HomeMy WebLinkAbout08/06/90 MINUTES RABakersfield, California, August 6, 1990
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., August 6, 1990.
The meeting was called to order by Chairperson
Paynter.
Deputy City Clerk Welty called the roll as follows:
Present:
Absent:
Agency Members
None
Paynter, Watson, Ruddell, Dunn,
Araujo, Rubin, $ceales
PUBLIC STATEMENTS
Mr. Charles Drew, 1918 19th Street, spoke regarding
the Unreinforced Masonry Ordinances and encouraged the Agency
to be more involved in the process during the next two years
in looking at the buildings affected, tracking what needs to
be done to those buildings, and trying to come up with some
ideas to assist the property owners.
CONSENT CALENDAR
The following items were listed on the Consent
Calendar:
Approval of Warrant Nos. 375 to 399,
inclusive, in the amount of $98,107.18,
and approval of Warrant Nos. 1 to 13,
inclusive, in the amount of $272,262.87.
b. Minutes of the Regular Meeting of July 16,
1990, for approval.
Design Review Application No. 90-8
submitted by Bilco Neon for American Way
Off Price for installation of wall mount
sign on the east and south wall elevations.
The east elevation will be 64 square feet
in size, and the south elevation will be a
maximum of 60 square feet.
Design Review Application No. 90-9
submitted by $tan Mosley dba Waterbed
Warehouse at 1534 19th Street, for
changing a sign panel on an existing sign.
Design Review Application No. 90-10
submitted by Marjorie C. Minner for Global
Gifts at 1516 18th Street, for a hanging
sign 10 inches by 56 inches to hang 8 feet
above sidewalk.
Design Review Application No. 90-11
submitted by Bilco Neon for Best Furniture
at 2014 Chester Avenue for a wall mount
sign 44 square feet in size.
Upon
c, d, e, and f
following roll
a motion by Agency Member Ruddell, Items a, b,
of the Consent Calendar were adopted by the
call vote:
Ayes:
Noes:
Abstain:
Absent:
Agency Members
None
None
None
Araujo, Dunn, Paynter, Rubin,
Ruddell, Sceales, Watson
Bakersfield, California, August 6, 1990 - Page 2
UNFINISHED BUSINESS
This is the time set for continued public
hearing before the Central District
Development Agency for the purpose of
receiving oral and/or written comments
concerning the proposed purchase of that
property at 1400 18th Street, Bakersfield,
and the proposed sale of that property at
the southwest corner of 17th and "G"
Streets, Bakersfield.
This hearing was continued from the meeting of
July 16, 1990.
Chairperson Paynter declared the hearing opened for
public participation.
Economic Development Director Wager reviewed the
status of the documents indicating this matter was continued
in order to resolve some language difficulties. For the most
part, that has taken place. There are still some matters
pending, and they relate primarily to the exhibits that would
be attached and that would be necessary for the opening of
escrow.
Mr. Barry Goldner from Klein, Wegis, DeNatale,
Hall, Goldner and Muir explained his clients had some minor
language changes that needed to be made to the documentation
(the Exchange Agreement) just to make sure that there were
no ambiguities. They also had requested that all the exhib-
its to the Escrow Instructions be prepared so that everyone
concerned understood what the deal was. He felt that his
concerns about the exhibits were not insurmountable and
requested that the Escrow Instructions and the Exchange
Agreement be formally approved at this meeting. He stated
further that his clients are eager to complete this
transaction, as well as the Agency, and did not want to come
back here today and ask for yet another continuance of this
hearing and have the Agency become concerned in any way that
there is some problem with the transaction, because there is
no problem with the transaction. Everyone is in agreement
about what the deal is. It's just a matter of getting all
the lawyers to focus in to get things finalized, and he felt
that can be done, hopefully, within the next few weeks with-
out any further difficulty.
