HomeMy WebLinkAboutcc min 1985/10/03 MINUTES OF AN ADJOURNED REGULAR MEETING OF THE CITY COUNCIL
OF THE CITY OF CHULA VISTA, CALIFORNIA
Thursday, October 3, 1985 Public Services Building
5:12 p.m. Council Chamber
ROLL CALL
MEMBERS PRESENT: Mayor pro Tempore McCandliss,
Councilmembers Scott, Moore, and
Malcolm
MEMBERS ABSENT: Mayor Cox
STAFF PRESENT: City Manager Goss, City Attorney
Harron, Community Development
Director Desrochers, Redevelopment
Coordinator Kassman
Mayor pro Tempore McCandliss noted the absence of Mayor Cox, then
stated the meeting had been called to discuss one item.
RESOLUTION 12196 AUTHORIZING THE ISSUANCE OF $3,000,000
PRINCIPAL AMOUNT OF BONDS OF THE CITY OF CHULA
VISTA TO PROVIDE FINANCING FOR COMMERCIAL
FACILITIES TO BE DEVELOPED BY THE HOME DEPOT,
INC.
The purpose of the resolution is to permit the initiation of the
bond issue so further processing of bond documents can proceed.
On October 1, 1985 the City Council discussed the subject item and
continued it to this date pending further information from the
bond counsel.
Redevelopment Coordinator Kassman reported he had contacted the
Redevelopment Agency's bond counsel, Charles Adams of Jones,
Hall, Hill & White. Mr. Adams has no financial objections or
concerns about Home Depot. Bond Counsel assured that Home Depot
will not and cannot go beyond its legal authority to issue $40
million nationally in bonds. Mr. Kassman stated he had also
contacted the placement agent for the bonds, Richard Clark of
Security Pacific Capital Markets Group, a division of Security
Pacific Bank. He learned that the bank, in conjunction with three
other banks, has recently issued Home Depot a $100 million line of
credit and is contemplating increasing that amount.
City Council Meeting 2 October 3, 1985
Councilwoman McCandliss asked where responsibility would lie if
the company went over their authorized $40 million limit. City
Attorney Harron replied it was almost inconceivable that could
happen; without the authority, no one would issue the bonds. It
was determined that it would be the underwriter's responsibility
and not the City's in any way.
RESOLUTION OFFERED BY COUNCILMAN MOORE, the reading of the text
was waived by unanimous consent, passed and approved with
Councilman Malcolm abstaining.
CITY MANAGER'S REPORT
City Manager Goss referred to an informational item furnished at
the Council meeting of October 1, 1985, concerning certain
proposals for the City property at the golf course, next to the
restaurant. Mr. Goss suggested that a Council committee be formed
to meet with appropriate staff to discuss the matter.
MSUC (Moore/Malcolm) that Councilman Scott and Malcolm serve on the
committee relative to the City's options on said property.
COUNCIL COMMENTS
a. Councilman Moore said he thought it was the time to do
something positive with the two properties in that area (golf
course)--one needed a "shot in the arm" and the other needed
to be developed.
b. Councilman Scott brought up the question of possible future
uses for the City's property at 1-805 and East "H" Street.
He said since it is one of the main entrances to the City it
is time to do something with it. City Manager Goss advised
that various uses had been contemplated, including a City
tree nursery.
MSUC (Scott/Malcolm) to have staff look into utilizing the land in
a more productive and aesthetically pleasing way.
ADJOURNMENT AT 5:18 p.m. to the meeting on Tuesday, October 15,
1985, at 7:00 p.m.
Teresa Schroeder
Recording Secretary
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