HomeMy WebLinkAboutR02-Redevelopment Agency
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MAYORANDCOMMONCOUNC~
COMMUNITY DEVELOPMENT COMMISSION/
AND THE
JOINT POWERS FINANCING AUTHORITY
OF THE CITY OF SAN BERNARDINO
MINUTES
REGULAR MEETING
December 19, 1994
11:00 a.m.
The Joint Regular Meeting of the Mayor and Common Council, the Communily Development
Commission and the Joint Powers Financing Authorily was held in the Council Chambers, Cily Hall, 300
North "D" Street, San Bernardino, California and called to order by Mayor Tom Minor at approximately 2: 10
p.m., on Monday, December 19, 1994 .
ROLL CALI.
Roll call was taken with the following members present: Chairman Tom Minor; Commission
Members Edward Negrete; Dr. F. J. Curlin; Ralph Hernandez; David Oberhelman; Jerry Devlin; Valerie
Pope-Ludlam; and Norine Miller. Absent: None.
STAFF PRESENT
Timothy C. Steinhaus, Administrator, Economic Development Agency; Barbara J. Lindselh. Acting
Director, Development Department; Stafford W. Parker, Depuly Director, Development Department; Dcmus
Barlow, Senior Assistant Cily Attorney; Timolhy Sabo, AgencyCounsel, Sabo and Green; Lorraine Velarde.
Executive Assistant to the Mayor; Phil Arvizo, Executive Assistant to the Council; Rachel Clark, City Clerk;
Suzanna Cordova, Deputy Cily Clerk; La Vonda M-Pearson, Recording Secretary, Development Department.
OTHERS IN ATTENDANCE
None.
PUBLIC COMMENTS ON ITEMS NOT ON THE AGENDA
Jeff Wright, P. O. Box 2341, San Bernardino, CA, made comments regarding citizens rights in San
Bernardino.
Jolm Kirley, Citizen, commented on the Council Parliamentarian's need to become more familiar with
the rules of the meetings.
CONSENT CALENDAR
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All items, numbered "I" through "8" were removed from the Consent Calendar.
1.
WAIVE FULL READING OF RESOLUTIONS AND ORDINANCES
lMl\yor and Common CounciJ)
(Communitv Development Commission)
Jeff Wright, P. O. Box 2341, San Bernardino, commented on the need of the viewing audience to
hear the reading of the resolutions.
Rachel Clark, City Clerk, explained that the titles of all resolutions and ordinances are read at the
beginning of each meeting of the Mayor and Common Council.
Commission Member Oberhelman made a motion, seconded by Commission Member Devlin,
that full reading of the Resolutions and Ordinances on the regular, supplemental, and addendum to the
supplemental agenda(s), be waived.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent: None.
2.
JOINT POWERS FINANCING AUTHORITY
(Community Development Commission)
Jeff Wright, P. O. Box 2341, San Bernardino, questioned the need to continue this item.
Commission Member Pope-Ludlam made a motion, seconded by Commission Member Devlin. that
the Adjourned Regular Meeting of the Joint Powers Financing Authority be continued to Monday, January
23, 1995.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent: None.
3. COMMUNITY DEVELOPMENT COMMISSION MINUTE..<;
(Community DevelQpment Commission)
Commission Member Hernandez indicated that per the minutes, the Community Development
Commission requested staff to bring back an item regarding authorized check signors for the Agency. He
requested staff to put this item on the agenda for the next regularly scheduled Revelopment CommiUee
Meeting.
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Conunission Member Hernandez made a motion, seconded by Commission Member Miller, that the
minutes of the Community Development Commission of the City of San Bernardino for the meeting of
November 7, 1994, be approved as submitted in typewritten form.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Oberhelman; Pope-Ludlam; Miller. Noes: None. Abstain: Conunission Member Devlin.
Absent: None.
4. INVESTMENT POLICY
(Community DevelQpment Commission)
Conunission Member Oberhelman. asked questions regarding various aspects of the investment
policy.
Timothy C. Steinhaus, Administrator, Economic Development Agency, answered relative questions
and conunented on the need for the full Commission and citizens to hear a report on the investment policy.
Barbara J. Lindseth, Acting Director, Development Department, gave a brief report on the
investment policy of the Agency emphasizing that the Agency was taking precautions due to the situation
being faced in Orange County. She stated that the Agency was taking a more conservative position than what
the state requires.
Discussion ensued regarding the need to amend the form motion to be more specific.
Commission Member Hernandez made a motion, seconded by Commission Member Pope-Ludlam,
to approve and adopt the Economic Development Agency's Annual Statement of Investment Policy for tbe
year 1995; and that the following be incorporated relative to repurchase agreements: "repurchase agreements
collaterized by federal securities in an amount equal to at least 100 percent of the principal amount of the
investment" .
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Oberhelman; Pope-Ludlam; Miller. Noes: Commission Member Devlin. Abstain: None.
Absent: None.
5. CONFLICT OF INTERR'iT
(Communitv Development Commis.~ion)
Jeff Wright, P. O. Box 2341, San Bernardino, commented on how the conflict of interest statements
work within the Agency.
