HomeMy WebLinkAbout03/23/1964ADJOURNED.MEETING OF CITY COUNCIL
March 23, 1964, - 7:30 P.M.
City Hall
Invocation was given by Reverend Wallace Rlandrud
Roll Call
Present: Clay P. Davidson, R. L. Graves, Jr., Miss Margaret McNeil,
Donald Q. Miller, Clell W. Whelchel
City Staff
Present: P. Chapman, Director of Planning & Building; J. H. Fitzpatrick,
City Clerk; W. M. Houser, City Attorney; R. D. Miller,
Administrative Officer; D. F. Romero, City Engineer;
L. Schlobohm, Fire Chief.
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1. Mayor Davidson opened the meeting and explained the purpose of the meting
which was to consider a reduction of 25o in the City's property tax rate.
He stated that he had studied the City's revenues and expenditure estimates
and was sure that the slight reduction in tax rate would encourage industry
to come to the City and the new sources of revenue instituted by the Council
can give the property owner a break in his city tars bill.
Fred LucksinAer congratulated the Council on present work for the City, but
asked if the proposed tax reduction was really in the best interest of the
City as a slight reduction now might be a disservice to future Councils and
the citizens of the community.
Mayor Davidson explained what figures he _onsidered in order to arrive at
his estimated revenue in order to justify a tax rate reduction at this time.
R. D. Miller, Administrative Officer, explained the matter of the beginning
balance for 1963 -64 which was not included not included in the comparison of revenues for
the 1963 -64 and 1964 -65 years.
Burt Fusate appeared before the Counc:.l and reviewed some of the figures
that were presented by Mayor Davidson and then congratulated the Council on
the reduction proposal.
Mr. Davin, President of the Chamber of Commerce, asked that the Chamber
letter be read.
"The Board of Directors of the San Luis Obispo Chamber of Commerce,
Friday morning, March 20, 1964 went on record as approving Mayor
Davidson's proposed 25 cants per $100 assessed valuation tax re-
duction.
The Board of Directors acted on the recommendation of three of the
Chamber's committees. They ara the Legislative committee, the
Economic Development committee and the Retail Trade Division. The
above mentioned committees met Thursday, March 19, and considerable
thought and study was given to the matter of a tax cut.
The San Luis Obispo Chamber therefore respectfully urge the City
Council to unanimously pass the proposed tax reduction. We feel
that the overall economy of our city will not suffer as a result,
but this will play a strrr_g part in inducing industry to consider
a location here."
Councilman Whelchel asked if a roll call vote had been taken listing the
ayes and noes on this recommendation of the Chamber.
Mr. Davin and Mr. Burleish both stated that no roll call was taken but 0.,_
fourteen members of the Board were present and no one had voted no.
Councilman Craves stated that he received phone calls that all members
present did not vote and stated they were not all in accord with the
Chamber's position.
Councilman Miller explained his reaction to the March 20, 1964 Chamber
meeting at which he was present and at which time the matter regarding tax
rate reduction was taken, and he stated that it was a very weak aye vote for
City Council Minutes
March 23, 1964
Page -2-
the tax rate reduction.
Mr. Burleiah explained the Chamber's policy and procedure on voting on all
issues and stated he felt that a strong vote in favor of the proposal was
made by the Board members. He also stated he believed that Mayor Davidson's
proposal was sound and was a step in keeping and attracting industry. He
further stated that if the Council does not do something about high taxes
in San Luis Obispo the City will lose the industry it now has and this is an
opinion from his intense study of the subject and his experience in Chamber
and City development.
Mr. Davin again explained the pr- •cedure of voting of actions of the Chamber
of Commerce Board of Directors.
Councilman Graves asked that Administrative Officer Miller's letter of
February 28, 1964 be read.
"In connection with the current discussion regarding the level of
city taxes, I have an alternate suggestion whic. the council might
wish to consider.
I fe -I. that it is true that Industry is concerned about the level of
city tares as well as other cost factors affecting their operation,
but industry is also interested in having adequate governmental
services and facilities available in the community. After these
services and facilities have been provided, ;:hey may press for a
tax reduction.
Howe%rer, at the present time, a 250 reduction in city taxes would -
have very little effect on i-ndustry's picture, in my opinion, siuce
this would mean a reduction of only 3% in local property, taxes, tak-
ing the county and schools into consideration.
Industry be mc..e interes"i:ed in having some or all of this
250 tax set aside in a capited improvement fund so that frequent bond
issues would not be needed in the next decade or so to finance necessary
city improvements. Such bond issues would result in tax increases.
