HomeMy WebLinkAbout2002 05-21 CC AGENDA PKT (2)AGENDA OF A SPECIAL MEETING
NATIONAL CITY CITY COUNCIL
COUNCIL CHAMBERS
CIVIC CENTER
1243 NATIONAL CITY BOULEVARD
SPECIAL MEETING — TUESDAY — MAY 21, 2002 — 4:00 P.M.
OPEN TO THE PUBLIC
PLEASE COMPLETE A REQUEST TO SPEAK FROM PRIOR TO THE
COMMENCEMENT OF THE MEETING AND SUBMIT IT TO
THE CITY CLERK
ROLL CALL
1. PUBLIC HEARING: JOINT CITY COUNCIL AND CDC PUBLIC HEARING
REGARDING THE SALE OF REAL PROPERTY TO THE SOUTHWESTERN
COMMUNITY COLLEGE DISTRICT LOCATED WITHIN THE TWO BLOCK AREA
BOUNDED BY 8TH STREET TO THE NORTH, PLAZA BOULEVARD TO THE
SOUTH, ROOSEVELT AVENUE TO THE WEST AND NATIONAL CITY
BOULEVARD TO THE EAST
2. RESOLUTION NO. 2002-70: APPROVING THE SALE OF REAL PROPERTY
OWNED BY THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF
NATIONAL CITY (CDCO LOCATED WITHIN THE TWO BLOCK AREA BOUNDED
BY 8TH STREET TO THE NORTH, PLAZA BOULEVARD TO THE SOUTH,
ROOSEVELT AVENUE TO THE WEST AND NATIONAL CITY BOULEVARD TO
THE EAST TO THE SOUTHWESTERN COMMUNITY COLLEGE DISTRICT
(SCCD) AND MAKING CERTAIN FINDINGS IN CONNECTION HEREWITH
ADJOURNMENT
Next Regular City Council Meeting — This Date at 6:00 p.m. — City Council
Chambers, Civic Center
TAPE RECORDINGS OF EACH CITY COUNCIL MEETING ARE AVAILABLE FOR SALE AND TO
LISTEN TO IN THE CITY CLERK'S OFFICE
MEETING DATE: May 21, 2002
City of National City
COUNCIL AGENDA STATEMENT
AGENDA ITEM NO. 1
i
Environmental Review
Financial Statement
The CDC will receive $2,000,000 for the sale of the 3.4 acre parcel located at 8th Street and National
City Boulevard, but will provide funds for parking and infrastructure improvements. Additional finan-
cial details provided in CDC Agenda.
ITEM TITLE: PUBLIC HEARING: JOINT CITY COUNCIL AND CDC PUBLIC HEARING REGARDING THE SALE
OF REAL PROPERTY TO THE SOUTHWESTERN COMMUNITY COLLEGE DISTRICT LOCATED WITHIN THE TWO
BLOCK AREA BOUNDED BY 8TH STREET TO THE NORTH, PLAZA BOULEVARD TO THE SOUTH, ROOSEVELT
AVENUE TO THE WEST AND NATIONAL CITY BOULEVARD TO THE EAST
PREPARED BY: Paul Desrochers,T DEPARTMENT Community Development Commission
Executive Director
This item was continued from the April 2, 2002 Joint City Council and CDC Public
Hearing.
A Public Hearing by the legislative body (City Council) is required before any property acquired by the
CDC with tax increment funds is sold for a redevelopment purpose or the payment for land and/or con-
struction of any publicly owned building is completed under the same circumstances. This joint public
hearing complies with the requirements of the California Community Redevelopment Law Health and
Safety Code Sections 33433 and 33679. Summary Reports were completed in accordance with these
two code sections pertaining to the fair reuse value of the property and the CDC payment for land and/or
construction of publicly owned buildings (parking structure). The reports were made available for public
review prior to today's public hearing and public notices were published in compliance with the above
code sections as well.
