CITY OF POMONA
COUNCIL REPORT
October 21, 2024
To: Honorable Mayor and Members of the City Council
From: Anita Gutierrez, Ed. D, AICP, City Manager
Submitted By: Betty Donavanik, Development Services Director SUBJECT: APPROVAL OF 17 MILLS ACT CONTRACTS FOR HISTORIC PROPERTIES RECOMMENDATION:
It is recommended that the City Council adopt the following resolutions:
RESOLUTION NO. 2024-158. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POMONA, CALIFORNIA, APPROVING A MILLS ACT CONTRACT FOR A PROPERTY LOCATED AT 525 EAST ALVARADO STREET RESOLUTION NO. 2024-159. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POMONA, CALIFORNIA, APPROVING A MILLS ACT CONTRACT FOR A PROPERTY LOCATED AT 163 AND 165 EAST KINGSLEY AVENUE RESOLUTION NO. 2024-160. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POMONA, CALIFORNIA, APPROVING A MILLS ACT CONTRACT FOR A PROPERTY LOCATED AT 375 WEST ALVARADO STREET RESOLUTION NO. 2024-161. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POMONA, CALIFORNIA, APPROVING A MILLS ACT CONTRACT FOR A PROPERTY LOCATED AT 361 EAST ALVARADO STREET RESOLUTION NO. 2024-162. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POMONA, CALIFORNIA, APPROVING A MILLS ACT CONTRACT FOR A PROPERTY LOCATED AT 171 LINCOLN AVENUE RESOLUTION NO. 2024-163. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POMONA, CALIFORNIA, APPROVING A MILLS ACT CONTRACT FOR A PROPERTY LOCATED AT 337 LINCOLN AVENUE RESOLUTION NO. 2024-164. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POMONA, CALIFORNIA, APPROVING A MILLS ACT CONTRACT FOR A PROPERTY LOCATED AT 306 LINCOLN AVENUE RESOLUTION NO. 2024-165. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POMONA, CALIFORNIA, APPROVING A MILLS ACT CONTRACT FOR A PROPERTY LOCATED AT 366 EAST COLUMBIA AVENUE RESOLUTION NO. 2024-166. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POMONA, CALIFORNIA, APPROVING A MILLS ACT CONTRACT FOR A PROPERTY LOCATED AT 438 RANDOLPH STREET RESOLUTION NO. 2024-167. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POMONA, CALIFORNIA, APPROVING A MILLS ACT CONTRACT FOR A PROPERTY LOCATED AT 572 EAST COLUMBIA AVENUE RESOLUTION NO. 2024-168. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POMONA, CALIFORNIA, APPROVING A MILLS ACT CONTRACT FOR A PROPERTY LOCATED AT 296 EAST COLUMBIA AVENUE RESOLUTION NO. 2024-169. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POMONA, CALIFORNIA, APPROVING A MILLS ACT CONTRACT FOR A PROPERTY LOCATED AT 269 EAST ALVARADO STREET RESOLUTION NO. 2024-170. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POMONA, CALIFORNIA, APPROVING A MILLS ACT CONTRACT FOR A PROPERTY LOCATED AT 795 NORTH PARK AVENUE RESOLUTION NO. 2024-171. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POMONA, CALIFORNIA, APPROVING A MILLS ACT CONTRACT FOR A PROPERTY LOCATED AT 273 LINCOLN AVENUE RESOLUTION NO. 2024-172. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POMONA, CALIFORNIA, APPROVING A MILLS ACT CONTRACT FOR A PROPERTY LOCATED AT 290 HERITAGE COURT RESOLUTION NO. 2024-173. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POMONA, CALIFORNIA, APPROVING A MILLS ACT CONTRACT FOR A PROPERTY LOCATED AT 185 EAST JEFFERSON AVENUE RESOLUTION NO. 2024-174. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POMONA, CALIFORNIA, APPROVING A MILLS ACT CONTRACT FOR A PROPERTY LOCATED AT 134 EAST COLUMBIA AVENUE EXECUTIVE SUMMARY:
The matter before the City Council is consideration of 17 Mills Act contracts, which if approved would allow for a reduction in the property taxes of these historically designated properties in exchange for restoring and maintaining the building in accordance with a Restoration, Rehabilitation and Preservation Plan reviewed and approved by the Historic Preservation Commission.
