HomeMy WebLinkAboutReso 1992-16512 RESOLUTION NO. 16512
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA
VISTA APPROVING AN ADDITIONAL SALES TAX GUARANTY WITH
HOMART DEVELOPMENT COMPANY FOR THE GUARANTY FOR SALES
AND PROPERTY TAXES USED TO AMORTIZE FINANCING FOR THE
PURPOSE OF CONSTRUCTING THE PARKING DECK AT THE CHULA
VISTA CENTER
The City Council of the City of Chula Vista does hereby resolve as follows:
WHEREAS, the Homart Development Company (Developer) has proposed an
expansion to the Chula Vista Shopping Center by the addition of a Mervyn's
department store, ten-plex movie theater, relocation of the Sav-On Drug store,
and construction of a 670 space parking deck; and,
WHEREAS, the proposed project is estimated to cost approximately $21
million; and,
WHEREAS, the developer has requested that the Redevelopment Agency of the
City of Chula Vista (Agency) assist in the funding of said project through the
provision of $2.6 million to apply towards the construction of the parking deck;
and,
WHEREAS, said contribution on the part of the Redevelopment Agency in cash
or through the issuance of debt instruments will require the guarantee of certain
amounts to amortize the funding of such construction; and,
WHEREAS, the Homart Development Company, City of Chula Vista and
Redevelopment Agency entered into a Sales Tax Guaranty Agreement for the first
expansion of the Chula Vista Mall dated April 30, 1987 through which sales tax
revenues pledge towards amortization of funds used to pay debt service for the
first expansion of the shopping center were guaranteed for a period of seven (7)
years; and,
WHEREAS, Homart Development Company has proposed an additional sales tax
guaranty between the Developer, the City, and the Redevelopment Agency which
would guarantee additional funds to apply to amortize the contribution toward the
second expansion of the Chula Vista Mall, said guaranty for the second expansion
to be for a total period of nine (9) years; and,
WHEREAS, if the method of financing the project may require the project to
be publicly owned; and,
WHEREAS, pursuant to Section 33445 of the California Community
Redevelopmerit Law, the City Council has determined that the parking deck to be
financed will be a benefit to the Redevelopment Project Area, and that no other
reasonable means of financing are available to the community; and,
WHEREAS, the Planning Commission of the City of Chula Vista and the City
Council have certified that the Final EIR prepared for this project under EIR-91-
Resolution No. 16512
Page 2
04 (SCH#91051042) was prepared in accordance with the State of California CEQA
guidelines and the Environmental Review Procedures of the City of Chula Vista.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula
Vista that the additional Sales Tax Guaranty among Homart Development Company,
the City of Chula Vista and the Redevelopment Agency of the City of Chula Vista,
substantially in the form known as document number C092-036, a copy of which is
on file in the office of the City Clerk, is hereby approved.
BE IT FURTHER RESOLVED that the Mayor is hereby authorized to execute said
agreement on behalf of the City Council.
Chris Salomone
Boogaard
Community Development Director City Attorney
Resolution No. 16512
Page 3
PASSED, APPROVED and ADOPTED by the City Council of the City of Chula
Vista, California, this 25th day of February, 1992, by the following vote:
YES: Councilmembers: Grasser Horton. Malcolm, Moore,
Rindone, Nader
NOES: Councilmember: None
ABSENT: Councilmembers: None
ABSTAIN: Councilmembers: None
Tim Nader, Mayor
ATTEST:
Beverly/A. Authelet, City Clerk
STATE OF CALIFORNIA )
COUNTY OF SAN DIEGO ) ss.
CITY OF CHULA VISTA )
I, Beverly A. Authelet, City Clerk of the City of Chula Vista, California, do
hereby certify that the foregoing Resolution No. 16512 was duly passed, approved,
and adopted by the City Council at a joint City Council/Redevelopment Agency
meeting held on the 25th day of February, 1992.
Executed this 25th day of February, 1992.
Beverly ~ Authelet, City Clerk