HomeMy WebLinkAbout07.B- Community Development
7.8
ORDINANCE (In # 1469)
DOC ID: 1469
CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION
Public Hearing
From: Margo Wheeler
M/CC Meeting Date: 01/09/2012
Prepared by: Aron Liang, (909) 384-5057
Dept: Community Development
Ward(s): All
Subject:
An Ordinance Deleting Amendment MC 1356 and Amending Chapter 19.06, Table 06.01, List
of Permitted Uses, in Chapter 19.06 of the Municipal Code (Development Code), to Permit New
Movie Theaters Not Otherwise Exempted by a Development Agreement, with an Auditorium of
3,000 Sq. Ft. or Less and 200 or Fewer Seats, with No Limit of the Number of Screens in Any
Theater Complex (DCA 11-11). (FIRST READING)
Financial Impact:
None
Mayor to open the hearing. . .
Motion I: Close hearing and layover Ordinance approving Development Code Amendment
No. 11-11 and Development Agreement No. 11-02 concurrently;
OR
Motion 2:
Close hearing and layover Ordinance approving Development Code Amendment
No. 1]-11.
Svnopsis of Previous Council Action:
06/01/09 Mayor and Council accepted and endorsed the Downtown Core Vision/Action Plan
and directed staff to proceed with its implementation.
05/02/11 Mayor and Common Council approved Development Code Amendment (DCA) No.
] ]-0] (MC 1356) that amended Table 06.0], List of Permitted Uses, in Chapter ]9.06
of the Development Code, Commercial Districts, to permit movie theaters of four or
more screens subject to a Conditional Use Permit in the downtown Main Street
Overlay District.
Owner/Applicant:
San Bernardino Economic Deve]opment
Corporation
20 I North "E" Street, Ste. 30 I
San Bernardino, CA 9240 I
Representative:
Lewis Brisbois Bisgaard & Smith LLC
650 East Hospitality Lane, Suite 600
San Bernardino, CA 92408
Backe:round:
The San Bernardino Economic Development Corporation (EDC) proposed Development Code
Amendment (DCA) No. 11-]] to support its efforts to revitalize Downtown San Bernardino in
Updated: 1/4/2012 by Linda Sutherland
I "packet Pg. 275
7.8
1469
accordance with the Downtown Core Vision/Action Plan, the guiding land use and
redevelopment strategy document endorsed by the Mayor and Council in 2009. One of seven key
initiatives in the Downtown Core Vision/Action Plan is creation of an entertainment district,
anchored by the California Theater and the downtown cinema. The EDC has been working to
enhance the California Theater, re-tenant the downtown cinema and create an entertainment
plaza, known as Theater Square, to revive night life in Downtown San Bernardino.
The proposed amendment will modify Chapter 19.06, Commercial Districts, Table 06.01, List of
Permitted facilitate the development of the cinema-plex project in the Downtown area and will
replace provisions for permitting movie theaters in certain areas of the city based on the number
of screens with a city-wide standard for new theater development. The new standard would apply
to new theaters not otherwise exempted by a prior development agreement, and would limit the
size of theater auditorium to 3,000 sq. ft. or less and 200 or fewer seats, with no limit on the
number of screens in any theater complex. A more detailed description and analysis of the
proposed DCA is attached in the December 14, 2011, Planning Commission Staff Report
(Exhibit 1).
The proposed DCA will allow for the stabilization of the renewed operations of the downtown
cinema-plex project and provide for the more orderly development of theater and commercial
projects in outlying City neighborhoods with limitations on the sizes of auditorium and seating
capacity that will enhance the local markets in these outlying neighborhoods. There currently
exists a significant void in the allocation of market shares for theater projects in the East Valley
for the concentric market areas radiating from the Downtown area. The proposed amendment
allows for greater flexibility in locating theaters outside of the downtown while still supporting
the creation of the downtown entertainment district.
Planning Commission Recommendation:
After a lengthy discussion, the Planning Commission recommended approval of DCA No. 11-11
and that the Mayor and Common Council adopt an Ordinance approving DCA No. II-II and
Development Agreement No. 11-02 concurrently on a vote of 8 - I at their meeting of December
14, 201]. Commissioners Eble, Co ute, Durr, Heasley, Lopez, Machen, Mulvihill and Rawls
voted in support of the motion and Commissioner Jimenez voted against the motion.
The minutes of the Planning Commission Hearing December 14, 2011, are attached as Exhibit 2
for reference and are available from the City Clerk's office on CD for review.
Additionally, the disc containing the full recording of the December 14, 2011 Planning
Commission meeting is available to be picked up at the City Clerk's office or in the Community
Development Department for review.
Updated: 1/4/2012 by Linda Sutherland
I ~ Packet Pg. 276 I
7.B
1469
California Environmental Quality Act (CEQA) Compliance:
Section 15061(b)(3) of the CEQA Guidelines states: "the activity is covered by the general rule
that CEQA applies only to projects which have the potential for causing a significant effect on
the environment. Where it can be seen with certainty that there is no possibility that the activity
in question may have a significant effect on the environment, the activity is not subject to
CEQA."
The proposed amendment will not create any public health or safety hazards and will not have a
significant impact on the environment, such as water, sanitary services, roadways and
intersections, and school. The proposed Ordinance would delete the prior amendment approved
by Ordinance MC 1356 to limit the number of new movie theater screens permitted outside the
Main Street Overlay District and would be replaced with a limitation on new theater
development on a city-wide basis, affecting new theaters not otherwise exempted by a prior
development agreement to 3,000 sq. ft. or less, with 200 or fewer seats, and with no limit on the
number of screens in any theater complex. This amendment to the Municipal Code does not
entitle permanent alterations to land or the environment. Therefore, the Ordinance is exempt
from environmental review pursuant to Section I 5061 (b)(3) of the CEQA Guidelines, because
no direct or reasonably foreseeable indirect physical change in the environment will result from
its adoption.
Public Hearing Notice:
Notice of the public hearing of this item was published in a 1/8 page advertisement in the San
Bernardino County Sun on December 24,2011.
Attachments:
Exhibit 4
Planning Commission Statement of Action and 12/14/11 Planning Commission
Staff Report
Draft Minutes of the Planning Commission Hearing 12/14/11 (full disc available;
see above)
Proposed Ordinance approving Development Code Amendment No. II-II and
Development Agreement No. 11-02 concurrently
Option: Ordinance approving Development Code Amendment No. 11-11
Exhibit I
Exhibit 2
Exhibit 3
City Attorney Review:
Supportinl! Documents:
Exhibit I - 12.14.1 ] PLanning Commission Staff Report
Exhibit 2 - 12.14.1\ Minutes (DOC)
Exhibit 3 - Ordinance combine (DOC)
Exhibit 4 - Ordinance (DOC)
Attachment I (PDF)
(PDF)
Updated: 1/4/2012 by Linda Sutherland
I ~ Packet Pg. 277
PLANNING COMMISSION STAFF REPORT
CITY OF SA~ BERNARDINO PLANNI~G DIYISION
CASE:
AGE~DA ITEM:
HEARING DATE:
WARD:
Development Code Amendment No. 11-11
2
December 14,2011
CItywide
APPLICANT:
San Bel11ardino Economic Development Corporation
201 Not1h "E" Street, Ste. 301
San Bel11ardino, CA 92401
REQt:EST/LOCATJOl'i:
A proposal to amend Section 19.06.020 of the Development Code to delcte the prior amendmcnt
approved by Ordinance MC 1356 to limit thc number of new movie theater screens pemlitted
outside the Main Strect Overlay District. This prior amendment language would be replaced with
a limitation on ncw theater development on a city-wide basis, affecting new theaters not
otherwise exempted by a pnor dcvelopmcnt agreement to 3,000 sq. 1\. or less, with 200 or fewer
scats, and with no limit on tbe number of screens in any thcatcr complex.
CO:\STRAI:\TS/OYERLA YS:
Not Applicable
E'liVIRONJ\1ENTAL FINDINGS:
OJ Exempt from CEQA, Section 15061 (b)( 3) - No Possible SIgnificant Impact
o Mitigation Measures and Mitigation Monitoring/Reporting Program
Cl Environmental Impact Report
STAFF RECOI\1I\1F.'liDATlO:\:
OJ Approval Recommendation to Mayor and Council
D Conditions
D Demal
:J Continuance to:
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PROJECT DESCRIPTION
Development Code Amendment (DCA) No. 11-11 is a proposal to change Chapter 19.06,
Commercial Dlstricts, Table 06.01, List of I'emlitted Uses. This item is presented to the Planning
Commission for a recommendation to be forwarded to the Mayor and Common Council,
pursuant to Section 19.42.030 orthe Development Code, Commission AetlOn on Amendments.
The proposed amendment would replace provisions lor permitting movie theaters in eertam areas
of the city based on the number of screens with a city-wide standard for new theater
development. The new standard would apply to new theaters not otherwise exempted by a prior
development agreement, and would limit the size of theater auditorium to 3.000 sq. n. or less and
200 or fewer seats, with no limit on the number of screens in any theater complex.
SETTll'iG AND AREA OF EFFECT
DCA No. 11-11 would affect all commercial districts throughout the City where movie theaters
of any size arc eun'ently permitted subject to approval of a Conditional Use Permit (CUP).
CALIFORNIA ENVIRON:\1ENTAL QUALITY ACT (CEQA)
The proposed amendment of the Development Code is exempt li'om CEQA under the general
rule in SectIon 15061 (b )(3) of the CEQA Guidelines that there 1S no I'lfeseeable phys1eal effect
of the proposal that could cause a signiticant adverse impact on the environment. The proposed
amendment sets development standards Cor potential development pursuant to the Development
Code.
BACKGROUND
. On May 2. 2011, the Mayor and Common ('ounet! approved Development Code
Amendment (DCA) No 11-01 (MC 1356) that amended Table 06.01, List ofPemlltted
Uses, in Chapter 1906 of the Development Code, Commercial Districts, to pemlit movie
theaters of four or more screens sobject to a Conditional Use Pemlit in the downtown
Mam Street Overlay District.
. November 29. 2011, Application for Planning Commission of the Development Code
Amendment 1\0. 11-11 was submitted.
. December 8, 2011, Applicant representative's letter proposing recommendation lor
adopting the code amendment by ordinance.
ANALYSIS
The proposed amendment would provide a city-wide standard lor permitting movie theaters
Speciiieally, the proposed amendment would enhance the environment lor success of the
downtown movie theater, the Calitornia Theater, and existing and future anc1llary uses in the
slllTounding area, including Theater Square.
Adopted policies that suppot1lhis type of development are made part of the proposed iindings.
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FINDINGS OF FACT
1. The proposed amendment is cUI1SiS{fnl H"ilh ll1e Gf:!neral Plan.
The proposed amendment would provide new standard for new theaters not otherwise
exempted by a prior development agreement, and would limit the size to 3,000 sq. ft. or
less and 200 or fewer seats, with no limit on thc number of screens in any theater
complex, consistent with the following General Plan goals and policies:
Goal 2.4: "Enhance the quality of life and economic vitahty in San Bel11ardino by
strategic intill of new development and revitaliz.atlOn ofexistmg development".
Policv 2.1.3: "Encouragc futurc dcvelopment to provide pubhc spaces that foster socIal
interaction
Policv 4.14.3: "Attract uses that complement and intensify thc Convention Center in
downtown San Bel11ardino, includll1g expanding convention facilities, hotels, restaurants,
theaters and similar uses."
)
The proposed amendmenl would nol he delrimentallo the puhlu in/ereYI, health, safel)',
convenience or H'e(fi.lre of the City.
The proposed amendmcnt would allow for business growth and an increasc in
recreational and employment opportunities lor local residcnts. Tberefore, the proposed
Devclopment Code Amendment is not detrimental to public health, safety, convenience
or general welfare.
The proposed amendment would allow for business growth and an increase in
recreational and employment opportunities for local residents. Thereforc, the proposed
Development Code Amendment is not detrimental to public health, salety, convenience
or general welfare.
Thc proposed amendment will allow for the stabilization of the growth and expansion of
theater projects on a City-wide basis and will ensure that existing theaters and
development agreements that potentially provide for fUlther theater developments will
not be adversely impacted by the Development Code Amendment. The proposed
amendment WIll also ensure the orderly development of other theater projects within the
City so that new projects are not constnrcted solely for the oppol1unity to cannibalize
economic market share within the CIty thus aVOiding the potential of the City not hanng
any quality theater venues available to the pubhc.
The proposed amendment will allow for the stabilization of the renewed operations uf the
downtown einema-plex project and provide for the more orderly development of theater
and commercial projects in outlying City neighborhoods with limitations on the sizes of
auditorium and seating capacity that will enhance the local markets in these outlying
neighborhoods. There currently exists a significant void in the allocatIOn of markct
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Page 4
shares for theater projects in the East Valley for the concentric market areas radiating
from the Downtown area. The proposed amendment will allow the City to assure that by
the development of the cinema-plex project in the Downtown area, the City is positioned
well into the future to benefit from the economic advantages in capturing thcsc currently
lost theater venue and restaurant opportunities.
The developments that will occur as the result of thiS proposed amendment, and most
notably the downtown cinema-plex project, will act as a potentially slgmlicant catalyst
for the dcvelopment of other propel1ies in the Downtown area. The projects to be built as
the direct result of this proposed amendment will accomplish the following sigmficant
factors for the benefits of the City: (i) provide for much needed rcstaurant uses in the
Downtown area both for the lunch time worker customer and for the evening theater
patron seeking restaurant and entc11alnment opportunities, (ii) mitigate blight that
cUITently exists in the Downtown area, (iii) create new employment opp0l1unities withm
the City and within the region duc to the regional attraction of both the cinema-plex
project and the restaurants that will locate as thc result of the cinema-plex re-opening,
and (iv) contribute to the expansion and extension of public services and utilities similar
to what the City is currently experiencing with the EDA sponsored pubhc improvements
on 4'" Street and the remodeled Theater Square.
CO'iCLCSION
The purpose and the provisions of the proposed Development Code Amendment satisfy all
findings of fact required for approval.
RECO:\lMENDA nON
Staff recommends that the Planning Commission recommend approval of Development Code
Amendment No. 11-11 to the Mayor and Common Council, based on the Findings of Fact
contained in the Staff Report and provided that the Mayor and Common Council adopt an
Ordmanee approving Development Code Amendment 1\0. 11- 11 and Development Agreement
No. 11-02 concurrently.
Respectfully Submitted,
A ran Liang
Senior Planner
Approved for Distribution:
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M. Margo Wheeler. AICP
Community Development Director
Attachment A
Attachment B
Proposed Amendment of Table 06.0]
Applicant representative letter dated December 8,20] I
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ATTACHMENT B
LEWIS
BRISBOIS
BISGAARD
& SMITH LLP
ATTORNEYS AT lAW
650 East Hospitali1y Lane. suite 600
San Bernardino. California 92408
Telephone: 909.387.1130
Fax: 909.387.1138
www.lbbslaw.com
TIMOTl-lY J. SABO
DIRECT DIAL 909.381.7187
E-MAil: SABO@lBBSLAW.COM
December 8, 2011
Margo Wheeler
Director of Community Development
City of San Bernardino
300 North "D" Street
San Bernardino, California 92418
Re: Adoptiop of Regal Development Agreement
Dear Ms. Wheeler:
After preparation of the staff report, lIlId based on discussions, we would like to make a
suggestion regarding consolidation of processing of the Regal Development Agreement and
adoption of the Redevelopment Code amendment associated with that Development Agreement Of
course, we make this suggestion subject to your expertise.
As we read the law, Development Agreements in the City of San Bernardino are processed
pursuant to State law (Govt. Code Section 65864, et seq.) and Section 19.4D of the Development
Code. Section 19.40 provides that when the City COW1cil has approved a Development Agreement
Application and a Development Agreement has been prepared, it will be adopted by a resolution
which contains certain findings.
In this instance, the Development Agreement will be accompanied by a Development Code
revision adopted by ordinance. Stale law allows a Development Agreement to be adopted by
ordinance as well as by resolution. (Govt. Code Set.-tion 65867.5). Therefore, we suggest that you
consider recommending the adoption of the Development Agreement by using the same ordinance
as that which amends the Development Code. In addition to the Developmt:nt Code amendment,
that ordinance would contain all the findings and other requirements set out in Section 19.40. An
ordinance is a higher level of legislative enactment than a resolution, and may be used instead of a
resolution. (See, for example, Midway Orchards v. County of Butte (1990) 220 Cal. App. 3d 765).
We will be happy to provide you with further information or discuss this with you.
AnAN1A. BEAUMONT. CHA1UsrON. CHiCAGO. DALlAS. FORT LAUDERDALE' HOUSTON" LAfAVETIE' lASVEGAS" LDSANGCLES. NEW OR't FANS
NEWyORl< . NEWARK. ()RA.I\J('.f CCtNrY . PI-K)f.NlX . ~CRAMEN10 . S,AJ\l BEnNARDlNO . w.J DIEGO' :AN ~RANCISCO .lAM?A . TUCSON
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I Packet Pg. 284
7.6.a
Margo Wheeler
December 8, 2011
Page 2
However, in the event you do not wish to adopt one ordinance, Section 19.40 confirms that
the Development Agreement may be adopted by a resolution which makes certain findings and
which is subject to referendum. (Midway Orchards. supra).
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Thank you again for your continuing assistance.
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Timothy J, Sabo of
LEWIS BRISBOIS BISGAARD & SMITH LLP
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LEWIS BRISBOIS BISGAARD & SMITH LLP . www.lbbslaw.com
4821-4260-9422.1
I Packet Pg. 285 I
7.B.b
John Coute, Chair
Larry Heasley, Vice-Chair
Jjm Mulvihill
Lance Durr
Andrew Machen
Amelia S. Lopez
James Eble
George Rawls
Dan C. Jimenez
CITY OF SAN BERNARDINO
COMMUNITY DEVELOPMENT DEPARTMENT
300 North "D" Street. San Bernardino, California 92418
Phone: (909) 384-5057/5071 . Fax: (909) 384-5080
PLANNING COMMISSION MINUTES
*DRAFT
REGULAR MEETING
DECEMBER 14, 2011
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DEVELOPMENT CODE AMENDMENT NO. 11-11
DEVELOPMENT AGREEMENT NO. 11-02
CONDITIONAL USE PERMIT MODIFICATION NO. 11-03 (CUP 97-01)
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12/14/2011
I Packet Pg. 286
Chair Coute called the meeting to order at 6:00 p.m.
Vice-Chair Heasley led the flag salute.
Present: Commissioners Coute, DUff, Eble, Heasley, Jimenez, Lopez, Machen, Mulvihill and
Rawls. Absent: None. Staff present: M. Margo Wheeler, Community Development Director;
Henry Empefio, Jr., Senior Deputy City Attorney; Aron Liang; Senior Planner and Lisa Sherrick,
Administrative Analyst II.
ADMINISTRATION OF OATH
Aron Liang administered the oath.
CONSENT AGENDA:
M. Margo Wheeler, Community Development Director, recommended the meeting minutes
of November 16,2011 for approval.
Commissioner Mulvihill made a motion to approve the minutes. Commissioner Jimenez
seconded the motion.
The motion carried by the following vote: Ayes: DUff, Eble, Heasley, Jimenez, Lopez and
Machen. Nays: None. Abstain: Coute. Absent: None.
PUBLIC COMMENTS - ITEMS NOT ON AGENDA
No comments.
PUBLIC HEARINGS
Chair Coute explained that the three public hearing items would be presented together
because they all involve the same project location.
2. DEVELOPMENT CODE AMENDMENT NO. 11-11 - A proposal to amend Section
19.06.020 of the Development Code to delete the prior amendment approved by
Ordinance MC 1356 to limit the number of new movie theater screens permitted outside
the Main Street Overlay District. This prior amendment language would be replaced with
a limitation on new theater development on a city-wide basis, affecting new theaters not
otherwise exempted by a prior development agreement to 3,000 sq. ft. or less, with 200 or
fewer seats, and with no limit on the number of screens in any theater complex.
Environmental Recommendation:
Applicant:
Affected Area:
Exempt from CEQA - Sec. 15061(b)(3)
City of San Bernardino
City-wide
3. DEVELOPMENT AGREEMENT NO. 11-02 - A proposed agreement between the
City of San Bernardino and Regal Cinemas, Inc. for development of a 14-screen movie
theater in an existing structure located at 450 North "E" Street, in the City of San
Bernardino.
Page 2 of7
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I Packet Pg. 287
Environmental Recommendation:
Owner/Applicant:
APN:
Ward:
Utilize Certified ErR SCH #2009111089
San Bernardino Economic Development Corp.
0134-121-26
I
4. CONDITIONAL USE PERMIT MODIFICATION NO. 11-03 (CUP 97-01) - A
proposal to modifY CUP 97-01, approved by the Planning Commission on May 20, 1997
to permit development of a 20-screen multi-plex theater and 20,000 sq. ft. of associated
retail and restaurant uses at the northwest comer of 4th and "E" Streets, in the CR-2,
Commercial Regional land use district. The proposed modification would provide for 6
auditoriums in the existing 20-auditorium structure to be re-purposed to provide 7,200 sq.
ft. of restaurant and retail space and 3,600 sq. ft. of additional live entertainment area and
support space for the California Theater.
Environmental Recommendation:
Owner/Applicant:
APN:
Ward:
Utilize Certified ErR SCH #2009111089
San Bernardino Economic Development Corp.
0134-121-26
I
Aron Liang, Senior Planner, gave a brief presentation on the descriptions of all projects
including recommended motions.
Emil Marzullo, San Bernardino Economic Development Corp. Director, gave a presentation
on the history and background of the downtown theater.
