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HomeMy WebLinkAboutJULY 21,1992 I I OffrJ.~ 0 t) 701.19,;) C< 34: 0214 CITY COUNCIL PROCEEDINGS ARE TAPE RECORDED AND ON FILE IN THE OFFICE OF THE CITY CLERK ROLL CALL SOUNDWALLS (210 Fwy.) O~o-(.,O M I NUT E S CITY COUNCIL OF THE CITY OF ARCADIA STUDY SESSION (FREEWAY SOUNDWALLS) JULY 21, 1992 The Arcadia City Council met in a Study Session at 6:00 p.m. Tuesday, July 21, 1992, in the conference room of the City Hall Council Chambers to discuss the construction of soundwalls along the Foothill Freeway (210) through the City of Arcadia. PRESENT: Councilmen Ciraulo, Harbicht, Loj eski, Margett and Fasching None ABSENT: Before the discussion began, the City Engineer, Joseph Lopez, reported on the current status of the soundwall project, and alternative financing programs available to. the City and residents to pay for the construction of the soundwalls. On the north side of the freeway two areas, which are on Caltrans' priority list, have qualified for construction and have been officially designated as such; Don Pablo to Baldwin Avenue and Second Avenue to the easterly City limits at Fifth Avenue. Those are the only two areas that qualified for soundwalls, according to the Caltrans' formula. There are two other walls to be constructed which are not on the priority list, one section is under construction at the present time; Michillinda Avenue to Baldwin, south side. The north side, Michillinda to Baldwin, will be constructed when funding is available and will include the area of Don Pablo to Baldwin. The south side wall, now under construction, is being built because of Federal requirements that if the freeway is widened to accommodate the enforcement area for the High Occupancy Vehicle lane, the soundwall would be constructed simultaneously. Mr. Lopez briefly described the various soundwa1l financing alternatives set forth in the July 15, 1992 report prepared by James Dale, Finance Director. Attached to the report was a hypothetical assessment diagram (sketch) of an area which could be considered an assessment district. Fifteen (15) tiers were indicated beginning with Tier No. I, those properties immediately adj acent to the freeway, and progressed to Tier No. 15, those properties at a greater distance from the freeway. The cost of assessment per lot ranges from $4,500 for those lots in Tier 1, to $300 for Tier 15. A total of approximately 381 parcels were within the hypothetical district. Each tier was assigned a relative value depending on their distance from the freeway. Mr. Lopez noted that, of those properties within an assessment district, 60% of the property owners within a given district would have to agree to this plan to enable the assessment district to go forward. If there was a majority protest, the assessment district would then require either a 4/5 affirmative vote for the City Council to override the protest or postpone the matter for a year, at which time it could be heard by the Council again. Referring to the Finance Director's report, the Assistant 7/21/92 1 34:0215 Finance Director, Gerald Parker, explained that the Finance Department specifically considered the assessment district. Alternative soundwall financing could be considered, such as, the City could finance the total construction, or a portion of the project; or the City could participate with an assessment district. To that end, the City could issue bonds to fund the project; or issue bonds to reimburse the City and the bonds then paid off by assessment; or the City could construct the walls and then collect the assessment directly from the individual properties benefited. Further, as far as interest on the funds, the 1911 Bond Act by the Public Works Code specifies a maximum 12% interest could be charged. The current rate for assessment bonds is 7 to 7 1/2%. The Finance Director used 7% for his calculations as a reasonable figure for installment payments over a 24-year period. Councilman Margett noted that other costs have to be considered in the I total cost of the project, such as, overhead and other costs associated with the issuance of bonds. The Assistant Director of Finance explained the process of repayment to the City for street lighting projects. A similar system could be utilized for the soundwall project if the City were to fund the project and then have each parcel assessed on the property tax roll each year. In this case bonds would not have to be issued. In reference to a previous meeting with the affected property owners, Councilman Harbicht noted that the residents were almost unanimously opposed to an assessment district as a vehicle to pay for the soundwalls. If so, and there is no interest in this plan, then other means of financing should be considered. Mr. Lopez commented that at that meeting, although it was not unanimous, it was the consensus of the group that an assessment district was not a viable way of financing the walls if the property owners had to pick up the entire cost. If the City would bear most of the cost ... then the residents would be interested. At this point, Mayor Fasching asked for comments from the audience. Bob Caldwell, 326 Joyce Avenue, addressed the City Council and the audience as follows: "For the last nine years I have been involved in the pursuit of soundwalls for Arcadia, a resident for 11 years before the construction of the 210 freeway in 1968. In 1976 my neighbors presented to the City Council a petition of 168 signatures of their plea for relief of the noise onslaught increasing from the freeway. That City