City of Sacramento
City Council - 5PM Report
915 I Street Sacramento, CA 95814
www.cityofsacramento.org
File ID: 2023-00523 5/16/2023 Consent Item 3.
Purchase & Sale Agreement: Acquisition of Property from Annette Cope, Executor for the Estate of Rene Boutelle at 222 & 230 Bannon Street
File ID: 2023-00523
Location: 222 & 230 Bannon Street, District 4, Represented by Councilmember Valenzuela Recommendation: Pass a Motion: 1) authorizing the City Manager or the City Manager’s designee to execute the attached Purchase and Sale Agreement in the amount of $735,000 with Annette Cope, Executor for the Estate of Rene Boutelle, for the City’s acquisition of real property located at 222 and 230 Bannon Street; and 2) authorizing the City Manager or the City Manager’s designee to execute any related documents to consummate the real property purchase transaction.
Contact: Richard Sanders, Facilities & Real Property Superintendent, (916) 808-7034, [email protected]; James Christensen, Facilities Manager, (916) 808-5863, [email protected], Department of Public Works; Megan Thomas, Senior Engineer, (916) 808-1729, [email protected] Department of Utilities Presenter: None
Attachments:
1-Description/Analysis
2-Purchase and Sale Agreement
Additional Description/Analysis
Issue Detail: The property located at 222 and 230 Bannon Street, referred to as parcel numbers 001 -0040-019 and 001-0040-020 (the “Property”), was listed for sale by the owner with a real estate brokerage firm. The Property consists of two vacant parcels with a total square footage of approximately 19,655 square feet and is adjacent to the City’s Sacramento River Water Treatment Plant (“Plant”). City staff have inspected the Property and determined that it is suitable for a possible future expansion of the Sacramento River Water Treatment Plant and use as an additional buffer zone around the Plant in the meantime. Staff have negotiated a purchase price of $735,000, which is consistent with the value stated in an independent appraisal conducted by a third party.
File ID: 2023-00523 5/16/2023 Consent Item 3.
Policy Considerations: The recommendation in this report is in accordance with City Code section
3.04.020, which requires City Council approval of real property agreements involving expenditures of $250,000 or more.
Economic Impacts: None.
Environmental Considerations:
California Environmental Quality Act (CEQA): City staff recommend purchase of the Property to allow for an additional buffer zone around the Plant and a potential future expansion of the Plant. However, there are currently no definitive plans for such expansion.
The actions contained in this report to purchase the Property will have no significant effect on the environment and are exempt from CEQA pursuant to CEQA Guidelines Section 15061(b) (3). This report only proposes execution of a Purchase and Sale Agreement for the City’s acquisition of the Property. Purchase of the Property will impose no obligation on the City for construction of an expanded Plant. No project or definitive transaction documents regarding construction shall be deemed to be approved, until after (i) the proposed project is reviewed in accordance with the requirements of CEQA, and (ii) any additional conditions or changes to the project based on the CEQA review have been resolved in a manner acceptable to the City.
As required by law, the City retains the sole and independent discretion as the lead agency to, among other things, balance the benefits of the Plant expansion project against any significant environmental impacts prior to taking final action if such significant impacts cannot otherwise be avoided, and determine not to proceed with the Plant expansion project. No legal obligations to approve the project construction exist unless and until the CEQA environmental review process has been completed.
Sustainability: None.
Commission/Committee Action: Not applicable.
Rationale for Recommendation: Executing the recommended Purchase and Sale Agreement will give the City ownership of the Property located at 222 and 230 Bannon Street, thereby allowing for an additional security buffer around the Plant and potential future expansion of the Plant sometime in the future. There is currently not an established project for expansion of the Plant, but such a project may be developed in the future. In the meantime, acquisition of the Property will provide an additional security buffer for the Plant.
Financial Considerations: There is sufficient funding within the Water Supply Expansion Program (Z14190100) to execute the Purchase and Sale Agreement in the amount of $735,000 (Water Development Fees, Fund 6001) with Annette Cope, Executor for the Estate of Rene Boutelle, for the City’s acquisition of the Property.
File ID: 2023-00523 5/16/2023 Consent Item 3.
There are no General Funds planned for or allocated towards the purchase of this Property.
Local Business Enterprise (LBE): Not applicable.
4/18/2023