Loading...
03-15-1971 - Regular Meeting - MinutesMINUTES OF THE ADJOURNED REGULAR MEETING OF THE CITY COUNCIL CITY OF WEST COVINA, CALIFORNIA MARCH 15, 1971. OThe adjourned regular meeting of the City Council was called to order at 5 P.M. by Mayor Ken Chappell in the West Covina Council Chambers. The Pledge of Allegiance was led by the Mayor. ROLL CALL Present: Mayor Chappell; Councilmen Shearer, Nichols, Young, Lloyd Others Present: George Aiassa, City Manager H. R. Fast, Ass°t. City Mgr., George Zimmerman, City Engineer Richard Munsell, Planning Director Lela Preston, City Clerk Leonard Eliot, Controller Chet Yoshizaki, Planning Mayor Chappell: I would like to advise Council that I received a letter from Ernest Debs on Citizens Affairs asking that a name be submitted to participate in the 6th Annual Recognition Day for older Americans which will be held Saturday, April 24th. I was asked to select a citizen from our community. You have in front of you a form that we will submit,if Council has no objections, on Mrs. Mary Maxson, 89 years old on March 25th. She was the wife of the first Mayor-, which goes back apite a ways. 13 children, 11 still living. It is quite a record she has attained while a citizen of our community. If there are no objections I will submit her name? Councilman Lloyd: Can no one else be submitted? Mayor Chappell: We are asked to submit just one, so I would say at this time this is the only one we are going to submit. Councilman Lloyd: Were there any other submissions? Mr. Aiassa: We had no others. Councilman Lloyd: When is the final date? Mayor Chappell: It just asks for a prompt reply. Do you have somebody in mind you would like to submit? Councilman Lloyd: I would suggest we leave the list open for a short period. Mayor Chappell: Fine. In the past, Mayors have just gone ahead with this but I prefer to come to Council and let you know what is happening. CENTRAL BUSINESS Sid Williams: Historically our work on • DISTRICT PHASE"I PHASE II Williams & Mocine the General Plan for West _ Covina was begun in 1967. PRESENTATION In 1968 we did a preliminary report indicating the need for revitalization of the Central Business District (CBD) area. As Mr. Aiassa said at that point, he didn't want any longer having people telling him what was wrong with the area but rather what to do about it. As a result of the preliminary report a Blue Ribbon Committee was appointed and the recommendation; of the Blue Ribbon Committee was for a series of phases of study, gradually working towards an action program for revitalization. Phase I was to be Reconnaisance, an overall look at the area in terms of the economics. What was the _ 1 _ CITY COUNCIL 3/15/71 CBD PHASE I - PHASE II P age Two market area? What was the market potentials? What were the financial considerations? What were the physical characteristics and physical problems? The entire assignment was related to the entire CBD area. Late last Fall there began to be real concern that the major department store negotiating with Broadway within the Plaza area, • might go elsewhere in the East San Gabriel Valley. As a result of this concern and a necessity for the City to demonstrate the possibility of actually making available the land the character of the reconnaisance shifted to what previously had been thought of as Phase III, concerned with an action program. I believe you received a request for amendment of our contract as recommended by the staff at that time. The completed report as revised is called Revitalization Strategy for CBD. And I believe the report demonstrates very clearly that the City of West Covina is at the crossroads. That with the major department store, and I have talked to the principals involved and the principals of the company trying to put the land together, West Covina may, if it can make a site available at reasonable cost, have one or two additional department stores in the Plaza area. The losses to the City in revenues from sales and property taxes if this does not happen are dramatic. Presently, for example, the Broadway -Plaza area does something in the way of 4/ of sales in the market area. The market area is increasing dramatically and anticipated to be 75/ by 1990 and expendable income is also increasing. If the City is not successful in revitalization of this area and loses the major department store it can drop to one third of the otherwise anticipated receipts. The drop then would be equally dramatic. The ways that have been discussed of accommodating an additional store involve the creation of a Parking District. Unfortunately the creatirn of a Parking District and the issuance of the bonds means that the cost of the District falls directly as an additional cost on the property owners and developers. The store owners. The State of California, however, in 1948 passed what was called at that time Redevelopment Legislation, which says if an area is in their terms economically blighted that the City may proceed to do what is necessary through a Redevelopment Agency, who may be the City Council, to take such measures as may be necessary to make it again economically strong and healthy: The taxes that are collected on the area are established at the point at which it is as at present economically deficient and any increase in taxes over and above the amount now being collected can go to liquidate any expenditures which are made by the City for this purpose. The City of Hawthorne in Southern California and the City of San Leandro in Northern California are examples of cities that have been following this procedure. We are not talking about Federal Urban Renewal. Federal Urban Renewal did operate in many cities whew revitalization of the downtown area was the program. We worked on Richmond in Santa Cruz which followed this procedure, also the City of Ventura, but there are no federal funds available for thiskind of redevelopment and in many communities there is a • great reluctance to involve the Federal Government with all of their requirements and procedures. We are talking about using State Law which allows tax increment financing to be provided. The report shows how the market area was determined and also contains an opinion of a survey taken in the West Covina Center and the Broadway Plaza area, which does show a majority of property owners interested in revitalization in both' centers, even at additional cost provided it can be demonstrated there will be benefit. As I recalls the survey shows the merchants in the Broadway -Plaza area interested in such a program and in the West Covina Center not such a program. - 2 - CITY COUNCIL 3/15/71 CBD PHASE I - II Page Three The reason that it is extremely important to be involved in the use of tax increment financing is that, as you know, the City collects $1.00 of the $10.00 tax rate which otherwise goes to the County. So in the case of one new department store • and the sales which it would generate and the property tax it would generate, the increment over present taxes collected in the area would be $40,000 a year without the use of the State Redevelopment legislation, but $482,000 a year using the State legislation. The $482,000 a year is in additional property taxes plus $62,000 personal property tax which would provide a financial benefit of $544,000, which would enable bonds to be floated to acquire the land and sell it back