HomeMy WebLinkAbout01B. CC DDA Resolution VerizonAPPROVED BY
CITY MANAGER
TO: Mayor and Members of the City Council
RECOMMENDATION
That the City Council approve the following resolution:
BACKGROUND /DISCUSSION
FISCAL IMPACT
ATTACHMENT A: 33433 RESOLUTION
1I
AGENDA MEMO
CITY OF DOWNEY, CALIFORNIA
)ATE: November 9, 2010
FROM: Office of the City Manager
By: Brian Saeki, Director of Community Develoment
SUBJECT: CONSIDERATION OF A DISPOSITION AND rVELOPMENT
AGREEMENT AND ADOPTION OF A 33433 RE-SOLUTION FOR THE VIEW
HOUSING PROJECT LOCATED AT 8314 2 TREET IN DOWNTOWN
DOWNEY
A RESOLUTION OF THE CITY COUNCIL OF THE C OF DOWNEY
APPROVING A DISPOSITION AND DEVELOPMEN GREEMENT
BETWEEN THE DOWNEY COMMUNITY DEVELOP ENT
COMMISSION AND NATIONAL COMMUNITY RENA� SSANCE OF
CALIFORNIA AND APPROVING THE CONVEYANCE- OF CERTAIN
REAL PROPERTY (ASSESSOR'S PARCEL NO. 6254- 020 -914) AND
MAKING CERTAIN FINDINGS REQUIRED BY LAW
This is a companion item to an agenda item on the Downey ommunity Development
Commission ( "CDC ") agenda. Rather than duplicating the C agenda memo and
attachments, please refer to the staff report for the CDC item.
This item will have no impact on the City of Downey general find.
A RESOLUTION OF THE CITY COUNCIL OF THE
APPROVING A DISPOSITION AND DEVELOPM
BE EEN THE DOWNEY COMMUNITY DEVELOPMEN
NATIONAL COMMUNITY RENAISSANCE OF
APPROVING THE CONVEYANCE OF CERTAIN
(ASSESSOR'S PARCEL NO. 6254-020-914) AND
FINDINGS REQUIRED BY LAW
RESOLUTION NO.
WHEREAS, pursuant to the provisions of the California C
(California Health and Safety Code Section 33000 et seq.) ("
Council") of the City of Downey ("City") approved and adopted th
Firestone Redevelopment Project Area ("Redevelopment Plan"),
geographic area within the City ("Project Area"); and
WHEREAS, the Community Development Commissi of the City of Downey
("Commission") is engaged in activities necessary to e -cute and implement the
Redevelopment Plan; and
WHEREAS, the Commission owns a parcel of real propert
within the Project Area, consisting of approximately .39 acres o
street address of 8314 2nd Street, and identified as Assessor
("Commission Property"); and
WHEREAS, the Commission and National Communit Renaissance of California
("Developer") have negotiated the terms of an agreement entitled D isposition and Development
Agreement ("Agreement") providing for, among other things, the ansfer by the Commission of
the Commission Property to Developer and Developer's redevjopment of the Commission
Property as forty-nine (49) affordable residential rental units and op (1) manager's unit in a six-
story building with subterranean parking ("Project"); and
WHEREAS, the Commission has determined that implem
is in the best interests of the City and the Commission and the he
City's taxpayers and residents and is in accordance with the pu
Redevelopment Plan and CRL; (2) strengthens the City's land use
will assist in eliminating physical blight in the City; and
WHEREAS, the Developer's construction and operation o
•
•
ITY OF DOWNEY
NT AGREEMENT
COMMISSION AND
ALIFORNIA AND
REAL PROPERTY
AKING CERTAIN
munity Redevelopment Law
L"), the City Council ("City
Redevelopment Plan for the
ich is applicable to a certain
within the City that is located
16,919 square feet with the
arcel Number 6254-020-914
ntation of the Agreement: (1)
Ith, safety and welfare of the
lic purposes set forth in the
and social structure; and (3)
WHEREAS, the Commission desires to assist in the d elopment of the Project by
providing financial assistance in the form of a subordinate financig loan in the amount not to
exceed Four Million Four Hundred Fifty Thousand Dollars ($4,450 00), consisting of the agreed
upon value of the Property in the amount of One Million Dollars ( ,000,000) plus Three Million
Four Hundred Fifty Thousand Dollars ($3,450,000) cash, for ce.ain property acquisition and
development expenses associated with the Project ("Commission loan"); and
'-
WHEREAS, the Commission's participation in the Project% limited to: (1) carrying out
routine government functions; (2) performing conventional ac ivities of a lender; and (3)
imposing statutorily authorized conditions of assistance accepted Ijy the Developer; and
he Project are not financially
feasible without the Commission's assistance. In order to assist in ihe construction of the
RESOLUTION NO'
PAGE 0
development on the Commission Property, Commission desires
for: (1) the transfer of the Commission Property to Developer; (
Commission to C>eva|Vper, from the Commission's property tax i
for Jow and moderate income housing; and (3) a restrictive coven
five (55) years providing that at least twenty-five (25) of the hou
Qualified Househotds at an Affordable Rent, as further defined in t
the Commission Loan provided pursuant to this Agreement does
Commission's assistance necessary to make the Developer's a
y the Agreement to provide
the Commission Loan from
crement allocation set aside
t to run with the lard for fifty-
ng units shall be available to
e Agreement. The amount of
