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CITY OF SAN BERN~DINO - REQUEST F~ COUNCIL ACTION
Dept:
Community Development
R~~~nM\~IRItCING STRATEGY FOR
~~~~~ PUBLIC IMPROVEMENTS
19~9 J~N \ 9 !tN THE VERDEMONT AREA
From:
Kenneth J. Henderson, Director
DMe: January 6, 1989
Synopsis of Previous Council action:
On May 23 and June 20, 1988, the Mayor and Common Council took actions
in connection with a financing and implementation plan for certain
public improvements in the Verdemont Area.
On December 19, 1988, the Mayor and Common Council considered this
matter and referred same to the Legislative Review Committee for
consideration of issues relating to proposed assessment district
boundaries andcolleqtiQn fees for certain of the proposed improve-
ments. The Council also referred this matter to the Environmental
Review Committee (ERC) for review and appropriate action.
1/19/89 -- Reco~enqed for approval by Legislative Review Committee.
Recommended motion:
That recommendations numbered 1, 2, 3, 4, 5 and 6(d) in the attached
staff report be adopted. If approved, the Directors of Public Works,
Planning and the Acting Director of Building and Safety are authorized
and directed to process all plans in accordance with the california
Environmental Quality Act and City policies and procedures up to and
including the issuance of grading and building permits.
Contact person:
Ken Henderson
Phone:
5065
Supporting data attached:
Staff Report
Ward:
5
FUNDING REQUIREMENTS:
Amount:
$9,285
Source: (Acct. No.)
121-544-57335
(Acct. Description I
CDBG Contin:cy
Finance: ./l4J~ J.t"
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Council Notes:
2661
An.anrl!ll '+.am Mn
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CITY OF SAN BERN~DINO - REQUEST F~ COUNCIL ACTION
STAFF REPORT
On June 20, 1988, the Mayor and Common Council took an action
directing the development of a financing plan for the con-
struction of certain public improvements in the Verdemont
Area bounded by Little League Drive on the west, the align-
ment of Cable Canyon Creek on the south, Devil's Canyon on
the east and the National Forest boundary on the north. The
improvements included in the Council action are as follows:
1. Palm Avenue Box Culvert.
2. Bailey Canyon storm Drain and Debris Basin.
3. Chestnut Avenue storm Drain and Debris Basin,
4. Traffic Signal at Palm Avenue and Kendall Drive.
5. Installation of curbs and gutters, along with full width
street improvements at the following locations:
a) Palm Avenue - from Kendall Drive to Ohio street.
b) Irvington Avenue - from Chestnut Avenue to pine Avenue.
c) Belmont Street - from Chestnut Avenue to pine Avenue.
d) pine Avenue - from Belmont Avenue to Ohio street.
A timeframe of six (6) months was given for the development
and adoption of said financing plan.
Discussion
Over the last five and one-half months the vast majority of
staff work, meetings and analysis has centered around the
Chestnut Avenue storm drain and debris basin, the Bailey
Creek storm drain and debris basin and the construction of
the "New pine Avenue" extension. Early on in the process, a
staff consensus was developed relative to the Palm Avenue box
culvert, the various streets improvements and the traffic
signal at Palm Avenue and Kendall Drive. The prOblems,
however, associateli with the two storm drains and the "New
Pine" extension were more intractable in nature and revolved
around identification of up-front funding for the Chestnut
Avenue storm drain, the acquisition of private property by
the State Department of Water Resources, the owner of which
was slated to put in much of the Bailey Creek storm drain,
and the litigation involving the Shadow Hills limited
partnership which affects the "New Pine" extension.
With respect to the Chestnut storm drain, initially the most
effective and popular proposed solution was an interfund
transfer between the Sewer Line Construction Fund and the
Storm Drain Master Plan Fund. The sewer fund contains
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roughly 3.5 million dollars, and with the storm drain
estimated to cost 1.3 million dollars, it was anticipated the
loan to the storm drain fund would not impact any projects
scheduled in the immediate future. Moreover, it was felt the
loan from the sewer fund could be repaid with interest in
five to seven (5-7) years. After initially passing legal
review, staff was informed that such a proposed interfund
transfer violated Section 53077 of the government code, which
apparently explicitly prohibits such transfers.
