HomeMy WebLinkAbout07- Warner Hodgdon q/",00� 14- -
WARNER W. HODGDON
HEART BAR RANCH.ARROWHEAD SPRINGS
POST OFFICE BOY.2146
SAN BERNARDINO,CALIFORNIA 92406
(714)881-1S47
February 7, 1994 TELECOM
'al 4
6-9962
Mayor and Common Council �
City of San Bernardino o1&i(,/`��
300 North"D" Street �G
San Bernardino, California 92418
RE: City Baseball and Sports Stadium-California Theater CLO
City/EDA Agenda February 7, 1994
RE: City and East Valley Updated Overall Physical,Fiscal and Legal Plan(s)of Development/Finance
Dear Mayor and Common Council:
Thank you for the opportunity to speak with you today at the February 7, 1994 City/EDA
Public Meeting regarding a Sports Stadium. The Stadium Commission first presented their Report
and Recommendation of Location preference on Thursday, December 2, 1993; i.e.: THE
NATIONAL ORANGE SHOW, east of Arrowhead Avenue and west of the Twin Creek Channel.
Other practical considerations were; (1) the SBCT&FCG Land west of Rt. 215 at the Auto Center,
(2) "E" Street between the two Malls, and (3)Rancon Area Waterman Avenue.
From reading The Sun Sports Article dated January 25, 1994 I learned that this matter would
be publicly discussed further as part of the February 7, 1994 City/EDA Agenda. The article was
titled: "MAYOR: "STADIUMS CHANCES 50-50", Quote:
"Mayor Minor said Sunday he believes the chances of San Bernardino building a 5000 Capacity
baseball stadium in time for the 1995 season are "a 50-50 shot".
Minor said a ballpark is not the top priority for his financially.strapped City. "But it's one of the top
ones. We want to get moving on this because time is of the essence."
Mayor Minor made a Major League acknowledgment in The Sun Article when he
recognized that San Bernardino is a FINANCIALLY STRAPPED CITY. The December 1, 1993
Stadium Commission Report recognized that the Minor League Class A Baseball Team use is only
20% of the year, maintenance/operating cost is $200/300 thousand annually and therefore City
Funds and/or Private contributions for the $5-8 Million ± Stadium Facility, including 1600 car
parking, are required.
I speak to you with reasonable humility, but with deep knowledge of the City's
Socio/Economic history, future, prior Plans of Development, Plans of Finance and including Sports
Recreation/Special Event Facilities. Through 1967-1975 I have served in various capacities,
including Chairman of the Redevelopment Agency, Financial Consultant-Projects Coordinator for
the Public Safety/Civic Center Joint Power Authority(s) and Chairman of the Economic Council
etc.. During an approximate seven year period I worked representing the City and related Public
Entities in equivalent to Full-Time without pay, paid my own expenses and/or contributed back far
more than any consultant earnings. My family contributions are approximately $10 million to the
City and Local Non-Profit Entities; i.e.: YMCA, YWCA, Regional Little League and Shandin Hills
Public Golf Course/Blair Park in 1985 etc.
HERITAGE OF THE MOUNTAINS AND VALLEY BEGAN IN 1850
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Page 2
I believe the NUMBER ONE TOP PRIORITY in the City and East Valley today is an updated
Overall Physical, Fiscal and Legal Plan(s) of Development/Finance. The last was formulated and
adopted by the City, EDA and County for 1958-1980-1985; this included State, Federal, Caltrans,
Airport facilities, with California Theater, new Performing Arts Center, Sports Recreation, Orange
Show Asset and Transportation emphasis. In 1989 I assisted in structuring the interim $35 Million
City/EDA Plan of Finance as a bridge to allow time for the needed update. The prior 1967-1975
long term RDA Project(s) Development and Plan(s) of Finance were the financial foundation of the
EDA that has sustained the City from 1975 to this time.
However,we cannot capitalize on this areas "World of Opportunity" without knowledgeable,
experienced and comprehensively prepared actions to change the present uncharted deteriorating
course. One part at a time, without knowing the sum parts of the whole, will not work. The major
overall need is by far to severe for childlike analogy of one step at a time. First we must face the
total negative side of our economic battery or the positive side by itself will never start or work.
Just a few on-going sincere community concerns are exampled by the following. In
December 1988 we viewed the 27,000 Direct and Indirect Job loss, 39,000 population out migration
and socio/economic impact Loss of$1.8 Billion by NAFB closure being announced. In April 1991
we read that Stubblefield "Mountain Shadows" was awarded$11.537 Million Damages Against the
City by a Jury. In November 1991 we viewed another east valley Wal-Mart Deal scrutinized by a
Doggie Pooper Scooper. In 1992 we viewed the making of a "Mountain out of a Manhole" plot at
Sterling Avenue. In 1993 we viewed the Rancon/Central City battle of the "High Rise Buildings"
and the pitting between the two Malls, all over poor planning and after the fact.
November 1993 brought the view of losing 800 jobs at Roger's Bindery, City/EDA $4
Million interim loan with Dukes and Dukes $18 Million Residential Capital Investment west of
Medical Center Drive and the City/EDA $8.5 Million Loan Guarantee approved by the City/EDA
for the Community Hospital Board of Directors. Ending 1993 we viewed the expansion of Indian
Bingo and Wounded Eagle takeover challenges to the Norton IVDA/Airport Authority "Last Stand
for not producing 1988-1994 replacement Jobs. A view of 1994 includes the threatened closure of
the Civic Light Opera, an East Valley Cultural Cornerstone for 47 years.
To prove my point that the overall area is in crisis, the most enlightening news article I have
ever read in our City summed it all up factually on January 10, 1994 and titled; "S.B. Grant would
add 23 officers" Quote:
"7t amounts to a bleak portrait,but that's what is needed to win federal help,said acting Police Chief
Wayne Harp"
The Sun article's statistics carry those from a 1992 FBI Report that; (1)the City is first in the
State and 13th in the Nation for Crime, (2) in 1993 the City had the highest murder rate in the State,
(3) more than 2,100 gang members belong to 10 major gangs that have made an exodus from other
Cities to ours, including 874 parolees and 174 fugitives, (4) the City's Tax Base can not support a
major increase in the police budget, which now takes 42% of the total City Budget and (Fire takes
another 18%), (5)Welfare is 34% and Unemployment/Disability is 17% and, (6)a major support for
the Federal Grant to hire 23 officers is defended by the City's major business closures and Job Loss
I have constructively addressed these and other issues for the Official City Record in this
letter and my letters to Mayor Minor and the Council dated November 1, 1993, December 14, 1993
and December 15, 1993 RE:, but not limited to, the Sterling Avenue Area City Obligations,
City/EDA/IVDA Wal-Mart/Stubblefield $5.4 million impact Cost/Loss, Roger's Bindery City/EDA
$500 thousand Relocation Assistance Inducement for 800 Jobs, City/EDA $4 Million interim loan
with Dukes and Dukes $18 Million Residential Capital Investment, the City/EDA $8.5 Million
HERITAGE OF THE MOUNTAINS AND VALLEY BEGAN IN 1250
OHEADQUARTERS:POST OFFICE BOX 2146,ARROM79-AD SMIQGS,SAN BERNARDINO,CALIFORNIA 92406 IT
714
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WW
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Page 3
Community Hospital Board Loan Guarantee, Stubblefield $11.537 Million Court Damages against
The City,and the Baseball Commissioners $5-8 Million±Sports Stadium recommendation.
