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HomeMy WebLinkAbout07/03/2008 B A K E R S F I E L D Staff: Rhonda Smiley Zack Scrivner, Chair Rick Kirkwood Harold Hanson Ken Weir SPECIAL MEETING NOTICE PLANNING AND DEVELOPMENT COMMITTEE of the City Council - City of Bakersfield Thursday, July 3, 2008 1:00 p.m. City Managers Conference Room, Suite 201 Second Floor- City all, 1501 Truxtun ty Avenue, Bakersfield CA A G E N D A 1. ROLL CALL 2. ADOPT THE MAY 6, 2008 AGENDA SUMMARY 3. PUBLIC STATEMENTS 4. DEFERRED BUSINESS A. Update ate on Traffic p afflc Impact Fees—Tandy/ Rojas/Shaw B. Update on Maintenance Assessments for Special Storm Drain Facilities Required i q n Response to the Clean Water Act— Rojas/Shaw 5. COMMITTEE COMMENTS 6. ADJOURNMENT S:\Council Committees\2008\08 Planning and DevelopmentUuly\08 July 3 agenda.doc B A K E R S F I E L D Zack Scrivner, Chair Wh-ohda Smiley, A ' tant to the City Manager/ P.I.O. Harold Hanson For: Alan Tandy, City Manager Ken Weir AGENDA SUMMARY REPORT Regular Meeting of the PLANNING AND DEVELOPMENT COMMITTEE Tuesday, May 6, 2008 — 1:00 p.m. City Manager's Conference Room — Suite 201 City Hall, 1501 Truxtun Avenue, Bakersfield CA The meeting was called to order at 1:09:12 PM. 1. ROLL CALL Present: Councilmember Zack Scrivner, Chair Councilmembers Harold Hanson and Ken Weir Staff present: Alan Tandy, City Manager Jim Eggert, Assistant Planning Director Rick Kirkwood, Management Assistant Jennie Eng, Principal Planner Steven Teglia, Administrative Analyst III Raul Rojas, Public Works Director Ginny Gennaro, City Attorney Brad Underwood, Asst. Public Works Director Nelson Smith, Finance Director Marian Shaw, Civil Engineer IV Jefferson Billingsley, Associate Attorney Darin Budak, Parks Superintendent Ken Trone, Recreation & Parks Mark Lambert, Engineer I Steve Hollingsworth, Gen. Services Superintendent Others present: James Geluso, Bakersfield Californian Cal Rossi, McMillin Land Development Cathy Williams, McMillin Land Development Tom Carosella Roger McIntosh, McIntosh & Associates Barry Nienke, Kern County Roads Nick Izadpanah, Parsons Chris Clark, Parsons Lee Jamison, JACO Tonya Short, HBA of Kern County Dave Dmohowski, Premier Planning Group Adam Terronez, Leighton Constructing Bo Lundy, JBL Commercial Group, Inc. Planning and Development Committee May 6, 2008 Page 3 Building Director Jim Eggart provided a brief overview of the options available and the costs involved. For freeway walls ten feet plus in height, the cost comparison for scored/split face surface ($345,000 - $420,000 per 1/a mile) is approximately 5% higher than the smooth face surface ($330,000 -$400,000 per 1/a mile). There is an approximate 45% difference in cost between smooth face surface ($726,000 per 1/a mile) and scored/split face surface ($1,056,000 per % mile) for poured in place construction along SR 178 and Fairfax Road. Staff recommends providing a 40% texture on block walls and to plant vines on the freeway side of the block walls. For poured in place wall construction, staff recommends the use of a smooth face surface and to plant vines on the freeway side of the block walls. In regards to subdivision walls, staff recommends a minimum 40% texture for all subdivision walls. For subdivision walls along freeways, a minimum 40% scored faced, vines and irrigation system, and a ten foot-wide maintenance road for accessibility. Ultimately, the decision to construct a poured in place or block wall, is subject to engineering criteria and mandates. Committee member Harold Hanson made a motion to accept staff's recommendation regarding the freeway walls and subdivision walls and to forward to Council for ratification. The motion passed with all ayes. Committee chair Scrivner requested Cal Rossi of McMillin Land Development to provide an update regarding existing wall issues. Mr. Rossi reported that McMillin Land Development will meet with City Parks and Recreation staff and Caltrans staff to coordinate an effort to turn a portion of the Hwy 99 City right-of-way over to Caltrans. They will also meet with City staff regarding options on funding for the remaining portion of the block wall located on South Hwy 99 between Panama and Taft Hwy. B. Update on Traffic Impact Fees—Tandy/ Rojas/Smith City Manager Alan Tandy provided a brief background on the Transportation Impact Fee for those who did not attend the last meeting. Public Works Director Raul Rojas explained that fees are based upon growth expectations, transportation facilities and their costs, and the effect of various land uses on the transportation system. City and County staff and their consultants have been meeting and corresponding regarding this issue. Staff is close to having the numbers, but they are not ready for publication. Mr. Rojas added that time is needed to come back to Committee with a final number. Committee chair Scrivner asked staff to develop the final numbers, meet with the stakeholders and at that point, come back to the Committee with the information. Tom Carisella (developer) questioned the large increase of fees all at once and asked staff if there is some way the impact fees can be phased-in. Mr. Tandy explained that the new fees are not in effect for vested maps. Maps which vest prior to the adoption of the fee, will continue to have the fee that was in place at the time of vesting. However, they may be subject to the annual cost of living index increase. Civil Engineer Marian Shaw added that there are two different timelines for vesting. Once a map is approved by the Planning Commission, it has an initial life of three years. It can be extended by application for an additional five years. However, if in that period a developer records a phase of their map, the second part of the vesting rights issue begins. Upon recordation of a phase of the map, the vesting rights last for one year. If all permits are not pulled Planning and Development Committee.- May 6, 2008 Page 4 within that year, the fees go to the current rate. Committee chair Scrivner asked staff if developers have an opportunity to apply for a one-year extension on a recorded map. Ms. Shaw responded that a developer can apply for an extension of vesting rights on a recorded map. However, Council has a policy to deny those based on a loss in fees to the City. Mr. Tandy added that the state legislature is considering amendments to the Map Act which will extend the vesting period of maps, resulting in the extension of the initial fees prior to recordation. 6. COMMITTEE COMMENTS None 7. ADJOURNMENT The meeting adjourned at 2:03:37 PM. cc: Honorable Mayor and City Council members Planning and Development Committee May 6, 2008 Page 2 2. ADOPT THE APRIL 3, 2008 AGENDA SUMMARY Adopted as submitted. 3. PUBLIC STATEMENTS None 4. NEW BUSINESS Committee member Harold Hanson made a motion to move NEW BUSINESS before DEFERRED BUSINESS. The motion passed with all ayes from Committee members. A. Review of Maintenance Assessments for Special Storm Drain Facilities Required in Response to the Clean Water Act— Rojas/Shaw Public Works Director Raul Rojas gave a brief background of the Clean Water Act and the National Pollutant Discharge Elimination System (NPDES) which require municipalities to implement policies and standards to minimize or eliminate pollutants into rivers and canals. Civil Engineer Marian Shaw added that these policies and standards obligate the City to require developers to install separators which clean out silts, sediments, paper and other materials which could contaminate the ground water, clog the sumps and prevent proper drainage. The separators are additional to the standard storm drain system and staff estimates the annual cost to maintain these structures to me approximately $2,400. No funding is associated with compliance to the additional requirements of the Clean Water Act. Ms. Shaw presented to City Attorney Ginny Gennaro potential changes to the maintenance district ordinance which would allow the City to collect a maintenance assessment fee for these structures. Committee chair Zack Scrivner asked if the City would have to retrofit all existing sumps to accommodate the separators. Mr. Rojas advised that eventually this will take place. However, staff would have to review the NPDES permit to verify time frames. Committee chair Scrivner asked staff if there would be any legal issues involved with having a mechanism put into place for existing residences to pay additional sewer fees in order to make the