The process by which local agencies must follow.
(1) Declare land surplus at a regular public meeting.
a. Typically, by the City Council or County Board of Supervisors.
b. This provision has been satisfied by most government agency.
(2) Notice all interested CalHFA housing sponsors and certain local public entities (60 days).
a. Acquisition responses to be included in the Letter of Intent for NOI’s requirements are:
i. Your company history and financials,
ii. Site specific project narrative with schematic drawings inclusive of unit capacity / yield study.
(3) Negotiate in good faith (90 days). GDC to provide:
a. Certificate of Liability Insurance and local agency specific endorsements.
b. Appraisal by third party.
c. Submission for review by the local agency Development Review Committee (DRC).
d. Typically, after review by City Departments/Divisions, the selected site will go before the local agency (City Council / Board of Supervisors) in a regular public meeting for approval to proceed with Exclusive Negotiate Agreement for the Purchase and Sale Agreement (PSA).
The following are the city division that will provide input on the project development.
- Building & Safety Division
- Planning Division
- Public Works Dept. – Land Development
- Public Works Dept. – Traffic
- RPU – Water Division
- RPU – Electric Division
- Fire Department • Parks, Recreation & Community Service
- Environmental Compliance
(4) Local Agency to send proposed disposition to HCD for review
(5) Address any HCD findings as needed
(6) Dispose of the land and record an affordability covenant, that includes:
a. Execute a Purchase and Sale Agreement, Lease Agreement, or Lease Option Agreement.
b. Local agencies may sell or lease surplus land at fair market value or below fair market value. However, local agencies are not required to sell or lease land below fair market value.
