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HomeMy WebLinkAbout03/28/2001 AGENDA PACKET SPCL BAKERSFIELD CITY COUNCIL AND BAKERSFIELD REDEVELOPMENT AGENCY AGENDA JOINT SPECIAL MEETING OF MARCH28,2001 Council Chambers, City Hall, 1501 Truxtun Avenue Speciat Meeting - 7:00 p.m. SPECIAL MEETING 1. ROLL CALL 2. PUBLIC STATEMENTS 3. CONSENT CALENDAR a. Adequacy of Environmental Review (Ward 1 ) (Wards 1,2) (Ward 1 ) (Wards 1,2) Resolution of the Bakersfield Redevelopment Agency making findings that all necessary environmental review has been adequately performed pursuant to the California Environmental Quality Act (CEQA) for approval of a Disposition and Development Agreement for the California Avenue Senior Housing Project. Resolution of the Bakersfield Redevelopment Agency making findings that all necessary environmental review has been adequately performed pursuant to the California Environmental Quality Act (CEQA) for approval of a Disposition and Development Agreement for the City Center Project. Staff recommends adoption of Resolutions by Agency. Adequacy of Environmental Review Resolution of the Bakersfield City Council making findings that all necessary environmental review has been adequately performed pursuant to me California Environmental Quality Act (CEQA) for approval of a Disposition and Development Agreement for the California Avenue Senior Housing Project. Resolution of the Bakersfield City Council making findings that all necessar~ environmental review has been adequately performed pursuant to the California Environmental Quality Act (CEQA) for approval of a Disposition and Development Agreement for the City Center Project. Staff recommends adoption of Resolutions by Council. (Wards 1,2) (Wards 1,2) CONSENT CALENDAR, con't. c. Approval of the Relocation Plan - City Center Project: 1. Resolution of the Bakersfield Redevelopment Agency approving the Relocation Plan for the City Center Project. Staff recommends adoption of Resolutions by Agency. 2. Resolution of the Council of the City of Bakersfield approving the Relocation Plan for the City Center Project. Staff recommends adoption of Resolutions by Council. (Wards 1,2) (Wards 1,2) DEFERRED BUSINESS Ordinance of the City Council of the City of Bakersfield approving and adopting an amendment to the Southeast Bakersfield Redevelopment Plan. (First reading 3/14/01) Staff recommends adoption of the ordinance by Council. Commitment of cash Up-front or Payment over time on Multi-Purpose Stadium. (Staff comments by City Manager Alan Tandy) The City Council has a choice of paying the "unfunded by others" portion of the stadium debt over time or up front. City staff has no preference. (Wards 1,2) HEARINGS Joint Council and Redevelopment Agency hearing to receive public comment regarding the use of Redevelopment Tax Increment Monies to help pay the Annual Debt Service on Certificates of Participation issued to construct the Multi-Use Stadium - City Center Project. 1. Resolution of the Bakersfield Redevelopment Agency. Staff recommends receiving testimony and adoption of the resolutions containing the requisite determinations by Agency. 2. Resolution of the Council of the City of Bakersfield. Staff recommends receiving testimony and adoption of the resolutions containing the requisite determinations by Council. -2- (Ward 1 ) (Ward 1,2) HEARINGS con't. b. Disposition and Development Agreement for the California Avenue Senior Housing Project. 1. Resolution of the Bakersfield Redevelopment Agency. Staff recommends adoption of Resolutions by Agency. 2. Resolution of the Council of the City of Bakersfield. Staff recommends adoption of Resolutions by Council. c. Disposition and Development Agreement for the City Center Project. 1. Resolution of the Bakersfield Redevelopment Agency. Staff recommends adoption of Resolutions by Agency. 2. Resolution of the Council of the City of Bakersfield Staff recommends adoption of Resolutions by Council. 7. ADJOURNMENT Respectfully submitted, Alan Tandy City Manager S:\CounciltAG EN DA'~MAR2801 JOINT.wpd March 22, 2001 (9:54AM) -3- ADMINISTRATIVE REPORT MEETING DATE: March 28, 2001 (JM) AGENDA SECTION: Consent Calendar ITEM: .