(See attached November 1,1993 and December 14 and 15,1993 letters by Warner Hodgdon to the Mayor and Common Council)
Accordingly, by my January 8, 1994 letter to Mr. Penman, City Attorney, I address, but not
limited to, the January 5, 1994 Article, titled; "S.B. City Attorney could save $500,000, audit
suggests: S.B. City Attorney Penman feels Vindicated". The City still faces multiple lawsuits in the
Superior and Federal Courts, without knowing the outcome, the total Damages asked for Violation
of Civil Rights and No Due Process are approximately $50 Million. Irrespective, the$500 thousand
annual savings to be produced by the City Attorney's Office, and supported by the December 29,
1993 Management Audit, will Amortize Bond Funding for needed City Capital Improvements of
approximately another$8-10 Million.
(See attached January 8,1994 letter by Warner Hodgdon to James F.Penman,City Attorney)
The Summary excerpt of my November 1, 1993 letter to the Mayor and Council is attached
hereto. My constructive thoughts of support and consideration of a Sports Stadium Facility is part
of my December 15, 1993 letter to Mayor Minor and excerpt thereof is attached.
(See attached Summary Excerpt of Warner Hodgdon November 1,1993 letter to the Mayor and Common Council)
(See attached Sports Stadium Facility Excerpt of Warner Hodgdon December 15, 1993 letter to Mayor Tom Minor)
Certainly I understand, as well as the members of the City Council, City Staff and Citizens
what it's like to be financially strapped. The Mayor courageously admitting in The Sun that the City
is financially strapped too puts everyone in the same Ball Park. I know the Council as well as
myself and others are tired of watching Sand Lot batting practice and hitting nothing but foul balls
that exemplify the changing character of the City today. We must all immediately be concerned of
the equity Loss of Value in every Citizen's Home and business capital investment being eroded
away by our deteriorating City which is in Socio/Economic imbalance.
Without a City and East Valley updated Overall Physical, Fiscal and Legal Plan(s) of
Development/Finance the continued piece meal approach will pull us down completely, like the
underwater barnacles sink an empty boat. I love this community with all my heart and soul, and
have given my all for years. To cope with a Global International Economy, we must all work
together to clean up our own house for everyone to reach the City and East Valley's "World of
Opportunity".
It's time for a few Home Runs. Even Babe Ruth wasn't perfect, but his abilities caused the
need for the Stadiums to be built and made the attendance of the Game an American Institution.
The City and the East Valley can not afford to loose any more time or Jobs, everyone needs to
team-up and PLAY BALL on a Major League level.
Sincerely,
C� .
Warner W. Hodgdon
CC: Shauna Clark,City Administrator
James F.Penman,City Attorney
HERrrAGE OF THE MOUNTAINS AND VALLEY BEGAN IN 1850
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RESIDENCE MAILING.3295 BROADMOOR BOULEVARD.SAN BERNARDINO,CALIFORNIA 92404,(714)833-0153 WW
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E c4ttom Warner Hodgdon letter to Mayor Tom Minor, December 15, 1993
0
I City Baseball and Sports Stadium Comments to Mayor Minor:
As a separate City matter, thank you for asking my comment as to the proposed $5
Million ± Baseball Stadium Alternatives for City/EDA Capital Investment outlined in the
Thursday, December 2, 1993, 7:30 AM Stadium Commission Presentation and Report. I would
have not commented had you not asked because of having no prior review of the Commission's
December 1, 1993 Report or Presentation.
Super Block and Sport Stadium Funding Conduit:
However, of the five City/EDA alternatives the Spo s Stadium Capital Funds ($5
Million) being derived through the 5% unrestricted Bond Pr eeds added through the Super
Block $100 Million ± Bonds was a innovative Finance conduit. did note from the brief review
of the Report that the 1600± Auto Parking, lighting, landscape, Off-Site Streets Improvement(s)
Costing a minimum of $2 Million ± was not included, and that the Facility Operating
Revenue/Expenditure Pro-Forma will be prepared at a later date.
Class A Ball Team 20% Effective Use:
The Spirits Class A Ball Team has approximately 70 minor league home games or 20%
effective use of the facility on a 365 day year basis. Their specific commitments were not
outlined in the Report. Never-the-less the Commission felt the Operation(s) Shortfall would be
in the $200/300 thousand range annually and in addition to the City/EDA 5 Million ± Capital
Bond Amortization and Parking/Access Improvement Cost Amortization. - u"VI . e jam`ook
Commission's Recommended Location: �""''
I am very familiar from ownership with variou ulti-Use Sports/R reation Facilities,
(Horse/Auto Tracks, Special Events, and others) and the related Pu is and/or Private
Operations, Promotion and Financial Economics relative thereto; i.e : Riverside/Ontario
International Speedways, Shandin Hills Golf Club, Nashville, Phoenix, Richmond etc. Your
acknowledged support to the City Baseball Commission of the Spirits Class A Ball Tea and
Sports Stadium facilities is very commendable, including substantial added private contrib tions
therefore. The Commission's primary recommended site location is east of Arrowhead A enue
and west of the Twin Creek Channel on National Orange Show Property.
(See attached Montage of Warner Hodgdorl/National Engineering Company Racing Facilities and Special Events) �UJ3
(See attached Shandin Hills Golf Club Photo with Central City Background)
Existing City Sports and Park Recreation Facilities: Contributions: Perris Hill, Blair
Park, Shandin Hills:
Perris Hill Park land, which also accommodates the existing Spirits Team Ball park was an
early 1900's construction. The City's own Parks and Recreation October 12, 1993 Report to the
Stadium Commission speaks for itself. This stadium has many City Sub-Standards i.e. parking,
seating, temporary concessions/restrooms, crime and neighborhood nuisance. Relocation of this
obsolete facility in the mid 1980's and City/EDA acquisition of the abandoned Gasoline Facility
HERITAGE OF THE MOUNTAINS AND VALLEY BEGAN IN 1350
0 HEADQUARTERS:POST OFFICE BOX 2146,ARROWHEAD SPRINGS,SAN BERNARDINO,CALIFORNIA 92406 IT
RESIDENCE MAILING:3295 BROADMOOR BOULEVARD,SAN BERNARDINO,CALIFORNIA 92404,(714)833-0153 ���JJJIII
A WARNER W.HOOGDON FAMILY GROUP AFFMIATE
(Junk yard) to the east would have allowed expansion of American Express from 350 to 500±
employees. Expanded parking reuse would have accommodated Perris Hill Park and Bowl
activities as well as retention of the employment base to support existing Highland Avenue
Retail, Commercial, Food and Neighborhood Capital Investment Base. The result being that in-
action forced the original Sports Team move to Rancho Cucamonga and American
Express/General Electric Mortgage relocation of 500 business related employees to an
Industrial Park. This left the Highland Avenue Area Central Corridor with added major overall
economic instability. ,I, -4r-� a,,- it- 4-4,&e'
Blair Park and Shandin Hills Golf Club:The Stadium Commission's Report spoke of private contributions to pay for the facility.
