City Council Report

 

 

City Council Meeting: October 27, 2009

Agenda Item: 8-A

 

To:                   Mayor and City Council 

From:              P. Lamont Ewell, City Manager

Subject:          Exposition Light Rail Phase 2 Maintenance Facility Update – Expo Construction Authority Consideration of Verizon Site and Santa Monica College parking lot as the Hybrid Site within the City of Santa Monica

 

Recommended Action

 

Staff recommends that the City Council: 

 

1.      Authorize the City Manager to continue to work with the Exposition Construction Authority (Expo) to further explore and mitigate the effects of the proposed Phase 2 Exposition Light Rail maintenance facility, including the proposed alternative concept “hybrid” maintenance facility site which consists of the Verizon property and the Santa Monica College (SMC) parking lot as the location for the maintenance facility (Attachment A).  Such an alternative will include a tightly configured storage and maintenance facility on the Verizon/SMC site adjacent to the railroad right of way, and a linear buffer of 100 – 110 feet for most of the frontage facing residents on Exposition Boulevard.  Currently, the Exposition Light Rail Phase 2 Draft Environmental Impact Report (DEIR) identifies the entire Verizon site in Santa Monica as the only option. The DEIR does not analyze the proposed alternative hybrid concept.  Expo has previously agreed to analyze both sites in the Final EIR if so requested by the City.

 

2.      Request Expo to continue working with the City and community to ensure that, if the alternative hybrid concept is accepted by Expo, any environmental impacts associated with the hybrid concept are fully mitigated. Direct staff to work with Expo to minimize the visual and environmental impacts of the maintenance facility and enhance its aesthetic interface with the community.

 

3.      Direct City staff to work with Expo and other agencies on layout and financial issues associated with the newly proposed hybrid alternative. Efforts will include discussion with Los Angeles County Metropolitan Transportation Authority (Metro), the California Public Utilities Commission (CPUC) and SMC.

 

4.      Direct City staff to work with SMC on the identification of property on Airport Residual land as replacement parking and possible terms for a land swap.

 

5.      Direct staff to work with Expo to develop any necessary agreements regarding the hybrid site if it is adopted by the Expo Board as the recommended site and adjust the final budget for the Expo Phase 2 project as appropriate.

 

Executive Summary

Expo will make decisions on the maintenance facility in consultation with the Operations group at Metro.  The Expo Authority Board of Directors is responsible for deciding on the final project, not the City Council, which can only make recommendations.  The project budget in the Phase 2 DEIR currently assumes that Expo will acquire only the Verizon site.  The City is requesting that the Expo Phase 2 budget be adjusted, as necessary, for the hybrid alternative if it is selected by the Expo Board.

 

The DEIR, issued in January 2009, summarizes the review of a number of candidate sites for a Phase 2 maintenance facility, but concludes that the Verizon site is the only viable alternative. The City Council and neighbors expressed concern about locating the proposed maintenance yard adjacent to a residential area and requested Expo to continue to look for an alternative location.  The City hired real estate and design consultants to evaluate options. Several alternatives were explored including a “split alternative” using Verizon, SMC and 1800 Stewart Street with the facility spanning across Stewart Street. Since this split alternative involved significant cost to acquire the site from an unwilling leaseholder, garnered no support from the adjacent neighbors and generated new opposition, Expo concluded that the split alternative would not be a preferred or recommended option for a maintenance facility.

 

At the August 11, 2009 Council meeting, the Expo Authority and the City’s Real Estate consultant, The Maxima Group, provided additional information regarding sites considered. Council requested further exploration of a site between 9th and 11th Streets while continuing to explore a hybrid alternative utilizing Verizon, SMC and a portion of the City Yards.  After further exploration Expo has concluded that the site between 9th and 11th Streets would not be considered as a recommended alternative for the maintenance facility.  This site creates additional safety and environmental impacts, including socioeconomic impacts and dislocation as well as costs ranging from $152 million - $203 million.

 

Expo and the City have continued to explore the hybrid alterative utilizing the Verizon site and the SMC College parking lot for the maintenance facility. Through redesign, the portion of the City Yard is no longer required for a shared parking facility.  The hybrid alternative also includes a number of design and operational changes to be responsive to community concerns.  These changes include the elimination of track loops with their associated noise, as well as the mitigation of other operational concerns in response to residents, who have toured the Green Line maintenance facility with Expo and City staff. Importantly the hybrid alternative provides a 100 - 110 foot buffer for most of the frontage facing residents on Exposition Boulevard.  This is the alternative presented for consideration in this staff report.

 

Use of the SMC property, a 2.35 acre site at Stewart and Exposition, allows for the creation of a 100 – 110 foot buffer area along Exposition Boulevard across from the residential area opposite the Verizon property. The buffer could be used for possible housing and community uses which would be defined through a separate City-run community process. Expo is working with the City to determine the cost of the hybrid alternative, including a possible land swap for the SMC property that would make the project feasible and secure a buffer of 100 - 110 feet.  Appraisals are being conducted to determine the value of the properties.  Both the City and Expo will continue to work with the community and the College to ensure that concerns are addressed and any impacts are fully mitigated in accordance with CEQA requirements. Further, Expo has pledged to host a workshop and meet with the community to receive additional design input for the maintenance facility building. 

