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Home My WebLink AboutBook 24 07/09/79 - 10/20/80 4756 r L.. MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA HELD JULY 9, 1979 The Regular Meeting of the Board of the Redevelopment Agency of the City of. San Bernardino was called to order at 4:00 p.m., Monday, July 9, 1979, by Chairman W. R. Holcomb, in the Council Chambers, 300 North "0" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman W. R. Holcomb; Board Members, Jack Strickler, John D. Hobbs, Ralph Hernandez, Richard F. Gerwig, Lionel Hudson, Robert A. Castaneda and Edward S. Wheeler; Executive Director R. E. Shadwell, Jr.; Agency Counsel, Wm. A. Flory; and Admin. Asst, Sandy Lowder. MINUTES: The Minutes of June 18, 1979 and June 19, 1979 were presented for approval. Motion was made by Gerwig and seconded by Hernandez to approve the Minutes of June 18 and 19, 1979 as submitted. The motion was carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig and Hudson Noes: None Abstain: Hobbs and Strickler Absent: None [ TEMPORARY USE OF $761,200 OF THE FUNDS LOANED TO RDA BY CITY FOR THE HOTEL DEVELOPMENT, FOR THE MERVYN'S DEPARTMENT STORE Gary Van Osdel, Director of Community Development, stated that the UDAG Grant Application for the Mervyn's Department Store has been approved. Funds from his grant cannot be drawn upon immediately. Mr. Shadwell requested temporary use of the funds lqaned. by the City to the Agency for the hotel development, until such time as HUD authorizes the drawdown of funds from the grant. One of the reasons these funds are needed at this time is to purchase the remaining property within the block in order that they may be sold to Central City South for the development of Mervyns. As soon as the funds are repaid to the Agency from the UDAG Grant, the funds will be repaid to the Hotel Development Account. Motion was made by Wheeler and seconded by Castaneda approving the temporary use of $761,200.00 loaned to the Agency by the City for the Hotel Development, for the Mervyn's Department Store development, to be repaid from the approved Urban Develoipment Action Grant (UDAG). The motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson, Hobbs and Strickler Noes: Hernandez Abstain: None Absent: None ,...., '-- .H~.-";' ~_::1_ili.ft!lIi ..lUII 4757 JOINT PUBLIC HEARING TO CONSIDER THE SALE OF AGENCY OWNED PROPERTY LOCATED IN THE NORTHEASTERLY MOST SECTOR OF THE STATE COLLEGE PROJECT INDUSTRIAL PARK ] Mayor/Chairman Holcomb opened the Joint Public Hearing on behalf of the City and the Redevelopment Agency. The Agency proposes to sell 1.09 acres of land within the State College Project to San Bernardino West Side Community Development Corporation for the sum of $4,905.00. San Bernardino West Side Community Development Corporation has already purchased 11.5 acres adjacent to this 1.09 acres. This 1.09 acres was inadvertently not purchased at the time they purchased the 11.5 acres. They intend to use this area for the installation and storage of solar energy producing devices in connection with the development of the Energy Technology Center to be located on the 11.5 acres. On Motion made by Castaneda, seconded by Gerwig and unanimously carried, the following resolution was adopted: RESO. 3938. RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO A DISPOSITION AND JOINT DEVEL- OPMENT AGREEMENT BETWEEN THE AGENCY AND SAN BERNARDINO WEST SIDE COMMUNITY DEVELOPMENT CORPORA TION FOR PROPERTY LOCA TED IN THE STATE COLLEGE PROJECT AREA ] CONSIDER BREACH OF LANDSCAPING AND MAINTENANCE PROVISIONS OF DISPOSITION AGREEMENT BETWEEN AGENCY AND HUNTLEY PROPER TIES, SEIP Motion was made by Gerwig and seconded by Wheeler to continue th~ above. item until the second meeting in August, 1979. The motion was unanimously carrIed. RECEIVE OFFER TO PURCHASE & SET JOINT PUBLIC HEARING FOR SALE OF PARCELS 134-341-20, 134-341-23 & 20, TO CENTRAL CITY SOUTH COMPANY IN SUPPORT OF THE MERVYN'S DEPART- MENT STORE The following resolution was introduced: RESO. 3939. RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, AUTHORIZING THE CHAIRMAN AND SECRETARY TO RECEIVE AN OFFER TO PURCHASE FROM CENTRAL CITY SOUTH COMPANY FOR PROPERTY LOCATED WITHIN CENTRAL CITY SOUTH REDEVELOPMENT PROJECT AREA, AND SETTING A JOINT PUBLIC HEARING FOR AUGUST 6, 1979, AT 4:00 P.M. ~ 1 J 4758 ,- i ..., Motion was made by Wheeler and seconded by Hudson adopting Resolution No. 3939. The motion was unanimously carried. CONSIDER ACCEPTANCE OF REAL PROPERTY APPRAISAL DETERMINING FAIR MARKET VALUE OF PARCELS 134-341-20 & 23, and 134-351-20, CENTRAL CITY SOUTH The following resolutions were introduced: RESO. 3940. RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, ACCEPTING THE APPRAISAL DETERMINATION OF FAIR MARKET VALUE OF PARCELS NO.. 134-341-20 & 23, SCOTT PROPERTY, CENTRAL'CITY SOUTH' REDEVELOPMENT PROJECT AREA RESO.3941. RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNRDINO, ACCEPTING THE APPRAISAL DETERMINATION OF FAIR MARKET VALUE OF PARCEL NO. 134-351-20, ROSS PROPERTY, CENTRAL CITY SOUTH PROJECT AREA Mr. Shadwell was asked if he considered the appraisals received to be representative of a fair price. Mr. Shadwell stated that he did consider the appraised values as fair. [ Motion was made by Gerwig and seconded by Wheeler adopting Reso. 3940 and 3941. The motion was unanimously carried. CLAIM OF MORRIS H. RUSSELL AGAINST RDA Motion was made by Gerwig and seconded by Wheeler to deny the claim of Morris H. Russell for the return of the $5,000 deposit forfeited uPQn withdr:awal. of his development from the Southeast Industrial Park Redevelopment Project Area. The motion was unanimously carried. CONSIDER APPROVAL OF THE ADMINISTRATIVE BUDGET FOR FISCAL YEAR 1979/1980 Mr. Hernandez expressed his concern over the funded amount of $1200 for advertising. He stated that he did not feel this item or funds allocated for coffee for meetings were necessary. The following resolution was introduced: RESO. 3942. RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO ADOPTING ADMINISTRATIVE BUDGET FOR THE FISCAL YEAR JULY 1, 1979 THROUGH JUNE 30,1980 r 'I \..... Motion was m'ade by Gerwig and seconded by Wheeler adopting Reso. 3942. The motion was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson, Hobbs and Strickler Noes: Hernandez Abstention: None Absent: None L 4759 CONSIDER APPROVAL OF AN INCREASE IN COMPENSATION OF 7% FOR EMPLOYEES OF RDA ~ The following resolution was introduced: RESO. 3943. RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFOIRNIA, FIXING COMPENSA TION OF EMPLOYEES THEREOF .......,J Mr. Wheeler directed the Board's attention to the second "Whereas" in the above resolution, which reads as follows: "Whereas, the Mayor and Common Council did approve a 7% pay increase for its general, middle management and management and confidential employees: and". Mr. Wheeler stated that this item is on the Council agenda for later in the day to approve the "Memorandum of Understanding" connected with this item, and therefore in its entirty has not been approved. The Chairman stated that at the last council meeting the 7% increase in pay was approved. Motion was made by Hudson and seconded by Castaneda adopting Resolution No. 3943. The motion was unanimously carried. ELECTION OF OFFICERS - SECRETARY &: ASSISTANT SECRETARY Motion was made by Wheeler and seconded by Castaneda appointing Ralph E. Shadwell, Jr., Secretary and Glenda Saul, Assistant Secretary, of the Redevelopment Agency of the City of San Bernardino. The motion was unanimously carried. ~ DISCUSSION OF POTENTIAL SALE BY CITY TO AGENCY OF "OLD SEWER PLANT" AREA .....",J Mayor/Chairman Holcomb explained that the Redevelopment Agency is in a better position to find a developer to develop the city owned "old sewer plant" property. He would therefore, recommend a motion approving in principal, the sale of 13.33 acres more or less, of "old sewer plant" area property to the Agency, at a price to be determined by an appraisal. Concern was expressed that the Agency should not purchase this property without a developer in "hand", because of the present cash flow problems of the Agency. Mr. Hobbs and Mr. Gerwig both stated that if the Agency had a developer interested and could present plans for the redevelopment of this proeprty, then they felt the consideration of a sale to the Agency would be warranted. Motion was made by Wheeler and seconded by Castaneda approving in principal the sale of 13.33 acres, more or less, of "old sewer plant" property to the Agency. The motion failed by the following vote, to wit: Ayes: Castaneda, Wheeler and Hudson Noes: Hernandez, Gerwig, Hobbs and Strickler Further discussion ensued regarding the sale now or later to the RDA. On behalf of the City, Councilman Strickler moved that the City should obtain an appraisal of the 13.33 acres concerned, with City funds, before. the item is further discussed. The motion was seconded by Hobbs and carried. ~ ,-J ,... ...... ,..... ....... r- \..... 4760 DISCUSSION ON POTENTIAL AMENDMENT TO STATE COLLEGE REDEVELOPMENT PLAN TO EXPAND BOUNDARIES NORTHERLY &: NOR THWESTERL Y Mayor/Chairman Holcomb called for a motion to approve the initiation of action necessary to amend the State College Redevelopment Plan to expand the project boundaries. He felt that the Planning Department should be instructed to work with the councilman from the 5th Ward to work on boundary modifications. Mr. Gerwig stated that the area that he understands to be included within the boundary modifications is vacant land and he does not feel that it will meet the State requirements of "blight". Mayor/Chairman Holcomb stated that the area being considered for inclusion covers the area between 40th &: Mt. View, containing many sub-standarp. streets and utilities. Another area being considered is the Verdemont Area. He stated that these areas in his opinion definitely fall within the meaning of blight. The City is planning to annex approximately 900 acres of potential industrial land which could be included within this plan amendment. This area needs streets, utilities and now has flood control problems. The Agency is running out of industrial property within the State College Project Area. If this land is developed it will create many jobs and change this vacant non-productive land into vital industrial land. Agency Counsel Flory stated that the motion as suggested would only initiate the first steps toward implementing the amendment. A finding would be necessary at a later date stating that blight has been determined within the proposed amended area. He stated that he feels that this area would fit within the meaning of blight. Mr. Hudson spoke in favor of the initiation of the plan amendment. He pointed out the areas on the map designated for light industry/manufacting located within the proposed boundary change. Mr. Gerwig stated that there were areas within the newly adopted Northwest Project Area that needed industrial development and that he felt these areas should be developed before the Agency considers amending the State College Plan to include vacant lands to be developed for industry. After much discussion, motion was made by Wheeler and seconded by Castaneda to continue the item until the next meeting. The motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hobbs and Strickler Noes: Hudson Absent: None Abstention: None WITHDRAW AL OF BID RIVERSIDE CONSTRUCTION COMPANY Mr. Shadwell stated that he has just been presented with a letter from Riverside Construction Company, dated July 9, 1979, withdrawing their bid for construction of the golf course. ~~...-PN'~~;;.....,;;;.,,'"-- 4761 "'~ Mayor/Chairman Holcomb stated that at the last meeting the contract for the golf course was awarded to Riverside Construction Company, contingent upon the approval of the Water Board, within 5 days, to approve the Water Exchange Agreement between the Water Department and Warner Hodgdon. It has been 14 days now and this agreement has not been approved by their attorney. The Mayor suggested that the Agency readvertise for bids for the golf course. ~ ......" Mr. Flory stated that Riverside Construction Company has a legal right to withdraw their bid. Mr. Shadwell stated that the Agency could either readvertise or accept the next lowest bid received. It was determined that the time period expired yesterday for any guarantee on bid price. Much concern was expressed over the delay of the Water Exchange Agreement. Mayor Holcomb explained that the Water Board had approved the agreement and was only waiting for their attorney to approve the language. He stated that the agreement should be approved any day. Motion was made by Wheeler and seconded by Hudson to readvertise for bids for the grading and construction of the golf course, including the on and off site improvements. and to accept the withdrawal of Riverside Construction Company's bid. The motion failed by the following vote, to wit: Ayes: Wheeler, Hudson and Hobbs Noes: Castaneda, Hernandez and Gerwig Abstention: Strickler Absent: None ~ After considerable discussion over the delay in the approved Water Exchange Agreement, motion was made by Wheeler and seconded by Hudson to readvertise for bids after an agreement is signed between the Water Board and the Hodgdons regarding the Water Exchange Agreement, and accepting the withdrawal of Riverside Construction Company's bid. The motion was carried by the. following vote, to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson, Hobbs and Strickler Noes: Hernandez Abstention: None Absent: None ......J ADJOURNMENT: The meeting was adjourned at 5:20 p.m. ~ ....J 4762 [ MINUTES OF THE SPECIAL RDA/COUNCIL WORKSHOP MEETING HELD AUGUST 3, 1979. The special meeting was called to order by Mayor/Chairman W. R. "Bob" Holcomb at 12:00 noon, Friday, August 3, 1979, in the Board Room of the Redevelopment Agency, Third Floor, City Hall, 300 North "0" Street, San Bernardino, California. Present: W. R. "Bob" Holcomb, Jack Strickler, John D. Hobbs, Ralph Hernandez, Richard F. Gerwig, Robert A. Castaneda and Edward S. Wheeler; Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. Absent: Lionel Hudson. Also Present: Ralph H. Prince, City Attorney and Marshall W. Julian, City Administrator. The meeting was called as a workshop meeting to discuss matters pertaining to items on the Agenda for the Redevelopment Agency Board Meeting to be held on Monday, August 6, 1979. No action was taken on these items at this meeting. The workshop meeting was adjourned at 2:00 p.m. [ R. E. Shadwell, Jr., Executive c ...--P----J:i: ~ I....J ,.., J ,..-., J ---I. [ r II '-- ,...., \.... 4763 MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA HELD JULY 23, 1979 The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:20 p.m., Monday, July 23, 1979, by Chairman W. R. Holcomb, in the Council Chambers, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman W. R. Holcomb; Board Members, Jack Strickler, John D. Hobbs, Ralph Hernandez, Richard F. Gerwig, Lionel Hudson, Robert A. Castaneda and Edward S. Wheeler; Executive Director, R. E. Shadwell, Jr.; Agency Counsel, Wm. A. Flory; and Executive Secretary, Margaret Hoover. MINUTES: The Minutes of July 9, 1979 were presented for approval. Motion was made by Gerwig, seconded by Hernandez and unanimously carried, to approve the Minutes of July 9, 1979 as submitted. RECEIVE TWO OFFERS TO PURCHASE AND SET A JOINT PUBLIC HEARING FOR THE SALE OF AGENCY OWNED PROPERTY LOCATED ON THE WEST SIDE OF ARROWHEAD AVENUE BETWEEN 4TH AND 5TH STREETS, CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. Mr. Shadwell presented the following Offers to Purchase parcels 135-111-01, 02, located at 438-448 North Arrowhead Avenue, from Ray R. Goldie in the amount of $45,000.00, which equates to $4.33 a square foot and from Don A. Haskell, or his Nominee, in the amount of $72,600.00, or a net price of $65,340.00, which equates to $6.28 per square foot. Mr. Shadwell stated that the Agency paid $72,600.00 for the property. Mr. Hobbs expressed concern over the fact that the property had the same appraisal figure as had been obtained 4 years ago. Mr. Castaneda stated that he would like to see the appraisal documents. Mayor/Chairman Holcomb explained that it would be to the advantage of the Agency to go ahead and pay a broker's commission in order to get a building on the property within a reasonable length of time, and that the tax increment coming in to the Agency would more than offset the broker's fee. ... c~,.;,''-'''''' 4764 RESO. 3944. RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO RECEIVE OFFERS TO PURCHASE PROPERTY LOCA TED WITHIN CENTRAL CITY NORTH PROJECT AREA, AND SET A JOINT PUBLIC HEARING FOR AUGUST 20,1979, AT 4:00 P.M. .., t '-..J On Motion by Strickler, seconded by Hernandez and unanimously carried, the following resolution was adopted: CONSIDER AWARD OF A DEMOLITION CONTRACT TO DEMOLISH EXISTING IMPROVEMENTS ON PARCEL 134-351-20 FOR THE PURPOSE OF PROVIDING FOR THE CONSTRUCTION OF THE MERVYN'S DEPART- MENT STORE, CENTRAL CITY SOUTH REDEVELOPMENT PROJECT AREA. On Motion by Wheeler, seconded by Gerwig and unanimously carried, the following resolution was adopted: RESO. 3945. RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT WITH WARREN DUNCAN, FOR THE REMOVAL OF AGENCY OWNED BUILDINGS LOCATED AT 102-130 NORTH "F" STREET AND 636-638 WEST RIAL TO A VENUE, CENTRAL CITY SOUTH PROJECT AREA. 1 ....J CONSIDER AWARD OF A CONSTRUCTION CONTRACT FOR UNDER- GROUND UTILITIES IN SUPPORT OF THE SUPER SHOPS, BASSETT, AND DANIEL RADIATOR DEVELOPMENTS, LOCATED ON THE SOUTH SIDE OF SAN BERNARDINO A VENUE BETWEEN TIPPECANOE AND RICHARDSON, SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA. On Motion by Gerwig, seconded by Wheeler and unanimously carried, the following resolution was adopted: RESO. 3946. RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT WITH WHITTAKER ELECTRIC COMPANY FOR THE INST ALLA TION OF UNDERGROUND UTILITIES, UNIT NO. 24, SOUTHEAST INDUSTRIAL PARK. CONSIDER A CHANGE ORDER TO THE BLAIR PARK CONSTRUCTION CONTRACT TO PROVIDE FOR A 14 DAY TIME EXTENSION CAUSED BY CONSTRUCTION DELAYS BEYOND THE CONTROL OF THE CON- TRACTOR, STATE COLLEGE REDEVELOPMENT PROJECT AREA. NO CHANGE IN THE DOLLAR AMOUNT OF THE CONTRACT. On Motion by Gerwig, seconded by Wheeler and unanimously carried, the following resolution was adopted: ... ..... -. - ,--I-.,~--->-._~-------- 4765 [ RESO.3947. RESOLUTION OF THE REDEVELOPMENT AGENCY AUTHORIZING THE CHAIRMAN AND SECRETARYTO ENTER INTO CHANGE ORDER NO.2 WITH JESSE HUBBS &: SONS, INC., TO PROVDE FOR A TIME EXTENSION RELATING TO THE BLAIR PARK CONSTRUCTION CONTRACT, STATE COLLEGE REDEVELOPMENT PROJECT AREA. Mr. Hernandez expressed grave concern regarding the Change Orders issued during the course of the projects after the original bid had been awarded for the contract. He stated that he felt it was very important that we take a real hard look at these procedures. Mr. Shadwell assured Mr. Hernandez that no Change Order was ever put into effect unless it has gone before the Board for approval. Mr. Hobbs stated that he had always had a question in his mind whether we always get the lowest and best bid and, because of these Change Orders, he felt sometimes it ends up being the highest bid. After a lengthy discussion, a Motion was made by Hobbs, seconded by Hernandez and unanimously carried, that the staff of the Redevelopment Agency be directed to bring to the Board for review all bids received for all contracts awarded within the past two years, listing the number of Change Orders for each contract and justification for the necessity of each Change Order issued. [ CONSIDER A CHANGE ORDER TO THE CM ENGINEERING ASSOCIATES CONTRACT TO PROVIDE ENGINEERING SERVICES TO COMPLETE RAIL SER VICE TO THE TCP INDUSTRIAL BUILDING IN SUPPORT OF THE RIVER VIEW CENTER INDUSTRIAL DEVELOPMENT, SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA. On Motion by Gerwig, seconded by Castaneda and unanimously carried, the following resolution was adopted: RESO. 3948. RESOLUTION OF THE REDEVELOPMENT AGENCY AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CHANGE ORDER NO.7 WITH C M ENGINEERING ASSOCIATES TO PROVIDE ENGINEERING SERVICE IN SUPPORT OF THE RIVER VIEW CENTER INDUSTRIAL DEVELOPMENT, SOUTHEAST INDUSTRIAL P ARK REDEVELOPMENT PROJECT AREA. CONSIDER A CHANGE ORDER TO THE C M ENGINEERING ASSOCIATES GOLF COURSE CONTRACT TO PROVIDE ADDITIONAL ENGINEERING SER VICES IN SUPPORT OF THE CONSTRUCTION OF THE GOLF COURSE STATE COLLEGE REDEVELOPMENT PROJECT AREA. [ 4766 CONSIDER A CHANGE ORDER TO THE CM ENGINEERING ASSOCIATES OFF-SITE IMPROVEMENTS CONTRACT IN SUPPORT OF THE 156 UNITS OF RESIDENTIAL DEVELOPMENT AND THE ELKS CLUB DEVELOPMENT STATE COLLEGE REDEVELOPMENT PROJECT AREA. ,...., , ~ Mayor/Chairman Holcomb stated that he felt the Board should hear the explanations as to why the two Change Orders were necessary for the State College Projects. Mr. Shadwell explained that at the time we went to bid for the contract to build the golf course, and to put in the off-site improvements in support of the housing near the golf course, some problems developed subsequent to that time relative to the geological slide areas. Geologists were hired by both the Agency and Warner Hodgdon. Due to the geologist's findings, it was determined that grading should not be accomplished into the slide areas and the recommendation was to raise the area in such a manner so that it would not be necessary to disturb the fault areas. To grade for the 48 houses and to keep from digging into the slide area, it is necessary to raise the level of this area by 5 feet, which includes the grading of the streets and the building pads, changes for the grading plan, the street plan and the sewer plans. This dirt will come from most of the front nine of the golf course, which will result in a change of the grading plans for the golf course. In addition, the water agreement between Mr. Hodgdon and the City Water Department was based on the old plan, therefore, it is necessary that amendments be made to this agreement to serve the golf course, the housing area, the maintenance shop, the pro shop and the Elks Club. This contract has now been signed by all parties and is a valid contract. 1 .....I In summary, Mr. Shadwell explained that these Change Orders includes costs that will be incurred due to readvertisement for bids, the revisions necessitated by the geological problems and the changes in the water agreement. Mayor/Chairman Holcomb stated that he felt C M Engineering Associates had acted in good faith but in his opinion the matter should be continued to the next Board meeting . Mr. Hodgdon spoke at length and requested a continuance, stating that he felt the engineering fees were out of line and that he would like to have some time to discuss these with C M Engineering Associates. A Motion was made by Wheeler, seconded by Castaneda and unanimously carried, that the two Change Orders for C M Engineering Associates be continued to the Board meeting of August 6, 1979. CONSIDER AMENDING THE STATE COLLEGE REDEVELOPMENT PLAN TO EXPAND PROJECT BOUNDARIES. POTENTIAL EXPANSION COULD BE ACCOMPLISHED NORTHWESTERLY, NORTHERLY AND EASTERLY OF THE EXISTING BOUNDARIES. ..... .... 4767 [ Mayor/Chairman Holcomb explained that this was not a cost item but merely a recommendation to get the mechanics under way regarding the potential of adding additional land to the State College Project Area for the purpose of industrial and residential development. He said the City is considering annexing 900 acres of land in the area and can only be developed through the redevelopment process. Mr. Castaneda stated that he had reservations about supporting this recommendation until he had more information and some answers to his questions as to why the boundaries were being changed. Mr. Shadwell explained that many inquiries regarding potential land for the purpose of industrial and residential development in the State College Project Area had been received by the Redevelopment Agency and that it was apparent that the City is running out of substantial areas for industrial use. He added that the expansion of the State College boundary would require a City Resolution providing for the survey area, including a map and a property legal description. From that point on the procedure to follow would be similar to the adoption of a project area such as the recent procedures experienced relative to the new Northwest Redevelopment Project Area. Mayor/Chairman Holcomb stated that this would mean new industry in the area which would mean new jobs and would help generate sales tax, and in his opinion, was a logical extension of the industrial boundaries. [ A Motion was made by Hudson and seconded by Wheeler to recommend the expansion of the project boundaries of the State College Redevelopment Plan. The Motion failed by the following vote to wit: Ayes: Strickler. Noes: Castaneda, Gerwig and Hobbs.Abstain: None. Hudson, Wheeler and Hernandez. Absent: CONSIDER THE ACQUISITION BY THE AGENCY OF THE "OLD SEWER PLANT" PROPERTY FROM THE CITY OF SAN BERNARDINO TO PERMIT ORDERLY DEVELOPMENT OF THE USEABLE VACANT ACREAGE. A Motion was made by Wheeler and seconded by Hobbs to approve in principle the acquisition of the old sewer plant property by the Agency at a price to be determined by appraisal and to be paid as property is sold to the developers. Motion was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Hudson, Hobbs and Strickler. Noes: Gerwig. Absent: None. CONSIDER THE ACQUISITION BY THE AGENCY OF PROPERTY OWNED BY TREESWEET PRODUCTS COMPANY STATE COLLEGE REDEVELOPMENT PROJECT AREA. r I \- On Motion by Wheeler, seconded by Hobbs and unanimously carried, the following resolution was adopted: 1/'I .t 4768 RESO. NO. 3949. RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA AUTHORIZING THE ACQUISITION OF 30 ACRES OF REAL PROPERTY FROM TREESWEET PRODUCTS COMPANY LOCATED IN THE STATE COLLEGE REDEVELOPMENT PROJECT AREA. l .-J CONSIDER RESCINDING THE AUTHORIZATION TO PAY A COMMISSION TO REAL EST A TE BROKERS WHO INITIATE AND EFFECTUATE THE SALE OF AGENCY OWNED REAL PROPERTY. Mayor/Chairman Holcomb explained that the need was evident from recent experience that the resolution granting the broker a commission should be amended to protect the Agency from a late filing for commissions. The following resolution was introduced: RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA RESCINDING THE AUTHORIZA TlON TO PAY A COMMISSION TO REAL ESTATE BROKERS WHO INITIATE AND EFFECTUA TE THE SALE OF REDEVELOPMENT AGENCY OWNED REAL PROPER TY. Hudson moved, Wheeler seconded, and unanimously carried, to table the foregoing resolution. The Chairman stated that this was a very important issue and that he would ask the Agency's Legal Counsel to amend the resolution to make sure that the broker must have proof of the fact that he initiated the sale of the property and that no commission will be paid unless the broker signs a form to be provided by the Agency. ~ J A Motion was made by Hudson, and seconded by Wheeler to instruct Mr. Flory to draft a new resolution for presentation at the next Board meeting and rescind Resolution No. 3822. Motion carried by the following vote to wit: Ayes: Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: Castaneda. RECEIVE OFFER TO PURCHASE FROM STOCKWELL AND BINNEY REAL TY CORPORATION FOR AGENCY OWNED LAND LOCATED ON THE EAST SIDE OF "D" STREET BETWEEN 4TH AND 5TH STREETS AND SET A JOINT PUBLIC HEARING FOR 4:00 P.M., AUGUST 20, 1979, CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. On Motion by Hudson and seconded by Wheeler the following resolution was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson and Strickler. Noes: Hobbs. Absent: None. ~ .... "... ...., r- j' f ..... ,....., ! ....... ..-I~--.-,.~......,.- 4769 RESO. NO. 3950. RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO RECEIVE AN OFFER TO PURCHASE FROM STOCKWELL AND BINNEY REALTY COR- PORATION FOR AGENCY OWNED PROPERTY LOCATED WITHIN CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA, AND SET A JOINT PUBLIC HEARING FOR 4:00 P.M., AUGUST 20, 1979. DISCUSSION OF THE PROPOSED INLAND EMPIRE MEAT CO. (KANEY FOODS) DEVELOPMENT TO BE LOCATED AT THE SOUTHWEST CORNER OF COOLEY AND SUNNYSIDE A VENUE RELA TIVE TO THE POTENTIAL OF DETERMINING AN IN-LIEU OF PAYMENT FOR TAX INCREMENT LOST BECAUSE OF THE CONSTRUCTION DELAY. Mr. Shadwell stated that he and Mr. Flory had been in contact with Mr. Bruce Varner, Attorney for Mr. Huntley, and at the present time they were trying to arrive at a construction date with Inland Empire Meat Company, but it was the understanding at this time that the Inland Empire Meat Company would start their building soon. On the recommendation of the Agency's Counsel, the matter was continued until the Board meeting of August 6, 1979. Mr. Strickler stated that he had a question regarding the Golf Course development which he felt should be answered at this time. Why has the $74,000.00, due and payable on June 10, 1979 from Warner Hodgdon, not been paid? Mr. Hodgdon was present and answered questions of the Board. He gave a lengthy documentation of payments and schedules in accordance with the original agreement. He stated that due to the delay in awarding the bids for the contract, he could not start the improvements as anticipated and that he felt the construction time table should be amended to meet the present circumstances. He assured the Board that when the proper time came for payment, he would be happy to pay the $74,000.00 as his part of the award for the contracts. After a lengthy discussion, Chairman Holcomb suggested the matter be continued for two weeks to give Agency Counsel time to review the agreements as a whole and to determine if there was legal justification for not paying the $74,000.00. A Motion was made by Gerwig, seconded by Hudson and unanimously carried to refer the matter to Agency Counsel and to continue until the meeting of August 6, 1979. The meeting of the Board of the Redevelopment Agency adjourned at 6:00 p.m. ~.lf't',alK 4770 ~ EXPANSION OF STATE COLLEGE PROJECT AREA '--' Mayor/Chairman Holcomb recommended that the Redevelopment Agency Board reconvene to consider the item regarding the expansion of the State College Project Area. Mr. Gerwig stated his opposition and was excused from the meeting at 11:10 p.m. A Motion was made by Hudson and seconded by Wheeler to approve the expansion of the boundaries of the State College Project Area. The Motion failed by the following vote to wit: Ayes: Castaneda, Wheeler and Hudson. Noes: Hobbs and Strickler. Abstain: Hernandez. Absent: Gerwig. The meeting of the Redevelopment Agency was declared adjourned to the next regular meeting to be held on August 6, 1979 at 4:00 p.m., 300 North "0" Street, San Bernardino, California. ~ j r R. E. Shadwell, Jr., Executive lrector .-J ~ ...... 4771 [ MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA HELD AUGUST 6, 1979. The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:30 p.m., Monday, August 6, 1979, by Chairman W. R. Holcomb, in the Council Chambers, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman W. R. Holcomb; Board Members, Jack Strickler, John D. Hobbs, Ralph Hernandez, Richard F. Gerwig, Lionel Hudson, Robert A. Castaneda and Edward S. Wheeler; Executive Director, R. E. Shadwell, Jr.; Agency Counsel, Wm. A. Flory; and Executive Secretary, MINUTES: The Minutes of July 23, 1979 were presented for approval. Motion was made by Gerwig, seconded by Hernandez and unanimously carried, to approve the Minutes of July 23, 1979 as submitted. [ JOINT PUBLIC HEARING TO CONSIDER THE SALE OF AGENCY OWNED REAL PROPERTY LOCATED AT THE SOUTHEAST CORNER OF 2ND AND "G" STREETS AND THE NORTHWEST CORNER OF RIAL TO AND "F" STREETS, CENTRAL CITY SOUTH REDEVELOPMENT PROJECT AREA. Mayor/Chairman Holcomb opened the Public Hearing. A Motion was made by Wheeler and seconded by Castaneda that the public hearing be closed and the following resolution be adopted. RESO. NO. 3951 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO A DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND CENTRAL CITY COMPANY FOR PROPERTY LOCATED IN THE CENTRAL CITY SOUTH REDEVELOPMENT PROJECT AREA. Resolution No. 3951 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. Abstain: Hernandez. AGENCY COUNSEL LEGAL OPINION - PAYMENT OF $74,000 BY WARNER AND SHARON HODGDON PER SECTION 4.C OF THE STATE COLLEGE LEASE AND OPERATING AGREEMENT. [ A Motion was made by Wheeler, seconded by Gerwig and unanimously carried that the matter be tabled. I' "M -. --"'~~ 4772 RESOLUTION OF THE REDEVELOPMENT AGENCY AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CHANGE ORDER NO. 1 WITH C M ENGINEERING ASSOCIATES TO PROVIDE ADDITIONAL ENGINEERING SERVICES IN SUPPORT OF THE CONSTRUCTION OF THE PUBLIC GOLF COURSE, STATE COLLEGE REDEVELOPMENT PROJECT THE PUBLIC GOLF COURSE, STATE COLLEGE REDEVELOPMENT PROJECT AREA FOR THE SUM OF $38,800.00. --, I ~ A Motion was made by Strickler, seconded by Hobbs and unanimously carried that the matter be continued to the meeting of August 20, 1979. RESOLUTION OF THE REDEVELOPMENT AGENCY AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CHANGE ORDER NO.2 WITH C M ENGINEERING ASSOCIATES FOR ENGINEERING SERVICES RELATING TO STATE COLLEGE PROJECT NO.4 FOR THE SUM OF $32,400.00. A Motion was made by Strickler, seconded by Hobbs and unanimously carried that the matter be continued to the meeting of August 20, 1979. PROPOSED INLAND EMPIRE MEAT COMPANY (KANEY FOODS) DEVELOPMENT TO BE LOCATED AT THE SOUTHWEST CORNER OF COOLEY AND SUNNYSIDE A VENUES RELATIVE TO THE POTENTIAL OF DETERMINING AN IN-LIEU-OF PAYMENT FOR TAX INCREMENT LOST BECAUSE OF THE CONSTRUCTION DELAY. Mr. Shadwell presented a letter from Mr. Bill Kaney of Inland Empire Meat Co. outlining the projected dates for the building site with a completion date of March 30, 1980 for the proposed construction. ~ J Mr. Hudson made a Motion, seconded by Mr. Wheeler and unimously carried, to file the letter of July 31, 1979 from Mr. Kaney and to inform the Board if these commitments were not kept. TERMS OF SALE OF THE FORMER SEWER PLANT TO BE SOLD BY THE CITY OF SAN BERNARDINO TO THE AGENCY. Mayor/Chairman Holcomb stated that an appraisal of $740,302.00 had been obtained as the Fair Market Value of the 13.33 acres and that there had been some interest shown in the purchase of the property in recent weeks by local developers. After due consideration a Motion was made by Wheeler and seconded by Hobbs that the Agency purchase the property from the City at the price of $740,302.00 and that the terms of the sale be as follows: Agency shall pay to City a down payment of $5,000.00 concurrent with the execution of the agreement to be prepared by the City Attorney, with the balance payable at the end of one year, or when the property is sold. Interest to be paid at the rate of 7% on the unpaid balance. The Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. Abstain: Hernandez. ~ ~ 1 ....J -------....1-...... [ [ r L 4773 RESO. NO. 3952 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO EXECUTE AN AGREEMENT BETWEEN THE CITY OF SAN BERNARDINO AND THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, FOR THE ACQUISITION OF APPROXIMA TEL Y 13.33 ACRES OF CITY OWNED PROPERTY (OLD SEWER PLANT), BY THE REDEVELOPMENT AGENCY. A Motion was made by Hudson seconded by Castaneda and unanimously carried to approve a Sales Agreement between the City of San Bernardino and the Redevelopment Agency for the acquisition of the sewer plant property for the sum of $740,302.00. RESOLUTION APPROVING A PERFORMANCE AGREEMENT BETWEEN THE CITY AND THE AGENCY RELATIVE TO THE APPROVED UDAG AGREEMENT. RESO. NO. 3953 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO AN AGREEMENT WITH THE CITY OF SAN BERNARDINO PERTAINING TO THE PERFORMANCE OF THE UDAGGRANTAGREEMEN~ A Motion was made by Gerwig seconded by Wheeler and unanimously carried to adopt the foregoing resolution. RESOLUTION APPROVING A CHECKING ACCOUNT TO ADMINISTER UDAG FUNDS. RESO. NO. 3954 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING A CHECKING ACCOUNT WITH THE BANK OF CALIFORNIA FOR THE UDAG FUND ACCOUNT. A Motion was made by Gerwig seconded by Wheeler and unanimously carried to adopt the foregoing resolution. RESOLUTION PERTAINING TO THE PAYMENT OF COMMISSIONS TO REAL EST A TE BROKERS RESPONSIBLE FOR THE SALE OF AGENCY OWNED REAL PROPERTY. Wm. A. Flory, Agency Counsel, explained the revisions and changes to the current resolution and recommended that Resolution No. 3822 be rescinded and the revised resolution be adopted. RESO. NO. 3955 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE PAYMENT OF A COMMISSION TO REAL EST ATE BROKERS WHO INITIATE AND EFFECTUATE THE SALE OF REDEVELOPMENT AGENCY OWNED REAL PROPERTY LOCATED WITHIN AN ADOPTED REDEVELOP- MENT PROJECT AREA. On Motion by Strickler, seconded by Castaneda and unanimously carried, the foregoing resolution was adopted. 4774 DEVELOPMENT OF RESIDENTIAL UNITS IN THE NORTHWEST REDEVELOPMENT PROJECT AREA. ..., Mayor/Chairman Holcomb explained the expediency for the marketing of mortgage revenue bonds relative to the Gann Initiative being voted on at the next general election in November 1979. He stated that he had been in contact with Bond Consultants, Miller & Schroeder and they had stressed the paramount importance of a time schedule as soon as possible regarding the development of residential units in the Northwest Redevelopment Project Area in order to meet the time requirements to complete the bond transactions before the Gann Initiative is voted on. He predicted the legislation will pass and asked that the Board reconsider its action taken at an earlier meeting to table the matter in order that this project can move forward in an orderly manner. i """"'"' Mr. Shadwell presented a time schedule and documents necessary for the Invitation to Developers to submit proposals for the purchase of land and for the development of housing units in the Northwest Redevelopment Project Area. A Motion was made by Hobbs and seconded by Wheeler to approve the Time Schedule and to authorize the advertising of the Invitation to Developers to submit proposals for the purchase or lease of land for the development of residential housing located in the Northwest Redevelopment Project Area and to instruct the City Attorney to prepare the necessary agreement. Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. Abstain: Hernandez. RECONSIDER ACTION TO AMEND THE ST A TE COLLEGE PROJECT BOUNDARIES. .., i -' On Motion by Strickler, seconded by Hernandez and unanimously carried, the recommendation to amend the State College Project Boundaries was tabled. OFFER TO PURCHASE FROM VTN CONSOLIDATED/EASTERN PACIFIC FINANCIAL GROUP, A JOINT VENTURE, TO PURCHASE 15 ACRES OF AGENCY OWNED PROPERTY LOCATED SOUTH OF COOLEY AVENUE WESTERLY OF TIPPECANOE A VENUE, SEIP. Mayor/Chairman Holcomb stated that it was the recommendation of the Agency staff to reject the offer of $360,000.00 , inasmuch as there was a possibility of a better offer which would be to the advantage of the Agency to consider. On Motion by Gerwig, seconded by Wheeler and unanimously carried, the offer was rejected and the Agency staff was instructed to return the deposit in the amount of $36,000.00 to representatives of VTN Consolidated/Eastern Pacific Financial Group, A Joint Venture. LEASE BETWEEN THE AGENCY AND GRILEY FREIGHTLINES FOR THE LEASE OF 1600 SQUARE FEET OF AGENCY OWNED PROPERTY AT 10 CENTS PER SQUARE FOOT, LOCATED WITHIN THE "OLD FREDERICKS- HANSEN PAINT BUILDING". ..... ....... r ...., r L r L 4775 A Motion was. made by Hernandez and seconded by Gerwig to grant the lease to Griley Freightlines and adopt the following resolution. RESO. NO. 3956 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO APPROVING A LEASE BETWEEN THE AGENCY AND GRILEY FREIGHTLINES. Resolution No. 3956 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig and Hudson. Noes: Hobbs. Absent: Strickler. CONTRACT WITH CONTINENTAL TELEPHONE OF CALIFORNIA FOR RELOCATION OF FACILITIES FOR THE STATE COLLEGE INDUSTRIAL PARK RAIL ROAD SPUR. RESO. NO. 3957 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT WITH CONTINENTAL TELEPHONE OF CALIFORNIA FOR THE RELOCATION OF FACILITIES FOR THE STATE COLLEGE INDUSTRIAL PARK RAILROAD SPUR Resolution No. 3957 was adopted by the following vote to wit: Ayes: Wheeler, Hernandez, Hudson, Hobbs and Strickler. Noes: None. Absent: Castaneda and Gerwig. PURCHASE BY THE AGENCY OF PROPERTY REQUIRED FOR THE EXPANSION OF THE DOWNTOWN PARKING DISTRICT - 459 "E" STREET BUILDING CORPORATION. PURCHASE BY THE AGENCY OF PROPERTY REQUIRED FOR THE EXPANSION OF THE DOWNTOWN PARKING DISTRICT - FLOYD & ESTHER COOPER. A Motion was made by Wheeler and seconded by Strickler to adopt the following · resolutions. RESO. NO. 3958 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE PURCHASE OF PARCEL 134-141-23 FROM 459 "E" STREET BUILDING CORPORA TION, LOCA TED WITHIN THE CENTRAL CITY NORTH PROJECT AREA. RESO. NO. 3959 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE PURCHASE OF PARCEL 134-141-31 FROM FLOYD & ESTHER COOPER, LOCA TED WITHIN THE CENTRAL CITY NORTH PROJECT AREA. Resolutions No. 3958 and 3959 were adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hudson and Strickler. Noes: Gerwig and Hobbs. Abstain: Hernandez. 1_'_ 4776 PURCHASE BY THE AGENCY OF PROPERTY REQUIRED FOR THE EXPANSION OF THE DOWNTOWN PARKING DISTRICT - - ARTHUR GREGORY, WM. T. &: HELEN GREGORY, JR. ~ ! I ....,; A Motion was made by Hernandez and seconded by Wheeler to continue the above matter to the next Board meeting on August 20, 1979. The Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Hudson, Hobbs and Strickler. Noes: Gerwig. Absent: None. PURCHASE BY THE AGENCY OF PROPERTY REQUIRED FOR THE EXPANSION OF THE DOWNTOWN PARKING DISTRICT - STOCKWELL AND BINNEY. A Motion was made by Wheeler and seconded by Castaneda to adopt the following resolution. RESO. NO. 3960 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE PURCHASE OF PARCEL 134-151-13 FROM STOCKWELL &: BINNEY, LOCA TED WITHIN THE CENTRAL CITY NORTH PROJECT AREA. Resolution No. 3960 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hudson and Strickler. Noes: Hernandez, Gerwig and Hobbs. Absent: None. EXTENSION OF THE ESCROW CLOSING DATE RELATIVE TO AGENCY OWNED PROPERTY SOLD TO V ANIR RESEARCH COMPANY LOCATED ON THE NORTHWEST CORNER OF 4TH AND "E" STREETS, CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA AMENDMENT OF DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND VANIR RESEARCH COMPANY RELATING TO THE SALE OF AGENCY OWNED PROPERTY LOCATED IN CENTRAL CITY PROJECT AREA, COURT AND "E" STREETS. ., ~ 1 .....J A lengthy discussion ensued, after which, a Motion was made by Castaneda and seconded by Wheeler that the above matters be tabled. The Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hobbs and Strickler. Noes: None. Abstain: Hudson. Absent: None. The meeting of the Redevelopment Agency was adjourned at 5:30 p.m. to the next regular meeting to be held on August 20, 1979 at 4:00 p.m., 300 North "0" Street, San Bernardino, California. ,. ~. r R. E. Shadwell, Jr., Executive 0" ector .., f I .....J "...., ~ [ ~ \ , l. -.- T. 4777 MINUTES Of THE REGULAR MEETING OF THE REDEVELEOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, HELD AUGUST 20, 1979. The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:15 p.m., Monday, August 20, 1979, by Chairman W. R. Holcomb in the Council Chambers, 300 North "0" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman W. R. Holcomb; Board Members, Jack Strickler, John D. Hobbs, Ralph Hernandez, Robert A. Castaneda and Edward S. Wheeler; Executive Director, R. E. Shadwell, Jr.; Agency Counsel, Wm. A. Flory; and Executive Secretary, Margaret Hoover. Absent: Board Members, Richard F. Gerwig and Lionel Hudson. MINUTES: The Minutes of August 6, 1979 were presented for approval. .I".,. A Motion was made by Wheeler, and seconded by Castaneda to approve the Minutes of August 6, 1979. Motion carried by the following vote to wit: Ayes: Strickler, Hobbs, C~staneda and Wheeler. Noes: None. Absent: Hudson and Gerwig. Abstention: Hernandez. JOINT PUBLIC HEARING TO CONSIDER THE SALE OF AGENCY OWNED REAL PROPERTY LOCATED ON THE WEST SIDE OF ARROWHEAD AVENUE BETWEEN 4TH AND 5TH STREETS, CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. Mayor/Chairman Holcomb opened the Public Hearing for the Redevelopment Agency and the City of San Bernardino. Mr. Shadwell explained the best offer received was for $72,600.00, from which a commission was to be paid in accordance with Resolution No. 3955. A resolution authorizing the payment of a commission in the amount of $7,260.00 upon the close of escrow was Item No. 2 on the Board Agenda. Mr. Hobbs stated his objection to the addition of a commission to the selling price. A discussion followed regarding the conditions upon which a claim for a commission granted. A Motion was made by Castaneda and seconded by Wheeler to approve the sale of Parcels 135-111-01-,02 to Don A. Haskell for the"'um of $72,600.00, and to approve the payment of a commission to James L. Ransom, Arrowhead Realty, for the sum of $7;260.00 for initiating and effectuating the sale of the property located at 438 and 448 North Arrowhead A venue. n 111 n.-~--~ n l!IIiL.- ~...,,:!!!l. 1 4778 The following vote was cast: Ayes: Castaneda, Wheeler and Strickler. Noes: Hobbs. Absent: Hudson and Gerwig. Abstention: Hernandez. ~ Chairman Holcomb asked that in view of the importance of the issue the matter be continued to the next Board meeting when a full vote could be obtained. '",-", Motion was made by Wheeler, seconded by Castaneda and carried that Items 1 and 2 be continued to the next Board meeting. Mr. Hobbs stated that he had made a mistake and asked permission to change his "No" vote to "Yes" to approve the sale of the property. Mr. Wheeler stated that he wished to retract his Motion to continue. Mr. Castaneda withdrew his second. t '" '1' -" A Motion was made by Wheeler and seconded by Castaneda, to adopt the following resolutions: RES. NO. 3961 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO A DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND DON A. HASKELL, OR NOMINEE, FOR PROPERTY LOCATED IN THE CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. RES. NO. 3962 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO APPROVING THE PAYMENT OF A COMMISSION TO JAMES L. RANSOM, ARROWHEAD REALTY, FOR THE SUM OF $7,260.00 FOR INITIATING AND EFFECTUATING THE DEVELOPMENT OF A GENERAL & LAW OFFICE BUILDING ON PARCEL 135-111-01 and 02, PURCHASED BY DON A HASKELL OR NOMINEE. --- I I -J Resolutions No. 3961 and No. 3962 were adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hobbs and Strickler. Noes: None. Absent: Gerwig and Hudson. Abstention: Hernandez. JOINT PUBLIC HEARING TO CONSIDER THE SALE OF AGENCY OWNED REAL PROPERTY LOCATED ON THE EAST SIDE OF "D" STREET BETWEEN 4TH AND 5TH STREETS, CENTRAL CITY NORTH , REOEVELOPMENT PROJECT AREA. Mayor/Chairman Holcomb opened the Public Hearing for the Redevelopment Agency and the City of San Bernardino. Mr. Shadwell presented the resolution authorizing the execution pf an agreement for the sale of 12,204 square feet of Agency owned property located on the east side of "D" Street to Stockwell and Binney Realty Corporation for the sum of $66,024.00. !IIIllIllIl -'" 4779 [ Mr. William A. Kernen of Stockwell and Binney Realty appeared before the Board and spoke regarding the purchase of the property. He stated there would be no commission required on the sale of the property. A Motion was made by Wheeler and seconded by Castaneda to adopt the following resolution: RES. NO. 3963 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO A DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND STOCKWELL &: BINNEY REALTY CORPORATION FOR PROPERTY LOCATED IN THE CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. Resolution No. 3963 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hobbs and Strickler. Noes: None. Absent: Hudson and Gerwig. Abstention: Hernandez. · AWARD A GRADING CONTRACT FOR THE PURPOSE OF SITE PREPARATION IN SUPPORT OF THE MERVYN'S DEPARTMENT STORE DEVELOPMENT CENTRAL CITY SOUTH REDEVELOPMENT PROJECT AREA. A Motion was made by Wheeler and seconded by Castaneda to adopt the following resolution: [ RES. NO. 3964 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT WITH JESSE HUBBS &: SONS FOR SITE PREP ARA TION FOR MERVYN'S DEP AR TMENT STORE SHOPPING CENTER IN THE AMOUNT OF $169,970.00, CENTRAL CITY SOUTH PROJECT AREA. Resolution No. 3964 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Hobbs and Strickler. Noes: None. Absent: Gerwig and Hudson. CHANGE ORDER TO THE C M ENGINEERING ASSOCIATES' GOLF COURSE CONTRACT TO PROVIDE ADDITIONAL ENGINEERING SERVICE IN SUPPORT OF THE CONSTRUCTION OF THE GOLF COURSE, STATE COLLEGE REDEVELOPMENT PROJECT AREA. . CHANGE ORDER TO THE C M ENGINEERING ASSOCIATES' OFF-SITE IMPROVEMENT CONTRACT IN SUPPORT OF THE 156 UNITS OF RESIDENTIAL DEVELOPMENT AND THE ELKS CLUB DEVELOPMENT STATE COLLEGE REDEVELOPMENT PROJECT AREA. Chairman Holcomb reported on the workshop meeting held August 17, 1979, which was called to discuss items on the Board Agenda, wherein Mr. Warner Hodgdon had asked that the foregoing items be continued for one more Board meeting to give ~ him time to assemble accounting figures from the Agency and engineering i documentation from C M Engineering in order that he could put together bottom l...- line figures for the engineering contracts. r<!-? . 4780 At the workshop meeting held on August 17, 1979, Mr. Hodgdon had agreed to have the figures available for a special called meeting to be held the following ,we~k at "\ time convenient to all parties concerned. 1 ...J A Motion was made by Hobbs and seconded by Castaneda to continue the Change Orders to the C M Engineering Contracts to a meeting to be held at 2:00 p.m, on Friday, August 24, 1979 in the Redevelopment Agency Board Room. Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Hobbs and Strickler. Noes: None. Absent: Gerwig and Hudson. BREACH OF LANDSCAPING AND MAINTENANCE HUNTLEY PROPERTIES, INC. SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA. A Motion was made by Wheeler and seconded by Castaneda that the foregoing matter be tabled. The Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Hobbs and Strickler. Noes: None. Absent: Gerwig and Hudson. APPROVAL OF THE PURCHASE BY THE AGENCY OF PROPERTY REQUIRED FOR THE EXPANSION OF THE DOWNTOWN PARKING DISTRICT. A Motion was made by Hobbs, and seconded byWheeler to adopt the following resolution: RES. NO. 3965 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUT~ORIZING THE PURCHASE OF PARCEL 134-141-08 FROM ARTHUR GREGORY, WM. T. & HELEN GREGORY, JR., LOCATED WITHIN THE CENTRAL CITY NORTH PROJECT AREA. -, " ."J Resolution No. 3965 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hobbs and Strickler. Noes: None. Absent: Gerwig and Hudson. Abstention: Hernandez. APPROVE A SALES AGREEMENT BETWEEN THE CITY AND AGENCY CONVEYING TITLE OF PARCELS 269-151-03, 04, 13 AND 14, AND269-161-0l THRU 07, GENERALLY LOCATED NORTH AND SOUTH OF 16TH STREET, BETWEEN CALIFORNIA AND MUSCOTT STREETS. JOINT PUBLIC HEARING FOR 4:00 P.M., SEPTEMBER 10, 1979, FOR THE PURPOSE OF EV ALUA TING PROPOSALS RECEIVED FOR THE DEVELOP- MENT OF RESIDENTIAL HOUSING ON THE 55 ACRES OF CITY OWNED REAL PROPERTY LOCATED NORTH AND SOUTH OF 16TH STREET BETWEEN CALIFORNIA AND MUSCOTT STREETS, NORTHWEST REDEVELOPMENT PROJECT AREA. Chairman Holcomb stated that in view of the two recent court cases being filed against the Agency/Council of the City of San Bernardino, the Joint Public Hearing should be cancelled and both items continued. ~ -- 4781 r . '-- A Motion was made by Hobbs and seconded by Wheeler to postpone and table the implementation of the Redevelopment Plan of the Northwest Project Area until such time as the court cases have been adjucated or terminated in the courts, and. to postpone the Public Hearing for the purpose of evaluating proposals for the development of residential housing. Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Hobbs and Strickler. Noes: None. Absent: Hudson and Gerwig. Chairman Holcomb instructed the Staff to give notice that the Public Hearing had been called off and to cancel all advertisements on the asking for proposals. DESIGNA TION OF CHECK SIGNERS AND COUNTERSIGNERS FOR AGENCY CHECKS AND VOUCHERS, EFFECTIVE JULY 1, 1979. A Motion was made by Castaneda and seconded by Wheeler to adopt the following resolution: RES. NO. 3966 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, DESIGNATING CHECK SIGNERS AND COUNTERSIGNERS FOR AGENCY CHECKS AND VOUCHERS AND RESCINDING RESOLUTION NO. 3676. I(~ c:......, ~L4. e,A ("4' \? (.:,. " v t/H:L S"-11l-g I Resolution No. 3966 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Hobbs and Strickler. Noes: None. Absent: Gerwig and Hudson. [ EXTENSION OF THE ESCROW CLOSING DATE RELATIVE TO AGENCY OWNED PROPERTY SOLD TO VANIR RESEARCH COMPANY LOCATED ON THE NORTHWEST CORNER OF 4TH AND "E" STREETS, CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. Mr. Frank Dominguez, representing Vanir Research Company, was present and spoke with regard to the Vanir development at 4th & "E" Street which was originally proposed for a 15,000 sq. ft. building and which now has been expanded to 5 times that size. The plans are being prepared by a firm in Kansas at this time and were not finalized for this meeting. [ Chairman Holcomb reviewed negotiations between the Agency Staff and Mr. Dominguez relative to the close of escrow for the property which was originally scheduled to close on June 19, 1979 and whereby Mr. Dominguez had requested an extension to October 19, 1979. During the interim period from June 19 and October 19, 1979, Mr. Dominguez had agreed to pay the interest rate of 9 3/4% on the balance of $49,261.73 due the Agency at the scheduled June 19 closing. Chairman Holcomb asked Mr. Dominguez if he was prepared to accept these terms. Mr. Dominguez stated that he was somewhat confused by the issue since it was his understanding that prior to the escrow or the conveyance of the property he must submit to the Agency one set of plans and specifications for their approval. He said that he had no objection to paying the 9 3/4 % interest and that he would also have no objection to the October 19 closing date, however, he felt this did not necessarily mean that he would be able to close escrow at that particular time without the approval of the plans and specifications by the Agency. Also he still was required to submit the parking plans for this facility which would have a substantial bearing on the development and which should be considered prior to the closing. 4782 Mr. Dominguez asked if the Council/Board would be willing to consider allowing a Deed of Trust with an alternative date on the close of escrow. -, ....J Chairman Holcomb stated that due to the Agency's cash flow problem and the prime rate going to 12% with most banks charging 14%, he felt the Agency should be getting the benefits of the 9 3/4% interest on the unpaid balance. After a lengthy discussion, the following terms were agreed upon by Mr. Dominguez and the Board: To close the escrow immediately and to amend the escrow instructions, changing the escrow from an all cash transaction to a Note and Trust Deed. The balance due the Agency in the amount of $49,261.73, to be paid within six (6) months at 10% interest. Interest to start at the close of escrow and the Deed of Trust to be executed within three (3) days after it is submitted, otherwise the escrow would be cancelled and the deposit forfeited. A Motion was made by Strickler, seconded by Wheeler to approve the foregoing terms and adopt the following resolution: ~fRES. NO. 3967 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA EXTENDING THE CLOSING OF ESCROW RELATIVE TO THE DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND V ANIR RESEARCH COMPANY PERTAINING TO A PORTION OF PARCEL NUMBER 134-131-05. .., ..J Resolution No. 3967 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Hobbs and Strickler. Noes: None. Absent: Gerwig and Hudson. AMENDMENT OF DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND VANIR RESEARCH COMPANY RELATING TO THE SALE OF AGENCY OWNED PROPERTY LOCATED IN CENTRAL CITY PROJECT AREA, COURT AND "E" STREETS. Chairman Holcomb briefed the Board on the original agreement for Vanir to develop a 15 story commercial-office building and parking structure. Mr. Dominguez representing Vanir Research Company agreed to furnish plans and specifications, together with a financial statement in an effort to prO,cess a UDAG grant. If the UDAG grant was turned down, Mr. Dominguez would have two years to come up with an alternate plan of financing. Chairman Holcomb informed the Board that the plans and specifications had not been received and the financial letter had never been submitted. Without this information, it was impossible to submit application for the UDAG grant. He stated his concern in that there was no specific time stated in the agreement for submitting the UDAG grant, therefore, he had not signed the agreement and felt it was null and void at this point and time. He stated that somehow a date must be established and the whole thing tied down, otherwise the property was being tied up for an indefinite period. ..... .....J [ r L- r- \-; 4783 Moved by Strickler and seconded by Hobbs to continue the matter and bring back an amended agreement at the next Board meeting for approval. A motion was made by Hobbs and seconded by Wheeler to refer the matter to a Committee to meet with Mr. Dominguez to draft an amendment to the agreement in an attempt to resolve the dispute. Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Hobbs and Strickler. Noes: None. Absent: Gerwig and Hudson. Chairman Holcomb appointed the following to meet with Mr. Dominguez and his attorney and set a meeting for Tuesday, August 28, 1979 at 2:00 p.m. in the RDA Board Room: Strickler, Castaneda, Wheeler, Flory and Shadwell. CHANGE ORDER TO RIVERSIDE CONSTRUCTION COMPANY'S CONTRACT IN SUPPORT OF UNDERGROUND UTILITIES, TRACTS 10345 AND 10346, UNIT NO. 18, SOUTHEAST INDUSTRIAL PARK PROJECT AREA. A Motion was made by Hobbs and seconded by Castaneda to approve the Change Order and adopt the following resolution: RES. NO. 3968 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CHANGE ORDER NO.1 WITH RIVERSIDE CONSTRUCTION COMPANY FOR STREET IMPROVEMENTS IN SUPPORT OF TRACTS 10345 AND 10346, SOUTHEAST INDUSTRIAL PARK PROJECT, UNIT NO. 18. Resolution No. 3968 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hobbs and Strickler. Noes: None. Absent: Gerwig and Hudson. Abstention: Hernandez. OFFER TO PURCHASE AND SET A JOINT PUBLIC HEARING FOR THE SALE OF THE FORMER SEWER PLANT PROPERTY, SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA. A Motion was made by Castaneda and seconded by Wheeler that the matter be continued until the meeting of September 10, 1979. Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Hobbs and Strickler. Noes: None. Absent: Gerwig and Hudson. RECEIVE OFFERS TO PURCHASE AND SET A JOINT PUBLIC HEARING FOR THE SALE OF PARCEL NUMBER 134-031-12, LOCATED AT, THE SOUTHWEST CORNER OF 7TH AND "D" STREETS, CENTRAL CITY NOR TH REDEVELOPMENT PROJECT AREA. ' , Mr. Shadwell explained the two Offers received. One was from Santa Fe Federal Savings and Loan Association for the sum of $55,300.00; the property to be developed as additional employee parking to supplement the parking now being developed at the northwest corner of 7th and "D" Streets, in support of the anticipated expansion of Santa Fe Federal's central complex facilities located in the block between 7th and 8th Streets. 4784 The second offer received was from Rene J. Jacober/Bill Bird for the sum of $40,000.00 for the construction of a 6,000 sq. ft. professional office building. ~ A Motion was made by Castaneda and seconded by Wheeler to accept the Offer of Santa Fe Federal Savings and Loan Association and to adopt the following resolution: ...., RES. NO. - 3969. RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO RECEIVE OFFERS TO PURCHASE PROPERTY LOCATED WITHIN CENTRAL CITY NORTH PROJECT AREA, AND SET A JOINT PUBLIC HEARING FOR SEPTEMBER 10,1979 AT 4:00 P.M. Resolution No. 3969 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Hobbs and Strickler. Noes: None. Absent: Gerwig and Hudson. REPORT OF "SUMMARY OF CONTRACTS" PREPARED AS DIRECTED BY THE BOARD AT THE MEETING OF JULY 23,1979. As directed by the Board at their meeting of July 23, 1979, Mr. Shadwell presented a summary of all contracts awarded by the Redevelopment Agency during the past two years, together with proposals, costs and disposition of each contract awarded. A Motion was made by Wheeler and seconded by Castaneda that the "Summary of Contracts" for the past two year period be received and placed on file. .... Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Hobbs and Strickler. Noes: None. Absent: Gerwig and Hudson. ....J REFUNDING BONDS TO DEFEASE THE CENTRAL CITY NOR TH TAX ALLOCA TION NEGOTIABLE PROMISSORY NOTES ISSUE OF 1976 . A Motion was made by Wheeler, and seconded by Castaneda to authorize the issuance of refunding bonds and adopt the following resolution: RES. NO. 3970 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, AUTHORIZING THE ISSUANCE OF $3,000,000 PRINCIPAL AMOUNT OF TAX ALLOCATION BONDS OF SAID AGENCY TO FINANCE A PORTION OF THE COST OF A . REDEVELOPMENT PROJECT KNOWN AS THE CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. Resolution No. 3970 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hobbs and Strickler. Noes: None. Absent: Gerwig and Hudson. Abstention: Hernandez. APPROV AL OF THE USE OF TAX INCREMENT MONIES TO PROVIDE OFF-SITE IMPROVEMENTS IN SUPPORT OF THE LITTLE ZION MISSIONARY BAPTIST CHURCH AND DUKES &: DUKES ASSOCIATES. JIIIII!t ....." r ...... ~ l j ... r L 4785 Chairman Holcomb explained that any motion for the use of tax increment income must be conditioned and subject to the settlement of the two law suits filed in Superior Court to invalidate City Ordinance No. 3836, adopting the Northwest Redevelopment Project Area and suggested that this item be postponed until after a settlement has been reached in the courts. A Motion was made by Hobbs and seconded by Castaneda that the matter be tabled. Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Hobbs and Strickler. Noes: None. Absent: Gerwig and Hudson. At 5:50 p.m., the Regular Meeting of the Redevelopment Agency of the City of San Bernardino recessed until 7:30 p.m., in the Council Chambers of City Hall, 300 North "0" Street, San Bernardino, California. At 7:30 p.m., the Regular Meeting of the Redevelopment Agency of the City of San Bernardino reconvened in the Council Chambers of City Hall, 300 North "0" Street, San Bernardino, California. Roll Call was taken with the following being present: Chairman Holcomb, Board Members, Castaneda, Hernandez, Wheeler, Hobbs and Strickl~r. Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. Absent: Board Members, Gerwig and Hudson. The Redevelopment Agency remained in session while the City Council resumed their agenda. EXECUTIVE SESSION The Executive Session of the Redevelopment Agency Board was called to order by Chairman Holcomb in the Conference Room of the Council Chambers of City Hall, 300 North "0" Street, San Bernardino, California at 9:45 p.m. Roll Call indicated the following being present: Chairman W. R. Holcomb, Edward S. Wheeler, Robert A. Castaneda, Ralph Hernandez, John D. Hobbs and Jack Strickler, Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. ADJOURN EXECUTIVE SESSION At 10:00 p.m., the Executive Session of the Redevelopment Agency adjourned to the Regular Meeting in the Council Chambers of City Hall, 300 North "0" Street, San Bernardino, California. RECONVENE MEETING At 10:00 p.m., the Regular Meeting of the Redevelopment Agency of the City of San Bernardino reconvened in the Council Chambers of City Hall, 300 North "0" Street, San Bernardino, California. Roll Call was taken with the following being present: Chairman Holcomb; Board Members, Castaneda, Wheeler, Hernandez, Hobbs and Strickler; Executive Director, R. E. Shadwell, Jr.; Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. Absent: Board Members, Gerwig and Hudson. 4786 PENDING LITIGATION - NORTHWEST REDEVELOPMENT PLAN ....... Mayor/Chairman Holcomb stated that it had been agreed to call a public hearing for September 5, 1979, at 7:30 p.m., in the Convention Center, 303 North "E" Street, San Bernardino, California to discuss and decide the issue of the alleged invalidation of the Northwest Redevelopment Plan and City Ordinance No. 3836. He stated that Notices would be published and interested persons could be present to express their views and give constructive impact on the issue. -"", A Motion was made by Hobbs, seconded by Wheeler and unanimously carried, to set a Public Hearing for September 5, 1979, at 7:30 p.m., in the Convention Center, 303 North "E" Street , San Bernardino, California, to discuss the law suits filed August 15, 1979 against the City of San Bernardino and the Redevelopment Agency challenging the validity and legality of the City's ordinance adopting the Redevelopment Plan for the Northwest Redevelopment Project and to consider whether to defend the law suits, amend the Ordinance and the Redevelopment Plan, or take other appropriate action. At 10:10 p.m., a Motion was made by Strickler, seconded by Hernandez and unanimously carried that the Redevelopment Agency Board and the City Council adjourn to an adjourned regular meeting to be held Friday, August 24, 1979, at 2:00 p.m., in the Agency Board Room, Third Floor, City Hall, 300 North "0" Street, San Bernardino, California. .... N~# % R. E. Shadwell, Jr., Executive Director .,."J --- ....", ",... 'f ~ ...., [ ,,-, ~ L, 4787 MINUTES OF THE ADJOURNED REGULAR MEETING OF THE MAYOR/COUNCIL AND THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, HELD AUGUST, 24, 1979. The Adjourned Regular Meeting of the Mayor and Common Council and the Redevelopment Agency Board was called to order by Mayor/Chairman Holcomb at 2:00 p.m. in the RedevelopmentAgency Board Room on Friday, August, 24,1979. ROLL CALL Roll Call was taken with the following being present: Mayor/Chairman W. R. Holcomb, Jack Strickler, John D. Hobbs, Ralph Hernandez, Robert A. Castaneda, Edward S. Wheeler; Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory, Executive Secretary, Margaret Hoover. Absent: Richard F. Gerwig and Lionel Hudson. CHANGE ORDER TO THE C M ENGINEERING ASSOCIATES' GOLF COURSE CONTRACT, STATE COLLEGE REDEVELOPMENT PROJECT AREA. CHANGE ORDER TO THE C M ENGINEERING ASSOCIATES' OFF-SITE IMPROVEMENT CONTRACT, STATE COLLEGE REDEVELOPMENT PROJECT AREA. Mayor/Chairman stated that Mr. Warner Hodgdon had requested a continuance of the foregoing items from the previous Redevelopment Agency Board Meeting to give him time to assemble accounting figures and engineering documentation in order that he could complete his recommendations for the change orders to the contracts. Mr. Wallace Green, representing Mr. Hodgdon, spoke to the Board, stating that Mr. Hodgdon was unable to be present at the meeting, and further, he had not had an opportunity to review the documents which he had received from the Agency relative to the accounting figures which he required. Mr. Richard Ricker, representing C M Engineering, stated that he had been contacted by Mr. Hodgdon during the past week, and that his company would feel more comfortable if everyone concerned was in total agreement before going ahead with the contracts. Chairman Holcomb stated that the Board had a responsibility for the contracts and is willing to come to an agreement as soon as Mr. Hodgdon has come to some conclusion, but that he felt the matter should be continued until Mr. Hodgdon has had time to review the facts and figures and comes up with a bottom line figure for the contracts. Mr. Green stated that he believed Mr. Hodgdon now has all of the documentation he needs to complete his transactions for the engineering contracts. V--V""_~=='-_'0;=""=~----,,,.y.. liilM-1l - ~:""~.~"""*,,,,,",,,,,,,-,,;;-;o;.-, 4788 A Motion was made by Wheeler, seconded by Hobbs and unanimously carried that the foregoing items be continued to the next regular Board meeting of September 10, 1979. ..... APPROVE CER TIFICA TE OF COMPLIANCE FOR COMPLETION OF DEVELOPMENT ON PARCELS 1 and 2 OF WARNER W. HODGDON DEVELOPMENT, SOUTHEAST INDUSTRIAL PARK PROJECT AREA. -- Mr. Shadwell explained that all improvements on the above described property had been complied with in accordance with the terms and conditions of the agreement and the Developer has requested a Certificate of Compliance certifying to this effect. Chairman Holcomb expressed his concern regarding the execution of this document since it might be mistakingly construed as approval by the Agency for the resale of the property by the Developer. A Motion was made by Wheeler, seconded by Hernandez and unanimously carried to adopt the following resolution approving the Certificate of Compliance with the stipulation that any resale of the property by the Developer shall come before the Agency Board for approval before final sale is made. RES. NO. 3971- RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE CHAIRMAN AND SECRETARY TO EXECUTE CERTIFICATE OF COM- PLIANCE FOR DEVELOPMENT LOCATED WITHIN THE SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA, BY WARNER W. ~ HODGDON. ...J CONSIDER ADOPTION OF THE FOLLOWING RESOLUTIONS TO PERMIT THE ISSUANCE OF REFUNDING BONDS FOR THE CENTRAL CITY NOR TH REDEVELOPMENT PROJECT AREA. RES. NO. 3972 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AMENDING ITS RESOLUTION AUTHORIZING THE ISSUANCE OF $3,000,000 PRINCIPAL AMOUNT OF TAX ALLOCA TION BONDS FOR THE CENTRAL CITY NOR TH REDEVELOP-MENT PROJECT AREA. RES. NO. 3973 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, DETERMINING TO ISSUE $2,800,000 PRINCIPAL AMOUNT OF TAX ALLOCATION BONDS OF SAID AGENCY AND PROVIDING FOR CERTAIN DETAILS OF SAID BONDS. RES. NO. 3974 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, PROVIDING FOR THE SALE OF $2,800,000 PRINCIPAL AMOUNT OF TAX ALLOCATION BONDS, 1979 SERIES A. RES. NO. 3975 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE ...... PAYMENT OF COSTS OF ISSUANCE OF THE BONDS ISSUED FOR THE CENTRAL CITY NORTH PROJECT AREA, INCLUDING THE REFUNDING OF THE 1976 NOTES. ...." 4789 r tt fi: ..... A Motion was made by Wheeler and seconded by Castaneda to adopt a resolution amending the resolution authorizing the issuance of $3,000,000 principal amount of tax allocation bonds for Central City North Redevelopment Project Area. Resolution No. 3972 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hobbs and Strickler. Noes: None. Absent: Gerwig and Hudson. Abstention: Hernandez. Board Members expressed concern regarding personal liability and liability to the City in the event the bonds should go into default. Finance Director, Glenda Saul, answered questions regarding the amount of the bond issue and explained the costs involved relative to the refunding bond issue. A Motion was made by Wheeler, and seconded by Hobbs to approve the issuance of $2,800,000 principal amount of tax allocation bonds and authorize the payment of costs of issuance of the bonds issued for the Central City North Project Area, including the refunding of the 1976 notes. The Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Hobbs and Strickler. Noes: None. Absent: Gerwig and Hudson. Abstention: Hernandez. [ The Meeting was adjourned at 3:10 p.m. to an Adjourned Regular Meeting to be held Wednesday, September 5, 1979 at 7:30 p.m., in the Convention Center, 303 North "E" Street, San Bernardino, California. R. E. Shadwell, Jr., Executive Direct r L - 4790 JOINT PUBLIC HEARING - NOR THWEST REDEVELOPMENT PROJECT AREA. ~ A Joint Public Hearing by the Mayor and Common Council and the Redevelopment Agency of the City of San Bernardino was held on Wednesday, September 5,1979, in the Convention Center, 303 North "E" Street, San Bernardino, California at 7:30 p.m., for the following purpose: --' To discuss the law suits filed August 15, 1979 against the City of San Bernardino and the Redevelopment Agency challenging the validity and legality of the City's ordinance adopting the Redevelopment Plan for the Northwest Redevelopment Project and to consider whether to defend the law suits, amend the Ordinance and the Redevelopment Plan, or take other appropriate action. Councilman Richard F. Gerwig presided as Mayor pro tern; Edward S. Wheeler, Jr., presided as Vice Chairman of the Redevelopment Agency Board. Present: Edward S. Wheeler, Robert A. Castaneda, Ralph Hernandez, Richard F. Gerwig, John D. Hobbs and Jack Strickler. Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. Absent: Chairman W. R. "Bob" Holcomb and Lionel E. Hudson. Vice Chairman, Wheeler opened the Public Hearing and stated that he hoped that some settlement could be reached concerning the dispute at this meeting. City Attorney Ralph H. Prince, Agency Counsel Wm. A. Flory and Executive Director, R. E. Shadwell, explained the purpose of the public hearing. C. Robert Ferguson, Attorney for the Plaintiffs in the case of Michael C. D. Ponce, et aI, vs. the City and Redevelopment Agency of the City of San Bernardino, stated that since legal action had commenced, he felt any public discussion of the issue was improper at this time. --- ..,j Thomas J. Keene of Inland Counties Legal Services, Attorney for the Plaintiffs in the case of Betty Wright et al, vs. the City and the Redevelopment Agency of the City of San Bernardino, stated that on behalf of his clients he would be happy to consider all proposals for a settlement of the suit but that he would have to consult with his clients before a decision could be reached. Wm. A. Flory, Legal Counsel for the Redevelopment Agency, disagreed with Mr. Ferguson, stating that in his opinion this was a public hearing being held for the purpose of exploring the possibility of a settlement or to consider appropriate action. City Attorney, Ralph Prince concurred with Mr. Flory's statements and said that as all Attorneys were present, he found no legal difficulty with a public discussion of the law suits. ., ......J ",... it: ~ ... r- L r L 4791 Mr. Hobbs, who represents as Councilman the area where most of the Northwest Redevelopment Area lies, stated that he would favor taking the matter to court regardless of the cost and that he felt that even if a new plan was developed it also could be challenged in the courts. He urged the attorneys and residents to work with the Agency and the City to try and resolve the dispute. He stated that one of the objections to the plan by residents of the area was the potential use of eminent domain which was spelled out in the plan that property owners could be exempt from those proceedings if they so desired. Mrs. Vargas spoke from the audience regarding residents being forced to leave their homes for the expansion of the Community Hospital. Mrs. Cervantes asked questions regarding exemption from eminent domain. Mr. and Mrs. W. R. Flores, 1570 Base Line Street, asked questions regarding procedures as to how they might go about obtaining an exemption from eminent domain. Luther Williams of Glenview Avenue spoke regarding his support of the plan and that he believed that some of the people filing the law suits did not live in the area. Lula Mae Lollis said she felt the law suits should be dropped and that plans should go forward for the improvement of Delman Heights. Mrs. Condon stated her concern of the blight in the neighborhood and the empty houses which breed crime. Mr. Gerwig said he favored calling a Special Election in the Sixth Ward to determine what the majority of the residents wants. Cheryl Brown, a member of the Northwest Project Area Citizens Advisory Committee, read the causes of action listed by plaintiffs in both cases, stating that she would support redrawing the project boundaries if necessary in order to reach a settlement and that she felt the law suits were holding up progress on the West Side in that by the delay in the courts the bonding capacity and the loans on new housing developments had been lost. Mr. Hartgrove of St. Paul's A.M. E. Methodist Church stated his opposition to the Northwest Project Area Plan. A lengthy discussion followed, after which, the meeting was recessed at the request of Mr. Ferguson to allow time to meet with his clients. The meeting reconvened and Mr. Wheeler announced that Mr. Ferguson's clients had authorized him to negotiate with the City and the Redevelopment Agency regarding a settlement. A Motion was made by Gerwig, seconded by Hernandez and unanimously carried, that the Agency Counsel and the City Attorney be instructed to meet with A ttorneys Thomas Keene and C. Robert Ferguson to negotiate a settlement within ten days and to report their findings to the Board at the meeting of September 17, 1979. T'~ -If'. ULT-: .'.-~~~'J""""-"""'''''''''~~ n~_ --r,.,.:;~~""'_""'''~''''':;:;;;;;-;:''''''"'''''''= 4792 A discussion ensued regarding the legality of the Board of the Redevelopment Agency meeting on September 10,1979, Admission Day. Mr. Wheeler stated that he had been informed by Wm. A. Flory, Agency's Counsel, that the Redevelopment Agency Board could not legally meet on the next regularly scheduled meeting on September 10 due to this being a state holiday and any action taken at that meeting may be considered invalid. Mr. Shadwell answered questions of the Board and stated that a number of Public Hearings had been advertised for the regularly scheduled meeting on September 10, 1979. ~ ~ Mr. Flory informed the Board that under the provisions of Sec. 54954 of the California Government Code if at any time any regular meeting falls on a holiday, such regular meeting shall be held on the next business day, and in this case would be September 11, 1979. A lengthy discussion followed. A Motion was made by Hobbs and seconded by Castaneda that the Redevelopment Agency Board adjourn to September 11, 1979, at 4:00 p.m. in the Council Chambers, 300 North "D" Street, San Bernardino, California. The Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Hobbs, Strickler. Noes: Gerwig. Abstention: Hernandez. Absent: Hudson. ~ The meeting was adjourned at 9:55 p.m. ....", .... ......J 4783 r '-' The Adjourned Regular Meeting of the Redevelopment Agency of the City of San Bernardino scheduled for Tuesday, September 11, 1979 at 4:00 p.m., in the Council Chambers, 300 North "0" Street, San Bernardino, California, was adjourned to Monday, September 17, 1979 at 4:00 p.m., in the Council Chambers, 300 North "0" Street, San Bernardino, California. #f!~ g. R. E. Shadwell, Jr., Executive Director r- L [ - ,----'I ..., ....J ...... 'I -:1 ~~ ...J ~ I ~- .....J [ MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, HELD SEPTEMBER 17, 1979. The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:00 p.m., Monday, September 17, 1979, by Chairman W. R. Holcomb in the Council Chambers, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman W. R. Holcomb; Board Members, Jack Strickler, John D. Hobbs, Ralph Hernandez, Robert A. Castaneda, Edward S. Wheeler, Richard F. Gerwig and Lionel Hudson; Executive Director, R. E. Shadwell, Jr.; Agency Counsel, Wm. A. Flory; Executive Secretary, Margaret Hoover. MINUTES A Motion was made by Wheeler, seconded by Hernandez and unanimously carried, to approve the Minutes of the meetings of August 20, August 24 and September 5, 1979. r I L V ARIOUS RESOLUTIONS OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO SELLING BONDS. Mayor/Chairman Holcomb stated that he would like to take the Agenda items out of sequence and present for consideration the most important items first. He asked the Executive Director to explain the bid opening for selling the bonds to finance a portion of the cost of the Central City North Redevelopment Project Area. Mr. Shadwell stated that the bid opening was held at 10:00 a.m., September 17th at the office of James Warren Beebe in Los Angeles, with only one bid, which came in at 7.4% coupon rate with a 2.5% discount. This was for the issuance of 2.8 million dollars to refinance the indebtedness for the Central City North Redevelopment Area bonds outstanding. Under the circumstances of todays bond market he felt this was a very good bid and urged the Board to accept it. [ Glenda Saul, Finance Director, answered questions of the Board and explained figures relating to the cost of the issuance of the bonds, payment for legal fees, printing and advertising costs and payments to the Financial Consultants for the issuance and sale of the bonds. She gave an analysis of the distribution of the projected funds available to the Agency. Mr. Hernandez stated his opposition to the issuance of $2.8 million, since the Agency has only $1.9 million in outstanding debt. Mr. Shadwell reminded the Board that the Agency has no other source of funds and whatever money is left after the refinancing of the bonds could be used to help restore "E" Street and some of it would be used for administrative costs. - 4794 1lji1if'lr"iT~.;,;,ti,>';;"<; 4795 Chairman Holcomb urged the approval of the bid from Smith Barney, Harris Upham and Co., Inc. of Los Angeles, stating that any funds over and above meeting the bond indebtedness could be used to help clear "E" Street, which would make a vital impact toward stimulating interest in developing the downtown area. ~ j; , --' Mr. Shadwell stated that additional resolutions regarding the sale of the bonds would be forthcoming from Warren Beebe's office and would be presented at the next regular Board meeting if approved. A Motion was made by Hudson and seconded by Castaneda to approve the sale of $2.8 million as proposed and adopt the following resolutions. RES. NO. 3988 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO SELLING BONDS OF SAID AGENCY AND AUTHORIZING THE PAYMENT OF THE COST OF ISSUANCE. RES. NO. 3989 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO APPROVING THE PRELIMINARY OFFICIAL STATEMENT AND AUTHORIZING THE CONVERSION OF SAME TO THE FINAL OFFICIAL STATEMENT FOR THE ISSUANCE OF ITS CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA, TAX ALLOCATION BONDS, 1979 SERIES A. Resolution No. 3988 and No. 3989 were adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson and Strickler. Noes: Hernandez. Absent: Hobbs. ~ ...., JOINT PUBLIC HEARING TO CONSIDER SALE OF AGENCY OWNED PROPERTY - 7TH AND "D" STREET, CENTRAL CITY NORTH. Mayor/Chairman Holcomb opened the public hearing. Chairman Holcomb stated that an offer had been received from Santa Fe Federal Savings and Loan Association for Parcel No. 134-031-12, located at the southwest corner of 7th and "D" Streets, Central City North Redevelopment Project Area and the offering price was for $55,300.00. Mr. Shadwell explained that the sole purpose of the sale of land was not to merely develop a parking lot but was necessary to have immediate parking facilities for Santa Fe Federal employees in support of the development of the expansion of their corporate headquarters. Mr. Ed Jacobsen, Realtor, spoke on behalf of the development and stated the need for more parking for customers and for their employees if Santa Fe Federal is to expand in the downtown area. Mr. Hernandez expressed concern regarding the use of the land after it has served its purpose as a parking lot. Mr. Bob Johnson, Vice President of Santa Fe Federal, was present and gave a projection of an added 300 plus employees over the next 6 to 8 years. He stated that Santa Fe Federal was acquiring more property on North "E" Street and their expansion related to an increase in employment and at the present time parking was an important issue. ~ j ...J 4796 "... I "- A Motion was made by Strickler and seconded by Hudson to approve the sale of Agency owned property to Santa Fe Federal Savings & Loan Association and adopt the following resolution. RES. NO. 3976 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO A DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND SANTA FE FEDERAL SAVINGS AND LOAN ASSOCIATION FOR PROPERTY LOCATED IN THE CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. Resolution No. 3976 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hudson and Strickler. Noes: Hernandez, Gerwig and Hobbs. Absent: None. AUTHORIZE PAYMENT OF A COMMISSION FOR THE SALE OF AGENCY OWNED REAL PROPERTY. Agency Counsel, Wm. A. Flory, explained that in accordance with Agency Resolution No. 3955, Mr. Ed Jacobsen, a licensed Real Estate Broker, was entitled to the payment of a commission for initiating and effectuating the development of Agency owned property. A Motion was made by Wheeler and seconded by Strickler to approve the payment of a commission and adopt the following resolution. r ~ L... RES. NO. 3977 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO APPROVING THE PAYMENT OF A COMMISSION TO ED JACOBSEN, ED JACOBSEN, REAL TORS, FOR THE SUM OF $5,500.00 FOR INITIATING AND EFFECTUATING THE DEVELOPMENT OF PARCEL 134-031-12, PURCHASED BY SANTA FE FEDERAL SAVINGS AND LOAN ASSOCIATION. Resolution No. 3977 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: Hernandez. Absent: None. Mr. Shadwell requested permission to present the following items together inasmuch as they both relate to the State College Golf Course and Mr. Warner W..Hodgdon was present to speak to the Board. W.CHANGE ORDER TO THE C M ENGIN COURSE CONTRACT TO PROVIDE ADDITIONAL ENGINEERING SER VICE. CHANGE ORDER TO THE C M ENGINEERING ASSOCIATES' OFF-SITE IMPROVEMENT CONTRACT - RESIDENTIAL AND ELKS CLUB DEVELOPMENT, STATE COLLEGE REDEVELOPMENT PROJECT AREA. [ Mr. Wallace Green spoke on behalf of Mr. Warner W. Hodgdon, and stated that they were ready to take action and submit the documentation for the consideration of the Board. Mr. Green submitted a detailed memorandum along with data and documentation relating to State College Project, San Bernardino Elks Building Association, All-America City Public Golf Course, Inc., Participation Owners, Public and Private Improvements - August 16, 1979 through Completion. 4797 Mr. Gerwig criticized granting the Change Orders to the C M Engineering Contracts, saying in his opinion, the extra expense involved was due to the Engineering firm's negligence in the initial geology reports and that it should be their responsibility to remedy the situation. ~ ...." Mr. Green stated that he and Mr. Hodgdon had compiled and reviewed numerous documents leading up to this point and would like to make their presentation in order that the Board could be in a position to make a decision in the matter. He requested permission to read the memorandum relating to these documentations. Chairman Holcomb stated that he had no objection to Mr. Green's reading the memorandum but his concern was how the engineering problem was to be solved and that he felt it was up to Mr. Hodgdon to make a recommendation. Mr. Hodgdon stated that the bottom line was that he and his wife would pay the $1.5 million shortfall and that he was ready to go forward and pay the bill. He stated that a great amount of work had been done toward the compilation in chronological form of documentation of an over-all cost of the modification of the project and that he would appreciate having this read into the record. Mr. Wallace Green read the following memorandum: Re: State College Project San Bernardino Elks Building Association All-America City Public Golf Course, Inc. Participation Owners llIIIllIll This memorandum is relative to two books of data and documentation entitled State College Project - San Bernardino Elks Building Association - All-America City Public Golf Course, Inc. - Participation Owners covering Public and Private Improvements - June 15, 1978 through August 16, 1979 and State College Project - San Bernardino Elks Building Association - All-America City Public Golf Course, Inc. - Participation Owners covering Public and Private Improvements - August 16, 1979 through Completion for the purpose of assisting the City Council/RDA in awarding additional change-order fees to CM Engineering Associates in the amount of approximately $71,200 (including construction staking) over and above the original contract fees of $111,100, S83,650, and $18,750, totaling $213,600. The total engineering fees including change orders ($71,200) and original contract fee ($213,600) are $284,800. CM Engineering Associates has also billed the Hodgdon's $34,250 for unauthorized work which, when added to the City/RDA fees ($284,800), total engineering related fees of approximately $319,050 for this project. .... Said additional change-order fees of approximately $71,200 were on the City Council/ RDA agenda on Monday, July 23, 1979, at which time the Council requested the possibility of a Council executive session pertaining to legal action with CM Engineering Associates relative to said additional fees. At that time, Mr. Warner W. Hodgdon, participating owner, appeared before the Council and revealed that he had received by mail an additional unauthorized billing from cM Engineering Associates for the same project in the amount of S34,250 and volunteered to review the $71,200 change order additional fees from CM Engineering Associates to the Agency, including his own unauthorized billings. Upon being able to gather appropriate data and documentation, Mr. Hodgdon committed to review same with the Council/RDA in order to progress on a constructive basis. Mr. Hodgdon and Mr. Wallace Green, Project Coordinator for Mr. Hodgdon, reiterated to the City/RDA at the July 23, 1979 meeting that the estimated project costs over and above bond proceeds, but not limited to, .... -.J ".... ...... [ [ interest earned, $174,000 contribution by the Hodgdon's for Blair Park and project cost, and proceeds from the sale of the club house land could be borne by the participating owners and operators. Books containing project data and documentation have been previously forwarded to the City Council/RDA and staff, which were the following: 1. Riverview Center , Southeast Industrial Project - Campus Crusade Administration Facility, State College Project Dated July 14, 1978 2. Shandin Hills South Progress Report - San Bernardino State College Redevelopment Project No.4 Dated August 30, 1978 3. Shandin Hills South Report Dated August 30, 1978 4. Shandin Hills South Report Dated August 30, 1978 5. Riverview Center - Andreson Building - Shandin Hills South State College Project - Updated Data and Documentation Dated October 16, 1978 6. General Memorandum Dated March 8, 1979 The bid documents prepared by CM Engineering Associates were advertised January 15, 1979, and bids were received by the Agency on February 5, 1979. Said bid documents, at the direction of the RDA staff and the Mayor, were separated into two phases (the Blair Park area and the Elks' golf club house-golf course area). The Blair Park area bid was awarded April 2, 1979 to Jesse Hubbs &. Sons Construction Company; and a contract for the Elks' golf club house-golf course area was not finalized because of, but not limited to, no specific water supply as contained in the golf course Operating Agreement, uncompleted geological information, no state drainage encroachment permit, along with re-engineering fees for the project as outlined within the CM Engineering Associates change-order fees ($71,200 and $34,250) totaling $105,450, etc. Subsequent to the Council meeting of July 23, 1979 pertaining to the $71,200 additional change-order fees to the original CM Engineering Associates contracts, these issues were placed on the Mayor's council workshop agenda of Friday, August 17, 1979. Warner W. Hodgdon and Wallace Green appeared and submitted data and documentation in book form entitled State College Project - San Bernardino Elks Building Association - All-America City Public Golf Course, Inc. - Participation Owners covering Public and Private Improvements - June 15, 1978 through August 16, 1979. State College Project - San Bernardino Elks Building Association - All- America City Public Golf Course, Inc. - Participation Owners covering Public and Private Improvements - August 16, 1979 through Completion is submitted herewith. Additional financial information, necessary to complete an objective analysis of this change order situation, to be obtained from the RDA was not available by the RDA for the August 17, 1979 RDA workshop meeting because of their priority for Agency bond refunding. Therefore, it was anticipated that the Agency financial information would be available by the next Council/RDA meeting of September 10, 1979. However, in the event said Agency financial information was available sooner, said information could be presented to the Council/RDA at the special RDA bond meeting to be held August 24, 1979 for bond refunding purposes. - ~~~~~j[-J I T ilf'l[~_><(.-~~-~~-!"':""itKi' !l1f~ 4798 Jiliii~ ! U~T #t~"..'>-1 4799 Agency information was not completed and available until 9 a.m., August 24, 1979, two hours before said special bond meeting. Mr. Wallace Green, Project Coordinator, appeared at said special bond meeting to ratify that he had received the Agency financial information two hours earlier and that the overall data and documentation would be available to the council at the RDA meeting to be held September 10, 1979. .... ..... Mr. Green was subsequently informed that the RDA could not hold its meeting on September 10, 1979, and the meeting was extended to Monday, September 17, 1979. Said Agency financial information pertaining to estimate funds available for the project is included within book of data and documentation submitted herewith and entitled State College Project - San Bernardino Elks Building Association - All- America City Public Golf Course, Inc. - Participation Owners covering Public and Private Improvements - August 16, 1979 through Completion. For clarification purposes, we feel it incumbent to restate for the record that neither the Hodgdon's nor the Hodgdon's staff at any time requested a special meeting or council workshop relative to this matter. We only volunteered at the Council/RDA meeting of July 23, 1979 to work toward the mutual benefit of all to understand and evaluate the proposed CM Engineering Associates additional fees by preparing in an organized manner data and documentation pertaining to same. Mr. Hodgdon also personally stated at the City/RDA meeting of July 23, 1979 that consideration of legal action with CM Engineering Associates and the RDA should first take into consideration the practical fact that project costs over and above, but not limited to, bond proceeds, interest earnings, Elks' land payments, and contribution of $174,000 by Warner and Sharon Hodgdon could be paid through the Participating Owners Agreements and the Operating Agreements if the project was completed. In te final analysis, as in the original concept, the excess cost brought about by additional refinements of the Council, Planning Department, loss of time, and the fact the Agency could not deliver water at the volume, pressure, and cost originally anticipated could all be an additional financial burden to the participating owners and operators. -... ...", In order to evaluate the CM Engineering Associates change order proposals to the RDA totaling $71,200 and not including additional unauthorized billings to Warner W. Hodgdon for the same project of $34,250, the total addition being ($71,200 plus $34,250) $105,450, the Council and RDA must take into consideration that the original engineer's fees for the same project were $111,200, $83,650, and $18,750, for a total of $213,600. In other words, the additional fees are approximately 50% more than the original proposal representing combined total engineering fees of approximately $319,050. In accordance with CM Engineering Associates' letter dated June 28, 1979, "Basically, the cost overruns can be lumped in three areas, a cost involved in the changes in the tentative and final mpas along with the negotiations with the Plannig Department a cost involved with geology, and the costs involved in revising previously approved plans (page 2, bottom)." Overall extra work items were more specific in CM Engineering Associates' letter to the RDA dated February 14, 1979, which included, but was not limited to, extra work for Contract No. 78-2 dated June 1, 1978 ($83,650), extra work for Contract No. 78-2 (Supplement) dated June 15, 1978 ($18,750), and extra work for Contract No. 78-3 dated June 15, 1978 ( $111,200), as example, "Change from orig. golf course concept (5 holes only) to 18 hole championship course per City Council." ...... ....,J 4800 r .... In order to comprehend the additional fees required by CM Engineering Associates of approximately $105,450, we retained the San Bernardino engineering firm of Neste,Brudin & Stone to prepare their fee proposals to complete the same required engineering for said project and to also prepare an updated "Mutually Acceptable Time Schedule." Enclosed herewith in you will find a book entitled State College Project - San Bernardino Elks Building Association - All-America City Public Golf Course, Inc. - Participation Owners - Public and Private Improvements -August 16, 1979 through Completion containing data and documentation pertaining to same. Neste, Brudin & Stone's fee to complete present project plans, including completion of the Blair Park site, is approximately S31,000. This fee is approximately $40,200 less than the additional CM Engineering Associates fee of $71,100. However, in meeting with CM Engineering Associates, they have explained to my satisfaction that their $71,200 additional change order fee being considered by the Council/RDA includes approximately $40,000 of work already done and that the additional unauthorized S34,250 billing to myself was submitted to my office after reviewing their February 14, 1979 additional fees of approximately $71,900 with the Mayor and RDA staff. As related to Mr. Green, Mr. Donald Hubbs, our project coordinator, and myself, CM Engineering Associates was instructed at that time to bill Warner W. Hodgdon $34,250 for engineering already completed for the RDA; and CM Engineering Associates subsequently submitted new additional extra fees to the Council/RDA dated July 16, 1979 in the amounts of $38,800 and $32,400, for a total of $71,200 ($40,000 of which, as explained in the above paragraph, had already been completed by CM Engineering Associates). [ In present terms, the simple fact of this project remains as originated, and my wife and I believe that it is of mutual benefit to the City and its west gateway, the State College, and the west side industrial employment and economic generations. We also reacknowledge that we were asked to do this project by the City/RDA/ and when an intermediary developer from Orange County could not perform in preference to our original voluntary position to do same as requested, we reaccepted the second request by the City/RDA to do this project and met the challenge to get the job done. This job has included, but is not limited to (I) buying the RDA bonds when the City/RDA received no bidders, (2) contributing 60 acres of contiguous freeway land to the City/RDA for a club house area to accomodate the relocation of the Elks Club, (4) contributing $174,000 towards Blair Park and project cost, (5) building a new $3.5 million international administrative headquarters, with 650 employees, with no City/RDA financial help, and (6) entering into a water exchange agreement with the city of San Bernardino Water Department when the RDA could not deliver water at a volume, pressure, or price that they had contracted for through the Operating Agreement. This additional water facility cost is approximately $150,000 additional to the Hodgdon's and (7) substantial additional costs have accumulated to the Hodgdon's because the approval process, which is still not completed, has taken approximately an additional one year. Fortunately, under the circumstances, the RDA has under its own discretion capitalized an additional one year's interest from this project (Series C) Bond Proceeds. In other words, the RDA has capitalized three years prefunded interest instead of the original City/RDA approved two years of capitalized interest. However, the additional one year of capitalized interest (approximately $280,000 @ 8% on $3.5 million) reduced the projects funds available for project cost by approximately $280,000. Therefore, while this is favorable to the City/RDA under the one year extended mutually acceptable time table, it increases the participating owners and operators potential contribution to the City/RDA an equal sum (approximately $280,000). [ l..l - r ,.~~ ~,":.".~,;".,,,",.; 4801 In spite of the job getting bigger and the project cost increasing over and above estimated cost by approximately $1.5 million, my wife and I will do our best to honor our original commitment along with those beyond our control, representing the increased cost for participating owners and operators. We realize that the present Participation Agreements and Operating Agreements require modification to meet the accumulation circumstances related within, but not limited to, the various reports, data and documentation made available to the City/RDA through meetings, discussions, and numerous reviews. Mr. Wallace Green, Project Coordinator, will continue to cooperate and inform the City Council, Mayor, and RDA staffs in carrying out their goals. We feel that by working together the State College Redevelopment Project No. 4 approved in 1970 may be a success for the mutual benefit of all the community family. Therefore, if the City/RDA approves the additional $71,200 engineering fees to CM Engineering Associates ($40,000 of which has been completed), we will concur with said approval and will also concur to pay the additional unauthorized fees of $34,250 originally submitted to the RDA and subsequently billed to the Hodgdon's. We have already paid for additional soils, geological, and related work of approximately $20,000, an additional $14,000 to make up dirt shortages to comply with the Blair Park area plans, along with providing several thousand yards of dirt required for shortage at the Blair Park expansion area. This does not include an estimated additional $60,000 for earth work to complete the building site on the north side of the Blair Park area that required an additional change order. ..., i -- It should also be noted that though the water mains were constructed in the Blair Park expansion area, there was a gap left between the new water main construction of approximately a block where there is no water main. Therefore, because there is no water to the new water mains, private development has been impeded. Secondly, when the parkway trees were to be delivered and planted on the job site by the contractor, as part of the landscape plans, the trees had to be diverted to the City Parks Department to be planted in other parts of the City, because even though there were water pipes for irrigation, there was no water mains with water to the project area in order to irrigate the trees. ~ j ...J In conclusion, my wife and I reacknowledge we have a "special Interest", that of getting the job done. We believe that the golf course creates an important greenbelt freeway entrance to the community and represents economic confidence in the west side of our city. This project is not an economic investment or benefit for us, it is a commitment to our beliefs and in the words of Mayor Holcomb, at the City/RDA meeting held July 23, 1979, "It is a form of philanthropy." We volunteered to pay increased costs over and above the original cost estimates and estimated bond proceeds. We did not contemplate, bt not limited to, having to buy a substantial portion of the bonds the City/RDA could find no bidders for or that engineering circumstances, city departmental requirements, project upgrading, and golf club house expansion would cause the original estimates to be exceeded by approximately $1.5 million. It has been projected that the re-engineering and bidding process will require approximately 120 days, and we will work with the City/RDA to process the plan of development for Shandin Hills North and South, along with cooperating with the re- engineering and additional cost in order to make the funds required available through the Participating Owners Agreements and Operating Agreement. We are also available to meet with the Mayor's Committee for this project in order that the chairman of said committee can report to the overall council as to project progress. ~ ......" c [ [ 4802 Chairman Holcomb thanked Mr. Green for his presentation and stated that the Board recognized that this was not a good financial investment from Mr. Hodgdon's standpoint and was grateful for the fact that he was willing to see the project through and expressed his appreciation. Mr. Richard Rieker, representing CM Engineering Associates, spoke regarding the problems encountered in trying to meet the deadlines in order to get the project out to bid within the time frame presented. He stated that his firm had performed the scope of services that was called for, including a soils report, but did not perform the geological study prior to starting the project inasmuch as no geology report was required. Mr. Gerwig stated that he felt consideration should be given in the future to a geology report before proceeding with any engineering contracts in any area of mountainous terrain or in the foothill areas. Mayor/Chairman Holcomb asked that the two Change Orders be approved without prejudice, and that if later on the Board felt that legal action was necessary, it could be dealt with at that time. A Motion was made by Hudson, seconded by Castaneda and unanimously carried, to approve the change orders to the CM Engineering Contracts and adopt the following resolutions. RES. NO. 3978 - RESOLUTION OF THE REDEVELOPMENT AGENCY AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CHANGE ORDER NO. I WITH CM ENGINEERING ASSOCIA TES TO PROVIDE ADDITIONAL ENGINEERING SERVICES IN SUPPORT OF THE CONSTRUCTION OF THE PUBLIC GOLF COURSE, ST ATE COLLEGE REDEVELOPMENT PROJECT AREA FOR THE SUM OF $38,800.00. RES. NO. 3979 - RESOLUTION OF THE REDEVELOPMENT AGENCY AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CHANGE ORDER NO. 2 WITH CM ENGINEERING ASSOCIA TES FOR ENGINEERING SERVICES RELATING TO STATE COLLEGE PROJECT NO.4 FOR THE SUM OF $32,400.00. RECESS At 5:45 p.m. a Motion was made by Gerwig, seconded by Castaneda and unanimously carried that the meeting be adjourned until 7:30 p.m. in the Council Chambers, 300 North "0" Street, San Bernardino, California. RECONVENE REDEVELOPMENT AGENCY BOARD MEETING At 9:00 p.m. the Redevelopment Agency Board reconvened for the regular meeting. Chairman Holcomb called the meeting to order with the following Board Members being present: Edward S. Wheeler, Robert A. Castaneda, Ralph Hernandez, Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs and Jack Strickler. Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. 4803 OFFER TO PURCHASE AGENCY OWNED PROPERTY (FORMER SEWER PLANT), SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA. ~ An Offer to Purchase was presented from McMahon Development Co./Harco Properties Inc., to build an 8 story, 220-room luxury hotel, including a coffee shop and meeting rooms, along with normal support facilities for the hotel operations. Plans include a quality dinner house restaurant and seven plus acres devoted to two-story garden offices and professional office buildings. The developer estimates that approximately 650 employees will be employed by the businesses located in the completed development. The developer is offering $805,000. for the 13.33 acres of vacant land. -' Mr. Gerwig expressed concern that a conflict with the proposed downtown hotel might evolve from this development. Chairman Holcomb stated that it was the feeling of the downtown hotel developer that another hotel would compliment the downtown hotel development should it come into fruition. Mr. Gerwig stated that he resented the fact that the Vice Chairman had not been alerted to the fact that negotiations were entered into regarding the offer to purchase the sewer plant property. Mr. Shadwell assured the Board that no prior negotiation had been engaged in prior to the submission of the offer to purchase the property. A Motion was made by Gerwig, seconded by Wheeler and unanimously carried, that the Bylaws be changed to require the Executive Director to notify the Chairman and the Vice Chairman, or in his absence, the Council Office, of any offers to purchase Agency owned property. .., i~ -i Mr. Flory informed the Board that it was not necessary to amend the Bylaws; that all that was required was to make a motion to instruct the Executive Director to do so. A Motion was made by Hudson, seconded by Wheeler and unanimously carried, to accept the Offer to Purchase from McMahon Development Co/Harco Properties, Inc., and set the Joint Public Hearing for October 15, 1979. RES. NO. 3980. - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO RECEIVE AN OFFER TO PURCHASE FROM McMAHON DEVELOPMENT COMPANY /HARCO PROPER TIES, INC., FOR PROPER TY LOCA TED WITHIN SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA, AND SETTING A JOINT PUBLIC HEARING FOR OCTOBER 15, 1979, AT 4:00 P.M. Mr. Keith Harwood, representing Harco Properties, Inc., was present and informed the Board that he would cooperate with Kennedy Cadillac who was interested in obtaining two acres of the property for expansion of their present location. Chairman Holcomb suggested that the developer consult with Norton Air Force Base regarding safety concerns in the flight pattern and to check with the Public Works Department regarding soils reports on the property. ...., -J [ r- "t '-' r L 4804 RECONSIDER CHANGE ORDERS - CM ENGINEERING CONTRACTS STATE COLLEGE REDEVELOPMENT PROJECT AREA. A Motion was made by Hernandez, seconded by Gerwig and unanimously carried, to reconsider the Change Orders to the CM Engineering Contracts regarding the golf course and residential developments in State College Redevelopment Project Area. Mr. Hernandez stated his concern regarding the payment to CM Engineering for extra work performed and that he felt some legal problems were involved if the money was paid out of the $100,000 non-refundable deposit. Mr. Hernandez made a Motion, seconded by Mr. Gerwig that Warner Hodgdon be informed that the CM Engineering Contract Change Order costs be paid out of his pocket and not from money being held by the Agency. Chairman Holcomb stated that he thought the issue should have been resolved earlier while Mr. Hodgdon was present. Mr. Flory informed the Board that under the existing agreement, the City/RDA was obligated to pay the engineering costs and that Mr. Hodgdon was not required to pay any money until the $1.4 million had been expended by the Agency, therefore, technically Mr. Hodgdon should not be asked to pay the money until the $1.4 million had been spent. After discussion, Mr. Gerwig withdrew his second. There being no other second, the motion failed. OFFER TO PURCHASE AGENCY OWNED PROPERTY WITHIN STATE COLLEGE INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA. Mr. Shadwell presented the Offer to Purchase 30 acres of land in State College Industrial Park Redevelopment Project Area from Chuck King and Associates with an offering price of $16,000 per acre. A Motion was made by Gerwig, seconded by Wheeler and unanimously carried to accept the offer and set a joint public hearing for October 15, 1979, for the sale of the property. RES. NO. 3981 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO RECEIVE AN OFFER TO PURCHASE FROM CHUCK KING & ASSOCIATES, FOR PROPERTY LOCATED WITHIN STATE COLLEGE INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA, AND SETTING A JOINT PUBLIC HEARING FOR OCTOBER 15, 1979, AT 4:00 P.M. OFFERS TO PURCHASE AGENCY OWNED PROPERTY LOCATED IN SOUTHEAST INDUSTRIAL PARK PROJECT AREA. Mr. Shadwell explained the Offers to Purchase the remaining 15 acres in the Southeast Industrial Park Project Area located west of Tippecanoe and south of Cooley Avenue. An offer had been received from VTN Consolidated/Eastern Pacific Financial Group, and another offer was from Chuck King and Associates. 4805 A Motion was made by Gerwig, seconded by Strickler and unanimously carried, to accept the two Offers to Purchase and set the Joint Public Hearing for the sale of ....... the property for October 15, 1979. RES. NO. - 3982 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO RECEIVE OFFERS TO PURCHASE FOR PROPERTY LOCATED WITHIN SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA, AND SETTING A JOINT PUBLIC HEARING FOR OCTOBER 15, 1979, AT 4:00 P.M. RESOLUTION PROVIDING FOR TRAVEL ALLOWANCES FOR PRIVATE AUTOMOBILES USED FOR AGENCY BUSINESS. ~ A Motion was made by Gerwig, seconded by Castaneda and unanimously carried, to adopt the following resolution. RES. NO. - 3983 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, ESTABLISHING CERTAIN POLICIES ON TRAVEL EXPENSES OF ITS MEMBERS, EXECUTIVE DIRECTOR, LEGAL COUNSEL, OTHER OFFICERS AND EMPLOYEES OF THE REDEVELOPMENT AGENCY AND CITY OFFICIALS OF THE CITY OF SAN BERNARDINO, TRA VELING ON OFFICIAL BUSINESS OF THE AGENCY AND RESCINDING RESOLUTION NO. 3455, PREVIOUSLY SETTING ..... FORTH SAID POLICY. c~ RESOLUTION AMENDING THE OFFICIAL PERSONNEL MANUAL ...." REGARDING TRAVEL COMPENSATION. A Motion was made by Wheeler, seconded by Castaneda and unanimously carried, to adopt the following resolution. RES. NO. - 3984 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING AMENDMENTS TO THE OFFICIAL PERSONNEL MANUAL. CHANGE ORDER TO RIVERSIDE CONSTRUCTION COMPANY'S CONTRACT - SOUTHEAST INDUSTRIAL PARK PROJECT AREA. A Motion was made by Gerwig, seconded by Wheeler and unanimously carried, to adopt the following resolution. RES. NO. - 3985 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CHANGE ORDER NO.2 WITH RIVERSIDE CONSTRUCTION COMPANY FOR A TIME EXTENSION RELATING TO STREET IMPROVEMENTS, SOUTHEAST INDUSTRIAL PARKS PROJECT, UNIT NO. 18. CHANGE ORDER TO THE JESSE HUBBS &: SONS, INC., BLAIR PARK CONSTRUCTION CONTRACT, STATE COLLEGE REDEVELOPMENT PROJECT AREA. ~ ........, 4806 r ! .... A Motion was made by Wheeler, seconded by Hobbs and unanimously carried, to adopt the following resolution. RES. NO. 3986. RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CHANGE ORDER NO. 3 WITH JESSE HUBBS & SONS, INC., PROVIDING FOR A CREDIT TO THE AGENCY RELATING TO A CONSTRUCTION CONTRACT, STATE COLLEGE REDEVELOPMENT PROJECT AREA. CHANGE ORDER TO WARREN DUNCAN DEMOLITION CONTRACT CENTRAL CITY SOUTH REDEVELOPMENT PROJECT AREA. A Motion was made by Wheeler, seconded by Gerwig and unanimously carried, to adopt the following resolution. RES. NO. 3987. RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CHANGE ORDER NO. I WITH WARREN DUNCAN, PROVIDING FOR A CREDIT TO THE AGENCY RELA TlNG TO A DEMOLITION CONTRACT, CENTRAL CITY SOUTH REDEVELOPMENT PROJECT AREA. CHANGE ORDER TO THE JESSE HUBBS & SONS CONSTRUCTION CONTRACT - CENTRAL CITY SOUTH REDEVELOPMENT PROJECT AREA. [ Mr. Shadwell explained the change order to the contract for the site preparation grading for Mervyn's Department Store development and the unexpected problems encountered during the soil excavation required by the soil engineer; the extra work involved an additional sum of $14,000. Mr. Bob Johnson of CHJ Laboratories was present and answered questions of the Board. Mr. Johnson stated that he felt the soils tests were performed competently in a manner consistent with the practice of soils engineers and that the coverage was adequate within the limitations of the project. After a lengthy discussion, Chairman Holcomb suggested that the matter be referred to Mr. Flory for a legal opinion as to whether or not the Agency was obligated to pay for the additional work performed. A Motion was made by Strickler, seconded by Hobbs and unanimously carried, that the matter be referred to the Agency's Legal Counsel and bring back his finding at the next Board meeting. AWARD A CONTRACT FOR THE DEMOLITION OF 451 thru 461 NORTH "E" STREET TO PROVIDE FOR THE EXPANSION OF THE DOWNTOWN PARKING DISTRICT. [ A Motion was made by Castaneda, seconded by Hobbs and unanimously carried, that the contract be awarded to the lowest bidder and adopt the following resolution. - ~::-:-~I.I'l-1V;';""'-.' 4807 ...... RES. NO. - 3990 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT FOR THE REMOVAL OF AGENCY OWNED BUILDINGS LOCATED AT 451 THRU 461 NORTH "E" STREET, CENTRAL CITY PARKING DISTRICT. ...,; RESOLUTION GRANTING AN EXTENSION OF TIME TO PERFORM RELA TIVE TO V ANIR RESEARCH COMPANY DEVELOPMENT OF COURT &: "E" STREETS, CENTRAL CITY REDEVELOPMENT PROJECT AREA. Mr. Shadwell presented the resolution extending the agreement for the development of property located at Court and "E" Street, as prepared by Wm. A. Flory and Mr. Arnoldo Beltran, Attorney for Vanir Research Company. Mr. Castaneda stated that the committee had not reviewed the agreement but that a meeting was scheduled with Mr. Dominguez for Tuesday, September 18, 1979 to determine a realistic development cost for the project. Motion by Hobbs, seconded by Castaneda and unanimously carried, that the matter be referred to the negotiating committee and continued to the next regular Board meeting. REPOR T FROM THE CITY ATTORNEY AND THE AGENCY LEGAL COUNSEL RELATIVE TO SETTLEMENT NEGOTIATIONS REGARDING TWO LAW SUITS FILED AUGUST 15, 1979, TO INVALIDATE CITY OF SAN BERNARDINO ORDINANCE NO. 3836, AND TO INV ALIDA TE THE ADOPTED NORTHWEST REDEVELOPMENT PROJECT AREA. ..... -II Mr. Wm. A. Flory, Agency Counsel, reported that the meeting set for Thursday, September 13th with Mr. C. Robert Ferguson and Mr. Thomas J. Keene, Attorneys for the Plaintiffs in the law suits, had been cancelled at the request of Mr. Ferguson in order that he could have more time to meet with his clients to discuss the settlement conference. The meeting has now been rescheduled for Thursday, September 27th at 9:30 a.m. Moved by Wheeler, seconded by Hudson and unanimously carried that the report be received and filed. Mr. Flory stated that he and the City Attorney were scheduled to make a court appearance on the two law suits on September 28th, but that he was in doubt as to whether or not they had the authority to do so. Moved by Wheeler, seconded by Gerwig and unanimously carried, to authorize the City Attorney and Agency Counsel to file an appearance on behalf of the City of San Bernardino and the Redevelopment Agency in the case of Ponce vs. Redevelopment Agency, et al and Wright vs. City of San Bernardino, et al, to explore the possibilities of settling the two lawsuits. ..... t 1 -i r i '-- r- "'- [ 4808 The meeting was adjourned at 10:30 p.m., to October 1, 1979 at 4:00 p.m., in the Council Chambers, 300 North "0" Street, San Bernardino, California. "11111"'6: Jim _ """11\ - -... 