My family's land and capital contributions toward Blair Park, Shandin Hills Golf Club and Rt.
215/30 Enhanced Environmental "Green Belt" Access to the City and State University alone far
exceeded the Commission's current Reported Baseball Stadium cost projection of $5 Million. It
is my understanding from recently viewing the Community TV that the City/EDA positive Cash
Flow of $300/$400± thousand annually from the City/EDA Golf Club is now being used to
supplement the City Budget in order to Trim the overall City Parkway Trees, current deferred
maintenance etc. If the City/EDA does not adhere to the Standards of maintenance required by
the Operating Lease Agreement of the Golf Club it too will have diminishing Presence Value
and diminishing Public Revenues. Historically existing Public/Private Recreation Golf Courses
increase in value with the maturing of trees, increased replacement Capital Cost and an
economically growing community market area.
New City Sports Recreation Facilities: Forest Creek Greens and Sports Resort Rt.
330/City Creek Canyon:
New City Sports Recreation Facilities require a long-term comprehensive overview. As
you know we have been working toward a similar Scenic Drive Rt. 330/City Creek Canyon
facility North/South of Highland Hills named "Forest Creek Greens and Sports Resort". This
Rancho San Andreas North Plans of Development was considered and designated the Preferred
Land Use grandfathered and incorporated into the July 3, 1989 Updated City General
Plan/FEIR and July 3, 1989 City/Superior Court Approved City/Highland Hills Homeowners
Association Settlement Agreement. The 60 month Capital Investment Buil -Out is projected to '
be $225 Million,n1 will generate over 6000 direct and indirect "Jobs". iFa•n
(See attached October 25, 1993 Rancho San Andreas North/South Schematic Perimeter Outline Plan) 4v-�
(See attached Rt.330/Highland Avenue Area Wal-Mart and Forest Creek Greens and Sports Club Illustrative Aerial)
Regional Access and Sports Recreation Facility "Presence Value"
Please keep in mind while determining the new Baseball and Sports Stadium location
that long term successful Sports/Recreation facility Revenues all require Regional Access
"Presence Value" and high standards of maintenance for continued Positive Cash Flow and
Profitability. City Full-Standard Access (curb, gutter, sidewalk, lights, landscape, trees, irrigation,
[parkways, etc.) are added pre-requisite "Presence Values" to all City/Private Capital
undertakings to Generate Public Revenue Resources i.e.: Sports/Recreation Facilities,
Commercial, Retail, Industrial, Airports and most importantly to the largest Public Revenue
Producer of all, existing and future Residential Neighborhoods (Ad Valorem Tax, Related
City/Franchise Service Fees-Sales Tax, and Utility Tax).
HERITAGE OF THE MOUNTAINS AND VALLEY BEGAN IN 1850
HEADQUARTERS:POST OFFICE BOX 2116,ARROWHEAD SPRINGS,SAN BERNARDINO.CALIFORNIA 92106
RESIDENCE MAILING:3295 BROADMOOR BOULEVARD,SAN BERNARDINO,CALIFORNIA 92104,(711)883-0153
A WARNER W.HODGDON FAMILY GROUP AFFILIATE
City Retention and Reinforcement of Economic and Employment Growth, "Quality of
Life":
Without a viable "Job Base" and well maintained Socio/Economic Neighborhoods, there
is no "Quality of Life" foundation for retention and reinforcement of economic and employment
growth. Thus a diminishing "Job Base" to support existing and other long term Public/Private
undertakings, including a Baseball and Sports Stadium Recreation Facility; i.e.: Norton AFB
1988-1993 Closure process has resulted in Losses of 27,000 Direct and Indirect "Jobs",
Population out-migration 39,000 and $1.8 Billion Economic Impact Loss with no secured
replacement Jobs in a five year period (1988-1993). The Norton fallout and spreading effect is
now being felt in diminishing Home Values, Business Revenue, Newspaper Revenues, Orange
Show Off Track Para Mutual Revenues, Sport Ball Team Revenues and even the Civic Light
Opera
City and East Valley Overall Physical, Fiscal and Legal Plan(s) of Development/Finance:
The number one top priority in the City and East Valley today is an updated Overall Physical,
Fiscal and Legal Plan(s) of Development/Finance. The last was formulated and adopted by the
City/EDA/County for 1958-1980-1985; this included State, Federal, County, Caltrans facilities
with California Theater, Performing Arts Center, Sport Recreation, Orange Show Asset and
transportation emphasis We cannot capitalize on this area's "World rld of O�ortuni�' without
knowledgeable, experie ced and comprehensively prepared action to change the present un-
chartered deteriorating ourse. The City can't afford to loose any more time; everyone needs to
team-up and "Play B " on a major league level. Thanks to the Stadium Commission for their
efforts.
HERITAGE OF THE MOUNTAINS AND VALLEY BEGAN IN 1850
HEADQUARTERS:POST OFFICE BOX 2146,ARROV16AD SPRINGS,SAN BERNARDINO,CALIFORNIA 92406
RESIDENCE MATING:3295 BROADMOOR BOULEVARD,SAN BERNARDINO,CALIFORNIA 92404,(714)883-0153 WW
A WARNER W.HODGDON FAMILY GROUP AFFILIATE
Page 17
Excerpt from Warner Hodgdon letter to the Mayor and Common Council, November 1, 1993
SUMMARY:
Wal-Mart/Interim Land Owner should not have been rewarded with Multi-Million Wind
Fall Profits:
Conceptual "Up-Grade" Architectural/Landscape treatment Illustrative Aerial
Renderings to enhance the Wal-Mart Development Design were provided by RSA (Warner
Hodgdon) to the City and Councilman Maudsley by February 26, 1992 Letter Report Book.
The City Administrator had deep concern as to the Overall City Impact Cost/Loss and sterile
Quality of Wal-Mart structures in other communities. The purpose of the Wal-Mart Village
Illustrative renderings prepared for the City by RSA (Warner Hodgdon) was that in the event
the project was approved with the represented 1991 City/EDA $550 thousand subsidy and
Non/Limited Access cost waived and/or circumvented, but now both grown to $2.43 Million
±, the City could prudently require the Developer to create a "Quality Designed Project".
However, these City/EDA subsidy funds and other inducements were used for the
Interim Land Owner MULTI-MILLION WINDFALL PROFITS leaving town and the resulting
Sterile Buildings, poor landscape and equipment scattered flat roofs to be viewed from the Rt.
330 Scenic Drive, existing "Mountain Shadows" Residential/Mobile Home owners, Sycamore
Heights, Carriage Hills and the future Highland Hills quality developments. In other words, the
City/EDA/City Attorney were apprised of how to make an honest "Good Deal" they choose to
GLORIFY themselves for the sake of MAKING A DEAL and in doing so made a pre-scrutinized
sucker out of their Council Peers, Local Citizens and Business.
