Loading...
HomeMy WebLinkAbout09-28-1987 Minutes City of San Bernardino, California September 28, 1987 This is the time and place set for an Adjourned Regu- lar Meeting of the Mayor and Common Council of the City of San Bernardino at their Regular Meeting held on Monday, September 21, 1987, at 9:06 a.m., in the Council Chambers of City Hall, 300 North "0" street, San Bernardino, Cali- fornia. The City Clerk has caused to be posted the Notice of Adjournment of said meeting held at 9:06 a.m., Monday, September 21, 1987, and has on file in the Office of the City Clerk an Affidavit of said posting together with a copy of said Order which was posted at 9:30 a.m., Tuesday, September 22, 1987, in a conspicuous place on the door of the place at which the meeting of September 21, 1987, was held. The Adjourned Regular Meeting of the Mayor and Common Council of the City of San Bernardino was called to order by Mayor Pro Tempore Reilly at 9:07 a.m., on Monday, September 28, 1987, in the Council Chambers of City Hall, 300 North "0" Street, San Bernardino, California. INVOCATION The Invocation was given by Phil Arvizo, Executive Assistant to the Council. PLEDGE OF ALLEGIANCE The Pledge of Allegiance was led by Council Member Reilly. ROLL CALL Roll Call was taken by the City Clerk with the fol- lowing being present: Mayor Pro Tempore Reilly; Council Members Reilly, Flores, Maudsley, Pope-Ludlam, Miller; Sr. Assistant City Attorney Barlow, City Clerk Clark, City Administrator Schweitzer. Absent: Mayor Wilcox; Council Members Estrada, Minor. COMMUNITY DEVELOPMENT COMMISSION/REDEVELOPMENT AGENCY - SPECIAL MEETING The Special Meeting of the Community Development Commission/Redevelopment Agency was called to order by Acting Chairman Reilly in the Council Chambers of City Hall, 300 North "0" Street, San Bernardino, California. RECESS SPECIAL MEETING - CLOSED SESSION AT 9:10 a.m., Council Member Pope-Ludlam made a mo- tion, seconded by Council Member Flores and unanimously carried that the Special Meeting of the Community Develop- ment Commission/Redevelopment Agency recess to a Closed Session for action by the Mayor and Common Council and the Community Development Commission pursuant to the following Government Code Sections: (R-l) 54956.8, 54956.9(a) and 54956.9(c) to discuss real property transactions and potential pending litigation; 54956.8, to meet with its negotiators (Haagen Devel- opment Corporation) to discuss the terms of disposition of certain real property generally located at Baseline and Medical Center Drive; 1 9/28/87 54956.9 (a) to consider the pending litigation Rede- velopment Agency of the City of San Bernardino vs. Willie Clark, et aI, Superior Court, San Bernardino, Case No. "2376".r;---- CLOSED SESSION At 9:10 a.m., Acting Chairman Reilly called the Closed Session of the Community Development Commission/ Redevelopment Agency to order in the Conference Room of the Council Chambers of City Hall, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken with the following being present: Acting Chairman Reilly, Council Members Reilly, Flores, Maudsley, Pope-Ludlam, Miller; Sr. Assistant City Attorney Barlow, City Administrator Schweitzer. Absent: Mayor Wilcox; Council Members Estrada, Minor; City Clerk Clark. Also present: Glenda Saul, Executive Director of the Redevelopment Agency; Steve Deitsch, Redevelopment Agency Counsel. COUNCIL MEMBER ESTRADA ARRIVED Council Member Estrada arrived at the Closed Session. ADJOURN CLOSED SESSION At 10:00 a.m., the Closed Session adjourned to the Special Meeting of the Community Development Commission/ Redevelopment Agency in the Council Chambers of City Hall, 300 North "D" Street, San Bernardino, California. RECONVENE MEETING At 10: 00 a. m., the Adj ourned Regular Meeting of the Mayor and Common Council reconvened in the Council Cham- bers of City Hall, 300 North "D" Street, San Bernardino, California. ROLL CALL Roll Call was taken by the City Clerk with the fol- lowing being present: Mayor Pro Tempore Reilly; Council Members Estrada, Reilly, Flores, Maudsley, Pope-Ludlam, Miller; Sr. Assistant City Attorney Barlow, City Clerk Clark, Ci ty Administrator Schwei tzer. Absent: Mayor Wilcox; Council Member Minor. PUBLIC COMMENTS There