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HomeMy WebLinkAbout12 MILLS ACT PROGRAM – HISTORIC PROPERTY PRESERVATION DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F 12 Agenda Item DS AGENDA REPORT Reviewed: City Manager Finance Director N/A MEETING DATE: DECEMBER 7, 2021 TO: MATTHEW S. WEST, CITY MANAGER FROM: COMMUNITY DEVELOPMENT DEPARTMENT SUBJECT: MILLS ACT PROGRAM — HISTORIC PROPERTY PRESERVATION AGREEMENT FOR 200 SOUTH B STREET SUMMARY: The Mills Act is State legislation that provides for reduced property taxes on a historic property if the property owner agrees to maintain and preserve the property for a minimum of ten (10) years. On June 16, 1997, the adoption of City Council Resolution No. 97-50 authorized the implementation of a Mills Act program and established a policy specifying which properties would be eligible for the program. Attachment A of this report includes a draft Historic Property Preservation Agreement (Agreement) for the property located at 200 South B Street Owner: Joseph Heredia Location: 200 South B Street (Assessor's Parcel Number: 401-562-01) RECOMMENDATION: That the City Council adopt Resolution No. 21-102 authorizing the execution of a Historic Property Preservation Agreement (commonly referred as Mills Act Contract)with Mr. Joseph Heredia, the owner of the property located at 200 South B Street. FISCAL IMPACT: The execution of the Agreement would reduce the property owner's property tax payment by approximately Three Thousand One Hundred Dollars ($3,100.00) annually and proportionately reduce the City's share of the property tax revenue for the property. The $500.00 application fee partially offsets staff and City Attorney fees to meet with the applicant, conduct the property inspection, review the application, prepare correspondence, the contract and City Council report, and administer the contract, which are estimated to be $1,500 for the minimum ten (10)-year contract period. DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F City Council Report Mills Act Program December 7, 2021 Page 2 CORRELATION TO THE STRATEGIC PLAN: The proposed Historic Property Preservation Agreement furthers Goal A of the City of Tustin's Strategic Plan pertaining the vibrancy and quality of life in all neighborhoods and areas of the community. BACKGROUND AND DISCUSSION: Adopted by the California Legislature in 1976, the Mills Act gives local governments the authority to grant property tax relief to owners of qualified historic properties, including owner-occupied single-family residences and income producing properties. In exchange for this relief, the property owners must agree, by contract, to maintain the properties in accordance with specific historic preservation standards and conditions. According to State law, all properties that are assessed property taxes and listed on a historic register or survey, are potentially eligible to participate in a local Mills Act program. If desired, each community has the discretion to target the program to specific historic properties. In June of 1997, the Tustin City Council authorized the implementation of a Mills Act program in the City of Tustin and established a policy for Historic Property Preservation Agreements (Mills Act contracts) by resolution. Pursuant to Council's direction, the Mills Act program is made available to the owners of residential properties with an "A," "B," or "C" rating in the 1990 Tustin Historical Resources Survey. Residential properties with equivalent ratings in the 2003 and 2021 Historical Resources Survey are also eligible to participate. Property Description The residence at 200 South B Street has a "5D1" rating in the City's 2021 Historical Resources Survey. A "5D1" rating in the 2021 Historical Resources Survey represents a property that appears to be eligible for listing in the National Register. The period of significance for this property is from 1914 to 1945 and the Craftsman-style home was built in 1919. Excerpts of the 2003 and 2021 Historical Resources Surveys for the property are attached (Attachment B). The surveys contain a description of the character-defining features of this home which include but are not limited to the following: • Cladding in medium width clapboards; • Stucco clad elephantine porch piers; • Broad gabled-roof, wide eaves and exposed rafter tails; • Double hung windows; DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F City Council Report Mills Act Program December 7, 2021 Page 3 • Single clapboard clad garage matching the house located at the rear of the property. The property is also significant because Alton and Leona Alderman, the owners of the Tustin Hardware Company built this bungalow in 1923 and continued to own the house until 1939. Upon the death of Alton Alderman in 1938, Leona Alderman continued to rent the house out until she sold it to Robert G. and Ann Elmore in 1952. Mr. Robert G. Elmore was an employee of the Eltiste Company, a well-known tractor and equipment sales organization. -----------s Figure 1 Mills Act Contract Provisions Exhibit A of Resolution 21-102 includes a draft Agreement (Mills Act contract) prepared by the City Attorney and the Community Development Department for the property located at 200 South B Street. The draft Agreement contains all of the contract provisions required by State law. These provisions are discussed below. As requirements of State law, these provisions may not be modified. Required Mills Act Contract Provisions As noted in the draft Agreement, the required minimum term of an Agreement (Mills Act contract) is ten (10) years. Each year, the contract term is automatically extended an additional