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HomeMy WebLinkAbout20A - LAND CONVERSIONREQUEST FOR COUNCIL ACTION CITY COUNCIL MEETING DATE: FEBRUARY 7, 2011 TITLE: REIMBURSEMENT AGREEMENT WITH RANCHO SANTIAGO COMMUNITY COLLEGE DISTRICT FOR LAND CONVERSION REQUIREMENT BY THE NATIONAL PARK SERVICE i I MANAGER RECOMMENDED ACTION CLERK OF COUNCIL USE ONLY: APPROVED As Recommended As Amended Ordinance on 1 s` Reading Ordinance on 2"d Reading Implementing Resolution Set Public Hearing For CONTINUED TO FILE NUMBER Direct the City Attorney to prepare and authorize the City Manager and the Clerk of the Council to execute a reimbursement agreement with the Rancho Santiago Community College District for a land conversion requirement by the National Park Service in an amount not to exceed $300,000, subject to non-substantive changes approved by the City Manager and City Attorney. 2. Approve an appropriation adjustment recognizing $300,000 in the Park Acquisition and Development revenue account (no. 30113002-57304) and appropriate same to the Park Acquisition and Development expenditure account (no. 30113260-various). DISCUSSION The Rancho Santiago Community College District is proposing to construct a 2 story classroom building in the Career Education Center (2.6 acres) at Centennial Park. Centennial Park was obtained from the Federal Government for recreation purposes and the deed conditions require approval from the National Park Service (NPS) for any improvements at the park site. NPS indicated the college improvements are not for recreational purposes and provided an option of a Land Conversion to transfer the deed restriction to a new park site at McFadden/Orange (1 .4 acres). In order to assess equal recreational value of the land conversion, the NPS is requesting the following documents be provided before a final decision/approval is granted: 1) An appraisal report on both properties, 2) a recreation value report, 3) a soils analysis of the new park site, 4) an environmental assessment, and 5) a legal description/title search of the new site. The City has requested the College pay for all the above requirements in addition to soils compaction/grading of the new park site. 20A-1 Reimbursement Agreement with RSCCD February 7, 2011 Page 1 of 2 The College agreed to pay for the actual cost of these reports and park improvements with no guarantee that the NPS will approve the land conversion. Assuming the NPS will approve the land conversion, the College has also agreed to reimburse the Community Development Agency ($280,000) for one of the parcels. On January 18, 2011 the Rancho Santiago Community College District Board of Trustees approved the reimbursement agreement for the land conversion analysis as required by the National Park Service. FISCAL IMPACT This appropriation adjustment will recognize $300,000 in the Park Acquisition and Development revenue account (no. 30113002-57304) and appropriate same to the Park Acquisition and Development expenditure account (no. 30113260-various) for reports provided to the National Park Service and reimbursed by the Rancho Santiago Community College District. APPROVED AS TO FUNDS AND ACCOUNTS= Gerardo Mouet/ Executive Director Parks, Recreation and Community Services Agency Francisco Gutierrez Executive Director Finance & Mgmt Services Agency 20A-2 REIMBURSEMENT AGREEMENT FOR CENTENNIAL EDUCATION CENTER IMPROVEMENTS THIS AGREEMENT, made and entered into this day of 2011, by and between Rancho Santiago Community College District, a public school district duly organized and existing under Chapter 1 of Division 3 of Title 2 of the California Education Code (hereinafter "District"), and the City of Santa Ana, a charter city and municipal corporation, organized and existing under the Constitution and laws of the State of California (hereinafter "City"). RECITALS A. The City owns Centennial Park (the "Park") in the City of Santa Ana. B. The City acquired the Park from the US Government burdened by certain use restrictions imposed in the deed to the Park ("Use Restrictions"). The National Park Service ("NPS") is charged with interpreting and enforcing the Use Restrictions. C. In 1979, the City licensed approximately 2.6 acres within the Park to the District (the "License Area") to operate to build and operate a facility which was approved by the NPS and found consistent with the Use Restrictions. D. The parties have determined that it would be in both parties interest to convert the License to a long- term lease to permit the District to make substantial improvements to its facilities. E. NPS has notified the City and the District that the Use Restrictions necessitate their removal from the License Area. F. NPS has expressed a willingness to release the Use Restrictions from the License Area provided the City substitute property elsewhere in the City to be burdened by the Use Restrictions. G. The City has identified approximately 1.4 acres of vacant property owned by the Santa Ana Community Redevelopment Agency (the "Agency") which the City and the District wish to evaluate for submittal to the NPS for approval (the "Replacement Property"). H. The NPS has established criteria necessary for approval of the Replacement Property ("Evaluation Criteria Study"). I. The District is willing to reimburse the City for any actual costs necessary for the NPS Evaluation Criteria Study and for soil compaction and grading of the proposed Replacement Property. WHEREFORE, the parties hereto, in consideration of the mutual promises and covenants hereinafter set forth, do agree as follows: 1. City agrees to initiate and pursue the Evaluation Criteria Study in consideration for District's obligations set forth in this Agreement. 2. District agrees to cooperate and with the City in that the Evaluation Criteria Study and to reimburse the City for its costs at such times and in such amounts as set forth in this Agreement. 