REPORT TO THE CITY COUNCIL
FROM: BRIAN BARR, Director
General Services Department
SUBJECT
Title
Actions pertaining to the adoption of a resolution authorizing the Director of General Services to pay relocation assistance to the businesses impacted by the development of affordable senior housing at 4323-4333 Blackstone Avenue, adjacent to the Senior Center Project (District 4):
1. RESOLUTION - A Resolution authorizing the Director of General Services or designee to sign and approve payment of relocation assistance claims and all associated documents to facilitate relocation for tenants located at 4323-4333 Blackstone Avenue, Fresno, California in compliance with the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970s
Body
RECOMMENDATION
Staff recommends Council approve a Resolution authorizing the Director of General Services or designee to sign and approve payment of relocation assistance claims and all associated documents to facilitate relocation for tenants, O’Reilly Auto Parts, El Rey Fitness Boxing, Central Sierra Insurance, and San Joaquin Veterinary Hospital, in an amount not-to-exceed a total of $1,000,000 as programmed in a Substantial Amendment to the Fiscal Year 2023-2024 Annual Action Plan for CDBG funds previously approved by Council on November 16, 2023.
EXECUTIVE SUMMARY
On November 16, 2023, Council adopted a Substantial Amendment to the Fiscal Year 2023-2024 Annual Action Plan for funding provided by the U.S. Department of Housing and Community Development Office of Community Planning and Development. The Substantial Amendment reprogrammed $1,000,000 in CDBG funds to fulfill the City’s obligation to provide relocation assistance to businesses impacted by the development of affordable senior housing at 4323-4333 Blackstone Avenue, adjacent to the Senior Center. The Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, or the Uniform Act, is a federal law that provides fair compensation and assistance for businesses displaced by public projects funded by the federal government. As the City utilized federal funds to purchase the property adjacent to the Senior Center and is seeking to redevelop the parcel, four tenants are eligible for funds for relocation assistance as prescribed by the Uniform Act. General Services is seeking authorization to process and approve all relocation assistance claims and associated documents in compliance with the Uniform Act for O’Reilly Auto Parts, El Rey Fitness Boxing, Central Sierra Insurance, and San Joaquin Veterinary Hospital, in an amount not-to-exceed a total of $1,000,000.
BACKGROUND
On July 25, 2022, Council approved the acquisition of property for the Senior Center and development of affordable senior housing utilizing a combination of federal and Measure P funds. At the time of acquisition, four tenants were operating businesses in the strip mall located at 4323-4333 Blackstone Avenue adjacent to the Senior Center site. As federal funds were utilized for the acquisition of the property and the City seeks to redevelop the parcel for affordable senior housing, the tenants are eligible for relocation assistance under the Uniform Act.
The Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, or the Uniform Act, is a federal law that provides fair compensation and assistance for businesses displaced by public projects funded by the federal government. The Uniform Act provides certain relocation benefits such as relocation advisory assistance, moving and related expenses, business re-establishment expenses, or a fixed payment in lieu of actual moving/re-establishment expenses. O’Reilly Auto Parts, El Rey Fitness Boxing, Central Sierra Insurance, and San Joaquin Veterinary Hospital are eligible for relocation assistance benefits under the Uniform Act.
On November 16, 2023, Council adopted a Substantial Amendment to the Fiscal Year 2023-2024 Annual Action Plan for funding provided by the U.S. Department of Housing and Community Development Office of Community Planning and Development. The Substantial Amendment reprogrammed $1,000,000 in CDBG funds to fulfill the City’s responsibility to provide relocation assistance.
Funds are disbursed to tenants based upon their eligibility and individual claims submitted to the City in compliance with the Uniform Act.
General Services and the City’s Relocation Consultant met informally with each tenant in June 2023. The meetings provided advance notice of the City’s plans for the property, potential benefits for relocation, and approximate timeline to vacate. Under the Uniform Act, the City is required to provide a minimum of a 90 day notice to vacate, however due to the lead time to open a new place of business, the City determined it was reasonable to provide informal advance notice.
The City has since provided each business with a formal Notice of Eligibility of relocation benefits under the Uniform Act and the City has established July 28, 2024, as the deadline in which tenants are to vacate the property.
ENVIRONMENTAL FINDINGS
By the definition provided in the California Environmental Quality Act (CEQA) Guidelines Section 15378, the authorization for payment of funds does not qualify as a project as defined by CEQA.
LOCAL PREFERENCE
Local Preference does not apply because this agreement is not a bid or award of a construction or services contract.
FISCAL IMPACT
There is no impact to the General Fund. Council previously adopted and approved the Substantial Amendment reprogramming $1,000,000 in CDBG funds specifically for relocation assistance on November 16, 2023. No additional funds or appropriations are requested in this action.
Attachments:
Resolution