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HomeMy WebLinkAboutPCDC Minutes 02/04/1977CALL TO ORDER ROLL CALL V?AR. 4 1977 PETALUMA COMMUNITY DEVELOPMENT COMMISSION Minutes of Regular Meeting February 14, 1977 The Regular Meeting of the Petaluma Community Development Commission was called to order by Chairman Helen Putnam at the hour of 4:00 p.m. Present: Commissioners Brunner, Cavanagh*, Harberson*, Hilligoss, Mattei, and Chairman Putnam Absent: Commissioner Perry * Commissioner Cavanagh arrived at 4:05 p.m. * Commissioner Harberson arrived at 4:25 p.m. APPROVAL OF The Minutes of the Regular Meeting of January 10, 1977 were MINUTES approved as mailed_ STATUS REPORT ON PARKING RESPONSES FROM Project Manager Janie Warman stated at the last Regular PROPERTY OWNERS Meeting of the Commission the staff had been directed to determine which properties on Petaluma Blvd. North may be for sale and available for parking for the Central Business District. Schematic drawings had been presented to members of the Commission out- lining the area, indicating the properties which were for sale, the number of parking spaces which could be accommodated in certain areas, and the prices already assessed to some of the properties. Ms. Warman stated the 7,000 square foot lot which formerly housed the J. C. Penney Company is on the market at a cost of $275,000. The two properties adjacent to the present City parking lot occupied by Petaluma Realty, and Ambrosia Cafe, and Alta Book Store are not for sale but may be negotiable. Ms. Warman stated it was the feeling of the property owners they wanted to learn what the Commission had in mind before they would make a commitment. In addition, these firms are presently negotiating new leases for their businesses. The property owned by Beasley which includes the area from the Canton Restaurant through the Beasley restaurant is available and on the market for $325,000. Ms. Warman stated the prices quoted on the drawing had been obtained through multiple -listing services.' The firms in the area were reluctant to place a value on their properties and would prefer to negotiate. Some discussion was held on closing Western Avenue between Petaluma Blvd. and Washington -Street Street and incorporating it into the vacant lot to provide additional parking. Ms. Warman indicated this may accommodate 11 or 12 additional cars but would need to be cleared through the Traffic Engineer. The Commission determined, due to the extreme high cost of property on Petaluma Blvd. the ability of the Commission to provide parking in this area was out of the question at this time. Discussion was then held on methods of financing even modest projects and how they could be accomplished. Finance Officer John Scharer indicated financing could be a combination of various sources. First, however, it would be necessary to obtain the actual cost for a project in order to know the amount of dollars the Commission has to finance. Tax increment financing is really a future invest- ment of putting front money into parking today and realizing a return from tax increment in about five years. The possibility of forming a parking assessment district of the properties in the area could be considered, as well as the use of Revenue Sharing funds. There is also the possibility of using the small balance, approximately $15,000 to $20,000, in the Parking Meter Fund. Mr. Scharer indicated he did not feel revenue bonding could be supported by the returns from the parking in the district as the meters do not generate sufficient funds at this time.' Mr. Scharer also stated in order to receive tax increment funding allocated from the County on the property tax, the Commission has to have a loan RESPONSES FROM on the books. His suggestion, as an alternative, was to PROPERTY OWNERS loan Revenue Sharing funds to the Redevelopment Agency to be (Continued) repaid out of the increment financing. Mr. Scharer also stated if the merchants were agreeable, a loan could be made out of AB 103 monies to the Agency. This fund generates approximately $17,000 per year. Mr. Scharer stated he could not estimate how much the tax increment funding would return to the City; however, the first payment should be made January, 1978. Mr. Scharer indicated the trend now is to endeavor to lower the property tax rate throughout the State, and this would have a very definite effect on the returns through tax increment funding. DISCUSSION - KELLER Commissioner Mattei indicated the Gulf Gasoline Station on STREET PARKING the corner of Keller Street and Western Avenue is presently LOT EXPANSION vacant and for sale and felt,this was an opportune time to explore the possibility of purchasing this piece of property to expand the Keller Street Parking Lot. He also felt the property owners in the area should contribute toward the expansion of the Keller Street lot as it would be an asset to their businesses. Mr. Mattei indicated this was one of the reasons why he was so interested in the financing aspects to see if it would be possible to obtain this