HomeMy WebLinkAboutR02-Economic Development Agency
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IlEDEVBLOPMDT CO!R[rrBB
MIIIUTBS
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JUDe 20, 1991
4:00 p...
The Regular Meeting of the Redevelopment Committee was called to order by
Committee Member Michael Maudsley at 4:18 p.m., in the Economic Development
Agency Conference Room, Fourth Floor, City Hall, 300 North "D" Street, San
Bernardino.
ROLL r.AT.T.
Roll call was taken with the following members being present: Committee
Members Jack Reilly and Michael Maudsley. Absent: Chairwoman Esther Estrada.
STAFF PRBSBIIT
Timothy C. Steinhaus, Administrator, Economic Development Agency; Kenneth
J. Henderson, Executive Director, Development Department; Dennis Barlow,
Senior Assistant City Attorney; John Hoeger, Development Division Manager,
Development Department; Lorraine Velarde, Executive Assistant to the Mayor;
Phil Arvizo, Executive Assistant to the Council; Roger C. Hardgrave, Director
of Public Works; Janice Ingels, Data Systems Manager; Deborah Marez, Recording
Secretary, Development Department.
OTHERS III ATTEIIDAIICB
Merry Tuten, Greater Los Angeles World Trade Center Association; Michael
F. Klesh, Greater Los Angeles World Trade Center Association; Dick Munsell,
Galstian Family Trust; Seda Aghaion, Galstian Family Trust; Alonza L.
Thompson, P.A.L. Center.
1. INTI!v.''l'Tn..u. IIRBDS ASSBSSMERT PROPOSAL
Merry Tuten, President and Michael Klesh, Vice President, of the
Greater Los Angeles World Trade Center Association answered questions
regarding GLAWTCA's purpose, interest, representation and goals and objectives
relative to serving San Bernardino. GLAWTCA has 230 offices throughout the
world which network to attract, promote and relocate international industry.
Ms. Tuten said professional time was being allocated because it was felt San
Bernardino offered business opportunities to those companies that were served
internationally. At the present time, international companies are running out
of space in Los Angeles and GLAWTCA would like to offer international
businesses opportunities elsewhere in the Southern California regions.
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Committee Member Maudsley was in favor of GLAWTCA's methodology in
choosing San Bernardino as a base location and asked that same be put in
writing for review by the Community Development Commission.
Staff recommended that the Redevelopment Committee approve the Part I
Background Analysis phase of the attached International Needs Assessment
Proposal.
REcommmATIOll:
Forward to the Community Development Commission for consideration and
action on July 1, 1991.
2. PROVISIOlUL ACr.'RT.nATBD T.1URIITWG (PALl I;J51UJ5J[ CHILD roAR!! PROGRAM
Kenneth Henderson, Executive Director, gave a summary of the staff
report. The original PAL Center request was for approximately $161,000
($41,212 from the County) to purchase a trailer with associated plumbing,
electrical, permits and landscaping. The remaining amount of $120,000 was to
be paid from Development Department funds in connection with equipment and
personnel costs. Staff requested the Redevelopment Committee consider
recommending to the Community Development Commission funding of certain
start-up costs associated with the Provisional Accelerated Learning (PAL)
Center's proposed child care facility, with the proviso that such funding in
whatever amount deemed appropriate by the Committee be a one-time only
infusion of public assistance.
The Redevelopment Committee raised and discussed at length the
following concerns:
1. Amount of funding requested.
2. Future year's fundina for the Child Care Facility.
3. The appearance of circumventing the regular CDBG fundina cycle.
4. Cost of operations of the Child Care Facility.
The Committee subsequently requested staff to forward the item to the
Mayor and Common Council without a recommendation.
REC~ATIOll:
Forward to the Community Development Commission for discussion and
action on July 1, 1991.
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SMART AIID 1'1."". SBOPPIRG IiJUn.l5K1BOII'I'III!AST CORBBK OF RASln.TIIB ST1l1O!'I' AIm
AlIlIl\WRI!An AVDlIB
John Hoeger, Project Manager for the Development Department, briefed
the Redevelopment Committee on the tenant and landscaping improvements
detailed in the staff report. The proposed Community Operation Police (COP)
Center would require $29,850 in tenant improvements of the requested
$235,450. Staff recommended that the Redevelopment Committee recommend
approval of a loan in the amount of $240,000 to the owner to be secured by a
First Trust Deed on the Shopping Center or, in the alternative, recommend that
the Department Guarantee a loan to allow the owner to obtain financing from
conventional sources.