process equitable to the new development requirement. City Attorney Gennaro replied that she did not see any legal issues involved, but added that staff should take a look at the ordinance and come back to the Committee with recommendations. Ms. Gennaro also added that the ordinance is ready for first reading if that is the direction the Committee wants to take. 5. DEFERRED BUSINESS A. Update on Standards for Block Walls Along Freeways— Movius/ Rojas At the last meeting staff was asked to provide supplemental information regarding block wall standards. A memorandum was provided to the Committee to address questions regarding the type of vines along the freeway wall through Mc Farland, surface options for wall areas without vines and relative cost difference for block wall surfaces. Assistant B A K E R S F I E L D CITY OF BAKERSFIELD PUBLIC WORKS DEPARTMENT MEMORANDUM TO: Planning and Development Committee FROM: Raul Rojas, Public Works Director DATE: June 4, 2008 SUBJECT: Transportation Impact Fee Update — Phase IV City and County staff have held two stakeholder meetings since the last Planning and Development Committee meeting. These were held at the County Public Services Building First Floor Conference Room on May 23 and May 27. Several issues were raised peripheral to the fee itself and City and County staff is working on answering these questions. A list of these questions and the status of the answers is attached. Also attached are the sign in sheets from the meetings. The following is an outline of City and County staff's progress to date: 1. Household and Employment Growth through 2035: a. Parsons and KCOG developed the growth projections for both households and employment based upon our historic growth rate of 2% in the metro area—the "socioeconomic data". b. Parsons, KCOG, and City and County staff assigned that growth to various areas of the Metropolitan Bakersfield area based on our historic growth patterns. Attached are copies of a map showing household growth through 2035 compared to the build out growth allowed by the current General Plan. 2. Model Validation and 2035 Model Runs a. Parsons validated the 2006 traffic model against current traffic count information. b. KCOG, City and County staff collaborated on the preliminary 2035 circulation system. c. KCOG prepared model runs using the 2035 circulation system and the 2035 socioeconomic data. d. City and County staff reviewed the model run and adjusted the preliminary 2035 circulation system to remove those segments not needed by 2035. A copy of the KCOG model run showing the Level of Service will be available at the City Manager's Office. 3. Facilities List a. Using the model run referenced above, City and County staff started developing the Facilities List for 2035. b. A preliminary version of this list was presented to the stakeholders at our May meetings. A copy of this list is attached. As of yet we have not received any comments. c. The Facilities List is still being refined to account for the TRIP match and to eliminate duplicate projects. 4. Determination of Cost of Facility List a. Ruettgers and Schuler, as the county's consultant, and Parsons, as the City's consultant, prepared cost estimates for the projects on the Facilities List. b. With the help of City and County staff, the consultants parsed the Facilities List for Core and Non-Core Area projects and arrived at draft cost numbers for both areas for use at the May stakeholder meetings. c. The draft facility costs were approximately$92,000,000 for the Core area and $2,000,000,000 for the Non-Core area. 5. Vesting Analysis a. City staff determined the number of lots with vested rights within the City of Bakersfield—35,716. b. County staff determined the number of lots with vested rights within the unincorporated area of the Metropolitan Bakersfield area—3,071. c. City staff, using information on the effect of vesting on the Phase III fee receipts, is preparing an analysis on the effect of lots with vested rights on the Phase IV receipts. d. For an initial analysis, it was assumed that roughly 70% of these lots would retain their vested status and pay the Phase III fee rather than the Phase IV fee. Note: The more vested lots retain their vested rights, the higher the fee has to be. 6. Draft Fee Schedule a. Using the Household and Employment growth from La, the Facilities Cost determined in 4.c above and the assumed effect of vesting lots in 5.d above, and initial fee schedule was developed and was presented to the stakeholders at the May meetings. See attached. 