Ordinance 1993-22ORDINANCE NO. 93-22
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY
OF GILROY ADDING CHAPTER 3A TO THE GILROY CITY
CODE ENTITLED AGRICULTURAL DISCLOSURE REQUIRE-
MENTS FOR RESIDENTIAL REAL ESTATE TRANSACTIONS
AND RELATED DISPUTE RESOLUTION PROCEDURES
WHEREAS, California civil Code sections 1102.6a,
3482.5(d), and 3482.6(d) provide that any city may elect to require
a seller of certain residential property to provide a disclosure
statement to a prospective buyer acknowledging that the property
being transferred is in close proximity to a commercial
agricultural activity and that the buyer may be subject to inconve-
niences or discomforts arising from such operations and will be
subject to limitations on nuisance actions against the agricultural
activity; and
WHEREAS, the Santa Clara County Board of Supervisors has
adopted Ordinance No. NS-300.512 relating to agricultural disclo-
sure requirements and related dispute resolution procedures; and
WHEREAS, the City of Gilroy ("City") desires that to the
extent possible there be conformity between the City and Santa
Clara County ("County") in the agricultural disclosure process and
dispute resolution procedures.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF GILROY
DOES HEREBY ORDAIN AS FOLLOWS:
SECTION I
Chapter 3A is hereby added to read as follows:
Chapter 3A. AGRICULTURAL DISCLOSURE AND DISPUTE RESOLUTION
Section 3A.1. Findings.
(a) The City Council of the City of Gilroy finds that
commercially viable agricultural land exists within the City's
jurisdiction, and that it is in the public interest to enhance
and encourage agricultural operations within the City's
jurisdiction. The City Council of the City of Gilroy also
finds that residential development adjacent to certain
agricultural lands may lead to restrictions on agricultural
operations to the detriment of the adjacent agricultural uses
and the economic viability of the City's agricultural industry
as a whole.
ORDINANCE NO. 93 - 22 -1-
(b) The purposes of this Chapter are to promote public
health, safety, and welfare, and to support and encourage
continued agricultural operations within the city's jurisdic-
tion. This Ordinance is not to be construed as in any way
modifying or abridging state law as set out in the California
Civil Code, Health and Safety Code, Fish and Game Code, Food
and Agricultural Code, or Division 7 (commencing with section
13000) of the Water Code, or any other applicable provision
of state law relative to nuisances.
Section 3&.2. Definitions.
(a) Agricultural Land. "Agricultural Land" shall mean
all that real property within the boundaries of the City of
Gilroy currently used for Commercial Agricultural Activities
or Commercial Agricultural Processing Activities.
(b) "Commercial Agricultural Activities". Pursuant to
California Civil Code section 3482.5(e), the term "Commercial
Agricultural Activities" shall mean agricultural activities,
operations, or facilities, or appurtenances thereto, including
but not limited to cultivation and tillage of the soil,
dairying, the production, irrigation, frost protection,
cultivation, growing, harvesting, on-farm marketing, and
processing of any agricultural commodity, including viticul-
ture, horticulture, mushrooms, timber or agriculture, the
raising of livestock, bearing animals, fish or poultry, and
any practices performed by a farmer or on a farm as incident
to or in conjunction with those farming operations, including
preparation for market, delivery to storage or to market, or
to carriers for transportation to market.
(c) Commercial Aqricultural Processing Activities.
Pursuant to California civil Code section 3482.6(e) (1), the
term "Commercial Agricultural Processing Activities" shall
mean agricultural processing activities, operations, facili-
ties or appurtenances thereof, including, but not limited to,
the canning or freezing of agricultural products, the process-
ing of dairy products, the production and bottling of wine,
the processing of meat and egg products, the drying of fruits
and grains, the packing and cooling of fruits and vegetables,
and the storage of warehousing of any agricultural products,
and shall include processing for wholesale or retail markets
of agricultural products.
(d) Grievance Committee. "Grievance Committee" shall
mean the Gilroy Planning Commission.
(e) Nuisance. "Nuisance" shall mean all activities
which are deemed to be public or private nuisances according
to state law, noting exceptions to nuisance for Commercial
Agricultural Activities and Commercial Agricultural Processing
Activities set forth in California Civil Code sections 3482.5
and 3482.6.
