HomeMy WebLinkAboutR08-Redevelopment Agency
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REDEVELOPME~AGENCY - R~QUEST' FOR OONMISSI~CouNCIL ACTION
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DATE: FEBRUARY 15. 1989
SUBJECT: OWNER PARTICIPATION/DEVELOPER PROCEDURES
SvnoDsls of PrevIous CommIssIon/CouncIl/CommIttee ActIon:
07-17-78 ResolutIon No. 3693 descrIbed marketIng of Agency property and
negotIatIon procedures.
08-06-79 ResolutIon No. 3955 rescInded ResolutIon 3822 and descrIbed
commIssIons and negotIatIon procedures for Agency-owned property.
02-09-89 Redevelopment CommIttee recommended that the CommIssIon adopt the
revIsed Owner PartIcIpatIon Procedure and Developer RelatIons
GuIdelInes.
(COMMUNITY DEVELOPMENT COMMISSION)
Recommended MotIon:
MotIon:
(A)
Move to adopt RESOLUTION OF THE COMMUNITY DEVELOPMENT
COMMISSION OF THE CITY OF SAN BERNARDINO REPEALING RESOLUTIONS
NOS. 3693 AND 3955 RELATING TO OWNER PARTICIPATION PROCEDURES
AND DEVELOPER RELATIONS GUIDELINES.
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MotIon:
(B))
Move to adopt the attached Owner PartIcIpatIon Procedures and
Developer RelatIons GuIdelInes.
Contact Person: Steven H. Dukett
SUDDortlnq data attached: Yes
FUNDING REQUIREMENTS:
Phone: 384-5081
Hard: All
Project: All
Council Note :
Agenda Item No.
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GENERAL INFORMATION I
A' ill'. ITEM INFORMATION SUMMARY \
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DRDA COMMITTEE IalCOMMISSION 0 COUNCIL
Author :-S:tt~ t!-r-..l...;;;:.r? Ext.~
Subject ~ i'A~'i) e" PRtl7~ /
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Funding requirements
CITY DEPARTMENTAL JlEVIEW.
Dept
By
Date
Budget authority
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Filing date
Meeting date
Ward
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Project Area
A LA_
CLEARANCES.
Yes NIl'.
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Accounting
Date
Da~1/9f
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s~e 'al Coun el Date
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RDA CotfimIttee
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City Administrator
Date
Dept By Date
INFORMATIONAL DATA FORWARDED TO CITY DEPARTMENTS/COUNCIL OFFICES.
Supplied To
Mayor's office
Council Ward
Council Ward
Council Ward
Council Ward
Department
Department
COMMENTS/CONCERNS I Include pertinent comments and concerns of offices and persons clearing
~he aummary, auch as controversial iaaues, time constraints and funding complications.
Indicate dates when action must be ~aken. ~
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Date
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S T~ F R E P 0 R T
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In order to commun'cate the complete process of subm'tt'ng and evaluatIng
unsollc'ted development proposals 'n Redevelopment Project areas. we have
drafted two booklets that clearly expla'n the process and the r'ghts of owners
and tenants.
BACKGROUND
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Based pollc'es adopted 'n 1978 and 1979. the Agency has prev'ously used a
Developer Ass'stance Questlonna're to obta'n 'nformat'on needed for revIewIng
proposed projects. Th's quest'onna're focused on the spec'f'c data and
'nformatlon requ'red for an analys's of a proposal. Unfortunately.,t does
not expla'n the process that's used to analyze compet'ng proposals nor does
,t prov'de 'nformat'on on the r'ghts of owners and tenants who mIght be
effected by the proposal. A good example of the k'nd of m'sunderstandlngs
that can ar'se w,thout fully expla'n'ng thIs process are those that have
currently developed relat've to the Emp're Dome Pre-Development Agreement.
That Agreement. whIch's legally correct. does not. however. clearly expla'n
that pr'or to any D'sposlt'on and Development Agreement a process must occur
'n whIch owners and tenants are g'ven an opportun'ty to subm,t compet'ng
proposa 15 .
