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HomeMy WebLinkAboutR02-Redevelopment Agency . . . . . MAYORANDCOMMONCOUNC~ COMMUNITY DEVELOPMENT COMMISSION/ AND THE JOINT POWERS FINANCING AUTHORITY OF THE CITY OF SAN BERNARDINO MINUTES REGULAR MEETING December 19, 1994 11:00 a.m. The Joint Regular Meeting of the Mayor and Common Council, the Communily Development Commission and the Joint Powers Financing Authorily was held in the Council Chambers, Cily Hall, 300 North "D" Street, San Bernardino, California and called to order by Mayor Tom Minor at approximately 2: 10 p.m., on Monday, December 19, 1994 . ROLL CALI. 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; and Norine Miller. Absent: None. STAFF PRESENT Timothy C. Steinhaus, Administrator, Economic Development Agency; Barbara J. Lindselh. Acting Director, Development Department; Stafford W. Parker, Depuly Director, Development Department; Dcmus Barlow, Senior Assistant Cily Attorney; Timolhy Sabo, AgencyCounsel, Sabo and Green; Lorraine Velarde. Executive Assistant to the Mayor; Phil Arvizo, Executive Assistant to the Council; Rachel Clark, City Clerk; Suzanna Cordova, Deputy Cily Clerk; La Vonda M-Pearson, Recording Secretary, Development Department. OTHERS IN ATTENDANCE None. PUBLIC COMMENTS ON ITEMS NOT ON THE AGENDA Jeff Wright, P. O. Box 2341, San Bernardino, CA, made comments regarding citizens rights in San Bernardino. Jolm Kirley, Citizen, commented on the Council Parliamentarian's need to become more familiar with the rules of the meetings. CONSENT CALENDAR JOINT REGULAR MEETING TCS:lmp:cminl2r2 COMMISSION MINUTES December 19, 1994 1 .JIR;2/f ,:5l?tJ f;'J-' . . . II II . . All items, numbered "I" through "8" were removed from the Consent Calendar. 1. WAIVE FULL READING OF RESOLUTIONS AND ORDINANCES lMl\yor and Common CounciJ) (Communitv Development Commission) Jeff Wright, P. O. Box 2341, San Bernardino, commented on the need of the viewing audience to hear the reading of the resolutions. Rachel Clark, City Clerk, explained that the titles of all resolutions and ordinances are read at the beginning of each meeting of the Mayor and Common Council. Commission Member Oberhelman made a motion, seconded by Commission Member Devlin, that full reading of the Resolutions and Ordinances on the regular, supplemental, and addendum to the supplemental agenda(s), be waived. 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. JOINT POWERS FINANCING AUTHORITY (Community Development Commission) Jeff Wright, P. O. Box 2341, San Bernardino, questioned the need to continue this item. Commission Member Pope-Ludlam made a motion, seconded by Commission Member Devlin. that the Adjourned Regular Meeting of the Joint Powers Financing Authority be continued to Monday, January 23, 1995. 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. COMMUNITY DEVELOPMENT COMMISSION MINUTE..<; (Community DevelQpment Commission) Commission Member Hernandez indicated that per the minutes, the Community Development Commission requested staff to bring back an item regarding authorized check signors for the Agency. He requested staff to put this item on the agenda for the next regularly scheduled Revelopment CommiUee Meeting. JOINT REGULAR MEETING TCS:lmp:cminI2r2 COMMISSION MINUTES December 19, 1994 2 J" . . . 1 Ill' . . Conunission Member Hernandez made a motion, seconded by Commission Member Miller, that the minutes of the Community Development Commission of the City of San Bernardino for the meeting of November 7, 1994, be approved as submitted in typewritten form. The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin; Hernandez; Oberhelman; Pope-Ludlam; Miller. Noes: None. Abstain: Conunission Member Devlin. Absent: None. 4. INVESTMENT POLICY (Community DevelQpment Commission) Conunission Member Oberhelman. asked questions regarding various aspects of the investment policy. Timothy C. Steinhaus, Administrator, Economic Development Agency, answered relative questions and conunented on the need for the full Commission and citizens to hear a report on the investment policy. Barbara J. Lindseth, Acting Director, Development Department, gave a brief report on the investment policy of the Agency emphasizing that the Agency was taking precautions due to the situation being faced in Orange County. She stated that the Agency was taking a more conservative position than what the state requires. Discussion ensued regarding the need to amend the form motion to be more specific. Commission Member Hernandez made a motion, seconded by Commission Member Pope-Ludlam, to approve and adopt the Economic Development Agency's Annual Statement of Investment Policy for tbe year 1995; and that the following be incorporated relative to repurchase agreements: "repurchase agreements collaterized by federal securities in an amount equal to at least 100 percent of the principal amount of the investment" . 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. 5. CONFLICT OF INTERR'iT (Communitv Development Commis.