Commissioner Jimenez said he would like more time to review the documents provided and
asked for a continuance on all three items.
Commissioner Mnlvihill asked what the monthly cost was to maintain the empty theater.
Emil Marzullo said the monthly costs are approximately $60,000-70,000.
Patrick Morris, Mayor of San Bernardino, said the City would like the theater to open in the
summer and time was of the essence in moving the projects forward to meet that timeframe.
Judy Brewer, 5322 Newberry, spoke in favor of the projects on behalf of the San Bernardino
Symphony because the theater and restaurants will allow audience members and musicians a
place to gather before and after the concerts.
Philip Ugalde, 3180 Mayfield Avenue, spoke in favor of the projects because he would like to
visit businesses in San Bernardino rather than neighboring towns.
Matt Korner, 3091 N. Genevieve Street, spoke in favor of the projects and said the cost of
maintaining the empty building was too costly and the only way the downtown district could
rebuild was with the success of the theater.
Page 3 of?
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Myra Elder, 3091 North Mountain View Avenue, spoke in favor of the projects because of the
jobs that would be brought to San Bernardino.
Mischa Tacchia, 2596 Lincoln Drive, spoke in favor of the projects and said his visits to the
California Theater lack a place to dine before the shows and said the jobs that will become
available to young residents of San Bernardino would be positive.
Debbie Ariola, 3120 North Genevieve Street, spoke in favor of the projects and said she would
like to visit a theater within San Bernardino.
Lamarr Sonny, 178 Glenfair Lane, spoke in favor of the projects and said he used to visit the
CinemaStar and would like to visit the Regal Cinemas and urged the recommendations for
approval to the Council to assist in moving the projects along.
Jasmine Suarez, 157 West Olive Street, spoke in favor of the projects on behalf of San
Bernardino High School students and said she wanted to help San Bernardino thrive
economically by becoming a patron of the Regal Cinemas.
Leonardo Jasso, 235 East 18th Street, spoke in favor of the projects and said he would like the
opportunity to visit the downtown area with friends in San Bernardino rather than having to drive
to another town.
Gustavo Alvarez, 2048 North Pershing Avenue, spoke in favor of the projects and said the
opening of the theater could bring potential for new development along most of the downtown
streets.
Jose Nievas, 2652 Del Rosa Avenue, spoke in favor of the projects and said the students of San
Bernardino high schools will have a local place to patron in the summer months when they are
out of school.
Estephannie Alvarez, 2048 North Pershing Avenue, spoke in favor of the projects on behalf of
Marshall Elementary School and said families would be given an opportunity to watch a film in
downtown San Bernardino together.
Cynthia Perez, 238 East 16th Street, spoke in favor of the projects because the opening of the
theater will invite people from different ethnicities and cultures to come together in San
Bernardino.
James Smith, 1156 East 24th Street, spoke in favor of the projects and said the California
Theater is recognized throughout Southern California and would like for the Regal Cinemas to
assist the revitalization of San Bernardino.
Ariel Hollie, 5360 Dogwood Street, spoke in favor of the projects because she feels safer in San
Bernardino where she resides and would like to be able to visit friends.
Danielle Hobbs, 485 Edgerton Drive, spoke in favor of the projects and said she recently
Page 4 of7
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I Packet Pg. 289
performed at the Fox Theater and would like to perform at the California Theater and be able to
provide audience members a chance to watch a show and have a place to dine.
Casey Dailey, 144 East 3'd Street, spoke in favor of the projects on behalf of the
Meadbowbrook Park Loft Homeowners Association and said he resides in the downtown area
and would like to have more entertainment and dining options in the downtown district.
Erika Ruiz, 1423 West 2nd Street, spoke in favor of the projects on behalf of Inland
Congregation United for Change and said her family would visit the CinemaStar and Carousel
Mall with her family as a child and would like to assist the City in revitalizing the downtown
district.
Vice-Chair Heasley thanked the residents of the City who came to speak.
Chair Coute encouraged the students in the audience to maintain their participation in local
government and thanked them for attending the meeting.
A member of the Commission asked what kind of security measures would be implemented at
the theater.
Emil Marzullo said security would be present inside and outside the building with the Police
Department continually visiting the theater. Mr. Marzullo said that surveillance cameras would
be installed in and outside of the theater in the parking areas and would be recording at all times.
Chair Coute said additional cameras should be placed in the parking lot and better lighting
should be installed in the parking lot and loitering should be discouraged.
Emil Marzullo said additional lighting is being researched and is planned to be installed as well
as new striping in the parking lot.
Commissioner Jimenez commended the San Bernardino Economic Development Corp. for a
job well done on trying to bring another theater to the downtown area but said he would still like
more time to review the documents before making a final recommendation.
Henry Empeiio, Senior Deputy City Attorney, pointed out issues on all three items that in his
opinion would require further information and recommended a continuance.
Emil Marzullo said he disagreed with most of the comments made by Mr. Empeiio and
explained why a decision on the project was crucial to open by the summer.
Tim Sabo, San Bernardino Economic Development Corp. Legal Representative, explained
why the recommendations in the Staff Reports for all three items were supported by the San
Bernardino Economic Development Corp. and gave a brief presentation on the documents
provided to the Commission.
Commissioner Lopez said she would like more explanation on this project allowing more time
Page 5 of7
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for all information to be presented and researched in a timely manner.
Tim Sabo said the City and Regal wanted the theater to open in time for the summer rush of
theater-goers and said that in order for the theater to be able to have all work completed by the
summer, the proposed items must be approved as soon as possible.
Henry Empeiio disputed that he had been contacted by Mr. Sabo' s office regarding the proposed
items and requested a continuance to give time to the City Attorney's office to submit any
corrections and feedback to the staff reports.
Commissioner Jimenez asked if the City could be held liable at a later time regarding these
projects.
Henry Empeiio said that a challenge could be brought forward at a later time saying due process
was not given regarding these items.
Vice-Chair Heasley asked what the probability was that a case could be brought forward
regarding these items.
Henry Empeiio said the City could be sued using CEQA as a tool to stop the project.
M. Margo Wheeler, Community Development Director, gave a brief description on her
educational background and experience to explain her qualifications in making CEQA
recommendations.
Elizabeth Martin, San Bernardino Economic Development Corp. Legal Representative,
said if anyone was to challenge the CEQA findings they would have been present to make their
concerns on the record.
Henry Empeiio said the CEQA objections could be made at the Mayor and Common Council
meeting.
Chair Coute called a recess at 8:39 p.m. Chair Coute called the meeting back to order at 8:43
p.m.
Commissioner Mulvihill made a motion to recommend that the Mayor and Common Council
approve Development Code Amendment No. II-II based on the Findings of Fact contained in
the Staff Report and that the Mayor and Common Council adopt an Ordinance approving
Development Code Amendment No. II-II and Development Agreement No. 11-02
concurrently. Commissioner Heasley seconded the motion.
The motion carried by the following vote: Ayes: Coute, Durr, Eble, Heasley, Lopez, Machen,
Mulvihill and Rawls. Nays: Jimenez: None. Absent: None.
Commissioner Mulvihill made a motion to recommend that the Mayor and Common Council
approve Development Agreement No. 11-02 and that the Mayor and Common Council adopt an
Page 6 of?
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Ordinance approving Development Code Amendment No. II-II and Development Agreement
No. 11-02 concurrently. Commissioner Eble seconded the motion.
The motion carried by the following vote: Ayes: Coute, Durr, Eble, Heasley, Machen, Mulvihill
and Rawls. Nays: Jimenez and Lopez. None. Absent: None.
Commissioner Mulvihill made a motion to approve Conditional Use Permit Modification No.
11-03 (CUP 97-01) based on the Findings of Fact contained in the staff report and subject to the
Conditions of Approval (Attachment C), as amended. Commissioner Machen seconded the
motion.
The motion carried by the following vote: Ayes: Coute, Durr, Eble, Heasley, Machen, Mulvihill
and Rawls. Nays: Jimenez and Lopez. None. Absent: None.
Ms. Wheeler announced that the project would be presented to the Mayor and Common Council
on January 9, 2012.
PLANNING COMMISSION REPORTS/ANNOUNCEMENTS
There were none.
DIRECTOR'S REPORT
The Director indicated that the matters would be discussed at a later meeting.
ADJOURNMENT
Commissioner Mulvihill made a motion, seconded by Commissioner Durr and unanimously
carried, to adjourn the Planning Commission meeting at 8:53 p.m. The next regular meeting was
scheduled for Wednesday, January 18, 2012 at 6:00 p.m. in the Council Chambers, First Floor,
300 North "D" Street, San Bernardino, California.
Minutes Adopted by Planning Commissioners:
Date Approved:
Minutes Prepared by:
Melissa Thurman
Executive Assistant
Page 7 of7
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12114/2011
I Packet Pg. 292
7.B.c
ORDINANCE NO.
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AN ORDINANCE OF THE CITY OF SAN BERNARDINO DELETING
AMENDMENT MC 1356 AND AMENDING CHAPTER 19.06 TABLE 06.01, LIST OF PERMITTED
USES, IN CHAPTER 19.06 OF THE SAN BERNARDINO MUNICIPAL CODE (DEVELOPMENT ~
CODE), TO PERMIT NEW MOVIE THEATERS NOT OTHERWISE EXEMPTED BY A "i:'
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DEVELOPMENT AGREEMENT, WITH AN AUDITORIUM OF 3000 SQUARE FEET OR LESS n;
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AND 200 OR FEWER SEATS, WITH NO LIMIT OF THE NUMBER OF SCREENS IN ANY ..c:
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THEATER COMPLEX AND APPROVING TO DEVELOPMENT AGREEMENT NO. 11-02 "
BETWEEN THE CITY OF SAN BERNARDINO AND REGAL CINEMAS INC. FOR A 14- .~
SCREEN MOVIE THEATER IN DOWNTOWN SAN BERNARDINO ~
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WHEREAS, Section 40(z) of the City Charter vests the Mayor and Common Council with the "
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The Mayor and Common Council of the City of San Bernardino do ordain as follows:
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power to make and enforce all laws and regulations with respect to municipal affairs, subject only to the
restrictions and limitations provided in the Charter or by State law; and
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WHEREAS, Regal Cinemas, Inc. has requested approval of Development Agreement No. 11-02 E
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for development of a 14-screen movie theater in an existing movie theater located at 450 North "E" ~
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Street in the CR-2, Commercial Regional-Downtown land use district, which use of the property also ..
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necessitates the amendment of the Development Code as set out here; and
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WHEREAS, on October 29, 1996, the Redevelopment Agency of the City of San Bernardino :!!
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(the "Agency") and MDA-San Bernardino Associates, LLC, entered into a Disposition and
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Development Agreement (l996-DDA) for the development, construction, improvement, and financing
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ofa multi-screen cinema complex and related common area improvements. In 2001, with the downturn
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in the cinema industry, the Agency purchased the theater building (located at 450 North "E" Street) from
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for $10,000; and
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WHEREAS, on November 7, 2008, the Agency filed an unlawful detainer action with the .B
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Superior Court of California which held CinemaStar to be in default of the terms of their lease, declared
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WHEREAS, on September 28, 2008, CinemaStar ceased operations; and
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the lease to be terminated and granted possession of the multi-screen cinema complex (the "20-Plex") to
the Agency as of December 1,2008; and
I Packet Pg. 293 I
7.B.c
2
WHEREAS, on December 15, 2008, the Mayor and Common Council of the City of San
Bernardino (the "Council") consented to the disposition of the 20-Plex to Maya North America
("Maya") and the Community Development Commission of the City of San Bernardino (the
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"Commission") approved the sale of the 20-Plex and authorized the Interim Executive Director of the
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between the Agency and Maya; and
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WHEREAS, on February 2, 2009, the Council authorized the submittal of a U.S. Department of
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Application"), on March 6, 2009, the Community Development Citizens Advisory Committee
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recommended to forward the Pre-Application for the HUD Loan Application for the re-finance and
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rehabilitation Project to the Council for approval, and on April 6, 2009, in a Public Hearing, the Council
12
approved and authorized the submittal of the HUD Loan Application for Maya to HUD; and
13
WHEREAS, the HUD Loan Application was submitted to HUD and the Agency received HUD's ~
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approval on September 25, 2009; and
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extending the close of escrow deadline from July 1, 2009 to October 30, 2009, due to unforeseen delays m
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in the Agency obtaining legal possession of the building and its contents, HUD's review and approval of
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the HUD Loan Application, and Maya securing its financing as stated and outlined in the 2008 DDA;
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and
20
WHEREAS, on June 1,2009, the Mayor and Common Council adopted Resolution No. 2009143
21
to formally accept and endorse the Downtown Core Vision/Action Plan as a working document to guide
22
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proceed with implementation of the Downtown Core Vision/Action Plan; and
25
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an entertainment district anchored by the California Theater and the downtown cinema; and
27
WHEREAS, Maya's continued difficulty with securing financing for the re-opening of the 20-
Plex lead to the termination of the 2008 DDA on April 15, 2010; and
28
2
I Packet Pg. 294 I
7.B.c
2
WHEREAS, between the months of May and September m 2010, the Agency received 8
proposals for development of the 20-Plex; and
WHEREAS, the Agency vetted each proposal and upon approval by the Commission in closed
3
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session, the Agency was directed to negotiate with Regal Entertainment Group ("Regal"); and
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distributing value to stockholders, realizing selective growth opportunities through new theater
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construction, expanding and upgrading its existing asset base with new technologies, and capitalizing on
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prudent industry consolidation opportunities; and
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and negotiations commenced on the leasing of the fourteen (14) of the 20 theaters in the Cinema; and
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Economic Development Corporation (the "SBEDC" as successor in property interest), as Lessor, for the m
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development and reuse of fourteen (14) of the existing twenty (20) theaters within the Cinema building;
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theaters to private developers and/or commercial/retail operators and to retain two (2) theaters as
21
possible ancillary space for the California Theatre and a small format performance theater;
22
WHEREAS, on July 5, 2011, the Mayor and Common Council amended the Development Code :
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pursuant to MC 1356 to permit movie theaters of four or more screens subject to a conditional use ~
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permit in the Main Street Overlay District in Downtown San Bernardino; and 'E
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of such an entertainment district and on November 11, 2011, the application for this amendment was <I:
submitted; and
23
24
25
26
27
28
3
I Packet Pg. 295 I
7.B.c
2
WHEREAS, on November 11, 2011, the application for this amendment was submitted, which
amendment was approved by the Planning Commission on December 14, 2011; and
WHEREAS, this amendment of Table 06.01 of the Development Code instead will allow new
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theaters, no otherwise exempted by a prior development agreement, with a theater auditorium size of
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WHEREAS, the Planning Commission of the City of San Bernardino held a noticed public
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Mayor and Common Council; and
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to consider the proposed ordinance approving and adopting both Development Code Amendment No. -
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and the Planning Division Staff Report dated December 14, 2011, as supplemented by the CDC Staff
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Report; and
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was certified on December 20, 2010, for Merger A; thereafter, staff determined pursuant to Section
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15168 (c) (2) of the California Environmental Quality Act (CEQA) Guidelines (the "Guidelines") that
20
pursuant to Guidelines Section 15162, no new effects will occur and no new mitigation measures will be
21
required as a result of the approval of this Development Agreement No. 11-02; and
22
WHEREAS, staff further has determined that the amendment of the Development Code is exempt :
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from CEQA.
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NOW, THEREFORE, THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN
26
BERNARDINO DO ORDAIN AS FOLLOWS:
27
28
SECTION I. Amendment of Develooment Code:
4
I Packet Pg. 2961
7.B.c
Chapter 19.06, Commercial Districts, Table 06.01, List of Permitted Uses, is amended as shown in
2 Attachment 1 attached hereto and incorporated herein by reference.
3
A. Findings of Fact:
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1. The Ordinance amending the Development Code is consistent with the General 1;;
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Plan of the City of San Bernardino. The Ordinance will amend the Development Code to continue to f0-
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provide for an entertainment district in the downtown Main Street Overlay District, while allowing 0
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City, to enhance activity levels downtown, consistent with the following General Plan goals and
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policies
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Goal 4.14: "Enhance, maintain, and develop recreational, cultural, entertainment,
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and educational facilities within the City."
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Policy 4.14.2: "Seek and attract uses that foster a high level of evening activity (e.g. theaters and _
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restaurants). "
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Policy 4.14.3: "Attract uses that complement and intensify the Convention Center in
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downtown San Bernardino, including expanding convention facilities, hotels, restaurants,
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theaters and similar uses."
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Goal 2.4: "Enhance the quality of life and economic vitality in San Bernardino by strategic infill ~
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2. This Ordinance amending the Development Code will not be detrimental to the
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promote revitalization and economic development around existing theaters in the downtown area
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, within the Main Street Overlay District defined in Chapter 19.19 of the Development Code, while
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specifically allowing exempted or new, smaller theaters throughout the remainder of the City. .
27
Therefore, the Ordinance amending the Development Code serves the public interest and
convenience and would not be detrimental to public health, safety or general welfare.
28
SECTION 2. Approval of Development Agreement
5
I Packet Pg. 2llZt I
7.B.c
2
Development Agreement No. 11-02 is attached hereto and incorporated herein as Exhibit B, and
is hereby approved. The City Manager is hereby authorized and directed to execute the Development
Agreement between the City of San Bernardino and Regal Cinemas, Inc. on behalf of the City of San
Bernardino.
3
4
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A. Findings of Fact: ~
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B. Development Agreement Amendment No. 11-02 is internally consistent with the General ';;;
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Plan in that it meets General Plan Policy 4.5.2 in that it maintains and enhances commercial regional ~
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Chapter 19.40 in that, , it addresses the mandatory contents for development agreements, including and <(
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not limited to the duration of the agreement, the permitted uses of the property, and the density or 8
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intensity of use(s) as described in Section 19.40.040 of the Development Code. ~
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and welfare of the City in that the proposed agreement provides for the re-tenanting of a vacant theater c
complex on a commercial property in need of revitalization and rehabilitation and carries out the ~
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entertainment district concept approved by the Mayor and City Council in Development Code ..
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health, safety, convenience, or welfare of the City. l:
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SECTION 3. California Environmental Ouality Act: The Mayor and Common Council finds that ~
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this Ordinance is exempt from the California Environmental Quality Act (CEQA) pursuant to Section "E
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15061(b)(3) of the CEQA Guidelines, the general rule that an activity is exempt if it will not result in a ~
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direct or reasonably foreseeable indirect physical change in the environment. The Mayor and Common :i
Council further find that an Environmental Impact Report (ErR) (SCH #2009111089) is a program EIR
prepared to analyze the environmental impacts of Merger A and the related downtown development.
The Mayor and Common Council certified the ErR, adopted Findings of Fact, a Statement of Overriding
19
20
21
22
23
24
25
26
27
28
6
I Packe~ Pg; 298 .. I
7.8.c
2
Considerations and a Mitigation Monitoring/Reporting Program (MM/RP) on December 20, 2010.
Development Agreement No. 11-02 addresses certain economic issues and provides for the continuation
of Development Code Amendment MC 1356 or Amendment No. 11-11 and does not require further
environmental analysis or documentation pursuant to Sections 15162 through 15164 of the State CEQA
Guidelines. The Planning Division is hereby directed to file a Notice of Determination and/or Notice of j
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Exemption with the County Clerk of the Board of Supervisors of the County of San Bernardino, ~
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certifying the City's compliance with the California Environmental Quality Act. 'S:
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accompanying Staff Report and its attachments to this Ordinance, and is adopted pursuant to the i:
authority granted to the City of San Bernardino in Article 11, Section 7 of the California Constitution, ~
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and Section 40(z) of the Charter of the City of San Bernardino. -g
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SECTION 5. Severabilitv: If any section, subsection, subdivision, sentence, or clause or <(
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or ineffective by any court of competent jurisdiction, such decision shall not affect the validity or ~
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effectiveness of the remaining portions of this Ordinance or any part thereof. The Mayor and g-
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Common Council hereby declares that it would have adopted each section irrespective of the fact ~
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that anyone or more subsections, subdivisions, sentences, clauses, or phrases be declared .;;
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I Packet Pg. 299 I
AN ORDINANCE OF THE CITY OF SAN BERNARDINO DELETING
AMENDMENT MC 1356 AND AMENDING CHAPTER 19.06 TABLE 06.01, LIST OF
PERMITTED USES, IN CHAPTER 19.06 OF THE SAN BERNARDINO MUNICIPAL CODE
(DEVELOPMENT CODE), TO PERMIT NEW MOVIE THEATERS NOT OTHERWISE
EXEMPTED BY A DEVELOPMENT AGREEMENT, WITH AN AUDITORIUM OF 3000
SQUARE FEET OR LESS AND 200 OR FEWER SEATS, WITH NO LIMIT OF THE NUMBER :::::
OF SCREENS IN ANY THEATER COMPLEX AND APPROVING TO DEVELOPMENT ~
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AGREEMENT NO. 11-02 BETWEEN THE CITY OF SAN BERNARDINO AND REGAL :ll
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CINEMAS INC. FOR A 14-SCREEN MOVIE THEATER IN DOWNTOWN SAN I-
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of
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11 Council Members:
12 MARQUEZ
13
JENKINS
14
BRINKER
15
16 SHORETT
17 KELLEY
18 JOHNSON
19
MC CAMMACK
20
21
22
,2012, by the following vote to wit:
AYES
NAYS
ABSTAIN
ABSENT
Rachel Clark, City Clerk
day of
23
The foregoing Ordinance is hereby approved this
24
25
26 Approved as to form:
27
JAMES F. PENMAN
City Attorney
28
PATRICK J. MORRIS, Mayor
City of San Bernardino
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ORDINANCE NO.
