resolution mills act contract with roy and kim scheingart 08-06-13

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City CouncilAgenda Item Summary

Meeting Date: 6 August 2013Prepared by: Marc Wiener, Senior Planner

Name: Consideration of a Resolution authorizing the City Administrator to enter into a Mills ActContract with Roy and Kim Scheingart for a historic property located at the northeast

comer of Carpenter Street and Fifth Avenue.

Descr iption : A Mills Act Contract is a contract between the City and a private property ownerof a historic structure. The contract is for a minimum of 10 years but also contains

renewal provisions. The property owner must agree to specific maintenance andrehabilitation efforts in return for a reduction on property taxes. The proposed Mills ActContract would take effect on 1 January 2014.

Overall Cost:City Funds: Loss of approximately $1,000 a year in property tax revenue.

Staff Recommendation: Approve the Mills Act Contract.

Important Considerations: The Mills Act was enacted by the State of California in 1972as a way of encouraging partnerships between local governments and property owners of

historic resources. Local govenunents are not required to participate in the Mills Act.For participating governments, a Mills Act contract can be offered to any property that

contains an historic resource.

The City Council amended the City's Mills Act requirements on 8 June 2010 and

established a limit of no more than three contracts that could be approved during anygiven year. This is the only Mill Act contract that will be awarded for 2014.

Decision Record: On 20 May 2013 the Historic Resources Board recommended that the City

Council adopt a Mills Act Contract for this property.

Attachments:

• Staff Report dated 6 August 2013.

• DPR 523 Form (Historic Designation Form).

• Resolution and Contract with Attachments.

• Maintenance Plan.

Reviewed by:



CITY OF CAIUvffiL-BY-THE-SEA

DEPARTf\ffiNT OF COMMUNITY PLANNING BUILDING

STAFF REPORT

TO: MAYOR BURNETI AND f\ffiMBERS OF THE CITY COUNCIL

THROUGH: JASON STILWELL, CITY ADMINIS1RATOR

FROM: MARC WIENER, SENIOR PLANNER

DATE: 6AUGUST2013

SUBJECT: CONSIDERATION OF A RESOLUTION AUTHORIZING THE CITYADMINISTRATOR TO ENTER INTO A MILLS ACT CONTRACT

WITH ROYAND KIM SCHEINGARTFORA HISTORIC PROPERTY

LOCATED AT THE NORTHEAST CORNER OF CARPENTER

STREET AND FIFTH A VENUE.

BACKGROUND AND PROJECT DESCRIPTION

The subject residence is a two-story Cape Cod style structure located on the northeast

comer of Carpenter Street and Fifth Avenue. The residence was constructed in 1950 andhas retained its original size and footprint. The residence is considered historically

significant under California Register Criterion #3 (architecture) as an excellent example

of Cape Cod style architecture popular in the post World War II era. A DPR 523 form

was filed with the City on 21 November 2002.

The property owner is applying for a Mills Act Contract. The Mills Act was enacted by

the State of California in 1972 as a way of encouraging partnerships between local

governments and property owners of historic resources. Local governments are not

required to participate in the Mills Act. For participating governments, a Mills Actcontract can be offered to any property that contains a historic resource. The contract

must be for at least 10 years and must include renewal provisions.



MA 13-1 (Scheingar t)

Staff Report6 August 2013

Page4

taxes to the City of approximately $1,020 per year. This is a fair assumption for this

application.

Mills Act Cap: In 2010 the City Council also adopted a cap limiting the number ofMillsAct contracts that could be approved in any given year to three. The City,s ordinancerequires Mills Act applications to be submitted no later than June 31st for contracts that

would take effect during the next calendar year. No other applications were submitted sothis would be the only contract for 2014. The Historic Resources Board took this into

consideration when evaluating this Mill Act Contract.

RECOMrvffiNDATION

Adopt the attached Resolution.



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CITY OF CARMEL-BY-THE-SEA

CITY COUNCIL

RESOLUTION NO. 2013-

CONSIDERATION OF A RESOLUTION OF THE CITY COUNCIL OF THE CITY OFCARMEL-BY-THE-SEA AUTHORIZING THE CITY ADMINISTRATOR TO ENTER INTO

A MILLS ACT CONTRACT WITH ROY AND KIM SCHEINGART FORA HISTORIC

PROPERTY LOCATED AT THE NORTHEAST CORNER OF CARPENTER STREET

AND FIFTH A VENUE.