year, unless terminated by the property owner or the City of Tustin for any reason. If terminated without penalty, the Agreement would end at the end of the current ten (10)- year term. The property owner is assessed a penalty of twelve and one-half (12.5) percent of the property's current fair market value at the time of cancellation if the contract is canceled by the property owner prior to the end of the ten (10)-year period. However, there is no penalty for contract cancellation if the property is significantly damaged by an Act of God or accidental cause, such as fire, flood, or earthquake. DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F City Council Report Mills Act Program December 7, 2021 Page 4 If the property is sold, the contract is binding upon all successors in interest to the owner, who will have the same rights and obligations under the contract as the original owner who entered into the contract. Pursuant to Section 50281 of the California Government Code, the Agreement provides for the preservation and maintenance of the characteristics of historical significance of the qualified historical property. City staff would utilize the Secretary of the Interior's Standards for Rehabilitation, the City of Tustin Residential Design Guidelines, and applicable Building Codes in evaluating the preservation, maintenance, and rehabilitation of the property. The interior and exterior of the premises must be made available for periodic examinations by prior appointment by representatives of the City, County Assessor, State Department of Parks and Recreation, and State Board of Equalization. Furthermore, to ensure compliance with the terms and provisions, the Agreement includes a provision that requires the owner to furnish any pertinent information needed by the City. Tustin Mills Act Contract Provisions The draft Agreement includes standard terms and conditions, which are contained within Exhibit A of the draft Agreement (Attachment A). The provisions are intended to be modified on a case-by-case basis. For example, the Agreement provides for the restoration or rehabilitation of the property according to the U.S. Secretary of the Interior's Standards for Rehabilitation, the State Historical Building Code, and the regulations of the State Office of Historic Preservation. The Agreement also includes provisions which requires the property owner to submit a photographic portfolio showing all buildings and structures on the property, on-going landscape and property maintenance, a schedule for repair and rehabilitation, maintain property visibility, submission of an annual report, and a prohibition on demolition. The items included in the schedule for repair and rehabilitation were identified by City staff, in consultation with the owner, as being necessary over the minimum ten (10)-year contract term. By entering into an Agreement with the City, the owner would agree to the following: Year 1 • Submit plans, obtain a Certificate of Appropriateness and permits, and pass required inspections to remove unpermitted enclosed porch on the front of the house. • Submit plans, obtain a Certificate of Appropriateness and permits, and pass required inspections to remove existing steps and construct new steps to access the front door, in accordance with the Building Code. DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F City Council Report Mills Act Program December 7, 2021 Page 5 • Submit plans, obtain a Certificate of Appropriateness and permits, and pass required inspections to remove and replace the steps leading to the back door in accordance with the Building Code and patch the door sill. • Submit plans, obtain a Certificate of Appropriateness and permits, and pass required inspections, for the demolition of the unpermitted corrugated steel garage and construct a new 2-car garage. Year 2 • Submit plans, obtain a Certificate of Appropriateness and permits, and pass required inspections to replace the of metal framed windows with wood windows appropriate to the historic architectural style of the house. • Paint and repair exterior siding. Submit plans, obtain a permit, and obtain a Certificate of Appropriateness prior to commencing the work. • Install landscaping in front yard and side yard. Submit plans and obtain approval prior to commencing the work. Year 3 • Submit plans, obtain a Certificate of Appropriateness and permits, and obtain required inspections for repair of siding and basement cover on north side of the house. Year 5 • Repaint the exterior of the house, detached structure, and garage. Submit plans and obtain approval prior to commencing the work. According to the terms of the contract, the improvements may be completed to the satisfaction of the City no later than one (1) year following the year indicated. Contract Recordation Following contract execution, the Agreement will be recorded with the Orange County Recorder's Office and copies will be forwarded to the County Assessor and the State Office of Historic Preservation. Because Mills Act assessments are made on an annual basis, the tax benefits associated with executed contracts submitted to the County Assessor by January 1 will take effect on the following July 1 of the same year. DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F City Council Report Mills Act Program December 7, 2021 Page 6 DocuSigned by: DocuSigned by: Ln�-F�Q; ry Salman �� ^� � LJ � ,"n Ro�n�g... �D.A.