were no public comments received. (A) HOUSING WORKSHOP In a memorandum dated September 24, 1987, Kenneth J. Henderson, Director, Community Development, stated that pursuant to previous Council action, the Mayor and Council will discuss various aspects relating to the housing mar- ket study conducted by Empire Economics, Inc., and current housing programs administered by the Community Development Department and the acquisition/rehabilitation/resale com- ponent of the City Infill Housing Program. (1) Mr. Henderson explained the purpose of the workshop and introduced Joseph Janczyk Evans, Ph. D., who has studied major housing projects in the Inland Empire. Dr. Evans presented his study and explained its pur- pose, which is to assist the Community Development Depart- ment with formulating a comprehensive housing policy to guide the City in its efforts to promote a full mix of housing options for its present and future residents. 2 9/28/87 Dr. Evans gave a synopsis of the key definitions and assumptions underlying the study. He then defined the market segments the City of San Bernardino is looking at, as follows: Custom Homes Detached Homes Townhomes Apartments Low/Mod: Rentals Move-Up Homes Patio Homes Condominiums Low/Mod: Ownership Dr. Evans explained how the report to derive our optimal housing mix for the City of San Bernardino is based on housing available in the East Valley market re- gion. By the use of a Bar Chart, Dr. Evans illustrated optimal units as compared to actual units in San Bernar- dino and explained what should be done to derive the per- centage of change required to reach optimal mix of housing products. The chart showed that San Bernardino has the greatest deficiencies in the custom and move-up housing and greatest surplus in the areas of detached, patio-homes and condominiums. The definition of Custom and Move-Up Homes, as con- tained in the report is as follows: "The Custom and Move-Up market segments are primarily for affluent households who desire a spacious house with a large yard area. The custom and move-up homes are similar in that they are single-family detached units with rela- tively high prices: above $100,000 for move-up homes and at least $150,000 for custom homes. But they differ in that the custom homes are typically 'custom' built by contractors specifically for the owner (who typically purchase the lot separately), whereas move-up homes are built on a mass production 'tract' basis. Households who purchase custom and move-up homes typically have a strong desire to live in a high amenity neighborhood with a 'quality' level of public services, such as police/fire and schools. Finally, they also place a high value upon their time, and so they prefer to minimize the commute between their place of employment and their residence." The definition of Detached and Patio Homes, as con- tained in the report is as follows: "The Detached and Patio Homes market segments are for households who are purchasing their first housing unit; the term 'detached' refers to the traditional single- family detached entry level home on a lot of some 7,100 sq. ft. By comparison, patio homes are also detached but they are on smaller sized lots, typically some 4,000-6,000 sq. ft. Most of the households in this segment of the market are motivated to purchase a single-family home, since they have young children or are planning to start a family in the near future. The price sensitivity of house- holds in this market segment has been demonstrated in recent years by their willingness to commute substantial distances, typically from Los Angeles to the East Valley as well as the Desert Regions! Additionally, developers, in an effort to reduce prices, have introduced new product types such as patio homes on lots of about 4-6,000 square feet; these products often have zero lot line configura- tions.1I Dr. Evans stressed the need for the City to provide services in the foothill areas for housing as defined in the report, Master Plan type of concept for those custom and move up and to establish a foothills. 