This is the time and place for the Joint Public Hearing. A resolution approving the sale of the property
to the Southwestern Community College District is provided later in this agenda.
J
X N/A
STAFF RECOMMENDATION
Hold public hearing as required by Community Redevelopment Law Health and Safety Code Sections
33433 and 33679.
BOARD/COMMISSION RECOMMENDATION
N/A
ATTACHMENTS (Listed Below)
1. Notice of Joint Public Hearing
2. Summary Report pertaining to Section 33433
3. Summary Report pertaining to Section 33679
Resolution No.
CERTIFICATE OF PUBLICATION
Angie Macias
City of National City
Community Development Commission
140 E. 12th Street, Suite B
National City, CA 91950
IN THE MATTER OF
1243 National City Blvd:
NOTICE OF PUBLIC HEARING
NOTICE IS HEAEBB Y GIVEN 9tat onFApnj
2 2002 the City una1 of the, i of
I2ahonalty(tfie _co
C )ad the2Cmvnirity
DevelopmentComm isswn of the
Gsso at
National City Nie'CDC) Whold alomi
Rubhry ieafM9at lip pm organ soon
.lhereaftera the matter ay beheard Ir
at12
Cty Cajtomta o�,o,
TO ROVIFOR
IN CClROAN
HEAL
LOCATU�THE St)
CO < RNE 3 H 3TF
NATIONAL.CrrY D, L—`
APPROXIMATELY,r3 ,A,I,L„
P POSED T i BnE SOLD
S.
flotp
required by:S cho9 tuts-.. a
Heatth & Satety Cosleare onfitetprEidatc
review at the_ Ooronfu4ttI evelopment
Cdronamanoftr 140E AUt sel.Sute
�:BNa,Fgrtal Cty altar ,91950.%Punter
infomiailon can bOobtaine¢by oontaIwg
Mere O.fride'ollhe OOC-ej(61,$) 338;42sc.
The purposed tbejotntpublio ,eafl g is
to receive testifl gny 1rgm tber public
're 3aig-lhe;ptoyesedari?poaRion-and
i� apmenteAfproP tlyas setteelti1the
;PrcpoPed t?ltntteresteKtarties
-.:are rnvded andencourage0toatteend said
meetmgand expresseir othpesone tot or
..against this item - -
h Youtfiailerigethenature of Are proposed
action in -court you maybe limited to
raising only th oseise+eswyai:orsomeone
else raised et the ptbtic hearing descrbed
in this notice, toxin written correspondence
delivered to the undersigned. or to the
City Councit of the City of National. City at;
. orpriorto, the'pbrchearing. -:Fisthemiore.
you most exhaust any administrative
remedies prior to commencing a court
challenge to City Council or CDC action.
DATED- March A ' P002
Paul Desrochers
Executive Director
Pub: Mar. 19,26-e125943
E HE
AT
AND
AID
AE,IATED
jiaement, �a
Saletif i
Ikoposed
NO.
I, Christine Seiveno, am a citizen of the United States and a
of the county aforesaid; I am over the age of eighteen years,
and not party to or interested in the above entitled matter.
I am the principal clerk of the San Diego Daily Transcript, a
newspaper of general circulation, printed and published
daily, except Saturdays and Sundays, in the City of San Diego,
County of San Diego and which newspaper has been adjudged a
newspaper of general circulation by the Superior Court of the
County of San Diego, State of California, under the date of
January 23, 1909, Decree No. 14894; and the
NOTICE OF PUBLIC HEARING
is a true and correct copy of which the annexed is a printed
copy and was published in said newspaper on the following
date(s), to wit:
MARCH 19, 26
I certify under penalty of perjury that the foregoing is true
and correct.
Date. at San Di
SUMMARY REPORT
PERTAINING TO THE SALE OF REAL PROPERTY
(California Community Redevelopment Law Section 33433)
PURSUANT TO A PROPOSED DISPOSITION AND DEVELOPMENT AGREEMENT
Between:
COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY
And:
SOUTHWESTERN COMMUNITY COLLEGE DISTRICT
Prepared by:
KEYSER MARSTON ASSOCIATES, INC.
