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HomeMy WebLinkAbout2002-07-23; City Council; 16825; Flower Fields Grant Requests No. 5 & 6CITY OF CARLSBAD -AGENDA BILL AB# 16,825 TITLE: MTG. 7-23-02 FLOWER FIELDS GRANT REQUESTS NO. 5 81 6 AND APPROPRIATION OF FUNDS DEPT’HD. CITY ATTY. w DEPT. PLN d ClTYMGR a RECOMMENDED ACTION: That the City Council ADOPT Resolution No. 2002-211 , APPROVING two grant requests by the Carltas Company for a total $50,000 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, that may be disbursed from the $935,000 special revenue account be limited, in each fiscal year, to seed promulgation and marketing research. The agreement also stipulates that the amount of funds the amount of accrued interest not previously expended or encumbered. The Carltas Company, as land owner and representing the “Flower Fields” grower (Mellano), has “Flower Fields.” Both projects were initiated in July 2001 and the results of the experimental projects requested two separate grants to fund projects that would assist in the long-term production at the will be determined during the four months following the June 2002 harvest. The first project is a request for a renewal of last year’s targeted seed development and new plant selection project 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. Last year’s 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. This year’s project instead will focus on germination rates of seed collected from this year’s harvest in June. The management of the project continues to be performed by the same senior personnel and the senior grower involved in the main operation, however, a separate accounting system is employed so that costs associated with the project are segregated from the costs associated with the main operation. The grant request for this project is $25,000 to reimburse the applicant for partial out-of- pocket expenses ($42,233). The applicant‘s contribution will be $17,233. The second project involves an experiment to identify a reasonable alternative for fumigation with methyl bromide. Methyl bromide has been the most effective pre-emergent field treatment for ranunculus, reducing soil disease and pest problems without affecting ranunculus tuber development. However, California and the US have established a timetable for the ban of methyl bromide because of the possible impacts the compound has on the depletion of the earth’s ozone survival of the ranunculus crop in Carlsbad and elsewhere. The experiment consisted of a layer. Consequently, identification of an effective fumigation alternative is critical to the long-term four-acre area was divided into three sub-areas and each sub-area included an untreated combination of ten different treatments (delivery systems and compounds) to a four-acre area. The I PAGE 2 OF AGENDA BILL NO. 16,825 checkkontrol area. The ranunculus bulbs from the treatment area will undergo physical and tissue examination following the June 2002 harvest. The applicant has requested $25,000 to partially cover out-of-pocket expenses that will total $31,790 (applicant's contribution, $6,790). 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 are almost complete and the actual costs have been audited through May 2002, and the actual costs exceed the grant requests. The audited costs have been 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. The project's applicant will require approximately four months to conduct the analysis of the data to assess the results of each experimental project. The grant from the Conservancy requires the City of Carlsbad to annually assess the viability of the program. To assist in this assessment the City requires the applicant to submit a report at the conclusion of the project's that details how the project's met the intended objectives. The applicant has indicated that the required report will be submitted to the City by September 30, 2002. Since the applicant has already spent "out-of-pocket" more than the total requested for the two grants, staff is recommending full appropriation of the total request ($50,000) on the condition the required report be filed with the City prior to the submittal of any future grant requests. ENVIRONMENTAL: The Planning Director has determined that both projects are minor alterations to existing facilities andlor operations, and therefore, categorically exempt from environmental review pursuant to §I5301 (existing facilities). The Planning Department will file the notices of exemption following project approval. FISCAL IMPACT: The two projects are requesting a total of $50,000. When the grant application was made, the special revenue account had sufficient interest accrued to fund both projects. As of mid-June 2002 the special account balance was approximately $1,097,567 (or $162,567 in interest). Therefore, there is currently sufficient interest to fund the two projects and to cover Carlsbad administrative costs (estimated to be 10% of the grant or $5,000). EXHIBITS: 1. City Council Resolution No. 2002-211 2. Flower Fields Grant Request Letter, dated May 17,2002. d I 1 2 4 4 - 6 7 E s 1c 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION NO. 2002-211 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA APPROVING TWO GRANT REQUESTS BY THE CARLTAS COMPANY TO PROVIDE RESEARCHANDASSISTANCETOENSURETHE LONGTERM PRODUCTIVITY OF THE CARLSBAD RANCH FLOWER FIELDS. CASE NAME: FLOWER FIELDS GRANTS NO. 5 & 6 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. 5 requests $25,000 to conduct research on seed selection and germination trials; and WHEREAS, Grant No. 6 requests $25,000 to conduct research on effective alternatives to methyl bromide fumigation; and WHEREAS, staff has reviewed and recommends that each grant is consistent with the purpose stipulated in the agreement between the City 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 (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 $55,000 to pay for the grants ($50,000) and the City’s administrative costs ($5,000). NOW, THEREFORE BE IT RESOLVED, that the following: 1. That the foregoing recitations are true and correct 2. That the Flower Fields Grants No. 5 and 6 are approved. . . .. .... .... 