HomeMy WebLinkAbout03- Redevelopment REDEVELOPMENT COMMITTEE
MINUTES
REGULAR MEETING
December 9, 1993
3:00 p.m.
The regular meeting of the Redevelopment Committee was called to order by Chairwoman
Valerie Pope-Ludlam at 3:09 pm. in the Economic Development Agency Board Room, 201 North "E"
Street, San Bernardino, California.
ROLL CALL
Roll call was taken with the following members present: Chairwoman Valerie Pope-Ludlam
and Committee Member Ralph Hernandez. Absent: Committee Member Edward Negrete. Mayor
Tom Minor was also in attendance.
STAFF PRESENT
Timothy C. Steinhaus, Administrator, Economic Development Agency; Kenneth J. Henderson,
Executive Director, Development Department; Dennis A. Barlow, Senior Assistant City Attorney; Phil
Arvizo, Executive Assistant to the Council; Ann Harris, Executive Director, Main Street; Lorraine
Velarde, Executive Assistant to the Mayor; David Edgar, Housing Manager, Housing Division,
Development Department: David J. Noun an, Development Specialist, Development Department; La
Vonda M-Pearson, Recording Secretary, Development Department.
OTHERS IN ATTENDANCE
Doug Bothe, Inland Beverage; Susan Johnston, Larcon Development; Phil Harrison, Steward
and Associates; Allan Steward, Steward and Associates; Allan Steward II, Steward and Associates;
Jack Kelly, Associated Marketing Services; Michael Geber, Arrowview Plaza Ltd; Rod Shain, MJE
Brokers.
1. FREEWAY HOME CENTER 1408 - 1680 SOUTH "E" STREET
Kenneth J. Henderson, Executive Director, Development Department, stated that the Agency
received a proposal from Mr. Allan Steward, Steward and Associates, proposing to purchase the
property located on South "E" Street east of the I-215 freeway. He explained that the land is currently
owned by the City of Riverside.
COMMITTEE MEMBER NEGRETE ARRIVED AT 3:11 P.M.
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Mr. Henderson explained the proposed agreement and deal points for the project and indicated
that the Agency would be paid 25% of the profits gained by the center. He said that in the event the
RTC chose not to sell the property to Mr. Steward, Mr. Steward would then reimburse the Agency
75% of the required deposit.
Allan Steward, Steward and Associates, stated that the property contains 140,000 square feet
of leasable space, and was appraised at $4,680,000 in 1992. He said that if he was able to purchase
the property, he would clean up, redecorate, and provide additional tenant improvements to the center.
Mr. Steward discussed his projections for the project for the upcoming year. He felt this
would be a win situation for the City due to the profits it will receive.
Phil Harrison, Steward and Associates, spoke on the current tenants located in the center.
Chairwoman Pope-Ludhim discussed the negative appearance the center gave when entering
the City off of the freeway. She felt something should be done to correct the appearance as soon as
possible.
Mayor Minor commented on Mr. Steward's outstanding ability to complete projects within the
City, but expressed concern about the Agency being the sole funding source for the project.
Mr. Steward indicated that $85,000 would be returned to the Agency immediately after
purchase of the center.
Committee Member Hernandez questioned the amount of loan guarantees the Agency could
have.
Mr. Henderson stated that there are no limitations on the amount of loan guarantees the
Agency could have as long as they are bankable deals.
RECOMMENDATION
The Committee recommended this item be presented to the Community Development
Commission on December 20, 1993 with additional back-up material for the Commission to review.
2. INLAND BEVERAGE - EXTENSION REQUEST
Kenneth J. Henderson, Executive Director, Development Department, explained that Mr.
Tommy Mason, President of Inland Beverage would like to obtain a six (6) month extension on his
loan. He stated that the Agency would be repaid between the April 30, 1994 and June 1, 1994 when
Mr. Mason has the opportunity to exercise his stock option.
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RECOMMENDATION
The Committee recommended approval of this item to the Community Development
Commission.
3. ARROWVIEW PLAZA LTD - REFINANCING REQUEST
Kenneth J. Henderson, Executive Director, Development Department, explained that the
Agency was working with Mr. Michael Geber, Anowview Plaza, for the construction of office spaces
for the County Department of Public Social Services. The funds for this project were loaned to the
Agency, and the Agency re-loaned those funds to Mr. Geber.
Mr. Henderson discussed the loan terms that were agreed upon and approved for the project.
He stated that Mr. Geber was requesting that the Agency restructure the loan to provide the assistance
needed to continue construction on the office building.