To avo'd such problems 'n the future and clearly state our procedures, staff
developed the attached Owner Part'c'pat'on Procedures and Developer RelatIons
Guldel'nes booklets. These gu'del'nes are based upon the Owner Partlclpat'on
Guldel'nes d'str'buted by the Commun,ty Redevelopment Agenc'es Assoc'at'on. a
Cal'fornla assoc'atlon of redevelopment agencIes. As summar' zed by the flow
chart at the end of each booklet. the process's descr'bed from the subm'sslon
of concept proposals through the evaluatIon of competIng proposals. If any. to
the eventual development agreement.
To provIde clear 'nformatlon to the communIty. ,t 's crlt'cal that we have
these booklets avaIlable as an educatIonal tool for both developers and
owners. The booklets w'll enable us to communIcate that there Is a unIform
process for all appl'cants w,th fa'r treatment for everyone.
These booklets have been carefully revIewed by DennIs Barlow. Agency Counsel.
and by Mark Huebsch. SpecIal Counsel. He have 'ncorporated theIr suggestIons
so that the booklets wIll reflect CalIfornIa Redevelopment Law and provIde an
orderly framework for the conslderat'on of development proposals. Each has
been approved as to form and legal content by both Agency and SpecIal
Counsel. A letter from Mark Huebsch Is attached.
It's. therefore. recommended that the CommIssIon repeal all prevIous polIcIes
and procedures relatIve to owner partIcIpatIon procedures and developer
relatIons guIdelInes and adopt the attached Owner PartIcIpatIon Procedures and
Developer RelatIons GuIdelInes.
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RESOLUTION NO. 5180
RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE
CITY OF SAN BERNARDINO REPEALING RESOLUTIONS NOS. 3693 AND 3955
RELATING TO OWNER PARTICIPATION PROCEDURES AND DEVELOPER
RELATIONS GUIDELINES.
BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE CITY
OF SAN BERNARDINO AS FOLLOWS:
WHEREAS,
by Resolution Nos. 3693 and 3955, the
Redevelopment Agency of the City of San Bernardino has adopted
policies pertaining to owner participation procedures and
developer relations guidelines, and
WHEREAS,
the Agency is now consolidating and updating
such policies, and
WHEREAS,
as part of such process it is necessary to
repeal the previously adopted policies,
NOW, THEREFORE, BE IT RESOLVED, that Resolution No. 3693
and Resolution No. 3955 are hereby repealed.
I HEREBY CERTIFY that the foregoing resolution was duly
adopted by the Community Development Commission of the City of
San Bernardino at a
Regular
meeting thereof, held on the
20th
day of February
, 1989, by the following vote, to wit:
AYES:
Commissioners Esther Estrada, Jack Reilly, Jess Flores
Michael Maudsley, Tom Minor, Norine Miller
NAYS: NONE
ABSENT: Valerie Pope-Ludlam
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DAB: mw
February 16, 1989
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The foregoing resolution is hereby approved this 2lF:t
, '1989.
Approved as to form
and legal content:
B~
ency sel
DAB: mw
February 15, 1989
~~ 1h .
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Development Commission of the
City of San Bernardino
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14 ES'1'IIER)t. BS'l'RAIlA"
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23 VALERIE POPE-LllDLIIM
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'Z1 DATED: February 20
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SECRE'l'An'S CERTIFICM'E
OF
ADOPTION AND All'l'IIENTICATION
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I, STEVEN B. ..........1"r. Secretary of the CCDlnmity Development
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CoIIIIIIission. DO BEREBY CERTIFY, that the attached Resolution is a
true ~d correct copy of JleIIolution No.S180
adopted
Februarv20
. 1989 . by the eo_unity Development Collllllission
of the City of San Bernardino. by the wte .et forth below. and that
.aid Resolution bee not been ~ded or npealed.
Oleclt Appropriate Box
COMMISSION MEMBERS
!!!!
