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HomeMy WebLinkAboutPCDC Minutes 05/30/20011 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 City of Petaluma, California Minutes of a Special Petaluma Community Development Commission Meeting and City Council Meeting Budget Workshop Wednesday, May 30, 2001 Council Chambers The Petaluma Community Development Commission met on this date at 7:00 P.M. ROLL CALL PRESENT: Vice Chair Cader-Thompson; Commissioners Healy, Maguire, Moynihan, O'Brien and Torliatt ABSENT: Chair Thompson PLEDGE OF ALLEGIANCE At the request of Vice Chair Cader-Thompson, John Records led the Pledge of Allegiance. MOMENT OF SILENCE At the request of Vice Chair Cader-Thompson, a moment of silence was observed. PUBLIC COMMENT None AGENDA CHANGES, ADDITIONS AND DELETIONS City Manager Fred Stouder suggested that the General Plan, which is last on the agenda, be moved to be the first item on the agenda for tomorrow. Commissioner O'Brien stated that he had requested information for comparison on the General Plan and has not received it yet. City of Petaluma, California Minutes of a Special Petaluma Community Development Commission Meeting and City Council Meeting Wednesday, May 30, 2001 Page 1 1 City Manager Fred Stouder explained that the information is still being completed 2 and will be available tomorrow. 3 4 Commissioner Maguire inquired what information Commissioner O'Brien was 5 requesting. 6 7 Commissioner O'Brien replied that he requested information on what other cities 8 spent on their General Plans, so a comparison could be made. 9 to Commissioner Healy asked if the General Plan was available to the public at this 11 time. 12 13 Mr. Stouder replied that it was available to the public. 14 15 Vice Chair Cader-Thompson stated that copies of the General Plan are available 16 to the public and can be picked up this evening or by calling 707-778-4345 and 17 asking for Pamela Tuft or Shelly Kappel. 18 19 Mr. Stouder stated that in addition to the General Plan discussion tomorrow, we 20 will also be discussing the Equipment Replacement Program and the Street 21 Replacement Program. 22 23 COMMISSION COMMENT 24 25 Commissioner Torliatt inquired if City projects, such as East 26 Washington/McDowell or the transit mall are required to go through SPARC 27 review and stated her desire to have public input regarding those types of 28 facilities. She referred to the presentation regarding the Local Agency Formation 29 Commission (LAFCO) at the Mayors' and Council Members' Association 30 Meeting: Does the City support continued use of County counsel and counsel 31 facilities for LAFCO, or does our City support independent staffing and counsel 32 facilities for LAFCO? She asked that this be added to the agenda for the 33 Monday, June 4th meeting. 34 35 City Manager Stouder replied that it was on tomorrow's Budget Workshop 36 agenda. 37 38 Commissioner Torliatt announced that she had attended, along with several 39 other Council Members, the Dedication of Penry Park on Monday. It was a very 4o nice event with approximately 300-350 people in attendance, and she felt it was 41 a tribute to the veterans who came back from Viet Nam and for those who did 42 not. 43 44 Commissioner Maguire requested of City Management a time in June to have a 45 meeting regarding gravel -mining issues. The community has voiced its desire to City of Petaluma, California Minutes of a Special Petaluma Community Development Commission Meeting and City Council Meeting Wednesday, May 30, 2001 Page 2 1 have a meeting and Commissioner Maguire would like to pose the question of 2 whether or not, as a body, the Commission would like to join the coalition of non - 3 profits, citizens groups, etc., to oppose gravel mining in the river. 4 City Manager Stouder replied that he had received several e-mails on the subject 5 with a variety of opinions on what might be appropriate, yet there is no simple 6 answer; if the Commission agreed on an answer, it could be discussed and set 7 now. s 9 The Commission concurred that it would be discussed tomorrow if possible; 10 otherwise, it will be continued to Monday, June 4. 11 12 Commissioner Maguire stated his concern regarding some 13 Commissioners/Council Members making unreasonable requests of staff, which 14 are a waste of time and money. He thought it was time for Council to discuss this 15 matter and requested that it be agendized either for Closed Session or Open 16 Session, whatever City Management recommends. 17 18 Commissioner O'Brien thanked Dick Lieb, Fire Chief Terry Krout, and everyone 19 else who helped make the rededication ceremony at Penry Park possible. 20 21 Vice Chair Cader-Thompson agreed, adding that it was a heartfelt presentation 22 and was appreciated by the Penry family as well as the community. 23 24 She had attended the League of California Cities Conference last week and the 25 League meeting a couple weeks before and the importance of Commissioner 26 Torliatt being on ABAG because of her MTC appointment was made clear. 27 There are five members of MTC who represent the North Bay and this will help 28 us in our transportation needs for the future for the four counties, not just 29 Sonoma County. 30 31 She noted the importance of this community having a full-service hospital. At this 32 time there is concern that doctors will be leaving Petaluma due to financial 33 reasons and she wanted to request a joint meeting with the Petaluma Health 34 Care District and St. Joseph's. This thought this should be a top priority for the 35 community. 