to the agency putting the center together. Now if there were to be two new department stores, which is a possibility, the amounts would jump to $709,000. This does not include use of the sales tax increment which would be $120,000 a year with one additional store and $254,000 with two additional stores. The report goes on in some detail, although some of the figures are preliminary, to indicate what would be involved on a write down if the City did proceed to set up such a program. Approximately three million dollars for one new store and approximately five million dollars for two additional new stores. These are all very conservative estimates. Particularly the estimates of the finances which would become available. The procedures involved to take use of tax increment financing involve the adoption of a section of your General Plan, pointing out the physical and economic deficiencies in the area, therefore justifying the appointment of an agency with redevelopment powers which can,as in the case of San Leandro, be the City Council itself, and then the designation of a survey area. We presume the survey area is a study area and probably the whole area understudy in our reconnaisance from the Old Center on one side to the discount house on the other. It is a survey area and this step then makes clear to the agencies and store owners interested in this site that the City is seriously proceeding with steps to make the site available. Within this survey area the .Planning Commission selects a project area and the project area specifically would be Broadway —Plaza for this phase of the significant program. The Planning Commission prepares a preliminary plan for such an area. Following these steps then there is the preparation of the redevelop- ment plan by the Redevelopment Agency, which in this case could be the City Council, and provides for the necessary owner participation, the financing of the activity through the issuance of bonds, which can be agency bonds or general obligation bonds, which are then amortized by using tax increment financing. The City of San Leandro has been proceeding with its program for over 10 years. Originally it was to be a Federal Urban Renewal project, but there was great protest so the City went slowly along in its own way putting in a handsome large landscaped parking lot. The tax increment at the beginning was very small, something like $25,000 per year, and now because of new buildings being built is somewhere'in the order of $100,000 a year, and admittedly that is a more modest program than this, 'and the rewards also would be more modest, • The amendment of our older contract provided for this intensive work to see what the cost and benefits were for the various methods of procedure in essentially saving the City from the losses in the continued decline of this area. The next phase of our contract if the City Council desires to follow this procedure would be the adoption of a section in the General Plan designating the overall area as having physical and economic_.problems, the designation of a Redevelopment Agency, the designation of the area and the preparation of the preliminary plan by the Planning Commission. This then would be Phase II. Phase II would be finished ln.. a 4 or 5 month period - 3 0 • CITY COUNCIL 3/15/71 Page Four CBD PHASE I - PHASE II due to the urgency of working through the situation in concert with the private agency and the department stores themselves. V41ich would mean that we would have a target, if you desire to go ahead with the contract, of completing that part of the work by the end of July. The next phase, the urgent parts would desir- ably be done by early Spring or this time next year, which would then put the City in a position to arrange the necessary financing to proceed to make the land available, so that this work can go ahead. I realize that one cannot summarize a 30 odd page report and a year's intense study in a short period of time, but I also realize that you have many other calls on your time. I will be very happy to answer any questions that you desire to ask. Councilman Lloyd: One of the questions which comes to my mind and I think is most important is not so much what we are going to do but what is going to be the reaction of the general public to what you are proposing to do. Have you any studies in the area of the behavorial attitude of the general public in this type of program? Mr. Williams: We have been involved in 4 programs, 3 involved Federal Urban Renewal and there is always some reaction against Federal control, federal priorities, etc. The City of Hawthorne has gotten as far as the preparation of a Redevelopment Plan, presumably with public acceptance or they wouldn't have gotten that far. San Leandro having worked with their program for over a decade with vigorous support from the merchants. I believe it is extremely important to make clear that this is not a case of Federal Urban Renewal but rather the only feasible way for the City to avoid the continued and almost disastrous, decline of the Broadway Plaza area. Councilman Lloyd: Mr. Williams: Councilman Lloyd: Mr. Williams: Councilman Lloyd: Do you include the Old Center in this? The program for the West Covina Center would also be initiated in terms of discussion but we thought it would be phased over a longer period of time. The statement you made would not be applicable to that? That is correct. From your observations in correlating these two areas as business centers, which one is in the worse straits at the present moment? Mr. Williams: West Covina Center does 17% of the sales, 83/ in the Broadway —Plaza area, which has lost in sales in 1969-70.; Although the West Covina Center is thought of as the more rundown the financial problems affecting the City are far more serious as they affect the Broadway Plaza. This is why the Broadway Plaza area is critical andc.because' there is an agency that has been working for 3 years trying to put together a program satisfactory to attract a major department store and it really has suffered from the lack of available funds to clear and,,for example, landscape the area for parking and from lack of assurance that once started that one of the owners might not decide they don't want to participate and this could theoretically include the City saying we don't want to let the street go or something. The principals involved have told me they feel that this procedure is the only one which can work. It is the only one which makes - 4 CITY COUNCIL 3/15/71 Page Five CBD PHASE I - PRASE II financing available adequate to do what needs to be done. The major department store representative told me they had discussed alternate sites, as I am sure you know they discussed going out on Azusa Avenue or in LaPuente,but West Covina is the preferred location. It is • the center, the land is there, the procedures are available; they do need an assurance that it will go all the way through. This, again, refers to the fact that the City Council, although it may never use them or may never need it, would have the power of oinine.nt domain in the assembly of property and in the establishment of the basis on which there would be owner participation. Councilman Lloyd: What,in your opinion would be the results if the worst would be realized - assuming we went forward on this program? In other words, if we