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12/02/1999GRAND TERRACE PLANNING COMMISSION MINUTES OF REGULAR MEETING DECEMBER 2, 1999 The regular meeting of the Grand Terrace Planning Commission was called to order at the Grand Terrace Civic Center, 22795 Barton Road, Grand Terrace, California on December 2, 1999 at 7:00 p.m. by Chairwoman, Fran Van Gelder. PRESENT: Fran Van Gelder, Chairperson Doug Wilson, Vice -Chairperson Matt Addington, Commissioner Mary Trainor, Commissioner Maryetta Ferre', Commissioner Patrizia Materassi, Community and Economic Development Director John Lampe, Planner Pat Peterson, CEDD Secretary 7:00 P.M. CONVENED SITE AND ARCHITECTURE REVIEW BOARD/ PLANNING COMMISSION MEETING Call to Order Pledge of Allegiance by Commissioner Wilson Roll Call Public address to Commission shall be limited to three minutes unless extended by the Chairman. Should you desire to make a longer presentation, please make written request to be agendized to the Community Development Director. PUBLIC PARTICIPATION: None. PLANNING COMMISSION MEETING MINUTES Page 2 December 2, 1999 ITEM#1 PLANNING COMMISSION MEETING MINUTES OF NOVEMBER 18, 1999 MOTION PCM-99-25 PLANNING COMMISSION MEETING MINUTES OF NOVEMBER 18, 1999 Motion was made by Commissioner Addington to approve Planning Commission Meeting minutes of November 18, 1999. Seconded by Commissioner Trainor. MOTION VOTE PCM-99-25 Motion carried. 4-0-0-1. Commissioner Wilson abstained. O ITEM #2 CUP-98-04-Al AN APPLICATION TO MODIFY CONDITION #31 OF CUP-98-04 AND E-98-10 TO ALLOW ADDITIONAL TIME TO INSTALL IMPROVEMENTS FOR FIRE PROTECTION PURPOSES BY DECEMBER 31, 1999 AMERICAN MODULAR STRUCTURES, INC. 21516 MAIN STREET, GRAND TERRACE, CA 92313 Staff report was presented by planner John Lampe. He said the applicant submitted a request on November 17, 1999, to modify Condition #31 of the original conditions of approval ordered on September 16, 1999. Applicant requested an extension of the deadline for installation of the on- and off -site fire protection system. The reasons for the delay are related to the bankruptcy proceedings of the property owner, Mr. Ng. Applicant has not yet secured the easements for the water line required by the City of Colton for approval of the installation plan. Applicant informed staff the property was returned control of the property owner, Mr. Ng, on November 15, 1999. It is now anticipated the applicant can obtain the necessary easement documents which will allow for approval of the water plan by the City of Colton. Applicant complied with Condition #33 on November 16, by submitting a cashier's check for 50% of the total estimated cost of the improvements in the amount of $42,000. Applicant signed the Conditions of Approval on November 16, as ordered by the Planning Commission at its meeting on September 16, 1999. PLANNING COMMISSION MEETING MINUTES Page 3 December 2, 1999 Applicant's representative, Mr. Cash, submitted to staff correspondence from a construction firm indicating willingness to proceed with the fire protection system installation when approved by the City of Colton. A letter was received from the City of Colton, Utility Department indicating the City of Colton has no objection to installation of the water line in the private easements, and they have also done a preliminary review of the water plan, finding it generally acceptable. Mr. Lampe summarized by saying it may have been difficult for applicant to comply with the 60 day limitation of the original approval due to the bankruptcy proceedings regarding the subject property. Although applicant only requested a time extension until December 31, 1999, staff recommended the Planning Commission consider an extension until January 31, 2000, for completion of construction of the fire protection system. The City of Colton concurred that January 31, 2000, should be a realistic estimate to complete the work. Staffs recommendation of the extension is based on addition of a condition: "Applicant deposit with the City of Grand Terrace a cashier's check for an additional $42,000 to cover 100% of the estimated cost to install all of the improvements called for by the water plan. If applicant fails to meet the requirements to install the improvements the City of Grand Terrace will then have the option of installing the improvements." Commissioner Addington asked if applicant is agreeable to post the additional $42,000. Mr. Lampe said applicant and his representative are in the audience and suggested they might address that issue. 