Mr. Hoeger reported that several banks were approached and denied the
loan based on its nature. The owner then requested financial assistance from
the EDA/Development Department. Several alternate options were available:
(1) direct loan; (2) credit enhancement; and, (3) security loan.
Kenneth Henderson, Executive Director, advised that conceptual approval
is recommended at this time. He noted after discussion with Gene Wood,
financial consultant for the EDA/DD, the most effective means of financing
would be explored and presented to the Redevelopment Committee for
recommendation to the Community Development Commission.
Committee Member Maudsley felt comfortable with either of the
alternatives and recommended staff explore options and forward such to the
Commission.
RBCIl.....It...'ArIO.:
Forward to the Community Development Commission for approval of either
of the two (2) alternate motions.
4. TR1ID: DIDlISIOllAL C1IAl'RTCS DESIGB' SYSTEII
Kenneth Henderson summarized the staff report for the Redevelopment
Committee and recommended that the Redevelopment Committee consider the
purchase of the three dimensional graphic design system software at a cost of
$19,000.00 with cost of the software to be financed out of the collateralized
mortgage obligation residual funds.
Janis Ingels, Data Systems Manager, reported on the purchase of three
dimensional GDS software which would enhance the existing geographic
information systems (GIS) software per Mayor Holcomb's request. She reported
that Ruth Parish, G.I.S. Coordinator, did an impressive video presentation of
the three dimensional graphics design system's mapping capabilities and G.I.S.
program status at the recent Budget Retreat. The Redevelopment Committee
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suggested Ruth Parish, G.I.S. Coordinator, Management Information Systems
attend the next meeting to address any questions and concerna. Committee
Member Maudsley will preview the video before the next Redevelopment Committee
meeting.
A lengthy discussion ensued regarding the software's capabilities,
expectations and justification.
Committee Member Maudsley suggested hiring Janis Ingels to replace the
WANG computers in the EDA with another system, preferrably MacIntosh. Timothy
Steinhaus, Economic Development Agency Administrator, said this issue was
looked at and determined to be rather expensive. Janis Ingels cautioned that
WANG was sold to IBM recently; consequently, there will be no other WANG
equipment sold in the future.
RECO__uATIOR:
The Redevelopment Committee continued this item until the July 18, 1991
meeting. Ruth Parish, G.I.S. Coordinator will be invited to attend.
5. RIlIITII 1I'1'UR'1' IMPRlWI5I'mlITS
Kenneth Henderson, Executive Director, summarized the information
detailed in the staff report and interoffice memorandum from the Director of
Public Works/City Engineer. Staff recommended that the Redevelopment
Committee consider recommending approval of an additional $12,698.16 of tax
exempt bond proceeds to finance the City's proportional share of the Ninth
Street improvements relating to San Bernardino R. V. park.
Roger Hardgrave, Director of Public Works/City Engineer, was present to
answer questions pertaining to previous estimates of the project versus actual
costs incurred.
BCO*KIIIlATIOR:
The Redevelopment COllllllittee recommended this item be forwarded to the
Community Development COllllllission on July 1, 1991 for approval.
6. EMPLO'lIIBlft LJllrAC1! A....."'''''''''''l: WITH roA.'. MBTAL PRODUCTS. IRe.
Kenneth Henderson, Executive Director, summarized the staff report and
specific provisions set forth in the Employment Linkage Agreement concerning
the establishment and hiring of ten (10) new positions at Canam Metals
Products, Inc. Staff recollllllended that the Redevelopment Committee recommend
approval to the COllllllunity Development Commission the Employment Linkage
Agreement with CanAm Metal Products, Inc.
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RECOIMDDATIOlf:
The Redevelopment Committee recommended this item be forwarded to the
Community Development Commission on July 1, 1991 for approval.
7.
STlJIlGBS AUDITORIUII BID AWARD !'OR PUBLIC ADDRESS somm SYSTEM
Kenneth Henderson, Executive Director, summarized the previous
Redevelopment Committee concerns and staff's investigation and analysis
relative to the sound system at Sturges Auditorium to Matty Sound System in
the amount of $38,716.00 as detailed in the staff report. Staff recommended
that the Redevelopment Committee recommend to the Mayor and Common Council
awarding of the bid for a sound system at Sturges Auditorium to Matty Sound
Systems in the amount of $38,716.00.
