55A - RESO - WAIVER APP FEE HISTORIC PROPERTIES

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REQUEST FOR COUNCIL ACTION CITY COUNCIL MEETING DATE: AUGUST 5, 2014 TITLE: RESOLUTION AUTHORIZING A WAIVER OF THE NEW APPLICATION FEE FOR THE PRIVATE PARTY NOMINATIONS OF PROPERTIES TO THE SANTA ANA REGISTER HISTORICAL PROPERTIES AND MODIFICATION OF MILLS ACT AGREEMENT FEES CITY MANAq@rR RECOMMENDED ACTION CLERK OF COUNCIL USE ONLY: APPROVED ❑ As Recommended ❑ As Amended ❑ Ordinance on 13' Reading ❑ Ordinance on 2nd Reading ❑ Implementing Resolution ❑ Set Public Hearing For CONTINUED TO Adopt a resolution authorizing a one -year program to encourage historic preservation by temporarily waiving private party nominations of properties to the Santa Ana register of historical properties fees and reducing Historic Property Preservation Agreement (Mills Act) fees. DISCUSSION Background on Historic Preservation Fees In March 2009, the City Council adopted a resolution that provided for a comprehensive update of the City's development processing fees. The new fee structure was the result of an extensive study by both City staff and the consulting firm of MGT of America, Inc. The resulting fees were based on 100% cost recovery of the actual cost in time and materials to provide a given service. While the fee for Historic Property Preservation Agreements (Mills Act) was included in this study, a fee for private party nomination of properties to the Santa Ana Register of Historic Properties was not Included and continued to be offered for free. When the Historic Preservation program was created in 2001, the decision to not charge a fee for private party properties was made based on the concern that a fee would discourage property owners from listing their properties. Given that the listing process was new and many historically - significant properties were at risk of being lost if altered, the incentive provided by the free application was deemed appropriate. In 2010, the City Council adopted an ordinance amendment establishing a fee for self - nominations. The decision to establish a fee for private party nominations was based on a number of factors but primary amongst these was the determination that the most significant properties had received historic status and further listings of nominated properties are primarily for the purpose of receiving the Mills Act tax reduction. The fee was developed utilizing the same methodology used to update the other development processing fees and was based on full cost recovery. 55A -1