36 37 She also wanted to discuss the closure of the Pacific Cinemas and the damage it 38 has caused our youth, our senior citizens and the community. She believed the 39 cinemas were closed for development reasons, not for the good of the 40 community. She felt more attention should be focused on the community's 41 needs. 42 43 She had received quite a few phone calls from senior citizens regarding Senior 44 Citizen Rent Control and the and the fact that rents are not tied into Social 45 Security increases. City of Petaluma, California Minutes of a Special Petaluma Community Development Commission Meeting and City Council Meeting Wednesday, May 30, 2001 Page 3 2 She stressed the importance of not having a Council that bends to developers 3 but one that listens to the general public about community needs, specifically the 4 General Plan, because it's so important that the public be involved with it. s 6 She was very disturbed when she received notice in her packet about a meeting 7 to take place on May 10th. It was typed on May 7th and postmarked May 10, 8 2001. The subject was work force housing, which she believed should be part of 9 the General Plan process and Council should be working on it together. She felt 10 that things were being done "behind the scenes." 11 12 Commissioner Healy stated that he is one of the Council Members appointed to 13 the Joint Task Force between the Chamber of Commerce and the City on Work 14 Force Housing. It has been a valuable process. Each of the cites identified 15 present their own sets of issues which are indicative of the challenges that are 16 faced as a community to create work force housing. He stated his concern that 17 this not "go into an accusatory mode" and hoped to address issues facing the 18 community in a constructive and cooperative spirit in the best interest of the 19 community. 20 21 Vice Chair Cader-Thompson agreed with Commissioner Healy and voiced her 22 desire to participate. 23 24 City Manager Stouder stated for the record that City Attorney Richard Rudnansky 25 was unable to attend this evening's meeting due to a scheduling conflict and 26 requested that Director of Economic Development and Redevelopment Paul 27 Marangella, in making the presentation, "segment" the budgeted items and 28 projects, both one year and multi-year, to allow the Commissioners the 29 opportunity to assess for themselves which of those projects, if any, might cause 3o a conflict of interest. 31 32 He informed the Commissioners that they were not required to make choices or 33 vote tonight, but by looking at the presentation by segments, they would be able 34 to determine, when it came time to vote, if the voting would have to be done 35 incrementally, so they would be able to recuse themselves on particular items 36 due to conflicts of interest. This is meant for the convenience and ease of 37 viewing and making decisions, as requested by the City Attorney. 38 39 Vice Chair Cader-Thompson reiterated that as Mr. Marangella went through the 40 presentation a segment at a time, each Commissioner would have the 41 opportunity to recuse him/herself if there was a conflict of interest. 42 43 Mr. Marangella affirmed. 44 City of Petaluma, California Minutes of a Special Petaluma Community Development Commission Meeting and City Council Meeting Wednesday, May 30, 2001 Page 4 1 Commissioner Maguire asked for clarification: if he had heard a presentation 2 about a project and had not actually been a part of the presentation or 3 discussion, would he be required to recuse himself? 4 5 Mr. Marangella confirmed that any participation would be grounds to recuse. 6 He then explained that the presentation would include highlights of the 7 Redevelopment Budget for the Central Business District (CBD) Project Area and s the Petaluma Community Development (PCD) Project Area, both with regard to 9 revenues and expenditures. The Multi -Year Financial Forecast would then be to discussed, followed by the Low & Moderate Income Housing Fund Budget, and a 11 summary. 12 13 Mr. Marangella displayed charts depicting CBD and PCD revenues, loans and 14 reserves, Property Tax Revenue by Fiscal Year, and CBD Appropriations. He 15 discussed the growth of the CBD and PCD over the last several years. 16 He then highlighted projects for each area. 17 18 Commissioner Maguire asked Mr. Marangella for clarification that each point on 19 the graph is the percentage change from the prior point. 20 21 Mr. Marangella affirmed that to be correct. 22 23 Commissioner Healy stated that his understanding was that by expanding the 24 boundaries of the downtown district, the opportunity for revenue growth would be 25 increased. 26 27 Mr. Marangella replied that these numbers are taken from the report to Council in 28 which Seifel Consulting is projecting the increased assessed value that will 29 accrue to the Redevelopment Agency even after the first year, since the 3o redevelopment area is being more than doubled. 31 32 Commissioner Healy asked if the Redevelopment Agency received the tax 33 increment only when there is further economic activity in the area. He then 34 asked if revenue would be received if the area was created or would there have 35 to be economic activity in order to receive revenues. 