HomeMy WebLinkAbout _ 4.11(b)--Categorical Exemption for the Purchase of APN 050-500-026 GI �" Y � F
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REPORT TO THE CITY COUNCIL
MEETING DATE: February 21, 2023 FROM: Chuck Aukland,Public
ITEM NO. 4.11(b} Works Director
***APPROVED BY***
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caulcland@ci.redding.ca.us btippin@cityofredding.org
SUBJECT: 4.11(b)--CEQA Categorical Exemption for Purchase and Sale Agreement with
J.F. Shea Co., Inc. for APN 050-500-026
Recommendation
Approve and fmd that the purchase of Assessor's Parcel N�umber 050-500-026 (Parcel) from J.F.
Shea Co., Inc., related to the Westside Sewer Interceptor Project (Project) for the Wastewater
Utility (C-9661), is categorically exempt from review under the California Environmental
Quality Act Guidelines, per Section 15317 - Open Space Contracts or Easements and Section
15325(� - Transfers of Ownership of Interest in Land to Preserve Existing Conditions.
Fiscal Impact
As the purchase of the parcel has been approved, and the $6,000 required for the acquisition of
and associated escrow fees will be funded through the Wastewater Utility Fund, there is no �sca1
impact with this action.
Alternative Action
The City Council (Council) could direct staff to find alternate California Environmental Quality
Act(CEQA) exemptions, or provide alternative actions to meet CEQA compliance.
Background/Analysis
At its regular meeting on February 25, 2022, the City Council (Council) approved the Westside
Sewer Interceptor Project (Project) for the City of Redding Wastewater Utility and adopted a
Mitigated Negative Declaration. The project consists of constructing 4,200 feet of a new 48-inch.
diameter sewer pipeline to provide additional capacity to the Clear Creek Wastewater Treatment
Plant. The cost of the project is estimated at approximately $8,000,000 and wi11 be funded by the
Wastewater Utility.
Report to Redding City Council February 15,2023
Re: 4.11(b)--Categorical Exemption for the Purchase ofAPN 050-500-026 Page 2
In order to complete the project, a 40-foot-wide permanent public service easement and a
temporary 64-foot-wide Temporary Construction Easement across a privately-owned parcel of
land at 7575 Platinum Way (Parcel), identified as Assessor Parcel No. 050-500-026, are needed
to be acquired. The parcel is adjacent to the Sacramento River and unsuitable for development
but could provide for an extended trail connection to Cascade Park. This Cascade Park perilneter
trail is used frequently by many neighbors.
Staff recommended to the Council at a closed session meeting on September 6, 2022, that the
Council authorize staff and the property negotiator to make the initial Government Code Offer
for the entire parcel at its appraised amount of$6,000 and authorized the Mayor to execute al1
necessary documents.
Envir�onmental Review
Staff has determined that the action is categorically exempt from review under CEQA
G�uidelines, per Section 15317 - Open Space Contracts or Easements and Section 15325(� -
Transfers of Ownership of Interest in Land to Preserve Existing Conditions. Class 17 exemptions
include the acceptance of easements or fee interest in order to maintain the open space character
of an area. Class 25 exemptions consist of the transfers of ownership of interests in land in order
to preserve open space, habitat, or historical resources. The parcel lies wholly within the flood
zone and will be zoned as Open Space. Maintaining the area in its natural state will protect the
underlying environmental resource and wildlife habitat values of the property. The action has no
potential to have a significant effect on the environment.
Council Priority/City Manager Goals
• This agenda item is a routine operational item.
Attachments
^Exhibit
^Notice of Exemption(unfiled)
Purchase and Sales Agreement (G9661)
NozxcE oF ExEMPTioN
TO: ❑ �ffice of Planning and Research FROM: City af Redding
1400 Tenth Street,Room 121 Public Works Department
Sacramento, CA 95814 777 Cypress Avenue
Redding,CA 96001
0 S1lasta Caunty Clerk
County of Shasta
P.U;�ox 99d8$0, 1643 Market Street
Redding, CA 96099-0$80
Pro,�ect Title: Cascada Park Oi�en Space Land Acquisitian
Project Lacation—Specf�cb AFN Number 050-500-d26-OOQ
Project Locatian—City. Reddin� Project Lacation—Gounty: Sl�asta
Descript►on of Proj�ct; The Citv of Reddin�will purchase a three (3) acre �arcel af land adjacent to the Cascade Park
Qpen Space Area, in south Reddin�. Qnce acquired a srnall�artion of the uroperty wili be subject ta a utilitv easement
for the Westside Sewer Interceptor• however the land will remain in a natural state and be zdned as fJpen Space
Narne of Public Agency Approving Project:Citv of Reddin�
Nam�ofPerson ar Agency Carrying Out P'ro,�ect: Ken Iwamura, Citv Surveyor
Exempt Status: (check one)
❑ Ministerial [Section 21080(b)(1}; 15268]
❑ Declared Emergency[Section 210&0(b)(3); 15269(a)]
❑ Emergency Project [Section 21080(b)(4); 15269(b)]
❑ Statutory Exemptians.State cade number.
