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HomeMy WebLinkAbout1994-02-22 - RESOLUTIONS - PARTICIPATION RULES (2)^. RESOLUTION NO. RDA -94-1 A RESOLUTION OF THE LEGISLATIVE BODY OF THE SANTA CLARITA REDEVELOPMENT AGENCY ADOPTING OWNER PARTICIPATION RULES THE LEGISLATIVE BODY OF THE REDEVELOPMENT AGENCV DOFS HEREBY RESOLVE AS FOLLOWS: SECTION 1: That pursuant to applicable provisions of the Community Redevelopment Law (Sec. 33000 at seq., of the Health and Safety Code), the Agency has directed the preparation of owner participation rules for use In conjunction with, and implementation of, the Santa Clarita Community Recovery Plan. That the Agency has reviewed the rules as presented and has determined that they are appropriate and comply with the provisions of the Redevelopment Law. SECTION 2: That attached hereto and incorporated herein by this reference, marked Exhibit A, is a true and correct copy of the rules for owner particlpatlo2 with respect to the Santa Clarita Recovery Plan. That the said rules be, and hereby are, adopted as the owner participation rules for the Agency. SECTION 3: That the Secretary of the Agency shall certify the adoption of this resolution and shall forward copies hereof, together with Exhibit A, to the Chairrhan..of the Board of Directors of the agency. PASSED, APPROVED AND ADOPTED by the Redevelopment Agency of the City of Santa Clarita, California at a regular meeting thereof held on the 22nd day of February 1994. REDEVELOPMENT AGENCY OF THE CITY OF SANTA CLARITA Chairman (Seal) ATTE T: / Secretary BY ERTIFY that the lutin adoptedHbyEtheCLegislative Body fofethe nSanta oClaritawas duly Redevelopment Agency at a meeting thereof, held on the 22nL da of February , 1994 , by the following vote, to wit: y AYES: MEMBERS: Boyer, Darcy, Heidt, Pederson NOES: MEMBERS: None ABSENT: MEMBERS: Rlajic ABSTAIN: MEMBERS: None SEC TARY :82149.3 -5- SANTA CLARITA REDEVELOPMENT AGENCY RULES GOVERNING PARTICIPATION AND RE-ENTRY PREFERENCES FOR PROPERTY OWNERS, OPERATORS OF BUSINESSES, AND TENANTS IN THE AGENCY PROJECT AREAS THE SANTA CLARITA REDEVELOPMENT AGENCY X:82147.3 a A2147.3 TABLE OF CONTENTS PAGE I• PURPOSE AND INTENT II. DEFINITIONS . A. "Agency" . . . . . . . , B. "City Council" . . 113 . . . . . . . . . . C. "Owner Participation Agreement" . . . . . . . , 3 D. "Project" . . . . . . . . . . . . . . . . . . . 3 E. "Redevelopment Plan" . . . . . . . . . . . . . . 3 III. GENERAL PROCEDURES IV• PARTICIPATION BY OWNERS OF REAL PROPERTY A. Participation in the Same Location,,.; , , , , , , 8 B. Participation in a Different.Lorcation 9 V• PARTICIPATION BY TENANTS A. Participation As Owners . . . . . . . . . . . , 11 B. Participation As Tenants . . . . . . . . . . . . 12 VI, CONFORMING OWNERS . VII. PROCEDURES FOR BECOMING A PARTICIPANT . 15 A. Submittal of a Statement of Interest . . . . . . 15 B. Submittal of a Proposal for Owner/Tenant Participation . . . . . . . . . . . . . . . . . 16 C. Completion of a Participation Agreement . . . , 17 APPENDIX A . . . . . . . . . . . . . . . . . . . . . 19 1 PURPOSE AND INTENT A. California Community Redevelopment Law requires the Santa Clarita Redevelopment Agency to establish and make known to property owners, businesses, and tenants within the Agency's project areas, the Agency's rules and guidelines for implementing owner -participation opportunities in connection with the Project. These rules and guidelines are based upon the following objectives: 1. The Agency's commitment to afford maximum participation to existing property owners who will be affected by the Agency's activities within the Project; and 2. The Agency's similar commitment to extend reasonable preferences as set forth in these rules to existing property owners within a Project Area in the development, rental, or ownership of new industrial, commercial, and residential uses within the Project. B. Because the Project Areas include both vacant parcels of land and areas with existing improvements, the Agency ,.. expects that a number of parcels will be developed or '.,n A2147.3 1 rehabilitated by property owners through Owner Participation Agreements. An Owner Participation Agreement is a contractual agreement between the Redevelopment Agency and a property owner which contains the specific responsibilities and obligations of each party regarding a specific implementation project. C. Although no specific projects are now contemplated or planned that will displace households or businesses, displacement of households and even businesses may become necessary in special cases. If displacement occurs, the Agency will take all reasonable steps to provide such displacees with opportunities to obtain substitute or replacement facilities either to be developed within the Project Area or as may be available in other redevelopment project areas established by the Agency, D. These rules set forth a general process for implementing equitable participation and re-entry opportunities for all property owners, businesses and