36 37 Mr. Marangella stated that he believed the calculation took into account the 2% 38 of increased and assessed value according to Proposition 13 over an expanded 39 area, as well as what other economic growth there might be. 40 41 Commissioner Moynihan reported that there were three components in the 42 calculation from Libby Seifel; one of them being an increase in the property taxes 43 of the larger expansion area with 4.5% in the incremental area. He thought that 44 an expected increase of 8% was too optimistic. City of Petaluma, California Minutes of a Special Petaluma Community Development Commission Meeting and City Council Meeting Wednesday, May 30, 2001 Page 5 i Mr. Marangella clarified that the CBD projections were based on the growth of 2 the assessed value of the expanded area. 3 4 Commissioner Maguire clarified that the calculations were based on percentage 5 changes from year to year as opposed to actual dollars. 6 7 Commissioner O'Brien asked Mr. Marangella if the $100,000 for the parking 8 revenue would be gross or net; how can revenue be projected if the size of the 9 lot is not yet known? 10 n Mr. Marangella stated that the revenue is at this point a target and a 12 conservative estimate. A decision as to what would be the best way to maximize 13 the revenues has not been made. 14 15 Commissioner Healy wanted to know if any market surveys or interviews to 16 determine the willingness of downtown merchants and shoppers to pay these 17 rates had been conducted. 18 19 Mr. Marangella stated that the only survey taken was with the Petaluma 20 Downtown Association, and they actually made this request because they felt 21 that the downtown area needed more security and that the public would be 22 willing to pay for it. 23 24 Mr. Marangella summarized the appropriations in the CBD Project area. 25 26 Commissioner Moynihan asked Mr. Marangella if in making this recommendation 27 he had done any type of economic analysis of the cost benefit to the City. He 28 thought that this amount was too high for the area being considered. 29 30 Mr. Marangella stated that he had not. 31 32 City Manager Stouder stated that in preparation for the initial discussion on the 33 multi-year budget, there were a couple of options: 1. Spend another year and 34 $100.000 to prepare a plan, or 2. Pull projects from adopted plans and existing 35 priorities. 36 37 Commissioner Healy asked Mr. Marangella to provide him with a map for conflict 38 of interest purposes, both for the first and second years of the program. 39 40 Mr. Marangella went on to say that there are many street improvements needed 41 as well as sidewalk improvements. One of the complicating factors is the 42 basements that extend out into the public right-of-way in the area of Lynch 43 Jewelers, which create a challenge in dealing with the easements. 44 City of Petaluma, California Minutes of a Special Petaluma Community Development Commission Meeting and City Council Meeting Wednesday, May 30, 2001 1 2 3 4 5 6 7 8 9 to 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 Vice Chair Cader-Thompson asked why the amount was so much more than the unreinforced masonry project. Mr. Marangella replied that it was due to the lack of demand for retrofitting of the unreinforced masonry buildings. He stated that in order to avoid over -budgeting for the current year they would only ask for what they think they might need. Vice Chair Cader-Thompson inquired about the deadline for retrofitting. Mr. Marangella stated that the deadline is 2002, and those funds are budgeted for that deadline for the five buildings that were mentioned earlier. The next deadline will be 2007. Vice Chair Cader-Thompson asked how other interested parties might participate in this program and what the process was. Mr. Marangella referred any interested parties to see or call Chief Building Official Bob Berna at 778-4302. Vice Chair Cader-Thompson asked if $50,000 was the total amount needed to complete the restoration of the Polly Klaas Center. Mr. Marangella stated that this was a small contribution to the total project. City Manager Stouder asked Parks and Recreation Director Jim Carr to address that subject. Mr. Carr explained that the total projected cost of the Polly Klaas project would be $530,000. At this time the design is about 80% complete and the project will most likely go out to bid in the late fall. Commissioner Moynihan asked for clarification regarding whether or not the Polly Klaas Center was in the PCD area or the CBD area and which of these would be funding the project. He also stated that according to redevelopment law, a series of three findings were required for the project. Mr. Marangella stated that this project has been carried over for three years and he understood that those findings have been made. If in fact they have not been made, the findings will be created for the Commission to decide on. Commissioner Moynihan voiced his concern that these funds might be jeopardized, since other funds might be obtained and since it's not in the proposed expansion area, CBD funds cannot be used. He asked Mr. Marangella to obtain this information and make it available to the Commission. City of Petaluma, California Minutes of a Special Petaluma Community Development Commission Meeting and City Council Meeting Wednesday, May 30, 2001 Page 7 1 Regarding the Business Attraction and Retention Program, Vice Chair Cader- 2 Thompson asked Mr. Marangella if the shopping center owners would be asked 3 to financially support their share of improvement costs. 