deemed necessary by the City Engineer to verify compliance with the limits and elevations required by the approved grading and drainage plans. The Rough Grade and Building Pad Certifications shall be reviewed in conjunction with the Rough Grade Report by the City of Hermosa Beach Public Works Department for approval prior to the issuance of a building permit. 70. Approval of Rough Grading. The project Rough Grade Report and Rough Grade and Building Pad Certifications shall be reviewed and approved by the City Engineer. Evidence of such approval shall be provided to the Community Development Department, Building and Safety Division, prior to the issuance of a building permit. No building permit shall be issued for the project without these approvals. 71. Final Grade Certification. Prior to the issuance of a Certificate of Occupancy (C of 0), the applicant shall submit a Final Grade Certification on the City's form. The Final Grade Certification shall be reviewed and approved by the City Engineer prior to the issuance of a C of O for the project. Drainage: 72. The applicant shall have a final drainage study prepared by a Registered Civil Engineer licensed to practice in the State of California. The drainage study shall be prepared in report format and include sections addressing on-site and off-site drainage areas, existing and developed conditions hydrology, the design hydraulics for the on-site drainage system, including sizing of inlets, conduits, v- ditches, down drains and other structures, storm water detention and water quality mitigation measures, and associated calculations and conclusions. The drainage study shall be submitted to the Public Works Department and approved prior the issuance of a demolition and/or grading permit. 73. The applicant's engineer shall provide for the mitigation of the project's storm water quality impacts. The applicant's engineer shall provide calculations for the sizing and location of devices intended to mitigate such impacts, and clarify the locations of required water quality treatment devices on the storm drain plans. The details of the required devices shall be included in the drainage report and detailed on the project plans. Plans and related provisions for the mitigation of the project's water quality impacts shall be submitted to the City of Page 20 -Design Center Hermosa Beach Public Works Department for review and approval prior to the issuance of a demolition and/or grading permit. 74. The applicant's engineer shall prepare storm drain plans detailing the required design of the on-site storm drain system. The design shall be consistent with the calculations contained in the final drainage study, with appropriate details to allow for plan review, inspection and construction of the required facilities. The on-site storm drain plans, along with plans shall be submitted to the City of Hermosa Beach Public Works Department for review and approval prior to the issuance of a demolition and/or grading permit. Other: 75. The developer and operator(s) of the project shall comply with the Mitigation Monitoring and Reporting Plan attached to this Resolution as Exhibit B and each mitigation measure set forth therein. a. Traffic Mitigation Measures -All Transportation and Circulation mitigation measures related to the project shall be satisfied prior to the first building final inspection or issuance of Certificate of Occupancy, whichever occurs first. 76. A Construction Management and Parking Plan (CMPP) shall be submitted by the applicant with the submittal of plans to plan check or project approval, whichever occurs first. The CMPP shall be reviewed and approved by the Cities of Manhattan Beach and Hermosa Beach, including but not limited to, the City Traffic Engineer, Planning, Fire, Police and Public Works, prior to issuance of the first building permit. The Plan shall include, but not be limited to, provisions for the management of all construction related traffic, parking, staging, materials delivery, hauling, excavation and shoring activity, pedestrian access, materials storage, BMP's, compliance with mitigation measures, and buffering of noise and other disruptions. The Plan shall minimize construction related impacts to the surrounding neighborhood, prohibit parking by construction workers on adjacent streets, and coordinate delivery schedules to minimize truck queuing. The contractor, subcontractors and others connected with the construction shall comply with the requirements of the Plan. Any addendum(s) to this plan shall be approved by both cities of Manhattan Beach and Hermosa Beach Among other things, the CMPP will include provisions to: a. Prohibit parking by construction workers on adjacent streets and directing the construction workers to available parking on the site. b. Coordinate deliveries to reduce the potential of trucks waiting to unload for protracted periods of time. Page 21 -Design Center c. Schedule receipt of construction materials during non-peak travel periods, to the extent possible. 77. Adaptive Transportation Demand Management -Prior to the first building permit final and/or occupancy, whichever occurs first, an Adaptive Transportation Demand Management and Employee Parking Management (TDM/EPM) Plan shall be submitted to the Traffic Engineering and Planning Divisions for each City's review and approval with the objective to achieve a seven percent (7%) overall project trip reduction in both the AM and PM peak hours and to minimize the potential for overflow parking into the surrounding neighborhood. The Plan shall include, but not be limited to, the recommendations in the Mitigation Measures and Monitoring Plan (MMRP) and Traffic Impact Study within the EIR as well as the lunchtime shuttle program, and prohibition of employee parking on City streets. Penalties and corrective measures for employee non-compliance with the Plan shall be identified in the Plan. The Plan shall be approved prior building final inspection and issuance of Certificate of Occupancy, and shall be implemented immediately. Thereafter, the applicant shall monitor the effectiveness of the Plan annually and will submit an annual monitoring and management report to both cities every January. Consistent with the corresponding Mitigation Measure 4.12-2(e). The Cities of Hermosa Beach and Manhattan Beach shall reserve the right to revise the terms and conditions of the TDM/EPM Plan to achieve or maintain a seven percent (7%) trip reduction, shuttle ridership rates and parking compliance. 78. The Applicant shall pay all costs and fees incurred by the City in connection with processing, monitoring and implementing the Project, including without limitation: (a) in ensuring that the conditions of approval are complied with, as well as monitoring of the mitigation measures in the adopted Mitigation Monitoring and Reporting Plan attached to this Resolution as Exhibit B; (b) in the processing of project-related permits and applications, including time spent by City staff and legal staff to process and review all necessary permits, applications, contracts, land use entitlements, and reports; (c) the costs of city review of Owner submittals; (d) the costs of Consultants and a project manager retained by the City in connection with the project who is responsible for activities such as monitoring compliance with mitigation measures and conditions of approval .. A minimum balance of six month's estimated expenses shall be maintained in a reserved City account for the duration of the project construction and two years following certificate of occupancy. The amount shall be determined in the sole discretion of the Community Development Director. A reimbursement and funding agreement shall be executed within 60 days of the approval of this Resolution, in a form approved by the City Attorney, which will include provisions for the return of unused funds at the end of the agreement term. Page 22 -Design Center 79. The applicant shall submit to the City a cost estimate for completion of all of the required off-site improvements, including, but not limited to, the traffic and public improvements, prior to the issuance of any project-related permits. If the City accepts the final cost estimate, the applicant shall provide a bond or other financial security equal to 1.25 times the estimated construction and inspection costs of the improvements, acceptable to the satisfaction of the Finance Director, Director of Public Works and the City Attorney, prior to issuance of any project-related permits. 80. Prior to issuance of Certificate of Occupancy, the applicant shall provide to the City of Hermosa Beach documentation from the City of Manhattan Beach indicating compliance and completion of all Manhattan Beach mitigation measures specified in the Mitigation Monitoring and Reporting Plan. 81. Prior to issuance of Certificate of Occupancy, the operator shall provide, to the satisfaction of the City of Hermosa Beach and the City of Manhattan Beach, evidence that twelve (12) electric bicycles are distributed among the project components in both cities, and are available to all Skechers employees. 82. Traffic Calming. Prior to issuance of the first building permits, the applicant shall pay a deposit of two hundred thousand ($200,000) dollars to be held at the City of Manhattan Beach for the preparation of a joint traffic calming study in the cities of Hermosa Beach and Manhattan Beach to recommend potential measures that would enhance the livability of the neighborhood streets in the vicinity of the project. The study will evaluate a number of potential measures, including measures to address non-residential traffic and parking intrusion, speeding, bikeways and pedestrian safety. Any amount of remaining funds in excess of the study costs shall be used for the implementation of those measures as deemed appropriate by the Cities. Any implementation measures not covered by remaining funds shall be funded by the applicant, up to a total not-to-exceed amount of $300,000 combined. 83. Upon issuance of the Certificate of Occupancy, the applicant shall implement a pilot lunchtime shuttle service to shuttle employees between the Skechers buildings and downtown Hermosa Beach and downtown Manhattan Beach. The pilot program would involve a minimum one year of ridership monitoring to determine the success of the program. a. The shuttle service shall utilize, at a minimum, two, 15-passenger shuttles operating from 11:00 AM to 2:00PM, Monday through Friday. Each shuttle shall transverse a separate route on a continuous loop, with one shuttle providing service to Hermosa Beach and the second to Manhattan Beach. Success of the program shall be determined by the cities. b. Six (6) months after issuance of the first Certificate of Occupancy, and again twelve (12) months after issuance of the first Certificate of Page 23 -Design Center Occupancy, the applicant shall provide to the City of Hermosa Beach and the City of Manhattan Beach reports regarding ridership of the lunchtime shuttle so that both cities' Community Development Directors may make determinations regarding the success of the shuttle and whether it must be continued, modified, or discontinued. The applicant shall monitor ridership and performance at least one day per week. 84. Prior to issuance of building permits, the applicant must submit for review and approval by the City a Lot Line Adjustment consolidating all lots on the property at 2851 and 2901 Pacific Coast Highway into a single lot and identifying all easements to be conveyed. 85. Approval of these entitlements shall be contingent upon the applicant obtaining City Council approval of a vacation of the remaining portion of an alley remaining along the west of/behind the proposed Design Center building at 2851 Pacific Coast Highway, prior to issuance of any project-related permits. 86. The Planning Commission may review this Precise Development Plan and Parking Plan and may amend the subject conditions or impose any new conditions if deemed necessary to mitigate detrimental effects on the neighborhood resulting from the subject use. 87. The subject project shall be developed, maintained and operated in full compliance with the conditions of this grant and any law, statute, ordinance or other regulation applicable to any development or activity on the subject property. Failure of the permittee to cease any development or activity not in full compliance shall be a violation of these conditions. Section 9. This grant shall not be effective for any purposes until the permittee and the owners of the property involved have filed at the office of the Planning Division of the Community Development Department their affidavits stating that they are aware of, and agree to accept, all of the conditions of this grant. The Precise Development Plan and Parking Plan shall be recorded, and proof of recordation shall be submitted to the Community Development Department prior to the issuance of a building permit. Each of the above conditions is separately enforced, and if one of the conditions of approval is found to be invalid by a court of law, all the other conditions shall remain valid and enforceable. To the extent permitted by law, Permittee shall defend, indemnify and hold harmless the City of Hermosa Beach, its City Council, its officers, employees and agents (the "indemnified parties") from and against any claim, action, or proceeding brought by a third party against the indemnified parties and the applicant to attack, set aside, or void any permit or approval for this project authorized by the City, including (without Page 24 -Design Center limitation) reimbursing the City its actual attorney's fees and costs in defense of the litigation. The City may, in its sole discretion, elect to defend any such action with attorneys of its choice. The permittee shall reimburse the City for any court and attorney's fees which the City may be required to pay as a result of any claim or action brought against the City because of this grant. Although the permittee is the real party in interest in an action, the City may, at its sole discretion, participate at its own expense in the defense of the action, but such participation shall not relieve the permittee of any obligation under this condition. Section 10. Pursuant to the Code of Civil Procedure Section 1094.6, any legal challenge to the decision of the Planning Commission, after a formal appeal to the City Council, must be made within 90 days after the final decision by the City Council. VOTE: AYES: NOES: ABSTAIN: ABSENT: Chairman Saemann and Commissioner Flaherty and Hoffman Commissioners Pedersen and Rice None None CERTIFICATION I hereby certify the foregoing Resolution P.C. 18-5 is a true and complete record of the action taken by the Planning Commission of the City of Hermosa Beach, California, at its special meeting of January 31, 2018. Rob Saemann, Chairman January 31. 2018 Date Page 25 -Design Center I EXHIBIT A Hermosa Beach Planning Commission Project CEQA Findings and Statement of Overriding Considerations For the Skechers Project at 2851, 2901, 3001 and 3125 Pacific Coast Highway in Hermosa Beach, California and 305, 309, 317 and 330 South Sepulveda and 1050 Duncan Avenue in Manhattan Beach, California The Hermosa Beach Planning Commission makes the following project findings with regard to the Skechers Project at 2851, 2901, 3001 and 3125 Pacific Coast Highway in Hermosa Beach, California and 305,309,317 and 330 South Sepulveda Boulevard and 1050 Duncan A venue in Manhattan Beach, California. 1.0 CEQA FINDINGS Findings pursuant to Public Resources Code Section 21081 and the California Environmental Quality Act Guidelines Sections 15090, 15091, 15092. 1.1 CONSIDERATION OF THE FINAL ENVIRONMENTAL IMPACT REPORT The Final Environmental Impact Report (FEIR) was presented to the Hermosa Beach Planning Commission and all voting members of the Commission have reviewed and considered the FEIR and associated appendices prior to approving this proposal. In addition, all voting members of the Planning Commission have reviewed and considered testimony and additional information presented at the public hearing on January 31, 2018. The FEIR reflects the independent judgment of the Planning Commission and is adequate for this proposal. 1.2 FULL DISCLOSURE The Planning Commission finds and certifies that the FEIR constitutes a complete, accurate, adequate and good faith effort at full disclosure under CEQA. The Commission further finds and certifies the FEIR has been completed in compliance with CEQA. 1.3 LOCATION OF RECORD OF PROCEEDINGS The documents and other materials that constitute the record of proceedings upon which this decision is based are in the custody of Elaine Doerfling, City Clerk, City of Hermosa Beach, 1315 Valley Drive, Hermosa Beach, CA 90254. 1.4 FINDINGS ADDRESSING THE ISSUES ANALYZED IN THE FEIR 1.4.1 FINDINGS THAT CERTAIN UNA VOIDABLE IMPACTS ARE MITIGATED TO THE MAXIMUM EXTENT FEASIBLE The FEIR for the Skechers Project identifies impacts in three resource areas that cannot be fully mitigated and are therefore considered unavoidable. The impact areas pertain to (1) temporary construction noise impacts; (2) temporary construction-related transportation and circulation impacts at three intersections Page 1 -Exhibit A within the cities of Hermosa Beach and Manhattan Beach; and (3) long-term operational transportation and circulation impacts at seven intersections within the cities of Hermosa Beach and Manhattan Beach. To the extent that the impacts remain significant and unavoidable such impacts are acceptable when weighed against the overriding social, economic, legal, technical, and other considerations, including the beneficial effects of the project to the existing circulation and infrastructure, described in the Statement of Overriding Considerations included herein. For each of these significant and unavoidable impacts identified by the FEIR, feasible changes or alterations have been required in, or incorporated into, the project to avoid or substantially lessen the significant environmental effect, as discussed below: a. Temporary Construction Noise Impacts Impact: The proposed project would have temporary construction-related impacts at the Hermosa Beach site due to exposure of noise-sensitive residential and day care uses to noise exceeding current City standards during portions of the 30- month construction period. These impacts would be significant and unavoidable. Mitigation Measures: The following are required as mitigation measures to reduce construction-related noise impacts to nearby sensitive receptors. MM 4.10-l(a) Staging Area. The contractor shall provide staging areas on-site to minimize off-site transportation of heavy construction equipment. These areas shall be located to maximize the distance between activity and sensitive receptors. This would reduce noise levels associated with most types of idling construction equipment. MM 4.10-l(b) Newest Power Construction Equipment. The Project contractor must use the newest available power construction equipment with standard recommended noise shielding and muffling devices. MM 4.10-l(c) Electrically-Powered Tools and Facilities. Electrical power shall be used to run air compressors and similar power tools and to power any temporary structures, such as construction trailers or caretaker facilities. MM 4.10 l(d) Temporary Solid Noise Attenuation Barrier. A temporary sound attenuation barrier shall be erected along the western edge of the Hermosa Beach site prior to demolition and construction activity. This barrier must break the line of sight between construction areas and the ground floor level of adjacent residences and shall be designed to achieve the maximum sound attenuation feasible. Barrier design and its acoustic properties shall be based on a site- specific acoustic analysis prepared by a qualified acoustic engineer to be approved by the Community Development Director prior to issuance of demolition, grading or construction permits. MM 4.10-l(e) Mufflers. During project construction, all equipment, fixed or mobile, shall be operated with closed engine doors and shall be equipped with properly operating and maintained mufflers consistent with manufacturers' standards. Use of manufacturer- certified mufflers associated with construction equipment has been Page 2 -Exhibit A shown to reduce noise levels by 8 to 10 dBA. MM 4.10-l(f) Construction Noise Complaint Line. The applicant must provide a non-automated telephone number for local residents and employees to call to submit complaints associated with construction noise. The applicant shall keep a log of complaints and shall address complaints as feasible to minimize noise issues for neighbors. MM 4.10-l(g) Avoid Operating Equipment Simultaneously. Whenever possible, the contractor shall ensure that construction activities are scheduled so as to avoid operating several pieces of equipment simultaneously, which causes high noise levels. Finding: The Planning Commission finds that the impact as stated above is substantially reduced by the identified mitigation measures and that, because the identified measures would reduce noise generated by construction activity to the maximum degree feasible given the magnitude and duration of construction, no other feasible mitigation measures within the scope of the project are available. The Planning Commission further finds that although this impact would be significant and unavoidable, the impact is acceptable when weighed against the overriding social, economic, and other considerations set forth in the Statement of Overriding Considerations (Section 1.4 of these Findings). b. Temporary construction-related transportation and circulation impacts at three intersections within the cities of Hermosa Beach and Manhattan Beach Impact: The proposed project would have temporary construction-related impacts at the SR 1/30th Street, SR 1/Keats Street, and SR 1/Tennyson Street intersections. Project construction activities and the associated truck trips and worker trips could temporarily interrupt the local roadway system at the afore-mentioned intersections. These impacts would be significant and unavoidable. Mitigation Measures: The project applicant has proposed to limit hauling and haul truck staging to off-peak traffic hours to reduce temporary construction- related impacts to the maximum degree feasible given the magnitude and duration of construction. No mitigation measures are available to further reduce the significant temporary construction-related transportation and circulation impacts at three intersections (SR 1/3Qth Street, SR 1/Keats Street, and SR 1/Tennyson Street) within the cities of Hermosa Beach and Manhattan Beach. Finding: Impacts from the project's construction-related transportation and circulation impacts at three intersections (SR 1/30th Street, SR 1/Keats Street, and SR 1/Tennyson Street) cannot be mitigated. The Planning Commission further finds that although the this impact would be significant and unavoidable, the impact is acceptable when weighed against the overriding social, economic, and other considerations set forth in the Statement of Overriding Considerations (Section 1.4 of these Findings). Page 3 -Exhibit A c. Long-term operational transportation and circulation impacts at seven intersections within the cities of Hermosa Beach and Manhattan Beach Impact:_The combined proposed project would generate an estimated 1,312 new weekday average daily trips, including 279 AM peak hour trips and 254 PM peak hour trips. This would incrementally increase traffic levels at study intersections and cause potentially significant impacts at a total of six intersections based on City of Hermosa Beach and City of Manhattan Beach thresholds as well as six intersections based on Caltrans significance thresholds (Seven intersections based on all three thresholds combined: of City of Hermosa Beach, City Manhattan