HomeMy WebLinkAbout08/17/83 MINUTES RABakersfield, California, August 17, 1983
Minutes of a Joint Public Hearing of the Council of the
City of Bakersfield and the Bakersfield Redevelopment Agency, held
in the Council Chambers of City Hall at 5:00 p.m., August 17, 1983.
The meeting was called to order by Mayor Shell and Agency
Chairman Barton, followed by the Pledge of Allegiance and a minute
of silent prayer.
Deputy City Clerk Gafford called the roll of the Council
as follows:
Present: Mayor Shell.
Councilmen Christensen, Payne, Rockoff,
Barton
Absent:
Deputy City Clerk Gafford called the roll
Councilmen Means, Ratty
of the Agency
as follows:
Present: Agency Members
Absent: Agency Members
Christensen, Payne, Rockoff,
Means, Ratty
CORRESPONDENCE
Barton
Deputy City Clerk Gafford stated that other than the
co~'respondence contained in the Final Environmental Impact Report
correspondence was received from the Historic Preservatio~
~ission, City of Bakersfield, dated August 16, 1983, regarding the
Hall of Records Building.
STAFF REPORTS
City Manager and Executive Director of the Redevelopment
Agency Kelmar introduced Mr. Harry Tow of Quad Consultants who
prepared the Environmental Impact Report.
Mr. Tow exp]~ne~ ~e ~'oc~s required by the California
Environmental Quality Act (C?i~7). ~ stated the CEQA regulations
require that an Environmental Impact Report be prepared for any-
thing with impacts of environmental significance. Mr. Tow also
explained that the proposed Truxtun Galleria Project is a
$70,000,000 project, which consists of two office towers, one
thirteen stories and one e~ghteen stories, connected by 90,000
square feet of commercial development. The office towers contain
Bakersfield, California, August ]7, 1983 - Page 2
400,000 square feet of gross building area with 1,200 parking
spaces, which the consultants have indicated is adequate for
the project. The project occupies the two blocks between Truxtun
Avenue, 17th Street, "H" Street and Chester Avenue, excluding
California Republic Bank. The principal commercial and professional
offices have a positive impact in terms of City revenue with a
proposed combined revenue by the Agency and City with a better than
10-1 ratio of revenues versus expenditures over a period of time.
The City has a positive balance in revenues in terms of Sales Tax,
Business Licenses and indirect benefits which will occur.
City Manager and Executive Director Kelmar gave a report
regarding the purchase of the Hall of Records property owned by
the County of Kern. He stated that the Agency authorized a letter
to be submitted to the Board of Supervisors, which requested an
indication from the Board as to their interest in selling the Hall
of Records for the purpose of developing the Truxtun Galleria. He
stated that a few weeks ago the Board met regarding the project and
presentations were made by architects and the developer. The Board
agreed to hold a meeting of the whole regarding the responses to
the questions that had been raised.
City Manager and Executive Director Kelmar read a letter
from Mr. R. S. Holden, County Administrative Officer, to the Board
of Supervisors, dated August 16, 1983, as follows:
RE: Galleria Project: Board of Supervisor's
Action Following August 15, 1983 Committee
of the Whole Meeting
On August 15, 1983 the Board of Supervisors held
a Committee of the Whole meeting to discuss the
City of Bakersfield downtown "Galleria" redevelop-
ment project. To facilitate this meeting, the
Board had received a report that was prepared
by this office with the principal assistance
of the Property Management Department. In
addition, individual letters were received and
presentations were made by the Bakersfield City
Manager, by the architects of the Moreland
Development Corporation, and by individual
citizens.
Bakersfield, California, August 17, 1983 - Page 3
The purpose of this report is merely to assure
that an adequate understanding is had by all
interested parties relative to the direction
of the Board following the Committee of the
Whole meeting. The results of the Committee
of the Whole meeting are summarized as follows:
---The Board took action to provide contingent
approval relative to the sale of the Hall
of Records.
---The Board directed this office to attend
the August 17, 1983 joint Bakersfield City
Council/Board of Directors of the City
Redevelopment Agency hearing relative to
the certification of the draft Environmental
Impact Report on the Galleria Project and
the proposed disposition and development
agreement to be formalized with the More-
land Corporation.
---This office is to continue its evaluation
of the County's occupancy of space in the
Galleria project with principal attention
given to costs and operating efficiency.
---This office is also to evaluate and compare
the alternative proposal relative to a Kern
County Government Center that was submitted
by the Mosesian Development Company.
If there are no errors or omissions in this
office's understanding of the Board's August
15, 1983 action, IT IS RECOMMENDED that this
report be received and filed.
