HomeMy WebLinkAboutR47-Economic Development Agency
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ECONOMIC DEVELOPMENT AGENCY
OF THE CITY OF SAN BERNARDINO
FROM:
Maggie Pacheco
Deputy Director
SUBJECT:
HEARING - RESOLUTION OF PUBLIC
INTEREST AND NECESSITY FOR
ACQUISITION OF REAL PROPERTY: 2105 N.
DUMBARTON AVENUE (AP# 1191-021-48),
SAN BERNARDINO, CALIFORNIA
ORI6JNA\f~_
September 24, 2004
DATE:
______________________________________________________________________________________________________.________________________u________________________________
Svnopsis of Previous Commission/Council/Committee Action(s):
On September IS, 2003 the Community Development Commission and the Mayor and Common Council approved a
Redevelopment Cooperation Agreement by and among the Inland Valley Development Agency (IVDA), Redevelopment
Agency of the City of San Bernardino ("Agency") and the City of San Bernardino ("City") relating to the initiation of studies
for the redevelopment of lands previously acquired by the Agency and relating to transfer or delegation of redevelopment
authority to the Agency as it relates to acquisition and development of properties in the north Arden-Guthrie Area ("Arden-
Guthrie Implementation Area").
(Community Development Commission)
MOTION:
A RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN
BERNARDINO DECLARING THE PUBLIC INTEREST AND NECESSITY OF ACQUISITION OF REAL
PROPERTY BY THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO FOR
COMMUNITY REDEVELOPMENT PURPOSES OVER THE PROPERTY KNOWN AS 2105 N.
DUMBARTON AVENUE, SAN BERNARDINO, CALIFORNIA (AP# 1191-021-48) IN THE INLAND
V ALLEY REDEVELOPMENT PROJECT AREA
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Contact Person(s):
Maggie Pacheco
Inland Valley
Redevelopment Project Area
Phone:
Project Area(s)
Ward(s):
(909) 663-1044
7
Supporting Data Attached: 0 Staff Report 0 Resolution(s) 0 Agreement(s)/Contract(s) 0 Map(s) 0 Letters
Approx.
FUNDING REQUIREMENTS Amount: $ 27,000 Source: Community Development Block Grant (CDBG)
Budget Authority: 2003/2004 EDA Budget
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Commission/Council Notes:
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P:\Agendas\Comm Dev Commission\CDC 2004\04-10-04 2105 Dumbarton Ave. SR.doc
COMMISSION MEETING AGENDA
Meeting Date: 10/04/2004
Agenda Item Number: RJI1
ECONOMIC DEVELOPMENT AGENCY
STAFF REPORT
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Hearinl!: - Resolution of Public Interest and Necessity for ACQuisition of Real Property:
2105 N. Dumbarton Avenue (AP# 1191-021-48)
San Bernardino. California
BACKGROUND/CURRENT ISSUE:
On May II, 2004 and again on June 11,2004, the Agency sent purchase offers to the Property Owner
of the real property located at 2105 N. Dumbarton Avenue, San Bernardino (the "Parcel"), within the
Arden-Guthrie Implementation Area of the Inland Valley Redevelopment Project Area. On the date
of this writing, the Property Owner has not responded to the Agency's offers or communicated with
the Agency.
Consequently, in conformance with the Code of Civil Procedure Section 1245.235, on September 15,
2004, a notice of the October 4, 2004 hearing on adopting a Resolution of Public Interest and
Necessity was sent by Certified mail to the Property Owner whose name and address appears on the
last equalized county assessment roll, in order to afford such Property Owner a reasonable
opportunity to be heard by the Commission. The Hearing by the Commission and the adoption of the
Resolution of Public Interest and Necessity are legal preconditions to the exercise of the
Commission's power of eminent domain. Moreover, Code of Civil Procedure Section 1245.230
requires that the Commission make the following findings and that each be included in the Resolution
of Necessity:
1. The public interest and necessity reQuires the aCQuisition of the Parcel: Although no
specific development has been proposed at this time, the Parcel is subject to sale for
delinquent property taxes and is available for purchase. Over the past several years, the
Agency has acquired a number of parcels of land within the vicinity of the Parcel as the
opportunity arose. The Agency now believes it is appropriate to continue this program of land
assembly and to acquire this additional Parcel to provide sufficient contiguous land for
potential future commercial development. The acquisition of the Parcel will further enhance
the ability of the Agency to complete the assembly of lands for appropriately sized sites for
future development of commercial, retail and recreational purposes within the Arden-Guthrie
Implementation Area ("Project").
