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HomeMy WebLinkAbout02.09.22@530 SP Joint CC&SAWednesday, February 9, 2022 5:30 PM City of South San Francisco P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA TELECONFERENCE MEETING Zoom Link: https://ssf-net.zoom.us/j/85920642066 Joint Special Meeting City Council and Successor Agency Special Meeting Agenda February 9, 2022Joint Special Meeting City Council and Successor Agency Special Meeting Agenda TELECONFERENCE MEETING NOTICE The purpose of conducting the meeting as described in this notice is to provide the safest environment for staff and the public while allowing for public participation. Councilmembers/Boardmembers Coleman, Flores and Addiego, Vice Mayor /Vice Chair Nicolas and Mayor/Chair Nagales and essential City staff may participate via Teleconference. Pursuant to Ralph M. Brown Act, Government Code Section 54953, all votes shall be by roll call due to council members participating by teleconference. The City Council may meet by teleconference, consistent with the Brown Act as amended by AB 361 (2021). Under the amended rules, the City will not provide a physical location for members of the public to participate in the teleconference meeting. American Disability Act: The City Clerk will provide materials in appropriate alternative formats to comply with the Americans with Disabilities Act. Please send a written request to City Clerk Rosa Govea Acosta at 400 Grand Avenue, South San Francisco, CA 94080, or email at [email protected]. Include your name, address, phone number, a brief description of the requested materials, and preferred alternative format service at least 24-hours before the meeting. Accommodations: Individuals who require special assistance of a disability -related modification or accommodation to participate in the meeting, including Interpretation Services, should contact the Office of the City Clerk by email at [email protected], 24-hours before the meeting. Notification in advance of the meeting will enable the City of South San Francisco to make reasonable arrangements to ensure accessibility to the meeting. Page 2 City of South San Francisco Printed on 3/16/2022 February 9, 2022Joint Special Meeting City Council and Successor Agency Special Meeting Agenda ZOOM LINK BELOW - NO REGISTRATION REQUIRED Join Zoom meeting https://ssf-net.zoom.us/j/85920642066 (Enter your email and name) Join by One Tap Mobile : US: +16699006833,,85920642066# or +12532158782,,85920642066# Join by Telephone: Dial (for higher quality, dial a number based on your current location): US: +1 346 248 7799 or +1 669 900 6833 or 833 548 0276 (Toll Free) Webinar ID: 859 2064 2066 How to submit written Public Comment before the City Council Meeting: Members of the public are encouraged to submit public comments in writing in advance of the meeting via the eComment tab by 3:30 p.m. on the meeting date. Use the eComment portal by clicking on the following link : https://ci-ssf-ca.granicusideas.com/meetings or by visiting the City Council meeting's agenda page. eComments are also directly sent to the iLegislate application used by City Council and staff. How to provide Public Comment during the City Council Meeting: 1) By Phone: (669) 900-6833. Webinar ID is 859 2064 2066. Click *9 to raise a hand to speak. Click *6 to unmute when called. By One tap mobile: US: +16699006833,,85920642066# or +12532158782,,85920642066# 2) Online at: https://ssf-net.zoom.us/j/85920642066 a. Enter an email address and name. The name will be visible online and will be used to notify you that it is your turn to speak. b. When the Clerk calls for the item on which you wish to speak, click on "raise hand." Speakers will be notified shortly before they are called to speak. c. When called, please limit your remarks to the time limit allotted. Page 3 City of South San Francisco Printed on 3/16/2022 February 9, 2022Joint Special Meeting City Council and Successor Agency Special Meeting Agenda Call to Order. Roll Call. Agenda Review. PUBLIC COMMENTS - Comments are limited to items on the Special Meeting Agenda. ADMINISTRATIVE BUSINESS Report regarding the Successor Agency disposition and City acquisition of the former Redevelopment Agency properties at 616 and 700 Linden Avenue for $1,660,000. (Deanna Talavera, Management Analyst II) 1. Resolution appropriating $1,660,000 through Budget Amendment number 22.048 for the allocation of funds to pay the Taxing Entities to retain control of the former Redevelopment Agency properties at 616 and 700 Linden Avenue for the purpose of constructing a park. 1a. Adjournment. Page 4 City of South San Francisco Printed on 3/16/2022 City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:22-72 Agenda Date:2/9/2022 Version:1 Item #:1. Report regarding the Successor Agency disposition and City acquisition of the former Redevelopment Agency properties at 616 and 700 Linden Avenue for $1,660,000.