Treasure Island/ Yerba Buena Island Redevelopment Plan Adoption

159 Pages·2011·7.54 MB·English

FINAL

Treasure Island/
Yerba Buena Island
Redevelopment Plan Adoption

Report to the Board on the
Redevelopment Plan

Prepared for:

Treasure Island Development
Authority

February 2011
Table of Contents
Treasure Island Development Authority
Treasure Island/Yerba Buena Island Redevelopment Plan Adoption
Report to Board

I. Introduction..................................................................................... I-1
A. Report Organization........................................................................................................................I-2
B. Key Terms and Definitions.............................................................................................................I-4
C. Project Area and Development Plan Area......................................................................................I-6
D. Jurisdictional Context...................................................................................................................I-16
E. Plan Adoption Documents and Legal Requirements....................................................................I-21
F. Summary of Public Process and Community Involvement..........................................................I-28
II. Existing Conditions........................................................................II-1
A. Introduction....................................................................................................................................II-1
B. Methodology..................................................................................................................................II-3
C. Evidence of Blighting Conditions..................................................................................................II-8
D. Summary of Blight Findings........................................................................................................II-43
E. Burden on the Community and Necessity for Redevelopment....................................................II-48
III. Redevelopment Program.............................................................III-1
A. Introduction..................................................................................................................................III-1
B. Redevelopment Goals and Objectives.........................................................................................III-2
C. Description of Redevelopment Program......................................................................................III-3
D. Summary of Relationship Between Redevelopment Program and Blighting Conditions.........III-14

Treasure Island Development Authority i Seifel Consulting Inc.
Treasure Island/Yerba Buena Island Redevelopment Plan Adoption February 2011
Table of Contents
Treasure Island Development Authority
Treasure Island/Yerba Buena Island Redevelopment Plan Adoption
Report to Board
(cont.)

IV. Proposed Methods of Financing and Feasibility........................IV-1
A. Introduction..................................................................................................................................IV-1
B. Potential Funding Sources...........................................................................................................IV-3
C. Tax Increment Financing as a Primary Source of Funding.........................................................IV-8
D. Assumptions Used In Tax Increment Projections......................................................................IV-13
E. Tax Increment Projections.........................................................................................................IV-18
F. Financial Feasibility of the Redevelopment Program................................................................IV-20
G. Reasons Why Tax Increment Financing Is Necessary...............................................................IV-22
V. Five-Year Implementation Plan....................................................V-1
A. Statutory Requirements.................................................................................................................V-1
B. Analysis.........................................................................................................................................V-1
VI. Method or Plan for Relocation.....................................................VI-1
A. Statutory Requirements................................................................................................................VI-1
B. Transitioning Households............................................................................................................VI-1
C. Relocating Households................................................................................................................VI-2
VII. Analysis of the Preliminary Plan...............................................VII-1
A. Statutory Requirements...............................................................................................................VII-1
B. Analysis.......................................................................................................................................VII-1
VIII. Planning Commission Report and Recommendation............ VIII-1
A. Statutory Requirements.............................................................................................................VIII-1
B. Analysis.....................................................................................................................................VIII-2

Treasure Island Development Authority ii Seifel Consulting Inc.
Treasure Island/Yerba Buena Island Redevelopment Plan Adoption February 2011
Table of Contents
Treasure Island Development Authority
Treasure Island/Yerba Buena Island Redevelopment Plan Adoption
Report to Board
(cont.)