~ion) Jeff Wright, P. O. Box 2341, San Bernardino, commented on how the conflict of interest statements work within the Agency. Conunission Member Hernandez made a motion. seconded by COImnissioll Member Negrete. that the following resolution be approved and adopted: JOINT REGULAR MEETING TCS:lmp:cminl2r2 COMMISSION MINUTES December 19,1994 3 2: . . . . . RESOLUTION NUMBER 5424 RESOLUTION OF TIIE COMMUNITY DEVELOPMENT COMMISSION OF TIIE CITY OF SAN BERNARDINO, ON BEHALF OF TIlE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO, AMENDING RESOLUTION NO. 4420 (AS AMENDED BY RESOLUTION NOS. 4852, 5048, 5057, 5356 AND 5389) ENTITLED, IN PART. "RESOLUTION. . . . ADOPTING A CONFLICT OF INTEREST CODE. . . . ", BY AMENDING APPENDIX A TO ADD, DELETE AND CHANGE mE TITLES OF VARIOUS POSITIONS WI1HIN TIlE ECONOMIC DEVELOPMENT AGENCY OF mE CITY OF SAN BERNARDINO WIllCH :MUST FILE CONFLICT OF INTEREST STATEMENTS. 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. ABI290 . RRDEVELOPMENT PLAN AMENDMENTS FOR VARIOUS REDEVELOPMENT PRQffiCT AREAS SECOND READING (Mavor and Common Councill Councilman Devlin made a motion, seconded by Councilwoman Pope-Ludlam, that the following ordinances be approved and adopted: MC-916 An Ordinance of the Mayor and Common Council of the City of San Bernardino, California establishing and amending certain limitations with respect to the Redevelopment Plan for the Central City Redevelopment Project Area; MC-917 An Ordinance of the Mayor and Common Council of the City of San Bernardino, California establishing and amending certain limitations with respect to the Redevelopment Plan for the Meadowbrook Redevelopment Project Area; MC-918 An Ordinance of the Mayor and Common Council of the City of San Bernardino, California establishing and amending certain limitations with respect to the Redevelopment Plan for the Central City East Redevelopment Project Area; MC-919 An Ordinance of the Mayor and Common Council of the City of San Bernardino. California establishing and amending certain limitations with respect to the Redevelopment Plan for the Central City South Redevelopment Project Area; JOINT REGULAR MEETING TCS:lmp:cminl2r2 4 COMMISSION MINUTES December 19. 1994 2a- . . . II IT' . . MC-920 An Ordinance of the Mayor and Common Council of the City of San Bernardino, California establishing and amending certain limitations with respect to the Redevelopment Plan for the Central City North Redevelopment Project Area; MC-92l An Ordinance of the Mayor and Common Council of the City of San Bernardino, California establishing and amending certain limitations with respect to the Redevelopment Plan for the Central City West Redevelopment Project Area; MC-922 An Ordinance of the Mayor and Common Council of the City of San Bernardino. California establishing and amending certain limitations with respect to the Redevelopment Plan for the Northwest Redevelopment Project Area; MC-923 An Ordinance of the Mayor and Common Council of the City of San Bernardino. California establishing and amending certain limitations with respect to the Redevelopment Plan for the South Valle Redevelopment Project Area; MC-924 An Ordinance of the Mayor and Common Council of the City of San Bernardino, California establishing and amending certain limitations with respect to the Redevelopment Plan for the Southeast Industrial Park Redevelopment Project Area; MC-925 An Ordinance of the Mayor and Common Council of the City of San Bernardino. California establishing and amending certain limitations with respect to the Redevelopment Plan for the State College Redevelopment Project Area; MC-926 An Ordinance of the Mayor and Common Council of the City of San Bernardino. California establishing and amending certain limitations with respect to the Redevelopment Plan for the Tri- City Redevelopment Project Area; JOINT REGULAR MEETING TCS:hnp:cminl2r2 5 COMMISSION MINUTES December 19. 1994 ~ . . . II 11 . . MC-927 An Ordinance of the Mayor and Common Council of the City of San Bernardino, California establishing and amending certain limitations with respect to the Redevelopment Plan for the Uptown Redevelopment Project Area; MC-928 An Ordinance of the Mayor and Common Council of the City of San Bernardino, California establishing and amending certain limitations with respect to the Redevelopment Plan for the Mt. VefDon Corridor Redevelopment Project Area. The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin; Hernandez; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent: None. 7. INFILL HOUSING DEVELOPMENT PROGRAM (Community Development Commission) Jeff Wright, P. O. Box 2341, San Bernardino, asked for an explanation of "infill housing". Timothy C. Steinhaus, Administrator. Economic Development Agency, explained that "infill housing" is a term used for developing vacant parcels within developed areas. He stated that the Agency advances funds for the purchase of lots for development and the Agency is repaid once the houses are sold. Commission Member Oberhelman made a motion, seconded by Commission Member Negrete. to approve as the Agency infill housing developers, two (2) respondents to the Requests for Qualifications (RFQ), Young Homes of California and Red Sun Construction Company, and authorize the Acting Director to negotiate and execute an Owner Participation Agreement (OPA) with both developers. The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin; Hernandez; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent: None. 8. MEGA FORCK<i SECURITY - ARROW VISTA (Commnnity Development Commission) Commission Member Curlin made a motion, seconded by Commission Member Pope-Ludlam. to authorize the Acting Director to enter into an agreement with Mega Forces in an amount not to exceed $151,200 to provide security services at the Arrow Vista development project. JOINT REGULAR MEETING TCS:hup:cminI2r2 6 COMMISSION MINUTES December 19, 1994 )", . . . 