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HomeMy WebLinkAbout55A - RESO - HISTORIC PROPERTY FEESREQUEST FOR COUNCIL ACTION CITY COUNCIL MEETING DATE: MAY 16, 2017 TITLE: HISTORIC PROPERTY PRESERVATION AGREEMENT FEE REDUCTION AND PRIVATE PARTY NOMINATION TO SANTA ANA REGISTER OF HISTORICAL PROPERTIES FEE WAIVER (STRATEGIC PLAN NOS. 6, 2,3) LCITY—MANA61EIR RECOMMENDED ACTION CLERK OF COUNCIL USE ONLY: APPROVED ❑ As Recommended ❑ As Amended ❑ Ordinance on 1" Reading ❑ Ordinance on 2otl Reading ❑ Implementing Resolution ❑ Set Public Hearing For CONTINUED TO FILE NUMBER Adopt a resolution to extend the reduction of the fee to enter into a Historic Property Preservation Agreement (Mills Act Agreement) by 50 percent and waive the application fee for the private party nominations of properties to the Santa Ana Register of Historical Properties for an additional two year period. HISTORIC RESOURCES COMMISSION ACTION On April 20, 2017, the Historic Resources Commission recommended by a vote of 7:0 (Murashie absent) that the City Council authorize the reduction of fees for Historic Property Preservation Agreement (Mills Act Agreement) by 50 percent and waive the application fee for private party nominations of properties to the Santa Ana Register of Historical Properties for an additional two year period (Exhibit A). DISCUSSION In March 2009, the City Council adopted a 100 percent full cost recovery policy for fees. This resulted in a fee of almost $9,000 to designate a property to the city's historical register and to obtain a Mills Act Agreement to allow a property tax incentive. In September 2014, the City Council adopted Resolution No. 2014 -050 to temporarily reduce fees for a Historic Property Preservation Agreement by 50 percent and waive the fee for private party nominations of properties to the Santa Ana Register of Historical Properties. The fee reduction program was approved for a period of one year and was intended to encourage and promote historic preservation. In August 2015, the City Council adopted Resolution No. 2015- 039 to extend the fee reduction program until August 4, 2017. With the implementation of the fee reduction program, 46 applications were processed in 2014, 26 in 2015, and 29 in 2016. 55A -1 Mills Act Fee Reduction/Waiver Program Extension — May 16, 2017 Page 2 STRATEGIC PLAN ALIGNMENT Approval of this item supports the City's efforts to meet Goal #5 - Community Health, Livability, Engagement & Sustainability, Objective #2 (expand opportunities for conservation and environmental sustainability) and Objective #3 (facilitate diverse housing opportunities and support efforts to preserve and improve the livability of Santa Ana neighborhoods). FISCAL IMPACT If approved, the application for Historic Property Preservation Agreement will continue to be 50% of the annually adjusted fee, which is $2,128.70 for Fiscal Year 2017 -18, and the application for - historic designation will continue to be waived. Based on the number of applications received in. Fiscal Year 2016 -2017, the estimated revenue loss per year is $115,889.10. Hassan Hag ni, A Executive Director Planning & Building Agency HS:rb hs \historic info \042017 HRCTeeWaiver & Reduction.cc APPROVED AS TO FUNDS AND ACCOUNTS: Francisco Gutierrez Executive Director 6CA Finance & Management Services Agency Exhibit: A. Historic Resources Commission Staff Report B. Resolution 55A -2 REQUEST FOR HISTORIC RESOURCES COMMISSION ACTION HSTORIC DATE APRIL 20, 2017 TITLE: HISTORIC PROPERTY PRESERVATION � AGREEMENT FEE REDUCTION AND PRIVATE PARTY NOMINATION TO SANTA ANA REGISTER OF HISTORICAL PROPERTIES FEE WAIVER {STRATEGIC PLAN NOS. 5,2; 5,3) Prepared by Hally Soboleske ecutive irector iIi lto]:7 relN:.". ell1 00 :YMG;i41i41�*iPPKx01 :7g0:�I APPROVED ❑ As Recommended ❑ As Amended ❑ Set Public Hearing For CONTINUED TO Planning Mana er Recommended that the City Council adopt a resolution to extend the reduction of the fee to enter into a Historic Property Preservation Agreement (Mills Act Agreement) by 50 percent and waive the application fee for the private party nominations of properties to the Santa Ana Register of Historical Properties for an additional two year period. DISCUSSION In March 2009, the City Council adopted a 100 percent full cost recovery policy for fees. This resulted in a fee of almost $9,000 to designate a property to the city's historical register and to obtain a Mills Act Agreement to allow a property tax incentive. In September 2014, the City Council adopted Resolution No. 2014 -050 to temporarily reduce fees for a Historic Property Preservation Agreement by 