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HomeMy WebLinkAbout2013-09-10; City Council; 21368; Funding Agricultural Conversion Mitigation FeeCITY OF CARLSBAD - AGENDA BILL 15 AB# 21.368 CONSIDERATION OF FUNDING DEPT. DIRECTOR 0^ MTG. 9/10/13 RECOMMENDATIONS FROM THE CITY ATTORNEY m DEPT. CED AGRICULTURAL CONVERSION MITIGATION FEE AD HOC CITIZENS ADVISORY COMMITTEE CITY MANAGER RECOMMENDED ACTION: That the City Council ADOPT Resolution No. 2013-230 REALLOCATING $615,940 in Agricultural Conversion Mitigation Fee funds; APPROVING the allocation of $1,127,608.53 from the Agricultural Conversion Mitigation Fee fund to the organizations in the amounts recommended by the Agricultural Conversion Mitigation Fee Ad Hoc Citizens Advisory Committee, subject to the final signing by both the grant recipient and the Mayor of a funding agreement itemizing the agreed-upon project milestones and the agreed-upon timing ofthe release of funds; RENEWING the term of the Agricultural Conversion Mitigation Fee Ad Hoc Citizens Advisory Committee for an additional four year term; APPROVING the current operating budget for the Agricultural Conversion Mitigation Fee Committee in the amount of $3,000 for the Committee's term; and APPOINTING members to the Committee for four-year terms. ITEM EXPLANATION: Background Carlsbad Municipal Code (CMC) Chapter 21.202 (Coastal Agriculture Overlay Zone) establishes provisions for the conversion of agricultural land within the coastal zone to urban uses. To convert agricultural land to urban uses, the loss of agriculture must be mitigated. One of the mitigation options specified by the CMC is the payment of an Agricultural Conversion Mitigation Fee (ACMF). The fees are deposited into the ACMF fund and the CMC further establishes that expenditure of the fund is subject to the recommendations of a committee. The City Council has designated the ACMF Ad Hoc Citizens Committee with that responsibility and has established the Committee's Method for carrying out its directive. On February 26, 2013, the City Council authorized the Committee to solicit and evaluate proposals for funding consideration based on the available fund balance and provide recommendations to award those funds. Pursuant to the city's Local Coastal Program and zoning ordinance, ACMF funds may be used for restoring coastal environments, beaches and lagoon environments; improving lagoon nature centers; and purchasing and improving agricultural lands. The ACMF Fund consists ofthe following: • Encumbered fund balance: o Funding set aside for the Committee's operating costs o Funding awarded to grantees that has not yet been disbursed. • Available fund balance—the amount of unencumbered funds that can be made available to future grantees. Reallocation of ACMF Funds The Committee recommends that the City Council reallocate the remaining $615,940 of the encumbered fund balance, which has been set aside for a previously awarded ACMF Grant Project (AGP). This would bring the DEPARTMENT CONTACT: Kevin Pointer 760-602-4620 kevin.pointer(5)carlsbadca.gov FOR CITY CLERKS USE ONLY. COUNCIL ACTION: APPROVED • CONTINUEDTO DATE SPECIFIC • DENIED • CONTINUEDTO DATE UNKNOWN • CONTINUED • RETURNED TO STAFF • WITHDRAWN • OTHER-SEE MINUTES • AMENDED • Page 2 available Fund balance to $1,131,856.28. ACMF grant project (AGP) 06-10 - Carlsbad Beach Nourishment, was recently completed under the $1.5 million awarded for the project. The cost savings is a direct result of partnering with SANDAG in the region-wide beach sand replenishment effort, which reduced the funding needed by using an economies of scale strategy. Through this partnership strategy, the city has saved $615,940. The Committee, therefore recommends that the City Council reallocate $615,940 in unused funds awarded for AGP 06-10 to make it available for other grant projects. Award of ACMF Grants Between April and June 2013, the Committee accepted and evaluated six grant applications for ACMF funding from three organizations. Copies of the grant applications received are on file at the city's Faraday Building in the Community & Economic Development Department. The total amount of funding requested was $1,214,775, which is $87,166.47 more than the amount that could be made available. The Committee recommends funding five of the applications in full, and partially funding the remaining application. Although the applicant for AGP 13- 04 - Floral Trade Center Improvements originally requested $250,000 in funding for the project, the Committee recommends funding the project with approximately $163,000 given that the funding requested from all grantees exceeds the funding that could be made available with reallocating funds from AGP 06-10 - Carlsbad Beach Nourishment. A summary of the Committee's funding recommendations is attached to the City Council Resolution as Exhibit A. Renewal of Committee's Term The Committee's term has most recently been reestablished by City Council in 2009 and expired on August 9, 2013. Since the fund will continue to accrue based on the conversion of remaining coastal agricultural land, additional work remains to be completed by the Committee. This work includes making recommendations on the allocation of