~, aL.. TO: FROM: DATE: SUBJECT: Bakersfield Redevelopment Agency Members Donna L Kunz, Economic Development Director March 21, 2001 Adequacy of Environmental Review APPROVED DEPARTMENT HEAD ,/~ CITY ATTORNEY ~' _ ~ CITY MANAGER ~'"-'/~ Resolution of the Bakersfield Redevelopment Agency Making Findings That All Necessary Environmental Review has been Adequately Performed Pursuant to the California Environmental Quality Act (CEQA) for Approval of a Disposition and Development Agreement for the California Avenue Senior Housing Project. Resolution of the Bakersfield Redevelopment Agency Making Findings That All Necessary Environmental Review has been Adequately Performed Pursuant to the California Environmental Quality Act (CEQA) for Approval of a Disposition and Development Agreement for the City Center Project. RECOMMENDATION: Staff recommends adoption of the resolutions. BACKGROUND: CEQA requires that public projects must be accompanied by all necessary environmental evaluation, which, in the case of the City Center Project, was an EIR. Therefore, the Board of Zoning Adjustment, which considered and approved conditional use permits and zoning modifications for the City Center Project, was required by law to evaluate and certify the EIR for the City Center Project. The Board of Zoning Adjustment certified the Final Environmental Impact Report (FEIR) on March 13, 2001. The Board of Zoning Adjustment acted as the certifying body for the City Center Project FEIR pursuant to a request from the Bakersfield Redevelopment Agency and the City's adopted CEQA guidelines. On June 16, 1999, the Bakersfield Redevelopment Agency (previously called the "Central District Development Agency") certified the FEIR for the Southeast Bakersfield Redevelopment Plan. The foregoing FEIRs are incorporated into and made a part of this staff report as are all pertinent resolutions relating to such FEIRs. March 21, 2001, 10:03am P:\Admin Reports& Related~Adm-200 l\CityCenter-EIRS- RDA-032001 .wpd ADMINISTRATIVE REPORT Page 2 Pursuant to CEQA, the Agency may adopt and use previously certified EIRs to make subsequent approvals which are studied under the previous EIRs. The City Center DDA and the Senior Housing DDA are both part of the City Center Project EIR description and all environmental impacts were appropriately studied under that EIR. Also, any project in furtherance of a redevelopment plan for which an EIR was performed is deemed to be part of the original EIR approval. The City Center DDA and the Senior Housing DDA both fall within this category. Accordingly, staff recommends the Agency adopt the resolutions which allow using the City Center Project El R and the Southeast Bakersfield Redevelopment EIR for the City Center DDA and the Senior Housing DDA. CH:lsc:rk$ March 21, 2001, 10:03am P:~Adrnin Repo~s&Relateo'~Adm-200 ~ \CityCenter-EIRS-RDA-032001 .wpd ADMINISTRATIVE REPORT MEETING DATE: March 28, 2001 (JM) AGENDA SECTION: Consent Calendar ITEM: ~, J~. TO: FROM: DATE: SUBJECT: Honorable Mayor and City Council Donna L. Kurtz, Economic Development Director March 16, 2001 Adequacy of Environmental Review DEPARTMENT HEAD CITY ATDORNEY CITY MANAGER APPROVED Resolution of the Bakersfield City Council Making Findings That All Necessary Environmental Review has been Adequately Performed Pursuant to the California Environmental Quality Act (CEQA) for Approval of a Disposition and Development Agreement for the California Avenue Senior Housing Project. (Ward 1) Resolution of the Bakersfield City Council Making Findings That All Necessary Environmental Review has been Adequately Performed Pursuant to the California Environmental Quality Act (CEQA) for Approval of a Disposition and Development Agreement for the City Center Project. (Wards I & 2) RECOMMENDATION: Staff recommends adoption of the resolutions. BACKGROUND: CEQA requires that public projects must be accompanied by all necessary environmental evaluation, which, in the case of the City Center Project, was an EIR. Therefore, the Board of Zoning Adjustment, which considered and approved conditional use permits and zoning modifications for the City Center Project, was required by law to evaluate and certify the EIR for the City Center Project. The Board of Zoning Adjustment certified the Final Environmental Impact Report (FEIR) on March 13, 2001. The Board of Zoning Adjustment acted as the certifying body for the City Center Project FEIR