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2003-116 - Making Findings And Approvals Required By The California Environmental Quality Act In Connection With The Negative Declaration Prepared For The Adoption Of The Amendment To The Redevelopment Plan For The Central Los Gatos Redevelopment ProjectRESOLUTION 2003 -116 CONCURRENT RESOLUTION OF THE TOWN COUNCIL AND REDEVELOPMENT AGENCY OF THE TOWN OF LOS GATOS MAKING FINDINGS AND APPROVALS REQUIRED BY THE CALIFORNIA ENVIRONMENTAL QUALITY ACT IN CONNECTION WITH THE NEGATIVE DECLARATION PREPARED FOR THE ADOPTION OF THE AMENDMENT TO THE REDEVELOPMENT PLAN FOR THE CENTRAL LOS GATOS REDEVELOPMENT PROJECT AREA WHEREAS, the Town of Los Gatos (the "Town "), serving as "lead agency" under the California Environmental Quality Act and the applicable state and local implementing guidelines ( "CEQA "), has prepared a negative declaration (the "Negative Declaration ") that has evaluated the proposed Amendment to the Redevelopment Plan for the Central Los Gatos Redevelopment Project Area (the "Plan Amendment "); WHEREAS, the Redevelopment Agency of the Town of Los Gatos (the "Agency') has served as a "responsible agency" under CEQA in connection with processing and consideration of the Negative Declaration; WHEREAS, the Negative Declaration, a copy of which is on file with the Town Clerk and Agency Secretary, has served as the CEQA documentation for consideration and approval of the Plan Amendment; WHEREAS, the Town Council and Agency have reviewed the Negative Declaration and the proposed Plan Amendment; and WHEREAS, the sole purpose of the Plan Amendment is to extend the deadline for commencement of eminent domain proceedings by the Agency within the Central Los Gatos Redevelopment Project Area (the "Project Area ") by twelve (12) years; and WHEREAS, by staff report accompanying this Resolution and incorporated into this Resolution by this reference (the "Staff Report "), the Town has been provided with additional information upon which the findings and actions set forth in this Resolution are based, including any public comment received on the Negative Declaration. 1151\01\171942.1 NOW, THEREFORE, BE IT RESOLVED THAT the Town Council and Agency certify their review and consideration of the Negative Declaration, and any public comments received thereon, in accordance with CEQA, and state their intention that the Negative Declaration serve as the environmental documentation for the Town Council's consideration of the Plan Amendment in compliance with CEQA. BE IT FURTHER RESOLVED THAT the Town Council, as Lead Agency, hereby finds and determines, based on the whole record before it (including the Negative Declaration, the initial study and any comments received) that there is no substantial evidence that the Plan Amendment will have a significant effect on the environment and that the Negative Declaration reflects the Town Council's independent judgement and analysis. BE IT FURTHER RESOLVED THAT the Agency, as a Responsible Agency, hereby finds and determines that the Negative Declaration adequately addresses the environmental issues pertaining to the Plan Amendment and property concludes that the Plan Amendment will not have a significant effect on the environment. BE IT FURTHER RESOLVED THAT the Town Council and Agency approve and adopt the Negative Declaration. BE IT FURTHER RESOLVED THAT the Town Clerk shall be the custodian of the record upon which the Town's findings and approvals herein are based, and that some record shall be held at the office of the Town Clerk located at: Civic Center, 110 E. Main Street, Los Gatos, California. BE IT FURTHER RESOLVED THAT the Town Clerk and the Agency Executive Director are hereby authorized and directed to file a Notice of Determination in accordance with 14 Cal. Code of Regulations, Section 15075, evidencing the Town's and Agency's use of the Negative Declaration in connection with the Plan Amendment. BE IT FURTHER RESOLVED THAT, based on the information and analysis set forth in the Negative Declaration, there is no evidence that the Plan Amendment would have any 1151\01\171942.1 potential for adverse impact on wildlife resources, and, therefore, a certificate of fee exemption will be submitted with the notice of determination filed in connection with the Plan Amendment, as required by Public Resources Code Section 21089. PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of Los Gatos and the Redevelopment Agency of the Town of Los Gatos held on the 6th day of October, 2003 by the following vote: COUNCIL /AGENCY MEMBERS AYES: Steve Glickman, Diane McNutt, Joe Pirzynski, Mike Wasserman, Mayor Sandy Decker. NAYS: None ABSENT: None ABSTAIN: None dAYOR/ AIR OF THE REDEVELOPMENT OF THE TOWN OF LOS GATOS LOS GATOS, CALIFORNIA ATTEST: TOWN CLERYUSECRETARY O HE REDEVELOPMENT AGENCY OF THE TOWN OF LOS GATOS LOS GATOS, CALIFORNIA 11 51\01 \171942.1 3 MEETING DATE: 10/6/03 �oWN , ITEM NO. zw 4.t COUNCIL/REDEVELOPMENT AGENCY AGENDA REPORT DATE: SEPTEMBER 29, 2003 TO: MAYOR AND TOWN COUNCIL/REDEVELOPMENT AGENCY BOARD FROM: DEBRA J. FIGONE TOWN MANAGER/EXECUTIVE DIRE OR SUBJECT: JOINT PUBLIC HEARING OF THE REDEVELOPMENT AGENCY AND THE TOWN COUNCIL OF THE TOWN OF LOS GATOS ON TIIE SECOND AMENDMENT TO THE REDEVELOPMENT PLAN FOR THE CENTRAL LOS GATOS REDEVELOPMENT PROJECT AREA AND CONSIDERATION OF NEGATIVE DECLARATION RECOMMENDATION: 1. Open and hold the public