Beach, and Caltrans). Proposed mitigation measures would reduce impacts to the degree feasible, but implementation of proposed improvements would not reduce impacts to below significance at all locations and TDM effectiveness cannot be assured since it would rely on changes in Skechers' employee commute habits; therefore, impacts to intersections along SR 1 would be significant and unavoidable. The project would also generate traffic on residential streets adjacent to the three development sites, but the increase in traffic would not result in significant impacts to levels of service on any street segments; therefore, impacts to residential streets would be less than significant. The proposed project would conflict with the Los Angeles County Congestion Management Program (CMP) in that traffic generated by the proposed project would incrementally increase traffic at the CMP intersection of SR 1 and Gould A venue -Artesia Boulevard under existing and future conditions. The increase in traffic would exceed CMP thresholds and, based on review of possible mitigation measures to address traffic congestion along the SR 1 corridor, it has been determined that the mitigation measures proposed would result in the best overall traffic flow along SR 1 even though they would not fully address the impact at this intersection. Therefore, mitigation is not available to fully address this impact. This is a significant and unavoidable impact. Mitigation Measure MM 4-12-2(£) proposed in the Draft Environmental Impact Report has been deleted from the Final Environmental Impact Report based on the findings of an additional traffic study that was conducted following the release of the Draft EIR and a traffic microsimulation. The Final EIR notes that the proposed mitigation measures would mitigate the AM peak hour impact, but not the PM peak hour impact at the intersection, and no other improvement measures/ mitigation measures have been identified that would fully mitigate the project impacts at the CMP intersection monitoring station location. The Draft EIR included a series of intersection improvements aimed at addressing impacts at the intersections where significant impacts were identified. The measures included in the Draft EIR were found to potentially mitigate project impacts. However, some of the measures (notably, three traffic signals along SR 1) were found to be potentially infeasible because Caltrans approval could not be assured. Moreover, comments received on the Draft EIR noted that some of the measures included in the Draft EIR may have undesirable secondary effects. Consequently, a Traffic Microsimulation Analysis was completed in conjunction with the Final EIR to evaluate the overall effects of the Draft EIR mitigation measures as well as other combinations of mitigation measures at study Page 4 -Exhibit A intersections along SR 1. Based on the results of the analysis, it was determined that various combinations of mitigation measures from the Draft EIR would actually harm overall traffic flow. Specifically, although significant impacts at the Duncan A venue, 30th Street and Keats Street intersections would be reduced to a less than significant level, signalization would worsen traffic delay for side streets or increase overall southbound travel time along the SR 1 corridor. For this reason, these measures have been determined to be infeasible. As a result of additional analysis conducted as part of the Final EIR preparation, an alternate mitigation measure combination was found to have the overall greatest benefits to circulation throughout the study area. This combination of measures would not specifically or fully mitigate the level of service impacts at all study intersections, but was determined to result in the best overall traffic flow along the SR 1 corridor without creating the secondary effects along residential streets that could result from the traffic signals that were included as mitigation in the Draft EIR. Therefore, the City has determined that deviation from the standard approach of mitigating impacts at individual intersections is warranted based on the overall benefits of considering traffic impacts in a more holistic manner and this combination of intersection improvements, described in Mitigation Measures 4.12-2(a) [prohibit eastbound left turn movement from 30th Street onto SR 1] and (b) [lengthen southbound SR 1 left turn pocket onto Tennyson] is recommended. Measures 4.12-2(c) and (d) also include turning lane modifications. Because these improvements would not fully mitigate all project impacts, Mitigation Measure 4.12-2(e) is included to reduce peak hour vehicle trips to and from the site and associated impacts to the maximum degree feasible, and that involves an adaptive transportation demand management (TDM) program that, together with the intersection improvements, can mitigate the traffic impacts to the extent feasible. The TDM program is dynamic and can change over time, meaning that the measures will be adjusted to ensure that the project maintains a 7% traffic reduction, but that traffic would not increase over time at any of the project components. Mitigation Measures: The following are required as mitigation measures to reduce long-term operational transportation and circulation impacts. MM 4.12-2(a) SR 1/30th Street Improvements. Modify 30th Street to prohibit eastbound left-turn movement onto SR-1. MM 4.12-2(b) SR 1/fennyson Street Improvements. Lengthen the southbound left turn pocket onto Tennyson Street. MM 4.12-2(c) SR 1/ Gould Avenue Improvements. Add an eastbound right turn lane on Gould Avenue/ Artesia Boulevard. MM 4.12-2(d) SR 1/Duncan Avenue Improvements. Modify Duncan Avenue to prohibit eastbound left-turn movement onto SR-1. MM 4.12-2(e) Transportation Demand Management (Impact from Combined Project, Hermosa Beach Only, and 305 S. Sepulveda Blvd. Only). The applicant shall develop an initial adaptive Transportation Demand Management (TDM) plan Page 5 -Exhibit A subject to review and approval by both cities. The TDM plan must be designed with the goal of achieving a seven percent (7%) overall vehicle trip reduction during the weekday AM and PM peak hours for the proposed components (i.e., vehicle trips to be measured to and from the project sites compared to what is shown in Table A). The 7% TDM reduction goal applies to the sum of the inbound and outbound vehicle trip generation for all three project components in each of the weekday peak hours within the morning (7:00-9:00 AM) and afternoon (4:00- 6:00 PM) peak periods. Each individual project component need not meet the 7% overall reduction goal, but individually, none of the three project components shall generate traffic exceeding the estimated base trip generation as calculated for that particular project component without the 7% TDM reduction (as shown in Table A below). The TDM plan will initially include, but not be limited to, the elements described below. The applicant will monitor the effectiveness of the plan annually and will submit an annual monitoring and management report to both Cities every January for a period of 10 years after occupancy of all buildings. If the overall 7% trip reduction goal has been reached during years 9 and 10, reports shall no longer be required on an annual basis, but may be required by either or both cities if traffic concerns have become an issue in subsequent years. The annual report shall document the TDM actions implemented during the year and assess their performance and effectiveness against the overall reduction goal, identifying trends that become apparent with multiple years of monitoring data. If trip reduction goals are not met, the report shall recommend modifications to TDM practices and/ or new practices to be integrated into the plan to reach the overall trip reduction goals, subject to review and approval by the staffs of the cities of Hermosa Beach and Manhattan Beach and implemented as soon as practical. This measure and the adaptive TDM plan shall remain in place for the life of the project. All elements of the TDM Plan (as originally adopted and potential revisions) must be_reasonable and mutually agreeable by the Applicant and both cities. The initial TDM plan shall include, but not be limited to, the following: • On-Site Employee Transportation Coordinator. An employee transportation coordinator shall be designated for the proposed project to manage the TDM program and participate in City of Hermosa Beach and City of Manhattan Beach sponsored workshops and information roundtables. Skechers will provide: o Transportation fairs on an annual basis olnformation for employees and visitors about local public transit services (including bus lines, existing and future light rail lines and connections, bus fare programs, rideshare programs and shuttles) and bicycle facilities (including routes, rental and sales locations, on-site bicycle racks and showers) o Walking and biking maps for employees and visitors, including information about convenient local services and restaurants within walking distance of the project o Information regarding local rental housing agencies Such transportation information may be provided through a computer terminal with access to the Internet, as well as through the office of the coordinator located at one of the three development sites or another local Skechers building. Page 6 -Exhibit A Transportation information shall also be maintained at the administrative offices of the buildings and/ or on the Skechers' web site as a portal. • TOM Web Site Information. Transportation information shall be provided in a highly visible and accessible location on Skechers' web site, including links to local transit providers, area walking, bicycling maps, etc., to inform employees and visitors of available alternative transportation modes to access the project and other existing Skechers' buildings and travel in the area. The web site should also highlight the environmental benefits of utilization of alternative transportation modes. • TOM Promotional Material. Skechers shall provide and exhibit in public places information materials on options for alternative transportation modes and opportunities. In addition, transit fare media and day/ month passes should be made available to employees and visitors during typical business hours. • Transit Welcome Package. All new employees shall be provided with a Transit Welcome Package (TWP). The TWP at a minimum will include information regarding Skechers arrangement for free or discounted use of the transit system, area bus/rail transit route and connections/transfers information, bicycle facilities (including routes, rental and sales locations, on-site bicycle racks, walking and biking maps), and convenient local services and restaurants within walking distance of the project. • Carpool Program for Employees. Skechers shall provide preferential parking within the parking garages for employees who commute to work in registered carpools. An employee who drives to work with at least one other employee to the site may register as a carpool entitled to preferential parking within the meaning of this provision. • Public Transit Stop Enhancements. Working in cooperation with transit agencies and the cities of Manhattan Beach and Hermosa Beach, Skechers shall improve existing bus stops in the immediate vicinity of the three development sites. Enhancements will include, but are not limited, to five bus shelters, and four bike racks at the existing bus stops adjacent to the development sites (see Figure 4.12-9). The bus stop on the northwest corner of the SR 1/Longfellow intersection will be relocated to the southwest corner of that intersection so there is sufficient sidewalk width for the shelter and bike racks. • Convenient Parking for Bicycle Riders. Skechers shall monitor utilization of bicycle parking at existing and proposed buildings. If demand for bicycle parking exceeds the supply, Skechers will add bicycle parking as necessary to meet identified demand. • Employee Alternative Transportation Incentive. Skechers shall provide financial or other incentives to employees who walk, bike, or take public transit to work. These incentives will be reviewed and approved by Hermosa Beach and Manhattan Beach staff. • Local Hiring Program. When hiring Skechers shall conduct outreach to residents who live within two miles of the any of the three development sites ( or other buildings where the position of employment is offered). • Expanded Bicycle Routes. Skechers shall coordinate with the cities of Hermosa Beach and Manhattan Beach in an effort to enhance and expand the current network of bicycle routes serving all three development sites and existing buildings. Improvements will include, but are not limited to, the addition of signage for two Page 7 -Exhibit A Class III bikeways to connect to Valley/ Ardmore, as illustrated on Figure 4.12-9. Improvements shall be funded by Skechers. • _Los Angeles County Guaranteed Ride Home Program. Skechers shall enroll in the Los Angeles County Guaranteed Ride Home program which reimburses an employee's ride home from a car-sharing, taxi, or car rental company, for up to two qualifying emergency situations annually~ • Los Angeles Metro TAP Employer Program. Skechers shall join the Los Angeles Metro TAP Employer Program and become a TAP vendor, allowing employees to purchase and reload transit fares on-site. • Employee Route Plan. Skechers shall prepare an employee route plan designed to avoid vehicular intrusion into the surrounding neighborhoods. Finding: The Planning Commission finds that the impacts as stated above are substantially reduced by the identified mitigation measures, that the recommended mitigation measures would achieve the best overall traffic flow along SR 1 without creating potential secondary effects, and that no other feasible mitigation measures within the scope of the project are available. The Planning Commission further finds that although these impacts would be significant and unavoidable, the impacts are acceptable when weighed against the overriding social, economic, and other considerations set forth in the Statement of Overriding Considerations (Section 1.4 of these Findings). 1.4.2 FINDINGS THAT CERTAIN IMPACTS ARE MITIGATED TO INSIGNIFICANCE The FEIR identifies seven subject areas for which the project is considered to cause or contribute to significant, but mitigatable environmental impacts to less than significant levels. IMP ACT 4.2-2 Would the proposed project violate any air quality standard; or result in a cumulatively considerable net increase of any criteria pollutant; or expose sensitive receptors to substantial pollutant concentrations? Project construction would generate temporary increases in localized air pollutant emissions. For the Hermosa Beach and Manhattan Beach components combined, emissions would not exceed SCAQMD thresholds except for 2017 combined maximum daily emissions of NOx, Therefore, impacts would be less than significant with the following mitigation incorporated. The following mitigation is proposed to reduce NOx emissions from combined construction of the project components to below SCAQMD thresholds. Although Mitigation Measure AQ-1 would reduce construction emissions to below the SCAQMD threshold, this measure would extend the construction timeframe for the Hermosa Beach components by one month. This change in the construction schedule would not cause any significant impacts to other environmental checklist areas, such as noise, greenhouse gas emissions, or traffic. Adjusting the Page 8 -Exhibit A construction schedule is the most practical mitigation available to reduce impacts to less than significant levels. MM 4.2-1 Construction Scheduling. Schedule construction activities so that grading of the Hermosa Beach site does not overlap with demolition or grading activities associated with either Manhattan Beach component. In addition, demolition activities shall not overlap on the Design Center site and the Executive Office site of the Hermosa Beach component. IMP ACT 4.3-1 Would these proposed project have a substantial adverse effect, either directly or through habitat modifications, on any species identified as a candidate, sensitive, or special status species in local or regional plans, policies, or regulations, or by the California Department of Fish and Wildlife or U.S. Fish and Wildlife Service? Implementation of the 305 S. Sepulveda and 330 S. Sepulveda components has the potential to affect special-status species, including migratory birds, due to the removal of existing mature landscape trees. Impacts associated with these two components would be less than significant with the following mitigation incorporated. MM 4.3-1 Nesting Birds. If vegetation clearing or other project construction is to be initiated during the bird nesting season (February 1 through September 15), a biologist experienced in conducting nesting bird surveys shall survey for nesting birds no more than three days prior to the start of construction. If the biologist finds any nesting birds within 300 feet of the limits of construction ( or within 500 feet for raptors), the biologist shall clearly mark the location of the nest (with staking and flags) and, if warranted, identify feasible measures to avoid any potential adverse effects on nesting birds. Appropriate measures may include attenuating construction noise (through sound-dampening boards or other equipment) to a level of 60 dBA CNEL (as measured in the vicinity of the nest) or otherwise limiting disturbances within a certain distance of the nest until nesting is complete. If the level of 60 dBA cannot be achieved, or if the biological monitor otherwise considers it necessary to avoid potential impacts, the biological monitor shall be present during construction activities to ensure that nesting birds are not disturbed. The biological monitor shall have authority to halt any construction activity determined to be potentially disturbing the nesting of any bird. Construction may continue when the monitor determines that the activity can be carried out without disruption of nesting or when the nest is determined to have fledged or failed. IMPACT 4.4-1 Would the proposed project cause a substantial adverse change in the significance of an archaeological resource pursuant to CEQA Guidelines §15064.5; directly or indirectly destroy a unique paleontological resource or site or unique geologic feature; or disturb any human remains, including those interred outside of formal cemeteries? Construction of all three project components would involve ground-disturbing activities such as grading and surface excavation, which have the potential to unearth or adversely impact previously unidentified archaeological resources, paleontological resources, and/ or human remains. Impacts associated with all three project components would be less than significant with the following mitigation incorporated. Page 9 -Exhibit A MM 4.4-l(a) Resource Recovery Procedures. Prior to any ground-disturbing activities or building removal on any of the development sites, an Archaeological Monitoring Plan shall be developed by a qualified archaeologist with provision for review and input by concerned Native Americans and approval by the City of Hermosa Beach or Manhattan Beach. The Plan will also address worker safety during building demolition and ground disturbing activities. In the event that potential archaeological or paleontological resources are unearthed during project construction, possible mitigation strategies include: having detailed documentation of cultural resources; avoidance and/ or preservation of the resource; development of a clear collection policy for both prehistoric and historic artifacts, development of a research design and recovery program; or a monitoring report and/ or evaluation report. After the find has been appropriately mitigated, work in the area may resume. MM 4.4-1 (b) Human Remains Recovery Procedures. If human remains are unearthed ground disturbing activities in the area of the discovery shall immediately be halted or redirected. A temporary construction exclusion zone shall be established surrounding the site to allow for further examination of the find. A City representative shall immediately notify the Los Angeles County Coroner's office by telephone. By law, the Coroner will determine within two working days of being notified if the remains are subject to his or her authority. If the Coroner recognizes the remains to be Native American, he or she shall contact the Native American Heritage Commission who will appoint the Most Likely Descendent (MLD). Additionally, if the remains are determined to be Native American, a plan will be developed regarding the treatment of human remains and associated burial objects and the plan will be implemented under the direction oftheMLD. IMPACT 4.5-1 Would the proposed project expose people or structures to potential substantial adverse effects, including the risk of loss, injury, or death involving: b) strong seismic ground shaking, c) or seismic-related ground failure including liquefaction? Seismically-induced ground shaking could cause ground failure, liquefaction, and risks to human health and safety for all three project components. All project components would be required to comply with California Building Code requirements and applicable recommendations of a final geotechnical investigation to address stability issues and soil integrity. Therefore, impacts associated with all three project components would be less than significant with the following mitigation incorporated. MM 4.5-1 Final Geotechnical Investigation. A Registered Civil Engineer and Certified Engineering Geologist shall complete a final geotechnical investigation specific to each development site and proposed areas of excavation. The geotechnical evaluation shall include, but not be limited to, an estimation of both vertical and horizontal anticipated peak ground accelerations and potential liquefaction. Subsequent subsurface investigations shall determine appropriate means of mitigating both structural as well as potential health hazards that could be associated with such development activities. Suitable measures to reduce liquefaction impacts could include one or more of the following techniques, as determined by a registered geotechnical engineer: Page 10 -Exhibit A • Specialized design of foundations by a structural engineer; • Removal or treatment of liquefiable soils to reduce the potential for liquefaction; • Drainage to lower the groundwater table to below the level of liquefiable soil; • In-situ densification of soils or other alterations to the ground characteristics; or • Other alterations to the ground characteristics. The geotechnical investigation shall also identify depth to groundwater throughout the development site (including estimated variability over the life of the project), and provide methods to avoid adverse effects associated with encountering groundwater during project-related excavations, including but not limited to dewatering as necessary. The geotechnical report shall be subject to review and approval by the City of Hermosa Beach (Hermosa Beach component) or the City of Manhattan Beach (two Manhattan Beach components). All recommendations provided in the geotechnical report shall be followed during grading and construction. IMP ACT 4.5-2 Would implementation of the proposed project result in substantial soil erosion or the loss of topsoil or be located on a geologic unit or soil that is unstable or that would become unstable as a result of the Project, and potentially result in on-or off-site erosion, landslides, subsidence, liquefaction, or collapse? All three project components would require excavation, which could trigger slope failure, soil erosion, or other soil stability issues that could threaten the integrity of the proposed structure and/ or surrounding