HomeMy WebLinkAboutR02-RDA Minutes
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REDEVELOPMENT COHKITTEE
M I NUT E S
REGULAR MEETING
June 7. 1990 - ~IOS p...
The ...~ing of the Redev.'~nt Committ.. wal call.d to order ~y
ChalrMa.an titbit Ilttada at ~.OS p.... in the Redevel.,..nt Agency Conf.rence
Roonl. Fourth Floor. City H.ll. '00 North ''II'' Str..t. San "rnardino~
ROLL CALL
Roll c.,l w.. t.ken with ~he following .....n "Ing pre.entl Chelr_n
Either Estr.d. .nd c_ttt.. ......r Jell Flore. and COMtu.. IhntJv MIch..l
Maudlley. .
STAFF PRESENT
RoMrt J. T..,le. Acting E!IllKUtt~ otrector. IDA, John H...,.. Dev.I...."t
M.n...... RDA,I.ry Wagoner. "'os.ct~",r; ADA, Sulen"~ ....,..1... 'roJect
Manager. R~,Nancy Devi-.. 'r.J~t ........,.. IDA, I'hI1 "rvtzo. Il(~tlve
. A..ht.nt to t~ Coundl,~orV.'. Hole"', Lorraine VeI.rde.Executive
Allht.nt to the .Mayor, Dennh A. I.rlow;. $entor ASlht.nt City Attorney,
Henry I.no. Deputy Clty"~torney' ~Shal1 .....11.n. City Adlttnhtntor,
KI"'rly A. King. Recording Secretary. aDA,Margta V.nc. Tr.nacri~ing
S.cret.ry.RDA.
OTHERS IN ATTENDANCE
Ann H.rri.. Executive Director. M.In Str..t, Dani.l Irog.n. o.nlTr.ni' Dan
Stark. SICVI, Patrick C.ffary. LeGMt~a InnlSanlatn.rdino Hotel and Motel
Aai.od.~ion' David O. 'ort.r. SICVI, Scott Rodda; N.tion.1 Dev.'op.ant
Council. Consul~ant.
Mr. T..,le .ugg..tad th.t It. 2 be tak.n out of order.
2. ... Frontier COMttMnt Letter"raft DDA - llor.....t Shopping
Mr. ttoeger ..id that .t.ff has Md. subltantlve chan... on the origin.'
..r_t uking t.'devel....nt propo..1 _e attrectiv. .nd f...Ibl.. H.
Hid that the final fitur.. are not known. but that the final ftUIIben wi 11
v.ry s-'t.t accordlnt to the .i. of the 1.lected ..........ket. He ..Id that
.t.ff can .t.rt dr.fting the requirad docu.entl IInce Itaff h.1 been
negotiating. concept with the developer th.t will Hrve .i . fr_rk for
the fln.l nUlllberl when they are ..tablhhed.
Mr. Scott Rodde s.id th.t the driving incentive at thil ti.. is th.t HUD
hal to lIeUver .SO .1111on doll.rs fr_ the UDAG progr.back to the CDIG
progr.. Since thi! project has been in the pl.nning St".1 for thr.. y..rl,
UDAG wantl i.-4i.te perforunce frOll the City. He Itatad that .there h.. been
tr..ndous perforunc. fro. the varioul Cfty OepartMntl and ..,reIHd hil
apprecl.tlon for their cooper.tion and participation in a..hUng in the
prep.r.tion of the UOAG application
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He .aid that the Develope~ has been wo~king ve~y diligently with .taff.
hi. lende~. and po..ible t.nant.. He .aid that although t.nant negotiation.
have not yet concluded~ th.y a~e in a c~itical ph....
He .aid that the following a~. the pa~tie. involved.
* The land Dwne~ and the City ~ep~e'.nting one pa~ty.
* The Develope~ ~ep~e.enting the .econd pa~ty.
* The thi~d pa~ty which i. the Majo~ Ancho~ Tenant to the Shopping
Cente~.
