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Facing on Imperial

Kaiser has eye for a NASA land parcel

By John Adams

DOWNEY-Key executives with Kaiser Permanente have had preliminary talks with the City of Downey over a proposed development of the "institutional" portion of the Sedway site plan of the excess NASA land at Boeing facing on Imperial Highway.

The Sedway site plan, prepared as part of a four month study by the expert San Francisco advisory group and paid for by the City, was just revealed at a City Council meeting two weeks ago.

The Downey Eagle has learned that while Kaiser considers these talks very preliminary in nature, the company's plan would occupy the major portion of the "institutional" area outlined in the Sedway site plan.

This would be a great step ahead in the City hopes to use the property to develop good-paying jobs to replace those lost by the pending closure of Boeing this summer.

Council subcommittee

The Eagle learned that Kaiser discussed its general proposal for the property located at the south end of the Boeing site with the two members of the Downey City Council last week. The subcommittee members (Councilwoman Joyce Lawrence and Councilman Keith McCarthy) reported to the rest of the Council later in closed session.

Downey City Manger Gerald Caton, while confirming a discussion took place, had no further comment at this time, other than saying Kaiser Permanente would be an admirable tennant for the "institutional" portion of the development.

McCarthy also confirmed the meeting with Kaiser.

Not yet City property

The "institutional" portion of the Sedway site plan is not in the 68 acres currently being acquired by the City from NASA next month, but rather in the area to be vacated by Boeing later this summer, land of which terms of acquisition by the City are yet to be negotiated with federal officials.

The City has "first offer" privileges to the property, and its case would no doubt be strengthened by a potential tenant of Kiaser Permanente's stature.

Kaiser also operates its present Satellite Center at Imperial Highway and Bellflower Boulevard just to the east of the proposed development, which makes the expansion plan logical.


Council holds up ground lease; seeks a master developer

Hopes for best use of NASA land

By John Adams

DOWNEY-The Downey City Council has declined to authorize the execution of a ground lease for a portion of the excess NASA property at Boeing about to be acquired by the City, and instead extended the expiration date of the Master Agreement between Tooley Development Company and the City for 90 days.

In a related action at Tuesday's meeting, the Council authorized staff to complete the selection of a master developer, a position which Tooley is welcome to compete for.

Tooley's appeal

Bill Tooley, spokesman for the company, appealed for the execution of the ground lease with his company now, saying Tooley had spent more than $800,000 thus far on the project. But despite an appealing slide presentation, the firm could not sway the Council, whose members were dismayed by the Tooley emphasis on warehousing as a major portion of the first phase of the development. Tooley said warehousing is needed at first and that small manufacturing and possibly high tech will come later. But the Council, with the Sedway Report (final version of which was presented to the Council just two weeks ago), and Sedway's proposed plot plan in hand, felt differently. The Sedway study, done by a team of experts and paid for by the Council, supports the concept of a business park with mixed use with many higher pay positions. As Councilwoman Joyce Lawrence said, the promise to use the land to develop good paying jobs (to replace those lost by Boeing's pending pullout) has been the goal all along. Of the Tooley proposal, Lawrence said, "I think we can do better. I don't want this plan."

Willing to wait

Councilman Keith McCarthy said he felt the concept had to be "long term," and said he was willing to wait for a master development plan.

Councilman Bob Winningham said the project will take time, adding "I hope Tooley can be part of the master development plan."

Councilman Meredith Perkins was more pointed, saying, "Tooley is saying they can't deliver what we ask of them."

Doesn't eliminate Tooley

Mayor Gary McCaughan stressed that "90 days doesn't eliminate you. It gives you a chance at the whole proposal."

The Council vote was unanimous not to act on Tooley's ground lease for 36 acres, but to allow the firm 90 days to prepare a master development proposal for the total acreage in competition with others to meet the council's desire for a business park with higher paying positions.

In other action the Council:
* Unanimously approved an agreement of assignment of potential claims with the Downey Community Hospital Foundation. The agreement assigns and gives to DCH whatever rights, claims, or causes of action, if any the City might have against third parties arising out of the construction defect alleged, including an air shaft of the building. The City, however, makes no representation or warranties that any such rights, claims or causes of action exist. In turn DCH agrees to indemnify, hold harmless, and defend the City against any suits, claims, or causes of action arising out of the construction defect matter asserted against the City by third parties so long as 1) DCH has made a demand of or instituted an action against such third party, and 2) the City is named a party to any suit, claim or cause of action asserted by such third party. The City agrees to cooperate with DCH in the Hospital's efforts to receive reimbursement relating to the construction defect matter, and will make its employees and records available.