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AN ORDINANCE OF THE CITY OF SAN BERNARDINO DELETING
AMENDMENT MC 1356 AND AMENDING CHAPTER 19.06 TABLE 06.01, LIST OF
PERMITTED USES, IN CHAPTER 19.06 OF THE SAN BERNARDINO MUNICIPAL CODE
(DEVELOPMENT CODE), TO PERMIT NEW MOVIE THEATERS NOT OTHERWISE Q;
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EXEMPTED BY A DEVELOPMENT AGREEMENT, WITH AN AUDITORIUM OF 3,000 ill
SQUARE FEET OR LESS AND 200 OR FEWER SEATS, WITH NO LIMIT OF THE NUMBER j!:
OF SCREENS IN ANY THEATER COMPLEX .~
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The Mayor and Common Council of the City of San Bernardino do ordain as follows:
10
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power to make and enforce all laws and regulations with respect to municipal affairs, subject only to the
12
restrictions and limitations provided in the Charter or by State law; and
13
WHEREAS, on June I, 2009, the Mayor and Common Council adopted Resolution No. 2009143
14
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to formally accept and endorse the Downtown Core Vision!Action Plan as a working document to guide ~
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future development and revitalization of Downtown San Bernardino; and Qj
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proceed with implementation of the Downtown Core Vision! Action Plan; and
18
WHEREAS, one of the key initiatives of the Downtown Core Vision! Action Plan is creation of 1l
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an entertainment district anchored by the California Theater and the downtown cinema; and l:
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WHEREAS, on July 5, 2011, the Mayor and Common Council amended the Development Code '?
....
19
20
21
pursuant to MC 1356 to permit movie theaters of four or more screens subject to a conditional use ~
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permit in the Main Street Overlay District in Downtown San Bernardino; and
23
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of such an entertainment district; and
25
WHEREAS, on November 11, 20 11, the application for this amendment was submitted, which
26
amendment was approved by the Planning Commission on December 14, 2011; and
WHEREAS, this amendment of Table 06.01 of the Development Code instead will allow new
theaters, no otherwise exempted by a prior development agreement, with a theater auditorium size of
27
28
I Pa~~et Pg. 301
7.B.d
3000 square feet or less and 200 or fewer seats, with no limit on the number of screens in any theater
2 complex.
3
4
NOW, THEREFORE, THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN
5
BERNARDINO DO ORDAIN AS FOLLOWS:
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SECTION I. Chapter 19.06, Commercial Districts, Table 06.01, List of Permitted Uses, is
7
amended as shown in Attachment I attached hereto and incorporated herein by reference.
8
SECTION 2. Findings of Fact:
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A. The Ordinance amending the Development Code is consistent with the General Plan of ;:
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the City of San Bernardino. The Ordinance will amend the Development Code to continue to provide for .g
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an entertainment district in the downtown Main Street Overlay District, while allowing other, smaller ~
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theaters (or those exempted by an existing development agreement) throughout the City, to enhance ~
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activity levels downtown, consistent with the following General Plan goals and policies ~
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Goal 4.14: "Enhance, maintain, and develop recreational, cultural, entertainment, and
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educational facilities within the City."
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Policy 4.14.2: "Seek and attract uses that foster a high level of evening activity (e.g. theaters and
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Goal 2.4: "Enhance the quality of life and economic vitality in San Bernardino by strategic infill ill
uses."
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The Ordinance amending the Development Code will not be detrimental to the public
interest, health, safety, convenience or welfare of the City, because it will continue to promote
2
I- ~l!cket Pg. 302 I
7.B.d
2
revitalization and economic development around existing theaters in the downtown area , within the
Main Street Overlay District defined in Chapter 19.19 of the Development Code, while specifically
allowing exempted or new, smaller theaters throughout the remainder of the City. . Therefore, the
Ordinance amending the Development Code serves the public interest and convenience and would not
be detrimental to public health, safety or general welfare.
3
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direct or reasonably foreseeable indirect physical change in the environment.
10
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accompanying Staff Report and its attachments to this Ordinance, and is adopted pursuant to the
12
authority granted to the City of San Bernardino in Article 11, Section 7 of the California Constitution,
and Section 40(z) of the Charter of the City of San Bernardino.
13
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SECTION 5. Severability: If any section, subsection, subdivision, sentence, or clause or phrase g-
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in this Ordinance or any part thereof is for any reason held to be unconstitutional, invalid or ineffective ~
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by any court of competent jurisdiction, such decision shall not affect the validity or effectiveness of the ~
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remaining portions of this Ordinance or any part thereof. The Mayor and Common Council hereby =-
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declares that it would have adopted each section irrespective of the fact that anyone or more g
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subdivisions, sentences, clauses, or phrases be declared unconstitutional, invalid, or :5
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subsections,
20
ineffective.
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I 7.B.d I
3
AN ORDINANCE OF THE CITY OF SAN BERNARDINO DELETING
AMENDMENT MC 1356 AND AMENDING CHAPTER 19.06 TABLE 06.01, LIST OF
PERMITTED USES, IN CHAPTER 19.06 OF THE SAN BERNARDINO MUNICIPAL CODE
(DEVELOPMENT CODE), TO PERMIT NEW MOVIE THEATERS NOT OTHERWISE
EXEMPTED BY A DEVELOPMENT AGREEMENT, WITH AN AUDITORIUM OF 3,000
SQUARE FEET OR LESS AND 200 OR FEWER SEATS, WITH NO LIMIT OF THE NUMBER
OF SCREENS IN ANY THEATER COMPLEX
2
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I HEREBY CERTIFY that the foregoing ordinance was duly adopted by the Mayor and 1U
Common Council of the City of San Bernardino at a meeting thereof, held on the _day ~
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7
8 of ,2012, by the following vote to wit:
9 Council Members: AYES NAYS
10
MARQUEZ
11
JENKINS
12
13 BRINKER
14 SHORETT
15 KELLEY
16
JOHNSON
17
18 MC CAMMACK
19
ABSTAIN
ABSENT
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Rachel Clark, City Clerk
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The foregoing Ordinance is hereby approved this
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PATRICK J. MORRIS, Mayor
City of San Bernardino
25
Approved as to form:
26
27
JAMES F. PENMAN
City Attorney
28
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(For Discussion Purposes Only)
CORRECTED MEMORANDUM TYPED
Date:
Monday, November 21,2011
From:
Wa rner Hodgdon
(Submitted to City Clerk for Public Record)
(Submitted to CDC and SBEDC-501-C3 for Public Record)
Former RDA Chairman, Financial Consultant City, RDA, County
Civic Center Authority, etc. (City Hall . Conference Center .
County Government Center) 1967 - 1976
All AnI@rlcan ClN DMi.nati,., 1976
2011 November City Designation: Poverty City - Subsistence
50% of 209,000 population
(Number 1 City in State, 2"" in Nation behind Detroit, Michigan)
Re:
City and CDC (SBEDC-S01-C3) Agendas of:
Monday, November 21, 2011; 3:00 pm to completion (closed sessions 1:00 pm) and
followed by SBEOC-S01-C3 Agenda
Dear Mayor/Council, CDC and SBEDC-S01-C3 Members, Commission and Directors:
As of Thursday, November 17, 2011, S:30 pm, City Clerk's Office and Friday, November 18, 2011,
S:30 pm EDA office, I could not acquire the above-referenced Monday, November 21, 2011 Agendas. (I
believe required under Brown Act to be available 72 hours prior to the Monday, November 21, 2011
meeting set forth above to begin Closed Session 1:00 pm and Open Session 3:00 pm, with back-up.) (I
support Regal subject to EDA/SBEDC-S01-C3 Full cost of Regal/Theater Square and Regal full lease terms
to be also approved by Mayor/Council/COC).
Accordingly set forth herein are the following documentations, but not limited to, that I believe
applicable to the Monday, November 21, 2011 related Agendas.
I have previously brought forth, following the March 3, 2011 Council/EDA Joint Meetings to vote
the restructured San Bernardino Economic Development Corporation - SOl-C3 (originally originated in
1973 to form the Economic Development Council, for which I was elected Chairman thereof, while also
being Chair of the City RDA). The object was an alternate to the AB 26 and 27 terminating RDAs
throughout the State. The Clty/CDC approved an ordinance to reinstate the RDA.
The total SBEDC-S01-C3 members to be six: (Mayor, CounCilmen Brinker and Johnson,
representing a quorum, and three other Directors to be named by the School District, Chamber of
Commerce, and Supervisors (Supervisor representing the Central City Area.) As of this date, the SBEDC-
SOl-C3 three City directors and Chief Executive OffICer have not completed identifying the three outside
directors and have operated unilaterally since March 3, 2011 without the full six Board of Directors
being formed.
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In addition, by March 2 or 3, 2011 EDA Staff Report by Interim Director Emil Marzullo applicable
to the new SBEDC-S01-C3 Bylaws or as otherwise represented, all SBEDC-S01-C3 meetin!s are to be
televised for .Public TransDarencv."
The SBEDC-S01-C3 has not televised on City Channel 3 for the "public transparency" anv of its
manv meetines since March 3. 2011. Emil Marzullo wrote the March 2-3, 2011 Staff Report for meetings
to be all teievised; but as EDA Interim Director, he was then designated by the SBEDC-S01-C3 entity as
the Chief Executive Director thereof. (Invalid actions by no TV public transparency.)
At the SBEDC-S01-C3 Thursday, November 1, 2011 meeting, I read into the Public Record and
submitted Interim Director Marzullo's March 2-3, 2011 EDA Staff Report representing to the
Councll/CDC that there would be full televised meetings. Director Brinker made the motion to provide
"televised meetings" as previously represented and agreed to by the Mayor, Council and EDA on March
3,2011 (described above).
At the Thursday, October 20, 2011 SBEDC-S01.C3 meeting, the President (Pat Morris) set forth
for me to meet with Chief Executive Director Marzullo and corporate attorney Tim Saba to "oversight"
the corporation's need to "borrow" $16 million on the Central City Mall. The EDA's bank would not
accept a $16 million trust deed on the Mall (a non-operating entity) because the EDA's line of credit for
the initial $16 million loan was based on EDA's $20 million cash assets, or 12596 collateral.
I Inquired at a meeting about Wednesday, November 3, 2011 with Tim Saba and Bryan Oulman,
EDA Project Director for the Mall (Emil Marzullo was not available), why did Panattoni Development, Inc.
(Exclusive Right to Negotiate) provide the $16 million. It was clarified to me that the Panattoni ERN of
March 7, 2011, entered into by Marzullo had expired on August 7, 2011. Thereunder, Panattoni was to
provide every 30 days written progress reports. When I asked for copies thereof at the Thursday,
November 17, 2011 meeting, Marzullo reported there were none of the six (6) reports written or
provided. cM.e.r-~~
Respectfully, - -, -c;:; .
Warner Hodgdon, Lifelong Citizen
Attachment: List of Documents Provided
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YV~ .5:.1 110./6./11
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Partial List of Documents
Monday, November 21,2011
Warner Hodgdon, Memorandum
1. Marth 3, 2011 Agenda for Special Meeting Mayor/Council and CDC
All SBEDC-501-C3 Meetings to be televised (Interim Executive Director Staff Report Items "A" 3,
4 and 5)
2. "Theater Square" Rendering of Improvements and January 10, 2011"PowerPoint" excerpts
3. April 8, 2010 Vanir Construction Management, Inc. $88,000 contract with EDA to estimate
California Theater seismic cost ($12,000,000 :1:)
4. Exhibit "A" Lists of Public Works Projects relates to $12,000,000:1: to retrofit California Theater
S. November 3, 2011 Warner Hodgdon Memorandum to (EDA/SBEDC-501-C3) legal counsel, Tim
Sabo $16,000,000 loan on mall and other EDA real estate assets, regarding said loan, as
required; i.e.; meet with Saba and Marzullo (WH met with Saba and Project Director Bryan
Oulman).
6. Regal Draft Lease NO.5 for Monday, November 21, 2011 meeting, with incomplete exhibits
7. March 7, 2011 Interim Executive Director, Marzullo's letter and signed Exclusive Right to
Negotiate to Panattoni. Thirty Day Written Progress Reports Required (Expired August 7, 2011)
8. Sun, November 24,2010 article "County Passes on S.B. Mall" (No County Government Center)
9. Warner Hodgdon 12/6/2010 "Memorandum to MC-CDC" for Public Record Agenda Items 23 and
25
10. Warner Hodgdon 1/10/2011 "Memorandum to MC-CDC" for Public Record ReRal Theater. etc.
11. Warner Hodgdon 1/20/2011 "Memorandum to Mayor Morris - CDC'''
12. Riverside Press November 17, 2010 article .S.B. Trapped by Poverty"
13. Sun November 20 and 21 Article/Editorials in support of EDA $4.7 million to Regal
Footnote:
Above referenced spiral-bound Memorandums 9, 10 and 11 provided to City Clerk for
Public Record
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~ City of San Be17Ul1'dino recognizes its obligation to provide eqrm!,t!Pcess to those
intIividuals with disabiliJies. Please contact the City Clerk's Office (384-5002) tWo
wOrking days prior to the meeting for any requests for reaso1U1ble acconunodoJion to
include interpreters.
Any writings or documents provided to a majority of the City. Council/Commission
regarding any item on the agenda will be made available for public inspection at the
City Clerk's Counter at City Hall located at 300 N. "D" Street, ZW Floor, during
rwrmal business hours. In addition, such writings and documents will be posted on the
City's website at www.sbcitv.orj?
CALL TO ORDER:
PRESENT:
AQSENT:
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PUBLIC COMMENTS ON CLOSED SESSION ITEMS
A three-minute limitation shall apply to each member of the public who wishes to
adltress the Mayor and Common Council/Community Development Commission. No
member of the public shall be permitted to "share" hislher three minutes with any other
member of the public.
CLOSED SESSION
1. Pursuant to Government Code Section(s):
MOTION: That the Mayor and Common Council and Community
Development Commission recess to closed session for the
following:
A. Conference with legal counsel - existing litigation' - pursuant to
Government Code Section 54956.9(a).
B. Conference with legal counsel - anticipated litigation - significant
exposure to litigation - pursuant to subdivision (b) (1), (2), (3) (A-F) of
Government Code Section 54956.9.
C. Conference with legal counsel - anticipated litigation - initiation of
litigation - pursuant to subdivision (c) of Government Code Section
54956.9.
D. Closed Session - personnel - pursuant to Government Code Section
54957.
E. Closed session with Chief of Police on matters posing a threat to the
security of public buildings or threat to the public's right of access to
public services or public facilities - pursuant to Government Code
Section 54957.
F. Conference with labor negotiator - pursuant to Government Code
Section 54957.6.
G. Conference with real property negotiator - pursuant to Government Code
Section 54956.8.
END OF CLOSED SESSION
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2.
Economic Development A2ency
Joint Mayor and Common Council and Community Development Commission
Workshop on Agency Redevelopment Projects and Housing Funds (Staff
Report not available at time of printing.)
(Community Development Commission)
A. Resolution of the Community Development Commission of the City of
San Bernardino approving the appoin1ment of certain members to the
San Bernardino Economic Development Corporation. (Resolution not
available at time of printing.)
B. Resolution of the Community Development Commission of the City of
San Bernardino approving a Certain Project Funding Agreement by and
between the Redevelopment Agency of the City of San Bernardino
(" Agency") and the San Bernardino Economic Development
Corporation, Inc., relating to the $525,000,000 principal amount for the
Redevelopment Project Areas - Capital Improvement Projects.
(Resolution not available at time of printing.)
C. Resolution of the Community Development Commission of the City of
San Bernardino authorizing (1) that Certain Loan Agreement in
connection with the issuance of the Redevelopment Agency of the San
Bernardino Promissory Note Series 2011 (City Redevelopment Activities
and Public Works Projects), and (2) that Loan Agreement in connection
with the issuance of the San Bernardino Promissory Note Series 2011 and
the forms of legal documents related thereto. (Resolution not available
at time of printing.)
. D. Resolution of the Community Development Commission of the City of
San Bernardino approving a Certain Housing Capitalization Funding
Agreement (Sub-Recipient Agreement) by and between the
Redevelopment Agency of the City of San Bernardino ("Agency") and
Affordable Housing Solutions, Inc., a California non-profit corporation
(" AHS"), Inc., relating to the financing of certain housing programs and
activities. (Resolution not available at time of printing.)
(Item Continued on Next Page)
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2.
Continued.
(Mayor and Common Council)
E. Resolution of the Mayor and Common Council of the City of San
Bernardino approving and authorizing a Certain Reimbursement and
Project Implementation Agreement by and between the City of San
Bernardino and the San Bernardino Economic Development Corporation,
Inc., authorizing the form of certain legal documents related thereto and
authorizing and directing their preparation, execution and . delivery
(Resolution not available at time of printing.)
MOTION 1: That the Mayor and Common' Council conduct the
workshop and continue the action to a date and time
certain;
OR
MOTION 2: That said resolutions A - E be adopted.
3.
Adjournment.
MOTION: That the meeting be adjourned.
NOTE: The next joint regular meeting of the Mayor and Common
Council/Community Development Commission is scheduled for 1:30
p.m., MondlJy, March 21, 2011, in the Council Chambers of City
Hall, 300 North "D" Street, San Bernardino, California.
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NOTICE: Any member of the public may address this meeting of the Mayor and
Common Council/Community Development Commission on any item appearing on the
agenda by approaching the microphone in the Council Chambers when the item about
which the member desires to speak is called and by asking to be recognized.
Any member of the public desiring to speak to the Mayor and Common
Council/Community Development Commission concerning any matter not on the
agenda but which is within the subject matter jurisdiction of the Mayor and Common
Council/Community Development Commission, may address the body at the end of the
meeting, during the period reserved for public comments. Said total period for public
comments shall not exceed forty-five (45) minutes, unless such time limit is extended
by the Mayor and Common Council/Community Development Commission. A three
minute limitation shall apply to each member of the public, unless such time limit is
extended by the Mayor and Common Council/Community Development Commission.
No member of the public shall be permitted to "share" hislher three minutes with any
other member of the public.
The Mayor and Common Council/Community Development Commission may refer any
item raised by the public to staff, or to any commission, board, bureau, or committee
for appropriate action or have the item placed on the next agenda of the Mayor and
Common Council/Community Development Commission. However, no other action
shall be taken nor discussion held by the Mayor and Common Council/Community
Development Commission on any item which does not appear on the agenda unless the
action is otherwise authorized in accordance with the provisions of subdivision (b) of
Section 54954.2 of the Government Code.
Public comments will not be received on any item on the agenda when a public hearing
has been conducted and closed.
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03/03/2011
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CITY OF SAN BERNARDINO
ECONOMIC DEVELOPMENT AGENCY
FROM: Emil A. MmuIIo
IJIIlIrim Executive Director
SUBJECT: Jofat Mayor ud 0--'11I CoUDdl ad
eo._1IIIIty Dnelopla..t eo........
WorkIIaop ~ Apacy Rednelop_t Projects
alld H...... PudI
DAlE: Man:112,2011
SvDODIII oIP'-wy", l"................An.....IC8..-..... ..........l:
p~-""'" .........,..l:
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A: Resoiution of the CcJmmunity Development ('nnnniaioli
c:crIaiD _heos to the San Bem..did.J Ec:ooomic
B: R.eIo1u1iOll of the Community Development CnmmiuiOll of the City of San B . a Cer1ain Project
FuudiDg Apcment by and between the Redevelopment of the City ("Agency") ancIlbe San
BcnIIrdiao EccmomK: Deve . IDe relating to $525,000, pincipaI amoUDt for Ibe
eel Areas . ilallmpJOwmeDt Projects / I)
C: ResoJutioa of the Community Development CoIIIIIIiuicm of the City of San Bernardino auIboriziDi (I) tbat CcrWn
LoIn A&1eeJDeIIt in connec:tion wilb the issuance of the Redevelopment Agency of the San BcmIInIino PrvmiBlOl)' Note
Series 2011 (CIty Redevelopment Activities and Public: Works Projects), and (2) that Loan Apeement in COIIIIeetion
wilb the issuance of the San Bernardino PrvmissmyNote Series 2011 and the forms oflegal documents re1ated lhcnlo
the CIty of San Bernardino approYiDg the lppOintmeal of
D: Resolution of the Community Development Commission of the City of San Benwdino approviDg a Cer1ain HolIIiDg
CapilaliDtiOll Funding Agreement (Sub-Recipient Apment) by and bet\!!INII the Redevelopmeot Agency of the City
of San Bemanlino ("Agency") and Affordable Housing Solutions, Inc, a California non-profit cOl}lo..otion (" AHS"),
Inc., relating to the financing of ceJtain bousing pn.p_ and activities
(Mayor aD" CommoD CouDc11)
E: Resolution of the Mayor and Common CoWlci! of the City of San Bernardino approving and authorizing a Certain
ReiDlbunement and Project Implementation Agreement by and between the City of San Bernardino and the San
Bernardino Economic Development Corporation, Inc., authorizing the fonn of certain legal dOCUDlCms related thereto
and authorizing and directing their ",_..non, execution and delivery
Contact perso.(s);
Emil A. Marzullo
(909) 663-1044
Phone:
Project Area(s): Citywide Ward(s): All
~ Data AttaclieiI: -!il S~~ Reso:on(S) Ii!J Al!nleIIIent/'s)lConlrllcl(s) [J Map(s) [J LetteI(~
FUNDING REiQUIREMENTS: Amount: $ ......"IOM Source: See auacbed
Signature:
Emil'
Fiscal Review:
Lori
See ....cbed
Budget Authority:
eoalDlItIoalCimltll!ll NoteI:
b
". ..- ....... .. ....UCD<'__" .. .....u_MtC.."""__...... COMMISSION MEETING AGENDA
MeetIq Date: 031034011
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ECONOMIC DEVELOPMENT AGENCY
STAFF REPORT
JOINT MAYOR AND COMMON COUNCIL AND COMMUNITY DEVELOPMENT
COMMISSION WORKSHOP ON AGENCY REDEVELOPMENT PROJECI'SAND
HOUSING FUNDS
A. s.."m_ry of the ReIOlatioD of the COIDIDIIIIity Developmeat .Comm....... of the City 01 So
BeriwdiDo approvfq the appomtmeat of certaiD memben to the So BerurdiDo EcoDoJDlc
Developmeat Corporadon: 1J'r 13 ~J,.
