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HomeMy WebLinkAboutMinutes - City Council - 2003-05-02 - Special Meeting 77 City Council, Special Meeting Community Room 777 Cypress Avenue Redding, California May 2, 2003, 10:30 a.m. The meeting was called to order by Mayor Cibula with the following Council Members present: Kight, Mathena, Pohlmeyer and Stegall. I Also present were City Manager Warren, Assistant City Manager Perry, Deputy City Manager Starman, City Attorney Fuller, Deputy City Attorney DeWalt, Electric Utility Director Feider, Development Services Director Hamilton, Administrative Services Director Bachman, Police Chief Moty, City Treasurer Clark, Support Services Director Kersten, Assistant Director of Development Services/City Engineer Goodwin, Municipal Utilities Manager Duryee, Information Systems Manager Zempel, City Clerk Strohmayer and Assistant City Clerk Sherman. SPECIAL RECOGNITION (A-050-060) Mayor Cibula reported that Mayor Emeritus George Moty (father of Police Chief Leonard Moty) passed away Thursday, May 1, 2003, at the age of80. He served as Redding's Mayor from 1964 to 1974 having served the longest continuous term as Mayor. Mayor Cibula further reported that Airman First Class Raymond Losano (son-in-law of Redding Electric Utility employee Paul Ahem) was killed in action on April 25, 2003, in Afghanistan. A moment of silence was observed in recognition of their passing. I CITY PRIORITIES (A-050-080 & A-050-060) Mayor Cibula explained that periodically the City Council reviews current and future City projects and services, determines or rearranges priority status, makes modifications as necessary and provides direction to staff. He said the focus of today's meeting is major projects and programs in progress, those which statIis not actively pursuing, and those which require further direction from the City Council. City Manager Warren observed that project development and completion over the next three to four years will have a dramatic effect on the community for the next 25 years. He pointed out that building is at an all-time high with more people eager to relocate to Redding because of the community's rapid growth and potential. He emphasized that the purpose oftoday's meeting is to provide the City Council with an opportunity to review the 54 projects listed and modify or provide direction and priority preference as necessary. Mr. Warren provided an overview of the Memorandum to Council dated April 29, 2003, incorporated herein by reference, and briefly reviewed the projects list identifying departmental or agency oversight, and estimated cost and completion dates. He explained that while many proj ects are nearing completion, others are ongoing and will require additional funding and/or resources in order to complete. He requested that during the review process, City Council consider if staff is working on the projects important to Council, and if the measures taken by staff to pursue or complete projects and upgrade by adding amenities are appropriate. Mr. Warren indicated that of the 54 projects listed, staff will focus on the following projects to provide additional information to Council and/or receive direction. I PROJECTS/PROGRAMS - 2003 Affordable Housing (H-150 & R-030-200) City Manager Warren related that the City and the Redevelopment Agency (Agency) expend significant resources supporting and promoting affordable housing for low- and moderate- income families, currently assisting in 343 housing units. Staff continues to explore possibilities to partner with various non-profit agencies to increase the amount of housing available throughout the community including the Downtown area, i.e. the "Downtown 300" initiative. Council Member Stegall emphasized that affordable housing is critical and this issue exceeds simply providing housing for low-income individuals. There are "working poor" in Redding who need affordable homes, and she pointed out that first-time home buyers are moving out 5/02/2003 78 of the City because they cannot afford a home in Redding. Ms. Stegall recalled that in February 2003, tpe City Council ~uth9riz~4 staff to identify potential housing sites, developers, and lend,ers for new bou,sing projects in the Downtown area (the Downtown 300). This ipitiative will not only provide low-co~t housing, but also help the revitalization efforts Downtown. . Mayor Cibula concurred with Ms. Stegall stating that the Downtown 300 is an excellent example of synergy - addressing the community's housing needs and promoting the Downtown. Clear Creek Wastewater Treatment Plant Design and Expansion (W-OIP-450) Mr. Warren explC;lined that this project will carry a si~ificant price tag ($1.45 million), and while staff is in the planning process, it will have to include traffic, sewer and wastewater, and the fee for these services. I Communications Master Plan (C-175) '. Mr. Warren stated ~hat this project repr~~ent~ a major undertaking requiring $3 million in needed improvements to upgr~de the City's radio communications system. He explained that 'budgetary constraints make fup.djng impossipte at this time, 40wever, money is being set aside from t.he General Fund each year aQ,d staff is aggressively seeking grants to off-set. impacts to the General Fund. . Downtown Specific Plan Implementation (G-030-070 & T-IOO-375) . Mr. Warren related that implementation of