2. The proposed Proiect is planned or located in a manner that will be most compatible
with the I!:reatest public I!:ood and the least private iniurv: The Property Owner has not
paid property taxes for several years and the Parcel is subject to sale for delinquent property
taxes. For more than a decade, the Agency has assembled land within the Arden-Guthrie
Implementation Area of the Inland Valley Development Agency (IVDA) Redevelopment
Project Area ("Project Area"). The Agency has, as of June 30, 2004, incurred a
redevelopment indebtedness in excess of ten million dollars in connection with its efforts to
address conditions of blight in the Arden-Guthrie Implementation Area to foster a
commercially viable and economically sustainable plan of redevelopment and reuse of the
P:\Agendas\Comm De... Commission\CDC 2004\04-10-04 2105 Dumbarton Ave. SR,doc
COMMISSION MEETING AGENDA
Meeting Date: 10/0412004
Agenda Item Number: f!. '1'7
Economic Development Agency Staff Report
Arden-Guthrie Property Acquisition
Page 2
properties within the Project Area and to prevent the spread of blight in the Project Area into
other surrounding neighborhoods and communities. As noted above, the Agency and the
IVDA entered into the 2003 Redevelopment Cooperation Agreement (the "Cooperation
Agreement"), which allows the Agency to act for and on behalf of the IVDA as set forth in the
IVDA Redevelopment Plan, pursuant to the Community Redevelopment Law, affecting any
properties situated in the Arden-Guthrie Implementation Area. The Cooperation Agreement
in Section 3 specifically authorizes the Agency, either in its name or on behalf of the IVDA,
to exercise all powers of Eminent Domain, if deemed necessary in the discretion of the
Agency to acquire and dispose of real property within the Arden-Guthrie Implementation
Area. On April 14, 2004, the San Bernardino Superior Court entered a judgment in the
validation action filed by the IVDA in case number SCV 112588, confirming that the
Cooperation Agreement is legal and binding and that the Agency may exercise Eminent
Domain powers pursuant to the Cooperation Agreement without further action by the IVDA.
The assembly and redevelopment of the Parcel is necessary as the Project Area displays a
number of conditions of blight including the presence of old structures that show signs of
dilapidation and deterioration. Small lot configurations within the Project Area, including the
subject Parcel, prevent or substantially hinder the economically viable use of such real
property in their present condition and City zoning classification. Redevelopment of the
Parcel will eliminate blight and provide needed commercial, retail and recreational
redevelopment of the Arden-Guthrie Implementation Area and assist with elimination of
blight in other areas in proximity to the Project.
3. The subiect Parcel is necessary for the proposed Proiect: The Agency previously acquired
several parcels of real property in the vicinity of the Parcel and desires to acquire this
additional Parcel to provide sufficient contiguous land for future commercial, retail and
recreational uses in the Project Area ("Project"). The Project is planned or located in the
manner that will be most compatible with the greatest public good and the least private injury
in light of the fact that the real property included in the Project Area displays a number of
symptoms of blight. The Project shall also facilitate land assembly and reuse of a developed
urban area that has stagnated in recent years under the burdens of small lot size, diverse
ownership, property tax liens, changed zoning. The Project shall also confer substantial
environmental benefits upon the Project Area and the community generally, in accordance
with the General Plan of the City of San Bernardino.
4. The Government Code & 7267.2(a) offers have been made to the record property owners:
On May 11, 2004 and again on June 11, 2004, the Agency submitted formal acquisition offers
to the property owner for the subject Parcel. The offers comply with Government Code S
7267.2. No affirmative responses were received in response to the statutory offers.
ENVIRONMENTAL IMP ACT:
The proposed action is exempt from CEQA, pursuant to S 15332, Class 32 which consists of projects
such as the acquisition of small, isolated parcels of vacant land, characterized as in-fill development
meeting the conditions described as follows: (a) the Project is consistent with the applicable general
P:\Agendas\Comm Dcv Commission\CDC 2004\O4.1()"04 2105 DumbBrton Ave. SR.doc
COMMISSION MEETING AGENDA
Meeting Date: 10/04/2004
Agenda Item Number: m
."
