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CC:SA - Adoption of Respective Resolutions (1) Approving the Transfer and Acceptance of Certain Governmental Purpose Real Property Assets from the Successor Agency to the City of Culver City Pursuant to the Provisions of the Dissolution Law as Revised by Senate Bill No. 107; (2) Approving the Assignment and Assumption Agreements to Effectuate Said Disposition; and (3) Approving Related Actions.
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Meeting Date: March 27, 2017
Contact Person/Dept: Glenn Heald/CDD
Todd Tipton/CDD
Phone Number: (310) 253-5752
(310) 253-5783
Fiscal Impact: Yes [] No [X] General Fund: Yes [] No [X]
Public Hearing: [] Action Item: [X] Attachments: [X]
Commission Action Required: Yes [] No [X]
Public Notification: (E-Mail) Meetings and Agendas - City Council (03/22/17); Successor Agency (03/22/17); Published in the Culver City News (03/16/17).
Department Approval: Sol Blumenfeld, Community Development Director (03/14/17)
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RECOMMENDATION
Staff recommends:
1. The Successor Agency Board adopt separate resolutions approving, and recommending to its Oversight Board that the Oversight Board approves, the transfer of two (2) leases for the use of real properties (the “Leases”) from the Successor Agency to the Culver City Redevelopment Agency (the “Successor Agency”) to the City of Culver City (the “City”) for continued governmental purposes (park and recreational use) pursuant to the provisions of the Dissolution Law (as defined herein) as revised by Senate Bill No. 107 (“SB 107”), approving the Assignment and Assumption Agreements (the “Agreements”) to effectuate the disposition of said Leases, and approving related actions.
2. The City Council adopt separate resolutions approving the acceptance of the Leases proposed for transfer from the Successor Agency to the City for continued governmental purposes (park and recreational use) pursuant to the Dissolution Law as revised by SB 107, approving the Agreements to effectuate the disposition of said properties, and approving related actions.
BACKGROUND/DISCUSSION
On June 28, 2011, Assembly Bill No. X1 26 (“AB 26”) was signed into law by the Governor of California which amended the California Health and Safety (“H&S”) Code and called for the dissolution of redevelopment agencies throughout the State and wind down of their business and fiscal affairs, and also established the procedures by which this was to be accomplished. AB 26 has since been amended by various assembly and senate bills enacted by the California Legislature and signed by the Governor (AB 26 as amended is hereinafter referred to as the “Dissolution Law”).
On September 22, 2015, the Governor of California signed into law SB 107 amending the Dissolution Law. As revised by SB 107, H&S Code Section 34181(a)(1) of the Dissolution Law permits the Oversight Board to direct the Successor Agency to transfer ownership of assets constructed and used for a governmental purpose, including parks, to the appropriate public jurisdiction (such as the City) pursuant to any existing agreement relating to the use of such an asset.
Under the terms of the Leases, the Culver City Redevelopment Agency (the “Former CCRA”) agreed to improve and maintain the Properties (defined below) as parks and for recreational purposes. The lessee’s interest in both of the Leases was assigned from the Former CCRA to the Successor Agency by operation of law in connection with the dissolution process. The Successor Agency continues to maintain the Properties as parks. Hence, the Properties qualify as assets used for governmental purposes under the revised terms of H&S Code Section 34181(a)(1) of the Dissolution Law. The Leases allow for their disposition to the City for continued use as a park and for recreational purposes.
The proposed transfer concerns the Leases held by the Successor Agency for the control and use of real property. Both properties are owned by the City of Los Angeles. The Leases include language permitting their transfer from the Successor Agency to the City. The two properties (collectively, the “Properties”) are:
1. Media Park, 9091 Culver Blvd, Culver City, CA 90232.
2. Ivy Substation, 9070 Venice Blvd, Culver City, CA 90232.
Upon the Successor Agency’s and the City Council’s adoptions of the proposed respective resolutions, a separate set of resolutions approving and directing the transfer of the Leases from the Successor Agency to the City will be submitted for adoption by the Oversight Board on or about April 13, 2017, and subsequently to the California Department of Finance (the “DOF”) for approval.
The Leases proposed for transfer are included as Exhibit ‘A’ to the Agreements attached hereto in substantial form. The Agreements, in substantial form as attached, will effectuate the disposition of the Leases from the Successor Agency to the City.
FISCAL ANALYSIS
There is no net cost to the Successor Agency or the City for the proposed transfer of the Leases. The Leases generate no net revenue at this time.
ATTACHMENTS
1. Proposed Successor Agency resolutions approving, and recommending to its Oversight Board that the Oversight Board approves, the transfer of the Leases from the Successor Agency to the City pursuant to the Dissolution Law as revised by SB 107, approving the Agreements to effectuate the disposition of the Leases, and approving related actions.
2. Proposed City Council resolutions approving the acceptance of the Leases from the Successor Agency to the City pursuant to the provisions of the Dissolution Law as revised by SB 107, approving the Agreements to effectuate the disposition of the Leases, and approving related actions.
3. Assignment and Assumption Agreement effectuating the transfer of the Media Park Lease from the Successor Agency to the City of Culver City.
4. Assignment and Assumption Agreement effectuating the transfer of the Ivy Substation Lease from the Successor Agency to the City of Culver City.
MOTION
That the Successor Agency Board:
1. Adopt a resolution approving and recommending to its Oversight Board approval of (1) the transfer of certain real property (located at the intersection of Venice Boulevard, Culver Boulevard and Canfield Avenue and known as Media Park) to the City of Culver City pursuant to the provisions of the Dissolution Law as revised by Senate Bill No. 107; (2) the Assignment and Assumption Agreement to effectuate said disposition of the property; and (3) Related actions.
2. Adopt a resolution approving and recommending to its Oversight Board approval of (1) the transfer of certain real property (located at the corner of Culver Boulevard and Venice Boulevard and improved with a building known as Ivy Substation) to the City of Culver City pursuant to the provisions of the Dissolution Law as revised by Senate Bill No. 107; (2) the Assignment and Assumption Agreement to effectuate said disposition of the property; and (3) Related actions.”
That the City Council:
1. Adopt a resolution approving (1) the transfer and acceptance of certain real property (located at the intersection of Venice Boulevard, Culver Boulevard and Canfield Avenue and known as Media Park) from the Successor Agency to the Culver City Redevelopment Agency pursuant to the provisions of the Dissolution Law as revised by Senate Bill No. 107; (2) the Assignment and Assumption Agreement to effectuate said disposition of the property; and (3) related actions.
2. Adopt a resolution approving (1) the transfer and acceptance of certain real property (located at the corner of Culver Boulevard and Venice Boulevard and improved with a building known as Ivy Substation) from the Successor Agency to the Culver City Redevelopment Agency pursuant to the provisions of the Dissolution Law as revised by Senate Bill No. 107; (2) the Assignment and Assumption Agreement to effectuate said disposition of the property; and (3) related actions.