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Honda Center Enhancement Project Draft EIR City of Anaheim Page 10-1 10. Growth-Inducing Impacts of the Proposed Project Pursuant to Sections 15126(d) and 15126.2(d) of the CEQA Guidelines, this section is provided to examine ways in which the Proposed Project could foster economic or population growth, or the construction of additional housing, either directly or indirectly, in the surrounding environment. Also required is an assessment of other projects that would foster other activities which could affect the environment, individually or cumulatively. To address this issue, potential growth inducing effects will be examined through analysis of the following questions: Would this project remove obstacles to growth, e.g., through the construction or extension of major infrastructure facilities that do not presently exist in the project area, or through changes in existing regulations pertaining to land development? Would this project result in the need to expand one or more public services to maintain desired levels of service? Would this project encourage or facilitate economic effects that could result in other activities that could significantly affect the environment? Would approval of this project involve some precedent setting action that could encourage and facilitate other activities that could significantly affect the environment? Please note that growth-inducing effects are not to be construed as necessarily beneficial, detrimental, or of little significance to the environment. This issue is presented to provide additional information on ways in which this project could contribute to significant changes in the environment, beyond the direct consequences of developing the land use concept examined in the preceding sections of this EIR. Would this project remove obstacles to growth, e.g., through the construction or extension of major infrastructure facilities that do not presently exist in the Project Area, or through changes in existing regulations pertaining to land development? Honda Center is an existing multi-purpose arena facility currently in use as a venue for major-league sporting events, concerts, and other entertainment. None of the proposed improvements to the facility would change this use or increase the maximum seating capacity of the arena. Peak stormwater generation, natural gas consumption, water consumption, and wastewater generation would not exceed existing conditions. Therefore, an increased number of yearly events held at the arena will not require the construction or extension of major infrastructure facilities. The Proposed Project also does not include changes to land use regulations that would induce growth. The proposal to reclassify parcels from the Transition Zone to the Public Recreation (PR) Zone is designed to ensure that the zoning of those parcels is consistent with the balance of the Project Site, not to make those parcels available for future development. Would this project result in the need to expand one or more public services to maintain desired levels of service? As discussed in Section 5.5, Transportation and Traffic, the Proposed Project would contribute to deficiencies in levels of service at intersections near Honda Center. However, deficient traffic operations conditions are a ---PAGE BREAK--- 10. Growth-Inducing Impacts of the Proposed Project Page 10-2 The Planning CenterIDC&E January 2012 pre-existing condition based on the current average of 153 events per year occurring at the Honda Center. Mitigation Measures identified in Section 5.5.7 of this EIR, which reduces project-related traffic impacts using project-related improvements, traffic management plans, mitigation measures adopted as part of the Revised Platinum Triangle Expansion Project EIR and the future ARTIC facility will improve levels of service for traffic and transportation infrastructure serving Honda Center to the extent feasible. As discussed in Section 5.6, Utilities and Service Systems, the Proposed Project will increase water demand and wastewater generation on an annual basis due to the additional events. However, the project is not expected to require substantial upsizing of sewer mains or water mains serving Honda Center, since peak demands will not be increased. Existing regulations and planned improvements to infrastructure would also ensure that service capability will not exceed desired levels of service. Would this project encourage or facilitate economic effects that could result in other activities that could significantly affect the environment? During project construction, a number of design, engineering, and construction-related jobs would be created. This would last until project construction is completed in 2012 and would be a direct, but temporary, growth- inducing impact of the project. Additionally, the increased number of guests visiting Honda Center on an annual basis would potentially spur new economic investment in restaurants and other commercial uses serving visitors to the arena. This would represent an increased demand for economic goods and services and could, therefore, encourage the creation of new businesses, and/or the expansion of existing businesses which address these economic needs. However, this effect would be less than significant due to the arena’s existing use as an entertainment and sports venue and the Project Site’s proximity to Angel Stadium, the City National Grove of Anaheim, and the Disneyland Resort, facilities that also attract visitor-oriented commercial uses. Honda Center’s location within the burgeoning Platinum Triangle will mitigate any additional need to accommodate local business growth since the PTMU Overlay Zone plans for dramatic increases in commercial uses in the area. Therefore, while the Proposed Project will have an indirect growth-inducing effect, this will be accommodated by the existing growth planned for the Platinum Triangle. If the additional events at the Honda Center include a permanent tenant that is an existing franchise, the Proposed Project could result in economic effects in the market area where the franchise is currently located. The most commonly cited example of how an economic effect might create a physical change is where economic growth in one area could lead to a causal change in prolonged vacancies which in turn lead to systemic physical changes in the environment resulting from sustained vacancies. Most often this “urban blighting” has been speculated to occur in older downtown areas of cities which may suffer from long term vacancies due to the alleged inability of smaller downtown retailer formats to compete with large national retail chains. If an NBA team, such as the Sacramento Kings, were to relocate to the Honda Center, it is not foreseeable that the transfer would cause long term vacancies which in turn would cause physical changes amounting to urban blight. The Power Balance Arena would still be able to continue to host a variety of events, including but not limited to events it has held in the past such as World Wrestling Events; Professional Rodeo Events; various religious events such as Billy Graham’s Christian Crusade; high school basketball tournaments; Ultimate Fighting Championships; NCAA basketball and volleyball tournaments; rock concerts; ice skating shows such as Disney on ice; Monster Jam; motor cycle super cross; and college and high school special events. Nor would the surrounding area of Natomas, Sacramento be foreseeably affected by tenant changes at Power Balance area such that it could be deemed that tenant changes directly cause long term shopping center and residential vacancies that lead to physical changes in the environment. The Natomas area of Sacramento has been home to tremendous growth in the past several decades, primarily due to the growth government employment in Sacramento. Such employment is not forecast to decline. The Natomas area of the ---PAGE BREAK--- 10. Growth-Inducing Impacts of the Proposed Project Honda Center Enhancement Project Draft EIR City of Anaheim Page 10-3 City is home to Sacramento International Airport, and vibrant retail shopping centers such as the Natomas Marketplace. It is not foreseeable that the loss of a major tenant at Power Balance Arena will lead to sustained retail and residential vacancies that will lead to physical changes in the environment. Moreover, at this time it is unclear precisely what new tenant may occupy the Honda Center, if any. Since the additional tenant has not been identified, any assessment of indirect physical effects due to blight would be speculative. Would approval of this project involve some precedent setting action that could encourage and facilitate other activities that could significantly affect the environment? The proposed project includes a zone reclassification for a portion of the Project Site. This is not a precedent setting action since it would only serve to ensure that the whole of the site is zoned consistent with its use as an arena. Such a zoning reclassification would remain consistent with the City of Anaheim General Plan, which identifies the project site as planned for Mixed-Use, and the Platinum Triangle MLUP which identifies the project site as part of the Arena District, a district meant to accommodate a “balance between everyday uses/services and more intermittent special event activity” (City of Anaheim, 2004). No changes to any of the City’s building safety standards building, grading, plumbing, mechanical, electrical, fire codes) are proposed or required to implement this project. Increases in the number of annual events at Honda Center and minor improvements to the existing facility are consistent with the arena’s existing use and will not facilitate new activities that would significantly affect the environment. ---PAGE BREAK--- 10. Growth-Inducing Impacts of the Proposed Project Page 10-4 The Planning CenterIDC&E January 2012 This page intentionally left blank.