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HomeMy WebLinkAbout80A - JOINT PH - ACQUISITION AND SALE 602 N GARFIELD AND 809-11 AND 902 BROWN STREQUEST FOR COUNCIL/ AGENCY ACTION MEETING DATE: DECEMBER 20, 2010 TITLE: JOINT PUBLIC HEARING -AGREEMENTS FOR ACQUISITION AND SALE OF REAL PROPERTY AND ESCROW INSTRUCTIONS FOR 602 N. GARFIELD AVENUE AND 809-11 AND 902 BROWN STREET 91.,k CITY MANAGER E) ECUTIVE ' IRECTOR RECOMMENDED ACTION CITY COUNCIL CLERK OF COUNCIL USE ONLY: APPROVED ? As Recommended ? As Amended ? Ordinance on 1st Reading ? Ordinance on 2nd Reading ? Implementing Resolution ? Set Public Hearing For CONTINUED TO FILE NUMBER 1. Adopt a resolution making certain findings with respect to the consideration to be received by the Community Redevelopment Agency pursuant to a Purchase and Sale Agreement between the Agency and the City for the sale of various properties: 602 N. Garfield Avenue and 809-11 Brown Street (APNs 398-312-10 & 11) and 902 Brown Street (APN 398-315-01). 2. Authorize the City Manager to execute all required documents for the acquisition of real property from the Santa Ana Community Redevelopment Agency located at 602 N. Garfield Avenue and 809-11 Brown Street (APNs 398-312-10 & 11) in the amount of $150,000, and 902 Brown Street (APN 398-315-01) for the amount of $95,000, plus normal closing costs and escrow fees. COMMUNITY REDEVELOPMENT AGENCY Adopt a resolution authorizing the sale of Agency-owned property located at 602 N. Garfield Avenue and 809-11 Brown Street (APNs 398-312-10 & 11) and 902 Brown Street (APN 398-315- 01) to the City of Santa Ana and authorizing the Executive Director to execute all required documents. DISCUSSION During the course of its regular activities, the Community Redevelopment Agency acquired a number of properties for residential development in what is now known as the Station District. The 8OA-1 Joint Public Hearing - Sale of Agency Owned Property December 20, 2010 Page 2 subject properties, located in the Lacy neighborhood at 602 N. Garfield Avenue, and 809-11 and 902 Brown Street, are situated adjacent to Garfield Elementary School (Exhibit 1). It was determined during community outreach efforts with area residents and the Santa Ana Unified School District that the properties were better suited for open space uses to serve the neighborhood. Specifically, the properties at 602 N. Garfield Avenue and 809-11 Brown Street have been identified as a site for a public parking lot to service community/open space uses, and the 902 Brown Street property is proposed to be developed as a neighborhood-serving open space/park use. The design of the parking lot is underway. With respect to the open space lot, sometimes referred to as the "tot lot," its design is yet to be determined. Recent community meetings have been held to generate input on the use of the lot as well as the community center; however, the priority at this time is finalizing the design, construction and joint use arrangements for the community center. This action only facilitates transfer of ownership from the Agency to the City. Future actions will address any construction on the properties. Under the proposed purchase agreements, the Agency-owned properties will be purchased by the City utilizing Community Development Block Grant (CDBG) funds. The properties are all currently vacant and are being sold to the City for the appraised fair market value. ENVIRONMENTAL COMPLIANCE In accordance with the National Environmental Policy Act, a certification of Categorical Exclusion and Statutory Worksheet has been prepared due to the use of Federal funds. In accordance with the California Environmental Quality Act, this project is exempt from further review. A Categorical Exemption has been filed for this project finding that it is exempt pursuant to California Code of Regulations, Title 14, Division 6, Chapter 3, Sections 15303, 15305 and 15332. This action results in only minor alterations in land use limitations which do not result in any changes in land use or density, is consistent with the applicable general plan and zoning designation, is adequately served by public services, and because there is a transfer of title only, will not result in any significant effects relating to traffic, noise, air quality, or water quality. Any future development will be limited to construction of small structures or facililites such as public parking and recreation/playground improvements. 