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Resolution-PC 2022-062 - 1 - PC2022-062 RESOLUTION NO. PC2022-062 A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF ANAHEIM RECOMMENDING THAT THE CITY COUNCIL OF THE CITY OF ANAHEIM APPROVE AND ADOPT PROPOSED AMENDMENT NO. 1 TO DEVELOPMENT AGREEMENT NO. 2020- 00002 BY AND BETWEEN THE CITY OF ANAHEIM AND SRB MANAGEMENT COMPANY, LLC (DEV2020-00127A) (2000 EAST GENE AUTRY WAY) WHEREAS, Article 2.5 of Chapter 4 of Division 1 of Title 7 (commencing with Section 65864) of the Government Code of the State of California (herein referred to as the “Statute”) authorizes a city to enter into a contract which is called a development agreement in order to establish with certainty what regulations will govern the construction of a development; and WHEREAS, on November 23, 1982, the City, as a charter City, enacted Ordinance No. 4377 on November 23, 1982, which makes City of Anaheim (the “City”) subject to the Development Agreement Statute (the “Enabling Ordinance”), and adopted Resolution No. 82R- 565 (the “Procedures Resolution”), which establishes procedures and requirements for the consideration of development agreements; and WHEREAS, pursuant to that certain Purchase and Sale Agreement entered into by the City and SRB Management Company, LLC (the “Developer”) and dated December 20, 2019, as amended by that certain Letter Agreement dated May 12, 2020 and by that certain First Amendment to Purchase and Sale Agreement considered by City Council concurrently herewith (as amended, the “Purchase Agreement”), the Developer will purchase from the City the approximately 152 acres of land located at 2000 East Gene Autry Way and 2200 East Katella Boulevard in the City of Anaheim, County of Orange, State of California, as generally depicted on the map attached hereto as Exhibit A and incorporated herein by this reference (the "Property"); and WHEREAS, the Property is located within the Platinum Triangle area, and is currently improved with an approximately 45,500 seat stadium known as “Angel Stadium of Anaheim” (“Angel Stadium”), an approximately 1,700 person capacity performance venue known as “City National Grove of Anaheim” (the “Grove”), and associated surface parking lots; and WHEREAS, the Platinum Triangle comprises approximately 820 acres located at the confluence of the Interstate 5 and State Route 57 ("SR-57 Freeway") freeways in the City, generally east of the Interstate 5 Freeway, west of the Santa Ana River channel and the SR-57 Freeway, south of the Southern California Edison easement, and north of the Anaheim City limit. The Platinum Triangle encompasses the Angel Stadium, the Honda Center, the City National Grove of Anaheim, the Anaheim Regional Transportation Intermodal Center (ARTIC), and surrounding residential and mixed use development, light industrial buildings, industrial parks, distribution facilities, offices, hotels, restaurants, and retail development; and - 2 - PC2022-062 WHEREAS, since 1996, the City Council has approved several actions relating to the area encompassed by the Platinum Triangle; and WHEREAS, on July 9, 1996, the City Council certified Final Environmental Impact Report (FEIR) No. 320 (State Clearinghouse No. 95041029) and adopted Area Development Plan No. 120 for the portion of the Angel Stadium property associated with the Sportstown Development. Area Development Plan No. 120 permitted up to 119,543 seats for new and/or renovated stadiums, 750,000 square feet of urban entertainment/retail uses, a 500-room hotel (550,000 square feet), a 150,000 square foot exhibition center, 250,000 square feet of office development, and 15,570 on- site parking spaces. The Grove, the renovated Angel Stadium, and the Stadium Gateway Office Building were developed/renovated under this plan; and WHEREAS, on March 2, 1999, the City Council adopted the Anaheim Stadium Area Master Land Use Plan (MLUP). The boundaries for the Anaheim Stadium Area MLUP were generally the same as those for the Platinum Triangle, with the exception that this MLUP included 15 acres adjacent to I-5 that are not a part of the current Platinum Triangle boundaries. As part of the approval process for the Anaheim Stadium Area MLUP, the City Council also certified FEIR No. 321 (State Clearinghouse No. 9611041) and adopted the Mitigation Monitoring Program No. 106. Development within the Anaheim Stadium Area was implemented through the Sports Entertainment (SE) Overlay Zone, which permitted existing uses to continue or expand within the provisions of the existing zoning, while providing those who may want to develop sports, entertainment, retail, and office uses with standards appropriate to those uses, including increased land use intensity. Implementation of the SE Overlay Zone was projected to result in a net loss of 491,303 square feet of industrial space and an increase of 1,871,285 