Sincerely,
R. S. HOLDEN
County Administrative Officer
He further stated that the Board indicated that they were interested
in selling the Hall of Records to the Redevelopment Agency and
directed County staff to meet, subject to the outcome of this hearing
relative to negotiating a satisfactory price and possible relocation
of the Hall of Records during the construction, if the project were
to move forward.
City Manager and Executive Director Kelmar gave a report
to reset date for hearing on the Disposition and Development
Agreement for the Truxtun Galleria Project. He explained that
the agreement could not be completed in time for the adequate
noticing for public review and requested that the hearing be reset
for September 27, 1983, at 5:00 p.m.
Bakersfield, California, August 17, 1983 - Page 4
Upon a motion by Councilman Barton, the date for the
hearing on the Disposition and Development Agreement for the
Truxtun Galleria Project was reset for September 27, 1983, at
5:00 p.m.
Upon a motion by Agency Member Payne, the date for the
hearing on the Disposition and Development Agreement for the
Truxtun Galleria Project was reset for September 27, 1983, at
5:00 p.m.
HEARINGS
This is the time set for public hearing on the Draft
Environmental Impact Report for the Truxtun Galleria.
The hearing was duly advertised and posted.
Mayo~ Shell declared the hearing open for public partici-
pation.
Mr. Richard D. Crowe, Vice-President of the Kern County
Historical Society, stated that his point of view and the Board
of Trustees' point of view is that the Hall of Records should be
preserved and restored to its original state and not be part of
the Truxtun Galleria Project, unless it can be utilized in the
project in accordance with its present shape and appearance. He
commented on the Hall of Records portion of the EIR and stated
that the Kern County Historical Society is pleased to note that
the report of the independent consultant, contrary to the public
statements of the developer and his associates, has determined
that the Hall of Records has great architectural and culi~ural
significance, and that the building has a viable commercial future.
This is a conclusion which the Kern County Historical Society had
previously reached and with which the Society strongly concurs.
The Society, therefore, wishes to go on record as recommending
that every effort be made, and all avenues explored, toward pre-
serving and restoring the Hall of Records. He further stated that
the Society was pleased that the City has formed a Historic Preser-
vation Commission.
Bakersfield, California, August 17, 1983 - Page 5
Mr. Norman Walters stated that the City has not proven
that a need exists for the proposed Galleria, and that the proposal
is an expense to be put upon the pocketbooks of the citizens. He
stated that the Galleria is not self-supporting unless private
enterprise buys, builds and owns the property and improves it
without the help of the City or Redevelopment Agency. He further
stated that the Hall of Records is a sound and functional building,
and suggested that a ballot be mailed
get their responses.
Mr. Richard McBurnie, Attorney
to the public in order to
for California Republic
Bank, stated that the published notice of this hearing indicated
that the proposed project, as well as the proposed Disposition and
Development Agreement, will cover the entire two block area bounded on
the west by "H" Street and east by Chester Avenue, north by 17th Street
and south by Truxtun Avenue, which includes the present site of
the California Republic Bank and parking garage behind the bank.
City Manager and Executive Director Kelmar clarified that
the California Republic Bank building and garage is not included
in this project.
Mr. Richard Monje, Chairman of the Bakersfield Historic
Preservation Commission, stated that the Commission has unanimously
concluded that the Hall of Records is historically, architecturally
and culturally significant and should be preserved and restored.
They have found a developer, Mr. Tim Gannon, who is interested in
restoring the building at his expense, and the City and Agency
should be looking for these types of alternatives.
Mr. Monje also commented on the Environmental Impact
Report. He noted that on page 33 under Setting, it states "a
building which may be of historical significance," but, in fact,
the building is of historical significance and that determination
was made by the Commission and the City's consultant and concurred
by the Historical Society. Also, on the same page, it makes
Bakersfield, California, August 17~ 1983 - Page 6
reference that "The Hall of Records would appear to meet the
Cultural Resource Designation Criteria that are listed in the
Ordinance." He clarified that the building does meet that desig-
nation, and that decision was made by the Historic Preservation
Commission. Also, on page 34, it states that the Hall of Records
"could be viewed as an economic liability." Mr. Monje explained
that he reviewed the entire report and there is no support for that
statement. He commented that it appears to be a conclusion pulled
out of thin air, and if the conclusion is going to be in the report,
CEQA requires that there be some support. On page 35 of the report,
there is an extensive discussion of how difficult it will be to do
a cost analysis of restoring the Hall of Records to its original
condition. He stated that the report should have to include a cost
analysis of the expenses that would be incurred in restoring the
Hall of Records rather than just a statement that it would be
difficult to make such an analysis. Also on page 35, there is
some indication that if someone wanted to restore the building,
there would be a 20% investment tax credit available. What the
report does not indicate is that if the building were eligible for
National Register status, which the independent consultant has
concluded may be true, the tax credit would be 25%, and there are
some additional tax benefits to a private developer who wants to
restore the building. Mr. Monje also noted that on page 36, there
is a proposed additional mitigation factor, which is in essence to
incorporate the design elements of the building into the Truxtun
Galleria and there is not discussion of what elements should be
incorporated. He explained that we cannot have anyone consider a
mitigating factor until we know exactly what would be done to
mitigate the destruction of the Hall of Records.
