The URL can be used to link to this page

Home My WebLink AboutE-12 Staff Report - Block 3745635.01000\42735738.2 CONSENT ITEM E-12 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL VIA: SERGIO GONZALEZ, CITY MANAGER FROM: JOSE D. JIMENEZ, DIRECTOR OF ECONOMIC & COMMUNITY DEVELOPMENT DATE: OCTOBER 7, 2024 SUBJECT: RESOLUTION DECLARING PURSUANT TO GOVERNMENT CODE SECTION 54221 THAT REAL PROPERTY OWNED BY THE CITY LOCATED AT 622-624 NORTH SAN GABRIEL AVENUE (APN 8611-004-914) IS EXEMPT SURPLUS LAND, AND FINDING THAT SUCH DECLARATION IS NOT A PROJECT SUBJECT TO ENVIRONMENTAL REVIEW UNDER THE CALIFORNIA ENVIRONMENTAL QUALITY ACT BACKGROUND: The City would like to begin the legal processes required to sell the City-owned real property located at 622-624 North San Gabriel Avenue, also known as the Block 37 Building, as further depicted in Exhibit A of the attached Resolution (“Property”). The Property does not include the adjacent parking lot, which are under separate APN numbers. The first step toward allowing disposal is compliance with the Surplus Land Act (“Act”). Adopting the attached resolution declares the Property exempt in compliance with the Act and allows the City to proceed to next steps. RECOMMENDATIONS: Staff recommends that the City Council take the following action: 1.Adopt the attached Resolution No. 2024-C58 declaring pursuant to Government Code section 54221 that real property owned by the City located at 622-624 North San Gabriel Avenue (APN 8611-004-914) is exempt surplus land, and finding that such declaration is not a project subject to environmental review under the California Environmental Quality Act. Approved City Council October 7, 2024 Declaration of Surplus Property – 622-624 North San Gabriel Avenue October 7, 2024 Page 2 ANALYSIS: The City no longer needs the Property and would like to begin the process for disposal of the Property. The California Surplus Land Act (Government Code Section 54220 et seq.) (the “Act”) requires all local agencies to prioritize affordable housing, as well as parks and open space, when disposing of “surplus land.” The Legislature updated the Act significantly in 2019 to expand its requirements. Before a local agency may dispose of land that is no longer necessary for its use, the land must be declared either "surplus land" or "exempt surplus land," as supported by written findings. For “surplus land,” the City must go through a formal process to offer the land to qualifying entities and negotiate with responsive parties. However, the Act contains exemptions for certain types of land (“exempt surplus land”) where this formal process does not apply. One such exemption, pursuant to section 54221(f)(1)(B), applies to land that (i) is less than one-half acre in area, and (ii) is not contiguous to land owned by a state or local agency that is used for open-space or low- and moderate-income housing purposes. The Property qualifies for this exemption under the Act because it is less than one-half acre in area and is not contiguous to land owned by a state or local agency that is used for open-space or low- and moderate-income housing purposes. Adoption of the attached Resolution would declare the Property as exempt surplus land pursuant to the aforementioned exemption. Additionally, under the Department of Housing and Community Development’s (“HCD”) Surplus Land Act Guidelines (“Guidelines”), which are promulgated pursuant to the SLA, the City must submit the adopted resolution to HCD at least 30 days prior to disposal so that HCD can review the exemption declaration. The attached Resolution authorizes this HCD submittal. FISCAL IMPACT: The request to Adopt a Resolution declaring that the property located at 622-624 North San Gabriel Avenue (APN 8611-004-914) is exempt surplus land and is not necessary for the City’s use and directing the City Manager to follow the procedures set forth in the Surplus Land Act, California Government Code Section 54220, can be done within the existing operating budget. In the event that the City sells said land, the process will be subject to its own Fiscal Analysis Impact. Declaration of Surplus Property – 622-624 North San Gabriel Avenue October 7, 2024 Page 3 Prepared and Approved by: Jose D. Jimenez Director of Economic & Community Development Fiscal Review by: Reviewed and Approved: Talika M. Johnson Sergio Gonzalez Director of Administrative Services City Manager Attachments: 1) Resolution No. 2024-C58 – RESOLUTION OF THE CITY COUNCIL OF CITY OF AZUSA DECLARING PURSUANT TO GOVERNMENT CODE SECTION 54221 THAT REAL PROPERTY OWNED BY THE CITY LOCATED AT 622-624 NORTH SAN GABRIEL AVENUE (APN 8611-004-914) IS EXEMPT SURPLUS LAND, AND FINDING THAT SUCH DECLARATION IS NOT A PROJECT SUBJECT TO ENVIRONMENTAL REVIEW UNDER THE CALIFORNIA ENVIRONMENTAL QUALITY ACT RESOLUTION NO. 2024-C58 RESOLUTION OF THE CITY COUNCIL OF CITY OF AZUSA DECLARING PURSUANT TO GOVERNMENT CODE SECTION 54221 THAT REAL PROPERTY OWNED BY THE CITY LOCATED AT 622-624 NORTH SAN GABRIEL AVENUE (APN 8611-004-914) IS EXEMPT SURPLUS LAND, AND FINDING THAT SUCH DECLARATION IS NOT A PROJECT SUBJECT TO ENVIRONMENTAL REVIEW UNDER THE CALIFORNIA ENVIRONMENTAL QUALITY ACT WHEREAS, the City of Azusa (the “City”) is the owner in fee simple