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HomeMy WebLinkAbout2010 CON Janice Martinelli - 940 East 16th Street - Mills Act ContractRecording Requested by and When Recorded Please Mail to: Michael R. Dalla City Clerk City of National City 1243 National City Boulevard National City, CA 91950-4301 14192 D O C ## 2010-0576001 1111111111111111111111111111111111111111111111111 OCT 26, 2010 12:49 PM OFFICIAL RECORDS SAN DIEGO COUNTY RECORDER'S OFFICE DAVID L. BUTLER, COUNTY RECORDER FEES: 58.00 PAGES- 9 111IIIH1111111ulllIIIII11IIIIII111111111111IIIIIIIIII11IIIIII111111111111IIII IIII APN(s): 561-060-47 Above Space for Recorder's Use Only. MILLS ACT CONTRACT For property located at 940 East 16th Street THIS CONTRACT is entered into by and between THE CITY OF NATIONAL CITY, a municipal corporation ("CITY") and Edward and Marilyn Zubov ("OWNERS"). RECITALS WHEREAS, California Government Code Section 50280, et seq., referred to as the Mills Act, authorizes cities to enter into contracts with the owners of qualified historic properties to provide for the use, maintenance, and restoration of such historic properties so as to retain their characteristics as properties of historic significance. WHEREAS, Owners possesses fee title in and to that certain real property, together with associated structures and improvements thereon, Assessor's Parcel No. 561-060-47, and located at the street address 940 East 16th Street, National City, California, (the "Historic Site"). A legal description of the Historic Site is attached hereto as "Exhibit A", and incorporated herein by this reference. WHEREAS, the National City Council has designated the above property as a Historic Site and it is so listed and currently eligible for listing in the "List of Identified Historic Sites in National City'. WHEREAS, City and Owners, for their mutual benefit, now desire to enter into this Contract both to protect and preserve the characteristics of historic significance of the Historic Site and to qualify the Historic Site for an assessment of valuation pursuant to the provisions of Article 1.9 (commencing with Section 439) of Chapter 3 of Part 2 of Division 1 of the California Revenue and Taxation Code, and of Article 12 (commencing with Section 50280) of Chapter 1 of Part 1 of Division 1 of the California Government Code (and as amended from time to time). 14193 AGREEMENT NOW THEREFORE, in consideration of the mutual benefits and covenants, City and Owners agree as follows: 1. Compliance with Council Resolution. Owners shall comply with City Council Resolution No. 2010-xx incorporated herein by this reference. 2. Eligibility. To be eligible for this Contract, the Historic Site shall be listed and shall remain eligible for listing in the "List of Identified Historic Sites in National City." 3. Standards for Historic Site. During the term of this Contract, the Historic Site shall be subject to the following conditions, requirements, and restrictions: a. Owners shall preserve and maintain the characteristics of the cultural and historical significance of the Historic Site, and when necessary, restore and rehabilitate the Historic Site to conform to the rules and regulations of the Office of Historic Preservation of the Department of California State Parks, the United States Secretary of the Interior's Standards for Rehabilitation, and the State Historical Building Code, as amended from time to time. Work shall be done in accordance with the attached schedule of potential home improvements drafted by the Owners (Attachment A). b. Owners shall maintain all buildings, structures, yards and other improvements in a manner which does not detract from the appearance of the immediate neighborhood. The following conditions are prohibited: i. Dilapidated, deteriorating, or unrepaired structures, such as: fences, roofs, doors, walls and windows; ii. Scrap lumber, junk, trash or debris; iii. Abandoned, discarded or unused objects or equipment, such as automobiles, automobile parts, furniture, stoves, refrigerators, cans, containers, or similar items; iv. Stagnant water or excavations, including swimming pools or spas; v. Any device, decoration, design, structure or vegetation which is unsightly by reason of its height, condition, or its inappropriate location. c. Owners shall allow reasonable periodic examination of the interior and exterior of the Historic Site, by prior appointment, if a request is made by representatives of the City of National City Planning Department, the Community Development Commission of the City of National City, County Assessor, State Department of Parks and Recreation, or the State Board of Equalization, as may be necessary to determine Owners compliance with the Contract. 