NAYS ;ABSENT
ABSTAIN
(X)(.)(. )
( . )
15
16 JACK REILLY
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( X) (
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JESS FLOttES
( X ) .(
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MICHAEL MAllDSLEY
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TOM MINOR
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NORINE HILLER
( X) (
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. 1989
H. llllKE , Secrete%Y of the
ity Development CoIIIIIIission
of the City of San Bemardino.
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1Ir. Job Hoe,er
UDEV2LOPktinT AGUe!' .
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11ft IU"lfdiDo, CA .2411
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Dan Joluu
~bi. concern. tba draft ~er Participation procedure. (tbe
-0. ProCedure,-) aDd tba draft .ade.eloper .elation. Guideline.
(the -Guideline.-) which IOU earlier FAXed to tbi. office. The
,ubeittad draft. inCorporate .e.eral of the oo...nt, earlier
.ade b,r.thi. offic..
we bl.e re.iewed the .rooedure. eDd auideline. ea to legal
form aDd content. ,.,ed upon 'pplicable .tatute. aDd reported
ep,.llate 4eci.lon., it ia our .iew that the Procedure, and
GUideline, oonform to e.i'tin, 1.,al requirement. pertainlnG to
owner participation. While the a"lication of tbe Procedure.
.nd auld'liDe. will warrant due care, the procedur.. end
Guideline. ,rovide an orderlr framework to a..ure that owner,
and tenant. in rede.elopment project ar.a. are afforded .
rea.onable opportunltr to partiCipate in redevelopment
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In addition to lobieviDI oo~1i.nce with tbe 1.,al
~etUlr"'nt tbat owner. be provided a ~"'onabl. opportunitJ' to
p'rtlci,.te in ~a4.y.IO"'Dt, a frinCi,.1 ~.tloDll. for th. y..
of O. 'rocdur.. aDd GuillaUea. . to .et fonh all oderlF
procedure for the oODalderatloe of ,ropo..la, pro.ldi.. .
...ftlngful o'fortunltJ' for ,.rtieltation b.r tbe ealattag owaar.
aod ten'llta w thin a pro~ect .ree 0 the r.d'.elo~ot of th.t
.r... ~be fO~li.etioft of .uch proceaur.. o.ft be of
...htaace to at.1f aa ..11 .. tbe 10verniDg ~ by
eltabli.bieo ao ordlrl,.ena neutral procedural framework iD
whicb de.elOJllleftt propo..1a caD be cODal4erec!. luch proceaur..
can thYI be OOnduct.e to enoour.giDI beneficl.l ,ropolal.,
IvoidiDg cStlput., amoDg inter..ted de.elo,.r. .04 ~u1d-ba
,artlcl,.nt. (whiCh h a .e&7 troublelOlll8 'fob1_ fOf I Dumber
of r.dayeloPMent .,eaci..), e. well ., demoD.tr.tlo, full aDd
lOod faitb ~li'ftce with 1.,.1 r'tulr...ot. for r."oa.~l.
,articlpatlon o,portualti...
IA our .lew, the O' .roe.dur.. and tbe GuleSeUe.., which we
bl.e ~evlewed a. to l.gal form eDeS coDteat, wUl .ub.taaU.uJ'
impro.e the ,o.itioD of the A,.oc.r in ,rovldlng ~"'oDabl.
,.rtlcip.tion opportunitl.. aDS, it tb... procedur.. .re
oar.fullJ' followed, Ie .at.bll.hing . recor4 of ,uell Ooapll.IlO"
Ibould fOu deaire further r..tew .nd conneat, pl....
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4840G
D EVE LOP ERR E L A T ION S
G U IDE L I N E S
RED EVE LOP MEN TAG E N C Y
CITY OF SAN BERNARDINO
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INTRODUCTION
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The purpose of thIs booklet Is to
generally explaIn how a developer (
"Developer") NY becOllle involved In a
development In a redevelopment area wIth
partIcIpatIon by the Agency. The booklet
also explaIns how a Developer's process
would Interface wIth the rIghts of owners
and tenants.
