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HomeMy WebLinkAboutrda min 1979/08/14 MINUTES OF AN ADJOURNED REGULAR MEETING OF THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA, CALIFORNIA Tuesday - 9:45 p.m. AU9ust 14, 1979 An adjourned regular meeting of the Redevelopment Agency of the City of Chula Vista was held on the above date at 9:45 p.m., immediately following the City Council meeting. MEMBERS PRESENT Chairman Hyde; Members Gillow, McCandliss, Scott Members Absent Member Cox STAFF PRESENT Executive Director Cole, Community Development Director Desrochers, City Attorney Lindberg ITEM NO. 1 - TOWN CENTRE FINANCING REPORT Community Development Director Desrochers noted the complexity of financing for the Town Centre area. At the meeting of August 2, 1979, this item was continued with the hope to present a streamlining of the financial package for the condominium development, however, a last minute "hitch" developed regarding the interpretation of House Bill 3712 (legal matters concerning interim rules). The first segment of Mr. Zogob's development can be buil t--the construction financing for the 129 units has been secured. It is anticipated that the financial consultants will be present at the next meeting to give the Agency a recommendation on the complete financial package for all of the units in the project. ITEM NO. 2 - UDAG STATUS Mr. Desrochers reported that he met with the UDAG officials and presented them with a letter from a local savings and loan company. By the first week in September, the Board of Directors of the savings and loan company will have acted on the financial commitment. At that time, the developer will be required to put up a 1% fee for the commitment letter which will then be acceptable to HUD. ITEM NO. 3 - TAX ALLOCATION BONDS UPDATE Director of Community Development Desrochers stated that he met with special and bond counsels along with the financial consultant yesterday to discuss the tax allocation bond issue. At the August 2 meeting, it was recommended that the sale of the bonds be held until after the November election; however, bond counsel now feels that it would be appropriate to go with the sale about the first of October. ITEM NO. 4 - OWNER PARTICIPATION AGREEMENT/CAMPBELL Mr. Desrochers explained that the new structure (warehouse at 350 Bay Boulevard) will change the present usage of the property. Presently, it is an auto-wrecking yard which use will be eliminated with the construction of the subject warehouse. The new building will be for auto parts distribution and the applicant will comply with all City require- ments (landscaping, paving, street improvements). There are three parcels similar in size (80' wide x 357' . deep) to the south of this property and there is a possibility of instituting eminent domain to consolidate all four parcels, however, this action '.ould be costly and is not a priority of the Agency at this time. The City could then sell the parcels to a developer. Mr. Desrochers added that approving Mr. Campbell's proposal is a step in the right direction and his proposed building is demountable which can be reconstructed at another location. 8/14179 -2- Redevelopment Agency Adjourned Regular Meeting August 14, 1979 Mr. Merideth Campbell, Attorney for Mr. Harding Campbell, stated that his client has been discussing plans for the development of his property with the staff for the last 7 months, and has incurred expenses with the understanding that there was no objection to the plans. The Redevelopment Agency submitted a draft agree- ment to Mr. Campbell for owner participation and he signed it immediately, paid $515 for the building permit and then ordered the building which cost over $30,000. If the redevelopment Agency doesn't approve the owner participation agreement at this time, Mr. Campbell stands to lose over $36,000. MEMBER SCOTT'S CONCERN Member Scott questioned how this project could get so far down the road whereby the applicant has already spent $36,000 without it ever coming to the Redevelopment Agency. Member Scott added that he does not like to get in the position of having no opportunity except to approve these plans. RESOLUTION NO. 197 - ENTERING INTO AN OWNER PARTICIPATION AGREEMENT BETWEEN THE REDEVELOPMENT AGENCY AND HARDING C. CAMPBELL Offered by Member Scott, the reading of the text was waived by unanimous consent of those present, passed and adopted by the following vote, to wit: AYES: Members Scott, Gillow, Hyde, McCandliss Noes: None Absent: Member Cox MOTION FOR STAFF REPORT It was moved by Member Scott, seconded by Member McCandliss and unanimously carried by those present that staff be directed to come up with a system whereby this will not happen again--that people are not led down the path that they can do something, spend large sums of money and then when they get to the Redevelopment Agency, there is no choice but to approve. The Agency wants to know exactly what forms and pro- cedures need to be changed to make sure that this doesn't happen again. The Agency requested that the report be made available at the next meeting. ADJOURNMENT Chairman Hyde adjourned the meeting at 10:05 p.m. to the next meeting scheduled for August 21, 1979. 8/14/79