those funds, as well as monitoring the progress of awarded grant projects. The Committee recommends that the City Council extend the Committee's term for an additional four years and approve a budget of $3,000 to support the Committee's operations over the Committee's renewed four-year term. Appointment of Committee Members Each of the existing Committee members expressed an interest in continuing to serve on the Committee. A roster of the existing seven-member Committee is attached as Exhibit 2. Appointments to the Committee are made by the Mayor with the advice and recommendations of the City Council. Miscellaneous Committee Recommendation At the Committee's meeting of June 25, 2013, the Committee passed a motion to convey to the City Council the Committee's concerns regarding the future ofthe strawberry fields and Carlsbad Strawberry Company business, if and when the development of the San Diego Gas & Electric parcel takes place. The Committee's motion was passed in response to concerns raised by Peter Mackauf General Manager ofthe Carlsbad Strawberry Company. Additional detail regarding the June 25, 2013 Committee is included in Exhibit 3 (Draft Committee meeting minutes). FISCAL IMPACT; Agricultural Conversion Mitigation fees are collected as coastal agricultural lands that are subject to the fee convert to urban use. These fees have been set-aside in a special city fund dedicated to providing the types of grants the Committee will consider during the project solicitation/evaluation process. The balance available in the Fund is $515,916.28 and with reallocating unused funds set aside for AGP 06-10 - Carlsbad Beach Nourishment in the amount of $615,940, the available balance within the fund will increase to $1,131,856.28, This amount includes interest income accruals deposited into the account since the time the Committee solicited grant applications in April 2013. The Committee recommends that the City Council approve the allocation of $1,127,608.53 to fund grant projects. The Committee also recommends that the City Council approve the existing operating budget originally established through prior City Council action in the amount of $3,000 to support the Committee's operations over the renewed four-year term. Since $3,000 is already appropriated per 7- Pages prior City Council action to support the Committee's operating costs for its term ending on August 9, 2013, the recommended action would not require appropriating additional funds from the available fund balance. The only direct cost to the City resulting from the recommended action will be the staff time and miscellaneous expenses to support ongoing operations ofthe Committee. ENVIRONMENTAL IMPACT; The proposed allocation of ACMF funding In the amounts recommended by the Committee is exempt from the requirements of CEQA. For the projects that are recommended to receive ACMF funding, the award of grant funding does not authorize, permit, or guarantee the construction of such projects. Because the activity of awarding funds will not result In any development, construction, alteration of land, or other activity that could cause a significant effect on the environment, the award of funding is exempt from environmental review pursuant to CEQA Guidelines Section 15061(b)(3), which states that "CEQA applies only to projects which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA." The projects to which the funding is applicable will be evaluated pursuant to CEQA at the time development plans for those projects are submitted to the City or other lead permitting agency for review. At this time, there Is insufficient information to determine whether the projects will result In any significant environmental impacts. EXHIBITS; 1. City Council Resolution No. 2013-230 2. Committee Roster 3. Draft Minutes from June 25, 2013 Committee Meeting. 3 6 1 RESOLUTION NO. 2013-230 ^ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, 3 CALIFORNIA, REALLOCATING $615,940 IN AGRICULTURAL CONVERSION MITIGATION FEE FUNDS; APPROVING THE 4 ALLOCATION OF $1,127,608.53 FROM THE AGRICULTURAL CONVERSION MITIGATION FEE FUND TO THE ORGANIZATIONS IN 5 THE AMOUNTS RECOMMENDED BY THE AGRICULTURAL CONVERSION MITIGATION FEE AD HOC CITIZENS ADVISORY COMMITTEE, SUBJECT TO THE FINAL SIGNING BY BOTH THE 7 GRANT RECIPIENT AND THE MAYOR OF A FUNDING AGREEMENT ITEMIZING THE AGREED-UPON PROJECT MILESTONES AND THE AGREED-UPON TIMING OF THE RELEASE OF FUNDS; RENEWING THE TERM OF THE AGRICULTURAL CONVERSION MITIGATION FEE AD HOC CITIZENS ADVISORY COMMITTEE FOR AN ADDITIONAL 10 FOUR YEAR TERM; APPROVING THE CURRENT BUDGET FROM THE AGRICULTURAL CONVERSION MITIGATION FEE FUND IN THE 11 AMOUNT OF $3,000 FOR THE COMMITTEE'S TERM; AND APPOINTING MEMBERS TO THE COMMITTEE FOR FOUR-YEAR TERMS. CASE NAME: AGRICULTURAL CONVERSION MITIGATION FEE AD HOC CITIZENS ADVISORY COMMITTEE 9 12 13 14 15 follows: The City Council of the City of Carlsbad, California, does hereby resolve as WHEREAS, the City Council of the City of Carlsbad has created the Agricultural Conversion Mitigation Fee Program (Program) and Agricultural Conversion Mitigation Fee fund (Fund), through which coastal agricultural land may be converted from agricultural land uses to 16 17 18 19 