8OA-2 Joint Public Hearing - Sale of Agency Owned Property December 20, 2010 Page 3 FISCAL IMPACT Funds to purchase the properties are available it account (no. 13518783-66100). Proceeds from 1 will be deposited in the Agency's Merged Housing Shelly LL ndry-Bayl Housing Manager Community Development Agency the Community Development Block Grant Fund ie sale of the property to the City of Santa Ana Fund account (no. 50718002-58500). APPROVED AS TO FUNDS AND ACCOUNTS: y 1 \ ?. % TQhCl1 t? . 10, P . ? _ Francisco Gutierrez Executive Director Finance & Management Services Agency CJN/SG/mlr Exhibit: 1. Map 2. Council Resolution 3. CRA Resolution 8OA-3 8OA-4 0 ZJ, F? c v 'ILI s = p V S Z 7 S P 'c9 SPNZP PN s 6TH S T. 1 ]IT- STH S T. ? r w ?+ J ~ O Z O g ? 1711a 4TH S T. r 5 3RD ST. ? N a w - a w ? m F7 0 809-811 Brown St. © 902 Brown St. © 602 N. Garfield St. EXHIBIT 1 8OA-5 8OA-6 12/9/10 LES RESOLUTION NO. 2010- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA APPROVING THE SALE OF AGENCY OWNED PROPERTY LOCATED AT 602 N. GARFIELD AVENUE, 809- 811 BROWN STREET AND 902 BROWN STREET; AUTHORIZING THE CITY MANAGER TO EXECUTE DOCUMENTS AS NECESSARY; AND MAKING CERTAIN FINDINGS WITH RESPECT THERETO, ON BEHALF OF THE CITY BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SANTA ANA AS FOLLOWS: Section 1. The City Council of the City of Santa Ana hereby, finds, determines and declares as follows: A. Pursuant to Sections 33334.2(a) and 33334.6(c) of the California Community Redevelopment Law (California Health and Safety Code Section 33000 et seg.) not less than 20 percent of all taxes which are allocated to the Community Redevelopment Agency of the City of Santa Ana ("Agency") are set aside by the Agency in a Low- Moderate-Income Housing Fund and used by the Agency for the purpose of increasing, improving and preserving the community's supply of low and moderate housing available at affordable housing costs to persons and families of low- and moderate-income, including very-low- income persons. B. During the course of its regular activities, the Agency has purchased a number of properties for residential development in what is now known as the Station District, including the vacant properties located at 602 N. Garfield Avenue, 809-811 Brown Street, and 902 Brown Street (the "Properties"). The Properties are situated adjacent to Garfield Elementary School. C. During community outreach efforts, it was determined that the Properties were better suited for open space/public uses to serve the neighborhood, with the final design yet to be determined (the "Project"). D. California Community Redevelopment law (Health and Safety Code section 33433) requires that before any Agency owned property, acquired in whole or in part with tax increment moneys, is sold for development, the sale must first be approved by the legislative body by resolution after a public hearing. E. The Agency proposes to sell the Property to the City of Santa Ana at the current appraised fair market value, pursuant to the terms and provisions of Purchase/Sale Agreement(s) (hereinafter referred to as the "Agreements"). The City will be utilizing Community Development Block Grant (CDBG) funds to purchase the Properties. F. Grant funds under the CDBG program must be used for eligible activities, per Title 24 CFR 570.201, in which the end use meets a U.S. Department of Housing and Urban 8OA-7 Development national objective, per Title 24 CFR 570.208. The City has made the determination that the use of CDBG funds under this resolution has met these requirements. G. The City has duly considered all of the terms and conditions of the proposed purchase, and believes that the proposed purchase is in the best interests of the City and the health, safety, morals and welfare of its residents, and in accord with the public purpose and provisions of applicable state and local laws and requirements. H. The City and Agency held a public hearing on the proposed Project and the Agreements as required by Section 33433 of the Community Redevelopment Law, after having duly provided notice of such public hearing in accordance with state law. 1. In accordance with the National Environmental Policy Act (NEPA), a Categorical Exclusion and Statutory Worksheet has been prepared due to the application of