`a.QA2623.85A�a... Mary Salman Justina L. Willkom Assistant Planner Community Development Director Attachments: A. Resolution No. 21-102 Exhibit A: Historic Property Preservation Agreement B. 2003 and 2021 Historical Resources Survey excerpts, 200 South B Street DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F ATTACHMENT A RESOLUTION NO. 21 -102 EXHIBIT A: HISTORIC PROPERTY PRESERVATION AGREEMENT DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F RESOLUTION NO. 21-102 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, AUTHORIZING THE COMMUNITY DEVELOPMENT DEPARTMENT TO COORDINATE, PROCESS, AND EXECUTE THE HISTORIC PROPERTY PRESERVATION AGREEMENT ATTACHED HERETO AS EXHIBIT A WITH THE OWNERS OF THE PROPERTY LOCATED AT 200 SOUTH B STREET, TUSTIN, CALIFORNIA. The City Council of the City of Tustin does hereby resolve as follows: WHEREAS, the State of California enacted the Mills Act (California Government Code Section 50820 et seq.), which authorizes cities to enter into contracts with the owners of qualified historic properties to provide for the use, maintenance, and restoration of such historical properties so as to retain their characteristics as properties of historical significance; WHEREAS, the Tustin General Plan identifies the following policies related to the preservation of historic properties: 1) Encourage the restoration and rehabilitation of properties in Tustin eligible for inclusion on the National Register of Historic Places according to the rehabilitation guidelines and tax incentives of the National Trust for Historic Preservation. 2) Preserve historically significant structures and sites and encourage the conservation and rehabilitation of older buildings, sites, and neighborhoods that contribute to the City's historic character. 3) Preserve historic and architecturally significant residential properties. 4) Retain and protect significant areas of archaeological, paleontological, or historical value for education and scientific purposes; WHEREAS, the City Council adopted Resolution No. 97-50 on June 16, 1997, and determined that the use of historic property preservation agreements in Tustin will be limited to residential properties that are not exempt from property taxation and have an "A," "B," or "C" rating in the City of Tustin Historical Resources Survey; WHEREAS, the 1990 City of Tustin Historical Resources Survey was updated in 2003, and the 2003 Survey has an updated rating system with ratings that are equivalent to the ratings in the 1990 Survey; WHEREAS, the owner of the property located at 200 South B Street has submitted an application to enter into a historic property preservation agreement with the City of Tustin; WHEREAS, the residential property at 200 South B Street qualifies for a historic DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F Resolution No. 21-102 Page 2 property preservation agreement because it has " "5D1" rating in the 2021 City of Tustin Historical Resources Survey; WHEREAS, the preservation of individual historic properties through the execution of historic property preservation agreements in Tustin would serve to maintain the historical integrity of individual structures citywide, including those within the Tustin Cultural Resources District; WHEREAS, the preservation of important resources and neighborhoods would have beneficial indirect effects on local businesses, economic stability, and community pride; and WHEREAS, pursuant to Section 15308 (Categorical Exemptions) of the California Environmental Quality Act (CEQA), historical agreements are considered categorically exempt from the requirements of CEQA. NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of Tustin authorizes the Community Development Department to coordinate, process, and execute the historic property preservation agreement attached hereto as Exhibit A with the owner of the property located at 200 South B Street, Tustin, California. PASSED AND ADOPTED at a regular meeting of the Tustin City Council, held on the 7th day of December, 2021. LETITIA CLARK MAYOR ATTEST: ERICA N. YASUDA CITY CLERK Attachment: Draft Historic Property Preservation Agreement DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F Resolution No. 21-102 Page 3 STATE OF CALIFORNIA ) COUNTY OF ORANGE ) SS CITY OF TUSTIN ) CERTIFICATION FOR RESOLUTION NO. 21-102 ERICA N. YASUDA, City Clerk and ex-officio Clerk of the City Council of the City of Tustin, California, does hereby certify that the whole number of the members of the City Council of the City of Tustin is 5; that the above and foregoing Resolution No. 21-102 was duly and regularly introduced, passed, and adopted at a regular meeting of the Tustin City Council, held on the 7t" day of December, 2021 . COUNCILMEMBER AYES: COUNCILMEMBER NOES: COUNCILMEMBER ABSTAINED: COUNCILMEMBER ABSENT: ERICA N. YASUDA CITY CLERK DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F WHEN RECORDED MAIL TO: Director of Community Development City of Tustin 300 Centennial Way Tustin, CA 92780-3767 SPACE ABOVE THIS LINE FOR RECORDER'S USE HISTORIC PROPERTY PRESERVATION AGREEMENT This Agreement is entered into this 7t" day of December, 2021, by and between the City of Tustin ("City"), a municipal corporation, and Joseph Heredia ("Owner"). RECITALS WHEREAS, pursuant to Government Code Section 50280 et seq. (the "Mills Act"), the City of Tustin is authorized to contract with the owner of a Qualified Historical Property to restrict the use of the property and to provide for its appropriate use, maintenance and rehabilitation so that it retains its historic characteristics; and WHEREAS, the City Council has approved by resolution the use of such contracts to encourage the preservation of Qualified Historical Property in the City; and WHEREAS, Owner possesses fee title to that certain property located on Assessor's Parcel Number 401-562-01, commonly known as 200 South B Street, in the City of