HomeMy WebLinkAbout11/18/1997, C-13 - APPROVAL OF MILLS ACT CONTRACTS UNDER THE HISTORIC PROPERTY TAX INCENTIVE PROGRAM jcouncil M6aig,< <g,y,,
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C I T Y OF SAN LUIS O B I S P O
FROM: Armold Jo
PREPARED BY: Jeff H
SUBJECT: Approv o W s Act Contracts under the .Historic Property Tax
Incentive Program.
CAO RECOMMENDATION: Adopt resolutions approving Mills Act contracts for historic
properties located at 670 Islay Street and 547 Marsh Street.
DISCUSSION
Background
Last year the City Council adopted Resolution No. 8589, establishing a pilot program to
encourage historic preservation. The program, based on a State law called the Wills Act",
allows cities to enter into contracts with property owners to preserve, maintain and in some
cases, improve-their historic properties in return for reduced property taxes. The pilot program
authorized up to 15 historic preservation contracts, with the intent of evaluating the program after
one year of operation. On October 7", Council approved thirteen Mills Act contracts as part of
the City's pilot Historic Property Tax Incentive Program. Those contracts have been recorded
and submitted to the County Tax Assessor. The remaining contracts are now ready for
Council action.
Mills Act Contracts
Historic Preservation is an important goal of the City's General Plan. By providing a financial
incentive, the Mills Act Program is one of the most effective preservation tools available to
achieve that goal and encourage the preservation of heritage properties. Only those commercial
and residential properties on the Master List of Historic Resources are eligible for the pilot
program. The Mills Act contracts were prepared using standard language provided by the State
Historic Preservation Office. The contracts differ substantively only in Exhibits A and B, which
describe the historic property and the property owners' planned maintenance and improvement
programs. Standard features of the contracts include:
• the County Tax Assessor assesses the historic property's value using a "Capitalization of
Income" method. This assessment method can often result in significant property tax
savings, particularly for properties acquired in the 1980s or 1990s. If the contract is
canceled, the assessment is gradually increased to market value basis over the remaining
contract term.
Council Agenda Report-Mills Act Contracts
Page 2
• The property owner must promise to preserve the building and to use the tax savings to
maintain and/or improve the historic building to enhance its historical value, exterior
appearance, structural condition, or longevity.
• The contract is recorded, and is binding on subsequent owners, heirs, or assigns until the
agreement is canceled. There is a significant financial penalty for breach of the historic
contract.
• Mills Act Contracts have a minimum 10-year term. The agreement is self-renewing annually
for additional one-year terms, so there is always 10 years remaining on the contract until
the owner or City decides not to renew the contract. Once written notice of non-renewal is
given, the contract will remain in effect for the balance of the term remaining since the
original contract execution or the last renewal date, as the case may be. The agreement
may be amended by mutual consent of the City and property owner.
• Building changes are possible under the contract; however changes must comply with all
City requirements and with the Secretary of the Interior's Standards for Historic Preservation
Projects,with the guiding objective being the preservation of the building's original historical
character and significance.
CONCURRENCES
The City Attorney has reviewed the draft contracts and approved them as to form.
FISCAL DAPACT
Approval of the agreement will not have any significant fiscal impact.
Attachments:
-Draft Council Resolutions and Mills Act Contracts
Jh/L:NER&A+ron2.rM
G-/3
RESOLUTION NO. (1997 Series)
APPROVING A HISTORIC PROPERTY PRESERVATION AGREEMENT BETWEEN
THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO,IN THE COUNTY OF
SAN LUIS OBISPO,STATE OF CALIFORNIA,AND RANDELL
LAVACK AND SHAYNE SANDEMAN, OWNERS OF A DESIGNATED HISTORIC
RESOURCE AT 670 ISLAY STREET,IN SAN LUIS OBISPO.
WHEREAS, the City Council of the City of San Luis Obispo is authorized by California
Government Code Section 50280 et seq. (Known as "the Mills Act") to enter into contracts with
the owners of qualified historical properties to provide for appropriate use, maintenance, and
rehabilitation such that these historic properties retain their historic characteristics; and
WHEREAS, the City Council has adopted Resolution No. 8589 (1996 Series),
establishing a pilot program to implement General Plan policies and to encourage the
preservation, restoration and maintenance of historic properties through the Mills Act Program;
and
WHEREAS, the owners possess fee title in and to that certain qualified real property,
together with associated structures and improvements thereon, located on Assessor's Parcel
Number 03-532-14, located at 670 Islay Street, San Luis Obispo, California 93401, also
described as The Fitzpatrick House (Hereinafter referred to as the "historic property");and
WHEREAS,the City Council of the City of San Luis Obispo has designated this property
as a historic resource of the City of San Luis Obispo pursuant to the policies in the City's
Historic Preservation Program Guidelines; and
WHEREAS, the City and owners, for their mutual benefit, now desire to enter into this
agreement to limit the use of the property to prevent inappropriate alterations and to ensure that
character-defining features are preserved and maintained in an exemplary manner, and repairs
and/or improvements are completed as necessary to cant' out the purposes of California
Government Code, Chapter 1, Part 5 of Division 1 of Title 5, Article 12, Sec. 50280 et seq., and
to qualify for an assessment of valuation pursuant to Article 1.9, Sec. 439 et. sea. of the Revenue
and Taxation Code.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of San Luis
Obispo as follows:
C-i3-3
Resolution No. (1997 Series)
Page 2
SECTION 1. Historic Preservation Agreement approved. The City Council hereby approves
the attached historic preservation agreement between the City of San Luis Obispo and the
owners.
SECTION 2. Mayor Authorized to Sign Agreement for City. The City Council hereby
authorizes the Mayor to execute said agreement on behalf of the Council of the City of San Luis
Obispo.
SECTION 3. Environmental Determination. The City Council has determined that this
historic preservation agreement is not a project, as defined by Section 15378 of the California
Environmental Quality Act and is exempt from environmental review.