1 r--n' . . Commission Member Oberhehnan questioned the length of time placed on the responses for RFP's. Edward Flores, Acting Housing Manager, indicated that this was the second time an RFP is placed on this project; therefore, the response time was limited to five (5) days. Timothy C. Steinhaus, Administrator, Economic Development Agency, explained that it was the Agency's goal to have the majority of the homes sold by the end of summer. The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin; Hernandez; Devlin; Pope-Ludlam; Miller. Noes: Commission Member Oberhehnan. Abstain: None. Absent: None. END OF CONSENT CALENDAR 9. REHABILIT A nON LOAN POLICY AND PROCEDURES (Communitv Development Commission) COMMISSION MEMBER POPE-LUDLAM WAS EXCUSED AT 2:45 P.M. Commission Member Oberhehnan made a motion, seconded by Commission Member Hemandez, to approve and adopt the Economic Development Agency's Rehabilitation Loan Policies and Procedures Manual; and that the policy and procedures be amended by interlineation, page 2, bullet 4, from "three" 10 "five", to read: "The bidders list is established to allow qualified general contractors to bid on a rolation basis with no more than five (5) contractors competing on any given single-family and multi-family projects. Commission Member Oberhehnan commended staff on their work on the policy and procedure manual. Conunission Member Miller expressed concern regarding the limitation of contractors in the manual. She suggested that the contractors list be increased to five (5) contractors rather than the three (3) contractors listed. Timothy C. Steinhaus, Administrator, Economic Development Agency, stated that staff would revise the manual to include five (5) contractors. COMMISSION MEMBER HERNANDEZ WAS EXCUSED AT 2:47 P.M. Larry Webster, Citizen. made various remarks regardillg the loans made by Ihe City. He believed that the loans were discriminatory and that individuals who need the loans are not granted the privilege. COMMISSION MEMBER HERNANOEZ RETURNED AT 2:49 P.M. JOINT REGULAR MEETING TCS:hnp:cminI2r2 7 COMMISSION MINUTES December 19, 1994 2 . . . II II . . The motion carried by the following vote: Ayes: Connnission Members Negrete; Curlin; Hernandez; Oberhelman; Devlin; Miller. Noes: None. Abstain: None. Absent: Commission Member Pope-Ludlam. COMMISSION MEMBER POPE-LUDLAM RETURNED AT 2:50 P.M. 10. CENTRAL POLICE STATION - ARCHITECTURAL SERVICE (Community Develqpment Commission) Commission Member Curlin made a motion, seconded by Connnission Member Oberhelman, to authorize the Acting Director to complete and execute an agreement with Leach Mounce Architects in an amount not to exceed $479,008 for architectural services related to the bid phase and the construction administration phase and that the Community Development Connnission authorize $35,000 as a contingency factor for potential changes to design during the course of construction on the new Central Police Facility development project. Commission Member Hernandez questioned the total projected amount for the new police facility. Timothy C. Steinhaus, Administrator, Economic Development Agency, stated that the total projected cost is $12 million. The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: Commission Member Hernandez. Abstain: None. Absent: None. 11. CALIFORNIA THEATER PROPOSAL,) (Community Development Commission) Commission Member Hernandez explaiued that there were six (6) proposals submitted to the Agency in response to the RFP. He indicated that three (3) of those proposals were qualified and participated in oral interviews with a connninee consisting of staff and Redevelopment Committee members. John Hoeger, Project Manager, Development Department. emphasized that all three (3) proposals qualified, each with its own strengths. He stated that the three (3) proposals were submitted by Susan Fellcr, Keith Matthews and The Big Red Apple, respectively. Mr. Hoeger stated that the connnittee recommended Susan Feller as manager for the theater. Commission Member Oberhelman stated that he reviewed each proposal thorougWy and that it was his determination that The Big Red Apple was the only proposal!hal met tlle minimum requirements sel forth in the RFP submitted by staff. JOINT REGULAR MEETING TCS:lmp:cminl2r2 COMMISSION MINUTES December 19,1994 8 )" . . . . . Commission Member Devlin concurred with Commission Member Oberhehnan and recommended tbat The Big Red Apple be selected as manager of the tbeater. Commission Member Hernandez commented on Susan Feller's knowledge of the theater and ber ability to act as manager. Commission Member Hernandez made a motion, seconded by Commission Member Negrete, to authorize staff to negotiate a contract with Susan Feller for the management and operation of the Califomia Theater, and direct staff to present a contract for the aforementioned services to the Commission for its consideration. (No Vote Taken) Commission Member Miller noted Susan Feller for her expertise in many areas, however, she felt Ms. Feller was not qualified to act as manager of the theater. Commission Member Miller made a motion, seconded by Commission Member Oberhelman, to continue this item and direct staff to re-open the RFP's and require each applicant to follow the format as instructed. The motion carried by the following vote: Ayes: Commission Members Oberhelman; Devlin; Miller. Noes: Commission Members Negrete; Curlin; Hernandez; Pope-Ludlam. Abstain: None. Absent: None. Commission Member Hernandez made a motion, seconded by Commission Member Negrete. to authorize staff to negotiate a contract with Susan Feller for the management and operation of the California Theater, and direct staff to present a contract for the aforementioned services to the Commission for its consideration. 