uses by the “Friends of the 40 Baywood” group are not in keeping with the residential nature of the Town and are not in compliance with the existing permitted uses for the zoning designation of the property, as recognized by the Trust’s request for the Town to re-zone the property.
Therefore, staff recommends that the City Council not pursue the lease agreement offered to the Town.
FISCAL IMPACT: There is no fiscal impact associated with this agenda item.
ENVIRONMENTAL ISSUES: The proposed discussion and direction on this item is exempt from environmental review pursuant to the California Environmental Quality Act (CEQA) Guidelines sections 15378(b)(2) and 15378(b)(5) as ongoing administrative or organizational activities that will not result in direct or indirect physical changes in the environment.
ATTACHMENTS: General Lease Parameters
PREPARED BY: Doug Davis, City Manager
RECOMMENDATION: Discuss and provide direction to the City Manager regarding 40 Baywood. -174-
2106841.1
General Lease Parameters
Below are the general parameters for a lease from Friends of 40 Baywood (“Charity”) to the Town of Hillsborough (“Town”).
1. The Town leases the Hillsborough parcel (“Property”) for $1 per year for ninety-nine (99) years.
2. The Town may use up to five (5) of the bedrooms for temporary sleeping quarters for firepersons and police offices to use when they have back-to-back shifts (at least 3 of the bedrooms) and or for other Town uses. The Hillsborough Beautification Foundation may use one of such bedrooms at the discretion of the Town.
3. The Town may use the Property for Town meetings and related functions.
4. The Town shall have no right to sub-divide and or develop the Property and shall have no right to modify the Property including but not limited to the structures contained within the Property.
5. The Charity may conduct tours of the Property, but such tours shall not include access to the bedrooms and offices used by the Town.
6. The Property (excluding the house on the Property) may be open to the public at different times for picnics and other such uses.
7. The Property (exclusive of the five (5) bedrooms above used by the Town) may also be used by the Town for education classes, seminars, and other Town functions.
8. The Charity may create and operate a gift shop, concessions, museums, or similar purposes on portions of the Property (other than in the bedrooms used by the Town).
9. The Charity may use the Property (other than the bedrooms used by the Town) for educational purposes, presentation, school functions, building a sense of community, etc.
10. The Charity and or the Town (and its affiliated agencies) may use the Property (exclusive of the bedrooms used by the Town) for events such as, conferences, public meetings, classes, charitable events, limited private functions, and other similar purposes. All such events shall take into account the noise and the time of the day so as to not unreasonably impact neighboring property owners. The use by the Town for such events as set forth above shall include the Town’s use of the adjacent parcel owned by the Charity. Permits will be obtained prior to such events.
11. The Town shall not sublet all or any portion of the Property and shall not assign the lease. -175-
2106841.1
12. The Property shall not be improved with additional housing.
13. The Town shall pay to the Charity the cost to maintain the Property and the adjacent parcel in San Mateo, including but not limited to any property taxes, insurance, repair, replacement, landscaping, gardening, etc.
14. The Charity may provide funding for capital improvements and major repairs to the structures and grounds from time to time, at the discretion of the Charity. The intent as expressed in the Lilienthal Trust is for the Property to be self-sufficient.
15. The Town shall zone the Property to allow for the above-described uses and permits shall be available for such uses at nominal charge.
16. The Charity shall have the right to store art, furniture, furnishings, photos and other memorabilia in the house and some of these items shall only be accessible by the Charity. -176-
TOWN OF HILLSBOROUGH
San Mateo County
1600 Floribunda Avenue
Hillsborough, CA 94010
19 NEW BUSINESS
CITY COUNCIL MEETING
NOVEMBER 13, 2023
AGENDA STAFF REPORT
ITEM SUBJECT: INTRODUCTION OF AN ORDINANCE AMENDING SECTION 1.28.040 OF
THE MUNICIPAL CODE RELATING TO CLAIMS AGAINST THE TOWN AND CONSIDERATION OF A RESOLUTION AMENDING TOWN POLICY NO. 415 - SETTLEMENT AUTHORITY
REGARDING CLAIMS AGAINST THE TOWN PURSUANT TO CEQA GUIDELINE SECTION 15378
SUMMARY: This agenda item proposes modifications to the Town’s Municipal Code Section
1.28.040-Claims Against the Town and Town Policy No. 415 to designate authority to the City Manager or his/her designee to settle or reject claims, threatened lawsuits or lawsuits where the amount to be paid does not exceed $50,000. In addition, the modifications clean up language that is no longer applicable. The action requested is to introduce and waive the first reading of the ordinance and to direct staff to bring back the revised Town policy for City consideration of adoption with the second reading of the ordinance in December.
Background
The Town is a member of PLAN Joint Powers Authority (“PLAN”) which provides general liability and other insurances to twenty-eight member agencies in the San Francisco Bay Area. PLAN makes recommendations to the Town regarding the handling of claims, threatened lawsuits, and actual lawsuits, if covered by the Town’s insurance, but does not have authority to settle or reject claims, threatened lawsuits, or lawsuits, on behalf of the Town, and therefore, the Town designates authority to settle or reject claims against the Town.
Town Policy No. 415 was last updated in 2005. The proposed revision to the settlement authority will assist with the efficient processing and timely resolution of claims and litigation. For claims where liability is clear and the dollar value is relatively low, scheduling the claim for City Council consideration in closed session causes inefficiencies due to administrative burden and can result in unnecessary costs to the Town. As such, the proposed revisions to the policy would delegate authority to the City Manager, or his/her designee, to make decisions to settle or reject claims, threatened lawsuits, or lawsuits where the amount to be paid does not exceed $50,000, rather than the current $5,000 settlement authority. In addition, the policy has been expanded to provide the City Manager, with approval of the City Attorney, authority to enter into agreements on behalf of the Town as necessary to effectuate resolution or settlement of any claims, threatened litigation, or pending litigation up to $50,000. Additionally, a clean-up is proposed to remove the reference to an “Administration Commissioner” position that is not defined in Town policy.