Council heard and acted by including $300,000 in its 1977-78 budget toward soundwalls. This was a generous gesture by the members of that Council. Unfortunately, Caltrans has two requirements to be eligible for soundwalls. First, an area must exceed a noise decibel reading of 67 decibels. The second Caltrans requirement is the cost of construction is divided by the number of units that would benefit by the noise reduction. After meeting those requirements, Caltrans puts the eligible area on a priority list, index list. Inasmuch as Caltrans has 200, projects waiting for funding, the possibility of receiving a soundwall could be 10 to 20 years in the future. At that time of presenting the petition, the neighborhood from Second to Fifth did not qualify for soundwalls. Later Councils rescinded the $300,000 support. When it was published that Monrovia would receive a soundwall, I formed a steering committee with 11 neighbors and we organized and distributed flyers at all the homes, inviting all to come to a neighborhood ' meeting. Then Dennis Lojeski was Mayor and came and spoke to 75 neighbors in a garage adjacent to the freeway. We next presented a petition to the Council asking for help for soundwalls, which was signed by 355 residents. As time passed, I joined forces with "Citizens for Soundwalls", composed of residents who live south of the Foothill Freeway. After nine years of meetings, researching, Council appearances, and the City-called joint meeting with I 7/21/92 2 , 34:0216 I Caltrans' top officials, those friends will be recipients of the soundwall running past their homes. The walls on the south side, and eventually the north side, from Michillinda to Baldwin will have an HOV, high-occupancy vehicle, lane by restriping the present lanes. From Michillinda to Baldwin the freeway will widen to accommodate the California Highway Patrol, to be able to pullover traffic violators. The HOV lane will start from the Ventura Freeway and go to Sunflower Avenue in Glendora. CHP lanes will be every so many miles. In August 1990, Caltrans took another noise decibel reading at Fourth and Joyce Avenue. Ed Zareh, Co-Chairman of the "Arcadia Soundwall Committee", and I met the sound technicians as they set up the equipment, and then we were joined by Bill Minter, Caltrans' soundwall project engineer. After the technicians completed their tests, Bill Minter turned and said, "You qualify". I felt like I had hit the lottery. With the permission of the City, we invited Bill Minter to this meeting and he is available to answer any technical questions. With Caltrans qualifying Second to Fifth, I passed on the information to my immediate neighbors, but was perplexed in how to inform the rest of the residents and to bring this new information to the City's attention. A solution evolved. The "Arcadia Soundwall Committee" decided to call another neighborhood meeting and invite the four candidates aspiring to fill the two vacancies on the City Council. All four candidates accepted, but Mr. Margett did have a previous engagement and wasn't definite if he could attend. The meeting was held in a back yard adjacent to the freeway. I gave a soundwall update on meeting Caltrans' rules. Each candidate spoke on his qualifications for offtce, and a video was made of the event, and Robert Margett asked to take it with him on a'brief vacation after the election. He, too, agreed it is a noisy living area. Next, the City Council directed Joe Lopez, Director of Public Works, to meet with neighborhood residents on June 12 to have input from those ten res idents attending. He submitted his report to the Ci ty Council. The City Council next called for this study meeting with all Arcadia residents concerned with the intrusion of the freeway noise in their lives." I Bill Minter, California Department of Transportation, a resident of Pasadena, 633 E. California Boulevard. In response to a question from Mayor Fasching, Mr. Minter explained the inclusion of Insulock block in freeway soundwall construction. Insulock is a polyurethane block the same size as concrete block and is part of Caltrans' program. Caltrans is searching for less expensive walls and are also examining other materials other than lnsulock. They feel this process will develop a cheaper wall, however, they are not ready to issue a definitive statement about Insulock block. A lower cost wall is a high item on the California Transportation Commission because more soundwalls could be built if costs were reduced. In reference to current cost per lineal foot, Mr. Minter noted, there are many kinds of walls; they are different, in length and height; built under different conditions of difficulty and soil conditions. He uses $350 a lineal foot for estimating the cost of a wall built on the prism of a freeway fill. If built on the right-of-way line, $300 a lineal foot is used as a budgeting figure. If Insulock block were used to construct a wall on the prism of a freeway fill, he could not say at this time what the cost savings would be ... although it may not be too long before the lnsulock Company provides an estimate to Caltrans, though the material is now available and the process to use it has been established. Caltrans, Mr. Minter reported, is looking into many kinds of block walls, such as a sandwich style and a pre- stressed type of concrete. In January of this year twelve (12) different presentations were given to Caltrans, and they are going to be building pilot projects around the state of 7/21/92 3 34:0217 different types of walls. Caltrans is attempting to get