pursuant to a request from the Bakersfield Redevelopment Agency and the City's adopted CEQA guidelines. On June 16, 1999, the Bakersfield Redevelopment Agency (previously called the "Central District Development Agency") certified the FEIR for the Southeast Bakersfield Redevelopment Plan. The foregoing FEIRs are incorporated into and made a part of this staff report as are all pertinent resolutions relating to such FEIRs. March 21, 2001, 4:32pm P:~Admin Reports&Related~Adm-200 l\CityCenter-EIRS-Cou ncil-032001 .wpd ADMINISTRATIVE REPORT Page 2 Pursuant to CEQA, the City Council may adopt and use previously certified EIRs to make subsequent approvals which are studied under the previous EIRs. The City Center DDA and the Senior Housing DDA are both part of the City Center Project EIR description and all environmental impacts were appropriately studied under that EIR. Also, any project in furtherance of a redevelopment plan for which an EIR was performed is deemed to be part of the original EIR approval. The City Center DDA and the Senior Housing DDA both fall within this category. Accordingly, staff recommends the City Council adopt the resolutions which allow using the City Center Project EIR and the Southeast Bakersfield Redevelopment EIR for the City Center DDA and the Senior Housing DDA. CH:Isc:rs March 21, 2001, 11;27am p:~Adrnin Reports& Related~Adm-200 l\CityCenter-EI RS-Council-032001 .wpd ADMINISTRATIVE REPORT MEETING DATE: March 28, 2001 (JM) AGENDA SECTION: Consent Calendar ITEM: _%, ~_. TO: Honorable Mayor and City Council Bakersfield Redevelopment Agency Members APPROVED. FROM: Donna L. Kunz, Economic Development Director DEPARTMENT HEAD ~ DATE: March 21,2001 CITY ATTORNEY (~ _j CITY MANAGER ~/~/ SUBJECT: Approval of the Relocation Plan - City Center Project: A Resolution of the Bakersfield Redevelopment Agency Approving the Relocation Plan for the City Center Project. (Wards 1 & 2) A Resolution of the City Council of the City of Bakersfield Approving the Relocation Plan for the City Center Project. (Wards I & 2) RECOMMENDATION: Staff recommends adoption of resolutions. BACKGROUND: California state law requires redevelopment agencies and cities to adopt general relocation guidelines. In 1997, the Council and Agency did so. Additionally, State law requires such entities to adopt a specific relocation plan whenever a large amount of Iow- and moderate-income households will be displaced as a result of a project assisted with government funds. When the Southeast and Old Town Kern Redevelopment Plans were approved in June 1999, a document entitled "Rules and Regulations for Implementation of California Relocation Assistance Law" was also adopted by the Council and Agency, outlining the state requirements in providing relocation assistance. The Relocation Plan for the City Center Project is in accordance with the adopted document as well. If the City Center Project (entertainment portion and senior housing) is approved, a number of Iow- and moderate-income residential units will be eliminated from the housing stock and the residents will need to be relocated. Additionally, several non-profits and businesses will need to be relocated. The contents of this relocation plan are consistent with the guidelines adopted by the Council and Agency and have been summarized at previous community meetings, Ad Hoc Committee meetings, and at Council and Agency meetings. March 21, 2001, 5:21pm P:~Admin Reports&Related~Adm-200 l\CityCenter- ReloPlan-032001 .wpd ADMINISTRATIVE REPORT Page 2 Approval of the relocation plan, which serves to outline what procedures the Agency and the City will follow to ensure that the residents will have a decent, safe and sanitary replacement dwelling in which to move, must be accomplished before any action approving the project can be undertaken. Additionally, the plan outlines the relocation benefits which are available to all displaced persons, businesses and non-profits and how such benefits will be distributed. The issue of long time residents in homes pumhased prior to Proposition 13 has been addressed within the plan. There are programs available under which a homeowner will not incur a financial hardship as a result of the purchase of another residence. If the homeowner is not eligible for such programs, the