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RES-9075 Regulations Administering City Agreements Involving Land UseRESOLUTION NO. 9075 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ORANGE AUTHORIZING REGULA- TIONS TO FACILITATE THE ADMINISTERING OF CITY AGREEMENTS INVOLVING LAND USE. WHEREAS, Chapter 3.08 of the Orange Municipal Code provides a comprehensive system for centralized purchasing in equipment, supplies and services; and WHEREAS, there are instances when the City wishes to enter into agreements conceming the use of land, which agreements are not covered by any existing City Municipal Code or regulation; and WHEREAS, Section 3.08.1S0 of the Orange Municipal Code authorizes the City Council by Resolution to prescribe procedures, rules and regulations governing the solicitation, selection and award of proposals or bids for the fumishing of personal services or professional or consulting services or for other contractual services, the contracts for which may be awarded without observing the formal bidding procedures provided for in Chapter 3.08; and WHEREAS, the City Attorney's office has prepared regulations incorporating a procedure for the administering of City contracts involving land use. This procedure is contained in Exhibit "A" attached hereto. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Orange adopts the policy and procedures contained in Exhibit "A" as adopted and authorized by Chapter 3.08 et seq. ofthe Orange Municipal Code. ADOPTED this 9th day of February ATTEST: L~~~(!o-~ City Clerk oft ity of Orange I hereby certify that the foregoing Resolution was duly and regularly adopted by the City Council of the City of Orange at a regular meeting thereof held on the ~ day of F"hrllnry , 1999, by the following vote. AYES: NOES: ABSENT: ABSTAIN: COUNCIL MEMBERS: MURPHY, SLATER, COONTZ, SPURGEON, ALVAREZ COUNCIL MEMBERS: NONE COUNCIL MEMBERS: NONE COUNCIL MEMBERS: NONE/? 71f /J . 4::17 City Clerk of the Cit Orange Reso No. 9075 MEB:dg ADMINISTRATION 1.45 DIVISION Contracts/Agreements SUBJECT Land Use Agreement Procedures I. SCOPE ALL DEPARTMENTIDIVISIONS II. PURPOSE The purpose of this procedure is to establish the policy concerning the approval and administration of land use agreements. III. POLICY This policy establishes the procedure for approvmg and administering land use agreements, including licenses, joint. use agreements, easements, leases, certain franchises and sales of real property. This policy does not cover encroachment permits. This policy is designed to protect and ensure that the City will obtain competitive prices for the use/sale ofland. This policy is divided into three categories: 1. Land use agreements with a value under 2,000 per fiscal year. 2. Land use agreements with a value from 2,000 up to $30,000 per fiscal year. 3. Land use agreements with a value over 30,000 per fiscal year. ADMINISTRATION 1.45 IV. PROCEDURES General Issues Applying to all Categories of Land Use Agreements. 1. Use a pre-approved form agreement provided by the City Attorney's Office. Otherwise, please consult City Attorney staff to assist you in preparing the draft agreement.2. Before having the other contracting party execute the agreement, prior approval must be secured from the City Attorney. After execution by the other party, the City Attorney will approve the agreement as to form, regardless of the amount of the agreement.3. The original copy of the agreement, regardless of amount, is to be filed with the City Clerk.4. Agreements requiring execution by any City official other than the Department Head, shall be processed by the City Clerk's office.5. The Finance Department shall process all payments under the appropriate time frames set forth in the agreement. The Finance Department shall verify that funds are available under the appropriate expenditure account, and that the payment does not exceed the aggregate amount authorized under the agreement, or, if an open-ended amount, that the payment does not exceed the maximum amount authorized under the category that was used to select and approve the agreement.6. The estimated yearly value of a land use agreement shall be determined on the basis of cash payments to be made under the agreement,or, if no cash payments are to be made, then on the basis of an appraisal or the best ADMINISTRATION 1.45 estimate of the responsible department. Uneconomic remnants may be assigned a zero value. Land Use Agreements With a Value Under 2,000 Per Fiscal Year Agreements in which the estimated total value for a fiscal year is under $2,000 may be approved and executed by the director of the department primarily responsible for administering the agreement. Land Use Agreements With a Value frorn 2,000 up to $30,000 Per Fiscal Year Agreements in which the estimated total value for a fiscal year is from $2,000 up to $30,000 per fiscal year are to be approved and executed by the City Manager. The director of the department responsible for administering the agreement shall be required to submit an agreement transmittal form which shall provide an explanation of the purpose of the agreement, the specifications, conditions, or other requirements included in the agreement and shall include the appropriate funds account numbers and total expenditure. Land Use Agreements With a Value Over 30,000 Per Fiscal Year Agreements in which the estimated total value for a fiscal year is over $30,000 shall be approved by the City Council. Unless waived by the City Council, a request for proposal shall be a pre- condition of approval for such agreements. 3 ADMINISTRATION 1.45 Two original agreements, previously approved by the City Attorney, shall be attached to the agenda staff report for Council review and approval. Sales of Surplus Real Property Any proposed sale of surplus real property shall comply with the following procedures in addition to those specified above: 1. If the property is of sufficient size to be separately developed under the City's current zoning code and the property's current zoning, the City may either solicit bids for the property or select a real estate agent to market the property, at the discretion of the City Council. 2. If the property is not of sufficient size to be separately developed under the City's current zoning code and the property's current zoning, the City shall offer the property first to the adjoining property owner(s) for the estimated fair market value or other reasonable estimate of the value of the property. Uneconomic remnants may be transferred at nominal or no cost. Leases of Real Property At the discretion of the person or body with signature authority over the agreement, leases of real property owned by the City may be administered by the City or by a property management company selected according to the appropriate procedure for professional services cor.tracts. 4