SECTION 4. Recordation of the Agreement. No later than twenty(20) days after the parties
execute and enter into said agreement,the City Clerk shall cause this agreement to be recorded in
the Office of the County Recorder of the County of San Luis Obispo.
Upon motion of seconded by , and on the following roll
call vote:
AYES:
NOES:
ABSENT:
The foregoing Resolution was adopted this , 1997.
Mayor Allen K. Settle
ATTEST:
Bonnie Gawf, City Clerk
APPROVED:
1�9fi;r0n;rityXttorney
c-�3-y
RECEIVED NOV 1 8 1997
November 17
Dear Ms Holley,
My husband and I have read with interest and appreciation your columns regarding
downtown business/parking. I feel compelled to respond to the column in today's
Telegram Tribune.
We are long-time residents of San Luis Obispo (my husband was born here, as
were his mother, grandmother, and great-grandmother). I have lived here since 1947. As
you may imagine, our friends have also lived here for most or all of their lives. We are all
in total agreement with your viewpoint and DO NOT like the position of the proponents
of no-growth, no-traffic, and, essentially, no new business. We don't know anyone who
would be willing to shop by bicycle, or to do Christmas shopping downtown and then
bundle their packages onto a bus. This is just not in the cards.
It seems to me that many of the "no parking structure" people have a different
view of the function of downtown, which, of course, is basic to the whole argument.
They seem to want downtown to be a "gathering place," where people can go sit or stroll,
enjoy the passing scene, but perhaps do little shopping. Their viewpoint is epitomized by
the men I see, in shorts and sandals, sitting outside the Juice Club with their feet up on the
table. I, on the other hand, always thought downtown was primarily a place of commerce.
There's nothing in the world wrong with sitting and watching the passing parade, meeting
friends for coffee, etc., but truly I have always believed that downtown means stores and
shopping.
It is true that traffic is a mess, but I think it was fine until those bike lanes were put
in on Marsh Street. I seldom see anyone riding a bike there (I did, though, recently see
two people biking on the other side of the street).
The proposed new parking structure would be utilized and it would not look bad.
The term "big box" has become a pejorative buzz-word, but if you think about it, though
most structures are basically big boxes they surely do not need to look like huge gray
concrete blocks.
Anyway, we probably won't make it to the City Council meeting but we do want
you to know that we are on your side, as are our friends, and I suspect most long-time
residents of this town feel the same way. Thanks for your hard work.
Very Truly Yours,
✓feanette Clements
230 Luneta Drive
S.L.O. 93405
HISTORIC PROPERTY PRESERVATION AGREEMENT BETWEEN THE CITY OF
SAN LUIS OBISPO AND THE OWNERS OF HISTORIC PROPERTY LOCATED AT
670 ISLAY STREET IN THE CITY,AND THE COUNTY OF SAN LUIS OBISPO,
STATE OF CALIFORNIA.
THIS AGREEMENT is made and entered into this_day of , 1997,by and
between the City of San Luis Obispo, a municipal corporation(hereinafter referred to as the
"City"),and Randell LaVack and Shayne Sandeman (hereinafter referred to as "Owners"), and
collectively referred to as the "parties."
Section 1. Description of Preservation Measures. The Owners, their heirs or assigns hereby
agree to undertake and complete, at their expense, the preservation,maintenance and
improvement measures described in Exhibit "A", attached hereto.
Section 2. Effective Date and Term of Agreement. This agreement shall be effective and
commence upon recordation, and shall remain in effect for an initial term of ten(10)years
thereafter. Each year upon the anniversary of the agreement's effective date, such initial term
will automatically be extended as provided in California Government Code Section 50280
through 50290 and in Section 3,below.
Section 3. Agreement Renewal and Non-renewal.
A. Each year on the anniversary of the effective date of.this agreement(hereinafter referred
to as "annual renewal date"), a year shall automatically be added to the initial term of this
agreement unless written notice of nonrenewal is served as provided herein.
B. If the Owners or the City desire in any year not to renew the agreement,the Owners or
the City shall serve written notice of nonrenewal of the agreement on the other party.
Unless such notice is served by the Owners to the City at least ninety(90)days prior to
the annual renewal date, or served by the City to the Owners at least sixty(60) days prior
to the annual renewal date,one (1)year shall automatically be added to the term of the
agreement as provided herein.
C. The Owners may make a written protest of the notice. The City may, at any time prior to
the annual renewal date,withdraw its notice to the Owners of nonrenewal.
D. If either the City or the Owners serves notice to the other party of nonrenewal in any year,
the agreement shall remain in effect for the balance of the term then remaining.
Section 4. Standards and Conditions. During the term of this agreement,the historic property
shall be subject to the following conditions:
A. Owners agree to preserve, maintain, and,where necessary,restore or rehabilitate the
Historic Property Agreement
Page 2
property and its character-defining features,including: the building's general
architectural form, style,materials, design,scale,proportions, organization of windows,
doors, and other openings; interior architectural elements that are integral to the
building's historic character or significance; exterior materials, coatings,textures, details,
mass,roof line,porch and other aspects of the appearance of the building's exterior, as
described in Exhibit B,to the satisfaction of the Community Development Director or his
designee.
B. If the building's interior closely relates to the property's eligibility as a qualified historic
property,the Owners agree to allow pre-arranged tours on a limited basis,to the approval
of the Community Development Director or his designee.
C. All building changes shall comply with applicable City plans, City regulations and
guidelines, and conform to the rules and regulations of the Office of Historic Preservation
of the California Department of Parks and Recreation, namely the U.S. Secretary of the
Interior's Standards for Rehabilitation and Standards and Guidelines for Historic
Preservation Projects. Interior remodeling shall retain original,character-defining
architectural features such as oak and mahogany details,pillars and arches, special
tilework or architectural ornamentation,to the greatest extent possible.
