HomeMy WebLinkAboutResolution No. 2024-56 | Agricultural Mitigation Renz Lane Project
RESOLUTION NO. 2024-56
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GILROY
ALLOCATING A PORTION OF THE ACREAGE OF THE
CONSERVATION EASEMENT PURCHASED BY THE CITY OVER
THE VAN DYKE PROPERTY TO BE USED FOR AGRICULTURAL
MITIGATION FOR A PROJECT PROPOSED BY GILROY
LOGISTICS LLC ON RENZ LANE
WHEREAS, The City of Gilroy (“City”) has an Agricultural Mitigation Policy (the “Policy”)
that was adopted on May 3, 2004 and revised on January 4, 2016; and
WHEREAS, Pursuant to the Policy, projects on land proposed in certain specified areas in
the City must partially mitigate the environmental impact of a development project upon the
preservation of certain agricultural land (the “Affected Land”) in the City by the purchase of
certain other agricultural lands or by the purchase of development rights over such agricultural
land (“Mitigation Land”) and transfer of such development rights to a City-approved agency;
and
WHEREAS, On or about Jan. 6, 2020, the City Council approved an agreement (the
“Conservation Agreement”) with the Land Trust of Santa Clara Valley (“Land Trust”) by
which the Land Trust agreed to purchase an Agricultural Conservation Easement (the
“Easement”) over approximately 108.4 acres of property located at 7665 Crews Road owned
by the Van Dyke family (the “Conserved Property”). The City provided funding for the
purchase and also the perpetual stewardship of the Conserved Property in the amount of
$1,298,850; and
WHEREAS, The Easement over the Conserved Property complies with the provision of the
Policy to purchase development rights over the Conserved Property, and thus provides to the
City agricultural mitigation pursuant to the Policy to allow the potential mitigation for the
agricultural impact on 108.4 acres of Affected Land. Such a project could be any combination
of City and private projects. The City intends to partially use the Conservation Easement as
mitigation for future development of the City’s own Sports Park, but does not need the full
acreage of the Conservation Easement for such purposes; and
WHEREAS, A company called Gilroy Logistics LLC (“Owner”) is seeking to develop an
industrial site of 12.8 acres located at 951 and 981 Renz Lane in the City and needs to comply
with the City’s Policy. Owner has not found it to be possible to purchase land or development
rights over land of roughly that size that would satisfy their obligation under the Policy, and
accordingly has asked the City for permission to, in effect, use 12.8 acres of the Conserved
Property for its mitigation, thus reducing the amount of Conserved Property remaining to 95.6
acres; and
WHEREAS, Owner has offered to pay the City’s appraised land value for the use of the 12.8
acres of Conserved Property; and
Docusign Envelope ID: 14F090BE-AF7C-4487-A971-D93A7BC7ED90
Resolution No. 2024-56
Renz Lane Project Agricultural Mitigation
City Council Regular Meeting | November 18, 2024
Page 2 of 3
WHEREAS, the Council determines that it is in the public interest to accept Owner’s offer and to
allow Owner to use 12.8 acres of the Conserved Property for agricultural mitigation pursuant to
the Policy.
NOW, THEREFORE, BE IT RESOLVED THAT:
1) The City Council of the City of Gilroy finds that the remaining 95.6 acres of the
Conserved Property is sufficient acreage of Conserved Property available for its needs,
including any possible build out of the Sports Park.
2) It is in the public interest to approve the attached agreement with Owner by which
Owner will be granted the right to use 12.8 acres of the Conserved Property for its own
agricultural mitigation.
3) The compensation from Owner in the Agreement is based on an appraisal of the
property rights at issue as well as Owner’s pro rata share of the stewardship fee that
was paid to the Land Trust to manage the Agricultural Conservation Easement.
4) The Agreement with Owner attached hereto as Exhibit A is hereby approved and the
City Administrator is authorized to execute said agreement.
PASSED AND ADOPTED this 18th day of November 2024 by the following roll call vote:
AYES: COUNCIL MEMBERS: BRACCO, ARMENDARIZ, MARQUES,
HILTON, CLINE, TOVAR, BLANKLEY
NOES: COUNCIL MEMBERS:
ABSENT: COUNCIL MEMBERS:
ABSTAIN: COUNCIL MEMBERS:
APPROVED:
______________________________
Marie Blankley, Mayor
ATTEST:
________________________
Beth Minor, Interim City Clerk
Docusign Envelope ID: 14F090BE-AF7C-4487-A971-D93A7BC7ED90
Resolution No. 2024-56
Renz Lane Project Agricultural Mitigation
City Council Regular Meeting | November 18, 2024
Page 3 of 3
CERTIFICATE OF THE CLERK
I, BETH MINOR, Interim City Clerk of the City of Gilroy, do hereby certify that the attached
Resolution No. 2024-56 is an original resolution, or true and correct copy of a City Resolution,
duly adopted by the Council of the City of Gilroy at a Regular Meeting of said held on Council held
Monday, 18 November 2024, with a quorum present.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Official Seal of the
City of Gilroy this 19 November 2024.
____________________________________
Beth Minor
Interim City Clerk of the City of Gilroy
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