By Marge Ann Jameson
On Wed., Oct. 1 the City Council will hold a special meeting to decide on terminating the 2012 formation agreement with Moss Landing Commercial Park, one which would eventually have addressed the development and operation of a desalination water supply project in Moss Landing.
Moss Landing Commercial Park, LLC recently entered into a similar agreement with Moss Landing Harbor District and has requested that Pacific Grove allow it to withdraw from the formation agreement and waive the 30-day notice requirement.
The agreement requires that the 30-day notice be waived only if payment of any money due has been made or arranged. Under the agreement, MLCP was to provide full and complete funding to the City and pay all the city’s costs to develop, review and obtain City Council approval of the desal agreement.
According to City staff, there have been costs incurred by the City which have not yet been reimbursed. The costs are somewhere in the area of $62,000. Staff has been working with MLCP’s attorneys to address the payment question and, according to City Manager Tom Frutchey, the question of the payment may come down to the wire with the City refusing to waive the 30-day notice unless payment is made or arranged.