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R~PC~f~T <br />To the Honorable Mayor and City Council <br />From the C# Mana er <br />June 4, 2007 <br />SUBJECT <br />New Legislative Requirement-Redevelopment Agency Eminent Domain Authority <br />RI=COMMENDATION <br />Introduce an Ordinance consistent with the requirements of Senate Bill 53 (SB 53) <br />describing the Redevelopment Agency's policies and program for the use of eminent <br />domain, pursuant to the Redevelopment Plan for Project Area No. 2. <br />BACKGROUND <br />The State Legislature recently passed Senate Bill 53 (SB 53} which took effect on <br />January 1, 2007. SB 53 requires that City Councils adopt an Ordinance describing their <br />Redevelopment Agency's power to acquire property by eminent domain. In no way <br />does the new Ordinance amend or otherwise modify existing eminent domain policies or <br />authorities; i# simply describes the authority that currently exists. The Council is <br />required to adopt the Ordinance on or before July 1, 2007. Therefore, so long as the <br />second reading of the Ordinance occurs on or before July 1, 2007, the Agency will <br />comply with the requirements of SB 53 (codified as Section 33342.7 of the California <br />Health and Safety Code}. If the Council approves the ordinance on June 4t", the <br />second reading will occur by July 1, 2007. <br />As stated in Exhibit A of the Ordinance, in general the Redevelopment Agency (Agency) <br />may acquire, but is not required to acquire, any real property located in the Project Area <br />subject to the Redevelopment Plan by gift, devise, exchange, lease, purchase, eminent <br />domain or any other lawful method. <br />Should the Agency choose to use eminent domain to acquire real property, the Agency <br />may proceed as follows: <br />• The Agency shall follow all applicable laws <br />• The Agency shall, in good faith, negotiate for the purchase of real property <br />prior to filing an eminent domain action in court <br />• Conforming residential property shall not be subject to acquisition by eminent <br />domain. For purposes of the Redevelopment Plan and Program, <br />"conforming residential property" shall mean property which was zoned <br />residential and in residential use (owned or rented, single or multi-family at <br />the time the Redevelopment Plan was amended in January 1990 <br />• The Agency's power to acquire real property through eminent domain shall <br />expire on January 18, 2008 <br />6.3A <br />age 1 <br />Finally, the Agency's authority to acquire property by eminent domain as described <br />above shall not be amended except through amending the Redevelopment Plan as set <br />forth in the Community Redevelopment Law. <br />