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HomeMy WebLinkAboutORD-17-96 Adopt Third Amendment for Southwest Redevelopment ProjectORDINANCE NO. 17- 96 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ORANGE APPROVING AND ADOPTING THE THIRD AMENDMENT TO THE REDEVELOPMENT PLAN FOR THE SOUTHWEST REDEVELOPMENT PROJECT WHEREAS, the City Council of the City of Orange (the "City Council") adopted Ordinance No. 37-84 on November 20,1984 approving and adopting the Redevelopment Plan for Ithe Southwest Redevelopment Project, and amended said Plan on July 15, 1986 by Ordinance No. 20-85, and on July 5, 1988 by Ordinance No. 24-88 (together the Existing Plan" and the " Existing Project Area"); and WHEREAS, on January 15, 1996 the City Planning Commission prepared and approve a Preliminary Plan for a proposed third amendment to the Existing Plan; and WHEREAS, the Orange Redevelopment Agency (the " Agency") has formulated and prepareej a Third Amendment to the Redevelopment Plan for the Southwest Project Area the 'Third Amendment"); and WHEREAS, the proposed Third Amendment adds land to the Existing Project Area,amends the redevelopment plan map and the Project Area descriptions, establishes a time limit for eminent domain proceedings for the Third Amendment Area and establishes a time limit to establish or incur loans, advances and indebtedness to be repaid from the allocation of tax from the Third Amendment Area; and WHEREAS, in accordance with the California Environmental Quality Act, Public Resources Code Section 21000 et seq., ("CEQA"), the Guidelines for Implementation of the California Environmental Quality Act and environmental procedures adopted by the Agency pursuant thereto, the Agency prepared and circulated for public review and comment a Draft Environmental Impact Report, (the "Draft EIR") for the proposed Third Amendment to the Existing Project Area; and WHEREAS, the Agency has incorporated the comments and recommendations received on the Draft EIR and Agency responses thereto into a Final Environmental Impact Report ( the "Final EIR"); and WHEREAS, a Project Area Committee (the "PAC") was established for the Third Amendment Area which has consulted with the Agency, reviewed the proposed Third Amendment and related documents and made its Report and Recommendation on the proposed Third Amendment; and WHEREAS, the Planning Commission made its Report and Recommendation on the WHEREAS, the Agency submitted the proposed Third Amendment to the City Council, together with the "Report to the City Council for the Third Amendment to the Redevelclpment Plan for the Southwest Redevelopment Project Area" (the "Report to Council"} which includes: the reasons for the selection of the Third Amendment Area and a description of specific projects proposed and how these projects will improve or alleviate blighting conditions found in the Third Amendment Area; a description of the physical and economic conditions existing in the Third Amendment Area, including a list of blighting conditions and a Map showing where the conditions are found; an Implementation Plan that describes specific goals, objectives, projects and expenditures proposed to be made within the first five years and a description of how these projects will improve or alleviate blighting conditions; an explanation of why the elimination of blight and rede,velopment cannot be accomplished by private enterprise acting alone or by the use of financing alternatives other than tax increment; the proposed method of financing redevelopment; a method and plan for the relocation of families and persons who may be temporarily or permanently displaced from housing facilities as a result of the proposetj Third Amendment; an analysis of the Preliminary Plan; the Report and Recommendation of the Planning Commission; Project Area Committee requirements; General Plan conformance; the Final EIR; the report of the County Fiscal Officer and the Agency's analysis thereof; a summary of consultations with taxing agencies; and a Neighborhood Impact Report; and WHEREAS, the City Council and the Agency held a joint public hearing on June 11, 1996 to consider the approval and adoption of the proposed Third Amendment; and WHEREAS, notice of said hearing was duly and regularly published in a newspaper of general circulation in the City of Orange once a week for three successive weeks prior to the date of said hearing, and a copy of said notice and affidavits of publication are on file with the City Clerk and at the office of the Agency; and WHEREAS, copies of the notice of joint public hearing were mailed to residential and business tenants and to the last known assessee of each parcel of land within the Third Amendment Area and the Existing Project Area by first class mail; and WHEREAS, copies of the notice of joint public hearing were mailed by certified mail with return receipt requested to the governing body of each taxing agency which levies taxes upon property in the Existing Project Area and the Third Amendment Area; and WHEREAS, the Agency this date adopted a resolution recommending that the City Council ,approve and adopt the proposed Third Amendment; and WHEREAS, by separate Resolutions, the Agency and this City Council certified that the Final EIR was prepared and completed in compliance with CEQA and State and local guidelineis and procedures adopted pursuant thereto, and that the information contained in the Final EIR had been reviewed and considered, made all necessary findings and determinations, adopted a Statement of Overriding Considerations and a Reporting and Monitoring Program for Implementation of Mitigation Measures, pursuant to the requirements of CEQA; and 2 - WHEREAS, the City Council has considered the proposed Third Amendment, the Agency's Report to the City Council, other recommendations of the Agency, the Report and Rec()mmendation of the Planning Commission, the Report and Recommendation of the PAC, the economic feasibility of the proposed Third Amendment, and the Final EIR; has provided an opportunity for all persons to be heard and has received and considered all evidence and testimony presented for and against any and all aspects of the proposed Third Amendment, including environmental impacts; and has responded in writing to each written objection of each affected property owner or taxing entity. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ORANGE DOES ORDAIN AS FOLLOWS: SECTION 1. The purposes and intent of the City Council are to achieve the followingl goals and objectives with respect to the Third Amendment Area: 1. Eliminate the lack of productive land utilization, and prevent the occurrence of blighting conditions within the Third Amendment Area. 2. Pl'Ovide for assembly of adequately sized development sites appropriate for modern development. 3. Pl'Ovide needed public improvements. SECTION 2. That certain document entitled "Redevelopment Plan for the Amended Southwest Redevelopment Project," dated June, 1988, as amended by the document entitled "Proposed Third Amendment to the Redevelopment Plan for the SouthwElst Redevelopment Project Area", the maps and legal descriptions contained therein, ;and such other documents as are incorporated therein by reference, having been duly reviewed and considered, is hereby incorporated in this Ordinance by reference and made a part hereof, and as so incorporated is hereby designated, approved, and adopted as the official redevelopment plan for the Southwest Redevelopment Project Area as so amended (hereinafter the "Project Area"). SECTION 3. The City Council hereby finds and determines, based on substantial evidencl3 in the record including, but not limited to, the Agency's Report to Council, and all documents referenced therein, and evidence and testimony received at the joint public hearing on adoption of the Third Amendment held on June 11, 1996 that: a. The Third Amendment Area is blighted, the redevelopment of which is necessary to effectuate the public purposes declared in the California Community Redevelopment Law (Health and Safety Code Section 33000 et sea.). This finding is based on the following physical and economic conditions which characterize the Third Amendment Area: The existence of buildings and structures in varying states of deterioration and dilapidation and in need of general maintenance, including peeling paint which is most likely lead- 3 - based; difficult ingress and egress for commercial properties; narrow drive approaches near busy intersections; lack of landscaping and setbacks which are inconsistent with adjacent buildings and zoning codes; small alley used for parking purposes and trash bin storage; insufficient parking; illegal parking in alleys intended for loading purposes; vacant commercial shops along Main Street; high level of crime with significant increases since 1993; The existence of lots of inadequate size in multiple ownership patterns; The existence of inadequate public improvements, parking and circulation deficiencies and inconvenient access to and from commercial parcels; The existence of litter, debris and open storage; The Project Area is plagued with depreciated and stagnant property values which discouraged reinvesting in the properties; Relatively low rental or lease rates, and the long standing presence of vacant commercial units are indicative of depressed or deteriorated economic conditions (Report to Council, ~ B, pp. B-1 through B-6).b. Inclusion of any lands, buildings, or improvements which are not detrimental to public health, safety or welfare is necessary for the effective redevelopment of the entire area of which they are a part, and any such area is not included solely for the purpose of obtaining the allocation of tax increment revenues from such area pursuant to Section 33670 of the Community Redevelopment Law without other substantial justification for its inclusion.The justification for inclusion of such properties in the Third Amendment Area is that they are necessary: to plan and carry out redevelopment of the adjacent Main Street commercial frontage property within the Existing Project Area as a uniform whole in order to effectuate redevelopment; After completion of widening of Main Street and La Veta Avenue, the remaining property will be inadequately sized for development appropriate for modern commercial market conditions; Residential properties along Alpine Road are needed to increase the size of a developable lot, and will eliminate land use conflicts; Development without the inclusion of the Alpine Avenue frontage properties would result in stand-alone piecemeal commercial uses which would be incompatible with adjacent residential units with inadequate buffers; lQ., ~ B, pp. B-8 through B-9)c. The Third Amendment will redevelop the Third Amendment Area in conformity with the California Community Redevelopment Law and in the interests of the public peace, health, safety and welfare.This finding is based upon the fact that the purposes of the Community Redevelopment Law would be attained by a program of redevelopment activities proposed by the Agency that will systematically address the conditions of blight within the Existing Project Area and the Third Amendment Area. Specifically, the Agency seeks to explore assemblage of the Third Amendment Area parcels together with the parcels within the Existing Project Area to provide an adequate size development site for general commercial uses, and facilitate implementation of needed public improvements. This activity will result in the redevelopment of existing underutilized property which will eliminate the condition of incompatible adjacent land uses, allow for recycling of older structures which do not meet current building and planning codes, and eliminate existing lots and structures which suffer from substandard design. IQ., ~ C, p. C- 1)d. The adoption and carrying out of the Third Amendment is economically sound and feasible.This