Agency staff proposes steep fees for Oceanside

By:MARGA KELLOGG - Staff Writer | Friday, November 30, 2007 10:17 PM PST

OCEANSIDE -- Staff members of a powerful body that holds sway over developments along the California coast have recommended steep fees be imposed on hotel and motel developers in this city's downtown area that would pay for hostels, campgrounds and RV parks for those who can't afford high-end hotel rooms.

Critics said the fees are unreasonable and could kill development.

The precedent-setting recommendation was made Wednesday by staff members of the California Coastal Commission. The commission is considering an amendment to the city's Local Coastal Program that would pave the way for the downtown Oceanside Beach Resort, a $187 million beachfront project that includes investor-owned units known as condo-hotel rooms and fractional time shares.

The recommendation calls for developers who demolish and rebuild a hotel or motel in the downtown redevelopment area to pay $30,000 per unit for half of any additional rooms.

As well, the staff is proposing an in-lieu fee of $30,000 per room on 25 percent of those that are not "lower cost" in all new hotels and motel projects.

Deborah Lee, district manager for the San Diego Coast district office of the Coastal Commission, said Friday that "lower cost" is "something in the order of $100 a night" for Southern California.

The fee would amount to $2.9 million for the Oceanside Beach Resort alone, said Kathy Baker, the city's redevelopment manager, in a memo sent Thursday to council members and city staff.

Jeremy Cohen, senior vice president for S.D. Malkin, the development company proposing the resort, said Friday that the fee would be an unreasonable financial burden on the project "without any basis in reality."

Cohen noted that the recommendation hasn't been adopted by the commission.

"The staff has recommended this in many other cases, but nothing of this magnitude has been approved," Cohen said. "It's certainly inappropriate in Oceanside, which has a preponderance of affordable accommodations and is trying to fulfill its mandated program for a high-quality resort."

The commission will consider the staff recommendation at its Dec. 12 meeting in San Francisco, and a contingent from Oceanside will be there, Deputy Mayor Rocky Chavez said Friday.

"I'm all for access, tents and RVs," said Chavez, "but for them (the commission) to basically assess a tax on people is wrong and shortsighted. The reality is no one's going to pay it and you'll end up instead with no redevelopment."

But Lee said the recommendation flows from the commission's concern that, as more and more high-end development occurs along the coast, individuals and families of modest means will be less able to enjoy the beach.

"There just isn't the development of lower-cost facilities occurring," she said. "There just aren't the support facilities if a family wants to come and stay at the beach for vacation."

The commission has tacked similar fees onto hotel-condo projects in Encinitas and Huntington Beach, but never addressed an entire redevelopment area as is being recommended for Oceanside.

In 2006, for example, Doug Yavanian of KSL Encinitas Resort Co. was forced to pay a $220,000 fee for a luxury condominium-hotel on an Encinitas bluff because the public's access to the privately owned rooms would be limited.

The money was reserved for a public or nonprofit agency to build low-cost lodgings or buy land for such facilities in Encinitas or Carlsbad.

Lee said the recommendation to include Oceanside's redevelopment area is appropriate because the commission's staff feels "it's important to have conditions that will maintain existing stock (of low-cost rooms) as well as address the need to plan ahead and preserve new, lower cost amenities."

The commission would rather see developers build lower-cost facilities than pay in-lieu fees, but if that doesn't happen, she said, the in-lieu fees will be used to build the campgrounds and hostels.

Developers would identify an account holder in conjunction with the Coastal Commission, such as a nonprofit, the state parks and recreation department or the city, and the in-lieu fees would go into that account. If they were not used to build a lower-cost facility in Oceanside in 10 years, the money could be used to build a campground of hostel somewhere else in Southern California.

Oceanside City Manager Peter Weiss said Friday that city staff members will meet Monday to go over the recommendation, which was given to the city late Wednesday. City Hall was closed Friday.

He said a "reasonable" fee would be fair, if the money goes to something specific. Part of being "reasonable," he said, would be knowing what the city would be paying for.

Weiss suggested a regional program addressing low-cost beach accommodations would be more equitable.

Contact staff writer Marga Kellogg at (760) 901-4067 or mkellogg@nctimes.com.

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Pre-Registration Comments[-]Go to Top

Jake wrote on Dec 1, 2007 4:03 AM:These proposed fees are ludicrous. If there hasn't been a reason before to cut the power of this commission or disband it altogether, there is one now. These people are greatly over stepping the original intent of their mandate.

kit wrote on Dec 1, 2007 5:10 AM:The Coastal Commission staff suggestion is a development killer. I urge folks to write to the Coastal Commission and ask for rejection of this condition. We need the resort hotel, we have enough budget-rate facilities.