areas. With implementation of mitigation measures and mandatory compliance with California Building Code requirements, impacts would be less than significant with the following mitigation incorporated for all three project components. MM 4.5-2 Geotechnical Recommendations for Foundation Construction. The applicant shall comply with the following recommendations to address soil stability concerns associated with project-related excavations, and any supplemental recommendations as determined by a geotechnical investigation of the site: Shoring Design. All designs shall be able to withstand the earth pressure resulting from adjacent soils, traffic loading, and temporary equipment used to excavate the slopes and drive the shoring .. The shoring contractor shall provide the shoring design to a City-approved geotechnical engineer for review and approval prior to commencement of shoring. Lagging deflection and tie back resistance strength shall be measured in the field to ensure that these features are able to withstand the earth pressures that they will undergo. Foundation Observations. All foundation excavations shall be observed by a City- approved geotechnical engineer to verify penetration into the recommended bearing materials. The observation shall be performed prior to the placement of reinforcement. All foundation excavations shall be performed under the continuous observation by a City-approved geotechnical engineer to verify penetration into firm, undisturbed natural soils. Foundations shall be deepened if necessary to extend into satisfactory soils, or proper compaction shall be performed to ensure that the foundation slab is built upon dense compact material. Foundation excavations shall be cleaned of all loose soils prior to placing steel and concrete. Any required foundation backfill shall be mechanically compacted; flooding is not permitted. Page 11 -Exhibit A Construction Monitoring. Compliance with the design concepts, specifications or recommendations during construction requires review by City-approved geotechnical engineer. All foundations shall be observed by a City-approved geotechnical engineer prior to placing concrete or steel. Any fill which is placed shall be observed, tested, and verified if used for engineering purposes. It is the responsibility of the contractor to ensure that all excavations and trenches are properly sloped or shored. All temporary excavations shall be cut and maintained in accordance with applicable Occupational Safety and Health Administration (OSHA) rules and regulations. Engineering Review. The Cities of Hermosa Beach and Manhattan Beach shall review all design plans prior to construction, and incorporate best management practices into final grading and structural design plans as deemed appropriate. In addition, all onsite structures shall be required to comply with applicable provisions of the California Building Code. IMP ACT 4.5-3 Would the proposed project be located on expansive soil, as defined in Table 18-1-B of the Uniform Building Code, creating substantial risks to life or properh;? All three development sites may be located on expansive or corrosive soils. Consequently, proper engineering practices would be required to ensure that soil conditions would not result in significant adverse impacts. With implementation of an appropriate foundation design, impacts associated with unstable or expansive soils would be a less than significant with the following mitigation incorporated for all three project components. MM 4.5-3(a) Expansive Soils Evaluation. A Registered Civil Engineer shall analyze surficial and near-surface soils at the site. Depths of analysis would include soil depths subsequent to grading, prior to excavation, and after excavation. This analysis will be completed prior to on-site construction to determine whether expansive soils are present. In the event that clay-rich, expansive soils are present, foundations shall be designed to accommodate expansive soils, and project foundations and structures may be placed on a blanket of non-expansive fill soils to prevent structural damage and/ or failure. Foundation design shall be reviewed and approved by a Registered Civil Engineer. MM 4.5-3(b) Corrosive Soils Design. All concrete in contact with high sulfate or corrosive soils shall be Type V concrete in accordance with the 2010 California Building Code. IMPACT 4.7-1 Would the proposed project create a significant hazard to the public or the environment through reasonable foreseeable upset and accident conditions involving the release of hazardous materials into the environment or be located on a site which is included on a list of hazardous materials sites compiled pursuant to Government Code Section 65962.5 and as a result, create a significant hazard to the public or the environment? The Hermosa Beach site currently has contaminated shallow soil that requires mitigation. However, with implementation of a Soil Management Plan, potential impacts related to contaminated soils would be less than significant with the following mitigation incorporated. Impacts associated with the two Manhattan Beach components would be less than significant. MM 4.7-1 Soil Management Plan. Before the issuance of a grading permit, the impacted shallow soil at the former Midas property and the locally impacted shallow soil remaining at the former BMW Service Department will be remediated Page 12 -Exhibit A in accordance with a Soil Management Plan (SMP) that will be prepared for the entire Hermosa Beach site. Based on the past and recent laboratory data for the project area, the shallow soil impacted with petroleum hydrocarbons will be classified as a non-RCRA-California Waste. The laboratory data for the impacted soil will be used to profile the soil for transport, treahnent, and recycling at a licensed treahnent facility. The SMP will also include health and safety information for workers and the general public, and will inform the various contractors and workers of the presence of shallow soil impacted with petroleum hydrocarbons and the appropriate measures to safely deal with the soil. IMP ACT 4.7-2. Would the proposed project create a significant hazard to the public or the environment through reasonable foreseeable upset and accident conditions involving the release of hazardous materials into the environment? Existing buildings at the Hermosa Beach and 305 S. Sepulveda sites may currently have non-friable ACBMs. Both sites must be monitored by a qualified consultant for ACMs prior to issuance of a demolition permit to mitigate against this possibility. The impact regarding asbestos would be less than significant with the following mitigation incorporated. MM 4.7-2 Asbestos. In the event that any suspect ACMs are discovered during construction activities, the materials shall be sampled and analyzed for asbestos content prior to any disturbance. Prior to the issuance of the demolition permit, the applicant shall provide a letter from a qualified asbestos abatement consultant that no ACMs are present in the buildings. If additional ACMs are found to be present, a qualified asbestos abatement consultant shall abated the buildings in compliance with the South Coast Air Quality Management District's Rule 1403 as well as all other State and federal rules and regulations. IMP ACT 4.8-2. Would the proposed project substantially deplete groundwater supplies or interfere with groundwater recharge? Proposed structures on all three development sites would be located above the groundwater table and would not require permanent dewatering or waterproofing. Local wells would not be used to provide water supply for the project. Dewatering may be needed during construction, which could result in the discharge of potentially contaminated groundwater. Impacts would be less than significant with the following mitigation incorporated for all three project components. MM 4.8-2 Dewatering Plan. A Dewatering Plan that applies to each project component shall be prepared by the applicant and submitted to the appropriate City Engineer in Hermosa Beach or Manhattan Beach for review and approval prior to the onset of excavation activities, to be implemented if perched or shallow groundwater is encountered during construction and dewatering is necessary to complete construction. The Dewatering Plan shall include Best Management Practices (BMPs) for dewatering, in compliance with the California Stormwater Quality Association (CASQA) Handbook for Construction or other similar guidelines. Should dewatering become necessary, the applicant shall submit a written description of all executed dewatering activities, including steps taken to return encountered groundwater to the subsurface or to dispose of the dewatered groundwater upon the completion of dewatering activities. Page 13 -Exhibit A IMPACT 4.10-4. Would the proposed project expose persons or generate noise levels in excess of standards established in the local general plan or noise ordinance, or applicable standards of other agencies or cause a substantial permanent increase in ambient noise levels in the project vicinity above levels existing without the project? On-site activities associated with operation of all three project components would generate noise that may periodically be audible to existing uses near each development site. On-site noise sources include stationary equipment such as ventilation and heating systems, deliveries, and trash hauling. Other than noise from mechanical equipment at the Hermosa Beach site, operational noise would comply with existing State regulations and would not increase ambient noise levels beyond noise thresholds. Noise impacts associated with mechanical equipment would be less than significant for both Manhattan Beach sites and less than significant with the following mitigation incorporated for the Hermosa Beach site. MM 4.10-4 Mechanical Equipment. Outdoor mechanical equipment at the Hermosa Beach site shall be located, hooded, and/ or shielded in a manner that limits exposure of adjacent properties to 45 dBA or less. Prior to issuance of occupancy permits, the applicant shall provide a site-specific acoustic analysis prepared to the satisfaction of the Community Development Director by a qualified acoustical engineer that identifies appropriate methods of limiting noise exposure to meet this standard and verifies compliance. The record shows that the impacts are mitigated to a level of insignificance and no further discussion or findings are required. 1.4.3 FINDING THAT MITIGATION OF CERTAIN IMPACTS IS WITHIN THE RESPONSIBILITY AND JURISDICTION OF ANOTHER PUBLIC AGENCY The project includes components in two cities -Hermosa Beach and Manhattan Beach. Hermosa Beach is the lead agency on this project and Manhattan Beach is a responsible agency. Both will be conducting separate public hearings to review the project components within their jurisdictions. Several mitigation measures identified in the FEIR are within the responsibility or jurisdiction of another public agency, namely the City of Manhattan Beach. As lead agency, the City of Hermosa Beach has included a condition of approval requiring that the applicant provide documentation from the City of Manhattan Beach of compliance and completion of all mitigation measures within that jurisdiction prior to issuance of Certificate of Occupancy. The mitigation measures included in the Draft EIR included three traffic signals along the SR 1 corridor that would have required Caltrans approval, which created uncertainty as to their feasibility. However, based on additional traffic analysis conducted in conjunction with preparation of the Final EIR, it was determined that the package of mitigation measures that would achieve the best overall traffic flow along the SR 1 corridor without impacting other intersections does not include any of the three traffic signals or any other measures that require Caltrans approval. 1.4.4 FINDINGS THAT IDENTIFIED PROJECT ALTERNATIVES OR MITIGATION MEASURES ARE NOT FEASIBLE All mitigation measures included in the FEIR are feasible. The FEIR examines three alternatives: Page 14 -Exhibit A • Alternative 1: No Project/No Development • Alternative 2: Commercial Retail (replacing the commercial office buildings with retail uses built in accordance with existing zoning) • Alternative 3: Reduced Project Size a. Alternative 1: No Project Alternative: The No Project alternative assumes that the proposed Skechers project would not be constructed. Thus, the project site would remain in its current condition. Implementation of the No Project alternative would not, however, preclude future development within the project site in accordance with the current General Plan. Finding: The Planning Commission finds that the No Project alternative would avoid all of the proposed project's impacts. However, this alternative would not meet any of the project objectives, including: • Develop a new Design Center to display Skechers shoes in modern state of the art showrooms within one location. • Create facilities providing sufficient space for additional offices to meet current and future needs as well as showrooms that would be used during conference events hosted by Skechers approximately twice per year. • Maintain proximity to the existing Skechers campus and the Los Angeles International Airport. • Generate up to 655 new jobs within the cities of Hermosa Beach and Manhattan Beach. • Achieve LEED Gold Certification for all three project components. • Create a consistent pattern of development along SR 1 that matches the existing Skechers campus and redevelops three underutilized sites. Therefore, the Planning Commission finds that this alternative is infeasible. b. Alternative 2: Commercial Retail (replacing the commercial office buildings with retail uses built in accordance with existing zonin&) Alternative: The impacts of the Commercial Retail Alternative would be similar or higher than that of the proposed project for each issue area, and would not meet the project's three basic objectives to: • Develop a new Design Center to display Skechers shoes in modern state of the art showrooms within one location. • Create facilities providing sufficient space for additional offices to meet current and future needs as well as showrooms that would be used during conference events hosted by Skechers approximately twice per year. • Generate 655 new jobs in the cities of Hermosa Beach and Manhattan Beach. Finding: The Planning Commission finds that the Commercial Retail alternative impacts would be similar to or higher than that of the proposed project for each issue area, and would not meet the project's three basic objectives related to expanding its company headquarters in the beach cities, the creation of sufficient space for the Skechers existing and future needs, and generating 655 new jobs in the cities of Page 15 -Exhibit A Hermosa Beach and Manhattan Beach. Therefore, the Planning Commission finds that this alternative is infeasible. c. Alternative 3: Reduced Project Size Alternative: This alternative includes two options for reducing the size of the proposed project in order to reduce overall vehicle trips generated by the project and associated impacts: Reduce all components by 14% (3A), and Remove Coffee Shop/Reduce Design Center Size (3B). Among the other alternatives, the Reduced Project Size alternative (either Option A or Option B) would incrementally reduce impacts in several issue areas and potentially provide an alternative means of avoiding one significant traffic impact while not creating any new or increased severity impacts. Both options under the Reduced Project Size alternative would meet certain project objectives, but may not meet the objectives related to meeting future space needs and creating jobs. Neither Option A nor Option B of the Reduced Project Size alternative would eliminate the project's significant and unavoidable construction noise impacts at the Hermosa Beach site. Either option would be expected to eliminate the significant traffic impact at the SR 1/Longfellow Drive intersection, but significant and unavoidable traffic impacts would remain at six intersections along SR 1. Finding: The Planning Commission finds that the Reduced Project Size alternative would incrementally reduce impacts in several issue areas and potentially provide an alternative means of avoiding one significant traffic impact while not creating any new or increased severity impacts. However, while both options under the Reduced Project Size alternative would meet certain project objectives, neither would meet other basic project objectives, as described below. Skechers is a large international, publicly traded company looking to expand its existing company headquarters. According to the company's website, it markets more than 3,000 styles of shoes. The shoes are sold in department stores as well as over 2,400 Skechers retail stores and online. The products are available in over 160 countries. For a company of this size, the Design Center is a major component and objective of the project. The Design Center would include showrooms, product development rooms, general offices, conference rooms, shoe libraries, and a private-company cafeteria. Skechers also hosts global sales conferences at its headquarters. The Design Center is a major activity center for the project, as evidenced by the fact that an 8 % reduction in size could achieve enough of a reduction to eliminate the traffic impact at SR 1/Longfellow Drive intersection, while a 14 % reduction in the other project aspects is required to achieve the same result. Therefore, reduction in Design Center specifically (more than other aspects of the project) would hinder the project's ability to achieve the critical project objective of developing, showcasing shoes, and storing its products in one place. Reduction of other aspects of the project also results in a project that does not meet the basic project objectives related to meeting future space needs and creating 655 new jobs in the cities of Hermosa Beach and Manhattan Beach. Job creation is considered to be very important to the economic vitality of both cities. Table 6-6 in Page 16 -Exhibit A the FEIR shows that Alternative 3A reduces jobs to 563 and Option 3B reduces jobs to 622. Additionally, it is reasonable that a company of this size that is making a long-term decision to stay in this location and investing in a new headquarters of this magnitude, should be able to create a facility that provides some small space for future growth or flexibility in the space. Available and underutilized nearby space is limited and there is no guarantee that space for future space needs would be available in the beach cities area (which is a large component of the project objectives). Even if it were, future expansion projects would create more disturbance in the area and could create new impacts. Thus, the project is only feasible if there is some reasonable amount of flexibility in the space to allow for future space needs and to provide the jobs intended in the project objectives. Skechers did long range growth projections to determine future needs and Skechers reports that the project size has already been reduced to the minimum square footage possible based on space needed to accommodate future growth without overcrowding employees. While developing the project proposal, Skechers engaged input from the community and reduced the Hermosa Beach project size by removing the pedestrian overpass on 30th Street; the vehicular tunnel under 30th Street, eliminated the R-1 lot from the development; and reduced overall size of Executive Center. The project size is below that allowed by Code and includes landscaping and setbacks that exceed minimum code requirements. Thus, project reductions have already been incorporated to reduce the project in a manner that still meets project objectives Therefore, even the reductions set forth in Option A and Option B are infeasible. These alternatives do not meet the following basic project objectives: • • • Develop a new Design Center to display Skechers shoes in modern state of the art showrooms within one location. Create facilities providing sufficient space for additional offices to meet current and future needs as well as showrooms that would be used during conference events hosted by Skechers approximately twice per year. Generate 655 new jobs in the cities of Hermosa Beach and Manhattan Beach. Therefore, the Planning Commission finds that this alternative is infeasible. 1.5 STATEMENT OF OVERRIDING CONSIDERATIONS Pursuant to CEQA Section 21081(b) and the CEQA Guidelines Section 15093, the City has balanced the benefits of the proposed Skecher' s Project Final EIR against the unavoidable adverse impacts associated with the proposed project and has adopted all feasible mitigation measures. The City has also examined alternatives to the proposed project, and has determined that adoption and implementation of the proposed project is the most desirable, feasible, and appropriate action. 1.5.1 SIGNIFICANT UNA VOIDABLE IMPACTS The proposed project would result in the following unavoidable significant adverse impacts after mitigation: Page 17 -Exhibit A 1. The proposed project would have temporary construction-related impacts at the Hermosa Beach site due to exposure of noise-sensitive residential and day care uses to noise exceeding current City standards during portions of the 30- month construction period. These impacts would be significant and unavoidable. 2. The proposed project would have temporary construction-related impacts at the SR 1/30th Street, SR 1/Keats Street, and SR 1/Tennyson Street intersections. Project construction activities and the associated truck trips and worker trips could temporarily interrupt the local roadway system at the afore-mentioned intersections. These impacts would be significant and unavoidable. 3. The combined proposed project would generate an estimated 1,312 new weekday average daily trips, including 279 AM peak hour trips and 254 PM peak hour trips. This would incrementally increase traffic levels at study intersections and cause potentially significant impacts at a total of seven intersections based on City of Hermosa Beach and City of Manhattan Beach thresholds as well as seven intersections based on Caltrans significance thresholds and one intersection based on CMP criteria. Proposed mitigation measures would reduce impacts to the degree feasible, but implementation of proposed improvements would not reduce impacts to below significance at all locations and TDM effectiveness cannot be assured since it would rely on changes in Skechers' employee commute habits; therefore, impacts to intersections along SR 1 would be significant and unavoidable. The project would also generate traffic on residential streets adjacent to the three development sites, but the increase in traffic would not result in significant impacts to levels of service on any street segments; therefore, impacts to residential streets would be less than significant. 1.5.2 PROJECT BENEFITS The City has balanced the proposed project's benefits against its significant and unavoidable impacts. The City finds that the proposed project's benefits outweigh the significant and unavoidable impacts and, therefore, that those impacts are acceptable in light of the proposed project's benefits. The City finds that each of the following benefits is an overriding consideration, independent of the other benefits, that warrants approval of the proposed project notwithstanding the proposed project's significant and unavoidable impacts related to noise/vibration and traffic. The proposed project would provide several public benefits as described below. 