finding is based on the fact that the Third Amendment authorizes the Agency to finance project implementation activities with financial assistance from the City, State, Federal government, tax increment funds, interest income, Agency bonds, donations, loans from private financial institutions,the lease or sale of Agency-owned property, participation in development or any other available sources, both public or private. The Agency proposes to add the Third Amendment Area to the Existing Project Area because of the need to achieve planning and redevelopment actions for the entire block as a unit. Redevelopment of the entire block will be economically feasible provided that (a) market conditions will support the cost of development and the cost of assembling the site, or (b) the Agency can finance the cost gap between the reuse market value of the swite and the cost of assembling the site, or (c) any combination of (a) and ( b). Both Agency and developer financial capacities will needed to achieve redevelopment. Thus, economically sound reuse of the site will only be achieved by the successful addition of the Third Amendment Area to the Existing Project Area. (IQ., ~ E, pp. E- 1 - E-2)e. The Existing Project Area and the Third Amendment Area conform to the General Plan of the City, including, but not limited to the City's Housing Element, which substantially complies with the requirements of Article 10.6 of the Government Code.This finding is based on the fact that the land use and land use controls of the Third Amendment and the General Plan are consistent.f. The carrying out of the Existing Redevelopment Plan and the Third Amendment will promote the public peace, health, safety and welfare of the City, and will effectuate the purposes and policies of the Community Redevelopment Law.This finding is based on the fact that redevelopment will benefit the Project Area by correcting conditions of blight and by coordinating public and private actions to stimulate development and improve the economic and physical conditions of the Project Area, and by increasing employment opportunities. g. The condemnation of real property is necessary to the execution of the the Third Amendment, and adequate provisions have been made for the payment for property to be acquired as provided by law. This finding is based upon the need to ensure that the provisions of the Third Amendment will be carried out to remove substandard structures requiring clearance, to provide land for needed public facilities, to eliminate impediments to land development through assembly of land into parcels of reasonable size and shape and to effect a change in the land use as provided in the Third Amendment. (!Q. ~~ A-D, pp. A-1 through D-2)h. The Agency has a feasible method and plan for the relocation of families and persons who might be displaced, temporarily or permanently, from any housing facilities in the Existing Project Area and the Third Amendment Area. Families and persons shall not be displaced prior to the adoption of a relocation plan pursuant to the Community Redevelopment Law.This finding is based upon the fact the Agency has a comprehensive program for the relocation of persons, families, businesses or tenants displaced by Agency project activities. When such displacement occurs,the Agency will provide persons, families, business owners and tenants displaced by Agency activities with monetary and advisory relocation assistance consistent with the California Relocation Assistance Law Government Code, Section 7260 et seq.), the State Guidelines adopted and promulgated pursuant thereto, Relocation Assistance Rules adopted by the Agency and the provisions of the Third Amendment. (!Q, ~ F)i. There are, or shall be provided, within the Existing Project Area, or within other areas not generally less desirable with regard to public utilities and public and commercial facilities and at rents or prices within the financial means of the families and persons who might be displaced from the Third Amendment Area, decent, safe and sanitary dwellings equal in number to the number of and available to such displaced families and persons and reasonably accessible to their places of employment. Dwelling units housing persons andfamilies of low.. or moderate- income shall not be removed or destroyed prior to the adoption of a replacement housing plan pursuant to provisions of the Community Redevelopment Law.This finding is based upon the fact that no person or family will be required to move from any dwelling unit until suitable relocation housing is available for occupancy, and that such housing must meet the standards established in State law and regulations. In addition, the Agency's program includes provisions for the replacement of low and moderate income housing removed from the market as a result of Agency activities. (!Q., ~ j. The elimination of blight and the redevelopment of the Third Amendment Area could not reasonably be expected to be accomplished by private enterprise acting alone without the aid and assistance of the Agency. This finding is based upon the continued existence of blighting influences in ther adjacent Existing Project Area, including the lack of adequate public improvements, and the inability and lack of incentive of individual owners and developers to economically remove these blighting influences without substantial public assistance. Private enterprise is hindered for the following reasons: (1) The type and extent of parcel assemblage required cannot always be accomplished by private develolpers without Agency assistance; and (2) the cost of assembling parcels (which includes existing buildings and high cost of relocation payments) cannot be financed in total by cash flow from new development. If private enterprise acting alone were able to economically accomplish the necessary land assemblage for effective redevelopment, blighting conditions present in the Existing Project Area and the Third Amendment Area