For:
COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY
Date:
March 19, 2002
Attachment "2"
SUMMARY REPORT
PERTAINING TO THE PROPOSED SALE OF REAL PROPERTY
I. INTRODUCTION
The Community Development Commission of the City of National City, California
(Commission) is considering the sale of real property to the Southwestern Community
College District (Developer) pursuant to a Disposition and Development Agreement
(DDA) between the Commission and the Developer.
This Summary Report is prepared in accordance with Section 33433 of the California
Community Redevelopment Law. This summary consists of six additional sections, as
follows:
• Section II, Description of the Proposed Project
• Section III, Estimated Cost to be Incurred by the Commission under the Proposed
Agreement.
• Section IV, Estimated Value of the Site at the Highest and Best Use.
• Section V, Estimated Fair Re -Use Value of the Interest to be Conveyed.
• Section VI, Purchase Price Which the Developer will be Required to Pay.
• Section VII, Explanation Why the Sale of the Property will Assist in Elimination of
Blight.
Community Development Commission of the City of National City
National City Education Village — 33433
02375mm
16104.001.005
Keyser Marston Associates, Inc.
Page 1
II. DESCRIPTION OF THE PROPOSED PROJECT
A. Proposed Transaction
The proposed development site (Site) is bounded by 8th Street, National City Boulevard,
Roosevelt Street, and Plaza Boulevard, and is bisected by 9th Street. Per the DDA, the
Commission shall cause the vacation of 9th Street, and the parcelization of the Site into
three or more legal parcels to create a large, relatively flat, and rectangular site of
approximately 3.4 acres.
The Developer intends to purchase the Site and develop an educational facility of
approximately 62,000 square feet (SF), plus about 10,000 SF of retail/commercial
space, plus a parking structure containing an estimated 453 spaces, with an additional
80 surface spaces. The Project is projected to attract up to 5,200 college students, plus
faculty and staff. In addition, the facility will provide professional staff training to
numerous Countywide professionals.
B. Commission Responsibilities
Infrastructure and Parking Account
• The Commission shall establish an account (Account) for the purpose of holding
infrastructure and parking funds.
• The Commission shall deposit $4,500,000 into the Account prior to the start of
construction for Phase I. This amount is comprised of a parking contribution of
$2,500,000, and the Developer's purchase price of $2,000,000.
• Funds deposited into the Account shall be disbursed in the following priority:
• First, to reimburse the Commission for all costs related to the design,
engineering, and construction of the Commission Improvements and the
Infrastructure Improvements, but not the mass grading and the remedial work
undertaken by the Commission (see discussion below). The cost of these
improvements is estimated to total $2,000,000.
• Secondly, the remaining amount, estimated at $2,500,000, will be used to
reimburse the Developer for a portion of the costs related to the construction of
the parking improvements.
Community Development Commission of the City of National City
National City Education Village — 33433
02375mm
16104.001.005
Keyser Marston Associates, Inc.
Page 2
Commission Improvements and Remedial Work
• Prior to closing, the Commission shall have completed and paid for the construction
of the Commission Improvements identified as follows:
■ Vacation of Ninth Street, which currently bisects the Site;
• Termination or relocation of utility easements in or adjacent to Ninth Street;
• Removal of any existing above -ground, and as necessary, below -ground
improvements on the Site; and
• Mass grading of the Site in accordance with the Mass Grading Plan to be
prepared at the Developer's expense.
> In addition, prior to closing the Commission shall have caused the Site to be
subdivided at its sole cost and expense into three (3) or more legal parcels.
The parcels are intended to accommodate the proposed phases of the
Developer Improvements.
> Prior to closing, the Commission shall have completed the Remedial Work in
accordance with the approved Master Work Plan.
