REPORT TO THE CITY COUNCIL FROM: RANDALL W. MORRISON, PE, Director Capital Projects Department SCOTT L. MOZIER, PE, Director Public Works Department BY: ANTONIO M. BUELNA, PE, Assistant Director Capital Projects Department, Capital Administration Division JASON CAMIT, Chief Surveyor Public Works Department, Engineering Services Division NANCY BRUNO, Supervising Real Estate Agent Capital Projects Department, Capital Administration Division SUBJECT ..Title Actions pertaining to the disposition of a City owned, undeveloped parcel situated at the northeast corner of South Hughes Avenue and West Dan Ronquillo Drive (Council District 3): 1. Adopt a Categorical Exemption per Environmental Assessment Number P21-06225, pursuant to Section 15332/Class 32 of the California Environmental Quality Act Guidelines; 2. Adopt the attached Resolution of Intention Number 1153-D to vacate a portion of public street right of way at the northeast corner of South Hughes Avenue and West Dan Ronquillo Drive; 3. ***RESOLUTION - Declaring a portion of a public street right of way located at the northeast corner of South Hughes Avenue and West Dan Ronquillo Drive to be exempt surplus land (Subject to Mayor's Veto); 4. ***RESOLUTION - Finding Good Cause and Clear and Convincing Benefit to the public pursuant to Fresno Municipal Code section 4-204, relating to the disposition of real surplus property located at the northeast corner of South Hughes Avenue and West Dan Ronquillo Drive; (Requires 5 Affirmative Votes) (Subject to Mayor's veto); 5. Approve the execution of the Agreement for Purchase and Sale of Real Property and Escrow Instructions to sell a 0.15-acre (6,642 square feet) City owned, undeveloped parcel of land, identified as a portion of Assessor's Parcel Number 458-090-83, located at the northeast corner of South Hughes Avenue and West Dan Ronquillo Drive in the amount of $18,911.00 to GS Central Valley Investments, LLC a California limited liability company, and authorize the City Manager or designee to execute the Purchase and Sale Agreement and associated Grant Deed for the transfer of the subject property. ..Body RECOMMENDATIONS Staff recommends the City Council 1) Adopt Categorical Exemption per Environmental Assessment Number P21-06225, 2) Adopt Resolution of Intention Number 1153-D for the proposed vacation of a portion of public street right of way at the northeast corner of South Hughes Avenue and West Dan Ronquillo Drive and set the required public hearing at 9:15 am on August 29, 2024 3) Adopt the attached Resolution, declaring a 0.15-acre (6,642 square feet) City-owned, undeveloped parcel located at the northeast corner of South Hughes Avenue and West Dan Ronquillo Drive to be exempt surplus land pursuant to California Government Code Section 54221 (f)(1)(D), 4) Adopt the attached Resolution, finding Good Cause and Clear and Convincing Benefit to the public pursuant to Fresno Municipal Code section 4-204, relating to the disposition of real surplus property being a portion of the northeast corner of South Hughes Avenue and West Dan Ronquillo Drive, and 5) Approve the execution of the Agreement for Purchase and Sale of Real Property and Escrow Instructions to sell a 0.15-acre (6,642 square feet) City Owned, undeveloped parcel of land, identified as a portion of Assessor's Parcel Number (APN) 458-090-83, located at the northeast corner of South Hughes Avenue and West Dan Ronquillo Drive in the amount of $18,911.00 to GS Central Valley Investments, LLC a California limited liability company, and authorize the City Manager or designee to execute the Purchase and Sale Agreement and associated Grant Deed for the transfer of the subject property. EXECUTIVE SUMMARY The City of Fresno owns a 0.15-acre (6,642 square feet) undeveloped parcel at the northeast corner of South Hughes Avenue and West Dan Ronquillo Drive. This parcel was acquired by the City in fee through relinquishment from the State of California on October 27, 2009, specifically for use as a city street. This portion of the parcel no longer functions as a public street due to the construction of nearby Highway 180 and the current traffic patterns. As such, the property must be declared exempt surplus land in order to proceed with the Surplus Land Act requirements and disposition to the adjoining parcel owner for use. BACKGROUND The City of Fresno owns a portion of undeveloped land at the northeast corner of South Hughes Avenue and West Dan Ronquillo Drive (APN 458-090-83), approximately 0.15-acre (6,642 square feet) in size. This parcel was acquired by the City in fee through relinquishment from the State of California on October 27, 2009, specifically for use as a city street. This portion