Conunission Member Hernandez made a motion. seconded by COImnissioll Member Negrete. that
the following resolution be approved and adopted:
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RESOLUTION NUMBER 5424
RESOLUTION OF TIIE COMMUNITY DEVELOPMENT COMMISSION OF TIIE CITY OF
SAN BERNARDINO, ON BEHALF OF TIlE REDEVELOPMENT AGENCY OF THE CITY OF
SAN BERNARDINO, AMENDING RESOLUTION NO. 4420 (AS AMENDED BY
RESOLUTION NOS. 4852, 5048, 5057, 5356 AND 5389) ENTITLED, IN PART.
"RESOLUTION. . . . ADOPTING A CONFLICT OF INTEREST CODE. . . . ", BY AMENDING
APPENDIX A TO ADD, DELETE AND CHANGE mE TITLES OF VARIOUS POSITIONS
WI1HIN TIlE ECONOMIC DEVELOPMENT AGENCY OF mE CITY OF SAN
BERNARDINO WIllCH :MUST FILE CONFLICT OF INTEREST STATEMENTS.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent: None.
6. ABI290 . RRDEVELOPMENT PLAN AMENDMENTS FOR VARIOUS
REDEVELOPMENT PRQffiCT AREAS
SECOND READING
(Mavor and Common Councill
Councilman Devlin made a motion, seconded by Councilwoman Pope-Ludlam, that the following
ordinances be approved and adopted:
MC-916
An Ordinance of the Mayor and Common Council of the City of San Bernardino, California
establishing and amending certain limitations with respect to the Redevelopment Plan for the
Central City Redevelopment Project Area;
MC-917
An Ordinance of the Mayor and Common Council of the City of San Bernardino, California
establishing and amending certain limitations with respect to the Redevelopment Plan for the
Meadowbrook Redevelopment Project Area;
MC-918
An Ordinance of the Mayor and Common Council of the City of San Bernardino, California
establishing and amending certain limitations with respect to the Redevelopment Plan for the
Central City East Redevelopment Project Area;
MC-919
An Ordinance of the Mayor and Common Council of the City of San Bernardino. California
establishing and amending certain limitations with respect to the Redevelopment Plan for the
Central City South Redevelopment Project Area;
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MC-920
An Ordinance of the Mayor and Common Council of the City of San Bernardino, California
establishing and amending certain limitations with respect to the Redevelopment Plan for the
Central City North Redevelopment Project Area;
MC-92l
An Ordinance of the Mayor and Common Council of the City of San Bernardino, California
establishing and amending certain limitations with respect to the Redevelopment Plan for the
Central City West Redevelopment Project Area;
MC-922
An Ordinance of the Mayor and Common Council of the City of San Bernardino. California
establishing and amending certain limitations with respect to the Redevelopment Plan for the
Northwest Redevelopment Project Area;
MC-923
An Ordinance of the Mayor and Common Council of the City of San Bernardino. California
establishing and amending certain limitations with respect to the Redevelopment Plan for the South
Valle Redevelopment Project Area;
MC-924
An Ordinance of the Mayor and Common Council of the City of San Bernardino, California
establishing and amending certain limitations with respect to the Redevelopment Plan for the
Southeast Industrial Park Redevelopment Project Area;
MC-925
An Ordinance of the Mayor and Common Council of the City of San Bernardino. California
establishing and amending certain limitations with respect to the Redevelopment Plan for the State
College Redevelopment Project Area;
MC-926
An Ordinance of the Mayor and Common Council of the City of San Bernardino. California
establishing and amending certain limitations with respect to the Redevelopment Plan for the Tri-
City Redevelopment Project Area;
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MC-927
An Ordinance of the Mayor and Common Council of the City of San Bernardino, California
establishing and amending certain limitations with respect to the Redevelopment Plan for the
Uptown Redevelopment Project Area;
MC-928
An Ordinance of the Mayor and Common Council of the City of San Bernardino, California
establishing and amending certain limitations with respect to the Redevelopment Plan for the Mt.
VefDon Corridor Redevelopment Project Area.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent: None.
7. INFILL HOUSING DEVELOPMENT PROGRAM
(Community Development Commission)
Jeff Wright, P. O. Box 2341, San Bernardino, asked for an explanation of "infill housing".
Timothy C. Steinhaus, Administrator. Economic Development Agency, explained that "infill
housing" is a term used for developing vacant parcels within developed areas. He stated that the Agency
advances funds for the purchase of lots for development and the Agency is repaid once the houses are sold.
Commission Member Oberhelman made a motion, seconded by Commission Member Negrete. to
approve as the Agency infill housing developers, two (2) respondents to the Requests for Qualifications
(RFQ), Young Homes of California and Red Sun Construction Company, and authorize the Acting Director
to negotiate and execute an Owner Participation Agreement (OPA) with both developers.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent: None.
8. MEGA FORCK<i SECURITY - ARROW VISTA
(Commnnity Development Commission)
Commission Member Curlin made a motion, seconded by Commission Member Pope-Ludlam. to
authorize the Acting Director to enter into an agreement with Mega Forces in an amount not to exceed
$151,200 to provide security services at the Arrow Vista development project.
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Commission Member Oberhehnan questioned the length of time placed on the responses for RFP's.
Edward Flores, Acting Housing Manager, indicated that this was the second time an RFP is placed
on this project; therefore, the response time was limited to five (5) days.