the Downtown Specific Plan is ongoing and includes many projects (i.e. Yuba Street streetscape, renovation of the Redding Hotel and the Cascade Theater) with many more planned for the future. He added that all projects and proposed projects are handled very deliberately, and over a period of time to provide the best results. . Mayqr Cibula recalled that the DO\yntown Transportation Improvement Ad Hoc Committee (Committ~e) is in the process qf exploringoption~ for the Downtown M~ll and the Railroa~ Grade Separation (over/underpass) projects to detel11).tI1~.which project will be constructed utilizing State Transportation Improvemen,t Prograrri (STIP) funds. Mayor Cibula indicated that he would like to pursue avenues for additional funds in order to provide the Committee with an oppot1Un,ity to ma,ke recommendations to go f9rward with both projects. I Deputy City Manager Starman explained that the Committee is nearing completion of its wprk ~nd Will make project fu!14ing recommenda,tions to Council within the next two weeks. Expanding th~ Committee's scope of work at thjs time will convolute the process. He pointe~ out that Committee members asked for additional money but were directed to work within STIP funding parameters ($12 million). Council Member Stegall expressed concern that funding for these projects will not be " . available until 2008, and given the rat~ of inflation, the City may not be able to accomplish both projects at that time due to increased costs. Mr. Starman concurrt?d but indic~te9 that some funding will be available in fiscal year 2004 which could be used to prepare an analysis of the two projects and perhaps provide a clearer picture of which project should be qone first. He added, however, that if Council so directs, staff can aggressively pursue additional funding at the conclusion ofthe Committee's work. Mr. Warren was confident that the State would recover from its current financial crisis and the funds may be available sooner. I Council Members Kight, Pohlmeyer and Mathena cautioned th~.t Council should not expand the Committee's scope of work by adding aqditional funding to the "mix," and that action on this issue should be delayed pending r~commendati()ns from the Committee and community input. Council Member Stegall urged that the Downtown Specific Plan remain a high priority, and indicated she is pleased with the transformation of the Downtown thus far, citi~g the Shasta College Health Sciences Center project at the Downtown Mall and the project proposed by Dr. Kraffert to renovate the property on the northeast comer of California and Placer Streets for use as a medical facility. 5/02/2003 79 Fire/Police Master Plan Funding (P-150-070/P-150-150/T-010-700) City Manager Warren recalled that Council appointed a citizens' committee to explore resources and review future needs for emergency services and how to fund them. Staff has been working with legislators and received authorization for a 1/4 cent sales tax increase which was also reviewed by the committee as a possible method to help fund public safety needs and other projects. I Council Member Pohlmeyer was pleased that the City's public safety agencies are being reviewed and was interested in implementing the 1/4 cent sales tax increase on a temporary basis. He was also interested in other potential uses of the revenue. Council Member Stegall indicated a willingness to entertain a 1/4 cent sales tax increase to help fund public safety and other needs declaring it the most equitable method of distributing the cost of Redding's infrastructure and services to all who use them including non-City residents. Mr. Warren indicated that he will advise the committee to continue to look at the police and fire departments' issues but also ask for a review of other City priority needs such as street maintenance. He added that the tax increase is projected to generate between $4 and $4~ million. Mayor Cibula indicated that he would require additional information prior to supporting a sales tax increase. I Redding resident Fran Jenkins opined that given the state of the economy at this time, a 1/4 cent sales tax increase has little chance of passing. She further pointed out that it would require 2/3rds or 55% of the vote in favor to pass. Ms. Jenkins also urged Council to provide more support for private "for profit" development in the Downtown area such as the project proposed by Dr. Kraffert who is willing to spend his own money to refurbish a part of Downtown. While she favored non-profit development such as the Shasta College project renovating and remodeling the old Rite Aid building in the Downtown Mall, she pointed out that the City is providing significant financial incentives. Municipal Ai1J>ort and Benton Airpark Master Plans (A-090-020 & A-090-1 00) City Manager Warren advised that staffwill continue to acquire as much property as possible in this area for Airport expansion opportunities and has submitted a $14 million grant request to the F ederal Aviation Administration for funding which will facilitate property acquisition. Oasis Road Specific Plan (G-030-11O) Mr. Warren explained that the Oasis Road area along Interstate 5 (1-5) has the potential of becoming a prime retail center able to accommodate large warehouse-type stores and other businesses. However, the Oasis Road Specific Plan (Plan), which will provide guidelines