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REDEVELOPMENT AGENCY AGENDA ITEM NO. 3

Meeting Date: September 9, 2003

Subject/Title: Approve Resolution adopting Rules Governing Participation by Property Owners and Business Occupants in the Brentwood and North Brentwood Redevelopment Project Areas

Submitted by: Gina Rozenski, Redevelopment Manager

Approved by: John Stevenson, Executive Director

RECOMMENDATION
Approve resolution adopting Rules Governing Participation by Property Owners and Business Occupants in the Brentwood and North Brentwood Redevelopment Project Areas.

PREVIOUS ACTION
On May 11, 1982, by Resolution No. RA 82-4, the Brentwood Redevelopment Agency adopted Rules Governing Participation by Property Owners and Business Occupants for the Brentwood Redevelopment Project Area.

On April 23, 1991, by Resolution RA-91-11, the Brentwood Redevelopment Agency adopted Rules Governing Participation by Property Owners and Business Occupants for the North Brentwood Redevelopment Project Area.

BACKGROUND
Pursuant to Health & Safety Code Section 33000 et seq., in order to implement the provisions of the Redevelopment Plan, rules for owner participation in redevelopment opportunities and rules for business tenant preferences to re-enter a redeveloped area must be adopted. These Rules were adopted by the Agency for the Brentwood Redevelopment Area in 1982 and for the North Brentwood Redevelopment Area in 1991, each when the Project Areas were initially adopted. However, the two sets of Rules are in conflict with one another, and staff found the North Brentwood Rules to be deficient in substance and detail.

To more easily interpret, implement and enforce the Rules, the attached set of amended and restated Rules are to be used uniformly for both the Redevelopment Project Areas.

FISCAL IMPACT
None.

Attachment: Resolution
Exhibit A (Rules)

RESOLUTION NO. RA-_______

RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF BRENTWOOD APPROVING AND ADOPTING RULES GOVERNING PARTICIPATION BY PROPERTY OWNERS AND BUSINESS OCCUPANTS IN THE BRENTWOOD AND NORTH BRENTWOOD REDEVELOPMENT PROJECT AREAS

WHEREAS, pursuant to California Community Redevelopment Law, rules for owner participation and business tenant preferences must be adopted and provided for public inspection for each redevelopment project area; and

WHEREAS, by its Resolution No. RA 82-4, dated May 11, 1982, the Redevelopment Agency of the City of Brentwood (“Redevelopment Agency”) adopted “Rules Governing Participation by Property Owners and Business Occupants in the Brentwood Redevelopment Project” (“Rules”); and

WHEREAS, by its Resolution No. RA 91-11, dated April 23, 1991, the Redevelopment Agency adopted “Rules for Business Tenant Preference and Owner Participation in the North Brentwood Redevelopment Project Area” (“Rules”); and

WHEREAS, staff has determined the need to amend and restate said Rules to provide consistency, uniformity and continuity of the application for the Brentwood and North Brentwood Redevelopment Project Areas; and

WHEREAS, the Redevelopment Agency has developed a uniform set of Rules to replace the current Rules for both the Brentwood and the North Brentwood Redevelopment Projects.

NOW, THEREFORE, BE IT RESOLVED that the Redevelopment Agency of the City of Brentwood does hereby approve and adopt the "Rules Governing Participation by Property Owners and Business Occupants in the Brentwood and North Brentwood Redevelopment Project Areas," attached hereto as Exhibit A and incorporated by reference herein.

PASSED AND ADOPTED this 9th day of September, 2003, by the following vote:

AYES:
NOES:
ABSENT:

___________________________________
Brian Swisher, Chairperson

Attest:


____________________________________
Karen Diaz, Agency Secretary


EXHIBIT A


RULES GOVERNING PARTICIPATION BY PROPERTY OWNERS

AND BUSINESS OCCUPANTS

IN THE BRENTWOOD AND NORTH BRENTWOOD REDEVELOPMENT

PROJECT AREAS

REDEVELOPMENT AGENCY OF THE CITY OF BRENTWOOD

Adopted by Resolution No. RA-____ on September 9, 2003

RULES GOVERNING PARTICIPATION BY PROPERTY OWNERS
AND THE EXTENSION OF REASONABLE PREFERENCES TO BUSINESS OCCUPANTS
IN THE BRENTWOOD AND NORTH BRENTWOOD
REDEVELOPMENT PROJECT AREAS

I. [§100] PURPOSE AND INTENT

These rules are adopted pursuant to the Community Redevelopment Law of the State of California (Health and Safety Code § 33000 et seq.) in order to implement the North Brentwood Redevelopment Plan and Downtown Brentwood Redevelopment Plan (collectively "Redevelopment Plans") by providing a uniform set of rules for the North Brentwood Redevelopment Project Area and Downtown Brentwood Redevelopment Project Area (also known as the "Merged Brentwood Redevelopment Project Areas"). These rules set forth the procedures governing the participation by and the extension of reasonable preferences to property Owners and Business Occupants within the Merged Brentwood Project Areas.

