Council to Ask Voters to Fund New CIty Hall

The City Council may ask voters to approve a General Obligation bond to fund a new $12.2 million City Hall. A special election could take place as soon as August.

Council members held a study session Tuesday to explore financing options for the proposed project, which the city put aside in 2009 during the height of the Recession.

Assistant City Manager Jason Kruckeberg advised the Council that now would be the ideal time to build a new City Hall, as construction prices have dropped considerably in recent years.

Councilman Roger Chandler jumped on board.

"We've basically set this city up for the next 50 or 60 years for public buildings, except City Hall," Chandler said, referencing Arcadia's new police and fire stations. "This building is inefficient."

If the bond passes, the average property owner in Arcadia will pay around $50 more a year in property taxes, Kruckeberg said. The bond requires 2/3 voter approval to pass.

The Council briefly flirted with the idea of funding the new Hall with lease revenue bonds — an annual pledge of money from the city's general fund that does not call for voter approval. However, council members ultimately decided to nix that plan, as it would involve dipping into the city's reserve funds, which took a hard hit from the recent .

"If we don't put this to bond, I don't think we'll ever build this," Chandler said.

Deputy Mayor Bob Harbicht said Arcadia is in dire need for a new City Hall because it could turn investors and developers off from doing business with the city.

"This City Hall is an embarrassment,' Harbicht said, adding. "It does not convey Arcadia. The community does, but the City Hall does not.

Mayor Gary Kovacic said he doubted Arcadia would lose business because of the state of its City Hall.

"If people come to Arcadia and all they look at is Arcadia Hall, I'm not sure I trust their judgement," Kovacic said.

Kovacic expressed his concern about whether the city should push forward with a bond measure this year, especially given that the will ask voters in March to approve Measure A — a .

"I think whatever happens with Measure A is significant in terms of timing," Kovacic said.

Chandler disagreed, noting the city is asking for significantly less money than the school district, and voters "are getting something tangible."

"Whether we have a brand new City Hall is insignificant to me," Kovacic countered.

Meanwhile, the extant City Hall, which has stood for more than 60 years, is getting a $2.3 million facelift. Along with new carpet and a fresh paint job, the building is being retrofitted with energy efficient windows and a modern heating and air condition system.

Once a new City Hall is constructed, the new building could become a community center or rented out as office space to local businesses and organizations, such as .