From: Dan Huff

Sent: Wed Aug 23 13:52:00 2017

To: John Baker Molalla

Cc: Gerald Fisher

Subject: RE: .Grace Church/Caterpillar Clubhouse

Importance: Normal

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John – The issue(s) I believe is important is that the process is not understood at all by the person you have been speaking with and that is a problem for all of us when things go down a wrong road. We are well aware of the difficulties people face when an idea seems too hard to make happen. City Staff is tasked with making sure that all areas are covered so that we (the community) are not met with a bigger bill down the road because we did not require everyone to meet the same standards. That used to happen around here and we have moved beyond that today.

There are a few things that come into play for Caterpillar to move into the Church:

Development Code – The current Development Code would allow this process as would the new Development Code. This is an implementing Code for land use purposes. And, by-the-way is based on a model code developed by the Oregon Department of Land Conservation and Development – not from California.

Uniform Building Code – You had mentioned electrical and structural issues. These items will be handled by the Clackamas County Building Department. We contract with the County for building code services. Caterpillar will need to comply with State building code issues as they apply to day care centers. The City nor the Development Code addresses these requirements.

System Development Charges – These are fees that everyone pays and are assessed at the time of development or impact. Each new home is assessed a fee that is paid when the home is constructed. Or, when new commercial development occurs. Interestingly, a developer may not pay these fees as you have mentioned because they may be passed on the new homeowner. If these fees are not paid by the development or impact then the rest of the community pays the cost. In your case, the SDC was based on the discussion at the time and based on the impact that was over and above the current impact at the church location today. If you have information that alters that information then I would suggest you provide Gerald Fisher with the new information.

Where the day care is today does not transfer to the new location. We review everything individually and the review is not based on likes or dislikes. Only code or methodology language. As far as the same issue applying in other locations we would not know that until someone told us where and we performed an analysis. We have yet to see a different proposal. Caterpillar would be required to meet current State of Oregon Codes for daycare centers, etc. These items are over and above land use issues. Amber seemed to know that when I spoke with her.

My hope here is that you could put the information you received from the Chamber Director in a box and re-contact Gerald Fisher with your new information, if any.

Dan Huff

City Manager

City of Molalla, Oregon

(503) 829-6855

dhuff@cityofmolalla.com

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From: John Baker Molalla [mailto:jeb641@gmail.com]

Sent: Wednesday, August 23, 2017 10:45 AM

To: Dan Huff <dhuff@cityofmolalla.com>; lchildress@cityofmolalla.com; Gerald Fisher <gfisher@cityofmolalla.com>; Jimmy Thompson <jthompson@cityofmolalla.com>

Subject: RE: .Grace Church/Caterpillar Clubhouse

Hi Dan –

Thanks for your response to my note to the mayor.

In our initial meeting with Gerald, Brenda, Aldo, and Mike we found out about the $203,000 SDC assessment needed for Caterpillar Clubhouse to relocate. All of us – city officials included – were surprised at that figure and I appreciate the helpfulness of each city official in their explanations of why a daycare is so expensive.

Gerald has continued to be a big help in explaining the issue and we all agreed that these kind of fees seem to discourage, not encourage small business growth. My wife worked in the Building Department at City Hall Wilsonville with Gerald and she has consulted with her former coworkers their and found the fee structure is consistent with other communities.

In talking with Jimmy Thompson I was careful to make sure that this is not an “us vs them” issue but an issue that surprised all of us at our meeting at city hall three weeks ago.

When I heard yesterday that there were possibly more possible roadblocks coming, I contacted Mayor Thompson. We had spent an hour and a half talking about city issues a couple of weeks ago and he had encouraged me to ask questions at any time.

So…

My history with Caterpillar Clubhouse is this. After they had their graduation at Grace Church and Grace Park, we began talking about their space needs and that their contract with Gary Deardorff was up in November. We have the space and they have the young families that would help make this a hopping place as we prepare for a city that potentially will need to move northward soon.

Currently I know that Caterpillar Clubhouse knows that they can’t expand anywhere without this kind of SDC fee structure – unless the facility is grandfathered in (excuse my terminology if this isn’t the right verbiage).

If Caterpillar Clubhouse were to move, Gerald has said payments can be made over a short period of time – but the amounts are still prohibitive.

Jimmy Thompson told me he was going to see if it were possible to stretch payments over ten years like they do with Clackamas County. I know that this would allow us to help them as a church with fundraisers, projects etc.

I know Gary has been looking for some other places for them – but this same issue applies.

Dan, I poke at things until I know that they are either possible or impossible. Then I know how I can help or that I need to let it go. And I will always do my best to get to the facts rather than the hearsay on an issue.

I would appreciate any advice you have for me – and thanks for your note this morning!

