HomeMy WebLinkAboutMINUTES - 05012007 - C.59 SEL
ContraTO: BOARD OF SUPERVISORS :`�=-- `-`°=2�'
CostaFROM: DENNIS M. BARRY, AICP e `-
011
COUNTY DEVELOPMENT DIRECTOR
County
DATE: May 1, 2007 s'A'c----
SUBJECT: CONSUMMATE PURCHASE OF REAL PROPERTY LOCATED AT 2047 ARNOLD
INDUSTRIAL WAY CONCORD AREA (District IV) [CP# 07-20] (rev)
Gov. Code §25350
SPECIFIC REQUEST(S)OR RECOMMENDATION(S)&BACKGROUND AND JUSTIFICATION
Recommended Action:
A. DECLARE that this Board, on April 3, 2007 approved a Notice of Intention to Purchase Property located
at 2047 Arnold Industrial Way (the "Property"), fixing May 1, 2007, at 9:30 a.m. or thereafter, in its
Chambers, County Administration building, 651 Pine Street, Martinez, California, as the time and place
where it would meet to consummate the purchase of the Property from Transocean Financing
Corporation, a California corporation (the "Grantor"), the Property being required for County purposes.
Said Notice was duly published in the Contra Costa Times in compliance with Govt. Code Section 6063.
B. DECLARE that the BOARD hereby consummates the purchase of the Property by exercising the option
to purchase the real property at 2047 Arnold Industrial Way, Concord, California in accordance with the
terms and conditions of Section 14 of County's Facility Lease of the Property.
C. DIRECT the County Auditor-Controller to issue a check in favor of Financial Title Company, 1676 North
California Blvd. #117, Walnut Creek, CA 94596, Escrow No. 43143652-510, for$85,000 for the Property
for payment to Grantor, upon Grantor's conveying to the Co ty a Quitclaim De therefore.
Continued on Attachment:_ SIGNATURE:
RECOMMENDATION OF COUNTY ADMINISTRATOR
—RECOMMENDATION OF BOARD�COMMITTEE
APPROVE OTHER
r
SIGNATURE(S):
ACTION OF BOAR N !, 7" APP ED AS RECOMMENDED OTHER
VOTEQF SUPERVISORS . /
UNANIMOUS(ABSENT) N'�"`
AYES: NOES:.. I hereby certify that this is a true and correct
ABSENT: ABSTAIN: copy of an action taken and entered on the
minutes of the Board of Supervisors on the
date shown.
Orig. Div: Community Development o
ATTESTED:_
Contact: Kara Douglas(335-7223)
cc: Public Works,Cheryl.Sousa JOHN CULLEN, erk of the Board of
Health Services Department Supervisors and County Administrator
General Services Department
County Counsel By Deputy
SUBJECT: CONSUMMATE PURCHASE OF REAL PROPERTY LOCATED AT 2047 ARNOLD
INDUSTRIAL WAY CONCORD, DISTRICT IV [CP# 07-20]
DATE: May 1, 2007
PAGE: Page 2 of 2
D. Subject to satisfaction of the terms and conditions set forth in Section 14 of County's Facility Lease, the
Board hereby ACCEPTS the Quitclaim Deed in the form attached hereto and made a part hereof from
Grantor and DIRECTS the Real Property Division of the Public Works Department to have the Quitclaim
Deed recorded in the office of the County Recorder along with a certified copy of this Board Order.
Financial Impact:
Under the terms of the lease, when the County closes escrow on the purchase, the County will no longer be
obligated to pay rent of $32,767.72 semi-annually, thereby avoiding future interest payments on the lease
financing.
Reasons for Recommendations and Background:
The County entered into a long term financing lease dated March 1, 2000 (the "Facility Lease") with
Transocean Financing Corporation for the property located at 2047 Arnold Industrial Way, Concord, CA
(APN 159-080-036), for use by Contra Costa County as a homeless shelter. The Facility Lease was
assigned to Transamerica Public Finance LLC on March 1, 2000. Upon the County making its final payment
on the Facility Lease in March 2015, and its satisfaction of other administrative requirements, it is entitled to
receive title to the property. In addition, the Facility Lease contains an early purchase option under which the
County can purchase the property prior to the end of the lease term. The.County is in a position to secure
additional grant funds for the purpose of providing additional services at the shelter. Outright ownership of
the premises will greatly enhance the County's ability to obtain such financing.
On April 3, 2007 the Board of',Supervisors allocated $355,761 in FY 2006/07 Community Development
Block Grant (CDBG) Housing ,Development Assistant Funds (HDAF) for this project. These funds will be
deposited in escrow in addition''to the $85,000 identified in this Board order.
Compliance with the California Environmental Quality Act
In 1994, at the time the County established the homeless shelter at this site, the County prepared an
Environmental Impact Report '(EIR) on the project to satisfy the review requirements of the California
Environmental Quality Act (CEQA). The EIR described the project as including:
• Authorization for Contra Costa County to execute a purchase agreement for the site at 2047
Arnold Industrial Way; and
• Contra Costa County's allocation of funding for the project. (ref. pg. 1.5 of the 1994 Draft EIR)
The EIR studied the project (including proposed acquisition of the site and determined that it would not result
in any significant impacts to the environment). After allowing for public review and comment on the Draft
EIR, and responses to those comments, on May 10, 1994 (Agenda item D.1(a)) the Board of Supervisors
certified the Final EIR, and otherwise authorized the establishment of a County Homeless Shelter at the site.
The 1994 EIR satisfies the CEQ'A review requirements for the current proposed acquisition.
Consequences of Negative Action:
Ar w
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SUBJECT: CONSUMMATE PURCHASE OF REAL PROPERTY LOCATED AT 2047 ARNOLD
INDUSTRIAL WAY CONCORD, DISTRICT IV [CP# 07-20]
DATE: May 1, 2007
PAGE: Page 2 of 2
The County will not obtain an ownership interest in the property, will be obligated to continue to pay rent, and
may not be eligible to obtain additional funds for the homeless shelter.