some experience of the costs involved. However, they expect the cost to be lower than past costs. In reference to current construction methods, other than the pilot projects, Mr. Minter stated that the biggest construction change locally is the decision to abandon the use of split-face block for walls. This because of the high cost of such block and the difficulty in removing graffiti. Councilman Harbicht commented, in part, that while Caltrans is considering alternative products, they have not had enough experience with these materials to know what they will cost, or the advantages or disadvantages, and if there may be problems with durability and so forth. They do not have these answers. Council should not just assume that the lower cost block will come on line, and mislead the public. Mr. Minter I responded that, "the department just completed a committee report of six months of activity and we presented a finding to the Commission. We've named several processes and things that we wish to do. No, we do not have some costs, but we expect to reduce them". Councilman Margett stated in part, that he does not feel the new block will substantially decrease the cost of the walls. If costs were reduced by 10% Caltrans would have accomplished something, because labor costs will be the same; and concrete footings; trucks and equipment are not going to change in cost; profit and overhead costs will be there ... so the change will be in the material and that cost has not as yet been determined. Therefore, there may not b~ an extravagant savings. In response to Councilman Margett' s question of possible savings, Mr. Minter responded that from his position he would not be surprised to see a savings of 30% or more. He would hope for a 50% savings, but he doubts it will be that much. In response to Mayor Fasching of the probable cost per lineal foot to construct all the soundwalls other than those to be constructed by Caltrans from Michillinda to Baldwin Avenue, north and south sides, as well as the one area qualified under Cal trans' formula. Don Pablo to Baldwin Avenue, Mr. Lopez responded that, including the area Second to Fifth Avenue, the entire stretch of freeway at $415 a lineal foot would probably amount to $9,500,000. If the north and south s ides of the freeway, Michillinda to Baldwin were excluded, the cost could possibly be lowered to $6,700,000. If the area Second Avenue to Fifth were excluded, it could then be down to $6,000,000 A discussion ensued around the assessment district approach to financing the walls and Mr. Lopez reiterated that the consensus of the residents in attendance at the June 12th meeting indicated they would be willing to consider participation, if the City contributed the majority of the cost. In further discussion Councilman Harbicht stated, in reference I to Mr. Lopez' statement of possible cost for the walls after removing the sections to be constructed by Caltrans, that the highest priority in terms of need should be given to the area of Second Avenue to Fifth which may not be built by Caltrans for 25 years when funds become available. If the City does anything on soundwalls, that area should be at the very highest priority... Other persons in the audience then came forward to address the City Council. Miriam Moehner. 311 North Fourth Avenue, stated in part that she represents many residents who are not willing to pay one cent for a wall. They are taking a loss on their property 7/21/92 4 34:0218 even if a wall were to be constructed. All Arcadia property owners should be assessed equally because everyone uses the freeway and the City itself is benefitting. Pat Carroll, 620 Hampton Road, stated in part that he lives near the Baldwin offramp, and the freeway has brought crime to his neighborhood... graffiti is spreading along the 210 freeway also. He cannot sleep past 6:00 a. m. because of freeway noise. Air pollution is increasing daily. The City Council should go after Caltrans and say, "We want something done for the City of Arcadia". The City of Alhambra did that for Mark Keppel High School and got some very high walls built for the school. The City of Arcadia has the same obligation. I Irma Doliveira, 310 North Fourth Avenue, stated in part that her home is directly adjacent to the freeway. She has been involved in the petition process and the meetings since 1975. She believes the majority of the property owners who will be affected by the assessment plan were the owners of those properties before the freeway went in. Most of these people are senior citizens. If their properties are in an assessment district, the assessment will be on for 25-30 years. The new buyers will automatically be paying a higher property tax without an additional assessment... "Do you think we will ever be able to sell our properties? No!". I Ed Zareh, 1051 Catalpa Road, stated in part that he is one of two people present who were on the original soundwall committee. For 20 years he has been listening to the same story at different Council groups. The same. problem exists ... only worse. Mr. Zareh lives in an area that is getting a soundwall. It is up to the City to do something about the soundwalls for the rest of the areas. An earlier Council was very naive when construction on the freeway first began. That Council wanted berms. The City Manager at that time thought that Caltrans would do right by Arcadia, and recommended that they go right on through the City. Many residents bought their properties before the freeway route was ever established. Every Council candidate says that they want