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AGENDA ITEM REVIEW FORM |
6.D.
Regular City Council Meeting
- Meeting Date:
- 02/26/2020
- Department Head:
- Kay Macuil
- Submitted By:
- Kay Macuil, City Attorney, Attorney's Office
Action Requested:
ITEM:
Discussion and possible action on any and all matters regarding Order No. 2020-3. An Order of the Mayor and City Council of the City of San Luis approving and adopting a development agreement with Comite de Bien Estar, Inc. to purchase 20 acres of land for use as a city park. (Kay Marion Macuil, City Attorney)
SUMMARY:
Background
The East Mesa area of San Luis is growing with many residential subdivisions. Although there are retention basins that serve as the open space requirements under the subdivision and zoning regulations, there is now a need for a park.
The Comite de Bien Estar, Inc. (Comite) wishes to exercise its option on 40 acres in the East Mesa, on the south side of County 24th Street between Avenue E and Avenue F. The 40 acres currently belong to Border Ranches, L.L.C. under Joshua J. Meyer's management. It was proposed that the City of San Luis (city) purchase 20 of those 40 acres at Comite's discounted option price. Staff presented the land-purchase idea at the City Council's Work Session on November 20, 2019. Staff was directed to focus on the first step to a park, acquisition of land.
The Proposed Development Agreement
The attached Development Agreement provides that the city and Comite will be simultaneously entering into a separate agreement of escrow instructions for the purchase of the land. The city will be purchasing approximately 20 acres of the northern half for a park and Comite the remaining acres for housing development. The north 20 acres front County 24th Street will allow the public easy access to the future park. Below summarizes the salient provisions:
Price
*The city will pay Comite's discounted option price without any mark-up. The purchase price is approximately $34,000.00 per acre. The Finance Director has been in touch with a lending bank.
Roads
The East Mesa area of San Luis is growing with many residential subdivisions. Although there are retention basins that serve as the open space requirements under the subdivision and zoning regulations, there is now a need for a park.
The Comite de Bien Estar, Inc. (Comite) wishes to exercise its option on 40 acres in the East Mesa, on the south side of County 24th Street between Avenue E and Avenue F. The 40 acres currently belong to Border Ranches, L.L.C. under Joshua J. Meyer's management. It was proposed that the City of San Luis (city) purchase 20 of those 40 acres at Comite's discounted option price. Staff presented the land-purchase idea at the City Council's Work Session on November 20, 2019. Staff was directed to focus on the first step to a park, acquisition of land.
The Proposed Development Agreement
The attached Development Agreement provides that the city and Comite will be simultaneously entering into a separate agreement of escrow instructions for the purchase of the land. The city will be purchasing approximately 20 acres of the northern half for a park and Comite the remaining acres for housing development. The north 20 acres front County 24th Street will allow the public easy access to the future park. Below summarizes the salient provisions:
Price
*The city will pay Comite's discounted option price without any mark-up. The purchase price is approximately $34,000.00 per acre. The Finance Director has been in touch with a lending bank.
Roads
*Comite will build a road running east-west on the south side of the park to be named San Antonio Street.
Retention Basin
*Comite has or will construct 1/2 of 19th Avenue (also called Avenue E-3/4) running north-south on the west side of the park as part of its Bienestar 10 Subdivision and the city will build the other 1/2.
*Sam Group has or will construct 1/2 of 20th Avenue (also called Avenue E-1/2) running north-south on the east side of the park as part of its Belleza Del Desierto Subdivision and the city will build the other 1/2.
*The city will build the south 1/2 of County 24th Street running east-west on the north front of the park. (Riedel Construction built the North 1/2 as part of the Santa Cecilia 2 Subdivision).
Retention Basin
*Comite will develop a retention basin with irrigation for a green buffer as approved by the city.
*The city will allow the retention basin to be on the park's land.
*The housing development will have an improvement district that will cover the city's maintenance cost of the retention basin.
Staff has prepared Order No. 2020-3, which adopts the Development Agreement.
RECOMMENDATION / SUGGESTED MOTION:
I MOVE TO APPROVE AND ADOPT ORDER NO. 2020-3.
Fiscal Impact
- IS THERE FISCAL IMPACT ASSOCIATED WITH THIS ITEM:
- Yes
- CITY/STATE/FEDERAL FUNDS:
- City
- TOTAL:
- TBD
- BUDGETED AMOUNT:
- No
- AVAILABLE AMOUNT TO TRANSFER:
- TBD
- ACCT NAME & GL#/REMAINING BALANCE BEFORE PURCHASE:
- TBD
FISCAL IMPACT STATEMENT (IF THIS IS A BUDGET TRANSFER, YOU MUST ATTACH THE BUDGET ADJUSTMENT FORM):
The Finance Department will update this information before the Council Meeting on February 12.