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CIC Resolution 98-71COMMUNITY IMPROVEMENT COMMISSION OF THE CITY OF ALAMEDA RESOLUTION NO. 98-71 APPROVING AND ADOPTING RULES FOR OWNER PARTICIPATION BY PROPERTY OWNERS/BUSINESS OCCUPANTS IN COMMUNITY IMPROVEMENT COMMISSION PROJECT AREAS TO REPLACE EXISTING RULES FOR OWNER PARTICIPATION IN THE WEST END COMMUNITY IMPROVEMENT AND BUSINESS AND WATERFRONT IMPROVEMENT PROJECTS AND TO SERVE AS RULES FOR REDEVELOPMENT AREAS IN THE CITY OF ALAMEDA WHEREAS, the Community Improvement Commission (CIC) of the City of Alameda has prepared a proposed Community Improvement Plan for the Alameda Point Improvement Project; and WHEREAS, Section 33345 of the California Community Redevelopment Law (Health and Safety Code Section 33000 et seq.) provides that a redevelopment agency shall adopt and make available for public inspection rules to implement the operation of owner participation in connection with a redevelopment plan; and WHEREAS, Section 33339.5 of the California Community Redevelopment Law provides that a redevelopment agency shall adopt and make available for public inspection rules regarding the extension of reasonable preferences to persons who are engaged in business in the project area to reenter in business within the redeveloped area if they otherwise meet the requirements prescribed by the redevelopment plan; and WHEREAS, in 1983, the CIC adopted rules governing owner participation for the West End Community Improvement Project (WECIP) and in 1991, adopted essentially identical rules for the Business and Waterfront Improvement Project (BWIP); and WHEREAS, one set of rules could apply to all of the City's redevelopment areas, thereby eliminating confusion and assuring uniformity in all redevelopment area practices. NOW, THEREFORE, BE IT RESOLVED by the Community Improvement Commission of the City of Alameda, acting by and through its Chair and members, hereby rescind the previously adopted rules governing owner participation for the West End Community Improvement Project (WECIP) and the Business and Waterfront Improvement Project (BWIP) and replace same with "Rules for Owner Participation by Property Owners/Business Occupants in Community Improvement Commission Project Areas" in the form attached hereto and incorporated herein by reference. RULES FOR OWNER PARTICIPATION BY PROPERTY OWNERS /BUSINESS OCCUPANTS IN COMMUNITY IMPROVEMENT COMMISSION PROJECT AREAS Adopted by the Community Improvement Commission of the City of Alameda RULES FOR OWNER PARTICIPATION BY PROPERTY OWNERS/BUSINESS OCCUPANTS IN COMMUNITY IMPROVEMENT COMMISSION PROJECT AREAS I. [§100] PURPOSE AND INTENT These rules are adopted pursuant to the Community Redevelopment Law (CRL) of the State of California in order to implement the provisions of the Community Improvement Plans (CIPs) for all project areas established under the provisions of the CRL within the City of Alameda. These rules set forth the procedures governing participation by property owners and the extension of reasonable preferences to business occupants within Project Areas. It is the intention of the CIC to encourage and permit participation in the redevelopment of Project Areas by property owners and to extend reasonable preferences to business occupants of real property within the boundaries of Projects Areas to the maximum extent consistent with the objectives of each Project Areas' respective CIP. II. [§200] DEFINITIONS As used herein, the following definitions apply: (1) "CIC" means the Community Improvement Commission of the City of Alameda. (2) "Business Occupant" means any person, persons, corporation, association, partnership or other entity engaged in business within a Project Area on or after the date of adoption of the CIP for that Project Area by the City Council of the City of Alameda. (3) "Owner" means any person, persons, corporation, association, partnership or other entity holding title of record to real property in a Project Area on or after the date of adoption of the Project Area CIP by the City Council of the City of Alameda. (4) "Owner Participation Agreement" means an agreement entered into by an Owner with the CIC in accordance with the provisions of a CIP and these rules. (5) "Project Area" means any redevelopment area established under the provisions of the CRL within the City of Alameda. (6) "Community Improvement Plan" means the Community Improvement Plan adopted for a redevelopment area within the City of Alameda. TABLE OF CONTENTS Page 1. [§100] PURPOSE AND INTENT II. [§200] DEFINITIONS . . 