20 urban uses based upon the payment of an agricultural conversion mitigation fee; and 21 WHEREAS, on July 28, 2009 the Carlsbad City Council extended the term of the Agricultural Conversion Mitigation Fee Ad Hoc Citizens Advisory Committee (Committee) whose charge is to call for, review and make recommendations to the City Council for proposed expenditures (Grants) from the Fund in keeping with the directives established by Carlsbad Municipal Code Section 21.202.060 and the City's Local Coastal Program; and 23 24 25 26 27 WHEREAS, $511,668.53 of unencumbered funding Is available to implement the 28 Program; and 16 17 18 19 20 24 25 26 27 28 Council Resolution 2007-029 for AGP 06-10 (Carlsbad Beach Nourishment) is no longer needed to complete the project and could be reallocated for other grants; and WHEREAS, the Committee was authorized through City Council Resolution 2013- 047 to solicit and evaluate proposals for funding consideration and provide recommendations 1 WHEREAS, $615,940 In funding that was previously appropriated through City 2 3 4 5 6 7 to award the funding available; and WHEREAS, between April and May 2013 the Committee solicited grant proposals and evaluated all proposals received for eligibility and merit In a manner consistent with the Approved Method of Carrying out the Committee's Directive (Method), which was reviewed and approved though City Council Resolution 2009-039; and 9 10 11 12 j3 WHEREAS, based on the Committee's review of grant applications, which 14 occurred on June 25, 2013, the Committee recommends that the City Council approve the 15 allocation of funds to the recipients in the amounts shown on the attached "Exhibit A Agricultural Conversion Mitigation Fee Program - Committee Recommendation of 2013 Grant Applications;" and WHEREAS, the Committee's term expired on August 9, 2013; and WHEREAS, the Committee recommended that the City Council reinstate the 21 Committee for an additional four years and appropriate a budget not to exceed $3,000 for the Committee's term. 23 NOW THEREFORE, the City Council of the City of Carlsbad does hereby resolve as follows: 1. That the above recitations are true and correct. -2-6 1 2. That the City Council hereby reallocates $615,940 in unused funding from 2 AGP 06-10 - Carlsbad Beach Nourishment bringing the available fund balance to $1,127,608. 3 3. That the City Council hereby approves the allocation of grants from the fund to the recipients In the amounts shown on the attached "Exhibit A - Funding 4 Recommendations," subject to the following: 5 a. The final signing by both the grant recipient and the Mayor of a ^ funding agreement approved as to form by the City Attorney itemizing the agreed-upon milestones and the agreed-upon timing of the release of funds; and 7 b. Prior to the execution of funding agreements, the grantees shown 8 on the attached "Exhibit A - Funding Recommendations" shall submit to the city evidence subject to the satisfaction of the City Planner that the grantee's financial condition adequately demonstrates the grantee's ability to carry out the project. The financial condition of each JO grantee shall be evaluated by the City through submittal of one ofthe following 11 9 12 15 16 18 19 20 24 An audited financial statement (encouraged/preferred); i. A reviewed financial statement; or, ii. An lRS-990 tax return. 13 4. That the City Council hereby reinstates the Agricultural Conversion Mitigation Fee Ad Hoc Citizens Advisory Committee whose charge is to call for, review, and 14 make recommendations to the City Council for proposed expenditures from the Fund via the following powers, duties and responsibilities: a. The Committee shall be appointed by the Mayor with the approval of the City Council and the members shall be seven citizens of the City of Carlsbad, 17 one member from the City Planning Commission and six members at large as follows: Eric Larson i. Ken Alfrey ii. Craig Elliott V. Richard Erhardt V. Hope Wrisley 21 vi. Jackie Stone vii Michael Schumacher (Planning Commissioner) 22 b. Beginning on the date this resolution is passed and adopted, the 23 Committee shall exist for a period of four years, or until all Agricultural Conversion Mitigation Fee funds are allocated, whichever comes first; at the end of this period, the Committee shall cease to exist unless on or before that expiration date the City Council acts by further 25 resolution to renew its term In either the same or an amended state. The terms of the Committee members shall be for four years. Committee members shall serve without 26 compensation. 27 /// 28 1 c. Staff from the California Coastal Conservancy and the City of Carlsbad shall be ex-officio, non-voting members of the Committee and shall provide support ^ and advice as appropriate. The Committee shall be given all reasonable tools, resources, 2 background. Information and staff support necessary for it to accomplish its objectives. An operating budget not to exceed $3,000 for the four-year term established by this resolution Is 4 hereby appropriated from the Fund to support the work of the Committee. 5 d. The Committee shall select a Chairperson and establish Its own ^ meeting schedule (in keeping with section "f"), as necessary and appropriate to accomplish the work assigned to it by the City Council. 