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HomeMy WebLinkAboutResolution No. 1540 RESOLUTION NO. 154 0 A RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF AZUSA ADOPTING UNIFORM RULES GOVERNING PARTICIPATION AND RE-ENTRY PREFERENCES FOR OWNERS, OPERATORS OF BUSINESS, AND TENANTS IN THE AZUSA CENTRAL BUSINESS DISTRICT REDEVELOPMENT PROJECT AS AMENDED WHEREAS, Section 33345 of the California Health and Safety Code requires that the Redevelopment Agency adopt and make available for public inspection rules to implement the operation of owner participation in connection with a redevelopment plan; and WHEREAS, Section 33339.5 of the California Health and Safety Code requires that the Redevelopment Agency adopt and make available for public inspection rules to implement the operation of re-entry preferences to persons engaged in business in a redevelopment project area; and WHEREAS, the Agency adopted by Resolution No. 10 Rules Governing Owner Participation and .Re-entry Preferences for the original Azusa Central Business District Redevelopment Project; and WHEREAS, the Agency by Resolution No. adopted a separate set of Rules Governing Participation and Re-entry Preferences for Property Owners, Operators of Businesses, and Tenants in the Amendment No. III to the Azusa Central Business District Redevelopment Project Area; and WHEREAS, to provide a uniform set of Rules Governing Participation and Re-entry Preferences for the entire Azusa Central Business District Redevelopment Project as amended, the Agency desires to adopt a uniform set of Rules covering the entire Project Area as amended; and WHEREAS, the Agency has received and reviewed the proposed "Rules Governing Participation and Re -Entry Preferences for Owners, Operators of Businesses, and tenants in the Azusa Central Business District Redevelopment Project, attached hereto as Exhibit "A" and incorporated herein by reference. NOW, THEREFORE, the Redevelopment Agency of the City of Azusa does resolve as follows: SECTION 1. The Rules Governing Owner Participation adopted by Resolution No. 10 on May 23, 1978, and by Resolution No. 114 on October 3, 1983, are hereby repealed in entirety. SECTION 2. The Rules Governing Participation and Re-entry Preferences for Property Owners, Operators of Businesses, and Tenants in the Azusa Central Business District Redevelopment Project, attached hereto as Exhibit "A" are hereby adopted and substituted in lieu thereof and shall be made available for public inspection. SECTION 3. The Secretary of the Redevelopment Agency shall certify to adoption of this Resolution. APPROVED AND ADOPTED this 1st day of October , 1984. THE REDEVELOPMENT AGENCY OF THE CITY OF AZUSA By: Z'.' .Y ;?' . (Chairman I HEREBY CERTIFY that the foregoing resolution was duly adopted by the Redevelopment Agency of the City of Azusa, at a regular meeting thereof, held on the 1st day of October, 1984, by the following vote of the Agency: AYES: DIRECTORS: CRUZ, COOK, CAMARENA, LATTA, MOSES NOES: DIRECTORS: NONE ABSENT: DIRECTORS: NONE APPROVED AS TO FORM: OPV ✓'� 1 /'i � " GENERAL COUNSEL C� C� RULES GOVERNING PARTICIPATION AND RE-ENTRY PREFERENCES U41V PROPERTY OWNERS, OPERATORS OF BUSINESSES, AND TENANTS KS-r-IT5 AZUSA CENTRAL BUSINESS DISTRICT REDEVELOPMENT PROJECT AREA Prepared by: THE REDEVELOPMENT AGENCY OF THE CITY OF AZUSA Civic Center 213 E. Foothill Boulevard Azusa, CA 91702 and MUNICIPAL SERVICES, INC. 712 N. Diamond Bar Boulevard Diamond Bar, CA 91765 11 TABLE OF CONTENTS Section Page I. Purpose and Intent 1 II. Definitions 3 III. General Procedures 4 IV. Participation by Owners of Real Property 6 A. Participation in the Same Location 6 B. Participation in a Different Location 6 V. Participation by Tenants 8 A. Participation as Owners B B. Participation as Tenants 8 VI. Conforming Owners 9 VII. Procedures For Becoming A Participant 10 A. Submittal of a Statement of Interest 10 B. Submittal of a Proposal for Owner/Tenant Participation 10 C. Completion of a Participation Agreement 11 VIII. Limitation on Acquisition of Property By Agency 12 IX. Procedures For Amending Participation Rules 13 Appendix Format for Statement of Interest L PURPOSE AND INTENT California Community Redevelopment Law requires the Azusa Redevelopment Agency to establish and make known to property owners, businesses, and tenants within the Azusa Central Business District Redevelopment Project Area, the Agency's rules and guidelines for implementing owner participation opportunities in connection with the Project. These rules and guidelines are based upon the following objectives: 1. The Agency's commitment to afford maximum participation to existing property owners who will be affected by the Agency's activities within the Project; and 2. The Agency's similar commitment to extend reasonable preferences to existing property owners