D. The Community Development Director shall be notified by the Owners of changes to
character-defining exterior features prior to their execution, such as major landscaping
projects and tree removals, exterior door or window replacement,repainting,remodeling,
or other exterior alterations requiring a building permit. The Owners agree to secure all
necessary City approvals and/or permits prior to commencing work.
E. Owners agree that property tax savings resulting from this agreement shall be used for
property maintenance and improvements as described in Exhibit A.
F. The following are prohibited: demolition or partial demolition of the historic building or
accessory buildings; exterior alterations or additions not in keeping with the standards
listed above; dilapidated, deteriorating or unrepaired structures such as fences, roofs,
doors,walls,windows; outdoor storage of junk,trash, debris,appliances, or furniture
visible from a public way; or any device, decoration, structure or vegetation which is
unsightly due to lack of maintenance or because such feature adversely affects, or is
visually incompatible with,the property's recognized historic character, significance and
design, as determined by the Community Development Director.
G. Owners shall allow reasonable periodic examination, by prior appointment, of the interior
and exterior of the historic property by representatives of the County Assessor, the State
Department of Parks and Recreation,the State Board of Equalization, and the City, as
may be necessary to determine the Owners' compliance with the terms and provisions of
Historic Property Agreement
Page 3
this agreement.
Section 5. Furnishing of Information. The Owners hereby agree to furnish any and all
information requested by the City which may be necessary or advisable to determine compliance
with the terms and provisions of this agreement.
Section 6. Cancellation.
A. The City,following a duly noticed public hearing by the City Council as set forth in
Government Code Section 50285,may cancel this agreement if it determines that the
Owners have breached any of the conditions of this agreement or have allowed the
property to deteriorate to the point that it no longer meets the standards for a qualified
historic property; or if the City determines that the Owners have failed to preserve,
maintain or rehabilitate the property in the manner specified in Section 4 of this
agreement. If a contract is canceled because of failure of the Owners to preserve,
maintain, and rehabilitate the historic property as specified above,the Owners shall pay a
cancellation fee to the State Controller as set forth in Government Code Section 50286,
which states that the fee shall be 12 1/2%of the full value of the property at the time of
cancellation without regard to any restriction imposed with this agreement.
B. If the historic property is acquired by eminent domain and the City Council determines
that the acquisition fivstrates the purpose of the agreement,the agreement shall be
canceled and no fee imposed, as specified in Government Code Section 50288.
Section 7. Enforcement of Agreement.
A. In lieu of and/or in addition to any provisions to cancel the agreement as referenced
herein,the City may specifically enforce, or enjoin the breach of,the terms of the
agreement. In the event of a default,the City shall give written notice of violation to the
Owners by registered or certified mail addressed to the address stated in this agreement
If such a violation is not corrected to the reasonable satisfaction of the Community
Development Director or designee within thirty(30) days thereafter, or if not corrected
within such a reasonable time as may be required to cure the breach or default of said
breach; or if the default cannot be cured within thirty(30)days (provided that acts to cure
the breach or default may be commenced within thirty(30) days and shall thereafter be
diligently pursued to completion by the Owners); then the City may,without further
notice, declare a default under the terms of this agreement and may bring any action
necessary to specifically enforce the obligations of the Owners growing out of the terms
of this agreement, apply to any court, state or federal, for injunctive relief against any
violation by the Owners, or apply for such relief as may be appropriate.
Historic Property Agreement
Page 4
B. The City does not waive any claim of default by the Owners if the City does not enforce
or cancel this agreement. All other remedies at law or in equity which are not otherwise
provided for in this agreement or in the City's regulations governing historic properties
are available to the City to pursue in the event that there is a breach or default under this
agreement No waiver by the City of any breach or default under this agreement shall be
deemed to be a waiver of any other subsequent breach thereof or default herein under.
C. By mutual agreement, City and Owners may enter into mediation or binding arbitration to
resolve.disputes or grievances growing out of this contract.
Section & Binding Effect of Agreement. The Owners hereby subject the historic property
located at 670 Islay Street, San Luis Obispo, California, to the covenants,reservations, and
restrictions as set forth in this agreement. The City and Owners hereby declare their specific .
intent that the covenants,reservations, and restrictions as set forth herein shall be deemed
covenants running with the land and shall pass to and be binding upon the Owners' successors
and assigns in title or interest to the historic property. Every contract, deed, or other instrument
hereinafter executed, covering or conveying the historic property or any portion thereof, shall
conclusively be held to have been executed, delivered, and accepted subject to the covenants,
reservations, and restrictions expressed in this agreement regardless of whether such covenants,
restrictions, and reservations are set forth in such contract, deed, or other instrument
Section 9. Notice. Any notice required by the terms of this agreement shall be sent to the
address of the respective parties as specified below or at other addresses that may be later
specified by the parties hereto.
To City: Community Development Director
City of San Luis Obispo
990 Palm Street
San Luis Obispo, CA 93401
To Owners: Randell La Vack and Shayne Sandeman
670 Islay Street
San Luis Obispo, CA 93401
Section 10. General Provisions.
A. None of the terms,provisions, or conditions of this agreement shall be deemed to create a
partnership between the parties hereto and any of their heirs, successors or assigns,nor
shall such terms,provisions, or conditions cause them to be considered joint ventures or
members of any joint enterprise.
� �3-�
Historic Property Agreement
Page 5
B. The Owners agree to hold the City and its elected and appointed officials, officers,
agents,and employees harmless from liability for damage, or from claims for damage for
personal injuries,including death, and claims for property damage which may arise from
the direct or indirect use or activities of the Owners, or from those of their contractor,
subcontractor,agent, employee or other person acting on the Owners' behalf which
relates to the use, operation,maintenance, or improvement of the historic property. The
Owners hereby agree to and shall defend the City and its elected and appointed officials,
officers, agents, and employees with respect to any and all claims or actions for damages
caused by, or alleged to have been cause by, reason of the Owners' activities in
connection with the historic property, excepting however any such claims or actions
which are the result of the sole negligence or willful misconduct of City, its officers,
agents or employees.
