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Home My WebLink AboutCC AG PKT 2010-08-09 #CAGENDA STAFF REPORT DATE: August 9, 2010 TO: Honorable Mayor and City Council THRU: David Carmany, City Manager FROM: Mark H. Persico, AICP, Director of Development Services SUBJECT: HISTORIC PRESERVATION OPTIONS FOR THE BAY THEATRE (Shanks) SUMMARY OF REQUEST: Review of options to preserve the Bay Theatre at 340 Main Street. BACKGROUND AND FACTS: Although original building permits are not on file at City Hall, the Bay Theatre is believed to have been constructed in 1947 -1948 and it was part of the Fox Theater chain. The original architect of the building is unknown. One note of interest on the Theater is that Steven Spielberg used to watch moves at the Bay Theater when he was a student at Cal State Long Beach in the mid- 1960's. Attached is a page from the Theater's website www.baytheatre.com. The Theater is part of the Main Street Specific Plan area and helping retain the theater as a working theater would fit well with the Vision for the Plan, which states: "The Main Street area is particularly important because it is a cohesive agent for a city that is geographically fragmented. The vision for Main Street is small town America. Important features include a family town with friendly people who care for each other, a pedestrian - oriented area where people walk and feel safe on the street at night, and an area with both architectural and economic diversity with a mix of offices and businesses. Main Street is surrounded by an area of mixed housing types and institutions, creating a complete small town community. Although it is recognized that the area will have businesses that serve both residents and visitors, the goal is to not have visitor - serving uses overwhelm the area at the expense of the small town character. It is Agenda Item C Page 2 also recognized that when the weather and beach conditions are attractive, the demand for parking may exceed the supply." Staff has identified three levels of historic preservation that could be pursued: 1) adoption of City guidelines and ordinance, 2) designation as a state historic resource, and 3) designation as a National Historic Landmark. City Actions Presently, the City of Seal Beach does not have any codified provisions for local preservation of historic resources, landmarks, or structures. However, the City could choose to enact such a voluntary ordinance that would allow for the preservation of such resources, landmarks, or structures and could also define specific guidelines that would address any future rehabilitation, modification, or demolition. As a voluntary Ordinance, property owners would not be forced in a historic designation status. The Bay Theatre could potentially be a qualifying structure. Additionally, if the City were to designate individual structures or landmarks as being locally significant, property owners could potentially enter into a Mills Act contract between the property owner and the City, to obtain a significant reduction in property taxes. State Designation The California Register program encourages public recognition and protection of resources of architectural, historical, archeological and cultural significance, identifies historical resources for state and local planning purposes, determines eligibility for state historic preservation grant funding and affords certain protections under the California Environmental Quality Act (CEQA). The criteria for designation stipulate that to be eligible, a resource: • Is associated with events that have made a significant contribution to the broad patterns of local or regional history or the cultural heritage of California (Criterion 1). • Is associated with the lives of persons important to local, California, or national history (Criterion 2). • Embodies the distinctive characteristics of a type, period, region, or method of construction or represents the work of a master or possesses high artistic values (Criterion 3). • Has yielded, or has the potential to yield, information important to the prehistory or history of the local area, California, or the nation (Criterion 4). By a state register designation, a resource is afforded limited protection under CEQA; the Building Official must grant code alternatives under the State Page 3 Historical Building Code; and the County assessor, via the local jurisdiction, may enter into a Mills Act contract for property tax reduction. Based on the information currently available to staff, it is unclear whether the Bay Theatre would meet the criteria for inclusion on the California Register. Federal Designation Much like the eligibility criteria for the California Register, the criteria for evaluation for the National Register includes those districts, sites, buildings, structures, and objects that possess integrity of location, design, setting, materials, workmanship, feeling, and association, and: • That are associated with events that have made a significant contribution to the broad patterns of history; or • That are associated with the lives of significant persons in the past; or • That embody the distinctive characteristics of a type, period, or method of construction, or that represent the work of a master, or that possess high artistic values, or that represent a significant and distinguishable entity whose components may lack individual distinction; or • That has yielded, or may be likely to yield, information important in history or prehistory. Properties that are included on the National Register are eligible for a 20% IRS tax credit. There is also a program which provides a 10% IRS tax credit, but this is reserved for properties that were built prior to 1936. Based on the information currently available to staff, it is unlikely that the Bay Theatre would meet the criteria for inclusion on the National Register, but more information on the building would be required before making a final determination. Mills Act: The Mills Act is state legislation that was enacted in 1972 to provide property tax relief to owners of historic properties for the purpose of assisting in the expense of restoration and maintenance of the property. To qualify, a historic property must be listed on a national, state, county, or city register. Under the program, property owners receive a significant reduction in local property taxes in exchange for their promise to actively participate in restoring, rehabilitating, repairing, and preserving their properties. The actual tax savings is calculated by the County Assessor's office using a state - mandated reassessment formula. Page 4 FINANCIAL IMPACT: Varies, depending on which, if any, designation could potentially be placed on the building. Staff will return to the City Council at a later date with a budget amendment based upon the selected option. RECOMMENDATION: That the City Council reviews the options above and provides appropriate direction to the City Manager. SUBMITTED BY: Mark H. Persico, AICP Director of Development Services Prepared by: Jerry Olivera, Senior Planner Attachment: NOTED AND APPROVED: David Carm ny, City Manager A. Bay Theater Website Information ATTACHMENT A BAY THEATER WEBSITE INFORMATION Bay Theatre Website WHAT'S PLAYING GET DIRECTIONS E -MAIL. US LINKS Page 1 of 2 The Bay Theatre: Showcasing New Hits and Old Classics SEAL BEACH - Since 1947, the Bay Theatre has stood near the corner of Pacific Coast Highway and Main Street in Seal Beach. Over the years it has been home to Mainstream Films, Surfing Films, and Concert Performances. Today we offer Independent and Foreign Films, plus special weekly screenings of Classic Films. Spend a day in Seal Beach enjoying the fine shops and restaurants, then come on down and visit us at the historic Bay Theatre! It's like a trip back in time! http:// www .baytheatre.com/table _page.htm 7/30/2010 Bay Theatre Website Page 2 of 2 For recorded information, please call (562) 431- 9988. Our address is: Bay Theatre 340 Main Street Seal Beach, CA 90740 http:// www.baytheatre.com/table _page.htm 7/30/2010