HomeMy WebLinkAboutrda min 1985/04/04
MINUTES OF A REGULAR MEETING OF THE REDEVELOPMENT AGENCY
OF THE CITY OF CHULA VISTA, CALIFORNIA
Thursday, April 4, 1985 Council Chambers
7:00 p.m. Public Services Building
ROLL CALL
MEMBERS PRESENT Chairman Cox; Members McCandliss, Moore
MEMBERS ABSENT Members Malcolm, Scott
STAFF PRESENT Executive Director Goss, Agency Attorney Harron,
Redevelopment Coordi nator Zegl er, Pl anni ng
Di rector Krempl, Housing Coordi nator Gustafson,
Development Specialist Kassman
ITEM NO. 1 - APPROVAL OF MINUTES
MSUC (Moore/McCandl iss) to approve the minutes of February 21 and March 5,
1985, as mailed.
ITEM NO.2 - PUBLIC HEARING - CONSIDERATION OF TAKING OF PARCEL OWNED BY
GEORGE MERZIOTIS
Noting that only three members were present this evening, staff recommended
this item be continued.
MSUC (McCandliss/Moore) to continue the public hearing to Tuesday, April
9, 1985, following the City Council meeting.
ITEM NO. 3 - RESOLUTION - APPROVING ENVIRONMENTAL CONSULTANT SERV ICES TO
ASSIST IN PROCESSING APPLICATIONS FOR FEDERAL
CLEARANCE AND APPROPRIATING FUNDS THEREFORE.
A 4/5ths vote is required to approve this resolution.
MSUC (Cox/Moore) to continue this item to Tuesday, April 9, 1985,
following the City Council meeting.
ITEM NO. 4 - REPORT: DESIGN COMPETITION FOR BAY FRONT INTERPRETIVE CENTER
The Redevelopment Agency recently appointed a seven-member advisory committee
and design jury relative to a design competiti on for the Bayfront
Interpreti ve Center. Of the 15 proposals received, the advisory committee
recommends six firms for approval as semi-finalists in this competition.
Member McCandl i ss requested the Agency be gi ven time to bri efly revi ew the
portfolios of the six semi-finalists. Therefore, this item was trailed.
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Regular Meeting of the
Redevelopment Agency -2- April 4, 1985
ITEM NO. 5 - REPORT: RESIDENTIAL PARCEL 8
On March 21, the Redevelopment Agency amended the Supp 1 ementa 1 Disposition
and Development Agreement with Centre City Associates to extend the deadline
for development commi tment on Parcel 8 from April 1 to May 1, 1985. This
extension was granted in order to allow the developer time to complete his
financial package, to allow the housing consultant to evaluate that package,
and for both parties to confer and clarify issues.
Housi ng Coordi nator Gustafson i ndi cated that the developer and the Housi ng
Consultant are in attendance this evening. The developer is in accord wi th
the consultant's recommendations.
Mr. Dan Grady, Housing Consul tant, Monfric, Inc. , discussed the current
proposal as it compares to the previ ous proposal. The developer requi res
comparable assistance from the City for this new proposal, which includes 92
units and parki ng. Mr. Grady discussed the advantages of tax-exempt
financi ng versus conventi onal financing for the project and concl uded that
tax-exempt fi nanci ng woul d be more advantageous for this project. As a
resul t, he recommended that the Redevelopment Agency consider passing an
inducement resolution for $4.1 mill ion. Mr. Grady clarifi ed that the
mortgage on the loan woul d be $4.1 mi 11 ion, the Ci ty I s investment from the
Low and Moderate- Income Housi ng fund woul d be $850,000, and the developer's
investment would be $1.3 million, for a total of approximately $6 million for
construction of 92 units.
Housing Coordinator Gustafson pointed out that the Di spositi on and
Development Agreement calls for a development commitment which is agreed to
by the Redevelopment Agency in order to satisfy the schedule of performance.
If conventional financing were pursued, the developer would have no
probl ems. However, if we proceed wi th an inducement resolution for bond
fi nanci ng, thi s woul d be more complicated. Therefore, a firm commitment
could not be made for at least three months. Therefore, staff proposes that
the Housi ng Consul tant and staff come back with a schedul e of performance
which would include the timetable for a bond sale, etc. Thi s woul d take
approximately three months from the April 18 date.
In response to Member McCandl iss' question, Housing Coordinator Gustafson
requested direction from the Agency regarding the correct path to take. He
added that this particular design would probably be more successful than the
one proposed by Pacifi c Scene. The Town Centre Project Area Committee gave
favorable recommendation for this new concept. The Schedul e of Performance
would include the appropriate steps for design approval of the project that
shoul d be adhered to by the developer. He pointed out that any cost incurred
by the developer prior to an inducement resolution could not be recaptured by
the developer.
Redevelopment Coordi nator legl er i nterj ected that the Town Centre Proj ect
Area Committee gave favorable recommendation for the project's land use. At
this time, the Agency is requested to give direction as to whether or not
this is a desirable project to pursue.
