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HomeMy WebLinkAboutR27-Economic Development Agency ECONOMIC DEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO SUBJECT: HEARING - RESOLUTION OF PUBLIC INTEREST AND NECESSITY FOR G \ N A L ACQUISITION OF REAL PROPERTY: O R \ 2072 AND 2095 N. NEWCOMB STREET DATE: May 6,2004 (APN 1191-021-18 AND 1191-021-22), SAN ____________________________________________________________________________!!~~~RD~i>_'_ CALIFORNIA Svnopsis oCPrevious Commission/Council/Committee Actiop(s): FROM: Maggie Pacheco Deputy Director On September 15, 2003 the Community Development Commission and the Mayor and Common Council approved a Redevelopment Cooperation Agreement by and among the Inland Valley Development Agency (lVDA), Redevelopment Agency of the City of San Bernardino and the City of San Bernardino 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"). Recommended Motion(s): OPEN/CLOSE HEARING (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 2072 AND 2095 N_ NEWCOMB STREET, SAN BERNARDINO, CALIFORNIA (APN 1191-021-18 AND 1191-021-22) IN THE INLAND VALLEY REDEVELOPMENT PROJECT AREA Contact Person(s): Maggie Pacheco Inland Valley Redevelopment Project Area Phone: (909) 663-1044 Project Area(s) Ward(s): 7 Supporting Data Attached: 0 Staff Report 0 Resolution(s) 0 Agreement(s)/Contract(s) 0 Map(s) 0 Letters Approx. Community Development Block Grant FUNDING REQUIREMENTS Amount: $ 56,000 Source: (CDBG) 20 SIGNATURE: Commission/Council Notes: ~!t CJ)::.jz.cXA-l\ P:\CDBG Dept\Maggie\Draft Docs\04-05-17 Arden Guthrie StalTReport vcr MP Revised.doe COMMISSION MEETING AGENDA Meeting Date: 05/17/2004 Agenda Item Number: ~ 1 ECONOMIC DEVELOPMENT AGENCY STAFF REPORT Hearinl!: - Resolution of Public Interest and Necessity for Acquisition of Real Property: 2072 and 2095 N. Newcomb Street (APN 1191-021-18 And 1191-021-22), San Bernardino. California BACKGROUND/CURRENT ISSUE: On February 10, 2004, the Agency sent purchase offers to the Property Owner of the real property located at 2072 and 2095 N. Newcomb Street, San Bernardino (the "Parcels"), 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, a notice of the May 17, 2004 hearing on adopting a Resolution of Public Interest and Necessity was sent by first class 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 Public 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 Parcels: Although no specific development has been proposed at this time, the Parcels are subject to sale for delinquent property taxes and are available for purchase. Over the past several years, the Agency has acquired a number of parcels of land within the vicinity of the Parcels as the opportunity arose. The Agency now believes it is appropriate to continue this program of land assembly and to acquire these additional Parcels ("Project") to provide sufficient contiguous land for potential future commercial development. The acquisition of the Parcels 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. 2. The proposed Proiect is planned or located in a manner that will be most compatible with the l!:reatest public l!:ood and the least private iniury: The Property Owner has not paid property taxes for several years and the Parcels are 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, 2003, 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 properties within the Project Area and to prevent the spread of blight in the Project Area into ___________________n.______________________________________.___________________________________________ ----------. P:\CDBG Dept\Maggie\Draft Docs\04-05-17 Arden Gutllrie SlalTReport verMP Revised.doc COMMISSION MEETING AGENDA Meeting Date: 05/17/2004 Agenda Item Number: ~ 7 Economic Development Agency Staff Report Arden-Guthrie Property Acquisition Page 2 other surrounding neighborhoods and communities. As noted above, the Agency and the IVDA entered into the 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 Parcels are 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 Parcels, prevent or substantially hinder the economically viable use of such real property in their present condition and City zoning classification. Redevelopment of the Parcels 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 Parcels are necessarv for the proposed Proiect: The Agency previously acquired several parcels of real property in the vicinity of the Parcels, and desires assembly of these additional Parcels ("Project") to provide sufficient contiguous land for future commercial, retail and recreational uses in the Project Area. The Project is plarmed or located in the marmer 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 February 10, 2004, and again on March 3, 2004, the Agency submitted formal acquisition offers to the property owner for the subject Parcels. The offers comply with Government Code S 7267.2. No affirmative responses were received in response to the statutory offers. ENVIRONMENTAL IMPACT: 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 plan designation and all applicable general plan policies as well as with applicable zoning designation --------------------------------------_.