to keep the quality of life in Arcadia as it is ... on high standards... now they have no quality of life in his area. He is with the residents of the other areas that do not have soundwalls. He is going to work for them... the City has to put up the money someway, somehow, and get the walls up for them. The City let Caltrans go through Arcadia without any restrictions. He understands it costs $1.06 million a mile to construct the wall depending on the terrain; different footings and heights Mr. Zareh proceeded through calculations to arrive at an approximate final cost to construct walls on the rest of the freeway, and arrived at a figure of $4,000,000. Part of the freeway runs through an industrial area on the south side near Fifth Avenue... so maybe there are several hundred feet there that do not need a soundwall. The City of Arcadia has to someway figure this all out, and fund it, and do it. Mayor Fasching commented that he does not think the soundwall situation is necessarily just the responsibility of the people who live next to the freeway. He tends to agree that this is a City problem, not a specialized or select problem. If the City were to try and form an assessment district of the entire City and make a major improvement in the City of this, which would then require an assessment to everyone in the City, would Mr. Zareh be willing to go along with that now that he has a soundwall going up in his area? After further discussion along these lines, and considering additional cuts in Arcadia's receipts from the State due to the budget crisis at the State level... the cost to each homeowner might be $200, using Mr. Zareh's figures ... 7/21/92 5 Councilman Harbicht commented that, using Mr. Minter's figure of $350 per lineal foot, the cost per mile is about $1,800,000 . .' rather than $1,000,000 per mile that Mr. Zareh used in his calculations. In response to Mayor Fasching's previous question, Mr. Zareh stated that he would be willing to take his share of an overall City expense to get the soundwalls built... yes, he would be willing to pay the $200. The Mayor noted that they would have to go to the people for approval on these things ..' Council alone can't do it. Mr. Zareh commented that it really bothered him that the City built a community center for $4,500,000 for the use of 1,000 people, and thousands of people are affected by the noise of the freeway. Further, although previous Councils sympathized with the noise problem of those that live near the freeway, there was never really a will to do anything about it. Mapeline Silcox, 619 Hampton Road, stated in part that the audience would like to know why the City Council isn't going to Caltrans. Caltrans deemed it necessary to widen the 210 by two lanes because there is so much traffic, and yet they are not willing to put in a soundwall. Councilman Harbicht responded that, in fact Caltrans is putting in a soundwall, and in fact the City Council has brought every bit of pressure it can against Caltrans. The City has gotten on Caltrans' list for soundwalls as a result of Council's efforts. He lives one block from Ms. Silcox ... near the freeway. The audience should realize that every city in the state th~t has a freeway running through it has exactly the same desire as the citizens of Arcadia. .. they want soundwalls, too. And so Caltrans has set up a system for prioritizing soundwalls. Every city in the state is trying to go in the back door and bring political pressure to get themselves higher up on the list than Caltrans has placed them. Ms. Silcox went on to say that she would like to find out how the people who are involved with the race trllck were able to get the freeway widened just where the trllffic gets off the freeway for the race track, and the residents cannot get a soundwall... Mr. Lopez added for clarification, the soundwalls on the north and south sides between Michillinda and Baldwin Avenue are being built specifically because the freeway is being widened in that area for an enforcement lane for the California Highway Patrol to be able to enforce the diamond lane, two- people-in-a-car requirement. Other sections of the freeway are being restriped to narrow the lanes and provide an HOV lane. 34:0219 I John Saunders, 841 San Simeon... which is several tiers back from the freeway. Mr. Saunders stated in part that Arcadia had a City Council some years ago, and we had some trusty souls on that Council, that let the residents down. At the tiIlle the freeway was being established, the City had the I opportunity to hold up the whole thing unless Caltrans built walls ... But it still is a fact that we could have had it done had we had a City Council really address the problem. He believes that the Council has to keep addressing it; because he does not see how, when looking at the tier costs ... there is no way that the people living next to the freeway can afford the numbers that are in those tiers. Property values have depreciated by the freeway and if we're going to have what we claim to be a City of fine homes, let's keep them that way by keeping the dirt and the noise out. "And we address it to you to bring some kind of a program to us. I will be willing to kick in my share. I think we all should kick in. But I think you have to kick in something, too, 7/21/92 6 34:0220 because the whole thing was your predecessors that let this thing go in without a wall." " Bob Caldwell, "I' d like to bring you some ideas I had on funding. That seems to be the main point here, where the money is. In researching possibilities of funding