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HomeMy WebLinkAboutCC RES 21-49DocuSign Envelope ID: 428HE2E-38130-43C13-81 BO-769A83568A37 RESOLUTION NO. 21-49 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, DECLARING CERTAIN REAL PROPERTY COMPRISED OF ASSESSORS PARCEL NUMBERS 430-371-20, 22, 25, 26, 40, 59, 60, 61, 67, AND 68; AND PORTIONS OF 430-371-39, 56, 57, 58 AND 77 AS SURPLUS PROPERTY PURSUANT TO CALIFORNIA GOVERNMENT CODE SECTION 54221. WHEREAS, the City of Tustin (City) owns certain real property consisting of approximately 35 acres (Site) at Tustin Legacy (former Marine Corps Air Station Tustin) comprised of APN 430-371-20, 22, 25, 26, 40, 59, 60, 61, 67, 68 and portions of 430-371- 39, 56, 57, 58 and 77; and WHEREAS, in 1992, the City was designated by The United States Department of the Defense as the Lead Agency or Local Reuse Authority for preparation of a reuse plan for MCAS Tustin in order to facilitate the closure of MCAS Tustin and its reuse in furtherance of the economic development (including the creation of jobs and housing) of the City and surrounding region; and WHEREAS, in May 2002, The United States of America approved an Economic Development Conveyance (EDC) and agreed to convey approximately 1,153 acres of former MCAS Tustin to the City; and WHEREAS, on May 13, 2002, a total of approximately 977 acres were conveyed by The United States of America to the City by quitclaim deed, in accordance with the provisions of Memorandum of Agreement by and between The United States of America and the City dated May 13, 2002, and WHEREAS, the additional approximately 177 acres were made subject to a ground lease by the City from The United States of America and portions thereof have subsequently been conveyed to the City pursuant to subsequent quitclaim deeds; and WHEREAS, the City believes the Site (and all portions of Tustin Legacy owned or to be owned by the City) to be assets to be held, used, and portions sold or leased to enable the City to meet its responsibilities to fund ongoing and future infrastructure, development and maintenance costs at Tustin Legacy that are borne by the City as Executive Developer in order to provide housing, employment, public services and recreation to City residents; and WHEREAS, the City, acting as Executive Developer for Tustin Legacy, carefully plans neighborhoods within the 1,600 -acre footprint to account for infrastructure costs, market conditions, and community benefits prior to initiating a disposition process for certain parcels; and Resolution 21-49 Page 1 of 4 DocuSign Envelope ID: 428HE2E-38130-43C13-81 BO-769A83568A37 WHEREAS, the City, acting as Executive Developer for Tustin Legacy, has acted in its role to provide market rate and affordable housing at Tustin Legacy, with 3,457 residential units (ownership and rental) constructed to date, 688 of which are deed restricted for various levels of affordability; and WHEREAS, the Site is located within portions of Planning Areas 8, 13 and 14 of the Tustin Legacy Specific Plan that do not contain any residential entitlements nor is the adjacent infrastructure designed for residential use; and WHEREAS, the City desires to implement the existing Tustin Legacy Specific Plan on the Site, thereby creating employment opportunities with uses such as office, retail and providing publicly accessible space that complements existing and future residential sites throughout Tustin Legacy; and WHEREAS, existing law established the Surplus Land Act (SLA) for local agencies to follow when disposing of surplus properties no longer needed for government use or for revenue generation; and WHEREAS, prior to January 1, 2020, the City did not consider the Site (and all of Tustin Legacy) to be "surplus land" as defined in the SLA because it considered the development of the Site (and all of Tustin Legacy) consistent with the Federal Reuse Plan to be a continuing City use of the property, as well as due to the deed conveyance mechanism whereby the City received the property with restrictions from The United States of America as part of the Defense Base Realignment and Closure Act of 1990 as amended; and WHEREAS, on October 9, 2019, California Governor Gavin