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. CONTINUED FROM NOVEMBER 21, 1994 12. CONVENING OF MEETING OF THE COMMUNITY DEVELOPMENT COMMISSION (Community Develqpment Commio;sion\ (Councilman Dr. Curlin's Recommendation\ Commission Member Curlin stated that the motion, as wrillen, will separate the Mayor and Common Council from the Community Development Commission. Dennis Barlow, Senior Assistant City Attorney, stated that the motion was not appropriate and recommended the Commission not approve the fonn motion. He commented on difficulties lhal may be experienced if the motion is passed. Discussion ensued regarding the number of attorneys silling at the dais during Conunissiol1 Meetings. JOINT REGULAR MEETING TCS:lmp:cminI2r2 9 COMMISSION MINUTES December 19, 1994 -1, . . . II II . . Jeff Wright, P. O. Box 2341, San Bernardino, CA, spoke of the benefit of this item. He also recommended that the Commission consist solely of citizens of San Bernardino. COMMISSION :MEMBER OBERHELMAN WAS EXCUSED AT 3:26 P.M. Commission Member Pope-Ludlam slated that the two (2) agendas for the Mayor and COllunon Council and the Community Development Commission could easily be separated as it was done in Ihe pas!. COMMISSION :MEMBER OBERHELMAN RETURNED AT 3:27 P.M. Commission Member Curlin made a mOlion, seconded by Commission Member Hernandez, Ihat Concordanl with the position expressed by the Community Development Commission Chainnan, Mayor Tom Minor, that Ihe Community Development Commission is a separale legal entity from the Mayor and Common Council and that the meetings of each separate body has its own rules, policies and procedures, it is moved that the meeting of the Community Development Commission will convene at 11:00 a.m. as a separate and distinct body following the adjournment of a meeting of the Mayor and Common Council. and such meeting of the Mayor and Common Council may be reconvened during a meeting of the Community Development Commission only upon the concurrence of four (4) afftrmative voles by the Community Development Commission. The motion carried by the following vole: Ayes: Commission Members Negrete: Curlin: Hernandez: Pope-Ludlam. Noes: Commission Members Oberhelman: Devlin: Miller. Abstain: None. Absent: None. RS-I. ARROWHEAD HEALTH CARE SYSTEM (Community Development Commission) Commission Member Oberhelman made a motion, seconded by Commission Member Negrete, to authorize further negotiations between the Economic Development Agency and Arrowhead Health Care System in connection with the guarantee/purchase of a certain loan in an amount not to exceed $9.4 million and that a public hearing be set for January 9, 1995 at 11:00 a.m. The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin; Hernandez; Oberhelman; Devlin; Pope-Ludlam: Miller. Noes: None. Abstain: None. Absent: None. RECESSED :MEETING At 3:33 p.m., Chainnan Minor recessed the meeting of the Mayor and Common Council and the Community Development Commission for five (5) minutes. :MEETING RECONVENED AI 3:41 p.m., Chairman Minor reconvened the meeting of the Mayor and Comlllon Council and Ihe Community Development Commission. JOINT REGULAR MEETING TCS:lmp:cminI2r2 10 COMMISSION MINUTES December 19,1994 2 . . . j--T,ll. . . ROLL CALL Roll call was taken with the following members present: Chainnan Tom Minor; Commission Members Edward Negrete; Dr. F. J. Curlin; Ralph Hernandez; David Oberhelman; Jeny Devlin; Valerie Pope-Ludlam; and Norine Miller. Absent: None. STAFF PRESENT Timothy C. Steitthaus, Administrator, Economic Development Agency; Barbara J. Lindseth, Acting Director. Development Department; Stafford W. Parker, Deputy Director, Development Department; Dennis Barlow, Senior Assistant City Attorney; Timothy Sabo, Agency Counsel, Sabo and Green; Lorraine Velarde, Executive Assistant to the Mayor; Phil Arvizo, Executive Assistant to the Council; Rachel Clark, City Clerk; Suzanna Cordova, Deputy City Clerk; La Vonda M-Pearson, Recording Secretary, Development Department. OTHERS IN ATTENDANCE None. RS-2. INTERIM FINANCING FOR HARRIS' DEPARTMENT STORE ICommunitv Development Commission) Timothy C. Steinhaus, Administrator, Economic Development Agency, stated that at the previous Mayor and Common Council/Commnnity Development Commission Meeting, the Council approved the submission of a Section 108 loan for Harris' Department Store which would be backed by CDBG fWlds. He explained that the Agency received a letter last week from Harris' requesting a interim loan while waiting for the HUD approval. Commission Member Hernandez commented on the possibility of Harris' leaving the mall and other stores following if the HUD loan is not granted. Commission Member Oberhelman commented on the need to have Harris' sign a 10 year covenant as proof of its commitment to San Bernardino along with some form of collateral. Chainnan Minor commended Harris' on its willingness to work with the City on this matter; however, he did not feel that a conclusion to this request could be completed by the end of the month. He also did not recommend approval of the interim loan until fmal approval was given