7. Nexus Document a. All of the documents referred to above will be exhibits in the nexus document when complete. Staff will continue to refine the Facilities List and the cost. We will continue to take comments from the stakeholders and relay them to the Council Committee. 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The following documents were distributed during the Regular Meeting of the Planning and Development Committee Meeting of July 3, 2008 -00-1101 0 11or B .A K E R S F I E L D Alan Tandy • City Manager June 17, 2008 Darryl Tucker, President Home Builders Association of Kern County P O Box 1848 Bakersfield, CA 93303-1848 Dear Mr. Tucker: I am in receipt of the letters dated May 29, 2008 and June 9, 2008 from the HBA concerning Traffic Impact Fees (TIF). Listed below are responses to your questions and concerns: • Bonds supported by impact fees are one of the most expensive financing options. Interest is charged three times. on the construction loan, on the home mortgage and on repayment of the bonds. We fear that the riskiness associated with pledging impact fees to fund debt service will result in excessive debt service coverage and financing costs. Impact fees are not a secure source of revenue since they rise and fall with the level of construction. o Because the revenue from them is tax exempt, municipal bonds carry extremely low interest rates which more than offset issuance costs and they are a financially advantageous means of financing capital improvements. It is unclear what you would propose as an alternative as traditional forms of private sector financing are clearly more expensive. It is unfair and unreasonable to characterize a municipal bond issue as carrying interest three times. The City has no role in determining how a developer or a home buyer chooses to finance their activities. Municipal bond rating agencies and insurance firms serve to protect the interest of bond buyers. They have a "belt and suspenders" approach to covering risk from economic cycles and other conditions. As we get closer to debt issuance, which is about five years away, they will look back to a variety of forms of security. The City of Bakersfield has an excellent credit rating and a conservative approach to finances, which usually results in our bonds being insured as well. Traffic impact fees are based upon the relative traffic impacts of the various land uses. As a reference, we use the internationally recognized Institute of Transportation Engineers' "Trip Generation Manual". Land Use 210 — Single Family Detached Housing, is analyzed four different ways, using Dwelling Units, Persons, Vehicles and Acreage as the independent variable. Each analysis uses hundreds of studies. The studies do not bear out the implied assertion that traffic impacts decrease with dwelling size. Clty of Bakersfield • City Manager's Office • 1501 Truxtun Avenue Bakersfield • California • 93301 (661) 326-3751 • Fax(661) 324-1850 Home Builders Assn of Kern County June 17, 2008 Page 2 In any event, you criticize our proposal, but you put forward no alternate. Matching funds for the TRIP monies have to be generated at a level that is beyond cash flow. What is your proposal? • Increasing the TIF to fund transportation development bonds hinders economic development efforts and will delay the housing recovery. The homebuilding industry anticipates that entry level housing will lead Bakersfield and the Central Valley out of the current market downturn. Since impact fees are not scaled based on home size or price, they place a disproportionate burden on lower-income households. They increase down payment requirements and closing costs, which are based on a percentage of home prices. o Your question does not recognize that vested maps carry the fees that were in place at the time of vesting. There are more than enough vested maps to cover the next five years of growth and to get through the current downcycle. While