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Home My WebLink About1997-08-26 - AGENDA REPORTS - PIONEER OIL REFINERY SITE (2)NEW BUSINESS DATE SUBJECT: DEPARTMENT: AGENDA REPORT City Manager's Item to be pres( Wayne Weber August 26, 1997 PIONEER OIL REFINERY SITE Parks, Recreation, and Community Services The Chevron Company, Inc., has offered to dedicate and help restore the Pioneer Oil Refinery site to the City of Santa Clarita. (See attached letters.) The site is located in the Newhall Community off Pine Street, and adjacent to Hart Park. Chevron owns approximately 13.8 acres of which 9.2 acres is flat industrial/commercial property that is currently offered for sale. The remaining 4.6 acres is the historic Pioneer Oil Refinery site. The Pioneer Oil Refinery Site is a registered historical site more than one hundred years old, and as such, shows signs of deterioration. If the City of Santa Clarita accepts the donation, Chevron has indicated a willingness to cooperatively work toward the restoration of the site, regaining much of its natural character. If the City determines not to accept the site, Chevron Company, Inc., has identified the following options: ODtiOn A Donate this site to the Santa Monica Mountain Conservancy, the County of Los Angeles, or other governmental or quasi -governmental agency as a historical site for preservation; tion B Sell this site together with the Industrial/Commercial Property to an outside third party for their use; O tion C Clean up the site, which would totally destroy the Historic Refinery and other historic facilities, and sell the site together with the Industrial/Commercial Property to an outside third party for their use; tion D Fence this site, denying all access, and place the site on "long-term hold," spending the least amount of money possible on security and no money on maintenance or management of the site. Staff presented the donation of the oil refinery by Chevron to the Parks and Recreation Commission on July 10, 1997. At that time the Commission recommended the acceptance of the 4.6 acre refinery site and requested that staff work with the purchaser of the adjacent 9.2 acre site to ensure compatible development. RECOMMENDATION 1. The City Council accept the Historic Pioneer Oil Refinery parcel of 4.6 acres contingent upon the Planning Commission finding of consistency with the General Plan, and direct staff to work with the purchaser of the adjacent parcel to ensure compatible uses. 2. Authorize the City Manager or his designee to approve and sign all related documents associated with the dedication of the refinery parcel to the City of Santa Clarita. WJW:Itk counciApioneenag Attachments c i o of ~9 0 zy r _ N M Q � b i G ' SCj P 1 � m \ z K 0 ❑ o .D R J June 12, 1997 Mr. Rick Putnam, Director Chevron Chevron Real Estate Management Company A Division of Chevron U.S.A. Inc. 225 Bush Street San Francisco. CA 94104 RECEIVED 13 1687 Department of Parks, Recreation and Community Services City of Santa Clarita Parks, Recreation & Community 23920 Valencia Blvd. gafvicas Administration Santa Clarita, CA 91355-2196 Property 1. Chevron's Historic Pioneer Refinery Site On Pine Street (approximately 4.647 acres — see copy of map attached) Property 2. Chevron's Industrial/Commercial Property Adjoining the Historical Site North of and between the Historical Site and Pine Street (approximately 9.206 acres — see copy of map attached) Both Properties within the City of Santa Clarita, Los Angeles County, California Dear Mr. Putnam: This letter is written as a follow-up to our meeting in your offices on the morning of Monday, June 9, 1997. As you are aware, the City of Santa Clarita and Chevron have discussed for a number of years the City's interest in and ability to acquire Chevron's 4.647 acre Historic Pioneer Refinery Site through a charitable donation from Chevron. We have also discussed the City's interest and ability to purchase Chevron's 9.206 acre Industrial/Commercial Property adjoining the Historical Site on the north and, except for an access route from Pine Street to the Historical Site, is located between Pine Street and the Historical Site (see map attached). To aid the City in its decision- making process, Chevron has supplied the City with various environmental reports, information and other material. Atter years of review and discussions with the City on the subject properties, Chevron now needs the City to definitively reply in writing to the question, "Does the City wish to take ownership of the Historical Pioneer Refinery Site and/or the adjoining Industrial/Commercial Property?" If the City wishes to acquire one or both of the properties, then, in the City's written reply to Chevron, O.AtMWe12'NPC1 COC Mr. Rick Putnam June 12, 1997 Page 2 please indicate the process steps the City is required to follow to conclude such a transaction(s) together with the timeline necessary to complete these steps. Chevron is requesting the City's immediate and definitive response at this time because Chevron is or will soon be pursuing other options available for each property which, at a certain stage, will preclude any transaction with the City. The current status of each property is as follows: 1. If Chevron cannot complete a charitable contribution of Chevron's Historic Pioneer Refinery Site to the City of Santa Clarita, Chevron will immediately pursue one or more of the following options:. Option Donate this Site to the Santa Monica Mountain Conservancy, the County of Los Angeles or other governmental or quasi -governmental agency as an historical site for preservation; Option B Sell this Site together with the Industrial/Commercial Property to an outside third party for their use; Option C Clean up the Site, which would totally destroy the Historic Refinery and the other historic facilities, and sell the Site together with the Industrial/Commercial Property to an outside third party for their use, Option D Fence this Site, denying all access, and place the Site on "long term hold," spending the least amount of money possible on security and no money on maintenance or management of the Site. 2. If Chevron cannot immediately complete a sale of Chevron Industrial/Commercial Property as herein defined, then Chevron will continue to pursue its effort to negotiate the sale of this Property to any outside third'party interested in purchasing the Property. This Property is listed for sale with CB Commercial for $490,000 and Chevron is currently negotiating with several parties near this selling price. I hope our meeting on Monday and this letter clearly sets forth to you and the City of Santa Clarita Chevron's very serious intention to divest itself of the properties discussed herein in the very near future. o vawa,2"ctd« Mr. Rick Putnam June 12, 1997 Page 3 If you have any questions concerting this transmittal, pleasecontactme at the address, telephone or fax number on the business card enclosed. Very truly yours, William Patrick Curvin Senior Real Estate Representative Attachment cc: Joseph M. Inch Wayne J. Weber Cameron Smyth Laurene Weste Cynthia C. Wong W. J. Fassler N. E. Kinder D. E. Powell R. M. Dixon MMV 12,Vcl. dw June 10, 1997 Mr. Rick Putnam Director of Parks, Recreation & Community Services City of Santa Clarita 23920 Valencia Blvd., Suite 120 Santa Clarita, CA 91355-2175 Dear Rick: Oievmn r Chevron The Chevron Companies 660 South Figueroa Street, Suite 2030 Los Angeles, CA 90011 W.J. Fasslar Regional Vice President General Representation Chevron Products Company Phone 213 489 4133 Fax 213 488 4995 We appreciate the opportunity to meet again and to work out the details of Chevron's contributing the 4.7 acre site, including the historic Pioneer Refinery, to the City of Santa Clarita. As expressed in our meeting of June 9, Chevron will commit to contributing to the restoration of the refinery site and will work with the Santa Clarita Historical Society to raise the funds necessary for its restoration. I have discussed this with Ms. Laurene Weste and we will proceed to obtain competitive cost estimates for the necessary work involved. You will receive a separate letter from Chevron's Mr. Pat Curvin with respect to the land transactions. We look forward to working with you, staff, and council to culminate the transactions. Sincerely, WJFishc cc: Mr. Pat Curvin RECEIVED MRi1LOW Parks, Recreation & Community Servicas Administration