1. Hearing of Necessity Four Parcels located in Block 60 as needed for the GLEASON PARK/STOCKTON UNIFIED SCHOOL DISTRICT PROJECT Redevelopment Agency of the City of Stockton January 31, 2006

2. Hearing of Necessity The Gleason Park / Stockton Unified School District School Site Project is a redevelopment project leading to the development of the Alex G. Spanos Elementary School on the block bounded by Hazelton Avenue, California Street, Church Street and American Street (Block 60) which is within the Six Block Gleason Park Master Development Area.

3. Hearing of Necessity The Agency seeks to acquire four additional properties in Block 60 for the project: OWNER ADDRESS APN Daniel Mulholland, Tr.525 E. Hazelton Avenue149-085-13 Onkar Singh 517 S. American Street149-085-06 Swaranjit Kaur Zachary A. Scott516 E. Church Street149-085-03 John D. Dugas 521 E. Hazelton Avenue 149-085-14 James L. Byrd

4. MAP

5. Hearing of Necessity Findings to be Made: The Public Interest and Necessity Require the Project The Project is Planned or Located in the Manner Most Compatible with the Greatest Public Good and the Least Private Injury The Property Sought to be Acquired is Necessary for the Project

6. Master Development Area Goals zThe Gleason Park/ Stockton Unified School District School Site Project is an integral part of the Six Block Gleason Master Development Area. The established goals for that area include: yMixed uses that will establish a strong neighborhood identity yResidential and school uses are oriented to the park yInterior road abandonments to create a "pedestrian friendly" neighborhood yShared uses between park and school yNeighborhood child care center and new community center for multifamily units yNew construction will include architectural features including public art to maintain the historic context of the neighborhood

7. Master Development Area

8. Background On July 15, 1991, the City of Stockton adopted the Amended and Restated Redevelopment Plan for the West End Urban Renewal No. 1 Redevelopment Project as amended. On July 2, 2002, the City of Stockton adopted the Amended and Merged Redevelopment Plan for the South Stockton Redevelopment Project Area.

9. Background The Redevelopment Agency of the City of Stockton is responsible for administering the Redevelopment Plans to cause redevelopment to the Project Area. This includes land assembly, site preparation, and redisposition of property within the Project Areas for redevelopment consistent with the Redevelopment Plans.

10. Background zIn April 1999, the Gleason Park Neighborhood Master Revitalization Strategy was completed. zSeveral public workshops were held to develop the strategy.

11. Community Outreach - SUSD zBetween 2001 and 2005, the Stockton Unified School District held over a dozen meetings to allow for suggestions from the public on a new elementary school planned for the Gleason Park neighborhood. zThe new school will be named the Alex G. Spanos Elementary School.

12. Background zOn April 29, 2003, the Agency selected Stockton Unified School District pursuant to the Redevelopment Plans to redevelop the real property bounded by California, Hazelton, American and Church Streets, into an in-fill elementary school serving the neighborhood. zOn April 24, 2005 The Agency and the City Council approved a Mitigation Monitoring and Reporting Program as part of the Gleason Park Neighborhood Project.

13. Council Study Session - May 19, 2005 zDiscussion of history, community outreach and participation for the Gleason Neighborhood revitalization effort zAt request of Council, distributed public notices to all occupants of the Block 60 where the new school is proposed.

14. Background zOn May 24, 2005, the Agency authorized a Disposition and Development Agreement (the “DDA”) with SUSD providing for development of the Alex G. Spanos Elementary School. zOther actions on that date by the Redevelopment Agency and/or City Council included: y Certifying the EIR for the six block project area y Entering into a Shared Use Agreement between City Parks & Recreation and SUSD y Approving a Relocation Plan

15. Acquisition z20 parcels included on the block z6 Owner Occupied Homes z9 Rental properties z5 Vacant Land parcels z16 of the property owners, including all owner occupants have approved purchase agreements with the Redevelopment Agency

16. Relocation zAll property owners and tenants are eligible for relocation assistance and benefits zTenants receive moving costs, relocation assistance and replacement housing payments zOwner Occupants receive moving expenses, purchase price and mortgage differential payments, along with closing costs

17. Background zOn July 26, 2005, The Agency approved a Memorandum of Agreement (MOA) between the Redevelopment Agency, Stockton Unified School District (SUSD), Mercy Housing, and the State Office of Historic Preservation (SHPO) for the Gleason Park Neighborhood Project. yThe MOA outlines the terms and conditions for historic mitigation to be undertaken by the Agency, Mercy Housing, and SUSD as specified by SHPO pursuant to the provisions of Section 106 of the National Historic Preservation Act.