Mr. Monje further commented upon the comments received
by the County Clerk, which the consultant has included a statement
referencing the historic significance of the site snd that historical
significance could be preserved by having the County Recorder's
Bakersfield, California, August 17, 1983 - Page 7
function included in the tower. He stated that the Historic
Preservation Commission does not see how putting the County
Recorder's function on the 12th floor of an office tower, after
tearing down the 75 year old building, preserves the historic
significance of the site.
Mrs. Richard Bailey stated that if her husband was able
to attend the hearing he would be here. She commented upon what
her husband had stated to her about the Hall of Records from the
time he came to Bakersfield in 1929 and the emotional impact of
the colored lights and stained dome and large interior that was
held up by the four marble columns. The big windows, broad stairs
and ionic pillars were evident. She stated that her husband hoped
that the building would be preserved as a monument to the future
and as a viable building to the present.
Mr. Hugh Sill, businessman, stated that he was definitely
against preserving the Hall of Records building. He commented
that it is not a serviceable building, and is not in line with the
City codes of today. He further commented that there is no way
that the building will fit into the Truxtun Galleria Project.
Mr. Harry Rubin, merchant, has been in Bakersfield since
1919 and stated that the City has lost all of the historical
buildings, except the Hall of Records. He stated that he does not
intend to impede the progress of the growth of Bakersfield or the
Galleria Project, but that he is not in favor of destroying or
moving the Hall of Records.
Mr. Harry Tow stated, for the record, that the comments
that have been made and responded to previously in the EIR and the
letters received and comments made at the hearing will be incor-
porated into the Final EIR, and that they do not require quantitatiw~
responses.
Martha Walters stated that it is not too significant
that the Hall of Records be restored to its original condition.
If it functions and meets the needs, in this economy, it should be
Bakersfield, California, August 17, 1983 - Page 8
considered. She stated that the voters should have input. Mrs.
Walters also requested an accounting of the monies that have been
spent to date by the Redevelopment Agency in buying properties for
landbanking and the monies taken in as revenue.
Mayor Shell requested an updated report be given regarding
landbanking and revenue and expenditures at a future Council Meeting.
Fran Smith, businesswoman, commented on the Hall of
Records and stated that she was against destroying the building.
Mayor Shell questioned the City Attorney as to the
meaning of certifying the Environmental Impact Report.
City Attorney Oberholzer stated that the California
Environmental Quality Act (CEQA) process requires that there be a
determination of the environmental impacts of the project. It does
not obligate the Council or Agency to proceed with the project.
This would recognize any mitigations, and if there are no miti-
gations, then the City would take the consequences of whatever
impacts there might be.
Councilman Rockoff asked if the Draft EIR and Final EIR
are the two documents upon which the action is being made.
Mr. Harry Tow explained that the Draft EIR is the document
for which comments are received. The Final EIR constitutes the
comments and responses to comments together with the record of
hearing. These three components make up the Final EIR, which is
the item to be certified.
There being no further comments received regarding the
Environmental Impact Report for the Truxtun Galleria Project,
~ayor Shell closed the public portion of the hearing for Council
and Agency deliberation and action.
City Manager and Executive Director of the Redevelopment
Agency Kelmar stated that he recognized all the concerns expressed
regarding the Hall of Records.
that the building can be moved,
with Mr. Gannon to restore it.
He commented that it is his feeling
and that a transaction can be made
He suggested to the Council and
Bakersfield, California, August 17, 1983 - Page 9
Agency that, if they would certify the EIR and direct staff to
negotiate for the removal of the building to another site in the
downtown, hopefully, that would alleviate the public concern
regarding the building and allow the Truxtun Galleria Project to
move forward. He further stated that staff could report back to
the Council and Agency at the hearing on the 27th of September
regarding a transaction on moving the building.
