Community Development Agency
www.santa-ana.org/community-development
Item # 22
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
March 4, 2025
TOPIC: Public Hearing for Five-Year Economic Development Subsidy Report for THRIVE Santa Ana, Inc.
AGENDA TITLE
Public Hearing for Five-Year Economic Development Subsidy Report for THRIVE Santa Ana, Inc.
Legal notice published in the OC Reporter on February 21, 2025.
RECOMMENDED ACTION
1. Conduct public hearing to consider any written or oral comments on the information contained in the Five-Year Economic Development Subsidy report for THRIVE Santa Ana, Inc.
2. Receive and file report.
GOVERNMENT CODE §84308 APPLIES: Yes
DISCUSSION
In March, 2020, the City Council approved a Disposition and Development Agreement (DDA) with THRIVE Santa Ana, Inc., for the development of a micro-farm at 1901 W.
Walnut Street and executed a ninety-nine year Ground Lease.
Government Code Section 53083 requires that the City Council must hold a noticed public hearing and, prior to the public hearing, provide information to the public through the City's website regarding the proposed economic development subsidy. As part of the approval process, an economic development subsidy report was completed and submitted detailing the structure of the public subsidy, projected tax benefits, and estimated number of jobs that would be created by the subsidy. This report has been available to the public and posted on the City's website until the end date of the economic development subsidy.
Government Code 53083 also requires that within five-years of the approval of the subsidy, the City must prepare a new subsidy report that includes the original subsidy information plus net tax revenue and net number of jobs created by the subsidy.
Since execution of the DDA, THRIVE has been working to develop a micro-farm to grow
Public Hearing Five-Year Subsidy Report THRIVE Santa Ana, Inc.
March 4, 2025
4 8
6 2
and distribute fresh produce, and host weekly open-air markets and community activities. In partnership with a local food cooperative, items will be sold through a community supported production model, where members pay a monthly subscription to receive a box of produce at their home, or available for pickup. The development will also include a coffee shop, an artisan retail shop, a small conference room, and restrooms. THRIVE has received all necessary permits and is anticipating project completion by April 5, 2025. The City has prepared the Five-Year Subsidy Report (Exhibit 1) which includes the following key points for THRIVE Santa Ana, Inc:
•The Ground Lease term is for ninety-nine years (through December 15, 2121) at $1 per month;
•Economic subsidy is $817,000, the appraised value of the property; •Upon completion, property taxes are estimated to be at $1,500 annually; •Upon completion, the subsidy will create five (5) full-time jobs, 10 part-time jobs, and 10 temporary positions.
Economic Development Division staff continue to oversee compliance ensuring that all requirements are met in accordance with the terms of the agreement. As required by law, a notice of public hearing was published and the Five-Year Economic Development Subsidy report has been posted on the City’s website: https://www.santa- ana.org/subsidy-reports/.
A project update was submitted by THRIVE and is attached as Exhibit 3.
FISCAL IMPACT
There is no fiscal impact associated with this action.
EXHIBIT(S)
1. Five-Year Subsidy Report – THRIVE Santa Ana, Inc.
2. Proof of Publication
3. THRIVE Project Update
Submitted By: Michael L. Garcia, Executive Director of Community Development Approved By: Alvaro Nuñez, City Manager