Timothy C. Steinhaus, Administrator, Economic Development Agency, explained that it was the
Agency's goal to have the majority of the homes sold by the end of summer.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Devlin; Pope-Ludlam; Miller. Noes: Commission Member Oberhehnan. Abstain: None.
Absent: None.
END OF CONSENT CALENDAR
9. REHABILIT A nON LOAN POLICY AND PROCEDURES
(Communitv Development Commission)
COMMISSION MEMBER POPE-LUDLAM WAS EXCUSED AT 2:45 P.M.
Commission Member Oberhehnan made a motion, seconded by Commission Member Hemandez, to
approve and adopt the Economic Development Agency's Rehabilitation Loan Policies and Procedures
Manual; and that the policy and procedures be amended by interlineation, page 2, bullet 4, from "three" 10
"five", to read: "The bidders list is established to allow qualified general contractors to bid on a rolation basis
with no more than five (5) contractors competing on any given single-family and multi-family projects.
Commission Member Oberhehnan commended staff on their work on the policy and procedure
manual.
Conunission Member Miller expressed concern regarding the limitation of contractors in the manual.
She suggested that the contractors list be increased to five (5) contractors rather than the three (3) contractors
listed.
Timothy C. Steinhaus, Administrator, Economic Development Agency, stated that staff would revise
the manual to include five (5) contractors.
COMMISSION MEMBER HERNANDEZ WAS EXCUSED AT 2:47 P.M.
Larry Webster, Citizen. made various remarks regardillg the loans made by Ihe City. He believed
that the loans were discriminatory and that individuals who need the loans are not granted the privilege.
COMMISSION MEMBER HERNANOEZ RETURNED AT 2:49 P.M.
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The motion carried by the following vote: Ayes: Connnission Members Negrete; Curlin;
Hernandez; Oberhelman; Devlin; Miller. Noes: None. Abstain: None. Absent: Commission Member
Pope-Ludlam.
COMMISSION MEMBER POPE-LUDLAM RETURNED AT 2:50 P.M.
10. CENTRAL POLICE STATION - ARCHITECTURAL SERVICE
(Community Develqpment Commission)
Commission Member Curlin made a motion, seconded by Connnission Member Oberhelman, to
authorize the Acting Director to complete and execute an agreement with Leach Mounce Architects in an
amount not to exceed $479,008 for architectural services related to the bid phase and the construction
administration phase and that the Community Development Connnission authorize $35,000 as a contingency
factor for potential changes to design during the course of construction on the new Central Police Facility
development project.
Commission Member Hernandez questioned the total projected amount for the new police facility.
Timothy C. Steinhaus, Administrator, Economic Development Agency, stated that the total projected
cost is $12 million.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: Commission Member Hernandez. Abstain: None.
Absent: None.
11. CALIFORNIA THEATER PROPOSAL,)
(Community Development Commission)
Commission Member Hernandez explaiued that there were six (6) proposals submitted to the Agency
in response to the RFP. He indicated that three (3) of those proposals were qualified and participated in oral
interviews with a connninee consisting of staff and Redevelopment Committee members.
John Hoeger, Project Manager, Development Department. emphasized that all three (3) proposals
qualified, each with its own strengths. He stated that the three (3) proposals were submitted by Susan Fellcr,
Keith Matthews and The Big Red Apple, respectively.
Mr. Hoeger stated that the connnittee recommended Susan Feller as manager for the theater.
Commission Member Oberhelman stated that he reviewed each proposal thorougWy and that it was
his determination that The Big Red Apple was the only proposal!hal met tlle minimum requirements sel forth
in the RFP submitted by staff.
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Commission Member Devlin concurred with Commission Member Oberhehnan and recommended
tbat The Big Red Apple be selected as manager of the tbeater.
Commission Member Hernandez commented on Susan Feller's knowledge of the theater and ber
ability to act as manager.
Commission Member Hernandez made a motion, seconded by Commission Member Negrete, to
authorize staff to negotiate a contract with Susan Feller for the management and operation of the Califomia
Theater, and direct staff to present a contract for the aforementioned services to the Commission for its
consideration. (No Vote Taken)
Commission Member Miller noted Susan Feller for her expertise in many areas, however, she felt
Ms. Feller was not qualified to act as manager of the theater.
Commission Member Miller made a motion, seconded by Commission Member Oberhelman, to
continue this item and direct staff to re-open the RFP's and require each applicant to follow the format as
instructed.
The motion carried by the following vote: Ayes: Commission Members Oberhelman; Devlin;
Miller. Noes: Commission Members Negrete; Curlin; Hernandez; Pope-Ludlam. Abstain: None. Absent:
None.
Commission Member Hernandez made a motion, seconded by Commission Member Negrete. to
authorize staff to negotiate a contract with Susan Feller for the management and operation of the California
Theater, and direct staff to present a contract for the aforementioned services to the Commission for its
consideration.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Pope-Ludlam. Noes: Commission Members Oberhelman; Devlin; Miller. Abstain: None.
Absent: None.
