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HomeMy WebLinkAbout03/02/82 MINUTES RAMINUTES BAKERSFIELD REDEVELOPMENT AGENCY Special Meeting .... March 2, 1982 The Special Meeting of the Bakersfield Redevelopment Agency was called to order by Chairman Casper on Tuesday, March 2, 1982 at 4:06 p.m. in the City Council Chamber. The secretary called the roll as follows: MEMBERS PRESENT: Vincent Casper, Chairman Richard Bilas Frank Lewis Gene Winer John Mooneyham (4:47) MEMBERS ABSENT: Jeanne Foth Glenn Puder STAFF PRESENT: Philip Kelmar, Executive Director Richard Russell, Deputy Executive Director W. D. Higginbotham, Jr., Treasurer Richard Oberholzer, City Attorney David Kennon, Economic Development Coordinator Cal Bidwell, Building Director MINUTES Minutes of the Regular Meeting of January 26, 1982 were approved as mailed. FINANCIAL Voucher Approval - Upon a motion made by Mr. Mooneyham, seconded by Mr. Winer to approve voucher numbers 154 through 167 totaling $2,498.69 were approved for payment. CORRESPONDENCE Petition received from the Lakeview Neighborhood Revitalization Strategy Group, dated January 25, 1982, was read by the secretary. The petition stated that Census Tract #22 is in desperate need of physical improvement and requested the Redevelopment Agency consider the for- mation of a redevelopment project area in Census Tract #22. Mr. Marvin Dean, Lakeview Neighborhood Revitalization Project Con- sultant, addressed the Agency concerning the revitalization of Census Tract #22. He discussed some of the problems in the area, and he requested assistance from the Agency to help with the economic problems. Mr. Dean requested that the Agency authorize staff to participate in the project and to investigate the area. Mrs. Ruth Barnet was present and expressed her concern for the development of this area. Mr. Bilas made a motion to refer this project (improvement of Census Tract #22) to the City Council so that the Council might consider designating this area as a Redevelopment Project Area. The motion was seconded by Mr. Lewis and carried. PROJECTS A) Mr. Russell stated that the Hotel developer, Hedrick/McBride Development Co., has requested an extension of one week to review two recent issues added to the agreement. Mr. Kennon explained the two issues involved in the agreement. The first issued involves the payment for the cost of demolishing existing structures on the site. The issue was resolved and the Agency will absorb the initial cost to demolish the structures and prepare the site, however, the developer will, over a period of ten years, pay the Agency for the cost of that demolition. The second issue deals with the expansion capability of the Hotel. Staff's opinion is that the market will support a large facility. The agreement states that if the occupancy of the Hotel reaches a level of 80%, the developer has agreed to consider the expansion of the Hotel. Should he fail to expand the Hotel, he has agreed to increase his rental payments by 15%. This was the developer's suggestion for resolving this issue. Mr. Kennon stated that the agreement will be ready for review at the next meeting. Mr. Russell requested that the Agency call a special meeting for next week, March 9, to receive the Disposition and Development Agreement that has been generated between the Bakersfield Redevelopment Agency and Bakersfield Metropolitan Association. Chairman Casper stated he could not participate in any discussion or voting regarding the issue of an office/commercial building on the northeast corner of 19th and "K" Streets, because of a possible conflict of interest. A ten minute recess was called to contact members in order to reach a quorum. (4:37) MR. MOONEYHAM ARRIVED AT 4:47 Meeting was called to order by Mr. Mooneyham at 4:47 B) Mr. Diatte was present and submitted a model of the office/commercial high-rise building proposed for downtown Bakersfield. The proposed 13-story project is on the corner bounded by "K" and "L", and 19th and 20th Streets. This structure will feature 212 parking spaces with 12 stories of offices plus a penthouse. Mr. Bilas requested a report from the staff regarding the proposed development. Staff indicated that an analysis of the project would be the next phase in the development of this project. A motion was made by Mr. Lewis to refer the project to staff and to review the proposal with the consultants. Motion was seconded by Mr. Bilas and carried. GENERAL A) A presentation was made by Mr. Robert Eddy, representing Millard Archuleta, Eddy, Paynter Associates. He presented a model of the buildings proposed for a nine square block area in the downtown. He stated that there has been a request by local developers and American National Bank to study the feasibility of developing suitable high-rise structures for two major office buildings in the city. The criteria established was that there be good architecture reflecting the image of the companies being represented, and adequate parking. Some of the building elements consist of some open space, landscaping, shops, restaurants, entertainment, and housing. Mr. Eddy emphasized that