RECONlDDATIOlf:
The Redevelopment Committee recommended this item be forwarded to the
Community Development Commission on July 1, 1991 for approval.
8. CASH I'LllW/t:IlII'rIlAT. CITY PROJECT AHA
The Redevelopment Committee recommended the review of Central City
projects cash flow analysis information be continued due to Chairwoman
Estrada's absence.
RECONlDDATIOlf:
This item will be continued to the July 18, 1991 Redevelopment
Committee meeting.
9. B.A.B. LOB
Kenneth Henderson, Executive Director, summarized the staff report
which provided for EDA assistance to H.A.B. Land Development Company to
construct bridges and other public improvements to connect Industrial Parkway
and Hallmark Parkway. Staff feels that this will be a catalyst for
development of the entire area. The purpose of the staff report was to
request an extension of one-hundred, eight (180) days due to delays which were
encountered with the U.S. Army Corps of Engineers, as well as request
disbursement of loan proceeds in one-third (1/3) increments be approved at the
administrative level. Staff recommended that the Redevelopment Committee
recommend to the Community Development Commission that a first amendment to
the owner participation agreement between the Development Department and
H.A.B. Development Company be adopted.
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Dennis Barlow, Senior Assistant City Attorney, clarified that the basic
participant improvements are defined in the Owner Participation Agreement
(OPA) to include payoff of the first trust deed.
A lengthy discussion ensued regarding adding a construction loan
disbursement agent feature to the amendment. The Redevelopment Committee
recommended approval for the adoption of the First Amendment to the Owner
Participation Agreement between the Development Department and H.A.B.
Development Company as modified, and that the item be forwarded to the
Community Development Commission on July 1, 1991 for adoption.
RECO~ArIO.:
That this item be forwarded to the Community Development Commission on
July 1, 1991 for approval with the addition of construction loan
disbursement agent feature to amendment.
RS-l. SInwv".r FILL-I. "OCR'. (PUBLIC RIGBrS-OF-WAY IMPRO~J5l'II5l'ITS)
(Taken out of order.)
Kenneth Henderson summarized background, and specifics of Program
guidelines as detailed in the staff report. He said that joint implementation
and coordination of the Public Improvements program by the Public Works and
Development Departments of an infill program to be funded by a combination of
bond proceeds and CDBG funds will be easier to implement at the administrative
level and will improve the present process of service delivery to City
residents. The new construction of sidewalks will be phased over several
years based upon the amount of funding available in each project area. Staff
recommended that the Redevelopment Committee recommend approval to the
Community Development Commission adoption of the resolution making certain
findings and determinations as to the benefit of undertaking certain public
rights-of-way improvements for the State College Redevelopment Project Area
and the Northwest Redevelopment Project Area.
RECO~ATIO.:
The Redevelopment Committee recommended this item be forwarded to the
Community Development Commission on July 1, 1991 for approval.
RS-2. SRAnnv RTT.T_CI APAIH....It..... PROJECT
Kenneth Henderson stated this issue is ss a result of the lawsuit
settlement between the City, the Redevelopment Agency and CFB Investments. He
provided information relative to the background, addendum and financial
proposals as detailed in the staff report. He said the item was requesting
approval of the mutual benefit resolution which would allow the tax allocation
bond proceeds set aside for this program to be used within and outside the
redevelopment project areas. Staff recommended that the Redevelopment
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Committee recommend to the Community Development Commission approval in
concept of the financing plan with CFB Investments for the Shadow Hills
Apartment Project to be located at Kendall Avenue and New Pine Avenue in the
Verdemont Area.
There was an extensive discussion regarding the proposed financing,
effect of a foreclosure on the adopted conditions, convenants and
restrictions, the underlying zoning of the affected property and related
matters. The Redevelopment Committee requested that staff further investigate
legal questions regarding the convenants recorded against the property, as
well as reconsider the financial package, since the developers are requesting
assistance in the nature of bond enhancement.
IlBCO_uATIOK:
Bring back to Redevelopment Committee on July 18, 1991 with requested
information relative to funding source.
10. Sl,;lII5uOLIRG OF FIRST IlBDJI;v&.OPIIEIIT CORUTTBB MEBTIRG III JULY. 1991
The Redevelopment Committee recommended the July 4, 1991 meeting be
cancelled due to the holiday and hold the regularly scheduled July 18, 1991
meeting .