CONTINUED FROM NOVEMBER 21, 1994
12. CONVENING OF MEETING OF THE COMMUNITY DEVELOPMENT COMMISSION
(Community Develqpment Commio;sion\
(Councilman Dr. Curlin's Recommendation\
Commission Member Curlin stated that the motion, as wrillen, will separate the Mayor and Common
Council from the Community Development Commission.
Dennis Barlow, Senior Assistant City Attorney, stated that the motion was not appropriate and
recommended the Commission not approve the fonn motion. He commented on difficulties lhal may be
experienced if the motion is passed.
Discussion ensued regarding the number of attorneys silling at the dais during Conunissiol1
Meetings.
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Jeff Wright, P. O. Box 2341, San Bernardino, CA, spoke of the benefit of this item. He also
recommended that the Commission consist solely of citizens of San Bernardino.
COMMISSION :MEMBER OBERHELMAN WAS EXCUSED AT 3:26 P.M.
Commission Member Pope-Ludlam slated that the two (2) agendas for the Mayor and COllunon
Council and the Community Development Commission could easily be separated as it was done in Ihe pas!.
COMMISSION :MEMBER OBERHELMAN RETURNED AT 3:27 P.M.
Commission Member Curlin made a mOlion, seconded by Commission Member Hernandez, Ihat
Concordanl with the position expressed by the Community Development Commission Chainnan, Mayor Tom
Minor, that Ihe Community Development Commission is a separale legal entity from the Mayor and Common
Council and that the meetings of each separate body has its own rules, policies and procedures, it is moved
that the meeting of the Community Development Commission will convene at 11:00 a.m. as a separate and
distinct body following the adjournment of a meeting of the Mayor and Common Council. and such meeting
of the Mayor and Common Council may be reconvened during a meeting of the Community Development
Commission only upon the concurrence of four (4) afftrmative voles by the Community Development
Commission.
The motion carried by the following vole: Ayes: Commission Members Negrete: Curlin:
Hernandez: Pope-Ludlam. Noes: Commission Members Oberhelman: Devlin: Miller. Abstain: None.
Absent: None.
RS-I. ARROWHEAD HEALTH CARE SYSTEM
(Community Development Commission)
Commission Member Oberhelman made a motion, seconded by Commission Member Negrete, to
authorize further negotiations between the Economic Development Agency and Arrowhead Health Care
System in connection with the guarantee/purchase of a certain loan in an amount not to exceed $9.4 million
and that a public hearing be set for January 9, 1995 at 11:00 a.m.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Oberhelman; Devlin; Pope-Ludlam: Miller. Noes: None. Abstain: None. Absent: None.
RECESSED :MEETING
At 3:33 p.m., Chainnan Minor recessed the meeting of the Mayor and Common Council and the
Community Development Commission for five (5) minutes.
:MEETING RECONVENED
AI 3:41 p.m., Chairman Minor reconvened the meeting of the Mayor and Comlllon Council and Ihe
Community Development Commission.
JOINT REGULAR MEETING
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ROLL CALL
Roll call was taken with the following members present: Chainnan Tom Minor; Commission
Members Edward Negrete; Dr. F. J. Curlin; Ralph Hernandez; David Oberhelman; Jeny Devlin; Valerie
Pope-Ludlam; and Norine Miller. Absent: None.
STAFF PRESENT
Timothy C. Steitthaus, Administrator, Economic Development Agency; Barbara J. Lindseth, Acting
Director. Development Department; Stafford W. Parker, Deputy Director, Development Department; Dennis
Barlow, Senior Assistant City Attorney; Timothy Sabo, Agency Counsel, Sabo and Green; Lorraine Velarde,
Executive Assistant to the Mayor; Phil Arvizo, Executive Assistant to the Council; Rachel Clark, City Clerk;
Suzanna Cordova, Deputy City Clerk; La Vonda M-Pearson, Recording Secretary, Development Department.
OTHERS IN ATTENDANCE
None.
RS-2. INTERIM FINANCING FOR HARRIS' DEPARTMENT STORE
ICommunitv Development Commission)
Timothy C. Steinhaus, Administrator, Economic Development Agency, stated that at the previous
Mayor and Common Council/Commnnity Development Commission Meeting, the Council approved the
submission of a Section 108 loan for Harris' Department Store which would be backed by CDBG fWlds. He
explained that the Agency received a letter last week from Harris' requesting a interim loan while waiting for
the HUD approval.
Commission Member Hernandez commented on the possibility of Harris' leaving the mall and other
stores following if the HUD loan is not granted.
Commission Member Oberhelman commented on the need to have Harris' sign a 10 year covenant as
proof of its commitment to San Bernardino along with some form of collateral.
Chainnan Minor commended Harris' on its willingness to work with the City on this matter;
however, he did not feel that a conclusion to this request could be completed by the end of the month. He also
did not recommend approval of the interim loan until fmal approval was given from HOO.
Mike Huff, Member, Community Development Commission Citizens Advisory Committee, stated
that he had personally invested approximately 15 - 20 hours on this project. He indicated that he had tried to
obtain information from all parties involved in order to come to a conclusion regarding the interim loan and
also the operating covenant.
COMMISSION MEMBER POPE-LUDLAM WAS EXCUSED AT 4:12 P.M.
COMMISSION MEMBER POPE-LUDLAM RETURNED AT 4:13 P.M.
