Minutes 1994/02/15
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posting
Agenda
Roll call
Max club
special Meeting
February 15, 1994
Gilroy, California
The city Clerk noted that the Agenda had been posted on
February 8, 1994 at 3:18 p.m.
Present: councilmembers: K. A.
Kloecker, charles s. Morales, connie
Pete valdez, Jr. and Donald F. Gage.
Mike Gilroy, paul v.
Rogers, suellen c. Rowlison,
(7:00 p.m.)
The Mayor stated the purpose of the special Meeting is to
discuss "concept" of an Economic Incentive Agreement in general
and specifically with Max Club and policy on required economic
impact reports.
city Administrator Baksa noted the issues to discuss are
whether or not the city should enter into negotiations with Max
club and parameters of negotiations and direction of staff on an
economic impact report.
o
Discussion was had by Council on the matter.
The Mayor asked if there was anyone in the audience wishing
to speak on the matter. The following persons from the audience
addressed the council:
Ernie Olivares, President of the Gilroy chamber of
Commerce, noted that an economic impact report is a deterrent and
requested that council consider working with the chamber prior to
making a decision, for the betterment of the community;
patti Hale, 7685 Wren Avenue, Vice chairperson of the
Economic Development corporation and spokeswoman for Gilroy
Foods, noted that if the city's Traffic Impact Fees are $200,000.
higher than the neighboring cities, they need to be investigated.
she further noted that the city's fees for expansion of Gilroy
Foods is prohibitive;
Gary Boe, local business owner, noting that Gilroy must be
competitive and is in favor of Max club locating in Gilroy;
Leonard ortega, 190 Churchill Place, representing united
Food & Grocers, representing local employees of local markets,
noting that if incentives are given the company should provide
employees with benefits and working conditions comparable to
existing employers;
Bob Dyer, representing Dyer Investments, and encouraged new
businesses to locate in Gilroy and noted that he is aware of six
new prospective businesses that decided to locate elsewhere
because of Gilroy'S excessively high fees.
At 9:00 p.m. the Mayor declared a recess 'in order to change
the video tape and reconvened the meeting at 9:08 p.m.
Bob Dyer suggested that the city conduct a symposium for
all interested parties including the public to attend and present
their views on incentives, deferment of fees, etc.;
Sara Nelson, 7431 church street, suggested that the city
zone more land commercial/industrial if more businesses are
needed in Gilroy. she noted that it is difficult for existing
businesses to expand. Gilroy needs to be friendly to businesses;
Jeff Martin, 820 second street, noted that it is unanimous
that the city support some incentives to businesses for locating
in Gilroy; and
Rick Mello, 7385 Orchard Drive, noted some benefits need to
be given the residents so that they can realize, i.e. lower
Adjrnmt.
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utility bills; some percentage for a year as a result of increase
in taxes received from businesses locating in Gilroy.
Further discussion was had by Council on the matter.
Motion was made by councilman Valdez seconded by Councilman
Kloecker and failed by the following Roll call Vote to not offer
monetary incentives to Max club: Ayes: councilmembers: Kloecker,
Rogers and valdez; Noes: Councilmembers: Gilroy, Morales,
Rowlison and Gage.
Motion was made by Councilwoman Rowlison seconded by
councilman Gilroy and Farried by the following Roll call Vote to
authorize staff to negotiate with Max club and offer monetary
incentives to Max club using Wal-Mart Agreement as a pattern and
in addition possible fee deferment: Ayes: Councilmembers: Gilroy,
Morales, Rowlison and Gage; Noes: councilmembers: Kloecker,
Rogers and valdez.
Motion was made and carried by the following Roll call Vote
directing staff to review long range impact of lowering traffic
impact fees to 60% of current fees or deferment of fees and
determine what needs to be reduced to be competitive in the area
of surrounding communities (particularly city of Morgan Hill:
Ayes: councilmembers: Gilroy, Morales, Rogers, Rowlison and Gage;
Noes: councilmembers: Kloecker and Valdez.
The city Attorney suggested that the fees not be lowered
entirely 60%; defer fees or do some other things; other
arrangements.
Discussion was had re: policy on Required Economic Impact
Report further explained by Planning Director Dorn recommending
that the present economic analysis for Max club be accepted as
adequate and not require additions or changes to the Economic
Impact Report.
Motion was made by councilwoman Rowlison seconded by
Councilman Gilroy and carried by the following Roll call Vote to
accept staff's recommendation that the present economic analysis
for Max club be accepted as adequate and no further requirements
for additions or changes to the Economic Impact Report: Ayes:
Councilmembers: Gilroy, Kloecker, Morales, Rowlison and Gage;
Noes: councilmembers: Rogers and Valdez.
council took no action on finalizing prioritization of
tasks assigned at council/Manager Retreat, noting the final tally
was not complete.
At 10:06 p.m. the Mayor adjourned the meeting to Tuesday,
February 22, 1994 (February 21, 1994 - legal holiday).
Respectfully submitted,
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, Susanne E. steinmetz, city Clerkd-