Each of the Redevelopment Agency's
project areas have a set of Owner
PartIcIpatIon Rules whIch gIve specIfIc
rIghts and preferences to property owners
and tenants (whenever the word "Owner" Is
used In thIs booklet It Includes both
tenants and owners as those terms are
used In the applIcatIon of the Owner
PartIcIpatIon Rules for the relevant
Project area).
For the purposes of these guIdelInes, the
term "Developer" means a person or entity
that does not own, or occupy as a tenant,
real property wIthIn the specIfIc
redevelopment area In questIon.
The most common process used to IdentIfy
and select a Developer Is through
Issuance of a Request for Proposals (RFP)
by the Agency for a specIfIc sIte. The
procedure to be followed would be
descrIbed In detaIl In the RFP. The
RFP's are advertIsed wIdely and are gIven
to all affected Owners as well.
AlternatIvely, a Developer may submIt an
unsolIcIted proposal as descrIbed In thIs
booklet. If the proposal receIves BasIc
Concept Approval, then Owners (If any)
wIll be notIfIed and gIven an opportunIty
to develop and submIt competIng proposals
In the fashIon descrIbed herein.
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I NIT I A L CON T ACT AND
REQUIREMENTS FOR
UNSOLICTED PROPOSALS
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The 1n1t1al 1nteractlon between Agency
staff and a Developer Involves a general
or1entat10n to project area plans, goals,
and development opportun1t1es. In
addlt10n, the statutory role of the
Agency 1n directing and Implementing the
project area plan Is explained.
If the Developer wants to proceed, a
letter Indlcat1ng development Interest
and requesting Basic Concept Approval
should be sent to the Agency's Executive
Director. Enclose four sets of the
following material with the letter:
1. A description of the scope and type
of development, Including approx1mate
square footage totals, approximate
parking space counts, est1mated
coverage percentages for buildIngs
and landscaping, and descrIptions of
any off-site 1mprovements that w111
be appropriate based upon normal C1ty
standards;
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2. Estimates of the number of persons to
be employed (both dur1ng construct10n
and when operat10nal) for commercial
and Industrial projects, 1ncludlng
Information on current employees If
the Developer proposes to relocate an
exlst1ng busIness In San Bernardino;
3. PrelImInary concept drawIngs.
1nclud1ng a s1te plan, exter10r
elevat10ns and typ1cal floor plans;
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property value and the completed
development value, showing land
values separately (provide square
foot subtotals for each land use
type);
5. A su.ary of the Developer's
qualifications, Including past
experience, financial capability, the
qualifications of each member of the
proposed development team, and the
Identification of any joint venture
partners together with a general
description of the duties and
Involvement of the respective
participants; and
6. Financial pro formas for the
development and ten years of
operation, Including financing and
marketing costs and separating any
proposed phasing.
The most helpful format for the above
Information 15 8.5" x 11", vertically
oriented, black and white material
suitable for photocopying.
Once received, the proposal will be
reviewed by the Agency's staff (this may
also Include a review by City
departments) for consistency with project
goals, Objectives and financial
feasibility. This step Is undertaken to
avoid significant omissions In the
proposal.
Staff will send the applicant
notification If the proposal Is
Incomplete and It will be the
responsibility of the applicant to
provide a complete and accurate package.
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; ( BASIC CONCEPT APPROVAL
AND EXCLUSIVE RIGHTS OF
NEGOTIATION
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The second step in obtaining Basic
Concept Approval involves an oral
presentation of the proposal to the
Agency's Executive Director and/or it's
Development Division Manager.
Basic Concept Approval is an indication
from Agency staff that the proposed land
use and development concept are
desirable; however, It does not prevent
other parties from proposing alternative
concepts for development. In fact, If
Basic Concept Approval is granted for the
development of land not owned by the
Agency, all affected Owners will be given
notice of the development Interest and
receive a 30-day period to submit their
own proposals for development of the site.
