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Home My WebLink About07/17/89 MINUTES RABakersfield, California, July 17, 1989 Minutes of the Regular Meeting of the Central District Development Agency of the City of Bakersfield, California, held in the Council Chambers of City Hall, 1501 Truxtun Avenue, at 3:00 p.m., July 17, 1989. The meeting was called to order by Chairperson Dunn. Deputy City Clerk Zaragoza called the roll as follows: Present: Agency Members Dunn, Kronenberg, Paynter, Rubin, Watson, Araujo Absent: Agency Member Killmer PUBLIC STATEMENTS Upon a motion by Agency Member Paynter, Public Statements were moved from the order of business to come New Business. after CONSENT CALENDAR The following items were listed on the Consent Calendar: .~ a. Approval of Warrant Nos. 321 to 338 inclusive, in the amount of $154,059.96. b. Minutes of the Regular Meeting of June 19, 1989 for approval. Contract Change Order No. 1 - Contract No. RA89-2 with Granite Construction Company for "K" Street reconstruction and signal improve- ments at "K", "L", 17th, and 18th Streets. Design Review Application (NO. 1) regarding an application by Foodmaker, Inc. (Jack-in- the-Box) for site plan, architecture, landscape architecture, and signage approval for a structure to be located at Chester Avenue and 23rd Street. Design Review Application (No. 2) regarding a request for banners for 19th and Chester Avenue. Upon a motion by Agency Member Kronenberg, Items a, b, c, d, and e of the Consent Calendar were approved by the follow- ing roll call vote: Ayes: Agency Members Araujo, Dunn, Kronenberg, Paynter, Rubin, Watson None None Agency Member Killmer Noes: Abstain: Absent: REPORTS Agency Member Watson, Chairperson of the Development Committee, read Report No. 89-6 regarding the City Center Project - a request by the developer as follows: Bakersfield, California, July 17, 1989 - Page 2 On Wednesday, June 28, 1989, staff made an oral presentation on a request made by Peter Mosesian relevant to the City Center Project, 1700 "K" Street. The Developer has requested relief in having to construct the water element which was included in the plans approved by the Central District Development Agency. The Committee recommends that this matter be referred to the Design Review Committee for consideration of possible design alternatives. Upon a motion by Agency Member Watson, Development Committee Report No. 89-6 was accepted and the recommendations were implemented. NEW BUSINESS 19th and "K" Street Surface Parking Lot at Former American National Bank Building. Economic Development Director Wager stated that staff is asking to temporarily convert the parking lot associated with the American National Bank Building to temporary parking at an esti- mated cost of $230 for minor repairs; and to turn over management of the 26 space parking lot to Five Star at a charge of $1 per month to administer that lot. The spaces would be available on a monthly lease basis at $28 per month. Upon a motion by Agency Member Kronenberg, the transfer of the surface parking lot to Five Star Parking for management was approved. PUBLIC STATEMENTS Mr. Bruce Keith, Second Vice President, Downtown Business Association (DBA), 1820 Brundage Lane, Ste. C, thanked the Agency on behalf of the Downtown Business Association for what has been accomplished at 19th Street and Chester Avenue improvements. Mr. Keith proposed to the Agency a public/private part- nership to accomplish the streetscaping. He proposed that for every tree the DBA provided, the Agency also provide a tree. Chairperson Dunn asked Mr. Keith if the DBA has agreed for the maintenance of the trees or just the planning. Mr. Keith stated that they agreed to the planting of the tree and have not discussed maintenance. Chairperson Dunn asked Mr. Keith to report back to the Agency regarding the DBA's financial commitment. Agency Member Araujo suggested that the Design Review Committee undertake the tree planting project as soon as possible. Bakersfield, California, July 17, 1989 - Page 3 Mr. Charlie Graviss, Auditorium Manager, updated the Agency on naming the meeting rooms of the Civic Auditorium. He stated that the minimum contribution is $5,000. They are setting the possible grand opening date for October 28, 1989, and are hoping to provide well know entertainment for the black tie event. Executive Director Hawley provided an informational memorandum regarding DDA Implementation and Monitoring. Ms. Carol Haggerty, General Counsel of Regal AIRCOA, INC. spoke on behalf of Bakersfield Convention Center Hotel Associates (BCCHA). She presented their request for the Agency to extend the time to accept or reject the lease in the Chapter 11 proceeding. Ms. Haggerty stated that a proposal has been sub- mitted for a 192 room, all-suites hotel, which they feel would be more economically feasible than the 300 conventional room hotel. They believe it would be beneficial to the City, the partnership and to the project, to agree to an extension of time with a defi- nite cut-off date. Ms. Haggerty is requesting an extension until September 30, 1989, and stated are prepared to give assurance to work towards that date in order to have real action to re-start the construction and move forward on the mutually agreed project. The terms have been set forth under which they would agree to turn over the project to the City on September 30, 1989, in exchange for mutual release by BCCHA and it's partners. Agency Member Watson made a motion to refer the request for extension of time to the Development Committee. Assistant City Attorney Daniel stated that there will be a hearing on August 9, 1989, regarding the lease in a bankruptcy court in Colorado. He stated that the City Attorney's Office recommends rejection of the proposed extension of time. Several reasons for rejection are that only a 192 all-suites concept has been submitted, which our proposals have rejected as being not viable for this area; we see no real consideration being given for the requested extension; we see no real hope of better financing or of putting up the Convention Center Hotel that the DDA called for; and at the last discussion the Agency wanted a 300-room hotel as the DDA called for. Agency Member Kronenberg asked if thi~ issue could be discussed in Closed Session. Assistant City Attorney Daniel stated that this case is set for discussion in Closed Session and that Closed Session could include this latest proposal because it is directed at an extension of time at the bankruptcy proceeding. Mr. Tom Fallgatter, local Attorney for the Casaro Family, asked the Agency to consider the request for the exten- sion of time. Agency Member Watson withdrew his motion to refer the request by Carol Haggerty, AIRCOA, for an extension of time to September 30, 1989 to the Development Committee. Mr. Robert Poppoli, owner of Downtowner Hotel, stressed that a 300-room hotel is needed. Bakersfield, California, July 17, 1989 - Page 4 CLOSED SESSION Closed Session pursuant to Government Code Section 54956.9(a) regarding Bakersfield Convention Center Hotel Associates, U.S. Bankruptcy Court, District of Colorado. Upon a motion by Chairperson Dunn, the Agency adjourned to the City Manager's Conference Room for Closed Session at 3:40 p.m. The meeting reconvened at 4:15 p.m. Chairperson Dunn stated that the Agency does not agree to extend the date in the bankruptcy action as requested by Bakersfield Convention Center Hotel Associates. ADJOURNMENT There being no further business to come before the Agency, upon a motion by Chairperson Dunn, the meeting was adjourned at 4:16 p.m. ATTEST: CHAIRPERSON of tS~ Central District Development Agency of the City of Bakersfield SECRETARY of the Cehtral District Development Agency of the City of Bakersfield bz