7 e. The Committee shall conduct its business In open and public 8 meetings, which shall be subject to the Ralph M. Brown Act ("Act," Government Code Sections 54950, et seq.) and shall only meet in closed session upon advice of the City Attorney In accordance with the Act. 10 f. The principal charge of the Committee Is to make 11 recommendations to the City Council for proposed expenditures from the Fund in keeping with the mandates established by Carlsbad Municipal Code Section 21.202.060, incorporated herein by reference. The Committee shall meet as necessary, but no less than once annually. 13 g. No member of the Committee shall participate in discussions on 14 or cast a vote on expenditure recommendations where he/she is likely to have a conflict of interest. 15 " 16 17 18 19 20 /// /// /// /// 21 /// 22 /// 23 24 25 26 27 /// 28 /// /// /// 1 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 PASSED, APPROVED AND ADOPTED at a Regular Meeting ofthe City Council ofthe City of Carlsbad on the 10*^ day of September, 2013, by the following vote to wit: AYES: Council Members Hall, Wood, Blackburn and Douglas. NOES: Council Member Packard. ABSENT: None. MATT HALL, lOiayor ATTEST: BARBARA ENGLESON,^ity Clerk 'Exhibit A~Funding Recommendations'' Agricultural Conversion Mitigation Fee Program Committee Recommendations of 2013 Grant Applications Application/ Project Number Applicant Project Name Project Description Eligibility Category* (as selected by applicant) Funding Requested Funding Recommended AGP 13-01 Batiquitos Lagoon Foundation Nature Center Replacement Project- Grant Augmentation Additional funding for previously awarded grant to replace lagoon nature center D $49,542 $49,542 AGP 13-02 Batiquitos Lagoon Foundation Lagoon Ecological Reserve North Shore Restoration—Phase 2 Planning, public outreach, invasive plant treatment and removal, habitat restoration, maintenance and reporting A $20,733 $20,733 AGP 13-03 Carlsbad Ranch Company, L.P. Orchard, Fields and Floral Trade Center Access Creation of an access road off Carlsbad Ranch agricultural lands connecting Cannon Road and Car Country Drive B $600,000 $600,000 AGP 13-04 Carlsbad Ranch Company, L.P. Floral Trade Center Improvements Coolers, display and supporting equipment for operation of relocated Floral Trade Center B $250,000 $162,833.53 AGP 13-05 Carlsbad Ranch Company, L.P. Orchards and Field Crop Installation and Development Installation and cultivation of blueberries, tangerines, hops, olives and pitahaya (dragon fruit) B $271,000 $271,000 AGP 13-06 Buena Vista Audubon Society Kiosk Refurbishment and interpretive Signage Installation Kiosk and interpretive signage for Buena Vista Lagoon trail system D $23,500 $23,500 TOTAL: $1,214,775 $1,127,608.53 A. B. Restoration ofthe coastal and lagoon environment; Purchase and improvement of agricultural lands: o For continued agriculture production, or o For the provision of research activities or ancillary uses necessary for the continued production of agriculture/aquaculture in the Coastal zone, including farm worker housing; Restoration of beaches for public use; or Improvements to existing or proposed lagoon nature centers. "Exhibit 2: Committee Roster" ^ CITY OF CARLSBAD ^ AGRICULTURAL CONVERSION MITIGATION FEE CARLSBAD (ACMF) AD HOC CITIZENS ADVISORY COMMITTEE COMMITTEE ROSTER Voting Members: Eric Larson, Chairperson Hope Wrisley, Vice Chairperson Ken Alfrey, Committee Member Craig Elliott, Committee Member Richard Erhardt, Committee Member Jackie Stone, Committee Member Michael Schumacher, Committee Member Non-Voting Members/Staff: Kevin Pointer, Associate Planner Deborah Ruddock or designee, California Coastal Conservancy (Ex-Offlcio Member) D 'Exhibit 3—Draft Minutes from June 25, 2013' ^ CITY OF CARLSBAD ^ AGRICULTURAL CONVERSION MITIGATION FEE CARLSBAD (ACMF) AD HOC CITIZENS ADVISORY COMMITTEE MINUTES Tuesday, June 25, 2013 Faraday Center, Room 173A 1635 Faraday Avenue, Carlsbad, CA 92008 1. CALL TO ORDER: ACTION: Chairperson Larson called the meeting to order at 10:02 a.m. and reordered the agenda to hear Item #8, Public Comment, after Item #2, Approval of Nov. 28,2012 Minutes. Committee Members Present: Chairperson Eric Larson; Committee members Ken Alfrey, Craig Elliott, Jackie Stone, and Michael Schumacher Committee Members Absent: Vice Chairperson Hope Wrisley, and Committee member and Richard Erhardt Staff Members Preser^t: Associate Planner, Kevin Pointer 2. APPROVAL OF NOV. 28, 2012 MINUTES: ACTION: Vice Chairperson Wrisley moved to approve the minutes of the November 28, 2012 Committee meeting Including, as drafted. The motion was seconded by Committee member Elliott and carried with the following vote: AYES: Chairperson Larson; Vice Chairperson Wrisley; Committee members Elliott, Stone, and Schumacher, NOES: None ABSTAIN: None 8. PUBUC COMMENT: Peter Mackauff, General Manager of the Carlsbad Strawberry Company informed the Committee of a dilemma that would occur if the SDGE/Caruso property is developed. He indicated that direct retail represents the majority of sales of strawberries for the Carlsbad Strawberry Company. He indicated that if and when the