square feet of new office space, 452,026 square feet of new retail space, and 991,603 square feet of new hotel space. Projects that were developed under the SE Overlay Zone included the Ayers Hotel, the Arena Corporate Center, and the Westwood School of Technology; and WHEREAS, on May 25, 2004, the City Council approved a comprehensive citywide General Plan and Zoning Code Update, which included a new vision for the Platinum Triangle. The General Plan Update changed the General Plan designations within the Platinum Triangle from Commercial Recreation and Business Office/Mixed Use/Industrial to Mixed-Use, Office- High, Office-Low, Industrial, Open Space and Institutional to provide opportunities for existing uses to transition to mixed-use, residential, office, and commercial uses. The General Plan Update also established the overall maximum development intensity for the Platinum Triangle to be up to 9,175 dwelling units, 5,000,000 square feet of office space, 2,044,300 square feet of commercial uses, industrial development at a maximum floor-area ratio (“FAR”) of 0.50, and institutional development at a maximum FAR of 3.0. In addition, the square footage/seating allocated to the existing Honda Center and all of the development intensity entitled by Area Development Plan No. 120 was incorporated into the Platinum Triangle Mixed Use land use designation. Final Environmental Impact Report No. 330 (“FEIR No. 330,” State Clearinghouse No. 2003041105), which was prepared for the General Plan and Zoning Code Update and associated actions, analyzed the above development intensities on a citywide impact level and adopted mitigation monitoring programs, including an Updated and Modified Mitigation Monitoring Program No. 106 for the Platinum Triangle; and - 3 - PC2022-062 WHEREAS, on August 17, 2004, in order to provide the implementation tools necessary to realize the City’s new vision for the Platinum Triangle, the City Council replaced the Anaheim Stadium Area MLUP with the Platinum Triangle Master Land Use Plan (the “PTMLUP”), replaced the SE Overlay Zone with the Platinum Triangle Mixed Use Overlay Zone (the “PTMU Overlay Zone”), approved the form of the Standardized Platinum Triangle Development Agreement, and approved associated zoning reclassifications. Under these updated zoning regulations, property owners desiring to develop under the PTMU Overlay Zone provisions are required to enter into a standardized Development Agreement with the City; and WHEREAS, on October 25, 2005, the City Council adopted and certified the Final Subsequent Environmental Impact Report No. 332 (“FSEIR No. 332,” State Clearinghouse No. 2004121045), including an Updated and Modified Mitigation Monitoring Program No. 106A to provide for the implementation of the PTMLUP and associated actions, which used the certified FEIR No. 321 and Mitigation Monitoring Program No. 106. The land use actions associated with FSEIR No. 332 collectively increased the allowable development intensity within the Platinum Triangle to 9,500 residential units, 5,000,000 square feet of office uses, and 2,254,400 square feet of commercial uses; and WHEREAS, following the certification of FSEIR No. 332, the City Council approved two addenda to FSEIR No. 332 in conjunction with requests to increase the Platinum Triangle intensity by 67 residential units, 55,550 square feet of office development, and 10,000 square feet of commercial uses. A project Environmental Impact Report was also approved to increase the allowable development intensities by an additional 699 residential units to bring the total allowable development intensity within the Platinum Triangle up to 10,266 residential units, 5,055,550 square feet of office uses, and 2,264,400 square feet of commercial uses; and WHEREAS, on February 13, 2007, the City embarked upon a process to amend the General Plan, the PTMLUP, the PTMU Overlay Zone, the Platinum Triangle Standardized Development Agreement, and related zoning reclassifications to increase the allowable development intensities within the Platinum Triangle to up to 18,363 residential units, 5,657,847 square feet of commercial uses, 16,819,015 square feet of office uses, and 1,500,000 square feet of institutional uses (the "Platinum Triangle Expansion Project"); and WHEREAS, on December 11, 2007, the City Council certified Final Subsequent Environmental Impact Report No. 334 ("FSEIR No. 334") adopting a Statement of Findings of Fact, a Statement of Overriding Considerations, and the Updated and Modified Mitigation Monitoring Program No. 106A in conjunction with its consideration and approval of a series of actions in order to provide for the implementation of the PTMLUP and approval of the Platinum Triangle Expansion Project; and WHEREAS, following the approval of FSEIR No. 334, a lawsuit was filed by the Citizens for Responsible Equitable Environmental Development