HomeMy WebLinkAboutrda min 1985/06/20
MINUTES OF AN ADJOURNED REGULAR MEETING OF THE REDEVELOPMENT AGENCY
OF THE CITY OF CHULA VISTA, CALIFORNIA
Thursday, June 20, 1985 Council Conference Room
4:18 p.m. City Hall
ROLL CALL
MEMBERS PRESENT Chairman Cox; Members Malcolm, Moore, McCand1iss, Scott
MEMBERS ABSENT None
STAFF PRESENT Executi ve Di rector Goss, Agency Attorney Harron,
Communi ty Development Director Desrochers, Development
Specialist Kassman, Housing Coordinator Gustafson
ITEM NO. 1 - REPORT: CENTRE CITY ASSOCIATES, LIMITED-COMMERCIAL/RESIDENTIAL
The development of parcel 8, the resi denti a1 multi -family site next to the
parking structure and Memorial Park, has been discussed by the Agency for the
past year. The agenda statement from the June 6, 1985, meeting describes the
situation. Prior to making a commitment on the development of this site by
Mr. Zogob and associ ates, it has been the Agency I s intent to di scuss other
matters associated with the Focus Area. It is this reason that the discussion
has been divided into two segments: potenti al changes in the parking
structure agreement and development of parcel #8.
Ms. Michelle Britgader, representing Margie Phares (MJ Realty), read a letter
offering to purchase parcel #8 for $850,000 if the Agency di sapproves the
developer's project.
Member Malcolm suggested this item be trailed for discussion in Closed Session.
ITEM NO. 2 - REPORT: APPROVING COMMERCIAL REHABILITATION LOAN FOR FRANK
COOMBS FOR CONSTRUCTION OF BUILDING AT 231 THIRD AVENUE
Pursuant to the guidelines of the Commercial Rehabilitation Loan Program, the
Agency must approve all rehabilitation loans not located on Third Avenue and
those in excess of $75,000. The Town Centre Development Corporation, at their
meeti ng of June 5, 1985, approved a loan to Mr. Frank Coombs for the
construction of a commercial building at 231 Third Avenue. This loan will be
in excess of $75,000 and therefore requires Agency approval.
Chairman Cox suggested that in the future, a site map be included with these
types of reports.
MSUC (McCandliss/Moore) to accept the staff recommendation.
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Adjourned Regular
Redevelopment Agency Meeting - 2 - June 20, 1985
ITEM NO. 3 - REPORT: REQUEST FOR COMMERCIAL REHABILITATION LOAN FOR DR.
MARVIN GALE AND DR. ELAINE COHEN FOR IMPROVEMENTS TO
BUILDING AT THE SOUTHWEST CORNER OF CHURCH AVENUE AND
"E" STREET
The guidelines of the Commercial Rehabilitation Loan Program require that the
Agency approve all loans not located on Third Avenue, and those in excess of
$75,000. The proposal by Drs. Gale and Cohen is located off Third Avenue and
is estimated at $230,000. Consequently, this project requires Agency review
and approval.
In response to Member Scott's question regarding the need for a resolution on
these types of reports, Community Development Director Desrochers stated that
si nce funds have been appropri ated for these loans, only a report is being
provided to the Agency because the loan request is in excess of $75,000.
Di scussi on ensued regardi ng the requirement to obtai n fundi ng sources other
than LDC loans by other applicants. Mr. Desrochers remarked if a single user
is involved, staff requests the applicant to contact the Small Business
Administration (SBA) for funding. He added that the Peters and Broccoli
buildings were funded through SBA.
Drs. Marvin Gale and Elaine Cohen, representing Gal e/Cohen Medical Offices,
di scussed the points for approval for thi s request, including: project is
located within the Town Centre Redevelopment Area, it will increase the City's
tax base, a precedent has been set by i ssui ng loans for other professi ona1
offices, SBA has not assured applicants that they qualify for an SBA 503 loan,
SBA loan interest rate fluctuates.
MSUC (Cox/Scott) defer action on this proposal pending a determination by
the Small Business Administration on the 503 loan request.
Discussion ensued concerning other uses better suited for these funds (i .e.,
refurbishing and building downtown). Chairman Cox pointed out that the motion
to defer this item was made basically since loans are for use on Third Avenue.
Member McCandl i ss commented that it appears owner/users are penal i zed from
obtaining rehabilitation loans; however, outsiders are encouraged to apply if
they wish to renovate downtown.
It was moved by Member McCand1 i ss to approve the loan request in concept.
(The motion died for lack of a second. )
ITEM NO. 4 - RESOLUTION NO. 598 - ACCEPTING INFORMAL BIDS AND AWARDING
CONTRACT FOR "CONSTRUCTION OF TREEWELLS ON THE NORTH SIDE OF "F"
STREET WEST OF THIRD AVENUE"
The City has received two informal bids for "Construction of Tree well s on the
North Si de of 'F' Street West of Third Avenue in the City of Chu1a Vista,
Ca 1 i forni a" . The work involves the installation of two trees, gradi ng. and
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Adj ourned Regu1 ar
Redevelopment Agency Meeting - 3 - June 20, 1985
excavation, removal of existing i mpro vemen ts, sawcutting, si dewa1 ks, bri ck
pavers, and landscape materials. Since only one bid was received on December
14, 1984, the City Landscape Architect has been trying to receive bids from
other firms. We have received one additional bid on this project.