IlBCO_nA'I''(O.:
The Redevelopment Committee will be adjourned to July 18, 1991 due the
July 4, 1991 holiday.
11.
ADJOUD TO CLOSED SBSSIOK
There were no Closed Session items for discussion.
12 . ADJlltJIllUIBlft
There being no further business, the meeting of the Redevelopment
Committee was adjourned at 6:15 p.m.
APPROVED BY:
Michael Maudsley, Vice Chairperson
Redevelopment Committee
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IlEDEVELOPMDr COIBITTBB
MIIIUTBS
REGOLAll MBBrIBG
July 18. 1991
4:00 p...
The Regular Meeting of the Redevelopment Committee was called to order
by Committee Member Michael Maudsley at 4:10 p.m., in the Conference Room A,
Fourth Floor, City Hall, 300 North "D" Street, San Bernardino.
ROLL t!AT.T.
Roll call was taken with the following members being present:
Committee Members Jack Reilly, Michael Maudsley, Chairwoman Esther Estrada
(arrived at 4:25 p.m.).
STAFF PRBSElIr
Mayor W. R. Holcomb; Timothy C. Steinhaus, Administrator, Economic
Development Agency; Kenneth .1. Henderson, Executive Director, Development
Department; Dennis Barlow, Senior Assistant City Attorney; Barbara Lindseth,
Administrative Services Manager, Development Department; John Hoeger,
Development Division Manager, Development Department; Lorraine Velarde,
Executive Assistant to the Mayor; Phil Arvizo, Executive Assistant to the
Council; Janis Ingela, Data Systems Manager, Management Information System;
Ruth Parish, Management Information System; Ann Harris, Executive Director,
Main Street; Deborah Marez, Recording Secretary, Development Department.
OTIIBRS III A'I"I'RIIIl11Ir.R
Allan Steward; Schneider Commercial Real Estate for Truckomat; Sara
Regan, CFB Investments; Wallace Green. Member, Main Street Board of Directors.
1. TRUCKOIIAT PROPBRrr LOAlI
Timothy Steinhaus, Economic Development Agency (EDA) Administrator,
summarized the staff report relative to the Truekomat loan for purchase of
property, clean-up of contamination and satisfaction of liens in favor of the
Internal Revenue Service (IRS) and the Small Business Administration (SBA).
Staff recommended that the Redevelopment Committee recommend to the Community
Development Commission approval of the deal points for the Truckomat property
loan and direct staff to prepare a final agreement for Commission
consideration.
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Allan Stewartdof Schneider Commercial Real Estate was present and
affirmed that he would provide a personal guarantee for the loan based on the
financial records which were reviewed and deemed financially sound by the
Mayor's Office. He mentioned there may be a problem meeting the timeframes of
the schedule of performance as he was unsure of the type and extent of
contamination on the property.
Committee Member Maudsley asked that the final dealpoints be worked out
and brought to the Community Development Commission for discussion regarding
the financing.
RBC~lu.IJATIO":
Forward to the Community Development Commission for approval on August
5, 1991.
2. SRAMV BIT.T.g APAR'I'lval'u: PROJECT
Kenneth Henderson, Executive Director, Development Department provided
historical and financing information regarding the Shadow Hills Apartment
Project as detailed in the staff report. Additional financial information
which was requested at the Redevelopment Committee meeting of June 20, 1991
was presented. Staff recommended that the Redevelopment Committee reconsider
the financial request submitted by staff and CFB Investments for the Shadow
Hills Apartment Project based upon information contained in the attached staff
report.
Mayor Holcomb made various comments which would strengthen the City's
position relative to the request for assistance received from CFB Investments
in the areas of reimbursement for the costs of "New" Pine Avenue,
fifty-percent (50X) profits interest, deed of trust against Parcel Number "4",
and the negotiable terms for paying off the the RTC loan.
Dennis Barlow corrected his memorandum dated July 3, 1991. He said
that the zoning requirements are n21 single family residence but is zoned
multi-family at nine (9) units per acre.
Sara Regan, Sole General Partner from CFB Investments, was present to
answer questions.
A lengthy discussion ensued regarding deal points of an Addendum to the
Joint Development Agreement with the City and the Redevelopment Agency
(Development Department) to enable the parties to cooperate in attempting to
compromise with and find a way to payor recast the RTC's obligation and
obtain a reconveyance of its deed of trust, and to provide a source of funds
to accomplish this goal.
The Redevelopment Committee recommended forwarding the item to the
Comunity Development Commission for approval.
RECO.unmlTIOll:
Forward to the Community Development Commission for approval on August
5, 1991.
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MAlII STR1!rI' 1>RN9lI~. IIIe. MEMllIU1III11If OF UlIDBRSTAImIlIG
Timothy Steinhaus, Economic Development Agency (EDA) Administrator,
summarized the proposed Memorandum of Understanding (MOU) between the EDA and
the Main Street Board of Directors. The MOU provides the EDA with the
authority to coordinate the budget with Main Street and working out personnel
problems. He said the EDA tried to develop a compromise similar to the
Convention Visitor's Bureau (CVB) in building an organizational chain of
command which still keeps Main Street a non-profit organization. The
difference being proposed was that any check request produced over
five-hundred dollars ($500), would require approval by the EDA Agency
Administrator in addition to Ann Harris, Executive Director of Main Street.
Staff recommended that the Redevelopment Committee recommend to the Community
Development Commission approval of a certain Memorandum of Understanding by
and between the Community Development Commission of the City of San Bernardino
and the Board of Directors of the San Bernardino Downtown Main Street, Inc.
A lengthy discussion ensued regarding the clause which required the
Agency Administrator to approve all payment request forms in the amount over
$500.00 and the overall control of the organization. The Redevelopment
Committee members felt Main Street, Inc. should function as a 50l(c)(3)
organization with its Board of Directors making decisions.
Ann Harris, Executive Director, Main Street, Inc., answered questions
pertaining to program funding, operational and projected expenditures and
provisions set forth in the proposed MOU.
The Redevelopment Committee recommended that the payment approval
provision in the subject MOU be the same as that described in the Convention
and Visitors Bureau's MOU, which does not contain a payment approval
provision. The Committee recommended approval of the Memorandum of
Understanding with this change.
A lengthy discussion ensued regarding the differences and similarities
between the Convention and Visitors Bureau and Main Street, Inc. relative to
program funding and disbursements, audits, fundraisers and signing of vouchers
and check authorizations. The Redevelopment Committee requested the issue of
funding the CVB and Main Street, Inc., be brought back to the next
Redevelopment Committee meeting for discussion.
RECOMIIDDATIOII:
Forward to the Community Development Commission for approval on August
5, 1991.
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4.
TRR1!1I: DnmRllIn.u. GIlAPRTCS DBSIGlI SYSTBII
Kenneth Henderson, Executive Director, summarized the staff report
relative to fundins the purchase of a three dimensional graphic design
system. Mr. Henderson met with Janis Insels and Fred Wilson and there was a
significant change in the proposal.
Janis Ingels, Data Systems Manager, Management Information System said
although the proposed 3-D GDS software was an excellent program, she felt the
purchase would be a better choice for the future. Since the GIS is currently
in its early stage and there are many time-consumins and laborious projects
already scheduled, she recommended approaching the 3-D GDS project in
increments. She stated there was a greater need for an additional GIS
workstation which the EDA would use and noted individual workstations were
currently in place and operatins in the Enaineering, Planning and MIS
Departments. Ms. Insels made an alternate proposal for a new workstation,
featuring the latest technology, necessary software and peripherals as
detailed in Ruth Parish's memorandum dated June 7, 1991.
The Redevelopment Committee recommended that no action was required
relative to staff's recommended motion specific to the request for the
purchase of 3-D GDS software.
Chairwoman Estrada instructed Janis Insels to prepare the alternate
item (purchase of one workstation) with relevent documentation in agenda form
and bring it back to the Redevelopment Committee.
IlECO-.n'TIOK:
No action required. Janis Insels will prepare appropriate agenda
documentation, specific to purchase of GIS workstation for the EDA,
present same at the next Redevelopment Committee meetins on August 8,
1991.
5. FISr.U. nAIl 1991/1992 BCOllllMIC DBVBLOPIIBKr AGDCY lOA) BUDGET
Timothy Steinhaus, EDA Administrator, presented and highlighted
significant points of the Fiscal Year 1991/1992 EDA budget. Barbara Lindseth,
Administrative Services Division Manager for the Development Department,
explained the budget information which was distributed for Committee review.
