HomeMy WebLinkAbout02- Coomunity Development MAYOR AND COMMON COUNCIL
COMMUNITY DEVELOPMENT COMMISSION
AND THE JOINT POWERS FINANCING AUTHORITY
OF THE CITY OF SAN BERNARDINO
MINUTES
JOINT REGULAR MEETING
December 20, 1993
11:00 a.m.
The Joint Regular Meeting of the Mayor and Common Council, the Community Development
Commission and the Joint Powers Financing Authority was called to order by Mayor Tom Minor at
approximately 4:20 pm., on Monday, December 20, 1993, in the Council Chambers, City Hall, 300
North "D" Street, San Bernardino, California.
ROLL CALL
Roll call was taken with the following members present: Chairman Tom Minor; Commission
Members Edward Negrete; Dr. F. J. Curlin; Ralph Hernandez; David Oberhelman; Jerry Devlin;
Valerie Pope-Ludlam. Absent: Commission Member Norine Miller.
STAFF PRESENT
Timothy C. Steinhaus, Administrator, Economic Development Agency; Kenneth J. Henderson,
Executive Director, Development Department; James Penman, City Attorney; Shauna Clark, City
Administrator; Lorraine Velarde, Executive Assistant to the Mayor; Rachel Clark, City Clerk;
Suzanna Cordova, Deputy City Clerk; La Vonda M-Pearson, Recording Secretary, Development
Department.
OTHERS IN ATTENDANCE
None.
PUBLIC COMMENTS NOT ON THE AGENDA
COMMISSION MEMBER MILLER ARRIVED AT 4:25 P.M.
Albert Martinez, P. O. Box 1622, San Bernardino, CA 92401, commented on discussions
taking place within the community regarding various council members.
COMMISSION MEMBER HERNANDEZ WAS EXCUSED AT 4:27 P.M.
COMMISSION MEMBER "F,RNANt)I;Z RETURNED AT 4:28 P.Nr.
Jeff Wright, P. O. Box 2341. Sm Bcmarditio. C.A, coinrrnented on complains �e a��,lin the
diagonal parking on "E" Street.
----------------
CONSENT CALENDAR
JOINT REGULAR MEETING COMMISSION MINUTES
KJH:1mp:cm1n12J2 - 1 - DECEMBER 20, 1993
The Commission Members requested that items numbered "5", "6", "T', "9", "10", "11" and
"12", be removed from the Consent Calendar.
Commission Member Oberhelman made a motion, seconded by Commission Member Negrete,
that the Consent Calendar items numbered "1" through "12" be adopted except for items numbered
"6", "T', "9", "10", "11" and "12", respectively.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent:
None.
1. JOINT POWERS FINANCING AUTHORITY
(Community Development Commission)
Commission Member Oberhelman made a motion, seconded by Commission Member Negrete,
that the Regular Meeting of the Joint Powers Financing Authority be continued to Monday, January
24, 1993.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent:
None.
2. COMMUNITY DEVELOPMENT )MMISSION MIN 1T S
(Community Development Commission)
Commission Member Oberhelman made a motion, seconded by Commission Member Negrete,
that the minutes of the Community Development Commission of the City of San Bernardino for the
meetings of November 15, 1993 and December 6, 1993 be approved as submitted in typewritten
form.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent:
None.
3. REDEVELOPMENT COMMITTEE MINUTES
(Community Development Commission)
Commission Member Obencchu-m prude a motion. seconded bV Coll)III ission 1AV1 tx', r t� retc,
that the minutes of the Redevelopment Committee of the Citv ol' Saur Bernardino for the im:,:iiiw ol-
November 18. 1993 be received and filed.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent:
None.
JOINT REGULAR MEETING COMMISSION MINUTES
KJH:Imp:cm1n12J2 - 2 - DECEMBER 20, 1993
Public Works Department
4. AGREEMENT FOR ENGINEERING DESIGN S RVI S FOR MT VERNON
AVENUE STORM DRAIN
(Mayor and Common Council)
Councilman Oberhelman made a motion, seconded by Councilman Negrete, that the following
resolution be approved and adopted:
RESOLUTION NUMBER 3-464
RESOLUTION OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION
OF AN AGREEMENT WITH BSI CONSULTANTS, INC., RELATING TO THE
PROVISION OF PROFESSIONAL ENGINEERING DESIGN SERVICES FOR THE MT.