The participation of property Owners and Business Occupants within the Merged Brentwood Project Areas is essential if the redevelopment process is to be successful. It is the intention of the Agency to encourage and permit participation in the redevelopment of the Merged Brentwood Project Areas by property Owners and to extend reasonable preferences to Business Occupants of real property within the boundaries of the Merged Brentwood Project Areas to the maximum extent consistent with the objectives of the Redevelopment Plans.

II. [§200] DEFINITIONS

(a) As used herein, the following definitions apply:

(1) "Agency" means the Redevelopment Agency of the City of Brentwood, California.

(2) "Business Occupant" means any person, corporation, association, partnership, or other entity lawfully engaged in business within the Project Areas on or after the date of adoption of the Redevelopment Plan by the City Council.

(3) "City Council" means the City Council of the City of Brentwood, California.

(4) "Owner" means any person, corporation, association, partnership, or other entity holding title of record to real property in the Project Areas on or after the date of adoption of the Redevelopment Plan by the City Council.

(5) "Owner Participation Agreement" or "OPA" means an agreement entered into by an Owner with the Agency in accordance with the provisions of the Redevelopment Plans and these rules.

(6) "Merged Brentwood Project Areas" means the area described in the "Legal Description of the Initial Project Area Boundaries" (Attachment No. A-1 of the Brentwood Redevelopment Plan) and the "Legal Description of the Expansion Project Area Boundaries" (Attachment No. A-2 of the Brentwood Redevelopment Plan) and as shown on the "Project Area Map" (Attachment No. 2 of the Brentwood Redevelopment Plan) and "Redevelopment Plan Map" (Attachment No. 3 of the Brentwood Redevelopment Plan) and the area described in the "Amended Legal Description of the Project Area Boundaries" (Exhibit B to the North Brentwood Redevelopment Plan) and as shown on the "Amended Project Area Boundary Map" (Exhibit A to the North Brentwood Redevelopment Plan).

(7) "Redevelopment Plans" or "Plans" means the Redevelopment Plan for the Brentwood Redevelopment Project adopted by the City Council on July 13, 1982, as amended, and the North Brentwood Redevelopment Project as adopted by the City Council on July 9, 1991 by Ordinance No. 496, as amended. The Brentwood Redevelopment Project Area was merged with the North Brentwood Redevelopment on May 9, 2000 by Ordinance No. 632.

III. [§300] ELIGIBILITY

(a) Owners shall be eligible to participate in the redevelopment of property within the Project Areas only in strict accordance with the provisions of the Redevelopment Plan, these rules, and the limitations herein described. Any waiver of eligibility requirements is within the sole and absolute discretion of the Agency.

(b) Participation opportunities are necessarily subject to and limited by factors such as the following:

(1) The appropriateness of land uses proposed and consistent with the General Plan of the City of Brentwood and the Redevelopment Plans including the elimination or changing of some land uses; and for certain areas in the North Brentwood Project Area, the appropriateness of land uses proposed and consistent with the County General Plan;

(2) The construction, widening, or realignment of streets;

(3) The ability of participants to finance acquisition and development in accordance with the Redevelopment Plans and development criteria adopted by the Agency in implementation of the Redevelopment Plans;

(4) The desirability of land assemblage in the Merged Project Areas in order to create efficient and marketable commercial, industrial and residential parcels; and

(5) The construction or expansion of public facilities.

(c) The Agency contemplates that in carrying out the Redevelopment Plans, certain portions of the Merged Project Areas may be acquired by the Agency for public improvements, facilities, and utilities and for other uses and purposes in accordance with the Redevelopment Plans. Owner participation opportunities will not be available for such properties.

(d) If conflicts develop between the desires of participants for particular sites or land uses, the Agency is authorized to establish reasonable priorities and preferences among and between property Owners.

IV. [§400] TYPES OF PARTICIPATION

(a) Subject to the conditions and limitations of these rules, Owners shall be given a reasonable opportunity to participate in redevelopment by:

(1) Retaining all or a portion of their properties and developing or improving such property for use in accordance with the Redevelopment Plans;

(2) Acquiring adjacent or other properties within the Merged Project Areas and developing or improving such property for use in accordance with the Redevelopment Plans; or

(3) Selling their properties to the Agency and purchasing other properties in the Merged Project Areas.

(b) The foregoing methods of providing Owner participation opportunities shall not be deemed exclusive.

V. [§500] CONFORMING OWNERS

(a) The Agency may, in its sole and absolute discretion, determine if certain real property within the Merged Project Areas meets the requirements of the Redevelopment Plans. Owners of such property will be permitted to remain as conforming Owners without an OPA, provided such Owners continue to operate, use, and maintain the real property within the requirements of the Redevelopment Plans.

