HomeMy WebLinkAboutMinutes 2004-04-01 MINUTES
CITY COUNCIL
AND
CONFERENCE CENTER AUTHORITY
CITY OF SOUTH SAN FRANCISCO'
SPECIAL JOINT MEETING
THURSDAY, APRIL 1, 2004
MUNICIPAL SERVICES BUILDING
COMMUNITY ROOM
313 ARROYO DRIVE
Cassette Tape No. 1
1. Call to Order:
5:45 p.m.
2. Roll Call:
Present:
Councilmembers Fernekes*, Garbarino** and
Gonzalez, Vice Mayor Green and Mayor
Matsumoto*
Authority Commissioners da Cunha, Metz,
Noftsger and Rosaia, and Chairman Dworetzky;
Ex-officio members: Mike Wilson and Laurie
Masetti
Absent:
Commissioner Herbert
*Also member of the Conference Center Authority
**Councilman Garbarino arrived at 5:50 p.m.
Staff Present:
City Manager Wilson, City Attorney Mattas,
Assistant City Managers Nagel and Van Duyn,
Conference Center Executive Director O'Toole,
Finance Director Steele
Others Present:
Emily Fancher/San Mateo County Times and Nat
Friedland/Exam iner-Independent
3. Public Comments: None
Study Session: Discussion/Direction regarding South San Francisco Convention Facility/
Hotel Development Options
City Manager Wilson gave a brief synopsis of Council's direction given at the joint session,
June 3, 2003.
Mayor Matsumoto questioned City Attorney Mattas' opinion related to the financing option of
a developintg a convention center hotel by using a tax-exempt non-profit corporation approach.
In reference to state law, City Attorney Mattas stated that a legitimate public purpose exists to
proceed with this type of action and it is reasonable.
Staff report and visual presentation given by Conference Center Executive Director O'Toole
and Finance Director Jim Steele.
Councilman Fernekes stated his support and concerns for the project. He discussed the
possibility that the State may take more of the City's redevelopment funds if the Local
Taxpayer and Public Safety Protection Act initiative is not approved by the voters in
November. He also felt that if Measure A isn't approved, cities will have to designate more
funds toward transportation projects. He proposed going forward with the land study for the
Oyster Poinl area, as it is justified, but he could not support money being spent on the
feasibility study until after the November election. Assistant: City Manager Van Duyn
estimated the cost of the land study at $100,000.
Councilman Garbarino agreed with Councilman Fernekes and urged caution until the result of
the November election is known.
Councilman Green discussed the purpose of the land study, which staff explained will provide
information on alternatives for the future development of the, 56 acres, including ancillary uses
and infrastructure.
Authority Chair Dworetzky suggested the preliminary work 'begin and to not lose the
opportunity of the low interest rate environment by waiting until after the November election.
He contended that the updated hotel scenarios and potential costs might be helpful in
positioning 'the City/Authority.
Councilman Gonzalez questioned the risks involved and what studies other than the land study,
can be undertaken at this point. Director O'Toole stated that work is currently at a standstill
and the update to the feasibility study and construction costs are needed to move forward.
Mayor Matsumoto asked that she be provided with information on what types of business are
being turned away due to the size of the center. She further ,questioned the strategy to build
both structures (hotel and convention center) concurrently, which staff stated would need to
occur at an estimated cost of $110+ million.
Further discussion of the conference center's history, transient occupancy tax ($2.50 hotel
room tax), current center users, and phasing the additional feasibility studies ensued.
Councilman Gonzalez stated his optimism that the economy will recover and suggested a
portion of the feasibility study be started.
Mayor Matsumoto stated support for going forward with the: additional analysis, as long as it
did not commit the City.
Councilman Green asked if the current center will stay in existence if a convention center is
built and staff indicated that it is unknown and a financial feasibility study will look at that
option.
SPECIAL CITY COUNCIL MEETING APRiL 1, 2004
MINUTES PAGE 2
In response to Councilman Gonzalez's question regarding the land study, staff indicated that
the study would take three to four months to complete.
Authority member Metz's asked if a dollar amount can be placed on the business that is lost at
the conference center and Director O'Toole stated that numbers have been provided in monthly
reports, but more detailed information can be included.
Mayor Matsumoto reiterated her support for completing the more detailed studies.
Councilman Fernekes reiterated his concerns, and staff indicated that over $100,000 has been
spent to date:.
City Manager Wilson recommended that a land use study go forward; that Conference Center
staff prepare the necessary RFP document--at staff level; that City staff contact King Ventures
and San Mateo County Harbor District to discuss their status/direction at Oyster Point, and that
the only money being spent on the', project will be invested irt the land use study.
Chair Dworetzky polled the Authority to direct Conference Center staff to prepare the
necessary RFP document for the Authority to review, at no cost. Authority Commissioners da
Cunha, Metz, Noftsger and Rosaia concurred; Ex-Officio Masetti stated she is a non-voting
member; Councilman Fernekes concurred; Mayor Matsumoto concurred, with reluctance.
Mayor Matsumoto polled the Council to direct staff to come back to Council with the request
to retain a consultant for the Oyster Point master plan. Councilmembers concurred.
5. Adjournment
Being no further business, Chairman Dworetzky adjourned [he Conference Center Authority
meeting at 7:30 p.m.
Being no further business, Mayor Matsumoto adjourned the City Council meeting at 7:30 p.m.
Submitted by:
Sy'~/via M. Payne, City ~ierk
City of South San Francisco
Approved: 1 ~
Karyl ~atsumoto, Mayor
City of South San Francisco
SPECIAL CITY COUNCIL MEETING APRIL 1, 2004
MINUTES PAGE 3