federal funds by the City for the purchase price. J. In accordance with the California Environmental Quality Act (CEQA), this project is exempt from further review. A Categorical Exemption has been filed for this project finding that it is exempt pursuant to California Code of Regulations, Title 14, Division 6, Chapter 3, Sections 15303, 15305 and 15332. This action results in minor alterations in land use limitations which do not result in any changes in land use or density, is consistent with the applicable general plan and zoning designation, is adequately served by public services, and because there is a transfer of title only, will not result in any significant effects relating to traffic, noise, air quality, or water quality. Any future development will be limited to construction of small structures or facilities such as public parking and recreation/playground improvements. K. The City hereby finds that the purchase of the Properties will assist in the elimination of blight and is consistent with the adopted implementation plan. L. The City hereby finds and determines that the information set forth herein is true and correct. M . The City hereby approves the purchase of the Properties. Section 2. The City Manager or his/her designee is hereby authorized, on behalf of the City, to execute such documents that are to be signed by the City in connection with the purchase, and to make such changes of a non-substantive nature to such documents as the City Manager shall deem appropriate. A copy of any such documents, when executed, shall be placed on file in the office of the Clerk of the Council. Section 3. The City Manager is hereby authorized, on behalf of the City, to sign all documents necessary and appropriate to carry out and implement the purchase and to administer the City's obligations, responsibilities and duties to be performed. Section 4. Proceeds of the sale of said Properties to the City shall be deposited into the Agency's Low-Moderate-Income Housing Fund. 2 8OA-8 Section 5. The Clerk of the Council shall attest to and certify the vote adopting this Resolution. ADOPTED this day of , 2010. Miguel A. Pulido Mayor APPROVED AS TO FORM: Joseph W. Fletcher, City Attorney By: Lisa E. Storck Assistant City Attorney AYES: Councilmembers: NOES: Councilmembers: ABSTAIN: Councilmembers: NOT PRESENT: Councilmembers: CERTIFICATION OF ATTESTATION AND ORIGINALITY I, MARIA D. HUIZAR, Clerk of Council, do hereby attest to and certify the attached Resolution No. 2010- to be the original resolution adopted by the City Council of the City of Santa Ana on Date: Clerk of Council City of Santa Ana 3 8OA-9 8OA-10 12/9/10 LES RESOLUTION NO. 2010- A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY FOR THE CITY OF SANTA ANA APPROVING THE SALE OF AGENCY OWNED PROPERTY LOCATED AT 602 N. GARFIELD AVENUE, 809-811 BROWN STREET AND 902 BROWN STREET; AUTHORIZING THE EXECUTIVE DIRECTOR TO EXECUTE DOCUMENTS AS NECESSARY; AND MAKING CERTAIN FINDINGS WITH RESPECT THERETO, ON BEHALF OF THE AGENCY BE IT RESOLVED BY THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AS FOLLOWS: Section 1. The Board of the Community Redevelopment Agency of the City of Santa Ana hereby finds, determines, and declares as follows: A. Pursuant to Sections 33334.2(a) and 33334.6(c) of the California Community Redevelopment Law (California Health and Safety Code Section 33000 et seq.) not less than 20 percent of all taxes which are allocated to the Community Redevelopment Agency of the City of Santa Ana ("Agency") are set aside by the Agency in a Low- Moderate-Income Housing Fund and used by the Agency for the purpose of increasing, improving and preserving the community's supply of low and moderate housing available at affordable housing costs to persons and families of low- and moderate-income, including very-low- income persons. B. During the course of its regular activities, the Agency has purchased a number of properties for residential development in what is now known as the Station District, including the vacant properties located at 602 N. Garfield Avenue, 809-811 Brown Street, and 902 Brown Street (the "Properties"). The Properties are situated adjacent to Garfield Elementary School. C. During community outreach efforts, it was determined that the Properties were better suited for open space/public uses to serve the neighborhood, with final