HomeMy WebLinkAbout06/07/2011
Committee Members:
Staff: Rhonda Smiley, Harold Hanson, Chair
Assistant to the City Manager Sue Benham
Ken Weir
AGENDA SUMMARY REPORT
REGULAR MEETING OF THE
PLANNING AND DEVELOPMENT COMMITTEE
Tuesday, June 7, 2011
12:00 p.m.
City Hall North – Conference Room A
1600 Truxtun Avenue
Bakersfield, CA 93301
The meeting was called to order at 12:05 PM
1. ROLL CALL
Committee members present: Councilmember Harold Hanson, Chair
Councilmember Sue Benham
Councilmember Ken Weir
Staff present:
Alan Tandy, City Manager Ginny Gennaro, City Attorney
Rhonda Smiley, Asst. to the City Manager Justin Crumley, Associate Attorney
Steve Teglia, Asst. to the City Manager Jim Eggert, Planning Director
Chris Huot, Administrative Analyst Phil Burns, Building Director
Nelson Smith, Finance Director Raul Rojas, Public Works Director
Ken Trone, Park Construction & Facility Planner Marian Shaw, PW Civil Engineer
Others present:
Scott Thayer, Castle & Cooke Donna Carpenter, H.B.A.
Gretchen Wenner, Bakersfield Californian
AGENDA SUMMARY REPORT
Planning and Development Committee
Monday, June 7, 2011
Page 2
2. ADOPT MAY 6, 2011 AGENDA SUMMARY REPORT
Adopted as submitted
3. PUBLIC STATEMENTS
None
4. DEFERRED BUSINESS
A. Discussion and Committee Recommendation Regarding Newly Constructed Home
Purchase Credit – Tandy / Teglia
Assistant to the City Manager Steven Teglia provided an overview of Committee
member Ken Weir’s request of developing a pilot program designed to provide
purchasers of newly constructed homes with a cash subsidy. Mr. Teglia also provided
an overview of two separate reports, “The Local Impact of Home Building in a
Typical Metro Area” produced by the National Association of Home Builders in June
of 2009 and “Building California’s Future: An Economic and Fiscal Analysis of Housing
Construction in the Golden State” produced by the California Department of Real
Estate, the California Department of Housing and Community Development, and the
California Housing Finance Agency in July of 2010, which attempted to quantify the
economic benefit brought in by the construction of new homes. Potential issues
include equity concerns and budget impacts.
Committee member Weir referenced an article written by Timm Herdt, of the
Ventura County Star dated May 31st 2011 titled “The State Economy - It’s The Housing
Stupid” to question what the City is doing to help the local economy. Committee
member Weir stated only 155 permits have been issued this year, or 44 percent of
the average of the last two years, which will have an effect on our local economy.
He stated that if we want to help the economy, something has to be done. He cited
the following example: the City currently rebates a portion of our garbage fees to
those in need; it exempts those in need from the utility surcharge; and established a
reduced traffic impact fee for urban areas due to the City’s desire for infill. The City
makes allowances to those in need and provides incentives for City desired activity.
Local industry employs a large segment of our community and they are in need.
Committee member Weir made a motion to make available a $2,500 credit for the
purchasers of new homes. The credit would be due at the close of escrow on eligible
new home purchases and permits issued for the construction of new homes after
Council approval. The credit would be available for a maximum of 250 permits. He
requested that if his proposal is not the majority report, he would like a minority report
stating his position sent along to the full Council.
AGENDA SUMMARY REPORT
Planning and Development Committee
Monday, June 7, 2011
Page 3
Committee Chair Harold Hanson stated there is nothing that can change the current
economic situation. The difference between short sales and foreclosures compared
to new home prices is too enormous to make this kind of pilot program work.
Furthermore, the City would be vulnerable to criticism and potential litigation for
subsidizing a certain market and not covering others.
The motion failed 1-2, with Committee member Weir voting in favor of the motion
and Committee members Hanson and Benham voting opposed to the motion.
Committee member Weir asked that his motion be sent to the full Council for
consideration.
B. Discussion and Committee Recommendation Regarding the 2011 Committee
Meeting Schedule – Smiley
Adopted as submitted
5. COMMITTEE COMMENTS
None
6. ADJOURNMENT
The meeting adjourned at 12:25 PM
cc: Honorable Mayor and City Council