. /'
1. SBEDC Board to be of 6 voting directors - 3 to be
and the ,......nmg to be inted official actions of 0
~ I the Board of FAlIc..tion 0 City Unified School
Dislrict, (rl) the Board of Supervisors of the County of San Bernardino, and (Iii) the Board of
Directors of the San Bernardino Chamber of Commerce. SBEDC will timction initi.llv with 3
Commi.~ members IIDtil ......,h ~f the specified entities ha dulv appointed their
~tatives to serve on the SBEDC Board; ,
2. ~ws to be amended by the current 3 member board. Successors to the CUI1'eI1t 3 member
. will be the Commission appointed members piUs 3 members from the entities 1isted in
paragraph 1 above upon appointments of their respective lCpresentative to serve on the SBEDC
Board;
3. The individuals appointed pursuant to parsgraph 1 above must comply with the following
qualifications: (i) be an elected member of the Board of the San Bemardino City Unified
School District residing within the City; (ii) be a member of the Board of Supervisors of the
COlIDty of San Bernardino having any portion of the City within their supervisorial district, and
(ill) be an elected member of the Board of Directors of the San Bernardino Chamber of
Commerce residing within the City;
4. Commission will int embers of the Commission to serve on the SBEDC Board at the
~ect Funding Agreement IS approv' 1"11 "".'-(;-7"
S. SBEDC to adhere to all requirements applicable to public agencies including Brown Act,
Political Reform Act, Govemment Code 1090 and Public Records Act. All m-nl'lgll of
SBEDC are to be conducted at the San Bemardino City ColIDcil Chambers or at another
location within the City having television recording capabilities for all SBEDC meetings.
,
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B. Summary of the Resolution of the CommODity Developmeat Commis.ioD of the City of San
BerDardiDo .ppromg a Certain Project FuadiDg Agreement by aDd betweea the
Redevelopmeat Aceaey of the City of SaD Bernardiao (" Ageaey") aDd the Sau BeraanliDo
Economic Developmeat Corporation, IDe-. relatiug to theS525,OOO,OOO priDdpa1 "'OUDt for
the Redevelopmeat Project Areas - Ca.l!itallJDprovemeatl ~: 7
"'. . .- __ncuc_........ .......n_Mtt..cuc__.... 'COMMISSION MEETING AGENDA
MeetI8c .te: 03.113/2011
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EcoJ1ODllic Development Ageocy S1affReport
Page 2
! J
1. SBEDe NmmlQ to UDdertate jdenf;ifi~ projects for the Aga1t.;y in exrJun,p for tbc trIDsfer of
the c:umut surplus tax incremeIlt revenues 8Dd future surplus tax iaaemeat mreuues.
3. SBEDe apes to provide nfflng aod to retain CODSUltauts as necessary to implement all
obliptions ~ by SBEDe UDder this Agreemeat.
4. SBEDe ......... all AgeDI:y owned properties wbetbei such are inteDded to be UDder
continued Agt::DJ;y ownership or title is trausfcrred to auother successor emity. This c:ontrBctuaI
obligation is also a committed tax iDcremeDt obliprion.
5. ~to contain CXJ!!'MM list ofredevelo~ects that are c:uaently in process and]
those future BDticipatcd 1edeveJ~ Jl!'O.iects ("RedeVel~t Activities") for which the
Agency pledges to transfer the tax increment revenues to SBEDe.
6. ~ent to contain a list of City and Agency public works Dl'Oi~ City CIP projects and
other tiJture BDticipatcd public works projects to be located within the City ("Public Wotb
Projects") and within Redevelopment Project Areas which are contracted to be undertaken by
SBEDe with Agency tax increment revenues and CMS loan ptoceeds. ............-
,
7. TIle obligations' incurred by the Agency in this contractuaI arrangr.ment with SBEDe will
enable the filing of an annual Statement of Indebtedness with the County of San Bemardino
each year for the doI1ar amount of the contractual obliptioDS related to the Redevelopment
Ac:tivities, the Public Works Projects and the implementation costs related to each such
- category of projects in addition to the obligation of SBEDC to man"ge and maintain those real
properties then owned by the Agency.
8. Agreement contains Events of Default in the event the ylaws f SBEDe are modified without
CI co 0 e Commission, failure to maintain c status failure to implement
any assignment oftbis Agreement to a Commission desigl'AtM JP A. Agreement contains other
customary defaults for non-perfo ceo (:)
~D6/~6ID'
C. Summary and background 0 e Resolution of the Community Development Commission of
the City of SaD Berna . 0 authorizing (I) that Certain Lo~ Agreement in a principal
,!mollnt of S6OO.000.000 in eouoeetioD with the iIIfuance of the Redeve10DDlent AgeD&:}' Qf t{le
SaD Bernardino Promsory Note Series 1011 (City Redevelopment Aetivities and PDbUe
WorkS Projeetl). and (2) that Loan Agreement in the principal amouot 2L$IO,OOO.ooo io
coDDeqtiOD with the issuance of the San Bernardino Promlory Note Series 2011 (Agency
Projects) and the forms of legal dOCDmenh related thereto:
Background: ? ~1#6 IVpA
_CMB ~.. ILC ("CMIl";':::: 'odin ......-1....... - .~-b.. """"'.' initial1y
for.the counties of San BCrnardin, 'verside and Sacramento to assist in . the closed
military baseS in these counties. Inland Valley Development Ageocy lVDA '. the
initial loan transaction with CMB in 1997 for the first loan of this type pursuant to. EB-5 gram
"", .__.... . '2IlIaJe__W.' :....1I_"""..C2JC___ COMMISSIONMEETIN GENDA cr
M..... Date: 03II3IJ811
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SSI AA
~jc Deve10pmeut Ageol:y StatfReport
Page 3 a",d; ~
Services ("INS") which has siDce been
. mI on Services ("USCIS"). The IVDA IIId
Authority ("SBIM have' ointJ CI1tered into . ~
the MBIAA in part fof.
. 8Dd in most UFm"el, ']Ie DI\Xl~ ~ lIs\we used to
ftma ~,~<<s of other federal gnmts.
cost CMmIIIS
o.a: ~
for the CMB regional center allOWll foreign l18tionals to obtain penJI8DeDt ~derq
in U upon mvestmem of $5(10,000 in a qualifiod investmart activity !bit
U.S. jobs. Typically, the minim1JlD investmem IIIDOUIIt is $1,000,000 but the lower IIDlO1IIIt
of $500,000 per investor applies in San Bemardino County due to the higher 'lIV!lJJploymem rates IIId
the closure of the JIlorton Air Force Base ("NA~"). CMS establishes seplratc limited liability
complDies for each investment pool mI requires that there be no prepayment by the bonowiDg
goVf!nUlleJ)t81 eatity of the principal amount for at least three years. This restriction allOWll adeqUlte
time for the investors to meet all criteria required by the USClS for obhoinil1l the perm-nent residency
status. Rather than investing in private bll~jnesses as virtually all other regiODll centers have elected to
~ CMB will only place loaus into infrastructure and public improvement inveslments with
govell"I~lfaJ agencies whereby the necessary jobs that are required to be generated can be
demonslrated utiliril\g an economic model approved by the users. In San Bernardino County, the
model provides that far each $1,000,000 of infrastructure 8Dd Rublic imnmvement construction dollars
~yended by governmental agencies. 5.7 iobs are aenemted in the local economy resuItin2 fiom tIJp
construction and WUDl8te use of the ~ and public imnrmno.m.....~ Each investor must
aemODStrate that their $500,000 investment hU generated 10 new iobs. - .
SlIInm_ry:
1. Parties will be the Agen.cy and a Limited Partnership entity to be fonned by CMS solely for
"this Agency nnancmg.
2. Agreement will provide for multiple tranches as CMS determines at its sole discretion that the
Agency designated Redevelopment Activities and Public Works Projects are then ready for
financing and the Agency has adequate revenues to repay each tranche.
~ .
3. Each tranche will commence ~ 6-year term ftom the Initial Flmdillg Date of that
particular tranche (i.e., the date the.first $500,OOO'offoreign investor funds are disbursed
by CMS to the Agency for each tranche) and the first repayment date of 42 months will also be
detcmnined ftom the Initial Flmdil'lg Date.
-
4. S ents will be executed for a principal amount of S6OO,OOO 000 and
$10; , , imd mclude a 0 opmen vities lie Worlcs
Projects set forth in the Proiect Flmtllno Agreement that are eligible to be finan"ed tIuough this
Loan Agreement with CMS plus current Agency projects for the second loan ofSl 0,000,000. I
5. A separate Loan Agreement and Indenture will be fully executed and delivered by the Agency
and CMS for each loan immMiately after the approval of the Loan Agreement 8Dd Jncl'""ture to
"'i . ._~""~ .. ...UCIlC__" . :-U__..CIlC___ COMMISSJONMEETINGAGENDA ('
MeeCIIIc Date: O3.4l3I2OJ I
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Economic Development AgmJ;y S1affReport
Page 4
+M
3~ {/-f.. 4~
\-Cp-
be tbereafte:r biDding upon the AgmJ;y aud contrIICtually """'mnm,g the AgmJ;y 10 repay all
loaDS as IdvIIIlc:ed by CMB in each trancbe as fimds are delivered by eMS to the ..:t:2 fur
use by SBEDe. .;;r. "'/..:~ ~~- _ '1- -(
6. The obligations incurred under this Loan aud 'wWnhme will be set forth on lhe
IIIJIU8I ~t Of~: of _tile ~ . or not lilY tnmcbc bas then 6in
. _ Loan will require the Agem;y'to reserve Uoesf tax L..........rt
reveuues iIi a spcc:iaI account to assure that adequate fimds are aVlilable for undertaking of all
projects ~ ti........... by CMB~ -
r'
7. The A substitute .tional
velopment ActiVIties and the Pub c
discretion.
D. Summary of the ReaolutiOD of the Commwdty Development COmminiOD of the City of SID
BerurdfDo approviDg a Certain Housing Capitallzatioa Fuadfag Acnemeat (Sub-Redpieat
Agreement) by aDd between the Redevelopmeat Agency of the City of SaD BeJ'IW'diDo
(" Ageaey") aad AfJ'ordable Hollliag Solutioa.. IDe., a California aOD-proflt corporation
(" AHS"), IDe., rela~g to the rmaaclng of eertain housing programs and aetivities:
I. This agreement between the Agency and AHS is to continue the role of AHS in undertaking
housing activities of the Agency vtiHzing the low- and moderate-income housing fimd.
2. s ent also includes the assi8l'ment of any federal funds transferred to the Agency
III'SWIIIt to Sub-Reci ient A ent e 1 e..
3. This agreement is substantially similar to the Project Funding Agreement of the Agency with
the SBEDC but limited in scope to the housing activities of AHS. -
4. This :;::ent memorializes the relationship that currently exists between the Agency and
J\HS for oUSJDg programs. .
.
1. The City and SBEDe are parties to the AgI'eCJDent.
2. The Agreement recites the same Public Works Projects as included in the Project Funding
AgI'eCJDent !!ut additionally commits SBEDe to those specific Public Works Projects that are
City initiated.
". . .r ..... .. ...."CIlC__... .. ._U___CIlC___ COMMlSSIONMEETlNGAGENDA
Meetbl&Date: 03I0M011
10
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Et-noomic Development Ageucy Staff Report
Page 5
3. SBEDC becomes ~ liable to the City for per{ol;;;;'::~ the tax incmnclIt
mrenues to be receivedbY SBSDc pul'S\IlIDt to tile I'roject f/'1__ _ ___." _
-
,
.
.
Neither action meets the defiDition of a "project" under Section 15378 of the California Bnvironm...u,l
Quality Act (CEQA), which states that a "Project" meaos the whole of an action, which has a poteatial
for resu1ting in either a direct physical change in the environmeot. or a reasonably ft.! [seeable iDdirect
physical change in the enviromnent .
FIS~ IMPACI':
Repa~ oftbcse loans would be interest ~ and payable Quarter!I. The Agency would only be
. responsible and finAn9illlly lfabie for a pct1'ticu1ar loan or any portion t!ereofwhen a precise "shovel
ready" project had been identified together with the I'eVCI1UC sources to pay the quarterly interest
.. and to assure the tor ~ of the . 'nal amount of tile respective loan at
the 6-year maturity date, There is DO impact to the City's . Fund.
~
RECO~ATION:
That I) the Ma orand Common Council conduct the workshop and continue the action to a date and
tinie certain; or 2) Resolutions A. B, C, D and E be
c:::::
EmU A. MarzaUo, ID
Ieeative Director
II
P:'!'&J . '-~..'t"
. . .UCDC'............'1
..... n_MCC...CIlC___ COMMISSION MEETING AGENDA
Mecdq Date: 03.4l3I%011
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'<:
JMS
Advisory
~
Jay M. Shapiro
President
JMS Advisory
Jay M. Shapiro provides cine\na strategic planning services, market due diligence, !rite
selection evaluation, real estat+ deal making, lease negotiations, project management, ~d
disposition and valuation SCJtvices to institutional investors, landowners, devel~
redevelopment agencies and ~lleges and universities.
A lesding expert in exhibiti~ and theatre real estate with over 30 years of induStry
experience, Jay serves as ~ident of JMS Advisory, a Cambridge-based theatre imd
exhibition consulting finn. Bpfore founding JMSA, he was Senior Vice Presiden~ of
Development for General Cin-rma Theaters (1980-1995), prior to which he was Natiqual
Director for Real Estate at ~erican Multi-Cinema. From 1973-1975, he serv~ as
Assistant Attorney General fo~ the state of Missouri. .
Jay has represented exhibi~ and property owners throughout the United States and
globally. His clients have inchlided, among others: AMC Entertainment, General Cindma
International, Hoyts Cinema/;, Century/CineArts Theatres, Drexel Theatre GrQup,
Harkins Theatres, Wallacellfollywood Theater Corporation, Rave Motion Pic1,\1re
Theaters, Regal Entertainm~t Group, Ameristar Casinos, BoydGaming, Baiyer
Properties, New England Devb10pmentlWells Group, Trammell Crow Company, JoPes
I ,
Lang LaSalle, Berkeley Inves$ents, Lazard Freres & Company, Stellar Holdings, Simon
Property Group, Madison ~onsulting Group/MadisonMarquette, The Woodmfmt
Company, SheaProperties, Dltt Realty, Nordblom Company, U3Ventures and Vibr'ant
Development.
Jay also has consulted on nl$erous urban redevel()Pffient projects in Sacramento and
Glendale, CA, Kansas City, ~, Duluth, MN, Worcester, MA and for the UniversitY of
Pennsylvania, Philadelphia, P.,\, Ohio State University, Columbus, OH, and San Ditgo
State University, San Diego, !CA, St. Louis University, St. Louis, MO, The Presidio
, .
Trust, San Francisco, CA and Gamana Bay, Grand Cayman Islands.
In May, 2010, Jay was ke~te presenter at the roundtable discussion: State qf the
Exhibition Industry at RECO~, hosted by International Council of Shopping Centers
(lese). In February, 2009, ~ay was chairman and moderator for the cinema panel
discussion Cinemas: Sun1jl'in~, Thri11ing and Positioning for the Future at the Urban
Land Institute (ULI) Re-Inventing Specialty Retail and Entertainment Conference.
. .
Jay is a graduate of Brown Un~ersity and Washington University School of Law. He Is a
member ofULI, ICSC, and thl1 Missouri Bar Association and is a member of the editorial
advisory board of Shopping Ctfnter Business magazine.
20 F~ Pond Place . Cambridge, MA 02138
Phone: 781-894-li640 . Fax; 617-349-5342 . Cell: 917-975-6672
jmstulplro@att.net . www.jmsadvisory.com
!!III
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REDEVELOPMENT COMMITTEE
AGENDA ITEM
?I/O/IO
SUBJECT: VANIR CONSTRUCTION MANAGEMENT, INC. - PROFESSIONAL
SERVICES AGREEMENT TO COMPLETE THE CALIFORNIA THEATRE
SEISMIC AND BUILDING ADDITION INTEGRATION, PRELIMINARY
ESTIMATE AND FUNCTIONAL STUDY
~ t<,OtJ6{ooot ~.~
Backaround: ~
Since its completion in 1928, the Spanish colonial style theatre building located at 562 West
4th Street in the City of San Bemardino (the "City") has been one of the Inland Empire's
premier performing arts centers and an architectural master piece. The Califomia Theatre of
the Performing Arts (the "Theatre"), stands not only as the focal point of the City's Theatrical
District it is the City's most valued historic monument, it is also one of the major
-entertainment venues and socioeconomic drivers to the City's downtown. For the reasons
mentioned previously, it is of the utmost importance to the residents of the City of San
Bernardino and patrons of the arts from around the world that the Theatre District be an
integral part of the enhancement of the City's downtown.? -
- .
Due to advancements in computer technology used in structural building design and testing
methodologies, a more thorough understanding of the effects of earthquakes on structures
and the ground beneath the structures, and advancements in building techniques, today's -
building components are better able to withstand violent ground-shaking and the results of
liquefaction caused by ground-shaking.
In 2009, as a continued effort to preserve the Theatre, the Agen hired Mr. Len Kna a
s ru ura engineer 0 comp e e a stud of t e eo lca , seismiC and s ructura con Ion 0
. the Theatre and its surroun Ing ~arcels. Mr. Knapp's stu y recommended ma Ing I
improvements to the Theatre building's roof diaphragm. Due to site restrictions and other
considerations, the sWctural improvements will best De inco orated into the structural
fr in of building a Ions a e 0 e e enor 0 e build in . Additionally, buttre s
columns we ro osed to be to t st side 0 t e build in to stabilize the Theatre in
the even 0 a ismicevent. . J -r-' , ~~~
~~. J .
I - ~ , ,lA/6
Current asue: ~";;/li:;'~ .>:.t...." ~ -
Based on extensive experience with the Theatre's structure and operations, a thorough
knowledge of working with historic buildings and utilizing the aforementioned structural
analysis, Vanir Cnn"truNinn M""'''gpment, Inc., proposes to perform an additional study to
P:\Agendu\Redevetopment Commlltee\RDA 2010\04-08-10 VanIr ProfessIonal Services Agreement.docx
Redevelopment Committee Agenda
Meeting Date: 04/0812010
Item No: 3
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Redevelopment Agenda Item
Vanir Construction Professional Services Agreement
Page 2
cost estimate will be completed to assist the A en
EnvironmentallmDact:
No impact under CECA pursuant to Section 15301. ~
Fiscallm~ ~1ll~.~6lhr1!~~,~)
$88,000 from the State College Redevelopment Project 'le~ ~ax Increment Fund account.
Recommendations:
That the Redevelopment Committee recommend to the Community Development
Commission approval of a Professional Services Agreement by and between the
Redevelopment Agency of the City of San Bernardino and Vanir Construction Management,
Inc., to complete the California Theatre Seismic and Building Addition Integration, Preliminary
Estimate and Functional Study.
Attachments: 0 Yes [gI No
CiJZ~
Don Gee, Deputy Director
Approved By:
Em~m Exeout.. 0;_,
P:\Agllndas\Redeveklpment Committee\RDA 2010\D4.08-10 Vanir Professional Services Agreement.docx
Redevelopment Committee Agenda
Meeting Date: 04/0812010
Item No:
11 .
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3
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pH.KIT"A"
List of City Public Works Projects BDd Dollar tmount of each Project
~~02rJff
~Ff:-r'~ +-_
yt~.~~
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01/ ~ SdErK!.