IX. Summary of Public Review of the Redevelopment Plan...........IX-1
A. Statutory Requirements................................................................................................................IX-1
B. Analysis........................................................................................................................................IX-1
X. Environmental Review...................................................................X-1
A. Statutory Requirements.................................................................................................................X-1
B. Analysis.........................................................................................................................................X-2
XI. Analysis of the Report of the County Fiscal Officer..................XI-1
A. Statutory Requirements................................................................................................................XI-1
B. Analysis........................................................................................................................................XI-2
XII. Summary of Consultations with Affected Taxing Entities......XII-1
A. Statutory Requirements...............................................................................................................XII-1
B. Taxing Entities Affected by the Redevelopment Plan................................................................XII-1
C. Communications with Affected Taxing Entities.........................................................................XII-2
XIII. Neighborhood Impact Report.................................................. XIII-1
A. Statutory Requirements.............................................................................................................XIII-1
B. Analysis.....................................................................................................................................XIII-2
C. Relocation and Low or Moderate-Income Housing................................................................XIII-11

Treasure Island Development Authority iii Seifel Consulting Inc.
Treasure Island/Yerba Buena Island Redevelopment Plan Adoption February 2011
Table of Contents
Treasure Island Development Authority
Treasure Island/Yerba Buena Island Redevelopment Plan Adoption
Report to Board
(cont.)

Table of Figures
Figure I-1 Project Area Location...................................................................................................................I-7
Figure I-2 Project Area Boundaries – Treasure Island..................................................................................I-9
Figure I-3 Project Area Boundaries – Yerba Buena Island.........................................................................I-10
Figure I-4 Portions of Project Area Excluded from Development Plan Area.............................................I-11
Figure I-5 Tidelands Trust Land Exchange.................................................................................................I-20
Figure II-1 Location of Earthquake Faults – San Francisco Bay Region...................................................II-12
Figure II-2 Proposed Geotechnical Improvements.....................................................................................II-14
Figure II-3 Proposed FEMA Flood Zone...................................................................................................II-18
Figure II-4 Vacant or Unleasable Buildings...............................................................................................II-21
Figure II-5 Installation Restoration (IR) Program Sites.............................................................................II-28
Figure II-6 Buildings and Streets that Must be Removed to Allow Development....................................II-42
Figure II-7 Map of Blighting Conditions...................................................................................................II-47
Figure III-1 Proposed Land Use Plan.........................................................................................................III-5

Table of Tables
Table I-1 Islands, Project Area and Development Plan Area Acreage.........................................................I-8
Table II-1 Military Base Blight Definitions.................................................................................................II-4
Table II-2 Sources of Blight Documentation...............................................................................................II-6
Table II-3 Age of Non-Residential Buildings with Reuse Potential Surveyed in 1995.............................II-20
Table II-4 Evaluation of Non-Residential Building Conditions in 2004-2006..........................................II-22
Table II-5 Structural Condition of Surveyed Non-Residential Buildings in 1995.....................................II-36
Table II-6 Steam Heating Systems Condition of Non-Residential Buildings Surveyed in 1995...............II-38
Table II-7 Ventilation Systems Condition of Non-Residential Buildings Surveyed in 1995....................II-38
Table II-8 Electrical Systems Condition of Non-Residential Buildings Surveyed in 1995.......................II-39
Table II-9 Architectural Condition of Non-Residential Buildings Surveyed in 1995................................II-39
Table II-10 Summary of Blighting Conditions..........................................................................................II-46
Table III-1 Estimated Cost of Redevelopment Program and Relationship to Alleviating Blighting
Conditions (In Constant FY 2010/11 Dollars).............................................................III-16
Table IV-1 Estimated Funding Requirements for the Redevelopment Program.......................................IV-3
Table IV-2 Proposed Time and Fiscal Limits..........................................................................................IV-11
Table IV-3 New Development Assumptions...........................................................................................IV-15
Table IV-4 Summary of Tax Increment Over the Life of the Plan..........................................................IV-18
Table IV-5 Comparison of Projected Funding Sources and Estimated Funding Requirements..............IV-21
Table XI-1 Base Year (FY 2010/11) Property Tax Distribution to the Affected Taxing Entities.............XI-4

Treasure Island Development Authority iv Seifel Consulting Inc.
Treasure Island/Yerba Buena Island Redevelopment Plan Adoption February 2011
Table of Contents
Treasure Island Development Authority
Treasure Island/Yerba Buena Island Redevelopment Plan Adoption
Report to Board
(cont.)