Ms. Lindseth highlighted the major areas of difference between the FY
1990/1991 budget and the FY 1991/1992 budget. Staff recommended thst the
Redevelopment Committee consider the proposed FY 1991/1992 Economic
Development Agency (EDA) budget and recommend to the Community Development
Commission approvsl of same (bUdget previously provided under separate cover
on July 15, 1991).
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A lengthy discussion ensued regarding expenditures and receivables,
various agreements and instruments of indebtedness, and outside consultant
agreements for projects not managed by staff (Street Tree Master Plan, State
government lobbyist, Creative Communications, etc.).
Chairperson Estrada pointed out, relative to the increased figures
reported since 1990/1991, the difficulty in differentiating between that which
was spent by the Communi ty Development Department and the Redevelopment Agency
independently, as the budget information reflected figures of the Development
Department as a whole.
Committee Member Maudsley said he did not feel that the accomplishments
identified by staff justified the expenditures reported. There were concerns
relative to the substantiation for the use of monies in the future given the
limited goals and objectives which were met in 1990.
Chairperson Estrada stated she had hoped that the Budget Retreat would
have allowed the time to discuss and set the goals and objectives for the
Agency. In this way, the goals could be measured by the accomplishments at
the end of the year.
The Redevelopment Committee recommended no action be taken at this time.
DCUIWIIU'IIIA"IOR:
No action taken. A Budget Workshop will be conducted on July 24, 1991.
6.
r.1nI'I"R&T. CITY PROJECT A"A t:A!lR FLOW
The Redevelopment Committee recommended Central City Projects Cash Flow
Analysis Information be continued.
RECORmmATIOlll:
This item was continued to the next Redevelopment Committee meeting.
7. CLOSED SBSSIOlll
The Committee recessed to Closed Session at 6:05 p.m.:
d. Pursuant to Resolution Number 5272, the Redevelopment Committee of
the Development Department of the City of San Bernardino will
convene to Closed Session to discuss matters of sensitive
negotiations with development clients.
The Redevelopment Committee reconvened from Closed Session at 6:45 p.m..
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The Redevelopment Committee reviewed the documentation concerning Chuck
Obershaw Toyota Relocation and recommended the item be forwarded to the
Community Development Commission on August 5, 1991 for approval.
8. ADJotJR1IIMDT
There being no further business, the Redevelopment Committee meeting
was adjourned at 6:30 p.m. to August 8, 1991.
APPROVED BY:
Esther Estrada, Cbai~
Redevelopaent Caaaittee
EE:KJH:dlm
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RBDEVELOPMDr CO!K[n'BB
MIBUTBS
REGULAR IfBBTIBG
Auaust 8, 1991
4:00 p.m.
The Regular Meeting of the Redevelopment Committee was called to order
by Committee Member Michael Maudsley at 4:14 p.m., in the Bconomic Development
Agency Large Conference Room, 201 North "B" Street, San Bernardino.
ROLL /':AT.T.
Roll call was taken with the following members being present:
Committee Member Jack Reilly and Committee Member Michael Maudsley. Also
present was Mayor W. R. Holcomb. Absent: Chairperson Bsther Estrada.
STAFF PRBSnr
Timothy Steinhaus, Administrator, Bconomic Development Agency; Kenneth
J. Henderson, Executive Director, Development Department; Henry Empeno, Deputy
City Attorney; Lorraine Velarde, Executive Assistant to the Mayor; Phil
Arvizo, Executive Assistant to the Council; Cynthia Epperson, Acting Manager,
Administrative Services Division, Development Department; Deborah Marez,
Recording Secretary, Development Department.
OTHERS IB Ar.rBIIDAlfCB
Lou Press and Bob Gross, Hair Masters School of Beauty.
8. HUll RASTERS SCHOOL OF R'R111'rV - REQUEST FOil ASSISTAlIfCB
(Taken out of order.)
Kenneth J. Henderson, Executive Director, Development Department
summsrized the staff report whereby the Hair Master's School of Beauty is
requesting financial assistance for the construction of certain public
improvements in an amount not to exceed $20,000. Staff recommended approval
of the form motion.
Mr. Lou Press and Bob Gross were present to answer questions regarding
additional parking needs, purchase of adjacent property, public improvements
and landscaping treatments.
REC(l-.tlITIOB
The Redevelopment Committee recommended this item be forwarded to the
Community Development Commission meeting of August 19, 1991 for
approval.
