Video: HMB Planning Commission questions city’s sale of land

The sale of land by the city of Half Moon Bay to an elected water district director has set off a controversy in the city’s planning commission.

In April 2005, in a closed session, the City Council agreed to sell a lot on Highway 1, just north of the former Ono Grill [Google map], to Ken Coverdell, the owner of an adjacent lot. Coverdell is a director the County Coastside Water District (CCWD). Coverdell plans to merge the two lots in order to build an undisclosed visitor-serving project. The sale came before the planning commission because the city still hasn’t completed the sale, which it must do before Coverdell can apply for a permit.

Planning Commissioner Kevin Lansing has raised concerns that the selling price of $180,000 was significantly less than the property is worth.  Citing advertisements for similar property in the most recent Half Moon Bay Review, some commissioners suggested that value was closer to $275,000 to $300,000. Lansing was also concerned that the city agreed to pay half the closing costs for the sale when the usual practice is for the buyer to pay.

Several questions were raised at the meeting that remain to be answered. City staff contend that the planning commission has no right to question a sale that was decided by the city council and that because the decision was made in a closed session, the city doesn’t have to reveal how it came to a price.

In one dramatic moment, after a motion was seconded and just before the mattter came to a vote, city staff produced a letter from the city attorney that it offered to share with the commission during a recess on as privileged basis.

The plannning commission voted to continue the item, with direction to staff to bring back evidence to show whether the City had received fair value for the property and whether the land had been offered in a way that would allow other members of the public a chance to make an offer. The motion passed 4 to 3. Voting yes: Kevin Lansing, Jack McCarthy, Linda Poncini, Doug Snow. Voting No: Thomas Roman, Patric Johnsson, Jeff Allis

This is not a simple partisan squabble of the type that the Coastside is used to.  The deal was made by the previous city council majority (council members Mike Ferreira, Jim Grady, Marina Fraser, and David Gorn were in the closed meeting) to Coverdell, a CCWD director and political ally of the current city council majority.  Lansing was nominated to the planning commission by David Gorn.