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HomeMy WebLinkAboutMinutes - City Council - unsigned - 1991-11-23 - Adjourned Regular Meeting1 11/23/91 City Council, Adjourned Regular Meeting Best Western Hilltop Inn 2300 Hilltop Drive Redding, California November 23, 1991 8:30 a.m. The meeting was called to order by Mayor Dahl with the following Council Members present: Arness, Moss, and Dahl. Council Members Buffum and Fulton arrived at 8:45 a.m. Also present were City Manager Christofferson, City Attorney Hays, Director of Planning and Community Development Perry, Director of Public Works Galusha, Director of Finance Downing, Director of Recreation and Parks Riley, Community Services Director Gorman, Recreation Superintendent Sherer, Budget Services Officer Starman, Public Information Officer Bachman, and City Clerk Nichols. Also present were Recreation and Parks Commissioners Elkins, Klaseen, Parker, and Tomasin, Larry Hopson from the Alliance of Redding Museums, and Greg Cory from Economic Research Associates. John Fitzpatrick, Gus Guenther, and Shirley Parker and were also present, as well as Mike Martin of the Record Searchlight, Nick Baer of KQMS Radio, and Jane Narusi of KRCR Television. The following people arrived at 1:00 p.m.: Electric Utility Director Lindley, Electric Utility Operations Manager Ryan, Resources Manager Coleman, Electric Utility Commissioner Bill Potter, Jim Gibbs from Lehman Brothers, John Webre from Dreyfuss & Blackford Architects, and Gene Nichols from Nichols, Melburg, & Rosetto. RECREATION AND PARKS Sports Complex (P-050-600-200) Recreation and Parks Director Riley reported on the results of the bid opening for the Sports Complex. Mr. Riley recalled that the Request for Proposal was prepared with alternative bids and phases. A complete report will be presented to City Council at its next regular meeting. Council Member Moss asked how much more it would cost to phase the project. Mr. Riley conveyed that the project will cost at least 15% more to phase. John Fitzpatrick pointed out that the extra cost to phase the project could be counter-balanced by savings on loan interest. Recreation Plan (P-050 & A-050-220) Recreation Superintendent Sherer stated that the Comprehensive Parks and Recreation Plan has been completed by Jerry Draggoo & Associates. The Parks and Recreation Plan is incorporated herein by reference. Mr. Sherer introduced Jerry Draggoo, the consultant who prepared the Plan. Mr. Draggoo outlined the Plan and made the following recommendations. He said it is important to determine the location of future parks while those sites are still available. Mr. Draggoo conveyed that the City could be realizing more revenue from its recreation programs; and subsequently, more sports programs should be developed, and facilities that generate revenue, such as the swimming pool, should be upgraded. He suggested that the current Teen Center be converted to another use and a Teen Center be located in conjunction with a recreation/aquatic complex. Mr. Draggoo opined that neighborhood parks have a limited life for the community because as the children grow older, the parks are not used. He suggested that five to ten acre parks be developed rather than small one-acre parks. Mr. Draggoo also recommended that riverfront park access be improved and the trail system be expanded. Mr. Draggoo suggested that a strip of land along the River on Benton Ranch be developed in a park-like manner for the trail system and River access. He also outlined a suggestion to develop a children's theme park on part of Benton Ranch as well as developing an outdoor performance center and formal 2 11/23/91 gardens. He recommended that the community gardens at Diestelhorst Bridge be moved to the east and a canine park and picnic area be developed there. Mr. Draggoo noted that the Turtle Bay East has the potential for an arboretum. He stated that the City should consider developing an indoor recreation/swim center, a municipal golf course and a multi-use shooting range. Mr. Draggoo also recommended that a satellite senior center be located at the proposed Enterprise Park. Recreation and Parks Director Tom Riley recommended that City Council accept the Plan and refer it to the Planning Commission and Planning Department and use it to update the Recreation Element of the General Plan. Planning Director Perry conveyed that the Recreation Element could be updated after completion of the Open Space and Conservation Element, and the Park & Recreation Plan could be adopted after the General Plan is updated. MOTION: Made by Council Member Buffum, seconded by Council Member Moss, to accept the Comprehensive Parks and Recreation Plan for further study. The Vote: Unanimous Ayes Council Member Moss noted that there are elements of this Plan that contradict other Plans that City Council has received. Municipal Golf Course (P-050) Gary Cory of Economic