'fIII1IIiI .~ , -J [ [ [ 4809 MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, HELD OCTOBER 1, 1979. The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:40 p.m., Monday, October 1, 1979, by Chairman W. R. Holcomb in the Council Chambers, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman W. R. Holcomb; Board Members, Jack Strickler, John D. Hobbs, Ralph Hernandez, Robert A. Castaneda, Edward S. Wheeler, Jr., Richard F. Gerwig and Lionel E. Hudson; Executive Director, R. E. Shadwell, Jr.; Agency Counsel, Wm. A. Flory; Executive Secretary, Margaret Hoover. MINUTES A Motion was made by Wheeler, seconded by Hudson and unanimously carried, to approve the Minutes of the meeting of September 17, 1979. ANNUAL AUDIT REPORTS FOR FISCAL YEAR 1978-1979 Moved by Wheeler and seconded by Strickler to receive and file the official independent audit reports of Redevelopment Agency financial activities for the fiscal year July 1, 1978 through June 30, 1979. Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson and Strickler. Noes: None. Absent: Hobbs. RESOLUTIONS APPROVING AGREEMENTS FOR THE ISSUANCE OF TAX ALLOCATION REFUNDING BONDS SOLD ON SEPTEMBER 17, 1979. Mr. Shadwell explained the proposals as presented which were necessary to service the $2,800,000 Central City North Redevelopment Project Area Tax Allocation Bonds, 1979 Series A. Glenda Saul answered questions of the Board regarding the schedule of fees and the scope of services by the Fiscal Agent for the bond transactions. A Motion was made by Wheeler and seconded by Castaneda to adopt the following resolutions approving the agreements for the issuance of the Central City North Tax Allocation Bonds. RES. NO. 3991 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO APPROVING A CERTAIN ESCROW AGREEMENT. RES. NO. 3992 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO APPROVING AN AGREEMENT FOR FISCAL AGENT SERVICES. '1_11: .. 4810 Resolutions No. 3991 and No. 3992 were adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson and Strickler. Noes: None. Absent: Hobbs. Abstention: Hernandez. J RESOLUTION GRANTING AN EXTENSION OF TIME TO PERFORM RELA TIVE TO THE V ANIR RESEARCH COMPANY DEVELOPMENT OF COURT &: "E" STREETS, CENTRAL CITY REDEVELOPMENT PROJECT AREA. Mr. Shadwell presented a proposed resolution together with a comparative schedule regarding land and building size between the Santa Fe Federal Plaza Office and the Court and "E" Street Parcels. A lengthy discussion followed. Mr. Castaneda informed the Board that the Committee planned to meet to review the resolutions with Mr. Dominguez. A Motion was made by Castaneda, seconded by Wheeler and unanimously carried, that the matter be continued to the next regular Board meeting. CHANGE ORDER TO THE JESSE HUBBS &: SONS CONSTRUCTION CONTRACT RELATIVE TO SITE PREP ARA TION FOR THE MERVYN'S DEPARTMENT STORE DEVELOPMENT, CENTRAL CITY SOUTH REDEVELOPMENT PROJECT AREA. This item was continued from the previous Board meeting for a legal opinion from Agency Counsel. J Mr. Flory requested continuance of the matter until he could further research the issues relating to the extra work involved. A Motion was made by Hudson, seconded by Wheeler and unanimously carried, that the matter be continued to the next regular Board meeting. EMINENT DOMAIN EXEMPTIONS FOR PROPERTY LOCATED WITHIN THE ADOPTED NORTHWEST REDEVELOPMENT PROJECT AREA. Chairman Holcomb stated that in view of the pending law suits in the Northwest Redevelopment Plan filed against the City of San Bernardino and the Redevelopment Agency, he felt it would be bad policy to make plans for the exemption of eminent domain proceedings at this time, and suggested that the request of property owners that properties they own located within the boundaries of the project area be exempt from eminent domain, be held in abeyance until a settlement of the court cases had been reached. A Motion was made by Hernandez, seconded by Wheeler and unanimously carried, that the matter be Tabled. ] ' . [ [ [ REPORT FROM THE CITY ATTORNEY AND THE AGENCY LEGAL COUNSEL RELATIVE TO SETTLEMENT NEGOTIATIONS REGARDING TWO LAW SUITS FILED AUGUST 15, 1979 AGAINST THE CITY OF SAN BERNARDINO AND THE REDEVELOPMENT AGENCY TO INV ALIDA TE CITY OF SAN BERNARDINO ORDINANCE NO. 3836, AND TO ENJOIN THE IMPLEMENT A TlON OF THE NORTHWEST REDEVELOPMENT PLAN. Chairman Holcomb requested that the above matters be considered in an Executive Session. LEASE BETWEEN THE REDEVELOPMENT AGENCY AND ROGER'S BINDERY FOR THE LEASE OF AGENCY OWNED PROPERTY LOCATED WITHIN THE FREDERICKS-HANSEN PAINT BUILDING. A discussion ensued regarding the payment of utilities by lessees of the subject property.. Mr. Shadwell assured the Board that neither the City nor the Agency pays any utilities for the building and that each tenant pays his share on a prorata basis to the tenants who are running the building. Mr. Hernandez stated that he objected to the payment of utilities being made to the CET A Office and suggested that some amendment be made to alleviate the situation. A Motion was made by Hudson,seconded by Strickler and unanimously carried, that Section 6 of the Lease Agreement be changed to read as follows: "The lessee shall pay a prorata share of light, refuse collection and any other utility services in connection with its occupancy of the demised premises, to the Redevelopment Agency." A Motion was made by Hudson, and seconded by Wheeler to adopt the following resolution approving the lease between the Agency and Roger's Bindery, subject to the amendment of Section 6. RES. NO. 3993 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO APPROVING A LEASE BETWEEN THE AGENCY AND ROGER'S BINDERY. Resolution No. 3993 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Hudson and Strickler. Noes: None. Absent: Gerwig and Hobbs. EMERGENCY MATTER - CURRENT STATUS OF HR 3712 (ULLMAN BILL) Mr. Shadwell presented a memorandum from James Warren Beebe, Bond Counsel in Los Angeles, which related information regarding the current status of HR 3712 (The Ullman Bill) relating to starting action of the City wide bond issue for housing under the existing Bond Bill. ~l." I1IIU . 4811 ,Jfi. .. r:v. 1....""'" 4812 Mayor/Chairman Holcomb stated that by approval by the Board and the City Council of the resolutions being telecopied to the Agency Office at this time, the City would be in a position to "grandfather" in the various projects at a later date which cannot currently be financed under the existing Bill. l ...J A Motion was made by Strickler, seconded by Wheeler and unanimously carried, to waive the ruling that no new items be brought before the Board that were not on the Agenda, and consider the proposed resolutions later in the meeting authorizing the issuance of residential mortgage revenue bonds with respect to the various Redevelopment Project Areas. ADJOURN MEETING - EXECUTIVE SESSION At 5:20 p.m., a Motion was made by Wheeler, seconded by Hernandez and unanimously carried, that the Regular Meeting of the Redevelopment Agency adjourn to an Executive Session to discuss pending litigation. EXECUTIVE SESSION At 5:20 p.m., the Executive Session of the Redevelopment Agency Board was called to order by Chairman Holcomb in the Council Chambers Board Room, 300 North "0" Street, San Bernardino, California. ROLL CALL Roll Call indicated the following Board Members present: Chairman W. R. Holcomb, Edward S. Wheeler, Jr., Robert A. Castaneda,Ralph Hernandez, Richard F. Gerwig, Lionel E. Hudson and Jack Strickler. Absent: John D. Hobbs. Also present: Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory, City Adm.,Marshall Julian, City Attorney, Ralph Prince, Assistant City Attorney, Paul Mordy, City Clerk, Shauna Clark and Ex. Sec.,Margaret Hoover. At 5:25 p.m. Mr. Hobbs arrived at the Executive Session. ] ADJOURN EXECUTIVE SESSION At 5:45 p.m., the Executive Session of the Redevelopment Agency was declared adjourned. RECONVENE MEETING The Regular Meeting of the Redevelopment Agency reconvened in the Council Chambers, 300 North "0" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman W. R. Holcomb, Edward S. Wheeler, Jr., Robert A. Castaneda, Ralph Hernandez, Richard F. Gerwig, Lionel E. Hudson, Jack Strickler, John D. Hobbs, R. E. Shadwell, Jr., Wm. A. Flory, and Margaret Hoover. RECESS MEETING ..., i ....J At 6:15 p.m. the Meeting was recessed until 7:30 p.m. [ [ [ "01 4813 RECONVENE REDEVELOPMENT AGENCY MEETING At 8:30 p.m. the Regular Meeting of the Redevelopment Agency reconvened to act on the remainder of the Redevelopment Agency agenda items. ROLL CALL Roll Call was taken with the following being present: Chairman W. R. Holcomb, Edward S. Wheeler, Jr., Robert A. Castaneda, Ralph Hernandez, Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs, Jack Strickler, R. E. Shadwell, Jr., Wm. A. Flory, SETTLEMENT NEGOTIATIONS REGARDING THE TWO LAWSUITS FILED AGAINST THE CITY OF SAN BERNARDINO AND THE REDEVELOPMENT AGENCY - NORTHWEST REDEVELOPMENT PLAN. Mayor/Chairman Holcomb reported that after a lengthy discussion with the Attorneys for the Redevelopment Agency and the City of San Bernardino, it appeared to be the general consensus of the Agency Board and the City Council that it would be prudent to rescind the Ordinance creating the Northwest Redevelopment Plan. He stated that, because of the delay and the expense involved and the fact that it is the opinion of the Attorneys that one technical point is involved, it would probably be unsuccessful grounds for challenging the Plaintiffs in the two law suits and the practical decision would be to rescind the Northwest Project and perhaps come back and reconsider a different project boundary, eliminating some of the areas and coming back with a more specific plan for housing. Mr.Hobbs stated his opposition to abandoning the plan. After a lengthy discussion, a Motion was made by Wheeler and seconded by Gerwig, that due to the cost and time to litigate, and the possibility of losing because the plan fails to be more specific on the displacement of residents in the area, that City Ordinance No. 3836 be rescinded and the Northwest Redevelopment Plan be abandoned. The motion was approved by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson and Strickler. Noes: Hobbs. Absent: None. RESOLUTIONS AUTHORIZING THE ISSUANCE OF THE RESIDENTIAL MOR TGAGE REVENUE BONDS FOR THE PURPOSE OF ACQUIRING MOR TGAGES ORIGINATED WITH RESPECT TO THE VARIOUS PROJECTS WITHIN THE CITY OF SAN BERNARDINO. Mr. Shadwell presented the resolutions pertaining to the Redevelopment Agency and to the City of San Bernardino. A Motion was made by Strickler and seconded by Wheeler to adopt the following resolutions. RES. NO. 3994 - A RESOLUTION AUTHORIZING THE ISSUANCE OF THE CITY OF SAN BERNARDINO, RESIDENTIAL MORTGAGE REVENUE BONDS, FOR THE PURPOSE OF ACQUIRING MORTGAGES ORIGIN A TED WITH RESPECT TO THE HEREIN DESCRIBED PROJECTS - NOR THWEST REDEVELOPMENT PROJECT AREA. - 4814 RES. NO. 3995 - A RESOLUTION AUTHORIZING THE ISSUANCE OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, RESIDENTIAL MORTGAGE REVENUE BONDS, FOR THE PURPOSE OF ACQUIRING MORTGAGES ORIGINATED WITH RESPECT TO THE HEREIN DESCRIBED PROJECTS - STATE COLLEGE PROJECT AREA. ] RES. NO. 3996 - A RESOLUTION AUTHORIZING THE ISSUANCE OF REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, RESIDENTIAL REHABILITATION MORTGAGE REVENUE BONDS, FOR THE PURPOSE OF ACQUIRING MORTGAGES ORIGINA TED WITH RESPECT TO THE HEREIN DESCRIBED PROJECTS. RES. NO. 3997 - A RESOLUTION AUTHORIZING THE ISSUANCE OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO RESIDENTIAL MORTGAGE REVENUE BONDS FOR THE PURPOSE OF ACQUIRING MORTGAGES ORIGIN A TED WITH RESPECT TO THE HEREIN DESCRIBED PROJECTS - CENTRAL CITY EAST PROJECT AREA. The foregoing resolutions were adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson and Strickler. Noes: None. Absent: Hobbs. Abstention: Hernandez. The Meeting was adjourned at 9:20 p.m., to October 15, 1979, at 4:00 p.m., in the Council Chambers, 300 North "D" Street, San Bernardino, California. J ] [ "..-, L [ 4815 MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, HELD OCTOBER 15, 1979. The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:15 p.m., Monday, October 15, 1979, by Chairman w. R. Holcomb in the Council Chambers, 300 North "0" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman W. R. Holcomb; Board Members, Jack Strickler, John D. Hobbs, Ralph Hernandez, Robert A. Castaneda, Edward S. Wheeler, Jr., Richard F. Gerwig and Lionel E. Hudson; Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory, Executive Secretary, Margaret Hoover. MINUTES A Motion was made by Wheeler, seconded by Gerwig and unanimously carried, to approve the Minutes of the Meeting of October 1, 1979. STATE CONTROLLER'S ANNUAL REPOR T OF FINANCIAL TRANSACTIONS OF SPECIAL DISTRICTS AS OF JUNE 30, 1979. A Motion was made by Gerwig and seconded by Wheeler to receive and file the Report. The Motion carried by the following vote to wit: Ayes: Wheeler, Hernandez, Gerwig, Hudson and Strickler. Noes: None. Absent: Castaneda and Hobbs. RESOLUTION GRANTING AN EXTENSION OF TIME TO PERFORM, RELA TlVE TO THE V ANIR RESEARCH COMPANY DEVELOPMENT OF COURT & "E" STREETS, CENTRAL CITY REDEVELOPMENT PROJECT AREA. A Motion was made by Gerwig and seconded by Hernandez that this matter be continued to the meeting of November 5, 1979. Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson and Strickler. Noes: None. Absent: Hobbs. RESOLUTION AUTHORIZING CHANGE ORDER NO.1, TO THE JESSE HUBBS & SONS CONTRACT FOR SITE PREP ARA TlON IN SUPPORT OF THE MERVYN'S DEPARTMENT STORE DEVELOPMENT, CENTRAL CITY SOUTH REDEVELOPMENT PROJECT AREA. A Motion was made by Hernandez and seconded by Castaneda that this matter be continued to the meeting of November 5, 1979. Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson and Strickler. Noes: None. Absent: Hobbs. lr - LU ..::...........;;...".;";.,, ~_.,.. J:jti:Jil!!i 4816 JOINT PUBLIC HEARING TO CONSIDER THE SALE OF AGENCY OWNED REAL PROPERTY (FORMER CITY SEWER PLANT), LOCA TED IN THE AREA BOUNDED BY ORANGE SHOW ROAD, CENTUR Y A VENUE AND CAMINO REAL, SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA. ..., ....,J Mayor/Chairman Holcomb opened the Joint Public Hearing. Mr. Shadwell informed the Board that the original offer made by McMahon Development Co./Harco Properties, Inc., for the sum of $805,000.00, had been amended to delete the proposed hotel; the reasons being a seismic fault running through the area, and also a very serious problem with the soil. Keith Harwood, representing Harco Properties, Inc., spoke regarding the problem of low flying aircraft from Norton Air Force Base and the combined problems of the underlying soils in the area. Consequently, McMahon/Harco had retracted their plans for the 222 room hotel and changed the entire development to a more realistic plan for the area to include two restaurants, a three story office building, a four story office building and 5 two-story garden type office buildings. Mr. Harwood stated that he had had two meetings with Jack Kennedy regarding the sale of a portion of the property to Kennedy Cadillac and that his main concern was not to totally shut off the window to the freeway on the southern approach to the property. He stated that they had agreed on approximately 2.11 acres for the Kennedy Cadillac portion and that he felt this could be worked out satisfactorily to all parties concerned. He reported that there was some misconception regarding the soils report on the property. Apparently the soils report available from the City Engineer was only on that portion occupied by Kennedy Cadillac. Mr. Harwood requested that a stipulation be made that, assuming the soils report on the remaining property shows nothing worse than is shown on the report for the Kennedy portion, then he would go ahead with the escrow. ..... J Mr. Harwood explained that in making this amended offer, it is understood that the closing of escrow is conditioned upon the completion of sewer improvements in Orange Show Road and the service availability to the southwest corner of the property at the sole responsibility and expense to the City. Chairman Holcomb explained that this was a matter of difficult timing due to the access of right-of-way and that he felt this should be tied down and go to bid on the construction for the sewer at the earliest possible date, now that there was a firm commitment from a developer. Ronald D. McMahon made a brief statement to the effect that his company could not obtain o:::cupancy permits to build until the sewer was actually in and a working facility. Chairman Holcomb recommended that escrow be closed on the 2.11 acre portion of the property upon obtaining the appropriate lot split and paying the appropriate pro rata cost, in order that Kennedy Cadillac could obtain that portion of the property since they were badly in need of space.. .... ...J 4817 [ A Motion was made by Hudson, seconded by Wheeler and unanimously carried, that the bid of McMahon Development Company and Harco Properties, Inc., be accepted for the offering price of $805,000.00; escrow to close 30 days after the City awards the contract for the sewer installation, or within one year from this date. In the event the sewer contract is not awarded within one year, either the Developer or the Agency may cancel. Immediate release of the Kennedy parcel upon arriving at a negotiated price agreed to by the City and Kennedy, and when an appropriate lot split is processed. Addendum B of the Disposition and Joint Development Agreement to be rephrased to this effect; and to close the Public Hearing. RES. NO. 3998 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO A DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND MCMAHON DEVELOPMENT COMPANY AND HARCO PROPERTIES, INC., FOR PROPERTY LOCATED IN THE SOUTHEAST INDUSTRIAL PARK PROJECT AREA. Resolution No. 3998 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. JOINT PUBLIC HEARING TO CONSIDER THE SALE OF AGENCY OWNED REAL PROPERTY LOCATED WITHIN THE STATE COLLEGE INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA. r- Mayor/Chairman Holcomb opened the Public Hearing. , L Mr. Shadwell gave a brief review of the offer to purchase the 30 acres of property located in the State College Industrial Park Area, which was originally sold to TreeSweet and bought back by the Agency after plans were cancelled to build a citrus processing plant in the industrial park area. The offer from Chuck King and Associates for the 30 acres at a price of $480,000.00, with a build out program scheduled to be the same as the original Arosa Development of 155 acres purchased for a commercial and industrial development to be completed within a 5 year period, close of escrow to be 60 days from this date. There being no further offers, a Motion was made by Strickler and seconded by Gerwig, that the Public Hearing be closed and to accept the offer of Chuck King and Associates for approximately 30 acres of Agency owned property located in the State College Industrial Park Project Area for the sum of $480,000.00. RES. NO. 3999 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO A DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND CHUCK KING AND ASSOCIATES FOR PROPERTY LOCATED IN THE STATE COLLEGE INDUSTRIAL PARK, STATE COLLEGE PROJECT AREA. Resolution No. 3999 was adopted by the following vote to wit: Ayes: Castaneda, ,.... Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: Wheeler. L 4818 JOINT PUBLIC HEARING TO CONSIDER THE SALE OF AGENCY OWNED REAL PROPERTY LOCATED WEST OF TIPPECANOE AVENUE AND SOUTH OF COOLEY A VENUE, SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA. ~ ....- Mayor/Chairman Holcomb opened the Joint Public Hearing. Mr. Shadwell presented the two bids for the purchase of the 15 acre site and referred to a chart on the display board. VTN Consolidated/Eastern Pacific Financial Group is offering $25,000 per acre for a total price of $375,000 for a 276,660 square feet of development, with a build out schedule to start 6 months after the close of escrow and ending in three and one half years, an estimate of 100,000 square feet annually, capital investment in the amount of $6,095,000 with an estimated number of 550 employees. Chuck King and Associates is offering $30,000 per acre for a total price of $450,000 for 275,725 square feet of development, with a build out schedule to start 6 months after the close of escrow for a four year period with an estimated 68,932 square foot annually, capital investment in the amount of $5,500,000, with an estimated number of 600 employees. Mr. William Betterley, Consultant to the VTN Eastern Pacific Financial Group, informed the Board that he would consider raising their bid to $450,000.00 , for a total price for the property, with a 60 day close of escrow. Mr. Chuck King stated that he would hold his bid at $450,000.00. Mr. Betterley stated that as a planned unit, the Property Owners Association within the unit would maintain the landscaping and the environmental process as well as the roads within the complex itself. ~ ..J Mr. King stated that his company planned dedicated public streets as opposed to private streets. Mr. Shadwell stated that, in his opinion, the way the bids were presented, VTN was the highest and best bid. Mr. Wm. A. Flory, Agency counsel, suggested that the Agency be made a party to the agreement with the association members within the complex so that the Agency could enforce the provisions of the agreement regarding the landscaping and the maintenance of the private roads. Mr. Betterley stated that his company would have no problem with this request. A Motion was made by Hernandez, seconded by Castaneda and unanimously carried, to close the Public Hearing and accept the offer of VTN Consolidated/Eastern Pacific Financial Group, to purchase approximately 15.0 acres of Agency owned property located west of Tippecanoe A venue and south of Cooley A venue in the Southeast Industrial Park Project Area for a total price of $450,000.00. .... ...,J r I L..., ,-. i ! L ,-. I I ~ 4819 RES. NO. 4000 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO A DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND VTN CONSOLIDATED/EASTERN PACIFIC FINANCIAL GROUP, A JOINT VENTURE, FOR PROPERTY LOCATED IN THE SOUTHEAST INDUSTRIAL PARK PROJECT AREA. Resolution No. 4000 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. AWARD A CONTRACT FOR THE DEMOLITION OF THE TWO-STORY PARKING GARAGE LOCATED AT 465 tTH STREET, TO PROVIDE FOR THE EXPANSION OF THE CITY OF SAN BERNARDINO DOWNTOWN PARKING DISTRICT. Mr. Shadwell explained that the low bidder was Mr. Warren Duncan for the sum of $26,940.00 to demolish the structure. A Motion was made by Castaneda and seconded by Wheeler to award the bid to Warren Duncan and adopt the following resolution. RES. NO. 4001 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT FOR THE REMOVAL OF AGENCY OWNED BUILDINGS LOCATED AT 465 5TH STREET, CENTRAL CITY PARKING DISTRICT. Resolution No. 4001 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hudson and Strickler. Noes: Gerwig. Absent: Hobbs. Abstention: Hernandez. AWARD A CONTRACT FOR THE DEMOLITION OF THE VACANT RESIDENCE LOCATED AT 687 WEST 2ND STREET, TO PROVIDE PARKING AREA FOR THE MERVYN'S DEPARTMENT STORE DEVELOPMENT. Mr. Shadwell explained that the low bidder was Mr. William E. Wells for the sum of $2,311.00 to demolish the structure. A Motion was made by Gerwig and seconded by Wheeler to award the bid to William E. Wells and adopt the following resolution. RES. NO. 4002 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT FOR THE REMOVAL OF AGENCY OWNED BUILDINGS LOCATED AT 687 WEST 2ND STREET CENTRAL CITY SOUTH REDEVELOPMENT PROJECT AREA. Resolution No. 4002 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson, and Strickler. Noes: None. Absent: Hobbs. Abstention: Hernandez. r:jll!'lFlIiIlIl. I", ."]<1 "f T~ _ -.A __ ~w-'t'i;:."""'""""'''"''''''''';;;'';'~''''';''-'''~ 4820 CONSIDER A CLAIM FILED AGAINST THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO. ..... A Motion was made by Gerwig and seconded by Hernandez to deny the claim filed against the Agency by Calvin M. Young, III, on behalf of Andre Cole and John D. Hobbs, Jr., and refer any future actions regarding this matter and the defense of any law suits which may hereafter be filed, to the City Attorney of the City of San Bernardino, pursuant to Paragraph II of the Agreement dated May 22, 1979, between the Agency and the City for Security Guard Program. ..",.j Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson and Strickler. Noes: None. Absent: Hobbs. RESOLUTION AMENDING THE BYLAWS OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO RELATIVE TO THE DISTRIBUTION OF OFFERS TO PURCHASE AGENCY OWNED PROPERTY. Moved by Gerwig and seconded by Wheeler to adopt the following resolution. RES. NO. 4003 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AMENDING THE BYLAWS FOR THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, PERTAINING TO THE DUTIES OF THE SECRETARY/EXECUTIVE DIRECTOR, RELATING TO OFFERS FOR THE PURCHASE OF AGENCY OWNED REAL PROPERTY. ... Resolution No. 4003 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson and Strickler. Noes: None. Absent: Hobbs. ...... CONSIDER LEGAL ACTION TO RESCIND THE CONTRACT OF SALE OF AGENCY OWNED REAL PROPERTY TO HUNTLEY PROPERTIES, INC., DATED 9-15-77, FOR THE DEVELOPMENT OF THE INLAND EMPIRE MEAT COMPANY, SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA. Moved by Hernandez, seconded by Hudson and unanimously carried that the matter be tabled. PRESENTATION BY LOUIS M. HERNANDEZ, DIRECTOR OF PARK AND RECREATION RELATIVE TO AGENCY OWNED PROPERTY NEEDED FOR DEVELOPMENT OF THE SECCOMBE LAKE STATE PARK. Presently, the City of San Bernardino and the State of California Park and Recreation Departments are in the process of developing a State Park in the City of San Bernardino in the Seccombe Lake area. One of the requirements is for all publicly owned land to be transferred, fee and title, to the State of California before any monies can be spent. The Redevelopment Agency owns a small plot located within the area for acquisition by the State for the expansion of Seccombe Lake Park. ... ....., r F II i..- r I l.... [ 4821 A Motion was made by Castaneda, seconded by Hernandez and unanimously carried, to instruct the staff to prepare the necessary resolution granting that portion of Agency owned property to the City of San Bernardino for the development of Seccomb Lake Park. The Meeting was adjourned at 5:00 p.m. to the Regular Meeting of November 5, 1979 at 4:00 p.m., in the Council Chambers, 300 North "0" Street, San Bernardino, California. ...... """"" .... ....J ,.., .J 4822 ,.... I '-- MINUTES OFTHE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, HELD NOVEMBER 5, 1979. The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:00 p.m., Monday, November 5, 1979, by Chairman W. R. Holcomb in the Council Chambers, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Robert A. Castaneda, Ralph Hernandez, Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs, Jack Strickler; Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory, Executive Secretary, Margaret Hoover. MINUTES A Motion was made by Wheeler, seconded by Gerwig and unanimously carried, to approve the Minutes of the Meeting of October 15, 1979. r- RESOLUTION GRANTING AN EXTENSION OF TIME TO PERFORM RELA TIVE TO THE V ANIR RESEARCH COMPANY DEVELOPMENT OF COURT & "E" STREET, CENTRAL CITY REDEVELOPMENT PROJECT AREA. i f L Mr. Shadwell explained that this matter was continued from a previous meeting to allow the committee sufficient time to meet with Mr. Frank Dominguez to amend the resolution granting additional time to develop the property at Court and "E" Streets. A resolution was presented which all parties had agreed to at the committee meeting of October 22, 1979. Chairman Holcomb stated his objection to the reduced square footage of office facilities, excluding parking, as presented in the resolution, and that Mr. Dominguez had earlier agreed to as large a building as the City's parking ordinance would permit, leaving room for sufficient ground level parking. He said he had requested City Administrator Marshall Julian to research and analyze the issue and Mr. Julian's conclusion was that if the building extended along "E" Street, then a larger square footage of possibly 60,000 square feet could be utilized instead of the 42,000 stated in the resolution. Mr. Castaneda objected to further revisions of the resolution. Mr. Gerwig objected to a section in the resolution whereby Mr. Dominguez would be allowed two years to submit a totally new development and project in the event the application for a UDAG grant did not materialize. [ Mr. Strickler made a motion and seconded by Mr. Hernandez granting Mr. Dominguez an extension of time within which to perform the Disposition and Joint Development Agreement with the Redevelopment Agency for property located at Court and "E" Streets. - -JOIil;liI- .::j;:-~9A.."".,;".,; 4823 RES. NO. 4004 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO GRANTING AN EXTENSION OF TIME WITHIN WHICH TO PERFORM DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND H. FRANK DOMINGUEZ, DBA V ANIR RESEARCH COMPANY, FOR PROPERTY LOCATED IN CENTRAL CITY PROJECT AREA, (COURT AND "E" STREETS). ~ ..", Resolution No. 4004 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Hudson, Hobbs and Strickler. Noes: Gerwig. Absent: None. CHANGE ORDER TO THE JESSE HUBBS & SONS CONTRACT - MERVYN'S DEPARTMENT STORE DEVELOPMENT, CENTRAL CITY SOUTH REDEVELOPMENT PROJECT AREA. Mr. Shadwell explained that this matter was a continued item from the previous meeting awaiting a legal opinion from the Agency's counsel. Mr. Flory answered questions regarding his written legal opinion. Mr. Hernandez and Mr. Hobbs stated their objections to approval of the Change Order. A Motion was made by Hudson and seconded by Wheeler to authorize the Change Order and adopt the following resolution. RES. NO. 4005 - RESOLUTION OF THE REDEVELOPMENT AGENCY AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CHANGE ORDER NO. I WITH JESSE HUBBS & SONS FOR ADDITIONAL WORK PERFORMED IN AN AMOUNT NOT TO EXCEED $14,000.00 MERVYN'S DEPARTMENT STORE SHOPPING CENTER, CENTRAL CITY SOUTH PROJECT AREA, UNIT NO.1. ~ -...t# Resolution No. 4005 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson and Strickler. Noes: Hernandez and Hobbs. Absent: None. RESOLUTION SETTING A JOINT PUBLIC HEARING FOR THE PURPOSE OF CONVEYING AGENCY OWNED PROPERTY TO THE CITY OF SAN BERNARDINO FOR THE EXPANSION OF SECCOMBE LAKE PARK. A Motion was made by Gerwig and seconded by Wheeler to adopt the following resolution setting a Joint Public Hearing for December 3, 1979. RES. NO. 4006 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, SETTING A JOINT PUBLIC HEARING FOR THE PURPOSE OF CONVEYING AGENCY OWNED PROPERTY TO THE CITY OF SAN BERNARDINO, CALIFORNIA, FOR THE EXPANSION OF SECCOMBE LAKE PARK, AND AUTHORIZING THE PUBLICATION OF THE LEGAL ADVERTISEMENT THEREOF. Resolution No. 4006 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. Abstention: Hernandez. --. -....J r- ~ R ~ ",-. \.- [ 4824 OFFER TO PURCHASE AGENCY OWNED PROPERTY LOCATED ON THE SOUTH SIDE OF THE OLD "PENNEY" BUILDING, CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. A Motion was made by Strickler and seconded by Castaneda to set a Joint Public Hearing for December 3, 1979, and adopt the following resolution. RES. NO. 4007. RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO RECEIVE AN OFFER TO PURCHASE FROM HUGO AND IRMGARD BLUM FOR PROPERTY LOCATED WITHIN THE CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA, AND SETTING A JOINT PUBLIC HEARING FOR DECEMBER 3, 1979 AT 4:00 P.M. Resolution No. 4007 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. Abstention: Hernandez. OFFER TO PURCHASE AGENCY OWNED PROPERTY LOCATED ON THE SOUTH SIDE OF HIGHLAND A VENUE BETWEEN MUSCOTT AND WESTERN A VENUES. Mr. Shadwell explained the purpose of the development was for an auto upholstery business and explained the location on the map on the display board. A discussion followed regarding the best potential use of the property. Mr. Wanda Wells was present and stated that he would be agreeable to rearrange the plans for the layout of his project in order to leave the end of the property for other uses. A Motion was made by Gerwig and seconded by Hobbs to set a Joint Public Hearing for December 3, 1979, and adopt the following resolution. RES. NO. 4008. RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO RECEIVE AN OFFER TO PURCHASE FROM WANDA L. WELLS FOR AGENCY OWNED PROPERTY, AND SETTING A JOINT PUBLIC HEARING FOR DECEMBER 3, 1979,A T 4:00 P.M. Resolution No. 4008 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. Abstention: Hernandez. CHANGE ORDER TO THE C M ENGINEERING CONTRACT FOR CONSTRUCTION PLANS PROVIDING FOR TRAFFIC SIGNALS AT THE INTERSECTION OF LITTLE MOUNTAIN DRIVE AND EDGEHILL ROAD. Mr. Shadwell explained that at the request of the City Engineer, a Traffic Report had been prepared for the State College Project No.4, in which he recommended consideration be made to provide traffic signals at the intersection of Little Mountain Drive and Edgehill Road, and that pursuant to this determination, the report had been adopted by the Planning Commission at their meeting on October 16, 1979. .ifi if W.VlI,_ r'lJ~ - l,-""':ji__"~'" 4825 A Motion was made by Hudson, seconded by Wheeler, to approve the Change Order and adopt the following resolution. ~ RES. NO. 4009 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CONRACT AMENDMENT NO.3, WITH C M ENGINEERING ASSOCIATES FOR ENGINEERING SERVICES RELATING TO STATE COLLEGE PROJECT NO.4, FOR THE SUM OF $4,200.00. ....., Resolution No. 4009 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hudson, Hobbs and Strickler. Noes: Hernandez and Gerwig. Absent: None. CHANGE ORDER TO THE RIVERSIDE CONSTRUCTION COMPANY CONTRACT FOR A TIME EXTENSION, TRACT 9809, SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA. A Motion was made by Castaneda, seconded by Wheeler, to approve the Change Order and adopt the following resolution. RES. NO. 4010 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CHANGE ORDER NO.2, WITH RIVERSIDE CONSTRUCTION COMPANY FOR A TIME EXTENSION RELA TING TO UNIT 14, TRACT 9809, SOUTHEAST INDUSTRIAL PARK IMPROVEENT PROJECT AREA. .... Resolution No. 4010 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson and Strickler. Noes: Hernandez. Absent: Hobbs. LEASE BETWEEN THE CITY OF SAN BERNARDINO, CETA DEPARTMENT, AND THE REDEVELOPMENT AGENCY - 250 WEST RIAL TO A VENUE, MEADOWBROOK REDEVELOPMENT PROJECT AREA. ..... A Motion was made by Strickler, seconded by Castaneda, to approve the lease and adopt the following resolution. RES. NO. 4011 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO APPROVING A LEASE BETWEEN THE CITY OF SAN BERNARDINO (CETA DEPARTMENT), AND THE REDEVELOPMENT AGENCY FOR OFFICE SPACE LOCATED AT 250 WEST RIAL TO A VENUE, SAN BERNARDINO, CALIFORNIA Resolution No. 4011 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson and Strickler. Noes: Hernandez. Absent: Hobbs. AMENDMENT OF REDEVELOPMENT AGENCY AND CITY OF SAN BERNARDINO RESOLUTIONS PERTAINING TO THE POTENTIAL ISSUANCE OF BONDS AUTHORIZED UNDER THE RESIDENTIAL MOR TGAGE REVENUE BOND PROGRAM. ... ..... 4827 [ Mr. Shadwell explained that the readoption of the following resolutions had been recommended by James Warren Beebe pertaining to the potential issuance of bonds authorized under the residential mortgage revenue bond program and adopted at the meeting of October 1, 1979, by both the City of San Bernardino and the Redevelopment Agency. The readoption of these numbered resolutions would require the insertion of the dollar amounts, which were not known at the time the resolutions were originally adopted. Reference was made to Redevelopment Agency Resolutions numbered 3995, 3996 and 3997 by inserting therein the dollar amounts of $250,000,000.00; $60,000,000.00 and $35,000,000.00, respectively; and City of San Bernardino Resolutions numbered 79-396;, 79-397 and 79-398 by inserting therein the dollar amounts of $180,000,000.00; $60,000,000.00 and $55,000,000.00, respectively. A Motion was made by Wheeler and seconded by Castaneda to readopt the foregoing resolutions as amended by inserting therein the dollar amounts in the above numbered resolutions relating to the potential issuance of bonds authorized under the residential mortgage revenue bond program and previously adopted at the meeting of October 1, 1979. [ Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. Abstention: Hernandez. RESOLUTION PERMITTING REDEVELOPMENT AGENCY EMPLOYEES TO PARTICIPATE IN THE DENTAL PROGRAM APPROVED FOR CITY OF SAN BERNARDINO EMPLOYEES. A Motion was made by Wheeler, seconded by Castaneda and unanimously carried, to approve the participation of Redevelopment Agency employees in the City Dental Program and adopt the following resolution. RES. NO. 4012 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING EMPLOYEES OF SAID AGENCY TO PARTICIPATE IN THE CITY OF SAN BERNARDINO'S DENTAL PLAN. OFFER TO PURCHASE AGENCY OWNED PROPERTY LOCATED AT 250 WEST RIAL TO A VENUE, MEADOWBROOK PROJECT AREA. A Motion was made by Gerwig, seconded by Wheeler and unanimously carried to accept the Offer to Purchase and adopt the following resolution. [ RES. NO. 4013 - RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO RECEIVE AN OFFER TO PURCHASE FROM SAN BERNARDINO COUNTY EMPLOYEES CREDIT UNION FOR PROPERTY LOCATED WITHIN THE MEADOWBROOK PROJECT AREA; AND SETTING A JOINT PUBLIC HEARING FOR DECEMBER 3, 1979, AT 4:00 P.M. 4828 The Meeting was adjourned to the Regular Meeting of November 19, 1979, at 4:00 p.m., in the Council Chambers, 300 North "D"Street, San Bernardino, California. , --- ....... ~ ....J ......, ....J [ r I L [ 4829 MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA HELD NOVEMBER 19, 1979. The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:00 p.m., Monday, November 29, 1979, by Chairman w. R. Holcomb in the Council Chambers, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Robert A. Castaneda, Ralph Hernandez, Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs, Jack Strickler, Executive Director R. E. Shadwell, Jr., Agency Counsel Wm. A. Flory, Executive Secretary Margaret Hoover. MINUTES On Motion by Mr. Wheeler and seconded by Mr. Hernandez, the Minutes of the meeting of November 5, 1979 were unanimously approved. BRIEFING FROM REPRESENT A TIVES OF THE V ANIR RESEARCH COMP ANY RELATIVE TO THE STATUS OF PROGRAMMED DEVELOPMENTS IN THE DOWNTOWN AREA. Mr. Frank Dominguez, representing Vanir Research Company, gave a summary of the status of the developments in the downtown area and gave a progress report to date. Mr. Dominguez introduced Architects, Mr. Jerry Vande Velde and Mr. Phil Fisher who presented a model of the plans for a 15 story office tower to be located at Court & "E" Streets. Mr. Dominguez stated that as soon as the application for a UDAG Grant had been finalized, and as per the terms of the agreement, Vanir was ready to start construction on the project. Chairman Holcomb reminded Mr. Dominguez that without his letter of financial commitment, we could not proceed with the UDAG grant application. Mr. Hudson inquired if Mr. Dominguez planned to go forward with a proposal for a hotel as shown in the concept of the plaza office building. Mr. Dominguez stated that he would like to move forward with the hotel and the office building under the same terms that he had for the office building and under the same terms that the current hotel developer had negotiated with the City and with the Redevelopment Agency. He stated that he felt with that total concept he would be in a position to present a package adaptable to a loan or a UDAG Grant. !14B'J - 4830 For the record, Chairman Holcomb reiterated his statement that application for a UDAG Grant could not be accomplished without the unconditional letter of commitment from the developer and reminded Mr. Dominguez that to qualify for a UDAG Grant during the first quarter of 1980, application must be submitted by November 30, 1979. A discussion followed regarding the development and financing of the hotel. Chairman Holcomb stated that the hotel was still up for grabs and that according to recent communications, there would be an offer forthcoming from the current hotel developer accompanied by a cashier's check guaranteeing the performance. Mr. Hernandez inquired if the current hotel developer was using industrial revenue bonds to build the hotel, and if so, could not Mr. Dominguez do the same. Chairman Holcomb informed the Board that if Mr. Dominguez could meet the criteria necessary to underwrite the bonds, he was certainly welcome to use the industrial revenue bond financing and submit an offer along with as many other developers who wished to do so. RECEIVE THE ANNUAL REPORT OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AS REQUIRED BY LAW OF THE STATE OF CALIFORNIA. RECEIVE THE FINANCIAL STATUS REPORT OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO PREP ARED FOR THE INFORMA TION AND GUIDANCE OF THE AGENCY BOARD MEMBERS. Mr. Shadwell explained that the Annual Report was being presented as required by state law and that the Financial Status Report was prepared as standard procedure and presented for the Board's information and guidance. Chairman Holcomb entertained a Motion that the reports be received and filed. Mr. Hudson stated that he did not understand some portions of the reports and that he would appreciate an explanation on some of the items from the Staff. A Motion was made by Gerwig and seconded by Hudson that the RDA Staff set up a briefing session with the Board to go over the items in question. A discussion followed. Mr. Gerwig withdrew his Motion and Mr. Hudson withdrew his second. A Motion was made by Hudson and seconded by Gerwig that the matter be continued. Mr. Shadwell reminded the Board of the time limitation in which to file the Agency's Annual Report as required by State Law. Mr. Hudson withdrew his Motion and Mr. Gerwig withdrew his second. .., I ~ } .....J ,.., j .""., ] c [ [ 4831 A Motion was made by Wheeler and seconded by Hudson to receive the Annual Report and the Financial Status Report, and to continue both items to the next regular board meeting for discussion. The Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson and Strickler. Noes: None. Absent: Hobbs. CONSIDER THE ADOPTION OF VARIOUS RESOLUTIONS PERTAINING TO THE ISSUANCE OF BONDS SUPPORTING THE INDUSTRIAL DEVELOPMENT BOND ( IDB's) AND RESIDENTIAL MORTGAGE REVENUEBONDPROGRAM~ City Resolution No. 79-463 was adopted by the Mayor and Common Council appointing the Redevelopment Agency as Project Coordinator of IDB and Residential Mortgage Revenue Bond Issues, after which, a Motion was made by Hudson and seconded by Hernandez to adopt a resolution of the Redevelopment Agency agreeing to undertake the role of Project Coordinator. RESOLUTION NO. 4014 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AGREEING TO UNDERTAKE THE ROLE OF PROJECT COORDINA TOR PURSUANT TO CITY ORDINANCE NO. 3815. Resolution No. 4014 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson and Strickler. Noes: None. Absent: Hobbs. EXECUTIVE SESSION At 5:25 p.m., the Regular Meeting of the Board of the Redevelopment Agency recessed for an Executive Session for the purpose of discussing pending litigation. The Executive Session of the Board of the Redevelopment Agency of the City of San Bernardino was called to order by Chairman Holcomb in the Council Board Room, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman, W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Robert A. Castaneda, Ralph Hernandez, Richard F. Gerwig, Lionel E. Hudson, Jack Strickler, R. E. Shadwell, Jr., Wm. A. Flory and Margaret Hoover. Absent: John D. Hobbs. ADJOURN EXECUTIVE SESSION At 5:30 p.m., the Executive Session of the Redevelopment Agency of the City of San Bernardino adjourned to the Regular Meeting in the Council Chambers, 300 North "D" Street, San Bernardino, California. L [I JJ_ 4832 RECONVENE MEETING ~ I. i ! ...tJJ At 5:30 p.m., the Regular Meeting of the Redevelopment Agency of the City of San Bernardino reconvened in the Council Chambers, 300 North "0" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman, W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Robert A. Castaneda, Ralph Hernandez, Richard F. Gerwig, Lionel E. Hudson, Jack Strickler, R. E.Shadwell, Jr., Wm. A. Flory and Margaret Hoover. Absent: John D. Hobbs. The meeting was called to order by Chairman W. R. Holcomb. A Motion was made by Gerwig and seconded by Wheeler to authorize the Agency's Legal Counsel to enter into a stipulation for judgment and approve the settlement in the case of Redevelopment Agency of San Bernardino vs. Pallas, et aI, San Bernardino Superior Court No. 187 639. The Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson and Strickler. Noes: None. Absent: Hobbs. The Meeting was adjourned at 5:35 p.m., to the Regular Meeting of December 3, 1979, at 4:00 p.m., in the Council Chambers, 300 North "0" Street, San Bernardino, California. ~ ""'" R. E. Shadwell, Jr., Executive Director ...., J [ [ [ 4833 MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA HELD DECEMBER 3, 1979. The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:00 p.m., Monday, December 3, 1979, by Chairman W. R. Holcomb in the Council Chambers, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman, W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Robert A. Castaneda, Ralph Hernandez, Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs, Jack Strickler, Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. On Motion by Mr. Wheeler and seconded by Mr. Hernandez, the Minutes of the meeting of November 19, 1979 were unanimously approved. PUBLIC HEARING FOR CONVEYING AGENCY OWNED PROPERTY TO THE CITY OF SAN BERNARDINO. Chairman Holcomb opened the Joint Public Hearing for the purpose of conveying Parcel Number 135-041-07 to the City of San Bernardino for the expansion of Seccombe Lake Park. A Motion was made by Castaneda and seconded by Wheeler that the Hearing be closed and the following resolution be adopted. RESOLUTION NO. 4015 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE CHAIRMAN AND SECRE TAR Y TO EXECUTE CORPORATE GRANT DEED, CONVEYING PARCEL NO. 135-041-07, CENTRAL CITY EAST, TO THE CITY OF SAN BERNARDINO, FOR THE EXP ANSION OF SECCOMBE LAKE PARK. Resolution No. 4015 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Hudson, Hobbs and Strickler. Noes: None. Absent: Gerwig. PUBLIC HEARING FOR THE SALE OF AGENCY OWNED PROPERTY LOCA TED IN THE MEADOWBROOK/CENTRAL CITY PROJECT AREA. Chairman Holcomb opened the Joint Public Hearing to consider the sale of Agency owned real property known as the Fredericks-Hansen Paint Company Building, Parcel Number 721-135-282-32, in the Meadowbrook/Central City Project Area. ........."""'" 4834 A Motion was made by Wheeler, seconded by Castaneda that the Hearing be dosed and the following resolution be adopted: RESOLUTION NO. 4016 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO A DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND SAN BERNARDINO COUNTY EMPLOYEES CREDIT UNION FOR PROPERTY LOCATED WITHIN THE MEADOWBROOK/CENTRAL CITY PROJECT AREA. ] Resolution No. 4016 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Abstention: Hernandez. Absent: None. PUBLIC HEARING FOR THE SALE OF AGENCY OWNED PROPERTY LOCATED IN THE STATE COLLEGE PROJECT AREA. Mr. Shadwell informed the Board that Mr. Wanda L. Wells had withdrawn his offer for the purchase of the property described as Lots 7, 8, 32 and 33 of Tract No. 2852 located on the south side of Highland A venue. A Motion was made by Castaneda and seconded by Wheeler that the matter be Tabled. -... ~ I ~ Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: Hernandez. PUBLIC HEARING FOR THE SALE OF AGENCY OWNED PROPERTY LOCA TED AT 480/484 NORTH "E" STREET, CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. Chairman Holcomb opened the Joint Public Hearing. A lengthy discussion was held regarding the appraised value and the price offered for the property, at which time, Mr. Hobbs stated that he felt that the matter should be continued until another appraisal could be obtained. Mr. Gerwig concurred, stating that he felt the $25,000 offered by Mr. and Mrs. Blum was not an equitable price for the property. Mrs. Blum was present and spoke regarding her offer to purchase the property at the appraised value. She stated, for the betterment and revitalization of "E" Street, she was willing to gamble on putting up a building that the City would be proud of. Mrs. Blum stated that she would not consider a higher bid. Chairman Holcomb urged the Boards consideration of the offer of $25,000 and to seriously consider those offers from developers coming in at the appraised fair market value of the property. ., J ...J [ [ [ 4835 Mr. Strickler assured the Board that in view of his knowledge and expertise in the real estate field, taking the limited parking available for the proposed building into consideration, he felt that this was a fair and equitable price for the property. A Motion was made by Hobbs and seconded by Gerwig to instruct the Agency Staff to obtain a new appraisal on the property. Motion carried by the following vote to wit: Ayes: Castaneda, Hernandez, Gerwig and Hobbs. Noes: Wheeler, Hudson and Strickler. Absent: None. Mr. Hudson stated that he would strongly suggest that all appraisals be brought before the Board before any other efforts have been made for the sale of property, thus avoiding putting the developer in an uncomfortable position at the Public Hearing. A Motion was made by Hobbs and seconded by Hudson to continue the Joint Public Hearing for the sale of the property located at 480/484 North "E" Street until the Board Meeting of January 7, 1979. The Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Hudson, Hobbs and Strickler. Noes: Gerwig. Absent: None. APPROV AL OF A CHECKING ACCOUNT RELATING TO THE SAN BERNARDINO REDEVELOPMENT AGENCY INDUSTRIAL DEVELOP- MENT BOND PROGRAM. A Motion was made by Wheeler, seconded by Hernandez and unanimously carried to approve the checking account and adopt the following resolution: RESOLUTION NO. 4017 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING A CHECKING ACCOUNT WITH THE BANK OF CALIFORNIA FOR THE SAN BERNARDINO REDEVELOPMENT AGENCY INDUSTRIAL DEVELOPMENT BOND PROGRAM. APPROV AL OF A SAVINGS ACCOUNT RELATING TO THE SAN BERNARDINO REDEVELOPMENT AGENCY INDUSTRIAL DEVELOP- MENT BOND PROGRAM. A Motion was made by Wheeler, and seconded by Castaneda to approve the savings account and adopt the following resolution: RESOLUTION NO. 4018 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING A SAVINGS ACCOUNT WITH THE BANK OF CALIFORNIA FOR THE SAN BERNARDINO REDEVELOPMENT AGENCY INDUSTRIAL DEVELOPMENT BOND PROGRAM. -- 4836 Resolution No. 4018 was adopted by the following vote to wit: ~ :~ j ..,,;j Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson and Strickler. Noes: None. Absent: Hobbs. ANNUAL REPORT OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO. Mr. Shadwell explained that this matter had been continued from the previous Board meeting wherein the report had been received and was now being brought to the Board for approval to file. A Motion was made by Wheeler and seconded by Castaneda that the Annual Report be filed. The Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, and Hudson. Noes: Gerwig, Hobbs and Strickler. Absent: None. FINANCIAL STATUS REPORT OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO. A Motion was made by Wheeler and seconded by Castaneda that the Financial Report be filed. The Motion failed by the following vote to wit: Ayes: Castaneda, Wheeler and Hernandez. Noes: Gerwig, Hudson, Hobbs and Strickler. Absent: None. ...... Mr. Hudson stated that he had some questions regarding the report and would like to meet with the Agency Staff to discuss these issues before consideration to file. -'" A Motion was made by Gerwig and seconded by Hudson to hold in abeyance the filing of the Financial Status Report until such time as the Agency Staff could meet with the Board for a briefing, and bring back to the Board in 45 days, or at the second Board meeting in February, 1980. The Motion carried by the following vote to wit: Ayes: Castaneda, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: Wheeler. Absent: None. RESOLUTION AUTHORIZING EXECUTION OF AN AGREEMENT RELA TING TO THE APPOINTMENT OF AGENCY STAFF AS COORDINA TOR FOR THE ISSUANCE OF INDUSTRIAL DEVELOP- MENT BONDS AND REVENUE MORTGAGE BONDS FOR THE CITY. A Motion was made by Hudson and seconded by Wheeler to authorize the execution of the agreement and adopt the following resolution: RESOLUTION NO. 4019 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF AN AGREEMENT WITH THE CITY OF SAN BERNARDINO RELA TING TO THE APPOINTMENT OF AGENCY STAFF AS COORDINATOR FOR BONDS AND REVENUE MORTGAGE BONDS FOR THE CITY. ..., J [ [ [ 4837 Resolution No. 4019 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson and Strickler. Noes: None. Absent: Hobbs. A Motion was made by Hernandez, seconded by Wheeler and unanimously carried, to waive the rules regarding new items being brought before the Board without prior notice. Mr. Shadwell presented an Offer to Purchase from Vanir Research Company to purchase from the Redevelopment Agency that property known as Hotel Parcel A-I, in the Meadowbrook-Central City Redevelopment Project Area for the purpose of developing a 325 room high-rise hotel in downtown San Bernardino. Mr. Frank Dominguez representing Vanir Research Company, stated that as the developers of the adjoining high-rise office building to be built on the Southeast corner of Court and "E" Streets, it was his feeling that substantial financing, design and construction advantages could be realized on each of these projects by their consolidation under the auspices of a single developer such as Vanir Research Company. It would be their objective to work with the City of San Bernardino, to consolidate these projects within a single application for federal assistance under the Urban Development Action Grant Program (UDAG). Mr. Dominguez stated that Vanir Research Company was prepared to develop the hotel within the same time frame as the high-rise office building and on the same terms as that agreement dated January 26, 1979 under consideration at this time. A Motion was made by Strickler, seconded by Hernandez and unanimously carried, to consider the proposal of Vanir Research Company for the development of.a high- rise hotel and set a Public Hearing for January 7, 1980 at 4:00 p.m., in the Council Chambers, 300 North "0" Street, San Bernardino, California to receive any and all hotel development proposals for consideration. The meeting was adjourned at 5:30 p.m., to the Regular Meeting of December 17, 1979, at 4:00 p.m., in the Council Chambers, 300 North "0" Street, San Bernardino, California. ... , i WIllI ..., t ~i ..fj ] 4838 [ MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, HELD DECEMBER 17, 1979. The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at- 4:15 p.m., Monday, December 17, 1979, by Chairman W. R. Holcomb in the Council Chambers, 300 North "D" Street, San Bernardino, California ROLL CALL Roll Call was taken with the following being present: Chairman, W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs and Jack Strickler. Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. Absent: Robert A. Castaneda and Ralph Hernandez. A Motion was made by Mr. Wheeler, seconded by Mr. Hudson and unanimously carried, to approve the Minutes of the Meeting of December 3, 1979. r \.- RESOLUTION OF THE REDEVELOPMENT AGENCY AND THE CITY OF SAN BERNARDINO CLARIFYING THE INTENT REGARDING THE REPAYMENT OF FUNDS ADVANCED FOR THE MERVYN'S DEPART- MENT STORE PROJECT. Mr. Gary Van Osdel, Director of Community Development, informed the Board that the letter of commitment submitted with the package to obtain the UDAG grant for the development of the Mervyn's Department Store did not meet the HUD criteria with respect to the City's intent to subordinate it's position in the event of default. Therefore, in order for Wells Fargo Bank to develop the lender's commitment as desired by HUD, the Attorneys for Wells Fargo had requested that action be taken to declare the position of the City and the Redevelopment Agency to subordinate any and all prior documents made with regard to securing the loan in the amount of 4.2 million dollars which was being made by Wells Fargo Bank to Central City South Company in order to provide financing for the development of the Mervyn's project. After discussion, the following resolution was presented to the Board. RESOLUTION NO. 4022 [ RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE SUBORDINATION OF AGREEMENTS, COVENANTS, CONDITIONS AND RESTRICTIONS, AND VENDOR'S LIEN TO THE DEED OF TRUST TO BE RECORDED TO SECURE A $4.2 MILLION LOAN FROM WELLS FARGO BANK TO CENTRAL CITY SOUTH COMPANY FOR DEVELOPMENT OF THE MERVYN'S PROJECT. J~ .. 