----------------------------------------------------------------- P:\CDBG DepI\Maggie\Draft Docs\04-05-17 Arden Guthrie SlalfReport ver MP Revised.doc COMMISSION MEETING AGENDA Meeting Date: 05/17/2004 Agenda Item Number: U7 Economic Development Agency Staff Report Arden-Guthrie Property Acquisition Page 3 and regulations; (b) the proposed Project, which in this case consists of the acquisition of small, isolated parcels of vacant land, of which together include approximately 14,000 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: The cost to acquire the subject Parcels is approximately $42,200 plus court costs normally associated with condemnation proceedings. RECOMMENDATION: That the Community Development Commission adopt the attached Resolution. ----.-------------------------------------------------------------------------------.---------- P:\CDBG DepI\Maggie\Draft Docs\04-05-17 Arden Guthrie StatT Report vel" MP Revised.doc COMMISSION MEETING AGENDA Meeting Date: 05/17/2004 Agenda Item Number: t.J. 7 ., C 2 3 4 5 6 7 8 9 10 11 12 13 o 14 C 25 RESOLUTION'P~ !O)"0/l \\0 I~/,' ~j 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 2072 AND 2095 N. NEWCOMB STREET, SAN BERNARDINO, CALIFORNIA (APN 1191- 021-18 AND 1191-021-22) IN THE INLAND VALLEY 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 Law; and 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 15 assemble, and acquire real property for community redevelopment purposes in the Arden- 16 17 Guthrie neighborhood (the "Arden-Guthrie hnplementation Area"); and WHEREAS, the Arden-Guthrie Implementation Area displays substantial and pervasive 18 symptoms of blight that cannot be remedied by private parties acting alone without community 19 redevelopment assistance; and 20 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 21 22 23 24 lands in close proximity to the former Norton Air Force Base; and III -1- P:\CDBG Dept\.'\facgie\Dn.h Doe5\l)4..OS-17 Arden-Guthrie CDC Reso Ver MP Revbed.dol;: .'. C 2 3 4 5 6 7 8 9 10 11 12 C 13 14 15 C 25 WHEREAS, the Arden-Guthrie Implementation Area IS located within the IVDA Project Area; and 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, on January 28, 2004, the Agency mailed a notice to the owners of record of the real property located within the Arden-Guthrie Implementation Area as described below, (the "Property") and informed such persons that the Agency intended to appraise the Property 16 for possible acquisition; and 17 WHEREAS, the Agency has retained the servIces of an appraiser to appraise the Property and the appraiser has reported an opinion of the fair market value of the properties located at 2072 N. Newcomb Street, San Bernardino, CA 92404 (APN 1191-021-18) and 2095 N. Newcomb Street, San Bernardino, CA 92404 (APN 1191-021-22) (collectively the "Property"); and 18 19 20 21 22 WHEREAS, based upon such real property appraisal report, the Commission authorized the Agency to send purchase offers to the owners of record, to attempt to purchase the Property at the appraised values in lieu of condemnation, and on February 10, 2004, the Agency mailed purchase offers to the owners of record of the Property based on the appraised value of each 23 24 parcel of the Property described in this Resolution; and -2- P:\CDBG Depl\M.aule\Draft Docs\lM-OS-17 Anlen-Gutbric CDC Reso Ver MP Reviled.doc c 12 C 13 14 15 16 17 18 19 20 21 22 23 24 C 25 2 WHEREAS, the Agency transmitted offers to purchase the Property situated within the Project Area, based on the appraised values, to the owners of record of the Property; and WHEREAS, the purchase offers mailed to the owners of record of the Property, at the address on file with the office of the County Tax Assessor, was returned by the Post Office 3 4 5 undelivered, and after diligent inquiry and reasonable research no additional address for the 6 owner(s) could be located; and WHEREAS, the owners of record of the Property have (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 owners of record of the Property to assemble and acquire the Property for 7 8 9 10 11 community redevelopment purposes; and 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 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 an environmental review in connection with the acquisition of the Property; and WHEREAS, for the proposed CEQA analysis at this time 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 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 11/ -3- P:\CDBG Dept\.l\llluie\Dl'llft Docs\04-05-17 Ardn-ClIthrie CDC Reso Ver MP Reriled.doc C 2 3 4 5 6 7 8 9 10 c 25 C WHEREAS, on April 23, 2004, notice of intent to adopt this Resolution was mailed to the owners of record of the Property, Thomas E. Williams and Crystal 1. Williams, et al.; and WHEREAS, on May 17,2004, after not less than fifteen (15) days written notice to the owners of the Property, the Commission conducted a hearing for the purpose of affording the owners 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 prerequisites for the exercise of eminent domain to acquire the Property for community redevelopment purposes; and 11 WHEREAS, the Commission has determined as a result of such hearing on May 17, 2004, that the public health, safety and welfare require the Agency to acquire the subject Property for community redevelopment purposes. 12 NOW, THEREFORE, THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO DOES HEREBY RESOLVE, DETERMINE AND ORDER, AS FOLLOWS: 13 14 Section 1. 