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HomeMy WebLinkAbout98-047 CC ResolutionRESOLUTION NO. 98-47 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMECULA APPROVING THAT CERTAIN AGREEMENT ENTITLED "DISPOSITION AND DEVELOPMENT AGREEMENT" BETWEEN THE REDEVELOPMENT AGENCY OF THE CITY OF TEMECULA AND TEMECULA GARDENS, L.P., DATED AS OF MAY 26, 1998 AND THAT CERTAIN GROUND LEASE BETWEEN THE REDEVEL- OPMENT AGENCY OF THE CITY OF TEMECULA AND TEMECULA GARDENS, L.P., DATED AS OF MAY 26, 1998 FOR THE REDEVELOPMENT OF CERTAIN PROPERTY WITHIN REDEVELOPMENT PROJECT NO. 1--1988 THE CITY COUNCIL OF THE CITY OF TEMECULA DOES HEREBY RESOLVE AS FOLLOWS: Section 1. The City Council of the City of Temecula hereby finds, determines and declares that: a. The Redevelopment Agency of the City of Temecula ("Agency") is a community redevelopment agency duly organized and existing under the Community Redevelopment Law ("CRL"), Health and Safety Code Sections 33000 et seq. and has been authorized to transact business and exercise the powers of a redevelopment agency pursuant to action of the City Council of the City of Temecula. b. On June 12, 1988, the Board of Supervisors of the County of Riverside adopted Ordinance No. 658 adopting and approving the "Redevelopment Plan for Riverside County Redevelopment Project No. 1-1988" (hereafter the "Plan") in accordance with the provisions of the CRL. On December 1, 1989, the City of Temecula was incorporated. The boundaries of the Project Area described in the Plan are entirely within the boundaries of the City of Temecula. On April 9, 1991, the City Council of the City of Temecula adopted Ordinances Nos. 91-08, 91-11, 91-14, and 91-15 establishing the Redevelopment Agency of the City of Temecula and transferring jurisdiction over the Plan from the County to the City. Pursuant to Ordinance Nos. 91-11 and 91-15, the City of Temecula and the Redevelopment Agency of the City of Temecula assumed jurisdiction over the Plan as of July 1, 1991. c. The project proposed by Temecula Gardens, L. P. ("Developer") pertains to property located at 28485, 28497, 28534, 28535, 28545, 28555, 28559, and 28565 Pujol Street in the City of Temecula ("Site"), which is within the Project Area. R:resos. \98-47 1 d. The Project to be developed on the Site pursuant to the Disposition and Development Agreement ("Agreement") will consist of the rehabilitation of 38 existing rental units and the construction of 38 new rental units. All units on the Site will be available at rents affordable to persons and families of low or moderate income. e. Pursuant to the provisions of Health & Safety Code Sections 33430, 33431 and 33433, the Agency duly noticed and held a joint public hearing before the Board of Directors of the Redevelopment Agency of the City of Temecula and the City Council of the City of Temecula concerning the approval of the proposed Disposition and Development Agreement and Ground Lease with Developer. f. Pursuant to the requirements of Health & Safety Code Section 33433, a comprehensive report summarizing and analyzing the proposed Disposition and Development Agreement and the Ground Lease. The report specifically contains the information required by Section 33433 and has been prepared within the time limit set forth therein and made available for public review from the date of the first pub lication of the notice of public hearing. g. The lease of the Site as proposed by the Disposition and Development Agreement and the Ground Lease is at less than fair market rental value based on the Agency's real estate analysis. Concurrently with the adoption of this resolution, the Agency Board found that, in accordance with the authority of Health & Safety Code Section 33433 that: (1) the lease price is not less than the fair reuse value of the Site; and (2) said difference is necessary to effectuate the provisions of the Plan and to allow development and housing opportunities to come to the City and Project Area and increase employment opportunities within the City and the Project Area. h. The development of the Site as required by the Agreement will assist in the elimination of blight in the Project Area as identified in the proceedings establishing the Project Area in that development of Project on the Site will: (1) Establish development standards and the rehabilitation and improvement of obsolete, deteriorating, and inappropriate buildings and housing stock; (2) consolidate irregular parcels into a site appropriate for development; (3) encourage and provide for development of vacant properties in accordance with the Plan and the Old Town Specific Plan; and (4) preserve, improve, and expand housing opportunities for low and moderate income residents. i. The Agreement is consistent with the Redevelopment Plan and the Implementation Plan adopted by the Agency for the Project Area adopted by the Agency. j. The redevelopment of the Site as provided in the Agreement and Ground Lease is consistent with the City's General Plan and the Old Town Specific Plan. R:resos.