UnGovr Transcript
iHow this transcript is madeUnGovr transcribes the official recording with automated speech-to-text, separates speakers by voice, and matches voices to the seated roster. Names and attributions are AI estimates and may contain errors.Verify any quote yourself: click anywhere in the transcript and the official video jumps to that exact moment, so you can check any quote against the recording.0:00 – 0:0518 turns
Good morning everybody. If I can have everybody take their seats now please, we want to go ahead and get the hearing started. I'd like to convene this regular meeting of the Santa Barbara County Board of Supervisors of March 6th 2012 to order Mr. Allen would you call the roll please?
Ms. Gray? Mr. Levinino? Here! Mr. Carbajal? Here! Ms. Wolfe?
Here.
Ms. Farr?
Here Would you all
Thank you. Now we'll go ahead and take up the minutes of our last meeting of February 21st. If there are no changes or corrections, I'll entertain a motion to approve Motion, do I have a second? Second. All those in favor say aye. Aye. Opposed? Motion carries. Thank you very much. Now we're going to go to our administrative agenda and if there are any items that we need to pull.
Supervisor Wolf, think that you had something?
I did Madam Chair it's the agreement for just it's on the actually A7 just a very slight question
Okay and any other items that we need to pull Mr. Allen?
Madam Chair, members of the board we have a request to speak on A14. Okay
so if we could have a motion to approve the balance of the administrative agenda. So moved. Motion in a second all those in favor say aye. Aye. Opposed? Motion carries. All right we're going to leave that for a moment then we're going to go to public comment. Mr. Allen do we have any speaker slips?
Madam Chair, members of the board we have three requests to speak under the public comment period.
All right why don't we go and hear from those?
Our first request is speakers from Dr. Robert Johns followed by Mr. Rudy Jackson
Good morning Madam Chair. Upcoming on the D agenda, Carbajal is one of the most important items.
Actually Dr. Johns this is public comment which is when you can speak on what's not on today's agenda so if you want to speak on something that's on today's agenda you need to speak at that time
I'm speaking on what's on today's agenda. And
that is- No, then you need to wait until that item comes up to speak to that item.
Well then what is most important to this county today? Is that the tax money should be distributed evenly to all participants in this county and in many ways that isn't done There is a supervisor in the first district who's attempting to move ahead, and many hotelers, many people are being discriminated against. Now at times you may not think that you're being discriminated against but there are people who practice discrimination in this county And on this item, what we're talking about here is one of the most important futuristic aspect that involves this county.
And I'd like to see Montecito, I would love to see Montecito, the fire district, the school district get its fair share And when you hype people and you tell them with future taxes that they're going to benefit, it's a hype. In reality, that's not going to really occur. And I will be talking at another point about the most important aspects of hyping people, making people think that they're Major benefits, in reality they're not going to receive those benefits because it's all a bluff. It's a scam.
It's a scam, a bluff and it will not take place. I have 57 seconds. And this has been going on over and over and over in this county When we have people who come from other areas of this county, they've been ripping this county off constantly. Constantly ripping them off and people in major administrative supervisory positions have been helping these people to rip this county off.
And I think it's going to be incumbent on this board to stop this and do not vote in favor Our next speaker is Mr. Woody Jackson, to be followed by Gary Langerbarger.
0:06 – 0:1111 turns
I want to thank the Board of Supervisors for the privilege to speak before you today and provide public comment. I want to open the question to the Santa Barbara County Board of Supervisors, and as a citizen of this community, I would like answers from you. We have a very long history in Santa Barbara County. For 10,000 years people sought therapeutic remedy from what is now known as Montecito Hot Springs. These springs were available to the Commonwealth And later the public up until shortly after the 1964 Coyote Fire in which time it became a misdemeanor crime to access the medicinal springs.
With the proposed transfer of the Montecito Hot Springs to the U.S. Forest Service, it will become a felony crime to access the springs. Why? Because the springs are illegally capped at the source by Montecito Creek Water Company and only legally entitled to 50% of the surface water rights. By the capping of the springs itself, it creates criminals of the community where there should be no crime.
These springs shared for 10,000 years are diverted and goes to 38 households that have dual water systems provided by Montecito Water District. The spring water is no longer needed by these households however there are some that are satisfied that it be a crime to do what the earth naturally provides to the people since the beginning of time Does the Board deny the history and proven therapeutic benefit of mineral springs which are well-known and scientifically proven in Europe and Japan, and acknowledged across the world?
Does the Board deny the history of the use of the springs? Will the Santa Barbara County Board of Supervisors work with the community and the U.S. Forest Service to fulfill the mandate of multiuse for recreational purposes, and once again Make it not a crime to access these sacred springs. Thank you.
Thank you, Supervisor Carbajal.
Thank you. Could you repeat your first name please? My name is Woody Jackson Hi, Woody. I appreciate you sharing your concerns with us. I would encourage you to address the Montecito Water District and to also share your concerns with the Santa Barbara County Land Trust. I am informed that we have little role in that effort and transaction.
Excuse me sir
So anyways, I really encourage you to take your concerns to those individuals.
I'm actually talking about two sets of water rights. I am not talking about the water rights to Montecito Water District. I am talking about specifically the capping of the springs held by the water rights at Montecito Creek Water Company, a distinctly separate issue and entirely.
Thank you.
Please don't make it a crime sir. Our next
speaker is Gary Langerberger to be followed by Jeffrey Bard
Madam Chair, Board of Supervisors. I'd like to see a show of hands how many people here have actually bathed in the Montecito Hot Springs? No one. Historically speaking 150 years ago the land was owned by the Chumash. There was a guy Wilbur Curtis who he was given six months to live. He was pointing out the ancient one called Camacho And he had spring in his step, he was alive and it's like well how is he doing so well?
He took him to the hot springs. That was his fountain of youth. So it turned out that Wilbur Curtis ended up taking the hot springs from him Be a number of ways, one was a high-powered lawyer. So and then in the early 1900s it was the billionaire club that owned them you could buy in for $5,000. And to this day it's been 150 years that has been taken away from the Chumash. It's been 100 years of therapeutic value that shown back 100 some years ago that was curing rheumatism, arthritis and a number of things. And this community has been deprived over 100 years of public access via no trespassing signs. The Santa Barbara Land Trust has not done their due diligence according to the it's called the excuse me a second the Historic Preservation Act The Federal law dictates that they have to have a meaningful dialogue with the indigenous natives.
They have not done that. There is also a precedent case done in 2010 called QUECHAN Tribe versus BLM consultation, which set the precedence that they need to have meaningful dialogue with the natives. This site is also registered through the California Historic Research Information Center and another reason why they have to have dialogue. We have been trying to consult with the land trust.
They basically ignored the idea behind the hot springs itself We call for a community dialogue with Santa Barbara Land Trust and with the Chumash Indians. I will be contacting them to say that they are in violation, they need to open this dialogue up to the community and we should see the Chumash be actively involved in a dialogue and the community. Thank you very much.
Also one last thing, I represent Friends of Montecito Hot Springs and there is a history and we would like to see this opened for dialogue.
Thank you. Our next speaker is Jeffrey Barr to be followed by Carol Leaf.
0:12 – 0:185 turns
Start? Yes, please. Good morning Madam Chair, members of the board. And I'd like to express gratitude to the board, really first of all for just this beautiful county. I've been having the pleasure of working in Santa Ynez Valley and it's just fabulous up there. The people are awesome and it's always a pleasure to get up there and you know get down there and get my hands dirty and enjoy the scenery and the drive But my primary purpose is to express gratitude to Vandenberg Air Force Base personnel and Vandenberg as a large employer, which is very important to the Lompoc economy.
And even though I have a long history with the peace movement and certainly advocacy for Israel and Tibet and other embattled places on this planet, I really have to take exception with my brethren and sisters in the peace movement And encourage them as a Caps Democrat to remain respectful of our men and women in uniform who are protecting our country. There was a recent flap about the use of religious material and St. Augustine in education on nuclear deterrent theory, and that was just shut down. And that was so silly because this was an excellent program. If you want to see a really cogent integration of faith and reason, look at the history of the chaplaincies in the United States Air Force and the armed services in general. And you will see a real model for chaplaincy that's certainly copied worldwide and is copied in police chaplaincy and sheriff's department chaplaincies around the country.
And this program was shut down. It's terribly sad because St. Augustine is holy in Roman Catholic tradition Eastern Orthodox tradition, and Martin Luther himself was an Augustinian friar. I suppose I should make full disclosure my little brother is an Augustinian friar and soon to be an Augustinian priest, but that might sound like bragging. I am very proud of my little brother. And he turned down a career where he could make six-digit income to be a monk.
I will remind my friends, David Krieger and the others, that peace starts at home and peace starts in the heart. I'm sure they're aware of that, and I think we all need to be reminded from time to time. And I certainly need to be reminded from time to time to remain, you know, when there's conflict and dialogue, we need to remember that the other person isn't our enemy or even our opponent, just friends who perhaps don't quite understand the nature to quote my Aikido instructor.
Another way of putting it is, well, perhaps left best for another time but I will be studying Thich Nhat Hanh's book Anger Wisdom for Culling the Flames and hopefully that will enable me to remain in very healthy discourse with my friends around the county. Thank you very much.
Thank you Mr. Bard. Our next speaker is Carol Leaf followed by Garen Matthews.
Hi, everybody. I'm Carol Leaf. There are a couple of things that I'd like to discuss. Don't you have to be able to add and subtract simple numbers to be able to be a supervisor or a county administrator or city administrator? I would think that you do. I don't understand how, on the front page of the news press on February 27th of last year there was a long article about the county having an $80 million budget deficit. I then read on the front page yesterday that Bob Geis our County Auditor who earns $280,000 a year as an auditor. And he earns another $92,000 dollars a year as the senior financial officer of SBCAG, the arm of Caltrans that all these people up here are directors of. That's Santa Barbara County Association of Governments if you've never heard of it.
Last year, right now to my utter shock we have a $38.5 million renovation going on at our county courthouse while we have an $80 million budget in our county, a deficit they are putting in district attorney's offices the whole thing is gutted What is going on in this place? Are we in the twilight zone? On top of that, last year the SEIU union, all 2,000 members of a local 620 got six percent pay raises.
The firemen The Deputy Sheriff Association members got 9% raises. They will have gotten 9% raises in a year on June 12th of this year. We have the firemen, the local 2046, In the years between 2011 and 2014, they're getting a 14% pay raise. I don't understand how this happens in our county government when property values fall, everybody is getting lower wages, there's high unemployment, the only people who seem to be faring very well in this are the public union employees.
And I can understand why we are in the financial straits that we are. If Bob Geis can state on the front page of a news press yesterday, that we're in good financial shape. Well if Bob Geis thinks that we're in good financial shape and he's our county auditor it's not really a surprise that we're in the condition that we are in. It's crazy. Goodbye. Thank you.
Thank you Ms. Lee.
Our next speaker is Garen Matthews to be followed by Suzanne Bobaz.
0:18 – 0:3015 turns
Good morning. My name is Garvin Matthews, I'm a frequent visitor at St. Paul's Residence. I understand that he is about to lose his home which there are many rooms there and there are a lot of tenants who will lose their place of residence who have been there for years I understand Sant himself is a very, very honest and good man who appears to be I thought he was a counselor at one time because a lot of the tenants come there for a lot of problems or so forth. And he more or less just talks to them and he stands by them and he supplies a lot of the food and toiletries that a lot And I think it would be a disaster if he would lose his home and a lot of the tenants will lose their places to live too, who's been there for awhile. That's all I have to say.
Thank
you. Excuse me. Could I ask the speaker what the location of the property that you're
discussing? It's in 4277 Glenbrook.
In what, in Goleta?
Yes.
Okay all right thank you.
Our next speaker is Susan Bobez to be followed by Sant Palin.
Hi good morning my name's Susan Bobey and I'm also here to advocate and support Sant Palin and his home it's 4799 Glenbrook In Santa Barbara and I live there. I'm a tenant, and I just wanted to express my gratitude to him because when I had a situation where I needed There was a roommate situation that went bad where I was at he came picked me up brought me gave me a great room you know for a fair price And you know, I'm indebted to him for the immediacy with which he answered my need. And I know that there's other people there that have been there for many years and they have high regard and high respect for this man. So I just wanted also say that it would be very sad to see something happen to that home You know, quite a few tenants there.
And for the most part they're great people and it's been a very great experience for me to be able to see the diversity of people that live there and how everyone pulls together because of the leadership of the house. And that's kind of what it's about and you know, it's a great sense of community and I just wanted to express that and my respect for Sam. Thank you.
Our next speaker is Sam Allen, to be followed by our final speaker Kali Zulu in Santa Maria.
Yes, I'm the owner of 4799 Glenbrook. And it's subject to foreclosure and we're trying to do a short sale on it and we just asked to remove the county liens. The liens were put on because there were code violations. And the code violations originated because there were some minor problems that were found. And I said, fine and I fixed them but then the building department wanted a permit to fix the problems and they were charging me $11,000 for a very minor amount of work I didn't have the money, I thought it was unfair and I didn't pay the permit fee.
And then finally the person that hosted a whole series of liens on the property equaling $118,000 left the county and the project was taken over by Mr. Mason, Steve. And you reduced the permit fee from $11,000 to $1,000 and gave me three weeks to fix the problems. Well, the problems were fixed already and the permits were signed off in five or ten minutes. And I'm a electrical engineer.
An undergraduate degree in electrical engineering and two postgraduate degrees. So this technical stuff was just very, very easy for me. I'm a builder, owner-builder as well as electrical engineer. And so we've asked the county to remove these liens, and this came up I think at a meeting here about three weeks ago. And I was told by Mr. Scheinbaum that you weren't going to remove the liens, with an offer of $10,000 to remove the liens.
And I haven't heard anything back and possibly one of the stumbling blocks is that there's been continuous litigation over the liens for the last six years And it'll just continue. We're at the, there was error made by my legal people and we got a judgment. Thank you
Mr. Powell your time is up.
Okay thank you. You just want the liens removed. Thank you.
Our final speaker is Kali Zulu in Santa Maria. Kali?
Good morning. It takes intimacy to surreptitiously kill someone. I have not invited District Attorney Joey Steadley into my bedroom for piss. At this point, Joey Steadley is a grandiose criminal ostensibly saying that I run this county and am extremely successful. I turn to you as I need your assistance and so does the general public. Success, her victim witness program is a selection of public targets for medical research, criminal prosecutions and creating causative actions for civil liability. All to stimulate the local economy and for her to receive federal funds for that same federal program. The constituents of this county and you have ignored that I am not the only PISS target.
Insult for injury whether in court or not and eventual death is a commodity here. It is about money. And that means a continual meeting must be met before George Stubbley to claim her fame that she's got not just me. Victim witness staffers Lisa and Doug Field verbally boast that County residents do not know they are consuming piss-insulted food and beverage products.
That when they engage in the PISS program to create insult, harass, etc., it is their idea. They therefore accept the target's response, injury, i.e., 2012 shooting at a high school, four students dead, Alabama judge dismisses husband's Gabe Watson murder charge, etc. I've indicated to you and county residents the illegality of the DA's conduct. So let's talk about the verbal coaching data that was targeted by victim witness staffers, Lisa and Doug Field.
First names only. Number one, Connie, a PISS patriot that assisted the Sheriff Department in attempts to kill him in 2007-2008 and later was diagnosed with cancer. A victim witness staffer asked Doug if all was being done for her and he answered no, medical research. Two, Janice, a PISS patriot that assisted the Sheriff Department in attempts to kill him in 2007-2008 and later was diagnosed With arthritis and despite to me her swollen wrists, all I could hear was Doug Lisa laughing at her perceived painful condition.
Ms. Yeo, a PISS pager that says the Sheriff Department attempted to kill him in 2007-2008 and recently convicted of felony elder abuse but the felony act had to be her PISS idea. 4. On January 28, 2012, Santa Maria PD Officer Albert Covarberias was approached by two other officers and was shot and killed in the incident but is under investigation. Is it probable or not that he too was targeted for PISS?
Every potential officer is screened for suicidal tendencies. You don't care about yourself, you'll kill someone else. And in this situation when approached by two familiar officers what reason would he shoot? IE was he pissed coach to shoot a victim witness? I can't take anymore by Lisa Fjold. Lisa Doug Fjold number five keep telling me show me your anger throw something hurt somebody hit strike batter in court at the public you and with Public Defender Sarah L Turk Everyone in this city county, including you the Board of Supervisors are targeted by DA Joey Steadley and his presidential administration for insults and injury. I need your protection but so does everybody to end what you've allowed.
Thank You
Mr. Allen, that was our last speaker. All right before we leave public comment I'd like to go ahead and honor our volunteer for the week and we do this every week that we're in session. And today I'd like to honor the volunteer efforts of Nancy Emerson. When Nancy retired from the Santa Barbara County Office of Education after dedicating her working career to human services she didn't stop working. Since her retirement she has worked as a volunteer supporting Human Services and the environment And some of her, just a few of her accomplishments as a volunteer over the last ten years. She has or is currently serving as a docent at the UCSB Sedgwick Reserve where she teams with other docents to make certain that children have an exceptional educational outdoor experience.
She's chair of the Women's Environmental Watch Committee Save Our Stars which is dedicated to obtaining dark sky regent status and has been working with local government including the county To legislate protection of the nighttime sky and educating the community on the benefits of a dark nighttime sky. She's also a board member of Bethania Lutheran Church, and in this role she's helped the church sponsor the college education of a young woman from Tanzania. And also a board member of their preschool and after school program, which he says is one of her proudest accomplishments because of its impact on so many families. This program is the largest in the San Inez Valley, provides tuition assistance in year-round education and child care for 117 children.
Nancy's quick to recognize the work of her volunteer colleagues as a source of her success and she certainly represents the best in volunteers, a gift of service from the heart. And on a personal note I have to say that I have the honor of knowing Nancy personally and she is all this and more so thank you Nancy For all that you've done for Santa Barbara County, both as an employee and since as a volunteer.
And now we'll go to our administrative agenda but before we present the resolutions I just want to do a little bit of agenda management. We will do our administrative agenda. I intend that we would get through the departmental items 1, 2 & 3 That the cabanas would not, both cabana items would not be heard until after lunch. If there is time before lunch and we get through item three then we will jump to item six and possibly item seven. So let's go ahead now and come back to administrative agenda and present our first resolution.
And I'm going to go ahead and turn to Supervisor Carbajal if you want to go ahead and introduce this as a resolution honoring Women's History Month.
0:30 – 0:359 turns
Thank you, Madam Chair. If we could have Mary Vossler come forward, Martha Height and Claire Van Blaricum come forward. Three... Oh one more. Hi Carol, come on up! Although we only have three resolutions so we might have to get you another
one.
Well, let me just start by saying that it's an honor for me as a male especially co-sponsoring this resolution with Supervisor Farr celebrating the month of March is Women's History Month. And this year's theme it's women's education, women's empowerment and I think that Our country is great because of all its citizens and all its residents. Everybody contributes in some way, and some groups have had it a little bit more challenging over the years until our country got with it with issues of justice, issues of equality, and today in promoting this resolution I think we pay tribute To our country, our country's enlightenment.
All the women who struggled to make sure that our country lived up to its constitution, to the equality of all its citizens in particular women and the struggles that women have gone through to gain access and equal rights in this country. And so for me it is especially an honor married to a woman and having a daughter I am especially grateful to present this resolution. Mr. Allen, if you could actually, Madam Chair, I don't know if you want to say anything else before we read it?
Well just to highlight also that the women are here represent chapters of the American Association of University Women throughout Santa Barbara County and we thought that was particularly appropriate recipients for this year's resolution because of the emphasis on education for women so Thank you for what you do throughout all the year to empower women and to have us remember the important history of women and the education of women.
Mr. Allen?
Madam Chair, members of the board this resolution is item A1 on the agenda proclaiming March as Women History Month in Santa Barbara County whereas women of every race class and ethnicity have made a significant contribution to the growth and prosperity of our nation in countless recorded and unrecorded ways And whereas, the first public education celebration of Women's History Month took place in 1978 and was soon recognized nationally through bipartisan congressional legislation culminating with the designation of March as Women's History Month.
And whereas, the theme for this year's celebration, women's education, women's empowerment is an opportunity for communities across the country to reflect on the struggle for women to gain access to equal educational opportunities and to honor the many academic achievements made by women. And whereas, in 1633 Harvard University was the first chartered college in America but it wasn't until 1833 that Oberlin became the first college to admit women. Even with admission to higher education facilities women still had to fight for access to an equal education.
In 1972 Title IX of the Education Codes of the Higher Education Act Amendments was passed and finally enacted in 1977 which prohibits gender discrimination by federally funded institutions. Now therefore be it hereby ordered and resolved that this Board of Supervisors declares the month of March as Women's History Month and commends the local branches of the American Association of University Women for embodying the women education, women empowerment theme in Santa Barbara County. Passed and adopted today.
One of you would like to come forward? Come to the microphone if you would.
For the branch of Lombok Vandenberg Branch, I'd like to thank the supervisors for their recognition and we will continue work with the education of women especially this year when the vote is so important and I thank you.
Thank you Hi, I'm Claire Van Blerik and this is Carol Hershey. We are the co-presidents of the Santa Barbara Goleta Valley branch of AAUW and we would like to add our thanks to that of Mary in the Lombok Vandenberg branch for your recognition of our work towards women's education and equity. The mission of AAU is to promote equity for women through education, advocacy, philanthropy and research and we very much appreciate your honoring us for this.
Thank you.
Martha Heights, Santa Maria and I am too very honored to be here along with the presidents of the other two branches. We thank you and of course we're very very proud for what we stand through the years what we have done to break barriers for women and for girls and I thank you. Thank you.
0:35 – 0:427 turns
All right, and now we'll turn to Supervisor Wolf who's going to present our second resolution of the day.
Thank you Madam Chair it's my pleasure to present this resolution that proclaims March 7th 2012 as Arbor Day in Santa Barbara County And I'd like to call up two of our county employees, Uti Loza and Jody Lipner for...to accept this award. And I just want to talk a little bit about both of them. Uti as many of us see throughout the county has done outstanding effort, has showed outstanding efforts in managing our urban forests and for those of you who don't know That consists of approximately 15,000 street trees throughout the county. So Udi you've done a terrific job and we appreciate your service to our constituents, to the county and making our community beautiful.
And to Jody for your outstanding efforts in replanting and revegetation of the Foothill Landfill. And for anyone who hasn't seen that, it might sound kind of silly almost to revegetate a landfill. But what you have done with volunteers and other folks in the community, you've made something quite beautiful and not only just beautiful but actually environmentally important to our entire ecosystem. So I thank you for your work. So it's my pleasure to present this resolution to our county for all the work that you do, and also to some of the private organizations in our community who also are excited about this Arbor Day event. Thank you. Mr. Allen?
Madam chair members of the board, this is item A2. It's a resolution of recognition as March 7th 2012 is Arbor Day whereas Santa Barbara County has a long and prosperous history based upon agriculture and the growing of both annual and perennial plants for products as well as landscape benefits And whereas the residents of Santa Barbara County treasure the valuable landscape trees on both public and private lands, and consider them to be essential living features that contribute to their quality-of-life experience.
And whereas the natural beauty of our urban forest and county landscapes as well as the enhanced beauty of the planted and developed landscape environments together add to a multiple value that draws visitors and new residents to one of California's most beautiful counties. And whereas, four of the largest incorporated cities in Santa Barbara County have for many years been proud and active participants in the Tree City USA program sponsored by the National Arbor Day Foundation.
And whereas as governing stewards responsible for the planting and care of all trees growing on county public lands and for promoting encouraging conservation of valuable trees growing on private lands. Now therefore be it hereby ordered and resolved that the Board of Supervisors of the County of Santa Barbara together with the Public Works and Parks Departments proclaim Wednesday, March 7th 2012 as Arbor Day throughout the county and encourage all citizens to recognize the multitude of benefits our community derives from the conscious acts of planting and properly maintaining landscape trees. And request that all institutions of primary and secondary education throughout the county seek ways to observe this important day, and to teach students the value of trees in our lives.
Passing adopted by the board today.
Madam Chair, members of the board. On behalf of Public Works I just want to thank you for the continued and ongoing support in the preservation of our urban forest throughout all five districts. It's a lot of hard work and commitment from the staff but we're very excited to keep going with our preservation of our trees so I just wanted to thank you. I'd also like to acknowledge last year's Harbor Day observation that we had up in Supervisor Gray went really well. We had great turnout Next year we're going to have it in the first district, and then this Thursday at the 8th at 1 o'clock at Foothill School. We'll have this year's observation so anybody who is more than welcome to come. It's a great turnout. We have three third grade classes attending.
So thank you very much for the continued support. Thank you.
Thank you.
Members of the board, thank you also. I'm very pleased to represent the Resource Recovery and Waste Management Division on this resolution. Through our voluntary efforts and through our mitigation programs, we've planted over 8000 native trees at properties throughout the county and thousands of native shrubs and that includes the closed foothill landfill which again the 2nd District is very involved with Thank you and thank you for all of your work with the community. As some of us know, street trees are very important to people and they become very passionate
about them issue one way or the other, so thank you for all your good work in the community and to see the difference in a neighborhood or on a commercial area before and after the planting of street trees is phenomenal. So thank you again for all that you do All right, and then our last resolution we're going to present today is a resolution of commendation celebrating the 30th anniversary of the Food Bank of Santa Barbara County. And I see Eric Tolson here to receive.
It's my honor to get to present this. I think that when I think about the food bank, I think most people still think of the food bank as just places where there's big warehouses of food that are available that needy people can come and access. But of course, the food bank is doing so much more than that as far as outreach into the community, partnerships with so many other organizations into programs for children to teach them good health and nutrition And I actually had the honor of going to Isla Vista School for one of your healthy pantry programs where not only was there a food distribution available, but there was a cooking demonstration. So that the items that were available then to the community and to the school children We're actually prepared in a way that they could taste and eat, and they could realize what they could do just with these particular ingredients that were there.
So thank you for all of that. It's just an amazing organization. And every time I turn around, you're doing one more new fabulous thing to have us all eat better, stay healthy, and to teach the next generation the importance of food and nutrition. So we're going to have Mr. Allen read the resolution. I'm going to come down and present it to you.
0:42 – 0:4713 turns
Madam Chair, members of the board this resolution celebrates the 30th anniversary of the Food Bank of Santa Barbara County. Whereas the Food Bank of Santa Barbara County was incorporated in 1982 to safely source store and distribute food both through its own direct programs and through what has grown to be a network of 290 member non-profit agencies and programs whereas the mission of the Food Bank of Santa Barbara County is to end hunger and transform the health of our county through good nutrition And whereas in 2011 the Food Bank of Santa Barbara County distributed 11 million pounds of food countywide to which half was fresh produce serving 102,000 children families and seniors.
award, Hunger's Hope Award for its Kids Farmers Market as the best child hunger program in the country. And whereas the Food Bank of Santa Barbara County has a clear plan and innovative range of community-led programs that will eradicate hunger for our next generation through education teaching people to fish and empowerment. Now therefore it be hereby ordered and resolved that the Board of Supervisors commends the Food Bank of Santa Barbara County on its 30th anniversary pass and adopted today
Madam Chairman, Board of Supervisors. Thank you so much for this honor to the Food Bank and all of the agencies that work with the Food Bank and all the volunteers that work with us. 30 years ago we distributed 82,000 pounds of food around the county and we figured that we could just be a Band-Aid on a problem that could never be solved 30 years later, we distributed 11 million pounds of food last year. Half of it was produce to make a total of nearly 200 million pounds distributed since we started. We also know now that we can actually end hunger in our county. We can transform the health of the community through good nutrition. We can do it with this generation of children that we're working with. So we're very excited. We really appreciate the support from the Board of Supervisors and we look forward to working with everyone in the community over the next 30 years.
