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2015/06/15 City Council Agenda Packet City of Rohnert Park ♦ 130 Avram Avenue ♦ Rohnert Park, California 94928 PHONE: (707) 588-2227♦ FAX: (707) 794-9248 ♦ WEB: www.rpcity.org ROHNERT PARK CITY COUNCIL Rohnert Park Financing Authority (RPFA) Successor Agency to the Community Development Commission (CDC) JOINT SPECIAL MEETING AGENDA Monday, June 15, 2015 Open Session: 1:00 p.m. MEETING LOCATION: CITY HALL - COUNCIL CHAMBER 130 Avram Avenue, Rohnert Park, California The Rohnert Park City Council welcomes your attendance, interest and participation at its regular city meetings scheduled on the second and fourth Tuesdays of each month at 5:00 p.m. in the Council Chamber. City Council/RPFA agendas and minutes may be viewed at the City’s website: www.rpcity.org. PUBLIC HEARINGS: Council/RPFA may discuss and/or take action on any or all of the items listed on this agenda. If you challenge decisions of the City Council or the Rohnert Park Financing Authority of the City of Rohnert Park in court, you may be limited to raising only those issues you or someone else raised at public hearing(s) described in this agenda, or in written correspondence delivered to the City of Rohnert Park at, or prior to the public hearing(s). RIGHT TO APPEAL: Judicial review of any city administrative decision pursuant to Code of Civil Procedure Section 1094.5 may be had only if a petition is filed with the court no later than the deadlines specified in Section 1094.6 of the California Code of Civil Procedure, which generally limits the time within which the decision may be challenged to the 90th day following the date that the decision becomes final. SIMULTANEOUS MEETING COMPENSATION DISCLOSURE (Government Code § 54952.3): Members of the City Council receive no additional compensation as a result of convening this joint meeting of the City Council and the Rohnert Park Financing Authority. PUBLIC COMMENTS: Provides an opportunity for public comment on items not listed on the agenda, or on agenda items if unable to comment at the scheduled time (limited to three minutes per appearance and a 30 minute total time limit, or allocation of time determined by Presiding Officer based on number of speaker cards submitted). PLEASE FILL OUT A SPEAKER CARD PRIOR TO SPEAKING ANNOUNCEMENT: Please turn off all pagers, cellular telephones and all other communication devices upon entering the Council Chamber. Use of these devices causes electrical interference with the sound recording and TV broadcast systems. Mission Statement “We Care for Our Residents by Working Together to Build a Better Community for Today and Tomorrow.” City of Rohnert Park Joint Special Meeting Agenda June 15, 2015 for City Council/RPFA/CDC Successor Agency Page 2 of 3 1. CITY COUNCIL/RPFA/SUCCESSOR AGENCY SPECIAL MEETING - CALL TO ORDER/ROLL CALL (Callinan __ Mackenzie__ Stafford __ Belforte __ Ahanotu __) 2. PUBLIC COMMENTS Persons wishing to address the Council on any Closed Session item, Consent Calendar item or on City business not listed on the Agenda may do so at this time. Each speaker will be allotted three minutes. Those wishing to address the Council on any report item listed on the Agenda should submit a “Speaker Card” to the City Clerk before announcement of that agenda item. 3. CONSENT CALENDAR All items on the Consent Calendar will be considered together by one or more action(s) of the City Council and/or the Rohnert Park Financing Authority and Successor Agency to the Community Development Commission, whichever is applicable, unless any Council Member or anyone else interested in a consent calendar item has a question about the item. A. City Council Resolutions for Adoption: 1. 2015-112 Approving the Residential Purchase Agreement and Joint Escrow Instructions for the Sale of 7783 Burton Avenue to Jose Sanchez, Ivonne Rosas, Candelaria Martinez, and Victor Martinez 4. CLOSED SESSION A. Recess to Closed Session in Conference Room 2A to Consider: 1. Conference with Legal Counsel – Anticipated Litigation - Significant exposure to litigation pursuant to Government Code §54956.9(d)(2): (One Case) B. Reconvene Joint Special Meeting Open Session in Council Chamber C. Report On Closed Session (Government Code § 54957.1) 5. ADJOURNMENT NOTE: Time shown for any particular matter on the agenda is an estimate only. Matters may be considered earlier or later than the time indicated depending on the pace at which the meeting proceeds. If you wish to speak on an item under discussion by the Council which appears on this agenda, after receiving recognition from the Mayor, please walk to the rostrum and state your name and address for the record. Any item raised by a member of the public which is not on the agenda and may require Council action shall be automatically referred to staff for investigation and disposition which may include placing on a future