HomeMy WebLinkAbout09/07/1990 Ken Peters°n, Chair
Kevin McDermott
Patricia M. Smith
Jack Hardisty (Staff)
URBAN DEVELOPMENT COMMITTEE
MEETING
Friday, September 7, 1990
12:00 p.m.
City Manager's Conference Room
AGENDA
1. Water Service to the Northeast
2. Economic Incentives Policy
3. Response to Grand Jury Report
4. Billboards
GENERAL POLICY FOR ECONOMIC DEVELOPMENT
The City of Bakersfield supports stimulating a healthy local
economy through an economic development policy that targets
the growth, diversification, and revitalization of. the Bakersfield
2010 General Planning Area. This policy includes commitments
to the continuing diversification of our economic base, t~e
expansion of existing businesses, and the nurturing of new businesses.
When considering the provision of financial or other inducements,
our efforts should focus on those new or existing businesses and
industries which are consistent with our efforts to create a healthy
local economy while having the leas~negative impact on environ-
mental and other quality of life issues.
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W:M.JW217
9-5-90
DATE: AUGUST 8, 1990 (Revised 9/6/90)
TO: MEMBERS OF THE GRAND JURY
SUBJECT: RESPONSE TO GRAND JURY
The City Council wishes to express its appreciation to the 1989-90
Grand Jury of the apProach taken in its examination of the efforts
undertaken by the Central District Development Agency in revitalizing
the central city area of Bakersfield. In particular the Council
appreciates the use of a professional consulting firm in assisting
the Grand Jur~ith such a highly complex matter as redevelopment.
In accordance with Section 933 of the Penal Code of the State of
California, the following is the formal response by the City of
Bakersfield to the findings and recommendations of the 1989-90
Grand Jury for the County of Kern.
STATEMENT:
THE GRAND JURY RECOMMENDS THAT THE CITY COUNCIL REQUIRE
THE AGENCY TO PREPARE A SPECIFIC AND DETAILED PLAN TO
OUTLINE THE LONG-TERM FUNDING AND VIABILITY OF THE AGENCY.
THIS PLAN SHOULD INCLUDE THE POTENTIAL SALE OR LEASE OF
LAND BANK PROPERTIES. THIS PLAN ALSO SHOULD INCLUDE HOW
THE STRUCTURING OF CURRENT PROJECTS UNDER NEGOTIATION WILL
BE FUNDED. THE AGENCY MUST BE FULLY ACCOUNTABLE TO THE
CITY COUNCIL AND THE PUBLIC. IF THE AGENCY IS NOT ABLE
TO PROVIDE A DETAILED PLAN~ THE AGENCY'S ACTIVITIES SHOULD
BE RESTRICTED TO LIMIT THE POTENTIAL FINANCIAL EXPOSURE TO
~E CITY. IN ADDITION~ THE PLAN SHOULD INCLUDE A STATEMENT
AS TO HOW THE AGENCY WILL REPAY THE $1 MILLION LINE OF
CREDIT OWED TO THE CITY. INVITE PUBLIC PARTICIPATION AND
DEBATE IN CASE OF DOUBT OR DISPUTE AMONG THE COUNCIL
MEMBERS.
RESPONSE:
The CDDA during Fiscal Year 1990-91 will. be formally addressing
a specif~ and detailed plan outlining long term financial
plan. In regards to the repayment of the $1 million debt owed
to the City of_Bakersfield, the CDDA is to pay the City the
principal sum with interest at the prime rate as set at Bank of
America, Bakersfield on the 1st business day of each quarter
for the ensuing quarter. ~bt repayment commenced in Fiscal
year 1989-90 and will be included in all future budgets until
paid in full (ten years after the first payment - January 2, 1990).
.... ~j ............... ycar i~t~-^~+~ ~~-
............. ~ ........ ~ on ~a~zary
~, ~n ~ .............. flrs~ paymcnt.
W: M. JW218A
STATEMENT:
DETAILED PROCEDURAL REQUIREMENTS'BE FULLY DEVELOPED AND
DOCUMENTED IMMEDIATELY TO GUIDE NEGOTIATIONS AND TO MONITOR
PROJECTS UNDER CONSTRUCTION AND CONSIDERATION.
