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HomeMy WebLinkAboutrda min 1998/02/17 CC MINUTES OF A JOINT MEETING OF TME REDEVELOPMENT AGENCY/ CITY COUNCIL OF THE CITY OF CHULA VISTA Tuesday, February 17, 1998 Council Chambers 7:18 p.m. Public Services Building CALL TO ORDER 1. ROLL CALL: PRESENT: Agency/Councilmembers: Moot, Padilla, Rindone, Salas, and Chair/Mayor Horton ABSENT: Agency/Councilmembers: None ALSO PRESENT: Executive Director/City Manager, John D. Goss; Legal Counsel/City Attorney, John M. Kaheny; and City Clerk, Beverly A. Authelet. CONSENT CALENDAR (Item pulled: none) CONSENT CALENDAR OFFERED BY CHAIR/MAYOR MORTON, headings read, texts waived. 2.A. COUNCIL RESOLUTION 18904 AND AGENCY RESOLUTION 1596 APPROVING PURChASE AND SALE AGREEMENTS WITH THE RESPECTIVE PROPERTY OWNERS OF 110-130 BEYER WAY AND 1771 FOURTH AVENUE FOR SITING THE NEW CITY ANIMAL SMELTER AND APPROPRIATING $670,000 THEREFOR - On 7/15/97, Council directed staff to pursue negotiations on several properties for siting a new City Animal Shelter. The Beyer Way and Fourth Avenue properties became the preferred site after analyzing parcel size and availability, acquisition and off-site costs, vehicular access and circulation, as well as visibility and convenience for the public. Per staff's recommendation, the resolutions were approved unanimously 5-0. (Community Development Director) 4/5ths Vote Required. B. COUNCIL RESOLUTION 18905 REGARDING ITS INTENTION TO ISSUE TAX EXEMPT OBLIGATIONS TO FINANCE THE CITY'S ANIMAL SHELTER Lyle Haynes, Assistant Community Development Director, stated that there was an amendment to the item that needed to be entered into the record. After the agenda was sent out, staff learned of one objection that the property owner for the property at 110 and 130 Byer Way had relative to Section 1.3 of the agreement. The change to the amendment is such that previously under our proposed language, the City had the ability to unilaterally walk away from Parcel 1 which is the smaller parcel at the corner of Main and Byer Way in the event that some soil testing indicated there could be some soil issues. It was a minor change, but its understandable from the property owners perspective that he didn't want to allow the City the unilateral ability to be able to not proceed with the escrow on that smaller parcel and just close escrow on the larger parcel. Staff has agreed to the amendment which obligates the City to meet with the property owner to confer about terms and conditions upon which the City could negotiate with him in order to sever that parcel from the transaction if necessary. We do have approval from the property owner to the west. The property owner agrees with the remaining terms and conditions of the agreement. staff has reason to believe that this will not really be an issue; we have strong indication that the soils condition on the site has already been cleared with the County. Since we don't have conclusive evidence of that, we are protecting the City's interest. Member Rindone stated that in the recommendation it states that the resolution of intent was to issue tax exempt obligations for the financing of the City's animal shelter. If this was to be the case, how would that work. Mr. Haynes responded that there were a number of public facility projects that were coming on line and being planned for, and we need to be able to reserve our ability to come back and reimburse costs that we would be expended today from Minutes February 17, 1998 Page 2 debt obligations that we may issue to finance those projects. It is a legal and finance issue in terms of reserving our ability to recover those costs. Chris Salomone, Community Development Director, stated that this was a fail-safe measure in the event that in the future we do a city-wide bond issue for public facilities, (there will be a number of major public facilities that at this point we have contemplated a future funding source), this will reimburse us for those costs should that unknown mechanism be used. It is a fail-safe measure. Member Rindone asked if there was a city-wide bond issue that would come back to the Council, because we have a policy of putting that out to bid. Glen Googins, Deputy City Attorney, responded that there would be a number of additional actions necessary to take in order to finance either this project or a combination of public projects with the bond financing. This really was just a place keeper that, if in fact that bond financing comes to fruition with respect to this project, we would be allowed to recover costs from the proceeds of that bond issue from the time we adopt this resolution up until the bonds were issued. Member Moot expressed that before he voted, he wanted to go on record that he had some significant concerns of the overall costs that this animal shelter will ultimately run which will include the purchase of the land, in light of what he believed to be more pressing priorities of the City. Therefore, he will be voting against this item. VOTE: Passed and approved 4-1 (Moot voting no). * , , END OF CONSENT CALENDAR * * , ORAL COMMUNICATIONS None. ITEMS PULLED FROM THE CONSENT CALENDAR Item 2 was pulled and discussed. OTHER BUSINESS 3. DIRECTOR/CITY MANAGER'S REPORT(S) - none 4. CHAIR/MAyOR'S REPORT(S) - none 5. AGENCY/COUNCIL MEMBER COMMENTS - none ADJOURNMENT The meeting adjourned at 7:25 p.m. R~ ectful~is~ ~. Authelet, CMC/AAE City Clerk