HomeMy WebLinkAbout1991-09-16; Parks & Recreation Commission; 991-5; Magnolia site development report updatePARKS & RECREATION COMMISSION - AGENDA BILL
TITLE: MAGNOLIA SITE DEVELOPMENTAB # .
4 - / L> • °l I REPORT UPDATE (INFO)M I V3« -
RECOMMENDED ACTION:
Accept and file staff presentation relative to a recent Council action regarding the
Magnolia site acquisition and development.
ITEM EXPLANATION;
During the August 6th City Council meeting, City staff presented the Magnolia site
acquisition and development study (Exhibit 2) which was the subject of the Parks and
Recreation Commission's report to the Council on Northwest Quadrant Park
Enhancement Issues. For an accounting of Council's action please refer to Exhibit 1 on
the following page.
Staff will present a verbal update and answer any questions the Commission may have.
FISCAL IMPACT;
None at this time.
EXHIBITS;
1. Memo to Parks and Recreation Director August 8, 1991
2. City Council Agenda Bill - Magnolia Site Acquisition/Development
August 8, 1991
TO: PARKS AND RECREATION DIRECTOR
FROM: Senior Management Analyst
MAGNOLIA ACQUISITION AND DEVELOPMENT/CITY COUNCIL AGENDA ITEM
It is my understanding that the Council action relative to the agenda item concerning the
Magnolia acquisition and development presented August 6, 1991, was as follows:
1. Staff was directed to report back to the Council with specific information on
the establishment of a Community Facilities District (CFD) in the northwest
quadrant for park enhancement. This report is to include various amounts
of money which would be generated at various levels of assessments over
various time frames.
2. Relative to the acquisition of the Magnolia site, we should at this time keep
all options open including unilateral acquisition and development of the
entire 13.9-acre site as well as joint possibilities for acquisition and
development of the site with the Carlsbad Unified School District.
It was suggested by the Council that we inform the School District of our
efforts to establish a CFD for the acquisition and development of the site as
they may wish to consider this as an alternative in their efforts to pursue
acquisition and development of the 5.3-acre site to meet their needs.
3. Relative to the Hosp Grove area, staff is to prepare a scoping assessment
as to what we envision as an enhancement plan for Hosp Grove which is
to also include the entire south shore of the Buena Vista Lagoon
encompassing the area at the Duck Feeding pond to the north and
extending westerly to include Maxton Brown extension ending at the Pacific
Ocean.
There are additional points which will be necessary as support information when this
issue will again be addressed by the City Council. That information would include:
Descriptions for the recommended northwest quadrant park enhancement
projects
The estimated costs of each project
Any direction that the Carlsbad Unified School District is pursuing relative
to their efforts to acquire and develop the Magnolia site
This information was requested to return to the City Council in late September or October
for their consideration. For information relating to the formation of a CFD, we will need
to meet with the Financial Manager. However, I believe all other issues can be addressed
within our department. We will begin on this issue directly and keep the Parks and
.Recreation Commission abpeast of our endeavors.
Ks
ITH BEVERLY
FYHTRTT 1
c:' Assistant City Manager 6 0 C A"
Financial Manager
CITY OF CARLSBAD - AGENDA BILL
MAGNOLIA ACQUISITION AND
DEVELOPMENT STUDY
DEPT../€
DEPT. .
CITY ATrvV^O
CITY
RECOMMENDED ACTION:
After review of the staff report and consideration of the alternatives, your motion
would be to direct staff to take the appropriate action regarding the
acquisition/development of the Magnolia site.
- » A -
ITEM EXPLANATION
In a City/School Coordinating Committee meeting held on February 22, 1991, the
subject of this report was discussed. In light of the fiscal implications and availability
for public use of the proposed park, Council representatives in attendance at the
meeting recommended that the issue of the Magnolia acquisition and development
should be referred to the City Council for further consideration and direction.
BACKGROUND
On August 28,1990, the City Council accepted a report from the Parks and Recreation
Commission related to a five (5) year plan for park enhancement within the Northwest
Quadrant of the City. The report was prepared in cooperation with representatives
from a citizens' group and departmental staff.
