TITLE
Recommendation to request City Attorney to prepare ordinances to designate the properties located at 344 West 8th Street, 347 West 7th Street, 539 Daisy Avenue, 711 Daisy Avenue, 2202 East Lowena Drive, 2220 East Lowena Drive, 331 Wisconsin Avenue, 3943 East 5th Street, 1162 Los Altos Avenue, 14 Paloma Avenue, and 3020 East Vista Street as Long Beach Historical Landmarks;
Authorize City Manager to execute Mills Act historic property contracts with owners of 15 historic landmark properties; and
Adopt minor revisions to the Mills Act Guidelines effective
January 1, 2017. (Citywide)
DISCUSSION
The Mills Act, enacted by State law in 1972, allows local governments to enter into tax abatement contracts with property owners of historic structures. Property owners agree to restore, maintain and preserve the property in accordance with specific historic preservation standards and conditions identified in the contract. Entering into a Mills Act contract results in a property tax reassessment by the County Assessor using the income-capitalization method, which may result in a 30 to 50 percent reduction in property tax.
The City Council established a local Mills Act program in 1993. Between 1993 and 2006, the City awarded 31 contracts. With each contract, the Development Services Department conducts an inspection of the property prior to contract execution and again every five years thereafter to ensure proper maintenance of the property. The contracts are between the City and the property owner, and the initial term is ten years with an annual automatic ten-year renewal, unless a request for non-renewal is made by either party. The City maintains various mechanisms to bring a property into compliance or terminate the contract and recover significant damages if the property owner breaches any of the contract terms.
On February 4, 2014, the City Council directed staff to resume the acceptance of new Mills Act applications. On January 6, 2015, the City Council a...
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