HomeMy WebLinkAboutrda min 1984/06/21
MINUTES OF AN ADJOURNED REGULAR MEETING OF THE REDEVELOPMENT AGENCY
~ OF THE CITY OF CHULA VISTA, CALIFORNIA
Thursday, June 21,1984 Council Conference Room
4 :00 p.m. City Hall
ROLL CALL
MEMBERS PRESENT Chairman Cox; Members Moore, McCand1iss, Scott
MEMBERS ABSENT ~lember Malcolm
STAFF PRESENT Executive Director Goss, Community Development
Director Desrochers, Redevelopment Coordinator
Zeg1 er, Agency Attorney Harron, Special Counsel
Reed, City Engi neer Li ppitt, Agency Treasurer
Christopher
ITEM NO. 1 - a. RESOLUTION NO. 511 - AMENDING RESOLUTION NO. 480 IN FULL
b. RESOLUTION NO. 512 - SELLING $25 MILLION PRINCIPAL AMOUNT
OF BA YFRONT /TOWN CENTRE REDEVE LOPMENT
PROJECT 1984 TAX ALLOCATION NOTES,
APPROVING LETTER OF CREDIT AND
RE IMBURSEMENT AGREEMENT, AND
RATIFYING OFFICIAL STATEMENT
At their meeting of June 7, Redevelopment Agency members were provi ded wi th
the details of the proposed note sale sponsored by the Agency. It was noted
that the bids for the'sa1e of the notes will be received, opened, examined by
the financial consultants, and awarded at this time.
Chairman Cox, noting the absence of Member Scott, reques ted this i tern be
trail ed until his arrival. However, since Merrill Lynch was one of the
bidders on the notes sale, Special Counsel suggested that Member Scott would
have to abstain.
Member Scott arrived at this time and was informed that he should abstain
from discussion and voting on this matter.
Mr. Jeff Kinsell, representing Miller & Schroeder Municipals, Inc., indicated
that the Agency receiVed a AA rating on this bond issue. Bids were received
from Miller & Schroeder/Smith Barney and Merrill Lynch. The winning bid was
for a discount of 1-1/2%, and a net effective rate of 8.49%. Merrill Lynch 's
bid was 8.99%. Mr. Kinsell indicated that the $25 mill ion proceeds will be
transferred to the REjdeve10pment Agency at the closing in San Francisco on
June 28.
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Adjourned Regular
Redevelopment Agency M/;Jeting - 2 - June 21, 1984
Mr. Chick Adams, repr~senting Bond Counsel Jones Hall Hill and White, Four
Embarcadero Center, SlJite 1950, San Francisco, CA 94111, indicated there
were two actions tied! into amending the bond issue. The second resolution
adopted today will incorporate all the final terms. The Agency's second
action today will award the bonds to Miller & Schroeder/Smith Barney. Mr.
Desrochers added that !the bond rating issued by Standard and Poor 's will also
be added to the final ¡official statement.
In response to Chai!rman Cox 's question, Community Development Director
Desrochers indicated t¡hat the funds as a result of the bond sale will assist
in financing budget items. The balance will be invested. An update of the
specific use of these funds will be provided for Agency members. Mr.
Desrochers pointed ou:t; that one of the uses of this issue was to fund the
$1.5 million Bayfront ITrolley Station.
RESOLUTIONS OFFERED Bt MEMBER MOORE, the reading of the texts was waived by
unanimous consent, paslsed, and adopted. (Member Scott abstained.)
UNANIMOUS CONSENT- RE~OLUTION NO. 513 - AUTHORIZING THE USE OF THE LOCAL
I AGENCY INVESTMENT FUND UNDER THE
OFFICE OF THE CALIFORNIA STATE
TREASURER AS AN ALTERNATIVE
INVESTMENT MEDIA
The Local Agency Inv~stment Fund is a special fund in the State Treasury
created by law permi~ting the Redevelopment Agency to remit money to the
State Treasury for deposit for investment purposes.
Agency Treasurer ChriStopher explained that this mechanism allows cities and
counties to pool their money into one fund in order to obtain more interest
depending on what is Invested. The maximum amount at one time per agency is
$5 mill ion. Currently, we have approximately $3 mill ion invested.
Menter McCand1 iss req~ested information on having a representative from Chu1a
Vista on the local inwestment advisory board. Chairman Cox suggested we may
be able to util ize tI1is method of investment for the Industrial Development
Authority as well. I~ response, the Finance Director stated he wou1 d have to
investigate the possi~f1 ity of another separate entity investing funds.
RESOLUTION OFFERED B~ CHAIRMAN COX, the reading of the text was waived by
unanimous consent, passed, and adopted unanimously.
