FOR THE COUNCIL MEETING OF SEPTEMBER 20, 2022
COUNCIL AGENDA REPORT
TO:
FROM:
SUBJECT:
City Council
City Manager
Prepared by: Director of Community Development
DECLARATION OF SURPLUS LAND FOR DOWNTOWN CITY -OWNED
PROPERTY — COOK STREET
RECOMMENDATION:
That the City Council adopt a Resolution declaring a certain parcel of land approximately 3,000 square feet or 0.07 acres of a 3.54 -acre property located where the parking garage for Santa Maria Town Center is located in Downtown (Cook Street) (APN: 125-320-009) and owned by the City of Santa Maria as surplus land.
BACKGROUND:
The Surplus Lands Act (SLA) of California (Government Code Section 54221) requires that a City must declare property to be "surplus land" before the City can take any action (sale or lease) to dispose of the property. Surplus land is land deemed not necessary for a local agency's use, including that according to a local agency's plan, including but not limited to, utility sites or land used for conservation purposes.
In the fall of 2019, Assembly Bill 1486 amended the SLA to address the current housing crisis by promoting the construction of affordable housing on surplus land. The amendment also connects affordable housing developers to local surplus land through a notification process and strengthens enforcement of the SLA by requiring reporting of surplus land inventory to the California Department of Housing and Community Development (HCD). The amended law became effective on January 1, 2020.
DISCUSSION:
The subject property identified for surplus land declaration is approximately 3,000 square feet or 0.07 acres of a 3.54 -acre property where the parking garage for Santa Maria Town Center is located (APN: 125-320-009) (Attachment A). Specifically, the property is a 10 - foot strip of land immediately adjacent to and to the north of two vacant properties located on the northeast corner of Cook and McClelland Streets (APNs: 125-320-018 and -019).
Surplus land declaration of this land would allow for greater development potential for the area located between the parking garage and Cook Street by providing additional land and widening what would otherwise be a narrow area for site development. Project development of this location would further Downtown revitalization goals, with the addition of new residential and commercial uses that contribute to the downtown vibrancy and a pedestrian -friendly environment. There is current interest in the development of this
location, including a concept of a mixed -use building with residential and ground -floor commercial uses.
Upon declaration of surplus land, the City will continue with Surplus Land Act notification requirements. The notification process requires the City to send a written Notice of Availability of surplus land to HCD, other public agencies whose jurisdiction the surplus land is located, and prospective affordable housing developers that have notified HCD of their interest in surplus land that is in the county in which the surplus land is located, or all counties. Noticed agencies and registered housing developers have 60 days from the date of notice to express interest in the property and 90 days to complete good -faith negotiations.
The City is not required to sell the land to the interested party. If terms are not agreed upon between the interested party and the City within the 90 -day period of good -faith negotiations, the City may negotiate with any other developers or interested parties for the disposition of surplus land.
Likewise, the proposed declaration of surplus land does not authorize the sale or lease of the affected property. Once the above process is complete, the property transaction is required to come before the City Council for approval.
If an agency fails to provide the proper notices, there is a significant penalty that requires a local agency to forfeit 30 percent of the purchase/lease proceeds for the first violation and 50 percent for any subsequent violations.
Alternative
The City Council can choose not to declare the property surplus, request more information, or provide further direction to staff.
Fiscal Considerations
The declaration of surplus land would facilitate new development in the Downtown area and provide economic benefits through the construction of new housing and commercial uses.
Environmental
The proposed action will not cause a direct physical change in the environment, and therefore, does not constitute the approval of a project under the California Environmental Quality Act (CEQA), and is exempt from CEQA.
CHUEN NG
Community Development Director
Attachment A: Property map
2 Property Map
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Subject
property
APN: 125-320-009:
10 -foot -wide strip of land
immediately adjacent to APNs
125-320-018 and -019, approx.
3,000 sq. ft. or 0.07 acre
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RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA
MARIA, CALIFORNIA, DECLARING A CERTAIN PARCEL OF LAND
APPROXIMATELY 3,000 SQUARE FEET OR 0.07 ACRES OF A 3.54 -
ACRE PROPERTY LOCATED WHERE THE PARKING GARAGE FOR
SANTA MARIA TOWN CENTER IS LOCATED IN DOWNTOWN (COOK
STREET) (APN: 125-320-009) AND OWNED BY THE CITY OF
SANTA MARIA AS SURPLUS LAND
WHEREAS, the Surplus Lands Act (SLA) requires that before a local agency takes any action to sell or lease its property, it must declare the property to be "surplus land;" and
WHEREAS, "surplus land" means land owned in fee simple by any local agency for which the local agency's governing body takes formal action at a regular meeting declaring that such land is surplus and is not necessary for the agency's use; and WHEREAS, the agency must give written notice of its availability to any local public entity, including schools and park districts, within whose jurisdiction the property is located, as well as to housing sponsors that have notified the State Department of Housing and Community Development (HCD) of their interest in surplus property; and WHEREAS, the City of Santa Maria owns the subject property in the Downtown area, totaling approximately 0.07 acres out of 3.54 acres, with the following assessor's parcel number:
• APN: 125-320-009 (identified as a 10 -foot -wide strip of land immediately adjacent to the north of APNs 125-320-018 and -019); and
WHEREAS, the City Council finds that the Downtown Property totaling 0.07 acres as surplus land because it is not necessary for the local agency's use, as described in Government Code Section 54221(c)(1); and
WHEREAS, the SLA requires that before the City Council disposes of the Property or engages in negotiations to dispose of the Property, the City shall send a written Notice of Availability of the Properties to certain designated entities.
NOW, THEREFORE, IT IS HEREBY RESOLVED by the City Council of the City of Santa Maria, Califomia, as follows:
1. The above recitals are true and correct and are a substantive part of this Resolution; and
2. The City Council hereby declares that the Properties are surplus land and not necessary for the City's use, as described in Government Code Section 54221(c)(1); and
3. The City Manager, or designee, is authorized to prepare and send all notices required by State law related to the declaration of the above -identified surplus
property including, and without limitation, Notices of Availability of the surplus property as provided for by State law; and
4. The Chief Deputy City Clerk is hereby authorized to make minor changes herein to address clerical errors, so long as substantial conformance of the intent of this document is maintained. In doing so, the Chief Deputy City Clerk shall consult with the City Manager and City Attorney concerning any changes deemed necessary.
PASSED AND ADOPTED at a regular meeting of the City Council of the City of Santa Maria held this 20th day of September 2022.
Mayor
ATTEST:
APPROVED AS TO FORM:
Chief Deputy City Clerk
BY:
CONT NTS:
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