C. This hold harmless provision applies to all damages and claims for damages suffered,or
alleged to have been suffered, and costs of defense incurred, by reason of the operations
referred to in this agreement regardless of whether or not the City prepared, supplied,or
approved the plans, specifications or other documents for the historic property.
D. All of the agreements,rights, covenants,reservations, and restrictions contained in this
agreement shall be binding upon and shall inure to the benefit of the parties herein,their
heirs, successors, legal representatives, assigns, and all persons acquiring any part or
portion of the historic property,whether by operation of law or in any manner
whatsoever.
E. In the event legal proceedings are brought by any party or parties to enforce or restrain a
violation of any of the covenants,reservations, or restrictions contained herein, or to
determine the rights and duties of any party hereunder,the prevailing party in such
proceeding may recover all reasonable attorney's fees to be fixed by the court, in addition
to court costs and other relief ordered by the court.
F. In the event that any of the provisions of this agreement are held to be unenforceable or
invalid by any court of competent jurisdiction, or by subsequent preemptive legislation,
the validity and enforceability of the remaining provisions, or portions thereof, shall not
be affected thereby.
G. This agreement shall be construed and governed in accordance with the laws of the State
of California.
Section 11. Amendments. This agreement may be amended, in whole or in part, only by a
written recorded instrument executed by the parties hereto.
C -�3�
Historic Property Agreement
Page 6
Section 12. Recordation and Fees. No later than twenty(20)days after the parties execute and
enter into this agreement,the City shall cause this agreement to be recorded in the office of the
County Recorder of the County of San Luis Obispo. Participation in the program shall be at no
cost to the Owners; however the City may charge reasonable and necessary fees to recover direct
costs of executing,recording, and administering the historical property contracts.
IN WITNESS WHEREOF, the City and the Owners have executed this agreement on the
day and year written above.
CITY OF SAN LUIS OBISPO
Allen K Settle,Mayor Date
OWNERS
Randell LaVack Date
Sh yne Sandeman Date
STATE OF CALIFORNIA )
) ss.
COUNTY OF SAN LUIS OBISPO )
On ,beforeme,
personally appeared e�--�-e--i/ <- ✓., �� ¢ ��„�
personally known to me(or proved to me on the basis of satisfactory evidence)to be the person!<�
whose nam su scribed to the within instrument and acknowledged to me that 5ecuted
the same incapacity,and that by `r signature on the instrument,the person or the entity on
behalf of which the person�cted,executed the instrument.
Witness my hand and official seal.
CMY PILG
Comn*won i IM1390
emy
Notary PubBc-CotUomb
Signattue: �' — .¢ y�2�a sM Luts p���,Comm.Evhm Mw 17,2MO
Exhibit A
MAINTENANCE AND IMPROVEMENT MEASURES FOR PROPERTY LOCATED AT
670 ISLAY STREET, SAN LUIS OBISPO, CALIFORNIA.
1. Owners shall preserve,maintain, and repair the historic building,including its character-
defining architectural features in good condition,to the satisfaction of the Community
Development Director or designee,pursuant to a Mills Act Preservation Contract with the
City of San Luis Obispo for property located at 670 Islay Street. The owners anticipate
structural changes to the rear portion of the house and property not visible from the street.
Said structural changes may include a building addition and or remodel of the kitchen,
laundry,bathrooms, and detached garage. Said changes shall not affect the front half of the
house. Said changes shall not be considered a violation of Section 4, Paragraphs C and F, of
the Historic Property Agreement,nor shall said structural changes be considered changes to
character defining features. In addition, owners anticipate removal of the unsupported,
unreinforced brick chimney described in Exhibit B, in advance of the foundation work
described below. Character-defining features shall include, but are not limited to: roof,
eaves, dormers,trim,porches,walls and siding,architectural detailing, doors and windows,
window screens and shutters,balustrades and railings, foundations,and surface treatments.
2. Owners agree to make the following improvements and/or repairs during the term of this
contract,but in no case later than ten years from the date of recording the contract with the
County Recorder. All changes or repairs shall be consistent with the City's Historic
Preservation Program Guidelines and the Secretary of the Interior's Standards for Historic
Preservation Projects:
a. Repair or replace the front door and entry within 3 years of recording the contract;
b. Replace hanging front porch light within 4 years;
c. Seismically strengthen and repair building foundation within 10 years;
d. Maintain or repaint exterior trim and siding finishes within 10 years.
3. Property shall be maintained in accordance with Zoning Regulations, and with the City's
Property Maintenance Standards.
OWNERS
Randell LaVack Date
Shayne Sandeman Date
jtVL-Mi11S=1.c011
EXHIBIT B Ser. No. 0047-04R
HASS HAER NR SHL Loc_
UTM: A 10/712'j=v, 390583'U
HISTORIC RESOURCES INVENTORY C D
IDENTIFICATION
1. Common name:
2. Historic name: Willett Home
3. Street or rural address: 670 Islay
City San Luis Obispo Zip 93401 County San Luis Obispo
4. Parcel number: 03-532-14
5. Present Owner: Bickler, Arlene J. , c/o Gerald, D. et al.Address: 1638 Osos Street
City San Luis Obispo Zip Ownership is: PublicX
Private
6. Present Use: Commercial Original use: Residential
DESCRIPTION
7a. Architectural style: Single Story, wood frame
7b. Briefly describe the present physical descriprion of the site or structure and describe any major alterations from its
original condition:
This small one story residence is very simple in its expression with
little excess trim. Its predominant feature is its moderately sloped
gabled wing roof in which is centered a pair of two-over-two sash windows
flanked by undersized shutters. This is located on the right side of the
house. The left side has a narrow porch that is covered by small sloping
roof, possibly a later addition to the house. Under this porch which
extends the remaining length of the house, are two two-over-two sash windows
to the left of the front door which has 10 glass panes. Over the door is a
small two paned window. The roof is gabled with the major portion of the
roof sloping to the street. It is capped by a brick chimney located slightly
to the right of center possibly aligned with the wall of projecting gable
ends. The house is gf 'horizontal wood siding and is raised approximately
18 inches above the ground.