=~~?!50 ~/~;#.~ a-
~ ~f;02OID ~)1P!~
Lease
~San Bernardino E~QWW1ic
Devebmmell~,
as Landlord
and
Regal Cinemas, Inc.,
as Tenant
San Bernardino, California
Dated the _ day of
, 2011
S:'~CKI..INI:-l....(FJlOM4B)Mc
S:\WPl'ILES\2707D\44~5 (."..ID-26-I]).doc
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Table of Contents
ARTICLE 1: INTRODUCTORY PROVlSIONS...."....".._..._...._"__.............._l.l
Section 1.01: FUNDAMENTAL LEASE PROVISIONS ....................................................... 1.1
Section 1.02: REFERENCES AND CONFLICTS.................................................................. 1.2
Section 1.03: GENERAL DEFINITIONS.......................................................................... HlJ
Section 1.04: EXHIBITS .................................................................................................... M~
Section 1.05: GLA OF TIlE PREMISES ........................................................................... MU
Section 1.06: CHANGES TO CENTER.................................................................................. 1.5
Section 1.07: PARKING RETENTION AREAS .................................................................... 1.5
Section 1.08: WAGE REQUIREMENTS................................................................................ 1.6
ARTICLE 2: PREMISES............."..............."...................".."....""....._...."........_......_._ 2.1
Section 2.01: LEASE OF PREMISES..................................................................................... 2.1
Section 2.02: TITLE AND SUITABILITY ............................................................................. 2.1
Section 2.03: SECURITY DEPOSIT ...................................................................................... 2.1
Section 2.04: TITLE CONTINGENCY .................................................................................. 2.2
ARTICLE 3: CONSTRU<;TION ....................._........"..."."._..............................._."...".. 3.1
Section 3.01: DEF1NITIONS AND OVERVIEW................................................................... 3.1
Section 3.02: DEVELOPMENT APPROVALS...................................................................... 3.4
Section 3.03: PLANS...............................................................................................................3.4
Section 3.04: BUILDING PERMITS ...................................................................................... 3.5
Section 3.05: CONTINGENCIES ........................................................................................... 3.5
Section 3.06: LANDWRD'S WORK..................................................................................... 3.6
Section 3.07: STAGING AREA .............................................................................................. 3.6
Section 3;08: TENANT'S WORK AND PAYMENT OF COSTS ......................................... 3.6
Section 3.09: MECHANIC'S LIENS ...................................................................................... 3.7
Section 3.10: INSURANCE..................................................................................................... 3.7
Section 3.11: ACCESS ............................................................................................................ 3.7
Section 3.12: FORCE MAJEURE ........................................................................................... 3.8
ARTICLE 4: TERM..........._"....."...._....."_"......._...".""......"_._"..._"................... 4.1
Section 4.01: TERM OF THIS LEASE................................................................................... 4.1
Section 4.02: RENT YEAR..................................................................................................... 4.1
Section 4.03: OPTIONS TO EXTEND ................................................................................... 4.1
Section 4.04: TERMINATION RIGHTS ................................................................................ 4.1
ARTICLE 5: RENT ......._...................."......".........."..".............__.__....""._........_ 5.1
Section 5.01: RENT ................................................................................................................. 5.1
Section 5.02: RENT COMMENCEMENT DATE.................................................................. 5.1
Section 5.03: BASE RENT OR SPECIAL RENT................................................................... 5.1
Section 5.04: PERCENTAGE RENT...................................................................................... 5.3
Section 5.05: RENT PAYABLE TO AND WHERE .............................................................. 5.5
Section 5.06: LATE PAYMENT INTEREST ......................................................................... 5.5
ARTICLE 6: TAXES AND ASSESSMENTS ._."..".......__........._.".._............... 6.1
Section 6.01: LANDWRD'S TAXES .................................................................................... 6.1
Section 6.02: TENANT'S TAXES.......................................................................................... 6.1
ARTICLE 7: UTILITIES AND SERVICES.......".."......._"......""_.."....".........."............. 7.1
Section 7.01: UTILITIES......................................................................................................... 7.1
Section 7.02: CHARGES FOR UTILITY SERVICES ........................................................... 7.1
Section 7.03: TRASH AND GARBAGE REMOVAL ........................................................... 7.1
Section 7.04: PARKING AREA UGHTING.......................................................................... 7.1
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ARTICLE 8: USE OF PREMISES .---._..___....._.......__...._._...__._.__._.._..__... 8.1
Section 8.01: USE AND TRADE NAME ............................................................................... 8.1
Section 8.02: HOURS.............................................................................................................. 8.1
Section 8.oJ: OPERATIONAL REQUIREMENTS................................................................ 8.1
Section 8.04: ALTERA TIONS ................................................................................................ 8.2
Section 8.05: SATELLITE DISHES ....................................................................................... 8.2
Section 8.06: PROXIMATE SALES....................................................................................... 8.2
Section 8.Q7: OPENING AND CONTINUous OPERATION.............................................. 8.3
ARTICLE 9: COMMON AREAS_......._._..._...____.._.........................._................ 9.1
Section 9.01: USE OF COMMON AREAS ............................................................................ 9.1
Section 9.02: CAM OBLIGATION......................................................................................... 9.1
ARTICLE 10: PROMOTION OF THEATRE ..........--..........-................-......._........10.1
Section 10.01: PROMOTION OF THEATRE...................................................................... 10.1
ARTICLE 11: INDEMNITY AND INSURANCE...._..._._.............__......._...........11.1
Section 11.01: TENANT'S INSURANCE............................................................................ 11.1
.Section 11.02: INDEMNITY ................................................................................................. 11.1
Section 11.03: MUTUAL W ANERS ................................................................................... 11.2
Section 11.04: LANDWRD'S INSURANCE...................................................................... 11.2
ARTICLE 12: DAMAGE OR DESTRUCTION .-.......--......-..........-......-..-._.....12.1
Section 12.01: DUTY TO RECONSTRUCT FOLLOWING CASUALTY ......................... 12.1
Section 12.02: DUTY TO REPAIR OR REPLACE EQUIPMENT .....................................12.1
Section 12.oJ: RIGHT TO TERM1NATE............................................................................. 12.1
Section 12.04: ABATEMENT OF RENT ............................................................................. 12.2
ARTICLE 13: MAINTENANCE OF TIlE TIlEATRE.............._.....__..__...._...__..13.1
Section 13.01: LANDWRD'S MAINTENANCE DUTY ................................................... 13.1
Section 13.02: TENANT'S MAINTENANCE DUTY ......................................................... 13.1
Section 13.oJ: RIGHT OF ACCESS TO THE PREMISES.................................................. 13.2
ARTICLE 14: TENANT'S PROPERTY AND SIGNS._......................_......._........_...14.1
Section 14.01: TENANT'S PROPERTY. .............................................................................14.1
Section 14.02: TENANT'S SIGNS .......................................................................................14.1
ARTICLE IS: ASSIGNMENT AND SUBLETTING ...........................__........................ 15.1
Section 15.01: ASSIGNMENT PERMrITED ...................................................................... 15.1
Section 15.02: CONSENT REQUIRED................................................................................ 15.1
Section 15.03: MERGER, CONSOLIDATION ....................................................................15.2
Section 15.04: MORTGAGE OF LEASEHOW.................................................................. 15.2
~ection 15.05: UCENSE.......................................................................................................15.4
ARTICLE 16: DEFAULTS BY TENANT -..............--.......-.....................--._..........16.1
Section 16.01: EVENTS OF DEFAULT............................................................................... 16.1
Section 16.02: REMEDIES AND DAMAGES..................................................................... 16.1
Section 16.03: MITIGATION ............................................................................................... 16.1
Section 16.04: DEFAULT RATE.......................................................................................... 16.2
ARTICLE 17: LIABILITY OF LANDLORD -........--..........-..........-........-__..._..17.1
Section 17.01: LANDWRD'S DEFAULT........................................................................... 17.1
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ARTICLE 18: NON-DISTURBANCE AGREEMENT _..................._._.......................... 18.1
Section 18.01: SUBORDINATION OF LEASE................................................................... 18.1
Section 18.02: TENANT'S AITORNMENT ....................................................................... 18.1
Section 18.03: NON-DISTURBANCE AGREEMBNT........................................................ 18.1
Section 18.04: INSTRUMENTS TO CARRY OUT INTENT.............................................. 18.2
ARTICLE 19: ESTOPPEL CERTIFICATES ................................._................._.._....... 19.1
Section 19.01: AGREEMENT TO DELIVER ...................................................................... 19.1
ARTICLE 20: QUIET ENJOYMENT............................._................._...................._....... 20.1
Section 20.01: QUIET ENJOYMENT .................................................................................. 20.1
Section 20.02: TITLE REPORT, SURVEY & FLOOD PLAIN CERTIFICATE................ 20.1
ARTICLE 21: SURRENDER AND HOLDING OVER ............_.........._....._...._.......... 21.1
Section 21.01: DELIVERY AFTER TERM.......................................................................... 21.1
Section 21.02: EFFECT OF HOLDING OVER.................................................................... 21.1
ARTICLE 2%: CONDEMNATION............__......................._............_............._.._...... 22.1
Section 22.01: ALL OR ANY PART OF PREMISES TAKEN ........................................... 22.1
Section 22.02: TAKING OF PARKING SPACES................................................................ 22.1
Section 22.03: OWNERSHIP OF AWARD.......................................................................... 22.1
ARTICLE 23: MISCELLANEOUS..............._......._................_........___........_......... 23.1
Section 23.01: INTERPRETATION ..................................................................................... 23.1
Section 23.02: UABILITY OF LANDWRD....................................................................... 23.1
Section 23.03: NOTICES....................................................................................................... 23.1
Section 23.04: SUCCESSORS .............................................................................................. 23.2
Section 23.05: BROKERS ..................................................................................................... 23.2
Section 23.06: UNAVOIDABLE DELAyS.......................................................................... 232
Section 23.07: SEVERABll.lTY ........................................................................................... 23.2
Section 23.08: TIME OF ESSENCE ..................................................................................... 23.2
Section 23.09: APPLICABLE LAW..................................................................................... 23.2
Section 23.10: WAIVER ....................................................................................................... 23.2
Section 23.11: RECORDING ................................................................................................ 23.3
Section 23.12: HAZARDOUS MATERlAL......................................................................... 23.3
Section 23.13: ENTIRE AGREEMENT................................................................................ 23.5
Seetion 23.14: EXCLUSIVE RIGHT .................................................................................... 23.5
Section 23.15: ATTORNEYS' FEES .................................................................................... 23.6
Section 23.16: LANDWRD MEANS OWNER................................................................... 23.6
Section 23.17: COVENANTS, CONDmONS AND RESTRICTIONS.............................. 23.7
Section 23.18: ACCEPTANCE OF LESS THAN FULL PAYMENT ................................. 23.7
Section 23.19: MUTUAL EXECUTION ..............................................................................23.7
Section 23.20: COUNTERPARTS........................................................................................ 23.7
EXHIBITS:
Exlnbit A -
Exhibit B -
F.yhihit C -
Exhibit D -
Exhibit E -
Exhibit F -
Rxhibit G .
Exhibit H -
Exbibit I -
Exhibit J -
li':..hihit 'K _
LEGAL DESCRIPTION OF THE LAND rSection 1 031:
SITE PLAN OF THE CENTER rsection 1.031:
LAYOUT PLAN OF THE THEATRE rsection 1.031:
LANDLORD'S WORK AND TENANT'S WORK rsection 3.011:
COMPLETION CERTIFICATE rSection 1.051:
NON-DISTURBANCE AGREEMENT rSection 18.011;
LANDWRD ESTOPPEL CERTIFICATE rsection 19.011;
MEMORANDUM OF LEASE rSection 23 111;
COMMON AREAS WORK SCHEDULE rSection 3 011;-8IHI
FORMER THEATRE SPACE WORK SCHEDULE rsection 3.011: ODd
n~1P ROIJTPM1i'.NT r!Vrflnn 21 All
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March 7, 2011
~t:t.?:~
~.S" $k.~~~
~ ~.1/2PJ/.
p...wdtOJli Deve10pmIllat ~. Jne.
~t,."lfIoll: M8dtD. Pa1Dc
34 T. Suite 200
&riDe, CA. 92618
HE: Carounl MaD - Exdusive RIght to Negotiate
Dear Mr. Payne: . . - ~ . , .. <"",f,
. ~ ~U16 ~~'...d A.~"'/ ~ n/,II..-K.J'1"u -r~ t7X..:>/I&j'/O
On~201== ~ ~ of the City ofStm Bemardim (tile ".It.p:JJ:r/') ajuI
~~.......~~:..~
0Iitbmia. "'L1~~ ~1 ~_t'-u.se-
Pursuant to the ~ Soction 6. ~ Woht.to *.:Io'ditotf! ~.a-4,~4- as ~
C01UicttoItkm for p;.....fMl entmillg into the AgreemfI)t, bath the ~ 8lId ,.._Itooi agftild
to ex.. .~ 811 ~lot to :.~ AaIwl'''~ (1he "ERN") em tile date the =
~ tft1e fD . 9!!:Nlt1lll'115, 2011, the AgfiItOy ~ to the Pl~
~.-..."",,~NO.:lOll&JQ4!10. "'Fo~'''''-fr. .
'Ihc At,tIJlS'f JIOW wishes to JIUl'lI= an executed ERN with p.~ for the ~
redo~"l""( of the P1~t:T 118 -- 'tm:~ 00dlISlhted ~ A ibml ~J:.
SRH WI! .dlA>I'll as BldlilIit"C' toJbe~ 8IId two IIlC ~ ." .
iIifs letter. ~'~1.Ao 81Th;' tGtAI J:- &M...".
".,,:" ~ ~'#""~...cr.: _
~ ~ me at 0XJ9) 663-1044, at your carliclJt ......h~ to diseo88 I!lOW.lI ~
wlth theBRN.
A.
Intedm BMlcutive Director
~1I'e
cc: Timothy J. Saba A.ar::MY Coubsd
201_11 ~ ....lIOf. SIlI_ l' . _ OlI8ioBIIOIf1f.fIlI'1. ,.,.,.._. "'._13
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Rm:)lMl.T~AcmNCV
OF TR'R CITY OF ~JUlRNAllmNn
BXCLUBIVE RIGHT TO N'MOTrATB AGllRRVRN'l'
l'!j,Rnt,tftf. U'AT .T~
'lHIS EXCLlJSlVB RIGHT TO NBGOTIATE AGR.EBMENT (dIis ..Am-....JIt")d.
dated as ofMaft:k., 2011 (!he "bfJ.Nl... DIte" bcillg the.. that thll AIfIM1 has acq1Ihcd$le
f01bo~t) as ~~ lIII4 III ....04 iIdI:l by BDd W.._llII. p....,.ft."'i ~
C)ompBnr. _ (Glc ~ . ~ ...._.d:Iw., aad tho R.ednelupJDCat Apncyjof
the at, of Sa &..-dIno (the ..~~ a pab1ic body, C(llpuildG lIIld poUtic, m u,Jrt of f1c
flIcls let 1brlh In the 1bDowhtg n:ciIal JIlIIlIerAJlhs:
lU!Clr.A. TJI
A. The Aga:y desiJes to eDC01l18&6 aad ~ the ~ ofcerl8in1tal
~tl' Ioetdod wit1Iia tho C~ City R.edevdopmeat Project Area (the "PnIlect Azt:a") off1e
City flf SIn &thatdlbu (the "Qtt") lIIld commtmIy bown as a pollb1 of tile Caruu8e1 _
IocIted . 295 Camusc:l Ma1l, ~ the CIty of SaD. BetnaftIlno. Calffilmi8. as IIIOle ~y
descdbcd In ~"4" ~ ~ lIIld tile lIS8OCl8ted C ~.
. W~ii &olallmeDt -
auto
B. The ~ Is qQB/itied to BSSist the Agerw:y to uDdcrtakc the stud7 of specific
propel_ and jlJ.ni a CoardiDated IIDIl cco.......1llllny sn~b1e rcdeYeIOpmeIIl prqj~
widlln fle Study Area as~alI.4 OIl ~~ "A~which wiII teqUire specl.tio study, evraluatipn
end pJ~ by the at)' 8iit tile ~. as appIicable, of apjkupdate ~ ftlasible commoaJt:
raIe~PfOlll'lIIDalll..&tives. . , '
C. The Dmlloper and tile ~ be1ieve it Is appropriate tor the Developer!to .
~.111 eertaiIl redncIopmmt. sludies, in consultation with tile ~~o.~, 1V8hlate~'
P of a:.::::: 1je l't~~ A~ with tile __~ 81_ .
" ~ Consultant subject to the tenus as set Pm<::
. ." . ..4w.e~,-,cC~d,..4..t&;"6
CC>'V:ENANTS
IN CONSIDlilRAnON OF THE FOREGOING RECITALS, WInCH AllE
INCORPORATIID JNTO nos AQR.BEMENT BY THIS .REPIlRBNCi AND nm MUIUJU,
COVENANTS AND PROMISES SIT FOR'IH HERBIN, nm DBVELOPBR AND ntE
AGBNCYHBRBBY AGRBB, AS FOLLOWS: .
-
1. DeYehmer A~1rlw..~"j.u~Jlt& and TIMft of A~
.. The DlWclopcr hereby acImowIecIges and qrecs tbat DO l:I1'OUan of t~
A,..4"'fI't shall be deemed to be an offer by the Agatcy or lID -~ by tl!!
,
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4Ilf.449l-4950.'
so;,-:e,?C~::~~~'~.
1D lie . (. below) 1bet may hI::redl:r be ....lllba. by
Do-.~ ill ita Illlo dil.....&n, aid be tIIo .. ~~
=~..1IId 8baIl ftOt be dcemc;clto he ~ .,
aad tho City. .
b.
The _RR...Il.dlA aM idt.JIity oftho~8Ddi1s JA~_of~..'
im9Ql:...... to tho~. The AfPJl11 relied 011 tbese cp-lIf1...,a1Jlll1lllll ideDtJty
m ~ imo 1l1li AaP-t with the DeYeJopcr. A.ccxlrdiqly, m:ept.tas
<ll.y.~ III'Jt btb. herein below, dvdDg the team of 1IIia .:ftlllflf" ~
~.~of.~
':~-Clr .::tIds : ::e~ sW1
any rlgbm or power w* i ~~ ~
m~by. ~D of1bD _
= ftOt to be UDI&IllOJ18 ::: or ,.Pla~
ofthlB AgraemeDt, a T......A ~ (I:) a l.auSfer 011 a ~
basis ofmore than I~W orb ben~";.1 "n..aabip ~
in the Degelopel; and a. -'9"""""t IIIIIl COIItroI of 1Jte
D~ to any fhird party other than 1D an j..ffU'- of the De\Ie1oper. As ~
hcrcIJl, the term -.MeW mcIlIlS. any ci1tIt1 that is either~~:t
sabsidlary of the DewIopet and/or any entity in which , or
plIl'CIIt or subsidiary O"IIIIB a C01'ltIOIhg ~ IIIId exercisu ~ COIIdoI
or. wIlJcb. is "cIlrectl. y or MM.. ly . eel by .~ D. p;..-I,f.....t rho :Jntertm... .
:::;1eq~:::Aof the sh811 ~.c or cIi&a>>PI-...... ~
geacy wtrhln 1lln (10) ni,.... da7a after reccipt'of
a wDttell' request ~ tbe Developer, topher Mia
~ 811 may be ze. bythe:;:- =w.. '
oftbe Agency, to " I'\f;I)Jl . s
or ~'s ~ and qualificatlom, ioc1udiDg the !A"'~ -W-~
E~:~the~~~-:~.".
._..,~. or agreeat"
wum.., or the De\'llIOper 0ll.pn8sty reIIIIIiDs respoIlII.'bIe fOr, sIl pertbrmaftce IIIId
ohIlpi...... of the Dc..Mper arisfDg prior to tho Amvc date of !he ~.
Tbce~- EEOJl~sball be m a ftmn 3..Jt
~ II to ~ s 00CllISflL No later tbim tho date the ~
tho Dllftlloper . . to the AgeDt1y 1bD fully ....-dW
~mttand lIlilD"i'll'ioo 881llef.",..t
Co
No1wItbsIandlng any otbet provisioa set forlh in this Agreement to the uuuf1~)'.
!he Agtmcy's appmoa1 of a Tl'IIIISfer by the Developer sball not be required !m
~ with any of the ft)1lowiDg transactioDs:
(I) Transfers resulting ftom. the death or mental or physical incapacity of an
individual who is a principal of tho Developer;
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(l) ~~o!~~~~
!!C~~ ~~....~-3...
= ::== with - - ".1IItlm8lli de9aI.~.l}nI'" OJ: ~-r.; b
.wIt.ed below), 8IId tbe \lIIdeindudings that 110 such *~ till
be 6--......1 to limit or l'IlIIriet tile AgeN;y'fl Of tile City'. diaelicm. wJth
~ b tile terms 8Dd ClClIIditiClrll of flAy asreem-.d,. perlaiDs to alt ',Of
flAy porlicm of1he FroJl<<t1; or
(3) 1'~....A..1br flIlA''1~''4~
lJ(.~tnvD
Ia....,~
d. 11IiI Agrecmcat I1aJl
(I)
...
_ ftriCy tIIst
PJugJ<lli.lfl beI1lg made to complete t1te acthi.1ies to be}l'll- 6n./..... by
Developer set 1brth in Section * or .
(2) a party ...,t_ tbls Agreement as provided umIcr ~ l8 lor
~nn 19.asapplicabIe. (>_l....&.L-~.. '~?
4~1ilYUlIl.c .,. ~ . .
e. NotwithattoMtllll any othec prcMsiotl of tbis Agr""....,nt, if t1te A acquQefl
fee title to 1he ~Pett1 by any llHl8DI other 1Ilan ~ to t1te PSA witbin t;.o
and cm.e-hBI{ f). ~ years of date the Pramisso.ry ~1S paid In t1in [S1xtei:n
Million Four HmiIled F11ty Thouflsnd Dollars (S16.45O,OOO)] plua ~
interest tbrougb. date of ~ tbb Agr=ment sba1l be deemec:r to be il11biT
!brce and etltCt 8fl of tile acquisition of the Property by Agency. ..
2. 1'bcPrqject. A-..''''~''~ .~ ~ a,-.., ~,t.
Subject to the ~ and ~ this Agreement, d~....t and execution of a
mutualty satlflfaotot)' Prqject DMC, tile approval by the City, the Ap.cy "and otlIer
ao~.;. 'n. .~.....t 9""'.... with jurisdiction over the Project Area BDd the Study Area of flAy pemSts
and Il99M8Y tlIat areneecled to~oo-"''''''::r ~ =:CW~'Iled by the ::lh
City'. Of the AgtJBy'. CI'lIIl.p1elicm of tile VI! __.__ procca 8IId _t_~_ 'Of
CSQA c:Iclc:umuillldan for tIic ~ oft1te Propmy within the Stud)' Area purIUIIllt to ite
CaIifarnk Bth.b:t.u.r...aaI QutJity NIt ("f'!Rt\A") BDd P- 41lflliaAee with alt other appIicabIc ~
and IacaIIns, orrn- lIIld 1ll8"~ tbr such dll.clopDcnt, the = sbaII . atI.
