Report to Mayor and City Council
Tuesday, April 20, 2021
Consent
SUBJECT:
Title
CONSIDER RESOLUTION NO. 21-043, A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARSON ACTING IN ITS CAPACITY AS THE LEGISLATIVE BODY OF THE CITY OF CARSON COMMUNITY FACILITIES DISTRICT NO. 2018-01 (MAINTENANCE AND SERVICES) APPROVING ANNEXATION NO. 8 (TERRENO) OF PROPERTY LOCATED AT 2315 E. DOMINGUEZ STREET (APN: 7318-016-006, 7318-016-027 & 7318-016-030) WITHIN THE FUTURE ANNEXATION AREA (CITY COUNCIL)
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I. SUMMARY
On November 7, 2018, the City adopted Resolution No. 18-119 establishing the City of Carson Community Facilities District No. 2018-01 (“CFD No. 2018-01”) (Maintenance and Services) and Future Voluntary Annexation Areas. With the formation of CFD No. 2018-01 complete, projects in the city-wide Future Voluntary Annexation Areas are now able to be annexed into CFD No. 2018-01. This action would authorize the annexation of the 2315 E. Dominguez Street Property (“Property”) into CFD No. 2018-01 by unanimous consent of the property owner.
II. RECOMMENDATION
Recommendation
TAKE the following actions:
1. WAIVE further reading and ADOPT Resolution No. 21-043, “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARSON ACTING IN ITS CAPACITY AS THE LEGISLATIVE BODY OF THE CITY OF CARSON COMMUNITY FACILITIES DISTRICT NO. 2018-01 (MAINTENANCE AND SERVICES) APPROVING ANNEXATION NO. 8 (TERRENO) OF PROPERTY LOCATED AT 2315 E. DOMINGUEZ STREET (APN: 7318-016-006, 7318-016-027 & 7318-016-030) WITHIN THE FUTURE ANNEXATION AREA (CITY COUNCIL)”
2. RECEIVE and FILE the Unanimous Approval Consent Letter from TERRENO DOMINGUEZ LLC.
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III. ALTERNATIVES
TAKE another action deemed appropriate by the City Council.
IV. BACKGROUND
The 2315 E. Dominguez Street project (“Terreno”) consists of the renovation of an industrial site and installation of a new truck yard operations facility on a 5.4-acre site. This includes replacing existing site pavement, upgrading existing fencing and improving existing landscape. The site has previously been used for pipe storage and distribution since 1994. The site is expected to be occupied by FedEx for overflow parking and storage of empty truck trailers. The Terreno project was approved by the City Council on October 15, 2019.
When the City formed CFD No. 2018-01, certain properties including the 2315 E. Dominguez Street Property were identified on the boundary map as being within the Future Voluntary Annexation Area. Pursuant to the Mello-Roos Community Facilities Act of 1982, Section 53311, et seq. of the California Government Code (the “Act”), this prior hearing allowed the Property to be annexed by unanimous consent of affected landowners of the Properties without holding a second public hearing and election of property owners.
On March 18, 2021, the owner of the Property, Terreno Dominguez LLC, submitted an Executed Unanimous Approval Consent Letter (Exhibit No. 1) with the City for annexation into the CFD No. 2018-01. This Council action would allow the 2315 E. Dominguez Street to annex into the CFD No. 2018-01 to pay for ongoing services associated with the development. These ongoing services include all City services permitted by the CFD, including the maintenance of parks, roadways, and sidewalks. Should Council adopt Resolution No. 21-043 (Exhibit No. 2), the City Clerk, or designee, would be directed to record the Amendment No. 8 to Notice of Special Tax Lien (Exhibit No. 3) with the Los Angeles County Recorder’s Office to effectuate the levying of special taxes on the property.
The Property will be taxed in accordance to Tax Zone No. 8 of the Rate and Method of Apportionment for CFD No. 2018-01, which amounts to $15,267.00 ($2,799.23 per acre) annually. The amount is consistent with the calculation methodology used to determine the “Industrial Zone No. 1” rate from the city-wide Fiscal Impact Analysis report prepared by the City’s CFD Consultant, NBS Government Finance Group.
V. FISCAL IMPACT
Annexation of the 2315 E. Dominguez property into CFD No. 2018-01 will increase the City’s revenues by approximately $2,799.23 per acre, which amounts to $15,267.00 annually. The cost for the annexation is paid by the developer/owner pursuant to the City’s Deposit System (Development Application Process). As a result, there is no immediate impact to the City’s General Fund.
VI. EXHIBITS
1. Executed Unanimous Approval Consent Letter from Terreno Dominguez LLC (pgs. 4-18)
2. Resolution No. 21-043 (pgs. 19-40)
3. Amendment No. 8 to Notice of Special Tax Lien (pgs. 41-52)
Prepared by: Saied Naaseh, Director of Community Development and
James Nguyen, Project Manager