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HomeMy WebLinkAboutrda min 1995/07/11 CC MINUTES OF A JOINT MEETING OF THE REDEVELOPMENT AGENCY/CITY COUNCIL OF TIlE CITY OF CHULA VISTA Tuesday, July 11, 1995 Council Chambers 8:59 p.m. Public Services Building CALL TO ORDER 1. ROLL CALL: PRESENT: Agency/Councd Members Alevy, Moot, Padilla, Rindone, and Chair/Mayor Horton ALSO PRESENT: John D. Goss, Director/City Manager; Brace M. Boogaard, Agency/City Am~rney; and Beverly A. Authelet, City Clerk 2. APPROVAL OF MINUTES: June 20, 1995 and June 27, 1995 MSUC (Alevy/Horton) to approve the minute~ of June 20, 1995 and June 27, 1995 as presented. BUSINESS 3. REPORT STATUS OF THE BAYFRONT DEVELOPMENT--The Agency recently requested a stares report on development of the Chola Vista Mid-Bayfront. Staff recently received and reviewed a Market and Feasibility Survey prepared h~r the Mid-Bayfi-onf property owner/developer, Adnan Zakkout. Staff is providing a status update to the Agency. Staff recmnmends acceptance of the report and requests the Agency to name a subcommittee to work with staff in negotiating with the developer to expedite development of the Mid- Bayfront. (Comanunity Development Director) Chris Salomone, Director of Community Development, stated the report was a lkasibility presentation prepared by the owner in a very general th')rm that took data previously prepared fi>r the prqject and analyzing it and coming not to a conclusion, but a number of conclushms. Staff was recommending that ,;ince very little actual negotiating had occurred on the project since the new owner took over the property ~n September 1994, and because the repnrt did not lead to a conclusion, that a deliberate process he set tip ancl a subcommittee of the Conncil be appointed to assist in that negotiating process. He l~lt the applicant would be willing to participate in a process of weekly or regular meetings to mnve forward in what may he right-sizing or some a4iustment to the prqject to meet both the City and developers needs. Staff recommended a subcommittee and direction to pursue negotiations. Member Moot questioned what the subcoimmttee would do without a proposal. Mr. Salomone replied that the developers conclusion in the closing pages ot the report was that there were a nt~mber of options and he wanted to pursue a Iow cost n~gotiating process with the City. He felt the City should engage him, at least k~r the tbreseeable thture, to discover whether agreement could he reached and to bring onto the developers side of the table qualified consultants and studies to move fi)rward. Member Moot stated until the Agency had a proposal there was nothing to analyze or to have a subcommittee meet about or discuss. Once a proposal was received and the Agency knew where the developer intended to go with the prqiect they could then create a subcoumlittee. Mr. Salornone responded that it took almost nine months to get the study from the applicant, which had been promised from the begiuning of thc applicant's ownership. He suggested that the applicant be taken up on his willingness to negotiate or lie tElt the prqject would .just languish. He did not t~el the Agency could Ik~rce the developer to give them a tEasihle proposah The developer owned the land iii fee and he reit sitting at the negotiating table was a way to generate the proposal. Member Padilla stated the entire issue had languished /'ar too hmg. The Agency needed to keep itself open to options, but they needed to get something oft' the gronnd and moving. He had discussed the issue with staff and had met with Mr. Zakkout and heard his cnncems. Negotiating may or may not be ffnitfid but then the Agency Minutes July 11, 1995 Page 2 and Mr. Zakkout could move on. He did not have a problem with the staff recummcndation to sit down and start tile process. MS (Alevy/Padilla) to appoint Chair Horton and Member Rindone ti} I'm'm a subcmmnittee tu negotiate on the Mid-Bayfront. Member Rindone stated he was disappointed and felt the Agency was g{ung back to the drawing board. The current Agency and past Agency Members wanted a meaningful project that provided amenities ti) enhance the community, enhance the tax base, and serve as a tourist attraction. The last proposal on the Bayfront was exciting and provided a lot of amenities that would not have been otherwise t~asible. He understood that it did not "pencil out", but the Bayfront was the jewel of the City. Anything that was significantly di~l~rent than the present proposal would take years to achieve due to Coastal Commission approvals, etc. To throw out all the amenities in the proposal would put the City in a difficult fiscal condition because the Agency needed to advance tile redevelopment prqjects. The debt service for the bonds was not going away and there was a need to get resolution within the next year or two. He declined to participate on the Bayt¥ont Snbcommittee dne to substantial changes in his work requirement that would not allow him to participate. He would support