Item 13 - Approve Appropriation Adjustment and Sale of Land

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Agreement — Sale of City -owned Real Property at 515 and 517 N. Bristol Street September 20, 2022 Page 2 generating developments and new sales tax revenues with increased property tax rolls and additional utility user taxes collected on an annual basis in perpetuity. On April 21, 2020, the Santa Ana City Council adopted Resolution No. 2020-032 declaring the Property as surplus land and directing the City Manager to comply with the requirements of California Government Code Section 54220 et seq. ("Surplus Land Act") for the disposition of the Property. On April 27, 2020, the City released a Notice of Availability ("NOX) of surplus property for a period of 60 days. This NOA was sent to all "local public entities" as defined in the Health and Safety Code section 50079, within whose jurisdiction the surplus land is located, and to "Housing Sponsors" that have notified the California Department of Housing and Community Development ("HCD") of their interest in surplus land. The NOA was also sent to local parks agencies and school districts. The properties were among those for which either no responses were received by entities receiving the notices of availability or for which responses were received and good faith negotiations ended after a period of not less than 90 days without agreement to price and terms. Due to the minimum square footage required for development under current zoning, the remnant parcels located at 515 and 517 N Bristol Street (Exhibit 1) are deemed substandard, and were thus previously authorized for direct negotiations accordingly. The total combined area is approximately 8,965 square feet, is currently zoned for commercial use, and with no independent utility, presents a challenge to market and sell. For these reasons, staff proceeded with direct negotiations with Charles Mahn to facilitate a sale of these properties that will be mutually beneficial to all parties (Exhibit 2). Under the Santa Ana Municipal Code (SAMC) Section 2-706, surplus real property may be sold (after authorization by the City Council) only to the highest bidder, subject to final confirmation by the City Council and with notice of the sale given by newspaper publication. However, SAMC Section 2-709, provides an exemption to this procedure and permits a sale on direct negotiations without the need for public auction or competitive bidding, when the authority to so negotiate has been granted by the City Council. ENVIRONMENTAL IMPACT There are no environmental impacts associated with this action. FISCAL IMPACT Approval of the Appropriation Adjustment will recognize the receipt of $250,000 into the Select Street Construction Fund, Sale of Land revenue account (No. 05917002-57071) and appropriate the same into the OCTA Bristol Street Corridor Improvements Fund, Improvements Other Than Building expenditure account (No. 05917661-66220). These funds will be available for expenditure on the Bristol Street Corridor Improvement Projects.