Tustin, California ("Property"). A legal description of the Property is attached hereto, marked as Exhibit 'A" and is incorporated herein by this reference; and WHEREAS, the Property is located is listed in the City of Tustin Historical Resources Survey, which satisfies the requirements of Government Code Section 50280.1 as a Qualified Historical Property; and WHEREAS, the Property is residentially zoned and has an "A", "B", or "C" rating in the City of Tustin Historical Resources Survey, all of which satisfies the criteria established by City Council Resolution No. 97-50. WHEREAS, the City and Owner, for their mutual benefits, now desire to enter into this Agreement to limit the use of the property to prevent inappropriate alterations and ensure that the character-defining features are preserved and maintained in an exemplary manner, and to carry out the purposes of California Government Code, Chapter 1, Part 5 of Division 1 of Title 5, Article 12, Sec. 50280 et seq., and to qualify for an assessment of 1100-00013 45526_1 DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F valuation pursuant to Article 1.9, Sec. 439 et seq., Chapter 3, Part 2 of Division 1 of the California Revenue and Taxation Code. NOW, THEREFORE, based on the above recitals and the mutual promises and covenants contained herein, the parties agree as follows: AGREEMENT 1. Property Subject to this Agreement The Property which is the subject of this Agreement is identified as Assessor Parcel Number, 401-562-01, commonly known as 200 South B Street, Tustin, California. A legal description of the Property is attached hereto, marked as Exhibit "A," and is incorporated herein by this reference. 2. Definitions Except as otherwise defined herein, the following words and phrases have the following meanings: "Serve notice" means to follow the notice procedures of Section 13. "Owner" means the property owner(s) of record of the Property and includes assignees with rights of possession and successors in interest to the Owner signing this agreement. "Qualified Historical Property" means privately owned property which is not exempt from property taxation and which meets the criteria set forth in Government Code Section 50280.1 3. Commencement, Term and Renewal of Agreement A. This Agreement shall become effective on the date first above written, and unless canceled pursuant to Section 11, shall remain in effect for a term of ten (10) years. B. Each year, upon the anniversary of the effective date of this Agreement, the term shall automatically be extended for one additional year unless written notice of nonrenewal is served as provided herein. See Section 13 for procedures on service of notice. 1100-00013 45526_1 2 DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F C. If Owner or City desires in any year not to renew this Agreement, such party shall serve written notice of nonrenewal on the other party. (1) If served by Owner, notice of renewal must be served on City at least ninety (90) days prior to the annual renewal date. (2) If served by City, notice of renewal must be served on Owner at least sixty (60) days prior to the annual renewal date. (3) Failure to meet the notice deadlines above will result in one year being automatically added to the term of this Agreement. D. Within fifteen (15)calendar days of the date of the City's notice of nonrenewal, Owner may make a written protest to the City. (1) Upon receipt of such protest, the City Council shall schedule a hearing on the matter prior to the annual renewal date. (2) At such hearing, Owner may present any information which Owner deems relevant. (3) Based on Owner's protest and the information presented at the hearing, the City Council may withdraw the City's notice of nonrenewal at any time prior to the annual renewal date. E. Any notice of nonrenewal which has not been withdrawn prior to the next annual renewal date, shall be recorded with the Orange County Recorder. F. After the annual renewal date, the parties may agree at any time, by written and recorded instrument, to reinstate the ten-year term of this Agreement and renewal provisions hereof. G. Unless this Agreement is otherwise canceled as provided in Section 11, after notice of nonrenewal has been served and not withdrawn, this Agreement shall remain in effect for the balance of the term remaining, including any prior renewal term. 4. Recordation of Agreement The City Clerk shall record this Agreement with the Orange County Recorder within twenty (20) days of its execution by both parties. 1100-00013 45526_1 3 DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F 5. Notice to Office of Historic Preservation Owner shall provide, or cause to be provided, written notice of this Agreement to the State Office of Historic Preservation within six months of the effective date of this Agreement, which is June 7, 2022. The City shall provide owner with the applicable address. 6. Standards and Conditions for Maintenance of Property The Property shall be subject to the standards and conditions set forth in Exhibit "B", which is attached to this Agreement and incorporated herein by this reference. Owner shall comply with the standards and conditions set forth in Exhibit "B". 7. Periodic Examination of Property Upon prior notice, Owner shall allow the reasonable periodic examination of the interior and exterior of the premises of the Property by representatives of City, the Orange County Assessor, the State Department of Parks and Recreation, and the State Board of Equalization, as may be necessary to determine Owner's compliance with the terms of this Agreement. 