VERNON AVENUE STORM DRAIN
The motion carried by the following vote: Ayes: Council Members Negrete; Curlin;
Hernandez; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent:
None.
Development Depar m n
8. OFFICE LEASE - 201 NORTH "E" STREET
(Community Development Commission)
Commission Member Oberhelman made a motion, seconded by Commission Member Negrete,
to authorize the Executive Director to draft and execute a lease and all other necessary documents
with the California Southern Small Business Development Corporation for the utilization of
approximately 800 square feet of office space on the second floor of the 201 Building.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent:
None.
5. INVESTMENT POLICY
(Community Development Commission)
Jeff Wright. P. O. Box 2341, Svc Bemardino. CA. expressed concem recardins, the :,hpro�al
of this policy.
Commission Member Pope-Ludimi made a motion. seconded by Commission Member
Hemandez, to approve and adopt the Dcvelopnient I_iepartment's Annual Statf:nieni of lnvesUncnt
Policy for the year 1994.
JOINT REGULAR MEETING COMMISSION MINUTES
KJH:1wp:cm1n12J2 - 3 - DECEMBER 20, 1993
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent:
None.
6. AWARD OF BID - 4TH & "E" PARKING LOTS
(Major and Common Council)
Timothy C. Steinhaus, Administrator, Economic Development Agency, discussed prior actions
to the lots in question and stated that the cost for the improvements would be $194,000. He explained
that nominal lighting and landscaping would be required per the planning department.
Councilman Oberhelman made a motion, seconded by Councilman Devlin, that the following
resolution be approved and adopted:
RESOLUTION NUMBER 93465
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN
BERNARDINO, CALIFORNIA, MAKING FINDINGS AND DETERMINATIONS AS TO
THE BENEFIT OF CERTAIN IMPROVEMENTS FOR THE STATE COLLEGE
REDEVELOPMENT PROJECT AREA.
The motion carried by the following vote: Ayes: Council Members Negrete; Curlin;
Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: Councilman Hernandez. Absent:
None.
(Community Development Commission)
Commission Member Oberhelman made a motion, seconded by Commission Member Devlin,
that the following resolution be approved and adopted:
RESOLUTION NUMBER 5387
RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY
OF SAN BERNARDINO, CALIFORNIA, MAKING FINDINGS AND DETERMINATIONS
AS TO THE BENEFIT OF CERTAIN PUBLIC IMPROVEMENTS FOR THE STATE
COLLEGE REDEVELOPMENT PROJECT AREA.
Commission Member Oberhelman made a motion, seconded by Commission Member Devlin,
to award a bid in an amount of$153,885 to Eastland Construction of San Bernardino for the
construction of parking lot improvements on the northwest and northeast comers of 4th and "E"
Streets, authorize $40,115 for engineering :uid inspection services and continlenc_•. and 1110;vte hoed
proceeds in an amount not to exceed $19-1.000 for the foregoing.
The motion carried by the hollowing vote: Ayes: Conindssion Nleniheis Neeicte; C'�n9in:
Oberhelman; Devlin; Pope-Ludknn: Miller. 1',Jocs: None. Abstain: Conuiiksion NI(:mhcr Flcrn:oidez.
Absent: None.
JOINT REGULAR MEETING COMMISSION MINUTES
KJH:1mp:cm1n12J2 - 4 - DECEMBER 20, 1993
7. COURT STREET SQUARE PARKING LOT AND GREAT WESTERN WA
(Community Development Commission)
Kenneth J. Henderson, Executive Director, Development Department, explained that the cost
for this item includes the construction of a stairway and demolition of the wall. He also stated that
the Agency would need to comply with all City codes when completing this project.
Commission Member Curlin questioned the availability of the lot for various activities during
the construction process.
Mr. Henderson stated the west portion of the lot would remain available for alternate uses.
Commission Member Hernandez asked if this project was part of the budget process.
