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~ Y l~SIONED~ ~ CITYITY OF
ULA VISTA
CITY COUNCIL, REDEVELOPMENT AGENCY
& HOUSING AUTHORITY
~/ ~/~/~,`~ Cheryl Cox, Mayor
~r/y(/~ Rudy Ramirez, Councilmember James D. Sandoval, City Manager
Mitch Thompson, Interim Councilmember Bart Miesfeld, City Attorney
Pamela Bensoussan, Councilmember Donna Norris, City Clerk
Steve Castaneda, Councilmember
June 8, 2010
4:00 p.m.
CALL TO ORDER
Council Chambers
City Hall -Building 100
276 Fourth Avenue
ROLL CALL: CounciUAgency Members Bensoussan, Castaneda, Ramirez, Thompson, and
Mayor/Chair Cox
PLEDGE OF ALLEGIANCE TO THE FLAG AND MOMENT OF SILENCE
SPECIAL ORDERS OF THE DAY
• INTRODUCTION BY RICHARD HOPKINS, PUBLIC WORKS DIRECTOR, OF
EMPLOYEES' OF THE MONTH, BOUSHRA SALEM, SENIOR CIVIL ENGINEER,
AND JOSE GOMEZ, LAND SURVEYOR
• PRESENTATION OF CALIFORNIA'S CLEAN AIR AWARD FROM THE
STATEWIDE CALIFORNIA CLEAN AIR PROJECT BY KATT EATON OF THE
INSTITUTE FOR PUBLIC STRATEGIES, TO THE CITY OF CHULA VISTA FOR
ITS LONGSTANDING EFFORTS TO REDUCE SECONDHAND SMOKE IN THE
COMMUNITY THROUGH THE ADOPTION OF SMOKE-FREE OUTDOOR DINING
IN JUNE 2006, AND FOR HOLDING THESE EFFORTS AS A PRIORITY FOR THE
COMMUNITY
• PRESENTATION OF A PROCLAMATION TO THE U.S. DEPARTMENT OF
HOUSING & URBAN DEVELOPMENT, HOUSING OPPORTUNITIES
COLLABORATIVE, PACIFIC SOUTHWEST ASSOCIATION OF REALTORS, AND
COMMUNITY HOUSING WORKS, PROCLAIMING JUNE 2010, AS NATIONAL
HOMEOWNERSHIP MONTH AND JUNE 26, 2010, AS HOMEOWNERSHIP DAY
IN THE CITY OF CHULA VISTA
• OATH OF OFFICE
London Meservy, Board of Appeals & Advisors
CONSENT CALENDAR
(Items 1-8)
The Council/Agency/Authority will enact the Consent Calendar staff recommendations by
one motion, without discussion, unless aCouncil/Agency/Authority Member, a member of
the public, or staff requests that an item be removed for discussion. If you wish to speak
on one of these items, please fll out a "Request to Speak" form (available in the lobby)
and submit it to the Ciry Clerk prior to the meeting. Items pulled from the Consent
Calendar will be discussed immediately following the Consent Calendar.
1. APPROVAL OF MINUTES of January 26, and February 2, 2010.
Staff recommendation: Council approve the minutes.
2. WRITTEN COMMUNICATIONS
Letter of resignation from Derek Turbide, Resource Conservation Commission.
Staff recommendation: Council accept the resignation.
3. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA
DIRECTING REVIEW OF THE CITY OF CHULA VISTA CONFLICT OF INTEREST
CODE
Adoption of the resolution directs the City Attorney and City Clerk to review the City's
Conflict of Interest Code to determine whether amendments are needed, and to submit a
notice to the Council prior to October 1, 2010, indicating either that amendments are
required or that no amendments are necessary. (City Clerk/City Attorney)
Staff recommendation: Council adopt the resolution.
4. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA
ESTABLISHING THE APPROPRIATIONS LIMIT FOR THE CITY OF CHULA
VISTA FOR FISCAL YEAR 2010-2011
Article XIIIB of the California Constitution approved by the voters in 1979 and
commonly referred to as the Gann Initiative, requires each local government to establish
an Appropriations Limit by resolution each year at a regularly scheduled meeting or
noticed special meeting. The purpose of the limit is to restrict spending of certain types
of revenues to a level predicated on a base year amount increased annually by an inflation
factor. (Director ofFinance/Treasurer)
Staff recommendation: Council adopt the resolution.
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5. A. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA
ACCEPTING $109,000 IN ON-BILL FINANCING & INCENTIVE FUNDS FROM
SAN DIEGO GAS & ELECTRIC TO INSTALL A HIGH EFFICIENCY BOILER AT
PARKWAY POOL AND APPROPRIATING $109,000 IN FINANCING FUNDS TO
THE CITY'S ENERGY CONSERVATION FUND (4/STHS VOTE REQUIRED)
B. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA
ESTABLISHING A NEW CAPITAL IMPROVEMENT PROJECT ENTITLED
"ENERGY EFFICIENCY: PARKWAY POOL BOILER" PROJECT (GG211),
AMENDING THE FISCAL YEAR 2009/2010 CAPITAL IMPROVEMENT
PROGRAM AND APPROPRIATING $109,000 OF ENERGY CONSERVATION
FUNDS THEREFOR (4/STHS VOTE REQUIRED)
C. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA
APPROVING A DESIGN BUILD AGREEMENT WITH BECKMAN ELECTRIC FOR
THE ENERGY EFFICIENCY PARKWAY POOL BOILER PROJECT (GG211)
Parkway pool was built in the early 1950's, and was outfitted with a Bryan Boiler that
operated until the early 1980's when it was replaced with a Raypak heater after the
original failed. Recently, staff noticed that several structural parts were beyond repair
and replacing the boiler with a more efficient new boiler was the only solution to solving
the heater problem. The project will be funded through SDG&E 0% interest On-Bill
Financing and incentives as well as existing non-General Fund sources. Adoption of the
resolutions appropriates the SDG&E On-Bill Financing Funds, establishes a new CIP
project and approves a Design Build Agreement with Beckman Electric. (Director of
Public Works/Director of Conservation & Environmental Services)
Staff recommendation: Council adopt the resolutions.
6. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA
AWARDING LANDSCAPE MAINTENANCE CONTRACTS IN FOUR (4)
COMMUNITY FACILITY DISTRICTS TO BLUE SKIES LANDSCAPE FOR
VILLAGE 7 MCMILLIN, VILLAGE 7 OTAY RANCH, OTAY RANCH AM,
VILLAGE 11 PHASE 1 AND PHASE 2, FOR THE PERIOD FROM JULY 1, 2010
THROUGH JUNE 3Q 2011; AND AUTHORIZING THE PURCHASING AGENT TO
RENEW THE AGREEMENT FOR FIVE (5) ADDITIONAL, ONE (1) YEAR OPTION
PERIODS
On April 19, 2010, the City received seven bids for this project. In order to increase the
quality of landscape services provided to four (4) Community Facility Districts, a
contract with new terms including a minimum staffing requirement was developed.
Adoption of the resolution awards a contract with Blue Skies Landscape. (Director of
Public Works)
Staff recommendation: Council adopt the resolution.
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7. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA
APPROVING AN AMENDMENT TO THE PROPERTY LEASE AGREEMENT WITH
HTH LEARNING DATED JANUARY 9, 2007; AND APPROVING A SECOND
LEASE WITH HIGH TECH HIGH FOR THE EXPANSION PROPERTY;
APPROVING RELATED IMPLEMENTING DOCUMENTS; AND AUTHORIZING
THE CITY MANAGER TO EXECUTE SAID AGREEMENTS
In January 2007, the City of Chula Vista and HTH Learning entered into a lease
agreement to allow for the development of High Tech High Chula Vista, a charter high
school within the City's future University Park and Reseazch Center (UPRC). Adoption
of the resolution approves an amendment to the lease agreement with HTH Learning, a
second lease with High Tech High, and related documents. (Deputy City
Manager/Development Services Director)
Staff recommendation: Council adopt the resolution.
8. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA
WANING THE FORMAL BIDDING PROCESS AND APPROVING ATHREE-
PARTY AGREEMENT BETWEEN THE CITY OF CHULA VISTA, ANTHONY J.
LETTIERI, FAICP - CONSULTANT, AND JPB DEVELOPMENT, LLC -
APPLICANT, FOR CONSULTING WORK WITH REGARD TO APPLICANT'S
PROJECT INVOLVING OTAY RANCH VILLAGES 3, 4, 8 EAST AND 10, AND
AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT
JPB Development, LLC, has and will be filing applications for proposed General Plan
and Otay Ranch General Development Plan amendments, Sectional Planning Area (SPA)
Plans, Tentative Maps and related Environmental Impact Reports involving the Otay
Ranch Village 3, 4, 8 East and 10 areas. Under a University Land Offer Agreement
(LOA) approved by the City Council in May 2008, processing of these complex
applications must occur within a defined time period. Adoption of the resolution
approves athree-party agreement to hire Mr. Lettieri to serve as a project manager and
ensure the LOA timelines are met. (Deputy City Manager/Development Services
Director)
Staff recommendation: Council adopt the resolution.
ITEMS REMOVED FROM THE CONSENT CALENDAR
PUBLIC COMMENTS
Persons speaking during Public Comments may address the Council/Agency/Authority on
any subject matter within the Council/Agency/Authority's jurisdiction that is not listed as
an item on the agenda. State law generally prohibits the Council/Agency/Authority from
discussing or taking action on any issue not included on the agenda, but, if appropriate,
the Council/Agency/Authority may schedule the topic for future discussion or refer the
matter to staff. Comments are limited to three minutes.
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PUBLIC HEARINGS
The following item(s) have been advertised as public hearing(s) as required by law. If
you wish to speak on any item, please fill out a "Request to Speak" form (available in the
lobby) and submit it to the City Clerk prior to the meeting.
9. CONSIDERATION OF THE ISSUANCE OF TAX EXEMPT OBLIGATIONS WITH
RESPECT TO THE PROPOSED LANDINGS II AFFORDABLE HOUSING
APARTMENTS
Chelsea Investment Corporation (CIC) and Brookfield Shea have proposed the
development and construction of a 143-unit affordable housing development for low-
income households, known as The Landings II located at the northwest comer of
Discovery Falls Drive and Crossroads Street within the Winding Walk master planned
community. In the past year, the City, it's Redevelopment Agency and housing
Authority have taken previous actions to approve and appropriate financing for the
Project from its HOME finds, In-lieu Housing funds, and Redevelopment Low and
Moderate Income Housing funds and authorized issuance of multifamily housing revenue
bonds. Reauthorization of the Bond issuance and modifications to the Agency Loan
related to its subordination are necessary prior to the financial closing of this project.
