Agenda Item   

AGENDA STAFF REPORT

 

                                                                                                                        ASR Control  22-001039

 

MEETING DATE:

12/06/22

legal entity taking action:

Board of Supervisors

board of supervisors district(s):

4

SUBMITTING Agency/Department:

County Executive Office   (Approved)

Department contact person(s):

Thomas A. Miller (714) 834-6019 

 

 

Dylan Wright (714) 480-2788

 

 

Subject:  City of Placentia Community Center Lease at Tri-City Regional Park

 

      ceo CONCUR

County Counsel Review

Clerk of the Board

Concur

Approved Agreement(s) and Resolution(s)

Discussion

 

 

4/5 Vote

 

 

 

    Budgeted: Yes

Current Year Cost: See Financial Impact Section

Annual Cost: See Financial Impact Section

 

 

 

    Staffing Impact:

No

# of Positions:

Sole Source: N/A

    Current Fiscal Year Revenue: N/A

  Funding Source: N/A

County Audit in last 3 years: N/A

 

 

    Prior Board Action: N/A

 

RECOMMENDED ACTION(S):

 

 

1. Find that the project is categorically exempt from the California Environmental Quality Act

    (CEQA), Class 1 (Existing Facilities) pursuant to CEQA Guidelines, section 15301.

 

2.  Approve and authorize the Chief Real Estate Officer or designee to execute the Lease

     Agreement with City of Placentia, in substantially the form attached with modifications that do

     not increase the cost or liability to the County, upon County Counsel approval, for a leasehold

     at the County’s Tri-City Regional Park, for a 75-year term commencing the first day of the first

     full calendar month following the fulfillment of all of the conditions set forth in Clause 5

     (Conditions Precedent to Commencement Date) of the Lease Agreement with one (1)

     24-year option to extend the Term.

 

3.  Authorize the Chief Real Estate Officer, or designee, to execute subsequent documents,

     lease amendments and option terms that make non-monetary and/or monetary changes that

     do not increase the County costs by more than $75,000 per fiscal year as approved by

     County Counsel and by the OC Parks Director.

 

4.  Adopt Board Resolution per County Ordinance Section 2-5-35 to authorize alcoholic

     beverage service within the leased premises pursuant to the Lease Agreement terms with

     City of Placentia.

 

 

 

 

SUMMARY:

 

Approval of a new 75-year rent-free Lease Agreement with the City of Placentia for the City to design, permit, fund, construct, operate and maintain a Senior Community Center at Tri-City Regional Park, will provide much needed services for the residents of the City of Placentia.

 

 

 

BACKGROUND INFORMATION:

 

In 2012, due to ongoing funding and maintenance issues, the Tri-City Park Authority, of which the City of Placentia (City) was a member, requested that the County of Orange (County) accept title to Tri-City Regional Park (Park). In 2013, a grant deed was executed and recorded, which conveyed the ownership of the Park from the Tri-City Park Authority to the County. Since 2013, the County has maintained and operated the Park as a part of the County regional park system. The County has also made significant improvements to the Park such as: replacement of restrooms; installation of new outdoor fitness equipment, fishing platform, pedestrian bridges, picnic shelters, a playground and an irrigation system; and repairs to the lake pump systems.

 

The City now desires to fund, construct, own, maintain and operate a proposed 35,000 square foot Senior Community Center (Center) for an initial lease period of 75 years with an option to extend for an additional 24 years. The Center will be located on a one-and-a-half-acre plot within the northeast corner of the Park along North Kraemer Boulevard (Premises) and will be independently operated and maintained by the City, separate from the County-owned portion of the Park. The City has agreed to do public outreach to the adjacent homeowners and also coordinate with the City of Fullerton on that outreach, and on any issues with the operation of the Center. The City has already met with the Fullerton City Manager.The City will design and construct the Center in such a way that all operations are separable from the Park, including, but not limited to, utilities, parking and access. The City’s maintenance obligations will encompass all components of the Center and its surrounding landscaping, fencing, accessways, and parking lot.

 

The City's use of the Premises shall be limited to operating the Center in a manner similar to other comparable facilities in southern California and will not impede existing public use or access to the Park. This will include use as a senior/community center for persons to gather for social, educational and recreational activities, and other related City community events and facility use rentals as permitted by the City. The Lease Agreement will provide a location for the City to construct and operate a new Center that will enhance the quality of life for residents and seniors within the community.

 

The Lease Agreement requires the City to satisfy various conditions before the Lease commences including providing preliminary development plans, any necessary environmental studies or documents, a finding of General Plan conformity, construction contracts, permits, evidence of construction funding, and notice to any neighboring city. The City will need to complete these preconditions within four years of the Effective Date of the Lease Agreement, otherwise the Lease will terminate without further action by either party. These preconditions ensure that the City meets all its design, permitting, construction, and maintenance obligations and facilitates County review prior to the Lease term commencing. The City also will be responsible for the construction costs of the Center and will need to satisfy various conditions prior to construction to ensure that the County has proper review of the construction and ensure all proper permits are secured prior to construction of the Center. The County will perform a field survey to establish the boundaries of the Premises, for which the City will pay the costs. The City also has the option to purchase the Park from the County for one dollar during the term of the Lease. As the City will be having various events at the Center, they have requested the ability to allow alcohol sales, which pursuant to County ordinance requires a Board Resolution (Attachment F).

 

Government Code Section 25536 permits the County, upon a 4/5 vote of the Board, to approve leases for County-owned property that is held for park or recreation uses, like the Park.

 

Compliance with CEQA: The proposed project is Categorically Exempt (Class 1) from provisions of CEQA pursuant to Section 15301 because it allows for a lease of existing public facilities. 

 

 

 

FINANCIAL IMPACT:

 

OC Parks does not currently anticipate any expenses associated with this lease; however, the agreement does allow for expenditures up to $75,000 per fiscal year if necessary.  OC Parks will include those expenses in Fund 405, OC Parks Operations. 

 

 

STAFFING IMPACT:

 

N/A

 

ATTACHMENT(S):

 

Attachment A - Location Map
Attachment B - Lease Agreement
Attachment C - Summary of Lease
Attachment D - Conveyance Questionnaire
Attachment E - Government Code 25536
Attachment F - Resolution-Alcohol Use within Premises