Staffs recommendation as part of the agenda bill that accompanied the Commission's
final report with respect to the property adjacent to Valley Junior High School
(Magnolia site) was:
"That the issue of acquisition and/or development
strategies for the 13.9 acre parcel be considered by the
City/School Coordinating Committee. If a joint venture
can be worked out to the satisfaction of both parties, a
report outlining the financing and development concepts
should be prepared for future district and City Council
consideration."
The primary reasons this particular property was considered for park enhancement
opportunities were:
1. It would satisfy the citizen group's request that a community park be scheduled
in the Northwest Quadrant within the next five (5) years.
2. It would replace the original proposed Northwest Quadrant community park
site (Pine Elementary School, seven (7) acres) previously scheduled for
acquisition and development in the CIP after the year 2000.
3. It was the only partially vacant land within the study area that had potential tor
development.
36
4. Potential joint acquisition, development and use opportunities with the CUSD.
ft I
Although the City accepted the final report and recommendation(s), the following
modification was made by Council with respect to the Magnolia site.
"City [staff] is to pursue the acquisition of the property
adjacent to Valley Junior High School unilaterally while
discussing the matter with the high school (joint venture]."
COMMENTS/DISCUSSION
Staff investigation to date has determined that the subject property of 13.9 acres
consists of eight (8) parcels, four (4) property owners and three (3) dwelling units.
On September 4, 1990, the City Manager directed staff to prepare a joint use
acquisition and development feasibility study for City/School Committee consideration.
The intent of the study was to determine if the needs of the City and District could be
mutually met, principally the availability of the facility for public use throughout the
day.
Staff prepared four (4) conceptual site plans based on the City's community park
concepts. These plans were then reviewed with district officials on September 25.
1990, to determine if the needs of both the District and the City could be met as
outlined in the proposed conceptual plans.
After review, it was determined by both the District and City staff that alternative
conceptual plan #3 could mutually benefit both agencies. It was also determined that
to accommodate the planned recreational amenities that all the parcels totaling 13.9
acres would be needed.
In a subsequent meeting, the District indicated they would require the use of the large
activity play fields for their PE classes during school hours and on an "as needed" atter
school basis for their organized athletic programs. Consequently, during the school
year the fields would only be available for public use on weekdays after 5:00 p.m. and
on the weekends. The District would not require the use of the community center or
the passive areas, and accordingly, those areas could be made available for the general
public throughout the school day and on weekends.
Park Inventory Analysis (NW)
There is a -<1.71> acre park deficit in the Northwest Quadrant. This is based on the
City's park inventory as of April 1991,
Acres Required Acres Exist. + / -
78.07 76.36 -<1.71>
*NOTE: Parkland deficit will be eliminated by the Hosp Grove and Sculpture
Park Enhancement projects scheduled to be completed in the next two
years totaling 5.71 acres.
sy
. Page 3
Park projects and/or sites included in the approved park Master Plan in the Northwest
Quadrant that have an approved financial mechanism for acquisition and development
are:
Site. Acres Fiscal Year
Veteran's Memorial 25 2000+
Park Acq/Devel (Pine) 7 94-2000
Community Center/Gym 2000+
(location to be determined)
Cannon Lake 6.87 • 95-2000
Hosp Grove (improvements) 5.54 92-93
Maxton Brown Extension 1.15 95-96
Sculpture Park .17 91-92
Total 45.73
At buildout the inventory indicates there will be a 6.37 acre surplus of park land in the
Northwest Quadrant.
Acres Required Acres Exist. + / -
113.91 120.29 +6.37
Additional Northwest Quadrant park enhancement projects under consideration as
approved by Council in August of 1990:
Site Acres Fiscal Year
Magnolia Acquisition/Devel 13.97 . N/A
Maxton Brown Corridor Ext. 4.00 96-2001
AHLZoneS 11.3 N/A
Total 29.27
It should be noted that of the above 29.27 acres of park enhancement projects,
currently only seven (7) acres of that total has a financial mechanism for acquisition
and development in the Northwest Quadrant approved CIP program.
FISCAL ANALYSIS
(AcquisitJ» and Developmeat)
In developing cost estimates for the City acquisition and development of the 13.9-acre
Magnolia site, staff has estimated the cost may range from 13 to 16 million dollars
($13,000,000 - $16,000,000). Additional funding may also be required for the purchase
of the three (3) dwelling units and the exact cost for this particular acquisition has not
been determined at this time.
