Wednesday, Sep. 17, 2008

Merced pays $45,000 to send Wal-Mart plan back for review

Money will pay for additional traffic studies

By SCOTT JASON
sjason@mercedsun-star.com

The Merced City Council agreed Tuesday to pay an additional $45,000 on the proposed Wal-Mart distribution center's environmental review, because more work needs to be done to make it bulletproof before its release to the public.

The council approved a request from consulting firm EDAW Inc. on Monday to spend more money on the review, bringing its cost to $447,455. The bill, and all the staff time spent on the project, will be reimbursed by Wal-Mart.

Opponents of the distribution center seized on the funding increase to point out that Wal-Mart was late on paying one of its bills two years ago.

The money will pay for additional traffic studies to account for more intersections and the Mission Avenue interchange. The consultant will also make revisions on the noise analysis and on how the project will affect air quality based on new San Joaquin Valley Air Pollution Control District regulations.

The environmental review is expected to be released to the public in December 2008, launching the public comment period that will pit the pro-Wal-Mart people against those who say the proposed project does more harm than good.

It won't go before the City Council for a vote until next year.

The consultant must answer all questions from residents, which are included in the final environmental review. As a result, EDAW says that even more money may be needed. "We expect an unusually large number of detailed comment letters once the draft (review) goes public," according to a letter to the city.

The environmental report, which addresses how the project will affect roads, air quality, water and land, is the most critical part of the project. It's typically what gets sued, which can stall a project for months or years.

The environmental review, begun in 2006, has taken longer and become more expensive than the consultant expected. Twice EDAW has come back to the city requesting more money.

Merced has made a point to make it defensible in court, ordering a third-party to pore over it, searching for holes or weak parts that could be targeted by attorneys.

Wal-Mart proposed a 1.2 million-square-foot distribution center in 2005, planning to build it on 230 acres between Childs and Gerard Avenues. It would employ about 600 people and run all day and all night. The city expects about 450 trucks to come and go every day, if it operates.

The Merced Stop Wal-Mart Action Team posted a statement on its Web site wondering whether the world's largest retailer would reimburse the city for the additional work.

The group pointed out that Wal-Mart didn't pay a $114,000 bill on time in October 2006. The city sent a letter threatening to send the matter to collections if the bill -- already 30 days overdue -- wasn't paid within 10 days.

Wal-Mart paid the bill, though city spokesman Mike Conway said no one in the finance department could remember why the payment was late. There are no other outstanding bills.

Reporter Scott Jason can be reached at (209) 385-2453 or sjason@mercedsun-star.com.