3 9/28/87 Dr. Evans answered questions of the Council regarding low and moderate housing, and the demand for move-up and custom housing in San Bernardino. Ken Henderson, Director, Community Development De- partment, introduced John Trauth, Housing Consultant, and presented a Proposed Concept Paper for the City of San Bernardino - Acquisition/Rehabilitation Program for HUD- acquired properties. The report addresses the cyclical pattern of abandon- ment of repossessed and foreclosed homes, estimating that there are at least 250 vacant homes in the City which have been abandoned, and most of these are on the West Side. The report sets out a concept for an acquisition/ rehabilitation program for HUD-acquired properties whereby the City would pre-qualify a pool of potential low and moderate income first-time homeowners. Concurrently, the City would establish standards with HUD for identifying HUD-acquired homes which would be best suited for this program. Houses selected would be sold to the City at 90% of the appraised value, less the rehabilitation cost esti- mate. The City will arrange through local private agencies the purchase and rehabilitation for these homes for resale. The private agency will rehabilitate the home, and sell it to a pre-qualified home buyer. Proceeds from the sale will payoff the City's rehabilitation loan and provide a profit to the private agency. As an incen- tive to the new property owners, the City will forgive a $5,000 lien which was placed on the property at the time the City purchased the property from HUD. Forgiveness will take place at the rate of $1,000 for each year that the property owner remains in the home. Mr. Paul Beals, President of the San Bernardino Valley Board of Realtors, stated that the report has many good points, but also some bad points. He felt that the report overestimates the number of HUD repossessions in the City, that there are probably only three or four with- in the City limits, and the rest are outside the City limits. He stated that some of the property could be in foreclosure and that it would be months before the City could take possession. In the meantime, the City would be making the payments on the property. He also pointed that the HUD appraisals are unrealistically high, so the City would have the property, paying inflated prices on a home on which costs can't be recovered. Mr. Beals also complained it would be cutting into the private business sector by soliciting buyers for these rehabilitated homes. Mr. Michael Hagan, California Pacific Properties, explained that he had been in the rehabilitation business since 1977, and stated that this proposal will not solve the problem of deterioration of land values on the west side. The holding costs on the homes that the City has could be approximately 1 1/2% per month. He also stated that the City cannot fix up one home in the middle of a block and expect surrounding property owners to upgrade their properties. Carl McWilliams stated that the program won't work and suggested, to prove his point, that the City issue Request for Proposals (RFP) to the private sector and see if anyone responds. 4 9/28/87 Council Member Estrada made a motion, seconded by Council Member Pope-Ludlam and unanimously carried, that the reports on the San Bernardino City's Optimal Housing Product Mix and the Acquisition/Rehabilitation Program for HUD-Acquired Properties be referred to the Council's Low and Moderate Housing Committee composed of Council Members Estrada, Pope-Ludlam, Miller (as an alternate for Council Member Minor). RESOLUTION OF THE CITY OF SAN BERNARDINO ESTABLISHING RATES IN CONNECTION WITH THE DISSEMINATION OF COPIES OF "THE CITY OF SAN BERNARDINO OPTIMAL HOUSING PRODUCT MIX, RECENT TRENDS, FUTURE EXPECTATIONS AND POLICY CONSIDERATIONS HOUSING REPORT" TO THE GENERAL PUBLIC. (4) The Mayor and Common Council discussed the recommen- dation that there be a charge of $500 for a copy of the Optimal Housing Product Mix Report. Ken Henderson, Director, Community Development, answered questions regarding the proposal. Sr. Assistant City Attorney Barlow also answered questions regarding the Public Records Act. Council Member Pope-Ludlam made a motion, seconded by Council Member Estrada, that the Resolution regarding charges for the Optimal Housing Product Mix be continued to October 5, 1987, in the Council Chambers of City Hall, 300 North "D" Street, San Bernardino, California. The motion carried by the fOllowing vote: Ayes: Council Members Estrada, Reilly, Flores, Pope-Ludlam, Miller. Noes: Council Member Maudsley. Absent: Council Member Minor. RECESS MEETING - CLOSED SESSION At 12:07 p.m., Council Member Pope-Ludlam made a motion, seconded by Council Member Flores and unanimously carried, that the Adjourned Regular Meeting recess to a Closed Session pursuant to Government Codes Section 54956.9(a) to confer with its attorney regarding pending litigation which has been initiated and to which the City is a party as follows: (2) City of San Bernardino vs. California Construction Management Inc., et al - Case No. 238755 Saldecke, et al vs. City of San Bernardino, et al - Case No. 236836 Cable Lake Associates vs. City of San Bernardino Common Council, et al - Case No. 238714 City of San Bernardino, et al vs. The San Manuel Band of Mission Indians, et al - Case No. CV-85-6899 WJR Saab vs. City of San Bernardino - Case No. 234561 Harris vs. City of San Bernardino - Case No. CV-87 04882 JSC (GX) U. S. Department of Labor vs. Inland Manpower Association, Administrative Law Judge, Case No. 85-CTA-55 5 9/28/87 DeTinne vs. City of San Bernardino- Case No. 82B-003-2l4093 DeTinne vs. City of San Bernardino - Case No. 83B-054-222068 Summers vs. Meyers - Federal District Court Case No. CV 83 5814 and Case No. 83A02l WCAB SETTLEMENTS Paul Gould - Fire Department - 86 SBR 122968 Barry Mallek - Police Department - 86 SBR 120562 Bill Brandon - Fire Department - 87 SBR 128151 Ernest Glass - Fire Department - 84 SBR 104191 Geraldine Longfellow - Police Department _ 85 SBR 108292 Ruth Seley - Fire Department - 86 SBR 116166 CLOSED SESSION At 12:07 p.m., the Closed Session was called to order by Mayor Pro Tempore in the Conference Room of the Council Chambers of City Hall, 300 North "D" Street, San Bernar- dino, California. ROLL CALL Roll Call was taken with the following being present: Mayor Pro Tempore Reilly; Council Members Estrada, Reilly, Flores, Maudsley, Pope-Ludlam, Miller, Senior Assistant City Attorney Barlow, City Administrator Schweitzer. Ab- sent: Mayor Wilcox; Council Member Minor; City Clerk Clark. Also present: Kevin Sovereign, Liability Claims Specialist; Attorney Ron Burford; Deputy City Attorney Wilson; Deputy City Attorney Redd. MR. Mr. Session. SOVEREIGN AND MR. BURFORD EXCUSED Sovereign and Mr. Burford left the Closed DEPUTY CITY ATTORNEY WILSON EXCUSED Deputy City Attorney Wilson left the Closed Session. COUNCIL MEMBER ESTRADA EXCUSED At 12:40 p.m., Council Member Estrada left the Closed Session. CITY CLERK ARRIVED At 1:00 p.m., City Clerk Clark arrived at the Closed Session. CITY CLERK EXCUSED At 1: 10 p.m., City Clerk Clark left the Closed Session. ADJOURN CLOSED SESSION At 1:10 p.m., the Closed Session adjourned to the Adjourned Regular Meeting of the Mayor and Common Council in the Council Chambers of City Hall, 300 North "D" Street, San Bernardino, California. 6 9/28/87 RECONVENE MEETING At 1: 10 p.m., the Adjourned Regular Meeting of the Mayor and Common Council reconvened in the Council Cham- bers of City Hall, 300 North "0" Street, San Bernardino, California. ROLL CALL Roll Call was taken by the City Clerk with the fol- lowing being present: Mayor Pro Tempore Reilly; Council Members Reilly, Flores, Maudsley, Pope-Ludlam, Miller. Sr. Assistant City Attorney Barlow, City Clerk Clark, City Administrator Schweitzer. Absent: Mayor Wilcox; Council Members Estrada, Minor. SAAB VS. CITY OF SAN BERNARDINO - SET PUBLIC HEARING - OCTOBER 19, 1987 Council Member Reilly made a motion, seconded by Council Member Miller and unanimously carried, to set a public hearing in the case of Saab vs. City of San Bernar- dino, Case No. 234561, at 10:30 a.m., on Monday, October rg;-1987, in the Council Chambers of City Hall, 300 North "0" Street, San Bernardino, California. ADJOURN MEETING At 1:12 p.m., Council Member Pope-Ludlam made a mo- tion, seconded by Council Member Miller and unanimously carried, that the meeting be adjourned to 9:00 a.m., on Monday, October 5, 1987, in the Council Chambers of City Hall, 300 North "0" Street, San Bernardino, California. ~#~.ll/4d/ / City Clerk No. of hrs.: 4 No. of items: 4 7 9/28/87