5 Mr. Marangella stated that typically this is something the Redevelopment Agency 6 would fund as an incentive to the shopping center owners to encourage their 7 participation without financial risk. 9 Commissioner Moynihan would like to see more detail about the Petaluma to Visitors Program tourism promotion and asked if legal advice had been obtained. 11 12 Mr. Marangella replied that typically the promotion of tourism is considered an 13 Economic Development Program and this is the Agency's attempt to support the 14 General Fund Budget. 15 16 Vice Chair Cader-Thompson stated that she would like to move forward with the 17 presentation and if there are questions regarding the findings they can be 18 addressed afterwards by staff. 19 20 Commissioner Moynihan insisted that the findings be addressed at this time 21 rather than later. 22 23 Vice Chair Cader-Thompson reiterated that this could be done later. 24 25 Commissioner Maguire agreed with continuing the presentation and discussing 26 the findings afterwards. 27 28 Commissioner Torliatt suggested that Commissioner Moynihan provide a list of 29 the projects for which he believes findings need to be made and submit it to Mr. 30 Marangella so that information can be before the Council/Commission when the 31 budget is adopted. 32 33 Mr. Marangella continued with the presentation: 34 35 The multi-year forecast is designed to address some of the PCD priorities, 36 including implementation of the Central Petaluma Specific Plan (CPSP), 37 Petaluma River Plan and Bicycle Plan, funding for infrastructure improvements 38 and some funding for economic development. 39 4o The CBD Project Area multi-year forecast includes the Unreinforced Masonry 41 (URM) Project, PDA Downtown Economic Development, Parking Garage 42 Security & Maintenance, River Enhancement Plan improvements, "Main Street" 43 Improvements, Storefront Improvement Loan Program, Downtown Foot Patrol 44 Security, Debt Service, and Project Administration and Overload. 45 City of Petaluma, California Minutes of a Special Petaluma Community Development Commission Meeting and City Council Meeting Wednesday, May 30, 2001 Page 8 1 The CBD is forecasted to be borrowing $15.2 million by the sixth year. It 2 assumes that the CPSP and the River Plan continue to be high priorities for 3 Council. The Revenue Forecast is taken from Table A4 on the report to Council 4 prepared by Seifel Associates. It is also assumed that the cash flow would allow 5 a $4.7 million tax allocation bond to be issued by the year 2005/2006. 6 7 With regard to the PCD Project area there is approximately $20.3 million of 8 improvements that need to be made to streets, bridges, sidewalks, curbs, 9 gutters; all related to redevelopment. The current estimate to construct river 10 improvements along the East Washington Bridge up to Lynch Creek is $1.5 11 million. 12 13 The total projected amount of the program is $47.7 million with a $3.6 million 14 reserve for the 5 -year forecast. 15 16 The PCD forecast assumes an 8% growth in property tax increment and that by 17 the year 2004/05 there will be sufficient increment for an $18.4 million tax 18 allocation bond; by 2005/06 the $6.6 million that we've advanced will be received 19 from the U.S. Army Corps of Engineers. It also assumes that the PCD and CBD 20 project areas are interdependent and therefore interfund loans are necessary. 21 22 Housing Administrator Bonne Gaebler addressed the Housing Budget 23 recommendations and gave a brief summary of this year's accomplishments. 24 25 The Edith Street Senior Apartment Project is right on schedule and will be open 26 for occupancy on July 1, 2001. Old Elm Village is 75% complete and scheduled 27 for occupancy in October; 1400 applications have been received for 88 units. 28 29 The Committee on the Shelterless providing countless meals, childcare and 30 counseling services. Singles Program provides over 7,000 bed nights for the 31 winter program and counseling services. 32 33 Transitional and shared housing serves about 50 families every year moving 34 folks back to self-sufficiency. 35 36 Ms. Gaebler acknowledged Katherine Johnson for her work in rebuilding 37 "Together," formerly known as "Christmas in April," a program that will rebuild 25 38 homes while allowing the occupants to remain in their houses. She gave thanks 39 to all the non -profits for their work. 40 41 The total revenues for 2002 will be $4,490,000 and include beginning reserves 42 and beginning projects available and transfers in from other funds. 43 44 Ms. Gaebler gave an overview of appropriations and highlights of a few of the 45 projects in the works. She talked about planned projects for the near future. City of Petaluma, California Minutes of a Special Petaluma Community Development Commission Meeting and City Council Meeting Wednesday, May 30, 2001 Page 9 1 She reported that the Redevelopment Fund has a balance of approximately $3.8 2 million. 4 Mr. Marangella gave a summary of the PCDC Budget. He then opened the floor 5 to questions. 7 COUNCIL COMMENT 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 Commissioner Torliatt: 1. Finds it difficult to justify an income of $100,000 for this fiscal year for the parking garage project; would like more information on this. 2. Regarding the URM, would like to have the square footage on the remaining buildings that need to be retrofitted so an accurate estimate can be obtained. In the past the Council has discussed a loan program for the URM instead of a pay out and inquired of Council if there is an interest in discussing this further. 