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Sausalito might acquire historic wartime machine shop - Marin Independent Journal

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Sausalito might take over the historic shipyard machine shop from the federal government at a steep discount.

The City Council voted unanimously on Wednesday to explore a public benefit conveyance of the property at 25 Libertyship Way. Council members said they hope to receive responses to questions related to the potential financial obligations and an appropriate use of the building if the city were to take possession.

The building has been owned since 2006 by the U.S. Department of Veterans Affairs, which purchased it from the Army Corps of Engineers. The building is not being used. The veterans’ agency has previously declared its intention to dispose of the building through the U.S. General Services Administration.

The machine shop was constructed in 1942 as part of the Marinship site that built tankers and ships during World War II. The machine shop was listed on the National Register of Historic Places in 2016.

Heidi Scoble, a city planner, said the council received a presentation about the site in June from representatives of the U.S. General Services Administration. The city signed a non-binding letter of intent to pursue a negotiated sale. The GSA recommended pursuing a public benefit conveyance historic monument program as an alternative. It has asked the city to confirm the option it is pursuing by May 9.

Scoble said the deadline might be extended pending responses to the city’s inquiry.

The historic monument option could allow a discount of up to 100% on the value, or a highly reduced price. The National Park Service sponsors the public benefit conveyance to ensure the use and scope of a historic preservation plan. It would help the city with an application and provide a recommendation to the GSA.

The negotiated sale would allow the city to purchase the property at fair-market price. Encumbrances and restricted covenants might be involved in the purchase.

Scoble said if the city decides not to pursue either option, the GSA would likely sell the property on the open market.

Scoble said there has not been an analysis of the stability of the building. She said whatever option was chosen, there would likely be a cost to rehabilitate the building. She noted that part of the building’s roof is caved in.

Vice Mayor Melissa Blaustein said her focus is on how much the building and its management would cost, and whether the city could afford it “given our fiscal stance right now.”

“I want to understand the benefit of it from a fiscal standpoint if we take it on,” Blaustein said.

Mayor Janelle Kellman said the decision to advance the public conveyance option would not obligate the city to pursue the option.

“We’re actually just signaling we want more information,” she said.

Councilmember Ian Sobieski said it is unclear whether the historical significance of the building is in the structure and building components, or the events that occurred there.

“That may require a very different type of capital investment,” he said. “I think it’s worth turning over this card.”

Councilmember Jill Hoffman recused herself from the vote because she has a property near the machine shop. Councilmember Susan Cleveland-Knowles was absent at the meeting.

Much of the conversation was tinged by the nearby city-run camp for homeless people, which has been costly for the city. Some public commenters questioned why the city would choose to take on additional financial responsibilities while struggling with unforeseen homelessness costs and pension debt.

Peter Van Meter said either option would cost “millions of dollars” and be a “money pit.” He recommended the city abandon efforts to acquire it.

Kevin Carroll said he wondered about the long-term future of the Army Corps of Engineers building and museum. He said he hopes at least the machine shop or the Army Corps of Engineers building can be preserved.

Vicki Nichols inquired about the obligation of the Department of Veterans Affairs to remediate damage before transferring. She described its stewardship of the building as “neglect.”

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