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HomeMy WebLinkAboutRes 2025-076RESOLUTION NO. 2025-076 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, APPROVING A MILLS ACT AGREEMENT BETWEEN THE CITY AND THE OWNER OF THE PROPERTY LOCATED AT 73411 WILLOW STREET CASE NOS. MILLS25-0002 WHEREAS, the City Council of the City of Palm Desert is authorized by California Government Code § 50280 et seq. (known as “the Mills Act”) to enter into contracts with the owners of qualified historical properties to provide for appropriate use, maintenan ce, and rehabilitation such that these historic properties retain their historic characteristics; and WHEREAS, the City Council of the City of Palm Desert has adopted Resolution No. 9136 (2000 Series), establishing the Mills Act Historic Property Tax Incentive Program as an ongoing historic preservation program to promote the preservation, maintenance, and rehabilitation of historic resources through financial incentives; and WHEREAS, the City Council of the Palm Desert has designated this property as a historic resource of the City of Palm Desert on June 12, 2025 pursuant to the policies in the Title 29 of the Palm Desert Municipal Code; and WHEREAS, Todd Blake Verwers and Mette Krebs Petersen are the owners of that certain qualified real property, together with associated structures and improvement thereon, located on Assessor’s Parcel Number 630-082-007, located at 73411 Willow Street, in the City of Palm Desert, California; and WHEREAS, the City and the Owners, for their mutual benefit, now desire to enter into an agreement to limit the use of the property to prevent inappropriate alterations and to ensure that character-defining features are preserved and maintained in an exemplary manner, and repairs and improvements are completed as necess ary to carry out the purposes of California Government Code, Chapter 1, Part 5 of Division 1 of Title 5, Article 12, Sec. 50280 et seq., and to qualify for an assessment of valuation pursuant to Article 1.9, Sec. 439 et. seq. of the Revenue and Taxation Co de; and WHEREAS, the City Council conducted a meeting in the Council Chamber of City Hall, 73510 Fred Waring Drive, Palm Desert, California, on December 11, 2025, for the purpose of considering approval of the historic property preservation agreement, and has duly considered all evidence and testimony of the applicant and interested parties, and the evaluation and recommendation by staff, present at said hearing; and NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Palm Desert, California, as follows: SECTION 1. Findings. Based upon all the evidence, the City Council makes the following findings: Docusign Envelope ID: 64A651A7-1391-4916-B2E5-C1582B4B1B5C Resolution No. 2025-076 Page 2 a) Environmental Resources Element Program 6.9.4 and 6.9.5 states that the City will require sites with significant cultural resources and structures to be preserved. b) The subject property, located at 73411 Willow Street, has been recognized as a historic asset in the community by its designation as a Historic Landmark by the City Council by Resolution No. 2025-038 on June 12, 2025. As such, maintaining the structure will meet the City’s goals for historic preservation listed in policies 6.9.4 and 6.9.5 of the Environmental Resources Element. SECTION 2. Environmental Determination. The City Council has determined that the above actions do not constitute a project, as defined in California Environmental Quality Act Guidelines § 15378 and are not subject to environmental review. SECTION 3. Historic Property Preservation Agreement Approved. The City Council hereby approves the Mills Act Agreement between the City of Palm Desert and the Owner s of the Historic Property Located at 73411 Willow Street, to be entered into by the City and the property owners, Todd Blake Verwers and Mette Krebs Petersen. SECTION 4. City Manager Authorized to Sign Agreement for City. The City Council hereby authorizes the Community Development Director to execute said agreement on behalf of the Council of the City of Palm Desert. SECTION 5. Custodian of Records. The documents and materials that constitute the record of proceedings on which these findings are based are located at the City’s office at 73510 Fred Waring Drive, Palm Desert, CA 92260. Anthony J. Mejia, MMC, the City Clerk of the City of Palm Desert is the custodian of the record of proceedings. SECTION 6. Effective Date. This Resolution shall become effective immediately upon its adoption. ADOPTED ON DECEMBER 11, 2025. EVAN TRUBEE MAYOR ATTEST: ANTHONY J. MEJIA CITY CLERK Docusign Envelope ID: 64A651A7-1391-4916-B2E5-C1582B4B1B5C Resolution No. 2025-076 Page 3 I, Anthony J. Mejia, City Clerk of the City of Palm Desert, hereby certify that Resolution No. 2025-076 is a full, true, and correct copy, and was duly adopted at a regular meeting of the City Council of the City of Palm Desert on December 11, 2025, by the following vote: AYES: HARNIK, NESTANDE, PRADETTO, QUINTANILLA, AND