from HOO. Mike Huff, Member, Community Development Commission Citizens Advisory Committee, stated that he had personally invested approximately 15 - 20 hours on this project. He indicated that he had tried to obtain information from all parties involved in order to come to a conclusion regarding the interim loan and also the operating covenant. COMMISSION MEMBER POPE-LUDLAM WAS EXCUSED AT 4:12 P.M. COMMISSION MEMBER POPE-LUDLAM RETURNED AT 4:13 P.M. JOINT REGULAR MEETING TCS:lmp:cminI2r2 II COMMISSION MINUTES December 19, 1994 J~ . . . r- 1 r-11- . . Mr. Huff emphasized of Harris' unwillingness to commit to a ten (10) year covenant and their reasoning for committing to a three (3) year covenant. Timothy Sabo, Agency Counsel, Sabo & Green, briefed the Commission on international law, state taxation and foreign tax in reference to this item. Commission Member Pope-Ludlam noted that if approved, the interim loan would be guaranteed by a letter of credit from Harris'. Tom McPeters, Legal Counsel, Harris' Department Store, stated that Harris' would not be willing to sign a ten (10) year covenant, nor would its parent company guarantee the interim loan. Jorge Pont, President and CEO, Harris' Department Store, explained that none of the other merchants in the mall have a covenant. He stated that if the other stores committed to ten (10) years, he would be willing to commit also. Commission Member Hernandez pointed out the differences between the negotiations made between the City/Agency and the Citizens Advisory Committee. John Mayro, Carousel Mall, spoke in favor of the City assisting Harris'. He felt that Harris' was critical to the revitalization of downtown. Mark Ostoich, Attorney representing UBS, stated that he spoke with UBS representative today regarding the sale of Harris' Department Store. He stated that the offer UBS made to sell the store will expire at the end of the month. He emphasized that UBS does not consider itself committed to this offer if the dcal does not close at the end of the year. Discussion ensued regarding the amount of funding requested from HUD and the sale price of the Harris' building. Jeff Wright, P. O. Box 2341, San Bernardino, commented on Harris' making its majority of sales at the end of the year. John Curly, spoke against the City approving this loan in concept. Sam Catalano, Manager, Carousel Mall, spoke on the benefit of approving this item. Bill Leonard, Representative, City Central Company, commented on the vested interest the Agency had in the mall. Janles Wirth, Citizen, questioned the appraisal done on the property. He commented on the City's inability to meet the UBS deadline of December 31,1994. Discussion ensued regarding the offer made by UBS and the December 31. 1994 deadline_ COMMISSION MEMJJER OBERHELMAN WAS EXCUSED AT 5:22 P.M. COMMISSION MEMJJER OBERHELMAN RETURNED AT 5:24 P.M. JOINT REGULAR MEETING TCS:lmp:cminI2r2 12 COMMISSION MINUTES December 19, 1994 "J. . . . . . Mr. Catalano recommended the Agency request UBS extend its offer of sale. He also recommended the Commission move forward with an,approval vote for this item. Commission Member Hernandez stated that the form motion does not require Harris' to commit to any type of covenant. Commission Member Oberhelman made a motion, seconded by Commission Member Pope-Ludlam, that the following motion be approved and adopted: That the Community Development Commission approve in concept the providing of an interim conduit financing in a principal amount not to exceed $7,350,000 to the Harris' Company to acquire the Harris' Store Building upon the following conditions having been satisfied: I. HUD has issued the HUD Section 108 Loan Guarantee approval letter containing such terms and conditions acceptable to the City, the Community Development Commission and the Harris' Company and approved in writing by all such parties; and 2. Such other terms and conditions as may hereafter be identified by Staff and successfully negotiated by and between Staff and the Harris' Company subject to final Community Development Commission acceptance of such negotiated terms and conditions in its sole discretion; and 3. The interim funding source COlL~ists solely of private lenders or commercial banks seeking as the primary source of collateral the Harris' Store Building and any other collateral as may be agreed upon between such lenders or banks with the Harris' Company without any City or Community Development Commission liability, expense or cost whatsoever; lUld 4. Harris' COlUpany shall have agreed to pay all costs associated with the interim conduit financing and the HUD Section 108 Guaranteed Loan including closing costs, loan origination fees, title reports, lender fees, and all principal and interest payments required on both the interim conduit financing and the HUD Section 108 Guaranteed Loan; and 5. The final loan documents for the interim conduit financing are submitted to the Mayor and Common Council or the Community Development COlUmission, as appropriate, for consideration and fmal approval at their sole discretion at a public meeting. The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: Commission Member Hernandez. Abstain: None. Absent: None. JOINT REGULAR MEETING TCS:lmp:cminI2r2 I3 COMMISSION MINUTES December 19, 1994 ~ . . . . . RS-3. ALLAN SlEW ARD LOAN GUARANlEE (Communi(y DevelQpmen( Commission) (Councilwoman Pope-Ludlam's Recommenda(ion) CommissiQn Member Oberhelman made a motion, seconded by Commission Member Devlin, thaI this matter be tabled. The moliQn carried by the following vote: Ayes: Commission Members Negrete; Curlin; Oberhehnan; Devlin; Pope-Ludlam; Miller. Noes: Commission Member Hernandez. Abslain: None. Absent: None. Commission Member Pope-Ludlam made a motion, seconded by Commission Member Hernandez. 