RECOMMENDATION
The Committee recommended approval of this item to the Community Development
Commission.
4. INVESTMENT POLICY
Kenneth J. Henderson, Executive Director, Development Department, explained that the
investment policy was approved annually by the Commission.
RECOMMENDATION
The Committee recommended approval of this item to the Community Development
Commission.
5. COURT STREET PARKING LOT AND GREAT WESTERN WALL
Timothy C. Steinhaus, Administrator, Economic Development Agency, noted that a potential
tenant had expressed an interest in locating a 10,000 square foot restaurant on the parking lot site.
Kenneth J. Henderson, Executive Director, Development Department, stated that if the tenant
did locate to the parking lot, appropriate adjustments could be made.
David J. Norman, Development Specialist, Development Department, explained that it was
staffs desire to have the parking lot designed for multiple use.
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Mr. Norman presented a graph for the Committee's review which showed the architectural
design for the parking lot, which included landscaping.
Mr. Norman informed the Committee that the Planning Department was working on the plans
for the "E" Street Terrace and that the plans would be presented to the Committee for recommendation
when received.
Mr. Steinhaus restated positive comments received in reference to the change of "E" Street
within the last year. He recommended the Committee proceed with the approval of this item in a
positive manner.
Mayor Minor agreed with Mr. Steinhaus and recommended the Committee continue with the
study for the parking lot.
RECOMMENDATION
The Committee recommended approval of this item to the Community Development
Commission.
6. OFFICE LEASE - 201 NORTH " STREET
Timothy C. Steinhaus, Administrator, Economic Development Agency, explained that
Assemblyman Joe Baca had assisted in obtaining legislation to locate a small business loan center to
the Inland Empire in the 201 Building. He stated that staff was proposing to locate the center on the
second floor.
Mr. Steinhaus indicated that although the center would only utilize 250 square feet, staff
would house it in 800 square feet until the additional space was needed.
Committee Member Hernandez expressed concern regarding the additional traffic that may be
caused by the small business loan center.
Mayor Minor felt the small business loan center would help encourage businesses to locate to
San Bernardino.
RECOMMENDATION
The Committee recommended approval of this item to the Community Development
Commission.
7. WEST SIDE PLAZA DAY CARE PRO_IFCT
Kenneth J. Henderson, Executive Director, Development Department, stated that the approval
of this project would create 20 new full-time jobs.
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Mr. Henderson explained that the state requires Day Care Facilities to have approximately 700
square feet of play area. He stated that since the Agency owns the vacant portion of land near the
proposed facility, the developer of the facility, New Frontier, has requested the Agency share the cost
for the facility.
RECOMMENDATION
The Committee recommended approval of this item to the Community Development
Commission.
9. SALVATION ARMY PAYEE PROGRAM
Kenneth J. Henderson, Executive Director, Development Department, spoke on the various
programs that the Agency has regarding homeless assistance.
Chairwoman Pope-Ludlam explained the payee program established by the Salvation Army
indicating why she believed the Agency should provide assistance to the program.
Committee Member Negrete expressed concern regarding the requested funds being used to
provide salaries for the employees in charge of the program.
Timothy C. Steinhaus, Administrator, Economic Development Agency, stated that staff would
research ways to fiord the program and bring the item back to the Commission or Committee if no
options were found.
RECOMMENDATION
The Committee requested staff research ways to fund the program and to present the item to
the Community Development Commission with a solution.
ITEM NOT ON THE AGENDA
ROUTE 66 RENDEZVOUS
Mayor Minor noted that John Gasawa of the Over-the-Hill Gang and Dan Stark, Executive
Director, Convention and Visitors Bureau were negotiating to resolve the differences over the Route
66 Rendezvous.
Phil Arvizo, Executive Assistant to the Council, stated that Councilman Oberhelman, who is
not on the Committee for Route 66, indicated that discussions were taking place between Mr. Stark
and Mr. Gasawa and they were coming to an agreement. He also indicated that Mr. Stark was writing
an article for publication in The Sun Newspaper which would provide additional information to the
public regarding the disagreements shared between the two gentlemen.
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3(A
REDEVELOPMENT COMMITTEE
M I N U T E S
SPECIAL MEETING
January 6, 1994
3:00 p.m.
The regular meeting of the Redevelopment Committee was called to order by Chairwoman
Valerie Pope-Ludlam at 3:11 pm. in the Economic Development Agency Board Room, 201 North "E"
Street, San Bernardino, California.
