HomeMy WebLinkAbout10/17/2012 - STAFF REPORTS - 5.A. o�PALM S'°4
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City Council Staff Report
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NEW BUSINESS
DATE: October 17, 2012
SUBJECT: APPROVE AN ACCEPTANCE OF GIFT DEED AND A LEASE
AGREEMENT WITH FRIENDS OF THE PALM SPRINGS MOUNTAINS
FOR A COMBINED TOTAL OF APPROXIMATELY 209.0 ACRES IN THE
SANTA ROSA AND SAN JACINTO MOUNTAINS AND WHITEWATER
FLOODPLAIN CONSERVATION AREAS (ANGEL COVE), SUBJECT TO
OPEN SPACE COVENANTS BY THE COACHELLA VALLEY
MOUNTAINS CONSERVANCY CONTAINED IN A MEMORANDUM OF
UNDERSTANDING AND NOTICE OF UNRECORDED GRANT
AGREEMENT
FROM: David H. Ready, Esq., Ph.D., City Manager
BY: Community & Economic Development Department
SUMMARY
This action would accept a Gift Deed of approximately 180 acres and a Lease of
approximately 30 acres from the Friends of the Palm Springs Mountains (FOPSM) for
approximately 209.0 acres in the Santa Rosa and San Jacinto Mountains and
Whitewater Floodplain Conservation Areas, an area commonly known as Angel Cove.
The property is on both sides of Highway 111 at the northern edge of the Chino Cone
and includes the well-known Shiprock outcropping. On September 10, 2012 the
Coachella Valley Mountains Conservancy (the "Conservancy") approved a local
assistance grant to FOPSM for the acquisition of the property, with the understanding it
would be transferred to the City of Palm Springs for long-term stewardship.
RECOMMENDATION:
1. APPROVE AN ACCEPTANCE OF GIFT DEED AND A LEASE AGREEMENT
WITH FRIENDS OF THE PALM SPRINGS MOUNTAINS FOR A COMBINED
TOTAL OF APPROXIMATELY 209.0 ACRES IN THE SANTA ROSA AND SAN
JACINTO MOUNTAINS AND WHITEWATER FLOODPLAIN CONSERVATION
AREAS (ANGEL COVE), SUBJECT TO OPEN SPACE COVENANTS BY THE
COACHELLA VALLEY MOUNTAINS CONSERVANCY CONTAINED IN A
MEMORANDUM OF UNDERSTANDING AND NOTICE OF UNRECORDED
GRANT AGREEMENT
ITEM NO-
2. Authorize the City Manager to execute all documents as reasonably necessary to
effectuate the Agreement, in a form approved by the City Attorney.
BACKGROUND
The Friends of the Palm Springs Mountains (FOPSM) was formed as a non-profit
organization in 2005 in response to proposed development of the Chino Cone. They
have been active in a number of efforts to acquire as much of the Chino Cone as
possible to ensure its long-term future as an open-space conservation area, free from
development pressures.
The subject property consists of approximately 209 acres at the foot of the Chino Cone
and also includes the mountainous interface with the alluvial fan and extends across
Highway 111 to the north, into the Whitewater Floodplain Conservation Area. The
subject property spans two different conservation areas of the CVMSHCP and will
provide continuity of conservation ownership in the vicinity. This acquisition will
contribute to the state portion of the required conservation acreage outlined in the
CVMSHCP.
FOPSM and the Conservancy intend that the land be preserved in perpetuity for open
space and/or recreation with future specific uses yet to be determined. The
Conservancy approved a local assistance grant to FOPSM not to exceed $1,475,000 for
the acquisition of these parcels (APNs 669-230-005, 669-290-007, 669-290-008, 669-
290-009, 669-290-010, 669-290-012, 669-310-002 and 669-310-003). In addition, the
Conservancy has added $6,500 to the grant for appraisal and closing costs. This parcel
currently belongs to a landowner who has been identified as a willing seller.
This property is within the city limits of Palm Springs and the City has expressed
support for protecting this area. FOPSM has requested that the City to take ultimate title
and the long-term management responsibility of the property. The options were that the
FOPSM would either assign the purchase to the City in escrow using Conservancy
grant funds for the purchase or subsequently donate the property to the City after close
of escrow. It was decided that the latter process was simpler and provided the same
result. The standard Conservancy "Prop. 84" grant terms and restrictions will apply to
the property as documented in the Notice of Unrecorded Grant Agreement.
Gift Deed and Lease
A portion of the property would be leased to the City by FOPSM, rather than gift
deeded, for a period of 15 years, with an automatic grant to the City at the end of that
period. The purpose of separating those parcels from the larger gift deed property is
that the FOPSM is pursuing additional non-traditional efforts to acquire more land
nearby and feel they need ownership of that portion of the site for related grant
activities. FOPSM will donate the approximately 180 acres to the City and retain
ownership of the approximately 30 acres until future use of the property has been
determined and may elect, in the future, to donate those 30 acres or to manage and
control those acres at any time prior to the automatic dedication.
City will receive all the land in its present condition. There are no known environmental
contamination issues on the site. The Lease gives the City lease rights over the
property except for the future grant activities of FOPSM, and allows the City to maintain
the property as open space under the requirements of the MOU, Notice of Unrecorded
Grant Agreement (NUGA), and Grant Agreement between FOPSM and the
Conservancy. The Gift Deed and Lease will also incorporate the Agreement for
Purchase and Sale between FOPSM and Seller (August 29, 2012), as well as the
Conservancy's Resolution 2012-13 dated September 10, 2012, into the agreements.
Both the Gift Deed area and the Lease area would be subject to the NUGA and MOU
between FOPSM and the Conservancy. The Lease area is in the southeastern corner
of the parcel, except that the City shall create a legal parcel of approximately 200 feet
from the property line at Highway 111 and acquire that strip immediately through the
Gift Deed, in addition to the larger portion of the property acquired by Gift Deed. It is
estimated that about 30 acres of the 209 acres would be under the Lease. The City will
manage all 209 acres as open space and will work with FOPSM to develop a
management plan. If FOPSM proposes an activity on the Lease site that would subject
any of the Grant to the Repayment Provisions under the MOU and NUGA, it would be
FOPSM (and not the City) that would bear any potential repayment obligation.
There are no "out-of-pocket" costs to the City from this transaction. All of the acquisition
costs, including escrow fees, are paid through the grant from the Conservancy. The
only financial obligation of the City at this point is the ongoing "maintenance" of the site
which is quite minimal. Future joint efforts to acquire more property or to work on a
long-term management plan ould be handled in future budget years.
Jo n S. R m , Director Thomas Wils�Assistant CityManager
C mmu ' &Epbnomic Dev ment
David H. Ready, Esq ity Manager
Attachments:
1. Map of the Property
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