If only Agency-owned land Is affected or
In the absence of competing proposals, an
agreement for Exclusive Rights of
Negotiation (ERN) may be subsequently
forwarded to the Agency's governing
body. If approved, the Agency's staff
and consultants will then be authorized
to pursue the contract negotiations
necessary to produce a development
agreement.
The ERN provides a Developer with
exclusive rights to negotiate property
acquisition and/or development of a
specified site over a specific periOd of
time, but It does not obligate the Agency
or Developer to carry out a development
project.
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E V A L U A TIN G COM PET I N G
PROPOSALS
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If two or more proposals-recehe Basic
Concept Approval for the same slte(s),
then the Agency's Executive Director will
authorize staff to Initiate an
development selection process. This
process would entail the establishment of
a selection committee and specific
selection criteria. -
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Each Interested party Is notified that a
selection process will be undertaken and
afforded the opportunity to participate
on a competitive basis. The assigned
staff person(s) will develop evaluation
criteria to numerically rank each
project. The proposers will be Informed
of the criteria, the date, time, and
place to make their presentations.
Normally the evaluation criteria will
Include of the following:
1. Development team qualifications,
Including experience and financial
capacity to undertake the project;
2. Project concept and architectural
design features;
3. Timing;
4. Job creation potential;
5. Financial benefits to the Agency,
City and community;
6 Conformity of the submittal, with
respect to uses, with the
Redevelopment Plan and other
applicable enactments;
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7. Feaslblllt~f the proposal, and
evIdence of manufacturer or franchIse
approval, If applIcable; and
8. EnvIronmental benefIts (or lesser
degree of detrImental aspects). Each
proposal and Its assocIated
documentatIon wIll be provIded to the
selectIon commIttee .embers for
revIew prIor to the selectIon
IntervIews. If the commIttee
requIres addItIonal InformatIon to
aId the process, thIs request wIll be
forwarded to the proposer.
Nevertheless, the proposals wIll not
be shared among the competIng
Interests.
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Furthermore, proposers wIll not be
provIded an opportunIty to vIew theIr
competItor's presentatIon durIng the
commIttee's revIew. ThIs polley Is
taken to ensure faIrness and maIntaIn
equIty among the competItors In the
selectIon process.
Upon the conclusIon of the selectIon
process (IncludIng the checkIng of
references), the selectIon commIttee
wIll determIne Its choIce for the
preferred developer based upon a
scorIng system, and an ExclusIve
RIghts of NegotIatIon (ERN) agreement
may be developed for revIew by the
Agency's governIng board.
As mentIoned earlIer, an ERN does not
contractually oblIgate the Agency or
Developer to carry out a development
project; It does permIt the
negotIatIon of a development
agreement.
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DDA
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NEGOTIATIONS AND
APPROVAL PROCESS
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Upon approval of an ERN by the Agency
. Board and execution by the Developer,
Agency staff will commence negotiation of
a Disposition and Development Agreement
(DDA) with the Developer. The DDA will
contractually obligate the Developer and,
as applicable, the Agency to carry out a
project.
The negotiations may Include the routing
of copies of the conceptual plans to
various City departments for their
comments and transmittal of the pro forma
Information to the Agency's economist to
obtain a land reuse value analysis. In
addition, the Agency's environmental and
non-discrimination reviews are Initiated
In compliance with applicable laws..
Once business terms are agreed upon, the
documents will be drafted and, when
signed by the Developer, will be
submitted to the Agency's Community
Development Commission for approval. If
land Is to be sold or leased by the
Agency, a joint public hearing of the
Agency and the Common Council typically
Is required. Such hearing would be set
and It must be advertised 14 days prior
to the date of the hearing.
Before submitting the DDA to the
Commission, the document Is reviewed by a
subcommittee of the Commission, the
Redevelopment (RDA) Committee. The RDA
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CommIttee Is composed of three CommIssIon
members who revIew and make recommendat'ons
on matters to be presented to the full
CommissIon.
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If the busIness terms cannot be agreed
upon or the term of the ERN expIres or
the ERN Is otherwIse termInated, the
Agency reserves the r'ght to reject 'the
proposals or to negot'ate w'th another
proponent.