40 B2
M £/AB# '__, Page 4
ITEM
Acquisition
Park Improvements
Community Center
Offsite Improvements
Contingency 20%
ESTIMATED COST
LOW HIGH
14 ac
14 ac
Subtotal
Total
Annual Maintenance & Operation
(not included in current budget forecast)
$4,200,000
1,890,000
3,000,000
1.210.000
10,340,000
2.068.000
*$ 12.408.000
$250,000
$7,000,000
1,890,000
3,000,000
1.250.000
13,140,000
2.628.000
$15.768.000
$250,000
*Note
In addition to the above cost estimates, there are three (3) dwelling units that will
require acquisition considerations.
(Available Financing)
As outlined in the 1990 to buildout Capital Improvement Program (CIP) there is a
total of PIL and PFF funds of $8.2 million available for future park projects including
a community center in the Northwest Quadrant between today and buildout.
The majority of the funds were earmarked for the acquisition and development of the
Pine School site for future community park purposes. It also should be noted that the
bulk of the funds will not be received by the City until well after the year 2000.
According to the Finance Department, as of March 1, 1991, there is a total ot
$1,260,000 in the PIL fund that could be used for park acquisition purposes.
If the City Council allocated all current park-in-lieu funds ($1.2 million) to the
Magnolia Park project, available resources would fall short of the needed funding by
$11.2 to $14.5 million. If we assumed that all Northwest Quadrant park-in-lieu and
Public Facility Fee funds ($8.2 million) to be received through buildout were available
to fund this project today, we are still short by $4.2 million to $7.6 million.
It should be noted that if Council determines to fund all or part of the proposed
Magnolia project and move it up in priority, the CIP would have to be amended by
deferring the approved programs such as additional quadrant park plans, libraries,
street and or other PFF planned improvements. This reallocation of funds could have
an effect on the City's ability to meet growth management standards in other parts of
the City.
If Council determines to use General Fund monies over $1 million dollars, it would
require a Prop H vote.
AB#_! , Page 5
(Financing Alternatiyes)
Should the Council decide to proceed with this project a financing program must be
developed. The financing program will depend on one or more of the following
alternatives to raise the necessary funds for the project:
1. Debt Financing
a. General Obligation Bonds - This type of bond issue requires approval
by 2/3 of the voters of Carlsbad. This issue would provide the funding
necessary to purchase and construct the park but does not provide
funding for ongoing operating costs. A general obligation bond issue
provides the City Council with the authority to levy a tax on property
owners within Carlsbad to raise funds to cover annual debt service
payments.
Mello-Roos Community Facilities District (CFD) - A Mello-Roos
community facilities district could be formed within the Northwest
Quadrant to provide the necessary funding for acquisition and
development of .the site. The Council may define the boundaries of the
CFD to be less than the boundaries of the City. A tax is imposed on the
property within the CFD to raise the amount needed for annual debt
service payments on operating costs. The formation of a CFD requires
approval of 2/3 of the voters within the district boundary.
c. Certificates of Participation (COP's) - A Certificate of Participation is
similar to a bond. The City may issue COP's without voter approval.
However, the General Fund is used to repay the debt. This additional
demand on General Fund revenues will require a reduction in City
services to meet annual debt service payments.
d. 1972 Lighting and Landscaping Act - The 1972 Act is generally used to
support maintenance and operating costs of landscaped areas. Although
the Act has been used for land acquisition in some cases, this activity is
outside the intent of the Act. Development of parks can also be funded
through the Act although, again, this is an expansion of the original
intent. Council may form a 1972 Act District where a benefit from the
improvement or maintenance area is realized by the property. Council
would annually levy an assessment against property within the District
to raise funds necessary to meet debt service and/or maintenance costs.
Determining an area of benefit may be difficult in light of our current
Quadrant park financing program.
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6,3
.AB# ' . Page 6
2. General Fund -
The Council may decide to support this project from the General Fund.
If this option is selected, staff will report back on the budget reductions
necessary to make funds available. Council should realize that the
budget impacts of this option will be substantial.
ALTERNATIVES
1. Maintain the program as outlined in the FY 90-91 CIP Budget for the
development of a community park in the Northwest Quadrant (acquisition and
development of Pine Elementary School, 7 acres).
