Hackett decision forcing district to rethink plans for new station
Budget tight, possibility of new property costs looming
'Value engineering' in works
By Oakley Brooks
The Saratoga Fire District acquired the former Contempo Realty property in November 2000 through eminent domain, to bolster the district's upcoming station reconstruction.
But a recent California Court of Appeals decision asking the district to pay the property's former owner, Charles Hackett, an extra $1.2 million heaped more complications on the lagging construction project.
The district has asked the Court of Appeals to reconsider its April 14 decision.
The independent fire agency already paid Hackett $2 million for his property in January 2001, after courts refused his higher valuation of the Saratoga-Los Gatos Road parcel.
That payment left $4 million of the $6 million voter-approved station bond for construction, with the Contempo property to be used as a temporary facility, parking supplement and later a training and storage area for the district.
But after nine months of delay on station construction and a possible payment to Hackett looming, district officials and citizens close to the construction project were already considering more changes to the station design.
"It's tight," Fire Chief Ernie Kraule said. "We're trying to maximize our dollars."
Kraule said the district was already set to use all of the remaining $4 million, even without the added design costs associated with replanning after the Saratoga City Council's rejection of the station design last year.
The city council, following suggestions from an ad-hoc group of citizens and local agencies, has asked the district to move the new station farther back from the Saratoga Avenue corner to better accommodate fire trucks backing into the station. The city would also like the district to reduce the size of the new station some 4,000 square feet from its original 14,000 square-foot design, to more closely comply with zoning codes.
City and fire officials believed some programs could be shifted to a modified version of the 4,300 square-foot Contempo building.
But Frank Lemmon, chairman of the station bond oversight committee, recently asked the Saratoga fire commissioners and chief to look at combining all the district's future programs into one building and possibly adding a basement to the main station.
That anticipates an eventual sale of the Contempo building to help fund the construction project.
Lemmon also suggested April 24 that commissioners consider further trimming of inessential items in the new station through "value engineering."
"We do have to be careful," Lemmon said, referring to the tight budget.
Kraule said he would rather go through heavy value engineeringæby taking out things like a proposed elevatoræand borrow some money from the district's general fund, before selling off the Contempo property.
He said "if push comes to shove," and the district is forced to make some payoff to Hackett, it could sell off the Contempo building while keeping the 24 accompanying parking spaces. In any event, Kraule said, the district would use the Contempo building first for a temporary station during construction.
Around $600,000 in the district's building fund is available to supplement the station project, Business Manager Trina Whitely said.
Fire officials have repeatedly said that they are loathe to go back to the voters for more bond money beyond that.
Design costs for the station have already run to around $300,000, Kraule said.
However, several key projects associated with construction have yet to be accounted for by the city or the district.
To allow the station to be pushed back, a water main must be removed from a nearby city alley. The Memorial Arch would also have to be moved to a different location. The city and the fire district are still negotiating as to who would pay for the two moves.
District Counsel Hal Toppel said that until the city issues permits finalizing the district's construction plans and all accompanying conditions, he will leave the district's lawsuit against the city on hold.
The fate of the fire district's motion in the Court of Appeals will be decided by May 16, according to attorney Bart Hechtman, who's working on behalf of the district.
Hackett's property was valued at $2 million in December 1999, when the district began eminent domain proceedings against him.
Just before the case finally went to trial in November 2000, Hackett received an October appraisal of $3.2 million. But that was not admitted as evidence in the trial, in which the district was awarded the property.
Saratoga, California Since 1955