would have been remedied. Instead, the area remains blighted, economically stagnant, and characterized by compatible adjacent land uses. QQ., 9 D, pp. D-1 through D-2))k. The Project Area is a predominantly urbanized area as defined in the Community Redevelopment Law.This finding is based upon the fact that all property in the Existing Project Area and the Third Amendment Area has been or is developed for urban uses.I. The time limitation that is contained in the Third Amendment is reasonably related to the proposed projects to be implemented in the Third Amendment Area and to the ability of the Agency to eliminate blight and effectuate redevelopment within the Third Amendment Area and the Existing Project Area.An Implementation Plan was developed for the Existing Project Area, which identified projected revenues and the projects and programs to be implemented. The goals and objections of the Implementation Plan include:stimulate construction; reconstruction/rehabilitation; street and parking improvements; and strengthen economic base. The Agency proposes to extend these implementation activities into the Third Amendment Area to better achieve goals and objectives of the Existing Project Area and the Third Amendment Area. Under the Implementation Plan the Agency will explore assemblage of the Third Amendment Area parcels with the eight adjoining parcels in the Existing Project Area to provide an adequately sized development site for general commercial uses. QQ., 9 C, p. C-1)m. The City Council is satisfied that permanent housing facilities will be available within three (3) years from the time occupants of the Third Amendment Area are displaced, and pending the development of the facilities there will be available to displaced occupants adequate temporary housing facilities at rents comparable to those in the community at the time of their displacement. This finding is based on the Agency's assurances regarding displaced residents and relocation housing. SIECTION 4. All written and oral objections to the Third Amendment filed with and presented to the City Council and all written responses thereto, have been considered and findings in response to each written objection have been adopted by the City Council at the time and in the manner required by law, and such written and oral objections are hereby ()verruled. SIECTION 5. In order to implement and facilitate the implementation of the Third Amendment hereby approved, this City Council hereby declares its intention to undertake and complete any proceeding necessary to be carried out by the City of Orange under the provisions of the Third Amendment. SECTION 6. The City Clerk is hereby directed to send a certified copy of this Ordinance to the Agency, whereupon the Agency is vested with the responsibility for carrying out the Redevelopment Plan as amended by the Third Amendment. SECTION 7. The City Clerk is hereby directed to record with the County Recorder of Oran!~e County a description of the land within the Third Amendment Area and a statement that proceedings for the redevelopment of the Third Amendment Area have been instituted under the Community Redevelopment Law. SECTION 8. The Department of Building and Safety of the City of Orange is hereby directed for a period of two (2) years after the effective date of this Ordinance to advise all applicants for building permits within the Third Amendment Area that the site for which a building permit is sought for the construction of buildings or for other improvements is within a redevelopment project area. SECTION 9. The City Clerk is hereby directed to transmit a copy of the description and statement recorded by the City Clerk pursuant to Section 7 of this Ordinance, and a map or plat indicating the Third Amendment Area boundaries to the Auditor and Tax Assessor of Orange County, to the governing body of each of the taxing agencies which levies taxes upon any property in the Project Area, and to the State Board of Equalization. SECTION 10. If any part of this Ordinance or the Third Amendment which it approves is held to be invalid for any reason, such decision shall not affect the validity of the remaining portion of this Ordinance or of the Third Amendment, and this Council hereby declares that it would have passed the remainder of the Ordinance or approved the remainder of the Third Amendment if such invalid portion thereof had been deleted. 8 - SECTION 11. This Ordinance shall be in full force and effect thirty (30) from and after the date of final passage. SECTION 12. A summary of this Ordinance shall be published and a certified copy of the full text of this Ordinance shall be posted in the Office of the City Clerk at least five (5) days prior to the City Council meeting at which this Ordinance is to be adopted. A summary of this Ordinance or the full text of this Ordinance shall also be published once within fifteen (15) days after this Ordinance's passage in The Orange Indepenclent, a newspaper of general circulation, published and circulated in the City of Orange. The City Clerk shall post in the Office of the City Clerk a certified copy of the full text of sllch adopted Ordinance along with the names of those City Council members voting for and against the Ordinance in accordance with Government Code Section 36933. ADOPTED this 9th day of Jul v 1996. r ,( / .__ of" J ..,... ,../ I.., .L--:>:_C./ \ JLt ," .j . Mayor of the City of or~~e ATTEST: City Clerk of h City or Orange I hereby certify that the foregoing Ordinance was introduced at the regular meeting of the City Council held on the 25th day of June , 1996, and thereafter at a regular meeting of said City Council held on the g r h day of J u 1 y , 1996, was duly passed and adopted by the following vote: AYES:COUNCIL MEMBERS: Murphy, Coontz, Spurgeon, Slater NOES:COUNCIL MEMBERS: None COUNCIL MEMBERS: NoneABSENT: ABSTAIN:COUNCIL MEMBERS: Barrera 7 // /7 I j-aA~f..MA .l2v (j--..{. ~7<~~: L City Clerk of me City of Orange 9 -