The city of Santa Maria is one step closer to developing an almost 900-acre property west of A Street. The City Council voted 4-1 on July 21, with Councilwoman Hilda Zacarias dissenting, to advance $100,000 to help fund the project’s environmental impact report.
The property, dubbed Area 9 by city staffers, would most likely be zoned for industrial and commercial uses.
Money for the project would come from the city’s Business and Attraction Revolving Loan Fund, which council members set aside in 2005 for the sole purpose of attracting businesses to the Santa Maria area.
Property owners participating in the project—representing about 605 acres, or 68 percent—are set to pay approximately $300,000 of the total cost, which includes funding for a specific plan and environmental impact report. The city has agreed to front the remaining $100,000 for the report in lieu of nonparticipating property owners. However, the city plans to recoup that cost by charging a fee, plus inflation, to the property owners if and when they decide to develop their acreage. According to Government Code, the city is legally authorized to recover the funds.
“The only way the city would not get the money back is if the property ends up not being developed, and the city doesn’t consider that a high risk,” City Manager Tim Ness told the Sun.
Money recovered by the city, Ness said, would immediately go back into the business attraction fund.
Ness also said a pending development agreement among the city, a local property owner, and greenhouse grower Windset Farms “really should spur other [property owners] to become interested in
developing.”
The Windset Farms proposal is expected to go before the City Council on Aug. 4.
The current economy, Ness added, has lowered the cost of developing an environmental impact report, which was estimated at $500,000
in 2005.
Still, Councilwoman Zacarias said she would prefer a funding proposal based on property ownership percentages rather than a 50-50 split.
“Generally I would be against it 100 percent because I think development should pay its own way,” Zacarias said at the meeting. “But we do need to be partners, and now is a good time to be partners.”
For more information about the Area 9 project, visit the city’s website at ci.santa-maria.ca.us.
This article appears in Jul 30 – Aug 6, 2009.