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Saturday, Sep. 10, 2011

Ceres Wal-Mart hearings to go on


etracy@modbee.com
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Wal-Mart attorneys and representatives are readying for what will be the fifth public hearing and vote on a proposed supercenter at Mitchell and Service roads.

On Aug. 22, the project was stalled for the fourth time when the reuse plan for the Wal-Mart building at Mitchell and Hatch roads continued to be a sticking point for Vice Mayor Ken Lane.

"I have a real problem with moving this project forward without having more teeth in this plan," Lane said at the meeting.

  •   Ceres to revisit plan for Wal-Mart site
  •   Ceres Planning Commission approves Wal-Mart Supercenter
  • TIMELINE

    JULY 2007: Wal-Mart announces plans to anchor the Mitchell Ranch Center at Mitchell and Service roads. Regency Centers was the owner and developer of the project site.

    JANUARY 2010: Regency Centers backs out and sells the project site to Wal-Mart.

    JUNE 2010: Wal-Mart releases its 2,500-page environmental impact report, which for the first time reveals that the retailer plans to close its store at Hatch and Mitchell roads when it opens the supercenter.

    FEBRUARY 2011: The Ceres Planning Commission hears testimony and public comment about the Mitchell Ranch Center but postpones a vote on the project, citing a need for more information on the effects on traffic and neighborhoods surrounding the proposed supercenter.

    APRIL: Wal-Mart returns to the Planning Commission with updated information and the project is approved. The commission requires that the City Council approve a plan for the sale of Wal-Mart's existing site before building permits are issued.

    APRIL: At the end of a 10-day wait period before Wal-Mart can apply for building permits, Citizens for Ceres appeals the Planning Commission's vote, sending the decision to the City Council.

    MAY: The Ceres City Council postpones a vote on the Mitchell Ranch Center until July so Wal-Mart can develop a reuse plan for its existing site. Also, the council needs more time to review material submitted by Citizens for Ceres.

    JULY: Wal-Mart asks the council for more time to work on its reuse plan.

    AUGUST: The Ceres City Council again postpones a vote on the Mitchell Ranch Center. Vice Mayor Ken Lane asks for "more teeth" in the reuse plan.

    MONDAY: The council is scheduled to hold the fifth public hearing for the Mitchell Ranch Center.

Several days after the City Council meeting, Lane met with the applicants to discuss the reuse plan. Spokeswoman Amelia Neufeld said the private meeting was productive and Wal-Mart consulted with attorneys to determine whether an agreement can be reached.

Wal-Mart presented the reuse plan as a stipulation for the Ceres Planning Commission. The commission voted in favor of the project in February but required that the council first approve a plan for the sale of the building.

A group called Citizens for Ceres appealed the approval in April, citing the big-box store's "cookie-cutter" architecture and the blight that might be caused by the vacant building, among other things.

The appeal was sent to the council for a final vote.

The reuse plan is based upon the city and school district's strategic plan to ensure Wal-Mart provide a well-maintained property that will allow a local broker to sell or get a new tenant in the store quickly, according to a letter from the corporation's attorney.

Sell or lease

The plan outlined an objective of selling the store at Mitchell and Hatch roads or finding a new tenant within 18 months of the new store's opening.

In the past, Wal-Mart officials have objected to the idea of letting direct competitors move into the location, but the reuse plan softened some of the restrictions.

Wal-Mart agreed to remove any restrictions on direct competitors after 12 months if the store remains vacant and the corporation is not involved in negotiations with any other business. If Wal-Mart is still in negotiations after 18 months and at least 50 percent of the store remains vacant, all restrictions will be lifted.

"We have pushed Wal-Mart as far as we can legally," said Councilman Guillermo Ochoa. "I have no grounds to keep delaying the approval of the super Wal-Mart."

Councilmen Bret Durossette agreed, adding, "What if a Target wanted to go in there? Would we be doing this? It's not the government's job to say what a business can and cannot do."

Neufeld said no other jurisdiction in California has asked Wal-Mart to provide a sales strategy before moving locations. Also, no sales strategy plan was required of Rite Aid when it moved from Mitchell Road and Whitmore Avenue to a stand-alone location at Fowler Road and Mitchell in January.

Ochoa and Durossette voted to approve the Mitchell Ranch Center in August; Lane voted no. Mayor Chris Vierra recused himself from the vote because of a conflict of interest. With just two votes in favor of approving the project, the motion failed.

Citizens for Ceres attorney Brett Jolley said during the meeting that Wal-Mart's definition of a competitor is vague. He criticizes the plan as generally speculative and incomplete regarding reuse efforts.

He said if the building at Mitchell and Hatch roads remains vacant after 12 months, Wal-Mart could avoid the provision by simply selling the property to a related entity such as the Wal-Mart Real Estate Trust.

Lane told the applicants he was uncomfortable approving a plan that wasn't legally binding. Multiple efforts to reach Lane were unsuccessful.