(Deanna Talavera, Management Analyst II) RECOMMENDATION Staff recommends that the City Council adopt a resolution appropriating $1,660,000 through Budget Amendment number 22.048 for the allocation of funds to pay the Taxing Entities to retain control of the former Redevelopment Agency properties at 616 and 700 Linden Avenue for the purpose of constructing a park. BACKGROUND/DISCUSSION The properties at 616 and 700 Linden Avenue (“Properties”)outlined in Attachment 1 are former Redevelopment Agency properties.The parcel at 616 Linden Avenue consists of a 14,000 sq.ft.lot and measures 100 feet by 140 feet and is zoned Downtown Mixed Use.The property currently serves as a metered parking lot with 20 parking spaces.The Agency acquired the property in 1997 for $325,000.At that time the lot consisted of a Quonset hut-type building and an automotive repair building.The environmental conditions created by the former uses persist today and are discussed further under the site conditions section of this report. The parcel located at 700 Linden Avenue consists of a 14,000 sq.ft.lot and measures 100 feet by 140 feet and is zoned Downtown Mixed Use.The Agency purchased the property in 1998 for $315,000 with the intention of it serving as neighborhood parking.Ultimately,the parcel across the street at 616 Linden was utilized for parking and the parcel at 700 Linden currently serves as open green space. City Obligations The Properties were transferred to the City in accordance with the Long Range Property Management Plan (“LRPMP”)and California Health and Safety Code section 34191.5 (c)(2)(A)(i)for disposition in accordance with the LRPMP.Under the LRPMP,the Properties at 616 and 700 Linden Avenue designated highest and best use is high density housing.Specifically,Section 34177(e)of the Health and Safety Code requires disposal of former redevelopment agency properties be done “expeditiously”and in a manner “aimed at maximizing value.”Even though the LRPMP states “the highest and best use”of the LRPMP Properties is “high density housing”,it does not require that the City develop these properties for that use.At page 88 it states:“this LRPMP directs that each property be used or sold for a project identified in the approved Redevelopment Plan”.Based upon that language,the City can use or develop the LRPMP Properties for whatever use that it considers appropriate.However,the Taxing Entities have an expectation that the Properties would be sold for housing, therefore the City will pay to retain the properties at a value that assumes housing on the sites. In disposing of other properties on the LRPMP in the past,the City has sought approval of the sales price by the County of San Mateo Countywide Oversight Board (“Oversight Board”),which is comprised of representatives from the Taxing Entities and it intends to do so here again.Assuming approval is granted by the Oversight Board,the City funds allocated to retain the Properties for development as parks will be distributed to the City of South San Francisco Printed on 2/18/2022Page 1 of 4 powered by Legistar™ File #:22-72 Agenda Date:2/9/2022 Version:1 Item #:1. Board,the City funds allocated to retain the Properties for development as parks will be distributed to the Taxing Entities in the following percentages: Taxing Entity Percentage of Proceeds South San Francisco Unified School District 43.9% San Mateo County 25.7% City of South San Francisco 16.7% SMC Community College District 7.3% Other 6.4% Site Conditions Prior to the Agency’s acquisition,the property at 616 Linden Avenue was used for automotive repairs that included underground petroleum storage tanks.Over 30 years ago,the storage tanks leaked and contaminated the soil and ground water on the property.It was anticipated that the petroleum compounds in the ground would be remediated through natural degradation. In July 2020 the City applied for and received a Brownfields Technical Assistance Grant (“TAG”)from the Environmental Protection Agency (“EPA”).The grant was used to update and complete the existing Phase I and Phase II Environmental Site Assessments (“Phase I/II”)of the Linden Avenue sites and determined that there is some residual contamination on 616 Linden Avenue requiring remediation prior to any housing development, but there was no need for remediation in order to develop housing at 700 Linden.The Phase I/II also addressed the remediation costs associated with future park development on the