Table of Graphs
Graph IV-1 Distribution of Projected Tax Increment Revenues..............................................................IV-19

Appendices
Appendix A. Definitions and Abbreviations
Appendix B. Sources
Appendix C. Legal Description and Map of the Project Area and Development Plan Area
Appendix D. Photographic Documentation
Appendix E. Treasure Island Conversion Act of 1997 (as amended) and Treasure Island Public Trust
Exchange Act of 2004 (as amended)
Appendix F. Public Actions to Date
Appendix G. Funding Sources
Appendix H. Tax Increment Projections
Appendix I. Report of the County Fiscal Officer
Appendix J. Five-Year Implementation Plan
Appendix K. Replacement Housing Plan
Appendix L. Amended Preliminary Plan
Appendix M. Community Participation Documentation
Appendix N. Environmental Review Documentation
Appendix O. Taxing Entity Consultations

Treasure Island Development Authority v Seifel Consulting Inc.
Treasure Island/Yerba Buena Island Redevelopment Plan Adoption February 2011
I. Introduction
Since the mid-1990s, the City and County of San Francisco (City) has been working with public
and private partners and the community to devise and implement a plan for the reuse and
redevelopment of the former Naval Station Treasure Island (NSTI), which includes all of
Treasure Island and portions of Yerba Buena Island. The Redevelopment Plan for the
Treasure Island/Yerba Buena Island Redevelopment Project (Redevelopment Plan) is a key tool
in the plan for revitalization of NSTI currently contemplated by the City and its partners.
Pursuant to the provisions of the Treasure Island Conversion Act of 1997 (Conversion Act), the
Board of Supervisors of the City and County of San Francisco (Board of Supervisors) designated
the Treasure Island Development Authority (TIDA) as the redevelopment agency for NSTI.1
TIDA is preparing the proposed Redevelopment Plan for the Treasure Island/Yerba Buena Island
Redevelopment Project Area (Project Area), located within the boundaries of the former NSTI.2
TIDA is the Local Reuse Authority (LRA), which acts as the lead agency for the management,
redevelopment and reuse of NSTI. If the Redevelopment Plan is approved by TIDA, the Board of
Supervisors will be requested to consider adoption of the Redevelopment Plan in Spring 2011.
The Redevelopment Plan is the legal document that sets forth the authority of TIDA to implement
the program of redevelopment projects and activities (Redevelopment Program) designed to
achieve successful redevelopment of the Project Area .The Redevelopment Plan describes the
goals and objectives of redevelopment and the financing methods to be used to fund the
Redevelopment Program. If adopted, the Redevelopment Plan will provide critical tools to
eliminate blighting conditions in the Project Area and promote its successful reuse.
Purpose of the Report to Board
This document is the Report to the Board for the Redevelopment Plan (Report to Board). The
Report to Board is an integral step in the process leading to consideration of adoption of the
Redevelopment Plan. This report is required under Section 33352 of the California Community
Redevelopment Law (CRL), a subsection of the California Health and Safety Code.3 TIDA is also
utilizing special provisions for military base conversions under Chapter 4.5 of the CRL
(Section 33492 et seq.) to prepare and adopt the Redevelopment Plan.
The Report to Board is a public document designed to provide the comprehensive information,
analyses and evidence the Board of Supervisors must consider when determining whether to
adopt the Redevelopment Plan. The Report to Board is of value to all participants in the plan

1 Treasure Island Conversion Act of 1997 (Chapter 898, Statutes of 1997, as amended by Chapter 543, Statutes of
2004, as amended, and Chapter 318, Statutes of 2008). Refer to Appendix E.
2 As described in Section C and throughout this Report, the Project Area includes the Job Corps lands on
Treasure Island and the Caltrans lands on Yerba Buena Island, but not the Coast Guard lands and facilities on
Yerba Buena Island. No redevelopment activities are currently planned for any of these three areas, except for
infrastructure or street improvements necessary to allow the new and existing systems to tie together. The portion of
the Project Area exclusive of the Job Corps and Caltrans lands is known as the Development Plan Area.
3 The California Community Redevelopment Law is contained in Part I of Division 24, Community Development and
Housing, of the Health and Safety Code beginning at Section 33000. All further statutory references are to the Health
and Safety Code unless otherwise noted.