decide this evening we want to go forward as you have outlined and in the options which were available to you and your staff in your discussions - what were the worst things that might accrue that you can think of? Mr. Williams: Well,the physical decline of an area is distressing and it is declined; it looks declined' the circulation is poor; it is unattractive; the economic decline affects the number of jobs available to the City, the taxes available to the City: and, as far as we can find out,this City this year has a moment of truth. The major department store has indicated this is the preferred site and the financial institution trying to put it together have said the odds are 99/ or better. So,if this doesn't happen the little department store in the Plaza now will certainly go. We have been assured of this. The Broadway Store, by itself, without another major tenant didn't do very well the last couple of years and will continue to do more poorly. The decline is something like a drop from the current 3.3/ of the market in the East San Gabriel Valley, to 1.3/o,to as little as maybe 1/ or 2% of the primary market area. In the long run,I think the decline would continue and become worse than that. There are other important things to be considered. We have stated in the report that with a revitalized major shopping center,that other parts of the area can become real key locations for major stores and offices such as Home Savings. We have also stressed in the report there needs to be a major transportation center. The overall loss to the City would be $500,000 to $700,000 in property - plus $600,000 to $900,000, all in taxes relating to where it is now, but where it is now has been dropping relatively to Los Angeles in 1968-69 and another drop in 1969-70,and when the little department store in there now goes and further deterioration sets in the annual loss to the City would be greater. Also,the chance of improving the West Covina Center is much better if the Broadway Plaza area is strong. The offices, the transportation center - everything seems to hinge on a particular decision at this point. In my 30 years of urban planning I don't think I have ever seen a City more clearly facing a go or no-go decision. Councilman Shearer: In the beginning you mentioned the City could declare an area, I believe you used the term of economic blight to enable this tax increment. Are there any guidelines that the State has seta that • would control this because I heard the statement made by one of our neighboring cities that they would like to have our blighted area in their City because this is, compa.ratiw,a real going thing. I s this strictly up to the City to decide this is a blighted area,or are there some guidelines? Mr. Williams: We have prepared these reports before for other cities and I would say that we would point out the things that could be quantitively established. The loss of trade relative to Los Angeles between 1968-69 and again between 1969-70. The fact our parking survey in late 1969 turned up a surplus of parking spaces on the Saturday before Christmas, which is sort of a key shopping period - 5 - CITY COUNCIL 3/15/71 Page Six CBD PHASE I - PHASE II and our control, which was Eastland, had a shortage of parking space. The circulation problem of simply getting in arid, around the area. The generally rundown appearance of the parking lot, the inadequacy of the landscaping - these are all indicators. Not that this is a ghetto,like people living in a house that is about ready to fall down, but of a commercial area which is only realizing a part of its potential. Did I answer your question? Councilman Shearer: I think so. In other words you feel we would have no problem in doing whatever is necessary to proceed if our decision was to proceed. Mr. Williams: Yes. I should say one reason we have phased these contracts, the first phase being the reconnaisance, the second phase being either the City Council or the appointing by Council of an agency ready to proceed, ---without as yet having to go into further steps - so if it looks at a particular point to be either economically, (which I doubt) or politically unfeasible, you could then stop at that point. The reason for initiating these procedures is important in the sense that this is an indication of what you might call good faith on the part of the City, that the City intends to proceed and one cannot expect a major department store tenant to sign an agreement until there appears to be a plot of ground on which to locate the store. Councilman Shearer: Do the bonds you talked about, necessary to raise the funds, do they require a vote of the people? Mr. Williams: I believe as revenue bonds they do not. Councilman Shearer: The reaction of the community was asked and in your involvement in this type of thing, since it is a freeze on the County and the School Districts taxes, what kind of reaction has been expressed by the County and School Districts to something like this? I can see them saying - well,gee,you are cutting us off. Mr. Williams: They will never get less takes than they presently get. This is one of the costs of the proceedings that during the time it takes to get it going the taxes might have to be supported; but they would always get as much taxes. The sales tax increment could be used entirely locally for general tax purposes. I think the argument that needs to be made here is that if the area in truth -is declining and our indications have been in our 4 or 5 years of involvement here that most people do regard the area as declined, then the,result over the long run would be a decline in taxes for these agencies. The other thing is our estimates,as we said were made very conservatively. All of the tax increment does not need to be used to support the bonds. Our indication here is that possibly some ratio of 2/3 or less of the increment would be used for this. Obviously these steps are not taken without the involvement of bond counsel. We talked to an old fr.iend.of ours - Blythe & Company - and they indicated they would evaluate this • segment of the program. Attorneys who make a practice of working in redevelopment frequently are brought in. We would provide for consistent advice by Larry Smith & Company, who worked with us on the completion of Phase I. The City would not and we would not presume to be able to provide advice in areas beyond our areas of knowledge and I think the City would be moving prudently by going into the next phase which would certainly involve public awareness and involvement and certainly in order to hopefully establish a climate of opinion and make it very clear that this is not a case of some federal grant, because we know that there are great fears involved that suddenly bulldozers will start knocking down people's houses, etc., which are particularly severe when it is Federal., But I think 6 - • CITY COUNCIL 3/15/71 CBD PHASE I - PHASE "II Page Seven if it is made clear that the agency, which is the City Council or one appointed,by Council, that they have this authority by State Law and there is no federal involvement,although we might get some beautifica- tion funds or something if it is there. I remember we did a very controversial study of the alignment of the_ Huntington Beach Freeway back in 1968 with the Blue Ribbon Committee who provided great support and I think