(Deputy City Manager/Director of Development Services)
Staff recommendation: CounciUAgency conduct the public hearing and adopt the
following resolutions:
A. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA
APPROVING THE ISSUANCE, SALE AND DELIVERY OF MULTIFAMILY
HOUSING REVENUE BONDS OF THE HOUSING AUTHORITY OF THE CITY
OF CHULA VISTA FOR THE LANDINGS II APARTMENTS
B. RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF
CHULA VISTA AUTHORIZING THE EXECUTIVE DIRECTOR TO MODIFY
SUBORDINATION TERMS OF A LOAN AGREEMENT BY AND BETWEEN
THE REDEVELOPMENT AGENCY AND LANDINGS II, L.P. AND EXECUTE
ALL OTHER AGREEMENTS AND DOCUMENTS NECESSARY FOR THE
FINANCING OF THE LANDINGS II AFFORDABLE APARTMENT PROJECT
10. CONSIDERATION BY THE CITY COUNCIL, REDEVELOPMENT AGENCY, AND
HOUSING AUTHORITY OF THE ADOPTION OF THE OPERATING AND
CAPITAL IMPROVEMENT BUDGETS FOR THE CITY AND REDEVELOPMENT
AGENCY AND THE OPERATING BUDGET FOR THE HOUSING AUTHORITY
FOR FISCAL YEAR 2010/2011
Page 5 - CC/RDA/HA Agenda http://www.chulavistaca~ov June 8, 2010
The City Council has received and considered the City Manager's proposed operating
and capital improvement budgets for the City and the Redevelopment Agency and the
operating budget for the Housing Authority for the fiscal year ending June 30, 2011. The
City Council considered and approved the Spending Plan for the General Fund and the
All Funds Spending Plan at the April 13, 2010 and May 25, 2010 Council Meetings
respectively. The budgets submitted at this time for formal adoption and appropriation
represent the City Manager's proposed budgets, as presented in the fiscal year 2010/2011
Proposed Budget document, amended to reflect various clean up items. (Director of
Finance/Treasurer)
Staff recommendation: CounciUAgency/Authority conduct the public hearing, adopt the
following resolutions and place the ordinance on first reading:
A. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA
ADOPTING THE OPERATING AND CAPITAL IMPROVEMENT BUDGETS
FOR THE CITY OF CHULA VISTA EXCLUDING CAPITAL
IMPROVEMENT PROJECTS LB144, PR311, STL337, STM37Q AND OP212
FOR FISCAL YEAR 2010/2011 AND APPROPRIATING FUNDS FOR THE
FISCAL YEAR ENDING JUNE 3Q, 2011
B. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA
ADOPTING CAPITAL IMPROVEMENT BUDGETS FOR CAPITAL
IMPROVEMENT PROJECTS LB144, PR311, AND STL 337 FOR FISCAL
YEAR 2010/2011 AND APPROPRIATING FUNDS FOR THE FISCAL YEAR
ENDING JUNE 30, 2011
C. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA
ADOPTING CAPITAL IMPROVEMENT BUDGET FOR CAPITAL
IMPROVEMENT PROJECT STM370 FOR FISCAL YEAR 2010/2011 AND
APPROPRIATING FUNDS FOR THE FISCAL YEAR ENDING JUNE 30,
2011
D. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA
ADOPTING THE CAPITAL IMPROVEMENT BUDGET FOR CAPITAL
IMPROVEMENT PROJECT OP212 FOR FISCAL YEAR 2010/2011 AND
APPROPRIATING FUNDS FOR THE FISCAL YEAR ENDING JUNE 30,
2011
E. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA
AMENDING THE COMPENSATION SCHEDULE AND CLASSIFICATION
PLAN TO REFLECT THE ADDITION OF VARIOUS POSITION TITLES AS
REFLECTED IN THE FISCAL YEAR 2010/2011 OPERATING BUDGET
F. RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF
CHULA VISTA ADOPTING THE OPERATING AND CAPITAL
IMPROVEMENT BUDGETS FOR THE REDEVELOPMENT AGENCY FOR
THE SOUTHWEST/TOWNE CENTER IUOTAY VALLEY/ADDED AREA
PROJECT AREA FOR FISCAL YEAR 2010/2011 AND APPROPRIATING
FUNDS FOR THE FISCAL YEAR ENDING JUNE 3Q 2011
Page 6 - CC/RDA/HA Agenda h[to://www.chulavistaca.gov June 8, 2010
G. RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF
CHULA VISTA ADOPTING THE OPERATING AND CAPITAL
IMPROVEMENT BUDGETS FOR THE REDEVELOPMENT AGENCY FOR
TOWNE CENTER I AND THE BAYFRONT PROJECT AREAS FOR FISCAL
YEAR 2010/2011 AND APPROPRIATING FUNDS FOR THE FISCAL YEAR
ENDING JUNE 30, 2011
H. RESOLUTION OF THE HOUSING AUTHORITY OF THE CITY OF CHULA
VISTA ADOPTING THE OPERATING BUDGET FOR THE HOUSING
AUTHORITY FOR FISCAL YEAR 2010/2011 AND APPROPRIATING