1. Provision of Local Jobs: The proposed project would allow for commercial development that would provide 655 new local jobs within the cities of Hermosa Beach and Manhattan Beach. This is particularly important in Hermosa Beach, where 95% of employed residents leave the city every day to go to work. 2. High-Quality Development: The proposed project would allow for the logical development of the project site vicinity with commercial uses compatible with Page 18 -Exhibit A those within and around SR 1. The project updates and improves underutilized parcels and provides a high-quality designed development to SR-1. The project also creates a consistent pattern of development along SR-1 that matches the existing Skechers campus and redevelops other underutilized sites. The high quality development also improves the gateway into Hermosa Beach on SR-1 and will undergrounds utilities along Skechers' properties adjacent to residential properties on the west side of 2901 and 305 Sepulveda and along a portion of 30th Street. The project will provide improvements to sidewalks, landscaping and bus stops. 3. Economic Vitality: The proposed project would introduce 655 new employees into the cities of Hermosa Beach (430) and Manhattan Beach (225), thereby serving as Hermosa Beach's largest employer. These employees will be encouraged to stimulate the local economies by: utilizing the Skechers lunchtime shuttle to frequent local businesses; patronizing local businesses as they commute through the cities; relocating their residences in close proximity to this employment center and thereby encourage their household members to further stimulate the local economy. The project is also expected to provide 500 construction jobs. 4. General Plan Implementation: The proposed project would implement provisions of the 1979 General Plan Economic Element as it pertains to the Pacific Coast Highway Commercial Corridor, and the 1994 Land Use Element as it pertains to the Commercial Corridor Land Use designation to: minimize conflicts between nonresidential land uses and residential properties; promote the establishment and improvement of commercial enterprises which contribute to the vitality and diversity of the City's commercial base; protect surrounding residential neighborhoods from adverse environmental impacts; encourage community participation in significant discretionary land use decisions; and ensure that future development will not encroach on or diminish public open spaces, public views, or unique natural resources. 5. While not legally required to be consistent with PLAN Hermosa, the project is consistent with the City's most recent vision statement for the City, including supporting implementation of the following key policies: • Land Use 1.1 Diverse and distributed land use pattern. Strive to maintain the fundamental pattern of existing land uses, preserving residential neighborhoods, while providing for enhancement of corridors and districts in order to improve community activity and identity. • Land Use 1.4 Diverse commercial areas. Promote the development of diversified and unique commercial districts with locally owned businesses and job-or revenue-generating uses. • Land Use 4.2 Employment centers. Encourage the development and co- location of additional office space and employment centers along corridors, preferably above ground-floor commercial uses on second or third floors. • Land Use 4.7 Access to transit. Support the location of transit stations and enhanced stops near the intersection of Aviation Blvd and PCH, and adjacent to Gateway Commercial uses to facilitate and take advantage of transit service, reduce vehicle trips and allow residents without private vehicles to access services. Page 19 -Exhibit A • Infrastructure 2.3 Street and sidewalk standards. Require the use of standardized roadway, sidewalk, parkway, curb and gutter designs to ensure continuity and consistency as property redevelops over time. • Infrastructure 4.4 System capacity reviews. Require new development and redevelopment projects to demonstrate available sewer system capacity and resiliency. • Infrastructure 5.8 Low impact development. Require new development and redevelopment projects to incorporate low impact development (LID) techniques in project designs, including but not limited to on-site drainage improvements using native vegetation to capture and clean stormwater runoff and minimize impervious surfaces. • Infrastructure 6.2 Below ground utilities. Encourage the phase out and replace overhead electric lines with subsurface lines to reduce visual obstructions and the need for utility poles which can impede sidewalk accessibility. • Land Use 4.8 Neighborhood buffer. Encourage all commercial property owners bordering residential areas to mitigate impacts and use appropriate landscaping and buffering of residential neighborhoods. • Land Use 4.10 Pedestrian access. For all new development, encourage pedestrian access, and create strong building entries that are primarily oriented to the street. • Land Use 6.8 Balance pedestrian and vehicular circulation. Require vehicle parking design to consider pedestrian circulation. Require the following of all new development along corridors: The number of curb cuts and other intrusions of vehicles across sidewalks should be minimized. • Mobility 4.5 Sufficient bicycle parking. Require a sufficient supply of bicycle parking to be provided in conjunction with new vehicle parking facilities by both public and private developments. • Mobility 4.6 Priority parking. Provide priority parking and charging stations to accommodate the use of Electric Vehicles (EV's), including smaller short- distance neighborhood electric vehicles. • Mobility 4.9 Encourage TDM strategies. Encourage use of transportation demand management strategies and programs such as carpooling, ride hailing, and alternative transportation modes as a way to reduce demand for additional parking supply. • Mobility 5.4 Evaluate projects. Ensure the evaluation of projects for transportation and traffic impacts under CEQA consider local and statewide goals related to infill development, the promotion of healthy and active lifestyles through active transportation, and the reduction of greenhouse gases, in addition to traditional congestion management impacts. • Mobility 8.3 Commercial loading zones. Encourage businesses to provide commercial loading zones onsite where possible, or in the adjacent public right-of-way in a manner that balances the needs of businesses with the impact on traffic conditions and at appropriate delivery times. • Public Safety 7.3 Noise analysis and mitigation. Require all proposed development projects and modifications to existing developments to be compatible with the existing and future noise levels by using the Land Use/Noise Compatibility matrix shown in Table 6.4, or equivalent city policy or code. Where proposed projects are not located in an area that is "clearly compatible", the City will require that an acoustical study be prepared as a Page 20 -Exhibit A condition of building permit approval demonstrating compliance with the noise standards shown in Table 6.3. • Public Safety 8.2 Alternative modes of transportation. Reduce noise impacts by encouraging the use of walking, biking, carpooling, use of public transit, and expanding alternative modes of transportation. • Sustainability and Conservation 2.6 Greenhouse gas thresholds. Establish greenhouse gas emissions thresholds for use in evaluating non-exempt discretionary projects consistent with the California Environmental Quality Act and require projects above that threshold to substantially mitigate all feasible greenhouse gas emissions, and locally offset the remainder of greenhouse gas emissions produced to meet thresholds. • Sustainability and Conservation 6.8 Recycled building materials. Where cost effective and structurally feasible, maximize the use of recycled building materials in new construction projects. • Sustainability and Conservation 6.9 Building salvage. Maximize building salvage and deconstruction in remodeling or building demolition projects. 6. The project allows the local headquarters of a large, international shoe company to remain in the beach cities. Skechers is an active and beneficial presence in the beach cities' communities. For example, the company supports local organizations, provides scholarships, and brings up to 1500 visitors to the beach cities for their twice-yearly sale conference. Retaining and expanding the local headquarters allows Skechers to continue its connection to and support of the local community. 7. The project will increase pedestrian activity along SR-1 and will activate these portions of SR-1. The activation of SR-1 will increase demand for services and other commercial uses along this commercial boulevard. 8. In addition to employees and residents, bringing visitors from around the world to the beach cities enhances the image of Hermosa Beach and Manhattan Beach, which could make the cities more attractive to other companies for potential location. 1.6 ENVIRONMENTAL REPORTING AND MONITORING PROGRAM Public Resources Code Section 21081.6 and CEQA Guidelines Section 15091(d) require the City to adopt a reporting or monitoring program for the changes to the project that it has adopted or made a condition of approval in order to avoid or substantially lessen significant effects on the environment. The monitoring program is hereby adopted for the project. The monitoring program is designed to ensure compliance with required mitigation measures. Page 21 -Exhibit A Skechers Design Center and Executive Offices Mitigation Monitoring and Reporting Plan Mitigation Monitoring and Reporting Plan Introduction This Mitigation Monitoring and Reporting Plan (MMRP) has been prepared in accordance with the requirements of Public Resources Code Section 21081.6 and CEQA Guidelines Section 15097, which require adoption of a reporting or monitoring program to ensure that the mitigation measures imposed by the Lead Agency are implemented. The MMRP identifies specific reporting or monitoring requirements to be enforced prior to, during, or following project implementation. The MMRP must be adopted at the time of project approval. The purpose of the MMRP is to ensure that the measures which have been adopted to mitigate or avoid significant impacts are implemented. This MMRP will be in effect throughout all phases of the Skechers Design Center and Executive Offices project (State Clearinghouse No. 2015041081). The City of Hermosa Beach is responsible for verifying implementation of the adopted mitigation measures for the Hermosa Beach component of the project and the City of Manhattan Beach is responsible for verifying implementation of the adopted mitigation measures for the two Manhattan Beach components. The project applicant is responsible for implementation of all mitigation measures. As defined in CEQA Guidelines Section 15097(c), "The public agency may choose whether its program will monitor mitigation, report on mitigation, or both." Reporting is suited to projects that have readily measureable or quantitative mitigation measures. Monitoring is also suited for projects that have complex mitigation measures that may exceed the expertise of the local agency's oversight. This MMRP utilizes both reporting and monitoring for the project. Certain mitigation measures require the applicant to prepare and submit plans or reports in order to comply with the measures. Adequate time must be provided for the Cities to review each submitted study, report, program, or plan in order to ensure they fulfill the requirements of the mitigation measures. The mitigation measures listed in Table 1 were recommended in the Final EIR. Implementa- tion of these measures would avoid or substantially reduce the significant impacts identified in the EIR. Table 1 indicates how compliance with each measure will be verified, the general timing of implementation of each measure, and the agency responsible for verifying compliance with each measure. Regarding the method of verification for compliance with each mitigation measure, Table 1 indicates one of the following for each mitigation measure: • Verification during plan review. Some mitigation measures require the applicant to submit design or construction plans that must be reviewed and approved by the appropriate City prior to issuance of permits. Compliance with some mitigation measures can be verified during the plan review process. Page 1 -Exhibit B Skechers Design Center and Executive Offices Mitigation Monitoring and Reporting Plan • Construction monitoring. For some mitigation measures applicable to construction, it is effective to periodically visit the construction site to verify that mitigation requirements are being implemented. City staff members or a designated representative would conduct these inspections. • Reporting by applicant. In many cases, the applicant can report to the appropriate City on compliance with mitigation measures. Reporting of compliance must be accompanied by supporting evidence, such as photographs, logs, equipment records, or other documentation. While reporting by the applicant may be specified as the intended method of verification for some mitigation, the City may also choose to conduct site inspections or monitor construction to verify compliance. March 2016 Page 2 -Exhibit B Final EIR Skechers Design Center and Executive Offices Mitigation Monitoring and Reporting Plan Table 1-Mitigation Monitoring and Reporting Plan Mitigation Requirements Air Quality MM 4.2-1 Construction Scheduling. Schedule construction activities so that grading of the Hermosa Beach site does not overlap with demolition or grading activities associated with either Manhattan Beach component. In addition, demolition activities of the Hermosa Beach components, the Design Center site and the Executive Office site, shall not overlap. Biololtical Resources MM 4.3-1 Nesting Birds. If vegetation clearing or other project construction is to be initiated during the bird nesting season (February 1 through September 15), a biologist experienced in conducting nesting bird surveys shall survey for nesting birds no more than three days prior to the start of construction. If the biologist finds any nesting birds within 300 feet of the limits of construction (or within 500 feet for raptors), the biologist shall clearly mark the location of the nest (with staking and flags) and, if warranted, identify feasible measures to avoid any potential adverse effects on nesting birds. Appropriate measures may include attenuating construction noise (through sound-dampening boards or other equipment) to a level of 60 dBA CNEL (as measured in the vicinity of the nest) or otherwise limiting disturbances within a certain distance of the nest until nesting is complete. If the level of 60 dBA cannot be achieved, or if the biological monitor otherwise considers it necessary to avoid potential impacts, the biological monitor shall be present during construction activities to ensure that nesting birds are not disturbed. The biological monitor shall have authority to halt any construction activity determined to be potentially disturbing the nesting of any bird. Construction may continue when the monitor determines that the activity can be carried out without disruption of nesting or when the nest is determined to have fledged or failed. Final EIR 3 Applicable Verification City Method Hermosa Review and Beach and verification of Manhattan construction Beach schedules during grading and construction plan review. Manhattan Approval of Beach nesting survey report; as necessary, verification that appropriate avoidance requirements are followed. Timing of Verification Mitigation Responsibility Prior to City of Hermosa issuance of Beach demolition, and Community construction Development permits. Dept.; City of Manhattan Beach Community Development Dept. Submittal of City of nesting survey Manhattan Beach report no more Community than 3 days Development prior to start of Dept. first construction phase ( demolition, grading or construction activity) at each site; implementation of avoidance requirements, if necessary, during demolition, grading and construction. March 2016 Skechers Design Center and Executive Offices Mitigation Monitoring and Reporting Plan Table 1 -Mitigation Monitoring and Reporting Plan Mitigation Requirements Cultural Resources MM 4.4-l(a) Resource Recovery Procedures. Prior to any ground-disturbing activities or building removal on any of the development sites, an Archaeological Monitoring Plan shall be developed by a qualified archaeologist with provision for review and input by concerned Native Americans and approval by the City of Hermosa Beach or Manhattan Beach. The Plan will also address worker safety during building demolition and ground disturbing activities. In the event that potential archaeological or paleontological resources are unearthed during project construction, possible mitigation strategies include: having detailed documentation of cultural resources; avoidance and/ or preservation of the resource; development of a clear collection policy for both prehistoric and historic artifacts, development of a research design and recovery program; or a monitoring report and/ or evaluation report. After the find has been appropriately mitigated, work in the area may resume. MM 4.4-1 (b) Human Remains Recovery Procedures. If human remains are unearthed ground disturbing activities in the area of the discovery shall immediately be halted or redirected. A temporary construction exclusion zone shall be established surrounding the site to allow for further examination of the find. A City representative shall immediately notify the Los Angeles County Coroner's office by telephone. By law, the Coroner will determine within two working days of being notified if the remains are subject to his or her authority. If the Coroner Tecognizes the remains to be Native American, he or she shall contact the Native American Heri~e Commission who will appoint the Most Likely Descendent (MLD). Additionally, if the remains are determined to be Native American, a plan will be developed regarding the treatment of human remains and associated burial objects and the plan will be implemented under the direction of the MLD. Geolo2V and Soils MM 4.5-1 Final Geotechnical Investigation. A Registered Civil Engineer and Certified Engineering Geologist shall complete a final geotechnical investigation specific to each development site and proposed areas of excavation. The geotechnical evaluation shall include, but not be limited to, an estimation of both vertical and horizontal anticipated peak ground accelerations and potential liquefaction. Subsequent subsurface investigations shall be included in the final geotechnical investigation and determine appropriate means of mitigating both structural as well as potential health hazards that could be associated with such development activities. 4 Applicable Verification City Method Hermosa Review and Beach and approval of Manhattan Archaeological Beach Monitoring Plan; field verification of monitoring and of mitigation strategies, as necessary and appropriate. Hermosa Reporting by Beach and applicant; Manhattan verification that Beach appropriate procedures are followed if human remains are identified during demolition, grading, and/ or construction. Hermosa Review and Beach and verification of Manhattan geotechnical Beach requirements during grading plan review; field verification of compliance. Timing of Verification Mitigation Responsibility Review/ City of Hermosa approval of Beach monitoring Community plan prior to Development issuance of Dept.; City of demolition Manhattan Beach permits; field Community monitoring Development during ground Dept. disturbance activities. During grading City of Hermosa and ground Beach disturbance Community activities. Development Dept.; City of Manhattan Beach Community Development Dept. Prior to City of Hermosa issuance of Beach demolition Community permits; field Development verification of Dept.; City of compliance by Manhattan Beach City-approved Community geotechnical Development engineer Dept. during grading Table 1 -Mitigation Monitoring and Reporting Plan Mitigation Requirements Applicable City Suitable measures to reduce liquefaction impacts could include one or more of the following techniques, as determined by a registered geotechnical engineer: . Specialized design of foundations by a structural engineer; . Removal or treatment of liquefiable soils to reduce the potential for liquefaction; . Drainage to lower the groundwater table to below the level of liquefiable soil; . In-situ densification of soils or other alterations to the ground characteristics; or . Other alterations to the ground characteristics . The geotechnical investigation shall also identify depth to groundwater throughout the development site (including estimated variability over the life of the project), and provide methods to avoid adverse effects associated with encountering groundwater during project-related excavations, including but not limited to dewatering as necessary. The geotechnical report shall be subject to review and approval by the City of Hermosa Beach (Hermosa Beach component) and the City of Manhattan Beach (two Manhattan Beach components). All recommendations provided in the geotechnical report shall be followed during grading and construction. MM 4.5-2 Geotechnical Recommendations for Foundation Construction. The applicant Hermosa shall comply with the following recommendations to address soil stability concerns Beach and associated with project-related excavations, and any supplemental recommendations as Manhattan determined by a geotechnical investigation of the site: Beach . Shoring Design. All designs shall be able to withstand the earth pressure resulting from adjacent soils, traffic loading, and temporary equipment used to excavate the slopes and drive the shoring .. The shoring contractor shall provide the shoring design to a City-approved geotechnical engineer for review and approval prior to commencement of shoring. Lagging deflection and tie back resistance strength shall be measured in the field to ensure that these features are able to withstand the earth pressures that they will undergo. . Foundation Observations. All foundation excavations shall be observed by a City- approved geotechnical engineer to verify penetration into the recommended bearing materials. The observation shall be performed prior to the placement of reinforcement. All foundation excavations shall be performed under the continuous observation by a 5 Verification Method Verification of compliance with requirements during plan review; field verification of compliance during excavation and construction by City-approved geotechnical engineer. Skechers Design Center and Executive Offices Mitigation Monitoring and Reporting Program Timing of Verification Mitigation Responsibility and construction. Plan review City of Hermosa prior to Beach issuance of Community demolition and Development building Dept.; City of permits; field Manhattan Beach verification of Community compliance by Development City-approved Dept. geotechnical engineer during grading and construction. Skechers Design Center and Executive Offices Mitigation Monitoring and Reporting Plan Table 1 -Mitigation Monitoring and Reporting Plan Mitigation Requirements City-approved geotechnical engineer to verify penetration into firm, undisturbed natural soils. Foundations shall be deepened if necessary to extend into satisfactory soils, or proper compaction shall be performed to ensure that the foundation slab is built upon dense compact material. Foundation excavations shall be cleaned of all loose soils prior to placing steel and concrete. Any required foundation backfill shall be mechanically compacted; flooding is not permitted. . Construction Monitoring. Compliance with the design concepts, specifications or recommendations during construction requires review by City-approved geotechnical engineer. All foundations shall be observed by a City-approved