2 Mills Act Contract 2010-28 M 14194 d. Owners shall allow visibility of the exterior of the structure from the public right-of-way. Owners shall not block the view to the exterior of structure with any new structure, such as as walls, fences, or shrubbery. e. Should Owners apply to City for a permit for demolition, substantial exterior alteration or removal of the Historic Site, Owners shall attend and participate in a scheduled hearing regarding such application before the board or commission designated by the City Council to oversee City's historic resources prior to the issuance of such permit. City will endeavor to schedule such hearing within three (3) weeks after owners submit such application to City. f. Notwithstanding the foregoing subparagraph 2.e, should Owners apply to City for a permit for the demolition, substantial exterior alteration or removal of the Historic Site, Owners shall comply with all City and State of California environmental regulations, policies and requirements prior to City's issuance of the requested permit. 4. Information of Compliance. Owners hereby agrees to furnish City with any and all information requested by City which City deems necessary or advisable to determine compliance with the terms and provisions of this Contract. 5. Cancellation. City, following a duly noticed public hearing as set forth in California Government Code Sections 50280, et seq., may cancel this Contract if it determines that Owners have breached any of the conditions of this Contract or has allowed the property to deteriorate to the point that it no longer meets City's or the State's standards for a qualified historic property. In addition, City may cancel this Contract if it determines that Owners have failed to restore or rehabilitate the Historic Site in the manner specified in subparagraph 3(a) of this Contract, or has demolished, substantially altered, or removed the Historic Site. In the event of cancellation, Owners shall be subject to payment of those cancellation fees set forth in California Government Code Section 50280, et seq. 6. Enforcement of Contract. In lieu of and/or in addition to any provisions related to cancellation of the Contract as referenced herein, City may specifically enforce or enjoin the breach of the terms of this Contract. In the event of a default under the provisions of this Contract by Owners, City will give written notice to Owners by registered or certified mail of the default, and provide if such a violation is not corrected to the reasonable satisfaction of City within thirty (30) days (provided that acts to cure the breach or default must be commenced within thirty (30) days and must thereafter be diligently pursued to completion by Owners, then City may, without further notice, declare a default under the terms of this Contract and may pursue any remedy available under local, state or federal law. City does not waive any claim of default by Owners if City does not enforce or cancel this Contract. No waiver by City of any breach or default under this Contract shall be 3 Mills Act Contract 2010-28 M 14195 deemed to be a waiver of any other subsequent breach thereof or default hereunder. 7 Binding Effect of Contract. Owners hereby subject the Historic Site to the covenants, reservations and restrictions as set forth in this Contract. City and Owners hereby declare their specific intent that the covenants, reservations, and restrictions as set forth herein shall be deemed covenants running with the land and shall pass to and be binding upon Owners' successors and assigns in title or interest to the Historic Site. Each and every contract, deed, or other instrument hereinafter executed, covering or conveying the Historic Site, or any portion thereof, shall conclusively be held to have been executed, delivered, and accepted subject to the covenants, reservations, and restrictions expressed in this Contract regardless of whether such covenants, reservations, and restrictions are set forth in such contract, deed, or other instrument. City and Owners hereby declare their understanding and intent that the burden of the covenants, reservations, and restrictions set forth herein, touch and concern the land, in that Owners legal interest in the Historic Site is rendered less valuable thereby. City and Owners hereby further declare their understanding and intent that the benefit of such covenants, reservations and restrictions touch and concern the land by enhancing and maintaining the historic characteristics and significance of the historic Site for the benefit of City, the public, and Owners. 8. Processing Fee. Owners shall pay to City a graduated processing fee of $100 per $100,000 of assessed value of the Historic Site, not to exceed $500, prorated to actual assessed value. 9. Effective Date and Term of Contract. This Contract shall be effective and commence on October 5, 2010, and shall remain in effect for a term of ten (10) years thereafter. 10. Automatic Renewal and Notice of Non -Renewal. a. Renewal. Each year on the anniversary of the effective date of this Contract (the "renewal date"), a year shall automatically be added to the initial term of this Contract unless notice of non -renewal is mailed as provided herein. b. Non -renewal. If either Owners or City desires, in any year, not to renew this Contract, Owners or City shall serve written notice of non -renewal on the other party in advance of the annual renewal date of the Contract. Unless such notice is served by Owners to City, in writing to the City Council, at least ninety (90) days prior to the annual renewal date, or served by City to Owners at least sixty (60) days prior to the annual renewal date, one (1) year shall automatically be added to the term of the Contract as provided herein. If either City or Owners serve notice to the other of non -renewal in any year, the Contract shall remain in effect for the balance of the term then remaining, either from its original execution or 4 Mills Act Contract 2010-28 M 14196 from the last renewal of the Contract, whichever may apply. i. Protest. Upon receipt by Owners of a notice of non -renewal from City, Owners may make a written protest of the notice to the City Council. Any protest must be received by the City no later that 15 days from the date of the notice of non -renewal. ii. Withdrawal of non -renewal. City may, at any time prior to the annual renewal date of the Contract, withdraw its notice of non - renewal. 