RESPONSE:
the
~ .... ~^nt t
CDDA adopted ~uidelines in 1988 that ~ state the informa-
tion required to be submitted by any developer seekin~ A~eney
assistance. The CDDA is continually seekin~ more effective ways
of carryinE out its mission. To the extent possible additional
procedures will be established to ~uide negotiations and monitor
projects.
STATEMENT:
CITY COUNCIL REQUIRE A DETAILED ANALYSIS FROM THE AGENCY ON
WHY IT IS ANNEXING A NEW AREA WITHOUT FIRST REFOCUSING
REDEVELOPMENT EFFORTS ON THE CORE AREA.
RESPONSE:
The Central District Development Agency has taken no formal action
to expand its boundaries. The procedures required for any
expansion or for the creation of new project areas are detailed
in Chapter ~ "Redevelopment Procedures and Activities,, of the
California Health and Safety Code. The CDDA will fully comply
with.those requirements should a formal decision be made to
actually commence a project area expansion.
W:M.JW218B -3-
STATEMENT:
AT LEAST ONE SENIOR MEMBER OF THE AGENCY BE 100 PERCENT ALLOCATED
AND DEDICATED TO THE AGENCY AND BE ASSIGNED KEY RESPONSIBILITIES
FOR PROJECT MANAGEMENT AND COMPLIANCE.
RESPONSE:
As pointed out by the Grand Jury's audit firm, two staff members
(a Principal Planner and a Development Associate) do work
exclusively within the project area boundaries. In addition
forty percent of the Economic Development Director (who serves
as the Deputy Executive Director to the CDDA) position ~nvolves
~ Di~c^~^~ f"~ ...... +~ F~ to d
am Assist~ City ~**~-~,,
............. ~. administering the daily operations
of the Agency. This position receives support from the City's
~inance Director (who serves, as the Finance Officer to the CDDA)
and an Assistant City Attorney. This team reports directly to
the Agency's Executive Director. Due to current level of activity
it would be impractical to require the Deputy Executive Director
to ~-e~--~is ^~ ~u~ allocate all of his time to CDDA
............ ~_The team, as ~ described above, offers
expertise in finance, law and project administration. As pointed
~"~ ~ ~ ~ Jury's ~"~t ~;~- two ( Pri ipal
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W:M. JW218C
STATEMENT:
THE AGENCY DEVELOP A DETAILED ANNUAL WORK PROGRAM WHICH
OUTLINES ATTAINABLE AND MEASURABLE STEPS'TO MAKE THE AGENCY
A VIABLE ECONOMIC ENTITY.
· RESPONSE: ]
The budget for F scal Year 1990-91 adopted by the CDDA
on June 8, 1990 nd approved by the City Council on June
27, 1990, does provide performance measurements which are
to be carried out during this upcoming year. Recognizing
the value of a d tailed annual work program the Executive
Director has caused such a document to be created. The
work plan will be utilized monitored throughout the year
to m~%e~ assur~ progress towards reaching %he perfor-
mance measures stated in the adopted budget.
STATEMENT:
THE GRAND JURY R~COMMENDS THAT THE CITY MANAGER OUTLINE
PROCEDURES. SPEQIFIC GUARANTEES SHOULD BE ESTABLISHED,
DOCUMENTED AND WRITTEN INTO PROJECT CONTRACTS. A FORMAt,
SIGN-OFF OF APPROVALS SHOULD BE IMPLEMENTED BEFORE ANY
CONTRACTS ARE SUBMITTED TO THE AGENCY FOR APPROVAL. THE
EXECUTIVE DIRECTO!R~ ECONOMIC DEVELOPMENT DIRECTOR~ CITY
ATTORNEY AND FINANCE DIRECTOR SHOULD FORMALLY SIGN OFF
!
AND BE REQUIRED T~ DOCUMENT ALL OBJECTIONf~ TOGETHER
WITH RECOMMENDATIONS.