property at this time. Executive Director Robert Meyer advised the Gulf Oil Corporation has indicated they want to sell the property and have given the City a range on the price. It would be possible to borrow the money from Revenue Sharing and replace it; and if the property owners in the area were not willing to share in the cost of the property-, the City could always place it back on the market. Mr. Meyer stated the Faustman Report indi- cated the Keller Street lot was the one that would be more extensively used than others. Commissioner Hilligoss stated the report on occupancy rates indicated the A Street lot was used more extensively than the Keller Street lot. However, it was pointed out the A Street lot is not metered, whereas meters are in use on the Keller Street lot. Project Manager Janie Warman stated the Project Area Committee, at their last meeting, recommended that the Commission obtain an option or the first right of refusal on the gas station in order to expand the Keller Street Parking lot. It was Ms. Warman's understanding other people are interested in the property to reactivate it as a gas station or use it for some other purpose. If the Commission had an option on the property another building could not be built on it. Ms. Warman stated it was her understanding the AB 103 Committee is also at the discussion stages of recommending acquiring this land. She felt there is great support for expansion of the Keller Street lot. In the following discussion, it was felt the City alone would not be able to finance the project, and it would take the cooperation of the property owners and merchants in the area. Commissioner Brunner pointed out an effort was made previously to form an assessment district downtown to provide additional parking, but it never succeeded. He also stated it was his understanding the AB 103 Committee was led to believe some of the monies -assessed for that program was to go into parking. However, the amount collected is minimal, and it would still take an extensive assessment program to accomplish the parking. Chairman Putnam indicated there are a variety of ways of accomplishing the parking which should be explored, including loans which would have to be paid back, cooperation of the property owners and merchants in the area, and the extent they would enter into a parking district. Finance Officer John Scharer indicated the staff could put together several alternatives for the Commission's review, including estimated costs and a financial package. This method would be less expe nsive for the City and the property owners. Internal financing could be used rather than going to outside bonding counsel. There would be an advantage to use Revenue Sharing monies as the Commission would then generate a cash flow over a number of years to repay the loan of Revenue Sharing monies. Mr. Scharer asked for direction from the Commission as to what lots they would like to have evaluated. Commissioner Mattei suggested since the one piece of property is available, i.e., the gas station at the corner of Keller Street and Western Avenue, the City Manager endeavor to obtain an option on the property for a 60- or 90 -day period so that nothing happens to it before the Commission can make a final decision. Chairman Putnam suggested if the staff is to secure an option on the Gulf -2- DISCUSSION - KELLER. station, it should be done rapidly. Finance Director John STREET PARKING Scharer suggested putting together a package which would LOT EXPANSION look at the Keller Street lot, the Keller and A Street lots (Continued) together, the A Street lot separately, and questioned whether his report should include meters on both the Keller and A Street Parking Lots. Commissioner Mattei indicated he felt consideration should be given to metering both lots as a realistic comparison could not be made if one lot had meters and the other did not. Some discussion was then held on validated parking. Commissioner Cavanagh requested some consideration be given to this type of parking,in the community. Executive Director Robert Meyer indicated to place parking meters in the A Street lot would cost $2,730 plus installation costs. However, to hire an attendant for a validated parking lot would be much more expensive, and the revenues would not warrant hiring an employee for this purpose. Commissioner Harberson asked if it would be possible to have some approximate figures prepared for the Commission's review on validated parking. Mr. Scharer indicated the City of Santa Rosa.has this type of parking, and he could get some figures from them. Chairman Putnam then indicated she felt it was the consensus of the Commission to recommend to the Council that the expansion of the Keller Street Parking lot be explored, meters on the A Street lot be considered, and an effort be made to obtain.an option on the Gulf Oil property. City Manager Robert Meyer reminded the Commissioners he would be unable to deal with the Gulf Oil Company as the Petaluma Community Development Commission but would have to act on behalf