within the Project Area in the development, rental, or ownership of new industrial, commercial, and residential uses within the Project. Because the Project Area includes both vacant parcels of land and areas with existing improvements, the Agency expects that a number of parcels will be developed or rehabilitated by property owners through Owner Participation Agreements. An Owner Participation Agreement is a contractual agreement between the Redevelopment Agency and a property owner which contains the specific responsibilities and obligations of each party regarding a specific implementation project. For example, the Agency may determine that it would be consistent with the goals of the Redevelopment Plan to issue a mortgage revenue bond for a residential or industrial project. The Agency would then draft an Owner Participation Agreement in which the specific terms of the public-private joint venture would be outlined. The Agency's responsibilities under an Owner Participation Agreement might be: A. To finance or partially finance public improvements, such that new residential, commercial, and industrial users will be attracted to the Project Area; B. To provide best efforts to issue a mortgage revenue bond for tax-exempt project financing for either residential, commercial, or industrial projects.. - 1 - C. To promote new industrial and commercial development consistent with the economic revitalization and job opportunity goals of the Redevelopment Plan; D. To provide other advice and assistance necessary to encourage quality development within the Redevelopment Project Area. As the Redevelopment Plan and Relocation Method indicate, displacement of households and even businesses may become necessary. If displacement occurs, the Agency will take all reasonable steps to provide such displacees with opportunities to obtain facilities either to be developed within the Project Area or as may be available in other redevelopment project areas established by the Agency. These rules set forth a general process for implementing equitable participation and re- entry opportunities for all property owners, businesses and tenants affected by the Project. - 2 - 0 6 H. DEFINITIONS "Agency„ — means the Redevelopment Agency of the City of Azusa. "City Council" — means the City Council of the City of Azusa, which by City Ordinance also serves as the governing Board of the Agency. "Owner Participation Agreement" — means an agreement entered into between the Agency and an owner of real property, persons engaged in business, or a tenant doing business within the Azusa Central Business District Redevelopment Project Area in accordance with the provisions of the Redevelopment Plan for the Project Area and the rules as described herein. "Project" — means the Project described in the Redevelopment Plan for the Azusa Central Business District Redevelopment Project Area, as amended. "Redevelopment Plan" — means the Redevelopment Plan for the Azusa Central Business District Redevelopment Project Area as adopted and as amended by the Redevelopment Agency and the City Council of the City of Azusa. - 3 - 0 6 III. GENERAL PROCEDURES These rules have been adopted by the Agency specifically to implement the provisions of the Redevelopment Plan for the Azusa Central Business District Redevelopment Project Area regarding participation and the exercise of re-entry preferences for property owners, tenants, and businesses located in the Project Area. Persons and businesses desiring to exercise their owner participation rights and preferences should abide by these rules in exercising their preferences and participation opportunities. The Agency desires and urges participation in the growth and development of each of the parcels encompassed within the Project Area by as many property owners as possible. In view of the pattern of land usage and development envisioned by the Redevelopment Plan, persons owning real property in the Project Area will be encouraged, whenever feasible, to take advantage of their participation and preference opportunities as described herein, subject to and limited by factors such as the following: 1. The elimination and/or modification, if any, of existing land uses. 2. The vacation, realignment and/or alteration, if any, of existing streets. 3. The ability of participants to finance and complete proposed development, consistent with the Agency's Plan. 4. The capability and/or experience of the owner -participant necessary, as determined by the Agency, to implement proposed development. 