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Staff ReportPREPARED BY : MATT MORLEY Director of Parks and Publ ic Works Reviewed by: Assistant Town Manager Town Attorney Finance C:\Users \slombardo \Downloads \Staff_Report_-_Declare_Venue_Property_as_Surplus_V2_MM.doc 9/2/2016 11:33 AM V2 MM MEETING DATE: 09 /0 6 /16 ITEM NO : 2 COUNCIL AGENDA REPORT DATE: AUGUST 18, 2016 TO: MAYOR AND TOWN COUNCIL FROM: LAUREL PREVETTI , TOWN MANAGER SUBJECT: ADOPT A RESOLUTION : A. DECLARING CERTAIN REAL PROPERTY AT 4 NEW YORK AVENUE APN 5 29 -27 -024 SURPLUS TO THE NEEDS OF THE TOWN . B. DIRECTING STAFF TO CONDUCT NOTIFICATION REQUIREMENTS PURSUANT TO CALIFORNIA GOVERNMENT CODE §54222. C. DIRECTING STAFF TO E XPLORE OPPORTUNITIES FOR SALE OR LEASE OF THE PROPERT Y SUBSEQUENT TO COMPLE TION OF THE REQU IRED NOTIFICATIONS. RECOMMENDATION : Adopt a resolution (Attachment 1): 1. Declaring certain real property at 4 New York Avenue APN 529 -27 -024 (Exhibit 1 to Attachment 1 ) s urplus to the needs of the Town. 2. Directing staff to conduct notification requirement s pursuant to California Government Code §54222. 3. Directing staff to explore opportunities for sale or lease of the property subsequent to completion of the required notifications. BACKGROUND : The property at 4 New York Avenue is an irregularly shaped par cel situated behind the Los Gatos High School and Highway 17. The property consists of approximately 0.67 acres assembled in 1990 from adjacent lots and right of way. The property is encumbered with multiple easements for access and utilities. On the p roperty is a 3,700 square foot building that has been utilized by the Town as a youth serving facility and has been known as “The Venue” and “A Place for Teens.” At the February 12, 2015 Council Meeting, the Council authorized the Youth Commission to is sue a Request for Proposals (RFP) for use of the Venue. Subsequently, at the June 2, 2015 Council Meeting, PAGE 2 MAYOR AND TOWN COUNCIL SUBJECT: SURPLUS PROPERTIES AUGUST 18, 2016 BACKGROUND (cont’d): the Council heard the results of the RFP and directed staff to proceed with negotiations with KCAT for lease of the Venue i n accordance with their proposal. Since that time, staff has been in negotiations with KCAT and has not been able to agree on terms. Additionally, KCAT has established a new Board of Directors that appears to have less interest in the facility. DISCUSSI ON: The Town has no identified municipal need for the property . Identifying th is property as surplus and beginning the California Government Code §54222 process allows flexibility for the Town to explore the sale of the property , without obligat ing the T own to sell the propert y . With Council approv al , staff will begin the notification process per California Government Code §54222 . If interest is expressed by the entities identified, staff will bring that information to the Council for review. Followin g the 60 -day period, if no interest has been expressed, staff will pursue other alternativ es for sale or lease of the propert y , with regular updates for the Council through the appropriate open session or closed session Council meeting s . The property i s zoned with a R esource C onservation designation . Subsequent to any sale of the property , the property would be subject to applicable development standards, including the General Plan, Zoning Code, and other applicable ordinances and policies. CONCLU SION : Sta ff recommends that the Council a dopt a resolution: 1. Declaring certain real property at 4 New York Avenue APN 529 -27 -024 (Exhibit 1 to Attachment 1) surplus to the needs of the Town. 2. Directing staff to conduct notification requirements pursuant to California Government Code §54222. 3. Directing staff to explore opportunities for sale or lease of the property subsequent to completion of the required notifications. FISCAL IMPACT : There is no fiscal impact from this action. ENVIRONMENTAL ASSESSMENT : This is not a project defined under CEQA, and no further action is required. Attachment : 1. Resolution A TTACHMENT 1 RESOLUTION 2016 - RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF LOS GATOS DECLARING REAL PROPE RTY AT 4 NEW YORK AVENUE SURPLUS TO THE NEEDS OF THE TOWN WHEREAS, the Town of Los Gatos owns certain real property 4 New York Avenue identified by assessor’s parcel number (APN) 529 -27 -024 (Exhibit 1); and WHEREAS, the property at 4 New York Avenue is no longer necessary for municipal use. NOW, THEREFORE, BE IT RESOLVED : 1. That the 4 New York Avenue property be deemed surpl us to the needs of the Town. 2. That Town staff conduct required notifications per Califo rnia Government Code §54222. 3. Staff undertake opportunities to sell or lease the property , bringing offers with terms to the Town Council for review as allowed by code. PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of Los Gatos held on the 6 th day of September 20 1 6 , by the following vote: COUNCIL MEMBERS: AYES: NAYS: ABSENT: ABSTAIN: SIGNED: MAYOR OF THE TOWN OF LOS GATOS LOS GATOS, CALIFORNIA ATTEST: CLERK ADMINISTRATOR OF THE TOWN OF LOS GATOS LOS GATOS, CALIFORNIA