properties.Housing and commercial uses require a moderate-high level of remediation to protect people living or occupying the sites against potential environmental concerns over the long term.The Phase I/II remediation costs associated with the different development scenarios are as follows: Clean-up Land Use 616 Linden Moderate-High Housing/Commercial $795,000 Minor Parks/Open Space $186,000 Appraisal Staff engaged Kidder Mathews Land Valuation Services to conduct an appraisal of the sites.The appraisal utilized the Residual Land Valuation (“RLV”)approach.The RLV approach determines the value of the property assuming its highest and best use of the site is realized.Some costs relating to the improvement of site conditions are deducted from the value of the property such as environmental remediation. In this instance,housing is considered the highest and best use when assessing FMV.Kidder Matthews used housing development as their base assumption since it typically returns the highest price for land in the area. The appraisers returned a land value of $2,455,000 for housing development before remediation costs.If we were to assume that the highest and best use of the site is housing,the assumption that clean-up costs for housing should be utilized.Therefore,the $795,000 cost to remediate must be applied,returning a RLV of $1,660,000 which would be market value the properties would fetch through a competitive disposition process. If the appraisal were to consider the sites as a park,it would likely return little to no Residual Land Value and City of South San Francisco Printed on 2/18/2022Page 2 of 4 powered by Legistar™ File #:22-72 Agenda Date:2/9/2022 Version:1 Item #:1. If the appraisal were to consider the sites as a park,it would likely return little to no Residual Land Value and therefore not represent the FMV payment required to complete the acquisition. Community Needs The City owns or controls very few completely vacant and undeveloped sites.Therefore,the Properties discussed in this report provide a crucial opportunity for the City to meet community needs.The Properties provide an opportunity to meet two of the critical needs that the neighborhood is experiencing,these include housing and open space.Though it is a City Council priority to deliver a range of housing options to the market,several infill residential projects have recently been built or are under construction in the Old Town/Downtown area which provide needed housing (“Projects”).The development of Projects,and the continuing future delivery of housing will increase the demand for open space and parkland.If the City were to opt to proceed with disposal of the Properties for development as housing,the City would likely need to acquire other properties in the neighborhood to deliver on goals of the Park and Recreation Master Plan. The City completed a Parks and Recreation Master Plan in 2015.The Master Plan took inventory of existing amenities and identified goals and recommendations.Noting that the Downtown area is underserved,it notes the trend toward increased density and cites the need for at least two acres of additional parkland,stating that, “the City should consider converting under used parking areas or acquiring property for additional parkland in this area.”The same recommendation was made in the City’s 1999 General Plan,as well as the Downtown Station Area Specific Plan,which shows the vacant property at Linden and Pine as parkland.Specifically,the Specific Plan recommended that it would be desirable to also provide a usable outdoor green space such as a pocket park or plaza in proximity to the Linden neighborhood. If the Council approves staff’s recommendation for the Properties,the Park and Recreation Department will engage in comprehensive community outreach and a needs assessment for the sites to determine the most appropriate community use of the site. Park and Recreation Improvement Costs Funding to retain the Properties for park development will come from the Parks Acquisition fund,which has a balance of approximately $2,000,000.In addition to the cost to retain the Properties for park or community use, the cost of development and improvement should be considered.Callander and Associates was retained to develop a preliminary concept plan,and an estimate of design and construction costs for the Properties.The Properties,at 14,000 square feet per parcel,are 28,000 square feet combined,rounded to 30,000 square feet including the street area between the two lots.The Rough Order of Magnitude (ROM)cost to develop the Properties,is approximately $3.1 million,with the actual cost dependent upon the amenities selected.If the City Council were