of the City Council. He suggested the Commission make their recommendations to the City Council. Motion was made by Chairman Putnam to recommend to the City Council both the A Street and Keller Street lots be given consideration for expansion, that the A Street lot be metered, to explore methods of validated parking, and to try to obtain an option on the Gulf Oil property. Motion was seconded by Commissioner Hilligoss and adopted unanimously. EMPLOYEE Project Manager Janie Warman advised the lot being considered PARKING for employee parking is north of Washington Street on the east side of Petaluma Blvd.; known as the Margolis property. City Engineer David Young prepared a parking layout for the property which, by double -decking, could accommodate over 100 vehicles on two floors. Mr. Young stated it would be a very expensive structure which would require concrete decking coming out from Petaluma Blvd. and retaining walls would also be needed. He compared it to a super bridge structure. Mr. Young indicated he was not. able to figure a cost on the project, only to analyze it for the number of vehicles which could be stored. He did state, however, he felt it would run from $600,000 to $700,000 or more than $7,000 per space. This estimate does not include the cost of land acquisition. Even to estimate the cost would require a great deal of staff time. The engineering for the project would have to be done by a consulting engineering firm which specializes in structural design. Commissioner Mattei questioned whether the City staff could design the project if only a single level was proposed. Mr. Young indi- cated it could be done by staff, but it would mean neglecting work on other projects which are proposed. Mr. Young also indicated some concern regarding any excavation near the street which may undermine Petaluma Blvd. Mr. Vic DeCarli, who was in the audience, suggested if the parking lot is designed as a lower level structure, barricades could be installed approximately 20 feet back from Petaluma Blvd. Mr. Young indicated that would be a cheaper solution than building a retaining wall. Project Manager Janie Warman also indicated the rear portion of the property facing the river may belong to the railroad company and not be a public right-of-way. The title would have to be searched. In relating to the cost for building the lower part of the structure, City Engineer David Young stated the area was about 25,000 square feet, and the cost would probably be somewhere in the neighborhood of $50,000. Commissioner Harberson felt this money would be wasted if an interim -type project was built where a great deal of structural work would have to be done, and it was subse- quently decided to double -deck the structure. - Finance Director John Scharer suggested if the A Street lot was expanded it would provide 111 spaces or approximately 72 more than the lot now contains. It was his suggestion the Commission take the position to designate a certain area as -3- EMPLOYEE PARKING employee parking and provide 61 spaces for the public and 50 (Continued) for employee parking. This would be far less expensive than trying to develop the Margolis property. Chairman Putnam asked the City Engineer if it would be possible to come up with some figures on development of the lot. Mr. Young repeated it would probably cost from $50,000 to $70,000, but he has no idea of what the cost of the land would be. The existing ramp from Petaluma Blvd. would be utilized if just the lower floor structure was to be built. He also indicated it would be necessary to research, through title reports, whether or not the right-of-way along the railroad tracks would be available. He feels this is not a public thoroughfare. Executive Director Robert Meyer asked Mr. Young if there was any possibility of damage being done to Petaluma Blvd. by building the lot at this site. Mr. Young stated he.would-not want to tamper with the existing old wall. As long as the area is'vacant and the traffic lanes are 20 feet from the edge of the sidewalk, it is safe; but when heavy traffic would be diverted, it would have to have some structural work done to protect Petaluma Blvd. However, if traffic is diverted over the area, he does not know how substantial it would be. Commissioner Mattei indicated there was a vacant lot currently being used to park many cars which was proposed for a building by Lafranchi, Bettinelli, and Mickelsen, and parking spaces would be lost for employee parking. He made a motion to explore the possibility of developing the Margolis property. The motion was seconded by Commissioner Brunner, and unanimously adopted. OCCUPANCY RATES Project Manager Janie Warman presented a report on -the per - IN PARKING LOTS centage of occupancy: the A Street unmetered lot - 39 spaces, the Downtown Improvement lot - 20 spaces, and the Keller Street lot - 59 metered spaces. The survey taken in the report was done between June 16, 1976 to July 1, 1976. A copy of the report is on file. Ms. Warman also advised she had done an informal count where she