MEETING DATE:
September 10, 2024
SUBJECT:
Title
Resolution nos. 2024-9346 & 2024-9347- DECLARING THAT THE TRANSFER OF REAL PROPERTY identified as a portion of Assessor’s Parcel Number 219-152-74-00 TO ADJACENT PROPERTY OWNER AOA San marcos LLC IS EXEMPT FROM THE sURPLUS LAND ACT, AUTHORIZING THE CITY ATTORNEY TO SEEK ASSISTANCE FROM THE California Department of Housing and Community DevelopmenT WITH RESPECT TO SUCH EXEMPTION, and authorizing the City Manager and City Attorney to Negotiate, finalize, and execute all documents necessary for the TRANSFER OF such real property and to implement such transfer in the event said exemption FROM THE SURPLUS LAND ACT is confirmed by the California Department of Housing and Community Development; and resolution authorizing acceptANCE OF emergency access and creek maintenance access easements over property owned by aoa san marcos, llc
Body
Recommendation
Recommendation
1. ADOPT resolution declaring that the transfer of real property identified as a portion of Assessor’s Parcel Number 219-152-74-00 to adjacent property owner AOA San Marcos LLC is exempt from the Surplus Land Act, authorizing the City Attorney to seek confirmation from the California Department of Housing and Community Development with respect to such exemption, and authorizing the City Manager and City Attorney to negotiate, finalize, and execute all documents necessary for the transfer of such real property and to implement such transfer in the event said exemption is confirmed by the California Department of Housing and Community Development.
2. ADOPT resolution authorizing City acceptance of emergency access and creek maintenance access easements over property owned by AOA San Marcos LLC.
Body
Board or Commission Action
Not Applicable
Relevant Council Strategic Theme
Planning for the Future
Executive Summary
In 2019, the City sold certain real property located at Grand Avenue and Linda Vista Drive to AOA San Marcos LLC for purposes of commercial development. At the time, the City retained certain portions of the property to facilitate construction of drainage improvements and a bridge, as well as performance of associated creek and habitat restoration. These areas are no longer needed by the City, as construction of the improvements has been completed.
Staff proposes that areas outside the limits of a conservation easement, which areas consist of less than ½ acre, be transferred to AOA San Marcos LLC, as the adjacent property owner, pursuant to a declaration by the City Council that such a transfer is exempt from the Surplus Land Act. Additionally, staff proposes that the City Council authorize the acceptance of emergency access easements and creek maintenance access easements over property currently owned by AOA San Marcos LLC, which will provide the City with access over the area it continues to maintain.
Discussion
The proposed actions arise from the transfer of real property and improvements located thereon from the City to AOA San Marcos LLC (AOA) in 2019. To facilitate the construction of certain drainage improvements and a bridge, as well as the performance of associated creek and habitat restoration, the City retained certain portions of the parcels transferred to AOA. Those improvements have now been completed. To relieve the City of any and all future maintenance, repair, and/or replacement obligations, staff suggests that the City Council authorize the transfer of these areas (“Transfer Areas”), reflected in red on the attached “AOA - City Land Transfer, Emergency Access and Maintenance Easement Exhibit” (“AOA - City Transfer Exhibit”), to AOA, subject to AOA’s acceptance and recordation of its maintenance, repair, and/or replacement obligations over such Transfer Areas and the improvements thereon.
The provisions of the Surplus Land Act (Act) and associated California Department of Housing and Community Development (HCD) Guidelines are applicable to proposed transfers of property. Even for transfer of properties determined to be exempt from the provisions of the Act, the Guidelines require that such transfers be declared exempt by the governing bodies and that such declarations be submitted to HCD for its determination as to applicability of the exemption.
The Act, codified in the California Government Code, provides in section 54221(f)(1)(B) that the definition of “exempt surplus land” includes property that is “less than one-half acre in area and is not contiguous to land owned by a state or local agency that is used for open-space or low- and moderate-income housing purposes,” which description is consistent with the Transfer Area. The Area in question is cumulatively less than ½ acre, and otherwise meets these exemption criteria, which therefore qualifies as an exempt transfer under the Act.
The City retains a conservation easement in the vicinity, and it has a corresponding need to access the area for emergency and for creek maintenance purposes. To facilitate these efforts and to ensure the City has desirable access over the area it continues to maintain, staff requests that the City Council authorize the acceptance of emergency access easements and creek maintenance access easements over the areas delineated in blue on the attached Land Transfer Exhibit.
Environmental Review
The exchange of real property interests performed under this action would not be a “project” as defined under Section 15378 of the California Environmental Quality Act Guidelines (California Code of Regulations, Title 14, Division 6, Chapter 3, Sections 15000 - 15387), and is therefore not subject to environmental review pursuant to Guidelines Section 15060(c)(3).
Fiscal Impact
If the contemplated exchanges of real property interests occurs, the City would be relieved of future maintenance, repair, and/or replacement obligations relating to the Transfer Area and improvements located within the same. With respect to the exchanges, the costs and expenses associated with the same, including escrow and title costs, and associated staff costs, will be the obligation of AOA.
Attachment(s)
1. AOA - City Land Transfer, Emergency Access and Maintenance Easement Exhibit.
2. Resolution declaring that the transfer of real property identified as a portion of Assessor’s Parcel Number 219-152-74-00 to the adjacent property owner is exempt from the Surplus Land Act.
3. Resolution authorizing the City to accept emergency access and creek maintenance access easements over property owned by AOA San Marcos, LLC.
Prepared by: Helen Holmes Peak, City Attorney
Reviewed by: Michelle Bender, City Manager