this City has ways of involving people constructively and creatively. Councilman Shearer: Would it go back to Mr. Williams: You mentioned less than 100/ of the tax incre- ment was necessary to pay off the bond, What would happen with the remainder of that? normal distribution to the County? other agencies unless believe the City could legal one. Councilman Shearer: It would be at the City's discretion. It would, in my understanding, go into the City's general fund and it would not go to the the City made this determination, although I do so. The question you are asking is more of a I just wondered if the State Law limited this tax increment strictly for the purpose it was intended. Mr. Williams: No. Look,for example,at the West Covina Center, It would appear the Glendora area might) like the San Leandro one) have a program which is a very gradual kind of internal upgrading. Some of the additional funds might be made available for use in other parts of the City for that kind of upgrading. But I believe the City's right to those funds gives the City the discretion to use the funds as they see fit. Councilman Shearer: I have no further questions,but I can make my comments if you so wish, Mr. Mayor? Mayor Chappell: Are there any further questions? On the theory that we may or may not have a citizens°problem - in our last go -around on zoning somewhat outside of the considered appropriate area, there were a lot of remarks made that indicated the citizen was aware that this type of thing had to go . on but they wanted it done in certain locations and I am sure this location is exactly what we are talking about. Of course.)I can't claim to be a reader of community minds but I feel they would be far more favorably impressed with this location than anywhere else in our community. Mr. Williams: I believe that there have been violent reactions frequently where housing is involved and problems of relocation enter. These are plaguing Palo Alto right now. Palo Alto wanted to upgrade its downtown area,,but doing so meant tearing out a lot of old boarding houses and shacky businesses, so a lot of people - both senior citizens and Stanford students, hit the streets and said this can®t go on, but that is one problem you absolutely do not have. Councilman Young: Considering what you are saying,you are essentially saying that if we have a:: --established district, a commercial district, and if you project this thing right down to the ultimate establishment of the business enterprise, the new stores, etc., it will not cost the tax- payers anything out of pocket - isn't that right? Mr. Williams: That is correct. Councilman Young: Ultimately,the entire cost of city participa- tion is returned from the increased valuation of the property taxes? - 7 - i El CITY COUNCIL 3/15/71 CBD PHASE I - PHASE II Mr. Williams: Councilman Young: Mr. Williams: Councilman Young: Page Eight That is correct. And, on top of that, we have the anticipation of higher revenue from sales taxes? Yesland on top of that the potential of office buildings and other activities that will tend to flow from a stronger center, In my opinion)it would be a very salable item in this particular location. Councilman Nichols: I have nothing to add except that I have been from the outset strongly in support of this concept. I think it is absolutely essential, I think it is totally salable and,I think necessary that the Council move ahead along this course to whatever extent is desirable to promote the redevelopment of the CBD area. Councilman Shearer: I agree 100/. I think we have a situation if we don°t�and I would like to be naive and say "WellLLprivate enterprise will go out and someone will come in and pay $6.OU a foot for that - if that is what it takes,"but I think that is strictly naive. It is a competitive market today - maybe 15 or 20 years ago it wasn't competitive. If we don't do it I think it could snowball in the other direction. I do think the citizens of this community are intelligent enough to realize this and that we will not have the objections, particularly:'.in'.the:°manner'in which you discuss the financing. I think we should go forward on this. I have one last question. We talked about a revision to our contract with yoti.. How much additional is this revision going to cost us? I see $20,000 listed here, is that in addition? Mr. Williams: We revised the contract within -the,contract-sum. We had put in a rather large amount for traffic and circulation studies in other parts of the CBD area;and we shifted the funds that we hadn't billed yet in order to complete this report. Councilman Shearer: That is the second best news I heard today. The first was when I read your report, I was very enthused about it;and the second is that it won't cost usany more than we already have budgeted, at least not at this point. Mr. Aiassa: One thing I would like Council to know is we have budgeted Phase I and covered Phase I) and for Phase Ii we put in a lump;sum of $20,000 and we want to implement Phase II, and there will probably be four portions to it. We want to implement in the same vein that is now being proposed for that area. Our big initial move will be probably at least half of that $20,000. This sum is budgeted in this year's budget but it was not earmarked or identified,and we are now doing that and putting in a contract proposal to tie it down. Mayor Chappell: Any further questions? We do have some recommendations in the staff report. Mr. Aiassa: Mr. Mayor, I would like to have Council accept the recommendation for Phase I as amended, but on Phase II to hold off action until final formal contract is presented to Council on March 22nd by staff and,in the meantime,we will have some discussion with the City Attorney. So moved by Councilman Shearer, seconded by Councilman Lloyd. Motion carried on roll call vote as follows: - 8 - CITY COUNCIL 3/15/71 Page Nine CBD PHASE I - PHASE II AYES: Councilmen Shearer, Nichols, Young, Lloyd, Cha.ppel.l NOES: None ABSENT: None Motion by Councilman Lloyd, seconded by Councilman Shearer and carried,to ' recessi at 5:55 P.M. for Jhe-purpose-of.-dinner and reconvene a.t :7 .P. M. in .the :C. ty.:Mana, er:'s°:Conference. Room c, CIVIC CENTER (Model of proposed parking center on display, PARKING STRUCTURE along with diagrams.) (Mayor Chappell called the meeting to order at 7 P.M. City Clerk called roll call. All Councilmen were:present. Mr. Aiassa advised that Frank Sata, Architect1would give a presentation on the proposed Civic Center Parking Structure.) Mr. Aiassa_: In our agreement with the County we are the master contractor for the entire Civic Center as to the motif and design. We are also faced with the problem that we must accommodate the need for increased parking and this is the problem we are now tackling. This additional parking was scheduled for 1975 originallylbut now it is needed for 1971 because the County wants to build andlin order for them to build,we have to increase our parking area. This was the agreement, that it would be done when they increased their buildings. Frank Sata: I think we can keep this rather informal. Architect We have before you the scale model from which we can add or remove pieces as we discuss the various aspects of the proposed project. We have tried to project the potential of the whole site because when we start adding structures,we wish to consider