RESOLUTION OF THE FORT BRAGG CITY COUNCIL APPROVING A STATEMENT OF MUTUAL INTENT BETWEEN GEORGIA-PACIFIC AND THE CITY OF FORT BRAGG IDENTIFYING TERMS FOR A COOPERATIVE PLANNING EFFORT
WHEREAS, in November 2002, the Georgia-Pacific (G-P) timber mill permanently closed operations and the owner is preparing to sell the property (hereafter, the Mill Site); and
WHEREAS, in the City has received a grant from the State Coastal Conservancy and the Fort Bragg Redevelopment Agency has pledged additional revenues to fund a Community Scoping and Economic Development Strategic Plan process which focuses on the reuse of the Georgia-Pacific Mill Site; and
WHEREAS, the City has entered into a contract with a consulting team led by Moore Iacofano and Goltsman, Inc. (MIG) to assist with the planning process, the first phase of which is anticipated to take approximately six months to complete; and
WHEREAS, the City Council recognizes that a cooperative approach to planning for the future development of the Georgia-Pacific Mill Site in Fort Bragg may benefit both the City and Georgia-Pacific by clarifying development potential, reducing entitlement uncertainties, and identifying public infrastructure and facility costs and potential related financing options; and
WHEREAS, the City recognizes that Georgia-Pacific has the right to sell the Mill Site to any interested buyer without any input from or consideration to the City, its citizens or other interested parties; and
WHEREAS, Georgia-Pacific has agreed to participate in a collaborative planning effort to allow opportunities for input from the City, its citizens and other interested parties, subject to the terms of a Statement of Mutual Intent, as follows:
STATEMENT OF MUTUAL INTENT (“Statement”)
Between Georgia-Pacific and the City of Fort Bragg
Fort Bragg Georgia-Pacific Mill Site Developer Solicitation
The City of Fort Bragg shall:
1. Complete Phase 1 of the recently initiated Mill Site Community Planning Program. This broad-based planning effort will include market analysis, site-related research and analysis, urban design studies, and community outreach and will be conducted in a manner that would support timely creation of a buyer/developer solicitation and subsequent planning, environmental review and entitlement procedures.
2. Identify potential public interest (acquisition) of portions of the Georgia-Pacific Mill Site. The Site’s coastal location and its urban context suggest that a portion, or portions, of the Mill Site may be desirable for public uses (parks, civic facilities, etc.). The planning effort will estimate the amount of such potential public acquisitions and report on potential funding mechanisms.
3. Describe potential financial participation by the City of Fort Bragg and other governmental agencies and non-profit organizations. The planning effort will report on potential financial resources for construction of public benefit projects (i.e., parks, art facilities, affordable housing, etc.) and/or public infrastructure that implement community goals and that might not otherwise be provided through the development process. Such financial participation may come from federal and State agencies and private foundations. Financial participation may also include tax increment financing from the Fort Bragg Redevelopment Agency using tax increment generated by the Mill Site or City-sponsored land secured debt issuance where a clear public purpose can be identified, as allowed by law.
4. Outline and prepare a schedule for entitlement and environmental review process. The planning effort will outline the specific steps involved in the environmental review and entitlement process, and may include a suggested schedule to minimize permitting and entitlement delays. The entitlement process necessarily will include an amendment to the City’s General Plan and zoning ordinance. These changes are necessary before any non-industrial development is permitted on the site. The vehicle for the General Plan Amendment could, for example, be a “Specific Plan” – a planning document defined in the State Planning Law that includes details regarding design, implementation, and financing. It will also be necessary to prepare and certify an Environmental Impact Report (EIR) and obtain an amendment to the Local Coastal Program from the California Coastal Commission. The planning effort may suggest various options to minimize delays associated with the environmental review and entitlement process.
5. City Sharing of Information with Georgia-Pacific: The City will share all information, reports and data developed during Phase I with Georgia-Pacific and the public-at-large. In order to ensure the accuracy of any representations made about Georgia-Pacific and/or the Mill Site, any such information and material shall not be released publicly without prior review and comment by Georgia-Pacific. Georgia-Pacific will review and provide comment on such information and material to the City within seven business days of receipt. The City is under no obligation to adopt changes suggested by Georgia-Pacific.