SDGE/Caruso site is developed, it would create significant impacts affecting the sustainability of the strawberry fields business operations. Mr. Mackauff encouraged the Committee to reserve Agricultural Conversion "Exhibit 3-Draft Minutes-6/15/13 Committee Meeting" Mitigation Fee funds for the Carlsbad Strawberry Company to study and potentially mitigate the impacts caused by the development ofthe SDGE/Caruso property. Chairperson Larson informed Mr. Mackauff that if and when the SDGE/Caruso property is developed, the development would have to undergo environmental review through CEQA, whereby impacts generated therefrom would have to be analyzed and mitigated where appropriate. Additionally, Mr. Larson asked staff whether the SDGE/Caruso property would contribute funds into the Agricultural Conversion Mitigation Fee fund when it is developed. Mr. Pointer indicated that he didn't know if the property was identified as coastal agricultural land that is subject to the ACMF program. Mr. Pointer indicated that he would research whether the property is subject to the ACMF program and if the property owner/developer would be responsible for mitigating the loss of agricultural land if and when it is developed. 3. STATUS OF PROJECTS AWARDED WITH AGRICULTURAL CONVERSION MITIGATION FEE FUNDING: The Committee received a report from Mr. Pointer on the status of the twenty grant projects awarded between 2007 and 2010. Mr. Pointer reported that nine projects have received full disbursement of funding and have been fully implemented/completed. Two projects have received full disbursement of funding and project implementation is in progress. Eight projects have received partial disbursement of funding and project implementation is in progress. One project has received no disbursement of funding. At the Nov. 28, 2012 Committee meeting Vice Chairperson Wrisley indicated that she had heard rumor that Agua Hedionda Lagoon Foundation was not financially stable and requested that Agua Hedionda Lagoon Foundation representatives address those rumors. Agua Hedionda Lagoon Foundation president Michael Metts responded to those rumors and indicated that the Foundation is, in fact, financially stable. Although fundraising has been slightly more difficult over the past couple years, no other financially worrisome factors exist for the Foundation. Fred Sandquist, Batiquitos Lagoon Foundation addressed the Committee and provided additional status updates to the Committee on the three grants awarded to the Foundation, noting that the Foundation is successfully making progress on each. The Committee directed specific project-related questions to grantees in attendance and received supplemental information from those grantees. 4. RECEIVE REPORT ON THE AVAILABLE FUND BALANCE; The Committee received a report from Mr. Pointer on the available fund balance within the account. Mr. Pointer noted $511,668.53 exists within the account and could be awarded to grantees. Mr. Pointer additionally noted that the city has fulfilled its financial obligation to SANDAG for AGP 06-10—Carlsbad Beach Nourishment and that the project was completed at $615,940 under budget. He indicated that the Committee could recommend, and the City Council could subsequently take action, to reprogram those funds and make them available to fund additional grant projects. After reprogramming those funds, there would be $1,127,608.53 available to fund additional grant projects. Page 2 1^ "Exhibit 3—Draft Minutes—6/15/13 Committee Meeting" 5. COMMITTEE REVIEW AND DISCUSSION OF GRANT APPLICATIONS SUBMITTED FOR FUNDING CONSIDERATION: The Committee received a report from Mr. Pointer on the six applications that were received during the grant solicitation period that took place between April and May. He indicated that whereas $511,668.53 is currently available within the account, that amount could increase to $1,127,608 with the reprogramming of funds from AGP 06-10. Nonetheless, the total grant funding requested from applicants totals $1,214,775, which is $87,166.47 more than could be made available. Mr. Pointer reminded the Committee of the approved method of carrying out its directive, which establishes the evaluative process for considering grant applications and making recommendations to the City Council. The Committee received a report from Mr. Sandquist who summarized the grant application his organization submitted to request augmented grant funding for the Lagoon Nature Center replacement project. The Committee then received a report from Chris Calkins representing Carlsbad Ranch Company, LP. on the three grant applications submitted by his organization. The Committee also received a report from David Billings representing Buena Vista Audubon Society and their grant application for kiosk refurbishment and interpretive signage The Committee discussed each of the grant applications and considered partially funding each grant application versus funding one of them less the total funding available. Mr. Calkins addressed the Committee again and suggested partially funding AGP 13-04—Floral Trade Center Improvements instead of partially funding each ofthe grant applications. ACTION: Committee member Schumacher moved that the Committee recommend that the City Council: 1) Reprogram $615,940 in previously awarded funds from AGP 06-10—Carlsbad Beach Nourishment; and, 2) Fully fund all Agricultural Gran Projects (AGPs) submitted, with the exception of AGP 13-04—Floral Trade Center Improvements, which is recommended to be funded at $162,833.53. The motion was seconded by Committee member Elliott and carried unanimously. 