photograph on file in the Community Development
8. Construction date:
Department, City of San Luis Obispo, 990 Palm Estimated 1880 Factual
Street, San Luis Obispo, CA
9. Ardhiteci Unknown
10. Builder Unknown
11. Approx. property size (in feet)
Frontage 601 Depth 150 '
orapprox. acreage
12. Dates) of enclosed photograph(s)
December 1482
13. Condition: Excellent_%j„o,. X Fair_ Deteriorated No Winger in existence
14. Alterations:
15. Surroundings: (Check more than one if necessary) Open land _Scattered buildings_Densely built-up
Residential X Industrial _Commercial Other:
16. Threats to site: None known R Private development_ Zoning _ Vandalism
Public Works project Other:
17. Is the structure: On its original site? YeS Moved? Unknown?
18. Related features:
SIGNIFICANCE
19. Briefly state historical and/or architectural importance (include dates,events,and persons associated with the site.)
The dwelling at 670 Islay is a simple single story wood frame house that
though not a pure nor particular architectural style is representative of
working class homes in the 1880's and 18901s. Constructed before 1886, it
seems to be a -simplification of Colonial Revival. Houses of this sort
were often labeled "railroad houses" since many railroad employees of both
the Pacific Coast Railway and the Southern Pacific Rail inhabited these .
types of dwellings. It may have been a "pre-fab" house, with prefabricated
parts and wood siding mail ordered from Northern California. The Reverend
George and Mrs. M.E. Willett lived here in 1904. He mas minister of the
Congregational church. The son became a county supervisor. Harry J. and
Birdie Hasse were residents in 1914.
Locational sketch map (draw and label site and
surrounding streets,roads,and prominent landmarks):
20. Main theme of the historic resource: (If more than one is NORTH
checked,number in order of importance.)
Architecture 1 Arts& Leisure
EconomicAndustrial—Exploration/Settlement
Government Military ✓
Religion Social/Education
21. Sources (List books,documents,surveys,personal interviews
and their dates). '
City Directory (1904, 1914)
Sanborn Fire Insurance Maps
(1886, 1891)
22 Date form prepared JUN 15 1983 �
By Historic Res.Survey Starz
Organization City ot San Luis Obispo
Address: P•0. Box
City an uis Obispo Zip
Phone:
RESOLUTION NO. (1997 Series)
APPROVING A HISTORIC PROPERTY PRESERVATION AGREEMENT BETWEEN
THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO,IN THE COUNTY OF
SAN LUIS OBISP09 STATE OF CALIFORNIA,AND GAIL A.JOHNSON AND
VICTORIA WOOD, OWNERS OF A DESIGNATED HISTORIC RESOURCE AT 547
MARSH STREET,IN SAN LUIS OBISPO.
WHEREAS, the City Council of the City of San Luis Obispo is authorized by California
Government Code Section 50280 et. seq. (Known as "the Mills Act") to enter into contracts with
the owners of qualified historical properties to provide for appropriate use, maintenance, and
rehabilitation such that these historic properties retain their historic characteristics; and
WHEREAS, the City Council has adopted Resolution No. 8589 (1996 Series),
establishing a pilot program to implement General Plan policies and to encourage the
preservation, restoration and maintenance of historic properties through the Mills Act Program;
and
WHEREAS, the owners possess fee title in and to that certain qualified real property,
together with associated structures and improvements thereon, located on Assessor's Parcel
Number 03-514-15, located at 5.47 Marsh Street, San Luis Obispo, California 93401, also
described as The Kaetzel House (Hereinafter referred to as the "historic property"); and
WHEREAS,the City Council of the City of San Luis Obispo has designated this property
as a historic resource of the City of San Luis Obispo pursuant to the policies in the City's
Historic Preservation Program Guidelines;and
WHEREAS, the City and owners, for their mutual benefit, now desire to enter into this
agreement to prevent inappropriate alterations and to ensure that character-defining features are
preserved and maintained in an exemplary manner, and repairs and/or improvements are
completed as necessary to carry out the purposes of California Government Code, Chapter 1, Part
5 of Division 1 of Title 5, Article 12, Sec. 50280 et seq., and to qualify for an assessment of
valuation pursuant to Article 1.9, Sec. 439 et. sea. of the Revenue and Taxation Code.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of San Luis
Obispo as follows:
SECTION 1. Historic Preservation Agreement approved. The City Council hereby approves
Council Resolution No. (1997 Series)
Page 2
the attached historic preservation agreement between the City of San Luis Obispo and the
owners.
SECTION 2. Mayor Authorized to Sign Agreement for City. The City Council hereby
authorizes the Mayor to execute said agreement on behalf of the Council of the City of San Luis
Obispo.
SECTION 3. Environmental Determination. The City Council has determined that this
historic preservation agreement is not a project, as defined by Section 15378 of the California
Environmental Quality Act and is exempt from environmental review.
SECTION 4. Recordation of the Agreement. No later than twenty(20) days after the parties
execute and enter into said agreement, the City Clerk shall cause this agreement to be recorded in
the Office of the County Recorder of the County of San Luis Obispo.
Upon motion of seconded by and on the following roll
call vote:
AYES:
NOES:
ABSENT:
The foregoing Resolution was adopted this 1997.