housing is a key element in the downtown area. A nine block study area has been selected in order to satisfy the criteria to develop an effective Specific Plan for this project. Mr. Eddy outlined the qualifications of the firm he is representing and discussed some of the projects they have previously developed. Some of the buildings proposed for the downtown are: the American National Bank building, a fifteen story office structure with shelter parking; a multi-story office building and parking structure on 18th and "K" Streets; and the development of a downtown plaza with the underground parking. Mr. Lewis inquired on the kind of tax increments the Agency would realize in this project. Mr. Eddy explained that they have not put any numbers on the plans as yet, but during the Feasibility study with staff, will make an in-debth study to determine if, in fact, this project is feasible. Mr. Lewis asked what speculation had been made on the time it would be for this project to commence. Mr. Eddy stated that if the feasibility of the project was not deter- mined within sixty to ninety days they will probably lose the interest that presently exists by the developers, and that the time frame is very short. Mr. Eddy explained that the project will be developed concurrently because there are a number of projects and they are major in scope. Ne stated that in a year or two years it is hopeful that they can start talking about they first building in the program. MR. CASPER RESUMED AS CHAIRMAN AT 5:19 B) Mr. Kennon stated that in 1976 the Health and Safety Code was changed to require agencies adopting new projects or new plans after that date to set aside 20% of the tax increments of those projects assisting or providing low or moderate income housing. He explained that in 1979 the Agency ex- panded the project area and that area is now under this new requirement. In 1979 and 1980 no tax increment revenue was collected for this expanded area, but in 1981 the Agency received $479 in set-aside revenue. He stated that 20% should be set aside for housing or some alternatives could be taken in lieu of the 20%. The first alternative would be to make a finding that there is no need for low and moderate income housing or that that need is less than the 20% being collected through the tax increments. The second al- ternative would be that a substantial effort is being made through other sources of revenue by the City in terms of providing low and moderate income housing. Mr. Kennon recommended that we set aside 20% of the tax increment revenue and also declare that a substantial effort is being made through other sources of revenue, and declare a public hearing for the regularly scheduled meeting to present a resolution and discuss the issue formally. Mr. Bilas made a motion to set a public hearing for the next regular meeting, March 23, to adopt a resolution pertaining to the housing require- ments. The motion was seconded by Mr. Lewis and carried by the following roll call vote: AYES: Casper, Bilas, Winer, Lewis, Mooneyham NOES: None ABSENT: Foth, Puder DESIGN REVIEW BOARD Mr. Bidwell was present and recommended an appeal of action made by the Design Review Board and approved by the Redevelopment Agency on January 26, 1982, relating to the remodeling of the exterior of the building located at 1101 19th Street. Mrs. Nancy Henry, Chairman of the Redevelopment Design Review Board, was present to explain the recommendation. She stated that this presen- tation is not compatible with the emerging character of downtown, and it was on that basis that they recommended rejection. Mr. Kelley, attorney representing Mr. Bob Engel and Egan Gost, owners of the property on 1101 19th Street, explained that it is a project of $25,000 to $30,000 for the face lift on a building that needs some repair. He stated the owner is trying to assist the Agency and the City with some revitalization of this structure. He further stated that there has been no direction given by the Design Review Board concerning how this proposed project can be made compatible with the downtown. Mr. Lewis questioned if it was the function of the Design Review Board to make counter suggestions or tell the owners what is not ac- ceptable about their project. Mr. Bidwell reported that it is not uncommon to make comments if there are some that are necessary. Mr. Mooneyham said that he would like to see an effort to set guide- lines for projects of this nature. Mr. Winer made a motion to have the proposed remodeling referred back to the Design Review Board for consideration. Resignation of Chairman Vincent Casper Mr. Casper made an announcement to the Agency, that because of the continued problem of conflicts when reviewing projects of the Redevelopment Agency caused by the location of his property on Chester Avenue, he is withdrawing his name from nomination for another term as an Agency member. ADJOURNMENT There being no further business to come bef(~ the Redevelopment Agency, the meeting was adjourned by Chairman C~er at 5:39 p~m. <-' ~ ,' B~kersfield Redevelopment Agency Roberta Allison Redevelopment Agency Secretary