(b) A conforming Owner may be required to enter into an OPA in the event that such conforming Owner desires to:

(1) construct any additional improvements or substantially alter or modify existing structures on any of the real property described above as conforming, or;

(2) acquire additional property within the Merged Project Areas.

VI. [§600] OWNER PARTICIPATION AGREEMENTS

(a) Owners wishing to participate in redevelopment within the Project Areas may be required to enter into an OPA if the Agency determines it is necessary to impose upon the property any of the standards, restrictions, and controls of the Redevelopment Plans. The Agreement may require the Owner to join in the recordation of such documents as the Agency may require in order to ensure the property will be developed and used in accordance with the Redevelopment Plans and the OPA.

(b) If the Agency determines that the Owner of real property within the Merged Project Areas shall be required to enter into an OPA as provided by § 600(a), the Agency shall notify the property Owner in writing of its determination

(c) An Owner presented with notice pursuant to § 600(b) must meet with the Agency's staff within sixty (60) days to review the requirements of the Redevelopment Plans and a proposed OPA. Such an Owner must enter into an OPA within a reasonable period of time as determined by the Agency but in no case less than ninety (90) days following the aforementioned meeting.

(d) If an Owner who is required to enter into an OPA fails, refuses or elects not to enter into such agreement pursuant to this § 600, or if such Owner fails to perform any of the Owner’s obligations under an executed agreement with the Agency, the Owner shall, at the sole discretion of the Agency, forfeit his/her rights to participate under the Plans and these rules. In addition, failure by an Owner to participate as required by the Plans and these rules may cause the Agency to seek any and all remedies available to achieve objectives consistent with the Plans and may subject the property to acquisition by the Agency if the Agency determines that it is in the interest of the Project Area to undertake such acquisition; provided, however, that the Agency may exercise its powers of eminent domain only in the circumstances and manner otherwise authorized by the Plans.

VII. [§700] CONTENTS OF OWNER PARTICIPATION AGREEMENTS

(a) An OPA shall obligate the Owner, his or her heirs, successors and assigns, and tenants, to devote the property to the uses specified in the Redevelopment Plans, abide by all provisions and conditions of the Redevelopment Plans for the period of time that the Redevelopment Plans is in force and effect, and comply with all the provisions of the OPA according to their terms, duration, and effect.

(b) An OPA may provide that if the Owner does not comply with the terms of the OPA, the Agency, in addition to other remedies, may acquire such property or any interest therein by any lawful means, including eminent domain, for its fair market value as of the date of the OPA, and the Agency may thereafter dispose of the property or interest so acquired in accordance with the Redevelopment Plans.

(c) An OPA shall contain such other terms and conditions which, in the discretion of the Agency, may be necessary to effectuate the purposes of the Redevelopment Plans.

VIII. [§800] LIMITATIONS ON ACQUISITION OF PROPERTY BY THE AGENCY

(a) The Agency shall not acquire real property retained and developed by an Owner pursuant to a fully executed OPA if the Owner fully performs under the Agreement.

IX. [§900] PREFERENCE TO PROPERTY OWNERS AND BUSINESS OCCUPANTS WITHIN THE MERGED PROJECT AREAS

(a) Subject to these rules and the requirements of the Redevelopment Plans as determined by the Agency:

(1) Owners within the Merged Project Areas who desire to acquire new property within the Merged Project Areas shall be extended a reasonable preference to acquire and develop properties within the Merged Project Areas if the Agency is able to make such properties available for private development, provided the Owners otherwise meet the requirements of the Redevelopment Plan and demonstrate standard experience and financial ability.

(2) Business Occupants who desire to remain or reenter into business within the Merged Project Areas shall be extended a reasonable preference to acquire and develop substitute locations for such purposes within the Merged Project Areas if the Agency is able to make such properties available for private development, provided the Business Occupants otherwise meet the requirements of the Redevelopment Plan and demonstrate standard experience and financial ability.

(b) The names and addresses of all Business Occupants that are displaced by Agency activities within the Merged Project Areas will be maintained by the Agency to assist redevelopers in tenant selection for space within the Merged Project Areas.

(c) All land disposition documents related to the Merged Project Areas shall contain a provision indicating the Agency's preference for dislocated businesses and require the redeveloper to extend reasonable preference to dislocated businesses that desire to remain or return to the Merged Project Areas, provided the displaced businesses are in conformity with the Redevelopment Plan and demonstrate financial ability.

X. [§1000] AMENDMENT OF RULES

(a) These rules may be modified or amended from time to time by the Agency at any regular or duly called special meeting. No such amendment shall retroactively impair the rights of Owners who have executed OPAs with the Agency in reliance upon these rules as presently constituted.

(b) Any OPA entered into under a prior version of these rules will remain subject to those rules unless the parties mutually agree otherwise.

 

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