3. Is not in agreement with the line item budget; the City should be looking at the economic development plan as part of a General Plan process and not support small focus groups to develop the information to be used for economic development. She thought it needed to be comprehensive within the community. 4. Regarding the Gateway Landscape issue, she would like a widespread RFP to design firms, not engineering firms. 5. Wants a timeline and a critical path presented to Council as soon as possible for the start and completion of the Polly Klaas Renovation project. She thought it appropriate to use redevelopment funds and community facility funds for this project, and would like appropriate funding sources identified. 6. Would like to see high-density low and moderate income housing projects go up to three stories. 7. Would like to hear back from Council regarding not charging any interest on the loan from the PCD to the CBD. 8. Regarding the Petaluma Visitors Program, she would like to see a report from the TOT Subcommittee on policy recommendations for spending TOT dollars. Council needs to agree upon specific policy to fund these projects so there is clear direction. 9. Made some corrections to line items: a. CBD indirect administration overhead is 5% not 2.5%. b. She would like to see a line item identifying in lieu funds with regard to the housing fund. c. She did not see any reimbursement for the underground tank monitoring. 10. Would like to see included in this year's budget purchasing and installation of a bridge at Washington Creek, which is estimated at $135,000 City of Petaluma, California Minutes of a Special Petaluma Community Development Commission Meeting and City Council Meeting Wednesday, May 30, 2001 Page 10 1 and for staff work on the easements to connect Lynch Creek Trail to Payran. 2 She has had many requests from the community to complete that link. 4 Commissioner Maguire: 6 1. Thought that whatever is easiest for accounting purposes with regard to 7 the interdistrict loan would be fine. s 2. Thought that a comprehensive economic development plan should be 9 done as part of the General Plan and since it is a modest project, he feels it is 10 fine the way it is. 11 12 PUBLIC COMMENT 13 14 Samantha Dougherty, Executive Director, Petaluma Downtown Association, 15 thanked Mr. Marangella and commended him for his efforts. She stated that the 16 Keller Street Garage project has been a priority for PDA for many years with 17 regard to security, safety, lighting, and cleaning. She urged Council to fund these 18 proposed projects. She asked for clarification as to the proposal to fund PVP out 19 of TOT dollars and asked if there would be a report from the TOT subcommittee. 20 21 Vice Chair Cader-Thompson stated that there will be a report available for 22 clarification and there will be a meeting with the TOT Subcommittee tomorrow, 23 May 31, and while it is not a posted meeting the public is welcome to attend. 24 The meeting will take place at 3:30 P.M. in the City Hall Law Library. 25 26 Commissioner Torliatt wanted to discuss the subcommittee's actions. She 27 thought the subcommittee should recommend policy to Council for discussion 28 and adoption in order to select the projects that will be funded. 29 30 Maggie Salinger, property owner and President of PDA, spoke on behalf of other 31 property owners who pay into the parking structure fund annually, yet do not use 32 it because it is not being maintained, it is not safe, there is no security, it is not 33 clean and there are "scary people hanging out there." The merchants and 34 employees are not comfortable using this parking facility. The property owners 35 are in agreement about having employees and merchants pay for parking in 36 order to have a safe, clean parking garage. 37 38 Commissioner Healy discussed the City of Santa Rosa's off-site parking for 39 employees and encouragement of customer use of the parking garages. They 4o also had the satellite parking for a while, which Petaluma doesn't have. He feels 41 that paid parking garages will encourage too many to park in the residential 42 areas and Council needs to keep that in mind during discussion. He would like 43 to see more information and detail on this program. 44 City of Petaluma, California Minutes of a Special Petaluma Community Development Commission Meeting and City Council Meeting Wednesday, May 30, 2001 Page 11 i Vice Chair Cader-Thompson asked Ms. Salinger if the City is looking at shared 2 parking with the Petaluma Hotel for evening use. 3 4 Ms. Salinger replied that shared parking would be a possibility if there was 5 security. 6 7 Barry Shapiro, resident and owner of the Circle Gallery, Petaluma Boulevard 8 North, stated his concern regarding the parking garage, which he uses regularly. 9 He stated that one of his employees, who has used the parking garage in the 10 past, has been harassed in the garage and her car has been vandalized on 11 numerous occasions during the daylight hours. With regard to the pigeon 12 problem, he saw a small child defecated on by a pigeon as he was walking 13 through the entrance to the garage with his mother and feels this is a health 14 hazard that needs to be addressed. The garbage receptacle, which is located at 15 the entrance to the stairway, has been turned over several times. Retailers are 16 parking in front of their own stores and moving their cars when needed to avoid 17 parking violations, leaving even less public parking. He would also like to see 18 some signs to make community and outside shoppers aware that there is a 19 parking garage available to the public. 