the subcommittee as the prelect needed to move lbrward, but he hoped they would not start with a "blank check" but look at tile present proposal and see how it could be modified. Chair Horton recommended that Member Moot serve tm the Bayfi'ont Subcommittee hecaus~ he had previously served on the past Bayfront Subcommittee and the Planning Conmfission. FRIENDLY AMENDMENT: (Alevy) te appoint Member Motet to the Bayfrum Subcommittee. Member Moot stated that would be acceptable, but belbre the Agency voted he wanted to echo what Member Rindone had stated. If the Agency went back to ground zero on the project he wanted to he cmmted out. He had spent a lot of time, every two weeks for 9-10 months, at ground zero to consider all options. Through a very deliberative process they came up with a conclusion that some type of commercial/resort destination pro. ject was needed. He did not feel that would fundamentally change. He was not going to go backwards on the prqject and he did not intend to play a lot of games. If there were proposals to modify the prqject to make it economically mom t~asible then he was willing to meet. If there was some idea that it would be Disney World, etc. he did not want to participate. Member Alevy stated he had met with Mr. Zakkout and had checked out some of his properties and had received rave reviews. He did not believe they were going to ground zero, but l~lt they were looking at some subtle changes that Mr. Zakkout wanted implemented. If the Agency dealt in good taith and quickly he f~lt there would be a project that everyone could be proud of. He Ihlt the developer was capable of doing things quickly and did not have t~ worry about funding. He l~lt the Agency should be positive about the action taken. VOTE ON MOTION: approved unanimously. PUBLIC HEARINGS AND RELATED RESOLUTIONS AND ORDINANCES 4. PUBLIC HEARING JOINT REDEVELOPMENT AGENCY/CITY COUNCIL HEARING PURSUANT TO THE CHULA VISTA MUNICIPAL CODE AND CALIFORNIA HEALTIt AND SAFETY CODE SECTION 33431 AND 33433 REGARDING THE PROPOSED DISPOSITION BY THE AGENCY OF CERTAIN REAL PROPERTY LOCATED AT 760 BROADWAY COMPRISED OF APPROXIMATELY 2.53 ACRES TO BROADWAY VILLAGE BUSINESS HOMES, L.P. AND THE PROPOSED DEVELOPMENT OF SAID PROPERTY INTO A 36-UNIT MIXED-USE BUSINESS HOMES PROJECT, SUCH PUBLIC HEARING TO CONSIDER THE FOLLOWING SPECIFIC PROPOSED ACTIONS:-The City Council and Redevelopment Agency are requested to hold the requisite public hearings and take the actmns necessary to approve the Broadway Business Homes Project and authorize execution of a Disposition and Development Agreement with Joelen Enterprises (Josef and Lenore Citron) for the development of the prqject. Actions reqnired include a zoning change for the project from Thoroughfare Commercial to Central Commercial-Precise Plan; a Special Use Permit with Shared Parking Agreement to establish the mixed-use project; and approval of a Precise Plan with Conditions Minutes July II, 1995 Page 3 1bt development of the Project and approval of the DDA, and sale of thc pr,3perty without public bidding. Staff recommends the Council and Agency approve the resolutions and place the Ordinance on first reading. (Community Development Director) 1. Review and adoption uf Mitigated Negative Det'luration and Addendum IS-95-03 2. Approval of an amendment tu the zoning mup nr mups estublished by Section 19.18.010 of the Chula Vista Municipal Code by reztminl.l the 2.532 ucre purcel lucuted at 760 Braadway within the Snuthw~t Redevelopment Project Area I'rmn C-T (Cummerciul Thoruughfure) tn C-C-P (Central Commercial with Precise Phm) 3. Issuance of a Special Use Permit tu cunstruct a 36-unit cummercial/residential mixed-use project with Shared Parking Agreement 4. Approval of a Precise Plun ta allow cm~slructioo nfa 36-unit mixed-use project including associated site improvements 5. Approval of a Disposition and Development Agreemeut between the Agency and Joelea Enterprises A. RESOLUTION 17964 RESOLUTION 1460 ADOI~FING hlITIGA'I'ED NEGATIVE DECLARATION AND ADDENDUM IS-95-03 FOR A 36-UNIT BUSINESS IIOMES PROJECT AT 760 BROADWAY B. ORDINANCE 2636 AMENDING TIlE ZONING MAP OR MAPS ESTABLISHED BY SECTION 19.18.010 OF THE CHULA VISTA MIINICIPAL CODE BY REZONING THE 2.53 ACRE PARCEL LOCATED AT 760 BROADWAY WITtlIN TIlE SOUTIIWEST REDEVELOPMENT PROJECT AREA FROM C-T (COMMERCIAL TIIOROUGIIFARE) TO C-C-P, CENTRAL COMMERCIAL WITH PRECISE PLAN (First Reading) C. RESOLUTION 1461 MAKING CERTAIN FINDINGS AND GRANTING A SPECIAL USE PERM1T FOR THE DEVELOPMENT OF A MIXED-USE PROJECT KNOWN AS THE BROADWAY BUSINESS HOMES PROJECT, LOCATED AT 760 BROADWAY WITHIN THE SOUTHWEST REDEVELOPMENT PROJECT AREA TO BROADWAY VILLAGE BUSINESS HOMES, L.P. D. RESOLUTION 1462 RESOLUTION 17965 APPROVING A PRECISE PLAN FOR THE BROADWAY BUSINESS HOMES PROJECT AND A DISPOSITION AND DEVELOPMENT AGREEMENT WITH BROADWAY BUSINESS HOMES, L.P., AND AUTttORIZING Tile CHAIR TO EXECUTE SAME E. RESOLUTION 1463 WAIVING TIlE CONSULTANT SELECTION PROCESS, AUTHORIZING EXECUTION OF A TWO-PARTY