Owner should cooperate and submIt such
InformatIon as Is necessary and
appropr'ate for the Issuance of a staff
report whIch descrIbes the proposed
undertakIngs and whIch sat'sfles
applIcable legal requIrements.
After execut'on, the DDA serves to dIrect
future Agency/Developer relatIonshIps,
wIth each party performIng Its
respons'bllltles accordIng to the
schedules assIgned 'n the contract. Upon
the fulf'llment of all contract
provIsIons, a Cert'f'cate of COmplIance
wIll be recorded as evIdence of the
project's compl'ance wIth the terms of
the DDA and wIth the Agency's recorded
plan for the project area.
ADD I T ION A l I N FOR MAT ION
For answers to any quest'ons or 'f
add't'onal 'nformatlon Is requIred
regardIng these procedures, you are
'nvlted to contact Agency staff at (714)
384-5081. OUr address Is:
Redevelopment Agency
CIty of San BernardIno
300 North D Street, Fourth Floor
San BernardIno, CA 92418
He are located 'n CIty Hall at the corner
of ThIrd and D Streets In downtown San
BernardIno.
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APPINDIX '" now Qaart for UuoI1clted
IlneJo..- PropouJlo
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4839G
OWN E R PAR TIC I PAT ION
PROCEDURES
RED EVE LOP MEN TAG E N C Y
CITY OF SAN BERNARDINO
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INTRODUCTION
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Each of the Redevelopment Agency's
project areas have a set of Owner
PartIcIpatIon Rules settIng forth
specIfIc rIghts and preferences to
property owners and tenants (whenever the
word "Owner" Is used In this booklet It
Includes both tenants and owners).
The purpose of thIs booklet Is to
generally explaIn how an Owner or tenant
may seek to exercIse certaIn rIghts and
performances.
It Is Important to note that thIs booklet
does not specIfIcally cover the Agency's
actIvItIes related to IdentIfyIng and
selectIng developers who are not Owners.
The process used when IdentIfyIng and
selectIng a thIrd party developer, If
applIcable, Is descrIbed In the Agency's
Developer RelatIons GuIdelInes and may
also be descrIbed In a Request for
Proposals (RFP) for a specIfIc sIte If
the RFP approach Is used. If the RFP
approach were to be used, Owners affected
by the RFP would be notIfIed when the RFP
was Issued and would be gIven an
equIvalent opportunIty to submIt a
proposal.
If a thIrd-party developer submIts an
Independent proposal worthy of BasIc
Concept Approval, then Owners would be
notIfIed and gIven an opportunIty to
develop competIng proposals In the same
fashIon as descrIbed In thIs booklet.
ThIs booklet Is for general informatIon.
In the event of conflIct wIth the Owner
PartIcIpatIon Rules, the Redevelopment
Plan, or other applIcable laws then such
rules, plan or laws shall control.
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INITIAL CONTACT AND
UNSOLICITED PROPOSAL
R E QUI REM E N T S
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The InItIal InteractIon between Agency
staff and an Owner Involves a general
orIentatIon to project area plans, goals,
and development opportunItIes. In
addItIon, the statutory role of the
Agency In dIrectIng and ImplementIng the
project area plan Is explaIned.