Pros
The Pine School acquisition and development program would result in
a surplus of 6.37 acres of parkland based upon 3 acres/1000 population
at buildout and would exceed the park performance standard of the
Growth Management program.
The acquisition/development costs and the mechanisms to finance that
expense is currently identified in the approved 1990 Capital
Improvement Program.
Cons
As outlined in the Northwest Quadrant Park Enhancement Report, the
opportunity for the City to acquire the Pine School site is not a certainty
at this time. CUSD officials do not anticipate the sale of the site until
after the year 2000, if at all. This time frame does not fall within the
Northwest Quadrant Citizen Group anticipation of a five year park
enhancement program.
2. Delete the Pine acquisition, City to acquire and develop entire 13.9 acre
Magnolia site for community park purposes.
Pros
The park performance standard in the Northwest Quadrant at buildout
would be exceeded by 13.22 acres.
The park could possibly be acquired and developed within a five year
time frame if a financing plan is secured.
The 14-acre site could house the types of amenities that are currently
associated with community park development within the other quadrants
of the City.
43
AB# _, Page 7
Cons
The cost to acquire and develop is estimated at $13 to 16 million
(including offsite improvement and community center/gymnasium). The
total funds (PIL and PFF) identified in the CIP for a community park
in the Northwest Quadrant amount to $8.2 million but will not be
available until well after the year 2000+. (Refer to fiscal impact
statement.) Total funds available to date are approximately $1.2 million.
Additional funding mechanisms would be required for approximately
$4.2 - 7.6 million. All funding mechanisms would need to be advanced
in order to meet a 5-year development timeline.
The park development would increase neighborhood traffic, parking,
noise and lighting impacts.
Would require the purchase of (3) existing dwelling units.
3. Jointly acquire and develop the 13.9-acre site with the Carlsbad Unified School
District. [CUSD has stated they are pursuing the acquisition of a 5.34-acre
parcel within the site in order to provide much needed activity play Fields
preempted by the high school expansion program.]
Pros
If CUSD were to acquire the 5.34-acre site for activity playfields, it could
work within a conceptual park design and reduce the City's
acquisition/development costs by approximately $2.3 - 3.4 million. The
City's portion to acquire and develop the remaining 8.6 acres would
range from $3.7 to 5.4 million. Additional costs for offsite improvements
($1.2 million) need to be discussed with the District.
A joint use agreement would provide public use of the playfields during
non-school use.
Cons
Public use of the activity playfields would be restricted during periods of
school use (8-5 Monday through Friday approximately).
May require City to purchase two (2) existing dwelling units on the
remaining parcels.
City expenditures ($3.7 - 5.4 million) would be required to be advanced
in order to meet a 5-year development timeline. The shared costs of
offsite improvements ($1.2 million) and the costs for the community
center/gymnasium ($3 million) are not included in these figures.
4. Revise the current park development program to-the extent that the City
unilaterally pursues the acquisition of the 534-acre parcel only.
44
64
AB#__, Page 8
Pros
The cost of acquisition and development ($2.3 - 3.4 million) would be
significantly less than the cost of the total site. This figure does not
include offsite improvements ($1.2 million) or community
center/gymnasium ($3 million).
The site would provide multi-use activity playfields and meet the
recommendation of the Recreational Facility Financing Committee to
provide an adult soccer field in north Carlsbad.
On an interim basis, the adult soccer field requirement has been satisfied
by the renovation of the upper Valley field, completed in December of
1990.
• The park performance standard at buildout would be exceeded by
approximately 4.7 acres.
A financing mechanism is in place for acquisition and development of
5-7 acres of parkland in the Northwest Quadrant (approved 90-91 CIP
Budget).
Would eliminate the necessity to purchase two (2) existing homes.
Cons
The size of the parcel (5.34 acres) site would not allow for the types and
quantity of amenities, i.e. community center, active or passive areas,
currently being developed in other community park sites and may not
meet the expectations of the Northwest Quadrant Citizen Group.
Funding mechanisms would need to be advanced in order to meet a
5-year development timeline.
Traffic, noise, light, neighborhood disruption issues.
Parking issues.
CUSD would require use of facilities during the school year.
Would require the purchase of one existing dwelling unit.