6. DISCUSSION ON RENEWAL OF COMMITTEE'S TERM: The Committee received a report from Mr. Pointer who indicated that the Committee's term was set to expire on August 2, 2013. Mr. Pointer also indicated that extension of the Committee's term would be necessary to make recommendations on award of future fund balances that would accrue. Mr. Pointer indicated that in the past, the City Council has created the Committee for four-year terms with an operating budget of $3,000 annually. Mr. Pointer also indicated that he Committee would need to make future recommendations on AGP 06-12 - Batiquitos Lagoon Monitoring and Management Program - which was awarded with a condition that only a portion ofthe encumbered grant would be funded. Funding the remaining portions ofthe grant would first require Committee review and City Council approval. Page 3 "Exhibit 3—Draft Minutes—6/15/13 Committee Meeting" ACTION: Committee member Stone moved that the Committee recommend that the City Council extend the Committee's term for an additional four years and appropriate an operating budget not to exceed $3,000 annually. Committee member Schumacher seconded the motion, which carried unanimously. 7. COMMITTEE SCHEDULE FOR GRANT EVALUATION AND FUTURE MEETING DATES: Mr. Pointer indicated that this item was scheduled for the Committee to consider additional meeting dates if it were unable to complete all of the business on the Committee's agenda. Seeing the Committee having completed all necessary business. Chairperson Larson opened and closed the item. 8. PUBUC COMMENT (CONTINUED): Chairperson Larson reopened public comment to provide another opportunity for speakers to address the Committee. Mr. Mackauff again addressed the Committee recommending that they consider recommending that the City Council set aside an undisclosed amount in ACMF Funds to study and mitigate the impacts that potential development of the SDGE/Caruso property would have on the Carlsbad Strawberry Company's business. Chairperson Larson indicated that according to the Committee's approved method for carrying out its directive, the Committee will specifically not "hold back" funds for future awards. Mr. Mackauff continued to encourage the Committee to send the City Council a message that it has concerns regarding the future ofthe Carlsbad Strawberry Company. ACTION: Chairperson Larson moved the Committee convey to the City Council that it has concerns regarding the future ofthe Carlsbad Strawberry Fields if and when the development of the SDGE parcel takes place. Committee member Elliott seconded the motion and the motion carried unanimously. 9. ADJOURN: Chairperson Larson adjourned the meeting at 11:28 a.m. RESPECTFULLY SUBMITTED, Kevin Pointer, Associate Planner Page 4 Morgen Fry Subject: FW: Council Inquiry Regarding Sept 10 Agenda Items •^mti^^'^*. Attachments: Local Preference.xisx ^^^^'^^ For the Information of the- CITY COUNCIL y* „^.,„ ,„„^ ^ _ _ From: Greg Hermann Date^^^Cky Manager Sent: Tuesday, September 10, 2013 1:23 PM To: Council Archive Cc: John Coates; Gary Barberio Subject: Council Inquiry Regarding Sept. 10 Agenda Items Hello, Below find the responses to the questions from yesterday's briefings. Please let me know if you have any questions. Greg Item #1 Question: Is the Wildland Interface Fire Engine the vehicle that the Flre Department has been asking for In the past and has been denied? Answer: The Wildland Interface Fire Engine that is being requested tonight is 17 years old and is in need of replacement. This is the first request to replace this vehicle. Discussions in past years for other additional vehicles are no longer current. The Fire Department does not have, at this moment, any unmet apparatus needs other than the vehicle specified in this item. Question: Why are we purchasing police sedans from a vendor in La Mesa, California and not from local vendors? Answer: The Municipal Code allows us to join in cooperative purchasing agreements. It allows for the purchasing officer to have "the authority to join with other public or quasi-public agencies in cooperative purchasing plans or programs for the purchase of Goods and/or Services by Contract, arrangement or Agreement as allowed by law and as determined by the Purchasing Officer to be in the City's best interest." San Luis Obispo procured pricing via a competitive bid process for police patrol sedans, and we are allowed to join with this public agency per the municipal code. Local providers have not been as competitive, based on previous experience with formal bids and do not offer this model for sale. Question: Do we provide a purchasing preference for local vendors? Answer: Our current policy is to provide local vendors with a one percent "discount" on bids for goods. The rationale is that one percent ofthe eight percent sales tax paid by a