Clearlake declares multiple city parcels surplus as state law changes affect process

Clearlake City Council approved Resolution 2023-44 declaring various city-owned properties surplus, a procedural step staff said is required before the city can consider disposal or select a developer under the Surplus Land Act.

City staff explained the process and said the parcels under consideration mostly surround property the city owns at Pierce Field, with one on Palmer behind Howard's Grotto that was acquired out of foreclosure to address code issues. Staff said the Surplus Land Act requires jurisdictions to consider affordable-housing uses on surplus public land and that recent state legislation—identified in the transcript as SB 747 and AB 480—amends that law and may add exceptions. Staff advised the council that if a parcel qualifies for a newly enumerated exception, the council might later take a different action.

Council asked for clarification about a self-storage parcel near the highway that will be affected by a planned roadway alignment; staff said much of that parcel would become public right-of-way for the road, while a small sliver could be sold for development in the future, subject to the surplus-land process.

Council Member Sloatman moved to approve the resolution and Council Member Overton seconded; the motion passed by unanimous vote.

Staff noted the city has also applied to purchase tax-defaulted parcels through Chapter 8 or direct sale from the county and that those applications are pending review by the state controller's office.

Next steps include following the statutory surplus-land process and, where applicable, returning to council if exceptions in the amended law apply or if additional approvals are required.