City Council agenda includes new fire station, "the hole" and housing waitlists

SOUTH LAKE TAHOE, Calif. - The South Lake Tahoe City Council meeting will cover several topics including new fire station construction, updates on the Zalanta and Chateau at the Village projects, the affordable housing waitlist and rental registry, and commercial linkage fees.

The meeting starts on September 12 at 9 a.m. It will be held in Council Chambers at the airport and can also be seen remotely. For the full agenda and instructions on how to participate and view it, visit https://www.cityofslt.us/84/Watch-City-CouncilCommission-Meetings.

The Council will hear about options for the South Lake Tahoe Fire Station 3 at the Y. Their possible choices: (A) Make minor renovations to the 2nd floor only of Fire Station 3 for an estimated cost of $500,000; (B) Renovate Fire Station 3 to update living quarters including Building Code and ADA upgrades for an estimated cost of $3.5 million; (C) Begin planning to construct a new two-story fire station behind Fire Station 3 for an estimated cost of $19.25 million; or (D) Begin planning to construct a new one-story fire station on the adjacent Bank of Montreal site for an estimated cost of $19.75 million.

The Council will also receive a presentation and vote on a motion to provide direction to the City Manager regarding potential public financing options for the Chateau at the Village (commonly known as the hole) at Stateline. Financing options could include direct financial contributions, commitment to fee reductions, creation of a Mello-Roos Community Facilities District and special tax assessment to support bond sales, tax increment financing (TIF) district, and enhanced infrastructure.

This area, the South Lake Tahoe Redevelopment Project 3 was originally approved by the City Council and the Tahoe Regional Planning Agency in 1998 as a mixed-use development consisting of two condominium-hotel structures, a publicly owned assembly and entertainment venue, general retail stores, a below-grade parking structure, a 1.5-acre public park, a pedestrian tunnel under US Highway 50 to connect to Heavenly Village, and stormwater facilities. The owner of the property ended up in bankruptcy court after he ran out of funding with just a rebar and cement shell in 2009.

The City Council requested the completion of an additional analysis of a commercial linkage fee to supplement information contained in the previously completed Analysis of Local Funding Sources for Housing Initiatives. The additional analysis, along with the previously completed report, is being presented to the City Council to provide information for a decision about the possible creation of a commercial linkage fee ordinance. Staff does not recommend implementing a commercial linkage fee at this time because it is only feasible for a small number of commercial projects and is not likely to provide a reliable funding source for affordable housing.

Council will also be receiving from staff a summary of all waitlists associated with the affordable housing properties in the City, something they requested in March. There are people interested in moving into affordable housing when available, and it had been a while since the waitlist was audited to see if people were on duplicate lists, and if they were still seeking housing. They will also discuss establishing a registration requirement for rental properties. This item includes both of those requests. They will vote on whether to conduct affordable housing waitlist monitoring and reporting; and whether to bring back an ordinance to require registration of rental properties.