Thank you.
Thank you.
Supervisor
Lavagnino?
Thank you, Madam Chair. First off I'm glad you're here today Eric but I am disappointed that you don't have your little baby with you. But anyway... She's
testifying at
Congress. I had the opportunity last night to participate in one of the programs that you have and the one in Santa Maria we were at the Boys & Girls Club last night and we were with a group called Pink and Dudes. And it's young men and women, probably 6th, 7th, and 8th graders that are learning to cook and how to make their own healthy meals. And we tried. Well, I have to say, I'm going to tell a little story out of school here. Supervisor Gray left right before we tasted the items that we made. So I was able to participate fully in the tasting of the beet pancakes Beat pancakes. They were called sneaky pancakes because they sneak something in there to make it good for you, but the kids what I was really impressed with the kids read actually the entire label of what was on all the ingredients.
We're realizing how many vitamins were in there six grams of protein which I didn't know what that meant. They all knew that that meant it was a good meal but it made the pancakes pink and And that excited him, and then we ate it. I was pleasantly surprised. It wasn't as what I thought it would be. So I just want to thank you. I think it's teaching kids about proper nutrition is one of the way we're going to corral in the health care costs in the future, so just really appreciate all you do and also to all our farmers up in the North County. I know they're huge supporters.
They provide a lot of the lettuce and a lot of strawberries, a lot of produce that you receive up there, so just thank you very much for what you're doing in North County.
Thank you Steve. And we have a kale smoothie for you outside.
Actually, Supervisor Gray.
I have to add on to that because they had a chef. What cafe? Where was he from? The one up in the mall. And a chef that was there helping the young people cook and it was excellent. It was very much of a learning experience. Thank you again for being here and for all the wonderful work you do.
Okay, we are going to go now to the two items that we pulled off the administrative agenda. I think the first one was A7 from Supervisor Wolff who wanted to make some comments.
Madam Chair, item A7 is from Community Services. The request is that the board consider recommendations regarding a Pyramid Enterprises DBA Rocky Mountain Recreation Company concessionary agreement at the Kachuma Lake recreation area.
0:47 – 0:538 turns
Supervisor Wolff? Thank you madam chair. I pulled this item not because I have any issues In general, with the contract or the concessionaire. But I did want to bring to our board's attention on page 10 and 11 of the agreement there is a provision for insurance. And I bring this to your attention because I was concerned that the amount of liability insurance is limited to $1 million per occurrence and 2 million in the aggregate.
And I was concerned that that amount was too low. I contacted County Council and what I learned from County Council is that this is the standard contract terms that we have in our contracts. So what, and this is according to County Council after Mr. Marshall speaking to our Risk Management Department, this has been A contract term since at least 2002. So what I would like to suggest is that we ask County Council to work with risk management in the CEO's office to look at this provision for future contracts, to see if it warrants an increase in the liability. So that's the only reason I bring this up so.
Is that OK Mr Marshall? Do we need?
That's fine. We will work with the CEO and risk management and report back to your board.
Very good. All right, I will move this item. Okay. All right motion in a second all those in favor say aye. Aye. Opposed? Motion carries. All right and then somebody want to speak to A14
Yes, Madam Chair. We have one request to speak on A14 from David T. Jennings and item A14 is from Public Works the requests that the board consider recommendations regarding a cooperative agreement in construction of cycle 1 measure A safe routes to school and bicycle and pedestrian projects.
Good morning Mr. Jennings.
Good morning madam chair members of the board My name is David Jennings. I'm part of the Board of Cars Are Basic, and we are opposed to expansion of bulb outs at Hope and Pueblo. In addition, I bring some other things. I am a local businessman and have been for many, many years. Every day I walk to work on those days such as today when I need to drive, I drive an all-electric gym car.
And in addition, about two years ago I suffered an acute stroke. So I have a perspective of someone who has limited mobility and literally had to relearn to walk. And as I walked to recover, I gained a lot of additional insight into the streaks. And the bull bells don't necessarily help someone that was in my position at that time. Consistent sidewalk surfaces, consistent curb heights, good visibility. All those things help and when you're in that recovering mode often it's more valuable to stand back from the traffic and not be perched out on an extension of the sidewalk that is partially into the traffic lane I'd rather stand back and maybe have some support from a telephone post or something alongside the road, and not expose myself to traffic when you can't move very quickly.
So this is all good background, I think for y'all. Thank you. Thank you very much.
Madam Chair? Yes. Thank you sir for your comments. And that would be something for Public Works to respond to. The items before us are issuing the Allocations for Cycle 1, Measure A Safe Routes to School. I'm particularly pleased with two of the items that are listed here. One responds specifically to the Obern Trail Lighting Retrofit Project that's been an ongoing need in the area and through Measure A and the county funds this will be This is now a priority and will be taken care of. And the other one is the San Marcos Road Cathedral Oaks Road sidewalk improvements. This is a safe routes to school program, it's also an area in which many constituents have complained.
I just want to say there are no bulb outs in this project. It's basically to make an area that is Very unsafe and difficult for children to get to school, particularly Foothill School and some of the folks who walk along this area on San Marcos Road safer. And then of course there is the other item that's in In another district, Lakeview Road crosswalk improvements. But anyway I do want to thank Public Works for moving these three projects forward and perhaps the gentleman who was just here can talk to you about the other project that I know was approved through the Measure A allocation process.
Thank you and I'll move
this item. Thank You Supervisor Wolf we have a motion we have a second? Second, all those in favor say aye. Aye. Opposed? Motion carries. Thank you very much with that we have completed our administrative agenda and we will I thought we approved the rest of the administrative agenda earlier So we'll go ahead and we'll move right to our departmental agenda item number one from the Auditor-Controller County Executive Office Mr. Allen would you read that into the record please
0:53 – 1:098 turns
Madam Chair, members of the board. Item number one from the auditor controller and the county executive office is a hearing to receive and file per the provisions of government code section 29126.2. The fiscal year 2011-2012 financial status report as of December 31, 2011 showing the status of appropriations in financing for all county budgets adopted by the Board of Supervisors.
Thank you, Mr. Allen. Good morning, Mr. Alvarez and Mr. Polati. I understand you're going to be making the presentation? Mr. Alvarez, are you going to start off?
Yes, I will. And we have today with us Julie Hagen with the Auditor-Controller's Office.
Okay, Julie then. Thank you for being
here. So good morning Chairman Farr and members of the Board. Today we're looking at the second quarter report. This is a combined presentation as mentioned. The purpose of this is to communicate significant financial variances to your board and identify those that are timing differences, so really to be worked out by the end of the year versus those things that would be actual differences that would require some potential additional funding and or use of departmental reserves.
And when they're not a timing difference we'll bring that to your attention. So the overview is that in your board letter we have identified attachment A and attachment B. Attachment A would be the general funds, and attachment B would be the special revenue funds. Positively 4.2 million, or they're projected to end the year positive 4. 2 million and that would be after setting aside 8.1 million from the concession savings that were achieved so if you recall we have instituted or many departments have given or negotiated concession savings such that we're going to be experiencing savings in this current 11-12 year and the 12-13 year General revenues are showing modest growth. Some of that is one time, and some of it would be looking like things are trending up.
We also are seeing Prop 172 increases impacting some of the departments. And what we're seeing is that most of the special revenue funds are on target. We are seeing in the health and public assistance funds, and in particular mental health, that there is some negative trending that's occurring that we're going to be watching closely. The next chart, this is our once again we're using this visual signal chart and what you can see is of the 68 funds that were presenting here 60 of them are on target or positive.
One is red which is mental health and will be talking about that a little bit later And seven are yellow with the indicator pointing down, so a total of eight of the 68 are in negative. And of those seven yellows that have the indicator pointing down, two are in the general fund. One is Parks and Parks has most recently reported that they think they'll be able to recover that loss they're showing and end the year on target.
Three are in the special revenue funds, and those are going to be discussed later. And with the special revenue funds they typically have most of the funds have some money set aside in reserve to offset any operating losses that occur. And then two are in capital funds and those are more timing issues. So overall as we look at the broad picture I would say overall very positive.
Highlights for all funds, so budgets are generally on target as we discussed. State revenue payments delays, we are dealing with that. We have that this year, we've had it most every year particularly in social services, mental health and parks some of the reimbursement delays can be rather slow. Departmental concessions and vacancies have created salary savings and benefit savings, so that's positive.
And then once again we'll be looking when we look at the schedule B items or attachment B items will take a look at the health and public assistance departments. And so before we leave this, when we talk about attachment A of general funds. So there we were saying we had a positive overall results of $4.2 million. When you look at attachment B for the special revenue funds it's showing us a negative $13.1 million but most of that would be timing differences and those are about 6.8 million and also Changes that will occur by the end of the year that would improve those operations of about $3.8 million, so the offset there of the 13.1 is about 10.6 of positive changes or timing differences by the end of the year. So we're looking at maybe a two and a half to three million dollars of an actual issue and most of that will be in the mental health department and we'll be coming to that in just a minute.
So we've got those performances, and again the general fund is showing a $4.2 million positive before the set-aside for concessions. So if we look at specifically the general fund or the general funds, What we see is that of the general funds, 83% of them are on target or having positive results. There are a few that will report on and in the report what we do with general funds is those that have variances of greater than $300,000 will report on those and the criteria for the special revenue funds is $500,000. So as we're looking at the general funds, we see that general revenues shows us a department and that is tracking positive by 1.6 million 930,000 of that is from BLF payments that were suspended in prior years and 500,000 is in property tax penalties that have come in.
And those are beyond expectation. And while not included within this report, subsequently what we're seeing as we prepare our budget And sales taxes are, when we completed the estimated actuals those are trending a little better than we had reported at the time this report was prepared. So we might see a modest increase in those two as well of about $800,000.
The reportable other departments, the district attorney is showing a positive variance of $340,000 primarily in Prop 172. Props 172 revenues are the statewide half-cent allocation of sales tax and so a lot of the safety departments share in those revenues and all of those are seeing higher than anticipated results there. The Sheriff is showing a positive $1.2 million, $820,000 of that is related to Prop 172 with about $490,000 related to realignment revenues or AB 109 revenues.
Parks is currently showing about a $350,000 negative and this was due to a couple different issues but the most recent report from them is that they believe they can make that up by the end of the year. The clerk recorder assessor is currently showing a negative of about $300,000 and this was the combination of a revenue being under projections by about almost a million dollars.
350,000 you may recall was the vote-by-mail where we received SB 90 funding and that has not come through. And then the majority of the balance of the shortfall in revenues is related to fees. And to counter that, I think the department's done a good job of controlling costs and holding vacancies. And they've got about $700,000 of cost reductions that are going to be offsetting some of those revenue losses. And the combination of the two is netting about $300,000 of negative performance. And again, the parks figure and the clerk recorder assessor negative figures would be netted in the projection of a positive 4.2 for all the general funds.
So one highlight on, before I leave the clerk recorder assessor and we'll talk about it a little bit in just a minute. When we presented the fiscal outlook report earlier this, actually was in 2011, we look at what our gap analysis was and the couple big things that we saw coming down the road at us that could impact us in future years in 12-13 and in particular 13-14 Is that one of them was that we had been using within a lot of the department's one-time funding. And the clerk recorder is one of those departments that had a lot of use of one time funding that will expire over, you know, the coming year probably 1213 they'll be out of these reserve funds so that will be a red flag that will keep an eye on and work with the department to see how we're going to balance those.
We had also talked about concession savings that we've set aside $8.1 million in the 11-12 year. We also are going to be using some of the savings in 12-13, again the concessions go for the two years. We're gonna be setting some of those aside next year for these departments that have been using one time reserves that won't be available any longer so that'll be used for next year but we are setting aside this 8.1 million Because we do see that in 13-14 as the concessions end and as actuarial assumptions in the retirement plan change negatively against us, we are foreseeing that we're going to have a significant negative impact from those activities. So we're getting an early look now at some of these things that are coming our way and we're starting to try to set aside some funds for those.
So while we are seeing some positive upswing on the TOT and sales tax revenues, we did want to present that we see these things coming down the road.
Excuse me just a moment Mr. Alvarez, Supervisor Carbajal?
Thank you Madam Chair. Mr. Alvarez is it correct to make the observation that we're using the concessions that we realized to provide a smoothing as we back out the one-time money? So that we could get down to a balanced budget, and yet dealing with future challenges. And yet address the structural one-time monies that we've been slowly ratcheting down over the years.
That's correct. And that is our intent, is that we're setting aside these funds in the 11-12 years for 13-14 specifically. The 12-13 savings will be used to help offset some of the use of one times. We have shared some of that, so we are bringing that down and then as we see growth, the intent is that we can help fill some of those structural holes that we have.
And then also you're going to be hearing in the future about the fire department and we were talking about a North County Jail. So there are several needs out there, so it's gonna be one of the things We have to be very strategic in how we start planning for these future activities. But that's exactly what we are trying to do, Supervisor Carbajal. Okay and that concludes my comments on the general fund departments.
As we go into the special revenue funds, this was on attachment B. And once again we were showing a negative $13.1 million for these funds as a whole. I think it's important to note that the majority of the funds are on target. The large negative amounts are summarized as follows. The capital outlay fund is showing a negative of 1.3 million. This is primarily going to be timing differences and delay of activities within the fund. So not thought to be a problem to the general fund dollars on health care, so in public health.
They're showing a negative $1.7 million and this is tied to lower charges for services primarily, and what the department is telling us is that they are going through the process of installing electronic medical records for their clinics, and in that process it has reduced their productivity and is having a negative impact this year on their revenues. In addition, they're starting to see that I believe in the North County, they're also starting to see certain competition for Medi-Cal clients and so that's also having an impact on the revenue.
So the combination of the two is about $1.5 million of that is related to these two revenue issues, the electronic medical records issue is thought to be will correct over time, the other one we'll have to wait and see how that develops. The next area is mental health. In mental health, both the Mental Health Fund 44 and the MHSA Fund 48 are showing a negative of 14.6 million.
Of that 6.2 million are timing differences so those will wash out by the end of the year There's an additional $2 million of that, that relates to Mental Health Services Act funds. And what happened in this area is we did receive a large amount of money that the state typically would hold and we would call down as needed for these programs. And so what the state did last year with all counties is they depleted their books of all those funds and sent them down to the counties. And then we have to use those funds within a certain reversion period or else those funds will go back. So part of this is also expanding a program on a one-time basis It was about $600,000 to prevent funds from otherwise reverting.
And then the balance of 6.4 are actual revenue estimate changes, higher inpatient costs and salary and benefit costs being higher than projected. Of this 6. 4 million the department is working on Some reconfigurations and improvements that we believe may improve by about $3 million prior to the end of the year. So, we might have somewhere in the three-to-three-and-a-half million dollar range problem. For instance, one item would be part of this 6.4 million is that the department had not planned on closing for a furlough. We did close on a furlough, could not bill during that period.
The department does have concession savings that can be used to offset that type of activity. So that will be one of the offset things that they're looking at doing. The department is also going to be coming back on March 20th to talk more specifically about some of the challenges and issues that they're having to this board. The next item we had was social services.
And they are currently, at the time this was prepared, they were showing a $755,000 negative variance. But we did indicate in the report that they were working on, if you recall with social services, they get their allocations I think around October, November. Start working those through and then they basically do a rebudget, if you will. And come up with a figure that was revised subsequent to this so I don't believe that they will be ending the year with a negative. And should they do so, they do have reserves that could be used to offset that. And if I fail to say that, the same reserve situation exists for public health that they do have the funds to deal with this if they do end the year in a negative position.
The other notable variances were workers' compensation was a favorable variance of about $740,000 and that was due to premium savings. We spoke about this previously. That fund is in a negative position that they have a shortfall projected and this is based on actuarial reports of about 4.6 million so these savings would be used ultimately to offset some of that underfunding within this workers' comp fund Excuse me, Supervisor Wood?
1:09 – 1:2021 turns
Thank you Madam Chair. Mr. Alvarez I was going to wait until your entire presentation this has been very interesting but I do want to stop on this one point because I read in the report the actuarial assumption of being over four million dollars and when we did discuss this during the fiscal outlook report last year I brought this up because in that report It was mentioned that the total countywide amount would be $2.9 million, and at that time I asked how did that amount come about? And I understood it was because of the actuarial study. So now when I see $4.3 million, I wonder what number are we actually dealing with? The numbers don't match.
I'm asking the question, why are we getting different numbers?
Chair Farr, Supervisor Wolff. I don't have those figures in front of me but as I recall the 2.9 million was the change in the rates for that specific year not the overall ultimate liability that is projected for the entire fund and so the ultimate liability is over a vast period of time saying ultimately you're going to need this much money to pay out all your liabilities as of this point in time. The other was from the initial estimation of what the rates were in the prior year to what they were. I believe they went up $2.9 million, if I'm not mistaken. But if you would allow me to get back to you on that issue and verify my figures.
Okay. I would appreciate that. Thank you. And let me just go back. If you are correct that it's the $2.9 million that's based on the cost, it looks like we're getting money back from that. We're getting a premium savings?
We are getting a premium savings to this one year and that will help offset the ultimate estimated liability of $4.6 million.
Okay. And this conversation just brings up something I'm going to address to CEO Waller and that when we had this fiscal outlook report it was back in November, I believe of last year. And I think it's important that we update this fiscal outlook report or have some a collation of the numbers before we get moving into the budget, because we're already in March and I think it's going to be important that we update these numbers so we know what we're talking about.
So CEO Waller is it possible that we can get an update on this?
Chair's supervisor certainly can. As a matter of fact, that is what we are currently doing as putting together our budget information so I think we could do that fairly easily for your board.
You mentioned that we're going to be hearing from mental health. I know we're going to be hearing something from fire, but again these are large issues that we have to deal with and somehow I'm just feeling very that the time is getting away from us when we're going to have to be making some pretty big decisions. So in general terms, I think the sooner the better that we get this information. I also want to say that there's rumors out there about privatizing certain areas of county services and if that's being looked at for our budget, I think that information needs to come back to us as well.
Thank you Madam Chair.
Thank you Supervisor Wolf.
Yes, I believe that mental health is scheduled to come back on March 20th and we will be presenting updates in the near future and just to mention in our budget process, we're going to be presenting an additional year in the budget that will give an earlier look to that financial outlook that we typically give in the fall. It'll give a little earlier look to that as we get a year early or we will be trying to identify those gaps that are coming forward so we are trying to get that to you as soon as we can.
The next fund was the General Liability Fund, and this is showing a favorable variance as well. And the variance here was about $890,000 favorable. This fund is in a positive position overall thought to be 1.3 based on the last actuarial report. So this will allow for reductions in the rates that we hadn't anticipated Put these savings in and pass them along to the departments that participate in the general liability fund.
And then the last thing we put on here, the redevelopment agencies really not a reportable issue but just once again bring it to your board that this is ever changing where we don't know the numbers yet they will be coming forward and we'll just keep an eye on those as we proceed. So in summary The actual activity generally tracking to budget, the signal chart is generally positive and most departments again tracking two targets.
Revenue appears to be increasing slightly. And again, the largest portion of our revenue or discretionary revenue is the property taxes and we're not seeing any significant movement there yet but we are seeing some in the sales tax and the TOT tax. Most departments are continuing to generate salary benefit savings through the vacancies and concessions that we discussed And then mental health department issues again will be brought back with some potential solutions on March 20th.
And that ends our presentation.
Questions from the board? Supervisor Carbajal?
Thank you, Mr. Alvarez I just wanted to congratulate you on putting forth a very succinct and clear presentation it's very easy to follow I'm sure the public really appreciates it And it's just good to get information that's very transparent. So I want to thank you for that. You know, the three items that I think are the biggest challenges that we need to address and will be addressing.
Obviously, the jail is going to come before us in the near future. The fire issue is slated to come to us in the very near future. The mental health challenges are aimed to come to our board in the very near future as well. So I really appreciate those items coming to us sooner rather than later because we got to start developing our long term strategy of how we're going to grapple with those challenges. So I appreciate you giving us a heads up about that and the other thing I wanted to say is, Looking back at the concessions that we were able to achieve with our employee groups, certainly the picture seems to be positive based on this quarterly report and is projected to continue for the most part with the exceptions that you pointed out to us.
But I can't help think where we would be at if we did not achieve those concessions working with our labor groups. And it's so significant that it's going to really help us as we look to our challenges for next year. And I just wanted to say that for the viewing public, to understand that those millions of dollars that our employees gave back have really enabled us to realize the positive picture that you presented today. So thank you.
Thank you. Supervisor Wolf and then Supervisor Lavagnino? Thank you, Madam
Chair. So I was just so this is taking us through the quarter of December 31st. And so when do you so are the next quarter will end March March 31st? So when will we get our next update? Will it be? I'm hoping that I'm hoping that it'll be soon thereafter
Chair Farr and Supervisor Wolf, our intent would be to have it about six weeks after the end of the quarter.
Okay so given that we you know this is a little bit late and I understand why that there was you know a lot of issues to get us to this point so you had the correct numbers but since we're in March do you have any estimate of where we are right now? Are we still you know, moving in a positive direction or have you seen any changes? And this of course would just be an informal analysis. I'm just curious since we're pretty much into the third quarter.
Chair Farr, Supervisor Wolf. To this point the mental health numbers are very current and so what's reported here is what we currently understand and that's part of the reason of the delay. We originally were trying to come to the board on February 14th and we needed to get more information together for that purpose and that was part of the delay. In terms of other departments, I'm going by what I hear. We typically do a detailed review with the departments every quarter so we would usually end the quarter and have the review.
Having said that, Parks has indicated that they believe they can make up the shortfall that was shown in this report. That's a current event. In our estimated actual for the general revenues, we did see as I mentioned a little pickup in TOT and sales tax of about $800,000 Beyond that I can't, and I'll look to both of you if there's anything else. I can't recall anything of significance that I've become aware of but again we are really what we do see or what we have heard from the departments a lot of the support departments is that we've had the concessions which are most helpful for this year and next year Prior to that, we've had a number of reductions in staff size. We are hearing that departments are challenged to respond to things in a timely manner based on reductions in staff sizes.
So that's of concern as we look forward if we would need to have another reduction I think it would be certainly more challenging the more times you do it becomes more challenging. So these are some of the things that we're hearing.
Okay. I appreciate that and again those types of issues, that's why it's even more important that we have these budget discussions as soon as we can so we know what potential impact we're going to be seeing on the departments. Thank you Mr. Alvarez.
Thank You Supervisor Wolf. Supervisor Levin, you know.
Thank you Madam Chair first off Mr. Alvarez I love your tie. What I wanted to say this morning was that I'm really excited and pleased to hear that we are now looking forward and looking at gap analysis, and taking money that we hadn't thought about. We're starting to look out to 2013-2014 so I'm very excited to hear that. Because we do have some significant challenges on the horizon, but I feel very confident after hearing your presentation today. And I want to thank your staff and yourself for the obvious breadth and depth of your knowledge on the budget in just a short amount of time. So I guess I just wanted to say thank you, and obviously when you bring good news it's always a little bit better.
I'm glad everything's trending up. I'm looking forward to hearing what mental health unfortunately has got to report on the 20th. I know we've got some significant issues there. Hopefully, we'll get our arms around it but just wanted to say congratulations to your staff.
Thank you.
Thank you. Supervisor Gray?
1:21 – 1:2923 turns
Here it comes! Mr. Alvarez, thank you. Really very clear question about our major source of revenue is property tax and then sales tax and TOT are the other two things. From the north end of the county—and I don't know if this matters or not but I'm just trying to get it clear—it appears that the decrease in the value of housing has been greater in the North County So I would assume that the property tax revival or stabilization is a bit different in north and south, and that the sales and TOT is more apt to come around sooner in the north than our property tax. Am I close? Can you help me out on this?
Chair, Chair Farr, Supervisor Gray. I believe that to be the case. I'm still learning about property taxes but what I'm... That would make sense that the... What we're seeing is the hotels are picking up, that industry is picking up. The sales tax for things generally picking up is starting to turn around I think that and I'm look to Julie Hagan on this and or her quarter assessor, but I think that we've had a lot of reassessments that are going downward in the North County. And I believe some in the South County as well.
I recently heard you know then Warren Buffett I just did not get the timing right on the real estate either, and I think it's been really slow. It's been a really deep long recovery on real estate, and it won't be until that starts to recover that we'll start to see some significant growth in the property taxes. But it makes sense to me that we would see improvement first in the TOT and the sales tax.
Ms. Egan?
Chair Farr, Supervisors, Tom is correct, you know, There was a bigger decline in the North County, in the real estate area than there was here in the South County. And we haven't seen very much of a comeback in that area yet. Once we see the TOT and the sales tax increasing, we're hoping soon after that we'll see the real estate market coming back.
Supervisor Wolf?
Thank you. You know, Mr. Alvarez I was just getting ready to move my signal chart off my desk and I noticed that it says for the quarter ending September 30th 2011 which i'm assuming is a is an error. It should read the quarter ending December 31st 2012.
That is correct. My apologies.
Thank you. And when we come back with our next signal chart Can I assume that we're going to be putting the parks and HCD into the new department? Or how are you planning to, now that we've condensed or combined the departments, how are you going to flesh out the details of these three different departments into one?
Chair Farr, Supervisor Wolff. That's a very good question and one that we've talked long about as we start looking at our next year's budget, that same topic came up The two departments are so vastly different in what they do. If you combine them, you may lose some insight into the operations of each and so it is our intent to group them into one department but to show the operations separately and we believe that that is better for management oversight purposes and we're able to roll it up into one and we can do so however from our oversight or review, we find it better to look at them separately
Okay. And I think that makes sense, but I also think that we need because the reason we did combine one of the reasons we combined was because we wanted to see some savings. I think it was $500,000. So I think it's going to be important to at least see what the combined apartments look like. Definitely keep them separated out, but in another section put them together so we get the overall gist of what's going on.
Chair Farr, Supervisor Wilk that would be very easy for us to do. FIN is extremely flexible and we could very easily put those together in a very summary fashion or detailed fashion whatever would be helpful to you.
Thank you thank you very much Mr. Alvarez. Supervisor Gray?
Yeah mine is a quick follow-up I certainly agree with what was just said so I support that analysis but how does parks plan to make up the what would you say seven You said they were going to be able to get on the budget and I didn't pick up how.
Chair Farr, Supervisor Gray, I'm sorry I didn't provide that but in my discussion with department personnel this morning they indicated that their fees over the last couple of months have been coming in higher than projected
All right, CEO Waller did you want to make a comment?
Yes thank you. I just wanted to recognize Tom and his staff because as I know your board is aware over the last several years his area has been reduced from eight analysts to basically three analysts and they're still doing a fantastic job in being able to put together this information and at least in part I attribute to that a closer working relationship with our auditor controller and that's been very helpful as well One of the things that I do want to make mention of, and Supervisor Carbajal and possibly others indicated that what we're comparing in providing you today is an analysis of how we are doing in comparison with the budget that your board approved last fiscal year. Something that's not as readily apparent is where we're going to be for future challenges so I would continue to remind all of us that we have a lot of future challenges in front of us Many of them in the fiscal outlook report that we will get updated information for you.
But specifically, the jail fire, the critical lack of support staff that we have in many of our departments as a result of four or five years of ongoing reductions and we also know that in 13-14 If in fact the Retirement Board does reduce the investment rate as they are proposing to, that particular action alone will result in a $25 million increase in the county's contribution rates. So we've got a lot of challenges ahead of us and I just don't want to lose focus on the challenges ahead at the same time we're recognizing how great your departments are doing in meeting what their current year budgets are.
Thank you, Ms. Waller. Supervisor
Wolf? Ms. Waller, thank you for bringing – someone else also brought up the jail and we talked about it in our DAC meeting. When is the sheriff going to be bringing that back to the board?
