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HomeMy WebLinkAboutOCTOBER 3,1972 THESE PROCEEDINGS ARE TAPE RECORDED.AND ON FILE IN THE OFFICE OF THE CITY CLERK MINUTES ARCADIA COMMUNITY REDEVELOPMENT AGENCY REGULAR MEETING OCTOBER 3, 1972 The Community Redevelopment Agency of the City of Arcadia, consisting of the City Council, met in regular session on October 3, 1972 at 8:45 p.m., in the Council Chamber of the City Hall. ROLL CALL .1" CHAIRMAN & SECRETARY APPOINTED PRESENT: ABSENT: Councilmen Arth, Butterworth, Hage, Helms, Scott None On MOTION by Councilman Helms, seconded by Councilman Scott and carried unanimously Mayor Hage was appointed temporary Chairman the City Clerk, Christine Van Maanen, was appointed temporary Secretary. . and AUDIENCE PARTICIPATION Jack Saelid, 821 Balboa Drive, stated in part that he objected to the use of his tax money for this purpose, that is, the expenditure of the $500 thus far to the consultant for the preparation of a re- connaissance and survey boundary map. and the contemplation of further expenditure in the neighborhood of $5000 for legal services without public hearings. He referred to the assessed valuation of the Fashion Park property which has not as yet been reassessed on its commercial zoning which would bring in about a quarter million dollars to the combined city, county and school districts. That to divert tax revenue from Fashion Park to the redevelopment fund through tax increment financing would be ample justification in his opinion for a taxpayer's suit. He concluded by stating in part that the City should not be involved in land development - that using CRA for clearing titles in the Chicago Park area was an appropriate use in his opinion but not in the subject instance. I Mrs. Sherry Passmore, 501 Santa Cruz Road, requested a copy of the report prepared by Eugene Jacobs and was advised to obtain same from the City Manager. In response to her inquiry about the source of the funds for CRA the Economic Coordinator stated in part that if and when the plan is adopted the tax base for the particular project area is frozen - that is, the assessed valuations within the subject area ... all taxing agencies would receive thereafter the same amount of money they received at the time the tax base was frozen.. that any increases at that time which would normally go to the taxing agencies would be used for redevelopment purposes. Once the costs have been taken care of, the money would be released back to the taxing agencies which would benefit from the increased valuation generated from the new development; any increase in funds would go to the agency not to the city. The funds would be used solely for the cost of redevelopment. Gary Darn, 950 Coronado Drive, submitted that this type of procedure is called tax increment bond financing. Bonds would eventually be issued which in theory are paid off by the increased assessments in the area covered by the redevelopment agency; that if the bonds cannot be paid off they become general obligation bonds so the City backs them as well as the Agency. With reference to the survey area he felt the golf course, the county park and the school do not need to be studied; that in his opinion the reason for the inclusion of Fashion Park is to use the revenue to be generated by Fashion Park to subsidize the development of the downtown area. He felt the study should be more realistic; that the proposal is good as long as it is kept within a confined area. He could not see why revenue from Fashion Park should be used in this manner instead of putting it into the City's General Fund. 10-3-72 - 1 - BY-LAWS ADOPTED AS AMENDED EXECUTIVE DIRECTOR Appointed AGREEMENT City-Agency APPROVED AS AMENDED AGREEMENT FOR LEGAL SERVICES ADOPTED AS AMENDED George Forman, 224 W. Orange Grove Avenue, submitted that in his opinion what is needed is communication in order for the citizens to know what is being considered and suggested the preparation and dis- semination of a brochure detailing the proposal. He noted in part that the areas to be surveyed may not be part and parcel of the actual redevelopment area; that this is merely the first step in the proceedings. ' George M.. Thomas, 1100 W. Huntington Drive, congratulated Council on this undertaking and referred to his personal experience with a redevelopment project in Los Angeles (Bunker Hill); that its success has assured the City's survival with the business it is bringing into that City. He felt the proposed redevelopment would be an asset to the City with its many benefits which he enumerated in part. Walt Landor, 1654 Rodeo Road, commended Council on its recent action I concerning the withdrawal of a Proposition from the ballot. He stated . . in part that he agreed with statemerits made by Mr. Saelid concerning the redevelopment and asked Council to seriously consider what was said. He also agreed with the suggestion of Mr. Forman - communicating what is being proposed to the people. Extensive discussion held on the By-Laws of the