Mr. Henderson indicated that this project was not included in the budget. He explained that
there was approximately $1 million of bond proceeds from the South Valle Project Area that was
available.
Timothy C. Steinhaus, Administrator, Economic Development Agency, reminded the
Commission that the joint financing between the Agency and the City for the building of the police
station released some of the bond proceeds for other use. He clarified that this item was only a
request to solicit bids.
Commission Member Hernandez recommended this item be referred to the Redevelopment
Committee.
Mr. Steinhaus stated that this item had been previously discussed at both the Commission and
Redevelopment Committee meetings.
Discussion ensued regarding priorities set by the Commission during the budget hearings and
also the location of the proposed Performing Arts Center.
Commission Member Hernandez questioned the possibility of a restaurant locating to this site.
Mr. Steinhaus indicated that there was only an expressed interest from a restaurant to locate to
the downtown area. He stated that nothing was certain.
Chairman Minor discussed the possibility of locating a Performing Arts Center in San
Bernardino.
Commission Member Pope-Ludlam made a motion, seconded by Commission Member
Oberhelman, to authorize the Executive Director to advertise for bids for the construction of Cmw
Street Parking lot. initiate negotiations xvith prohcrty owners c011ce171ing the demcftition of flit (_;T(:,11
Western Wall and construction of a stainvav, with the understanding that funds have not beeil
allocated.
COMMISSION MEMBER POPE-LUDLAM WAS EXCUSED AT 5:04 P.M.
COMMISSION MEMBER POPE-LUDLAM RETURNED AT 5:05 P.M.
.JOINT REGULAR MEETING COMMISSION MINUTES
KJH:imp:cm1nl2J2 - 5 - DECEMBER 20, 1993
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent:
None.
9. WEST SIDE PLAZA DAY CARE PROJECT
(Community Development Commission)
Commission Member Hernandez made a motion, seconded by Commission Member Negrete,
to approve the West Side Plaza Day Care Project and authorize the Executive Director to develop and
execute a lease agreement between the City of San Bernardino Redevelopment Agency and New
Frontier Commercial Properties in order to provide 3,400 square feet of outside play area in
connection with the development of a day care facility.
Kenneth J. Henderson, Executive Director, Development Department, explained that approval
of this item would not impose a cost on the Agency.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent:
None.
10. ARROWVI W PLAZA T - REFINANCING REQUEST
(Community Development Commission)
Commission Member Hernandez made a motion, seconded by Commission Member Negrete,
to approve and authorize the Executive Director to draft and execute documents to implement, a
restructuring of the Agency's interim construction loan of$900,000 to Arrowview Plaza, Ltd., subject
to Chino Valley Bank approval, which, after repayment to the Agency of$400,000 will result in a
medium tens loan of$500,000 on temis as described in the attached staff report.
Commission Member Oberhelman expressed concern regarding the current indebtness of
Arrowview Plaza Ltd. He questioned the need for the restructuring of the loan as well as the fiuns
credibility.
Kenneth J. Henderson, Executive Director, Development Department, answered questions
relative to Commission Member Oberhelmans' concems.
Michael Geber, Arrowview Plaza Ltd., briefed the Commission on the reasoning for the
request presented and answered relative questions.
Mr. Henderson stated that the lout louarautee for this item turned into it loan in lit, said
that the Agency's involvement with this project would terminate itt five (5) years of when the huilding
was sold or refinanced, whichever occurs first.
JOINT REGULAR MEETING COMMISSION MINUTES
KJH:Imp:cm1n12J2 - 6 - DECEMBER 20, 1993
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Pope-Ludlam; Miller. Noes: Commission Member Oberhelman; Devlin. Abstain: None.
Absent: None.
11. INLAND BEVERAGE - EXTENSION REQUEST
(Community Development Commission)
Commission Member Hernandez made a motion, seconded by Commission Member Pope-
Ludlam, to approve, and that the Executive Director be authorized to draft and execute a six month
extension of the Loan Agreement with Inland Beverage, Inc., subject to Chino Valley Bank approval,
in the principal amount of$750,000 and on terns described in the attached staff report, together with
such other documents as are required to carry out the terms of the Loan Agreement and its extension.