8. Furnishing Information Owner shall furnish City with any and all information requested by City, which may be necessary or desirable to determine Owner's compliance with this Agreement. 9. Enforcement of Agreement In lieu of and/or in addition to any provisions to cancel this Agreement, City may bring an action in court to enforce this Agreement, including, but not limited to, an action to enforce this Agreement by specific performance or by injunction. If the City determines there is a violation of the provisions of this Agreement by Owner, and City decides to enforce rather than cancel the Agreement, City shall send written notice to Owner in accordance with Section 13. If such violation is not corrected to the reasonable satisfaction of the City within thirty (30) days after the date the notice of violation is sent by mail, or within such longer period of time as specified or agreed to by City, then City may, without further notice, declare a default under the terms of this Agreement and bring any action necessary to specifically enforce the obligations of Owner under this Agreement, including, but not limited to, bringing actions for specific performance or injunctive relief. 1100-00013 45526_1 4 DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F 10. Binding Effect on Successors and Assigns/Covenants Run with the Land A. This Agreement is binding upon and inures to the benefit of all successors in interest to Owner, to Owner's assigns and all person acquiring any part or portion of the Property, whether by operation of law or otherwise. B. The Owner hereby subjects the Property to the covenants, reservations and restrictions as set forth in this Agreement, including Exhibit "A". City and Owner hereby declare their specific intent that the covenants, reservations and restrictions as set forth herein shall be deemed covenants running with the land and shall pass to and be binding upon the Owner's successors and assigns in title or interest to the Property. Each and every contract, deed or other instrument hereinafter executed, covering or conveying the Property, or any portion thereof, shall conclusively be held to have been executed, delivered and accepted subject to the covenants, reservations and restrictions expressed in this Agreement regardless of whether such covenants, reservations and restrictions are set forth in such contract, deed or other instrument. City and Owner hereby declare their understandings and intents that the burden of the covenants, reservations and restrictions set forth herein touch and concern the land in that the value of the Owner's legal interest in the Property may be affected thereby. City and Owner hereby further declare their understandings and intents that the benefit of such covenants, reservations and restrictions touch and concern the land by enhancing and maintaining the historic characteristics and significance of the Property for the benefit of the public and Owner. 11. Cancellation of Agreement A. City may cancel this Agreement if it determines, after a duly noticed public hearing as provided herein, that Owner has committed any of the following acts: (1) Owner has failed to maintain, restore or rehabilitate the Property in accordance with the terms, standards and conditions set forth in Exhibit "B". (2) Owner has allowed the Property to deteriorate to the point that it no longer meets the City's standards for a Qualified Historical Property. (3) Owner has violated one or more provisions of this Agreement. 1100-00013 45526_1 5 DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F An Owner who does not occupy the Property, shall, nevertheless be responsible at all times under this Agreement, for the condition of the Property and compliance with this Agreement. B. City shall serve written notice of proposed cancellation on Owner stating the grounds for cancellation and setting a public hearing date on the matter. Notice of the hearing shall also be sent by U.S. mail to the last known address of each owner of Qualified Historical Property in the City, and shall be published pursuant to Government Code Section 6061. C. Upon cancellation of this Agreement as provided in Subsection A, above, Owner shall pay a cancellation fee of 12'/2 percent of the full value of the Property at the time of cancellation, as determined by the County Assessor without regard to any restriction on the Property imposed by this Agreement. The cancellation fee shall be paid to the State Controller in the manner prescribed by the State Controller. D. City may also cancel this Agreement, at Owner's request, if the Property is acquired in whole or in part by eminent domain or by an entity authorized to exercise the power of eminent domain, and if City determines that such acquisition frustrates the purpose of this Agreement. Under these circumstances, no cancellation fee shall be imposed upon Owner. E. City may also cancel this Agreement, at Owner's request, if so much of the Property has been destroyed, in whole or in part and that, in the sole opinion of the City, the historic value of the Property has been destroyed. Under these circumstances, no cancellation fee shall be imposed upon Owner. City may cancel this Agreement, at Owner's request, if the Property is damaged by fire, earthquake, or other Act of God or accidental cause to the extent that (1) the then fair market value of the structure is reduced by 51 percent or more; or (2) 51 percent or more of the structure's floor area is destroyed or irreparably damaged; or (3) 51 percent or more of the structure's historic features are destroyed or irreparably damaged; or (4) the cost to the Owner (exclusive of insurance proceeds) to restore the structure to its prior condition would exceed $10,000.00. Owner shall reimburse City for all expenses incurred by City in determining the extent of damage or destruction. If the Owner desires to cancel this Agreement under this Section, written notice shall be given to the City within 90 days after such damage or destruction occurs. In the event the Owner desires to cancel this Agreement due to the circumstances outlined above, owner or City may request a hearing before the City Council to determine (a) the extent of diminution of value, (b) the extent of the damage or destruction to the floor area of said Structure, and/or (c) extent of damage or destruction to the character defining features of said structure. 