geotechnical engineer prior to placing concrete or steel. Any fill which is placed shall be observed, tested, and verified if used for engineering purposes. It is the responsibility of the contractor to ensure that all excavations and trenches are properly sloped or shored. All temporary excavations shall be cut and maintained in accordance with applicable Occupational Safety and Health Administration (OSHA) rules and regulations . . Engineering Review. The Oties of Hermosa Beach and Manhattan Beach shall review all design plans prior to construction, and incorporate best management practices to mitigate potential erosion impacts into final grading and structural design plans as deemed appropriate. In addition, all onsite structures shall be required to comply with applicable provisions of the California Building Code. MM 4.5-3(a) Expansive Soils Evaluation. A Registered Civil Engineer shall analyze surficial and near-surface soils at the site. Depths of analysis would include soil depths subsequent to grading, prior to excavation, and after excavation. This analysis will be completed prior to on-site construction to determine whether expansive soils are present. In the event that day-rich, expansive soils are present, foundations shall be designed to accommodate expansive soils, and project foundations and structures may be placed on a blanket of non-expansive fill soils to prevent structural damage and/ or failure. Foundation design shall be reviewed and approved by a Registered Civil Engineer. MM 4.5-3(b) Corrosive Soils Design. All concrete in contact with high sulfate or corrosive soils shall be Type V concrete in accordance with the 2016 California Building Code. 6 Applicable City Hermosa Beach and Manhattan Beach Hermosa Beach and Manhattan Beach Verification Timing of Verification Method Mitigation Responsibility Verification of Prior to City of Hermosa compliance with issuance of Beach requirements demolition, Community during grading shoring, and Development plan review. building Dept.; City of permits. Manhattan Beach Community Development Dept. Verification of Prior to City of Hermosa compliance with issuance of Beach requirements building Community during building permits. Development plan review. Dept.; City of Manhattan Beach Table 1 -Mitigation Monitoring and Reporting Plan Applicable Mitigation Requirements City Hazards and Hazardous Materials MM 4.7-1 Soil Management Plan. Before the issuance of a shoring permit, the impacted Hermosa shallow soil at the former Midas property and the locally impacted shallow soil remaining Beach at the former BMW Service Department will be remediated in accordance with a Soil Management Plan (SMP) that will be prepared for the entire Hermosa Beach site. Based on the past and recent laboratory data for the project area, the shallow soil impacted with petroleum hydrocarbons will be classified as a non-RCRA-California Waste. The laboratory data for the impacted soil will be used to profile the soil for transport, treatment, and recycling at a licensed treatment facility. The SMP will also include health and safety information for workers and the general public, and will inform the various contractors and workers of the presence of shallow soil impacted with petroleum hydrocarbons and the appropriate measures to safely deal with the soil. MM 4.7-2 Asbestos. In the event that any suspect ACMs are discovered during Hermosa construction activities, the materials shall be sampled and analyzed for asbestos content Beach and prior to any disturbance. Prior to the issuance of the demolition permit, the applicant shall Manhattan provide a letter from a qualified asbestos abatement consultant that no ACMs are present Beach in the buildings. If additional ACMs are found to be present, a qualified asbestos abatement consultant shall abate the buildings in compliance with the South Coast Air Quality Management District's Rule 1403 as well as all other State and federal rules and regulations. Hvdrology and Water Qualitv MM 4.8-2 Dewatering Plan. A Dewatering Plan that applies to each project component Hermosa shall be prepared by the applicant and submitted to the appropriate City Engineer in Beach and Hermosa Beach or Manhattan Beach for review and approval prior to the onset of Manhattan excavation activities, to be implemented if perched or shallow groundwater is encountered Beach during construction and dewatering is necessary to complete construction. The Dewatering Plan shall include Best Management Practices (BMPs) for dewatering, in compliance with the California Stormwater Quality Association (CASQA) Handbook for 7 Verification Method Review and approval of the SMPduring grading plan review. Review and approval of applicant- prepared letter report; monitoring during demolition, if ACMsare identified. Review and approval of Dewatering Plans prior to excavation; field verification of compliance, as Skechers Design Center and Executive Offices Mitigation Monitoring and Reporting Program Timing of Verification Mitigation Responsibility Community Development Dept. Prior to City of Hermosa issuance of Beach Fire Dept. shoring permits. Review of letter City of Hermosa report prior to Beach issuance of Community demolition Development permit; if Dept.; City of necessary, Manhattan Beach monitoring Public Works; during SCAQMD abatement process and during construction Dewatering City of Hermosa Plan review/ Beach approval prior Community to issuance of Development demolition Dept.; City of perm.it; field Manhattan Beach verification Public Works Skechers Design Center and Executive Offices Mitigation Monitoring and Reporting Plan Table 1 -Mitigation Monitoring and Reporting Plan Mitigation Requirements Construction or other similar guidelines. Should dewatering become necessary, the applicant shall notify the appropriate City Engineer in Hermosa Beach or Manhattan Beach and submit a written description of all executed dewatering activities, including steps taken to return encountered groundwater to the subsurface or to dispose of the dewatered groundwater upon the completion of dewatering activities. Noise MM 4.10-1 (a) Staging Area. The contractor shall provide staging areas on-site to minimize off-site transportation of heavy construction equipment. These areas shall be located to maximize the distance between activity and sensitive receptors. This would reduce noise levels associated with most types of idling construction equipment. MM 4.10-l(b) Newest Power Construction Equipment. The Project contractor must use the newest available power construction equipment with standard recommended noise shielding and muffling devices. MM 4.10-l(c) Electrically-Powered Tools and Facilities. Electrical power shall be used to run air compressors and similar power tools and to power any temporary structures, such as construction trailers or caretaker facilities. 8 Applicable City Hermosa Beach Hermosa Beach Hermosa Beach Verification Method necessary. Verification that on-site staging areas have been identified, reviewed, and approved. Verification that construction equipment meets standards by providing notes on construction plans; field verification of compliance. Verification that electric power is being used by provision of notes on construction plans; field verification of compliance. Timing of Verification Mitigation Responsibility during Engineering construction, if Dept. necessary. Prior to City of Hermosa issuance of Beach demolition or Community any Development construction Dept. activity permit. Construction City of Hermosa plan review Beach prior to Community issuance of Development demolition Dept. permit; field verification during demolition, grading, and construction. Construction City of Hermosa plan review Beach prior to Community issuance of Development demolition Dept. permit; field verification during demolition, grading, and construction. Table 1 -Mitigation Monitoring and Reporting Plan Applicable Verification Mitigation Requirements City Method MM 4.10 l(d) Temporary Solid Noise Attenuation Barrier. A temporary sound Hermosa Review and attenuation barrier shall be erected along the western edge of the Hermosa Beach site prior Beach approval of a to demolition and construction activity. This barrier must break the line of sight between site-specific construction areas and the ground floor level of adjacent residences and shall be designed acoustic to achieve the maximum sound attenuation feasible. Barrier design and its acoustic analysis; properties shall be based on a site-specific acoustic analysis prepared by a qualified verification that acoustic engineer to be approved by the Community Development Director prior to sound issuance of demolition, grading or construction permits. attenuation barrier is erected; field verification that maximum sound attenuation is achieved. MM 4.10-l(e) Mu:fflers. During project construction, all equipment, fixed or mobile, shall Hermosa Verification that be operated with closed engine doors and shall be equipped with properly operating and Beach construction maintained mufflers consistentwith manufacturers' standards. Use of manufacturer-equipment certified mufflers associated with construction equipment has been shown to reduce noise meets standards levels by 8 to 10 dBA. by provision of notes on construction plans; field verification of compliance. MM 4.10-l(f) Construction Noise Complaint Line. The applicant must provide a non-Hermosa Verification that automated telephone number for local residents and employees to call to submit Beach telephone line is complaints associated with construction noise. The applicant shall keep a log of complaints in operation by and shall address complaints as feasible to minimize noise issues for neighbors. calling the number provided. MM 4.10-l(g) Avoid Operating Equipment Simultaneously. Whenever possible, the Hermosa Verification that contractor shall ensure that construction activities are scheduled so as to avoid operating Beach construction several pieces of equipment simultaneously, which causes high noise levels. activities are not being scheduled 9 Skechers Design Center and Executive Offices Mitigation Monitoring and Reporting Program Timing of Verification Mitigation Responsibility Review and City of Hermosa approval of Beach acoustical Community analysis prior Development to demolition; Dept. field verification ongoing during construction. Construction City of Hermosa plan review Beach prior to Community demolition and Development construction; Dept. field verification ongoing during construction. Prior to start of City of Hermosa demolition and Beach during Community construction. Development Dept.. Construction City of Hermosa plan review Beach prior to Community demolition and Development Skechers Design Center and Executive Offices Mitigation Monitoring and Reporting Plan Table 1 -Mitigation Monitoring and Reporting Plan Mitigation Requirements MM 4.10-4 Mechanical Equipment. Outdoor mechanical equipment at the Hermosa Beach site shall be located, hooded, and/ or shielded in a manner that limits exposure of adjacent properties to 45 dBA or less. Prior to issuance of occupancy permits, the applicant shall provide a site-specific acoustic analysis prepared to the satisfaction of the Community Development Director by a qualified acoustical engineer that identifies appropriate methods of limiting noise exposure to meet this standard and verifies compliance. Transportation and Traffic MM 4.12-2(a) SR 1/3()th Street Improvements. Modify 30th Street to prohibit eastbound left-tum movement onto SR-1. 10 Applicable City Hermosa Beach Hermosa Beach Verification Method simultaneously by provision of notes on construction plans; field verification of compliance. Verification that mechanical equipment is properly shielded by provision of notes on construction plans and field verifica ti.on. City to verify SR-1 improvements in Hermosa Beach have been made and receipt of verification from City of Manhattan Beach that improvements in Manhattan Beach have been made under 4.12-2(b) and 4.12-2(d). Timing of Verification Mitigation Responsibility construction; Dept. field verification ongoing during construction. Plan review prior City of Hermosa to issuance of Beach building permit; Community field verification Development of compliance Dept. prior to issuance of occupancy permit Prior to City of Hermosa issuance of Beach occupancy Community permits for Development Hermosa Dept. Beach component. Table 1 -Mitigation Monitoring and Reporting Plan Applicable Mitigation Requirements City MM 4.12-2(b) SR 1/f ennyson Street Improvements. Lengthen the southbound left tum Manhattan pocket onto Tennyson Street. Beach MM 4.12-2(c) SR 1/ Gould Avenue Improvements. Add an eastbound right tum lane on Hermosa Gould A venue/ Artesia Boulevard. Beach 11 Skechers Design Center and Executive Offices Mitigation Monitoring and Reporting Program Verification Timing of Verification Method Mitigation Responsibility City to verify Prior to City of SR-1 issuance of Manhattan Beach improvements occupancy Public Works in Manhattan permits for Engineering Beach have been Manhattan Dept. made and Beach receipt of component. verification from City of Hermosa Beach that improvements in Hermosa Beach have been made under 4.12-2(a) and 4.12-2(c). City to verify Prior to City of Hermosa SR-1 issuance of Beach improvements occupancy Community in Hermosa permits for Development Beach have been Hermosa Dept. made and Beach receipt of component. verification from City of Manhattan Beach that improvements in Manhattan Beach have been made under 4.12-2(b) and 4.12-2(d). Skechers Design Center and Executive Offices Mitigation Monitoring and Reporting Plan Table 1 -Mitigation Monitoring and Reporting Plan Mitigation Requirements MM 4.12-2(d) SR 1/Duncan Avenue Improvements. Modify Duncan Avenue to prohibit eastbound left-tum movement onto SR-1. MM 4.12-2(e) Adaptive Transportation Demand Management (Impact from Combined Project, Hermosa Beach Only, and 305 S. Sepulveda Blvd. Only). The applicant shall develop an initial adaptive Transportation Demand Management (TOM) plan subject to review and approval by both cities. The TOM plan must be designed with the goal of achieving a seven percent (7%) overall vehicle trip reduction during the weekday AM and PM peak hours for the proposed components (i.e., vehicle trips to be measured to and from the project sites compared to what is shown in Table A). The 7% TOM reduction goal applies to the sum of the inbound and outbound vehicle trip generation for all three project components in each of the weekday peak hours within the morning (7:00 -9:00 AM) and afternoon (4:00 -6:00 PM) peak periods. Each individual project component need not meet the 7% overall reduction goal, but individually, none of the three project components shall generate traffic exceeding the estimated base trip generation as calculated for that particular project component without the 7% TOM reduction (as shown in Table A below). The TOM plan will initially include, but not be limited to, the elements described below. The applicant will monitor the effectiveness of the plan annually and will submit an annual monitoring and management report to both Cities every January for a period of 10 years after occupancy of all buildings. If the overall 7% trip reduction goal has been reached during years 9 and 10, reports shall no longer be required on an annual basis, but 12 Applicable City Manhattan Beach Hermosa Beach Manhattan Beach Verification Method City to verify improvements have been made in Manhattan Beach and receipt of verification from City of Hermosa Beach that improvements in Hermosa Beach have been made under 4.12-2(b) and 4.12-2(d). -Initial review and approval of TOM plan. -Review of annual report every January. -Review and approval of modified plan if reduction goal is not met. -Initial review and approval of TOM plan. Timing of Verification Mitigation Responsibility Prior to City of issuance of Manhattan Beach occupancy Public Works permits for City Engineering of Manhattan Dept. Beach. Initial TOM City of Hermosa plan review Beach prior to Community issuance of Development construction Dept. permits for Hermosa Beach component; review of annual report and, as necessary, modified plan every January following issuance of Certificate of Occupancy. Initial TOM City of plan review Manhattan Beach prior to Community Table 1 -Mitigation Monitoring and Reporting Plan Mitigation Requirements may be required by either or both cities if traffic concerns have become an issue in subsequent years. _The annual report shall document the TDM actions implemented during the year and assess their performance and effectiveness against the overall reduction goal, identifying trends that become apparent with multiple years of monitoring data. li trip reduction goals are not met, the report shall recommend modifications to TDM practices and/ or new practices to be integrated into the plan to reach the overall trip reduction goals, subject to review and approval by the staffs of the cities of Hermosa Beach and Manhattan Beach and implemented as soon as practical. This measure and the adaptive TDM plan shall remain in place for the life of the project. All elements of the TDM Plan (as originally adopted and potential revisions) must be reasonable and mutually agreeable by the Applicant and both cities. The initial TDM plan shall include, but not be limited to, the following: • On-Site Employee Transportation Coordinator. An employee transportation coordinator shall be designated for the proposed project to manage the TDM program and participate in City of Hermosa Beach and City of Manhattan Beach sponsored workshops and information roundtables. Skechers will provide: 0 Transportation fairs on an annual basis 0 Information for employees and visitors about local public transit services (including bus lines, existing and future light rail lines and connections, bus fare programs, rideshare programs and shuttles) and bicycle facilities (including routes, rental and sales locations, on-site bicycle racks and showers) 0 Walking and biking maps for employees and visitors, including information about convenient local services and restaurants within walking distance of the project 0 Information regarding local rental housing agencies Such transportation information may be provided through a computer terminal with access to the Internet, as well as through the office of the coordinator located at one of the three development sites or another local Skechers building. Transportation information shall also be maintained at the administrative offices of the buildings and/ or on the Skechers' web site as a portal. • TDM Web Site Information. Transportation information shall be provided in a highly visible and accessible location on Skechers' web site, including links to local transit 13 Applicable Verification City Method -Review of annual report every January. -Review and approval of modified plan if reduction goal is not met. Skechers Design Center and Executive Offices Mitigation Monitoring and Reporting Program Timing of Verification Mitigation Responsibility issuance of Development construction Dept. permits for Manhattan Beach component; review of annual report and, as necessary, modified plan every January following issuance of Certificate of Occupancy. Skechers Design Center and Executive Offices Mitigation Monitoring and Reporting Plan Table 1 -Mitigation Monitoring and Reporting Plan Mitigation Requirements providers, area walking, bicycling maps, etc., to inform employees and visitors of available alternative transportation modes to access the project and other existing Skechers' buildings and travel in the area. The web site should also highlight the environmental benefits of utilization of alternative transportation modes. • TDM Promotional Material. Skechers shall provide and exhibit in public places information materials on options for alternative transportation modes and opportunities. In addition, transit fare media and day /month passes should be made available to employees and visitors during typical business hours. • Transit Welcome Package. All new employees shall be provided with a Transit Welcome Package (fWP). The TWP at a minimum will include information regarding Skechers arrangement for free or discounted use of the transit system, area bus/rail transit route and connections/transfers information, bicycle facilities (including routes, rental and sales locations, on-site bicycle racks, walking and biking maps), and convenient local services and restaurants within walking distance of the project. • Carpool Program for Employees. Skechers shall provide preferential parking within the parking garages for employees who commute to work in registered carpools. An employee who drives to work with at least one other employee to the site may register as a carpool entitled to preferential parking within the meaning of this provision. • Public Transit Stop Enhancements. Working in cooperation with transit agencies and the cities of Manhattan Beach and Hermosa Beach, Skechers shall improve existing bus stops in the immediate vicinity of the three development sites. Enhancements will include, but are not limited, to five bus shelters, and four bike racks at the existing bus stops adjacent to the development sites (see Figure 4.12-9). The bus stop on the northwest corner of the SR 1/Longfellow intersection will be relocated to the southwest corner of that inters • Convenient Parking for Bicycle Riders. Skechers shall monitor utilization of bicycle parking at existing and proposed buildings. If demand for bicycle parking exceeds the supply, Skechers will add bicycle parking as necessary to meet identified demand. • Employee Alternative Transportation Incentive. Skechers shall provide financial or other incentives to employees who walk, bike, or take public transit to work. These incentives will be reviewed and approved by Hermosa Beach and Manhattan Beach staff. • Local Hiring Program. When hiring Skechers shall conduct outreach to residents who 14 Applicable Verification Timing of Verification City Method Mitigation Responsibility Table 1 -Mitigation Monitoring and Reporting Plan Mitigation Requirements live within two miles of the any of the three development sites ( or other buildings where the position of employment is offered). • Expanded Bicycle Routes. Skechers shall coordinate with the cities of Hermosa Beach and Manhattan Beach in an effort to enhance and expand the current network of bicycle routes serving all three development sites and existing buildings. Improvements will include, but are not limited to, the addition of signage for two Class ill bikeways to connect to Valley/ Ardmore, as illustrated on Figure 4.12-9. Improvements shall be funded by Skechers. • Los Angeles County Guaranteed Ride Home Program. Skechers shall enroll in the Los Angeles County Guaranteed Ride Home program which reimburses an employee's ride home from a car-sharing, taxi, or car rental company, for up to two qualifying emergency situations annually. • Los Angeles Metro TAP Employer Program. Skechers shall join the Los Angeles Metro TAP Employer Program and become a TAP vendor, allowing employees to purchase and reload transit fares on-site. • Employee Route Plan. Skechers shall prepare an employee route plan designed to avoid vehicular intrusion into surrounding neighborhoods. 