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Home My WebLink AboutBook 22 10/20/77 - 05/18/78 r ~ r" \......- [ 4450 MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO HELD OCTOBER 20,1977,300 NORTH "D" STREET, SAN BERNARDINO, CA. AT 3:00p.m. Chairman Green called the meeting to order at 3: 00 p.m. Roll Call showed the following: Agency Members Present: Blum, Obershaw, Hinojosa, Wilson, Guhin and Green. Agency Members Absent: Stephenson. Others: R. E. Shadwell, Jr. , Executive Director, Wm. A. Flory, Agency Counsel and Barbara Brown, Executive Secretary. MINUTES: The Minutes of October 6, 1977 were submitted for approval. Motion for approval by Wilson and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Ab- stention: None. Absent: Stephenson. Motion to continue amendment of Minutes of September 22, 1977 by Blum and seconded by Guhin until November 3, 1977. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: None. Absent: Stephenson. Mr. Green requested that the Expenditures for the month of September be continued until November 3, 1977. All board members concurred. PUBLIC HEARING-BUSSEY /HUDSON-SE CORNER OF 4th AND "H" STREETS, CENTRAL CITY PROJECT AREA. Mr. Green opened the Public Hearing at 3: 02 p . m. Mr. Bussey was not in attendance as he is ill and Mr. Hudson recently deceased. With no opposition or support voiced regarding the project, Mr. Green closed the Public Hearing at 3: 03 p.m. Mr. Green stated that he felt it appropriate under the circumstances to continue the Public Hearing until November 3, 1977. Motion to continue Public Hearing until November 3, 1977 by Wilson and seconded by Hinojosa. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: None. Absent: Stephenson. PUBLIC HEARING-SHANE REALTY - MEADOWBROOK PROJECT AREA. Mr. Green opened the Public Hearing at 3: 05 p.m. With no opposition or support voiced, excepting support Shane Realty, in attendance, Public Hearing closed at 3: 06 p.m. Mr. Obershaw inquired if the price being offered by Shane was fair and equitable and what the Agency formerly paid and was informed yes. Motion made to adopt the following resolution and direct staff to prepare Disposition Agreement for Shane Realty: 4451 RESOLUTION NO. 3462 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING THE SALE OF PARCELS 135-282-12,13,14,15,16 & 17, MEADOWBROOK PROJECT AREA, TO SHANE REALTY WHEREAS, the Redevelopment Agency of the City of San Bernardino, California, by the adoption of Resolution No. 3452, 10-6-77, received an Offer to Purchase from Shane Realty for Parcels 135-282-12,13,14,15,16 & 17, Meadowbrook Proj ect Area, and set a public hearing on said proposed sale; and WHEREAS, public disclosure of the Agency's intention to sell this property was made in accordance with Section 33431 of the California Health and Safety Code, and was published in the Sun Telegram on October 13 & 17, 1977; and WHEREAS, a Public Hearing regarding this proposed sale was held on October 20, 1977, in accordance with said Section 33431 of the California Health and Safety Code; and WHEREAS, the offering price of $25,312 appears to be an equitable purchase price for said parcel of land. NOW, THEREFORE, BE IT RESOLVED by the Redevelopment Agency of the City of San Bernardino, California, that the Chairman and Secretary are hereby authorized and directed on behalf of the Agency to enter into a Contract for Sale for Parcels 135-282-12,13,14,15,16 & 17, Meadowbrook Project Area, with Shane Realty for the purchase price of $25,312. BE IT FURTHER RESOLVED that the sale of this property is contingent upon a Public Hearing of the Mayor and Common Council, pursuant to Section 33433 of the California Health & Safety Code. Motion to adopt Resolution No. 3462 by Obershaw and seconded by Wilson. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: None. Absent: Stephenson. AWARD CONTRACT TO JESSE HUBBS & SONS FOR FUTUREX, INC. - SEIP. No discussion and the following resolution was adopted: RESOLUTION NO. 3463 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 GRADING FOR FUTUREX INDUSTRIES, INC. , IN THE AMOUNT OF $88,168.50, SOUTHEAST INDUSTRIAL P ARK REDEVELOPMENT PROJECT AREA. WHEREAS, due to the terms of the Agency's Disposition Agreement with Futurex Industries, Inc. , the Agency is obligated to provide grading for the site; and WHEREAS, the Agency, by law, advertised for bids for said work; and , -1 J ] [ r \.... [ 4452 WHEREAS, the firm of Jesse Hubbs & Sons submitted the best and lowest bid in the amount of $88,168.50; and WHEREAS, it is in the best interest of the Agency to accept said bid. NOW, THEREFORE BE IT RESOLVED by the Redevelopment Agency of the City of San Bernardino that the Chairman and Secretary be authorized to enter into Contract with Jesse Hubbs & Sons for grading for Futurex Industries, Inc. in the amount of $88,168.50, Southeast Industrial Park Redevelopment Project Area. Motion to adopt Resolution No. 3463 by Wilson and seconded by Obershaw. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: None. Absent: Stephenson. ENGINEERING CONTRACT-KRUEPER ENGINEERING-SEIP Mr. Green stated that now is the time to enter into Agreement with a professional engineering firm for services for the northeast corner of Agency property located in Southeast Industrial Park ( called the handle). Mr. Wilson inquired what ser- vices will be performed and was told that the contractor will determine the acreage with the contract covering all engineering services necessary to putting in the street, utilities etc. for the area. Mr. Obershaw asked if the price submitted was what the Agency staff had expected and was informed the staff finds it extremely difficult to estimate professional engineering services. Mr. Shadwell stated that the Agency was pleased with the amount submitted. The following resolution was adopted: RESOLUTION NO. 3464 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT FOR PROFESSIONAL ENGINEERING SERVICES TO KRUEPER ENGINEERING & ASSOCIATES IN THE AMOUNT OF $32,550.00. WHEREAS, the Agency has at this time a developer to be located in an area where engineering is now required of approximately 45 acres; and WHEREAS, the Agency requested and received five proposals from engineering firms; and WHEREAS, Krueper Engineering submitted the lowest and best proposal in the amount of $32,550.00; and WHEREAS, Krueper Engineering has assured the Agency that their firm will be able to meet all the terms and conditions as set forth by the Agency. NOW, THEREFORE, BE IT RESOLVED that the Chairman and Secretary be authorized to enter into Engineering Services with Krueper Engineering & Associates for the sum of $32,550.00 for engineering services of approximately 45 acres of land lo- cated within the Southeast Industrial Park. 4453 Motion to adopt Resolution No. 3464 by Obershaw and seconded by Wilson. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: None. Absent: Stephenson. CREDIT-RIVERSIDE CONSTRUCTION CO.-TRACT NO. 9418-BOBBY MCGEE'S-SEIP ~ ;1 ~ -"" No discussion and the following resolution was adopted: RESOLUTION NO. 3465 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE ACCEPTANCE OF A CREDIT FROM RIVERSIDE CONSTRUCTION CO. IN THE AMOUNT OF $1,869.00, SEIP. WHEREAS, the street lights were included in the contract for off-site improvements in Commercenter East; and WHEREAS, after contract was awarded, it was determined that the Agency could have Southern California Edison Co. install said lights for approximately 1/3 the amount it would cost to have the contractor perform the same service. NOW, THEREFORE, BE IT RESOLVED by the Redevelopment Agency of the City of San Bernardino that a credit be accepted from Riverside Construction Co. in the amount of $1,869.00. Motion to adopt Resolution No. 3465 by Blum and seconded by Obershaw. Motion carried J by the following vote, to wit: A yes: Blum, Obershaw, Hinojosa, Wilson, Guhin and .. ; Green. Nays: None. Abstention: None. Absent: Stephenson. AUTHORIZE STREET LIGHTS-SEIP- SOUTHERN CALIFORNIA EDISON COMPANY No discussion and the following resolution was adopted: RESOLUTION NO. 3466 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING PAYMENT TO SOUTHERN CALIFORNIA EDISON COMPANY FOR STREET LIGHTING ON TIPPECANOE, SAN BER- NARDINO, VICTORIA AND RICHARDSON AVENUES IN SOUTHEAST INDUSTRIAL PARK IN THE AMOUNT OF $9,115.00. WHEREAS, it has become necessary to install 30 street lights and 4 risers at the . above mentioned streets in Southeast Industrial Park Area; and WHEREAS, the lights will be installed and maintained by the Edison Co. and the ~~~e~f. San Bernardino will pay a flat rate of $5.70 per light, per month, including 1 NOW, THEREFORE, BE IT RESOLVED that the Redevelopment Agency of the City of ~ San Bernardino authorize payment t<;> Southern California Edison Company for street lighting in the amount of $9,115. [ [ [ 4454 BE IT FURTHER RESOLVED that Edison Company will reimburse the Agency the sum of approximately $16,000 after one year for construction of underground conduit, which the Agency is now installing under contract with Paige Electric Company. Motion to adopt Resolution No. 3466 by Obershaw and seconded by Blum. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: None. Absent: Stephenson. AWARD ENGINEERING CONTRACT TO KRUEPER ENGINEERING FOR PROFESSIONAL SERVICES FOR TRAFFIC SIGNS INTERSECTION TIPPECANOE/SAN BERNARDINO AND TIPPECANOE/VICTORIA FOR $5,600.00. Mr. Obershaw stated his concern regarding the cost of the lights. With no further discussion the following resolution was adopted: RESOLUTION NO. 3467 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT WITH KRUEPER ENGINEERING FOR TRAFFIC SIGNALS FOR AN AMOUNT NOT TO EXCEED $5,600.00, SEIP. WHEREAS, Krueper Engineering, at the Agency's request, has field reviewed the location where it is anticipated two traffic signals are to be constructed and in- stalled adjacent to the new Industrial Park Site on Tippecanoe Ave.; and WHEREAS, final cost of two traffic lights at the intersections of Tippecanoe and San Bernardino Avenue and Tippecanoe and Victoria Avenue will be $5,600.00 or $2,800 a piece; and WHEREAS, the anticipated time for preparation of plans would require from 4 to 6 weeks from initial go ahead to advertising period for construction. Kruper further suggests that a construction time period from 120 to 150 days be considered due to considerable back log of orders with the signal equipments controller manufacturers. NOW, THEREFORE, BE IT RESOLVED that the Redevelopment Agency of the City of San Bernardino authorize the Chairman and Secretary to enter into contract with Krueper Engineering for traffic signals at an amount not to exceed $5,600.00 in Southeast Industrial Park. Motion to adopt Resolution No. 3467 by Wilson and seconded by Blum. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: None. Absent: Stephenson. 4455 RENTAL AGREEMENT-ROLLING START INC. 560 West Fourth St. San Bernardino Mr. Green stated that this organization had requested use of Agency facilities located at 560 W. 4th St. Mr. Obershaw inquired if they would assume the usual insurance liability and was assured they would. The following resolution was adopted: ,., ,1 :H H fJ RESOLUTION NO. 3468 -II RESOLUTION OF THE REDEVELOPMENT AGENCY AUTHORIZING THE CHAIRMAN AND SECRET AR Y TO ENTER INTO RENTAL AGREEMENT WITH ROLLING START INC. , A NON PROFIT ORGANIZATION FOR AGENCY OWNED PROPERTY LOCATED AT 560 W. FOURTH STREET. CENTRAL CITY NORTH. WHEREAS, the Agency has been requested to allow usage of property located at 560 W. Fourth Street to Rolling Start Inc., a Non-Profit Organization for an office where they can coordinate affairs of the disabled in the community; and WHEREAS, Rolling Start Inc. , will pay rent in the sum of $1.00 per year, refur- bishing, utilities and phone use for a one year period. NOW, THEREFORE, BE IT RESOLVED that the Chairman and Secretary be authorized to enter into. Rental Agreement with Rolling Start Inc. a Non-Profit Organization for one year at 560 W. 4th St. , Central City North. BE IT FURTHER RESOLVED that Rolling Start Inc. will conform to all Agency re- quirements regarding liability insurance. -, 1 .... Motion to adopt Resolution No. 3468 by Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: None. Absent: Stephenson. COMMITTEE TO REVITALIZE "E" STREET BETWEEN COURT AND SIXTH STREETS Mr. Green informed the board that the City Council at their meeting of October 17, 1977 had formed a committee for the revitalization of "E" Street between Court and 6th Streets. Mr. Green stated at the council meeting that he would be happy to serve on the committee. The private sector of citizens who will serve on the board will be chosen at a later date. Mrs. Blum said she was happy to read the article in the Sun Telegram about the committee and would like to serve. Mr. Green then appointed Mrs. Blum, Mr. Obershaw and himself to serve on the committee. All members concurred. Mr. Flory, Agency Counsel informed Mr. Green that the resolution authorizing the forming of the committee would have to be adopted before the committee could be chosen. The following resolution was adopted: RESOLUTION NO. 3469 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN TO CREATE A COMMITTEE FOR THE REVITALIZATION OF "E" STEET, BETWEEN COURT AND SIXTH STREETS. , ~'~ g """" [ [ [ 4456 WHEREAS, the City Council at their regular meeting held October 17, 1977 authorized the appointment of a committee to revitalize "E" Street between Court and Sixth Streets; and WHEREAS, Councilmen Wheeler, Castenada and Katona were appointed to serve on said com- mittee, together with interested citizens of the community; and WHEREAS, Agency Chairman will designate certain Agency Board Members and Agency Staff Members to serve on said committee; and WHEREAS, said Agency Members and Staff will be named at the board meeting to be held October 20, 1977. NOW, THEREFORE, BE IT RESOLVED that the Redevelopment Agency Chairman be authorized to create a committee for the revitalization of "E" Street between Court and Sixth Street comprised of City Councilmen, City Staff, Agency Board and Staff Members and interested citizens of the Community to revitalize "E" Street between Court and Sixth Streets. Motion to adopt Resolution No. 3469 by Wilson and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: None. Absent: Stephenson. Mrs. Blum stated that she would like for Mr. Huddleston to serve on the committee representing part of the private sector. Mr. Green told Mrs. Blum he would submit Mr. Huddleston's name to the Mayor. Mr. Green again appointed Blum, Obershaw and himself to serve on committee, representing the Agency. ACCEPT REFUND FROM SOUTHERN CALIFORNIA EDISON CO. FOR COMMERCENTER -SEIP No discussion and the following resolution was adopted: RESOLUTION NO. 3470 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO RECEIVING CREDIT FROM SOUTHERN CALIFORNIA EDISON COMPANY FOR AN ESTIMATED AMOUNT NOT TO EXCEED $7,964.20, COMMERCENTER, SEIP. WHEREAS, the Agency has installed underground conduit for Edison facilities at Commercenter, SEIP; and WHEREAS, said service was included with the Agency's Off-Site Improvements Contract; and WHEREAS, refund is compared as a percentage to utilities and is an estimate of the installation costs of the facilities; and WHEREAS, the percentage applied to the amount subject to refund will determine the amount of refund to be paid the Agency after 12 months of billing. 4457 NOW, THEREFORE BE IT RESOLVED that the Redevelopment Agency of the City of San Bernardino be authorized to receive credit from Southern California Edison Co. for an estimated amount of $7,964.20, Commercenter, Southeast Industrial Park ~ Redevelopment Project Area., Motion to adopt Resolution No. 3470 by Obershaw and seconded by Wilson. Motion carried..... by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: None. Absent: Stephenson. Mr. Green reminded all board members to check their calendars accordingly for the November 7, 1977 Joint Public Hearing where two very important items will be heard, i. e. , Merger of Meadowbrook and Central City Projects and consideration of three proposals for property on Second Street in Central City South Project Area. Mr. Obershaw introduced Mr. Hagen, a Licensed Real Estate Broker who then spoke on behalf of Mervyn's Department Store. He told the board that Mervyn's had been informed the property was sold. Now that they find out the property is still available, they are requesting, through Mr. Hagen, a 30 day extension in order to submit a proposal. Mr. Green informed Mr. Hagen that the formal way to conduct this order of business was for Mervyn's representatives to be at the Joint Public Hear- ing and make their request. Inasmuch as this is a Joint Public Hearing, the Agency can not speak as to what the Council's desire in the matter might be. Mr. Green also said that the Agency Staff had not been approached by Mervyn's with this latest request. At one time two developers were looking at the property, one Mervyn IS and the other was Petrolane/Santa Anita Corp. Mr. Obershaw stated that he wants Mervyn's J.! to be able to make their proposal. Mrs. Blum inquired what type of store Mervyn's ._ was and discussion followed. Agency Staff, after personally reviewing a store in Ful- lerton feels chain is of a quality less than Sears, but higher than Zodys or KMart. Mrs. Blum stated that she feels San Bernardino should definitely have a store of fine quality and is saturated with discount stores now. Mr. Green again stated that Mervyn's should personally appear at the Joint Public Hearing and submit their proposal, if any. Discussion regarding a committee finding of the 3 proposals submitted followed. Mr. Joe Baker from the Sun Telegram inquired if the meeting would be open. Mr. Green stated it would be, then reversed his decision inasmuch as many personal factors of the firm's financial status would be revealed at the committee meeting and Mr. Green felt it should not be made public. Mr. Baker stated he would be there. Mr. Green implored Mr. Baker not to attend as he would ask him to leave. Mr. Baker said he would be there anyway. Motion to adjourn at 3: 45 p.m. by Obershaw and seconded by Guhin. Motion carried by the following vote to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: No Absent: Stephenson. / R. E. Shadwell, Jr. Executive Director 1 ...;I r 1 -..., c [ 4458 MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY HELD NOVEMBER 3,1977 at 3:00 p.m. AT 300 NORTH "D" STREET, SAN BERNARDINO, CALIFORNIA. Chairman Green opened the meeting at 3: 07 p. m . Roll Call showed the following: Agency Members Present: Obershaw, Hinojosa, Wilson, Guhin and Green. Agency Members Absent: Blum and Stephenson. Others Present: R. E. Shadwell, Jr., Executive Director, Wm. A. Flory, Agency Counsel and Barbara Brown, Executive Secretary. MINUTES: Amended Minutes of September 22, 1977 were submitted for approval. Motion for approval by Obershaw and seconded by Wilson. Motion carried by the following vote, to wit: Ayes: Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: None. Absent: Blum and Stephenson. Minutes for October 13, 1977 submitted for approval. Motion for approval by Wilson and seconded by Obershaw. Motion carried by the following vote, to wit: Ayes: Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention None. Absent: Blum and Stephenson. Minutes for October 20, 1977 submitted for approval. Motion for approval by Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: None. Absent: Blum and Stephenson. Mrs. Blum arrived at 3:09 p.m. Expenditures for September, 1977 submitted for approval. Mr. Obershaw questioned the purchase of a lawnmower and was informed that it is used by Agency personnel to cut grass on Agency owned property. Expenditures then approved by Guhin and seconded by Wilson. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: None. Absent: Stephenson. PUBLIC HEARING-KENNETH BUSSEY- SE CORNER 4TH AND "H" STREETS. Chairman Green opened the Public Hearing at 3: 12 p.m. Mr. Hicks from Vanir Co. inquired what the purchase price per square foot Mr. Bussey was paying for the property and Mr. Shadwell replied $1.67. With no support or opposition to the Sale, Mr. Green closed the Public Hearing at 3: 15 p.m. Mr. Obershaw stated that while he had originally suggested a development on the specific property to Mr. Bussey, he felt the development should be sold at a higher price,. He further stated that he felt it was the Board1s duty not to merely accept every offer that came before the members and they should try to obtain . ....", ", '. ~'~~__"~_'_.",,-__o........,~--'-_~........._...:"~'.~__;"'_"""';":"""" . 4459 a better development or a higher price for the property. Discussion followed regarding the anticipated tax increment from Mr. Bussey's development, as related to other possible developments for the property. Mr. Obershaw said he would like Mr. Bussey informed the Agency wants at least $1.85 per square foot for the land. Mrs. Blum agreed with Mr. Obershaw's statement. Further dis- cussion disclosed the property has been held by the Agency approximately 9 years. At this point Mr. Wilson said he did not agree with Mr. Obershaw's position on the matter and Mr. Green stated he also opposed Mr. Obershaw on the matter. The following resolution was then adopted: .... ;~ ~ii ~~ -J RESOLUTION NO. 3471 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING THE SALE OF PARCEL 134-182-5 (SOUTHEAST CORNER OF 4TH AND "H" STREETS) CENTRAL CITY PROJECT TO KENNETH C. BUSSEY, AN INDIVIDUAL. Motion to adopt Resolution No. 3471 by Wilson and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Hinojosa, Wilson, Guhin and Green. Nays: Obershaw. Abstention: None. Absent: Stephenson. PUBLIC HEARING-HUNTLEY PROPERTIES-SEIP Mr. Green stated that the Sun Telegram had made an error in the advertising for the hearing in their newspaper and the Agency must readvertise. Mr. Green stated the Public Hearing be readvertised and rescheduled for Thursday, November 17, 1977 at 3: 00 p.m. The following resolution was adopted: ,., I ..., RESOLUTION NO. 3472 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, RESCHEDULING THE PUBLIC HEARING REGARDING THE SALE OF LAND LOCATED ON THE SOUTHEAST CORNER OF TIPPECANOE & VICTORIA, WITHIN THE SOUTHEAST INDUST- RIAL PARK TO HUNTLEY PROPERTIES. Motion to adopt Resolution No. 3472 by Blum and seconded by Obershaw. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: None. Absent: Stephenson. Mr. Baker from the Sun Telegram inquired if the newspaper was providing the readvertising at no cost to the Agency and was told yes. -. ; ....-J [ c [ 4460 CONTRACT FOR SALE-SHANE REALTY-MEADOWBROOK PROJECT Mr. Wilson asked what property Shane Bros. were buying and Mr. Shadwell informed him it was the northwest corner of Mt. View and Rialto Avenue. The following resolution was adopted: RESOLUTION NO. 3473 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO APPROVING THE CONTRACT FOR SALE BY AND BETWEEN THE REDEVELOPMENT AGENCY AND SHANE REALTY, MEADOWBROOK PROJECT, PARCELS 135-282, 12, 13, 14, 15., 16 and 17 . Motion to adopt Resolution No. 3473 by Obershaw and seconded by Wilson. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: None. Absent: Stephenson. AUTHORIZATION OF EXPENDITURE OF FUNDS TO RELOCATE ELKS BUILDING No discussion. The following resolution was adopted: RESOLUTION NO. 3474 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING EXPENDITURE OF FUNDS TO PAY FOR THE RELOCATION OF THE ELKS LODGE TO SAN BERNARDINO VAN & STORAGE FOR $38,005.14. Motion to adopt Resolution No. 3474 by Wilson and seconded by Obershaw. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: None. Absent: Stephenson. CHANGE ORDER NO. 3- RIVERSIDE CONSTRUCTION CO. -SEIP-PHASE I Mr. Green stated that the Contractor did not have the information at the time of the awarding of the contract necessitating this change order. No further dis- cussion and the following resolution was adopted: RESOLUTION NO. 3475 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING CHANGE ORDER NO. 3 TO RIVER- SIDE CONSTRUCTION CO. FOR $763.20 IN SUPPORT OF OFF-SITE IMPROVEMENTS ON VICTORIA AVENUE, SOUTHEAST INDUSTRIAL PARK. Motion to adopt Resolution No. 3475 by Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: None. Absent: Stephenson. 4461 AUTHORIZATION TO NEGOTIATE OFF-SITE IMPROVEMENTS-PAUL REED BUICK-SEIP Mr. Green explained to the Board that the Staff had advertised for bids and on the day of the bid opening. no bids were received. The staff wishes board authorization ].....J... to negotiate for a price from contractors. other than the normal bidding procedures .. inasmuch as no bids were submitted. Mr. Wilson inquired what the contract would involve. Mr. Jones. Director of Operations for the Agency stated that all water was blocked off. There has been severe problems arise with So. Cal. Edison Co. and the plans have had to be redone four times. The Agency is obligated to provide an access road and off-site improvement on "E" Street. i. e .. curbs. gutters. driveways etc. for the access road. The Board has previously approved the off- site improvements in the Owner Participation Agreement up to and not including the amount of $29.337.34. The staff will not accept an amount from any contractor over that amount on a negotiated basis. If. however. the staff is unable to negotiate a contract for that amount. Paul Reed will have to pay the difference or the Agency and City Council would have to amendment the Owner Participation Agreement. The following resolution was adopted: RESOLUTION NO. 3476 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE AGENCY STAFF TO NEGOTIATE A CONTRACT FOR THE INSTALLATION OF OFF-SITE IMPROVEMENTS FOR THE DEVELOPMENT OF PAUL C. REED AND BETTY J. REED. dba PAUL C. REED BUICK-OPEL AUTOMOBILE AGENCY IN THE SOUTHEAST INDUSTRIAL PARK. ~ ,J Motion to adopt Resolution No. 3476 by Obershaw and seconded by Guhin. At this time Mr. Wilson stated that he wanted to go out to bid again. Mr. Green explained to Mr. Wilson that time simply will not permit a rebid process. If the staff goes out for bid again. there will be no way that Paul Reed Development can open as scheduled. Motion carried by the following vote. to wit: Ayes: Blum. Obershaw. Hinojosa. Guhin and Green. Nays: Wilson. Abstention: None. Absent: Stephenson. CHANGE ORDER NO. I-HUBBS & SONS-FUTUREX-SEIP Mr. Green stated that during construction it was found that grades and soils were not as expected. Mrs. Blum inquired as to the cost of the import soil and was assured by both Mr. Green and other board members that the cost of import soil was very expensive and the price quoted by the contractor in the Change Order not out of line. The following resolution was adopted: RESOLUTION NO. 3477 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING CHANGE ORDER NO. 1 TO HUBBS & SONS FOR SITE GRADING CONTRACT FOR FUTUREX INDUSTRIES. INC. IN AN AMOUNT NOT TO EXCEED $7 .780.50. SOUTHEAST INDUSTRIAL PARK. --.. to .~ ~ ... [ r ~ r L 4462 Motion to adopt Resolution No. 3477 by Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: None. Absent: Stephenson. Mr. Green advised the board members that the Mayor had informed him, after having read an article in the Sun Telegram regarding the Central City South Offers, that he would push for acceptance of one of the Offers submitted at the Council Meeting Nov- ember 7, 1977 and reject the Committee's recommendation to readvertise for new Offers. Motion to adjourn by Wilson and seconded by Obershaw to the Adjourned Regular Meeting November 7, 1977 at 3: 00 p . m. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: None. Absent: S phenson. R. E. Shadwell, Jr. Executive Director ..., ....Ji ,.., , ~ ~ ... ~, ~i "?l ~ [ [ r L... 4463 MINUTES OF THE ADJOURNED REGULAR MEETING HELD IN THE COUNCIL CHAMBERS OF CITY HALL, NOVEMBER 7, 1977, 300 NORTH IIDII STREET, SAN BERNARDINO, CALIFORNIA AT 3: 00 P.M. Roll Call showed the following: Agency Members Present: Obershaw, Hinojosa, Wilson, and Green Agency Members Absent: Blum, Stephenson and Guhin. Mr. Green opened the Meeting at 3: 00 p . m . AMENDMENTS TO REDEVELOPMENT PLANS FOR MEADOWBROOK PROJECT AREA NO. 1 AND CENTRAL CITY PROJECT AREA NO.1, RELATING TO MERGER OF THE TWO PROJECTS INTO THE MEADOWBROOK -CENTRAL CITY PROJECT NO. 1 FOR FINANCIAL PURPOSES. Mr. Green stated that the boundary lines of Meadowbrook and Central City join along Second Street on the East side of IIEII Street and that a certain portion of Pacific Tele- phone Co. had relocated from the Central City Project into the Meadowbrook Project Area. This relocation changed the tax base in Central City by approximately 1Million Dollars. With this change in tax base, the Agency could no longer meet its bond indebtedness. Because of new legislation, mergers of project areas can be formed as is the case of the above mentioned merger. Mayor Holcomb then opened the Public Hearing on the Merger at 3: 04 p.m. The Mayor read into the Minutes the following: Approve actions as required by law and taken by the appropriate bodies as related to the Merger of the Meadowbrook Project No.1 and the Central City Project No.1 for financial purposes into the Meadowbrook-Central City Project No.1 were: 1. The Redevelopment Agency adopted Resolution No. 3441 on September 22, 1977, re- commending the Merger of the Meadowbrook Proj ect No.1, Calif. R -10, and the Central City Project No.1, Calif. R-79, for Financial purposes into the Meadowbrook-Central City Project No.1, recommending the adoption of Amendments to the Redevelopment Plans of said projects to effectuate the merger, and authorizing the preparation of an initial study. Submission of Amendments into the Record. Submission of Redevelopment Plan for the Meadowbrook Project No.1, Calif. R-IO into the record. Submission of the Redevel- opment Plan for the Central City Project No.1, Calif. R79 into the record. 2. The Redevelopment Agency adopted Resolution No. 3442 on September 22, 1977, consenting to holding a joint public hearing on the merger, the Environmental Impact of the Merger, authorizing the publication and mailing of notice, and directing that certain transmittals be made. Iln.. .T....._...;.,~ 4464 3. The Mayor and Common Council adopted a Minute Order on October 3, 1977, consenting to the holding of a Joint Public Hearing on the Merger. the Environ- mental Impact of said Merger, authorizing the publication and mailing of notice and directing that certain transmittals be made. .., 4. The Redevelopment Agency adopted Resolution No. 3346 on October 7, 1977 approving the initial study and directing the preparation of a negative declaration. :~l i +1 ..., 5. The Mayor and Common Council adopted Resolution No. 12986 on October 17, 1977, approving the initial study and directing the City's staff to assist in prepar- ation of a Negative Declaration. 6. Publication of Notice of Hearing on the Merger was done pursuant to the require- ments of law. Mailing of notice of hearing on the merger to the last known assessees of each parcel of land in each of the project areas and to the affected taxing agencies was done pursuant to the requirements of law. Submission of Proof of Publication and Affidavit of Mailing Notice into the Record. 7. Publication of Notice of Preparation of a Negative Declaration and the holding of a hearing thereon was done. pursuant to the requirements of law. Submission of Proof of Publication into the Record. 8. The Negative Declaration was made available to the public in sufficient time to provide an opportunity for members of the public to comment thereon, pursuant to the require- ments of law. Submission of Affidavit of Availability into the record. Submission of Negative Declaration and Initial Study into the record. .., a ~ 9. At this time the Mayor should inquire as to whether the City or Agency has re- ceived any comments on the Negative Declaration. If any such comments have been received. these should be placed into record along with any responses prepared by the Agency thereto. 10. All appropriate actions to arrive at this joint public hearing on the merger of the Meadowbrook Project No.1 and the Central City Project No.1 for financial purposes into the Meadowbrook-Central City Project No.1 have been completed and approved, as required by law. Chairman Green stated that the Agency had received no comments with reference to the Negative Declaration. The City Clerk read a letter from Marie B. Secor stating her dissatisfaction regarding the merger. Chairman Green stated that each Agency member had personally received and reviewed the amendments, initial study and negative declaration, and that the Agency had per- formed consistently and in the manner prescribed by law. -, ..." [ [ [ 4465 Mrs. Blum and Mr. Guhin arrive at 3:10 p.m. Mr. Green stated that the Agency's Bond Counsel, Mr. Beebe advised that the Agency must respond to the allegations in Ms. Secor's letter. Mr . Green stated that none of the Agency's staff were aware of the allegations in the letter. Mayor Holcomb said that he did not feel the letter had any bearing on the merger. Michael McCann of Miller and Schroeder, Agency Financial Consultant, James Warren Beebe, Agency Bond Counsel and Wallace Green, Agency Chairman sworn in by City Clerk. Mr. McCann informed the joint bodies that a letter dated April 28, 1977 from Standard & Poor's indicated that the Agency's financial status in the bonding industry was in jeopardy and that the Agency did, in fact, now have a Triple B rating, and that Standard & Poor's were awating the outcome of this Public Hearing regarding the merger to determine the Agency's future rating. Mayor Holcomb stated that a Triple B rating is not a good marketable rating. Councilman Katona inquired if the rating would improve with the merger and Mr. McCann stated that he felt the Triple B rating would still be imposed on the Agency by Standard & Poor's, but that it could be given an A Rating. Councilman Katona asked if the Agency could refinance or rebond and was informed that both Meadowbrook and Central City could be bonded. Mr. Beebe addressed joint bodies and explained the legalities in the documents before them to be acted upon. Councilman Katona inquired if the documents affects other project areas and was informed no. Chairman Green then read aloud the following: The Mayor and Council and the Agency, by separate resolutions, have approved an Initial Study which evaulated the environmental impact of merging these two project areas. Said Initial Study found and determined that the merger will not have a significant effect on the environment. Chairman Green asked for motion from Agency Board for adoption of Resolution No. 3478. Motion made by Obershaw and seconded by Wilson to adopt the following Resolution: RESOLUTION NO. 3478 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO APPROVING AMENDMENTS TO THE REDEVELOPMENT PLANS FOR THE MEADOWBROOK PROJECT NO. 1 AND THE CENTRAL CITY PROJECT NO.1, WHICH WOULD MERGE SAID PROJECTS FOR FINANCIAL PURPOSES INTO THE MEADOWBROOK -CENTRAL CITY PROJECT NO.1, APPROVING A NEGATIVE DE CLARA TION, AND DIRECTING THE FILING OF A NOTICE OF DETERMINATION. Motion carried by the following vote, to wi: Ayes: Green, Blum, Obershaw, Hinojosa, Wilson and Guhin. Nays: None. Abstention: None. Absent: Stephenson. 4466 Motion made by Wilson and seconded by Blum to submit signed and certified Resolution No. 3478 to the City Clerk. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: None. Absent: Stephenson. .., ij ~ jj ~ Motion made by Wheeler and seconded by Castaneda to adopt Resolution No. 13006 as follows: RESOLUTION NO. 13006 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO APPROVING A NEGATIVE DECLARATION AND DIRECTING THE FILING OF NOTICE OF DETERMINATION. Motion carried by the following vote, to wit: Ayes: Councilmen Castaneda, Wheeler, Katona, Gerwig, Hudson, Hobbs, Lackner. Nays: None. Absent: None. Motion made by Hudon and seconded by Hobbs to adopt Ordinance No. 3683, as follows: ORDINANCE NO. 3683 AN ORDINANCE OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO APPROVING AND ADOPTING AMENDMENTS TO THE REDEVELOPMENT PLANS OF THE MEADOWBROOK PROJECT NO. I, CALIF. R-I0, AND THE CENTRAL CITY PROJECT NO. I, CALIF. R-79, FOR FINANCIAL PURPOSES INTO THE MEADOWBROOK -CENTRAL CITY PROJECT NO.1. ] Motion carried by the following vote, to wit: Ayes: Councilmen Castaneda, Wheeler, Katona, Gerwig, Hudson, Hobbs, Lackner. Nays: None. Absent: None. Public Hearing closed at 3: 25 p.m. PUBLIC HEARING CENTRAL CITY SOUTH PROPERTY. Mayor Holcomb made a statement regarding the Committee's recommendation to go back to bid and not accept any proposals submitted. The Mayor urged the Council to hear any other new proposals. Councilman Katona stated he would have to disqualify himself. Mr. Green stated that the Agency would have to open a Public Hearing. Motion made by Obershaw and seconded by Blum to open the Public Hearing at 3: 45 p.m. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, and Guhin. Nays: None. Abstention: Green. Absent: Stephenson. Councilman Castaneda asked the Mayor if he was abolishing the committee he set up ] himself and was informed by the Mayor no, he simply wanted both bodies to hear the proposals and new ones. if submitted. .! Discussion between Green and Obershaw inasmuch as Obershaw was one of the [ [ [ 4467 committee persons who recommended a rebid. Mr. Obershaw informed Mr. Green that he thought this was the only way to hear new proposals. Councilman Hobbs voiced his displeasure over the procedure and stated he did not see the need for the Public Hearing. Discussion followed between Councilman Gerwig and the Mayor. Motion made by Ger- wig and seconded by Councilman Castaneda to refer matter back to the committee for further review. Motion carried by the following vote, to wit: Ayes: Castaneda, Gerwig, Hobbs, Lackner. Noes: Wheeler and Hudson. Absent: Councilman Katona. Mayor Holcomb vetoed the motion. Robert D. Curci of Central City Company presented an amended proposal. Attorney Allen Gresham, representing Central City Company read and explained the proposal to both bodies. Discussion between Mayor and Curci regarding the total commitment if a 4th department store is built at a later date. Mr. Gresham went into further detail of the Curci proposal. Discussion regarding Performance Bond to protect Agency if developer can It deliver his proposal at a later date. Discussion between Mrs . Blum and Mr. Curci regarding the quality of department store and/or structure to be built by Curci. Mrs. Blum wanted to know if the Agency and Council would have any jurisdiction. Mr. Curci again referred to his proposal. Mrs. Blum asked if the Agency could choose and Mr. Curci said yes, if there were more than one to chose from. Taxes on the property in question discussed. Curci proposal includes paying the taxes on the land after they acquire it. Councilman Hudson advised Mr. Curci that he should inform the Agency that his proposal follows the original plan of development. Mr. Curci concurred. Mayor Holcomb asked if there were other proposals. Mr. Mike Patton of Santa Anita Development Corporation stated that his company was submitting a proposal and that his company was a development, and not speculators. Mr. Patton submitted his proposal. Mayor informed Mr. Patton that his corporation should offer some type of Performance Bond. Mr. Patton stated that he felt the improvements that would go on site immediately were more than adequate to serve as a Performance Bond, as they would have approximately 160,000 dollars in improvements. Frank Dominguez from Vanir Research introduced himself and referred to his development. He stated he had been out of town and did not have time to prepare a new or amended proposal. Discussion between Mayor and Dominguez regarding his original proposal. 4468 Mayor Holcomb stated that both bodies had heard the proposals and that he feels the offers should be continued to another meeting and all offers considered again by the commi ttee . ., n I' I f ..-j Discussion between Mr. Green and Attorney Gresham concerning deposits. The Mayor stated that all offers had considerable merit and that he would like for the Agency to set a final date for the offers to be received and considered, then return to the Council for final ratification and approval. Attorney Gresham stated that Central City Company would leave their $25,000 deposit with the Agency to be deposited into a savings account and asked that persons from the audience be allowed to speak in favor of the Central City Company proposal. Frederick Rubel, Verne Potter, Harold Harris, James Seville, Robert Reynolds, Bill Harrison, Kathy Adkins and Bernard Belton all spoke. Motion made by Obershaw and seconded by Hinojosa to refer the matter back to the committee, as recommended by the Mayor. Mayor then stated that he feels a time limit should be put on the time for review. Mr. Hinojosa then withdrew his second. Mr. Wilson seconded Mr. Obershaw's motion.Mrs. Blum left the meeting at 5: 00 p.m. Motion as follows: That all proposals be received by the Agency no later than 3: 00 on November 14, 1977. After review, all proposals will be reviewed and the committee's recommendation given to the joint bodies for approval at a Joint Public Hearing to be held November 21,1977 at 3: 00 p.m. in the Council Chambers of the City Hall. Motion carried by the following vote, to wit: Ayes: Green, Obershaw, Hinojosa, Wilson and Guhin. Nays: None. Abstention: None. Absent: Blum and Stephenson. J Discussion regarding guidelines to be set for new proposals. Mayor assures developers that they will have the information November 8, 1977. He further stated that the Re- development Agency would have the information to them even if he had to give it to them himself. Motion to adjourn till November 21, 1977 at 3: 00 p.m., Council Chambers by Obershaw and seconded by Wilson. Motion carried by the following vote, to wit: Ayes: Green, Obershaw, Hinojosa, Wilson and Guhin. Abstention: None. Absent: Blum and Stephenson. f . E. Shadwell, Jr. Executive Director ] [ [ [ 4469 MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO HELD NOVEMBER 17,1977 AT 300 NORTH "D" STREET, SAN BERNARDINO, CA., AT 3: 00 P.M. Vice-Chairman Blum called the meeting to order at 3: 01 p.m. Roll Call showed the following: Agency Members Present: Obershaw, Hinojosa, Heller and Blum. Agency Members Absent: Wilson, Guhin and Green. Others Present: R. E. Shadwell, Jr. , Executive Director, Wm. A. Flory, Agency Counsel and Barbara Brown, Executive Secretary. MINUTES: Mrs. Blum stated that she would like to take the opportunity to introduce and welcome Mr. Lionel S. Heller as a new member of the Redevelopment Agency Board. Minutes of November 3, 1977 submitted for approval. Motion to approve by Obershaw and seconded by Hinojosa. Motion carried by the following vote, to wit: Ayes: Obershaw, Hinojosa, Heller and Blum. Nays: None. Absent: Wilson, Guhin and Green. Expenditures for October, 1977 submitted for approval. Motion to approve by Ober- shaw and seconded by Hinojosa. Motion carried by the following vote, to wit: Ayes: Obershaw, Hinojosa, Heller and Blum. Nays: None. Abstentention: None. Absent: Wilson, Guhin and Green. PUBLIC HEARING-HUNTLEY PROPERTIES-SEIP-OFFICE BUILDING AND WAREHOUSE Mrs. Blum opened the Public Hearing at 3: 05 p.m. With no opposition or support voiced for the development the Public Hearing was closed at 3: 06 p.m. CONTRACT FOR SALE-HUNTLEY PROPERTIES-OFFICE BUILDING AND WAREHOUSE-SEIP. Mr. Guhin arrives at 3: 06 p.m. No discussion and the following resolution was adopted: RESOLUTION NO. 3479 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING THE SALE OF THE SOUTHEAST CORNER OF TIPPECANOE AVE. & VICTORIA AVE., CONSISTING OF APPROXIMATELY 1.38 ACRES, SOUTHEAST INDUSTRIAL P ARK TO HUNTLEY PROPERTIES. Motion to adopt Resolution No. 3479 by Obershaw and seconded by Hinojosa. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa and Heller. Nays: None. Abstention: Guhin. Absent: Wilson and Green. 4470 AUTHORIZE LIONEL S. HELLER TO COUNTERSIGN AGENCY CHECKS AND VOUCHERS No discussion and the following resolution was adopted: -, RESOLUTION NO. 3480 .....J RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, DESIGNATING CHECK SIGNERS AND COUNTERSIGNERS FOR AGENCY CHECKS AND VOUCHERS. Motion to adopt Resolution No. 3480 by Guhin and seconded by Obershaw. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa and Guhin. Nays: None. Abstention: Heller. Absent: Wilson and Green. CONTRACT AMENDMENT NO. l-KRUEPER ENGINEERING-PAUL REED BUICK-SEIP Mrs. Blum referred the matter to Mr. Shadwell who explained because of the access road authorized in the OP Agreement, a problem has arisen, specifically with one of the utility companies. Mr. Obershaw inquired if the price is within reason and was informed yes. Mr. Heller asked if the price was for engineering costs only and was informed yes. The following resolution was adopted: RESOLUTION NO. 3481 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT AMENDMENT NO.1 WITH KRUEPER ENGIN- EERING FOR $1,220.85, PAUL REED BUICK/OPEL, SOUTHEAST INDUSTRIAL PARK. --. ....., Motion to adopt Resolution No. 3481 by Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Guhin, Heller, Hinojosa and Obershaw. Nays: None. Abstention: None. Absent: Wilson and Green. GLIDER & ASSOCIATES CONSULTANT AGREEMENT Mr. Obershaw asked Mr. Glider, who was in attendance at the meeting, who his Associates were. Mr. Glider replied that the & Associates merely reflected the clients he has acquired and hopes to acquire. There are no actual associates doing business with him. He is operating strictly as an individual consultant. The following resolution was adopted: RESOLUTION NO. 3482 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING A CONSULTANT AGREEMENT WITH GLIDER & ASSOCIATES FOR INDUSTRIAL MARKETING SERVICES. ,.. Motion to adopt Resolution No. 3482 by Obershaw and seconded by Hinojosa. Motion carried by the following vote, to wit: Ayes: Obershaw, Hinoj osa, Heller, Guhin ..... [ [ [ 4471 and Blum. Nays: None. Abstention: None. Absent: Wilson and Green. Mrs. Blum welcomed Mr. Glider and stated that she was hopeful he would bring a lot of industry to San Bernardino. Mr. Glider thanked Mrs. Blum and the other board members. Mr. Heller stated that he has worked with Mr. Glider with the Chamber of Commerce and that Mr. Glider has a leading reputation as a marketing representative in the Southwest part of the country. AUTHORIZE RETURN OF DEPOSIT TO V ANIR DEVELOPMENT CO. CENTRAL CITY SOUTH No discussion. The following resolution was adopted: RESOLUTION NO. 3483 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA RECEIVING V ANIR RESEARCH COMPANY'S WITHDRAWAL OF THEIR OFFER TO PURCHASE PROPERTY LOCATED WITHIN CENTRAL CITY SOUTH AND AUTHORIZING THE RETURN OF THEIR OPTION DEPOSIT. Motion to adopt Resolution No. 3483 by Guhin and seconded by Heller. Motion carried by the following vote, to wit: Ayes: Blum, Guhin, Heller, Hinojosa and Obershaw. Nays: None. Abstention: None. Absent: Wilson and Green. RESOLUTION RECOGNIZING BOARD MEMBER WAYNE E. STEPHENSON. No discussion. The following resolution was adopted: RESOLUTION NO. 3484 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, HONORING MR. WAYNE E. STEPHENSON , PAST BOARD MEMBER AND CHAIRMAN AND REC- OGNIZING HIS DEPARTURE WITH REGRET. Motion to adopt Resolution No. 3484 by Heller and seconded by Obershaw. Motion carried by the following vote, to wit: Obershaw, Hinojosa, Heller, Guhin and Blum. Nays: None. Abstention: None. Absent: Wilson and Green. Mr. Heller spoke very highly in his regard for Mr. Stephenson. MOTION TO AUTHORIZE WRITTEN APPROVAL OF MANUFACTURERS TRUST AS LENDER FOR CONSTRUCTION FINANCING FOR TRINITY DEVELOPMENT-CENTRAL CITY PROJECT Mrs. Blum referred to Agency Counsel Flory. Mr. Flory stated because of legal verbage, this letter written by signature of Agency Executive Director to above mentioned lender is necessary. Merely a formality, nothing more, as the Agency has no real interest in who the lender is. Motion to authorize approval of lender of Trinity Development by Obershaw and seconded by Guhin. Motion carried by the following vote, ~o wit: Ayes: Blum, Guhin, Heller, Hinojosa and Obershaw. Nays: None. Abstention: None. Absent: Wilson and Green. 4472 APPROVE REQUEST FROM CENTRAL CITY COMPANY FOR USE OF AGENCY OWNED LAND FOR THE CHRISTMAS HOLIDAY SEASON. No Discussion and a motion was made by Obershaw and seconded by Guhin granting permission to the Central City Co. use of Agency property located between 2nd and Rialto, "F" and "G" Streets from approximately November 25, 1977 through January 10, 1978 for parking for both mall customers and mall employees. Motion carried by the following vote, to wit: Ayes: Obershaw, Hinojosa, Heller, Guhin and Blum. Nays: None. Abstention: None. Absent: Wilson and Green. Mr. Heller asked if this matter had been cleared with the Police Department regard- ing traffic control and Mr. Shadwell informed him it had been. Mr. Obershaw inquired about dust control. Mr. Shadwell stated that the area would be striped and oiled. The city will do the work, bill the Agency and the Agency will, in turn, bill Cen- tril City Company for the expenses. The same provisions were allowed Central City Company last year for the holidays. Necessary liability insurance will be provided by Central City Company. Mrs. Blum inquired if any other business needed to be discussed. Mr. Baker inquired if the Glider Contract would go to the Council for approval and was informed yes. Mr. Obershaw inquired as to the duties of the Equal Opportunity Officer employed as an Agency employee. Mr. Shadwell informed Mr. Obershaw that the duties were not necessarily the hiring of minority employees by the Agency, but to keep a care- ful check on the contractors working under the jurisdiction of the Agency. It is the Agency's responsibility to see that the proper percentage of minorities are hired, correct hourly wages paid, all documents kept under Agency control, plus numerous other duties, all which fall within the work duties of the Equal Employment Officer. Mrs. Blum informed Mr. Obershaw that the Agency has always had an Equal Employ- ment Officer. Mrs. Blum then asked for a motion for adjournment. Motion to adjourn made by Hinojosa and seconded by Obershaw. Motion carried by the following vote, to wit: Ayes: Obershaw, Hinojosa, Heller, Guhin and Blum. Nays: None. Abstention: None. Absent: Wilson and Green. Adjournment till November 21, 1977 at 3: 00 p.m, Council Chambers. Mrs. Blum reminded all members of the meeting set for Monday, November 21st, 1977 at 3: 00 p.m. in the Council Chambers. t. R. E. Shadwell, Jr. Executive Director ..... ~ ..." , ~ ...., .. ;1 -'" [ [ [ 4473 MINUTES OF THE ADJOURNED REGULAR MEETING OF THE REDEVELOPMENT AGENCY AND JOINT PUBLIC HEARING HELD NOVEMBER 21, 1977 AT 3: 00 P.M. , 300 NORTH "D" STREET, COUNCIL CHAMBERS, SAN BERNARDINO, CALIFORNIA. Chairman Green called the meeting to order at 3: 18 p.m. Roll Call showed the following: Agency Members Present: Blum, Obershaw, Hinojosa, Wilson, Heller, Guhin and Green. Agency Members Absent: None Others Present: R. E. Shadwell, Jr. , Executive Director, Wm. A. Flory, Agency Counsel, Barbara Brown, Executive Secretary and Phylis Arden, Public Stenographer. MINUTES: Chairman Green requested that the Council move to Item No.5 on their Agenda for the sale of property in Central City East to the City of San Bernardino. The documents necessary to be acted upon were to have been prepared by City personnel. The documents were not prepared for review and the Council moved to Item No. 4 on Council Agenda, i. e . , Sale of Property in Central City South. Mr. Green stated that now was the time and place to consider the sale of property bounded by Second, "F" and "G" Streets and Rialto Avenue. Councilman Katona stated that he would have to disqualify himself from voting on this item inasmuch as he owns 10% of a piece of property located within Central City South . Mr. Green asked the Mayor to open the Public Hearing. Mayor opened the Public Hearing at 3: 21 p.m. Mr. Green stated that he had previously been a member of the committee, and subse- quently the chairman of the committee appointed to review the Offers to Purchase for the aforementioned land from developers. However, he has been out of town and in his absence was replaced by Board Member Lionel S. Heller. He further stated that Mr. Guhin had been appointed Chairman of the Committee and referred the matter to Mr. Guhin. Mr. Guhin stated that the committee met with all the members appointed, including newly elected member Heller and representatives of the 3 firms submitting Offers to Purchase. Vanir Research Co. withdrew their proposal by letter, on file in the Agency. Petrolane and Santa Anita Development Corp. stated that they could not comply with all of the terms, as set forth at the previous Public Hearing held November 7, 1977 and therefore withdrew their offer. Central City Company was the only devel- oper able to meet the terms and conditions set forth. Motion made by Obershaw and seconded by Councilman Wheeler that Central City Company's offer be presented to 4474 to the full Agency Board and City Council at the Public Hearing on November 21, 1977 at 3: 00 p.m. , as the most acceptable developer for the land. Mr. Green asked if anyone in the audience was against the sale of land to Central City Company. He then asked if anyone was in favor of the sale of land to Central City Company. With no opposition or support voiced regarding the sale to Central City Company the Public Hearing was closed at 3: 20 by motion from Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. Mr. Green then asked for amotion acknowledging receipt of recommendation of the Committee formed to review the Offers to Purchase and further moving that their recommendation be followed. Motion by Wilson and seconded by Obershaw. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Heller and Guhin. Nays:. None. Abstention: Green. Absent: None. Motion by Wilson and seconded by Blum to adopt the following resolution: RESOLUTION NO. 3485 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING THE SALE OF THAT PROPERTY WITHIN THE BLOCK BOUNDED BY SECOND STREET, "F" AND "G" STREETS AND RIAL TO AVENUE, CENTRAL CITY SOUTH TO CENTRAL CITY COMPANY. The above mentioned motion was carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. Mayor Holcomb asked if anyone in the audience wished to be heard. No support or opposition voiced and Mayor Holcomb closed Public Hearing at 3: 30 p.m. Councilman Hobbs spoke against the proposal and acceptance of Central City Company because of their lack of hiring of minorities. Mr. Curci addressed Councilman Hobbs by stating that Central City Company does not control the merchants in the Mall. They lease out the space but do not dictate their hiring practices. However, Mr. Curci stated that Central City Mall currently has a 39 percent minority employment rate. Central City Company's Offer to Purchase voted on by Council, receiving a 6 to 0, with Councilman Katona abstaining. Motion to adjourn requested by Mr. Green. Motion to adjourn at 3: 33 p.m. by Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. Executive Director ..... 11 I ...."" ., .~ ....JJ , ..." [ [ [ 4475 MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO HELD THURSDAY, DECEMBER 1, 1977 AT 300 NORTH "D" STREET, SAN BERNARDINO, CA. AT 3: 00 P.M. Roll Call showed the following: Agency Members Present: Obershaw, Hinojosa, Wilson, Guhin and Green. Agency Members Absent: Blum and Heller Others Present: R. E. Shadwell, Jr. Executive Director, Wm. A. Flory, Agency Counsel and Barbara Brown, Executive Secretary Mr. Green opened the meeting at 3: 00 p . m. Minutes of November 7, 1977 submitted for approval. Motion for approval by Wilson and seconded by Obershaw. Motion carried by the following vote, to wit: Ayes: Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: None. Absent: Blum and Heller. Minutes of November 17, 1977 submitted for approval. Motion for approval by Obershaw and seconded by Guhin. Motion carried by the following vote, to wi t: Ayes: Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: None. Absent: Blum and Heller. Minutes of November 21, 1977 submitted for approval. Motion for approval by Guhin and seconded by Hinojosa. Motion carried by the following vote, to wit: Ayes: Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Absent: Blum and Heller. CONTRACT OF SALE FOR 11.39 ACRES TO HUNTLEY PROPERTIES, INC. FOR DEVELOP- MENT OF INDUSTRIAL F ACILITIES-SEIP . Mr. Green explained that the sale had been approved at the Public Hearing recently held by the Mayor and Council. This development was originally to be a furniture factory, but time has become a deciding factor in the development thus far. In the meantime, Huntley Properties, Inc. , has a developer ready to commence construction upon approval of Agency and Council and another developer they are currently finalizing negotiations with. Mrs. Blum and Mr. Heller arrive at 3: 04 p.m. Mr. Green further explained the development to Mr. Heller, who was not a Board Member at the original conception of the furniture factory development and Public Hearing. Mrs. Blum asked if the Agency was committed to any manufacturer at this time and was informed no. With no further discussion the following resolution was adopted: RESOLUTION NO. 3486 RESOLUTION OF THE REDEVELOPMENT AGENCY APPROVING THE DEVELOPMENT OF 2 INDUSTRIAL FIRMS ON PARCEL NO. 281-041-12 IN LIEU OF 1 PREVIOUSLY APPROVED FOR SALE TO HUNTLEY PROPERTIES, INC., LOCATED WITHIN SOUTH- EAST INDUSTRIAL PARK PROJECT AREA. 4476 Motion to adopt Resolution No. 3486 by Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. ~ CONTRACT OF SALE FOR PARCELS 135-092-20, 21 and 22 TO FBV INVESTMENT PROPERTIES, INC. FOR DEVELOPMENT OF AN OFFICE BUILDING, CENTRAL CITY EAST. -- Mr. Green explained that the initial development was 24,000 sq. ft. and sold for $50,000 which represented 1 year and 3 months of tax increment. The developers were unable to secure one major occupant and have been unable to rent the entire space, therefor they re- quest a reduction in space of the development. There will be very little change in the costs. Tax increment for the new proposed development will represent 1 year and 9 months of tax increment. Mr. Green further stated that he feels the development will be beneficial to the area. Mrs. Blum asked what the projected tax increment would be and was informed $21,340 annually. The original annual increment was $29,640; an approximate $8,000 per year change in increment. Mr. Heller asked what the Agency paid for the property. The cost to the Agency was $1.75 per square foot. Motion made to adopt resolution by Obershaw, seconded by Wilson. Mr. Green cautioned the Board that before they acted on the motion, Agency Staff feels that some time schedule should be stipulated. Mr. Beresford, one of the developers, stated that construction would probably start March 1, 1978. He said the plans are nearly ready, but they are still soliciting tenants for the building. Mr. Green stated the Agency has a deposit of $2,500.00 for the property. Mr. Heller stated that he would like something in writing to the effect that the developer will have certain terms and conditions to meet, otherwise the $2,500.00 will be forfeited to the Agency. Mr. Obershaw then amended his motion, as follows: "The Developer will forfeit their deposit in the amount of $2,500 if they fail through their own fault to close escrow on or before March 1, 1978 and commence con- struction within 30 days after close of escrow. Mr. Wilson seconded the motion. The following resolution was adopted: ..., ...., RESOLUTION NO. 3487 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA APPROVING A REVISION IN THE DEVELOPMENT PROPOSED FOR PARCEL NOS. 135-092-20, 21 and 22, CENTRAL CITY EAST, UNDER ESCROW WITH FBV INVESTMENT PROPERTIES, INC. Motion to adopt Resolution No. 3487 by Obershaw and seconded by Wilson. Motion carried by the following vote, to wit: Ayes: Obershaw, Blum, Hinojosa, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. APPROVE OPTION TO PURCHASE ACREAGE IN STATE COLLEGE REDEVELOPMENT PROJECT AREA FOR INDUSTRIAL DEVELOPMENT. Mr. Green stated that the Agency is negotiating with at least two industries to locate within .... the State College Project Area and feels the Agency should commence negotiation ~ with the owners of property in question in the area. He stated that he would like authorityj from the Board to negotiate for an Option to Purchase and bring the docume~tation back before the Board for further approval. Mr. Obershaw inquired about appraIsals for [ [ [ 4477 the property and Mr. Green responded by stating that he feels the Agency should obtain authority from the board to acquire appraisals. Motion made by Wilson and seconded by Blum to authorize the Chairman and Secretary to proceed with negotiations for Options to Purchase properties in the State College Project and to obtain appraisals if and when necessary. Motion carried by the following vote, to wi t: Ayes: Blum, Obershaw, Hinojosa, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. Mr. Heller inquired how much the land would cost and where would the Agency acquire the funds to pay for the land. Mr. Green stated the funds will come from bonds or short term loan notes. Sometime between now and the end of March, 1978, the notes for State College Park will be rolled into long term bonds or short term notes. Our financial consultant will advise the Agency accordingly at the time, but the funds for acquisition of the property will in certainty come from bond sales. AUTHORIZE CITY OF SAN BERNARDINO TO UTILIZE AGENCY OWNED PROPERTY FOR PARKING DECEMBER 14, 1977. Mr. Green stated that the City has requested use of Agency owned property adjacent to the new Senior Citizens Center December 14, 1977 for parking. The city will clean the area and furnish the Agency the necessary insurance. No further discussion. Motion made by Obershaw and seconded by Heller to authorize City use of Agency owned land for parking December 14, 1977. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. Mrs. Blum inquired about Alexander/Weissman's development. She stated that she received a telephone call from a person who heard that the facility would not be open for at least 2 years. Mr. Green informed Mrs. Blum that he had discussed with Mr. Alexander, who willingly came to his office with information that all plans would be in the hands of the necessary parties by Dec. 7, 1977 and they would also be delivered to HUD by that date for final review by HUD. At the same time, they would start final plan check through the City. A 30-45 day dealy will undoubtably be necessary for a final commitment and the developers should break ground by March I, 1978. Mr. Baker inquired how long for completion and Mr. Green, requesting he not be quoted, replied approximately 1 year. Mrs. Blum asked if they were taking applications and Mr. Green stated he did not know, but would acquire the inform- ation. Mr. Baker inquired if the Huntley Properties, Inc. , Contract of Sale previously discussed would go to Council for approval and was informed yes. Motion by Heller and seconded by Obershaw for adjournment at 3: 26 p.m. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. ~~f<<- Executive Director ~ 'WIllI .... ...." ... ;t n ....J r ...... [ [ 4478 MINUTES OF A SPECIAL MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, HELD IN THE CITY OF SAN BERNARDINO COUNCIL CHAMBERS, 300 NORTH "D" STREET, SAN BERNARDINO, CALIFORNIA, DECEMBER 12, 1977, AT 4: 00 P .M. Roll Call showed the following: Agency Members Present: Green, Blum, Guhin, Obershaw, Heller, Hinojosa & Wilson. Agency Members Absent: None Also Present: R. E. Shadwell, Jr., Executive Director; Wm. A. Flory, Agency Counsel; and Mrs. Baxter, Admin Asst. Mr. Green opened the Redevelopment Agency meeting at 4: 07 p . m ., and announced that this Special Meeting was duly called for the purpose of approving the Convention Exhibition Center Hotel Operating Agreement and the Disposition Agreement for same. Mr. Green explained that much time has been spent negotiating these two documents. The Disposition Agreement is to be executed by the Agency, the City and the developer. The Convention~Exhibition Center, Hotel Operating Agreement, is to be executed by the City and the developer. Although the Agency is not a party to the Operating Agreement it is our intention to approve its contents and refer the agreement to the City for their approval and execution. Mr. Green further explained that these proceedings are not to be considered as the Public Hearing regarding the conveyance of the land and air rights. A duly advertised Public Hearing must still be held by the Agency and the City to finalize the actual conveyance. Mr. Green stated that he will also be asking the Council today to extend the pay~off date of that loan previously approved by Council resolution. The pay-off date is now December 15, 1977. The Agency has not yet taken the loan, therefore an extension is apparent. Mr. Green stated that Councilman Katona previously submitted a list of questions regarding the documents and that Mr. Beebe, Agency Special Counsel, will answer those questions during the course of this meeting. Mr. Green asked for questions or comments from the Council. Councilman Gerwig asked about the parking allocation for the hotel development. He stated that the Disposition Agreement allows for the rental by the developer of an additional 100 parking spaces, over and above those 500 already allocated within the Agreement. It was explained that these 100 additional spaces may be rented to the developer, upon their request, at locations other than the parking structure. 4479 Change No.1: After review, the following change was agreed upon and directed to be made in the Disposition Agreement. Page 9 (h): "(h) In addition to the foregoing five hundred (500) parking spaces, the Redeveloper may rent from the City up to one hundred (100) parking spaces, at convenient locations not necessarily in the garage facilities, on an as available basis for employees, restaurant patrons, and registered hotel guests at the rates established by the City." ~ ....., Councilman Hudson referred to the Disposition Agreement, Pages 7 - 10, Sections 5.02 - 5.13, "perpetual rights". Mr. Beebe explained that the granting of "perpetual rights" to the developer for certain items are necessary in order for them to be able to build the hotel. For example, they must have perpetual rights to the Air Rights, restaurant facilities, lobby, etc. Without these things a hotel will not work. Councilman Hudson asked about security for the hotel referred to in the Operating Agreement, Page 7 (F). This section states that "the City will cooperate with the Operator so that its police and other security forces may be most advantageously used for protection and security of the complex and all persons who may be in or using same." The Mayor explained that it is the responsibility of the City to provide adequate security throughout the City. Mr. Beebe explained that the hotel security will be taken care of by the Operator. Change No.2: After review, it was determined that the words "most advantageously" should be stricken from Page 7 (F), of the Operating Agreement, (paragraph set forth above) . --- Discussion ensued regarding Page 18, Article XIII "Taxes" , in the Operating Agreement. Mr. Green explained that the land upon which the Convention-Exhibition Center and the 5-level parking structure is built, will remain in the ownership of the City, and therefore will not be taxed. The Hotel Operators will be paying possessory interest tax on the Convention-Exhibition Center. Section 13.05 refers to this possessory interest tax. They will also be paying property tax on the hotel. ...J Councilman Gerwig stated that the Parking Place Commission is asking for $32,000 from tax payers for security of parking areas. Councilman Gerwig stated that if this passes, he believes that the hotel operators should also be levied a portion of this tax because of the security necessary for the parking allocated to the hotel. All agreed that this would be only fair. Change No.3: After review, the following underlined addition was made to the Disposi- tion Agreement, Page 9 (f): "(f). Because there is ........ . However , if the City does charge other business a specified rate for the use of the parking spaces in the Garage Facilities, or for security therein, the City may charge the Redeveloper a rate which shall be no greater than the most favorable rate available to other businesses in the area .... . . . . . . imposed by the City." _r, ,] ... [ [ [ 4480 Mr. Beebe answered questions posed by Councilman Katona last week. In the Operating & Disposition Agreement. the term "demised premises" is used. Mr. Beebe stated that this term has been taken out of the agreements. In the Operating Agreement: Who is responsible for washing windows in the convention center? Washing of the outside is the responsibility of the City - washing of the inside is the responsibility of the Operator. Who is responsible for windown breakage? The City is responsible. Section 8: 02. Approvals by the City. Mr. Beebe explained that the City does have approval over the type of conferences and the rates charged by the operator for use of the convention-exhibition center. Section 11.1. Coverage to be Provided (Insurance). Mr. Beebe explained that the operator pays for fire liability and comprehensive insurance for both the convention- exhibition center and the hotel. The City will provide the insurance for the parking garage. as they do now. Section 13.04 (A) (2). Allocation of Real Property Taxes. Mr. Beebe explained that this paragraph was added in the event of a new taxation law. there will be proper allocation of taxes. Employment of present City Convention Center Employees? Mr. Green explained that there is not a section dealing with the ,retention of the present employees. He further stated that in various meetings. it was brought out that it is their position to retain the present employees to the extent that they qualify. It was determined that a Memorandum of Understanding should be prepared setting forth this provision. Section 14.01. Utilities. All utilities to be used at the Convention-Exhibition Center and hotel shall be paid for by the Operator. In the Disposition Agreement: Section 4.02. Advance of Money by City. The Agency will be paying back the $1.450.000 to the City with interest. This is set forth in a previous agreement executed by the City and Agency. (City Resolution No. 12880). Change No.4: After review. it was determined that wording should be, added to this section setting forth the interest that will be paid to the City by the Agency upon repaying of the funds advanced. Mr. Beebe stated that he would take the wordage directly from the City's resolution regarding the repayment and add it to this section. 4481 Councilman Katona asked if the operators will take possession of the equipment within the Convention Center. Mr. Green stated that point is not covered within the Agreements, but because of conversation at various meetings, it is assumed that all equipment and furnishings within the Convention Center will remain in the ownership of the City. .... ...", 4: 45 - Mr. Obershaw was excused from the meeting. Mr. Green asked if any members of the Agency Board wished to comment or ask a question. Board Member Heller referred to Page 5, Section 4.02 of the Disposition Agreement, Advance of Money by City. This money is to be used for the "Agency's Construction Fund" , to be held in trust, so that the money will be made available to the developer at the time required. Mr. Heller asked if this money was enough for the anticipated developments and does the developer have the right to ask for more funds. Mr. Green explained that the construction will cost far more than this amount of money. They have agreed to pay all funds in excess of the $1,450,000. The Mayor asked if there was anyone in the audience who wished to comment. No com- ments were voiced. The following Agency resolution was introduced: RESOLUTION NO. 3488 -- RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING THE CONVENTION- EXHIBITION CENTER, HOTEL OPERATING AGREEMENT AND THE DISPOSITION AGREEMENT FOR SAME, AND AUTHORIZING THE CHAIRMAN AND SECRETARY TO EXECUTE SAID DISPOSITION AGREE- MENT, FOR THE DEVELOPMENT OF A HOTEL WITHIN THE CENTRAL CITY PROJECT AREA ...",j Motion was made by Wilson and seconded by Blum authorizing the adoption of Reso- lution No. 3488, with the understanding that the four (4) changes noted within this meeting are made as directed. The motion was carried by the following vote, to wit: Ayes: Wilson, Blum, Guhin, Hiller, Hinojosa and Green Noes: None Abstention: None Absent: Obershaw The following resolutions were introduced by the Mayor and Council: RESOLUTION NO. 13072 RESOLUTION OF THE CITY OF SAN BERNARDINO AUTHORIZING THE .. EXECUTION OF A DISPOSITION AGREEMENT WITH THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AND THE GRAND HOTEL, L TD . , RELATING TO THE EXPANSION OF THE CONVENTION-EXHIBITION CENTER ....J r '-' [ [ 4482 RESOLUTION NO. 13073 RESOLUTION OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF AN OPERATING AGREEMENT WITH GRAND HOTEL, LTD., RELATING TO THE CONVENTION-EXHIBITION CENTER AND HOTEL Motion was made by Castaneda and seconded by Wheeler authorizing the adoption of Resolutions No. 13072 and 13073, with the understanding that the above mentioned changes will be made. The motion was carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Katona, Gerwig, Hudson & Lackner Noes: None Abstention: None Absent: Hobbs. Motion was made by Hudson and seconded by Castaneda authorizing an extension of 6 months to repayment date of that loan to be made to the Redevelopment Agency through City Resolution No. 12880. The motion was carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Katona, Gerwig, Hudson and Lackner. Noes: None. Abstention: None Absent: Hobbs. ADJOURNMENT: Motion was made by Wilson and seconded by Heller adjourning the Agency's Special Meeting at 4: 55 p.m. The motion was carried by the following vote, to wit: Ayes: Wilson, Blum, Guhin, Heller, Hinojosa and Green. Noes: None. Abstention: None. Absent: Obershaw. ~k?~ R. E. Shadwell, Jr. Executive Director -. ...." ...... ...., ... ..... r '-- [ [ 4483 MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO HELD DECEMBER 15. 1977 AT 3: 00 P.M. . 300 NORTH "D" STREET. SAN BERNARDINO. CALIFORNIA. Roll Call showed the following: Agency Members Present: Obershaw. Heller. Blum and Green. Agency Members Absent: Hinojosa. Wilson and Guhin. Others Present: R. E. Shadwell. Jr. . Executive Director. Wm. A. Flory. Agency Counsel and Barbara Brown. Executive Secretary. Mr. Green opened the meeting at 3: 08 p. m . Mr. Green stated that instead of the first matter of business being No. 1 on the Agenda. it was his request that the Board listen to Ms. Wilcox. representing the Chamber of Commerce requesting funds for a Rose Bowl Float. which would be a method of advertising for the City of San Bernardino. Mr. Green stated that the Agency. as such. would not receive the advertising. but the Agency. as well as the City. would benefit and he was receptive to Ms. Wilcox I s request. Ms. Wilcox addressed the board by stating that Mr. Green had summarized just about everything she wanted to say. Mr. Guhin arrived at 3: 09 p. m. Ms. Wilcox stated the City had obligated itself in the amount of $17.500 and private citizens and businesses had pledged all other necessary funding. excepting the amount of $4.000. Ms. Wilcox was hopeful the Agency would pledge $2.500 toward the $4.000 deficit Mrs. Blum stated that she felt the advertisement for the City would be a good thing if the expenditure of funds was legal. Mr. Flory informed Mrs. Blum it was a legal expenditure. Mr. Obershaw stated he worked with Ms. Wilcox on other organizations and therefore felt he should abstain from voting on the issue. Mr. Heller stated that he too had worked with Ms. Wilcox and felt he should abstain from voting. Mr. Green said he had counselled with Mr. Flory and forsaw no conflict of interest on the matter and there should be no legal reason for abstaining on the vote. as he himself felt he faced the same problem as Messrs. Obershaw and Heller. Mr. Heller expressed his concern regarding funding. Mr. Green explained the Economic Development Council. through request of the Mayor. would handle the funds. acting strictly as a holding agent for the money. Discussion revealed that the Agency has no advertising funds allotted in their budget. Mrs. Blum again stated she had concern regarding the legality of the matter and Mr. Flory assured Mrs. Blum that it was a legal expenditure. Motion made by Guhin and seconded by Blum to contribute $2.500 toward the construction of a Rose Bowl Float bearing the City of San Bernardino's name for advertising purposes with said Float appearing in the Rose Bowl Parade New Years Day. Mr. Heller again 4484 expressed his concern about the expenditure of the funds. He inquired if the Agency could not go back and ask the Mayor for the money. He also inquired as to the feelings the Agency's Executive Director had regarding the matter. He further stated that in his opinion the Agency would receive criticism for this expenditure of funds, in light of past criticism the Agency has received for lesser sums and reasons. Mr. Shadwell replied that it is a legal expenditure. Mr. Heller inquired if the Agency had spent funds in this manner before and the only time anyone could recall was the funds spent by Mr. Green on his trip to the east to promote the All America City, which was ultimately won by the City of San Bernardino. However, in the interim the Agency did receive bad publicity regarding the expenditure. Mrs. Blum stated that she felt very strongly about spending the taxpayers dollars, but in her mind, the float will represent everyone in the city, especially the taxpayers. Mr. Obershaw asked Ms. Wilcox if a committee had been formed to contact other public entities with regard to obtaining funds for the float and was informed that the overall business community had been very responsive to the Chamber's request for funds. Motion carried by the following vote, to wit: Ayes: Blum, Guhin and Green. Nays: None. Abstention: Obershaw and Heller. Absent: Wilson and Hinojosa. AMENDED OWNER PARTICIPATION AGREEMENT-MINI-WAREHOUSE-STATE COLLEGE PROJECT Mr. Green referred to the Memo prepared by the Executive Director for all Board Members previous review, which stated the problem very simply. The developer, because of unexpected costs, will eliminate some of the improvements and make up whatever money difference there is at their expense. -, ~ n i' ..,."J1 ~ ....J Mr. Carl Waelder addressed the board. He stated because of an error in the engineer's estimate, that certain improvements would be eliminated now on the area to be developed. The Planning Commission has already approved the changes, but the developers need both Agency and Council approval. At a later date, when the other area is ready for develop- ment it will be fully curbed, guttered etc. , the same as the area involved will be now. Mrs. Blum inquired if the other area would also be developed by Mr. Waelder. Mr. Waelder responded by stating that he was hopeful, but he could not definitely say at this time. How- ever, no matter who the developer would be, they would have to put in necessary improvements. Mr. Heller questioned Mr. Waelder about the sidewalk on Cajon Blvd. and was informed there was no problem with the Planning Department at this time. The following resolution was adopted: RESOLUTION NO. 3489 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA AUTHORIZING THE CHAIRMAN AND SECRETARY TO EXECUTE AN AMENDMENT TO THE PROPERTY OWNER'S PARTICIPATION AGREEMENT WITH MINI-SPACE, INC., STATE COLLEGE PROJECT AREA AND THE ENTERING INTO A CONTRACT WITH RIVERSIDE CONSTRUCTION COMPANY FOR THE INSTALLATION OF OFF-SITE IMPROVEMENTS RELATED TO SAID DEVELOPMENT FOR THE SUM OF $67,090.54. ~ ,.! ]; ..... [ [ [ 4485 Motion to adopt Resolution No. 3489 by Obershaw and seconded by Heller. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa and Wilson. AMENDMENT TO OFFICIAL PERSONNEL MANUAL. Mr. Green referred to the Memo which states the Equal Opportunity Officer's title will be changed to Contract Compliance & Equal Opportunity Officer. Mrs. Blum asked why the title was being changed and was informed the new title is more definitive in describing duties performed by Mr. Myers. There will be no salary change with the title. The following resolution was adopted: RESOLUTION NO. 3490 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING AMENDMENT TO THE OFFICIAL PERSONNEL MANUAL, CHANGING THE TITLE OF THE EQUAL OPPORTUNITY OFFICER TO CONTRACT COMPLIANCE & EQUAL OPPORTUNITY OFFICER. Motion to adopt Resolution No. 3490 by Obershaw and seconded by Heller. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa and Wilson. TIME EXTENSION-PAIGE ELECTRIC CO.-UNDERGROUND UTILITIES-SEIP Mr. Green stated that he felt the Memo was self-explanatory. Mrs. Blum asked if the time extension would pose a problem for the other contractors and was informed no. Mr. Jones addressed the Board and informed them that another contractor would be requesting a time extension, but no costs will be incurred because of the time extension. Mr. Shadwell referred to the liquidated damages clause that is included in the Contract Sped- fications protecting the Agency from unnecessary delays. The following resolution was adopted: RESOLUTION NO. 3491 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING CHAIRMAN AND SECRETARY TO ENTER INTO CHANGE ORDER NO. 1 WITH PAIGE ELECTRIC COMPANY FOR A TIME EXTENSION OF 41 DAYS DUE TO BAD WEATHER AND THE DELAY OF MATERIALS, SOUTHEAST INDUSTRIAL PARK PROJECT AREA. Motion to adopt Resolution No. 3491 by Blum and seconded by Obershaw. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller,Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa and Wilson. 4486 TIME EXTENSION-RIVERSIDE CONSTRUCTION CO.-PHASE I CONTRACT-SEIP Mr. Green referred the item to Mr. Jones. Mr. Jones informed the board that the reason for the delay was the problem in obtaining a contractor to do the underground utility work, ultimately awarded to Paige Electric Co. The time extension is not the fault of Riverside Construction Co. the following resolution was adopted: ., ;;1 W '1:1 ....J RESOLUTION NO. 3492 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CHANGE ORDER NO.4, RIVERSIDE CONSTRUCTION CO. , PHASE I, SEIP FOR 90 DAYS. Mr. Heller inquired if the occupancy factor could be changed and was informed no. Motion to adopt Resolution No. 3492 then made by Obershaw and seconded by Guhin. Motion car- ried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa and Wilson. TIME EXTENSION-RIVERSIDE CONSTRUCTION CO.- COMMERCENTER-BOBBY MC GEE'S, SEIP Mr. Jones informed the Board that the contract was complete. However, through an over- sight, the Change Order was not requested until after contract completion. The delay at the time was due to the Gas Company. There are no additional costs incurred in the Change Order. This action keeps the Agency files in proper order. The following resolution was adopted: ..... ~~ .J? '~1 ...... RESOLUTION NO. 3493 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CHANGE ORDER NO. 4 WITH RIVERSIDE CONSTRUCTION CO. FOR A TIME EXTENSION OF 106 DAYS, COMMERCENTER, SEIP, (BOBBY MC GEE'S CONGLOMERATION RESTAURANT). Motion to adopt Resolution No. 3493 by Heller and seconded by Obershaw. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa and Wilson. INCREASE IN CONTRACT-RIVERSIDE CONSTRUCTION CO .-FUTUREX- PHASE I-SEIP Mr. Green explained to the board that the installation of the railroad spur to service Futurex was not in the contractor's original contract. The Agency Staff was aware that this additional work would have to come back before the board at a later date for approval, but had to wait until a price was submitted. The contractor has offered to do the work for $10,725. and it is the opinion of the Staff that the cost is just reasonable. The follow- .... ing resolution was adopted: """'" [ [ [ 4487 RESOLUTION NO. 3494 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING CHAIRMAN AND SECRETARY TO ENTER INTO CHANGE ORDER NO. 5 WITH RIVERSIDE CONSTRUCTION CO. , FOR RAILROAD SPUR IN SUPPORT OF FUTUREX INDUSTRIES, INC., FOR $10,725.00 AND TIME EXTENSION OF 30 DAYS TO CONTRACT. Motion to adopt Resolution No. 4394 by Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa and Wilson. REFUND FROM SOUTHERN CALIFORNIA EDISON CO-SEIP With little discussion the following resolution was adopted: RESOLUTION NO. 3495 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA AUTHORIZING THE AGENCY TO ACCEPT REFUND FROM SOUTHERN CALIFORNIA EDISON COMPANY IN THE AMOUNT OF $17,604.80, SOUTHEAST INDUSTRIAL PARK. Motion to adopt Resolution No. 3495 by Blum and seconded by Heller. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa and Wilson. PAYMENT TO A. MERLE SESSIONS FOR LEGAL SERVICES..,CENTRAL CITY NORTH Mr. Green referred the item to Agency Counsel Flory. Mr . Flory informed the board that he tried to keep his Memp for their information, as simple as possible. It is a very complex difficult matter to comprehend because of all the legal ramifications. However, Agency Staff and himself felt Mr. Sessions was legally and morally due the payment for services rendered. During negotiations, it was brought to the staff's attention that payment was being made to Attorney Gresham for rendering legal advice and that Attorney Sessions could be used for the same advice, thus saving the agency legal fees. The Agency will eventually sue on this matter. Mr. Obershaw inquired if there was a chance the Agency might be reimbursed this fee and was in- formed yes, if the Agency should win the law suit. Mr. Green stated that he feels it is appropriate that the Agency pay Mr. Sessions. Mr. Heller inquired if Attorney Gresham would be the litigation lawyer when the Agency takes the case to court and 4488 and was informed yes. Mrs. Blum asked who would be sued as defendants in the case. Mr. Flory stated quote, everyone would be sued who was remotely involved in the case, but it would be difficult now to name the persons. The following resolu- tion was adopted: ., RESOLUTION NO. 3496 ......, RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING PAYMENT TO A. MERLE SESSIONS, ESQ. , FOR LEGAL SERVICES ON BEHALF OF THE AGENCY, CENTRAL CITY NORTH IN THE AMOUNT OF $2,995.00. Motion to adopt Resolution No. 3496 by Obershaw and seconded by Guhin. Motion car- ried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa and Wilson. CONTRACT OF SALE-CENTRAL CITY SOUTH Mr. Green stated he would like this item continued until the board meeting of January 19th, 1978. He further stated the continuance was through no fault of the staff and/or counsel. Motion for continuance until January 19, 1978 by Obershaw and seconded by Blum. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa and Wilson. Mr. Joe Baker, Sun Telegram reporter asked why the continuance was necessary and was informed by Mr. Green that the Central City Company attorneys needed the time to review all the documents. ~ ~ ....., AUTHORIZE PAYMENT TO THE CITY OF SAN BERNARDINO FOR STREET LIGHTING-SEIP Mr. Jones explained to the board this item had been approved by the board at a previous meeting, but had not been apprbved by the Council inasmuch as the Council felt the city could provide the maintenance for the lighting cheaper than Edison Co. Edison was paid for the installation for said lighting, but maintenance will be performed by the City. The following resolution was adopted: RESOLUTION NO. 3497 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO RESCINDING RESOLUTION NO 3466 AND AUTHORIZING PAYMENT TO THE CITY OF SAN BERNARDINO FOR STREET LIGHTING ON TIPPECANOE, SAN BERNARDINO, VICTORIA AND RICHARDSON STREETS, SEIP. Motion to adopt Resolution No. 3497 by Obershaw and seconded by Heller. Motion car- ried by the following vote to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa and Wilson. ~ ....J [ [ [ 4489 JOINT PUBLIC HEARING WITH MAYOR AND COMMON COUNCIL FOR APPROVAL OF CONVEY ANCE OF LAND FROM AGENCY TO CITY AND AIR RIGHTS FROM AGENCY TO DEVELOPER FOR HOTEL DEVELOPMENT. Mr. Heller inquired if the Public Hearing is unopposed, will the land go to the City and was informed the conveyance of land will be done at a later date. Mr. Shadwell spoke regarding the technicalities of the California Health & Safety Code. Mr. Green referred to the unique position in which the Agency finds itself inasmuch as the Disposition Agree- ment was approved prior to the Public Hearing. Mr. Green further stated that this is not the usual procedure. With no further discussion the following resolution was adopted: RESOLUTION NO. 3498 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, CONSENTING TO AND SETTING A JOINT PUBLIC HEARING REGARDING CONVEYANCE OF LAND AND AIR RIGHTS FOR THE DEVELOPMENT OF A HOTEL, CENTRAL CITY PROJECT AREA. Motion to adopt Resolution No. 3498 by Heller and seconded by Obershaw. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa and Wilson. OTHER BUSINESS: Mr. Obershaw relayed a discussion he had with Mr. Bussey regarding the price Mr. Bussey paid for property for a proposed motel in Central City Project R-79. The staff assured Mr. Obershaw that certain portions of his discussion with Mr. Bussey were erroneous and the price paid by Mr. Bussey was a concurred-in price set by HUd and had the Agency obtained a higher price, the Agency could not have realized the profit, as the amount over the concurred-in price would go to HUD and eventually come back to the City, not to the Agency. Recording Equipment changed at 4: 05 p. m. Mr. Obershaw stated that as a businessman he feels the Agency should try to obtain the highest price possible for the property the Agency sells. Discussion regarding developers the Agency deems not advisable for development. Mr. Heller asked if a developer could come before the board, after prior contact with Agency staff and present his development and was informed yes and has been done in the past. Mr. Baker questioned funds to ultimately come back to the City. Mr. Green explained the procedure to Mr. Baker's satisfaction. The Agency will eventually have to make up the difference in price for the Bussey development, which would have been a Finder's Fee in this particular transaction. Motion to adjourn at 4: 15 p.m. by Obershaw, vote. Absent: Hinojosa and Wilson. unanimous R. E. Shadwell, Executive Director ~ ....." ... J -J " .~ il ': ...." [ [ [ 4490 MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO HELD JANUARY 5. 1978 at 300 NORTH "D" STREET. SAN BERNARDINO. CA.. AT 3:00P.M. Roll Call showed the following: Agency Members Present: Blum. Obershaw. Wilson. Heller and Green. Agency Members Absent: Hinojosa and Guhin. Others: R. E. Shadwell. Jr.. Executive Director. Wm. A. Flory. Agency Counsel and Barbara A. Brown. Executive Secretary. MINUTES: ELECTION OF OFFICERS Motion made by Wilson and seconded by Obershaw to nominate and elect the present officers. Mr. Green stated he was agreeable to serve again as Chairman and Mrs. Blum stated that she too was agreeable to serve as Vice-Chairman. Motion unanimously carried. Abstention: None. Absent: Hinojosa and Guhin. APPROV AL OF MINUTES: Minutes of December 12. 1977 submitted for approval. Motion to approve Minutes by Obershaw and seconded by Heller. Motion unanimously. carried. Abstention: None Absent: Hinojosa and Guhin. Minutes of December 15. 1977 submitted for approval Motion to approve by Blum and seconded by Heller. Motion unanimously carried. Abstention: None. Absent: Hinojosa and Guhin. Mr. Obershaw mentioned the success of the San Bernardino Float in the Rose Parade. Mrs. Blum stated that she had received calls and also had people speak to her about the float. OPTION AGREEMENT-STATE COLLEGE PROJECT Mr. Green reminded the board that this item had previously been presented to the Board for authority to negotiate an Option Agreement. With no further discussion the following resolution adopted: RESOLUTION NO .3499 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO. CALIFORNIA. AUTHORIZING THE CHAIRMAN AND SECRETARY TO EXECUTE REAL ESTATE OPTION FOR THE PURCHASE OF PARCELS 266-072-63. 64. 65 and 66. CONSISTING OF 277.88 ACRES WITHIN THE STATE COLLEGE REDEVELOPMENT PROJECT AREA. Motion to adopt Resolution No. 3499 by Wilson and seconded by Heller. Motion carried 4491 by the following vote, to wit: Ayes: Blum, Obershaw, Wilson, Heller and Green. Nays: None. Abstention: None. Absent: Hinojosa and Guhin. Mr. Wilson inquired if appraisals will be made on subject property and was informed yes. Mr. Heller refered to cost of sewer line. Mr. Green stated that he forsees no problem. the Agency will be compelled to pay for the sewer line anyway. Mr. Flory then further explained the matter to the Board's satisfaction. ~ ....,,/II Mr. Guhin arrived, 3: 08 p.m. CONTRACT-ULTRASYSTEMS, INC., -E.I.R.-INDUSTRIAL AREA, STATE COLLEGE AREA Mr. Green stated that before development can commence, an Environmental Impact Report (E.I.R.) must be done. Mr. Obershaw asked if an E.I.R. could be done before the Agency purchases the property in question and was informed the property did not necessarily have to be "nailed down". Mr. Obershaw expressed his concern regarding the expenditure of funds for the E.I.R. Mr. Green explained to Mr. Obershaw that the Agency must enter into a contract in order to obtain the report before any developer can come in and develop the land. Mrs. Blum asked if Ultrasystems was the only firm capable of performing this type of work and was informed no, but they have done previous work for the Agency and their product was outstanding. No further discussion and the following resolution was adopted: RESOLUTION NO. 3500 " RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE CHAIRMAN AND SECRETARY TO EXECUTE CONTRACT WITH ULTRASYSTEMS, INC. FOR ENVIRONMENTAL IMPACT REPORT, INDUSTRIAL DEVELOPMENT AREA, STATE COLLEGE PROJECT AREA. , .F;; -.J Motion to adopt Resolution No. 3500 by Blum and seconded by Wilson. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa. APPROVE PRELIMINARY PLAN FOR PROPOSED NORTHWEST REDEVELOPMENT PROJECT AREA TO PREP ARE REDEVELOPMENT PLAN, REPORT AND E . I. R . Mr. Green referred to the boundaries and area on map. The Council has already adopted the proposed proj ect as a Survey Area and the Planning Commission has approved the Preliminary Plan. Now is the time for the Agency to properly finalize the necessary papers. Mr. Wilson inquired as to sum of such a project and Mr. Green stated that at this time, the exact cost is unknown. That is one of the primary reasons for a Plan and Report to determine the costs etc. , to adopt such a proj ect area. Mr. Wilson stated that he feels the Council may have to, at a later date, do the Survey in stages because of the magnitude of the boundary lines. Mr. Green stated that no actual completion time has been stressed. Mr. Heller asked if Community Development funds .., will be used at a later time because of the heavy residential ar~a and w",: informed the? J.'.. could be. Mr. Wilson inquired again about cost. Mr. Green sald approxlmately a maxlmu ... could be $250,000 and a minimum of $50,000 is estimated. Mr. Green also said there is n [ [ [ 4492 way to know the dollar amount until consultants submit proposals. Mr. Wilson asked where the money would come from to pay for the costs. . Mr. Green stated the Agency has no funds for this project and will be requesting funds from City sources. Mr. Obershaw inquired if CD funds could be used and Mr. Green replied that he did not know. Discussion followed regarding the language for the resolution to be adopted. Mrs. Blum said that it was her understanding that the Council wants the Agency to go ahead with the project. Mr. Green informed Mrs. Blum that the Council is aware that the Agency does not have the funds necessary for this proj ect and will be re- questing funding from the City. Mr. Flory informed the Board that before the Agency Staff hires a consultant, the Board and Council must approve the contracts. The follow- ing resolution was adopted: RESOLUTION NO. 3501 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO APPROVING THE PRELIMINARY PLAN FOR THE NORTHWEST REDEVELOPMENT PROJECT AREA. Motion to adopt Resolution No. 3501 by Guhin and seconded by Blum. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa. CONTRACT-ULTRASYSTEMS, INC. -E.I.R.-PROPOSED NORTHWEST PROJECT Mr. Green stated that the Resolution to be adopted regarding the above Contract should be amended to include language to protect the Agency regarding the cost of the funding of the project, etc. Mr. Wilson then referred to Resolution No. 3501 previously adopted by the Board. Mr. Green stated that Resolution No. 3501 would be amended to conform to the Resolution to be currently adopted by the Board. Mr. Baker, reporter, Sun Telegram, inquired if Ultrasystems could draft a report without a Plan and Mr. Green informed him theE.l. R. can be done without the Plan. Mr. Shadwell then stated that Ultrasystems can perform certain services before the Plan is adopted, but the E.I.R. cannot be completed before the Plan is finished. Mr. Shadwell further said that the E.I.R. must follow the City's Master Plan. Mr. Green referred to Mr. Flory, Agency Counsel for proper legal wording for amend- ment to the Resolutions in question. The wording must protect the Agency and let the Council know the Agency has no funds for any costs involved necessary to adopt the proposed Northwest Project. Mr. Flory dictated the following to Mrs. Brown for amending Resolutions: . " That the Mayor and Common Council furnish the necessary funds for the preparation of the Redevelopment Plan, Report and E .I.R. and all other costs incurred or to be incurred by the Redevelopment Agency, including administrative costs, consultant fees, attorney fees, PAC Committee fees and all other incidental and related costs incurred with the leading to final adoption of the Northwest Project Area. 4493 The following resolution was adopted: RESOLUTION NO. 3502 ~ RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO. CALIFORNIA AUTHORIZING THE CHAIRMAN AND SECRETARY TO EXECUTE CONTRACT WITH ULTRASYSTEMS. INC. . FOR ENVIRONMENTAL IMP ACT REPORT. NORTHWEST PRO- JECT AREA. ...,.j Motion to adopt Resolution No. 3502 by Wilson and seconded by Obershaw. Motion carried by the following vote. to wit: Ayes: Blum. Obershaw. Wilson. Heller. Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa. Mr. Baker asked what a PAC Committee was and Mr. Green said a PAC Committee is com- prised of people who participate in the activites of the area. if needed. my mandate of the Health & Safety Code. Mrs. Blum stated that it allows the people in the area to give input to project activities. CONTRACT AMENDMENT-C M ENGINEERING & ASSOCIATES - SEIP Mr. Green informed the Board that additional engineering will be necessary for the Southeast Industrial Park Project. The additonal work will include rail. grading. etc. Mr. Wilson asked if the price was consistent with the unit costs and Mr. Shadwell replied that it was. Mr. Obershaw inquired as to the time plus basis and Mr. Shadwell stated it was based on an hourly rate schedule attached to their proposal for the Board's review. The following resolution adopted: ~ 'i; ~ ...,j RESOLUTION NO. 3503 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT AMENDMENT NO. 3 WITH CM ENGINEERING ASSOCIATES IN AN AMOUNT NOT TO EXCEED $50.000.00 FOR SOUTHEAST INDUSTRIAL PARK. Motion to adopt Resolution No. 3503 by Obershaw and seconded by Guhin. Motion carried by the following vote. to wit: Ayes: Blum. Obershaw. Wilson. Heller. Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa. CONSTRUCTION EXTENSION-SINCLAIR PAINTS-CENTRAL CITY CO. With little discussion. the following resolution adopted: RESOLUTION NO. 3504 .... RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO. CALIFORNIA AUTHORIZING THE CHAIRMAN AND SECRETARY TO AUTHORIZE A 60 DAY EXTENSION FOR THE COMMENCEMENT OF CONSTRUCTION TO SINCLAIR PAINT COMPANY. ...,.j r ....., [ [ 4494 Motion to adopt Resolution No. 3504 by Obershaw and seconded by Heller. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa. AGREEMENT TO SELL PROPERTY -CENTRAL CITY EAST Mr. Green referred to the Memo for Board's previous review and stated that the City will purchase property from the Agency for $300,000 relative to the City-County Exchange. Mr. Obershaw asked if the Agency wasn't at one time going to donate the property and was informed yes. Discussion revealed that the Agency will be receiving $300,000 for the property. With no further discussion the following resolution adopted: RESOLUTION NO. 3505 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA AUTHORIZING EXECUTION OF A WRITTEN STATEMENT BY THE EXECUTIVE DIRECTOR AGREEING TO SELL PROPERTY TO THE CITY OF SAN BERNARDINO AT LESS THAN APPRAISED VALUE, CENTRAL CITY EAST. Motion to adopt Resolution No. 3505 by Wilson and seconded by Blum. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa. OTHER BUSINESS: Mr. Green stated an Offer to Purchase had been received by the Agency from Mr. Gigandet. After staff review, the Offer was denied and Mr. Gigandet requested an appearance be- fore the Board to resubmit his Offer. Mr. Gigandet introduced himself, distributed copies of his Offer to the Board and outlined his proposal. After Mr. Gigandet's proposal was heard, Mr. Green stated the reasons Agency staff rej ected the offer. First, the Agency paid $6.98 per sq. foot for the property; second, the appraised value is $73,000; and third, the Agency paid a total of $72,600 for the property. Mr. Gigandet's Offer is considerably less and totally unacceptable to the Agency. Mr. Green further stated that he does not feel that this Offer is feasible in any way for the Agency to accept. Mr. Gigandet again addressed the board, this time, quote, as a taxpayer, not a developer, by stating that he feels the Agency should accept the offer and not allow the property to lay fallow another 5 or 10 years, unquote. Mr . Green again stated the Offer was unacceptable and the Agency must stand on the appraised value of the land. Motion made by Obershaw and seconded by Wilson to rej ect the Offer, as submitted. Mr. Heller asked if the Agency has sold other property in the area in question for a comparable price. Mr. Green responded yes, but to developers who would bring a much larger development to the area. Mrs. Blum stated that it is true, the Agency has sold property for less than appraised value, but the tax increment would make up for the loss at a later date. Mr. Heller asked Mr. Gigandet if he had a firm appraisal. Mr. Gigandet referred to Mr. Morris Reynolds, employee of the County Right of Way Department. Mr. Reynolds addressed the Board. Mr. Wilson then questioned Mr. Reynold's status as a County employee and questioned whether Mr. Renolds was now on County and/or 4495 taxpayer's time and was informed no. Mr. Heller then suggested to Mr. Gigandet that he obtain a responsible appraiser and appraisal and resubmit his Offer to the Board. .,., Mr. Green said that one of the reasons the Agency sells at less than appraised value' is because of the 5 year tax increment program. Previous motion to reject the offer ....J by Obershaw and seconded by Wilson carried, to wit: Ayes: Obershaw, Wilson, Heller, Guhin and Green. Nays: None. Abstention: Blum. Absent: Hinojosa. Motion to adjourn to Adjourned Regular Meeting on January 9, 1978 in Council Chambers at 3: 00 p . m. by Obershaw and seconded by Guhin; Motion unanimously carried. Ab- stention: None. Absent: Hinojosa. .. ..... ..... ...", 4496 r L.... MINUTES OF THE. ADJOlJRNED REGULAR MEETING:HELD1N:. - CITY OF SAN BERNARDINO COUNCIL CHAMBERS , MONDAY, JANUARY ~" 19[78, 300 NORTH "DII &'!Ii'REET1,-tSAN,BERNARDINO" CALIFORNIA AT 3: 00 P.M. Roll Call showed the following: ,.-J .. Agency Members Present: Obershaw, Hinojosa, Wilson, Heller, Guhin and Green. Agency Membevs Absent: ,Blum.: - I I Others: R. E. Shadwell, Jr., Executive Director, Wm. A. Flory, Agency Counsel and Barbara Brown, Executive Secretary. _ ,;~.1 7: . - i.':" PUBLIC HEARING: iJ rConveyance: of land to.:the JJ.ity-j():(:S~ Bei1m~mihO and aar rights to the hotel developer. r' Mayor Holcomb opened the Public Hearing at 3: 10 p.m. " ) ! , r Mayor Holcomb made a brief opening statement as to the purpose of the meeting, ack- nowledging the presence of the Redevelopment Agency, proceeded to open the Hear- ing, and read into the record the following: 1. The Revised Official Redevelopment Plan, Central City Project No.1, Calif.--R-79 was apprdved by 'Ordinance No. 3059, datedM4~cn~~7, 1970. [ 2. That the proceedings have been taken to comply with the provisions of the California Environmental Act. , "i-t. ( r) _: 3. At a joint public hearing of the Mayor and Common Council and the Agency, held.November 7,1977 , the MeadowbrookPnoject NQ.:l, Calif.,R-lQ,,~q the.Centr~k City Project No.1, Calif. R -79, were merged for financial purposes in accordance with the provisions of Section 33470 through 33474 of the Health & Safety Code. Prior to the merger, all notices of hearing were mailed and published pursuant to the require- ments of law. - - . 4:~1I'At.:;a.rj oint: publi-c meeting' iof '.the:MaYQr ! and -Common C9~Il~it anc:1l Agepcy , held December 12, 1977, Resolutions were adopted setting this joint public hearing, notices of which were duly published according to.-law.'w.'J:he Gj.ty;Cler;k of :th~lJCity; of San Bernardino and/or the Redevelopment Agency made available for public in- spection and copying at'a cost not toexee.ed the cost of d1ilplication, at its 'offic;es., ')- at 300 North "D" Street, San Bernardino, Ca., the following documents: I 1.1 I f I a. A copy of the proposed Disposition Agreement. b " A Summary-Repo:rt which .epecifies: , 'j::: j (1)1. [The! ~ostQf :the sale by the,Redev;elqprn~~-Age~~y, '!!l~~g lfiPp,:-- acquisition costs, clearance costs, relocation costs, the cost of any im- r- provements to be provided by the Agency, plus the expected interest on t any loan or bonds to finance the sale. \- 4497 (2) The estimated value of the interest to be conveyed" ) (3) The price which the developer will be required to pay under the terms of the Disposition.A.g'reement~Inthe everlt the'total:.amouIH.is less than the fair market value of the interest to be conveyed, determined at the high- est and best use consistent with the Redevelopment Plan, the Agency shall provide as part of the summary an explanation of the reasons for the differ- ence. ... .",.,.. 5. All appropriate actions to arrive at this joint p1IL-'blic hearing ~o%VtlnnCol1~ i vention-Exhibition Center Hotel have been completed and approved, as required by law. ,-J-' 'Yj,~ .','j:;' ,J': . ~,.,')- J"; .:"-- Chairman Gl'''nstatedcthatol1 ~cembe.:tJ ~12 ,,1917 pduring,the'Jotnt:PublidRearingl,i-~ held that date, the Agency and Council did approve the Disposition Operating Agreement, but now is the time and place to legally ratify the aforementioned actions and make them effective; and stated that each Agency member had personally received and reviewed the documents, and, according to law, the Agency has performed consistently and in the manner prescribed. ''Jr. Ir~: 'LJ',' - (~ _ "" 1 ~'l ',~) . I;,' :.-:) 1 ~ ,: \ ro' ': r!. / _ -J j I r! Chairman Green then officially opened the Agency portion of the Public Hearing at 3: 15 p.m. Mayor Holcomb aske;'d if' anyone wanted to: testify on.rthei:n1l1tte~~ fand ilfrthey :did' ,I to, please come forward and be sworn in by the City Clerk. ~-;. :J:() ~ , ";?' r( r,~ -. . Jl " Mr. Norris Gregory, Agency Staff Personnel, sworn in at 3: 17 p.m. Mr. Gregory then officially read into the Minutes the attached Findings of Fact, shown as Exhibit "A". --. " ...", Mayor Holcomb ask:edif Mr. McCann of Miller & Sehroeder.Agency FinancialL60nsultants would testify and Mr. Green stated that Mr. McCann was unable to attend the meeting. ) ... r J -1j'~, ::. _,,': , _ t' j 1 ~ " ," ," '1 IJ: L. } ) ;: .::!~ :-~) ~.'-:,' :. ~ ; ; ~ J :~" [T.) I .~ .: ';'. _ '~ ::- Mayor Holcomb asked if anyone from the City wished to testify. No response. .. '-~:"-"J; 1 '; '.) Councilman Gerwig questioned the necessity for today's proceedings. Mr. Green stated that thislpartictilarIFublic -Hearing iSlthe official Public Hearing and 'aB,testimoiiey and documents must be placed into the record. Mr. Prince. City Attorney, also responded simila:rlt to 'the:Cotindl.ri1an' s statement. _ "; '>:: J, :.' ~; ~ James Wctrr~rt(H~JHe. ,6f)JJ:lam.gSlWa.rren(eee11eI;>a.>l.aw(cr:dl'p0h7ation~f;ttJ!e1 ~gjet1dy.r'1s. Bomber Counsel. having been previously sworn in, addressed both bodies stating that there should be introduced into the record the Summary Report referred to by the Mayor. He then stated that there is one other finding that has to be made and, for this finding, information developed at past meetings back to JUnel 6th. can be used i r The financing of this project has been discussed at considerable length, and at one, (June 6th) , the meth88ofprocedute tlieri:pl"6posea,W~s :to hav:e a lease arnan:gment:with.the City. '0', i'f')",' n , ~ ..." [ [ [ 4498 It was determined at that time that such method would not be feasible nor would general obligation bonds be feasible. Revenue bonds would not be a feasible way to proceed. because of the "presently' adverse revenue; picture. and. of. course. 'arr assessment dis- trict is not in the cards for this type of project which will presumably benefit the whole City. These considerations at the June 6 meeting. resulted in a determination to have the Redevelopment Agency sponsor the project and the documents have been re-drafted to so provide. These documents were the way that the financing was presented at the mid-December meeting. So. it has already been determined by the City and the Agency at previous public meetings that no other reasonable means for financing the project are available to the community. This makes it appropriate to adopt resolutions to this effect. Mayor inquired if anyone in the audience wished to be heard on the matter . Mr. Bryan 'Burton. ,675 No. Arrowhead Ave.. San Bernardino. CA., addressed both bodies. He voiced his objections to the loan the City is making to the Agency for the hotel, refer- ring to said10Em as flseed"money. He also stated that he wanted his comments to go into the record. Councilman Katona stated that he had questions regarding the bonding procedure. Coun- cilman Katona said that Mr. Beebe mentioned something about bonding and that maybe Mr. Beebe better explain to the Council again. Verbatim as follows: Katona: What kind of bond.ing are we going to have? You know. first. we were going to go Parity Bonds and that fell by the wayside. whats this. a leaseback or what kind of bonding program is it going to be? You said a bonding program and I missed what Mr. Gregory brought up in his minutes. Green: I think I can explain it, but I think I better refer that question to Mr. Beebe and let him explain it to you. Katona: Right, asked him the question. let him answer. Beebe: You remember back on June 6. the program at that time was presented that had been developed. involved a lease back. Katona: Right. in which the city would have been liable for rent payments which would have been sufficient to finance the bond issue. Beebe: At the meeting on June 6, after considerable discussion here between your Body and the Agency. that concept was changed so that the financing for the Convention- Exhibition Center part of the complex would be financed by Redevelopment Agency Bonds. We did not at that time have the merger. Katona: Thats right. Beebe: Subsequent to that, Central City and Meadowbrook were merged. Now they are merged for financing purposes. the next step will be probably. if the market is appropriate, to refund those bonds that are outstanding and. in that process. get enough extra money to pay back the City for the loan. Katona: O.K.. the RDA is handling the funding, but what type of bonds are they going to be? Beebe: They would be ordinary Tax Allocation. Katona: Just ordinary Tax Allocation Bonds? O.K.. just so we know. Councilman Katona then referred to Mr. Burton's remarks by stating that he felt the City Council and Agency Board had done a good'job regarding the funding for the hotel. Mr. Green then referred to Mr. Flory, Agency Counsel. who formally introduced the following Financial Summaries: "Summary of Financial Aspects of Proposed Conveyance of San Ber- nardino Redevelopment Agency Air Rights Site to Grand Hotel. Inc. , California Corporation Located in Meadowbrook-Central City Project 4499 No. 1 for a Convention-Exhibition Center and Hotel." "Stimmanyof Financial Aspects of proposed Conveyance of. San Bert },. nardino Redevelopment Agency Real Property Located in Meadowbrook- Central City Project No.1 to City of SaniBernardinofor a,Convention- Exhibition Center and Hotel. II ~ ~'~J .n ....., ,I Chairman Green closed the Agency portion of the Public Hearing at 3: 34 p.m. The Agency Board adopted the following resolution: 'I RESOLUTION NO. 3506 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO APPROVING; THE :(i;ONVEYANCEOF, LAND- TO THE CITY OF SAN BERNARDINO AND AIR RIGHTS TO THE SAN BERNARDINO GRAND HOTEL , INC 0 , AND RATIFYING APPROVAL OF THE CQNVENTION- EXHIBITION CENTER, HOTEL OPERATING AGREEMENT AND THE DIS- POSITION AGREEMENT FOR SAME, AND AUTHORIZING THE CHAIRMAN AND SECRETARY TO EXECUTE SAID DISPOSITION AGREEMENT FOR THE DEVELOPMENT OF A HOTEL WITHIN THE CENTRAL CITY -MEADOWBROOK PROJECT NO 0 10 _~JC ~_'"".J ;'1""._ .1 . '~)L:' .J!" .- 'I Motion to adopt Resolution No 0 3506 by Obershaw and seconded by Wilson 0 Motion car- ried .bY the following vote, to wit: Ayes: Obershaw, Hinojosa,i Wilson, Heller, Guhin and Green. Nays: None. Abstention: None 0 Absent: Blum 0 I I ': . .: I~ ~ , ...., ..J Resolution No. 3506 presented to City Clerk by Ms 0 Brown, Agency Executive Secretary. - - Mayor Holcomb closed City portion of Public Hearing at 3: 47 p om. _r _ , City Attorney Prince stated that the City's resolution for the Agenda approving the con- veyance bf ail/rights for the hotel development has an incorrect legal description and will be retyped and read for the Council Meeting of January 23,1978. The following City resolution was adopted: - ,'\ :. - '.:. .., RESOLUTION NO 0 13105 ;{ RESOLUTION OF THE CITY OF SAN BERNARDINO CONSENTING TO AND APPROVING THE EXPENDITURES OF FUNDS BY THE REDEVELOPMENT AGENCY FOR THE INSTALLATION AND CON- STRUCTION OF PUBLIC IMPROVEMENTS IN THE CENTRAL CITY- MEADOWBROOK PROJECT AREA NO. I, AND FINDING THAT SAID PUBLIC IMPROVEMENTS WILL- BE A BENEFIT TO SAID PROJECT AREA 0 (Health and Safety Code Section 33445) 0 :!-.; rj! ., ii ~ ...", Councilman Castaneda made a motion, seconded by Councilman Wheeler and unanimously carried that further reading of the resolution be waived and said resolution adopted 0 4500 Resolution No. 13105 adopted by the following vote, to wit: Ayes: Castaneda, Wheeler, Katona, Gerwig, Hudson, Hobbs, Lacker. Noes: None. Abstention: None. Absent: None. [ Motion to adjourn to Regular Meeting on January 19, 1978 at 3: 00 p.m., by Heller and seconded by Guhin. Motion unanimously carried. Abstention: None. Absent: Blum. [ [ ~ ...... ..... ....- -... """'" [ [ [ 4501 MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY HELD JANUARY 19, 1978,;300 NORTH "D" STREET, SAN BERNARDINO, CALIFORNIA AT 3: 00 P.M. Roll Call showed the following: Agency Members Present: Blum, Obershaw, Hinojosa and Heller. Agency Members Absent: Green, Wilson and Guhin. Others: R. E. Shadwell, Jr., Executive Director, Wm. A. Flory, Agency Counsel and Barbara A. Brown, Executive Secretary. In the absence of Chairman Green, Vice-Chairman Blum opened the meeting at 3: 00 p.m. APPROVAL OF MINUTES: - The Minutes: of-January 5\; 1978cw.ere ~lJb~ittedfQr approval. Motion to approve Minutes by Obershaw and seconded by Heller. Motion unanimously carried. Abstention: None. Absent: Wilson, Guhin and Green. APPROV AL OF EXPENDITURES. FOR NOVEMBER, 19'n' AND DECEMBER, 1977. Mr. Obershaw 'questioned the expense to Federal Sign for a monthly billing of $1,146.00. Mrs. Saul, Agency Director of Finance explained that the billing is for the maintenance of the Mall Reader Panels. The Agency is fiscally responsible for the expenditure inas- much as the panels are owned by the Agency. The Agency is paid back one half of the cost in the amount of $700.00 from the Central City Mall Merchant's Association as their share of the cost of the panels. Mrs. Blum inquired if the maintenance cost must continue and was informed yes. Mr. Guhin arrived: 3: 09 p.m. Mr. Obershaw then questioned items, regarding publications the Agenc;:y -sllbscribes to. The Kiplinger Letter, in particular, was brought up, and, after considerable dis- cussion, it was determined th,at the Board would begin, receiving a copy of the Kipplin- gel' "California" Letter as a part of their regular Agenda Package, not a special mail- ing. Mrs. Blum specifically stated that she would enjoy reading the publication. Mr. Shadwell then reminded the Board that at one time, they received xeroxed copies of all publications and this policy was changed at the request of the Board · Mr. Heller questioned the cost of the Mall Security Officer's salaries. It was explained to Mr. Heller that the Agency has an Agreement with the City wherein the Agency pays the Security Officer's salaries and the City repays the.AgePcy. ,However, ,the flmount is not consistent with what the Agency disburses. Joe Baker arrived: 3: 09 p:m. Mr. Heller questioned the title of the Agency's Equal Opportunity Officer. Mr. Shad- well explained the situation to Mr. Heller's satisfaction regarding title and/or salary. Motion made by Obershaw and se'conded by Guhin to approve, both t1?-e November and December, 1977 Expenditures. Motion unanimously carried. Abstention: None. Absent: Wilson and Green. - , . 4502 CONTRACT OF SALE-SECOND STREET PROPERTY-CENTRAL CITY SOUTH Mr. Heller inquired if the Agency had received a Good Faith Deposit from the Developer, Central City Co. , and was informed yes. The following resolution was adopted: ~ RESOLUTION NO. 3507 ....., RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE CHAIRMAN AND SECRETARY. TO EXECUTE DISPOSITION AGREEMENT WITH CENTRAL CITY COMPANY FOR PURCHASE OF PROPERTY LOCATED WITHIN BLOCK BOUNDED BY 2ND STREET, "F" AND "G" STREETS AND RIAL TO AVENUE, CENTRAL CITY SOUTH. Motion to adopt Resolution No. 3507 by Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Ayes:; Blum; OberhsawiHinojosa, Heller and Guhin. Nays: None. Abstention: None. Absent: Wilson and Green. RESOLUTION APPROVING EXPENDITURE OF FUNDS-HOTEL DEVELOPMENT-CENTRAL CITY Mrs. Blum referred the matter to Mr. Shadwell, who stated that this Resolution was really a procedur~l reqtiirement of the California Health & Safety Code. The resolution con- tains no new information. The following .resolution was adopted: RESOLUTION NO. 3508 .., RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO APPROVING THE EXPENDITURE OF FUNDS BY THE REDEVELOPMENT AGENCY FOR THE INSTALLATION AND CONSTRUCTION OF PUBLIC IMPROVEMENTS IN 'THE CENTRAL CITY -MEADOWBROOK PRO- JECT AREA NO. l, AND FINDING THAT SAID PUBLIC IMPROVEMENTS WILL BE A BENEFIT TO SAID PROJECT AREA. (HEAL TH& SAFETY CODE SECTION 33445) . ..", Motion to adopt Resolution No. 3508 by Heller and seconded by Obershaw. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Heller and Guhin. Nays: None. Abstention: None. Absent: Wilson and Green. SET PUBLIC HEARING FOR SALE OF PROPERTY -MONIER-SEIP Mrs. Blum referred the matter to Mr. Shadwell. Mr. Shadwell informed the board that this company has already been announced to the general public and ,will locate on the most northeasterly corner of SEIP. There was a delay in the procedures because of a change in the executive structure of Monray which has now been resolved. Mr. Heller inquired if new documents would be required and was informed no. Mr. Heller asked if payment of a Finder's Fee was public knowledge and was informed that Mr. Robert Henley would be receiving the Finder's Fee, per usual Agency requirements. Mrs. Blum asked a ques- tion regarding payment of a Finder's Fee and Mr. Shadwell explained the matter to her satisfaction. .., ~ Ki i! ....JIJ [ [ [ 4503 The following resolution was adopted: RESOLUTION NO. 3509 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO RECEIVE AN OFFER FROM MONO CRETE PTY. LIMITED, dba MONIER COMPANY, A CORPORATION, WITHIN SOUTHEAST INDUSTRIAL PARK AND SET A PUBLIC HEARING FOR FEBRUARY 2, 1978 AT 3: 00 P.M. Motion to adopt Resolution No. 3509 by Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Heller and Guhin. Nays: None. Abstention: None. Absent: Wilson and Green. Mr. Baker asked when construction would commence on the development. Mr. Shadwell informed him that construction would start just as soon as possible, but the exact time had not yet been determined. OTHER BUSINESS: Mrs. Saul distributed the Agency's Annual Audit Report to the board members and Mr. Baker. Mr. Obershaw asked the status of the Senior Citizen Housing Development. Mr. Shad- well stated the Agency would be going out to bid as soon as possible. Mr. Shadwell then gave a brief "rundown" on the status of the other projects. Mr. Obershaw asked about security risk on these developments and was told that the Agency is protected through its liability insurance. Mr. Baker questioned the status of the hotel and was informed the Agency is hopeful that all documents will be signed by February 1, 1978. Motion to adjourn by Obershaw and seconded by Heller. Motion unanimously carried. Abstention: None. Absent: Wilson and Green. ., ....., f' - ! J <' -. '1 -J 4IllIlIt ....., r ~ [ [ 4504 MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO. CALIFORNIA HELD FEBRUARY 2. 1978 AT 300 NORTH "D" STREET. SAN BERNARDINO. CALIFORNIA AT 3: 00 P.M. Roll Call showed the following: Agency Members Present: Blum. Obershaw. Hinojosa. Wilson and Green. Agency Members Absent: Heller and Guhin. Others Present: Ralph E. Shadwell. Jr. . Executive Director. Wm. A. Flory. Agency Coun- sel and and Barbara A. Brown. Executive Secretary. MINUTES: APPROV AL OF MINUTES FOR JANUARY 9. 1978. Motion for approval by Obershaw and seconded by Hinojosa. Motion unanimously carried. Abstention: None. Absent: Heller and Guhin. APPROVAL OF MINUTES FOR JANUARY 19.1978. Motion for approval by Obershaw and seconded by Wilson. Motion unanimously carried. Abstention: None. Absent: Heller and Guhin. PUBLIC HEARING-MONIER COMPANY -SEIP Mr. Green informed the Board Members that the Agency had received an Amended Offer to Purchase. therefore the Public Hearing set for February 2nd. 1978 would be tabled and a new Public Hearing would be set for February 16.1978. Motion to table the February 2nd.. 1978 Public Hearing by Blum and seconded by Obershaw. Motion carried by the following vote. to wit: Ayes: Blum. Obershaw. Hinojosa. Wilson and Green. Nays: None. Ab- stention: None. Absent: Heller and Guhin. APPROVE SALE ,OF 8 ACRES OF LAND TO MONIER CO. AND SET PUBLIC HEARING FOR FEBRUARY 16. 1978-SEIP. The following resolution was adopted: RESOLUTION NO. 3510 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO RECEIVE AN AMENDED OFFER TO PURCHASE FROM MONO CRETE PTY.. LIMITED. dba MONIER COMPANY. A CORPORATION. WITHIN SOUTHEAST INDUSTRIAL PARK AND SET A PUBLIC HEARING FOR FEBRUARY 16.1978 AT 3: 00 P.M. Motion to adopt Resolution No. 3510 by Wilson and seconded by Blum. Motion carried by the following vote. to wit: Ayes: Blum. Obershaw. Hinojosa. Wilson and Green. Nays: None. Abstention: None. Absent: Heller and Guhin. Mr. Green then requested the Board I s indulgence in deviating from the Agenda by allow- 4505 ing Warner W. Hodgdon to present his proposed development to be located in the Agency's State College Project. Mr. Heller arrived at 3: 09 p . m. ~ :i;j Mr. Green informed the Board that the Agency's Owner Participation Agreement with Mr. Hodgdon is not ready for review, but it would be considered by the City Council at the Council Meeting of February 6, 1978. Mr. Green further stated that Mr. and Mrs. Hodgdon were in the audience and would would like to present their development. All board mem- bers agreed to the change in Agenda. ....., Mr. Hodgdon addressed the board and audience, presenting his development for State College Project. Mr. Guhin arrived 3: 20 p.m. The crux of Mr. Hodgdon's presentation was the commercial development, i. e., Campus Crusade for Christ which consists of a $2.5 Million Dollar development, a $5.5 Million Dollar payroll and employment for 620 employees. The tax dollars derived from the project will come back to the City. Mr. Hodgdon further stated that for future devel- opment, the City of San Bernardino has no way to grow except toward the northwest. The City is surrounded by other City boundaries and Southeast has been expanded to almost its fullest capacity. Mr. Hodgdon feels the development will fall within the Agency's Tax Increment Resolution for 5 years, in fact, he feels this development will incur tax increment between 3i to 4 years. Mr. Hodgdon then referred to a rendering of the prop- osed Campus Crusade for Christ Headquarters. ..... Mr. Wilson asked Mr. Hodgdon the time table for the complex. Mr. Hodgdon stated that construction could commence on the $2.5 Million Dollar development within 60 days de- pending upon the execution of the necessary documents. ....., Mr. Green then introduced Mrs. Hodgdon to the audience. Mrs. Hodgdon referred to the labor and work done by Mr. Hodgdon and what a privilege they feel it is for Campus Cru- sade for Christ to build their administrative offices here in San Bernardino, plus the pride she and Mr. Hodgdon feel in being allowed to be a part of their work and/or development. She also spoke regarding the love that she and Mr. Hodgdon feel for San Bernardino and their feeling of accomplishment in helping San Bernardino grow. Mr. Green thanked Mrs. Hodgdon for her comments. Discussion followed regarding the Elk's development. Mrs. Blum stated that she feels Mr. and Mrs. Hodgdon's development is both beautiful and ambitious and is hopeful that it will work out well for the benefit of the City and Agency and others concerned. Mr. Hodgdon referred to the matter of a certain area of Little Mountain Drive being straight- -.. ened. He stated that the City previously had agreed to perform this work. Mr. Green then thanked both Mr. and Mrs. Hodgdon for their time and effort in coming to .....J [ [ r ( ~ 4506 the meeting and making their presentation. Mr. Baker. representing the Sun Telegram, questioned what the Agency's estimated cost would be for the development and was informed approximately $21 Million Dollars. The proposed development of Mr. and Mrs. Hodgdon will have to go to the Mayor and Council for approval and then to Public Hearing, which if approved by the Mayor and Council, will probably be set for February 27 . 1978. OFF-SITE IMPROVEMENTS-CITY OF SAN BERNARDINO WATER DEPT .-SEIP Mr. Jones, Director of Operations for the Agency referred to the area in question on a map outlining same. With no further discussion the following resolution was adopted.: RESOLUTION NO. 3511 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 CONSTRUCTION OF WATER SERVICE FOR RIVERVIEW CENTER IN THE AMOUNT OF $44,395.00. Motion to adopt Resolution No. 3511 by Obershaw and seconded by Hinojosa. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. INITIAL STUDY-PREPARATION-ENVIRONMENTAL IMPACT REPORT-STATE COLLEGE AREA Mr. Green stated that this Study is for the Industrial Park only. With no further discussion the following resolution was adopted: RESOLUTION NO. 3512 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, ACCEPTING AN INITIAL STUDY FOR THE INDUSTRIAL DEVELOPMENT AREA OF THE STATE COLLEGE PROJECT, AND DETERMINING THAT THE PREPARATION OF AN ENVIRONMENTAL IMP ACT REPORT IS NECESSARY. Motion to adopt Resolution No. 3512 by Blum and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. INITIAL STUDY-PREPARATION-ENVIRONMENTAL IMPACT REPORT FOR CONSTRUCTION OF COMMERCIAL, RESIDENTIAL AND RECREATION DEVELOPMENT-STATE COLLEGE AREA No discussion and following resolution was adopted: 4507 RESOLUTION NO. 3513 RESOLUTION Olf THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, ACCEPTING AN INITIAL STUDY FOR THE RESIDENTIAL, COMMERCIAL AND RECREATIONAL DEVELOPMENT PROP- OSED FOR THE STATE COLLEGE PROJECT AREA, AND DETERMINING THAT THE PREP ARA TION OF AN ENVIRONMENTAL IMP ACT REPORT IS NECESSARY. .., ~ ~ ..... Resolution No. 3513 adopted by Obershaw and seconded by Hinojosa. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. Mr. Green informed the board that a contract will be let for this work at a later date, said contract to be approved by the board. BONDING-TAX ALLOCATION BONDS-STATE COLLEGE REDEVELOPMENT PROJECT AREA Mr. Green stated that the outstanding Bonds for the State College Project become due April 1, 1978 and now is the time for the Agency to issue new bonds to refinance the old Notes. The following resolutions are necessary to start the refunding process. Only approval of $2.8 Million Dollars is ncessary at this time because the remaining $2.2 Million Dollars depends upon approval of the Hodgdon's develop- ment. Discussion regarding the interest rates followed. Mr. Whipple from Miller & Schroeder was ,., introduced to the board members and stated that as of this date, an 8% rate is the legal ...J maximum rate, however, the Agency should obtain a lower rate. The following resolutions were adopted: RESOLUTION NO. 3514 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE ISSUANCE OF $5,000,000 PRINCIP AL AMOUNT OF TAX ALLOCATION BONDS OF SAID AGENCY TO FINANCE A PORTION OF THE COST OF A REDEVELOPMENT PROJECT KNOWN AS STATE COLLEGE PROJECT NO.4 AND TO PROVIDE FUNDS FOR THE PAYMENT OF PREVIOUSLY ISSUED NOTES. Motion to adopt Resolution No. 3514 by Wilson and seconded by Obershaw. Motion carried by the following vote, to wit: Ayes: Obershaw, Hinojosa, Wilson, Heller, Guhin and Green. Nays: None. Abstention: Blum. Absent: None. RESOLUTION NO. 3515 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, DETERMINING TO ISSUE $2,800,000 PRINCIP AL AMOUNT OF T AX ALLOCATION BONDS OF SAID AGENCY AND PROVIDING FOR CERTAIN DETAILS OF SAID BONDS. ~ d I ....J r ..... [ [ 4508 Motion to adopt Resolution No. 3515 by Wilson and Oberhaw. Motion carried by the fol- lowing vote. to wit: Ayes: Obershaw. Hinojosa. Wilson. Heller. Guhin and Green. Nays: None. Abstention: Blum. Absent: None. RESOLUTION NO. 3516 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO. CALIFORNIA. PROVIDING FOR THE SALE OF $2.800.000 PRINCIPAL AMOUNT OF TAX ALLOCATION BONDS. ISSUE OF 1978. SERIES A. Motion to adopt Resolution No. 3516 by Obershaw and seconded by Wilson. Motion carried by the following vote. to wit: Ayes: Obershaw. Hinojosa. Wilson. Heller. Guhin and Green. Nays: None. Abstention: Blum. Absent: None. Mr. Green again deviated from the Agenda Schedule. It has been brought to the Agency I s attention by Bond Counsel that a Motion be made to transmit by Minute Orders. the following Resolutions to the Mayor and Common Council. Motion made by Wilson and seconded by Heller to transmit by Minute Orders. the following resolutions: (a) Resolution by the Mayor and Common Council of the City of San Bernardino approving the issuance by the Redevelopment Agency of the City of San Ber- nardino. California. of its State College Proj ect No. 4 Tax Allocation Bonds. Issue of 1978. Series A. for its Corporate Purposes. (b) Resolution by the Mayor and Common Council of the City of San Bernardino approving the issuance by the Redevelopment Agency of the City of San Ber- nardino. California. of its Meadowbrook-Central City Redevelopment Pro- ject No.1. Tax Allocation Bonds. Issue of 1978. for its Corporate Business. (c) Resolution by the Mayor and the Common Council of the City of San Bernardino approving the issuance by the Redevelopment Agency of the City of San Ber- nardino. California. of its Southeast Industrial Park. Tax Allocation Bonds. Issue of 1978 for its Corporate Purposes. (d) Resolution by the Mayor and the Common Council of the City of San Bernardino approving the issuance by the Redevelopment Agency of the City of San Ber- nardino. California. of its Central City South Redevelopment Project Tax Al- location Bonds. Issue of 1978. for its Corporate Purposes. Motion carried unanimously. Abstention: None. Absent: None. Executive Session called by Mr. Green at 4: 28 p.m. 4509 Mr. Green reopened the Regular Meeting of the Redevelopment Agency to the public at 4: 40 p.m. ~ Mr. Green stated the reason for the Executive Session was possible litigation. ......, CONTRACT FOR LEGAL SERVICES FOR ROBERT J. BIERSCHBACH REGARDING PENNEY CO. , CENTRAL CITY NORTH. With no discussion the following resolution was adopted: RESOLUTION NO. 3517 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO AGREEMENT WITH ROBERT J. BIERSCHBACH OF SURR & HELLYER LAW OFFICES FOR LEGAL SERVICES REGARDING LITIGATION BETWEEN THE REDEVELOPMENT AGENCY AND UPHAM TRUST ( J. C. 