❑ Common Sense Exemption(This praject does not fall within an exempt class,but it can be seen with certainty that there is
no possibility that the activity may have a significant effect on the environment(14 CCR 15601[b][3]):
� Categorical Exemption, State type and sectian number: Sectian 15317.Open Space Contr�cts or Easements&
Sectron 15325(fl.Transfers of Ownership of Interest in Land to Preserve Existinp Conditions
� Na exceptions apply that would bar the use of a categarical exemption(PRL?21084 and 14 CCR 15300.2).
Reasons why project is exempt. Class 17 exemptions include the acce�ptance of easements ar fee interest in order to
rnaintain the onen space character of an area. Class 25 exemptions cansist of the fransfers of ownership of interests in
land in order to �reserve or�en space, habitat or historical resources The�roperty will be zoned as Open Space which
t�recludes future develo�ment and allows the area to remain in a natural state Acquisition and O ea�n S�ace zanin� will
pratect the underlvin�environmental resource and wildlife habitat values of the�ropertv The action has na potential to
have asi�nificant effect an the environment.
Lead Agency Cantact Person:Amber Kell�v Telephanet 530.225.4046
If Filed by Applicant:
1. Attach certi�ed document of exemptian finding.
2. Has a notice af exemptian been filed by the public agency approving the pro�ect?o Y�s❑No
r'" �Signature; � .�r:�:..�.,.. .� Date: �;t°`�",�c�c'��
Title. Environmental Campliance Mana�er
0 Signed by Lead Agency Date received for filing at OPR:
❑ Signed by Applieant
CLOEl NC7L:rev. G/17/?0??
REAL ESTATE PURCHASE CONTRACT
Dated for reference purposes only as December�, 2022:
PROPERTY DESCRIPTION: The"Property"is located in the City of Redding, Shasta County,
California, known as Assessor's Parcel Number 050-500-026 consisting of approximately 3.0
acres which land is outlined in red on Exhibit A attached hereto and incorporated herein by this
reference and includes all rights, title, and interests, remainder easements, development rights,
rights-of-way and other rights appurtenant to the Property and that benefit the Property.
SELLER: J.F. Shea Co., Inc a Nevada Corporation
PURCHASER: City of Redding Public Works Department
1. PURCHASE PRICE: For and in consideration of the agreements set forth below and for
other good and valuable consideration, the receipt and sufficiency of which is hereby
acknowledged,the undersigned Seller hereby agrees to sell,and the undersigned Purchaser
hereby agrees to buy, the Property all upon the terms and conditions set forth in this
Contract. The total purchase price, less any payments made to Seller pursuant to Paragraph
11, shall be paid in cash at the close of escrow and shall be $6,000.00 (Six Thousand
Dollars and Zero Cents). Seller and Purchaser acknowledge and agree that said purchase
price represents the fair market value of the Property.
2. INITIAL DEPOSIT: The Purchaser shall place a deposit of$3,000.00 in the form of a
check made payable to Placer Title Company. ("Escrow Holder"). The deposit must be
received by Escrow Holder within five (5) business days after the Effective Date. The
deposit applies to the purchase price of the Properiy at closing and is refundable to
Purchaser if the conditions set forth below are not satisfied or waived by Purchaser.
ESCROW INSTRUCTIONS: Upon mutual execution of this Contract and delivery to
Purchaser of a signed copy hereof, hereinafter defined as the "Effective Date", Purchaser
shall provide a Preliminary Title Report to the Seller on the Property together with full
copies of all exceptions set forth therein, including but not limited to CC&Rs, liens, and
other matters of record and shall open escrow with the Escrow Holder. The parties shall
execute escrow instructions as reasonably requested by the Escrow Holder. The provisions
of this Contract shall constitute joint escrow instructions to the Escrow Holder. Purchaser
has opened an escrow ("Escrow"), Escrow Nurnber: P-546775, with Placer Title
Company, Norma Chicoine, Escrow Officer 2145 Larkspur Lane, Suite A, Redding, CA
960Q2, nchicoine@placertitle.com ("Escrow Holder") by executing escrow instructions
prepared by Escrow Holder implementing the terms and provisions of this Agreement.