\98-47 2 k. The Agency is specifically authorized by Health & Safety Code Sections 33430, 33431 and 33433, and other applicable law, to enter into the Disposition and Development Agreement and Ground Lease. 1. The City Council and Agency Board has duly considered all terms and conditions of the proposed Agreement and believes that such agreement is in the best interests of the Agency and City and the health, safety, and welfare of its residents, and in accord with the public purposes and provisions of applicable State and local law require- ments. m. This Agreement pertains to and affects the ability of all parties to finance and carry out their statutory purposes and to accomplish the goals of the Plan and is intended to be a contract within the meaning of Government Code Section 53511. Section 2. The City Council of the City of Temecula hereby further finds, determines and declares that: a. Section 33334.2, et seq. of the CRL authorizes and directs the Agency to expend a certain percentage of all taxes which are allocated to the Agency pursuant to the CRL Section 33670 for the purposes of increasing, improving and preserving the co mmunity's supply of housing available at affordable housing costs to persons and families of low to moderate income, including lower income and very low income households. b. Pursuant to the CRL, the Agency has established a Low and Moderate Income Housing Fund (the "Housing Fund"). c. Pursuant to the CRL Section 33334.2(e), in carrying out its affordable housing activities, the Agency is authorized to provide subsidies to or for the benefit of very low and lower income households, or persons and families of low or moderate income to the extent those households cannot obtain housing at affordable costs on the open market. d. Pursuant to the CRL Section 33413(b), the Agency is required to ensure at least fifteen percent (15%) of all new and substantially rehabilitated dwelling units developed within the Project Area by private of public entities or persons other than the Agency shall be available at affordable housing cost to persons and families of low or moderate income, and such inclusionary units may be provided outside the boundaries of the Project Area in conformity with the requirements of CRL Section 33413(b)(2)(A)(ii). e. Developer proposes, with the assistance of the Agency, to develop the Project and upon completion to make available for the longest feasible period of time all R:resos.\98-47 3 of the housing units in the Project at affordable rents to low to moderate income households. f. Pursuant to Sections 33132, 33133, and 33600 of the CRL, the Agency may accept financial or other assistance from any public or private source, for the Agency's activities, powers, and duties, and expend any funds so received for any of the purposes of the CRL. g. The expenditures from the Housing Fund as contemplated by the Agreement approved by this Resolution will directly and specifically increase, improve, and preserve the community's supply of low and moderate income housing within the meaning of Health and Safety Code Section 33334.2 and will be of benefit to the Project Area by providing new housing which restricted so as to be affordable for occupancy by very low income, lower income and median income households. h. The California Legislature declares in Health and Safety Code Section 36000, et seq., that new forms of cooperation with the private sector, such as leased housing, disposition of real property acquired through redevelopment, development approvals, and other forms of housing assistance may involve close participation with the private sector in meeting housing needs, without amounting to development, construction or acquisition of low rent housing projects as contemplated under Article XXXIV of the State Constitution and that the Agreement approved hereby is not subject to the provisions of said Article XXXIV. Section 3. The City Council of the City of Temecula hereby further f'mds, determines and declares that: a. An Initial Study of Environmental Impact and a Negative Declaration has been prepared for the Disposition and Development Agreement by and between the Agency and Developer and circulated in accordance with the provisions of the California Environmental Quality Act and the State CEQA Guidelines. The Initial