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Res 06-005 RESOLUTION NO. 06-005 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POWAY CONSENTING TO THE APPROVAL OF A DISPOSITION AND DEVELOPMENT AGREEMENT BY AND BETWEEN THE POWAY REDEVELOPMENT AGENCY AND OCEAN PARK HOTELS-PWY, LLC, AND MAKING CERTAIN FINDINGS IN CONNECTION THEREWITH WHEREAS, the Poway Redevelopment Agency (the "Agency") is engaged in activities necessary to carry out and implement the Redevelopment Plan for the Paguay Redevelopment Project (the "Project"); and WHEREAS, in order to carry out and implement such Redevelopment Plan the Agency proposes to enter into that certain Disposition and Development Agreement (the "Agreement") with Ocean Park Hotels-PWY, LLC (the "Developer") for the development of that certain 2.95-acre property located within the Project Area at the northeast comer of Scripps Poway Parkway and Stowe Drive in the City of Poway (the "Site"), all as described in the Agreement; and WHEREAS, the Site has been acquired by the Agency; and WHEREAS, the Developer desires to acquire the Site for the purpose of developing a new business hotel thereon (the "Development"); and WHEREAS, the Developer has submitted to the Agency and the City Council of the City of Poway (the "City Council") copies of the Agreement in a form executed by the Developer; and WHEREAS, pursuant to the Agreement, the Agency would convey fee title to the Site to the Developer, and the Developer would construct and operate the Development on the Site; and WHEREAS, the purchase price of the Site pursuant to the Agreement is not less than the fair market value of the Site, as determined by an appraisal commissioned by the Agency; and WHEREAS, pursuant to Section 33433 of the Community Redevelopment Law (California Health and Safety Code Section 33000, et seq.), the Agency is authorized, with the approval of the City Council after a duly noticed public hearing, to sell the Site for development pursuant to the Redevelopment Plan upon a determination by the City Council that the sale of the property will either assist in the elimination of blight or provide affordable housing for low and moderate income persons, that the consideration for such sale is not less than either the fair market value or fair reuse value of the Site in accordance with the covenants and conditions governing the sale and the development costs required thereof, and that the sale is consistent with the implementation plan which has been adopted by the Agency for the Project; and Resolution No. 06-005 Page 2 WHEREAS, a joint public hearing of the Agency and City Council on the proposed Agreement was duly noticed in accordance with the requirements of Health and Safety Code Sections 33431 and 33433; and WHEREAS, the proposed Agreement, and a summary report meeting the requirements of Health and Safety Code Section 33433, were available for public inspection prior to the joint public hearing consistent with the requirements of Health and Safety Code Section 33433; and WHEREAS, on February 7, 2006, the Agency and City Council held a joint public hearing on the proposed Agreement, at which time the City Council reviewed and evaluated all of the information, testimony, and evidence presented during the joint public hearing; and WHEREAS, all actions required by all applicable law with respect to the proposed Agreement have been taken in an appropriate and timely manner; and WHEREAS, the City Council has reviewed the summary required pursuant to Health and Safety Code Section 33433 and evaluated other information provided to it pertaining to the findings required pursuant to Health and Safety Code Section 33433; and WHEREAS, the City Council has previously determined, in its adoption of the ordinance approving the Paguay Redevelopment Project, that the Site was blighted; and WHEREAS, the Agreement would provide for the elimination of such blighting conditions by providing for the construction of a high quality business hotel on the Site; and WHEREAS, the Agency has adopted an Implementation Plan pursuant to Health and Safety Code Section 33490, which sets forth the goals and objectives of the elimination of conditions which negatively impact economic development of the community by acquiring, removing, consolidating and rehabilitating substandard properties; and WHEREAS, the Agreement will assist the Agency in meeting the objectives set forth in the Redevelopment Plan to stimulate investment of the private sector in the full development of the Project Area, to expand the resource of developable land by making underutilized land available for development, to provide for the enhancements and renovation of businesses within the Project Area to promote their economic vitality, to upgrade existing commercial and industrial uses in the Project Area, to assist in the replanning, redesign and development of underdeveloped areas which are stagnant or improperly utilized, and to strengthen the economic base of the Project Area and the community by the installation or provision of needed site improvements and public facilities to stimulate new commercial and light industrial expansion, employment and economic growth; and Resolution No. 06-005 Page 3 WHEREAS, Section 21090 of the California Environmental Quality Act, California Public Resources Code Section 21000, et seq. ("CEQA"), provides that all public and private activities and undertakings pursuant to or in furtherance of, a redevelopment plan are deemed to be a single project. and further environmental assessment under CEQA for a project which is consistent with the redevelopment plan shall be limited to cases in which effects upon the environment which are peculiar to the project and which were not addressed as significant effects in the redevelopment plan environmental impact report ("EIR"), or in which substantial new information shows will be more significant than described in the redevelopment plan EIR; and WHEREAS, the City, as the Lead Agency, has approved a Negative Declaration with regard to the Development in accordance with the requirements of CEQA; and WHEREAS, the City Council has duly considered all terms and conditions of the proposed Agreement and believes that the redevelopment of the Site pursuant thereto is in the best interests of the City of Poway and the health, safety, and welfare of its residents, and in accord with the public purposes and provisions of applicable state and local laws and requirements. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Poway as follows: 1. The City Council finds and determines that, based upon substantial evidence provided in the record before it, the consideration for the Agency's disposition of the Site pursuant to the terms and conditions of the Agreement is not less than the fair market value of the Site. 2. The City Council hereby finds and determines that the disposition of the Site pursuant to the Agreement will eliminate blight within the Project Area by providing for the proper reuse and redevelopment of a portion of the Project Area which was declared blighted for the reasons described above. 3. The City Council hereby finds and determines that the Agreement is consistent with the provisions and goals of the Implementation Plan. 4. The City Council hereby consents to the Agency's approval of the Agreement and its sale of the Site pursuant to the Agreement. 5. The City Clerk shall certify to the adoption of this Resolution. Resolution No. 06-005 Page 4 PASSED, ADOPTED AND APPROVED by the City Council of the City of Poway, California. at a regular meeting this ih day of February 2006. Michael P. Ca , ayor ATTEST: STATE OF CALIFORNIA ) ) ss. COUNTY OF SAN DIEGO ) I, L. Diane Shea, City Clerk of the City of Poway, do hereby certify, under the penalty of perjury, that the foregoing Resolution No.06-005, was duly adopted by the City Council at a meeting of said City Council held on the 7th day of February 2006, and that it was so adopted by the following votes: AYES: BOYACK, EMERY, HIGGINSON, CAFAGNA NOES: NONE ABSENT: REXFORD DISQUALIFIED: NONE /{~Jd/u4_ L. Diane Shea, City Clerk City of Poway