5. The proposed land uses for redevelopment of the Project Area. The Redevelopment Plan for the Project Area authorizes the Agency to establish reasonable priorities and preferences among participants; accordingly, the following order of priorities is established: 1. Existing property owners and tenants desiring to participate in their same location in compliance with the Redevelopment Plan and desiring to build new industrial, commercial, or residential developments, without competition from persons and firms outside the Project Area. -4- 0 0 2. Owner occupants relocating within the Project Area in accordance with and as a result of Redevelopment Plan implementation which may cause the temporary displacement of a property owner. 3. Existing tenants relocating within the Project Area in accordance with and as a result of Redevelopment Plan implementation. 4. Firms and Persons from outside the Project Area. Conflicting proposals submitted for particular sites or land uses will be resolved by the Agency after consideration of the following factors: 1. Present occupancy and/or land ownership in the Project Area. 2. Participant's length of occupancy in the Project Area. 3. Size and configuration of participant's existing property. 4. Accommodation of as many participants as possible. 5. Participant's ability to implement projects as determined by the Agency with respect to the participant's financial capability, prior experience with similar developments, ability to obtain financing, participant's willingness to adhere to design standards and development controls established by the Agency, participant's willingness to enter into owner -participation agreements, timeliness in the submission of development proposals, etc. 6. Conformity of participant's proposal with the intent and objectives of the Redevelopment Plan. 7. Similar land use to similar land use. 8. Service to the community in achieving its goals and objectives. - 5 - 0 0 IV. PARTICIPATION BY OWNERS OF REAL PROPERTY A. Participation In The Same Location In appropriate circumstances where such action would foster the goals and objectives contemplated by the Redevelopment Plan, an owner may, participate in substantially the same location either by retaining all or portions of his property; retaining all or portions of his property and purchasing adjacent property if needed and available for development; rehabilitating or demolishing all or part of his existing buildings; initiating new development; selling property to the Agency. Where a proposal to participate in the same location involves a building in good condition, but with an existing use which does not conform to the provisions of the Redevelopment Plan, the Agency may allow such use to continue provided that such use is generally compatible with the permitted uses in the area in which the building is located. In order to remain in the Project Area with a nonconforming use, the owner must agree to the imposition of such reasonable restrictions as are necessary to protect the integrity of permitted uses in the remainder of the Project Area. The final decision concerning acquisition of real property by the Agency will be based upon the conditions existing at the time the Agency purchases property or enters into participation agreements. B. Participation In A Different Location When necessary to accomplish the objectives of the Redevelopment Plan, the Agency may purchase from existing owners, real property within the Project Area at fair market value as determined by one or more independent appraisals commissioned by the Agency. The Agency will, thereafter, offer for sale cleared or cleared and reassembled properties, first to qualified owner -participants, then to other qualified developers, unless a public use is contemplated for the property acquired in which case the Agency will undertake such public uses to be developed, without regard to these Owner -Participation Rules. The Agency will offer properties which are available for private development to eligible participants at fair C n market (re -use) value for the uses designated in the Redevelopment Plan, or if a lesser amount, the offer shall be in accordance with Section 33433 of the California Health and Safety Code, prior to offering such properties for sale to the general public. The following participant priorities shall apply to such offerings: 1. Displaced owners of similar use properties. 2. Displaced tenants of similar use properties. 3. All other displaced owners and businesses. 