FISCAL IMPACT:
Approval of all 17 Mills Act contracts will result in an estimated property tax savings to the property owners for FY 2024/2025 of approximately $73,313.54 combined. Based on this estimate, over the ten-year period of the contract, the estimated decrease in property tax collected by the Los Angeles County Assessor is estimated to be approximately $733,135.40 combined. The total cost to the City of Pomona through the decrease in taxes collected is expected to be approximately $17,119.00 for fiscal year 2024/25 and $171,190.00 over the next 10 years. The actual amount of the decrease for future years will be directly related to the assessed value of the properties as determined by the Los Angeles County Office of the Assessor, which is affected by rental values and interest rates.
PUBLIC NOTICING REQUIREMENTS:
None required with this action.
PREVIOUS RELATED ACTION:
The 17 applications were recommended for approval by the Historic Preservation Commission (“HPC”) on September 4, 2024.
ENVIRONMENTAL IMPACT:
No Environmental Impact.
DISCUSSION:
Enacted in 1972 by the State of California, the Mills Act legislation grants participating local governments the authority to enter into contracts (Mills Act contracts) with owners of qualified historic properties who actively participate in restoring and maintaining their historic properties while receiving property tax relief. The minimum contract period is 10 years, with an automatic annual one-year extension. Each local government establishes its own criteria for evaluating Mills Act program applications. The City’s current Mills Act program was initially adopted in 2002, with a revised and restated program adopted in 2008.
The City’s Mills Act program requires that the estimated property tax saving realized during the first 10 years following execution of a contract be spent on completing the schedule of projects included in the Restoration, Rehabilitation and Preservation Plan (RR&P Plan) approved by the HPC.
This year the city received 19 applications. Two application were withdrawn after staff determined that the owners were not going to save any money through the Mills Act program. The remaining 17 applications were recommended for approval by the Historic Preservation Commission on September 4, 2024.
The estimated tax savings during the first 10 years of the Mills Act contract for the subject properties are approximately $733,135.40 combined while the rehabilitation plans includes projects with an estimated total cost of $1,058,816.00.
It is estimated that these 17 contracts will cost the City $17,119.00 per year ($171,190.00 over 10 years). Based on the estimated cost to the City, Pomona is receiving $6.19 in proposed improvements for every $1 it costs the City. A summary of each Mills Act Contract is below. 525 East Alvarado Street (MILLS-000777-2024)
Designated as part of the Lincoln Park Historic District, this property is a good example of Craftsman Bungalow architecture. The estimated tax savings during the first 10 years of the Mills Act contract for the subject property is approximately $55,458.60 while the approved Plan includes projects with an estimated cost of $58,534.00. These projects include repairing the chimney and fireplace, repainting the exterior of the house, and repairing the front porch columns. Staff has estimated that this Mills Act contract will cost the City of Pomona $12,949.60 over 10 years. 163 and 165 East Kingsley Avenue (MILLS-000811-2024)
Designated as part of the Lincoln Park Historic District, this property is a good example of Craftsman Bungalow architecture and early duplexes in Pomona. The estimated tax savings during the first 10 years of the Mills Act contract for the subject property is approximately $22,263.60 while the approved Plan includes projects with an estimated cost of $27,000.00. These projects include repairing hardscape, repainting the exterior, repairing heating, repairing windows screens, and a kitchen remodel for one of the units. Staff has estimated that this Mills Act contract will cost the City of Pomona $5,198.60 over 10 years. 375 West Alvarado Street (MILLS-000820-2024)
Designated as part of the Wilton Heights Historic District, this property is a great example of Tudor Revival architecture. The estimated tax savings during the first 10 years of the Mills Act contract for the subject property is approximately $46,934.48 while the approved Plan includes projects with an estimated cost of $57,500.00. These projects include replacing all the house systems, including repiping, rewiring, and installing a new ducted HVAC system. Staff has estimated that this Mills Act contract will cost the City of Pomona $10,959.30 over 10 years. 361 East Alvarado Street (MILLS-000831-2024)
Designated as part of the Lincoln Park Historic District, this property is a good example of Craftsman Bungalow architecture. The estimated tax savings during the first 10 years of the Mills Act contract for the subject property is approximately $31,757.40 while the approved Plan includes projects with an estimated cost of $53,570.00. These projects include repiping the house, and painting the exterior and interior. Staff has estimated that this Mills Act contract will cost the City of Pomona $7,415.40 over 10 years. 171 Lincoln Avenue (MILLS-000844-2024)
