| | | | | | | | Agenda Item - 2.b.
City of Garden Grove
INTER-DEPARTMENT MEMORANDUM
To: | Scott C. Stiles
| From: | Omar Sandoval
| Dept.: | General Manager
| Dept.: | General Counsel
| Subject: | Adoption of a Resolution declaring Longsdon Pit (former Sierra Park Landfill) surplus land under the Surplus Land Act. (Action Item) | Date: | 2/25/2020 |
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| | | | | | | | OBJECTIVE
For the Sanitary District Board of Directors to adopt the attached Resolution declaring Longsdon Pit (former Sierra Park Landfill) surplus land under the Surplus Land Act as amended by AB 1486. |
| | | | | | | | BACKGROUND
The former Sierra Park Landfill, commonly known as the Longsdon Pit, is subject to ongoing remediation due to the settling of the soil and generation of methane gas caused by the decomposition of organic material deposited on the property during the time that it served as a County landfill. The portion of the landfill closest to Chapman Avenue and adjacent to the Hyatt Hotel is currently used as a parking lot, subject to an easement for access and parking granted to the owners of the Hyatt Hotel. This parcel could be disposed of subject to Hyatt's easement rights. The larger northerly parcel was previously used as a driving range but has been vacant for the last 20 years since the driving range operations ceased. The District has explored other uses of the property and wishes to continue to explore new uses.
On October 9, 2019, Governor Newsom signed Assembly Bill (“AB”) 1486. AB 1486, which amended the Surplus Land Act effective January 1, 2020 to include, among others, changing the existing, long-standing definition of “surplus land”; providing that land shall be declared either “surplus land” or “exempt surplus land” before a local agency may take any action to sell or lease land; and adding a new limitation providing that an “agency’s use” “shall not include commercial or industrial uses or activities, including nongovernmental retail, entertainment, or office development,” or “property disposed of for the sole purpose of investment or generation or revenue." AB 1486 further added provisions prohibiting the District from negotiating any disposition of the property prior to compliance with the procedural requirements of the Surplus Land Act. Prior to AB 1486, the Surplus Land Act did not require local agencies to first declare land surplus, and did not limit leases that changed the use of land held by local agencies. |
| | | | | | | | DISCUSSION
As indicated above, the amended Surplus Land Act, Government Code sections 54220 et seq., requires that agencies first declare land "surplus land" or "exempt surplus land" before the agency can negotiate any disposition of the land, either for sale or for lease. The Surplus Land Act then provides that, prior to disposing of “surplus land,” local agencies shall first offer such “surplus land” to various entities, including housing sponsors and other public agencies for the development of affordable housing and parks and open space.
Pursuant to the amended Surplus Land Act, District staff must send a written notice of availability of the property by electronic mail or by certified mail to all of the entities identified in Government Code section 54222, which include local public entities and housing sponsors that have notified the California Department of Housing and Community Development of their interest in surplus land for the purpose of developing low- and moderate-income housing, to the County of Orange, any regional park authority and the State Resources Agency for open-space purposes; and to the local school district for school facilities or use. If the property is within an infill opportunity zone or covered by a transit village plan, the notice must also be sent to the County, successor agency or housing authority. If one of the entities/agencies receiving the notice of availability desires to purchase or lease the property, it must notify the District of its interest to do so in writing within 60 days of receiving the District’s notice, and the District and the entity/agency so responding may negotiate price and terms for the disposition of the property. If the District receives multiple notices of interest, the Surplus Land Act establishes priorities, with first priority given to entities that agree to use the property for affordable housing.
Finally, in the event no agreement is reached between the District and any interested entity/agency after a good faith negotiation period of 90 days, the property may be disposed of without further regard to the Surplus Land Act. |
| | | | | | | | FINANCIAL IMPACT
The cost of compliance with the amended Surplus Land Act is not currently known. As of the creation of this report, there are 169 entities in the list kept by HCD to which the City must send notice by e-mail. The cost to notify local public agencies will be minimal. However, depending on the number of responses to the notice of availability, District staff and consultants may need to spend multiple hours possibly negotiating with multiple entities. |
| | | | | | | | RECOMMENDATION
It is recommended that the Board of Directors:
- Adopt the Resolution declaring the Longsdon Pit property surplus land under the Surplus Land Act.
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ATTACHMENTS: | Description | Upload Date | Type | File Name | Resolution | 2/20/2020 | Resolution | 2-25-20_Resolution_Declaring_Landfill_Surplus_Under_SLA.pdf |
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