interested in constructing a building,the ROM cost,based on recent estimates for the Carter Park preschool building, are $1,200 - $1,500 per square foot. Next Steps If the City Council approves the recommendation,staff will seek Oversight Board approval of the purchase price for consistency with past practice.Assuming Oversight Board approval,the funds will be distributed to the Taxing Entities.In addition,the Parks and Recreation Department will engage with the community about the vision, programming, and scope of work for the park. Properties’ Designation as Housing Opportunity Sites in Housing Element The Properties have been designated as housing opportunity sites in the City’s current Housing Element.If the Properties are developed as a park,the City will have to identify other suitable sites to replace the Properties. City of South San Francisco Printed on 2/18/2022Page 3 of 4 powered by Legistar™ File #:22-72 Agenda Date:2/9/2022 Version:1 Item #:1. Properties are developed as a park,the City will have to identify other suitable sites to replace the Properties. Planning staff has evaluated this possibility and indicates they can identify suitable replacement sites.This re- designation will be addressed through the next Housing Element cycle,if the Properties are developed as a park. FISCAL IMPACT Staff proposes the City Council approve paying to retain 616 and 700 Linden Avenue with $1,660,000 coming from the Parks Acquisition Fund (Fund 805)through Budget Amendment number 22.048.Since the City is entitled to a 16.7%share (or approximately $277,220)of the net proceeds from the disposition,the actual cost to the City would be $1,382,780 if accepted by the Oversight Board.However,Staff recommends including a contingency in the appropriation that is equal to the City’s share of the proceeds available.Therefore,staff proposes appropriation of the full appraised amount in the event that the City needs additional funds to retain the site. RELATIONSHIP TO STRATEGIC PLAN The acquisition of the sites for a park use meets the City’s Strategic Plan goal of building and maintaining a sustainable City by providing active recreation and learning programs with top tier public parks,art and green spaces. CONCLUSION Staff recommends that the City Council adopt a resolution appropriating $1,660,000 through Budget Amendment number 22.048 for the allocation of funds to pay the Taxing Entities to retain control of the former Redevelopment Agency properties at 616 and 700 Linden Avenue for the purpose of developing a park. Attachment: 1.Location Map of Properties City of South San Francisco Printed on 2/18/2022Page 4 of 4 powered by Legistar™ Meeting: Joint Special Meeting City Council and Successor Agency on 2022-02-09 5:30 PM Meeting Time: February 09, 2022 at 5:30pm PST Disclaimer: Tell us what's on your mind. Your comments and information will become part of the official public record. If you do not want your personal information included in the official record, do not complete that field. **PLEASE SCROLL DOWN AND VIEW ALL PAGES OF AGENDA** 12 Comments Closes for Comment February 09, 2022 at 3:30pm PST The online Comment window has expired Agenda Item 1. 22-72 Report regarding the Successor Agency disposition and City acquisition of the former Redevelopment Agency properties at 616 and 700 Linden Avenue for $1,660,000. (Deanna Talavera, Management Analyst II) Legislation Text 12 Public Comments Guest User at February 09, 2022 at 3:16pm PST Support I support a new park on Linden Avenue and Cypress Avenue . The city government should have a vision to build and revitalize parks as thriving gathering places for youth , families and adults In the Linden and Cypress areas . If it is not done then the people from that area will not have ready access to quality parks and recreation . Rick J Guest User at February 09, 2022 at 3:11pm PST Support I am all for this ! It is time our community feels more united and works together. And it all starts by working together and receiving each other. And what other better place than an open, public park. South city’s going to love this. Especially all the upcoming children. Guest User at February 09, 2022 at 1:57pm PST Support I support the the purchase of this site and development into a park for local residents. The community is in desperate need of community outdoor space. Research shows access to outdoor space improves health, happiness and overall wellbeing. These effects last a lifetime, particularly among very young children. Guest User at February 09, 2022 at 1:45pm PST My name is Celeste Pérez. Honorable Mayor and Council, I support a new park at Linden. It will be very beneficial for our community