TRUBEE NOES: NONE ABSENT: NONE ABSTAIN: NONE RECUSED: NONE IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Palm Desert, California, on _________________. ANTHONY J. MEJIA CITY CLERK Docusign Envelope ID: 64A651A7-1391-4916-B2E5-C1582B4B1B5C 12/22/2025 Resolution No. 2025-076 Page 4 Exhibit A Recording Requested by: ) When Recorded Mail to: ) ) CITY OF PALM DESERT ) 73-510 Fred Waring Drive ) Palm Desert, CA 92260 ) ) Attention: Cultural Resources ) Administrator ) ) ) ) (Space above for Recorder’s Office) HISTORIC PROPERTY PRESERVATION AGREEMENT (“MILLS ACT CONTRACT”) between THE CITY OF PALM DESERT a California municipal corporation and Todd Blake Verwers and Mette Krebs Petersen Owner(s) of the property located at 73411 Willow Street APN 630-082-007 Docusign Envelope ID: 64A651A7-1391-4916-B2E5-C1582B4B1B5C Resolution No. 2025-076 Page 5 HISTORIC PROPERTY PRESERVATION AGREEMENT (“MILLS ACT CONTRACT”) This agreement (“Agreement”) is made this 11th day of December 2025, by and between the City of Palm Desert, a California municipal corporation (“City”), and Todd Blake Verwers and Mette Krebs Petersen (“Owners”). RECITALS 1. California Government Code section 50280, et. seq. allow cities the discretion to enter into contracts with the owners of qualified historic properties, as defined in Government Code section 50280.1, for the purpose of providing for the use, maintenance, protection, and restoration of such historic property, so as to retain its characteristics as property of historic significance; and 2. Owner holds fee title to that certain real property, together with associated structures and improvements thereon, generally located at 73411 Willow Street within the City of Palm Desert, California (“Historic Property”). A legal description of the Historic Property is attached hereto as Exhibit “A,” and incorporated herein by this reference; and 3. On June 12, 2025 the City Council designated the Historic Property as a historic resource, pursuant to the terms and provisions of Title 29 of the Palm Desert Municipal Code; and 4. City and Owners desire to enter into this Agreement for the purpose of protecting and preserving the characteristics of historical significance of the Historic Property that help provide the community with its own unique civic identity and character; and 5. Owners, in consideration for abiding by the terms of this Agreement, shall be entitled to qualify for a reassessment of valuation of the Historic Property, pursuant to the provisions of Chapter 3, Part 2, of Division 1 of the California Revenue and Taxation Code, and any corresponding adjustment in property taxes resulting therefrom. TERMS Docusign Envelope ID: 64A651A7-1391-4916-B2E5-C1582B4B1B5C Resolution No. 2025-076 Page 6 NOW, THEREFORE, the City and Owners, in consideration of mutual covenants and conditions set forth herein, do hereby agree as follows: 1. Effective Date and Term of Agreement. This Agreement shall be effective and commence on December 11, 2025 (“Effective Date”), and shall remain in effect for a term of ten (10) years thereafter. 2. Yearly Renewal. Each year upon the anniversary of the Effective Date (“Renewal Date”), an additional one (1) year shall automatically be added to the remaining term of the Agreement, unless a notice of nonrenewal is delivered as provided in Section 3 of this Agreement. 3. Nonrenewal. If either the Owners or City desires at any point not to renew this Agreement, Owner or City shall serve a written notice of nonrenewal upon the party in advance of the Renewal Date (“Notice of Nonrenewal”). The Notice of Nonrenewal shall be effective, only if served by Owner s upon City at least ninety (90) days prior to the Renewal Date, or if served by City upon Owner s, the Notice of Nonrenewal shall be effective, only if served upon Owner s at least sixty (60) days prior to the Renewal Date. If either City or Owner s serves a Notice of Nonrenewal in any year, this Agreement shall remain in effect for the balance of the remaining Agreement term. 4. Owner Protest of City Nonrenewal. Within fifteen (15) days of Owners’ receipt of the Notice of Nonrenewal from the City, Owner s may file with the City a written protest of the Notice of Nonrenewal. Upon receipt of the written protest, the City Council shall set a hearing prior to the expiration of the Renewal Date of this Agreement. Owners may furnish to the City Council any information that Owner s deems relevant, and shall furnish that which is requested or required by the City Council. The City Council may, at any time prior to the annual Renewal Date, withdraw its Notice of Nonrenewal. 