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Fourth District Court of Appeal June 20, 2005 Page 2 REDEVELOPMENT AGENCY ACTION Adopt a resolution authorizing and directing the execution of reimbursement agreement in connection with certain financing proceedings by the City of Santa Ana and approving related documents and official actions. DISCUSSION The Fourth District Court of Appeal, based in San Diego, is the intermediate state appellate court serving Santa Ana and Orange County. Division Three of that court was established in 1982 to provide justices and facilities to directly serve Orange County. Since its establishment, Division Three has been located in Santa Ana. Originally housed in a commercial office building on Santa Ana Boulevard, the Court is currently located in a facility at 925 N. Spurgeon Street in the Midtown Area. Division Three has now outgrown its Spurgeon Street courthouse and is seeking a new permanent location. A county-wide search conducted by the California Judicial Council resulted in the selection of a two acre site at the northwest corner of Santa Ana Boulevard and Ross Street in the Santa Ana Civic Center. (See Exhibit 1) The site is now occupied by the vacant temporary city jail and a portion of the City Hall parking lot.- Under the terms of the proposed purchase and sale agreement, the City will sell the site for the courthouse to the State of California for a nominal fee. Further, the City will be responsible for the demolition of the vacant jail facility and the preparation of the site for the State-funded construction. The City will also construct a 300 space parking garage in front of City Hall. This new garage will provide approximately 70 spaces dedicated to Courthouse operations and personnel, with the balance of the spaces designed to accommodate the parking stalls displaced by the courthouse construction. As the agreement is one that is prepared by the State, it is recommended that the Council approve this agreement with the provision that non-substantive changes to the terms and conditions may be authorized by the City Manager and the City Attorney. In 2002, in anticipation of this project, the City Council approved a program management agreement with the parking garage design and construction firm of Gordon & Williams. Under that agreement, Gordon & Williams is responsible for designing the garage and administering demolition and construction contracts for the project. On February 7, 2005 the City Council approved an amendment to the agreement for a total cost of $5.21 million. After final negotiation with State of California for the proposed Appellate 3