Agenda Item Wording:
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Authorization to execute a final Certificate of Cancellation for Williamson Act Land Conservation Contract No. 2735, covering approximately 2.36 acres and located outside of the area protested by the City of Visalia. The site is located on the north side of Ferguson Avenue, situated approximately 1,288 feet north of Ferguson Avenue and 789 feet west of Demaree Street, within the City of Visalia (APN: 077-190-007). Resolution 2023-24 required.
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Deadline for Action: 6/19/2023
Submitting Department: Community Development
Contact Name and Phone Number:
Brandon Smith, Principal Planner, (559) 713-4636, brandon.smith@visalia.city <mailto:brandon.smith@visalia.city>;
Paul Bernal, Community Development Director, (559) 713-4025, paul.bernal@visalia.city <mailto:paul.bernal@visalia.city>
Department Recommendation:
Staff recommends that the City Council authorize the City Manager to execute and record the Final Certificate of Cancellation for Land Conservation Contract No. 2735, encompassing a portion of property located on the north side of Ferguson Avenue west of Demaree Street, based on staff’s determination that conditions and contingencies of the Tentative Cancelation as set forth by the Board of Supervisors of the County of Tulare have been met.
Tentative Cancellation under County Jurisdiction:
The subject parcel, 23.7 acres, was originally a portion of a County island located within the City of Visalia’s Tier I Urban Development Boundary. Residential homebuilder D.R. Horton filed entitlements with the City of Visalia to subdivide the parcel into 117 single-family residential lots and a 2.02-acre park consistent with the underlying Low Density Residential and Parks/Recreation land use designations. The tentative subdivision map was approved by the Visalia Planning Commission on September 26, 2022, and the property proceeded to the Tulare County Local Agency Formation Commission (LAFCO) for approval of the annexation on March 1, 2023.
While the property was still located within County jurisdiction, the project applicant initiated a Williamson Act Land Contract Cancellation with the County of Tulare. On August 2, 2022, the Tulare County Board of Supervisors authorized issuance of a Certificate of Tentative Cancellation for the 23.7-acre parcel. As is standard practice with contract cancellations and the Williamson Act, the tentative approval was subject to certain conditions including the payment of a penalty fee for ending the contract (refer to Attachment 2 Recorded WAC 22-001). The applicant did not complete the cancellation process with the County of Tulare and instead chose to rely upon the valid protest issued by the City of Visalia in 1969 for the initial creation of the Williamson Act contract, which would allow the contract to be cancelled upon annexation without being subject to the penalty fees.
Upon processing the annexation request, Tulare County LAFCO staff drew attention to a nuance wherein a 2.36-acre portion of the contract area was over one mile outside of the existing City limits at the time of protest. The Williamson Act allows for the cancellation of contracts that are within a one mile radius of the City limits at the time of protest. As a result, upon annexation, the majority of the site (21.34 acres) was successfully protested and not subject to cancelation fees, and the remaining 2.36 acres would remain under contract upon annexation and would be subject to completing the cancellation process.
The remaining 2.36 acres is therefore finishing out the contract cancellation process that was originally initiated in the County of Tulare. This can be done because, under State law (Government Code section 56754), when the City annexed the parcel, it succeeded to the “rights, duties, and powers” previously held by Tulare County. State law further allows for a landowner to request re-computation of the cancellation fee. The Tulare County Assessor issued a re-computation of the current fair market value for the 2.36-acre portion of land only, estimated to be $295,000 (refer to Attachment 4, Revised WA Cancellation Letter). The actual cancellation fee is equal to 12.5% of the current fair market value, which is calculated at $36,875.
Fulfillment of Conditions Established with the Tentative Cancellation:
All conditions of the Certificate of Partial Tentative Cancellation of Land Conservation Contract issued by the County of Tulare on August 2, 2022, have now been met. They are:
1. Payment in full to the County Treasurer for the amount of the cancellation fee, which is [$36,875], computed pursuant to the provisions of the California Government Code (GC) Section 51283, with such notices and statements as are required to be included by the provisions of California GC Section 51283.4. [Note: The amount of the cancellation fee has been re-computed to this amount based on a letter for the Tulare County Assessors office dated April 25, 2023.]
Staff has received a copy of a receipt verifying that this fee was paid in full on June 1, 2023. A copy of the receipt is attached as Attachment 3 Cancellation Fee Receipt.
2. Filing an application and paying fees for the diminishment of the Agricultural Preserve (No. 187) for the subject property.
The applicant has filed a request with fees for the diminishment with the City of Visalia. The request for diminishment of the Agricultural Preserve (No. 187), which includes a public hearing, will be processed at a subsequent City Council meeting.
3. Securing all applicable County permits necessary for the alternative use.
The applicable permits for the alternative use were filed and approved with the City of Visalia. Specifically, the Victory Oaks Tentative Subdivision Map was approved by the Visalia Planning Commission on September 26, 2022.
4. Payment in full to the County Resource Manage Agency of any outstanding balance due for the cancellation application and report preparation costs.
This condition is no longer applicable, as the request is now being processed in the City and all applicable fees have been paid to the City.
Fiscal Impact:
None.
Prior Council Action:
On November 7, 2022, after holding a public hearing, the City Council took actions that included initiating the proceedings for Annexation No. 2022-01, for annexation of the 23.7-acre subject site into the City limits.
Alternatives: None recommended.
Recommended Motion (and Alternative Motions if expected):
recommendation
I move to adopt Resolution No. 2023-24, authorizing staff to execute and record the final Certificate of Cancellation for Land Conservation Contract No. 2735.
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Environmental Assessment Status:
The Council previously certified Mitigated Negative Declaration No. 2022-04 on November 7, 2022. This document is adequate for use with this proposal.
CEQA Review:
The Council previously certified Mitigated Negative Declaration No. 2022-04 on November 7, 2022. This document is adequate for use with this proposal.
Attachments:
1. Resolution No. 2023-24
2. Recorded Certificate of Tentative Cancellation
3. Receipt of payment of Cancellation fees
4. Letter from Assessors Office pertaining to computation of fair market value
5. Map showing area to be removed from contract