City Council Agenda
|
Memo to: |
Manteca City Council |
|
|
|
|
From: |
Brad Wungluck, Director of Development Services |
|
|
|
|
Date: |
January 20, 2026 |
|
|
|
|
Subject: |
Letter of Intent with PD Danna LLC, et al. for the exchange of properties for the development a Fire Station (CEQA Exempt) |
Recommendation:
title
Adopt a resolution authorizing the City Manager to enter into a Letter of Intent (LOI) with PD Danna, LLC, et al. for the exchange of properties to facilitate the construction of a new fire station by the City of Manteca and finding the action exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3) of the CEQA Guidelines.
body
Background:
The City of Manteca over the past twelve months has identified the need to construct an additional fire station in the southwest portion of the city to improve emergency response times and better serve the growing community.
To address this, City staff have been in discussions with PD Danna, LLC, et al., and the Manteca Unified School District (MUSD), the owners of strategically located parcels that meets the City’s operational, locational, and spatial requirements for a modern fire station. On April 15, 2025, the City Council approved an agreement with MUSD that requires the district to convey 1.00 acre of the Tara Park parcel that the district owns. Subsequent to that the City has been in further discussions with PD Danna, LLC et. al., regarding the opportunity to also acquire 1.00 acre of their site adjacent to the Tara Park parcel so that a new 2.00 +/- acre parcel would be assembled for the City to construct the Fire Station needed. In exchange for the 1.00 acre from PD Danna, LLC et. al., the City would convey ownership of its existing properties, along Bronzan Road, remnants of the McKinley interchange project which are approximately 0.43 acres and 0.51 acres, .94 acres total, to PD Danna, LLC, et al., as part of a mutually beneficial property exchange agreement.
Entering into a Letter of Intent (LOI) will establish a framework for the terms, responsibilities, and next steps in negotiating a formal Property Exchange Agreement, subject to subsequent City Council approval. The LOI is non-binding and serves to outline the mutual understanding of the parties prior to finalizing the transaction.
The proposed exchange offers the City a significant opportunity to:
• Acquire a larger and more suitable site for the development of a modern fire station that meets current and future operational needs.
• Avoid the costs of acquiring new property outright, as the exchange structure leverages existing City assets.
• Enhance community safety and emergency response times through improved station siting and accessibility.
The LOI defines the general parameters of the exchange, including property descriptions, due diligence periods, valuation process, and closing conditions. The final terms of the exchange, including the specific conveyance documents and related title and escrow requirements, will be brought back to the City Council for final approval once due diligence is completed.
The proposed action, authorization to enter into a Letter of Intent, does not constitute a project under CEQA, and is therefore exempt under CEQA Guidelines. Any future development of the Fire Station will be subject to separate CEQA review prior to construction.
Fiscal Impact:
There is no direct fiscal impact associated with approval of the Letter of Intent. Staff time and incidental administrative costs will be absorbed within the existing operating budget. Any future financial commitments related to property exchange, design, or construction of the Fire Station will be brought forward to the City Council for separate approval.
Documents Attached:
Attachment 1 - Resolution
Attachment 2 - Letter of Intent