it is reasonable to recognize that any government fee is a deterrent to economic growth, your questions raise the fundamental point of this issue. An inadequate and gridlocked transportation system also deters economic growth. The many predatory interests out there that use CEQA filings to prevent growth will win these cases if the transportation system is inadequate. The TRIP funds are a unique blessing and opportunity to lower, through the use of federal funds, local costs to get an adequate transportation system. They require a match, however, without which we will not be able to use them. • Increasing the TIF will create a disincentive for voters to approve a sales tax increase to pay for transportation improvements. o Why is that? The average citizen and taxpayer wants to be sure that the developers and new growth are paying for their fair share of transportation improvements as a precondition to taxing themselves. Not charging developers a "fair share" would encourage voter rejection! • Contingency plan if TIF is insufficient to fund debt service. o Because of the incredibly positive opportunity that TRIP funds present, the City and County will have to have contingency plans in the event of inadequate TIF's. As we go through the five years prior to bond issuance, and as construction costs, revenue levels and other contingent circumstances are clarified and refined, the specifics will be developed as necessary. • Other sources of revenue considered to pay debt service on the proposed bonds. • The City and TRIP team applies for every possible grant from the federal or state government for more project money. • TRIP funds themselves, not developer fees, provide $630 million. • The City Council has authorized our pledge of gas tax. • The County has offered the equivalent of a General Fund pledge. • The City will identify other sources, if necessary, as time passes and as conditions warrant. While it might satisfy your curiosity for us to speculate about hypotheticals five years early, we have public safety concerns to deal with, union negotiations in progress and other obligations to consider as well. Home Builders Assn of Kern County June 17, 2008 Page 3 • Promised TIF derivation. o Please see the nexus study when it is available. • The contact for information regarding the nexus study is Marian Shaw, Civil Engineer IV at 326.3724. The other consultants involved include: • Barry Nienke, Kern County • Warren Maxwell, Kern County • Ruettgers and Schuler Civil Engineers • Bob Scales, Parsons • Chris Clark, Parsons • Status of nexus study. o The nexus study will be provided to you on its completion, which is estimated to be in or around July 5, 2008. • Current TRIP projects are coming in as much as 30-40% under budget (ex: Fairfax Road: actual - $22 million/budgeted - $29 million; Allen Road. actual - $16 million/budgeted- $22 - $24 million). Please provide information on the proposed mechanisms to evaluate construction costs and adjust the proposed TIF amount accordingly. o Per our ordinance, we have to do an annual review of the fee schedule and facilities list to "account for changes in the Regional Transportation Facilities List, changes in cost estimates for the various projects on the list, and any other item which would change new developments proportionate share of the cost of the Regional Transportation Facilities List" (BMC 15.84.040E) • Fee credit and reimbursement policies related to the proposed TIF. o At this time, no changes are proposed to be made to the current policies regarding fee credits and reimbursements. Upon request, developers are able to receive credit against the cost of their TIF improvements constructed (actual costs or costs as listed in the Facilities list, whichever is lesser) via a "Traffic Improvement Fee Credit Agreement". The City's ordinance allows for credits and refunds only — no reimbursements. • Any documents related to the proposed TRIP financing plan that will be submitted for City Council's consideration. o We will make these available at the time they are released to the City Council. jSinc nd y nager cc: Honorable Mayor and City Council Virginia Gennaro, City Attorney Raul Rojas, Public Works Director Marian Shaw, Civil Engineer IV Nelson