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HomeMy WebLinkAbout04-02-2013 c2 mills act request 1123 pismo chc 132-12H counci l F j agenea Report C I T Y O F S A N L U I S O B I S P O Meeting Date April 2,201 3 Item Number C 2 FROM : Prepared By : Derek Johnson, Community Development Directo r Marcus Carloni, Assistant Planner SUBJECT :APPROVAL OF MILLS ACT CONTRACT FOR THE MASTER LIST NUS S HOUSE (CHCMA 132-12 ) RECOMMENDATION As recommended by the Cultural Heritage Committee (CHC), adopt the attached resolutio n approving a Mills Act contract for the Master List Nuss House located at 1123 Pismo Stree t (CHCMA 132-12). SITE DATA BACKGROUN D Advisory Body Recommendatio n The City received a request by the owner of the Master List Nuss House to be included in the Mill s Act Program on November 5, 2012 . The draft Mills Act contract was reviewed by the CHC o n February 25, 2013 and was unanimously recommended that the City Council approve the Mills Ac t contract for 1123 Pismo Street (Attachment 8). Mills Act Program • Historic Preservation is an important goal of the City's General Plan, as described in Conservatio n and Open Space Element policies 3 .21 .1, 3 .21 .4, 3 .30 .2 and Land Use Element policy 4 .12 . In December 2000, the City Council approved the Mills Act Program as an on-going histori c Brian O'Kell y Master List R-2-H (Historic Medium Densit y Residential Zone ) Medium Density Residentia l -9,800 square fee t Categorically Exempt fro m environmental review unde r Section 15378 of the CEQ A Guideline s Applicant Historic Status Zoning General Pla n Site Are a Environmenta l Status C2-1 Council Agenda Report — Mills Act Contract for 1123 Pismo Stree t April 2, 2013 Page 2 preservation program and allowed up to 10 additional historic properties to be included in th e program annually . Originally begun in 1996 as a pilot program, the Mills Act Program allows th e City to enter into preservation contracts with the owners of designated historic properties wh o promise to preserve, maintain, and in some cases improve the properties in exchange for propert y tax reductions . As of February 2013, 49 historic residential properties are benefiting from th e program and realizing property tax reductions (Attachment 2, List of Historic Properties under Mill s Act Contract). Although there were no Mills Act requests in 2012, this application is one of thre e requests being considered so far this year . Mills Act Contrac t By providing a financial incentive, the Mills Act Program is one of the most effective tool s available to encourage the preservation of heritage properties . Only commercial and residentia l properties on the Master List of Historic Resources are eligible for the program . The attached Mill s Act contract was prepared using standard language provided by the State Historic Preservation Office (Attachment 8, Draft Mills Act Contract). Standard features of the contract include : •The County Tax Assessor assesses the historic property's value using a "Capitalization o f Income" method. This assessment method can often result in significant property tax savings , particularly for properties acquired after the 1990s . If the contract is canceled, the assessment i s gradually increased to market value basis over the remaining ten year contract term . •The property owner must promise to preserve the building and to use the tax savings t o maintain and/or improve the historic building to enhance its historical value, exterio r appearance, structural condition, or longevity . Each contract includes an exhibit which lists th e maintenance and improvement measures for which tax savings will be used . •The contract is recorded, and is binding on subsequent owners, heirs, or assigns until th e agreement is canceled . There is a significant financial penalty if the agreement is cancelled du e to breach of performance . •Mills Act contracts have a minimum 10-year term . The agreement is self-renewing annuall y for additional 10-year terms, so there are always 10 years remaining on the contract until th e 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 ten year term remaining . The agreemen t may be amended by mutual consent of the City and property owner . •Building changes are possible under the contract ; however changes must comply with al l City requirements and with the Secretary of the Interior's Standards for the Treatment o f Historic Properties, with the guiding objective being the preservation of the building's original historical character and significance . • • • Council Agenda Report — Mills Act Contract for 1123 Pismo Stree t April 2, 2013 Page 3 •DISCUSSIO N Property/Site Descriptio n The property is a 9,800 square foot parcel fronting Pismo Street (backing up to Pismo/Bucho n Alley) between Santa Rosa and Toro Streets within the Old Town Historic District (Attachment 1 , Vicinity Map). The residence incorporates element s from the Arts and Crafts movement into a regiona l design of the California Bungalow. The residenc e was built in 1906,and added to the City's Maste r List of Historic Resources in 1983 .Characteristic s of the home include a large gable roof wit h decorative outriggers facing Pismo Street, an enclosed porch with fixed divided light windows , exposed rafters, and horizontal wood siding . The residence also has all original doors, origina l windows, and the original carriage house accessin g the Pismo/Buchon Alley . See Attachment 3 , Historic Resources Inventory . The property is located adjacent to several historic homes along Pismo Street with Contributin g •properties to the northeast, the Master List Vollmer House to the north, and contributing propertie s to the west (Attachment 4, Pismo Block Historic Residences). Proposed Improvement s The applicant is requesting to be part of the Mills Act Program to provide for ongoing maintenance , preservation and site improvements (Attachment 5, List of Improvements). Some of thes e improvements/maintenance items (fumigation and re-roofing) were completed in January of 201 3 and other items (rewiring, repainting, and window repair) are in progress . The applicant's list o f proposed improvements is as follows : Status Timefram e 1 Fumigate for termites Complete 2 Remove 4 roofs and re-roof . Reinforce rafters where needed .Complete 3 Restore all original interior brass hardware In Progres s 4 Repair all double hung windows In Progres s 5 Repair leaky plumbing In Progres s 6 Remove two 40K BTU floor furnaces and replace with one 72K BTU FA U 'In Progres s 7 Repaint the entire interior of the house