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1. MOBILE BOMB I!1nI'I'AL ASSISTA.a PIlOGUII STAmS REPORT
Kenneth Henderson summarized the previous Redevelopment Committee
concerns and deliberations as contained in the staff report. While the Mobile
Home Rent Board had recommended an increase from $50.00 to $75.00 per month,
the Redevelopment Committee approved a maximum amount of space rent. subsidy at
$50.00 per month. Mr. Henderson said he reviewed information provided by
Gerald Butler, Mobile Home Rent Board Coordinator, and was not convinced that
an increase in the subsidy was necessary or appropriate at this point in
time. He felt that staff needs to have a better handle on the demand factors
associated with the program. The marketing plan would provide a better
picture of the program's needs, as well as determine if the criteria would
need to be liberalized or tightened up. Staff recommended that the
Redevelopment Committee take action maintaining the Mobile Home Rental
Assistance Program at its current funding level and authorize staff to develop
an intensive marketing strategy for said program.
A lengthy discussion ensued regarding participation in the program by
eligible recipients.
The Redevelopment Committee recommended that the Mobile Home Rental
Assistance Program be maintained at its current funding level and authorized
staff to develop an intensive marketing strategy for said program. A status
report is to be presented in ninety (90) days.
RBcn-.nmATYOB
Staff will develop an intensive marketing strategy for said program and
report back in ninety (90) days.
2.
WORe PROPR1I'n' ACOUISITIOB
Kenneth Henderson, Executive Director, explained that the Wong property
(a 39,875 square foot parcel of land, located on the west side of Del Rosa
Avenue, between Eureka Street and Marshall BOUlevard) was donated to the City
by Bing Wong with the stipulation that if it was eVer sold that the funds be
utilized to finance library activities. Mr. Henderson stated that this has
been construed as a capital improvement activity. Staff has worked with the
Public Works Department and based on the comparable sales of the area, a price
of $87,725 ($2.20 per square foot) was agreed to be the current market value.
The proposed funding source is Twenty Percent (20~) Set-Aside Funds and the
proceeds would go to the library for improvement purposes. Staff recommended
adoption of the Resolution and the form motion.
Mr. Henderson reported that staff has had discussions with a developer
interested in building a multi-family housing project in this area. If this
type of project proved to be impractical for any reason, the set aside fund
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could be reimbursed from eighty percent (80%) tax increment, allowing more
flexible use of the property. Mr. Henderson said the transaction would be an
exchange of a deed for a check, however, the Department's budget will need to
be increased by the sales price in order to fund the purchase.
A lengthy discussion ensued regarding the possibility of purchasing an
adjacent parcel, anticipated sewer problems and expenses relative to the
proposed development.
Deputy City Attorney Henry Empeno questioned if any of the donors were
alive. Loraine Velarde affirmed that Mr. Wong is alive. The Mayor spoke to
Mr. Wong and he has no problem with the purchase of land as long as the monies
was put back into the library. Mr. Wong was comfortable with the use of funds
for the library.
Committee Member Maudsley felt he should call attention to the fact
that there are about 40,000 people in the City that do not live near any kind
of a library in the East end. He said he was going to send the Libary Board a
letter to consider setting the money aside for future site acquisition for the
library.
The Redevelopment Committee discussed this item and recommended that
the Community Development Commission and the Mayor and Common Council
authorize the Executive Director to effect the transfer of the Wong Parcel
from the City of San Bernardino to the Development Department, and to increase
the Department budget by $87,725.
RECIJR'ml'IIIATIOK
The Redevelopment Committee recommended this item be forwarded to the
Community Development Commission meeting of August 19, 1991 for
approval.
3. ORB SUlISBT COUllr IIOrICB OF DBFADLr (COUllr AWn ..." llTnIITll)
Kenneth J. Henderson summarized the staff report Whereby the
Redevelopment Agency is requesting authorization to execute a letter of
default to One Sunset Court based on failure to perform construction as set
forth in the Disposition and Development Agreement. The Commission met
previously in closed session to consider the default of the developer. The
developer was contacted and asked to withdraw from the project. The response
received by the Chairman of the Commission was unsatisfactory and the City
Attorney's office subsequently reviewed the termination provisions of the
Agreement.
A Notice of Default letter was drafted by the City Attorney's Office
and reviewed by the Redevelopment Committee. The notice of the default would
begin a thirty (30) day period as provided in Section 612 of the Agreement.
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If at the end of that period the defaults have not been cured, the Agreement
would be terminated. Approval of the Commission is required to authorize
sending the notice. Staff recommends adoption of the form motion.