Mayor Allen K. Settle
ATTEST:
Bonnie Gawf, City Clerk
APPROVED:
rlo rg rttAttomey
HISTORIC PROPERTY PRESERVATION AGREEMENT BETWEEN THE CITY OF
SAN LUIS OBISPO AND THE OWNERS OF HISTORIC PROPERTY LOCATED AT
547 MARSH STREET, IN THE CITY,AND THE COUNTY OF SAN LUIS OBISPO,
STATE OF CALIFORNIA.
THIS AGREEMENT is made and entered into this_day of , 1997, by and
between the City of San Luis Obispo, a municipal corporation(hereinafter referred to as the
"City"), and Gail A. Johnson and Victoria Wood(hereinafter referred to as "Owners"), and
collectively referred to as the "parties."
Section 1. Description of Preservation Measures. The Owners,their heirs or assigns hereby
agree to undertake and complete, at their expense,the preservation, maintenance and
improvement measures described in Exhibit"A", attached hereto.
Section 2. Effective Date and Term of Agreement. This agreement shall be effective and
commence upon recordation, and shall remain in effect for an initial term of ten(10)years
thereafter. Each year upon the anniversary of the agreement's effective date, such initial term
will automatically be extended as provided in California Government Code Section 50280
through 50290 and in Section 3,below.
Section 3. Agreement Renewal and Non-renewal.
A. Each year on the anniversary of the effective date of this agreement(hereinafter referred
to as "annual renewal date'), a year shall automatically be added to the initial tens of this
agreement unless written notice of nonrenewal is served as provided herein.
B. If the Owners or the City desire in any year not to renew the agreement,the Owners or
the City shall serve written notice of nonrenewal of the agreement on the other party.
Unless such notice is served by the Owners to the City at least ninety(90)days prior to
the annual renewal date,or served by the City to the Owners at least sixty (60) days prior
to the annual renewal date, one (1)year shall automatically be added to the term of the
agreement as provided herein.
C. The Owners may make a written protest of the notice. The City may, at any time prior to
the annual renewal date,withdraw its notice to the Owners of nonrenewal.
D. If either the City or the Owners serves notice to the other party of nonrenewal in any year,
the agreement shall remain in effect for the balance of the term then remaining.
Section 4. Standards and Conditions. During the term of this agreement,the historic property
shall be subject to the following conditions:
A. Owners agree to preserve,maintain, and, where necessary,restore or rehabilitate the
property and its character-defining features,including: the building's general
Historic Property Agreement
Page 2
architectural form, style,materials, design, scale,proportions, organization of windows,
doors, and other openings; interior architectural elements that are integral to the
building's historic character or significance; exterior materials,coatings,textures, details,
mass, roof line,porch and other aspects of the appearance of the building's exterior,as
described in Exhibit B,to the satisfaction of the Community Development Director or his
designee.
B. If the building's interior closely relates to the property's eligibility as a qualified historic
property,the Owners agree to allow pre-arranged tours on a limited basis,to the approval
of the Community Development Director or his designee.
C. All building changes made after the execution date of this agreement shall comply with
applicable City plans, City regulations and guidelines, and conform to the rules and
regulations of the Office of Historic Preservation of the California Department of Parks
and Recreation,namely the U.S. Secretary of the Interior's Standards for Rehabilitation
and Standards and Guidelines for Historic Preservation Projects. Interior remodeling
shall retain original, character-defining architectural features such as oak and mahogany
details,pillars and arches, special tilework or architectural ornamentation,to the greatest
extent possible.
D. The Community Development Director shall be notified by the Owners of changes to
character-defining exterior features prior to their execution, such as major landscaping
projects and tree removals,exterior door or window replacement,repainting,remodeling,
or other exterior alterations requiring a building permit. The Owners agree to secure all
necessary City approvals and/or permits prior to commencing work.
E. Owners agree that property tax savings resulting from this agreement shall be used for
property maintenance and improvements as described in Exhibit A.
F. The following are prohibited: demolition or partial demolition of the historic building or
accessory buildings; exterior alterations or additions not in keeping with the standards
listed above; dilapidated, deteriorating or unrepaired structures such as fences,roofs,
doors, walls,windows; outdoor storage of junk,trash, debris, appliances,or furniture
visible from a public way; or any device,decoration, structure or vegetation which is
unsightly due to lack of maintenance or because such feature adversely affects, or is
visually incompatible with,the property's recognized historic character, significance and
design, as determined by the Community Development Director.
G. Owners shall allow reasonable periodic examination, by prior appointment, of the interior
and exterior of the historic property by representatives of the County Assessor,the State
Department of Parks and Recreation,the State Board of Equalization, and the City, as
may be necessary to determine the Owners' compliance with the terms and provisions of
Historic Property Agreement
Page 3
this agreement.
Section 5. Furnishing of Information. The Owners hereby agree to furnish any and all
information requested by the City which may be necessary or advisable to determine compliance
with the terms and provisions of this agreement.
Section 6. Cancellation.
A. The City, following a duly noticed public hearing by the City Council as set forth in
Government Code Section 50285,may cancel this agreement if it determines that the
Owners have breached any of the conditions of this agreement or have allowed the
property to deteriorate to the point that it no longer meets the standards for a qualified
historic property; or if the City determines that the Owners have failed to preserve,
maintain or rehabilitate the property in the manner specified in Section 4 of this
agreement. If a contract is canceled because of failure of the Owners to preserve,
maintain,and rehabilitate the historic property as specified above,the Owners shall pay a
cancellation fee to the State Controller as set forth in Government Code Section 50286,
which states that the fee shall be 12 1/2%of the full value of the property at the time of
cancellation without regard to any restriction imposed with this agreement.
B. If the historic property is acquired by eminent domain and the City Council determines
that the acquisition frustrates the purpose of the agreement, the agreement shall be
canceled and no fee imposed,as specified in Government Code Section 50288.
Section 7. Enforcement of Agreement.