agenda. If the item is deemed to be an emergency or the need to take action arose after posting of the agenda within the meaning of Government Code Section 54954.2(b), Council is entitled to discuss the matter to determine if it is an emergency item under said Government Code and may take action thereon. DISABLED ACCOMMODATION: If you have a disability which requires an interpreter or other person to assist you while attending this City Council meeting, please contact the City Clerk’s Office at (707) City of Rohnert Park Joint Special Meeting Agenda June 15, 2015 for City Council/RPFA/CDC Successor Agency Page 3 of 3 588-2227 at least 72 hours prior to the meeting to ensure arrangements for accommodation by the City. Please notify the City Clerk’s Office as soon as possible if you have a visual impairment requiring meeting materials to be produced in another format (Braille, audio-tape, etc.) AGENDA REPORTS & DOCUMENTS: Copies of all staff reports and documents subject to disclosure that relate to each item of business referred to on the agenda are available for public inspection at City Hall located at 130 Avram Avenue, during regular business hours, Monday through Friday from 8:00 am to 5:00 pm. Any writings or documents subject to disclosure that are provided to all, or a majority of all, of the members of the City Council regarding any item on this agenda after the agenda has been distributed will also be made available for inspection at City Hall during regular business hours. CERTIFICATION OF POSTING OF AGENDA I, JoAnne Buergler, City Clerk for the City of Rohnert Park, declare that the foregoing agenda for the June 15, 2015, Joint Special Meeting of the Rohnert Park City Council/RPFA/CDC Successor Agency was posted and available for review on June 11, 2015, at Rohnert Park City Hall, 130 Avram Avenue, Rohnert Park, California 94928. The agenda is also available on the City web site at www.rpcity.org, Executed this 11th day of June, 2015 at Rohnert Park, California. ___________________________________________ JoAnne M. Buergler, City Clerk ITEM NO. 1 Meeting Date: June 15, 2015 Department: Administration Submitted By: Darrin Jenkins, City Manager Prepared By: Bryce Atkins, Senior Analyst Agenda Title: Consideration of Adopting a Resolution Approving the Residential Purchase Agreement and Joint Escrow Instructions for the Sale of 7783 Burton Avenue to Jose Sanchez, Ivonne Rosas, Candelaria Martinez, and Victor Martinez. RECOMMENDED ACTION: Council adopt the attached Resolution approving the Residential Purchase Agreement and Joint Escrow Instructions for the sale of 7783 Burton Avenue. BACKGROUND: In late December of 2011, the California Supreme Court upheld Assembly Bill x1 26 (AB 26) as constitutional, dissolving redevelopment agencies throughout the State. Pursuant to the provisions of AB 26, the City opted to assume the housing assets and functions of the Community Development Commission (CDC). On May 13th of 2013, after receiving public comments, the Council determined that the 5 single- family residential houses in B Section, all of them former CDC housing assets, be sold with the proceeds to be deposited into the City’s Low and Moderate Income Housing Asset Fund (LMIHAF). 7783 Burton Avenue is one of these properties. Following the Council’s direction that these properties be sold, staff solicited residential brokers to assist in their sale. On October 14th, the City Council selected brokers for the properties. ReMax Pros, assigning Jennifer Wiltermood, was selected to represent the City in the sale of 7783 Burton Avenue. Mrs. Wiltermood proceeded to market the property, and received offers for its purchase. The City received five offers. All offers submitted were at or above the asking price. The highest offer came from Jose Sanchez, Ivonne Rosas, Candelaria Martinez, and Victor Martinez (“Buyers”). ANALYSIS Briefly, the major purchase information for this offer is as follows: Mission Statement “We Care for Our Residents by Working Together to Build a Better Community for Today and Tomorrow.” CITY OF ROHNERT PARK CITY COUNCIL AGENDA REPORT ITEM NO. 2 Listing Price $383,000 Offer Price $432,000 Difference From Listing Price $49,000 Loan Type FHA Down Payment 4% Escrow Period 30 Days Occupancy Type Owner-Occupied Credits or Concessions None The Buyer has provided in the purchase agreement that this house will be their primary residence, making the home owner-occupied. Staff is recommending Council approval of this purchase agreement. ENVIRONMENTAL REVIEW Approval of the purchase agreement is exempt from the California Environmental Quality Act (CEQA) as it does not constitute a project pursuant to Section 15378 of the CEQA Guidelines. The agreement proposes the sale and transfer of the home, and does not disturb or impact the physical environment. OPTIONS: 1. Council approve this Purchase Agreement by Resolution. Adopting the Resolution would place the house in contract for the amount established. There may be further credits requested as the Buyers complete their due diligent review of the property. The resolution, as proposed, allows for the Mayor to approve credit adjustments not-to-exceed $10,000, if the request is merited. Recommended. 