RESOLUTION NO. SA-2022-XX
A RESOLUTION OF THE SUCCESSOR AGENCY OF THE CITY OF FULLERTON, CALIFORNIA, APPROVING THE FORM OF AN AGREEMENT FOR PURCHASE AND SALE AND ESCROW INSTRUCTIONS FOR PROPERTY TO USE AS A PUBLIC PARKING AREA / PARKING STRUCTURE, LOCATED ON APPROXIMATELY 48,170 SQUARE FEET OF LAND SOUTH OF ELLIS PLACE (APNS 029-033-09, 029-033-10, 029-033-27 AND 029-033-28) WHEREAS, the City of Fullerton in its capacity as the Successor Agency to the Fullerton Redevelopment Agency, a public body, corporate and politic (Successor Agency) owns of that certain real property located in the City of Fullerton, County of Orange, State of California, comprising approximately 48,170 square feet of land with Assessor’s Parcel Numbers (APNs) 029-033-09, 029-033-10, 029-033-27 and 029-033-28 (the Property).
WHEREAS, the Agency transferred the property to the City pursuant to the Long-Range Property Management Plan (LRPMP) governing the real properties of the former Fullerton Redevelopment Agency (RDA), which dissolved and wound-down pursuant to the Redevelopment Dissolution Law, Health and Safety Code section 34170 et seq. (Dissolution Law). In accordance with the Dissolution Law, the Agency prepared, pursuant to Health and Safety Code section 34191.1 et seq., the LRPMP, which the California Department of Finance (DOF ) approved on or about December 22, 2015, pursuant to Health and Safety Code Sections 34191.3(a) and 34191.5. The LRPMP identifies the property is identified as “Asset #3”.
WHEREAS, the Property is subject to an “enforceable obligation” as defined by Health and Safety Code Sections 34171(d). Specifically, the Property is subject to Section 6.2.2 of that certain Owner Participation Agreement, entered into on or about June 4, 1991, by and between the RDA and Steven Peck, as Trustee of the Steven Peck Inter Vivos Trust (OPA). The LRPMP, as approved by DOF, required the City to retain the Property for use to fulfill the enforceable obligation pursuant to Health and Safety Code Section 34191.5(c)(2) and the DOF approval letter dated December 22, 2015. Furthermore, DOF approved funding from the Redevelopment Property Tax Trust Fund (RPTTF), established pursuant to the Dissolution Law to pay for enforceable obligations of former redevelopment agencies.
WHEREAS, the City holds $6,000,000 in a separate account for the specific purpose of contributing to the funding of the construction of a public parking structure and related improvements to serve and use as a public parking area on the Property in accordance with the DOF-approved LRPMP and determination that the OPA is an “enforceable obligation” under the Dissolution Law.
WHEREAS, Fullerton Municipal Code (FMC) Section 15.30.030.3 permits, among other enumerated uses, a public parking use by right in the C-3 Central Business District Commercial Zone.
WHEREAS, the Property is located in the C-3 Central Business District Commercial Zone.
WHEREAS, the Property is subject to and governed by that certain Exclusive Negotiation Agreement by and between City and the applicant (NFRED LLC, affiliate of Frontier Parking Ventures LLC), dated May 21, 2020, as amended (ENA). The Property is subject to the ENA as former RDA real property, with the ENA timely executed, such that the prior land use disposition provisions under Government Code section 54220 et seq. (Surplus Land Act), in effect prior to the enactment of Assembly Bill 1486 (Stats. 2019, Ch. 664), would apply to the Property if the Surplus Land Act even were to apply to the Property. To that end, the purchase and sale of the Property for the required improvements and use is in furtherance of an “agency’s use,” as defined in Government Code Section 54421(c)(1), as the Property will remain for use by the public as a “public parking area” as defined in Fullerton Municipal Code Section 15.30.030.3 [Permitted Uses in the C-3 Zoning District]. Therefore, the disposition of the Property pursuant to this Agreement is not subject to the Surplus Land Act, and even if the disposition of the Property were subject to the Surplus Land Act, the disposition would be in compliance with said act in effect prior to then enactment of Assembly Bill 1486 (Stats. 2019, Ch. 664).
WHEREAS, the applicant (Frontier Parking Ventures LLC, affiliate of NFRED LLC) approached City and Agency to acquire the Property for the purpose of constructing a public parking structure to serve as a public parking area and thereafter operate and maintain the Property for such use. In exchange for the construction, operation, and maintenance of the Property, the City will contribute the amount approved by DOF for the construction of a parking structure, subject to a condition of regulatory approval with a building permit for such construction and use as a public parking area.
WHEREAS, the use of the Property as a public parking area is a use by right under FMC Section 15.30.030.3 and the City of Fullerton, as Lead Agency, determined that the proposed use is a Ministerial Project, Use by Right, exempt from review under the California Environmental Quality Act (CEQA) pursuant to Public Resources Code section 21080(b)(1) and CEQA Guidelines section 15060(c)(1).
WHEREAS, City Council has considered the information contained in Agenda Report and attachment materials, dated November 15, 2022.
NOW, THEREFORE, THE SUCCESSOR AGENCY OF THE CITY OF FULLERTON RESOLVES AS FOLLOWS:
In all respects, as set forth above, the Recitals of this Resolution constitute the findings of the City Council.
City Council approves the Agreement for Purchase and Sale and Escrow Instructions, substantially in the form attached to the Agenda Report accompanying this Resolution (Agreement), subject to the execution of the Agreement being contingent upon it being a condition of regulatory approval for a building permit obtained by the applicant for the construction and use of the Property as a parking structure serving as a public parking area.
City Council authorizes the City Manager, on behalf of the City, to execute the Agreement, but only if and subject to the Agreement being a condition of regulatory approval for a building permit obtained by the applicant for the construction and use of the Property as a parking structure serving as a public parking area.
The City Manager, or authorized designee, shall have the authority to execute any additional implementing agreements or documents (including recorded instruments) to perform the City’s obligations under the Agreement and applicable conditions of approval.
ADOPTED BY THE FULLERTON SUCCESSOR AGENCY ON NOVEMBER 15, 2022. __________________
Fred Jung
Mayor
ATTEST:
__________________
Lucinda Williams, MMC
City Clerk
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Date
4 Resolution No. 2022-XXX