Economic Development Agency Staff Report
Arden-Guthrie Property Acquisition
Page 3
plan designation and all applicable general plan policies as well as with applicable zoning designation
and regulations; (b) the proposed Project, which in this case consists of the acquisition of a small,
isolated parcel of vacant land of approximately 7,200 square feet, is within the city limits, is less than
five acres substantially surrounded by urban uses; (c) the Project site has no value as habitat for
endangered, rare or threatened species; (d) approval of the Project would not result in any significant
effects relating to traffic, noise, air quality, or water quality and furthermore no specific plan for
development is being proposed for the Arden Guthrie Implementation Area at this time; and (e) the
Project is adequately served by all required utilities and public services.
FISCAL IMPACT:
Based on the appraisal, the cost to acquire the subject Parcel is $20,200 plus court costs and legal
expenses normally associated with condemnation proceedings for an approximate total of $27,000.
RECOMMENDATION:
That the Community Development Commission adopt the attached Resolution.
~~~
P:\Agendas\Comm Dev Commission\CDC 2004\04-1().()4 2105 Dumbarton Ave. SR.doc
COMMISSION MEETING AGENDA
Meeting Date: 10/0412004
Agenda Item Number: R..lf7
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028
RESOLUTION NOt4g fP Y
A RESOLUTION OF THE COMMUNITY DEVELOPMENT
COMMISSION OF THE CITY OF SAN BERNARDINO DECLARING
THE PUBLIC INTEREST AND NECESSITY OF ACQUISITION OF
REAL PROPERTY BY THE REDEVELOPMENT AGENCY OF THE
CITY OF SAN BERNARDINO FOR COMMUNITY REDEVELOPMENT
PURPOSES OVER THE PROPERTY KNOWN AS 2105 N. DUMBARTON
AVENUE, SAN BERNARDINO, CALIFORNIA (AP# 1191-021-48) IN THE
INLAND V ALLEY REDEVELOPMENT PROJECT AREA
WHEREAS, the Redevelopment Agency of the City of San Bernardino (the "Agency"),
a public entity created pursuant to the Community Redevelopment Law (Health and Safety
Code Section 33000, et seq.), is authorized to acquire and redevelop blighted properties located
in the City of San Bernardino (the "City"), in accordance with the Community Redevelopment
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Law; and
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WHEREAS, the Community Development Commission of the City of San Bernardino
(the "Commission"), as the governing board of the Agency, has authorized the Agency to
assemble, and acquire real property for community redevelopment purposes in the Arden-
Guthrie neighborhood (the "Arden-Guthrie Implementation Area"); and
WHEREAS, the Arden-Guthrie Implementation Area displays substantial and pervasive
symptoms of blight that cannot be remedied by private parties acting alone without community
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redevelopment assistance; and
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WHEREAS, the Inland Valley Development Agency (the "IVDA") may acquire real
property located with the redevelopment project area of the Inland Valley Redevelopment
Project Area (the "Project Area") by condemnation if necessary as part of the redevelopment
plan for the civilian reuse and redevelopment of the former Norton Air Force Base and certain
lands in close proximity to the former Norton Air Force Base; and
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WHEREAS, the Arden-Guthrie Implementation Area is located within the IVDA
Project Area; and
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WHEREAS, the Agency and the IVDA have entered into the Redevelopment
Cooperation Agreement, dated as of October 8, 2003 (the "Cooperation Agreement"), which
authorizes the Agency to act for and on behalf of the IVDA, as set forth in the IVDA
Redevelopment Plan, with respect to the acquisition and redevelopment of lands and properties
situated in the Arden-Guthrie Implementation Area; and
WHEREAS, prior to the date of the Cooperation Agreement, the Agency has' acquired
other real property in the Arden Guthrie Implementation Area; and
WHEREAS, Section 3 of the Cooperation Agreement authorizes the Agency, either in
its name or on behalf of the IVDA, to exercise all powers of eminent domain of the IVDA, if
deemed necessary in the discretion of the Agency to acquire real property within the Arden-
Guthrie Implementation Area for community redevelopment purposes; and
WHEREAS, the Agency retained the services of an appraiser to appraise the Property
and the appraiser has reported an opinion of the fair market value of the unimproved property
located at 2105 N. Dumbarton Avenue, San Bernardino, CA 92404 (AP#1191-021-48) (the
"Property"); and
