The History of Annexation (Part II)

Annexation has been a big local story recently. The West Ranch and Castaic Town Councils are discussing the possibility of incorporating into a new city, and Supervisor Antonovich has allocated $25,000 to fund an Initial Feasibility Analysis to see if it’s possible. The Santa Clarita City Council has also formed a committee and will be discussing appropriating funds to provide an annexation component to the study at tonight's City Council meeting. With all this focus on the annexation issue, I have researched the history that lead to recent events, using primarily newspaper articles. Part 1 ended as LAFCO rejected the City’s third request for an extended sphere of influence in June of 2001.

ANNEXATION TALKS CONTINUE ON THE WEST SIDE In July of 2001, the Stevenson Ranch Town Council members met once again with city officials to discuss annexation. Even though the sphere request had been denied, LAFCO officials had said they would not prevent a community from annexing into the city if there was majority support. Town Council members said that public outreach measures in the past several years have consistently shown that the community supports annexation. The city had requested the community collect 60% of the residents signatures, but the council had not collected nearly enough, citing that the council didn’t have enough resources to collect the signatures needed. Reaction in the community from residents was mixed. Supporters felt that annexation would give them access to better services, such as police protection and road maintenance, while others felt it unnecessary and that annexation would not change the services they already receive. Dave Bossert, elected to the town council in 2002, had this to say about the previous town councils annexation efforts: “During that period [1998 – 2002], the [Stevenson Ranch] Town Council tried and failed to get the area annexed into the City of Santa Clarita. At one point, they formed the West Side Annexation Committee and were able to collect a handful of signatures over a three or four weekend period. That group dissolved because they were unable to get any traction with in the community for annexation. It's worth noting that there have been about 6 different votes and/or straw polls over the past 15 years in which the overwhelming majority of residents have turned down annexation into the City. The last poll showed that over 70% turned it down as a choice. That had about 7% community participation. Part of the 70% contained a small percentage of people that felt they did not have enough information on the subject.” The town council held another election in the fall of 2002. Four positions were open, with long term members Keith Pritsker and Lorrie Baldwin opting not to run. The new members, one of whom was Dave Bossert, would bring new leadership and a different outlook to the town council. STATE BUDGET DEFICIT In 2002, Governor Gray Davis was running for reelection amidst a staggering budget deficit. In addition, revenues were down due to a recession. State officials were raising taxes and scaling back aid to local governments in an effort to close the large budget deficit. Local municipalities across the state were struggling to deal with reductions in state funding in their own budgets, and the City of Santa Clarita was no exception. The City was looking for ways to increase revenues without raising taxes or fees, choosing to focus on the “Shop Local” campaign to raise sales tax revenues. City officials also once again asked Antonovich to share the tax revenues generated by the Valencia Marketplace, now estimated to be adding $4 million in revenues to the County coffers. In prior years, Antonovich had always steadfastly refused to negotiate any revenue sharing agreement. This time however, he agreed – with one caveat: the City would have to give a county a portion of the receipts from the Valencia Town Centre and Auto Row. Although the City had no plans do so, Marsha McLean commented, “It’s a positive that the Supervisor agreed to discuss the matter. That’s something, at least”. (Daily News 6/14/02). In August of 2002, the city finalized its 22nd annexation with the annexation of the Wes Thompson Ranch. Not all previous annexations had included commercial entities, and the continued annexation of neighborhoods was adding to the budget woes. With four more annexations in the works, the City Council agreed to adopt stricter guidelines when annexing future neighborhoods. UNDER THE OLD OAK TREE Over on the west side of town, trouble was brewing. In December of 2002, an activist had planted himself in a 400-year old oak tree, which stood in the path of the planned extension of Pico Canyon Road. The Stevenson Ranch Town Council understood the need for the road to be widened to four lanes to accommodate the eventual traffic from the Newhall Ranch Project, and the residents were growing tired of the media circus surrounding the tree sitter. The City of Santa Clarita sent a letter to county opposing the order to remove the giant oak tree, angering Town Council President Paul Ash. He saw the move as hypocritical, stating in a 12/6/02 Daily News article: “It seems they are selectively employing the One Valley/One Vision motto because they chose to take a strong stand against the tree and didn’t consult members of the Stevenson Ranch Town Council. And then we find out they’re on the verge of approving 1600 oaks removed,” he said, referring to the Needham Ranch Project, which