7:05 P.M. OPENED PUBLIC HEARING BRUCE CASH UNITED STRATEGIES, INC. Mr. Cash said there continues to be issues with the property forcing applicant to ask for an extension in the completion date for installation of the fire protection system. In response to Commissioner Addington's last question he said applicant is not willing to post an additional $42,000. Since the last Planning Commission hearing on this case Mr. Cash said applicant has posted a $42,000 cashier's check, signed the Conditions of Approval ordered at the last meeting and attended meetings at the City of Colton to move the project forward. Mr. Cash said applicant is glad to see the staff proposal to set the time extension at January 31, 2000. The easements will be need to be an agenda item for the Colton City Council. Regarding staffs proposal to add a condition requiring applicant to deposit an additional $42,000, Mr. Cash said applicant is required to deposit with the Pacific Southwest Corporation $17,500. Pacific Southwest Corporation will be the contractor doing the work. He said American Modular Structures, Inc. does not have the money to post an additional $42,000 with the City and cover expenses to get the project done. PLANNING COMMISSION MEETING MINUTES Page 4 December 2, 1999 Mr. Cash confirmed the property is now back under control of the property owner as a result of the bankruptcy reorganization plan. The owner now has authority to execute an easement for improvements so progress is being made. Although the pipeline is not yet completed Tom Clarke of the City of Colton has indicated by letter that the plan is acceptable in its preliminary form. The final approval must come from Tim Wilson, Colton's contract city engineer. He said it is his understanding the only outstanding issue at this time is the easement documents. Mr. Cash summarized by saying the request for an additional $42,000 deposit is unreasonable given the fact applicant has done everything in his power to move the project along. Commissioner Wilson said the Planning Commission considered the financial difficulty of applicant to deposit $42,000 cash at the last meeting. As a result of that consideration the Commission agreed the applicant could deposit a $42,000 certificate of deposit payable to the City of Grand Terrace. He asked Mr. Cash the reason applicant decided to deposit the full amount in the form of the cashier's check. Mr. Cash responded, "I can't give you the definitive reason, Commissioner Wilson, but I do understand that in the consultation with the property owner the end result was if it was more effective and timely in order for us to meet this November 16" deadline, to simply 0 get the cashier's check. It sounds simple but it has been quite an exercise to get the appropriate party together to reach agreement with regard to the monies that have to be put up and in their own stand along negotiation because of the timing we were basically forced to go with a cashier's check in order to meet that November 16`n date. My recollection is that we actually deposited that with the City on November 161n " Commissioner Wilson also asked Mr. Cash about the status of the easements as concerns the City of Colton. He asked Mr. Cash if the easements issue has been agendized with the City Council of Colton. Mr. Cash responded, "We are not agendized as I know it, but my understanding from Tom Clarke at the City is that they will do everything in their power to expedite this easement for approval ... actually there are three separate easements that must be signed and submitted to the City and to my knowledge we are not on their agenda as I understand it." Commissioner Wilson asked if the City Attorney has looked at the easement documents. Mr. Cash said "No, they have not." Commissioner Addington asked if the easements have been granted by the property owners but not accepted? Mr. Cash responded, "They have not been granted by the property owner yet and the reason for that is because of the recent change in the bankruptcy proceeding. We had to go back and make some additional changes. That information has been submitted now to Engineering Resources of Southern California. Mr. Terry Lane is completing those documents for submittal to those property owners. We do have recognition from the three property owners that they will grant the easements but they have not signed them because they have not been presented to those property owners as we sit here today." Commissioner Addington asked when Mr. Cash expected that process to be completed. Mr. Cash responded "Based on the PLANNING COMMISSION MEETING MINUTES Page 5 December 2, 1999 estimate from Engineering Resources we're going to have completed easement documents that can be hand carried to those owners next week." Commissioner Addington asked if the proposed deadline for project completion of January 31, 2000 will be long enough. Mr. Cash said, "We're agreeing with that date based on the utility director's estimate within the City of Colton that that would be an ample amount of time to do so. In my judgment it should be ample based on the meeting we had with Tom Clarke at the City of Colton and I think his letter memorializes their desire to get this thing approved so we can move forward." Mr. Cash stated the actual construction time will be a maximum of five days to complete the project according to Pacific Southwest Corporation, the contractor. 