15 Applicable Verification City Method Skechers Design Center and Executive Offices Mitigation Monitoring and Reporting Program Timing of Verification Mitigation Responsibility Skechers Design Center and Executive Offices Mitigation Monitoring and Reporting Plan Table A Trip Generation Rates 1•2•3 AM Peak Hour2 Land Use Size In Out Total Hermosa Beach Site Design Center4 100,296 GSF 141 11 152 Executive Offices 4 20,207 GSF 29 2 31 Subtotal Hermosa Beach 170 13 183 305 S. Sepulveda Blvd. General Office5 37,174 GSF 60 7 67 330 S. Sepulveda Blvd. Expansion General Office5•6 20,328 GSF 33 4 37 COMBINED TOTAL 263 24 287 COMBINED TOTAL (WITH 7% REDUCTION 245 22 267 GOAL) PM Peak Hour2 In Out Total 14 127 141 3 25 28 17 152 169 10 55 65 5 30 35 32 237 269 30 220 250 1 Source: /TE "Trip Generation Manual", 9th Edition, 2012; and "(Not So) Brief Guide of Vehicular Traffic Generation Rates for the San Diego Region, April 2002, San Diego Association of Governments (SANDAG), 2Vehic/e trip monitoring for the proposed buildings as part of the annual TDM reporting would be conducted between the hours of 7:00 AM -9:00 AM and 4:00 PM -6:00 PM. 3Tr.lps are one-way traffic movements, entering or leaving. 4 ITE Land Use Code 714 (Corporate Headql/arters Building) trip generation average rates. -AM Peak Hour Trip Rate: 1. 52 trips/1, 000 SF of floor area; 93% inbound/'1% outbound -PM Peak Hour Trip Rate: 1.41 trips/1, 000 SF of floor area; 10% inbound/90% outbound 5 /TE Land Use Code 715 (Single Tenant Office Building) ln'p generation average rates. -AM Peak Hour Trip Rate: 1.80 trips/1,000 SF of floor area; 89% inbound/11% outbound -PM Peak Hour Trip Rate: 1. 74 trips/1,000 SF of floor area; 15% inbound/BS% outbound 6 Since the 330 Expansion office building will be sharing the same access points as the existing 330 S. Sepulveda office building, the baseline trip generation for the existing 54,875 SF is based on /TE Land Use Code 710 (General Office Building) trip generation average rates (i.e., 86 AM peak hour trips and 82 PM peak hour trips). Thus, for purposes of trip monitoring, the future trip generation at the 330 S. Sepulveda building (i.e., existing plus expansion building) cannot exceed 123 AM peak hour and 117 PM peak hour vehicle trips. /TE Land Use Code 710 (General Office Building) trip generation average rates. -AM Peak Hour Trip Rate: 1.56 trips/1,000 SF of floor area; 88% inbound/12% outbound -PM Peak Hour Trip Rate: 1.49 trips/1,000 SF of floor area; 17% inbound/83% outbound Final EIR 16 P.C. RESOLUTION 18-6 A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF HERMOSA BEACH, CALIFORNIA, CERTIFYING THE FINAL ENVIRONMENTAL IMPACT REPORT AND ADOPTING THE MITIGATION MONITORING AND REPORTING PLAN FOR THE SKECHERS PROJECT AT 2851, 2901, 3001 AND 3125 PACIFIC COAST HIGHWAY IN HERMOSA BEACH, CALIFORNIA AND 305, 309, 317, 330 SOUTH SEPULVEDA BOULEVARD AND 1050 DUNCAN AVENUE IN MANHATTAN BEACH, CALIFORNIA; APPROVING A PRECISE DEVELOPMENT PLAN AND PARKING PLAN FOR A MULTI-STORY OFFICE BUILDING WITH SUBTERRANEAN PARKING TO BE LOCATED AT 2851 AND 2901 PACIFIC COAST HIGHWAY, HERMOSA BEACH, CALIFORNIA, WITH A PEDESTRIAN TUNNEL BENEATH 30TH STREET TO CONNECT THE BUILDING TO A MULTI-STORY OFFICE BUILDING WITH SUBTERRANEAN PARKING TO BE LOCATED AT 3001 AND 3125 PACIFIC COAST HIGHWAY; AND MAKING A FINDING OF GENERAL PLAN CONSISTENCY REGARDING THE PROPOSED VACATION OF A PORTION OF AN ALLEY LOCATED WEST OF 2851 PACIFIC COAST HIGHWAY The Planning Commission of the City of Hermosa Beach does hereby resolve and order as follows: Section 1. In October 2014, Sepulveda Design Center LLC (Skechers USA, Inc.) (the "Applicant") filed applications for Precise Development Plan 14-24 and Parking Plan 14-9 to develop a multi-story office building with subterranean parking to be located at 2851 and 2901 Pacific Coast Highway with a pedestrian tunnel beneath 30th Street to connect the building to a multi-story building with subterranean parking to be located at 3001 and 3125 Pacific Coast Highway, and a request to vacate the remaining portion of the alley west of/behind 2851 Pacific Coast Highway. Section 2. The City prepared an Initial Study for the Project pursuant to Section 15063 of the State Guidelines implementing the California Environmental Quality Act ("CEQA"). The Initial Study concluded that there was substantial evidence that the Project has the potential to have significant environmental impacts. As such, the City prepared an Environmental Impact Report for the subject project. Section 3. Based upon this determination, a Draft Environmental Impact Report (Draft EIR) was circulated to public agencies, interested organizations and individuals for review from June 16, 2017 until August 15, 2017. Comments were submitted on the Draft EIR during the public review period, via email and other written correspondence and via public testimony at a Planning Commission meeting of July 18, 2017. Responses Page 1 -Design Center to each of the comments were prepared. A Final Environmental Impact Report (Final EIR) has been prepared, which includes the Draft EIR, responses to comments, and an explanation of certain revisions to the Project and to the environmental documentation in response to the public comments. A Mitigation Monitoring and Reporting Plan (MMRP) has also been prepared. Implementation of the mitigation measures listed therein would avoid or substantially reduce the significant impacts identified in the Final EIR to the extent feasible, and the MMRP indicates how compliance with each measure will be verified, the general timing of implementation of each measure, and the agency responsible for verifying compliance with each measure. In accordance with CEQA Section 21082.1, the Planning Commission independently reviewed and analyzed the Final EIR and the administrative record relating to the proposed project. The Final EIR constitutes an accurate and complete statement of the environmental impacts of the proposed project and good faith effort at full disclosure under CEQA. The Final EIR reflects the independent judgment of the Planning Commission and it hereby adopts the facts and analysis in the Final EIR and in Exhibit A to this resolution, "Hermosa Beach Planning Commission Project CEQA Findings and Statement of Overriding Considerations For the Skechers Project at 2851, 2901, 3001 and 3125 Pacific Coast Highway in Hermosa Beach, California and 305, 309, 317 and 330 South Sepulveda and 1050 Duncan Avenue in Manhattan Beach, California." The Planning Commission hereby certifies the Final EIR and adopts the Mitigation Monitoring and Reporting Plan, attached to this resolution as Exhibit B. The omission of some detail or aspect of the Final EIR does not mean that it has been rejected by the Planning Commission Section 4. Based on the testimony and evidence received, the Planning Commission makes the following findings pertaining to the application for a Precise Development Plan pursuant to Section 17.58.030 of the Hermosa Beach Municipal Code (HBMC): I. Distance.from existing residential uses in relation to negative effects: The EIR addresses impacts of development and long-term use of a new Design Center (2851 and 2901 Pacific Coast Highway) with Executive Offices (3001 and 3125 Pacific Coast Highway) in Hermosa Beach and two proposed office buildings in Manhattan Beach (305 and 330 S. Sepulveda Boulevard). The environmental analysis identifies the need to mitigate potential impacts related to air quality, biological resources, cultural resources, geology and soils, hazards, and groundwater, and the EIR provides feasible measures that would fully mitigate these impacts. Project impacts related to aesthetics, greenhouse gas emissions, hydrology and water quality, land use, public services and utilities are found to be less than significant and do not require mitigation. The Hermosa Beach component of the project would also result in construction- related temporary, but prolonged noise impacts to nearby sensitive uses (residences and a daycare facility). Due to the proximity of these sensitive uses, the nature of Page 2 -Design Center construction equipment used and the duration of the construction phase, it is not feasible to fully mitigate this impact to below a level of significance. The Hermosa Beach components meet/exceed the minimum required setbacks from residential uses, and a condition of approval is included requiring that the proposed bamboo plantings, which shall serve, for the life of the project, as a visual barrier between the commercial use and the adjacent residential uses. Conditions are included to ensure the building design and operation is compatible with neighboring residences (see #6 below). 2. The amount of existing or proposed off-street parking in relation to actual need: To address parking impacts during the construction period, a condition of approval is including requiring approval by both cities of a Construction Management Parking Plan (CMPP) that covers all project components in both cities; requiring that as conditions change, requested addendums will need review and approval by both cities; and among other things, the CMPP will include provisions to: a. Prohibit parking by construction workers on adjacent streets and directing the construction workers to available parking on the site. b. Coordinate deliveries to reduce the potential of trucks waiting to unload for protracted periods of time. c. Schedule receipt of construction materials during non-peak travel periods, to the extent possible. Regarding permanent parking, the Design Center is required to have a minimum of 401 parking spaces for its daily operations, and proposes 427 parking spaces, thereby exceeding the minimum requirement by 26 spaces. Pursuant to HBMC Section 17.44.210, a Parking Plan is proposed to allow the increase in parking demand generated by the periodic Global Sales Conference events to be accommodated by the additional 26 spaces in addition to the transport of the attendees to the Design Center from the Redondo Beach Performing Arts Center in a minimum of eight buses, each with a minimum 60-seat capacity, with the buses to be held offsite until they are needed for transportation to deliver the attendees back to their hotels. 3. The combination of uses proposed, as they relate to compatibility: The proposed office use along the Pacific Coast Highway (PCH) frontage, adjacent to residential uses to the rear, is consistent with the existing pattern of development along the PCH corridor. Conditions of approval are included to require that no entertainment, music, speakers, televisions or audio or visual media of any type, whether amplified or unamplified, shall be provided on the exterior of the building, within any outdoor seating area or open air area. 4. The relationship of the estimated generated traffic volume and the capacity and safety of streets serving the area: The EIR includes mitigation measures to lessen traffic impacts, but does not fully mitigate all traffic impacts. Additionally, a condition of approval is included requiring the preparation of an applicant-funded traffic calming study by the Cities of Hermosa Beach and Manhattan Beach to recommend potential Page 3 -Design Center measures that would enhance the livability of the neighborhood streets in the vicinity of the project sites after the project is built and in operation. A condition of approval is included requiring that 12 electric bikes distributed among the project components in both cities and are available to all Skechers employees. 5. The proposed exterior signs and decor, and the compatibility thereof with existing establishments in the area: Signage is not a part of this application and will require separate permits. The proposed architecture of the office building would match the existing Skechers offices located at 330 South Sepulveda Boulevard in Manhattan Beach, which is approximately 120 feet northeast of the Hermosa Beach site. The proposed building would be modern-style architecture, and the finishing on the buildings would be exposed concrete with glass and aluminum curtain wall systems. The proposed architecture is compatible within the existing context, and the high quality development creates an aesthetic improvement to the area. 6. Building and driveway orientation in relation to sensitive uses, e.g., residences and schools: The project is adjacent to existing residences to the west. Ingress/egress to the Design Center will be limited to SR 1 on the east, and the building will be oriented to SR 1. Because the project proposes some outdoor dining areas and open air areas, conditions of approval are included requiring that no entertainment, music, speakers, televisions or audio or visual media of any type, whether amplified or unamplified, shall be provided on the exterior of the building, within any outdoor seating area or open air area. The outdoor patio associated with the employee cafeteria does not require approval of an Administrative Permit or Conditional Use Permit because it is not open to the public, and a condition of approval with that restriction is included. Additionally, a condition of approval is included requiring the preparation of an applicant-funded traffic calming study by the Cities of Hermosa Beach and Manhattan Beach to recommend potential measures that would enhance the livability of the neighborhood streets in the vicinity of the project sites after the project is built and in operation. 7. Noise, odor, dust and/or vibration that may be generated by the proposed use: As identified in the EIR, temporary construction-related noise will be mitigated to the extent feasible by a temporary, solid noise attenuation barrier to be erected along the west edge of the site. The barrier design and its acoustic properties will be based on a site-specific acoustic analysis prepared by a qualified acoustic engineer approved by the City prior to issuance of demolition, grading or construction permits. Long-term operation of the proposed office use is not anticipated to generate significant noise impacts to the neighboring residences. Traffic-related noise impacts to the residences from PCH are expected to be buffered by the proposed three-story high office buildings. However, the proposed project is adjacent to existing residences and proposes some outdoor dining areas and open air areas. Therefore, conditions of approval are included requiring that no entertainment, music, speakers, televisions or audio or Page 4 -Design Center visual media of any type, whether amplified or unamplified, shall be provided on the exterior of the building, within any outdoor seating area or open air area. A condition of approval is also included restricting deliveries to 2-axle vans Monday through Saturdays between 8 AM and 6PM. 8. Impact of the proposed use to the City's infrastructure, and/or services: The proposed preliminary design has been reviewed and conceptually approved by the City's Fire and Police. Conditions of approval are included requiring the applicant to address impacts to the City's streets, utilities and other infrastructure and as such, the project is not anticipated to have negative impacts to the City's infrastructure and/or services. 9. Adequacy of mitigation measures to minimize environmental impacts in quantitative terms: The EIR addresses impacts of development and long-term use of a new Design Center with Executive Offices in Hermosa Beach and two proposed office buildings in Manhattan Beach. The environmental analysis identifies the need to mitigate potential impacts related to air quality, biological resources, cultural resources, geology and soils, hazards, and groundwater, and the EIR provides feasible measures that would fully mitigate these impacts. Project impacts related to aesthetics, gre~nhouse gas emissions, hydrology and water quality, land use, public services and utilities are found to be less than significant and do not require mitigation. Impacts to seven intersections along SR 1 (Pacific Coast Highway/Sepulveda Boulevard) are found to be significant and while mitigation has been incorporated, no feasible mitigation is available to reduce the impacts to below a level of significance. Therefore, these impacts are identified as significant and unavoidable. Additionally, three intersections along SR 1 would be adversely impacted during the construction phase. This temporary impact cannot be mitigated and is significant and unavoidable. The Hermosa Beach component of the project would also result in construction- related temporary, but prolonged noise impacts to nearby sensitive uses (residences and a daycare facility). Due to the proximity of these sensitive uses, the nature of construction equipment used and the duration of the construction phase, it is not feasible to fully mitigate this impact to below a level of significance. The EIR identifies certain impacts that have been identified as unavoidably significant and includes certain mitigation measures that may be infeasible. City of Hermosa Beach and City of Manhattan Beach decision makers will need to determine whether the project's benefits outweigh its unavoidable environmental impacts (which include temporary and long-term transportation/circulation impacts and temporary construction-related noise impacts). If the project benefits are found to outweigh these impacts, decision makers will need to adopt a Statement of Overriding Considerations for these impacts. The EIR identifies a number of physical improvements that would partially mitigate the project's transportation impacts, but even with these mitigation measures, the project's impact cannot be reduced to below a level of significance at all study intersections. Page 5 -Design Center Additional findings related to the mitigation measures and a Statement of Overriding Considerations are included in this resolution as Exhibit A. 10. Other considerations that, in the judgment of the planning commission, are necessary to assure compatibility with the surrounding uses, and the city as a whole: None are necessary. Section 5. Based on the testimony and evidence received, the Planning Commission makes the following findings pertaining to the application for a Parking Plan pursuant to HBMC Section 17.44.210: 1. Approximately twice per year, Skechers invites approximately 500 to 1,500 people to attend the Global Sales Conference. This event lasts for three days at the Redondo Beach Performing Arts Center. After lunch, approximately 450 to 500 of those attendees are transported via bus to the Skechers building at 330 S. Sepulveda Boulevard. The numbers drop on the second and third days of the conference. Attendees are transported on eight buses, each with a 60-seat capacity. With completion of the Design Center, the attendees would visit the new showrooms in Hermosa Beach instead of at the 330 S. Sepulveda Boulevard Building. Buses would only be at the Design Center to drop off and pick up employees. The buses are typically held offsite until they are needed for transportation to deliver the attendees back to their hotels. Currently, most attendees stay at the Manhattan Beach Marriott, but with the expansion of the Design Center into Hermosa Beach it is anticipated that some of these visitors would stay at Hermosa Beach hotels. 2. The Design Center is required to have a minimum of 401 parking spaces for its daily operations, and proposes 427 parking spaces, thereby exceeding the minimum requirement by 26 spaces. Pursuant to HBMC Section 17.44.210, the Planning Commission finds that approval of a Parking Plan is appropriate adequate parking is provided to allow the increase in parking demand generated by the periodic Global Sales Conference events to be accommodated by the additional 26 spaces in addition to the transport of the conference attendees to the Design Center from the Redondo Beach Performing Arts Center in a minimum of eight buses, each with a minimum 60-seat capacity, with the buses to be held offsite until they are needed for transportation to deliver the attendees back to their hotels. A condition of approval is included requiring the additional 26 spaces, and the transport of the attendees to the Design Center from the Redondo Beach Performing Arts Center in a minimum of 8 buses, each with a minimum 60-seat capacity, with the buses to be held offsite until they are needed for transportation to deliver the attendees back to their hotels. Inclusion of this condition of approval meets the criteria of HBMC 17.44.210, Parking Plan, that the applicant provide information to show that adequate will be provided. Section 6. The City's 1979 General Plan was in effect at the time the applications were deemed complete, and the proposed projects comply with the provisions therein, including the provisions of the Economic Element as it pertains to the Pacific Coast Highway Commercial Corridor, and the 1994 Land Use Element as it pertains to the Commercial Corridor Land Use designation to: Page 6 -Design Center 1. Minimize conflicts between nonresidential land uses and residential properties by providing the required setbacks from residential; orienting/limiting building ingress/egress points away from residences; providing for the life of the project a visual screen of bamboo plantings between the offices and the existing residences; and prohibiting outdoor dining areas, open air areas or any building exterior areas from providing entertainment, music, speakers, televisions or audio or visual media of any type, whether amplified or unamplified. 2. Promote the establishment and improvement of commercial enterprises which contribute to the vitality and diversity of the City's commercial base by becoming the City's largest employer, introducing 655 new employees (430 in the Hermosa Beach component and 255 in the Manhattan Beach components), who will be encouraged to stimulate the local the local economies by: utilizing the Skechers lunchtime shuttle to frequent local businesses; patronizing local businesses as they commute through the cities; relocating their residences in close proximity to this employment center and thereby encourage their household members to further stimulate the local economy, and bringing visitors to the area for the twice-yearly global sales conferences. 3. Protect surrounding residential neighborhoods from adverse environmental impacts through implementation of the mitigation measures set forth in the Final EIR and implementation of the recommended conditions of approval. 4. Encourage community participation in significant discretionary land use decisions by following the public participation requirements set forth in CEQA and the Hermosa Beach Municipal Code. 5. Ensure that future development will not encroach on or diminish public open spaces, public views, or unique natural resources by providing environmental analysis pursuant to the California Environmental Quality Act. This project is unique in that it was processed simultaneously with the City's update to its General Plan. The project was already well advanced when the City's 2017 General Plan (PLAN Hermosa) was adopted August 22, 2017 and the City determined that the project was not subject to the new General Plan; nevertheless, the land use designation for the project location remains the same type of commercial designation (with an updated name) under PLAN Hermosa (and as explained in the Statement of Overriding considerations, the project does not impede the City's ability to meet its new long-term land use vision for the City. Section 7. A portion of the alley west of/behind 2851 Pacific Coast Highway was previously vacated by the City, but a 100-foot by 20-foot segment was not vacated. The proposal includes a request for vacation of this remaining portion in order to accommodate construction of the Design Center. The vacation request requires City Council approval. The Planning Commission finds that the proposed vacation of the remaining portion of the alley to the west of/behind 2851 Pacific Coast Highway complies with the 201 7 General Plan Intended Street Classification Map. That map does not show this portion of the alley as a public street since a majority of it was previously vacated by the City and the area has been blocked off for many years. Therefore, the vacation is consistent and would not require an amendment to the Classification Map. Page 7 -Design Center Section 8. Based on the foregoing, the Planning Commission hereby approves the subject Precise Development Plan and Parking Plan subject to the following Conditions of Approval: General: 1. The construction and of the site, architectural treatments and floor plans, and continuing use of the property shall conform to plans reviewed by the Planning Commission January 31, 2018, and the Mitigation Monitoring and Reporting Plan approved via P.C. Resolution 18-6. Minor modifications that do not affect scale, type, location or intensity of uses or impacts thereof may be approved by the Community Development Director when not in conflict with the findings or conditions of this permit. 