of that certain real property underling a building, described in Exhibit “A”, attached hereto and incorporated herein, known as a portion of APN 8611-004-914, which is approximately 14,000 square feet in size and is located at 622-624 North San Gabriel Avenue within City of Azusa (“Property”). The Property does not include the adjacent parking lot; and WHEREAS, the Property is less than one half acre in area, or 21,780 square feet, and it is not contiguous to land owned by a state or local agency that is used for open- space or low- and moderate-income housing purposes; and WHEREAS, the City no longer has any use for the Property; and WHEREAS, the Surplus Land Act, Government Code sections 54220 et seq. (as amended, the “Act”), applies when a local agency disposes of “surplus land,” as that term is defined in Government Code section 54221; and WHEREAS, the Property is “surplus land” under the Act, because it is land owned in fee simple by the City for which the City Council will take formal action (in the form of adoption of this resolution) in a regular public meeting declaring that the land is surplus and is not necessary for the City’s use; and WHEREAS, the Property may be declared exempt surplus land if it is less than one-half acre in area and it is not contiguous to state or local agency property used for open-space or low- or moderate-income housing (Government Code section 54221(f)(1)(B)); and WHEREAS, none of the characteristics listed under Government Code section 54221(f)(2) apply to the Property. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Azusa as follows: Section 1. The above recitals are true and correct and are a substantive part of this Resolution and findings of the City Council. Section 2. The City Council hereby finds that (i) the Property is no longer necessary for the City’s use, (ii) the Property is smaller than one-half acre in area because Attachment 1 it is approximately 14,000 square feet in area, and (iii) the Property is not contiguous to land owned by a state or local agency that is used for open-space or low- and moderate- income housing purposes. Furthermore, none of the characteristics listed under Government Code section 54221(f)(2) apply to the Property. Section 3. The City Council therefore declares that the Property is exempt surplus land pursuant to section 54221(f)(1)(B) of the Act. Section 4. This Resolution has been reviewed with respect to the applicability of the California Environmental Quality Act (Public Resources Code Section 21000 et seq.) (“CEQA”). City staff has determined that the mere designation of the Property as exempt surplus and authorization for the City Manager to comply with the Act do not qualify as a “project” as defined in State CEQA Guidelines section 15378. First, Section 15378 defines a project as an activity that “has a potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment.” (State CEQA Guidelines, § 15378(a).) Here, the action is to declare the Property as exempt surplus, which will not result in either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment. Accordingly, the action is not a “project” subject to CEQA. (State CEQA Guidelines, § 15060(c).) Second, Section 15378 explicitly excludes from its definition of “project” the following: “organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment.” (State CEQA Guidelines, § 15378(b)(5).) The action to designate the Property as exempt surplus land constitutes an organizational or administrative activity that will not result in a physical change in the environment, and it therefore is not subject to CEQA. This Resolution does not constitute a binding commitment to any particular use of the Property. Section 5. The City Manager or designee is hereby authorized and directed to send a copy of this Resolution to the California Department of Housing and Community Development in accordance with the requirements of Section 400(e) of the SLA Guidelines. Section 6. If any section, subsection, paragraph, sentence, clause or phrase of this Resolution is declared by a court of competent jurisdiction to be unconstitutional or otherwise invalid, such decision shall not affect the validity of the remaining portions of this Resolution. Section 7. This Resolution shall take effect immediately upon its adoption by the City Council, and the Clerk of the Agency shall attest to and certify the vote adopting this Resolution. PASSED, APPROVED AND ADOPTED this 7th day of October, 2024: ____________________________________ Robert Gonzales Mayor ATTEST: ____________________________________ Jeffrey Lawrence Cornejo, Jr. City Clerk STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) ss. CITY OF AZUSA ) I HEREBY CERTIFY that the foregoing Resolution No. 2024-XXX was duly adopted by the City Council, at a regular meeting of said Agency held on the 7th day of October 2024, by the following vote of the Council: AYES: COUNCILMEMBERS: NOES: COUNCILMEMBERS: ABSTAIN: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: ___________________________________ Jeffrey Lawrence Cornejo, Jr. City Clerk APPROVED AS TO FORM: ___________________________________ Marco Martinez City Attorney Exhibit A Property Description: The Property is APN 8611-004-914 identified below: