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Commission hears lengthy update on building moratorium and wastewater-plant financing; staff cites $111 million grant package under review
Summary
City staff told the Planning Commission the city’s building moratorium has been submitted to the state HCD for review and that the city is negotiating a financing package — described during the meeting as roughly a $111,000,000 grant plus loans — with the State Water Board; staff outlined a phased plant option and said smaller projects without new sewer connections would still be allowed.
City planning staff told the Greenfield Planning Commission on Jan. 6 that the city’s recently adopted building moratorium has been submitted to the California Department of Housing and Community Development (HCD) for review and that the state will issue a letter outlining required changes before the moratorium can be treated as effective at the state level.
"We continually ask them... They did contact us. This was, I wanna say, around Thanksgiving," said Unidentified Staff (Community Development/Economic Development), describing staff outreach and the uncertain timing for a state response. Staff said HCD will likely ask the city to resubmit the housing element modified to reflect the moratorium and other items the department requires.
Staff also described ongoing negotiations with the State Water Board for a financing package to build a new modular wastewater treatment plant. "We're talking about a 111,000,000 grant and ... loans," Unidentified Staff said, adding that attorneys and bond counsel are reviewing the documents with the goal of presenting a final agreement to City Council in March or April. Staff warned that the grant would be reimbursable and that the city is working through cash‑flow arrangements to pay construction draws while awaiting reimbursement.
Commissioners pressed staff on the moratorium’s duration and triggers. One commissioner asked whether the moratorium would remain in place "until the sewage plant was completed." Staff replied it would remain in effect until Greenfield meets minimum effluent quantity and quality standards and explained a modular, phased approach could allow earlier partial operation: "We might be able to do a phase 1 that could actually get us to a point where we don't have the same issues in a much shorter period of time," staff said.
Staff said certain small projects that do not create new wastewater connections — for example, garage conversions or other work without bathrooms — would still be permitted during the moratorium. The staff presentation also noted previous outreach and that several projects remain in the pipeline (including farmworker housing, a CHISPA project on Elm and Phase 2 of Greenfield Commons) but that financing and state approvals are the gating items.
The commission was told the timeline for a final financing agreement is roughly March or April, subject to state review of documents and final numbers. Staff said they are not planning to hire a permanent community development director immediately because the planning workload is expected to be lighter while the moratorium is in place, though that plan could change.
Next procedural steps: staff expects a written list from HCD describing required actions; the city will revise the housing element and continue working with state staff and bond counsel on the financing package for council consideration in the spring.