'PENNEY CO.), CENTRAL CITY NORTH. Motion to adopt Resolution No. 3517 by Obershaw and seconded by Heller. Motion carried by the following vote, to wi t: Ayes: Blum, Obershaw, Hinoj osa, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. Mr. Baker inquired as to what litigation was pending regarding Penney Co. Mr. Baker was informed that details of the litigation were in the documents as part of backup pro- vided with the Agenda package. ~ ....J Mr. Green informed the board that there would be several Adjourned Regular Meetings for the remainder of the month of February because of pending bond issues and re- quested that they mark their calendars accordingly. Mr. Heller and Mr. Obershaw asked for a Schedule of pending meetings and was re- assured that one would be provided for them as soon as possible. Motion to adjourn to Adjourned Regular Meeting on February 9, 1978, at 3: 00 p.m. by Obershaw and seconded by Guhin. Motion unanimously carried. Abstention: None. Absent: one. I R. E. Shadwell, Jr. Executive Director .... ......, [ [ [ 4510 MINUTES OF ADJOURNED REGULAR MEETING OF THE REDEVELOPMENT AGENCY HELD FEBRUARY 9, 1978 AT 3: 00 P.M., 300 NORTH "D" STREET, SAN BERNARDINO, CALIFORNIA. Roll Call showed the following: Agency Members Present: Blum, Hinojosa, Heller, Guhin and Green. Agency Members Absent: Obershaw and Wilson. Others: R. E. Shadwell, Jr., Executive Director, Wm. A. Flory, Agency Counsel and Barbara A. Brown, Executive Secretary. Chairman Green called the Meeting to order at 3: 00 p . m . JOINT PUBLIC HEARING-REDEVELOPMENT AGENCY, MAYOR AND COMMON COUNCIL, MONDAY, FEBRUARY 27, 1978 at 7: 30 p.m. With no discussion the following resolution was adopted: RESOLUTION NO. 3518 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO SETTING A JOINT PUBLIC HEARING BETWEEN THE AGENCY AND THE MAYOR AND COMMON COUNCIL FOR 7: 30 P.M., IN THE COUNCIL CHAMBERS, 300 NORTH "D" STREET, SAN BERNARDINO, FOR THE PURPOSE OF APPROVING A COMMERCIAL, RESID~NTIAL AND RECREATION DEVELOP- MENT PROPOSED BY WARNER W. AND SHARON D. HODGDON FOR THE STATE COLLEGE PROJECT. Motion to adopt Resolution No. 3518 by Heller and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Hinojosa, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Obershaw and Wilson. RESOLUTION RESCINDING RESOLUTION NO. 3514 Mr. Green explained to the board that the rescinding resolution was necessary inasmuch as the Agency is going to adopt an Issuance Resolution of $6,000,000 in lieu of Resolution No. 3514 approving adoption of a $5,000,000 issuance. The proposed $6,000,000 issue will be under a new method of financing. Mrs. Blum questioned. the $6,000,000 issuance and Mr. Green explained to her satisfaction. The following resolution was adopted: RESOLUTION NO. 3519 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO RESCINDING RESOLUTION NO. 3514 OF SAID AGENCY. Motion to adapt Resolution No . 3519 by Guhin an.d seconded by Hinojosa. Motion carried by the following vote, to wit: Ayes: Hinojosa, Heller, Guhin and Green. Nays: None. Abstention: Blum. Absent: Obershaw and Wilson. 4511 No discussion. The following resolution adopted: RESOLUTION NO. 3520 ..., RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO RESCINDING RESOLUTION NO. 3515 OF SAID AGENCY. .....J Motion to adopt Resolution No. 3520 by Guhin and seconded by Hinojosa. Motion car- ried by the foll9wing vQte, to wit: Ayes: Hinojosa, Heller, Guhin and Green. Nays: None. Abstention: Blum. Absent: Obershaw and Wilson. No discussion. The following resolution adopted: RESOLUTION NO. 3521 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO RESCINDING RESOLUTION NO. 3516 OF SAID AGENCY. Motion to adopt Resolution No. 3521 by Heller and seconded by Guhin. Motion car- ried by the following vote, to wit: Ayes: Hinojosa, Heller, Guhin and Green. Nays: None. Abstenti-on:Blum. Absent: ObershawandWilson. ISSUANCE OF $6,000,000 PRINCIPAL AMOUNT OF TAX ALLOCATION BONDS-STATE COLLEGE PROJECT NO.4. No discussion. The following resolution adopted: ,., RESOLUTION NO. 3522 ~ RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE ISSUANCE OF $6,000,000 PRINCIP AL AMOUNT OF T AX ALLOCATION BONDS OF SAID AGENCY TO FINANCE A PORTION OF THE COST OF A REDEVELOPMENT PROJECT KNOWN AS STATE COLLEGE PROJECT NO. 4 AND TO PROVIDE FUNDS FOR THE PAY- MENT OF PREVIOUSLY ISSUED NOTES. Motion to adopt Resolution No. 3522 by Heller and seconded by Guhin. Motion car- ried by the following vote, to wit: Ayes: Hinojosa, Heller, Guhin and Green. Nays: None. Abstention: Blum, Absent: Obershaw and Wilson. No discussion. The following resolution was adopted: RESOLUTION NO. 3523 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, DETERMINING TO ISSUE $2,800,000 PRINCI- PAL AMOUNT OF T AX ALLOCATION BONDS OF SAID AGENCY AND PROVIDING FOR CERTAIN DETAILS OF SAID BONDS. ~ Motion to adopt Resolution No. 3523 by Guhin and seconded by Heller. Motion carried '-Ill [ [ [ 4512 by the following vote, to wit: Ayes: Hinojosa, Heller, Guhin and Green. Nays: None. Abstention: Blum. Absent: Obershaw and Wilson. RESOLUTION APPROVING OFFICIAL STATEMENT FOR ISSUANCE OF $6,000,000 PRINCI- PAL AMOUNT OF TAX ALLOCATION BONDS, STATE COLLEGE PROJECT NO.4. Mr. Heller questioned the $2.8 Million Dollar Sale and the proposed Jarvis Amendment. Mr. Green stated that this bond issue will not be affected by the Jarvis Amendment be- cause the amendment will not go to the voters until June, 1978. The following resolu- tion was adopted: RESOLUTION NO. 3524 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, PROVIDING FOR THE SALE OF $2,800,000 PRINCIPAL AMOUNT OF TAX ALLOCATION BONDS, ISSUE OF 1978, SERIES A. Motion to adopt Resolution No. 3524 by Guhin and seconded by Heller. Motion carried by the following vote, to wit: Ayes: Hinojosa, Heller, Guhin and Green. Nays: None. Abstention: Blum. Absent: Obershaw and Wilson. Mr. Green stated that Mr. Beebe's office had requested a separate motion, approved by the Agency Board allowing either Bond Counselor Agency Financial Consultants to make corrections in the above and aforementioned resolutions for typographical errors only. Motion. to read as follows: liThe Redevelopment Agency Board of Directors does hereby authorize any change in substance of the Resolutions only for typos. II Approval of motion by Guhin and seconded by Heller. Motion carried by the following vote, to wit:.' Ayes: Hinojosa, Heller, Guhin and Green. Nays: None. Abstention: Blum. Absent: Obershaw and Wilson. ACCEPTANC~ OF INITIAL STUDY FOR PROPOSED NORTHWEST PROJECT AREA, AND DETERMINING THAT THE PREPARATION OF AN E.I.R. IS NECESSARY. Mr. Green stated that the Council authorized the Agency to expend the funds necessary for the Study and preparation of an EIR for the proposed Northwest Project Area. Mr. Heller asked if Community Development was. paying for the funds. Mr. Green replied that the Agency had previously requested $175,000 from the City for the proposed North- west project and the matter had been brought to the Council's attention. However, prior to the matter of the $175,000 request by the Agency, the Council had approved and rati- fied the Agency's Bonds for State College -Project No.4. The Council made it very ap- parent that the Agency pay the $175,000 out of the bond proceeds from other projects. Mr. Heller expressed his displeasure and concern. Mrs. Blum said that it was her understanding that the Agency would not fund Northwest. Mr. Green ,concurred. Mr. Shadwell said the situation has changed because at the time the Agency requested the $175,000, the Agency did not have the funds. Now with the pending bond issues, the Agency will have the funds and it has always, in the past, been the Agency's practice to 4513 to fund the money necessary to start a project. Mrs. Blum asked if the Agency might someday recoup the money. Mr. Heller replied that he didn't see how. Mr. Green said the Agency might be able to get the money back depending on the tax increment, but it would be a long time off. Mrs. Blum then asked if the Agency should 'run short' , would the Council help the Agency and Mr. Heller said no. Mr. Green said that he couldn't answer the question. Mr. Shadwell again stressed the fact that had the Agency had the funds, the Agency would have gone ahead and paid for the costs. Mr. Heller said he feels the situation is very uncomfortable. Mr. Shadwell referred to the background of other projects and how, initally the first project was funded in San Bernardino. With no further discussion the following resolution was adopted: ~ -- RESOLUTION NO. 3525 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO ACCEPTING AN INITIAL STUDY FOR THE PROPOSED NORTH- WEST PROJECT AREA, AND DETERMINING THAT THE PREP ARA TION OF AN ENVIRONMENTAL IMPACT REPORT IS NECESSARY. Motion to adopt Resolution No. 3525 by Blum and seconded by Hinojosa. Motion car- ried by the following vote, to wit: Ayes: Blum, Hinojosa, Guhin and Green. Nays: Heller. Abstention: None. Absent: Obershaw and Wilson. ACCEPT OFFER TO PURCHASE AND SET A PUBLIC HEARING MARCH 2, 1977 at 3: 00 P.M., FOR 1.14 ACRES OF AGENCY OWNED LAND FROM BILL H. INGRAM AND CHARLES A. FORD-SOUTHEAST INDUSTRIAL PARK. ,.., Mr. Shadwell referred to the property, as outlined on map. Mr. Heller reassured him- self the Agency was not committing itself by accepting the Offer to Purchase and the ....J following resolution was adopted: RESOLUTION NO. 3526 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO RECEIVE AN OFFER TO PURCHASE FROM BILL H. INGRAM, A MARRIED MAN AND CHARLES A. FORD, A MARRIED MAN, AS TENANTS IN COMMON FOR PROPERTY LOCATED WITHIN SOUTHEAST INDUSTRIAL PARK AND SETTING A PUBLIC HEARING FOR MARCH 2, 1978 AT 3: 00 P . M . Motion to adopt Resolution No. 3526 by Hinojosa and seconded by Heller. Motion car- ried by the following vote, to wit: Ayes: Blum, Hinojosa, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Obershaw and Wilson. Mr. Green referred to pending Agency Board Meetings to be held. The meeting set for Feb~uary 21st., is the Bid Opening for State College Bonds. He stated there may be a meeting February 23rd. , but is hopeful that it can be avoided. Discussion revealed that Mrs. Blum need not attend the February 27th. , meeting inasmuch as she will ...... abstain on all voting. There will be a Bid Opening February 28th. , on Central City- , Meadowbrook Bonds at 3: 00 p . m. , and a Bid Opening for March 7th. , for South and .....III [ [ ,.... L 4514 Southeast Bonds. Motion to adjourn to regular meeting February 16, 1978 at 3: 00 p.m. by Heller and seconded by Blum. M 'on unanimously arried. Abstention: None. Absent: Obershaw and Wilson. I ..... ..... ..... ..... ...... -..ill [ [ r L 4515 MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO HELD FEBRUARY 16,1978 at 3:00 P.M., 300 NORTH "D" STREET, SAN BERNARDINO, CALIFORNIA. Agency Members Present: Blum, Wilson, Heller, and Green. Agency Members Absent: Obershaw, Hinojosa and Guhin. Others: R. E. Shadwell, Jr. , Executive Director, Wm. A. Flory, Agency Counsel and Barbara Brown, Executive Secretary. Chairman Green called the meeting to order at 3: 11 p . m . Approval of the Minutes for February 2, 1978 made by Wilson and seconded by Heller. Motion unanimously carried. Abstention: None. Absent: Obershaw, Hinojosa and Guhin. Approval of Expenditures for January, 1978 approved by Wilson and seconded by Blum. Mr. Heller questioned the expenditure for Federal Signs. Mr. Shadwell stated that this expense would be incurred on a monthly basis. Motion unanimously carried. Ab- stention: None. Absent: Obershaw, Hinojosa and Guhin. PUBLIC HEARING-MONRA Y TILE CO-SEIP Chairman Green opened the Public Hearing at 3: 13 p.m. Mr. Green stated that the Agency had previously received an offer from Monray for 7 acres, but the Offer had later been amended to request 8 acres of land in Southeast Industrial Park. Now is the time and place for the Agency to hold it's Public Hearing. With no opposition or support voiced, the Public Hearing was closed by Chairman Green at 3: 15 p.m. Mr. Guhin arrived, 3: 15 p.m. ADOPT RESOLUTION APPROVING SALE OF 8 ACRES OF LAND TO MONRAY TILE CO. SEIP. Mr. Wilson asked if there would be any rail for the development and was informed no. Mr. Wilson asked what the Agency's cost participation would be and was informed that the Agency had no way of knowing the exact cost at this time, however, the Agency will be paying for all public improvements for Monray Tile, the same as for other developers in the area. Mrs. Blum stated the tax increment derived from the devel- opment will recoup the Agency's expenditures. Mrs. Blum then inquired where the Commercenter was located and Mr. Shadwell and Mr. Green referred to the area in question on maps. The following resolution was adopted: o___~lo_o_o______~___ _. 4516 RESOLUTION NO. 3527 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, APPROVING THE SALE OF PROPERTY LOCATED WITHIN SOUTHEAST INDUSTRIAL PARK AND APPROVING CONTRACT OF SALE TO MONOCRETE PTY . , LIMITED, dba MONIER COMPANY, FOR THE DEVELOPMENT OF 8 ACRES OF LAND LOCATED AT THE NORTHWEST INTERSECTION OF MOUNTAIN VIEW AVENUE AND THE PROPOSED RIVERVIEW DRIVE. --- ~ I , .....J Motion to adopt Resolution No. 3527 by Wilson and seconded by Blum. Motion carried by the following vote, to wit: Ayes: Blum, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Obershaw and Hinojosa. Mr. Green stated that he would like to bring up an item off the Agenda. He referred to Warner Hodgdon's proposed Riverview Center development, and the rail lead line that is to go into Mr. Hodgdon's property. At the time the Agency sold the property to Mr. Hodgdon, the Agency agreed to exclude the purchase price for easements required for the development and the lead rail trackage. The cost, at that time was unknown. Now that the cost is known, Mr. Hodgdon is requesting that the Agency pay the cost of the land and buy it back from him at a cost of $4,905, computed on the price Mr. Hodgdon paid on the basis of $5,000 per acre. Primarily, all Mr. Hodgdon is requesting the Agency to do is to give him the same "deal" as was given other develop- ers in the area, which was his stated request at the time he expressed his desire to purchase proposed Riverview Center. A lengthy discussion followed wherein Mr. Wilson stipulated that he thought the Agency should not pay Mr. Hodgdon for the land. ..... l '~ """'" Mr. Obershaw arrived, 3: 34 P . m . Mr. Green reviewed the situation for Mr. Obershaw's benefit. Mr. Wilson asked if the buy back from Mr. Hodgdon was in the Disposition Agreement and the staff de- termined that it was not. Mr. Obershaw stated that he too did not feel the Agency should pay Mr. Hodgdon for the land. A lengthy discussion followed. The following resolution was adopted: RESOLUTION NO. 3530 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA AUTHORIZING PURCHASE OF .981 ACRES OF LAND FROM WARNER W. HODGDON, SOUTHEAST INDUSTRIAL RE- DEVELOPMENT PROJECT AREA FOR $4,905.00. Motion to adopt Resolution No. 3530 by Guhin and seconded by Blum. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: Wilson. Abstention: None. Absent: Hinojosa. ..... ....... [ [ [ 4517 ISSUANCE OF $23,985,000 PRINCIPAL AMOUNT OF TAX ALLOCATION REFUNDING BONDS, MEADOWBROOK -CENTRAL CITY REDEVELOPMENT PROJECT NO. 1 AND TO REFUND PREVIOUSLY ISSUED BONDS. No discussion and the following resolution was adopted: RESOLUTION NO. 3528 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE ISSUANCE OF $23,985,000 PRINCIPAL AMOUNT OF TAX ALLOCATION REFUNDING BONDS OF SAID AGENCY TO FINANCE A PORTION OF THE COST OF A REDEVELOPMENT PROJECT KNOWN AS MEADOWBROOK -CENTRAL CITY REDEVELOPMENT PROJECT NO. 1 AND TO REFUND PREVIOUSLY ISSUED BONDS. Motion to adopt Resolution No. 3528 by Wilson and seconded by Obershaw. Motion car- ried by the following vote, to wit: Ayes: Blum, Obershaw, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa. Joe Baker, Sun Telegram reporter questioned the bond issuance. Mr. Shadwell stated that on the advice of bond counsel, this amount of issuance is necessary. When the hotel documents are finalized, the Agency will have another bond issue for the hotel alone. $28,000,000 was the maximum amount authorized, but now that amount is no longer necessary. Mrs. Glenda Saul, R.D.A. Finance Director explained to the board that in the Agency's critical situation, you set a higher figure and then hopefully come down. Mr. Obershaw questioned the status of the hotel. Mr. Green said by March 1st., the selection of the operators will be named. The Disposi- position Agreement with the Agency and the Operating Agreement between developers and City have been signed. Mrs. Blum inquired if the Agency would have any say in the selection of the operators. Mr. Green replied yes, and assured Mrs. Blum that the operators would be high quality and meet all the standard criteria. SALE OF $23,985,000 PRINCIPAL AMOUNT OF TAX ALLOCATION REFUNDING BONDS, ISSUE OF 1978. No discussion and the following resolution was adopted: RESOLUTION NO. 3529 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, PROVIDING FOR THE SALE OF $23,985,000 PRlNCIP AL AMOUNT OF TAX ALLOCATION REFUNDING BONDS, ISSUE OF 1978. Motion to adopt Resolution No. 3529 by Blum and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa. 4518 OTHER BUSINESS: -.., Mr. Wilson inquired as to the $175,000 commitment made by the Agency regarding the proposed Northwest Project Area. Mr. Green stated that the Council made it very clear that now that the Agency has bond proceed money, the Agency should commence with the preliminary studies necessary for the Northwest Project. Mr. Green also stated that all of the project areas have borrowed money from other project areas in the past. Mr. Wilson expressed his concern for the residents in the proposed area inasmuch as it encompasses such a vast area of land. He feels if the project does not go through, the area residents will be greatly disappointed. Mr. Green said that both he and Mayor Holcomb had cautioned the Council that the project may never become a reality. f 11 I -..J Motion by Blum and seconded by Obershaw to adjourn to Adjourned Regular Meeting at 3:00 p.m., February 21, 1978. Motion unanimously carried. Abstention: None. Absent: Hinojosa. Mr. Green stated that while he hates to keep reminding the board about pending board meetings, he feels they are so important that he is compelled to do so. The board was in- formed of future meeting dates, times and the reasons they are to be held. Adjournment: 4: 06 p.m. ...... , . Shadwell, Jr. , Executive Director ...... ..... ......,;i [ [ [ 4519 MINUTES OF THE ADJOURNED REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA HELD FEBRUARY 23, 1978 AT 3: 00 P.M., 300 NORTH "D" STREET, SAN BERNARDNO, CALIFORNIA. Roll Call showed the following: Agency Members Present: Oberhsaw, Hinojosa, Wilson, Heller, Guhin and Green. Agency Members Absent: Blum Others: R. E. Shadwell, Jr., Executive Director, Wm. A. Flory, Agency Counsel and Barbara A. Brown, Executive Secretary. Chairman Green called the meeting to order at 3: 05 p.m. Mr. Wilson asked why the Agency was using a tape recorder. Mr. Green replied that it was both his and Mr. Shadwell's idea to use the recorder. This e~iminates any chance of error in the Minutes. Mayor Holcomb concurred in the Agency's use of a recorder to tape meetings. AUTHORIZATION OF ISSUANCE OF $1,500,000 PRINCIPAL AMOUNT OF TAX ALLOCATION BONDS TO FINANCE A PORTION OF COST OF PROJECT KNOWN AS CENTRAL CITY SOUTH. Mr. Green stated that the Agency has not issued any short term bonds or notes etc., in Central City South. The Agency has outstanding debt in the project area and the bonding is necessary to payoff the debt and to allow for the completion of the Curci Development and administrative costs. The $1.5 Million Dollar Issue has already been approved by the Mayor and Common Council. The tax increment that will be derived will support the $1.5 Million Dollar Bond Issue. Capitaliz~d interest tax was discussed. Glenda Saul, Director of Finance stated that the capitalized interest is for a two year period. The following resolution was adopted: RESOLUTION NO. 3537 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE ISSUANCE OF $1,500,000 PRINCIPAL AMOUNT OF TAX ALLOCATION BONDS OF SAID AGENCY TO FINANCE A PORTION OF THE COST OF A REDEVELOPMENT PROJECT KNOWN AS CENTRAL CITY SOUTH. Motion to adopt Resolution No. 3537 by Obershaw and seconded by Wilson. Motion car- ried by the following vote, to wit: Ayes:. Obershaw, Hinojosa, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Blum. RESOLUTION PROVIDING FOR THE SALE OF $1,500, 000 PRINCIPAL AMOUNT OF TAX ALLOCATION BONDS, ISSUE OF 1978. No discussion. The following resolution was adopted: 4520 RESOLUTION NO. 3538 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, PROVIDING FOR THE SALE OF $1,500,000 PRINCIPAL AMOUNT OF TAX ALLOCATION BONDS, ISSUE OF 1978. .... -J Motion to adopt Resolution No. 3538 by Wilson and seconded by Obershaw. Motion car- ried by the following vote, to wit: Ayes: Obershaw, Hinojosa, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Blum. AUTHORIZATION OF A SAVINGS ACCOUNT FOR CENTRAL CITY SOUTH PROJECT AREA. The following resolution adopted: RESOLUTION NO. 3539 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, ESTABLISHING A SAVINGS ACCOUNT WITH THE BANK OF CALIFORNIA TO BE DESIGNATED CENTRAL CITY SOUTH SAVINGS ACCOUNT. Motion to adopt Resolution No. 3539 by Heller and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Obershaw, Hinojosa, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Blum. .., Ii ~i 'I ....J Mr . Heller asked if the Agency used the Bank of California exclusively and was informed no, the Agency has accounts in all the local banks. Mrs. Saul stated that Bank of California was primarily used because they give the Agency excellent service with no service charges, thus saving the Agency approximately $4,000 per year. RESCIND RESOLUTION NO. 3513 AND ACCEPT REVISED STUDY FOR RESIDENTIAL, COMMERCIAL AND RECREATIONAL DEVELOPMENT PROPOSED FOR STATE COLLEGE ALSO DIRECTING PREPARATION OF A NEGATIVE DECLARATION. Mr. Green said the Agency previously adopted Resolution No. 3513 approving an Initial Study determining the necessity for an E .I.R. for the proposed golf course in the State College Project. Now is has been determined that an E .I.R. is not necessary for the proposed commercial, recreational and residential development. Subsequently, it is now necessary to rescind Resolution No. 3513 and approve a Revised Initial Study for the proposed development and direct the preparation of a Negative Declaration for the commercial, recreational and residential development. The following resolution was adopted: ...... -.J [ [ ,... L 4521 RESOLUTION NO. 3540 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, RESCINDING RESOLUTION NO. 3513 AND INITIAL STUDY PERTAINING THERETO, AND ACCEPTING REVISED INITIAL STUDY FOR THE RESIDENTIAL, COMMERCIAL AND RECREATIONAL DEVELOPMENT PROPOSED FOR THE STATE COLLEGE PROJECT AREA, AND DIRECTING THE PREP ARA TION OF A NEGATIVE DECLARATION. Motion to adopt Resolution No. 3540 by Obershaw and seconded by Wilson. Motion carried by the following vote, to wit: Ayes: Obershaw, Hinojosa, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Blum. Mr. Green asked if there was other business to discuss. No response. Mr. Heller inquired when the next board meeting was and was informed February 27, 1978 at 7:30 p.m. in the Council Chambers. Mr. Wilson informed Mr. Green and his fellow Board Members that he could not attend the meeting. Motion to adjourn to Adjourned Regular Meeting February 27, 1978 at 3: 00 p.m., Monday, in the Council Chambers by Obershaw and seconded by Guhin. Motion unani- mously carried. Abstention: None. Absent: Blum. Adjournment: 3:14p.m. ~ R. E. Shadwell, Jr. Executive Director --- ...-j ., i1 ...,.j ~ ...... [ [ [ 4522 MINUTES OF THE JOINT PUBLIC HEARING BETWEEN THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AND THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO HELD MONDAY, FEBRUARY 27, 1978 at 7: 30 P.M., IN THE COUNCIL CHAMBERS, 300 NORTH "D" STREET, SAN BERNARDINO, CALIFORNIA. Board Members Attending: Blum, Obershaw, Hinojosa, Heller, Guhin and Green. Board Members Absent: Wilson. Others Attending: R. E. Shadwell, Jr., Executive Director, Wm. A. Flory, Agency Counsel, and Barbara A. Brown, Executive Secretary. City Attendance: Mayor Holcomb, Full Council excepting Councilman Lackner, City Attorney, City Administrator and Deputy City Clerk. Mayor Holcomb stated the purpose of the joint hearing was for approval of the Owner Parti- cipation Agreement, Approval of Sale of 2.7 acres of real property, and Approval of Lease and Operating Agreement for Public Golf Course. Mayor further acknowledged the pre- sence of the Redevelopment Agency and requested the convening of the Agency. Chairman Green opened Agency's portion of the Public Hearing by stating that this was the time and place for an Adjourned Regular Meeting of the Agency Board for the Commercial, Residential and Recreational Development, State College Project. Mayor Holcomb opened the City's Public Hearing for said Development at 7: 32 p.m. Mayor stated the Official Redevelopment Plan, State College Project No.4, was approved by Ordinance No. 3067, dated April 27. 1970; that proper p.roceedings have been taken to comply with the provisions of the California Environmental Impact Act and .at a public meeting of the Mayor and Council, Resolutions were adopted setting this joint public hearing, notices of which were duly published according to law; the City Clerk of the City of San Bernardino and/or the Redevelopment Agency made available for public in- spection and copying at a cost not to exceed the cost of duplication, at its offices at 300 North "D" Street, San Bernardino, California, as to each of the matters which .are the subjects of the Public Hearing, an of the documents and information required to be made available to the public by Section 33433 of the California Health and Safety Code. Mayor said all appropriate actions to arrive at these joint public hearings have been completed and approved, as required by law. Mr. Green stated that each Agency member had personally received and reviewed the documents and according to law, the Agency has performed consistently and in the manner prescribed. He further stated that the Agency has complied with the Environ- mental Impact Act, as required by law. Mr. Green then addressed both bodies and gave an outline of the development. Mayor Holcomb stated that testimony will now be introduced and placed upon the record. Mr. Green stated the following persons should be sworn by the City Clerk in the event they be asked to testify: Warner W. and Sharon D. Hodgdon, Henry Bickler, T. Spoor, Jas. Warren Beebe, Mike McCann, Bob Curci, Jay Jones, Ralph Shadwell, Wm. Flory, John Lowe and himself. All named persons sworn in by Deputy City Clerk at 7: 44 p. m. 4523 Mr. Wilson arrived at 7: 45 p.m. Mr. Green testified regarding the proposed development. It was disclosed that ap- proximately $123,000 would straighten out Little Mountain Drive. Total approximate costs to the Agency, $3,065,000, include the $1.72 Million Dollars for construction of the golf course. Mr. Green asked if the Council had questons for him to answer. Councilman Katona responded that he would like to question Mr. Green regarding Parcel No.4, as outlined on a map, set up for review by both bodies and other inter- ested parties. Mr. Green explained to Councilman Katona that Parcel No. 4 is a "Hill" comprised of a lot of dirt, which will ultimately be used elsewhere. The dirt will be a necessary item and it will be very economical for the Agency to move it from Parcel No. 4 to primarily the golf course. .., ~ I -Ii Mr. Green said that Mr. and Mrs. Hodgdon will donate approximately 60 acres of land for the golf course. In addition, they will donate another 2. 7 acres for the Elks facility. Mr. Green asked if the Council had further questions. No response and Mr. Green finished testifying at 7: 55 p.m. Mr. Hobbs then questioned Mr. Green regarding the underpass. Mr. Green said the cost of the underpass, along with the cost of the 48 acres owned by the Agency is not included in the $3,065,000 estimated cost to the Agency. Discussion followed regarding whether the Agency can pay for its share of its participating costs. Mr. Green referred to a clause in the Owner Participation Agreement whereby it states quote, "in the event of failure or inability of the Agency to perform its obligation pursuant to Paragraph 2, this Agreement shall automatically become null and void" , unquote. .... Mayor Holcomb said that he felt that language did not protect the Agency and the Agency should have an upset figure in the event the Agency does not have necessary funds at a later date. Mayor further stated that he feels no further action should be taken until the total cost to the Agency is set forth and any other costs over set amount be borne by the owners. Mr. Green proposed a suggestion that the upset figure be used, but the figure be one that would limit the Agency's funds to proceeds from the bond issues. He referred to the B Series Bonds that will be issued in the amount of $3.2 Million Dollars if the proposed development is approved. Mayor again stressed the Agency have an upset figure. Mr. Green stated that he feels the $3,065,000 figure be set as the upset figure as it is an amount the Agency can live with. The Mayor concurred, but stated the amount must be approved by the Owner Participant, the Board, Council and himself . ....." Councilman Katona stated that he would like to hear from persons in the audience. Mayor Holcomb stated there was no sense in proceeding with the hearing if no one can agree on certain terms and conditions. Discussion ensued between Councilman Katona and Mayor Holcomb. Mr. Green then read from the proposed Lease Agreement for the Golf Course, page 12, second paragraph, "Agency shall be obligated to construct said golf course, or cause the same to be constructed, together with the appurtenances herein mentioned, solely and only from bond proceeds above mentioned; and, in the event said Bonds .... .......J [ [ r- I \.- 4522 MINUTES OF THE ADJOURNED REGULAR MEETING OF THE REDEVEL- OPMENT AGENCY OF THE CITY OF SAN BERNARDINO, 300 NORTH "D" STREET, SAN BERNARDINO, CALIFORNIA HELD FEBRUARY 21,1978 AT 3:00 P.M. Roll Call showed the following: Agency Members Present: Blum, Hinojosa, Wilson, Guhin and Green. Agency Members Absent: Obershaw and Heller. Others: R. E. Shadwell, Jr., Executive Director, Wm. A. Flory, Agency Counsel and Barbara A. Brown, Executive Secretary. Chairman Green called the meeting to order at 3: 30 p . m. Approval of Minutes of February 9, 1978 by Guhin and seconded by Blum. Motion carried by the following vote, to wit: Ayes: Blum, Hinojosa, Guhin and Green. Nays: None. Abstention: Wilson. Absent: Obershaw and Heller. APPROVE AGREEMENT RE: ESCROW FUND FOR MEADOWBROOK PROJECT Mr. Green asked Mrs. Saul, Director of Finance, to explain the Agreement to the Board Members. Mrs. Saul stated that this resolution would allow the Agency to enter into an Agreement with Bank of America for administering the escrow accounts set forth in the 1973 Refunding Resolution of Issuance. The Agreement, in the opinion of our present Bond Counsel , James Warren Beebe, would not be a legal requiremen~, however for bondholders and the ease of trading, it is desirable. Mr i Wilson asked Mr. Flory if he concurred in the authorization of the Agreement? Mr. Flory replied yes. The following resolution was adopted: RESOLUTION NO. 3532 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA APPROVING A CERTAIN AGREEMENT RE: ESCROW FUND. Motion to adopt Resolution No. 3532 by Wilson and seconded by Hinojosa. Motion carried by the following vote, to wit:. Ayes: Blum, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: None. Absent: Obershaw and Heller. APPROVE AGREEMENT RE: ESCROW FUND FOR CENTRAL CITY PROJECT Mrs. Saul stated this Agreement should have been entered into at the same time the afore- mentioned Meadowbrook Agreement was entered into. No discussion and the following resolution was adopted: RESOLUTION NO. 3531, RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA APPROVING A CERTAIN AGREEMENT ,RE: ESCROW FUND. 4523 Motion to adopt Resolution No. 3531 by Guhin and seconded by Blum. Motion carried by the following vote, to wit: Ayes: Blum, Hinojosa, Wilson~ Guhin and Green. Nays: None. Abstention: None. Absent: Obershaw and Wilson. .., SALE OF BONDS AND AUTHORIZATION OF COSTS OF ISSUANCE, STATE COLLEGE PROJECT AREA. I -i Mr. Green referred the item to Mrs. Saul, who stated the Agency received two bids for the sale of State College Bonds. The Agency chose the lowest and most responsible bid from Miller & Schroeder Municipals, Inc. Mrs. Saul stated that she feels the Agency received a very good bid for the bonds. Mr. Wilson asked how much the Agency would net from the Bond Sale. Mrs. Saul replied, after all costs are paid, approximately $150,000. Discussion followed regarding pre-paid interest and the type of bonds issued. Mrs. Blum inquired as to the advantage of having a 2 year pre-paid interest term bond. Mr. Green stated the advantage allows the Agency time before payment of interest to obtain the tax flow and tax increment necessary to make payments. The following resolution adopted: RESOLUTION NO. 3533 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA SELLING BONDS OF SAID AGENCY AND AUTHORIZING THE PAYMENT OF THE COSTS OF ISSUANCE. Motion to adopt Resolution No. 3533 by Wilson and seconded by Hinojosa. Motion carried 1 by the following vote, to wit: Ayes: Hinojosa, Wilson, Guhin and Green. Nays: None.' Abstention: Blum. Absent: Obershaw and Heller. ....J RESOLUTION AMENDING RESOLUTION NO. 3522 Mrs. Saul informed the Board the Resolution to be adopted was necessary because of legal verbage used therein. No further discussion. The following resolution adopted: RESOLUTION NO. 3534 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AMENDING RESOLUTION NO. 3522. Motion to adopt Resolution No. 3534 by Wilson and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: Blum. Absent: Obershaw and Heller. RESOLUTION APPROVING OFFICIAL STATEMENT FOR ISSUANCE OF STATE COLLEGE PROJECT NO.4 TAX ALLOCATION BONDS, ISSUE OF 1978, SERIES A. Mrs. Saul stated that the Board was merely authorizing something they had previously authorized, except for the fact the Official Statement is now in final form and/or print. Mr. Green asked if the Board was knowledgeable in the difference between Series A and Series B Bonds. He further explained that the $2,800,000 principal amount of the Agency's State College Project Bond Issue of 1978, Series A, are a portion of the ~ .....J [ r- L [ 4524 are not sold, Agency shall not be obligated to construct said golf course, or cause the same to be constructed, and this Lease and Operating Agreement shall be null and void, and of no force or effect. "unquote. The Mayor again referred to the Owner Participation Agreement. Mr. Green said he believes the $3,065,000 is a very good estimate and feels the project can be accomplished for this amount. He further stated the Agency will entertain a motion that the $3,065,000 amount be set. Motion by Blum and seconded by Guhin to approve an upset figure of $3,065,000 to be used as the total amount of participation by the Agency in this overall development. No vote was taken. Mr. Obershaw asked if, in the event the amount over- runs the upset figure, should the developer carry the leftover amount himself, and Mr. Green stated that he personally feels if there is an overage, it should be taken up at a later time. Mr. Wilson asked how the Agency will be aware of the fact that there is an overage of the upset figure. Councilman Gerwig stated that each month construction costs go up and inquired as to the time frame of the development. Mayor Holcomb said that he feels the development must be constructed in priority stages, as follows: 1. Golf course. 2. Club house. 3. Then, priorities could be established by the Hodgdons, but he feels the priorities should be directed towards tax increment producing products. Mr. Green said that Mr. and Mrs. Hodgdon are ready to commence construction on Cam- pus Crusade for Christ 6 months after approval of their development plans. Mr. Green stated in his opinion the priorities should be as follows: 1. Campus Crusade for Christ. 2 . Golf course. 3. Club house. 4. Construction of the residential units. Mr. Hodgdon could start construction of 38 units immediately after all grading was completed. Also, the entire grading contract should be let under one contract. Then Mr. Hodgdon would proceed with the re- maining homes 12 months, or sooner, after commencement of the first 38 homes. Mr. Green requested Mr. Hodgdon to address both bodies and the audience. Mr. Hodgdon stated that he feels this development is very unique. He said 90 percent of the engineering for the requirements of the golf course are finished. Mr. Hodgdon stated that in his opinion, Campus Crusade for Christ should be the first priority. He also said all public improvements could be done under one contract. He further stated that if any other person(s) desired to take over the position he and his wife have ac- quired regarding the development and honor their commitments, they are welcome to do so. He said the majority of the costs are going to the City and less than 30% will go towards the Hodgdon I s participation. He said that he felt confident that all participating parties can work within the $3,065,000 figure. Mr. Hodgdon stated another "first" priority would be finishing Blair Park and he would personally contribute toward the completion of the park. Mayor Holcomb questioned Mr. Hodgdon if he was agreeable to the $3,065,000 figure and Mr. Hodgdon replied that he was. Priorities were again dis- cussed. Mayor Holcomb feels Blair Park should be one of the last priorities because of the tax 4525 increment derived. Water for the golf course discussed. Mr. Green stated that there was an amount set aside for the required water in the OP Agreement. ...., Mr. Green then stated there was still a motion on the floor by Blum and seconded by Guhin that he would like the board to vote on. Mr. Wilson asked again what will happen if the development can't be brought in for the $3.065.000. Mr. Green responded to Mr. Wilson by stating that he doesn't feel the price will be that high. Mr. Obershaw asked if Mr. Hodgdon was willing to put up the difference for just Blair Park or for the entire development. Mr. Hodgdon stated that it is his opinion the whole project can be brought in for $3.065.000. including Blair Park. and that he is willing to make up the difference for saving Blair Park. but not the whole project. Mr. Green said the figures were supplied by the Agency who got them from professional engineers. Mr. Obershaw asked Mr. Hodgdon where he got his figures. and he replied from the Agency. Mr. Wilson asked his question again. regarding where the Agency will get the money and Mr. Green said there is simply no way the Agency can estimate the figures any more accurately then they have already done. ! ..-J Mr. Heller referred to page 3 of the O. P. Agreement and asked what the City's intentions are with reference to the straightening of Little Mountain Drive. Mr. Heller stated that he feels the City should pay for this cost. Councilman Katona responded that at the time the City agreed to do the straightening of Little Mountain Drive. the figure was not as high as now. Mr. Green said if the City would pay for this incurred cost. the Agency would have $123.000 less cost to bear. Mr. Wilson asked if the Elks Club would be willing to help the Agency in the development and Mr. Spoor. after introduction to all persons stated the request must go the Lodge and pass by a 2/3rd's vote for anything over the agreen upon price of $172.000. then receive approval from the Grand Lodge. He further stated this procedure could take over two months. ~ ~ ...., Discussion between the Mayor and Mr. Hodgdon was again held regarding priorities. May- or Holcomb said his preference is as follows: 1. Golf course. 2 . Club house. 3. Campus Crusade for Christ. 4. Residential off-site improvements and last. 5. Blair Park. Councilman Katona interjected at that time by stating that it didn't matter what the Mayor's priorities were. that the priorities would be set by the Council and not the Mayor or Mr. Hodgdon. Mr. Green asked for a Vote on the motion to set an upset figure by the Agency for $3.065.000 with the vote taken to wit. as follows: Ayes: Blum. Obershaw. Hinojosa. Wilson. Heller. Guhin and Green. Nays: None. Abstention: None. Absent: None. Mr. Green requested the Council to approve the upset figure. Mayor responded by statin~ he feels the Council should be agreeable to the figure. Councilman Hudson asked where " the upset figure language would be inserted in the OP Agreement. Mr. Green stated Mr. Beebe's Law Office would prepare the insert. Mr. Beebe stated the clause would go ..