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Home My WebLink About12-018 CC Resolution RESOLUTION NO. 12-18 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMECULA APPROVING THAT CERTAIN AGREEMENT ENTITLED PURCHASE AND SALE AGREEMENT AND JOINT ESCROW INSTRUCTIONS BETWEEN THE CITY OF TEMECULA AND DONALD W. COOP, TRUSTEE OF THE JENNEAN COOP BYPASS TRUST UNDER THE COOP FAMILY TRUST DATED FEBRUARY 2, 2004, AND DONALD W. COOP, TRUSTEE OF THE DONALD W. COOP SURVIVOR'S TRUST UNDER THE COOP FAMILY TRUST DATED FEBRUARY 2, 2004, EACH AS TO AN UNDIVIDED FIFTY PERCENT (50%) INTEREST AS TENANTS IN COMMON IN CONNECTION WITH THE MURRIETA CREEK BRIDGE AND OVERLAND DRIVE EXTENSION TO DIAZ ROAD — PROJECT NUMBER PW00-26 THE CITY COUNCIL OF THE CITY OF TEMECULA DOES HEREBY RESOLVE AS FOLLOWS: Section 1. Findinqs. A. The Murrieta Creek Bridge and Overland Drive Extension to Diaz Road Project — Project Number PW00-26 ("Proposed Project") is identified in the City's Capital Improvement Program for Fiscal Years 2012-2016. The Proposed Project would extend Overland Drive from Commerce Center Drive to Diaz Road with a bridge over Murrieta Creek. The purpose of the Proposed Project is to improve safety and traffic circulation in the area. B. The construction of the Proposed Project would require the acquisition of certain real property interests from six parcels. The Proposed Project would require the acquisition of an approximate 14,231 square foot permanent easement ("permanent easement") on the real property commonly known as 27498 Enterprise Circle West, and identified as Riverside County Assessor's Parcel Number (APN) 921-480-020 ("Subject Property") for public street purposes and all uses necessary or convenient thereto. The Subject Property is approximately 18,149 square feet in size and is improved with a 6,665 square foot industrial building. The Proposed Project would require the demolition of the easterly 4,570 square foot portion of the 6,665 square foot industrial building and would create an approximate 3,917 square foot remainder parcel. The City's appraiser concluded that, in the after condition, the size of the remainder parcel would be significantly reduced and the improvements significantly impacted. Thus, the appraiser concluded that the approximate 3,917 square foot property remaining after construction of the Proposed Project would be of little or no utility or economic value to the record owners and thus this area constituted an "uneconomic remnant". This uneconomic remnant would not satisfy the minimum lot size for building in the City's Service Commercial (SC) zone, building set back, site coverage or parking requirements. One of the parcels that the Proposed Project would impact is the real R:/Resos 2012/Resos 12-18 1 property commonly known as 27498 Enterprise Circle West, and identified as Riverside County Assessor's Parcel Number (APN) 921-480-020, which is an approximate 18,149 square foot parcel improved with a 6,665 square foot industrial building ("Subject Property"). C. Pursuant to Government Code Section 7267.2, on March 22, 2011, the City Council set just compensation for the permanent easement and the Subject Property at the fair market value as determined by the City's independent appraiser based on a February 7, 2011 date of value. The City Council also authorized the Director of Public Works/City Engineer to make offers and negotiate the acquisition of the Subject Property. D. On May 11, 2011 the City extended a written offer to Donald W. Coop and Jennean Coop Trustees of the Coop Family Trust u/t/d February 2, 2004, the record owner of the Property, offering to purchase the Subject Property at the fair market value. Based on the impact of the Proposed Project on the Subject Property and the valuation analysis discussed above, the City offered to purchase the Subject Property in fee. Mr. Coop informed City staff that Mrs. Coop had passed away. Counsel for the Coop Family Trust confirmed that Donald W. Coop, Trustee of the Jennean Coop Bypass Trust Under the Coop Family Trust dated February 2, 2004, and Donald W. Coop, Trustee of the Donald W. Coop Survivor's Trust Under the Coop Family Trust dated February 2, 2004, each as to an undivided fifty percent (50%) interest as tenants in common (referred to below as the "Coop Family Trust") are the correct record owners of the Subject Property. Counsel for the Coop Family Trust confirmed that the Coop Family Trust will record the relevant conveyance and title documents during the course of the proposed escrow to ensure that the Coop Family Trust conveys clear title to the City. E. The Coop Family Trust and City staff negotiated the City's proposed purchase of the Subject Property and reached an agreement for the City's acquisition in fee of the Subject Property for the total purchase price of $837,075.00 (Eight Hundred Thirty-seven Thousand and Seventy-five Dollars), subject to the approval of the City Council. The purchase price is within the amount the City previously authorized for the negotiation and purchase of the Subject Property. The Coop Family Trust agreed to sell the Subject Property in fee and informed City staff that the record owners do not wish to retain the uneconomic remnant described above. Further, the Coop Family Trust requested as additional consideration for the City' acquisition of the Subject Property, salvage rights in connection with the Subject Property with the right to remove hardware, doors, electrical fixtures, and miscellaneous re-usable material from the Subject Property after the Subject Property is vacant and no longer occupied by any lessees. The