In Progres s 8 Repair interior plaster walls In Progres s 9 Rewire house In Progress 0 Restore kitchen (shaker style cabinets and period light fixtures)In Progress 1 Seismically strengthen and repair building foundation 1 yea r •2 Refinish and repair original oak floors 1 year Forced Air Unit. C2-3 Council Agenda Report — Mills Act Contract for 1123 Pismo Street April 2,2013 Page 4 Repair and restore front porch 2-3 year s Paint exterior of house 2-5 year s Restore 3 bathrooms 2-5 year s Landscape 1-10 years Restore the Carriage House 1-10 years Staff conducted a site visit and confirmed that the above mentioned items will help maintain an d enhance the historic character of the building and contribute towards the long term preservation o f the structure . The attached draft Mills Act Contract describes agreed upon improvements tha t address these items as well as other projects that will enhance or maintain the building's histori c character in an exemplary fashion . FISCAL EVALUATIO N The Mills Act Program is the only direct financial incentive to encourage historic preservation . The purpose of the benefit is to support the ongoing maintenance and preservation of historic properties . The Mills Act reduces the tax base liability and therefore reduces the annual tax payment i n exchange for Historic property maintenance and upgrades . The current tax rate for properties in the City is approximately 1 .1% The City receive s approximately 14 .9% of this 1 .1% and the remainder goes to other resources such as the County an d the school district . For example, annual tax on a property with a base value (land and improvements) of $600,000 would be approximately $6,000 and the City would receiv e approximately $894 annually . There were 55 Mills Act contracts as of February 2013 . Six of these contracts cover commercia l buildings and 49 apply to residential structures . The County Assessor has reported that the annua l tax revenue to the County has been reduced by approximately $212,000 due to City of San Lui s Obispo Mills Act contracts . This resulted in a reduction of approximately $31,000 in annual ta x revenue to the City ; an average of approximately $560 per residential contract . Staff has provided a preliminary estimate of property tax savings and anticipated costs associate d with the property owners proposed improvements (Attachment 6, Fiscal Evaluation). Based on a comparison of the estimated tax savings and the costs associated with preservation/maintenance o f the property, staff has determined the approximate cost of the proposed improvements under th e Mills Act contract will exceed the tax savings . These approximate calculations are preliminary ; th e County Assessor will provide accurate figures following City Council approval of the Mills Ac t contract. Approximate 10 year savings to owner realized under Mills Act contract :$57,00 0 Approximate year cost of proposed improvements to owner :,10 $168,00 0 RECOMMENDATION Adopt the attached resolution (Attachment 9) approving a Mills Act contract for the Master Lis t Nuss House located at 1123 Pismo Street (CHCMA 132-12). 1 3 1 4 1 5 1 6 17 • • • • • Council Agenda Report — Mills Act Contract for 1123 Pismo Stree t April 2, 2013 Page 5 ALTERNATIVE S 1.Do not approve a Mills Act contract for the historic Nuss House based on findings o f inconsistency with Historic Preservation Program guidelines . 2.Continue the item for additional information or discussion . ATTACHMENT S 1.Vicinity Ma p 2.List of Historic Properties under Mills Act Contract, February 201 3 3.Historic Resources Inventory,1123Pismo Stree t 4.Pismo Block Historic Residence s 5.List of Improvements /Applicant's Request Lette r 6.Fiscal Evaluatio n 7.Draft February25,2013CHC Minute s 8.Draft Mills Act Contrac t 9.Draft Resolutio n t :\council agenda reports\2013\2013-0402Vnillis act request - 1123 pismo Qohnson-cadoni)\e-council agenda report (chcma 132-12).docx • M I I MUI-IIVILIV I l File No . CHCMA 132-1 2 1123 Pismo Street Cz S List of Historic Properties Under Mills Act Contract s Updated February, 201 3 Note : Property Ownership may not be curren t Property Owner Address Historic Name Date Approve d 1 . Long Street Farm LLC 3897 South Higuera Long-Bonetti Ranch 8/13/1998 * *( This property is not under an official Mills Act contract, however a preservation agreement was recorded that restricts the tax base similar to a Mills Act contract). 2 .Randy & Shayne LaVack 670 Islay Fitzpatrick House 11/18/199 7 3 .Robert & Zoey Schrage 1167 Marsh .Graves House 9/16/1997 4.G . Johnson & V . Wood 547 Marsh Kaetzel House 11/18/199 7 5 .Malcolm & Peggy Carlaw 461 Islay Erickson House 9/16/1997 6 .Catherine Tait 591 Islay Sandercock Home 9/16/199 7 7 .Michael & Diane Draze 752 Buchon Stanton House 9/16/1997 8 .Astrid Gallagher 1763 Santa Barbara Tribune-Republic Bldg .9/16/199 7 9 .Astrid Gallagher 1717 Santa Barbara William M . Duff House 9/16/199 7 10 . Astrid Gallagher 1725 Santa Barbara Andrew Galewski House 12/17/199 8 11 . H . Duran & B . Horrocks 1105 George Edward F . Bushnell House 9/16/1997 aty o f san Luis OBISp O City of San Luis Obispo List of Mills Act Properties, February 2013 Page 2 12. Mark Waters 896 Buchon Cosset House 9/16/199 7 13 .Mary McIntire 745 Buchon Bradbury Home 9/16/199 7 14. Adrienne Riley 1426 Broad Giffin or Dutton House 12/17/199 8 15 . Bill & Michelle Walters 1504 Broad Vetterline House 9/16/199 7 16 . Robert Carpenter 1511 Morro .Martha Dunlap House 9/16/199 7 17 . John & Melissa Louch 1435 Broad George Miller House 11/17/199 7 18 . Keith & Kathy Godfrey 963 Broad Manderscheid House 9/16/199 7 19 .Gary Toll 1117-1119 Marsh Esquar House 12/17/199 8 20 . Javad Sani 1212 Garden McCaffrey House 11/20/200 1 21 . David Hannings 642 Monterey Hays/Latimer Adobe 11/20/200 1 22. Steven & Ilene Sicanoff 1720 Johnson Ave The Judge's House 11/20/200 1 23 . Gordon & Deanne Oliver 1428 Nipomo Rogers/Sandercock House 11/20/200 1 24. Richard & Adian Lenz 559 Pismo Biddle House 12/17/199 8 25 . Vince Fonte, Rob Rossi , Brendan McAdams 1314 Palm Righetti House 01/18/200 5 26 . Russell & Rea Berg 1306 Mill Lind House 11/01/200 5 27 . Brendan & Katherine McAdams 1323 Mill Laird House 11/01/2005 • • • City of San Luis Obispo List of Mills Act Properties, February 2013 Page 3 28 . Steve & Laurie Butler 497 Islay Vollmer House 02/21/2006 29 . Steve & Susan Lumm 1500 Eto Cir Solomon Foreman House 09/17/200 1 30 . Dr . William Watson 800 Palm Ah Louis Store 12/15/200 6 31 . Dan & Sandy Carpenter 2030 Johnson Ave Old SLO Economics Bldg.04/03/2007 32 . Cornel Artho & Shelby Bentz 1746 Chorro Aston Home 10/16/200 7 33 . RKE Properties II 1160 Marsh Stover's Sanitarium 04/01/2008 34 . Matt Quaglino 1266 Mill Shipsey House 06/03/200 8 35 . Pierre & Terri Rademaker 1333 Mill Burch House 06/03/2008 36 . Stephen Linder & Cynthia Semel 1429 Osos Frank Campbell Mitchell House 06/17/200 8 37 . James & Diane Duenow 1443 Osos Avila House 07/15/200 8 38 . Michael & Sharon Singleton 1052 Islay Kaufman House 09/02/200 8 39 . Joann Quaglino 1546 Chorro Fleuger House 09/16/200 8 40. Dora Drexler, Et . Al .1460 Mill Mugler House 10/07/200 8 41 . Jennifer Blomfield 785 Buchon Marshall House 10/21/200 8 42 . Conrad Young 1424 Mill Maino House 01/06/200 9 43 . Michael & Theresa Mulvihill 375 Chorro Chris Anholm House 06/02/200 9 44 . Barry Jones 148 Broad Vard Shephard House 07/06/2010 City of San Luis Obispo List of Mills Act Properties, February 2013 Page 4 45 . Gordon and Stacy Edmonds 535 Islay Street Sandercock House 07/06/201 0 46 . Matthew and Sarah Ritter 1352 Pacific Charles John Kelley House 06/23/201 1 47 . Thom Brajkovich 1318 Pacific Louisiana Clayton Dart House 05/17/201 1 48 . Hamish Marshall 1880 Santa Barbara Railroad Square 05/03/2011 G :\CD-PLAN \Pdunsmore\CHC\Mills Act\Mills Act properties Feb 2013.docx • State of California —The Resor "-I Agenc y DEPARTMENT OF PARKS AND ;REATIO N HISTORIC RESOURCES INVENTOR Y • IDENTIFICATIO N1. Common name : le r .No,A.TalT 3NABS_HAER i NR SHL _LocUTM: A 10/713f2b/9064U0 6CD 2 . Historic name :Nuss Hous e 3.Street or rural address :1123 Pismo Stree t City San Luis Obispo z ip 93401 County San Luis Obisp o 4.Parcel number :03-54.5-0 3 5.Present Owner :Silva, B . & S .Address :4280 Calle Real #3 5 City Santa Barbar a zip 93110 Ownership is : Public Private X 6.Present Use :Residential Original use :Residentia l DESCRIPTIO N 7a.Architectural style :Bungalo w 7b.Briefly describe the present physical description of the site or structure and describe any major alterations from it soriginal condition : This two story structure is rectangular in plan and placed on a raise d foundation . It is capped with a large medium gable facing the street . A full length verandah along the front has been enclosed with window s that have decorative mullions_ The front elevation is symmetric wit h R •a centered door and equal bands of windows on each side and triple windo w above . The house is sheathed with clapboard siding and roofed wit h composition shingles . Other details include large projecting beams i n front, a fascia, and a-chimney to the side . In the rear is a smaller build- ing similiar in design . I I 8.Construction date : Estimated 1906 Factua l 9.Architect Unknown 10 . Builder Unknow n 11.Approx. property size fin feet ) Frontage .R5'Depth 1F,5' or approx. acreage 12 .Dates) of enclosed photograph(s ) December 198 2 C2-11 ATTACHMENT 3 13.Condition : Excellent _Gu d X Fair_Deteriorated _ No longer in existenc e 14.Alterations : 15.Surroundings : (Check more than one if necessary) Open land _Scattered buildings Densely built-u p Residential X Industrial Commercial Other : 16.Threats to site :None known X Private development_Zoning Vandalis m 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 .) This dwelling is particularly noteworthy for its skillful incorporation of elements from the Arts and Crafts movement into a regional design of th e California Bungalow . This modest 1 1/2 story house has the typical broa d gabled roof and exposed wood rafters and overall horizontal effect of th eBungalowstyle.A variation on the open porch is the glassed in porch across the front with handsome geometric mullions on windows .Representin gtheearly"bungaloid"traditions in San Luis Obispo,it was constructe d between 1903 and 1909 .William P . Thorne, a Pacific Coast Coal agent,andhiswifeMargaretlivedthereat that time .In the 1920 's and 1930's ,William Harry Nuss and Edith Nuss, manager of Bank of America,resided at 1123 Pismo . 20.Main theme of the historic resource : (If more than one i s checked, number in order of importance .) Architecture 1 Arts & Leisure Economic/Industrial _Exploration/Settlement Government Military Religion Social/Education 21.Sources (List books, documents, surveys, personal interview s and their dates). Sanborn .Fire Insruance Map s (1903,1909 ) City Directory (1904, 1914 ) 22.Date form prepared 23 June1983 By (name)Historic Res . SurveyStaff OrganizationCity of San raids Obispo Address :P .O .Box 321 City San Luis Obispo Zip 93401 Phone :(805) 541-1000 Locational sketch map (draw and label site an d surrounding streets, roads, and prominent landmarks): NORT H C2-12 f.Reinforce rafters where needed .Although this house is generally very well built, the roof structure is the weakest link,17,000 Co r I can go into more detail if needed . The four roofs were obviously stressing the rafte r system and needed to be removed . furnaces and replace with one 72K BTU MU .The floor furnaces were not original to the house and one was installed under th e dining room pocket doors in the middle of the living area . The floor furnaces wer e severely rusted and the vent systems were plugged and unsafe . This upgrade wil l make the house look more original and increase safety . de cabinets and period light fixtures)The kitchen in the house was installed by Sears in 1972 . The cabinets were fake dark 20,000 In P wood in poor condition . Replace with painted wood shaker style cabinets and perio d light fixtures . Locate the stove and sink to original locations . I oak floors 99% of the original quarter sawn oak floors are still in place .4,90 0 Paint is currently in poor condition .20,00 0 The yard is a mess with pyramid wood planters in the front, many square feet of 15,00 0 broken slab concrete, and a few thousand square ft of out of control Bermuda grass . dows.Most of the sash counter weight ropes were broken and every window had a "custom" stick . Repair so at least the bottom half works on all windows 11,000 In P • • ATTACHMENT 5 November 1, 201 2 From:Brian O'Kelly 1123 Pismo St . San Luis Obispo, CA 9340 1 To : City of San Luis Obisp o Community Development Departmen t 919 Palm St . San Luis Obispo, CA 9340 1 Dear Planner. We would like to apply to enter our house into the Mills Act Program . The house is located at 1123 Pismo St, SLO . It was built in approximately 1906 an dis on the Master List of Historic Resources (1123 PISMO THORNE HOUSE R-2-HOld Town 0095-05R). The house is in fair condition, retains most of its origina l features and has been largely undisturbed . I would describe it as an oversize California bungalow