HomeMy WebLinkAbout06/01/1992, C-8 - PURCHASE OF REAL PROPERTY FOR SITING THE AUTOPARK WAY WATER TREATMENT TANKS AND FACILITIES l�lll�`yIII��IIIIIIIII II vy MEETING DATE:
II IIIIII C� Q San ��.�5 �B�Sp� JUNE 2 9992
COUNCIL AGENDA REPORT ITEM NUMBER:
FROM: William T. Hetland " PREPARED BY: David Zweig
Utilities Director Water Projects Manager
SUBJECT:
PURCHASE OF REAL PROPERTY FOR SITING THE AUTOPARK WAY WATER
TREATMENT TANKS AND FACILITIES
CAO RECOMMENDATION:
By motion approve and authorize the Mayor to: 1) execute the attached agreement for the
purchase of real property from the Hysen Living Trust and the Johnson Living Trust for the
sum of $45,000.00, and 2) have funds placed into escrow to cover the agreed upon purchase
price plus an additional $5,000.00 for escrow fees, title insurance, recording fees, attorneys
fees, and other related expenses.
DISCUSSION:
Background
The Autopark well and associated treatment tanks and booster pump station were constructed in
mid-1989 in response to prolonged drought conditions. The well, tanks, and pump house are
located in the center island of the Autopark Way Cul-de-sac. The installation of these facilities was
approved by the ARC on a temporary basis on July 17, 1989. At that time, the Commission directed
the City's Utilities Department staff to explore alternative sites for the facility and to relocate the
tanks within 90 days. At its meeting of May 14, 1990 the ARC extended approval for the units to
November 17, 1991. An Administrative Use Permit was approved on November 17, 1989 which
expired on November 21, 1991.
In the years since the Autopark well was put into service, staff has contacted property owners in the
area to inquire about possible locations for the water treatment tanks. The City entered into
negotiations with several of the property owners in an effort to lease or buy property for the purpose
of relocating the tanks. For various reasons, these negotiations failed to produce a new tank site
for the City.
In October of 1991, Staff approached the owners of the Hysen-Johnson Ford property to see if
they might be interested in selling a small undeveloped corner of one of their parcels. The owners
responded positively, and negotiations followed for several months thereafter. Items of negotiation
included purchase price,easements, access,inconvenience to tenants,and construction arrangements.
The proposed tank site property consists of 5894 square feet (approximately 1/8 acre) of land which
is currently owned by the Hysen and Johnson families. The agreed upon price for the property was
$45,000.00.
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i��p�l�n►►►i►►illlilllli1° IIIIIN city of sant oBispo
COUNCIL AGENDA REPORT
Purchase of Real Property
Page 2
Importance of Autopark Well
At this time, ground water accounts for approximately 45% of the City's water supply. Autopark i
well is the City's highest producing well. In 1991, Autopark well produced 1032 acre-feet of water,
accounting for 22% of all water delivered during that year. Autopark well is considered to be an .
essential element of the City's water supply. It provides flexibility to the water distribution system, i
and serves as a reliable "in City" source of water. The development of groundwater in general and
Autopark well in particular is in keeping with the City's commitment to a multi-source water supply. j
Proposed Site for Tanks and Facilities
The proposed site for the Autopark Way tanks and pump house is adjacent to the back parking
lot of the Hysen Johnson Ford dealership (see attached sketches). The site is roughly triangular
in shape. It is surrounded on two sides by parking lots and bordered on the third side by the
Prefumo Creek easement. Trees will be planted at the proposed site to screen the tanks from
view.
Water will be pumped approximately 300 feet from the existing well in the traffic circle through a
pipeline to the tanks. After passing through the tanks, the water will go through the booster pump
station and then back through 300 feet of pipe to the water main located in the traffic circle.
Restoration of Traffic Circle Island
The removal of the water system facilities will disturb less than 1/4 of the existing landscaped area
in the traffic circle. The area that is disturbed will be re-landscaped as.part of this project. The
landscaping has been, and will continue to be maintained by the Public Works Department.