10 reconsider this item. The molion failed by the following vote: Ayes: Commission Members Hernandez; Pope-Ludlam. Noes: Commission Members Negrete; Curlin; Oberhelman; Devlin; Miller. Abstain: None. Absent: None. 13. ADJOURN TO CLOSED SESSION At 5:43 p.m., the meeling of the Mayor and Common Council and the Communily Development Commission adjourned to closed session to discuss the following: Pursuant to Government Code Section 54956.8 CONFERENCE WITH REAL PROPERTY NEGOTIATOR Properly: Billboard located mid-block on the south side of 5th Street between "D" and "Ell Streets. Negotiating Parlies: Redevelopment Agency Staff; Gannett Outdoor Under Negotiation: Price and terms of payment JOINT REGULAR MEETING TCS:hnp:cminI2r2 14 COMMISSION MINUTES December 19, 1994 7_ II II . . . 14. ADJOURNMENT At 6:00 p.m., the meeting of the Mayor and Common Council/Community Development Commission was adjourned to Monday, January 9, 1995, at 11:00 a.m., in the Council Chambers of City Hall, 300 North "0" Street, San Bernardino, Califomia. Respectfully Submitted: TIMOTHY C. STEINHAUS Agency Administrator/ Secretary to the Commission . . JOINT REGULAR MEETING TCS:lmp:cminI2r2 15 COMMISSION MINUTES December 19, 1994 -?,., . . . II 'I . . MAYOR AND COMMON COUNCa AND THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO MINUTES REGULAR MEETING January 9, 1995 11:00 a.m. The Regular Meeting of the Mayor and Common Council, and the Community Development Commission was held in the Council Chambers, City Hall. 300 North "D" Street, San Bernardino, California and called to order by Mayor Tom Minor at approximately 11 :01 a.m., on Monday, January 9, 1995. ROLL CALL Roll call was taken with the following members present: Chairman Tom Minor; Commission Members Edward Negrete; Ralph Hernandez; David Oberhelman; Jerry Devlin; Valerie Pope-Ludlam; and Norine Miller. Absent: Dr. F. J. Curlin. STAFF PRESENT Timothy C. Steinhaus, Administrator, Economic Development Agency; Barbara J. Lindseth, Acting Director, Development Department; Dennis Barlow, Senior Assistant City Attorney; Timothy Sabo, Agency Counsel, Sabo and Green; Lorraine Velarde, Executive Assistant to the Mayor; Phil Arvizo. Executive Assistant to the Council; Rachel Clark, City Clerk; Linda Hartzel, Deputy City Clerk; La Vonda M-Pearson, Recording Secretary, Development Department. OTHERS IN ATTENDANCE Richard Brooks, The Sun Newspaper. COMMISSION MEMBER CURLIN ARRIVED AT 11:02 A.M. PUBLIC COMMENTS ON ITEMS NOT ON THE AGENDA Jeff Wright, P. O. Box 2341, San Bernardino, CA, requested the City Attorney's Office provide comments to the citizens regarding the recent court case between the City of San Bernardino and fornler Agency employees. Helen Kopcynski, Citizen, requested the Development Director state the amount of funds he controls and how much of those funds are certificates of participation. Keith Thompson, representing Jesse amI Eunice Thompson of San Bernardino. askcd qucstions regarding the security problems in the Arden Guthrie area. He stated that he had wrilten lelters to both the Mayor and the Councilwoman in his wm'd regarding problems in the area with no response. REGULAR MEETING TCS:lmp:cminlrl COMMISSION MINUTES January 9, 1995 #?,;</3 Ol)zt!;f~ I . . . IIT- . . Timothy C. Steinhaus, Administrator, Economic Development Agency, stated that a management company was patrolling the area and that no problems had been reported to the company regnrding security. Commission Member Hernandez commented that the management company only spends approximately three (3) days a week at the Arden Guthrie site. Commission Member Miller provided comments regarding her involvement with this complaint. Commission Member Curlin asked Mr. Thompson questions regarding his dealings with City officials regnrding this issue. Chairman Minor stated that the Agency Administrator and Acting Housing Manager met with Mr. Thompsons' parents regarding their situation in Arden Guthrie. He explained that the Thompsons' own property in Arden Guthrie and they would like the Agency to provide them with a grant in the amount of $350.000, the cost of the four-plexes they purchased. He recommended Mr. Thompson meet with staff to further discuss this issue. Rachel Clark, City Clerk, thanked the Economic Development Agency for its assistance in the purchasing and distribution of the City Calendars. CONSENT CALENDAR All items, numbered "I" and "5" were removed from the Consent Calendar. 