The proposed modification to the Town’s Ordinance Section 1.28.040 Claims Against the Town modifies the language to clarify the delegation of authority to the City Manager, and the revisions to Policy No. 415 outline the authority levels. If the ordinance is introduced this evening, Policy No. -177-
Agenda Staff Report - Hillsborough City Council
November 13, 2023
415 will be brought to the City Council for adoption at the December 2023 City Council meeting with the adoption/second reading of the ordinance.
FISCAL IMPACT: There is no fiscal impact with this agenda item.
ENVIRONMENTAL ISSUES: The proposed action is exempt from environmental review pursuant to the California Environmental Quality Act (CEQA) Guidelines sections 15387(b)(2) and 15378(b)(5) as ongoing administrative or organizational activities that will not result in direct or indirect physical changes to the environment.
ATTACHMENTS:
1. Draft Ordinance
2. Policy No. 415 - Settlement Authority Regarding Claims Against the Town (redline) PREPARED BY: Jan Cooke, Finance Director
RECOMMENDATION:
1. Introduce and waive further reading of an ordinance entitled, “Ordinance of the City Council of the Town of Hillsborough Amending Section 1.28.040 of the Hillsborough Municipal Code Relating to Claims Against the Town”.
2. Direct staff to bring back to the City Council a resolution approving amendments to Policy No. 415.
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ORDINANCE NO.
ORDINANCE OF THE CITY COUNCIL OF THE TOWN OF HILLSBOROUGH AMENDING SECTION 1.28.040 OF THE HILLSBOROUGH MUNICIPAL CODE
RELATING TO CLAIMS AGAINST THE TOWN
THE CITY COUNCIL OF THE TOWN OF HILLSBOROUGH HEREBY FINDS AND ORDAINS:
WHEREAS, the Town presently provides a procedure for submission of government tort claims at Hillsborough Municipal Code, Chapter 1.28; and WHEREAS, the City Council desires to amend the Section 1.28.040-Claim prerequisite to suit of the Hillsborough Municipal Code to clarify that other Town officials beyond the City Council can act on claims consistent with the new delegated authority to the City Manager in revised Policy 415.
NOW, THEREFORE, the City Council of the Town of Hillsborough does ordain as follows:
Section 1. The recitals above are each incorporated by reference and adopted as findings by the City Council.
Section 2. Section 1.28.040 of the Hillsborough Municipal Code is hereby amended and restated to read as follows:
“1.28.040 – Claim prerequisite to suit.
In accordance with California Government Code Sections 935(b) and 945.6, all claims shall be presented as provided in this section and acted upon by the Town prior to the filing of any action on such claims, and no such action may be maintained by a person who has not complied with the requirements of Section 1.28.020.” Section 3. This ordinance takes effect thirty (30) days after adoption.
Section 4. If any provision of this ordinance or its application to any person or circumstance is held to be invalid, such invalidity has no effect on the other provisions or applications of this ordinance that can be given effect without the invalid provision or application and, to this extent, the provisions of this ordinance are hereby declared to be severable.
Section 5. This proposed ordinance is exempt from environmental review pursuant to the California Environmental Quality Act (CEQA) Guidelines sections 15387(b)(2) and 15378(b)(5) as ongoing administrative or organizational activities that will not result in direct or indirect physical changes to the environment.
Section 6. No less than five days prior to the adoption of this Ordinance, the City Clerk published a summary of this Ordinance in accordance with Government Code section 36933. The City Clerk will certify to the passage of this Ordinance by the City Council of the Town of Hillsborough, California, and cause a summary to be published once within fifteen (15) -179-
ATTACHMENT 1
days after its passage in a newspaper of general circulation, printed, published and circulated in the City in accordance with Government Code section 36933.
ORDINANCE NO. ____ of the Town of Hillsborough introduced on __________, and adopted on ___________ by the following vote of the City Council:
AYES: Councilmembers
NOES: Councilmembers
ABSENT: Councilmembers
ABSTAIN: Councilmembers
______________________________
Mayor of the Town of Hillsborough
___________________________
Attest: City Clerk
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T O W N O F H I L L S B O R O U G H
P E R S O N N E L P O L I C Y
POLICY 415 LAST REVISED 1/5/05
SUBJECT: SETTLEMENT AUTHORITY REGARDING CLAIMS AND
LITIGATION AGAINST THE TOWN
PURPOSE: To establish authority for settling claims and litigation against the Town.
STATEMENT OF POLICY:
The Town’s third party claims administrator does not have the authority to settle claims on behalf of the Town without receiving the Town’s approval.
The City Manager, or his or her designee, can accept and/or approve settlements for claims, threatened litigation, or pending litigation where the amount to be paid by the Town does not exceed up to $50,000. The City Manager also has authority to reject claims where the amount sought does not exceed $50,000. The City Manager, with approval by the City Attorney, shall have authority to enter into agreements on behalf of the Town as necessary to effectuate resolution or settlement of any claims, threatened litigation, or pending litigation under the City Manager’s authority.
For all other claims and litigation, the City Council shall have the sole authority to accept, approve settlements, or reject claims or other demands.
The Administration Commissioner can approve settlements up to $10,000.
All claims in excess of $10,000 or claims that involve litigation will be presented to the City Council for review.
The third party administrator will disburse funds following the approval of a settlement by the Town.
Rejection of claims shall be handled by the City Council.
Prior Revision Versions: 1/5/2005, 7/12/2000
POLICY 415 1 CLAIMS AGAINST THE TOWN
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ATTACHMENT 2