HomeMy WebLinkAboutMinutes - 09-26-00 - Special Meeting®1,~5~3
MINUTES OF THE CITY COUNCIL
OF THE CITY OF DOWNEY
SPECIAL CALLED MEETING
SEPTEMBER 26, 2000
The City Council of the City of Downey held a Special Called meeting at 5:07 p.m., September 26,
2000, in the Council Chamber of the Downey City Hall, Mayor Keith McCarthy presiding.
PRESENT: Council Members:
Keith McCarthy Mayor
Robert C. Winningham Mayor Pro Tem
Meredith H. Perkins
Gary P. McCaughan, M.D. (arrived at 5:13 p.m.)
Barbara J. Riley
ALSO PRESENT: Gerald Caton, City Manager
Charles Vose, City Attorney
Lee Powell, Assistant City Manager
Joyce Doyle, Deputy City Clerk
Desi Alvarez, Director of Public Works
John Finch, Police Chief
James Jarrett, Director of Community Services
Mark Sauter, Fire Chief
Ron Yoshiki, Asst. Director of Community Dev./City Planner
John Michicoff, Assistant Finance Director
June Yotsuya, Assistant to the City Manager
Shirley Conte, Executive Secretary
ORAL COMMUNICATIONS: None
PRESENTATION
PRESENTATION AND DISCUSSION CONCERNING SUNLAW ENERGY CORPORATION'S
PROPOSED NUEVA AZALEA NATURAL GAS-FIRED POWER PLANT LOCATED IN THE
CITY OF SOUTH GATE -CALIFORNIA ENERGY COMMISSION STAFF
Mr. Yoshiki welcomed representatives from the California Energy Commission, James Reede, Energy
Commission's Project Manager and Jeffery Ogata, Senior Staff Counsel, and also introduced Kevin Thomas of
Robert Bein, William Frost and Associates (RBF), the City's consultant for review of documents relating to the
power plant facility proposed for the City of South Gate. He narrated a visual presentation of the site on
Southern Avenue, noting the proposal is fora 550 megawatt natural gas burning facility, which staff became
aware of on March 17, 2000, when correspondence and materials were received from the California Energy
Commission after receiving an Application For Certification (AFC). The site is in close proximity to Downey
schools, residences, and a hospital. The Energy Commission refers to these land uses as "sensitive receptors."
The City's consultant is looking at major concerns, as they would affect the citizens and sensitive receptors of
Downey, and initial review disclosed a number of deficient areas. Correspondence regarding these deficiencies
was forwarded to the Energy Commission, who determined the application to be incomplete on April 26, 2000.
On July 12th, the applicants resubmitted their application. The City again found deficiencies and corresponded
with the Energy Commission, however, the Energy Commission felt the resubmitted application was complete
and adequate. Tonight's meeting is considered a data discovery process, and he introduced James Reede, of
the Energy Commission, to explain this process.
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James Reede, Energy Facility Siting Project Manager for the Nueva Azalea Power Plant project
proposed by the Sunlaw Corporation, explained the purpose of the siting process; reviewed the various people
and agencies involved in the application for certification; and pointed out the Energy Commission is an
independent, neutral, unbiased party. He noted there are also interveners, public advisors, as well as the public.
The siting process is conducted on any thermal power plant 50 megawatts or greater, with the Energy
Commission responsible for coordinating with local, Federal and State agencies to perform a full review of the
environmental impact. He mentioned an informational hearing and site visit to be held on Monday, October 2,
2000, from 3:00 to 8:00 p.m. and noted the timeline for the siting process is typically 365 days. In this case,
since it was August 9th before the information submitted by the applicant was deemed sufficient to meet the
requirements of the rules and regulations siting process, the twelve month process commenced on that date.