4839 Resolution No. 4022 was adopted by the following vote to wit: Ayes: Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: Castaneda and Hernandez. RESOLUTION AUTHORIZING A CONTRACT FOR PROFESSIONAL APPRAISAL SERVICES WITH BOWEN APPRAISAL SERVICE FOR THE SUM OF $2,480.00, FOR THE PURPOSE OF APPRAISING AGENCY OWNED PARCEL NUMBER 134-121-07. ~ I i i ....tI Mr. Shadwell explained the matter brought forward at this time as a result of the Board's directive at the previous meeting on December 3, 1979 to instruct the Agency Staff to obtain a new appraisal on the property located at 480/484 North "E" Street, at which time it was the determination of the Board that the $25,000.00 offered by Irmgard and Hugo Blum was not an equitable price for the property. Mr. Oscar Bowen was present and answered questions of the Board. After a lengthy discussion regarding Mr. Bowen's credentials as an accredited MAl Appraiser, it was the contention of the Board that Mr. Bowen present an appraisal at the next Board meeting to determine the value of the property. Mr. Gerwig stated that he did not favor this hurry-up service, and if the Board approved Mr. Bowen's getting an appraisal, he would request Mr. Bowen to inform the Board in the event he felt there was not enough time to present a good honest appraisal at the meeting on January 7, 1980, and to continue the matter to a later date. A Motion was made by Hobbs and seconded by Wheeler that the Redevelopment Agency enter into a contract for professional appraisal services with Bowen Appraisal Service for the sum of $2,480.00. ,., 1I ..J The Motion failed by the following vote to wit: Ayes: Wheeler, Gerwig and Hobbs. Noes: Hudson. Absent: Hernandez and Castaneda. Abstention: Strickler. A Motion was made by Gerwig and seconded by Wheeler that the matter be continued to the next Board meeting when a full Board could be present to consider the issue. The Motion carried by the following vote to wit: Ayes: Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: Castaneda and Hernandez. RESOLUTION NO. 4020 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO GRANTING AN EASEMENT TO THE CITY OF SAN BERNARDINO WATER DEPARTMENT, OVER, UNDER AND ACROSS AGENCY OWNED PROPERTY LOCATED IN THE STATE COLLEGE REDEVELOPMENT PROJECT AREA. A Motion was made by Wheeler and seconded by Gerwig to adopt the foregoing resolution. Resolution No. 4020 was adopted by the following vote to wit: Ayes: Wheeler, Gerwig, Hudson,Hobbs and Strickler. Noes: None. Absent: Castaneda and Hernandez. ] [ [ [ 4840 RESOLUTION NO. 4021 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT WITH THE CITY OF SAN BERNARDINO WATER DEPARTMENT FOR WATER MAIN EXTENSIONS IN THE AMOUNT OF $33,982.00, STATE COLLEGE REDEVELOPMENT PROJECT AREA.. . On Motion by Hudson and seconded by Wheeler, Resolution No. 4021 was adopted by the following vote to wit: Ayes: Wheeler, Gerwig, Hudson and Strickler. Noes: None. Absent: Castaneda, Hernandez and Hobbs. REQUEST FROM OPERATION SECOND CHANCE FOR EXCLUSIVE RIGHT TO NEGOTIATE FOR AGENCY OWNED PROPERTY. Mr. Shadwell presented a request from Mr. Norman Hanover, Legal Counsel to Operation Second Chance, requesting approval of the exclusive right to negotiate for a six months period for Agency owned property on Highland A venue immediately adjacent to and West of the Public Enterprise Center. A Motion was made by Wheeler and seconded by Hobbs to approve the request and grant an exclusive right to negotiate to and with Operation Second Chance for the purchase and development of Agency property, Parcel Numbers 143-01248 through 143-012-54; 143-012-62 through 143-012-66 and a portion of Parcel Number 143- 012-67. The Motion carried by the following vote to wit: Ayes: Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: Castaneda and Hernandez. DISCUSSION RELATIVE TO THE REQUIREMENT FOR PROFESSIONAL APPRAISAL SERVICES AND THE PROCEDURES TO BE FOLLOWED WHEN IT IS DETERMINED THAT APPRAISAL SERVICES ARE REQUIRED. Mr. Shadwell presented the following procedure for the consideration of the Board: 1. Appraisals on all properties to be sold or conveyed are not required. 2. If an Offer to Purchase is received and there is a question by the RDA Staff as to the value of the property, the Staff will forward a copy of the Offer to the Board, by memo, recommending that an appraisal be obtained. After informal approval, the Staff will take action to obtain the appraisal. 3. If an Offer to Purchase is received and the Staff feels no appraisal is warranted, the Board will be so advised by memo. If the Board feels an appraisal is necessary, the Staff will take action to obtain the appraisal. 4. Upon receipt of the completed appraisal, the Staff will forward a copy to all Board members. The Board will then advise the Staff if the appraisal is acceptable for use in determining the sales price of the real property to be considered for sale. - 4841 5. When determination is made that the appraisal is acceptable, the Offer to Purchase with the appraisal will be formally presented to the Board at a regular meeting to set the required Public Hearing. The Motion carried by the following vote to wit: Ayes: Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: Castaneda and Hernandez. --, I ....J A Motion was made by Hudson and seconded by Gerwig that the foregoing recommendations of the Executive Director be approved. AMENDMENT OF THE DISPOSITION AGREEMENT BETWEEN THE AGENCY AND MOUNTAIN VIEW ASSOCIATES, FOR THE PURPOSE OF AMENDING THE DEVELOPMENT VALUE OF THE PROJECT, CENTRAL CITY EAST REDEVELOPMENT PROJECT AREA. Mr. Shadwell explained that an amendment to the Disposition Agreement between the Agency and Mountain View Associates was necessary to change the development value from 4.5 million dollars to $3,850,000.00 on the proposed residential development located on 6th Street between Sierra Way and Mt. View Avenues. Mr. Paul Hsu, President of ADR Corporation and Mr. Richard A Lewis of Western Properties, spoke regarding the development of the condominium project to be sold as single family dwelling units. A Motion was made by Hobbs and seconded by Wheeler to continue the matter until after the holidays in order that some meetings could be scheduled with the developers. The Motion failed by the following vote to wit: Ayes: Wheeler, Gerwig and Hobbs. Noes: Hudson and Strickler. Absent: Castaneda and Hernandez. ., j 1) ...,.j A Motion was made by Hudson and seconded by Wheeler to approve the amendment to the Disposition Agreement between the Redevelopment Agency and Mountain View Associates to reflect a development dollar value of $3,850,000.00. The Motion carried by the following vote to wit: Ayes: Wheeler, Gerwig, Hudson and Strickler. Noes: Hobbs. Absent: Castaneda and Hernandez. DISCUSSION REGARDING THE PROPOSED INLAND EMPIRE MEAT COMPANY (KANEY FOODS) DEVELOPMENT TO BE LOCATED AT THE SOUTHWEST CORNER OF COOLEY AND SUNNYSIDE AVENUES, RELA TIVE TO THE POTENTIAL OF DETERMINING AN IN LIEU OF PAYMENT FOR TAX INCREMENT LOST BECAUSE OF THE CONSTRUCTION DELAY. A Motion was made by Gerwig and seconded by Strickler that this matter be continued to the meeting of January 21, 1980. The Motion carried by the following vote to wit: Ayes: Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: Castaneda and Hernandez. The meeting was adjourned at 5:15 p.m., to the Regular Meeting of January 7, 1980, at 4:00 p.m., in the Council Chambers, 300 North "D" Street, San Bernardino, California. ~ t I I '-' [ c [ 4842 MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA HELD JANUARY 7,1980. The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:30 p.m., Monday, January 7, 1980, by Chairman, W. R. Holcomb in the Council Chambers, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman, W .R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs, Jack Strickler, Robert A. Castaneda, Ralph Hernandez, R. E. Shadwell, Jr., Wm. A. Flory and Margaret Hoover. A Motion was made by Wheeler and seconded by Castaneda to approve the Minutes of the Meeting of December 17, 1980. Motion carried by the following vote, to wit: Ayes: Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: Castaneda. Abstention: Hernandez. MINUTE ORDER FOR MAYOR AND COMMON COUNCIL AND THE REDEVELOPMENT AGENCY BOARD A Motion was made by Wheeler and seconded by Hudson to approve a Minute Order authorizing the City Clerk and the Agency Secretary to publish the Notice of a Joint Public Hearing pursuant to Section 33431 of the Health &. Safety Code for the transfer of property to a certain developer with appropriate limitations so that proper public purposes will be accomplished. The Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson and Strickler. Noes: None. Absent: Hobbs. JOINT PUBLIC HEARING TO CONSIDER THE SALE OF AGENCY OWNED REAL PROPERTY LOCATED AT 480/484 NORTH "E" STREET, CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. A Motion was made by Gerwig, seconded by Castaneda and unanimously carried, that this matter be continued to the second meeting in February. Chairman Holcomb declared the Joint Public Hearing to consider the sale of Agency owned real property located at 480/484 North "E" Street, continued to the meeting of February 18, 1980. CONTRACT FOR PROFESSIONAL APPRAISAL SERVICES FOR THE PURPOSE OF RECEIVING AN APPRAISAL ON AGENCY OWNED PROPERTY LOCATED AT 480/484 NORTH "E" STREET. Mr. Shadwell presented a proposal from Bowen Appraisal Service to make a formal evaluation of the property located at 480-484 North "E" Street for a fee of $2,480.00. A proposal for the appraisal of the above referred to property was presented from Edward G. Grigsby for his estimated cost of a standard appraisal in the amount of $1,000.00. I --.._"",,=;''''''.~'''''....'''.~.;,n''~~. .--- u.. . ~ l. .w - "__.1;,._._:11 4843 A Motion was made by Strickler, seconded by Hernandez and unanimously carried, to accept the proposal of Mr. Grigsby for a sum not to exceed $1,000.00. ,...., r RESOLUTION NO. 4023 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING A CONTRACT FOR PROFESSIONAL APPRAISAL SERVICES WITH EDWARD G. GRIGSBY FOR A SUM NOT TO EXCEED $1,000.00. ....,j Resolution No. 4023 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. DEMOLITION CONTRACT TO DEMOLISH 5 STRUCTURES LOCATED ON THE CORNER OF 2ND AND "G" STREETS IN SUPPORT OF THE MERVYN'S DEPARTMENT STORE DEVELOPMENT. A Motion was made by Gerwig, seconded by Hudson and unanimously carried to award the demolition contract and adopt the following resolution. RESOLUTION NO. 4024 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT FOR THE REMOVAL OF BUILDINGS LOCATED AT 671 WEST 2ND STREET, 2ND AND "G" STREETS, 179/181 NORTH "G" STREET AND 185 NORTH "G" STREET, CENTRAL CITY SOUTH REDEVELOPMENT PROJECT AREA. -.. I ...J Resolution No. 4024 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. CHANGE ORDER NO.1 TO THE DEMOLITION CONTRACT WITH WARREN S. DUNCAN, AUTHORIZING A TIME EXTENSION FOR COMPLE TION OF WORK RELATING TO THE DEMOLITION OF A TWO STORY PARKING GARAGE LOCATED ON 5TH STREET BETWEEN "D" AND "E" STREETS. A Motion was made by Gerwig, seconded by Hudson and unanimously carried to grant the request for a time extension and adopt the following resolution. RESOLUTION NO. 4025 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CHANGE ORDER NO.1, WITH WARREN S. DUNCAN FOR A TIME EXTENSION RELATING TO A DEMOLITION CONTRACT FOR A TWO STORY PARKING GARAGE LOCATED ON 5TH STREET BETWEEN "D" AND "E" STREETS. ... , -J r .... [ ".... F , ! i ....., 4844 MINUTE ORDER RELATIVE TO THE NORTHWEST REDEVELOPMENT SUR VEY AREA. A Motion was made by Hobbs, seconded by Wheeler and unanimously carried to approve a Minute Order instructing the Redevelopment Agency Staff to prepare the necessary documents for the formation of a suitable project area within the Northwest Redevelopment Survey Area. A Motion was made by Wheeler and seconded by Hobbs to set the Joint Public Hearing for 4:00 p.m., January 28, 1980, in the Council Chambers, 300 North "0" Street, San Bernardino, California, for the transfer of property to a certain developer with appropriate limitations so that proper public purposes will be accom plished. The Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hobbs and Strickler. Noes: None. Absent: Hudson. DISCUSSION REGARDING THE STATUS OF PARKING ALLOCATION IN THE FIVE-LEVEL PARKING STRUCTURE. A Motion was made by Strickler, seconded by Castaneda and unanimously carried, that the matter be continued until the meeting of January 21, 1980, as recommended by Wm. A. Flory, Agency Counsel. RECESS MEETING - EXECUTIVE SESSION At 4:35 p.m., a Motion was made by Gerwig, seconded by Castaneda and unanimously carried, that the Regular Meeting of the Redevelopment Agency recess for an Executive Session regarding pending litigation. EXECUTIVE SESSION The Executive Session of the Redevelopment Agency of the City of San Bernardino was called to order by Chairman Holcomb in the Conference Room of the Council Chambers of City Hall, 300 North "0" Street, San Bernardino, California. ROLL CALL Roll Call was taken by the Executive Secretary with the following being present: Chairman, W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs, Jack Strickler, Robert A. Castaneda, Ralph Hernandez, R. E. Shadwell, Jr., Wm. A. Flory, Ralph H. Prince, Marshall W. Julian and Margaret Hoover. ADJOURN EXECUTIVE SESSION At 4:45 p.m., the Executive Session of the Redevelopment Agency of the City of San Bernardino adjourned to the Regular Meeting in the Council Chambers of City Hall, 300 North "0" Street, San Bernardino, California. 4845 RECONVENE MEETING At 4:45 p.m., the Regular Meeting of the Redevelopment Agency of the City of San Bernardino reconvened in the Council Chambers of City Hall, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman, W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs, Jack Strickler, Robert A. Castaneda, Ralph Hernandez, R. E. Shadwell, Jr., Wm. A. Flory and Margaret Hoover. SETTLEMENT - SUPERIOR COURT CASE NO. 187638 A Motion was made by Wheeler, seconded by Hudson and unanimously carried to authorize Agency Counsel to settle the condemnation action in the matter of Redevelopment Agency vs. Earl Hans, et al, Superior Court Case No. 187638, for the sum of $126,900.00. PUBLIC HEARING TO RECEIVE PROPOSALS FOR THE DEVELOPMENT OF A HOTEL IN THE DOWNTOWN "E" STREET SITE LOCATED IMMEDIA TEL Y ADJACENT TO THE CITY CONVENTION EXHIBIT CENTER. Mr. Robert L. Schwartz, representing the Hyatt Corporation, submitted the following proposal with respect to the development of the Hotel Site adjacent to the existing Convention Center in downtown San Bernardino: To form an ownership entity in which several partners in other similar ventures with Mr. Schwartz would be 50% equity owners and the Hyatt Corporation, or one of its affiliates, would be the ownership entity of the remaining 50% equity. The Hyatt Hotel Corporation would manage the hotel under contract with the ownership entity. The hotel would be known as the "Hyatt San Bernardino Hotel". The proposed hotel project will have approximately three hundred and twenty five rooms and will be built on the same quality level as other Hyatt Hotels built in similar communities with corresponding economic profiles as that of San Bernardino. The plans and specifications will be subject to the approval of the Redevelopment Agency in accordance with the prior agreements. Mr. Schwartz agreed to offer a non-refundable Bank Letter of Credit in the amount of $75,000 within ten days from the date of acceptance, made payable to the Agency, which could be drawn upon in the event that his company did not break ground for the proposed hotel within 120 days from the date that the proceeds from the sale of the proposed Industrial Revenue bonds are deposited into the Bank. Mr. Schwartz stated that his offer is also contingent on the Redevelopment Agency extending the present lease and management agreements as originally granted to the San Bernardino Grand Hotel, Inc., to coincide with the dates of the sale of the bonds and the agreed upon construction schedules. ~ .~ I , I ......" ..... J . ] [ r '-' [ 4846 Mr. Schwartz stated that the firm of Miller and Schroeder Municipals, Inc. had agreed to underwrite the sale of the Industrial Revenue Bonds for the face value of $14,500,000. Mr. Frank Dominguez appeared before the Council/Board and reitereated his proposal made at the previous meeting on December 17, 1979, to combine the Hotel project with his proposed high-rise office building at Court and "E" Streets. It was his feeling that substantial financing, design and construction advantages could be realized on each of these projects by their consolidation under a single developer such as Vanir Research Company and it would be his objective to work with the City of San Bernardino to consolidate the two projects within a single application for Federal assistance under the UDAG Program. Mr. Dominguez stated that he had discussed the matter with a major hotel developer, who had indicated that they would manage the hotel when completed and that he has financial commitment for both the hotel and the office building at Court and "E" Streets. After a lengthy discussion , it was the consensus of the Board that each developer should bring back to the Board a commitment from a hotel chain for the operation of the hotel and a letter evidencing financing of the project. A Motion was made by Strickler, and seconded by Wheeler, that the matter be continued to the meeting of February 4,1980. Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hobbs and Strickler. Noes: None. Absent: Hudson. The Meeting was adjourned at 6:15 p.m., to January 17, 1980 at 4:00 p.m., in the Council Chambers, 300 North "0" Street, San Bernardino, California. l ~ ~ , ~ ...., --- J 4847 [ MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA HELD JANUARY 21, 1980. The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:00 p.m., Monday, January 21, 1980 by Vice Chairman Edward S. Wheeler, Jr., in the Council Chambers, 300 North "0" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Vice Chairman, Edward S. Wheeler , Jr., Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs, Jack Strickler, Robert A. Castaneda, Ralph Hernandez, R. E. Shadwell, Executive Director, Wm. A. Flory, Agency Counsel and Margaret Hoover, Executive Secretary. Absent: Chairman, W, R.Holcomb. A Motion was made by Gerwig, seconded by Hernandez and unanimously carried, to approve the Minutes of the Meeting of January 7, 1980. [ DISCUSSION REGARDING THE PROPOSED INLAND EMPIRE MEAT COMPANY (KANEY FOODS) DEVELOPMENT. Mr. Shadwell informed the Board that he had recently received communication from the Attorney's for the Inland Empire Meat Company advising as to his client's progress in preparing an application under the City's Industrial Development Bond Program. Although all financial information regarding this project has been submitted and Miller &: Schroeder Municipals, Inc. have stated that Kaney Foods meets the criteria for qualification in the program, they are not prepared to submit the final application due to the fact that they have not settled on the design for the structure and are still trying to resolve the matter. Based on this problem, Mr. Shadwell requested that the matter be continued to the Meeting of February 18 to give the developer enough time to consult with the various sources to determine the type of structure to be built. A Motion was made by Hernandez, seconded by Castaneda and unanimously carried, to continue the matter to the Meeting of February 18, 1980. ACCEPT TITLE TO THE "COX CHICKEN RANCH" FROM THE CITY OF SAN BERNARDINO. [ A Motion was made by Hobbs, seconded by Hudson and unanimously carried, to accept the title to the "Cox Chicken Ranch" from the City of San Bernardino for the purpose of selling the property to a developer and adopt the following resolution. RESOLUTION NO. 4026 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO ACCEPTING THE CONVEYANCE OF THE TITLE TO THE PROPERTY KNOWN AS THE COX CHICKEN RANCH FROM THE CITY OF SAN BERNARDINO. 4848 CONSIDER APPROVAL OF A CHECKING ACCOUNT RELATING TO THE CITY-WIDE RESIDENTIAL MORTGAGE REVENUE BOND PROGRAM. ~ ! f ...... A Motion was made by Hernandez and seconded by Hudson to adopt a resolution authorizing a Checking Account with the Bank of California for the San Bernardino City-wide Residential Mortgage Revenue Bond Program. RESOLUTION NO. 4027 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING A CHECKING ACCOUNT WITH THE BANK OF CALIFORNIA FOR THE SAN BERNARDINO CITY-WIDE RESIDENTIAL MORTGAGE REVENUE BOND PROGRAM. Resolution No. 4027 was adopted by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Hudson and Strickler. Noes: None. Absent: Gerwig and Hobbs. CONSIDER APPROVAL OF A SAVINGS ACCOUNT RELATING TO THE CITY-WIDE RESIDENTIAL MORTGAGE REVENUE BOND PROGRAM. A Motion was made by Hernandez and seconded by Strickler to adopt a resolution authorizing a Savings Account with the Bank of California for the San Bernardino City-wide Residential Mortgage Revenue Bond Program. RESOLUTION NO. 4028 -, M ...J RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING A SAVINGS ACCOUNT WITH THE BANK OF CALIFORNIA FOR THE SAN BERNARDINO CITY-WIDE RESIDENTIAL MORTGAGE REVENUE BOND PROGRAM. Resolution No. 4028 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Hudson, Hobbs and Strickler. Noes: None. Absent: Gerwig. DISCUSSION REGARDING THE STATUS OF THE RESIDENTIAL- COMMERCIAL-RECREA TIONAL DEVELOPMENT LOCATED NOR THERL Y OF 27TH STREET AND WESTERLY OF LITTLE MOUNTAIN DRIVE IN THE STATE COLLEGE REDEVELOPMENT PROJECT AREA. Mr. Shadwell informed the Board that this matter was being presented at this time for discussion and informational purposes only, and that no action of the Board was necessary at this time. He presented the results of the bid opening of January 16, 1980, which indicated Donald C. Hubbs, dba Jesse Hubbs &. Sons submitting the lowest bid for a total amount of $3,590,495.84. He stated the bid was good for 60 days and within that time period there were amendments to be made to the present owner participation and lease and operating agreements between the Agency and Mr. Warner Hodgdon. Also, a memorandum of understanding, outlining the various items that remain to be done, including the transfer and sale of property and ...J.... negotiations with the Elks Club. . .. 4849 r ~ Mr. Wallace Green, representing Warner Hodgdon, appeared and stated these matters were merely administrative procedures and that, in his opinion, none were major items. He assured the Board that all matters pertaining to the project would be accomplished within the 60 day period. He stated that Mr. Hodgdon was well pleased with the bid and that he wished to proceed as fast as possible to get the golf course started. Mr. Terry Spoor, representing the Elks Lodge, stated that he would convey the information to the Board of Directors of the Elks Lodge, regarding the 60 day time period . Mr. Gerwig stated that he hoped that the palm trees which he had worked so hard to obtain could be used, thus deleting the amount of $121,030.00, which was set aside for the furnishing of trees, from the bid document. A Motion was made by Strickler, seconded by Hudson and unanimously carried, to accept the report. DISCUSSION REGARDING THE STATUS OF PARKING SPACES IN THE FIVE LEVEL PARKING STRUCTURE, CENTRAL CITY REDEVELOPMENT PROJECT AREA. [ Agency Counsel, Wm. A. Flory, presented an amendment to the Lease Agreement between the City and the Redevelopment Agency providing for the use of parking spaces in the five-level parking structure, Central City Redevelopment Project Area. A discussion followed regarding the granting of exclusive parking spaces in the five-level parking structure to Vanir Research Company in support of the Vanir development located on the northeast corner of 2nd and "E" Streets. Mr. Dominguez, as owner of this development, presented a counter proposal in which he requested additional parking spaces for the building's tenants and customers. Following a lengthy discussion, a Motion was made by Hernandez and seconded by Castaneda, to adopt a resolution authorizing the execution of an amendment to the Lease Agreement between the City and the Agency eliminating 85 specified parking spaces from the lease for the purpose of providing parking for the use by the building tenants and their customers of the Thrifty Building. These spaces to be located at the southwest corner of the 4th level of the five-level parking structure. [ RESOLUTION NO. 4029 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF AN AMENDMENT TO LEASE AGREEMENT WITH THE CITY OF SAN BERNARDINO RELATING TO THE ELIMINATION OF 85 PARKING SP ACES AT THE SOUTHWEST CORNER OF THE FOURTH LEVEL OF THE FIVE LEVEL PARKING STRUCTURE LOCATED AT THE NORTHEAST CORNER OF SECOND AND "E" STREETS. Resolution No. 4029 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson and Strickler. Noes: None. Absent: Hobbs. 4850 RECESS MEETING At 5:45 p.m., a Motion was made by Gerwig to recess the Redevelopment Agency Board Meeting and take up the remaining agenda items at 7:30 p.m. By consent of all Board members, the Redevelopment Agency Board Meeting was adjourned to 7:30 p.m. RECONVENE MEETING 1 'WIll At 7:30 p.m., the Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino reconvened in the Council Chambers of City Hall, 300 North "D" Street, San Bernardino. ROLL CALL Roll Call was taken with the following being present: Vice Chairman, Edward S. Wheeler, Jr., Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs, Jack Strickler, Robert A. Castaneda, Ralph Hernandez, R. E. Shadwell, Jr., Wm. A. Flory and Margaret Hoover. Absent: Chairman, W.R. Holcomb. DISCUSSION REGARDING THE CENTRAL CITY WEST RECIPROCAL EASEMENT AGREEMENT, CENTRAL CITY WEST REDEVELOPMENT PROJECT AREA. Mr. Shadwell referred the matter to the Agency's Counsel. Mr. Flory stated that he would like more time to review the documents and recommended that this item be continued to the next Board meeting. J On Motion by Hudson, seconded by Hernandez and unanimously carried, the matter was continued to the meeting of February 4, 1980. SAN BERNARDINO SUPERIOR CASE NO. 193932, MORRIS H. RUSSELL VS. REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO. A Motion was made by Strickler, seconded by Hudson and unanimously carried, to authorize Agency Counsel, Wm. A. Flory, to defend the Agency in the case of Russell vs. Redevelopment Agency, San Bernardino Superior Court Case No. 193932. SAN BERNARDINO SUPERIOR COURT CASE NO. 191683, MICHAEL C. D. PONCE, ET AL. VS. REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, ET AL. A Motion was made by Strickler, seconded by Hudson and unanimously carried, to authorize Agency Counsel and the City Attorney to oppose Motion of Plaintiff's Attorney, C. Robert Ferguson, for Attorneys' fees in the case of Michael C. D. Ponce, et al. vs. Redevelopment Agency of the City of San Bernardino, et al., San Bernardino Superior Court Case No. 191683.(Northwest Project). ... SAN BERNARDINO SUPERIOR COURT CASE NO. 193703, GLEN B. MYRICK AND GRACE B. MYRICK VS. REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO. ] 4851 [ A Motion was made by Strickler, seconded by Hudson and unanimously carried, to refer San Bernardino Superior Court Case No. 193703, Glen B. Myrick and Grace B. Myrick vs. Redevelopment Agency of the City of San Bernardino to the City Attorney for processing, pursuant to the Lease Agreement dated June 10, 1968, between the Agency and the City for the Mall area. UNITED STATES DISTRICT COURT CASE NO. 80-00185, JOHN D. HOBBS, JR., AND ANDRE L. COLE VS. CITY OF SAN BERNARDINO, ET AL. Mr. Hobbs explained that this case involved his son and asked to be excused. A Motion was made by Hudson and seconded by Gerwig, to refer U. S. District Court Case No. 80-00185, John D. Hobbs, Jr., and Andre L. Cole vs. City of San Bernardino, et ale to the City Attorney for processing, pursuant to the Security Guard Program Agreement dated May 22, 1979, between the Agency and the City of San Bernardino. The Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson and Strickler. Noes: None. Absent: Hobbs. [ There being no further business to come before the Board of the Redevelopment Agency, a Motion was made by Gerwig and seconded by Hernandez to adjourn the meeting to 4:00 p.m., January 28, 1980, in the Council Chambers, City Hall, 300 North "D" Street, San Bernardino, California. [ .... i ...... .... ~ ~ ...J IIllllIt -J 4852 [ MINUTES OF THE ADJOURNED REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO HELD JANUARY 28, 1980. The Adjourned Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:00 p.m., Monday, January 28, 1980 by Chairman W. R. Holcomb, in the Council Chambers, City Hall, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman, W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs, Jack Strickler, Robert A. Castaneda, and Ralph Hernandez. Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. PUBLIC HEARING FOR THE SALE OF PRIVATE PROPERTY ("COX CHICKEN RANCH") Chairman Holcomb declared the Public Hearing opened to consider the sale of approximately 55 acres of real property known as the Cox Chicken Ranch located in the Northwest Redevelopment Survey Area. [ Mr. Flory explained that the Disposition and Joint Development Agreement with Northgate Corporation, or a partnership of which Northgate is a general partner, was being drawn up by Warren Beebe's Office and should be approved by the Board prior to conveyance of the property. Mr. Flory stated that the Attorney's for Northgate Corporation were working with Beebe's staff to finalize the agreement before presentation to the Board for final approval. A meeting was scheduled for February 6, 1980 with the Attorneys, and members of the Board were welcome to present any input to the agreement at that time. A Motion was made by Hobbs, seconded by Castaneda and unanimously carried, to adopt the following resolution and to bring back the completed Disposition and Joint Development Agreement for approval. RESOLUTION NO. 4030 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY' OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO A DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND BELGATE LIMITED FOR THE SALE OF PROPERTY LOCATED IN THE NORTHWEST REDEVELOPMENT SURVEY AREA. [ .. 4853 DRAINAGE PROBLEM EXISTING IN THE SOUTHEAST INDUSTRIAL PARK. ] Mr. Shadwell requested consideration of the Board's approval of construction work to alleviate a drainage problem existing on the north side of Riverview Drive in the Southeast Industrial Park that is delaying the Celotex, GWR and Audio Graphics developments. Mr. Roger Hardgrave, Assistant City Engineer, was present and spoke regarding the City's position in withholding the site permits due to the drainage requirements. Mr. Shadwell presented a teletype message from Mr. E. A. DiSalvo of Celotex- Marley, Inc., requesting that the City resolve these drainage problems and release the permit for their grading plan for the property. Chairman Holcomb explained that the Headgate Land Co. which is owned and controlled by the City of Riverside, .had water, wells in the area -in past ye<;lrs and they were concerned regarding the drainage from the developments located on the north side of Riverview Drive. Chairman Holcomb stated that in his opinion there was no safety hazard and he felt the City should proceed with the issuance of the grading permits. Mr. Hardgrave stated that he felt the inlet facility should be done but the pipe through the dike was not necessary, which would eliminate a substantial amount of the cost. After discussion it was decided to instruct the City Engineer to do the job and proceed as economically as possible. ~ A Motion was made by Wheeler and seconded by Castaneda to authorize the expenditure of a sum not to exceed $3,000.00 to correct the existing drainage problem in the Southeast Industrial Park Redevelopment Project Area. ~ Mr. Shadwell expressed his concern that this amount would not cover all of the engineering costs. Mr. Wheeler amended his Motion to authorize the expenditure of a sum not to exceed $5,000.00 to correct the drainage problem. The Motioljl c;:irrjed by the following vote, to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: Hernandez. Absent: None. RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF A PROFESSIONAL SERVICES CONT~ACT WITH HARRIS, KERR, FORSTER &: COMPANY FOR THE PURPOSE OF CONDUCTING A MARKET STUDY RELATIVE TO THE PROPOSED CENTRAL CITY HOTEL. A Motion was made by Castaneda and seconded by Wheeler that a new study be obtained from Harris, Kerr, Forster &: Company to indicate current market demands for a down town hotel. ~ jl ...,.t/I [ [ [ 4854 A lengthy discussion ensued as to the purpose and necessity of a professional hotel study at this time.... , Chairman Holcomb stated that he felt it would be a waste of public funds. Mr. Gerwig stated that in his opinion the present study was totally outdated, and since the City is to be involved, he believed that an upgraded study should be obtained and should also state whether or not this is a feasible project. Chairman Holcomb suggested to the Board that, when the developer for the hotel is selected, a condition could be imposed that the developer be required to obtain, at his expense, a current hotel market study from Harris, Kerr, Forster and Co., and prove that the loan from the City is necessary to make the project succeed. Mr. Castaneda withdrew his motion that a new study be obtained from Harris, Kerr, Forster and Company of the potential market demands for a down town hotel. Mr. Wheeler withdrew his second. A Motion was made by Castaneda and seconded by Wheeler that the resolution authorizing a contract with Harris, Kerr, Forster and Company to provide a market study relative to the Central City Hotel be Tabled. Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Hudson, Hobbs and Strickler. Noes: Gerwig. Absent: None. PARKING AGREEMENT LEASING 85 PARKING SPACES TO H. FRANK DOMINGUEZ, DBA V ANIR RESEARCH COMPANY - FIVE LEVEL PARKING STRUCTURE. A Motion was made by Castaneda and seconded by Wheeler to authorize the Chairman and Secretary to execute a Parking Agreement with H. Frank Dominguez, dba Vanir Research Company for the leasing of 85 parking spaces located at the southwest corner of the fourth level of the Five Level Parking Structure. Mr. Flory presented an amendment to the agreement relating to the leasing by the Agency of 85 parking spaces located at the northeast corner of Second and "E" Streets, which he had drafted with the concurrence of Attorney David Stringer. A discussion followed regarding the maintenance costs, insurance and designated spaces. Chairman Holcomb stated his objections to the provIsIons of the agreement for City maintenance of the parking spaces in that it was not a part of the original agreement, and that he felt the designation of specific spaces would only compound the problem. After discussion, it was decided that the Agreement should be considered further and the Agency Counsel and the City Attorney should meet with Attorney David Stringer and tie up some of the loose ends in the agreement. r.. It, n 4855 A Motion was made by Hernandez, seconded by Hudson and unanimously carried, that the matter be continued to the meeting of February 4, 1980. l ..., The Adjourned Regular Meeting of the Redevelopment Agency of the City of San Bernardino was adjourned at 6:00 p.m., to the next Regular Meeting of February 4, 1980, at 4:00 p.m., in the City Council Chambers, 300 North "0" Street, San Bernardino, California. ., ....J .... J' 'Ii! ti -J 4856 [ MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO HELD FEBRUARY 4, 1980. The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:00 p.m., Monday, February 4, 1980, by Chairman W. R. Holcomb, in the Council Chambers, City Hall, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman, W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs, Jack Strickler ,Robert A. Castaneda and Ralph Hernandez. Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A~ Flory' and Executive Secretary, Margaret Hoover. PARKING AGREEMENT - LEASING 85 PARKING SPACES TO H. FRANK DOMINGUEZ, FIVE LEVEL PARKING STRUCTURE. Chairman Holcomb stated that this was a continuance of the matter brought before the Board at a previous meeting for an amendment to the lease agreement with Mr. Dominguez, which had been approved in July 1979, to lease spaces on the fourth level of the five level parking structure. [ During a lengthy discussion, Chairman Holcomb voiced his objection to certain provisions in the amendment requiring the City to maintain the parking spaces, which under the terms of the agreement, Mr. Dominguez would lease 85 designated parking spaces for a prospective tenant in the former Thrifty building at Second and "E" Streets. He would pay no rent for the first 8 years, then $15 per space thereafter. Mr. David Stringer, Attorney for Mr. Dominguez, appeared and spoke, stating that he had reviewed the final draft of the parking agreement as presented by Mr. Flory, and that it met with his approval with the exception of the 50% vacancy clause. Mr. Paul Mordy, Assistant City Attorney, presented a draft. of the amended agreement which was considered at length. A Motion was made by Hernandez and seconded by Castaneda to eliminate the 50% vacancy clause from the amendment to the agreement. The Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez and Hudson. Noes: Hobbs and Strickler. Abstention: Gerwig. Absent: None. [ A Motion was made by Hudson and seconded by Gerwig to require that during the first seven years of the agreement the developer shall pay to the City its actual cost of maintenance and security for the 85 spaces, not to exceed the amount of $3,000 per year. The amount paid to the City for maintenance and security to be allowed as a credit against subsequent rental payments to the Agency. The Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig and Hudson. Noes: Hobbs and Strickler. absent: None. n ,n --- 4857 A Motion was made by Gerwig and seconded by Wheeler, to allow the developer the right to assume the obligations of default upon a ten (10) day notice to the City or Agency and during that 10 day period the City or Agency would have the right to remedy its default. l ..." Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig and Hudson. Noes: Strickler. Abstention:' Hobbs. Absent: None. Chairman Holcomb stated his objections to certain terminology in the agreement, stating that it was poorly put together and he would recommend that it be reconstructed. At Mr. Flory's suggestion, the term "well-lit" was rephrased to "lighted". A Motion was made by Gerwig and seconded by Strickler to delete the last sentence of Paragraph 5, Section 5, to allow the amount paid to the City for the first seven years for maintenance costs and security as a credit against subsequent rental payments to the Agency. The Motion failed by the following vote, to wit: Ayes: Gerwig, Hobbs and Strickler. Noes: Castaneda, Wheeler, Hernandez and Hudson. Absent: None. A Motion was made by Hernandez and seconded by Castaneda to accept the amendment to the agreement encompassing all of the above changes and adopt the resolution. ~ The Motion carried by the following vote, to wit: Castaneda, Wheeler, Hernandez and Hudson. Noes: Gerwig, Hobbs and Strickler. Absent: None. ~ PUBLIC HEARING CONTINUED FROM JANUARY 7, 1980, TO RECEIVE DEVELOPMENT PROPOSALS FOR THE DOWNTOWN HOTEL. Mayor/Chairman Holcomb declared the Joint Public Hearing opened. Mr. Robert L. Schwartz spoke regarding his proposal as presented at the Joint Council/Board Meeting of January 7, 1980 in an effort to resolve the question as to whether an exclusive right of negotiation should be granted to Mr. Schwartz or to Mr. H. Frank Dominguez for the purpose of building the downtown hotel on the proposed site adjacent to the existing Convention Center on "E" Street. Mr. Schwartz stated that it was his opinion that it was now necessary to either go forth with the hotel project at this time or withdraw his group's proposal presented at the meeting of January 7, 1980. Therefore, in order to further show his complete confidence in his ability to perform the project successfully, he would propose the following alternative: 1. Either Mr. Dominguez or Mr. SCRwartz be granted the right of exclusive negotiation on the site for the purpose of developing and building a first class hotel for a period of 120 days, ending on June 4, 1980. If the selected developer has reason to believe that he will be able to break ground within no more than 120 days from that date (October 4, 1980), and provides the Redevelopment Agency with definite proof of his financial commitments on or before June 4, 1980, he must post a non-refundable bond of $200,000 with no contingencies accepted. By June 4, 1980, he must be completely sure of his ground breaking date of October 4, 1980, otherwise the bond would be f orf ei ted. ~ t: .~ ....,11Ii 4858 [ 2. If the first developer cannot provide the two requirements as of June 4, 1980, then he agrees to relinquish all prior claim to the project and all feasibility reports, contractual arrangements, architectural plans and specifications, etc., become the property of the second developer who is granted the same rights as the first and is subject to the same time and money constraints and obligations as the first. Mr. Schwartz stated that he felt it would be to the City's best interest to accept this proposal, since in this way both developers could stay involved. The meeting was adjourned at 5:40 p.m. to 7:30 p.m., in the Council Chambers, 300 North "0" Street, San Bernardino, California. RECONVENE MEETING The Board of the Redevelopment Agency reconvened at 7:30 p.m. in the City Council Chambers, 300 North "0" Street, San Bernardino, California. Chairman Holcomb called the meeting to order with the following being present: Vice Chairman, Edward S. Wheeler, Jr., Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs, Jack Strickler, Robert A. Castaneda, Ralph Hernandez, R. E. Shadwell, Jr., Wm. A. Flory and Margaret Hoover. [ Mr. Robert L. Schwartz spoke, stating that since some of the Board members had strong objections to his prior proposal to the City providing the cash contribution of $1,450,000 towards the payment of the costs of the extension of the Convention Center facilities, signifying that this was some sort of subsidizing measure, and now he felt it was time to put the project in its proper perspective. He stated that he would have no objection, if granted the right of exclusive negotiation to enter into new negotiations with the City and the Agency and its selected consultants to review the need for this money and would further agree that some sort of repayment provision be acceptable in the event that it was found that the monies were absolutely vital to the viability of the project. Mr. Frank Dominguez presented a model of his proposed hotel project, which would include a 15 story office building and parking structure at the corner of Court and "E" Streets. He stated that he had been in contact with HUD representatives who felt that by combining these projects, it would be looked upon more favorably in obtaining a UDAG grant. Mr. Dominguez distributed confidential documents to the Council/Board outlining his proposal and stated if he was awarded the bid for the hotel the City would not be required to contribute the $1,590,000 toward the project. He further stated that he did not wish to publicly identify the source of his financing nor did he wish to disclose the proposed hotel operator until Vanir Research Company was chosen as the developer. [ Chairman Holcomb stated his opposition to the Board's consideration of this proposal, stating that he thought it folly to approve this offer on its present merits and asked repeatedly that the decision on the matter be continued for two or more weeks. 4859 A Motion was made by Hernandez, seconded by Gerwig and unanimously carried, to approve the concept of Vanir Research Company, with the condition that Mr. Dominguez disclose the hotel operator, and that upon approval of the operator by the Council/Board, the Agency Counsel be directed to prepare the Disposition and Joint Development Agreement between the Agency and Vanir Research Co., and bring back for the Council/Board approval at the meeting of March 17, 1980. ] Mr. Dominguez agreed on a time frame to be included in the foregoing motion, in that, after the Disposition Agreement is approved, he would have 30 days in which to submit to the City all of the information required for a UDAG grant. If he does not submit the required data within the specified time, he would forfeit the $100,000 which he had agreed to as a guarantee toward his performance. On the assumption that a UDAG grant is obtained, he would have 180 days from the date the disposition agreement is signed within which to break ground for the hotel. If the UDAG application is rejected, Mr. Dominguez would have 180 days to break ground if he decided to proceed, otherwise he would lose the $100,000. Mr. Schwartz withdrew his offer, and left the meeting. It was moved by Hudson and seconded by Wheeler that Mr. Dominguez be required to obtain at his expense a current hotel market study from Harris, Kerr, Forster and Company, and present the results to the Council/Board for consideration. The Motion failed by the following vote, to wit: Ayes: Hudson and Wheeler. Noes: Castaneda, Hernandez, Gerwig, Hobbs and Strickler. Absent: None. A Motion was made by Gerwig, seconded by Hobbs and unanimously carried, to approve the Minutes of the Meeting of January 21, 1980. ., , ..... CHANGE ORDER FOR A TIME EXTENSION RELATIVE TO THE DEMOLITION CONTRACT BETWEEN THE AGENCY AND WARREN S. DUNCAN. On Motion by Gerwig, seconded by Hobbs and unanimously carried, the following resolution was adopted. RESOLUTION NO. 4031 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CHANGE ORDER NO.2, WITH WARREN S. DUNCAN FOR A TIME EXTENSION RELATING TO A DEMOLITION CONTRACT FOR A TWO STORY PARKING. GARAGE LOCATED ON 5TH STREET BETWEEN "D" AND "E" STREETS. CENTRAL CITY WEST RECIPROCAL EASEMENT AGREEMENT (REA), PERTAINING TO THE USE AND MAINTENANCE OF THE PUBLIC AREA BY PROJECT AREA TENANTS, CENTRAL CITY WEST REDEVELOPMENT PROJECT AREA. ,.., I ..,.tJ 4860 [ Mr. Abe Beltran, Executive Director of the Local Development Company, spoke for the Developers and requested changes in the Agreement in that the City and not the Agency would be held responsible for the operation, maintenance and repair of the public area known as Parcel 118. Mr. Paul Mordy, Assistant City Attorney, expressed his concern as to how the City would transfer its responsibility of maintenance and operation costs upon the termination of easements at the end of the five year period to the Agency, and in turn, how those rights would be conveyed to the owners of each parcel. After discussion, the following amendments were proposed: Section 5.7, amended to provide that the easements for public areas would expire at the end of five years unless extended by the City. At the expiration of the easements, the City would convey the public areas to the Redevelopment Agency. The Agency will then convey the public areas to the parcel owners as tenants in common. The tenants in common would maintain the public areas under the same terms and conditions as were imposed upon the City. Section 6.1, amended to provide that the City, at its own expense, would operate, manage and maintain the public areas for a period of five years, or such longer period as the City may extend its obligations. Section 6.3, amended to provide that the Developer or any party is not required to contribute to the maintenance, manag~ment, operation or control of the public area while the City or Agency is under an obligation to do so. [ Section 12.2, amended to terminate the City and Agency's obligation to provide public liability insurance when their obligations under the REA cease. Section 15.1, amended to provide that the obligations of the City would be for a period of five years, further providing that the City and Agency may extend these obligations for a longer period, at the end of the five year term. A Motion was made by Hernandez, seconded by Wheeler and unanimously carried, to accept the REA Agreement as amended. LOCATION FOR THE DEVELOPMENT OF A GENERAL SERVICES ADMINISTRA TION BUILDING TO HOUSE THE SOCIAL SECURITY OFFICES IN THE DOWNTOWN AREA. Mr. Gerwig made a presentation concerning the relocation of the local Social Security offices from the present site on Highland and Sterling Avenue. He stated that he felt the site suggested to relocate at 7th Street and Arrowhead Avenue was too far out for the benefit of the Senior Citizens and he and other members of the Board had been looking for a more favorable location closer to downtown San Bernardino. Various sites were discussed whereby a land exchange could be negotiated with Developers George and Hyman Shane for the 7th and Arrowhead Avenue property. [ Mr. Strickler stated that the Shanes have agreed to cooperate but that an agreement must be reached by February 20th, otherwise the Shanes were committed to a contract with GSA for a building to be constructed at 7th Street and Arrowhead Avenue. - 4861 A Motion was made by Gerwig, seconded by Hernandez and unanimously carried, that a committee of three be formed, consisting of Mr. Strickler, Mr. Gerwig, and Mr. Wheeler, to meet with Redevelopment Agency Staff and to negotiate for a satisfactory land exchange and bring the matter back before the Board at the meeting of February 6, 1980. l ~ Mr. Steven Becker, Attorney for Hyman and George Shane, stated that his clients have a binding contract, and if there is a land transaction, it would have to be a site of useability and of comparable value, otherwise it would revert back to the 7th Street and Arrowhead Avenue site. RESOLUTION NO. 4032 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO RECEIVE AN OFFER TO PURCHASE PROPERTY LOCA TED WITHIN CENTRAL CITY NORTH PROJECT AREA, AND SET A JOINT PUBLIC HEARING FOR MARCH 3,1980, AT 4:00 P.M. A Motion was made by Hudson and seconded by Castaneda to adopt the foregoing resolution receiving an Offer to Purchase Parcel 135-101-09 from John M. Mills, Eulalia Mills Armour and Dottie Mills, and set a Joint Public Hearing for 4:00 p.m., March 3, 1980 and authorize publication of the legal advertisement. Motion carried by the following vote, to wit: Ayes: Castaneda, Hudson, Hobbs and Strickler. Noes: None. abstention: Hernandez. Absent: Wheeler and Gerwig. At 10:45 p.m., it was moved by Strickler and seconded by Hobbs to adjourn to the meeting of February 6, 1980 at 2:00 p.m. ., , ~ RECONVENE MEETING At 11:10 p.m., a Motion was made by Gerwig and seconded by Wheeler to reconvene the Redevelopment Agency Board. The motion carried by the following vote, to wit: Ayes: Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: Castaneda. absent: None. A Motion was made by Gerwig and seconded by Hudson to reconsider the Reciprocal Easement Agreement, Central City West. The motion carried by the following vote, to wit: Ayes: Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: Castaneda. Absent: None. A Motion was made by Hudson, seconded by Strickler and unanimously carried, that the matter be continued to the meeting of February 6, 1980. The Meeting was adjourned to 2:00 p.m., February 6, 1980, in the City Council Chambers, 300 North "D" Street, San Bernardino, California. .., ...iI 4862 [ MINUTES OF THE ADJOURNED REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO CALIFORNIA HELD FEBRUARY 6, 1980. The Adjourned Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 2:00 p.m., Wednesday, February 6, 1980 by Chairman W. R. Holcomb, in the Council Chambers, 300 North "0" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman, W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Richard F. Gerwig, Lionel F. Hudson, John D. Hobbs, Jack Strickler, Robert A. Castaneda and Ralph Hernandez. Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. DEVELOPMENT OF HOTEL IN THE DOWNTWON "E" STREET SITE LOCA TED IMMEDIA TEL Y ADJACENT TO THE CITY CONVENTION EXHIBIT CENTER. [ Chairman Holcomb announced the continuance of the Joint Public Hearing for the development of a first-class hotel on "E" Street, adjacent to and south of the City Hall-Convention Exhibit Center, from the previous meeting until such time as disclosure of a hotel developer is made by Mr. Dominguez. Chairman Holcomb stated that he wished to go on record as saying that nothing would make him happier than to see the hotel project proceed along legitimate ways in conjunction with the five-story office building proposed at Court and "E" Streets, but in his opinion, there was no way in which these two developments could be funded as a joint project. He stated that he had contacted Mr. David Jamison of the Department of Housing and Urban Development regarding the application for a UDAG grant for financing the project and in no way did Mr. Jamison indicate that these two developments could be funded as a joint project. Chairman Holcomb further stated that he had reason to believe that Trusthouse Forte, the disclosed operator of the hotel, would not enter into an agreement with Mr. Dominguez. He stated that he felt Mr. Dominguez had made a false representation and had destroyed the best opportunity the City ever had in having a hotel. ,.... L Mr. H. Frank Dominguez stated that he had spent the past 48 hours talking with various people from HUD and they had indicated that it was possible to obtain the UDAG grant and by combining the two projects, better financing could be provided. Mr. Dominguez presented a statement dated February 6, 1980, indicating that public disclosure of the hotel operator and other factors attributed to the Mayor and the press, had caused Trusthouse Forte to refuse to confirm their prior commitment to him. Therefore, he was unable to disclose the hotel operator at this time. .Ill( 4863 Members of the Board expressed their concern regarding the 1.5 million dollars set aside for the hotel development. .., I j ...J Mr. Gerwig stated that he did not feel that tax payer's money should be used in support of the hotel when citizens in the north end of town were suffering untold damages from the recent floods. He would support using some of the money to aid the flood victims. Chairman Holcomb stated that he felt this was a proper approach and suggested that if this money was used for flood control purposes, Mr. Schwartz might be willing to return and submit a request for a UDAG grant to develop the hotel. Chairman Holcomb urged the Public Hearing be kept open and the matter be continued for two weeks. Mr. Hudson reminded the Board that the 1.5 million was not relative to the hotel issue at this time and that the money was not being given away. Mr. Wheeler stated that he questioned receiving the documents from Mr. Dominguez and holding the contents in confidence until the hotel operator could be made public. Mr. Hernandez object to this confidential information being made public. A Motion was made by Hobbs and seconded by Castaneda to grant Mr. Dominguez six months to negotiate and present a hotel operator. Chairman Holcomb stated that Mr. Dominguez had misrepresented facts to the Board and Council and stressed the seriousness of the situation, urging that the matter be continued to the next Board Meeting with the hope that viable financing could be obtained through a UDAG grant. ~ I ...J Mr. Wheeler expressed his concern in closing the Public Hearing at this time, inasmuch as Mr. Dominguez had not disclosed all the facts regarding his negotiations with the proposed hotel operator. Mr. Hudson suggested that the Public Hearing remain open in order that other developers could come in with an offer to develope the hotel project. Mr. Hobbs amended his Motion, with the consent of the second, to continue the Public Hearing to the meeting of July 21, 1980. Mr. Shadwell explained the purpose of the advertisement for the Joint Public Hearing. Wm. A. Flory answered questions regarding the legality of readvertising in the event another developer came in with an offer to develope the hotel. He suggested that the Public Hearing be continued to a definite date or closed at this time. The Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez and Hobbs. Noes: Gerwig, Hudson and Strickler. Absent: None. Chairman Holcomb stated his opposition to the motion on the grounds that it was ridiculous to tie up the property when there was no chance that Mr. Dominguez could obtain a hotel operator. ~ ~ t ~ 4864 [ Mr. Dominguez stated that he would like to continue to work on the project but that he needed more time. A Motion was made by Hobbs and seconded by Castaneda, that Mr. Dominguez be given six months to find a hotel operator and to present another proposal. The Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez and Hobbs. Noes: Gerwig, Hudson and Strickler. Absent: None. Chairman Holcomb stated his objections to the Motion in that this implied an exclusive extension for Mr. Dominguez and it would be futile to attempt to do anything on the hotel during the next six months. A Motion was made by Hobbs and seconded by Hernandez, to give Mr. Dominguez a ninety day exclusive right to find a hotel operator. The Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig and Hobbs. Noes: Hudson and Strickler. Absent: None. SITE LOCA nON OF THE DEVELOPMENT OF A SOCIAL SECURITY ADMINISTRA nON BUILDING IN THE DOWNTOWN AREA OF THE CITY OF SAN BERNARDINO. [ Mr. Gerwig reported on the Committee's selection of a site for the relocation of the Social Security Administration Building on the north side of Fourth Street, adjacent to the California Theater and that GSA had concurred in the selection of the site as an alternative to the 7th and Arrowhead site. Mr. Gerwig stated that the Committee, consisting of himself, Mr. Wheeler and Mr. Strickler, had been in contact with George Shane, the Contractor for the General Services Administration. Mr. Gerwig added that it would be necessary to consider the purchase of a parcel located at the back of the property for parking purposes. This parcel was owned by H. Frank Dominguez. Mr. Dominguez recommended that a site near Fifth and "F" Street be selected instead of the Fourth Street site. A discussion followed regarding the sites in question and the deadline of February 20, 1980 for submission to GSA. A Motion was made by Gerwig and seconded by Strickler to accept the Committee's recommendation to select the Fourth and "E" Street site. The Motion carried by the following vote, to wit: Ayes: Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. Abstention: Castaneda. ,-. L Mr. Steve Becker, Attorney for Hyman and George Shane, stated that the Shanes had approved the Fourth and "E" Street site and any changes would require their approval. A Motion was made by Hudson, seconded by Gerwig and unanimously carried, to adopt the resolution authorizing the exchange of land for the development of the GSA building on 4th and "E" Streets. 