CONCURRENCES:
In accordance with City policy, the Community Development Department performed an
environmental review of the tank relocation project prior to property acquisition. The
environmental review resulted in the Director of Community Development filing a mitigated
negative declaration for the project.
Additionally, the Architectural Review Commission reviewed the proposed tank relocation project
and granted final approval on May 4, 1992. A Use Permit was granted for the proposed project
by the Community Development Department on May 6, 1992.
The two businesses facing the traffic circle have expressed their support for moving the tanks to a
new location. These businesses are Rancho Grande Motors and Hysen Johnson Ford (the owners
of the Ford dealership lease their location from the Hysen and Johnson families).
ii�B�l►�iii�iiilllllillP1° IlUlli city of San ' S OBISPO
WiN COUNCIL AGENDA REPORT
Purchase of Real Property
Page 3
FISCAL IMPACT:
A total of $2.35 million was approved for the groundwater development phase III program
(1989/91 financial plan supplement and approved 1990/91 budget, page H-16). Funds are
available in this project, 050-9744-092-570, to support this activity.
A separate Council Agenda Report will be prepared for the construction phase of the tank';
relocation project. The estimated construction cost of relocating the tanks is $175,000. This i
figure includes crane costs, piping, fencing, pavement, new concrete slabs, electrical work, painting,
landscaping, and willow tree replacement. For an additional $8000, the tank slab and the pump
house slab can be removed from the Autopark Way traffic circle, if the Council so desires.
ALTERNATIVES:
Two alternatives to the recommended course of action are discussed below.
ALTERNATIVE 1 - LEAVE THE TANKS IN THE TRAFFIC CIRCLE
Leaving the tanks in their present location would require the following: j
1. Environmental review
2. ARC Approval
3. Approval of an administrative use permit
4. Screening the facilities in some manner such that the regulatory bodies and the neighboring
property owners are satisfied with the results.
This alternative is not recommended because the above mentioned requirements, if possible at
all, would be prohibitively expensive.
ALTERNATIVE 2 - CONTINUE SEARCHING FOR AN ALTERNATE TANK LOCATION j
A new tank location must be as close as possible to the existing well in order to minimize piping
costs. The proposed tank site is approximately 300 feet from the well. For three years, other
possible tank sites have been examined by Staff and found to be infeasible or prohibitively
expensive. Therefore,. this alternative is not recommended.
Attachments: 1. Agreement
2. Sketches
P:\D\ALJTOPARK\CAR.VVP
Recording requested by,
when recorded mail to:
Utilities Department
c/o City Clerk
City of San Luis Obispo
990 Palm Street, P.O. box 8100
San Luis Obispo, CA 93403-8100
APN: 053-151-034
053-151-035
AGREEMENT FOR THE PURCHASE OF REAL PROPERTY
This agreement is entered into this day of ,
1992 , by and between Carl Leslie Hysen and Virginia R. Hysen,
Trustees of the Hysen Living Trust dated June 23 , 1988 , and
Robert Burton Johnson and Elizabeth Ann Johnson, Trustees of the
Johnson Living Trust, dated June 23 , 1988 , joint owners of
Parcels 1 and 2 of Parcel Map SLO-79-157 , hereafter collectively
referred to as "Owner" , and the City of San Luis Obispo, a
chartered municipal corporation, hereafter referred to as "City" ,
collectively referred to as "Parties" .