I don't see anyone here, but I do know that I believe it's actually this week the Sheriff is meeting with the full committee of AB 900 funding to be able to determine if in fact we are going to get the Phase 2 allocations that we had hoped for. My expectation is that he'll be back to your board very quickly after that because we're going to need to put in place A further commitment to our operational plan that we've already done and also some decisions on how we're going to fund our match for capital improvements.
Okay, so soon? Supervisor?
Again my guesstimate would probably be April supervisor. Thank you ma'am.
Supervisor Gray.
Thank You chair I was very concerned today when the news came out that someone was that individual was sentenced to 23 years in the county jail This is huge. I mean, we've not had that it's been a year and so now all of the sudden 109 this is going to start happening and I hope that will be included in the report because the 23 years actually surprised me and I follow this pretty carefully
1:29 – 1:4030 turns
Chair, Supervisor, it was very distressing I know to the Sheriff also from the standpoint of not only jail capacity but fiscal issues. The cost of having a 23-year inmate that will be remaining in our facility versus as has been the case in the past they would have been transferred to the state We'll have very significant financial consequences as well. And these are exactly the kind of things that we're tracking and reporting back to the state so that they get a clear understanding of what the costs to the counties are providing this new level of service that they've pushed down, forced upon us.
With CSAC at several levels, and 23 years was not even mentioned. It was possibly you'll get the proleagues, you've got this, you may get five years but 23 years was huge. That is a long, long time to house an inmate. And it changes the whole complexion of the way the jail system works so I urge the Sheriff to address that when he chats with us about the jail. It's huge.
I agree. Thank you for bringing that up because I read that also and it was very disturbing to me. Before we go to public comment, I had a couple of questions myself and either the CEO or Mr. Alvarez can answer them. The first is that I understand that the projected deficit that we were looking to bridge here in the coming budget cycle was about 15-17 million dollars. Does that account for the 8 plus million dollars And salary and benefit savings that were going to be carried over to help soften.
Is that in there or not?
Supervisor Farr, at the time that we did the gap outlook or financial outlook, we did anticipate the concession. And so that was in there. The largest part of what was driving it negative was the use of one-time funding that was projected to no longer be available. To the extent some of these departments do better than planned they may be able to build up a little bit more of those reserves but we'll be watching that and that will be one of the things we'll give you an update on.
Okay, so are we still looking at the 15 to 17 million dollar gap that we need to close?
As last, I haven't done a full analysis since that last report.
Okay thank you and then you know I noticed that the district attorney's office was showing a positive variance for a couple of reasons but as I recall we were going to be the beneficiaries of a million dollar bond forfeiture so I'm wondering who gets that money or where that is in all of this?
Well I will certainly look to anything that county council would like to add to this conversation, but it's my understanding that we are a long way from receiving any funding. That the bonding company first has to provide the funding and then off the top of that comes the actual cost of litigation and then there is an actual split between the state before any dollars even come to us. And counsel if you'd like to add to that?
I think you summarized the uncertainty is the actual funding, but also there was a timely notice of appeal to the trial court's decision. So the matter is up in the appellant court now. Briefing schedule has not been determined, but it will be shortly.
This is for the forfeiture of the bonds? Yes. So when is a bond not a bond?
When the Court of Highest Authority says so.
And what is the timing on that again?
Right now there is no briefing schedule set, but historically we're able to move through the appellant court in six to eight months to nine
months.
So we'll keep, we're planning to advise your board shortly on some of the events surrounding that trial court decision.
Kind of complete that we aren't budgeting anything in the future year for it. I think that's probably
very wise. All right, and then I wanted to ask about the RDA funds at the end of the staff report. It just says at the beginning with a third quarter report, the RDA funds will be transferred To the successor agency in this case that the county so I'm assuming that those are going to be somehow marked separately if they're if they're transferred or they just gonna get dumped in as a lump sum and not earmarked in some way. I don't quite understand how the accounting for that's going to be handled
Chair Farr, it is my understanding and I have not been involved in all the meetings and work on this issue. It's my understanding that the former IVRDA, the assets of that will be transferred or have been transferred into a new fund that has been established within the county. And those are where those assets then reside and then all activities will occur in that new fund with the other agencies We, I believe, won't get a better picture of that until they get all their information together and then I believe they're subject to audit and so forth. So I think it's some time before we get that information back.
Okay. So are the RDA funds going to show up on this chart or where do they show up?
The RDA funds would should fall under most likely those capital funds as well. They should be on the signal chart, but I would suspect that it will be into next year before we have good numbers in that were confident with. I believe the audits happened around the July time frame.
Okay, thank you. And then the last thing I want to say before we go to public comment is actually just a comment about ADMHS and I realize that we're going to be having a more in-depth discussion about this in a couple of weeks but I have to say that when we're looking at a projected general fund contribution to that department at the end of the day, $3.3 million dollars that's just unacceptable I mean if you look at what we're projecting now as a positive variance for the general fund departments that pretty much wipes out all of that and so even though it's not listed as a general fund department in some ways it becomes one Alright let's go to public comment then
Madam Chair, members of the board we have three requests to speak. We'll start with Andy Caldwell in Santa Maria and we'll come back to Santa Barbara for Dr. Robert Jones and Maria Ross.
Good morning Mr. Caldwell thank you for waiting
Thank you. Good morning, Madam Chair, members of the board. I'm Andy Caldwell representing COLAB. You know, I believe your staff report was well done as far as it goes that I would liken it to looking out a porthole of a ship versus looking at the radar. Of course, that ship in my opinion is the Titanic and you're in a field of icebergs and you've already struck a couple.
90% of your discretionary revenue comes from property taxes. So property tax revenue, the increment that Bob Geis and others can put forth should be at the very forefront of these reports because that is your leading economic indicator apart from state finances. And that should be another major portion of this I don't know how many of you realize that when each and every couple of weeks in the state of California issues an unemployment check, they're borrowing that money from the federal government. They're $10 billion in the hole on that.
As you know pension obligations in the state of California for the state as a whole is somewhere in the 250 to 300 billion dollar range. There was this report issued recently that indicates that some Economists believe that your county pension obligation is in the two to three billion dollar range. We don't feel that your board's coming to grips with this. Again, it's like you're looking at the view through a porthole but you're on the wrong side of the ship You need to be looking at the state finances just as Supervisor Gray brought up this issue of a 23-year jail sentence. There's more and more of that coming down our way.
You have $100 million to $200 million deficit on roads, you have the jail, you have county fire, you have pensions. And so, just this taking the pulse of these individual departments without looking at the big picture is an exercise in futility and it's a disservice to the people that have elected you to steer the course. Until you are willing to look at oil and easing some of the rules regarding CEQA And both onshore and offshore oil, and CEQA with regard to other types of projects. And take a look once again at AB 32 and SB 375 things aren't going to get any better.
So we would rather see a much broader discussion than that which you could see through a porthole. Thank you.
Yes Mr. Alvarez. Chair Farr, just one item mentioned was the we didn't report on the property tax and it is the largest portion of our discretionary revenues but they are tracking right onto our target therefore we typically speak to the exceptions so we are on target with our property tax revenues. So I wanted to make that point the two billion dollar it was 2.2 billion I believe that the article commented about our pension fund being underfunded and that was an article it was a study by Stanford And the assumption there was that they assumed a 5% rate of return. And every county, every pension generally uses between 7 and 8%, somewhere in there as far as the rate of return. If you use a rate of 5%, it will have a dramatically different impact on that.
The rates that are established are set by actuaries who have a fiduciary responsibility to the pension fund itself. So I just wanted to clarify that point as well.
Okay. And if you use the assumption that SB CSRS is using now, that number comes down dramatically?
It does but it is still a negative. It shows that we are approximately 70% funded with an unfunded liability of about $740 million.
Right. Thank you. All right next speaker.
Dr.
Robert Jones followed by Maria Ross who's our final speaker.
1:40 – 1:457 turns
I'm getting an extreme cognitive dissonance. That means that somebody's lying. Now, Geist just made a report that property taxes are way down so somebody needs to check their facts. Now this County Board of Supervisors hasn't had a balanced budget since 2008 and that's when you came aboard By you, I mean the Democratic majority. You're spending, spending, spending and that's obvious and you can't defend that. You can't prove that you had a balanced budget.
Put it out there. Now the other issue here is you're all discussing issues that you need to be You're not really discussing the real issues. The jail is a real issue, the tax, the TOT that Rick Caruso will be walking away with after this session. That's a real issue, the TOT that he's going to walk away with after this session. Item number two. If you're discussing that right now in this budget report, it's going to be walking away with millions of dollars.
And Carver Hall, you're responsible for that. It's called poor budget management and as I hear the budget being discussed, I hear a lot of sophistry, a lot of well yes, well it's gonna look good now but it just, that's all a bunch of poppycock Nobody's going to believe that. You're bamboozling the public with this report and what's going on is really that mental health, you've been supporting this mental health program And when it's a failure, it's been a failure. The state of California has called it a failure and I've stated over and over turn this mental health program over to Cottage Hospital. Now we know why you won't do that because they will discover the bamboozle and the fraud within that mental health department.
And I've said as Dr. Robert John's Ph.D., clinical psychologist where there is racism in a mental health department There will always be issues like fraudulent, fraudulent departmental issues. Until you clear up that racism because that's systemic illness, you will always have a budget deficit.
Your time is up.
Thank you, Madam Chair. I bet it is.
Final speaker is Maria Ross.
I'm nervous, and I have two minutes and 55 seconds. May it please the Chair and the Board of Supervisors? My name is Maria Lane Ross. I'm an attorney licensed California D.C., Massachusetts. I have an emotional challenge. Despite that, through the support of many since birth I graduated Georgetown Law School in 1983. Justice Department tax attorney for years never lost a case including one involving a 250 million dollar tax shelter liability.
I retired through my emotional challenge to the gorgeous, exquisite city of Santa Barbara. Had the privilege of meeting a number of people including First District Supervisor Salud Carbajal. Lisa from his office is an angel. I'm going to read a short letter regarding cultural access for all. I'm pleased to announce the formation of Santa Barbara's newest non-profit, Cultural Access For All, CAA. CAA was created and funded by the huge success... Excuse me
Ms. Ross you need to speak to this particular item.
I am mental illness thank you Chair as I was saying
1:45 – 2:007 turns
I think your admonition was correct. She needs to speak to the budget issue. This is not a service discussion issue, but rather a financial report.
If you are going to keep interrupting me, I request that my time be suspended and extended accordingly. Thank you. And that's
my advice Madam Chair. Okay,
thank you. So we'll put another 20 seconds on the clock and you need to speak to the fiscal issues before us right now.
Pursuant to the American Disabilities Act I request a reasonable accommodation of finish this letter it is two more paragraphs Cultural Access for All was created and funded by the hugely successful world premiere of The Jaguar's Nest which occurred on February 19th. Cultural Access for All's mission is to provide access to exquisite cultural events in Santa Barbara, by purchasing discounted tickets at such events and giving the tickets free of charge to low-income emotionally challenged Santa Barbara residents.
People's Self-Help Housing has agreed to administer this program. It's been funded by the proceeds from the ticket sales of The Jaguar's Nest. The Jaguar's Nest was a play that I wrote, I produced and I own. By this letter of introduction, I'm looking forward to working with all of the cultural events Santa Barbara has to offer and provide those tickets free of charge to low income Santa Barbara residents. Salute Carver Hall's office was kind enough to come to the Jaguar's Nest. Lisa presented an award concerning this. I have 27 seconds left, I expect no more further interruptions.
County mental health is a failure. I request a full copy of my file of ADMHS. In addition, I have three questions. Number one, what's cheaper? Therapy or an involuntary commitment? Number two, what's cheaper? Nutritional counseling or being locked up in the psych ward? And question three, one more question, when will you guys hold Dr. Ann Dietrich To the responsibilities of her job. Thank you,
thank you. Doctor Johns please. Alright that concludes public comment this entertain a motion to receive and file this report promotion. Second all those in favor say aye I pose motion carries the board will take a break we will be back at 5 minutes after 11 to take up item number two thank ♪
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2:01 – 2:053 turns
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All right, everybody. If I could have everybody take their seats we're going to go ahead and resume our hearing with departmental item number two
if the clerk would read that into the record please Madam Chair members of the board item number 2 is from planning and development and as a hearing to consider recommendations of the Montecito Planning Commission on case number 11-TEX Thank you. Mr. Briggs. Madam Chair, members of the board I'm Aaron Briggs and I have a quick presentation for you regarding a time extension for the amended Miramar Beach Resort and Bungalows project
2:05 – 2:1315 turns
As you all know, the project site is located in Montecito just south of the freeway off the San Ysidro exit on South Jameson Lane. The applicant is requesting a one-year time extension to the coastal development permit for the amended project because there are two current approvals for the Miramar, the originally approved project and the amended project and to avoid any confusion I'm going to ask Mr. Middlebrook when he takes the stand to confirm that their intent today is to only seek a time extension for the amended project This slide shows the entitlement package for the amended Miramar project, which includes four conditional use permits, a development plan and a coastal development permit. Today we'll be focused on a time extension for the coastal development permit.
Please note that the expiration date for the four conditional use permits in the development plan are synchronized and the end of their lifespan is April 6th 2015. This slide shows the available time extensions in association with the Coastal Development Permit. The permit was approved on March 15, 2011. It currently expires on March 15, 2012 if granted. If the extension is granted today, the permit would run until March 15th 2013.
At that point, a two-year extension would be available to the applicant taking the permit out to March 15th 2015. And then a second two year time extension would also be available but would only take the permit out to April 6th 2015 which is synchronized with the expiration date for the conditional use permits and development plan. So that's the final day that the permits could be valid for if all extensions are granted.
Madam Chair? Supervisor Carbajal
So what you're actually saying is that last two year extension is really moot and it's really a one month extension from March 15, 2015 to April 16, 2015. Madam Chair, Supervisor
Carbajal
does
exactly correct. Thank you. As stated in the Coastal Zoning Ordinance, the approval or conditional approval of a coastal development permit shall be valid for one year from the date of decision-maker action. Prior to the expiration of the approval, the decision maker who approved the coastal development permit may extend the approval one time for one year if good cause is shown and the applicable findings for the approval required in compliance with Section 35169.5 can still be made.
The Montecino Planning Commission reviewed the time extension request on February 22nd and provided a recommendation to your board. Two findings are required to be made for the time extension. Number one, good cause and number two, the original findings for the original coastal development permit can still be made. Environmental review for the time extension request is covered by CEQA guidelines section 15162, as no new information of substantial importance would require revisions to the previously certified environmental document review package.
The Montecito Planning Commission's recommendation to your board is to make the required findings for approval of the project specified in Attachment A of the Montecito Planning Commission Staff Report, including the CEQA findings. And then after considering the environmental review, the environmental document package that you determine that as reflected in the CEQUA findings no subsequent EIR or negative declaration shall be prepared for the project and then finally to approve the time extension case number 11-TEX32.
That concludes my presentation and I'm happy to answer any questions.
Thank you, Mr. Briggs. Supervisor Carbajal? Yes.
I know the answer to most of these questions but I think it's important to ask them for the public's understanding as well, as well as any of my colleagues who might have similar questions. I'm going to ask you four questions, three or four questions that I would really appreciate either your counsel's The first one is, can we compel that the Miramar be demolished as part of this extension? Let me go over them and then I'll.
Two, can we require a performance bond for the demolition and or the building of this project at this point as part of the extension And the other issue that has come up is, is there any current restriction on the lateral use of that beach? And does the public still have access to the use of the Miramar Beach at this point in time. Those are the issues that I've had and I've asked them in the past and I've gotten some answers from council and staff but I think it's important For that those be answered in the public record.
Madam Chair, and this black supervisor Carbajal I'll try to answer your questions. I did address some of these issues at the Montecito Planning Commission as well with respect to whether or not the county can compel demolition of the Miramar Beach Hotel as it exists today in its condition. The answer is no. We have in the past on several occasions consulted with Montecito Fire and the county's building official, and there is no need to demolish those structures under building code or fire code requirements. There is no other ability for the County of Santa Barbara to compel demolition of the structures.
We did work with the applicant after the last time extension that was granted And they have done some substantial cleanup of the site, which I think has made some people more comfortable with the condition of the site. But clearly not completely. With respect to a performance bond because we can't compel demolition and Permit applicant to actually build a project. We also can't require a performance bond we would have to be able to tie that To one of the two findings before your board today, and that is that there's good cause for the economic Hardship or that the original findings can be made we'd have to tie that An additional requirement to that and staff does not believe that's feasible.
With respect to restriction on lateral use of the beach, the public has use of the beach today. There is nothing that is preventing that access to Miramar Beach.
One last question that I forgot. We have our building and safety that can demand certain actions regarding the stability or the danger of safety of that project. But the other responsibility is the Montecito Fire District, not the county fire district. And they certainly have that ability if they deemed that the site created a nuisance and reached a threshold The Montecito Fire District could pursue actions to demolish based on those findings, correct?
That's correct.
Supervisor Carbajal.
Thank you that's very helpful.
Thank you. Supervisor Wolfe.
Thank you Madam Chair. I have some comments to make but I'm just going to ask this question The application that has been given to us, I think that was attachment A of the staff report. That would inform us as far as making our findings for this application. The date of that Application or the signing of, of the page four of the application was done by the applicant on January 2011.
Do you find it odd that at that we got the application or that they signed it presumably for an extension on the project even before the project was approved in March?
2:14 – 2:2121 turns
Madam Chair and Supervisor Wolf, I did notice that. And as a follow-up, I spoke to Matt Middlebrook directly and he stated that he simply made a mistake when you fill out the application. You can see that he Initially wrote 12 there and then crossed out, then wrote 11 and initialed it. I think it's human error. It is a little strange but... Well
so what is... I actually couldn't tell what he crossed out. I thought it was maybe...I didn't know. I thought it was maybe 1-1910. So you're saying it was 1-1912? It
looks like 12.
But it was crossed out and 11 is the correct date?
12 would be the correct date. I think he made a mistake.
Well, you know, I have to say that so if it was if it was 12 let's assume it was January 12th You folks received at the date stamp is December 22nd 2011 So it couldn't have been 12, the year 12.
Madam Chair, Supervisor Wolff? When I spoke to Matt he said that he made a mistake when he dated the application and he's going to be speaking a little bit later and he could clarify this for you.
Okay do you understand what I'm saying? I do absolutely. Okay all right thank you
Are there questions from the board at this time? All right,
let's go to public comment then. Madam Chair we have three requests to speak. The first will be Andy Caldwell in Santa Maria to be followed by Dr. Robert Johns back in Santa Barbara.
Madam Chair and members of the Board I'm Andy Caldwell representing CoLab and we fully support the extension I'll be speaking more about the project during the next item. However, you know it kind of amazes us speaking to process that the county can take years and years and years in review and yet once a person gets a permit then they have a very tight frame to actually build something.
We always wish the county would kind of learn from its mistakes, and there were some huge mistakes made in this project because this project could have been built a long time ago and the county could have been having revenues from it a long time ago. And part of the issue has to do with limiting your time to process, successfully process projects through approval.
Excuse me one thing that's not been mentioned here yet and I'm not sure but is this project gone to the Coastal Commission yet? And if it has not gone to the Coastal Commission yet, are you giving them enough time to get through the Coastal Commission? We'd like a response to that. Thank you.
Thank You Mr. Caldwell.
Madam Chair and members of the board our next speaker is Dr. Robert Johns to be followed by Robert Maxim who is our final speaker.
I do not approve of this project going forward. There's been plenty of time for this project to be successful. It's three parts to a rip-off, to a hustle, to con game, to rip off con artists. The first process is the hype and this is what Caruso hypes. I've got enough money The banks don't want to support it, I'll support it. That's his hype. He's a con artist.
The rip-off is putting before all of us what can be gained. What can be gained? Well look you're going to get the tax dollars, we're going to get your TOT, this is a beautiful project And he showed it to us the last time we saw this, beautiful. That's the RIP. Just like the people with home loans in this country who are now out in the... This project will be sold by Caruso before he can get out of Santa Barbara. He's in it for the money, he's in it for the RIP and if you board members don't see that Then we need to get rid of you, Carbajal.
We need to get rid of you because you're a part of this. You shouldn't even be sitting here. You've got 15 grand. Dr.
Jones, you need to address all the board.
Board members, he shouldn't even be sitting here. He got $15,000. You need to recuse yourself from the process You can't have no decision to say, now of course the attorney here, I'll support you Carver Hall because you'll fire him. That's how it goes down. There's no backbone here. Now board members, you cannot allow Carvajal the traditional... The
traditional...
Madam Chair, you cannot now allow Carvajal the traditional like it's in his district so let him... If you do that then you've given up the future of this county Do you hear what I just said? This issue is not just Carvajal's issue, it's the issue of all this county. The tax dollars that's coming in, children, parents, everybody shares in these tax dollars. You've gotten letters from hotelers who say hey this is wrong, this is discriminatory and that's your typical piece Carvajal is to discriminate
Time is up. Thank you. Oh,
is it really one second? There is I got my piece in Carvajal send those rascals back to LA
next speaker Madam Chair members of the board are next speaker is Robert Maxim to be followed by Carol Leaf
2:21 – 2:2713 turns
Good morning. My name is Robert Maxim. I live here in Santa Barbara at West Beach. My wife and I often walk along our beaches all the way from the north to the southernmost, I guess, extremities. And we've actually walked along the beaches by this hotel. We've never gone inside the space since basically the green fence has gone up or the green covering. But it has been I know a very, very long time and up until about a year-and-a-half two years ago before I became ill and I think I'm fine but my wife questions it anyway now I'm here because an extension I can recollect, and you probably do as well. There's been nothing but extensions given to this company, this individual, this group.
And I can recollect all the different complaints by their local neighbors, not a proper drainage system, build a channel. And then it was the traffic situation. Oh, then there was the construction problem. Then there was the architectural detailing. Then it went at least to now I don't know if we're still into the plantation look or not. I have not been that current. I just anyway what I guess I want to say is that enough is enough.
We live in Santa Barbara. We're over there by West Beach. You see the apartment complex that never did rent over on Chapala or Sell. We're over by the gateway to the beaches over there on Lower State Street, not built. Folks, there is no market for hoteliers, none, zero. It's not going to work. And to simply extend and extend and extend, no. If it's going to work, it should be done ASAP. And this person or this group has been given an extension for so often for what?
We sit in a bar and drive by junk. I have guests coming from Los Angeles, and they say, what is that? Didn't any of you just have blue bruise? I said yeah, that was a long time ago. Please another extension and then probably they'll be in our court. Well, he says you can't give another extension somehow. Another extension will be wrangled if he doesn't find proper financings.
Thank you.
Thank you. Madam Chair, our next speaker is Carol Leaf to be followed by Bob Short.
I am Carol Leaf. I have no problem with giving Mr. Caruso, an extension I don't know why everyone on this board and in this county is so involved in what he does with the property. He bought it. If he wants to leave it empty, he can leave it empty if you want. And a few people think that the buildings are safety hazard then condemn them. If you could find $38.5 million to remodel district attorney offices in the courthouse, and I think you'd find a million dollars to demolish these buildings if they are this horrific hazard that you all claim they are.
What I would like to know is, and I agree with Dr. Johns when he said if Mr. Carbajal or anyone else has received campaign contributions from Mr. Carruso, they must be recused. for making this decision. And I know Mr. Carball has received $15,000 at least from Mr. Caruso personally and who knows what other organizations or Friends of Carball Hall have made contributions that we will never be able to tease out of the Friends of Carball Hall slush fund.
What I object to is the Possibly as much as $30 million rebate that you are suggesting giving to this project. First of all,
is it Miss Leaf? That's the next item so we can't speak now. No, you need to do that when it comes up. We're just talking about the extension of the
OK no I just think you want to leave this man alone. Let him do what he wants with it. What are you guys getting out of us? I mean why do you keep bugging him? If the buildings are not Madam Chair, our final speaker is Bob Short. Good morning Mr. Short
Madam Chair, Supervisors. Appreciate you giving me time. I am the Vice President of the Montecito Association and we've been troubled for quite a few years with the unfinished half-torn down Miramar and we hope that you will do everything in your power first to give an extension and then to assist in having the project completed. Thank you.
Thank you. And that was our final public speaker? Yes. Actually, Supervisor Carbajal I was going to ask either Mr. Caruso or Mr. Middlebrook to come up and speak to a couple of the questions. Is that all right? Sure. I think first a confirmation that you requested an extension of the amended project also the discrepancy as to the dates that Supervisor Wolf brought up and any other response to the public commenters.
Okay. Again, my name is Matt Middlebrook with Caruso Affiliated. With respect to the application, I apologize for the confusion that we caused on that. It was my fault. The application was actually 11 is correct it was supposed to be 1219. 11 because we submitted the application December of this previous year for this process. If you look at the form, there's a second form that you fill out that goes with the application fee. That's dated December 20th and then we went back and looked and there's a number of emails to our lenders and other people that we shared copies of the application with that were dated the 20th and 21st.
We submitted it and which I was just consistent with the date stamp from the county, which I think is.
Okay actually just a moment supervisor Wolf did you want to comment on that? Mr. Middlebrook
what we have in front of us says 1-1911. Right. It was supposed to
be 12-1911
would've been the correct
date.
2:27 – 2:4420 turns
12-19-11. Correct, December 19th. So it sounds like you told our staff when you were questioned that you said that it should have been the year 2012 but now you're saying... I'm saying that we... But now you're saying it should have been 12-9-11? Correct.
Because like I said, if there's a second form that goes with the agreement to process the fees which is also in there and that's dated December 20th 2011. Which the forms submittal, if you look it's consistent with the date that's on there from the county.
I understand that. The other dates do say December 2011? Yes. Can I ask another question Madam Chair? Sure. So Mr. Middlebrook, when you came to the board in March of 2011 asking for this project, the modified project to be approved Correct Your statement to the board was that you had worked I think you said you were given two weeks to come up with a modified proposal to make it financially feasible And your words were, we believe this size allows us to get financing.
And you went on to say that this was an opportunity to get financing by having a smaller hotel and yet so that was in March and yet the Application says just the opposite. It says that you were have, the reason for the delay is severe downturn in the economy which has greatly limited hotel financing for hotel projects. So from March and I'm going to assume what you said December although I have to tell you Mr. Middlebrook as someone who is as sharp as you are with all of your lawyers I look at these documents and I look at the date.
And it's January 19, 2011. You specifically crossed out the other date but you didn't change the January. So it is very suspect to me what you are saying. If you corrected one part, I would have thought you would have corrected the other part. So it's really disappointing because in March you said to us that you could get the project built. You could get the financing and then we see this which by the way, the language is an exact replicate Replication of what you provided to us on the original project. So, you basically cut and pasted the same reasoning for your extension. And I've got to tell you before I came in here today, I was concerned about the problem with the dates but I'm even more concerned that now you're saying that the date that you have here is wrong and should have been corrected.
It's beyond comprehension. Thank you, Madam Chair. Go ahead and continue Mr. Middlebrook.
I don't know if you want me to respond to that or if there was a second question that you wanted me to respond to first?
Respond to
whatever you
think
you should
respond to.
Okay. It is it's a fair point. I mean we have been optimistic about the market turning and unfortunately it hasn't. The justification that we sought, I mean we went back in In March of last year with a dramatically reworked project, which you all approved and we're grateful for that. That we believed at the time and we still believe is the right project for the site at a more competitive price.