FUNDS FOR THE FISCAL YEAR ENDING JUNE 3Q 2011
I. ORDINANCE OF THE CITY OF CHULA VISTA AMENDING CHULA
VISTA MUNICIPAL CODE SECTION 2.05.010 RELATING TO THE
ESTABLISHMENT OF UNCLASSIFIED POSITIONS TO ADD THE TITLE
OF LAW OFFICE MANAGER (4/STHS VOTE REQUIRED) (FIRST
READING)
11. CONSIDERATION OF ADOPTING AN AMENDED MASTER FEE SCHEDULE,
COST RECOVERY POLICY, AND CONTINUING THE CURRENT PREVIOUSLY
APPROVED SEWER SERVICE RATES
On Januazy 20, 2009, the City Council endorsed the City Manager's Fiscal Health Plan
that included the review of the City's Master Fee Schedule to identify potential additional
fee revenues. Adoption of the proposed resolutions represents the first formal steps in the
implementation of the Fee Review component of the Fiscal Health Plan. (Director of
Finance/Treasurer)
Staff recommendation: Council conduct the public hearing, adopt the following
resolutions and urgency ordinance, and place the ordinance on first reading:
A. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA
ADOPTING A CITYWIDE COST RECOVERY POLICY
B. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA
ADOPTING AN AMENDED MASTER FEE SCHEDULE
C. URGENCY ORDINANCE OF THE CITY OF CHULA VISTA CONTINUING
THE CURRENT, PREVIOUSLY-APPROVED SEWER SERVICE RATES
(4/STHS VOTE REQUIRED)
D. ORDINANCE OF THE CITY OF CHULA VISTA CONTINUING THE
CURRENT, PREVIOUSLY-APPROVED SEWER SERVICE RATES (4/5TH
VOTE REQUIRED) (FIRST READING)
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ACTION ITEMS
The Item(s) listed in this section of the agenda will be considered individually by the
Council/Agency and are expected to elicit discussion and deliberation. If you wish to
speak on any item, please fill out a "Request to Speak" form (available in the lobby) and
submit it to the City Clerk prior to the meeting.
12. CONSIDERATION OF THE FIVE-YEAR FINANCIAL FORECAST REPORT AND
ADOPTION OF A RESOLUTION DECLARING A FISCAL EMERGENCY
The goal of the Five-Year Financial Forecast is to assess the City's ability over the next
five years to continue current service levels based on projected growth, preserve our
long-term fiscal health by aligning operating revenues and costs, and rebuild reserves.
The Forecast serves as a tool to identify financial trends, shortfalls, and issues so the City
can proactively address them. Over the last few years the City of Chula Vista has
experienced a precipitous decline in revenues due to the slumping economy, the housing
crisis, and the slowdown in development activity. In response, the City has made
significant program and personnel reductions, bringing expenditures in line with a lower
revenue base. Revenues have continued to decline in fiscal years 2008/2009 and
2009/2010, creating additional structural imbalances. In order to avoid additional service
impacts or further erosion of General Fund reserve levels, the City's Manger's proposed
operating budget for fiscal year 2010/2011 assumes the application of one-time revenues.
The Financial Forecast recognizes the use of one-time revenues as a short-term solution
and projects continued revenue shortfalls resulting in an ongoing structural imbalance in
the General Fund in fiscal years 2011/2012 through 2014/2015. (Director of
Finance/Treasurer)
Staff recommendation: Council accept the report and adopt the following
resolution:
A. FIVE-YEAR FINANCIAL FORECAST REPORT: FISCAL YEARS 2010/2011
THROUGH 2014/2015
B. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA
DECLARING A FISCAL EMERGENCY (UNANIMOUS VOTE)
13. CONSIDERATION OF CALLING AND GIVING NOTICE OF A SPECIAL
ELECTION TO BE HELD IN SAID CITY ON TUESDAY, NOVEMBER 2, 2010, FOR
THE PURPOSE OF A MEASURE RELATING TO THE CITY'S
TELECOMMUNICATIONS USERS' TAX
Chula Vista's Utility Users' Tax (UUT) was adopted in 1970, as a means to help fund
public services and capital improvement projects through the City's General Fund. The
City receives UUT based on the usage of natural gas, electricity and telecommunications.