In consideration of the mutual and respective covenants and
promises set forth herein and subject to all the terms and
conditions hereof, the Parties hereby agree as follows:
1. Description of Property.
The City wishes to' acquire, and Owner agrees to grant and
convey to City, a portion of Parcel 2 in Parcel Map SLO-79-
157 , as recorded in Book 29 of Parcel Maps at Page 11 in the
office of the San Luis Obispo County Recorder. The portion
of Parcel 2 , hereinafter referred to as the "Subject
Property" , is surrounded on three sides by the Hysen-Johnson
Ford parking lot, and on the fourth side by the Prefumo
Creek easement. The Subject Property is shown in the
attached "Exhibit All and is more particularly described as
follows:
Beginning at the northeast corner of Parcel 1, as
shown in Parcel Map SLO-79-157, proceed to a
point at bearing N 34014130" W, 106. 73 feet;
Thence N 56033129" E, 27 . 38 feet to a point;
Thence S 81051139" E, 63 . 27 feet to a point; .
Thence N 45000146" E, 15. 19 feet to a point;
Thence S 44 °25157" E, 20. 00 feet to a point;
Thence S 28055100" W, 103 . 76 feet to the point of
beginning.
C��-y
Agreement: Hysen-Johnson
Page 2
The City intends to relocate the existing water treatment
tanks from the center of the Autopark Way traffic circle to
the Subject Property, and add future treatment units as
necessary on the Subject Property. Necessary utilities for
the Subject Property .will reach the Subject Property through
an existing easement in what is now the Hysen-Johnson Ford
dealership ' s back parking lot.
The Parties acknowledge that the Subject Property is not now
an existing and separate parcel of real property. City
shall, at City ' s sole cost and expense, apply for and
effectuate such lot line adjustments or property division as
shall be necessary to create such a legal parcel . Owner
agrees to execute such documents or applications as shall be
reasonably necessary to accomplish such purpose. City shall
reimburse Owner for any expenses incurred by Owner with
regard to such lot line adjustment.
2. Purchase Price.
The purchase price for the Subject Property and compliance
with the provisions described herein will be forty-five
thousand dollars ($45, 000. 00) . City shall deposit the
entire purchase price into escrow, by certified or cashier' s
check, during business hours at least one business day
before close of escrow.
3 . Escrow.
This sale shall be consummated through an escrow established
with Ticor Title Insurance Company of San Luis Ob$spo. The
closing date for the escrow shall be no later than sixty
(60) days from the date of this agreement, unless extended
by mutual agreement of the Parties, which agreement shall
not be unreasonably withheld. Escrow shall be considered
closed when the grant deed to the property is recorded.
Within fifteen (15) days from the execution of this
agreement, each party shall execute and deliver to the
escrow holder its written instructions consistent with the
terms of this agreement and shall provide the escrow holder
with such other information, documents and instruments as
the escrow holder may reasonably require to enable it to
close the transaction on the closing date.
4. Title.
Seller shall by grant deed convey to City a fee simple
interest in the Subject Property. The conveyance to City
shall be of good and marketable title to the Property, as
evidenced by a CLTA standard coverage title insurance policy
paid for by the buyer and issued by Ticor Title Insurance
Company in the full amount of the purchase price, insuring
that title to the Property is vested in buyer free and clear
of all liens and encumbrances, except those approved by
ed
Agreement: Hysen-Johnson
Page 3
buyer in writing, and a lien for current real property
taxes. Buyer shall pay all recording fees, escrow fees,
title insurance costs and attorneys ' fees of both parties in
preparing and effectuating this agreement.
5 . Obliaations of Parties After Close of Escrow.
a. Richt of Access.
The Owner further agrees to grant a general right of access
to the Subject Property through Parcel 1 and Parcel 2 of
Parcel Map No. SLO-79-157 via driveways and parking areas in
a form acceptable to both Parties. The Owner shall
designate a route to the Subject Property that is
satisfactory to the City and existing Tenant (s) of Parcel 1
and Parcel 2 . The Owner will also provide copies of any
keys necessary for the City to gain access to the Subject
Property.
b. Gates.
Prior to construction on the Subject Property, the City will
install, at City' s sole cost and expense, two new 25 ' wide
gates in the existing fence between the Subject Property and
the existing paved areas (approximate locations are shown in
Exhibit A) . The existing gate will not be used for normal
operations. During installation of the gates to the
premises, and thereafter, City agrees to provide, at City' s
sole cost and expense, such reasonable security measures as
Owner and/or Owner' s tenant may require for the protection
of tenant's automobile dealership.
c. Notice of Access.
