A legal settlement may strip control over city projects from Civic San Diego, the agency responsible for planning and development in downtown and southeastern San Diego.
The lawsuit against Civic San Diego claims developers weren't held accountable on big city projects. The city denies that but says the settlement is a positive step forward for future projects.
Former Civic board member Murtaza Baxamusa, sued the agency in 2015 arguing it failed to watchdog projects and was too close with developers.
According to the settlement, Civic San Diego forfeits control of planning and permitting downtown projects as well as control over the downtown parking district.
Civic San Diego was formed in 2012. The organization oversaw permits and construction of many projects including Alpha Square for the neediest in the homeless community. Hotel Churchill at 9th and C-streets also the affordable housing project known as Atmosphere.
Civic San Diego was credited for streamlining these projects and getting quick approvals.
In an emailed statement city spokesperson Katie Keach tells NBC7, "We're pleased with this tentative settlement agreement which will elevate the planning and permitting services the City provides to our urban neighborhoods. This agreement will enhance our efforts to tackle the housing crisis, create jobs, and improve the quality of life in our communities."