RES-2014-206 RESOLUTION NO. 2014-206
A RESOLUTION OF THE C1TY COUNCIL OF THE CITY OF ANAHEIM
FINDING THAT THE PROJECT DESCRIBED IN AN AGREEMENT RE
DEVELOPMENT AND OPERATING COVENANTS BY AND BETWEEN
THE CITY OF ANAHEIM AND J STAR AUTO GROUP, INC. IS
CATEGORICALLY EXEMPT FROM THE PROVISIONS OF THE
CALIFORNIA ENVIRONMENTAL QUALITY ACT; APPROVING SAID
AGREEMENT RE DEVELOPMENT AND OPERATING COVENANTS;
MAKING CERTAIN FINDINGS IN CONNECTION THEREWITH; AND
AUTHORiZING THE EXECUTION AND IMPLEMENTATION OF SAID
AGREEMENT RE DEVELOPMENT AND OPERATING COVENANTS.
WHEREAS, the City oi� Anaheim ("City") is a California municipal corporation and charter
city; and
WHEREAS, the City wishes to ensure the construction, opening and continued operation of
a new Fiat automobile dealership and ne�� Maserati automobile dealership {collectively, the
"Aut��mobile Dealerships") in the City for at least fifteen (l5) years as an expansion of an existing
used automobile dealership located on real property owned by J Star Auto Group, Inc. ("J Star") at
8200 E. Crystal Drive in the City of Anaheim, County of Orange, State of California (the
"Property"); and
WHEREAS, pursuant to the California Environmental Quality Act (Public Resources
Code Section 21000 et seq.; herein referred to as "CEQA") and the State of California
Guideli�les for Impleme�ltation of tl�e California Environmental Quality Act (commencing with
Section 15000 of Title l4 of the California Code of Regulations; herein referred to as the "State
CEQA Guidelines"), the City is the "lead agency" for tl�e preparation and consideration of
e�lvir docume»ts for the improvements (tlle "Proposed Project") described in the
Agree�nent (as detined below).
WHEREAS, the City Council finds and deternlines that the Proposed Project is within
tl�at class of projects, whicl� consist of, ainong other tllings, tlle construction and loeation of
limited numbers of new, small facilities or structures. Section 15303 (New Construction or
Convel of Small Structures) of the State CEQA Guidelines provides examples of projects
that qualify for an exe�nption from tlie provisions of CEQA. The one example that is applicable
to the Proposed Project is for "up to four... commercial buildings [such as a store, motel, office,
restaurant or similar structure] not exceeding 10,000 square feet in floor area on sites zoned for
such use if not involving the use of significant amounts of hazardous substances where all
necessary public services and facilities are available and the surrounding area is not
envii ser�sitive." The Proposed Project meets the criteria of Section 15303 of the �
State CEQA Guidelines and, therefore, pursuant to said Section 15303, will not cause a
significant effect on the environment a�ld is, therefore, categorically exempt from the provisions
of CEQA; and
WHEREAS, J Star is a DelaN�are Corporation qualified to do business in the State of
California; and
VVHEREAS, ,I Star desires to provide Covenants (as defined in the Agreement), assuring the
City, among other things, of the constr opening, and continuous operation of the �Automobile
Dealerships for a period �f fifteen (15) years (to�ether, the "Covenants"), in return for certain
Ccrosidei to be paid by the City (as described in the Agreement); and
VVHEREAS, City and J Star have negotiated the terms of an Agreement re Development and
Operating C��venants ("Agree�nent") to provide for the conveyance of the Covenants and the
payment of the Consideration; and
VVI�EREAS, City has authority to enter into the Agreement and provide the Consideration
pursuant to the Gharter of the City of�Anaheim and otherwise; and
WHEREAS, the City (i) made the info�7nation required by Government Code
Section 53083(a) available to the public in written form and on the City's website, and (ii) held a
noticed public heai•ing regardin� the Agreement and the City's obligation therein to pay the
Consideration, as required by Govei Code Section 53083(b); and
��'HEREAS, after due ii�spection, im�esti�atioll and study made by itself and in its behalf,
and after due consideratio�l of all testimony (if any), evidence and reports offel•ed at said hearing
with respect to the Proposed Project and tl�e Agreement, the City does find and determine that it
11as duly considered all tern�s and conditions of the proposed Agreement and that development of the
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Site and operation of the Automobile Dealerships thereon pursuant to the Agreement is in the vital
and best interest �f the City and the health, safety, morals, and welfare of its residents, and in accord
� ��itll the public purposes and provisions of applicable i of State and local law.
WHEREAS, the City Council detern�ines that tl�e evidence in the record constitutes
substantial evidence to support the actions taken and the findings made in this Resolution, that
the facts stated i�1 this Resolution are supported by substantial evidence in the record, including
testimony received at the public hearing, the staff presentations, the staff report and all materials
in the project files. There is no substantial evidence, nor are there other facts, that detract from
the findin�s made in this Resolution. The City Council expressly declares that it considered all
evidence presented and reached these findings after due consideration of all evidence presented
to it.
NOW, THEREFORE, BE IT RESOLVED B�' THE CITY COUNCIL OF THE C1TY
OF ANAHEI119 AS FOLLOWS: �
I. The City Council hereby finds and determines that the recitals set forth above are true
and con�ect and are incorporated herein by reference as if set forth in full.
2. The City Council hereby finds and determines, based upon substantial evidence
provided in the record before it, that (a) the Agreement is a development agreement that will increase
prope�Ty tax revenues by not less than fifteen (15%) percent when compared to the year prior to the
Opening of the Automobile Dealerships; (b) implementation of the Agreement will promote the
public peace, health, safety, and welfare of the City of Anaheim and its residents; (c) the
Cor�si: �rati�r, is ��asc�r,ably n�:;essary ta ir.duce and ensu:e t}�e deve!cpment, c�ening, an� operatior.
of the Automobile Dealerships; and (d) the Automobile Dealerships will generate a minimum of
Ten Million Dollars (�10,000,000) in annual taxable sales.
3. Tl�e City Council hereby finds and detennines, based upon substantial evidence
provided in the record beioi•e it, that the City, as lead agency, has complied with the applicable
requirements of CEQA with respect to the Proposed Project.
4. The Cit_y Council herehy finds and determines, based upon substantial evidence
provided in the record before it, that the development, opening and operation of the Automobile
Dealerships ���ill be of�material beneiit to the City and to the citizens of, and property owne�s�in, the
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City and sur areas, because the constiuction and operation of the Automobile Dealerships
will (i) encow•age and foster the economic revitalization of the City for the people in the area and the
general public as a whole; (ii) increase property tax available to the City; (iii) increase sales tax
revenues available to the �City; and (iv) create jobs within the City.
5. Ir and to the extent that this Resolution and/or the Agreement which it approves is
inconsistent with Resolution No.2014-104, this Resolution and the Agreement hereby amends
Resolution No. 2014-104.
THE FOREGOING RESOLUTION was adopted at the regular meeting of the City
Council of the City of Anaheim this 25th day of November , 2014 by the following
roll call vote:
AYES: ��cil Members Eastman, Murray, Brandman and Kring
NOES: �Yor Tait
ABSENT: None
ABSTAIN:None
CITY OF ANAHEIM
By:
MA OR OF THE CITY OF ANAHEIM
ATTES :
CIT CLERK OF THE CITY O ANAHEIM
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