RESOLUTION R2025-XX
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NAPA, STATE OF CALIFORNIA, DECLARING 3875 JEFFERSON STREET EXEMPT SURPLUS LAND IN ACCORDANCE WITH THE SURPLUS LAND ACT WHEREAS, there is a significant need for both affordable housing and workforce housing in Napa; and WHEREAS, in March of 2023, the City of Napa (“City”) acquired approximately 2.75 acres located at 3875 Jefferson Street (“the Site”) for the development of affordable housing; and WHEREAS, the boundaries of the Site are defined by the legal description set forth in Exhibit “A”, attached hereto and incorporated herein by reference; and WHEREAS, after completing site improvements, the City released a Request for Proposals in August 2024 for development of the Site; and WHEREAS, the Request for Proposals was delivered to all parties listed on the State of California Department of Housing and Community Development (HCD) Developers Interest List on August 16, 2024; and WHEREAS, the City received three responses to the Request for Proposals, and all were deemed qualified responses; and WHEREAS, a committee of staff completed scoring on all responses; and WHEREAS, the top scoring response was submitted by Nova Domus Development, LLC and includes 19 units of for sale affordable housing to be developed and operated under a housing land trust model (“the Project”); and WHEREAS, the Project includes 15 units of for sale affordable housing to be developed and sold to households earning up to 80 percent area median income and 4 units of for sale affordable housing to be developed and sold to households earning up to 120 percent area median income; and WHEREAS, the City intends to enter into an Exclusive Negotiating Agreement with Nova Domus Development, LLC for development of the Site; and WHEREAS, the City must comply with Government Code Sections 54220-54234 (the “Surplus Land Act”) prior to disposing surplus land; and WHEREAS, the City may dispose of the Site as exempt surplus land as defined in Government Code Section 54221(f)(1)(F); and WHEREAS, Government Code Section 54221 (f)(1)(F) defines exempt surplus land to include land that is to be developed for housing development that restricts 100 percent of the residential units to persons and families of low or moderate-income, with at least 75 percent of the residential units restricted to lower income households, as defined in Section 50079.5 of the Health and Safety Code, with an affordable sales price or an affordable rent, as defined in Section 50052.5 or 50053 of the Health and Safety Code; and WHEREAS, the Site does not include any of the characteristics listed in Government Code Section 54221 (f)(2) because the Site is not: within a coastal zone; adjacent to a historical unit of the State Parks System; listed on, or determined by the State Office of Historic Preservation to be eligible for, the National Register of Historic Places; or, within the Lake Tahoe region as defined in Government Code Section 66905.5; and WHEREAS, pursuant to the Surplus Land Act Guidelines, issued by the State of California Department of Housing and Community Development (“HCD”) to interpret and implement the Surplus Land Act, the City Council’s determination that the property is exempt surplus land shall be provided to HCD for its review at least 30 days prior to disposition; and WHEREAS, the City Council has considered all information related to this matter, as presented at the public meetings of the City Council identified herein, including any supporting reports by City Staff, and any information provided during public meetings.
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Napa, as follows:
1. The City Council hereby finds that the facts set forth in the recitals to this Resolution are true and correct, and establish the factual basis for the City Council’s adoption of this Resolution.
2. The City Council hereby determines that the action approved by this resolution is not in-and-of-itself a “project” (pursuant to CEQA Guidelines Section 15378) since it does not result in a physical change in the environment. However, the Recommended Action is part of a larger “project” that will be subject to environmental review in accordance with CEQA at the “earliest feasible time” prior to “approval” consistent with CEQA Guidelines Sections 15004 and 15352. The larger “project” is execution of an agreement with a developer for the transfer and development of the Site for affordable housing. Staff anticipates completing all required CEQA analysis for the project prior to City Council’s approval of such an agreement.
3. The City Council hereby declares that the Site is exempt surplus land as defined in Government Code Section 54221(f)(1)(F) of the Surplus Land Act because the Project will include more than 75 percent of the units for sale to low income households earning up to 80 percent area median income, and each unit restricted for low income households will be offered an affordable housing cost, in accordance with California Health and Safety Code Section 50052.5. Pursuant to the Surplus Land Act Guidelines, the affordable housing cost shall not be higher than 20 percent below the median market sales price for the neighborhood in which the Site is located (as determined by the zip code for the most recent median market sales price date). The disposition of the Site will require a recorded covenant that complies with the requirements of the Surplus Land Act Guidelines and Government Code Section 54221(f)(1)(F), which shall impose the affordability requirement for a period of 55 years for rental housing, 45 years for ownership housing, and 50 years for rental or ownership housing located on tribal trust lands, unless a local ordinance or a federal, state, or local grant, tax credit, or other project financing requires a longer period of affordability. The covenant shall be recorded against the surplus land at the time of sale that shall run with the land and be enforceable against any owner who violates the covenant or restriction and each successor in interest who continues the violation.
4. The staff is hereby authorized and directed to submit a copy of this Resolution to HCD at least 30 days prior to disposition in accordance with the Surplus Land Act Guidelines.
5. This Resolution shall take effect immediately upon its adoption.
I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the City Council of the City of Napa at a public meeting of said City Council held on the 18th day of March, 2025, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST: ________________________
Tiffany Carranza
City Clerk
Approved as to form:
_________________________
Christopher Diaz
City Attorney
R2025-XX Page PAGE 3 of NUMPAGES 3 March 18, 2025
ATTACHMENT 1
R2025-XX Page PAGE 1 of NUMPAGES 3 March 18, 2025