ITEM NO. 2 - REPORT: LAND USE PERMIT - ROUND TABLE PIZZA ARCADE
Round Table Pizza Restaurant, located in the Park Plaza at the Village,
currently has four viiteo arcade machines on its premises. In accordance with
a recently adopted CIJu1a Vista Ordinance, if a business operates more than
three amusement machines, that business is considered to be operating an
arcade and is subject to 1 icensing and a conditional use permit. Staff
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Adjourned Regular
Redevelopment Agency Meeting - 3 - June 21, 1984
recommends that the Agency allow the existing use of four video machines
subject to the requirements for the subject accessory use speci fied in the
City Code. The Project Area Committee voted unanimously to recommend the
Agency allow this use.
Mr. Jerry Randel, representing Round Table Pizza Restaurant, commented in
order to maximize income as an accessory, the owner felt four machines would
be required.
Community Development Director Desrochers stated that since the video games
were designed as a t~b1etopmode1, the primary use by patrons would be for
dining. Therefore, staff recommends approval.
Discussion followed regarding the ordinance relating to amusement faci1 ities
and games. Agency Attorney Harron exp1 ained that when this ordinance was
dra fted, a nunter of problems was recogn ized. Therefore, it is hoped tha t
enough 1 ati tude was provi ded in the ordinance. Since enactment of the
ordinance, not one complaint has been received regarding violation of the
law.
MOTION TO ALLOW MACHINES
MSUC (Scott/Moore) to allow existing use of the four video machines.
ITEM NO. 3 - RESOLUTION NO. 514 - AUTHORIZING EXPENDITURE OF $30,163 FOR
RELOCATION COSTS ASSOCIATED WITH THE
ACQUISITION OF THE MARINA MOTOR MOTEL AND
APPROPRIATING FUNDS THEREFOR
Three types of payment are involved for requesting the subject appropriation
regarding the Marina Motor Motel. For some resi dents, temporary
accommodations have been arranged through payments made to local motel s. Si x
families are eligible for rental assistance payments up to $4,000 each since
they have resided on the property at 1 east 90 days prior to the date of the
first offer made by the City to the 1 and owner. A third type of payment is
available to all tenants in a fixed payment for moving expenses for $225.
Since relocation assistance is required by law, the relocated individual is
eligible for rental assistance of $4,000 if the indivi dual has been in
residence at the acquired property prior to the date of the first offer. If
in residence after that date, then a moving expense payment is made as a
subsidy to the di sp1 aced person. Di scuss i on ensued regarding relocation
benefi ts as required by Sta te 1 aw. Menters expressed concern that the motel
was not c1 eaned up pri or to being purchased by the Agency. In response,
Special Counsel Reed noted that approxima tel y $2,500 of location cos ts
appropriated for purchase of the property were for unsanitary conditions.
Redevelopment Coordinator Zeg1 er informed the Agency that the Pol ice
Department as well as Community Development staff has provided daily patrols
of the motel area. The request for proposal s authorized to be prepared for
demolition of the motel has been advertised in the Sta r-News and Daily
Tr an scr i pt.
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Adjourned Regular
Redevelopment Agency Meeting - 4 - June 21, 1984
RESOLUTION OFFERED BY MEMBER SCOTT, the reading of the text was waived by
unanimous consent, passed, and adopted unanimously.
ITEM NO.4 - RESOLUTION NO. 515 - ADOPTING REDEVELOPMENT AGENCY BUDGET FOR
FY1984-85 AND APPROPRIATING FUNDS THEREFOR
The Redevelopment Agency budget was considered on May 30, 1984, as part of
the Commun i ty Development Department 's presentation during City Council
del iberations. Since the Agency's funds are not derived from the City 's
General Fund revenues, it is necessary to approve the budget as a
Redevelopment Agency item.
Assistant City Manager Asmus discussed the revised reso1 utions prepared for
Agency consideration which included additions to the Redevelopment budget.
On June 12, 1984, the Council recommended the use of Agency funds to replace
concrete in the median at Third Avenue and "H" Street. The cos t 0 f us in g
bomanite as suggested by the P1 anning Department is estimated to be $9,000.
MSUC (Cox/Scott) to include the use of Agency funds to replace concrete
in medi an is 1 and at Th ird Avenue and II HI! Street in the FY 1984-85
Redevelopment Agency budget.
On June 18, 1984, the Council recommen ded crea ti on of a contingency fund
using $20,000 of Redevelopment Agency funds for unplanned expenses.
Member ~lcCand1 iss stated that a1 though she does not support the creation of a
contingency fund, due to the direction the Agency is going, she offered a
courtesy vote in favor of this.
Menter Scott disagreed with the use of funds for this purpose.
MSC (Cox/Moore) to include the creation of a contingency fund, $20,000,
for unp1 anned expenses as part of the FY 1984-85 Redevelopment budget.