The market has not turned it is this the inability to build this project is not an outlier. We are unaware of any luxury hotel that has been built from the ground up anywhere in the country in the last few years. And it's evident really in your own backyard. I mean, the problem is evident in properties like the Bacara which were built for a couple hundred million dollars in year 2000 and sold for 35 cents on the dollar just this past year. I mean, for significant, significant discounts and those types of transactions provide huge challenges for the market to build new hotels. When investors and banks are able to finance the purchases of existing luxury hotels at severe discounts, it makes it that much more challenging for somebody to invest in ground-up development when they can go buy some project like the Bacar or the St.
Regis in Monarch Bay or the Four Seasons in La Jolla For deep, deep discounts. The market for luxury hotels is still extraordinarily challenged and it remains so. We have done our best in the past year to speak to some of Supervisor Carbajal's points to address some of the concerns that we have. This board raised concerns last year about security and cleanliness on the site. We went and have done substantial work to clean up the site.
Windows and doors on all of the buildings on the site, which substantially reduced almost to zero. The reports of people being onsite and getting into the buildings. This past summer was much better in that regard. We still maintain regular weed abatement, pest abatement and all of those types of things on the site. Graffiti abatement we try to abate it on the site within 24 hours of reports. We work with the Sheriff's Department because oftentimes people park along Jamison there near our site which we can't really control but we get reports from our neighbors that there are cars parked out there and we work with the sheriff to report those and try and get them ticketed or whatever we may be able to do. And so, it is a challenging situation.
We look forward to trying to and working with the county and we stay in the market every single day to try and identify ways to move this project forward. We are still deeply committed to this project. We think it's the right project in a great community, and we want to move forward. And we think it will be the right project and successful project when we're able to move forward but it is still a dismal market for luxury hotel development.
And thank you. And before I turn to Supervisor Gray, I just want to hear on the record, I guess that what you are asking for is the extension of the amended project. Is that correct?
An extension for the coastal development permit for the amended project that you approved in March.
That's what staff was wanting to hear. Okay. Supervisor Gray?
Thank you. And thank you, Chair Wolf or Ms. Wolf for bringing up some of those issues. I've been around the longest and I don't know if you folks will recognize the name Bill Levy but this is kind of shades of the Bill Levy situation. But you know I'm a country girl. I'm from Santa Maria and I have difficulty Speaking you folks as language, but my understanding is that and so you can comment wherever you choose to.
My understanding is that there's a $50 million debt on the property and that it is difficult to go forward with a $15 million debt. And in addition to that business isn't good for hoteliers. I think heard you say that part. Now, the other thing that I've been told and I'm curious from you is that the property itself does not lend itself to a four or five star hotel.
And again, it's because of the size not the location and but the location is compromised a bit because the train goes right through the middle of it. Now I personally love the place and spent time there very happy times there so you maybe would just like to choose on my frustrations and encourage me to find a way to think that it should be extended because I'm real foggy on that one.
Here are a few things to those points. We believe strongly that it is a great site for luxury hotels, for a luxury hotel and we have been approached by Nearly every luxury hotel flag, aside from the Four Seasons who operates the Biltmore right up the street about you know the possibility of operating this hotel. They want to operate it they don't pay for and build hotels so it's getting a little ahead of ourselves but They all believe it's a great site for a luxury hotel.
We think it is a great project in a great location with a great future, but again getting back to the market with respect to it. It is in September of 2008 when the market went to pieces, luxury hotel development really became as challenging of a real estate asset class as anything. And since that time like I said we have not seen a ground up luxury Hotel development literally anywhere in the country, certainly not in the Western United States. People have not built them.
Some may have been started already and been finished in that period of time but nobody has undertaken a new project and just the opposite. I mean you've seen like I said St. Regis Monarch Bay just in Orange County went into default and went bankrupt. The Four Seasons Aviara in La Jolla went bankrupt The Bacara, like I said was built for I believe $200-$220 million in 2000. And those are year 2000 dollars not even adjusting for inflation and I think it sold for recently 120-130 million dollars and so you know investors and bankers who are looking for hotels. You know when they can buy a an existing luxury resort like the St. Regis Monarch Bay or the Bacara for deep discounts like that for something that's already generating cash it just makes them focus on those assets as opposed to coming into Montecito to build a ground up luxury hotel we're convinced that it is a great property and a great project for that site still, but the market has not recovered still to the extent in California or nationally for new luxury hotel developments to the point where we've been able to get it off the ground.
Absent the, we see signs of it coming back. The occupancies are recovering at luxury hotel room rates are slowly coming back not as quickly as we like to see. We think that there is an opportunity to hopefully develop in the near future.
The next item on the agenda is you know we think an opportunity to help move that date forward in terms of when we'd be able to build it But absent the extension, we extinguish the opportunity to continue to pursue that. You know this is a challenging project and you know it is one that would have...
I think you answered me but let me just ask real quickly. You said absent the extension then you basically just walk away from the project?
Absent the extension approvals... Absent the extensions, the approvals for the project go away. And so then we're completely back to the drawing board and sort of starting over. So I'm not saying we'd walk away. I don't know what we would do if we didn't have approvals for a hotel on the site. Thank you.
Mr. Middlebrook, you can go ahead and take your seat. I think Mr. Caruso, I'll call on you to come to the microphone.
Thank you very much. I know this has been an extremely long and frustrating process. It's been an extremely long and frustrating process for me, but it does remind me of when we built one of our signature projects which is the Grove ten years ago. It is actually the anniversary of The Grove next week. And in 2001 if you remember the theater industry fell on its back And you couldn't find a theater company that wasn't either in bankruptcy or close to bankruptcy.
And in the center of The Grove is a very large theater and it became a nightmare. And so we had to stand up, excuse me, and actually come in and finance the theater ourselves because the deal that we had with Lowe's Theater at the time their market cap went from 800 million to 80 million and the theater was going to cost 20 million to build. And we knew they weren't going to spend a quarter of their market cap on one project, so we came in, we built the theater out of my own capital. The theater today is the number one theater in North America on a weekly basis.
So here we are fast forward to the Miramar. We have grand hopes Building what everybody wanted to see built there. The market collapses, we do have a $50 million loan on the property. The market collapses and now what do we do? So we're motivated to do the right thing. We love the property. We actually love this community but the market isn't there to support it so the best thing we can do is hold onto it.
What we have done to try to piece this project together and that's what it's going to take which is the next item, the TOT. So you understand the full picture. We went to the bank and this is not something we would normally disclose but we think in fairness you should know everything because it's more private business on the bank side. We went to the bank. The bank was desperate to get the loan sold because the bank had their own issues to deal with. We negotiated a discount with the bank.
We are prepared to pay off the loan. That's my commitment. So the property will sit there free and clear And I explained this, I think to Supervisor Carbajal that if I can get the extension, we can get the TOT, we'll pay off a loan. We have a property now that's free and clear with the TOT and the property free and clear it gives us a much better ability to go back out to the lending community to get the project built and we think the market is turning enough By time the project is built, which would probably take about two and a half years because we still have to go through some city processes here on architectural design. And hopefully we won't get held up with that. The market will be stronger and we'll be on our way.
We have stood by this property. It hasn't been cheap to stand by the property. We could've turned it over to the lender at any time. I think that would've been the worst case scenario for this county and this community is to have a lender standing here trying to figure out what to do with the real estate. So I know there's frustration on your part. Supervisor Wolf, in all candor, I really don't appreciate you questioning the honesty of one of my employees. I don't think that's appropriate. He said he made a mistake and apologized for it. I don't know what you think we would be doing trying to misstate something.
We have stood by this property, stood by this community. We're prepared to move forward. And yes, we need your help one more time on two matters. If you choose not to grant it, that's your discretion. The property then has no development rights and that certainly will not further it being cleaned up. So I'm not saying we're the only option but I certainly think we're the best and although I'm embarrassed that we haven't been able to get it built frankly it's not for lack of trying and it's not for lack of spending a lot of capital doing it but we are committed to the project
2:44 – 2:5726 turns
Supervisor Wolf. Mr. Caruso, you and Mr. Middlebrook have made statements about the luxury hotel industry and there was an article in The Wall Street Journal January of this year and I'm just going to quote one paragraph it says all hotel categories are seeing improvements but high-end hotels are flying better than most. Luxury and upscale hotels in the United States posted gains in revenue Thank you.
You're a businessman, Mr. Caruso and I'm sure that when you see a contract in front of you, you look at it very carefully and that's what I did in looking at the findings we had to make. Say whatever you will but I feel like I have a duty sitting up here to make sure What is before us is accurate. And I'm getting a different story from staff and Mr. Middlebrook. I'm trying to understand what the status is, okay?
The other thing is can you please go back and explain what you said about going to your bank to get a discount. You said something about that and I would like to better understand that.
Well, what was happening as the market crashed in 2008 is that people's loans were had a face value that were greater than the underlying value of the real estate. I mean, you saw it with homes and foreclosures. People had mortgages that were larger in principal amounts than the value of a home and that was happening on commercial real estate. The bank had discussions with us about wanting their loan to be paid off or sold. The bank had their own financial issues as most banks did at the time And so negotiations took place and there was a discount. So the payoff, which I will not get into the particulars because I don't think it's appropriate, the payoff is less than the 50.
But nonetheless what I'm, I think what's important for you to know is we are going to pay off that note. So the question that Supervisor Gray appropriately asked is how do you put this together and actually get it built? If the market is still soft and it's a combination of having the land be debt free, having some assistance from the county on the TOT. And as you rightly quoted from The Wall Street Journal that the luxury sector is starting to turn, is tapping into that positive momentum going back to the financial community to get a construction loan, which we think we can with all the pieces put back together and get the project built. Now I will say in fairness again I hope we don't get caught in an architectural review process that drags this out because if you remember we were ready to go and we lost a year because we had neighbors complaining about a creek that we had nothing to do with That is going to cost us $2 million to pay off to those people, which isn't going to do a darn thing for the creek.
But there was extortion and delay. Had there not been the delay, the market was still strong. We had financing and we were ready to go. So if you want to recite history of where we were, that's where we were. And nobody quite frankly on this board was demanding at that time that we get started. They were demanding that we study one more time a creek that we had no impact on.
So now, we've done it. We studied that creek three times.
Did you say extortion and allay?
By our neighbors? No question! Does anybody think it was anything else? That I have to pay $2 million dollars to neighbors?
Okay, I just wasn't sure I heard you correctly.
Oh yeah, you know, you heard me very correctly.
All right. Supervisor Wolf, did you have any other questions? All right. Thank you Mr. Caruso.
Thank
you. Supervisor Carbajal before you make comments I was remiss in that this is a land use issue. I need to ask everybody for any ex parte and I'll start with Supervisor Lavagnino.
Madam Chair, I've had a brief conversation with Mr. Caruso
Supervisor Carbajal.
Thank you, I've had conversations with Mr. Caruso and his team as well as the Montecito Association and a significant amount of constituents either for or against this extension in the item to come in the future.
Thank You supervisor Gray
Mr. Caruso was polite enough to call me, I was in Washington DC and didn't get back to him. I also had a lot of emails so that very much just every the blanket emails
Thank you. Supervisor Wolf? No, no conversations. Okay thank you and I just want to say that this issue and the issue to follow kind of got muddled together I think and so I have also had a number of emails that I think talked about both and I did have one very brief phone conversation with Mr. Caruso last week. So all right with that Supervisor Carbajal this is in your district I'll turn to you
first. Thank You Madam Chair You know, I think I share the frustration of our constituents. Certainly Mr. Caruso and my colleagues that the market has been such that we haven't been able to see either the demolishment and or the rebuilding of this project. But having said that, I think that the Montecito Planning Commission understanding that you could either extend this as is available as part of the process continued hope in this next year despite the economic circumstance that we're facing or we can end it all right now and just say forget it, let's start all over. And I think we really have no choice to not allow it to continue within the authority that we have in hope that we can either get it demolished and or get it built so I appreciate council and staff's responses to the questions I raised because there were issues back then when we approved these projects.
There are issues today, performance bonds, the requirements can we require demolition? All these issues continue to plague our discussions and that is why I raise them. I knew the answers from the answers you have given me in private but I wanted them to be very public and transparent To the public and to everyone up here. Having said that, and the fact that we are this is really an exercise where we really are not in a position to condition this further but rather up or down I'll make a motion to approve the extension that's before us and The items included in the staff report 1 1 through 3 and anything else that councilors staff feel I need to include in the motion
I have a motion. Is there a second? Supervisor Lavagnino is second. Is there any discussion on the motion?
I have a question. Does it have to go to the Coastal Commission, Chair?
I don't believe so, no.
No? OK, thank
you. This is just... Supervisor Wolff? Yeah, I just
want to make a point and that is that I spent a lot of time reviewing the material that's been presented. I've listened to the Montecito Planning Commission tape, went back and listened to our tape back in March. As many of you know when this first came to us, I voted against the project and then it returned to us in March 2011 And there were two items before us.
One was to give an extension of the first project, the second one was to provide approval of the modified project. Based on the information that I heard at that hearing, I approved both of those items and now this item is before us and I have to say until I sat here I wasn't sure how I was going to vote. But I'm incredibly disappointed in what I've heard from this hearing.
I am supposed to be making a finding on information that was the same language that was given to us back in March about the economic issues. I cannot make, I can't make that finding. I have problems with the dates of the application so if I focus on what I'm supposed to be doing, I cannot do that. I cannot make those findings and so I'm going to have to be voting no on this.
Thank you Supervisor Wolff. All right we'll go ahead and call for the question and have a individual vote.
Ms. Gray? I'm going to be abstaining in respect to Supervisor Carbajal, with whom's district it is in. I just have a very, very bad feeling about extending this but I'll abstain.
Mr. Lavagnino? Aye. Mr Carbajal? Aye. Ms Wolfe? No. Ms. Farr, aye. Motion passes 3-2.
Thank you and now my fellow supervisors I know that it's noon but because we have everybody in the room for the next item I'd like to just go ahead and continue with item number three before we break for closed session at lunch so with that we'll go ahead and five minutes before we read this into the record ♪ StSq2 2.60 (-0.00), ♪ ♪ StSq2 2.60 (-0.00), ¶.
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3:03 – 3:1622 turns
All right everybody, if you can take your seats we're going to go ahead and resume the hearing. And before we begin item number three just a little bit of agenda management I don't anticipate items four and five coming up until after lunch which now probably will be closer to two o'clock Okay, so
Madam Clerk if you'll read this into the record please. Madam Chair and members of the board item number three is from the Auditor-Controller in the County Executive Office and is an item to direct staff to prepare and return to the Board of Supervisors for consideration an ordinance to amend chapter 32 article 2 of the county code to incorporate a proposed hotel incentive program And to the county of Santa Barbara's existing transient occupancy tax.
All right, good morning Mr. Buzanich and Mr. Filotti who is going to start us off here?
Actually I am Chairwoman. Okay. Thank you. CEO Waller. I thought it might be helpful to just elaborate for a moment on what you had mentioned earlier as far as linking the item that you previously heard regarding the Miramar in this particular item. They are not linked they Do you have a common subject? Your previous action was a land use decision and what we are bringing before you with this item is actually a proposed program that possibly if your board were to approve the Miramar may be able to take advantage of. By way of a little background, several months ago the Miramar developer approached staff and requested that we consider some incentives that would enable them to get financing to move forward more quickly on their Miramar project.
As we were researching various incentives, we actually became more and more convinced that a hotel incentive program would actually be something that would enable economic vitality and therefore we're bringing this forward to the board for their consideration and input. So just by way of what we're going to be speaking of today, a summary of requested actions We're going to ask your board to receive the report on the hotel incentive program and to provide us guidance on criteria and components of a possible program. And then if your board chooses, to direct staff to prepare and return to your board for consideration of an ordinance amendment of the transit occupancy tax.
As I know you're aware, your legislative platform focuses on job growth and economic vitality Developing employment opportunities is important, promoting local businesses. A heightened community economic vitality is what we seek and to create public-private partnerships that leverage resources and lastly to focus on pursuit of economic vitality and innovation.
The hospitality and tourism business drives a large portion of our local economy. In 2008, visitors spent in excess of $1.4 billion in our community and we know that new hotel construction creates local jobs. It also generates revenues for local governments and schools. So what we're proposing to you today is a hotel incentive program that is an unincorporated countywide approach.
It will create new revenues such as property, sales and TOT taxes. For a user to be able to apply they must first have their land use approvals, their development plan. What this program would allow is for the county to consider additional incentives or negotiate additional agreements after the development agreement approval. We looked at project size We decided that a new hotel of $50 million or greater should equal a full rebate and that a renovation of $50,000 per room or an auxiliary development in excess of one million dollars would allow 50% rebate.
Some additional details of our proposal is that we would return the transient occupancy tax for a period of 10 years after the hotel were to open, that if no TOT was generated, no incentive would be paid. That the incentive would be reduced for opening delays. That it must be maintained as a luxury hotel meaning a four or five star facility And that if in fact there was a decrease in assessed value, the rebate would be adjusted downward accordingly.
Each project would become a discretionary action for the board that you would consider on a case-by-case basis and that you may want to consider directing staff for a possible validation action. If your board directs staff to continue, below is a timeline for moving forward. As you can see we believe we could draft your ordinance in March and April and bring it back to you for consideration or adoption in May and June.
If you would choose to do the validation process, we believe that that could be completed sometime in the time frame of July through September. And then lastly for implementation as I mentioned previously each project would come to your board For consideration and possible approval. Now I'm going to turn the presentation to Mr. Filotti with our auditor and controller, and he's going to go through the Miramar Beach Resort as an example project. Obviously, the reason that this is an example for your consideration is because this was the original request that came to us.
But again, as you go through and see the information, you'll see how it could be applied to any project that would meet your criteria.
Thank you. The next few slides are actually designed to depict how the proposed hotel incentive program might be applied to an example project, and in this case the Miramar Resort. And then also to show the effects of the potential revenues on local government and schools. So the example project is roughly 259,000 square feet with 186 rooms and a 500-person capacity ballroom having other amenities such as the beach club and spa. And an estimated project cost of $170 million.
This next slide shows the current annual revenues that potentially could be generated by the Miramar or that are generated now by the Miramar property. As you can see, it generates about $568,000 of property taxes and that's mainly based on the land value of the property. And you can also see here that because the property is dormant and has been dormant for 12 years, that there is no sales tax generated and no transient occupancy tax generated. So the current impact to local governments and schools is $568,000.
This next slide shows the potential estimated annual revenues that could be generated by a built-out Miramar property under the Hotel Incentive Program. The property tax would be $1.7 million generated annually, and that is based on 1% of the $170 million cost. Sales tax is estimated to be $1.5 million, and that is based on roughly $20 million of sales generated from high-end restaurants, bars and lounges, the spa, and also a high end gift shop.
The next item would be the transient occupancy tax. As you can see, it is zero for the first 10 years as the full amount of the transient occupancy tax would be rebated for that ten year period. But then- Excuse me just
a moment Supervisor Wolff.
So Mr. Pilati, you said that this is the potential. There is nothing now that would make a developer do this so we could go through the whole process of developing this ordinance but we may not have any takers.
That could
be true. So we would end up where we are now?
That would be a possibility yes.
Okay thank you. Go ahead.
Then after the 10-year period, there would be roughly $2.2 million of transparency tax generated under this example. So then the potential impact to local governments and schools would be $3.2 million which is $2,600,000 above the current roughly $600,000 that is generated now. Again, in this example project we do expect increased economic vitality and that would come from 1,000 construction jobs and an estimated 200 hospitality jobs both full-time and part-time with an estimated $10 million annual payroll. And then of course the multiplier effect of those jobs in the community.
So countywide there would... Madam Chair?
Yes, excuse
me. Sorry Mr. Ferlati for interrupting you. I guess I just want to I'm going to put the right context on this. We're using the Miramar as an example of how it would fit into this countywide ordinance, and the reason we're doing it obviously is because that was the impetus for this ordinance to be considered. So I want to make sure that's clearly understood.
But whatever program we develop, that is the one that any applicant could choose to apply for. This is an example, but at the end you want direction from us as to what is the framework and the particulars if there is consensus on this board, an interest on this board, to go work on it and then bring it back to the Board. What kind of framework would we like to see if there's an interest by this Board?
Not as it relates to this specific project, but this is just an example of how based on the proposed variables that you have included in your presentation today, how it would affect the Miramar. Is that correct?
Chairwoman Supervisor, that's absolutely correct. What we're talking about is a program that could cover any luxury hotel either new or renovation in the unincorporated county and we're just looking for guidance on what the criteria would be using the Miramar as an example so you're absolutely correct
And actually, CEO Waller this is just if it goes forward from today. This is the first and at least three steps because we would have to give direction as to parameters you would then have to come back to the board for approval or modification and then if it was instituted anybody that was interested in pursuing it would have to make a separate application which would then also have to be approved by the board and could also have additional specific What are the conditions attached to it?
Chairwoman, that's correct. It would be at least a minimum of three actions and I would anticipate that there would be times in between particularly if you chose to do the validation action.
Okay. And then as long as I'm asking your question here Mr. Filotti, the property tax numbers are based on the current property tax assessment? What are they based on?
For the estimate, the current property taxes that the property generates now are the $568,000. And then the proposed and estimated are based on 1% of the cost of the property for the property taxes, cost to build the property.
Okay, and is there a request in to reduce the property taxes?
I believe there is. I haven't seen it myself, Chair Farr.
Okay, but that might be in process. So that would affect... That doesn't necessarily affect this number, but then there's the question of if there are certain assumptions made if an application is approved and then they come in and ask for reduction in property taxes that affects all of the numbers?
3:16 – 3:2538 turns
Chair Supervisor yes as currently proposed we would link The assessed value and the rebate from the standpoint of the property tax was decreased. We would expect that there would also be a decrease in the rebate,
OK? I thank you. I think Supervisor Lavagnino. I think that you were next to
go
then Supervisor Gray then Supervisor.
I was just going to add to that there is a consideration to make sure that that loophole is addressed and that it's just part of
the construct
that
we're considering.
Supervisor Levenham. Thank
you, Madam Chair and I don't know if this is a question for County Council or for Mr. Filotti but I'd like to see as part of the framework is that... Is there a possibility that if we went forward with something like this that the construction jobs would have a local incentive built into it? Or is that something we're able to do? For local contractors
Supervisor Levin, you know a local preference for construction within limits is something that could be built into this.
Thank you all right go ahead and proceed. I'm sorry Supervisor Gray. Oh
yeah same chart my question is looks like the schools are the and the independent special districts are benefiting the most what part do they play in this?
Chair Farr, Supervisor Gray. The independent special districts are local taxing entities and also receive a portion of that 1% property tax.
So do they have to agree with us to do it? Or did they pay administrative fees or they just collect?
Chair Farrar, Supervisor Gray. The local agencies are distributed property taxes based on the collections and there is a property tax admin fee that is taken off the top before it is distributed to all of the taxing entities.
So it sounds like this ordinance would also benefit schools and special districts?
Most definitely.
Thank you.
Go
ahead.
Okay, so just going down to the bottom chart. Basically a countywide benefit of $3.2 million annually estimated or $32 million for the life of the rebate which would be 10 years that on the sales tax column roughly the County General Fund would receive $250,000. The County Special Revenue funds such as social services mental health And public health would receive roughly another $250,000.
The state would receive one million dollars as the largest beneficiary of the sales tax although the local entities and the county would receive some indirect benefit from that with some of that money coming back to the county for other programs such as social services benefits and other areas where we do receive state revenue. And then moving over to the property tax column, we have the general fund receiving approximately $257,000 of the property taxes.
County dependent special districts such as flood control and water agency receiving roughly $168,000. The schools themselves receiving $980,000 and then independent special districts $295,000 I'll turn it back over to CEO Waller at this point
Thank you, Theo. So just in summary some of the benefits that we would anticipate to flow from a countywide hotel improvement program or excuse me Hotel Incentive Program. We'd see new revenues as was described by Mr. Filate. We would anticipate new construction and hospitality jobs We would benefit by having in our minds a better project because, in addition to the development plan, we could add additional conditions as we went through approving any individual agreements. And bottom line, we think that this is economic vitality and a wonderful public-private partnership.
So just to reflect on the recommended action, we're looking for your board's guidance on criteria and components of a possible hotel incentive program. And we're asking that you direct staff to prepare ordinance amendments that would amend the County of Santa Barbara's existing transit occupancy tax in return to your board. Thank you on behalf of both the CEO's office and auditor and controller, and we are here to answer any questions that you may have.
Thank you Ms. Waller. I had a couple of questions. The first is On the criteria for renovation projects, for the new projects we have a pretty firm number there of 50 million but it was less clear for the renovation projects. It's average of $50,000 per room or at least a million in ancillary. What would be the total amount you would expect to be spent on a renovation project in order to qualify for something like this? Did you have a more definite number?
What we were looking at there, Supervisor, so let's say for instance we have a hotel that has 100 rooms. We'd be looking at the $50,000 times those 100 rooms for some sort of improvement and we definitely want to see it in excess of one million dollars before we would move forward on bringing anything to your board for consideration. So the 50,000 is not meant to be Excuse me, in the room itself but it's meant to be a gauge of how large of an improvement we would look to have before it could come to your board for consideration.
Okay, so there isn't a particular dollar value minimum that you're looking at?
It must be in excess of one million dollars.
Just of one
million,
okay.
That's correct and that's just what we're proposing now obviously were very interested in the board's thoughts on that. We took that information from another program that was in Palm Springs and that's what they utilize Okay.
And then if a program like this would go forward and somebody applies for it and they're granted it, is that transferable? If the property is sold or does the new owner have to come in and make applications?
Excuse me. The agreement will be transferrable to whoever the owner was that goes with the land.
All right, and then my last question is on page 4 of the staff report you talk about various proposed general eligibility criteria which as I know what you're looking for direction on from us. But one of them is that the owner developer must demonstrate the financial capability to implement a project as entitled Including demonstrating that the necessary financing to complete the project can be obtained. When I read this, it seemed like we're having a bit of a which comes first, the chicken or the egg discussion because it sounds like why somebody would be interested in this is to help them obtain that financing but this is asking them to be able to show they have the financing up front.
Chairwoman, I think what we're looking for there is some sort of a commitment from a financial partner that if the incentive were to be granted that they would be at that point willing to provide the financing for the improvement.
All right, thank you. And that was all my questions right now. Supervisor
Carbajal? Madam Chair before we go to the public I really want to make sure I understand this. I understand New Hotel the approach and the threshold we have but the renovation of 50,000 per room or ancillary development in excess of 1 million help me understand that is it one the project in excess of 1 million and then and then is there going to be some commensurate I want to make sure that there's a relationship between the actual project It shouldn't just be for any renovation, it should be for a large renovation. And I want to make sure that the amounts reflect that because then we could be giving away more than even the investment being made and I want to make sure there's a correlation there for the renovations.
Supervisor Chair, I'm going to ask our auditor and controller to assist me there. Just something I can't fail to mention, Greg Levin had a lot to do with researching and putting this program together and the only reason he's not giving the part of the presentation is because he's on baby watch and at literally any moment he could be called away but in this regard I am going to ask if you can assist
3:25 – 3:3311 turns
Chair Farr, Supervisor Cargill-Hall. The intention of the renovation program would be to incentivize redevelopment and as part of that we would look for a base year in TOT taxes And the intent would be to rebate new generated TOT taxes. And so the way we would address that concern, I think the concern may be if I meet the minimum requirements can I recoup a disproportionate amount of TOT than the benefit that my project happens? And we do that by establishing a base TOT amount and then only rebating amounts on top of that.
Thank you. I just wanted to make sure there was a correlation and it wasn't the same type of approach that was being suggested for new hotels, right? Thank you. It's different.
Thank you All right
Let's turn to the public then Madam chair members of the board We have 14 requests to speak and we will begin in Santa Maria with Andy Caldwell To be followed by Jean Montesano
Madam Chair, members of the board. I'm Andy Caldwell representing COLAB. I was pretty much undecided on this discussing this with various folks but we're going to go on record as supporting this proposal especially if it helps get the Miramar built That as you know, and I've been speaking to the on this for over 10 years. We think that most the biggest greatest incentive you can give is process improvement.