Staff i. two-thi~d. of the way in concluding the negotiation. with the
ancho~ tenant. but that ino~de~ toimeet HUD'. perfo~"nce deadline.. the
Agency MU.t .tart making it. conmitment.. He .aid that HUD i. going to
~equi~e 1:he tenant 1..... be executed by mid-Augu.t~ He gave II tentative
.chedule of activitie. fo~ the implementation of the ag~eement as follOW..
* June 7. 1990. app~oval of deal point. continued in develope~ lette~
to Bob Temple. dated May 30~ 1990. by Redevelopment Committee~
* June 18. 1990. app~oval of deal point. by Community Development
Commi..ion and City Council and di~ection to p~epa~e Di.po.ition and
Development Ag~eement.
*
August 15. 1990. Ma~ket lea.e executed.
* Decembe~ 31. 1990. Final plans app~oved by City.
* Ma~ch 31. 1991. Site wo~k completed by City.
* Septembe~ 30. 1991. Cente~ open fo~ busine.s.
Chai~woman Est~ada asked how ~ealistic was the p~oposed schedule of
activitie..
M~. Rodde ~esponded that .taff has ~.c.iv.d ext~emely f.vo~.bl. int.~e.t
f~om th~.. diffe~ent D~ug Sto~es who a~e int.~e.ted in the .ite. contingent on
the ma~ket commitment. Staff is in ve~y clo.e communications with one ...rket
in pa~ticula~ who has exp~e.sed inte~est in the .ite. He .aid that the~e has
been inte~est f~om lending institutions to loc.te . 5000 SF o~ . 6000 SF
lending institution in the cente~. He said that oVe~ the last th~.. months
the develope~ has ma~keted the site ext~emely well.
A lengthy discussion ensued ~ega~ding the deal points of the p~oposed
ag~eement.
Chai~woman Est~ada asked M~. Temple what staff was ~equesting of the
Committee.
M~. Temple ~e.ponded that .t.ff was ~.que.ting fo~ app~oval of the deal
points and di~ection to begin d~afting the app~op~iate Di.po.ition and
Development Agreement.
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Mr. Hoeger said that staff could begin drafting the agreement without the
C_itte4l's re.view but sa.id that it was illlportant to show HUll that staff
received Council ."roval of the deal points: He clarified that staff's
rec~etion was not approval of the document, but approval of the deal
points.
Mr. Rodde said that in April~ 1"0, HUD sent. letter to the City
requesting the ..reament be ...nded to include the foll_ing informationl
a) Size of the Shopping Center
b) N_ of the Developer
c) It..... of the Lender
d) ~unt of first mortgage
e) ~nt of subordin.ted mortgage
f) City's commitment
Mr. John Hoeger said that st.ff was. requesting the Committee .pprove the
st.ff report be forw.rded to the Commission for approval in concept:
A lengthy discussion ensued regarding the quality of the Shopping Center~
since it is estimated to cost $1 million dollars Ie.. than preViously
. anticipated. Mr Rodde assured the Committee that the quality would remain the
sama regardless of the change in cost.
Mr. Rodde s.id that his staff hired Retail Systems from Minnaapolis~ who
is responsible for the Supermarket Market Studies for most of the major
. grocery retailers in Southern California. He s.id that their market study
conclusion was that a first class supermarket pl.ced in the Wastside could
capture '0% of grocery dollars in a one mile radius. He said that it is
almost an unheard of capture because it r.flects the lack of grocery retailing
alternatives on the Westside. He said that 35% is a typical market capture
.nd it's considered good enough to locate a store: He said that as soon as
the results from the market survey became av.ilable, the developer took a
positive approach and mailed copies of the results to Chief Executive Officers
of all of the m.jor Grocery Chains.
Chairwoman Estrada asked h_ soon did st.ff expect to receive the actual
letter of agreement from the Supermarket.
Mr. Hoeger responded that the targeted date was August IS, 1"0.
Committee Member tlores .sked if the deal points included both Phase I and
Phase II.
Mr. Rodde responded that the de.l points included only Pha.. I of the
.gr....nt. He further .tated that the developer has expressed interest in
Phase II.
RECOMMlltDATlOIt
The Committee rec_nded the item be forwarded to the Commission meeting
of June 18, 1m to be approved in concept.
