HomeMy WebLinkAboutE-7 Staff Report - 609 N. Azusa PurchaseCONSENT ITEM
E-7
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
VIA: SERGIO GONZALEZ, CITY MANAGER
FROM: JOSE D. JIMENEZ, DIRECTOR OF ECONOMIC & COMMUNITY
DEVELOPMENT
DATE: FEBRUARY 18, 2025
SUBJECT: RESOLUTION AUTHORIZING THE PURCHASE OF 609 NORTH AZUSA
AVENUE AND AUTHORIZING CITY MANAGER TO EXECUTE ALL
REQUIRED DOCUMENTS, AND FINDING THAT SUCH ACTION IS NOT A
PROJECT SUBJECT TO THE ENVIRONMENTAL QUALITY ACT
BACKGROUND:
Initially scheduled for development, the property at 609 North Azusa Avenue became available
for purchase. Since then, Staff has been working with the property representative to facilitate the
City’s acquisition of this property. A Resolution is required to facilitate the transaction of land
and allow for the purchase. The future redevelopment or possible use of the subject site will be
subject to a separate review process following the acquisition of the property.
RECOMMENDATIONS:
Staff recommends that the City Council take the following actions:
1.Adopt the attached Resolution directing the City Manager to execute all necessary
documents needed to purchase the property located at 609 North Azusa Avenue; and
2.Determine that the adoption of this Resolution does not qualify as a “project” as defined in
Section 15378 of the California Environmental Quality Act (“CEQA”).
ANALYSIS:
The City of Azusa has identified 609 North Azusa Avenue as a potential property for acquisition
to further the City’s goals related to economic development within the Downtown area of Azusa.
This property offers significant potential for the City to achieve its objectives with the downtown
Approved
City Council
February 18, 2025
Resolution to Purchase – 609 North Azusa Avenue
February 18, 2025
Page 2
area of the City, while enhancing infrastructure, and community space. As of the moment of this
report, the future use of the property is still subject to further discussion. Therefore, this action has
no impact on the future use of the property.
In accordance with the City’s budget and planning goals, the City has negotiated with the property
owner to purchase the property for $790,500. The property is located in a strategic area of the City,
and its acquisition will position the City for future development or other uses as the need arises.
Furthermore, on October 24, 2024, the Planning Commission adopted a Resolution finding the
acquisition of the property located at 609 North Azusa Avenue is consistent with the City of
Azusa’s General Plan, pursuant to California Government Code, Section 65402.
The acquisition will be funded by the General Fund. Upon approval by the City Council, the City
Manager or designee will proceed with executing all required documents necessary to complete
the transaction, including escrow agreements, deed transfers, and any other required
documentation.
FINDING REGARDING CEQA:
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 action to acquire the property addressed 609 North Azusa Avenue does
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).) Further, the request to acquire land is not a “project” subject
to CEQA. (State CEQA Guidelines, § 15060(c).) as 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).) This Resolution does not constitute a binding commitment to the future
development of the Property.
FISCAL IMPACT:
The City’s General Fund has sufficient cash reserves available for the proposed purchase. At the
adoption of the FY 2024/25 budget, the estimated General Fund undesignated reserves balance
(cash available above City Council adopted designated reserves) was $6.1M. Acquisition of 609
North Azusa Avenue will be funded by a one-time not-to-exceed payment amount of $790,500
from the General Fund Account No. 10-90-000-000-7105. Upon approval of the recommended
actions, Staff will prepare a FY 2024/25 budget amendment adding the purchase funds to the
aforementioned account.
Prepared and Approved by:
Jose D. Jimenez
Director of Economic & Community Development
Resolution to Purchase – 609 North Azusa Avenue
February 18, 2025
Page 3
Reviewed and Approved:
Sergio Gonzalez
City Manager
Attachment:
1) Resolution authorizing the purchase of 609 North Azusa Avenue
RESOLUTION NO. 2025-C09
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF AZUSA
AUTHORIZING THE PURCHASE OF 609 N. AZUSA AVE
AND AUTHORIZING CITY MANAGER OR DESIGNEE
TO EXECUTE ALL REQUIRED DOCUMENTS
WHEREAS, the City of Azusa (“City”) hereby finds, determines and declares
as follows; and
WHEREAS, City of Azusa (the "City") is considering the acquisition of property
located at 609 North Azusa Avenue, Azusa, California 91702 (the "Property"); and
WHEREAS, the City desires to purchase 609 N. Azusa Ave, Azusa, CA
(“Property”) from the owner for a not to exceed amount of $790,500 to cover all closing
costs, escrow costs and consideration to owner and the sales contract holder (“Total
Consideration”); and
WHEREAS, on October 24, 2024, the Planning Commission adopted a
Resolution Finding the acquisition of the property located at 609 North Azusa Avenue is
consistent with the City of Azusa’s General Plan, pursuant to California Government
Code, Section 65402; and
WHEREAS, prior to the acquisition of said land, a Resolution by the City
Council of the City of Azusa is required; and
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. 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 action to acquire the property
addressed 609 North Azusa Avenue does 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).) Further, the request to acquire land is not a “project” subject to
CEQA. (State CEQA Guidelines, § 15060(c).) as 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).) This Resolution does not
constitute a binding commitment to the future development of the Property.
SECTION 3. The City of Azusa City Council agrees to purchase the Property for
the Total Consideration subject to final review of the City Manager and City Attorney.
SECTION 4. The City Manager, or designee, is hereby authorized to take any
implementation steps to further this purchase.
SECTION 5. 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 18th day of February, 2025:
____________________________________
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. 2025-C09 was duly
adopted by the City Council, at a regular meeting of said Agency held on the 18th day of
February 2025, 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