2. Prior to issuance of any project-related permits, project plans shall be reviewed and approved by the Community Development Department and Public Works Department for consistency with the applicable plans reviewed and approved by the Planning Commission. 3. Precise building height information shall be provided on the final project plans, which shall include corner point elevations provided on a detailed roof plan indicating corner points of the lot, location of all property lines and maximum and proposed heights at the critical points on the roof. 4. Architectural treatments and accessory facilities shall be shown on building elevations, site and floor plans. Precise building height compliance shall be reviewed at the time of Plan Check, to the satisfaction of the Community Development Director. In addition:' a. All exterior lighting shall be down cast, fully shielded and illumination shall be contained within the property boundaries. Lighting shall be energy conserving and motion detector lighting shall be used for all lighting except low-level (3 feet or less in height) security lighting and porch lights. Lamp bulbs and images shall not be visible from within any onsite or offsite residential unit. Exterior lighting shall not be deemed finally approved until thirty days after installation, during which period the building official may order the dimming or modification of any illumination found to be excessively brilliant or impacting to nearby properties. b. Solid waste facilities shall comply with Chapter 8.12. c. Any satellite dish antennas and/or similar equipment shall comply with Section 17.46.210. Page 8 -Design Center d. Conduit to accommodate roof mounted alternative energy equipment for solar energy and solar thermal energy shall also be supplied per Section 15.32.140. e. Thirty (30%) percent rooftop coverage with solar panels along with non- reflective view glass will be used to reduce use of non-renewable energy. 5. A plan for urban and stormwater runoff controls approved by the Public Works Department shall be set forth on the construction plans in accordance with Chapter 8.44 and Section 8.44.090, and the applicant shall at all times comply with the required best management practices. 6. Plans and construction shall comply with all requirements of the Building Code in Title 15, Green Building Standards in Chapter 15.48 and Section 1207 with respect to sound transmission. 7. In the event that subsurface infiltration is required, plans shall designate the exact location of the subsurface infiltration system, the applicant shall enter into a maintenance agreement with the City (prior to Certificate of Occupancy) for the ongoing infiltration, and provide a surety bond to the City to guarantee that onsite, subsurface infiltration is achieved. The amount of the bond shall be determined by the Building Division. All other drainage shall be routed to an offsite facility or onsite permeable area approved by the City. To the extent possible, a portion of roof drainage shall be routed to onsite permeable areas. No drainage shall flow over any driveway or sidewalk. If the drainage of surface waters onto the property requires a sump pump to discharge said waters onto the street, the property owner(s) shall record an agreement to assume the risk associated with use and operation of said sump pump, release the City from any liability, and indemnify the City regarding receipt of surface waters from the property. 8. Prior to the issuance of any project-related permits, an 'Acceptance of Conditions' affidavit and recording fees shall be filed with the Planning Division of the Community Development Department stating that the applicant/property owner is aware of, and agrees to accept, all of the conditions of this grant of approval. 9. Prior to issuance of demolition/grading/construction permits, the applicant shall provide evidence to the City of Hermosa Beach that all required permits from other applicable permitting agencies have been obtained, including without limitation SCE and water providers. 10. The applicant shall submit all required plans and reports to comply with the City's construction debris recycling program including manifests from both the recycler and County landfill; at least 65% of demolition debris associated with demolition of the existing improvements and new construction shall be recycled. Page 9 -Design Center 11. Prior to the issuance of any project-related permits, two copies of a Final Landscaping Plan, consistent with landscape plans approved by the Planning Commission, indicating size, type, quantity and characteristics of landscape materials shall be submitted to the Community Development Department, Planning Division for review and approval. The Final Plan shall also include the following: a. The Final Landscaping Plan shall comply with Sections 8.60.070, 8.56.070 and 17.40.180 to the satisfaction of the Community Development Director. b. An automatic landscape sprinkler system consistent with Section 17 .22.060(H) shall be provided, and shall be shown on plans (Building Permits are required). c. All landscaping shall be well-maintained at all times. Landscaping shall be replaced consistent with the approved Landscape Plan when dead or dying. d. Root barriers shall be required for the proposed bamboo plantings, which shall serve, for the life of the project, as a visual barrier between the commercial use and the adjacent residential uses. 12. Prior to issuance of any project-related permits, an approved civil engineering plan prepared by a licensed civil engineer, and approved by the Public Works Director, addressing grading, undergrounding of all utilities, sidewalk, curb and gutter improvements, onsite and offsite drainage (no sheet flow permitted), installation of utility laterals, and all other improvements necessary to comply with the HBMC and Public Works specifications, shall be filed with the Community Development Department. 13. The project shall comply with all requirements of the Building Division, Public Works Department, including any required improvements to the curb gutter or drainage on the public right-of-way, and Fire Department, and the HBMC. 14. Project construction shall protect private and public property in compliance with Sections 15.04.070 and 15.04.140. No structures or elements associated with the use or its construction, and no work in the public right-of-way, shall commence unless and until an Encroachment Permit has been approved by the Public Works Department. a. The applicant must submit for City review and approval an application for an encroachment permit in order to construct a pedestrian tunnel beneath 30th Street, which shall include a provision that said permit shall be revocable by the City for cause. Page 10 -Design Center 15. Project construction shall conform to the Noise Control Ordinance requirements in Section 8.24.050, and as further required by the Mitigation Monitoring and Reporting Plan. Allowed hours of construction shall be printed on the building plans and posted at construction site. a. Construction hours related to hauling, truck staging and lane closures shall be limited to 8:00 AM to 3:00 PM Monday through Friday, and 9:00 AM to 5:00 PM on Saturdays. All other construction activity shall be subject to the City's standard construction hours in the HBMC (8:00 AM to 6:00 PM, Monday through Friday and 9:00 AM to 5:00 PM on Saturdays). b. Construction equipment shall be well maintained and a no idling requirement will be implemented. 16. The address of each building shall be conspicuously displayed on the street side of the buildings with externally or internally lit numbers and the method for illumination shall be shown on plans. Addressing numbering and display subject to approval by the Community Development Department. 17. All signs associated with the commercial use shall comply with applicable requirements in Chapter 17 .50. A sign permit shall be obtained for all commercial signs. Any illumination for commercial signage shall be turned off between the hours of 10:00 p.m. and 8:00 a.m. 18. Noise emanating from the long-term use of the property shall be within the limitations prescribed by the City's noise ordinance and shall not create a nuisance to surrounding residential neighborhoods, and/or commercial establishments. The business shall comply in all other respects with HBM Chapter 8.24 (Noise Control) and noise from the premises shall not constitute a public nuisance 19. The management of the facility shall police the property and all areas immediately adjacent to the businesses on the site during business hours to keep it free of litter. 20. The operators of the facility shall provide adequate management and supervisory techniques to prevent loitering and other security concerns outside the subject businesses. Security items or procedures shall be implemented and maintained on-site as determined to be appropriate by the Police Department. 21. The Design Center private cafeteria and related outdoor patio shall be limited to the sole use of Skechers employees and visitors, and shall not be open to the general public. Page 11 -Design Center 22. No entertainment, music, speakers, televisions or audio or visual media of any type, whether amplified or unamplified, shall be provided on the exterior of the building, within any outdoor seating area or open air area, or situated so as to be clearly visible to any outdoor seating area or open air area. 23. Deliveries -Deliveries and loading on residential streets shall be limited to 2-axle delivery vans between the hours of 8:00 a.m. and 6:00 p.m. Monday through Saturday. No delivery vehicles shall be allowed to remain in the loading area or on surrounding streets outside of business hours. No deliveries are permitted on Sundays. Delivery vehicles shall be prohibited on residential streets and alleys with the exception of that portion of 30th Street fronting the Executive Building at 3001 Pacific Coast Highway and Boundary Place, where deliveries would be limited to trucks/vans having a maximum length of 30 feet. 24. The exterior of the premises shall be maintained in a neat and clean manner, and maintained free of graffiti at all times, and adequate trash and recycle containers shall be provided within the establishment to reduce litter and contaminants on the public right-of-way per Chapter 8.12. 25. Design, construction, and continuing use of the Project shall comply with all requirements of the City, including, but not limited to Public Works and Fire Departments. Parking: 26. The number of parking spaces provided shall be consistent with the number of spaces identified on the plans reviewed by the Planning Commission January 31, 2018. 27. All parking spaces shall remain available for parking and shall not be used for storage or other purposes. Storage of boats, trailers, and recreational vehicles shall not be allowed in the parking garage. 28. Accessible parking spaces and loading area shall be signed and demarcated as required by law. 29. Parking Plan. The Design Center is required to have a minimum of 401 parking spaces for its daily operations, and proposes 427 parking spaces, thereby exceeding the minimum requirement by 26 spaces. The periodic Global Sales Conference events shall be accommodated by providing a total of 427 parking spaces as well as the transport of the conference attendees to the Design Center from the Redondo Beach Performing Arts Center in a minimum of eight buses, each with a minimum 60-seat capacity, with the buses to be held offsite until they are needed for transportation to deliver the attendees back to their hotels. STREET IMPROVEMENTS: Page 12 -Design Center 30. The applicant shall provide plans detailing the design of the horizontal and vertical alignment for the project's access driveways, vehicle circulation and parking garage entrance to the satisfaction of the County of Los Angeles Fire Department and City of Hermosa Beach Public Works Department. Such design shall utilize standards for vertical curve, sight distance and turning movement design consistent with Caltrans, AASHTO and City of Hermosa Beach design requirements. Design plans shall be submitted to the City of Hermosa Beach Public Works Department for review and approval prior to the issuance of a demolition and/or grading permit. Prior to the commencement of construction and related activity in the public right of way, an encroachment permit shall be obtained from the City of Hermosa Beach Public Works Department. 31. The applicant shall provide plans detailing the design of project frontage improvements within and adjacent to City right of way. Plans shall detail the design of frontage improvements including curb, gutter, sidewalk, roadway pavement, drainage, signage, striping, utilities and other improvements, and shall be submitted to the City of Hermosa Beach Public Works Department for review and approval prior to the issuance of a demolition and/or grading permit. Prior to the commencement of construction and related activity in the public right of way, an encroachment permit shall be obtained from the City of Hermosa Beach Public Works Department. 32. The applicant shall provide designs and details of existing and proposed sidewalk and driveway transitions compliant with the Americans with Disabilities Act (ADA) as well as disabled access provisions as contained in the latest edition of the Building Code (CBC), as amended by the City of Hermosa Beach and found in HBMC Title 15. Any existing frontage improvements (sidewalk, driveway(s), clearances around above-ground utility poles, utility boxes, etc.) shall be reviewed and upgraded as necessary to comply with disabled accessibility standards. Plans for the design of required improvements shall be submitted to the City of Hermosa Beach Public Works Department for review and approval prior to the issuance of a demolition and/or grading permit. Prior to the commencement of construction and related activity in the public right of way, an encroachment permit shall be obtained from the City of Hermosa Beach Public Works Department. 33. All pavement structural sections shall be designed by the project Geotechnical Engineer/Consultant and Engineering Geologist and submitted in conjuction with the final geotechnical report for review and approval by the City of Hermosa Beach Public Works Department prior to the issuance of a demolition and/or grading permit. STREET SPECIAL CONDITIONS: 34. The applicant shall provide plans detailing the design of project frontage improvements along State Route (SR) 1. Plans shall detail the design of frontage Page 13 -Design Center improvements including curb, gutter, sidewalk, roadway pavement, drainage, signage, striping, utilities and other improvements, and shall be submitted to the California Department of Transportation (Caltrans) for review, approval and permit. The applicant shall obtain required approvals prior to the issuance of a demolition and/or grading permit by the City of Hermosa Beach. 35. Proposed project frontage improvements along SR 1 shall provide for continuity in the conveyance of public pedestrian and vehicle traffic. For proposed frontage improvements, including curb, gutter, sidewalks, drainage and utilities adjacent to, and outside of existing public right of way, additional right of way shall be conveyed to insure the preservation of public vehicle and pedestrian access. An offer of dedication of additional right of way shall be made by appropriate legal mapping instrument to Caltrans in conjunction with the proposed project frontage improvements. Should Caltrans, upon review of improvements and related offer of dedication elect not to accept the right of way and related improvements, such right of way and related improvements shall be offered to the City of Hermosa Beach for dedication and acceptance. Such dedication and acceptance to Caltrans or the City of Hermosa Beach, as appropriate, shall be completed prior to the issuance of a demolition and/or grading permit by the City of Hermosa Beach. 36. 30th Street Tunnel (Design). The applicant shall provide design plans and calculations for the proposed tunnel structure under 30th Street, which will provide a subsurface connection between p.-oposed buildings to the north and south of 30th Street. Design of the proposed tunnel shall be completed in accordance with AASHTO requirements, and shall include consideration for earth loads and vehicle live loads consistent with an HS-20 axle loading. Based on design loading, the tunnel structure shall be detailed for wall thickness and reinforcement, in accordance with the recommendations of the project geotechnical report. Design plans shall be submitted to the City of Hermosa Beach Public Works Department for review and approval prior to the issuance of a demolition and/or grading permit. Prior to the commencement of construction and related activity in the public right of way, an encroachment permit shall be obtained from the City of Hermosa Beach Public Works Department. 37. 30th Street Tunnel (Design). The applicant shall provide design plans and calculations for steel plate protective covers for the tunnel excavation. Such protective covers shall be installed to allow the passage of vehicular traffic to maintain 1-lane of traffic circulation at all times, and shall be installed at the end of the work day to protect open areas of tunnel excavation. Trench cover plates, supporting girders and vertical trench shoring members shall be designed to span the anticipated width of the trench excavation, shall be set/placed such that they are flush to the existing pavement, and shall accommodate vehicular HS-20 loads. Design shall be submitted to the City of Hermosa Beach Public Works Department for approval prior to the issuance of an encroachment permit. Page 14 -Design Center 38. 30th Street Tunnel (Construction). The applicant shall provide for 1-lane of traffic circulation through 30th Street at all times. Protective measures inclusive of steel plates, concrete barriers, signage and flaggers shall be employed at all times to protect the excavation and maintain a minimum 12' travel lane. Traffic control plans detailing these measures shall be prepared by a Traffic Engineer licensed to practice in the State of California, and shall be submitted to the City of Hermosa Beach Public Works Department for approval prior to the issuance of an encroachment permit. 39. 30th Street Tunnel (Construction). The applicant shall provide for trench shoring and related personnel/vehicle protection during excavation operations for tunnel construction. Trench shoring and related protective measures shall be designed in accordance with AASHTO standards, incorporating consideration of vehicular HS-20 loads and recommendations of the project geotechnical report and related design parameters. Design shall be submitted to the City of Hermosa Beach Public Works Department for approval prior to the issuance of an encroachment permit. 40. SRl/Gould Avenue Improvements. The applicant shall complete street improvements to add an eastbound right turn lane on Gould A venue/ Artesia Boulevard. Improvements shall include a combination of signage, striping, curb/gutter and sidewalk improvements as required to provide an additional turn lane. Any required utility adjustments, relocations and traffic signal modifications necessary for the required improvements shall be included in the design plans. Design plans shall consist of signage, striping, street improvement and traffic signal plans at a minimum scale of 1"=20', and shall be submitted to the City of Hermosa Beach Public Works Department for approval. Prior to the commencement of construction and related activity in the public right of way, an encroachment permit shall be obtained from the City of Hermosa Beach Public Works Department. Required improvements shall be completed and approved by the City of Hermosa Beach Public Works Department prior to the issuance of a Certificate of Occupancy. UTILITIES: 41. All new utilities serving the proposed project shall be placed underground. 42. All existing overhead utilities (electric, telephone, cable, etc.) along the project frontage and along the project boundaries shall be converted underground. 43. The project shall connect to an existing sewer. The applicant shall submit a design for the connection of the building sewer to the existing sewer contained within the public right of way of the adjacent street. The design size of the building sewer shall be consistent with the building drain as determined by the applicant's plumbing/mechanical engineer of record, or 6" minimum diameter, Page 15 -Design Center whichever is greater. The geometric, hydraulic and material design of the building sewer beyond the building envelope shall be consistent with the City of Hermosa Beach Public Works Standards and the County of Los Angeles PC Procedures Manual. Plans shall be submitted to the City of Hermosa Beach Public Works Department for review and approval prior to the issuance of a demolition and/or grading permit. Prior to the commencement of construction and related activity in the public right of way, an encroachment permit shall be obtained from the City of Hermosa Beach Public Works Department. 44. The applicant shall prepare a sewer area study to verify the capacity of the existing sewer to convey the project's calculated effluent. The study shall be prepared according to the County of Los Angeles PC Procedures Manual, and shall quantitatively evaluate the capacity of the existing sewer and impacts of the project on the existing sewer. The study shall identify the limits and degree of any areas of projected deficiency, and specify remedial measures necessary to mitigate the impact of the project's effluent, or in the case of an existing deficiency, the proportionate/fair share improvement as deemed acceptable by the City Engineer. The required sewer area study shall be submitted to the City of Hermosa Beach Public Works Department for review coincident with the submittal of sewer plans. 45. The project proposes the relocation of an existing sewer main. Design of the proposed sewer main shall be submitted for review and approval by the City of Hermosa Beach Public Works Department and Caltrans as appropriate to location. Design shall be provided in plan and profile format at a minimum scale of l "=20', and shall clarify pipe material, bedding, and shall be supported by hydraulic calculations based on flows associated with sewer area study. Design and related traffic control plans shall be approved by both the City and Caltrans, and an encroachment permit issued, prior to the commencement of any excavation or relay construction activities. 46. Provisions for maintaining existing sewer service for properties served by portions of the sewer main to be abandoned shall be detailed by the applicants engineer and submitted to the City for approval prior to the commencement of any sewer construction activities. 47. Sewer connection fees shall be paid to the City of Hermosa Beach. The applicant shall submit proof of payment of such fees to the City of Hermosa Beach Public Works Department prior to issuance of a building permit. 