2. Council approve the Purchase Agreement, but remove the Mayoral authorization for approving credits. This option would approve the Purchase Agreement, but require any and all credits to return to the Council for approval or rejection. This option, should a request for credit be submitted by the Buyers, would cause the closing of the sale to be extended, depending upon the time of the credit submittal as it relates to the Council meeting schedule. This would require approval of the Resolution with modified language removing the authorization of the Mayor to approve credit adjustments unilaterally. Not recommended. 3. Another option would be to reject the purchase agreement, and place the home back on the market. This option would provide limited benefits, if any, and depending upon market conditions could result in lower offers. Not recommended. 4. A final option would be to counter the offer should this agreement not be acceptable to the Council. Not recommended. FISCAL IMPACT/FUNDING SOURCE: Approval of the agreement would provide for revenue to the LMIHAF. The amount of revenue would be the purchase price of $432,000, minus commissions, report costs, and other smaller costs that are deducted from the purchase price at the close of escrow. ITEM NO. 3 Department Head Approval Date: N/A City Manager Approval Date: 06/10/2015 City Attorney Approval Date: N/A Attachments (list in packet assembly order): 1. Approving Resolution 2. Attachment A: Residential Purchase Agreement and Joint Escrow Instructions. RESOLUTION NO. 2015- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROHNERT PARK APPROVING THE RESIDENTIAL PURCHASE AGREEMENT AND JOINT ESCROW INSTRUCTIONS FOR THE SALE OF 7783 BURTON AVENUE TO JOSE SANCHEZ, IVONNE ROSAS, CANDELARIA MARTINEZ, AND VICTOR MARTINEZ WHEREAS, the California state legislature enacted Assembly Bills x1 26 and 1484 (together, the "Dissolution Act") to dissolve and unwind the affairs of redevelopment agencies formed under the Community Redevelopment Law (Health and Safety Code Section 33000 et seq.); and WHEREAS, the Dissolution Act provided that the city, county, or city and county that authorized the creation of a redevelopment agency could elect to retain the housing assets and functions previously performed by the former redevelopment agency; and WHEREAS, the City of Rohnert Park (“City”) did in fact elect to assume the housing assets and functions of its redevelopment agency, the Community Development Commission of the City of Rohnert Park (“CDC”); and WHEREAS, the Planning Commission has determined by adoption of Resolution No. 2014-37 on September 11, 2014 that the disposition of the property is in conformity with the City’s adopted General Plan; and WHEREAS, the City Council determined at a public meeting on May 13, 2014, after receiving public comment, to sell 5 single-family residential housing assets of the former CDC, including the residence at 7783 Burton Avenue (“Property”), with the proceeds of such sale to be deposited into the City’s Low and Moderate Income Housing Asset Fund; and WHEREAS, the City solicited and received offers from prospective purchasers; and WHEREAS, City staff have negotiated with Jose Sanchez, Ivonne Rosas, Candelaria Martinez, and Victor Martinez (“Buyers”) the terms of a Residential Purchase Agreement and Joint Escrow Instructions in the form attached as “Attachment A” to this Resolution (“Purchase Agreement”). NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ROHNERT PARK AS FOLLOWS: Section 1. Recitals. The above recitations are true and correct and material to this Resolution. Section 2. Environmental Clearance. The adoption of this Resolution and approval of the accompanying Purchase Agreement is exempt from review under the California Environmental Quality Act because the activity in question is not a project as defined under CEQA Guidelines Section 15378 in that there is no potential that the activity will result in either ( 2 ) a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment. Section 3. Agreement. The Purchase Agreement is hereby approved. Section 4. Authorization. The Council hereby authorizes the Mayor to execute the Purchase Agreement, to approve credit adjustments not to exceed $10,000 in amount, if merited, and perform such other acts as may be necessary or convenient to effectuate the purposes of this Resolution. DULY AND REGULARLY ADOPTED this 15th day of June, 2015. CITY OF ROHNERT PARK ____________________________________ Amy O. Ahanotu, Mayor ATTEST: ______________________________ JoAnne M. Buergler, City Clerk