Bill Watkins came up with an acronym delay uncertainty regulation in taxes. Excuse me what you're dealing with his taxes? Is Mr Caruso And others have mentioned to you over the years, and we've been mentioning to you for 21 years. The delay and the uncertainty and the cost of the regulatory overkill in Santa Barbara County is more detrimental than taxes. I think if somebody like Mr. Caruso or any of the other people, like the people that were the predecessors to the VCARA could have gotten through the process 10 or 15 years earlier, bed taxes wouldn't even be on their radar screen.
Carrying land costs, architect costs, legal costs, planners' costs for ten years? That's a killer! Bed taxes pass through. But having said all that, if it helps get the hotel built then we support this program but again you need to look at your process And as you know, we have more experience in this than anybody. I've been to over 1,000 board meetings in the last 20 years and countless planning commissions and other types of hearings. Your process is what's killing our local economy. And of course a lot of that is attributable to the state but it doesn't matter how bad the state makes it, you seem to want to one-up them So we support this, but we also ask that we go back to process improvement and streamlining so that we don't have another Miramar on our hands again.
Thank you.
Our next speaker is Jean Montesano to be followed by Matt Middlebrook
Good afternoon, Madam Chair and members of the board. I would just like to say that I would like to see you guys approve this. Mr. Cruz does a lot of things. A hustler and a swindler aren't any of them. I've known him for 10 years. He's visionary and his track record is nothing but excellent. So I would like to see you approve this. And he'll bring lots of jobs and guarantee we're all going to sit back and say I was originally for this from the very beginning. So, I'd like to see you approve this.
Our next speaker will be Matt Middlebrook to be followed by Rich Unterman
I'll make it brief this time. The proposed TOT program the staff has discussed, we believe is a good way to go and would be very helpful to our project in particular and we believe others that has worked in other communities. If the ordinance is approved, we want to make it clear one thing that we've spoken with the county staff and with the community if the ordinance is approved and we were adopted into the program Given the frustration over the buildings, we would be willing to at that point move forward immediately with the demolition of the buildings on site.
Which is at approximately a $3 million cost to us, about $1.5 million for the demolition and about That would be a fee that we'd. be willing to do. We'd be committed to complying with the obviously the conditions of a four and five star hotel, local preference we would be more than willing to do and we would be committed to building the hotel as quickly as possible given favorable financing terms and we believe this would be a significant benefit to identifying financing for our hotel It will, like we said, help us to obtain financing and the county highlighted a number of the financial benefits. Those are the benefits that would just be provided by our hotel. If there were other hotels built there would obviously additional benefits to the county.
We also just, the guess that our hotel would believe in a lot of the research we've done is that the Miramar would induce demand for leisure and group travelers. Meaning it will attract customers not currently in the market who will come to the area based on the significant marketing effort we will undertake and buy a brand new luxury hotel. And we believe countywide room rates as we've seen in other jurisdictions and occupancy rates are expected to increase countywide with the building of the Miramar.
And thus, the existing TOT base for the county would hopefully increase significant advertising and press for any new hotel benefits the entire region both existing and resource to come. In summary, our hotel if built will generate significant new revenue and jobs for the county. We're committed to tearing down the existing on-site buildings immediately upon adoption into the TOT ordinance program if adopted.
The TOT incentive will have significant impact toward getting the project financed and moving forward with construction in the near future. And our goals, we believe are aligned with the county and the community in this regard. So we want the hotel built up and running as soon as possible which we believe will benefit us all. We appreciate your consideration of this proposal.
Thank you Mr.
Middleburg. Our next speaker is Rich Unterman to be followed by Solomon Yoslowitz
3:33 – 3:4211 turns
Good afternoon, Mr. Unterman.
Yes hi thanks for letting me talk I'm opposed to using county taxes to subsidize a hotel of a wealthy developer I am a boutique hotel developer and owner. I've built hotels with friends over the last 25 years, I know the industry. My wife and I own a sweet little hotel in Santa Barbara that many describe as a boutique hotel. These kinds of developments are not for the faint of heart.
This is a rich man's game. Richmen, companies etc just don't need to be subsidized. There are so many other things that we need to do in our county where the money should go if we're going to give it. This is a foolish kind of idea and I think it will set bad precedent. It's bad public policy Thank you. If we don't build too fast, don't change it. It works. Everybody gets a chance to talk. Developers know what the game is when they enter. If they enter foolishly and make a mistake, they suffer. If they want to develop fast, they can go to Orange County. We have a beautiful place that is partly because of the kinds of development practices that both the city and the county require us to go through.
If you have to do anything, just follow the law. Somebody will eventually get it cleaned up. You don't necessarily need to cater to a wealthy developer in these sorts of situations. Let the process go ahead, there are many many other vacant parcels in the county that would be perhaps developed if there was a subsidy but you're not going to lose enough money to subsidize them so I probably talked long enough. I think you got my opinion thank you very much.
Thank you. Next speaker.
Our next speaker is Selwyn Yoslowitz to be followed by Warren Butler. Hi,
my name is Selwyn. Thanks very much for allowing me to be here today. We have a restaurant here at the Marmalade Cafe here in LeCumbre and Santa Barbara I'm one of the founders of the restaurant group. And I just want to share with you, first of all, I want to show my strong support for this QOD rebate. We started off in Santa Monica. We mortgaged our homes with three young people and we built three restaurants and in 1996 we had the privilege of meeting Rick Caruso.
And what happened? We were going into an area in Westlake Village and he was building the first lifestyle center And he allowed us the opportunity of going in there, and that was a huge step for us with three young guys in this kind of jump from three to four restaurants. Other restaurants are all independent go-to destination restaurants. But we saw how Rick built a lifestyle center and built a community, and what he's done for that community is admirable.
Two years later, there was a property in Calabasas. It's now called the Calabasis Commons. It sat vacant for at least 15-20 years. One developer after another tried to develop that land. They all failed. Rick came along and met with the neighborhoods who were opposed to it and opened and once again has created a lifestyle center and a true community where people can go and belong.
I've seen what Rick puts back into communities Then we opened, then we went to the, we opened in the original farmer's market next to Grove. Once again, the community, the neighborhoods were totally opposed to this. Today you ask those neighbors as they've seen their properties escalate in value have more visitors than I believe Disneyland and the farmers, the regional farmers market was in total decline and thrilled to say it is one of those bustling farmers markets going today And we are thrilled to see what Rick's put back into the communities.
And I know when Miramar will become, with the kind of marketing effort that Rick's, the Caruso Corporation goes about to promoting properties, the name Miramar will become synonymous with Santa Barbara and this will become a tremendous destination. Thank you very much for allowing me to be here today. Thank you.
Thank you very much.
Our next speaker is Warren Butler to be followed by Kelly Cliniff.
Good afternoon. Thank you, Madam Chair and Board of Supervisors. I'd like to commend you on your consideration of the proposed Santa Barbara County Hotel Incentive Program. In these current economic times it is admirable to see the creativeness and hard work that went into coming up with a solution that will not only help us get through this recession but to help make a positive impact on the county for the community and for those who depend on the funding for the many services.
Importantly, it is a way to incentivize without taking away from any existing funding of any city, county or state agency. I can appreciate the research and due diligence that went into the proposed Santa Barbara County Hotel Incentive Program and the preliminary analysis of economic incentives for the revitalization of the Miramar Beach Resort. I was impressed with the numerous factual justifications and supporting information that makes for such a sound proposal. I am a board member of the Goleta Valley Chamber of Commerce as well as Vice President, Executive Board Member of the Santa Barbara Greater Santa Barbara Lodging and Restaurant Association. I'm also a member of the Santa Barbara Chamber of Commerce. Even though I am very active with these groups, I'm expressing my support for this proposal as an individual resident and businessman for all the same reasons you have outlined in your summary.
Here are some of the key points that I gathered The current economic recession that may continue for several years needs to be offset by proactive measures. This is in line with your legislative platform of encouraging businesses to move forward and to make up for the demise of the redevelopment agencies. It's in line with many local jurisdictions that have developed similar programs to stimulate the economy.
There will be increased tax revenues which will help pay for necessary staff and services, and we cannot continue to do nothing and cut-cut-cut and not be able to meet the needs of the community. Many California local jurisdictions have successfully implemented incentive programs, the one you are mirroring of a community that is similar in size and population.
Number six, this brings construction and trade jobs in hundreds of full-time jobs. As far as the preliminary analysis of the economic incentives for the revitalization of the Miramar Beach Resort, the positive benefits to the community are too numerous to list. It's obvious that the TOT rebate will be well offset by all the financial advantages. Taxes are approximated $2.6 million directly as well as indirectly with jobs additional $10 million in payroll and bringing visitors to local stores. Also, there'll be a direct infusion investment of $170 million into the property to build it. Let me just note a few other points not specifically addressed but I'm sure considered. The current Merrimore building needs to be demolished soon. It is in our best interest to get this new hotel built sooner than later.
The majority of our community wants that building done as soon as possible since that is the gateway to Santa Barbara. It's in the best interest of the whole community to jump on the chance to get it cleaned up and a new project constructed. Number two, the county hasn't collected TOT from this property for the past 13 years and probably won't for another 10 years if this proposal does not get approved. Number three, could not have been a better owner developer Caruso did not only insure a high quality five star property but would be a partner with the community. Thank you very much.
Thank
you.
Our next speaker is Kelly Klineff to be followed by Richard Nordland. Kelly? We will go to Richard Nordland to be followed by Laura Lodato.
3:42 – 3:5112 turns
Madam Chair and Supervisors, I'm Richard Nordland. I am the current president of the Montecito Association, a 1,000-member organization, and I speak today for those thousand members and other residents of Montecito who have been begging to get this resolution to the Miramar. You know our community's pain that we've gone through with the dilapidated buildings, the eyesores to our residents and the traveling public.
And our community appreciates the efforts that you are making in getting these buildings torn down. I have read Hotel incentive program and I think that you have your staff has done an excellent job in compiling the data. And the Montecito Association fully supports these incentives. I've had some experience in my career in dealing with government incentives, and I think a point that's lost in some of these discussions at this tax is not paid by Local people generally, it's paid from people out of the area.
It's paid by this TOT is paid by people in different parts of the state that come in and from people out-of-state and actually a lot of people that come from foreign countries The people of Montecito want to thank the supervisors and staff for your efforts in reviewing these, and I'd like to thank our supervisor, Salud Carbajal. I know that Tick Cruz has drawn some criticism but the Montecito people feel that he is our best hope for getting these buildings down and eventually getting a completed project.
The people of Montecito, as most of you know, are very good citizens. We participate community-wide in lots of activities with our time and money. And if this project was in any other supervisor's area we would strongly encourage our supervisors, Salute Carbajal to assist them in getting this problem resolved and I hope that the supervisors will also assist us. Thank you very much.
Thank you Mr. Nordland.
Our next speaker is Laura Lodato to be followed by Mike Lodato.
Hi, thanks for letting me speak. I have owned a home directly next door to the Miramar for 10 years so I've been through this for a long time as most of you have as well we've been very very pleased with Caruso working with the company we feel like he's gone He's been over backwards to get a plan together for the community that everyone can agree on, or almost everyone can agree on.
And this DOT thing seems like a no-brainer to me, given what our economy is doing. I think we need to come up with unique ideas to make things happen. If we don't do this, we're going to be looking at another 10 years or more of something just sitting there not earning any property taxes – excuse me, not earning – sorry, I'm getting nervous here but Thank you. Our next speaker is Mike Lodato to be followed by Callum DeForest.
I know this is a really big issue, because she would never speak publicly about anything. My name's Mike Lodato. I also live with a shared property line with the property. I think we have a situational thing on our hands and that is this organization did not ask for this three years ago. They did not ask for this two years ago. They did not ask for this one year ago because the situation didn't require it and they felt they could get it done We are in a situation now where the cost per key, the cost structure of this project has been driven up by the behavior of this community, its citizens and the planning commissions and government agencies that are here regulating it. It has been a long unnecessarily long process I know some of that was to allow a lot of special interest groups To commit what I would absolutely agree was straight up extortion.
And everyone here knows it was extortion because you saw three engineering reports, you saw these county bodies vote that Mr. Caruso was not to be liable for any of these things and you can imagine what those people might have said to him after that to make him need to pay that extortion payment to get them off his back and not cause $3 million worth of legal fees Instead to get their $2 million in extortion payments, which I was approached by these neighbors. They invited me to these discussions they explained to me Mike don't you understand how this works?
This classism rich guys stuff You can go and get whatever you want while you got them over the barrel. You need to speak to
this particular item, sir.
I'm speaking about the financial burdens that were placed on this organization by this community and the cost structure it's caused to force us into a situation we now must come together as a community and help this project get built. I'm also speaking to my concern about this group itself. To listen to an irrational argument when we have a time stamp from one of your staff, when your staff says this is the date it was signed and then your staff says you'll have to ask Mr. Middlebrook he apologized for putting in air and that you still think it's unfathomable that happens means I'm sensing an unbelievable amount of bias in your voting behavior and it concerns me as a citizen here.
But I'd ask you to support this. We're obviously in a situation where if we come together, we can produce jobs, construction, additional tax revenue and a beautiful property and I look forward to your
support. Our next speaker is Callum DeForest to be followed by Nina Terzian.
Good afternoon. I have a misconception. Mr. Nordlier claimed that the transit occupancy tax was supported by the Montecito Association. I was at that meeting, no vote on the transit occupancy tax was taken but they may support it in Why does a luxury hotel have to be built on this site? The Miramar, and I've been around for awhile, was never, never a luxury hotel.
There was only a collection of cottages put together in the end of the 19th century, and then with the advent of the highway sort of came to be an overblown motel. But it did have a beach. Excuse me. Perhaps some other uses should be considered rather than just a luxury hotel. I know that probably would create the most tax money, but still is not built and maybe a collection of luxury homes on that site would Produce as much residents and the beach park across the railroad tracks on the beach side could be built into a nice.
Beach club has it was for many years. The prospect. The proposed transit occupancy tax I'm afraid would open up the doors for developers to build luxury hotels along the entire coast. Think of what they would do with Naples or up in Gaviota, or even in Sandy Land. I don't know whether we can support a string of luxury hotels that but And one has to consider the preservation of our coastline. Thank you.
Thank you,
Mr.
DeForest. Next speaker? Our next speaker is Nina Terzian to be followed by Robert Maxim.
3:51 – 3:598 turns
Good afternoon, Board of Supervisors. My name is Nina Terzian. It's been a while but here I am again to support Rick Caruso and his commitment to build the new Miramar Hotel. Mr. Caruso has come up with a proposal that is a win-win solution. One of the biggest concerns is if Caruso is given a tax break, other developers will ask for tax forgiveness too. Well since 2008, if breaks were not given Many businesses would not be in business today.
I support the TOT rebate, I hope the board does too So once again we can be proud of our beautiful Miramar Beach
Thank you Our next speaker is Robert Maxim to be followed by Carol Leaf
Good afternoon. Yes, I am still here from this morning Robert Maxim from the West Beach area in Santa Barbara Well, I came frankly to simply fight for what? I thought would be some sort of a blackmailing attitude Okay from the current well the developer I still feel especially after the previous speaker from the developer. I think I heard literally a threat If it was approved Immediate everything that you want done will be done.
If not, then there'll be a continued delay I guess no matter what happens But I'm going to forget all that part and about this present development because I was very surprised Thinking this was purely going to be a gift giveaway to the developer You realize that which you're proposing is an amendment This will be affecting our county from years to come all of its cities All the potential developments I beg your pardon.
I'm sorry, that was probably an echo. All the developments. So basically what I'm just going to do is make just a few comments. They don't have to be answered but just thoughts that came to my mind because we're not talking about, I presume, we're not talking specifically about this development. It's for all development in the years to come that are luxury in the price ranges that we mentioned.
Okay, I'm gonna just suggest Future loss of revenue throughout the county wherever these hotels are built or motels. Okay, well I'm just curious that these are just comments. When in the last quarter century has this county given gifted subsidized money for a profit, a for-profit privately held development? Question mark of any kind. This will be a precedent for the county and it hopefully can influence even Santa Barbara, the city of the Gateway Project and the Levy Project which I know is going to be easily within those price ranges. And we'll see if the city's going to like missing it because you know the developer will certainly come to you for the same request.
And I've been waiting for nine years but patiently no problem. Almost at the end of this and that is the, let me see where did that one go? I'm just curious about this, and that is will a tax, whatever it's called on a guest bill or will this money, will it be called a TOT? Or is it going to be some other name and then it's collected somehow through the way your group, the county funds itself.
Will the owner of the hotel be allowed to charge any kind of a tax he wants and call it something else on that as a county tax or bed tax, and then simply pay us what I guess the county is whatever it is? Just a question. And the last comment is oh, not quite the last. I am suggesting. I'm
sorry sir your time is up.
Oh okay. It become a ballot measure. Thank you very much. Sorry I didn't watch it.
Our next speaker is Carol Leaf to be followed by Dr. Robert Johns.
Hi, I'm Carol Leaf. The irony of this whole proposal is that as long as a hotelier needs this type of rebate he's not going to build a hotel. Now, that's the truth. So I don't believe that Mr. Caruso or anyone else is going to build a hotel there because you can't make money on it. You just put the numbers up there. It's quite clear that they can't. And net-net-net, this fuzzy accounting that the county does, I'm always just stupefied that people sit here and just listen to it and don't question it.
The net-net gain in property tax is only about $1.1 million because the county already gets 528 from the Miramar so you're not getting 1.7, you're getting a new maybe 1.1. And as the other gentleman said that all you have to do is put up four luxury homes at $5 million each and you're going to generate $2 million in property taxes a year and I imagine you could put up more homes than that.
The Montecito Association does not speak for Montecito. It is a hermetically sealed clique of men, most of whom are members of the Valley Club. They do not invite other people's opinions. They're the same people year after year. So I would urge you not to take the edict of the Montecito Association as reflective of the feelings of the rest of the community because it's not. Everything happens there behind closed doors. Nothing is discussed in meetings.
The other question I have is where, you know this board seems to throw out numbers just sort of as if no one's ever going to question them. What is your basis for saying that there are going to be $20 million in retail sales coming out of the Miramar? I'd say the closest comparable would be the Biltmore. How much in retail sales does a Biltmore do every year? Is that what that number is based on or just sort Pulling that out of the air. The other question I have is, Ms. Wolfe mentioned an article in the Wall Street Journal. Well hotels overall, luxury hotels may be doing better but that doesn't mean they're doing better here. The Biltmore last year had an occupancy rate of 80%. The San Ysidro Ranch had an occupancy rate of 70%.
So if you put up another hotel, you're going to reduce that occupancy rate to about 50% for all of them. I mean, I want to see a line by line and I think the public is owed that, a line-by-line accounting of how this benefits the taxpayer and not just Mr. Kerr. This is a bailout. We all know where bailouts get us. This is just like what we did on Wall Street with the federal government did. And the county has no business giving bailouts to very wealthy people. I mean, I'm not against rich people. I'm not against billionaires but I am against giving bailouts to them.
Extension fine. Thanks.
Our next speaker is Dr. Robert Johns to be followed by Maria Ross.
3:59 – 4:049 turns
It is so obvious that this hotel will never be built by Mr. Caruso, it will never be built and we talk about what he really needs is that TOT. He mentioned it three times when he was speaking here. That's his real evidentiary. That is what he needs and he wants that and he is getting it He's getting like a bailout. Like you said, Miss, is this fair? He's getting a bailout. You wonder why he didn't. Why didn't he have a successful bid on the Dodgers? Why is he claiming... This is all how you bamboozle a group of people.
Why is he claiming that he is running for mayor when Bill Rigosa has the mayor sold out in the next 10 years? Dr. John, you need to
speak to the incentive.
I'm on the topic right now! I'm right on the topic. I'm telling you this man is a bamboozler, he's a hustler and he's getting paid off right here by Carbohol. That's that's evidence. That's the truth. Council? You know in the
council
you're corrupt!
Madam Chair, I think you can instruct the speaker to stay on topic and to modulate his tone or you may be within your right to declare him out of order and force him to sit So
you were dealing with a bamboozler. And Mr. Carbajal, you are the number one bamboozler in this county giving this man the TOT tax that he needs to go to LA to spend. To go to L.A. to spend. If you'd have traced the dollar where that dollar goes it goes to L A and then Las Vegas. Thank you Madam Chair. For letting me speak about this.
Our next speaker is Maria Ross to be followed by Kelly Klineff, if present.
My name is Maria Lane Ross and I'm nervous it is rare for me. To contradict a man that I've never met Who I understand is a PhD in psychology, particularly since. I believe he's older than me and I believe he is entitled to respect for those two reasons. But nevertheless. I'm here to talk about this hotel. For seven years, I've been a resident of Santa Barbara the city.
I'm in Salute Carver Hall's district. I love Montecito. I've eaten at the Four Seasons, San Ysidro Ranch, Lucky's. I've never been ever to the Miramar. When I was an entertainment lawyer, I used to go to the farmer's market About three months ago, I went back there in LA. That was my third time at the Grove. I was amazed. I was literally amazed. I've read about the Grove.
They have live music sometimes. I love live music. If the Miramar is built, and I have one minute and one second to go, I suspect that Mr. Rick Caruso will have live music at the Miramar. If he does, and if there are restaurants That I can buy a meal at and listen to live music. I'll be there spending any money that I have to hear live music at the Miramar 26 seconds.
I hear a lot of talk about numbers. I hear Nina talking about The dilapidated property next to her home. I've known Nina from this room. If I had a dilapidated property next to my home, I'd be saying what Nina said. Thank you.
4:04 – 4:1112 turns
Is Kelly Klineff here?
Still out? Okay. That's the end of public comment then, I'll bring it back to the board. Supervisor Carbajal this was kind of generated from a project in your district so we'll give you an opportunity to go first if you like.
I appreciate it but here is the one time that I would appreciate hearing from all my colleagues before I go.
Supervisor Lavagnino, do you have comments?
Thank you, Madam Chair. Putting me on the spot. Appreciate it. I have a bunch of questions and I came into this eyes wide open and you know it's obvious it's an interesting concept. I have a few questions first off when I look at And I don't really know who this is directed to, but on page 9 of our staff report we talk about that it's a $170 million project. It's going to require an initial investment of about $70 million from the developer.
But based on the analysis of what this project was going to generate as far as revenue goes, it would not generate enough to make the project move forward at this point, unless we added a little incentive to it. My question is why is it that with the incentive only being about $1.5 million a year? How does that on a $70 million project where it was already estimated that he'd be bringing in about 8-10 million, why is it that 1.5 million sweetens it to the point where it makes the project doable at this point?
I would think it'd either be, you know, a million and a half is a lot of money. But still in the whole concept of things it seems like a small amount of money on a project this size.
Chairwoman and Supervisors certainly all look to our finance people if they have specifics, but I think the best answer that we can give is we're not certain. That will be a decision that each individual project owner will have to make. What we can say is Based upon our discussions with other jurisdictions, Palm Springs for example. That they believe it has had a positive impact and Mr. Levin I don't know if you want to add anything to that or not?
Certainly thank you CEO Waller, Chairwoman Farr, Supervisor Lavagnino We did speak to Palm Springs and ask them about the success of their program. And they have, I believe, five renovation projects that have been completed through their program. And they believe that's resulted in about $150 million of economic investment in the city of Palm Springs. Regarding whether or not this makes a career research project pencil overall, I can't speak to that question. What I can say is that it's additive to the bottom line of the project and we in course of doing due diligence have received indication from the developer that it would incentivize them to move forward with the project.
Okay. All right. Mr. Middlebrook, can you just speak to that at all?
Just briefly, what it does is when banks look at the opportunity to finance a project they look at the bottom line in terms of how much revenue you're going to be generating. And so if they see that there's an incentive that if we're generating X there will be an additional $1.5 million per year in any given year It demonstrates greater ability to finance the loan that you're discussing with them. And that's where the problem is for hotels right now, is the ability for banks to finance these. If you show a stronger bottom line, banks are going to be more willing to do it and stretch a little farther and make it more feasible. Thank you.
You know, a few people have talked about Mr. Caruso is going to walk away with our tax dollars and then they're saying at the same time that this is never going to get built, but if it never gets built we don't lose any money so I think that's important for people to understand. Now it's a tough decision for me but I think I have to stay consistent and in the past I've been the one here chiding the board in last year's budget cycle that you know we've turned our backs on a number of items that might have generated revenue here I have to stay consistent.
And for me, even if there's a possibility that this moves forward and we could create 1,000 construction jobs up in my end of the county, you know the construction industry has been decimated. To say it's on its last legs would be an injustice. It's dead. I've got constituents who had great jobs in the construction industry. They bought houses, their kids were going to school, everything was going along smooth. Economy tanked and they've got nowhere to go so for me we may look back on this and in hindsight it's gonna be 2020 but I think one of the commitments that I'd have to see out of something out of this is what they've already committed to is that if we do move forward with this that the project gets cleaned up immediately I'd like to see that in some kind of MOU, a time frame of when that gets done.
But I'm inclined to support this. I think there's risk in everything but the biggest risk for me is to look at my constituents and say we didn't do anything because we were afraid the project wasn't as sweet as we could have gotten it so I'll be supporting this measure.
Supervisor Grant? Thank you, Madam Chair. I am in complete support of this. I think it's an excellent idea. I think it's government's job to generate revenue as well as generate taxes or to raise taxes. I think this is a way that we can do that and I like the way it's set out. I can't imagine how it's going to happen, but it would be nice if the schools would help us out a little bit and say you know we're really benefiting from this also.
But that's neither here nor there so I'm anxious to see this ordinance written and I'll be very supportive of a new way to generate further revenue in this beautiful county.
Thank you Supervisor Gray. Supervisor Wolf? Thank you Madam Chair.
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As probably many of you would expect, I'm troubled by this proposal and the way it's come to the Board of Supervisors. It first came to us as a proposal solely for the Miramar and then it morphed into a countywide proposal yet just from hearing from the speakers today most of the focus is on the Miramar Hotel But the fact is that this is not just the Miramar. This is going to be a countywide ordinance and for those of us who sat on this board and gone through the development of a new ordinance, unless there's some miracle out there in the timeline which I thought was very interesting I don't think we're going to get, well maybe we will but you know it took us about two years to get the spay neuter ordinance through this board. It's taken us a long time to get ordinances through this board.
I have three concerns on this first of all as it applies to the entire county its bad public policy. It's also unfortunate I don't look at, I don't view it in that you know this is why we have this board. I don't view it as a positive fiscally for our community. We received letters from different, we heard from one of our hotelers Here today talking about, it was Mr. Unterman opposing this proposal setting a bad precedent and unfair competition.
I have a hotel that's going through the process in my district that probably won't meet the criteria that is set here, the $50 million goal or criteria. When I looked at the Palm Springs model they had different criteria, different levels it wasn't just one and some of the other areas that I looked at particularly Anaheim and other cities. These proposals went through in a redevelopment district, areas where they needed some help in that particular area.
I think Montecito is a little bit different. In Anaheim the TOT rate is 15%, in the county it's 10%. In our city of Santa Barbara, it's 12% and then we have other cities Carpinteria and Goleta also looking to increase their TOT to 12%. So one has to ask yourself if you look at, and I don't know about Santa Maria but if you look at this as a region. I already think it's a pretty good deal to have a hotel in the county. You're at a lower TOT rate than the neighboring city I also feel that by putting this in the context of our legislative platform, that we're going to see economic development. When I approved and I voted for the legislative platform, I never envisioned this to come out of that discussion.
