RPVCCA_CC_SR_2013_09_03_06_Long_Range_Property_Management_PlanCITY OF
MEMORANDUM
TO:
FROM:
DATE:
SUBJECT:
REVIEWED:
Staff Coordinator:
HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
CAROL W. LYNCH, CITY ATTORNEY
SEPTEMBER 3, 2013
LONG-RANGE PROPERTY MANAGEMENT PLAN
CAROLYN LEHR, CITY MANAGER~
Kathryn Downs, Deputy Director of Finance & Information
Technology LUO
RECOMMENDATION
Request that the eleven properties that had been acquired by the Rancho Palos Verdes
Redevelopment Agency, which now are controlled by the Successor Agency to the Rancho
Palos Verdes Redevelopment Agency, be transferred to the City of Rancho Palos Verdes
for governmental use.
BACKGROUND AND DISCUSSION
Pursuant to Health and Safety Code Section 34175(b) and the California Supreme Court's
decision in California Redevelopment Association, et al. v. Ana Matosantos, et al. (53
Cal.4th 231 (2011 )), on February 1, 2012, all real properties of the former Rancho Palos
Verdes Redevelopment Agency (RDA) transferred to the control of the Successor Agency
to the Agency by operation of law.
Pursuant to Health and Safety Code Section 34191.S(b), the Successor Agency must
prepare a Long-Range Property Management Plan (LRPMP) that addresses the
disposition and use of the real properties of the RDA. The LRPMP must be submitted to
the Oversight Board and the Department of Finance (DOF) for approval no later than six
months following the issuance by DOF to the Successor Agency of a finding of completion
pursuant to Health and Safety Code Section 34179.7. The DOF issued a finding of
completion to the Successor Agency on April 26, 2013.
Successor Agency Staff have prepared a LRPMP which addresses the disposition and use
of the eleven real properties of the former RDA and includes the information required
pursuant to Health and Safety Code Section 34191.S(c). The draft LRPMP is being
presented to the Successor Agency Board on September 3, 2013. Pursuant to Section
34191.S(c), the LRPMP includes an inventory providing specified information about each of
the real properties including, among other things, the date of acquisition, the value on the
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September 3, 2013
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date of acquisition, the estimated current value, and a history of previous development
proposals.
Permissible uses of the properties include the retention of the property for governmental
use pursuant to Health and Safety Code Section 34181 (a), the retention of the property for
future development, the sale of the property, or the use of the property to fulfill an
enforceable obligation.
There are eleven (11) separate parcels owned by the Successor Agency to the RDA. All
but one of the properties that were owned by the former RDA are affected by landslides.
Accordingly, they are not suitable for sale for development purposes. The condition of the
properties, potential liability arising from land movement, deed restrictions, and California's
real estate disclosure requirements would affect the title to all of the properties and would
discourage any reasonable buyer from purchasing them. The properties are discussed in
detail in the proposed LRPMP and are described briefly below.
• Five coastal parcels that are located primarily within the open space hazard and
open space recreation zones:
o Abalone Cove Shoreline Park (consisting of Assessor Parcel Numbers
7572-018-900, 7572-019-901, 7573-007-900 and 7572-019-900)
Four coastal properties comprise Abalone Cove Shoreline Park. That Park has
been improved and operated as a public park by the City on behalf of the former
RDA. The original purchase of the Park by the County and subsequent
improvements to the Park by the City were funded with various grants that restrict
the use and conveyance of the Park. Due to the importance of this Park to the City
and its residents, and the fact that it is restricted to the park and recreational uses
specified in the various grants, Staff recommends that the four properties that
comprise the Park be transferred to the City. By so doing, the City will be able to
continue to operate the Park for the benefit of the public in accordance with the
grants that have been obtained from the State and Federal Governments, which
burden the properties.
o Archery Range (Assessor Parcel Number 7572-019-902).
This property is located to the east of Abalone Cove Shoreline Park. It is within the
area of the City that experiences the greatest amount of land movement from the
Portuguese Bend Landslide (parts of this property move up to twenty feet per year).
A substantial portion of Palos Verdes Drive South (PVDS) has slid onto this property
along with various drainage facilities. In addition, two privately owned homes, which
have largely been destroyed by the Landslide, now rest upon this parcel. Due to the
importance of this Property to the City's efforts to maintain Palos Verdes Drive
South as a viable City arterial street, Staff recommends that this property be
transferred to the City.
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• Six lots that are within the open space hazard zone on Cherryhill Lane (Assessor
Parcel Numbers 7572-004-900, 7572-004-901, 7572-004-902, 7572-004-903, 7572-
004-904, and 7572-007-900).
• The six lots on Cherryhill Lane also are affected by the ongoing landslide movement
(approximately one foot per year, currently). Ownership of properties in this area is
disputed by private individuals and the homeowner's association, and two other lots
in the area (40 and 41 Cherryhill Lane) and the Archery Club property are the
subject of litigation regarding these issues. Residential structures and
improvements that are owned by other individuals are present on some of the lots,
and the private street (Cherryhill Lane) is present on other lots. There is no sewer
system serving this area, which means that septic systems still are in use with
potential impacts upon water quality. Staff recommends that the City Council
determine that the City should own these lots because some of them may be
necessary to the maintenance and realignment of PVDS and the installation of
drainage improvements or landslide mitigation measures. In addition, City
ownership will protect the public safety and will reduce potential City liability
because the lots will not be available for development for private residential use,
followed by damage or destruction of the residential improvements by the
Portuguese Bend Landslide and resulting claims and litigation against the City.
For the foregoing reasons, Staff recommends that the City Council determine and
recommend to the Successor Agency, the Oversight Board and the State Department of
Finance that these eleven properties should be transferred to the City of Rancho Palos
Verdes for governmental use.
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