RESOLUTION OFFERED BY MEMBER MALCOLM, the reading of the text was waived by
unanimous consent, passed and adopted unanimously.
ITEM NO. 5 - RESOLUTION NO. 599 - APPROVING A CONTRACT WITH MILFORD WAYNE
DONALDSON & ASSOCIATES TO UNDERTAKE A FEASIBILITY STUDY FOR
CONVERSION OF THE VOGUE THEATRE
Staff has been discussing the possibility of conversion of the Vogue Theatre
as a performing arts center with a Cul tural Arts Committee compri sed of
Counci1members Gayle McCand1iss and Frank Scott and several private citizens.
Staff has requested proposal s for the feasi bi 1 i ty of conversi on of the Vogue
towards this end. Two submissions have been reviewed in response to the RFP.
Member Moore questioned staff's authority to issue RFPs soliciting proposals
for the theatre's conversion, and asked if any commitments as a result of the
RFP have been made by staff. Community Development Director Desrochers
exp1 ai ned that the Agency expressed a desi re to explore the possi bi 1 i ty of
util i zi ng the Vogue Theatre as a site for a performing arts center. The RFP
was simply an attempt to determine if there was further desire for such a
theatre.
Member McCand1iss clarified that an ad hoc committee was formed to see if the
Vogue Theatre could be converted to a legitimate stage for performing arts, as
the City di d not have the experti se for thi s type of venture. Telephone
inquiries were made to discover what it would take (money, type of group,
etc.) to bring such a theatre to Chu1a Vista.
Mr. Walt Truk, representing On Stage Productions, commented that Mr. Tom Fago
of Centre City Associates has discussed the possibility of using a storefront
in the retail center for performance sites.
Ms. Barbara Silva stated that a cultural arts center in Chul a Vi sta is long
overdue. And, a feasibi 1 i ty study woul d be the fi rst step to determi ne if a
center is warranted.
RESOLUTION OFFERED BY MEMBER t~ALCOLM, the reading of the text was waived by
unanimous consent, passed and adopted.
ITEM NO. 6 - RESOLUTION NO. 600 - ADOPTING THE REDEVELOPMENT AGENCY BUDGET FOR
FISCAL YEAR 1985-86 AND APPROPRIATING FUNDS THEREFOR
The Redevelopment Agency budget was considered by the City Council on May 30,
1985, and June 10, 1985, as part of the budget revi ew process. Si nce the
Agency's funds are not derived from the City's General Fund revenues, it is
necessary to approve the budget separately as a Redevelopment Agency item.
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Adj ourned Regul ar
Redevelopment Agency Meeting - 4 - June 20, 1985
Executive Di rector Goss commented on the supp1 ementa1 budget requests for
funding School District projects. Communi ty Development Director
Desrochers added that in conversation with the City of National City relative
to this type of funding request, no commitments to the school di strict have
been made, however, some school district projects are in their redevelopment
area.
Member Moore questioned the request for environmental consul tant services
relative to funding a health survey in the Otay Vall ey Road Redevelopment
Area. Mr. Desrochers reported that the Envi ronmenta 1 Health Coal iti on
proposes to perform the study for $27,000.
Discussion ensued regarding the background of the Agency's request for
statistical information to provide infant mortality death rates, meeting with
health officials, etc. Member McCand1iss suggested that the Agency be
provided with minutes for the past year pertaining to this issue.
MSUC (Malcolm/Scott) direct staff to write to the County Health Department
(with a copy to Supervisor Bil bray) requesting them to fund and take the
lead on a health study in the Otay Valley Road area.
MSUC (McCand1iss/Malcolm) bring forward the record on thi s subject
(discussion, action, etc.) in the past year for Agency review.
Discussion followed regarding funding construction of Chula Vista High School
bl eachers. Agency Attorney Harron reported that according to bond counsel, no
impropriety regarding this request is apparent.
Member Scott opposed this request as it would set a precedent for other school
requests.
Dr. David Perry, Assistant Superintendent for the Sweetwater Union High School
Di stri ct, commented that counsel i ng servi ces and decreasi ng cl ass si zes are
top priority of the School Board. The Board Presi dent has stated that the
School Board make no commitment on funding the bleachers until test samplings
have been made. A commi t tee has al so been set up to raise funds for
construction of the bleachers once the test samplings have been completed.
Chairman Cox clarified that in any event, construction of the bleachers would
be in place in the fall; however, he suggested use of Redevelopment funds for
this purpose be explored by staff.