1100-00013 45526_1 6 DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F 12. Waiver The waiver by City of the performance of any covenant or condition of this Agreement shall not be considered a waiver of subsequent performance of that or any other covenant or condition of this Agreement. 13. Notice Any notice required to be given pursuant to this Agreement shall be sent by certified mail, postage prepaid, return receipt requested, addressed as follows or addressed as later specified by either party: To City: City of Tustin Community Development Department Attn: Director of Community Development 300 Centennial Way Tustin, CA 92780 To Owner: Joseph Heredia 200 South B Street Tustin, CA 92780 Notice shall be deemed sent or "served" upon the date of deposit in the United States Mail. 14. Fee to Administer Mills Act Program At the time established by City Council resolution, Owner shall pay City a fee, established by City Council resolution, pursuant to Government Code Section 5028.1. This fee is to cover City's costs of administering the Mills Act Program in the City. 15. Defense, Indemnification and Hold Harmless A. Owner shall defend, indemnify and hold harmless City, its officials, employees, and agents against and from all claims arising from Owner's performance under this Agreement, or from any activity, work, or omissions by Owner or caused by Owner in connection with this Agreement. B. Owner shall further defend, indemnify and hold harmless City, its officials, employees, and agents against and from all costs, attorneys' fees, and liabilities incurred in the defense of any such claim or any action or proceeding 1100-00013 45526_1 7 DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F brought thereon. In case of any action or proceeding brought against City by reason of such claim, Owner, upon notice from City, shall defend same at Owner's sole expense by counsel satisfactory to City. 16. Entire Agreement This Agreement and the Exhibit attached hereto constitute the entire agreement between the parties with respect to the subject matter hereof and supersede all prior discussions, negotiations, and agreements whether oral or written. 17. Amendment This Agreement shall only be amended by written instrument, signed by both parties and recorded in the Office of the Orange County Recorder. 18. Miscellaneous Provisions A. None of the terms, provisions or conditions contained in this Agreement shall be deemed to create a partnership, a joint venture, or a joint enterprise between the parties hereto. B. This Agreement shall be construed in accordance with the laws of the State of California. C. In the event that any of the provisions of this Agreement are held to be unenforceable or invalid by a Court of competent jurisdiction or by subsequent preemptive legislation, the validity and enforceability of the remaining provisions shall not be affected. D. Owner understands that it is Owner's responsibility to apply for the reassessment of valuation afforded by this Agreement pursuant to Chapter 3, Part 2, of Division 1 of the California Revenue and Taxation Code. 19. Authority to Enter Agreement Each person executing this Agreement warrants that they have the authority to enter into this Agreement on behalf of the party for whom they sign. 1100-00013 45526_1 DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first written above. CITY OF TUSTIN By: Approved as to Form David Kendig City Attorney Owner Date: By: SIGNATURES ARE TO BE NOTARIZED IF THIS CONTRACT IS PROPOSED TO BE SIGNED BY THE PROPERTY OWNER'S AGENT, THE CITY WILL REQUIRE WRITTEN EVIDENCE OF THE AGENT'S AUTHORITY TO ENTER INTO THIS AGREEMENT ON BEHALF OF THE OWNER. THE WRITTEN EVIDENCE MUST BE REVIEWED AND APPROVED BY THE CITY ATTORNEY. 1100-00013 45526_1 9 DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F EXHIBIT "A" LEGAL DESCRIPTION Lot 6 of Tract No. 793, in the City of Tustin, County of Orange, State of California, as per map recorded in Book 4 Page 218 of Miscellaneous Maps, in the office of the County Recorder of said County. 1100-00013 45526_1 10 DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F EXHIBIT "B" HISTORICAL PROPERTY PRESERVATION TERMS, STANDARDS AND CONDITIONS 1 . To have a baseline for comparison when future maintenance or alterations are being evaluated and for reconstruction of portions in the event of a disaster, Owner shall create a black and white 35 mm photographic portfolio showing all elevations of all buildings and structures from at least three angles, all character-defining exterior details, and historic interior details or other details of special interest. A copy of the portfolio shall be submitted to the Community Development Department within one year of the effective date of this Agreement. All structures, the entire grounds, and all major landscape features shall be included in the portfolio and copies of existing site plans, floor plans, architectural elevations and historical photographs that may be in Owner's possession. 