Agency. . Deletions and additions were agreed upon. It was MOVED by Councilman Helms, seconded by Councilman Butterworth and carried unanimously that the following changes be APPROVED. Section 204 - Compensation to be deleted except for Special Meetings. Section 301 - two clauses to be added thereto - 1) "The Agency shall designate from time to time the person who shall serve as Executive Director" and 2) "The Executive Director shall serve at the pleasure of the Agency". Section 402 to be changed in part in order for the Agency Members to authorize any other officer or employee of the Agency to execute instruments and documents. (By-Laws will be redrafted pursuant to this action.) It was then MOVED by . Councilman Helms, seconded by Councilman Butterworth and carried unani- mously that the By-Laws of the Agency be ADOPTED as AMENDED. On.MOTION by Councilman Helms, seconded by Councilman Butterworth and carried unanimously the City Manager was appointed Executive'Director of the Agency. During the review of this Agreement which details functions of the officers, methods of payment along with other responsibilities, it was brought out that the Agreement may have to be amended from time to time, and this was placed in the form of a MOTION by Councilman Helms, seconded by Councilman Butterworth and carried unanimously that the fo'110wing be added "This Agreement may be amended at any time and from time to time by a majority vote of the contracting parties." It was then MOVED by. Councilman Helms, seconded by Councilman Butterworth and carried unanimously that the form of Agreement establishing the City-AGENCY relationship be ADOPTED as AMENDED. (The Agreement will be redrafted pursuant to this action. Resolutions will be adopted at a later date.) I During the discussion on this Agreement with Eugene Jacobs, Councilman Scott observed that he was not really of a mind to enter into this agreement at this time. He felt a delay for two weeks would provide some time for the public to be apprised of what is being considered by Council. Whereupon he MOVED that the subject agreement for the services of Eugene Jacobs be postponed for two weeks. Councilman Arth seconded the motion and stated in part that the procedural steps which have thus far been taken are justified, but the Agreement being discussed could be delayed which would provide time to obtain the attitude of the people toward the proposal. He continued in part that he is not sold on the need for CRA in the area so designated and submitted that the situation may change in the downtown area due to the new Towne Center building and the Great Scott restaurant which facilities may generate new buildings 10-3-72 CRA - 2 - I ADJOURNMENT SINE DIE I and businesses. He felt Council should not move too rapidly. In response to a question the Economic Coordinator said in part that in order to prepare proper material for dissemination to the public the services of Mr. Jacobs would be needed and it would not require a great deal of money. Councilman Butterworth stated in part that the decline of the downtown section started when the City Hall was moved to its present location. With reference to the new buildings downtown he noted that the City assembled the land which became a miniature form of a community re- development project; that the City will receive good revenue from that source. He agreed that public education of what is being proposed is needed. Councilman Helms felt that the Agreement would provide the vehicle to obtain the advice and services of the legal counsel and stated in part that it could be adopted and then limit its use to a specific purpose until it is determined whether or not Council will go forward. Discussion held on what type of public hearing, where it should be held, etc. Mayor Hage felt that Mr. Jacobs, being expert in the field, could work on the material to be disseminated and could answer questions at the hearings. He then called for the vote on Councilman Scott's motion. AYES: NOES: ABSENT: Councilmen Arth, Scott Councilmen Butterworth, Helms, Hage None It was then MOVED by Councilman Helms, seconded by Councilman Butterworth that Council adopt the Agreement for legal services with an amendment to Paragraph 5 providing "that the Agreement may be termi- nated at any time by either party on written notice to the other" and deleting the 30 day notification period, with the further provision that staff be instructed to limit the services to be performed by Mr. Jacobs to those necessary to assist them in evaluating an informa- tive program on the nature and extent of the Redevelopment Agency and its function in the City, and to attend meetings which may be called by Council. Roll call was then taken on this motion. AYES: NOES: ABSENT: Counc i lmen Counc i lmen . None Butterworth, Helms, Hage Arth, Scott At 10:05 p.m. Councilman Butterworth MOVED to adjourn sine die. Motion seconded by Councilman Arth and carried unanimously. k~ Cha man (Temporary) o~~~~~~ Secretary (Temporary , 10-3-72 CRA - 3 -