HomeMy WebLinkAboutrda min 1985/11/21
AN ADJOURNED REGULAR MEETING OF THE REDEVELOPMENT AGENCY
OF THE CITY OF CHULA VISTA, CALIFORNIA
Thursday, November 21, 1985 Council Conference Room
4:00 p.m. Ci ty Hall
ROLL CALL
MEMBERS PRESENT Chairman Cox; Members Scott, McCand1iss and Moore
MEMBERS ABSENT Member Malcolm
STAFF PRESENT Executive Di rector Goss, Asst. City Attorney Gill,
Community Development Director Desrochers,
Redevelopment Coordi nator Kassman, and Sr. Communi ty
Development Specialist Buchan
ITEM NO.1 - QUARTERLY REPORT OF THE SAN DIEGO UNIFIED PORT DISTRICT
Phil Creaser, Port District Commissioner, reported on items of interest to
both the Port District and the City: Baysi de Park Extensi on - The contract
will be awarded soon; completion is expected by July 1st. Breakwater at the
Boat Basin - The repair work will start soon. Derelict Boat Removal - Bidding
for the second phase wi 11 begin in December. Bay-wi de Anchori ng P1 an - The
Coast Guard may call a Public Hearing. The Port District urges the Cities of
Chu1a Vista and Coronado to help prevent the hearing being overwhelmed by a
vocal few. Sweetwater Channel - It doesn't appear anything will be done on
dredging for at least a year due to problems involving the U. S. Fi sh and
Wil d1 ife Service. South Bay Wet1 ands Study - Port staff is now awai ti ng
communication from the Coastal Conservancy. Extension of the Marina - The
opening is November 22nd. It is attracti ve and shou1 d fi 11 up before long.
Convention Center - The Center is the largest si ng1 e construction ever
attempted in San Diego. It should go out to bid in December.
Member Moore referred back to the Park Extension and asked if that included
the cu1-de-saci ng of "G" Street. Mr. Creaser replied that it did. He added
that the park is desi gned to ensure easy policing, as requested by Chief
Wi nters.
At this time Chairman Cox presented a Proclamation to Mr. Creaser, "Commending
Port Commi ssi oner Phil Creaser on his leadership in promoting the San Diego
Cruise Industries Consorti urn." George Gil10w, former Councilman, and
Councilman Bill C1eator from the City of San Diego were also mentioned in this
connecti on. Chairman Cox related that he was excited about the new developing
cruise industry and hoped at some future time Chu1a Vista could share in it.
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Adjourned Regular Meeting
of the Redevelopment Agency - 2 - November 21,1985
ITEM NO. 2 - RESOLUTION 642 (a) APPROVING AN AGREEMENT WITH RICK ENGINEERING
FOR ENGINEERING SERVICES FOR THE BAYFRONT INTERPRETIVE CENTER AND
APPROPRIATING FUNDS THEREFOR
RESOLUTION 643 (b) AMENDING THE AGREEMENT WITH WINN-CUTRI
ARCHITECTS AND APPROPRIATING FUNDS THEREFOR
COßl11unity Development Director Desrochers said Resolution (a) is to provi de
for the thi ngs needed ri ght now to keep the Nature Center goi ng on schedu1 e.
Resol uti on (b) is primarily for a temporary sewage di sposa1 system if the
404 Permit is not granted.
Member Moore asked that if the 404 Permit should somehow be issued in a short
time, would (b) be phased to put permanent things in first; and Mr. Desrochers
sai d that was true. Mr. Desrochers added that the demo1 iti on specificati on
plans for the building on Gunpowder Point were included in (a) since part of
the Nature Center sits on the old house site.
Chairman Cox asked how long it would take to get a demolition plan, and Mr.
Desrochers replied that it cou1 d be adverti sed for bi d by February, with
demolition completed by April 1st--the groundbreaking date.
RESOLUTIONS OFFERED BY MEMBER SCOTT, the readi ng of the text was waived by
unanimous consent, passed and adopted unanimously, (4-0).
ITEM NO. 3 - REPORT ON DISCUSSION OF JOSEPH DEVELOPMENT PROPOSAL FOR THIRD
AVENUE
Mr. Desrochers indicated there are two options at this time: (l) Not to
proceed any further with the project, and (2) Authorize the developer to go
ahead with refining plans to present to the Design Review Committee and the
Agency.
Member Scott said he was uncomfortable with giving an approval just now due to
his concerns with the massiveness of the project. Even if he concurred with a
general subsidy, he was not sure it would be the project he wanted down the
line. He felt the developer would construe any approval at this time as an
acceptance of the total project.