l ot exceed the amount of the
� uioibon of the Property and
the construction and operation of the Project, as restricted bw the Agreement, financially
feasible; and
WHEREAS, the Commission intends to apply the hosing units to be developed
pursuant to this Agreement towards satisfaction of the statutorily andated affordable housing
production requirements for the Project Area under CRL Section 3 413 (b)(2); and
WHEREAS, pursuant to CRL Section 33433 the City Co
Commission's legislative body) rnust, following a public hearin
determinations in connection with Commission's sale of the C
acquired with Commission tax increment revenue; and
cil of the City (acting as the
, make certain findings and
mmission Property that was
WHEREAS, pursuant to CRL Section 33433, the Comm i has red and the
City Council has reviewed and considered, a Real Property isposition Summary Report
("Summary Report") setting forth: (1) the cost of the Agreeme to the Commission; (2) the
estimated value of the interest in the Commission Property to be conveyed, both at its highest
and best use and with the covenants, conditions and requirerrw ts of the Agreement; (3) an
explanation of how the conveyance of the Commission Property assist in the elimination of
blight within the Project Area and provision of workforce housing "■r lower income persons; and
(4) a copy of the Agreement. The Commission has made the ummary Report available for
public inspection in accordance with CRL Section 33433; and
WHEREAS, pursuant to the California Environmental Qualy Act, Public Resources Code
Sections 21000 et seq. ("CEQA"), and the State's CEQA Guidelin (Title14 California Code of
Regulations Sections 15000, et. seq.), the City is the lead Agency oncerning the Project and has
filed a Notice of Exemption for the Project because it is categorica exempt from CEQA,
pursuant to CEQA Guidelines Section 15194, Affordable Housing xemption; and
WHEREAS, pursuant to Government Code Section 65402 the City has determined that
the location, purpose, extent and development of the Project on t Commission Property are in
conformance with the City's General Plan; and
iU
WHEREAS, pursuant to CRL Sections 33431 and 33433 21 and 28, 2010
the Commission caused notice of the a joint public hearing bf the City Council and the
Commission's Governing Board to be published in a newspaper o general circulation within the
City; and
VVHEREAS, pursuant to CRL Sections 33431 and 33433, n November 9, 2010 the City
Council and the Commission's Governing Board held a duly noticed joint public hearing
regarding the proposed Agreement; and
RESOLUTION NO.
PAGE THREE
VVHERE/\S, all other legal prerequisites to the adop
occurred.
THE MAYOR AND CITY COUNCIL OF THE CITY OF D
AS FOLLOWS:
Section 1. The recitals of facts set forth above are true and co ct and are incorporated into
this Resolution by this reference.
Section 2.
ATTEST:
The City Council finds and dotemnineS, based on t
in the Summary Rmport, the staff report oCComp@
presentation of staff, and the other written and o
City Council at or prior to the public hearing re
pursuant to CRL Section 33433:
(i) The conveyance of the Commission Prop
Developer will assist in the elimination o
structure on the Commission Property a
housing for lower income persons; and
disposition (ii) The disposition of the Commission Pro rty is consistent with the
Implementation Plan adopted by the ComQs3ion for the Project Area;
and
(iii) The consideration to the Commission for tt transfer the � Commission Property to the Developer is not less th@,,: the fair reuse value of the
Commission Property with the covenants,r--;onditions and development
costs authorized by the sale.
KATHLEEN L. MIDSTOKKE, City Clerk
mo
v
Section 5. This ReSo|uUonShgUtake effect innnnedi@S8|yupon ��adoudon.
APPROVED AND ADOPTED this day of , 2010.
ANNE K�.BA}�F�Mayor
n of this Resolution have
information made available
ng this Resolution, the oral
| evidence presented to the
� rding the Agreement, that,
by the Commission to the
blight by removing the old
providing affordable rental
Section 3. There have been no changes in the Project followig the City's filing a Notice of
Exemption that would require any additional enviro&ental review under CEQA.
Section 4. The City Council approves of the Commission e'=hng into the Agreement in
substantially the form presented to the City Council*d attached to the Summary
Report, with such changes and amendments as r y be approved by both the
Commission Executive Director and Commission unsel. Specifically, the City
Council approves of the Commission selling the ommission Property to the
Developer pursuant to the terms and conditions of Agreement.
RESOLUTION NO.
PAGE FOUR
I HEREBY CERTIFY that the foregoing Resolution was ad zpted by the City Council of
the City of Downey at a regular meeting held on the day of , 2010, by the
following vote, to wit:
AYES: Council Members:
NOES: Council Member:
ABSENT: Council Member:
ABSTAIN: Council Member:
KATHLEEN L
MIDSTOKKE, City Clerk