50 percent and waive the fee for private party nominations of properties to the Santa Ana Register of Historical Properties. The fee reduction program was approved for a period of one year and was intended to encourage and promote historic preservation. In August 2015, City Council adopted Resolution No. 2015 -039 to extend the fee reduction program until August 4, 2017. With the implementation of the fee reduction program, 46 applications were processed in 2014, 26 in 2015 and 29 in 2016. STRATEGIC PLAN ALIGNMENT Approval of this item supports the City's efforts to meet Goal No. 5 Community Health, Livability, Engagement & Sustainability, Objective No. 2 (expand opportunities for conservation and environmental sustainability) and Objective No. 3 (facilitate diverse housing opportunities and support efforts to preserve and improve the livability of Santa Ana neighborhoods). EXHIBIT A 55A -3 Fee ReductionMaiver Program Extension April 20, 2017 Page 2 FISCAL IMPACT If approved, the application for a Historic Property Preservation Agreement will continue to be one - half of the current annually adjusted fee, which is $2,507.53 for Fiscal Year 2017 -18, and the application for historic designation will continue to be waived. r Hally Sobcd#ske Senior Planner HS:sb Exhibit 1 - Draft Resolution 55A -4 3.13.17 LS RESOLUTION NO.2017 -XXX A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA AUTHORIZING THE EXTENSION OF A WAIVER OF THE APPLICATION FEE FOR THE PRIVATE PARTY NOMINATIONS OF PROPERTIES TO THE SANTA ANA REGISTER OF HISTORICAL PROPERTIES AND MODIFICATION OF MILLS ACT AGREEMENT FEES 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. In March 2009, the City Council adopted a 100% full recovery policy for fees. This resulted in a fee of almost $9,000 to designate a property to the City's historic register and to obtain a Mills Act Agreement to allow a property tax incentive. B. In September of 2014, the City Council adopted Resolution No. 2014 -050 to temporarily reduce fees for a Historic Property Preservation Agreement by 50 %, or $2,011.23, and waived the $5,015.05 fee for private party nominations of properties to the Santa Ana Register of Historical Properties. The fee amendments were approved for a period of one (1) year and were intended to encourage and promote historic preservation. C. Language within Resolution No. 2014 -050 provided the City Council with the option to extend the fee waiver for two (2) additional years. D. In August of 2015, City Council adopted Resolution No. 2015 -039 to extend the fee reduction program for two (2) additional years. E. The extension approved by the City Council in 2015 expires on August 4, 2017. F. On April 20, 2017, the Historic Preservation Commission adopted a resolution supporting continuation of the existing fee waiver structure which waives the designation application fee and reduces by 50% the application fee for a Mills Act contract. G. Due to the success and increased participation in the Historic Preservation Program, staff is recommending that the City Council affirm the recommendation of the Historic Resources Commission and extend the fee waiver program for two (2) additional years. Resolution No. 2017 -xxx Exhibit ® Page 1 of 3 55A -5 Section 2. The City Council hereby extends the waiver of the full amount of the new application fee for the private party nominations of properties to the Santa Ana Register of Historical Properties for the additional two (2) year period commencing upon the date of adoption of this Resolution. Additionally, the City Council hereby extends the reduction of the fee to enter into a Mills Act Agreement by 50% for an additional two (2) year period commencing upon the date of adoption of this Resolution. Section 3. This resolution shall take effect immediately upon its adoption by the City Council and the Clerk of the Council shall attest to and certify the vote adopting this Resolution. ADOPTED this day of 12017. APPROVED AS TO FORM: Sonia P-)C,anralho, City Attorney Attorney AYES: Councilmembers NOES: Councilmembers ABSTAIN: Councilmembers NOT PRESENT: Councilmembers Miguel A. Pulido Mayor 'P�PM Resolution No. 2017 -xxx Page 2 of 3 CERTIFICATE OF ATTESTATION AND ORIGINALITY I, MARIA D. HUIZAR, Clerk of the Council, do hereby attest to and certify the attached Resolution No. 2017 -_ to be the original resolution adopted by the City Council of the City of Santa Ana on , 2017, and that said resolution was published in accordance with the Charter of the City of Santa Ana. Date: Clerk of the Council City of Santa Ana 55A -7 Resolution No. 2017 -xxx Page 3 of 3 y •