A. In lieu of and/or in addition to any provisions to cancel the agreement as referenced
herein,the City may specifically enforce, or enjoin the breach of,the terms of the
agreement. In the event of a default,the City shall give written notice of violation to the
Owners by registered or certified mail addressed to the address stated in this agreement.
If such a violation is not corrected to the reasonable satisfaction of the Community
Development Director or designee within thirty (30)days thereafter; or if not corrected
within such a reasonable time as may be required to cure the breach or default of said
breach; or if the default cannot be cured within thirty(30)days(provided that acts to cure
the breach or default may be commenced within thirty (30) days and shall thereafter be
diligently pursued to completion by the Owners); then the City may,without further
notice, declare a default under the terms of this agreement and may bring any action
necessary to specifically enforce the obligations of the Owners growing out of the terms
of this agreement, apply to-any court, state or federal, for injunctive relief against any
violation by the Owners,or apply for such relief as may be appropriate.
Historic Property Agreement
Page 4
B. The City does not waive any claim of default by the Owners if the City does not enforce
or cancel this agreement All other remedies at law or in equity which are not otherwise
provided for in this agreement or in the City's regulations governing historic properties
are available to the City to pursue in the event that there is a breach or default under this
agreement No waiver by the City of any breach or default under this agreement shall be
deemed to be a waiver of any other subsequent breach thereof or default herein under.
C. By mutual agreement, City and Owners may enter into mediation or binding arbitration to
resolve disputes or grievances growing out of this contract
Section 8. Binding Effect of Agreement. The Owners hereby subject the historic property
located at 547 Marsh Street, San Luis Obispo, California, to the covenants,reservations,and
restrictions as set forth'in this agreement The City and Owners hereby declare their specific
intent that the covenants,reservations, and restrictions as set forth herein shall be deemed
covenants running with the land and shall pass to and be binding upon the Owners' successors
and assigns in title or interest to the historic property. Every contract, deed, or other instrument
hereinafter executed, covering or conveying the historic property or any portion thereof, shall
conclusively be held to have been executed,delivered, and accepted subject to the covenants,
reservations,and restrictions expressed in this agreement regardless of whether such covenants,
restrictions, and reservations are set forth in such contract, deed, or other instrument.
Section 9. Notice. Any notice required by the terms of this agreement shall be sent to the
address of the respective parties as specified below or at other addresses that may be later
specified by the parties hereto.
To City: Community Development Director
City of San Luis Obispo
990 Palm Street
San Luis Obispo, CA 93401
To Owners: Gail Ann Johnson and Victoria Wood
547 Marsh Street
San Luis Obispo, CA 93401
Section 10. General Provisions.
A. None of the terms,provisions, or conditions of this agreement shall be deemed to create a
partnership between the parties hereto and any of their heirs, successors or assigns,nor
shall such terms,provisions, or conditions cause them to be considered joint ventures or
members of any joint enterprise.
Historic Property Agreement
Page 5
B. The Owners agree to hold the City and its elected and appointed officials, officers,
agents, and employees harmless from liability for damage, or from claims for damage for
personal injuries, including death, and claims for property damage which may arise from
the direct or indirect use or activities of the Owners, or from those of their contractor,
subcontractor,agent, employee or other person acting on the Owners' behalf which
relates to the use, operation,maintenance, or improvement of the historic property. The
Owners hereby agree to and shall defend the City and its elected and appointed officials,
officers, agents, and employees with respect to any and all claims or actions for damages
caused by, or alleged to have been cause by, reason of the Owners' activities in
connection with the historic property, excepting however any such claims or actions
which are the result of the sole negligence or willful misconduct of City, its officers,
agents or employees.
C. This hold harmless provision applies to all damages and claims for damages suffered, or
alleged to have been suffered, and costs of defense incurred,by reason of the operations
referred to in this agreement regardless of whether or not the City prepared, supplied, or
approved the plans, specifications or other documents for the historic property.
D. All of the agreements, rights, covenants,reservations, and restrictions contained in this
agreement shall be binding upon and shall inure to the benefit of the parties herein,their
heirs, successors, legal representatives,assigns, and all persons acquiring any part or
portion of the historic property,whether by operation of law or in any manner
whatsoever.
E. In the event legal proceedings are brought by any party or parties to enforce or restrain a
violation of any of the covenants,reservations, or restrictions contained herein, or to
determine the rights and duties of any party hereunder,the prevailing party in such
proceeding may recover all reasonable attorney's fees to be fixed by the court, in addition
to court costs and other relief ordered by the court.
F. In the event that any of the provisions of this agreement are held to be unenforceable or
invalid by any court of competent jurisdiction, or by subsequent preemptive legislation,
the validity and enforceability of the remaining provisions, or portions thereof, shall not
be affected thereby.
G. This agreement shall be construed and governed in accordance with the laws of the State
of California.
Section 11. Amendments. This agreement may be amended, in whole or in part, only by a
written recorded instrument executed by the parties hereto.
c=/3 za
Historic Property Agreement
Page 6
Section 12. Recordation and Fees. No later than twenty(20) days after the parties execute and
enter into this agreement, the City shall cause this agreement to be recorded in the office of the
County Recorder of the County of San Luis Obispo. Participation in the program shall be at no
cost to the Owners; however the City may charge reasonable and necessary fees to recover direct
costs of executing,recording, and administering the historical property contracts.
IN WITNESS WHEREOF, the city and owners have executed this agreement on the day
and year written above.
CITY OF SAN LUIS OBISPO
Allen K. Settle,Mayor Date
OWNERS
�/,3 /9
Gail Ann Jo � Date
11, 3,4
Victoria Wood Date
STATE OF CALIFORNIA )
) ss.
COUNTY OF SAN LUIS OBISPO )
On L\AnV . '--� 1q9] before me, S-4 snr - Mt ry
personally appeared .proved tome on
the basis of satisfactory evidence, to be the persons whose names are subscribed to the within
instrument and acknowledged to me that they executed the same in their capacities, and that by
their signatures on the instrument,the persons or the entity upon behalf of which the persons
acted, executed the instrument.