Study and Negative Declaration of Environmental Impact is on file in the Office of the Secretary of the Agency. b. Prior to approving the Project, the Board of Directors of the Agency and the City Council considered the Initial Study of Environmental Impact and the Negative Declaration, together with any comments received during the public review process. c. The City Council specifically finds and determines that on the basis of the Initial Study of Environmental Impact and any comments received in the public review process, there is no substantial evidence before the Council and the Agency that the Project will have a significant effect on the environment. As a result of the Initial Study and any comments received during the public review process, the Project will not result R:resos.\98-47 4 in any adverse effect, either individually or cumulatively, on wildlife (as defined by Sec- tion 711.2 of the Fish and Game Code) or on wildlife habitats and resources· Section 4. As a responsible agency, the City Council of City of Temecula, based upon the findings set forth above, hereby certifies and approves the Negative Declaration of Envi- ronmental Impact for the project which is attached hereto as Exhibit "A" and by this reference incorporated herein, and directs the Executive Director to file a Notice of Determination with the County Clerk of the County of Riverside forthwith. Section 5. The City Council of the City of Temecula hereby approves that certain Disposition and Development Agreement entitled "Disposition and Development Agreement" between the Redevelopment Agency of the City of Temecula, a public body corporate and politic, and Temecula Gardens, L.P. dated as of May 26, 1998 and authorizes the Agency to approve said Agreement in substantially the form submitted to the Council, subject to such revisions as authorized by the Agency Board. Section 6. The City Clerk shall certify the adoption of this Resolution. PASSED, APPROVED, AND ADOPTED, by the City Council of the City of Temecula this 26th day of May, 1998. ATTEST: Ron Roberts, Mayor · Jones, C[MC ity Clerk [SEAL] R:resos.\98-47 5 STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss CITY OF TEMECULA ) I, Susan W. Jones, Acting City Clerk of the City of Temecula, California, do hereby certify that Resolution No. 98-47 was duly and regularly adopted by the City Council of the City of Temecula at a regular meeting thereof held on the 26th day of May, 1998, by the fo 11owing vote: AYES: 4 COUNCILMEMBERS: Comerchero, Ford, Lindemans, Roberts NOES: 0 COUNCILMEMBERS: None ABSTAIN: 1 COUNCILMEMBERS: Stone Su(an W. Jones, CMC A~jfig City Clerk R:resos.\9847 6 EXHIBIT "A " City of Temecula Planning Department Notice of Proposed Negative Declaration PROJECT: APPLICANT: LOCATION: DESCRJFFION: North Pujol Street Apartments Temecula Redevelopment Agency Old Town, SW corner of 6th and Pujol Streets To construct 38 affordable apartment units and refurbish 37 existing affordable units and enter into a Development Disposition Agreement between the Temecula Redevelopment Agency and the Affirmed Housing Group to develop, rehabilitate, operate, and maintain as affordable housing units under a 50 year lease. The City of Temecula intends to adopt a Negative Declaration for the project described above. Based upon the information contained in the attached Initial Environmental Study and pursuant to the requirements of the California Environmental Quality Act (CEQA); it has been determined that this project as proposed, revised or mitigated will not have a significant impact upon the environment. As a result, the City Council intends to adopt a Negative Declaration for this project. The mitigation measures required to reduce or mitigate the impacts of this project on the environment are included in the project design and/or the Mitigation Monitoring Program which is attached to this Notice and will be included as part of the Negative Declaration for this project. The Comment Period for this proposed Negative Declaration is May 8, 1998 to May 25, 1998. Written comments and responses to this notice should be addressed to the contact person listed below at the following address: City of Temecula, P.O. Box 9033, Temecula, CA 92589-9033. City Hall is located at 43200 Business Park Drive. The public notice of the intent to adopt this Negative Declaration is provided through: X The Local Newspaper. 3[_ Posting the Site. X Notice to Adjacent Property Owners. If you need additional information or have any questions concerning this project, please contact Saied Naa~eh, Associate Planner at (909) 694-6400. Prepared by: ~ ~ (Signature) (Name and Title) R:\HOUSINOkNOPUJOL\CEQA.PND 5/7/98 an