was then in the planning stages. THE WEST RANCH TOWN COUNCIL EMERGES The Stevenson Ranch Town Council was renamed to West Ranch Town Council in April of 2003. The council’s area of influence was expanded to include Westridge to the north as well as the first phase of the Newhall Ranch Project. While the Stevenson Ranch Town Council had been pursuing annexation as recently as a year ago, the West Ranch Town Council, seated with mostly new members, chose to focus on services for their residents instead. Town Council President Paul Ash said the group had not yet discussed annexation, but would likely discuss it soon. “Although it’s definitely an important issue … I don’t think the time is right now. It may well be the most viable solution in time, but that’s not the time yet and Stevenson Ranch is not done growing yet. It might be a better solution to annex when it’s built out in 10 years. In the meantime, we’ll work with what we have”, said Paul Ash. (Daily News 4/13/03). PARK FEES AND BOYCOTTS In the spring of 2003, the City Council continued discussing charging higher fees for non-residents using the city parks programs. Popular programs, such as basketball and aquatics, were in high demand, and the city was subsidizing the large number of non-resident participants. The move was condemned by Supervisor Antonovich, who said it would complicate ongoing efforts to complete the “One Valley, One Vision” joint general plan. However, Critics of the council’s boycott suggested the residents should demand the county to upgrade services that they are paying for but not receiving. County officials countered that they recognized that there were deficiencies and that the county was now requiring developers to provide more. “Sure, we’re playing catch-up. Nobody denies the original Dale Poe-built Stevenson Ranch is lacking in amenities. We’re not going to let that happen again”, said Bob Hauter, deputy for Supervisor Antonovich. Most cities, including Glendale and Burbank, don’t provide the same benefits to non-residents; however the town councils believed the city should retain it’s current system and continue subsidizing non-resident participants. Angered by the possibility of higher park fees for non-residents, the West Ranch Town Council called for a boycott of Santa Clarita stores in retaliation. Mr. Bossert said in a 4/4/03 Daily News article, “We spend a lot of money in Santa Clarita, and tax revenues are going to the city. Let’s make sure the tax revenue goes to the county. They’ll (the city) lose so much more than what they think they’ll gain with those higher fees”. The council planned to urge it’s own residents, as well as the other unincorporated areas of Castaic, Agua Dulce, Val Verde and Acton to join them in a boycott of city businesses. However, city officials emphasized that no decision had been made and that any action such as this was premature. LYONS CANYON RANCH AND THE VALENCIA COMMERCE CENTER In the summer of 2003, plans were being drawn up for Lyons Canyon Ranch. The developer planned to annex his property to the city, and had even written a letter of support for the city’s expanded sphere of influence application in 2001. By this time, the Golden Valley Ranch project, initially rejected by the city council, had been scaled down and was making its way through the development process. In addition, many developers with land in the unincorporated areas were developing their properties through the city and annexing, including Wes Thompson Ranch, and Newhall Land’s North Valencia I and II. In June of 2004, City Manager Ken Pulskamp met with Valley Industrial Association members at its quarterly meeting regarding the benefits of annexation. The move angered Castiac Town Council members, who saw the Commerce Center as vital to the community should they decide to incorporate into their own city. Castaic councilmember Lloyd Carder planned to call for the formation of a cityhood committee at the next meeting, and President John Kunak said that he will call for the council “to oppose any annexation of any part of Castaic without discussion and review of the consequences”. (Signal, 6/4/04). By September, both the Valley Industrial Association and the Santa Clarita Chamber of Commerce backed the annexation effort. “This annexation makes great business sense for the valley. The companies over there should receive better services at lower cost … It’s a big win. We just don’t see any downside in supporting this project”, said chamber president Larry Mankin (Daily News 9/14/04). Town council president John Kunak countered that “This industrial area is part of Castaic. If Castaic were to become their own city, this would become an important part of it”. Kunak stated that the residents deserve a say in the process and that the residents had been left out of the discussions. In October of 2004, city officials spoke at the Castaic Town Council meeting. The residents remained split, with some in favor of annexation and others opposed. The town council approved a resolution 8-1 stating that ‘the panel does not support the annexation plan, but is open to additional dialog with the city’. (Daily News 10/22/04). A LAFCO report issued in November praised the city of Santa Clarita for being well managed and responsive to residents. The report also advised against extending the city’s influence west of the I-5, even though the city had not applied for an expanded sphere. “Existing communities of Stevenson Ranch and Castaic, and such proposed developments as