and do not wish to see any more high rise buildings in our area. Parks are essential for our well being and health. Buildings are not beneficial to our community, children and seniors. We would appreciate if parks were centered on our cultural traditions of having a gazebo for families to gather to celebrate our heritage and at same time, be resourceful for seniors who do not have a safe outdoor place to visit . I also think the playground at Pine and Cypress needs to be remodeled and hopefully soon. There is a tremendous amount of rust and the equipment does not seem sturdy. Thank you and appreciate the support and approval of a new playground and a new park. Daniel Perez at February 09, 2022 at 1:06pm PST Support Honorable Mayor and City Council, my name is Daniel Perez. My wife and I have raised three children in Old Town and it has not been easy, considering the lack of programs and services and parks. I support both of the Pine lots to be converted into a community park with the focus being on continuing immigrant way of life here, with a plaza, benches and a garden. This area has been the most highly impacted on all levels, starting with tragic effects on our youth to now being bombarded with high rise buildings at the expense of a child’s life and disregard to community needs of having that village there in raising children and supporting our community. Affordable or not, housing cannot replace the needs of community’s will and voices! This new park on both lots and a dedicated playground at Pine and Cypress is a must long overdue! I have witnessed what our youth have gone through, we are all victims and only wish for a better community and life for all the children for many generations to come. We appreciate the plans for parks and hope for the best decision to be made in fulfilling need for families, priority proving an outdoor park and a separate playground. Please also take into consideration not being able to receive natural sunlight because of the high rise buildings. No one appreciates it and unfair to overlook needs of our community and at same time, only area being disregarded. Thank you, Daniel Perez. Guest User at February 09, 2022 at 1:03pm PST Oppose David Ceballos Guest User at February 09, 2022 at 11:47am PST Support A gazebo would be perfect to support our rich cultural Latinx community and will provide a safe space for seniors and people of all ages. Also would like to see playground at Cypress be upgraded because there are a lot of small children and teenagers at park, but only the swings work and the courts is not full size court. Guest User at February 09, 2022 at 11:40am PST Support I support the idea of these park additions. An example would be a garden with gazebo and seating. It would be a nice area for seniors and families to be able to enjoy in this neighborhood where it is needed the most. The decision to keep cypress park is good to hear. It would be nice for it to be updated. Thank you, Daniel Perez Guest User at February 09, 2022 at 11:38am PST Support I live on pine and cypress and I support this project, we need to keep our park and improve it for the community, young and elderly to enjoy physically and mentally. Guest User at February 09, 2022 at 10:49am PST Support Please, out of respect for the people of the community, keep Linden lot green and Cypress and Pine. Much could be said about the benefits of having green spaces for communities but one thing is certain: having a space for a culture to thrive is imperative to one’s mental, social, personal, and communal well-being. Without green/play space, a community suffers in many ways. Guest User at February 09, 2022 at 8:45am PST Neutral Agreed with comment below with a general park would be nice for everyone. But one issue with all this building is parking!!! For the past five years if not more we have a parking issue and no one is talking about it or has done anything to try to solve it. I see people following the street sweeper to park their cars after the sweeper passes. Just this morning I had to ask my neighbor to moved as he was blocking my drive way again. Might be time to pilot a permit program? One free pass if you live in the area and each additional maybe $100 a month? I feel this would at least make people use their garage instead of street parking? The issue is most of downtown but maybe the pilot can be from maple/California down to Airport to Maple/Railway to Linden? I don't like the idea of permits but with all this new constructions comes a lot of cars and hard to find street parking if everyone has more than one car. Open to any suggestions or please let me know who to contact regarding this issue [email protected]. Please