As a suggestion, if the coundil were
meat and betterment tax levy and add
(at the sr.: -lE time reduc±ng the money
tenance activities) this would raise
year. In ten gears, the total would
a 5% annual growth in assessed value
to take the 300 public improve -
the equivalent of 200 to this,
available for current main -
approximately $2"0,000 this
amount to $2,500,000, assuming
.ion.
This money could be earmarked for capital projects included in the
capital improvement budget by the city council. Projects would be
listed in order of priority and taken one at a time. If monies were
not spent is one year, iehey could be carried over.
In fact, if the council established the capital outlay fund by ordin-
ance under the provisions of sections 53730 and following, of the
Government Code, the program would be protected against diversion
by future city councils by a provision in the state law which
states that monies placed in such a fund cannot be diverted without.
a 2/3 vote of the people."
Councilman Graves stated that he believed that the proposal of Mr. Miller.
is sound and would do the job that is needed to complete the capital im-
provement of the City.
On motion of Councilman Graves, seconded by Councilman Miller, that the
tax rate of $1.50 per $100 be informally adopted for the fiscal year 19C
U
Mayor Davidson read a letter from General Fireproofing regarding future ex-
pansion of their.plant. Mayor Davidson stated, however, that General Fire-
City Council Minutes
March 23, 1964
Page. -3-
proofing was alarmed about the increasing cost of government in San Luis
Obispo. He also stated that the actual taxes paid by General Fireproof-
ing in San Luis Obispo in the past five (5) years have increased over 23%.
Mayor Davidson continued that San Luis Obispo must keep competitive with
other communities and he listed the advantages that Santa Maria has over
San Luis Obispo in economical and industrial growth and that the City
Council must take action now t,, encourage the industry that is here to
stay and expand in addition to attracting new industry.
Councilman Whelchel stated that he was against the tax rate cut at this
time, as there are areas within the City zoned for industry and business
that cannot be used due to the lack of water asd sewer facilities. Also,
he stated that the City needed many capital items such as a new fire
station, polio station, bridges, rail road crossings, etc. He con-
tinued that these major items had been needed for many years, but that
funds were not available to complete them ir_ the ?ast. He recommended
that some part of the $1.50 be kept aside for capital. improvement: say
20 or 25 cents, in addition to the Public Improvement and Betterment
Fund.
Councilman _raves agreed that came funds mist be put aside if for no other
reason than to complete the street widening program instituted by prior
Councils and that mist be completed in order to let the property owners on
the streets know when the City will ta'.ce he pri-Perty for widening.
Mayor Davidson stated that he believed that the recipient of the service
should pay for the improvement and not the general tax payers. He stated
he did not believe that, Z_,r example, the Mission Plaza, should be pa :.d
for out of taxes but out of the increased revenue brought about by the im-
provement. He continued expla ning and listing all the increased revenues
' that have come to the City over the T, t three years and that the people
must receive some relief ftnm the high taxes.
Councilman Graves stated he agree%' with the Mayor's philosophy on a tax
cut, but the downtown area must be revitalized now, not when the Central
Core has been destroyed.
R. D. Miller, Administrative Officer, said City taxes now represent 18%
of the local tax totals, •ohereas five (5) years ago they represented 23%.
The question of reducing City taxes was a policy matter but the load would
not be lessened if the City reduced its rate by 250 and the County rate
were to go up to finance a Fine Arts Center, a county wide water plan, a
junior college and so on.
Mayor Davidson again gave reasons why the City Council should reduce the
City tax rate by 250.
Ray C. Skinner stated as a developer that he has notieed many increases, W
only in taxes, but in other ways such as connection charges, etc. and the-,
are scaring people from developing in the area and that psycologically, a
250 tax reduction would be well received by the public and developers.
Burt Fusate agreed that the costs of goods are going up, but that a tax
duction would have a good effect on prospective developers coming into 1--:
City, as he believed that one big industry coming into the City would mo..
' than offset any loss in revenue caused by a tax reduction now, and the C'• .
would be ahead in the additional taxes received after the plant were built
Councilman Miller explained some of the points regarding a community that
industry looks into when considering a location for development. He Cher
listed some of the advantages to industry in San Jose, a City that has qi
a high tax rate. Also, he asked the people present to consider where is
dustry sites are presently located and to consider that these areas are on
the fringe of the City and outside the City, and no water and sewer facilities
were available and who would put these in. Also, he stated that the public
should be aware that maybe the downtown area will not continue to grow and
that some of the major retailers are looking for a site on the periphery of
City Council Minutes
March 23, 1964
Page -4-
the City and if this happens, then our sales tax revenue will not be as high
as predicted by the Mayor. He further urged that the Council not allow the
tax rate to be cut at this time.