Assi stant City Attorney Gill advised that the decision now before the Agency
cou 1 d not legally be considered a fi na 1 deci si on without the necessary
Envi ronmenta1 Revi ew. He said it would be a conceptual type of review and
consideration, not a final approval.
Member Scott noted Member Malcolm's absence and that hi s input cou1 d be
infl uential.
Member Moore poi nted out thi s is property on Thi rd Avenue that somethi ng
should be done with. He reminded that the Agency is in the subsidy business.
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Adjourned Regular Meeting
of the Redevelopment Agency - 3 - November 21, 1985
He thought the proposed project has a lot going for it. As to "massiveness,"
he wanted to know what is wrong with a three-story building on Third Avenue in
a business district.
Member Scott responded that with three stories you'd tend to have a tunneling
effect, and that it would not complement whatever else is on the street. He
said the Agency needed to get more into detail of what the project is going to
be.
Member McCand1 i ss felt the point to be discussed at this time was if the
Agency was interested in the concept of the project, not details of the design.
Mr. Desrochers sai d he woul d 1 i ke to have the Agency and staff work together
on wording in order to advise the owner what to expect from us.
Executive Director Goss suggested there is another side to that matter. He
said the development group has indicated what they want, but what does the
Agency feel comfortable with doing?
Roger Joseph, Joseph Development Company, spoke briefly. He sai d they woul d
1 i ke to improve thei r family-owned property and do the best they can to make
it a vi ab1 e project.
Joseph Martinez of Martinez and Wong, architects for the project, showed plans
and sketches of the proposed mixed-use development. Retail space would be on
the first level, fronting Third Avenue. One-bedroom apartments woul d be on
the inner portion of the L-shaped housing element, and the two-bedroom units
would be on the outer portion. Responding to Member Scott's earlier concern
about three stories, he advised that the project is four stories with three
stories of resi denti a1, but this is 1 ess in hei ght than three stories of
commerci a1 due to f1 oor-to-f1 oor height requirements. He di scounted the
envelope/tunnel effect down Third Avenue towards the downtown due in part to
the park on the no rth. He al so emphasi zed the importance of the Agency's
gi vi ng future thought to connecti ng the downtown wi th "H" Street along Thi rd
Avenue. Mr. Martinez continued by pointing out parking provisions, entrances,
exits, and expl ai ni ng setbacks and elevations of the proposed project. He
said he believed all parameters had been taken into consideration and it could
be a handsome addition to the area.
Member Moore stated that he was impressed.
Chairman Cox thought the term "townness" would be apt, and that something of
this type is needed to lure more middle-income residents downtown.
Member McCand1 i ss referred to the once-promi sing project planned at Thi rd
Avenue and "H" Street. Mr. Desrochers sai d its abandonment was due to the
developer's financial problems.
Chairman Cox said he understood that most of the Joseph leases were now
short-termed. Mr. Joseph advi sed thi s was so, and they woul d have to 1 ease
some space soon since reta il ers cannot operate effi ci ent1y on short-term
1 eases.
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Adjourned Regular Meeting
of the Redevelopment Agency - 4 - November 21,1985
Daniel Grady, President of Monfric Inc., reported that he was asked by the
Agency to address the subject of cost relative to the proposed development.
Thi s was primari ly to do an analysi s of Agency partici pati on and the way in
which the Agency cou1 d recover its cost with appropriate return on
investment. After analyzing the project, he came to the conc 1 us ion that
without any Agency participation, the project would not be feasible. On the
basis of the plans and data furni shed by the developer, he found their
square-foot cost estimates to be reasonab1 e. He thought the rents proposed
could be reached with the amenities and with aggressive marketing. Because of
the type of tenancy desired, he did not recommend the use of tax-exempt bonds
for financing, therefore, he was only considering a market rate mortgage. The
mortgage loan recommended was for $582,400 with an interest rate of
12 percent. Other financing details involving principal repayment, interest
and cash flow were given. Mr. Grady a1 so recommended that a grant between
$400,000 and $500,000 be awarded. This range would a 11 ow for various
adjustments between the developer and the Agency. He suggested the Agency not
participate in the purchase of the Yoder Building by the developer. The
developer desires assurance that he would be responsible for cost up to $15
per sq. ft. and the Agency the remainder.
Member McCand1iss questioned whether $15 was high market price, and Mr. Grady
said that the acquisition cost would probably be $17-$18. She felt if the
Agency subsidized the di fference, the owner mi ght see an opportunity to
overcharge.
Mr. Desrochers stated that the Agency does not want to get involved in the
purchase of the Yoder Building.
Mr. Marti nez remarked that the property is zoned Resi denti a1 with a
Conditional Use Permit for C0ßl11ercia1, thus, he considered $15 for Residential
property as high market.