Newhall Ranch, should have the autonomy to decide whether they want essential services delivered by Los Angeles County, the city of Santa Clarita, or by a whole new city”, said LAFCO Executive Director Larry Calemine (Signal, 11/19/04). “There is nothing to justify the city of Santa Clarita annexing the whole Santa Clarita Valley”. In December, Supervisor Antonovich announced his opposition to annexation of both the Lyons Canyon Ranch project and the Valencia Commerce Center. In letters to LAFCO, Antonovich stated that he is ‘opposed to the city’s efforts to annex the 1600-acre Valencia Commerce Center and the Lyons Canyon Ranch property because both would expand the city of Santa Clarita’s sphere of influence, which was never part of the plans when the city first incorporated in 1987’. (Daily News 12/17/04). He also cited town council opposition, and labeled the developers proposed density for the Lyons Canyon Ranch project as being ‘too dense’, even though the project was only in draft stages and had not yet been reviewed by city planning staff, nor been subjected to the public hearing process. In the face of Supervisors Antonovich’s opposition, the developers of the Lyons Canyon Ranch project pulled their project from the City and applied for approval through the County. Some saw duplicity in Supervisor Antonovich’s long-standing statement that the property owners should decide if they want to annex or not. “I think [Antonovich’s alignment is] somewhat contrary to the property owner’s right to vote”, said assistant city manager Ken Striplin in a 12/19/04 Signal article. SOME RESIDENTS IN CASTAIC IN FAVOR OF ANNEXATION In February of 2005, as the county installed “Welcome to Castaic” signs around the west side, the Hasley Hills Homeowner’s Association was meeting with city officials to discuss annexing into the City along with the Commerce Center. In March, the HOA began circulating a petition for annexation, including the Live Oak and Northbluff neighborhoods, to gather the 60% signatures needed to demonstrate support for annexation. However, residents clearly remained divided on the issue. In May of 2005, the County printed a 5-page brochure targeting the west side residents and touting the benefits of remaining under the county’s jurisdiction. The brochure argued that there is no significant difference in cost or of the level of public services between the county and the city of Santa Clarita. Brian Roney, a Hasley Hills resident and chairman of the Castiac Annexation Support Team, said the brochure “shows the county is competing for residents. This is unprecedented.” (The Signal 5/5/05). Later that month, city officials held another meeting with the residents of Hasley Hills, North Bluffs and Live Oak. Several residents were opposed to annexation, citing their concern that being part of the city would negatively impact the semi-rural area. Paul Brotzman, Director of Planning & Economic Development, attributed the concern to misunderstanding that being part of the city will automatically lead to urbanization. “The irony is that the urbanization happening all around them is approved by the county”. (Signal, 5/11/05). In July of 2005, a joint meeting between the West Ranch Town Council, the Castaic Town Council, city and county officials was held. Larry Calamine, Executive Officer of LAFCO was also invited. “All we want to do is have the community get the information they want to put out and to come to a conclusion that’s in our best interest. … We’re looking terms of what you can do, and if you can do it, and if someone else can do it better”, said John Kunak. City officials noted that more responsive local representation, better law enforcement, removal of the 5% utility tax and increased parks services are some of the benefits of annexation. County officials argued that they have kept up with services in the unincorporated areas, and that those communities enjoy similar police protection, although response time for routine, nonemergency calls can take up to an hour in the unincorporated areas. CITY COUNCIL AGAIN CONSIDERS INCREASED PARKS FEES In March of 2006, the council voted 4-1 in favor of ending subsidies for non-resident participants in parks & recreation programs. Of more than 350,000 registrations in the programs since 2001, nearly half of the participants were non-residents. Councilmember Frank Ferry said that the measure was needed in order to enable the city to continue to provide for its own residents. Dave Bossert, President of the West Ranch Town Council, was the sole speaker in opposition to the rate hike, saying that the sales tax generated in the city by nonresidents more than offsets the program subsidies, and suggested that city officials should have met with the town councils before unilaterally reaching a decision. (Daily News 3/30/06). Laurie Ender, vice chair of the Parks, Recreation and Community Services, countered that residents in the unincorporated areas should be going to the Board of Supervisors with requests for better parks services. “Our residents deserve the best [and] city residents come first”. (Signal, 3/30/06) CASTAIC AGAIN CONSIDERING ANNEXATION In May of 2006, the Castaic Town Council sent a letter to Mayor Laurene Weste, stating, “While we are proceeding with our exploration into the formation of a city on the west side of I-5, we are also seriously considering the option of annexation with the city of Santa Clarita”. The council requested information regarding annexation. Lloyd Carder, President