Commission Infrastructure Improvements
• Following the closing date, the Commission shall construct at its sole cost and
expense, the following Infrastructure Improvements:
■ The design and construction of traffic lanes, and street and signal improvements
for intersections immediately adjacent to the Site that are directly affected by the
Developer Improvements;
■ The construction of on -site sidewalks, landscaping, lighting, and street furniture
along National City Boulevard between Plaza and 8th Street, Roosevelt between
8th and Plaza, and along Plaza and 8th Street between Roosevelt and National
City Boulevard; and
• Installation of underground utilities with lateral lines stubbed to locations at the
boundaries of the Site.
Community Development Commission of the City of National City
National City Education Village — 33433
02375mm
16104.001.005
Keyser Marston Associates, Inc.
Page 3
C. Developer Responsibilities
• The Developer shall construct, or cause to be constructed, at its sole cost and
expense, Phase I, Phase II, and Phases III/IV of the Developer Improvements,
defined as follows:
■ Phase I shall consist of the following:
➢ Construction of an approximately 47,000-SF building for educational/
administrative uses, inclusive of approximately 10,000 SF of ground floor
retail/commercial space;
➢ The development of an approximately 19,000-SF landscaped pad on the
corner of 8th Street and National City Boulevard, including sidewalks and
streetscape improvements.
➢ Construction of a multi -level parking structure containing 453 spaces, and
surface parking containing approximately 80 spaces. In total, an estimated
533 parking spaces will be provided.
• Phase II will consist of a two-story, 25,000-SF building, and will be located on the
aforementioned 19,000-SF pad at the corner of National City Boulevard and 8th
Street. The building will be used for retail and educational purposes.
• Phases III/IV may consist of a combination of educational, retail, and multi -family
residential uses, compatible with, and designed to support, the educational
activities and expansion of the existing educational facility.
• In the event the Developer fails to perform, the Commission has the option to
reacquire the Site. If the Commission chooses to exercise this right, the Commission
will pay the Developer a reacquisition amount determined as follows: the sum of (1)
$13.10 per SF of the parcel(s) being reacquired; plus (2) interest on the foregoing
amount at the rate payable by Developer; plus (3) the documented costs of any
Developer improvements on the property to be reacquired (excluding costs paid by
the Commission or funded from the Account); minus (4) the amount of unpaid
principal and interest on any mortgages on the parcel(s) being reacquired.
• For a period of 20 years, the Developer will devote at least 51% of the floor space
developed on the Site to educational purposes, and up to 49% of the floor space
may be used for retail purposes designed to support those educational purposes.
Community Development Commission of the City of National City
National City Education Village — 33433
02375mm
16104.001.005
Keyser Marston Associates, Inc.
Page 4
III. ESTIMATED COST TO BE INCURRED BY THE COMMISSION UNDER THE
PROPOSED AGREEMENT
The estimated total costs to the Commission under the terms of the DDA include
acquisition of the Site, demolition, environmental, parking, infrastructure, and consultant
costs. These costs have been estimated as follows:1
Total Costs
Acquisition Costs $5,765,801
Demolition $252,000
Consultant Costs2 $250,000
Environmental; $0
Parking Contribution $2,500,000
Infrastructure Improvements $2,000,000
Commission Staff $100,000
Total Commission Costs $10,867,801
(Less) Developer's Purchase Price ($2.000,000)
Net Commission Costs $8,867,801
Source: Community Development Commission of the City of National City
2 Estimated costs of legal, environmental, and economic consultants.
3 Environmental costs to be borne by prior property owners in accordance with Polanco Act provisions.
Community Development Commission of the City of National City
National City Education Village — 33433
02375mm
16104.001.005
Keyser Marston Associates, Inc.