WHEREAS, based upon such real property appraisal report, the Commission authorized
the Agency to send a purchase offer to the owner of record, to attempt to purchase the Property
at the appraised values in lieu of condemnation, and on May 11,2004, and again on June II,
2004, the Agency mailed purchase offers to the owner of record of the Property based on the
appraised value of each parcel of the Property described in this Resolution; and
WHEREAS, the Agency transmitted offers to purchase the Property situated within the
Project Area, based on the appraised value, to the owner of record of the Property; and
WHEREAS, the purchase offer mailed to the owner of record of the Property on May
11, 2004, at the address on file with the office of the County Tax Assessor, was returned by the
Post Office undelivered, after diligent inquiry and reasonable research another possible address
for the owner of the Property was located and the June 11, 2004 purchase offer was mailed to
the owner of the Property at that additional address and the certified letter was accepted as
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shown by the signature Petri Ahonen on the receipt for the certified letter, after diligent inquiry
and reasonable research, no other current address for the owner of the Property could be
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located; and
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WHEREAS, the owner of record of the PropertY has not accepted the purchase offers
submitted by the Agency; and
WHEREAS, the Agency has not been able to satisfactorily complete a negotiated
purchase with the owner of record of the Property to assemble and acquire the Property for
community redevelopment purposes; and
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WHEREAS, on April 14, 2004, the San Bernardino Superior Court entered a judgment
in the validation action filed by the IVDA in case number SCV 112588, confirming that the
Cooperation Agreement is legal and binding and that the Agency may exercise eminent domain
powers pursuant to the Cooperation Agreement without further action by the IVDA; and
WHEREAS, although no formal "Arden-Guthrie Reuse Project" as this term is defined
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in the Cooperation Agreement, has been identified by the Agency at this time, nevertheless, the
Commission may serve as the "lead agency" as defined in CEQA for the purpose of conducting
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an environmental review in connection with the acquisition of the Property; and
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WHEREAS, for the proposed CEQA analysis at this time for the proposed project
consists of land assembly of isolated parcels of vacant real property in support of the
redevelopment of the Arden Guthrie Implementation Area; and
WHEREAS, the unimproved Property is subject to real property tax liens for'delinquent
tax payments, that could result in sale of the Property by the County Tax Collector to a third
party to satisfy delinquent property taxes; and
WHEREAS, on September 15, 2004, notice of intent to adopt this Resolution was
mailed to the owner of record of the Property, Petri Ahonen, at the address of record on file at
the office of the County Tax Collector and at the last known address for the owner of the
Property and notice was published in the Sun newspaper on September 20, 2004; and
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WHEREAS, on October 4, 2004, after not less than fifteen (15) days written notice to
the owner of the Property, the Commission conducted a hearing for the purpose of affording the
owner of the Property a reasonable opportunity to appear and be heard on the matters referred to
in Code of Civil Procedure Section 1240.030 and whether the Agency has met all other
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prerequisites for the exercise of eminent domain to acquire the Property for community
redevelopment purposes; and
WHEREAS, the Commission has determined as a result of such hearing on October 4,
2004, that the public health, safety and welfare require the Agency to acquire the subject
Property for community redevelopment purposes.
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NOW THEREFORE, BE IT RESOLVED THAT THE COMMISSION FINDS,
DETERMINES AND DECLARES AS FOLLOWS:
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Section 1.
The information set forth in the above recitals of this Resolution is true
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and correct.
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Section 2.