11. Notice. Any notice required to be given by the terms of this Contract shall be provided at the address of the respective parties as specified below or at any other address as may be later specified by either party. To City: To Owners: City of National City Development Services Director 1243 National City Boulevard National City, CA 91950-4301 Edward and Marilyn Zubov c/o: Janice Martinelli 940 East 16th Street National City, CA 91950 12. Indemnity and Hold Harmless of City. Owners shall defend, indemnify, and hold harmless City and its elected officials, officers, agents and employees from any actual or alleged claims, demands, causes of action, liability, loss, damage, or injury to property or persons, including wrongful death, whether imposed by a court of law or administrative action of any federal, state, or local governmental agency, arising out of or incident to (i) the direct or indirect use, operation, or maintenance of the Historic Site by Owners or any contractor, subcontractor, agent, lessee, licensee, invitee, or any other person; (ii) Owners' activities in connection with the Historic Site; and (iii) any restrictions on the use or development of the Historic Site, from application or enforcement of the National City Municipal Code or from enforcement of this Contract. This indemnification includes, without limitation, the payment of all penalties, fines, judgments, awards, decrees, attorneys' fees, and related costs or expenses, and the reimbursement of City, its elected officials, employees, and/or agents for all legal expenses and costs incurred by each of them. Owners' obligation to indemnify shall survive the termination, cancellation, or expiration of this Contract and shall not be restricted to insurance proceeds, if any, received by City, its elected officials, employees, or agents. 13. General Provisions. a. None of the terms, provisions, or conditions of this Contract shall be deemed to create a partnership between the parties and any of their heirs, successors, or assigns, nor shall such terms, provisions, or conditions cause them to be considered joint ventures or members of any joint enterprise. 5 Mills Act Contract 2010-28 M 14197 b. All of the agreements, rights, covenants, reservations, and restrictions contained in this Contract shall be binding upon and shall inure to the benefit of the parties herein, their heirs, successors, legal representatives, assigns and all persons acquiring any part or portion of the Historic Site, whether by operation of law or in any manner whatsoever. c. In the event that any of the provisions of this Contract are held to be unenforceable or invalid by any court of competent jurisdiction, or by subsequent preemptive legislation, the validity and enforceability of the remaining provisions, or portions thereof, shall not be effected thereby. d. This Contract shall not take effect unless and until Owners' signature is notarized by a notary public. Furthermore, if an agent or representative of Owners signs this Contract on behalf of Owners, the agent or representative must furnish proof to the satisfaction of City, that the agent or representative has authority to act on Owners' behalf. e. This Contract shall be construed and governed in accordance with the laws of the State of California. The venue for any action shall be in the County of San Diego, State of California. f. Owners or an agent of Owners shall provide written notice of this Contract to the State Office of Historic Preservation within six (6) months of entering into the Contract. 14. Recordation. No later than twenty (20) days after the parties execute and enter into this Contract, City shall cause this Contract to be recorded in the office of the County Recorder of the County of San Diego. 15. Amendments. This Contract may be amended only by a written and recorded instrument executed by the parties hereto. 6 Mills Act Contract 2010-28 M 14198 CITY OF NATIONAL CITY Date: October 5, 2010 By: Ron Morrison, Mayor Attest: By: H A4• Michael R. Dalla, ity Clerk Date: Octnber 5, 2010 Apped as ,• f By: audia G. va, i y Attorney OWNERS OF RECORD Date: / /2 By: (Nota -d Signat Title: b 1 in a h� Date: 473 /7 D (Notarized Sigure) Title: OWNERS PLEASE HAVE NOTARY PUBLIC ATTACH A SEPARATE PROOF OF NOTARY PAGE WITH SIGNATURE AND SEAL. 7 Mills Act Contract 2010-28 M 14199 EXHIBIT "A" LEGAL DESCRIPTION APN: 561-060-47-00 940 East 16`" Street, National City, CA 91950 Lot 2 of National City Case File No. 2007-15 S, in the City of National City, County of San Diego, State of California, according to Map thereof No. 15738, filed in the Office of the County Recorder of San Diego County, December 30, 2008 1_420O • CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT State of California County of j?r" b1E.