and the Orange County Communities Organized for Responsible Development challenging the adequacy of FSEIR No. 334. The City Council thereafter repealed the approval of the Platinum Triangle Expansion Project FSEIR No. 334 and various related actions and directed staff to prepare a new subsequent Environmental Impact Report for the Platinum Triangle Expansion Project; and - 4 - PC2022-062 WHEREAS, on October 26, 2010, the City Council approved the Revised Platinum Triangle Expansion Project, which included amendments to the General Plan, the PTMLUP and the PTMU Overlay Zone, and related zoning reclassifications to increase the allowable development intensities within the PTMU Overlay Zone up to 18,909 residential units, 14,340,522 square feet of office uses, 4,909,682 square feet of commercial uses, and 1,500,000 square feet of institutional uses. Before approving said amendments and zoning reclassifications, the City Council approved and certified the "Revised Platinum Triangle Expansion Project Subsequent Environmental Impact Report No. 339" for the Revised Platinum Triangle Expansion Project, including Updated and Modified Mitigation Monitoring Plan No. 106C (collectively referred to herein as "FSEIR No. 339"); and WHEREAS, the City Council has approved eight addenda to address modifications to the Revised Platinum Triangle Expansion Project. In addition to the eight addenda that the Anaheim City Council has approved, two additional addenda are currently under preparation; and WHEREAS, Addendum No. 1 to FSEIR No. 339, dated April 2012 (“Addendum No. 1”) was adopted by the City Council in connection with the Katella Avenue/Interstate 5 Undercrossing Improvement Project, which included widening of Katella Avenue at the undercrossing with I-5 between Anaheim Way and Manchester Avenue and creating a fourth through lane of traffic in each direction of travel. Maintain dual left-turn pockets at both intersections; and WHEREAS, Addendum No. 2 to FSEIR No. 339, dated December 2012 (“Addendum No. 2”) was adopted by the City Council in connection with the development of a four-story wrap- style residential building with 399 dwelling units, a five-story parking structure, and a public park on a 7.01-acre parcel commonly known as 905-917 East Katella Avenue (“Platinum Gateway Project”). This project included amendments to the General Plan and the PTMLUP to increase the total number of dwelling units to 18,988 dwelling units, reduce the commercial square footage to 4,795,111 square feet, reduce the office square footage to 14,131,103 square feet, and maintain the same square footage for institutional uses at 1,500,000 square feet; and WHEREAS, Addendum No. 3 to FSEIR No. 339, dated August 2014 (“Addendum No. 4”) was adopted by the City Council in connection with the development of a five-story wrap - style residential apartment building with 389 units and a six-story parking structure on a 4.13-acre parcel commonly known as 1005-1105 East Katella Avenue (“Platinum Vista Project”). This project included amendments to the General Plan and the PTMLUP to allow up to 19,027 dwelling units, reduce the commercial square footage to 4,735,111 square feet, and maintain the same square footage of office uses and institutional uses at 14,131,103 square feet and 1,500,000 square feet respectively; and WHEREAS, Addendum No. 4 to FSEIR No. 339, dated October 2015 (“Addendum No. 5”) was adopted by the City Council in connection with the revisions to a master planned mixed- use project on a 43.1-acre property commonly known as 1404 East Katella Avenue to permit between 1,400 and 1,746 residential units, between 38,000 and 50,000 square feet of commercial uses, two public parks and a network of local streets ("A-Town Project"). This project amended the PTMU Overlay Zone to modify the requirement for ground floor commercial uses on Market Street, clarify that ground floor commercial uses are required on Gene Autry Way east of Union Street, and expand the size of the Gene Autry District from 33 acres to 43 acres as part of a revised - 5 - PC2022-062 project design for the A-Town Project located at State College Boulevard immediately north of Gene Autry Way; and WHEREAS, Addendum No. 5 to FSEIR No. 339, dated June 2016 (“Addendum No. 5”) was adopted by the City Council in connection with the development of a mixed-use community with 1,079 residential apartments (including 12 live/work units), 14,600 sf of retail uses, and a 1.11-acre public park on a 17.5-acre property located at the southwest corner of State College Boulevard and Gene Autry Way (“Jefferson Stadium Park Project”). This project included amendments to the General Plan and the PTMLUP to relocate and combine two park sites into one park site and designate previous park site to a mixed-use designation, reconfigure internal streets, and to reduce the allowable residential units to 