City Attorney's July 15, 1991 Recommended Stubblefield 766% Density
Increase/Apartments Inconsistent to the City July 3, 1989 Updated General Plan/FEIR
and Inconsistent with the City Approved July 3, 1989 Highland Hills Homeowners
Association Settlement Agreement:
Also incorporated within my February 26, 1991 and January 10, 1992 Letter Report
Books to the City was my related September 5, 1991 letter. This letter related to the
contiguous Stubblefield "Mountain Shadows" $11.537 Million Damages against the City and
July 15, 1991 Stubblefield 766% Density Increase and Highland Avenue Commercial Benefits
recommended by the City Attorney; including the Wal-Mart Development Agreement
PITFALLS to the City/EDA of creating Interim Land Owner WINDFALL PROFITS from the
City/EDA paying the Highland Avenue Area Improvement Cost with other needed Project
Area Funds. Currently Wal-mart/Stubblefield have received City/EDA Highland Avenue Area
Improvement amounting to $1.2 Million ±.
HERITAGE OF THE MOUNTAINS AND VALLEY BEGAN IN 1650
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A VARNER W.HODGDON FAMILY GROUP AFFILIATE
Page 18
My letter also pointed out that the City Attorney's July 15 1991 recommended
Stubblefield 766% Density Increase, including, 480 high Density Apartments at east Rt.
330/City Creek Canyon 20 acre property was inconsistent with the City updated General Plan
and FEIR effective July 3, 1989, and that it was also inconsistent with the City approved July
3. 1989 effective date of the integrated City/Highland Hills Homeowners Association
Settlement Agreement. Rancho San Andreas North (RSA) Highland Hills Resort Golf Course
with no multi-family is immediately contiguous to Stubblefield. The "Mountain Shadows" and
"Highland Hills" Homeowners had previously opposed the 1986 Stubblefield proposed 492
Mountain Shadows Apartments and December 1987 Planning/City approved Highland Hills
Apartments of others. Subsequent with RSA working with the neighborhood homeowners,
Rancho San Andreas North (RSA) Highland Hills Plans of Development were considered and
designated the Preferred Land Use Grandfathered and Incorporated into the July 3, 1989
Updated City General Plan and FEIR.
RSA upholds Informed Giving to the City and Not Hidden Taking:
Copies thereof were forwarded to the City Attorney's Office for his purview and
response to RSA request for clarification, to which they would not respond, but not limited to,
the City Attorney's recommended; (1) Stubblefield July 15, 1991 Density Increase (123 DU's to
793 DU's), (2) Highland Avenue/Storm Drain Improvements, (3) Stubblefield Waved
Development Impact Fees, (4) Stubblefield Multi-Million Dollar Scheme for Rt. 330 Fill-
Material Sale to Caltrans/Contractor, (5) Stubblefield 480 high Density Apartments at east Rt.
330/City Creek Canyon, (6) Stubblefield City Initiated General Plan Amendment, (7) Wal-
Mart Development Windfall Profits, (8) Highland Avenue Non-Access and Limited Access
Cost to Wal-Mart Development, (9) Wal-Mart City General Plan Amendment(s), (10) Related
City and Superior Court approved July 3, 1989 City/Highland Hills Homeowners Association
Settlement Agreement at No Cost or Loss to the City, (11) Stubblefield $11.5 Million Damages
being "Grossly Excessive", and (12) the September 5, 1991 Warner Hodgdon letter forwarded
to Councilman Maudsley and the City Attorney for the City Record requesting City
clarification of their July 15, 1991 actions stated; Quote:
"Because of lack of communication or any notice from others and the ambiguous way the
July 15, 1991, City Council Agenda Item 38, July 23, 1991 and August 22, 1991, News
Articles reported same, RSA Company felt that I should write you this letter for the City
Record and request clarification, I am sensitive to these current City Actions and realize they
may have been brought about by trying to face the STUBBLEFIELD CHARGES AND
ATTACKS ON THE CITY. When the July 15, 1991, City Initiated General Plan Amendment
becomes correctly understood by the Press, the Public and residents in the area, hopefully
even greater litigation will not be caused. RSA Company is most anxious to help and as
always remains constructively motivated by our family's committed belief. that INFORMED
GIVING,and not HIDDEN TAKING, is to the mutual best interest of everyone."
(See attached July 23, 1991 Article,"S.B.will rezone tract to halt Stubblefield Trial")
(For reference:See Warner Hodgdon February 26, 1991 and January 10, 1992 Letter Report Books and Photologs RE:Wal-
Mart City/EDA Cost$550 thousand)
(See attached August 22, 1991 Article,"S.B.handed$291,164 bill in court fight against developer")
Stubblefield should not be Rewarded for Inept Handling of $11.537 Million Damages:
HERITAGE OF THE MOUNTAINS AND VALLEY BEGAN IN 1850
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Page 19
Stubblefield should not be rewarded for the City Attorney's inept handling of the April
2 1991 Stubblefield "Mountain Shadows" $11.537 Million Damages Against The City. and by
the City now; (1) giving/allowing east/west Rt. 330 Sub-Standard Primary/Secondary Access,
(2) accepting 50 year Stubblefield Development Agreements therefore and the City also
accepting the Deficiency/Maintenance Cost and other liabilities thereof, (3) Highland Avenue
Area Improvements giving/allowing City/EDA $400 thousand cost without reimbursement, (4)
City Special Sub-Standard Primary/Secondary Access Development Code Amendment
Legislation, (5) reduction of City Development Impact Fees (Multi Millions), and (6) west Rt.
330 44 acre Borrow Site and 500 thousand cubic yard ± to $2.5 Million Grading Plan
schemes for unneeded Caltrans/Contractor Rt. 330 Fill Material sale, which in truth was for 80
underlying Mobil Home Lots not in compliance to the July 3, 1989 Updated City General Plan
Hillside Management District, and west Rt. 330 Frontage Road Sub-Standard Primary Access
without Full-Standard Improvements.
RSA-Secret Hollow Ranch Sterling Avenue Area and Highland Hills Curtailed by City
Attorney; but Sworn Testimony used in Stubblefield $11.537 Million Damages Trial:
Accordingly, and beginning December 19, 1991, RSA has also been curtailed by the
City Attorney, but not limited to, from being allowed the Titled and recorded Full-Standard
Primary/Secondary Access to the Dedicated 1/22/86 Sterling Avenue Area. The former owner,
Arrowhead Service Corporation. was informed that the November 7. 1990 Planning/City
Attorney handling of Sterling Heights/Sterling Avenue Area had Vacated their prior titled
access, this was later proved not to be true. The Planning/City Attorney's November 7, 1990
Mis-Handling of the Sterling Heights Tentative Map and attempt as part thereof to vacate this
Dedicated Full-Standard Public Access for realignment by Sub-Standard Private Easement
Access was used in the Stubblefield January 28, 1991 $11.537 Million Damages Trial. As
further curtailment, but not limited to, on June 19, 1992 Warner Hodgdon/RSA allegations
were made by the City Attorney for Massive Grading and Tree Removal within the 1/22/86
Dedicated Sterling Avenue Area and RSA-Highland Hills for roads, curbs, gutters,
infrastructure (drains, pipelines, reservoirs) for House Lots and Apartment Pads. RSA did no
such activity and the City Attorney's actions have curtailed RSA causing great Damages.
