Tulare plans for significant development projects
TULARE – From overpasses to parks to businesses, the city of Tulare is pushing ahead on developments set to reshape the community within the next year and beyond.
City Manager Marc Mondell explained in an interview with The Sun-Gazette that some of the major projects included the Zumwalt Park project, the city dog park and the business incubator project. Ongoing projects include the Agri-Center overpass, the emergency homeless shelter and construction of a new overpass on Paige Avenue. “We are going to do a lot of deals, we are going to try to get as many deals that make sense to go forward, but some of those deals might not,” Mondell said.
He cited the recently announced project at Mefford Field that could see the development of a heavy industry alternative energy fueling station as one of the major projects that could get underway in the next year.
“We have an opportunity and that is what we are doing, we are exploring an opportunity,” Mondell said of the preliminary plans. “We are in a really good position and I hope it happens. I know the guys with Cyclum are working their butts off to make it happen, so we will see.”
One of the major projects that will hopefully be completed in 2025 is the Agri-Center overpass project, which the city is not involved in directly. The project is spearheaded by Caltrans and is anticipated to be completed by winter of 2025. Environmental studies and planning are also underway for the proposed Paige Avenue off ramp, but that project won’t be complete for several years.
“Most city managers are lucky if they get one interchange built in their time frame and we are having four,” Mondell said. “We got Cartmill built, we have got J Street almost finished now, we have got the South interchange at the Ag Center under construction now, and then we will have Paige Ave.
“There probably isn’t another decade in Tulare history that has seen this much investment – plus the widening of Interstate 99, which is a $550 million investment by Caltrans.”
New development projects are also underway along Cartmill Avenue that will see housing and business construction begin during 2025. Two developers are working on two properties in the area but recently ran into complications related to infrastructure. The city was able to use a creative incentive deal to ensure the projects stay on target. Mondell explained that the developers identified the need for an additional gas line that was not originally anticipated.
The cost of the pipeline is $400,000. Rather than risk losing the development, the city brokered a deal with the developers who will front the cost of the pipeline, then recoup the cost through sales tax payments once the development is done. The project will include a Chick-Fil-A restaurant and a Maverick gas station, which will enable the city to repay the investment in about seven years.
A second issue with one of the two developments also arose after the developers learned that a program provided by Southern California Edison (SCE) to provide electricity had sunsetted in January. Now, the developer will need to pony up $350,000 additionally to get power. The city has arranged a similar incentive deal with the developer to ensure the project moves forward.
“We have been very hungry for development at Cartmill for a while, so it was very exciting to start getting projects going,” Mondell said. “Once we get one project going, others will follow. Nobody ever wants to be first, I don’t know why that is, but it is the way it goes.” The city uses a variety of metrics to determine estimates of sales tax that led to confidence in the ability of the developers completed projects to meet the repayment goals.
Mondell explained that the city looks at other similar projects in the state and nation and determines the amount of sales tax generated, then puts together a low estimate, an average estimate and a high estimate. The city typically bases its forecast somewhere between the low and the average estimate to give a conservative number. This helps when unexpected economic issues arise.
“Here is how I look at it; the city is making zero on that property now,” Mondell said. “If somebody is going to come in and say, ‘I can generate $100,000 in sales tax annually, but I need $50,000 back to recoup costs for a few years, then you can keep all of it,’ I will do that deal all day long.”
The city is using a variety of tools to drive economic growth and development throughout the city. Examples include grant funds that have allowed several downtown businesses to renovate and improve their properties, agreements with state and federal agencies to generate funds for projects such as the homeless shelter and creative uses of city monies and regional sponsorships to complete projects like the Zumwalt Park amphitheater.
“Cities have some great tools and we try to use all of them to encourage the right kind of development,” Mondell said. “Cities have the land use and zoning controls, cities have the permitting process, how efficient and affordable we can make that process, the city has the extension of infrastructure as far as where we put our roads, water and sewer, and of course, we have incentive programs.”
Mondell said that the city leverages opportunities with state and federal programs to encourage development and he said the city will continue to use its leverage in 2025 to identify opportunities to continue development in the city in the coming years.
https://thesungazette.com/article/news/2025/01/13/tulare-plans-for-significant-development-projects/