tenants affected by each of the Agency's Project Areas. _. :82147.3 2 _..':82147.3 DEFINITIONS A. "A enc " -- means the Santa Clarita Redevelopment Agency. B. "City Council" -- means the City Council of the City of Santa Clarita which entity also serves as the legislative body of the Agency. C. "Owner Participation Agreement" --means an agreement entered into between the Agency and an'owner of real ert ro P P y, persons engaged in business', or a tenant doing business within the Project Area in accordance with the provisions of the applicable Redevelopment Plan for the Project Area and the rules as described herein. D. "Project" -- means the Project described in the Redevelopment Plan for the Redevelopment Project Area. E. "Redevelopment Plan" -- means any Redevelopment Plan adopted by the Redevelopment Agency and the City Council. F. "Rules" -- means the owner participation rules as set forth herein. 3 GENERAL PROCEDURES A. These rules have been adopted by the Agency specifically to implement the provisions of the Agency's Redevelopment Plans for its various project areas regarding participation and the exercise of re-entry preferences for property owners, tenants, and businesses located in the Project Area. Persons and businesses desiring to exercise their owner participation rights and preferences shall abide by these rules in exercising their preferences and participation opportunities. B. The Agency desires and urges participation in the growth and development of each of the parcels encompassed within the Project Areas by as many property owners as possible. In view of the pattern of land usage and development envisioned by the applicable Redevelopment Plans, persons owning real Property in the Project Areas will be encouraged, whenever feasible, to take advantage of their participation and preference opportunities as described herein, subject to and limited by factors such as the following: 1. The elimination and/or modification, if any, of ._ _.':82147.3 4 -..::82147.3 existing land uses. 2. The vacation, realignment and/or alteration, if any, of existing streets. 3. The ability of participants to finance and complete A. proposed development, consistent with the Agency's Plan. 4. The capability and/or experience of the owner - participant necessary, as determined by the Agency, to implement proposed development. 5. The proposed land uses for redevelopment of the Project Area. C. The Redevelopment Plans for the Project Areas authorize the Agency to establish reasonable priorities and preferences among participants; accordingly, the following order of priorities is established. 1. Existing property owners and tenants desiring to participate in their same location in compliance with the Redevelopment Plan and desiring to build new industrial, commercial, or residential developments. 5 2. Owner -occupants relocating within the Project Area in accordance with and as a result of Redevelopment Plan implementation which may cause the temporary displacement of an owner/occupant. 3. Existing tenants relocating within the Project Area in accordance with and as a result of Redevelopment Plan implementation. 4. Any other qualified person. D. The Agency may in its discretion: decline an offer of owner participation; resolve conflicting proposals between owners interested in redeveloping the property; and/or resolve conflicting proposals between owners and third persons interested in redeveloping the property based upon the following considerations: 1. Conformity of proposals with intent and objectives of the applicable Redevelopment Plan; 2• Service to the community in achieving the goals and objectives contained in the General Plan; 3. Present occupancy and/or land ownership in the Project Area; .-,.::82147.3 6 4. Length of occupancy in the Project Area; 5. Economic benefit accruing to the City of Santa Clarita and the Santa Clarita Redevelopment Agency from the proposals; 6. Level of employment opportunities and economic benefit accruing to the community from the proposals; 7. Size and configuration of parcel; 8. Accommodation of as many participants as possible; 9. Abilityof persons desiring to redevelop the property to implement the proposed project, taking into consideration the developer's financial capability, prior experience with similar developments, ability to obtain financing, and willingness to abide by Agency design standards and development controls; 10. Time schedule for completion of the proposed projects; 11. Ultimate cost of City and Agency services to the proposed site. _ _':82147.3 7 PARTICIPATION BY OWNERS OF REAL PROPERTY A. Participation in the Same Location 1. In appropriate circumstances where such action would foster the goals and objectives contemplated by the Redevelopment Plan, an owner may participate in substantially the same location either by retaining all or portions of his property; retaining all or portions of his property and purchasing adjacent property if needed and available for development; rehabilitating or demolishing all or part of his existing buildings; initiating new development; selling property to the Agency. 