vendor would go to the city of Carlsbad. This rationale, of course; assumes a local vendor would be purchasing goods within city limits. Previously, we conducted a survey of local cities and their respective local preference policies. The results are attached. Question: What are the sales tax implications when a vehicle is purchased outside of Carlsbad? Answer: Generally speaking, one percent of the sales tax goes to the city In which the point of sale is located. There are some nuances, however, in vehicle sales. The tax rate that is charged when a vehicle is purchased is the tax rate of the buyer's residence. For example, a Carlsbad resident that purchases a car in La Mesa will pay sales tax applicable at the Carlsbad rate (the rate in Carlsbad is 8 percent versus La Mesa's rate of 8.75 percent). However, the one percent Bradley Burns portion of the tax that gets collected is given to the city in which point of sale is (La Mesa in our example). Additionally, if there are any district taxes or transactional use taxes (ie. SANDAG Transnet), those are allocated to the city where the vehicle will be used. Thus, if a resident in Orange County came to Car Country Carlsbad they would have to pay any voter approved district taxes and transactional use taxes for Orange County. Question: Is the City of Carlsbad exempt from paying sales tax on purchased goods? Answer: No. A list of exemptions and exclusions for sales taxes can be found on the California Board of Equalization web site. Although a number of nonprofit, religious, and organizational organizations qualify for exemptions, municipal governments do not. Item #5 Question: What is the policy concerning the funding and selection of public art in the proposed roundabout? Answer; Carlsbad Municipal Code authorizes the City Council to make appropriations at their discretion for public art in conjunction with construction projects Included in the city's capital improvement program. It specifies that city departments include In requests for authorizations or appropriations for construction projects, an amount for works of art equal to at least one percent of the total cost of the construction project as estimated In the city's capital improvement program. Because the Carlsbad Blvd/State St roundabout was not processed as a project through the city's capital Improvement program, an appropriation has not yet been made for this construction project and is being requested at this time. Once the appropriation is made, the Arts Commission establishes a Public Art Selection Committee to select an artist who works with the project team to develop design concepts. The design is brought to the Arts Commission for review. Once accepted, the design is put out for public feedback. A report and recommendation which includes that feedback is forwarded by the Arts Commission to the City Council for approval. Item #10: Question: What is the parking requirement for the Bluewater project and how was it met? Answer: The Bluewater project requires 22 on-site parking spaces and 22 spaces are being provided. The project will also provide a bicycle parking area. The required parking forthe Bluewater project is based on the parking requirements set forth in the Village Master Plan for restaurants (1 space/100 net sq, ft.) and microbreweries (1 space/300 net sq. ft.). The Bluewater application does not include a request for any standards modifications for parking. The project will benefit from several hotels being within walking distance and having nearby public parking lots located at the southern end of Ocean Street (Off Shore Surf Shop) and on Washington Street at Carlsbad Village Drive. Umited on-street public parking also exists within convenient walking distance ofthe project site. Item #15: Question: What is the funding history of our Beach Sand Replenishment projects? Are there other funding sources that could be used for these projects? Answer: In 2001, SANDAG completed a Regional Beach Sand replenishment Project (RBSP 1) to place 2.1 million cubic yards of sand on twelve beaches from Imperial Beach to Oceanside. Two of these beaches were tocated in Carlsbad. The project was funded entirely with state and federal funds. In 2006, the City Council awarded $1.5 million in Agricultural Conversion Mitigation Fee (ACMF) funds to support a second beach sand replenishment effort. The City ofCarlsbad and other cities with receiver beaches partnered with SANDAG to complete the work as part ofthe second RBSP (RBSP 11). RBSP 11 was completed in 2012 with 360,000 cubic yards of beach sand deposited on Carlsbad beaches. The total cost of the project was approximately $26 million. The state funded 85 percent ofthe project, with cities funding the remaining balance (15 percent). Carlsbad's contribution toward the project was $884,060. The remaining $615,940 Is being recommended to be put back Into the ACMF for other projects. When RBSP ll was completed, it was expected that the next RBSP effort would not be needed for several years. The City ofCarlsbad does not have a programmed funding source to contribute funds toward any future RBSP. With regard to the ACMF Program, city staff estimates that by the time all coastal agricultural land is