Designated as part of the Lincoln Park Historic District, this property is a good example of Craftsman Bungalow architecture. The estimated tax savings during the first 10 years of the Mills Act contract for the subject property is approximately $58,991.60 while the approved Plan includes projects with an estimated cost of $64,887.00. These projects include repainting the exterior and interior, repairing the porte-cochere, and installing ducted HVAC. Staff has estimated that this Mills Act contract will cost the City of Pomona $13,774.50 over 10 years. 337 Lincoln Avenue (MILLS-000846-2024)
Designated as part of the Lincoln Park Historic District, this property is a good example of Craftsman Bungalow architecture. The estimated tax savings during the first 10 years of the Mills Act contract for the subject property is approximately $72,925.20 while the approved Plan includes projects with an estimated cost of $101,300.00. These projects include replacing the vinyl siding with a historically and architecturally appropriate siding and trim and painting the exterior, sealing HVAC ducts, foundation repair, window repairs, and plumbing repair for the upstairs bathroom. Staff has estimated that this Mills Act contract will cost the City of Pomona $17,028.00 over 10 years. 306 Lincoln Avenue (MILLS-000838-2024)
Designated as part of the Lincoln Park Historic District, this property is a great example of Mediterranean Revival architecture. The estimated tax savings during the first 10 years of the Mills Act contract for the subject property is approximately $73,445.80 while the approved Plan includes projects with an estimated cost of $78,000.00. These projects include repainting the exterior, reroofing the house, and refinishing the wood floors. Staff has estimated that this Mills Act contract will cost the City of Pomona $17,149.60 over 10 years. 366 East Columbia Avenue (MILLS-000848-2024)
Designated as part of the Lincoln Park Historic District, this property, once restored will be a great example of the Craftsman Bungalow architecture. The estimated tax savings during the first 10 years of the Mills Act contract for the subject property is approximately $30,586.90 while the approved Plan includes projects with an estimated cost of $68,250.00. These projects include removing the stucco and installing appropriate clapboard siding and window trim and replacing the non-historic windows with appropriate windows. Staff has estimated that this Mills Act contract will cost the City of Pomona $7,142.00 over 10 years. This application is conditioned on changing the designation of the property from noncontributing to contributing, which is before the City Council separately as a public hearing. 438 Randolph Street (MILLS-000826-2024)
Designated as part of the Wilton Heights Historic District, this property is a good example of Craftsman Bungalow architecture and early multi-family development. The estimated tax savings during the first 10 years of the Mills Act contract for the subject property is approximately $26,752.20 while the approved Plan includes projects with an estimated cost of $35,567.00. These projects include landscaping the front yard and repairing the driveways, and repairing the front and back porches. Staff has estimated that this Mills Act contract will cost the City of Pomona $6,246.60 over 10 years. 572 East Columbia Avenue (MILLS-000856-2024)
Designated as part of the Lincoln Park Historic District, this property is a great example of Craftsman Bungalow architecture. The estimated tax savings during the first 10 years of the Mills Act contract for the subject property is approximately $53,625.80 while the approved Plan includes projects with an estimated cost of $78,140.00. These projects include Repainting the exterior, reroofing the house, fixing the windows, installing new HVAC, and repairing the front door. Staff has estimated that this Mills Act contract will cost the City of Pomona $12,521.60 over 10 years. 296 East Columbia Avenue (MILLS-000852-2024)
Designated as part of the Lincoln Park Historic District, this property is a great example of Craftsman Bungalow architecture. The estimated tax savings during the first 10 years of the Mills Act contract for the subject property is approximately $49,374.80 while the approved Plan includes projects with an estimated cost of $49,690.00. These projects include refinishing the wood floors, doing irrigation maintenance, and painting the exterior. Staff has estimated that this Mills Act contract will cost the City of Pomona $11,529.00 over 10 years. 269 East Alvarado Street (MILLS-000867-2024)