Kenneth J. Henderson, Executive Director, Development Department, stated that the Agency
was confident it would receive full payment from this loan between May and June of 1994. He
explained that Inland Beverage had always been current on its obligations to the Agency.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent:
None.
12. MOBILE HOME PARK CONVERSION FEASIBILITY STUDY
(_Community Development Commission)
Commission Member Hernandez discussed the need to include a provision in the program for
new mobilehome parks.
Mike Silverman, De Anza/London Group, stated that the DeAnza/London Group was fowled
to conduct the feasibility study. He spoke on the issue of building a new park in the City but
indicated that the DeAnza/London Group would not be involved.
COMMISSION MEMBER OBERHELMAN WAS EXCUSED AT 5:28 P.M.
COMMISSION MEMBER OBERHELMAN RETURNED AT 5:29 P.M.
Commission Member Hernandez explained that new parks should be built to accommodate
triple-wide trailers who wish to participate in the conversion process. He stated that those trailers
were limited to certain parks due to size.
COMMISSION MEMBER POPE-T.AIDL Ah1 WAS ENCUSFr) AT 5:?f) r.Nr.
COMMISSION MEMBER 1'QI'F-t,t_i1)LAN1 RETt!RNEp AT S:l U.M.
Kenneth J. Henderson. Executive Director. Development Department. indicated that the
building of new parks would be considcted 1111mi-limit the conversion ptogrun.
JOINT REGULAR MEETING COMMISSION MINUTES
KJH:lmp:cm1n12J2 - 7 - DECEMBER 20, 1993
Brooks London, De Anza/London Group, explained the process used to detenn ine the starting
point for the conversion program. He stated that the DeAnza/London Group would bring back a list
of groups for the start of the conversion process in approximately 90 days.
Commission Member Hernandez made a motion, seconded by Commission Member
Oberhelman, that the following motions be approved and adopted:
MOTION A: That the Community Development Commission authorize Phase II of the
existing Consultant Agreement with the De Anza/London Group pertaining to
the development and implementation of a Mobile Home Park Conversion
Program and authorize the Chainnan and Executive Director to execute any
documents necessary to effectuate said transaction.
MOTION B: That the Community Development Commission authorize De Anza/London
Group to undertake all activities appropriate and necessary for the formal
development of a Mobile Home Park Conversion Program for all Phase I
category Mobile Home Parks.
MOTION C: That the Community Development Commission authorize De Anza/London to
undertake all activities necessary and appropriate for the formal development
of a mobile home park infrastructure and on-site Mobile Home Rehabilitation
Program.
MOTION D: That the Community Development Commission authorize De Anza/London
Group to undertake all activities necessary and appropriate for the formal
development of a Mobile Home Park Site Re-use and Resident Relocation
Program.
Mel Porter, Citizen, asked the Commission to support staffs recommendation and to also
consider building new parks within the City.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent:
None.
END OF CONSENT CALENDAR
13. CIVIL ENGINEERING SERVICES - STATE CONSOLIDATED OFFICES &
CALTRANS BUILDING
(Community Development Commission)
Commission Member Oberhelrnan made a motion, seconded by Commission k1cmher Miller,
to authorize the Executive Director to draft and execute a contract with Ujdxvio ;rrr
<anount not to exceed $120,000 for civil engineering services for tthe design of the Si:iie t_'otr•Olidated
Offices and Caltrans Building on the Oovcmmcnt Center site. that the Agency's FY 9?/94 adopted
budget be increased by $120.000 101 Such services awl. frillier, that the Executive Director be
authorized to execute such other documents as sue required to carry out the terms of said contract.
JOINT REGULAR MEETING COMMISSION MINUTES
KJH:1mp:cminl2J2 - 8 - DECEMBER 20, 1993
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent:
None.
14. PREC'ONSTRUCTION COST ESTIMATION SERVICES - STATE CONSOLIDATED
OFFICES AND CALTRANS BUILDING
(Community Development Commission)
Commission Member Miller made a motion, seconded by Commission Member Negrete, to
authorize the Executive Director to draft and execute a contract with Swinerton & Walberg in an
amount not to exceed $70,000 for preconstruction cost estimation and value engineering services for
the design of the State Consolidated Offices and Caltrans Building on the Government Center site;
further, that the Agency's adopted budget be increased by $70,000 for such services and that the
Executive Director be authorized to execute such other documents as are required to carry out the
temts of said contract.