Research Associates, reviewed the Market Analysis and Financial Feasibility for Redding Municipal Golf Course which is incorporated herein by reference. Mr. Cory defined the primary and secondary market areas and their demographics. He indicated that the primary Redding area market and the secondary market are projected to support 3.4 more public golf courses. Mr. Cory noted that the City could develop a golf course in cooperation with a manager/developer who would develop and operate the facility. In order to consider building a Municipal Golf Course, Council Member Moss said he would need assurance that the project could be put together with no cost or risk to the City. Recreation and Parks Director Riley recommended that City Council accept the Report and if Council feels it is a viable project, direct staff to explore a Request for Proposal to see if there are investors who would be willing to invest in the project. MOTION: Made by Council Member Buffum, seconded by Council Member Moss, to accept the Market Analysis and Financial Feasibility for Redding Municipal Golf Course and direct Recreation and Parks Director Riley and Planning and Community Development Director Perry to come back with more information about alternatives and costs. The Vote: Unanimous Ayes Cancer Park (P-050) Recreation and Parks Director Riley conveyed that members of the American Cancer Society appeared before the Recreation and Parks Commission to propose the construction of a Cancer Park. Mr. Riley introduced Gus Guenther and Shirley Parker from the American Cancer Society. Shirley Parker briefly outlined the history of the Cancer Park in Kansas. Mr. Guenther gave a slide presentation of the Cancer Park in Kansas. He indicated that to establish the Park, they would need one acre of land donated by the City, and the Retired Officers Association would sponsor the fund raising. Ms. Parker stated that the site would need good access, parking, and visibility. Mr. Guenther stated that after the Park is developed, it will be deeded back to the City for maintenance. Mr. Riley stated that the Recreation and Parks Commission recommended that City Council review the concept. This was an information item and no action was taken. Enterprise Community Park (P-050-145) Recreation and Parks Director Riley updated Council on the status of the proposed Enterprise Community Park. He recalled that staff was directed to 3 11/23/91 prepare the Request for Proposal for the Park, and staff will make another presentation to City Council in Spring, 1992. Neighborhood Parks (P-050) Recreation and Parks Director Riley stated that there are five neighborhood parks under construction. Funds for these projects are from park in lieu fees and the money is already available. CONVENTION CENTER (C-050-050) Community Service Director Gorman stated that there has been discussion between the Convention and Tourism Commission, the Redding Alliance of Museums and Community Services staff regarding how a cooperative development in the Convention Center/Turtle Bay area could be mutually beneficial. Mr. Gorman stated that expansion of the Convention Center would benefit the Museum Complex, and both of the concepts will fit on the property. Mr. Gorman stated that expansion of the Convention Center could be realized through a public/private sector partnership; thus, general fund monies would not be used. He said the next step is to do a feasibility study, and he questioned if Council would like to proceed with that. Mr. Gorman indicated that the Tourism and Convention Commission and the Alliance of Redding Museums (ARM) had a good working relationship until the Riverfront Master Plan Committee developed its recommendations. Mr. Gorman emphasized that he is not faulting the Riverfront Committee because the Committee had a good basis for their recommendations. Mr. Gorman said the problem with siting a multipurpose facility at the Convention Center is the lack of a three-way bridge across the Sacramento River. He explained that the Tourism and Convention Commission's plan dates back to the joint Commission meeting when the bridge plan was proposed and the Commission was of the opinion that the three-way bridge would be a high priority. Public Works Director Galusha commented that the proposed three-way bridge falls below the Bonnyview, Cypress Street, North Market Street and Parkview Avenue projects. He conveyed that staff anticipates replacing the sewer force main across the Sacramento River in the late 1990's. Mr. Gorman explained that he would explore funding the parking structure with private sector funding if the conceptual plan for Convention Center expansion was approved. Mr. Gorman stated that a smaller structure to accommodate normal use of the Convention Center is a possibility and off-site parking and shuttle busses are a possibility for large events. Mr. Gorman suggested that Council modify the position