6. Developer Solicitation Package. During Phase I, the City and Georgia-Pacific will evaluate whether a developer solicitation package should be prepared and, if so, the appropriate funding and contractual arrangements for preparation and use of such a package. The City and Georgia-Pacific envision that such a developer solicitation package could be used to provide prospective bidders with the best available information regarding site development, the City’s policies, and potential financial participation by governmental and non-profit organizations to encourage inclusion of direct public benefits in the Site development plan (e.g., affordable housing projects, open space, business incubators, etc.). Such information could include, but not be limited to: summaries of previous site investigations conducted by Georgia-Pacific and the City (market analyses, environmental assessments, preliminary infrastructure requirements, etc.); a summary of potential financial participation by governmental and non-profit organizations; a summary of the results of the “community visioning process” including consideration of plans and suggestions from residents of the community; and a City Council-endorsed “goals statement” describing the desired characteristics of future Site development that could be encouraged through the incentives summarized above.
7. Potential Developer Solicitation. Developer solicitation is not included within Phase I. At the end of Phase I, Georgia-Pacific and the City shall evaluate the results and then determine whether to proceed with a developer solicitation process. If requested, the City could assist Georgia-Pacific with the developer solicitation process beyond providing the Developer Solicitation Package mentioned above. This assistance could include, for example, the City and its consulting team helping with the identification of prospective bidders, preparing solicitation materials, and screening responses to identify the most qualified and competitive developers. Whether to proceed with such a process, the form of any such process, and the eventual purchaser of the Site are determinations to be made solely by Georgia-Pacific.
Georgia-Pacific shall:
8. Participate in the Mill Site Community Planning Program. Georgia-Pacific, as a major stakeholder, would participate in the Phase I process, and Community Planning Program including attending community visioning meetings, providing feedback on site assessment and market analyses, etc.
9. Provide documents and information regarding the Mill Site prepared by the Sedway Group team and other consultants retained by Georgia-Pacific. During the past year Georgia-Pacific has conducted an elaborate and successful planning effort. The documentation and results of the community facilitation process may provide a platform for the work to be performed by MIG, and Georgia-Pacific will therefore provide appropriate documents from that work to the City. Proprietary information can be provided to MIG on a privileged basis.
10. Grant controlled access to the Georgia-Pacific Mill Site by City staff and members of its consultant team. Georgia-Pacific will grant controlled access to the Site to City staff and members of its consultant team, subject to terms defined by Georgia-Pacific.
11. Defer active marketing of the Mill Site during the Six Month Term of this Agreement. The City acknowledges that Georgia-Pacific will continue, during the Phase 1 process, to market the Mill Site and entertain any offers for purchase of the Site, whether from developers or others. Georgia-Pacific, however, will curtail any aggressive national advertising and solicitations to prospective developers during the six-month Term of the Phase 1 process. Upon expiration of this six-month Term, Georgia-Pacific, at its sole discretion, may (a) commence buyer/developer solicitation using the Developer Solicitation Package described above; (b) extend the initial time period to allow completion of any outstanding items to be included in the Developer Solicitation Package; or (c)proceed independently with marketing and sale of the property.
12. Possible Sale to the City of Fort Bragg. During Phase I, Georgia-Pacific and the City shall explore the possibility of purchase of a portion, or portions of the Mill Site by the City for a beneficial public purpose. The City shall explore the financial resources for such an acquisition using City, State, charitable foundation sources and other means of acquisition.
13. City Evaluation and Comment on Potential Purchasers. The final right to select any purchaser of the Mill Site shall rest solely with Georgia-Pacific. Georgia-Pacific agrees, however, to provide information to the City during Phase I and thereafter regarding any such purchaser, and to consider City input and comment with regard to sale.
14. Administration of the Phase I Process. The City will fund Phase 1 of the Mill Site Community Planning Program. Upon completion of Phase 1, the City and Georgia-Pacific will explore whether to continue some form of a joint process, including allocation of responsibilities and funding.
Jointly, Georgia-Pacific and the City of Fort Bragg shall:
15. Consider the best means of assuring that Georgia-Pacific’s water rights are secured for the benefit of future development on the Mill Site. As necessary, the City and Georgia-Pacific shall work cooperatively to ensure that all of Georgia-Pacific’s water rights are retained, and that adequate supplies of potable water will be available to serve long-term build-out of the Mill Site. Georgia-Pacific’s water rights probably exceed the amount of water necessary for ultimate build-out of the Site, and the City shall therefore have a right of first refusal with regard to any sale of such excess water rights.
16. Neither the City nor Georgia-Pacific intend to confer any benefits or entitlements to anyone that is not a party to this “Statement.” Consequently, no third party has the right to rely upon any terms, statements or representations made in this “Statement,” regardless of any subsequent representations made to such third party.
17. The City and Georgia-Pacific acknowledge and agree that nothing set fort in this Statement is intended to, nor shall it, confer any entitlements or vested rights regarding development of the Mill Site.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Fort Bragg does hereby approve a Statement of Mutual Intent between Georgia-Pacific and the City of Fort Bragg identifying terms for a cooperative planning effort.