7:16 P.M. PUBLIC HEARING CLOSED Commissioner Trainor asked staff about the rationale behind asking for the additional $42,000 deposit. Mr. Lampe said there are two factors: 1. The case history, the length of time it took applicant to get the water plan approved by the County Fire Department, promises by applicant and Mr. Cash at the last meeting that 15 days would be sufficient to complete the project, the fact that the applicant did not make a request for time extension or deposit the $42,000 until the 60" day; and 2. By requiring applicant to deposit an addition $42,000, for a total deposit of 100% of the estimated cost of improvements, the City will have the option for reasons of non-performance by the applicant to install the fire protection improvements. Commissioner Wilson clarified that the fire protection is being required to satisfy a condition that is currently existing. Mr. Lampe said the fire system is required to protect the use which expanded into the back of the building without formal City approval. Commissioner Wilson asked how the City could enforce installation of the fire protection system if applicant does not install it by January 31, 2000. Mr. Lampe said there are two options: 1. If applicant has made a full cash deposit of $84,000, the City can elect to install the improvements; or 2. Consider revoking the applicant's original CUP. Director Materassi added that the City has the authority to stop the work by American Modular Structures, Inc. in the area where they have illegally expanded. An additional option would be to file a code enforcement case in the State court system. Director Materassi stated "Staff did not negotiate with applicant about the additional $42,000 deposit because the City does not wish to negotiate. From the staff perspective the situation if very serious. If there is no water they should not expand." Chairwoman Van Gelder expressed concern that if the additional $42,000 is not collected the City would not be able to do the installation if applicant fails to complete the scope of the work. She said this would be the last extension possible. Commissioner Addington asked how the City of Grand Terrace would do the installation without the easements. Director Materassi said we would have to secure the easement documents and have them approved by the City of Colton just as the applicant does. She added that according to staffs recent discussions with the City of Colton staff PLANNING COMMISSION MEETING MINUTES Page 6 December 2, 1999 applicant has made no submissions of plans or easement documentation since submission of the preliminary water plan which was approved by the County Fire Department on September 16, 1999. There is no confirmation from the City of Colton that there has been any progress. She summarized by saying the City of Grand Terrace accepts applicant's request for a deadline continuance, however staff recommends the requirement of the additional $42,000 deposit. Commissioner Addington asked if the City of Grand Terrace could release a partial refund of the $42,000 to applicant as the project is partially completed. Director Materassi said she believes it is possible. Mr. Cash said there was an engineering meeting on November 10, 1999, at the City of Colton, attended by Tom Clarke, Rex Meyers, Terry Lane of Engineering Resources of Southern California and Mr. Cash. He said Mr. Clarke subsequently wrote a letter to the City of Grand Terrace dated November 16, 1999, indicating Colton staff reviewed the preliminary plan and found them acceptable. Mr. Clarke's letter also said the City of Colton found no objection to installing a water line in private easements to serve customers in the City of Grand Terrace adjacent to Main Street. Mr. Cash said applicant is obligated to complete this project by contract to the Pacific Southwest Corporation, the contractor. He concluded by saying "from a planning standpoint if the improvements are not made the City of Grand Terrace has every enforcement power to force applicant to vacate the portion of his building that has created the non -conforming use, and if that were done the improvements we're trying to accomplish would not be required by the County Fire Department. I want to remind you of that. It's sort of a redundant point, but a vivid one when we're being asked again to put another $42,000 on the line. I will remind the Commission that Mr. Bushore runs a small manufacturing company. He has 32 employees that work here every day trying to make a living. He has come up with a way to invest $42,000. $17,500 is a good faith effort toward a construction contract. He simply does not have the money to put up