TITLE
Recommendation to request City Attorney to prepare ordinances to designate the properties located at 4204 Cedar Avenue, 244 Mira Mar Avenue, and 262 Newport Avenue as Long Beach Historic Landmarks; and
Authorize City Manager, or designee, to execute Mills Act historic property contracts with owners of 13 historic properties. (Districts 1,2,3,6,7,8)
DISCUSSION
The Mills Act was enacted by State law in 1972 and allows local governments to enter into tax abatement contracts with property owners of historic structures. Under the law, 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.
This is the sixth year the City of Long Beach (City) has opened the application cycle since the program was reactivated in 2016. With each year, Development Services staff continue to evaluate the process to provide the Cultural Heritage Commission (Commission) with feedback of how previous modifications to the program have affected the program and process. The program has improved, and eligibility requirements refined, with each continuing application cycle.
Mills Act contracts are executed between the City and the property owner for an initial term of 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 and can terminate the contract if the property owner breaches any of the contract terms.
The Department of Development Services conducts an inspection prior to approval of Mills Act contracts for each eligible property for which applications are submitted. To assure properties are properly maintained and that rehabilitat...
Click here for full text