"Public Statement of Councilman Donald Q. Miller"
The duty of an elective public official is to honestly appraise the
facts before him then give his decision regardless of popular appeal.
Reducing taxes has such appeal.
After reviewing the facts, it is my opinion reducing our City taxes
-which are low now- would jeopardize City services and City improve-
ments. This would have an adverse affect on the future of our com-
munity. Population expansion leans our City must continually expand
our park program, our street program, our 1=brtl:y program and.add
police and firemen to our forces.
The Mayor claims a. tax reduction. will stimulz_e industrial develop-
ment. He has in my opinion offered no proof tc substantiate his claim.
Let me ask, why is it that San ;lose with nearly the highest tax rate
in the state is one of the fastest growing industrial areas? Could
it be that industry is interested in how the tax dollar is being spent ?"
Burt Fugate urged that the Mayor's proposed tax rate cut be granted, which
in itself is really nothing, but it is a step of encouragement for develop-
ing of the City.
Bob Corcoran asked that -he Council consider the small business malt who is
attempting to improve his ,roperty and no matter how small the reduction,
any relief would be appreciated and hoped the tax rate would be cut.
Further, he stated that if W n6gomery Wards was to leave the downtown area
they would not be missed as the rest. the merchants are dynamic and would
take up any space or revenue lost by such a move.
Motion to leave the tax rate at $1.50 /$100 for the fiscal year 1964 -65
was amended as follows: That the tax rate of $1.50 /$100 of assessed value
be informally adopted for the 1964 -65 fiscal year and that 200 be set aside
for capital improvements.
Motion carried on the following roll call vote:
AYES: Donald Q. Miller, Clell W. Whelchel
Miss Margaret McNeil, R. L. Graves, Jr.
NOES: Clay P. Davidson
ABSENT: None
Mayor Davidson thanked the Chamber of Commerce and other committees
for all their help and support in this matter.
2. Letter from Rav C. Skinner regarding City -owned property at Laguna Lake.
"We have proceeded with development and feasibility studies and wish to
propose to the City of San Luis Obispo the following:
1. That the goals of a development plan be established by a formal
resolution of the City Council as soon as possible so that we and other
interested parties can proceed within such a framework and can discuss de-..
meat possibilities with investors and other interested parties.
2. That the following facilities be considered for inclusion in this
development plan:
a. A resort hotel with convention facilities.
b. A three par golf course for family and beginner use.
c. An 18 hole regulation size golf course meeting standards
established by PGA for tournament play and designed to be included
in major tournaments. If located in the large area to the rear of the
city council Minutes
March 23, 1964
Page .5.
property, utilizing the contours of this land and reclaimed land from
the marshy area of the lake, water hazards, and other natural
obstacles would snake this a most interesting and challenging course
and would receive wide publicity.
d. A golf driving range and clubhouse to serve the two courses.
e. The creation of a controlled water area within the boundary of the
peninsula by dredging the center area onto the perimeter banks. This
would then be a large protected area excellent for small boats, child-
ren and beginners and would, as we visualize this, have an excellent
protected harbor at the base open to the lake and this interior area
of the peninsula.
The size of this peninsula and feasibility of this approach can only
be visualized by a tour of the perimeter either walking along the banks
from the shore or by a boat trip. We will be glad to mace our boat
available for all interested parties to make such an inspection.
f. The dredging of the marshy area betuZen the peninsula and the shore
line. This is a tremendous undertaking Scut, according to our studies,
the key to the entire development. It would create part of the golf
course and make a very large mar'.na area protected from the prevailing
wind, readily accessible for boating and yet far enough from other uses
not to disturb fishing, swimming and sailing. The desirability of
utilizing this area and the adjacent open lake area for motor boats and
controlled water skiing should be considered.
g. A "greenbelt" area along the lake from Madonna Road to the peninsula
for swimming, boating, fishing and picnic use. A relatively small
amount of dredging and earthmoving could accomplish this.
h. If adequate land is available after detailed study has been
completed a research and development park located so as not to
interfere with the recreational uses of the land and the water.
3. That the City Council consider the desirability of entering into a
preliminary agreement with the San Luis Obispo School District relative to
an exchange of real property to accomplish the following:
a. That the City obta?.n the ability to advertise this property in
connection with adjoin:.ng property as part of the development plan.
b. That the School District be able to obtain property they believe
more suitable for a junior high school site.
