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HomeMy WebLinkAbout2001-05-08; City Council; 16177; Flower Fields Grant Requests No. 3 & 4CITY OF CARLSBAD -AGENDA BILL AB# MTG. DEPT. FLOWER FIELDS GRANT REQUESTS NO. 3 AND 4 AND APPROPRIATION OF FUNDS CITY MGR~Z? ) RECOMMENDED ACTION: That the City Council ADOPT Resolution No. do 0 j - j 3 5 APPROVING two grant requests by the Carltas Company for a total $43,118 to provide aid to the flower growing operations on the Carlsbad Ranch, and appropriating all related funds. ITEM EXPLANATION: On June 30, 1997, the City entered into an agreement with the California Coastal Conservancy to administer grants supporting floriculture research for the preservation of the “Flower Fields” located on the Carlsbad Ranch. On August 29, 1997, the City received the $935,000 grant from the Conservancy and deposited it into an interest accruing special revenue account. The agreement with the Conservancy stipulates the acceptable research projects include, without limitation: species vitality, multiple cropping opportunities, soil variables and conditions, climate, seed promulgation and marketing research. The agreement also stipulates that the amount of funds that may be disbursed from the $935,000 special revenue account be limited, in each fiscal year, to the amount of accrued interest not previously expended or encumbered. The Carltas Company, as land owner and representing the “Flower Fields” grower (Mellano), has requested two separate grants to fund projects that would assist in the long-term production at the “Flower Fields.” The first project involved a half-acre experimental plot devoted to developing two new color mixes (purple and cafe). The cafe color is dominated by browns and oranges, and other fall colors that could enhance an off-season (fall) crop. The purple has not been offered before and it is currently a highly desirable color. The project commenced in July of 1999, and is now complete. The grant request for this project is $7,472 and it is to reimburse the applicant for 100% of out-of- pocket expenses. The second project targeted seed development and new plant selection to preserve the “best” forms and colors of the current varieties of ranunculus. Selection and variety improvement are critical to the long-term preservation of the “Flower Fields” operation by helping maintain the operation as a dominant source of ranunculus in the world market. The project involved the development of a two- acre plot segregated from the main growing area. The various colors of ranunculus were grown in individual groupings separated by barriers to ensure seed purity and color integrity. The plants then underwent constant management for selection of the most vibrant colors and the “best” or truest form of the ranunculus plant. The management was performed by the same senior personnel and the senior grower involved in the main operation, however, a separate accounting system was employed so that costs associated with the project were segregated from the costs associated with the main operation. This project also commenced July 1, 1999. The grant request for this project is $35,648 to reimburse the applicant for 100% of out-of-pocket expenses. The Planning Department has reviewed the grant requests and recommends that they are consistent with the purpose stipulated in the agreement with the Conservancy. Furthermore, both projects have been completed and the actual costs have been audited and found to be consistent with reasonable and customary charges for equipment, supplies, utilities, salaries (including benefits) services performed, etc. Pursuant to the Carlsbad’s agreement with the Conservancy, the City will maintain standard financial accounts, documents and records relating to the implementation of the projects. PAGE 2 OF AGENDA BILL NO. ) b, ) 7 7 Since both projects have been completed, the project proponent (grantee) has submitted the required report detailing how the projects met the intended objectives. The smaller of the two projects (cafe and purple color selection) had mixed success. The cafe, dominated by brown and orange did not do well in the market and therefore, this color selection will not be pursued in the future. The purple block was more consistent in true color than in the past and the color was well received by the flower market. There was significant progress made in the seed selection project (the larger project). The research crop produced seed that generated “true to color” and “true to form” bulb selection. ENVIRONMENTAL: The Planning Director has determined that both projects are minor alterations to existing facilities and/or operations, and therefore, categorically exempt from environmental review pursuant to §I5301 (CEQA Guidelines, Existing Facilities). The Planning Department will file the notices of exemption following project approval. FISCAL IMPACT: The two projects are requesting a total of $43,118. When the grant application was made, the special revenue account had sufficient interest accrued to fund both projects. As of December 31, 2000, the account has accrued approximately $124,488 in interest. Currently there is sufficient interest to fund the two projects and to cover Carlsbad administrative costs (estimated to be 10% of the grant or $4,311.80). EXHIBITS: 1. City Council Resolution No. am I- 1 3.5 2. Grant Request Letter, dated November 6‘2000 3. 