About the same time as the prospects for up-front funding for
the Chestnut storm drain dimmed considerably, staff was
informed that the State Department of Water Resources planned
to acquire from Monnig Development, Inc., approximately sixty
seven (67) acres bounded by Verdemont Drive on the north,
pine Avenue on the east, Ohio Street on the south and Olive
Avenue on the west for the construction of a second after bay
at Devil's Canyon. This turn of events threw into question
the construction of the Bailey Creek storm drain from Walnut
Avenue on the south to Verdemont Drive on the north. Monnig
was planning to build approximately 215 homes and would have
completed the section of Bailey Creek from Walnut to
Verdemont as a condition of development. Two meetings
conducted with the Department of Water Resources and the San
Bernardino Municipal Water Department lead staff to believe
that these and other ancillary improvements will be completed
by the Department of Water Resources during the construction
phase of the second after bay.
One of the major street improvement projects identified for
the area was the construction of "New Pine" Avenue beginning
just south of Irvington and moving southwesterly to Kendall
Drive. "New pine" was to be put in by the Shadow Hills
limited partnership in connection with the construction of
approximately 318 apartment units. Unfortunately, this
project is connected with the litigation between the City and
the Shadow Hills limited partnership and will not go forward,
if at all, until the legal issues have been resolved.
Recommendations
1. Palm Avenue Box Culvert: The estimated cost of construc-
tion is $636,000*. The recommended method of financing is
through the establishment of an area-wide assessment
district. The design phase is being handled by Monnig
Development, Inc, and is near completion. It is recom-
mended that the Mayor and Common Council authorize the
Director of Public Works/City Engineer to proceed with the
formation of an assessment district.
2. Bailev Creek Storm Drain and Debris Basin: The estimated
cost of construction from Walnut north to the upstream
terminus is $1,300,000*. The State Department of Water
Resources has committed to installing a trapezoidal
concrete-lined storm drain from the center line of Ohio
Street to an area north of Verdemont Drive. The best
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location for the debris basin is north of state owned
property. As such, the state is unwilling to incur this
expense without further discussion. The Director of
Public Works recommends that the State put in the debris
basin. Staff is optimistic about the State financing the
construction of the debris basin. Monnig Development,
Inc., will complete the section of the channel from Walnut
Avenue north to the center line of ohio Avenue (this
section of the channel must be completed prior to the
state commencing work on the section north of Ohio).
Unless the city contemplates financing the debris basin,
no financial assistance is required. Considerable
coordination and consultation is required between the
Water, Planning and PUblic Works Departments and State
Department of Water Resources for the efficient completion
of this project. A good foundation for these
consultations already exists.
3. Chestnut Avenue Storm Drain and Debris Basin: The esti-
mated cost of construction from Cable Creek to Ohio Avenue
is $1,370,000*. The recommended method of financing is
through the formation of an assessment district in the
Chestnut storm drain benefit area. The Planning
Department advises that there are 109 existinq lots with
1,721 dwelling units allowed under the RS designation and
107 under Hillside Management. This gives a total of
1,937 (109 existing, 1,828 new) which could be assessed
annually for retiring the bonded indebtedness. (Hillside
Management has been calculated at one (1) unit per acre
and RS has been calculated at 2.98 units per gross acre.)
4. Traffic Siqnal at Palm Avenue and Kendall: The estimated
cost of construction is $120,000*. The need for this
improvement has not been established through normal
traffic studies. As such, Caltrans will not pay mainten-
ance costs once the signal is constructed. Moreover, the
City has not collected fees for this particular improve-
ment, which is important inasmuch as the recommended
method of financing is through the formation of an
assessment district in conjunction with the Palm Avenue
box culvert. As with the box culvert, it is recommended
that all property owners within the target area be
assessed equally the engineering and construction costs of
the traffic signal. Monnig Development has substantially
completed the design phase of this improvement.
5. Full-width Street Improvements on Palm Avenue from Kendall
to Ohio: Irvinqton Avenue from Chestnut to pine: Belmont
Street from Chestnut to pine: and pine Avenue from Belmont
to Ohio: It is recommended that the street improvements
on Palm, Irvington and Belmont be a standard condition of
development for developers/property owners possessing land
in the affected areas. virtually all of the proposed
improvements involve, as yet, undeveloped land. The
proposed improvements should be a normal requirement of
development.