2. Owner shall preserve, maintain, and, where necessary, restore or rehabilitate Property and its character-defining features, notably the general architectural form, style, materials, design, scale, proportions, organization of windows, doors, and other openings, textures, details, mass, roof line, porch and other aspects of the appearance of the exterior to the satisfaction of City. 3. All changes to Property and any structures thereon shall comply with applicable City specific plans, City regulations and guidelines, and conform to the rules and regulations of the Office of Historic Preservation of the California Department of Parks and Recreation, the U.S. Secretary of the Interior's Standards for Rehabilitation and the State Historical Building Code. Interior remodeling shall retain character-defining features to the greatest extent possible. 4. City shall be notified by Owner of changes to character-defining exterior features prior to their execution, such as major landscaping projects, exterior door replacement or exterior alterations requiring a building permit. 5. City shall be notified prior to the repair and rehabilitation of any structure on the Property. 6. The following are prohibited without the prior written consent of the City: Demolition of any structure on the Property. Exterior alterations or additions not in keeping with the standards listed above; 1100-00013 45526_1 11 DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F 7. The following are prohibited at any time: Dilapidated, deteriorating or unrepaired structures such as fences, roofs, doors, walls and windows; Storage of scrap lumber,junk, trash, debris, discarded or unused objects such as cars, appliances or furniture; Stagnant water and unfilled excavations; Any other device, decoration, structure or vegetation which is unsightly by reason of its height, condition or inappropriate location, as determined by City. 8. Landscaping shall be maintained in a manner so as to enable the public to see the historic features of the Property from the street and shall be watered and maintained in accordance with recognized landscaping practices. 9. Owner shall make improvements to the property as described in the following schedule for repair and rehabilitation, unless changes to the schedule are approved in writing by the City and Owner. Year 1 • Submit plans, obtain a Certificate of Appropriateness and permits, and pass required inspections to remove unpermitted enclosed porch on the front of the house. • Submit plans, obtain a Certificate of Appropriateness and permits, and pass required inspections to remove existing steps and construct new steps to access the front door, in accordance with the Building Code. • Submit plans, obtain a Certificate of Appropriateness and permits, and pass required inspections to remove and replace the steps leading to the back door in accordance with the Building Code and patch the door sill. • Submit plans, obtain a Certificate of Appropriateness and permits, and pass required inspections, for the demolition of the unpermitted corrugated steel garage and the construct a new 2-car garage. Year 2 • Submit plans, obtain a Certificate of Appropriateness and permits, and pass required inspections to replace the of metal framed windows with wood windows appropriate to the historic architectural style of the house. 1100-00013 45526_1 12 DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F • Paint and repair exterior siding. Submit plans, obtain a permit, and obtain a Certificate of Appropriateness prior to commencing the work. • Install landscaping in front yard and side yard. Submit plans and obtain approval prior to commencing the work. Year 3 • Submit plans, obtain a Certificate of Appropriateness and permits, and obtain required inspections for repair of siding and basement cover on north side of the house. Year 5 • Repaint the exterior of the house, detached structure, and garage. Submit plans and obtain approval prior to commencing the work. 10. Owner shall provide the City with a written annual report which specifies actions taken by Owner to fulfill the requirements of the Agreement. The annual report shall be submitted to the City on an annual basis at times specified by the City. 1100-00013 45526_1 13 DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F ATTACHMENT B 2003 AND 2021 HISTORICAL RESOURCES SURVEY EXCERPTS, 200 SOUTH B STREET DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F F 204 B STREET (S) { i i yy i l{ � f r i i See following pages for property information DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F State of Cal€fomia--Tho Ftasoureae Agency Primary # DEPARTMEW OF PARKS AND RECREATION HRl# BUILDING, STRUCTURE,AND OBJECT RECORD i Pagel of 1 *NRNP Status Code:501 *Resource Name or 0(52);200 B Street(S) St. Historic Name: of Common Name: B3, Original Use.Residential B4, Present Use:Residential *M Architectural Style:California Bungalow *El& Construction History: (Conshuction date,alterations,and date of Wwa iom) Alton and Leona Aldcmvt owners of the'Tustin Hardware Company,had this single skaried California Bungalow style building constrt ed in 1923. ! *87. Moved? X No ❑Yes ❑Uakno m Date: Original Location. *11$. Related Features: B9a. Architect;unknown b,Builder.unknown *1310. Significance: Theme:Residential Architecture. Area:Santa Ana Tustin,CA Period of Significance: 19W 1945 :Property Typo:Residential Applicable Criteria:C (Discuss importance in terms of hi uwkal or wchkeetoral c omwa as d&wd by drame,period,and geographic scope. Also address integrity.) This building is significant as an example of Craftsman Bungalow style in Tustin. The home has retained