2. Where a proposal to participate in the same location involves a building in good -condition, but with an existing use which does not conform to the provisions of the Redevelopment Plan, the Agency may allow such use to continue provided that such use is generally compatible with the permitted uses in the area in which the building is located. In order to remain in the .-- Project Area with a nonconforming use, the owner must {:82147.3 8 agree to the imposition of such reasonable restrictions as are necessary to protect the integrity of permitted uses in the remainder of the Project Area. 3. The final decision concerning acquisition of real property by the Agency will be based upon the conditions existing at the time the Agency purchases property or enters into participation agreements. B. Participation in a Different Location When necessary to accomplish the objectives of the Redevelopment Plan, the Agency may purchase. from existing owners, real property within the Project Area at fair market value as determined by one or more independent appraisals commissioned by the Agency. In accordance with these rules, the Agency may, thereafter, offer for sale cleared or cleared and reassembled properties, first to qualified owner -participants, then to other qualified developers, unless a public use is contemplated for the property acquired, in which case the Agency will undertake such public uses to be developed, without regard to these Owner Participation Rules. The Agency may offer properties which are available for private development to eligible participants at fair market value for the uses designated in the Redevelopment Plan, or if a lesser amount, the offer - -;:82147.3 9 :82147.3 shall be in accordance with Section 33433 of the California Health and Safety Code, prior to offering such properties for sale to the general public. The following participant priorities shall apply to such offerings:. a. Displaced owners of similar use properties. b. Displaced tenants of similar use properties. C. All other displaced owners and businesses. d. Any other qualified person. 10 V. PARTICIPATION BY TENANTS Pursuant to these rules, non -property owners who are tenants engaged in business or residing in the Project Area will be given Opportunities to remain or will be given preferences to re-enter within the Project Area if they otherwise meet the requirements prescribed by the Redevelopment Plan and these rules. Re-entry preferences will also be afforded if suitable facilities become available in other redevelopment project areas established by the Agency. In cases of reentry, preferences will•be provided if —' suitable facilities become available with ''the implementation of the Redevelopment Plan. A. Participation As Owners In appropriate circumstances, business tenants will be given the opportunity to purchase and develop real property in the Project Area or other redevelopment project areas established by the Agency prior to the Agency's offering such property for sale to the general public. Property sold to such tenants will be made available at fair market value for the uses designated in the Redevelopment Plan, or if sold'at a lesser amount, such sale shall be in compliance with Section 33433 of the California -_ :82147.3 11 Health and Safety Code. B. Participation As Tenants Business tenants who desire to re-enter the Project Area as tenants will receive preferences to locate in the Project Area or other redevelopment project areas established by the Agency in accordance with the uses designated in the Redevelopment Plans for such project areas. -. _:82147.3 12 VI. CONFORMING OWNERS A. The Agency may determine that certain real property within the Project Area meets the requirements of the Redevelopment Plan. The owners of such properties will be permitted to remain as conforming owners pursuant to a participation agreement with the Agency, provided such owners continue to operate and use the real property in accordance with the requirements of the Plan. The Agency shall not, through the use of eminent domain, acquire property owned by conforming owners who have entered into an Owner Participation Agreement if the conforming owner fully performs to such agreement. In the event any of the conforming owners desire to construct additional improvements or substantially alter or modify existing structures on any of the real property described as conforming, or acquire additional real property within the Project Area, then such conforming owner will be required to enter into an Owner Participation Agreement (or amend an existing owner Participation Agreement) with the Agency prior to undertaking additional improvements, modifications, or acquisitions in the same manner as required for other owners. Failure to do so will be considered a breach of the Owner Participation Agreement, ::azia7.s 13 and the Agency may then pursue appropriate remedies, including, but not limited to, acquisition of the real property, or interest therein by eminent domain. B. The Agency shall upon the request of any conforming owner offer to enter into an Owner Participation Agreement subject to compliance with the provisions of the Rules and the Plan. --.7:92147.3 14 c:aziazs VII. PROCEDURES FOR BECOMING A PARTICIPANT A. Submittal of a Statement of Interest 1. The Agency will cooperate with each owner and business tenant in the Project Area who expresses interest in the Agency's program. The Agency will make good faith efforts to determine the desires of each owner and tenant with respect to their interest in becoming owner -participants. 