Resolution No. XX-2023 1 of 3
RESOLUTION NO. XX – 2023
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF EAST PALO ALTO
FINDING THE CITY-OWNED PROPERTY AT 2277 UNIVERSITY AVENUE TO BE EXEMPT
SURPLUS LAND TO BE DISPOSED OF, AND AUTHORIZING THE CITY MANAGER TO
TRANSMIT THIS RESOLUTION TO THE STATE DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT SEEKING CONFIRMATION OF THE PROPERTY’S ELIGIBILITY AS EXEMPT
SURPLUS LAND AND TO COMPLETE DUE DELIGENCE ACTIVITIES IN PREPARATION FOR
THE DISPOSAL OF THE SUBJECT PROPERTY PURSUANT TO THE MEMORANDUM OF
UNDERSTANDING BETWEEN THE CITY OF EAST PALO ALTO AND COUNTY OF SAN MATEO WHEREAS, the 0.36-acre property located at 2277 University Avenue (Property) in the City of East Palo Alto is owned in fee simple by the City of East Palo Alto (City) by way of a Grant Deed certified on February 26, 2014 and accepted by the City, pursuant to Government Code 27281 on March 4, 2014; and
WHEREAS, the Property has a General Plan land use designation of Mixed-Use Corridor and a Zoning designation of MUC-1 Mixed-Use Corridor; and
WHEREAS, the General Plan and Zoning designations of the Property allow mixed-use developments at 22 – 65 dwelling units per acre at a floor area ratio not to exceed 1.75 with allowed uses including multi-family residential, single-family attached residential, retail, services, office, and various other uses; and
WHEREAS, two-thirds of the Property can be used for development of affordable housing and earn eligibility for 35% density bonus (with limited parking) or 80% density bonus (without parking) pursuant to the State Density Bonus Law and the City’s Affordable Housing Ordinance; and WHEREAS, the County of San Mateo has expressed an interest in acquiring the Property with a goal of utilizing it for the development of a 100% affordable housing project; and WHEREAS, the County owns a vacant 1.85-acre property at 1266 Beech Street (Beech Street Property) which adjoins the City’s Martin Luther King (MLK) Park; and WHEREAS, the Beech Street Property has General Plan and Zoning designations of Park/Recreation/Conservation and Parks and Recreation respectively, which are the same designations on the adjoining 5.4-acre MLK Park; and
WHEREAS, the City is desirous of acquiring the Beech Street Property for the purpose of seamlessly integrating it into the neighboring MLK Park to enhance the planning, improvement, and utility of the park; and
WHEREAS, on May 18, 2021, the City Council adopted the Facilities Master Plan, inclusive of the specific goal to discuss potential acquisition of the Beech Street Property for the purposes of expanding MLK Park; and
Resolution No. XX-2023 2 of 3
WHEREAS, in July 2021, City and County representatives met to discuss several items of joint interest, including the potential acquisition of the Beech Street Property, and the City representatives offered to conduct analysis on the City-owned property, as a means of facilitating further consideration of a possible exchange; and
WHEREAS, on February 2, 2022, City and County representatives met again and agreed to enter into an MOU regarding future use of the Beech Street Property and a possible exchange of their respective properties; and
WHEREAS, the City adopted a Resolution, Number 30-2022, on March 15, 2022 authorizing the City Manager to enter into a Memorandum of Understanding (MOU) with the County to explore the potential for certain real property exchange between the City and County; and WHEREAS, the City and County signed a Memorandum of Understanding on March 25, 2022, and April 19, 2022 respectively, allowing their various staffs to pursue opportunities regarding the potential exchange of the Property and Beech Street Property for their mutual benefit; and WHEREAS, since the Property is being acquired by the County for the siting of affordable housing and the City has accordingly added the site as a potential development site in its 2023-2031 Housing Element, it can be found to be exempt from the Surplus Land Act pursuant to Government Code section 54221(f)(1)(C) and 54221(f)(1)(D) in that the City is proposing to exchange the Property with the County property for an agency use and the City is proposing to dispose of the Property to a public agency; and
WHEREAS, since the Beech Street Property is being acquired, as noted by both the City Planning Commission and the City Council, to expand and improve the Martin Luther King Jr. Park, and the City has taken steps to effectuate that end, including adopting a resolution to enter into an MOU with the County to that effect and adopting a master plan that includes such a use, it can be found to be exempt from the Surplus Land Act pursuant to Government Code section 54221(f)(1)(C); and WHEREAS, based on the foregoing, the City Manager recommends that the City Council find the Property exempt from the Surplus Land Act pursuant to Government Code section 54221(f)(1), and permit the City Manager to transmit this resolution to the State Department of Housing and Community Development (HCD) to seek concurrence of the Property’s qualification as exempt surplus land and pursue due diligence measures in preparation for the disposal of the Property.
NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF EAST PALO ALTO HEREBY:
1. Finds the foregoing recitals are true and correct, and are incorporated by this reference into this action;
2. Finds the City-owned 0.36-acre property at 2277 University Avenue in East Palo Alto to be “exempt surplus” land to be disposed of pursuant to Government Code section 54221(f)(1)(C) and/or (D) based on the information in the Staff report accompanying this resolution;
3. Authorizes the City Manager to transmit the adopted resolution to the State Department of Housing and Community Development to seek concurrence of the subject property’s qualification as “exempt surplus” land pursuant to Government Code section 54230.5 (b)(1); Resolution No. XX-2023 3 of 3
4. Authorizes the City Manager to take all action in preparation for the disposal of the subject property pursuant to the Memorandum of Understanding (MOU) between the City of East Palo Alto and County of San Mateo and respectively signed on February 25, 2022, and April 19, 2022, including without limitation, conducting all due diligence activities such as the preparation of title reports, Phase I and II soil reports, geotechnical reports, appraisal reports, etc.; and
5. Finds that the proposed action does not constitute a “project” with the meaning of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines sections 15378(b)(4) and (5) in that it is a governmental fiscal, organizational, or administrative activity that will not result in direct or indirect changes in the environment.
PASSED AND ADOPTED this 18th day of July 2023, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
Lisa Gauthier, Mayor
ATTEST: APPROVED AS TO FORM:
James Colin, City Clerk John D. Lê, City Attorney