another $42,000, knowing that he has a signed contract obligating him to pay a pipeline contractor to make the improvements. I would just ask that the Commission recognize that there are limits to the amount of dollars that he can restrict. While there may be other mechanisms that could be put in place he has expressed his commitment to go forward. He signed on the dotted line the conditions of approval and he put a cashier's check in your hand. He's here tonight if you want to ask him point blank. We're committed to do this project but there are issues that have been outside of our control We are not trying to get out of making the improvements. I would suggest again, it is worth repeating, that if the improvements are not made by whatever date this commission elects, tell him to move out. Take the enforcement action that's already within your power and the improvements become a moot point and then he has business decisions to make on that basis. I would suggest to you that would be the appropriate course of action rather than this bureaucratic hostage that another $42,000 would only suggest. I think it's a move in the wrong direction. Director Materassi said when the County Fire Department did the fire flow test there is not enough water for the previous operation, let alone the expansion. She said a large PLANNING COMMISSION MEETING MINUTES Page 7 December 2, 1999 part of the proposed improvements will need to be completed to continue doing business as before the expansion. Mr. Cash maintained the Fire Department told applicant to make a temporary improvement. He said Mr. Bushore has already installed a public fire hydrant along the private drive off of Main Street, within the distance requirement of his original operation. He said the pipeline improvement and on -site fire protection is relative only to the expanded use of the building. He finished by saying if Mr. Bushore's company did not occupy the easterly half of his building the subject improvements shown on the water plan would not be required. Commissioner Addington asked Mr. Cash the number of plan check submittals to the City of Colton on this project by the project engineer. Mr. Cash responded there have been two submittals to the City of Colton. Commissioner Wilson said he was unsure about the status of the project from the plan check standpoint. He asked what agency needs to approve the plans from the City's standpoint. Mr. Cash said it is the City of Colton, Utilities Department. That approval is predicated on the approval of the City's contract city engineer, Tim Wilson. He continued to say there has been a first plan check by Tim Wilson. Mr. Wilson received plans as a result of the November 10, 1999 meeting. Commissioner Wilson asked for progress - plan check notes returned from Mr. Wilson. Mr. Cash said the only comments he now has are from the City of Colton staff members. Commissioner Ferre' asked if American Modular Structures, Inc. is doing business in the area that does not have adequate fire protection. Mr. Cash responded in the affirmative, and said "it has been an on -going issue for 5-6 years. When the applicant recognized he had a non -conforming use we held a meeting with the City of Grand Terrace and at that time were directed to fill out a Conditional Use Permit application, which was done. That's been so long ago I can't even recall the date but your staff can tell you. This entire effort has been to resolve a problem and I think over the course of time Mr. Bushore has shown that he has been doing everything he can to move this process some satisfactory conclusion." Commissioner Addington said he understands staffs viewpoint but an additional $42,000 is a significant amount of money. He said he personally would be willing to support conditions #1 and 2 and see what happens on the approval of the plans by January 31, 2000. Director Materassi advised Commission Members there has been a water issue at the Main Street site for many years. However, the "lack of sufficient water for fire protection" issue with American Modular came after legislation was passed mandating fewer students per classroom. The demand for increased production resulted in the expansion of American Modular without City review or CUP amendment. Chairwoman Van Gelder said each new Condition of Approval, as proposed in the staff report would be considered individually as follows: PLANNING COMMISSION MEETING MINUTES Page 8 December 2, 1999 Condition #1: "That all conditions and requirements of the original approval by the Planning Commission on September 16, 1999 of CUP #98-04 shall remain in full force and effect except as modified herein." MOTION PCM-99-26 Chairwoman Van Gelder made a motion to approve Condition #1. Seconded by Commissioner Trainor. MOTION VOTE PCM-99-26 Motion carried. 