City and Agency will provide relocation assistance which is equivalent to 10 years of the difference of property tax assessments (not including fees such as trash, water and sewer) between their existing residence and the replacement residence they purchase. in order to ensure that all residents will have a suitable replacement dwelling that meets their needs, personal displacement interviews of all residents were conducted by staff and Capital Vision Equities' consultants to determine what their relocation needs will be. Each business and non-profit's relocation needs will be unique, so interviews will be conducted at a later time. In addition, neighborhood meetings were held with those owners and tenants that would be required to move, to discuss the impact it would have on them and their concerns over the relocation process. The Southeast Bakersfield Project Area Committee (SE PAC) reviewed the relocation plan at their March 15~h meeting, and their comments have been noted by staff. The SE PAC is not required to approve the relocation plan, but may provide advisory comments for the Agency's consideration. This plan meets the requirements of state redevelopment law as it is applied to relocation. After adoption of the plan, a copy will be sent to the California Department of Housing and Community Development (HCD) for review. March 21, 2001,4:37pm P:~Admin Reports&Relateo~Adm -2001\CityCenter- Re[oPlan-032001 .wpd ADMINISTRATIVE REPORT MEETING DATE: March 28, 2001 (JM) AGENDA SECTION: Deferred Business ITEM: ~. TO: FROM: DATE: SUBJECT: Honorable Mayor and City Council APPROVED Donna L. Kunz, Economic Development Director DEPARTMENT HEAD February 27, 2001 CITY A'I-rORNEY ~---./~ CITY MANAGER ~~ An Ordinance of the City Council of the City of Bakersfield approving and ~gVopting an Amendment to the Southeast Bakersfield Redevelopment Plan. (Wards 1 & 2) (First reading 3/14/01) RECOMMENDATION: Staff recommends adoption of the ordinance. BACKGROUND: California Redevelopment Law (CRL) requires that the City Council and the Bakersfield Redevelopment Agency (Agency) follow certain formal procedures during the process of amending redevelopment plans. A public hearing on the ordinance was conducted on March 14, 2001. Notice of the public hearing was mailed, as required by law, to area property owners, residents, businesses, and affected taxing agencies in the entire Southeast Bakersfield Project Area. In addition, a legal notice was published in the Bakersfield Californian each Tuesday for four consecutive weeks beginning February 13, 2001. In June, 1999, the City Council adopted the Southeast Bakersfield Redevelopment Project Area and the Southeast Bakersfield Redevelopment Plan. The Redevelopment Plan is a broad-based document which sets forth the blighted conditions in the Southeast Bakersfield Project Area and the mechanisms available to the Agency to alleviate those conditions. Prior to the adoption of the Redevelopment Plan, the Southeast Bakersfield Project Area Committee met and assisted in preparation of the Redevelopment Plan. CRL also requires the Redevelopment Plan to list all publicly-owned facilities that the Agency intends to assist financially. Currently, there is no mention of a publicly-owned multi-use stadium listed in the Redevelopment Plan. While the omission of a stadium in the Redevelopment Plan would not prohibit the City Council from going forward with the construction of such a facility anywhere in the Project Area, it would prohibit the Agency from contributing to it financially. March 21, 2001, 11:49am P:~Adm inReports&Related~,d m-200 l\CityCenter-SEPlanAm entAdopt-032101 .wpd ADMINISTRATIVE REPORT Page 2 This proposed amendment to the Redevelopment Plan has one function: to add a multi-use stadium to the list of public-owned facilities that the Agency can financially assist. This amendment would permit the Agency to financially assist the City Council in the construction of a multi-use stadium anywhere in the Southeast Bakersfield Project Area. Approval of the amendment does not mean the Agency or the Council are required to approve the City Center Project. The amendment simply permits the Agency to assist with such a project if it so chooses. Since the Redevelopment Plan was adopted by ordinance, it must be amended