1\l88OftRNc~ or necessary fbr ~~ a IIllOpe of ~
.._"",;.,,. ~ wOrk rolat1ng b the fi:asOOity of the redevelopment of1he F''''l''''-11111K1
!he ptojeetred dti~ of pt"ddk offloc 8Dd mixed 1IlIe facilities {the "Projeetj while laki!tg
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the IICIIlcIs _ ~:.- of the Apt;y. the City ~ other jIIJohMlMrs at the pI'CICDt Clu~
l611 intoc-.1U ~.~ :,
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.'1'be riahtI and duties otthe pardes ~ by this Aare-- sb8l1.....~
foIIOwiQg the I!lftllIltl:I'e Date oftbfs Ap\J"Ieat IIDd sbaIl C(utd...~ as pmvidcd; in
this AifMIl"",t. hd1 time paiocI cb:iDg wbich tbfs Aat~ sb8l1 be ill ~
~~~ODB offime ~u4W by the A_,\';:~: ~~";
.Within twot2\ t.n*II~ of_.t'~Pl(jIlClt). :~~.
~!IlJIieeoftho DGlfothe . ~ .~r""" .(.:
E~~J~~.n:}~
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Each party sbaIl beer its 0W111egal fees and overbc8d IIId ""mlni",4i~ cosls!in
CQIWI~'3Jl with tile ptc.j)c4ation, miew 81ld negotiaticm of the DMC PropOS8l.
All third pm:ty COlIStIltantI J'l!QJfnP4 by the Aa-1 to ptepere 811)' study or
doe"",ent as part of the DMC DellDtiation process sbaI1 be ~ to the sole
control ~ otthe Aaarf. $e work 1lftlduct of 11m' """lot ;:;:;~
be ~ !!f tile Asr.erttsY IIIld die }.tlftftftV shaII have the right ~ ~
repn workproduet for aay~
::... "'".:.. "': =-?.:' ~~... (AI i ~-;-~
i.fentlflotrtion ~the Plofo"'l'tY as the site a ect lS~ptila1 only; (C)
no specific project for the Propo>tt) .bas been . . a purpose Of t1Us
Agreement is to provide for a period of Dllgotiation which will incl tie
ideDti1icaticm of project for tile Pmperfy or poztio.u. 1hcnto; (D) I .
"on 1II1der the Camm . Law of the 'of
. have to d.....D IIIld tel2lIID of Prope.ty,
IUKI ~) IbclOIlS a proJoet be ~fijW:\ in the for which tI1c will acled
to JI1lIkc u~= a, the sci=tion 0 as the .
ao - .....JCCl IJC sabjeetto .owner~ ".
process IIId that as ~. the Devdopcr and .
=~BO':rewi~li7'~the~~~S ?
my ~ I11IU1eIl. IlallUity ~'J . ~tl.... or Other CIltity in whim .
such oVll1llf1llll'lipant has BO interest). rather fbaD the ~.
Within fifteen (1 S) calendar days from receipt of 8I1Y informatiOll from fie
Developer as pl'O,ided in this SectiOll. 3. the Interim Bzecutive Dlr=tor of fie
Agency shall deldtdbd" whetber such ~ is -";"'tory. If the pciftc
item of infonnalion is UDSatIsfiu:tory to the(Interim Executive Director lor 1he ·
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does _ make a J' ......1IIf- ., fIf d-.Jtto..' .
the DegeIoper UIlder 1IIiI 3\."'~ d. 3 wi1IdI1 Meat: (15) oal-'- dars ft:.~
of m:h lnfl~.l~ the ~ sJJan be deeIlled IUbmI.tIed in ,
bm by the Apat/f. The ~[I' ml,OAf:icms to be made by the li'derim &,...,,'....
Dircctol oftbo AIJ!fAfJ1 UlUkIr this aubecctioD. shall In DO way bind 01' C01lStit1B.e
( lIppI~val of the Ageacy, accept as p<u.ldW herein.
4. ':t"ol"""afN.....~~. ')
If;'~ clek:mUucsnot to =:i1darthc ~..e~ the Af.ettt:1.y]
give ~ theRof 10 the .. dlJect the lmcIopcr to atop wmt. ~ 7
~ Period shall be toI1eJ from the date of gtviDg notice 10 stop work and the to11Ii:i8 .
'e -= the AfPJIJ1 gives .....itttm noticc to the D8geloper to resume work. 'l11c
Nogofl-tlon Period shall tbcD l'C-COI1ImeDCIl from the lIIId of1be tol1lng perlod. .
So nhHmotimtto oftbe DewlloDer.
DurlDg 1be Negotiation Period, the Developer shall proceed diligently 8Dd in good faitlijfo
perform the ib1lmving: 1 { .
a. (Roview and provide the DMC~ lnfbrmation dcsa:ibcd in ~ectiGJ13 ~ if
i~ .Degelope:r, submit Eecuted copy of the fiaaI form. of f1c
DMC to .' ~~. the~OlI01'bcibzctheClldof~ ...
--- D /'1l date to 8lt autboriml cxtcnsioniof
the Ncgotiati01I Perioct); IIIId
b.
CoIlSUlt with the Agmey on a rcguIar basis eel keep the AgcMy advised on ~
progress ofthc DeveIopllr In ~o= UIIder t1lls Agreement tm
wriuen= to be IlJhmi~ to the == DiRcfor every~. ~
caIebdar from eel after the date AfIJDtJ'J acquires fte title to the . . .
6. },PflII'tY l'l'at to 'NP.llfttillte with orbeD.
a.
TIle Aglmcy cumI'ltly deems the redcvclopmczt of the Proparty ibr a ftasiTtle
Pmject~ be ~fI'1l fiIrthcr nMew and COIlllidcratIon 8Dd the Developer
( C be to unclel'IaIte the tlIslt of =:I! the dctai1s for f1c
i:ftt . . .ty and Ute Diiiiag~t of process.
~ the Ncaodatbl PlII'iod~ ~ ,hAIl DOt X* ~a!lV other
pman 01' C'Dfity ~ diSpOSitiOll 01' 1lie'
rcdcveIopmart of all 01' any portion of the Project. The term ...........,.,...., as used
...... """ 1M...... .. ~A .... ........ .......
e.....-.=~ _.-l:~~~
:=JlKlDODI/'1la ties. .
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to
f:haeIzv.u 14ogad11s 0WlIed by tile City IIIllIIor tile
.. S1Net, SecoDd
Of not ~ by
which prcmdes lbr l~vuod ~ ~~Ii
_ 8Dd other -- 8ftlIlIIlllp adjacent 8Dd in I'l.....a.aty to tlro Pr6pclly.
SlI!IJect to its ohfi&8tloDs lilt ftJrth in ~ 6.b. abo'Ve, the AffJIlI1! may .,
pmrido any other hdl.,Il..tlon in i1s pc,msrim 1bat 'MlUld cusk.II'RrUy be
1iImfIhecl to ~ req~ ~ from the AprJt;y reprding ftc
Plopel'fy m:1 other Apftcy public i.d':"'i-rIon COIl""""';"I i1s 8divities, goals IS1d
matIIlt8 of a silDlJar Dllture, Of as JeqUimI by law to be disclosed upon request.
7. A........~ Coc..~..I:"Il.
During the NeglItiation Period, the Agrmoy sbaIl:
a. at the request of the Degeloper, use its best efIbrts to -hie wriUm mAtfoJoipl"
and doc.Url'I'I'.m IeIaIiDg to the Property that II!e in the pollSeSaOJ'l of the A~
b. use its best oilbrts to pnlvide approprlato IIIId timely commenls to the Deve10tcr
with mpect to one Of more concepl'Ilal dcv~ p\Idls, as may be proposcd~
tile Developer filr tile PtqJCIClt, IIIId the redegelopmeat of the l'1ul"'lty, ~
but not Bmited to. COI'~ru..l p1aDs Of studies of vacation. fI'!lIU~ jor
.~~:?~=~=
-;~::~=~~~=~~~!
discnlion- BIId authority with reprd to 8l1pp01't IIIId approval of any c1eve1OJ:l1!*lt
pecnit applicatlOllS that may be IDec1 by the Developer durlng the ~
PcriocI;
c. use its best efforts to ensaI'll that the Developer has access to the Property c\udng
the Negotiation Period lbr the purpose of ..o1lductiIIg customary clue diligeJ!lce
~~-:OebseJy.:th::n.iDc~~~:
. .. nc:;'=~~:&Yt:=-:=~~~
at some Ief<<' .
d. use its best efforts to provide tile Developer with iDflnwation Of copies orlaU
reports, studies and other infi:lrmatlon in the City's or the Apcy's posscsslon
relative to the F.~tl and the status of the current building plans, coadit\oQal
...-..wso.1
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1lIIl permits, VlNUfIINJ1 ccrti~ BDd other City approrala with respect fD lhe
bul1diD& ..b.....m..es md the rt..put,i 8Dd
.. .
UIC i1s best efl'ortI to COOIdilI8le the 1oeatioa of parkiDg lIJId the iBibiIi:ty .\Of' ~
piot'idL4 ~ !!Jhc ..0,.11.-...<1 UIC of CJJHtrIlIt BDd ofr~ ~ r
{_.ihe ill thnioillity of the p~; lIIId. ".
\l8C its \Pt ~ 1l'lIddre8l-mIY _ within the Dun'llklNJl. Area and,m... ......4"
partkIuJar _il, iIsues m1ated to the viciIlity of the P1U)4t,; Iv
1lIIlita besteflbrts to ~8Dd other securl~ I'~
~~~~==::;"'''=::~t BDd the'--. . .I..~:1{
liouft of opcratioa BDd tmmbcft of llllClIlity pc1--1 m..&<<f ill fin1heranc:eJof
the redevelopm_ of the Property; and
coaslder ill good faith the !)lllpCIIIllIs submitted by the Developer, respoDd wi$in
the times pl'O'Iided in this ~ IIIId provide the nc.d.oper the c.wwrtoult.v
to IcspoDd to CO""""...tlI bei'ote ~ any fiIlal deelslon OIl proposals submitted
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8. NAantltot1.... of the DMC.
~~."(?,v--~.6 ?J'-J-? ",~-t: ~,..~. ~I:'"
It is the intmt of the parties that ~O\llll' BDd the ~ ~ the ~
aDd CCIIIIIitioIIs of a DMC . data that the the DlIC [/ I
Propo to " of this and the ead of the ~ .
Period. Not\4ifbdl1a..RlIg such commitmcDt oftbe Agt:IMy fD negotiate the temIs IIId ~ iJ;'i
of the 1iIIaI DMC, . ""nUWlOd bcrek1 CfII'I'MiM tbe Staffto.,-.mn"""'" ap~of
any :fiDel form of a DMC fir OOU~ .rlmi ." __ h
e>-m1"'*"'t1 . JIM' Col ".. ....loA be co- .". .ltted to """I""
a RII8CllI. this or reasoa. IIIlY other ~ of
tie ^fIilJfJY, tIlO AgcIJI!/;'/ Sta1f at the CommlftlOll prior to the rondMi1lg of a noticed puijIie
meetillg OIl the consideratiOll of the DMC irl the -"'''1 as required by law.
9. Conoideratltm furf,"~ A,..;" ..._llItd Reser.-Il"" ofRiI!bt8.
Itt eonsidcratioa for the ~~ into tbis ~ the Oeleloper win
1II1darti& its ohllpl'l......1lIICIe.i tbis " llJId pro\'ide the with copies of all ~
and roports lIIId other i:Ilfo.nuatiOll geDeJlItId by the Developer or ita _1_ regardiIlg the
Pmject to be 1Iaed ouI.y ill CODDeCd.on with this AgmmeIltj provided, ho",OWll, that~ ,"
forth ill tbi& sbaIl obliptr: the 0eYd0pcr to the ," ). I. 6.
=aa:::~-:;;;;:I=~:;:;=if:~:a:: ~
for IIl1y reuoJS, or the AypJr:y &.ib tel exteIId the N"iotialion Period, or the DMC is DOt filIIilly
app104eCI by the AfIIIltlY, for any mIIOD, neither party sbaIl have any ftJrther obIipIioD to the
ocher under this AgmmeJ1t repnHng the acquiaitIcn, rcmse, redevelopment or demopment of
tho Property, acept as provided ill tho AMoipllelrt and Assumption A.,J.....1lCDt. /.6 .l<H7" .u.C
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10. 'PI-m....lllrdn...lDft. ~1lI-.1.A..n......._ oftheParlies.
Certain &.4dopmclDt .....ds and desIp CClIItroIs tbr the prqject rIIIf be fJI'IIlbIl~
b.A:..nD the~ lISIIlthe AgtmIisy,1lut it it ~.4oud by bothpeltics tW tbo Plojeet ~
cW;1l111 to the.QlU.~-~~8Dd :;'''' =. !be ~sbBll ~
~... . tho DfteIopcIr'..... . IlJrnllf s m pawldi:ll& ldmDatioIl m ~
witIi. the De~'1I Vi_dtivA of ch.....b.as. p18as, and speclficeli01ll, Nothing in am
~ shaD be --'~ llWf"..J of my p1aIls or ~8tlom tor the Project iIBolf by
either the Ageacy or 1he City. .
11. "QeYllI~ ~...elal Df.sc1osuml.
Subject to its l.&lm rIgbts set 1b1th in SactioD.9 ~ 1he
tbat it be to certllin .
ifB or as plitt of tho due dillpocc ~l/Jl8 at .
raJstbIs to the pUIbdIiaI. de\Ielopment of die P1ojeat. Tbe pgties =c.,.l~ fhat .
~1 disc108lIIeS may _In ~ ldltmstion telatma to other buIidesa h~<of
tho Developer. thtt the ~ ofsacl i.,fi,,"""km.1D tbird Il8Ities coald 1- Oo..'m",,~
UDll:lllDlllblo .. ~ ~ OIl the DeYel~ AocordilIgly, the AgtJtfpy
8plCS to iiiii1dIIiD the confiJOft'~ my balib:lIIs records !bed in a(;._.u,~.1Jt ~
~~ flU 15. 81 IIIllY be pICl'9ided by the Developer to the AgeItey or its consa1tants.-
p.;...dfkld by law, T.be ~ shall acMso the Dmdoper of my Public Records ht ~
fbr snh business rc:cotds, and the proposed respoase of the AgentS)' thmeto, a m"O~ tIInc
priortothc Aa=eY'tdeli~ ofsuch fClp01lSe and, if the AfPIICY JllOpoICS to disclose any tUCh
bwliDCllS rec:mds, the Agr;a;y thall firIt ap:e to contbr wi1b. the Developer to _RIder any
objections that the Developer me.y have to such ditc1osore,
12. NondiSCElMmRflon.
The Doveloper shall not discrimiDatc agaiftst nor lHogl..ptl:: my penon. or group ;of
pertODS Olt accourrt of I8CC, color, creed, reIigloD, sex, DIIl'ital status, handicap. national OI'igIncor
am,alry in unde1lakfng its obligafiont UIIder this Agreement.
13. ReauiIed~
No DMC bcd.4CCII. the peIties sbBll have IIDY fim:e 01 efl'ect wrti1 tho lams and conditions
of the DMC are eonIidmld and _"ved by the go.Mlfag body of the AJ1.etJtr/. 81 rcquJMl by
law.
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14. Pless RIll ·
The Deve1oper::=di_ my press releases it ma~propote relating to tte
P'l:vp&ty or Project wifll. . ~ Dk~ of the; Age:M'1jOY his designee, prlorto
publication, to astIIl'll aDd eontiamDcy of the iDfo1mation. ~ 1
<1116.4491"''''''1
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All ~ requiJed b...~....dcr sbaU be pr""tI'ted either (i) in pmoIl or 00 bf fa atxI
lJ(a.Ii.I...,d by Pint Class wltl1led or ...ptered 1Jaited Slates mIi1 with mum recalpt EeqU . i I
Notice sbaU be delllllAld .....fh.ftod by UrIited States mail efl'ectl.ve the IOOOIld .' all day'-
dllpOIit with the ~ SllIIIes Postal Semco. Notice by pll'IOIlII. iemcc sbaU be lit- "'"
6ctm upoa deIlwry. Bi1IIm' ~ 1'II81~~ifs.ba~:=t:.=% of1.lDtico by DOtifrijlg
the Glkrpllrty ill wfttiDa. NoIKIe be ___ ---- whal the DOtices hIM
beeII. v.."J:""1:t c:IclIl'W:nO '. provided in tbls SeotioD. t....\i1css of whetbet notice has beleD.
delhereclto ID1 oilier pclI'lIQl'l ~ to ........i.e a CtSf1'I ofsuah DOtice. Pailme to p.uy;dc notke
10 ID1 pmoIllilltecl bl=ID to ~-4y" a copy of mIticcs ah8Il DOt defeat or =- as iDoompJete
anyDOtice as delivered to the other party that is. ~ory to tbls Agreement.
TO D1M!LOPBR:
wrrHA COpy TO:
TO AGENCY:
Pa..aIttvrJ Development ~. Ino.
MarIe D. PayDC
34 TesIa, Suite 200
Irvine, CaBfomia 92618
Pax: (916) 669 4841
CVM Law Group. LLP
34 TesIa, S\1ite 200
IrYine, Calitbmia 92618
Attn: Fredrle Albert, Esq.
Fax: (916) 669-4860
Redevelopment Agency of the c;rty ofSlrl Bemardino
Attn.: Emil Marmllo. JDterlm :Bxeeutive Ditector
201 North ''B'' S1reel, Suite 301
San BemardiDo. CalifOmla 92401
Fax: (909) 888-9413
16. Aooe. ."'1_ of Am:~....t b'( the DevelO1lll1'.
,!be D()~ sball ~ylla<l()~ of this Agreement by deliveriDg thtee
(3) counterpart _ -~ copies oftblS _ .
-
17. .4Hthtwltv.
Bach~" 1t~ry to tbls ~ rcpreseIIIS 8IKI _bollb that he or she bas the authoJity
to execute tbls A..~ 011 behalf of the principal whom he or she purports to represent.
18. QnIWraI 'J'em'imninn by DevelO1lll1' or b't' ;''f!'''L'V-
i
a. Tb.e DlMklpcr may, in tis sole 8IKI absolute discmiOl1, ~ an e1ectioIllto
MJDinate thls ~ provided that the DewIoper gives at least a ten (10)
ce,kDJ.r day ~ Mltttu notice to the Age/rI::y. .Lthe ~~ ~
this Aateement. it shall remain respoQibIe tor ygtfOmsaBee of its ~
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obrlplfnn- set fDdh in S, liflll21 oftbis Ag!eement with .wpect to any acts,or
'~_. ~llll of tbe ~.,/k,par .......ulimg prior to the ~- date of 1he
-mAffftD, 8IId uth... ..iIe, Deither paty sbaIl have any t\uther rights or
obl~ to the odIerpaty h.....-der.
b.
The ,:m ~ exercise an eJcc:ti01l. to f/'ltlN- this Agreement other ttiam
as ill 12 hctteol. -
.
19. l'"lAfWltlt.1IItd ~! -,~
Failure or delay by citbaIt party to pedbJm any mafeiieI tam or proviIi01l. of ttUs
Agmcmat sba11 ~ a de&alt UDdet 1IIiI Apcment; ~ howner, tb8t if tlIo JlIIi,ty
who is otharwlIe "hOlntNI to be in d~t by tho other party CO-clllll to oorrcctlor ~ LJf-:
thcall withinfift 1.-1,: I der~ wliffal.nadae -,--~
IIIIIlh _ sba11 hi. 1iIot 011 or , with
party DOt be dt.6alOd to be hi. c:IeJimh
The pmty, which may claim that a Mflmlt bas occmed, shall. pc wdttel1l1Otice!of
default to the pmty in dcfilDlt, I}lllCifyIDg the alleged d"""~ Delay in giving suc:h notice st,ll
DOt COIIIlit!1lll a watfer of any default nor sba11 it cItanp the time of daIimIt; provided, Iw~.
the iJ!jured plIrly sbaIl have DO right to exerd.sc any .(~1 for a default as set ibrth bc1jin
without deliYllring tho written ddwlt IIOticc as speai!ed ~
AJry &llure to delay by a party ill asserti!lg any at i1I rights and L"'''~les as 10 any deft4t1t
sbaI1 not upClAtc as a waiver of any default or of any rights or remccJles assoc:iaterd with aaci a
defiIult
In the event of aD UIlCU1'eli material bleach. the party who is DOt in default sbaIl be cn1itIed
to seck any "I'}Uoupriate mmedy by fDltiatlng legal proceedings; proWled, ho.......... tImt. otIlcr
tban with respect to a Dcve10pcr default in fid1fDg to perform its indemnity obligations set fotth
ill ~nn 21. (t) the AgetJt:y sbaIl not be emltled to ~ific pmr.,..,.......e at other equitableior
ill.j1metive relief apinst the Developer for a defiwlt by the Developer hereunder.
In the event tb8t a matcrIa1 breach bas OClCW'l:ec:I and the _peol1.mh1g party bas !lOt
cured such breach withUl the period offime pmicled for in this Sectiol119. the party who is !lOt
then in de!ilvlt may temtlnaIe this Agnx r,,~ lit by Illl'Ving the other party with a written notiee\Of
"""";-w.. and thereaflllr, the ~ sba11 ......,1...<1.. an the date specified in sueh~.
which date shall. not be arIier tban the later of (i) tcJl. (10) calem:1ar days ib110wing the dale:of
._ of the notice ofteIminatioD. 01l. the other perty or (ii) the date otheIwise specified ill. SIt:h
notice.