soundwalls, I checked into the federal government grants, and the only possibility was if the 210 was one of the certain highways that would be part of the defense plan for the nation in case of war. Due to the gas tax Proposition Ill, passed in 1990 as a State referendum, which will double the State gas tax to 18 cents per gallon 'over five years, the first of this year over a billion dollars has been allotted in construction contracts. I believe that includes $150,000,000 for soundwalls. That's correct, Mr. Minter says. In 1984, a representative of Arcadia addressed this need of soundwalls to the members of the Los Angeles County Transportation Commission. No neighborhoods qualified for walls then, but now two areas fulfill the qualifications - - Don Pablo to Baldwin and Second to Fifth. If it hasn't been done, I suggest LACTC be notified so we can be included in the State Transportation Improvement Program for possible payback of projected funds. The City of Arcadia, in order to start some discussion, has put forth different methods of funding soundwalls. In the report compiled by James Dale, Finance Director, he begins by listing general obligation bonds, revenue bonds, special assessment, or a direct cash contribution from the City, and I'm sure all residents would vote for the last. The population of Arcadia is 48,290 and those living by the freeway compose, as, '" guess, 3,000 persons. Because we are so small a segment of the total population, I question the feasibility of funding with general obligation bonds, inasmuch as it would require a 2/3 vote of all City residents. Special benefit assessment financing is the next alternative, which requires a mortgage lien on your home. Your location to the freeway determines the cost of assessment, using the hypothetical figures of the assessment district from Second to Fifth north of the freeway, based on those who suffer the most pay the most. Each homeowner would pay $390 plus 7% annually, or you could pay cash of $4,500. Over a 24-year period, the cost would be approximately $9,600, almost' double, by payment. The further away you lived, the cost decreased. My objection to the special assessment district is that 33% of the annual payment goes to assessment district incidental costs, which are engineering, legal, and administrative services costs. In Tier 1, annual payment is $390 plus 7%, which makes it a total of $417.30. And 33% of the $390 means $128.70 applies to the special assessment incidental costs. In principal, it would be only $261. 30. In my mind, the last two paragraphs of the report finalizes my thinking on the route we should take. Though assessment finance is the most logical method to finance the construction of soundwalls, the cost to the property owners may be more than any future appreciation of property values resulting from such improvements. Finally, the City could subsidize the cost to construct soundwalls or pay the entire amount. It's possible that the City could be reimbursed for actual construction costs at some future date. However, any reimbursement could be 10 to 20 years away and interest costs would not be included. I I "What I am suggesting as another alternative was discussed with Jim Dale, Finance Director, and Jerry Parker, and they concluded it was feasible. With the City receiving soundwalls north and south being paid by the State, the City gains by not paying for those walls costing approximately $3,000,000. Second to Fifth Avenue construction costs would be $657,360, and from Don Pablo to Baldwin it's $954,500, using the figures from the Director of Public Works. The total is $1,611,860. 7/21/92 7 ADJOURNMENT ATTEST: Alford, 34: 0221 Areas that do not qualify but should be, as Second to Santa Anita, would be $761,110. And if you projected across for north of the freeway from Michillinda to Baldwin, by Arcadia's cost it would be $2,191,200. Caltrans' figures are not there, but I'll go by those figures, and the total of that would be $2,952,310 ... a combined total of $4,564,170. I am aware that considerable reserve funds are allocated for various City needs and are invested wisely, drawing interest. But I would suggest that the City invest some of the reserves for soundwalls, and if necessary -- and I'm going against my own neighbors here -- that the residents consider the interest on those reserves. That reserve money would be losing at least 6%, which would be considerably less than the cost of the special assessment district. I am sure that the City could work this plan without resorting to special assessment financing, and the City would agree to pay all costs except as discussed, as its participation. Thank you." I Mr. Parker, Assistant Finance Director, clarified that the plan is to repay the lost interest to the City and 6% is a fair rate. The Finance Department was concerned of whether or not the City would finally get paid by Caltrans. There is nothing that Caltrans has formally agreed to, so consequently, if this procedure was started, it may go in perpetuity. Mayor Fasching expressed the Council's appreciation to the residents for coming to this meeting and for their comments. Further, he stated that Council now has a fairly good idea of what the residents would like the Council to do, and he wanted them to know that the Council is as concerned about this improvement to the City, with a soundwall, hopefully, the entire length of the freeway within the City. At 7:07 p.m. the Study Session ADJOURNED to 7:15 p. m. for the Adjourned Regular meeting in the conference room this date. AD I 7/'21/92 8