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3. Main Street R....t for Direction~
ChairWOMan E.trada said the item was on the Agenda at her request. She
said that she asked "'ayor W. R. Holcollllb for hh opinion reprdingthh inue
and he concurred with the request to have "s. Marrfs provide a .tatus report
of the proposed Transit "'all or Transft Termfnal and the Street Scape Project.
"s. Harrfs said that her presentation was a summary of . status report she
was preparfng to present to the "'ayor regardfng the Street Scape Program. She
informed the Committee that the eng1neering pl.ns for the Street Scape Plans
have been prepared and are complete. She safd that the plan calls for
specific components required to iMpl...nt the Street Scape Program. She said
that .taff has been worki ng with Otnn1.Trans regardi ng the propo..d bus shelters
to include them in the Street Seape Progr.... She e.plai"" thet when the
Street Scape is put fn place. electrical conduits for .treet lightfng will be
necessary for OmniTrans bus stops. She gave an exempleof the cost as followsl
The block surrounding the Sun Company (Arrowhead - Court~ "0" . 4th
Street) wfll cost approximately $351,000.
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39,000
19~ 000
42,000
$351,000
lfghtfng and safety features - mafn concern
trees and plantfng
street hardware
admf nf strati ve
(NOTEI The total does not
fnclude any of the
OtnnfTrans Components)
She presented a typical block budget as followsl
Total
71.50%
12.00%
11.10%
5.40%
Lightfng, Safety Features - main concern
Adminfstration
Trees
Street Hardware
"So Harris safd that in October, 1989 the Commissfon dfrected staff to
revhe the drawing. for the proposed bus shelter. She reported that the new
drawfngs have been modiffed and upgraded to go hand and hand with the proposed
Street Scape Program. She said that staff is ready to ..ve forward with this
proposal.
She said that the Sun Company had some concerns regardfng the suggested
trees around thefr block and explained that it would only requfre a stroke of
a pen to make any changes without the need to redo the engineering drawings.
She further explained that the Sun Company is wflling to enhence thefr street
scape around their buflding and has hired Richard Pope . Associates to design
plans for planters to enhance their block.
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"'ayor Holcomb ufd that hla wes under thla flllprenfon that DmnfTrans hes the
money tQ .dQ thla Transf t Hell. He suggested that OmnfTrans move forward with
thefr plans before those funds are no longer avaflable~ He safd that the
Street Scape may not be ready to IIIOve forward~
"'s. Harrfs safd that she was ready to move forward sfnce the engfneerfng
plans were complete and ready to go out for bfds and that ft was a matter of
prforfties.
"'r. Temple safd the Street Scape Program requfres Committee/Commfssion
approve 1 .
"'ayor Holcomb expressed hfs opposftfon regardfng the Street Scepe
Progr..... He ufd thlat he was concerned wf th the tr_dQus cost of the
frrfgatfon syst.. for the trees fn the downtown area. He safd that the fdeal
sftuatfon would be to have anfrrfgatfon syst.. wfth autOllllltfc sprfnklers but
the cost was tr_ndQus. He safd that the S2..fllfon expected to be used for
the proposed progr.. could be spent on a parkfng structure. He safd that the
Street Scape plannfng of the downtown area wf 11 Mt encourage anyone to brfng
new busfnesses fnto the downtown area wfthout the proper parkfng.
A lengthy dfscussfon ensued regarding the need to allocate more publfc
parkfng facflftfes fn the downtown area.
Commfttee Member Maudsley expressed hfs support for the needed parkfng
spaces fn the downtown area over the proposed Street Scape Program.
Mayor Holcomb safd that he would like to see a model of the proposed bus
shelters before proceedfng wfth the Transft "'all.
Ms. Harrfs safd that OmnfTrans has agreed to do a prototype for the
Commfssfon's revfew.
Mr. Danfel Brogan safd that DmnfTrans wfll fnstall a prototype bus shelter
at the corner of Fourth and "F" Street and that they wf 11 fnform the public
that ft fs only a bus shelter sfnce the Transft "'all fs actually a full
realfgnment of the bus routes.