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Regular Meeting of the
Redevelopment Agency -3- Apri 1 4, 1985
Mr. Michael Cowett, representing Centre City Associates Limited, requested a
favorable recommendation by the Redevelopment Agency tonight in order to come
back to them with a schedul e of performance at the next meeting. He
discussed the advantages of tax-exempt financing as compared to conventional
fi nanci ng for thi s project. The schedul e of performance coul d incorporate
time 1 imi ts that woul d have to be met before August in order to get thi s
project moving.
Housing Coordinator Gustafson reiterated that staff would like the advice of
the Agency and any concerns about the concept of this project. Basically,
would the Agency like the developer and staff to come back with an inducement
resolution and schedule of performance? This schedule can be flexible. He
added that an additional extension is not being requested at this meeting.
However, the Agency should be made aware that if an inducement resolution is
approved, the deadline for submittal of a financial package would have to be
extended at the May 9 meeting.
Member McCandliss expressed concern with the design of the project. However,
she supported the preparation of inducement resolution documents.
MSUC (Cox/McCandliss) to accept the staff report and direction outlined.
In response to Member Moore's question, Housing Coordinator Gustafson
explained that the schedule of performance will outline the path to be taken
in order to produce a bond issue. Three months mi nimum wi 11 be needed to
accomplish the actual issuance of these bonds.
ITEM NO. 4 - REPORT: DESIGN COMPETITION FOR BAYFRONT INTERPRETIVE CENTER
(CONTINUEO)
MSUC (McCandliss/Moore) to accept the staff recommendation.
ITEM NO. 6 - RESOLUTION NO. 576 - APPROVING REVISION IN THE SCHEDULING OF
CONSTRUCTION FOR HOUSING OPPORTUNITIES,
INC. HOUSING PROJECT
On Ma rch 30, 1984, the Agency entered into a Cooperati ve Agreement wi th
Housing Opportunities, Inc. (HO!) which provided Agency financial assistance
to a 16B-unit moderate-i ncome c{)ndominium development by HOI. The phasing
schedule in the agreement required start of construction by January 1, 1985.
On December 6, 1984, the Agency extended the project's construction start to
April 1. Due to Engineering Department estimates that an additional 60 days
will be required before plans can be fully approved, it is requested that the
construction schedule be revised to June 20, 1985.
RESOLUTION OFFERED BY CHAIRMAN COX, the reading of the text was waived by
unanimous consent, passed and adopted unanimously.
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Regular Meeting of the
Redevelopment Agency -4- April 4, 1985
ITEM NO. 7 - REPORT: STATUS OF ENVIRONMENTAL AUDIT AND HEALTH SURVEY
The City executed a contract with Woodward-Clyde Consultants at the beginning
of this calendar year to provide assistance to City staff on environmental
matters and also to undertake an environmental audi t of the Otay Vall ey
area. As a result of Request for Proposals issued by the Agency in October,
staff has al so been in contact wi th the Envi ronmental Health Coalition for
the undertaki ng of a heal th survey of the area to establ i sh base 1 i ne data
and determine whether previous hazardous waste dumping has caused any
associated health problems.
Development Specialist Kassman reported that staff has met with
Woodwa rd-Clyde and the Envi ronmental Heal th Coal ition to attempt to resol ve
overl appi ng areas in thei r contract proposal s. The Environmental Health
Coal ition is composed of members of the academic and professional
communities, as well as a consortium of interested individuals.
Member Moore questioned the use of the Envi ronmenta 1 Health Coalition's
services for this purpose. In response, Mr. Kassman commented that not too
many individual s, or organizations, are doing this type of work. Secondly,
staff woul d like to maintain credibility by the community by using the
academic community.
Discussion ensued regarding the Coalition's track record. It was stated that
it is difficult to obtain expertise in this fi el d without payi ng a
substantial fee for it. In response to Member Moore 1 s concern, Member
McCandliss stated that the County Health Oepartment pl ans to become more
involved in this project. As a routine matter, the County does not perform
these kinds of studies.
Executive Director Goss pointed out that since the County is the regulator of
thi s type of study, it mi ght be mi sconstrued that the County woul d have
certain biases in undertaking such a project. Member McCandliss reiterated
that the Heal th Department does not, as a routine, perform these health
studies. However, she requested that a report be prepared regarding
monitoring that other regulatory agencies are doing.
Executive Director Goss added that by having i ndi vi dua 1 expertise, the
Coalition has been able to raise certain points that staff could never
raise. Chairman Cox suggested that it might be advantageous to have a report
on what the agencies are testing and reports they are making.
Executive Director Goss discussed moni tori ng wells located in the Omar
Rendering Plant site. Developments in this area are being proposed very
rapidly and additional testing is needed as well. This information should be
turned over to perspective buyers to make them aware of findings.
MSUC (Moore/Cox) to accept the report.
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Regular Meeting of the
Redevelopment Agency -5- April 4, 1985
ITEM NO. 8 - REPORT: REQUEST FROM OTAY VALLEY ROAD PROJECT AREA COMMITTEE
FOR AGENCY ACTION CONCERNING OTAY METALS COMPANY
The Otay Valley Road Project Area Committee requests that the Redevelopment
Agency take strong and immediate actions against a business that has recently
located in the project area in dereliction of City and Agency standards,
controls, and permits. The Otay Metals Company recently located at 4501 Otay
Valley Road without City Planning and Design Review and without securing
necessary permits under the Agency's implementation plan/design guidelines.