Timothy C. Steinhaus, Administrator, Economic Development Agency, stated that no local
(inns from San Bernardino had submitted bids for this project.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez-, Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent:
None.
15. PUBLIC SPACE PLANNING-STATE CONSOLIDATED OFFICES AND CALTRANS
BUILDING
(Community Development Commission)
Commission Member Oberhelman made a motion, seconded by Commission Member Miller,
to authorize the Executive Director to draft and execute a contract and other necessary documents with
Project for Public Spaces in an amount not to exceed $75,000 for public space planning for the design
of the State Consolidated Offices and Caltrans Building on the Government Center site, and allocate
funds in support of the contract.
Timothy C. Steinhaus, Administrator, Economic Development Agency, explained that Project
for Public Spaces had been retained on several occasions by the Agency to complete work. He stated
that the Agency would be reimbursed the funds used for the space planning by the state.
Jeff Wright, P. O. Box 2341, San Bernardino, CA, expressed concern regarding the amount of
funds being spent for the public's benefit.
The motion carried by the follominf: vote: Ayes: Commission Nlemhers Nevretc: ( mill):
Hernandez; Oberhelman; Devlin; Pope-Lo(I n): Miller. Noes: None. Ahsiain: N(mc. Absent:
None.
JOINT REGULAR MEETING COMMISSION MINUTES
KJH:Imp:cm1n12J2 - 9 - DECEMBER 20, 1993
Agency Administration
16. ADJUSTED WORK WEEK SCHEDULE
(Community Development Commission)
Stafford W. Parker, Deputy Director, Development Department, discussed the pilot 9/80
program used by the Economic Development Agency. He stated that the start-tap period of the
program included infouning the public of the Agency's new office hours.
Mr. Parker explained that the major benefits accomplished by the 9/80 program was the
convenience for citizens to obtain assistance after 4:30 pm., and also meeting the AQMD Standards.
He discussed the requirements mandated by the AQMD.
Commission Member Oberhelman made a motion, seconded by Commission Member Devlin,
to approve a continuous synchronized "9/80" adjusted work week schedule for the Economic
Development Agency and authorize the Agency Administrator to make all necessary adjustments to
coordinate and synchronize staffing work schedules in the event the City adopts a pilot or permanent
9/80 schedule.
Timothy C. Steinhaus, Administrator, Economic Development Agency, said that the Agency
would comply with the action taken by the City regarding its 9/80 schedule.
Commission Member Oberhelman made a substitute motion, seconded by Commission
Member Devlin, to approve a continuous synchronized "9/80" adjusted work week schedule for the
Economic Development Agency and authorize the Agency Administrator to make all necessary
adjustments to coordinate and synchronize staff work schedules in the event the City adopts a pilot
9/80 schedule for a period of six months.
Commission Member Miller expressed concern regarding the City closing on alternate Fridays.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Oberhelman; Devlin; Pope-Ludlam. Noes: Commission Member Miller. Abstain: None.
Absent: None.
17. SALVATION ARMY PAYEE, PROGRAM
(Community Development Commission)
(Councilwoman Pope-Ludlam's Recommendation)
Commission Member Oberhelmara made a motion. seconded by Commissi-ti ntemhcr Carlin.
to continue this item until a funding srmtc cmild be detenninecl.
Carolyn Carter. Salvation Ainiv. explained the Salvation Araay Payee Provrrnr cstahlishc<I in
April 1992. She indicated that appliriurts must have shelter in order to qualify for This hrogcnai.
JOINT REGULAR MEETING COMMISSION MINUTES
KJH:1mp:cm1n12J2 - 10 - DECEMBER 20, 1993
Commission Member Hernandez felt that since the Salvation Army assists individuals with
maintaining a place to live, the program should qualify for 20% set-aside funds.