2. Every property owner or tenant interested in becoming a participant shall submit to the Agency a completed "Statement of Interest in Owner Participation" (format provided in Appendix A attached hereto). The Agency shall proceed to negotiate with each owner returning the "Statement of Interest" as appropriate to each owner's response. 3. Within a reasonable time prior to approval by the Agency of any redevelopment of a specific site within the Project Area or approval of any agreement with a party regarding redevelopment of such a site, the 15 Agency shall notify the owner and tenants of the site of the potential redevelopment of the site and his or her opportunities for participation -pursuant to these rules. 4. Participation opportunities shall not be deemed waived by a potential owner -participant except by: (1) a waiver in writing; or (2) other clear evidence of disinterest; or (3) formal action of the Agency pursuant to these Rules, declining to execute an Owner Participation Agreement. 5. Subject to the provisions of these RUles, the Agency will endeavor in good faith to accommodate any owner or business tenant desiring to develop or improve property in the Project Area by expediting the negotiation of participation agreements upon request. B. Submittal of a Pro osal for Owner Tenant Participation 1. The Agency will notify each person who submits a valid "Statement of Interest" of the time within which he/she must submit a proposal for owner participation. 2. Ample opportunity will be given to discuss proposals .., with the Agency's staff and to make necessary --.::82147.3 16 adjustments conducive to the parties involved. The Agency will make every effort to meet the desires of every person or business desiring to be an owner participant. 3. In addition, if the Agency determines that an owner or tenant of real property within a Project Area will be required to enter into an Owner Participation Agreement, the Agency shall notify the property owner or tenant in writing of its intention to require an Owner Participation Agreement, and shall provide the owner with a copy of the proposed Owner,Participation Agreement. C. Completion of a Participation Agreement 1. Each owner or tenant whose proposal for owner participation has been accepted by the Agency shall enter into an owner Participation Agreement with the Agency. 2. Each Owner Participation Agreement shall contain Provisions necessary to ensure that the participation proposal will be carried out, and that the subject property will be redeveloped and used in accordance with the provisions of the applicable Redevelopment —,:82147.3 17 Plan and the participation agreement. Each agreement shall require the participant to join in the recordation of such documents as the Agency may require in order to ensure conformance with applicable conditions, restrictions, rules and regulations. The agreement may also provide that a successor in interest of the original participant may become a participant with the written approval of the Agency. 3. An owner Participation Agreement may provide that if the owner -participant does not comply with the terms of that Agreement, the Agency, in addition.to other remedies, may acquire the property to"which the agreement relates or any interest therein by any lawful means, including eminent domain, and the Agency may thereafter dispose of the property or interest so acquired in accordance with the Redevelopment Plan. No participation agreement shall become effective until expressly approved by the Agency. 18 APPENDIX A THE CITY OF SANTA CLARITA REDEVELOPMENT AGENCY STATEMENT OF INTEREST IN OWNER PARTICIPATION I hereby express my interest in becoming an owner -participant in the Redevelopment Project and submit the following information: 1. Name of Property Owner/Tenant Phone 2. Home Address 3. Address of Property owned or rented in the Project Area 4. Name of Business in the Project Area Phone 5. I own ( ); am a tenant ( );and wish to rehabilitate build ( ); sell (.) my present property. If tenant, indicate: month-to-month ( ); or lease ( ); expiration date of lease 6. My present type of business is .x::82147.3 19 I understand that submission of this Statement of Interest does not in any way obligate me to participate in the Project. Signed Title Date r+- LAX:82147.3 20