HomeMy WebLinkAboutcc min 2006/02/07 RDA/PFA
MINUTES OF ADJOURNED REGULAR MEETINGS OF
THE CITY COUNCIL AND THE REDEVELOPMENT AGENCY AND
A SPECIAL MEETING OF THE PUBLIC FINANCING AUTHORITY
OF THE CITY OF CHULA VISTA
February 7, 2006
4:00 P.M.
Adjourned Regular Meetings of the City Council and the Redevelopment Agency and a Special
Meeting of the Public Financing Authority of the City of Chula Vista were called to order at 6:00
p.m. in the Council Chambers, located in City Hall, 276 Fourth Avenue, Chula Vista, California.
ROLL CALL
PRESENT: Agency/Authority/Councilmembers Castaneda, Chavez, McCann,
Rindone, and Chair/Mayor Padilla
ABSENT: Agency/ Authority/Councilmembers: None
ALSO PRESENT: Executive Director/City Manager Rowlands, Agency/Authority/
City Attorney Moore, City Clerk Bigelow
At 6:01 p.m., Chair/Mayor Padilla recessed the meeting. He reconvened the meeting at 6:22
p.m., with Agency/Authority/Councilmembers Castaneda and Rindone absent from the dais.
PUBLIC COMMENTS were taken out of order and heard following Items 1 and 2.
PUBLIC HEARING OF THE CITY COUNCIL/PUBLIC FINANCING AUTHORITY
1. CONSIDERATION BY THE CITY COUNCIL OF THE CITY OF CHULA VISTA
AND THE CHULA VISTA PUBLIC FINANCING AUTHORITY OF THE
EXECUTION, SALE AND DELIVERY OF CERTIFICATES OF PARTICIPATION IN
ORDER TO FINANCE CERTAIN PUBLIC CAPITAL IMPROVEMENTS
Pursuant to City Charter Section 1017, an annual audit is performed of the City's
financial records. Presented for acceptance were the Audited Financial Statements for
the fiscal year ended June 30, 2005, as prepared by the independent audit firm of
Caporicci & Larson. Both the City's and the Agency's Annual Financial Reports received
unqualified (clean) opinions from the independent audit firm. (Finance Director)
Notice of the hearing was given in accordance with legal requirements, and the hearing was held
on the date and at the time specified in the notice.
Chair/Mayor Padilla opened the public hearing. There were no members of the audience
wishing to speak.
PUBLIC HEARING (Continued)
Agency/Authority Attorney Moore requested that the item be continued to February 14, 2006,
due to further research required as to whether or not Councill Authorityl Agency Member
Castaneda has a potential conflict of interest with regard to property he is purchasing that is
presently in escrow.
ACTION:
Chair/Mayor Padilla moved to continue the hearing to February 14,2006, at the
request of the City Attorney. Agency/Authority/Councilmember McCann
seconded the motion, and it carried 3-0-2, with Agency/Authority/Councilmember
Rindone abstaining because he owns property within 500 feet of the Civic Center
project; and Agency/Authority/Councilmember Castaneda abstaining due to a
potential conflict of interest because he recently entered into escrow on a property
that may be within 500 feet.
At 6:25 p.m., Agencyl Authority/Councilmembers Rindone and Castaneda returned to the dais.
ACTION ITEM
2. CONSIDERATION BY THE CITY COUNCIL/REDEVELOPMENT AGENCY OF
WITHHOLDING ALL FUTURE STIPENDS FOR MEMBERS OF THE CHULA
VISTA REDEVELOPMENT CORPORATION (CVRe) FOR A PERIOD EQUAL TO
THE PERIOD THE STIPEND WAS PAID TO CURRENT MEMBERS PRIOR TO
THE FIRST CVRC MEETING BEING HELD
At the Council meeting of January 24, 2006, Councilmember Rindone requested that a
resolution be prepared authorizing all future stipends to current members serving on the
Chula Vista Redevelopment Corporation (CVRe) board to be withheld, effective
February I, 2006, for a period equal to the number of months that stipends were paid to
current members prior to the first CVRC meeting. (Assistant City ManagerlDirector of
Community Development, Director of Finance)
ACTION:
Agency/Authoirty/Councilmember Rindone offered Council Resolution No.
2006-034 and Redevelopment Agency Resolution No. 2006-1934, headings read,
texts waived:
JOINT COUNCIL RESOLUTION NO. 2006-034 AND
REDEVELOPMENT AGENCY RESOLUTION NO. 2006-1934, OF
THE CITY OF CHULA VISTA TO WITHHOLD ALL FUTURE
STIPENDS FOR MEMBERS OF THE CHULA VISTA
REDEVELOPMENT CORPORATION (CVRC) FOR A PERIOD
EQUAL TO THE PERIOD THE STIPEND WAS PAID TO CURRENT
MEMBERS PRIOR TO THE FIRST CVRC MEETING BEING HELD
The motion carried 5-0.
