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Staff Report

Santa Rosa City Council
May 6, 2025

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Staff Report
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May 6, 2025
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Santa Rosa City Council
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Agenda Item #13.4
For Council Meeting of: May 6, 2025

CITY OF SANTA ROSA

CITY COUNCIL
TO: MAYOR AND CITY COUNCIL
FROM: JASON NUTT, ASSISTANT CITY MANAGER
SUBJECT: DECLARATION OF 0 COFFEY LANE, APN 058-033-014 AS SURPLUS AGENDA ACTION: RESOLUTION

RECOMMENDATION
It is recommended by the Transportation and Public Works Department that the Council, by resolution: 1) supersede and replace Resolution No. 2023-205 and declare, pursuant to Government Code Section 54221, certain City-owned parcel located at 0 Coffey Lane, APN 058-033-014 (“Property”) as surplus; and 2) authorize the City Manager or their designee to take all necessary action to fully comply with the Surplus Land Act (“SLA”), as applicable.

EXECUTIVE SUMMARY
In December 2023, the Council declared the Property as exempt surplus with guidance from the California Department of Housing and Community Development (HCD), citing its landlocked status. However, HCD later determined that the Property must be classified as non-exempt surplus because it exceeds half an acre in size.

To comply with the SLA, the City issued a Notice of Availability (NOA) in August 2024 but received no responses. A new resolution is required to reclassify the Property as non-exempt surplus, superseding the previous resolution, to proceed with its disposition.

BACKGROUND
The Property is a 94,090 sq. ft. unimproved parcel acquired in 1965 for a road widening project that never occurred.

In December 2023 by Resolution NO. 2023-205, the Council declared it exempt surplus and directed Staff to convey it to an adjacent owner.

In February 2024, HCD determined that, due to its size, it must be classified as non-exempt surplus and subject to SLA requirements.

A Notice of Availability was issued in August 2024, but no parties expressed interest.

A new resolution is now needed to proceed with disposition.

PRIOR CITY COUNCIL REVIEW
December 12, 2023 – Council adopted Resolution 2023-205, declaring the Property exempt surplus under Gov. Code § 54221(f)(1)(B) and (f)(2).

ANALYSIS
Under the Surplus Land Act (SLA), local agencies must offer land for affordable housing before selling or leasing it.

Exempt Surplus Land: Typically small, landlocked, or legally restricted parcels unsuitable for housing.

Non-Exempt Surplus Land: Generally, 5,000 sq. ft. or larger, potentially suitable for housing development.

While initially categorized as exempt, HCD later required reclassification as non-exempt due to its size. To comply with SLA:

The City issued an NOA in August 2024 but received no responses.

HCD requires a new Council resolution that supersedes the prior one and declares the Property non-exempt surplus.

Following the Council's direction, staff will adhere to the SLA for disposition. If only one adjacent owner is interested, the Property may be sold directly through negotiation. The City will conduct a private auction per the Surplus Land Policy if multiple owners express interest.

FISCAL IMPACT
Approval of this action does not have a negative fiscal impact on the General Fund.

ENVIRONMENTAL IMPACT
Pursuant to CEQA Guidelines Section 15378, the proposed action is not a “project” subject to the California Environmental Quality Act (CEQA) because it does not have a potential for resulting in either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment. In the alternative, the proposed action is exempt from CEQA pursuant to CEQA Guidelines Section 15061(b)(3) because it can be seen with certainty that there is no possibility that the project may have a significant effect on the environment.

BOARD/COMMISSION/COMMITTEE REVIEW AND RECOMMENDATIONS
Not applicable.

NOTIFICATION
Not applicable.

ATTACHMENTS
Resolution

PRESENTER
Jill Scott, Real Estate Manager
DECLARATION OF 0 COFFEY LANE AS SURPLUS
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