Smith, Finance Director B A K E R S F I E L D PUBLIC WORKS DEPARTMENT MEMORANDUM TO: ALAN TANDY, CITY MANAGER FROM: RAUL ROJAS, PUBLIC WORKS DIRECTOR ,., DATE: June 5, 2008 SUBJECT: STORM WATER MAINTENANCE ASSESSMENTS FOR ADDITIONAL INFRASTRUCTURE REQUIRED BY THE CLEAN WATER ACT At the suggestion of Councilman Scrivner at the last Planning and Development committee meeting, staff has investigated the issue of applying a storm water maintenance fee for the CWA-required separators on a City-wide basis through the sewer user fees. It has been determined that this is a reasonable extension of the current program. Staff will also include the cost to retro-fit the existing sumps with these units. Public Works staff has checked with the City Attorney's Office and pursuing this option does not require any changes to our current ordinances. Staff will not be pursuing modifying our Maintenance District ordinance to accommodate this maintenance charge. Instead, staff will work with the City Attorney's Office and the Finance Department on including this item in the future sewer user fees and will bring it back to the committee at a later date cc: Nelson Smith, Finance Director Flom Core, Water Resources Manager Robert Sherfy, Deputy City Atiomey GAGR0UPDAT\Memo\2008\Tandy Storm water Maintenance Sewer Fees.doc Planning and Development Committee Media Meeting Notification for Thursday, July 3, 2008 06 PAX List Idols dalp E Newyork[B. = 4 910 fl ® r Date/Time To/from/fIb FaxNumbmlEms.. Pa9er/Bytes Lem, Account tom® * 6127/20088:49AM Bruce Feeman Matta Una -(,;J Commur * 664.6030 1 pgs MN 6/27/20088:49 AM Ron Brummett 3248215 1 pg. 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O OK MN * 6/27/20088:49 AM News Director-Chamber... 3278751 Pes OOK MN 627200R A 49 AM N. c llirertnr KI I Y 95 F 391.1915 7 nos O OK MN 4 J O nK MI'A ~ —�37 faxes listed Page 1 of 1 Michelle Muniz - Planning and Development Committee Meeting From: Michelle Muniz To: Department Heads Date: 6/27/2008 8:28 AM Subject: Planning and Development Committee Meeting CC: Dept. Assistants - Committee Dist.; Lorenzi, Georgina; Movius, Jim; Shaw, Marian Attachments: Dept. Assistants - Committee Dist.; Lorenzi, Georgina; Movius, Jim; Shaw, Marian Good morning, Please find attached the Planning and Development Committee Meeting Agenda for Thursday, July 3, 2008. Thank you and best regards, Michelle Muniz, Secretary BAKERS-FIELD City Manager's Office 1501 Truxtun Avenue Bakersfield, CA 93301 Tel. 661-326-3751 Fax. 661-324-1850 file://C:\Documents and Settings\mmuniz\Local Settings\Temp\XPgrpwise\4864A49DCO... 6/27/2008 Page 1 of 1 Michelle Muniz - Planning and Development Committee Meeting From: Michelle Muniz To: adriantm@aol.com; bdecker @mcmillin.com; btodd @briantoddconsulting.com; craig333 @gmail.com; daved @projectDesign.com; dcarpenter @sikand.com; dennis @skycos.com; gnipp @att.net; jcnickel @nfllc.net; jgeluso @bakersfield.com; jlnickel @nfllc.net; kburton @youngwooldridge.com; lorraine.unger @sierraclub.org; love3 @bak.rr.com; Mbeck13 @bak.rr.com; sblunck @castlecooke.com; szimmerman @griffinindustries.com; tmitchell @mcintoshassoc.com; tonya @kernhba.com Date: 6/27/2008 8:28 AM Subject: Planning and Development Committee Meeting Attachments: Good morning, Please find attached the Planning and Development Committee Meeting Agenda for Thursday, July 3, 2008. Thank you and best regards, Michelle Muniz, Secretary D City Manager's Office 1501 Truxtun Avenue Bakersfield, CA 93301 Tel. 661-326-3751 Fax. 661-324-1850 fileWCADocuments and Settings\nununiz\Local Settings\Temp\XPgrpwise\4864A496CO... 6/27/2008 PLANNING AND DEVELOPMENT COMMITTEE MEETING Thursday,July 3,2008 ATTENDANCE LIST Name Organization Contact: Phone/ E-mail �Y Key" IQQ�4' L � J� � cX 231 ✓� � �.J,�..-� �r vbb ellA 1 -�:Ct;r1Cl 06r G VY1 IZi G iC �iN lvi NC2�{2�(�t� S'��-�GvY( ���c�-2.fn m�er�r�C �Ccr►-� f ti COY h lDLka,\e 4�za4KU CB �iL�la�rc� ill (5 �uart e • I<ea+ e , c o� �ilCe,✓'t ��- C-� IY.l.�4 � '�' V r L�I�v !>' � G�,�., l:✓,�^- �?11 e Ka r'� 4,10 K ( -� 5 D--- Cl. �' '-jC T7k__�7 So c o was tI)(A IRCaSSaG\�-'C 4" t rk 3 v L:L11 cz. , 11 C b'( p -��a� �e c 1 � V 14..E h,r G�1, ' T�► Q V�4�►Y'L V! 1 ► G Cw //iG//'ltA L&t VLV, crossi � � A.,,6 � 66r 20 - u ,7Ai