"'ayor Holcomb asked "'r. Brogan when the bus shelters will be ready for
public vfew.
Mr. Brogan responded that they should be avaflable withfn the next two
months and that each bus shelter fs estfmated to cost $7,000.
Mayor Holcomb expressed hfs concern regardfng the length of time ft fs
taken to flllpl...nt the project sfnce the project has been on the shelf for two
years. He asked when the transft mall was expected to be completed.
Mr. Brogan safd that ft was tentatfvely scheduled to open fn January, 1991.
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Chafr~n E.trada .aid that the ~f..ion ha. identified and ."roved a
budget for the i..1_ntatfon of a street S~e Progr...~ She expr..sed her
support for _. parking and the ne_ to identffy lIOr. perking faefllti.. for
the cIowatown ar.a. She .aid that .th.Street Seap. ProJ.ct hube.n fn the
pr.li.in.ry stege. for a long tl... She .xpr....dher eone.rn. regarding
having to .ta.rt frOlll .quare on., .Ince larg._nts of tl.. have be.n .p.nt
in the preperatiOn of the engineering plan., sIne. it i. beIng propo..d to tfe
It In with the tran.lt mall project and the bus .helt.r.. She .aid that she
f.1t it Inportant to i.,l_nt the St,..t Scap. progr.. now~ .ine. it wfll
take ov.r 10 to 15 years to i.,l....nt a lIIlIst.r plan for the downtown ar.a.
C~ittee MeMber Flor.. .xpr.s..d hi. .~pport for the propos.d Stre.t
Scap. Program and stat.d that the abundanc. of parking .pae.. hnot going to
r.vitaliz. the downtown area. He .aid that It wa. i.,ortantto attract
dev.loplllllnt in 'the downtown area, th~. the need to have an attractive downtown
area. The Street Seape project i. a. important a. the n.ed for mor. parking
.paees.
Chairwoman E.trada said that the Hain Str.et Plan i. the City's plan. The
City approv_ the plan and appropriat_ the "fley for the p~rpos. of
revitalizing the downtOWn area~ She .ald thet the Way. and Keans Committee
.ha. been working with OMniTrans for over two yeer. r.gardfng their propos.d
plans for a tran.it lIIlIll.
CommIttee Kember Ha~dsley expr...ed hi. eone.rn a. to how the plannIng of
Haln Street Proj.et wo~ld ereat. mor. parkIng. He .aid that it was i.,ortant
for Hain Street to have a solid plan .to i.,l_nt the Str.et Scape program.
He f~rther .tated that he has been patiently waiting for two year. for Hein
Str.et to .tart implementfng ft. programs. H. stated that ~nles. the .xi.ting
old b~lldfngs in the downtown ar.. ar. .ither demolish.d to create lIOre
parkIng or the b~lldlngs are r.f~rbl.hed to attract fir.t ela.s ..rehants the
downtown ar.a will continue to have probl.... He firmly .xpr..sed hfs
oppo.itlon r.gardfng the proposed bus .helt.r and the transft ..II If the Cfty
has to wait .Ix months for Its impl_ntation. He stated that the Cfty needs
more parking spaces over the Str.et Seape Program since the program is a very
..all part of fixIng the downtown problam.
M.. Lorrafne Velarde .aid that some of the Mayor'. concerns relatfng to
the Main Street Project are that if perking i. available it will bring new
money to revftalize the downtown area. It can also be reco.mend.d that eny
developer interested In new development In the downtown area be told to match
an existing Street Scape plan.
Mr. Marshall Julfan, City AdmInistrator asked if OmniTrans can proceed
wIthout Main Street.
Chafrwoman E.trada saId that the money ha. been set aside .peclfically for
a Street Seape project and saId that .taff was dlr.cted to work with o.niTrans
to lIIlIxlmize the cost. She explained that her concern Is .that aft.r .taff has
.pent nu..rous hours In the pr.paration of .ngineering plans and ha. spent an
unknown dollar amount, It fs, now beIng propo._ to ban the Street Seape
project in order to ereat. more parking spaces.
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Mr. Julian asked how mueh money of the Street Seape is tied in with
OmniTrans and asked if it's being proposed to spend the full $2 million
dollars.
