Brea Development News
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City Council Regular Meeting
Published: Jun 16, 2026
City Approves $10.19M Easement Purchase for Track Extension
The city council approved a purchase agreement for a 2.8-acre easement from Union Pacific Railroad to extend the tracks. The purchase price for this easement is $10,190,491. The vote was unanimous (5-0) with Councilmember Stewart participating remotely.
Costco Development Proposal Sparks Debate Over Traffic, Revenue, and Lease Terms
The potential development of a Costco store and gas station at the Birch and Kramer property was a major topic of discussion among speakers. Proponents highlighted the potential for significant tax revenue generation and economic benefits, citing AI research suggesting Costco and residential areas are more beneficial than light industrial use for the city. Speakers also detailed personal and business benefits from Costco, such as fuel and supply savings. Opponents expressed strong concerns about increased traffic congestion, noise, and a negative impact on the quality of life in East Brea, particularly for residents in Eagle Hills and Country Hills. They also raised issues about the tax-sharing arrangement with the developer, Dwight Manley, arguing that the city would receive a smaller portion of sales tax revenue for an extended period. One speaker presented an AI analysis suggesting Costco would be more beneficial for tax revenue and residents but noted the importance of mitigating traffic impacts through dual entrances, turn lanes, signal upgrades, and restrictions on cut-through traffic. Concerns were also voiced about the specific terms of the economic development agreement (EDA), including a provision for Dwight Manley to receive 40% of future city sales tax increases above the current rate, and the significant financial gap the city might face in the first 10 years due to the deal.
City Council Reviews Legal Services Agreement Amidst Transparency Concerns
The city council discussed the renewal of the legal services agreement with Richards, Watson, and Vershan (RWG). City Treasurer Denise Eby raised concerns about potential overpayments totaling nearly $200,000 in travel time and a lease agreement with RWG that was not compliant with redevelopment law and had not seen a rent increase since 2007. Eby recommended a third-party attorney review the agreement and add clauses for reservation of rights and tolling the statute of limitations to investigate overpayments. Councilmember Stewart proposed removing item 4K (the RWG agreement) from the consent calendar for third-party review. City Manager Griffith clarified that the legal services agreement and the lease agreement are separate items, and both will undergo third-party review before returning to the council. The city attorney stated that the new contract would not include travel time billing for council or planning commission meetings and that they were open to renegotiating the lease.
City Council Reviews Annual Vacancy Report Under New State Mandate
The City Council received and filed the annual report on full-time vacancies and recruitment/retention efforts, as required by Assembly Bill 2561. Human Resources Analyst Michelle Muñoz presented data showing a citywide vacancy rate of 7.01%, with no bargaining group exceeding the 20% threshold that would trigger additional reporting. While recruitment challenges persist due to competition and the need to update job descriptions, strategies like career fairs, social media marketing, and a mentorship program are being employed. The report noted that no bargaining group currently meets or exceeds the 20% vacancy rate, thus no additional reporting is required under the legislation.
Brea Reports Progress on Construction Projects and Welcomes New Businesses
Updates were provided on ongoing construction projects and new business openings. Phase three of Brea 265 has received a rough grading permit, and a new warehouse building off NASA Street is nearing completion, which will include enhancements to the adjacent tracks segment. Several new businesses have opened: Pacific Catch in the new mall segment, Live Meta Pilates at Gaslight Square, and Somy Somy (ice cream) in downtown Brea. Lifetime Fitness announced an opening date of July 9th. Additionally, the Aero Vista Park Modernization Project is progressing with completed items including a reconstructed sound wall, restroom and concession stand, shade structures, and courts; the park is expected to reopen later this year. The Palm Street Paving Project, a collaboration with Fullerton and La Habra, is underway and expected to be completed by the end of July, involving pavement replacement, curb ramp reconstruction, sidewalks, driveways, and landscape improvements.
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