by ordinance. The City Council is the body which must adopt the ordinance. The Southeast Bakersfield Project Area Committee (PAC) reviewed the proposed amendment several months ago. They approved the amendment, contingent upon the Agency reserving ten percent (10%) of the tax increment generated by the City Center Project for use on redevelopment projects in the project area instead of pledging it to assist in repayment of the debt the City would incur if it chose to construct a stadium. On February 26, 2001, the Agency met to discuss the PAC's request. The Agency voted to set aside $32,000 for a charrette process to address the needs of constituents in the Southeast Bakersfield Project Area. On March 14, 2001, the City Council voted to use all of the projected tax increment generated from the City Center Project to assist with paying the debt service on the stadium, should the Project go forward. As such, the PAC has not approved the amendment. Therefore, pursuant to California Health and Safety Code section 33385.5, the Council must have five affirmative votes to adopt the ordinance. Staff believes that this is a very simple language amendment. The State requirement is a technical one. The project and its merits should be determined on its own, relative to the DDA. It would be tragic if it happened that the majority of City Council favored the project, but the ability to infuse redevelopment funds was lost, due to a technicality. Five positive votes only allow the language addition for this or another stadium project elsewhere in the southeast. March 21, 2001, 2:42pm P:~,dm in Repot ts&Related~Adm -2001\CityCenter-SEPianAm entAdopt-032101 .wpd ADMINISTRATIVE REPORT MEETING DATE: March 28, 2001 (JM) AGENDA SECTION: Deferred Business ITEM: q, ~, TO: FROM: DATE: SUBJECT: Honorable Mayor and City Council APPROVED Alan Tandy, City Manager March 16, 2001 DEPARTMENT HEAD CITY A'rFORNEY (~ ~ CITY MANAGER~/-~, r 1 Commitment of Cash up-front or Payment over time on Multi-Purpose Stadium (Wards 1 and 2) RECOMMENDATION: The City Council has a choice of paying the "unfunded by others" portion of the stadium debt over time or up front. City staff has no preference. BACKGROUND: We need to be giving instructions to our bond underwriters and attorneys on the final debt structure for the stadium. Therefore, the Council needs to decide which financing approach they would like to take if the DDA is approved between the City, the Redevelopment Agency, Ray P. ©lmschied, and D W. Sivers Company. The financing plans that have been presented to date have been based upon no up-front City cash going into the stadium beyond what has already been spent for preliminary work. The City does have a parallel option to the circumstances faced by a homeowner when taking out a home mortgage. Often homeowners have the option of 10% down with higher mortgage payments or 20% down with lower monthly payments. That decision has no right or wrong to it - it is a matter of the homeowners personal preference and financial situation. The City of Bakersfield has a similar option to reduce the "unfunded by others" annual stadium cost by putting in up-front cash. Using the plan showing $185,000 per year in "unfunded by others" costs, it would take $2.2 million in up- front cash and a two-year debt extension to take the "unfunded by others" amount to zero. The source can be the Facility Replacement Reserve. The Reserve would then be rebuilt from a naming rights deal, soccer franchise or other non-recurring revenues. March 22, 2001, 9:53am S:~Admin Rpts~001\flnancial issues on stadium 032801 .wpd ADMINISTRATIVE REPORT Page 2 The Facility Replacement Reserve was created by the City Council in the mid-1990's when there was an unexpected and substantial cost for an HVAC system replacement at the Convention Center. The fund is designed to receive one-time monies when they become available for the purpose of replacing or repairing assets that wear out. The balance was built up to $2,000,000, and the entire amount was spent on Centennial Garden. The fund balance has since been built back to $3,200,000. Using this fund to contribute "up front" to the proposed stadium is consistent with the intent of the fund, except that, in this case, the replacement would be for a worn out County asset-Sam