Witness my hand and official seal.
( ).k,Ojry s✓
Mane Stuart,NotaryPublic
OFFICIAL SEAL
• OUWE R.STUART
@UycWWdWW1b&AM
NOTARYpusuc-CAUFORm LbCOMMISSION/1142689C
SANLUISOBISPOCOUNTY 20.900)
Exhibit A
MAINTENANCE AND IMPROVEMENT MEASURES FOR PROPERTY LOCATED AT
547 MARSH STREET, SAN LUIS OBISPO, CALIFORNIA.
1. Owners shall preserve,maintain, and repair the historic building,including its character-
defining architectural features in good condition,to the satisfaction of the Community
Development Director or designee,pursuant to a Mills Act Preservation Contract with the City of
San Luis Obispo for property located at 547 Marsh Street. Character-defining features shall
include, but are not limited to: roof,eaves,trim,porches,walls and siding, architectural
detailing, doors and windows,balustrades and railings, foundations,and surface treatments.
2. Owners agree to follow the following maintenance program and make the following
improvements and/or repairs during the term of this contract,but in no case later than ten years
from the date of recording the contract with the County Recorder. All changes or repairs shall be
consistent with the City's Historic Preservation Program Guidelines and the.Secretary of the
Interior's Standards for Historic Preservation Projects:
a. Continue a high degree of interior and exterior building maintenance and repair,as
evidenced by routine body and trim painting,pest control and landscape maintenance;
b. Upgrading and adding original architectural details, such as roof finials;
c. Add security features to protect the home from vandalism
3. Property shall be maintained in accordance with Zoning Regulations, and with the City's
Property Maintenance Standards.
OWNERS
Affi Jo Date
Victoria Wood Date
sm*
jWL:mUL%ad4.con
State of California—The R.sources Agency Ser. No. 0055-04R
DEPARTMENT OF PARK.' )RECREATION
HABS_ HAE, NR 4 SHL Loc,
EXHIBIT B UTM: A 10/712420/3906040B
HISTORIC RESOURCES INVENTORY C D
IDENTIFICATION San Luis Obispo Chiropractic Center
1. Common name:
2. Historic name: Kaetzel House
3. Street or rural address: 547 marsh
City San Luis Obispo ZIP93401 County San Luis Obispo
4. Parcel number: 03-514-15
5. Present Owner: Pacific Trading Co. 547 Marsh
Address:
City San Luis Obispo 93401
ZIP Ownership is: Public Private X
6. Present Use: Commercial Original use: Residential
DESCRIPTION
7a. Architectural style: Carpenter Gothic Revival
7b. . Briefly describe the present physica/description of the site or structure and describe any major alterations from its
original condition:
This T-shape, two story structure sits on a raised foundation. A high pitched
comnosition shingle gable roof caps the structure with smaller gables Drotrud-
ing from the main one. The cornice consists of a baraeboard and decorative
exposed rafters. The ends of the baseboards are supported by brackets. The
first floor is sheathed with narrow clapboard siding and a band of fishscale
shingles at the base. Plain shingles sheath the second story with fishscale
shingles below the front gable and above. the plain shingles and the first
floor clapboard. A centrally located front door consists of three wooden
panels and one large glass panel. Double overhang wooden framed windows are
symmetrically placed flanking the porch. There is a bay window on the side
of the building. All windows have plain trim. The integrity of this house
seems to be intact.
S. Construction date:
Estimated 1882 Factual
PHOTOGRAPH ON FILE IN THE 9. Architect Unknown
COMMUNITY DEVELOPMENT DEPARTMENT,
CITY OF SAN LUIS OBISPO 10. Builder Unknown
990 PALM STREET, SAN LUIS OBISPO
11. Approx. property size (in feet)
Frontage 150 Depth 60'
orapprox. acreage
12. Date(s) of enclosed photograph(s)
December 1982
DPR!
4/3 z3
13• Condition: Exceiient XGood _ Fair
Deteriorated _
. 14• Alterations: No longer in existence
15• Surroundngs: (Check more than
Residential X one i
Industrial f necessary) Open land
Commercial X Scattered buildings
16 Other:
project Densely built-up
Threats to site: None known`Private development
Public Works project
Other: Zoning� Vandalism
77, Is the structure:
On its original site?_
Moved?
18• Related features: --� Unknown? X
SIGNIFICANCE
79. Briefly state historical and
Ranking /or architectural importance (include dates,events,and
among the Older houses that survive in S
this Carpenter pis o associated with the site.)
ments � Gothic Revival dwellin an Luis Obis
and bays.
the Queen Anne style in g was built before 1886pO today,
ys• Modeled after 11 its window treatment It has Ble-
at the Gothic Revival the American farmhouse" and 'surface detailing
San Luis Obispo, mode which was a prevalent the design hints
houses Oft Located in one of style during the mostly
his style and as the oldest residential 1880 s in
ranchers or farmers magnitude were areas of
Of Charles and use as f1 usually fashioned for the city,
Kaetzel, ar townhouses." In 19 24, prominent
wife, Gertrude• attorney at the Commercial Bank this was
ank buildin the home
4, and his
20• Main theme of the historic resource: Locational sketch map (draw and label site and
checked, number in order of importance.)
than one is grounding streets, roads,and prominent landmarks):
Architecture _
Economic/industnArts— & Leisure NORTH
Government --2-Explorati°^/Settlement
Religion Military
Social/Education
21. Sources
(List books,documents,
and their dates), surveys,personal interviews
Sanborn Fire Insurance raps
(1886, 1891)
City Directory (19Q4,
22. Date form prepared June 15, 1983
BY (name) Historic Res. Sury
Organization City O San eY Sta. f
Address: P.O. Luis Obispo
Box 321
City San Ltl1S O 1Spp
Phone: — Zips
i ez y