converted to urban uses, the conversion of these lands will generate anywhere between $900,000 and $1.4 million dollars in additional ACMF funds that could be used for future sand replenishment projects. Other possible funding sources could include the general fund, transient occupancy tax and state and federal grants. Question: What was the Agriculture Conversion Mitigation Fee Ad Hoc Citizens Advisory Committee recommendation to the City Council concerning the SDGSiE/Caruso property? Answer: At its meeting on June 25, 2013 the Agricultural Conversion Mitigation Fee (ACMF) Ad Hoc Citizens Advisory Committee received public comment from Peter Mackauf, general manager for the Carlsbad Strawberry Company. Mackauf requested that the Committee encourage the City Council to set aside an unspecified amount of ACMF funds to study and mitigate the Impacts that potential development ofthe SDGSiE/Caruso property would have on the Carlsbad Strawberry Company's business. Mackauf indicated that if, and when, the SDG81E property is developed, it would create significant Impacts affecting the sustainability ofthe Carlsbad Strawberry Company's business operations. Committee Chairperson Eric Larson indicated that according to the Committee's policies and procedures, the Committee will specifically not "hold back" funds for future awards. Mackauf insisted that the Committee encourage the City Council to set aside funds to study the impacts that development ofthe SDGStE/Caruso property would have on the Carlsbad Strawberry Company. Larson moved that the Committee convey to the City Council that it has concerns regarding the future ofthe Carlsbad Strawberry Company's business, if, and when, development ofthe property takes place. The motion carried unanimously. Foltowing the meeting, Caruso Affiliated was notified that this issue was raised. Caruso Affiliated was subsequently provided with a copy ofthe draft minutes from the Committee meeting. Development of the SDG&E/Caruso property is not subject to the ACMF program at this time, but that is subject to change pending approval ofa Local Coastal Amendment program submitted to the California Coastal Commission. LOCAL BUSINESS PREFERENCE POLICY Citv Percentaee Details 1 Chula Vista 0% Preference given in a tie 1 2 Coronado 0% 2 3 Del Mar 0% 3 4 Imperial Beach 0% 4 5 Lemon Grove 0% 5 6 Oceanside 0% 6 7 Santee 0% 7 8 Solana Beach 0% 8 9 Visalia 0% Preference given in a tie 9 10 Carlsbad 1% Goods 10 11 El Cajon 1% Goods 11 12 Escondido 1% Goods 12 13 Ontario 1% Goods and services 13 14 Santa Monica 1% Goods and services 14 15 Sunnyvale 1% Goods 15 16 Vista 1% Goods and services, excluding public works projects 16 17 Pasadena l%/5% 1% on goods, 5% on services 17 18 La Mesa 1.75% Goods and services 18 19 National City 2% Goods and services 19 20 Freemont 2.5% Goods and services, not to exceed $5,000 20 21 San Jose 2,5% /5 points 2.5% on goods, 5 points out of 100 on services 21 22 Murrieta 3% Goods 22 23 Berkeley 5% Goods and services, not to exceed $1,250 23 24 Concord 5% Goods and services, not to exceed $5,000 24 25 Huntington Beach 5% Goods and services, not to exceed $5,000 25 26 Irvine 5% GoodS; not to exceed $2,000 26 27 Morro Bay 5% Goods 27 28 Vallejo 5% Goods and services, not to exceed $10,000 28 29 Windsor 5% Goods and services 29 30 Long Beach 10% Goods and non-professional services, not to exceed $10,000 30 31 Tracy 10% Goods and services, not to exceed $3,000 31 LOCAL BUSINESS PREFERENCE POUCY September 2011 gty Percentage Carlsbad Chula Vista Coronado Del Mar El Cajon Encinitas Escondido Imperial Beach La Mesa Lemon Grove National City Oceanside Poway San Marcos Santa Monica Santee Solana Beach Vista 1% 0% 0% 0% 1% No Response 1% 0% 1.75% 0% 2% 0% 1% No Response 1% 0% 0% 1% ffi 3*» r •I • Carlsbad Organic AgVentures Farm & Market A Project ofthe Carlsbad Flower Fields & Carltas Company 21^^ Century Agricultural Development in Support of Emerging Community Needs Integrated Value Enhancement Design Proposal A special interdisciplinary project of the College of Architecure & Environmentol Design & the College of Agriculture, Food, and Environmental Sciences at California Polytechnic State University in San Luis Obispo, CA Presented to Carltas Company on June 3, 2012 ^^^^^^^^^^^ Section III —Crop Selection Recommendations CITRUS ORCHARD OLIVE ORCHARD EDIBLE FLOWER, HERB& TEA GARDEN MACA- '^LUE AGAVE BERRIES OAMIA ORCHARD KITCHEN GARDEN r - nu<»..'.:n^.^|H^. • ^^^^^ MM ______ ^juAs" W^Hi^^^n. i''•*•/•:.^>r•,'•!•^•T^•'?>l*.••• •I ? ou iTKr esire mm Funding Recommendations from the Agricultural Conversion Mitigation Fee Committee Kevin Pointer Sept. 10, 2013 Fund Balance •ACMF Fees are collected as agricultural lands convert to urban uses •$515,916 is available •$615,940 may be reallocated and made available bringing the available balance to $1,131,856 Eligibility Criteria •Restoring coastal and lagoon environments •Improving/purchasing agricultural land •Restoring beaches •Improving lagoon nature centers 3 Committee Recommendations •Reallocate $615,940, bringing available balance to $1,131,856 •Fund six projects at $1,127,608.53 •Renew Committee’s term •Approve a $3,000 operating budget •Appoint members to the Committee 4