48. The project proposes the relocation of an existing water main. Design of the proposed water main shall be submitted for review and approval by the City of Hermosa Beach Public Works Department and the California Water Service Company. Evidence of approval by the California Water Service Company shall be submitted to the City of Hermosa Beach Public Works Department prior to the issuance of a demolition and/or grading permit. Prior to the commencement Page 16 -Design Center of construction and related activity in the public right of way, an encroachment perrnit shall be obtained from the City of Hermosa Beach Public Works Department. 49. The project shall connect to an existing water main. The applicant shall construct a water service lateral to connect the proposed project to the existing available water main. Plans shall be submitted to the City of Hermosa Beach Public Works Department and the California Water Service Company for review and approval prior to the issuance of a demolition and/or grading permit. Prior to the commencement of construction and related activity in the public right of way, an encroachment permit shall be obtained from the City of Hermosa Beach Public Works Department. 50. Water service connection, associated meter fees and any other miscellaneous fees/assessments shall be paid to the California Water Service Company. The applicant shall submit proof of payment of such fees (i.e.: Financial Arrangement Letter) to Public Works prior to the issuance of a building permit. GRADING, DRAINAGE AND GEOTECHNICAL: 51. The applicant shall submit a precise grading plan prepared by a Registered Civil Engineer prior to issuance of a demolition and/or grading permit which must be approved by the City Public Works Department. The plans shall be prepared on the Public Works standard sheets and shall address the specific design and construction of the development and the proposed project construction. The plans should include, but not limited to: specific elevation grades, keyways, subdrains, limits of removals, retaining walls callouts every 25 to 50 feet, and other callouts to establish in detail the horizontal and vertical geometric design. The plan should include all laterals and utility lines including sewers and water lines. 52. The precise grading plan prepared shall be based on a detailed geotechnical report prepared by a Geotechnical Engineer/Consultant and Engineering Geologist. The precise grading geotechnical report must specifically address the proposed improvement including engineering calculations for all graded slopes, foundations, retaining walls, temporary excavations and other aspects as required by the proposed development. The report shall present detailed geotechnical recommendations for design and construction of the proposed project and improvements. The reports should be in accordance with the County of Los Angeles standards and the City of Hermosa Beach Public Works Department. 53. The applicant shall eliminate or remediate all geologic hazards associated with this proposed development to the satisfaction of the City of Hermosa Beach Public Works Department. Page 17 -Design Center 54. Grading operations involving the hauling of dirt shall be controlled and reasonable efforts to avoid the spillage of dirt onto Public Streets shall be enforced. The grading contractor shall maintain on site at all times a means of preventing blowing dust within the project site and onto adjacent sites. 55. The applicant shall provide any required on-site storm water detention and water quality treatment (Qpm) in accordance with the Low Impact Development (LID), NPDESpermits and City requirements, including without limitation HBMC Chapter 8.44. Calculations shall be submitted with the Hydrology Study. All covenants shall be recorded prior to a demolition and/or grading permit issuance. 56. The project grading plans shall be reflective of the excavations necessary to achieve the design grades for the parking garage, adjacent retaining walls, slopes and property lines. Provide sections as necessary to clarify the depth and grade relationships of these excavations. 57. The grading plans and required sections shall clarify the limits of required over- excavation based on the recommendations of the project soils engineer. 58. All other requirements, notes and regulations arising from plan review as determined necessary by the City and their reviewers will be required and shall be incorporated into the design as the need arises during plan review. 59. The applicant agrees to address and mitigate any and all engineering and geotechnical design and construction issues not contained within these conditions, associated with the proposed development that may arise during final design. 60. The applicant shall provide a current copy of the preliminary title report, prepared within the last 6 months, for the subject property. 61. The applicant shall prepare plans for the shoring and related protection of public right of way and adjacent property during construction. The required plans shall reflect the shoring necessary for the construction of the retaining walls/parking garage. The shoring plans and related calculations and details shall incorporate the recommendations of the project geotechnical report, and shall address any areas of required over-excavation or dewatering. Shoring shall not rely on tie-back anchorage (temporary or permanent), unless the permission of adjacent affected property owners is obtained by written agreement or permit. 62. The required shoring plans shall be submitted to the Building and Safety Division of the Community Development Department for structural design review and approved prior to the issuance of a demolition and/or grading permit for the project. Page 18 -Design Center 63. The applicant shall prepare plans for the shoring and related protection of right of way associated with SR 1 during construction. Shoring plans shall be submitted to Caltrans for review, approval and permit. The required plans shall reflect the shoring necessary for the construction of the retaining walls/parking garage. The shoring plans and related calculations and details shall incorporate the recommendations of the project geotechnical report, and shall address any areas of required over-excavation or dewatering. Shoring shall not rely on tie- back anchorage (temporary or permanent), without the written consent of Caltrans. Evidence of approval of proposed shoring by Caltrans shall be submitted to the City of Hermosa Beach Public Works Department prior to the issuance of a demolition and/or grading permit. 64. The applicant shall provide for a well-point or other equally effective means for the control and drawdown of groundwater encountered during excavation operations. The design of such a dewatering system shall be submitted to the City of Hermosa Beach Public Works Department for review and approval prior to the issuance of a demolition and/or grading permit. 65. The applicant shall provide for a means of impounding and clarifying groundwater associated with the dewatering system prior to discharge. Such a system shall be subject to review and approval by the Los Angeles Regional Water Quality Control Board (LARWQCB). Evidence of such review and approval shall be submitted to the City of Hermosa Beach Public Works Department prior to the issuance of a demolition and/or grading permit. 66. All excavation, grading, site utility installation (private water, sewer and storm drain), pavement construction and related site work shall be observed and approved by the project geotechnical engineer, as well as Public Works Department inspection staff or their delegates. 67. All grading and excavation shall be observed and documented by the project Geotechnical Engineer, who shall verify that the excavation, grading, subdrainage, backfill, compaction, and related operations are executed by the site construction personnel in conformance with the provisions of the approved Geotechnical Report. Any deficiencies noted shall be brought to the attention of the grading contractor and the City. Such observations, verifications, related tests, and other pertinent documentation shall be submitted to the City of Hermosa Beach Public Works and Community Development Departments for review and approval prior to the issuance of a building permit. 68. Rough Grade Report. At the completion of rough grading, the project Geotechnical Engineer shall submit a comprehensive rough grade report summarizing the required observa,tions, verifications, related tests, and other pertinent documentation to the City of Hermosa Beach Public Works and Page 19 -Design Center Community Development Departments for review and approval prior to the issuance of a building permit. 69. Rough Grade and Building Pad Certifications. Upon completion of rough grading, the applicant shall submit Rough Grade and Building Pad Certifications on the City's forms. The certifications shall be signed by the project Geotechnical Engineer and project Civil Engineer, as well as the Grading Contractor. The certification shall be accompanied by as-built survey where deemed necessary by the City Engineer to verify compliance with the limits and elevations required by the approved grading and drainage plans. The Rough Grade and Building Pad Certifications shall be reviewed in conjunction with the Rough Grade Report by the City of Hermosa Beach Public Works Department for approval prior to the issuance of a building permit. 70. Approval of Rough Grading. The project Rough Grade Report and Rough Grade and Building Pad Certifications shall be reviewed and approved by the City Engineer. Evidence of such approval shall be provided to the Community Development Department, Building and Safety Division, prior to the issuance of a building permit. No building permit shall be is ued for the proiect without these approvals. 71. Final Grade Certification. Prior to the issuance of a Certificate of Occupancy (C of 0), the applicant shall submit a Final Grade Certification on the City's form. The Final Grade Certification shall be reviewed and approved by the City Engineer prior to the issuance of a C of O for the project. Drainage: 72. The applicant shall have a final drainage study prepared by a Registered Civil Engineer licensed to practice in the State of California. The drainage study shall be prepared in report format and include sections addressing on-site and off-site drainage areas, existing and developed conditions hydrology, the design hydraulics for the on-site drainage system, including sizing of inlets, conduits, v- ditches, down drains and other structures, storm water detention and water quality mitigation measures, and associated calculations and conclusions. The drainage study shall be submitted to the Public Works Department and approved prior the issuance of a demolition and/or grading permit. 73. The applicant's engineer shall provide for the mitigation of the project's storm water quality impacts. The applicant's engineer shall provide calculations for the sizing and location of devices intended to mitigate such impacts, and clarify the locations of required water quality treatment devices on the storm drain plans. The details of the required devices shall be included in the drainage report and detailed on the project plans. Plans and related provisions for the mitigation of the project's water quality impacts shall be submitted to the City of Page 20 -Design Center Hermosa Beach Public Works Department for review and approval prior to the issuance of a demolition and/or grading permit. 74. The applicant's engineer shall prepare storm drain plans detailing the required design of the on-site storm drain system. The design shall be consistent with the calculations contained in the final drainage study, with appropriate details to allow for plan review, inspection and construction of the required facilities. The on-site storm drain plans, along with plans shall be submitted to the City of Hermosa Beach Public Works Department for review and approval prior to the issuance of a demolition and/or grading permit. Other: 75. The developer and operator(s) of the project shall comply with the Mitigation Monitoring and Reporting Plan attached to this Resolution as Exhibit B and each mitigation measure set forth therein. a. Traffic Mitigation Measures -All Transportation and Circulation mitigation measures related to the project shall be satisfied prior to the first building final inspection or issuance of Certificate of Occupancy, whichever occurs first. 76. A Construction Management and Parking Plan (CMPP) shall be submitted by the applicant with the submittal of plans to plan check or project approval, whichever occurs first. The CMPP shall be reviewed and approved by the Cities of Manhattan Beach and Hermosa Beach, including but not limited to, the City Traffic Engineer, Planning, Fire, Police and Public Works, prior to issuance of the first building permit. The Plan shall include, but not be limited to, provisions for the management of all construction related traffic, parking, staging, materials delivery, hauling, excavation and shoring activity, pedestrian access, materials storage, BMP's, compliance with mitigation measures, and buffering of noise and other disruptions. The Plan shall minimize construction related impacts to the surrounding neighborhood, prohibit parking by construction workers on adjacent streets, and coordinate delivery schedules to minimize truck queuing. The contractor, subcontractors and others connected with the construction shall comply with the requirements of the Plan. Any addendum(s) to this plan shall be approved by both cities of Manhattan Beach and Hermosa Beach Among other things, the CMPP will include provisions to: a. Prohibit parking by construction workers on adjacent streets and directing the construction workers to available parking on the site. b. Coordinate deliveries to reduce the potential of trucks waiting to unload for protracted periods of time. Page 21 -Design Center c. Schedule receipt of construction materials during non-peak travel periods, to the extent possible. 77. Adaptive Transportation Demand Management -Prior to the first building permit final and/or occupancy, whichever occurs first, an Adaptive Transportation Demand Management and Employee Parking Management (TDM/EPM) Plan shall be submitted to the Traffic Engineering and Planning Divisions for each City's review and approval with the objective to achieve a seven percent (7%) overall project trip reduction in both the AM and PM peak hours and to minimize the potential for overflow parking into the surrounding neighborhood. The Plan shall include, but not be limited to, the recommendations in the Mitigation Measures and Monitoring Plan (MMRP) and Traffic Impact Study within the EIR as well as the lunchtime shuttle program, and prohibition of employee parking on City streets. Penalties and corrective measures for employee non-compliance with the Plan shall be identified in the Plan. The Plan shall be approved prior building final inspection and issuance of Certificate of Occupancy, and shall be implemented immediately. Thereafter, the applicant shall monitor the effectiveness of the Plan annually and will submit an annual monitoring and management report to both cities every January. Consistent with the corresponding Mitigation Measure 4.12-2(e). The Cities of Hermosa Beach and Manhattan Beach shall reserve the right to revise the terms and conditions of the TDM/EPM Plan to achieve or maintain a seven percent (7%) trip reduction, shuttle ridership rates and parking compliance. 78. The Applicant shall pay all costs and fees incurred by the City in connection with processing, monitoring and implementing the Project, including without limitation: (a) in ensuring that the conditions of approval are complied with, as well as monitoring of the mitigation measures in the adopted Mitigation Monitoring and Reporting Plan attached to this Resolution as Exhibit B; (b) in the processing of project-related permits and applications, including time spent by City staff and legal staff to process and review all necessary permits, applications, contracts, land use entitlements, and reports; ( c) the costs of city review of Owner submittals; (d) the costs of Consultants and a project manager retained by the City in connection with the project who is responsible for activities such as monitoring compliance with mitigation measures and conditions of approval .. A minimum balance of six month's estimated expenses shall be maintained in a reserved City account for the duration of the project construction and two years following certificate of occupancy. The amount shall be determined in the sole discretion of the Community Development Director. A reimbursement and funding agreement shall be executed within 60 days of the approval of this Resolution, in a form approved by the City Attorney, which will include provisions for the return of unused funds at the end of the agreement term. Page 22 -Design Center 79. The applicant shall submit to the City a cost estimate for completion of all of the required off-site improvements, including, but not limited to, the traffic and public improvements, prior to the issuance of any project-related permits. If the City accepts the final cost estimate, the applicant shall provide a bond or other financial security equal to 1.25 times the estimated construction and inspection costs of the improvements, acceptable to the satisfaction of the Finance Director, Director of Public Works and the City Attorney, prior to issuance of any project-related permits. 80. Prior to issuance of Certificate of Occupancy, the applicant shall provide to the City of Hermosa Beach documentation from the City of Manhattan Beach indicating compliance and completion of all Manhattan Beach mitigation measures specified in the Mitigation Monitoring and Reporting Plan. 81. Prior to issuance of Certificate of Occupancy, the operator shall provide, to the satisfaction of the City of Hermosa Beach and the City of Manhattan Beach, evidence that twelve (12) electric bicycles are distributed among the project components in both cities, and are available to all Skechers employees. 82. Traffic Calming. Prior to issuance of the first building permits, the applicant shall pay a deposit of two hundred thousand ($200,000) dollars to be held at the City of Manhattan Beach for the preparation of a joint traffic calming study in the cities of Hermosa Beach and Manhattan Beach to recommend potential measures that would enhance the livability of the neighborhood streets in the vicinity of the project. The study will evaluate a number of potential measures, including measures to address non-residential traffic and parking intrusion, speeding, bikeways and pedestrian safety. Any amount of remaining funds in excess of the study costs shall be used for the implementation of those measures as deemed appropriate by the Cities. Any implementation measures not covered by remaining funds shall be funded by the applicant, up to a total not-to-exceed amount of $300,000 combined. 83. Upon issuance of the Certificate of Occupancy, the applicant shall implement a pilot lunchtime shuttle service to shuttle employees between the Skechers buildings and downtown Hermosa Beach and downtown Manhattan Beach. The pilot program would involve a minimum one year of ridership monitoring to determine the success of the program. a. The shuttle service shall utilize, at a minimum, two, 15-passenger shuttles operating from 11:00 AM to 2:00PM, Monday through Friday. Each shuttle shall transverse a separate route on a continuous loop, with one shuttle providing service to Hermosa Beach and the second to Manhattan Beach. Success of the program shall be determined by the cities. b. Six (6) months after issuance of the first Certificate of Occupancy, and again twelve (12) months after issuance of the first Certificate of Page 23 -Design Center Occupancy, the applicant shall provide to the City of Hermosa Beach and the City of Manhattan Beach reports regarding ridership of the lunchtime shuttle so that both cities' Community Development Directors may make determinations regarding the success of the shuttle and whether it must be continued, modified, or discontinued. The applicant shall monitor ridership and performance at least one day per week. 84. Prior to issuance of building permits, the applicant must submit for review and approval by the City a Lot Line Adjustment consolidating all lots on the property at 2851 and 2901 Pacific Coast Highway into a single lot and identifying all easements to be conveyed. 85. Approval of these entitlements shall be contingent upon the applicant obtaining City Council approval of a vacation of the remaining portion of an alley remaining along the west of/behind the proposed Design Center building at 2851 Pacific Coast Highway, prior to issuance of any project-related permits. 86. The Planning Commission may review this Precise Development Plan and Parking Plan and may amend the subject conditions or impose any new conditions if deemed necessary to mitigate detrimental effects on the neighborhood resulting from the subject use. 87. The subject project shall be developed, maintained and operated in full compliance with the conditions of this grant and any law, statute, ordinance or other regulation applicable to any development or activity on the subject property. Failure of the permittee to cease any development or activity not in full compliance shall be a violation of these conditions. Section 9. This grant shall not be effective for any purposes until the permittee and the owners of the property involved have filed at the office of the Planning Division of the Community Development Department their affidavits stating that they are aware of, and agree to accept, all of the conditions of this grant. The Precise Development Plan and Parking Plan shall be recorded, and proof of recordation shall be submitted to the Community Development Department prior to the issuance of a building permit. Each of the above conditions is separately enforced, and if one of the conditions of approval is found to be invalid by a court of law, all the other conditions shall remain valid and enforceable. To the extent permitted by law, Permittee shall defend, indemnify and hold harmless the City of Hermosa Beach, its City Council, its officers, employees and agents (the "indemnified parties") from and against any claim, action, or proceeding brought by a third party against the indemnified parties and the applicant to attack, set aside, or void any permit or approval for this project authorized by the City, including (without Page 24 -Design Center limitation) reimbursing the City its actual attorney's fees and costs in defense of the litigation. The City may, in its sole discretion, elect to defend any such action with attorneys of its choice. The permittee shall reimburse the City for any court and attorney's fees which the City may be required to pay as a result of any claim or action brought against the City because of this grant. Although the permittee is the real party in interest in an action, the City may, at its sole discretion, participate at its own expense in the defense of the action, but such participation shall not relieve the permittee of any obligation under this condition. Section 10. Pursuant to the Code of Civil Procedure Section 1094.6, any legal challenge to the decision of the Planning Commission, after a formal appeal to the City Council, must be made within 90 days after the final decision by the City Council. VOTE: AYES: NOES: ABSTAIN: ABSENT: Chairman Saemann and Commissioner Flaherty and Hoffman Commissioners Pedersen and Rice None None CERTIFICATION I hereby certify the foregoing Resolution P .C. 18-6 is a true and complete record of the action taken by the Planning Commission of the City of Hermosa Beach, California, at its special meeting of January 3 1, 2018. Rob Saemann, Chairman obertson, Secretary January 31, 2018 Date Page 25 -Design Center