1999-2000 Grant Request Studies, dated January 20, 2001. d 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION NO. 2001-135 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA APPROVING TWO GRANT REQUESTS BY THE CARLTAS COMPANY TO PROVIDE RESEARCH AND ASSISTANCE TO ENSURE THE LONG-TERM PRODUCTIVITY OF THE CARLSBAD RANCH FLOWER FIELDS CASE NAME: FLOWER FIELDS GRANTS NO. 3 AND 4 WHEREAS, Carltas Company as property owner and on behalf of the “Flower Fields” grower has filed a request for two grants; and WHEREAS, Grant No. 1 requests $7,472 to develop two new color mixes (purple and cafe); and WHEREAS, Grant No. 2 requests $35,646 to conduct research on selection and variety improvement; and WHEREAS, staff has reviewed and recommends that each grant is consistent with the purpose stipulated in the agreement between the City of Carlsbad and the California Coastal Conservancy and with reasonable and customary costs associated with the scope of work covered in each grant request; and WHEREAS, the Planning Director has determined that the projects covered by the grant requests are categorically exempt from environmental review pursuant to 515301 (CEQA Guidelines, Existing Facilities); and WHEREAS, there are sufficient funds in the special revenue account to fund both of the grants and the City‘s administrative costs; and WHEREAS, City Council authorizes the Finance Director to appropriate $47,430 to pay for the grants and the City’s administrative costs. The City Council of the City of Carlsbad, California, does hereby resolve as follows: 1. That the foregoing recitations are true and correct. 2. That the Flower Fields Grants No. 3 and 4 are approved. 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 2c 21 22 2: 24 2: 2t 2; 2t PASSED AND ADOPTED at a regular meeting of the City Council of the City of Carlsbad on the 8th day of May , 2001, by the following vote, to wit: AYES: Council Members Lewis, Kulchin, Finnila, Nygaard and Hall. NOES: None. SENT: None. AI-TEST: (SEAL) -2- November 6,200O EXHIBIT 2 Gary E. Wayne Assistant Planning Director City of Carlsbad 1635 Faraday Ave. Carlsbad, CA 92008 REk Grant Request - Flower Fields Dear Gary: Delivered with this letter is a Grant request for the Flower Field fund for two projects supporting 1999/2000 activities. Support is requested for the costs associated with two breeding development projects: (1) a 2-acre seed selection block targeted at selecting for true color and form for production of seed from seed, and (2) focused larger planting for selection of two new color mixes (purple and cafe). This is the second year of work with a seed selection block using seed to seed production. The first year (1998-1999) experience was less successful than this year. The seed yield this year was higher, and it appears that the germination rate is good. This is also the first year of an effort to breed a “cafe” color, dominated by browns, oranges, and other fall colors that may enhance an off season (fall) crop. In addition, a hardy, field-grown purple was selected in significant numbers. Continued breeding selection will be necessary to develop consistent performing bulb and seed before commercial introduction, Both projects represent important directions in the development of the cut flower program, which offers the greatest improvement in farming revenue. All of these projects were undertaken engaging Mellano and Company as farmer, with consultation from the University of Riverside and various bulb and cut flower growers. 5600 AVENIDA ENCINAS SUITE 100 CARLSBAD, CA 92008 TELEPHONE 760 930-9 123 FAX 760 43 I-9020 www.theflowerfields.com 5- Gary E. Wayne November 6,200O Page 2 Attached hereto is a detailed summary of the project costs together with the paid Me&no invoices, Please let me know if you require additional information. Very truly yours, CCC/dd Enclosures S:\CCCUsETTERS\WAYNE FLOWER FIELDS GRANT ZoM).doc b Gary E. Wayne November 6,200O Page 3 Grant Request Amount: $35,646.00 Project Description: Two acres of ranunculus planted exclusively for the purpose of developing seed for the best forms and colors of the current varieties. Each color is separated by a barrier to insure seed purity and color integrity. Plants will undergo constant individual selection to support only the most vibrant colors with flower and plant material truest to form. Project Benefit: Selection and variety improvement is critical to the long-term preservation of Tecolote Ranunculus and operation of The Flower Fields. To maintain The Flower Fields stature as the dominant source of ranunculus in the world market and its Carlsbad coastal presence, The Flower Fields must establish and continue this proposed research program. Finest quality and the most vibrant color is the only way in which The Flower Fields can compete with third world labor and cultural costs to maintain its own preservation. Proiect Budget: Selection Research: 2 acres Pesticides $5,512 Wages & Salaries 15,421* Payroll Taxes 1,400 Workers Compensation 293 Employee Benefits 153 Supplies 2,296 Gas & Oil 418 Equipment Leasing 422 Licenses & Taxes 192 Repair & Maint. General 365 Telephone 29 Misc. General 418 Utilities 31 Water 3,280 Outside Services 1,173 Management