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6. Ancillarv ImDrovements: These improvements will be
constructed as a result of development, the Department of
Water Resources after bay project and cooperation between
the Water and Community Development Departments. with the
exception of the improvements on the east side of pine
Avenue from Belmont to Ohio, all improvements will be
constructed at no cost to the City.
street Improvements:
a) Garfield street from Palm to Olive and Huntington
street from Verdemont to Garfield to be financed and
constructed by Monnig Development, Inc.
b) The east side of Palm Avenue from Ohio to Verdemont to
be financed and constructed by Monnig Development, Inc.
c) The north side of Ohio street from Olive to pine to be
financed and constructed by the Department of Water
Resources.
d) The east side of pine Avenue from Belmont to Ohio. The
Water Department has agreed to finance the construction
of curb, gutter and sidewalk on pine from Belmont to
Redwood. In addition, the Director of Community
Development has agreed to recommend to the Mayor and
Common Council CDBG funding for the construction of
curb, gutter and. sidewalk on Pine from 150 feet north
of Redwood to Ohio. The Community Development portion
of the construction cost is estimated by the Director
of Public Services to be $9,285. This project is to be
constructed by an outside contractor.
e) The extension of Palm Avenue north and northeast to
provide access to private property owners, to be
financed and constructed by the State Department of
Water Resources.
Drainage:
a) As a result of the after bay construction by the State
Department of Water Resources, some 6.5 million cubic
yards of dirt must be moved south of the proposed after
bay. Water will drain to Ohio street, requiring the
construction of storm drain on Ohio Street from Olive
to pine and south to the Bailey Creek storm drain. This
improvement will be financed and constructed by the
Department of Water Resources.
General Comments
Although not noted elsewhere in this report, the financing of
the subject improvements presumes that where the City has
collected fees for affected improvements, the amounts col-
lected will be pledged to the engineering and construction of
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said improvements. This would involve the fees collected for
the Palm Avenue box culvert, the Chestnut and Bailey Creek
storm drains and the pine Avenue extension.
On January 12, 1989, the Environmental Review Committee
considered this item and issued a Note of Exemption pursuant
to Section 15262 of the California Environmental Quality Act.
A notice of said exemption will be filed subsequent to the
approval by the Mayor and Common Council of a financing
strategy for the above referenced public improvements.
Because the original motion adopted by the Mayor and Common
Council in June, 1988, stipulated that grading and building
permits could be issued after the Mayor and Common Council
adopted a financing and implementation plan, the consensus of
the Development Services Department Heads is that the issues
of timing and permit issuance should be considered at the
February 20, 1989 meeting of the Mayor and Common Council. A
report on these issues, with appropriate recommendations,
will be submitted at that time for consideration by the Mayor
and Common Council.
I recommend adoption of the form motion.
u.
Kenneth J. Henderson
Director of Community Development
KJH/lab/2064
*All construction cost estimates taken from city of San
Bernardino Capital Improvement Plan (CIP).
1/6/89
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- ~
r CITY OF SAN BERNARDINO PLANNING DEPAIIT'MENT
ENVIRONMENTAL REVIEW COMM I TTEE
NOTICE OF EXEMPTION
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SECRETARY FOR R~
01418 NINTH STRUT, R_.1311
:I CITY OF SAN BERNARDINO SACRAMENTO. CA. SS_
0 ENVIRONMENTAL REVIEW COMMITTEE 0
II: 300 NORTH 0 ST REET, 3'" FLOOR I- CLERK OF THE BOARD ClFSUPIRVISORS
... SAN IERNARDII'IO, CA. 92418 cal7S WIST 5'" STRUT
\--- '--" SAN BERNARDINO, CA. _18
THE ENVIRONMENTAL REVIEW COMMITTEE OF THE CITY OF SAN BERNARDINO, CAl.lFO.- REVIEWED
THI PROJECT DESCRIBED BELOW AT IT'S MEETING OF Janua.rv 12. 1ge9 AND FOUND
THAT THE PROJECT IS EXEMPT FROM THE PROVISIONS OF THE CALIFORNIA ENVIROMmITAl.
QUALITY ACT.
( PROJECT NAME: Public Works Project No. 88-33 I
PROJECT DESCRIPTION AND LOCATION:
Financing strategy for certain public impro':ements in the .r~mont
Area.
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I EllEMPT STATUS:
o MINISTERIAL: I SECTION 150731 o EMERGENCY PROJECT: ISEC. 15071 IN ond (ell
o DECLARED EMERGENCY: (SECTION 150711011 ll!1~i~iiYEX~MPTJON'11C;2li2 I
"- SICTloa C'-."
1\ CONTACT PERSON' Ann Larson-Perbix Senior Planner (714) 313 _5057 )
TITLE TELEPItaE
ENVIRONMENTAL REVIEW COMMI TTEE, CITY OF SAN BERNARDINO
12.h1~ ~AAPl- f).AIN~ J-/3-tt, (714) 313 -5057
SECRE TARY 0." R.<I.ved for FiJi" TELEP.-
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