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Mr. Huff emphasized of Harris' unwillingness to commit to a ten (10) year covenant and their
reasoning for committing to a three (3) year covenant.
Timothy Sabo, Agency Counsel, Sabo & Green, briefed the Commission on international law, state
taxation and foreign tax in reference to this item.
Commission Member Pope-Ludlam noted that if approved, the interim loan would be guaranteed by
a letter of credit from Harris'.
Tom McPeters, Legal Counsel, Harris' Department Store, stated that Harris' would not be willing to
sign a ten (10) year covenant, nor would its parent company guarantee the interim loan.
Jorge Pont, President and CEO, Harris' Department Store, explained that none of the other merchants
in the mall have a covenant. He stated that if the other stores committed to ten (10) years, he would be
willing to commit also.
Commission Member Hernandez pointed out the differences between the negotiations made between
the City/Agency and the Citizens Advisory Committee.
John Mayro, Carousel Mall, spoke in favor of the City assisting Harris'. He felt that Harris' was
critical to the revitalization of downtown.
Mark Ostoich, Attorney representing UBS, stated that he spoke with UBS representative today
regarding the sale of Harris' Department Store. He stated that the offer UBS made to sell the store will expire
at the end of the month. He emphasized that UBS does not consider itself committed to this offer if the dcal
does not close at the end of the year.
Discussion ensued regarding the amount of funding requested from HUD and the sale price of the
Harris' building.
Jeff Wright, P. O. Box 2341, San Bernardino, commented on Harris' making its majority of sales at
the end of the year.
John Curly, spoke against the City approving this loan in concept.
Sam Catalano, Manager, Carousel Mall, spoke on the benefit of approving this item.
Bill Leonard, Representative, City Central Company, commented on the vested interest the Agency
had in the mall.
Janles Wirth, Citizen, questioned the appraisal done on the property. He commented on the City's
inability to meet the UBS deadline of December 31,1994.
Discussion ensued regarding the offer made by UBS and the December 31. 1994 deadline_
COMMISSION MEMJJER OBERHELMAN WAS EXCUSED AT 5:22 P.M.
COMMISSION MEMJJER OBERHELMAN RETURNED AT 5:24 P.M.
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Mr. Catalano recommended the Agency request UBS extend its offer of sale. He also recommended
the Commission move forward with an,approval vote for this item.
Commission Member Hernandez stated that the form motion does not require Harris' to commit to
any type of covenant.
Commission Member Oberhelman made a motion, seconded by Commission Member Pope-Ludlam,
that the following motion be approved and adopted:
That the Community Development Commission approve in concept the providing of an interim
conduit financing in a principal amount not to exceed $7,350,000 to the Harris' Company to acquire
the Harris' Store Building upon the following conditions having been satisfied:
I. HUD has issued the HUD Section 108 Loan Guarantee approval letter containing such terms
and conditions acceptable to the City, the Community Development Commission and the
Harris' Company and approved in writing by all such parties; and
2. Such other terms and conditions as may hereafter be identified by Staff and successfully
negotiated by and between Staff and the Harris' Company subject to final Community
Development Commission acceptance of such negotiated terms and conditions in its sole
discretion; and
3.
The interim funding source COlL~ists solely of private lenders or commercial banks seeking as
the primary source of collateral the Harris' Store Building and any other collateral as may be
agreed upon between such lenders or banks with the Harris' Company without any City or
Community Development Commission liability, expense or cost whatsoever; lUld
4. Harris' COlUpany shall have agreed to pay all costs associated with the interim conduit
financing and the HUD Section 108 Guaranteed Loan including closing costs, loan
origination fees, title reports, lender fees, and all principal and interest payments required on
both the interim conduit financing and the HUD Section 108 Guaranteed Loan; and
5. The final loan documents for the interim conduit financing are submitted to the Mayor and
Common Council or the Community Development COlUmission, as appropriate, for
consideration and fmal approval at their sole discretion at a public meeting.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: Commission Member Hernandez. Abstain: None.
Absent: None.
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RS-3. ALLAN SlEW ARD LOAN GUARANlEE
(Communi(y DevelQpmen( Commission)
(Councilwoman Pope-Ludlam's Recommenda(ion)
CommissiQn Member Oberhelman made a motion, seconded by Commission Member Devlin, thaI
this matter be tabled.
The moliQn carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Oberhehnan; Devlin; Pope-Ludlam; Miller. Noes: Commission Member Hernandez. Abslain: None.
Absent: None.
Commission Member Pope-Ludlam made a motion, seconded by Commission Member Hernandez. 10
reconsider this item.
The molion failed by the following vote: Ayes: Commission Members Hernandez; Pope-Ludlam.
Noes: Commission Members Negrete; Curlin; Oberhelman; Devlin; Miller. Abstain: None. Absent: None.
13. ADJOURN TO CLOSED SESSION
At 5:43 p.m., the meeling of the Mayor and Common Council and the Communily Development
Commission adjourned to closed session to discuss the following:
Pursuant to Government Code Section 54956.8
CONFERENCE WITH REAL PROPERTY NEGOTIATOR
Properly:
Billboard located mid-block on the south side of 5th Street between "D" and
"Ell Streets.