Hospital Commission

* Approved City staff to prepare documents to create a Hospital Commission of at least 10 members to meet at least four times a year, with five members to come from Downey Community Hospital. The vote was 3-2 with Councilmembers McCarthy and Lawrence dissenting. The motion was initiated by Councilman Winningham.

The Commission will have no investigatory power and is advisory only. Winningham said he hopes it can help bring the community back together.

Councilman McCarthy initiated a motion passed before Winningham's to have the City Council dedicate one meeting a year to present DCH documents to the public. McCarthy hoped this would alleviate the need for a Commission. His measure passed unanimously, but Winningham's measure passed as well.

Members of the audience including Betty Ferraro, Lennie Whittington, Dr. Vernor Waite and Ian Wallace also urged the formation of a Commission. Ferraro pointed out such a Commission had been urged before the Council two years ago.

In further action, the Council:
* Following a public hearing, adopted an ordinance approving a zone change from R1-6000 to M-1 (Light Manufacturing) for property west of the Rio Hondo Channel and south of Foster-Bridge Road at the request of applicant C.T. & F., Inc., which wants to develop the area for a storage facility.

Presicci

* Presented certificates of appointment to Phil Presicci as a member of the Personnel Advisory Board from District 4, and Jerry Miller as a member of the Recreation and Community Services Commission from District 4.

* Approved a cash contract for $127,833 including three contract change orders for the Phase 1 of the replacement of a 5,000 gallon underground storage tank at Fire Station No. 1 on Paramount Boulevard.

* Received and filed the Comprehensive Annual Financial Report for the Fiscal Year ending June 30, 1998.

* Approved the allocation of a portion of the Community Development Block Grant funding for improvements of $35,403 for new flooring, ceiling tiles and counter tops at Golden Park.

* Approved referring the appeal of a massage permit for Young Sook Kim to a hearing officer.

Appointments

* Approved the appointment of A.A. D'Alessandro to the Planning Commission from District 4.

* Approved the reappointment of Mervyn McDonald to the Parking Place Commission from District 4.

* Approved the reappointment of Robert Shand to the Water Advisory Board from District 4.

* Approved the reappointment of James Doran to the Water Facilities Corporation from District 4.

* Approved the reappointment of Delores (Dee) Bacus to the Emergency Preparedness Committee from District 4.

* Approved the reappointment of William (Bill) Hare to the Citizens Health & Environmental Sanitation Committee from District 4.

* Approved the reappointment of Dr. Norbert Hillecke to the Citizens Health & Environmental Sanitation Committee from District 4.

* Approved the reappointment of Doris McArthur to the Traffic Committee from District 4.

* Approved the appointment of Janice Allen to the Library Advisory Board from District 4.

* Approved the appointment of Ralph Jenney to the L.A. County Public Recreation (Golf Course Authority) from District 2.

During closing Council comments, Winningham urged the endorsement of two clean air bills before the legislature, SB 98 and AB 38 involving clean fuels. Noting the Council had supported similar measures last year, City Manager Gerald Caton instructed staff to draft letters for the Mayor's signature.

Councilman Perkins noted the lunch last Saturday honoring the community's many library volunteers, which was attended by Congressman Steve Horn, State Senator Betty Karnette and Assemblywoman Sally Havice.

Clock tower

Councilman McCarthy applauded the new "clock tower" at the Green Line Station on Lakewood which also is a cellular phone antenna.

And Councilwoman Lawrence suggested a clock be installed on the grassy median in front of City Hall to celebrate the coming new millennium, and a party to welcome the new age also be planned around it.

Redesign of downtown?

She also called for a staff report on planning for the downtown, particularly parking configurations and the possibility and costs of a median down Downey Avenue.

City Manager Caton said he and Lawrence will fly to Washington, D.C. this coming week to lobby for full funding for the LACDA Flood Control Project currently under way here.

The next public meeting of the Downey City Council will be at 7:30 p.m. Tuesday, March 9, at City Hall, 11111 Brookshire Ave.


Financial report finds City 'sound'

DOWNEY-The City of Downey's Financial Report for Fiscal Year expiring June 30, 1998, finds the City in a sound financial situation with even brighter days ahead.

Revenues for general governmental functions totaled $51,284,000 for the fiscal year, a 15 percent increase from 1996-97.