-5-
W:M. JW218D
RESPONSE:
Redevelopment iz a tool that was specifically designed
by the State Legislature to be flexible. Each individual
project whether it is being considered by the CDDA or any
other Redevelopment Agency in the State of California is
unique. This means that each project carries with it its
own particular needs. Thus establishing specific guarantees
that are all encompassing may not prove to be practical. To
· ~ ....... When possible guarantees will be incorporated
into any new development agreements. An.example of such an item:
~s that Lf~ the CDDA has included in its financial calculations
the tax increment generated from a proposed project, a clause
will be included in all future contracts that the developer may
not lease or sell to a public agency during a specified period
of time. This will protect the CDDA from the potential loss
of the projected tax increment. The formal sign off recommended
by the Grand Jury is already in place All
~emme~dlng appro-~als of agreements must be signed by the Executive
Director, his
TM ....
~~ the Finance Director and the City Attorney.~-~
STATEMENT:
THE CITY COUNCIL ESTABLISH SPECIFIC GOALS FOR THE AGENCY~ IN
TIMELY FASHION. IF THE GOALS ARE NOT MET~ THE AGENCY'S
CONTINUED EXISTENCE SHOULD BE EVALUATED. THE OBJECTIVES OF
PROVIDING AVAILABILITY OF LOW INCOME HOUSING SHOULD BE
RE-EVALUATED~ AND A FORMAL ANALYSIS AND PUBLIC REPORT BE
ISSUED BY THE CITY COUNCIL REGARDING ITS POSITION FOR THE
AGENCY.
-6-
W:M.JW218E
RESPONSE:
As long as a debt obligation exfsts it is necessary that a
redevelopment agency exist in some form. A legal entity must
be in place to receive the tax increment being generated, adopt a
budget and approve the debt service obligations.
It is agreed that the agency's goals and objective and its
success in meeting them should be evaluated. In regards to
low and moderate income housing the CDDA has expressed its
interest in generating additional housing. The CDDA also
has recognized its limitations and believes its first priority
is to stabilize its fiscal situation before incurring additional
debt as a result of encouraging low and moderate income housing.
STATEMENT:
THE GRAND JURY RECOMMENDS THAT THE CITY COUNCIL ASSESS
THE VALIDITY OF THE AGENCY'S POSITION OF THE 20 PERCENT
SET-ASIDE RULE. THE CITY COUNCIL SHOULD EVALUATE THE
ACTUAL HOUSING NEEDS OF THE CITY OF BAKERSFIELD IN
DETERMINING WHETHER SUBSTANTIAL EFFORT IS BEING MADE TO
MEET THE LOW AND MODERATE INCOME HOUSTNG REQUIREMENTS.
THEY SHOULD ANALYZE AND REPORT ON WHETHER COMMUNITY
DEVELOPMENT BLOCK GRANT MONIES TRULY MEET THE TEST OF
"DISCRETIONARY,, FUNDS PAID DIRECTLY TO THE COMMUNITY.
COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS MAY NOT BE
CONSIDERED DISCRETIONARY BECAUSE THE USE OF THESE FUNDS
IS DETERMINED WHEN THE CITY APPLIES FOR THEM.
W:M.JW218F -7-
RESPONSE:
t%"'is
..... car as to ~t~a~~a-n~-Jury ~s a~e~a~--~o
~ .... t .... e--~e~F--~e, cent houslng set-aside.
The Agency has complied fully with Section 33334.2 of the
Health and Safety Code. To quote from this section: "In
addition .to any other local funds, these direct financial
contributions may include federal or state grants paid directly
to a community and which a community has the discretion of
using for the purposes'for which moneys in the low and moderate
income h~sing fund may be used". (As required by Section
33334.2a copy of the equivalent efforts has been forwarded
to the State of'California for their review).