Connittee Menlber Flores said that to be eost effedive it was .f'eeommended
to eombine both the Street Seape projeet and OmniTrans' transit mall~
A lengthy diseussion ensued regarding the funding sourees.
Mr. Brogan explained that there are two finaneial sourees to finanee the
Street Seape Program. He said that one souree is Transit money and the other
source eomes from the alloeation assigned by the City.
Ms. Harris said that 72% of the budget is primarily for the purpose of
replacement and enhaneing existing lighting features to.betterprovide safety
in the downtown area and will inelude pedestrian tfght1ng~ She said that the
Street Seape will not disturb any future developMent and that the plan does
not ineludebriek work as part of the Street Seape since it was not
ecol1Ollieatty feasible. She said that the plan proposes to replace old or dead
trees and not total replaeement of trees throughout the City~
Chairwoman Estrada said that sinee the engineering plans are ready to go
the item needs to be forwarded to the Commission for diseussion and direetion~
Mr. Temple said that he has not seen the engineering plans and that staff
has not been involved in this proeess.
Ms. Harris said that staff has been involved and that the Traffie
Engineering Department has spent numerous hours in the preparation of the
engineering plans.
A lengthy discussion ensued regarding the different City departments who
partieipated and reviewed the proposed Street Seape plans.
Chairwoman Estrada direeted Ms. Harris to prepare a synopsis of events
outlining the different City departments involved in the preparation of the
proposed Street Seape plan and to provide a eopy to the Exeeutive Direetor of
the Redevelopment Ageney for his review.
Committee Member Maudsley asked if the purpose of taking the item to the
Commission was to ask for a vote of eonfidenee or for reaffiM*ation of the
policy that ereated Main Street. He asked what would happen if the vote
ehanged the poliey without reeommendation from the Main Street Board.
Chairwoman Estrada responded that the Commission needed to be informed of
the status of Main Street. She also stated that the City and not the Main
Street Board alloeated the $2 million for the purpose of Street Seape.
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Hs. H.rrfs s.fd th.t the ftem dfd not go before the Councfl on Jun. 4,
1990, to approve the .ngfne.rfng ~I.ns bec.use the H.yor r.quested the st.tus
. report be pres.nted .t tod.y's ....tfng. She safd that on June 22, 19'0 sll.
will bepr..anting . complat. st.tus report to H.yor Holcomb.
RECIIMMEIlDATlON
The COIIIIIitt.. r.c_nded that st.ff revfew the Str..t Seap. plans in
coordfnation with Public Works and to r.port back to the COIIIIIission on
June 18, 1990.
1. R.....t to issu. bids for the demolftion of the Agency ~ property at
lot North "I" Str..t~
Hr. JQhn Hoeger st.t.d th.t weed ab.tement has t.k.n pl.c. .s r.qu.st.d by
the ~iU.. and that the gr.ffitf has .110 been removed. He safd that staff
is r.questfng .pprov.1 not to demolfsh the building~ but to r.quest demolitfon
cost.
RECOMMENDATION
The COIIIIIftt.. rec_nded the issu.nc. of . requ.st for bids for the
demolition of the existing structur..
s. cve Budget and Contract
Hr. Hoeger said that the San Bern.rdfno Conv.ntion and Vfsitors Bure'u
(SBCVe) has approached the Ag.ncy with. r.....t for ilssistance fn ov.rcoming
. shortfall fn their proj.cted 1990-91 budget. . Ha s.id th.tth. SICve has
budg.ted for $441,503, I..ving . shortfall of $121,S03 .nd th.t staff has
proposed the Agency contribut. . c.p of $110,000 for. one y.ar period~ It is
anticfp.t.d that the Transi.nt Occup.ncy TiIx (''1'OT") will be rais.d from 8% to
10%, and the .xtr. 2% will be dedfc.t.d to SICVa. Thi. will rai.e
.pproxfmat.ly $320,000, but the SICVI will not rec.fve any of the fncr....d
fund. untfl Septemb.r, 1990 thus the n..d for Ag.ncy a..fst.nc..