4. All other owners and businesses. - 7 - 0 0 V. PARTICIPATION BY TENANTS Pursuant to these rules, non -property owners who are tenants engaged in business or residing in the Project Area will be given opportunities to remain or will be given preferences to re- enter within the Project Area if they otherwise meet the requirements prescribed by the Redevelopment Plan. Re-entry preferences will also be afforded if suitable facilities become available in other redevelopment project areas established by the Agency. In cases of re-entry, preferences will be provided if suitable facilities become available with the implementation of the Redevelopment Plan. A. Participation As Owners In appropriate circumstances, business tenants will be given the opportunity to purchase and develop real property in the Project Area or other redevelopment project areas established by the Agency prior to the Agency's offering such property for sale to the general public. Property sold to such tenants will be made available at fair market (reuse) value for the uses designated in the Redevelopment Plan, or if sold at a lesser amount, such sale shall be in compliance with Section 33433 of the California Health and Safety Code. B. Participation As Tenants Business tenants who desire to re-enter the Project Area as tenants will receive preferences to locate in the Project Area or other redevelopment project areas established by the Agency in accordance with the uses designated in the Redevelopment Plans for such project areas. �� 0 0 VL CONFORMING OWNERS The Agency may determine that certain real property within the Project Area meets the requirements of the Redevelopment Plan. The owners of such properties will be permitted to remain as conforming owners pursuant to a participation agreement with the Agency, provided such owners continue to operate and use the real property in accordance with the requirements of the Plan. The Agency shall not, through the use of eminent domain, acquire property owned by conforming owners who have entered into a participation agreement if the conforming owner fully performs to such agreement. In the event any of the conforming owners desire to construct additional improvements or substantially alter or modify existing structures on any of the real property described as conforming, or acquire additional real property within the Project Area, then such conforming owner will be required to enter into, an amended Owner -Participation Agreement (if an agreement has previously been entered into) with the Agency prior to undertaking additional improvements, modifications, or acquisitions in the same manner as required for other owners. Failure to do so will be considered a breach of the Owner -Participation Agreement, and the Agency may then pursue appropriate remedies. The Agency shall upon the request of any conforming owner offer to enter into an Owner - Participation Agreement. In the event that the Redevelopment Plan is amended after a duly noticed public hearing to change the requirements for the property which is the subject of an Owner -Participation Agreement, such otherwise conforming owners may be required to enter into an amended Owner Participation Agreement with the Agency. VII. PROCEDURES FOR BECOMING A PARTICIPANT A. Submittal of a Statement of Interest The Agency will cooperate with each owner and business tenant in the Project Area who expresses interest in the Agency's program. The Agency will make good faith efforts to determine the desires of each owner and tenant with respect to their interest in becoming owner -participants. Every property owner or tenant interested in becoming a participant should submit to the Agency a completed "Statement of Interest to Participate" (format provided in Appendix). The Agency shall proceed to negotiate with each owner returning the "Statement of Interest" as appropriate to each owner's response. Participation opportunities shall not be forfeited without a clear and knowledgeable: (1) waiver in writing; or (2) by other conduct clearly evidencing disinterest. .A Subject to the provisions of these rules, the Agency will endeavor in good faith to accommodate any owner or business tenant desiring to develop or improve property in the Project Area by expediting the negotiation of participation agreements upon request. If the Agency does not enter into a participation agreement with an owner or business tenant after negotiations, then within thirty (30) days of notification in writing from either party that negotiations are terminated, the owner or tenant may appeal in writing to the City Council of the City of Azusa. B. Submittal of A Proposal for Owner/Tenant Participation The Agency will notify each person or business which submits a valid "Statement of Interest" of the time within which he or the business must submit a proposal for participation, if the desired participation is such that a proposal for participation is necessary. - 10 - Ample opportunity will be given to discuss proposals with the Agency's staff and to make necessary adjustments conducive to the parties involved. The Agency will make every effort to meet the desires of every person or business desiring to participate in the project. In addition, if the Agency determines that an owner or tenant of real property within a Project Area will be required to enter into an Owner Participation Agreement, the Agency shall notify the property owner or tenant in writing of its