with some craftsman influence . Please see the attached list ofproposed Mills Act improvements. By entering this house in the program it will enable us to improve and restore th eproperty where we otherwise might not be able to afford it . We are really just regula rfolks and feel this program is designed with people like us in mind . We are lookin g forward to living in a great historic neighborhood and making our new home a proudaddition to the landscape of downtown San Luis Obispo . Sincerely , Brian O'Kelly and Diana Contasti Owners 1123 Pismo S t San Luis Obispo, CA 805 610 518 6 • ATTACHMENT 6 Mills Act Property Tax Savings Estimate s 1123 Pismo Stree t Historic Nuss House • Current assessed valuatio n Estimate of annual Historic Preservation repair and maintenance cost s Estimate of operations, insurance and general maintenance cost s Estimate of potential monthly rent of property $ 659,000 .0 0 $ 6,590 .0 0 $ 1,100 .0 0 $ 2,437 .0 0 Gross Income - (Fair Rent ) 1.Gross Income From Rent (monthly rent x 12 months)$ 29,244 .0 0 2.Anticipated vacancy and collection loss (5% of fross income from rent)$1,462 .20 3 Effective Gross Income (subtract #2 from #1)$ 27,781 .8 0 Net Operating Income (Effective Gross Income - Maintenance Costs ) 4 . Maintenance Costs (item B + item C ) 5 Net Operating Income (subtract #4 from #3 ) Restricted Value (Net Operating Income / Restricted Cap . Rate ) 6.interest Rate 0 .0 8 7.Risk 0 .0 4 8.Property Tax (basic tax plus any special taxes for district)0 .01 1 9.Amortization Rate (50 year remaining life ; improvements 70% of total property value .02 x .70)0 .014 10.Restricted Capitalization Rate 14 .5 % 11 Restricted Value (divide #10 into #5)$138,564 $ 7,690 .00 $ 20,091 .80 • 12.Current Assessed Valu e 13.Tax Rate 14 Current Assessed Value in Annual Property Ta x 15.Restricted Valu e 16.Tax Rat e 17 Restricted Value in Annual Property Tax (a .k.a new annual property tax) $659,00 0 0 .01 1 $7,249 138,564 0 .01 1 1,52 4 $ $ *Fixed Rates in Italic Definition s Interest component : Pre-determined on an annual basis by the State Board of Equalization . Historic property risk component : 4% in the case of owner-occupied dwellings and 2% in all others .Amortization component : A percentage equal to the reciprocal of the remaining life of the improvements .Property tax component: Defined as the percentage of the estimated total tax rate applicable to th e property for the assessment year multiplied by the assessment ratio . 1 These approximate calculations are preliminary; the County Assessor will provide accurate figures following Cit yCouncil approval of the Mills Act Contract . • C2-16 ATTACHMENT 7 DRAFTSAN LUIS OBISP OCULTURAL HERITAGE COMMITTEE MINUTE SFebruary 25, 201 3 ROLL CALL : Present :Committee Members Thom Brajkovich, Hemalata Dandekar, Jaime Hill ,Patti Taylor and Chairperson Enrica Costell o Absent :Vice-Chair Bob Pavli k Staff :Senior Planner Phil Dunsmore, Associate Planner Brian Leveille, Assistan tPlanner Marcus Carloni, and Recording Secretary Dawn Rudde r ACCEPTANCE OF THE AGENDA : The agenda was accepted as presented . MINUTES : Minutes of January 28, 2013 were approved as amended . PUBLIC COMMENTS ON NON-AGENDA ITEMS : Dean Miller discussed the January minutes and noted that a change to his comment sregarding "placing 550 Dana on the CHC agenda as soon as possible" should b e incorporated into the minutes . PUBLIC HEARING ITEMS : 1 .1123 Pismo Street .CHCMA 132-12 ; Request to enter into a Mills Act contract fo rthe Master List "Nuss House"; R-2-H zone ; Brian O'Kelly, applicant (Marcus Carloni) Marcus Carloni, Assistant Planner, presented the staff report, recommending th eadoption of the draft Cultural Heritage Committee Resolution recommending the Cit yCouncil approve the Mills Act Historic Preservation contract for the historic Nuss House , as described in the draft contract based on findings and subject to conditions which h e outlined . Committee Member Brajkovich questioned if there was a historical person associate d with this property . Mr . Carloni stated that this structure was recommended based o n architectural significance . Committee Member Dandekar questioned whether the brick steps at the entry porch wil l remain . Mr . Carloni stated the steps are a later addition . The porch originally had win g •walls finished with siding and the applicant proposes to reconstruct the wing wall s based on historic photographs . • • C2-17 ATTACHMENT 7 Draft CHC Minute s February 25, 201 3 Page 2 PUBLIC COMMENTS : Brian O'Kelly, applicant, summarized his plans to restore the home to its original for m and urged the Committee to approve the project as presented . COMMITTEE COMMENTS : Committee Member Hill stated that Section 4 item B on the Mills Act Contract, should b e amended to read "The building's interior closely relates ..." and also suggested tha t additional language be included to ensure priority items (i .e . exterior improvements) ar e completed first . She is also in favor of the project being approved . Committee Member Brajkovich supports the Mills Act request . He stated exterio r improvements should take precedence over the interior . Chairperson Costello voiced concern over the inside not being livable if exterio r improvements were to take place prior to interior improvements . Committee Member Taylor concurred with Committee Member Brajkovich that th e exterior should be completed first . There were no further comments made from the Committee . On motion by Committee Member Braikovich, seconded by Committee Member Taylor , recommended the approval of the application allowinq the City to enter into a Mills Act Historic Preservation Aqreement with modifications to Section 4B to read "The buildinq's interior ..." removing the word "If". AYES :Committee Members Brajkovich, Dandekar, Hill, Taylor and Costell o NOES :Non e RECUSED : Non e ABSENT :Vice-Chair Pavli k The motion passed on a 5 :0 vote . 2 .863 Pacific Street.CHCMA 139-12 ; Request to enter into a Mills Act Contract fo r the Master List "Zion Lutheran Church" building ; 0 zone ; Cayucos Cowboys, LLC , applicant .