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 1s 16 17 18 19 20 21 22 23 24 25 26 27 28 Condition: 1. Prior to the submittal of any future grant requests, the property owner/applicant shall submit a report to the Carlsbad Planning Department detailing how each project met the intended objectives. PASSED AND ADOPTED at a regular meeting of the City Council of the City of Carlsbad on the 23rd day of JULY ,2002, by the following vote, to wit: AYES: Council Members Lewis, Nygaard, Hall NOES: None ABSENT: Council Members Kulchin, Finnila , bRRAIt$ M. WOOD, City Clerk (SEAL) -2- 4 Page 2 of 2 of Resolution No. 2002-211 May 17,2002 Gary E. Wayne Assistant Planning Director City of Carlsbad 1635 Faraday Avenue Carlsbad, CA 92008 EXHIBIT 2 RE: 2001/2002 Flower Field Grant Request Dear Gary: The purpose of this letter is to request support for two projects for the 2001/2002 growing season. Both projects were initialed in July 2001 and results of the projects will be determined after harvests in June. This season has been particularly difficult. A failure of germination in one large block required reseeding and a significant delay in flowering. The relatively cold period during December- February also slowed flowering with a substantial impact on visitors and cut flower sales. Consequently, support from the Flower Fields fund is more important than ever. We are addressing the failure to geminate with more work in the seed selection process. As noted in the grant request, while our work in the past 2 years has significantly improved the consistency of color (and form) this year’s work will add more focus on germination rates in the collected product. We will also dispose of all seed, which is more than 2 years old. Some of the failure may be attributable to the use of older seed. Support is requested for this effort, a key part of the long-term stability of the crop. We are also more aggressively testing alternatives to methyl bromide as a preemergent soil treatment. In order to test these options a portion of the areas being tested will not produce viable bulbs, and requires significant additional costs. We request support for these additional costs. Enclosed are the project descriptions and budget, together with the billings, which we have received and paid through April. The billings, which have been paid to date aggregate more than the project request. Please let me know if your require additional information. Very truly your, . . ? I - Christophe&?%tlns, President 5600 AVENIDA ENCIVAS SUITE 100 CARLSBAD, CA 92008 TELEPHONE 760 930-9123 FAX 760 431-9020 www.theflowerfields.com 3 / Grant Reauest Amount: $25.000 Proiect Description: This is a request for renewal for a second year of the seed selection project. During the past year, the seed selection project permitted truer color selection for the largest portion of the crop. However, a significant germination failure occurred for a large block of seed planted in fall 2001, resulting in a requirement to replant two entire fields, and delay in flowering until April 2002. Seed selection from this years project will undergo additional germination trials. It is believed that the seed, which failed to germinate, was primarily from 2 year old seed. Consequently, planting in 2002 will be entirely from new seed for which germination trials have been completed in summer 2002. Proiect Budget: Selection Research: 2 acres Paid throueh Pesticides Wages and Salaries Payroll Taxes Workers Compensation Employee Benefits Supplies Gas & Oil Equipment Leasing Licenses and Taxes Repair & Maint. General Telephone Misc. General Utilities Water Outside Services Management Fee Rent (45) (39) Total $(42,233) $(35,212) 5600 AVESIDA ENCINAS SUITE 100 CARLSBAD, CA 92008 TELEPHONE 760 930-9 123 F.AX 760 43 1-9020 www.theflowerficld:5.com Fumigation Alternatives for Methyl Bromide Project Proiect Cost: $31.790 Grant Reauest Amount: $25.000 Proiect Descriution: Methyl Bromide fumigation has been the most effective pre-emergent field treatment for ranunculus, reducing soil disease and pest problems without affecting tuber development. Since the production of bulbs requires growth and drylng in the ground and thus prolonged exposure to soil borne pathogens, an effective soil fumigant is very important. California and the US have announced a timetable to ban the use of methyl bromide because of ozone layer concerns. Consequently, identification of a reasonably effective alternative is critical to long term survival of the crop. Isolated experiments have been undertaken in the past. However, this year a focused and broad series of experiments have been undertaken for which support is requested. Three different treatments have been used in a 4 acre area of blocks 7 & 1 1. 1. Dry Soil Broadcast and Taued Areas were treated as follows: a. Untreated checkkontrol area b. Methyl bromide/chloropicrin (grower standard) c. Telone C35/chloropicrin d. Chloropicrin broadcast 2. Wet Soil Broadcast and Taued Areas were treated as follows: a. Untreated control area b. Basamid c. Basamidkmulsified chloropicrin d. Vapam 3. Driu Auulied and Taued Areas were treated as follows: a. Untreated control b. Emulsified chloropicrin c. Vapam d. Vapdemulsifiable chloropicrin Based on the most effective demonstrated treatments and delivery system, it is anticipated that more focused experiments will be used next year. S \CCCVErrERSIWAYNE FLOWER FIELDS GUN! 2CO14x 7 Project Benefit Identification of a reasonably effective substitute for methyl bromide is critical to long-term survival of the crop in production. This project will focus on the alternatives believed most likely to meet these objectives. Project Budget In electing these experiments within the commercially grown crop, the past history particularly with Vapam, costs of production were increased for the variety of treatments, maintenance of the area and a loss of approximately 1/3 of the bulb production in these areas. The control areas, and certain of the treatment areas are expected to produce bulbs with significant disease issues. Additional weeding costs were anticipated and have been incurred. Consequently the project budget reflects the following: Non-moductive Area (1 113 acres) Paid through Pesticides $ (1,913) Wages and Salaries (i9&4j (including additional weeding) Payroll Taxes (914) April 2002 $(1,768) (16,436) (763)