Agency Member Christensen stated that he has read the
material and that comments have been received by individuals and
groups regarding this project. He stated that the suggestion by
the City Manager was good, and that the City should follow up on
the cost of moving and rehabilitating the building. He expressed
concern that with the comments received tonight, there is great
interest in the Truxtun Galleria Project and Hall of Records, and,
therefore, suggested that the Council and Agency take additional
time to consider the EIR before making a decision. This will
ensure that all input has been received and the body has had an
adequate opportunity to consider the matter before taking action.
ile stated that he did not want to delay the resolution, and,
therefore, made a motion that the hearing approving and certifying
the EIR be continued to September 27, 1983, with the hearing on
the Disposition and Development Agreement. He further suggested
that, at the same time, a report be given regarding the expenses
of the Redevelopment Agency on landbanking and a cost for moving
the Hall of Records and rehabilitating the building.
City Manager and Executive Director Kelmar stated that
pursuant to discussions with Tim Gannon, he has expressed an
interest in incurring the cost for moving and rehabilitating the
boilding himself.
City Attorney Oberholzer stated that the hearing has
been closed, and that the decision of the body can be continued,
but not the hearing.
Agency Chairman Barton questioned staff, based on Agency
Member Christensen's motion, if the delay on the EIR prohibits staff
from proceeding with investigating the relocation of the building
Bakersfield, California, August 17, 1983 - Page 10
with Tim Gannon, negotiations with the County and the Disposition
and Development Agreement with Terry Moreland. He questioned if
the delay would stop part of the process.
City Manager and Executive Director Kelmar stated that
the action on the certification of the EIR and discussion on
moving the Hall of Records are not related. He explained that the
efforts of the County might be stalled because they would like to
be assured that the City is behind this issue before they seriously
negotiate in terms of sale price and possible relocation.
Agency Chairman Barton expressed concern that the Agency
should proceed with the EIR and also direct staff to pursue with
the discussions with Gannon for relocation and find a site for
the structure.
City Manager and Executive Director Kelmar explained that
the County Board of Supervisors have indicated that they have a
willingness to sell the Hall of Records, subject to a fair price
and subject to the certification of the EIR. This would allow staff
to negotiate a price with them. He felt that until the EIR is
certified, the County would not seriously negotiate with the City
and developer.
Agency Member Christensen stated that he did not want to
impede the action of the Galleria because he supports it. He stated
that many projects have been proposed for the downtown, but did not
go forward, and that there are many hurdles before the project is
finished. He further stated that at the end of the 15-month period,
if nothing is accomplished, then maybe the Redevelopment Agency
should be dissolved because of excessive false starts.
Upon a motion by Agency Member Rockoff, Redevelopment
Agency Resolution No. RA13-83 making findings and recommending
certification by the City Council of the Final EIR for the Proposed
Truxtun Galleria Development Project, was adopted by the following
Bakersfield, California, August 17, 1983
roll
Ayes:
Noes:
Absent:
call vote:
Agency Members Christensen, Payne,
None
Agency Members Means, Ratty
Mayor Shell complimented the City's Historic
Rockoff, Barton
Preservation
She
Commission and stated they have done a yeoman's task.
questioned how long the Disposition and Development Agreement will
be available for the public, Councilmen and herself to review.
City Manager and Executive Director Kelmar stated that
it will be available two weeks prior to the hearing.
Upon a motion by Councilman Barton, Resolution No. 110-83
of the Council of the City of Bakersfield declaring it has reviewed,
evaluated and considered the information contained in the Final EIR
for the proposed Truxtun Galleria Project, making findings and
certifying that said Final EIR has been completed in compliance
with the California Environmental Quality Act, State EIR Guidelines
and Council Resolution Ilo. 60-80, was adopted by the following
roll call vote:
Ayes: Councilmen Christensen, Payne, Rockoff, Barton
Noes: None
Absent: Councilmen Means, Ratty
Agency Member Payne made a motion to direct staff to
submit a contingent offer to the County of Kern for purchase of
the Hall of Records. This motion was unanimously approved.
City Manager and Executive Director Kelmar requested
authorization to proceed with negotiations to determine if the
City can come to an agreement for moving the building.
Agency Member Christensen made a motion to direct staff
to proceed with negotiations for relocation and cost of rehabilitating
the Hall of Records. This motion was unanimously approved.
ADJOURNMENT
Upon a motion by Agency Member Christensen, the Redevelop-
ment Agency's portion of the joint public hearing held before the
Bakersfield, California, Aogust 17, 1983 -Page 12
Council on the Environmental Impact ~eport for the proposed Truxtun
Galleria Project, was adjourned at 6:35 p.m.
Upon a motion by Councilman Christensen, the joint public
hearing before the Council and Redevelopment Agency on the Environ-
mental Impact Report for the proposed True, tun Galleria Project, was
adjourned at 6:35 p.m.
{~M~ES J. ~ZARTON, Chairman
Bakersfield Redevelopment Agency