The real property to be acquired under the authority of this Resolution
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(the "Property") is located in the Arden-Guthrie Implementation Area in the City of San
Bernardino, California, and is also known as 2105 N. Dumbarton Avenue, San Bernardino,
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California 92404 (San Bernardino County Assessor Parcel Number 1191-021-48). The
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Property is more particularly described in the legal descriptions attached collectively as Exhibit
"A." The interest in the Property to be acquired consists of all of the fee simple absolute title
interest in the Property, and all of the right, title and interest of each person and owner of the
Property including the acquisition of each and every possessory interest and all easements and
appurtenances to the Property.
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Section 3.
On September 15, 2004, the Agency transmitted a notice of hearing to
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each known owner of record (Petri Ahonen) at 9545 Flower Street, Apt. 3. Bellflower, CA
90706 and at 1320 Vine Avenue #93, Fullerton, CA 92833-4299, and on September 20, 2004,
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notice was published in the Sun newspaper, and copies of such notices of hearing are on file
with the Agency.
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Section 4.
The Commission acknowledges receipt of the written reports and
information relating to the implementation of the Cooperation Agreement in the Arden-Guthrie
Implementation Area, including the preliminary discussions of the Agency staff with third
parties qualified to undertake the redevelopment of the Arden-Guthrie Implementation Area, or
portions of it, and the appraisal of the Property, staff reports, and oral reports and information
submitted to the Commission during the course of the hearing conducted on October 4, 2004.
Section 5.
The Commission on behalf of the Agency finds and determines that the
hearing conducted by the Commission on this matter on October 4, 2004, was full and fair, and
that each interested person has been afforded a full and fair opportunity to present evidence and
testimony relating to assembly of land for the proposed Project, and the matters described in
Code of Civil Procedure Section 1240.030, and the acquisition of the Property, and all interests
in it, by the Commission for community redevelopment purposes by the exercise of Eminent
Domain and other relevant matters.
Section 6.
The Commission declares its intent to acquIre the Property for
community redevelopment purposes in the name of the Agency in accordance with the laws of
the State of California including the Community Redevelopment Law and Health and Safety
Code Sections 33391 and 33492.40, and pursuant to the Cooperation Agreement. Tbe
Commission further finds and determines that all of the prerequisites to the exercise of eminent
domain by the Agency with respect to s).lch acquisition of the Property for the Project have been
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met.
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Section 7.
The Commission has found and determined that the acquisition of the
23 Property for the Project is an activity which is covered under a categorical exemption of the
24 CEQA Guidelines (Title 14 California Code of Regulations Section 15332) and accordingly, a
25 finding of categorical exemption for the Project and the acquisition of the Property has been
26 filed with the Clerk of the County.
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Section 8.
In accordance with the provisions of Code of Civil Procedure Section
1245.230 the Commission finds, determines and declares as follows:
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P:\Agendu\Rcsolutions\Rcsolutioll$\1004\04-10.04 210S Dumoarton Ave. CDC Roo doc
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(a) The public interest, convemence and necessity require the acquisition of the
Property for the Project, as necessary to alleviate conditions of blight in the Arden-Guthrie
Implementation Area and to provide for the orderly redevelopment of the Property and other
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real property included in the Arden-Guthrie Implementation Area.
The assembly and
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redevelopment of the Property is necessary as the Arden-Guthrie Implementation Area displays
a number of conditions of blight, including the presence of old structures that show signs of
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dilapidation and deterioration and small or substandard lot sizes within the Arden-Guthrie
Implementation Area, including the subject Property, and a diverse pattern of land ownership
which prevent or substantially hinder the economically viable use of such real property in its
present condition and City zoning classification. Acquisition and assembly of the Property for
community redevelopment purposes, together with other lands already owned by the Agency in
the Arden-Guthrie Implementation Area, will foster the elimination of blight and assist with the
redevelopment of the Arden-Guthrie Implementation Area, and assist with elimination of blight
in other lands in proximity to the Arden-Guthrie Implementation Area.
(b) The Project is planned or located in the manner that will be most compatible with
the greatest public good and the least private injury in light of the fact that the real property
included in the Arden-Guthrie Implementation Area displays a number of symptoms of blight.
The Project shall also facilitate the completion of a land assembly program previously initiated
by the Agency and foster the reuse of a developed urban area that has stagnated in recent years
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under the burdens of small lot size, diverse ownership, property tax liens, changed zoning, and
inadequate public improvements.