As part of our program of developing Laguna Lake Village into a total resident:
recreational community we are preparing a brochure showing existing and propose
improvements. This Brochure will have widespread distribution and will be
designed to promote San Luis Obispo as a recreational center as well as the
promotion of Laguna Lake Village. We desire to show the goals of the City
Council for consideration at the earliest possible time will be greatly
appreciated."
Mayor Davidson stated he agreed with the proposal of Mr. Skinner and urged t
Council to adopt the proposal as presented in principle.
Mr. Chapman. Director of Planning & Building, stated he believed that the
Planning Commission should have an opportunity to study this as zoning and
planning matters are to be considered.
W. Skinner stated that he wanted a resolution by the City Council approving
plan to principle so that he may proceed with his plans. He then presented
aerial photo shoving the lake property and particularly urging the Council to
allow limited water skiing on the lake where it is presently prohibited. Be
then explained what he proposed to do with this development.
R. D. Miller, Administrative Officer, recommended a joint tour of Council,
Planning Commission and Park & Recreation Commission of the area being considered
for development by W. Skinner.
City Cooaeil Miaates
!larch 23, 1964
Page -6-
Councilman Graves agreed that an on the site tour of the proposed property
with Mr. Skinner at the lake site would be a good idea.
Mr. Skinner asked that the Council take official action endorsing the proposal
in general as outlined by himself and authorize him to proceed with the plan
and prepare economic studies of the development.
Councilman Whelchel stated that he could not, at this time, approve the
overall program as submitted by Mr. Skinner.
On motion of Councilman Graves, seconded by Councilman Miller, that a study
session be set up with the Council, the Planning Commission, Park &
Recreation Commission and Mr. Skinner for guidance of his program development
for 5:00 P. M. on April 13, 1964. Notion carried.
3. Traffic Committee Report of March 19, 1964.
64 -4 -2T The Traffic Committee has had a request for the Junion High School
for a pedestrian crosswalk across Johnson at Lizzie. We have studied this,
and feel that such a crosswalk would be justified and so recommend. The
crosswalk would be yellow and would be placed on the north side of Lizzie
Street intersection.
64 -4 -2T At the same time, we feel that safety conditions would be improved
for students going to and from the school, if sidewalks were installed on
both sides of Fixlini between the school property and Lizzie, and on both
sides of Lizzie between Fixlini and Johnson. It is recommended that the
Council initiate a program for installation of these sidewalk improvements.
On motion of Councilman Graves, seconded by Councilman Miller, the following
' resolution was introduced. Resolution No. 1272, a resolution setting date for
hearing on sidewalk installation on rixlini and Lizzie Streets.
Passed and adopted on the following roll call vote:
AYES: Clay P. Davidson, R. L. Graves, Jr., Miss Margaret McNeil,
Donald Q. Miller, Clell W. Whelchel
NOES: None
ABSENT: None
On motion of Mayor Davidson, seconded by Councilman Miller, that the City
Engineer obtain the cost for widening east side of Johnson between Lizzie a-+
General Hospital. Motion carried.
64 -3 -16T (c) In regard to the snorkel box location in front of the Chamber
office which was referred back to the�Traffic Committee, it is recommended
that the two 12 minute green Zones in front of the Chamber office be elimins
and replaced with a white zone as a continuation of the loading zone to the
east. It is felt that the three car spaces will make an excellent location
the snorkel mail box and will allow sufficient maneuvering room to make thi
installation easy to use. It is also recommended that two metered spaces
west of the Sears driveway exit be changed from two hour spaces to 12 minu'
64 -4 -3T In view of the recent greater traffic flows on Flora Street, it
recommended that stop signs be placed on Flora at Sydney Street, stopping
traffic in both directions.
64 -4 -4T P. G. & E. Company has submitted a layout calling for mercury var
lighting as an extension of the business district from Marsh to Walnut. Ho,.
ever, the Traffic Committee feels that for the time being, we should limit
extension of mercury vapor lights from our downtown business district to
Palm Street and leave the lighting as is at Mill, Peach and Walnut.
64 -4 -5T It is recommended that the P. G. & E. recommendation for 23,000
lumen mercury vapor lights be accepted for the intersections of March, Higuera,
Monterey and Palm Streets as well as one such area in mid -block between Monterey
and Higuera. However, it is felt that with this improved level of illumination,
the existing light in mid -block between Higuera and Marsh could be eliminated,
especially in view of the lighting provided by businesses in the area. The
City Council Minutes
March 23, 1964
Page -7-
cost of the 5 mercury vapor lights, the existing 10,000 lumen lamp at Mill
Street and the existing 6,000 lumen lights at Peach and Walnut would be
$52.55 a month compared to the present street lighting bill of $50.35.