Page 2 - CouncillRedevelopment AgencylPublic Financing Authority Minutes
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February 7, 2006
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PUBLIC COMMENTS
Don Rickard spoke about ongoing traffic and speeding problems on Oaklawn A venue, between
K and L Streets. He also spoke of a homecare facility next door to his home that he believes is a
drug rehabilitation facility. He expressed concern about who controls treatment for the
occupants of the facility, stating that there have been fights resulting in calls for ambulance and
police services. He was also concerned about the presence of a daycare center located directly
behind the rehabilitation facility. Mayor Padilla referred the matter to Constituent Services
Manager Zaneta Encarnacion.
CITY COUNCILIREDEVELOPMENT AGENCY WORKSHOP
3. WESTERN CHULA VISTA REVITALIZATION: POPULATION, MARKET AND
HOUSING TRENDS
The focus of the City Council/Redevelopment Agency workshop was on the competing
priorities between the need for economic revitalization in western Chula Vista and the
potential effects urban revitalization may have on population and housing. The potential
loss of rental housing was addressed, and staff provided policy alternatives for the
Council/Agency to consider in addressing the balance of revitalization efforts with the
needs of the City's lower income residents.
At 6:41 p.m., Chair/Mayor Padilla announced that he would be leaving the meeting, and handed
the gavel to Agency/Authority/Councilmember McCann. He then left the meeting and did not
return.
Assistant City Manager Smith, Housing Manager Mills, and Real Property Manager Ryals gave
a presentation on western Chula Vista revitalization and its effects on population, housing, and
market trends.
Jim Doud asked the procedure for businesses required to relocate as part of a redevelopment
project. Real Property Manager Ryals responded that there are guidelines similar to those
followed for residential tenants, and that he would supply the information to Mr. Doud.
Norma Runyan expressed concern with the condition of industrial establishments from Palomar
to L Street and speeding vehicles in that area; and also mentioned the need for additional curbs
on Naples and L Street. In addition, she asked about rumors that some mobilehome park would
be closed. Housing Manager Mills replied that no applications are currently on file with the City
to close a mobilehome park. She added that the City has heard, via the public, of two trailer
parks along Broadway that may be changing ownership and possibly closing, but the City has
received no confirmation ofthis.
Jackie Lancaster requested that redevelopment decisions be citizen driven, rather than market
driven; and expressed concern about families that would be displaced as a result of
redevelopment. She also expressed opposition to high-rise development on the bayrront.
Page 3 - CouncillRedevelopment Agency/Public Financing Authority Minutes
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February 7, 2006
CITY COUNCILIREDEVELOPMENT AGENCY WORKSHOP (Continued)
Laura Hunter, representing the Environmental Health Coalition (EHC,) urged the Council to
direct staff to look at all the recommendations regarding the Housing Policy issues and, in
particular, to amend the outdated condominium conversion policy. She stated that EHC would
not support the expansion of the redevelopment project area without further discussing how it
would work. Ms. Hunter recommended that the City focus and prioritize as much of its
affordable housing efforts on low- and very low-income rental units in the next five year cycle,
and raise additional funding for this by increasing the percent of tax increment for affordable
housing to 30 percent. She stated that it was important to have a case manager who can relate to
people in order to assist them through the process.
Patricia Aguilar, representing Crossroads II, stated that the City has a moral obligation to ensure
that low income, elderly, and disabled community members are provided for. She endorsed
staffs recommendations, with the following additional comments: (I) consideration should be
given to including more residential areas in the redevelopment project area boundaries in light of
the applicability of eminent domain; (2) a cap should be set on fees that can be paid in lieu of
building units; (3) condominium conversion projects should provide 10 percent in affordable
units; (4) a short term rental assistance program should be developed and funded; (5)
condominium conversions on the east side should be limited in order to retain housing stock; (6)
community impact reports should be required on a project-by-project basis; and (7) private
developers should be required to provide relocation assistance to the most vulnerable
populations. Ms. Aguilar asked the Council to enact the staffs recommendations along with the
Urban Core Specific Plan or the Housing Element.
