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HomeMy WebLinkAboutRES NO 065-03RESOLUTION NO. 0 6 5 ' 0 3 A RESOLUTION OF THE CiTY COUNCIL OF THE CITY OF BAKERSFIELD APPROVING THE SALE OF REAL PROPERTY BY THE BAKERSFIELD REDEVELOPMENT AGENCY FOR $650,000 TO LES DENHERDER, TRUSTEE OF THE DENHERDER REVOCABLE LIVING TRUST, UNDER TRUST DATED OCTOBER 11, 1988 AND FORGIVING THE $450,000 BALANCE OF DEBT DUE THE CITY OF BAKERSFIELD PURSUANT TO AGREEMENT NO. 99-243. WHEREAS, the Redevelopment Plan for the Southeast Bakersfield Redevelopment Project Area (the "Redevelopment Plan") was approved and adopted by the City Council of the City of Bakersfield; and WHEREAS, the Bakersfield Redevelopment Agency (the "Agency") is authorized and empowered under Community Redevelopment Law to enter into agreements for the acquisition, disposition and development of real property and otherwise assist in the redevelopment of real property within a redevelopment project area in conformity with a redevelopment plan adopted for such area, to acquire real and personal property within redevelopment project areas, to receive consideration for the provision by the Agency of redevelopment assistance, to make and execute contracts and other instruments necessary or convenient to exercise its powers, and to incur indebtedness to finance or refinance redevelopment projects; and WHEREAS, the Agency owns that certain real property of approximately 110 acres located on Mt. Vernon Avenue south of East Belle Terrace and north of Casa Loma ("the Property") and is more particularly described in Exhibit "A" ("Legal Description"), which is attached hereto and incorporated herein by reference; and WHEREAS, LES DENHERDER, Trustee of the Denherder Revocable Living Trust, under trust dated October 11, 1988, ("the Buye¢') desires to acquire the Property for development and has agreed to purchase the Property for SIX HUNDRED FIFTY THOUSAND DOLLARS ($650,000.00). The use of the Property will be in accordance with the Redevelopment Plan, and pursuant to the requirements of the City of Bakersfield; and WHEREAS, the purchase price is based upon a public auction conducted April 3, 2003 and exceeds the appraised value by TWO HUNDRED AND SIXTY THOUSAND DOLLARS ($260,000.00); and WHEREAS, the Agency desires to enter into an Agreement for the sale of the Property (the "Agreement") with the Buyer in order to implement the provisions of the Redevelopment Plan; and WHEREAS, pursuant to Section 33433 of the California Health and Safety Code, the Agency is authorized, with the approval of the Bakersfield City Council, after a duly noticed public hearing, to sell or lease the Property, for development pursuant to the Redevelopment Plan upon a determination by the City Council that the disposition of the Property will assist in the elimination of blight, and is consistent with the implementation plan adopted for the redevelopment project area pursuant to the Health and Safety Code Section 33490, and the consideration for such disposition is not less than either the fair market value or fair reuse value of the Property in accordance with the covenants and conditions governing the disposition and development costs required thereof; and WHEREAS, the proposed Agreement, and a summary report meeting the requirements of the Health and Safety Code Section 33433, were available for public inspection consistent with the requirements of the Health and Safety Code Section 33433; and WHEREAS, on April 30, 2003, the City Council held a duly noticed public hearing on the proposed Agreement in accordance with the requirements of the Health and Safety Code Section 33433, at which time the City Council reviewed and evaluated all the information, testimony, and evidence presented during the public hearing; and WHEREAS, Section 15312 of the Guidelines for the California Environmental Quality Act, Title 14, California Code of Regulations, Sections 15000 et. seq. (the "CEQA Guidelines"), provides that sale of real property by a governmental entity is categorically exempt from CEQA; and WHEREAS, ail actions required by all applicable law with respect to the proposed Agreement have been taken in an appropriate and timely manner; and WHEREAS, the City Council has reviewed the summary report