John Baker

Grace Church Molalla

Sent from Mail for Windows 10

From: Dan Huff

Sent: Wednesday, August 23, 2017 9:14 AM

To: John Baker

Cc: Jimmy Thompson; lchildress@cityofmolalla.com; Gerald Fisher

Subject: RE: .Grace Church/Caterpillar Clubhouse

Mr. Baker – First, I would like to say that my Staff is willing to work with you and Caterpillar personnel as needed to further discuss the day care relocation as they previously have done. Second, Mr. Sharp is incorrect and I believe he has provided you with erroneous information regarding development and/or small business issues within the City of Molalla.

We do look at each proposal and assess impacts for all of our services. Not looking at issues, impacts or treating people differently is the problem. I believe Gerald Fisher gave you some options when you all came in previously and I think you should reexamine what he told you on that day.

Finally, City’s do not approve or adopt “bills”. The new development code does not impact development fees or anything that you would be proposing with Caterpillar Clubhouse. So, I am unsure what Mr. Sharp has told you. I have spoken with Amber from Caterpillar Clubhouse as well as Gary Deardorff who is the property owner. The stories are a bit different. Development processes begin through the City of Molalla and do not go through the Chamber of Commerce and we are happy to provide you with accurate information.

Dan Huff

City Manager

City of Molalla, Oregon

(503) 829-6855

dhuff@cityofmolalla.com

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_______________________________________________________________________________

PUBLIC RECORDS LAW DISCLOSURE

This e-mail is a public record of the City of Molalla and is subject to public disclosure unless exempt from disclosure under Oregon Public Records Law. This e-mail is subject to State Retention Schedule

From: Leota Childress [mailto:lchildress@cityofmolalla.com]

Sent: Wednesday, August 23, 2017 8:56 AM

To: John Baker <jeb641@gmail.com>

Cc: Dan Huff <dhuff@cityofmolalla.com>; Jimmy Thompson <jthompson@cityofmolalla.com>

Subject: .Grace Church/Caterpillar Clubhouse

Hi John,

Thank you for reaching out to me for more information. Grace Church would be a great location for Caterpillar Clubhouse and I hope this becomes a reality.

First, I must say that I'm sorry, but unfortunately not surprised, to hear that Mr. Sharp gave you erroneous information. The City will soon be adopting a new Development Code and he is very much against it. The thoughts you mention parenthetically are the ideas that he spreads throughout the community and are not accurate.

While I can't readily answer all of your questions, I can steer you to someone who can. I urge you to make an appointment with City Manager Dan Huff. He welcomes the opportunity to work with community businesses and leaders. He will also correct the misinformation you've been given about the new Development Code. I suggest you contact him by email at dhuff@cityofmolalla.com.

Again, thank you for reaching out. I will follow through on this with both Dan and Jimmy. Molalla is turning the corner, people are excited about moving forward and downtown revitalization is a prime interest. The Council is involved in a visioning process. We will be reaching out to the community in the very near future. You'll hear more about it very soon and I'm sure you'll want to be part of it.

Best Regards,

Leota

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From: "John Baker" <jeb641@gmail.com>

To: "Leota Childress" <lchildress@cityofmolalla.com>

Sent: Wednesday, August 23, 2017 8:02:56 AM

Subject: Hi Leota - from John Baker

ar

Hi Leota -

We are desiring to see Caterpillar Clubhouse relocate to Grace Church - Amber and Holly are great folks and want to come our direction as well.

We found out that they will have to pay over $200,000 in SDC costs anad now it sounds like there may be more regulation coming in that would really make this an impossibility because of what we would have to do to the church based on a bill coming before the City Council in two weeks.

Would you mind giving me your take on this?

It sounds like Grant and Jimmy are like oil and water and my motives are based on wanting to make some headway in getting the Caterpillar Clubhouse to Grace Church where they would have more room and our church would get an influx of young families that we need.

Below is the note I sent to Mayor Thompson this morning.

Thanks Leota -

John

(Also, the subtext that I am picking up is that things are becoming very difficult for small businesses to startup in Molalla when we want a small town feel - counter-intuitive.

Only the big guys and the big home developers can pay the SDCs so we get a lot of new homes, no new businesses and our tax structure is out of whack because there won't be enough revenue down the road to pay for future infrastructure development. Am I all wet - or is there merit to some of that?)

+++++++++++++++++++++++++

Hi Jimmy -

I finally got a chance to talk to Grant Sharp yesterday and he said that in two weeks the City Council is going to pass a bill that would make it almost impossible for a small business like Caterpillar Clubhouse to relocate. On top of over $200,000 in upgrades, we would be taking on regulatory restrictions that would require structural and electrical work (re-siding the church, rewiring where necessary) that would also cost us several hundred thousand dollars.

These regulations coming out of California are to be voted in in two weeks.

Jimmy, is this true? All I can tell you is what I heard from Grant and it sure sounds counter to what we talked about - that you are willing to do anything to help small business growth.

Anyway, I would appreciate the straight scoop. I enjoyed our time together and am looking forward to an education on this kind of stuff.

Thanks -

John Baker

Pastor, Grace Church Molalla

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John E. Baker

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Leota Childress

Molalla City Councilor

503.829.6855

lchildress@cityofmolalla.com