-J on Page 5. Para. "H". after the words "null and void." 4524 [ $6,000,000 principal amount of bonds authorized for issuance pursuant to Resolution No. 3522, adopted by the Agency on February 9, 1978 and are being issued pursuant to a Supplemental Resolution No. 3525 adopted February 9, 1978. The Agency could authorize Series B Bonds in the amount of $3.2 Million Dollars at some future time, perhaps for the commercial, residential, recreational development in the State College Project. No further discussion. The following resolution adopted: RESOLUTION NO. 3535 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING THE OFFICIAL STATEMENT FOR THE ISSUANCE OF ITS STATE COLLEGE PROJECT NO.4 TAX ALLOCATION BONDS, ISSUE OF 1978, SERIES A. Motion to adopt Resolution No. 3535 by Wilson and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: Blum. Absent: Obershaw and Heller. RESOLUTION APPROVING AN AGREEMENT FOR FISCAL AGENT SERVICES, STATE COLLEGE PROJECT NO.4. [ Mrs. Saul stated that the Agency has used Bank of America for Fiscal Agency Services in the past on bond issues and they give excellent service to the Agency. Therefore, she would recommend the Board authorize the Agreement for the State College $2.8 Million Dollar Issuance between the Agency and the Bank of America. The following resolution adopted: RESOLUTION NO. 3536 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO APPROVING AN AGREEMENT FOR FISCAL AGENT SERVICES. Motion to adopt Resolution No. 3536 by Guhin and seconded by Wilson. Motion carried by the following vote, to wit: Ayes: Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: Blum. Absent: Obershaw and Heller. Mr. Green stated there had been an item on the Agenda that had been removed, however, he would like the Board to entertain a Motion to continue the matter of a Resolution rescind- ing Resolution No. 3513 and accepting a revised Initial Study for residential, commercial, and recreational development located in the State College Project, together with a directive for preparation of a Negative Declaration thereto, to February 23, 1978 at 3: 00 p.m. Motion to continue said item to February 23, 1978 at 3: 00 p.m., by Guhin and seconded by Wilson. Motion unanimously carried. Abstention: None. Absent: Obershaw and r- Heller. I I Mr. Green inquired if there was other business for the Board to attend to. No response. ..... Mr. Green reminded the Board of the many meetings coming up regarding pending bond issues and Public Hearings. He further informed the Board that the meeting set for March 7, 1978 had been changed to March 9, 1978 at 3: 00 p.m. 4525 Motion to adjourn to Adjourned Regular Meeting February 23, 1978 at 3: 00 p.m. by Wilson and seconded by Blum. Motion unanimously carried. Abstention: None. Absent: Obershaw and Heller. R. E. Shadwell, Jr., Executive Director -, J ..-; " .... ...... lIIII! ....... [ [ [ 4526 Councilman Katona stated that he would like for the OP Agreement to be brought back to the Council on March 6, 1978. He stated he has questions regarding tax increment, water and others. He further stated that he doesn't think the tax increment will fit. He feels the development should go back to the Agency for refinement on the figures in order for the 5 year tax increment to fit. Mr. Green informed Councilman Katona that his doesn't think that 6!- years tax increment should keep the development from coming into fruition. More discussion ensued regarding possible help from the Elks Club with tax increment. Mr. Spoor reiterated his previous statement that it would take from two to three months to get a vote. Mayor Holcomb asked if anyone in the audience wished to be heard. Richard Rice addressed the Council with his questions regarding the development. Mr. Hodgdon answered Mr. Rice's question to his satisfaction. Nick Norton was sworn in. He spoke regarding Blair Park. John Lowe, Campus Crusade for Christ spoke regarding the need for a new administative building. He admonished both bodies by stating that Campus Crusade for Christ does not have to locate in the San Bernardino area, however, they would like to be able to do so. He spoke further with reference to the many new jobs, employees and taxes that will come to the City because of their new development in State College Park. Motion made by Councilman Wheeler and seconded by Councilman Katona, to continue discussion on the proposed development till 3: 00 p.m., March 6, 1978. Councilman Katona informed the Agency Board that he would like for them to set a list of priorities for construction to be done by the Agency. Mr. Green stated the Agency would be able to do that. Mr. Green stated that he wanted the Agency Board and Staff to be fully informed as to just exactly what the Council wants: Councilman Katona stated his desires, as follows: 1. Set an upset figure. 2. Set priorities of construction by Agency. 3. Water problem. 4. Copy of Mr. Green's formula for getting within a 5 year tax increment program. Mayor opened the Public Hearing on the 2. 7 acres at 10: 00 p . m . Mr. Obershaw made a motion seconded by Guhin that the Agency Board adjourn till March 6, 1978 at 3: 00 p.m. Mr. Green requested that the motion and second be with- drawn inasmuch as the Agency advertised for the items still pending on the Council Agenda and feels it would be prudent for the Board to stay for the remainder of the items. Mr. Obershaw said he was sorry and withdrew his motion to adjourn. Mr. Guhin withdrew his second on the motion. Mr. Green referred to the Elks Club Lease Agreement. Mayor requested questions 4527 from the Counsel. No response. Mayor asked Mr. Green if the Agency advertised for proposals on the Golf Course and was informed yes. Councilman Katona asked how much the Agency paid for the old Elks building and was informed $1,200,000 plus relocation costs of approximately $35,000-$37,000. Councilman Wheeler inquired as to. the method used for ad~ertising and was informed the ad ran in the Sun Telegram, Precinct Reporter and El ChIcano. Mayor asked for questions from the audience. No response. Councilman Katona asked if the Elks paid property tax and was informed by Mr. Green they did. Councilmen Katona and Hobbs both stated they felt the Elks should help contribute more money toward the development. Mr. Spoor told all con- cerned that the Elks would contribute $172,000, as previously pledged and no more. If the Council can't accept the amount, then the Elks will withdraw their proposal. Motion to continue this item till 3: 00 p.m. , March 6, 1978. Mayor opened Public Hearing on Lease Agreement at 10: 15 p.m. --... j -J Mr. Green stated that he assumed everyone had read the Agreement. He referred to the payments that come to the Agency. Mayor requested questions from the Council. Councilman Wheeler asked if the payments are normal for a golf course. Mr. Green responded, that as he understood the situation they are ,however, he stressed the fact the Redevelopment Agency Staff are not professionals in the area of golf courses. Council- man Wheeler asked how the advertisement was handled. Mr. Green said the Agency advertised in the 3 aforementioned newspapers, plus mailed an Invitation for Proposals to entities in the State of California from a list of names provided the Agency by Council- man Wheeler. The Agency directly contacted some entities with the qualifications the Agency thought necessary for a championship golf course. Possessory tax discussion ensued between Councilman Katona and Mr. Green. The Mayor asked for questions from tt=the audience. No response. Motion to continue this item till 3: 00 p.m, March 6, 1978. ~ Mr. Hodgdon addressed the Council by stating in his opinion the whole situation is a "big mess" , quote, unquote. He commended Mr. Green on his stature as a man by saying that all concerned in the audience could learn something from Mr. Green's be- havior, including himself. Mr. Hodgdon's statements met with approval from persons in attendance. .....", Councilman Hobbs stated that he wanted a "skull session" with the Agency. Mr. Green informed Councilman Hobbs he would be willing to meet with him, but there was nothing to negotiate as far as the Elks are concerned. Mr. Green then said he felt it would be beneficial for him to make the following statement. The Agency Staff and Board always try to negotiate the best deal possible for the Agency and the City. The Agency could not reach any agreement with Curci -Turner. Mr. Hodgdon came into the program and Mr. Green personally feels we have the best deal from Warner Hodgdon. He stated he would like the Council to pursue any further negotiations with Mr. Hodgdon per- sonally, as he thinks the Agency could not possible negotiate a better deal than the one they already have from Mr. Hodgdon. Councilman Gerwig stated that he did not feel further negotiations were necessary with Mr. and Mrs. Hodgdon and the project is excellent. Councilman Castaneda stated he felt the same as Councilman Gerwig and would vote for the project now. Councilman ..... -.J [ r '- [ 4528 Wheeler said he doesn't feel the design presented represented a championship golf course. Mayor suggested that Councilman Wheeler take this matter up directly with Mr. Bickler. Mr. Bickler addressed all concerned. After Mr. Bickler's dissertation the matter was continued until 3:00 p.m. ,Monday, March 6,1978. Motion for the Redevelopment Agency to adjourn to Regular Meeting, Thursday, March 2, 1978 at 3: 00 p.m. by Wilson and seconded by Obershaw. Motion unanimously carried. Abstention: None. Absent: None. I R. E. Shadwell, Jr. Executive Director -. ....., "'" ...,.tI ..... ......, [ ,- ~ '-- "... t L 4529 MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, 300 NORTH "D" STREET, SAN BERNARDINO, HELD THURSDAY, MARCH 2, 1978 AT 3: 00 P.M. Roll Call showed the following: Agency Members Present: Obershaw, Hinojosa, Wilson, Guhin and Green. Agency Members Absent: Blum and Heller. Others: R. E. Shadwell, Jr., Executive Director, Wm. A. Flory, Agency Counsel and Barbara A. Brown, Executive Secretary. Chairman Green called the meeting to order at 3: 02 p . m . - Minutes of February 16, 1978 submitted for approval. Motion to approve by Wilson and seconded by Guhin. Motion carried unanimously. Abstention: None. Absent: Blum and Heller. Minutes of February 21, 1978 submitted for approval. Motion to approve by Wilson and seconded by Hinojosa. Motion carried unanimously. Abstention: None. Absent: Blum and Heller. Minutes of February 23, 1978 submitted for approval. Motion to approve by Obershaw and seconded by Guhin. Motion carried unanimously. Abstention: None. Absent: Blum and Heller. PUBLIC HEARING-1.14 ACRES OF LAND TO FORD/INGRAM, SOUTHEAST INDUSTRIAL PARK. Mr. Green opened the Public Hearing at 3: 05 p.m. Mr. Oberhsaw inquired how much the Agency paid for the land and was informed $15,000 per acre. Mrs. Blum and Mr. Heller arrived at 3: 06 p . m . Mr. Green went into a detailed explanation as to the relationship on this 1.14 acre piece of land and the land already owned by Messrs. Ford and Ingram, also located in SEIP. The two pieces of land are inter-related and necessary one to the other. There will be a rail spur provided for the 1.14 acre piece, which will serve -the other property as well. The piece of property already owned by Ford/Ingram will consist of 77 , 000 square feet of building and 1.14 acre in question will house approximately 17,000 square feet of building. The value of the 77 ,000 square foot building is approximately $1 Million Dollars and the value of the 17 ,000 square foot building is approximately $200,000, totaling $1,200,000 worth of development. Mr. Green further stated the 1.14 acre is a unique piece of property and would probably be very difficult to sell, however, for the Ford Wholesale development it is dependent, one on the other. Mr. Green called for questions from the audience. No response for or against the sale of the property and the Public Hearing was declared closed by Mr. Green at 3: 12 p.m. 4530 AUTHORIZATION OF CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT OF SALE WITH FORD/INGRAM FOR PROPERTY IN SEIP FOR $5,700.00. Mr. Obershaw questioned the tax increment on the two developments and was informed ,.., i they will generate, together, $26,000 tax increment per year. Mr. Ray Glider, private J development consultant for the Agency addressed the Board and further explained the j situation. Mr. Wilson asked Mr. Glider how many employees would be hired. Mr. Glider stated the two developments would comprise approximately 50 employees. Mrs. Blum stated in her opinion, because of the unique size and location of the 1.14 acres of land, that it would be nice to sell to Ford/Ingram and have the additonal tax increment. Mr. Green informed the Board the Agency will be required to install public improvements at a later date. Mr. Wilson informed Mr. Green there was a typographical error in the Contract of Sale regarding the completion date of construction. Mr. Green thanked Mr. Wilson for bring- ing the error to the Agency's attention and assured the Board the error would be corrected. Discussion revealed that construction on the 1.14 acres would begin at the end of the year and construction on the 77,000 sq. ft. building would commence sometime next year. The 77,000 sq. ft. building will be on the tax roll, perhaps by 1979. Mr. Heller inquired why the staff deleted certain items of work from the Contract of Sale and was informed the Agency will sell the land and to do curbs and gutters only. Motion by Obershaw and seconded by Guhin to make the necessary correction and/or deletion from the Contract of Sale. Motion carried unanimously. Absent: None. .., I ...J The following resolution was adopted: RESOLUTION NO. 3541 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT OF SALE WITH CHARLES A. FORD, A MARRIED MAN AND BILL H. INGRAM, A MARRIED MAN, AS TENANTS IN COMMON FOR PROPERTY LOCATED WITHIN SOUTHEAST INDUSTRIAL PARK FOR CONSTRU- CTION OF A SPECIALIZED WAREHOUSE AND DISTRIBUTION FACILITY FOR A PURCHASE PRICE OF $5,700.00. Motion to adopt resolution No. 3541 by Obershaw and seconded by Guhin, and make nece- ssary corrections in Contract of Sale. Motion. carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. AUTHORIZATION OF CHAIRMAN AND SECRETARY TO ENTER INTO OWNER PARTICIPATION AGREEMENT WITH FORD/INGRAM FOR PROPERTY IN SEIP. -... ......- [ [ [ 4531 No discussion and the following resolution adopted: . RESOLUTION NO. 3542 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO A PROPERTY OWNER'S PARTICIPATION AGREEMENT WITH CHARLES A. FORD AND BILL H. INGRAM, SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA. Motion to adopt Resolution No. 3542 by Wilson and seconded by Heller. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. Mr. Baker, representing the Sun Telegram, inquired how many employees the present Ford Wholesale development now has and was informed by Mr. Green that he really doesn't know. No further discussion. AWARD CONTRACT TO JESSE HUBBS & SONS FOR CONSTRUCTION OF OFF-SITE IMPROVE- MENTS IN RIVERVIEW CENTER, SEIP FOR $424,549.59. Mr. Green referred to the area in question on a map for review by the Board. He stated the Agency received a $600,000 Grant from E . D . A. The Grant only applies to the street improve- ments and not the rail trackage. Also, Warner W. Hodgdon will reimburse the Agency in the amount of $67 , 750.00 for his share of grading of the site that was included in the Contractor's overall Bid. The following resolution was adopted: RESOLUTION NO. 3543 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 STREET IMPROVEMENTS AND UTILITY CONSTRUCTION, PHASE II, RIVERVIEW DRIVE AND RICHARD- SON STREET, SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA. Motion to adopt Resoltuion No. 3543 by Wilson and seconded by Blum. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. It was agreed that said motion for the adoption of the resolution would include the receipt of Cashier's Check from Warner W. Hodgdon in the amount of $67,750.00. No Notice of Proceed would be issued until the Agency is in receipt of said Cashier's Check. AWARD CONTRACT TO JESSE HUBBS & SONS FOR RO\JGH GRADING OF SENIOR CITIZEN HOUSING, ALEXANDER/WEISSMAN DEVELOPMENT, CENTRAL CITY NORTH, IN THE AMOUNT OF $112,747. 4532 Mr. Green stated the Notice to Proceed on this development will not be issued until the Ag- ency is in receipt of a letter stipulating final HUD APPROVAL. It was stipulated that this amount does not include all of the Agency's participation in the development. Mr. Green ] referred back to the Riverview Center development and informed the Board that there will 1 spur lines etc.. at a later date. Then. referring back to the Alexander /W eissman Develop- ' ment, he stated the Agency is committed to a total amount up to $290,000 and the amount in question of $112,747 is the first phase of the development. Mr. Heller questioned the fact that 5 bids were received on the Riverview Center development and only 2 bids were received on this development. Mr. Shadwell explained that the probable cause was the size and amount of the development. With no further discussion the following resolution was adopted: RESOLUTION NO. 3544 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT WITH JESSE HUBBS & SONS FOR ROUGH GRAD- ING OF SITE FOR SENIOR CITIZENS HOUSING DEVELOPMENT, CENTRAL CITY NORTH FOR THE AMOUNT OF $112,747.00. Motion to adopt Resolution No. 3544 by Obershaw and seconded by Hinojosa. Motion carried by the following vote, to wi t: Ayes: Blum, Obershaw, Hinoj osa, Wilson, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. MOTIONS FOR CONSIDERATION: ..., Mr. Green stated this item had been brought up Monday night, Feb. 27, 1978. The Counci'r"-' directed the Agency to list their priorities for the proposed State College Commercial, Residential and Recreational Development. Mr. Green said that he feels one contract should be let, if possible, for the entire grading work. That way the Agency can arrive at the exact costs they will be incurring for the pro- ject. Mr. Green would like the Board to authorize possibly 2 contracts. One contract will do all of the grading and the straightening of Little Mountain Drive, and the other contract will be for construction of the golf course beyond the rough grading. As for the water, the City will insist that their Water Dept. do the work through their "force account" . Mr. Wilson said that he would like for all the work to be let under one contract and get results of the costs before the Agency commits itself to the $3,065,000 upset figure. Mr. Green also stated that design costs of the golf course could be let under the one contract. The cost of the golf course the Agency already knows. Mr. Green informed the Board that they are not locked into this commitment at this time. The Agency's priority will be one contract to find out actual costs. Mr. Green stated the Agency must let an engineering contract before going to bid on the one large grading contract. The engineering is nece- ssary in order to have the plans for the grading contract. Mr. Wilson stated that if the Agency can bid under one contract, a lot of money will be saved. Motion by Blum and seconded by Guhin to go out for bid under one large contract for the entire project, ex- cluding the design engineering and water. Motion unanimously passed. Abstention: None. Absent: None. -, I I ..-i r ..... r ... r- L 4533 Mr. Flory explained that the changes in the Owner Participation Agreement will protect the Agency by amended clause; if the costs come in over the $3,065.00 upset figure, the Agency would then be in a position to back out of the proposed development. Mrs. Blum asked if it would be possible to ensure against any Change Orders and was in- formed no. Mr. Green stated that Mr. Hodgdon agreed to finish Blair Park, if necessary, and that figure would amount to $312,000, thus giving the Agency a 10% cushion. Mr. Baker asked if the Agency had any estimate on the engineering design costs and was informed no . Mr. Heller asked if the Mayor wanted the Agency I s priorities listed. Mr. Green said the Agency is suggesting that one contract will hold the project together, making all projects a first priority . Mr. Baker asked if the design figure was over and above the upset figure and was informed yes. Mr. Heller referred back to the railroad spur to be installed in SEIP for Ford/Ingram and was informed by Mr. Green that there will be no problem. Mr. Heller complimented Mr. Green and the Agency staff on their fine work performances and Mr. Obershaw complimented Mr. Shadwell on his performance. Mr. Obershaw referred to a past Meeting wherein Mr. Green stated the hotel operators would be named. Mr. Green stated he had received a call from Mr. Schwartz saying he could not make the time scheduled for naming the operator, however, he did give Mr. Green names of the operators that he, Mr. Schwartz, had been dealing with. Mr. Green stated he could not give out the names of the operators yet, but will try to have more information to the board by March 16, 1978. Mr. Green further stated that he had not, as yet called the operators. There are four different operators and they are nationally known. Mrs. Blum asked about the Alexander/Weissman Development and was informed they were to break ground on the 1st of March, however, they are still waiting for formal HUD approval. Motion to adjourn to Adjourned Regular Meeting Monday, March 6, 1978 at 3: 00 p.m., in the Council Chambers by Obershaw and seconded by Guhin. Mr. Shadwell reminded the Board of the pending board meetings. Motion then unanimously carried. Abstention: None. Absent: None. R. E. Shadwell, Jr. Executive Director .., ...""J .., .....J ..... ......., r-- k ti t \..., [ [ 4534 MINUTES OF THE JOINT PUBLIC HEARING BETWEEN THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AND THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO HELD AT 3: 00 P.M., IN THE COUNCIL CHAMBERS OF CITY HALL, 300 NORTH "D" STREET, SAN BERNAR- DINO, CALIFORNIA, MONDAY, MARCH 6, 1978. Board Members Attending: Blum, Obershaw, Hinojosa, Heller and Wilson. Board Members Absent: Green and Guhin. Others Attending: R. E. Shadwell, Jr., Executive Director, Wm. A. Flory, Agency Counsel, and Barbara A. Brown, Executive Secretary. City Attendance: Mayor Holcomb and full Council, City Attorney, City Administrator and Deputy City Clerk. Mayor Holcomb acknowledged the presence of the Redevelopment Agency Board and Staff and requested the Agency to convene. Vice-Chairman Blum asked for Roll Call. Mayor stated that two items have occurred since the Public Hearing held February 27, 1978. One, he has received a letter of intent from a developer indicating a desire to build in the State College Project a 700,000 square foot building, employing 1,000 people, mostly from the local area. He said the Agency would have to extend street improvements, sewer and grading, plus make other public improvements, well within the 5 year tax increment pro- gram. He said the Agency does not have the money for the golf course and the residential section plus the industrial development. The Mayor feels the golf course $hould be deferred until a later date. Two, the City has been contacted by a golf course developer who looked at the prospective property, made a study, are very interested in the site and prepared to make a feasibility study and come in and do the golf course at no cost to the City or the Agency. The un- named developer has had experience in doing this type of development elsewhere. They would like time to complete their feasibility study, which would take about two more weeks. The Mayor feels this new turn of events would save in excess of $1 Million Dollar.s. The developer would, however, have to purchase the proposed land from Mr. and Mrs. Hodgdon. Councilman Hobbs stated if the developers do the golf course, would there be enough money to do both projects and the Mayor replied no. The Ma;yor feels that action should be pur- sued on the new developments and continue the Hearing for two weeks. Discussion followed between Councilman Katona and the Mayor. Mr. Obershaw asked how many employees Campus Crusade for Christ would have and was informed 600 people. The Mayor stated that he did not wish to defer the Campus Cru- sade for Christ development and that Mr. Hodgdon had been informed by him that his land would have to be negotiated for purchase by the new golf course developer. Councilman Wheeler stated he had been working hard on the proposed golf course and would like to continue working on the course, now with the Mayor and the new developer. The Mayor said that priority-wise, the City and Agency should go for the ~ndustr~al develop- ment. Mr. Obershaw inquired if the Agency would be informed about the mdustrIal plant 4535 at their meeting to be held March 9, 1978 and the Mayor replied that he did not think the developers would be ready by then to make their proposal. Mr. Obershaw inquired if the proposal would be available by March 16th and the Mayor said "ok." l Discussion between the Mayor and Mr. Heller regarding bonding the two projects and .....l what type of bonds would be issued. Councilman Wheeler again referred to his desire to work on the proposed golf course. Discussion reverted back to the new development. Mayor Holcomb stated that Chairman Green had seen the letter of intent and that he, the Mayor, had personally informed Council- man Hudson about it. He reiterated by stating he did not elaborate the point with Council- man Hudson, but he did, in fact tell him there could be a very large development coming into the State College Project. Further discussion ensued regarding bonding of both projects between Mayor Holcomb and Mr. Wilson. Councilman Katona stated that he now feels the Hodgdon project could fit into the 5 year tax increment program. Councilman Katona further stated that he wanted to go along with the Campus Crusade for Christ and residential development and inquired if it were possible. Discussion ensued between Councilman Katona and the Mayor re- garding 5 year tax increment for residential and Campus Crusade for Christ developments. Mayor Holcomb said another item he wanted to take a good hard look at was the Behr Bill and what affect it would have on residential housing. The Mayor further stated he did not feel the Agency should use public funds when they have access to private funds. Mr. Guhin arrived: 3: 26 p.m. 1 ....J Mrs. Blum asked if Mr. Hodgdon would want to sell his land to a private developer. No response. Mr. Richard Rice addressed both bodies and read a letter stating his displeasure regard- ing the golf course and the proposed residential housing. Councilman Hobbs stated that he feels the project must be looked into. Councilman Castaneda stated he wanted to hear from Mr. Hodgdon. Sharon Hodgdon addressed both bodies and stated she did not understand why the council would entertain another proposal that wasn't even properly presented, while she and her husband had worked long and hard to make sure that all persons involved were apprised of all aspects of their proposed development. The Mayor replied that he thought 1,000 jobs in the City were more important than the golf course and secondly, if the City can save the Agency $1 Million Dollars, it is a lot better than spending a Million to a Million and one-half dollars unnecessarily. Councilman Gerwig demanded to know who the developer was. Mayor Holcomb refused to divulge the name, but did state he would, in private, inform all the councilmen. He ~ further stated he would not name the developer publicly because of the competition from .1'. other cities. . -J [ r- L [ 4536 Mrs. Blum asked if the Board 'wished to continue their meeting until March 20, 1978 at 3: 00 p.m.? Motion by Wilson and seconded by Obershaw to continue joint meeting until 3: 00 p . m. , Monday, March 20, 1978 in the Council Chambers of City Hall. Warner Hodgdon addressed all concerned. He spoke positively on the Behr Bill and its affect on residential housing. He also stated that the proposed industrial plant will come in increments. He said that he wanted to meet with the proposed golf course developer regarding the ground that he owns. Additonal information from Mr. Hodgdon regarding bonding. Mr. Hodgdon then stated that he feels a continuance until Marcil 20, 1978 would probably be a good thing and offered his assistance to all parties. Mayor Holcomb thanked Mr. Hodgdon for his remarks. The Mayor said that he could not see anything wrong in saving $1 Million Dollars and building a 700,000 squre foot building that would employ 1,000 people. Mr. Ray Glider addressed the Council. He stated he did deliver a letter of intent expressing a desire to acquire 710,000 square feet of manufacturing and warehousing space. Council- man Katona asked Mr. Glider when he heard about the development. Mr. Glider said one investor contacted him four weeks ago and asked for a meeting in order to get together with another investor. At that point Councilman Katona told Mr. Glider that he is to bring documents to the council. Councilman Katona then asked if the project could have gone into Southeast Industrial Park and Mr. Glider said because of the size, it was prohibited from going into SEIP . Mr. Hodgdon again spoke. He stated that while he has personal differences with the Mayor, he will not allow that to stand in the way of the City's progress and highly recommended that the City and the Agency get going on the bond issues. Discussion regarding the need of confidentiality regarding the letter of intent. Councilman Gerwig asked Ralph Prince, City Attorney, if said letter of intent should be a public document. Mr. Prince replied that he would have to examine the document before he could render an opinion. Mr. Jim Schroder from Campus Crusade for Christ spoke. Mr. Shadwell, addressed Councilman Gerwig by saying that this letter of intent was handled no differently than any of the other developments that have located in the San Bernardino area and there was no secrecy involved or intended except to lessen the competition from other cities. Mrs. Blum requested the Agency Board to vote on their motion to continue the meeting until 3: 00 p.m., Monday, March 20, 1978. Motion carried unanimously. Abstention: None. Absent: Green. Mrs. Blum requested the Council to continue their meeting until March 20, 1978 at 3: 00 p.m. in the Council Chambers. Councilman Katona asked if there was time for the bonds and Mr. Beebe replied the issue could be ready by the 20th. Discussion between Mr. Beebe and Councilman Katona regarding bonding capacity, with further discussion between the Mayor and Mr. Beebe regarding same. 4537 Councilman Hudson asked if Campus Crusade for Christ project could go ahead. Mr. Hodgdon said no, that for one thing ,the storn. drain would present considerable problems and also, that his proposal was financially monolithic, and that Campus Crusade for Chirst could not be separated from the rest of the project. ..., .......J Motion to continue the City's hearing until March 20, 1978 at 3: 00 p.m., by Councilman Hudson and seconded by Councilman Wheeler. Motion unanimously carried. Mr. Hodgdon requested the meeting be held at 6: 00 p.m. , or 7: 00 p.m., in order to allow the day-working persons time to attend. Motion amended by Councilmen Hudson and Wheeler and unanimously carried. Agency motion amended by Wilson and Obershaw and unanimously carried. Motion to adjourn to Adjourned Regular Meeting, Thursday, March 9, 1978 at 3: 00 p.m. by Guhin and seconded by Heller. Motion unanimously carried. Abstention: None. Absent: Green. , R. E. Shadwell, Jr. Executive Director ,.., ......J ....... , -..J [ [ [ 4538 MINUTES OF ADJOURNED REGULAR MEETING OF THE REDEVELOPMENT AGENCY HELD MARCH 9, 1978 AT 3: 00 P.M., 300 NORTH IIDII STREET, SAN BERNARDINO, CALIFORNIA. Roll Call showed the following: Agency Members Present: Blum, Obershaw, Hinojosa, Guhin and Green. Agency Members Absent: Wilson and Heller. Others Present: R. E. Shadwell, Jr., Executive Director; Wm. A. Flory, Agency Counsel; and Barbara A. Brown, Executive Secretary. Chairman Green called the meeting to order at 3: 15 p. m. RESOLUTION SELLING BONDS AND AUTHORIZING PAYMENT OF COST OF ISSUANCE OF SAID BONDS, CENTRAL CITY SOUTH. Mr. Green stated the Agency sold $1.5 Million Dollars in bonds. He then referred the i tern to Mrs. Glenda Saul, Agency Director of Finance. Mrs. Saul said the Agency re- ceived three bids for the bonds. The lowest and best bid was received from the firm of Miller & Schroder from Minneapolis, Minn. with a coupon rate of 5.2%, net interest of 6.87% and a discount of 5%. Mrs. Blum asked Mrs. Saul what the word IIprojectionll meant in relation to bonding capacity and Mrs. Saul explained to Mrs. Blum I s satisfaction. Mr. Shadwell further reiterated what Mrs. Saul said by remarking to Mrs. Blum that a good example would be the Hotel for the Central City Project inasmuch as it is a projected development for the area with proj ected income. The following resolution was adopted: RESOLUTION NO. 3545 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA SELLING BONDS OF SAID AGENCY AND AUTH- 0RIzING THE PAYMENT OF THE COSTS OF ISSUANCE. Motion to adopt Resolution No. 3545 by Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Guhin and Green. Nays: None. Abstention: None. Absent: Wilson and Heller. Mr. Ba.ker asked what the net proceeds to the Agency would be after payment o~costs. Mr. Shadwell referred to Page 3 of Resolution No. 3545 whereby it states the net pro- ceeds would be $1.395 Million to the Agency. APPROV AL OF OFFICIAL STATEMENT FOR ISSUANCE OF CENTRAL CITY SOUTH BONDS, ISSUE OF 1978. 4539 Mrs. Saul informed the Board the Official Statement is a required document. With no further discussion the following resolution was adopted: .... RESOLUTION NO. 3546 .~ , -J RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING THE OFFICIAL STATEMENT FOR THE ISSUANCE OF ITS CENTRAL CITY SOUTH, TAX ALLOCATION BONDS, ISSUE OF 1978. Motion to adopt Resolution No. 3546 by Guhin and seconded by Obershaw. Motion car- ried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Guhin and Green. Nays: None. Abstention: None. Absent: Wilson and Heller. FISCAL AGENT SERVICES AGREEMENT, CENTRAL CITY SOUTH Mrs. Saul stated that on every bond issue the Agency must enter into an Agreement for Fiscal Agent Services. Mr. Obershaw asked if this one was with the Bank of America and Mrs. Saul replied that it was. Mr. Baker asked how much the services cost the Agency. Mrs. Saul said usually the Agency pays between $1,500 and $1,800 semi -annually. Mr. Shadwell stated that in this case there are only 300 bonds with coupons so the figure stated by Mrs. Saul should be considerably less for the Central City South Issue. Mrs. Saul concurred with Mr. Shadwell's statement. The following resolution was adopted: ~ ;~ ~ -J RESOLUTION NO. 3547 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO APPROVING AN AGREEMENT FOR FISCAL AGENT SERVICES. Motion to adopt Resolution No. 3547 by Blum and seconded by Obershaw. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Guhin and Green. Nays: None. Abstention: None. Absent: Wilson and Heller. RESOLUTION PROVIDING FOR THE SALE OF $24,150,000 PRINCIPAL AMOUNT OF TAX ALLO- CATION BONDS , MEADOWBROOK-CENTRAL CITY REDEVELOPMENT PROJECT NO.1. Mr. Green referred to the previously authorized sale of bonds in the amount of $23,985,000. The sale was cancelled prior to any bids being received because it was obvious that the interest rate was going to be too high. Mr. Green also said that the Agency's financial consultant and legal counsel recommended cancellation of the issue and immediate restruct- uring in order to obtain a better bid. The refunding action has now been restructured f~ bond issue of $24,150,000 and it is believed that this new issue will produce better result ..~ for the Agency. Representatives of both Miller and Schroeder and Jas. Warren ,Beebe i offices will be present at the March 20, 1978 board meeting to answer any questions re- -...I garding the issue. The following resolution was adopted: ,.... I ..... r I ..... ,.... f ; L.- 4540 RESOLUTION NO. 3548 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO PROVIDING FOR THE SALE OF $24,150,000 PRINCIPAL AMOUNT OF TAX ALLOCATION REFUNDING BONDS, ISSUE OF 1978. Motion to adopt Resolution No. 3548 by Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Guhin and Green. Nays: None. Abstention: None. Absent: Wilson and Heller. Mr. Baker asked if the sale date was still March 20, 1978 for sale of the bonds and was informed that it was. Motion to adjourn by Obershaw and seconded by Guhin. Motion carried unanimously. Abstention: None. Absent: Wilson and Heller. R. E. Shadwell, Jr. Executive Director -.., t: I .....J ...... ...J ~ ......,tI r .... "... i '- [ 4541 MINUTES OF REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA HELD MARCH 16, 1978 AT 3: 00 P.M., 300 NORTH "D" STREET, SAN BERNARDINO, CA. Roll Call showed the following: Agency Members Present: Obershaw, Hinojosa, Wilson and Green.. Agency Members Absent: Blum, Heller and Guhin. Others: R. E. Shadwell, Jr. , Executive Director, Wm. A. Flory, Agency Counsel and Barbara A. Brown, Executive Secretary. Chairman Green opened the meeting at 3: 06 p . m. APPROVAL OF MINUTES: The Minutes of February 27, 1978 submitted for approval. Motion to approve Minutes by Obershaw and seconded by Wilson. Motion carried un- animously. Abstention: None. Absent: Blum, Heller and Guhin. The Minutes of March 2, 1978 submitted for approval. Motion to approve Minutes by Hinojosa and seconded by Wilson. Motion unanimously carried. Abstention: None. Absent: Blum, Heller and Guhin. The Minutes of March 6, 1978 submitted for approval. Motion to approve Minutes by Obershaw and seconded by Wilson. Motion unanimously carried. Abstention: None. Absent: Blum, Heller and Guhin. Mr. Guhin arrived: 3: 07 p. m. APPROV AL OF EXPENDITURES: The Expenditures for the month of February submitted for approval. Motion to approve expenditures by Wilson and seconded by Hinojosa. Mo- tion unanimously carried. Abstention: None. Absent: Blum and Heller. CONTRACT AMENDMENT-CENTRAL CITY EAST Mr. Green explained that the property was previously approved in Contract for Sale between the Agency and FBV Investment Properties, Inc. The developers now desire the vesting changed. There will be no other changes in the Contract. Mr. Langston, one of the new developers explained that the development will encompass 18,624 square feet of ground floor space. The exterior will be brick and redwood siding. Mrs. Blum arrived: 3: 12 p.m. Mr. Langston stated that it would take he and his partners approximately 3 month~ to start construction. Mr. Flory referred to the Contract Amendment and suggested It be modified to refleCt the 3 month construction date. With no further discussion the following resolution was adopted: 4542 RESOLUTION NO. 3549 ..., f ...J RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT AMENDMENT WITH ROBERT L. LANGSTON, WILTON K. NEWBY AND BRIAN J. SIMPSON, INDIVIDUALS, FOR PROPERTY LOCATED IN CENTRAL CITY EAST. Motion to adopt Resolution No, 3549 by Obershaw and seconded by Wilson, Motion car- ried by the following vote, to wit: Ayes: Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: Blum. Absent: Heller. TIME EXTENSION - PAIGE ELECTRIC-UNDERGROUND UTILITIES-SEIP No discussion and the following resolution was adopted: RESOLUTION NO. 3550 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CHANGE ORDER NO. 2 WITH PAIGE ELECTRIC COMPANY FOR A TIME EXTENSION OF FIFTY SIX DAYS DUE TO BAD WEATHER, UNIT NO. 8, SOUTHEAST INDUSTRIAL PARK.. ,., j Motion to adopt Resolution No. 3550 by Wilson and seconded by Blum. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: None. Absent: Heller. CHANGE ORDER-RIVERSIDE CONSTRUCTION CO ,-PHASE I-SEIP Mr. Green referred the item to Mr. Jones, Mr. Jones informed the board that the additi- onal amount requested in the Change order will include driveways that were not in the original contract, No discussion and the following resolution was adopted: RESOLUTION NO. 3551 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA AUTHORIZING THE CH.AIRMAN AND SECRETARY TO ENTER INTO CHANGE ORDER NO.6 WITH RIVERSIDE CONSTRUCTION CO. , PHASE I CONTRACT, SEIP, FOR A TIME EXTENSION OF 43 DAYS AND AN ADDITIONAL AMOUNT OF $4,676.48. Motion to adopt Resolution No, 3551; by Blum and seconded by Obershaw. Moti?n carried ~ by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Wilson, Guhm andl Green. Nays: None, Abstention: None, Absent: Heller. .....,J [ "..