1 III. [§300] ELIGIBILITY 2 IV. [§400] TYPES OF PARTICIPATION . 2 V. [§500] CONFORMING OWNERS VI. [§600] OWNER PARTICIPATION AGREEMENTS 4 VII. [§700] NOTICE TO OWNERS; TIME TO ENTER INTO AGREEMENT . 4 VIII. [800] CONTENTS OF OWNER PARTICIPATION AGREEMENTS . 4 IX. [§900] LIMITATIONS ON ACQUISITION OF PROPERTY BY THE CIC..... . . . . . ................ 5 X. [§1000] PREFERENCE TO BUSINESS OCCUPANTS WITHIN THE PROJECT AREA . . . . . . . . . . ............ 5 XI. [§1100] AMENDMENT OF RULES 5 III. [§300] ELIGIBILITY Owners shall be eligible to participate in the redevelopment of property within a Project Area in accordance with the provisions of its respective CIP, these rules and the limitations herein described. Participation opportunities are necessarily subject to, and limited by, factors such as the following: (1) The elimination and changing of some land uses; (2) The construction, widening or realignment of some streets; (3) The ability of participants to finance acquisition and development or rehabilitation in accordance with a CIP; (4) The reduction in the total number of individual parcels in a Project Area; and, (5) The construction or expansion of public facilities. The CIC presently contemplates that in carrying out a CIP, certain portions of a Project Area may be acquired by the CIC for public improvements, facilities and utilities and for other uses and purposes in accordance with the Project Area CIP. Therefore, ownership participation opportunities will not be available for such properties. IV. [§400] TYPES OF PARTICIPATION Subject to these rules and the limitations in Section 300 and this Section 400, Owners shall be given a reasonable opportunity to participate in redevelopment by: (1) Retaining all or a portion of their properties and developing or improving such property for use in accordance with a Project Area CIP; (2) Acquiring adjacent or other properties within a Project Area and developing or improving such property for use in accordance with its CIP; or (3) Selling their properties to the CIC and purchasing other properties in the Project Area and developing or improving such property for use in accordance with the Project Area CIP. Each proposal for participation shall be reviewed by the CIC specifically with respect to the following: (1) Conformity with the land use provisions of the Project Area CIP; 2 (2) Compatibility with the standards, covenants, restrictions, conditions and controls of the Project Area CIP; (3) Compatibility with parcelization of the Project Area into sites adequate for redevelopment; and, (4) The participant's ability to finance the acquisition and development or improvement in accordance with the CIP. If conflicts develop between the desire of participants for particular sites or land uses, the CIC is authorized to establish reasonable priorities and preferences among the Owners. Some of the factors to be considered in establishing these priorities and preferences may include: (1) occupancy and period thereof by the participant within the Project Area; (2) demonstration that participant has the necessary source of funds, ability and commitment to accomplish the proposed project; (3) demonstration that participant has had success with comparable undertakings, (4) the financial terms of the proposed business offer; (5) the extent to which the proposed project meets the goals and compliments the objectives of the CIC; and, (6) the extent to which the proposed project would result in economic benefit to the Project Area and/or the surrounding community; V. [§500] CONFORMING OWNERS The CIC may, in its sole and absolute discretion, determine that certain real property within a Project Area presently meets the requirements of the CIP and the Owners of such property will be permitted to remain as conforming Owners without an Owner Participation Agreement with the CIC, provided such Owners continue to operate, use and maintain the real property within the requirements of the CIP. In the event that any of the conforming Owners desire to (1) construct any additional improvements or substantially alter or modify existing structures on any of the real property described above as conforming, or (2) acquire additional property within a Project Area, then, in such event, such conforming Owners may be required by the CIC to enter into an Owner Participation Agreement with the CIC. VI. [§600] OWNER PARTICIPATION AGREEMENTS Public and private Owners wishing to develop or improve their properties in a Project Area may be required, as a condition of CIC approval of such development or