4865 RESOLUTION NO. 4033 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE INITIATION OF PROCEEDINGS FOR AND THE PREP ARA TlON OF NECES- SARY DOCUMENTS FOR THE EXCHANGE OF LAND FOR DEVELOPMENT OF A BUILDING FOR THE SOCIAL SECURITY ADMINISTRATION WITHIN THE CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. -, , ....J Resolution No. 4033 was adopted by the following vote, to wit: Ayes: Wheeler, Castaneda, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. CENTRAL CITY WEST RECIPROCAL EASEMENT AGREEMENT (REA), PERTAINING TO THE USE AND MAINTENANCE OF THE PUBLIC AREA BY PROJECT AREA TENANTS, CENTRAL CITY WEST REDEVELOPMENT PROJECT AREA. This matter was continued from the meeting of February 4, 1980, and brought back for consideration at the request of City Administrator Marshall Julian. Mr. Julian presented an amended REA agreement for the Central City West Project Area between the City of San Bernardino, the Redevelopment Agency and the Local Development Corporation, for the 5th and Mt. Vernon Property. Mr. Abe Beltran, representing the Local Development Corporation, spoke regarding Section 5.7 which provides that the easements for public areas expires at the end of five years unless extended by the City. Mr. Beltran requested that the Local .... Development Corporation be given the right of first refusal on the property. A Motion was made by Hernandez, seconded by Strickler and unanimously carried to amend Section 5.7 of the REA Agreement to provide that at the end of the five year period, after review, if the City so desires, the Local Development Corporation would have right of first refusal, the tenants association would have the right of second refusal, and last, with no right of refusal, it will go to the tenants as tenants in common. '-'" RESOLUTION NO. 4034. RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO A RECIPROCAL EASEMENT AGREEMENT WITH THE CITY OF SAN BERNARDINO AND THE SAN BERNARDINO LOCAL DEVELOPMENT CORPORATION, FOR THE CENTRAL CITY WEST REDEVELOPMENT PROJECT AREA. Resolution No. 4034 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Hudson, Hobbs and Strickler. Noes: None. Absent: Gerwig. At 4:45 p.m. the Redevelopment Agency Board adjourned to February 18, 1980 at 4:00 p.m., in the Council Chambers, 300 North "D" Street, San Bernardino, California. ,..., ...."" , 4866 [ MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO HELD FEBRUARY 18, 1980. The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:20 p.m., Monday, February 18, 1980, by Chairman W. R. Holcomb in the Council Chambers, City Hall, 300 North "D" Street San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman, W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Richard F. Gerwig, Lionel E Hudson, John D. Hobbs, Jack Strickler, Robert A. Castaneda and Ralph Hernandez. Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND BELGA TE LIMITED FOR THE RESIDENTIAL DEVELOPMENT ON APPROXIMA TEL Y 55 ACRES LOCATED IN THE NOR THWEST REDEVELOPMENT SURVEY AREA. [ Mr. Shadwell asked the approval of the Board to consider this item out of sequence on the Agenda as Mr. Tim Sabo from James Warren Beebe's office was present to answer questions regarding the agreement. Mr. Sabo had another appointment and must return to Los Angeles. Mr. Sabo answered questions of the Board stating that the reason for the listing of four partnerships of Belgate Limited was that the investors were from the Netherlands and this division of partnerships was merely for tax purposes only and that Northgate Corporation, as a general partner, would sign the documents and do the actual construction of the project. A Motion was made by Castaneda, seconded by Hudson and unanimously carried, to adopt the following resolution authorizing the Chairman and Secretary to enter into a Disposition and Joint Development Agreement with Belgate Limited. RESOLUTION NO. 4035 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO A DISPOSITION AND JOINT DEVELOPMENT AGREEMENT WITH BELGA TE, LIMITED, FOR THE RESIDENTIAL DEVELOPMENT ON APPROXIMA TEL Y 55 ACRES LOCATED IN THE NORTHWEST REDEVELOPMENT SUR VEY AREA. r L Resolution No. 4035 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. 1..11", 4867 INLAND EMPIRE MEAT COMPANY (KANEY FOODS) DEVELOPMENT- PROPOSED LOCATION ON THE SOUTHWEST CORNER OF COOLEY AND 1 SUNNYSIDE AVENUES, SOUTHEAST INDUSTRIAL PARK. REDEVELOPMENT PROJECT AREA. .....J Chairman Holcomb stated that this item had been continued from the meeting of January 21, 1980 in order to give the developer enought time to consult with the various sources to determine the type of structure to be built. He briefed the Board on prior negotiations with Huntley Properties, stating that the Disposition and Joint Development Agreement relative to this project is now two and one half years old. The RDA Agreement with Huntley Properties provides a $4,000 selling price at the time title is conveyed. In addition, the RDA provided off-site improvements, plus grading the site almost one year ago to provide for immediate construction of the Kaney Foods development. Chairman Holcomb requested the Board to consider rescinding the agreement. Mr. Shadwell explained that Mr. Jim Iverson of Miller & Schroeder was unable to make the final determination on the Industrial Development Bond application until Kaney Foods have submitted their design for the building in connection with their agreement with Huntley Properties. Financing the construction for the development has caused the delay. The question now was should we continue to make the land available to Huntley Porperties, and if so, whether it should be at the price agreed upon two and one half years ago. Mr. Robert W. Ritter, Attorney for Huntley Properties, informed the Board that Mr. Huntley is anxious to complete development of the project. He stated that if the use of Industrial Revenue Bonds in connection with this project is not feasible, Huntley Properties is willing to cooperate with Kaney Foods and with the Agency in pursuing available avenues of financing. He suggested that the Agency consider giving Kaney Foods a realistic deadline for commencement of construction of its proposed facility. If Kaney Foods is unwilling or unable to proceed with the development, Huntley Properties will, in any event commit to build a facility on the property with a fair market value of at least $1,000,000. Furthermore, whether or not construction is completed, Huntley Properties would agree to place the property on the tax rolls by March 1, 1981. -., ~ """" A Motion was made by Hernandez, seconded by Gerwig to discuss the possibility of obtaining a reappraisal of the property. The Motion carried by the following vote to wit: Ayes: Wheeler, Hernandez, Hudson, and Strickler. Noes: None. Absent: Castaneda, Hernandez and Hobbs. Mr. Gerwig asked if the Agency could take the property back. Chairman Holcomb replied that he felt the Disposition Agreement was somewhat clouded. He stated that every contract has an implied condition that performance will be forthcoming within a reasonable length of time, and inasmuch as Mr. Huntley has not complied within the past two and one half years, he would urge the Board to rescind the contract at this time. .. J 4868 [ RECESS MEETING At 4:40 p.m., the Council/Board recessed until 7:30 p.m., in the Council Chambers of City Hall, 300 North "0" Street, San Bernardino, California. At 7:30 p.m. the City Council reconvened to consider Planning matters. RECONVENE RDA BOARD MEETING At 9:30 p.m., the Regular Meeting of the Redevelopment Agency Board reconvened in the Council Chambers of City Hall, 300 North "0" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman, W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs, Jack Strickler, Robert A. Castaneda and Ralph Hernandez. Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. Discussion resumed regarding the Kaney Foods development proposed for location on the southwest corner of Cooley and Sunnyside A venues, Southeast Industrial Park Redevelopment Project Area. r \,.... Mr. Hobbs made a suggestion that restrictions and time limits for performance requirements be included in all contracts and agreements in the future. Mr. Gerwig suggested that Huntley Properties be given until June 30th to get the Kaney Foods development underway, and if they did not, then the property would revert back to the City. Chairman Holcomb determined that this might present some legal ramifications and suggested the matter be continued. A Motion was made by Hobbs, seconded by Hernandez and unanimously carried, that the matter be continued to the Meeting of March 3, 1980. FINANCIAL STATUS REPORT OF THE REDEVELOPMENT AGENCY (Item continued from December 3,1979.) A Motion was made by Wheeler and seconded by Strickler that the matter be tabled. Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson and Strickler. Noes: None. Absent: Hobbs. A Motion was made by Gerwig and seconded by Hudson, to approve the Minutes of the Meetings of January 28 and February 4, 1980. ~ L Motion carried by the following vote, to wit: Ayes: Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: Castaneda. " - 4869 APPRAISAL OF EDWARD G. GRIGSBY REGARDING VACANT PARCEL LOCATED AT 480-484 NORTH "E" STREET, CENTRAL CITY NORTH, l.... REDEVELOPMENT PROJECT AREA. .. A Motion was made by Hudson and seconded by Wheeler to approve the appraised ....J value of Parcel 134-121-07 located at 480-484 North "E" Street at $30,000.00, and to sell the property at the minimum offer of $30,000.00. Motion carried by the following vote, to wit: Ayes: Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: Castaneda. JOINT PUBLIC HEARING TO CONSIDER THE SALE OF AGENCY OWNED REAL PROPERTY KNOWN AS PARCEL NUMBER 134-121-07, LOCATED AT 480/484 NORTH "E" STREET, CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. Chairman Holcomb declared the Joint Public Hearing opened. Mr. Shadwell presented two Offers to Purchase for Agency owned property located at 480/484 North "E" Street. One from Hugo and Irmgard Blum, which was continued from the meeting of January 7, 1980 for an offering price of $30,000; and the second offer received on this date from H. Frank Dominguez for the sum of $31,000. Mr. Jim Hicks spoke on behalf of Mr. Dominguez, stating that his offer was for a close of escrow 30 days following the date of the approval of sale and construction of the development to start 90 days after conveyance of the property to Vanir Research Company. Construction for the 15,000 square foot office and retail building would take an estimated six months for completion. " t 'wiI The Blum offer requested an escrow closing date of 45 days after approval of sale with construction on a 7,500 square foot office and retail building to commence 90 days following conveyance of the property. Construction was estimated at six to eight months. Mr. Hicks proposed that Vanir would construct a building on the property compatible with the front of the adjacent property, the old Penney building, which would blend with the building Mr. Dominguez is proposing to develop. A Motion was made by Castaneda, and seconded by Wheeler, to accept the offer to purchase from Vanir Research Company on the terms and conditions as set forth in the Offer to Purchase dated February 18, 1980. The Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Hernandez, Hudson and Strickler. Noes: Gerwig. Abstention: Hobbs. Absent: None. Mr. Gerwig and Mr. Hobbs stated their objection to the sale of this property until the need for additional parking spaces in the downtown area had been squared away for the proposed Social Security Building. ] 4870 ,.... ( ..., A Motion was made by Castaneda and seconded by Wheeler to adopt the Agency Resolution as amended by inter-delineation to the effect that the sale of this property be made on the terms and conditions as set forth in the Offer to Purchase dated February 18, 1980. The Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson and Strickler. Noes: None. Absent: None Abstention: Hobbs. RESOLUTION NO. 4036 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ACCEPT AN OFFER TO PURCHASE FROM H. FRANK DOMINGUEZ DBA, V ANIR RESEARCH COMPANY, FOR PROPERTY LOCATED IN THE CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. Resolution No. 4036 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Hudson and Strickler. Noes: Gerwig. Absent: None. Abstention: Hobbs. AWARD OF A CONSTRUCTION CONTRACT TO PROVIDE "SPUR TRACK" TO THE HODGDON TCP BUILDING, SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA. r '-- On Motion by Castaneda, seconded by Wheeler and unanimously carried, the following resolution was adopted awarding a construction contract to J. A. Placek Construction Company for the construction of a parkway drainage culvert on Cooley Avenue and to provide a "spur track" to the Hodgdon TCP Building. RESOLUTION NO. 4037 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT WITH J. A. PLACEK CONSTRUCTION COMPANY TO PROVIDE RAIL SERVICE TO THE WARNER HODGDON TCP BUILDING AND CONSTRUCT A PARKWAY DRAINAGE CULVERT ON COOLEY AVENUE FOR THE SUM OF $38,189.64, SEIP. Resolution No. 4037 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. SALE OF PROPERTY - 480-484 NORTH "E" STREET, CENTRAL CITY NORTH - RECONSIDER PREVIOUS ACTION. A Motion was made by Gerwig and seconded by Hobbs, that the previous action accepting the offer from H. Frank Dominguez to purchase the property south of the "Penney" building on "E" Street be reconsidered. ".... f L, The Motion carried by the following vote, to wit: Ayes: Wheeler, Gerwig, Hudson, Hobbs, Strickler. Noes: Castaneda, and Hernandez. Absent: None. Mr. Gerwig made a recommendation that the property at 480-484 North "E" Street previously authorized for sale to Vanir Research Company be offered as a trade to Mr. Dominguez for the National Dollar Store property whereby more parking space could be obtained. 4871 Wm. A. Flory, Agency Counsel, answered questions as to the legality of rescinding the previous action, stating that, inasmuch as the agreement had not been signed, any action taken could be reconsidered. Chairman Holcomb stated that it would be prudent to find out if Mr. Dominguez wanted the property and recommended that the matter be continued for two weeks. A Motion was made by Gerwig, seconded by Hobbs, to continue the matter to the next Board meeting to inquire if Mr. Dominguez would consider the trade. Mr. David Stringer, Attorney for Mr. Dominguez, stated that he did not wish to amend their prior transaction, that their offer was submitted and accepted on a competitive basis and that a lot of time could be saved by not continuing the matter to the next meeting. Mr. Hobbs stated that he wished to withdraw his second. The Motion died for lack of a second, and no further action was taken. RESOLUTION NO. 4038 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF A PARKING AGREEMENT WITH H. FRANK DOMINGUEZ, DBA V ANIR RESEARCH COMPANY, AND THE CITY OF SAN BERNARDINO RELATING TO THE LEASING OF 85 PARKING SPACES BY THE AGENCY AT THE SOUTHWEST CORNER OF THE FOURTH LEVEL OF THE FIVE LEVEL PARKING STRUCTURE LOCATED AT THE NORTHEAST CORNER OF SECOND AND "E" STREETS. A Motion was made by Wheeler and seconded by Castaneda that the resolution be adopted. Mr. David Stringer, Attorney for Vanir Research Company, submitted a proposed amendment to the resolution concerning credit towards lease cost for maintenance payments. Mr. Stringer stated that Vanir would be willing to pay the actual cost of maintaining the spaces which would exceed the $3,000 per year proposed as payment for maintenance costs. Resolution No. 4038 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Hobbs. Noes: Gerwig, Hudson and Strickler. Absent: None. At 11:20 p.m. the Redevelopment Agency Board was adjourned to the Regular Board Meeting of March 3, 1980, at 4:00 p.m., in the Council Chambers, 300 North "D" Street, San Bernardino, California. R. E. Shadwell, Jr., Executive Directo -, 1j. j ~ ...., ..... . j ..."J ... ~ f ..; 4872 r ..... MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, HELD MARCH 3, 1980. The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:15 p.m., Monday, March 3,1980, by Chairman W. R. Holcomb, in the Council Chambers, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman, W. R. Holcomb; Vice Chairman, Edward S. Wheeler,Jr., Richard F. Gerwig, Lionel F. Hudson, John D. Hobbs, Jack Strickler, Robert A. Castaneda and Ralph Hernandez. Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. APPROVE MINUTES A Motion was made by Gerwig, seconded by Hernandez and unanimously carried, that the Minutes of the Redevelopment Agency Board of February 6 and February 18, 1980, be approved as presented. ACTION BY THE MAYOR AND COMMON COUNCIL [ Mr. Shadwell presented for the consideration of the Mayor and Common Council an Ordinance of the City of San Bernardino amending Ordinance No. 3815, relating to the financing of projects for the encouraging of increased employment, and amending Section 14, Subsection(e) and Section 18, relating to interest rates and discount. The Ordinance was adopted as an urgency measure in view of the current international situation of inflation, and the fact that interest rates and discount limitations in Ordinance No. 3815 appear to be unrealistic. An amendment to Ordinance 3815 should expedite the financing of projects under the Industrial Development Bond program and help alleviate the severe unemployment problem in the City. The following Resolutions of Intent approving the applications for the issuance of Industrial Development Bond Financing (IDB's), pursuant to the provisions of Ordinance No. 3815, were adopted by the Mayor and Common Council. [ RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO FINDING THAT AN APPLICATION FOR INDUSTRIAL DEVELOPMENT BOND FINANCING HAS BEEN SUBMITTED PURSUANT TO THE PROVISIONS OF ORDINANCE NO. 3815 OF THE CITY BY ASHTON INVESTMENTS, A LIMITED PAR TNERSHIP; FINDING THAT SAID APPLICATION COMPLIES WITH THE PROVISIONS AND REQUIREMENTS OF SAID ORDINANCE NO. 3815; PRELIMINARILY APPROVING SAID APPLICATION AND THE PROJECT TO WHICH IT REFERS; FIXING A TIME AND PLACE FOR THE HOLDING OF A HEARING THEREON; ORDERING THE PUBLICA TION OF A NOTICE OF HEARING IN THE FORM AND MANNER PROVIDED BY SAID ORDINANCE NO. 3815; AND MAKING CERTAIN OTHER FINDINGS AND DETERMINATIONS IN CONNECTION THEREWITH. rr 4873 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO FINDING THAT AN APPLICATION FOR l INDUSTRIAL DEVELOPMENT BOND FINANCING HAS BEEN SUBMITTED . ..... PURSUANT TO THE PROVISIONS OF ORDINANCE NO. 3815 OF THE CITY .. BY INLAND INDUSTRIAL PARK ASSOCIATES, A GENERAL -"" PAR TNERSHIP; FINDING THAT SAID APPLICATION COMPLIES WITH THE PROVISIONS AND REQUIREMENTS OF SAID ORDINANCE NO. 3815; PRELIMINARILY APPROVING SAID APPLICATION AND THE PROJECT TO WHICH IT REFERS; FIXING A TIME AND PLACE FOR THE HOLDING OF A HEARING THEREON; ORDERING THE PUBLICA TION OF A NOTICE OF HEARING IN THE FORM AND MANNER PROVIDED BY SAID ORDINANCE NO. 3815; AND MAKING CERTAIN OTHER FINDINGS AND DETERMINATIONS IN CONNECTION THEREWITH. A Public Hearing was scheduled for April 7, 1980 at 2:00 p.m., in the Council Chambers, San Bernardino, California. PUBLIC HEARING FOR THE SALE OF REAL PROPERTY. Mayor/Chairman Holcomb opened the Joint Public Hearing for the sale of Agency owned property known as Parcel Number 135-101-09, located on Fifth Street between "D" Street and Arrowhead Avenue. Mr. Shadwell informed the Board that an offer of $30,809.95 had been made and pointed to the location of the property on the map. There being no other offers, a motion was made by Strickler and seconded by Gerwig, that the hearing be closed and the following resolution adopted. J RESOLUTION NO. 4039 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO A DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND JOHN M. MILLS, UELALIA MILLS ARMOUR AND DOTTE MILLS AS TRUSTEE, MILLS FAMILY TRUST, FOR PROPERTY LOCATED IN THE CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. Resolution No. 4039 was adopted by the following vote, to wit: Ayes: Castaneda, Hernandez, Gerwig, Hudson.. Hobbs and Strickler. Noes: None. Absent: Wheeler. DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND V ANIR RESEARCH COMPANY - PARCEL NO. 134-121-07, CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. Mr. Shadwell briefed the Board on previous actions taken regarding the proposed ~oalledopf the prBop~lrd~y l~caTtehd atff480/f48F4 NokrtDh "~" Strec::t, ihmmediately sO$3ulthOOOOf hthed J""....... enney Ul mg. e 0 er 0 ran ommguez m t e amount of ,a ... been accepted upon the terms and conditions as stated in the Offer to Purchase dated February 18, 1980; close of escrow to be 30 days following the date of 4874 [ approval of sale and construction of the development to start 90 days after conveyance of the property to Vanir Research Company. Mr. Shadwell stated that in accordance with this offer and the subsequent approval of the sale to Vanir, escrow closing is scheduled for March 19, 1980. A Motion was made by Gerwig and seconded by Castaneda to approve the execution of an agreement between the Agency and H. Frank Dominguez and adopt the following resolution. RESOLUTION NO. 4040 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO A DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND H. FRANK DOMINGUEZ, DBA, V ANIR RESEARCH COMPANY FOR PROPERTY LOCATED IN THE CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. Resolution No. 4040 was adopted by the following vote, to wit: Ayes: Castaneda, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: Wheeler. [ CONTRACT OF SALE BETWEEN THE AGENCY AND HUNTLEY PROPERTIES FOR THE SALE OF REAL PROPERTY LOCATED A T THE SOUTHWEST CORNER OF COOLEY AND SUNNYSIDE AVENUES - PROPOSED KANEY FOODS DEVELOPMENT, SEIP. Mr. Shadwell stated that this matter was continued from the Agency Board Meeting of February 18, 1980, and that a supplemental proposal had been received from Mr. Bruce Varner, Attorney for Huntley Properties, which was being presented for the consideration of the Board at this time. Mr. Varner made the following proposal on behalf of Huntley Properties: 1. Huntley Properties will immediately close its escrow with the Redevelopment Agency on the terms and conditions and at the price specified in the original escrow. 2. Huntley Properties will give Kaney Foods an immediate deadline to complete its financing arrangements and commence construction. In the event Kaney Foods is unable to proceed immediately, Huntley Properties will commence construction of an approved facility for an alternate user, of at least 50,000 square feet and will complete construction of such facility within twelve months from the date hereof, which facility when completed will have a fair market value of at least $1,000,000. ,... L 3. If Kaney Foods is not able to start its development immediately, the Agency will sell and Huntley Properties will purchase that portion of the property adjacent to the above referenced parcel on the same terms and conditions as set forth in its escrow with the Kaneys. .1 1 ~.rw 4875 4. Huntley Properties hereby agrees that the development will be treated as ]........... if it had been completed and placed on the County tax rolls effective July 1, 1980, .. with a fair market value of $1,000,000 and Huntley Properties will agree to pay to the Redevelopment Agency an in lieu tax equivalent to the property taxes that would have been paid had the development been completed prior to the March, 1980 assessment date, which in lieu taxes will be paid to the Agency in the same manner as regular property taxes. Chairman Holcomb stated that, for the record, he would ask is Mr. Huntley prepared to redeed to the Agency the railroad that was mistakingly deeded to him and is still in Mr. Huntley's name. Mr. Varner replied that this matter had just recently come to their attention and he was not certain that it was mistakingly deeded, and that in his opinion this matter relates to a separate parcel. Chairman Holcomb said that he felt this proposal from Huntley Properties bordered on a gift of public funds and he would urge that this property not be given to Mr. Huntley at the price quoted 3 years ago until it is clarified that we will have to bring suit to get the railroad back or until it is redeeded to the Agency. He urged that the Board continue the matter until the next Board meeting. A discussion followed, after which, a Motion was made by Gerwig, seconded by Hernandez and unanimously carried, to continue the matter until the meeting of March 17, 1980. CONSIDER DEFAULT OF VANIR RESEARCH COMPANY ON PROMISSORY NOTE DUE AND PAYABLE ON FEBRUARY 27, 1980, FOR PURCHASE PRICE OF PROPERTY LOCATED AT 4TH AND "E" STREET, CENTRAL CITY NORTH REDEVELOP- MENT PROJECT AREA. ., ~ ...., Mr. Shadwell informed the Board that on February 29, 1980, he received a letter from Mr. David Stringer, Attorney for Vanir Development Company, requesting a 6 month extension of the Promissory Note due and payable on February 27, 1980. Mr. Shadwell pointed out that the transaction as currently structured is costing the Redevelopment Agency money. The Promissory Note due February 27, 1980, established an interest rate of 10% on the unpaid balance for the six month period and during that same time period, the Agency could have had that money invested at a much higher interest rate. Mr. Shadwell stated that in his opinion, should a new note be approved giving an extension, the interest rate on the note should be equal to what the Agency would receive if the money was in our hands. Chairman Holcomb stated that he felt we should grant the extension if Mr. Dominguez is willing to pay the prevailing interest rate. Mr. David Stringer spoke on behalf of Vanir Development Company, stating that he felt the time requested was reasonable and asked the cooperation of the Board in this regard. ...... ~ ....J [ [ [ 4876 Mr. Shadwell stated the amount now due and payable as of February 27, 1980, is $51,812.48, which amount includes principal and interest due at the rate of 10% per annum from August 27, 1979 to March 3,1980. A Motion was made by Gerwig and seconded by Hernandez, that the request of Mr. Frank Dominguez for an extension of obligation for payment on the Promissory Note dated August 21, 1979 for a period of six months be granted, subject to the following conditions: 1. That a new Promissory Note and Trust Deed be executed as of March 3, 1980, in the amount of $51,812.48; and 2. That beginning March 3, 1980, the prevailing interest rate of 15.5% be paid on the new Note. Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson and Strickler. Noes: None. Abstention: Hobbs. CONSIDER DEFAULT OF VANIR RESEARCH COMPANY REGARDING SUBSTITUTION OF CERTIFICATE OF DEPOSIT FOR DEPOSIT CHECK REGARDING COURT AND "E" STREET PROPERTY, CENTRAL CITY REDEVELOPMENT PROJECT AREA. Mr. Shadwell stated that under the terms of the Disposition and Joint Development Agreement between the Redevelopment Agency and Mr. Frank Dominguez of Vanir Development Company, the check which the Agency is holding and which is over a year old, as a deposit check was to be replaced by a Certificate of Deposit made payable to the Redevelopment Agency and the interest payable therefrom going to Vanir. Mr. Shadwell presented a letter just received from Mr. Richard S. Koon of Crocker National Bank indicating that Mr. H. Frank Dominguez has on deposit with Crocker National Bank the sum of $28,910.00 which is pledged to the Redevelopment Agency as a deposit for the Court and "E" Street property. These funds are available to the Agency on demand, should Mr. Dominguez default on his agreement with the Agency. Chairman Holcomb stated that according to the terms of the agreement the Certificate of Deposit should be made in the name of the Redevelopment Agency and this letter received from Crocker National Bank did not constitute a Certificate of Deposit so named. A Motion was made by Strickler, seconded by Gerwig and unanimously carried, that Mr. Dominguez place with the Agency a Certificate of Deposit in the amount of $28,985.00, made payable to the Redevelopment Agency, as required by the executed Disposition and Joint Development Agreement, within ten (10) days from this date, and if he has not done so by that date, the Disposition and Joint Development Agreement shall be rescinded. II 4877 RECONSIDERA TlON OF CITY RESOLUTION NO. 80-77 AND REDEVELOPMENT AGENCY RESOLUTION NO. 4038 - AUTHORIZING EXECUTION OF AN AGREEMENT WITH H. FRANK DOMINGUEZ, DBA V ANIR RESEARCH COMPANY" RELATIVE TO THE LEASING OF 85 PARKING SPACES BY THE REDEVELOPMENT AGENCY AT THE SOUTHWEST CORNER OF THE 4TH LEVEL OF THE 5-LEVEL PARKING STRUCTURE. 1 -J Mr. Castaneda asked the position of the Agency on the agreement for the leasing of the 85 parking spaces authorized for execution at the meeting of February 18, 1980. Wm. A. Flory, Agency Counsel, informed the Board that since the Mayor had twice vetoed City Resolution No. 80-77 relating to the leasing of 85 parking spaces at the corner of the fourth level of the 5-level parking structure located at Second and "E" Street, Redevelopment Agency Resolution No. 4038 authorizing the execution of a parking agreement with H. Frank Dominguez was still up in the air since the Agency had no funds with which to maintain the spaces. Mr. Hernandez suggested making two separate agreements, one between the Agency and Mr. Dominguez for the leasing of the parking spaces and one between the Agency and the City for maintenance cost of the spaces. Mr. Wheeler suggested amending Section 5, Page 4 of the agreement, to insert a period after the word spaces on line 19, thus deleting the remainder of Paragraph one of Section 5. ..... I ..... Chairman Holcomb stated that he had decided to compromise and would not block the lease agreement if it was so amended to delete the conditions that would permit Mr. Dominguez to apply maintenance and security payments during the first seven years of the agreement toward future payments. Mr. David Stringer, Attorney for Vanir Development Company, stated that the spaces were needed to help attract a tenant for the former Thrifty Building at 2nd and "E" Streets and that Mr. Dominguez was willing to cover the actual cost of the maintenance, plus cost of living increases, during the first 7 years and then $15.00 per space after that. After discussion regarding changes in the language of the lease agreement, a Motion was made by Wheeler and seconded by Castaneda to approve the leasing of 85 spaces to Vanir Development Company for the cost of the maintenance for the first seven years of the 25-year lease. Mr. Gerwig stated his opposition to the agreement and said that public parking should not be given away. City Attorney, Ralph Prince, stated that according to State law, a public hearing must be scheduled on the lease, since it involves the City's Redevelopment Agency leasing parking spaces at below market cost. .... i ~ [ [ r- L 4878 Mr. Wheeler amended his motion to state "approve in principle" and set a public hearing for 4:00 p.m., April 7, 1980. The Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez and Hobbs. Noes: Gerwig, Hudson and Strickler. Absent: None. at 5:45 p.m., the Redevelopment Agency Board was adjourned to the next regular meeting of March 17, 1980, in the Council Chambers, City Hall, 300 North "D" Street, San Bernardino, California. , R. E. Shadwell, Jr., Executive Direc r u U ...L A.. , .1 '! t n,*,.,t~ ,{l,(. , -, M ~ ~ ., ..,,1/1 ...-. t l ...J 4879 [ MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, HELD MARCH 17, 1980. The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:30 p. m., Monday, March 17, 1980, by Chairman W. R. Holcomb in the Council Chambers, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman, W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs, Robert'JA. Castaneda and Ralph Hernandez. Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. Absent: Jack Strickler. APPROVE MINUTES A Motion was made by Hernandez, seconded by Hobbs and unanimously carried, that the Minutes of the Redevelopment Agency Board Meeting of March 3, 1980 be approved. [ PRESENT A TION FROM WARNER W. HODGDON RELATIVE TO THE RESIDENTIAL - COMMERCIAL - RECREATIONAL DEVELOPMENTS IN THE STATE COLLEGE REDEVELOPMENT PROJECT AREA. Mr. Warner W. Hodgdon gave a slide presentation of the Shandin Hills development in the State College Redevelopment Project Area. Mr. Hodgdon read the following letter and presented documentation updated through March 17, 1980 relative to the San Bernardino State College Redevelopment Project No.4. March 17, 1980 Mayor W. R. Holcomb and Members of the Common Council City Hall 300 North "D" Street San Bernardino, California 92401 RE: State College Project - San Bernardino Elks Building Association All-America City Public Golf Course, Inc. - Participation Owners - Public and Private Improvements - Updated Through March 17, 1980 Dear Mayor and Common Council: [ Enclosed herewith you will find a book of data and documentation as referred above. As you know, the San Bernardino State College Redevelopment Project No. 4 has been envisioned for m'any years; and the elements thereof pertaining to the overall Shandin Hills Project are a major part of this project area. 4880 The overall Shandin Hills plan of development will be a major cornerstone and mutual benefit to the City and its west gateway, the State College, and the generation of west-side industrial employment and economic growth. By working together, Shandin Hills has been brought to a point that the plans can be turned into construction asbuilts to become a functioning and working part of our community family. My wife and I have faith that the few remaining requirements and solutions thereof can be accomplished by working together in mutual faith and trust with those responsible. ~ -J We have previewed the overall Shandin Hills plan of development with you by an audio-visual review, which incorporates the April 27, 1970 San Bernardino State College Redevelopment Project No.4 plan. We have presented many books of data and documentation keeping you appraised as to the progress that has been made in the past through everyone's effort and economic support. The enclosed data and documentation update through March 17, 1980 generally outlines the cooperation Shandin Hills needs with the Mayor and Common Council in order to make this productive land a templet for the future as part of the San Bernardino State College Redevelopment Project No.4. Weare requesting no additional funding from the City or the Redevelopment Agency over and above the original mutual commitments, only the right to use the City/Redevelopment Agency's legally available funding methods, as were originally contemplated and have been completed or are in process by others throughout the City. As you know, my wife and I have kept our original commitments and have contributed considerable funds, time, and effort in working with the City and the Redevelopment Agency to solve many issues, but not limited to, incomplete geology reports, water supply sources, and purchasing of Redevelopment Agency bonds. We have also completed the Campus Crusade for Christ International Administrative Headquarters, which will employ over 600 people, without any City/Redevelopment Agency assistance; we have contributed $100,000 towards the development of Blair Park's soccer field area; we have started construction on the 276 affordable housing units north of Blair Park; and we remain, at this time, willing to contribute 60 acres to the Redevelopment Agency required for the golf course (the MAl appraisal for which is $1,500,000); we are willing to contribute to the Redevelopment Agency approximately three acres for the Elks Golf Club House, valued at $172,000; and we will accept the responsibility for the overall Redevelopment project cost overruns of an additional $1,500,000 and including, but not limited to, developing the $200,000 water well facility required for the City Municipal Water Department's Water Exchange Agreement. ~ ~ -.tIJ The additional cost factor that should not be overlooked is that it requires approximately $400,000 for operating equipment covering the golf course maintenance and golf pro shop operations, along with an estimated $300,000 for start-up costs. The original concept was that the golf pro shop facilities would be part of the Elks Golf Club House; however, the Elks subsequently determined that their facility should be freestanding, that the Elks would retain exclusive food and beverage operations, and the Elks now desire that the Elks Golf Club House facilities, as an integral part of the golf course operation, not be open to the public beyond 6 p.m. on each and every Monday night. They will retain, however, the right to park within the public golf pro shop operation's parking area without the responsibility to clean or maintain said parking area. ,., .....J 4881 [ As you can relate from the above, this project is not an easy burden for my wife and I; but this point was brought out approximately two years ago when an Orange County golf course promoter failed to make the initial $50,000 deposit to the City/Redevelopment Agency for the right to attempt the golf course, let alone build and operate same. We believe in building San Bernardino; we have faith that in the long term the Shandin Hills project will succeed. We have asked for no funding over and above that which we have given or are responsible to generate the source of repayment. We only request that you have faith and confidence in our ability to complete this project with your help only. Our funding, our land, and our guaranties are the City's/Redevelopment Agency's up front, from the start; and we are at risk, over time, with the future of Shandin Hills and the national economy. Respectfully yours, / s/ Warner W. Hodgdon WARNER W. AND SHARON D. HODGDON WWH:EM Enclosure [ Mr. Hodgdon stated that he had reviewed the resolution as prepared by the Redevelopment Agency and the Agency's Counsel relative to proceeding with the award of the bid and that he concurred therein, and if it was the desire of the Board and Council to proceed with the project as outlined in his letter, he would be willing to work with the City,to accomplish the same. Mr. Shadwell read the following resolution: RESOLUTION NO. 4041 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF A CONTRACT BETWEEN THE AGENCY, JESSE HUBBS & SONS (CONTRACTOR) AND WARNER W. HODGDON AND SHARON D. HODGDON (HODGDONS) FOR THE CONSTRUCTION OF A COMMERCIAL, RESIDENTIAL AND RECREATIONAL DEVELOP- MENT, STATE COLLEGE PROJECT AREA. Mr. Shadwell asked that a correction be made on page 2 of the resolution wherein paragraph 6, line 3, should read "agreements" rather than agreement. Mr. Hodgdon agreed that this correction was acceptable to him and that some slight modifications would have to be made regarding the Water Agreement and the Elks Club Agreement. He stated that it was his understanding that the Agency's Legal Counsel and Bond Counsel would work with him to adjust these amendments and bring them back to the Council/Board for final ratification. [ A Motion was made by Wheeler and Seconded by Hudson to adopt the resolution authorizing the execution of the contract between the Agency, Jesse Hubbs & Sons and Warner W. Hodgdon and Sharon D. Hodgdon. 4882 Mr. Shadwell answered questions of the Board, stating that when the Resolution is adopted and the Contract is signed by all parties, work would immediately commense on the Project. The Agency is subject not to exceed $1,400,000 for the ~ construction of the Golf Course itself, and for the remainder of the Project I included in this Contract, which is the residential and commercial areas, the , Agency will not exceed the total amount available of the remaining bond proceeds ~ of Series "C" of the 1978 Issue of State College. When those funds are gone, and if additional funds are needed, then they will be the responsibility of Mr. Hodgdon. Also, the amount of the funds required over the $1,400,000 is the responsibility of Mr. Hodgdon and the Contractor will so bill the Hodgdons for those costs. Mr. Hodgdon stated for the record, the Agency shall not pay to the Contractor any sum in excess of the $1,390,534.33, which amount is the balance of the Agency's committed $1,400,000 for the golf course construction and any sum in excess of the bond proceeds plus accrued interest from the sale of the bonds for the construction of commercial and residential developments. Referring to the Resolution and the "appropriate agreements" between the Agency, the Contractor and the Hodgdons; Mr. Hodgdon stated that he felt the time was very critical to the Contractor because of the planting areas, and if the Board so concurred, he would be willing to start construction basically on his own good faith and the appropriate agreements would come back to the Council/Board so that they could understand what the final details are and that he believed with the help of the Agency's Counsel and the efforts on his part, these amendments could come back at the next Council/Board Meeting. Mr. Hernandez stated that he hoped that Mr. Hodgdon would bring any problems relating to the project to the attention of the Board and Council so that the project 1 could proceed as fast as possible, since it had been a long time in getting started.! Mr. Hodgdon assured the Board that he would cooperate in every way possible and ..." that he would appreciate meeting with the Project Committee from time to time in order that the Council/Board could be better informed regarding the progress of the project. Mr. Castaneda stated that he felt the project had been delayed long enough and it was time to get out of the sand trap and get on to the greens. Resolution No. 4041 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson and Hobbs. Noes: None. Absent: Strickler. ACTION ON INDUSTRIAL DEVELOPMENT BONDS BYTHE MAYOR AND COMMON COUNCIL. The following Resolutions of Intent approving the applications for the issuance of Industrial Development Bond Financing (lDB's), pursuant to the provisions of Ordinance No. 3815, were adopted by the Mayor and Common Council. A Public Hearing was scheduled for April 7, 1980 at 2:00 p.m., in the Council Chambers, City Hall, San Bernardino, California. ~ ....J 4883 [ RESOLUTION NO. 80-106 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO FINDING THAT AN APPLICATION FOR INDUSTRIAL DEVELOPMENT BOND FINANCING HAS BEEN SUBMITTED PURSUANT TO THE PROVISIONS OF ORDINANCE NO. 3815 OF THE CITY BY ROBERT L. LANGSTON AND WILTON K. NEWBY, A GENERAL PARTNERSHIP; FINDING THAT SAID APPLICA TlON COMPLIES WITH THE PROVISIONS AND REQUIRE- MENTS OF SAID ORDINANCE NO. 3815; PRELIMINARILY APPROVING SAID APPLICATION AND THE PROJECT TO WHICH IT REFERS; FIXING A TIME AND PLACE FOR THE HOLDING OF A HEARING THEREON; ORDERING THE PUBLICATION OF A NOTICE OF HEARING IN THE FORM AND MANNER PROVIDED BY SAID ORDINANCE NO. 3815; AND MAKING CERTAIN OTHER FINDINGS AND DETERMINATIONS IN CONNECTION THEREWITH. RESOLUTION NO. 80-107 [ RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO FINDING THAT AN APPLICATION FOR INDUSTRIAL DEVELOPMENT BOND FINANCING HAS BEEN SUBMITTED PURSUANT TO THE PROVISIONS OF ORDINANCE NO. 3815 OF THE CITY BY VTN CONSOLIDATED, INC., AND EASTERN PACIFIC FINANCIAL GROUP, A JOINT VENTURE; FINDING THAT SAID APPLICATION COMPLIES WITH THE PRO- VISIONS AND REQUIREMENTS OF SAID ORDINANCE NO. 3825; PRELIMINARILY APPROVING SAID APPLICATION AND THE PROJECT TO WHICH IT REFERS; FIXING A TIME AND PLACE FOR THE HOLDING OF A HEARING THEREON; ORDERING THE PUBLICA TlON OF A NOTICE OF HEARING IN THE FORM AND MANNER PROVIDED BY SAID ORDINANCE NO. 3815; AND MAKING CERTAIN OTHER FINDINGS AND DETERMINATIONS IN CONNECTION THEREWITH; SUBJECT TO APPROVAL OF THE AMENDED DISPO- SITION AND JOINT DEVELOPMENT AGREEMENT AND THE EXECUTION THEREOF BY ALL PARTIES. [ RESOLUTION NO. 80-108 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO FINDING THAT AN APPLICATION FOR INDUSTRIAL DEVELOPMENT BOND FINANCING HAS BEEN SUB- MITTED PURSUANT TO THE PROVISIONS OF ORDINANCE NO. 3815 OF THE CITY BY H. FRANK DOMINGUEZ, AN INDIVIDUAL, DBA V ANIR RESEARCH COMPANY, FINDING THAT SAID APPLICATION COMPLIES WITH THE PROVISIONS AND REQUIREMENTS OF SAID ORDINANCE NO. 3815; PRELIMINARILY APPROVING SAID APPLI- CA TlON AND THE PROJECT TO WHICH IT REFERS; FIXING A TIME AND PLACE FOR THE HOLDING OF A HEARING THEREON; ORDERING THE PUBLICATION OF A NOTICE OF HEARING IN THE FORM AND MANNER PROVIDED BY SAID ORDINANCE NO. 3815; AND MAKING CERTAIN OTHER FINDINGS AND DETERMINATIONS IN CONNECTION THEREWITH. ~~~_JIh, 4884 RESOLUTION NO. 80-109 ... RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE J"~ CITY OF SAN BERNARDINO FINDING THAT AN APPLICATION > FOR INDUSTRIAL DEVELOPMENT BOND FINANCING HAS BEEN SUBMITTED PURSUANT TO THE PROVISIONS OF ORDINANCE NO. 3815 OF THE CITY BY H. FRANK DOMINGUEZ, AN INDIVIDUAL, DBA VANIR RESEARCH COMPANY, FINDING THAT SAID APPLI- CA TION COMPLIESWITH THE PROVISIONS AND REQUIREMENTS OF SAID ORDINANCE NO. 3815; PRELIMINARILY APPROVING SAID APPLICA TION AND THE PROJECT TO WHICH IT REFERS; FIXING A TIME AND PLACE FOR THE HOLDING OF A HEARING THEREON; ORDERING THE PUBLICATION OF A NOTICE OF HEARING IN THE FORM AND MANNER PROVDED BY SAID ORDINANCE NO. 3815; AND MAKING CERTAIN OTHER FINDINGS AND DETERMINATIONS IN CONNECTION THEREWITH. RESOLUTION NO. 80-110 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO FINDING THAT AN APPLICATION FOR INDUSTRIAL DEVELOPMENT BOND FINANCING HAS BEEN SUBMITTED PURSUANT TO THE PROVISIONS OF ORDINANCE NO. 3815 OF THE CITY BY THEDFORD O. AND JACQUELINE M. DE GROOT, FINDING THAT SAID APPLICATION COMPLIES WITH THE PROVISIONS AND REQUIREMENTS OF SAID ORDINANCE NO. ., 3815; PRELIMINARILY APPROVING SAID APPLICATION AND THE J" PROJECT TO WHICH IT REFERS; FIXING A TIME AND PLACE FOR THE HOLDING OF A HEARING THEREON; ORDERING THE PUBLI- CA TION OF A NOTICE OF HEARING IN THE FORM AND MANNER PROVIDED BY SAID ORDINANCE NO. 3815; AND MAKING CERTAIN OTHER FINDINGS AND DETERMINATIONS IN CONNECTION THEREWITH. RESOLUTION NO. 80-111 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO FINDING THAT AN APPLICATION FOR INDUSTRIAL DEVELOPMENT BOND FINANCING HAS BEEN SUBMITTED PURSUANT TO THE PROVISIONS OF ORDINANCE NO. 3815 OF THE CITY BY MILLCREEK, A GENERAL PARTNERSHIP; FINDING THAT SAID APPLICATION COMPLIES WITH THE PROVISIONS AND REQUIREMENTS OF SAID ORDINANCE NO. 3815; PRELIMINARILY APPROVING SAID APPLICATION AND THE PROJECT TO WHICH IT REFERS; FIXING A TIME AND PLACE FOR THE HOLDING OF A HEARING THEREON; ORDERING THE PUBLICATION OF A NOTICE OF HEARING IN THE FORM AND MANNER PROVIDED BY SAID ORDINANCE NO. 3815; AND MAKING CERTAIN OTHER FINDINGS AND DETERMINA TIONS IN CONNECTION THEREWITH. ., .~ . ~ ~ ...J 4885 [ REAPPOINTMENT OF MR. WILLIAM H. PARKER TO THE CIVIC CENTER JOINT POWERS AUTHORITY COMMISSION. Mr. Shadwell recommended that Mr. William H. Parker be reappointed to the Civic Center Joint Powers Authority Commission for a four year term. Mr. Parker has served as President of the Commission for the past four years and has indicated his desire to continue as a member. A Motion was made by Wheeler and seconded by Hudson that the reappointment of Mr. William H. Parker as the representative of the Redevelopment Agency to the San Bernardino Civic Center Joint Powers Authority Commission be approved. Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig and Hudson. Noes: None. Absent: Hobbs and Strickler. CONTRACT OF SALE - HUNTLEY PROPERTIES - PROPERTY LOCA TED AT THE SOUTHWEST CORNER OF COOLEY AND SUNNYSIDE AVENUES, SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA. A request was received from Jack Strickler for continuation until April 7, 1980, of the matter involving the Huntley Properties and Kaney Foods, since he would not be present at the meeting and wished to submit input regarding this item which he urged the Board to hear prior to rendering a final decision on the matter. r ~ A Motion was made by Gerwig and seconded by Wheeler that the matter be continued until the meeting of April 7, 1980. The Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig and Hudson. Noes: None. Absent: Hobbs and Strickler. PRESENTATION FROM BRIAN J. SIMPSON AND ROBERT L. LANGSTON RELATIVE TO THE IN-LIEU PAYMENT REGARDING THEIR DEVELOPMENT AT 150 WEST FIFTH STREET, CENTRAL CITY EAST REDEVELOPMENT PROJECT AREA. Mr. Shadwell requested continuation of this matter until Mr. Simpson and Mr. Langston could be present. Due to an illness in the family of Mr. Robert L. Langston, the presentation was not ready. A Motion was made by Castaneda and seconded by Wheeler that this matter be continued to the meeting of April 7, 1980. The Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig and Hudson. Noes: None. Absent: Hobbs and Strickler. CONSIDER THE OFFERS FOR THE RENTAL OF AGENCY OWNED PROPERTY LOCATED AT 556 WEST FOURTH STREET, CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. [ An offer to rent the small office situated at the east corner of the California Theatre for $100.00 per month was made by George "Rick" Carbajal. He proposed to operate a small business at that location, selling magazines, newspapers, candy, cigarettes and soft drinks. 4886 An offer was received from Rolling Start Inc., a community based organization serving the City's disabled , who occupy the office space located at 560 West Fourth Street and would like to request the rental of 556 West Fourth Street for additional office space. ., Mr. Shadwell recommended that the Board reject both offers to rent the available space in the California Theatre, due to the pending agreement between the City and the County for the use of the property to provide a performing arts theater and an auditorium for civic activities in the public interest. It is his understanding that all tenants must vacate when the building is refurbished, and in view of the fact that relocation costs could be involved, it would be his recommendation that the Agency not enter into any rental agreements at this time. -' A Motion was made by Castaneda and seconded by Gerwig to reject both offers. The Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Gerwig and Hudson. Noes: None. Absent: Hobbs and Strickler. Abstention: Hernandez. Mr. Don Vigil of Rolling Start Inc., was in the audience and wished to address the Board. Mr. Hernandez made a Motion and seconded by Mr. Castaneda to reconsider the previous Motion. The Motion carried by thefollowing vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig and Hudson. Noes: None. Absent: Hobbs and Strickler. .. ...., Mr. Vigil stated that Rolling Start would like to utilize the additional space for the length of time that they would be occupying their present location, and they would appreciate any help from the City in relocating in the future. Mr. Shadwell informed the Board that Rolling Start rented their present location for $1.00 per year on a month to month basis and they were doing a fine job for the community. If, however, the Board did wish to rent them the additional space on the same basis, it should definitely be stated in the agreement that they will move at the proper time and will not claim any relocation costs. 'vA Motion was made by Hernandez, and seconded by Gerwig to authorize an agreement between Rolling Start, Inc., and the Agency for the rental of the space at 556 West Fourth Street, on a month to month basis for $1.00 per year, providing they execute the necessary waiver of relocation costs. The Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig and Hudson. Noes: None. Absent: Hobbs and Strickler. 'vA Motion was made by Gerwig and seconded by Hudson that the offer of "Rick" Carbajal for the rental of the property at 556 West Fourth Street be rejected. The Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig and Hudson. Noes: None. Absent: Hobbs and Strickler. .., ...I 4887 '-' AMEND THE DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND VTN CONSOLIDATED, INC., AND EASTERN PACIFIC FINANCIAL GROUP, A JOINT VENTURE, AND CHANGING THE DEVELOPMENT SQUARE FOOTAGE, DOLLAR VALUE AND BUILD OUT PHASING, SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA. ~ Mr. Shadwell reviewed with the Board the condition placed on the Resolution of Intent of VTN Consolidated in their application for Industrial Development Bond financing, in that the application was accepted subject to approval of the amended Disposition and Joint Development Agreement and the execution thereof by all parties. Mr. Shadwell pointed out on the display map that the developer did have sufficient property for this expansion and that no zone changes would be required to his knowledge for their new program. A Motion was made by Hudson, and seconded by Castaneda that the resolution amending the VTN Consolidated, Inc., Eastern Pacific Financial Group Disposition and Joint Development Agreement be adopted. RESOLUTION NO. 4042 [ RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AMENDING THE DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND VTN CONSOLIDATED INC./EASTERN PACIFIC FINANCIAL GROUP, A JOINT VENTURE, RELATING TO PROPERTY LOCATED IN THE SOUTHEAST INDUSTRIAL PARK PROJECT AREA. Resolution No. 4042 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, and Hudson. Noes: None. Absent: Hobbs and Strickler. REVIEW THE "STATUS OF DEVELOPMENTS" TO DETERMINE ACTION TO BE TAKEN RELATIVE TO DEVELOPMENT IN DEFAULT. r' Mr. Shadwell presented for the consideration of the Board a Status Report compiling the most recent transactions between the Redevelopment Agency and the various developers. Mr. Shadwell pointed out his recommendations on the Report the appropriate legal actions to be taken relative to those developments in default. , , Mr. Gerwig made a Motion and seconded by Castaneda to approve the recommendations of the Executive Director as submitted in the Redevelopment Agency Memorandum dated March 10, 1980. Mr. Lionel Heller of Gibson Janitorial Service was present and wished to be heard concerning the recommendation to initiate appropriate legal action authorized in the Disposition Agreement to recover the property at 1795 Riverview Drive in the Southeast Industrial Redevelopment Project Area. [ Mr. Heller gave a brief report on the time delay of the work on his project and requested additional time to put the project together. A letter to Mr. Heller, dated March 14, 1980, from Architect Denny Jones was presented substantiating his remarks. LIT., )1. '1_~ ~ '0'. 4888 Mr. Heller submitted renderings of the proposed project and requested a time extension to September 1, 1980 to complete the project. ,., i ..J A Motion was made by Wheeler and seconded by Hudson to grant the request of Lionel Heller for an extension of time to September 1, 1980 for the completion of construction of the Heller Building at 1795 Riverview Drive. In answer to questions from the Board, Mr. Heller agreed to pay an in-lieu-of tax on the property as a part of his commitment to commence construction by the September 1, 1980 deadline. A Motion was made by Hernandez and seconded by Wheeler to direct the Agency Staff to amend the Disposition and Joint Development Agreement and bring back to the next meeting, to state that Lionel Heller would pay an in-lieu-of tax in an amount equal to what would have been paid had the property been on the tax rolls per his original commitment. The Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Hudson and Hobbs. Noes: None. Absent: Gerwig and Strickler. Mr. Shadwell reviewed the status of the developments that were to be constructed on the property the Redevelopment Agency sold to Remic Industries, Inc., Parcel No.2. Construction was to start on this parcel six months after completion of the construction on Parcel 111, which was completed May 16, 1979, and to date, no action had been taken on Parcel 112. Mr. Frank Goodie, President of Remic Industries, Inc. had previously indicated that he wished to be heard at the Board Meeting but was not present. ., J A Motion was made by Hobbs and seconded by Castaneda to continue the matter to the next Board Meeting, with the understanding that Agency Staff contact Mr. Goodie requiring him to respond in writing prior to April 7, 1980, stating why he should not be declared in default of the Disposition and Joint Development and why the Agency should not take action to cancel the present escrow and make the property available to other developers, or in the interim, to negotiate a payment of an amount of money to offset the loss of tax increment revenue that would be accruing to the Agency if the property and the planned development was on the tax rolls. The Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson and Hobbs. Noes: None. Absent: Strickler. Mr. Ralph Shadwell spoke on the breach of provisions of the Disposition and Joint Development Agreement for the purchase of property from the Agency located at 438-448 North Arrowhead A venue. Mr. Shadwell stated that Mr. Haskell had been advised that unless the balance of the purchase price is deposited in escrow and the escrow closed within a certain time period, the matter would be brought before the Board for consideration as to whether the entire agreement should be rescinded for the breach of the provisions of the agreement. As of this date, all documents have been signed and ready to close and the only requirement is for Mr. Haskell to deposit his funds into escrow. , I .....1 [ [ [ 4889 Attorney Don Haskell spoke regarding the progress of the proposed project. After discussion, a Motion was made by Hernandez, and seconded by Wheeler, that the matter be continued for 90 days on the condition that Mr. Haskell pay interest from the date escrow should have closed to the date of closing of escrow and that an in-lieu-of tax be paid for the stated value of the development as originally planned. Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson and Hobbs. Noes: None. Absent: Strickler. The meeting was adjourned at 5:35 p.m. to the next regular meeting of April 7, 1980 at 4:00 p.m., in the Council Chambers, 300 North "0" Street, San Bernardino, California. , T. ;:rv1W __[ Hl 1 ...J .... ~ -.. i i ..."tII 4890 , [ MINUTES OF THE REGULAR MEETING OF. THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA HELD APRIL 7, 1980. The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:00 p.m., Monday, April 7, 1980, by Chairman W. R. Holcomb in the Council Chambers, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman, W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs, Robert A. Castaneda, Ralph Hernandez and Jack Strickler. Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. APPROVE MINUTES A Motion was made by Hudson, seconded by Gerwig and unanimously carried, that the Minutes of the Redevelopment Agency Board Meeting of March 17, 1980, be approved as submitted. [ PUBLIC HEARINGS ON INDUSTRIAL DEVELOPMENT REVENUE BOND APPLICATIONS. Mayor/Chairman W. R. Holcomb opened the Public Hearings for the consideration of the Common Council of the City of San Bernardino on the following Industrial Development Revenue Bond Applications. RESOLUTION NO. 80-125 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO APPROVING AN APPLICATION FOR THE ISSUANCE OF INDUSTRIAL DEVELOPMENT REVENUE BONDS OF THE CITY AND THE PROJECT REFERRED TO THEREIN; FINDING THA T THERE WAS NO EVIDENCE PRESENTED AT A PUBLIC HEARING HELD ON SAID APPLICATION IN OPPOSITION TO SAID APPLICATION OR SAID PROJECT; DIRECTING THE PREP ARA TION OF A PROJECT AGREEMENT, RESOLUTION OF ISSUANCE AND OTHER LEGAL DOCUMENTS AS MAY BE NECESSARY TO CARRY OUT SAID PROJECT AND PROVIDE FOR THE ISSUANCE OF INDUSTRIAL DEVELOPMENT REVENUE BONDS THEREFOR; AND MAKING CERTAIN OTHER FINDINGS AND DETERMINATIONS IN CONNECTION THEREWITH. [ Resolution No. 80-125, approving the Application by Ashton Investments, A Limited Partnership requesting the issuance of industrial development revenue bonds in the principal amount of $8,000,000 for the purpose of financing a commercial office building to be located at the corner of 6th and "D" Streets in the City of San Bernardino, was adopted by the Mayor and Common Council. .. 4891 At the request of the Applicant, the public hearing for approval of the application for Inland Industrial Park Associates was continued to May 5, 1980. RESOLUTION NO. 80-126 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO APPROVING AN APPLICATION FOR THE ISSUANCE OF INDUSTRIAL DEVELOPMENT REVENUE BONDS OF THE CITY AND THE PROJECT REFERRED TO THEREIN; FINDING THA T THERE WAS NO EVIDENCE PRESENTED AT A PUBLIC HEARING HELD ON SAID APPLICATION IN OPPOSITION TO SAID APPLICATION OR SAID PROJECT; DIRECTING THE PREP ARA TION OF A PROJECT AGREEMENT, RESOLUTION OF ISSUANCE AND OTHER LEGAL DOCUMENTS AS MAY BE NECESSARY TO CARRY OUT SAID PROJECT AND PROVIDE FOR THE ISSUANCE OF INDUSTRIAL DEVELOPMENT REVENUE BONDS THEREFOR; AND MAKING CERTAIN OTHER FINDINGS AND DETERMINATIONS IN CONNECTION THEREWITH. ] Resolution No. 80-126, approving the Application by Robert L. Langston and Wilton Newby, a general partnership, requesting the issuance of industrial development revenue bonds in the principal amount of $1,250,000 for the purpose of financing an office building to be located at 1265 East Highland Avenue in the City of San Bernardino, was adopted by the Mayor and Common Council. At the request of the Executive Director of the Redevelopment Agency, and with the concurrence of the Applicant, the public hearing for approval of the application for VTN Consolidated and Eastern Pacific Financial Group was continued to April ,., 21, 1980. I ~ At the request of the Applicant, the public hearing for approval of the application for Vanir Research Company, Project at Mill Street and Waterman Avenue, was continued to August 4, 1980, At the request of the Applicant, the public hearing for approval of the application for Vanir Research Company, Project at 1555 East Highland Avenue, was continued to August 4, 1980. At the request of the Applicant to withdraw his application, the public hearing for approval of the application for Thedford & Jacquiline DeGroot was Tabled. RESOLUTION NO. 80-127 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO APPROVING AN APPLICATION FOR THE ISSUANCE OF INDUSTRIAL DEVELOPMENT REVENUE BONDS OF THE CITY AND THE PROJECT REFERRED TO THEREIN; FINDING THA T THERE WAS NO EVIDENCE PRESENTED AT A PUBLIC HEARING HELD ON SAID APPLICATION IN OPPOSITION TO SAID APPLICATION OR SAID PROJECT; DIRECTING THE PREPARATION OF A PROJECT AGREEMENT, RESOLUTION OF ISSUANCE AND OTHER LEGAL DOCUMENTS AS MAY BE NECESSARY TO CARRY OUT SAID PROJECT AND PROVIDE FOR THE ISSUANCE OF INDUSTRIAL DEVELOPMENT REVENUE BONDS THEREFOR; AND MAKING CERTAIN OTHER FINDINGS AND DETERMINATIONS IN CONNECTION THEREWITH. ] 4892 [ Resolution No. 80-127, approving the Application by W. K. Davis and Charles L. Buchanan, requesting the issuance of industrial development revenue bonds in the principal amount of SI,700,000 for the purpose of financing, on behalf of Millcreek, a general partnership, two buildings to be used as a multi-industrial park to be located at 708 West Mill Street in the City of San Bernardino, was adopted by the Mayor and Common Council ACTION ON INDUSTRIAL DEVELOPMENT BONDS BY THE MAYOR AND COMMON COUNCIL The following Resolution of Intent approving the application for the issuance of Industrial Development Bond Financing, and setting a Public Hearing for August 18, 1980, was adopted by the Mayor and Common Council. r L RESOLUTION NO. 80-129 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO FINDING THAT AN APPLICATION FOR INDUSTRIAL DEVELOPMENT BOND FINANCING HAS BEEN SUBMITTED PURSUANT TO THE PROVISIONS OF ORDINANCE NO. 3815 OF THE CITY BY COMMERCE DEVELOPMENT ASSOCIATES A CALIFORNIA GENERAL PARTNERSHIP; FINDING THAT SAID APPLICA TlON COMPLIES WITH THE PROVISIONS AND REQUIRE- MENTS OF SAID ORDINANCE NO. 3815; APPROVING SAID APPLCA TION AND THE PROJECT TO WHICH IT REFERS; FIXING A TIME AND PLACE FOR THE HOLDING OF A HEARING THEREON; ORDERING THE PUBLICATION OF A NOTICE OF HEARING IN THE FORM AND MANNER PROVIDED BY SAID ORDINANCE NO. 3815; AND MAKING CERTAIN OTHER FINDINGS AND DETERMINATIONS IN CONNECTION THEREWITH. The following Resolution of Intent approving the application for the issuance of Industrial Development Bond Financing, and setting a Public Hearing for August 18, 1980, was adopted by the Mayor and Common Council. [ RESOLUTION NO. 80-130 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO FINDING THAT AN APPLICATION FOR INDUSTRIAL DEVELOPMENT BOND FINANCING HAS BEEN SUB- MITTED PURSUANT TO THE PROVISIONS OF ORDINANCE NO. 3815 OF THE CITY BY INLAND OFFICE ASSOCIATES, A PROPOSED CALIFORNIA PARTNERSHIP; FINDING THAT SAID APPLICATION COMPLIES WITH THE PROVISIONS AND REQUIREMENTS OF SAID ORDINANCE NO. 3815; APPROVING SAID APPLICATION AND THE PROJECT TO WHICH IT REFERS; FIXING A TIME AND PLACE FOR THE HOLDING OF A HEARING THEREON; ORDERING THE PUBLI- CA TlON OF A NOTICE OF HEARING IN THE FORM AND MANNER PROVIDED BY SAID ORDINANCE NO. 3815; AND MAKING CERTAIN OTHER FINDINGS AND DETERMINATIONS IN CONNECTION THEREWITH. "if IlJj PL- r 4893 The following Resolution of Intent approving the application for the issuance of Industrial Development Bond Financing, and setting a Public Hearing for April 21, 1980, was adopted by the Mayor and Common Council. RESOLUTION NO. 80-131 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO FINDING THAT AN APPLICATION FOR INDUSTRIAL DEVELOPMENT BOND FINANCING HAS BEEN SUBMITTED PURSUANT TO THE PROVISIONS OF ORDINANCE NO. 3815 OF THE CITY BY MILL STREET BUSINESS PARK, A GENERAL PARTNERSHIP; FINDING THAT SAID APPLICATION COMPLIES WITH THE PROVISIONS AND REQUIREMENTS OF SAID ORDINANCE NO. 3815; PRELIMINARILY APPROVING SAID APPLICA TION AND THE PROJECT TO WHICH IT REFERS; FIXING A TIME AND PLACE FOR THE HOLDING OF A HEARING THEREON; ORDERING THE PUBLICATION OF A NOTICE OF HEARING IN THE FORM AND MANNER PROVIDED BY SAID ORDINANCE NO. 3815; AND MAKING CERTAIN OTHER FINDINGS AND DETERMINATIONS IN CONNECTION THEREWITH. ., I -J A t the request of the Applicant, the application for preliminary approval for Industrial Development Bond Financing for Inland Industrial Center was Tabled. The following Resolution of Intent was adopted by the Mayor and Common Council. RESOLUTION NO. 80-132 ., Ii ..." A RESOLUTION DECLARING THE INTENT OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO, CALIFORNIA, TO ISSUE BONDS FOR THE PURPOSE OF THE PERMANENT FINANCING THROUGH LEGALLY A V AILABLE MEANS OF A CERTAIN COMMERCIAL PROJECT IN STATE COLLEGE PROJECT NO. 4.(CAMPUS CRUSADE FOR CHRIST) A Motion was made by Hudson and seconded by Hobbs that the following resolution be adopted approving the amended Property Owner's Participation Agreement between the Agency and Warner W. and Sharon D. Hodgdon. RESOLUTION NO. 4043 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AMENDING THE PROPERTY OWNERS' PARTICIPATION AGREEMENT WITH WARNER W. HODGDON AND SHARON D. HODGDON, FOR A RESIDENTIAL, COMMERCIAL AND RECREATIONAL DEVELOPMENT WITHIN THE STATE COLLEGE PROJECT AREA. Resolution No. 4043 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. ~ I J [ r I \..... "..... L 4894 A Motion was made by Hudson and seconded by Castaneda that the following resolution be adopted approving the amended Public Golf Course Lease and Operating Agreement between the Agency and All America City Public Golf Inc. RESOLUTION NO. 4044 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AMENDING THE LEASE AND OPERA TING AGREEMENT WITH ALL AMERICA CITY PUBLIC GOLF, INC., FOR THE CONSTRUCTION AND OPERATION OF A PUBLIC GOLF COURSE WITHIN THE STATE COLLEGE PROJECT AREA. Resolution No. 4044 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. A Motion was made by Hudson and seconded by Castaneda that the following resolution be adopted providing for the sale of Mortgage Revenue Bonds. RESOLUTION NO. 4045 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE f(tJe,. 'f CITY OF SAN BERNARDINO, CALIFORNIA, PROVIDING FOR J~~ ~ (' 1/ S 7 THE SALE OF $2,500,000 PRINCIPAL AMOUNT OF GOLF Y-,) 1-8'D COURSE LEASE MORTGAGE REVENUE BONDS, ISSUE OF 1980. Resolution No. 4045 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. A Motion was made by Hudson and seconded by Castaneda that the following resolution be adopted authorizing the issuance of Golf Course Lease Mortgage Revenue Bonds. RESOLUTION NO. 4046 F) '. "{"f/ ;2~A D t/ oS 7 f'(&o'<o('_,,-~ "", ". . €j_ ,2..1- !? 0 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE ISSUANCE OF GOLF COURSE LEASE MORTGAGE REVENUE BONDS, ISSUE OF 1980. Resolution No. 4046 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. A Motion was made by Hudson and seconded by Castaneda that the following resolution be adopted declaring the intent to issue bonds for the completion of the projects within the Shandin Hills Area of the State College Project No.4. 4895 RESOLUTION NO. 4047 ~ i ...JJ A RESOLUTION DECLARING THE INTENT OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO TO ISSUE BONDS FOR THE PURPOSE OF FINANCING THROUGH LEG ALL Y A V AILABLE MEANS THE COMPLETION OF THE PROJECTS WITHIN THE SHANDIN HILLS AREA OF THE STATE COLLEGE PROJECT NO.4. Resolution No. 4047 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs, and Strickler. Noes: None. Absent: None. A Motion was made by Hudson, and seconded by Castaneda to adopt the following resolution authorizing a construction contract to provide electrical service to the State College Golf Course Maintenance Building. RESOLUTION NO. 4048 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT WITH SOUTHERN CALIFORNIA EDISON COMPANY FOR THE INSTALLATION OF ELECTRICAL SERVICE FOR THE STATE COLLEGE GOLF COURSE MAINTENANCE BUILDING, FOR THE SUM OF $1,464.67. Resolution No. 4048 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs, and Strickler. Noes: None. Absent: None. 1 .." CONSIDER THE CLAIM OF THE BERGHEER COMPANY AGAINST THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO. A Motion was made by Gerwig and seconded by Hudson to deny the Claim of the Bergheer Company for alleged damages in the amount of $12,900.00, relating to construction activities on Disposal Area Tract 10346, Southeast Industrial Park Redevelopment Project Area. Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. SET A JOINT PUBLIC HEARING TO CONSIDER CHANGES PROPOSED IN THE DOWNTOWN PARKING DISTRICT. A Motion was made by Gerwig and seconded by Hobbs to adopt the following resolution setting a Joint Public Hearing for 4:00 p.m., May 5, 1980, for the purpose of considering changes proposed in the City of San Bernardino Downtown Parking District and authorizing an exchange of land between the Redevelopment Agency and George and Hyman Shane, Central City North Redevelopment Project Area. --- I J 4896 r- I .... RESOLUTION NO. 4049 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, SETTING A JOINT PUBLIC HEARING WITH THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO FOR THE EXCHANGE OF LAND FOR THE DEVELOPMENT OF A BUILDING FOR THE SOCIAL SECURITY ADMINISTRATION ON LAND PRESENTLY LOCATED WITHIN THE PARKING DISTRICT, AND AUTHORIZING AN AMEND- MENT TO THE PARKING DISTRICT LEASE AGREEMENT TO EFFECTUA TE SAID EXCHANGE. Resolution No. 4049 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: Hernandez. A Motion was made by Wheeler and seconded by Hudson to adopt the following resolution. r , ...., RESOLUTION NO. 4050 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA CONCURRING IN THE MAYOR AND COMMON COUNCIL'S RESOLUTION NO. 80-138, DECLARING ITS INTENTION TO REMOVE PARKING PLACES FROM THE CENTRAL CITY PARKING DISTRICT IN THE CITY OF SAN BERNARDINO. Resolution No. 4050 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson, Hobbs, Hernandez and Strickler. Noes: None. Absent: None. RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF A PARKING AGREEMENT WITH H.FRANK DOMINGUEZ, DBA, V ANIR RESEARCH COMPANY RELATING TO THE LEASING OF 85 PARKING SPACES BY THE AGENCY AT THE SOUTHWEST CORNER OF THE FOURTH LEVEL OF THE FIVE LEVEL PARKING STRUCTURE LOCATED AT THE NORTHEAST CORNER OF SECOND AND "E" S TREE TS. Mayor/Chairman Holcomb opened the Joint Public Hearing relating to the maintenance of 85 parking spaces at the southwest corner of the fourth level of the five-level parking structure. Wm. A. Flory, Agency Counsel, stated that he did not concur in the amendments as presented by Ralph H. Prince, City Attorney, and requested continuance of the matter until the next Board Meeting. ,.... t l- A Motion was made by Hudson and seconded by Hobbs that the Joint Public Hearing be continued to the meeting of April 21, 1980, at 4:00 p.m., in the Council Chambers, City Hall, 300 North "D" Street, San Bernardino, California. The Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. il.lJ I .... 4897 JOINT PUBLIC HEARING - LEASE AND MAINTENANCE OF PARKING SPACES - SANTA FE FEDERAL SAVINGS AND LOAN ASSOCIATION. -, ~ I ",."J Mayor/Chairman opened the Joint Public Hearing relating to the assignment and allocation of 125 parking spaces to Santa Fe Federal Savings and Loan Association, located in the five-level parking structure. A resolution was adopted by the City of San Bernardino authorizing the execution of a parking agreement with Santa Fe Federal Savings and Loan Association relating to the assignment and allocation of 120 parking spaces on the fourth level of the five-level parking structure. No action was taken by the Redevelopment Agency Board. CONTRACT OF SALE WITH INLAND EMPIRE MEAT COMPANY (KANEY FOODS), SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA. A Motion was made by Hudson and seconded by Castaneda that the following resolution be adopted rescinding the Agency Contract of Sale with Inland Empire Meat Company (Kaney Foods) and retaining the $500.00 deposit thereon as liquidated damages. RESOLUTION NO. 4051 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, RESCINDING THE CONTRACT OF SALE BETWEEN THE AGENCY AND INLAND EMPIRE MEAT COMPANY FOR THE SALE OF .34 ACRES OF AGENCY OWNED REAL PROPERTY LOCATED SOUTH OF COOLEY A VENUE AND WEST OF TIPPECANOE, SOUTHEAST INDUSTRIAL PARK PROJECT AREA. ....., j I ...." Resolution No. 4051 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. REQUEST OF BRIAN J. SIMPSON AND ROBERT L. LANGSTON - CLAIMED OVERPAYMENT OF IN-LIEU TAXES. Mr. Shadwell informed the Board that Mr. Simpson and Mr. Langston had reconsidered their request for a refund of $1,668.52 because of claimed overpayment of inlieu taxes regarding their development on the north side of 5th Street between Sierra Way and Mountain View Avenue, Central City East Redevelopment Project Area, and had verbally agreed to pay the amount due and requested the matter be Tabled. A Motion was made by Hudson, seconded by Wheeler and unanimously carried that the matter be Tabled. ] 4898 r '- CONTRACT OF SALE BETWEEN THE AGENCY AND HUNTLEY PROPERTIES RELATIVE TO THE SALE OF 4 ACRES OF REAL PROPERTY LOCATED AT THE SOUTHWEST CORNER OF COOLEY AND SUNNYSIDE AVENUES, SOUTHEAST INDUSTRIAL P ARK REDEVELOPMENT PROJECT AREA. Attorney John C. Nolan spoke on behalf of Huntley Properties and proceeded to indentify certain unresolved matters between the Redevelopment Agency and Huntley Properties. Mr. Nolan proposed the following solutions to these matters, stating that he believed that these proposals were best for all parties concerned. 1. The proposal of the purchase of the 4 acre parcel as outlined in their letter dated February 29, 1980 as follows: a. Huntley Properties will immediately close its escrow with the Redevelopment Agency on the terms and conditions and at the price specified in the original escrow. [ b. Huntley Properties will give Kaney Foods an immediate deadline to complete its financing arrangements and commence construction. In the event Kaney Foods is unable to proceed immediately, Huntley Properties nevertheless, will commence construction of an approved facility for an alternate user, of at least 50,000 square feet and will complete construction of such facility within twelve months from the date of February 29, 1980, which facility when completed will have a fair market value of at least $1,000,000. ' c. If Kaney Foods is not able to start its development immediately, the Agency will sell and Huntley Properties will purchase that portion of the property adjacent to the above parcel on the same terms and conditions as set forth in its escrow with the Kaneys. d. Huntley Properties agrees that the development will be treated as if it had been completed and placed on the County tax rolls effective July 1, 1980 with a fair market value of $1,000,000 and Huntley Properties will agree to pay to the Redevelopment Agency an in lieu tax equivalent to the property taxes that would have been paid had the development been completed prior to the March 1980 assessment date, which in lieu taxes will be paid to the Agency in the same manner as regular property taxes. 2. The Agency would agree to recognize Huntley's claims in the amount of $25,198.13 paid for utili ties pursuant to the terms of the above referenced Disposition Agreements. 3. Huntley Properties would deed or grant an easement to the Agency or to Santa Fe Railway for the referenced railroad spur. ",.. f t '-- 4899 Chairman Holcomb reiterated his statement at an earlier meeting of the Redevelopment Agency Board and in effect he felt the proposal from Huntley ....... Properties was a gift of public funds and that in his opinion the contract should be dedared null and void. I ....J After discussion, it was the general consensus of the Board that Chairman Holcomb should continue his discussions with Mr. Huntley in an effort to try and work out the problem in the best interest of all concerned. A Motion was made by Hernandez, seconded by Wheeler and unanimously carried, that Chairman Holcomb meet with Mr. Huntley prior to the next Board meeting and that the matter be continued to the meeting of April 21, 1980. AGREEMENT WITH OPERATION SECOND CHANCE GRANTING AN EXCLUSIVE RIGHT TO NEGOTIATE FOR AGENCY OWNED REAL PROPERTY LOCATED ON THE SOUTH SIDE OF HIGHLAND AVENUE BETWEEN WESTERN AVENUE AND MUSCOTT STREET. A Motion was made by Wheeler and seconded by Hernandez to authorize the Chairman and Secretary to execute an Exdusive Right to Negotiate with Operation Second Chance for the purchase and development of Agency property, Parcel Numbers 143-01248 through 143-012-54; 143-012-62 through 143-012-66; and a portion of Parcel Number 143-012-67. RESOLUTION NO. 4052 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO AN AGREEMENT WITH OPERATION SECOND CHANCE FOR EXCLUSIVE RIGHT TO NEGOTIA TE WITH THE AGENCY FOR THE DEVELOPMENT OF AGENCY OWNED REAL PROPERTY. ~ ! f .....J Resolution No. 4052 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. IN-LIEU PAYMENT BY REMIC INDUSTRIES (PARCEL 112) FOR INTEREST AND TAX PAYMENT, SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA A Motion was made by Wheeler and seconded by Castaneda to authorize new escrow dosing and start of construction dates in consideration of payment of in- lieu interest and tax payments of $9,540.05, relative to the purchase of Agency real property by Remic Industries, (Parcel 112). RESOLUTION NO. 4053 RESOLUTION OF THE REDEVELOPMENT AGENCY OF TE CITY OF SAN BERNARDINO, CALIFORNIA AMENDING THA T CERTAIN CONTRACT FOR SALE WITH REMIC INDUSTRIES, INC; APPROVING AN EXTENSION OF TIME FOR THE CLOSE OF ESCROW AND THE START OF CONSTRUCTION; AND PROVIDING FOR THE ACCEPTANCE OF IN-LIEU INTEREST AND TAX PAYMENTS THEREFOR, SEIP. ,..... i j 4900 r ... Resolution No. 4053 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. NEW ESCROW CLOSING DATE FOR THE SALE OF AGENCY REAL PROPERTY TO DON HASKELL IN CONSIDERATION OF PAYMENT OF IN-LIEU INTEREST AND TAX PAYMENTS, CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. A Motion was made by Wheeler and seconded by Castaneda to authorize new escrow closing date and construction starting date in consideration of payment of in-lieu interest and tax payments of $5,996.19, relative to the purchase of Agency real property by Don Haskell, Attorney at Law. RESOLUTION NO. 4054 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AMENDING THE DISPOSITION AND JOINT DEVELOPMENT AGREEMENT WITH DON A HASKELL; APPROVING AN EXTENSION OF TIME TO CLOSE ESCROW; AND PROVIDING FOR THE ACCEPTANCE OF IN-LIEU INTEREST AND TAX PAYMENTS, CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. r ~ Resolution No. 4054 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. AMENDMENT TO THE CONTRACT OF SALE BETWEEN THE AGENCY AND LIONEL HELLER (GIBSON BROTHERS JANITORIAL SERVICE) EXTENDING THE START OF CONSTRUCTION DATE IN CONSIDERATION OF PAYMENT OF AN IN-LIEU PAYMENT, SEIP. A Motion was made by Wheeler and seconded by Castaneda to authorize an amendment to the Lionel Heller (Gibson Brothers Janitorial Service) Contract of Sale in consideration of receipt of an in-lieu payment of $2,800.00. RESOLUTION NO. 4055 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AMENDING THA T CERTAIN CONTRACT OF SALE WITH GIBSON BROS. JANITORIAL SERVICES, INC.; AND EXTENDING THE START OF THE CONSTRUCTION DATE IN CONSIDERATION OF AN IN-LIEU PAYMENT THEREFOR, SOUTHEAST INDUSTRIAL PARK PROJECT AREA. Resolution No. 4055 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. r-" 1\ I L- 4901 SALE OF AGENCY OWNED PROPERTY LOCATED WITHIN THE CENTRAL CITY WEST REDEVELOPMENT PROJECT AREA A Motion was made by Wheeler and seconded by Castaneda to adopt a resolution setting a Joint Public Hearing for 4:00 p.m., May 5, 1980, with the Mayor and Common Council of the City of San Bernardino for the sale of Parcels 5 and 6 of Parcel Map No. 3546 to the City of San Bernardino, for the development of a City Library, and authorize publication of the legal advertisement. i J ~ RESOLUTION NO. 4056 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, SETTING A JOINT PUBLIC HEARING WITH THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO FOR THE SALE OF PARCELS 5 AND 6 OF PARCEL MAP NO. 3546, CENTRAL CITY WEST REDEVELOPMENT PROJECT AREA. Resolution No. 4056 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. REDEVELOPMENT AGENCY WORK-SHOP DINNER MEETINGS A Motion was made by Hobbs, seconded by Wheeler and unanimously carried, that the Board revert back to the work-shop dinner meetings, as it had done before, to discuss Redevelopment Agency business. Mr. Shadwell informed the Board that the Agency was no longer in a position to pay for the dinner meetings as it had done in the past. ., ! .... Mr. Hobbs stated that, in view of the concern relating to the interest rates and matters pertaining to the bond issues, he felt the Board needed more information before making decisions and that it would be to their advantage to schedule once a month work-shop dinner meetings with the Agency staff to discuss these issues. A discussion followed, at which time it was verified by both the Agency Counsel and the City Attorney that the work-shop dinner meetings would be subject to the provisions of the Ralph M. Brown Act, and as such, they must conform to groups of less than four Board members if it was planned to schedule closed meetings. No definite conclusion was reached as to when the first work-shop dinner meeting would be held. The meeting was adjourned at 5:00 p.m., to the next Regular Meeting of April 21, 1980, at 2:00 p.m., in the Council Chambers, 300 North "D" Street, San Bernardino, California. ~ I ....J 4902 [ MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA HELD APRIL 21, 1980. The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:15 p.m., Monday, April 21, 1980, by Chairman W. R. Holcomb in the Council Chambers, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman, W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs, Robert A. Castaneda, Ralph Hernandez and Jack Strickler. Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executi ve Secretary, Margaret Hoover. APPROVE MINUTES A Motion was made by Strickler, seconded by Hernandez and unanimously carried, that the Minutes of the Redevelopment Agency Board Meeting of April 7, 1980, be approved as submitted. [ PUBLIC HEARINGS ON INDUSTRIAL DEVELOPMENT REVENUE BOND APPLICATIONS. At 2:00 p.m., Mayor/Chairman W. R. Holcomb opened the Public Hearings for the consideration of the Common Council of the City of San Bernardino on the following Industrial Development Revenue Bond Applications. RESOLUTION NO. 80-151 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO APPROVING AN APPLICATION FOR THE ISSUANCE OF INDUSTRIAL DEVELOPMENT REVENUE BONDS OF THE CITY AND THE PROJECT REFERRED TO THEREIN; FINDING THAT THERE WAS NO EVIDENCE PRESENTED AT A PUBLIC HEARING HELD ON SAID APPLICATION IN OPPOSITION TO SAID APPLICATION OR SAID PROJECT; DIRECTING THE PREPARATION OF A PROJECT AGREEMENT, RESOLUTION OF ISSUANCE AND OTHER LEGAL DOCUMENTS AS MAYBE NECES- SARY TO CARRY OUT SAID PROJECT AND PROVIDE FOR THE ISSUANCE OF INDUSTRIAL DEVELOPMENT REVENUE BONDS THEREFOR; AND MAKING CERTAIN OTHER FINDINGS AND DETERMINA TIONS IN CONNECTION THEREWITH. [ Resolution No. 80-151, approving the Application by VTN Consolidated and Eastern Pacific Financial Group, requesting the issuance of Industrial Development Revenue Bonds in the principal amount of $7,120,000 for the purpose of financing multi-tenant industrial buildings to be located in the Southeast Industrial Park Project Area of the Redevelopment Agency of the City of San Bernardino, was adopted by the Mayor and Common Council. I . LlH .. 4903 At the request of the Applicant, the Public Hearing for approval of the Application for Mill Street Business Park in support of the industrial development to be located between Mill, "I" and "J" Streets, San Bernardino, California, was continued to May 19, 1980. ., ~ t; J ...J CONSIDER APPROVAL OF VARIOUS RESOLUTIONS RELATIVE TO THE ISSUANCE OF GOLF COURSE LEASE MORTGAGE REVENUE BONDS, STATE COLLEGE REDEVELOPMENT PROJECT AREA. Executive Director, Ralph Shadwell, explained the resolutions relative to the Golf Course Lease Mortgage Bonds together with the Preliminary Official Statement which had been brought up to date. A Motion was made by Gerwig, seconded by Hudson and unanimously carried, to adopt the following resolutions relative to the Golf Course Lease Mortgage Bonds. RESOLUTION NO. 4057 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, RESCINDING CERTAIN RESOLUTIONS PERTAINING TO THE GOLF COURSE LEASE MOR TGAGE REVENUE BONDS, ISSUE OF 1980. (4045 and 4056) RESOLUTION NO. 4058 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA AUTHORIZING THE ISSUANCE OF $2,500,000 GOLF COURSE LEASE MORTGAGE REVENUE BONDS, ISSUE OF 1980. a/I't", (", ,il~ .1-/7 c'v ~ .. RESOLUTION NO. 4059 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA PROVIDING FOR THE SALE OF $2,500,000 PRINCIPAL AMOUNT OF GOLF COURSE LEASE MORTGAGE REVENUE BONDS, ISSUE OF 1980. Mr. Hobbs inquired as to the status of the City-wide Residential Mortgage Revenue Bonds. Mr. Shadwell informed the Board that documents pertaining to this issue were being prepared by Mr. James Warren Beebe's office and would be brought to the Board at the meeting of May 5, 1980. CONTRACT OF SALE BETWEEN THE AGENCY AND HUNTLEY PROPERTIES RELATIVE TO 4 ACRES OF REAL PROPERTY LOCATED AT THE SOUTHWEST CORNER OF COOLEY AND SUNNYSIDE AVENUES, SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA. (Continued Item). -- ...., ~- [ [ [ 4904 Chairman Holcomb stated that he had met with representatives of Huntley Properties on Friday afternoon of April 18th in an effort to try and work out the problem of the unresolved matters between the Redevelopment Agency and Huntley Properties. Attorney John C. Nolan appeared on behalf of Huntley Properties, stating that he had reviewed the proposal made by Mr. Holcomb with Mr. Huntley and they interpreted the request to mean that all the demands of the Redevelopment Agency be met without any concessions being made by the Agency and with Huntley paying for all the concessions, and further, that they did not agree with the proposal as submitted by Chairman Holcomb. Chairman Holcomb stated emphatically that he wished to correct these misstatements that Huntley would be the only one making the concessions. He said that under his proposal, the Agency would be making a major concession, probably in the excess of $100,000.00, and all he was asking of Mr. Huntley was that (I) he agree to pay the $20,000 that he had originally agreed to pay for the rail spur to the property that he purchased from the Agency, (2) that the rail line be turned over to Santa Fe Railway so that they can operate to Mr. Hodgdon's property, that Mr. Huntley deed the rail road to Santa Fe as he had originally agreed and, (3) that he pay interest from the time that escrow should have closed on the property and that he pay in-lieu taxes from the time the building would have been built. Chairman Holcomb stated that in his opinion, time of the performance was long passed for Huntley Properties and that in view of this he did not think he was asking for Huntley to make any major concessions. Mr. Nolan presented correspondence relating to the issue dated April 17, 1979, February 29, 1980 and March 14, 1980, to substantiate the legality of the claim by Huntley Properties. Mr. Nolan stated that in the best interest of all concerned, to resolve these matters in total, he was submitting the following proposals on behalf of Huntley Properties to resolve each of the following matters: 1. The proposal of the purchase of the 4 acre parcel as outlined in his letter of February 29, 1980 is hereby renewed. 2. The Agency would agree to recognize Huntley's claims in the amount of $25,198.13 paid for utilities pursuant to the terms of the Disposition Agreements. 3. Huntley Properties would deed or grant an easement to the Agency or to Santa Fe Railway for the rail spur. Mr. Nolan stated that he felt the demand that Huntley Properties pay sewer connection fees was inappropriate inasmuch as there is existing authority through the Minutes of the Water Board of March 21, 1978, indicating they have waived their service acquisition charges, including specifically for the Kaney Foods property. Chairman Holcomb stated that Mr. Paul Mordy of the City Attorney's office and Agency Counsel, Wm. A. Flory had ruled that the claims for reimbursement of these permits and connection fees were not proper and that the Agency has no responsibility or liability. 4905 Chairman Holcomb ~tated that the Redevelopment Agency Board did not set the policy of the Water Board and if they wanted to waive the fees that was up to them. However, if the fee waiver was found to be highly improper he felt that the Water Department or the City Attorney should be instructed to file suit to recover those fees as an illegal gift of public funds. 1 ..,.,l Mr. Hobbs stated that he resented the discussion at hand and that inasmuch as members of the Board had not been briefed on this information prior to this meeting, he would suggest that the matter be continued and schedule a seminar before bringing it back to the Board. Mr. Shadwell answered questions of the Board, stating that he did not think this was a valid claim regarding the sewer connection fees and briefed the Board on matters pertaining to the installation of the sewer lines to the property. Mr. Strickler stated that he felt it would not be appropriate for the Board to make a decission regarding this matter until a copy of Chairman Holcomb's written recommendations have been reviewed. A Motion was made by Strickler, seconded by Hernandez and unanimously carried, that the unresolved matters regarding Huntley Properties be continued until the Board meeting of May 5, 1980. JOINT PUBLIC HEARING TO CONSIDER THE LEASING OF 85 PARKING SPACES AT THE SOUTHWEST CORNER OF THE FOURTH LEVEL OF THE FIVE-LEVEL PARKING STRUCTURE. J Mayor/Chairman Holcomb opened the Joint Public Hearing , stating that this matter had been continued from the previous Board meeting. Mr. Castaneda questioned the recommendation to table the matter. Mr. Shadwell stated that the recommendation to table was due to the memorandum dated April 16, 1980, from the City Attorney and that this item was related to Item No. 31 on the City's Agenda. City Attorney, Ralph H. Prince, stated that it was his recommendation to table the matter concerning the proposed parking agreement with the Redevelopment Agency pending negotiations concerning provisions for charges relating to maintenance, utilities and security, and direct the revision of the proposed parking agreement with Santa Fe Federal Savings & Loan Association concerning provisions for charges relating to maintenance, utilities and security. A lengthy discussion followed, after which, Mr. Gerwig suggested a continuance of the matter until further negotiations with all parties concerning provisions for charges relating to maintenance, utilities and security, could be worked out. A Motion was made by Strickler, seconded by Hudson and unanimously carried, that the matter be continued to the Meeting of May 5, 1980. o 4906 [ CONTRACT FOR INSTALLATION OF WATER SERVICE TO SERVE THE PROPOSED DEVELOPMENT ON THE WEST SIDE OF LITTLE MOUNTAIN DRIVE BETWEEN MARSHALL BOULEVARD AND 33RD STREET, STATE COLLEGE REDEVELOPMENT PROJECT AREA. A Motion was made by Strickler, and seconded by Hudson to adopt a resolution authorizing a contract for the installation of water main extensions to serve Little Mountain Drive, between Marshall Boulevard and 33rd Street, for an amount not to exceed $11,287.36. RESOLUTION NO. 4060 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT WITH THE CITY OF SAN BERNARDINO WATER DEP AR TMENT FOR WATER MAIN EXTENSIONS TO SERVE LITTLE MOUNTAIN DRIVE, BETWEEN MARSHALL BOULEVARD AND 33RD STREET, STATE COLLEGE REDEVELOPMENT PROJECT AREA. Resolution No. 4060 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. r L SECOND AMENDMENT TO THE SECURITY GUARD AGREEMENT WITH THE CITY OF SAN BERNARDINO. A Motion was made by Gerwig and seconded by Castaneda to adopt a resolution authorizing the Chairman and Secretary to execute Second Amendment to the Security Agreement with the City of San Bernardino. RESOLUTION NO. 4061 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE CHAIRMAN AND SECRETARY TO EXECUTE SECOND AMEND- MENT TO SECURITY AGREEMENT WITH THE CITY OF SAN BERNARDINO. Resolution No. 4061 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. ACTION ON INDUSTRIAL DEVELOPMENT BONDS BY THE MAYOR AND COMMON COUNCIL. [ The following Resolution of Intent approving the application for the issuance of Industrial Development Bond Financing and setting a Public Hearing for May 5, 1980, was adopted by the Mayor and Common Council. 4907 RESOLUTION NO. 80-153 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO FINDING THAT AN APPLICATION FOR INDUSTRIAL DEVELOPMENT BOND FINANCING HAS BEEN SUBMITTED PURSUANT TO THE PROVISIONS OF ORDINANCE NO. 3815 OF THE CITY BY HERE'S LIFE PUBLISHERS, INC., A CALIFORNIA CORPORATION; FINDING THAT SAID APPLICATION COMPLIES WITH THE PROVISIONS AND REQUIREMENTS OF SAID ORDINANCE NO. 3815; PRELIMINARILY APPROVING SAID APPLICA TlON AND THE PROJECT TO WHICH IT REFERS; FIXING A TIME AND PLACE FOR THE HOLDING OF A HEARING THEREON: ORDERING THE PUBLICATION OF A NOTICE OF HEARING IN THE FORM AND MANNER PROVIDED BY SAID ORDINANCE NO. 3815; AND MAKING CERTAIN OTHER FINDINGS AND DETERMINATIONS IN CONNECTION THEREWITH. 1 .....;I EXECUTIVE SESSION FOR THE PURPOSE OF DISCUSSING PENDING LITlGA TlON. The Chairman stated that due to the late hour and the scheduled Council Agenda he would like to defer the foregoing item until after the dinner hour and suggested the Board reconvene at 7:30 p.m., for an Executive Session to discuss pending litigation matters. Agency Counsel, Wm. A. Flory, stated that the matters to be brought before the J Board in Executive Session were not of an urgency measure and could be continued .. .... to the next Board Meeting. A Motion was made by Wheeler and seconded by Strickler to continue the Executive Session to the meeting of May 5, 1980. The Motion carried by the following vote, to wit: Ayes: Wheeler, Hernandez, Gerwig, Hudson and Strickler. Noes: None. Absent: Castaneda and Hobbs. The meeting was adjourned at 5:15 p.m., to the next Regular Meeting of May 5, 1980, at 2:00 p.m., in the Council Chambers, City Hall, 300 North "D" Street, San Bernardino, California. J il.~ 4908 ri U MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, HELD MAY 5, 1980. The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:00 p.m., Monday, May 5, 1980, by Chairman W. R. Holcomb in the Council Chambers, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman, W. R. Holcomb, Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs, Robert A. Castaneda, Ralph Hernandez and Jack Strickler. Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary,Margaret Hoover. Absent: Vice Chairman, Edward S. Wheeler, Jr. [ JOINT PUBLIC HEARING WITH THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO - MAKING CHANGES IN THE CITY OF SAN BERNARDINO DOWNTOWN PARKING DISTRICT AND AUTHORIZING THE EXCHANGE OF PROPERTY BETWEEN THE AGENCY AND GEORGE AND HYMAN SHANE, CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. At 4:00 p.m., Mayor/Chairman Holcomb opened the Joint Public Hearing for the consideration of exchange of Redevelopment Agency owned real property located within the Central City North Project Area for property owned by Shane Realty located within the Central City North Expansion Survey Area for the development of a building for the Social Security Administration. This exchange would necessitate an amendment to the Parking District Lease Agreement between the Agency and the Parking District to eliminate Parcels 134-131-06 and 15 from the Parking District and substituting alternative parcels of land to be purchased from the proceeds derived from the eventual sale of Parcels 140-291-10 and 11. Larry Eisenhart, representing C. G. Engineering, gave a summary of the Engineering Report relative to the substitute parking in Central City Parking District, Lot No.1, in connection with the property exchange for the proposed Social Security Building at 455 West 4th Street. Eisenhart stated that the objective of his report was to express an independent opinion related to the proposed removal of parking in the Central City Parking District of the City of San Bernardino in order to accomodate construction of a new Social Security Office building. He further stated that, in his opinion, the substitute parking paid for by the City, and developed at a future date by the Agency, would be equitable to all parties concerned. ",.... i I ! l..- J.>lI!IIIifrn 4909 Construction of the Social Security Building and the possibility of future parking lot construction would result in a net loss of 14 parking spaces within Lot No. 1. However, it is the opinion of C. G. Engineering that the present number of available parking spaces is adequate for the present demand and will not at this time have a more than slight effect upon the availability of parking spaces within Lot No. 1. He recommended, however, that acquisition and construction of approximately 20 spaces north of the Social Security Building site be undertaken prior to or concurrently with the building construction. -, " I ...J Mr. Frank Dominguez spoke in opposition to the proposed site, stating that it was very poor planning and would have an adverse effect on his adjoining property as well as jeopardize the future development of the entire block. Chairman Holcomb concurred with these statements by Mr. Dominguez, stating that he felt the Central Business District should have been redesigned and consideration given to property located on "F" Street, for-trle location of the Social Security Building, which would in turn, start a movement for the development of Central City South. He stated that, for the record, he would feel more comfortable if the site had been evaluated by a professional Planner. Mr. Don Morrison, representing property owners on 7th Street, spoke in favor of expediting the decision for the exchange of property, as postponing the issue would only put a burden on the property owners. Mr. Gerwig declared this to be one of the most important and vital developments that has been done for the City and urged the Board to accept the exchange of property and the proposed site for the relocation of the Social Security Building. , ..". Mr. Strickler stated that, to his knowledge, no other property was available that would meet the criteria for housing the Social Security Administration in San Bernardino, therefore the reason for the selection of this property. Mr. Sam Catalano, speaking on behalf of the Central City Merchants Association, gave their support for the development of the Social Security Administration in the downtown area. Mr. Shadwell introduced Mr. Urban Schreiner and Mr. Timothy Sabo, representing James Warren Beebe, A Law Corporation of Los Angeles. Mr. Schreiner, speaking on the matter before the Board, stated that they had not reviewed the Engineer's Report but that they were satisfied that the procedures carried out in the Joint Public Hearing met the legal requirements necessary for such hearings. A Motion was made by Gerwig and seconded by Hudson, to accept and file the report of C. G. Engineering. Motion carried by the following vote, to wit: Ayes: Castaneda, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: Wheeler and Hernandez. A Motion was made by Gerwig and seconded by Hudson, that the Joint Public Hearing be closed. Motion carried by the following vote, to wit: Ayes: Castaneda, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: Wheeler and Hernandez. l ~ 4910 [ Mr. Frank Dominguez stated his objection to closing the public hearing and, that he felt he should have an opportunity to review the Engineer's Report. He stated his concern in the matter and that he had been informed by his Attorney that he would be contributing to an adverse situation if he sold a portion of his property to provide parking spaces for the Social Security building. Mr. Hernandez returned to the Board Meeting. A Motion was made by Gerwig and seconded by Hobbs to reopen the public hearing. Motion carried by the following vote, to wit: Ayes: Castaneda, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: Wheeler. 5:05 p.m. - Vice Chairman, Edward F. Wheeler, Jr., enters the meeting and takes his place with the Board. Chairman Holcomb stated that he felt the matter should be continued for 2 weeks in order that Mr. Dominguez could review the report and Mr. Hernandez could review that portion of the meeting he had missed and in order that Mr. Wheeler could be apprised of matters thus far in the meeting. Mr. Gerwig requested a ruling from the City Attorney if it was necessary for the absent members to be briefed on the matter, and if so, he would request that the prior testimonies in the hearing be restated. [ City Attorney, Ralph H. Prince, stated that the arguments were irrelevant and he felt the only matter of importance in evidence was the Exhibit, which was the Engineer's Report and the only testimony made was from Mr. Dominguez. Mr. Prince requested a five minute recess in order that the Attorneys could confer in the matter. At 5:10 p.m., a Motion was made by Hudson, seconded by Hobbs and unanimously carried, to adjourn for a 5 minute recess of the hearing. Mr. Ralph Prince, City Attorney, Mr. Wm. A. Flory, Agency Counsel and Mr. Urban Schreiner, Special Counsel, retired to the Conference Room. The meeting reconvened in the Council Chambers at 5:15 p.m. Mayor/Chairman Holcomb called the meeting to order and announced the Joint Public Hearing opened. Roll Call was taken with the following being present: Chairman W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs, Robert A. Castaneda, Ralph Hernandez and Jack Strickler. Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. c A Motion was made by Hernandez and seconded by Wheeler to continue the Public Hearing until 7:30 p.m. in order that the evidence presented regarding the Social Security building could be reviewed. 4911 Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson and Strickler. Noes: Hobbs. Absent: None. 1 ..J A Motion was made by Castaneda and seconded by Wheeler to approve the Minutes of the Meeting of April 21, 1980. Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hudson Hobbs and Strickler. Noes: None. Absent: Hernandez and Gerwig. CONTINUED FROM PREVIOUS MEETING - 90-DA Y EXCLUSIVE OPTION IN FAVOR OF V ANIR RESEARCH COMPANY TO DECLARE THE NAME OF A HOTEL OPERA TOR FOR THE PROPOSED CITY OF SAN BERNARDINO DOWNTOWN HOTEL, CENTRAL CITY REDEVELOPMENT PROJECT AREA. Mr. Frank Dominguez, representing Vanir Research Company, introduced Mr. Tom De Paolo and announced the name of the operator for the proposed downtown hotel as Ramada Inns. After discussion, a Motion was made by Hobbs and seconded by Gerwig to accept the Ramada Inns as a hotel operator and a participant with Vanir Research Company in the hotel development. Motion carried by the following vote to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: Hernandez. Chairman Holcomb stated there were numerous items to be settled, including formal action from the Board of Directors of Ramada Inns giving final approval for the hotel and reaffirmation of Crocker National Bank's letter of financial commitment to the project. He further stated there could be no contingencies when applying for a UDAG grant which was necessary for financing the development of the parking spaces to serve the proposed hotel and office building complex. Mr. Dominguez stated that the Disposition Agreement would more or less set the time schedule as to how to proceed from that time forward and requested a period of 90 days within which to get his proposal in writing to the Board and negotiate a Disposition Agreement. ] Chairman Holcomb stated that he felt 30 days was long enough to grant Mr. Dominguez exclusive right to have before the Board in writing the specific items that he had previously requested from the City and the Agency and a letter reaffirming the financial commitment from Crocker National Bank in order that a Disposition Agreement could be drawn up. Mr. Strickler suggested setting a time period of 90 days or less. A Motion was made by Hobbs and seconded by Castaneda to give Mr. Dominguez a 90 day option in which to have before the Board in writing a proposal to include the specific items that Mr. Dominguez is requesting from the City and the Agency in order that negotiations could be held to develop a Disposition and Development Agreement, together with a reaffirming letter of commitment from a financial institution which would meet UDAG specifications in order that the City could proceed with a Federal grant if needed to finance the proposed development. J 4912 r ..... Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: Hernandez. 6:15 p.m. A Motion was made by Hobbs, seconded by Wheeler and unanimously carried, to recess the meeting to 7:30 p.m. 7:30 p.m. RECONVENE MEETING Chairman Holcomb called the Redevelopment Agency Board to order in the Council Chambers, City Hall, 300 North "D" Street, San Bernardino, California. Roll Call was taken with the following being present: Chairman, W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Ralph Hernandez, Richard F. Gerwig, John D. Hobbs, Jack Strickler and Lionel Hudson. R. E. Shadwell, Jr., Wm. A. Flory and Margaret Hoover. Absent: Robert A. Castaneda and Lionel E. Hudson. CONTINUED JOINT PUBLIC HEARING MAKING CHANGES IN THE DOWNTOWN PARKING DISTRICT AND AUTHORIZING THE EXCHANGE OF PROPERTY. [ Mayor/Chairman Holcomb announced the Joint Public Hearing for the exchange of land for the Social Security Administration within the Parking District as continued from the earlier session of the meeting prior to the dinner hour. The Chairman inquired if Mr. Wheeler and Mr. Hernandez had reviewed the evidence as presented during their absence. Mr. Hernandez stated that he was satisfied with his review of the proceedings. Mr. Wheeler stated that he had reviewed only portions of the tapes provided during the dinner hour. A Motion was made by Gerwig and seconded by Hernandez that the matter be continued until Mr. Wheeler had an opportunity to review the recording of the public hearing proceedings. Motion carried by the following vote, to wit: Ayes: Wheeler, Hernandez, Gerwig, Hobbs and Strickler. Noes: None. Absent: Castaneda and Hudson. Mr. Hudson enters the meeting and takes his place with the Board. AMENDMENTS TO THE GOLF COURSE LEASE AND OPERATING AGREEMENT, THE BOND ISSUANCE RESOLUTION AND THE ADOPTION OF NEW RESOLUTIONS AWARDING THE BID AND THE TRUSTEE AGREEMENT. The following resolutions were presented by the Executive Director: RESOLUTION NO. 4063 [ RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO SELLING REVENUE BONDS OF SAID AGENCY AND AUTHORIZING THE PAYMENT OF THE COSTS OF ISSUANCE. 4913 RESOLUTION NO. 4064 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AMENDING A CERTAIN RESOLUTION OF ISSUANCE IN CONNECTION WITH THE ISSUANCE OF THE GOLF COURSE LEASE MORTGAGE REVENUE BONDS, ISSUE OF 1980. RESOLUTION NO. 4065 l ..... RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO APPROVING AN AGREEMENT FOR FISCAL SER VICES. RESOLUTION NO. 4066 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO APPROVING THE PRELIMINARY OFFICIAL STATEMENT AND AUTHORIZING THE CONVERSION OF SAME TO THE FINAL OFFICIAL STATEMENT FOR THE ISSUANCE OF ITS GOLF COURSE LEASE MOR TGAGE REVENUE BONDS, ISSUE OF 1980. RESOLUTION NO. 4067 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AMENDING A CERTAIN GOLF COURSE LEASE AGREEMENT. ,., .q ...J Resolution Nos. 4063, 4064, 4065, 4066 and 4067 were adopted by the following vote, to wit: Ayes: Wheeler, Hernandez, Gerwig Hudson, Hobbs and Strickler. Noes: None. Absent: Castaneda. AMENDMENT TO THE EMPLOYMENT LETTER DATED OCTOBER 5, 1977, WITH JAMES WARREN BEEBE, A LAW CORPORATION. Mr. Tim Sabo, representing Mr. James Warren Beebe, answered questions of the Board. A Motion was made by Strickler and seconded by Wheeler that the following resolution be adopted. RESOLUTION NO. 4068 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, AMENDING EMPLOYMENT LETTER DATED OCTOBER 5, 1977 WITH JAMES WARREN BEEBE, A LAW CORPORATION, TO INCLUDE BOND COUNSEL SERVICES IN CONNECTION WITH THE ISSUANCE OF GOLF COURSE LEASE MORTGAGE REVENUE BONDS, ISSUE OF 1980. Resolution No. 4068 was adopted by the following vote, to wit: Ayes: Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: Castaneda. J 4914 r '- A Motion was made by Hernandez, seconded by Wheeler and unanimously carried, that Legal Counsel be instructed to include anti-windfall language in the individual agreements for Mortgage Revenue Bonds. TERMINA TION OF THE AGENCY -ELKS BUILDING ASSOCIATION AGREEMENT TO PURCHASE 2.7 ACRES OF LAND ADJACENT TO THE STATE COLLEGE PUBLIC GOLF COURSE. A Motion was made by Strickler and seconded by Wheeler to adopt the resolution to rescind the Agreement dated April 30, 1978, between the Agency and the San Bernardino Elks Building Association and authorize the return of their cash deposit of $17,200.00. Mr. Warner Hodgdon presented a letter dated May 5, 1980,outlining the changes in the overall concept of the Shandin Hills Plan of Development, a copy of which is attached hereto and made a part of these minutes. Mr. Hodgdon stated the elimination of the Elks Building Association from the project would have no adverse effect on the Golf Course and in the long run would work for the benefit of the City. Mr. Hodgdon pledged his support and said he would continue to keep the Board informed of the overall progress of the Shandin Hills Project. [ RESOLUTION NO. 4069 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, RESCINDING THE DISPOSITION AGREEMENT WITH SAN BERNARDINO ELKS BUILDING ASSOCIATION FOR APPROXIMATELY 2.7 ACRES OF LAND FOR THE DEVELOPMENT OF A FACILITY TO PROVIDE FOOD AND BEVERAGE SERVICES FOR THE PROPOSED GOLF COURSE, STATE COLLEGE PROJECT AREA. Resolution No. 4069 was adopted by the following vote, to wit: Ayes: Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: Castaneda. JOINT PUBLIC HEARING - SALE OF PARCELS 5 AND 6 TO THE CITY OF SAN BERNARDINO FOR THE CONSTRUCTION OF A BRANCH CITY LIBRARY, CENTRAL CITY WEST REDEVELOPMENT PROJECT AREA. Mayor/Chairman Holcomb opened the Joint Public Hearing. A Motion was made by Hobbs, seconded by Gerwig and unanimously carried, that the hearing be closed. A Motion was made by Strickler and seconded by Gerwig, that the following resolution be adopted authorizing the sale of Parcels 5 and 6 to the City of San Bernardino for the sum of $38,080.00. "..... L RESOLUTION NO. 4070 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO APPROVING THE SALE OF AGENCY OWNED REAL PROPERTY TO THE CITY OF SAN BERNARDINO FOR THE CONSTRUCTION OF A BRANCH CITY LIBRARY, FOR THE SUM OF $38,080.00, CENTRAL CITY WEST REDEVELOPMENT PROJECT AREA. - 4915 Resolution No. 4070 was adopted by the following vote, to wit: Ayes: Gerwig, ..1..1.... Hudson, Hobbs and Strickler. Noes: None. Absent: Castaneda, Wheeler and . Hernandez. ....J CONTRACT OF SALE BETWEEN THE AGENCY AND HUNTLEY PROPERTIES RELATIVE TO THE SALE OF ABOUT 4 ACRES OF REAL PROPERTY LOCATED IN THE SOUTHEAST INDUSTRIAL P ARK REDEVELOPMENT PROJECT AREA. Mr. Shadwell stated that in view of the recent claim submitted by Huntley Properties, he would recommend that this matter be tabled. Chairman Holcomb said that he felt the claim should be settled before proceeding with negotiations regarding the unresolved matters between the Agency and Huntley Properties. Attorney John C. Nolan, representing Huntley Properties, suggested that it might be wise to have the matter come before a committee rather than the entire Board. Chairman Holcomb said that he felt the City Attorney and the Agency Counsel should be privy to aU the facts concerning the claim and if there was a committee formed to meet on this matter he would recommend the Attorneys be included. A Motion was made by Strickler and seconded by Hobbs, to deny the Claim of William L. Huntley and approve the committee consisting of Wheeler, Gerwig, Hudson and Holcomb, to meet with the Attorneys to discuss the claim. Motion carried by the following vote, to wit: Ayes: Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: Castaneda. Abstention: Hernandez. 1 .." AMENDMENT OF THE RDA-DEGROOT DISPOSITION AND JOINT DEVELOPMENT AGREEMENT. A Motion was made by Strickler and seconded by Hudson to adopt a resolution authorizing the execution of an amendment to the Disposition and Joint Development Agreement with Thedford o. De Groot and Jacqueline M. De Groot by extending the start of the construction date in consideration of an inlieu payment. RESOLUTION NO. 4073 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF AN AMENDMENT TO THAT CERTAIN DISPOSITION AND JOINT DEVELOPMENT AGREEMENT WITH THEDFORD O. DEGROOT AND JACQUELINE M. DEGROOT BY EXTENDING THE START OF THE CONSTRUCTION DATE IN CONSIDERATION OF AN IN-LIEU PAYMENT THEREFOR, SOUTHEAST INDUSTRIAL PARK PROJECT AREA. Resolution No. 4073 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. ] 4916 [ CHECKING ACCOUNT WITH THE BANK OF CALIFORNIA FOR THE GOLF COURSE LEASE MORTGAGE REVENUE BONDS, ISSUE OF 1980. A Motion was made by Strickler and seconded by Gerwig, to adopt a resolution of the Redevelopment Agency authorizing a checking account with the Bank of California relating to the Golf Course Lease Mortgage Revenue Bond Program in connection with the construction of the All American Public Golf Course Facility. RESOLUTION NO. 4074 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING A CHECKING ACCOUNT WITH THE BANK OF CALIFORNIA RELATING TO THE GOLF COURSE LEASE MORTGAGE REVENUE BOND PROGRAM. Resolution No. 4074 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: Hernandez. REQUEST OF MR. BUD AMMONS FOR A 90 DAY EXTENSION OF HIS RELOCATION NOTICE, TO MOVE FROM CITY PARKING DISTRICT CONTROLLED PROPERTY LOCATED AT THE NORTHWEST CORNER OF 4TH AND "E" STREET, CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. [ City Administrator, Marshall Julian, explained that the problem with granting the 90 day extension would be that at the end of the 90 days there still must be a relocation period and this would only prolong the situation. It was the recommendation of the City Administrator that the request for a 90 day extension not be granted. A discussion followed, after which, a Motion was made by Wheeler, seconded by Strickler and unanimously carried, that the matter be continued for 30 days with the provision that Mr. Ammons come in and explain his situation to the Board, and that no action be taken at this time. JOINT PUBLIC HEARING TO CONSIDER THE LEASING AND MAINTENANCE OF 85 PARKING SPACES AT THE SOUTHWEST CORNER OF THE FOURTH LEVEL OF THE FIVE-LEVEL PARKING STRUCTURE. \ Attorney David Stringer, representing Frank Domingez, requested that changes be made in the agreement to delete Section 4 pertaining to security guard patrol and to amend Section 3 and Section 5. The City Attorney and Agency Counsel stated that the suggested changes in the agreement were acceptable to them. ",... L A Motion was made by Castaneda, seconded by Wheeler and unanimously carried, that the hearing be closed and the agreements be amended by inter delineation as requested. 4917 A Motion was made by Castaneda and seconded by Wheeler that the following resolutions be adopted. RESOLUTION NO. 4071 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF A PARKING AGREEMENT WITH H. FRANK DOMINGUEZ, DBA V ANIR RESEARCH COMPANY RELATING TO THE LEASING OF 85 PARKING SP ACES BY THE AGENCY AT THE SOUTHWEST CORNER OF THE FOURTH LEVEL OF THE FIVE LEVEL PARKING STRUCTURE LOCA TED AT THE NORTHEAST CORNER OF SECOND AND "E" STREETS. l ...."J RESOLUTION NO. 4072 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF AN AGREEMENT WITH THE CITY OF SAN BERNARDINO AND H. FRANK DOMINGUEZ, DBA, V ANIR RESEARCH COMPANY RELA TlNG TO THE MAINTENANCE OF 85 PARKING SPACES A T THE SOUTHWEST CORNER OF THE FOURTH LEVEL OF THE FIVE LEVEL PARKING STRUCTURE. Resolution No. 4071 and No. 4072 were adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez and Hudson. Noes: Gerwig and Strickler. Absent: Hobbs. RECESS MEETING - JOINT EXECUTIVE SESSION J On Motion by Hernandez, seconded by Castaneda and unanimously carried, the Regular Meeting of the Mayor and Common Council and the Redevelopment Agency of the City of San Bernardino recessed for a Joint Executive Session for discussion of pending litigation. EXECUTIVE SESSION The Joint Executive Session of the Mayor and Common Council and the Redevelopment Agency was called to order by Mayor/Chairman Holcomb in the Conference Room of the Council Chambers of City Hall, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Robert A. Castaneda, Ralph Hernandez, Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs, Jack Strickler, Executive Director, R. E. Shadwell, Jr. Agency Counsel, Wm. A. Flory, Executive Secretary, Margaret Hoover, City Attorney, Ralph Prince, City Clerk, Shauna Clark, City Administrator, Marshall Julian, Senior Administrative Assistant, Tom Crawford, ... Director of Public Works, Glenn Wilson. I ADJOURN EXECUTIVE SESSION ..... 