5. Standards for Historical Property. During the term of this Agreement, the Historic Property shall be subject to the following conditions, requirements, and Docusign Envelope ID: 64A651A7-1391-4916-B2E5-C1582B4B1B5C Resolution No. 2025-076 Page 7 restrictions: A. Owners shall preserve and maintain the characteristics of the cultural and historical significance of the Historic Property. Attached hereto as Exhibit “B” and incorporated herein by this reference, is a list of the minimum standards and conditions for the maintenance, use, protection, and preservation of the Historic Property, which shall be complied with by Owner at all times throughout the term of this Agreement. In addition, Owners shall comply with the terms of the City’s Cultural Resources Ordinance 1168 (Title 29 of the Palm Desert Municipal Code), and shall obtain any and all applicable permits necessary to protect, preserve, restore, and rehabilitate the Historic Property, so as to maintain its historical and cultural significance. B. Owners shall, where necessary, repair, maintain, restore, and rehabilitate the Historic Property according to the rules and regulations of both the Office of Historic Preservation of the State Department of Parks and Recreation, and the City of Palm Desert. The condition of the Historic Property’s exterior on the Effective Date of this Agreement is documented in the photographs attached hereto as Exhibit “C” and incorporated herein by this reference. At a minimum, Owners shall continually maintain the exterior of the Historic Property in the same condition as documented and depicted in Exhibit “C.” C. Owners shall carry out specific restoration, repair, maintenance, and/or rehabilitation projects on the Historic Property, as outlined in Exhibit “D,” attached hereto and incorporated herein by this reference. All such projects shall be undertaken and completed in accordance with both the Secretary of Interior’s Standards for Rehabilitation and Guidelines for Rehabilitating Historic Buildings, in addition to the City of Palm Desert’s design guidelines. D. Owners shall not be permitted to block the view corridor with any new structure such as walls, fences or shrubbery, so as to prevent the view of the Historic Property from the public right-of-way. Docusign Envelope ID: 64A651A7-1391-4916-B2E5-C1582B4B1B5C Resolution No. 2025-076 Page 8 6. Periodic Examinations. Upon reasonable advance notice, Owner s shall allow reasonable periodic examinations of the exterior of the Historic Property by representatives of the County Assessor, the State Department of Parks and Recreation, the State Board of Equalization and/or the City, as may be necessary to determine Owners’ compliance with the terms and provisions of this Agreement. 7. Provision of Information of Compliance. Owners hereby agrees to furnish City with any and all information requested by the City, which the City deems necessary or advisable to determine eligibility of the Historic Property and compliance with the terms and provisions of this Agreement. 8. Breach of Agreement; Remedies. A. Notice of Breach; Opportunity to Cure. If Owners breaches any provision of this Agreement, City may give written notice to Owner s by registered or certified mail, detailing Owners’ violations. If such violation is not corrected to the reasonable satisfaction of City within thirty (30) days after the date of notice of violation, or within such a reasonable time as may be required to cure the violation (provided the acts to cure the violation are commenced within thirty (30) days and thereafter diligently pursued to completion), the City may, without further notice, declare Owners to be in breach of this Agreement. Upon City’s declaration of Owners’ breach of this Agreement, City may pursue any and all remedies available pursuant to local, state, or federal law, including those specifically provided for in this section. B. Remedy - Termination. City may terminate this Agreement, if the City determines, following a duly noticed public hearing in accordance with Government Code section 50286, that: 1.) Owner breached any of the conditions of this Agreement; 2.) Owners allowed the Historic Property to deteriorate to the point that it no longer meets the standards for a qualified historic property or; 3.) Owners failed to maintain and preserve the Historic Property in accordance with the terms of this Agreement. If Docusign Envelope ID: 64A651A7-1391-4916-B2E5-C1582B4B1B5C Resolution No. 2025-076 Page 9 this Agreement is terminated pursuant to this paragraph, Owner s shall pay a cancellation fee to the Office of the Auditor for the County of Riverside, as required by Government Code section 50286. C. Alternative Remedies. As an alternative to termination of this Agreement for Owner’s breach of any condition, City may bring an action in court necessary to enforce this Agreement including, but not limited to, an action to enforce this Agreement by specific performance, injunction, or receivership. 