20 21 Dick Lieb, One Highland Road, spoke regarding Douglas Street, which is a three - 22 story design. The neighbors were given notice of the meeting for discussion and 23 only one man and his child attended. Mr. Lieb asked whether any new 24 driveways would put in. He invited Commission/Council members to the 25 dedication of the project at noon on July 27tH 26 27 COUNCIL COMMENT 28 29 Commissioner O'Brien: 30 31 1. Stated his concerns regarding projected revenue on parking and feels it is 32 unrealistic. 33 34 Commissioner Healy: 35 36 2. Agreed with Commissioner Torliatt to widen the design community, 37 especially with respect to Gateway. 38 3. With regard to the parking structure, the primary need is to encourage use 39 and he would like to see more information on this project. 40 4. Is pleased to see the sidewalk and streetscape program for the 41 downtown. He commented that he would like to see this program roll into a 42 larger risk management structure program for the trip -and -fall program. 43 5. Commented on the draft five-year budget, which shows some money for 44 dredging. He feels the City will not be as successful in obtaining federal funds 45 as they have in the past. City of Petaluma, California Minutes of a Special Petaluma Community Development Commission Meeting and City Council Meeting Wednesday, May 30, 2001 Page 12 1 6. With respect to funding the Visitors Program out of redevelopment funds 2 rather than TOT funds, he understands the concerns. of the business 3 community and feels that it is appropriate. 4 7. With regard to the $100,000 to the Economic Development fund and 5 approval of the metrics, he would like to leave it to be determined later. 6 8. Is pleased with Facade Restoration and the Polly Klaas project. 7 9. With respect to the $1 million for the permanent Armory replacement he 8 would like to have some discussion regarding the master plan for that site 9 and get an update of the schedule on that. 10 11 12 13 14 15 16 17 18 19 20 Commissioner Torliatt: 2. 3 21 4 22 23 24 5 25 6 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 Agreed that signs .for parking garage as public advertisement are a good idea and would like to see it incorporated into the $325,000 allocated to the garage upgrade. Thanked the Petaluma Downtown Association for their persistence in getting this project done. Addressed the Corona issue and feels it is appropriate to budget that line item due the dangerous condition of the overpass and the fact that it is a safety hazard. Stated that she would like to have a discussion with Council as to what the $100,000 for the URM includes. The information that needs to be put together is readily available at Northbay Business Journal. Would like a timeline for the Polly Klaas Center. Would like to have the Transient Occupancy Tax (TOT) policy available to view before recommendations are made as to what will or will not be funded out of TOT. Commissioner Moynihan: 1. Discussed his concerns with the Eden Housing Project; one being the impact it will have on McKinley School and overloading the school relative to low income students and the challenge it presents to their educational goals. He would like to have more discussion on these issues. 2. Feels that the mix of housing units that went from market rate to low income is inconsistent with the Central Petaluma Specific Plan (CPSP), but thinks it is a worthwhile project. 3. Doesn't agree that the projects for this year match up to the goals of the current Council. Feels that PCD funds should be made available for transportation and road improvement projects. 4. Stated his concerns with the Five -Year Implementation Plan. He feels the projected tax increase will not amount to 8% and would like to have further discussion with Libby Seifel regarding these figures. City of Petaluma, California Minutes of a Special Petaluma Community Development Commission Meeting and City Council Meeting Wednesday, May 30, 2001 Page 13 1 5. Is not comfortable with the way loans are being handled between the PCD 2 and CBD. He feels that it would be appropriate to first make findings for 3 specific projects before transferring the funds. 4 6. Stated that it has been the tradition of the Council to form a subcommittee 5 to make recommendations on how the TOT funds are dispersed and that is 6 being looked at. 7 7. Suggested that the Butter and Egg Days Parade, the Quilt Show, the 8 Walking Brochure and anything that falls under the downtown area, be 9 contracted out and continue to be funded by TOT funds. l0 8. Feels that putting redevelopment funds into the general fund is going to 11 trigger a red flag and is concerned about redevelopment relevant to that. 12 9. Explained his concerns regarding the expenditures increasing from 5% to 13 12% in one year. 14 10. Would like to see dredging issues addressed. 15 11. Raised the Payran flood fix issue and would like Council to discuss 16 providing some reserves for this project. 17 12. Suggested adding to this budget $13 million over the Five -Year 18 Implementation Plan and try to recover the funds that were originally placed. 