Escrow will be deemed opened on the date both parties deposit signed escrow instructions
with Escrow. n
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1. PROPERTY CONDITION: At all times during the terrn of this Contract, upon prior
notice to Seller, Purchaser shall have the right, at its sole cost and expense, to enter upon
the Property to conduct surveys, soils, asbestos, toxic, and hazardous waste tests. Within
three (3} business days following the Effective Date Seller shall, at its expense, provide
Purchaser with capies of all environmental test and reports, surveys, geotechnical studies
and all other tests, reports, and studies within Seller's possession or control, if an exist.
Seller's failure to do so shall be deemed to be a representation and warranty that no such
tests and reports are in Seller's possession or control.
2. CLOSING DATE: Closing shall occur within thirty (30) business days following the
expiration of the "Due Diligence Period"per Paragraph 10 of this Contract.
3. POSSESSION: Vacant possession of the Property will be delivered to Purchaser at the
close of escrow. Seller represents and warrants that there are currently no tenants or other
occupants of any improvements located on any portion of the Property. Seller shall not
enter into any leases or other occupancy agreements with respect to any portion of the
Property during the term of this Contract without Purchaser's priar written consent,which
consent may be given or withheld in the sole and absolute discretion of Purchaser.
4. COSTS/FEES:
a. California Land Title Association(CLTA)title fees shall be paid by Purchaser. The
additional cost of any extended coverage and/or endorsernents shall be paid by
' Purchaser.
b. Escrow fees shall be paid by Purchaser.
c. Purchaser shall pay the cost of any State, County, and local documentary transfer
taxes.
d. Current real property taxes, if any, shall be prorated as of the close of escrow.
e. Bonds and assessments,if any which are a lien upon the Property as of the Effective
Date shall be paid by Seller on or before the close of escrow. Seller agrees that from
the Effective Date of this Contract it shall not approve any future bonds,
assessments, or other encumbrances on the Property without Purchaser's prior
written approval, which approval may be given or withheld in the sole and absolute
discretion of the Purchaser.
5. ATTORNEY'S FEES/CHOICE OF LAW: In any litigation ar other legal proceeding
which rnay arise between the parties hereto,the prevailing party shall be entitled to recover
its costs and reasonable attorney's fees in addition to any other relief to which such party
may be entitled. This Contract shall be governed by the Laws of the State of California.
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6. PROPERTY INSPECTION: Purchaser shall have the right to conduct at any time before
the expiration of the Due Diligence Period, at its sole cost and expense, inspections, tests
surveys and other studies for the purpose of identifying the existence in, on, or about the
Property of asbestos, PCB transformers, other hazardous or contaminated substances,
underground storage tanks, and other matters concerning any and all aspects of the
Property. Seller shall allow Purchaser and Purchaser's agents the right to enter the Property
at all reasonable times for the purpose of conducting such inspections, tests, surveys, and
studies. Purchaser agrees to hold Seller harmless from any and all expenses and liability
that may result from physical property damage, personal injury and wrongful death as a
result of such inspections. Purchaser shall keep the Property free from liens or
encumbrances resulting from such inspections. Purchaser's obligations in this Paragraph
shall survive the termination of this Contract.
7. DUE DILIGENCEJCONTINGENCY: Purchaser shall have six(6)months following the
Effective Date to satisfy the conditions set forth below.The end of said six(6)month period
shall constitute the expiration of said "Due Diligence Period." Purchaser's obligation to
purchase the Property is subject to Purchaser's satisfaction or waiver of the following
conditions each in the sole and absolute discretion of the Purchaser:
a. Obtaining and approving a geotechnical investigation and current Environmental
Assessment Report;
b. Purchaser's approval of the Preliminary Title Report and exceptions thereto.
c. Purchaser's approval of an ALTA Survey of the Property which may be obtained
at Purchaser's sole cost and expense.
d. Purchaser's physical inspection of the condition of the Property.
8. FOREIGN INVESTMENT IN REAL PROPERTY TAX ACT (FIRPTA): The
Foreign investment in Real Property T� Act (FIRPTA), IRC 1445, requires that every
buyer of US real property must, unless an exception applies, deduct and withhold from
Seller's proceeds ten percent(10%)of the gross sales price.The primary exemptions which
might be applicable are: (a) Seller provides Purchaser with an affidavit under penalty of
perjury that Seller is not a "foreign person" as defined in FIRPTA, or (b) Seller provides
Purchaser with a "qualifying statement", as defined in FIRPTA, issued by the Internal
Revenue Service. Seller and Purchaser agree to execute and deliver as appropriate, any
instrument, affidavit, and statement, and to perform any acts reasonably necessary to carry
out the provisions of FIRPTA and regulations promulgated there under.
