CDC - 2011-12 - Real Property Transfer and Cooperative Agreement Betweent the CDC and CityRESOLUTION NO. 2011-12
A RESOLUTION OF THE ROSEMEAD COMMUNITY DEVELOPMENT
COMMISSION APPROVING A REAL PROPERTY TRANSFER AND
COOPERATIVE AGREEMENT BETWEEN THE CITY OF ROSEMEAD
AND THE ROSEMEAD COMMUNITY DEVELOPMENT COMMISSION
FOR CERTAIN REAL PROPERTY OWNED BY THE COMMISSION
WHEREAS, The City Council of the City ( "City Council') has adopted Redevelopment
Plans (each individually, a "Redevelopment Plan'; and collectively, the "Redevelopment
Plans ") for the for the No. 1 and No. 2 Project Areas (each individually, a "Project Area'; and
collectively, the "Project Areas ");and
WHEREAS, pursuant to the California Community Redevelopment Law (California
Health and Safety Code Section 33000, et se .) ( "Redevelopment Law "), the Rosemead
Community Development Commission ( "CDC ") is undertaking a program to redevelop the
Project Areas; and
WHEREAS, pursuant to Section 33430 of the Redevelopment Law, a redevelopment
agency may, within the survey area or for purposes of redevelopment, sell, transfer, assign or
otherwise dispose of any real or personal property or any interest in property; and
WHEREAS, the CDC owns the fee interest in the real property ( "Property ") described
in Exhibit A of the Real Property Transfer and Cooperative Agreement attached hereto as
Exhibit 1 and incorporated herein by reference (the "Agreement'); and
WHEREAS, pursuant to Section 33205 of the Redevelopment Law, a redevelopment
agency is authorized to delegate to a community any of the powers or functions of the agency
with respect to the planning or undertaking of a redevelopment project in the area in which such
community is authorized to act, and such community is authorized to carry out or perform such
powers or functions for the redevelopment agency; and
WHEREAS, pursuant to Section 33220(g) of the Redevelopment Law, any public entity,
for the purpose of aiding and co- operating in the planning, undertaking, construction, or
operation of redevelopment projects located within the area in which such public entity is
authorized to act, may, with or without consideration, acquire land in a project area from a
redevelopment agency for redevelopment in accordance with the redevelopment plan for such
project area; and
WHEREAS, pursuant to Section 33220(e) of the Redevelopment Law, a redevelopment
agency may enter into agreements with any public entity respecting any action to be taken
pursuant to any of the powers granted by the Redevelopment Law or any other law (and such
agreement may extend over any period, notwithstanding any law to the contrary); and
WHEREAS, the City of Rosemead ( "City ") desires to aid, and cooperate with, the CDC
in the planning, undertaking, construction and operation of redevelopment projects, and in that
regard the CDC has determined to convey the Property to the City and to delegate to the City the
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powers and functions of the CDC with respect to the planning and undertaking of redevelopment
projects in accordance with the Redevelopment Plans, and the City has determined to accept the
conveyance of the Property and the CDC's delegation of its powers and functions and in that
regard, he CDC and City wish to enter into the Agreement; and
NOW, THEREFORE, THE ROSEMEAD COMMUNITY DEVELOPMENT
COMMISSION DOES HEREBY RESOLVE AS FOLLOWS:
Section 1. The CDC hereby finds that it can be seen with certainty that there is no
possibility that the approval of the Agreement may have a significant effect on the environment.
The approval of the Agreement does not authorize construction and will not result in a direct or
indirect physical change in the environment. The Agreement provides that prior to
commencement of work on any redevelopment project, all necessary review required by the
California Environmental Quality Act ("CEQA") shall be completed. The adoption of this
Resolution and approval of the Agreement is therefore exempt from the environmental review
requirements of CEQA pursuant to Section 15061(b) (3) of Title 14 of the California Code of
Regulations. Staff is hereby directed to file a Notice of Exemption with the County Clerk within
five days of the adoption of this Resolution pursuant to Section 15062 of Title 14 of the
California Code of Regulations.
Section 2. The CDC hereby approves the Agreement in the form attached hereto as
Exhibit 1 and authorizes and directs the Executive Director, the Chair of the CDC, or any other
officer of the CDC designated by them in writing (each, an "Authorized Officer "), acting
singly, to execute and deliver the Agreement in substantially said form with such changes therein
as the Authorized Officer executing the same may approve (such approval to be conclusively
evidenced by the execution and delivery thereof).
Section 3. The Authorized Officers of the CDC are herby authorized and directed to
do any and all things and to execute and deliver, and if appropriate, record, any and all
documents which they may deem necessary or advisable in order to effectuate the purposes of
this Resolution, and any such actions previously taken by such officers are hereby ratified and
confirmed.
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PASSED, ADOPTED AND APPROVED this 26`h day of April 2011.
ATTEST:
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Gloria Molleda, Secretary
APPROVED AS TO FORM:
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Rachel Richman, Legal Counsel
Burke, Williams & Sorensen, LLP
*L, Steven hairman
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STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) SS.