- f ~ ",... , & 1, f. ...., 4543 EXPENDITURE OF FUNDS FOR NAHRO NATIONAL AND REGIONAL DUES Mr. Obershaw asked how NAHRO benefited the Agency and Mr. Green stated that NAHRO was established long ago in order to coordinate lobbying etc. Further, it is hope- ful that NAHRO will acquaint the appropriate persons with the necessary know- ledge regarding current legislation. NAHRO has frequent conferences to keep Redevelopment and other Agencies informed of all current information and/or changes. Mr. Green further stated that he feels that NAHRO is very beneficial to the Agency. Mrs. Blum said that NAHRO informs the Agency about all changes in Redevelopment Laws. Mr. Shadwell stated that NAHRO keeps the Agency alerted as to pending legislation. No further discussion and the following resolution was adopted: RESOLUTION NO. 3552 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE EXPENDITURE OF FUNDS FOR NAHRO NATIONAL AND REGIONAL DUES. Motion to adopt Resolution No. 3552 by Wilson and seconded by Hinojosa. Motion car- ried by the following vote, to wit: Ayes: Blum, Hinojosa, Wilson, Guhin and Green. Nays: None. Abstention: Obershaw. Absent: Heller. OTHER BUSINESS: Mr. Obershaw inquired as to the status of the Ken Bussey Development in Central City Project Area No.1. Mr. Shadwell stated the Agency had been trying to get in touch with Mr. Bussey. As soon as the Agency is able to communicate with Mr. Bussey he will be informed to either commence construction or forfeit his deposit. Mr. Wilson inquired about the Hotel for the Central City Project Area No.1. Mr. Green informed Mr. Wilson that he was going to contact Mr. Monroe Tapper and de- termine the current status of the hotel development. Mr. Baker questioned the Meadowbrook-Central City Project Area No.1 Bond Re- structuring Schedule. Mr. Green informed Mr. Baker that all details would be made available at the Board Meeting to be held March 20, 1978, when the Agency's Financial Consultants, together with the Agency's Legal Bond Counsel would be in attendance. Motion to adjourn to March 20, 1978 at 6: 30 p.m., by Obershaw and seconded by Guhin. Motion unanimously carried. Abstention: None. Absent: Heller. R. . Shadwell, Jr. Executive Director ..., ....." .... ....,.j ~ I , 1 1 .....J r '- [ [ 4544 MINUTES OF AN ADJOURNED REGULAR MEETING OF THE REDEVELOP- MENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA ,HELD THE 20TH DAY OF MARCH, 1978, 6: 3'0 P.M., 300 NORTH "D" STREET, ROOM 320, SAN BERNARDINO, CALIFORNIA The Chairman called the meeting to order at 6: 45 p. m. Roll Call showed the following: Agency Members Present: Green, Guhin, Blum, Obershaw and Hinojosa Agency Members Absent: Wilson and Heller Also Present: R. E. Shadwell, Executive Director; Wm. Flory, Agency Counsel; and Mrs. Baxter, Admin. Asst. Chairman Green introduced Mr. Jim Iverson, Miller and Schroeder, financial consultant to the Agency. The Meadowbrook-Central City $24,150,000 Tax Allocation Bond Issue was reviewe'd. Bids were opened today in Los Angeles for this issue. The best bid was submitted by a group consisting of Smith Barney, Harris Upham & Co. , Inc. , Goldman, Sachs & Co. , Miller & Schroeder Municipals, Inc. and Associates. The bid was for an interest rate of 7.20%, with a discount of 5%, creating a net interest rate of 7.38%. Mr. Iverson stated that the bonds for this issue have been rated BAA. He stated that he felt the interest rate was excellent for this issue. Interest rates have been going up because of the Jarvis initiative and other constitutional questions. The Agency's timing was excellent also. Many other issues are going out for bid within the next month from other cities. The competition for bids would have been great had the Agency waited longer to invite bids. Mr. Baker, Sun Telegram, questioned why the Agency originally authorized a $23,985,000 issue and now is selling $24,150,000. Mr. Iverson explained that when you are going to bid for a refunding issue, as is the case with the Meadowbrook- Central City issue, the size of the issue is determined on the interest rate you believe you will receive. Much time is spent to calculate the best possible results for the Agency. After careful review and discussion, the following resolutions were introduced: RESOLUTION NO. 3553 RESOL UTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE ISSUANCE OF $24,150,000 PRINCIPAL AMOUNT OF TAX ALLOCATION REFUNDING BONDS OF SAID AGENCY TO FINANCE A PORTION OF THE COST OF A REDEVELOPMENT PROJECT KNOWN AS MEADOWBROOK ,CENTRAL CITY REDEVELOPMENT PROJECT NO. 1 AND TO REFUND PREVIOUS ISSUED BONDS Motion was made by Obershaw and seconded by Guhin authorizing the adoption of Resolution No. 3553. The motion carried by the following vot~, to wit: Ayes: G~een, Guhin, Blum, Obershaw and Hinojosa Noes: None Abstentlon: None Absent. Wilson & Heller 4545 RESOLUTION NO. 3554 -... RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO RESCINDING CERTAIN RESOLUTIONS AND AFFIRMING ACTIONS TAKEN BY THE EXECUTIVE DIRECTOR ......, Motion was made by Obershaw and seconded by Blum authorizing the adoption of Resolution No. 3554. The motion was carried by the following vote to wit: Ayes: Green, Guhin, Blum, Obershaw and Hinojosa Noes: None Abstention: None Absent: Wilson and Heller RESOLUTION NO. 3555 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING THE PRELIMINARY OFFICIAL - STATEMENT FOR THE ISSUANCE OF ITS MEADOWBROOK-CENTRAL CITY REDEVELOPMENT PROJECT NO.1, TAX ALLOCATION REFUNDING BONDS, ISSUE OF 1978 Motion was made by Obershaw and seconded by Guhin authorizing the adoption of Resolution No. 3555. The motion was carried by the following vote, to wit: Ayes: Green, Guhin, Blum, Obershaw and Hinojosa Noes: None Abstention: None Absent: Wilson and Heller .... The Chairman explained that the Official Statement in final form will be presented to the Board next Thurdsay, March 23rd, at 3: 00 p.m., at an Adjourned Regular Meeting. .".", The Official Statement adopted by Resolution No. 3555 is "Preliminary" and c,ertain changes will be made. RESOLUTION NO. 3556 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROYING A CERTAIN ESCROW AGREEMENT Motion was made by Blum and seconded by Obershaw authorizing the adoption of Resolution No. 3556. The motion was carried by the following vote, to wit: Ayes: Green, Guhin, Blum, Obershaw and Hinojosa Noes: None Abstention: None Absent: Wilson and Heller The Chairman stated that the Escrow Agreement authorized by Resolution No. 3556 above, will be opened with Bank of America in Los Angeles. RESOLUTION NO. 3557 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, SELLING BONDS OF SAID AGENCY AND AUTHORIZING THE PAYMENT OF THE COSTS OF ISSUANCE ...... ....", [ [ [ 4546 Motion was made by Obershaw and seconded by Hinojosa authorizing the adoption of Resolution No. 3557. The motion was carried by the following vote,to wit: Ayes: Green, Guhin, Blum, Obershaw and Hinojosa Noes: None Abstention: None Absent: Wilson and Heller RESOLUTION NO. 3558 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF . SAN BERNARDINO APPROVING AN AGREEMENT FOR FISCAL AGENT SERVICES Motion was made by Guhin and seconded by Hinojosa authorizing the adoption of Resolution No. 3558. The motion was carried by the following vote, to wit: Ayes: Green, Guhin, Blum, Obershaw and Hinojosa Noes: None Abstention: None Absent: Green & Heller RESOLUTION AMENDING RESOLUTION NO. 3551, CHANGE ORDER NO.6 RIVERSIDE CONSTRUCTION COMPANY: Chairman Green explained that Resolution No. 3551 was adopted by the Board on March 16th. Due to an "in house" calculation error the amount of the change order authorized was in error. The correct amount is $6,192.98. This error was caught before the Council took concurring action. Today they authorized the execution of a Change Order by the Agency to Riverside Construction in the amount of $6,192.98. After review, the following resolution was introduced: RESOLUTION NO. 3559 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AMENDING RESOLUTION NO. 3551, ADOPTED 3-16-78, AUTHORIZING CHANGE ORDER NO.6, RIVERSIDE CONSTRUCTION CO. , PHASE I CONTRACT, SOUTHEAST INDUSTRIAL PARK Motion was made by Obershaw and seconded by Hinojosa authorizing the adoption of Resolution No. 3559. The motion was carried by the following vote, to wit: Ayes: Green, Guhin, Blum, Obershaw and Hinojosa Noes: None Abstention: None Absent: Wilson & Heller Mr. Shadwell explained that the Meadowbrook-Central City issue will be closed on Monday, March 27th. The Security Agreement and the Official Statement will be presented to the Board on Thursday, March 23rd. ADJOURNMENT: Motion was made by Blum and seconded by Obershaw adjourning the meeting at 4547 7: 10 p.m., until 7: 30 p.m. in the Council Chambers, March 20,1978. The motion was carried by the following vote, to wit: Ayes: Green, Guhin, Blum, Obershawand Hinojosa Noes: None Abstention: None Absent: Wilson & Heller R. E. Shadwell, Jr. Executive Director Secretary -., ~ I I f .-II -. >' .....- --- -.J [ [ [ 4548 MINUTES OF AN ADJOURNED REGULAR MEETING OF THE REDEVELOP- MENT AGENCY, HELD FOR THE PURPOSE OF A JOINT PUBLIC HEARING WITH THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BER- NARDINO, CITY COUNCIL CHAMBERS, MARCH 20,1978,7: 30 P.M. Mayor Holcomb declared the Mayor and Council's Public Hearing open at 7: 30 p.m. for the purpose of reviewing the proposed commercial, residential and recreational development within the State College Project Area. The following Councilmen were present: Castaneda, Wheeler, Katona, Gerwig, Hudson, Hobbs and Lackner Also Present: Mayor W. R. Holcomb; City Attorney Prince; City Administrator Julian; and Chief Deputy City Clerk Clark. Chairman Green called the Redevelopment Agency Adjourned Regular Meeting to order, and the following Agency Members were noted present: Green, Guhin, Blum, Obershaw and Hinojosa Absent: Wilson and Heller Also Present: R. E. Shadwell, Executive Director; Wm. Flory, Agency Counsel; and Ms. Baxter, Admin. Asst. Chairman Green declared the Redevelopment Agency's Public Hearing open. He stated that it is his understanding that another proposal is being prepared for the development of a golf course within the proposed area, but that the proposal was not yet finalized. The Mayor introduced Mr. Hugh :McKay to the board. Mr. McKay was swprn in by the Chief Deputy City Clerk. Mr. McKay stated that he is involved in golf course management and construction. He named his associates in the proposed development, stating that theyare~ architects, engineers and consultants in the golf course field. Mr. McKay proposes to develop three separate golf course facilities within this area. They are as follows: A 9 hole, par 3 course, primarily for beginners and children, wi th a total :of 1 ,150 yards; a 9 ho1:e executive course, pars 4 and 3, with a total of 2,250 yards;' and a 9 hole regu-latioIl course, 2 par 5's, 5 par 4's and 3's, for a total of 3,250 yards. Mr. McKay stated that he believes that this type of a recreational golf facility would be more economically feasible for the area. He proposes to light the course for night participation. A slide presentation was presented showing similar courses developed by Mr. McK.ay and associates i The Mayor asked if this type of a facility would have a better chance for financial success than a championship course. Mr. McKay stated that he believed that it would. He further stated- that he has made a study of golf courses in the area and it is hi~ opinion that a regulation 18 hole course would not be feasible for the area. There is too much c~mpetition. Th~ type of facility he proposes would be used by far more people than a regulabon course. 4549 The Mayor asked if they were prepared to develop this facility at their:own expense. Mr. McKay stated that he is not asking for any financial help from the City or the .., Redevelopment Agency other than along term lease and rough grading of the site. 1 He further stated that he is prepared to pay to the City or Agency a sufficient percentage. I ....", Councilman Katona asked Mr. McKay when he would be r'eady to submit a definite proposal. Mr. McKay indicated that he would be ready within 3- weeks. They have already studied the wind factors, surveyed the homes in the area and contacted the highway patrol. Councilman. Katona expressed his concern over lighting of the course at night. Con- servation of energy was discussed. Mr. McKay stated that they estimate operation costs for the lighting to be $35,000 per year. Councilman Gerwig also expressed his concern over the energy usage. Mr. McKay stated that many people cannQt use the facility during the day hours and it would be financially to his advantage to operate the course at nights and give week day working people an opportunity to use the facility. He further stated that he has studied the lighting of other facilities with residents in the immediate area of the courses. He has not had any adverse reaction to the lighting. Generally, residents feel that it is a security asset and enjoy being in the vicinity of lit courses. The Mayor asked what the total investment cost of the course would be. Mr. McKay stated that they estimate an investment cost of $1,300,000. The Mayor asked if the Elks proposed development of a food and beverage facility to ,.., support the golf course would be compatable to this development. Mr., McCay stated ~ that it would. ...,,;; The Mayor stated that the Environmental Impact of a lit course would need to be deter- mined. He felt that it might have as many advantages as disadvantages because of patron usage distributed over evening hours as well as day hours. Councilman Wheeler stated that he is not in favor of this type of a facility. The City has always talked about a "championship" course within this area. "Championship" course actually would mean a first class 18-hole regulation course. A course of this type would compare with the finest courses in the westcoast. Councilman Katona asked Mr. McKay if he would consider increasing the 9 hole regulation course to an 18 hole first class regulation course if additional land could be acquired within this area. Mr. McKay stated that he didn't know if it would be feasible and he would have to look into the possibility if the additional land was available. The Mayor stated that the Council has never gone on record to define what type of golf course was desired in this area. He further stated that three factors must be considered in determining the best golf course for the area -- 1) greatest chances of success; 2) least cost to taxpayers; and 3) will provide recreational opportunities to IIIIIt the greatest number of our citizens. .....J [ [ [ 4550 The Mayor explained that this proposal will not change any of the other developments proposed by the Hodgdons, i. e. , Campus Crusade for Christ and the two residential complexes. The Mayor felt that instead of the Agency spending the money for off-site improvements for the golf course as presented by the Hodgdon proposal, rough grading would only be required - saving the taxpayers approximately $1,000,000. Councilman Wheeler stated that the property for the golf course belongs to the Hodgdons and it would need to be purchased from the Hodgdons . The acquisition costs and the rough grading must be considered. He further stated that he feels that an 18 hole regu- lation first class course would have as much chance for success as the one proposed by Mr. McKay. The Mayor stated that the property could probably be purchased from the Hodgdons for the fair market value of the land. One deed was found for the purchase of this property for $600,000 from Curci-Turner Company. It is believed that another deed is involved. It has not been determined if the $600,000 was for the entire proposed golf course area or also includes other acreage within that area. The Mayor furthe'r stated that he met with Mr. Hodgdon regarding a purposed purchase of this property, but that Mr. Hodgdon was non-committ'al at that time. It-is assumed that Mr. Hodgdon1s adjacent property will benefit from the development of this golf course site. The lease agreement drafted for execution between the Agency and' Bickler was discussed. Mr. McKay stated that he has reviewed this lease and would be agreeable to its terms and conditions. The water source to the golf course was discussed. Councilman Wheeler asked Mr. McKay if he would be interested in developing an 18-hole first class regulation course instead of the one proposed, if the acquisition of additional property could not be made. Mr, McKay stated that he would not. Chairman Green asked if the members of the Redevelopment Agency Board had any questions. Mr. Obershaw asked what costs were anticipated by "rough grading". Mr. McKay stated that he does not have an.' estimate at this time. He further. stated tha~ he would consid~~ rough grading to mean "making the course ready for development". No contouring of the area would be involved in rough grading. He stated that he could provide an estimate of this cost at a later date. Mr. Green asked for questions from the audience. Mr. Jim Schroeder, Campus Crusade for Christ, asked where their, proposed devel- opment is in relation to the proposal presented by Mr. McKay. Mr. Green efCplained that nothing would change regarding the Campus Crusade, for Christ's pz:oposal, providing the Hodgdons' still wanted to go ahead with theIr proposal for Its development. Mr. Shadwell pointed out the location of the golf course and the location of the proposed Campus Crusade for Christ on the map. 4551 There being no further comments, Chairman Green entertained a motion to continue this matter until a later date, in order that Mr. McKay could have the time needed to submit a proposal to the Agency. This would give the Agency and Council time to ..., make a fair evaluation of the two proPQsalsoffered. 'Cost figures would need to bel determined. I ..."j Motion was made by Obershaw and seconded by Blum to continue the Joint Public Hearing on this matter to April 3, 1978. Upon -review it was determined that April 17th would be a better date. Mr. Obershaw amended his motion to April 17, 1978. Mrs. Blum concurred in the amendment. Mr. Jim Iverson, Miller and Schroeder, Financial Consultant to the, Agency, was sworn in by the Chief Deputy City Clerk. ,Mr. Iverson stated that the timing is very important in order that bond proceedings can be initiated pending approval of the development. Mr. James Warren Beebe, Bond Counsel to the Agency, concurred that the proper timing was essential. It was determined that if a decision is made on the 17th, there would still be enough time to prepare the bonding material within.the allowed 30 days. Mr. Allen Gresham, Attorney for Warner- and Sb~ron Hodgdon, was sworn in by the Chief Deputy City Clerk. Mr. Gresllam stated that Mr. Hodgdon was out of town, but that he would like to stress, his position that they are firmly behind whatever is best for the City. If another proposalis better, the Council and Agency can be assured that the Hodgdons will work with it. After further review of the proper timing for: the ,.continued hearing, Mr. Obershaw ., amended his motion as follows: Continu~ the Joint Public Hearing of the Redevelop- J ment Agency and the Mayor and Common Council to 7: 30p.m., Monday,. April 10, 1978. Mrs. Blum concurred in the amendment. The motion was carried by the following vote, to wit: Ayes: Green, Guhin, Blum, Obershaw and Hinojosa Noes: None Abstention: None Absent: Wilson and Heller Motion was made by Councilman Lackner and seconded by Councilman Katona to continue the Joirit Public Hearing to April 10, 1978, 7: 30 p.m. The motion was carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Katona, Hudson, Hobbs and Lackner Noes: Gerwig Abstention: None Absent: None Motion was made by Obershaw.andseconded by Guhin adjourning the meeting at 9: 00 p.m., until 3: 00 p.m., Wednesday, March 23, 197~. The motion was utlanimou~ly carried. ;:t1J~ t R. E. Shadwell, Jr. / Executi ve Director Secretary ...... ....... [ r L [ 4552 MINUTES OF AN ADJOURNED REGULAR MEETING OF THE REDEVELOP- MENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, HELD THE 23RD DAY OF. MARCH, 1978, 300 NORTH "D" STREET, ROOM 320, SAN BERNARDINO, CALIFORNIA In the absence of the Chairman, Vice Chairman Blum called .the me~ting to order at 3:10p.m. Roll Call showed the following: Agency Members Present: Blum, Guhin, Heller and Hinojosa Agency Members Absent: Green, Wilson and Obershaw Also Present: Mr. Shadwell, Executive Director; Mr. Flory, Agency Counsel; and Ms. Baxter, Admin. Asst. RESOLUTIONS FOR ADOPTION: PRELIMINARY OFFICIAL STATEMENT, MEADOWBROOK-CENTRAL CITY: It was explained that this resolution authorizes the conversion of the Preliminary Official Statement, adopted March lOth, into the Final Official Statement. This Final Official Statement is not yet ready and will be coming before the board hopefully at the next meeting for final adoption. The following resolution was introduced: RESOLUTION NO. 3560 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE CONVERSATION OF THE PRELIMINARY OFFICIAL STATEMENT INTO THE FINAL OFFiCIAL STATEMENT FOR THE ISSUANCE OF ITSMEJ\DOWBROOK- CENTRAL CITY REDEVELOPMENT PROJECT NO.1, TAX ALLOCATION REFUNDING BONDS , ISSUE OF 1978 Motion was made by Guhin and seconded by Hinojosa author~Zing the adoption of Resolution No. 3560. The motion was carried by the following vote. to wit: Ayes: Blum, Guhin, Heller and Hinojosa Noes: None Abstention: None Absent: Green, Wilson and Obershaw' ACQUISITION SCHEDULES, MEADOWBROOK -CENTRAL CITY: Mr. Shadwell explained that the Securities Agreement will be coming before the Board hopefully at the next meeting. A resolution adopting the acquisition schedules pursuant to Resolution No. 3553, authorizing the issuance, must be adopted today, to surfice for the Security Agreement, until its adoption. Mrs. Saul explainec;l that this .agreement is between the Agency and a bank for the purchase of Federal Securities, which will be invested at a predetermined rate. This will enable the Agency ~o obtain t~e highest rate of coverage as contained in the Official Statement. The follOWIng resolutIOn was introduced: 4553 RESOLUTION NO. 3561 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, ADOPTING ACQUISITION SCHEDULES PURSUANT TO RESOLUTION NO. 3553 ,..... l ~, I ~ ........1l Motion was made by Heller and seconded by Guhin authorizing the adoption of Reso- lution No. 3561. The motion was carried by the following vote, to wit Ayes: Blum, Guhin, Heller and Hinojosa Noes: None Abstention: None Absent: Green, Wilson and Obershaw AMENDMENT TO RESOLUTION OF ISSUANCE, MEADOWBROOK-CENTRAL CITY: Mrs. Saul explained that Resolution No. 3553 must be amended to reflect on Page 21, Section 15(a) , third line, "six months interest" instead of "one y~ars interest" as shown in the resolution. After further computations it has been determined that six months will fit into the schedule as provided. The following resolution was introduced: RESOLUTION NO. 3562 RESOLUTION OF THE REDEVELOPMENT AGENCY OF .THE C~TY OF SAN BERNARDINO AMENDING RESOLUTION NO. 3553 Motion was made by Guhin and seconded by Hinojosa authorizing the adoption of Resolution No. 3562. The motion was carried by the following vote, to wit: Ayes: Blum, Guhin, Heller and Hinojosa Noes: None Abstention: None Absent: Green, Wilson and Obershaw ., II 41 .....JIll FINDERS FEE, CARL WAELDER, STATE COLLEGE PROJECT: Mr. Shadwell explained that Carl Waelder is entitled to receive a finders fee in accordance with the Agency's resolution No. 3343. Mr. Waelder is the broker of record in the devel- opment of Mini-Space, Inc. , located within the State College Project Area. A building permit has been received by the Agency for this development, in the amount of $475,431. Using the Agency's schedule in Resolution No. 3343, Mr. Waelder would be entitled to receive $16,262.93, payable in three increments. The first inc;rement of $5,420.98 is due upon completion and approval of the foundation. It was noted that the foundation is complete. After review, the following resolution was introduced: RESOLUTION NO. 3563 RESOLUTION OF -THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, DETERMINING THAT CARL WAELDER', REAL ESTATE BROKER,IS ENTITLED TO A FINDER'S FEE IN ACCORDANCE WITH AGENCY RESOLUTION NO. 3343 FOR THE DEVELOPMENT-OF MINI-SPACE, INC., STATE COLLEqE PROJECT ~ ........J [ r J '-- ",... t L..., 4554 Motion was made by Guhin and seconded by Heller authorizing the adoption of Resolution No. 3563. The motion was carried by the following vote, to wit: Ayes: Blum, Guhin, Heller and Hinojosa Noes: None Abstention: None Absent: Green, Wilson and Obershaw ADJOURNMENT: Motion was made by Heller and seconded by Guhin to adjourn the meeting at 3: 35 p.m. The motion carried unanimously. ~ R. E. Shadwell, Jr. Executive Director Secretary ..., t ~ , -" ., ....tiJ ---- ...... [ [ ",... i ! 1 ..... 4555 MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY HELD APRIL 6,1978 AT 3:00 P.M. 300 NORTH "D" STREET, SAN BERNARDINO, CALIFORNIA. Roll Call showed the following: Agency Members Present: Blum, Hinojosa, Guhin and Green. Agency Members Absent: Obershaw, Wilson and Heller. Others Present: R. E. Shadwell, Jr., Executive Director, Wm. A. Flory, Agency Counsel and Barbara A. Brown, Executive Secretary. APPROV AL OF MINUTES: Minutes of March 9, 1978 submitted for approval. Motion to approve by Guhin and seconded by Blum. Motion carried unanimously. Abstention: None. Absent: Obershaw, Wilson and Heller. Minutes of March 16, 1978 submitted for approval. Motion to approve by Blum and seconded by Hinojosa. Motion carried unanimously. Abstention: None. Absent: Obershaw, Wilson and Heller. Minutes of March 20, 1978, 6: 30 p.m. submitted for approval. Motion to approve by Guhin and seconded by Hinojosa. Motion carried unanimously. Abstention: None. Absent: Obershaw, Wilson and Heller. Minutes of March 20, 1978, 7: 30 p.m. Joint Public Hearing submitted for approval. Mo- tion to approve by Guhin and seconded by Blum. Motion carried unanimously. Abstention: None. Absent: Obershaw, Wilson and Heller. Minutes of March 23, 1978 submitted for approval. Motion to approve by Guhin and seconded by Hinojosa: Motion unanimously carried. Abstention: None. Absent: Obershaw, Wil- son and Heller. Mr. Obershaw arrived at 3: 06 p . m . AUTHORIZE $10,000,000 ISSUANCE OF TAX ALLOCATION BONDS TO FINANCE PORTION OF COST OF SOUTHEAST INDUSTRIAL PARK AND REFUND PREVIOUSLY ISSUED NOTES. Mr. Green informed the Board the Bonds include the refunding .of the previous $5,000,000 issue. The following resolution then adopted: 4556 RESOLUTION NO. 3564 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE ISSUANCE OF $10,000,000 PRINCIP AL AMOUNT OF TAX ALLOCATION BONDS OF SAID AGENCY TO FINANCE A PORTION OF THE COST OF A REDEVELOPMENT PROJECT KNOWN AS THE SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA AND TO REFUND PREVIOUSLY ISSUED NOTES. ....., J 1 " r ~ Motion to adopt Resolution No. 3564 by Obershaw and seconded by Guhin. Motion car- ried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Guhin and Green. Nays: None. Abstention: None. Absent: Wilson and Heller. PROVIDE FOR SALE OF $10,000,000 PRINCIPAL AMOUNT OF TAX ALLOCATION BONDS, ISSUE OF 1978, SEIP. The following resolution adopted: RESOLUTION NO. 3565 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, PROVIDING FOR THE SALE OF $10,000,000 PRINCIPAL AMOUNT OF TAX ALLOCATION BONDS, ISSUE OF 1978. Motion to adopt Resolution No. 3565 by Obershaw and seconded by Hinojosa. Motion car- ried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Guhin and Green. Nays: None. Abstention: None. Absent: Wilson and Heller. .... 4 ~ ....J FINAL OFFICIAL STATEMENT FOR ISSUANCE OF MEADOWBROOK-CENTRAL CITY RE- DEVELOPMENT PROJECT NO.1, TAX ALLOCATION REFUNDING BONDS, ISSUE OF 1978. The following resolution adopted: RESOLUTION NO. 3566 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING THE FINAL OFFICIAL STATEMENT FOR THE ISSUANCE OF ITS MEADOWBROOK-CENTRAL CITY REDEVELOPMENT PROJECT NO.1, TAX ALLOCATION REFUNDING BONDS, ISSUE OF 1978. Motion to adopt Resolution No. 3566 by Guhin and seconded by Obershaw. Motion car- ried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Guhin and Green. Nays: None. Abstention: None. Absent: Wilson and Heller. APPROVE CERTAIN SECURITIES ACQUISITION AGREEMENT. ..... The following resolution adopted: ...J r ~ ~. .... [ ".. t .... 4557 RESOLUTION NO. 3567 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING A CERTAIN SECURITIES ACQUISITION AGREEMENT. Motion to adopt Resolution No. 3567 by Guhin and seconded by Hinojosa. Motion car- ried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Guhin and Green. Nays: None. Abstention: None. Absent: Wilson and Heller. CHECKING ACCOUNT FOR CONSTRUCTION FUNDS FOR HOTEL DEVELOPMENT, CENTRAL CITY AREA. Mr. Green reminded the Board with reference to terms and conditions of the Disposition Agreement between the City, Agency and Hotel Developer whereby it states that the amount of $1,590,000 will be placed in a construction fund checking account. The money will not be available for the developer until the first three floors of the structure are completed. Mr. Heller arrived at 3: 14 p.m. Mr. Baker from the Sun Telegram arrived at 3: 14 p.m. Mr. Obershaw asked why the money was placed in a checking account in lieu of a savings account where it would draw interest. Mrs. Saul, Director of Finance responded to Mr. Obershaw's question, explaining Agency procedure. The following resolution then adopt- ed: RESOLUTION NO. 3568 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, ESTABLISHING A BANK ACCOUNT WITH BANK OF CALIFORNIA, ENTITLED "REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO CENTRAL CITY PROJECT-HOTEL CONSTRUCTION FUND" . Motion to adopt Resolution No. 3568 by Obershaw and seconded by Blum. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Guhin, Heller and Green. Nays: None. Abstention: None. Absent: Wilson. ACQUISITION OF 81 ACRES, MORE OR LESS, STATE COLLEGE PARK FOR DEVELOPMENT OF A MANUFACTURING FACILITY. Mr. Green referred to the area in question. The following resolution adopted: RESOLUTION NO. 3569 RESOLUTION OF THE REDEVELOPMENT AGENCY AUTHORIZING ACQUISITION OF 81 ACRES, MORE OR LESS, FROM ROADSIDE LEASEHOLD CO., AND SAN BERNARDINO ASSOCIATES WITHIN STATE COLLEGE REDEVELOPMENT PRO- JECT AREA FOR DEVELOPMENT OF HALLMARK-SOUTHWEST CORPORTION, and/ or CHARLES R. BRAMMER OR HIS NOMINEE. 4558 Motion to adopt Resolution No. 3569 by Blum and seconded by Obershaw. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Wilson. -, OFFER TO PURCHASE FROM HALLMARK-SOUTHWEST CORPORATION AND/OR CHARLES R. BRAMMER OR HIS NOMINEE AND SET PUBLIC HEARING FOR PROPERTY IN SEIP. ......" The following resolution adopted: RESOLUTION NO. 3570 RESOLUTION OF THE REDEVELOPMENT AGENCY AUTHORIZING CHAIRMAN AND SECRETARY TO RECEIVE AN OFFER TO PURCHASE FROM HALLMARK- SOUTHWEST CORPORATION, AND/OR CHARLES R. BRAMMER OR HIS NOMINEE, AND SET A PUBLIC HEARING FOR APRIL 20, 1978 AT 3: 00 P.M., FOR A MANU- FACTURING PLANT LOCATED IN THE STATE COLLEGE PROJECT AREA. Motion to adopt Resolution No. 3570 by Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Wilson. AUTHORIZE CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT OF SALE IN PRINCI- PLE ONLY FOR DEVELOPMENT OF MANUFACTURING FACILITY, STATE STATE COLLEGE PARK. Mr. Green stated the Contract of Sale was executed subject to ratification by the Board and ... Council. Approval in principle by the Council will take place at the meeting to be held April i 10, 1978. Mr. Green also stated it was his belief the Board had been completely briefed on .....J ramifications of the Contract they were being asked to approve in principle. Mrs. Blum said she went on the tour of the present Hallmark development and was very impressed with their organization. Mrs. Blum also stressed the "humanistic" way the firm was run. Mr. Green stated the existing facility will not be closed and the new facility will be all new jobs and it is Hallmark IS intent to enlarge the present facility in Lorna Linda. Mr. Heller stated that Hallmark was impressed with the package the Agency put together and that Hallmark had been looking at sites in other cities, the most competitive city Fontana. With no further discussion the following resolution was adopted: RESOLUTION NO. 3571 RESOLUTION OF THE REDEVELOPMENT AGENCY AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT OF SALE, IN PRINCIPLE ONLY, AND SUBJECT TO A PUBLIC HEARING WITH HALLMARK-SOUTHWEST CORP- ORATION AND/OR CHARLES R. BRAMMER OR HIS NOMINEE, FOR PROPERTY IN STATE COLLEGE REDEVELOPMENT PROJECT AREA. Motion to adopt Resolution No. 3571 by Heller and seconded by Blum. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Wilson. ~ ....... ".. I '- [ [ 4559 PROPOSED NORTHWEST PROJECT AREA Mr. Green referred to the area on a map. He stated this Plan and Report, submitted for Board approval, is the first necessary step for the proposed project area. He stated the Agency received two proposals to do the Plan and Report. One from Gruen Associates, Inc. and one from Dukes-Dukes & Associates, Inc. Both firms have rep- resentatives in attendance and will present their proposals. Mr. Green stated he hoped everyone had reviewed the proposals under submittal. After some discussion and the flip of a coin Dukes & Dukes opted to present their proposal after Gruen Associates, Inc. Mr. Kurt Franzen from Gruen Associates, Inc., in- troduced himself to all and presented his firm's proposal. Mr. Franzen stated that his firm felt an Economic Consultant should be hired to do an Economic Feasibility Study for the area. Mr. Green inquired what the cost would be for such a consultant and Mr. Franzen replied between $10,000 and $15,000 be budgeted for the fee. Mr. Fran- zen mentioned the consulting firms of Economic Research Associates, James Belsar & Associates and Mr. Taylor Dark. Mr. Franzen then continued with his presentation. Mr. Franzen stated that Gruen Associates, Inc. feel a Building Survey should be done. Discussion followed regarding costs of public improvements. Mr. Franzen stated that the City and Agency Staff could provide information that would be useful to Gruen in their Plan and Report. PAC Commitee discussed. There has been no Pac Committee established as yet. Mrs. Blum asked Mr. Franzen if he would depend on the Agency staff for information. Mr. Franzen replied that he would, especially in obtaining existing IIraw datall. Mr. Green stated that he felt the Building Condition Survey was a major item and the Agency has no current residential information. Economic Development Council has some information regarding commercial areas, but that information is 3 or 4 years old. Mr. Green stated that Community Development has data for the proposed area, but he doesn't know just how much information CD has. Mr . John Dukes presented his proposal. He referred to his firm I s background. He stated that he feels cooperation betweeen his firm and the Agency an absolute must. After Mr. Duke's presentation was completed Mr. Green.stated that he beUeved the difference in cost was the price of the Economic Study that Dukes & Dukes included and Gruen did not. Mr. Duke then stated that it was his feeling that meetings with the people in the area a very critical part of the success of the project. Public improvements were discussed. The actual cost difference of $13,250 discussed ,with the general consensus being the Economic Feasibility Study the major difference. Mr. Obershaw questioned Mr. Dukes regarding his expertise in the :matter of economic feasibility studies. Mr. Dukes said his firm was qualifed. Mrs. Blum questioned the lo- cale of the firm in San Francisco. Mr. Dukes assured Mrs. Blum the locale of his firm would pose no problem inasmuch as they are represented in the area at least 3 days a week presently and would consider opening an office in San Bernardino should the contract be awarded to Dukes & Dukes. 4560 Mrs. Blum leaves meeting at 4: 25 p.m. .., t Mr. Heller leaves meeting at 4: 30 p.m. ......,j Mr. Green stated that perhaps the Board might wish to continue the matter and be ready to make a selection at the next board meeting. Mr. Heller returns at 4: 32 p. m. Mr. Obershaw asked if the Agency Staff could do some of the ownerships and maps. Mr. Green stated he felt it would make a considerable difference in the price submitted in the proposals, especially the Gruen proposal, because in reviewing Duke's proposal, a lot of staff time would be eliminated. Mr. Heller asked if the City Council would help in cost participation. Mr. Green in- formed Mr. Heller no, that the council made it very clear that the costs would come from bond proceeds the council previously authorized the Agency to sell. Mr. Green asked Mr. Duke if he could present the Agency a copy of a Report and Plan done by their firm and Mr. Dukes replied he could. Mr. Green then stated that Mr. Shadwell had suggested a "review committee" be set up. Mr. Obershaw asked how long it would take to prepare the report and Mr. Franzen said 4 months. Mr. Dukes concurred with Mr. Franzen on the time frame. ., .....J Mrs. Pope spoke regarding Mr. Duke's firm, reputation and the special needs of the people on the West side of town. Richard Cole spoke regarding the needs of the West side. Mr. Green reminded one and all that much of the area is comprised of Chicanos. He inquired of both firms if they had personnel who could speak Mexican and both representatives stated the Chicano factor would pose no problem. Discussion followed between Mr. Cole and Agency Board Members, Obershaw and Heller. Mr. Green stated that in his opinion, both proposals are excellent. Mr. Obershaw stated he felt a Committee should be set up. Mr. Green asked for volunteers to serve stating he would himself be a Committee Member. Mr. Heller and Mr. Hinojosa agreed to serve. All Committee Members agreed to a meeting for April 11, 1978 at 3: 00 p.m. in the Agency Board Room. Motion to continue the matter until 3: 00 p.m., April 20,1918 by Obershaw and seconded by Guhin. Motion carried unanimously. Abstention: None. Absent: Blum and Wilson. IIIIllIIlI Motion to adjourn to 7: 30 p.m. , April 10 , 1978 in the Council Chambers by Heller and seconded by Obershaw. Motion unanimously carried. Abstention: None. Absent: B m and Wilson. djournment: 4: 55 p.m. ft' R.E. ...", r- I '-- r ..... ,... j' t L 4561 MINUTES OF JOINT PUBLIC HEARING HELD APRIL 10. 1978 AT 7: 30 P.M. IN THE COUNCIL CHAMBERS OF CITY HALL. 300 NORTH "D" STREET. SAN BERNARDINO. CALIFORNIA. Agency Members Present: Blum. Hinojosa. Heller and Green. Agency Members Absent: Obershaw, Wilson and Guhin. Others Present: R. E. Shadwell, Jr. . Executive Director. Wm. A. Flory. Agency Counsel and Barbara Brown. Executive Secretary. Councilmen Present: Castaneda. Wheeler. Hudson and Lackner. Councilmen Absent: Katona. Gerwig and Hobbs. City Attorney Others Present: Mayor Holcomb. City Administrator and Deputy City Clerk. Chairman Green stated that he would like to discuss some industrial plans for State College Industrial Park before the Public Hearing is officially opened. Mayor and Council concurred. Mr. Green referred to a proposal received by the Agency from CM Engineering in the amount of $79.500.00 for engineering and survey services for State College Park. Mr. Green said the Agency Staff had been informed that any proposal received for said services less than $100,000 would be a very good proposal. Without further discussion the following resolution was adopted: RESOLUTION NO. 3572 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT WITH CM ENGINEERING ASSOCIATES FOR SERVICES IN STATE COLLEGE INDUSTRIAL PARK FOR AN AMOUNT NOT TO EXCEED $79.500.00. Motion to adopt Resolution No. 3572 by Hinojosa and seconded by Blum. Motion carried by the following vote. to wit: Ayes: Blum. Hinojosa. Heller and Green. Nays: None. Abstention: None. Absent: Obershaw. Wilson and Guhin. Councilman Wheeler made a motion seconded by Councilman Hudson and unanimously carried to approve Agency action in principle, without recourse or liability against the City. to enter into contract with CM Engineering Associates for engineering services in connection with Hallmark-Southwest Corporation development. Mr. Green explained a proposed resolution by the Agency authorizing the acquisition of 81 acres of land from Roadside Leasehold Company for the Hallmark-Southwest Corporation Development. He stated that the Agency would not pay in excess of $4.500 4562 per acre and answered questions regarding applying any reduction in the price to the option price on the southerly acreage. l 1 j ......, The resolution authorizing the acquisition of 81 acres from Roadside Leasehold Company was amended by interdelineating the phrase "Any reduction below $4,500 will be added to the option price on the southerly acreage", after the word "acres" in Section two and resolution was adopted as follows: Mr. Guhin arrived at 7: 40 p . m. RESOLUTION NO. 3573 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE ACQUISITION OF 81 ACRES, MORE OR LESS, FROM ROADSIDE LEASEHOLD CO. , AND SAN BERNARDINO ASSOCIATES, WITHIN STATE COLLEGE RE- DEVELOPMENT PROJECT AREA FOR DEVELOPMENT OF HALLMARK- SOUTHWEST CORPORATION, AND/OR CHARLES R. BRAMMER, OR HIS NOMINEE, AND RESCINDING RESOLUTION NO. 3569 , PREVIOUSLY PRO- VIDING FOR SAME. Motion to adopt Resolution No. 3573 by Blum and seconded by Heller. Motion carried by the following vote, to wit: Ayes: Blum, Hinojosa, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Obershaw and Wilson. -., Councilman Hobbs arrived at 7: 45 p.m. """"" Councilman Hudson made a motion, seconded by Councilman Wheeler and unanimously car- ried, that Agency action authorizing the purchase of 81 acres of land, more or less, from Roadside Leasehold Co. and San Bernardino Associates, at a price not to exceed $4,500 per acre, be approved without recourse or liability against the City for the purpose of pro- viding for the development of Hallmark-Southwest Corporation, State College Redevelop- ment Project, any reduction below $4,500 will be added to the option price on the southerly acreage. Councilman Hudson made a motion, seconded by Councilman Wheeler and unanimously carried, to approve Agency action in principle, authorizing the execution of a contract of sale be- tween the Agency and Hallmark-Southwest Corporation for the sale of 62.90 acres, more or less, of land to Hallmark and for the development of related off-site improvements, at a price of $4,500 per acre. without recourse or liability against the City. Mr. Green then explained the proposed use of money and loan to the Agency from the City Sewer Construction Fund for service to Hallmark and other future developments. Councilman Katona arrived at 7: 50 p.m. ~ -I r ... [ "... I '-- 4563 Councilman Hudson asked when the city would be repaid the loans. Mr. Green stated the Agency would repay the loans as soon as possible, but he could not give a date at this time. He reminded the Mayor and Council that this loan was of the same type the Council loaned the Agency for Southeast Industrial Park. Councilman Wheeler asked if this action must be acted upon now and the Mayor said yes. The Mayor feels that the new industries that will be coming into State College Park will ensure repayment of the loan, but there is no way the Agency can set a definite repayment date. Mr. Green reminded the Council that after July 1st, they will become the Redevelop- ment Agency and can call the loan in anytime they want to, as they will have access to the Agency's cash flow at all times. Councilman Wheeler questioned the amounts requested and Mr. Green told him the amounts were estimates provided the Agency by professional firms. After further discussion Mr. Beebe informed the Council they could definitely look for repayment by the end of the fiscal year 1981. Councilman Hobbs made a motion, seconded by Councilman Katona and unanimously carried, that the City Attorney be authorized to prepare an agreement with the Redev- elopment Agency for the advance and loan of funds estimated to be in the amount of $428,650 from the City Sewer Construction Fund. Such funds are to be used for the construction of sewer service to Hallmark and other future developments, and are to be repaid to the City Sewer Construction Fund from bond proceeds related to the pro- ject developments within the State College Industrial Park Site by the end of fiscal year 1981. Councilman Hobbs made a motion, seconded by Councilman Hudson and unanimously carried, that the City Attorney be authorized to prepare an agreement with the Redevel- opment Agency for the advance and loan of funds estimated to be in the amount of $266,080 from the City. Such funds are to be used to construct streets to Hallmark and other future developments, and are to be repaid to the City from bond proceeds related to the project developments within the State College Industrial Park Site by the end of fiscal year 1981. Mr. Green asked the Mayor and Council to authorize additional Bonds for the State College Project because of the Hallmark development. Mr. Willis Severson asked the proposed resolution be read aloud and Mr. Green complied with the request. The following resolution then adopted: 4564 Mayor Holcomb called for a recess at 10: 00 p.m. At 10: 12 p.m. the Joint Public Hearing of the Mayor, Common Council and the Redevel- opment Agency reconvened in Council Chambers, City Hall, San Bernardino. Mayor Holcomb then spoke regarding the elimination of a frontage road along Little Mountain Drive. Mr. Beebe, Agency Bond Counsel, answered questions regarding the effect a delay in the Public Hearing would have regarding Agency bonding. Jim Iverson, Agency Financial Consultant, representing Miller & Schroeder, answered questions regarding Campus Crusade for Christ tax increment issue. Discussion regarding bonding followed. Additional discussion between Mayor and Councilman Hudson. Motion to adjourn to an Adjourned Public Hearing April 13 , 1978 at 4: 00 p.m. in the Council Chambers, 300 No. "D" Street, San Bernardino, CA. by Blum and seconded by Heller. Motion unanimously carried. Abstention: None. Absent: Obershaw and Wilson. R. E. Shadwell, Jr. Executive Director l I j l ......; .... ....J ., ......J [ [ ,.. i L 4565 MINUTES OF JOINT PUBLIC HEARING HELD APRIL 13, 1978 AT 4: 00 P .M. , IN THE COUNCIL CHAMBERS OF CITY HALL, 300 NORTH "D" STREET. SAN BERNARDINO, CALIFORNIA. Agency Members Present: Hinojosa, Heller, Guhin and Green. Agency Members Absent: Blum. Obershaw and Wilson. Others Present: R. E. Shadwell, Jr. , Executive Director, Wm. A. Flory, Agency Counsel and Barbara Brown, Executive Secretary. Councilmen Present: Castaneda, Wheeler, Katona, Hudson, and Lackner. Councilmen Absent: Gerwig and Hobbs. Others Present: Mayor Holcomb, Deputy City Attorney and Chief Deputy City Clerk. JOINT PUBLIC HEARING-STATE COLLEGE PROJECT AREA-GOLF COURSE DEVELOPMENT Said Hearing Opened by Mayor Holcomb and Chairman Green at 4: 08 p.m. Mayor Holcomb stated the Agency had prepared a Summary showing the latest inform- ation available. Mayor asked Agency personnel to read the Summary aloud and Chairman Green read a Summary entitled "Summary of Proposed State College Project Area Com- mercial, Residential and Recreational Development". The Summary contained an explaination of the costs of the McKay and Associates proposal, as compared to the Hodgdon/Bickler proposal and also explained the proposed residential developments. the Elks Lodge facility, Campus Crusade for Christ development and Blair Park expansion. Mayor Holcomb recommended that certain changes be made to the Summary and spoke regarding installation of street improvements on Little Mountain Drive. Mayor Holcomb referred to the previous meeting of April 10, 1978 and stated that he would clarify items said at the meeting. Mr. Shadwell leaves meeting at 4: 28 p.m. Mayor spoke regarding past negotiations with Curci-Turner Co., former owners of the proposed golf course property . Mr. Shadwell returns 4: 33 p.m. Mayor Holcomb also stated that in his opinion. Blair Park should be deleted from the project because of a lack of funds. The Mayor felt the Summary shows a concise picture of the costs involved. Councilman Katona takes exception to the Mayor's remarks and compliments the Agency Staff and Board on a fine job and excellent performance over the past months. Further discussion regarding proposed golf course and past negotiations. The Mayor stated that he felt the Agency had done a fine job, but had been over worked, etc. At this point Chairman Green stated that while he did not want to disagree with the 4566 Mayor, he felt it incumbent to remind the Mayor that Agency staff personnel, the Mayor and himself had been present at all golf course proceedings and that the Mayor and Warner Hodgdon had personally set all the terms and conditions of the original Hodgdon proposal as set forth in the Hodgdon "Memorandum of Understanding". The Mayor conceded that he had been present at most of the meetings. He then asked Mr. McKay to commence with his proposal. -, ;: I I I ......,j Mr. McKay introduced Desmond Muirhead, a well known golf course architect and said he would be his architect. Mr. McKay then gave a slide presentation showing similar courses to the course he opted to propose for the State College Area. Councilman Hobbs arrived at 4: 50 p.m. Mr. McKay spoke regarding the buy-back clause in the golf course agreement and an- swered questions of Councilman Hobbs regarding a fence along the west side of the course. Mr. Spoor, representing the Elks Club Building Committee, stated the Elk's only con- cern was that an 18 hole regulation golf course be built. Mr. Hodgdon discussed the aforementioned Summary, issue by issue, and spoke re- garding the condemnation of Blair Park expansion property by the School District and the purchase of the property by the City. Mr. Curci addressed both bodies briefy with regard to the Mayor's previous statement concerning prior negotiations with the Curci -Turner Co. --- --' Discussion followed regarding bonding, the Jarvis Amendment and a continuance of the Public Hearing. Councilman Hudson spoke regarding the loss of tax increment from Campus Crusade for Christ. Discussion followed between Mayor and Councilman Hudson. Motion to adjourn to 7: 30 p.m. , April 17 , 1978 in the Council Chambers by Heller and seconded by Hinojosa. Motion carried unanimously. Abstention: None. Absent: Blum, Obershaw and Wilson. Adjourned at 6: 10 p.m. ~ R. E. Shadwell, Jr. Executive Director ~ .......J 4567 r L... MINUTES OF AN ADJOURNED REGULAR MEETING OF THE REDE- VELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, HELD FOR THE PURPOSE OF A JOINT PUBLIC HEARING WITH THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO, CITY COUNCIL CHAMBERS, APRIL 17,1978,7:30 P.M. Mayor Holcomb called the Joint Public Hearing of the Mayor and Council to order at 7: 30 p . m. The following were present: Councilmen Castaneda, Wheeler, Katona, Hudson, Hobbs and Lackner; Mayor W. R. Holcomb; City Attorney Prince; City Administrator Julian; and Chief Deputy City Clerk Clark. Absent: Councilman Gerwig. Chairman Green called the Redevelopment Agency Joint Public Hearing to order and the following were present: Agency Board Members Green, Blum, Hinojosa and Heller; Wm. Flory, Agency Counsel; R. E. Shadwell, Executive Director; Ms. Baxter, Admin Asst. Absent: Board Members Guhin, Obershaw and Wilson The Mayor announced that this is the time and place scheduled for the continuation of the Joint Public Hearing regarding the golf course proposed development within the State College Project Area. Chairman Green stated that at the previous meeting the Agency and the Council continued the hearing in order to give the Hodgdons I an opportunity to review the matter and determine if they would be willing to donate the land for the golf course if the Agency and City chose the proposal of McKay for development and operation of this course. [ 7: 35 p.m. - Agency Board Member Guhin arrives at the meeting. Mr. Green read a summary of the monies available for the development of the golf course as follows: "Assuming that Campus Crusade is tax exempt, and assuming the golf course, the Elks Club, Hallmark and the housing are developed as discussed, the estimated maximum net bond proceeds available to the Agency will be $2,437,500. This amount would not pay for the full cost of construction of the golf course and all of the improvements previously discussed. Those improvements are estimated as follows: Straighten Little Mountain Drive without sidewalks, without street lights and without landscaping -- $123,325. Complete Little Mountain Drive, north of 30th Street -- $181,160. Net cost of preparing site for Elks Club -- $63,736. Off-Site improvement cost for housing -- $448,900, a total of $817,121. (Mr. Green explained that the off-site improvement cost estimate for the housing was proposed on the figure of 84 homes. It is the Agency's understanding that Mr. Hodgdon is now planning to build 76 homes.) Assuming the City loans the Agency $428,650 for sewer and $266,080 for roads for the industrial park to accomodate Hallmark and others, and on the assumption that "". the City will loan those sums for those purposes, the Agency will need $1,032,000. L 4568 Assuming that all of the above are constructed, the remaining funds to the Agency for the golf course and other industrial expansion will be $589,000. -, f The cost of the McKay proposal will be $375,000, leaving $214,000 for industrial expansion. (This $214,000 reserve can be used for improvements necessary to service other industrial developments, i. e ., four lane road.) .....J If Campus Crusade is taxable, the Agency would have additional net bond proceeds of $750,000." Chairman Green stated that there are two other assumptions which should be made that are not outlined on the summary sheet. They are the elimination of a frontage road along Lt. Mountain Drive ($250,000 deleted) and the construction of an additional road added for safety purposes ($33,000 increase) . Mayor Holcomb asked for questions regarding the summary. Warner Hodgdon asked what size of a bond issue is proposed and what are the anticipated net bond proceeds. Chairman Green stated that the Agency proposes to issue 3.2 million dollars in bonds for this development. The Council has authorized the Agency's issuance of up to 12 million in bonds for the State College Project. 