it took on October 8, 1991, and instruct the consultant and Riverfront Master Plan Committee to consider the possibility of placing a multipurpose facility and parking structure on land now occupied by the posse grounds. He explained that this option is pending a solution to parking, access, the possibility of building a bridge, and whether interchange work is eminent. Larry Hopson, Alliance of Redding Museums, opined that he does not support a multipurpose facility and 3,000 car parking structure on Turtle Bay; however, the City would benefit by having such a facility. He said it would be in the best interest of the City to proceed with a feasibility study to determine the best location for a multipurpose facility. City Manager Christofferson stated that the bridge would be a solution to a number of problems. He pointed out that the bridge would be a link between two State Highways; thus, there is some rationale for using State Highway money and staff can seek State funding. Council Member Buffum stated that if the Convention Center expansion concept will not hurt the museums, if staff seeks private sector funding for the project, and parking can be stacked, she will withdraw her objection to the concept. She cautioned that she is not reversing her position, she is only approving the feasibility study. 4 11/23/91 Council Member Moss stated that the City should keep its options open. The City needs to be able to support larger events, and it is time to enlarge the Convention Center. He supported the preparation of a feasibility study. Mayor Dahl asked if general fund money would be used for the study. Mr. Gorman explained that half of Transient Occupancy Tax (TOT) money goes to the Convention Center and Tourism functions, and the remaining half of TOT money is placed in the general fund. He added that the general fund is subsidizing the Convention Center in the amount of $100,000 a year. In response to Council Member Buffum's question, Director of Finance Downing conveyed that the Convention Center bonds will be paid off in 1998. Mayor Dahl stated that it would be appropriate to discuss the feasibility study at the meeting scheduled for Tuesday night when Council will be discussing cutting budget expenditures. Mayor Dahl conveyed that he does not disagree with doing the study; but, Council does have the option of deferring the study until next fiscal year. MOTION: Made by Council Member Fulton, seconded by Council Member Moss, authorizing staff to prepare a Request for Proposal (RFP) for a feasibility study at the lowest possible cost for expansion of the Convention Center, and bring the RFP back to Council for approval. Voting was as follows: Ayes: Council Members - Arness, Buffum, Fulton, and Moss Noes: Council Members - Dahl Absent: Council Members - None Mr. Gorman stated that the feasibility study will include needs and site considerations. He added that going ahead with the feasibility study will send a good signal to the Tourism and Convention Commission and the Alliance of Redding Museums, and it will help staff bring those people and interests back together again. RECESS At the hour of 11:45 a.m., Mayor Dahl declared the meeting in recess. At the hour of 12:45 p.m., Mayor Dahl declared the meeting reconvened. CONVENTION CENTER (C-050-050 & C-070-220) Noting that Council authorized a feasibility study for Convention Center expansion, Planning Director Perry asked if Council would like to designate a location on the Riverfront Master Plan for that expansion or would Council like to wait until after the feasibility study is completed before amending the Plan. MOTION: Made by Council Member Buffum, seconded by Council Member Fulton, to show a proposed expansion and parking structure on Turtle Bay in an area that will not impact the Museums as an option on the Riverfront Master Plan. Voting was as follows: Ayes: Council Members - Arness, Buffum, Fulton, and Moss Noes: Council Members - Dahl Absent: Council Members - None STATE OF THE CITY REPORT (P-145-800) Public Information Officer Bachman stated that the State of the City Report will be printed in approximately one month. Mr. Bachman reviewed the draft and Council offered suggestions for changes. The State of the City luncheon will be held in conjunction with the Chamber of Commerce on the last Monday in January. Mr. Bachman stated that staff will keep Council updated on the progress of the Report. COMBUSTION TURBINE GENERATION PROJECT (E-120) 5 11/23/91 Electric Utility Director Lindley reported on the Electric Department's proposal for the development of a combustion turbine generation project. Mr. Lindley noted that the field of proposals has been narrowed down to two proposals and staff and the Electric Utility Commission have reviewed the proposals from Industrial Power Technology (IPT) and Energy Services, Inc. (ESI). Mr. Lindley 6 11/23/91 conveyed that Jim Gibbs from Lehman