City Attorney and Councilman Maudsley informed Widmeyer "Patton Hills and
Stubblefield "Mountain Shadows" Massive Grading and Infrastructure Construction:
Yet in truth, before December 23, 1991, Stubblefield had done the east/west Rt. 330
"Mountain Shadows" 283 acre Massive Grading and Infrastructure Construction (roads,
drains, pipelines, reservoirs, Small Canyon Streambed); including by June 1992 the Bull-
Dozing of Thousands of Boulders, Tons of Material, Debris, Trees and Stumps into the City
Creek Canyon Streambed. These Stubblefield existing unpermitted activities are parallel to the
existing and contiguous Widmeyer "Patton Hills" Massive Grading and Infrastructure
Construction completed by September 1992. A major portion of these unpermitted actions
were revealed to Warner Hodgdon (RSA) by Councilman Maudsley on December 23, 1991
and the City Attorney informed Warner Hodgdon of them on February 11, 1992. Councilman
HERITAGE OF THE MOUNTAINS AND VALLEY BEGAN IN 1850
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A WARNER W.HODGDON FAMILY GROUP AFMIATE
Page 20
Maudsley lives on Palm Crest Drive directly across from both Stubblefield and Widmeyer
unpenmitted Developments.
Stubblefield "Mountain Shadows" Mobile Home owners held as Economic Hostages
while the Wal-Mart Deal Siphons Windfall Profits out of the City:
While the Stubblefield "Mountain Shadows" Mobil Home owners are held as local
Economic Hostages by Stubblefield unconscionable and sophisticated lease agreements,
Multi-Millions to the out-of-town Interim Land Owner in WINDFALL PROFITS have been
siphoned out of the City by the November 6, 1991 Wal-Mart Development/Highland Avenue
Area Agreements alone. This includes, but not limited to, the $1.2 Million ± City/EDA
improvements Cost/Loss give-a-way, $550 thousand Deferred City Time Payments for Wal-
Mart Development Impact Fees and the $1.2 Million ± Highland Avenue "Access Benefit
Price" for the Non-Access/Limited Access Development Land "Added Value" thrown in by the
City, on what little the Wal-Mart Developer/Land Dealers had to pay the City.
City/EDA/IVDA Impact Cost/Loss $5.4 Million ± from Wal-Mart/Stubblefield Deal:
On October 21, 1993 the City/EDA approved another $11 thousand Change Order
addition to the $1.2 Million Wal-Man/Stubblefield Highland Avenue Area Improvements on
the consent calendar and without Public Comment. Ironically the S tubblefield/Wal-Mart
property fronting these Highland Avenue City/EDA Improvements are in the IVDA
Redevelopment Project Area. The major Wal-Mart Development buildings are not within the
IVDA Project Boundary and no boundary adjustment was provided by the City Attorney in
the November 6, 1991 Wal-Mart Development Agreement to capture these added IVDA
Incremental Revenues ($3.12 Million) needed to Off-Set Norton Job Loss and/or the City/EDA
improvement cost reimbursement ($1.2 Million ±) to the financially strapped City
Redevelopment Project Areas. The resulting total City/EDA/IVDA Impact Cost/Loss is $5.4
million ± not including the Wal-Mart Deferred City Development Impact Fees of $550
thousand over a four year Time Payment Plan.
Roger's Bindery Commitment to remain in San Bernardino was induced by City/EDA
Relocation Assistance:
800± Jobs with $10 Million Payroll:
Local Businessman Threatened Foreclosure by City/EDA with no Valid State UCC Filing:
At the same October 21, 1993 City/EDA meeting approving another $11 thousand for
Wal-Mart/Stubblefield $1.2 Million Improvements paid for by the City/EDA. a life long local
ocal
businessman employing 800± people at Roger's Bindery with a $10 Million Payroll was
threatened to be FORECLOSED on for being behind $56 thousand in reported City/EDA
Relocation Assistance payments. It is my understanding that the original 1983 City/EDA
action was to be a full Relocation Assistance Inducement of approximately $500 thousand for
Roger's Bindery to remain and expand Job Payroll in the City Project Area.
City/EDA Relocation Assistance Inducement:
HERITAGE OF THE MOUNTAINS AND VALLEY BEGAN IN ISS0
HEADQUARTERS:POST OFFICE BOX 2146,ARROV`HEAD SPRINGS,SAN BERNARDINO,CALZOORNIA 92406 IT
RESIDENCE MAILING:3295 BROADMOOR BOULEVARD,SAN BERNARDINO,CALEFORNIA 92404.(714)$83-0153 WW
A WARNER W.HODGDON FAMILY GROUP AFFILIATE
Page 21
Irrespective, Roger's has accrued in pay-back payments to the City/EDA of principle
($50 thousand ±) and interest ($250 thousand ±) for the total approximate amount of $300
thousand. Even this equation leaves a balance of only $200 thousand ± to the City/EDA now
questionable loan. There is substantiation to the 1983 understanding of City/EDA for full
Relocation Assistance Inducement without interest/principle reimbursement. The City
Attorney's Office, acting as Legal Counsel to the City/EDA, must have recognized this, as they
no longer continued required or make the applicable equipment collateral State UCC filing
covering the City/EDA Relocation Assistance Inducement. To this the City/EDA now desires
Mr. and Mrs. Imbriani to sign personal guarantees for City/EDA 1983 Relocation Assistance
balance, that it appears they do not owe.
City/EDA Consistency to Windfall Profits and Priority to Relocation Assistance Inducements:
To be consistent the Council and the City/EDA Commission should take positive action
to have the City Attorney stop and recapture the City/EDA Multi-Million Dollar improvement
and other cost, used for WINDFALL PROFITS given away to the out of town Interim Land
Owner and Wal-Mart/Stubblefield Development, and/or get personal guarantees for repayment
thereof, including $550 thousand deferred City Development Impact Fees. These recaptured
funds could be used to assist long committed Local Business Owners.
IN FURTHER PERSPECTIVE to Roger's Bindery 1983 City/EDA Relocation
Assistance Inducement and City/EDA participation, the City/EDA/IVDA recently approved a
signed Agreement to the U.S. Government offering $100 Million ± for Relocation Assistance
Inducement to obtain 4000 accounting office jobs to come to town on a 5 year Guaranteed
Lease only. Roger's Bindery has been a LOCAL Company in business 27 years with 800
employee and $10 million payroll. In Ratio, Roger's Bindery should be given the same equal
treatment as offered to the U.S. Government, under the same employee Ratio Roger's Bindery
would be offered $20 Million, not threatened to close the firm down because the City/EDA
fails to recognize their 1983 committed Relocation Assistance Inducement payment of $500
thousand, which has been voluntarily paid down by Roger's Bindery to approximately $200
thousand ±.