Timothy Sabo, Special Counsel, Sabo and Green, stated that in order to qualify for the 20%
set-aside funds, staff must show how the program provides housing.
The Commission took no action on the previous motion to continue.
After comments were made by Ms. Carter and Mr. Sabo, a new motion was made.
Commission Member Hernandez made a motion, seconded by Commission Member
Oberhelman, that the item be continued to January 10, 1994; and that the Economic Development
Agency Administrator be directed to meet with the attorney to determine whether the program
provides shelter and with that fact that the program be funded with 20% set aside funds.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez•, Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent:
None.
COMMISSION MEMBER HERNANDEZ WAS EXCUSED AT 6:02 P.M.
Development Department
18. DELINQUENT NOTES AND DEVELOPMENT AGREEMENTS IN DEFAULT
(Community Development Commission)
(Councilman Oberhelman's Recommendation)
Kenneth J. Henderson, Executive Director, Development Department, stated that the list
included in the staff report showed all agreements the value of same. He said that a vast majority of
the delinquencies were for housing assistance.
COMMISSION MEMBER HERNANDEZ RETURNED AT 6:03 P.M.
Mr. Henderson explained that the Agency held approximately $15,175,000 in loan guarantees
which were currently performing well.
Commission Member Oberhelman made a motion, seconded by Commission Member
Hernandez, that the report made by Kenneth J. Henderson, Executive Director, Development
Department, be received and filed.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent:
None.
JOINT REGULAR MEETING COMMISSION MINUTES
KJH:1mp:cmin12j2 - 11 - DECEMBER 20, 1993
19. CALIFORNIA INN SRO
(Community Development Commission)
Commission Member Pope-Ludlam made a motion, seconded by Commission Member
Hernandez, to refer this item to the Housing Committee.
Commission Member Oberhelman commented on the item being referred to various
committees.
Dennis Barlow, Senior Assistant City Attorney, stated that there must be a specific reason for
the item to be referred to another committee.
Commission Member Hernandez stated that the item should be referred to the Housing
Committee to allow Committee Members to meet with the consultants who provided the Market
Analysis.
Jeff Wright, P. O. Box 2341, San Bernardino, CA, expressed his concern regarding building
an SRO in San Bernardino.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Oberhelman; Pope-Ludlam; Miller. Noes: Commission Member Devlin. Abstain: None.
Absent: None.
RS-1. AMENDMENT OF MOBILE HOME. PARK RENT STABILIZATION ORDINAN . .
(Major and Common Council)
Councilman Hernandez's Recommendation
Councilman Hernandez discussed the urgency of this item. He felt the amendment to the
ordinance should be made immediately for the benefit of the mobilehome owners.
Councilman Oberhelman made a motion, seconded by Councilman Hernandez, to direct the
City Attorney's Office to prepare an amendment to the Mobile Home Park Rent Stabilization
ordinance which requires mobile home parks to inform the mobile home board within twenty-four (24)
hours of any new rental agreement signed in the park.
Discussion ensued regarding the ability of staff to follow-up on this ordinance.
Councilman Hernandez expressed concern regarding mobilehome owners not being aware of
the 72 hour cancellation period when signing long-term leases with park owners.
The motion carried by the following vote: Ayes: Council Members Negrete; Curlin;
Hernandez; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent:
None.
JOINT REGULAR MEETING COMMISSION MINUTES
KJH:1mp:cmin12J2 - 12 - DECEMBER 20, 1993
RS-2. FREEWAY HOME CENTER
(Community Development Commission)
Commission Member Hernandez made a motion, seconded by Commission Member Pope-
Ludlam, to approve a $2.5 million dollar loan guarantee to Allan Steward, Inc., for the purchase and
development of the Freeway Home Center project subject to review and approval of Allan Steward's
financial capacity, approval by the Community Development Commission of an Owner Participation
Agreement and close of escrow within ninety (90) days of Commission approval. Further, that staff
be authorized to pay to the Resolution Trust Corporation (RTC) a deposit in the amount of$85,000
with only 75% of such deposit ($63,750) to be repaid by Allan Steward, Inc., to the Agency in the
event escrow fails to close.