intention to require an Owner Participation Agreement, and shall provide the owner with a copy of the proposed Owner Participation Agreement. C. Completion of A Participation Agreement Each owner or tenant who has submitted an acceptable proposal for participation shall enter into a participation agreement with the Agency. Each agreement will contain provisions necessary to ensure that the participation proposal will be carried out, and that the subject property will be developed and used in accordance with the conditions, restrictions, rules and regulations of the appropriate Redevelopment Plan and the participation agreement. Each agreement will require the participant to join in the recordation of such documents as the Agency may require in order to ensure conformance with applicable conditions, restrictions, rules and regulations. The agreement will also provide that a successor in interest of the original participant may become a participant with the written approval of the Agency. An Owner Participation Agreement shall provide that if the owner does not comply with the terms of the Agreement, the Agency, in addition to other remedies, may acquire his property or any interest therein by any lawful means, including eminent domain, for its fair market (reuse) value as of the dates for such remedies stipulated in the Owner Participation Agreement, and the Agency may thereafter dispose of the property or interest so acquired in accordance with the Redevelopment Plan. All participation agreements will become effective only when approved by the Agency. - 11 - VIII. LIMITATIONS ON ACQUISITION OF PROPERTY BY THE AGENCY The Agency shall not acquire by eminent domain real property to be retained by an owner pursuant to an Owner Participation Agreement if the owner fully performs under the Agreement. The Agency shall not acquire by eminent domain real property on which an existing building is to be continued on its present site and in its present form and use pursuant to an Owner Participation Agreement executed by the owner and the Agency, unless the owner - participant fails to perform in accordance with the Owner -Participation Agreement. In accordance with Section 33399 of the California Health and Safety Code, if within three years from adoption of the relevant Redevelopment Plan or Amendment to the Redevelopment Plan the Agency has not commenced eminent domain proceedings to acquire real property within the Project Area, the owner or owners of such propety may offer to sell such property to the Agency for the fair market value of the property. If the Agency does not acquire or initiate eminent domain proceedings to acquire the property within 18 months from the date of the offer to sell, the property owner or owners may file an action against the Agency for inverse condemnation or exemption from eminent domain. However, if the Agency exempts the property from eminent domain prior to the initiation of such proceedings, the property owner or owners may not thereafter bring any further action. - 12 - IX. PROCEDURES FOR AMENDING PARTICIPATION RULES The Agency may amend these rules at any meeting held after their adoption provided the persons who have filed "Statements of Interest" and the participants who have entered into participation agreements are notified in writing at least fourteen (14) days before the date of the meeting at which the proposed amendment will be considered. The text of the proposed change will be furnished along with the notice of the meeting. Individuals will be notified either in person or by certified mail. Such notice will be mailed or delivered to the address shown on the "Statement of Interest" or as indicated in the participation agreement. Owners or business tenants in the Project Area who have an interest in a project may initiate changes in these rules and propose such changes to the Agency. Persons or businesses affected by proposed amendments may appear individually or as a body to voice their opinion for consideration by the Agency. -13- APPENDIX FORMATFOR STATEMENT OF INTEREST • THE CITY OF AZUSA REDEVELOPMENT AGENCY STATEMENT OF INTEREST IN PARTICIPATION AZUSA CENTRAL BUSINESS DISTRICT REDEVELOPMENT PROJECT h reb expre my interest in participating in the Azusa Central Business District eaevelvopment roject and submit the following information: 1. Name of Property Owner/Tenant 2. Home Address 3. Address of Property owned or rented in the Project 4. Name of Business in the Project Area Phone 5. I own ( ); am a tenant ( ); and wish to rehabilitate ( ); build ( ); sell ( ) my present property. If tenant, indicate: month-to-month ( ); or lease ( ); expiration date of lease 6. My present type of business is 7. I understand that submission of this Statement of Interest does not in any way obligate me to participate in the Project. Signed Title Date