20. A-' Fees.
If any party hcmo files any action or brings any action or ~ the ~
arisina out oftbis ~~' or II. made a perty to any action or Pst: a tbhI
pllIty, .then as lid.. .-L tho Dew1apcr and the Agt/IJcy, the pmai1iIla pIII'ty be tld1i&cl!l'c
,coo-.M as aD olllDHlDt of its costs of suit, and DOt as damapl, its ~b1e .dkomeyS' fees JIll
fixed by the Court, in such acti01l. or j){OCeclAI"8 or in a $OplIIate action or proa".tlh1g bmugbt~
mf.44fto4t5O.\
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JeCCner such ~ bs. h 'b.:t~ the Do~e\opclr lIIld the . the .........n;"" 1lIIty
shall be dt1ed to MeCOvef .. III ~ of its CClIIII oflllit, alt a ~ ~
. Ilea as or or ill a .-.-A. aclion ~
pro~ btw&Ilt to ._1UClIl atic>1'l1IlyII' fees. In. tho mIIl.ttho Citybt' ..,~ a party to sPy
such lICtkm arpnlClC~~ng or otbl:rwi8e P",.II- to ~21 hen:o~ the warda "r~II-""""
AH. ..I.e.... feet/' ill tile cae of tile AgetM:1I1ba11I....1tlM the 1Ill'''''cs, .COIlI IIllCI u...dwla4 \of
lawyers employed in tho Office ofthD City A.tklrney of the City ofSlla Be:mardino. I
21. r~UWflftft
Bach party aplClI to hlMmnlfy. }l&ufl,..t, defend and hold tho other. lIlId. thoir o1IiceI:s,
mnplo,ees 8lld apts, harmless fiom 8Dd apimt. withoat !lrftllaticm, aU IICIioM, causes)of
dOll, ~ "~",,i!l. """"'rI. judgpvmtll. costs. expcIlSCII and peIIIIl1ies (mah1Ifiag. with4ut
BmitatioD, aIfomo1B' fees, COIIrt costs. c.u-olIllwt files 8ItcI costs, ami all ~'1ees and -
coelsh_h<<lln CA""'! ,II.... withal1 appeaIa). to the ex1lIlnt IIrialDg fiom or ItIIafed to anyuacml:d
. ~
dafimlt by the other party 1IetealIdet or lIl1y j$ltWlAl """'llIIlduct or Nlgt;gp.nt act or omissltm.
of the other party. its agents, _p.... r....6 8JldIor incIepeadeDt CODtractots (anci the 1m ~ ~IS'"
e4Ior P"lr of eaeh oftban) m JKlI1''' \..1.... ~g, or faUiDa to ~ in its obligPfl~
!l.......wtder (collectil'ely, the nr.~ 9id.idt.d, hu....m. tJat (i) tho ~ i>1d. J"'~
ohlp.... shaI1 not apply to tho CllttImt atJ:y CblimlI . out of illY cIeAtu1t by the other partyim
}led'ormiDg i. t'Jd1~ set forth in this ~,.~nt or to the CltteIItthe other party'. ~
in lIl1y I~ m-"""" or lJ guilty of gMl negligeac:e anci (ii) the fb~ Itvl-..l1y
~ sbaU not _ eay CIalm fbr .........I.lay orpanilml dmIsges 1IDless the other pal'C1 is
gaUty of malice. The pm.ty tJaim""s defilult sbaIl giw the other party wtitten notice of tl1e
..........eaa of fIIl1 Claim for which it seeb """"""IV 1DUIcr this Section .. }l&UUlPIl1 ,as
pIlwli'llah1e foI1owln8 such party'11aJow1edge of the ~ence of such mattl:r anci the .
perty shalIllllIIlOIlIlb\J 00upwAte with the other 111 tbc deftm8c of any such Claim. This Itvl..mn!ty
pnMsiorl sIIaIl_.ive the CXCClUtiOll, deliwry. ~ IlI.dIor termlnJlfitm of this ~t
ami sba1l apply to the City 111 the same DUl1D'ler as it shall be applicable to the Agency.
22. ("..-in... Law: V"""e.-
The parties hereto ClltpI'CISly agree that this AgreemCDt sba1l be gONneci by, Metl"4-d ~
under. and COtIStNed and enlorced in aceordInee with the Jaws of the State of CaIiftmia.
Further. the parties 10 this ~,,~AdJnt hareby lIl!JCe that lIl1y legal actioJls arialng from tkls. .
Agreemal1t shall be filed 111 CaHtbrnia Superior Court, in the CoU1lty of SIll BcrDarcIino. 81m
Bernardino District.
23. ~ldrqy.
If any term, }'ll'O"ialoIl or portion. of this Agreement or the appIicatioI1 thereof to Ill1Y
person or clreum8fat2ee lIb8I1, to 81J.Y cztmt. be hrvaIid or uaenfim:eable, the re-it>dflr of ~
ApemflIlt, or the appUeation of such term or pro-risimt or portioD thereof (0 perso!lI:ar
cirelialSlIlI.ccI other tban those as to which it il bcld imalici or unenfon:eable, sbaI1 not be
4..t..d theteby. and each such term and p1l1rlslon of this Agreement sbaIl be vartd and enfORled
to the fullest cxteDt permitted by !tw.
4116-44t1_1
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24. ~ ItdI:ftt to ~ Third P8ItY .j~~:". ~,
The parties ilItend that the riIbIB and obllptOllll under this AsMJll.J~ shall beacfit IIbd
1mrdcm oiIly 1Ite parIiu Jlaeto, amcl do not inlIcnd to nor shall it cnatc 8lrf rig1d8 m. or rlgbtof
actio.a to oribrthe 1IlIe or beDefit of,., third party,lmlladlng IIIIY &OVc."WI~ agency, who is
not one of the parties to this Agreancmt. ,
25. }Vai'wn.
No weiwr of tJff1 bzeach at,., C6.-mt or pro'\'ision herein """",huod shall be deemef a
WBiwr of rIll1 ~l\g or ..--f~ bread1 thcno( or of au.y other ..6.~ CIl' ~n
herein 00"mlllc4. No ~OD. of the time for p.;tfI,{""IJIt'.e of my tV>nptl..... or act to be
perfiwmod herein sbaIt be cIeetlotd t9 be an exfrlD8ion of !he ti1Ilc for perfCll'lll8ftCe of any dOl
obligation or act to be perlb.t:med UDder this ~
26. llntire AtiMtJlmt.
This Asr=neat ('mcluding Tb:1dhIts "A" and "B" IS atl8cJ.erl bemo) is the ~
~1>l:n'!IIl of. and C/.D... the CIltIre l18RC1Deat bot~ the p8dies with respect to the ~
m&tttlr b=of and ~medes all prior Ul1dtdh...ll'9 with respect thereto. This Aitv<A1CDt_
not be modified. chsDgod. auwJemcatl:d or ta'lftl-...l, nor may my M11gptit-1Iemmdet ~
WIlived, except by ~ inabub&ut sIglIlld by the aWI~ party or by its apt ~y
authorized In writbIg or IS otherwise c.xp1CSSly pcmIittcd herein. 'Ibis Agteemeut may be
cxecufed in one or lI101'e CudI1tel~lll, cacb of which shaD be m origiuat, and all of wtdbh
together shall ~ a siDglo h:.sb.umem.
'2:1. '1"1"", oftl---"",.e.
Thnc is strictly of the osseDU with respllCt to each 8Dd tsVerf team, CODditioD, ohl~
and pro'rision hereof FaIlure to tlmol.y perlbrm 8lrf of the terms, eondItioIls, obliptioDsior
provIsfoas hereof by either party shall .....Illditute a defiIalt 1IIIdcr this AgreemeIlt by the party $0
fai1iDg to porCorm, which dc.fkuIt can be waived by the other party at its sole and complete
discretion.
28. 1".nn....U!tlnn
}.J"",jll1,glt at the b--'iSI....I..g ofllllllh Sect1cm, parr.r;raph and subparagraph are solely for die
COIl'YCIIiCDCll of the parties and are not a pert of this Agrecn'C'ftf. ~.... required by ~
context of this ~t, the sfDaaIar shalJ include the pImaland the ..........11n... sha1llnelrde
. the ~inlnf'! l8lli viee... ThIs ~sha1l DOt be COIIlllnIed . if it had beClIl...~6d by
0Il1l of the pllI1ies, bat rather IS if both parties bad !"~ the 8111BC. Unless otI1crwke
iftdicated, all .ofei=ces to Sections are to this Ap,.......'.l lhkihit "A" IDd lM\n.l, US" U
~ to in this Agreement is attached hereto 811d ~p"'4t\.d hen:ID by this rei..."""" . if
fully set forth hereitI. in its entirety.
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41_.-495D.1
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29. ~yn.tI!..t ftJr 1'leYelu._J.4.nt t"..l'IMI'IltIttcr L ..~-
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: ~ ::2 in .. atl8eJ-l __ or ~~
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-"..,..,..._------~_.-...._.._-_._~
IN wrINBSS WHEREOF. p......;t<...: DeveI''I.\I~nt ec.....-Y. IBc., tIIUI ..,
Ld\.ul>Cflll(..f.ApDc)' of1hc CIty ofSlmBemlrclhlo fllI>>-'" tllls ~JUabt.lq.
A. ,1IIllP OIl 1hc cfates jaAI<eterI IItlIt to eaah of tile ~es of 1Wr ~
j~_ j~_ 811bcy appesr bekJw. lIIld tllis AgreemaDt sbaI1 be d<<mcd to be ill fall ftIrcc _
. e.frect upon the BfIllcti~ DaIle.
Dated:
Dated: 3!q( II
App~~. Content
By: V. .. .
Agmcy .
4IM-449l-mo.1
DEVELOPER
PIIIatttd Dewlopmeat Complll11.lDc..
aCaMmMIiU~
By:
N_ MarkD.Paync
Its: Ssi01' Vice Plesident
AGENCY
RedemopmeartAgeacy oftbe City of
San Bernardino. a pabl1e body. ~atl:IlIIld politic
:..~.
Its: JnfAlrim Bxec:utlve DIrector
-14-
58
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(For convenience: 1/ 10/11 typed version 01 1/10/11 handwritten memorandum submittal lor Public Record)
Memorandum
Joint Public Hearing
12.6.10
Mayor Common Council · Community Development Commission
Agenda Items 23 and 25
Submitted for Public Record
Date: Monday, December 6, 2010 (continued and held Monday, December 20, 2010)
I
EXCERPTS. . . . . . . From
Warner Hodgdon June 1.2009 Lener 01 Support
to
Mayor Morris and City Council
"'I have appreciated Mayor Morris' and the Council's courage to put an A.ction Plan on the table. as no action plan of socio .
economic viability had been implemented in over two and one-halt decades. Since the 1970. 1985 political and economic successful
days of the Central City, by 2009 the City. County Seat has faced years of falling commercial and neighborhood property values.
decreased revenues, increased crime. blight and decay."
"'The above has caused on-going higher income residential socio economic flight and infilled with occupancy seeking lower
rents and foreclosed homes, etc. Thus, the overall City North and South areas, but not limited to, have earned a "POOR IMAGE'" of
blight and decay that needs to be cleaned up immediately."
"I feel from years of experience that a confirmed North I South $2.:t Billion DUAL FUSION is required; or the EDAW $1 Billion
Central City PREFERRED PLAN ALTERNATIVES will have few persons left in the City to Sustain Downtown alone."'
"Members of my Heritage family first came to the area in 1848 ,1849. My entire life has been only love for the City and
County Seat, as it is this moment. I have done my best to be a giver not a taker."'
"I will soon submit an updated plan for a concurrent $2:t' Billion North.. South Dual Fusion for Quality of Life,"
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$2 BILLION NORTH. SOUTH DUAL. FUSION
DUAL VISION.."FUTURE QUALITY OF LIFE
1853..2009 HERITAGE OFTHE MOONTAIN ARROWHEAD. J&S4. 2009 CENTRALaTY
ARROWHEAD PU.ZA . COUNn' GOVERNMENT CENrER
NORTH END ARROWHEAD RESIDENTIAL AREAS
I
I
CLEAN . SAFE. SECURE
I
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Ifor convenience: 1/10/11 typed version of 1/10/11 handwritten memorandum submillal for Public Record)
Memorandum
Submitted for Public Record
Date: Monday, January 10, 2011, 3:00pm
To: Mayor/Council-Economic Development Commission
MC . EDC
RE: EDC Agenda R24
"The CDC receive and file
relative to the update on
From: Warner Hodgdon: Life Citizen, Builder, Contributo
EXCERPTS. . . . . . . From
Warner Hodgdon June 1. 2009 Leller of Support
to
Mayor Morris and City Council
"I have appreciated Mayor Morris' and the Council's courage to put an Action Plan on the table, as no action plan of socia
economic viability had been implemented in over two and one-half decades. Since the 1970.1985 political and economic su(CeSSfl
days of the Central City. by 2009 the City. County Seat has faced years of falling commercial and neighborhood property value'
decreased revenues, increased crime. blight and decay,"
"The above has caused on-going higher income residential socio economic flight and infilled with occupancy seeking lowe
rents and foreclosed homes, etc. Thus, the overall City North and South areas, but not limited to, have earned a -POOR IMAGE~ c
blight and decay that needs to be cleaned up immediately."
HI feel from years of experience that a confjrmed North I South 52::t Billion DUAL FUSION is required; or the EDAW 51 Billio
Central City PREFERRED PLAN ALTERNATIVES will have few persons left in the City to sustain Downtown alone."
"Members of my Heritage family first came to the area in 1848.1849. My entire life has been only love for the City an,
County Seat, as it is this moment. I have done my best to be a giver not a taker,"
"I will soon submit an updllted plan for II concurrent S2::t Billion North. South DUIII Fusion for Quality of Life,"
$ 2 B ILL! 0 ~ :'< 0 R T H S 0 lJ T H D L A L F c' S .. () \'
DUAL VISION.".FUTURE QUALITY OF LIFE
IKS3. :!(1l.19 HERlTAGEOFTHE MOUNTAIN ARROWHEAD' 1854' 2txJ1,l CENTRA-LCITY
ARROWHEAD PLAZA . COUNTY GOVERNMENT CENTER
NORTH END ARROWHEAD RESIDENTIAL AREAS
CLEAN . SA~E . JECURE
MUTUAL SUSTAINABILITY.....ONE SUPPORTS THE OTHER
c{-?
~
EXCERPTS. . . . . . . From
Warner Hodgdon June 1, 2009lelter of Support
to
Mayor Morris and City Council
"I have appreciated Mayor Morris' and the Council's courage to put an Action Plan on the table, as no action plan of socio .
economic viability had been implemented in over two and one-half decades. Since the 1970. 1985 pOlitical and economic successful
days of the Central City, by 2009 the City, County Seat has faced years of falling Commercial and neighborhood property values,
decreased revenues, increased crime. blight and decay."
I "The above has caused on-going higher income residential socio economic flight and infilled with occupancy seeking lower
rents and foreclosed homes, etc, Thus, the overall City North and South areas, but not limited to, have earned a 'POOR IMAGE' of
blight and decay that needs to be cleaned up immediately."
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MEMORANDUM
Date:
Thursday, January 20, 2011
To:
Mayor Pat Morris, Chairman, Community Development Commission
From:
Warner Hodgdon, Life Citizen, Builder, Contributor
Chairman, Redevelopment Agency 1967 - 1969 and 1973 _ 1976
Financial Consultant - Project Coordinator 1969 ,. 1972 in Joint Venture with
Hornblower, Weeks, Hemphill and Noyes, member New York Stock EXChange for: Joint
Powers Authority Structure; City Hall Civic Center, County Government Center .
A~.._...L...._... nl___ __..J ....:..... n__~___l ....__......... ...,
. --.- -
I "I feel from years of experience that a confirmed North I South S2~ Billion DUAL FUSION is required; or the EOAW S 1 Billion
Central City PREFERRED PLAN ALTERNATIVES will have few persons left in the City to sustain Downtown alone."
"Members of my Heritage family first came to the area in 1848. 1849, My entire life has been only love for the City and
I County Seat, as it is this moment. I have done my best to be a giver not a taker,"
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$2
BILLION NORTH SOUTH DUAL.
DUAL VISION....FUTURE QUALITY OF
1853.2009 HERITAGE OFTHE MOUNTAIN ARROWHEAD. 1854.2009 CENTRAL em
ARROWHEAD PlAZA . COUNTY GOVERNMENT CENTER
NORTH END ARROWHEAD RESIDENTIAL AREAS
CLEAN. .5AFE . SECURE
FUSION
LIFE
qef
IVDA
MUNJ JOINT COOPERATION
QUALITY OF lIFE~
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A1J~.,-nIURSDAYNOVember:t72ll11 ~'. ,,~j '" ~:"~"ST8iliES:FRO.t,STORIFROM
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P. OVE,.:H' r,T... -.,'y,' '...\...._... Some who' were; barely ,the hOnl~ after tbeyc'ouldn't 't~, besrod.
. ...1, able to. malie ,enilsmeef in ':keep upwith payments. Now e city has added thou-
-:c'cO ',.;',''',';:'', Los Angeles InOvecteast af- ,tliey and'their rmir children i ds ofiobs iil the past sev-
=:p~~ent-3nd fore-, ~~:::~~~:~~~ee~!:~' :~:~~~i~oh~t:~~~? fro~\ ';, "i1StTto~s:~~~tl1~::1
closure rates'~ the'country,' ically must leave their fami:'" ,.Loistine,-Hemdon;.6l, the ~ "eSlforiii~m-;i;oinpanies
an~ R.eople.throughout ~iv-.ly, friendS ~il child-cBf'e iie,t- eX~!iv~ t%'ctol"~f~e out~'cli:#~StirterB:os" ,Kohl's r if
erslde ,and San'Bemardmo works behind." :,' . "reacbcenter; has lived or,lbd ~ Moms Said, But 'i'rO
c.ouni1~.s. 'haye:b...eeI)Pus.hed '. ,.,Wheth'erS.lived'in. 'Rive. r-.,....W'O......,k.e....din. san. '.l!ernardIDo. al-R-.'o..~, t. .o.,r.t h. .0. ~e. n. e. w.wor. kers
into'poverty"ce~susesti-.side.wben ~be '!"as.7ari1ing,,~ost~e,r'e,l)tirelife, Shf~, d;l,n, ~w~t toliveintbe city,
mate~i'show:.JndlO had the"$37,OOOayearasalaboratory~n~verseenltsobad. >"'" 'Iie. ~ d,{,' ,.
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. I.,;Uum"T~.'"I!(t~t:,U,~,~UVUSIJ~U.,. .".rvueLnerS llVeUln ltlVer- WOrKeOml:)anlSernaramOal- wast/ot tno~e new workers
~9ta,;~ltY~r,t~;'t,~~u~ ~sti",&.de,\ViJ.ep s,b~ ,:-v,~~~lIfIIiI!g"'ttfP~~,i?e.r,~,~tire}ife, Sbe'.sdanlwant to live in tbe city, {
ma.t~lIliSlI,l)%il!!i!iO'had ~e'?$37,OOOlfYearasa1alior~lory"nevel'SeenIt sonad." '/rf lie ~d., .
. bigg!f~m!1tte.~~~:Jl!lVe~J!ecil';l~91'w~~r",'W:W,:i~~p1.:Yf:h~,!,}s,ball,there are." ;/(Wllike . mos~ly.middle-
Q.f, J.b.e.:m.:.",. 9. .t.U. ,i~~~i,tI~~..'1'Vl~b~.,.:. mSa.Jla.c~t.ate.db~. r,i. 'a.lldS.b...e.'.f,)1l.,. a.. re.,p. e,.<?ll~e.. I ~klng far a '. S~s Inland clbes lIke Ran. _
. .~.lJl109I.;moI:e,~pl~;~ensus '.;nl?~r~~o,n.~~m(lnt!Iln,J~~()I1t.al!d. tbe~e see~ to .~~ Cucamol1ga, the city has
~tiiJiatesfrQlD2007 ;mil2010'SOcial'SeCuiitYdisiIbiIiiYin,\be',.mal'e.peaple l'oammg few new, lar-ger bomes tbat
." s~aw;~~~t?~~.dithesi~tb', ~lne.~ro~It'38;'~;onlY}'. 'aral!Ild thl!streets," she.Said. riiia~le and upper-income
'biggest nse.lll:poverty:. : few-bundred dallarsleftJJver;/" At . all ,. tbe 'gas statIOns, p~ple seek, he salli, '.
