Loomis and Rocklin settle Costco dispute

After two years of litigation, the Loomis Town Council approved a settlement with the city of Rocklin on Oct. 6, paving the way for a Loomis Costco on Sierra College Boulevard. Loomis officials approved the negotiated settlement during a special meeting Oct. 6. Loomis Town Manager Sean Rabé said the settlement agreement has now been executed by all parties in the ongoing litigation, which are Loomis, Rocklin, Costco and the Citizens for Responsible Growth. Costco will almost double the annual sales tax revenue in Loomis with $1.25 million a year, Rabé said. "We have so many needs in town, so it is much needed," Rabe said on Oct. 6. "We are overwhelmingly excited to see the store open," Rabé said. Salient terms of the settlement are as follows: * Costco will process a revised site plan and use permit with the town of Loomis that removes the fueling station from the project and an extended right-turn lane into the project from Sierra College Boulevard.Costco will pay to Rocklin the following:* A payment in the amount of $2.7-million. Of that, $1.5- million is a one-time payment catch-up for Costco's contribution to the I-80/Sierra College Boulevard interchange improvement project and $1.2 million is identified as 12 years of payments to address ongoing improvement and maintenance impacts to the interchange.* A one-time payment in the amount of $1,055,224 to allow Rocklin to address impacts on the Sierra College Boulevard corridor north of the I-80/Sierra College Boulevard interchange.* Rocklin agrees to use the $1.2-million payment and the $1,055,224 payment to mitigate impacts from the revised Costco project on the Sierra College Boulevard corridor.* Costco will reimburse Citizen for Responsible Growth $227,580 in attorney fees.* Costco will covenant for no less than 50 years to not build a gas station facility anywhere within the town of Loomis that is located on the existing Costco site or within the town of Loomis within 750 feet of the boundary of the existing Costco site. The settlement agreement stays all litigation until the revised site plan and use permit are approved by Loomis, at which point the litigation will be dropped, Rabe said. "The town is gratified that this settlement will put the litigation over Costco to rest," Rabé said. "It's worth noting that the town prevailed in the original lawsuit regarding the environmental impacts of the project. It's unfortunate that, despite the judge's original ruling in favor of the town, the project has been tied up for nearly two years due to the use of the California Environmental Quality Act as a cudgel, instead of as a way to ensure proper mitigation." "Loomis proposed in 2019 the same payments to the Sierra College interchange as the settlement provides for," Rabé said. "Nevertheless, this settlement paves the way for Costco to open in Loomis."