 

Background

In January 2009, Expo issued a DEIR for the Expo Light Rail Phase 2 project.  The DEIR included the proposed maintenance yard just east of Stewart Street between the right of way and Exposition Boulevard on property currently owned by Verizon and used for their telecommunications fleet maintenance yard.  Expo has explained that they are required to have a yard for maintenance within the Phase 2 project and the location within Santa Monica was the only viable site they could identify.  As shown in the aerial photo below, there is a residential neighborhood just south of the proposed site.  The City Council submitted comments on the DEIR expressing concern about locating the proposed maintenance yard adjacent to a residential area and requested Expo to continue looking for a more suitable location elsewhere.

 

The Authority and its environmental/engineering consultant had examined potential locations within reasonable proximity to the alignment and narrowed the possibilities to 20 different locations. Most of the potential sites were eliminated due to inadequate size.  The remaining locations were then analyzed to greater detail based on criteria including location, shape, topography, access, ownership and potential environmental impacts. Six sites were eliminated due to various reasons such as engineering challenges, multiple parcel owners, and project development by others of the site. The last site, the Verizon property located in Santa Monica, was screened down to the preferred location based upon the established criteria.

 

The City also hired both real estate and design professionals to perform an independent review of possible sites.

Proposed Maintenance Facility in the DEIR

 

On July 14, 2009 Council considered a “split” maintenance facility alternative cooperatively developed by the City and Expo.  The “split alternative” site failed to win community support and was opposed by the long-term lessee, Lionstone, who threatened legal proceedings that would potentially delay the project.  Thus, the “spilt alternative” did not mitigate community concerns, generated additional opposition and could have resulted in additional impacts.  In addition, Metro Real Estate staff determined that the full cost of the “split alternative” was prohibitive since it included at least a $30 million lease-hold investment, as well as the value of current site improvements and a potential substantial sub-lessee investment.  Given these factors, Expo informed City staff that this split alternative was not a preferred option that they could recommend.

 

At the August 11 meeting staff redoubled its efforts to review sites, including sites with multiple ownerships. The City’s evaluation process included information about ownership, size of site existing uses, description of existing improvements, zoning and description of surrounding neighborhoods.  The Maxima Group analysis confirmed the lack of feasible sites within the Phase 2 area that met Expo’s relevant criteria, particularly with respect to safety, size and operational considerations.  Council directed further reexamination of the site between 9th and 11th street as well as further exploration of a hybrid alternative that utilized Verizon, SMC and a portion of the City Yards for a joint-use parking structure for the maintenance facility and the yards.

 

Discussion

The costs and potential impacts of acquiring and redeveloping the site bounded by Colorado, Olympic, 9th and 11th Streets into a maintenance facility for the Phase II Expo Line is substantial.  Metro Real Estate has estimated that the total cost would be $152 to $203 million in order to acquire the land and compensate for relocation and goodwill.  This site would potentially displace approximately 25 viable businesses based upon the visual reconnaissance prepared by The Maxima Group LLC.  The displacement of this magnitude may constitute a significant socioeconomic impact and would need to be analyzed and disclosed in the project EIR. The 25 businesses are located on 27 parcels and are held under 14 different owners. Virtually all of the properties have been improved and some of these businesses may be difficult to relocate to a comparable site within the City. The businesses include the LA Car Guy Body Shop, Lexus Service Center, WIC, Golftec, Christopher Grimes Gallery, ArmaGen Technologies, WW Grainger, Beryll Corp, Mahalo, Jerry Bruckheimer Inc., Juice Studios, Secret Weapon, America's Finest Products Corp, Klown Records, Konscious Studios, Hard Tail, Ear to Ear Studios, Howard James Newton Inc, Brownstone Productions, the Framestore, Fibermark, Guido Marcello LTD Imports, AF Performance, the Salvation Army Thrift Store and the Bourget Brothers Building Materials. Access to this site would require lead tracks across the eastbound lane of Colorado, creating potential safety concerns.

 

Several community members continue to raise questions regarding why Bergamot is not considered as an appropriate site for the maintenance facility, particularly given that transit money was used to purchase it.  According to Expo, Bergamot’s irregular shape and the added cost to make it functional, which would require utilizing the adjacent 1800 Stewart Street site, makes the site cost prohibitive. The same issues previously identified with the 1800 Steward Street would also come into play with this site. Furthermore, because the site narrows at the western end, a workable maintenance yard configuration would potentially necessitate acquisition of the private property fronting Michigan, further exacerbating costs. 

 

“Hybrid Alternative” Currently Being Developed

Given the results of the first, second and third property surveys that failed to identify another possible maintenance facility site within the Phase 2 area, the approach has been to explore whether it is possible to develop a maintenance facility while providing a substantial buffer for the residential neighborhood, and also to move some maintenance facility components as far away as possible from the residential neighborhood. Expo has modified its parking solution so it is no longer necessary to plan for a joint-use parking facility on a portion of the City Yards.  Attachment A is a conceptual diagram of a possible layout of the revised hybrid site.