visited the area daily for about a week, and the occupancy rate in the A Street lot averages about 70 percent. Since the Faustman Report was completed approximately eight years ago, -the usage in both the A Street and Keller Street lots has increased. Ms. Warman felt the earlier Faustman Report and the one completed last June arrived at valid conclusions wherein they stated over 300 parking spaces are needed in the Downtown area. REPORT OF Dick Lieb, speaking for the Project Area Committee, stated PROJECT AREA. the Committee was anxious to see some progress especially COMMITTEE on the Keller Street -lot. Another concern and one which they felt would show some physical evidence'of progress was the completion of the Golden Concourse between American Alley and Petaluma Blvd. where land had been dedicated to the City in memory of G. P. McNear. Mr. Lieb also stated the Committee would like some direction from the Commission regarding the role the Project Area Committee is to play in the future. They could continue meeting, but it would mean going over the same items for discussion. The Minutes of the Project Area Committee dated February 3, 1977, submitted and filed. Chairman Putnam stated she was very, much interested in the beautification of the Golden Concourse. The Project Area Committee Minutes of February 3, 1977, indicated there was a balance of $1,000 in the Golden Concourse Project funds. Executive Director Robert Meyer stated there is no longer a balance in this account as the funds have been used to pay for lighting the area over the last three years. The money was also used to add benches and other amenities to the Golden Concourse. Mr. Meyer stated the City has never been very successful in growing trees in the area for as soon as they are planted, they are destroyed by vandals. Mr. Meyer suggested the 10 feet which was recently donated to the City could be blacktopped; and when another building was built on the remainder of the property, they could be required to put in a full sidewalk as had been done on the northern end of the walkway. Installation of the sidewalk would be the responsibility of the property owner. Chairman Putnam asked Robert Koenitzer, a member of the Project Area Committee, if he wished to comment. Mr. Koenitzer stated he felt there was a need for some type of project to be done in the Downtown -area as the merchants feel that nothing -4- REPORT OF is being done under the. Redevelopment process. He suggested PROJECT AREA some benches and blacktop be placed on the 10 -foot wide, 100 - COMMITTEE foot long strip which had been deeded to the City. Even this small improvement would show some physical evidence that pro- gress was being made. In discussing the availability of funds to complete a small project, Finance Officer John Scharer stated it would be within reason to do a small project out of the funds budgeted for the administration of the Agency. This section of the budget is fairly flexible. Commissioner Mattei suggested another project which may be considered would be to provide some type of weatherproof bus station on Kentucky Street which is used very heavily by customers. He also questioned whether or not AB 103 monies could be used for small projects in the Downtown Area. Chairman Putnam suggested several things be done before the Commission takes an action. She agreed with Mr. Koenitzer that some physical evidence of progress needs to be shown in the Downtown area. She asked the Project Area Committee to meet with the staff and make suggestions, and the Finance Officer to explore sources of funding. Executive Director Robert Meyer reminded the Commission they had made some rather firm commitments regarding parking in the Downtown Area and felt that all monies that can be gathered together should be invested in the acquisition of land for this purpose. Mr. Lieb stated perhaps the Project Area Committee could start working on a plan to show a small visible improvement by having the service clubs become involved. He did not feel they are talking about a great deal of money and offered the services of his firm to do some of the layout work. He felt perhaps this was the direction the Project Area Committee should take at this time. Chairman Putnam asked Mr. Lieb if he and Mr. Koenitzer would come in and confer with the staff between this meeting and the next to be held in March. No action was taken. SIGNS Ms. Warman stated the two members of the Project Area Committee appointed to work with the Sign Committee met with staff and Commissioner Mattei and had prepared a short addendum to go into the Sign Ordinance. The suggestion was to permit one square foot of sign for every lineal foot of frontage. The Project Area Committee basically agrees with the draft to be presented to the Planning Commission with the exception of the discontinuance of the non -conforming signs. Drawings of proposed sign sizes were shown. ADJOURNMENT There being no further business to come before the Commission, the meeting was adjourned at 5:25 p.m. Attest: cordinSecretary -5- Chairman