Negotiating Parlies:
Redevelopment Agency Staff; Gannett Outdoor
Under Negotiation:
Price and terms of payment
JOINT REGULAR MEETING
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December 19, 1994
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. 14. ADJOURNMENT
At 6:00 p.m., the meeting of the Mayor and Common Council/Community Development Commission
was adjourned to Monday, January 9, 1995, at 11:00 a.m., in the Council Chambers of City Hall, 300 North
"0" Street, San Bernardino, Califomia.
Respectfully Submitted:
TIMOTHY C. STEINHAUS
Agency Administrator/
Secretary to the Commission
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JOINT REGULAR MEETING
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COMMISSION MINUTES
December 19, 1994
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MAYOR AND COMMON COUNCa
AND THE
COMMUNITY DEVELOPMENT COMMISSION
OF THE CITY OF SAN BERNARDINO
MINUTES
REGULAR MEETING
January 9, 1995
11:00 a.m.
The Regular Meeting of the Mayor and Common Council, and the Community Development
Commission was held in the Council Chambers, City Hall. 300 North "D" Street, San Bernardino, California
and called to order by Mayor Tom Minor at approximately 11 :01 a.m., on Monday, January 9, 1995.
ROLL CALL
Roll call was taken with the following members present: Chairman Tom Minor; Commission
Members Edward Negrete; Ralph Hernandez; David Oberhelman; Jerry Devlin; Valerie Pope-Ludlam; and
Norine Miller. Absent: Dr. F. J. Curlin.
STAFF PRESENT
Timothy C. Steinhaus, Administrator, Economic Development Agency; Barbara J. Lindseth, Acting
Director, Development Department; Dennis Barlow, Senior Assistant City Attorney; Timothy Sabo, Agency
Counsel, Sabo and Green; Lorraine Velarde, Executive Assistant to the Mayor; Phil Arvizo. Executive
Assistant to the Council; Rachel Clark, City Clerk; Linda Hartzel, Deputy City Clerk; La Vonda M-Pearson,
Recording Secretary, Development Department.
OTHERS IN ATTENDANCE
Richard Brooks, The Sun Newspaper.
COMMISSION MEMBER CURLIN ARRIVED AT 11:02 A.M.
PUBLIC COMMENTS ON ITEMS NOT ON THE AGENDA
Jeff Wright, P. O. Box 2341, San Bernardino, CA, requested the City Attorney's Office provide
comments to the citizens regarding the recent court case between the City of San Bernardino and fornler
Agency employees.
Helen Kopcynski, Citizen, requested the Development Director state the amount of funds he controls
and how much of those funds are certificates of participation.
Keith Thompson, representing Jesse amI Eunice Thompson of San Bernardino. askcd qucstions
regarding the security problems in the Arden Guthrie area. He stated that he had wrilten lelters to both the
Mayor and the Councilwoman in his wm'd regarding problems in the area with no response.
REGULAR MEETING
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COMMISSION MINUTES
January 9, 1995
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Timothy C. Steinhaus, Administrator, Economic Development Agency, stated that a management
company was patrolling the area and that no problems had been reported to the company regnrding security.
Commission Member Hernandez commented that the management company only spends
approximately three (3) days a week at the Arden Guthrie site.
Commission Member Miller provided comments regarding her involvement with this complaint.
Commission Member Curlin asked Mr. Thompson questions regarding his dealings with City
officials regnrding this issue.
Chairman Minor stated that the Agency Administrator and Acting Housing Manager met with Mr.
Thompsons' parents regarding their situation in Arden Guthrie. He explained that the Thompsons' own
property in Arden Guthrie and they would like the Agency to provide them with a grant in the amount of
$350.000, the cost of the four-plexes they purchased. He recommended Mr. Thompson meet with staff to
further discuss this issue.
Rachel Clark, City Clerk, thanked the Economic Development Agency for its assistance in the
purchasing and distribution of the City Calendars.
CONSENT CALENDAR
All items, numbered "I" and "5" were removed from the Consent Calendar.
1.
WAIVE FULL READING OF RESOLUTIONS AND ORDINANCK"
[Mayor and Common CounciJ)
(Community Development Commi'lSionl
Jeff Wright, P. O. Box 2341, San Bernardino, CA, stated that the viewing public is not aware of the
wording of various resolutions and ordinances if they are not read.
COMMISSION MEMBER POPE-LUDLAM WAS EXCUSED AT 11:20 A.M.
COMMISSION MEMBER HERNANDEZ WAS EXCUSED AT 11:21 A.M.
Mr. Wright recommended that all items be fully explained to the public.
COMMISSION MEMBER MILLER WAS EXCUSED AT 11:22 A.M.
Commission Member Negrete made a molion. seconded by Conunission Member Oherhehllall. lhat
full reading of the Resolutions and Ordirlffilces 011 tlle regular, supplemental. and addendum 10 the
supplemental agenda(s), be waived.
REGULAR MEETING
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January 9, 1995
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The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin:
Oberhelman; Devlin. Noes: None. Abstain: None. Absent: Commission Members Hernandez; Pope-
Ludlam; Miller.
COMMISSION MEMBER MILLER RETURNED AT 11:23 A.M.
COMMISSION MEMBER POPE.LUDLAM RETURNED AT 11:23 A.M.