5-0-0-0. Condition #2: "That Condition No. 31 of the original approval be modified to allow applicant additional time to install the improvements needed for fire protection; and that said installations to be completed by January 31, 2000." MOTION PCM-99-27 Motion made by Commission Trainor to approve Condition #2. Seconded by Commissioner Addington. MOTION VOTE PCM-99-27 Motion carried. 5-0-0-0. Condition #3: "That the applicant shall submit an additional $42,000 deposit in the form of a cashier's check to cover the full costs of installing the improvements needed for fire protection. Said check to be submitted to the City of Grand Terrace by December 16, 1999. Failure to meet this obligation will mean that the additional time to install the improvements called for by the water plan granted above will lapse." PLANNING COMMISSION MEETING MINUTES Page 9 December 2, 1999 MOTION PCM-99-28 Commissioner Addington made a motion to deny Condition #3. Seconded by Commissioner Wilson. Commissioner Trainor asked for a clarification from staff. She asked if there is sufficient water supply for the pre -expansion business of American Modular. Director Materassi responded by saying "Usually the development is required to have water on - site. Right now they have a temporary fire hydrant. It may be the fire hydrant could cover the building but we are not sure, and it is only a temporary measure. There is nc permanent water supply on -site." Commissioner Wilson stated it is not the intention of the Planning Commission to be punitive in relation to business and he appreciates Mr. Bushore's intelligence and forthrightness in relation to his business, and appreciate his business in town. The City needs to have the water supply situation corrected and the Planning Commission is sending that message. He acknowledged the easement situation is a rather odd one but patience is wearing thin. MOTION VOTE PCM-99-28 Motion failed. 2-3-0-0. Chairwoman Van Gelder, Commissioners Trainor and Ferre' voted "no". MOTION PCM-99-29 Commissioner Wilson proposed an amendment to Condition #3 as follows: "Should the applicant fail to evidence substantial progress in the form of plan check submittal and easement finalization in the eyes of Grand Terrace City staff an additional $42,000 deposit in the form of a cashier's check to cover the estimated full cost of installing the improvements needed for fire protection shall be required. Said check will be submitted to the City of Grand Terrace by January 31, 2000." Motion failed for lack of a second. PLANNING COMMISSION MEETING MINUTES Page 10 December 2, 1999 MOTION VOTE PCM-99-30 Motion by Chairwoman Van Gelder to approve Condition #3 as proposed by staff. Motion failed for lack of a second. MOTION PCM-99-31 Motion by Commissioner Trainor to amend Condition #3 to read as follows: "Should the applicant fail to evidence substantial progress in the form of plan check submittal and easement finalization in the eyes of Grand Terrace City staff an additional $42,000 deposit in the form of a cashier's check to cover the estimated full cost of installing the improvements needed for fire protection shall be required. Said check will be submitted to the City of Grand Terrace by January 1, 2000. The City shall release 50% of the deposit in a timely manner to depositor when 50% of the work is completed." Seconded by Commissioner Wilson. MOTION VOTE PCM-99-31 Motion carried. 4-1-0-0. Commissioner Addington voted "no". Chairwoman Van Gelder said to Mr. Cash, "We implore you to move post haste." 7:50 P.M. ADJOURNED SITE AND ARCHITECTURE REVIEW BOARD/PLANNING COMMISSION MEETING 7:50 P.M. CONVENED PUBLIC WORKSHOP SESSION • Information to Commissioners • Chairwoman Van Gelder asked staff for an update on the Rite Aid project. Director Materassi said construction permits have been issued. She anticipates receiving construction schedule information before Christmas. PLANNING COMMISSION MEETING MINUTES December 2, 1999 Page 11 • Director Materassi told Commission Members the City recently participated in a CD ROM production promoting Grand Terrace. The Inland Empire Economic Partnership made this marketing tool possible for all members through the Altek Production Group. It will be used by the IEEP in response to inquiries from firms interested in expanding or relocating to the Inland Empire. Director thanked Commissioner Ferre' for her participation representing Terrace View Elementary School. • Information from Commissioners • Commissioners Addington and Wilson advised staff they have a conflict so will be unable to attend the December 16, 1999 Planning Commission meeting 7:55 P.M. ADJOURNED PUBLIC WORKSHOP SESSION NEXT PLANNING COMMISSION MEETING TO BE HELD ON DECEMBER 16. 1999. Respectfully submitted, Patrizia Materassi Community and Economic Development Director 01-11-99:pp w:\planni ng\min utes\12-02-99. mi n Approved by, Fran Van Gelder Chairperson, Planning Commission