The CDDA has, for the past several years, made a finding
that the housing rehabilitation programs funded by the City.
of Bakersfield through the use of Community Development
Block Grant (HUD) exceeds the equivalent effort requirement
of Section 3334.2
STATEMENT:
THE CITY COUNCIL REVIEW THE ACTIONS BEING CONTEMPLATED
BY THE AGENCY. THEY SHOULD PRE-APPROVE SETTLEMENT
PARAMETERS FOR THE AGENCY. IN THIS CONNECTION~ EVERY
EFFORT SHOULD BE MADE TO PURSUE THE. INCREMENTAL TAX STREAM
WHICH WILL BE DERIVED FROM A SUCCESSFULLY COMPLETED
PROJECT. HOWEVER~ PARAMETERS NEED TO BE ESTABL'ISHED TO
PREVENT'THE AGENCY FROM MAKING AN ARBITRARY SETTLEMENT.
W:M.JW218G
RESPONSE:
........... Yaguc ~ ....
~^~ to t½
she~f-~-~ee~ ~he p~oeedu~e fo~ the settlement of any
litigation by the CDDA mi~o~s these p~oeedu~es followed by
the City of Bakersfield. Settlement offers a~e initiated oP
accepted bY the City Atto~ney,s Office, wo~kin~ in conjunction
with the City ManaEeP and the affected city depaPtment. This
team consults with the enti~e City Council in closed sessions.
Direction and parameters of future negotiations a~e then ~iven
to the staff by the City Counoil. Approval of any final
settlement is based on a detailed p~esentation' to the City
Council by the staff members directly involved.
The ~eeent settlement of the liens and claims involvin~ the
Convention cente~ Hotel ~equi~ed extensive discussion with
(and app~ovat by) both the City Council and the CDDA.
STATEMENT:
THE AGENCY ONLY PURCHASE LAND FOR SPECIFIC PROJECTS OR
AS PART OF.A SPECIFIC PROJECT AREA WORKPLAN FOR THE
DISTRICT'S REDEVELOPMENT. LAND WHICH WAS PREVIOUSLY
ACQUIRED AND FOR WHICH THERE IS NOT A CURRENT PROJECT
SHOULD BE RELEASED PUBLICLY FOR SALE TO PRIVATE PARTIES·
LAND HOLDINGS WOULD BE LIQUIDATED TO ASSIST IN
ESTABLISHING FINANCIAL VIABILITY OF THE AGENCY OR TO
REDUCE DEBT·
W:M.JW218H -9-
RESPONSE:
......... ~ .... wzshos to~o ~,~ _The practice of land-banking
has long since been abandoned. The CDDA concurs with the Grand
Jury that property should be acquired only as part of a
specific project ~^ ~A ~ .... ~^ ~,,~^ ~ ~
~~~ ~fforts are currently being exerted to identify private
projects which would encompass two of the parcels owned by
the CDDA. The land holdings will be disposed of should a
project be identified which would contribute to the revitalization
of the project area.
STATEMENT:
THE GRAND JURY RECOMMENDS THE BOARD OF SUPERVISORS
WATCH CLOSELY THE GROWTH OF REDEVELOPMENT IN KERN cOUNTY
BECAUSE OF THE IMPACT IT HAS ON THE TAX STRUCTURE OF THE
ENTIRE COUNTY. IT IS INCUMBENT ON THE SUPERVISORS OF KERN
COUNTY TO MONITOR ALL REDEVELOPMENT AGENCIES WITH A ViEW
TOWARD ADVOCATING AND SUPPORTING STATEWIDE LEGISLATION.
RESPONSE:
Since the statement was addressed to the Board Of Supervisors,
there is no need for the City of Bakersfield to respond.
STATEMENT:
IN VIEW OF THE LACK OF DOCUMENTS THAT WERE EITHER MISSING
OR BURIED IN BACK FILES AND COULD NOT BE MADE AVAILABLE
TO EITHER THE GRAND JURY OR TO THE AUDITING FIRM, AND
SINCE NEARLY EVERY INCORPORATED CITY IN KERN COUNTY HAS
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W:M.JW218I
ENTERED INTO SOME TYPE OF REDEVELOPMENT WHICH AFFECTS
BOTH THE CITIES AND THE COUNTY TAX BASE~ THE GRAND JURY
RECOMMENDS THAT THE COUNTY~ IN CONJUNCTION WITH EACH
CITY DUE TO THE AMOUNTS OF FUNDS INVOLVED~ CAUSE A FINANCIAL
AUDIT TO BE CONDUCTED EACH AND EVERY YEAR~ AND THE RESULTS
OF THOSE AUDITS TO BE REVIEWED AND PUBLISHED BY THE BOARD
OF SUPERVISORS.