2.8 million have already been issued. Based upon the figures projected for assessed value and increment that will be recei ved, the Agency can issue 3.2 million at this time for the golf course and industrial development proposed. Mr. Green further explained that the Agency is using the formula of 75% of the total issue to calculate the amount anticipated as net proceeds. .., ; n ...J Councilman Katona asked what size of an issue could be sold if the Agency eliminated Hallmark from the issue. Chairman Green stated about 1/2 of the 3.2 million. Councilman Katona asked if the $214,000 in reserve funds after the McKay development could be used for the expansion of Blair Park instead of other industrial developments. He further stated that the Agency could then issue the parity bonds it needed for the industrial developments. The Mayor stated that if the Jarvis Inivitative passes, it will be next to impossible to issue parity bonds. He further stated that the Agency is negotiating with three other industrial prospects for development. Most of the improve- ments can be put in, including utilities, to accommodate Hallmark and others. The reserve funds ($214,000) could be used to widen the road to four lanes, which will be needed for increased industry. Chairman Green stated that it must be understood that administrative costs will be incurred and they too must be paid for out of this reserve. Councilman Katona asked if these bonds are to be short term. Chairman Green stated that it is proposed that they will be three year short term bonds, with an automatic roll over to long term. ..... ......J [ [ [ 4569 Mr. Hodgdon asked for clarification of the $1,032,000 that the Agency's summary states is needed. It was determined that the Agency will actually need $1,726,614 for the Hallmark development. It is anticipated that the City will loan the Agency $694,730 ($428,650 for sewer and $266,080 for roads). The $694,730 loan subtracted from the $1, 726,614 amount needed for Hallmark is the figure of $1,032,000 (rounded off) . The Mayor asked Mr. Hodgdon for his position regarding the donation of the land for the golf course. Mr. Allen Gresham, attorney for the Hodgdons', read a position statement into the record, containing the following points: 1) Contribute approximately 63 acres of land (31.5 acres zoned commercial) for the development of an 18-hole public golf course to be known as Little Mountain Golf Course. The golf course is to be developed in conjunction with a $1 million structure to be used as an Elks facility and will be constructed on approximately two acres of land as shown in the working drawings in general use. The golf course and the Elks Club shall begin construction within 120 days of this date and shall be completed within twelve months of the start of construction. The deed for the golf course shall contain a covenant that the land shall be used for a golf course and clubhouse only and any violation of this term shall result in a reversion of the property to the donor. In addition, any conveyance of the property to the Elks Club shall contain a covenant that the property shall be used for an Elks Club and related golf course activities only and any sale or lease of the clubhouse property must be offered to the Redevelopment Agency or the City on a "right of first refusal" basis. . 2) Construct 76 houses with an overall average value of not less than $55,000. These houses are to be located in Parcels 3A (28 houses) and 3B (48 houses) . There is to be no fencing fronting the houses which are to be constructed on parcels 3A, 3B and any subsequent development which may occur in Area 8. Request for zoning changes. Request that Area 4 be zoned commercial and that Area 3 be zoned for multiple residential development. 3) Construct Campus Crusade for Christ, a tax exempt organization, representing an investment of $2.5 million and containing 91,000 sq. ft. , located on approximately 7.2 acres of land located southerly of the golf course. 4570 Blair Park improvements were discussed. The Mayor stated that there will not be any surplus funds from the bonds to pay for these improvements. The reserve funds will be for industrial expansion. Councilman Katona stated that it is projected to cost $312,000 for the expansion of this park. $142,000 of this amount is for the street. If the developer (Hodgdon) contributed 1/2 of this cost ($71 ,000) and the City paid for the other 1/2 ($71,000), the street portion would be taken care of. Councilman Katona asked Mr. Hodgdon if he would be willing to pay for 1/2 of the cost of the street. Mr. Hodgdon stated that he would contribute $100,000 cash towards this park in lieu of his previously agreed upon $100,000 performance bond. He further stated that within 24 months he would expend at least $1 million on Area 3. This would generate more increment and actually would pay for the additional $212,000 expended by the Agency (over his $100,000 contribution) for the expansion of Blair Park. He further stated that if he did not meet the expenditure of $1 million within 24 months he would reimburse the Agency the $212,000 for improvements to the park. Councilman Katona asked if the bond issue could be increased in light of the above contribution and guarantee of Mr. Hodgdon. Mr. Green stated that he believed that it could be increased but that he would have to consult with bond counsel, Miller & Schroeder. Mr. James Warren Beebe concurred in Mr. Green's opinion, but said that this opinion was subject to review and approval of Mr. Jim Iverson, Miller & Schroeder. Mr. Hodgdon then stated that he would amend his guarantee of expending $1 million within 24 months to $1,200,000 within 24 months, in order that the increase of the bonding issue could be more easily reached. Mayor Holcomb summarized the conditions discussed, as follows: 1. Hodgdon to donate the land for the golf course on the condition that there will be a covenant that it will always remain a golf course (public) and if not it will revert back to the donor. 2. Elks can not sell the property without giving the City or the Redevelopment Agency the first right of refusal. 3. All of the improvements for the lots on the west side of Lt. Mt. Drive will be put in as revised with the frontage road going out -- possible moving the frontage road north of 30th. ---- Mr. Hodgdon stated that the frontage road does not have anything to do with him. It is on the parking lot for the golf course. 4. Hodgdon will put in $100,000 in cash towards the improvements for Blair Park, the remaining to come from the Agency, with the stipulation that Hodgdon will put in $1,200,000 worth of improvements within two years or he will reimburse the Agency for any monies expended for the improvements to Blair Park. 5. Lt. Mt. Drive to be straightened to accommodate Campus Crusade for Christ. -, ~: I r -...I ~ ......" ..., ....."j r !l 11 I' .... [ [ 4571 6. The improvements to Lt. Mt. Drive to the north shall be accomplished by the Agency. It was noted that the expending of $1,200,000 worth of improvements would be contingent upon the zone changes discussed. Mr. Hodgdon explained that the funds for Blair Park, plus his $100,000 contribution, could be set aside in a capital development fund for those purposes and would not be expended until such time as the zoning is changed. It was noted that zoning changes must take the proper steps and therefore no decision could be reached by the Council until all these steps are taken. The construction starting time shedule and completion schedule was discussed. Mr. McKay stated that he could meet this time schedule. Mr. Terry Spoor ,Elks Club, stated that they could not possibly start before five months. Thirty five days are needed to post the liquor license and transfer the current license. The plans must be prepared and approved by the Lodge and the Grand Lodge. Mr. Hodgdon stated that the time table for the Elks could be worked out, but he was most concerned with the golf course starting on time. Mr. McKay stated that he would put up a $50,000 deposit and submit a financial statement. Councilman Hobbs expressed his concern regarding the fencing of the golf course. He considered the fencing to be a discriminatory action against his ward and community. Mr. McKay stated that the fencing is for safety measures and is used by all golf courses. Mr. Hobbs stated that he would not vote on a course with fencing. Discussion concluded that the fencing could be reviewed and possible gates or openings planned for certain areas. Upon review and consideration of all items of concern, the following motions were introduced: Motion was made by Blum and seconded by Guhin closing the Hearings of the Redevelop- ment Agency. The motion was carried by the following vote, to wit: Ayes: Green, Blum, Hinojosa, Heller and Guhin Noes: None Abstention: None Absent: Obershaw and Wilson Motion was made by Guhin and seconded by Heller approving the revised proposal of the Hodgdons as submitted and discussed at the Joint Public Hearing, 4-17-.78, and authorizing the preparation of the necessary documents, to be brought back to the Agency and City for final approval. Motion carried by the following vote, to wit: Ayes: Green, Blum, Hinojosa, Heller and Guhin Noes: None Abstention: None Absent: Obershaw and Wilson 4572 Motion was made by Blum and seconded by Guhin approving the proposed Disposition Agreement between the Redevelopment Agency and the Elks Lodge as presented and discussed, subject to the documents being prepared and brought back to the Agency and City for final approval. The motion was carried by the following vote, to wit: Ayes: Green, Blum, Hinojosa, Heller and Guhin Noes: None Abstention: None Absent: Obershaw and Wilson. ,..., --J Motion was made by Heller and seconded by Hinojosa accepting and approving the construction of the golf course and the Lease and Operating Agreement with Hugh McKay as presented and discussed, subject to the documents being prepared and brought back to the Agency and City for final approval. Mr. Heller asked if Mr. McKay would sign as a corporate entity and if he has submitted a financial statement? Mr. McKay answered that he is now in the process of forming a group and incorporating. He believes the proper documents and financial statements will be ready in about 10 days. The motion was carried by the following vote, to wit: Ayes: Green, Blum, Hinojosa, Heller & Guhin Noes: None Abstention: None Absent: Obershaw and Wilson Motion was made by Blum and seconded by Heller accepting the conveyance and deed for approximately 62+ acres of property from Warner & Sharon Hodgdon for the construction of an 18 hole public golf course, subject to the preparation of the necessary documents for approval by the Agency and City. The motion was carried by the following vote, to wit: Ayes: Green, Guhin, Hinojosa, Heller and Guhin Noes: None Abstention: None Absent: Obershaw and Wilson. ...... Motion was made by Councilman Hudson and seconded by Councilman Wheeler closing the City's Public Hearings. The motion was unanimously carried. ...." Motion was made by Councilman Hudson and seconded by Councilman Wheeler approving the four motions taken by the Redevelopment Agency with regard to the public golf course and related facilities, without recourse or liability against the City of San Bernardino. The motion was unanimously carried. Mr. James Warren Beebe requested that a motion be adopted by the City and the Agency determining that the construction of the golf course and related facilities in the State College Project are of benefit to the project area and that no other reasonable means of constructing such golf course and related facilities are available to the community. Motion was made by Councilman Hudson and seconded by Councilman Wheeler determining that the construction of the golf course and related facilities in the State College Project are of benefit to the project area and that no other reasonable means of constructing such golf course and related facilities are available to the community. The motion was unanimously carried. It was determined that the necessary documents could be prepared for approval on Monday, April 24, 1978. .., .....J 4573 [ Upon motion duly made and seconded the Council adjourned until Monday, April 24, 1978, at 4: 00 p.m. The motion was unanimously carried. Motion was made by Heller and seconded by Blum determining that the construction of the golf course and related facilities in the State College Project are of benefit to the project area and that no other reasonable means of constructing such golf course and related facilities are available to the community. The motion carried by the following vote, to wit: Ayes: Green, Blum, Hinojosa, Heller and Guhin Noes: None Abstention: None Absent: Obershaw and Wilson Motion was made by Heller and seconded by Hinojosa to adjourn at 9: 30 p.m. The ;;;;;:;:;;;;a~. R. E. Shadwell, Jr. / Executive Director r- I '-- [ l .......J .... ....,J ..., ~ ....i [ [ [ 4574 MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA HELD APRIL 20, 1978 AT 3: 00 P.M., 300 NORTH "D" STREET, SAN BERNARDINO, CA. Agency Members Present: Blum, Obershaw, Heller, Guhin and Green. Agency Members Absent: Hinojosa. Others Present: R. E. Shadwell, Jr. , Executive Director, Wm. A. Flory, Agency Coun- sel and Barbara Brown, Executive Secretary. APPROV AL OF MINUTES: The Minutes of April 6, 1978 were submitted for approval. Motion for approval was made by Guhin and seconded by Heller. Motion unanimously carried. Abstention: None. Absent: Hinojosa. APPROV AL OF EXPENDITURES: Several board members stated they had not reviewed the expenditures for the month of March. Motion to continue March Expenditures until the next board meeting, May 4th, 1978 by Obershaw and seconded by Blum. Motion unanimously carried. Abstention: None. Absent: Hinojosa. COMMITTEE FOR PROPOSED NORTHWEST PROJECT AREA. Mr. Green stated that because of the increased Agency activity due to the proposed golf course and other developments in the State College Project, the commitee had not had time to meet and review plans submitted by Gruen Associates, Inc., and Dukes-Dukes lit Associates, Inc. He asked the board to table the item until the committee has suf- ficient time to meet and review the documents necessary to make a decision. Ms. Sharon Cooper of the West Side Development Corporation spoke regarding her concerns for the proposed project. She stated that people on the West side has had a lot of promises made without the people making the promises being aware of the area needs. She further stated that she was hopeful the Board would be able to make a decision that would fully meet the needs of the people. Mr. Green stated that as of this time there is no real urgency in going ahead with meet- ings, etc. , because nothing can be done until August 20, 1979 because of the equalized tax roll. The roll establishes the time the "frozen" tax base is established and incre- ments begin. Mr. Hinojosa arrives at 3: 22 p.m. Motion to table committee meeting to a later date by Obershaw and seconded by Blum. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: Hinojosa. Absent: None. 4575 PUBLIC HEARING-HALLMARK-SOUTHWEST DEVELOPMENT CORPORATION-STATE COLLEGE PARK. ., I I ! .....J Mr. Green opened the Public Hearing for Hallmark development at 3: 25 p.m. and referred to the area in question on display board. Mr. Green then asked if anyone in the audience was opposed or in favor of the development. Mr. William Leonard inquired as to the time frame of the proposed development. Mr. Green briefed the Hallmark development background and stated that after the Public Hearing is closed, the next step will be the acquisition of the land, then necessary engineering to perform the services the Agency has agreed to do per the terms and conditions of the Contract of Sale. Mr. Green closed the Public Hearing at 3: 30 p.m. and the following resolution was adopted: RESOLUTION NO. 3574 RESOLUTION OF THE REDEVELOPMENT AGENCY APPROVING THE SALE OF PROPERTY LOCATED IN THE STATE COLLEGE PARK REDEVELOPMENT PROJECT AREA AND APPROVING CONTRACT OF SALE TO HALLMARK -SOUTHWEST CORPORATION AND/OR CHARLES R. BRAMMER OR HIS NOMINEE, FOR THE DEVELOPMENT OF 62.90 ACRES OF LAND. Motion to adopt Resolution No. 3574 by Blum and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. .., ACCEPT REVISED INITIAL STUDY FOR INDUSTRIAL DEVELOPMENT AREA OF STATE ....J COLLEGE PROJECT (HALLMARK) AND DIRECT PREPRATION OF A NEGATIVE DECLARATION. With no discussion, the following resolution was adopted: RESOLUTION NO. 3575 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, RESCINDING RESOLUTION NO. 3512, AND INITIAL STUDY PERTAINING THERETO, AND ACCEPTING REVISED INITIAL STUDY FOR THE INDUSTRIAL DEVELOPMENT AREA OF THE STATE COLLEGE PROJECT (HALLMARK-SOUTHWEST CORPORATION), AND DIRECTING THE PREP ARA TION OF A NEGATIVE DE CLARA TION . Motion to adopt Resolution No. 3575 by Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Blum, Obershaw, Hinojosa, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. APPRAISAL CONTRACT WITH E. G. GRIGSBY - SEIP Mr. Green informed the Board that the Contract they were being asked to approve had already been verbally approved by them and the adoption of the resolution merely a formality. The following resolution was adopted: .... ....,J r L. [ [ 4576 RESOLUTION NO. 3576 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA AUTHORIZING THE CHAIRMAN AND SEC- RETARY TO ENTER INTO CONTRACT WITH EDWARD G. GRIGSBY, M.A.!. FOR APPRAISAL SERVICES IN THE AMOUNT OF $6,250.00, SEIP. Motion to adopt Resolution No. 3576 by Guhin and seconded by Obershaw. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. RECEIVE OFFER TO PURCHASE-LONERGAN-AMFAC BLDG.-CENTRAL CITY NORTH Mr. Green asked the Board to accept Mr. Lonergan I s Offer to Purchase on behalf of Mr. Lonergan's sons and not set a Public Hearing. The offer will be brought back at the May 4, 1978 meeting for the purpose of setting the Public Hearing. The Board and Mr. Lonergan agreed to Mr. Green's request and the following resolution was adopted: RESOLUTION No. 3577 RESOLUTION OF THE REDEVELOPMENT AGENCY AUTHORIZING CHAIRMAN AND SECRETARY TO RECEIVE AN OFFER TO PURCHASE FROM JAMES A. LONERGAN AND MICHAEL G. LONERGAN, BY JOHN B. LONERGAN, HIS ATTORNEY IN FACT. FOR PROPERTY LOCATED IN CENTRAL CITY NORTH KNOWN AS THE AMFAC BUILDING. Motion to adopt Resolution No. 3577 by Heller and seconded by Blum. Motion carried by the following vote. to wit: Ayes: Blum, Obershaw. Hinojosa. Heller. Guhin and Green. Nays: None. Abstention: None. Absent: None. CONTRACT WITH SOUTHERN CALIFORNIA EDISON COMPANY FOR $12.764. 87-SEIP . Mr. Green informed the board that this Resolution has already been before the Mayor and Council. Councilman Hobbs questioned the legality of paying this item and City Attorney Prince was therefore directed to look into the legal technicality of the matter. Mr. Prince's opinion was that the Agency should not have to pay for the cost of relocating power poles. However. this is a cost that must be paid now in order for the contractor working in the area to finish his job. The Agency will enter into Contract with Edison under protest and duress which will probably mean possible future litigation Mr. Flory. Agency Counsel informed the board that there has been recent court action whereby he feels the following verbage should be added to the resolution. Quote" under protest and duress. unquote" . Mr. Green stated that he has been in contact with the Edison Co. officials and they are aware of the possible pending litigation. but want to cooperate in every way with the contractor and the Agency. All parties involved, i. e. contractor. Edison Co. . Agency feel the contract should be entered into. the poles relocated and future negotiations acted upon at a later date. The following resolution was adopted. as amended: 4577 RESOLUTION NO. 3578 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT WITH SOUTHERN CALIFORNIA EDISON COMPANY FOR RELOCATION OF POWER POLES IN THE AMOUNT OF $12,764.87, SEIP, UNDER PROTEST AND UNDER DURESS. ~ 1 , I :i ; -" Motion to adopt Resolution No. 3578 by Obershaw and seconded by Blum. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. CONTRACT WITH JOHN MOORE FOR DRAINAGE IMPROVEMENTS-SEIP FOR $5,000.00. Mr. Green stated the board had verbally approved this contract, therefore the adoption of the following resolution is a ratifying procedure. The following resolution then adopted: RESOLUTION NO. 3579 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AWARDING CONTRACT TO JOHN MOORE FOR CONSTRUCTION OF DRAINAGE IMPROVEMENTS IN SEIP FOR AN AMOUNT OF $5,000.00. -.... Motion to adopt Resolution No. 3579 by Obershaw and seconded by Hinojosa. Motion car- ried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. ...., EXECUTION OF LOAN AGREEMENT WITH THE CITY OF SAN BERNARDINO IN THE AMOUNT OF $266,080 FOR STREETS-STATE COLLEGE PARK. Mr. Obershaw inquired how much interest the Agency would be paying the City for the loan and Mr. Green replied that he did not have that information because when the Agency requested the loan, the Agency did not anticipate having to pay interest. Mr. Obershaw was firm in his statement that a limit be put on the interest rate. Mr. Green stated the City would not charge interest higher than what the City was currently receiving on its investments. Mrs. Blum asked how the Agency would repay the loan. Mr. Green in- formed Mrs. Blum that all information regarding repayment was set forth in the Agree- ment for their review. Motion to adopt the resolution by Obershaw and seconded by Guhin. Further discussion regarding the interest to be paid the City commenced. Mr. Obershaw withdrew his motion to adopt the resolution and Mr. Guhin withdrew his second. Motion made by Obershaw to adopt the resolution with amendment thereto stating that interest paid on the loan shall not exceed that currently being earned by the City on its deposits. ~ }! ....." r , to t ... [ [ 4578 RESOLUTION NO. 3580 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE CHAIRMAN AND SECRETARY TO EXECUTE AN AGREEMENT WITH THE CITY OF SAN BERNARDINO RELATING TO A LOAN FROM THE CITY TO THE AGENCY IN THE AMOUNT OF $266,080 FOR STREETS-STATE COLLEGE INDUSTRIAL PARK SITE. Motion to adopt Resolution No. 3580 by Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. EXECUTION OF LOAN AGREEMENT WITH THE CITY OF SAN BERNARDINO IN THE AMOUNT OF $428,650 FOR SEWER SERVICE-STATE COLLEGE PARK. The following resolution was adopted with the same interest clause added thereto. RESOLUTION NO. 3581 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE CHAIRMAN AND SECRETARY TO EXECUTE AN AGREEMENT WITH THE CITY OF SAN BERNARDINO RELATING TO A LOAN FROM THE CITY TO THE AGENCY IN THE AMOUNT OF $428,650 FOR SEWER-STATE COLLEGE INDUSTRIAL PARK SITE. Motion to adopt Resolution No. 3581 by Obershaw and seconded by Heller. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. AUTHORIZING THE SELLING OF BONDS AND THE PAYMENT OF THE COSTS OF ISSUANCE Mr. Green stated the Agency sold the Southeast Industrial Park Redevelopment Project Area Tax Allocation Bonds, Issue of 1978 at an overall rate of 8.57 percent interest (6.9 percent , plus a one-time 5 percent discount to the bidder). The bonds were sold to the only bidder, Miller & Schroeder Municipals, Inc., the Agency's bond consultant. These bonds will payoff the short term SEIP notes of $5,000,000 plus other costs, leaving a net for the Agency in the amount of $3,925,000 which will be used to finance construction in SEIP. The following resolution was then adopted: RESOLUTION NO. 3582 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA SELLING BONDS OF SAID AGENCY AND AUTHORI- ZING THE PAYMENT OF THE COSTS OF ISSUANCE. Motion to adopt Resolution No. 3582 by Obershaw and seconded by Hinojosa. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Heller, Guhin and Green. Abstention: None. Absent: None. 4579 APPROVAL OF OFFICIAL STATEMENT FOR ISSUANCE OF SOUTHEAST INDUSTRIAL PARK PROJECT AREA TAX ALLOCATION BONDS, ISSUE OF 1978. With no discussion the following resolution was adopted: ~ I RESOLUTION NO. 3583 ....,,; RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING THE OFFICIAL STATEMENT FOR THE ISSUANCE OF ITS SOUTHEAST INDUSTRIAL PARK REDEVEL- OPMENT PROJECT AREA, T AX ALLOCATION BONDS, ISSUE OF 1978. Motion to adopt Resolution No. 3583 by Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. APPROV AL OF FISCAL AGENT SERVICES. With no discussion the following resolution was adopted: RESOLUTION NO. 3584 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO APPROVING AN AGREEMENT FOR FISCAL AGENT SERVICES. ... Motion to adopt Resolution No. 3584 by Obershaw and seconded by Blum. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Heller, Guhin and Green. ....., Nays: None. Abstention: None. Absnt: None. AUTHORIZIATION FOR AGENCY COUNSEL TO REPRESENT AGENCY IN ANY ACTION REGARD- ING CLAIM OF SPECK ENGINEERING CO. vs C.V. HOLDER, SUNRAY CONSTRUCTION CO. Mr. Green cautioned the board memebers that if they had any questions regarding this authorization that an Executive Session be called inasmuch as there may be possible litigation pending. Motion made by Obershaw and seconded by Guhin authorizing Agency Counsel to represent the Agency in any action regarding claim of Speck Engineering vs. C. V. Holder, Sunray Construction Co. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. OTHER BUSINESS: Mr. William Leonard spoke regarding the Council assuming the responsibility of the Agency in July. He stated that he doubted if anyone could fully understand the magnitude of work performed by the Staff and Board presently and in the future. Mr. Green thanked Mr. Leonard for his remarks. .... .....", [ [ "..... ! ! L.. 4580 Mr. Leonard then referred to the Hugh McKay Golf Course Proposal for the State College Park. He urged the board members to take a second look at the McKay proposal, specifi- cally the amount of rent that Mr. McKay will be paying. After listening to Mr. Leonard's remarks, Mrs. Blum stated that perhaps, with inflation to be considered, the board should not settle for the 2% rent on the lease that Mr. McKay will be paying. Mr. Leonard stated that he felt it extremely unfair and that he pays considerably more. The majority of the board members agreed the proposal should be given further study and urged Mr. Leonard to present his issues at the next scheduled joint City Council-RDA meeting. Mr. Obershaw leaves the meeting at 4: 30 p.m. Mr. Leonard also stressed the fact he thought a golf course economist should be hired. Mrs. Blum and Mr. Heller thanked Mr. Leonard for her remarks. Motion then made by Guhin and seconded by Heller to adjourn to adjourned regular meet- ing, April 24, 1978 at 4: 00 p . m. , in the Council Chambers. Motion unanimously carried. Abstention: None. Absent: None. Adjournment: 4: 37 p.m. , R. E. Shadwell, Jr. Executive Director ,., I -'" .. """'" 4IIlIIl :!i i ~ --' [ [ [ 4566 MINUTES OF THE SPECIAL MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO HELD MAY 1, 1978 AT 7: 30 P.M., IN THE COUNCIL CHAMBERS OF CITY HALL, 300 NORTH "D" STREET, SAN BERNARDINO, CA. Roll Call showed the following: Agency Members Present: Blum, Obershaw and Green. Agency Members Absent: Hinojosa, Heller and Guhin. Others Present: R. E. Shadwell, Jr., Executive Director, Wm. A. Flory, Agency Counsel, and Barbara Brown, Executive Secretary. Councilmen Present: Castaneda, Wheeler, Katona, Gerwig, Hudson and Lackner. Councilmen Absent: Hobbs. Others Present: Mayor Holcomb, City Attorney, City Administrator and Deputy Chief City Clerk. Mayor Holcomb stated at 7: 40 p.m. , that inasmuch as the Agency did not have a quorum present, rather than just sit and waste time, the time would be used for an informal work- shop to evaluate the proposed changes prepared by the Agency to be approved later. Mayor Holcomb asked Mr. and Mrs. Warner Hodgdon and/or their attorney, Allen Gresham, if they had any questions relative to the changes. Attorney Gresham responded that they did not. Mayor Holcomb referred to the Elks Club Agreement. Mr. Green stated that certain terms had been added into the Elks Agreement at his instigation that had not been previously discussed with the Elks. Mr. Green referred to lines 68 through 101 of the Elks Agreement, adding that this language should be removed from the Agreement. Mr. Guhin arrived at 7: 42 p.m. (Agency has quorum) . Mr. Spoor, representing the Elks Club, stated that he would submit to the Hodgdons, the following: (1) Exterior Elevation Plan, (2) Plot Plan and (3) Landscaping Plans. This was agreeable to the Hodgdons and their attorney. Mayor Holcomb then referred to Hugh McKay's Lease with the Agency. Mr. McKay commented on page 3, Section B, and stated that line 4 be changed to read "110 lbs" instead of 100 lbs . Mr. McKay then requested additional time to confer with his associates regarding the other proposed changes. Mr. Gresham asked why the change on page 5 of Hodgdon I s OP Agreement. Mr. Green stated the change in language would allow the Agency the most feasible way in which to award the contract and that it is everyone's intention, at this time, to do the work under one contract. But, if that cannot be done, the Agency would then be able to go out for two con- tracts if necessary. The grading would be under one contract, and hopefully, everything else would be let under one other contract. Mayor Holcomb concurred with Mr. Green's statements. 4567 Councilman Hudson questioned the change where it stated Agency Upset Figure of $375,000 be changed to read Agency Estimated Cost of $375,000 in the Hodgdon OP Agreement. Mr. Green stated that the figure of $375,000 was never legally acted upon ..... and that the Agency feels the figure of $375,000 is a good figure the Agency can work I ~th. I Mayor Holcomb then asked Mr. McKay if he had had sufficient time to confer with his associates, and if so, would he respond to the proposed changes? Mr. McKay questioned the Letter of Credit and the pending draws. Mr. Green answered Mr. McKay's questions. Mr. McKay stated that he would like a release of the remaining money after they reach 50% completion on construction. Mr. Green responded the Agency would be willing to allow Mr. McKay draw-downs on progress peformed, but could not support the request for release of remaining money after 50% construction completion. Discusion revealed construction costs at approximately $975,700.00. -..II Mayor Holcomb stated that it would be difficult to make this type decision at the meeting and suggested the $1.2 Million Dollar Letter of Credit be reopened and renegotiated a later date with Agency staff. Mayor further suggested that at the meeting, Mr. McKay should state he is not prejudiced against coming back to the City for renegotiations. Mr. McKay conceeded. Attorney Gresham, speaking for the Hodgdons, stated that Mr. and Mrs. Hodgdon want to be sure the golf course will be completed and want a Performance Bond posted on the remainder of the money owing. Mayor Holcomb then asked if there were any further questions of Mr. McKay None voiced. ... .~ !j ....; It was determined that Mr. McKay would have the Cashier's Check in the Agency by May 5,1978 in the amount of $50,000 by 5: 00 p.m. Discussion regarding charge of Mr. McKay's Green Fees with change being made to Exhibit "E" of the Agreement to read Sat. , Sun. & Holidays $7.50 instead of $7.00 and Weekdays, $5,00 instead of $4.00. Mayor Holcomb stated that now was the time for Mr. William Leonard, owner of the San Bernardino Public Golf Course to speak, even though the Public Hearing had been officially closed. Mr. Leonard addressed both bodies. He mainly stessed his concern regarding Mr. McKay's qualifications to operate the golf course. Mr. Obershaw leaves at 8: 05 p.m. Mayor Holcomb asked Mr. McKay to respond to Mr. Leonard's statements regarding his qualifications. Mr. McKay stated that he felt his associates and himself were very well qualified. Mr. Obershaw back at 8: 06 p.m. Mayor Holcomb declared the workshop finished and stated the 3 principals were now in agreement with the documents as amended. He further stated the last resolutions to be adopted would allow changes to be made. ..... ~ n ...,..;I r ..... r ..... ,.... I ~ 4568 Mayor Holcomb stated that he appreciated Mr. Leonard IS attitude, but did not think the proposed golf course would hurt him, however, he feels that the Cityls Lease with Bill Leonard should be reviewed as soon as possible. Mayor calls Council to order at 8: 06 p.m. . Chairman Green calls the Special Meeting of the Redevelopment Agency to order at 8: 06 p.m. Mr. Green then made a statement whereby he commented that he felt the process leading up to the Special Meeting had been a very trying one for everyone concerned, but a beneficial experience to one and all concerned. He then said the Agency has one item of business to take up before the golf course documents are to be reviewed. With no further discussion, the following resolution was adopted: RESOLUTION NO. 3585 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA APPROVING A CERTAIN ESCROW AGREEMENT. Motion to adopt Resolution No. 3585 by Obershaw and seconded by Blum. Motion carried by the following vote, to wit: Ayes: Obershaw, Blum, Guhin and Green. Nays: None. Abstention: None. Absent: Heller and Hinojosa. The following resolution was adopted, subject to the proposed changes: RESOLUTION NO. 3586 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO PROPERTY OWNER PARTICIPATION AGREEMENT WITH WARNER W. AND SHARON D. HODGDON, FOR A RESIDENTIAL, COMMERCIAL AND RECREATIONAL DEVELOPMENT WITHIN THE STATE COLLEGE PROJECT AREA. Motion to adopt Resoltuion No. 3586 by Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Guhin and Green. Nays: None. Abstention: None. Absent: Heller and Hinojosa. The following resolution was adopted: 4569 RESOLUTION NO. 3587 l ....J RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE SECRETARY TO ACCEPT AND CONSENT TO DEED OR GRANT CONVEYING ANY INTEREST IN OR EASEMENT UPON PROPERTY TO THE REDEVELOP- MENT AGENCY FROM WARNER W. AND SHARON D. HODGDON, STATE COLLEGE PROJECT AREA. Motion to adopt Resolution No. 3587 by Blum and seconded by Obershaw. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Guhin and Green. Nays: None. Abstention: None. Absent: Heller and Hinojosa. The following resolution was adopted by the City Council: RESOLUTION NO. 13251 RESOLUTION OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING RESOLUTION NO. 3586 OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO PROPERTY OWNER PARTICIPATION AGREEMENT WITH WARNER W. HODGDON AND SHARON D. HODGDON, FOR A RESIDENTIAL, COM- MERcIAL AND RECREATIONAL DEVELOPMENT WITHIN THE STATE COLLEGE PROJECT AREA. ., li ...." Motion to adopt Resolution No. 13251 by Hudson and seconded by Castaneda. Motion car- ried by the following vote, to wi t: Ayes: Castaneda, Katona, Gerwig, Hudson, and Lackner. Nays: None. Abstention: None. Absent: Hobbs and Wheeler. The following resolution was adopted by the City Council: RESOLUTION NO. 13252 RESOLUTION OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING RESOLUTION NO. 3587 OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE SECRETARY TO ACCEPT AND CONSENT TO DEED OR GRANT CONVEYING ANY INTEREST IN OR EASEMENT UPON PROP- ERTY TO THE REDEVELOPMENT AGENCY FROM WARNER W. AND SHARON D. HODGDON, STATE COLLEGE PROJECT AREA. Motion to adopt Resolution No. 13252 by Hudson and seconded by Castaneda. Motion car- ried by the following vote, to wit: Ayes: Castaneda, Katona, Gerwig, Hudson and Lackner. Nays: None. Abstention: Hobbs and Wheeler. ... 'WIllI [ r ! l..... [ 4570 The following resolution was adopted: RESOLUTION NO. 3588 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO. CALIFORNIA. APPROVING THE SALE OF APPROXIMATELY 2.7 ACRES OF LAND WITHIN THE STATE COLLEGE PROJECT AREA TO SAN BERNARDINO ELKS BUILDING ASSOCIATION FOR THE DEVELOPMENT OF A FACILITY TO PROVIDE FOOD AND BEVERAGE SERVICES FOR THE PROPOSED GOLF COURSE. STATE COLLEGE PROJECT AREA. Councilman Hudson questioned changes to be made in the Elks Agreement and Mr. Green responded to the Councilman's satisfaction. Motion to adopt Resolution No. 3588 by Guhin and seconded by Obershaw. Motion carried by the following vote. to wit: Ayes: Blum. Obershaw. Guhin and Green. Nays: None. Abstention: None. Absent: Heller and Hinojosa. Councilman Hobbs arrived at 8: 20 p.m. The following resolution was adopted by the City Council: RESOLUTION NO. 13253 RESOLUTION OF THE CITY OF SAN BERNARDINO. CALIFORNIA. APPROVING RESOLUTION NO. 3588 OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO. CALIFORNIA. APPROVING THE SALE OF APPROXIMA TEL Y 2.7 ACRES OF LAND WITHIN THE STATE COLLEGE PROJECT AREA TO SAN BERNARDINO ELKS BUILDING ASSOCIATION FOR THE DEVELOPMENT OF A FACILITY TO PROVIDE FOOD AND BEVERAGE SERVICES FOR THE PROPOSED PUBLIC GOLF COURSE. STATE COLLEGE PROJECT AREA. Motion to adopt Resolution No. 13253 by Wheeler and seconded by Hudson. Motion carried by the following vote. to wi t: Ayes: Castaneda. Wheeler. Katona. Hudson and Lackner. Nays: Hobbs and Gerwig. Abstention: None. Absent: None. The following resolution was adopted. subject to the proposed changes: RESOLUTION NO. 3589 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO. CALIFORNIA. AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO A LEASE AND OPERATING AGREE- MENT FOR A PUBLIC GOLF COURSE WITHIN THE STATE COLLEGE PROJECT AREA. Motion to adopt Resolution No. 3589 by Obershaw and seconded by Guhin. Motion carried by the following vote. to wit: Ayes: Blum. Obershaw Guhin and Green. Nays: None. Abstention: None. Absent: Heller and Hinojosa. 