Lynn Park-being replaced with a new City asset. The advantage of an up-front contribution is that it eliminates the apprehension about the long-term budget impact of the "unfunded" amount. The action is consistent with what was done on Centennial Garden. The disadvantage is this "rainy day account" would be reduced until the fund balance was replenished. However, it has taken only two years since the Centennial Garden opened to build the account back up. Staff believes that either funding plan works. The $185,000 per year is easily affordable, or the $2.2 million up-front is just fine too, should that be Council preference. March 21, 2001, 4:41pm S:~Admin Rpts~001\financial issues on stadium 032801.wpd ADMINISTRATIVE REPORT MEETING DATE: March 28, 2001 (JM) AGENDA SECTION: Hearings ITEM: TO: FROM: DATE: SUBJECT: Honorable Mayor and City Council Bakersfield Redevelopment Agency Members Bart J. Thiltgen, City Attorney March 15, 2001 APPROVED DEPARTMENT HEAD CITY ATTORNEY CITY MANAGER Joint Council and Redevelopment Agency hearing to receive public comment regarding' the use of redevelopment tax increment monies to help pay the annual debt service on Certificates of Participation issued to construct the Multi-Use Stadium -- City Center Project: 1. Resolution of the Bakersfield Redevelopment Agency. (Wards 1 & 2) 2. Resolution of the City Council of the City of Bakersfield. (Wards 1 & 2) RECOMMENDATION: Staff recommends receiving testimony and adoption of the resolutions containing the requisite determinations. BACKGROUND: Health and Safety Code section 33679 requires the City Council to authorize the spending of redevelopment tax increment monies on buildings or facilities which will be publicly owned. The City will own the Multi-Use Stadium ("Stadium"). That same code section requires the City Council to make certain determinations in order to authorize the spending of the redevelopment monies. The proposed Certificates of Participation will be issued to finance the cost and expense of construction of the Stadium. The Redevelopment Agency has agreed to reimburse the City not to exceed $317,000 annually from tax increment funds in consideration for the City's proposed financing of the Stadium. In order to be able to utilize the Redevelopment Agency's tax increment monies to pay for a publicly-owned building, the City Council and the Redevelopment Agency must make several determinations: 1) the Stadium will benefit the project area; 2) there is no other reasonable means of financing the Stadium; 3) the Stadium will assist in the elimination of blight; 4) the Stadium is authorized in the Redevelopment Plan; and 5) the Stadium is consistent with the Implementation Plan. Adoption of these resolutions only authorizes the use of tax increment funds to assist in the payment of the annual debt service for the Stadium, but in no manner constitutes an approval of the City Center Project or the Stadium. Approval of the City Center Project, the Stadium, and authorization for issuance of Certificates of Participation to fund the Stadium are separate actions which will be consider later. S:\COUNCIL'C, drnins~3445citycenter ResoHrg-2 wpd March 21, 2001,4:35PM ADMINISTRATIVE REPORT MEETING DATE: March 28, 2001 (JM) rAGENDA SECTION: Hearings ITEM: _.~, ~. TO: FROM: DATE: SUBJECT: Honorable Mayor and City Council Bakersfield Redevelopment Agency Members APPROVED Donna L. Kurtz, Economic Development Director DEPARTMENT HEAD (~ [(-~ March 21, 2001 CITY ATTORNEY~ /"//-7'"/ CITY MANAGER /~/ / Disposition and Development Agreement for the California Avenue Senior HouSing Project (Ward 1 ) 1. Resolution of the Bakersfield Redevelopment Agency. 