Marin Transit responds to resistance at a bus stop in San Rafael

Marin Transit has pledged to explore the potential for housing, retail, bike and pedestrian improvements as part of its plan to create an electric bus hub in the San Rafael Canal area.

Last week, the agency’s board approved a resolution committing to “an active public engagement and communication process” in partnership with city officials and organizations to consider such initiatives.

The move was in response to opposition from city officials who said a bus hub at the site would not be consistent with the city’s master plan, which sets out long-term development policies. City officials said the area is congested with traffic and that the community was not involved in the planning of the project.

“We have listened to these comments and appreciate the city’s consideration of the purchase,” said Brian Colbert, San Anselmo councilman and Marin Transit board chairman.

At a special board meeting Thursday, Colbert and staff proposed amendments to the resolution to perpetuate the agency’s intent to work with city leaders.

“As Marin Transit indicated in the staff report, we are committed to engaging with the City of San Rafael and the community in planning for future development of the site,” Colbert said.

The board has committed to developing a public engagement plan no later than March 31.

Marin Transit is purchasing 1075 Francisco Blvd. East, a 3.5-acre former car dealership lot owned by Marin Hospitality Inc. No specific project was approved there.

Nancy Whelan, general manager of Marin Transit, said the purchase agreement allows escrow to close within 30 days of Oct. 25. Officials plan to close soon, Whelan said Tuesday.

Marin Hospitality Inc., which has owned the property since 2016, received city approval to build a 184-room hotel in 2020. At the time, the hotel was expected to generate $700,000 a year in tax revenue and create an influx of new jobs. The city administration reported.

Since the pandemic, Marin Hospitality has decided not to move forward with its hotel plans due to financial conditions, according to city officials.

The site is zoned for general commercial use and its master land use plan is for public commercial use. In a notice to Marin Transit last month, city officials said the bus hub plan was not suitable.

San Rafael staff told the City Council at a meeting last week that a car dealership or hotel – businesses that rely on high publicity and generate tax revenue for the city – are the best use for the site. As a government agency, Marin Transit would be tax-exempt, meaning a loss of revenue for the city, staff said.

According to employees, the bus center would be appropriate for light industrial sites.

Marin Transit has been looking for a home for its bus fleet for more than 10 years. Last year, the Biden administration awarded the agency a $31.5 million grant toward that goal. Marin Transit will provide $15.1 million in local reimbursement for a total investment in the new hub of approximately $46.7 million.

In August, the council approved the purchase and sale agreement for the property. After receiving a letter of disapproval from the city, Marin Transit said it had the right under state code to overrule the city’s decision for several reasons.

According to Deborah Miller, an attorney for Marin Transit, building electric buses would align with the city’s master plan goals on climate change, transit and equity.

Second, the project site is bordered by light industrial development to the north, east and southeast, making it a harmonious addition to the bus center, Miller said.

“Finally, the acquisition of real estate is critical to the agency’s ability to meet the state’s mandated zero-emission fleet requirements,” Miller said. “Without acquiring the property, it will be extremely difficult for the agency to meet these government requirements.”

Once land is acquired, before any project is considered for approval, a formal proposal will be made, including environmental compliance studies, public meetings and public input, Whelan said.

The Marin Transit grant also includes $2.2 million for workforce development, which includes worker training and programs aimed at diversifying the workforce with new hires who are women and people of color. Some of this amount should also be spent on developing on-site child care services or subsidizing child care for transit workers.

U.S. Rep. Jared Huffman, D-San Rafael, and three Marin nonprofits — Sustainable San Rafael, Cool the Earth and Canal Alliance — wrote to Marin Transit asking for support for the property acquisition.

John Stefanski, assistant city manager of San Rafael, addressed the Marin Transit board at its meeting. Stefanski said land use was “carefully considered by our community” when developing the city’s master plan.

“The city’s decision to not comply is a reflection of the community’s efforts to create this plan,” Stefanski said.

With that said, the agency’s expressed commitment to collaboration appears promising, Stefanski said.

“It is critical that our agencies continue to work together in the best interests of the communities we serve,” he said.

Marin County Executive Dennis Rodoni, a Marin Transit board member, said the agency is prioritizing giving residents of Canal, Bay Point and Spinnaker Point a voice in the planning process.

“These are residents who are neighbors of this project if it goes ahead, and I think it’s really important that we involve them,” Rodoni said. “I know they have a voice and they need a voice on this issue and we need to give them that opportunity.”