19 20 Commissioner Maguire: 21 22 1. Feels that the budget, as outlined, is good. 23 2. Disagrees with Commissioner Moynihan regarding adding $13 million to 24 the Five -Year Implementation Plan. Stated that redevelopment money is not 25 being put into the general fund. 26 3. With regard to the URM loan versus pay -out, he doesn't feel it is an issue 27 for the Council, since demand is low, and he would like to go ahead with it the 28 way it is. 29 4. Appreciates the proposal for basin dredging and stated that the turning 30 basin was cleaner this spring than last year. 31 5. Is pleased with the sidewalk repair program. 32 6. Agrees with signage for the parking garage. 33 7. Supports the proposal for Petaluma Visitors Program (PVP). 34 8. Deferred to staff on interfund loan from PCD to CBD. 35 36 Vice Chair Cader-Thompson: 37 38 1. Agrees with signage for parking garage. Would like to further discuss the 39 numbers for the parking structure project and needed timeline. 40 2. Would like to see shared cost with the developers and with the City on the 41 new structures. 42 3. With regard to TOT versus redevelopment dollars, she feels that 43 balancing the budget is a priority for the City. 44 4. Would like to have a timeline for the Polly Klaas Center and feels that it 45 will enhance the downtown businesses. City of Petaluma, California Minutes of a Special Petaluma Community Development Commission Meeting and City Council Meeting Wednesday, May 30, 2001 Page 14 1 5. Agrees with Commissioners Torliatt and Healy to have designers and not 2 just engineers come in. 3 6. Stated that it was made clear in Washington D.C. that the City would not 4 receive the, money for dredging because of the tonnage and Port of Oakland 5 getting the bulk of the money. Council will have to decide on how to deal with 6 this issue. 7 7. Is willing to look at proposals for the URM. 8 8. Feels the need to work with other cities and make a place holder for 9 economic development. 10 9. Addressed Ms. Gaebler and stated that she would like to see the master 11 plan for the Armory, thinks the Eden Project is worthwhile, and hopes that the 12 issues are being resolved downtown. 13 10. Commented that the Flood Control Project was not meant to mitigate 14 upstream flooding in the floodplain and the comment made with respect to 15 that was incorrect. 16 11. Feels that implementing the Five -Year Plan is very important and this is a 17 tremendous opportunity for the community. 18 19 Commissioner Torliatt: 20 21 1. Was not clear on where the Council stands on the PVP funding and 22 suggested a temporary loan from the Redevelopment Agency to TOT, which 23 they can return when the income to the TOT is more sufficient. 24 2. Asked that Council consider funding for the Washington Creek Bridge, 25 which she believes is $135,000. She feels this is an important link to Payran. 26 3. Would like to see pedestrian implementation for the River Enhancement 27 Plan as a part of some funding. 28 29 Commissioner Moynihan: 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 1. Would like to take a balanced approach to implementing the projects in the program and doesn't feel that the types of projects that funds are being allocated to are balanced with respect to the long-term view of the budget. 2. Would like to see the various projects classified and determine what percentage of the funds should be expended for each of the areas. With a long-term view of budgeting, a reserve is created for each of the classifications and the funds can be spent annually. 3. Would like to work with staff and have members of Council indicate what areas in general they would like to see the funds distributed to and figure out a percentage factor for each of the areas to use as a basis for the next discussion on redevelopment. Vice Chair Cader-Thompson: City of Petaluma, California Minutes of a Special Petaluma Community Development Commission Meeting and City Council Meeting Wednesday, May 30, 2001 Page 15 1 1. Agrees that the East Washington Bridge is an important plan, which 2 utilizes funds for an area that qualifies for redevelopment. 3 4 ADJOURNED 5 6 The Petaluma Community Development Commission meeting was adjourned at 7 9:25 P.M. and the meeting continued as a City Council Meeting. s 9 ROLL CALL 10 11 PRESENT: Vice Mayor Cader-Thompson; Council Members Healy, Maguire, 12 Moynihan, O'Brien and Torliatt 13 14 ABSENT: Mayor Thompson 15 16 PUBLIC COMMENT 17 1s None 19 20 AGENDA CHANGES, ADDITIONS AND DELETIONS 21 22 None 23 24 UNFINISHED BUSINESS 25 26 1. Budget Workshop. (Continued from May 17, 2001 Meeting) 27 28 Parks and Recreation 29 30 Parks and Recreation Director Jim Carr described the Parks and 31 Recreation Department and the Marina. There are forty parks with over 32 250 acres, seven miles of landscape medians. He introduced street tree 33 arborist, Ed Anchordoguy. 34 35 There are a number of different areas in recreation: contract classes, 36 sports program, products programs, senior citizen center, library, 37 museum, Cavanagh Center. These are all revenue -based programs that 38 generate approximately $1 million in revenues. 39 40 Binky and Barry Thorrson, the new Harbor Masters, have made some 41 good accomplishments; they are enforcing Marina policies and there have 42 been a lot of good comments. 43 With regard to the Capital Improvement Budget, the park fees are starting 44 to feel the effects of the build out - there was a drop in park fees this year. City of Petaluma, California Minutes of a Special Petaluma Community Development Commission Meeting and City Council Meeting Wednesday, May 30, 2001 Page 16 1 They have estimated that approximately $350,000 will be generated on in - 2 fill projects per year. He is concerned about the yearly debt service fee of 3 $200,000, which will leave the balance at $2.2 million. 