hearing and receive public testimony; 2. Close the public hearing; 3, Adopt the concurrent resolution (Attachment 1) making findings and approvals required by CEQA in connection with the negative declaration prepared for the adoption of the amendment to the Redevelopment Plan; 4. Move to waive the reading of the ordinance; 5. Direct the Clerk to read the title of the ordinance; 6. Introduce the ordinance (Attachment2) to amend the Redevelopment Plan for the Central Los Gatos Redevelopment Project Area. BACKGROUND: The Town of Los Gatos formed a redevelopment area in 1991 as a means to rebuild infrastructure in the downtown area following the devastating Loma Prieta Earthquake in 1989. Some recent projects that have been financed by the Redevelopment Agency include the reconstruction of the Town Plaza Park; downtown storm drains, sidewalks, landscaping and streetscape improvements; parking improvements; new street banners and a contributionto the new community swimming pool PREPARED BY: Marty Woodworth0�—C Redevelopment and Economic Vitality Director Reviewed by: Assistant Town Manager own Attorney Clerk Finance ommunity Development Revised: 9/29/03 5:41 pm Reformatted: 5/30/02 PAGE 2 MAYOR AND TOWN COUNCIL/REDEVELOPMENT AGENCY BOARD SUBJECT: JOINT PUBLIC HEARING ON REDEVELOPMENT PLAN AMENDMENT September 29, 2003 at Los Gatos High School. In addition, as required by Redevelopment Law, the Agency has worked to create affordable housing in Los Gatos including the 12 unit rental project on Miles Ave., a Habitat for Humanity house on Charles St., and most recently, a five unit home for very low- income seniors on Blossom Hill Rd. These projects are paid for with tax increment revenues which result in no increase in taxes for Los Gatos property owners. DISCUSSION The purpose of the proposed Redevelopment Plan Amendment is to extend the deadline for commencement of eminent domain proceedings by the Agency within the Central Los Gatos Redevelopment Project Area by 12 years. Redevelopment Law limits eminent domain authority to 12 year increments. As such, each redevelopment agency must amend their plan every 12 years to maintain this authority. The current Redevelopment Plan has authorized a limited power of eminent domain (condemnation) within the Project Area since its adoption in 1991. The Plan Amendment would extend for an additional twelve years the Agency's power of eminent domain in exactly the manner it currently exists. Both the current Plan and the proposed Plan Amendment expressly prohibit the Agency from using the power of eminent domain to acquire single family residential dwellings which are located upon R -1 (Single Family Residential) and R -11) (Single - Family Residential Downtown) zoned properties as defined by the Los Gatos Zoning Ordinance as of December 25,1991(the date the Redevelopment Plan became effective). It should be noted that the Agency has not used its power of eminent domain to date and has no current plans to acquire particular properties. However, the power of eminent domain remains a tool that may be needed 'in the future to cant' out the goals and objectives of the Redevelopment Plan. The use of this tool would be limited and used only as a last resort toward a project of greater community benefit. Staff has initiated a process in order to complete the Plan Amendment and extend the Agency's eminent domain authority by the end of this calendar year. This process has included the following actions: On August 18, 2003 the Town Council/Redevelopment Agency Board adopted a resolution setting October 6, 2003 as the date for a joint public hearing to considered the Plan Amendment. On September 10, 2003 the Planning Commission adopted the attached resolution recommending to the Town Council that the Negative Declaration is adequate; that the proposed Plan Amendment conforms to the General Flan, and; forwarding a report and recommendation to the Town Council. Extensive notification was given as required by Redevelopment Law including mailing first class mail notices to all property owners and occupants in the Redevelopment Project Area (approximately 3000 notices), publication of notice ! for four consecutive weeks in a newspaper of general circulation, and; notification by certified mail to all affected taxing entities. This notice provided information on the Plan Amendment and the community meeting held on September 23, 2003 and the joint public hearing scheduled for October 6, 2003. PAGE 3 MAYOR AND TOWN COUNCIL/REDEVELOPMENT AGENCY BOARD SUBJECT: JOINT PUBLIC HEARING ON REDEVELOPMENT PLAN AMENDMENT September 29, 2003 • As required by Redevelopment Law, a community meeting was noticed and held on September 23, 2003 in order to explain the proposed plan amendment and answer questions that property owners and occupants may have. Approximately 8 people attended this meeting and the sign in sheet and minutes for the meeting are attached. Concern from two commercial property owners and one townhouse owner was expressed concerning the eminent domain extension. Staff explained to those attending that the Agency would only consider using eminent domain in extreme circumstances, and only after extensive efforts to negotiate a voluntary sale of property failed. Staff further explained that the Agency has not used this power in the past 12 years and has no present plans to use it. Staff explained that the Los Gatos Redevelopment