18,909, increase the allowable commercial uses to 4,909,682 square feet, increase the allowable offices uses to 14,340,522 square feet, and maintain the allowable institutional uses at 1,500,000 square feet; and WHEREAS, Addendum No. 6 to FSEIR No. 339, dated September 2016 (“Addendum No. 6”) was adopted by the City Council in connection with the development of a mixed-use project with 405 dwelling units, 433,000 square feet of commercial uses, a 200-room hotel, and 77,000 square feet of office uses on a 14.8-acre property located on the northeast corner of Orangewood Avenue and State College Boulevard (“LT Platinum Center Project”). This project included amendments to the General Plan and the PTMLUP to revise the district boundaries to change the LT Platinum Center Project site from the Gateway District to the Stadium District and created three Sub-Areas for the Stadium District, including placing the Property into Sub-Area A and changed the allowable development intensity on the Project Site (Sub-Area A) to 5,175 dwelling units, 3,095,000 square feet commercial development, 2,832,300 square feet office development and stadiums with up to 119,543 seats. The Addendum also studied the modification of density provisions in the Platinum Triangle Area, designated for mixed-use land uses, to reduce the maximum dwelling units to 17,348 units, increase the maximum commercial uses to 4,782,243 square feet, reduce the maximum office space to 9,180,747 square feet, and remove the designation of a public park from the site. The Anaheim Traffic Analysis Model (ATAM) was updated as a result of the transfer of land use density and the General Plan Build-out Year traffic volumes were reanalyzed. The Platinum Triangle Improvement Plan was updated as a result of this analysis; and WHEREAS, Addendum No. 7 to FSEIR No. 339, dated March 2017 (“Addendum No. 7”) was adopted by the City Council in connection with the widening of Gene Autry Way from four lanes to six lanes with medians and storm drain and stormwater improvements; widening of the west side of State College Boulevard between the Gateway Office and Artisan Court to accommodate a southbound right-turn lane and a third through lane; making improvements to the east side of the intersection of State College Boulevard at Gene Autry Way, which is the west entrance to Angel Stadium; and constructing a new intersection on Gene Autry Way at Union Street to provide access to planned development areas; and WHEREAS, Addendum No. 8 to FSEIR No. 339, dated March 2018 (“Addendum No. 8) was adopted by the City Council in connection with the widening of Orangewood Avenue from State College Boulevard to Dupont Drive and from Dupont Drive to the Santa Ana River, respectively, from four lanes to six lanes with the addition of right-turn lanes. The project also included improvements on State College Boulevard between Orangewood Avenue and Artisan Court; and - 6 - PC2022-062 WHEREAS, The Zoning Code Section 18.20.200.020 requires that the City and the property owner to enter into a development agreement for development projects in the Platinum Triangle; and WHEREAS, the Purchase Agreement conditions the City’s agreement to sell the Property and the Developer’s agreement to purchase the Property on, among other things, a Disposition and Development Agreement (the “DDA”), to develop the Property not to exceed the development intensities authorized by PTMLUP, PTMU Overlay Zone, and SEIR No. 339, and to serve as the Code required development agreement for the development of the Property; and WHEREAS, on September 29, 2020, the City Council of City of Anaheim (the "City Council") approved Development Agreement No. 2020-00002 to provide for development of the project site with a mixed-use community consisting of up to 5,175 residential dwelling units, 1,750,000 square feet of commercial uses (including up to 943 hotel rooms and the City National Grove), 2,700,000 square feet of office uses, a 7-acre “Community Benefit Park”, private mini parks, a site for future development of a fire station, the retention and maintenance of the existing 45,500-seat Angel Stadium, with an option to replace the existing stadium with a replacement stadium of the same, or lesser, size and seating capacity and a Master Site Plan that provided the framework for future development of the project site as described in that certain Purchase and Sale Agreement entered into by the City and SRB Management Company, LLC; and WHEREAS, the Planning Commission of the City of Anaheim (the "Planning Commission") did receive a verified petition for Amendment No. 1 to Development Agreement No. 2020-00002 to implement the terms of the Stipulation for Entry of Judgment dated April 26, 2022, by and between the City of Anaheim and the People of the State of California for the development of the Property; and WHEREAS, Amendment No. 1 to Disposition and