HomeMy WebLinkAbout1980-020 1 RESOLUTION NO.
RESOLUTION OF THE CITY OF SAN BERNARDINO AUTHORIZING THE
2 EXECUTION OF A GRANT DEED CONVEYING CERTAIN REAL PROPERTY KNOWN
3 JAS THE COX CHICKEN RANCH TO THE REDEVELOPMENT AGENCY OF THE CITY
IOF SAN BERNARDINO.
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WHEREAS, the City of San Bernardino (hereinafter called
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"City") has acquired approximately fifty-five (55) acres of land
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known as "Cox Chicken Ranch" (hereinafter called "Property") with
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! proceeds of Community Development funds for approximately Two
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Hundred Ninety Thousand Dollars ($290, 000) ; and
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WHEREAS, the Property was planned to be developed for singly
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family housing to be financed by the issuance of mortgage revenue
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bonds pursuant to SB 99, City Ordinance No. 3853 (hereinafter
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called "Ordinance") ,or any other applicable law, for the common
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benefit; and
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14 WHEREAS, Northgate Corporation (hereinafter called "Corpor- 1
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ation") through its President, Robert Ellsworth, and others,
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negotiated with City officials for the development of such a
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project and made substantial expenditures of monies in the prep-
aration of plans, estimates, studies, etc. ; and
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WHEREAS, Belgate Limited, a limited partnership, of which
20 Northgate Corporation is the general partner, was offered on
21 December 3, 1979, an agreement with the City relating to an ex-
22 clusive right to negotiate for the development of the project,
23 ( however, pending federal legislation has cast doubt on the ability
24 to proceed with the mortgage revenue bond financing; and
"5 I WHEREAS, the housing project on which Corporation and City
26 1were collaborating prior to April 25, 1979, appears to comply
27 with the "grandfathering" provisions of the present pending
28 federal legislation, which would permit the issuance of tax exempt
I Imortgage revenue bonds; and
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2 WHEREAS, the housing project probably does not qualify for
3 financing under SB 99, but does qualify under Ordinance No. 3853; j
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WHEREAS, the enactment of Chapter 1069
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of the 1979 Statutes ;
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6 ! of California (AB 1355) , unless amended, requires that the City
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issue its revenue bonds under such ordinance prior to February I,
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1980 or apply for financing under procedures established by Chap-
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ter 1069; and
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WHEREAS, due to the depressed nature of the area involved,
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the financing of the housing project might not qualify under the
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income limitations contained in said Chapter 1069; and
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WHEREAS, City Charter Section 40 (a) contains certain
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requirements as to the sale or disposal of real property; and
15 WHEREAS, the Mayor and Common Council believe and hereby
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find that competitive bidding pursuant to said Section 40 (a)
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would be futile, unavailing, would work an additional hardship on
18 the parties without obtaining the benefits for which competitive
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t9 bidding exists , would result in only one bidder, and in respect to
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the February 1, 1980 deadline for the issuance of bonds under
21 Ordinance No. 3853 would constitute an urgency, if not an emergencli ,
and would not be subject to any certainty of financing under Chap-
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23 ter 1069; and
WHEREAS, Health & Safety Code Section 33220 permits any
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25 public body for the purpose of aiding and cooperating in the
f redevelopment projects to convey any
26 planning and construction o
27 of its real property without consideration to a redevelopment
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WHEREAS, Health & Safety Code Section 33391 permits a
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2 ' redevelopment agency within a survey area to acquire any real
3 property; and
4 WHEREAS, James Warren Beebe , a law corporation, Bond Counse
5 for the City of San Bernardino, has prepared a legal memorandum
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6 confirming the foregoing conclusions in which the City Attorney
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concurs; and
8 WHEREAS, Section 570 .613 of the regulations governing
9 community development block grant programs under Title I of the
to Housing and Community Development Act of 1974 , as amended, sets
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( forth requirements governing the disposition of real property I
12 acquired with block grant assistance; and
13 WHEREAS, pursuant to Section 570. 613 , the Mayor and Common i
14 Council of the City of San Bernardino determine that the fair I
15 market value of the Property is Three Hundred Fifty-Seven Thousand
16 Five Hundred Dollars ($357,500) based upon an appraisal prepared by
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7 a qualified real estate property appraiser; and
18 WHEREAS, the City intends to dispose of the Property
19 through the Redevelopment Agency of the City of San Bernardino as
20 its intermediary pursuant to this resolution and in accordance
21 with Section 570 .613; and
22 WHEREAS, the Property will be disposed of without consider-
23 ation for the common benefit in order to develop, finance, and I
24 subsidize housing on the Property of such quality as to attract
25 occupants who will provide an appropriate racial and economic
26 balance in the neighborhood and to improve and upgrade the
27 ( residential homes in a predominately minority and poverty area
28 of the City in an effort to revitalize and economically improve
29 such area,
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1 NOW, THEREFORE, BE IT RESOLVED by the Mayor and Common
2 ', Council of the City of San Bernardino as follows:
3 SECTION 1. The Mayor of the City of San Bernardino is
4 i hereby authorized and directed to execute on behalf of said City
5 � a Grant Deed conveying certain real property (Property) known as
6 the "Cox Chicken Ranch" to the Redevelopment Agency of the City
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of San Bernardino, a copy of which is attached hereto, marked
g Exhibit "A" and incorporated herein by reference as fully as
g I though set forth at length.
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! SECTION 2. The conveyance of said Property shall be sub-
11 1ject to and contingent upon the representations made and the offer!
12 by the Redevelopment Agency of the City of San Bernardino that
13 said Property will be conveyed without consideration to Northgate
14 Corporation, or a partnership of which Northgate Corporation is
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the general partner, for the purpose of its development as a
16 housing project; and such conveyance is approved for the disposi-
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t of said Property pursuant to City Charter Section 40 (a) as
1$ a public purpose pursuant to the guidelines of this resolution
19 which shall be set forth in an appropriate pre-disposition agree-
20 ment between the Redevelopment Agency of the City of San Bernar-
21 dino and Northgate Corporation or said partnership, which agree-
22 ment shall be approved by the City of San Bernardino and shall
23 be executed prior to or contemporaneously with the conveyance of
24 the Property by the Redevelopment Agency of the City of San
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25 Bernardino as aforesaid, and shall contain appropriate anti-
speculation safeguards .
26 26 I I HEREBY CERTIFY that the foregoing resolution was duly
28 adopted by the Mayor and Common Council of the City of San
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t Bernardino at a 6� : meeting thereof, held on
2 the da ofd , 1980, by the follow-
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3 ing vote, to wit:
4 AYES: Councilmen -r
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6 NAYS: -� ��+tx
7 ABSENT: y� /
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City Clerk
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The foregoing resolution is hereby approved this �2 1 dayj
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iof _,,,' 1980.
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14 Mayor'/of the City of San Bernardino
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16 Approved as to form:
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City Att rney
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