18. Background zEdna Gleason Park - funding in place, design and phasing complete, final engineering and design contract pending, public art sculpture approved, demolition underway. zSchool conceptual design complete. Edna Gleason Park

19. SUSD School Site Plan

20. SUSD School Elevation

21. Background zShared use of Edna Gleason Park and Alex G. Spanos Elementary School: ySchool district will provide hard court play areas and the parking lot for the City to use during school off-hours. yThe City will provide a small softball field in the park for the school to use when school is in session.

22. Findings - Public Interest zThe Public Interest and Necessity Require the Project yThe properties are required for a public use and a public project and these acquisitions are part of the Agency’s continuing effort to revitalize Stockton. yThis project is within the Amended and Merged Redevelopment Plan for the South Stockton Redevelopment Project Area. yThe project will assist in the revitalization and redevelopment of Downtown and complement other revitalization and redevelopment activities recently completed or that are now being implemented or planned in the Downtown area.

23. Findings - Public Interest (continued) zThe Public Interest and Necessity Require the Project yThe project will assist in the revitalization and redevelopment of the Six Block Gleason Park Master Development Area and is a component part of that master plan. yImplementation of the DDA requires the Agency’s acquisition of the subject properties in order to develop the proposed elementary school. yThis project is intended to create opportunities for social, cultural, and educational enrichment in the community.

24. Findings - Public Good The Project is Planned or Located in the Manner Most Compatible with the Greatest Public Good and the Least Private Injury yThe Project includes an area with a number of vacant and underutilized properties. yThe Agency has acquired other property in this block for use in connection with the project. yThe school site is adjacent to an abandoned park site which is intended to be rebuilt and shared with the new school.

25. Findings - Necessary Property zThe Property Sought to be Acquired is Necessary for the Project yThe properties are key parcels, adjacent to existing Agency owned properties yThe properties are the last remaining parcels needed to assemble a site of adequate size for the SUSD project yThe Project will eliminate underutilized parcels

26. Environmental Clearance The Agency completed an Environmental Impact Report (EIR4- 04/IS16-04) as the environmental documentation for purposes of compliance with the requirements of the California Environmental Quality Act (CEQA), to describe the physical development to be undertaken pursuant to the DDA On May 24, 2005, the Agency certified adoption of the EIR by resolution no. R05-019 On May 24, 2005, the City Council of the City of Stockton certified adoption of the EIR by resolution no. 05-0215 In accordance with Section 65402 of the Government Code, it has been determined that this action conforms with the City’s General Plan designation for the site and with the General Plan Policy Document, as amended

27. Negotiations Independent appraisals were performed. Written purchase offers were submitted to each of the four property owners on July 26, 2005. Copies of the Agency’s offers to purchase are on file with the City Clerk’s Office. Reasonable attempts have been made to negotiate with the property owners.

28. Negotiations The Agency is at an impasse and has been unable to reach agreement with three of the property owners. An agreement has been reached with the Dugas/Byrd ownership; however, title problems may significantly delay close of escrow.

29. Notice of Public Hearing California Code of Civil Procedure requires a notice of this hearing to be sent by mail at least 15 days prior to the hearing to each person whose property is to be considered for acquisition by eminent domain. Such notice was sent to each of the four property ownerships on January 11, 2006. Copies of the Notices are on file with the City Clerk’s Office.

30. Summary of Events Offers to purchase the subject property interests were made as required by Government Code, Section 7267.2 The owners of the properties have been given an opportunity to respond to the City’s offer and to negotiate acquisition terms Notices of intention regarding this hearing were provided via first class mail

31. Resolution of Necessity Must be adopted by not less than a 2/3 vote The Agency must consider whether the information necessary to support the findings in the resolution has been provided at this hearing Authorizes the City Attorney to file the complaint and seek possession of the property Negotiations will continue with the property owners in an attempt to reach agreements via a voluntary acquisition

32. Recommendation Adopt a Resolution of Necessity authorizing the initiation of an eminent domain proceeding to acquire the real property owned by Daniel Mulholland, Tr., located at 525 E. Hazelton Avenue (APN149-085-13). Adopt a Resolution of Necessity authorizing the initiation of an eminent domain proceeding to acquire the real property owned by Onkar Singh & Swaranjit Kaur located at 517 S. American Street (APN149-085-06).

33. Recommendation Adopt a Resolution of Necessity authorizing the initiation of an eminent domain proceeding to acquire the real property owned by Zachary A. Scott located at 516 E. Church Street (APN 149-085-03). Adopt a Resolution of Necessity authorizing the initiation of an eminent domain proceeding to acquire the real property owned by John D. Dugas & James L. Byrd located at 521 E. Hazelton Avenue (APN 149-085-14).