. "ThepOv~,e~ates for.each ponUFfrOln.lijii)o!?,asa, ~bere's_ always so~eone try- .: :~e very bem ofihe city
theiWlllller'cl~sarelessre-,barper once..bepaystaxeg. mgto wasb'my WIndows or IsleompTlsed of two-bed-
liaql,€ttlian.ror,Detroiror San ',and Child.sUJiport.;-;y!"j!,',,;,';asIPDgfoi'a dollar or some- ro~m;one-batbroom small
.::':~~~f~~i~~~~. e: ..~'a%~~~b~r~ ~~~~ft.:~~~ .'.=k~ot~:~;.anY more ~1::~~;~:v~e t~~i~I~~~
." so~diButtbj! large niun- tbat sbe bopes to one :day ,'" The Rev; Ray Turner, pas- h1lh~ing stock in the Inland
bet.9Unland.:cm.esnear- the leave.'.. .,-.<~.~:;" .;';,:i tor of Temple Missionary E~pire_ Wbo's moving in?
tap~~e_Ji~..,ill~s the,">"Tbe~streets,~eragged,B,aptist CIIuri:b, whicb over. PC\>ple wh?,cari afford low-
crusbilig Impact of the mas- 'lIke tbls,' allbrok~,n up/, sees :tbe. outreach center, cost bousmg, tbe smaller
'. sive~Ss"oqWl&.iIi,~c,,;;':Y?e~r:;,.~lijd,~;jbe'1ioiI!l;lllam~s,~anBernardino's uiUts," '. . .
tip~4,~,~tr,n~ldsi.~e~~~:,~.toJbe,~m~k!l!j.)?aY~inltlt fio~~t!~?spolitks an~ what . GarY Dy,?ski, a prof~ssor
. ;'i>J!wi.ke.:;Rust:!:Belt ..cItIes ".on.Del Rasa.,Avenue .Wblle' be sees as a lack oIvISlon for cf economICS at UC River,
':~ijcfti~tf~Jt:W)"dMilw~u<:,~!#!O~:~,!>~~Pt}'J{~liCi!?t c9ntribllting to. tbe city's ~de, said the census num-
,.k#,t!tat;~a.y~}ol.llllla~ higb~,jlftC!Jl()O!.':ii.'!l:&~';,\~:"1~1:"" . J,p~!e~.s~Tb!'; City, county. ~ers underestImate how (
poverty Fltes;itbelribwd re"'(1~'!lOnith'e:.otherrslde'oUhe .1lnllstiltetIeoo a'coberent riiIch San Bernar-dino resi-
...._....-..-.:,:..~..,-,..:...~,...-'. .'- -, .,....,.. "",'.:-,. .'.'.:.._...-.~.' -""'- ,.'. - d'
gio~oYedsf;rongecoI19m-city, past Vacant lots, board' strategy.,ta' tUl'n tbe city tents are struggling. AI-
.. i.c gr.owtlij",;he;~j1rly,il.'!:4 ;fe4,ufhpuses'a,.~1I~p~0~le "around,; lie s,~~: '." f!jougb. inexpensive by
. .mi<l.:@qo~:ll~~1I~IAg;,to,Jl(:~tj!,":'rj1UIere,4J~~~!l1].gh: , ',S~n~iBll~I!3.!?U1() Mayor. lbuthernCalIforma stan-
sbllQler,fall;!i>!!~JII~re~s.,;'.jngsboIlPingcartSbrunmmg PatnckMoIT}sagreed tbat lards, tbe city bas bigber
~~t.JM.e..'~. :.';...(.!1..:...~tJ.:..,'~.'.!?J.'~.~....J.~...k...e.e. ,s,..mt. ....~..... -,....4...,;,-.:..l.:~ ,l..t.,...b.,!l.~il'.. r..I..are.....O '.~F'.'. 'tht. g,f;u.~. ~~.fi.......... :..h,.,~:pi,too.~.i,.C ,.,~.,~ ..~'~..~.l.:._n..e..fk.~i~. g m..~.~ ~:..;~~!v~~~f{e~OI~~eth.D":
.l'{O!!l}1ll~.k~~\I!~rn~rc9ln<1,;~;llated~!l.lflhes) at ~'remple .' C!tyi~~JIW!he:s:n~.b~ bas " I~ Many people above the
. CDn~lI,~i<.J!!!~~~ll}P?P';;ComlD~~iY.,q!'t~ellCb 'CElll-, '\W9!~~,P'r,mg ~l1tya.nd fficul1 $U,l39 poverty cutoff
. ulaB9111!lIt~rll~ti~l\"'oW-In-T tCI:; before;~I,~gd~fo~:i!., J'9Q~ti9Pi9 p'olitics. ,., Ite ~Iu_nctlOnally poor," be
, cOm!!;;pe!>I!Je"'Slf2ll}..~t.h:er"l'I;ee~9tI11Dcb,~\;;;";':~;f:i~~4f; i%1,'J!$'lp}~ing'ln~be,l980S ~ill/ .. . .::.
. Palj&.pf.tb.!'.,~'."}lIJJ.d r~glOn .;" -Tarres,"!~t",n9 !J.EWL~Il~it! {~q.~s:of:tbe Kitiser Steel I Dymskl IS peSSlmlst!C
,..,a. n.dW~._}';~. s1. B.cg. .~I~sare~,:bap~ II]O.~. d. ',.Il\S...tYF,8r. i~!"fa..IfI.,.,..'_.~..l.,'.;.l.n_t.O;I..,..l1..near.bY. F.ontana, jbopt the potential to slgmf-
J9~0nsillll."..:,~".",. ': '. Ea~t Los:'A.ll!1e!e.!1'~1P~~t~e: t!'l?~n,Air Foi"!'C Base, rail- tantly lower the poverty r
. iideJl~l!S.i"e:~tJl1'\~teS\S,bo~;':~Westside9f'!lill!,:B~1?!~%)' 'ma.dyards fllli;!otherjob-rich mte. State, blldget cuts i'
thllt!leopl~::wb!llIIOVe:d to; wlier.ethey.pl!Y$36dia;mpilthemployersspurred the CIty'S. slasbed servIces that could
'S.'~.".~.. e.ry,ar..,.J!l."lI..0:. :.fr, ~m e.lse-.. fcili." Ii. In. "i',g~. ,~g.~l2.?).~..;,..,;.i~h ;,.~~cline. '~o. m..:.s, said. Reviv- ..Iave cusbi~ned .t~e blow of ,
.' <\$,.~~m\E'~~~f~,y~~':, "It's,.m\!~!l;Al!~31P~F)I~e,~ 'lDg the clt.Yc~~eyears:. h~ ~conomlC cnsls. Federal
ar~:-!),lI!(~t~or~}ik~ly to.be . she 8ll1~'!!1'~papJ!t.1-k'l;h~rSH"!t'S an mc;e1Iibl~ ~mplex lfficlals ar~ proposing buge!
POQlCt~lln.people-,w~O:al--''YhY:~~}1l9V~JJW,}~--;t~",~j>j so~"! a~~.,rc,onomlC Issue," ~ts m SOCial programs. Un- j
!:eadY'Jiy.!!~pHbeclty"''''\\:~'i'!l'h~~oUR.~~~~y!~sbeSilI~;;;~;;',.. " . lkedunng San Bernar-dino's )
'::~f;O\!;q!l!lpevelaI1~),i)JI,l?uf.~llS~WW!}~;.~,:,es..\.For e,X1!ffiBJ,e, high i!r?pout lCyday,. there ar-e few well,
baY~;IjI!l?t Pt:1"J!ll,t ~u nugbt:,,~,~.!'g~2;!l!~%.:a:ftj)IJil)lel0b 'rates,jJi;~cljo()ls make It .I~ss ?aymg lobs for people with
call[~gme.gwwn 1loveI:ty, ~-' ,., sortiqg.r!!9'cla:bles;iNow sbe likely' uudllle,class familIes ow levels of education, who
fob~sq~jil1id;;!llSan He.i;'.'~,W9!Ji;~&'Iiir,.f~~QIml'a..day, ,sett\(lJri;~he'citY"andthat i?mprise much of tbe city's
, narmnoiY!)llhaYe a)otafun,/lfet'llilSl1aiI(l,ls l\ landscaper helpspcg>l'tua.te higillevels ;KlpulatlOn. .. .
. WIWPtp!wel'o/tl~eiJJiI~i#i\~O\llji.s~'pij1iiii'es~linn- . ofpoVei-ty;he said. ,. ):_~ ~Jobnson, of the Public Pol- I
ptg~Q'\~@J~9.;~;{~~~!~~v{{~:1~;-rL~~:"tf':i>'. .,(.:~q:o~~d theci.ty.,conn.. .cy I~sti.tute. said S~n Ber.
qa~"It'~;~*r~:~~t"~~~,~th,e,ritl/!!r~attfieput; ,ty?;,~ta.!C,;lJ!1d .federal govern" lardiIJoIS an extreme exam-
tjveilli~~lh~CaJ!l:o~a".i!F~~i:lic~t~.R~ljiIM,lU'_tinl!Z 'll}~1!t1j1!1ee~to wor~~~ m~re ~leofbroadernational shifts.
.:.l.'flliR,,,,lI,l!fonzalez; e!,ecu";;lI,Il~~:afb':i:\11illlreri,were '!!xti.l~I1[~I~.'~tb"1l,~h?ther. .J. "Partly this is tbe story of
~~ll~l\.l#.Str,a.tegIc Ac~ffil1.i~~theIrm~alOfb~d ~lld!mJl'.;~rIvat~,IJ,!lS;ll1ess rbat'has bappened to tbe
. tio~f8rll~Jusf~nomY, an;tchi~el);beaIJ.s_andrice,'sal" lllldnQnp!jlfit Ol'l;.Illizjltions, forking class in tbe United
. .... ~~IIpJll!e,j~~tle~~WlJ!1izao"::jii~an9 70,rn!>re;t'~.. ''''\'f'"M2m~i~i!i,~~Ql!e ~i1i~rlining State~; not just San Bernardi-
lion:~!Isjll~.S~utb Lo~~o~t1artmez;3~,anll :her InJs-;12'tJ!.\l~ty,sbur:ge.qnmg pov- ;to," be said. ~It's the decline
gelil$..;slUdS@;Bernardino}s,-"bandbougbtamobile bomeeI:tYiratei$thatitJllayattract I[blgb-wage, often union,
. o.n~iti~:tb~"q,iilY"9Pti~s fot "omS\", Be!'nardinofour ye31"s ij1o~~~ntit)~f!;Om.,r6unda- nan!Jfacturing jobs and tbe
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ovations"hext"moritlL~~';.';-'Y~~!;~~~'1"~..:~-~~;~:"1;:/-:-::f.":,, ;~~-".':::':~:' "._ StCll1~ .t~:mal(e,:gr~~ter;:g~'n:s-;ll1ll::l~t~.'tlie_:RegaI
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'.", ment' ':^ffi""'~ '~">",,.l:'as" ,~~,J1Je lease ~ expected to gen. "
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;:t.,: po.Weinoti$e;~~' ierj~bperato" .~~,el~J~" '",. \.: lO~ .m~..-:
, ...c " ,," . "":oJ;''' .,.,..,Itvrevenue.dunng~the:'fust~lO""
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"i:, e'agreement-'""", ,.Qs.a"y 'Aii"X':"~"" ':'~":~;;:,l; ~".,
lo-yearleasewilli'theeiitel'talii-'::."'~ ,.~l!Ilt"Wl~'!l.lt!e,-
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. .--' , '"" ,,,",,,,, Pll'el"""prer ,or ..ne USe:DL'
options w"renew..,up~w;.34': ~,'-"::b' '\,1;."," ".." dSt."'d"
, years;':'''''.'' :(/~:.:r~ 1}..{~1l~~,~t~.: p~~: .}ll ~, 'tgz.n~ 'I~ ~
-<. "~ ,;'--: 4> ~ 'l'I.).~1tik\1'~t'~i.l1'f~L eqmp,ment ~she1te:rs Inl
'. .~;:Ba.fe ~.: fent~':;~ol"~~1~e"~Ji~(:':..19_,.:::~.e',,ye_~~,:o.,~' ~,~~Je.rl~~1~_:
years ,Will' to~:"$$.!j!~ml<p,';~'.'An;]ippliCiltion'tdr,iWasie'
accord~ W "stiff report;~'; 'Tire~riforceineIit;Gr3nf..tmids::
,.... ~'The up-front '<ipital';;';sf'fuf": filimtthelOllif,orriia,,~,.;
.,.' . ,'.' ..... '''''". .o"roeHt'obResources'R","""'-ng'
. .the'San..Bemardino'.'Economic ,"" ':t{"""'-" "'C.- .""~'t'!" ,.;
'.;';'~~i6~i~:~it;~~~? Wi~wr~!~:>~~il'
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1 STATE OF CALIFORNIA
2 COUNTY OF SAN BERNARDINO
CITY OF SAN BERNARDINO
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I, RACHEL G. CLARK, City Clerk in and for the City of San Bernardino, DO
HEREBY CERTIFY that the foregoing and attached copy of the Memorandum (For
Discussion Purposes Only) dated Monday, November 21, 2011, from Warner Hodgdon,
regarding City, EDA (SBEDC-50I-C3), including attachments, submitted into the record at
the Council Meeting of November 21, 2011, is a full, true and correct copy of that now on
file in the City Clerk's office.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal
of the City of San Bernardino this 2200 day of November, 2011.
~~.f/;J1. (O~ -
Rachel G. Clark, City Clerk
c1~UJ~?
By: Lmda Sutherland
Deputy City Clerk
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August 29, 2011
",,"Jv (LV- cL ({ (/V'f'../J'\Sls
&0'-dJ h<. ~/71uJel
CL-t l~(/.ed. h
CjfrC.kl rg!r1 Q .
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Via "el1ular mail onlv:
State Controller's Office
State Controller's Office Division of Accounting and Reporting
P.O. Box 942850
Sacrameuto. CA 94250-000 I
ikasonsouv.sco,ca,gov
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Via electrouic mail onh':
Department of Finance
cmail rcdcvelopmcnt_ adm i n istrat ion@dof.ca.gov
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Via electronic mail onlv:
San Bernardino County Auditor-Controller
franci I iza .zyss@atc.sbcountv.1!ov
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Re: Cil)' of Sf/II Demart/illo Ret/e,'elopmellt Agellc)' - Ellforcef/ble Obligatioll Pf/)'lIIellt
Schedllle
To whom it may concern:
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Enclosed herewith is a copy of the Enforceable Obligation Payment Schedule ("EOPS") which
will be approved by the Mayor and Common Council and the City of San Bernardino Community
Development Commission via adoption of Joint Resolulion al a joint meeting on September 6, 20 II.
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The Executive Director of the Agency has adopted the EOPS for purposes of complying with the
deadline and creating a list from which payments can be made after August 27, 2011 until the schedule
can be adopted by the Mayor and Common Council and the Community Development Commission.
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A copy of the EOPS is being provided to your office pursuant 10 the provisions of AB IX 26. In
addition, a copy of the EOPS has been posted on the City of San Bcrnardino Redevelopment Agency
website at www.sbrda.org .
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Plcase contact my office at (909) 663-1044 or emailme at cmarzullo(cO,sbrda.org should you have
any qucstions regarding this matter.
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With regards,
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Emi arznllo-
Intcrim Executive DirecCor
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201 North E Street, Suite 301. San Bernardino, CSf(fomia 92401. '507. (909) 663.1044. Fax. (909) 888-9413
Email: info@sbrda.org . mvw.sbrda.org
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September 30, 20 II
State of California
Department of Finance
Redevelopment Administration
915 L Street, Room 1145
Sacramento, CA 95814
VIA FED EX
8729 5338 5496
AND
VIA E-MAIL MESSAGE
Redevelopment Administralion@dot:ea.I!O\'
RE: CORRESPONDENCE REGARDING INTENT TO AnOn ORI>INANCE TO
REINSTATE A REDEVELOI'I\tEIH AGENCY
-
Ladies and Gentlemen:
This correspondence is submitted on behalf of the Inland Valley Development Agency (the
"IVDA") being ajoint powers authority comprised of the legislative bodies of the participating cities
and county as member entities of the IVDA. The transmittal of this correspondence to the
Department of Finance ("DOF") is transmitted to the DOF prior to October I. 2011, and is with
regard to tbe requirements of Health & Safety Code ("H&SC") Section 34193, et seq. as added by
the recently adopted ABx I 27. The IVDA is the eligible public entity for the submittal of any
correspondence to the OOF pursuant to said H&SC Section 34193. et seq. if and to tbe extent such
requirements under H&SC Section 34193. et seq. arc applicable to the (VOA either at this time or at
any other time in the future.
By the submittal of this correspondence the IVDA reserves all rights legally granted to or
accruing to the (VOA under and pursuant to: (i) the California Constitution, (ii) the right to contest
procedural irregularities incurred by the California Legislature in the adoption and in the
deterrnination of the effective dates of ABxl 26 and ABxl 27 and the applicability of same to
various governmental entities including the IVOA, cities. counties and redevelopment agencies, (iii)
all applicable State laws. ineluding, but not limited to the Community Redevelopment Law found at
II&SC Section 33000. et seq. (the "CRL "), and in particular those H&SC Sections of the CRL as arc
applicable to the IVOA, and (iv) rights that may be granted to the IVOA by virtue of the pending
litigation presently on file with the California Supreme Court in the case entitled California
Redevelopment Assn. v. Matosantos (S 194861), for which a partial stay was issued by the California
Supreme Court on August 11,2011, and for which a request for a certain relieffrom said stay was
denied by the California Supreme Court on September 15,20 II (items (i). (ii), (iii) and (iv) above
Y:\KKI~9W~ttl'S~dft\ffi,l\i~ff.m!i,fdc\tJdft~ ~lV>"/J~3oCit.Hbt08-0131 . (9091382-4'00 . FAX (909) 382.4106
ht(p"1hVWW.SOd3Irport.com
A PROJECT OF THE INLAND VALLEY DEVELOPMENT AGENCY AND SAN BERNARDINO INTERNATIONAL AIRPORT AUTHORITY
I
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State of California
Depanment of Finance
Redevelopment Administration
Septcmber 30, 20 I I
Page 2
arc collectively referred to as the '"'VDA Lcgal Rescrvations"). 111c IVDA funher reservcs all rights
granted to the IVDA pursuant to the above identified IVDA Legal Reservations to submit a duly
adopted resolution or intention or an ordinance until such time as the provisions of ABx I 26 and
ABxl 27 have bcen finally and conclusively determined to be the valid and enforceable actions of
the State Legislature and are enforceable in accordance with their terms as to the IVDA and/or other
cities. counties and redevelopment agencies within the State.
Based upon the currently issued California Supreme Coun stay and the refusal of the
Supreme Coun to grant the additional requests for panial relief from said stay on September 15.
2011. in the above referenced coun ease, it is apparent that the IVDA is without any legal authority
at this time to adopt through the official action of the goveming board of the IVDA and submit to the
DOF either a resolution of intention or an ordinance as would otherwise be required pursuant to
Il&SC Section 34193 as the same is applicable to redevelopment agencies established by a city or a
county.
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The submittal of this correspondence is further subject to and conditioned upon the reserved
rights of the IVDA, including the IVDA Legal Reservations, to submit a resolution of intention
andlor an ordinance at a later date at the option of the IVDA at such time as a final decision has becn
rendered by the California Supreme Court in the above referenced pending court ease. If you have
further questions regarding this correspondence. please contact the undersigned.
Very truly yours.
INLAND VALLEY DEVELOPMENT AGENCY
Michael Burrows
Assistant Director
Y:\KKB Worddoc\20t lI[)epl orFinance\OOIL_DOF_093011.doe
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San Bernardino International Airport
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October 3, 2011
Mr. Warner Hodgdon
184 E. Parkdale Drive
San Bernardino, CA 92404
RE: REQUEST FOR PUBLIC RECORDS
Dear Mr. Hodgdon:
In reference to your recent public records request submitted to the San Bernardino Intentional
Airport Authority (SBIAA) and the Inland Valley Development Agency (IVDA), you were
provided an initial response to your request which included a number of staff reports and
supporting documentation related to your request, more specifically described as:
.
SBIAA Staff Report dated 10/08/08 for Agenda Item No.7
SBIAA Meeting Minutes dated 10/08/08
IVDA Staff Report dated 09/23/09 for Agenda Item No.6
IVDA Resolution No. 2009-13
IVDA Meeting Minutes dated 09/23/09
IVDA Staff Report dated 07/14/10 for Agenda Item No. 14
IVDA Resolution No. 2010-06
IVDA Meeting Minutes dated 07/14/10
SBIAA Staff Report dated 01/19/11 for Agenda Item No.3
SBIAA Resolution No. 2011-01
SBIAA Meeting Minutes dated 01/19/11
IVDA Staff Report dated 01/19/11 for Agenda Item No.4
IVDA Resolution No. 2011-01
IVDA Meeting Minutes dated 01/19/11
.
.
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Since that time, you have inquired as to the status of the remaining items listed on your request,
and we advised we were continuing to search our records in order to provide you with the
remaining documentation you had requested.
As a result of the recent law enforcement actions occurring on Wednesday, September 21,2011,
on which date several search warrants were executed involving the SBIAA/IVDA offices, staff is
in the process of assessing the status of those documents that have been seized and are presently
unavailable. This unforeseen event has prevented staff from producing documents requested by
way of this and other public records requests. Staff was in the process of researching additional
294 S. Leland Norton Way. Suite #1 . San Bernardino. CA 92408-0131 . (909) 382-4100 . FAX (909) 382-4106
http://www.sbdairport.com
A PROJECT OF THE INLAND VALLEY DEVELOPMENT AGENCY AND SAN BERNARDINO INTERNATIONAL AIRPORT AUTHORITY
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Mr. Warner Hodgdon
October 3, 2011
Page 2
archived files until September 21, 20 II, when the law enforcement seizure occurred as to current
files and working papers located on staffs' desks and those archived files related to
SBIAAlIVDA projects.
We appreciate your patience while staff prepares an inventory of documents, files and records to
then seek a return of such items or to obtain a copy for SBIAAlIVDA use. The document
reconstructive work to be undertaken by staff is monumental given the number of active projects
and related public meeting postings that were in process in the SBIAA/IVDA offices at the time
of the seizure.
SBIAA staff will apprise you when the documents you have requested are returned to SBIAA or
are otherwise made available.
Very trul y yours,
SAN BERNARDINO INTERNATIONAL AIRPORT
AUTHORITY
INLAND VALLEY DEVELOPMENT AGENCY
Michael Burrows
Assistant Director
Y:\KKB Worddoc\20 II \October\OO I L _ WHodgdon _I 00311.doc