MSC (Malcolm/McCand1iss) direct legal staff to determine if it is legally
possible to set up a proposal using Redevelopment funds for School
District projects. (The motion passed 4-1; Member Scott opposed.)
An additional request for fundi ng in FY 1985-86 is for a half-time Cl erk in
addition to the half-time Clerk already approved by the City Council.
MSUC (Scott/Cox) include an addi ti ona1 hal f-time Cl erk I to Community
Development budget (therefore, full-time Clerk I approved).
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Adjourned Regular
Redevelopment Agency Meeting - 5 - June 20, 1985
RESOLUTION OFFERED BY MEMBER McCANDLISS, the reading of the text was waived by
unanimous consent, passed and adopted unanimously as amended.
ITEM NO. 7 - REPORT: NEGOTIATING AN AGREEMENT WITH GEORGE S. NOLTE AND
ASSOCIATES FOR ENGINEERING SERVICES FOR WIDENING OTAY
VALLEY ROAD AND RELATED IMPROVEMENTS
Staff began discussing the need for an engi neeri ng study to design
improvements for Otay Vall ey Road and estab 1 ish a formu1 a for a fair
assessment spread over a year ago. However, the project coul d not proceed
until more information had been received including projected traffic demand
and resulting capacity requirements for Otay Valley Road. At thi s time, the
Agency is requested to consi der a proposal from Walker Scott Properties/Palm
to jointly fund George S. Nolte and Associ ates to undertake an engineering
study for pre1 iminary alignment and gradi ng of the roadway and re 1 ated
improvements. This study will al so provi de conceptual plans for additional
sewer capacity, grading and development of parcels south of Otay Valley Road,
and access to the Otay riverway.
An RFP has not been issued for thi s work due to the proposal recei ved from
Walker Scott Properties/Palm. George S. Nolte and Associates has been
employed by the property owner to undertake land development studies over the
past year including grading, subdivision, and sewer capacity studies.
Consequently, Nol te has extensi ve knowl edge of the pl anni ng and development
issues in the area and has worked closely with City staff in developing their
studies. City regul ati ons all ow the waiver of competi ti ve bidding when
extenuating circumstance exists and the City may benefit from substantial
savi ngs in cost. In thi s case, the Ci ty woul d save hal f of the contract
amount and considerable time in completing the proposed study.
MSUC (Scott/Cox) to accept the report.
ITEM NO.8 - RESOLUTION - APPROVING CONSTRUCTION SCHEDULING REVISION FOR HOI
PROJECT
On March 30, 1984, the Agency entered into a Cooperati ve Agreement with
Housing Opportunities, Inc. (HOI), which provided Agency financial assistance
to a 168-unit moderate-income condominium development by HOI. The phasi ng
schedule in the agreement required start of construction by January 1, 1985.
On December 6, 1984, the Agency extended the project's construction start date
to Apri 1 1. On April 4, the Agency further extended the project's
construction start date to June 20, 1985. Due to delays associated with the
evaluation and approval of improvement plans, in particular the drainage
treatment to Poggi Creek both on and off site, that extended start date is
also not achievable.
Housing Coordinator Gustafson reported that the blame for delay could not be
attributed to either the City or the developer. The delay was a result of the
processing required for an innovative drainage treatment.
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Adjourned Regular
Redevelopment Agency Meeting - 6 - June 20, 1985
In response to Member Malcolm's remarks, Mr. Gustafson noted that the Agency
has placed a cap on sal es pri ces of affordable units and the overhead
stipulated in the City's agreement wi th HOI is a specific dollar figure
($4,000 per unit). The cap has been reviewed by the Agency's housing
consultant, as well as the County's Fi nance Committee and was found to be
reasonable.
Discussion ensued regarding obligation of the developer to construct the
Oleander bridge cul vert improvements. Mr. Gustafson added that this
requirement was not a condition of the subdivision map process, nor were costs
anticipated for such by the developer.
MSUC (Cox/Malcolm) continue for two weeks to obtain information on culvert
and possible extension of construction start date.
CHAIRMAN'S REPORT
Chairman Cox suggested a Closed Session following the Industrial Development
Authority meeting (immediately following this meeting) to discuss matters of
potential litigation.
MEMBERS' COMMENTS
a. Member Malcolm commented on trash and trucks parked on Otay Valley Road.
MSUC (McCandliss/Malcolm) have staff check into apparent abandonment or
long-term parking of truck vans along Otay Valley Road.
b. Chairman Cox commented on staff suggestion to schedule the workshop on the
marketing and parking studies for the Downtown area for either July 11 or
July 18.
MSUC (Cox/McCandliss) schedule workshop for marketing and parking studies
on July 11, 1985, at 4 p.m.
ADJOURNMENT at 6:05 p.m. to the Industrial Development Authority meeting
immediately following, Closed Session (6:15 p.m.) and the regular meeting of
July 2, 1985. The Recording Secretary was excused and the Executive Secretary
"",'" th.t """ S""" "do' .t 6'3~
au . esroc ers, xecutlve ecretary
WPC 1682H
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