Section 3A.3.
Residential Real Estate Transfer Disclosure
Statement.
Pursuant to sections 3482.5, 3482.6 and 1102.6(a) of the
California Civil Code, it is intended by this section to
require certain additional disclosures in addition to those
disclosures required by section 1102.6 upon the transfer of
residential real property in proximity to Agricultural Land
as follows:
ORDINANCE NO. 93 - 22 -2-
(a) Upon any transfer as defined in Civil Code
section 2985, by sale, exchange, installment land sale
contract, lease with an option to purchase, any other
option to purchase, or ground lease coupled with improve-
ments, of real property, or residential stock coopera-
tive, improved with or consisting of not less than one
or more than four dwelling units, the transferor shall
require that the disclosure statement set forth in
subsection (b) be delivered to the prospective purchaser
or the lessee if the real property is in close proximity
to an Agricultural Commercial Activity or an Agricultural
Commercial Processing Activity.
(b) The disclosure statement shall be set forth in, and
shall be made on a copy of, the following disclosure form:
LOCAL OPTION
REAL ESTATE TRANSFER DISCLOSURE STATEMENT
THIS DISCLOSURE STATEMENT CONCERNS THE REAL PROPERTY
LOCATED IN THE CITY OF GILROY, COUNTY OF SANTA CLARA,
STATE OF CALIFORNIA, DESCRIBED AS
· THIS STATEMENT IS A DISCLOSURE OF
THE CONDITION OF THE ABOVE DESCRIBED PROPERTY IN
COMPLIANCE WITH ORDINANCE NO. 93-22 OF THE GILROY
MUNICIPAL CODE AS OF JANUARY 19, 1994. IT IS NOT A
WARRANTY OF ANY KIND BY THE SELLER(S) OR ANY AGENT(S)
REPRESENTING ANY PRINCIPAL(S) IN THIS TRANSACTION, AND
IS NOT A SUBSTITUTE FORANY INSPECTIONS OR WARRANTIES THE
PRINCIPAL(S) MAY WISH TO OBTAIN.
SELLER'S INFORMATION
The Seller discloses the following information with the
knowledge that even though this is not a warranty,
prospective buyers may rely upon this information in
deciding whether and on what terms to purchase the
subject property. Seller hereby authorizes any agent(s)
representing any principal(s) in this transaction to
provide a copy of this statement to any person or entity
in connection with any actual or anticipated sale of the
property.
THE FOLLOWING ARE REPRESENTATIONS MADE BY THE SELLER AS
REQUIRED BY THE CITY OF GILROY AND ARE NOT THE REPRESEN-
TATIONS OF THE AGENT(S), IF ANY. THIS INFORMATION IS A
DISCLOSURE AND IS NOT INTENDED TO BE PART OF ANY CONTRACT
BETWEEN THE BUYER AND SELLER.
1. THE REAL PROPERTY IS IN CLOSE PROXIMITY TO A
COMMERCIAL AGRICULTURAL ACTIVITY OR COMMERCIAL AGRICUL-
TURAL PROCESSING ACTIVITY, OPERATION, FACILITY OR
APPURTENANCES THEREOF, WHICH ACTIVITIES ARE IN CERTAIN
CIRCUMSTANCES PROTECTED FROM NUISANCE ACTIONS PURSUANT
TO CALIFORNIA CIVIL CODE SECTIONS 3482.5 AND 3482.6. You
may be subject to inconveniences or discomforts arising
from such activities, including but not limited to noise,
odors, fumes, dust, the operation of machinery of any
kind during any 24-hour period (including aircraft), the
storage and disposal of manure, and the application by
spraying or otherwise of chemical fertilizers, soil
amendments, herbicides and pesticides. The City of
Gilroy has established a procedure for dealing with
ORDINANCE NO. 93 - 22 -3-
disputes which arise regarding commercial agricultural
activities. Such procedures are contained in Ordinance
No. 93-22, Chapter 3A, Sections 3A.1. through 3A.4. of
the Gilroy Municipal Code.
Seller certifies that the information herein is true and
correct to the best of Seller's knowledge as of the date
signed by the Seller.