Out of hand wrote on Dec 1, 2007 5:39 AM:The Coastal Commission is getting out of control. This is rediculous. Even if they got the fees to build hostels, campgrounds, and RV parks, the people staying there still wouldn't be able to enjoy the beach(Lee's excuse for the fee) because they probably wouldn't be built close to a beach. The majority of Oceanside's hotels are already low cost. Is Lee related to Sherri Mackin, sounds like something she would do. Next thing you know the Commission will add a fee and require the hotels to provide shelters and soup kitchens for transients and homeless on the hotel property.

What's the big deal wrote on Dec 1, 2007 6:50 AM:We are already subsidizing the project to the tune of $27 million, what's another $2.9 million, it kind of rounds the subsidy off at $30 million.

dave wrote on Dec 1, 2007 6:51 AM:communism is alive and well

David wrote on Dec 1, 2007 7:11 AM:The Coastal Commission is at it again. Why do they not realize that a resort downtown will increase the oportunities for families to enjoy the beach. I really can't fiquire out what thier real motives are.

Enough is enough wrote on Dec 1, 2007 7:16 AM:I like the Coastal Commission protecting our coast but if their new desire is for crummy hotels being built on our coasts, I'm no longer a fan. Maybe this is a body that now needs to be elected officials who can be held accountable. And just who are the "staff" that make all these recommendations - what exactly are their qualifications?

Victoria wrote on Dec 1, 2007 7:49 AM:$100 per night for beach motel?....come on Coastal Commission, get real! We just spent $150 per night for a basic room @ Holiday Inn Express room in Centerville, Ohio, and that's considered low cost in the middle of nowhere.

"M" wrote on Dec 1, 2007 7:54 AM:Affordable hotels, affordable housing. Affordable just means lower property values and more crime. If ya can't afford to be here dont. Lets not make OS the ghetto of So. Cal.

Roy wrote on Dec 1, 2007 8:26 AM:Why should hotels and motels have to subsidize RV Parks and Hostels? Can't they be built to be profitable on their own? Wait I forgot this is the Peoples Republic of California and the progressive "mandate" is for the "rich" tourists to subsidize the "poor" tourists. I guess freedom lives somewhere else but not here.

kit wrote on Dec 1, 2007 8:28 AM:I agree with Jake, it is time to review the job description of the Coastal Staff. They have exceeded their authority. Oceanside has an approved Coastal Plan that requires a resort hotel. The staff is trying to kill that plan. It is a bad situation.

George wrote on Dec 1, 2007 8:51 AM:The Coastal Commission is acting like Robin Hood, steal from the rich and give to the poor. I echo, who are the "staff" that make all these recommendations. They are out of control.

What is Their Authority wrote on Dec 1, 2007 8:54 AM:Staff members accountable to no one are making decisions based on their agenda. Their misguided actions will effect the economic and cultural well being of Oceanside which is finally begining to develop into a nice beach community with clean and safe beaches. Why stop this posiitve community for an experiment on social engineering?

Randy wrote on Dec 1, 2007 8:56 AM:The beach is not a playground for just the wealthy. The beach is for all Californians.

What? wrote on Dec 1, 2007 9:50 AM:Who gave the coastal commission the power to levy taxes? On the Encinitas example they paid $220,000 to "The money was reserved for a public or nonprofit agency to build low-cost lodgings or buy land for such facilities in Encinitas or Carlsbad." Exactly what could you buy with $220K within 5 miles of the coast? Not much. Sounds like they started with a small fee($220K) to get their toe in the door and now they are jacking it up to see if they can get their whole foot in the door. Lets take a sledge hammer to that toe.

Californian wrote on Dec 1, 2007 10:04 AM:to Randy, the beach is not only for all Californians but for other American tourists and when we get a hotel, hopefully tourists from other countries. Most Californians like myself use the beach daily but can't afford to stay in any hotels - $65 a night is too much as we are struggling to keep out homes and put our kids through college. Don't ask for more cheap and nasty motels, we have enough of them in Oceanside. Let's make it nicer and still use the beach. Boo to the Coastal Commission!!!

Ted K wrote on Dec 1, 2007 10:15 AM:This will make the day for Esther and Carolyn Krammer !!!

Geez Randy wrote on Dec 1, 2007 11:02 AM:No one is limiting anyones access to the beach, just sitting here shocked and amazed that such a socialist idea could actually be the result of a Coastal Commission staff report. There won't be any fewer "affordable" places to stay near the beach when this project is built then there was before, only a really nice hotel on what is now a bunch of vacant lots on one of the last prime pieces of property anywhere on the coast. Their staff is about 10 steps to the left of them, which is already about 5 steps to the left of the average Californian. Write the letters and raise heck though to make sure!

To Randy wrote on Dec 1, 2007 11:11 AM:You're right ... the beach is for everyone. But we're not talking about the beach. We're talking about the hotels near the beach. We're talking about a group of nitwits who think that everyone who can afford stay at a beach side hotel should pay for everyone else to do the same. Come visit the beach for sure, but it is the visitors budget that determines how close or far they get to sleep from it.