(Liz Brighton) Marcus Carloni, Assistant Planner, presented the staff report, recommending th e adoption of the draft Cultural Heritage Committee Resolution to recommend the Cit y Council approve the Mills Act Historic Preservation contract for the historic Zio n Lutheran Church Building, as described in the draft contract based on findings an d subject to conditions which he outlined . • • • C2-18 ATTACHMENT 7 Draft CHC Minute sFebruary25, 201 3Page3 •PUBLIC COMMENTS : The applicant representative summarized the improvements completed and asked th ecommittee to approve the project based on findings stated in the staff report . He also stated that as there have been no changes made to the Parsonage building other tha n the enclosing of the front porch, he will come back at a later date with an application to request that the Parsonage be recognized as an additional structure in the Maste rListing for 863 Pacific Street . Dean Miller, San Luis Obispo, voiced opposition to the approval of the property to th eMills Act due to the Parsonage building not being included in the application . H esummarized that he believes the buildings were listed as one property and should be o nthe Master List together .Mr . Dunsmore stated that the contract can be amended at a later date to add th e Parsonage building to the contract once the Parsonage building is added to the City'sMaster List . The applicant representative indicated he would like to move forward with this Mills Ac t application . The applicant also stated that he intends to request the review of th eParsonage building at a future date . •COMMITTEE COMMENTS : Chairperson Costello expressed concern with a newly installed metal rain gutter on th eeastern elevation of the church structure . The applicant representative stated the metal gutters were added on the easter n elevation to protect the structure from water damage . The applicant also stated that th ewooden gutters on the elevation with street frontage have been repaired and restored . Chairperson Costello voiced interest in including the additional buildings on the propert yas an amendment to the contract as a condition to a motion . Dean Miller, San Luis Obispo, stated that the inappropriate items should be remove dand done properly . Committee Member Brajkovich stated that the added gutters are not significant as the y are a functional element to the property . Committee Member Dandekar concurred with Committee Member Brajkovich . Committee Member Hill noted the contract should be modified to clarify the interior i s part of the historic resource . •There were no further comments made from the Committee . C2-19 ATTACHMENT 7 Draft CHC Minute s February 25, 201 3 Page 4 On motion by Committee Member Hill, seconded by Committee Member Dandekar , recommended approval of the application allowing the City to enter into a Mills Ac t Historic Preservation Agreement with modifications to Section 4B to read "The building's interior ..." removing the word "If". AYES :Committee Members Brajkovich, Dandekar, Hill and Taylo r NOES :Chairperson Costell o RECUSED : Non e ABSENT :Vice-Chair Pavli k The motion passed on a 4 :1 vote . 3.1144 Palm Street .CHCMA 136-12 ; Request fora Mills Act Contract for the Maste r List "Payne House"; 0 zone ; Michael Wise, applicant .(Brian Leveille) Marcus Carloni, Assistant Planner, presented the staff report, recommending th e adoption of the draft Cultural Heritage Committee Resolution recommending the Cit y Council approve a Mills Act Historic Preservation contract for the historic Payn e Residence, as described in the draft contract based on findings which he outlined . PUBLIC COMMENTS : Michael Wise, applicant, discussed how the property has remained in the family sinc e nearly the time the house was originally constructed and that the house has a significan t amount of deferred maintenance that needs to be completed . COMMITTEE COMMENTS : Committee Member Hill noted the contract should be modified to clarify the interior i s part of the historic resource . On motion by Committee Member Hill, seconded by Committee Member Taylor . recommended approval of application allowinq the City to enter into Mills Act Histori c Preservation agreement with modifications to Section 4B to read "The building's interior ..." removinq the word "If". AYES :Committee Members Taylor, Brajkovich, Dandekar, Hill and Costell o NOES :Non e RECUSED : Non e ABSENT :Vice-Chair Pavli k The motion passed on a 5 :0 vote . 4.868 Chorro Street.ARCMI/ER/H 151-12 ; Review of rehabilitation and addition t o the Master List "Mancilla/Freitas Adobe" project ; R-4 zone ; Chris Hammer , applicant .(Brian Leveille) Phil Dunsmore, Senior planner, gave a general history of the property to the Committee . • • • C2-20 ATTACHMENT 7 Draft CHC Minute s February 25, 201 3 Page 5 •Brian Leveille, Associate Planner, presented the staff report, recommending th eCommunity Development Director approve the proposed rehabilitation and addition t othe Historic Mancilla/Freitas Adobe based on findings which he outlined . Staff recommended that prior to final occupancy ; a plaque shall be installed in a locatio nthat is visible from the Chorro Street right of way, which discusses the histori csignificance of the adobe . Committee Member Taylor questioned whether the plaque recommendation is include din the resolution . She also wanted clarification if the recommended modifications to th eporch supports are included in the plan set submittal . Mr . Leveille indicated that th eplaque would need to be added as a condition and the posts are represented in th eelevations. Committee Member Hill questioned whether the parking is sufficient with the additiona lrooms. Mr . Leveille indicated that there was sufficient parking . Committee Member Brajkovich is supportive of the proposed project . He mad e suggestions of material to use in order to allow the project to appear historic . Thom Jess, Applicant's architect, summarized plans for the project . He pointed out tha t• Archeology was a concern and an Archeologist will be on the project to to monito rground disturbing activities . He indicated they will need to correct drainage issue swhich threaten the adobe at the time of grading . He noted the applicant is in full suppor tof the plaque being installed on the project . PUBLIC COMMENTS : David Brodie, San Luis Obispo, expressed concern of the Council's previous decision t oallow demolition of the wood clad additions surrounding the adobe and felt that it ma ybe appropriate to have that decision reevaluated . Thom Jess voiced opposition to Mr . Brodie's comment indicating that he has brought n onew evidence to validate his concern . Allan Cooper, San Luis Obispo, expressed concern regarding preservation of th eoriginal siding . He pointed out that the original structure has been remodeled . He als o stated that the Secretary of Interior Standards states that removal of features an d spaces should be avoided . There were no further comments made from the public . COMMITTEE COMMENTS : •Chairperson Costello approved of the proposed project C2-21 ATTACHMENT 7 Draft CHC Minute s February 25, 201 3 Page 6 Committee Member Brajkovich addressed Mr . Brodie's comment . He supports th e solution proposed because it shows the adobe as it was originally envisioned . Committee Member Taylor is in support of the proposed project . Committee Member Dandekar concurred with Committee Member Brajkovich an d indicated support for the project . There were no further comments made from the Committee . On motion by Committee Member Taylor, seconded by Committee Member Hil l recommended the approval of the application submitted by Staff with the addition of th e historical plaque . AYES :Committee Members Taylor, Brajkovich, Dandekar, Hill and Costell o NOES :Non e RECUSED :Non e ABSENT :Vice-Chair Pavli k The motion passed on a 5 :0 vote . Committee Member and staff took break 5 .City-Wide .CHC 31-12 ; Review of outline and progress report for the Histori c Context Statement project ; City of San Luis Obispo — Community Developmen t Department ., applicant .(Phil Dunsmore) Phil Dunsmore, Senior Planner, presented the staff report, recommended that th e Cultural Heritage Committee take testimony and provide feedback on the project outlin e based on findings which he outlined . Draft Outline of major periods of development : •Early history — native American —mission-mexican rul e •Late 19th century — town settlemen t •Early 20 th century •Great depression and ww I I •Mid-20 th century Committee members and staff had a general discussion of the workshop that wa s attended and what information should be added to the outline that was determined fro m the workshop . This topic will be open for several months to allow for additional input t o complete the outline with a goal of completion set for September or October 2013 . Committee Member Hill stated that current properties on the Historical list should b e reviewed to determine the theme they fit in and if there are any homes that don't fall int o a theme establish additional themes at that time . • • • C2-22 ATTACHMENT 7 • Draft CHC Minute s February 25, 201 3 Page 7 Chairperson Costello voiced concern that remodeling on any historical home should b e stopped at the City level when applying for permits, and directed to bring before th e Cultural Heritage Committee before any building commences . COMMENT AND DISCUSSION : 6 .Staff 7 . a . b . Phil Dunsmore presented the agenda forecas t Discussion of review process for alterations to historic properties was continue d to a future hearing to get additional information . Committee ADJOURNMENT :The meeting was adjourned at 8 :41 p .m . Respectfully submitted by , Dawn Rudde r Recording Secretar y • • C2-2 3 ATTACHMENT 8 HISTORIC PROPERTY PRESERVATION AGREEMENT BETWEE N THE CITY OF SAN LUIS OBISPO AND THE OWNER OF THE HISTORIC BUILDING • LOCATED AT 1123 PISMO STREET, IN THE CITY AND COUNTY OF SAN LUIS OBISPO , STATE OF CALIFORNIA . THIS AGREEMENT is made and entered into this day of , 2013, by and betwee n the City of San Luis Obispo, a municipal corporation (hereinafter referred to as the "City"), and Bria n O'Kelly (hereinafter referred to as "Owner"), and collectively referred to as the "parties ." Section 1 . Description of Preservation Measures .The Owner, their heirs, or assigns hereby agree t o undertake and complete, at their expense, the preservation, maintenance, and improvements measure s described in "Exhibit A" attached hereto . Section 2 .Effective Date and Term of Agreement .This agreement shall be effective and commenc e 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 extende d 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 a s "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 Owner or the City desires in any year not to renew the agreement, the Owner or the Cit y shall serve written notice of nonrenewal of the agreement on the other party . Unless such notic e is served by the Owner to the City at least ninety (90) days prior to the annual renewal date, o r served by the City to the Owner 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 Owner may make a written protest of the notice . The City may, at any time prior to th e annual renewal date, withdraw its notice to the Owner of nonrenewal . d.If either the City or the Owner serves notice to the other party of nonrenewal in any year, th e 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 shal l be subject to the following conditions : a . Owner agrees to preserve, maintain, and, where necessary, restore or rehabilitate the buildin g 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 th e appearance of the building's exterior, as described in Exhibit A, to the satisfaction of th e Community Development Director or his designee . C2-24 • • ATTACHMENT 8 b . The building's interior closely relates to the property's eligibility as a qualified historic property . The Owner agrees to allow pre-arranged tours on a limited basis, to the approval of th e •Community Development Director or his designee . c.All building changes shall comply with applicable City specific plans, City regulations an d guidelines, and conform to the rules and regulations of the Office of Historic Preservation of th e 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 an d mahogany details, pillars and arches, special tile work, or architectural ornamentation to th e greatest extent possible . d.The Community Development Director shall be notified by the Owner of changes to character - defining exterior features prior to their execution, such as major landscaping projects and tre e removals, exterior door or window replacement, repainting, remodeling, or other exterio r alterations requiring a building permit . The Owner agrees to secure all necessary City approval s and/or permits prior to changing the building's use or commencing construction work . e.Owner agrees that property tax savings resulting from this agreement shall be used for propert y maintenance and improvements as described in Exhibit A . f The following are prohibited : demolition or partial demolition of the historic building; 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 featur e adversely affects, or is visually incompatible with, the property's recognized historic character , significance, and design as determined by the Community Development Director . g.Owner shall allow reasonable periodic examination, by prior appointment, of the interior an d exterior of the historic property by representatives of the County Assessor, the State Departmen t of Parks and