This chapter may be referred to as the Imperial Beach Mills Act Program for historically designated properties or as used herein, the Mills Act Program.
The purpose of this chapter is to promote the restoration and maintenance of historically significant properties in the City of Imperial Beach that have previously been registered on the National Register of Historic Places or the California Register of Historic Places. This chapter will also establish the eligibility, obligations, regulations, and limitations of the Imperial Beach Mills Act Program.
The chapter is consistent with the City's Mission Statement, which reads: "To maintain and enhance Imperial Beach as 'Classic Southern California'; a beach-oriented community with a safe, small town, family atmosphere, rich in natural and cultural resources." (emphasis added)
(Ord. 2018-1179 § 2)
A. 
The City is not obligated to implement the provisions of this chapter if the City Council finds the subject property is not historically significant to the history or culture of Imperial Beach, or if implementing the provisions of this chapter is determined to create an unacceptable impact on the financial condition of the City.
B. 
In order to participate in the Imperial Beach Mills Act Program, the subject property must:
1. 
Be privately owned property that is not exempt from property taxes typically assessed in Imperial Beach.
2. 
The property must be officially approved and registered on the National Register of Historic Places or the California Register of Historic Places.
(Ord. 2018-1179 § 2)
A. 
The Imperial Beach City Council may contract with the owner of an eligible property to restrict the use of the property for preservation, maintenance, restoration and rehabilitation in exchange for the property tax benefits identified in the California Revenue and Taxation Code. The property owner must apply for approval to utilize the Imperial Beach Mills Act Program and the application must include, at a minimum, the following:
1. 
A completed application form and payment of review fees as established by resolution of the City Council. The application form shall be submitted to the office of the City Manager.
2. 
Evidence, from the respective entity, that the property is registered on the National Register of Historic Places or the California Register of Historic Places. The registration must be complete, not pending, and current.
B. 
The City Manager, or designee, will determine if the property is eligible for use of the Imperial Beach Mills Act Program. The decision of the City Manager may be appealed to the City Council, whose decision shall be final.
C. 
The City Council will review the application at a City Council meeting and move to approve, conditionally approve, or deny the application, and/or request additional information before making a determination. The decision of the City Council is final and may not be appealed.
D. 
The City Council is not obligated to approve any application for the use of the Imperial Beach Mills Act Program. Some, but not all, of the reasons the application may be denied include:
1. 
The property is determined to not have historical significance or add to the cultural resources of Imperial Beach.
2. 
The preservation of the property would not be in the best interests of the City or its residents.
3. 
The loss in revenue to the City would be significant, or the loss in revenue is determined to be less than the benefit of preservation.
(Ord. 2018-1179 § 2)
A. 
The applicant agrees to preserve, maintain, restore/rehabilitate the historic property in a condition that will allow the property to remain on the National Register of Historic Places or the California Register of Historic Places, as applicable. The contract with the City of Imperial Beach will include the requirements of Government Code Sections 50281 and 50282, as may be amended from time to time, and the following:
1. 
The term of the contract shall before a minimum of 10 years and renewal will be subject to Government Code Section 50282, as may be amended from time to time.
2. 
All improvements shall conform to the rules and regulations of the Office of Historic Preservation of the Department of Parks and Recreation, the United States Secretary of the Interior's Standards for Rehabilitation, and the State Historical Building Code, as applicable.
3. 
The City of Imperial Beach reserves the right to conduct periodic examinations of the property, including interior space, to ensure compliance with the contract.
4. 
The contract shall be binding upon, and inure to the benefit of, all successors in interest of the owner. It is the responsibility of the owner to notify the City of any sale or transfer of the property.
5. 
The owner of the property agrees to provide written notice to the National Register of Historic Places and/or the Office of Historic Preservation, as applicable and provide evidence of such notice to the City of Imperial Beach.
6. 
The contract shall be recorded against the subject property in the office of the San Diego County Recorder. The costs associated with recordation shall be the responsibility of the applicant.
7. 
The owner shall be required to defend and indemnify the City as specified in the contract.
(Ord. 2018-1179 § 2)
A. 
The City of Imperial Beach may cancel a contract if it is determined that the owner has breached any condition of the contract provided herein or has allowed the property to deteriorate to the point that it no longer meets the standards for a qualified historical property. The City may also cancel a contract if it determines that the owner has failed to restore or rehabilitate the property in the manner specified in the contract. Cancellation of a contract by the City of Imperial Beach will occur at a meeting of the City Council following a noticed public hearing. The property owner will be notified of the hearing date as specified in Government Code Section 50285, as may be amended from time to time.
B. 
If a contract is canceled for a violation of the Imperial Beach Mills Act Program, the owner shall pay a cancellation fee equal to 12.5% of the current fair market value of the property, as determined by the Assessor as though the property were free of the contractual restriction in accordance with Government Code Section 50286, as may be amended from time to time. If the cancellation fee is not paid, the City will exercise all legal remedies to recover the amount of the cancellation fee. The cancellation fee shall be paid to the City of Imperial Beach who will consult with the San Diego County Auditor to ensure the fee is properly allocated to each jurisdiction in the tax rate area in which the property is located.
(Ord. 2018-1179 § 2)
The property tax calculation for eligible properties utilizing the Imperial Beach Mills Act Program will be determined using the "income" method identified in the California Revenue and Taxation Code established by the Board of Equalization. Eligible property owners exploring the use of the Imperial Beach Mills Act Program may contact the California Board of Equalization for more information.
(Ord. 2018-1179 § 2)
As an alternative to cancellation of the contract for breach of any condition, the City of Imperial Beach may bring an action in a court of competent jurisdiction to enforce a contract including, but not limited to, an action to enforce the contract by specific performance or injunction.
(Ord. 2018-1179 § 2)
The City Manager, or designee, or the owners of eligible properties may consult with the State Historical Resources Commission for advice and counsel on matters related to property contracts subject to the Imperial Beach Mills Act Program.
(Ord. 2018-1179 § 2)
The Imperial Beach Mills Act Program and this chapter may be repealed at any time by a majority vote of the City Council. Repeal shall not impact any existing property contract. All existing contracts shall expire upon the date identified in the contract.
(Ord. 2018-1179 § 2)