4918 [ The Joint Executive Session of the Mayor and Common Council and the Redevelopment Agency of the City of San Bernardino adjourned to the Regular Meeting in the Council Chambers of City Hall, 300 North "0" Street, San Bernardino, California. RECONVENE MEETING The Regular Meeting of the Redevelopment Agency of the City of San Bernardino reconvened in the Council Chambers of City Hall, 300 North "0" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman Holcomb, Vice Chairman, Wheeler, Castaneda, Hernandez, Gerwig, Hudson, Hobbs, Strickler Shadwell, Flory and Hoover. Absent: None. JOINT PUBLIC HEARING - SOCIAL SECURITY ADMINISTRATION EXCHANGE OF LAND- (Continued from earlier in the Meeting) Chairman Holcomb announced the Joint Public Hearing opened for the proceedings regarding the exchange of land for the Social Security Administration building, within the Parking District, on the north side of Fourth Street, west of "E" Street. [ Mr. Wheeler stated that he had listened to that portion of the tape relating to the Public Hearing regarding the exchange of land and that he had reviewed the exhibits pertinent thereto and that he felt he was acquainted with the evidence well enough to be knowledge of the matter. Mr. Hernandez indicated that he had listened to the entire tape of the meeting and that he too was knowledge of the matter. Mr. Glenn Wilson, Director of Public Works/City Engineer, offered testimony to the effect that he had reviewed the Engineering Report of C G Engineering regarding the substitute parking in Central City Parking District, Lot No.1. Mr. Wilson pointed out that the net loss of the 14 spaces referred to by C G Engineering who have given their opinion that the loss will have no more than a slight impact on the availability of parking in Lot No.1, and that the 20 replacement spaces should be located within 750 feet of the lot. Mr. Wilson explained that the 20 replacement spaces did not necessarily have to come from the Dominguez property, but may be located anywhere as long as they are within the reasonable distance specified by C G Engineering. A Motion was made by Gerwig, seconded by Strickler and unanimously carried, that the hearing be closed. [ A Motion was made by Gerwig and seconded by Hernandez to adopt the following resolution authorizing the exchange of RDA owned property for the development of a building to house the Social Security Administration. 4919 RESOLUTION NO. 4062 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE EXCHANGE OF RDA OWNED PARCELS NO. 134-131-06 AND 15, CENTRAL CITY NORTH PROJECT AREA, FOR PARCELS 140-291-10 AND 11, CENTRAL CITY NORTH EXPANSION SURVEY AREA, FOR THE DEVELOPMENT OF A BUILDING TO HOUSE THE SOCIAL SECURITY ADMINISTRA TION. ~ I I .....,j Resolution No. 4062 was adopted by the following vote to wit: Ayes: Castaneda, Gerwig, Hudson, Hobbs, Strickler, Wheeler and Hernandez. Noes: None. Absent: None. There being no further business to come before the Board, the meeting was adjourned at 9:00 p.m., to the next Regular Meeting of May 19, 1980, at 4:00 p.m., in the Council Chambers, City Hall, 300 North "D" Street, San Bernardino, California. ] ,..., j ....J ," WARNER W. HODGDON INDEPIENDIENr PINANCIAL CONSULTANr ,.... oova..NMaNTI . nJ'VArJ. .Nn......1S.. . INDUSTRY . AOa.lCUL2'U". 323 COURT STIlEET SAN BU.NAIlDINO. CALlPOI.NIA 92401 (714) &&5-44&4 ..... May 5. 1980 Mayor W. R. Holcomb and Members of the Common Council City Hall 300 North "D" Street San Bernardino, California 92401 RE: State College Project - San Bernardino Elks Building Association - All-America City Public Golf Course. Inc. - Participation Owners - Public and Private Improvements Dear Mayor and Common Council: ,.... I ....... At the regular meeting of the Redevelopment Agency held on March 17. 1980, we submitted data and documentation. which generally updated the above through March 17. 1980. You also previewed the overall Shandin Hills Plan of Development audio-visual review. -.... We appreciate your support of said project. which includes residential. commercial. and recreational elements as a part of the San Bernardino State College Redevelopment Project No.4. We also appreciate your cooperation in resolving the All-America City Public Golf Course cost increases. which have exceeded 100% of the original estimates. along with a method of delivering water to the 110-acre site that was both physically feasible with an energy conservation program that would work on a long-term basis. Your faith and confidence in our ability to complete this project has encouraged us to go forward in spite of our personal risk in the uncertainty of the national economy. Our belief and conviction remain that the overall Shandin Hills Plan of Development will be a major cornerstone and mutual benefit to the City and its west gateway. the State College. and the generation of west-side industrial employment and economic growth. Submitted herewith. under separate cover. is a book which incorporates the overall Shandin Hills Plan of Development that was previously reviewed within the audio-visual - , , WARNER W. HODGDON GROUP AFFILIATES ........ - ......... ...- iIIIIIIlII!!! ......" . . ",.... Mayor W. R. Holcomb and Members of the Common Council - 5/5/80 Page 2 ...... presentation of March 17. 1980. We will continue to keep you informed of the overall progress of the Shandin Hills project. as we know that by working together in a construc- tive and productive manner there is nothing that cannot be accomplished in our community. Respectfully yours. Cd/a~~~ ~t/f:q(~~ WARNER W. HODGDON ~ - -'l WWH:EM - ....... - """- WARNER W. HODGDON GROUP AFFILIATES ....... '...,...,~- ...... - ..... .......", 4920 r '-- MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA HELD MAY 19, 1980. The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:00 p.m., Monday, May 19, 1980, by Chairman W. R. Holcomb in the Council Chambers, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman, W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs, Robert A. Castaneda, Ralph Hernandez and Jack Strickler. Finance Director, Glenda Saul, Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. Absent: Executive Director, R. E. Shadwell, Jr. PUBLIC HEARINGS ON INDUSTRIAL DEVELOPMENT BOND APPLICA TIONS. At 2:00 p.m., public hearings were opened for the consideration of the Mayor and Common Council of the City of San Bernardino on the following Industrial Development Bond Applications. [ RESOL UTION NO. 80-197 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO APPROVING AN APPLICATION FOR THE ISSUANCE OF INDUSTRIAL DEVELOPMENT REVENUE BONDS OF THE CITY AND THE PROJECT REFERRED TO THEREIN; FINDING THAT THERE WAS NO EVIDENCE PRESENTED AT A PUBLIC HEARING HELD ON SAID APPLICATION IN OPPOSITION TO SAID APPLICATION OR SAID PROJECT; DIRECTING THE PREP ARA TION OF A PROJECT AGREEMENT, RESOLUTION OF ~SUANCEANDOTHERLEGALDOCUMENTSASMAYBE NECESSARY TO CARRY OUT SAID PROJECT AND PROVIDE FOR THE ISSUANCE OF INDUSTRIAL DEVELOPMENT REVENUE BONDS THEREFOR; AND MAKING CERTAIN OTHER FINDINGS AND DETERMINATIONS IN CONNECTION THEREWITH. Resolution No. 80-197, approving the Application by Tri-Cities Investment Company, requesting the issuance of Industrial Development Revenue Bonds in the principal amount of $4,520,000 for the purpose of financing a 44,282 SF Commercial MultiTenant Building and a 34,564 SF Office Building to be located on West Hospitality Lane in the City of San Bernardino, was adopted by the Mayor and Common Council. [ 4921 At the request of the Applicant, the public hearing for approval of the application for Mill Street Business Park in support of the industrial development to be located between Mill, "I" and "J" Streets, San Bernardino, California, was continued to June 16, 1980. DOCUMENTS AUTHORIZING THE ISSUANCE OF CITY-WIDE RESIDENTIAL MORTGAGE REVENUE BONDS. ] The City Clerk read the following resolutions for adoption by the Mayor and Common Council. RESOLUTION NO. 80-215 RESOLUTION OF THE CITY OF SAN BERNARDINO, CALIFORNIA, PROVIDING FOR CERTAIN TERMS IN CONNECTION WITH THE FINANCING OF RESIDENTIAL HOUSING. RESOLUTION NO. 80-216 RESOLUTION OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING CERTAIN DOCUMENTS TO BE USED IN CONNECTION WITH ITS MORTGAGE REVENUE BOND PROGRAM. A Motion was made by Castaneda and seconded by Wheeler to adopt the resolution authorizing the Belgate Limited Partnership to initiate procedures for placing a mortgage on property transferred from the Agency to the Developer. ~~~:~:eS~~n::swered questions of the Board regarding the Residential Mortgage ] James Warren Beebe answered questions regarding legislation which relates to the Industrial Development Bond Program. RESOLUTION NO. 4075 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING A CERTAIN DEVELOPER TO INITIATE PROCEDURES FOR THE PLACING OF A MORTGAGE ON PROPERTY TRANSFERRED FROM SAID AGENCY TO SAID DEVELOPER. Resolution No. 4075 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs, and Strickler. Noes: None. Absent: None. ACTION ON INDUSTRIAL DEVELOPMENT BONDS BY THE MAYOR AND COMMON COUNOL The following Resolution of Intent, approving the application for the issuance of Industrial Development Bond Financing and setting a Public Hearing for June 2, 1980, was adopted by the Mayor and Common Council. ] 4922 r L- RESOLUTION NO. 80-217 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO FINDING THAT AN APPLICATION FOR INDUSTRIAL DEVELOPMENT BOND FINANCING HAS BEEN SUBMITTED PURSUANT TO THE PROVISIONS OF ORDINANCE NO. 3815 OF THE CITY BY DANIEL JAY SALTER, A SINGLE MAN, DBA, D. SALTER AND COMPANY; FINDING THAT SAID APPLICA TlON COMPLIES WITH THE PROVISIONS AND REQUIRE- MENTS OF SAID ORDINANCE NO. 3815; PRELIMINARILY APPROVING SAID APPLICATION AND THE PROJECT TO WHICH IT REFERS; FIXING A TIME AND PLACE FOR THE HOLDING OF A NOTICE OF HEARING IN THE FORM AND MANNER PROVIDED BY SAID ORDINANCE NO. 3815; AND MAKING CERTAIN OTHER FINDINGS AND DETERMINATIONS IN CONNECTION THEREWITH. CONTRACT TO EADIE AND PAYNE FOR AUDIT SERVICES FOR FISCAL YEAR, JULY 1, 1979 TO JUNE 30, 1980. A Motion was made by Gerwig and seconded by Wheeler, to adopt a resolution authorizing the Agency to secure the services of a professional accounting firm for the examination of the financial statements for the year ended June 30, 1980. r I ~ Mr. Wheeler asked if the Agency ever went out for bids for the annual audit service. Mr. Flory explained that for professional services the Agency usually does not advertise for bids. Glenda Saul stated that for the past two years Eadie and Payne had performed the audit in accordance with generally accepted auditing standards and had done a fine job. Considering their offer submitted this year, which would include an additional 60 page audit report requested by the State, she felt their proposal was very reasonable. Mr. Hernandez stated that he would like to see that others be given an opportunity to submit proposals, especially minorities, who needed the jobs. RESOLUTION NO. 4076 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO AUDIT SERVICES CONTRACT WITH EADIE AND PAYNE, CERTIFIED PUBLIC ACCOUNTANTS FOR AN AMOUNT NOT TO EXCEED $15,000.00. Resolution No. 4076 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: Hernandez. Absent: None. [ 4923 SOURCE OF PAYMENT OF JUDGMENT FOR ATTORNEYS' FEES IN THE CASES OF WRIGHT VS. CITY OF SAN BERNARDINO, ET AL, AND PONCE VS. CITY OF SAN BERNARDINO, ET AL, (NOR THWEST PROJECT) -, ~I -J Agency Counsel, Wm. A. Flory, briefed the Board regarding the decision in the cases of Ponce vs. Redevelopment Agency et al, and Wright vs. City of San Bernardino et al, whereby the Court found that $5,000.00 for each Attorney was a reasonable fee for a total of $10,000.00, plus costs in the amount of $337.50. The only funds available from the Agency is the sum of $6,367.78 remaining from CD Northwest Funds, which can be allocated toward payment of the judgment. The remaining part of the judgment could be paid out of the City's General Fund. A Motion was made by Gerwig, seconded by Castaneda and unanimously carried, that the sum of $6,367.78 be paid by the Redevelopment Agency and the City pay the balance. The meeting was adjourned at 4:20 p.m. to 2:00 p.m., June 2, 1980, in the Council Chambers, City Hall, 300 North "0" Street, San Bernardino, California. AIIllII!I 'I a -..J ..., .li n .~ ....,j 4924 [ MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, HELD JUNE 2, 1980. The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:15 p.m., Monday, June 2, 1980, by Chairman W. R. Holcomb in the Council Chambers, City Hall, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman, W. R. Holcomb, Board Members, Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs, Robert A. Castalleda, Ralph Hernandez, Jack Strickler and Vice Chairman, Edward S. Wheeler, Jr., Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. APPROVE MINUTES A Motion was made by Hudson, seconded by Castaneda and unanimously carried, that the Minutes of the meetings of May 5 and May 19, 1980, be approved as submitted. "... L CHANGE ORDER - C M ENGINEERING ASSOCIATES CONTRACT FOR EXTRA WORK TO BE PERFORMED RELATIVE TO THE COMMERCIAL - RESIDENTIAL - RECREATIONAL DEVELOPMENT, STATE COLLEGE REDEVELOPMENT PROJECT AREA. A Motion was made by Wheeler and seconded by Hudson to adopt a resolution authorizing the Chairman and Secretary to enter into Contract Amendment No. 4 with C M Engineering Associates for extra work performed in the Public Golf Course, State College Project Number 4, for a sum not to exceed $1,000.00. RESOLUTION NO. 4077 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT AMENDMENT NO.4 WITH C. M ENGINEERING ASSOCIATES FOR EXTRA WORK PERFORMED IN THE PUBLIC GOLF COURSE, STATE COLLEGE PROJECT NUMBER 4. Resolution No. 4077 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson and Strickler. Noes: None. Absent: Hobbs. CHANGE ORDER - JESSE HUBBS AND SONS CONTRACT FOR EXTRA WORK TO BE PERFORMED RELATIVE TO THE COMMERCIAL - RESIDENTIAL - RECREATIONAL DEVELOPMENT, STATE COLLEGE REDEVELOPMENT PROJECT AREA. r""" ! I I l....t 4925 A Motion was made by Wheeler and seconded by Hudson to adopt a resolution l............. authorizing the Chairman and Secretary to enter into Change Order No. 1 with ... Jesse Hubbs and Sons for work performed in the Public Golf Course, State College Project Number 4, for a sum not to exceed $29,682.55. ....,j RESOLUTION NO. 4078 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CHANGE ORDER NO.1 WITH JESSE HUBBS & SONS FOR WORK PERFORMED IN THE PUBLIC GOLF COURSE, STATE COLLEGE PROJECT NUMBER 4. Resolution No. 4078 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. RESCIND THE DISPOSITION AND JOINT DEVELOPMENT AGREEMENT WITH DON A. HASKELL, CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. A Motion was made by Gerwig and seconded by Hudson to adopt a resolution rescinding the Disposition and Joint Development Agreement between the Agency and Don A. Haskell, or Nominee, for property located at 438-448 North Arrowhead Avenue, Central City North Redevelopment Project Area. Mr. Shadwell stated that Haskell had failed to deposit the required funds necessary for the closing of escrow which was originally scheduled for November 5, 1979. Subsequently, an amendment to the Disposition and Joint Development Agreement had been approved by the Board on March 17, 1980, granting an extension of time to close escrow. As of this date, Mr. Haskell had not signed the amendment and had not acknowledged communication from the Agency regarding this matter. Mr. Shadwell explained that Haskell had failed to meet the terms and conditions as set forth in the amended Disposition and Joint Development Agreement, therefore it was recommended that the agreement be rescinded and the good faith deposit in the amount of $7,260.00, posted with the Agency at the time Haskell submitted his offer, be retained as liquidated damages. -, j RESOLUTION NO. 4079 P,-., '.' J! f' '.; d (\ & 3 l.c ~ RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO RESCINDING THE DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND DON A. HASKELL, OR NOMINEE, FOR PROPERTY LOCATED AT 438-448 NORTH ARROWHEAD AVENUE, CENTRAL CITY NORTH REDEVELOP- MENT PROJECT AREA. Resolution No. 4079 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. ] 4926 ACTION BY MAYOR AND COMMON COUNCIL REGARDING APPLICA TION FOR THE ISSUANCE OF INDUSTRIAL DEVELOPMENT BOND FINANCING (lDB'S) r '- The following resolution, preliminarily approving the application by URO-MC, a General Partnership, for the issuance of Industrial Development Bond Financing and setting a Public Hearing for June 16, 1980, was adopted by the Mayor and Common Council. RESOLUTION NO. 80-223 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO FINDING THAT AN APPLICATION FOR INDUSTRIAL DEVELOPMENT BOND FINANCING HAS BEEN SUB- MITTED PURSUANT TO THE PROVISIONS OF ORDINANCE NO. 3815 OF THE CITY BY URO-MC, A GENERAL PARTNERSHIP;FINDING THA T SAID APPLICATION COMPLIES WITH THE PROVISIONS AND REQUIREMENTS OF SAID ORDINANCE NO. 3815; PRELIMINARILY APPROVING SAID APPLICATION AND THE PROJECT TO WHICH IT REFERS; FIXING A TIME AND PLACE FOR THE HOLDING OF A HEARING THEREON; ORDERING THE PUBLICATION OF A NOTICE OF HEARING IN THE FORM AND MANNER PROVIDED BY SAID ORDINANCE NO. 3815; AND MAKING CERTAIN OTHER FINDINGS AND DETERMINA TIONS IN CONNECTION THEREWITH. ACTIONS RELATIVE TO THE ISSUANCE OF CITY-WIDE RESIDENTIAL MORTGAGE REVENUE BONDS. [ A Motion was made by Castaneda and seconded by Hobbs to adopt a resolution of the Redevelopment Agency of the City of San Bernardino approving the placing of a mortgage on property transferred from the Agency to Belgate Limited. RESOLUTION NO. 4080 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO APPROVING THE PLACING OF A MORTGAGE ON PROPERTY TRANSFERRED FROM SAID AGENCY TO A CERTAIN DEVELOPER. Resolution No. 4080 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. "..-. ! "- Mr. Shadwell informed the Board that on this date Standard & Poors had given the City of San Bernardino an A- rating on the City-Wide Residential Mortgage Revenue Bonds and that Bonding Consultants, Miller and Schroeder feel that on today's Bond Market, the A- rating will get us just as far as a regular A rating would. Mr. James Warren Beebe has requested a special adjourned meeting for June 9, 1980 to have all the documents put together and approved for the successful conclusion of the Bond Issue. Mr. Shadwell explained that a nearby City is also awaiting a rating on a $100 million dollar bond issue which will be coming in very shortly and it would be more difficult for us to successfully conclude our issue if they beat us to the Market. For this reason, Mr. Beebe urged that a meeting be held as soon as possible. A Motion was made by Wheeler, seconded by Gerwig and unanimously carried to adjourn to a joint meeting of the Mayor and Common Council and the Redevelopment Agency Board at 2:00 p.m., June 9, 1980, to finalize all documents pertinent to the issuance of the Residential Mortgage Revenue Bonds. - 4927 ADJOURN TO AN EXECUTIVE SESSION At 4:25 p.m., the Redevelopment Agency Board adjourned to an Executive Session for the purpose of discussing legal matters. EXECUTIVE SESSION l ,..j The Executive Session was called to order by Chairman, W. R. Holcomb in the Conference Room of the Council Chambers of City Hall, 300 North "0" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Robert A. Castaneda, Ralph Hernandez, Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs, Jack Strickler, R. E. Shadwell, Wm. A. Flory, Ralph H. Prince and Margaret Hoover. ADJOURN EXECUTIVE SESSION At 4:40 p.m. the Executive Session of the Redevelopment Agency of the City of San Bernardino adjourned to the Regular Meeting in the Council Chambers of City Hall, 300 North "0" Street, San Bernardino, California. RECONVENE MEETING The Regular Meeting of the Redevelopment Agency of the City of San Bernardino reconvened in the Council Chambers of City Hall, 300 North "0" Street, San Bernardino, California. ROLL CALL --, , ...J Roll Call indicated the following were present: Chairman Holcomb, Vice Chairman, Wheeler, Castaneda, Hernandez, Gerwig, Hudson, Hobbs, Strickler, Shadwell, Flory and Hoover. Absent: None. A Motion was made by Wheeler, seconded by Hudson and unanimously carried, that the Executive Session for the purpose of discussing legal matters be continued to the meeting of July 9, 1980. The meeting was adjourned at 4:45 p.m. to the Adjourned Regular Meeting of June 9, 1980, at 2:00 p.m., in the Council Chambers, City Hall, 300 North "0" Street, San Bernardino, California. J 4928 [ MINUTES OF THE REGULAR ADJOURNED MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO CALIFORNIA HELD JUNE 9, 1980. The Joint Adjourned Regular Meeting of the Redevelopment Agency and the Mayor and Common Council of the City of San Bernardino was called to order at 2:00 p.m., Monday, June 9, 1980, by Vice Chairman, Edward S. Wheeler, Jr., in the Council Chambers, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Vice Chairman, Edward S. Wheeler, Jr., Richard F. Gerwig, John D. Hobbs, Robert A. Castaneda, Ralph Hernandez and Jack Strickler. Executive Director, R. E. Shadwell,' Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. Also present was Bond Counsel, James Warren Beebe and Jeffery Kinsell of Miller & Schroeder Municipals, Inc. Absent: Chairman, W. R. Holcomb and Lionel E. Hudson. APPROV AL OF VARIOUS DOCUMENTS AUTHORIZING THE ISSUANCE OF SINGLE F AMIL Y RESIDENTIAL MORTGAGE BONDS. r I j The following Ordinance was adopted as an urgency measure by the Mayor and Common Council. ... ORDINANCE NO. 3944 ORDINANCE OF THE CITY OF SAN BERNARDINO AMENDING ORDINANCE NO. 3853 RELATING TO THE FINANCING OF ADEQUA TE HOUSING FOR RESIDENTS OF THE CITY. . . AMENDING SUBSECTION E, F, AND K OF SECTION 5 AND SECTION 8 RELATING TO INTEREST RATES AND DISCOUNT. The following Ordinance was adopted as an urgency measure by the Mayor and Common Council. ORDINANCE NO. 3945 ORDINANCE OF THE CITY OF SAN BERNARDINO AMENDING ORDINANCE NO. 3815 RELATING TO THE FINANCING OF PROJECTS FOR THE ENCOURAGING OF INCREASED EMPLOY- MENT . . . AMENDING SUBSECTION e-l OF SECTION 2 RELATING TO THE DEFINITION OF "BONDS". The following Resolutions relating to the issuance of the Single Family Residential Mortgage Bonds were adopted by the Mayor and Common Council. ,.... I .... 4929 RESOLUTION NO. 80-237 RESOLUTION OF THE CITY OF SAN BERNARDINO APPOINTING A PROJECT COORDINA TOR TO ADMINISTER ITS REVENUE MORTGAGE BOND PROGRAM. .., j ...J RESOLUTION NO. 80-238 RESOLUTION OF THE CITY OF SAN BERNARDINO AUTHORIZING THE TRUSTEE IN CONNECTION WITH ITS MORTGAGE REVENUE BOND PROGRAM TO RECEIVE THE DEPOSIT OF CERTAIN FUNDS AS PAID TO THE PROJECT COORDINATOR BY THE PARTICIPATING PAR TIES. RESOLUTION NO. 80-239 RESOLUTION OF THE CITY OF SAN BERNARDINO APPROVING A CERTAIN DEVELOPMENT AGREEMENT WITH PARTICIPATING PAR TY (EDGEHILL/HODGDON). RESOLUTION NO. 80-240 RESOLUTION OF THE CITY OF SAN BERNARDINO APPROVING A CERTAIN DEVELOPMENT AGREEMENT WITH PARTICIPATING PARTY (HUNTER). RESOLUTION NO. 80-241 ] RESOLUTION OF THE CITY OF SAN BERNARDINO APPROVING A CERTAIN DEVELOPMENT AGREEMENT WITH PARTICIPATING PARTY (CUNNINGHAM). A Motion was made by Castaneda and seconded by Gerwig to adopt the following Resolution accepting the assignment as Project Coordinator in connection with the Revenue Mortgage Bond Program of the City of San Bernardino. RESOLUTION NO. 4081 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, ACCEPTING THE ASSIGN- MENT AS PROJECT COORDINATOR IN CONNECTION WITH THE REVENUE MORTGAGE BOND PROGRAM OF THE CITY OF SAN BERNARDINO, CALIFORNIA. Resolution No. 4081 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hobbs and Strickler. Noes: None. Absent: Hudson. EXECUTIVE SESSION A Motion was made by Gerwig, seconded by Hernandez and unanimously carried that the Executive Session for the purpose of discussing legal matters be continued J. ........ to the meeting of June 16, 1980. .. r .... r ! '-- [ 4930 ADJOURN MEETING A Motion was made by Gerwig, seconded by Hernandez and unanimously carried, that the meeting adjourn to the Regular Meeting of the Redevelopment Agency of tHe City of San Bernardino at 4:00 p. m., June 16, 1980, in the Council Chambers, City Hall, 300 North "0" Street, San Bernardino, California. The meeting was adjourned at 2:15 p. m. ,., i ....I -, , ...J ] 4931 [ MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, HELD JUNE 16, 1980. The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:15 p.m., Monday, June 16, 1980, by Chairman W. R. Holcomb in the Council Chambers, City Hall, 300 North "0" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman, W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Richard F. Gerwig, Lionel E. Hudson, Robert A. Castaneda, Ralph Hernandez, Jack Strickler, Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. Absent: John D. Hobbs. APPROVE MINUTES A Motion was made by Gerwig, seconded by Hernandez and unanimously carried, that the Minutes of the Board Meetings held on June 2 and June 9, 1980, be approved as submitted. [ PUBLIC HEARINGS ON INDUSTRIAL DEVELOPMENT BOND APPLICA TlONS. At 2:00 p.m., Public Hearings were opened for the consideration of the Mayor and Common Council of the City of San Bernardino on the following Industrial Development Bond Applications. RESOLUTION NO. 80-242 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO APPROVING AN APPLICATION FOR THE ISSUANCE OF INDUSTRIAL DEVELOPMENT REVENUE BONDS OF THE CITY AND THE PROJECT REFERRED TO THEREIN; FINDING THAT THERE WAS NO EVIDENCE PRESENTED AT A PUBLIC HEARING HELD ON SAID APPLICATION IN OPPOSITION TO SAID APPLICATION OR SAID PROJECT; DIRECTING THE PREPARATION OF A PROJECT AGREEMENT, RESOLUTION OF ISSUANCE AND OTHER LEGAL DOCUMENTS AS MAY BE NECESSARY TO CARRY OUT SAID PROJECT AND PROVIDE FOR THE ISSUANCE OF INDUSTRIAL DEVELOPMENT REVENUE BONDS THEREFOR; AND MAKING CERTAIN OTHER FINDINGS AND DETERMINATIONS IN CONNECTION THEREWITH. [ Resolution No. 80-242, approving the Application of URO-MC, a General Partnership, requesting the issuance of Industrial Development Revenue Bonds in the principal amount of $1,700,000 for the purpose of financing the development of three two-story free-standing buildings to be used for commercial business operations to be located on South "E" Street in the City of San Bernardino, was adopted by the Mayor and Common Council. 4932 Pursuant to the request of the Applicant, the Public Hearing for approval of the Application for Mill Street Business Park in support of the industrial development to be located between Mill, "I" and "J" Streets, San Bernardino, California, was continued to August 4, 1980. ] EXCLUSIVE RIGHT TO NEGOTIA TE - OPERA TION SECOND CHANCE Mr. Shadwell presented a letter from Wesley B. Jefferson, Chief of Operations for Operation Second Chance, Inc., in which he requested an extension of 180 days from June 16, 1980 to the Exclusive Right to Negotiate Agreement entered into on December 17, 1979. This request was due to the fact that the application for the EDA grant to construct a building on the premises has not been processed. A Motion was made by Hernandez and seconded by Gerwig to adopt a resolution extending the time period to December 15, 1980. Mr. Hudson raised the question as to how this would affect the proposed Community Hospital expansion. With the consent of the Second, Mr. Hernandez withdrew his motion. A discussion followed. A Motion was made by Hernandez and seconded by Gerwig that the Resolution authorizing the amendment to the Exclusive Right to Negotiate Agreement with Operation Second Chance extending the time from June 15, 1980 to December 15, 1980 for the development of Parcels 143-012-48 through 54, 143-012-62 through 66 and a portion of 143-012-67 be adopted; provided that this extension of time shall be subject to revocation by the Board of the Redevelopment Agency if this property is necessary for the proposed Community Hospital expansion. .., J RESOLUTION NO. 4082 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA AMENDING THE EXCLUSIVE RIGHT TO NEGOTIATE AGREEMENT WITH OPERATION SECOND CHANCE FOR THE DEVELOPMENT OF AGENCY OWNED REAL PROPERTY. Resolution No. 4082 was adopted by the following vote, to wit: Ayes: Castaneda, Hernandez, Gerwig, Hudson and Strickler. Noes: None. Absent: Wheeler and Hobbs. . V ARIOUS DOCUMENTS PROVIDING FOR THE FINALIZATION AND SALE OF THE CITY-WIDE RESIDENTIAL MORTGAGE REVENUE BOND ISSUE OF 1980. The following resolutions relating to the City-Wide Residential Mortgage Revenue Bond Issue of 1980 were adopted by the Mayor and Common Council. ] 4933 [ RESOLUTION NO. 80-244 RESOLUTION OF THE CITY OF SAN BERNARDINO AMENDING A CERTAIN GENERAL RESOLUTION. RESOLUTION NO. 80-245 RESOLUTION OF THE CITY OF SAN BERNARDINO AUTHORIZING THE ISSUANCE OF $41,625,000 SINGLE FAMILY RESIDENTIAL MORTGAGE REVENUE BONDS, 1980 SERIES A, FOR THE PURPOSE OF MAKING MORTGAGE LOANS TO FINANCE RESIDENTIAL HOUSING. RESOLUTION NO. 80-246 [ RESOLUTION OF THE CITY OF SAN BERNARDINO APPROVING AND AUTHORIZING THE EXECUTION OF THE MORTGAGE LOAN- PURCHASE AGREEMENT FOR THE PURPOSE OF MAKING MORTGAGE LOANS FOR FINANCING RESIDENTIAL HOUSING. RESOLUTION NO. 80-247 RESOLUTION OF THE CITY OF SAN BERNARDINO APPROVING AND AUTHORIZING THE EXECUTION OF THE MORTGAGE SERVICING AGREEMENT FOR THE PURPOSE OF SERVICING MOR TGAGE LOANS MADE FOR FINANCING RESIDENTIAL HOUSING. [ RESOLUTION NO. 80-248 RESOLUTION OF THE CITY OF SAN BERNARDINO APPROVING THE FORM OF THE SPECIAL HAZARD INSURANCE POLICY AND THE FORM OF THE PRIVATE MORTGAGE INSURANCE POLICY. RESOLUTION NO. 80-249 RESOLUTION OF THE CITY OF SAN BERNARDINO APPROVING A CERTAIN BOND PURCHASE AGREEMENT IN CONNECTION WITH THE ISSUANCE OF ITS SINGLE FAMILY RESIDENTIAL MOR TGAGE REVENUE BONDS, 1980 SERIES A. RESOLUTION NO. 80-250 RESOLUTION OF THE CITY OF SAN BERNARDINO APPROVING THE FINAL FORM OF THE PRELIMINARY OFFICIAL STATEMENT FOR THE ISSUANCE OF ITS SINGLE F AMIL Y RESIDENTIAL MORTGAGE REVENUE BONDS, 1980 SERIES A AND AUTHORIZING THE CONVERSION OF SAME TO THE FINAL OFFICIAL STATEMENT. RECONSIDER BOARD ACTION TAKEN AT THE MEETING OF JUNE 2, 1980, REGARDING THE SALE OF RDA OWNED PROPERTY LOCATED AT 438-448 NORTH ARROWHEAD AVENUE, CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. 4934 Mr. Shadwell presented correspondence from Don A. Haskell requesting that the offer to buy the property located at 438-448 North Arrowhead Avenue be reconsidered. l ...J Mr. Haskell has complied with the terms and conditions as set forth in the original agreement and is ready to proceed with the construction plans as originally scheduled. A Motion was made by Castaneda, seconded by Hudson and unanimously carried, to reconsider Board action taken at the June 2, 1980 meeting, rescinding the Disposition and Joint Development Agreement between the Agency and Don A. Haskell or Nominee. A Motion was made by Castaneda and seconded by Hudson to adopt a resolution rescinding Resolution No. 4079, adopted June 2, 1980. RESOLUTION NO. 4083 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA RESCINDING RESOLUTION NO. 4079, REGARDING THE SALE OF AGENCY OWNED PROPERTY LOCA TED AT 438-448 NORTH ARROWHEAD A VENUE, CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. Resolution No. 4083 was adopted by the following vote, to wit: Ayes: Castaneda, .., Wheeler, Gerwig, Hudson and Strickler. Noes: None. Absent: Hernandez and ~ H~. ~ ACTION ON INDUSTRIAL DEVELOPMENT BONDS BY THE MAYOR AND COMMON COUNCIL. The following Resolution of Intent, approving the application for the issuance of Industrial Development Bond Financing and setting a Public Hearing for July 7, 1980, was adopted by the Mayor and Common Council. (World Savings Plaza). RESOLUTION NO. 80-251 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO FINDING THAT AN APPLICATION FOR INDUSTRIAL DEVELOPMENT BOND FINANCING HAS BEEN SUBMITTED PURSUANT TO THE PROVISIONS OF ORDINANCE NO. 3815 OF THE CITY BY WORLD SAVINGS PLAZA, A LIMITED PAR TNERSHIP, FINDING THAT SAID APPLICATION COMPLIES WITH THE PROVISIONS AND REQUIREMENTS OF SAID ORDINANCE NO. 3815; PRELIMINARILY APPROVING SAID APPLICATION AND FIXING A TIME AND PLACE FOR THE HOLDING OF A HEARING THEREON; ORDERING THE PUBLICATION OF A NOTICE OF HEARING IN THE FORM AND MANNER PROVIDED BY SAID ORDINANCE NO. 3815; AND MAKING CERTAIN OTHER FINDINGS AND DETERMINA TIONS IN CONNECTION THEREWITH. .... 1 ..J [ [ [ 4935 RECESS MEETING - EXECUTIVE SESSION On Motion by Hernandez, seconded by Wheeler and unanimously carried, the Regular Meeting of the Redevelopment Agency of the City of San Bernardino recessed for an Executive Session for the purpose of discussing legal matters. EXECUTIVE SESSION The Executive Session of the Redevelopment Agency of the City of San Bernardino was called to order at 4:40 p.m., by Chairman W. R. Holcomb in the Conference Room of the Council Chambers of City Hall, 300 North "0" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Robert A. Castaneda, Ralph Hernandez, Richard F. Gerwig, Lionel E. Hudson, Jack Strickler, Executive director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory, Executive Secretary, Margaret Hoover, City Attorney, Ralph H. Prince and City Administrator, Marshall W. Julian. ADJOURN EXECUTIVE SESSION The Executive Session of the Redevelopment Agency of the City of San Bernardino adjourned to the Regular Meeting in the Council Chambers of City Hall, 300 North "0" Street, San Bernardino, California. RECONVENE REGULAR MEETING The Regular Meeting of the Redevelopment Agency reconvened at 4:55 p.m., June 16, 1980, in the Council Cham bers, 300 North "0" Street, San Bernardino, California. ROLL CALL Roll Call indicated the following present: Holcomb, Wheeler, Castaneda, Hernandez, Gerwig, Hudson, Strickler, Shadwell, Flory and Hoover. Absent: Hobbs. RELOCATION OF BUD AMMONS - NORTHEAST CORNER OF 4TH AND "E" STREETS. A Motion was made by Hernandez, seconded by Hudson and unanimously carried, to authorize and direct the Agency Counsel, Wm. A. Flory, to file an unlawful detainer action against Bud Ammons to recover the possession of the property located at 401 and 411 North "E" Street, and thereafter to enter into a stipulated judgment with Mr. Ammons to the effect that he will vacate the property within 90 days from June 16, 1980, and if he has not done so at the end of the 90 day period pursuant to the stipulation, his eviction from the premises will thereafter go into effect without further notice to him. If Mr. Ammons does not enter into the stipulation, Agency Counsel is directed to proceed forthwith in the prosecution of the law suit. 4936 ADJOURN MEETING A Motion was made by Strickler, seconded by Gerwig and unanimously' to adjourn the Redevelopment Agency Board Meeting to an Adjourned Regular Meeting to be held jointly with the Mayor and Common Council at 10:00 a.m., June 24, 1980, in the Council Chambers, City Hall, 300 North "0" Street, San Bernardino, California. The meeting was adjourned at 5:15 p.m. 1 ...." , ..... ....J .... R ~ :f 'WI1IIJ 4937 [ MINUTES OF THE ADJOURNED REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO CALIFORNIA HELD JUNE 24, 1980. The Adjourned Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 10:15 a.m., Tuesday, June 24, 1980, by Chairman W. R. Holcomb in the Council Chambers, 300 North "0" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman, W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs, Robert A. Castaneda, Ralph Hernandez, Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. Absent: Jack Strickler. DOCUMENTS PROVIDING FOR THE FINALIZATION AND SALE OF THE CITY-WIDE RESIDENTIAL MORTGAGE REVENUE BOND ISSUE OF 1980, SERIES A. [ Mr. Shadwell presented documents in connection with the $41,625,000 City of San Bernardino Single Family Residential Mortgage Revenue Bonds, 1980 Series A, for adoption by the Mayor and Common Council. Mr. James Warren Beebe and Mr. Tim Sabo explained the changes and substitute documents as presented, stating that the recent changes in the interest rates on U. S. Securities has caused some restructuring of the transaction in order that it will fit the requirements of the law. Mr. Jim Iverson, Miller and Schroeder Municipals, Inc., explained the changes required to complete the financing and the time pressure involved was due to the July 1, 1980 deadline to submit the final package combined with the volatile money market. The City Clerk read the following Resolutions, which were unanimously adopted by the Mayor and Common Council. [ RESOLUTION NO. 80-267 RESOLUTION OF THE CITY OF SAN BERNARDINO RESCINDING A CERTAIN RESOLUTION (80-135) RESOLUTION NO. 80-268 RESOLUTION OF THE CITY OF SAN BERNARDINO AMENDING A CERTAIN SERIES RESOLUTION IN CONNECTION WITH THE FINANCING OF RESIDENTIAL HOUSING. 4938 RESOLUTION NO. 80-269 ] RESOLUTION OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING CERTAIN BOND PURCHASE AGREEMENTS IN CONNECTION WITH THE ISSUANCE OF ITS SINGLE FAMILY RESIDENTIAL MORTGAGE REVENUE BONDS, 1980 SERIES A. RESOLUTION NO. 80-270 RESOLUTION OF THE CITY OF SAN BERNARDINO APPROVING A CERTAIN AMENDMENT TO THE MORTGAGE LOAN-PURCHASE AGREEMENT FOR THE PURPOSE OF MAKING MORTGAGE LOANS FOR FINANCING RESIDENTIAL HOUSING. RESOLUTION NO. 80-271 RESOLUTION OF THE CITY OF SAN BERNARDINO APPROVING OPERATING MEMORANDUM NO.1 TO A CERTAIN DEVELOPMENT AGREEMENT WITH A PARTICIPATING PARTY (EDGEHILL) RESOLUTION NO. 80-272 RESOLUTION OF THE CITY OF SAN BERNARDINO APPROVING OPERATING MEMORANDUM NO.1 TO A CERTAIN DEVELOPMENT AGREEMENT WITH A PARTICIPATING PARTY (HUNTER) RESOLUTION NO. 80-273 ..., ..., RESOLUTION OF THE CITY OF SAN BERNARDINO APPROVING OPERATING MEMORANDUM NO.1 TO A CERTAIN DEVELOPMENT AGREEMENT WITH A PARTICIPATING PARTY (CUNNINGHAM) RESOLUTION NO. 80-274 RESOLUTION OF THE CITY OF SAN BERNARDINO APPROVING OPERATING MEMORANDUM NO.1 TO A CERTAIN DISPOSITION AND JOINT DEVELOPMENT AGREEMENT WITH A PARTICIPATING PARTY (BELGA TE) RESOLUTION NO. 80-275 A RESOLUTION OF THE CITY OF SAN BERNARDINO AMENDING A CERTAIN GENERAL RESOLUTION. RESOLUTION NO. 80-276 RESOLUTION OF THE CITY OF SAN BERNARDINO APPROVING A CERTAIN AMENDMENT TO THE MORTGAGE SERVICING AGREEMENT FOR THE PURPOSE OF MAKING MORTGAGE LOANS FOR FINANCING RESIDENTIAL HOUSING. ..... i J 4939 [ RESOLUTION NO. 80-277 RESOLUTION OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE PRINTING OF THE FINAL OFFICIAL ST A TE- MENT FOR THE ISSUANCE OF ITS $41,280,000 SINGLE FAMILY RESIDENTIAL MORTGAGE REVENUE BONDS,1980 SERIES A FOR RDA BOARD ACTION A Motion was made by Wheeler and seconded by Castaneda that the following Resolution be adopted. RESOLUTION NO. 4084 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO APPROVING OPERA TING MEMORANDUM NO.1 TO A CERTAIN DISPOSITION AND JOINT DEVELOPMENT AGREEMENT WITH A PARTICIPATING PARTY (BELGATE). Resolution No. 4084 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson and Hobbs. Noes: None. Absent: Hernandez and Strickler. [ A Motion was made by Hudson, seconded by Hernandez and unanimously carried, that the meeting be adjourned to Monday, June 30, 1980 at 2:00 p.m., in the Council Chambers, City Hall, 300 North "D" Street, San Bernardino, California. The meeting was adjourned at 10:30 a.m. ,..... ~ H~T"U ...., f ...., .... i1 ..., ... if ~ ! ....., 4940 [ MINUTES OF THE ADJOURNED REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA HELD JUNE 30, 1980. The Adjourned Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 2:00 p.m., Monday, June 30, 1980, by Chairman W. R. Holcomb in the Council Chambers, City Hall, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman, W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., John D. Hobbs, Richard F. Gerwig, Lionel E. Hudson, Robert A. Castaneda, Ralph Hernandez, Jack Strickler, Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. APPROVE MINUTES A Motion was made by Strickler, seconded by Gerwig and unanimously carried to approve the Minutes of the Meetings held on June 16 and June 24, 1980. REDEVELOPMENT AGENCY ADMINISTRATIVE BUDGET FOR FISCAL YEAR 1980 - 1981. [ Executive Director, Ralph Shadwell, presented the proposed Administrative Budget for the Fiscal Year July 1, 1980 through June 30, 1981. Mr. Shadwell stated that basically the budget was the same as last year, with the exception of the increases due to inflation and the percentage for the cost of living increase, which would ultimately be based upon what the City increases would be to become effective July 1, 1980 for the FiscalYear 1980-81. A discussion followed with regard to the deletion of various positions in the Finance Department of the Redevelopment Agency and the feasibility of the City Finance Department assuming the accounting functions of the Redevelopment Agency. Mr. Gerwig stated that he would have no objection to approving the budget as it now stands with the stipulation that if the proposed study by the City Finance Director shows that it would be feasible for the City to assume the accounting functions of the Redevelopment Agency, then the budget would be modified to delete the accounting procedures from the Redevelopment Agency budget. Mr. Shadwell requested that in deference to personnel in the RDA Accounting Department, the study be accomplished as soon as possible. City Finance Director, David Root, stated that he felt a study could be completed by the end of the following week. [ 4941 A Motion was made by Gerwig, seconded by Wheeler and unanimously carried to adopt the following Resolution of the Redevelopment Agency of the City of San Bernardino approving the Administrative Budget for the Fiscal Year July 1, 1980 through June 30, 1981 as presented, with the exception of a cost of living increase, which percentage is to be determined at a later date, and subject to the possible results of the study to be conducted by the City Finance Director. RESOLUTION NO. 4085 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO ADOPTING ADMINISTRATIVE BUDGET FOR THE FISCAL YEAR JULY 1, 1980 THROUGH JUNE 30, 1981. (~.), c..(, "'____ '" I, c (' '-\\oL{ "1_ "i r'90 Resolution No. 4085 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. A Motion was made by Gerwig, seconded by Hudson and unanimously carried that the meeting adjourn to the regular meeting of July 7, 1980 at 4:00 p.m., in the Council Chambers, City Hall, 300 North "D" Street, San Bernardino, California. The meeting was adjourned at 2:45 p.m. . E. Shadwell, Jr., Executive Dir tor ] ~ J ] [ [ [ 4942 MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA HELD JUL Y 7, 1980. The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:30 p.m., July 7, 1980, by Vice Chairman, Edward S. Wheeler,Jr., in the Council Chambers, City Hall, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Vice Chairman, Edward S. Wheeler, Jr., John D. Hobbs, Richard F. Gerwig, Lionel E. Hudson, Robert A. Castaneda, Ralph Hernandez, Jack Strickler, Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. Absent: Chairman, W. R. Holcomb. APPROVE MINUTES A Motion was made by Gerwig, seconded by Hernandez and unanimously carried to approve the Minutes of the Meeting of June 30, 1980. AMENDMENT TO THE MINUTES OF JUNE 16, 1980 A Motion was made by Strickler, seconded by Hudson and unanimously carried, to amend the Minutes of June 16, 1980 as they pertain to Bud Ammons, to substitute the following language: "A Motion was made by Hernandez, seconded by Hudson and unanimously carried to authorize and direct the Agency Counsel, Wm. A. Flory, to file an unlawful detainer action against Bud Ammons to recover the possession of the property located at 401 and 411 North "E" Street, and thereafter to enter into a stipulated judgment with Mr. Ammons to the effect that he will vacate the property within 90 days from June 16, 1980, and if he has not done so at the end of the 90 day period pursuant to the stipulation, his eviction from the premises will thereafter go into effect without further notice to him. If Mr. Ammons does not enter into the stipulation, Agency Counsel is directed to proceed forthwith in the prosecution of the law suit." PUBLIC HEARINGS ON INDUSTRIAL DEVELOPMENT BOND APPLICA TlONS. At 2:00 p.m., the Public Hearings for the consideration of the Mayor and Common Council of the City of San Bernardino on the final approval for applications for Industrial Development Bond Financing was continued as follows: a. Inland Industrial Park Association - Continued to 3:00 p.m., September 8, 1980. b. Dan Salter &: Company - Continued to 3:00 p.m., August 4, 1980. c. Vanir Shopping Center - World Savings Plaza - Continued to 3:00 p.m., July 21, 1980. . \I! 4943 CHANGE ORDER 112 TO CONTRACT WITH JESSE HUBBS & SONS COMMERCIAL - RESIDENTIAL - RECREATIONAL DEVELOPMENT, STA TE COLLEGE REDEVELOPMENT PROJECT AREA. Mr. Shadwell explained that this would be extra work required for a slow drip system to the existing irrigation system and for the installation of a 30 inch casing for the sewer line under the AT &SF Rail way track for the All American Golf Course. This additional work performed would be paid for by Mr. Warner Hodgdon, however, at this time the letter signed by Mr. Hodgdon, approving the Change Order had not been received by the Agency. Mr.Shadwell presented a letter from Mr. Gene Vance, General Manager for Jesse Hubbs & Sons, stating that the estimate to furnish and install a slow drip irrigation system is extended only to July 9, 1980. A Motion was made by Strickler and seconded by Gerwig to approve the Change Order and adopt the following Resolution, subject to Mr. Hodgdon submitting a letter of approval before Jul y 9, 1980. RESOLUTION NO. 4086 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CHANGE ORDER NO.2 WITH JESSE HUBBS & SONS FOR WORK PERFORMED IN THE PUBLIC .0 . J GOLF COURSE, STATE COLLEGE PROJECT NUMBER 4. ^-e,');.."-~~,,,t VAt" iC...~ v 4-0q.s.. ~-I '(-'.PO Resolution No. 4086 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. REQUEST TO PREPARE THE NEWLY ACQUIRED PROPERTY LOCATED A T 7TH STREET AND ARROWHEAD FOR DEVELOPMENT, CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. Mr. Shadwell stated that the Agency acquired the property located on the Northeast corner of 7th and Arrowhead as a result of the exchange with Shane Realty relative to the location of the Social Security Building on 4th Street. He explained that this had previously been discussed for rezoning and that one parcel was zoned R-3 and one parcel was zoned C-4. Agency Staff had been advised that the property would sell more readily if cleared and zoned C-4. Net proceeds from the sale of the land would be credited to the Parking District and used for replacement parking. It was the recommendation of the Executive Director that the vacant house located on Parcel 140-291-10 of the property be demolished and a zone change be processed through the Planning Department from R-3 to C-4, and that a current appraisal of the property be obtained. Mr. Hernandez stated his objection to Commercial Zoning of the property. Mr. Castaneda stated that he had previously voted against rezoning the property and that he did not favor the C-4 zoning at this time. 1 .."" J, ) .. ] [ ~ 4944 A Motion was made by Strickler and seconded by Gerwig that Agency Staff be authorized to prepare Parcels 140-279-10 and 11 for sale and subsequent development, to include demolition of the vacant house, processing a Zone Change from R-3 to C-4, and to obtain an appraisal on the property. The Motion carried by the following vote, to wit: Ayes: Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: Castaneda and Hernandez. Absent: None. REQUEST OF V ANIR RESEARCH COMPANY RELATIVE TO AN ADJUSTMENT OF SALES PRICE FOR PROPERTY LOCATED AT 480/484 NORTH "E" STREET, CENTRAL CITY NORTH REDEVELOP- MENT PROJECT AREA. Mr. Shadwell briefed the Board on the purchase of Parcel 134-121-07 on March 21, 1975, in which the Redevelopment Agency received a deed indicating the dimensions of the property as 57.5 feet by 150 feet, more or less. The Redevelopment Agency sold the property to Vanir Research Company on March 20, 1980, using the same legal description indicating the same dimensions. Mr. James M. Hicks, Administrator for Vanir Research Company, explained that plans and specifications were in preparation and almost completed when it was learned that encroachments existed on both the north and south portions of the property.. To the north, the Penney Building encroaches 3/4". To the south, the Bible Supply Store encroaches 9~" and in one location an additional 8~". [ Mr. Hicks stated that this occurance was not the fault of Vanir nor the RDA but that it did present a problem in that they had completed preliminary plans for the development of the parcel and now before the structural engineer could prepare the necessary specifications for the building, this matter must be resolved. Mr. Hicks stated there were two alternatives insofar as Vanir is concerned as a solution to the problem. The Redevelopment Agency could have this encroachment removed, or reduce the amount of land sold to Vanir in an appropriate amount and refund the difference in the original sales price to include the additional cost which would be incurred in redrawing the plans. Mr. Shadwell stated that, in his opinion, it would be impractical to remove the encroachments and listed the following options: 1. 2. 3. "..... L 4. Purchase the property back from Vanir at the price paid and make it again available for sale. Deny the Vanir request and have them proceed with the development. Consider a refund to Vanir of $453.08, the difference in value resulting from the known dimensions. An extension to their start of construction date of June 20, 1980, because of their requirement to redraw plans. 4945 Mr. Hicks stated that Vanir was prepared to go back and revamp their plans but that it would necessitate some extra time, and that in effect, they were asking for an extension of time from 60 to 90 days within which to reconstruct their plans. A Motion was made by Castaneda and seconded by Wheeler to grant a 60 day extension of time to Vanir to reconstruct their plans. The Motion failed by the following vote, to wit: Ayes: Castaneda, Wheeler and Hernandez. Noes: Gerwig, Hudson and Strickler. Absent: Hobbs. Mr. Hobbs enters the meeting and takes his place with the Board. A Motion was made by Strickler and seconded by Hudson to grant Vanir an extension of 30 days from today within which to redraw their plans. Mr. Shadwell asked for clarification of the extension of time. Mr. Wheeler stated, 30 days from today, July 7, 1980, and asked Mr. Hicks if 30 days was sufficient time. Mr. Hicks replied that all he could say was that they would try. Mr. Hobbs stated that he thought 30 days was long enough, and if it was not, and they need more time, then they could come back to the Board and ask for more. The Motion was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: Hernandez. Absent: None. AMENDMENT TO THE GIBSON BROTHERS JANITORIAL SERVICE DISPOSITION AGREEMENT PROVIDING FOR ADDITIONAL TIME TO COMMENCE CONSTRUCTION, SOUTHEAST INDUSTRIAL P ARK REDEVELOPMENT PROJECT AREA. Mr. Lionel S. Hellyer spoke on behalf of Gibson Bros. Janitorial Service, requesting a delay in the start of construction on the property acquired from the Redevelopment Agency. Mr. Hellyer stated that construction would start approximately January 1, 1981, and be completed approximately June 1, 1981. He further agreed to make an additional in-lieu payment equal to the amount of tax which would have been levied on March 2, 1981, as an alternative to being declared in default on their agreement. Mr. Gerwig called to Mr. Hellyer's attention the fact that an Ordinance had been adopted by which, if a developer requested and was granted an extension of time for any development, they could not grandfather in on the prevailing fees at the time the request for an extension was granted. Mr. Helyer stated that he concurred and that this would be understood in his agreement. A Motion was made by Hobbs and seconded by Hudson to adopt the following resolution granting an extension of time to commence construction and accepting an additional in-lieu payment in the amount of $2,800.00 as an alternative to declaring the agreement in default due to the delay in the start of construction. ] J ] [ r L [ 4946 RESOLUTION NO. 4087 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AMENDING THAT CERTAIN CONTRACT FOR SALE WITH GIBSON BROTHERS JANITORIAL SERVICES, INC.; AND EXTENDING THE START OF THE CONSTRUCTION DATE IN CONSIDERATION OF AN IN-LIEU PAYMENT THEREFORE, SOUTH- EAST INDUSTRIAL PARK PROJECT AREA. Resolution No. 4087 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: Hernandez. Absent: None. AMENDMENT TO THE AGENCY/KING INDUSTRIAL PARK DISPOSITION AGREEMENT AS IT PERTAINS TO PROPERTY PURCHASED BY THE W. W. GRAINGER COMPANY. Chairman Holcomb enters the meeting and takes his place as Chairman of the Board. Mr. Shadwell explained the request of the W. W. Grainger Company to eliminate the $2,000 per acre penalty clause relative to the build-out requirements contained in the Disposition Agreement between the Agency and King Industrial Park. He introduced Mr. Gerald Sakura who had been working with the W. W. Grainger Company on this development. Mr. Sakura said that the W. W. Grainger Company had currently located their Southern California Division in San Bernardino and had need to expand their present facility, ultimately to approximately 40,000 square feet and which would employ approximately 48 people. The two sites under consideration located on the northwest corner of Tippecanoe and Cooley Avenues have a build-out requirement accompanied by a $2,000 per year annual penalty if the requirement is not met. Mr. Sakura stated that the W. W. Grainger Company had looked at sites in the cities of Colton and Redlands, but that they preferred the site located on the northwest corner of Tippecanoe and Cooley A venues. However, they would consider that parcel only if the penalty fee does not exist. They were asking that the penalty fee be removed in their case because they were not sure at this time that the required build-out schedul ecould be met. Mr. Sakura requested the Redevelopment Agency to eliminate the penalty fee for the W. W. Grainger Company only in the event they were successful in negotiations for the purchase of the parcels under consideration. A Motion was made by Hobbs and seconded by Hernandez to deny the request to eliminate the penalty fee of $2,000 per year relative to the build-out requirements pertinent to the Disposition Agreement between the agency and King Industrial Park. The Motion carried by the following vote, to wit: Ayes: Castaneda, Hernandez, Hudson, Hobbs and Strickler. Noes: None. Absent: Wheeler and Gerwig. "'!!r.- f .-J __ .J.. .111 -Al.:Jnl r 4947 REQUEST OF T &: S DEVELOPMENT, INC., TO EXTEND ESCROW CLOSING DATE AND START OF CONSTRUCTION DATE RELATIVE TO THE DEVELOPMENT OF THE SHOPPING CENTER TO BE LOCATED AT STATE COLLEGE PARKWAY AND KENDALL DRIVE, STA TE COLLEGE REDEVELOPMENT PROJECT AREA. Mr. Shadwell introduced Mr. Dan Evans and Mr. Keith Harwood of T &: S development and recommended approval of their request for extensions of both close of escrow and start of construction dates to permit T &: S to proceed as quickly as possible. Mr. Harwood explained the extenuating circumstances encountered in getting their shopping center development underway and asked for an extension of the close of escrow to November 10, 1980, and for an extension of time to start construction of possibly two years from the closing date of escrow. T &: S Development, Inc., is willing to make both interest and in-lieu payments to receive the extensions requested. A Motion was made by Strickler and seconded by Hudson to approve in principle the request of T &: S Development to extend their escrow closing date and start of construction date relative to the development of the Shopping Center to be located at State College Parkway and Kendall Drive, State College Redevelopment Project area. Motion carried by the following vote to wit: Ayes: Castaneda, Gerwig, Hudson, and Strickler. Noes: Hernandez. Absent: Wheeler and Hobbs. RESOLUTION NO. 4088 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, CHANGING THE TIME OF REGULAR MEETINGS OF THE REDEVELOPMENT AGENCY AND RESCINDING RESOLUTION NO. 3799. kQu-, "L '. \; 'r r'~....,,-, qo<;;~l 1 -;;:> \5.{ ,::,_, . Chairman Holcomb suggested changing the time of the Redevelopment Agency Meetings to 3:00 p.m. Mr. Gerwig stated that he would be in favor of this change providing it was only through the summer months and continuing through the first meeting in September. Mr. Hudson stated that he would second the Motion, but that he preferred to leave it as it is at 4:00 p.m. . Resolution No. 4088 was adopted by the following vote, to wit: Ayes: Castaneda, Hernandez, Gerwig, Hudson and Strickler. Noes: None. Absent: Wheeler and Hobbs. Mr. Shadwell informed the Board that it might be necessary to change the dates of the regular meetings in September due to the Labor Day Holiday. ] 1 .."" ] [ r I ~ r- I L 4948 A Motion was made by Gerwig and seconded by Hudson to set the meeting dates as September 8 and September 22, 1980. The Motion carried by the following vote, to wit: Ayes: Castaneda, Hernandez, Gerwig, Hudson and Strickler. Noes: None. Absent: Wheeler and Hobbs. The meeting was adjourned at 5:15 p.m., to the next regular meeting of July 21, 1980 at 3:00 p.m., in the Council Chambers, City Hall, 300 North "0" Street, San Bernardino, California. At 11 :30 p.m., the Redevelopment Agency Board reconvened for the purpose of reconsidering the change in the time of the regular meetings through the summer months. A Motion was made by Wheeler and seconded by Hobbs that the time of the regular meetings be set as originally scheduled at 4:00 p.m. The Motion carried by the following vote, to wit: Ayes: Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: Castaneda. The meeting was adjourned at 11 :35 p.m. .. -. - , , ~ u ~ ~ , -" ~ ., TI ~ -'" ] ,4949 [ MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, HELD JULY 21,1980. " , , The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:50 p.m., July 21, 1980, by Chairman W. R. Holcomb, in the Council Chambers, City Hall, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman, W. R. Holcomb, John D. Hobbs, Richard. F. Gerwig, Lionel E. Hudson, Robert A. Castaneda, Ralph Hernandez, Jack Strickler, Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. Absent: Vice Chairman, Edward S. Wheeler, Jr. APPROVE MINUTES A Motion was made by Gerwig, seconded by Strickler and unanimously carried, to approve the Minutes of July 7, 1980. [ RESOLUTION CHANGING THE MEETING TIME OF THE AGENCY BOARD. A Motion was made by Hudson and seconded by Castaneda to adopt the following Resolution changing the time of regular meetings of the Redevelopment Agency Board from 3:00 p. m. to 4:00 p. m. RESOLUTION NO. 4089 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, CHANGING THE TIME OF REGULAR MEETINGS OF THE REDEVELOPMENT AGENCY; AND RESCINDING RESOLUTION NO. 4088. /(-L/Jc-~..