4571 Councilman Hudson inquired why Resolution No. 3589 referred to Hugh McKay, an individual. Mayor Holcomb stated that Mr. McKay is in the process of being incorp- orated and will be shortly. Mr. Hinojosa arrived at 8: 30 p . m. .., I I -J Councilman Hudson questioned page 5 of the pending resolution to be adopted by the City. After discussion it was determined to strike the following from the page "to the Redevelopment Agency" . . . . . Councilman Katona questioned page 7, Section 6 of the Lease and Operating Agreement by stating he felt the percentages were not high enough, and also that he wants a Performance Bond. Mr. Green stated that he felt the Bond was covered by the changes in the Agree- ment and that a Cashier's Check in the amount of $50,000 would be in the Agency's pos- session by May 5, 1978 and will be posted to assure the fact that Mr. McKay will produce his Letter of Credit on May 11, 1978. Mr. Green also stated he feels the City is fully covered regarding completion of the golf course. The Mayor asked Mr. McKay to respond to Councilman Katona's remarks. Mr. McKay addressed Councilman Katona and stated that he felt his Lease and Operating Agreement was both fair and equitable and that he was not receptive to paying higher percentages, as suggested by the Councilman. Further discussion regarding Mr. McKay's Lease and possessory interest. ..... Mayor Holcomb calls for a 5 minute recess at 9: 10 p.m. ...... Mayor reconvenes meeting at 9: 20 p.m. Chairman Green calls the Redevelopment Agency Special Meeting back to order at 9: 20 p . m. The Mayor stated that it was time for Mr. McKay to again respond to Councilman Katona's comments. Mr. McKay stated that he wished to be fair and would compromise as follows: He would pay interest at the rate of 2% from 1 through 5 years; 2.5% from 6 through 10 years; 3.5% from 11 through 15 years and 4.5% from 16 years thereafter. Mr. McKay stated he would guarantee possessory tax. Mayor Holcomb questioned the Council if they would accept Mr. McKays amended proposal and there was a majority vote of yes. Mr. Green stated that the Agency would amend their previous Resolution No. 3589. Motion to amend motion and resolution by Obershaw and seconded by Guhin. Motion unanimously carried. Abstention: None. Absent: Heller. .. ....", [ ~ L r-- ! t ! '-- 4572 The following resolution was adopted by the City Council, subject to proposed change: RESOLUTION NO. 13254 RESOLUTION OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING RESOLUTION NO. 3589 OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO A LEASE AND OPER- ATING AGREEMENT FOR A PUBLIC GOLF COURSE IN STATE COLLEGE PROJECT NO.4. Motion to adopt Resolution No. 12354 by Castaneda and seconded by Hudson. Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Katona, Hudson and Lackner. Nays: Hobbs and Gerwig. Abstention: None. Absent: None. The following resolution was adopted by the City Council: RESOLUTION NO. 13255 RESOLUTION OF THE CITY OF SAN BERNARDINO, CALIFORNIA FINDING AND DETERMINING THAT THE CONSTRUCTION OF A PUBLIC GOLF COURSE AND RELATED FACILITIES IN STATE COLLEGE PROJECT NO. 4 ARE OF BENEFIT TO THE PROJECT AREA AND THAT NO OTHER REASONABLE MEANS OF CONSTRUCTING SUCH GOLF COURSE AND RELATED FACILITIES ARE AVAILABLE TO THE COMMUNITY. Motion to adopt Resolution No. 13255 by Castaneda and seconded by Hudson. Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Katona, Hudson and Lackner. Nays: Hobbs and Gerwig. Abstention: None. Absent: None. Mr. Green stated the following pending resolution to be adopted will include the 60 acres to be donated to the Agency and the currently owned Agency property. The following resolution was adopted: RESOLUTION NO. 3590 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING THE CHAIRMAN AND SECRE- T ARY TO ENTER INTO AN AGREEMENT WITH THE CITY OF SAN BER- NARDINo, CALIFORNIA FOR THE CONVEYANCE OF CERTAIN PROPERTY WITHIN THE STATE COLLEGE PROJECT AREA. Motion to adopt Resolution No. 3590 by Blum and seconded by Obershaw. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Guhin and Green. Nays: None. Abstention: None. Absent: Heller. 4573 The following resolution was adopted by the City Council: RESOLUTION NO. 13256 ,.., j ...J RESOLUTION OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING RESOLUTION NO. 3590 OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AND AUTHORIZING THE EXECUTION OF THE AGREEMENT THERETO ATTACHED AS EXHIBIT "A". Motion to adopt Resolution No. 13256 by Wheeler and seconded by Katona. Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Katona, Hudson and Lackner. Nays: Hobbs and Gerwig. Abstention: None. Absent: None. Mr. Green explained that the pending resolution to be adopted allows the Agency to make the necessary changes that have been approved by both the Agency and Council at this meeting. He further stated that the Agency will not change anything that has not been approved, etc. , tonight. The following resolution then adopted: RESOLUTION NO. 3591 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO REGARDING THE STATE COLLEGE PROJECT AREA, AUTHORIZING MODIFICATION OF DOCUMENTS. .., ~ -.JfiiJ Motion to adopt Resolution No. 3591 by Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Guhin and Green. Nays: None. Abstention: None. Absent: Heller. The following resolution was adopted by the City Council: RESOLUTION NO. 13257 RESOLUTION OF THE CITY OF SAN BERNARDINO, CALIFORNIA REGARDING THE STATE COLLEGE PROJECT AREA, AUTHORIZING MODIFICATION OF DOCUMENTS. Motion to adopt Resolution No. 13257 by Hudson and seconded by Wheeler. Motion carried by the following vote, to wit: Ayes: Castaneda, Wheeler, Katona, Hudson and Lackner. Nays: Hobbs and Gerwig. Abstention: None. Absent: None. Mr. Green stated the Agency had no further business and called for a motion to adjourn the Special Meeting. Motion to adjourn by Hinojosa and seconded by Blum. Motion carried unanimously. Abstention: None. Absent: Heller. .... ~ [ [ [ 4574 MINUTES OF REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO HELD MAY 4,1978 AT 3: 00 P.M. 300 NORTH "D" STREET, SAN BERNARDINO, CALIFORNIA. Roll Call showed the following: Agency Members Present: Obershaw, Heller, Guhin and Green. Agency Members Absent: Hinojosa and Blum. Others Present: R. E. Shadwell, Jr. , Executive Director, Wm. A. Flory, Agency Counsel and Barbara Brown, Executive Secretary. APPROV AL OF MINUTES: The Minutes of April 10 , 1978 were submitted for approval. Motion to approve by Guhin and seconded by Obershaw. Motion unanimously carried. Abstention: None. Absent: Hinojosa and Blum. The Minutes of April 13, 1978 were submitted for approval. Motion to approve by Obershaw and seconded by Guhin. Motion unanimously carried. Abstention: None. Absent: Hinojosa and Blum. The Minutes of April 17 , 1978 were submitted for approval. Motion to approve by Guhin and seconded by Obershaw. Motion unanimously carried. Abstention: None. Absent: Hinojosa and Blum. The Minutes of April 20, 1978 were submitted for approval. Motion to approve by Obershaw and seconded by Guhin. Motion unanimously carried. Abstention: None. Absent: Hinojosa and Blum. APPROV AL OF EXPENDITURES The Expenditures for March, 1978 were submitted for approval. Motion to approve by Guhin and seconded by Obershaw. Mr. Obershaw inquired why the Agency advertises in so many papers instead of just the Sun Telegram. Mr. Green replied that the exposure is good for the Agency, also it disallows any debate as to favoriticism, one newspaper over the other. Mr. Heller questioned the billing procedures of Jas. Warren Beebe's Law Office and Miller & Schroeder. Mr. Shadwell explained to Mr. Heller the billing and percentage method both firms use. Motion then unanimously carried. Abstention: None. Absent: Hinojosa and Blum. RESOLUTION AUTHORIZING ISSUANCE OF $12,000,000 PRINCIPAL AMOUNT OF TAX ALLOCATION BONDS TO FINANCE PORTION OF THE COST OF RDA PROJECT KNOWN AS STATE COLLEGE PROJECT NO.4 AND PROVIDE FUNDS FOR PAYMENT OF PREVIOUSLY ISSUED NOTES. Mr. Green referred to the previously approved $6,000,000 issuance authority prior to the Hallmark Development and other developments in the State College Project. This $12,000,000 will give the Agency authority to bond higher, if and when necessary instead of just bond- ing capacity of $6,000,000. 4575 The following resolution was adopted: RESOLUTION NO. 3594 (Resolution No. 3522, as Amended) ,..., J RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CA, AUTHORIZING THE ISSUANCE OF $12,000,000 PRINCIPAL AMOUNT OF TAX ALLOCATION BONDS OF SAID AGENCY TO FINANCE A PORTION OF THE COST OF A REDEVELOPMENT PROJECT KNOWN AS STATE COLLEGE PROJECT NO.4 AND TO PROVIDE FUNDS FOR THE PAYMENT OF PREVIOUSLY ISSUED NOTES. Motion to adopt Resolution No. 3594 by Obershaw and seconded by Heller. Motion carried by the following vote, to wit: Ayes: Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa and Blum. The following resolution was adopted: RESOLUTION NO. 3595 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, DETERMINING TO ISSUE $4,500,000 PRINCIPAL AMOUNT OF TAX ALLOCATION BONDS OF SAID AGENCY AND PROVIDING FOR CERTAIN DETAILS OF SAID BONDS. Motion to adopt Resolution No. 3595 by Obershaw and seconded by Heller. Motion carried " by the following vote, to wit: Ayes: Obershaw, Heller, Guhin and Green. Nays: None. 'G Abstention: None. Absent: Hinojosa and Blum. ....!II The following resolution was adopted: RESOLUTION NO. 3596 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, PROVIDING FOR THE SALE OF $4,500,000 PRINCIPAL AMOUNT OF TAX ALLOCATION BONDS, ISSUE OF 1978, SERIES B . Motion to adopt Resolution No. 3596 by Heller and seconded by Obershaw. Motion carried by the following vote, to wit: A yes: Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa and Blum. The following resolution was adopted: RESOLUTION NO. 3597 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING THE OFFICIAL STATEMENT FOR THE ISSUANCE OF ITS STATE COLLEGE PROJECT NO.4, TAX ALLOCATION BONDS, ISSUE OF 1978, SERIES B. I!lIIlIII ~! -.II [ "... t { t '-.., "... I I ,~ ....' 4576 Motion made to adopt Resolution No. 3597 by Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa and Blum. The following resolution was adopted: RESOLUTION NO. 3598 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING A CERTAIN SECURITIES ACQUISITION AGREEMENT, MEADOWBROOK -CENTRAL CITY PROJECT NO.1. Motion to adopt Resolution No. 3598 by Heller and seconded by Obershaw. Motion carried by the following vote, to wit: Ayes: Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa and Blum. The following resolution was adopted: RESOLUTION NO. 3599 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, AUTHORIZING AN AMENDMENT TO FISCAL AGENT SERVICES AGREEMENT, SOUTHEAST INDUSTRIAL PARK REDEVEL- OPMENT PROJECT AREA, TAX ALLOCATION BONDS, ISSUE OF 1978. Motion to adopt Resolution No. 3599 by Guhin and seconded by Obershaw. Motion carried by the following vote, to wit: Ayes: Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa and Blum. CONTRACT-FEDERAL SIGNS FOR MAINTENANCE-CENTRAL CITY PROJECT Mr. Green stated that he would not support the resolution authorizing execution of the con- tract between Federal Signs and the Agency. He further stated that he could see absolutely no benefit derived by the Agency from the Contract. Motion by Obershaw to disapprove the Contract, seconded by Heller. Mr. Heller then asked if perhaps Federal Signs could submit a cost breakdown, etc. to the Agency for review. Discussion followed regarding board member's feelings toward the Agency's moral responsibility for the cost sharing of the maintenance. Mrs. Blum arrived at 3:25 p.m. Mrs. Blum stated, after being briefed on the discussion, that she was very much in favor of the motion to disapprove the Contract. Motion to disapprove the Contract carried by the following vote, to wi t: Ayes: Green, Heller, Blum and Obershaw. Nays: Guhin. Abstention: None. Absent: Hinojosa. 4577 SET A PUBLIC HEARING FOR MAY 18,1978 AT 3: 00 P .M.-AMFAC BLDG.-C.C. NORTH Mr. Green stated that he felt it was unnecessary to set a Public Hearing this early for the subject property and that he did not feel the $50,000 offer to purchase was enough J... money. Mrs. Blum asked how much the previous offer had been and was informed it . had been $40,000. Motion to reject Offer to Purchase from James A. Lonergan and Michael G. Lonergan, by John B. Lonergan, his attorney in fact for the Amfac Building located in Central City North by Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Green, Guhin, Heller and Obershaw. Nays: None. Abstention: Blum. Absent: Hinojosa. RECEIVE OFFER TO PURCHASE AND SET PUBLIC HEARING FROM LAURENCE R. LERNER, PARTNER, LUBEY & LERNER, CENTRAL CITY NORTH. Mr. Green Stated that Mr. Lerner had called and asked that this item be placed on the Agenda for later on in the afternoon as he was busy in court. Mr. Green said if there was no representative present by the end of the meeting, the item would be continued until May 18, 1978. The board concurred and Mr. Green continued with regular Agenda items. PAYMENT TO R.O. COOLEY FOR APPRAISAL SERVICES-STATE COLLEGE PARK No discussion. The following resolution was adopted: ,., RESOLUTION NO. 3600 ...." RESOLUTION OF THE REDEVELOPMENT AGENCY AUTHORIZING PAYMENT TO R. O. COOLEY FOR APPRAISAL SERVICES OF 277.88 ACRES OF LAND LOCATED IN THE STATE COLLEGE PROJECT AREA. Motion to adopt Resolution No. 3600 by Obershaw and seconded by Heller. Motion carried by the following vote, to wit: Ayes: Green, Guhin, Heller, Blum and Obershaw. Nays: None. Abstention: None. Absent: Hinojosa. Mr. Green acknowleded Mr. Bob Curci and Mr. Sam Catalano representing Central City Mall in the audience. Mr. Green informed them that the board had rejected the contract with Federal Signs. Mr. Curci inquired why and Mr. Green told him that the Agency Board does not feel it is a cost that should be borne by the Agency. Mr. Green also informed Mr. Curci that he was welcome to come back before the board at the next meeting. Mr. Curci stated he would be there in order to request that the board reconsider their action. REIMBURSE CITY WATER DEPT. FOR SERVICE AT LIFETIME FOAM-SEIP. No discussion. The following resolution was adopted: ........ ~ 4578 RESOLUTION NO. 3601 [ RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING PAYMENT TO THE CITY WATER DEPARTMENT IN THE AMOUNT OF $6,453.22 FOR SERVICES IN SOUTHEAST INDUSTRIAL PARK REDEVELOPMENT PROJECT AREA. Motion to adopt Resolution No. 3601 by Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa. The following resolution was adopted: RESOLUTION NO. 3602 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT WITH RIVERSIDE CONSTRUCTION CO. FOR SITE PREPARATION WORK IN THE AMOUNT OF $58,393.50 FOR MONIER CO., SOUTHEAST INDUSTRIAL PARK. r ~, Before the vote was taken Mr. Green stated that he wanted to make a statement and wanted it on the record that he was very unhappy with Riverside Construction Company's work on their contract located at 5th and "F" Streets. He further stated that the only reason he was voting on this contract was because of conversations he had previously with the staff, and was assured Riverside Const. Co. was aware of the Agency's concerns. Mrs. Blum said she had a lot of telephone calls regarding the work at that location. Mr. Shadwell stated that it was a bad situation, but the tenant's sprinkler system created a havoc also and that the tenants had been informed about the problem. The Staff was instructed by Board Chairman and Board Members to bring a status report on Riverside Construction to the May 18th board meeting. Motion to adopt Resolution No. 3602 by Obershaw and seconded by Heller. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa. Mr. Green stated that Councilman John Hobbs, representing the Sixth Ward was in the audience and would like to address the board and did the board have any objections to Councilman Hobbs speaking? The board concurred in the Councilman's request. Council- man Hobbs spoke against the Jarvis Initiative, the Agency's present 5 year tax increment program, the delay in the NW Report and Plan being awarded by contract, and various other problems he felt were lying dormant in the Sixth Ward, primarily the NW Project. The cost of the project, in the total amount of approximately $175,000 was brought up by Chairman Green. The Chairman does not feel it feasible for the Agency to award a $65,000 contract at this time, when there is a distinct possibility that the Project will not become a reality. After further discussion Chairman Green assured Councilman Hobbs ,..., that the committee appointed to review the proposals submitted by Gruen Associates ,Inc. I and Dukes-Dukes & Associates would convene as soon as possible, notifying the Council- J , man thereafter. The committee will request that the Councilman be present. Mr. Green '--, 4579 thanked Councilman Hobbs. OFF-SITE IMPROVEMENTS- WATER DEPT .-(PAN HANDLE AREA) SEIP -, j ....., No discussion. The following resolution was adopted: RESOLUTION NO. 3603 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING CHAIRMAN AND SECRETARY TO ENTER INTO CONTRACT WITH THE SAN BERNARDINO CITY WATER DEPARTMENT FOR SERVICES IN THE PAN HANDLE AREA OF SOUTHEAST INDUSTRIAL PARK FOR AN AMOUNT NOT TO EXCEED $32,400.00. Motion to adopt Resolution No. 3603 by Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa. ACQUISITION OF .60 ACRES OF LAND IN SEIP FROM DARRELL E. F ARWICK AND DOROTHY F ARWICK. Mr. Green referred to the property in question, as shown on display board. The Agency will acquire the property from the Farwicks and then sell the land to proposed developer. With no further discussion, the following resolution was adopted: RESOLUTION NO. 3604 ~ RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING ACQUISITION OF .60 ACRES OF LAND IN THE SOUTHEAST INDUSTRIAL PROJECT FROM DARRELL E. F ARWICK AND DOROTHY F ARWICK FOR A SUM OF $4,650.00. 'WItIiII Motion to adopt Resolution No. 3604 by Blum and seconded by Obershaw. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa. OFFER TO PURCHASE AND SET A PUBLIC HEARING FOR SOUTHERN SIERRAS CHAPTER NATIONAL ELECTRICAL CONTRACTORS ASSOC. , INC., - SEIP. Mr. Green stated that the Offer is for the purchase of 1 acre of land, as shown on the display board, where the Electrical workers wish to build a new facility for their org- anization. Mr. Don Jackson, representative for the Electrical workers addressed the board. Mr. Green then said that he personally feels it would be a prestigious type of facility inasmuch as it is also a Joint Apprenticeship/Journeyman Training School. He further stated that he thought the facility was very much appropriate for the area. Public Hearing set for June 1st, 1978 at 3: 00 p.m. and the following resolution adopted: ..... .....J r' L [ [ 4580 RESOLUTION NO. 3605 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO RECEIVE AN OFFER FROM DON JACKSON, MANAGER, SOUTHERN SIERRAS CHAPTER NATIONAL ELECTRICAL CONTRACTORS ASSOC. , INC. , SOUTHEAST IN- DUSTRIAL PARK. Motion to adopt Resolution No. 3605 by Heller and seconded by Blum. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa. OFFER TO PURCHASE AND SET A PUBLIC HEARING FOR REMIC INDUSTRIES, INC. -SEIP . Mr. Green said that Remic Industries is the proposed developer for the property the Agency just acquired under Resolution No. 3604, acquisition of land from Farwick. There are 2 Offers from Remic, Industries for properties adjacent to one another. The second Offer to Purchase's purchase price has been increased to $7,750 per acre. The Offer under consideration now is for $5,000 per acre. Mr. Obershaw asked if there was any guarantee that the second proposed development will come into fruition and Mr. Green said the Agency will make arrangements, in writing, to take care of the second develop- ment. MrObershaw asked about tax increment and Mr. Green stated approximately $31,000 per year. Public Hearing set for June 1, 3: 00 p . m. and the following resolution adopted: RESOLUTION NO. 3606 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO RECEIVE AN OFFER TO PURCHASE FROM FRANK J . GOODIE, PRESIDENT, REMIC INDUSTRIES, INC., SOUTHEAST INDUSTRIAL PARK. Motion to adopt Resolution No. 3606 by Obershaw and seconded by Blum. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa. Public Hearing set for June I, at 3: 00 p . m. and the following resolution adopted: RESOLUTION NO. 3607 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO RECEIVE AN OFFER TO PURCHASE FROM FRANK J. GOODIE, PRESIDENT, REMIC INDUSTRIES, INC., SOUTHEAST INDUSTRIAL PARK. Motion to adopt Resolution No. 3607, as amended, showing purchase price of $7,750 by Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa. 4581 OFFER TO PURCHASE AND SET A PUBLIC HEARING FOR PROPERTY IN SEIP FROM STANLEY HELFMAN, OR NOMINEE. -, Mr. Green stated that Mr. Glider, representing the buyer was in attendance. Mr. Glider J... addressed the board. Mr. Green suggested the board set the public hearing June 1st, at . 3: 00 p . m. , allowing Agency Staff to obtain necessary information to answer questions posed at the meeting. The following resolution was adopted: RESOLUTION NO. 3608 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO RECEIVE AN OFFER TO PURCHASE FROM STANLEY HELFMAN, OR NOMINEE, SOUTHEAST INDUSTRIAL PARK. Motion to adopt Resolution No. 3608 by Obershaw and seconded by Heller. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa. Recording machinery changed at 4: 15 p.m. APPROVE CERTAIN DEVELOPMENTS WITHIN SEIP BY HUNTLEY PROPERTIES. Mr. Green informed the Board that the Agency had entered into Disposition Agreements with Huntley Properties whereby said Agreements state that Huntley Properties come ., back before the board for approval and acceptnace of their proposed development. Mr. Green then referred to the Global Moving development which is comprised of 17,000 sq. ft. ....., Mrs. Blum stated she felt it a good piece of property and made a motion to accept the development. Mr. Green asked Mrs. Blum to withdraw her motion inasmuch as the Board must approve and accept three separate developments. Mrs. Blum withdrew her motion. Mr. Green referred to the next facility comprised of 100,000 sq. ft, which will be a "spec" development and the last development comprised of 40,000 sq. ft. Mr. Glider. representing Huntley Properties, informed the board that of the 100,00 sq. ft. of "spec" building, approximately 60,000 sq. ft. has been tentatively leased by an unnamed firm from Orange County. Huntley Properties expects the building to be leased before con- struction is completed. Discussion followed regarding the type of industries currently lo- cating the Southeast Industrial Park. Mr. Green cautioned the board that it is unrealistic to think that all industries locating in the area will be manufacturing and that the area is ideal for warehousing and distributing also. The following resoltuion then adopted: RESOLUTION NO. 3609 RESOLUTION OF THE REDEVELOPMENT AGENCY AUTHORIZING HUNTLEY PROPERTIES TO PROCEED WITH DEVELOPMENTS LOCATED WITHIN THE SOUTHEAST INDUSTRIAL PARK, KNOWN AS GLOBAL MOVING & STORAGE, INLAND EMPIRE MEAT COMPANY AND TERRAZAS PROJECT. AIIIIIlllt Motion to adopt Resolution No. 3609 by Blum and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Guhin and Green. Nays: None. Abstention: Heller. Absent: Hinojosa I 1\ ....J [ [ r ~ 4582 OFFER TO PURCHASE AND SET A PUBLIC HEARING FOR PROPERTY IN SEIP FROM STANLEY HELFMAN, OR NOMINEE. Mr. Green stated that Mr. Glider, representing the buyer was in attendance. Mr. Glider addressed the board. Mr. Green suggested the board set the public hearing June 1st, at 3: 00 p . m. , allowing Agency Staff to obtain necessary information to answer questions posed at the meeting. The following resolution was adopted: RESOLUTION NO. 3608 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO RECEIVE AN OFFER TO PURCHASE FROM STANLEY HELFMAN, OR NOMINEE, SOUTHEAST INDUSTRIAL PARK. Motion to adopt Resolution No. 3608 by Obershaw and seconded by Heller. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa. Recording machinery changed at 4: 15 p.m. APPROVE CERTAIN DEVELOPMENTS WITHIN SEIP BY HUNTLEY PROPERTIES. Mr. Green informed the Board that the Agency had entered into Disposition Agreements with Huntley Properties whereby said Agreements state that Huntley Properties come back before the board for approval and acceptnace of their proposed development. Mr. Green then referred to the Global Moving development which is comprised of 17,000 sq. ft. Mrs. Blum stated she felt it a good piece of property and made a motion to accept the development. Mr. Green asked Mrs. Blum to withdraw her motion inasmuch as the Board must approve and accept three separate developments. Mrs. Blum withdrew her motion. Mr. Green referred to the next facility comprised of 100,000 sq. ft, which will be a "spec" development and the last development comprised of 40,000 sq. ft. Mr. Glider, representing Huntley Properties, informed the board that of the 100,00 sq. ft. of "spec" building, approximately 60,000 sq. ft. has been tentatively leased by an unnamed firm from Orange County. Huntley Properties expects the building to be leased before con- struction is completed. Discussion followed regarding the type of industries currently lo- cating the Southeast Industrial Park. Mr. Green cautioned the board that it is unrealistic to think that all industries locating in the area will be manufacturing and that the area is ideal for warehousing and distributing also. The following resoltuion then adopted: RESOLUTION NO. 3609 RESOLUTION OF THE REDEVELOPMENT AGENCY AUTHORIZING HUNTLEY PROPERTIES TO PROCEED WITH DEVELOPMENTS LOCATED WITHIN THE SOUTHEAST INDUSTRIAL PARK, KNOWN AS GLOBAL MOVING & STORAGE, INLAND EMPIRE MEAT COMPANY AND TERRAZAS PROJECT. Motion to adopt Resolution No. 3609 by Blum and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Guhin and Green. Nays: None. Abstention: Heller. Absent: Hinojosa 4583 AMENDMENT TO OPTION AGREEMENT FOR PROPERTY IN STATE COLLEGE PARK Mr. Green stated the Agency had previously approved an Option Agreement for aCqUiSitiOn" of properties in State College Park. Because of the Agency's financial position at this J time, the Staff and himself have attempted to negotiate purchase of the property with the owners for a less sum and taking a promissory note for the balance. The owners will allow 81 acres to be purchased, 60 acres of which would be to take care of the Hall- mark Development. The terms call for a $100,000 down payment and taking back a note in the amount of $257,745. This proposed Amendment spells out the amending changes in the original Option Agreement. After discussion the following resolution was adopted: RESOLUTION NO. 3610 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO AMENDMENT TO OPTION AGREEMENT DATED FEBRUARY 22, 1978, STATE COLLEGE PARK. Motion to adopt Resolution No. 3610 by Blum and seconded by Obershaw. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa. Mr. Obershaw leaves meeting at 4: 33 p.m. ,., Mr. Green acknowledges presence of Mr. Becker who is now in attendance with reference ~ to continued Agenda item earlier in the meeting. ..."tI OFFER TO PURCHASE FROM LUBY & LERNER, CENTRAL CITY NORTH. Mr. Green refers to the Offer to Purchase wherein proposed developer are offering $3.42 per sq. ft. totaling $35,600 for the property. Mr. Green asked if any new employ- ees will be hired and is informed that there may be some clerical help added to the new office complex. Mr. Green inquired when construction would start and was informed 12 months after Agency approval. Mrs. Blum asked what the tax increment would be and was told approximately $8,000 per year. Mr. Green stated he does not feel this development is the best use for the property and the Agency should not have to provide any assistance, nor does he like the land write down. After discussion, motion to continue the item until May 18, 1978 at 3: 00 p.m. , made by Blum and seconded by Guhin. Mr. Heller advised that the Staff contact the developers involved to see if they can offer the Agency a better price and/or deal for the property. Motion carried by the following vote, to wit: Ayes: Heller, Blum and Guhin. Nays: Green. Abstention: None. Absent: Hinojosa and Obershaw . Motion to adjourn to May 18, 1978 at 3: 00 p.m. , by Guhin and seconded by Blum. Motion carried unanimously. Abstention: None. Absent: Hinojosa and Obershaw. ..., I 1! ! ....J r I '- [ r L- 4584 MINUTES OF JOINT SPECIAL MEETING OF THE REDEVELOPMENT AGENCY AND THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO, CALIFORNIA HELD MAY 15,1978 AT 4: 00 P.M., 300 NORTH "D" STREET, SAN BERNARDINO, CALIFORNIA. PRESENT: Agency Board Members: Blum, Obershaw, Hinojosa, Heller and Green. ABSENT: Guhin. OTHERS ATTENDING: R. E. Shadwell, Jr., Executive Director, Wm. A. Flory, Agency Counsel and Barbara Brown, Executive Secretary. PRESENT: Councilmen: Lackner, Hobbs, Katona, Castaneda and Wheeler. ABSENT: Hudson. OTHERS ATTENDING: Mayor Holcomb, City Attorney, City Administrator and Deputy City Clerk. Chairman Green opened the Joint Special Meeting at 4: 15 p.m. with the statement that all present were, unfortunately back for the meeting, because the approved Lease and Op- erating Agreement between the Agency and Hugh McKay & Associates had not been exe- cuted. The documents had not been executed because the terms and conditions as set forth in the Lease and Operating Agreement were not adherred to. Mr. Guhin arrived at 4: 16 p.m. Chairman Green further stated that Mr. McKay has only a Letter of Commitment which he and Agency Staff do not feel meets the terms of the Lease Agreement. The Agency would like some guidance from the Mayor and Council as to how they wish to proceed regarding the Agreement. Also, Mr. Green stated he has what he calls a "fall-back" proposal from Mr. and Mrs. Hodgdon, but at the present time, what is the Council's desire regarding Mr. McKay. Mr. McKay addressed both bodies and the audience by stating that he still felt he could meet the terms and conditions of his agreement, but that his lender will not commit them- selves until they see a set of plans and specifications. Councilman Gerwig asked if there was any legal position the Agency and/or Council had with Mr. McKay and was informed no. Councilman Katona asked if there were any legal remedies regarding the unexecuted Agreement and was informed no. Bonding was discussed. Mr. Green said that the Agency's Financial Consultants have in- formed the Agency they cannot bond the "fall-back" proposal now. Mr. Green suggested that the Council accept the alternate proposal at this time, subject to bonds being sold at a later time. Councilman Katona stated he felt the proposal should be postponed until after the June 6th election. Mr. Green stated that the Agency will proceed with the bonding necessary to do the Hallmark Development in the State College Park. The Sale will be held May 25th, 1978. Councilmen Katona, Castaneda and Hobbs expressed their displeasure with the necessity for this meeting and stated they were not in favor of voting for any new golf course prop- osal at this time. . 4585 Councilman Lackner spoke in favor of the proposal. He felt it had a lot of merit and would be immensely good for the area. He too, feels the sequence of events leading up to the meeting were unfortunate, however, he still feels the proposal a good one for the City. ., , ...." Councilman Wheeler spoke in support of Councilman Lackner's statements. Councilman Wheeler requested that Mr. Hodgdon address the audience, Council and Agency Board Members. Warner Hodgdon addressed both bodies and persons in the audience. Mr. Hodgdon read aloud a letter he wrote to Ralph Shadwell, Executive Director of the Redevelopment Agency. He stated that his current proposal is basically the same as his previous one submitted to all persons involved. He must, however, honor his commitment to Campus Crusade for Christ by donating the building to their organization, thus he will not be paying the taxes to the Agency as originally planned. He then referred to the cash flow differential between his proposal and the one submitted by McKay & Associates, Inc. Mr. Hodgdon then requested that the Council allow the Agency Staff, their Consultants and he and his wife the chance to prove their proposal can work. He pledged to do the very best he could to make the golf course something that the city would be proud of and also pledged his own personal word to do everything he could to make the pro- ject feasible. Councilman Wheeler again spoke in favor of the Hodgdon proposal. Councilman Wheeler further stated that while he could not speak for Councilman Hudson, he felt sure that if Councilman Hudson were in attendance, he would be in full support of the project. ~ Mrs. Blum stated that she did not think that time would allow any future delays because ...." of the bonding and that the proposal should be adopted. Mr. Green advised the Agency Board that they must act upon the proposal by adopting a resolution. Mr. Green spoke favorably about Mr. Hodgdon, both as an individual and a businessman, and stated his approval of the proposal. The following resolution was then adopted: RESOLUTION NO. 3611 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA RESCINDING RESOLUTION NO. 3589 ADOPTED MAY I, 1978, AND AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO A LEASE AND OPERATING AGREEMENT FOR A PUBLIC GOLF COURSE WITHIN THE STATE COLLEGE PROJECT AREA. Motion to adopt Resolution No. 3611 by Obershaw and seconded by Blum. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Hinojosa, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: None. Mr. Heller made a motion to enter into the Lease and Operating Agreement, seconded by Guhin. After discussion Mr. Heller withdrew his motion and Mr. Guhin withdrew his second. Motion to withdraw unanimously carried. .., i I I Motion to adjourn the Special Meeting to Thursday, May 18,1978 at 2: 00 p.m., in the seconded by Obershaw and unanimously carried. .......J ".- .. r-' I '--, ,.... ,; i: \.., 4565 SPECIAL MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA TO BE HELD MAY 18,1978 AT 2.00 P.M., IN THE COUNCIL CHAMBERS OF CITY HALL, 300 NORTH "D" STREET, SAN BERNARDINO CANCELLED BECAUSE OF A LACK OF QUORUM. ~. R. E. Shadwell, Jr. Executive Director .., 1 ....., ,., .""J ..... I I .....J 4586 r- i ...' MINUTES OF THE REGULAR MEETING OF THE REDEVELOPMENT . AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA HELD MAY 18,1978 AT 3: 00 P.M., 300 NORTH "D" STREET, SAN BERNARDINO, CALIFORNIA. Roll Call Showed the Following: Agency Members Present: Blum, Obershaw, Heller and Green. Agency Members Absent: Guhin and Hinojosa. Others Present: R. E. Shadwell, Jr., Executive Director, Wm. A. Flory, Agency Counsel and Barbara Brown, Executive Secretary. Chairman Green called the meeting to order at 3: 07 p.m. APPROV AL OF MINUTES: The Minutes of May 1, 1978 were submitted for approval. Motion for approval by Obershaw and seconded by Blum. Motion unanimously carried. Abstention: None. Absent: Guhin and Hinojosa. The Minutes of May 4, 1978 were submitted for approval. Motion for approval by Obershaw and seconded by Heller. Motion unanimously carried. Abstention: None. Absent: Guhin and Hinojosa. [ APPROV AL OF EXPENDITURES: The Expenditures for the month of April, 1978 were submitted for approval. Motion for approval by Heller and seconded by Blum. Motion unanimously carried. Abstention: None. Absent: Guhin and Hinojosa. RESOLUTION RESCINDING RESOLUTION NOS. 3595 and 3596, STATE COLLEGE PROJECT. No discussion and the following resolution adopted: RESOLUTION NO. 3612 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO RESCINDING RESOLUTION NO. 3595 AND RESOLUTION NO. 3596 ADOPTED MAY 4, 1978, STATE COLLEGE PROJECT. Motion to adopt Resolution No. 3612 by Obershaw and seconded by Heller. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller and Green. Nays: None. Abstention: None. Absent: Guhin and Green. RESOLUTION PROVIDING SALE OF $2,500,000 TAX ALLOCATION BONDS, ISSUE OF 1978, SERIES, B , STATE COLLEGE PROJECT. r r No discussion and the following resolution adopted: --, 4587 RESOLUTION NO. 3613 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, PROVIDING FOR THE SALE OF $2,500,000 PRINCIPAL AMOUNT OF TAX ALLOCATION BONDS, ISSUE OF 1978, SERIES B, STATE COLLEGE PROJECT. l Ii .....,; Motion to adopt Resolution No. 3613 by Blum and seconded by Obershaw. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller and Green. Nays: None. Abstention: None. Absent: Guhin and Hinojosa. RESOLUTION PROVIDING FOR SALE OF $3,500,000 TAX ALLOCATION BONDS, ISSUE OF 1978, SERIES C, STATE COLLEGE PROJECT. No discussion and the following resolution adopted: RESOLUTION NO. 3614 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, PROVIDING FOR THE SALE OF $3,500,000 PRINCIPAL AMOUNT OF TAX ALLOCATION BONDS, ISSUE OF 1978, SERIES C, STATE COLLEGE PROJECT. Motion to adopt Resolution No. 3614 by Obershaw and seconded by Heller. Motion carried ..., by the following vote, to wit: Ayes: Blum, Obershaw, Heller and Green. Nays: None." Abstention: None. Absent: Guhin and Hinojosa. ...... RESOLUTION REGARDING MODIFICATION OF DOCUMENTS RELATING TO GOLF COURSE, STATE COLLEGE PROJECT. No discussion and the following resolution adopted: RESOLUTION NO. 3615 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, CALIFORNIA, REGARDING MODIFICATION OF DOCUMENTS, STATE COLLEGE PROJECT AREA, RELATING TO GOLF COURSE DEVELOPMENT. Motion to adopt Resolution No. 3615 by Obershaw and seconded by Heller. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller and Green. Nays: None. Abstention: None. Absent: Guhin and Hinojosa. CONTRACT WITH FEDERAL SIGNS FOR MAINTENANCE-CENTRAL CITY PROJECT Mr. Green requested the item be tabled, per the request of Central City Company until June 1,1978. Motion by Heller and seconded by Blum to table the item until June 1,1978.,., Motion carried unanimously. Abstention: None. Absent: Guhin and Hinojosa. J [ [ r '-- 4588 RESOLUTION RECEIVING OFFER TO PURCHASE FROM LUBEY & LERNER AND SET PUBLIC HEARING, CENTRAL CITY NORTH Mr. Green said he had met with Stephen Becker, representing Lubey & Lerner and it is his recommendation that the Board go ahead and receive the Offer to Purchase and set the Public Hearings. Then, any concerns the board may have can be aired at the Public Hearing which is the specified time and place for such concerns to be heard. Discussion revealed that other Offers may be received for the property. If the Agency does receive any Offers for the property, Lubey & Lerner will be advised accordingly. Mr. Guhin arrived at 3:20 p.m. With no further discussion the following resolution was adopted: RESOLUTION NO. 3616 RESOLUTION OF THE REDEVELOPMENT AGENCY AUTHORIZING CHAIRMAN AND SECRETARY TO RECEIVE OFFER TO PURCHASE FROM LAURENCE R. LERNER, Partner, LUBEY & LERNER, FOR PROPERTY LOCATED AT 438 and 448 NORTH ARROWHEAD, CENTRAL CITY NORTH AND SET A PUBLIC HEARING. Motion made to adopt Resolution No. 3616 and set the Public Hearing for June 1,1978 at 3: 00 p.m. by Blum and seconded by Heller. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa. No discussion and the following resolution adopted: RESOLUTION NO. 3617 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING PAYMENT TO THE CITY WATER DEPARTMENT IN THE AMOUNT OF $10,884.30 FOR SERVICES IN SOUTHEAST INDUSTRIAL P ARK REDEVELOPMENT PROJECT AREA. Motion to adopt Resolution No. 3617 by Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa. RESOLUTION RECEIVING OFFER TO PURCHASE FROM COMMUNITY CONSULTANTS CORPORATION BY RUSS E. HATLE AND SET A PUBLIC HEARING FOR JUNE 1, 1978 AT 3: 00 p.m. Mrs. Blum asked what the development would be and was infomred a warehouse and distribution center. Mr. Heller stated that he feels developers should be willing to 4589 pay more for the land, and that he intended to speak on the matter at the Public Hearing. The following resolution then adopted: RESOLUTION NO. 3618 l .....J RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO RECEIVE AN OFFER TO PURCHASE FROM COMMUNITY CONSULTANTS BY RUSS E. HATLE AND SET A PUBLIC HEARING FOR JUNE I, 1978 AT 3:00 P.M., SOUTHEAST INDUSTRIAL PARK. Motion to adopt Resolution No. 3618 by Heller and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa. RESOLUTION AUTHORIZING OPTION AGREEMENT WITH SAN BERNARDINO WESTSIDE COMMUNITY DEVELOPMENT (CDC) , STATE COLLEGE INDUSTRIAL PARK. Mr. Green stated this Option will allow CDC time to secure the necessary financing for their project. He further stated that the project is a good one, good for the City and that CDC has worked very hard on their development. Mr. Heller asked if the Option contained any conditions and was informed only that that CDC pay the Agency $5.00 deposit. Mr. Ray Glider, from the audience, spoke stating that he feels this is a fine development. The following resolution then adopted: ~ RESOLUTION NO. 3619 ...J RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AUTHORIZING THE CHAIRMAN AND SECRETARY TO ENTER INTO OPTION AGREEMENT WITH THE SAN BERNARDINO WESTSIDE COMMUNITY DEVELOPMENT CORPORATION, STATE COLLEGE INDUSTRIAL PARK. Motion to adopt Resolution No. 3619 by Heller and seconded by Blum. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa. RESOLUTION APPROVING CHANGE ORDER NO.1 FOR 75 DAY TIME EXTENSION FOR RIVERSIDE CONSTRUCTION CO., (MCLACHLAN PROPERTY) CENTRAL CITY NORTH. No discussion and the following resolution adopted: RESOLUTION NO. 3620 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BER- NARDINO AUTHORIZING CHAIRMAN AND SECRETARY TO ENTER INTO CHANGE ] ORDER NO.1 FOR TIME EXTENSION OF 75 DAYS TO RIVERSIDE CONSTRUCTION . CO. OFF-SITE IMPROVEMENTS. (MC LACHLAN PROPERTY) CENTRAL CITY NORT i [ c r t ....., 4590 Motion to adopt Resolution No. 3620 by Obershaw and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa. RESOLUTION APPROVING AMENDMENT TO CONTRACT FOR SALE BETWEEN AGENCY AND HALLMARK DEVELOPMENT, STATE COLLEGE PROJECT. Mr. Bill Leonard, from the audience, asked if this Amendment would affect the Agency's schedule for improvements and was informed by Mr. Green that it would not. The Agency shall proceed immediately with the development after the Bond Sale. The following res- olution adopted: RESOLUTION NO. 3621 RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AMENDING CONTRACT FOR SALE BETWEEN THE AGENCY AND HALLMARK-SOUTHWEST CORPORATION, AND/OR CHARLES R. BRAMMER OR HIS NOMINEE, STATE COLLEGE PROJECT AREA. Motion to adopt Resolution No. 3621 by Blum and seconded by Guhin. Motion carried by the following vote, to wit: Ayes: Blum, Obershaw, Heller, Guhin and Green. Nays: None. Abstention: None. Absent: Hinojosa. OTHER BUSINESS: Mr. Green informed the board that as of this day, the Agency had received final commit- ment from HUD regarding the Alexander/Weissman Senior Citizen Housing Project in Central City North. The board expressed their pleasure at the news. Mrs. Blum asked about the hotel development and Mr. Green said as of May 15th, the Study for theproject was to go to the lenders. It would then probably be another two weeks before the Agency has the financial commitment. Mr. Heller asked if there would be an audit before the Council takeover and was informed yes, that there will be one as of June 30, 1978. The board will approve a new contract with a local accounting firm. Mr. Green informed the board that the Agency must have a Special Meeting on May 25, 1978 at 3: 00 p.m. because of the State College Project Bond Sale. Motion to ad- journ to May 25,1978 at 3:00 p.m. by Obershaw and seconded by Guhin. Motion unanimously carried. Abstention: None. Absent: Hinojosa. y 11II'11' ~ 1\ ....., ]