Brothers is also present to report on financing alternatives for the turbine project at the Redding Power site. Electric Utility Resources Manager Rick Coleman conveyed that the cost of power from the Western Area Power Administration has grown 300%, and the cost of purchasing power from PG&E for the 1991-92 fiscal year is projected to cost $9 million. Therefore, the Electric Department is considering financing $60,000,000.00 for development of electric resources. Mr. Coleman reviewed the background of the independent power projects, analyzed the proposals, and presented slides and graphs pertaining to the projects. Mr. Coleman conveyed that the Electric Utility Commission subcommittee, the Independent Power Committee, recommended an independent comparison by Henwood Energy Services, Inc. and Black & Veatch of the two power projects. He said Henwood concluded that there is not much difference in 10-year economics between the projects, and Black & Veatch concluded that both projects have technical advantages and disadvantages and there is not much difference between the equipment. Both consultants recommended that the Electric Utility accept the Industrial Power Technology proposal. Mr. Coleman said it is the recommendation of staff to proceed with a definitive agreement for the combustion turbine generation project with IPT. Council Member Arness recommended that Council move forward and authorize a letter of intent with Independent Power Technology. Council Member Moss agreed with Council Member Arness. He stated that staff has thoroughly reviewed both projects. Council Member Moss stated that City Council should address the IPT proposal as soon as possible and begin the permitting process. He also noted that if the Spring Creek project is put off for another five years, it may change the type of equipment the Electric Utility may want to purchase. The Utility may want to acquire new Frame 5's, instead of refurbished Frame 5's and go to a combined cycle immediately. Resources Manager Coleman and Director of the Electric Utility discussed the Spring Creek Pumped Storage project and IPT's proposal to provide up to 72 megawatts of power. Mr. Christofferson noted that Council's decision to move forward at this time may save some consulting fees. MOTION: Made by Council Member Moss, seconded by Council Member Arness, to move forward with the Industrial Power Technology proposal and begin the permitting process. The Vote: Unanimous Ayes Jim Gibbs, from Lehman Brothers, presented financing options for the proposed independent power project. Mr. Lindley stated that staff will come back to City Council with a financial request in mid-January. CORPORATION YARD (C-050-100-040) Planning and Community Development Director Perry stated that, if Council concurs with the concept, the schematic drawings for the Corporation Yard will be complete in about three to four weeks. He conveyed that after the schematic drawings are complete, construction drawings will begin. Mr. Perry indicated that staff will come back to City Council with a package and cost estimate for the preparation of the construction drawings. Staff anticipates that the construction drawings will be completed in time for Council to make a decision during the next budget considerations regarding bidding the project. John Webre, Dreyfuss and Blackford Architects, gave an overview of the Corporation Yard project. He noted that the plan is based on the ability to expand the Yard, and there is room for the Electric Department to be phased in later. Mr. Webre also outlined the type of materials and finishes that are proposed. A schematic cost estimate for the Corporation Yard was submitted. Planning Director Perry conveyed that Sharrah Dunlap and Associates is preparing the design for site preparation, grading, drainage, street improvements, off-site street improvements, and utilities. 7 11/23/91 City Manager Christofferson submitted a report on financing the Corporation Yard dated November 21, 1991, which is incorporated herein by reference. He noted that the Report is for Council's review and study, and staff will update the Report as better figures come in. DEBT LIMIT (D-050) Director of Finance Downing submitted a report on Debt Limit dated November 22, 1991, which is incorporated herein by reference. The report outlines how much debt the City of Redding can issue. Ms. Downing notes that the City has been very conservative and has utilized only 13% of the debt limit legally available to finance capital expenditures for the City. This was an information item and no action was taken. ADJOURNMENT There being no further business, at the hour of 3:30 p.m., Mayor Dahl declared the meeting adjourned to 5:15 p.m., November 26, 1991, at the City Hall Conference Room, 760 Parkview Avenue, Redding. APPROVED: _____________________________________ Mayor ATTEST: ____________________________________ City Clerk