If the Owner wants to proceed, a letter
IndIcatIng development Interest and
requestIng BasIc Concept Approval should
be sent to the Agency's ExecutIve
DIrector. Enclose four sets of the
followIng materIal wIth the letter:
1. A descrIptIon of the scope and type
of development, IncludIng approxImate
square footage totals, approxImate
parkIng space counts, estImated
coverage percentages for buIldIngs
and landscapIng, and descrIptIons of
any off-sIte Improvements that wIll
be approprIate based upon normal CIty
standards;
2. EstImates of the number of persons to
be employed (both durIng constructIon
and when operatIonal) for commercIal
and IndustrIal projects, IncludIng
InformatIon on current employees If
the OWner Is relocatIng from existIng
facIlItIes In San BernardIno;
3. PrelImInary concept drawIngs,
IncludIng a sIte plan, exterIor
elevatIons and typIcal floor plans;
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4. Est1mates for both the current
property value and the completed
development value, show1ng land
values separately (prov1de square
foot subtotals for each land use
type) ;
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5. A sunnary of the Owner's
qua11f1cat10ns, includ1ng past
exper1ence, f1nanc1al capab111ty, the
qua11f1cat10ns of each member of the
proposed development team, and the
1dent1f1cat10n of any j01nt venture
partners together v1th a general
descr1pt10n of the dut1es and
1nvo1vement of the respect1ve
part1c1pants; and
6. F1nanc1a1 pro formas for the
development and ten years of
operat10n, 1nc1ud1ng f1nanc1ng and
market1ng costs and separatIng any
proposed phas1ng.
The most helpful format for the above
1nformat10n 1s 8.5" x 11", vertIcally
or1ented, black and vhlte materIal
su1table for photocopy1ng.
Once rece1ved, the proposal v111 be
rev1eved by the Agency's staff (th1s may
also 1nc1ude a rev1ev by C1ty
departments) for cons1stency v1th project
goals, objectIves and f1nancla1
feas1b11lty. Th1s step 1s undertaken to
av01d s1gnlf1cant omlss10ns 1n the
proposal.
Staff v111 send the app11cant
not1f1catlon 1f the proposal 1s
1ncomp1ete and 1t v111 be the
respons1b111tyof the app11cant to
prov1de a complete and accurate package.
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BASIC CONCEPT
AND EXCLUSIVE
N EGO T I A T ION
APPROVAL
RIG H T S 0 F
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The second step 'n obta'n'ng Bas'c
Concept Approval 'nvolves an oral
presentat'on of the proposal to the
Agency's Execut've D'rector and/or 't's
Development D'v's'on Manager.
Bas'c Concept Approval's an 'ndlcat'on
from Agency staff that the proposed land
use and development concept are
des'rable; however, 't does not prevent
other part'es from propos'ng alternat've
concepts for development. In fact, 'f
Bas'c Concept Approval's granted, any
affected Owners wIll be g'ven not'ce of
the development 'nterest and rece've a
per'od of t'me selected by the Execut've
D'rector, typ'cally 30 to 60 days, to
subm't the'r own proposals for
development of the s'te.
In the absence of compet'ng proposals, an
agreement for ExclusIve RIghts of
Negot'atlon (ERN) may be subsequently
forwarded to the Agency's govern'ng
body. If approved, the Agency's staff
and consultants w'll then be author'zed
to pursue the contract negot'atlons
necessary to produce a development
agreement.
The ERN prov'des an Owner wIth exclusIve
r'ghts to negot'ate property acqu'slt'on
and/or development of a spec'f'ed s'te
over a specIfIc per'od of t'me, but It
does not obl'gate the Agency or Owner to
carry out a development project.
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EVALUATING COMPETING
PROPOSALS
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If two or .ore proposals ('ncludlng
proposals from Owners) receive Basic
Concept Approval for the same slte(s),
then the Agency's Executive Director will
authorize staff to In~tlate an owner
selection process. This process would
entail the establishment of a selection
committee and specific selection criteria.
Each Owner would be notified that a
selection process will be undertaken and
afforded the opportunity to participate
on a competitive basis. The assigned
staff person(s) will develop evaluation
criteria to numerically rank each
project. The Owners will be Informed of
the criteria, the date, time, and place
to make their presentations. Normally
the evaluation criteria will Include the
following:
" 1. Development team qualifications,
( Including experience and financial
capacity to undertake the project;
2. Project concept and architectural
design features;
3. TIming;
4. Job creation potential;
S. Financial benefits to the Agency,
City and community;
6. COnformity of the submittal, with
respect to uses, with the
Redevelopment Plan and other
applicable enactments;
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7. FeasIbIlIty of the proposal, and
evIdence of ~nufacturer or franchIse
approval, If applIcable; and
8. EnvIronmental benefIts (or lesser
degree of detrImental aspects).