(+C0 On 9 •-03 -- Zc' I C1 before me, Date personally appeared zL) e.A/ } Here Insert Name and Title of the Officer Name(s) of Signer(s) A ,• MICAELA POLANCO COMM.#1697128 NOTARY PUBLIC-CALIFORNIA .i SAN DIEGO COUNTY My COMM, E>-olr-s Oot 2. 2010 Place Notary Seal Above who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official Signature OPTIONAL Though the information below is not required by law, it may prove v- 'able to persons relying on the document and could prevent fraudulent removal and reattachmen of this form to another document. Description of Attached Document Title or Type of Document: P\ 1 LLB Document Date: 2:-10 Ac CC, NTrZP\C Signer(s) Other Than Named Above: Number of Pages: I,1 C0 CSC 1 i12 S\ (ani E2_S Capacity(ies) Claimed by Signer(s) Signer's Name: etjb.S4`v2C> 2-0 E Individual LJ Corporate Officer — Title(s): ❑ Partner — ❑ Limited ❑ General ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator ❑ Other: Signer Is Representing: RIGHTTHUMBPRINT OF SIGNER Top of thumb here Signer's Name: iv) Pit \ L YN lOtwA C�ndividual ❑ Corporate Officer — Title(s): LI Partner — ❑ Limited 7 General Attorney in Fact Trustee 11 Guardian or Conservator Other: Signer Is Representing: LZ F S2007 National Notary Association • 9350 De Soto Ave., P.O. Box 2402 •Chatsworth, CA 91313-2402 • www.NationalNotaryorg Item RIGHTTHUMBPRINT OF SIGNER Top of thurnb here 5907 Reorder: Call Toll -Free 1-800-876-6827 RESOLUTION NO. 2010 — 230 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE A MILLS ACT CONTRACT FOR 940 EAST 16TH STREET APPLICANT: JANICE MARTINELLI CASE FILE NO. 2010-28 M BE IT RESOLVED by the City Council of the City of National City that the Mayor is hereby authorized to execute a Mills Act Contract for 940 East 16`h Street. Said contract is on file in the Office of the City Clerk. PASSED and ADOPTED this 5th day of October, 2010. on Morrison, Mayor ATTEST: ael R. Dalla,'City Clerk APROVED AS TO FORM: dia G. City Attorney Passed and adopted by the Council of the City of National City, California, on October 5, 2010 by the following vote, to -wit: Ayes: Councilmembers Morrison, Sotelo-Solis, Van Deventer, Zarate. Nays: None. Absent: None. Abstain: None. AUTHENTICATED BY: RON MORRISON Mayor of the City of National City, California City f ational City, California Ierk of the City By: Deputy I HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of RESOLUTION NO. 2010-230 of the City of National City, California, passed and adopted by the Council of said City on October 5, 2010. City Clerk of the City of National City, California By: Deputy CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT caoxo-n\ MEETING DATE: October 5, 2010 AGENDA ITEM NO. 13 ITEM TITLE: Resolution of the City Council Authorizing the Mayor to Execute a Mills Act Historic Preservation Contract for 940 East 16th Street (Applicant: Janice Martinelli) (Case File 2010-28 M) PREPARED BY: Martin Reeder PHONE: 336-4313 DEPARTMENT: Developme vcs/Planning. APPROVED BY. + EXPLANATION: This is a companion item to Case File 2010-28 HL, which requested this property be added to the City's Historic Properties List. The property owner of 940 East 16th Street (the Judge Frederick Hertel-Hawken House) is requesting a Mills Act contract. The Hertel-Hawken House is a two-story classic Craftsman home located on a 0.3-acre lot. The property is within the RM-1-PD (Multi -Family Residential -Planned Development) zone and an active redevelopment project area. Mills Act contracts are historic preservation tools that provide property tax savings for owners in exchange for a commitment to maintain and/or restore a historic structure. This property is eligible since it is on the City Historic Properties List. The property has received $80,000 worth of restoration work since 2005 and the owner proposes to maintain the structure as required by the contract. The Mills Act contract is valid for 10 years and automatically extends for one year on the anniversary date. The City may cancel the contract if breached or opt not to renew it if proper notice is provided. There are currently twelve properties in the City in the Mills Act Program. According to the San Diego County Assessor, there will be an approximate tax reduction of 34%, or $1,155 annually. As the property is within a redevelopment area, the $1,155 would be entirely tax increment money and an annual loss the City's Redevelopment Agency. FINANCIAL STATEMENT: ACCOUNT NO. APPROVED: APPROVED: Finance MIS The action will result in a reduction in annual Redevelopment property tax revenue of approximately $1,155 ENVIRONMENTAL REVIEW: Not subject to CEQA ORDINANCE: INTRODUCTION: FINAL ADOPTION: STAFF RECOMMENDATION: Adopt the Resolution BOARD / COMMISSION RECOMMENDATION: N/A, ATTACHMENTS: I. Location Map 4. Site Photos 2. Mills Act Contract 5. List of current Mills Act properties 3 Application 6. Resolution Q,Eso�v��o� No• ao\o- aao