Development Agreement No. 2020- 00002 is proposed in conjunction with (i) Tentative Tract Map Mo. 19146 to permit the subdivision and redevelopment of the Angel Stadium of Anaheim property by creating lots for future mixed- use development areas, the stadium, public park sites, private street system, condominium air space for individual ownership of residential or commercial units and common ownership of associated landscape, private recreation, and parking and access drive areas; (ii) Conditional Use Permit No. 2021-06111 to permit the continued operation of the Angel Stadium of Anaheim property, including events within the stadium and on the property, sale and consumption of alcoholic beverages, and a coordinated sign program; and (iii) Conditional Use Permit No. 2021-06116 to permit the continued operation of the City National Grove of Anaheim, including concerts and events, sale and consumption of alcoholic beverages, and a coordinated sign program, herein collectively referred to as the "Proposed Project"; WHEREAS, pursuant to and in accordance with the provisions of the California Environmental Quality Act (Public Resources Code Section 21000 et seq.; herein referred to as “CEQA”), the State of California Guidelines for the Implementation of the California Environmental Quality Act (commencing with Section 15000 of Title 14 of the California Code of Regulations; herein referred to as the "CEQA Guidelines"), and the City's Local CEQA Procedure Manual, the City is the "lead agency" for the preparation and consideration of environmental documents for the Proposed Project; and - 7 - PC2022-062 WHEREAS, in conformance with CEQA and the City's Local CEQA Procedure Manual, the City prepared a Sustainable Communities Environmental Assessment (the “SCEA,” State Clearing House No. 2020079026) (California Public Resources Code [PRC] Code Section 21155.2 (b)) based on an Infill Project Checklist (PRC Section 21094.5 and State CEQA Guidelines Section 15183.3 and Appendices M and N) for the Proposed Project to evaluate the environmental impacts of the proposed project and determine that an Appendix N Initial Study Checklist in connection with SEIR No. 339 is the appropriate environmental documentation, and further determining that the project is in substantial conformance with the project which was previously analyzed under the SCEA. The document reviews the analysis in prior EIRs certified by the City for the Platinum Triangle area (“City prior EIRs” as that term is defined in the SCEA and as described in the Recitals set forth above) and the Southern California Association of Governments’ (“SCAG”) 2016-2040 Regional Transportation Plan/Sustainable Communities Strategy Program EIR (“RTP/SCS PEIR”) to determine if the proposed project would result in new project specific effects or a substantial increase in the severity of significant impacts identified in the City prior EIRs and RTP/SCS PEIR, and whether mitigation measures or uniformly applicable development policies would substantially mitigate these impacts. The SCEA is used to specifically analyze new project-specific effects or a substantial increase in the severity of significant impacts identified in the City prior EIRs and RTP/SCS PEIR that are not substantially mitigated by uniformly applicable development policies. The SCEA identifies previously approved mitigation measures that were required for previous entitlements; and WHEREAS, the SCEA concluded that the Proposed Project would not result in substantial revisions requiring recirculation or the need to prepare an environmental impact report; and WHEREAS, in conformance with CEQA and the CEQA Guidelines, a Mitigation Monitoring Plan was previously approved for the Previous Project (herein referred to as "Updated and Modified MMP No. 106D"). A complete copy of Updated and Modified MMP No. 106D is attached hereto as Exhibit B and incorporated herein by this reference; and WHEREAS, the City intends and desires to use the SCEA as the environmental documentation required by CEQA, the CEQA Guidelines and the City's Local CEQA Procedure Manual for the Proposed Project; and WHEREAS, the Planning Commission did hold a public hearing at the Anaheim Civic Center, Council Chamber, 200 South Anaheim Boulevard, on May 9, 2022, at 5:00 p.m., notice of said public hearing having been duly given as required by law and in accordance with the provisions of Chapter 18.60 of the Code, to hear consider the SCEA and to hear and consider evidence for and against the Proposed Project and related actions, and to investigate and make findings and recommendations in connection therewith; and WHEREAS, the Planning Commission, after due consideration, inspection, investigation and study made by itself, and after due consideration of, and based upon, all evidence and reports offered at said hearing with respect to Amendment No. 1 to Development