I thought and I saw actually in the AAC agenda A board item that's going to be coming to us during the budget, can't find it here. On a planning issue for economic development where we would have a formalized plan that would detail all of the different areas that we could help our businesses this to me is just like we're throwing things on the wall to see what's gonna stick without really having a good plan so the process concerns me I think one of Larger issues for me is the fact that in 2010 we had Measure K and I signed that ballot argument that asked our voters to increase or maintain the TOT rate at 10% when it was going to be lowered to 8%.
So that just happened in 2010. The voters voted a 10% TOT and the ballot argument that I signed, I talked about what this hotel bed tax would be used for. It would be used for general government services, public safety, lawn justice, health and parks on and on and on. That's what the voters voted for. So in my mind, to say that we're going to move forward on an ordinance that's going assist in one development is really it's not fair to the taxpayer.
It's not fair to say, well someone said it's a bailout I'm not against all bailouts sometimes they make sense but in this particular case it doesn't make sense. I am not convinced that it does and its just unfair and we have heard from We've received letters from Chambers of Commerce. I think it was the Santa Barbara Chamber of Commerce, Lodging Association asking us not to move forward with this.
I appreciated their letters. To give a tax break or to give a rebate of TOT in this climate makes absolutely no sense to me. We talked about our jail, that's going to be coming back to us. I know from being in our DAC meetings the money that we're gonna have to come up with in general fund to pay for that and yet here we are talking about a rebate to the luxury hotels.
If I was sitting at home and watching this, I would say are you guys all crazy? You're going to give back TOT when other places are trying to raise TOT and raise revenue? The fact is that we haven't raised it past 10% when our neighbors are. So why would we do anything else when we have no guarantee of any building? Why are we going to put staff time, because it's not going to be easy and we keep hearing that we don't have the staff to do these things. Why are we going to keep moving forward on something that we don' t know if it's going to materialize into anything. The only hotel that this will impact that we know of for sure, that's on the books is the one that's in front of us today.
And then I want to ask our County Council about the validation process because I didn't see that in the timeframe and I would like to know when that would come up?
Madam Chair, Supervisor Wolf. If your board first had the first reading on an ordinance then approved the ordinance it would be on the approval of the adoption of the ordinance that you could also direct a validation action that would essentially start a 60-day period after filing in the Superior Court and out of that would be an ordinance that was upheld. You'd have a judgment in advance or the court would identify any weaknesses in it.
So is that something that you would suggest that we do?
Madam Chair, Supervisor Wolf. Yes in an area like this with tax or finance the validation tool gives both certainty to your board of no downstream taxpayer suit and frankly also gives certainty to the businesses that might be participating in this that they have certainty to pay out down the road
Let me ask you this question does it could you possibly do that before we went down that path? The ordinance path
Madam Chair, Supervisor Wolf. No because you wouldn't have an action of the board to test.
4:20 – 4:3315 turns
All right, thank you. Thank you Supervisor Wolf and you know Supervisor Carbajal I'll just give you my comments briefly. I think first of all it's important to remember what's before us right now and what's before us right now is not an application from the Miramar even though that was where a lot of the comments were directed. What's before us is to decide whether we're going to direct staff to work on this issue and come back And, you know I have to say that I agree with Supervisor Lavagnino that this year this board through our decisions and through our legislative platform has made the creation of jobs and finding ways to increase money coming into our general fund as a priority.
Because we are in an unusual situation with this extended downturn, and we heard earlier about property tax revenues not increasing as fast as we would like. So I am in support of looking at this. I don't know if something comes back whether I will support that or if that passes whether I would support an individual application. But I am interested in learning more about it, and I have to say that the fact that this is of interest to both our CEO's office and auditor controller counts for a lot for me because I really look to them for their expertise on these issues.
So with that Supervisor Carbajal, I'll turn it back to you.
Thank you, Madam Chair. You know I've gone round and round on this issue and I really have heard from a lot of my constituency with various perspectives. And it's been quite a dialogue and quite a process for me. I will say that I too appreciate our CEO and our auditors' opinions. When this was being analyzed, I said you know at the end of the day, I want to hear what your thoughts are. Does this make sense? Is it positive? Is it more negative? What?
And here we have two individuals who run – I'm not sure that any of us up here have run an organization this big but pretend I have sometimes And Mr. Geis, that's all he does is crunch numbers look at risk and I just so much appreciate the analysis that has gone into this You know we made economic development in this economic difficult times the highest priority for Santa Barbara County and it's easy to say it throw it up on a piece of paper but it's harder to really find the strategies That bridge, that partnership between the public and the private sector. And those are far and few I will admit that I have been able to identify.
And certainly what's before us lends itself to some real possibility. You know my son is now at a point where he's doing geometry and algebra. He's in the sixth grade and he's starting to challenge his own dad remembering all those basics But still, elementary math still tells me that zero of zero is zero. Zero of zero is zero. And I think the tax that we're talking about is one that will be paid from folks from out-of-town not our residents and I think we have an opportunity before us where We're not happy with zero of zero and talking about where zero could fund.
Zero can't fund public safety, zero can't fund social services and mental health services, zero can't fund any of those very worthwhile programs. So then I have to look back and see what can help us get there? Not only our economy, the jobs that could be produced But what could help us get to a better place for all our citizens? And this seems to outweigh, the pros outweigh the cons.
For the schools, for fire, for county services, for the mentally ill programs that we have to fund it points more overwhelmingly on the side of This is something positive to do. Now the terms, I think, is what we've got to look at. What are the terms? How long and what have you? And I have a list of things that I would like to put forth for our consideration as we look at this coming back to us with possibilities and options.
So if I could just continue. I'm very interested in this coming back to us, if you could put that on the screen. In addition to the 10 year hypothetical proposal that staff has included, I would like to throw up there obviously B1 on the bottom is the proposal that is included in this. I like for B2 to come back as part of whatever we consider, which would be for a lesser term.
Five years and that B1 which is the status quo proposal now and B2 which is the other one that it includes 10% of the TLT so it would be 90% that the applicant would get in either one of those B1 and B2 be a consideration that this board would make during budget deliberations to possibly allocate to the Conference and Visitors Bureau. So if we could come back with those, that consideration and if you go back to the top, if you could push that down a little bit I would like a little bit more A another Possibility to come back to us where it would be years one through seven. We could pick five, we could pick seven, we could pick three but it would be a tiered approach where you would look at the first year after the four years The first four years of actually building it where the whole town must be built You would have 90% of it would go to The applicant 10% would go to the Conference and Visitors Bureau, and zero to the county the first year.
The second year it would be 80%, 10% to Conference and Visitors Bureau, 10% to the county, and so forth. It's a tiered approach. And I just put that out there as some concepts that would come back for our consideration. And that's just something that I put together. But let me just continue Mr. Lavaniello. Having said that... Having said that, well I'm trying to get it out guys. I've been very patient and I ask for the same difference.
I like on page 3 of 5 of the staff report On the bottom, I like all the criteria for qualification that have been outlined for this program in the bullet points on the bottom. I think they're all right on. Four years it would take to build. It should be maintained as a property, as a luxury property. The rebate incentive should be tied to the assessed property value again to make sure that it's a third bullet down.
Then the fourth bullet, operate the facility in keeping with other covenants as deemed reasonably necessary. On the fourth page I appreciate the proposed general eligibility criteria. I think it's all very well done. This is obviously for hotels in the unincorporated area. I heard from a number of hotels in the incorporated area but this is for the unincorporated area Projects must have received final development plan approval. All those criterias are good with me.
The owner and developer must demonstrate the financial capability to implement the project as entitled, including demonstrating that the necessary financing to complete the project can be obtained. Owner and developer must agree to maintain adequate records of construction and agree to allow the county to audit such records. And the last bullet, owner and developer must agree to pay the application fee to defray the county's cost for administering the program.
And the additional criteria for new hotels and renovations would follow in that same approach in terms of the tiered approach. I would like to put in here also consideration for a performance bond, to be considered as one of the many criterias. And I appreciate the legal validation and the local staff, construction staff should be one of the criteria's for our local contractors to have divs in being hired.
For this project, you know I'm sure there's more but. All of those are just some variables that I would like to see come back to us so that we could pick and choose at least whether it says hybrid approach the 10 year proposed approach or five-year approach down the road in terms of what the actual figures might mean looking at an example like the Miramar even though this is countywide.
So Supervisor Carbajal is that also a motion?
That is a motion
Supervisor Wolf? Well,
maybe a second first and then I'll
comment.
Do you have a second on the motion?
I don't have a second because I don't have a clue what I'm seconding so if maybe If you folks that were could understand what supervisor Carbajal was asking for and you could capsulize it So because I'm for the ordinance but I don' know what got tossed into that
Okay. I think that we were just giving direction with some ideas for staff to explore when this comes back, assuming the motion is successful. Is that correct? Supervisor Levenino?
Madam Chair, I'm kind of in the same boat. I mean, I don't know where that came from and I would like to look at it beforehand. That was a strange... It's okay for framework but Why weren't we discussing this? Why wasn't this in the staff report? I'm for the project. I like this, I just don't want a direct staff to go do this. I don't even know what it is and I don' t want to spend the time, to be honest with you, I'm getting hungry. It's 25-2 and maybe that's why I'm getting a little antsy but I'm hungry.
Madam Chair, let me just try one more clarification here. I apologize this is just something I thought of and I thought I'd put it out here All I'm suggesting is that when this comes back which is basically everything that's in your staff report That it come back and have just an alternate model that's included up there in a tiered system that goes from one to seven years, for example.
And it just shows the distribution of what the TOT would be. Just as a second option for us to consider later in addition to what's in here. Well
I'm okay with seconding that as long as our auditor's office has looked at this and this is a possibility or... Our CO?
Chairwoman Supervisors, we haven't looked at this specific process. We have considered doing something that was a phased-in approach. If I understood the motion correctly it was really very much like the staff's with a couple of things such as local preference for jobs and then bringing back to your board the financial numbers that would match what the proposal was and I'm looking at the auditor controller but I don't think that would be very difficult. We've looked at some scenarios ourselves so I'm really guessing that we could put those numbers together pretty quickly.
Okay, I'll second that as long as we end up with a menu of I
4:33 – 4:3614 turns
think the goal is to, if it moves forward, come up with a plan that encourages the speedy development of something. Which as I know has been a concern for the board and demolition of that particular project.
One real last quick, why didn't you folks consider phasing? Or you did and you just didn't have time to write it in because I thought this was a really thorough report.
The reason that we didn't was for a couple of reasons. First of all, the specific request from the developer didn't talk about phasing and then additionally when we looked at the other programs as I mentioned specifically Palm Springs I don't believe they have phasing in there so even though we discussed it we felt that it would be cleaner to bring forward this consideration and as we mentioned before very open to what other thoughts were as far as how we may Quote skin this cat and I certainly think this is one of them that we could legally bring before you.
So you're not giving us a negative opinion, you just didn't go any further with that based on what you researched?
Yes, that's
correct Supervisor. Thank you. Okay, I'm good.
Thank You. Supervisor Wolfe, we have a motion in a second so discussion on the motion.
So I just wanted to ask Supervisor Carbajal about a couple other thoughts since it looks like this is going to be moving forward. The one thing about the jobs you did put in, has there been any consideration about transferring this benefit? So for instance if this benefit goes to one owner can it be transferred to another owner
Chairwoman Supervisor, as we spoke our thought was yes it would be transferable to whoever the owner of the property was. All
right well I guess that concerns me because one of the reasons we're doing this is to incentivize and to help the original owner get financing so that is a concern of mine okay we can just call for the question
Thank you. Madam Clerk, will you do a roll call?
Ms. Gray? Aye. Mr. Labagnino? Aye. Mr Carbajal? No. Ms. Wolfe? No Ms. Farr?
Aye All right that completes item number three the board is going to go into closed session for lunch those of you that are here for the cabana item is going to be at least I think 245 by the time we're back here for that item so council
Thank you Madam Chair. Adjourning to closed session, you will have four public employee performance evaluations.
4:36 – 4:443 turns
Quiet in the room here just a minute please.
And you will have as noted on the agenda Social Services Director, Public Health Director, Public Works Director, Fire Chief and you have Public Employee Appointment County Surveyor.
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Yeah. No,
no. I just asked counsel. All right we ready? All right good afternoon everybody the Board of Supervisors will reconvene before we take up agenda item number four we need a report from closed session. Counsel?
Thank you Madam Chairman or Madam Chair You had the four notice public employee performance evaluations, each of which you completed. And yet a public employee appointment and you completed that item and there is no at this point there is no item to report Madam Chair.
Thank you. All right, Mr. Allen you go ahead and read the next item into the record please.
Madam Chair members of the board we're on item number four from planning and development. It's a hearing to consider recommendations regarding the Historic Landmarks Advisory Commission's designation of the Bryce Beach Cabana and Finuncular as a historic landmark.
All right well we'll turn to Planning and Development Ms. Black
Yes, Madam Chair and members of the board. This item is before you today to consider designating the Bryce Beach Cabana and funicular as a historic landmark Your board has three options as shown on the slide, on the screen. These include approving the action of the Historic Landmarks Advisory Commission and adopting their resolution designating the Cabana and funicular as a historic landmark or you can modify the action of the HLAC by modifying and adopting a resolution designating the Cabana or you can disapprove the action of the Historic Landmarks Advisory Commission and not landmark the Cabana The Cabana and Funicular have been considered for landmarking previously.
The first Historic Landmark Advisory Commission was considered by your board on September 6, 2011. The request was denied by the Board of Supervisors by unanimous vote. The board did request that the HLAC consider designating the Cabana and Funicular as a place of historic merit. The applicant requested the HLAC consider landmarking the property again on October 10th of 2011. The HLAC approved the landmark resolution on December 12th of 2011. In their consideration of the landmark, the commission indicated that the criteria for land marking and for designating a place of historic merit are identical and that only a landmark provides a path for structural repairs to the facilities.
On February 21st of 2012, your board voted to set this hearing to consider the HLAC's nomination. This is a photograph of the cabana. I'm sure you'll see others in the applicant's presentation. It is located in the Hope Ranch area of the Second Supervisorial District. The HLAC considered a number of pieces of information in determining to landmark the Cabana and Funicular, including their Ordinance Chapter 18A and the eligibility criteria contained in that ordinance as well as materials submitted by the applicant. These include a historic report, nomination materials, and presentations. And these materials were provided to your board for consideration as well.
I just wanted to briefly review the eligibility requirements Chapter 18A includes nine eligibility criteria which may be considered in making a nomination for landmark. These include that the place, site, building, structure or object exemplify or reflect special elements of history, is identified with significant historical persons or events Embodies distinctive characteristics. Is representative of the work of a notable builder, designer or architect.
Contributes to the significance of a historic area. Has a location with unique physical characteristics or is a view or vista representing an established and familiar visual feature. Embodies significant or innovative architectural elements Reflects significant geographical patterns associated with different eras or is one of the few remaining examples possessing distinguishing characteristics.
The HLAC findings for nomination are contained in their resolution. And they cite several criteria that they believe qualify the cabana and funicular as a historic landmark. These include, that it exemplifies special elements of the county's history as a tangible remnant of the ephemeral California dream of beach living. It's representative of the work of a notable designer or architect in this case, Mary McLaughlin Craig.
It has a location on the beach and ocean front, an area with unique physical characteristics and a feature of the Hope Ranch community. It embodies elements of architectural design representing a significant architectural achievement or innovation. And it's one of the few remaining beach cabanas surviving in the county and the only example of a combination beach cabana and funicular. So that was the basis of the Historic Landmarks Advisory Commission's recommendation.
Again, your board has three options. You can approve the action of the HLAC and designate the cabana and funicular You can modify that action by modifying the resolution, either by changing the boundaries of the designation or the conditions of the designation and then adopt a modified resolution. Or you can disapprove the action of the HLAC. That concludes staff's presentation. I'm happy to answer questions.
of the board. All right, questions? Supervisor Wolk?
Thank you. Thanks Ms. Black for your presentation. So I have just a procedural question because I understand that if we move forward with the landmarking Then HLAC has some input into the structural repairs and things like that. But how does that square with CEQA? Does HLAC make the determinations or does staff make those determinations?
Madam Chair and Supervisor Wolf, that's a good question. We would be really processing any structural alterations or structural improvements to the project both through the HLAC and through the county's land use permitting process. We typically prepare the CEQA documentation associated with the land use permitting process and the HLAC relies on that in making their determinations.
So it's ultimately HLAC that
determines if the CEQA document is adequate?
Madam Chair and Supervisor Wolf, I believe that the HLAC needs to make a determination as adequate for their action. But they don't prepare the document or make the ultimate determination of the decision maker in charge of the application would. So let's assume there were environmental impacts
5:53 – 5:5811 turns
So that so we landmark the funicular and the applicant wants to go forward and repair it. And there's some environmental impacts to the bluff who can the HLAC say, it doesn't matter? You know just go ahead and fix it or are there certain requirements in that phase that they have to, that need to be
adhered to? Madam Chair and Supervisor Wolf the HLAC will not actually be issuing a permit for those repairs. A decision maker with jurisdiction over the project would. In this case, the decision maker would be the zoning administrator with the planning commission and your board of supervisors on appeal. So you would be making those hearing bodies would make be making a decision about what CEQA requirements need to be fulfilled in the project conditions.
But so HVAC's role then would be
to ensure that it retains its historic Significance or the structure, the historic significance I guess I would say.
Madam Chair and Supervisor Wolf, that's correct. I mean their review and jurisdiction is really over those matters that are contained in Chapter 18A and those mainly pertain to the historic nature of the property So that's what they're reviewing. Okay Thank you very much
And then just to follow up on that line of questioning If that's a regular permitting process then it comes back through That is then appealable to the Coastal Commission
Madam Chair, given its location on the Sandy Beach and Bluff Face that's correct. Any permit in that area would be appealable to the Coastal Commission. Thank you. Supervisor Carbajal?
Thank you Madam Chair I'm getting a little confused because it sounds like we're going beyond the issue that's before us. Am I misunderstanding something? Because I think the issue before us is just the landmarking right? And the options that were given to us right here.
Madam Chair and Supervisor Carbajal, you're correct. What's before you really is just a decision as to whether or not to landmark the cabana and funicular. The other question is really related to how the HLAC will factor into the permit process.
OK. Well I just wanted to thank Mr. Rusak. I had an opportunity to go visit the actual cabana. And there's nothing like seeing it firsthand, seeing this go through the HLAC twice The same result, I think just reaffirms the integrity of the historic nature of this cabana. And I just really appreciated the opportunity to go out there and look at it firsthand and that is pretty straightforward for me so.
All right we'll go ahead and we'll turn to the applicant who will have up to 15 minutes to present and then we'll go to public comment.
Good morning, actually afternoon I should cross that out. Good afternoon this is my name is Steve Welton and I work for Suzanne Ellinger's Planning and Permitting Services where the agent for the owner is Jeff and Allison Rusak. We have about 10 minutes so hopefully we'll take less than 15. In addition to myself I'll have the project historian Miss Alexandra Cole and then Jeff Rusak will make some concluding remarks We also have Council Richard Monk and Project Architect Ken Moneau. Unfortunately, Mark Appleton whom you saw previously was unable to attend due to the extended time frame of today's hearing but Mr. Moneau will be available if there are any structural questions or questions about the design.
Clearly, we believe that historic landmarks are very important for our project to help restore the cabana and funicular. However with that said, we believe that the structural foundation and supports for the cabana are strong and they're likely to remain that way for decades to come. And while the sea will ultimately prevail, that's the case for all structures including historic structures.
Another example is the beach cottages at Crystal Cove in Orange County. Those were deemed to be an historic district, similar I think in this case to our project and we hope that you will consider that when you consider the nomination for the landmark today In our last presentation, we focused primarily on the history of the Cabanian funicular. We showed you some videos, some historic photographs, talked a little bit about the design but we didn't really talk very much about the architect and designer. That's Mary McLaughlin Craig who is a notable architect in Santa Barbara but for those of you who don't know her, we'd like to give you a little Introduction to her from Miss Alexandra Cole, and she's also going to have a few more remarks on other historic criteria Which we believe makes us a landmark.
Thank you
5:58 – 6:076 turns
Madam Chair and members of the Board of Supervisors, you have had a busy morning with resolutions and a late lunch. And I want to tell you that we won't have so much you have to read. There'll be photos to look at given this time. The HLAC reviewed the Bryce funicular in Cabana and again determined that they were significant under five criteria. This afternoon, I want to discuss particularly three of those criteria.
First, the cabana represents the work of a notable builder designer or architect. The architect was Mary McLaughlin Craig and this is a picture of her that was done by Clarence Maddy and Craig was the widow of James Osborne Craig, who designed the El Paseo complex before his untimely death in 1922. Mary, who had been married to him for only three years, had worked with him and was determined to carry on his work. And she felt that to serve well and faithfully someone or some idea is a great privilege in life.
And these were the idealistic underpinnings for carrying on his work. Although Craig was not as well known as other architects in Santa Barbara in the 1920s and 30s, she's certainly recognized as significant. Here in Santa Barbara her works have been collected by the UCSB Architectural Archives and the auditorium at the Santa Barbara Museum of Art has been named in her honor.
By her death in 1964 She had designed 56 documented projects, which are the subject of a forthcoming book about the Craigs written by her granddaughter Pamela Skews Cox with the help of Robert Sweeney. One of the first commissions after her husband's death was this house for her friend, Grace Kramer Lloyd in Montecito called La Vietta. Her clients were also largely her friends with whom she mingled socially and she was willing to design in whatever style her client wished.
In this case Mrs. Lloyd wanted a formal Mediterranean-style house with an elaborate stone entry. One of Craig's projects with which most people are no doubt familiar is that row of seven Spanish colonial revival houses built on Plaza Rupio opposite the mission. Craig was commissioned to design this early example of urban planning by Mrs. J.A. Andrews in a successful effort to protect the view south from the mission.
Each house is unified by style, but differentiated by varying architectural details. This small Spanish colonial revival style house was designed again for one of Craig's friends, Margaret Canby, who is married to the critic Edmund Wilson. It showed how she could place a modest house and garage on a narrow Montecito lane. After J.O. Craig's death, Mary built this Spanish colonial revival house for herself and her daughter in Montecito.
And in 1929, she built Casa Aleli for William Slater, also a friend. This is a much more formal classical statement with very few embellishments and the garage as well is very restrained. In contrast, Craig's client EJ Miley who was an oil man and contractor wanted a formal French-English Romanesque house Which Craig provided here in stone. This building is now part of the Casa de Maria property on El Bosque Road.
Craig also designed, in the 1920s, a formal horse barn with dormer windows for the Colin Campbell Ranch which is a 500 acre property in Goleta. Because Campbell was British, Craig designed the wood barn in an English style. The second criterion I want to discuss here is that the cabana embodies elements of design that represent significant innovation. As you can see from the previous photographs, Craig was able to design in a variety of styles according to the client's wishes. This whimsical cabana design was a departure from Craig's usual styles yet our friends, the Peter Cooper Brices It wanted a style reminiscent of brightly striped canvas beach cabanas such as those at the Biltmore.
Craig's innovation here was to translate a canvas tent into wood, taking a transitory symbol of the California beach lifestyle and making it permanent. This is the only example of this style found in her work. The third and final criterion I wish to discuss is it is one of the few remaining examples of its type possessing distinguishing architectural or historic characteristics.
Indeed, this cabana is the only example of the type remaining along the County of Santa Barbara beaches. Originally, the Hope Ranch Beach had a series of wood cabanas which you see in front of you with tip roofs and open fronts decorated with scallops. They were built on land that Bryce has donated to Hope Ranch. And the arrow there shows that the Bryce Beach Cabana at the far end of the beach and other Hope Ranch Beach Cabanas towards us, towards the near end.
However none of these cabanas are in existence anymore leaving the Bryce Cabana the sole example of a Mediterranean style bathhouse remaining as well as the sole example of a cabana funicular system and here it is in early days and that's Mrs. Bryce with one of her daughters in front of the cabana The main purpose of designating a property, a county landmark is to preserve it for the future.
To provide historic continuity, continuity longer than a single owner's tenure to prevent demolition and protect this property into the future we request that you approve the Historic Landmarks Advisory Commission's findings and make this resource a County Historic Landmark And now I would like to introduce the owner, Jeff Rusak. He's going to provide some further comments and conclude our presentation. Thank you.
Thank you. Can you just stop the clock for a second please? Supervisor Wolf. Thank you for your presentation, and also I wanted to just state for the record that I also went out and visited the property. I was with Mr. Rusak and someone else from my staff. We did not visit the cabana. We stayed up at the top and had more of a view of the funicular. And so I just wanted to state that for the record. Thank you.
Thank you. Actually, should we just go ahead and... Supervisor Labagnino I was with you on that site visit so I know you were
there. That's right it was a beautiful 85 degree day I think it was and we did not make the trek down there either but had a really good tour of the funicular.
Supervisor
Carvalho? Madam Chair I misspoke earlier I actually saw from on top and then I went all the way around towards the beach area to see it closer. I didn't quite make it onto the cabana I didn't have the right shoes, so I passed on going to... But I also was there with... Excuse me. I have chocolate in my mouth here. I went with my First District Historic Landmarks Commissioner and also Jeremy and my staff. So it was a good visit.
6:07 – 6:128 turns
All right, so we'll go ahead and restart the clock then. Madam Chair? Yes.
Just for the record accurately reflects your board certainly may make these disclosures but as a matter of law this is not a quasi-judicial proceeding that requires an ex parte disclosure. Thank you.
Madam Chair, Supervisors. Thank all of you for spending the time with us. It's an interesting endeavor that we've embarked on as four of you that did come to the property. I know Supervisor Wolf, you've seen it from the beach as you walked along. You mentioned that last time. I think one of the things that this tells you from the property itself is how this was part of this original Hope Ranch estate that the Brices built so many years ago back in the 30's. We have I don't want to say inherited this property, but we're lucky enough to own it. And we're really truly trying to do what is the right thing for the property, the historically correct thing for the property.
The building and the funicular itself while Fun, I'm not sure is going to be the hangout for the Rusak family for the reasons I've all told you. The situation is we love kind of just intermingling with everyone at the beach and having a good time that way. But again this in and of itself is a historical place and we're trying to do the right thing for this estate. So much so that I'm not sure whether this young girl on the beach is actually Mark Appleton's mother.
But the fact of the matter is, is that she had two daughters and one of them gave birth to Mark Appleton who went to Yale Law School and is now working on the refurbishment and remodeling kind of bringing back the estate house and working as well on the funicular. Appleton has an office here in Santa Barbara. We've known Mark for some 30 years. Mark has done a number of books on George Washington Smith, but he's very familiar with other Santa Barbara and notable Southern California architects. So again this is really just a story about us trying to do what's right for the property.
Hopefully you will all agree with what your landmark commissioners voted in favor of with one exception. And thank you all very much.
Thank you, Mr. Moustak. All right. Public comment?
Madam Chair and members of the board, we have four requests to speak on this item starting with Sue Adams to be followed by Robert Maxim.
Good afternoon. Good afternoon. Madam chair and members of the Board of Supervisors, excuse me, supervisors. I wanted to introduce myself that I am Sue Adams and President of the Pearl Chase Society. I am here because the Board of Directors of our society supports a designation of the Bryce-Cabana as a Santa Barbara County landmark. We are but one of the many historical organizations and societies who are advocating for the preservation of the Cabana's visual history and a testimony to our county history. You may have noted that it is the only example of a funicular with a Cabana on our shoreline It is our belief that nowhere else do cabanas of this type appear on any other beach in the Southern California area.
The two components, the funicular and the cabana must be seen together in this system. It's impossible to overlook that the cabana was built by Mary Craig, one of Santa Barbara's foremost women architects of the 1920s and 30s. It is unique because it is the only design she created in this whimsical style and the entire system was an amazing engineering feat for its time.