AGREEMENT BETWEEN THE REDEVELOPMENT AGENCY AND WOODWARD-CLYDE CONSULTANTS FOR SOIL TESTING AND REMEDIATION CONSULTING SERVICES AT 760 BROADWA Y, AND APPROPRIATING FUNDS THEREFOR--Demolition of buildings at the Fuller Ford site will necessitate removal of contaminated soils. It will be necessary to have a qualified hazardous materials consultant present during demolition. Staff recommends approval of tile resolutiun. Not a part 0f the Public Hearing, hut a related ile~n. (Cnmmunity Development Director) Chris Salomone, Director of Community Development, stated the Agel~cy/Cmlncil was being asked to approve a number of actions to complete the process on the Broadway Business Homes. The Development Agreement had been negotiated over the hist ten days and a copy of the final document was on the dais. Betbre taking the recommended actions lee stated all outstanding issue came to light (m Monday and was not part of the Development Agreement. The issue could be discussed in Open Session or Closed Sessiun. It dealt with the purchase price and acquisition of the property. He did not characterize any of the negotiatmns as had faith, it had been done in good thith on both sides of the table, and it '*vas.just a last mitmte issue. Pending th~ resolution ot that issu~ 6ptions were bet~ore the Agency/Council fi~r action. This being the twne and place as advertised, the public hearing was declared open. Minutes July 11, 1995 Page 4 ® Josef Citron, 761 Golden Park, San Diego, CA, stated he was a little taken back by the process at the meeting. He did not know that there was anything ti) address and l~lt ~t was appropriate fi)r Council to meet in Closed Session in order to discuss the issue and then any response brought back from the Agency/Council he would be happy to address. He felt that would be a better procedure. * * * Council met in Closed Session at 9:18 p.m. and recnnvened at 10:06 p.m. * * * Mr. Boogaard recommended that unless the applicant wanted to address the Agency/Council, the Chair/Mayor open the hearings so the item would not have to be republished, and cominue the items to a meeting on July 15, 1995 recognizing that staff had been given negotiating instructions to Meet & Conl~r with the applicant for the next two weeks. MSUC (Horton/Padilla) to continue the item to a meeting un July 25, 1995. Agency/Council Member Moot questioned whether the developer should he g~ven stone explanation. He stated that the Agency/Council was not prepared to approve the Devel,~)pment A~eement as submdted. Mr. Citron stated he needed direction because they 'were b~ing told by SDG&E that they needed a check hy 1:00 p.m. on Wednesday in order to bring the gas into the property. They had four other checks that had to be written bei'k)re the end of the week. The architect was to submit to the Buildine~ Department, in ten days. the building plans for the project based on the understanding that there would be a resolution at the meeting. He waated s,:me direction. Chair/Mayor Horton recormnended that Mr. Citron meet with Mr. Salomone and then return to the issue later in the agenda. Mr. Boogaard stated that unless the Agency/Council had some overriding need to say sometbing he recommended that the Agency/Council not respond to whether or not the developer should incur costs on the project. Staff had been given instructions to meet with the applicant and staff would do that atter the meeting or first thing in the morning. Chair/Mayor lqorton requested the Mr. Salomone meet with Mr. Citron. Mr. Salomone stated Item E on the agenda waived the consultant process and authorized the execution of an agreement and that could be approved contingent upon successful negofiation of the issue. ORAL COMMUNICATIONS None OTHER BUSINESS 5. DIRECTOR'S/CITY MANAGER'S REPORT(S) - None 6. CHAIR'S/MAYOR'S REPORT(S) - None 7. AGENCY/COUNCIL MEMBER COMMENTS Member Rindone a. Status report on negotiations ot the Broadway Business Homes Prqject. Th~ request is to discuss in Closed Session. Member Rindone stated the item had been discussed at the last Redevelopment &~cncy Meeting and he did not have a need tn discuss it again. Minutes July 11, 1995 Page 5 AD,]OURNMENT ADJOURNMENT AT 10:13 P.M. to the Regular Redevelopment Agency Meeting on August 1, 1995 at 4:00 p.m., immediately tbllowing thc City Council meeting, irt the City Cmmcil Chambers. CLOSED SESSION The Agency met in Closed Session at 10: 15, reconvened at 11:15 p.m., and a~ioumed at 11:16 p. tn. 8. CONFERENCE WITH LEGAL COUNSEL REGARDING: Anticipated litigation pursuant tu Government Code Section 54956.9(b) Chula Vista Auto Park developers South, Bay Chevrolet and Fuller Ford/Honda/Kia v. City/Redevelopment Agency based on statements made in June 8th letter from Auto Park developers to staff Continued from the meeting of June 27, 1995 9. REPORT OF ACTIONS TAKEN IN CLOSED SESSION - No reportable actions were taken in Closed Session. Respccltull), submitted, BEVERLY A. AUTHELET, CMC/AAE, City Clerk Vicki C. Sodcrquist, CMC,)~eputy City Clerk \