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HomeMy WebLinkAbout101-Staff Report - 14683 Oak Street - Mills Act Agreement.pdf SARATOGA CITY COUNCIL MEETING DATE: April 20, 2011 AGENDA ITEM: DEPARTMENT: Community Development CITY MANAGER: Dave Anderson PREPARED BY:Michael Fossati DIRECTOR: Christopher Riordan SUBJECT: 14683 Oak Street (Missionary Settlement House) -Mills Act Agreement RECOMMENDED ACTION: The Heritage Preservation Commission (HPC) recommends the City Council: (1) Open the public hearing and accept public testimony on the attached Resolution to enter into a Mills Act Agreement; (2) Close the hearing and adopt the attached Resolution and direct the City Manager to enter into a Mills Act Agreement for the property located at 14683 Oak Street. REPORT SUMMARY: On March 2003, the City Council approved the Resolution establishing the City’s participation in the Mills Act Program. The Mills Act is state sponsored legislation granting local governments the authority to enter into an agreement with individual property owners so as to restrict the use of the property in exchange for a lowered assessment value. The Mills Act is is an economic incentive for property owners to preserve and maintain their buildings. As part of the agreement, a formal contract between the property owner and the City is required, thus resulting in a Mills Act Agreement. A structure needs to initially be designated as a Saratoga Historic Landmark, as defined in City Code Section 13-05.020, for the Mills Act Program to be applicable. 14683 Oak Street has been recognized as a Saratoga Historic Landmark since April 1987. City regulations allow the Council to approve no more than three Mills Act contracts per calendar year. Since 2003 four property owners have requested Mills Act Contracts with the City. All four owners received City Council approval. The subject application is the first request for a Mills Act Agreement in 2011. The subject residence at 14683 Oak Street was named the Missionary Settlement House when it was added to the City’s Historic Resources Inventory in the 1980s. This one-story residence is a classic Queen Anne cottage and is one of the few remaining in Saratoga of this particular architectural style. Typical of Victorian-era design, the house has a hipped main roof, a front accent gable, an inset porch, and is raised above grade. The front bay window has carved fan brackets at each corner supporting an accent gable. Raised panels are located around the windows. The wide paneled bargeboard is trimmed with scroll corbels, a spindle work arch, and a button sunburst at the apex. Within the gable ends are “fish scale” shingles and ornately trimmed vents. The front porch, reportedly not original to the house but appropriate in design and trim, has turned post, a spindle work spandrel beam, jig sawn corbels, and a low porch railing. The frame structure has high ceilings with tall double-hung windows. The siding is horizontal channel rustic. The rear has been remodeled with the addition of a sun room, bedroom and bedroom at the basement level. FISCAL IMPACTS: With an approval of the Mills Act Agreement, the City would lose a portion of the property tax normally received from typical properties within the City limits. The City of Saratoga normally receives approximately $515 in property tax revenue for a property assessed at $1,000,000. The Mills Act would reduce that amount of revenue by approximately 60%. Staff resources utilized to prepare the staff report and process the application is charged to deposit funds provided by the applicant. CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION: The future maintenance and rehabilitation of the existing landmark could be jeopardized without the tax incentive from the Mills Act Agreement. ALTERNATIVE ACTION: 1. Deny the proposed resolution. 2. Modify the proposed resolution. FOLLOW UP ACTION: Record the Mills Act Agreement. ADVERTISING, NOTICING AND PUBLIC CONTACT: Pursuant to Government Government Code 54954.2, this item was properly posted as a City Council agenda item and was included in the packet made available on the City’s website in advance of the meeting. A copy of the agenda packet is also made available at the Saratoga Branch Library each Monday in advance of the Council meeting. Staff also mailed notices to property owners within 500-feet, posted notice, and publication of advertised notice in the Saratoga News has been given for this item. ATTACHMENTS: 1. Resolution approving the Mills Act Agreement 2. Ordinance HP-13 – Designation of 14683 Oak Street as Heritage Resource 3. List of Heritage Landmarks within City of Saratoga 4. DPR 523 – Property profile of 14683 Oak Street 5. Photographs – 14683 Oak Street 6. Noticing 7. Mills Act Historic Property Preservation Agreement (which includes the following exhibits): a. Property Description b. Resolution of Approval c. Base Line Conditions d. Restoration Plan