HomeMy WebLinkAboutAgenda Statement 1974/09/24 Item 11
AGENDA ITEM NO. [ 11 ]
CHULA VISTA CITY COUNCIL MEETING OF:
September 24, 1974
ITEM TITLE: Resolution - Authorizing transfer and expenditure of Parking Meter Funds
for payment of Relocation Assistance and claims processing
INITIATED BY: City Manager/Director of Finance
BACKGROUND The City of San Diego, through contractual agreement with the City of
~a, is processing relocation assistance claims associated with the recent
acquisition of a parcel located at 282 Del Mar Avenue. Two of the five claims are
presently being forwarded to the City by the Central Relocation Office.
In preparation for payment of all claims associated with this acquisition, a pre-
liminary estimate of the total cost of the project has been provided by the Central
Relocation Office (Exhibit 1). It should be noted that this does not include pro-
cessing costs of approximately $300 per case, or $1,500 for the total project.
Therefore, it is recommended that a total of $21,500 be appropriated from the
unappropriated surplus of the Parking Meter Fund, $20,000 of which will be expended
for replacement housing payments, while $1,500 will be expended to claims
processing.
The actual transfer will result in the establishment of the following two additional
object accounts in the Parking Meter Fund, Activity 1500:
5201
5441
Professional Services
Awards and Indemnities
$ 1,500
$20,000
At its meeting of September 17, Council carried this item over one week and
directed that the City Manager and City Attorney explore ways to avoid these
relocation expenses. The City Attorney advises that no legal options are available;
therefore, no administrative recourse can be suggested. Please review the City
Attorney's memo, attached.
ATTACHED:
Resolution [X]
Ordinance [ ]
Agreement [ ]
Plat [ ]
See EXHIBITS R] No.1, 2, 3
Financial Statement:
Authorize funds in the amount of $21,500 to be appropriated from the
unappropriatedSllrplus of the Parking Meter Fund, as noted above.
Commission-Board Recommendation: At its meeting of September 10, 1974, the
Parking Place Commission unanimously concurred with staff's findings and recommended
approval of expenditure of funds for relocation assistance. Further, they requested
that a letter be directed to Assemblyman Deddeh's off~requesting review of
State Relocation laws. ,. ~.
Department Head Recommendation: .
N.A.
City Manager Recommendation:
Recommend approval.
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Form No. F-229
12/73
CERTIFICATE OF CITY/DIRECTOR OF ?'INANCE
Certification of Un~prrop:r:iated Balance
I HEREBY CERTIFY that t~2 monzy required for the
appropriation of funds for the purpose set forth in the attached
resolution is available in the Treasu:y, or is anticipated to
come into tile TreasUl"y I and is otherwise unappropriated.
Amount $ .1l,500
, Fur-d ___Elrking Meter Fund
Purpose JPayment~~ion assistance and claims ~~
Bid~er -lj/A
.!&~~/6-:
Director 0: Finance
The c.ity of Chula Vif.ita
21-5100-5201
21-5100-5441
$ 1,500
$20,000
Date JjJ 2/74
'By
Certificatior. of Jnencu.:rtbered Balance
I HER.'S3Y CERTIFY that the indebte(1ness and obligation
to b.... l' "1"'~''''1"~':; 'hv I.he con+- ..-.)....;. ,or ~f'!...~ern')n~ autt,o'.; z"'d b" tho
c . ..~....__\,;.:""'" _'.. ,-...l. .....(............. I;."~J- _ ~ L~.... ;... .'. I,;, "'._ to:: ...j .....
attached :-esolution can be incurred without the violation of any
of the provis:or.s of the Chart~r of tne City of Chula Vistar or
the Con5titutio~ or the laws of the State of Califol~i2, that
sufficient monies have be-en appro,r.-riated foT. the purpose otsaid
contract, that suf:icient monies to nleet the obligations of the
contract are actually in the Treasury, or are anticipated to come
into the Treasury to the credit o[ the appropriation from which
the same are to be drawn, and that said wonies now actually, in
the Treasury, together with the monies anticipated to come into
the Treasury I to the credit of said upp::;'opri.ation are otherwise
unencu.'Itlbered.