(Member Scott voted no. )
On June 18, 1984, the Council recommended the hiring of Special Counsel to
handle duties associated with the Sierra C1ub's lawsuit against the City.
The cos t estimated by the City Attorney is $30,000.
MSUC (Moore/Cox) to approve hiring of Special Counsel to hand1 e duti es
associated with Sierra C1 ub lawsuit, approximately $30,000, to be
included in the FY 1984-85 Redevelopment Agency budget.
On June 12, 1984, the Council requested that the expansion project at "J"
Street and Bay Bou1 evard be further expanded to inc1 ude the area east of the
railroad tracks and west of Bay Boulevard bounded by "J" Street and the tidal
channel and requested staff to estimate the additional cost. The Director of
Parks and Recreation estimated that $6,000 shou1 d be appropriated.
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Adjourned Regular
Redevelopment Agency Meeting - 5 - June 21, 1984
MUSC (CoX/Scott) to inc1 ude $6,000 for further expansion of "J" and Bay
Boulevard to include the area east of the railroad tracks and west of Bay
Bou1 evard in the FY 1984-85 Redevelopment budget.
The Council also requested a cost estimate for the installation of an entry
sign at this location. Staff will return to the Agency in the future with a
report and cost estimate for this item.
City Engineer Lippitt discussed the need to expand the Del Mar Avenue Storm
Drain Project to include an addit i ona 1 $159,000. In the 1983-84 Capital
Improvement Program, an Emergency Jobs Bill Grant was approved for the
installation of the storm drain system at Del Mar Avenue from "F" Street to
Ma drona Street. The project i nc1 udes the installation of various sizes of
drainage culverts, drainage inlets, c1eanouts, etc. At the time the budget
was prepared, precise design solutions were not available. The scope of the
project was expanded to include a storm drain system along "F" Street from
Del Mar to Second Avenue, a new sanitary sewer along "F" Street from Twin
Oaks to Second Avenue, modification of an inlet at Third Avenue and Center
Street, and some over1 ay work at Second Avenue and "F" Street.
MSUC (Cox/Moore) to inc1 ude "Del Mar Avenue Storm Dra i n - Expanded
Project" in the FY 1984-85 Redevelopment Agency budget and appropriate an
additional $159,000.
ITEM NO. 5 - CITIZENS ACTION NETWORK SLIDESHOW PRESENTATION
Chairman Cox explained that representatives of the Citizens Action Network
(CAN) indicated they could not make their presentation at this afternoon's
meeting. In a 1 etter from Dr. Guy Li chty, it was reques ted that a
presentation be held on three a1 ternate dates in JUly, each meeting suggested
was at 7:00 p.m.
In response, Member McCand1iss suggested in order to avoid paying overtime to
all officials CAN requested be in attendance at the rescheduled presentation,
the slideshow be held during an afternoon meeting at 4:00 p.m.
MOTION TO RESCHEDULE CAN PRESENTATION
~ISUC (Scott/Moore) to con tact repres en ta ti ves of Citizens Action Ne twork ,
elected officials, County agencies, etc. , notifying them of a rescheduled
presentation, possibly on July 19, 1984, at 4:00 p.m.
MEMBERS I COMMENTS
a. Member McCand1iss requested Building and Housing staff inspect the Navy
hous i ng site. Executive Director Goss indi cated that staff has been
directed to perform th i s inspection, however, status of the inspection
has not been provided.
b. Member Scott requested that s ta ff provi de a copy of the fi rework s
ordinance at the next City Council meeting (on June 26).
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Adjourned Regular
Redevelopment Agency Meeting - 6 - June 21, 1984
c. It was suggested that the meeting be adjourned to Closed Session for
1 iti gation matters.
~ISUC (CoX/Moore) to adjourn to Closed Session for matters of 1 itigation.
DIRECTOR'S COMMENTS
Executive Director Goss reported that the County is considering the Land Use
Plan for Otay Mesa on June 22, which includes adding 3,000 acres. Staff
requests Agency concurrence to oppose the p1 an because of overwhelming
environmental impacts which could not be mitigated in this initial study.
Staff will have an opportunity to review the material in-depth prior to the
Board of Supervisors meeting on June 22 to oppose the p1 an for the above
reasons. Therefore, staff shou1 d be di rected to report back to the
Redevelopment Agency with a more detailed report in the next couple of weeks.
MSUC (I~cCand1 iss/~Ioore) to direct P1 anning staff to report back to the
Agency wi th a deta i 1 ed report on the Otay Mesa Land Use Plan being
brought before the County Board of Supervisors.
ADJOURNMENT at 5:10 p.m. to Closed Session and to the mid-month meeting of
July 19, 1984, at 4 :00 p.m. The Recording Secretary was excused and the
Executive Secretary reported that Closed Session adjourned at 5:15 p.m.
WPC 1134H
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