Treasure Island Development Authority I- 1 Seifel Consulting Inc.
Treasure Island/Yerba Buena Island Redevelopment Plan Adoption February 2011
adoption process as a statement of program needs, goals, activities, and costs. Prepared pursuant
to the requirements of the CRL, this Report to Board describes the reasons for adopting the
Redevelopment Plan, existing physical and economic conditions in the Project Area, and
Redevelopment Program goals, projects, activities, and costs. The Report to Board also provides
an assessment of financing methods and the economic feasibility of the Redevelopment Plan,
including tax increment revenues and other funding sources for the Redevelopment Program.
A. Report Organization
In general, this Report to Board:
• Describes the proposed Project Area;
• Documents the existing conditions in the Project Area, including economic and
physical blight;
• Provides an assessment of why redevelopment is necessary to alleviate blight;
• Describes the Redevelopment Program that is made possible through the proposed
Redevelopment Plan;
• Projects potential tax increment revenues to be generated by the Project Area; and
• Demonstrates the financial feasibility of the proposed Redevelopment Plan.
Chapter I describes the Project Area, including its location and boundaries, historical and existing
uses and reasons for its selection. This chapter also presents the jurisdictional context, statutory
requirements and how this Report to Board addresses those requirements, as well as summaries of
the major documents in the Redevelopment Plan adoption process, public involvement in the
process and public actions to date.
Chapter II documents existing physical and economic blighting conditions present in the
Project Area and why redevelopment is necessary to alleviate blight.
Chapter III presents the proposed goals and objectives of the Redevelopment Plan and the
proposed Redevelopment Program for the Project Area, describes how the proposed
Redevelopment Program will alleviate the physical and economic blighting conditions identified
in Chapter II, and summarizes the estimated costs of the Redevelopment Program.
Chapter IV describes the financial resources available to TIDA to accomplish the proposed
Redevelopment Program, describes tax increment financing, projects the potential tax increment
revenues that the Project Area will generate, and evaluates the financial feasibility of the
Redevelopment Program.
Chapter V discusses the Five-Year Implementation Plan requirement, and refers to the Five-Year
Implementation Plan included as Appendix J. The Implementation Plan outlines statutory
requirements for Redevelopment Program activities. The Implementation Plan also sets forth
TIDA’s goals, objectives, programs, and expenditures for the five-year Implementation Plan
period, including program priorities and expenditure estimates.
Chapter VI describes the method or plan for relocation to address relocation of persons or
families that may be displaced due to redevelopment activities.

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Treasure Island/Yerba Buena Island Redevelopment Plan Adoption February 2011
Chapter VII provides an analysis of the Preliminary Plan.
Chapter VIII discusses the actions by the Planning Commission pertaining to review of the
Redevelopment Plan.
Chapter IX summarizes opportunities for public review of and comment on the
Redevelopment Plan.
Chapter X describes the status of the environmental review of the Redevelopment Plan and
Development Program.
Chapter XI provides an analysis of the Report of the County Fiscal Officer.
Chapter XII includes a summary of consultations with affected taxing entities.4
Chapter XIII contains the Neighborhood Impact Report.
This Report to Board also contains supporting documentation in the following appendices:
• Appendix A contains a list of definitions of terms and abbreviations that appear throughout
this Report to Board.
• Appendix B contains a list of sources used to prepare this Report to Board.
• Appendix C contains the legal description and map of both the Project Area and the
Development Plan Area.
• Appendix D contains photographic documentation of existing conditions in the Project Area.
• Appendix E contains the text of relevant legislation, including the Treasure Island Conversion
Act of 1997, as amended, and the Treasure Island Public Trust Exchange Act of 2004,
as amended.
• Appendix F contains a list of public actions to date.
• Appendix G contains a list of potential funding sources other than tax increment financing
that could support the Redevelopment Program.
• Appendix H contains projections of tax increment revenues from the Project Area.
• Appendix I contains the Report of the County Fiscal Officer.
• Appendix J contains the FY 2010/11 through FY 2015/16 Five-Year Implementation Plan.
• Appendix K contains the Replacement Housing Plan adopted by TIDA.
• Appendix L contains the Amended Preliminary Plan.
• Appendix M contains community participation documentation.
• Appendix N contains environmental review documentation.
• Appendix O contains documentation of required consultations with affected taxing entities.