Kenneth J. Henderson, Executive Director, Development Department, explained that there
were two motions for this item. The first motion was to approve a loan guarantee, and the second
motion was to approve an actual loan for Allan Steward of Steward and Associates. He stated that if
Motion B was approved, the Agency would obtain a loan and then reloan those funds to Mr. Steward.
Timothy C. Steinhaus, Administrator, Economic Development Agency, stated that the Agency
would prefer giving Mr. Steward the loan guarantee.
Commission Member Oberhelman expressed concern regarding the lack of information
provided for this project. He stated that there was not enough fundamental information to make a
decision.
Commission Member Pope-Ludlam indicated that this item was thoroughly discussed at the
Redevelopment Committee Meeting.
Commission Member Hernandez discussed the urgency of this item indicating that a deposit
must be made for the property by December 22, 1993.
Timothy Sabo, Special Counsel, Sabo and Green, explained the item and stated that Mr.
Steward would guarantee 25% of the loan. He said if the direct loan was made, Mr. Steward would
be responsible for 100% of the loan if escrow was not closed. He indicated that $25,000 was the
most at risk if this item was approved.
Mr. Steinhaus stated that the item had been reviewed by the Agency's financial consultant.
Allan Steward, Steward and Associates, explained that he had been working on this project for
over a year. He stated that the Agency would receive 25% of the profits gained by the project. He
anticipated a 80% lease-up within a year.
Discussion ensued regarding the Agency's projections for the Project v(n-q >z the h ierti< ns of
Mr. Steward.
Commission Member Pope-Ludhrrn spoke on Mr. Ste«,ands progress within the ciiv im vmiorrs
projects.
Commission Member Hernandez recommended the Commission adjourn to Closed Session to
discuss this item.
JOINT REGULAR MEETING COMMISSION MINUTES
KJH:Imp:cm1n12J2 - 13 - DECEMBER 20, 1993
Dennis A. Barlow, Senior Assistant City Attorney, reminded the Commission that it must
discuss real property in Closed Session.
Commission Member Oberhelman reiterated his concerns regarding the project. He felt the
worse case scenario would be that the Agency would own a shopping center.
Phil Harrison, Steward and Associates, commented on the benefit of this project for San
Bernardino and the freeway entrance. He indicated that the Resolution Trust Corporation (RTC) was
not interested in this property.
Chairman Minor made remarks regarding the funds being used for tenant improvements.
COMMISSION MEMBER MILLER WAS EXCUSED AT 6:48 P.M.
Mr. Steinhaus confirmed that $800,000 would be used for tenant improvements. He stated
that the Agency would control the $800,000 approving all costs spent.
COMMISSION MEMBER MILLER RETURNED AT 6:49 P.M.
Commission Member Pope-Ludlam made a motion, seconded by Commission Member
Hernandez, to approve a $2.5 million dollar loan guarantee to Allan Steward, Inc., for the purchase
and development of the Freeway Home Center project subject to review and approval of Allan
Steward's financial capacity, approval by the Community Development Commission of an Owner
Participation Agreement and close of escrow within ninety (90) days of Commission approval.
Further, that staff be authorized to pay to the Resolution Trust Corporation (RTC) a deposit in the
amount of$85,000 with only 75% of such deposit ($63,750) to be repaid by Allan Steward, Inc., to
the Agency in the event escrow fails to close.
Kenneth J. Henderson, Executive Director, Development Department, indicated that it was the
desire of Mr. Steward to have both motions approved in the event his loan is not approved.
The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin;
Hernandez; Pope-Ludlam. Noes: Commission Members Oberhelman; Devlin; Miller. Abstain:
None. Absent: None
RS-4 ADJOURNMENT
At 6:56 pm., the meeting of the Mayor and Common Council/Community Development
Commission was adjourned to Monday, January 3, 1994 at 11:00 am., in the Council Chambers of
City Hall, 300 North "D" Street, San Bernardino, California.
Respcctfully suhmitted:
KENNETH J. HENDERSON
Executive Director/
Secretary to the Commission
JOINT REGULAR MEETING COMMISSION MINUTES
KJH:Imp:cm1n12J2 - 14 - DECEMBER 20, 1993