2646873v9 / Attorney Initials - updated 1/9/2022
1 APPROVED AS TO FORM AND LEGALITY
________________________
CITY ATTORNEY’S OFFICE
OAKLAND CITY COUNCIL
RESOLUTION NO. ______________ C.M.S.
RESOLUTION, AS RECOMMENDED BY THE LANDMARKS
PRESERVATION ADVISORY BOARD, APPROVING THREE (3) MILLS
ACT CONTRACTS BETWEEN THE CITY OF OAKLAND AND THE
PROPERTIES AT 295 MACARTHUR BOULEVARD, 867 WILLOW
STREET, AND 3220 MACARTHUR BOULEVARD, PURSUANT TO
ORDINANCE NO. 12987 C.M.S., TO PROVIDE PROPERTY TAX
REDUCTIONS IN EXCHANGE FOR OWNERS’ AGREEMENT TO
REPAIR AND MAINTAIN HISTORIC PROPERTIES IN ACCORDANCE
WITH SUBMITTED WORK PROGRAMS AND APPROVING TOTAL
CITY TAX REVENUE REDUCTION ESTIMATED TO BE BELOW $25,000
PER YEAR, AND MAKING CALIFORNIA ENVIRONMENTAL QUALITY
ACT FINDINGS
WHEREAS, the City of Oa kland (City) General Plan Historic Preservation Element Policy 2.6.l calls for the adoption of a Mills Act contract program pursuant to Sections 50280-90 of the California Government Code and Section 439.2 of the California Revenue and Taxation Code, to promote historic preservation in the City of Oakland; and
WHEREAS, the Oakland City Council adopted a pilot Mills Act program on February 6, 2007, by Ordinance No. 12784 C.M.S. and a permanent Mills Act Property Tax Abatement Program (Mills Act Program) for qualified historic properties on January 5, 2010, by Ordinance No. 12987 C.M.S.; and
WHEREAS, the implementation of the Mills Act Program meets numerous General Plan goals and policies, including housing rehabilitation, preservation of community chara cter and identity, blight prevention and correction, support of skilled building trades, sustainability, revitalization, and image; and
WHEREAS, the City has received thre e Mills Act contract applications in 202 3 from qualified properties: (1) 295 MacArthur Boulevard, a ten-unit 1922 California Spanish bungalow court in the Adams Point neighborhood; (2) 867 Willow Street, an 1875-76 Italianate vernacular cottage in the National Register eligible Oakland Point district; (3) 3220 MacArthur Boulevard, a 1900-03 Queen Anne-Colonial house in the Dimond/Laurel neighborhood; and
WHEREAS, all three properties were designated as Heritage Properties by the Landmarks Preservation Advisory Board on August 7 2023, making them City of Oakland Designated Historic Properties and eligible to apply for Mills Act participation; and
WHEREAS, estimates of 202 4-25 ad valorem property tax reductions for the thre e individual properties range from $4,118 to $12.095, for a total of $26,989, all of which is required to be reinvested in restoration and upkeep of these historic Oakland properties; and
WHEREAS, the City receives approximately 27.28% of ad valorem property taxes collected by Alameda County, so that the City’s share of the potential Mills Act tax reductions would be approximately $7,363; and
WHEREAS, the Mills Act Program capped fiscal impacts of new Mills Act contracts on City tax revenues at $25,000 per year plus up to $500,000 impact on Redevelopment tax revenues; and
WHEREAS, the Mills Act Program provides that tax losses may exceed the program limits with approval of the City Council; and
WHEREAS, despite rising property prices the estimated first- year City property tax revenue reduction from new 2023 Mills Act contracts, at $7,363, remains well below the Mills Act Program City revenue reduction cap of $25,000; and
WHEREAS, this action is exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA guidelines sections 15301 (Existing Facilities); 15305 (Minor Alterations in Land Use Limitations); 15306 (Information Collection); 15308 (Actions by Regulatory Agencies for Protection of the Environment); 15331 (Historical Resource Restoration/ Rehabilitation); and
WHEREAS, at a duly noticed meeting on August 7, 2023, the Landmarks Preservation Advisory Board recommended the three applications for Mills Act contract approval for 2023 and expressed support for the revenue reduction in view of the benefits of the specific nominated projects and the Mills Act Program in general; and
WHEREAS, at a duly noticed meeting on September 13, 2023, the Planning Commission received and accepted an Informational Report on the Landmarks Board’s Mills Act contract recommendations; now, therefore be it
RESOLVED: That the City Council finds and determines that the decision made hereby is made in conformance with the requirements of CEQA; and be it
FURTHER RESOLVED: That the City Administrator is hereby authorized to enter into Mills Act contracts, subject to review and approval of the City Attorney, in substantial conformity with the previously- approved model Mills Act contract, w ith the owners of the following properties:
295 MACARTHUR BOULEVARD, Oakland CA
867 WILLOW STREET, Oakland CA
3220 MACARTHUR BOULEVARD, Oakland CA; and be it
FURTHER RESOLVED: That the City Administrator is hereby authorized to take all actions necessary to implement the previously approved Mills Act P rogram consistent with this Resolution.
IN COUNCIL, OAKLAND, CALIFORNIA,
PASSED BY THE FOLLOWING VOTE:
AYES - FIFE, GALLO, JENKINS, KALB, KAPLAN, RAMACHANDRAN, REID, AND
PRESIDENT FORTUNATO BAS
NOES –
ABSENT –
ABSTENTION –
ATTEST:
ASHA REED
City Clerk and Clerk of the Council of
the City of Oakland, California