the long range plan of the Civic Center. We will show the existing situation to start with; this is exactly the way it is now�and then we will place the proposed scale models of the various proposed buildings in the various alternatives. The library building is projected as a 2-story expansion,and the County Court house is projecting an expansion. (Pointed out a road on the west side of the library building which is proposed to be put in for entry into the parking areas.) The studies have been placed more on concept than a schematic basis until we can come up with the exact numbers needed which is still under negotiations. This will give you an idea of how you can build itIand in what increments and allow for expansion in the future. We don't know what will actually happen in the Civic Center area in the future. There may be an auditorium. A critical space is the space next to the projected expansion of the library. (Explained with the -use of the model.) We are proposing to have you reconsider,,in terms of your Master Plan,the option of maybe placing - if you do have an auditorium - that perhaps it could be better located in this other area. (Again used model auditorium to place on the displayed scale of the Civic Center.) (Explained further.) (Discussed in detail, using the diagrams and the model, the parking loads rele.va.nt to each facility. About 325 additional spots are projected as the requirement; discussed peak times for both the court house and the library. The parking area for the library could be at the west end of the present parking lot with a road cut in from the library to the parking lot)and city employees could park toward the east end of the parking lot. The County has requested certain types of development that they definitely wanted,such as some green spaces alongside of their buildings; the projected requirement of additional parking needed is 325 car spaces.) Councilman Lloyd: Do you anticipate or do you have information regarding the probable size of cars in the future? Will cars continue to be as large - 9 - CITY COUNCIL 3/15/71 Page Ten CIVIC CENTER PARKING STRUCTURE as they are now in the foreseeable future, say 5, 10 years from now? Mr. Sata: I think that is a good question,because we are concerned about it. It is enough of a • concern that I wonder about what the involve- ment of space is needed for any structure and we would want to think about it. But we would have to arrive at a decision collectively, saying this is the best way. The quality of the parking needed could be achieved by double decking parking. Plan A is the concept of additional parking at the lower level for 254 cars. (Explained in further detail.) Plan B would give a net increase of 283 cars. (Explained in detail.) Plan C net increase of 287 car spaces; Plan D, net increase of 325 spaces. Plans B, C. and D suggest upper floor levels for parking. Councilman Lloyd: I am going to shock everybody and ask a question which is totally out of my normal range - where are we going to put a helicopter port? I think you really have to accept the fact that some form of helicopter port has to be considered because there will be more and more facilities developed throughout the Los Angeles area. Right now,Los Angeles City and County are franctically strapped for the handling of helicopters. (Mr. Sata suggested one area, on the west side of the library building.) Mayor Chappell: The question I have - we started out with the Court house needing more space.. Does city hall have all the space needed now,,with the way we are renting our spaces out? Mr. Sata: I should have pointed out at the beginning, that when we conducted this study the first thing we did was to make a study with your staff of the needs, and we made a day-to-day study on the peak count of cars .and the distribution on the Civic Center site including some perimeter areas. So this has been considered. Mr. Aiassa: Also there is a possibility (pointed out area on the model) of using this area for an exhibit area - day-to-day exhibit type of thing for crafts, nature studies, ecology and the whole bit. Councilman Nichols: In general, what would be the relative cost of going up one level for a parking structure - say the per square foot cost, as compared to going up two levels? Say one level of'a greater range as compared to the same area only two levels? Mr. Sata: I think that is a very difficult one,because I have heard contractors speak strongly one way or the other. I think the natural thinking • is A f you have it based on an expensive concrete structure and you can use the same forms and you do it twice) -that it would be cheaper versus the contractor that would be doing it over a long span. But I don't really know if one is more costly than the other. (explained) Councilman Nichols: As far as you are aware the cost of putting the initial deck in, the pilings to create the support, assuming you are going up later, is no greater than putting one and then going up on top of it? (Discussion continued between Mr. Sata and Councilman Nichols on the cost factor, the aesthetics of double level parking.) - 10 - CITY COUNCIL 3/15/71 CIVIC CENTER PARKING STRUCTURE Page Eleven Councilman Nichols: Mr. Aiassa, what are we talking about in terms of costs? Are we foreseeing that the increased lease sums from the County will amortize the total of our . payments? Mr. Aiassa: We are shooting for that. Councilman Nichols: What is a completely out of the ball park estimate for the construction of the 325 spaces? Mr. Fast: At this point in time we can only say a parking structure costs $2,000 per car space, so we are talking up towards $650,000. Councilman Nichols: And you are realistically thinking that you can increase lease payments sufficiently to amortize? Mr. Aiassa: We have already made contacts with the County) and have so advised them if they want these parking facilities that is about what it is going to cost us. Councilman Nichols: Well, I think it is very important that we know right at the beginning whether we are talking about taking some portion of this out of the General Fund or whether we are expecting it to be reimbursed from the County. Mr. Aiassa: All from the County. There are three subjects - the estimates, the actual bid and then the final construction. We have negotiated with the County and they are talking within the ball park figure of $2,000 per car -.space. Councilman Nichols: Then it would be realistic to announce to our public that this is a structure to meet the needs of the County and they will be paying for it. Mr. Aiassa: Right. We would not be building the structure if the County weren't initiating their 1975 project. We were planning for 5 years from now, but they have come back and pushed the issue to 1971. (Discussion __ returned to the location of the library and the parking lot for library parking. Councilman Nichols feeling it was unrealistic to expect people to park their cars that distance from the library and hike back. Mr. Aiassa explained it had two advantages. One,the present parking would not be eliminated and,secondly,the County is going to make it solely usable for library parking.) • Councilman Shearer: Also does the County have a choice in this matter - we have to provide 325 spaces? Mr. Aiassa: Yes,they have requested that we provide the spaces and we are giving them the alternatives) and