Mr. Desrochers thought Mr. Grady's suggesti on of adjustment withi n the
$400,000 - $500,000 range should apply in this case.
Gary Levitt, Associate of Joseph Development, spoke on the financial aspects.
He noted the di sparity between thei r request and Mr. Grady's recommendations.
Regarding the loan, he said they would like to discuss the interest rate. In
general, he stated that they will need a little more assistance.
Mr. Desrochers sai d before proceedi ng wi th a vote, he wanted to emphasi ze:
(1) The Agency shou1 d not be i nvo1 ved in the purchase of the Yoder parcel.
(2) The negoti ati on poi nts wou1 d be the interest rate on the loan and the
dollar figure between the $400,000 - $500,000 spread. The usual steps of
Environmental Review, Design Review, etc. would remain intact.
MS (Scott/Cox) to accept staff's recommendation as outlined in the report
and as further arti cu1 ated by Mr. Des roc hers. (Non-involvement in the
purchase of the Yoder parcel and negotiating with the developer on the
loan interest rate and the grant adjustments.)
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Adjourned Regular Meeting
of the Redevelopment Agency - 5 - November 21, 1985
Member McCand1 i ss asked at what poi nt the proposed project woul d go through
Design Review, and Mr. Desrochers said it would be two or three months.
Chairman Cox called for a vote. The motion carried unanimously, (4-0).
ITEM NO. 4 - RESOLUTION ENTER ING INTO AN OWNER PARTICIPATION AGREEMENT
WITH RENE AND PENNY MARIOTA
Member Scott said he has a real problem with tandem parking, and for practical
purposes there are only two spaces provi ded, not four as i ndi cated. This
could present even more of a problem with change in ownership or usage.
Senior Community Development Specialist Buchan explained the parking
requirements for various types of construction in the City, and most
particularly in the Redevelopment Area.
Member Scott thought the Agency should consi der buyi ng the whole block,
including the vacant grocery store, to really have something rentable and with
proper parking.
Chairman Cox recalled that the idea of amending the Parking District so it
wou1 d go south of IIGII Street had been exami ned in the past in order to
alleviate parking problems in the area.
Member Moore noted that Third Avenue, between "E" and "G" Streets, has been
concentrated on in the past. We shou1 d now see what can be done wi th thi s
block, in conjunction with the property owners.
MSUC (Scott/Moore) to continue the item until a Mariota representative can
be present to give their side, (4-0).
Chairman Cox asked that staff respond in more deta il to the parki ng
problems; also that the current status of the various buildings on Third
Avenue, between "G" and Alvarado Streets, be furnished.
ITEM NO. 5 - RESOLUTION 644 ENTERING INTO AN OWNER PARTICIPATION AGREEMENT
WITH MARVIN L. GALE AND ELAINE H. COHEN
RESOLUTION OFFERED BY MEMBER SCOTT, the readi ng of the text was wai ved by
unanimous consent, passed and adopted unanimously, (4-0).
ITEM NO. 6 - RESOLUTION 645 AUTHORIZING AN INCREASE IN THE FAIR MARKET VALUE
OF LAND FOR THE PURPOSE OF ESTABLISHING THE IN-LIEU PARKING FEE
Member Scott recounted that the price of property has gone from $10/square
foot to $16-$18/square foot in five years. Fees are not keepi ng up with
inflation, and he felt something should be in the ordinance taking inflation
into account every three years, or if the CPI goes above 10 percent, every
year.
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Adjourned Regular Meeting
of the Redevelopment Agency - 6 - November 21, 1985
Attorney Gill said an inflation adjustment has already been suggested and they
have no problem with it.
RESOLUTION OFFERED BY MEMBER SCOTT, the readi ng of the text was wai ved by
unanimous consent, passed and adopted unanimously, (4-0).
MSUC (Scott/Moore) to i nc1 ude in the resultant ordi nance appropri ate
wording addressing the inflation factor.
ITEM NO. 7 - STATUS REPORT: REALIGNMENT OF OTAY VALLEY ROAD
Stuart Peace, of George S. Nolte and Associates, said his firm was retained by
the Redevelopment Agency to do the Otay Valley concept study. One of the
biggest items of the study is what to do wi th Otay Valley Road in its
alignment between I-805 and where Otay Vall ey Road turns southerly. The
preferred alignment has two primary advantages: (1) It maintains and uses the
existing Otay Valley Road alignment down to approximately Nirvana, thus, for
the main part keeps most of the exi sti ng uti 1 i ti es in the roadway. (2) It
reclaims a lot of usable land east of Nirvana. In this area, the topography
on the north si de of the roadway is rather steep, and by movi ng the road to
the south it can turn these properties into developable pieces of land.