Newsom signed Assembly Bill 1486 (Ting) into law, making substantive amendments to the SLA effective January 1, 2020; and WHEREAS, the amended SLA required that legally binding agreements such as an Exclusive Negotiating Agreement must have been entered into by September 30, 2019 for property to be exempt from the amended SLA; and WHEREAS, the amended SLA requires local agencies to declare land as "surplus land" or "exempt surplus land" prior to disposing of property owned by the local agency; and WHEREAS, the Site (and all of Tustin Legacy) is not "surplus land" in any traditional sense because the funds received from sales and leases of portions of the Tustin Legacy, and the uses to which the property are put after such sale or lease, are essential to accomplish the Federally- and City -approved military base Reuse Plan, including but not limited to provide the funding for the significant cost of infrastructure needed to accomplish the planned reuse of former military base; and Resolution 21-49 Page 2 of 4 DocuSign Envelope ID: 428HE2E-38130-43C13-81 BO-769A83568A37 WHEREAS, although the City contends that it is not required to do so for the reasons referenced herein, the City will send a written notice of availability for the Site by electronic mail to all of the entities identified in Government Code section 54222; and WHEREAS, as contemplated by Government Code section 54222 and 54227, if one of the entities/agencies desires to purchase or lease the Site after having received the notice of availability, it must indicate its interest to do so in writing within 60 days of receiving the City's notice, and the City and the entity/agency so responding to the notice will negotiate in good faith to determine whether price and terms for the disposition of the Site can be agreed upon; and WHEREAS, as contemplated by Government Code 54223 and 54227, in the event no agreement is reached between the City and any interested entity/agency after a good faith negotiation period of 90 days, the Site may be disposed of without further regard to the SLA, except that if the City then enters into an agreement with any entity which results in the construction of ten or more residential units, the new entity shall provide at least 15 percent of the total number of units as affordable. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF TUSTIN, THAT: The foregoing recitals are hereby incorporated and adopted as the findings of the City Council; and 2. This action results in no binding commitment by the City to authorize or advance the disposition of the Site, will not result in a direct or indirect physical change in the environment, and does not constitute an "approval" of a "project" pursuant to CEQA Guidelines Sections 15004 and 15352; and 3. Subject to the findings above, and without waiving any claim or argument that the SLA is inapplicable to property dispositions made consistent with the City's Federally -approved Reuse Plan, and for purposes of forestalling delays or disputes that might arise if no finding is made under the amended SLA, the Site comprised of APN 430-371-20, 22, 25, 26, 40, 59, 60, 61, 67, 68 and portions of 430-371-39, 56, 57, 58 and 77 is hereby declared "surplus land". PASSED and ADOPTED by the City Council of the City of Tustin at a regular meeting on 15th day of June, 2021. DocuSigned by: �EF44�a�S6#9-344n ... LETITIA CLARK, Mayor Resolution 21-49 Page 3 of 4 DocuSign Envelope ID: 428HEH-38130-43C13-81 BO-769A83568A37 ATTEST: 5 DocuSigned by: q"'w' ERICA I I'A DA, City Clerk STATE OF CALIFORNIA ) COUNTY OF ORANGE ) SS CITY OF TUSTIN ) I, Erica N. Yasuda, City Clerk and ex -officio Clerk of the City Council of the City of Tustin, California, do hereby certify that the whole number of the members of the City Council of the City of Tustin is five; that the above and foregoing Resolution No 21-49 was duly passed and adopted at a regular meeting of the Tustin City Council, held on the 15th day of June, 2021 by the following vote: COUNCILMEMBER AYES: Clark, Lumbard, Cooper, Gallagher, Gomez (5) COUNCILMEMBER NOES: (0) COUNCILMEMBER ABSTAINED: (0) COUNCILMEMBER ABSENT: (0) 5 DocuSigned by: , qxsa- ERICA . u A bA, City Clerk Resolution 21-49 Page 4 of 4