 

·        The storage tracks and traction power station are located behind a 100 - 110 foot linear buffer. In addition, some facilities have been placed on the right-of-way, moving functions away from the residential neighborhood. For example, the car wash is now located on the Expo right-of way rather than in the Verizon yard. The cleaning platform is on the right-of-way further east of the Verizon site.

 

·        Office space and shop areas would be located in a fully enclosed structure in the area currently occupied by SMC parking. The City has requested a buffer area in this location as well but Expo cannot fit one into the site. Walls and building treatments will be discussed with the community in a design workshop.

 

·        The 100 - 110 foot linear buffer facing most of the residential neighborhood could be used for housing and neighborhood serving uses defined through an extensive community process with recommendations for Council consideration since the property would be controlled by the City.

 

·        The bikepath has also been included on the north side of the right-of way.

 

Expo has begun discussion with the community on how to achieve a “good neighbor” facility. Several tours were conducted by Expo and Metro of the Green and Gold Line maintenance facilities. The community identified several concerns when touring these maintenance facilities on August 24, September 29 and September 30, 2009.  Responses to address these issues are included below.  Some of the solutions/mitigations will depend upon the forthcoming environmental analysis specific to the site:

 

1.       Track loop
          a.     Issue: The Green Line has a tight track loop that produces “wheel squeal”.  Additional concern was expressed about any tight turn that causes squeal.

          b.     Response: Both the DEIR and the latest recommended maintenance facility layout do not have the same type of loop as the Green Line. Expo/Metro have agreed to consider additional treatments on any curved tracks.

 

2.       Alarm for vehicle lift
          a.     Issue: The Green Line has an extremely loud alarm for the vehicle lift inside the maintenance facility building.
          b.     Response: Metro is willing to look into reducing the volume, making it directional, or other such measures to the audible alarm in order to accommodate the community.

 

3.       Air conditioning (AC) unit for the traction power substation (TPSS)
          a.     Issue: The Green Line’s AC for its Traction Power Sub Station (TPSS) is loud.
          b.     Response: Expo has stated that the FEIR will assess the potential impacts related to the TPSS, including the AC unit, for both the Expo Line maintenance facility layouts.  Mitigations to address the impacts will be included in the FEIR.  City staff has requested that appropriate measures to muffle the noise be included.  Note that the TPSS is proposed to be located approximately 150 feet north of Exposition Blvd. for both layouts.

 

4.       Blowers for carwash
          a.     Issue: The Green Line does not have blowers associated with the carwash.  However, blowers are proposed for the Expo Phase 2 maintenance yard.
          b.     Possible solution: Expo has stated that the FEIR will assess the potential impacts related to the carwash, including blowers, for both the Expo Line maintenance facility layouts.  If required, mitigations to address the impacts will be included in the FEIR.  Note that the carwash is proposed to be located along the Expo right- of- way north of the Verizon property for both layouts and the blowers will be located within the carwash building.

 

Other issues that have been raised are: elimination of the paint and body shop; incorporating design elements into the maintenance building that will muffle noise; access to the facility restricted to Stewart Street; use of only directional lighting; sufficient landscaping to soften the building facade; and mitigating horn testing.  Expo has initiated outreach with the adjacent residential community and has committed to a series of meetings and a community design charrette to explore ways to mitigate noise, vibration and air quality concerns as well as solicit input regarding the aesthetic interface with the surrounding neighborhood.

 

In an effort to retain a sizable residential buffer, City staff and SMC have discussed the possibility of a three party land exchange among Expo, SMC and the City, which allows for using the SMC parking lot as part of this new hybrid alternative. SMC and its Board of Trustees are willing to consider relocating their Exposition parking facility on the condition that SMC will be made whole with a replacement site acceptable to SMC.  To this end there have been exploratory discussions between City and SMC staffs about whether it is possible to provide SMC with suitable land for replacement parking adjacent to SMC’s Airport Bundy Campus.  Under this approach, Expo would obtain SMC’s current Exposition parking site, with SMC obtaining the land identified as the potential maintenance facility buffer.  SMC and the City would then enter into a swap, with the City obtaining control over the buffer land, and with SMC obtaining control over land owned by the City at the Airport where SMC can relocate its parking facility.  If this all is to happen, public hearings would need to occur and agreements would need to be entered into that provide for the land swap, to be authorized by the SMC Board and Santa Monica City Council, under mutually agreed to terms and conditions. An agreement would also set forth a process to continue to complete all required studies and environmental mitigations including CEQA requirements.

 

Budget/Financial Impact

Following further study of this alternative, cost issues will be refined and brought back for Council consideration.

 

Prepared by:       Kathryn Vernez, Assistant to the City Manager, Community and Government Relations

                                Ellen Gelbard, Assistant Director, Planning and Community Development Department

 

 

Approved:

 

Forwarded to Council:

 

 

 

 

 

 

Kathryn Vernez

Assistant to the City Manager for Community and Government Relations

 

P. Lamont Ewell

City Manager

 

 

Attachment A:    Conceptual Plan:  Hybrid Verizon-SMC-City Yards Alternative for Expo Maintenance Yard Facility