4 As further described in Chapter IV, affected taxing entities are those entities that levy taxes on property in the
Project Area.

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Treasure Island/Yerba Buena Island Redevelopment Plan Adoption February 2011
B. Key Terms and Definitions
Several key terms related to the proposed Redevelopment Plan used in this Report are defined
below. Refer to Appendix A for additional definitions of terms and acronyms used in this Report.
Redevelopment Plan refers to that certain document governing the redevelopment actions of
TIDA in the Project Area. This document (1) establishes long-term planning goals as well as
implementation policies and procedures for the redevelopment of the Project Area, (2) establishes
certain limitations on the authority of TIDA to conduct activities within the Project Area,
(3) serves as a financing plan authorizing use by TIDA of particular redevelopment financing
tools to implement projects and policies, and (4) sets forth certain time and fiscal limits for the
Project Area.
Design for Development for Treasure and Yerba Buena Islands (Design for Development) refers
to a separate document that would be authorized in the Redevelopment Plan and adopted by
TIDA. Together, these documents would establish the land use controls and design standards for
the project site.
Redevelopment Project Area or Project Area refers to the area of redevelopment focus, which
consists of the following areas: (1) all of Treasure Island, plus the adjacent tidal and submerged
lands; and (2) all of Yerba Buena Island, except for the United States Coast Guard (Coast Guard)
lands, plus the tidal and submerged lands adjacent to Yerba Buena Island, except for those
portions of the tidal and submerged lands under the control of the Coast Guard. Refer to
Figure I-2 and Figure I-3.
Redevelopment Program refers to the proposed program of projects and activities to be
undertaken in the Project Area if the Redevelopment Plan is adopted, which are designed to
eliminate blight and achieve the successful reuse of NSTI. TIDA has identified three projects that
comprise the Redevelopment Program:
• The Development Program described below, which is the primary component of the
Redevelopment Program.
• The Yerba Buena Island Ramps Improvement Project (Ramps Project), which includes the
replacement of the westbound freeway ramps on the east side of the Yerba Buena Island
tunnel and the seismic upgrade of the viaduct connecting the Yerba Buena Island causeway to
the Bay Bridge westbound ramps and to Hillcrest Road. The Ramps Project, a separate
project from the Development Program, is being proposed by the San Francisco County
Transportation Authority (SFCTA), and is currently being studied by the SFCTA and the
California Department of Transportation (Caltrans) for purposes of environmental clearance
and project authorization.
• The water-side expansion of Treasure Island Marina to 400 slips (Marina Project), being
separately proposed by Treasure Island Enterprises, LLC (TIE) and TIDA.
Development Plan refers to the document entitled “Development Plan and Term Sheet for the
Redevelopment of Naval Station Treasure Island” between TIDA and the prospective master
developer, Treasure Island Community Development, LLC (TICD or Developer), endorsed by the
TIDA Board of Directors and the Board of Supervisors in 2006, as amended by the “Update to
Development Plan and Term Sheet for the Redevelopment of Naval Station Treasure Island,”

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Treasure Island/Yerba Buena Island Redevelopment Plan Adoption February 2011