RESPONSE:
Although this item was also directed to the Board of Supervisors,
the CDDA~ishes to advise ~
......... d Jur~ that an audit is already
performed on an annual basis . Copies of this audit are available
upon request. It should be noted that the Deputy Executive Director
informed the Grand Jury .......... ~
........ opmcnt) .... ~^
............ e that the documents requested were
available and issued an invitation
to have the audit firm review them.
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W:M.JW218J
-11-
EXISTING
17.60.030 "Outdoor advertising sign" means a sign that is
#2? rented or leased for limited durations (maximum 4. d. Where such parcel is permitted two or PLANNING COMMISSION
thirty-six months), has temporary or changeable more freestanding signs, the distance RECOMMENDATION
copy, and is not to be used as permanent off- between any of such signs shall be not
premises identification sign for a business or less than fifty feet, no~ less than
activity, and directs attention to a business, twenty-five feet from a~ adjoining inte- Prohibit new outdoor advertising signs. Existing signs remain as
profession, product, commodity or service that is riot lot line. ' nonconforming.
not the primary business, profession, product, com-
modity or service conducted, sold, manufactured or 17.60.170 '~r~i'tted in M~I
offered on the site on which the sign is located:
such sign may also be referred to as a billboard. A. The following signs are permitted in M-1 and M-2 URBAN DEVELOPMENT COMMITTEE
districts: RECOMMENDATION
17.60.080 Specific Prohibitions. The following signs, in
addition to other signs prohibited in this chapter, 2. Outdoor advertising signs not exceeding three
are specifically prohibited: hundred square feet in area, excluding cut-
outs or extensions not exceeding thirty Amend the existing ordinance to:
G. Outdoor advert%sing ,signs except as permitted square feet in area, and not exceeding fifty
in the C-2, M-1 and M-2 districts~ feet in height, except that: 1. Increase the distance between outdoor advertising signs to
.. 1,000 feet in all directions.
N. Notwithstanding any provision to the contrary a. Such signs shall be at least three hun-
contained in this chapter, no freestanding dred feet apart on the same side of a 2. Prohibit outdoor advertising signs within 1,000 feet of res-
sign (other than monument signs and direc- public street within the same block, idential zones.
tional signs, as defined in Section -
17.60.030) and no outdoor advertising signs b. Such signs shall not project over public 3. In addition to Truxtun Avenue, prohibit outdoor advertising
shall be permitted on property within the property or any public right-of-way, signs along or within 1,000 feet of:
area described and circumscribed as follows:
c. Where such sign has two faces back-to- a. Highway 178 east of Oswell Street
[Legal description of area along Truxtun Avenue back which faces are at no point more
from Highway 99 to Coffee Road.] than two feet apart, the two faces of the b. Alfred Harrell Highway
, sign shall be substantially equal in
17.60.160 Permitted in C-2 district, area; c. Stockdale Highway west of New Stine Road
A. The following signs are permitted in the C-2 4. a. Two freestanding identification signs, d. Panorama Drive
district= not exceeding three hundred square feet
in area in aggregate, for each street 4. Prohibit outdoor advertising signs over or on buildings.
2. Outdoor advertising signs not exceeding three frontage of a developed parcel of prop-
hundred square feet in area, excluding cut- erty and which do not project over public 5. Clarify the applicability of separations and setbacks by
outs or extensions not exceeding thirty-five property or any public right-of-way, and restating them in the section addressing outdoor advertising
feet in height, except that: are located a minimu~ of twenty-five feet signs.
from an adjoining interior s~de lot line.
a. Such signs shall be at least three hun-
dred feet apart on the same side of a c. The distance between any of such signs p/oas
public street, shall be not less than fifty feet.
b. Such signs shall not project over public
property or any public right-of-way,
c. Where such sign has two faces back-to-
back which faces are at no point more
than two feet apart, the ~two faces of the
signs shall be substantially equal in
area;...