CITY OF ROSEMEAD )
I, Gloria Molleda, Commission Secretary of the City of Rosemead, do hereby certify that the
foregoing Resolution No. 2011 -12 being:
A RESOLUTION OF THE ROSEMEAD COMMUNITY DEVELOPMENT COMMISSION
APPROVING A REAL PROPERTY TRANSFER AND COOPERATIVE AGREEMENT BETWEEN
THE CITY OF ROSEMEAD AND THE ROSEMEAD COMMUNITY DEVELOPMENT
COMMISSION FOR CERTAIN REAL PROPERTY OWNED BY THE COMMISSION
was duly and regularly approved and adopted by the Rosemead Community Development
Commission on the 26th of April, 2011, by the following vote to wit:
Yes: Alarcon, Armenta, Clark, Low, Ly
No: None
Abstain: None
Absent: None
Gloria Molleda
Commission Secretary
EXHIBIT I
REAL PROPERTY TRANSFER AND COOPERATIVE AGREEMENT
(Attached Hereto)
Exhibit 1
TO: THE HONORABLE CHAIRMAN AND COMMISSION MEMBERS
THE HONORABLE MAYOR AND CITY COUNCIL
FROM: JEFF ALLRED, EXECUTIVE DIRECTOR
r
DATE: APRIL 26, 2011
SUBJECT: REAL PROPERTY TRANSFER AND COOPERATIVE AGREEMENT
BETWEEN THE ROSEMEAD COMMUNITY DEVELOPMENT
COMMISSION AND THE CITY OF ROSEMEAD FOR CERTAIN REAL
PROPERTY OWNED BY THE ROSEMEAD COMMUNITY
DEVELOPMENT COMMISSION
SUMMARY
Due to a State initiated proposal to abolish Redevelopment and dispose of
redevelopment owned agency -owned assets to the advantage of other taxing agencies
and disadvantage of cities, staff and the city attorney recommend the transfer of
Community Development Commission — owned real estate located at 9100 Garvey
Avenue (the Garvey Senior Apartment complex) to the City.
Staff Recommendation
It is recommended that the Community Development Commission adopt Resolution No.
2011 -12 and the City Council adopt Resolution No. 2011 -16 approving a Real Property
Transfer and Cooperative Agreement between the Commission and City for Certain
Real Property Owned by the Commission.
BACKGROUND
In his proposed 2011/12 State Budget, the Governor has recommended that legislation
be enacted to abolish all redevelopment agencies in California as of July 1, 2011.
Thereafter, a "successor agency" would be established to continue to administer
payment of the Commission's "contractual obligations" but otherwise charged to wrap
up the affairs of the Commission. The successor agency would be governed by an
oversight board of seven members, with the majority comprised of representatives of
the County and general education. Given the nature and function of the oversight
board, it would be expected that the Commission's assets could be disposed of and the
proceeds distributed to the various taxing agencies.
Given the expectation that the oversight board would act in its self- interest, as opposed
to the City of Rosemead's local interests, the City and Commission may wish to
consider protecting existing Commission assets if and where possible, prior to adoption
of legislation abolishing redevelopment. I'T'EM NO.
APPROVED FOR CITY COUNCIL AGENDA:
Community Development Commission & City Council
April 26, 2011
Pace 2 of 3
One approach to protecting Commission assets would be to transfer Commission -
owned real estate to the City. Redevelopment law authorizes the Commission to
delegate to the City any of the powers or functions of the Commission with respect to
the planning or undertaking of redevelopment projects in an area in which the City is
empowered to act and the City is authorized to carry out or perform such powers or
functions of the Commission. For the purpose of aiding and cooperating with the
Commission, the Commission may convey property it owns to the City, without
consideration, for future redevelopment by the City.
The Commission currently owns the land located at 9100 Garvey Avenue, Rosemead
known as the Garvey Senior Apartments. The Garvey Senior Apartments was
completed in 2002 and is owned by the Rosemead Housing Development Corporation.
It consists of 64 one - bedrooms and 8 two bedrooms. The term of the lease is for 55-
years from the effective date of the Development Agreement between the Rosemead
Community Development Commission and the Rosemead Housing Development
Corporation or until October 30, 2057.
The property is also described in the attached resolutions under Exhibit 1 (Real
Property Transfer and Cooperative Agreement). The Real Property Transfer and
Cooperative Agreement provides for the transfer of the property by the Commission to
the City, and the delegation by the Commission to the City of the Commission's powers
and functions with respect to the planning and undertaking of the redevelopment of the
properties.
This transfer of ownership to the City should have occurred when the Garvey Senior
Apartment Complex was constructed in 2003. By approving this real property transfer
and cooperative agreement, the City Council and Community Development Commission
will be taking a "housekeeping" action in correcting an administrative oversight.
FISCAL ANALYSIS
Adoption of the proposed resolutions will hopefully protect the Commission -owned asset
for the benefit of the City.
PUBLIC NOTICE PROCESS
This item has been noticed according to the California Health and Safety Code Section
33490.
LEGAL REVIEW
Resolution No. 2011 -12, along with all attached exhibits, has been reviewed and
approved by the Commission Attorney and Resolution No. 2011 -16, along with all
attached exhibits, has been reviewed and approved by the City Attorney.
Community Development Commission & City Council
April 26, 2011
Page 3 of 3
Prepared
lby:� /
Michelle G. Ramirez
Community Development Manager
Attachment A: Resolution No. 2011 -12 — Rosemead Community Development Commission
Attachment B: Resolution No. 2011 -16 — City of Rosemead