of the parcel no longer functions as a public street due to the construction of nearby Highway 180 and the current traffic patterns. GS Central Valley Investments, LLC is proposing to vacate a portion of public street right of way at the northeast corner of South Hughes Avenue and West Dan Ronquillo Drive. The purpose of this vacation is to dispose of excess right of way and accommodate Site Plan Number P21-06225, which is the proposed construction of a truck wash, lube, and repair development. The Public Works Department, other City Departments and utility agencies have reviewed the proposed vacation and determined that the street right-of-way proposed for vacation is unnecessary for present or prospective public purposes. The vacation, if approved by the Council at the public hearing, will become effective when the vacating resolution is recorded in the office of the Fresno County Recorder, but not until the City Engineer determines that the conditions listed in the attached resolution have been satisfied and accepted by the City. The City Attorney's Office has approved the attached resolutions and purchase and sale agreement as to form. ENVIRONMENTAL FINDINGS This project is exempt under Section 15332/Class 32 of the California Environmental Quality Act (CEQA) Guidelines as follows: The City of Fresno, Public Works Department, proposes to vacate approximately 0.15-acre (6,642 square feet) of the excess street right-of-way as noted above. The area proposed to be vacated would be used as additional parking, landscaping, and a drive approach as reviewed and approved under Conditional Use Permit Application No. P21-06225. The project was conditioned by Traffic Planning to apply for a Street Vacation application. A vacation feasibility study conducted by the Public Works Department listed conditions of approval for the proposed vacation that included accommodating telecommunications located on the property, requiring the project developer to be responsible for relocating any public water facilities that may need to be relocated, requiring the site to maintain consistency with drainage patterns specified by the Fresno Metropolitan Flood Control District Master Plan; and that the project area comply with prior Department of Public Works, Traffic Planning Division requirements conditioned under CUP P21-06225. Staff has performed an Environmental Assessment of this project and determined that it falls within the Section 15332/Class 32 of Categorical Exemptions as set forth in the CEQA Guidelines: This project falls within the Categorical Exemption set forth in CEQA Guidelines Section 15332/Class 32, which exempts infill development. Staff found that those conditions are met with the vacation conditions set forth by Public Works. The project is consistent with the applicable general plan designation, all applicable general plan policies, and applicable zoning designation and regulations. The proposed development is within city limits and the project site is roughly 1.86 acres, which is less than the five acre maximum set forth in Class 32. In addition, the project site is substantially surrounded by other urban uses. The project site has no value as a habitat for endangered, rare, or threatened species because it is vacant land, and the Fresno Program Environmental Impact Report did not identify the site as habitat for rare or threatened species. The San Joaquin Air Pollution Control District, the City of Fresno Public Utilities Water Division, and Fresno Metropolitan Flood Control District all found that approval of the project would not result in any significant effects related to traffic, noise, air quality, or water quality. The site can be adequately served by all required utilities and public services. Furthermore, Staff has determined that none of the exceptions to Categorical Exemptions set forth in the CEQA Guidelines, Section 15300.2 apply to this project. Therefore, the proposed project is not expected to have a significant effect on the environment. As noted above, a categorical exemption has been prepared for the project, and the area is not environmentally sensitive. LOCAL PREFERENCE Local preference was not considered because this Agreement does not include a bid or award of a construction or services contract. FISCAL IMPACT This project is located in Council District 3 and will not have an impact on the General Fund. GS Central Valley Investments, LLC has paid all processing fees to cover staff cost in accordance with the Master Fee Schedule. Attachments: EA P21-06225 Resolution of Intent Number 1153-D Resolution Declaring Surplus Land Exempt Resolution to Vary from RFP Process Purchase and Sale Agreement Vicinity Map Location Map