Nick Aguilar expressed the need for a revenue source to fund staff s proposals and to attract
more revenue-generating facilities and activities to provide funding for subsidized housing. He
encouraged greater emphasis on competing and attracting subsidized housing funds at both the
state and federal levels. He also suggested a social services element to provide service programs
for low-income residents, such as transportation and entertainment. Additionally, he
recommended collaboration between the City and local schools to provide a learning resource
facility; and with the San Diego County Social Services Department to provide counseling and
employment training.
Steve Palma suggested that, although he does not support the use of eminent domain, the City
purchase the numerous storage facilities located south of Main Street and develop the land as a
park. He expressed his desire to see more Community Development Block Grant funds allocated
to improvements in the Otay area and on Third A venue near Oxford. He also said he was
pleased to see the adoption of the City's 20/20 General Plan.
Anne Wilson, Director of Real Estate Development for Community Housing Works, stated that
staff s recommendations are important to protect, preserve, and provide opportunities to the
residents. She supported the need for the Council to take action to help encourage and provide
incentives to property owners to sell to non-profits; and to use available subsidies to maintain
affordable housing over time. Regarding the expansion of redevelopment areas, she urged the
Council to look at the ability of those areas to sustain increased growth and revitalization. She
also mentioned how rarely eminent domain has been used in the City, stating that the power of
friendly condemnation is really important in assembling sites in redevelopment areas and in
providing tax incentives. She encouraged the Council to facilitate affordable housing
development within the Urban Core early in the revitalization process, and also encouraged land
banking.
Page 4 - Council/Redevelopment Agency/Public Financing Autbority Minutes
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CITY COUNCIL/REDEVELOPMENT AGENCY WORKSHOP (Continued)
Earl Jentz spoke about market rate affordable housing and suggested that the Growth
Management Oversight Commission look at thresholds that would provide controls in the event
that the market gets overheated; and also look at the vacancy rate that is published twice a year
through the apartment association magazine. He also recommended that staff compile applicant
data as to how many units were there before, what the rates were, and the number of new units
being provided. Additionally, he believed that if the vacancy rate were high, there should be no
controls; and a partial moratorium should be implemented when vacancy rates needed to be
slowed down.
Mr. Scott referred to the population characteristics of the report, stating that the County of San
Diego has estimated an increase in population of 803,805 over the next 25 years, with Chula
Vista expected to absorb I I percent of the growth. He questioned the City's projection of a 22
percent population increase on the west side. He also addressed housing ownership patterns and
expressed concern about the conversion of apartment units to condominiums on the west side
and the proposed rules associated with the inclusionary policy.
Katherine Lembo, representing South Bay Community Services, spoke in support of reducing the
low and moderate-income target for affordable housing and consideration of taking over a motel
or hotel to develop affordable housing. She also suggested that the number of bedrooms for low
income housing be increased to three and four, and she commented on the importance of land
banking.
City Manager Rowlands stated that the objectives discussed would only occur with development
in the City. He stressed the importance of constructive, honest, free-flowing dialogue between
the City and the community in order to accomplish the City's many goals.
With regard to eminent domain, Agency/Authority/Councilmember Rindone asked staff to
document in the report when eminent domain has been used and for what purpose.
Agency/Authority/Councilmember Castaneda suggested that Policy No.6 be included to address
the preservation of existing housing units serving the lowest income residents. He expressed the
need to provide incentives to rental housing owners to upgrade their properties in exchange for
commitments on rent stabilization. He also recommended that the Growth Management
Oversight Commission review the number of units that are consumed by redevelopment, new
development, and non-redevelopment areas, and their impacts on the very lowest income
families; and also look at the existing housing stock and how to efficiently serve those who are
most in need.
Agency/Authority/Councilmember Rindone stated that nothing was mentioned about schools in
the report; and he suggested that future workshops be conducted with each school district to
examine future growth and higher densities.
No formal action was taken on this item.
Page 5 - Council/Redevelopment Agency/Public Financing Authority Minutes
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February 7, 2006
OTHER BUSINESS
4. CITY MANAGER REPORTS
There were none.
5. MAYOR'S REPORTS
There were none.
6. COUNCIL COMMENTS
There were none.
ADJOURNMENT
At 9:03 p.m., Deputy Mayor McCann adjourned the meeting to a Regular Meeting of the City
Council on February 14, 2006 at 6:00 p.m. in the Council Chambers; and thence to a Regular
Meeting of the Redevelopment Agency on February 21, 2006 at 6:00 p.m. in the Council
Chambers, following the City Council Meeting. The Public Financing Authority was adjourned
until further notice.
-= ;, It--/.. th-t~~
Susan Bigelow, MMC, City Clerk
Page 6 - CouncillRedevelopment Agency/Public Financing Authority Minutes
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