COIIIIIitt.. Kemb.r Flor.s .sk.d how the SICVB wfll budg.t th.ir org.nfz.tion
if the proposed 2% TOT incr..se dfd not materi.lfz..
Hr. Hoeg.r r.spond.d th.t there i. . provfsfons fn the Agr.~nt wher.in
it fndic.tes th.t the SICVB c.n not come b.ck to the Ag.ncy for more funds.
Hr. Port.r, Ch.irm.n of the Bo.rd for the SBCVB .ssur.d the Committ.e that
hi. organfz.tfon wfll not r.qu..t more funds from the Ag.ncy, sfnce h.
.nticfp.ted th.t the TOT will be . succ.ss.
Chafrwoman E.trad. .sk.d ff the SBCVB wfll u.. the 10c.1 communfty
s.rvfce. for future proj.cts such .s .pecfal br~hur. prfnting, slfd.
prep.r.tfon or speci.1 promotion.1 .v.nts, before r.qu..tfng bids outside the
Cfty.
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Mr. Dave Porter stated thJt all future projects will be first bid fn the
City end/orlurroundfng are.. but that if the saCVB it unable to locete a
loeal cOMpany the SBCVB will s,ek bids outside the community.
A lengthy discussion ensued regarding the need to utilize our 10cal
resourCes before using outside services.
Committ.. ~r Flores asked if the $110,000 financial assistance from
the.\geftc:y ..I for only one yesr and if the proposed TOT increased revenue
would facflftate the SBCVI to become self supporting.
Mr. TeIlIple seid that it it proposed to be a one year egr_nt~ He said
thet at. the end of the fi rat year the egre_nt wi It be eval uated and it it
anticfpetedthat some fundfng wflt be ...de available for the fol1owh\g year~
He furt-'r Itated that the funds from the TOT will not become available until
Sept~r I, 1990, therefore, the Agency will provide to the SICVI $110,000
upfront.
RE~TlON
The COIIIIIiU.. recOlllllended the item be forwarded to the Commitsion.
4. Sfgn SUcker Program - Request Budget Authorfty
Mr. Temple said that in a memorandum dated May 29, 1990, Mr~ Larry E~
Reed, Dfrector of Planning and Bufldfng and hfety, stated that on April 2,
1990 tbe C~n Council adopted the Ordfnance and Resolution establishing a
Sign Stfcker Program. Thit fncluded a requir_nt to conduct a sfgn fnventory
consi.tfng of lookfng for illegal and abandoned signs. The Council approved a
staff of four perSOM, one Sr. Code Officer, one Typist Clerk, and two Code
Complfance Officers. The Council has not approprfated any funding to hire the
t.-pqraryhelp required to conduct the sign fnventory~ The Sign Sticker
Program will raise approximately $200,000. Mr. Reed is proposing to borrow
approxi...tely $35,000 from the Agency to cover the cost of having four interns
conduct the sign fnventory this summer. The amount would be paid back to the
Agency fn approxfmately nine (9) months.
Mr. Robert Temple said that staff fs proposfng to prepare a loan for the
amount of $35,000. Staff will request the COIIIIIittee to approve a budget
increase authority of $35,000 through a Master Services Agr_nt. The Agency
will provfde the money to assist Mr. Reed in the implementation of the program.
A lengthy discussion ensued regarding the Agency funding the proposed Sign
Sticker Program.
RE~"DATION
The COlIIlIiUee rec_nded the item be continued to the next Redevelopment
Committee meetfng and requested that Hr. Reed attend the meeting.
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. CLOSED SESSIONS
The Redevelopment Committee recessed to closed session at 6100 p.m.
Pursuant to Government Code Section 549S6.9(c). so that the CoMmission may
"Cide whether to initiate litigation and to give instruction to the
COMMission's negotiator on the purchase of property pursuant to Government
Code section S49S6.8.
The RedevelopMent Committee reconvened from closed session at 6130 p.m.
AdJOlIr...nt
There being no further business. the meeting of June 7. 1990. was
adjourned at 6130 p.m.
APPROVED BYI
~..~~-
Redevelopment Committee
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