required pursuant to the Health and Safety Code Section 33433 and evaluated other information provided to it pertaining to the findings required pursuant to the Health and Safety Code Section 33433; and WHEREAS, the City Council has duly considered all the terms and conditions of the proposed Agreement and believes that the disposition of the Property pursuant thereto is in the best interest of the City of Bakersfield and the health, safety, and welfare of its residents, and in accord with the public purposes and provisions of the applicable state and local laws and requirements; and WHEREAS, the Agency initially acquired the Property by pumhasing it from the City for ONE MILLION, ONE HUNDRED THOUSAND DOLLARS ($1,100,000.00); and WHEREAS, the City and Agency entered into Agreement No. 99-243 and the amendments thereto, which established that after the Agency sold the Property to a third party, the City and Agency would negotiate how payment of the purchase price would be made to the City; and WHEREAS, the Agency desires to use the entire proceeds from the sale of the Property as payment in full for the pumhase price and have the City forgive the outstanding balance. NOW, THEREFORE, BE IT RESOLVED, DETERMINED AND ORDERED BY THE CITY COUNCIL OF THE CITY OF BAKERSFIELD, AS FOLLOWS: 1. The City Council finds and determines that, based upon evidence provided in the record before it, the consideration for the Agency's disposition of the Property pursuant to the terms and conditions of the Agreement, is not less than the fair market value at its highest and best use in accordance with the Redevelopment Plan. 2. The City Council hereby finds and determines that the disposition of the Property pursuant to the Agreement will: (i) assist in the elimination of blight by providing for the development of the Property which will serve as a catalyst for the development of other property in the Southeast Bakersfield Redevelopment Project Area and will also help to create new employment opportunities, and (ii) is consistent with the implementation plan for the Southeast Bakersfield Redevelopment Project Area adopted by the Agency pursuant to the Health and Safety Code Section 33490. 3. The City Council hereby finds and determines that the sale of the Property is categorically exempt from the requirements of CEQA pursuant to Section 15312 of the CEQA guidelines. 4. The City Clerk is hereby authorized to prepare and file a Notice of Exemption with the Clerk for the County of Kern. 5. The Agreement, a copy of which is on file with the Secretary of the Agency, is hereby approved. The City Council hereby concurs in the authorization of the Agency's chair executing the Agreement, and to take such actions and to execute such other documents on behalf of the Agency as necessary relative to the implementation and furtherance of the Agreement. 6. The City hereby accepts the SIX HUNDRED FIFTY THOUSAND DOLLARS ($650,000.00) from the Agency as payment in full pursuant for the total amount owner under Agreement No. 99-243 and all amendments thereto and the Agency is hereby discharged from any further repayment obligations thereunder. the I HEREBY CERTIFY that the foregoing Resolution was passed and adopted by Council of the City of Bakersfield at a regular meeting thereof held on ~,PR 3 0 Z00~ , by the following vote: AYES: NOES: ABSTAIN: ABSENT: COUNCIL MEMBER COUCH, CARSON, BENHAM, MAGGARD, HANSON, SULLIVAN, SALVAGGIO COUNCIL MEMBER ~,.j~q~.3~... COUNCIL MEMBER COUNCIL MEMBER CITY CLERK and Ex Offic~ Clerk of the Council of the City of Bakersfield APPROVED: APR .30 2003 Mayor APPROVED AS TO FORM: BART J. THILTGEN City Attorney By: JANICE SCANLAN Deputy City Attorney $:council/resos/mt~ernonsale2.doc 4 EXHIBIT "A" LEGAL DESCRIPTION A parcel of land situated in the City of Bakersfield, County of Kern, State of California, being a portion, of Section 3, Township 30 South, Range 28 East, M.D.B.&M., more particularly described as follows: The west ¼ of said Section 3. Excepting therefrom the north 3,423.00 feet of the west 1,705.00 feet and the north 3,420.04 feet lying east of the west 1,705.00 feet of said 1/2 section. Also, excepting the west 55.00 feet being road right-of-way for Mt. Vernon Avenue Containing 110.76 acres. APN 173-200-09