2. COMMUNITY DEVELOPMENT COMMISSION MINUTES
(Community Development Commi~sion)
Jeff Wright, P. O. Box 2341, San Bernardino, CA, questioned whether or not the minutes
and correct.
Commission Member Negrete made a motion, seconded by Commission Member Oberhe an, that
the minutes of the Community Development Commissiou of the City of San Bernardino for the meting of
November 21,1994, be approved as submitted in typewritten form.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Oberhelman: Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent: Conunission Member
Hernandez.
. Public Works
3. HANDICAPPED RAMPS AT VARIOUS LOCATIONS
!Mavor and Common Councm
Councilman Negrete made a motion, seconded by Councilman Oberhelman, that the folio ing
resolution be approved and adopted:
RESOLUTION NUMBER 95-10
RESOLUTION OF THE CITY OF SAN BERNARDINO AWARDING A CONTRACT TO
GOSNEY CONSTRUCTION, INC. FOR INSTALLATION OF HANDICAPPED RA SAT
VARIOUS LOCATIONS.
Jeff Wright, P. O. Box 2341, San Bernardino, CA, questioned the location of the handica ramps.
Timothy C. Steinhaus, Administrator, Economic Development Agency, stated that this rc. lution
refers to wheel chair ramps that will be located at intersections throughout the City.
The motion carried by the following votc: Ayes: Commission Members Negrete: Curlin:
Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent: COlOmission Member
Heomndez.
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REGULAR MEETING
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COMMISSION MINUTES
January 9, 1995
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COMMISSION MEMBER HERNANDEZ RETURNED AT 11:25 A.M.
Development Department
4. ARROWHEAD HEALTH CARE SYSTEM
(Community Development Commission)
Timothy C. Steinhaus, Administrator, Economic Development Agency, stated that staff would like to
continue this item until January 12, 1995. He explained that at that time, the item may be continued until
January 23, 1995 if all parties are not ready.
Commission Member Pope-Ludlam commented on the importance of this item and the need to act on
it quickly.
Discussion ensued regarding the ability for all Commission Members to be present al the January 12.
1995 meeling.
Jeff Wright, P. O. Box 2341, San Bernardino, CA, read portions of the staff report for the benefit of
the viewing audience.
Commission Member Oberhehnan made a motion, seconded by Commission Member Devlin. that
the Community Development Commission adjourn the meeting of January 9, 1995 until Thursday, January
12,1995 at 9:30 a.m., in the Council Chambers of City Hall, 300 North "D" Street, San Bernardino,
California, for a public hearing and action on the Arrowhead Health Care System guarantee.
The motion carried by the following vote: Ayes: Commission Members Negrete; Hernandez:
Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: Commission Member Curlin. Absent:
None.
IMlIyor and Common Council)
Councihnan Oberhehnan made a motion, seconded by Councilman Devlin, that the Mayor and
Common Council adjourn the meeting of January 9, 1995 until January 12, 1995 a19:30 a.m. for a public
hearing and action on the Arrowhead Health Care System guaranlee.
The motion carried by the following vote: Ayes: Council Members Negrete; Hernandez;
Oberhehnan; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: Councihnan Curlin. Absent: None.
REGULAR MEETING
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COMMISSION MINUTES
January 9, 1995
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5.
MOBILE HOME PARK CONVERSION PROGRAM
(Communitv Development Commission)
Jeff Wright, P. O. Box 2341, San Bernardino, CA, read the motions for the benefit of the viewing
audience.
Commission Member Oberhelman made a motion. seconded by Commission Member Hernandez, to
approve the consent of assignment and release from DeAnza Conversions, Inc" in association with The
London Group as the Mobile Home Park Conversion Consultant to the London Group and authorize
execution of all necessary documents by the Acting Director; and
Commission Member Oberhelman made a motion, seconded by Commission Member Hernandez, to
authorize the expenditnre of an additional $30,000 in housing set-aside funds for the due diligence efforts for
the conversion of The Friendly Village Mobile Home Park, and authorize the execution by the Acting director
of necessary modifications to existing agreements with The London Group,
TIle motion carried by the following vote: Ayes: Commission Members Negrete: Curlin;
Hernandez; Oberhelman; Devlin; Pope-Ludlam; Miller, Noes: None. Abstain: None, Absent: None.
END OF CONSENT CALENDAR
6.
MT. VERNON A VENUE STORM DRAINS
(Communitv Development Commission)
TinlOthy C, Steinhaus, Administrator, Economic Development Agency, asked the Commission to
reaffirm the allocation of $1 ,8 million in bond proceeds previously approved by the Commission when this
motion is considered,
Jeff Wright, p, 0, Box 2341, San Bernardino, CA, suggested San Bernardino County participate
with this item by providing funding for the storm drains.
Commission Member Hernandez made a motion, seconded by Commission Member Negrete, to
reaffirm the allocation of $1.8 million in bond proceeds and approve the Agency allocation of an additional
$670,000 for the Mt. Vernon Storm Drains from a funding source yet to be determined.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent: None.
REGULAR MEETING
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COMMISSION MINUTES
January 9, 1995
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7.
