City Hall renovation: three price tags, and a room full of people saying the town hasn't heard about any of them

The renovation of 400 Magnolia Avenue returned to Council Wednesday not as a decision but as a reality check. Public Works Director Julian Skinner laid out three paths emerging from the ongoing historic structures study: $6 million for option one, a basic fix meant to buy roughly ten more years; option two in the middle; and $23.5 million for option three, a full renovation and rebuild. The narrow question staff put to Council was procedural — keep running outreach through the two-member ad hoc committee, or hire an outreach consultant?

“The general plan's action program FR-6.1 reads: 'rehabilitate city hall to comply with seismic safety standards and capacity improvement needs.' Maybe an option 1.5 focused on seismic strengthening should be considered.”— James Holmes, public speaker

The public answered a different question. Hillary Kullhane said she'd found that a lot of employees in downtown shops didn't even know a renovation of the building was planned, and pressed for more work with the ad hoc committee. Joan Lubberki urged money for significant public education and outreach, saying the very limited number of survey responses proved the city needs to get more information out there. A Planning Commissioner who lives in Green Bay was blunter: most of his neighbors don't care about this, but they might care if they had to pay for it. James Holmes went back to the General Plan and floated a middle path.

On the dais, Council Member Pollson asked whether the city had commissioned any bond-measure polling, said he was thinking of drafting a use plan, called the band-aid option the least appealing and the third a marginal improvement for two million more dollars, and landed on option two. Council Member Margalles wanted a study of how much space staff actually needs before the city sizes a building around it.

No vote was required. Mayor Way's preference carried: reconvene the ad hoc committee — Mayor Way and Vice Mayor Andre — in January with the new data, sharpen the goals and the questions, and revisit the consultant after that. Which means the cost question, and the bond question hiding behind it, arrives in the new year with the outreach problem still unsolved.

Recreation Department is getting a $3.1 million building of its own at Piper Park

After years of renting space from the school district, the Recreation Department will get its own home. Council unanimously adopted a $3.1 million budget amendment (Resolution 54/25) for a 2,400-square-foot enhanced modular recreation building at Piper Park, and authorized a $258,000 agreement with Kitchell CM (Resolution 55/25) to write the design-build criteria documents and manage construction.

“We wanted to give the city a check for $5,000 to help support the lights projects.”— June Fidel, president, Larkspur Wrecking Crew

Council Member Pollson pushed on whether the roughly $2.2 million structure cost is holding and which line item is most exposed to material price swings. Skinner said it remains the best estimate to date and that he doesn't expect anything to fall outside the parameters of the numbers presented. Asked about energy design, he said batteries and solar will be among the items contractors are asked to price, and put the schedule at 12 to 18 months, aiming for 12.

A footnote with potential: Larkspur Wrecking Crew president June Fidel, presenting earlier in the evening, offered to help fundraise for recreation facility upgrades — after handing the city a $5,000 check for park lighting.

The sales tax books, twice over: $12 million across three funds and a clean opinion

Two days apart, Larkspur's money got its annual airing. The Sales Tax Measures Citizens' Oversight Committee met Monday to receive the draft FY2024-25 audited statements for Measures B, G and C. The Measure B fund took in $2,953,421 in sales tax plus $441,011 in investment income and transferred out $2,589,617 — including $1,412,578 to the Larkspur Public Financing Authority for road rehabilitation debt service and $141,775 for a Central Marin Fire truck lease — closing at $9,889,987. Measure G collected $971,965 and ended at $2,241,508. Measure C, whose tax expired in 2018, sent out $842,648 for resiliency work at the Commons and has $68,306 left.

On Wednesday, auditor Mitesh Desai of Badawi Associates delivered a clean opinion with no material issues and Council accepted the audit unanimously. Council Member Pollson asked whether Measure B transfers stayed out of general operations; City Manager Dan Schwarz confirmed none went into operations and noted the auditor won't flag that — it's the oversight committee's job. Administrative Services Director Amelia Gabrielle itemized the transfer: $1,470,000 in debt principal and interest, $1,350,000 for capital projects, $141,000 for the fire truck lease and $55,000 in US Bank administrative fees.

The committee's own file shows it takes that job seriously. Minutes from March 3, in Monday's packet, record the panel pushing back on a proposed $43,000 of Measure G for Central Marin Fire's Neighborhood Response Group program, asking instead that the money focus on Larkspur NRGs. Schwarz came back with a $25,000 Measure G grant program for Larkspur NRGs, and the committee agreed. The same minutes amended a prior set to make clear the statements reviewed were drafts.

The uncomfortable number of the week came from Vice Mayor Andre, who walked the auditor through sensitivity math showing a 1% drop in the CalPERS discount rate, from 6.9% to 5.9%, would triple the city's pension liability to $14.5 million. Desai's read: politics have pressured CalPERS not to move the rate down even though it probably should.

New homes will pay a fire impact fee; ordinance introduced unanimously

Council held a public hearing and unanimously introduced Ordinance 1095, amending Title 3 of the Municipal Code to create a fire protection impact fee on new residential development. Revenue would fund Central Marin Fire Department equipment, facilities and vehicles as Larkspur absorbs a projected 997 new units by 2040. Deed-restricted affordable units get a 50% reduction.

Fire Chief Ruben Martin told Council the partner jurisdiction's nearly identical ordinance passed 5-0 with minor amendments, since the department provides equivalent service to both. Asked whether ADUs are exempt, Senior Planner Alex said they are exempt insofar as state law exempts them — under 750 square feet — while larger ADUs can be assessed.

The ordinance comes back for a second reading before it takes effect.