In addition, it is impossible to dismiss the widespread community support for this designation. The Bryce-Cabana is a county asset, an architectural unique architectural accomplishment and we hope your vote is with the County in mind. This nomination is not a one district issue for the Bryce-Cabana is a rare, one of a kind landmark which belongs to all of us.
We hope you feel the same. Thank you.
Thank
you. Our next speaker is Robert Maxim be followed by Callum DeForest
6:12 – 6:2318 turns
Good afternoon, all. You know me now as Robert. I'm speaking on behalf of myself and I endorse that you vote for the HLAC's recommendations regarding the preservation or the landmarking of this wonderful building and rail line. I wanted to make a comment I'm a member of other historic groups, et cetera. One of them, only as a member, I'm on docent at the local Historical Society Museum and I joined because of children. My wife and I decided not to have children. Children come through this museum and one of the greatest things that can happen is to point to something or what actually happens is they'll look at something say what is that?
Now, can you imagine a child today in 10 years and in 20 years walking by this site. Mommy what's that thing on stilts? And how do they get to it? Do they have to walk on the sand or water like us? And then they walk a little closer and say, there is a foot. Look at those rails! What's that for? Well, that was kind of like a train. Can you imagine again the child's learning experience even though it might be to be for three or five minutes on something that already is passe. It's over. It done. We just heard one left in the entire Southern California area. And then a few years beyond this, they'll say what on earth is even a cabana? What does it mean?
I think it would be a wonderful, besides preservation for history, a wonderful place for children to continue to learn. Besides as adults, I haven't seen a beach, freestanding beach house and we've been talking all this morning and even this afternoon already about landmarks. Let's make this a beach mark. Thank you.
Thank you.
Our next speaker is Callum DeForest to be followed by Adrienne Shuley.
Good afternoon. As you well know, and our president has told you, the Provincial Church Society's mission is the preservation of Santa Barbara's historic sites. And this is certainly a way of encouraging such preservation. Therefore, I strongly urge you to support this nomination and point out that it's only through owners, concerned owners such as the Roussacks that such, and with your support, that such landmarks can be preserved. Thank you.
Thank you Mr. DeForest.
Our
final speaker is Adrienne Cholet.
Good afternoon.
I
love the way you say my name. Adrienne Shuley, I live at 4120 Marina Drive which is down the street from the Roussacks property. I was fortunate enough to grow up in Hope Ranch and have been back there raising my children since 1989 and this wonderful example of a historic landmark is something you go down to Hope Ranch Beach, you know you are at Hope Ranch because of this particular cabana Over the last couple of years we've had a couple different owners of this property, one of which was going to take down the entire main residence and build 21,000 square foot home. They sold the property to another homeowner who actually demolished a lot of the interior of the home, the beautiful aspects of it.
It's time to grab the opportunity right here. We have a homeowner who is relishing bringing this home back to its original marvel and grandeur, which is extremely unusual to have one homeowner let alone two asking you to landmark their property. As a realtor, landmarking a property is not something we love to see because not very many people want to take on the responsibility of a property that has a landmark on it. We are so fortunate right now to have the Roussex have this property returning it back to its grandeur My delight around two weeks ago, I was on Facebook and actually saw a school teacher at the local school and a merchant from State Street standing up on the top of the cliff next to that funicula because for the first time we have a homeowner who actually opens the property up for fundraisers.
For pals and other things and letting other people enjoy this great piece of property in Hope Ranch that is very historic. So at a time when we're losing one of our very precious historic landmarks in Hope Ranch, of our 360 palm trees. We've already lost 17 of them. We are expecting to lose all of them within the next 5-10 years. We need to hang on to the history of this wonderful Place of eighteen hundred acres that has seven hundred and seventy three homeowners. And this is one of the jewels and treasures of the history of Hope Ranch which goes back to the 1800s, and I would appreciate it if you would allow them to do this so that they can restore it not modify it but actually restore it back to its original grandeur. Thank you.
Thank you. All right. Supervisor Wolf? Thank
you, Madam Chair. Thank you to the speakers and all of you who are here. I'm sure many of you know this came to the board before and I think we had quite a robust discussion and we sent it back to HLAC. And one of the reasons we sent it back was, I believe it was at my suggestion but maybe not, was to look at the historic merit if we could landmark it as a historic landmark, historic merit And HLAC came back and said they wanted it to remain designated as historic landmark.
And staff has explained the difference, and actually that was one of the reasons why I wanted to be clear what the difference is between merit and landmark. I feel that Seeing this, the funicular. I was separating the two. I was separating the funicular and the cabana but I have come to change my mind. I do believe that they are one and I believe so because the essence of a cabana Is truly it's you know was built in 1935 and it does reflect. I mean, you can see from the pictures that were shown to us at the Biltmore. I mean there is a definite connection to the past not just to the Biltmore but also to Hope Ranch Beach so I have come to see that both of these structures are one, and I did some more research on the architect.
I was glad to see this information and it was interesting to hear your discussion about Ms. McLaughlin. The architect is very important in this story and to know her background and what she did in the early 1900s is quite significant. So I'm in a position right now where we can hear from the rest of my board members, but I have a feeling that I'm going to just go ahead and make a motion and we'll see how it goes I think it would be item number one to move forward in designating this a historic landmark, both the funicular and the cabana.
Yeah. Second that as well.
All right, we have a motion and a second. Any discussion on the motion? I will be supporting the motion for the same reasons that Supervisor Wolf mentioned after seeing it up close and personal clearly the funicular in the cabana are all connected in one piece and it is absolutely unique. Let me make a comment too. And actually Supervisor Lavagnino and then Supervisor Carballo. Thank
you. I do want to also say that I think whatever speaker it was that said, we have the family now that is in a perfect position. And when we took and I was with Supervisor Farr on the tour, the pride that Mr. Rusak took just walking us through the home and the property you could tell that he wants it restored to the place that it was. You know, I'm wholeheartedly supporting this and I'm glad to see Supervisor Wolf making
Supervisor Carbajal.
Thank you, I appreciate Supervisor Wolfe's change of mind Last time I think it was abundantly clear that everybody was for this all the experts everybody who? Who has an interest in promoting good preservation in our county and I think the site visit just for me reaffirmed what my initial reaction was when this was before us last time, which was that this is a treasure and we really need to be proactive before these types of places go away. It's usually you wake up and you talk about what could have, should have once upon a time But you actually, in this case we have an opportunity to preserve a real treasure. And I'm just glad that we're doing it all over again and it's resounding yes.
Just to clarify, we're not doing it all over again. We're getting some clarification and sometimes I think the process may seem very tedious but for myself as a decision maker it helps. It gives me a reason to make a decision that I make and so I appreciate my colleagues bearing with me on this but I feel very comfortable in this decision
6:23 – 6:296 turns
All right, we have a motion and a second. All those in favor say aye. Aye. Opposed? Motion carries. Thank you very much. Moving right along we'll go to item number five
Madam Chair, members of the board. Item five also from planning and development is a hearing to consider recommendations regarding the Historic Landmarks Advisory Commission's designation of the Irene and Frances Rich Beach Cabana as a historic landmark.
All right, Ms. Black? Madam Chair, members of the board this item again is before you today to consider designating the Irene and Frances Rich Cabana as a historic landmark Similar to the last case, your board has three options as shown on the slide. These include approving the action of the Historic Landmarks Advisory Commission in adopting their resolution designating the cabana as a historic landmark, modifying that action or disapproving the action and not landmarking the cabana.
This cabana has been considered for landmarking previously by your board. The first Historic Landmarks Advisory Commission nomination was considered by your board on December 7th of 2010. The Board of Supervisors, by a 3-2 vote, denied the designation. There is currently active Superior Court litigation challenging the board's denial of the landmarking. In July of 2011, the CARS, the owners of the Cabana again requested the Historic Landmark Advisory Commission designate the Cabana as a historic landmark. The HLAC approved the designation on December 12th of 2011 and on February 21st of 2012 your board voted to have this hearing to consider the HLAC's nomination.
This is a photograph of the car cabana. As you can see, it's downslope about midway down slope and it's located again in the Hope Ranch area of the Second Supervisorial District. The Historic Landmarks Advisory Commission considered quite a bit of material in their designation of this Kaban as a landmark. They considered the eligibility requirement contained in Chapter 18A, they considered the applicant's submitted materials including a historic report prepared by Neil Graffi and other materials in support of the nomination.
The applicant also submitted geologic and structural reports, which your board may conclude are not relevant to the landmark decision today. All of those materials were provided to your board for consideration.
Supervisor Wolk?
Ms. Black you said that the material is not relevant but I think I would like you to explain what the status is right now of the structure Because I need some clarity as to what, you know if it's red tagged or yellow tagged or whatever it is. Because even though we have whatever you said may not be relevant but in the record we have information that maybe different than what the county is saying.
Madam Chair and Supervisor Wolf. There were structural repairs conducted on the cabana, I believe by the previous property owner. The property was cited for enforcement actions. It has been yellow tagged for more than a year. We do have an application in process to consider permitting those structural repairs and we have some reports that substantiate those repairs which have not been fully evaluated because the application is incomplete.
Okay, I won't go through each and every one of the eligibility requirement again. There are nine of them and I'll really focus on those criteria that the HLAC found were applicable to their designation of this property as a landmark. And these include four. These include that the cabana exemplifies or reflects a small surviving remnant of the California Dream and was part of a notable arts colony that flourished on the property in the 1950s.
It is identified with persons or events significant to local, state or national history including the actress Irene Rich, the artist Francis Rich, Santa Barbara Mayor and Assemblyman and numerous notables from the arts and entertainment world. It has a location on the oceanfront bluff which is a unique physical characteristic and it is again one of the few remaining examples of beach cabanas surviving in the county.
Again, your board has three options. You may choose to approve the action of the HLAC by adopting the resolution designating the cabana as a landmark. You may modify the action of the HLAC by modifying the resolution either by changing the boundaries of the designation or the conditions of the designation and then adopt the resolution as it's modified by your board. Or you may disprove the action of the HLAC and determine I'm sorry, Supervisor Carbone?
6:29 – 6:467 turns
Madam Chair, I just wanted to discuss that. I also made a site visit to this Site and again it's it's very for me It was very helpful to see at first hand what the issues are the terrain and what have you so I just wanted to Stipulate
okay Supervisor Leaveny
madam chair. I also visited the site all the way down to the cabana
And I did as well. Okay, so we'll turn to the applicant who will have up to 15 minutes also.
Madam Chair, I would just again for the record indicate that ex parte communications in this legislative action are not required.
This was voluntary?
Good afternoon, my name is Julia Carr and I want to thank you for your time right off the bat. There's been a lot of time invested on everybody's part and we want you know we really appreciate the time you've invested so without further ado. We own the Irina Francis Rich Cabana in Hope Ranch. OK? Alrighty. The County Code Section 18A governs landmarking and we've been through that, And this clicker doesn't work.
It'll help, it'll help, it'll help. Okay all right and this cabana meets requirements of 18A. The HLEC unanimously nominated twice because it needs four requirements and only one is required It is a unique and familiar feature of Hope Ranch. That's at its appearance in the early 1970s. It represents its creator's vision of the California Dream, a simple structure in a magical and seemingly isolated seaside setting that are few left and there can be no more.
This is it today. The Cabana's appearance and setting are basically unchanged since its original construction in 1956. The Italian mansion to the far left has replaced a rich home and studios in Hope Ranch. The view from the Cabana Porch, the sea, the sky, the birds and the dolphins swim awry all help to create a magical setting. It can never be replaced. And I think everyone who visits it or has visited would agree that it's got quite a nice ambiance to it.
It is identified with people of significance not only one person but five people Irene Rich, Francis Rich, W. Donna McGillivray, Harold Chase and Pearl Chase This is a picture of Frances and Irene Rich at her Hope Ranch home. This is Irene Rich, she was one of our people who supports us called her a hottie. This was the hottie picture. Irene appeared in over 100 credited roles in Hollywood and Flying A productions.
Irene starred in one of the last films at the Santa Barbara's Flying A studio, our very own Flying A. Here's Irene with Will Rogers. He used her in eight of his films as she was a favorite star, he used her often as his wife and this is They Had to See Paris I've checked out a couple of these CDs at the library. They're available. They are things you can see today, right now you could go and rent one and watch it today. And this is just a sample of Irene's more than 100 credit rolls and many are still available for sale and viewing.
Here's a scene from Fort Apache. Irene is dancing. This is the opening scene, dancing with Henry Fonda in Shirley Temple. Here's Irene in a film with Jackie Cooper in The Champ. This was a silent film. This is Irene and Lady Windermere's Fan. Irene in Strongheart, Brawn of the North. I've been informed that that's a precursor to Rin Tin Tin right there. And here's one of my favorites. Irene with John Wayne in Angel and the Bad Man. That's Irene to the right. In the only film Wayne ever produced.
Irene has two stars on the Walk of Fame. This is Irene's star for motion pictures, her career spans silent films and talkies for over three decades. Irene also starred in Broadway with comic Bobby Clark she played the first female United States President maybe we'll see that in our lifetime Irene coined the term Dear John Letter, reading breakup letters in a decade-running radio show.
Dear John, sponsored by Welch's Grape Juice. And here is a little ad. Here are Irene Rich and Dear John Columbia Network every Sunday 540 p.m. Eastern Western Time. Here's Irene Rich with that Welch's. They were her main sponsor on the talk, the radio show and they claim she was their most powerful salesperson increasing sales by 638%. Irene also was a business woman. She did real estate very successfully in San Francisco. She is a stock farm owner and operator in Los Angeles and she was a spokeswoman for Lux soap and Maybelline. This is one of the first Maybelline ads and there's Irene Rich It is identified with persons of significance, Irene Rich and Diego Rivera.
Diego Rivera dedicated this self-portrait to Irene. The note reads, I painted this portrait for the beautiful and famous artist, Irene Rich, and it was done in the city of Santa Barbara of Southern California during the month of January of the year 1941. This is the current 500 pesos note. That is the self-portrait that Diego Rivera painted for and dedicated to Irene, and her name is printed right here under his image, Irene Rich, right there.
And that is in print, it says Diego Rivera autoritado dedicado a Irene Rich. Translation, Diego Rivera self-portrait dedicated to Irene Rich. We've not been able to confirm this but we're pretty sure she's the only American actress printed on Mexican currency. Irene commissioned Diego Rivera to paint this fresco for Francis' birthday. Rivera stayed with the Riches while he did this painting Here's a picture of Diego Rivera with Irene and Francis at their home in Hope Ranch.
Frances Rich was also a star of film and stage, albeit very briefly as an actress she was in a Broadway performance at a production called The Brief Moment and had a brief Hollywood career in Diamond Trail, Unholy Love, The 13th Guest, Officer 13th, Zoo in Budapest, and Pilgrimage. Frances Rich. Frances carved miniature sculptures from soap bars her mother received from promoting Luxe. I guess they got quite a bit of Luxe in the house and they couldn't use it all to wash themselves, so she was carving sculptures.
Melvina Hoffman, a famed sculptress noticed her talent and offered her formal training if she could get herself to Paris. Ray Schofield of Schofield Park provided the funds for that trip. Frances Rich and Lottie Lehman, who was her Hope Ranch neighbor. Frances sculpts famed opera singer Lottie Lehman in her Hope Ranch studio. This and 48 of Frances' other works were featured in a one-woman show at the Santa Barbara Museum of Art.
Frances Rich and Catherine Hepburn. Catherine Hepburn was Frances' close friend and traveling companion for more than two decades. She and Frances used the cabana to relax and enjoy each other's company. This bronze bas-relief tondo of Katharine Hepburn, currently on display in Athens is one of Rich's most accomplished portraits according to Robicose Megacalli's curator of her exhibit La Gazelle at the American College of Greece.
This is The Sigging St. Francis and this stood for decades on a Hope Ranch bluff overlooking the Okabana their home and her studios are all gone. This is a statue that she donated her time and talent to sculpting to the lady of Combermere. This was a visit of the Blessed Mary Virgin of Madonna House in Francis Hope Ranch Studio. According to Jane Mueller, prior to the delivery, the Von Trapp family of Sound of Music fame came to see it and burst into song as a ray of sunshine suddenly lit the virgin's face.
Francis Rich Arlington Cemetery. Francis served as a naval officer in World War II. She created an Arlington National Cemetery memorial, The Nurse. Admiral John Ford pictured here, USNR who commissioned the statue writes to Fran and her lovely lady Papa. Francis sculpts Diego as he works on her self-portrait dedicated to Irene. This picture was in the Museum of Art, our local history museum rather along with that bust right there which our museum currently owns.
And here's that display. It was in the Treasures Exhibit, the one that preceded the Flying A exhibit that is now on display at the Santa Barbara Historical Museum. And again, that is the original Diego Herrera bust that she sculpted of him while he painted the self-portrait for Irene. This is The Healer. This sculpture is in the Reeves Medical Library in Cottage Hospital.
This is Francis' St. Francis in the Santa Barbara Historical Museum Court, the only statue that is in the court at this time. Here's a picture of Francis with her last model Tina Jackson. She passed away in 2007 at the age of 97. She kept the Hope Ranch home until 1995 when Irene, her mother, passed away at the age of 96 in Hope Ranch. It is associated with persons of significance. Frances Rich, artist. Frances donated a majority portion of her very extensive art collection to the American College of Greece. It has an exhibit honoring her 100th birthday entitled Frances Rich La Gazelle. It began on December 13, 2010 and is still running today. It was supposed to end but it's still going on right now. And the college has plans to open the Frances Rich School of Art It is identified with persons of significance, Don McGillivray in Shoreline Park.
There's an honorary plaque there honoring him and dedicated to his efforts to help create it. Here's a picture of Don right here. This is Shirley Temple Black's thumb. My husband chose to cut Shirley Temple Black out of the picture. Honey! Anyway, back to Don. He was a two-term mayor, councilman and state legislator. This is the plaque that's at the Shoreline Point that has now closed off and the family is distressed about that.
His efforts were instrumental to the preservation of this land for Shoreline Park for the people he so loved. Donna Gillivray, once again. And here he is with the president, the Reagans. He's a presidential appointee to National Capital Planning Commission. W. Don and Dima Gillivray accompanying the Reagans on Air Force One. And Shannon, the granddaughter shared that her grandfather here was stooping down low because he didn't want to stand taller than the President.
And here's one of my favorite pictures. Don McGillivray, presidential appointee to National Highway Safety Council. This is a picture that appeared in the Santa Barbara News Press and it said on the back, That Presidential Look. That certainly is a presidential look and that picture was published with an article in the news press. is identify with persons of significance, Harold and Pearl Chase.
Many contributions, oh this is in Chase Palm Park so they're in stone as well. Many contributions to Santa Barbara's beauty and welfare and of course the Pearl Chase Society. Her namesake. Pearl Chase helped the planting of the trees. Jane Rich shares a very cute little story, but she's not here and I won't get into it, but it's very cute about the trees. How there were so many of them and I guess they weren't expecting them all to grow so fast and so well. Anyway, the cabana was surrounded at one point by Monterey cypress planted by the roof ridges with the help of Pearl Chase. The cabana was Irene's and Francis' California dream. They wanted it to look like a scene from Big Sur, and they succeeded.
Harold Chase helped with the setting. In fact if it weren't for Harold the cabana would not exist. He helped create the setting by splitting lot 115 several times in very unusual ways and changed the Hope Ranch requirements allowing the cabana to be built. The cabana has unique physical characteristics. It is a unique structure in a unique setting from a bygone era, only a few remain as a symbol of the California dream."
Here's a shot from above that captures its beauty quite well. Again, a unique structure and a unique setting from a bygone era, only a few remain as a symbol of the California dream. It reflects special elements of culture and social history, a community of the arts and artists. Irene and Francis created a magnetic setting for the arts and artists. Some who lived on the Rich's property include William Morbach, Charles Lloyd, Charlie Piper, and Ray Strong, artist and founder of The Oak Group.
Some who visited the Rich's property, Vivian Lee, Catherine Hepburn, Diego Rivera, Channing Peake, A community of the arts and artists. I'm not going to read this because Cherie is here in person today to read her support of preserving the Kibana for you today, but this is a section of the mural that is now in our airport done by Channing Peake. It reflects special elements of culture and social history, a continuing community of the arts and artists. Some who have vacationed in the Cabana include Enzo Ferrari, Steve McQueen, Ali McGraw, Anne Margaret, Rudolf Nerev, and E. Duke Vincent, the TV producer for Dallas.
Landmarking it has supported Santa Barbara's preservation community. The HLAC gave two unanimous resolutions, the Pearl Chain Society, the Santa Barbara Trust for Historic Preservation, Michael Redman of the Santa Barbara Historical Museum, Bill Graffi, historian and author, Carl Hutterer, Museum of Natural History, Joan Easton Lenz, Museum of Natural History, Jane Rich Mueller served on the Board of the Historical Museum. She is the daughter of Irene and sister of Francis Rich.
Public support is unanimous, and it is broad from beach walkers to actresses. Dima Guillivray herself came out to visit the Cabana and she let us know that she helped hue those beams herself and was just delighted to see it again. The Irene and Francis Rich Cabana, why declare it a landmark? It meets four of nine requirements of Section 18A and only one is required.
It is identified with persons of significance. Not only one, not two but five luminaries were involved in its creation. All five are significant locally, three nationally and two internationally. Irene and Francis achieved that level of fame with their talent, determination and hard work. The Caban is a familiar visual feature of the community for over 55 years and it is the last remnant of the richest home that can never be replaced.
It is one of the few remaining examples of its kind in our area. It reflects special elements of our county's history, the California Dream. Those in our local historic preservation community support its landmarking and preservation and it is a jewel that deserves to be added to the crown of Santa Barbara's Landmark Glory. Thank you very much.
6:46 – 6:5112 turns
All right, thank you for that presentation. Now we'll turn to the public and Mr. Allen will restart calling the speakers here.
Madam Chair, members of the board, we have 10 requests to speak. We'll start with Bruce Taylor and be followed by Adam McKaig. Then we will go with Adam is here?
Yeah,
and then Matt Kellins.
Hello, I'm Adam McKegg. I'm a Santa Barbara native and a realtor here in this area. I've visited this property my whole life walking down the beach looking up at it. I did sell the cars to this property and I eventually got to be in it. It's a spectacular property and as you know if those walls could talk they would say lots of things that we'd like to hear.
If they were talking right now, they would say save me. This is something that is of significance and we do need to keep for our future children and the future history of Santa Barbara keep this intact and preserved. Now the cars, they also as In preserving the other Kabanya, they are the perfect people as stewards for this particular Kabanya because they too respect history and want to preserve it intact as it was then and will be forever. Thank you.
Thank you. Matt Collins followed by Cherie Peak.
Good afternoon, my name is Matt Callance and I'd like to just speak about the Cabana for a moment. My father purchased the property from the riches so the first two or three months moving to that property, I lived in the Cabana with my family. It's a little tight but I do have a lot of history on that property on the Cabania The thought of it not being there any longer is really saddening to me and to my family.
I think it would be a great loss to Santa Barbara, I think the future generations do not have these pieces left on the cliffs would just be very sad. I would be very happy to see the cars be able to go ahead and restore this, continue to care for this property. And see it stay the way it is, the way it's been for many years. I'm a little lost for words, excuse me.
But I would thank you all for considering doing the right thing, which is to keep the cabana where it's at. Keep it intact. Be fortunate that we have people that are willing to take care of it, be good stewards to it as Adam said. Anyway, as I said, I'm a little lost for words. Not a great speaker but please if you can forgive my shortcomings there. Please consider to keep this cabana. It's a treasure and also I'd just like to say the funicular next door. I don't know if anybody in this room has ridden up and down in the funicular but from about the time of eight or nine years old I was up and down the funicular many many times So this whole coast right here, I know it very well. It'd be really sad to lose this piece of Santa Barbara and so hopefully we get on today and get through this.
Thank you very much.
Thank you Mr. Collins thank you for being here.
Next speaker is Cherie Peak followed by Robert Maxson
Hello to all of you and I'm going to read a letter that I've written in support of the Cabana So I'm sending this letter in support of the Cabana, which was once the former property of Irene and Frances Rich. The Cabana for me is an important part of the fabric of Santa Barbara history. So many artists and creative people stayed at the Cabana and it would be a pity to lose a place of its significance to our community.
My late husband Channing knew the riches and was a visitor at their place which was a meeting ground for artists, some with world famous reputations. The cabana occupies a lovely spot and it blends so well with the coastline. Please save this historically important structure for generations to come." And I just want to say, I feel like when we lose these places, we lose a little part of ourselves. There aren't many left. Thank you.
Thank
you Ms. P. Robert Maxson to be followed by Kellen DeForest
6:51 – 6:578 turns
You saw me out there, and you knew I had to say something for a different reason than the previous cabana. You heard my argument or comment at that time. I'm a firm believer is two or even three are better than one. And as has been mentioned, I like the terminology that was used and historic coast. My wife and I often walk up from Arroyo Borough Beach up above and we viewed this cabana. It's been there for more than a half a century folks.
It's not obtrusive in the least to a pedestrian or anywhere from down below. You have to look up and so not strain yourself but see it. My wife always has asked me, and now I know the funicular doesn't touch the thing, so that's another story. But anyway, it's not obtrusive from the coast, from just offshore. It blends itself beautifully well. Why destroy something that's been here for that period of time with this kind of background as to who it entertained, who enjoyed its views and who came in because indeed this is a unique coast, a unique spot on the coast. Once you say it is not to be landmarked, you know it will be destroyed in a short period of time whether through neglect or because of the different requirements of the Coastal Commission.
I urge you please follow the recommendations of the HLAC. Thank you. And
I would like to invite the President of the Board of Supervisors, Mr. Kellen Forrest,
to be followed by Sue Adams. As our president, Sue Adams will tell you, we put a chase to this side, supports this nomination and I don't know how it happened This is a landmark and thereby preserved for future generations. This gave the Cabana lifestyle that was so prevalent on our coast or on the coast of California, Generous and far-seeing owners an opportunity to landmark another cabalier.
Thank you, Mr. DeForest.
Sue Adams, followed by Adrian Shuley.
Hello again, Madam Chair and Board of Supervisors. The directors of the Pearl Chase Society have asked me to ask you to vote that this property be designated a county landmark. The data that you have just received more than substantiates the national and international fame of its original owners and it identified the structure as decidedly significant. We hope you accept the recommendation of the Historic Landmarks Advisory Commission and recognize your own appointee's expertise and their sound advice on this property.
Professional historians in the Cabana's current owners have expanded the documentation that more than justifies the criteria for historic significance They have demonstrated beyond doubt the importance of its builder, the well-regarded former Mayor Don McGillivray and the importance of the celebrated screen actors who built this seaside refuge. Even today many are aware of the artistic talents of Irene Rich and her daughter Frances.
Indeed if you visited the Santa Barbara Historical Museum in July, you would have seen the stunning sculptures of Frances Rich. Her notable works as you saw are in evidence all over the world. I should think this is what our history is all about. People like Irene and Frances Rich, whose names we won't remember unless their stories are told and something substantial from them remains behind.
We hope you will recognize the importance of historic continuity and designate the surviving Rich Cabana a Santa Barbara County Historic Landmark. Thank you.
Thank you. Adrienne Shule, to be followed by Mary Louise Days who is our final speaker. I'll tell you it's very exciting These are
the first landmarks that will be on Hope Ranch, which is so surprising to see as though it's so rich in history with so many wonderful things. And it is just so exciting to see it coming through. Let me tell you this property again had homeowners that were not good stewards of the property in the past. I really hope that the cars who have taken such passion to tell the story of this cabana that we have all walked by and actually used. You know that if you're at the cabana, if the tide is coming up because some of the best tide pools in the county are right there, that you have to, at the cabana, you know you've got about seven minutes to get around the point before the tide comes up. So it's real important for safety too. How's that?
