2A Work Session 2010 0111 - Laserfiche WebLink

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Worksession on Kaiser Medical Center Project January 11, 2010 pg. 2 Due to current economic conditions particularly affecting the local retail industry, the ICI specific mixed-use retail application is no longer a part of the application. However, Kaiser still intends to move forward with its application to develop the southern half of the property into a state-of--the-art medical facility, and to retain ownership of the northern portion until such time as the retail market improves. Kaiser intends to then sell the northern portion of the site to a retail developer, who would then complete detailed design and construction of a mixed use development project. In 2008, Kaiser reaffirmed their decision to move forward with their application for a medical center, and in October 2008 the City Council amended the scope of the EIR to include an assessment of the medical center on a project level and a potential future mixed-use retail development in a more general, programmatic manner. Staff and our EIR consultants are preparing an EIR that assesses the impacts of Kaiser's current plans for development of the property (described below as Phase 1) at a detailed, project-specific level If approved, Phase 1 of the medical center is anticipated to commence in the spring of 2010 and be complete by January 2013 (or, pursuant to the provisions of SB 1661, by January 2015). The precise timing, order and rate of development associated with full buildout of the medical center are dependent upon a number of currently unknown factors including changes in health care delivery requirements, member needs, market orientation, interest rates, competition and other factors. Similarly, buildout of the mixed-use retail development is dependent upon the economics of the retail industry and thus subject to change. Because of these uncertainties, buildout of the medical center and the mixed-use retail development are being assessed in the EIR at a more general, programmatic level. Staff believes that this approach to the EIR is consistent with the requirements of CEQA and appropriate to the current circumstances. OVERVIEW OF THE KAISER MEDICAL CENTER/MIXED-USE RETAIL DEVELOPMENT Phase 1 Medical Center State legislation passed in the wake of the Northridge Earthquake of 1994 (SB 1953) mandates the replacement or seismic retrofitting of certain existing acute care hospitals throughout California by 2013. New legislation (SB 1661) has provided an opportunity under certain circumstances for an extension of that deadline for many hospitals, including the existing Kaiser Permanente Hayward hospital, until January 2015. The Kaiser Hayward hospital was evaluated for its seismic safety and potential for seismic retrofit, and the findings confirmed that replacement of this facility was required. The proposed San Leandro Kaiser Medical Center is intended to serve as a replacement for the existing Kaiser Permanente Hayward hospital, serving Kaiser Permanente's greater southern Alameda County area membership.