Daily access to the Subject Property through one gate will
be required by the City. Approximately once every eighteen
months, access through both proposed gates by a "semi" truck
and trailer will be required to exchange carbon in the
treatment tanks. The City will provide Owner and existing
Tenant with seven (7) days notice prior to scheduling a
truck delivery.
d. Emergency Access.
Emergency access to the Subject Property through both gates
shall be allowed at any time upon prior notice to Owner and
existing Tenant by City.
e. Utilities.
Utilities will reach the Subject Property through existing
public utilities easements .
eve
Agreement: Hysen-Johnson
Page 4
f. Construction Arrangements.
Owner agrees to arrange for the relocation of parked cars
and equipment as necessary during the initial relocation of
water treatment facilities to the site., City agrees to
ensure that construction at the Subject Property will take
no longer than 60 days, and that trenching across the
parking lot will take no longer than 5 days. During
trenching, cars will be provided with some means of crossing
-the trench (such as a steel plate) at City ' s sole expense.
If, due to unforseen circumstances through no fault of City,
additional time is required for trenching and/or
construction, a time extension will be granted on reasonable
and mutually agreeable terms.
g. Dust Control .
The City will provide dust control measures during
construction at the Subject Property.
h. Maintenance of Property.
The City will maintain the Subject Property in good
condition, and shall effectuate such repairs as may be
reasonable necessary to the pavement across which access to
the Subject Property is obtained under this agreement.
i. Landscaping in Autonark Way Circle.
The City, at City's sole cost and expense, agrees to
promptly restore and maintain the landscaping within the
Autopark Way traffic circle after the removal of the water
treatment facilities.
6. Right of First Refusal .
City hereby grants to Owner a right of first refusal to
repurchase the Subject Property in the event that City
determines to sell all or any part of the premises. In such
event, City shall notify Owner of the terms on which City is
willing to sell the Subject Property. If Owner, within
fifteen (15) days after receipt of City' s notice, indicates
in writing Owner's agreement to purchase the premises or a
part of the premises on the terms stated in City' s. notice,
City shall sell and convey the Subject Property or part
thereof to Owner on the terms stated in the notice. If
Owner does not indicate Owner' s agreement within fifteen
(15) days, City shall have 'the right to sell and convey the
Subject Property or part of the Property to a third party.
Upon any sale of the Subject Property to a third party, the
rights of access referenced in Paragraph 5 (a) , above, and
all rights thereunder across Parcels 1 and 2 shall
immediately terminate.
Agreement: Hysen-Johnson
Page 5
7. Abandonment.
Upon abandonment by the City of the use of the Subject
Property for water systems facilities for a period in excess
of six (6) months, Owner shall have the option to repurchase
the Property at current market value, as determined by an
appraiser to be agreed upon by both parties. A temporary
shutdown or modification of the treatment facilities for
less than three (3) months shall not be construed as an
abandonment hereunder.
S . Contingencies.
The City' s obligation to purchase the Subject Property is
contingent on Architectural Review Commission and Planning
Commission approval for relocation of the treatment tanks to
this site.
9 . Notices.
All notices and demands shall be given in writing either by
personal service or by registered or certified mail, postage
prepaid, and return receipt requested. Notice shall be
considered given 48 hours after deposit in mail . Notices
shall be addressed as appears below for each party, provided
that if any party gives notice of a change. of name or
address, notice shall thereafter be given as demanded in
that notice.