design yet to be determined (the "Project"). D. California Community Redevelopment law (Health and Safety Code section 33433) requires that before any Agency owned property, acquired in whole or in part with tax increment moneys, is sold for development, the sale must first be approved by the legislative body by resolution after a public hearing. E. The Agency proposes to sell the Property to the City of Santa Ana at the current appraised fair market value, pursuant to the terms and provisions of Purchase/Sale Agreement(s) (hereinafter referred to as the "Agreements"). The City will be utilizing Community Development Block Grant (CDBG) funds to purchase the Properties. F. Grant funds under the CDBG program must be used for eligible activities, per Title 24 CFR 570.201, in which the end use meets a U.S. Department of Housing and Urban 8OA-11 Development national objective, per Title 24 CFR 570.208. The City has made the determination that the use of CDBG funds under this resolution has met these requirements. G. The Agency has duly considered all of the terms and conditions of the proposed sale, and believes that the proposed sale is in the best interests of the City and the health, safety, morals and welfare of its residents, and in accord with the public purpose and provisions of applicable state and local laws and requirements. H. The Agency and City held a public hearing on the proposed Project and the Agreements as required by Section 33433 of the Community Redevelopment Law, after having duly provided notice of such public hearing in accordance with state law. 1. In accordance with the National Environmental Policy Act (NEPA), a Categorical Exclusion and Statutory Worksheet has been prepared due to the application of federal funds by the City for the purchase price. J. In accordance with the California Environmental Quality Act (CEQA), this project is exempt from further review. A Categorical Exemption has been filed for this project finding that it is exempt pursuant to California Code of Regulations, Title 14, Division 6, Chapter 3, Sections 15303, 15305 and 15332. This action results in minor alterations in land use limitations which do not result in any changes in land use or density, is consistent with the applicable general plan and zoning designation, is adequately served by public services, and because there is a transfer of title only, will not result in any significant effects relating to traffic, noise, air quality, or water quality. Any future development will be limited to construction of small structures or facilities such as public parking and recreation/playground improvements. K. The Agency hereby finds that the sale of the Properties will assist in the elimination of blight and is consistent with the adopted implementation plan. L. The Agency hereby finds and determines that the information set forth herein is true and correct. M . The Agency hereby approves the sale of the Properties to the City. Section 2. The Executive Director or her/his designee is hereby authorized, on behalf of the Agency, to execute such documents that are to be signed by the Agency in connection with the sale, and to make such changes of a non-substantive nature to such documents as the Executive Director shall deem appropriate. Section 3. The Executive Director is hereby authorized, on behalf of the Agency, to sign all documents necessary and appropriate to carry out and implement the sale and to administer the Agency's obligations, responsibilities and duties to be performed. Section 4. Proceeds of the sale of said Properties to the City shall be deposited into the Agency's Low-Moderate Income Housing Fund. Section 5. The Secretary for the Agency shall attest to and certify the vote adopting this Resolution. 2 8OA-12 ADOPTED this day of , 2010. Miguel A. Pulido Chair APPROVED AS TO FORM: Joseph W. Fletcher, Agency General Counsel By Lisa E. Storck Assistant Counsel AYES Boardmembers: NOES: Boardmembers: ABSTAIN: Boardmembers: NOT PRESENT: Boardmembers: CERTIFICATION OF ATTESTATION AND ORIGINALITY I, MARIA D. HUIZAR, Secretary of the Community Redevelopment Agency, do hereby attest to and certify the attached Resolution No. 2010- to be the original resolution adopted by the Community Redevelopment Agency of the City of Santa Ana on 2010. Date Secretary, Community Redevelopment Agency City of Santa Ana 8OA-13 8OA-14