Designated as part of the Lincoln Park Historic District, this property is a great example of Craftsman Bungalow architecture. The estimated tax savings during the first 10 years of the Mills Act contract for the subject property is approximately $50,741.70 while the approved Plan includes projects with an estimated cost of $83,063.00. These projects include repainting the exterior and interior, reroofing both the house and garage, repairing windows, refinishing wood floors and remodeling a bathroom. Staff has estimated that this Mills Act contract will cost the City of Pomona $11,848.20 over 10 years. 795 North Park Avenue (MILLS-000888-2024)
Designated as part of the Wilton Heights Historic District, this property is a good example of Craftsman Bungalow architecture. The estimated tax savings during the first 10 years of the Mills Act contract for the subject property is approximately $44,590.70 while the approved Plan includes projects with an estimated cost of $142,000.00. These projects include replacing vinyl windows with appropriate wood windows, painting the exterior, reroofing the house and plumbing and electrical repairs and upgrades. Staff has estimated that this Mills Act contract will cost the City of Pomona $10,411.90 over 10 years. 273 Lincoln Avenue (MILLS-000881-2024)
Designated as part of the Lincoln Park Historic District, this property is a great example of Colonial Revival Bungalow architecture. The estimated tax savings during the first 10 years of the Mills Act contract for the subject property is approximately $39,590.30 while the approved Plan includes projects with an estimated cost of $76,315.00. These projects include repainting the exterior, reroofing the house and garage, replacing the HVAC, and repairing the windows. Staff has estimated that this Mills Act contract will cost the City of Pomona $9,244.30 over 10 years. 290 Heritage Court (MILLS-000990-2024)
Designated as a Local Historic Landmark, this property is a great example of Craftsman Bungalow architecture. The estimated tax savings during the first 10 years of the Mills Act contract for the subject property is approximately $3,735.40 while the approved Plan includes projects with an estimated cost of $6,750.00. These projects include repainting the porch and repairing the window screens. Staff has estimated that this Mills Act contract will cost the City of Pomona $872.20 over 10 years. This application is conditioned on the designation of the property, which is before the City Council separately as a public hearing. 185 East Jefferson Avenue (MILLS-001009-2024)
Designated as part of the Lincoln Park Historic District, this property is a great example of Craftsman Bungalow architecture. The estimated tax savings during the first 10 years of the Mills Act contract for the subject property is approximately $48,425.70 while the approved Plan includes projects with an estimated cost of $49,330.00. These projects include repainting the interior, refinishing the wood floors, and repairing the wood screens. Staff has estimated that this Mills Act contract will cost the City of Pomona $11,307.40 over 10 years. 134 East Columbia Avenue (MILLS-001129-2024)
Designated as part of the Lincoln Park National Register Historic District, this property is a good example of Bungalow architecture. The estimated tax savings during the first 10 years of the Mills Act contract for the subject property is approximately $22,134.90 while the approved Plan includes projects with an estimated cost of $28,920.00. These projects include replacing non-historic windows with appropriate windows. This will also resolve a Code Enforcement issue and restore a house that was altered in the 1940s and 1950s. Staff has estimated that this Mills Act contract will cost the City of Pomona $5,168.50 over 10 years.
COUNCIL PRIORITIES & GOALS:
Approval of the 17 Mills Act contracts supports the 2020-2021 City Council Priorities and Goals, Goal J: Encourage the development and maintenance of quality housing opportunities for all.
Prepared by:
________________________
Geoffrey Starns, AICP, AIA, LEED AP
Planning Manager
ATTACHMENTS:
Attachment No. 1 – City Council Draft Resolution No. 2024-158 Attachment No. 2 – City Council Draft Resolution No. 2024-159 Attachment No. 3 – City Council Draft Resolution No. 2024-160 Attachment No. 4 – City Council Draft Resolution No. 2024-161 Attachment No. 5 – City Council Draft Resolution No. 2024-162 Attachment No. 6 – City Council Draft Resolution No. 2024-163 Attachment No. 7 – City Council Draft Resolution No. 2024-164 Attachment No. 8 – City Council Draft Resolution No. 2024-165 Attachment No. 9 – City Council Draft Resolution No. 2024-166 Attachment No. 10 – City Council Draft Resolution No. 2024-167 Attachment No. 11 – City Council Draft Resolution No. 2024-168 Attachment No. 12 – City Council Draft Resolution No. 2024-169 Attachment No. 13 – City Council Draft Resolution No. 2024-170 Attachment No. 14 – City Council Draft Resolution No. 2024-171 Attachment No. 15 – City Council Draft Resolution No. 2024-172 Attachment No. 16 – City Council Draft Resolution No. 2024-173 Attachment No. 17 – City Council Draft Resolution No. 2024-174 Approval of 17 Mills Act Contracts