Agreement No. 2020- 00002, does hereby find and determine that proposed Development Agreement Amendment meets all of the standards and requirements set forth in the Procedures Resolution, which was adopted by the City Council on November 23, 1982, that is: - 8 - PC2022-062 1. The Proposed Project is consistent with the General Plan and with the goals, policies, programs and objectives specified in the General Plan as the Proposed Project is a mixed-use development with residential, commercial (including hotels), office, and entertainment uses. The General Plan designates the project site for Mixed-Use Urban Core land uses, which provides for mix of residential, commercial, services, hotel and professional offices uses in a high-quality environment. The Proposed Project also supports the following General Plan goals: o Goal 2.1: Continue to provide a variety of quality housing opportunities to address the City’s diverse housing needs. o Goal 3.1: Pursue land uses along major corridors that enhance the City’s image and stimulate appropriate development at strategic locations. o Goal 3.2: Maximize development opportunities along transportation routes. o Goal 5.1: Create and enhance dynamic, identifiable places for the benefit of Anaheim residents, employees and visitors. o Goal 6.1: Enhance the quality of life and economic vitality in Anaheim through strategic infill development and revitalization of existing development. o Goal 7.1: Address the jobs-housing relationship by developing housing near job centers and transportation facilities; 2. The Proposed Project is compatible with the uses authorized in, and the regulations prescribed for, the applicable zoning district(s) in which the Project is and will be located as a mixed-use development is a permitted use within the PTMU Overlay Zone; 3. The Proposed Project is compatible with the orderly development of property in the surrounding area as the proposed project consists of a mixed-use development at a density that is consistent with the maximum density allowed for the Project Site and is compatible with the surrounding commercial, light industrial, and residential land uses in the vicinity; 4. The Proposed Project is not otherwise detrimental to the health and safety of the citizens of the City of Anaheim as it provides for additional public benefits such as a public park and affordable housing beyond that required by the Zoning Code, requiring labor agreements for certain types of projects, and, obtaining a commitment that the Angels will remain in the City until at least 2050; 5. The Project Site is physically suitable for the Proposed Project and density of development proposed under Amendment No. 1 to Disposition and Development Agreement No. 2020-00002, as the Proposed Project is within the maximum development densities allowed for the Project Site, as authorized by the PTMLUP, PTMU Overlay Zone, and City prior EIRs PTMLUP; 6. The Proposed Project is not likely to cause serious public health problems as all environmental impact has been analyzed by the SCEA; - 9 - PC2022-062 7. The Proposed Project constitutes a lawful, present exercise of the City’s police power and authority under, is entered into pursuant to, and is in compliance with the City’s charter powers, the requirements of Section 65867 of California Government Code and the Procedures Resolution; and WHEREAS, the Planning Commission determines that the evidence in the record constitutes substantial evidence to support the actions taken and the findings made in this Resolution, that the facts stated in this Resolution are supported by substantial evidence in the record, including testimony received at the public hearing, the staff presentations, the staff report and all materials in the project files. There is no substantial evidence, nor are there other facts, that negate the findings made in this Resolution. The Planning Commission expressly declares that it considered all evidence presented and reached these findings after due consideration of all evidence presented to it. NOW, BE IT FURTHER RESOLVED that, based upon the aforesaid findings and determinations, the Planning Commission does hereby recommend that the City Council approve Amendment No. 1 to Development Agreement No. 2020-00002, contingent upon and subject to the approval of (1) Tentative Tract Map No. 19146; (2) Conditional Use Permit No. 2021-06111; (3) Conditional Use Permit No. 2021-06116, now pending, are hereby found to be a necessary prerequisite to the proposed use of the Property in order to preserve the health, safety and general welfare of the citizens of the City of Anaheim. Should any such condition, or any part thereof, be declared invalid or unenforceable by the final judgment of any court of competent jurisdiction, then this Resolution, and any approvals herein contained, shall be deemed null and void. - 12 - PC2022-062