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In fiscal year 2008/2009, the total UUT received was approximately $7.8 million,
representing 5.6% of General Fund revenues. The current rates charged are .00919 per
therm, .0025 per kilowatt, and 5% on telephone. There are over 150 cities in California
with a Utility Users Tax, generating an estimated $2 billion annually for city and county
governments throughout the state. City staff is recommending that the UUT on
telecommunications be updated due to a recent IRS decision, pending legal challenges, a
perceived loophole in the current ordinance and changes in technology, which have put
this funding at risk. The legal challenges pose the most serious and immediate threats to
existing UUT ordinances for cities taxing telecommunication services due to references
to the Federal Excise Tax. An adverse ruling in any of these pending actions may further
jeopardize the City's current UUT ordinance. As a result of these existing and imminent
threats to the telecommunications portion of the City's UUT ordinance, City staff is
recommending that the Council approve submittal of a new ordinance to the voters at the
November 2, 2010 special election as a general tax. The resolution presented for the
Council's consideration would approve an ordinance to be submitted to the voters for this
purpose. (Director of Finance/Treasurer)
Staff recommendation: Council adopt the following resolution submitting the
Telecommunications Users' Tax measure to the electors at the regularly scheduled
special municipal election to be held November 2, 2010; and consider submittal of an
argument and rebuttal argument, if any, for the measure and authorize a member or
members of the City Council to write and submit the argument(s) to the City Clerk:
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA
CALLING AND GIVING NOTICE OF A SPECIAL ELECTION TO BE HELD IN
SAID CITY ON TUESDAY, NOVEMBER 2, 2010, FOR THE PURPOSE OF
SUBMITTING TO THE QUALIFIED ELECTORS OF THE CITY, A MEASURE
RELATING TO THE CITY'S TELECOMMUNICATIONS USERS' TAX;
CONSOLIDATING THE ELECTION WITH THE STATEWIDE ELECTION;
REQUESTING THE BOARD OF SUPERVISORS OF THE COUNTY OF SAN DIEGO
PERMIT THE REGISTRAR OF VOTERS TO CONDUCT SUCH ELECTION;
AUTHORIZING THE CITY CLERK OR HER DULY AUTHORIZED AGENTS TO
CARRY OUT THE NECESSARY PROCEDURES FOR SUCH ELECTION; AND
DIRECTING THE CITY ATTORNEY TO PREPARE AN IMPARTIAL ANALYSIS
OF THE MEASURE (4/STHS VOTE REQUIRED)
OTHER BUSINESS
14. CITY MANAGER/EXECUTIVEDIRECTOR'SREPORTS
15. MAYOR/CHAIR'S REPORTS
16. COUNCIL/AGENCY MEMBERS' COMMENTS
Page 9 - CC/RDA/IIA Agenda httu://www.chulavistaca.~ov June 8, 2010
ADJOURNMENT City Council and Redevelopment Agency will adjourn to the next regular
meeting on June I5, 2010, at 4:00 p.m. in the Council Chambers.
Materials provided to the City Council/Redevelopment Agency related to any open-session item
on this agenda are available for public review at the City Clerk's Office, located in City Hall at
276 Fourth Avenue, Building 100, during normal business hours.
In compliance with the
AMERICANS WITH DISABILITIES ACT
772e City of Chula Vista requests individuals who require special accommodations to access,
attend, and/or participate in a City meeting, activity, or service, contact the City Clerk's Office
at (619) 691-5041 at least forty-eight hours in advance ofthe meeting.
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