In response to a question from Chairperson Paynter,
Economic Development Director Wager stated the documents that
are being referenced are escrow documents, and they wouldn't
require execution at this point, in any event. They would
require execution prior to the commencement of escrow. The
two agreements that are being submitted for approval outline
the understanding between the two parties. The balance of
the documents are items that would be submitted to the escrow
company. If the parties are unable to resolve any kind of
differences or settle on language, then, escrow never opens
and the deal falls to the wayside without anybody having been
impinged or harmed.
Deputy City Attorney Ma~ino stated that her under-
standing of what was being requested was to open the hearing
on this matter; however, she was concerned with having the
agreements approved by the Agency when it does not know what
the terms of those agreements are. She recommended that the
hearing be opened and testimony taken, and the Agency take
action in approving the agreements at the next meeting since
the items that are up for discussion are incorporated into
those documents, and felt that it would be best if the Agency
had an opportunity to review everything before it took
action.
Bakersfield, California, August 6, 1990 - Page 3
Chairperson Paynter then declared the hearing open
for public participation.
Mr. Charles Drew, 1918 19th Street, expressed his
concern as to where people will park if the property that is
currently being used as a parking lot is developed.
Economic Development Director Wager responded that
Banducci-Walker Enterpises currently is the primary tenant
for that parking lot; however, there will be additional park-
ing available in the area and within the distance allowed by
the Parking Ordinance.
In response to a question by Mr. Drew regarding the
monetary consideration involved in the exchange of
properties, Economic Development Director Wager stated that
there is an appraisal for that parking lot of $425,000.
Banducci-Walker is selling their parcel for $125,000. The
agreement calls for a $300,000 Promissory Note and Deed of
Trust which secures the City and the Agency's interest. In
the event that a project commences by a given date, is com-
pleted within two years, and whose building value is $4.5
Million, the Agency assumes the obligation to pay $300,000 at
10 percent interest over 10 years to the City. The City is
kept whole. The Agency has generated a project of some con-
siderable value to the downtown.
Upon a motion by Agency Member Watson, the hearing
was continued until the Regular Agency Meeting of August 20,
1990.
AGENCY STATEMENTS
Chairperson Paynter spoke regarding the story by
Mr. Medina in The Bakersfield Californian of August 6, 1990,
discussing City/County problems with redevelopment, and who
gets the bucks, a portion of which read: "However, the
Bakersfield Central District Development Agency, which over-
sees redevelopment downtown, is opposed to SB998." Mr. Paynter
stated that the matter has never come before the Agency, and
it has never expressed an opinion or taken action on SB998.
Chairperson Paynter spoke regarding the
Banducci-Walker agreement. He referred the establishment of
developing criteria for interviewing, and preparation of a
job description for a Contract Administrator, to the
Development Committee.
In response to a question by Agency Member Araujo
regarding whether the Contract Administrator would be bonded,
as is done in the real estate field, Chairperson Paynter
stated that it should be a point of serious consideration.
In response to a question by Agency Member Rubin
regarding the status of the Convention Center Hotel, Economic
Development Director Wager stated the proposals are due to
the consultant on August 13, 1990. It will take approxi-
mately two to three weeks to evaluate and forward their rec-
ommendation concerning the top three candidates. The intent
was to have three candidates appear before the Agency for the
opportunity to answer questions about qualifications, how
they can bring about the completion of the project, and per-
haps some questions about the gross terms that will be out-
lined in each proposal.
122
Bakersfield, California, August 6, 1990 - Page 4
Economic Development Director Wager further stated
that it will then be a matter of settling on one proposal and
preparing an exclusive right to negotiate, which would proba-
bly be for a period of 180 days. This will allow staff and
the developer an opportunity to work out the terms outlined
in the proposal. This procedure would require the active
participation of the Agency and the Development Committee.
Mr. Wager stated that the status is in line with the schedule
to present to the City Council in October. He further stated
that nine firms were invited to submit proposals and, of
those nine, three are local entities.
ADJOURNM~T
Upon a motion by agen~/~ember Rubin,
was adjourned at 3-28 . ~/
Agency of the City of Bakersfield
the meeting
Development
ATTEST:
SECRETARY of the Central District Development
Agency of the City of Bakersfield
ndw