1. WAIVE FULL READING OF RESOLUTIONS AND ORDINANCK" [Mayor and Common CounciJ) (Community Development Commi'lSionl Jeff Wright, P. O. Box 2341, San Bernardino, CA, stated that the viewing public is not aware of the wording of various resolutions and ordinances if they are not read. COMMISSION MEMBER POPE-LUDLAM WAS EXCUSED AT 11:20 A.M. COMMISSION MEMBER HERNANDEZ WAS EXCUSED AT 11:21 A.M. Mr. Wright recommended that all items be fully explained to the public. COMMISSION MEMBER MILLER WAS EXCUSED AT 11:22 A.M. Commission Member Negrete made a molion. seconded by Conunission Member Oherhehllall. lhat full reading of the Resolutions and Ordirlffilces 011 tlle regular, supplemental. and addendum 10 the supplemental agenda(s), be waived. REGULAR MEETING TCS:hnp:cminlrl 2 COMMISSION MINUTES January 9, 1995 Jh II . . . The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin: Oberhelman; Devlin. Noes: None. Abstain: None. Absent: Commission Members Hernandez; Pope- Ludlam; Miller. COMMISSION MEMBER MILLER RETURNED AT 11:23 A.M. COMMISSION MEMBER POPE.LUDLAM RETURNED AT 11:23 A.M. 2. COMMUNITY DEVELOPMENT COMMISSION MINUTES (Community Development Commi~sion) Jeff Wright, P. O. Box 2341, San Bernardino, CA, questioned whether or not the minutes and correct. Commission Member Negrete made a motion, seconded by Commission Member Oberhe an, that the minutes of the Community Development Commissiou of the City of San Bernardino for the meting of November 21,1994, be approved as submitted in typewritten form. The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin; Oberhelman: Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent: Conunission Member Hernandez. . Public Works 3. HANDICAPPED RAMPS AT VARIOUS LOCATIONS !Mavor and Common Councm Councilman Negrete made a motion, seconded by Councilman Oberhelman, that the folio ing resolution be approved and adopted: RESOLUTION NUMBER 95-10 RESOLUTION OF THE CITY OF SAN BERNARDINO AWARDING A CONTRACT TO GOSNEY CONSTRUCTION, INC. FOR INSTALLATION OF HANDICAPPED RA SAT VARIOUS LOCATIONS. Jeff Wright, P. O. Box 2341, San Bernardino, CA, questioned the location of the handica ramps. Timothy C. Steinhaus, Administrator, Economic Development Agency, stated that this rc. lution refers to wheel chair ramps that will be located at intersections throughout the City. The motion carried by the following votc: Ayes: Commission Members Negrete: Curlin: Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent: COlOmission Member Heomndez. . REGULAR MEETING TCS:lmp:cminlrl 3 COMMISSION MINUTES January 9, 1995 -21, . . . II II . . COMMISSION MEMBER HERNANDEZ RETURNED AT 11:25 A.M. Development Department 4. ARROWHEAD HEALTH CARE SYSTEM (Community Development Commission) Timothy C. Steinhaus, Administrator, Economic Development Agency, stated that staff would like to continue this item until January 12, 1995. He explained that at that time, the item may be continued until January 23, 1995 if all parties are not ready. Commission Member Pope-Ludlam commented on the importance of this item and the need to act on it quickly. Discussion ensued regarding the ability for all Commission Members to be present al the January 12. 1995 meeling. Jeff Wright, P. O. Box 2341, San Bernardino, CA, read portions of the staff report for the benefit of the viewing audience. Commission Member Oberhehnan made a motion, seconded by Commission Member Devlin. that the Community Development Commission adjourn the meeting of January 9, 1995 until Thursday, January 12,1995 at 9:30 a.m., in the Council Chambers of City Hall, 300 North "D" Street, San Bernardino, California, for a public hearing and action on the Arrowhead Health Care System guarantee. The motion carried by the following vote: Ayes: Commission Members Negrete; Hernandez: Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: Commission Member Curlin. Absent: None. IMlIyor and Common Council) Councihnan Oberhehnan made a motion, seconded by Councilman Devlin, that the Mayor and Common Council adjourn the meeting of January 9, 1995 until January 12, 1995 a19:30 a.m. for a public hearing and action on the Arrowhead Health Care System guaranlee. The motion carried by the following vote: Ayes: Council Members Negrete; Hernandez; Oberhehnan; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: Councihnan Curlin. Absent: None. REGULAR MEETING TCS:hnp:cminlrl 4 COMMISSION MINUTES January 9, 1995 1l., . . . II II . . 5. MOBILE HOME PARK CONVERSION PROGRAM (Communitv Development Commission) Jeff Wright, P. O. Box 2341, San Bernardino, CA, read the motions for the benefit of the viewing audience. Commission Member Oberhelman made a motion. seconded by Commission Member Hernandez, to approve the consent of assignment and release from DeAnza Conversions, Inc" in association with The London Group as the Mobile Home Park Conversion Consultant to the London Group and authorize execution of all necessary documents by the Acting Director; and Commission Member Oberhelman made a motion, seconded by Commission Member Hernandez, to authorize the expenditnre of an additional $30,000 in housing set-aside funds for the due diligence efforts for the conversion of The Friendly Village Mobile Home Park, and authorize the execution by the Acting director of necessary modifications to existing agreements with The London Group, TIle 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 6. MT. VERNON A VENUE STORM DRAINS (Communitv Development Commission) TinlOthy C, Steinhaus, Administrator, Economic Development Agency, asked the Commission to reaffirm the allocation of $1 ,8 million in bond proceeds previously approved by the Commission when this motion is considered, Jeff Wright, p, 0, Box 2341, San Bernardino, CA, suggested San Bernardino County participate with this item by providing funding for the storm drains. Commission Member Hernandez made a motion, seconded by Commission Member Negrete, to reaffirm the allocation of $1.8 million in bond proceeds and approve the Agency allocation of an additional $670,000 for the Mt. Vernon Storm Drains from a funding source yet to be determined. The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin; Hernandez; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent: None. REGULAR MEETING TCS:hnp:cminIr1 COMMISSION MINUTES January 9, 1995 5 1t. . . . . . 