Page 4
IV. ESTIMATED VALUE OF THE SITE AT THE HIGHEST AND BEST USE
This section presents an analysis of the fair market value of the Site at the highest and
best use of the property. In appraisal terminology, the highest and best use is that use
of the property, which generates the highest property value and is physically possible,
financially feasible, and legally permitted. Therefore, value at highest and best use is
based solely on the value created and not on whether or not that use carries out the
redevelopment goals of the City of National City.
In considering the highest and best use of the Site, KMA has assumed the property's
current land use and zoning designations. The majority of the Site is currently zoned CG
(General Commercial), while a minor portion carries a MLR (Light Manufacturing/
Residential) zoning designation. These classifications allow for the development of a
broad range of commercial, industrial, and residential land uses.
In determining the highest and best use of the Site, the following key factors should be
considered:
• As an in -fill site, the Site is large, relatively flat, and rectangular in configuration;
• This Site is bounded by a variety of existing commercial and residential uses;
• The Site is located at the crossroads of two major arterials; and
• The Site lacks direct freeway exposure, but benefits from its close proximity to the
freeway. The upper floors will be visible from the freeway and will enjoy views to the
Bay and Strand.
Based on these considerations, KMA concludes that the highest and best use of the
subject Site is retail development. KMA has reviewed comparable commercial land
sales in the South Bay area, and generally finds these transactions to range in value
from $10 to $15 per SF. Given the Site's size and location, KMA estimates that the fair
market value of the Site at its highest and best use is approximately $15 per SF, or
$2,156,000.
Community Development Commission of the City of National City
National City Education Village — 33433
02375mm
16104.001.005
Keyser Marston Associates, Inc.
Page 5
V. ESTIMATED FAIR RE -USE VALUE OF THE INTEREST TO BE CONVEYED
This section presents an analysis of the fair re -use value of the interest to be conveyed
to the Developer subject to conditions, covenants, and restrictions contained in the
proposed DDA. In estimating the fair re -use value of the parcel, KMA has reviewed the
requirements that set specific conditions with respect to scope of development, the
schedule of performance, and method of financing.
A review of comparable transactions involving educational institutions over the past two
years suggests that they are of minimal relevance in establishing fair re -use value for the
subject Site. Extensive adjustments to the comparables would be required to establish
comparability. Therefore, reliance has been placed on the income, or the residual land
value approach, which is a recognized method for valuing real property.
Analysis of the development economics of the Site, reported separately to the
Commission by KMA, indicates that pursuant to the terms and conditions under which
the Commission will convey the Site, the fair re -use value of the Site is negative
$500,000.
Community Development Commission of the City of National City
National City Education Village — 33433
02375mm
16104.001.005
Keyser Marston Associates, Inc.
Page 6
VI. PURCHASE PRICE WHICH THE DEVELOPER WILL BE REQUIRED TO PAY
Under California Community Redevelopment Law, the Commission is obligated to
publicly disclose information sufficient for a comparison of the purchase price contained
in the proposed DDA with the estimated fair re -use value. In order to facilitate such a
comparison, KMA has separately evaluated the financial terms contained in the
proposed DDA.
The Commission will convey the Site to the Developer for $2,000,000. The Commission
will provide $2,500,000 in financial assistance to the Project. The Commission is entitled
to participate in a pro rata portion of capital proceeds received from a lease transaction
with SDSU. At this time, the Commission cannot determine when, or if, SDSU will
participate in the proposed development, or any terms of such participation. Therefore,
KMA conservatively estimates zero revenues to the Commission from this provision at
this time.
In total, then, KMA estimates that the effective compensation to the Commission is
negative $500,000.
Community Development Commission of the City of National City
National City Education Village — 33433
02375mm
16104.001.005
Keyser Marston Associates, Inc.
Page 7
VII. EXPLANATION WHY SALE OF THE PROPERTY WILL ASSIST IN ELIMINATION
OF BLIGHT
The Project Area is characterized by an array of blighting factors, including:
• The age, obsolescence, deterioration, mixed character, or shifting uses of existing
buildings within the Project Area.
• The subdividing and sale of lots of irregular form and shape, and inadequate size for
proper usefulness and development.