Member Moore asked if there was a cost rati 0, and wou1 d it cost more by
choosi ng one a1 ternati ve over another. Mr. Peace sa i d they hadn't gotten to
that point yet, but because of the util i ty issue the last one designed
(preferred) should be the cheapest.
Chai rman Cox noted that the preferred a1 i gnment wou1 d take mostly from
property on the south. Mr. Peace said the reason it ends up that way is due
to Hyspan's building being buil t very close to the Otay Vall ey Road
alignment. The other factor is the fill that has been put in for the Sammis
Industrial Park.
Chairman Cox and Member Scott asked about specific parcels and how they would
be affected. Mr. Peace advi sed that thei r next task is to come up with
proposed lot/grading configurations for the entire study area.
Member Moore inquired if the Agency would approve the location concept of the
realignment depending on what the cost is determined to be. Mr. Desrochers
replied yes, that this is a building-block type of study wherein everyone is
to be a part of the decision making process.
Chairman Cox asked if one design was better than another from a traffic safety
standpoint. Mr. Peace sai d they all have extremely 1 arge radi us curves and
are about equal safety-wise.
Fred Kassman, Redevelopment Coordi nator, advi sed that the P1 anni ng Department
and the Design Review Committee are supportive of the preferred alignment, as
well as many of the property owners. He sai d they did not want to acqui re or
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Adjourned Regular Meeting
of the Redevelopment Agency - 7 - November 21, 1985
disrupt property a1 ready developed. He noted, however, the City Animal
Shelter will probably have to be relocated. Regarding cross-river connectors,
there are no plans to build any into the road at this time.
MS (Scott/Moore) to accept staff's recommendation.
Russ Crane of Fenton Premix, property owners in the area, said there are some
places in the alignment plan where the roadway is a little farther away from
the f100dway boundary, and he wondered if the boundary is exact.
Mr. Peace responded that one reason the roadway is bei ng he1 d back from the
f100dway is that there is goi ng to be qui te a bi t of fill to construct Otay
Valley Road to keep it out of the 100-year water surface elevation. He stated
they need to keep the fi 11 out of the f100dway to avoi d involvement with the
Army Corps of Engineers. An alternative solution cou1 d resu1 t in sma 11
radiuses and subsequent super-elevation runoff.
Fred Borst, a partner in Walker-Scott Properties, owners in the area, noted
that as a member of the Otay Valley Project Area Committee he abstained from
voting on this matter in the PAC meeting. He wi shed to have the reference to
"5 acres" of Walker-Scott property to something less speci fi c, such as "a
taking of property" from Wa1 ker-Scott. Mr. Borst informed the Agency that
there are 6,700 acres (Otay Mesa) to the south coming along at an incredible
rate and that they will be very competi tive; therefore, the a1 i gnment shou1 d
proceed rapidly.
Chairman Cox said that makes it even more important to have the road precede
the development.
Dick Kau, real estate broker, questioned what the engineer is p1 anni ng
concerning the road extension: Was it going to meet and go on up the Valley?
Mr. Peace assured him it would tie in.
Dr. Guy Lichty, member of the Otay Valley Road PAC, expressed hi s concern
about the impact of noise and traffic from a 4 to 6 1 ane road in this
partially residential area. He asked that some noise abatement procedures be
consi dered.
Member Moore asked if the issues of the Walker-Scott acreage and the noise
abatement cou1 d be incorporated in the EIR, and Mr. Desrochers said they
cou1 d. He said the planned linear park in the floodplain shou1 d assi st in
noise attenuation.
Member McCand1 i ss related that she recent1 y walked through the resi denti a1
porti on and was surpri sed at the amount of noi se captured by the embankment
behind the homes. The embankment is badly eroded, and this seems to intensify
the sound.
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Adjourned Regular Meeting
of the Redevelopment Agency - 8 - November 21, 1985
Chairman Cox ca 11 ed for a vote on the motion to acc ept staff's
recommendation with the motion amended to change the wording in the report
from "acquisition of approximately 5 acres of land owned by Walker-Scott"
to "acquisition of land owned by Walker-Scott," (as recommended by Member
Moore ). Further, a study regarding noise abatement in the Otay Valley
Road, as it affects residents, i s to be made and brought back to the
Agency.
Members Scott and Moore were agreeable to the additions.
A vote was taken, and it carried unanimously, (4-0).