15 and correct. 16 Section 2. 17 (the "Property") is The information set forth in the above recitals of this Resolution is true The real property to be acquired under the authority of this Resolution 18 located in the Arden-Guthrie Implementation Area in the City of San Bernardino, California, and is also known as 2072 and 2095 N. Newcomb Street, San Bernardino, California 92404 (San Bernardino County Assessor Parcel Numbers 1191-021-18 and 1191-021-22). The Property is more particularly described in the legal descriptions attached collectively as exhibits "A-I" and "A-2." 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 19 20 21 22 23 24 every possessory interest and all easements and appurtenances to the Property. //1 -4- P:\CDBG Depl\Mal&le\Drah Doc:I\04-G5-17 Arden-Gutlnie cue RetO Ver MP Reviled.doc C 2 3 4 5 6 7 8 9 C 25 Section 3. On April 23, 2004, the Agency transmitted a notice of hearing to each known owner of record (Thomas E. Williams and Crystal L. Williams, et aJ.) 1922 Red Mill Circle, Tustin, CA 92780, and copies of such notices of hearing are on file with the Agency. 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 thereof, and the appraisals of the Property, staff reports, and oral reports and information submitted to the Commission during the course of the hearing conducted on May 10 17,2004. Section 5. The Commission on behalf of the Agency finds and determines that the 11 12 hearing conducted by the Commission on this matter on May 17, 2004, was full and fair, and 15 all interests in it, by the Authority for community redevelopment purposes by the exercise of 16 Eminent Domain and other relevant matters. 17 Section 6. The Commission declares its intent to acqUire the Property for 18 community redevelopment purposes in the name of the Agency in accordance with the laws of 19 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 (the "Project"). 20 21 The Commission further finds and determines that all of the prerequisites to the exercise of 22 eminent domain by the Agency with respect to such acquisition of the Property for the Project 23 have been met. 24 Section 7. The Commission has found and determined that the acquisition of the Property for the Project is an activity which is covered under a categorical exemption of the CEQA Guidelines (Title 14 California Code of Regulations Section 15332) and accordingly, a -5- .P:\CDBG Dept\.Vla&&ie\Dnft Doa\04-05-17 Ardea-Guthrie CDC Rno Ver MP Revlsed.doe C 2 3 4 5 6 7 8 9 10 11 12 0 13 14 15 16 17 18 19 20 21 22 23 C 25 finding of categorical exemption for the Project and the acquisition of the Property has been filed with the Clerk of the County. Section 8. In accordance with the provisions of Code of Civil Procedure Section 1245.230 the Commission finds, determines and declares as follows: (a) The public interest, convenience 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 real property included in the Arden-Guthrie Implementation Area. The assembly and 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 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 24 under the burdens of small lot size, diverse ownership, property tax liens, changed zoning, and inadequate public improvements. (c) The Property described in this Resolution is necessary for Project as its acquisition and reuse for the Project is part of a neighborhood plan to eliminate blight and -6- P:\CDBG Depl\.\Illlle\Dnft Doa\04-05-11 Arden-Guthrie CDC RHO Ver MP Revlsed.doc c provide for the redevelopment and improvement of the other lands owned by the Agency within 2 the Arden-Guthrie Implementation Area. 3 (d) The purchase offer required by Govemment Code Section 7267.2 has been 4 mailed to the owners of record of the Property by the Agency, and the Agency has not been 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 5 6 7 the Commission to approve its acquisition of the Property for assembly for future 8 redevelopment. 9 Section 9. (a) The law firm of Lewis Brisbois Bisgaard & Smith LLP as special 10 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. 11 12 15 16 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 17 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 18 19 counsel to the Agency. 20 Section 10. 21 III 22 III 23 III 24 III C 25 The Resolution shall become effective immediately upon its adoption. -7- P:\CDBG Dep1\M.ak\Dl"lfI Docs\04.-05-17 Arden-Gutbrle CDC RelO Ver MP Revked.doc 01 2 013 14 25 C 3 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 2072 AND 2095 N. NEWCOMB STREET, SAN BERNARDINO, CALIFORNIA (APN 1191- 021-18 AND 1191-021-22) IN THE INLAND VALLEY REDEVELOPMENT PROJECT AREA 4 5 6 I HEREBY CERTIFY that the foregoing Resolution was duIy adopted by the 7 Community Development Commission of the City of San Bernardino at a meeting 8 thereof, held on the day of , 2004, by the following vote to wit: 9 Commission Members: Aves Navs Abstain Absent 10 11 ESTRADA LONGVILLE MCGINNIS DERRY KELLEY JOHNSON MC CAMMACK 12 15 16 17 18 Secretary 19 The foregoing resolution is hereby approved this 20 day of ,2004. 21 22 Judith Valles, Chairperson Community Development Commission of the City of San Bernardino 23 24 By: -8- P:\CDBG Dtpl\.~."le\Draft DOC5\D4-05-17 Arden-Gutbrie CDC Rao Ver MP RevI5ed.dcK