7. RENTAL HOUSING CERTIFICATION PROGRAM (Mayor and Common Council '-TI' I I Jeff Wright, P. O. Box 2341, San Bernardino, CA, read portions of the back-up for tb.;s ilpln as well as the motions. -r , Helen Kopcynski, Citizen, questioned the funding used for this project and whether or not legal opinion had been given on the proposed funding source. Mayor Minor stated that Timothy Sabo, Agency Counsel, Sabo & Green, had given a lega opinion on this which stated that the proposed funding source was legal. Councilman Oberhelman made a motion, seconded by CounciIman Hernandez, that the fol owing resolution be approved and adopted: RESOLUTION NUMBER 95-11 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF S BERNARDINO, CALIFORNIA, MAKING FINDINGS AND DETERMINATIONS AS BENEFIT TO THE VARIOUS REDEVELOPMENT PROJECT AREAS OF MAKING LEASE PAYMENTS ON BEHALF OF THE CITY OF SAN BERNARDINO (CITY H PROJECT). The motion carried by the following vote: Ayes: Council Membe.rs Negrete; Curlin; Hem ndez; Oberhelman; Devlin; Miller. Noes: Councilwoman Pope-Ludlam. Abstain: None. Absent: Non . (Communitv Development Commission) o THE ERTAIN L Commission Member Oberhelman made a motion, seconded by Commission Member He andez, that the following resolution be approved and adopted: RESOLUTION NUMBER 5425 RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CI OF SAN BERNARDINO, CALIFORNIA, MAKING FINDINGS AND DETERMINATION AS TO THE BENEFIT TO THE VARIOUS REDEVELOPMENT PROJECT AREAS OF MAK G CERTAIN LEASE PAYMENTS ON BEHALF OF THE CITY OF SAN BERNARDIN (CITY HALL PROJECT). Commission Member Oberhelman made a motion, seconded by Commission Member He andez, (0 approve the Rental Housing Certification program concept, and authorize the payment by the Econ mic Development Agency of $156,000 to the City of San Bernardino for City Hall lease payments. and approve $529,400 of 20% set-aside monies to be used for the program. aod that the Agency's hudgct he ine 'cased accordingly. REGULAR MEETING TCS:lmp:cminlrl 6 COMMISSION MINUTES January 9, 1995 :2h . . . 1 I I T~n . . The motions carried by the following vote: Ayes: Commission Members Negrele; Curlin; Hernandez; Oberhelman; Devlin; Miller. Noes: Commission Member Pope-Ludlam. Abstain: None. Absent: None. 8. CONVENING OF MRF.TING OF THE COMMUNITY DEVELOPMENT COMMISSION (Mayor and Common Council) Councilman Curlin made a motion, seconded by Councilman Hernandez, that this matter be tabled. The mOlion carried by the following vote: Ayes: Council Members Negrete; Curlin; Hemandez; Oberhelman; Devlin; Pope-Ludlam; Miller. Noes: None. Abstain: None. Absent: None. RS-l. PLACEMENT OF AGENDA ITEMS (Communitv DevelQjlment Commission) (Councilman Dr. Curlin's Recommendation) Timothy Sabo, Agency Counsel, Sabo & Greeo, stated that approval of this motion would direcl staff and the Agency Administrator 10 only place commission items on the commission agenda. He explained thaI all council items would need to be placed on the council agenda. Commission Member Hernandez spoke in favor of this motion. Commission Member Miller requested an opinion on this item from Senior Assistant City Anomey Barlow. Dennis Barlow, Senior Assistanl City Attorney, explained lhal approval of this item will not remove the City Allorney's Office from the Commission Meetings per the Brown Act. COImnission Member Devlin asked Mr. Sabo if he concurred with the City Attorney's Office. Mr. Sabo staled thaI he would need more time to review lhe City's Charter before giving any opinion. Commission Member Devlin ntade a motion, seconded by Commission Member Oberhelman, to continue this item until January 23, 1995. The mOlion failed by the following vole: Ayes: Commission Members Oberhelman; Devlin; Miller. Noes: Commission Members Negrete; Curlin; Hernandez; Pope-Ludlam. Abstain: None. Absent: None. Commission Member Curlin commented on the various opinions received from lhe City Attorney's Office regarding this item. REGULAR MEETING TCS:lmp:cminlr1 7 COMMISSION MINUTES January 9, 1995 :Jh . . . II 'I . . Jim Penman, City Attorney, stated that the opinion of the City Attorney's Office regarding this item has always remained the same. He emphasized to the Commission that regardless of the vote on this item. his office will always be present at both Commission and Mayor and Common Council Meetings. He also commented that approval of this item will cause confusion and problems. Commission Member Hernandez made a motion, seconded by Commission Member Negrete, that this matter be continued to January 12, 1995; and that Attorney Sabo review the matter and prepare a wrincn report for the meeting of January 12, 1995. The motion carried by the following vote: Ayes: Commission Members Negrete; Curlin; Henmndez; Oberhelman; Devlin; Pope-Ludlam. Noes: Commission Member Miller. Abstain: None. Absent: None. 9. ADJOURNMENT At 12: 18 p.m., the meeting of the Mayor and Common CounciVCommunity Development Commission was adjourned to Monday, January 12, 1995, at 9:30 a.m., in the Council Chambers of City Hall. 300 North "D" Street, San Bernardino, California. Respectfully Submitted: TIMOTHY C. STEINHAUS Agency Administrator! Secretary to the Commission REGULAR MEETING TCS:lmp:cminlrl 8 COMMISSION MINUTES January 9, 1995 :Jh