20A-3 3. The scope of the Evaluation Criteria Study shall be based upon, and shall contain the information or materials set forth in Exhibit A. 4. The estimated cost of the Evaluation Criteria Study is set forth in Exhibit A-1 to this Agreement. Notwithstanding the foregoing, the District's reimbursement obligation shall be the actual costs for the categories set forth in Exhibit A-1. Additionally, the Executive Director of the Parks, Recreation and Community Services Agency ("Executive Director") and District's Vice Chancellor Business Operations/Fiscal Services ("District Official"), or their designees, are hereby authorized to add any additional categories of expense if so required by the NPS, provided the total reimbursement obligation of the District shall not exceed $300,000 without writing approval by the City Council and District's governing board. 5. Payment by District shall be made within thirty (30) days of receipt of City's payment request based on invoices received by City from its Consultants for the required services as set forth in Exhibit A-1. 6. This Agreement shall commence on the date first written above and terminate on November 5, 2014. The term of this Agreement may be extended upon written execution of an extension to the Agreement by the Executive Director and District Official. 7. The City and the District shall indemnify, defend and hold each other, their respective officers, agents and employees harmless from any expense, liability or claim for death, injury, loss, damage or expense to persons or property which may arise or is claimed to have arisen pursuant to this Agreement where such expense, liability or claim is proximately caused in whole or in part by any act, omission or negligence of the other, or its officers, agents or employees. 8. Any notice or other written instrument required or permitted by this Agreement shall be deemed received when personally served or two (2) business days after being deposited in the U.S. Mail, postage prepaid, registered or certified and addressed as follows: DISTRICT: Rancho Santiago Community College District Vice Chancellor Business Operations/Fiscal Services 2323 N. Broadway Santa Ana, CA 92706-1640 CITY: City of Santa Ana 20 Civic Center Plaza (M-30) P.O. Box 1988 Santa Ana, CA 92702 Attn: Clerk of the Council A party may change its address by giving notice in writing to the other party. Thereafter any communication shall be addressed and transmitted to the new address, If sent by mail, communication shall be effective or deemed to have been given three (3) days after it has been deposited in the United States mail, duly registered or certified, with postage prepaid, and addressed as set forth above. If sent by telefacsimile, 2 20A-4 communication shall be effective or deemed to have been given twenty-four (24) hours after the time set forth on the transmission report issued by the transmitting facsimile machine, addressed as set forth above. For purposes of calculating these time frames, weekends, federal, state, County or City holidays shall be excluded. 9. This Agreement constitutes the entire Agreement between City and District, and supersedes any and all other agreements, oral or written, between the parties. This Agreement may only be modified in writing signed by both parties. 1 O. This Agreement and all questions relating to its validity, interpretation, performance, and enforcement shall be governed and construed in accordance with the laws of the State of California. Both parties further agree that Orange County, California, shall be the venue for any action or proceeding that may be brought or arise out of, in connection with or by reason of this Agreement. IN WITNESS WHEREOF, the parties hereto have entered into this Agreement on the date first written above. CITY OF SANTA ANA sy DAVID N. REAM City Manager ATTEST: By MARIA D. HUIZAR Clerk of the Council APPROVED AS TO FORM: Laura Sheedy, Assistant City Attorney APPROVED AS TO CONTENT: GERARDO MOUET Executive Director -Parks, Recreation 8i Community Services Agency RANCHO SANTIAGO COMMi7NITY COLLEGE DISTRICT By PETER J. HARDASH Vice Chancellor Business Operations/ Fiscal Services 20A-5 20A-6 Exhibit A Study Criteria and Standards A. Properly authenticated documents shall be provided by the City evidencing its desire to substitute land of equivalent fair market and recreational value. B. Appraisal reports must be prepared for all parcels. Replacement property must be of at least equal fair market value and recreational utility and cannot have been previously used as a public pazk, and if already owned by the City, it must not have been purchased for the purpose of making it a public pazk. The appraisals must be reviewed and accepted by GSA (or the military, if it is a BRAC disposal property) and NPS, and must be done according to Uniform Appraisal Standards for Federal Land Acquisitions; C. Justification including assessment of public recreational utility of the land proposed for exchange and its replacement. In general, the replacement property must provide greater public pazk and recreational utility than the parcel you would like to use for another purpose. This analysis should include an assessment of public need and demographics, similaz to that provided in the original public benefit application. It should also reference City, State or other local comprehensive outdoor recreation plans in its statement of need; D. Environmental assessment of substitute property indicating it is environmentally safe and not latently contaminated. E. Assessment of environmental effects of proposed release of pazk and recreation use covenants on former surplus property. A public process and environmental impact analysis must be conducted by the City - at least equivalent to an Environmental Assessment under the National Environmental Policy Act, and an Environmental Impact Statement if indicated by the EA. F. A copy of the State, city, or county recreation map or plan showing the present park land in relationship to the proposed substitute land. G. A copy of the legal description, the Program of Utilization, and a development schedule for each property proposed for substitution. H. An official acknowledgement of willingness to apply, in perpetuity, to the new property, all restrictions contained in the deed of conveyance of the surplus property 4 20A-7 20A-8 EXHIBIT A-1 TASKS NEEDED FOR NPS FINAL DECISION # TASK COST 1 Appraisal Report for both properties by NPS acce table a raiser 8,000 2 Recreation Value Report TBD 3 Soils Analysis 50 000 4 Environmental Assessment (EIS) 120,000 5 Legal Description &c Title Search 5,000 6 Soil Compaction 8c Grading 80,000 TOTAL $263,000 20A-9 20A-10