of the Castiac Town Council, wondered “Would they be able to accept all 93 square miles and not [annex] piecemeal? We need an answer to that question. Then we can sit down and negotiate. And it’s up to the people. There has to be an election.” (Daily News 5/28/06) Gail Ortiz, spokeswoman for the city, said “We would welcome the entire Castaic community. The ball is now in the court of the residents of Castaic.” RECENTLY, INCORPORATION DISCUSSED At the September 2006 West Ranch Town Council meeting, Carl Boyer attended as guest speaker to discuss what is involved in incorporating a new city. Boyer commented that although he doubted Stevenson Ranch had the population or sales tax to finance city-hood, he would not discourage the move. In January of this year, the West Ranch Town Council formed a committee to look into the various options for governance – remaining in the unincorporated county, annexing to the City, or incorporating into their own City. West Ranch Town Council members have met with Castaic Town Council members to discuss incorporation as well. Later that month, Supervisor Antonovich pledged $25,000 to fund an Initial Feasibility Analysis to determine if enough revenue was produced in the west side communities to fund a new city. City officials have also formed their own committee to discuss the benefits of annexation with the town councils. On Tuesday night, they will consider appropriating $25,000 to provide for a study of the benefits of annexation for the west side communities. Residents from both the West Ranch area and Castaic have expressed differing views on which direction they think things should go. Some are in favor of annexation, others are in favor of incorporation. And others still aren’t sure. “We like Supervisor Antonovich. I think he does a great job for us. [But] I think the structure is a little unwieldy. We think it would be better to be closer to the governing body, to be more local”, said a Stevenson Ranch resident (Daily News 2/3/07). Her husband agreed, saying “It seems if we’re in the community, we should be part of this community. It doesn’t make sense to me to have different tax bases in the same community”. THE OPINION SIDE OF THINGS The intention of this article was to document the events of importance that have led up to the point where we are at today. I have tried to write this article from a neutral stance and present both sides of the issues. I have purposefully left opinions out of it. However, both Mr. Bossert and I have had plenty to say about things, and it has led to some lively exhanges in the blogosphere, (such as this or this). If you are interested in reading the more of the opinion articles that have been posted on SCVTalk, you can search this site for articles on "annexation" or "Bossert". Click here to search. You can read Dave Bossert’s opinions on his blog, www.westranchbeacon.com. Some of his earlier articles are more easily found at his old blogsite, thewestranchbeacon.blogspot.com. IN SUMMATION … I think that throughout the years since the city’s incorporation, just about all of the interested entities have made themselves clear. Since incorporation, the City has made annexing the surrounding areas and gaining a sphere of influence a top priority. The pace of annexations slowed in recent years as the City adopted a less-aggressive annexation policy. The City has completed 28 annexations to date, but never has been granted any meaningful sphere of influence to control the rapid growth around its borders. Supervisor Antonovich and LAFCO have stated that they do not think the city borders should extend west of I-5, where development still continues at a rapid pace and the lucrative Valencia Marketplace, Valencia Commerce Center, and the future Newhall Ranch project are located. Supervisor Antonovich has so far refused to negotiate any tax-sharing agreements with the City for the Valencia Marketplace. He has also stated that the decision to annex, incorporate, or stay in the county is one that the residents must make. Newhall Land has stated that they are not interested in any of their extensive holdings west of I-5 to be annexed into the City of Santa Clarita. It remains to be seen whether they would decide to allow their holdings to be incorporated into a second city. And in a highly unusual condition in the sale of the Valencia Marketplace, Newhall Land stipulated that the new owner could not initiate or support any annexation effort, and if the matter were to come to a vote, the owner must vote as Newhall Land dictates. The only ones we really haven’t heard from are the residents themselves. Comments in the papers tend to be running in favor of annexation, but without putting it to a vote or scientific survey of some kind, everyone is really just guessing here. So if you’re a West Ranch or Castaic resident who wants to get involved, the West Ranch Town Council wants you! Click here! They are looking for about 15 to 25 residents to serve as a Citizens Advisory Group to consider all the options, and it’s open to any resident living in the west side communities. It’s a great chance to get involved in your community, make sure your voice is heard, and help make a decision that will shape the future of the entire Santa Clarita Valley. I hope that you have enjoyed this trip through recent history. I hope that in telling it, I have been fair to all sides. If you have any comments, please feel free to add them below. Look for more coverage of annexation issues coming from SCVTalk!