HomeMy WebLinkAbout11/07/2006 B A K E R S F I E L D
~ ~ ~/J~ Sue Benham, Chair
Staff: John W. Stinson David Couch
For: Alan Tandy, City Manager Mike Maggard
AGENDA SUMMARY REPORT
SPECIAL MEETING
PLANNING AND DEVELOPMENT COMMITTEE
Tuesday, November 7, 2006 - 1:00 p.m.
City Manager's Conference Room - Suite 201
1501 Truxtun Avenue, Bakersfield CA
1. ROLL CALL
The meeting was Called to Order at 1:03 p.m.
Present: Councilmembers Sue Benham, Chair; David Couch and Mike Maggard
2. PUBLIC STATEMENTS (REGARDING CLOSED SESSION)
3. CLOSED SESSION
The Closed Session was called to order at 1:30 p.m.
A. Conference with Legal Counsel - Potential Litigation
Closed session pursuant to subdivision (b)(1)(3)(A) of Government Code
section 54956.9 (one case)
4. CLOSED SESSSION ACTION
The meeting was called back to order at 2:13 p.m.
Committee Chair Sue Benham announced there was no reportable action taken.
5. ADOPT OCTOBER 17, 2006 AGENDA SUMMARY REPORT
Adopted as submitted.
6. PUBLIC STATEMENTS
7. DEFERRED BUSINESS
AGENDA SUMMARY REPORT Page 2
PLANNING AND DEVELOPMENT COMMITTEE · SPECIAL MEETING
Tuesday, November 7, 2006
A. Report and Committee recommendation on space needs/Borton, Petrini &
Conron Building (This item was heard first in part prior to the Closed Session)
City Manager Alan Tandy provided an overview of a proposed finance plan to
purchase the Borton, Petrini & Conron Building. The Replacement Reserve
Fund has a current balance of $6 million. There was a year-end cash balance
above budget estimates of $6.5 million. Therefore, the City can purchase the
building for $9.5 million and still retain $3 million in the Reserve Fund. The
Reserve Fund is typically used to replace/repair or pay for General Fund
assets, such as buildings and structures.
The Planning and Development Committee spent considerable time in 2003
reviewing alternate plans to solve. City space needs and even at that time
solutions such as building a new complex or leasing a building were not
economically practical.
This is a one-time opportunity. The building is being offered only to the City.
The building appraises above the asking price of $9.5 million. The I~uilding
should serve City space needs for 10 years and has space to construct a
second tower to provide space for approximately another 10 years. The
purchase of the building would provide space for certain departments now
making lease payments at other 'locations, which would save money. Staff
recommended the purchase of the building.
If the City purchases the building, Parsons and the TRIP program staff would
have to move out of the structure as the Federal TRIP money that pays their
rent cannot be reimbursed to the City if they are in a City-owned building.
Currently there are tenants leasing portions of the building. University of La
Verne is on the first floor and has a lease to July 31, 2007, with an option for a
five-year extension. Cornerstone Engineering has a lease to December 31,
2008 on the fourth floor and occupies 6,000 square feet.
PUblic Works provided a preliminary estimate of $600,000 to remodel offices.
Most of the needed remodeling is on the first floor, now occupied as
classrooms. This could be paid for by using some of the savings from the
leased space by City departments in other buildings that will no longer be
needed. (The meeting adjourned to Closed Session)
(The meeting was called back to order at 2:13 p.m.)
Committee Member David Couch made a motion to refer the purchase of the
Borton, Petrini & Conron Building to the full City Council for review at the
November 15th meeting. The Committee unanimously approved the motion.
AGENDA SUMMARY REPORT Page 3
PLANNING AND DEVELOPMENT COMMITTEE · SPECIAL MEETING
Tuesday, November 7, 2006
8. COMMITTEE COMMENTS
As this may be the last Planning and Development meeting Committee Member
Mike Maggard is able to attend, Committee Chair Sue Benham took the
opportunity to express her pleasure to have served with him on the Committee.
9. ADJOURNMENT
The meeting adjourned at 2:15 p.m.
Attendance-staff: City Manager Alan Tandy; Assistant City Manager John Stinson; City
Attorney Ginny Gennaro; Public Works Director Raul Rojas; Finance Director Nelson
Smith; Building Director Phil Burns; Planning Director Jim Movius; Real Property
Manager Don Anderson; and Traci Belmore, City Attorney's Office
Attendance-others: Scott Blunck, Castle and Cooke; David Burger, reporter, The
Bakersfield Cafifornian; George Martin, Borton Petrini & Conron; and Bill Cantrell,
Borton Petrini &Conron
cc: Honorable Mayor and City Council
S:\JOHN\Council Committees\06 Planning&Development\p&d 06 nov 07 summary.doc