Roger's Local Transportation Cost and City/EDA Investment Property and Utility Taxes:
The Roger's Bindery 1983 commitment to stay and expand in San Bernardino was at
the price of also facing major added future transportation cost in the monthly $50 thousand '
range. This is required because their major finished product distribution is in Orange and Los
Angeles Counties. In addition to the questionable Relocation Assistance principle and interest
payments of $300 thousand ± voluntarily paid by Roger's Bindery to the City 1983-1993
Roger's Bindery has paid hundreds of thousands of dollars to the City/EDA for Project Area
Incremental Property Taxes and Utility Taxes. It is my understanding this now equates to
approximately $100 thousand ep r year in 1993.
The City/EDA watched the related U.S. Regional Post Office with 1500 employees
move from South E Street San Bernardino to a new Multi-Million dollar facility in Redlands
and since expanded. Gross Revenues are $550 Million ±, of which Roger's Bindery supports
$140 Million thereof. A reasonable case could be made that without Roger's Bindery
City/EDA 1983 Relocation Assistance Inducement for consolidation and expansion in the
City/EDA project area, the new Regional Post Office may never have been built because
without Roger's $140 million Postal Revenues generated, the Regional Post Office would have
operated at a Loss.
HERITAGE OF THE MOUNTAINS AND VALLEY BEGAN IN 1tSo
QHEADQUARTERS:POST OFFICE BOX 2146,ARROWHEAD STRINGS,SAN BERNARDINO.CALIFORNIA 92406
RESIDENCE MAILING:329S BROADMOOR BOULEVARD,SAN BERNARDINO,CALIFORNIA 92404,(714)933-0153 WW
A WARNER W.HOOGDON FAMILY GROUP AFFILIATE
Page 22
Norton Direct and Indirect Job Loss 27,000 and No Re-Placement Jobs:
The City/EDA/IVDA has watched from 1988-1993 27,000 Direct and Indirect Jobs
Leave Norton AFB with $1.8 Billion Economic Impact Loss. After the fact the City/EDA/IVDA
offered $100 Million to the U.S. Government for replacement of 4000 Jobs. They have
currently spent over $11 million, while not confirming one replacement Job as yet. Roger's
Bindery knows it business, it is only short of Capital caused by growing pains and Customer
Failures effected by the Poor National Economy.
City/EDA should not be shortsighted:
The City/EDA should not be short sighted and run good local people through the
public ringer and Community TV Channel for needless political purposes, and lack of
City/EDA know how that could result in the demise of an existing viable Local Business.
Rather than this unnecessary Public Display causing Roger's Bindery to lose business, Roger's
Bindery should be offered a well thought out City/EDA Development Agreement structured
for the reinforcement of the approximate 2300 Direct and Indirect existing Jobs effected over
the long term. Roger's Bindery has struggled to stay in town and not leave; while Multi-
Million Dollar Windfall Profits are thrown away by the City/EDA to out of town Pirates for
$50 Billion Wal-Mart; and without personal wife and husband guarantees or thought of ever
returning it.
John Dukes California Street/Medical Center Drive Area Capital Investment $18
Million:
City/EDA Community Hospital $8.5 Million Guarantee and $50 Million Capital
Investment/300 Jobs:
$18 Million Capital Investment and thousands paid to City/EDA Incremental Project and Utility Taxes:
The John Dukes and City/EDA project loan matters in the related West California Street
and Medical Center Drive Redevelopment Project Area were also discussed at the October 21,
1993 City/EDA Meeting. In perspective, Mr. Duke's development's Capital Investments have
reached approximately $18 Million ±. These projects have greatly improved the quality of the
area by 300 DU's ± and generated major City/EDA Public Revenues in terms of Project Area
Incremental Property Tax and Utility Taxes alone.
City/EDA $8.5 Million Relocation Inducement and Guarantee:
More importantly, the City/EDA has just approved a November 1993 $8.5 million Loan
Guarantee for the construction of a new Community Hospital Professional Building. The
building is required as RELOCATION INDUCEMENT to have Physicians relocate their offices
to the area and is vitally essential to support the Hospital's Economic present and future
Economic Viability. Mr. Duke's previous years of hard work and commitment, at the
encouragement of the City/EDA, has greatly encouraged the economic viability of this overall
California Street and Medical Center Drive area. Thus creating a major environmental
improvement to preserve the present and future resources to pay the existing $50 Million ±
Community Hospital Debt Service, it's related hundreds of Jobs and new $8.5 Million
Professional Building. The City/EDA Legal Counsel is the City Attorney, he did not suggest or
HERITAGE OF THE MOUNTAINS AND VALLEY BEGAN IN 1830
HEADQUARTERS:POST OFFICE BOX 2146.ARROWHEAD SPRINGS.SAN BERNARDINO.CALIFORNIA 92406
RESIDENCE MAILING:3295 BROADMOOR BOULEVARD.SAN BERNARDINO.CALIFORNIA 92404,(714)X"IS3
A WARNER W.HODGDON FAMILY GROUT AFFMIATE
Page 23
require the personal HUSBAND AND WIFE GUARANTEES of the Hospital Board of Directors
and Chief Operating Officer as part of their November 1993 $8.5 million requested Loan
Guarantee from the City/EDA.
In a productive perspective, Mr. Dukes and the City/EDA have worked together and
more than paid their way by creating the $18 Million ± California Street and Medical Center
Drive Area upgraded Residential Developments. What possible perspective could this be
vgi en in or light compared to Multi-Million Windfall Profits thrown away y the City/EDA
to out of town Pirates for $50 Billion Wal-Mart.
The Sun's November 14, 1991 Editorial Scrutiny is Correct:
Everyone agrees with the principle of The Sun's November 14, 1991 Editorial Staffs
observation and "Pooper Scooper" Editorial cartoon depicting the City Attorney's Wal-Mart
"Good Deal" Scrutiny. However, I believe the Council and Public should also carefully
SCRUTINIZE these various City/EDA Development Agreements, including any future
Settlement Agreement for the Stubblefield $11.537 Million Damages against the City before
and after the City Attorney's further recommended approval(s).
I have long admired the City Attorney's Qualities, which include years in working at the
West Side Home of Neighborly Services on Mt. Vernon Avenue, going concurrently to the
San Bernardino State College in the 1970's, graduating from Western Law School, passing
both the Baby Bar and the California State Bar examinations to enter practice in the early
1980's, rise to his mid-1980's present position and strategy for perspective higher office
beyond.
Closed City Council Sessions are not for the City Attorney or anyone else to hide "Bad
Deals". Lets all work together openly, with knowledgeable minds. The City does not need
costly Political Wheeling and Dealing, with the blighted deterioration of the overall City left
behind, but honest Good Deals that help everyone and creates some Jobs.
Deteriorating Neighborhoods and the City cannot Sustain Police/Fire 60% of Budget Cost:
Productive Focus to well manage the existing residential neighborhoods before they
are all lost and retention of the Job Base are essential. To combine this with the overall
residential Quality of Life for the entire East Valley Community Area(s) growth is the required
long term foundation for New Jobs and the appreciation of every Business, existing and future
Citizen's Home Equity Values. Residential neighborhoods are the largest single personal
capital investment and generation of Public Revenue Resources, i.e. it is good neighborhoods
that retain existing Jobs and encourage New Jobs. If this neighborhood deterioration is not
addressed immediately, government cannot hire enough Law and Fire Enforcement or even
sustain the pay for those now equipped for service. The City Police and Fire Cost are 60%±of
the total City Budget.