WHEREAS, The City of Carmel-by-the-Sea is a unique community that prides itself in

its historic character; and

WHEREAS, the City has adopted a General Plan and Municipal Code that strive to

protect the historic character through clear policies and regulations that guide historicpreservation; and

WHEREAS, the Mills Act was adopted by the State of California in 1972; and

WHEREAS, jurisdictions are not required to implement the Mills Act; and

WHEREAS, participating jurisdictions may establish specific application requirements to

suit local needs; and

WHEREAS, the City adopted the Mills Act as a potential benefit to property owners ofhistoric resources as part of he Local Coastal Program and amended the Mills Act requirements

on 8 June 2010; and

WHEREAS, the property located at the northeast comer of Carpenter Street and Fifth

Avenue (APN: 009-164-008) is listed on the City's Register of Historic Resources; and

WHEREAS, the applicant submitted a request for a Mills Act Contract on 15 June 2013;

and

WHEREAS, the applicant's proposal is consistent with CMC Section 17.32.100.B; and

WHEREAS, the approval of this contract will not exceed the maximwn number ofMills

Act Contracts that can be authorized during any given year (3) as established by the City

Council.



PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF CARMEL

BY-THE-SEA this 6th day of August 2013 by the following roll call vote;

A YES: COUNCIL MEMBERS:

NOES: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS :

ABSTAIN: COUNCIL MEMBERS:

SIGNED,

Jason Burnett, MAYOR

ATTEST:

Heidi Burch, City Clerk



RECORDING REQUESTED BY:

CITY CLERK

CITY OF A R M E L ~ BY-THE-SEA

WHEN RECORDED MAIL TO:

NAME:

ADDRESS:

CITY CLERK

CITY OF CARMEL-BY THE-SEA

CITY HALL

PODRAWERG

CARMEL, CA 93921•••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••

CITY OF CARMEL-BY..;TIIE-SEAN.DLLSACTAGREEMENT

IDSTORIC PROPERTY PRESERVATION CONTRACT

THIS AGREEMENT is made and entered mto this 6th day of August, 2013 by and between the

CITY OF CARMEL-BY-THE-SEA a municipal corporation (hereinafter referred to as "City"), and Roy

and Kim Scheingart (hereinafter referred to as "Owner")

RECITALS

(i) California Government Code Section 50280, et seq (known as the Mills Act) authorizes

cities to enter into contracts '9.'ith the o·wners of qualified historic properties to provide for

their appropriate use, maintenance and re&toration such that these historic properties

retain their historic h a r a c t e r i s t i c . , ~

(ii) The Owner possesse8 fee title in and to that certain real property, together with associated

structures and improvements thereon, located at the northeast comer of Carpenter and

f:ifth Avenue (APN· 009-164-008), Carmel, California, (hereinafter referred to as the

''Historic Propert} '). A legal deJscription of the Historic Property is attached hereto,

marked as Exhibit "A"' a..1d is incorporated herein by this e f e r e n c e ~

(iii) The property is identified as an historic resource on the City of Carmel's Register of

Historic Resources;

(iv) City and Owner, for their mutual benefit, now desire to enter into this Agreement both to

protect and pre.<>en·ethe

characteristics of historical significance ofhe

Historic Property,and to quahfy the Historic Property for an assessment of valuation pursuant to the

provisions of Article 1.9 (commencing with section 439) of Chapter 3 of Part 2 of

Division 1of he California Revenue and Taxation Code.



Community Development Department

PODrawerG

Carmel, CA 93921

Owner: Roy and Kim Scheingart

11 Via Las Cruces

Orinda, CA 94563

16. Recordation. No later than twenty (20) days afte r the parties execute and enter into this

Agreement, the City shall cause this Agreement to be recorded in the Office of the

County Recorder ofthe County of Monterey.

17. The Owner or agent of Owner shall provide written notice of this Agreement to the State

Office ofHistoric Preservation within six (6)months of he date of his Agreement.

18. Should either party to this agreement bring legal action against the other, the case shall be

handled in Monterey County, California and the party prevailing in such action shall be

entitled to a reasonable attorney fee which shall be fixed b) the judge hearing the case

and such fee shall be included in the judgment together with all costs.

19. Amendments. This agreement may be amended m whole or in part, only by a written

recorded instrument executed by the parties hereto.

IN WITNESS THEREOF, the City and Owners ha\e executed this Agreement on the day and year

written above.

CITY OF CARMEL-BY-THE-SEA

By: Date:

Name: Jason Stilwell

Title: C1ty Adminis trator

PROPERTY OWNER:

By : Date:

Name: Roy Sheingart



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resolution mills act contract with roy and kim scheingart 08-06-13

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