On motion of Councilman Graves, seconded by Councilman Miler, the following
resolution was introduced. Resolution No. 1271, a resolution establishing
parking restrictions on Marsh and stop sign on Flora Street.
Passed and adopted on the following roll call vote:
AYES: Clay P. Davidson, R. L. Graves, Jr., Miss Margaret McNeil,
Donald 0. Miller, Clell W. Whelchel
NOES: None
ABSENT: Nune
4a. Communication from the Planning Commission recommending the rezoning of corner
of Santa Rosa and Walnut Streets from R -4 to C -1.
On motion of Councilman Miller, seconded by Councilman Graves, a public hearing
was set for April 6, :964 at 8:00 P. M. Motion carried.
Donald Q. Miller left the meeting at 10:00 P. M.
4b. Communication from Planning Commission recommending approval of tentative map
of Tract No. 293, Holiday Park - Condominium, subject to the following
conditions:
"1. Sewer on Oceanaire to have excess capacity at City expense.
2. Power line easement required along eastern boundary of project.
3. Perfumo Canyon diversion must be completed prior to the start of
the development.
4. Curb, gutter and sidewalk to be provided on Los Osos Road frontage
to City standards.
5. The subdivider shall record a restriction to vehicular access
from the development to Los Osos Road.
6. Water system to be to the satisfaction of the water superintendent.
7. Access way to C. L. Smith School to be provided from Atascadero Street
to the satisfaction of the School Board.
S. Street trees to be planted at a maximum of 50' intervals to
the satisfaction of the Park Superintendent. (Washington Hawthorne,
Purple leaf Plum and Eucalyptus Torquata recommended)
9. Covenants and deed restrictions to be approved.
10. Variances from requirements of City Subdivision regulations to be
permitted on the basis of compliance with the State Subdivision Map
Act.
On motion of Councilman Graves, seconded by Councilman Whelchel, approval wt.
given of the tentative map of Tract No. 293, subject to the same condition.-
as set forth by the Planning Commission. Motion carried.
4c. Communication from Peter Chapman, Director of Planning, reporting on informal
bids received for painting the interior of City Hall in connection with
current remodeling and recommended that the low bid of J. L. SL-auch be
accepted. The following bids were received:
City Council Minutes
March 23, 1964
Page -8-
J. L. Stauch $10928
B. L. Sager 40377
H. Orvis No Bid
On motion of Councilman Whelchel, seconded by Councilwoman McNeil, the request
was approved. Motion carried.
5. Letter from James L. Wagstaff and Leonard Gomez regarding proposed closing of
Foothill Boulevard for reconstruction and requesting a directional signal to
their motels during road construction.
On motion of Mayor Davidson, seconded by Councilman idhelchel, the matter was
referred to the Traffic Committee. Motion carried.
6. Black Gold Cooperative System plan of service for City Library, was ordered
and filed.
7. Communication from Faud H. Tallow protesting the decision of making parking
illegal at the curb in front of his residence at 1332 Foothill Boulevard,
was ordered received and filed.
By general consent of the Council, the perking restriction at the east end of
Foothill is to be interpreted to apply only to the center lanes of the street
and not to the curb lanes.
8. Planning Director Chapman presented the following informal bids received for
a floor covering to be placed in the basement: Civil Defense and duplicating
room. Bids received ruere as follows:
Asphalt Tile Vinyl Asbestos Tile
Jost $135 $216
Bayles (Arroyo Grande) $117 $198
1 Quaglino $190 $269
Mr. Houser. City Attorney, explained to the City Council the Charter
requirements of accepting the bid from the lowest responsible bidder.
Mr. Romero. City Engineer., pointed out potential problems on public works
projects if jobs are awarded to other than the low bidder.
On motion of Mayor Davidson, seconded by Councilman Whelchel, that the bid of
Jost in the amount of $216.00 be accepted. Motion carried, Councilman
Graves voting no.
9. Communication from the Planning Commission forwarding their recommended
approval of the precise plan for the shopping center at Los Osos Road and
Madonna Road.
On motion of Councilman Whelchel, seconded by Mayor Davidson, a public hearir:
on the shopping center - precise plan was set for 8:30 P. M. April 6, 1964.
Motion carried.
On motion of Councilman Graves, seconded by Councilwoman McNeil, the meetin;
adjourned at 10:25 P. M.
' Approved: April 6, 1964 /
. H. !Ifi lATEICK, CITY CLERK