Development Specialist Kassman informed the Agency that staff has been
meeti ng with the 1 and owner and hi s attorney. As a resul t of these
discussions, it is requested that this item be tabled until staff has more
time to resol ve these issues. He anti ci pated that a report coul d come back
to the Agency for the next meeting.
MSUC (Cox/Moore) to continue thi s item to the next Agency meeting of
April 18, 1985.
ITEM NO. 9 - REPORT: CITY ENTRY SIGNS
For the past several years, the City Council/Redevelopment Agency has
discussed the desirability of City entry signs. The 1984-85 fiscal year
budget contains $53,000 (divided equally between the City and the Agency) to
construct si gns at each of the four entry poi nts along Interstate 5 and
Interstate 805. For the past six months, various configurations have been
studi ed and revi ewed by the Agency. In January 1985, the Agency chose a
monument sign prototype and sel ected potential si tes for CalTrans
consideration. Staff recommends that the Agency incorporate into their
1 egislative program a request that modifications to Federal regul ati ons be
developed that would allow for some flexibility in permitting monument-type
signs within freeway ri ght s-o f-way . Furthermore, the National League of
Cities and the League of California Cities should be requested to assist the
City in securing these modifications.
Ch airman Cox stated that 1 egi sl ati ve modifi cati ons shoul d probably not be
sought until the City can determine that there is a need for them. Perhaps
the City shoul d meet with CalTrans to see if there is a desire for entry
sign s, freeway si gns, and freeway-oriented logos. This could be pursued
after completion of the sidewalk improvements to the overpass of 1-805. He
suggested meeting with Ca lTrans district officials and the Director of
Ca lTrans to submit a formal proposal specifically for entry signs.
Concurrently, staff should make contact with the F edera 1 Highway
Admi ni strati on to see if there is a consi derati on for 1 ocati on of freeway
entry signs that coul d be fit in with these gui del i nes. Seeking
modifications to legislation will be time consumi ng. However, the major
concern of the Federal Highway Administration is in regard to safety.
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Regular Meeting of the
Redevelopment Agency -6- April 4, 1985
Chairman Cox added that he would prefer this be done at the administrative
level. If this cannot be accompl ished, however, legislation modifications
would be pursued.
MSUC (Cox/Moore) to accept staff report but hold off on seeking
legislative resolution of this problem and try to work on an
administrative level at this time by contacting San Diego District and
Sacramento Offices of CalTrans and the Sacramento office of the Federal
Highway Administration.
MEMBERS' COMMENTS
a. MSUC (McCandliss/Cox) to adjourn to Closed Session for possible
litigation.
b. Member McCandliss expressed concern with continued efforts to revitalize
the downtown area and suggested that a five-year revi tal i zati on pl an be
implemented. She noted that the Oowntown Committee has unanimously
supported such a five-year plan.
Development Specialist Kassman stated that the parking study will be
hea rd by the Parki ng Pl ace Commi ssi on on April 9 and the Redevelopment
Agency on April 18. The marketing study will be ready in mid-May.
Chairman Cox suggested then that both the parking and marketing studies
be held up until after consideration by the Redevelopment Agency in May.
MSUC (McCandl i ss/Moore) to hol d a Counci 1 Conference-type forum when the
marketing study is presented to the Agency (which will be presented
concurrently with the parking study), and invite businesses along Third
Avenue to hear the presentation and provide whatever input they have.
Member McCandl iss reiterated her endorsement of the five-year pl an as
proposed by the Downtown Committee.
It was moved by Member McCandliss to endorse the idea of developing a
five-year plan involving businesses along Third Avenue.
The motion died for lack of a second.
Chairman Cox expressed his reluctance in supporting the motion as he was
not sure what the five-year plan entailed. He requested a better
definition of what the bottom line goal of this plan is. In response,
Member McCandliss stated that the focus of this plan is that businesses
take the lead with assistance from the City.
c. Member Moore requested an update on the status of upgrading the Chula
Vi sta Shoppi ng Center on "H" Street. Member McCandl i ss commented that
she would provide Member Moore with information at a later date.
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Regular Meeting of the
Redevelopment Agency -7- April 4, 1985
d. Member Moore, noti ng the 1 ack of acti vity at the seni or housi ng si te on
"F" Street (Town Centre Manor), requested a status report be forwarded as
an information item to the Council.
e. Member Moore suggested that included in the parki ng study for the
downtown area shoul d be a status of the parking di stri ct (how many
employees, total expenses and revenue income, and future intentions).
ADJOURNMENT at 8:15 p.m. to Closed Sessi on and the mi d-month meeting of
Thursday, April 18, 1985, at 4:00 p.m. The Recording Secretary was excused
and the Executive Director reported that Closed Session adjourned at 8:27 p.m.
WPC 1516H
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