SALINAS CITY
COUNCIL/REDEVELOPMENT AGENCY
MARCH 25, 2008
The meeting convened at 4 p.m.
Present:
Mayor/Chairperson Dennis Donohue
Council/Agency member Janet Barnes
Council/Agency member Tony
Barrera
Council/Agency member Jyl Lutes
Council/Agency member Sergio Sanchez
Absent:
Council/Agency member Gloria De La Rosa
Council/Agency member Steve Villegas
Also present:
Deputy City Manager/Acting Executive
Director John Fair
City Attorney/Agency Counsel
Vanessa Vallarta
City Clerk/Agency Secretary Ann Camel
CONSENT RESOLUTION
Upon motion by
Councilmember Barrera and second by Councilmember Barnes, the Council voted
unanimously to approve the Consent Agenda.
Absent: Councilmembers De La
Rosa and Villegas.
The Consent Agenda consisted of the following items:
SALINAS CITY COUNCIL
1.
Approved minutes of
March 18, 2008.
2.
Accepted financial
claims report.
3.
Approved
appointment of the regular representative, Rafael Vasquez, to the Grievance
Board.
4.
Adopted RESOLUTION
19421designating the chrysanthemum as the Salinas City flower.
5. Adopted
RESOLUTION 19422a approving the City of Salinas budget for the use of
Proposition 1B Streets and Roads Program Funds, for street resurfacing through
out the City.
6.
Adopt RESOLUTION approving
award of contract in the amount of $8,070,000 (Base Bid 1+2) to BRCO
Constructors, Inc. for the Salinas Municipal Aquatic Center, Project No. 9761,
and authorize the use of $200,000 from recreation fees collected from Rodeo
ticket sales for project.
This
item was continued to April 8, 2008.
SALINAS REDEVELOPMENT AGENCY
1. Approved minutes of March 18, 2008 meeting.
2. Approved financial claims report.
JOINT CITY
COUNCIL/REDEVELOPMENT AGENCY CONSENT ITEM NO. 3, $1 Million Loan to Interim,
Inc. for 29 Sun Street.
David Brown
and Victor Mehia, SUBA, requested a report on Sunset Avenue Redevelopment Area
funding spent outside of the redevelopment area. Council/Agency members Barrera and Sanchez requested staff to
provide a report.
COUNCIL ACTION
Upon
motion by Council/Agency member Barnes and second by Council/Agency member
Sanchez, the Council/Agency voted unanimously to adopt RESOLUTION 19423a (NCS)
and RESOLUTION 860 (SRA) to approve the $1 million loan to Interim Inc., for 29
Sun Street, and authorize the Executive Director and City Manager to prepare
and execute Loan documents for said transaction. ABSENT: Council/Agency members
De La Rosa and Villegas.
The Redevelopment Agency adjourned at 5:40 p.m..
CONSIDERATION
1. Transportation Agency of Monterey County (TAMC) Proposed
Sales Tax and Regional Impact Fee Direction to Staff
Councilmember
Lutes and Mayor Donohue reported that they and Councilmember Villegas met with TAMC
representatives. TAMC requested Salinas
to reconsider its stand requiring the linking of the regional impact fees and
sales tax in the spirit of cooperation of regional economic vitality. Councilmembers Lutes and Villegas and Mayor
Donohue support not linking the fees and sales tax if the three-zone proposal
is expanded to a four-zone proposal. With
the four zones, Salinas would not be paying for improvements in North County,
and it would reduce the cost per unit by $200.
Additionally, development fees collected within a zone would fund
projects in said zone.
TAMC
Executive Director Debbie Hale stated that impact fees would be largely spent
within the zone, but there would be some funding for impacts near the zone. Ms.
Hale stated that if the sales tax were not approved, the fee money would go to
the area where the impacts of the project occur. The TAMC Board would have to decide to build some subset of the
project based on the percentage of available funding. Ms. Hale clarified that the Board approved Salinas’
recommendation for the sales tax plan by adding the weighted vote per
population, i.e. a 2/3 vote of TAMC plus a weighted vote, so no change unless
they have both.
Mayor Donohue
stated that where the fees go is not open to discussion, i.e. they stay within
the zones, understanding that all development has a slight regional
impact. If the sales tax does not pass,
the Council would not be open to the pool of money being moved around for other
purposes.
Ms. Hale
stated that the strategic expenditure plan is important for that reason. If the sales tax is not passed, they would
have to look at it, and parts of some projects would not be built.
Brian
Finegan, representing Salinas area developers, stated that his clients have
asked for an iron clad commitment that if the sales tax is not passed, the fee
will be spent within this zone. TAMC is
not recommending that at all tonight.
Salinas would still be paying $22 million for Highway 156 improvements,
which does not help congestion in Salinas in any measurable way.
Ms. Hale
stated that the nexus study could be legally challenged if Salinas does what
Mr. Finegan is proposing. She
appreciates the concerns about using the money outside of the zone, and it
would be used outside of the zone only to the extent allowed. The proposed Highway 156 improvements cannot
occur without the sales tax. The fee
program money would be for smaller improvements, e.g. frontage roads.
In response
to Mayor Donohue, Ms. Hale stated that you cannot put more money in the zone
than the nexus study says. They would
make an interpretation. If questioned,
there would be a whole new nexus study in order to interpret it as strictly as
Salinas would like, and it would take another eighteen months. It would be a different fee. Caltrans would withdraw their letter because
their concerns would not be addressed.
Ms. Vallarta
stated that she agrees with Ms. Hale that some portion of Salinas’ fees would
not stay strictly within the City, and if the Council’s direction is followed
there should be some reexamination of the nexus study.
Ms. Hale asked if Council’s desire would be satisfied by a rewording to the
effect that there would be a priority for funds raised within the zone to stay
within the zone. That would mean
eventually the projects outside of the zone would be reached, but this would
get to the notion that money would stay within the zone first.
Ms. Vallarta
stated that this would return for official adoption by the Council, and the
Council would have the opportunity to review the language. It would go to all the cities and have some
uniformity in that regard.
Mr. Finegan
stated that his personal standpoint is that this is a reasonable compromise,
but he has not reviewed it with his clients.
COUNCIL
ACTION
Upon
motion by Councilmember Lutes and second by Councilmember Sanchez, the Council
voted unanimously to reverse their policy direction that had required linking the
sales tax and the regional impact fee, conditional upon the establishment of
four zones and that the priority for funding would remain within the zone. Absent:
Councilmember De La Rosa and Villegas.
ADMINISTRATIVE
REPORT
1. 2008 City Capital Improvement Program and
Transportation Project Status Report / Update
Frank Aguayo,
Senior Civil Engineer, presented his report.
The Salinas City Council met in closed session at 7:20 p.m. pursuant
to:
a. Government
Code section 54956.9(a), pending litigation, Thomas Huff v. City of Salinas
(Worker’s Compensation Appeal Board Case Numbers SAL92555, SAL92566, SAL113831,
and SAL114203).
b.
Government Code Section 54956.8, conference with real property
negotiators City Manager Dave Mora, City Attorney Vanessa Vallarta, Deputy City
Manager John Fair, Airport Manager Gary Petersen, and Deputy City Attorney
Chris Callihan to discuss the price and terms of payment for the sale or lease
of properties located at the Salinas Municipal Airport, Mortensen Avenue, with
Gary Vincenz, Salinas Jet Center, LLC.
c. Government
Code Section 54956.9(b), conference with legal counsel regarding potential
litigation (one case);
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