9. ACKNOWLEDGEMENT/ACCEPTANCE:
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a. Seller's Acknowledgement: Seller hereby acknowledges receipt of a copy of this
Contract.This Contract shall constitute the entire agreement between Purchaser and
Seller and supersedes any and all agreements between the parties hereto regarding
the Property which are prior in time to this Contract. The person or entity signing
on behalf of Seller below warrants and represents that he,she,or it has the authority
to bind Seller.
b. Seller's Acceptance: The undersigned Seller hereby approves and accepts the
foregoing Contract and agrees to the terms and conditions herein set forth. All
tenders and notices required or permitted hereunder shall be made and given to
Seller at its address herein set forth.
c. Purchaser's Acknowledgement: Purchaser hereby acknowledges receipt of a
copy of this Contract. This Contract shall constitute the entire agreement between
Purchaser and Seller and supersedes any and all agreements between the parties
hereto regarding the Property which are prior in time to this Contract. The person
or entity signing on behalf of Purchaser below warrants and represents that he, she,
or it has the authority to bind Purchaser.
d. Purchaser's Acceptance: The undersigned Purchaser hereby approves and accepts
the foregoing Contract and agrees to the terms and conditions herein set forth. All
tenders and notices required or permitted hereunder shall be made and given to
Purchaser at its address herein set forth.
e. The parties to this contract shall, pursuant to Section 21.7(a) of Title 49, Code of
Federal Regulations,comply with all elements of Title VI of the Civil Rights Act of 1964.
This requirement under Title VI and the Code of Federal Regulations is to complete the
USDOT-Non-Discrimination Assurance requiring cornpliance with Title VI of the Civil
Rights Act of 164,49 C.F.R Section 50.3.
f. No persan in the United States shall, on the grounds of race, color, or national
origin, be excluded from participation in, be denied the benefits of, or be otherwise
subjected to discrimination under any program or activity that is the subject of this contract.
a.
G. RECORDING OF DOCUMENTS AND DELIVERY OF FUNDS: On receipt of
the funds and instrurnents described in this Contract, and on the satisfaction or
waiver of the conditions precedent to Close of Escrow, Escrow Holder must:
a. Disburse to Seller the Full Cash Purchase Price, less any required Deposits
withdrawn by the Seller during the Escrow, less any Closing Costs owed by
Seller under this Contract.
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b. Cause the Grant Deed and other documents as specified in this Contract to
be recorded in the Office of the County Recorder of the County of Shasta,
California;
c. Deliver conformed copies of the Grant Deed and all other appropriate
documents to Purchaser and Seller on Close of Escrow; and
d. Deliver an original of the FIRPTA Certificate to Purchaser and Seller on
Close of Escrow.
H. CANCELLATION OF ESCROW: If Escrow fails to close because of the default
of either Party, the defaulting Party shall be liable for all Escrow cancellation
charges. If Escrow fails to close for any other reason, the Parties shall equally split
all Escrow cancellation charges.
I. NOTICES: Whenever notice is given under this Contract, each notice shall be in
writing and shall be delivered by mail,postage prepaid, certified or registered mail,
or by a nationally recognized overnight courier that provides receipt for delivery,
such as Federal Express. Notice shall be delivered to the address set forth below the
recipient's signature of acceptance and shall be deemed delivered when received or
refused. Either pariy may change its notice address by providing not less than five
(5) days prior notice to the other party.
J. ENTIRE AGREEMENT: This Contract constitutes the entire contract between
Seller and Purchaser and supersedes all prior discussions. No modification af
this Contract will be effective unless made in writing and signed by both Seller
and Purchaser. This Agreement may be signed in counterparts, each of which shall
be an original,with the same effect as if the signatures thereto and hereto were upon
the same instrument.
REMAINDER OF PAGE INTENTIONALLY LEFT BLANK
SIGNATURE PAGE IS NEXT PAGE
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PURCHASER
Dated: � '��J���_
��%' — � `
N[ichael Dacquisto, MAYOR
CITY OF REDDING
777 Cypress Avenue
Redding, CA 96001
ATTEST: APPROV AS TO FORM:
. eWalt
rty Attorney
JAC�S R. B�L,D�'VIl��'
Pamela Mize, City Clerk
SELLER
Dated: / Z�/Z�ZZ
S GN
/^�.�2.v'.s��Cd,/Nc�
NAME
�G�l r1-�a�2r p ,4�-r-�.,�v'�'_
�TITLE
Dated:
SIGN
NAME
TITLE
ATfEST:
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PAMELA MIZ ,City Cle �
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Exhibit A
The land described herein is situated in the State of California, County of Shasta, City of Redding,
described as follows:
Lot 8, as set forth and shown on the Map of Anderson Valley Colony,as per plat thereof Recorded
February 20, 1922 in Book 5 of Maps at Page 6, Shasta County Records.
EXCEPTING THEREFROM all that property shown on Map of Crow Estates Unit 2, Subdivision
No. 5-12-90, filed November 18, 1999, Book 22 of Maps at Page 44, Shasta County Records.
APN 050-500-026
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