Get Real wrote on Dec 1, 2007 12:02 PM:The hotel will not touch one grain of sand, that is the beach Randy.

More HUD housing! wrote on Dec 1, 2007 12:35 PM:More ghetto! Oceanside will never break the strong hold of the Democratic welfare state of the Hillary types!

Mazz, O'side wrote on Dec 1, 2007 1:00 PM:Are they INSANE?

FTM wrote on Dec 1, 2007 2:50 PM:Where was the commission when the Sea Ranch was built up in the Bay Area, HUH? Over 300 houses built RIGHT ON THE BLUFFS OVERLOOKING THE OCEAN! WHY? because the people who wanted those homes were WEALTHY! And where was the commission when Steven Spielberg, and Barbara Striesend build thier huge mansions right on the beaches of Big Sur! And how about Cambria! 7 years ago, ME, a poor little nobody could park my little popup camper on the cliff overlooking the ocean right between Cambria and San Simion, but not any more! The Coastal Commission fenced off the bluffs and moved highway 1 four thousand feet east just to keep us "po folk" out of there long enough for: you guessed it; new homes for wealthy movie stars and producers. The whole ... coastal commission is run by hollywood. who do you thing are thier bggest supporters? who do you thin benefits from the coastal commision? FTM! Follow The Money! The coastal commission gets money and support from hollywood, and in return the coastal commission provides pristine homesites for hollywood celebrities and makes sure we "normal people" have NO ACCESS to the land arounf thier mansions so they can live like kings on PUBLIC LANDS! It's the biggest rip off in history! The Ocean belongs to who? It belong to the wealthy and famous. ...

If you visit Hawaii wrote on Dec 1, 2007 4:28 PM:You might have to stay a couple of miles away from the beach, you might have to have a room with a partial ocean view, or none at all, but you can still go to the beach. Since when is it rocket science that the guys with the most money get the best view. No one is limiting the access to the beach, but if you want the view from your hotel room, ya gotta pony up!

Carlie wrote on Dec 1, 2007 8:54 PM:Try and park anywhere near the beach when this thing is built, and you will understand what 'beach access' really means. Thank God for the Coastal Commission!

Betty W. wrote on Dec 1, 2007 8:57 PM:I don't see anything wrong with making a developer pay his way, but it sounds like the developer sell outs (city leaders) want to keep their campaign $$$$$ flowing. Big deal--good for this agency for keeping an eye on things for us.

JT on the inside wrote on Dec 1, 2007 9:03 PM:If you visit Hawaii wrote on Dec 1, 2007 4:28 PM: " You might have to stay a couple of miles away from the beach, you might have to have a room with a partial ocean view, or none at all, but you can still go to the beach. Since when is it rocket science that the guys with the most money get the best view. No one is limiting the access to the beach, but if you want the view from your hotel room, ya gotta pony up! " Hey Hawaii, the difference here is this is city property, not the developers. He's got his hand in every pocket and it's still not enough for him to be satisified. Who cares how much he needs to pay, after all, he got us taxpayers in Oceanside REAL GOOD in the tune of some 29 MILLION DOLLARS. Cry for him? Not me.

Sick of Subsidies wrote on Dec 2, 2007 9:18 AM:My husband & I work hard to live where we live and own the toys that we do. We also work hard to vacation where we want if we want and to be able to stay where we want when we get there. I'm sick and tired of groups like the Coastal Commission thinking that on top of us working for everything we have, that we also now have to work to accommodate people who don't.

puny wrote on Dec 2, 2007 9:29 AM:$3 mil. won't provide any low cost rooms and isn't even a blip on the screen of a $200 mil. resort project. These luxury developers should have to pay $25 mil. Now that would actually fund something the public could use.

To George wrote on Dec 2, 2007 10:58 AM:You are so right!

FTM wrote on Dec 6, 2007 7:09 AM:I'm so steaming mad! The coastal commission is public enemy number one as far as I'm concerned. Thier job is to preserve some of the beach for regular people because if you don't, the wealthy will buy up every inch and restrict the public from the beach like they do in Cardiff and Encinitas. It's even worse up north where they tore out the roads along the coast knowing full well that would restrict the bluffs to only the most wealthy that could afford to build privat roads. That's how the coastal commission protects the beach. They remove all public access and make it only possible for the very very wealthy to build access and by doing this the commision not only keeps the "hoards' from "destroying" the beach they also make BILLIONS of dollars off thier wealthy customers who pay the high fees and mitigation to live on the beach. Government intervention on behalf of the rich. This is just communist practice straight from the book. Party members in Russia are the WEATHY, NOT THE POOR! DON'T YOU PEOPLE GET IT?

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