Amount Not to Exceed $
Di~ector of Financ.e
mh ~'~ f C' 1 tr' t
~4e ~l~Y 0 nu Q vls.a
Date
Ev
..
Fund
Qept. /Ilet: vi ty
Pl.:!'pose
Bidder
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FV
AGENDA ITEM NO. [)AS. J
CHULA VISTA CITY COUNCIL MEETING OF: September 17, 1974
RESOLUTION-
ITEM TITLE: AUTHORIZING TRANSFER AND EXPENDITURE OF PARKING METER FUNDS FOR
PAYMENT OF RELOCATION ASSISTANCE AND CLAIMS PROCESSING
INITIATED BY: City Manager/Director of Finance
BACKGROUND
The City of San Diego, through contractuat-a~reement with the City of Chula
Vista, is processing relocation assistance claims associated with the recent
acquisition of a parcel located at 282 Del Mar Avenue. Two of the five
claims are presently being forwarded to the City by the Central Relocation
Office.
In preparation for payment of all claims associated with this acquisition,
a preliminary estimate of the total cost of the project has been provided
by the Central Relocation Office (Attachment I). It should be noted that
this does not include processing costs of approximately $300 per case, or
$1,500 for the total project.
Therefore, it is recommended that a total of $21,500 be appropriated from
the unappropriated surplus of the Parking ~eter Fund, $20,000 of which will
be expended for replacement housing payments, while $1,500 will be expended
for claims processing.
The actual transfer will result in the establishment of the following two
additional object accounts in Parking Meter Fund, Activity 1500:
5201 Professional Services $ 1,500
5441 Awards and Indeminities - $20,000
ATTACHED:
Resolution [XI
Ordinance [ 1
Agreement [ 1
Plat [ 1
See EXHIBITS [~ No. I, 2
Financial Statement:
Authorize funds in the amount of $21,500 to be appropriated from the
unappropriated surplus of the Parking Meter Fund, as noted above.
Commission-Board Recommendation: At its meeting of September 10, 1974, the
Parking Place Commission unanimously concurred with staff's findings and
recommended approval of expenditure of funds for relocation assistance.
Further, they requested that a letter be directed to Assemblyman Deddeh's
office requesting review of State Relocation laws.
Department Head Recommendation:
n.a.
City Manager Recommendation:
Recommend approval.
'.~~"'-'~'--"""'---- ", "'_. .,.' .- II _
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THE CITY OF
./If
SAN DIEGO
COMMUNITY
DEVELOPMENT
DEPARTMENT
CITY ADMINISTRATION BU~LDING ~ 202 C STREET. SAN DIEGO, iflltt8tt
Centralized Relocation lice
636-60,79
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Ct.
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August 27,1974-
,
Mr. Jack E. Henthorn
Community Development Coordinator
City of Chula Vista
276 Fourth Avenue
Chula Vista, CA 92010
Dear Mr. Henthorn:
Based on our preliminary review of the five displaced
persons from the Del Mar p~rking place acquisition,
following is an estimate of relocation payments:
Moving
RHPs
TOTAL
$1)880.00
18~000.00
$19,880.00
If we can be of any further assistance, don't h~sitate
to let us kno\'.'.
Sincerely,
~~
SKIP BEREND
Relocation Officer
SB:1ms
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II
EXHIBIT
3
City on ChuQa CVi~ta
CALIFORNIA
OFFICE OF THE
CITY ATTORNEY
DATE:
September 20, 1974
TO:
The Honorable Mayor and City Council of the
City of Chula Vista, John R. Thomson, City
Manager
FROM:
George D. Lindberg, City Attorney
SUBJECT:
Relocation Assistance
At the City Council meeting of September 17, 1974, a request
was made to transfer $21,500 from the Parking Meter Revenue
Fund for the payment of relocation assistance. Since that
amount equaled hearly half of the purchase price already paid
for the acquisition of the parcel in question for addition
to our parking district, the Council was extremely concerned,
if not outraged, and I believe quite properly so.