City: Utilities Department
c/o City Clerk
City of San Luis Obispo
990 Palm Street, P.O. Box 8100
San Luis Obispo, CA 93403-8100
Owner: Hysen Living Trust
1717 Conejo
San Luys .Obispo, CA 93401
Johnson Living Trust
618 Al Hill Drive
San Luis Obispo, CA 93405
Copy to: Roderick A. Rodewald
Diehl & Rodewald
P.O. Box 1207
San Luis Obispo, CA 93406
�7! �O
Agreement: Hysen-Johnson
Page 6
10. Waiver of Rights .
Any waiver at any time by either party hereto of its rights
with respect to a breach or default, or any other matter
arising in connection with this agreement, shall not be
deemed to be a waiver with respect to any other breach,
default or matter.
11. Successors and Assigns .
This agreement shall be binding on the heirs, executors,
administrators, successors, agents, lessees and assigns of
the respective parties.
12 . Cooperation.
Each party to this agreement agrees to do all things that
may be necessary, including, without limitation, the
execution of all documents which may be required hereunder,
in order to implement and effectuate this agreement.
13 . Entire Agreement.
This agreement is freely and voluntarily entered into by the
Parties after having had the opportunity to consult with
their respective attorneys. The Parties, in entering into
this agreement, do not rely on any inducements, promises, or
representations made by each other, -their representatives,
or any other person, other than those inducements, promises,
and representations contained in this agreement. This
agreement represents the entire agreement of the Parties.
14 . Recordation.
The City shall record this agreement. The City will be
responsible for any recording costs.
15. Time of the Essence.
Time is of the essence of this agreement and failure to
comply with this provision shall be a material breach of
this agreement.
16 . Costs and Attornev' s Fees.
The prevailing party in any action between the parties to
this agreement- brought to enforce the terms of this
agreement or arising out of this agreement may recover its
reasonable costs and attorney ' s fees expended in connection
with such an action from the other party.
IN WITNESS WHEREOF, the Parties have hereunto set their
hands the day and year first entered above, at San Luis Obispo,
California.
CITY OF SAN LUIS OBISPO
By.
Mayor Ron Dunin
C'�=9
Agreement: Hysen-Johnson
Page 7
ATTEST:
Pam Voges, City Clerk
APPROVED AS TO FORM:
=ROVED
t ney AS 0 CONTENT:
Tltil itic� T1i rGrf•nl^ - �
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STATE OF CALIFORNIA }ss.
COUNTY OF Sq J
�a= On Aotz;g, Se /YY L— before me.
b personally appeared lststee of
ed
u
personally known to me (or proved
to me on the basis of satisfactory evidence)to be the person(s) whose name(s) i$creAubscribed to the within
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LL instrument and acknowledged to me that he./shehe executed the same in his/he th ' authorized capacity(ies),
mand that by his/her ev ignature(s) on the instrument the person(s) or the entity upon behalf of which the 1 tStC� at d
person(s) acted, executed the instrument.
OFFICUU SEAL
KAREN S. BOUCHER
WITNESS my hand and offici'Y;I�Jseal. Notary
fattr1Y
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STATE OF CALIFORNIA )ss. �
COUNTY OF - 4 d } > 'Trustee
EOn /l?�� /9fJ--- before me, '/1E/J S• da: 2 a Trust,
personally appeared /Zv4e-t� A�—lzor.7 /"wy
1
3/r�✓So—r personally known to me (or proved
to me on the basis of satisfactory evidence)to be the person(s) whose name(s) iss e) ubscribed to the within 00f,
Trustee
iI instrument and acknowledged to me that he/she he ecuted the same in his/her ;;authorized capacity(ies), rig Trust,
m and that by hisRtc,4�Absp)signature(s) on the instrument the person(s) or the entity upon behalf of which the
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persons) acted,executed the instrument.
OFFICIAL!61995
L
KAREN S. BHER
c WITNESS my hand and official seal. Notary FubBeotNa
g r ..,� . MA�ILtAS df,r
Signature ' �tY Commisat �lres
December
(This area for official notarial seal) n�/O
EXHIBIT A SHEET 1 OF 2
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AUTOW ' WAY TANK RELOCATION Pr JECT SHEET I OF 5
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