(..",.,-__. 't-7 Ir?LAC' Q"/'t3 7-(,.-3' Resolution No. 4089 was adopted by the following vote, to wit: Ayes: Castaneda, Hernandez, Gerwig, Hudson and Strickler. Noes: None. Absent: Wheeler and Hobbs. AGREEMENT OF COMPROMISE WITH WILLIAM L. HUNTLEY RELA TlVE TO INDUSTRIAL DEVELOPMENTS LOCATED IN THE SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA. [ A Motion was made by Strickler and seconded by Castaneda to adopt the following Resolution authorizing the execution of an Agreement of Compromise with William L. Huntley to settle the dispute relative to industrial developments located in the Southeast Industrial Park Redevelopment Project Area. iT. J 1i ..L. 1*1' 4950 RESOLUTION NO. 4090 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF AGREEMENT OF COMPROMISE WITH WILLIAM L. HUNTLEY REGARDING DISPOSITION AND JOINT DEVELOPMENT AGREEMENTS (SOUTHEAST INDUSTRIAL PARK REDEVELOP- MENT PROJECT AREA). ] Resolution No. 4090 was adopted by the following vote, to wit: Ayes: Castaneda, Hernandez, Gerwig, Hudson and Strickler. Noes: None. Absent: Wheeler and Hobbs. EXTEND CLOSE OF ESCROW - MCMAHON PARTNERSHIP (OLD SEWER PLANT) TO JANUARY 30, 1981, SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA. Mr. Shadwell introduced Mr. Keith Harwood who isin partnership with Mr. Ronald D. McMahon for the development of 13.33 acres of property located at Orange Show Road (Old Sewer Plant Property). Mr. Harwood stated that escrow on the project was scheduled to close on or about July 31, 1980, however, they have experienced several time consuming delays which forced this request for a six month extension to this closing date, one of which was the tight money situation. He stated that a partnership is now being formed and that they have made great progress with the project. One major restaurant is committed and they are negotiating for two more well known dinner houses with a planned office park on the remaining portion of the acreage. ] Mr. Harwood proposed a premium payment of 12% for the 6 month period, or a total purchase price of $853,300.00 to delay the close of escrow to January 30, 1981. Mr. Shadwell explained that to extend the agreement would require two City resolutions and one Agency resolution being brought back before the Board and Council at their next meeting. Mr. Gerwig reminded the Board of the requirement in all agreements wherein if a request for an extension of time is granted for any development that the developer cannot grandfather in on the prevailing fee schedule at the time the request is granted. Chairman Holcomb instructed Agency staff to so state in the amendment that the fee schedule at the time the permit is taken out will hold, not the fee schedule at the time the original concept was approved. Mr. Harwood stated that he understood and is agreeable to this. A Motion was made by Hudson and seconded by Castaneda to approve the request of McMahon Partnership to extend the close of escrow on the 13.33 acres at Orange Show Road for 6 months to January 30, 1981, and that the City Attorney and Agency Counsel be directed to amend the documents pertinent to this development and bring back to the next meeting for consideration by the Agency Board and the City Council. ] [ r '-- [ 4951 Motion carried by the following vote, to wit: Ayes: Castaneda, Hernandez, Gerwig, Hudson and Strickler. Noes: None. Absent: Wheeler and Hobbs. PUBLIC HEARINGS ON INDUSTRIAL DEVELOPMENT BOND APPLICA TIONS. The Public Hearing for the consideration of the Mayor and Common Council of the City of San Bernardino on the final approval for applications for Industrial Development Bond Financing for the Vanir Shopping Center - World Savings Plaza, was continued to 4:00 p.m., August 18, 1980. The meeting was adjourned at 5:00 p.m., to the next regular meeting of August 4, 1980, at 4:00 p.m., in the Council Chambers, 300 North "0" Street, San Bernardino, California. l ..,tJ ..., ~ a )0 .."t1l ] 4952 [ MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, HELD AUGUST 4, 1980. The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:00 p.m., August 4, 1980, by Chairman W. R. Holcomb in the Council Chambers, City Hall, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman, W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., John D. Hobbs, Robert A. Castaneda, Ralph Hernandez, Jack Strickler, Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. Absent: Richard F. Gerwig and Lionel E. Hudson APPROVE MINUTES Mr. Strickler made a motion, seconded by Mr. Castaneda and unanimously carried, to approve the minutes of the regular meeting of the Redevelopment Agency of the City of San Bernardino, California held July 21, 1980. r I ~ AMENDMENT TO THE GENERAL RESOLUTION RELATIVE TO THE 1979 RESIDENTIAL MORTGAGE REVENUE BOND ISSUE. Mr. Shadwell introduced the following Resolution relating to the 1979 Residential Mortgage Bond Issue providing for the extension of the date through which loans may be purchased by the Trustee from February 1981 to May 15, 1981. RESOLUTION NO. 4091 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AMENDING RESOLUTION NO. 3847. A Motion was made by Strickler and seconded by Castaneda that the resolution be adopted. Resolution No. 4091 was adopted by the following vote, to wit: Ayes: Castaneda, Hernandez, Hobbs and Strickler. Noes: None. Absent: Wheeler, Gerwig and Hudson. DOCUMENTS FOR THE CONSIDERATION OF THE MAYOR AND COMMON COUNCIL PERTAINING TO IDB FINANCING FOR THE MILLCREEK PROJECT LOCATED AT 708 WEST MILL STREET, CENTRAL CITY SOUTH REDEVELOPMENT PROJECT AREA. [ The City Clerk read the following Resolutions, which were adopted by the Mayor and Common Council. U>>.l u....t. U 1 J ~. ... .. i 4953 RESOLUTION NO. 80-313 .., 1 '~ J RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO APPROVING A CERTAIN PROJECT AGREEMENT WITH MILLCREEK, AND AUTHORIZING THE EXECUTION OF VARIOUS DOCUMENTS. RESOLUTION NO. 80-314 A RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO, CALIFORNIA, CONSTITUTING ITS TRUST AGREEMENT AND INDENTURE; CREATING A TRUST ESTATE AND MAKING CERTAIN PROVISIONS THEREFOR; AUTHORIZING THE ISSUANCE OF ITS INDUSTRIAL DEVELOPMENT CONSTRUCTION LOAN NOTE, MILLCREEK PROJECT, 1980 SERIES, FOR THE PURPOSE OF PROVIDING FUNDS FOR THE CONSTRUCTION OF MUL TI-PURPOSE INDUSTRIAL BUILDINGS; AND MAKING CERTAIN FINDINGS AND DETERMINATIONS IN CONNECTION THEREWITH. RESOLUTION NO. 80-315 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO DECLARING ITS ELECTION TO HAVE THE $10,000,000 LIMITATION OF SECTION 103 (b) (6) (D) OF THE INTERNAL REVENUE CODE OF 1954, AS AMENDED, APPLIED TO AN ISSUANCE OF INDUSTRIAL DEVELOPMENT BONDS ISSUED BY SAID CITY PURSUANT TO AN APPLICATION THEREFOR FILED BY MILLCREEK, A GENERAL PARTNERSHIP, AND DIRECTING THAT A STATEMENT OF SUCH ELECTION BE FILED WITH THE DISTRICT DIRECTOR OF INTERNAL REVENUE FOR THWITH. DOCUMENTS RELATING TO AN EXTENSION TO THE Mc MAHON PARTNERSHIP DISPOSITION AGREEMENT TO JANUARY 30, 1981, SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA. .., j ..." Chairman Holcomb introduced two resolutions formalizing the actions taken at the meeting of July 21, 1980, to approve the extension of time for the purchase and development of the old sewer plant property. Mr. Castaneda made a motion which was seconded by Mr. Strickler, to adopt the following resolutions. RESOLUTION NO. 4092 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF AN AGREEMENT EXTENDING THE TIME ON PROMISSORY NOTE FOR PURCHASE BY AGENCY FROM THE CITY OF CITY'S OLD SEWER PLANT PROPERTY (TREATMENT PLANT NO. 1) --- ~ fi ~ 4954 [ RESOLUTION NO. 4093 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF AN AMENDMENT TO DISPOSITION AND JOINT DEVELOP- MENT AGREEMENT BETWEEN THE AGENCY AND MC MAHON DEVELOPMENT COMPANY, HARCO SALES CO., INC., AND RA Y L. HUFFMAN CONSTRUCTION, INC., FOR THE DEVELOP- MENT OF THE CITY'S OLD SEWER PLANT PROPERTY (TREA TMENT PLANT NO. 1). Resolutions No. 4092 and No. 4093 were adopted by the following vote, to wit: Ayes: Castaneda, Hernandez, Hobbs and Strickler. Noes: None. Absent: Hudson, Gerwig and Wheeler. OFFER TO PURCHASE AND SET A JOINT PUBLIC HEARING FOR THE SALE OF APPROXIMA TEL Y 4.34 ACRES OF PROPERTY LOCA TED WEST OF TIPPECANOE A VENUE AND SOUTH OF COOLEY AVENUE, SOUTHEAST INDUSTRIAL PARK REDEVELOP- MENT PROJECT AREA. r I W Mr. Hernandez made a motion and seconded by Mr. Castaneda to receive the Offer to Purchase from De Angelis Development Corporation for property located within the Southeast Industrial Park Redevelopment Project Area and set a Joint Public Hearing for September 8, 1980. RESOLUTION NO. 4094 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO RECEIVE AN OFFER TO PURCHASE FROM DE ANGELIS DEVELOPMENT CORPORATION FOR PROPERTY LOCATED WITHIN THE SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA, AND SETTING A JOINT PUBLIC HEARING FOR SEPTEMBER 8, 1980. Resolution No. 4094 was adopted by the following vote, to wit: Ayes: Castaneda, Hernandez, Hobbs and Strickler. Noes: None. Absent: Wheeler, Gerwig and Hudson. REQUEST OF V ANIR RESEARCH COMPANY FOR AN EXTENSION OF TIME TO COMPLETE PLANS AND SPECIFICATIONS AND COMMENCE CONSTRUCTION ON THE PARCEL LOCATED AT 480-484 NORTH "E" STREET, CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. ,....., f . I i ' ~ At the meeting of July 7, 1980, Vanir Development Company requested an extension of time and was given 30 days to commence construction of the office building at 480/484 North "E" Street. Mr. Shadwell presented a letter dated July 31, 1980 from Vanir requesting an additional 90 days extension, making a total of 120 days from the previous request. .It 11 4955 Mr. Jim Hicks, Administrator for the Vanir Development Company, stated that during the time since the previous request they had been working to complete the plans but that there was not sufficient time for their consultants and architects to complete the plans, have them checked by the City and begin construction. He stated that they were proceeding as rapidly as possible but to start construction would require an additional 90 days. A memorandum was presented from C. Glenn Wilson, Director of Public Works in which he stated that he had reviewed the current status of plans as presented by Vanir Development Company and, in his opinion, much of the work could be accomplished in approximately 60 days to assure good design and adequate plan checking. A Motion was made by Hernandez and seconded by Hobbs to grant Vanir Development Company a 90 day extension. The Motion failed by the following vote, to wit: Ayes: Castaneda and Hobbs. Noes: Hernandez and Strickler. Absent: Wheeler, Gerwig and Hudson. Chairman Holcomb stated that, based on Mr. Wilson's letter of July 11, 1980, he would strongly urge that an additional 30 days be given. Mr. Frank Dominguez spoke on behalf of Vanir Development Company, stating that it was his objective and intent to develop the project and that he did not feel that his request for a 90 day extension was unreasonable. A Motion was made by Strickler and seconded by Wheeler, to give Vanir Development Company 60 days from July 11, 1980 to complete plans and specifications and commence construction on the parcel located at 480-484 North "E" Street. The Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hobbs and Strickler. Noes: Hernandez. Absent: Gerwig and Hudson. PROPOSAL OF V ANIR RESEARCH COMPANY RELATIVE TO THE DEVELOPMENT OF A HOTEL COMPLEX ON "E" STREET, CENTRAL CITY REDEVELOPMENT PROJECT AREA. Chairman Holcomb reviewed the Minutes of the Board meeting of May 5, 1980, wherein Mr. Frank Dominguez of Vanir Research Company was granted a 90 day option in which to have before the Board in writing a proposal to include the specific items that he is requesting from the City and the Agency in order that negotiations could be held to develop a Disposition and Joint Development Agreement together with a reaffirming letter of commitment from a financial institution which would meet UDAG specifications in order that the City could proceed with a Federal Grant if needed to finance the proposed development. Mr. Frank Dominguez, representing Vanir Research Company presented a letter from Crocker National Bank dated July 29, 1980 regarding a loan commitment on the 15 story hi-rise office building and 325 room hotel, reaffirming their loan commitment dated January 3, 1980 for this project. 1 ...I ..., I ..,j ] 4956 [ Mr. Dominguez stated that significant progress had been made in finalizing the documentation with Ramada Inns to the extent that he was prepared to proceed with the Redevelopment Agency on the Disposition and Joint Development Agreement and go forward on the basis of the original agreement, incorporating Vanir's proposal, which primarily the difference is that Vanir is asking for fee title ownership and that UDAG funding would be utilized for the project as opposed to funding by the City. A lengthy discussion followed, after which, Mr. Hobbs suggested that the matter be continued to the next Board meeting on August 18, 1980, and that the Council/ Board spell out emphatically what Mr. Dominguez is expected to bring to the meeting concerning the hotel development. Chairman Holcomb suggested that any backup material concerning this matter be prepared and presented to the City Clerk or to the Redevelopment Agency prior to the time the Agenda is prepared in order that the Council/Board could have sufficient time to review and study. Mr. Shadwell requested that any backup for the Agenda of August 18, 1980, be presented to the Agency no later than 5:00 p.m., Wednesday August 13, in order that information could be distributed with the Agenda package on Thursday August 14th. r t \.., A Motion was made by Hobbs and seconded by Castaneda that the matter relative to the hotel development be continued to the meeting of August 18, 1980, and that before 5:00 p.m. on Wednesday, August 13, 1980, Mr. Dominguez will have before the Redevelopment Agency for the preparation of the Agenda for the August 18, 1980 meeting, a written proposal showing what he will do, when he will do it, who will operate the hotel, with a letter from the operator, assuming it is Ramada Inn, confirming that they will be an equity partner and will operate the hotel, what the City and/or the Redevelopment Agency is required to do, and a financial letter of commitment from Crocker National Bank confirming that this letter of financial commitment is consistent with the rules and regulations required to obtain the UDAG grant. The Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Hobbs and Strickler. Noes: None. Absent: Gerwig and Hudson. REQUEST OF CHUCK KING AND ASSOCIATES TO EXTEND START OF CONSTRUCTION DATES AND BUILD-OUT REQUIRE- MENTS, SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA. ,...... I L Mr. Shadwell outlined on the map display board the locations of the two parcels purchased by Chuck King & Associates in 1979 located in the Southeast Industrial Park Redevelopment Project Area. Mr. King is ready to proceed with the develop- ment of the industrial/commercial complexes, but has been unable to do so because of water drainage problems in the area preventing him from receiving the required City plan approvals until such time as the water drainage problems are resolved. !II:-]! .....-0 4957 Mr. Chuck King cited the reason for his request for the extension of time to start construction on the property located south of Cooley Avenue and westerly of Tippecanoe (approximately 9.9 acres), and property located on the northwest corner of Tippecanoe and Cooley (approximately 11.3 acres), as lack of a drainage easement to convey storm run-off from the parcels to the river. .... J Mr. Shadwell briefed the Board on a meeting recently attended by the property owners and their engineers, the Assistant City Engineer, RDA staff and the Board Chairman, at which time a solution was achieved whereby suitable permanent drainage channels can be constructed by Mr. King to meet all requirements of the City Engineer and the County Flood Control District. This would take some time to engineer and construct the channel and must be accomplished prior to approval of plans. Mr. King feels all these requirements can be met and that he can be under construction by January 15, 1981. After discussion, Mr. Strickler moved, and seconded by Mr. Hobbs, to continue the matter until the next Board meeting. The Motion failed by the following vote, to wit: Ayes: Wheeler, Hobbs and Strickler. Noes: Hernandez. Absent: Castaneda, Gerwig and Hudson. A Motion was made by Wheeler and seconded by Strickler, to approve the extension for start of construction of Chuck King and Associates to January 15, 1981 for his two developments located in the Southeast Industrial Park Redevelopment Project Area; and to approve in principle the necessary actions required to resolve the water drainage problems existing in the Southeast Industrial Park located in the vicinity of Cooley - Tippecanoe - San Bernardino Avenues. ,., I ~ The Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hobbs and Strickler. Noes: Hernandez. Absent: Gerwig and Hudson. NOTICE OF CONTINUATION OF PUBLIC HEARINGS - lOB BOND APPLICA TIONS Public Hearings on the following applications for Industrial Development Bond financing were continued to the dates and times set forth herein in the Council Chambers of City Hall, 300 North "0" Street, San Bernardino, California: Vanir Research Co. - Highland & Del Rosa, Continued to August 18, 1980, 4:00 p.m. Vanir Research Co. - Waterman and Mill Street, Continued to August 18, 1980, 4:00 p.m. Dan Salter & Co., Continued to September 22, 1980. Mill Street Business Park, Continued to October 20, 1980. The meeting was adjourned at 5:30 p.m. to the next regular meeting of August 18, 1980 at 4:00 p.m., in the Council Chambers, City Hall, 300 North "0" Street, San Bernardino, California. ] 4958 [ MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, HELD AUGUST 18, 1980 The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 5:20 p.m., August 18, 1980, by Chairman W. R. Holcomb in the Council Chambers, City Hall, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman, W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Robert A. Castaneda, Ralph Hernandez, Jack Strickler, Richard F. Gerwig and Lionel E. Hudson. Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Hoover. Absent: John D. Hobbs. APPROVE MINUTES A Motion was made by Hernandez and seconded by Castaneda, to approve the Minutes of the meeting of the Redevelopment Agency of the City of San Bernardino, California held August 4, 1980. [ The Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Hudson and Strickler. Noes: None. Absent: Gerwig and Hobbs. CHANGE ORDER 112 TO THE REDEVELOPMENT AGENCY CONTRACT WITH JESSE HUBBS & SONS FOR EXTRA WORK TO BE PERFORMED RELA TlVE TO THE COMMERCIAL - RESIDENTIAL - RECREATIONAL DEVELOPMENT, STATE COLLEGE REDEVELOPMENT PROJECT AREA. A Motion was made by Castaneda and seconded by Wheeler, to approve Change Order No.2 with Jesse Hubbs & Sons for a sum not to exceed $82,375.00 and adopt the following resolution. RESOLUTION NO. 4095 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CHANGE ORDER NO.2 WITH JESSE HUBBS & SONS FOR WORK PERFORMED IN THE PUBLIC GOLF COURSE, STATE COLLEGE PROJECT NUMBER 4; AND RESCINDING RESOLUTION NO. 4086. Resolution No. 4095 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hudson and Strickler. Noes: None. Absent: Hernandez, Gerwig and ,..... Hobbs. ! L., ..... -,~",,__~',.u.,II,.1I.1W 4959 EXTENSION OF A LOAN BETWEEN THE AGENCY AND SANTA FE FEDERAL SAVINGS & LOAN ASSOCIATION ON PARCEL 134-151-24 (CENTRAL BUILDING LOCATED ON THE NORTHEAST CORNER OF 4TH & "E" STREETS) ,.., I WII Mr. Shadwell requested extension of a loan between the Agency and Santa Fe Federal Savings & Loan Association for property purchased for an addition to the Central City Parking District, not to exceed 6 months or sooner if the overall Parking District loan is consummated. Expenses for this transaction are being paid by the Redevelopment Agency, to be reimbursed by the City of San Bernardino Parking District. The total amount of the loan, plus interest, was due and payable July 1, 1980. A Motion was made by Castaneda and seconded by Wheeler, to approve the extension of Loan Agreement Number 9-919359-1 between the Agency and Santa Fe Federal Savings & Loan Association to January 1, 1981, and adopt the following resolution. RESOLUTION NO. 4096 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, EXTENDING LOAN AGREEMENT NO. 9-919359-1 BETWEEN THE AGENCY AND SANTA FE FEDERAL SAVINGS AND LOAN ASSOCIATION TO JANUARY 1, 1981, RELATIVE TO PURCHASE OF PARCEL 134-151-24 (SWING BUILDING), LOCATED WITHIN THE CENTRAL CITY NORTH PROJECT AREA. ., Resolution No. 4096 was adopted by the following vote, to wit: Ayes: Castaneda, J Wheeler, Hudson and Strickler. Noes: Hernandez. Absent: Gerwig and Hobbs. AMENDMENTS TO THE DISPOSITION AND JOINT DEVELOPMENT AGREEMENT RELATIVE TO START OF CONSTRUCTION DATES REGARDING CHUCK KING & ASSOCIATES' DEVELOPMENTS IN THE SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA. Approval was given at the meeting of August 4, 1980 for the extension to January 15, 1981 to start construction on the above named property. Action is now required to formalize the action taken at the previous Board Meeting. A Motion was made by Castaneda and seconded by Wheeler to approve the amendments to the Disposition and Joint Development Agreements between the Agency and King Industrial Park/San Bernardino Industrial Park; and between the Agency and Richard L. Sikkenga/Roger R. Janke, Partners, and adopt the resolutions. RESOLUTION NO. 4097 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF i~ND~:P~~~T~g~N~N~UJ~~~I~k~~i~~J:;f~6~~E~~~ AMENDMENT J. ........... BETWEEN THE REDEVELOPMENT AGENCY AND KING INDUSTRIAL ... PARK, A CALIFORNIA LIMITED PARTNERSHIP, AND SAN BERNARDINO INDUSTRIAL PARK, INC., A CALIFORNIA CORPORATION. 4960 [ RESOLUTION NO. 4098 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF AN AMENDMENT TO DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE REDEVELOPMENT AGENCY AND RICHARD L. SIKKENGA, PARTNER, AND ROGER R. JANKE, PAR TNER. Resolution No. 4097 and Resolution No. 4098 were adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Hudson and Strickler. Noes: None. Absent: Gerwig and Hobbs. CHECKING ACCOUNT WITH THE BANK OF CALIFORNIA FOR THE CITY -WIDE LOAN TO LENDER REVENUE BOND PROGRAM, ISSUE OF 1980. A Motion was made by Castaneda and seconded by Wheeler to authorize a Checking Account with the Bank of California and adopt the following resolution. RESOLUTION NO. 4099 [ RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING A CHECKING ACCOUNT WITH THE BANK OF CALIFORNIA FOR THE SAN BERNARDINO CITY -WIDE LOAN TO LENDER REVENUE BOND PROGRAM. Resolution No. 4099 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Hudson and Strickler. Noes: None. Absent: Gerwig and Hobbs. PROPOSAL OF VANIR RESEARCH COMPANY RELATIVE TO THE DEVELOPMENT OF A HOTEL COMPLEX ON "E" STREET, CENTRAL CITY REDEVELOPMENT PROJECT AREA. Mr. Frank Dominguez, representing Vanir Research Company, presented his proposal relative to the hotel development, together with a letter clarifying his intent to utilize the previously negotiated Disposition and Joint Development Agreement and Management Agreement for the proposed project. He further stated that since the last Board Meeting on August 4, 1980, he had decided to withdraw his initial request for fee title to the land. He would therefore desire to retain the same basic format, incorporating some modifications to adopt them to the present project, and that he was ready to commence negotiations toward an agreement. r I ~ Gary Van Osdel, Director of Community Development, spoke regarding the process necessary in obtaining the UDAG Grant and that it was incumbent upon Mr. Dominguez to submit evidence establishing that the project is not economically feasible without a UDAG Grant. Mr. Van Osdel stated that the ratio of the leverage requirements for obtaining a UDAG Grant is 3 to 1. 4961 Mr. Dominguez stated that he was familiar with the UDAG applications and that at this point he was willing to conform within the required ratio. Chairman Holcomb stated that in his opinion Mr. Dominguez had done a complete and thorough job with his proposal, but that it would require some time and cooperation from all concerned to work out the problems involved. He further pledged his cooperation and support and that he hoped the Agency and Community Development staff would start negotiations for a Disposition and Joint Development Agreement for presentation at the Board meeting, hopefully two meetings from this date. Mr. Castaneda made a Motion, seconded by Mr. Wheeler, to approve in principle the proposal and the time table of Vanir Research Company as negotiated, and direct that a complete Disposition and Joint Development Agreement between Vanir Research Company, Ramada Inns (if legally required), the City of San Bernardino and the Redevelopment Agency of the City of San Bernardino be presented to the Mayor and Common Council/Redevelopment Agency Board for approval. The Motion carried by the following vote, to wit: Ayes: Gerwig, Hudson and Strickler. Noes: None. Absent: Hernandez. Castaneda, Wheeler, Hobbs. Abstention: NOTICE OF CONTINUATION OF PUBLIC HEARINGS - IDB BOND APPLICA TIONS Public Hearings on the following applications for Industrial Development Bond financing were continued to September 8, 1980, at 4:00 p.m. in the Council Chambers, City Hall, 300 North "D" Street, San Bernardino, California: a. Vanir Research Co. - Highland and Del Rosa. b. Vanir Research Co. - Waterman Avenue c. World Savings Plaza - Highland & Del Rosa Avenues d. Commerce Development Associates e. Inland Office Associates. The meeting was adjourned at 6:00 p.m., to the next regular meeting on September 8, 1980, at 4:00 p.m., in the Council Chambers, City Hall, 300 North "D" Street, San Bernardino, California. J ] ] 91/{ 4962 r ~ MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, HELD SEPTEMBER 8, 1980. The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino was called to order at 4:10p.m., September 8, 1980, by Chairman W. R. Holcomb in the Council Chambers, City Hall, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman, W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Robert A. Castaneda, Ralph Hernandez, Jack Strickler, Richard F. Gerwig, John D. Hobbs and Lionel E. Hudson. Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret Wasiloff. ESTABLISHMENT OF JOINT POWERS AUTHORITY - CALIFORNIA THEA TER. ".... I '-- During discussions relative to establishing a Joint Powers Authority between the City and the County of San Bernardino for the California Theater, Mr. Hobbs stated his objections to joining with the County and argued that the City should take over and operate the facility on it's own. Mayor/Chairman Holcomb cited the County's commitment of $150,000.00, and that the proposed agreement, as presented in draft form, would create upon its execution, the California Theater Authority to be governed by a five-member board. Two members to be appointed by the County Board of Supervisors, one by the Mayor and one by the Redevelopment Agency. The fifth member would be appointed by the four named members of the board. The City Attorney stated that he had not reviewed the draft of the proposed agreement and would like to do so before rendering his opinion. A Motion was made by Strickler and seconded by Wheeler, authorizing the Chairman and Secretary to execute an agreement on behalf of the Redevelopment Agency of the City of San Bernardino, creating a Joint Powers Authority between the City of San Bernardino and the County of San Bernardino for the California Theater, sU,bject to the approval of the City Attorney. The Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson and Strickler. Noes: Hobbs. Absent: None. ,- I L REQUEST FROM THE CITY OF LOMA LINDA FOR THE CITY'S COOPERA TION IN HELPING LOMA LINDA UNIVERSITY MEDICAL CENTER TO FINANCE CERTAIN MEDICAL FACILITIES WHICH WILL SERVE THE GREATER SAN BERNARDINO AREA. 1 ... fI!!.F..f t ..",.... ..~ . 4963 James Iverson of Miller &: Schroeder Municipals, Inc., spoke on behalf of the Lorna Linda University Medical Center, stating that the proposal would involve no liability to the City of San Bernardino but which, by using it's powers as a Charter City could be of assistance to the Medical Center in connection with a major expansion program. This type of financing under the City's Industrial Development Bond financing program, would represent a savings of 2% per annum over the next 35 years. An approximate $1,000,000 per year in savings would be passed on to the citizens of the area in reduced hospital and medical costs. ] Mr. Iverson introduced Mayor Ardyce Kooles of the City of Lorna Linda and Mr. David Henderson, Chief Financial Officer from Lorna Linda University Medical Center. Mayor Kooles spoke on behalf of the City of Lorna Linda reinforcing Mr. Iverson's assurance that in no way would this type of financing involve a financial obligation on the part of the City of San Bernardino or the City of Lorna Linda. Mayor Kooles asked for the cooperation and assistance of the City of San Bernardino in this worthy endeavor. Mr. Strickler expressed his concern regarding the assistance of the City of San Bernardino in financing the program under the City's IDB financing program as being frowned upon by the Internal Revenue Service and possibly violating the privileges granted by recent legislative measures to the City of San Bernardino as a Charter City. Mr. Hobbs expressed his desire for job support for the San Bernardino area in connection with the expansion of the Medical Center and requested information regarding the Hospital's Affirmative Action Plan. Mr. Iverson clarified the concern of Members of the Board regarding Internal Revenue regulations relating to hospitals and that any hearings for AB 74 or any abuse of this legislation had nothing to do with the City's assistance in the Industrial Development Bond Financing for the Lorna Linda Medical Center's program. J A Motion was made by Wheeler, seconded by Strickler and unanimously carried, to approve in principle the concept to assist the University of Lorna Linda Medical Center in their financing program, with the assurance that this assistance will not jeopardize the City of San Bernardino's Industrial Revenue Bond Program. APPROVE MINUTES A Motion was made by Wheeler and seconded by Castaneda to approve the Minutes of the Meeting of August 18, 1980. Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig and Hudson. Noes: None. Absent: Hobbs and Strickler. JOINT PUBLIC HEARING WITH THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO FOR THE PURPOSE OF SELLING AGENCY OWNED PROPERTY CONSISTING OF 4.34 ACRES LOCATED AT THE SOUTHWEST CORNER OF COOLEY AND SUNNYSIDE AVENUES, SOUTHEAST INDUSTRIAL PARK PROJECT AREA. ] 4964 r '-- Mayor/Chairman Holcomb opened the Joint Public Hearing at 4:45 p.m., in the Council Chambers for the sale of 4.34 acres of property located west of Tippecanoe and south of Cooley Avenue in the Southeast Industrial Park Redevelopment Project Area. Mr. Shadwell presented the following offers for the purchase of the above named property: 1. Charles Francis King - $182,180.00 2. De Angelis Development Corporation - $177,940.00 3. Wohl Investment Company - $170,000.00 The bidding proceeded with Wohl Investment Company dropping out at $46,000.00 per acre and King at $49,500.00 per acre. Highest bid for the property was by De Angelis Development Corporation at $50,000.00 per acre. There being no further bids submitted, the Chairman ordered the hearing dosed. A Motion was made by Strickler and seconded by Wheeler that the following resolution be adopted approving the sale of property located within the Southeast Industrial Park Redevelopment Project Area to De Angelis Development Corporation for a total purchase price of $217,000.00. ".... I L RESOLUTION NO. 4100 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO APPROVING THE SALE OF PROPERTY LOCA TED WITHIN THE SOUTHEAST INDUSTRIAL PARK REDEVELOP- MENT PROJECT AREA. Resolution No. 4100 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. OFFER TO PURCHASE FOR THE SALE OF ABOUT 3.144 ACRES OF AGENCY OWNED PROPERTY LOCATED ON THE SOUTHERLY SIDE OF HIGHLAND A VENUE BETWEEN WESTERN A VENUE AND MUSCOTT STREET. A Motion was made by Hobbs and seconded by Hernandez to adopt the following resolution receiving an Offer to Purchase from Operation Second Chance for Parcels 143-012-48 thru 54 and 62 thru 66 and set a Joint Public Hearing for 4:00 p.m., October 6, 1980. RESOLUTION NO. 4101 [ RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO RECEIVING AN OFFER TO PURCHASE FROM OPERATION SECOND CHANCE FOR PARCELS 143-012-48 THRU 54 AND 62 THRU 66 AND SETTING A JOINT PUBLIC HEARING FOR OCTOBER 6, 1980. 4 JII . 4965 Resolution No. 4101 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs and Strickler. Noes: None. Absent: None. 1 .... OFFER TO PURCHASE - HOTEL SITE - V ANIR RESEARCH COMPANY By letter, dated September 8, 1980, Vanir Research Company presented an Offer to Purchase from the Redevelopment Agency of the City of San Bernardino, the real property located in the Central City North Redevelopmet Project Area, known as Hotel Parcel A, for the purchase price of $140,000.00. This offer as submitted, being subject to the City of San Bernardino applying for and obtaining a UDAG grant. A Motion was made by Castaneda, seconded by WA1eeler and unanimously carried, to accept the offer of H. Frank Dominguez DBA Vanir Research Company or nominee, and to set a Joint Public Hearing for 4:00 p.m., October 6, 1980, for the sale of said property. RESOLUTION AUTHORIZING A QUITCLAIM DEED TO EXISTING EASEMENTS FOR PUBLIC UTILITY PURPOSES, MERVYN'S DEVELOPMENT, CENTRAL CITY SOUTH REDEVELOPMENT PROJECT AREA. A Motion was made by Hudson and seconded by Castaneda to adopt the following resolution. RESOLUTION NO. 4102 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE EXECUTION OF A QUIT CLAIM DEED TO EASEMENTS FOR PUBLIC UTILITY PURPOSES IN V ACA TED ALLEY (NORTH-SOUTH ALLEY BETWEEN "F" STREET AND "G" STREET, SOUTH OF SECOND STREET, IN THE CITY OF SAN BERNARDINO). 1 'WIll Resolution No. 4102 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobqs and Strickler. Noes: None. Absent: None.' , , I I WAGE INCREASE FOR ALL REDEVELOPMENT AGENCY EMPLOYEES (EXCEPT MALL SECURITY) AND A SALARY ADJUSTMENT FOR EMPLOYEES IN CERTAIN POSITIONS. A Motion was made by Wheeler, and seconded by Hudson to adopt the following resolution authorizing a seven percent (7%) cost of living increase and adjusting salaries of certain positions within the Agency. RESOL UTION NO. 4103 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING A SEVEN PERCENT (7%) COST OF LIVING INCREASE FOR RDA EMPLOYEES AND ADJUSTING SALARIES OF CERTAIN POSITIONS WITHIN THE AGENCY COMPARABLE TO THOSE OF CITY EMPLOYEES. ] 4966 [ Resolution No. 4103 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: Hernandez. Absent: None. AMENDED FISCAL YEAR 1980-81 ADMINISTRATIVE BUDGET FOR THE REDEVELOPMENT AGENCY. A Motion was made by Castaneda and seconded by Hudson to adopt the following resolution approving an amended Administrative Budget for Fiscal Year 1980/81 and rescinding Resolution No. 4085. RESOLUTION NO. 4104 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, ADOPTING AN AMENDED ADMINISTRA TIVE BUDGET FOR FISCAL YEAR 1980/81 AND RESCINDING RESOLUTION NO. 4085. Resolution No. 4104 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson, Hobbs and Strickler. Noes: Hernandez. Absent: None. REVIEW OF TRANSACTIONS RELATIVE TO THE SALE OF PROPERTY LOCATED AT THE NORTHWEST CORNER OF 4TH AND "E" STREETS, CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. // \ [ Chairman Holcomb summarized the status of the 4th and "E" Street property for which Mr. Frank Dominguez was requesting an extension of time of one year in which to develop the corner of 4th &. "E" Streets. Chairman Holcomb briefed the Board on recent negotiations which he and Vice Chairman Wheeler had held with Mr. Dominguez and stated that he hoped the Board would approve in principle this proposed settlement and bring back the final documents for approval at the next Board meeting. In consideration of the extension of the current note dated March 3, 1980, in the amount of $51,812.48, Mr. Dominguez agreed to the following terms and conditions: 1. Vanir Research Company agrees to sell the back half of the National Dollar Store property to the City of San Bernardino Parking District at their pro- rata square foot cost, with no profits and no carrying charges. 2. Vanir Research Company agrees to demolish the existing building owned by them within 45 days of September 8, 1980. A discussion followed regarding interest rates on the existing note held in trust by the Agency. Mr. Shadwell explained that the interest rate of 15.5%, arrived at on March 3, 1980 when the note was extended for 6 months, was the interest rate the Agency would have received had they invested the money at that time, but at the present time the rate would be 10%. [ Mr. Strickler stated that he would approve a 10% interest rate on the new extension. 4967 A Motion was made by Wheeler, seconded by Hernandez and unanimously carried, ]'..".". to approve in principle the following proposal and direct the Agency staff to bring ., back all final legal documents to the Board meeting of September 22, 1980 for approval: 1. To extend the note for a period of one (1) year. No interest is payable for the first six (6) months of the note and interest of 10% is payable the second six (6) month period of the note. 2. Vanir Research Company agrees to demolish the existing building owned by them within 45 days of September 8, 1980. 3. Vanir Research Company agrees to sell the back half of the National Dollar Store property to the City of San Bernardino Parking District at his prorata square foot cost, no profits and no carrying charges; the sale to be consummated within 45 days from September 8, 1980. 4. The principal sum of the new one (1) year note will be the principal sum of the March 3, 1980 note plus interest due on the note at the rate of 15.5%. VANIR RESEARCH COMPANY - EXTENSION OF TIME TO COMPLETE PLANS AND SPECIFICATIONS AND COMMENCE CONSTRUCTION ON THE PARCEL LOCATED AT 480/484 NORTH "E" STREET, CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. Chairman Holcomb requested a continuance of this matter for two weeks in order that he and Vice Chairman Wheeler could negotiate with Mr. Frank Dominguez on certain complicated matters pertaining to the completion of plans and specifications for the construction of the parcel located at 480/484 North "E" Street. .., J A Motion was made by Hernandez and seconded by Castaneda, that the matter pertaining to the extension of time to complete plans and specifications and commence construction on the parcel located at 480/484 North "E" Street be continued to the meeting of September 22, 1980. Motion carried by the following vote, to wit: Ayes: Castaneda, Hernandez, Strickler, Hobbs and Hudson. Noes: Gerwig. Absent: Wheeler. EXECUTIVE SESSION The Executive Session for the purpose of discussing legal matters was continued to the meeting of September 22, 1980. NOTICE OF CONTINUATION OF PUBLIC HEARINGS - IDB BOND APPLICATIONS. The Public Hearings for the following applications for Industrial Development Bond financing were continued to 4:00 p.m., October 6, 1980, in the Council Chambers 300 North "D" Street, San Bernardino, California. ... J [ a. b. c. d. e. d. 4968 Vanir Research Co. - Highland and Del Rosa Avenue Vanir Research Co. - Mill Street and Waterman Avenue World Savings Plaza - East Highland and Del Rosa Avenue Commerce Development Associates - "E" Street and MacKay Court Inland Office Associates - South "E" Street. Inland Industrial Parks Association - N/W Corner Tippecanoe and Cooley Avenue. The meeting was adjourned at 5:30 p.m., to the next regular meeting of the Redevelopment Agency at 4:00 p.m., September 22, 1980, in the Council Chambers, City Hall, 300 North "0" Street, San Bernardino, California. [ ,-. L , JllHl!iJl'W,"'-'--.-_-''''~~'-~~_ ] ,., ~ ,~ ..." .. l:~ I ..J 4969 r '-- MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORMIA, HELD SEPTEMBER 22, 1980 The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardlno, California was called to order at 4:20 p.m, Monday, September 22, 1980, by Chairman W. R. Holcomb in the Council Chambers, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Richard F. Gerwig, Lionel E. Hudson, John D. Hobbs, Robert A. Castaneda, Ralph Hernandez and Jack Strickler. Wm. A. Flory, Agency Counsel, and Margaret Wasiloff, Executive Secretary. Absent: R. E. Shadwell, Jr., Executive Director. APPROVE MINUTES A Motion was made by Castaneda and seconded by Hernandez to approve the Minutes of the Meeting of September 8, 1980. Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Gerwig, Hudson and Hobbs. Noes: None. Absent: Strickler. r ~ AMENDMENT TO THE DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND VANIR RESEARCH COMP ANY FOR PROPERTY LOCATED AT THE NORTHWEST CORNER OF 4TH AND "E" STREETS. A Motion was made by Wheeler and seconded by Hernandez to adopt a resolution authorizing the execution of an agreement between the Agency and Vanir Research Company relating to a promissory note in the amount of $55,827.95, for property located at the Northwest Corner of 4th and "E" Street. Mr. Strickler stated his opposition to the motion due to the waiver of the 10% interest rate for the first six months of the new one year extension of the new note for Vanir Research Company. RESOLUTION NO. 4105 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE EXECUTION OF AN AGREEMENT BETWEEN THE AGENCY AND V ANIR RESEARCH COMPANY RELATING TO A PROMISSORY NOTE IN THE AMOUNT OF $55,827.95, FOR PROPERTY LOCATED AT THE NORTHWEST CORNER OF 4TH AND "E" STREETS, CENTRAL CITY NORTH PROJECT AREA. ,- I I L - __-.J! ;{..lJJ 4970 Resolution No. 4105 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, Hudson, Hobbs. Noes: Strickler. Absent: None. EXTENSION OF TIME TO COMPLETE PLANS AND SPECIFICATIONS AND COMMENCE CONSTRUCTION ON THE PARCEL LOCATED AT 480/484 NORTH "E" STREET, CENTRAL CITY NORTH REDEVELOP- MENT PROJECT AREA. ] A letter was presented at the meeting by Mr. H. Frank Dominguez on behalf of Vanir Research Company stating that the architectural drawings for the expansion and remodeling of the J. C. Penny building was substantially complete. However, with the existing parking restrictions, they were unable to proceed with an office development as the two hour limitation would preclude the use of the building as an office building since they had discovered that a retail development would only utilize up to 30% of the building and, therefore, would not achieve the maximum benefits either to Vanir or to the City. Vanir was therefore requesting that the parking agreement be amended to provided for all day parking as needed upon occupancy. A Motion was made by Castaneda and seconded by Hobbs that the matter be continued to the meeting of October 6, 1980. The Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Hudson and Hobbs. Noes: Gerwig and Strickler. Absent: None. EXECUTIVE SESSION , .... A Motion was made by Hobbs, seconded by Hernandez and unanimously carried that the Board adjourn to an Executive Session for the purpose of discussing legal matters. At 4:30 p.m., the Executive Session of the Board of the Redevelopment Agency of the City of San Bernardino was called to order by Chairman W. R. Holcomb in the Conference Room of the Council Chambers of City Hall, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman Holcomb, Vice Chairman Wheeler, Hernandez, Gerwig, Hudson, Hobbs, Castaneda, Hobbs, Agency Counsel Flory and Executive Secretary Margaret Wasiloff. Absent: Executive Director R. E. Shadwell, Jr. ADJOURN EXECUTIVE SESSION At 4:35, the Executive Session of the Board of the Redevelopment Agency of the City of San Bernardino adjourned to the Regular Meeting in the Council Chambers of City Hall, 300 North "D" Street, San Bernardino, California. J [ r ~ [ 4971 RECONVENE MEETING The Regular Meeting ofthe Board of the Redevelopment Agency of the City of San Bernardino reconvened in the Council Chambers of City Hall, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Chairman Holcomb, Vice Chairman Wheeler, Castaneda, Hernandez, Gerwig, Hudson, Hobbs, Strickler, Flory and Wasiloff. Absent: Shadwell. NOTICE OF CONTINUATION OF PUBLIC HEARINGS - INDUSTRIAL DEVELOPMENT BOND APPLICATIONS. The Public Hearing for the application of Dan Salter & Co. for Industrial Development Bonds was continued to 4:00 p.m., November 3, 1980, in the Council Chambers, 300 North "D" Street, San Bernardino, California. The meeting was adjourned at 4:45 p.m., to the next Regular Meeting on October 6, 1980 at 4:00 p.m., in the Council Chambers, City Hall, 300 North "D" Street, San Bernardino, California. ~~ 1 ..J , .." ] 4972 [ MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, HELD ON OCTOBER 6, 1980. The Regular Meeting of the Board of the Redevelopment Agency of the City of San Bernardino, California was called to order at 4:00 p.m., Monday, October 6, 1980, by Chairman W. R. Holcomb in the Council Chambers, 300 North "D" Street, San Bernardino, California. ROLL CALL: Roll Call was taken with the following being present: Chairman, W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Richard F. Gerwig, John D. Hobbs, Robert A. Castaneda Ralph Hernandez and Jack Strickler. Executive Director, R. E. Shadwell, Jr., Agency Counsel, Wm. A. Flory and Executive Secretary, Margaret W asiloff. Also present were James E. Iverson, Miller &. Schroeder Municipals, Inc. and James Warren Beebe. Absent: Lionel E. Hudson. [ JOINT PUBLIC HEARING WITH THE MAYOR AND COMMON COUNCIL FOR THE SALE OF AGENCY OWNED PROPERTY LOCATED ON HIGHLAND AVENUE BETWEEN MUSCOTT STREET AND WESTERN A VENUE, TO OPERATION SECOND CHANCE. Mayor/Chairman Holcomb opened the Joint Public Hearing. Mr. Wesley Jefferson spoke on behalf of Operation Second Chance. A Motion was made by Castaneda and seconded by Wheeler, to close the Public Hearing and adopt the Resolution accepting the Offer to Purchase of Operation Second Chance for Parcels 143-012-48 thru 54 and 62 thru 66, for the purpose of developing a technical skills training center for the purchase price of $72,000.00. RESOLUTION NO. 4106 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO A DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND OPERA TION SECOND CHANCE, INC., FOR PROPERTY LOCATED IN THE STATE COLLEGE PARK PROJECT AREA. [ Resolution No. 4106 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Hobbs and Strickler. Noes: None. Absent: Hudson. Abstention: Gerwig. . - 4973 APPROVE MINUTES A Motion was made by Hernandez, seconded by Gerwig and unanimously carried, to approve the Minutes of the Meeting of September 22, 1980 as submitted in typewritten form. JOINT PUBLIC HEARING WITH THE MAYOR AND COMMON COUNCIL TO CONSIDER THE SALE OF THE "HOTEL SITE", AGENCY OWNED PROPER TY LOCATED ON "E" STREET BETWEEN 2ND AND COURT STREETS TO VANIR RESEARCH COMPANY FOR THE PURPOSE OF DEVELOPING A HOTEL AND CONVENTION CENTER COMPLEX, CENTRAL CITY/MEADOWBROOK PROJECT AREA. Mayor/Chairman Holcomb opened the Joint Public Hearing. A Motion was made by Castaneda and seconded by Wheeler to close the Public Hearing and adopt the Resolution accepting the Offer to Purchse of H. Frank Dominguez dba Vanir Research Company, or nominee, for the real property known as Hotel Parcel"A", for the purpose of developing a hotel and convention center complex for the purchase price of $140,000.00, Central City/Meadowbrook Project Area. RESOLUTION No. 4107 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO APPROVING THE SALE OF AGENCY OWNED PROPERTY LOCATED ON "E" STREET, KNOWN AS THE "HOTEL SITE", CENTRAL CITY/MEADOWBROOK PROJECT AREA. Resolution No. 4107 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig, and Strickler. Noes: None. Absent: Hudson and Hobbs. REVIEW THE ACTION OF VANIR RESEARCH COMPANY RELATING TO THE EXTENSION OF TIME TO COMPLETE PLANS AND SPECIFIC A TIONS AND COMMENCE CONSTRUCTION ON THE PARCEL LOCATED AT 480/484 NORTH "E" STREET, CENTRAL CITY NORTH REDEVELOPMENT PROJECT AREA. Chairman Holcomb stated that this matter had been continued from the previous Board Meeting and since that time he and Vice Chairman Wheeler had met with Mr. Dominguez and had reviewed the plans and renderings of the proposed office buildings to be constructed. He said that he felt Mr. Dominguez was acting in good faith and that considerable money had been spent on the building to meet the conditions set forth for the sale of the Penney building and that the objective to develop the building into first class office buildings would be a great asset toward the improvement and revitalization of "E" Street. ] -.. i. .... .., ,I ..J [ ~ ! L.., [ ...... .. 4974 Mr. Dominguez stated that architectural drawings for the expansion and remodeling of the J. C. Penney Building to include the adjacent lot fronting on "E" Street was substantially complete and that he was prepared to proceed with the development as soon as the parking could be worked out satisfactorily. Chairman Holcomb stated that he felt the matter should be continued until after the Parking Place Commission had met and considered Mr. Dominguez' request to change the two hour parking to provide for all day parking as needed upon occupancy by the Developer. A Motion was made by Hobbs and seconded by Castaneda that the matter be continued to October 27, 1980, pending the Parking Place Commission's consideration of Mr. Dominguez' request that the parking agreement be amended and unlimited all day parking instituted. Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig and Hobbs. Noes: Strickler. Absent: Hudson. BID OF BEKINS MOVING AND STORAGE FOR THE RELOCATION OF BUD AMMONS TO THE SCHAFF BUILDING, 400 NORTH "F" STREET, OR TO TEMPORARY STORAGE, TO BE PAID FROM CITY PARKING DISTRICT FUNDS. Mr. Strickler made a request that he disqualify himself from the discussion regarding the Ammons relocation matter. Bud Ammons made a verbal request of the Board to allow him to remove certain properties located within the building which he is to vacate and move them to his new location. Chairman Holcomb informed Mr. Ammons that the City could not give away public property and that the furnishings and fixtures must remain in their present location. Mr. Shadwell presented the bid of Bekins Moving and Storage for the relocation of the business of Bud Ammons in the amount of $29,353.00. A Motion was made by Hobbs and seconded by Hernandez to accept the bid of Bekins Moving & Storage in the amount of $29,353.00 for relocation of the business of Mr. Walter L. "Bud" Ammons to the Schaff Building, or to temporary storage, to be paid from City Parking District Funds. Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Gerwig and Hobbs. Noes: None. Absent: Hudson and Strickler. AMENDMENT TO THE ADMINISTRATIVE BUDGET FOR FISCAL YEAR 1980/81. It was moved by Wheeler and seconded by Castaneda to adopt the following resolutilf'l amending the Administrative Budget to provide for the full time position of Account Clerk II and eliminating the temporary position of Account Clerk Typist. 4975 RESOLUTION NO. 4108 1 -J RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, PROVIDING FOR THE FULL TIME POSITION OF ACCOUNT CLERK II AND ELIMINATING THE TEMPORARY POSITION OF PART TIME ACCOUNT CLERK TYPIST AND AMENDING THE ADMINISTRATIVE BUDGET FOR FY 80/81 TO REFLECT THE SAME. Resolution No. 4108 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Hobbs. Noes: None. Absent: Gerwig, Hudson and Strickler. AMENDMENT TO THE DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND MC MAHON DEVELOPMENT COMPANY, HARCO SALES COMPANY, INC., AND RAY L. HUFFMAN CONSTRUCTION, INC.; DELETING RAY L. HUFFMAN CONSTRUCTION INC., FROM THE AGREEMENT; AND CHANGING REDEVELOPER TO ORANGE SHOW PLAZA ASSOCIATES, A LIMITED PARTNERSHIP. A Motion was made by Wheeler and seconded by Castaneda to adopt the following resolution authorizing the execution of an amendment to the Disposition Agreement. RESOLUTION NO. 4109 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF AN AMENDMENT TO THE DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND MC MAHON DEVELOPMENT COMPANY, HARCO SALES CO. INC., AND RAY L. HUFFMAN CONSTRUCTION, INC.; DELETING RAY L. HUFFMAN CONSTRUCTION, INC., FROM THE AGREEMENT; AND CHANGING REDEVELOPER TO ORANGE SHOW PLAZA ASSOCIATES, A LIMITED PARTNERSHIP. ... j Resolution No. 4109 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, and Strickler. Noes: None. Absent: Gerwig, Hudson and Hobbs. AMENDMENT TO THE DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND RICHARD L. SIKKENGA, PARTNER, AND ROGER R. JANKE, PARTNER, TO DELETE THE INTEREST OF RICHARD L. SIKKENGA, RELATING TO APPROXI- MA TEL Y 9.9 ACRES OF PROPERTY LOCATED IN THE SOUTHEAST INDUSTRIAL PARK PROJECT AREA. A Motion was made by Wheeler and seconded by Castaneda to adopt the following resolution authorizing the execution of an amendment to the Disposition Agreement. J "... '-' "..... ....... ,...... ~ 4976 RESOLUTION NO. 4110 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF AN AMENDMENT TO DISPOSITION AND JOINT DEVELOPMENT AGREEMENT BETWEEN THE REDEVELOPMENT AGENCY AND RICHARD L. SIKKENGA, PARTNER, AND ROGER R. JANKE, PARTNER; AND DELETING THE INTEREST OF RICHARD L. SIKKENGA AS PARTNER. Resolution No. 4110 was adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez and Strickler. Noes: None. Absent: Gerwig, Hudson and Hobbs. ANNUAL AUDIT REPORT OF EADIE &: PAYNE, CERTIFIED PUBLIC ACCOUNTANTS AND STATE CONTROLLER'S REPORT FOR THE YEAR ENDED JUNE 30, 1980. A Motion was made by Strickler and seconded by Hobbs that the reports be received and placed on file. The Motion carded by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Hobbs and Strickler. Noes: None. Absent: Gerwig and Hudson. GENERAL DISCUSSION REGARDING THE INDUSTRIAL DEVELOPMENT BOND (lDB) PROGRAM. Mr. James E. Iverson of Miller &: Schroeder Municipals Inc., and Mr. James Warren Beebe were present to answer questions of the Board regarding the Industrial Development Revenue Bond Program. Mr. Iverson presented for the review of the board a summary of the status of each of the projects for which the City of San Bernardino has approved applications or passed resolutions of intention for Industrial Development Bonds. A lengthy discussion followed regarding the Industrial Development Bond issue as it relates to the proposed Loma Linda University Medical Center financing. Mr. Beebe stated that it appeared more information was needed prior to any decisions of the Board but that due to the illness of one of the men who was responsible for gathering the data relating to the Loma Linda University Medical Center financing transaction, the information could not be available to the Board in time for consideration prior to this meeting. Therefore, Mr. Beebe suggested that the matter be continued to the next Board meeting. A Motion was made by Gerwig and seconded by Castaneda that the meeting be adjourned until 7:30 p.m. and the discussions regarding the IDB program be brought back at that time. The following vote was cast. Ayes: Castaneda, Gerwig and Strickler. Noes: Hernandez. Absent: Wheeler, Hudson and Hobbs. 1.-1- 1(-. U___I M r 1'iimi:i_-_t:rI_'~"It;Iij.1if iliiiW 4977 The meeting was adjourned at 6:10 p.m. RECONVENE MEETING ........ The Adjourned Regular Meeting of the Redevelopment Agency of the City of San Bernardino reconvened in the Council Chambers, City Hall, 300 North "0" Street, San Bernardino, California. ..... The Chairman called the meeting to order at 8: lOp. m. Roll Call was taken with the following being present: Chairman, W. R. Holcomb, Vice Chairman, Edward S. Wheeler, Jr., Richard F. Gerwig, John D. Hobbs, Robert A. Castaneda, Ralph Hernandez and Jack Strickler. Executive Director, R. E. Shadwell, Jr., Executive Secretary, Margaret Wasiloff, James E. Iverson and James Warren Beebe. Absent: Lionel E. Hudson and Agency Counsel, Wm. A. Flory. DISCUSSION REGARDING THE INDUSTRIAL DEVELOPMENT BOND PROGRAM. Mr. Iverson informed the Board that during the break for the dinner hour, he had talked with Mr. John Ruffcorn, Chief Administrative Officer of Lorna Linda University Medical Center regarding the possibility of Lorna Linda University Medical Center assisting in creating a General Reserve Fund for the City of San Bernardino's Industrial Development Bond financing program in exchange for the City's assistance in Lorna Linda's plan for a tenative bond issue program. ..... Mr. Ruffcorn informed Mr. Iverson that he would bring the matter to the attention of the Lorna Linda Board and contact him regarding their decision before the next Agency Board meeting. .."" A Motion was made by Wheeler and seconded by Hernandez to continue the matter to the next Board Meeting. The Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Hernandez, Hobbs and Strickler. Noes: Gerwig. Absent: Hudson. The meeting was adjourned at 8:45 p.m., to the next Regular Board Meeting of October 20, 1980, at 4:00 p. m., in the Council Chambers, City Hall, 300 North "0" Street, San Bernardino, California. ~ ...J r- ! ~ j '-- ",.. , \ "- ,..... . .~ 4978 MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, HELD ON OCTOBER 20, 1980. The Regular Meeting of the Redevelopment Agency of the City of San Bernardino scheduled for Monday, October 20, 1980, at 4:00 p. m. in the Council Chambers, 300 North "0" Street, San Bernardino, California, was adjourned to Monday, October 27, 1980 at 4:00 p. m., in the Council Chambers 300 North "0" Street, San Bernardino, California. ~~ ~ j,....~':i,1Il\iE11ll1 ~ ....", ~ ...." ~ """"