for responsible development in this area, is not complete. He related that staff strongly believes the Plan is a critical component which must be in place prior to development in the area if the City is to attract businesses without harming other retail areas in Redding. Unfortunately, this property (comprised of770 acres) lacks infrastructure and utilities which will carry a significant price tag and there is no funding mechanism in place at this time. I Development Services Director Hamilton provided a progress report regarding Costco's plans to relocate from Dana Drive to the Oasis Road area and the status of the Plan. He explained that Costco's interest in relocating to this area centers on its proximity to 1-5 but posses significant obstacles for the City when contemplating development of the area. Mr. Hamilton related that the property consists of 770 acres owned by many individuals. The cost to the City to provide infrastructure for such a large piece of property could amount to $59 million and funding this amount presents a significant challenge. While staff is continuing to work on the Plan, problems have also been encountered with Shasta County's traffic model for the area, and providing adequate public safety coverage to the area will have to be addressed. Deputy City Manager Starman explained that the City's preference would be to complete the Plan prior to Costco moving forward with its development. However, Costco is an important corporate citizen in the community and is growing impatient with the delays. According to 5/02/2003 80 Mr. Starman, the infrastructure issue for this property is difficult and Costco is now looking to the City to find other sites with existing utilities. Mr. Starman added that staff is not confident that Costco will relocate to Oasis Road at this point. , Mr. Hamilton a~ked Council to ~hat extent the City should accommodate growth. in that area. Ifthe City installs the infrastructure now, he said it would certainly encourage retail, but this area may not be ready for d~velopment at tp,is tjme aI).d the City may not wish to provide an artificial stimulus. Mr. Hamilton con:firm~d ~h.at without a Specific Plan in place, it will be difficult qnce the first project goes in to say "no" to oth~rs. Council Me~ber Pohl~eyer opjn~ that Council and staff ~hould strongly encourage projects important to the City. He expressed disappointment that the Specific Plan had not yet been completed, and recommended that staff do eveiything possible to complete the Plan soon. Mr. Pohlmeyer believed that it is incumbent on ~he City to do the best planning possible in the least 'amount of time to produce a good Plan, but it does not have to be perfect. I Council Member Stegall supported completion of the Plan, but expressed concern that Oasis Road may pecome ~mother D~na prive. She feared that the larger stores on Dana Drive would relocate to O~sis Road for close proximity to Costco leaving more vacant buildings on Dana Drive. Ms. Stegall also expressed concern that this project ~ay impact impleme:ntation or completion of other projects underway. She stressed that the Specific Plan will ensure quality projects on Oasis Road and should be completed prior to development of the area. Council Member Kight observed that nothing has been brought to Council regarding development of the Oasis Road area adding that the retail market will dictate what develops there. Mr. Kight pointed out that Redding no longer has large parcels with 1-5 frontage available for large stores or large 4evelopments, ~nd he supported moving forward with the Plan in order to ensure th~t Redding develops in a way whjch promotes the demand for retail. Mayor Cibula concurred with Council Member Pohlmeyer that the City should not get ahead of private enterprise. He oppos~d the City encouraging development before it is ready to happen. I Les Melburg, architeGt with Nichols, Melburg and Rossetto, related that he has been involved in this project through one of the developer~. He stated that Redding has reached critical mass and is now on the "radar screen" for large d~velopers intere~ted in coming to Redding but cannot l?ecause there is little available lalJ.d. He obs'erv~d that retail does no~ want to locate Downto~n because ~hey want 1-5 frontage, and he reminded Council that retail stores located in other cities (i.e. Shasta La}(e, Anderson, Co~onwood, etc.) along 1-5 frontage will still be able to capt~re Redqing business and divert tax dollars out of Redding. Kathy:Murray, county resident, complimented the City Council and staff on the difficult task of determining priorities for projects. She urged Council to focus on projects which enhance the quality oflife and those with the potential to in9rease sales tax. She also cautioned that Costco may relocate outside the City limits if there is a lo~g delay on the Oasis Road Specific Plan. Deputy City Manager Starman interjected that this is'a large and complicated project and suggested that a Council workshop be scheduled. Railroad Overcr?ssing/Do~ntown Mall I (T-100-375) Mr. Warren related th.at as discussed e~lier. during the Downtown Specific Plan Implementation, this issue is being reviewed by a cit.izen's corpmittee which will be making a recommendation to Council in the near future regarding hqw to best spend $12 million in STIP funds in the Downtown area. At the hour of 12:05 p.m., Mayor Cilml", recessed the Special Meeting. At the hour of 12:40 p.m., Mayor Cibula reconvened the Special Meeting of the City Council. 