LAUSD MAY PAY FOR ONCE FREE LAND SAN PEDRO PROPERTY TO COST MILLIONS NOW.

Byline: Beth Barrett Staff Writer

Six years after rejecting surplus federal property in San Pedro, Los Angeles Unified is now prepared to spend tens of millions of dollars to purchase the same parcel for a 2,025-student high school, the Daily News has learned.

The district applied for a portion of the former San Pedro naval housing site in January 1999, but withdrew the application seven months later rather than compete with the city of Los Angeles' plan for the property. Part of the surplus land was given away for two private high schools, which are now being built, while residential developer Bob Bisno bought some 62 acres for $121 million during an on-line auction held last March.

Tonight, the school board is set to consider designating about one-quarter of the land at Western Avenue and Westmont Drive as a ``preferred site'' for a $165 million high school, indicating it might try to acquire the land through condemnation proceedings after conducting a yearlong environmental review.

District officials estimate the cost of the 15-acre school site at roughly $30 million, based on the developer's purchase price. But Bisno said it could run as high as $150 million to $200 million once the adverse impact on the project is factored in.

``I think it's greatly unfortunate for the taxpayers,'' said Bisno, chairman and CEO of Bisno Development Co., which proposes a 2,300-unit multifamily development called Ponte Vista for the site.

``I think it is a clear demonstration ... of the degradation of responsible fiscal management to put themselves in a position where they're paying hundreds of millions of dollars for an asset they could have had, if they'd planned ahead, for free.

``I think it's a slap in the face for the taxpayer.''

The project has divided elected officials and members of the community who are concerned about the traffic and other problems the large campus would generate and whether a smaller school could be built elsewhere, such as near Los Angeles Harbor College.

At a news conference Monday, Los Angeles City Councilwoman Janice Hahn asked the school board to postpone a decision.

And in an interview, Hahn said the LAUSD has rushed the process without addressing community concerns and thoroughly exploring the alternatives.

``It's unfortunate they missed an opportunity to have land free of charge,'' Hahn said, adding that the proposed Ponte Vista project also is too large for the community.

``But we were told their demographers indicated they did not need to build a high school in this area less than five years ago. Now, it's problematic to put a high school there ... a 2,000-seat high school will bring a lot of traffic. They should build smaller learning academies.''

Board member Mike Lansing, who represents the area, defended the district's choice of a site for the school, which would serve communities in San Pedro and Harbor City. He also accused Hahn of being ``squeezed'' by a developer who is lobbying aggressively for a zone change that would allow his multifamily project. Hahn responded that she hasn't decided whether to back a change in zoning, adding that the community has issues over both the proposed housing development and the high school.

``It's a perfect location for the two communities it serves,'' Lansing said, adding that the district has looked at 10 alternate sites, including several suggested by city officials.

Lansing also defended the district's actions in August 1999, saying there was no money or designated school project at that time to justify competing with the city's master plan - which included the two private schools - for the free land.

``The story is, that was then, this is now,'' he said. ``Public school seats are needed.''

He also said building a 2,000-seat high school would be more cost- effective than building several 500-seat campuses in separate locations, and that the large campus could be configured into smaller learning communities.

School board member David Tokofsky said it was shocking that public entities throughout the region weren't able to capitalize on all the free federal land.

``It's truly an amazing drop of the ball by every public entity,'' Tokofsky said.

The LAUSD staff defended its efforts to acquire the site, saying student demographics have shifted and that the district now must work to ease overcrowding at San Pedro High School and at Narbonne High School in Harbor City.

Roderick Hamilton, LAUSD consultant and south region development manager, said the LAUSD approached the U.S. Department of Education again in 2003 and asked to reopen its application for the free land.

Barbara Shawyer, U.S. Department of Education project manager in the federal real property assistance program, said agencies cannot reapply under General Services Administration distribution rules.

``The door is pretty much closed'' once applicants say they're no longer interested, Shawyer said.

Hamilton said the district monitored the March auction, but couldn't afford the entire parcel.

Beth Barrett, [phone]

beth.barrett(at)dailynews.com

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