improvement, to enter into an Owner Participation Agreement with the CIC if the CIC determines it is necessary to impose upon such property any of the standards, restrictions and controls of the Project Area CIP. The Agreement may require the participant to join in the recordation of such documents as the CIC may require in order to ensure the property will be developed and used in accordance with the Project Area CIP and the Owner Participation Agreement. VII. [§700] NOTICE TO OWNERS; TIME TO ENTER INTO AGREEMENT If the CIC determines that an Owner of real property within a Project Area shall be required to enter into an Owner Participation Agreement as provided in Section 600 of these Rules, the CIC shall notify the Owner in writing of his intention to require an Owner Participation Agreement and shall provide the owner with a copy of the proposed Owner Participation Agreement. An Owner presented with an Owner Participation Agreement by the CIC must enter into the Agreement within a reasonable period of time as determined by the CIC. An Owner must submit proof of his qualifications, including financial responsibility, to carry out the terms and provisions of the Owner Participation Agreement. VIII. [§800] CONTENTS OF OWNER PARTICIPATION AGREEMENTS An Owner Participation Agreement shall obligate the Owner, his heirs, and successors and assigns, and tenants to devote the property to the uses specified in the Project Area CIP, abide by all provisions and conditions of the CIP for the period of time that the CIP is in force and effect, and comply with all the provisions of the Owner Participation Agreement according to their terms, duration and effect. An Owner Participation Agreement may provide that if the Owner does not comply with the terms of the Agreement, the CIC, in addition to other remedies, may require such property or any interest therein by any lawful means, including eminent domain, for its fair market value as of the date of the Owner Participation Agreement, and the CIC may thereafter dispose of the property or interest so acquired in accordance with the Project Area CIP. 4 An Owner Participation Agreement shall contain such other terms and conditions which, in the discretion of the Commission, may be necessary to effectuate the purposes of the CIP. IX. [5900] LIMITATIONS ON ACQUISITION OF PROPERTY BY THE CIC The CIC shall not acquire real property to be retained and developed by an Owner pursuant to a fully executed Owner Participation Agreement if the Owner fully performs under the Agreement. The CIC shall not acquire real property on which an existing building is to be continued on its present site under the CIP and in its present form and use without the consent of the Owner, unless: (1) Such building requires structural alteration, improvement, modernization or rehabilitation; (2) The site or lot on which the building is situated requires modification in size, shape or use; or (3) It is necessary to impose upon such property any of the controls, limitations, restrictions and requirements of the Project. Area CIP and the Owner fails or refuses to participate in redevelopment by executing an Owner Participation Agreement in accordance with the provisions of the Project Area CIP. X. [51000] PREFERENCE TO BUSINESS OCCUPANTS WITHIN THE PROJECT AREA Business Occupants who desire to remain within the Project Area shall be extended a reasonable preference to remain or reenter in business within the Project Area, if they otherwise meet the requirements prescribed in these rules and the CIP. XI. [51100] AMENDMENT OF RULES These rules may be modified or amended from time to time by the CIC at any regular or duly called special meeting, provided, however, that no such amendment shall retroactively impair the rights of Owners who have executed Owner Participation Agreements with the CIC in reliance upon these rules as presently constituted. F:Apip/OP Rules C:\wp5INDATA\RESONRULES. I, the undersigned, hereby certify that the foregoing Resolution was duly and regularly adopted and passed by the Community Improvement Commission of the City of Alameda in special meeting assembled on the 6th day of January , 1998, by the following vote to wit: AYES: Commissioners Daysog, DeWitt, Kerr and Chair Appezzato - 4. NOES: None. ABSENT: Commissioner Lucas - 1. ABSTENTIONS: None. IN WITNESS, WHEREOF, I have hereunto set my hand and affixed the official seal of said Commission this 7th day of January , 1998. 64e( / Diane Felsch, Secretary Community Improvement Commission Ralph-zAppezza d,.thair Community Improvement Commission