5/02/2003 81 Traffic Impacts/Proiect Review (T -080-400) Administrative Services Director Bachman explained that staff is reviewing all projects involving Traffic Impact Fees and staff is planning a workshop with Council for Summer 2003 to provide updates on current fee subsidy, projects not included in the current fee, how to fund rights-of-ways acquisitions and funding for traffic improvements in concert with development. I PROJECTS NEEDING FURTHER DIRECTION City Manager Warren requested City Council direction on the following seven projects prior to devoting staff time and resources: 1. Auto Mall (A-050-080 & A-050-060) City Manager Warren explained that this project would require freeway access and high visibility. As discussed earlier, available land matching that criteria is in short supply in Redding. He related that initial discussions revealed that automobile dealerships would prefer a location approximately 10 miles south of City Hall and this would necessitate that the City acquire property currently outside City limits. Council concurred that this venture may prove to be a valuable project capable of generating significant sales tax revenue for the City but stressed that without a firm commitment from at least two dealerships, staff should not expend valuable time or resources on this endeavor. I 2. Equestrian Center (A-050-080 & A-050-060) Council concurred that a premier Equestrian Center in Redding could prove to be an enormous draw to the area and also provide a new location for the Redding Rodeo Association. Council requested additional information regarding the costs associated with relocating the Rodeo Grounds and the possibility to partner with the McConnell Foundation which owns the property (1,400-acre Gore Ranch) and working with community groups to provide a master plan. 3. Lake Boulevard Revitalization Project (A-050-080 & A-050-060) Council Members Pohlmeyer, Mathena, Stegall and Kight concurred that while this area is in need ofimprovement, the Parkview and Martin Luther King Jr. neighborhood projects and the Downtown 300 initiative should be completed prior to embarking on another redevelopment project. Mayor Cibula concurred that redevelopment projects currently underway must be completed prior to beginning others, but he urged that this area be reviewed for designation as a fourth redevelopment project neighborhood. He suggested abatement mitigation measures in the interim and the possibility of purchasing property on a very small scale. Council Member Kight countered that a great deal of time and review went into identifying Parkview and Martin Luther King Jr. neighborhoods as redevelopment project areas, and until that same process occurs for the Lake Boulevard area, he was not comfortable with designating it as the next project area. I 4. Municipal Golf Course (P-050-665) Council expressed concern that the City would be competing with private enterprise and concurred that this project is not worth pursuing. 5. Riverfront Playhouse City Manager Warren related that the Riverfront Playhouse is interested in relocating to the downtown area as part of the evolving cultural presence. He explained that Tri-Counties Bank is willing to sell its former Redding branch building on Market Street and has indicated favorable financing terms may be available if the City or the Redevelopment Agency (Agency) is the buyer. However the building will require approximately $180,000 in upgrades and retrofitting in order to meet code requirements, but this could be accomplished by a Riverfront capital campaign with potential support from the City or the Agency and grant awards. Once the City acquires the building, it could be transferred to the Riverfront 5/02/2003 82 Players thrqugh a sale or long-term lease. The cost ofthe total project to the City or Agency would be approximately $350,000. Pastor James of Destiny Fellowship, 1810 Market Street said that the Destiny Fellowship is interested in purchasing the building it curre~tly occupies and was unaware, until recently, that the City was interested in acquiring the building on behalf of the Riverfront Playhouse. Pastor James explained that the church has long-range pl~s to relocat~, but would like to stay at the downtown location for the foreseeable future. He related that he was advised that the cost of bringing the building to code would be significant, but the church has already spent money renova.ting th~ buil~ing ov~r the la~t two years and has made some dramatic improvements. Pastor James ad4~d that the Church was i,n the process of purchasing the building but withdrew the offer 1?ecause it did not want to interfere with the City's plans for the downtown area. He questioned, however, the City's r~ti~nale to purchase a building and move out one non-profit organization in favor of another. He requested consideration because the church was there first. . I Council Members Mathena, Pohlmeyer and Stegall indicated they wer~ not aware that the Church wa~ interested in purchasing the building, and agreed that while their preference is to bring the Riverfront Play~ouse "to the Downtown, it is inappropriate for the City to purchase property with the iQtent of moving out one non-profit agency in favor of