However, since September 6, 1969, there has been a most
significant and far reaching addition to the laws of our
state concerning certain aspects of the acquisition of pro-
perty by public agencies for public use. Government Code
Section 7260 et seq. establishes relocation assistance regu-
lations.
Before going into detail relative to the central issue of
relocation assistance, it should be noted that the provisions
of that particular chapter of the Government Code also mater-
ially affect basic methods of acquiring property for public
use by establishing detailed rules of conduct for public agen-
cies. Although the chapter specifically states that it in
no way changes any of the well-established body of laws re-
lating to eminent domain, it does establish a pattern of
behavior on the part of public agencies, which obviously
forces the agency to carefully consider each step of its
conduct in the process of acquisition of properties.
276 Fourth Avenue, Chula Vista, CA 92010 (714) 427-3300
<i1J!?~
-...-'
The Honorable Mayor and City Council
September 20, 1974
Page Two
For example, the chapter directs that public agencies shall
take all possible steps to negotiate the purchase of pro~
perty and that they must reveal in detail the appraised
value of the property as provided by the appraiser hired by
the agency. The property owner must be fully informed in
order to avoid, if at all possible, the costly process of
a condemnation proceeding.
As Council has been previously advised, there are other pro-
visions of the Government Code which now require that the
public agency present a fair offer to a property owner for
property it is attempting to acquire and if, in fact, it is
shown at the trial that the government agency has not made
a fair offer, all costs including attorneys' fees and spe-
cial witness fees must be borne by the agency.
Added to this now is the cost to the governmental agency
in providing relocation assistance. Again, the chapter is
very specific in stating that it does not create any new
elements of damages in a condemnation proceeding and in
several instances specifies that any relocation assistance
and the concomitant costs for such assistance are over and
above the purchase price of the property.
In effect, the public agency is required now to pay fair
market value for the property plus the costs of relocation
subject to certain limitations. As indicated, the ceiling
is $2500 per aggrieved person and $15,000 for any decline
in market value for adjacent property owners who may be
affected by the public use contemplated by the agency.
As the City Manager has indicated in his discussions with
city managers and administrators throughout the state, they
have all registered a certain dismay for this very substan-
tial additional cost to the process of acquiring property
for public use, but they are nevertheless forced to accept
that burden or rather the general taxpayers are forced to
accept it.
However, it should be noted that although the chapter of
the Government Code refers to the total process of acqui-
stion of public property looking toward the ultimate and
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, I
The Honorable Mayor and City Council
September 20, 1974
Page Three
final recourse of public agencies, i.e., condemnation, it must
be recognized that a negotiated sale is no different than
acquisition resulting from an award in condemnation. Whether
it be by negotiation or condemnation, a property owner is
entitled to receive fair market value for his property and in
addition thereto, the property owner or other parties occupying
the property are entitled to relocation assistance.
I, of course, cannot speak to the question of the dollar amount
in this or any other case since such amounts are the work pro-
duct of specialists with whom the City has contracted to pro-
vide such service.
In conclusion, it can only be noted that public agencies are
now forced to assume a substantial burden which previous to
1969 was not clearly delineated in the law. However, it
should not be assumed that previous to the adoption of the
Relocation Assistance Act that such costs were totally es-
caped by governmental agencies. Clearly in condemnation
actions prior to that time, the agencies were subject to
costs over and above the basic fair market value appraisal.
Leasehold interests and certain other interests were compen-
sable in any condemnation proceeding and would certainly be
considered in any negotiation process. The price that we
paid in the instant case is predicated upon an appraisal
which was limited to the issue of fair market value as de-
termined by an analysis of comparable sales. Relocation
assistance is in addition to such costs.
GDL:lgk
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