ROLL CALL
Roll call was taken with the following members present: Chairwoman Valerie Pope-Ludlam
and Committee Members Edward Negrete; Ralph Hernandez. Absent: None.
STAFF PRESENT
Timothy C. Steinhaus, Administrator, Economic Development Agency; Kenneth J. Henderson,
Executive Director, Development Department; Dennis A. Barlow, Senior Assistant City Attorney; Phil
Arvizo, Executive Assistant to the Council; Ann Harris, Executive Director, Main Street; Lorraine
Velarde, Executive Assistant to the Mayor; Ray Salvador, Administrative Assistant to the Mayor;
La Vonda M-Pearson, Recording Secretary, Development Department.
OTHERS IN ATTENDANCE
Dan Mitrovich, Linda Brannon and Associates; Richard Brooks, The Sun Newspaper.
1. BANKRUPTCY COURT - ORAL PRESENTATION
Chairwoman Pope-Ludlam indicated that she met with Mr. Noun Hanover regarding the
Bankruptcy Court, and he stated that the Court may still choose to remain in San Bernardino.
Chairwoman Pope-Ludlam noted that the City of Riverside was having a difficult time finding
a location suitable for the Bankruptcy Court. She felt if staff worked diligently with assistance from
the Council on a new proposal for the Bankruptcy Court, the Court might choose to stay in San
Bernardino.
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Lorraine Velarde, Executive Assistant to the Mayor, distributed a brief synopsis on what has
transpired within the past couple of months regarding the retention of the Bankruptcy Court. She
spoke on the participation received from Congressman Brown's Office and indicated that staff asked
Senator Ayala to participate with the efforts to retain the Court in San Bernardino.
Ray Salvador, Administrative Assistant to the Mayor, commented that the Bankruptcy Court
had received a two (2) year lease extension at its current location. He reiterated that the City of
Riverside could not find a satisfactory location for the Bankruptcy Court.
Timothy C. Steinhaus, Administrator, Economic Development Agency, informed the
Committee of staffs previous attempt to retain the Bankruptcy Court in San Bernardino. He noted
that the Bankruptcy Court wanted a first class building which could be provided for them in San
Bernardino as a part of the superblock project.
Mr. Salvador stated that the Judicial Council, which meets yearly in September, makes the
final decision over where the Bankruptcy Court will locate. He explained that the Judicial Council
felt it would be better to locate to Riverside because of an increases in cases from Riverside County.
Committee Member Negrete recommended staff submit a letter to the members of the Judicial
Council and Judge Real informing them of San Bernardino's interest in retaining the Bankruptcy Court
in the City.
Mr. Salvador mentioned that local bankruptcy attorneys would like the Bankruptcy Court to
remain in San Bernardino.
Committee Member Hernandez recommended that staff determine whether or not Riverside
has found a location for the Bankruptcy Court before any attempts to retain it in San Bernardino are
implemented.
Chairwoman Pope-Ludlam indicatred this matter was urgent and requested it be placed on the
January 10, 1994 agenda.
Committee Member Hernandez recommended staff complete more research on this item before
presenting it to the Commission.
RECOMMENDATION
The Committee recommended that a Committee be formed to work on this project; that the
information on file be upgraded; that staff meet with Mr. Hanover to share the information; that staff
find out the present status of Riverside being the next home of the Bankruptcy Court; and that staff
come up with a recommendation as to which way to proceed with this project.
2. EMPLOYEE COMPUTER PURCHASE PROGRAM
Timothy C. Steinhaus, Administrator, Economic Development Agency, requested this item be
continued.
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RECOMMENDATION
The Committee recommended this item be continued.
3. CELLULAR PHONES FOR COMMISSION MEMBERS
Committee Member Hernandez stated that several Council Members expressed a need to have
cellular phones for City business.
Dennis Barlow, Senior Assistant City Attorney, indicated that the Agency should not be
responsible for the full cost of the phones since the phones would be used for both Agency and City
business.
Discussion ensued regarding the cost of the Cellular Phones and the monthly service and
billing charges that would be applicable.
RECOMMENDATION
The Committee recommended approval of this item to the Community Development
Commission.
4. ADJOURN TO CLOSED SESSION
There were no items for discussion in Closed Session.
5. ADJOURNMENT
There being no further business, the meeting of the Redevelopment Committee was adjourned
at 3:35 pm.
APPROVED BY:
VALERIE POPE-LUDLAM, Chairwoman
Redevelopment Committee
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