9. Destruction of Property; Eminent Domain; Termination. If the Historic Property is destroyed by earthquake, fire, flood, or other natural disaster such that in the opinion of the City Building Official more than sixty percent (60%) of the original fabric of the structure must be replaced, this Agreement shall be terminated, because the historic value of the structure will have been deemed destroyed. If the Historic Property is acquired in whole or in part by eminent domain or other acquisition by any entity authorized to exercise the power of eminent domain, and the acquisition is determined by the City Council to frustrate the purpose of this Agreeme nt, this Agreement shall be terminated. No cancellation fee pursuant to Government Code section 50286 shall be imposed if the Agreement is terminated, pursuant to this Section. 10. Waiver. City does not waive any claim of default by Owners, if City does not enforce or terminate this Agreement. All other remedies at law or in equity which are not otherwise provided for in this Agreement or in City’s regulations governing historic properties are available to the City to pursue in the event that there is a breach of this Agreement. No waiver by City of any breach or default under this Agreement shall be deemed to be a waiver of any other subsequent breach thereof or default hereunder. 11. Binding Effect of Agreement. Owners hereby subjects the Historic Property to the covenants, conditions, and restrictions set forth in this Agreement. City and Owner hereby declare their specific intent that the covenants, conditions, and restrictions set forth herein shall be deemed covenan ts running with the land and shall inure to and be binding upon Owner’s successors and assigns in title or interest to the Docusign Envelope ID: 64A651A7-1391-4916-B2E5-C1582B4B1B5C Resolution No. 2025-076 Page 10 Historic Property. Each and every contract, deed or other instrument herein after executed, covering or conveying the Historic Property, or any portion thereof, shall conclusively be held to have been executed, delivered and accepted subject to the covenants, reservations and restrictions set forth in this Agreement, deed, or other instrument. 12. Covenants Run with the Land. City and Owner hereby declare their understanding and intent that the burden of the covenants, reservations and restrictions set forth herein touch and concern the land in that it restricts development of the Historic Property. City and Owner hereby further declare their understanding and intent that the benefit of such covenants, reservations and restrictions touch and concern the land by enhancing and maintaining the cultural and historical characteristics and significance of the Historic Property for the benefit of the public and the Owner. 13. Notice. Any notice required to be given by the terms of this Agreement shall be provided at the address of the respective parties as specified below or at any other address as may be later specified by the parties hereto: City: City of Palm Desert Department of Development Services 73-510 Fred Waring Drive Palm Desert, CA 92260 Owner(s):Todd Blake Verwers and Mette Krebs Petersen 73411 Willow Street Palm Desert, CA 92260 14. Effect of Agreement. None of the terms, provisions or conditions of this Agreement shall be deemed to create a partnership between the parties hereto or any of their heirs, successors or assigns, nor shall such terms, provisions or conditions cause the parties to be considered joint venturers or members of any joint enterprise. Docusign Envelope ID: 64A651A7-1391-4916-B2E5-C1582B4B1B5C Resolution No. 2025-076 Page 11 15. Indemnity of City. Owner shall defend, indemnify, and hold harmless City and its elected officials, officers, agents and employees from any actual or alleged claims, demands, causes of action, liability, loss, damage, or injury to property or persons, including wrongful death, whether imposed by a court of law or by administrative action of any federal, state or local governmental agency, arising out of or incident to (i) the direct or indirect use operation, or maintenance of the Historic Property by Owner or any contractor, subcontractor, employee, agent, lessee, licensee, invitee, or any other person; (ii) Owner’s activities in connection with the Historic Property; and (iii) any restrictions on the use or development of the Historic Property, from application or enforcement of Title 29 of the City’s Municipal Code, or from the enforcement of this Agreement. This indemnification includes, without limitation, the payment of all penalties, fines, judgments, awards, decrees, attorneys’ fees, and related costs or expenses, and the reimbursement of City, its elected officials, employees, and/or agents for all legal expenses and costs incurred by each of them. Owner’s obligation to indemnify shall survive the termination, cancellation, or expiration of this Agreement and shall not be restricted to insurance proceeds, if any, received by City, its elected officials, employees, or agents. 16. Binding Upon Successors. All of the agreements, rights, covenants, reservations and restrictions contained in this Agreement shall be binding upon and shall inure to the benefit of the parties herein, their heirs, successors, legal representatives, assigns and all persons acquir ing any part or portion of the Historic Property, whether by operation of law or in any manner whatsoever. 