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Council discusses appraisals of city parcels; staff advised to start surplus-land process for several properties
Summary
City staff presented market appraisals for several city-owned parcels and explained the state Surplus Lands Act; council directed staff to include selected parcels in a surplus-notice process while holding MAOF childcare and the medical building off the market.
City staff briefed the Gonzales City Council on Oct. 6 about market appraisals for multiple city-owned parcels and the state Surplus Lands Act, which prescribes a notice-and-priority process for selling public land for affordable housing, recreation or transit uses.
The properties reviewed: Staff presented appraisals for the following parcels: the Canyon Creek Park Phase 2 parcel (approximately 3 acres, unimproved and without utilities), three Venice Park lots in the Cipriani subdivision, the Marchetti property (roughly one acre on South Volta purchased for senior housing), the MAOF childcare facility (leased and maintained by MAOF) and the building next door commonly referred to as the old medical building (portion currently used as the city's emergency operations center and subject to lease until 2027).
State surplus-land process: City Attorney Mike summarized the Surplus Lands Act process: the city must first declare property surplus and determine whether any statutory exemptions apply; then the city issues a Notice of Availability (NOA) to a state-maintained list of affordable-housing and public entities. The NOA period remains open for 60 days; if proposals are received, the city must negotiate in good faith in a 90-day negotiation window. If no proposals arrive, the city may sell the property but must record a covenant that preserves an affordable-housing requirement if the site is later developed for housing.
Council direction: Council members discussed which parcels to include. Staff recommended putting Canyon Creek Phase 2, the Venice Park/Cipriani lots and the Marchetti parcel into the surplus-land process given lack of planned city uses and limited utilities or development feasibility. Council members also asked staff to include a C Street parcel (near the slough) in the review. Staff recommended retaining the MAOF childcare site and the medical building for continued city use and leases. Council members also noted that sale proceeds from surplus property are subject to state restrictions and often must be used for affordable housing or related public purposes.
Ending: No formal sale or binding action was taken; council provided direction to staff to begin the surplus-notice procedures for selected parcels and to return with required NOA materials and timelines.