e- mail any response I will not be able to attend the meeting. Guest User at February 09, 2022 at 4:54am PST Support Thank you for allowing space to comment. I am in full support of an area that will give back to the communities families and children. A park dedicated centered on culture and traditions for toddlers and young children. Our area is expanding and has no parks aside from Cypress/Pine. Keep Linden lot green and Cypress/Pine. If I may, please consider mirroring other cities where you see the culture and heritage of families in the neighborhood and see how beautiful an area such as a park for our families and children can be developed on Linden. Thank you. City of South San Francisco Legislation Text P.O. Box 711 (City Hall, 400 Grand Avenue) South San Francisco, CA File #:22-106 Agenda Date:2/9/2022 Version:5 Item #:1a. Resolution appropriating $1,660,000 through Budget Amendment number 22.048 for the allocation of funds to pay the Taxing Entities to retain control of the former Redevelopment Agency properties at 616 and 700 Linden Avenue for the purpose of constructing a park. WHEREAS,the former Redevelopment Agency acquired a property at 616 Linden Avenue in 1997 for $325,000 and a property at 700 Linden Avenue in 1998 for $315,000 (“Properties”); and WHEREAS,the Properties were transferred to the City in accordance with the Long Range Property Management Plan (“LRPMP”)and California Health and Safety Code section 34191.5 (c)(2)(A)(i)for disposition pursuant to the LRPMP.Under the LRPMP,the Properties designated highest and best use is housing; and WHEREAS,LRPMP does not require that the City develop Properties as housing,rather,the City can use or develop the Properties for a use that it considers appropriate; and WHEREAS,the City’s Parks and Recreation Master Plan noted that the Downtown area is underserved based upon increased residential density and cites the need for at least two acres of additional parkland,stating that, “the City should consider converting under used parking areas or acquiring property for additional parkland in this area.”; and WHEREAS,the same recommendation is included in the City’s General Plan,as well as the Downtown Station Area Specific Plan,which shows the Properties as parkland.Specifically,the Specific Plan recommended that it would be desirable to also provide a usable outdoor green space such as a pocket park or plaza in proximity to the Linden neighborhood; and WHEREAS,in recognition of the Taxing Entities expectation that the Properties would be disposed for housing,the City developed the Fair Market Value (“FMV”)for such use through an appraisal developed by Kidder Mathews Land Valuation Services (“Appraiser”); and WHEREAS,the Appraiser valued the Properties at $1,660,000 which includes the required environmental remediation costs associated with development of the Properties as housing as analyzed in the Phase I and Phase II Environmental Site Assessments; and WHEREAS,in the past,the City has sought approval of the proposed sales price of properties subject to the LRPMP by the County of San Mateo Countywide Oversight Board (“Oversight Board”),which is comprised of representatives from the Taxing Entities and it intends to act consistently with prior practice with regard to the City of South San Francisco Printed on 2/18/2022Page 1 of 2 powered by Legistar™ File #:22-106 Agenda Date:2/9/2022 Version:5 Item #:1a. representatives from the Taxing Entities and it intends to act consistently with prior practice with regard to the Properties.Assuming approval is granted by the Oversight Board,the City funds allocated to retain the Properties for development as parks will be distributed to the Taxing Entities; and WHEREAS,the City Council has reviewed and considered the information in the accompanying staff report and the Appraisal. NOW,THEREFORE,BE IT RESOLVED,THAT THE CITY COUNCIL OF THE CITY OF SOUTH SAN FRANCISCO hereby appropriates $1,660,000 through Budget Amendment number 22.048 for the allocation of funds to pay the Taxing Entities to retain control of the former Redevelopment Agency properties at 616 and 700 Linden Avenue for the purpose of development as a park. BE IT FURTHER RESOLVED,that the City Council of the City of South San Francisco hereby authorizes the City Manager to submit a request to the County of San Mateo Countywide Oversight Board to approve the disposition value of 616 and 700 Linden Avenue as $1,660,000 and take such further action as is necessary to distribute the proceeds of the disposition to the Taxing Entities in accordance with that value . * * * * * 5054920.1 City of South San Francisco Printed on 2/18/2022Page 2 of 2 powered by Legistar™