CLEARLAKE — The Clearlake City Council/Redevelopment Agency moved forward on the commercial development project proposed for the RDA”s airport property. Decisions came following a continued series of public hearings and further public discussion Thursday night.
Councilmember Roy Simons voted against the first four of the five items presented in relation to the project, which included: (1) whether to certify the draft mitigated negative declaration/initial environmental study in accordance with the California Environmental Quality Act; (2) authorization of the executive director to execute the draft disposition and development agreement; (3) authorization of the executive director to execute the land exchange agreement with the adjoining property owner to the south; (4) approval of the disposition and development agreement between the Clearlake Redevelopment Agency and KK Raphel Properties, LLC and authorization of the city administrator and city clerk to execute the agreement; and (5) the abandonment of part of right-of-way for Airport Road.
While Simons said he is not against the project, he does oppose use of RDA money to fund infrastructure improvements associated with the development.
Vice Mayor Joyce Overton voted against the first item but supported the remaining items. She said in her council report that she had done so because she supports the decisions of the council. Overton also said that she doesn”t oppose the project but she would like to see an environmental impact report completed. She also voiced objection to exhausting all RDA funds on one project.
Councilmember Curt Giambruno said he came to his decision in part after asking himself how the project would benefit the citizens of Clearlake. He said he narrowed it down to what he called the “three Es;” those being employment, economy and environment. He said the project will provide employment opportunities, better the city”s economy and address environmental health and safety associated with ongoing problems with the sewage system in the project area and beyond.
Councilmember Chuck Leonard said in support of the project, “We need to do something to jump start the economic engine in our city. We need to stimulate regional shopping then we”ll be able to address Lakeshore Drive.”
Mayor Judy Thein also said economic growth is needed. “We have to look for new ways to meet the needs of our city,” she said. “We have to try and stop the erosion of services to our citizens.”
Referring to County Administrator Kelly Cox”s recent comments regarding the county”s intention to devise a regional business growth plan, Thein said, “We have the potential to be the first out of the starting gate.”
KK Raphel Properties, LLC intends to enter into contract with Lowe”s home improvement store as the anchor tenant. The disposition and development agreement between the developer and the RDA requires that a signed contract with the anchor tenant be in place prior to the actual sale of the property.
City Attorney Iris Yang, who specializes in RDA laws, said that the DDA provides additional safeguards for the city, such that the developer must provide evidence of financial capabilities to complete the project, it must have permits in place and construction plans approved as well as a contract for construction and proof of insurance. She said the RDA must get bids for infrastructure improvements prior to sale as well. City Administrator Dale Neiman said if bids exceed the $7 million cap that the project will not go through.
“These conditions are put in the document to ensure the necessary provisions are in place before the sale goes through,” Yang said.
Yang said that a survey was conducted by Keyser Martson that showed four out of five local contractors buy the bulk of their supplies outside of Lake County and would buy at Lowe”s if a store was located in Clearlake. Neiman said the purpose of this project is to decrease this leakage of revenues.
Contact South County reporter Denise Rockenstein at drockenstein@clearlakeobserver.com or call her directly at 994-6444, ext. 11.