Fee 4,200 Rent 43 Total $35,646.00 *Two dollar (2.00) variance due to rounding. Project Timing S:\CCC\LETTBRS\WAYNE Fl .OWER FIELDS GRANT 2C03.dcc Gary E. Wayne November 6,200O Page 4 Work commenced July 1,1999. Grant Request Amount: $7472 Proi ect Description: Approximately one-half acre planted with newly developed color varieties for purposes of selecting for cut quality, color, and evaluation of bulb quality. Project Benefit: Identification and development of a fall-oriented color palate will allow for specialty marketing of the cut flower crop. If successful, this color mix will also enhance the long- term bulb sales to greenhouse cut flower growers. Purple is a highly desirable color which has not been offered in the Tecolote line. The effort to develop a relatively consistent line will enhance overall crop marketability. Project Budget: Special color selection Pesticides $1156 Wages & Salaries 3232 Payroll Taxes 294 Workers Compensation 62 Employee Benefits 32 Supplies 482 Gas & Oil 88 Equipment Leasing 88 Licenses & Taxes 40 Repair & Maint. General 76 Telephone 6 Misc. General 88 Utilities 6 Water 688 Outside Services 246 Management Fee 880 Rent 8 Total $7472.00 Proi ect Timing: Work commenced July 1, 1999. S-\CCC\LETTERS\WAYNE FLOWER FIELDS GRANT 2ooO.dw 8 February 20,200l Gary Wayne Assistant Planning Director City of Carlsbad 1635 Faraday Avenue Carlsbad, CA 92008 REl: Revised Letter and Grant Request Dear Gary: Enclosed is the revised letter and Grant request tying to the $43,118 with footnote noting that the salary and compensation number on the selection grant, through rounding was overstated by $2.00, therefore in the project budget it is reduced by $2.00 to tie to the final costs and invoices. I’ll separately be sending you a report regarding the project for you to include in the agenda bill. I’ll try to have that to you before the end of the week. for fl e Flower Fields CY cc/so S~'CCC\LETmRS'WAY~W~~~ ENCINAS SUITE 100 CA 92008 CARLSBAD, TELEPHONE 760 930-9123 FAX 760 431-9020 www.theflowerfields.com 9 February 20,200l I.. ,’ I : / : I. . . Gary E. Wayne Assistant Planning Director City of Carlsbad 163 5 Faraday Avenue Carlsbad, CA 92008 RE: 1999/2000 Grant Request Studies Dear Gary: The purpose of this letter is to summarize the results of the two projects funded in 1999/2000. 1. Seed selection A grant was requested for a second years work on selection of crops on a seed to seed production. In prior years the results which were obtained from using seed to produce new seed rather than using selected bulbs to produce seed was less than satisfactory. Colors were not true and were often mixed. During 1999/2000 the work was again pursued using selected seed from true color flowering crops to then create seed producing block of flowers. The primary reason for the seed to seed effort is that a seed produced seed will tend to be less impacted by viruses and other elements which can weaken the vigor and the genetic stability of the bulb produced flower and thus provides the strongest potential seed for future development. In this years crop significant progress was made in having true to color and true to form bulb selection. Additional work will need to be done to improve the number and the dominance of the multi-petaled “double” parent products from the seed to seed production as well in some of the colors production continues to be seed production and the trueness continues to be weak. However we are encouraged by the results of the work since it will allow us to develop a strongest line possible for field production. 5600 AVENIDA ENCINAS SUITE 100 CARLSBAD, CA 92008 TELEPHONE 760 930-9123 FAX 760 431-9020 www.theflowerfields.com Gary E. Wayne February 20,200l Page 2 2. Cafe For the second year in a row and this time in a larger block a cafe colored dominated by browns and oranges was grown. These “fall” colors were tested in spring sales as well as in some fall sales. While there was clearly acceptance in fall, it appears that the season will be too short to use this as a primary line. In springtime the colors were not particularly sought by the florists because of the dominance of the brighter pastels and other colors. Accordingly although we’re satisfied that we’ve developed a color mix which is satisfactorily dominated by fall colors, it does not appear that we will be able to use it as a commercial vehicle in the future. We do intend to retain the work that was done and maintain a small and continuing block of these colors. 3. Purple One of the target objectives at the Flower Fields program over an extended period of time has been the development of a field grown purple, which could be added to the current mix of colors. A large block was grown this year. The produced block was more consistent than the smaller block seen in the past and a significant number of the products were of a deep purple hue which is the color being selected. The cut flower color was well received, but significant work still needs to be done in order to improve the consistency by color and by multiple petal appearance. However, this years work demonstrated that the selection to date has created a viable crop. Thank you very much for the support and please feel free to call me with any questions or comments you may have regarding the forgoing.