• A prevalence of depreciated values, impaired investments, and social and economic
maladjustment.
• The defective design in character or physical condition of existing buildings.
Not all of these conditions are present throughout the Project Area. The Commission's
redevelopment efforts have successfully alleviated blighting conditions in some portions
of the Project Area. However, many of these conditions are still apparent in the area
surrounding the subject Site. Implementation of the proposed development can be
expected to assist in the alleviation of blighting conditions through the following:
• Elimination of conditions of economic dislocation such as incompatible land uses and
fragmented ownership parcels.
• Consolidation of irregular parcels into a site appropriate for development.
• Expansion, renovation, and relocation of businesses within the Project Area.
Community Development Commission of the City of National City
National City Education Village — 33433
02375mm
16104.001.005
Keyser Marston Associates, Inc.
Page 8
Summary Report
Section 33679 of the Health and Safety Code
Pursuant to Proposed DDA Between the
CDC and Southwestern Community College District
March 19, 2002
(a) Estimated amount of taxes to be used to pay for land and construction of any
publicly owned building, including interest payments.
In the related Summary Report for Section 33433, KMA, Inc. estimates total costs
incurred by the CDC to acquire the Site and provide parking and infrastructure
improvements at $10,867,801. SCCD will pay the CDC $2,000,000 as purchase price for
the Site leaving a balance of $8,867,801 as the estimated amount of taxes being used by
the CDC to pay for land and construction of certain publicly owned improvements.
(b) Facts supporting the determinations required to be made by the legislative body
pursuant to Section 33445.
Determination #1: The buildings, facilities, structures, and other improvements are of
benefit to the National City Redevelopment Project (NCRP) Area, where the project will
be located, for the following reasons:
• Removal of blighted buildings and property including adult theater,
pawnshop, gasoline station, and several automotive uses.
• Benefit of a $20 million real estate investment into blighted downtown
district including high quality architecture and urban design.
• The economic spin-off of creating a higher education facility that will
attract a daily attendance of over 3,000 students and teachers to
Downtown National City.
• The location advantage to those National City residents that want to better
their quality of life through participation in higher education.
Determination #2: There are no other reasonable means available to the community to
finance the buildings, facilities, structures, or other improvements this project will bring
for the following reasons:
• State funding and grants for the creation of higher education facilities,
such as this one, are limited or non-existent.
• Funds from City resources are not available for this type of project.
• Funds from the federal government are also very limited or non-existent.
• Fees from students and tenants are insufficient to cover capital costs.
Attachment "3"
Determination #3: The payment of funds for the acquisition of land or the cost of
buildings, facilities, structures, or other improvements will assist in the elimination of one
or more blighting conditions inside the project area for the following reason:
The project will involve the removal of several blighted and highly dilapidated
buildings including an adult theater, pawnshop, gasoline station, and several
automotive uses.
(c) Redevelopment purpose for which taxes are being used to pay for the land and
construction of publicly owned building.
• The economic stimulus to the surrounding area of a $20 million real estate
investment in a blighted downtown district.
• The project is of high quality architecture and urban design.
• The economic spin-off of creating a higher education facility that will
attract a daily attendance of over 3,000 students and teachers to
Downtown National City.
• The location advantage to those National City residents that want to better
their quality of life through participation in higher education.
City of National City
COUNCIL AGENDA STATEMENT
MEETING DATE: May 21, 2002 AGENDA ITEM NO. 2
ITEM TITLE: RESOLUTION NO. 2002- : APPROVING THE SALE OF REAL PROPERTY OWNED
BY THE COMMUNITY DEVELOPMENT COMMISSION TO THE SOUTHWESTERN COMMUNITY
COLLEGE DISTRICT LOCATED WITHIN THE TWO BLOCK AREA BOUNDED BY 8TH STREET TO
THE NORTH, PLAZA BOULEVARD TO THE SOUTH, ROOSEVELT AVENUE TO THE WEST AND
NATIONAL CITY BOULEVARD TO THE EAST
PREPARED BY: Paul Desrochers,
Executive Director
DEPARTMENT Community Development Commission
A copy of the Summary Report pertaining to Section 33433 is included with the agenda item relative to
the Joint Public Hearing held this date on this subject. The Report concludes that the Fair Reuse
Value of the property for sale to the Southwestern Community College District is negative $500,000.