4 5 His recommendation is to defer Westridge and Willow Glen Parks 6 construction for two years. He recommends moving forward with the Gatti 7 Park project, as there is a timeline with the developer. The Shollenberger s Park project is going through design and the money has been 9 encumbered. 10 11 There is $265,000 budgeted for the Polly Klaas Center. Mary Dooly and 12 her firm have been working on the design and he would like to bring her 13 forward to present the design as completed to date. 14 15 Two matching grants of $25,000 for Lawn Bowling have been 16 recommended. 17 18 An expansion project is proposed for the Petaluma Senior Center with 19 $481,000 per capita funds from the Prop 12 money. He recommends that 20 $121,000 of that be used for the Senior Center. He has been working with 21 the Rotary Club on playground projects; they have $60,000 to put into the 22 McNear Park project and it will going out to bid this week. 23 24 With regard to all the requests for a Park Bond, Mr. Carr stated that a 25 Park Bond is not needed. What is needed is something for infrastructure 26 in this community. 27 28 Council Member O'Brien asked if anyone had looked into dry storage to 29 generate additional revenues for the Marina. 30 31 Mr. Carr replied that land is not available. There is a workout plan for 32 covered storage in the Marina but there is no money. 33 34 Council Member Torliatt noted that Port Sonoma was planning to add 240 35 slips. 36 37 Council Member Maguire asked Mr. Carr if it looked like the Master Plan 38 for the swim club could pay for itself. 39 40 Mr. Carr replied that it won't generate net profit and his answer is "no." 41 In discussion with other pools in the Bay Area, he learned that most of 42 them operate at a deficit. So the question is, does the public want to pay 43 for it? 44 City of Petaluma, California Minutes of a Special Petaluma Community Development Commission Meeting and City Council Meeting Wednesday, May 30, 2001 Page 17 1 Council Member Maguire asked if there was a timeline for when the 2 Marina workout will come back for consideration. 4 Mr. Carr replied that there was not. 5 6 Council Member Moynihan questioned what seemed to be an error on 7 pages 256-257 of the summary. Both indicated summary of expenses, 8 appropriations, revenues, and transfers that cover the same time period 9 but the numbers are different. 10 11 Finance Director Bill Thomas explained that page 256 shows a 12 culmination of all the funds, including the Marina; page 257 is just the 13 general fund portion of the Parks and Recreation budget. 14 15 PUBLIC COMMENT 16 17 Eugenia Scribbs, Valley Orchard, thanked the Council for considering 18 lawn bowling and asked for Council's support in order to get the funding. 19 20 Mr. Carr noted that it would take $230,000 to get started, the maintenance 21 would cost $70,000, so $300,000 is the total being requested. 22 23 Council Member Healy thanked Mr. Carr for his presentation. He asked if 24 the proposed budget of $60,000 for Lafferty is approved, how long will it 25 last and what happens when it runs out. 26 27 City Manager Stouder replied that those are unused funds and the nature 28 and possible needs for those funds were an item for discussion in Closed 29 Session. 30 31 Mr. Carr clarified that they are talking about general fund dollars, not park 32 development fees, which cannot be used outside the boundaries of the 33 City. 34 35 Council Member Healy restated his question: Will the proposed budget 36 get the City through all the line items for the next fiscal year, and if not, 37 what will be done? 38 39 Mr. Stouder answered "yes," regarding the completion of any additional 40 EIR work that is tentatively scheduled. Any potential future litigation has 41 not been figured into the budget. 42 43 Council Member Healy asked Mr. Stouder if he was indicating that there is 44 no money in the budget for potential litigation around Lafferty. If that was 45 the case, how does he propose to fund any litigation that may arise? City of Petaluma, California Minutes of a Special Petaluma Community Development Commission Meeting and City Council Meeting Wednesday, May 30, 2001 Page 18 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 Mr. Stouder stated that it was his understanding that it was not an issue that Council felt the need to discuss with the City's attorney; therefore City Management has not received any direction. Council Member Healy asked if there were reserves in the budget that could be used. Mr. Stouder replied that discussion would take place if and when Council decided to have that discussion, reach a conclusion, and provide the answer. The two simple answers were: there are the reserves, which would not be recommended initially, and there could be budget cuts. Council Member Healy asked Mr. Stouder to schedule this as a Closed Session meeting in order to get appropriate direction for what should and shouldn't be in the budget. He would like to see more effort put into private fundraising in the community among the supporters. I_1713 Lei II N 111 The meeting was adjourned at 10:06 P.M. Vice Mayor Janice Cader-Thompson ATTEST: Paulette Lyon, Deputy City Clerk City of Petaluma, California Minutes of a Special Petaluma Community Development Commission Meeting and City Council Meeting Wednesday, May 30, 2001 Page 19