New idea in there. But the previous owner did take some liberties to the property which were very upsetting to a lot of us And the cars are trying to correct these problems. They are good stewards, they have taken the passion to bring out so much history in Hope Ranch and I hope you'll applaud them and allow them to move forward by approving their historic landmark. Thank you.
6:57 – 7:1121 turns
Mary Louise Days, a local historian and a member of the Board of the Santa Barbara Trust for Historic Preservation. The cabana was created by significant artists you've heard there about their lengthy careers other well-known persons have been involved with it and they have been listed And I knew some of them. Something that has not been mentioned is that the cabana is of a mid-century architectural design, meaning mid 20th century. That status is becoming important in architectural history for the good examples of the style.
I have visited the cabana. It's in good condition, it's well kept and as you have heard in these two hearings today, as a land use, it is rare in the county. Other organizations have also supported the designation and I also urge you to designate the Rich Cabana as a county landmark. Thank you.
Thank you miss days. All right we'll bring it back to the board supervisor wolf this is in your district also thank you madam chair
So, our board made a decision back in December 2010. It was a 3-2 decision. That was our decision and it was brought back to HLAC by the owners of the Cabana. As you all want us to respect your decision we also have an opportunity to weigh in on certain things. I am sure as I'm sitting here that you will disagree with my decision. But when I made that first decision, I read through all of the information at that time there were two historians that had provided information on this cabana. We did get some new information that we have here and also information that was presented here.
I appreciate reading about these women. I appreciated reading about their relationship with Diego Rivera, but as we said in our last hearing, there are so many homes in our county that are full of Really unique histories. It was referenced a few times about the unique status of this particular cabana and the word unique kept coming up but I was waiting to hear something more about what makes the cabana unique. Now, the last speaker did touch on it by talking about it being unique and important as a mid-century structure but I didn't hear much about that.
I know about the architect, Mr. McGilvery. And maybe I just should stop because like I said at the beginning, I'm going to offend all of you. For me it doesn't rise to the level of historic landmark status. My colleagues may disagree with me. I've been there on the ground, I've seen it numerous times. I was invited to go into the structure but being informed that it was yellow-tagged, I chose not to do it. That was the reason. It wasn't because I had some predetermined reason not to go in there.
But be that as it may and I just, I can't make that decision to move forward especially when I look at the cabana that we just saw and the funicular. To me this doesn't rise to the same level so that's my opinion and if my colleagues disagree with them as always I will respect that but you know it's just not there for me.
Thank You Supervisor Wolff. Supervisor Lavagnino your light is on.
Well, and we did make a decision or the board had made a decision. And I'm glad it came back because my district was the deciding vote in the 3-2. Well, I guess any of that could have been any of the other ones but Supervisor Centeno had voted against it and so I was glad to hear it for the first time. I live in a city that has torn down every historical building practically.
And people made decisions back in the day, thought that putting a mall in the middle of town was probably going to be a great idea and economic development. So now I drive around with my kids and I tell them this used to be over here and this used to be over here and let's go to the Historical Society and look at the pictures and I keep pictures in my office of the way Santa Maria used to So I might be a softy when it comes to preserving things.
And I'm not here to argue whether or not there are issues with the property, there's definitely issues with the property. I mean we have yellow tags some owners in the past have made mistakes but I think We're setting the bar very high when we, if we're here to say that it doesn't meet any of the requirements of 18A. I think it easily meets a couple of them and you know by looking at it our HLAC board decided that it met four of them. It only needs to meet one so for me I think once something like this is gone as somebody said it's gone for good. We're never ever going to be able to build another one and so I'd be inclined to support tagging it
Thank you, Supervisor Lavagnino. Supervisor Gray?
Thank you Chair. I come from that same city and feel the very same way that everything we've had has basically been torn down. I guess the only reason City Hall is still there is because it's the least expensive building in town. But to go back to the county, someone talked about the county as a whole. This particular cabana has been kind of part of my life, my whole life. I was born and raised in Santa Maria and we would come to Santa Barbara to go to the orthodontist. I'm sure everyone's excited about that but these are truly the old days And on the way home, my mother would drive us through Hope Ranch so we could see all the nice houses and the beach. This was just a part of it to me. It's very historical and thank goodness the doctor isn't here to tell my age right?
Remember that one? That was cute! So I'm definitely supporting it. I think it is just amazing. The only thing I have to say is I've never heard of these rich ladies. I mean that was kind of a new one to me but when you showed the movies and so on It became even more interesting. So I'm glad that you're doing this, I support it and I'll be voting in favor. And I will make the motion that we accept this historical landmark designation.
Thank you Supervisor Gray. Supervisor Carbajal?
Thank you. You know it sounds like you need a Pearl Chase Society in Santa Maria so that you guys, now that you guys are getting with it we could do a lot more of this in our county. And I'm just kidding of course but I certainly appreciate my two colleagues from the north realizing that sometimes you can wake up and realize that we haven't been as diligent in protecting these types of treasures I was the one who brought that incentive package that didn't get adopted by my colleagues. And, I'm not just raising that but it's you know if we're really going to try to save more of these treasures we have to look at those incentives and I only say that so when I bring it back we can remember this conversation.
Because, you know, you got to walk the walk. And these will be gone and we won't have that fabric and that heritage that we all love to talk about and we all love to experience. You know, the Pearl Chase Society. What was that lady's name? Pearl Chase who kind of led the type of aesthetic view that we wanted here in Santa Barbara and if not for those types of individuals, the Pearl Chase Society, the unanimous Historic Landmarks Committee I could see why we have split votes but I haven't really heard of too many people opposing this. And as much as I have learned about historic landmarking and merits, I know our great courthouse was designated a national registered landmark.
I have really appreciated this heritage that we all love. In order to preserve it, we need to take proactive steps and do more to do so. So for me, the overwhelming support again reaffirms to me the site visit I did vote for it last time and I'm going to vote for it again today
Thank you, Supervisor Carbajal. And I didn't support it last time and still there are a lot of issues surrounding it that I don't like but I'm going to focus on what's before us today which is just the historical landmarking and I have to say that I have been convinced by the information that I received since the last hearing And that takes the form first of a conversation that I had with one of my appointees to the HLAC, whose opinion I highly value.
All of the additional information that has been provided that we didn't have at the first hearing It's significance to famous people and events. The testimony of people that we didn't have the first time from the Pearl Chase Society, from the Historic Trust and so on, from the arts community, Ms. Peek. And also the site visit that I did, I want to thank Ms. Carr for her time and her graciousness energy that she put into that and particularly for the conversation that I had with Frances Rich's sister, Jane Mueller at age 95 who was quite terrific. So to be intellectually honest, I do feel now that this is something that the community wants and is of value so I will support it this time.
Supervisor
Wolf. Thank you, you know I probably should just keep my mouth shut while I'm ahead but you know I feel like the statements that I when we had this issue before us there was a lot of discussion about the that Frances Rich used the cabana to do her artwork and And I had brought up the fact that, no, that wasn't the case. If you look in the record, that wasn't the case. And now in the new information there is now a photo of the studio on Chapala where, in fact, she worked with Diego Rivera to do a lot of the work.
So, you know, the fact is and then there was in the autobiography or, you know, the foreword of Frances Rich The fact that she loved her anonymity. There is a lot of information in here and I, in some ways it concerns me and that I don't really like the rhetoric actually that being intellectually honest and those types of things because I actually believe that I am intellectually honest. I may not agree with my colleagues but the fact is I don't like that type of rhetoric that goes on. If you want to vote for something, that's fine. But I really wish that there would be some semblance of understanding of where I'm coming from. You can change your mind. You can do whatever you want to do.
Excuse me. Anyway, I'll just...I'm not going to make a motion so I suppose someone else will.
I'll second. Thank you, Supervisor Wolf. I think that Supervisor Gray made a motion and that was for the first recommended action? Supervisor Gray is that correct? Supervisor Lavagnino is that your second?
Yes Madam Chair.
All right so we'll go ahead and have a roll call vote Mr. Allen.
Miss Gray? Aye. Mr. Lavagnino? Aye. Mr. Carbajal? Aye Ms. Wolfe?
No.
Ms. Farr?
Aye
Passes 4-1
Thank you, we'll go ahead and we'll go right on. Okay okay quiet please thank you
let's move on to item number six We need five minute break Well are they ready here
7:12 – 7:171 turns
Well, I don't know. Yeah. ¶¶ Thank you. ¶¶ Yeah. 2A 3.30 (-0.00), Yeah. ¶. Okay, let's start the next item here.
7:17 – 7:2317 turns
All right. We are back in session and taking up departmental item number six, the land development fee resolution. Mr. Allen would you read that into the record please?
Madam Chair, Item 6 from Planning and Development is a hearing to consider recommendations regarding the Land Development Fee Resolution.
All right Dr. Russell
Madam Chair, good afternoon Chair Farr and members of the Board of Supervisors. I am here before you today with a request that you reinstate fees for the processing of agricultural preserve contracts in the unincorporated area. The Agricultural Preserve Program is authorized by the Williamson Act, the goal of which is to retain land in an agricultural use. Much of the agriculturally zoned land in the county is under contract with a total of approximately 1,300 agricultural preserve contracts covering nearly 550,000 acres. Requirements for land under contract are included in the county's uniform rules.
These uniform rules require review of proposed agricultural preserve contracts. The fees for conducting such review were eliminated in 2006 for the stated reason of encouraging and preserving agriculture. Since that time, agricultural preserve contract review and approval work has been supported by County General Fund. The amount of general fund that has been expended on this work has varied from year to year, but it has amounted to one third to one half of an FTE each year.
If today's request is approved future work on agricultural preserve contracts will be revenue offset. The proposal results in changes to these four fees only The proposed fees include a flat $350 fee for the assumption of a contract. Other contract actions including new farmland security zones, modifications or replacements would require a $1,500 deposit. An agricultural preserve contract significantly lowers the amount of taxes paid by the landowner. The amount of savings varies considerably depending on a number of factors.
Overall, the value on the tax roll for all the properties under contract in the county is about 55% of the unrestricted Proposition 13 base value. It would therefore not be uncommon for a landowner to see as much as a 45% reduction in taxes. Today's recommended actions are to adopt the resolution to amend the land development fees effective on April 7, 2012 and determine the action to be CEQA exempt. That concludes my presentation. We are available to answer any questions that you may have. Thank you.
Thank you, Dr. Russell. Any questions from the Board?
Supervisor Grant? I don't have questions but I have comments. But I'd like to follow public comment if there is any. It doesn't seem like there is any. No
request
to speak. Okay. Yeah, well, I'll go ahead with my comments. I guess there is one question. Did this go before the Agriculture Advisory Committee?
Chair Farr, Supervisor Gray. Yes it did. I presented it to the Agricultural Advisory Committee myself and explained to them why it was that we were doing this, that it was a general fund and that it was in our opinion reasonable to have people basically pay for the processing of a contract which resulted in a significant tax reduction for the land that they owned People seem to understand there were no objections expressed by the AAC. Also, I misspoke on one thing.
The fees would become effective May 5th. Pardon me.
Well, I'm going to vote in opposition of this and I'm surprised that there wasn't some opposition. And I'd like to explain why to the rest of the board so that you'll get my gist. I think one of the biggest benefits we have in Santa Barbara County is having open land, ag land and that we're And so because we all benefit from that, then it is something that we should pay for. I have a complete different view about fees that I use. Like if I went to the park, I think I should pay to go to the park and if I don't go to the park. So I kind of put fees together and on this one, I think that the county as a whole benefits from having the Williamson Act. And the sad part is, the State is doing less and less. So that's why I just don't think that we should charge fees to have people put their agricultural property into the Williamson Act and keep it in Ag.
Thank you. Thank you Supervisor Gray. Supervisor Lavagnino?
Thank you Madam Chair and Mr. Russell I want to thank you for Presenting that yourself to the Ag Advisory Council and the fact that I got zero phone calls on this is a testament to the job that you did. And, you know, I thought when I first saw this that this was going to be an issue. If it's not for the landowners then it's definitely not for me. I'd like to see us recoup the fees. So I'm in favor of it. I'll be moving it forward.
Make a motion.
All right, any other comments discussion? Okay we have the motion and we have a second roll call vote.
Ms. Gray? No. Mr. Lavinino? Aye. Mr Carvajal? Aye Ms. Wolff? Aye Ms. Clark?
Aye
Passes forward
Thank you We'll move to our last item of the day Item number seven
7:23 – 7:3920 turns
Madam Chair, members of the board. Item seven is from the county executive office, Office of Emergency Services. It's a hearing to receive and file a report from the Office of Emergency Services Management regarding continued improvements in emergency public information capabilities throughout Santa Barbara County operational area.
Great, thank you. Good afternoon Mr. Harris.
Afternoon madam chair, members of the board. Thank you very much for squeezing us in at what has been a very busy day for you. I'll turn this over to Joe Guzzardi. Joe is an emergency manager with our department, in addition to his duties in managing the Homeland Security grant program communication systems. Joe's been putting some effort in with our local partners specifically around emergency public information. Joe has been with the department for a number of years and I will let him explain the department's ongoing efforts.
Good afternoon, Madam Chair and board members. I'm just going to give you a brief update on what we're doing with the in the field of emergency public information. I want to quickly go through some slides. As you probably all know, in the business of emergency public information we're focusing on a lot of the questions about what's going on. Who is doing what? When? Where? How? Why?
There are a lot of partners within this topic, this discipline Number one, the community. Obviously there's a need for information at every stage of the incident. The folks that live in the community need to know what's happening and what they need to do to protect themselves or avail themselves of some of the services that we provide during an incident. The media, of course, becomes an ally. We actually use them to get our information out so when they're chomping at the bit for the facts of the incident we're happy to provide it so they can serve the community as well. You, the decision makers are another partner in this whole situation.
We understand that you need the information to make decisions during an incident and also to serve the constituents that you work for. And then lastly each other, each of the public information officer pieces of this puzzle. All of us that work in this field need to talk to each other to make sure that we're giving consistent information and accurate information to you and the media and community all the partners that we serve.
The next slide please. So to this end, we have teamed up with a group that some of you may be familiar with. It's called EPIC. It's the Emergency Public Information Communicators Group. It was actually started by a former public information officer with the County Fire Department, Charlie Johnson and some other folks in the community, Yoldie McGlinchey with City of Santa Barbara, Mike Williams with the Wildland, I forget the name of their organization, up on Painted Cave.
And some other folks. So what we've done is we've embraced EPIC as a part of OEM to sort of create a more bonafide group. This group literally includes every public information officer type in the operational area throughout the county.
Excuse me just a moment, Supervisor Wolf? Thank you. Sorry to interrupt
you,
Mr.
Guzzardi, but I first just want to thank you for being here and providing us with this update. This is... Sure. I know this is important and really relevant information. And when you talk about EPIC, I think since I've been on the board is when EPIC maybe got started and we were kind of working on parallel tracks And so it's really good that you've taken that leadership role or your department has to engage with EPIC because the more people we have on the same page, the better it is. So I just want to compliment you and Mr. Harris' staff for moving in that direction. Thank you Madam Chair.
Madam Chair, Supervisor Wolf thank you very much for acknowledging that. It was following the Gaviota fire that EPIC was born so it's a few years back. So what we've done is we've embraced this group. It actually turns out I've been creating a large spreadsheet of the members that we have and literally as I said members of the media, some of the members of your staff Members of the different cities, the county, a lot of different agencies.
Just as many folks as you can think of that would be interested in this topic is part of this EPIC group. It totals a little over 100 individuals right now and when we have our monthly meetings we usually get anywhere from 30 to 40 to 50 depending on everyone's schedule. So at these monthly meetings, what we're trying to do now with EPIC, now that it's part of OEM is to create training sessions, collaboration sessions, opportunities for folks to work on, to hone their craft in the field of public information.
In May, May 9th and 10th we're getting TEKS. It's called Texas Engineering and Extension Service. It is funded by the federal government. They come out of College Station, Texas as part of Texas A&M. What they do is provide expert professional trainers to come and teach folks on a variety of emergency management topics including public information. Two day course that we, uh, that is coming here to our jurisdiction free of charge all funded by the federal government. Is
there a question? Excuse me just a moment. Yes, Supervisor Carbajal.
Thank you Mr. Harris. Is this an offshoot of all those early discussions we had at the roundtable that Mike Brown You and I pulled together with the media after all those disasters, and we found out that we had no check. That really there wasn't the infrastructure to bring about the type of communication strategy that was completely absent And we realize that we don't really have much. Is this a
building on that? Madam Chair, Supervisor Carbajal, it is a building on that. For example, this group is made up of the people who would help form a JIC, who participate as PIOs. I think next week we have a meeting with the management from the various media outlets to again continue that dialogue. Mr. Guzzardi's building that bridge between the two groups, the EPIC and the Media Managers Roundtable.
Thank
you. I want to
thank you because oftentimes, you start those conversations and you never know where they go. And I see that we've come full circle and I really appreciate your not dropping the ball and continuing that progress. But certainly it does...I will say we're going to a very rosy place but if you recall where we came from, we had no JIC, we had no interoperability with all the cities We had a lot of deficiencies, and I think this is going to get us to a place finally that I think we were all yearning for. So I want to thank you for your leadership in continuing to move that infrastructure
forward. Madam Chair, Supervisor Carbajal, thank you. I will just underscore that public information and let Joe continue here but remains it's a difficult, difficult area. I think whenever we had the fire up on the summit there the other night from the winds, I feel that a lot of calls from the media about a meteor starting the fire gets out in the world spend a lot of time just dealing with stuff like that so I'll let Mr. Bizzardi continue but thank you very much for your comments.
Adam Chair, Supervisor Cobblehall. Thank you also for your comments in that regard we are trying to fill all the gaps that we had from years ago and as you'll see as I go through the remaining slides I think you'll see that we're trying to do that so we have this training scheduled in May 9th and 10th for the group we're going to invite any as many as we can but we have a maximum of 30 folks that can attend that course we do have the ability to bring it back as often as we can fill a room with 30 more people Also, there's a campus in Emmitsburg Maryland. It's run by FEMA and it's called the Emergency Management Institute.
We're going to be sending some folks hopefully back there either in July or September depending on the scheduling to get into that course. That again is all free of charge. The federal government pays for travel and housing and registration for that course. Most of the trainings that I try to find for our folks in the field of emergency management are funded by either the federal or state government free of charge.
So keeping in mind, there's a difference as Mr. Harris just said, in the folks that make up the 100 that fill EPIC, there are a variety of different types of folks. There's field PIOs, there is an emergency operations center PIOs There's folks that work in your offices that are representatives to elect officials, there's media. So what we're trying to do, the difficult part as Mr. Harris alluded to is making sure that we're meeting the needs of all these divergent types of folks that make up EPIC and that is I think our biggest challenge.
We also have incorporated a newsletter. So something that we're going to be sending out electronically is a, we're going to try to do a monthly newsletter and not quarterly or bi-monthly. We're going to try to do once a month a newsletter that explains everything that we are doing in this effort of improving our discipline of emergency public information. And some of you may have seen it by now but if not I'll forward the copy of that newsletter. We had our inaugural newsletter just a couple weeks ago The main thing that we're doing also with this EPIC group, we're creating trainings each month. We're trying to make them very productive. This coming month in March, by the way the meetings are held the fourth Thursday of every month and at this meeting coming March we're going to be hosting an American Red Cross certificate program in disaster Management training.
And it's something that the Red Cross sponsors, the folks that go out and represent the Red Cross need to be certified in this course and what we're going to do is we're going to just encompass this into an EPIC meeting. So the collaboration and the team building is what makes everything work during an incident. When we bring Divergent, the cities in the county and the different school districts together to work together on a message to the community, we all have to work together and collaborate and know what each other does, know what each other wants to make sure that it works properly.
And to do that, we're already on the equipment slide. I'll try to speed up. We do incorporate a lot of different technologies in doing what we do. And I wanted to list some of them. Some you may know about, some you may not. You know the usual rate that the conventional radios and telephones that we have. We also use disaster service workers, in other words the ham radio operators who do I have to say the Aries, the RACES ARIES ham radio operator is doing an outstanding job of providing Emergency communication for our county, actually throughout the nation.
They've been doing it for quite some time. They're the last resort and they're usually the best resort. We've also incorporated a wide network of Iridium and Inmarsat satellite phones. The Iridium phones were purchased through Grant again and I want to remind you each time these were at no cost to the county for the original purchase So we have I believe approximately 60 to 65 iridium satellite phones that have been distributed to law enforcement, fire and other key organizations public works throughout the county.
CEO Waller has one of the phones as well. This is something that we can use in the event of an emergency when the cellphones, traditional phones go down. Supervisor
Gray.
Thank you, I'd like to take this opportunity to point out again the importance of the satellite situation because all of the small kinds of things are good as long as grid doesn't go down and once the grid goes down we're in a world of hurt but right now my understanding is that the total county is covered by the radio so it's as the saying goes if all hell breaks loose You can always walk out to your car and turn on the car radio, and because they have the satellite phones that connect them, the guys that are the DJs that are there running the radio. Because they're there you're going to get the news. So if our cellphones fail us and everything else We've got that and it's just yay, bravo. The only thing I wanted to be sure of is that the operators have their generators are going to be running their radio stations and they'll need, they've got 48 hours worth of fuel but need to be put on a list so that if it goes beyond 48 hours, they're designated recipients of the importance of fuel.
And you guys probably already thought of that.
Madam Chair, Supervisor Gray. Yes we have all of the things that you mentioned and moving on also to the teleconference. We also have acquired the service of an out-of-state teleconference provider as well so if we can't incorporate the in county teleconference system we have the ability to go to a neighboring state tie into that system which in a big event the theory is that will work if our internal system goes down So what we've done is, there's a running theme in all these equipment categories and that is redundancy. What we're trying to do is make sure that at some point somehow some way we can talk to each other whether it is with the satellite phone or with the other traditional equipment that we have The other thing, the project that we've just basically finalized is a helicopter video downlink project.
So we have a FLIR camera that's mounted on one of the sheriff's helicopters, one of the small ones and we now have the ability to send that feed live into the EOC and then because of the other videoconferencing network that we created again through Homeland Security grant money With no charge to the county, we were able to incorporate that video feed literally into your desktop computers. So if we invite you to a videoconference meeting while the helicopter's flying, we have the ability to show you that feed at your desktop and we're going to be scheduling... We tentatively have a schedule in early April on demonstrating that system with a high-def camera At the EOC, we're going to be hosting a demo for several agencies and an LA County Sheriff's helicopter that is coming up here to prove that we have not only the interoperability but the mutual aid ability to get someone else up here to use the system that we have in place.
This again was an elaborate downlink system that was funded by federal grant dollars. The other, and we're also teaming up again as I said before with the media. So we incorporate all of our technologies with the media and we make sure that they do have the backup generators because none of these most of these systems won't work unless you have some sort of power.
Another aspect of what we're doing with the emergency public information is the new social media. And this is the hot topic, this is what everybody talks about now. We're now competing with instantaneous information and to that end we've incorporated these four different technologies that are part of the social media The one that's most popular right now seems to be Nixle. We were able to acquire a contract with Nixle again through grant funds from the state and now we have a system that we can send out, some of you I think have received Nixle alerts and I know Michael Harris is chomping at the bit to talk a little about Nixel because it's his favorite project so far.
7:39 – 7:435 turns
I'll just briefly mention that this is still a program very much in development. We're working with the other agencies that all can have their Nixle account, and we can share information with the public on different aspects that may be unique to them. The Nixle account automatically goes to our Facebook account. Facebook, we keep our Facebook site open. So you can look at our Facebook site without having to be a Facebook member.
And it also, of course, can be held on a mobile smartphone so when people get evacuated from their house they can continue to receive the information. So Joe's right we're trying to tie all these systems together and then of course you notice the reverse 911 which is managed by the Sheriff's Department I think Joe's point is well taken in that we don't want people to have to go and enter different types of information from the public information side. So tying all these systems together, when we do a Nixle it automatically broadcasts to Facebook, it automatically broadcasts to Twitter and makes it available on the Internet.
And the last component of this effort is public education. And again, through a grant through the Aware and Prepare program we've been able to secure the services of a pub ed professional who is also bilingual. She has a lot of experience in reaching out to different communities and using non-traditional ways to communicate the message both in English and Spanish. What we're going to be doing is teaming up With this pub ed professional to incorporate her efforts in public education and our efforts into expanding our abilities in emergency public information, to make sure we cover all the bases. In getting the message out to the community either before during or after an emergency And then lastly, the next steps that we have again I'll mention that we have the TEEX trainers coming in May.
We're going to be sending some folks. Oh, I'm sorry it doesn't match up does it? Emphasis on PIO training and again with American Red Cross are going to be incorporating their certificate program And as Michael Harris said a moment ago, we're going to be meeting with the Media Management Group and trying to make sure that we collaborate and team up with them so that we're all on the same page when it comes to this emergency public information that's going out to the community through the media. And then lastly I think we have a tentative date of April 17th To secure the services of a professional instructor to come and work with the Board of Supervisors, your board on your role during an emergency. Every, as I said earlier, every component of our EPIC group has a different role to play in the same field of emergency public information, and you have an important role as well.
And that will be part of the training that we bring in April. And that concludes the presentation if you have any questions.
Thank you so much. Supervisor Wolf?
Thank you, Madam Chair. I really appreciate your presentation. You know now we have this great EOC but I've always said you can have this great building but it's really the people inside that are the most important. So I just want to thank you for your work. I'm really looking forward to our exercise in April and I want to just say and thank you. I don't know how many times you mentioned that we are able to get some of these services because of state or federal grants, and we don't get those items or we don't get the grants unless they're being written. And I know as we see in our agenda, we see that all the time, the grant writing that's going on in your department.
If it wasn't for that, we would not have these opportunities. So I just want to again express my appreciation and look forward to our April meeting. Thank you.
All right, motion and a second to approve the report. All those in favor say aye. Aye. Opposed? Motion carries. Thank you very much. Do we have anything else we need to do? Supervisor Gray.
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Well I'd like to adjourn this meeting in honor. I'm going to start with David Georgie and David Georgie even though he's from the 2nd District he's kind of like related to me so Janet said I could talk about him David went to Goleta Union School District, Lacombra and Santa Barbara High School. He then went off to Cal Poly and majored in citrus farm production.
Lifelong member of the Farm Bureau, Goleta Rotary, and he was a farmer but this is the part that is probably the most interesting In 1993, the Cavaletto family celebrated their 100th anniversary of coming to Goleta. And then in 1996, the Georgie family celebrated the same thing. So the Cavalettos and the Georgies have definitely been the center part of Goleta Because of 4-H and farming and stuff, I just sort of ended up kind of a shirt tail relation. And I will miss David a lot. He was a wonderful, wonderful person.
And secondly, I'd like to adjourn in honor of Mary Arlene George Perry. Mary was born this is a real ranch girl here folks. Mary was born in Sisquack in 1921 And she then married and she lived, oh she also lived at Regina Mariposa on the coast. And then she marries George Perry and they go to the San Julian Ranch and live at the San Julian Ranch. Then they live at the Coho Ranch And then they finished up before Mr. Cherry died, they lived on a Halama Ranch and Mary is the sister of Alice Milligan who was very prime in building most of the schools that are in the Lompoc Valley so Mary passed this last week and we'll miss her very much. Real ranch girl! Thank you very much.
Thank you Supervisor Gray for those remembrances and the families will be notified that we are adjourning in their honor. And we will be adjourned now until next week when we meet in Santa Maria, thank you everybody. Thank you.