Recreation, the State Board of Equalization, and the City as may be necessary t o determine the owners' compliance with the terms and provisions of this agreement . Section 5. Furnishing of Information .The Owner hereby agrees to furnish any and all informatio n requested by the City which may be necessary or advisable to determine compliance with the terms an d provisions of this agreement . Section 6 . Cancellation . a . The City, following a duly-noticed public hearing by the City Council as set forth in Governmen t Code Section 50285, may cancel this agreement if it determines that the Owner has breached an y of the conditions of this agreement or has allowed the property to deteriorate to the point that i t no longer meets the standards for a qualified historic property ; or if the City determines that th e Owner has failed to preserve, maintain, or rehabilitate the property in the manner specified i n Section 4 of this agreement . If a contract is cancelled because of failure of the Owner t o •preserve, maintain, and rehabilitate the historic property as specified above, the Owner shall pa y a cancellation fee to the State Controller as set forth in Government Code Section 50286, which C2-25 ATTACHMENT 8 states that the fee shall be 12 '/2%of the full value of the property at the time of cancellatio n without regard to any restriction imposed with this agreement . b . If the historic building is acquired by eminent domain and the City Council determines that th e acquisition frustrates the purpose of the agreement, the agreement shall be cancelled and no fe e 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, th e City may specifically enforce, or enjoin the breach of, the terms of the agreement . In the event of a default, under the provisions to cancel the agreement by the Owner, the City shall giv e written notice of violation to the Owner by registered or certified mail addressed to the addres s stated in this agreement . If such a violation is not corrected to the reasonable satisfaction of th e 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 th e breach or default may be commenced within thirty (30) days and shall thereafter be diligently pursued to completion by the Owner); then the City may, without further notice, declare a defaul t under the terms of this agreement and may bring any action necessary to specifically enforce th e obligations of the Owner growing out of the terms of this agreement, apply to any court, state o r federal, for injunctive relief against any violation by the owners or apply for such relief as ma y be appropriate . b.The City does not waive any claim of default by the Owner if the City does not enforce or cance l this agreement . All other remedies at law or in equity which are not otherwise provided for i n this agreement or in the City's regulations governing historic properties are available to the Cit y to pursue in the event that there is a breach or default under this agreement . No waiver by th e City of any breach or default under this agreement shall be deemed to be a waiver of any othe r subsequent breach thereof or default herein under . c.By mutual agreement, City and Owner may enter into mediation or binding arbitration to resolv e disputes or grievances growing out of this contract . Section 8 . Binding Effect of Agreement .The Owner hereby subjects the historic building located a t 1123 Pismo Street, San Luis Obispo, California, Assessors Parcel Number 003-545-003, to th e covenants, reservations, and restrictions as set forth in this agreement . The City and Owner hereby declare their specific intent that the covenants, reservations, and restrictions as set forth herein shall b e deemed covenants running with the land and shall pass to and be binding upon the Owner's successor s and assigns in title or interest to the historic property . Every contract, deed, or other instrumen t hereinafter executed, covering or conveying the historic property or any portion thereof, shal l 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 th e respective parties as specified below or at other addresses that may be later specified by the partie s hereto . C2-26 • • • ATTACHMENT 8 To City: Community Development Directo r City of San Luis Obisp o 919 Palm Street San Luis Obispo, CA 9340 1 To Owner : Brian O'Kell y 1123 Pismo Stree t San Luis Obispo, CA 9340 1 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 shal l such terms, provisions, or conditions cause them to be considered joint ventures or members o f any joint enterprise . b.The Owner agrees to hold the City and its elected and appointed officials, officers, agents, an d 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 us e or activities of the Owner, or from those of their contractor, subcontractor, agent, employee, or other person acting on the Owner's behalf which relates to the use, operation, maintenance, o r improvement of the historic property . The Owner hereby agrees to and shall defend the City an d its elected and appointed officials, officers, agents, and employees with respect to any and al l claims or actions for damages caused by, or alleged to have been caused by, reason of th e • Owner's activities in connection with the historic property, excepting however any such claim s 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 allege d to have been suffered, and costs of defense incurred, by reason of the operations referred to i n 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 thi s agreement shall be binding upon and shall inure to the benefit of the parties herein, theft heirs , successors, legal representatives, assigns, and all persons acquiring any part or portion of th e 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 determin e the rights and duties of any party hereunder, the prevailing party in such proceeding may recove r all reasonable attorney's fees to be fixed by the court, in addition to court costs and other relie f ordered by the court. f.In the event that any of the provisions of this agreement are held to be unenforceable or invali d by any court of competent jurisdiction, or by subsequent preemptive legislation, the validity an d • enforceability of the remaining provisions, or portions thereof, shall not be affected thereby . C2-2 7 • ATTACHMENT 8 g . This agreement shall be construed and governed in accordance with the laws of the State o f California . Section 11 . Amendments .This agreement may be amended, in whole or in part, only by a writte n recorded instrument executed by the parties hereto . Section 12 . Recordation and