FROM:
Development Services
SUBJECT:
Declaring Surplus Land - Property located at Arrow Blvd & Tokay Ave (APN 0232-171-17)
Title
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RECOMMENDATION:
Recommendation
1. Approve Resolution No. 2026-069, declaring that the City-owned property on Arrow Blvd & Tokay Ave (Assessor’s Parcel Number 0232-171-17) is “Surplus Land” pursuant to the Surplus Land Act, Government Code Section 54220 Et Seq.; and approving the form of Notice of Availability.
2. Authorize the City Manager and/or his designee(s) to take all actions necessary or appropriate to comply with the Surplus Land Act.
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COUNCIL GOALS:
• To practice sound fiscal management by living within our means while investing in the future.
• To invest in the city's infrastructure (streets, sewers, parks, etc.) by improving the aesthetics of the community.
• To preserve the local environment for generations to come and to create a healthy economic and environmental future by creating communities and neighborhoods that are attractive, safe, and convenient for walkers and cyclists.
DISCUSSION:
The City of Fontana acquired the subject parcel located at the intersection of Arrow Boulevard and Tokay Avenue (Assessor’s Parcel Number 0232-171-17) as part of the council’s plan to address homelessness in the city, with the intention of developing a homeless wellness center. The parcel is approximately 3.5 acres and is designated as I-L (Light Industrial) under the City’s General Plan and includes an overlay that allows for temporary and permanent housing for the previously homeless.
Due to an updated plan for addressing homelessness regionally with the County of San Bernardino and several nearby cities, the property is no longer necessary for City purposes. As such, the City intends to initiate the Surplus Land Act process in compliance with Government Code Section 54220 et seq. Should no interest be received from affordable housing developers, or if good-faith negotiations do not result in a mutually acceptable agreement, the City may pursue disposition of the property through lease or sale to a user with a use compatible with the surrounding industrial corridor.
By approving the attached Resolution, the City Council will formally declare the property as “surplus land” pursuant to Government Code Section 54221.
Prior to disposition, the City is required to comply with the Surplus Land Act, which mandates a public and stakeholder engagement process. This includes issuing a Notice of Availability (“NOA”) to designated entities, primarily via electronic notification, and providing a 60-day period for interested parties such as affordable housing developers and public agencies to submit a notice of interest.
In accordance with the Surplus Land Act, the City must engage in good-faith negotiations for a minimum of 90 days with any qualified entity that submits a valid notice of interest. The Act is intended to prioritize the development of affordable housing and address statewide housing needs. Additionally, the City must comply with reporting requirements to the California Department of Housing and Community Development, which may impose penalties for noncompliance.
This action initiates the surplus land disposition process and enables staff to evaluate potential interest from qualified entities. Upon completion of the required process, the City may proceed with marketing the property to the general public.
Approval of the Resolution will allow the City to commence the Surplus Land Act process by issuing the NOA to all entities entitled to receive notice under state law. Future disposition of the property is anticipated to support continued economic activity consistent with the Light Industrial designation along the Arrow Boulevard corridor.
FISCAL IMPACT:
There is no fiscal impact associated with the approval of this item.
MOTION:
Approve staff recommendation.