Agreement would require the City to provide to the Coop Family Trust at least ten (10) calendar days written notice prior to the date of the City's demolition of the improvements on the Subject Property. The Coop Family Trust would have from the date of receipt of said written notice from the City regarding the date of demolition up to twenty-four (24) hours prior to the date of demolition to enter on the Property and exercise their salvage rights. R:/Resos 2012/Resos 12-18 2 F. At its meeting of February 27, 2001, the City Council approved the Negative Declaration for Environmental Assessment No. 75 for the temporary low flow crossing at Murrieta Creek and the proposed permanent crossing of Murrieta Creek, which is the Proposed Project. The City Council found that based on the record before it (1) the Negative Declaration for Environmental Assessment No. 75 was prepared in compliance with California Environmental Quality Act ("CEQA"); (2) there is no substantial evidence that the Proposed Project will have a significant effect on the environment that cannot be adequately and feasibly mitigated; and (3) the Negative Declaration for Environmental Assessment No. 75 reflects the independent judgment and analysis of the City Council. Section 2. Approval of Purchase and Sale Apreement. The City Council of the City of Temecula hereby approves that certain agreement entitled "Purchase and Sale Agreement and Joint Escrow Instructions Between the City of Temecula and Donald W. Coop, Trustee of the Jennean Coop Bypass Trust Under the Coop Family Trust dated February 2, 2004, and Donald W. Coop, Trustee of the Donald W. Coop Survivor's Trust Under the Coop Family Trust dated February 2, 2004, each as to an undivided fifty percent (50°/a) interest as tenants in common in connection with the Murrieta Creek Bridge and Overland Drive Extension to Diaz Road — Project Number PW00-26", with such changes in the Agreement as may be mutually agreed upon by the Coop Family Trust and the City Manager as are in substantial conformance with the form of such Agreement on file in the Office of the City Clerk. The Mayor is hereby authorized to execute the Agreement on behalf of the City. A copy of the final � Agreement when executed by the Mayor shall be placed on file in the Office of the City Clerk. This approval of the Agreement is not an announcement of the City's intent to acquire any other real property interests for the Proposed Project and does not commit the City to acquire any other real property interests for the Proposed Project. Section 3. Citv Manaqer's Authoritv. The City Manager (or his designee), is hereby authorized, on behalf of the City, to take all actions necessary and convenient to carry out and implement the Agreement, and to Administer the City's obligations, responsibilities and duties to be performed under the said Agreement, including but not limited to, approval and execution on behalf of the City of assignment of leases, right of entry and access agreement, grant deeds, acceptances, escrow instructions, certificates, estoppel letters, and other similar agreements and documents as contemplated by or described in the Agreement or as necessary and convenient to implement the Agreement. Section 4. Environmental Analysis. The environmental effects of the acquisition of the Subject Property were studied as an integral part of the Negative Declaration for Environmental Assessment No. 75 approved for the Proposed Project. The findings made by the City Council at its meeting on February 27, 2001 in approving the Negative Declaration for Environmental Assessment No. 75 are the appropriate findings for the acquisition of the Subject Property. In connection with the attached Agreement, City staff reviewed all of the environmental documentation prepared in connection with the Proposed Project, including, but not limited to, the Negative Declaration, the initial environmental study, the mitigation monitoring program and R:/Resos 2012/Resos 12-18 3 agenda report relating to the approval of the Negative Declaration. Pursuant to the criteria of Section 15162 of the CEQA Guidelines and Section 21166 of the Public Resources Code, City staff concluded that no substantial changes have occurred in the Proposed Project, no substantial changes have occurred in the circumstances under which the project is undertaken, and that the City has obtained no new information of substantial importance that would require further environmental analysis, including the fact that no mitigation measures previously found not to be feasible would in fact be feasib�e. These environmental findings are the appropriate findings with respect to the proposed acquisition of the Subject Property. Section 5. Certification. The City Clerk shall certify the adoption of this Resolution. PASSED, APPROVED, AND ADOPTED by the City Council of the City of Temecula this 15th day of February, 2012. ' �, ; � , � __.;,% i , 1 ��. � �� i' ` � _� Ch ck Washington, Mayor ATTEST: L.(J usan W. one , MMC ' CI [SEAL] R:/Resos 2012/Resos 12-18 4 STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss CITY OF TEMECULA ) I, Susan W. Jones, MMC, City Clerk of the City of Temecula, do hereby certify that the foregoing Resolution No. 12-18 was duly and regularly adopted by the City Council of the City of Temecula at a meeting thereof held on the 15th day of February, 2012, by the following vote: AYES: 5 COUNCIL MEMBERS: Comerchero, Edwards, Naggar, Roberts, Washington NOES: 0 COUNCIL MEMBERS: None ABSENT: 0 COUNCIL MEMBERS: None ABSTAIN: 0 COUNCIL MEMBERS: No Susan . Jones, MMC City Clerk R:/Resos 2012/Resos 12-18 5