17. Legal Costs. In the event legal proceedings are brought by any party or parties to enforce or restrain a violation of any of the covenants, conditions or restrictions contained herein, or to determine the rights and duties of any party hereunder, the prevailing party in such proceeding may recover all reasonable attorneys’ fees to be fixed by the court, in addition to court costs and other relief ordered by the court. 18. Severability. In the event that any of the provisions of this Agreement are Docusign Envelope ID: 64A651A7-1391-4916-B2E5-C1582B4B1B5C Resolution No. 2025-076 Page 12 held to be unenforceable or invalid by any court of competent jurisdiction, or by subsequent preemptive legislation, the validity and enforceability of the remaining provisions, or portions thereof, shall not be effected thereby. 19. Recordation. No later than twenty (20) days after the Effective Date, City shall cause this Agreement to be recorded in the office of the County Recorder of the County of Riverside. Owner shall provide written notice of the contract to the State Office of Historic Preservation within six (6) months of entering into the contract. 20. Amendments. This Agreement may be amended, in whole or in part, only by written recorded instrument executed by the parties hereto. 21. Governing Law and Venue. This Agreement shall be construed and governed in accordance with the laws of the State of California. Any action at law or in equity brought by either of the parties hereto for the purpose of enforcing a right or rights provided for by this Agreement shall be tried in a court of competent jurisdiction in the County of Riverside, State of California, and th e parties hereby waive all provisions of law providing for a change of venue in such proceedings to any other county. Docusign Envelope ID: 64A651A7-1391-4916-B2E5-C1582B4B1B5C Resolution No. 2025-076 Page 13 IN WITNESS WHEREOF, City and Owner have executed this Agreement on the day and year first above written. Dated: CITY OF PALM DESERT By ATTESTED TO: By Dated: _____________________ Owner ,Owner ,Owner APPROVED AS TO FORM City Attorney Docusign Envelope ID: 64A651A7-1391-4916-B2E5-C1582B4B1B5C Resolution No. 2025-076 Page 14 A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. STATE OF CALIFORNIA ) )ss COUNTY OF RIVERSIDE ) On , before me, , the undersigned, a notary public in and for said State, personally appeared personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s ) acted, executed the instrument. WITNESS my hand and official seal. Notary Signature Docusign Envelope ID: 64A651A7-1391-4916-B2E5-C1582B4B1B5C Resolution No. 2025-076 Page 15 EXHIBIT A PROPERTY DESCRIPTION Real property in the City of Palm Desert, County of Riverside, State of California, described as follows: Lot 73 of Palm Desert Unit No. 10, in the City of Palm Desert, County of Riverside, State of California, as shown by Map on file in Book 33, Page(s) 99 and 100 of Maps, in the County Recorder of said County, California. APN: 630-082-007 Also known as: 73411 Willow Street, Palm Desert, CA 92260 Docusign Envelope ID: 64A651A7-1391-4916-B2E5-C1582B4B1B5C Resolution No. 2025-076 Page 16 EXHIBIT B MINIMUM STANDARDS AND CONDITIONS FOR MAINTENANCE, USE, PROTECTION, AND PRESERVATION OF HISTORIC PROPERTY 1. The Historic District Property shall comply with all regulations of Title 8 and Title 9 of the Palm Desert Municipal Code, including the definition of “Good Repair” as outlined in Section 29.20 and 29.60.160; 2. The Historic Property shall continue to be maintained in a manner consistent with the level of maintenance that has customarily been employed at the property and consistent with the typical condominium development in the Palm Desert Area. 3. The Historic Property shall not have non-operational vehicles or portions of them in public view. 4. The Historic Property Shall not have stagnant or standing water. 5. The Historic Property Shall not have overgrown or decaying landscaping. All landscape features should be maintained including, but not limited to, grass, trees, and any plantings. 6. The Historic Property shall prominently display and properly maintain its City Landmark plaque. Docusign Envelope ID: 64A651A7-1391-4916-B2E5-C1582B4B1B5C Resolution No. 2025-076 Page 17 EXHIBIT C EXTERIOR PHOTOGRAPHS OF HISTORIC PROPERTY Docusign Envelope ID: 64A651A7-1391-4916-B2E5-C1582B4B1B5C Resolution No. 2025-076 Page 18 Docusign Envelope ID: 64A651A7-1391-4916-B2E5-C1582B4B1B5C Resolution No. 2025-076 Page 19 Docusign Envelope ID: 64A651A7-1391-4916-B2E5-C1582B4B1B5C Resolution No. 2025-076 Page 20 Docusign Envelope ID: 64A651A7-1391-4916-B2E5-C1582B4B1B5C Resolution No. 2025-076 Page 21 Docusign Envelope ID: 64A651A7-1391-4916-B2E5-C1582B4B1B5C Resolution No. 2025-076 Page 22 Docusign Envelope ID: 64A651A7-1391-4916-B2E5-C1582B4B1B5C Resolution No. 2025-076 Page 23 EXHIBIT D PENDING AND REQUIRED PROJECTS FOR HISTORIC PROPERTY Docusign Envelope ID: 64A651A7-1391-4916-B2E5-C1582B4B1B5C