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(c)
The Property described in this Resolution is necessary for the Project as its
24 acquisition and reuse for the Project is part of a neighborhood plan to eliminate blight and
25 provide for the redevelopment and improvement of the other lands owned by the Agency within
26 the Arden-Guthrie Implementation Area.
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(d)
The purchase offer required by Government Code Section 7267.2 has been
mailed to the owners of record of the Property by the Agency, and the Agency has not been
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successful in negotiating a purchase of the Property with such owners based upon such offers of
the Agency on terms that are acceptable to the owners of the Property. The Agency has asked
the Commission to approve its acquisition of the Property for assembly for future
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redevelopment.
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(a)
The law firm of Lewis Brisbois Bisgaard & Smith LLP as special
Section 9.
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legal counsel to the Agency, is authorized and directed to prepare, institute and prosecute in the
name of the Agency such proceedings in the court having jurisdiction, as may be necessary for
the acquisition of the Property.
(b) The sum payable by the Agency as probable compensation for the acquisition of
the Property by eminent domain, as determined by the appraisal, shall accompany the filing of
the complaint and shall be deposited as follows: (i) with the State of California in the manner
provided by law, or upon the recommendation of Agency special legal counsel to the County
Treasury; or (ii) at the election of the person(s) who may claim an interest in the Property to be
acquired by such condemnation proceedings, in such other manner as such interested person(s)
may request in writing, subject to the approval of the Executive Director and special legal
counsel to the Agency.
Section 10. The Secretary of the Commission is authorized and directed to certify the
adoption of this resolution. This Resolution shall take affect upon adoption.
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P.\Agendas\Resolulions\Resolulions\2004\04-10-04 2105 Oumbarton Ave. CDC Reso doc
11 Commission Members: Aves Navs
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015 DERRY
KELLEY
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A RESOLUTION OF THE COMMUNITY DEVELOPMENT
COMMISSION OF THE CITY OF SAN BERNARDINO DECLARING
THE PUBLIC INTEREST AND NECESSITY OF ACQUISITION OF
REAL PROPERTY BY THE REDEVELOPMENT AGENCY OF THE
CITY OF SAN BERNARDINO FOR COMMUNITY REDEVELOPMENT
PURPOSES OVER THE PROPERTY KNOWN AS 2105 N. DUMBARTON
AVENUE, SAN BERNARDINO, CALIFORNIA (AP# 1191-021-48) IN THE
INLAND VALLEY REDEVELOPMENT PROJECT AREA
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PASSED, APPROVED AND ADOPTED this _ day of
,2004.
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I CERTIFY that the foregoing Resolution was duly adopted by the Community
Development Commission of the City of San Bernardino at its regular meeting held on
, 2004 by the following vote, to wit:
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Abstain
Absent
Secretary
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The foregoing resolution is hereby approved this
day of
,2004.
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Judith Valles, Chairperson
Community Development Commission
of the City of San Bernardino
26 Approved 0 form and Legal Content
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By:
PlAgcndas\Resolulion5\Rewlulions\2004\04-I0-04 210S Dumba"on Ave_ CDC Reso_dot
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STATE OF CALIFORNIA
COUNTY OF SAN BERNARDINO
CITY OF SAN BERNARDINO
)
) ss
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I, Secretary of the Community Development Commission
of the City of San Bernardino, CERTIFY that the foregoing and attached copy of Community
Development Commission of the City of San Bernardino Resolution No. is a full,
true and correct copy of that now on file in this office.
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IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of
the Community Development Commission of the City of San Bernardino this _ day of
.2004.
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(Seal)
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Attest:
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Secretary of the Community Development
Commission of the City of San Bernardino
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P \A.[/.endas"Rcsol\ltions\Resolo.nions\2004\().I-IO-04 210S Dumbanon Ave CDC Reso do~
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EXHIBIT" A"
Lot 13, Tract No. 7106, in the County of San Bernardino, State of California, as per plat recorded
in book 90 of maps, Pages 61 and 62, records of said County.
Assessor's Parcel Number: 1191-021-48