Fees .No later than twenty (20) days after the parties enter into thi s agreement, the City shall cause this agreement to be recorded in the office of the County Recorder of th e County of San Luis Obispo . Participation in the program shall be at no cost to the Owner ; however th e City may charge reasonable and necessary fees to recover direct costs of executing, recording, an d administering the historical property contracts . IN WITNESS WHEREOF, the City and Owner have executed this agreement on the day an d year written above . OWNE R Brian O'Kelly Date CITY OF SAN LUIS OBISP O Mayor Jan Marx Dat e ATTEST : Maeve Kennedy Grimes, City Clerk APPROVED AS TO FORM : Christine Dietrick, City Attorne y ALL SIGNATURES MUST BE NOTARIZED C2-28 • • • ATTACHMENT 8 EXHIBIT A MAINTENANCE AND IMPROVEMENT MEASURES FOR NUSS HOUSE LOCATED AT 112 3 PISMO STREET, SAN LUIS OBISPO, CALIFORNI A 1.Owner shall preserve, maintain, and repair the historic building, including its character-definin g 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 propert y located at 1123 Pismo Street . Character-defining features shall include, but are not limited to : roof, eaves, dormers, trim, porches, walls and siding, architectural detailing, doors and windows, windo w screens and shutters, balustrades and railings, foundations, and surface treatments . 2.Owner agrees to make the following improvements and/or repairs during the term of this contrac t but in no case later than ten (10) years from the contract date . All changes or repairs shall be consisten t with the City's Historic Preservation Ordinance and the Secretary of the Interior's Standards for th e Treatment of Historic Properties : 1.Fumigate for termite s 2.Remove 4 roofs and re-roof. Reinforce rafters where needed . • 3 . Restore all original interior brass hardwar e 4.Repair all double hung window s 5.Repair leaky plumbin g 6.Remove two 40K BTU floor furnaces and replace with one 72K BTU FA U 7.Repaint the entire interior of the hous e 8.Repair interior plaster wall s 9.Rewire hous e 10.Restore kitchen (shaker style cabinets and period light fixtures) 11.Seismically strengthen and repair building foundation 12.Refinish and repair original oak floor s 13.Repair and restore front porc h 14.Paint exterior of hous e 15.Restore 3 bathroom s 16.Landscape 17.Restore the Carriage Hous e OWNER Brian O'Kelly Date C2-2 9 • • ATTACHMENT 9 RESOLUTION NO . (2013 Series ) A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO APPROVING A HISTORIC PROPERTY PRESERVATION AGREEMENT BETWEEN THE CITY OF SA N LUIS OBISPO AND OWNERS OF A DESIGNATED HISTORIC RESOURCE AT 112 3 PISMO STREET, IN SAN LUIS OBISPO WHEREAS,the City Council of the City of San Luis Obispo is authorized by Californi a Government Code Section 50280 et seq .(known as "the Mills Act") to enter into contracts with th e owners of qualified historical properties to provide for appropriate use, maintenance, and rehabilitatio n such that these historic properties retain their historic characteristics ; and WHEREAS,the City Council has adopted Resolution No . 9136 (2000 Series), establishing th e Mills Act Historic Property Tax Incentive Program as an on-going historic preservation program t o promote the preservation, maintenance and rehabilitation of historic resources through financia l incentives ; an d WHEREAS,the owners possess fee title in and to that certain qualified real property, togethe r with associated structures and improvements thereon, located on Assessor's Parcel Number 003-545 - 003, located at 1213 Pismo Street, San Luis Obispo, California 93401, also described as the Nus s 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 Histori c Preservation Ordinance ; and WHEREAS,the City and owners, for their mutual benefit, now desire to enter into thi s agreement to limit the use of the property to prevent inappropriate alterations and to ensure tha t character-defining features are preserved and maintained in an exemplary manner, and repairs and/o r 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. seq .of the Revenue and Taxation Code ; and WHEREAS,as provided by adopted procedures, the Cultural Heritage Committee held a public hearing on February 25, 2013, to consider a request by Brian O'Kelly, owner of 1123 Pism o Street; and WHEREAS,the City Council has considered the Cultural Heritage Committee's recommendation, documentation for the property on file in the Community Development Department , public testimony, the staff report, and the City's Historical Preservation Ordinance . NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo a s follows : SECTION 1 . Findings .The City Council makes the following findings : C2-30 • • • Council Resolution No . XXXX (2013 Series)ATTACHMENT 9 1.Conservation and Open Space Element program 3 .6 .2 indicates the City will participate i n • financial assistance programs such as property tax reduction programs that encourag e maintenance and restoration of historic properties . 2.The Nuss House, located at 1123 Pismo Street, has been recognized as a historic asset in th e community by its designation as a Master List Historic Property . As such, maintaining th e structure will meet the City's goals for historic preservation listed in policies 3 .3 .1 throug h 3 .3 .5 of the Conservation and Open Space Element . SECTION 2 . Historic Preservation Agreement approved .The City Council hereby approves th e "Historic Preservation Agreement between the City of San Luis Obispo and the Owners of the Histori c Property Located at 1123 Pismo Street", and entered into between the City and owner, Brian O'Kelly . SECTION 3 . Mayor Authorized to Sign Agreement for City .The City Council hereby authorize s the Mayor to execute said agreement on behalf of the Council of the City of San Luis Obispo . SECTION 4 .Environmental Determination .The City Council has determined that the abov e actions do not constitute a project, as defined by Section 15378 of the California Environmenta l Quality Act and are exempt from environmental review . SECTION 5 . Recordation of the Agreement.No later than twenty (20)days after the parties enter into said agreement, the City Clerk shall cause this agreement to be recorded in the Office of th e County Recorder of the County of San Luis Obispo . Upon motion of , seconded by , and on the following vote : AYES : NOES : ABSENT : The foregoing resolution was adopted this day of 2013 . Mayor Jan Marx ATTEST : Maeve Kennedy Grimes, City Cler k APPROVED AS TO FORM : Christine Dietrick, City Attorne y • • C2-31 Page intentionally left 0 blank . •