this is the most economical way we can go. Councilman Shearer: Say the most economical is the $600,000 plus - and . they say they can't go for that? We can ,only afford $500,000. Do we still have to provide it? Mr. Aiassa: We don't build. until the contracts are signed - 11 - CITY COUNCIL 3/15/71 Page Twelve CIVIC CENTER PARKING STRUCTURE for $600,000 or whatever. Councilman Shearer: There is no way then that any money comes out of the city funds? • Mr. Aiaasa: We won't launch unlessit goes. Mr. Fast: I had a discussion with county personnel, the people that prepare the documents and have worked on many parking structures for courts and libraries; in fact they have a particular individual from the Real Estate Management and a particular individual from the County Engineer's Office, they work exclusively on libraries. They are willing after the preliminary plans are done and we have made our estimate based on the working drawings, based on those costs they are willing to propose to the Board of Supervisors that they enter into an anticipatory lease agreement based on preliminary costs /l and when final bids are in they will then revise the parking lease ag�`eement to match the final costs. And you can see how much the County, even at that level, are expecting they are going to pay the bill for the structure. Mr. Aiassa: They are also willing to have the Health Department - as far as parking is concerned - move out of here and move over here. (Used the model to illustrate.) One thing, and I think Mr. Shearer pointed this out. We weren't very anxious to go into this kind of parking structure because it is not one of the things you can predict cost right off the bat, but we have done a lot of paperwork and the only answer we have is if they want to accommodate their facilities with expanded parking they have to come back to us for the parking. This is one of the conditions in the Joint Powers Agreement, as our key to maintain the unity and the control of the Civic Center. (Discussion followed on the placing of the auditorium, and the fact that parking .could be double decked and allow the auditorium to be placed at the east end of the area above one deck of parking.) Mr. Aiassa: I was here when the concept of the auditorium was first discussed and originally it was projected for this spot where you would wipe out your entire vision, whereas l if it is placed over in the parking facility area, utilizing all that space and then you could utilize that area for the heliport. And,,in regard to the auditorium,being. that the County has already joined us in sharing structures it would not, be. a big problem in having them join'. us; in ° the 'regio.nalI facilities for regional parking fore..a regional ,auditorium Councilman Lloyd: This assumes one question - are we ready for an auditorium? Mr. Aiassa: We will be eventuallyp and if any City is going to build it,we are the one in the best position to do so. Councilman Lloyd: I would say right now that statement could be • challenged very quickly by people in Covina. Mr. Aiassa: No, I mean geographically, economically and all other ways. Councilman Lloyd: That has no bearing really; the fact remains that the County is now involving itself in a Joint Powers Agreement situation with the City of Covina regarding an auditorium. Do you think,then,the County is going to turn around in the future - Mr. Sata,what is the projection on this? Completion of the total project - 10 years? Mi. Sata: I don't know. - 12 - CITY COUNCIL 3/15./71 Page Thirteen CIVIC CENTER PARKING STRUCTURE Councilman Lloyd: I think you can say 10 years because you are going to have this kind of population increase. Herein 1973-75,they are doing a Joint Powers Agreement with Covina involving a city hall and an auditorium and then they are going to turn around and talk about a regional auditorium in the area of West Covina? Mr. Aiassa: But ours is a Joint Powers Agreement now. And the auditorium is part of our concept and what they have accepted. Councilman Lloyd: I understand that, but what are your projections on the Supreme Court of California that it isn't going to throw this Joint Powers Agreement out, because they will say the government is not a separate entity? Mr. Aiassa: Well I would say in 2 years we might even be able to establish it through the vote of the people. Councilman Lloyd: That may well be. I think you are going to have to do that,,because I think the Courts are going to rule against it. Mr. Aiassa: I thinkawith the predictions shown fog the East San Gabriel Valley,an auditorium is going to becritical in 3 to 5 years. Councilman Lloyd: No argument, we need an auditorium now. Let us not talk about the morality of the thing or whether it is needed here or not because that is not the issue really, is it? Mr. Aiassa: I need legislative action from the Council - what do you want to do? Councilman Lloyd: I am saying what kind of problems are we going to face when we go forward with this type of concept. It is a great idea. I think Mr. Sata has done a tremendous job,,and to say I am impressed is an understatement. But to say I don't recognize the pragmatic problems we are going to face politically - and I don't really mean us sitting in this room now. I think the view in light of history that most of us will be gone when these problems really hit in full force, but I do say if we are mindful of history we have to be aware of the decisions we are making. I am saying,while I concur with your concept, do we have the green light from the County at the present moment assuming that the Joint Powers Agreement will be in effect? Do we have their go-ahead with this conceptionalizing of the future of this area? Mr. Aiassa: I would put wagers on West Covina, odds 3 to 1, that West Covina is in the front place if we do it within 2 or 3 years` but if we wait 5 years Iwe have lost it. • Councilman Lloyd: I thought we had already lost it. Maybe I misread it. Mr. Aiassa: Covina is doing like all other areas. They need an instrument to create the joint powers. We had two agencies -- the Court and the regional Library. Covina is grasping for something; we even took their Probation Section away from them. An auditorium is not a simple, elementary thing. It is a highly complicated liability. It is the most expensive thing you can ever undertake] and it is one of the things that is greatly abused. It is also very cherished once you have it; alsojit is a heavy cross to bear because of the cost, the upkeep) and it is very perishable. - 13 - CITY COUNCIL 3/15/71 CIVIC CENTER PARKING STRUCTURE Page Fourteen Councilman Lloyd: As far as I am concerned you have my vote, I am with you. I am just saying how many problems are we going to face in this whole thing and I say at the present moment, not in a contention situation but in a competitive situation, the fact remains that Covina at the present • moment is negotiating. I have no qualms of going forward against them on it. Mr. Aiassa: The one that could have wiped us out completely was the one they were programming for Mt. SAC. It was to be regional and it was to be done at taxpayers�expense,and that is the kind you can't whip because once it gets moving you can't knock it out. Councilman Lloyd: Well,you have obviously offered us the greatest carrot in the world in the fact we are going to have all of these wonderful things