. Each Owner's concept and assocIated
documentatIon wIll be provIded to the
selectIon commIttee members for revIew
prIor to the selectIon IntervIews. If
the commIttee requIres addItIonal
InformatIon to aId the process, thIs
request wIll be forwarded to the Owner.
Nevertheless, the proposals wIll not be
shared among the competIng Interests.
Furthermore, prospectIve Owners wIll not
be provIded an opportunIty to vIew theIr
competItor's presentatIon durIng the
commIttee's revIew. ThIs polley Is taken
to ensure faIrness and maIntaIn equIty
among the competItors In the selectIon
process.
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Upon the conclusIon of the selectIon
process (IncludIng the checkIng of
references), the selectIon commIttee wIll
determIne Its choIce for the preferred
Owner based upon a scorIng system, and an
ExclusIve RIghts of NegotIatIon (ERN)
agreement wIll be produced for revIew by
the Agency's governIng board.
As mentIoned earlIer, an ERN does not
contractually oblIgate the Agency or
Owner to carry out a development project;
It does permIt the negotIatIon of a
development agreement.
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OPA
THE
N EGO T I A T ION SAN D
APPROVAL PROCESS
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Upon execution of an ERN, Agency staff
will commence negotiation of an Owner
Participation Agreement (OPA) with the
Owner. The OPA wIll contractually
obligate the Owner and, as applicable,
the Agency to carry out a project.
The negotiations may include the routIng
of copies of the conceptual plans to
various CIty departments for their
comments and transmittal of the pro forma
information to the Agency's economist to
obtaIn a land reuse value analysis. In
addItIon, the Agency's environmental and
non-discrimInation reviews are initiated
in compliance with applicable laws.
Once busIness terms are agreed upon, the
documents wIll be drafted and, when
sIgned by the Owner, wIll be submItted to
the Agency's CommunIty Development
CommIssion for approval. If the Owner
owns the entire site affected by the
project, an advertised public hearing is
usually not requIred. If land Is to be
sold or leased by the Agency, a joInt
public hearIng of the Agency and the
Common Council typically is required.
Such hearing would be set and it would be
advertIsed 14 days prior to Its
occurrence or at such tIme as may satIsfy
applIcable legal requIrements. It Is the
policy of the Agency that such
advertisement shall not take place until
all private parties have signed the OPA.
Before submItting the OPA to the
CommIssIon, the document is revIewed by a
subcommIttee of the CommissIon, called
the RDA CommIttee. The RDA CommIttee Is
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composed of three Commission members who
review and make recommendations on
matters to be presented to the full
Commission.
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If the business terms cannot be agreed
upon or the term of the ERN expires or
the ERN Is otherwise terminated, the
Agency reserves the right to reject all
proposals or to negotiate with another
proponent. -
Owner should cooperate and submit such
Information as Is necessary and
appropriate for the issuance of a staff
report which describes the proposed
undertakings and which satisfies
applicable legal requirements.
After execution, the OPA serves to direct
future Agency/Owner relationships with
each party performing its
responsibilities according to the
schedules assigned In the contract. Upon
the fulfillment of all contract
provisions, a Certificate of Compliance
will be recorded as evidence of the
project's compliance with the terms of
the OPA and with the Agency's recorded
plan for the project area.
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ADD I T ION A L I N FOR MAT ION
For answers to any questions or If
additional Information Is required
regarding these procedures, you are
Invited to contact the Agency staff at
(714) 384-5081. Our address Is:
Redevelopment Agency
City of San Bernardino
300 North D Street, Fourth Floor
San Bernardino, CA 92418
He are located In City Hall at the corner
of Third and D Streets In downtown San
Bernardino.
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APPINJlIX A: now Cbart for Unaollclted
OwDer Propo..'.
CONCIl'T
PIIOPOlW.
DOCIIIIIJITS
01lllD
NOrmCATlON
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OPA
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