Expenditures for general government purposes totaled $56,466,000 an increase of 16 percent from 1996-97. The most significant change in expenditures was in the area of principal, because the City paid off $4,470,000 in redevelopment bonds.

Downey is a chartered city, administered through a council-manager form of government, providing a full range of municipal services to its 99,684 residents, including police, fire, public works, recreational, and cultural programs.

Oversight function

In addition, the City exercises oversight of the Downey Redevelopment Agency, the City of Downey Water Facilities Corporation, the Los Angeles County-Downey Regional Public Recreation Area Authority, and the City of Downey Civic Center Corporation.

In terms of cash management, the City invests all idle funds in a pooled account daily pursuant to an investment program governed by a City Council adapted investment policy. This program places certain restrictions on the City's investment plan beyond those already established by State law. The restrictions include:
1) All banks and/or savings and loans that the City shall place money in must by located within the State of California.
2) All government securities, repurchase agreements, and banker's acceptances, shall be purchased through the City's primary bank or other major bank only.
3) All investments with a term of over one year must be approved by the Assistant City Manager, Finance Director and City Treasurer.

Reserves

The City's General Fund Reserves ending Fiscal Year 1997-98 was $12,101,000 which was $2,554,000 more than the previous year's amount. The portion that was reserved (unavailable for appropriation), included $87,000 reserved for encumbrances, and $3,559,000 reserved for advance to the Redevelopment Agency.

During the 1997-98 Fiscal Year, the City opened a new City-operated gymnasium and Community/Senior Center, built with county, state and federal grant funds. The City also completed a major improvement to Firestone Boulevard, and the Coca Cola corporation submitted plans for a major expansion of its existing facility here.

Two projects just getting under way include the City acquisition of the excess NASA property at Boeing, and the Rio Hondo River Project which will provide added flood protection and (when completed) end the requirement for property owners to purchase federally mandated flood insurance.

The City has no general obligation debt, but does have four revenue bond issues, including:
* City of Downey Civic Center Corp. Certificates of Participation, held by Western Trust, in the sum of 11,610,000.
* City of Downey Water Facilities Corp. Leasehold Mortgage Bonds, held by First Trust California, in the sum of $2,515,000.
* Los Angeles County-Downey Regional Public Recreation Area Authority Revenue Bonds (1971 Issue), in the sum of $1,800,000, and (1993 Issue) in the sum of $4,690,000 both held by First Trust California.
* Downey Redevelopment Tax Allocation Bonds held by First Trust California in the sum of $9,925,000.


Sam's Club is moving to Long Beach center

DOWNEY-Sam's Club membership discount warehouse in Downey will move to a new, larger location in Long Beach's Towne Center late this year.

The Club, a division of WalMart, will transfer employees to the new store, which is currently under construction in the southeast corner of the 102-acre Towne Center development.

Closure long-rumored

Rumors of the pending closure of Sam's in Downey, located at 11111 Florence Ave., had persisted for more than a year.

Employees expressed some relief at the knowledge they will still have jobs under the transfer plan. The new store is larger, with 128,000 square feet, compared to 110,000 square feet at the Downey Sam's.

Sam's took over the Downey facility from the previous operator, Pace Warehouse, in 1994.

Downey City Manager Gerald Caton expressed sadness over the loss of a company which produced steady tax revenue for the city.

He added WalMart is working with the City to find a new tenant here, and added the location adjacent to the 605 and I-5 Freeways should help.

The Long Beach Towne Center is the former Naval Hospital site.


Judge authorizes City to remove Fast's sign

DOWNEY-Judge Leland H. Tipton has authorized the City of Downey to remove the roof sign of Arthur's Restaurant, 8815 Lakewood Blvd.

A warrant was posted at the restaurant Thursday, Feb. 25, authorizing the City right of access to the premises and the electrical panel which supplies the sign's power.

The sign above Arthur's has provided popular humor for decades, including a "half-off" special in honor of amputee John Bobbitt, as well as rooftop helicopter parking for one.

The City won a case against Fast in Downey Municipal Court on April 21, 1998. He was ordered to take down the sign and pay a fine of $200.

Warrant

Because he was not present, a warrant was issued for him.

His attorney appealed the case.

Fast claimed throughout the proceedings that his location, jammed between several auto repair shops with a Shell gas station across the alley, make his roof sign crucial for business.

He cited many other roof signs that are allowed to stand despite the law making them illegal, and cited his case as an example of selective enforcement.







End Features