and we are not going to pay for them and while I don't share in this case with Chet and Ken in their attitude, my attitude is simply if I can spread the cost out among all - between three or four million people in Los Angeles County then the one hundred thousand people in West Covina aren't buying a very big share of that, gut I also know I am buying a share of roads, highways, public buildings and Civic Centers elsewhere in the San Fernando Valley. I know it all kind of balances out,so my attitude is simply let's get our licks in first and see what happens. Councilman Shearer: The auditorium is really a;separate question; this evening the parking structure will sink or swim on its own merits Even if the auditorium is never constructed,, the parking structure is still feasible and necessary,�so the pros and cons of the parking structure are not going to depend on whether or not the County says yes or no on an auditorium. Mr. Aiassa: Yes�that is the critical one now. There are two things I want to point outa I do get very sensitive when other creatures begin to move into the areas we have sort of sacredly protected for years as our own plumpand I feel I have not moved into the area of even --a basic preliminary study or schematics as far as the auditorium is concerned. And for three reasons I have not done so - one, financially.I didn't have the money to put into it; 2 - after having two consecutive studies, one professional and one a citizens study, the pressure and the time and the need hasn't been a great challenge shall we say with the banners, the flute and the pipes, But I do feel if we wait too long that we will lose it and there will be no hope of ever picking it up again. Somewhere and sometime during this year some thought should be given to going into some kind of schematics and a selling program so I can start the motivation going. The County is interestedibut I have nothing to sell them. Mr. Sata: In closing my discussion�I would like to say I think all these points are well taken because I think this is the type of dimension we are trying to do in our concept, just anticipation of • the points raised. The other point is about transportation. I want to share with you what is happening in Boston on the space above the freeway. There is a great deal of supports and federal support as well, for transportation type centers, they are having a lot of sense in being located in ways such as right over the freeway. This has been considered but is not being presented to you at this time. These are the alternatives and, hopefully, we think of the potential things that could happen. This is an important one because there is tremendous energy being made in the whole field of environment (pointing to an area on the model) in the area of childhood and�as a resultAthere is a great deal of response by people for creating centers that have the programs for the young people and these types of things.could have meaning between City Hall - 14 - CITY COUNCIL 3/15/71 Page Fifteen CIVIC CENTER PARKING STRUCTURE and the library, which may be the closest step to coming closest to the other dream we had a long time ago of how to bring people back into public activity. • Councilman Lloyd: I appreciate your comments and certainly I realize that I have been probably more involved and conscious.. of the efforts being made in transportation .and I feel the major problem we face is two- fold. One is sociological and the other is political. The first need is the ability to move people in our economy, our way of life. We are terribly inefficient but we will get better. Cars will be made smaller and will haul more people and we will use the systems that are already there'and�again �we can use that air space without offending anyone environmentally because the things that offend are already there. In a political senselpeople need centers which direct their sense of belonging to geographical centers. And I say this will occur as we go forward in the dynamics of development in the urbanization of this area)and will occur in areas just like this and that is why I am much impressed with this because it indeed makes us a focal point —and this I say�of course assuming that a focal point is a good thing,. -which I don't really know, but I am assuming it is. I am very favorably impressed. Councilman Shearer: I am a little confused in some of the comments here..: The role of,the City�and the role of the County - the Joint Powers Authority. I,notice the funding, in the staff report® It states "Funding for architectural services to prepare the plans and specifications.is available in the Civic Center budget. Funding for the parking structure would be available through a revenue bond issue via the Joint Powers Agreement. The final decision by the Council to implement such a bond issue would come at some point in the futures'_ Would it be the Council's decision or the Joint Authority decision to issue bonds? Mr. Aiassa: The agreement will have to be negotiated between the City and the County. The Joint Powers is only the vehicle which has the power to sell bonds and make the facility available and then we rent the facility to pay the amortization charge. Councilman Shearer: The official action of the selling and issuance of the bonds would not be an action of the City Council of West Covina? Mr. Aiassa: I believe it is the Public Authority. Mr. Fast: Yes) City Council instructs by resolution and the governing board enters into a lease arrangement with them and they will build you a parking structure and rent it back to the City.: The.y.go..out and build it/ and they own the structure and rent it back to you. Councilman Lloyd: Do you see any chance that we would get hung • out for monies out of the City coffers? I am asking you to reiterate what you have already said, and the answer I want is "noI there is no problem that we will get hung out on the monies4' Mr. Fast: Nog that is correct. Mayor Chappell: If there are no further comments,we have recommendations in the staff report. Motion by Councilman Shearer, seconded by Councilman Lloyd and carried, to approve Plan B for the Civic Center Parking Structure. - 15 - CITY COUNCIL 3/15/71 Page Sixteen CIVIC CENTER PARKING STRUCTURE Motion by Councilman Shearer, seconded by Councilman Lloyd and carried, to. instruct the City Manager and City Attorney to prepare arl agreement for architectural services by Frank T. Sata for the preparation of final plans and specifications for the parking structure to be presented to the City Council at their meeting of • March 22, 1971. Motion by Councilman Shearer, seconded by Councilman Young and carried, to authorize Mr. Sata and staff to make a presentation to the Governing Board of the Joint'Pbwers Authority of the approved schematic plan and to indicate to them the Council°s intention to fund the project through a revenue bond issue via the Joint Powers Agreement.° (MAYOR CHAPPELL. RECESSED THIS PORTION_. OF THE MEETING AT 7:55 P.M.FROM THE CITY MANAGER'.