Plan calls for the reconstruction of infrastructure in the downtown area, and this is the primary role of the Agency, as well as providing affordable housing. Should the Agency need to acquire property the most likely use would be to provide additional parking or access to properties. Staff explained that property acquisition is very expensive and that the Redevelopment Agencys resources are very limited. $10 million in OOP's (bonds) were sold in July, 2002 to finance the infrastructure improvements downtown. It is unlikely that the Agency will have sufficient revenues to issue additional bonds for projects for another 5 to 10 years. In addition, the State of California continues to require ERAF payments byredevelopment agencies statewide, thereby reducing revenues for projects. Los Gatos will have an ERAF payment of approximately $209,000 for FY 2003/04. In summary, "staff explained that the likelihood of the Agency using its eminent domain power is low, however, it remains a tool that the Agency feels that it is important to retain. As of the date of this report, staff has received two letters of opposition. The letter from Charles Reed is attached and requests that the Bella Vista Village Residential Homes be exempted from the provisions of eminent domain. Staff has spoken with Mr. Reed and an attorney representing the homeowners in this development and explained that the Redevelopment Plan does not contemplate any actions in this area there is no reason why the Agency would utilize its power of eminent domain in this area. This is a new townhouse development that generates substantial property tax revenues for the Agency and the development is consistent with the zoning and General flan for the area. Mr Reed also attended the above referenced community meeting. The attached letter from Raymond and Pearl Nelson (they own, the building at 108 N. Santa Cruz Ave.) requests that the power of eminent domain for the Agency not be renewed. They are concerned about the Agency wanting to acquire their property. t Staff has met with Mr. Nelson and indicated that his building fronts Santa Cruz Ave. and fits in with the downtown and maintains the retail continuity along Santa Cruz Ave. Staff does not believe this property would ever be needed or be appropriate for public parking or other public uses. The Nelson's also attended the above referenced community meeting. PAGE 4 MAYOR AND TOWN L SUBJECT: JOINT PUBLIC HEARING ON REDEVELOPMENT PLAN AMENDMENT September 29, 2003 CONCLUSION: The Agency's power of eminent domain will expire on Decem through a process of a Plan Amendment. Staff has initiated a plat eminent domain authority for a period of 12 years. This pros notification and an opportunity for concerned property owners 83 project area to be heard. As of the date of this report, there has property owners. Staff has made every effort to explain to the Agency and address their concerns. However, staff is aware property owners. As noted, the Plan Amendment is solely for the purpose of extern authority and does not change any of the goals and objectives, E Los Gatos Redevelopment Plan. Both the current Plan and the pr( prohibit the Agency from using the power of eminent domain t dwellings that are located upon R -1 (Single Family Residi Residential Downtown) zoned properties. The Agency has not to date and has no current plans to acquire particular propertie, domain remains a tool that may be needed in the future to carry Redevelopment Plan. The use of this tool would be limited and project of greater community benefit. ENVIRONMENTAL ASSESSMENT: A Negative Declaration has been prepared for this project. FISCAL IMPACT: 25, 2003 unless it is extended .Rendment process to extend the has involved extensive public occupants in the redevelopment -n concern expressed by several the role of the Redevelopment .at concern still exists by these ing the Agency's eminent domain iancing or other provisions of the posed Plan .Amendment expressly > acquire single family residential ntial) and R- ID (Single- Family ased its power of eminent domain , However, the power of eminent gut the goals and objectives of the used only as a last resort toward a The approval of the proposed plan amendment will have not direct fiscal impact on the Town or the Redevelopment Agency. PAGE 5 MAYOR AND TOWN COUNH IL G ON REDEVELOPMENT AMENDMENT SUBJECT: JOINT PUBLIC September- 29, 2003 Attaclunents: 1. Concurrent Resolution making findings and approvals required by CEQA in connection with the Negative Declaration that has been prepared for the project 2. Ordinance approving and adopting the Second Amendment to the Redevelopment Plan for the Central Los Gatos Redevelopment Project Area 3. Report on the Second Amendment to the Redevelopment Plan for the Central Los Gatos Redevelopment Area 4, Environmental Checklist Form and Negative Declaration 5, Letter(s) of correspondence received concerning the Plan Amendment 6. Supplement to the Report on the Second Amendment to the Redevelopment Plan for the Central Los Gatos Redevelopment Project Area, which 14' eludes the following: A. Report and recommendation of the Planning Commission adopted on September 10, 2003 B. Copies of notice of Joint Public Hearing C. List of attendees at September 23, 2003 community meeting and minutes from the community meeting D. Notice to Taxing Entities N: \DEV\ Marty\ eminentdomain2003 \councilreportoct6O3.wpd