2. Resolution of the City Council of the City of Bakersfield. RECOMMENDATION: Staff recommends adoption of resolutions. BACKGROUND: Staff has been negotiating with Capital Vision Equities ("CVE") for the construction of a 180-unit senior housing project to be constructed on the south side of California Avenue between M and O Streets ("the Project"). Capital Vision Equities is seeking a loan from the City of approximately $1.7 million in HOME funds and a loan of $990,000 of redevelopment housing set aside funds from the Agency. CVE is preparing to submit an application to the California Tax Credit Allocation Committee. CVE needs the tax credits to enable it to undertake the Project. Before the application can be submitted, however, CVE needs to have control of all of the property which will make up the Project. While CVE does not have to own the properties, it does need to have executed options to purchase the properties. Before CVE expends the funds to acquire the options, however, it needs to be assured that the Council and Agency are content with the deal terms and will authorize execution of the documents in the future. An ad-hoc committee, consisting of three Council members and three Agency members was formed to oversee the negotiation and construction of the Disposition and Development Agreement ("the DDA") attached to the resolutions. March 21, 2001, 2:30pm P:~AdminReports& Related~Adm -2001\CityCenter-SrHousingDDA-032001 .wpd ADMINISTRATIVE REPORT MEETING DATE: March 28, 2001 (JM) AGENDA SECTION: Hearings ITEM: _5', C.. TO: FROM: DATE: SUBJECT: Honorable Mayor and City Council Bakersfield Redevelopment Agency Members Donna L. Kunz, Economic Development Director March 21,2001 APPROVED DEPARTMENT HEAD CITY A'I-I'ORNEY Disposition and Development Agreement for the City Center Project (Wards I anc~ 2) 1. Resolution of the Bakersfield Redevelopment Agency. 2. Resolution of the City Council of the City of Bakersfield. RECOMMENDATION: Staff recommends adoption of resolutions. BACKGROUND: Staff has been negotiating with Ray P. Olmscheid and others ("the Developer") regarding the construction of an entertainment complex consisting of a 16-screen movie theater, a multi-use recreation and skating facility, several restaurants, retail facilities and a multi-use stadium. The terms of the negotiations have been memorialized in a Disposition and Development Agreement ('1he DDA"). An ad-hoc committee, consisting of three Council members and three Agency members was formed to oversee the negotiation and construction of the DDA. Additionally, the full Council and Agency have been kept informed of all of the deal points contained in the DDA. There has been an extraordinary effort placed into public participation on the project - televising Ad Hoc Committee meetings, Southeast PAC meetings, Redevelopment Agency Public Hearings, a Financial Oversight Committee and an Architectural Review Committee. Additionally, presentations have been made to a variety of community groups. The Ad Hoc Committee is slated to make a recommendation on this project at a meeting on March 27"~. Their recommendation will be made available to the City Council on March 28'h. March 21, 2001, 5:02pm P:~Adm inReports&Related~Adm-200 l\CityCenter-OImscheidDDA-leaseform-032001 .wpd ADMINISTRATIVE REPORT Page 2 ']'he Financial Oversight Committee is meeting on March 22nd and 23rd. It is likely this packet will go to print before we have their report. It will be made available at, or before, the joint Agency / Council meeting. There is one major change in the DDA from the last set of drafts reviewed by City Council. A memo dated March 19th is attached describing that change. In summary form, it extends the time, after DDA approval, from 45 to 120 days for the developer and City to complete the necessary work steps that make this project a certainty. For the City, those steps are: completing the baseball lease, obtaining an acceptable Guaranteed Maximum Price on the stadium, and preparing a land purchase agreement, which is the final step of commitment to build the stadium. For the developer, the steps are: completing leases with anchor tenants, obtaining financial commitments, and obtaining performance bends. The approval of the DDA sets the actions by both parties in motion. Without DDA approval, the developer can not obtain a loan commitment. If all the pieces to be done by both parties are completed, good faith requires that the project be completed. If any items are not complete, such as the developer not obtaining a loan, or the Guaranteed Maximum Price on the cost of the stadium being too high, there is no project. This project has been a long time in the making and the deliberation process. It is critical that, if it is to move forward, the various documents be approved at this meeting. :rs March 21, 2001,5:02pm P:~Adm in Reports& Related~Adrn-200 l\CityCenter-Olmscheid DDA-leaseform-032001 .wpd