RBCul'mI51'IuATIOI!I
The Redevelopment Committee recommended this item be forwarded to the
Community Development Commission meeting of August 19, 1991 for
approval.
4. GBOrIll5KI'IAL 1IB'lR0nrTIlIG OF 201 BUILDIlIG
Timothy Steinhaus, Administrator for the Economic Development Agency,
summarized the staff report pertaining to inadequate heating equipment located
at 201 l!Iorth "E" Street. A survey conducted by the Facilities Management
Department determined that a major overhaul was necessary in order to heat the
building effectively. A recommendation was made to have the building's
heating system retrofitted with geothermal heat as an alternative to an
overhaul of the existing gas-operated heating system. The item was included
in the proposed Fiscal Year 1991/1992 EDA Budget. The Water Department
estimated the conversion would save approximately $9,040.00 a year in gas
consumption and would pay for itself in su and one-half years. Staff
recommends adoption of the form motion.
Dr~""'K"IIA'I'IO.
The Redevelopment Committee recommended this item be forwarded to the
Community Development Commission meeting of August 19, 1991 for
approval.
5. FIVB-LBVEL PAHTlIG Snw,,-ruu; J.Awn!lCA1>IlIG 1>J.A. (Verbal)
Timothy Steinhaus gave a verbal report on the landscaping plans for the
five-level parking structure which is visible from the Maruko Botel, First
Interstate Bank Building and some floors of City Ball. The landscaping
beautification plan for the top structure included a covered trellis for shade
parking and creation of a garden-type parking area. Mr. Steinhaus also noted
proper signage and security system would be included. Although, there have
been no costs estimates prepared to date, the item was brought to the
Redevelopment Committee as information.
Committee Member Maudsley requested top priority be concentrated in the
area of providing a security system to keep cars safe. Be felt appropriate
signage be given second priority, and suggested grapeleaf ivy plants be
planted on each level.
Kenneth Benderson stated a comprehensive plan for security and signage
will be prepared and brought to a subsequent Redevelopment Committee meeting.
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RECOmml'IUATIOK
No action required. A comprehensive study will be brought to a
subsequent Redevelopment Committee meeting.
6.
MASSACHUSETTS AIm HIl:IIUII1l AVB1mIS - SHOPPIlIG ''''''''-IIK (Verbal)
Kenneth Henderson provided a verbal update of the Massachusetts and
Highland Avenue Shopping Center. He noted that problems arose in regards to
the developer's private financial commitment and meetings were held with
financial representatives and Gene Wood, financial consultant for the EDA.
Mr. Wood has informed the Agency that a financial commitment for $8.5 million
on the construction financing has been received. The normal validation
process will need to be conducted and it will include the Stater Bros.
parcel. A meeting with CALTRANS to discuss the street vacation issue will be
held next week.
Mr. Henderson reported a County source has informed Ezell James,
Development Specialist, that negotiations were conducted with the County
Department of Public Social Services (DPSS) to erect a 36,000 square foot
building at the site. He noted there was the possibility that the site would
be used as a welfare office for the County and said that further investigation
would be conducted by staff to validate the information.
Committee Member Maudsley did not feel the tenant mix of welfare of ice
and a shopping center would be a beneficial to the success of the parking
structure.
RECO_n''I'IOK
No action required. Bring back information to the next Redevelopment
Committee meeting.
7. FY 1991/1992 BCOIIOIIIC DBVBLOPIIBI!IT AC1!IIr.Y B1JOOBT
Timothy Steinhaus said the Community Development Commission reviewed
the revised goals and objectives at the Budget Workshop on July 24, 1991 and
referred it to the Redevelopment Committee for review and recommendation.
REel-IEII"ArIO.
Forward to the Community Development Committee for adoption on August
19, 1991.
9. r.1lR'I"IP". CITY PROJ'BCT AIPRA roAD PLOW
This item was deferred until Chairwoman Estrada is present.
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RECOmIDDArIOllf
Bring back next Redevelopment Committee meeting.
10.
ADJOURlIf TO CLOSED SESSIOllf
There were no Closed Session items for discussion.
11. ADJ01IDMD'l'
There being no further business, the meeting of the Redevelopment
Committee was adjourned at 5:11 p.m. to August 22, 1991.
APPROVED BY:
Michael Mauds1ey, Vice Chairperson
Redevelopment Committee
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