another. T1}ey observed that if the Destiny Fellowship is interested in purchasing the property and bringing it up to code, the City sh9Uld not interfere. They supported reviewing other suitable locations for the Riverfront Playhouse. Mayor Cibula and Council Member Kight speculated that the plan to relocate the Riverfront Playhouse in the former bank building would be a major component in the revitalization of the area because a theater district wi~l bring people to the downtown area after hours. Council Member Mathena confirmed the work performed by ~e Church and applauded its efforts to renovate the building but ip.dicated that more work is necessary. Mary Ford, Riverfront Playhouse said the Playhouse has outgrown its current facility and is very interested in relocating to the downtown. She added that most businesses in the downtown area are very supportive of the move. I 6. Street Maintenance (S-070-200) City Manager Warrep. indicated that a $30 ~illion dollar backlog of street maintenance needs exists with less than $1 million budgeted per year for these projects. He suggested that Council tp.ay wish to consider options such as using a portion of any sales tax override, exploring additional STIP monies or using Housing ~d Redevelopment funds creatively. Mayor Cibula and Council Members Pohlmeyer and Stegall confirmed that street maintenance is a top priority. They suggestecJ. t4at should the 1/4 cent sales tax increase be successful, perhaps part of that revenue could be applied to street maiq.tenance. j Council Member Kight concurred that street maintenance is a high priority but the Stillwater Business Park should come first. Council Member Mathena expresse~ strong support for street maintenance indicating that $1.7 million is not enough to m~e a difference and a mechanism to fund street repairs must be found. 7. Tree Ordinance (A-050-220-075) CounGil Members Kight, Mathena, Pohlmeyer and Stegall concurred that there is enough government regulation in this area and the City should not become further involved and possibly infringe on the rights of private property own~:rs to regulate their property. I Mayor Cibul~ observed that tr~es are an extremely valuable resource, and, in his opinion, the ordinance shoul9 be reviewed with a distinction drawn between commercial and residential property. Fran Jenkins complimented Council for its hard work and for the opportunities provided to citizens to review projects. As a property owner, she took exception to government dictating when or if a tree can be felled on private property. While Ms. Jenkins believed that tree 5/0212003 83 cutting on public property should receive oversight, she asserted that management of trees on private property should be left to the discretion of property owner. I WORKING IN THE RIGHT DIRECTION (A-050-080 & A-050-060) City Manager Warren sought affirmation from City Council that staff was working in the right direction managing priority projects and services in accordance with Council's wishes. He also requested Council's continued support to take necessary steps needed to accomplish projects such as necessary infrastructure project fee increases, or taking the lead on projects which require funding not budgeted for projects such as the Library or the Veteran's Home. Mr. Warren recommended that Council support staff s continued pursuit of adding amenities to upgrade projects (i.e., water features and aesthetic improvements built into projects). Council concurred that preliminary steps must be taken by staff in order to prepare a project for Council consideration and that staff is managing projects in accordance with Council direction. Mayor Cibula recommended that staff continue to add amenities to projects when the opportunity exists asserting that Redding is a first-rate City and deserves quality projects. In observing that amenities can significantly enhance a community, Council Member Stegall related that in the last ten years, Redding has surpassed her expectations as a direct result of developing beautiful projects. Council Member Kight supported project amenities recalling that the City has completed many attractive projects which included upgrades and these types of projects stimulate new development and create an economic return. Mr. Kight maintained that while the City may have the latitude to direct how public money is spent, it should not dictate to private developers what is attractive. I Council Member Stegall applauded staffs efforts and hard wok on the many projects underway indicating that she is proud to be a part of the City. Council echoed her sentiments and thanked staff for a job well done. PUBLIC COMMENT (E-050-500) Frank Strazzarino, Greater Redding Chamber of Commerce President, asserted that creating jobs remains a top priority for the Chamber of Commerce and it believes that the Stillwater Business Park (Stillwater) will bring jobs to the community. He indicated that Chamber members were disappointed that Stillwater seemed to have fallen behind but was encouraged with recent movement on this project. He urged Council to keep Stillwater at the top ofthe priority list. Council concurred that the Stillwater Business Park remains a top priority. ADJOURNMENT There being no further business, at the hour of2:23 p.m., Mayor Cibula declared the meeting adjourned. I ATTEST: /J '~. ~ fA'. City Clerk f . ~ . 5/02/2003