RENTAL HOUSING CERTIFICATION PROGRAM
(Mayor and Common Council
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Jeff Wright, P. O. Box 2341, San Bernardino, CA, read portions of the back-up for tb.;s ilpln as well
as the motions. -r
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Helen Kopcynski, Citizen, questioned the funding used for this project and whether or not legal
opinion had been given on the proposed funding source.
Mayor Minor stated that Timothy Sabo, Agency Counsel, Sabo & Green, had given a lega opinion
on this which stated that the proposed funding source was legal.
Councilman Oberhelman made a motion, seconded by CounciIman Hernandez, that the fol owing
resolution be approved and adopted:
RESOLUTION NUMBER 95-11
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF S
BERNARDINO, CALIFORNIA, MAKING FINDINGS AND DETERMINATIONS AS
BENEFIT TO THE VARIOUS REDEVELOPMENT PROJECT AREAS OF MAKING
LEASE PAYMENTS ON BEHALF OF THE CITY OF SAN BERNARDINO (CITY H
PROJECT).
The motion carried by the following vote: Ayes: Council Membe.rs Negrete; Curlin; Hem ndez;
Oberhelman; Devlin; Miller. Noes: Councilwoman Pope-Ludlam. Abstain: None. Absent: Non .
(Communitv Development Commission)
o THE
ERTAIN
L
Commission Member Oberhelman made a motion, seconded by Commission Member He andez,
that the following resolution be approved and adopted:
RESOLUTION NUMBER 5425
RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CI OF
SAN BERNARDINO, CALIFORNIA, MAKING FINDINGS AND DETERMINATION AS TO
THE BENEFIT TO THE VARIOUS REDEVELOPMENT PROJECT AREAS OF MAK G
CERTAIN LEASE PAYMENTS ON BEHALF OF THE CITY OF SAN BERNARDIN (CITY
HALL PROJECT).
Commission Member Oberhelman made a motion, seconded by Commission Member He andez, (0
approve the Rental Housing Certification program concept, and authorize the payment by the Econ mic
Development Agency of $156,000 to the City of San Bernardino for City Hall lease payments. and approve
$529,400 of 20% set-aside monies to be used for the program. aod that the Agency's hudgct he ine 'cased
accordingly.
REGULAR MEETING
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January 9, 1995
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The motions carried by the following vote: Ayes: Commission Members Negrele; Curlin;
Hernandez; Oberhelman; Devlin; Miller. Noes: Commission Member Pope-Ludlam. Abstain: None.
Absent: None.
8. CONVENING OF MRF.TING OF THE COMMUNITY DEVELOPMENT COMMISSION
(Mayor and Common Council)
Councilman Curlin made a motion, seconded by Councilman Hernandez, that this matter be tabled.
The mOlion carried by the following vote: Ayes: Council Members Negrete; Curlin; Hemandez;
Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent: None.
RS-l. PLACEMENT OF AGENDA ITEMS
(Communitv DevelQjlment Commission)
(Councilman Dr. Curlin's Recommendation)
Timothy Sabo, Agency Counsel, Sabo & Greeo, stated that approval of this motion would direcl
staff and the Agency Administrator 10 only place commission items on the commission agenda. He explained
thaI all council items would need to be placed on the council agenda.
Commission Member Hernandez spoke in favor of this motion.
Commission Member Miller requested an opinion on this item from Senior Assistant City Anomey
Barlow.
Dennis Barlow, Senior Assistanl City Attorney, explained lhal approval of this item will not remove
the City Allorney's Office from the Commission Meetings per the Brown Act.
COImnission Member Devlin asked Mr. Sabo if he concurred with the City Attorney's Office.
Mr. Sabo staled thaI he would need more time to review lhe City's Charter before giving any opinion.
Commission Member Devlin ntade a motion, seconded by Commission Member Oberhelman, to
continue this item until January 23, 1995.
The mOlion failed by the following vole: Ayes: Commission Members Oberhelman; Devlin; Miller.
Noes: Commission Members Negrete; Curlin; Hernandez; Pope-Ludlam. Abstain: None. Absent: None.
Commission Member Curlin commented on the various opinions received from lhe City Attorney's
Office regarding this item.
REGULAR MEETING
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January 9, 1995
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Jim Penman, City Attorney, stated that the opinion of the City Attorney's Office regarding this item
has always remained the same. He emphasized to the Commission that regardless of the vote on this item. his
office will always be present at both Commission and Mayor and Common Council Meetings. He also
commented that approval of this item will cause confusion and problems.
Commission Member Hernandez made a motion, seconded by Commission Member Negrete, that
this matter be continued to January 12, 1995; and that Attorney Sabo review the matter and prepare a wrincn
report for the meeting of January 12, 1995.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Henmndez; Oberhelman; Devlin; Pope-Ludlam. Noes: Commission Member Miller. Abstain: None.
Absent: None.
9. ADJOURNMENT
At 12: 18 p.m., the meeting of the Mayor and Common CounciVCommunity Development
Commission was adjourned to Monday, January 12, 1995, at 9:30 a.m., in the Council Chambers of City
Hall. 300 North "D" Street, San Bernardino, California.
Respectfully Submitted:
TIMOTHY C. STEINHAUS
Agency Administrator!
Secretary to the Commission
REGULAR MEETING
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COMMISSION MINUTES
January 9, 1995
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