My family's Community Interest concerns are to the total picture of accumulative
negative effects occurring within the City, their drain on limited City Budget Resources and
HERITAGE OF THE MOUNTAINS AND VALLEY BEGAN IN 1850
HEADQUARTERS:POST OFFICE BOX 214,ARROWHEAD SPR94GS,SAN BERNARDINO,GLMORNIA 92406 IT
RESIDENCE MAILING:3295 BROADMOOR BOULEVARD.SAN BERNARDINO,CALIFORNIA 92404.(714)883-01S3 WW'
A WARNER W.HODGDOH FAMILY GROOT AFFILIATE
Page 24
curtailment of future Public Revenue Resources. An updated City Overall Physical, Fiscal and
Legal Plan(s) of Development is pre-requisite to Promote Capital Investment and Long Term
Positive Result.
We stand available to receive your call response or to meet with you and others in
Productive Focus.
Sincerely,
�Z�C/GZvr'u.CiSll/,
Warner W. Hodgdon
CC: Mayor and Common Council
Shaun Clark,City Administrator
James F. Penman,City Attorney
Al Boughey,Director of Planning and Building Services
HERITAGE OF THE MOUNTAINS AND VALLEY BEGAN IN ISSO
HEADQUARTERS:POST OFFICE BOX 2146,ARROWHEAD SPRINGS,SAN BERNARDINO,CALEPORNIA 92406
RESIDENCE MAILING.3295 BROADMOOR BOULEVARD,SAN BERNARDINO,CALIFORNIA 92404,(714)883-0153
A WARNER W.HODGDON FAMILY GROLR AFFILIATE
Mayor: Stadium's chances 50-50J,
13yPAW.OBMumtae existing stadia elsewhere in the to front the money (for a stadi-
Sun Sports Editor country. um)." ,
A committee appointed by Mf- Estimates at the expense of of
Mayor Tom Minor said Sun- nor recommended a tract on the 5,000-Capacity ballpark are in the
day he believes the chances of grounds of the National Orange $5 million range, with the price'.
San Bernardino building a 5,000- Show as the most economical site tag perhaps doubling inland must;
capacity baseball stadlunf in time for a stadium that would house be purchased. not
fbr the 1995 season are "a 50-50 the San Bernardino Spirit of the Minor said a ballpark is not
shot.~ Single-A California League. the to
Minor and his staff ho to There Is strop sentiment strapped p priority u his S one of-Ili:
hope g piled dty."But it'a one of thy`
present the issue to the City however, for examining the top ones. We want to get moving;
Council at Its Feb. 7 meeting, a . south-of-downtown site. That on this because time Is-of the ea;'•
two-week delay from today's orig- site,however,probably would en- sence."
Inal target date. tall signifleant Investment for the Spirit officials have said the
Minor and others cited two purchase of the land from various franchise likely will be moved if 4
reasons for the delay. private and corporate entities. new ballpark is not In place by:
R To allow Minor to meet this The seven-member council 1995.The club will play one more
two weeks ago indicated a majori- season in Fiscalini Ffeld.
week with property owners of an ty would be In favor of a new ball- ''I think it's going to get:
area south of Rialto Avenue and park if It were financially feasi- done." Spirit general manager.
west of E Street in an underde- bla. Among the options being Jim Wehmeier said. "We remain
veloped corridor between the Ca- studied is a bond issue to be pig- optimistic."
rousel and inland Center malls. gybacked on the$100 million Su- Said Chuck Terrell,chairman:
�
O To give city stafrmore time per Block. But that issue is a of the mayor's fact-finding com`
to examine methods of debt-re- long way down the.road,"said.Xi- Wee:"I think it's an l '' rediibly;
tiremeiPt and multiple use at nor. "We'd need 1h fund someone '�'ritical issue for this comlf unity.
'Catharine Hamm The Sun
Asst Managing Section B
Editor/Metro Monday ;
(909)386-3874 January 10, 1994
Fax(909)885-8741 Metro Final
grant
would dd
2 officem !
0
i
■ The Police Department POLICE
applies for$1.9 million of a
program to fight crime. thg 174 fugitives.
Some 42 percent of the city's
By RICHARD BROOKS general fund goes to the Police
Sun Staff Writer Department and its 256 officers.
"Despite the fact that most of
High crime rates and the lin- our personnel are deployed in pa- ;
gering recession may help San trol-related functions,it is not un-
Bernardino snag a $1.9 million common for our calls for service
federal grant that would put 23 to back up 30 to 40 calls on the ;
new police officers on the street. weekends because of the violent
In the FBI Crime Report
crime within our city. ;
1992, d "In some extreme cases
firstfirst San Bernardino was ranked patrol officers have handled over
in the state and 13th in the
nation with respect to crime 50 calls for service each during
rates,"says the 54-page grant ap- one 10-hour shift."
plication."During the first half of The city's tax base can't sup-
1993, San Bernardino had the port a major increase in the po=
highest murder rate in the state." lice budget,the report suggests.
Cities throughout the nation "San Bernardino has experi-
are competing for a share of the enced several major business clo-
$150 million program. sures within the last...year and
Fontana recently won amehnttltrate is 6 percent.Eve
$500,000 to hire five officers. A more telling is the fact that our
decision on San Bernardino's ap- unemployment rate has been ap-
plication is expected-this month. proximately twice the national .
San Bernardino's new officers average for each of.the past five '
would be hired and trained in years ... (and) 34 percent of the ,
three groups, with the earliest population is on welfare." ;
graduates tutting the streets in It amounts to a bleak portrait, ;
November. The city's three-year but that's what is needed to win
cost would be$2.8 million.At the federal help, said Acting Police
end of that period, the officers Chief Wayne Harp.
would be incorporated into the Increased street patrols are a
department budget. fundamental factor in lowering
The grant is needed because crime rates,he said.
city government has done all it "About a third of (officers')
can to control the crime problem, time should be available for ran-
the application says. "Our in- d o m patrol. Our last stud y
crease in crime over the last de- showed that less than 10 percent
cade has been attributed to an — probably about 5 percent —
exodus of gang members and oth- was available,"Harp said.
er criminals from the city of Los The crime rate seems to be
Angeles,"police wrote. leveling off statewide, but that
More than 2,100 gang mem- doesn't change the bottom line,
bers belong to 10 major gangs Harp said. "There's probably
within the city,they said.And 874 going to be very few cities more
parolees were believed to be liv- deserving of federal assistance
ing in San Bernardino—inciud- than San Bernardino."
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Caths�u�Hamm The Sinn
%tssL manatl O°
Edtbor/Metro; Monday,
(90I�885-974ffmkefto
386-3874. February 7,1994
1, Fax(909 ;
ity. _II
�J
. ,Cm
see
.... .. .. ■11� 'On* s , ,t6- -
S-
■ The City Council will THE ARTS:,
consider four alternatives for
:dealing with the theater allow it to eventually offer shows'..