much of its integrity and contributes to the historic streewAx of South.8 Street. Additionally,this home is significant because of its large yard,wide fat,and trees. For example,a very large Eugenia(or Australian Brush Cherry) stands in the front yard. Theberries were traditionally used to make jelly. manias are typically found as a hedge;it is ur amW to see one as a specimen pleat. The building's character defining features include,but are not limited to: * row of glass windows with rectangular hansoms at the porch * offset porch gable is clavi in alterttatitig wide and narrow ver"boards,matching the main front facing.gable of the house * cladding in medium width clapboards,and stucco clad elephantine porch piers,a large plate glass window with plain transom above with double hung sidelights,and double hung windows single clapboard clad garage matching the house is located in the back 811, Additional Resonree Attributes:(HP2"ingle Famiiy Property *B12. References:City of Tnsdn HtVorkd Survey,dtirtieth street archipects, inn.,June 1990;First Amorimn Title Company Records;Directories;Jordan, (Sketch Map with north arrrow required.) ! Carol H.,The L4nrlra4rk Treea of Tustin,Tustin Area Historical Society. SECONDSTMT i 1313. Remarks R ttpp •� 3" * m 814. Evaluator:TBAW,C.Jordan *Date of evaluation;Oct 2002 a! TUM I E rip 9CIE WL AOili11�'1 (This space reserved for official comments.) +�Imp SST ai Q SUY � aaa t� r alt � DPR 5238(1195) *Required information i DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F ADDRESS: DA,TXs j 1;923 i CAL WORNIA$M1 MW t �' SOURCE; RATING: T C f ALTERATIONS- m WSTORIM DISTRICT., z- - D2SCRIPTIONt The font porgy of the zjue*4tmW California Bungalow at tha oxna of B sod 2hd Street+ has ban aualased with L slow of plait glass windows tapped with x=wgular ttaasotos. The offset patch pAlm,dad i4 altaaa wido aAd Amoy rnstictd bsaec ir, matches as main fmnt•fadag.S"of the hoose, Tho hoasa L dad In mWWra-width dqkosak. The aminal stn=-dad akpbtaslna pamb pions We bow imnpumW into the daftu for We pmtL A htiga plata g%a wiabw,with a pWm u atota abova and dooblo-hung xWdWw, is l"aW to the north of the andowd porch. Dad6la-baus whWmn ace wed dm ghoot the >a«of than honsaA ffrt-noaW addition ptajeds fittpn tba buck of the IM&We of do haasa The cads of do pfaalaroof ancad from tit:wafiiae. A single lR"My mad g=e, whkb maw tlia boom,is loamad at dw bait,sad is raterad off of SwovA Stmac., 'This baose has added segW04ance beaMe of 60 Urgta Pard.Vis,wlaa tat and aiddxahioaed cottnrxy wog. I SICNEPICANCEz I� Man cad Leaoa Aldattuau, dna ownars of the Tustin Hsadwam Campany, built this bungalow in 1923, and ntovod.fiats thaiz; pmvious hut»a on Woloat Wey is Tustin. They continued to own the hoose until 1439. Alton diad fn WA Leona Afdetmma j �cuted the bo=a out until she sold it to Robed 0. cad Ann E lmom in.932 Ha wa an employee of the atista Company. 0. wall-ftnawo ttsaor aid egttipmattt sales a%aWzatfon. They coatinlpad to live m the Noma for savaml Yom. 'Ulan boon:it in very good.coadi6n, is a good ea m*z of a California Hangalorv, and cnitribatt s to she histotio streebmpe of.South 8 Stt=et. i i I i II i DocuSign Envelope ID:4361 FBF8-60BE-45BB-937C-4ACCC391 DA4F State of California---The Resources Agency Primary# DEPARTMENT OF PARKS AND RECREATION HRI PRIMARY RECORD Trinomial# NRHP Status Code 5DI Other Listings Review Code Reviewer Date *Resource Name or#(Assigned by recorder)200 S B Street P1.Other Identifier:Element of City of Tustin Cultural Resources District *P2.Location: F Not for Publication 7 Unrestricted *a.CountyOrange and(P2c, Pte,and P2b or Ptd.Attach a Location Map as necessary.) *b.USGS 7.5'Quad Date T ;R 114 of 114 of Sec B.M. c.Address 200 S B Street City Tustin Zip 92780 d.UTM:(Give more than ane for large and/or linear resources)Zone mE/ mN e.Other Locational Data: (e.g., parcel#,directions to resource,elevation,etc.,as appropriate) APN 40156201 *P3a.Description: (Describe resource and its major elements. Include design,materials,condition,alterations,size,setting and boundaries) Evaluation: District contributor Primary Architectural Style: Craftsman Property Type: Residential-Single-family Alterations:Windows Replaced-Some, Secondary facade, Incompatible;Other Alterations-Garage altered/replaced, Roof material replaced(compatible), Security door added, Porch enclosed with glazing(possib4y within the period of significance) *P3b.Resource Attributes:(List attributes and codes) HP2.Single family property *P4.Resources Present: V Building F Structure F Object r Site f"'District 17 Element of District r Other: `P5a. Photograph or Drawing(Photograph required for buildings,structures,or objects) P5b. Description of Photo:(view,date, accession#)View west. 11/05/2020 *P6.Date Constructed/Age and Sources: I•J Historic F Prehistoric F Both 1919(Deed via Tustin Preservation Conservancy 2017) 9 *P7.Owner and Address: Not Recorded �` • __ *PB.Recorded by:(Name,affiliation,and address)Mary Rin hoff R FKy,EmQlyn Na'ora.Architectural Resources Group,3G0 E. 2nd Street.Suite 225 Los Anoeles,CA 90012 *P9. Date Recorded: 11/05/2020 *P10.Survey Type:(Describe) y=� A Intensive r Reconnaissance *P11.Report Citation:(Cite survey report and other sources or enter"none".)ARG. "City of Tustin Citywide Historic Resources Survey t Update Report"(ore2ared far the City of Tustin. 2021). *Attachments: F None r Location Map F Sketch Map F Continuation Sheet I—Building,Structure&Object Record r Archaeological Record W District Record F Linear Feature Record F Milling Station Record F Rock Art Record r Artifact Record F Photographic Record F Other(List) DPR 523A(1/95) Required Information