- CONFERENCE ROOM IN ORDER TO.,RECONVENE IN_.COUNCIL:CHAMBERS FOR- FRRSWQTY. �WTVENI,NG, . PRESENTATION REPORT o RECONVENED AT 8 PM IN COUNCIL CHAMBE FREEWAY WIDENING REPORT Mr. Zimmerman: Mr. Mayor and members of the Council) we have a slide presentation for you tonight which will cover the widening of the freeway by pictorial review from the west end of the City to the east end. Includeddin general is the widening of the freeway to 8 lanes, 4 lanes in each direction; relocation of the frontage roads and some widening of them; widening of Vincent, Citrus, Azusa and Barranca Streets crossings of the freeway; new undercrossings at Lark Ellen, Hollenbeck and West Covina.Parkway.; somestorm drains; underground utilities district is involved with the widening; and other street lighting underground, new street lights and street standards along the facility; some 15 traffic signals to be rebuilt or installed new, and landscaping. The schedule for this worklincluding completion of right-of-way acquisition)is within the next few months. Some right-of-way clearance is now being undertaken. There is quite a bit of removal of facilities such as the telephone lines, utility lines, etc.; completion of plans and cooperative agreements covering the widening of the freeway. There will be approximately four or five co-operative agreements, one of which has been presented to Council already/and several more are planned to be presented covering costs to the City of about $250,000 to $300,000 of Gas Tax funds for widening of streets along the freeway. There also will be some million dollars of storm drain facilities which the City has already co-operatively designed and will furnish for the project out of the 1970 Storm Drain Bond Issue. The advertising of the contract is presently scheduled to Pe ready for advertising on the first of November of this year. We believe we are on schedule and will meet that schedule. Work should start within a little less than a year from now,)with an actual contractor out there digging and completion should occur some two and a half years later`in,1974. Total cost, generally,for the freeway contract at this time is supposed to be thirteen and a half million dollars. Following that construction) there will be a separate landscaping contract with landscaping to occur in the latter part of the 19701s. In general the freeway construction will start with the' realignment of the frontage roads and their recon- struction to provide working room within the freeway itself to widen it out, etc. The first interchange to be constructed will be the Grand Avenue one. The reason for that is the alternate doing of the various interchanges so good traffic can occur during construction. The Grand Avenue interchange, Lark Ellen interchange and the Hollenbeck undercrossings, as well as the West Covina Parkway new undercrossing will occur about at one time)and alternate interchanges and under - crossings will occur when they are done. So,there will be no complete closedown. However/ there will be no closure of any of the underpasses - 16 - CITY COUNCIL 3/15/71 Page Seventeen FREEWAY WIDENING REPORT at any time. It will merely be the restricting of traffic to one lane. There will be some inconvenience to traffic for that reason. The final construction likely will be the completion of the through lanes • on the freeway and the construction of the median barriers, signs and lighting. (Slides shown and explained. Questions asked and answered as each slide shown. Quite a bit of discussion ensued with regard to the cutting away of the fronts of apartment buildings, how this was to be handled by the State, the ultimate aesthetics of it, etc. Councilman Nichols asked that,if possible)staff present to the Gouncil a report and pictures of other areas where this has occurred. Mr. Zimmerman said this would be done. Discussion.regarding the use of the excess land for Mini-/Parks.by Councilman Shearer inquiring of staff if they were aware of this State Law. Mr. Fast advised staff was aware and were checking into)and Mr. Zimmerman stated a list of available excess parcels was just received and would be studied and a report would be coming to Council in the future on this.) Mr. Zimmerman: A further comment, basically,we were very con- cerned about the manner in which public relations was being handled with the various parties involved and)so far, the State has done a very fine job and there has been a minimum of complaints from the public and we hope to keep it that way as much as possible when the town is pretty much torn up for construction. The Assistant City Engineer has been named as General Coordinator for the freeway work at this time; Traffic Signals and Detours assigned to the Traffic Engineer; Building Demolition is a responsibility largely of the Building and Planning Departments; construction questions will be in the Engineering . Department Construction Question Section; landscaping is proposed to be the responsibility of the Planning Department and the Recreation & Parks Department; Right-of-way,we have kept a running record of all right-of-way acgt}isitions by the Division of Highways,and this information is available at al.l times in the right-of-way section of the Engineering Department. Scheduling is also in the Engineering Department) along with the design layo.��,�s. Construction of the freeway will take place overa two and a hal period at a cost of thirteen and a half million dollars, so we have recently been advised by the Division of Highways. There is no action needed now by the Council, but -for the next several months there will be action items pertaining to it brought before Council. Mayor Chappell: Thank you. If there are no further questions, Mr. Aiassa has asked for an executive session regarding condemnation. (COUNCIL CONVENED AT 8:45 P.M. to Executive Session. Reconvened in. regular session at 9 P.M.) Mayor Chappell: Is there anything further tonight? Councilman Lloyd: I have a few items but it is 9 o6clock and I will bring them up next week, but I would like to mention some of them now. I received a letter from the gentleman named Phil Asha.bra.ner .. - the gentleman that proposed 2 or 3 months :ago the possibility of allowing a lane on the freeway to those automobiles wherein there were more than one passenger. He would like to have a resolution from the City in support of this type of activity and I would like to submit it to the Council. Mayor Chappell: Mr. Aiassa,will you reproduce copies of the letter and submit it to Council? (Answer: Yes.) marm CITY COUNCIL 3/15/71 Page Eighteen Councilman Lloyd: One other item. We have had several requests for representations from this City to other municipalities, even out of the nation. Specificallyjthe Ice Hockey Group wherein they are going to Calgary and I asked Mr. Aiassa if we had any more coins and it turns out we • are all out of the coins. I would like to see a reinstitution of the West Covina coin to be used as a public relations identification gimmick. We would have to buy the dies. What kind of money are we talking about, Mr. Aiassa? Mr. Aiassa: For the dies - about $1,000. Councilman Lloyd: I think this would be a thing of value. Once you have the dies you then have to produce the coins)so the initial cost would be probably about $1500. Once you own the dies�you can produce the coins for much less money. I think in the final interests of the City it would be better to purchase the dies. This will probably end up being discussed in the budget sessions. Mayor Chappell: ADJOURNMENT ATTEST: CITY CLERK C Mr. Aiassa� will you so include? (Answer: Yes.) Motion by Councilman Shearer, seconded by Councilman Nichols and carried, to 'a.djourn meeting at 9:05 P.M. APPROVAL MAYOR