ITEM NO. 8 - STATUS REPORT: OTAY VALLEY ENVIRONMENTAL HEALTH STUDY
Mr. Desrochers sai d the County and San Di ego State Uni versi ty are ready to
proceed wi th thei r proposed studi es. The Project Area Committee and persons
representing the neighborhood believe there are other points to be brought up
before it is forwarded to the Agency.
MS (Scott/Cox) to accept the staff's recommendation.
Member McCand1iss stated that the report Dr. Lichty and Chairman Heye (of the
PAC) prepared gi ves excell ent i dentifi cati on of questi ons and suggesti ons on
methodology important to the outcome. She noted at this point it isn't
costi ng the Agency any money, but she is prepared to uti1 i ze Agency funds to
move forward into a second step after the initial studies are completed. She
urged the formation of the citizens' advi sory cOßl11i ttee, but sai d the Agency
fi rst shou1 d authori ze the begi nni ng of the vi tal stati stics search by the
County and the work the San Diego State University graduate student will do.
Member Moore expressed doubts on the need for a citizens' advisory committee.
He said si nce the Agency i sn' t sure what it wants, why shou1 d a commi ttee
know? He was a1 so concerned about a health study when there is no c1 ue that
something has occurred since the people moved into the vicinity of the
dump/1 andfi 11 . He was of the opinion that a health study could be at many
level s and take from weeks to decades, dependi ng on i nterpretati on. Member
Moore added that he would not support an advisory committee, but would support
whatever the County said they would pursue.
Mr. Kassman sai d if the County were di rected to undertake the study, with
recommended checks and balances, and it was understood this was not the entire
health study but components thereof, this should meet some of the objections
of the citizens' group.
Member McCand1 i ss sai d the PAC has questi oned what areas shou1 d be studi ed.
She sa i d the Agency shou1 d defi ne, based on census tract, the areas to be
studied then make modifications as needed.
Member Moore asked about the connecti on between the census tract and the
heal th study. Member McCand1iss said that the vital stati sti cs for the area
are being reviewed based on the census tract of people who live there.
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Adjourned Regular Meeting
of the Redevelopment Agency - 9 - November 21, 1985
Dr. Guy Lichty, member of the Otay Valley Road PAC, gave background
i nformati on on studi es proposed by the County and SDSU. In di scussi ng a
health ri sk assessment, he sai d it is desi rab1 e because of the two former
Class I toxic dumps in the area. He said the PAC, at Agency request, needs to
find out if there is a problem now; if not, to set up a methodology for future
availability. Regarding the vital statistics information, he said even with a
transi ent popu1 ati on it wi 11 provi de a basel i ne to be measured agai nst. Dr.
Lichty recommended testing records that are available and that would be
indicative of change on the short term, such as health records from the area
school s compared to those in other parts of the City. Respondi ng to Member
Moore's question of what constitutes a health study, Dr. Lichty said that was
one of the areas the citizens' advisory committee could be designed to
explore.
Member Moore suggested when school heal th records are checked, only those of
students with a longevity in the community would be valid. Member McCand1iss
agreed it would be better to start with the people who have lived in the area
a certain length of time, rather than screen all the records at one elementary
school, for instance.
Gary Stephanie, Chief of Environmental Health, said Dr. Ramras appointed him
to coordinate the study by Drs. Griffin and Conway. He said they are in
jeopardy of 1 osi ng the $10,000 grant and the graduate student for the SDSU
study due to delays. He advised that the only reason Dr. Conway has not
started on the project is because of the possible formation of the citizens'
advisory committee and the changes that it might entail.
SUBSTITUTE MOTION
MS (Cox/Moore) that the Agency authorize the environmental health study to
begi n, and the Agency defer acti on on the ci ti zens' advi sory group until
receiving more complete input from the Otay Valley Road Project Area
Committee.
Chairman Cox said before an advisory committee is created, there should be a
better definition of what it would do.
Mr. Stephanie cautioned members that he could not see such a committee
changing Dr. Conway's study since it is not subject to alteration.
Chairman Cox called for a vote on the Substitute Motion. It carried
unanimously, (4-0).
DIRECTOR'S REPORT: None
CHAIRMAN'S REPORT:
A closed session following this meeting was requested to discuss the 404
Permit.
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Adjourned Regular Meeting
of the Redevelopment Agency - 10 - November 21, 1985
Attorney Gill added that property negotiations involving the Bayfront area and
CVIC should also be discussed.
MEMBERS' COMMENTS:
Member McCand1iss requested the results of the November 25th Otay Valley Road
PAC meeting at the next Agency meeting.
ADJOURNED at 6:37 to Closed Session and to the Regular Meeting on December 5,
1985, .t ,,00 p,m. ~.
Pau . es c ers, xecutive Secretary
WPC 1962H
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