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HomeMy WebLinkAbout03.d. Set public hearing re lease on Kiewit propertyCentral Contra Costa Sanitary District 3 ' BOARD OF DIRECTORS ' POSITION PAPER Board Meeting Date: November 17, 2011 subject: SET A PUBLIC HEARING TO DECLARE LAND AS CURRENTLY UN- NEEDED AND AUTHORIZE STAFF TO AMEND THE CURRENT LEASE WITH COUNTY QUARRY FOR THE KIEWIT PROPERTY Submitted By Initiating Dept✓Div.: RANDALL M. MUSGRAVES ADMINISTRATION DIRECTOR OF ADMINISTRATION REVIEWED AND RECOMMENDED FOR BOARD ACTION: _9�J41q l M graves K. Alm James M. elly, General Manager ISSUE: The Board must conduct a public hearing to declare District land as un- needed and authorize staff to execute lease agreements. RECOMMENDATION: Set December 15, 2011 at 2:00 p.m. as the date and time for a public hearing to receive comments on declaring the Kiewit Property (APN 159 -140- 051) as currently un- needed, and authorize the General Manager or his designee to amend the current lease with independent operator, County Quarry (for use as a clean fill site), to extend it to December 31, 2012. FINANCIAL IMPACTS: The District will receive additional income by allowing clean fill to be deposited on the site for a fee. ALTERNATIVES /CONSIDERATIONS: The alternative to this action is to abandon clean fill operation lease income from this property and therefore, the Board of Directors may decline to establish the recommended hearing date. BACKGROUND: The District has leased its Kiewit Property parcel for a clean fill site to obtain revenue. The site is approximately 33 acres and located between Grayson and Walnut Creeks, Highway 4, and Imhoff Drive adjacent to the District wastewater treatment plant in Martinez, Contra Costa County, California (see Attachment 1 for a site map). The vacant property is owned by the District and used as a buffer zone for the wastewater treatment plant located to the west of the project, across Grayson Creek. The project scope consists of filling the site with clean fill to match the elevation of Imhoff Drive to the north. The site will be raised a nominal five feet to an elevation estimated to range from 20 to 23 feet above sea level. A private lessee /clean fill site operator, County Quarry, was selected by the District to design the project, obtain permits, and operate the project over its expected five -year life. The impact of the slow economy on the fill operation has prevented its completion at the pace anticipated and an extension of the time for completing the fill operation is POSITION PAPER Board Meeting Date: November 17, 2011 Subject. SET A PUBLIC HEARING TO DECLARE LAND AS CURRENTLY UN- NEEDED AND AUTHORIZE STAFF TO AMEND THE CURRENT LEASE WITH COUNTY QUARRY FOR THE KIEWIT PROPERTY needed. Due to the one -year lease extension being requested for County Quarry rock and asphalt reuse property (APN 159 - 140 -052), staff is recommending the Board also extend the Kiewit Clean Fill Operation lease with County Quarry until December 31, 2012 in order that both lease terms coincide. An additional extension of this lease will be considered next year during the anticipated extension negotiations on both properties. The Board previously held a public hearing under Health and Safety Code 6514.1 on the Kiewit property on August 11, 2005. At that hearing, the Board considered such things as the compatibility of the proposed clean fill operation with District activities and whether the Kiewit property would be needed during the proposed term of the new lease. No material changes have occurred since that date with regard to the compatibility of the proposed clean fill operation. RECOMMENDED BOARD ACTION: Set December 15, 2011 at 2:00 p.m. as the date and time for a public hearing to receive comments on declaring the Kiewit property (APN 159- 140 -051) as currently un- needed, and authorize the General Manager or his designee to amend the current lease with independent operator, County Quarry (for use as a clean fill site), to extend it to December 31, 2012. Attachment 1