Recommendation: The Public Works Director-Engineering recommends adoption of the following resolution.

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1 CITYol CHICO M 87 City Council Agenda Report Meeting Date: /5/5 TO: City Council FROM: Brendan Ottoboni, PWD-Engineering, RE: CONSIDERATION OF A RESOLUTION DECLARING SURPLUS PROPERTY AND AUTHORIZING THE CITY MANAGER TO EXECUTE THE SALE OF THE PROPERTY-8TH AND MULBERRY STREETS ((ASSESSOR'S PARCEL NO ) REPORT IN BRIEF: The City owns a small vacant parcel on the corner of 8th and Mulberry Streets and has determined that the property is no longer needed for right-of-way public improvements. Staff is requesting that the Council declare this parcel as surplus property, and authorize the City Manager to negotiate with the adjacent property owner for the sale of the property at a price that is in the best interest of the City. Recommendation: The Public Works Director-Engineering recommends adoption of the following resolution. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHICO DECLARING CITY-OWNED PROPERTY AT 8TH AND MULBERRY STREETS (ASSESSOR'S PARCEL NO ) AS SURPLUS PROPERTY, AND AUTHORIZING THE CITY MANAGER TO EXECUTE DOCUMENTS FOR THE DISPOSITION OF THE PROPERTY FISCAL IMPACT: If approved by Council, the property will be sold at an appraised fair market price that will include revenue to cover the costs of the appraisal, staff time on the project, and all title, escrow and other fees associated with the sale. The sales proceeds will be deposited into the City's General Fund (F00). BACKGROUND: Years ago, the City purchased properties on the 800 block of Mulberry Street to construct public improvements to extend 80 Street from M ulberry to Laurel Street. After construction was complete, a 3,745 sq. ft. irregular shaped vacant parcel remains at the southeast corner of Mulberry and 8th Streets. A plat of the property is attached as Exhibit A to the resolution. In addition, Staff has determined that this property is no longer needed for future right-ofway improvements on 8th Street. DISCUSSION: Because of the small size, location, and residential zoning, this property will only be of value or use to the adjacent property owner. The adjacent property owner has expressed interest in purchasing the property to add to their existing property to provide a buildable lot to construct a single-family residence. If approved, development of the property will include the required setbacks, curb and gutter, and other public improvements. This parcel is currently zoned as R-, low density residential, and therefore the disposition of the property is consistent with the 030 General Plan. In addition, because the parcel is less than 5,000 sq. ft. and is proposed to be sold to an adjacent land owner, the disposition of the property is exempt from the Surplus Land Act (CA Government Code 540, et. Seq.). Staff is requesting that the Council declare this parcel as surplus property, and authorize the City Manager to negotiate with the adjacent property owner for the sale of the property. 4 * M c<?,3.

2 RE: 8TH and Mulberry Resolution Meeting Date: CC /5/5 Page ENVIRONMENTAL REVIEW: The disposition of this surplus property is exempt from the provisions of the California Environmental Quality Act (CEQA) pursuant to Sections 506 (b), (3) and 53 (Surplus Government Property Sales) PUBLIC CONTACT: Tonight's City Council meeting has been publicly posted and noticed. Reviewed By: Approved By: Brendan Ottoboni, Director of Public Works Engineering Mark Orme, City Manager DISTRIBUTION: City Clerk (3) ATTACHMENTS: Resolution

3 RESOLUTION NO. 3 4 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHICO DECLARING CITY-OWNED PROPERTY AT 8TH AND MULBERRY STREETS (ASSESSOR'S PARCEL NO ) AS SURPLUS PROPERTY, AND AUTHORIZING THE CITY MANAGER TO EXECUTE DOCUMENTS FOR THE DISPOSITION OF THE PROPERTY WHEREAS, the City of Chico ("the City") acquired the real property located on the southeast corner of East 8th and Mulberry Streets (APN ), in connection with extending 8th Street from Mulberry Street to Laurel Street ("Property" ); and WHEREAS, the City finds that this approximate 3,745 square foot parcel, as described and delineated in Exhibit A, to no longer be of present or prospective use to the City and is of perspective use to an adjacent landowner; and WHEREAS, the City has received a request from the adjacent property owner to purchase the Property for future residential housing, which is the current zoning for the Property; 4 and WHEREAS, because the Property is less than 5,000 sq. ft. and is proposed to be sold to a contiguous landowner, the disposition o f the Property is exempt from the Surplus Land Act; (CA Government Code 540, et. Seq.); and WHEREAS, the disposition of the surplus property is exempt from the provisions of the California Environmental Quality Act (CEQA) pursuant to Sections 506(b)(3) and 53 (Surplus Government Property Sales); and WHEREAS, the City Manager has determined that the disposition of this property is consistent with the City's General Plan, per Chico Municipal Code Section R.3.00 (B); and WHEREAS, pursuant to the provisions of City Charter Section 64, conveyance of City property requires the affirmative vote of at least five members of the City Council

4 NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF CHICO AS FOLLOWS: The Council hereby declares the Property as delineated in Exhibit "A" to be surplus; and. The City Council hereby finds that the project is exempt from the provisions of CEQA. 3. The City Manager is authorized to negotiate with the adjacent property owner for the sale of the Property at a fair market price, that will also include funds to cover City staff time and other costs associated with the sale The City Manager is further authorized to execute any sales agreement, deed, or other documents necessary to convey and dispose of the Property. THE FOREGOING RESOLUTION WAS ADOPTED by the Council of the City of Chico at its meeting held on, by the following vote: AYES: 3 NOES: 4 ABSENT: 5 ABSTAIN: 6 DISQUALIFIED: ATTEST: Deborah R. Presson City Clerk APPROVED AS TO FORM:,,l Vincent C. Ewing, eitj; Attorney* *Approved pursuant to The Charter of the City of Chico 906(E)

5 U) EXHIBIT "A" 4/ ' MULBERRY STREET CITY OF CHICO DEPARTMENT OF PUBLIC WORKS DRAWN BY: KL DATE: DEC.7,05 CHECKED BY: LG SCALE: "=60' APPROVED: / DIRECTOR OF PUBLIC WORKS Drowing Path: S: \Kevin Lundy\Mulberry Plot\Plot.dwg ACQUISITION OF VACANT LAND ON MULBERRY STREET IN CHICO, CA SHEET OF