5. Jointly purchase and develop the 5 34-a ere site with the Carlsbad Unified
School District. Retain plans to acquire the Pine School site in the future if
it becomes available and if a financing mechanism can be secured.
Pros
- Park acreage at buildout would exceed the park performance standard
by 4.7 acres under the current guidelines (joint use agreement).
Would eliminate the necessity to purchase two (2) existing homes.
.AB#_! _ , Page 9
• The cost to acquire/develop and provide offsite improvements would
range from $3.3 - 4.4 million. A joint venture would cost $1.7 - 2.3
million. Although $1.2 million in park-in-lieu funds is currently available,
a total of $2.38 million will be available by 1994-95. This amount may
fund the City's share.
Multi-use activity playfields would be available for public use under a
joint use agreement with CUSD within a 5-year time frame.
Cons
The size of the park site would not allow for the types and quantity of
amenities currently being developed in other community park sites and
would not meet the expectations of the Northwest Quadrant Citizen
Group.
Traffic, noise, light, and neighborhood disruption issues.
Parking issues.
Would require the purchase of one existing dwelling unit.
CUSD would require use of facilities during the school year.
6. District purchase and develop subject parcel. City enters a use and
maintenance agreement for public use.
Pros
Would allow the City to direct existing financing mechanisms to other
park enhancement projects.
Eliminate neighborhood disruption issue and offsite improvement costs.
Cons
Would not meet the expectations of a community park in the northwest
quadrant.
7. The City purchases the total 13.9 acre Magnolia site and land bank for
future park development and/or enter into an agreement with District
and they develop for joint use.
Pros
Create a land bank for future park considerations.
Opportunity exits for joint development and use.
Cons
May not meet the Northwest Quadrant citizens' group expectations of
a community park within the next five years.
48 65
AB#_: , Page 10
There are insufficient funds available for acquisition of the 13.9 acre
Magnolia site.
Neighborhood disruption issues and offsite improvement impacts.
8. Hosp Grove development proposal.
The last alternative Council may wish to consider would be to redirect
the NW Quadrant existing financing mechanism (PIL, PFF) to a phase
development program of the city owned 75.5 acre Hosp Grove, (trails,
staging areas, picnic grounds, play areas, possible interpretive and
community center location).
Pros
Creates a public use within the grove area.
Financing mechanisms are in place (PIL, PFF).
Has potential in enhancing the proposed city wide trail system (park
standard/dedication revision).
May reduce neighborhood disruption issues.
Potential site for community center.
Cons
May not meet the expectations of a community park concept in the NW
Quadrant.
SUMMARY
The City's existing long range park development and financing program would satisfy
the park performance standard by build-out in the North west Quadrant (Pine
Elementary School acquisition and development). To extend the adopted park and
amenity standards beyond buildout projections in any quadrant would create a City
wide financial burden.
To provide a comprehensive community park that includes a balance of active and
passive recreational amenities would require the acquisition of the entire 13.9 acre
Magnolia site, which includes three (3) dwelling units and the consideration of major
offsite improvements.
Our analysis indicates there are insufficient funds available to acquire and develop the
entire site based on our existing financial mechanisms (PIL, PFF).
To enter into a joint acquisition and development venture with the District tor a
portion of the Magnolia site, may not meet the community park desires of the
Northwest Quadrant Citizen's group.
47
J , Page 11
C lt is extremely difficult to locate a suitable site to build one large comprehensive
community park in the older part of the Northwest Quadrant without causing either
a neighborhood disruption issue or entering condemnation proceedings.
If the Pine School site never becomes available for community park purposes, Council
may wish to consider redirecting'the Northwest Quadrant financing mechanisms (PIL,
PFF) to a phased development program of Hosp Grove (trails, picnic areas,
interpretative center etc.).
If General Fund monies of over $1 million dollars are used it would mandate a Prop
H vote.
Staff is seeking direction from Council to either:
1. Maintain the current program as outlined in the FY 90-91 CIP budget
for the development of a community park in the Northwest Quadrant
(acquisition and development of Pine Elementary School, 7 acres).
2. District purchase and develop Magnolia parcel. City enters use and
maintenance agreement for public use.
3. Develop a long range Hosp Grove enhancement program.
EXHIBITS;
1. Site Map
2. Proposed Magnolia Site Community Park Conceptual Plans
48
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