The theater group has notified its
"groups financial problems at subscribers that it will not be pre-�
today's meeting. r'` senting its spring slate of plays
B Mnitoo Wltsop The city:has offered to stop
y foreclosure prgCeedin�gs, take
Sun Staff Writer` ;;" over the theater'and=fo
give the
SALT BERNARDINO The $100,000 debt, but.CLO officials
fate of the Civic Light Opera will t have rejected ttiatffer �'•; i.
be deliberated.foci Today, the council Will re=
ay.:when the cenve-.a CLO`letter saylhg Ytlie
City'Council considers ways of group is refusing the city's offer.-
dealing with the organization's fi- The council will consider.'
Pmt ""` ■ Reaffirming its previous action
City staff is asking the council and.directing staff,to continue
to consider several courses of ac- with foreclosure proceedings. ,
tion against.the-CLO._The meet- ■ Authorizing staff to purchase
ing begins at'11 8.m in council .the theater from,. the' CLO for 1
chambers in City Hall..Members r$500,000':anci' ifi'g'Eli ,'O
df;ihe public.s can-speak::.:to;the -credit•for°"the $t0S;500 already
council paid on the loan.Ve-*Js-Ia s:&* j
The CLO, San Beinardino's, Granting the-CLO$500,011
premiere theatrical,.group„is,$1 help it restructures j-,•,
million in debt and owes`the'raty H Loaning the CL0,$500,000,that
$100,000 on=a 90-day loan it re- : would be paid off'under,ternis !
ceived.last fall: spelled-out in a five-year business
plan the CLO,*drawn uprt! t:
Aitough 66-C L O has paid San Bernardino isn't the only '
$100,000 p.lusanterest on-the offer the theater group has're-
$200,000:1oan,the city has started ceived. Theater Corp. of Amer*-
foreclosure proceedings on the
CLO's California -Theatre. CLO ca,which runs the n'saderna'The- .i
ater, and Chil"lien's"Sforytiook
officials say they intend to pay Theater in :Riverside, with'ahe
back the loan if they,are given Riverside Civic Light Opera,have
more time. had discussions-with CLO offi- j
.CLO is restructuring and is vials.And a New York group has
working toward a plan that will . shown some interest.' j
WIDE
Re"I mds wip'
aademic
decathlon/M.
0 `near
closure
Aver debt.
toS
*Be
l ,M owuam
:. The San Bernardino Civic
fight Opera will not stage its
gpring season because it is deeply
ia,debt and,may:lose all its prop-
Oty,}ncluding,the,California
;. peatre,;of the gerforming Arts;"
officials said Tuesday
Gene Wood:':secretary of Efie
j.O board;said the action te-
nse Ito problems tli� CLO.has,
in hack Vin' ;?00,000...
Ioan floor the ",ty'',� �- '•= -
A3 Tfi San Bernardino City,
Council voted' Monday to fibre-.
fore-.
close against the CL0's property,
Which includes the California
Theatre doW.n-town, :two office
buildings.and`a scene, prop and
costume studio:
K own .bf Its quality theat-
rkal performances;the:Civic
I)jght Opera.has".been a cultural
cornerstone of the Inland Empire
fdr 47 years._It.annually.stages
about 70 performances and in re-
cent years has drawn-Q0,000 peo-
Ole each year to its'productions. .
r: This year;:the'CLO won't be
staging`"WesWde Story,7. which
*vas to ooi next month of its oth-
er spring performances; 'Nun-
pse" =aniF"Sophisticated La-
• Wood.said that if the CLO.can
tgise,$100,000 to bail-
a out the the-
ater nd find away to pay off the
Woup's total debt of $500,000,
three smaller plays could be
staged later this season . '
. Acting as the Community De-
velopment Commission, the City
Council opted to foreclose on the
CLO property because the group
has failed to pay off'a $200,000
loan, council members said. The
CLO put its property up as collat-
eral last fall when it got the 90-
day loan to help launch its fall
season. So far;the CLO has paid
See THEATER/Back page
-CLO looks back on proud history.
p
me Sun Over the years,the CLO oversaw ren- J,'
ovations at the California Theatre, ac-
The San Bernardino Civic Light Op- uired a 4,000-square-foot building on
era has a rich history. rMon Boulevard,two office buildings on,'..-
The lorgahization was.founded by the North E Street,.a warehouse in Mira
late Alexandra Grow Jenks in 1948.Her Loma and what C.Dale Jenks called the
'husband, C. Dale Jenks, began working largest collection of scenic props in the
for the organization as a bac United States. ..
g kstage prop- C_:t,
erty person in 1949. He eventually be- More recently, in August 1992, CLO
came the organization's business man- received widespread attention outside' .
ager, and later general manager. He the Inland Empire when it played host to
retired last August. the West Coast premiere of"Annie War-'
CLO owns the California Theatre of bucks," ee,sequel to the Broadway mu-
Performing Arts in San Bernardino, _
which it purchased from the city in 1984 -; .The group occupies one of the few re-
for the below-market.price of$150,000, maining historically-significant buildings
with the provision it would make the in downtown San Bernardino and the:!_
building available to other arts groups at building previously served as a vaude-`e
cost. W'.
vi0e theater and move house.
''heater
CLO s
:
z, truggles to repay loan to S.B.
CaWnued from Al the city would vote to foreclose on the The CLO always has prided itself on
the city$100,000 in principal and inter- CLO's property der the many cdntribu- not
taking government subsidies as do
est. lions the group has made to the city's cul- most other arts groups,said Wood,who
'- - tural life. added that those m be over.
'�'Councilwomen Valerie Pope-Ludlam � . a3'
r and Norine Miller opposed the foreclo- She said it's'Just a little bit of over- Wood'said the CLO board has voted
sure action. kill"for the city to foreclose against the to restructure the CLO and the group is
theater, which she said is valued at soliciting suggestions from its subscrib
The council held a closed session $750,000, as well as all the other CLO ers about whether they think the CLO
'Monday night to discuss the matter.The propel,, when the debt totals oN should survive, and if so, in what form.
CLO Previously had asked the city to buy $100,000 and the CLO is y The CLO also is studying-tie California Theater-for$600,0.00 and Ong efforts money, dying ways to raise
re the remaining to repay the loan.. y,including a benefit featuring for-.
o arcing $100,000 of the bier CLO stars
loan flfom the city,Pope-Ludlam said When the CLO sought the loan last The CLO also will be`asking season
The council rejected the request. fall; group officials"-blamed the poor ticket holders to donate the money
- < .. economy for falling ticket sales.CLO offi- they've already paid to the CLO for their.
:._Evelyn ,Wilcox, chairwoman*of the cials said the group lost. $300,000 to tickets, but the group will try to refund
GLO board and former San Bernardino $400,000 when it hosted the West Coast ticket money if asked according to
mayor,skid it's a"sad'commenta%r','that premiera of"Annie Warbucks"in 1992. Wes, -,;r '