He stated a number of workshops have and will beheld, with preliminary staff assessments to be issued in
January of 2001. The final staff assessment will incorporate all comments and suggestions and will become
testimony for the evidentiary hearings. He explained the evidentiary hearing process; the decision stage, after
the evidentiary heazings are closed, where the committee issues the presiding member's proposed decision; and
the 30-day public comment period. The commission has tentatively scheduled a meeting for August 14, 2001,
where it will debate and decide the fate of the application. He advised that all workshops and hearings will be
held in the City of South Gate; notices will be mailed 10 to 15 days in advance; and documents will be on view
at the South Gate and Downey Public Libraries and other locations, as well as the web site and docket unit at
the Energy Commission. He reviewed the contacts, such as himself; the Commission's new Hearing Officer,
Susan Gefter; and Roberta Mendonca, the Public Advisor. He submitted an Issues Identification Report to the
Council, which identifies issues to be discussed at the informational hearing and site visit that are considered
potential major issues. He responded to comments from the Council on concerns, such as location of the site
near residential, school and hospital property; the fact the South Gate City Council would not make a decision
on the project; a background of Sunlaw Corporation's experience with this scale of project; health concerns
from the emission of nitrous oxides; routing and danger from the gas pipeline required to supply the plant;
notification of residents and sensitive receptors; water requirements; mitigation of noise; and noted all issues
will be addressed in staff's analysis.
Council Member Winningham inquired whether the 500 and 600-megawatt facilities mentioned aze in
residential areas and was advised they are not.
Kevin Thomas of Robert Bein, William Frost and Associates, the City's consultant, stated he has been
assisting the City in digesting the materials submitted, along with approximately 50 docketed items on the web-
site; has attended the public meetings held to-date; has retained asub-consultant who is well respected in air
and noise analysis; and is working with the California Energy Commission to identify the concerns of Downey.
He noted the air emission plumes that go over Do«mey are very close to the Air Quality Management District's
thresholds and the concern that the applicant is proposing to mitigate these impacts through regional offset
credits. He also mentioned health hazards associated with natural gas pipelines and natural gas facilities, stating
there has not been much information on flammability and explosion type hazards.
Bill DeWitt, Vice-Mayor, City Council of South Gate, noted South Gate shares many of the concerns
mentioned and has not taken a position because they do not have all the facts. They have hired their own
independent consultant and have attended the meetings held to date. He noted he o«ms property downwind
from the site, his wife teaches at West Middle School, and expressed his concern from an environmental point
of view. He advised South Gate has scheduled an advisory vote at its Municipal Election in March 2001 to ask
voters whether they are for or against the project. He referred to the use of the South Gate City Flower
(Azalea) being incorporated in the name of the proposed facility and stated South Gate was not involved in
naming this project.
Council Member Perkins asked if this was a redevelopment area and noted the City of South Gate
would be in a position to receive $2.5 million.
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Mr. DeWitt indicated the cost of the plant would be between $200 and $300 million and the tax
increment would be a windfall to the South Gate Redevelopment Agency.
Mayor McCarthy asked if anyone from Sunlaw Energy Corporation wished to comment and there was
no one present.
Council Member Riley suggested staff review the issue of the City of Downey becoming an intervener.
Mayor McCarthy inquired if there are other power plants in urban areas in this type of proximity.
~.. Mr. Reede responded there are a number of power plants in urban areas but a number have been shut
down because they don't currently meet various environmental protection agency laws. As far as density of
population surrounding a plant, review leads the Energy Commission to believe this is in the highest density
area, but noted this is not a firm appraisal as yet.
CLOSED SESSION
Mayor McCarthy announced the Council is recessing to Closed Session (6:17 p.m.) to discuss
the following Sections of the Government Code:
A. SECTION 54957 -Public Employee Evaluations: City Manager, City Attorney, City Clerk,
and Secretary to the City Council.
B. SECTION 54956.9 -Subdivision (a) -Conference with legal counsel -existing litigation:
City of Downey, et al, vs. Water Replenishment District.
ADJOURNMENT: 6:17 p.m.
^i~
"'~ Joy E. Doyle ,Deputy City Clerk
Keith ,Mayor
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