Seller Date
Seller Date
II.
BUYER(S) AND SELLER(S) MAY WISH TO OBTAIN PROFESSIONAL
ADVICE AND/OR INSPECTIONS OF THE PROPERTY AND TO PROVIDE
FOR APPROPRIATE PROVISIONS IN A CONTRACT BETWEEN BUYER (S)
AND SELLER(S) WITH RESPECT TO ANY
ADVI CE/I NS PE CT IONS/ DE FECTS .
I/WE ACKNOWLEDGE RECEIPT OF A COPY OF THIS STATEMENT.
Seller Date Buyer Date__
Seller Date Buyer Date__
Agent (Broker representing
Seller) By
(Associate Licensee or
Broker - signature)
Date
Agent (Broker Obtaining the
Offer) By
(Associate Licensee or
Broker - signature)
Date
A REAL ESTATE BROKER IS QUALIFIED TO ADVISE ON REAL
ESTATE. IF YOU DESIRE LEGAL ADVICE, CONSULT YOUR
ATTORNEY.
Section 3A.4. Resolution of Disputes.
(a) Should any controversy arise regarding any inconve-
niences or discomforts occasioned by Commercial Agricultural
Activities or Commercial Agricultural Processing Activities,
including, but not limited to, noises, odors, fumes, dust, the
operations of machinery of any kind during any 24-hour period
(including aircraft), the storage and disposal of manure, and
the application of spraying or otherwise of chemical fertiliz-
ers, soil amendments, herbicides and pesticides, any party may
submit the controversy in writing within thirty (30) days of
the date of the occurrence of the particular activity giving
rise to the controversy, or of the date the party became aware
of the occurrence to the Grievance Committee and request their
resolution of the controversy.
(b) Each party to the controversy should recognize the
value and importance of full discussion and complete presenta-
tion and agreement concerning all pertinent facts in order to
eliminate any misunderstandings. Each party must cooperate
in the exchange of pertinent information concerning the
controversy.
(c) The Grievance Committee may investigate the facts
of the controversy, but must, within thirty (30) days from the
date on which the controversy was submitted, hold a meeting
ORDINANCE NO. 93 - 22 -4-
to consider the merits of the matter. At the meeting, all
parties shall have an opportunity to present what each
considers to be the pertinent facts. Within twenty (20) days
of that meeting, the Grievance Committee must render a written
decision to the parties.
(d) The decision of the Grievance Committee shall not
be binding on the parties. If one or more of the parties is
not satisfied with the decision, upon the agreement of all
parties to the controversy, the matter may be submitted to
binding arbitration pursuant to the Commercial Arbitration
Guidelines of the American Arbitration Association or such
other arbitration as the parties deem appropriate.
SECTION II
If any section, subsection, subdivision, sentence, clause,
phrase or word of this ordinance is for any reason held to be
invalid or unconstitutional by a court of competent jurisdiction,
such decision shall not affect the validity of the remaining
portions of this Ordinance. The City Council of the City of Gilroy
hereby declares that it would have passed and adopted this
Ordinance, and each and all provisions hereof, irrespective of the
fact that one or more provisions may be declared invalid or
unconstitutional.
SECTION III
This ordinance shall take effect and be in full force
thirty days from and after its adoption and approval.
PASSED AND ADOPTED this 20th day of December, 1993 by
the following vote:
AYES: COUNCILMEMBERS: GILROY, KLOECKER, MORALES, ROGERS,
ROWLISON, VALDEZ, GAGE
NOES: COUNCILMEMBERS: None
ABSENT: COUNCILMEMBERS: None
ATTEST
APPP~VED:
--Do ~. ~ L~alzor
QRDINANCq{' No. ~3 - 22
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47-010404706002 --5--
I, SUSANNE E. STEINMETZ, City Clerk of the City of Gilroy, do
hereby certify that the attached Ordinance No. 93-22 is an original
ordinance, duly adopted by the Council of the City of Gilroy at a regular
meeting of said Council held on the 20th day of December 19 93,
at which meeting a quorum was present.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the
Official Seal of the City of Gilroy this 28th day of January
19 9~4
(Seal)