State Law requires that the Commission make one of the following findings:
a) The consideration is not less than the fair market value at its highest and best use in accordance
with the Plan; or,
b) The consideration is not less than the fair reuse value at the use and with the covenants, condi-
tions and development costs authorized by the sale or lease.
The Resolution makes the finding related in b) above.
A Disposition & Development Agreement (DDA) also subject to Public Hearing will be required prior
to the actual sale of the property. This item will be considered on the CDC Agenda following ap-
proval of this resolution.
Environmental Review X N/A
Financial Statement
The CDC will receive $2,000,000 for the 3.4 acre parcel located at 8th Street and National City Boule-
vard, but will provide funds for parking and infrastructure improvements. Additional financial details
provided in CDC Agenda.
1
STAFF RECOMMENDATION
Approve above -subject resolution
BOARD/COMMISSION RECOMMENDATION
N/A
1
ATTACHMENTS (Listed Below)
Resolution 2002- 70
Resolution No.
RESOLUTION NO. 2002-70
RESOLUTION OF THE
CITY COUNCIL OF THE CITY OF NATIONAL CITY
APPROVING THE SALE OF REAL PROPERTY OWNED BY THE
COMMUNITY DEVELOPMENT COMMISSION
OF THE CITY OF NATIONAL CITY (CDC)
LOCATED WITHIN THE TWO BLOCK AREA
BOUNDED BY 8TH STREET TO THE NORTH,
PLAZA BOULEVARD TO THE SOUTH,
ROOSEVELT AVENUE TO THE WEST
AND NATIONAL CITY BOULEVARD TO THE EAST
TO THE SOUTHWESTERN COMMUNITY COLLEGE DISTRICT (SCCD)
AND MAKING CERTAIN FINDINGS IN CONNECTION HEREWITH
WHEREAS, the Community Development Commission of the City of National
City (the "CDC") is engaged in activities necessary to execute and implement the
Redevelopment Plan (the "Redevelopment Plan") for the National City Redevelopment
Project (NCRP); and,
WHEREAS, in furtherance of the objectives of the California Community
Redevelopment Law (California Health and Safety Code Section 33000 et seq.), the
CDC desires to redevelop a certain approximately 3.4 acre portion of the NCRP area
located at the southwest corner of 8th Street and National City Boulevard (the "Site")
which is owned by the CDC; and,
WHEREAS, the Implementation Plan adopted by the CDC with respect to the
NCRP area calls for the CDC's objective to "increase private investment wherever
possible, to promote jobs and improve the property and sales tax base of the City"; and,
WHEREAS, the CDC and the SCCD (the "Developer"), propose to enter into a
Disposition and Development Agreement (the "Agreement") pursuant to which the CDC
would convey the Site to the Developer, and the Developer would construct
improvements on the Site consisting of approximately 72,000 s.f. of educational and
retail business facilities, a parking structure of approximately 453 spaces, with an
additional 80 surface parking spaces (the "Project"); and,
WHEREAS, pursuant to Section 33433 of the Community Redevelopment Law,
the CDC is authorized, with the majority approval of the City Council after public
hearing, to convey the Site for redevelopment purposes pursuant to the Redevelopment
Plan upon a determination by the City Council that the sale of the Site will assist in the
elimination of blight and that the consideration for such sale is not less than fair reuse
value in accordance with the covenants and conditions governing the sale and
development costs thereof; and,
1 of 4
WHEREAS, pursuant to Section 33445 of the Community Redevelopment Law,
the CDC has determined that: (1) the Project is of benefit to the NCRP area, the area in
which it is proposed to be located; (2) there are no other reasonable means of financing
the Project available to the community; and, (3) the payment of funds for acquisition of
land or the cost of buildings, facilities, structures, or other improvements will assist in
the elimination of one or more blighting conditions inside the NCRP area; and,
WHEREAS, a public hearing notice was duly noticed in accordance with the
requirements of Health and Safety Code Section 33433 and 33679; and,
WHEREAS, the proposed Agreement, and summary reports meeting the
requirements of Health and Safety Code Section 33433 and 33679, were available for
public inspection consistent with the requirements of Health and Safety Code Section
33433 and 33679; and
WHEREAS, on May 21, 2002, the City Council and CDC held a joint public
hearing on the proposed Agreement and evaluated all of the information, testimony, and
evidence presented during the public hearing; and,
WHEREAS, the CDC has reviewed the summary reports required pursuant to
Health and Safety Code Sections 33433 and 33679 and evaluated other information
provided to it pertaining to the findings required pursuant to Sections 33433 and 33445;
and,
WHEREAS, the sale of the Site pursuant to the proposed Agreement will
improve the quality of life of the residents of the City of National City and its visitors
through the elimination of blight and the development of quality projects in the NCRP
area by providing for the reuse and redevelopment of a portion of the NCRP area which
formerly contained various substandard commercial buildings; and,
WHEREAS, the value of the consideration for the Site, pursuant to proposed
Agreement will not be less than the fair reuse value of the Site as set forth in the
summary report completed per Section 33433; and,
WHEREAS, the CDC approved Resolution #2002-23 adopting a Mitigated
Negative Declaration ("MND") and a Mitigation Monitoring and Reporting Program
("MMRP") prepared pursuant to California Environmental Quality Act ("CEQA")
guidelines on May 21, 2002, prior to consideration for approval of the Agreement; and,
WHEREAS, all actions required by all applicable law with respect to the
proposed Agreement has been taken in an appropriate and timely manner; and,
WHEREAS, the CDC has duly considered all terms and conditions of the
proposed Agreement and believes that the disposition of the Site pursuant thereto is in
the best interests of the City of National City and the health, safety, and welfare of its
2 of 4
residents, and in accord with the public purposes and provisions of applicable state and
local law requirements.
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of
National City as follows:
Section 1. The City Council hereby finds and determines, based upon
substantial evidence provided in the record before it, that the consideration for the
disposition of the Site, pursuant to the terms and conditions of the proposed Agreement,
is not less than the fair reuse value of the Site in accordance with the covenants and
conditions governing the sale, and the development costs required under the proposed
Agreement.
Section 2. The City Council hereby finds and determines, based upon
substantial evidence provided in the record before it, the following: (1) that the Project
is of benefit to the NCRP area, the area in which it is proposed to be located; (2) there
are no other reasonable means of financing the Project available to the community; and,
(3) the payment of funds for acquisition of land or the cost of buildings, facilities,
structures, or other improvements will assist in the elimination of one or more blighting
conditions inside the NCRP area.
Section 3. The City Council hereby finds and determines that the disposition of
the Site pursuant to the proposed Agreement will eliminate blight within the Project Area
by providing for the reuse and redevelopment of a portion of the Project Area which was
declared blighted for the reasons described above.
Section 4. The CDC Executive Director is authorized to file a Notice of
Determination with the County Clerk of the County of San Diego following adoption by
the CDC of the resolution adopting the MND.
Section 5. The City Council hereby finds and determines that the Agreement is
consistent with the Implementation Plan for the Redevelopment Plan.
Signature page to follow
3 of 4
PASSED AND ADOPTED this 21st day of May 2002.
George H. Waters, Chairman
ATTEST:
Michael R. Dalla, City Clerk
APPROVED AS TO FORM:
George H. Eiser, III
City -CDC Attorney
4 of 4