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HomeMy WebLinkAbout08/17/1981 . . . . ) MINUTES REGULAR MEETING COMMUNITY REDEVELOPMENT AGENCY SANTA ANA, CALIFORNIA AUGUST 17, 1981 The Regular Meeting of the Community Redevelopment Agency of the City of Santa Ana was called to order at 1:00 P.M., in the City Council Chambers, 22 Civic Center Plaza, Santa Ana, California, after which the meeting was adjourned due to a lack of a quorum, until 7:30 P.M., in the City Council Chambers. Chairman Bricken reconvened the meeting at 7:30 P.M. After the Pledge to the Flag and the Invocation given by Father Francis Moran of Immaculate Heart of Mary Church, roll was called: PRESENT ABSENT John Acosta Gordon Bricken Daniel Griset Robert Luxembourger J. Ogden Markel patricia McGuigan Al Serrato Others in attendance: A. J. Wilson, City Manager Rex Swanson, Executive Director Edward J. Cooper, City Attorney David N. Ream, Community Development Director Thomas E. Hammill, Agency Real Estate Officer Mellmary McNeely, Secretary STATUS REPORT - SENIOR CITIZENS CENTER Chairman Bricken invited Pat Seixas to address the Agency. She thanked him and gave a status report, outlining the history and activities of the Senior Citizens Center. PRESENTATION - HECTOR GODINEZ At the invitation of Chairman Bricken, Mr. Luxembourger made a presentation of a .City Tile" to Hector Godinez, former Redevelopment Commissioner, and congratulated him upon his eight years of meritorious service to the community. Mr. Godinez thanked the Agency for so honoring him¡ after which, each of the members of the Agency came to the floor of the Chambers and congratulated him indi vidually. STATUS REPORT - DOWNTOWN PARKING GARAGE The City Manager advised the Agency that staff had recently met with a number of downtown businessmen to discuss the Downtown Parking Garage and that he felt it would be helpful for the Council Members to be briefed on the material discussed. He then introduced the Community Development Director who outlined the history of the redevelopment effort in Santa Ana and the steps taken to develop plans for a parking garage. He added that the bids for the garage would be opened Wednesday, August 19,1981. He stated further that staff expected to have a comprehensive presentation on these activities ready at the Special City Council meeting of August 27, 1981. ~ . . . . CONSENT CALENDAR STAFF RECOMMENDATIONS APPROVED Mr. Markel requested that Item 2A (Grant Deed/ Santa Ana Employees Credit Union and Philipson) be removed from the Consent Calendar, after which it was moved by Mr. Griset, seconded by Mr. Luxembourger and carried unanimously (7:0) that the Agency approve the recommendations of Staff on the following consent calendar items: MINUTES Approved Minutes of Regular Meeting held on July 20, 1981 and Special Meeting held on August 3,1981. MAJOR COMMERCIAL REHABILITATION STATUS REPORT Received and filed. * * * * * * * * * * * * CONSENT CALENDAR FINIS * * * * * * * * * EXECUTION OF GRANT DEED CONVEYING STREET RIGHT OF WAY TO THE CITY OF SANTA ANA (SANTA ANA CITY EMPLOYEES CREDIT UNION AND STEPHEN LAWRENCE PHILIPSON) - - It was moved by Mr. Griset, seconded by Mr. Acosta and carried by a vote of 6:1 (Mr. Markel voting "NO") that the Agency authorize the Chairman of the Community Redevelopment Agency of the City of Santa Ana to execute a Grant Deed conveying property necessary for the widening of Santa Ana Boulevard to the City of Santa Ana. FIRST AND FLOWER STREETS DEVELOPMENT The City Manager called the attention of the members of the Agency to three "blue" books on each of their desks and asked the Executive Director to explain their significance. The Executive Director stated that they were a new device which staff was recommending to assist in the marketing of future new developments. He added that staff would recommend that a certain number of sites be marketed in the future, using this new procedure, and that Agency not wait for developers to express interest in a site. He pointed out that this "Request for Proposal" is informative about the site, has promotional information on the City of Santa Ana, directs proposers to the appropriate staff within the Agency for further information and shows the scope of the City's developments. He added that over 300 developers, who have worked in the redevelopment field, would receive copies of these Requests for Proposals in the near future. He said that, in his opinion, this was a very innovative way to address the City's needs in the area of redevelopment. In response to a question from Mr. Luxembourger, the Community Development Director stated that the acquisition cost for the remaining parcels within the First and Flower Streets site would be approximately $750,000. There being no further discussion, it was moved by Mr. Griset, seconded by Mr. Acosta and carried by a vote of 6:1 (Mr. Markel voted "NO") that the Agency authorize the Executive Director to solicit proposals for the development of the site bounded by Flower, Second, Olive and First Streets in the project area. MAJOR COMMERCIAL REHABILITATION LOAN PROGRAM - COMMERCIAL REHABILITATION PARTICIPATION AGREEMENTS It was moved by Mr. Griset, seconded by Mr. Acosta and carried on a roll call vote of 6:1 (Mr. Markel voted "NO") that the Agency adopt the following Resolutions: 2. . Resolution 81-63: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A COMMERCIAL REHABILITATION AGREEMENT BETWEEN THE AGENCY AND JOSEPH I. SAADI FOR PROPERTY LOCATED AT 325 N. BROADWAY AND PROVIDING FOR THE EXEMPTION OF SAID PROPERTY FROM ACQUISITION BY THE AGENCY BY EMINENT DOMAIN UPON CERTAIN CONDITIONS. Resolution 81-64: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A COMMERCIAL REHABILITATION AGREEMENT BETWEEN THE AGENCY AND JACK MC CULLOCH AND JOY R. MC CULLOCH FOR PROPERTY LOCATED AT 108 W. FOURTH AND PROVIDING FOR THE EXEMPTION OF SAID PROPERTY FROM ACQUISITION BY THE AGENCY BY EMINENT DOMAIN UPON CERTAIN CONDITIONS. Resolution 81-65: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A COMMERCIAL REHABILITATION AGREEMENT BETWEEN THE AGENCY AND T. DOUGLAS MC CULLOCH AND DONNA K. MC CULLOCH FOR PROPERTY LOCATED AT 116 W. FOURTH AND PROVIDING FOR THE EXEMPTION OF SAID PROPERTY FROM ACQUISITION BY THE AGENCY BY EMINENT DOMAIN UPON CERTAIN CONDITIONS. . Resolution 81-66: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A COMMERCIAL REHABILITATION AGREEMENT BETWEEN THE AGENCY AND JACK MC CULLOCH AND JOY R. MC CULLOCH FOR PROPERTY LOCATED AT 214/216 AND 220 W. FOURTH AND PROVIDING FOR THE EXEMPTION OF SAID PROPERTY FROM ACQUISITION BY THE AGENCY BY EMINENT DOMAIN UPON CERTAIN CONDITIONS. Resolution 81-67: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A COMMERCIAL REHABILITATION AGREEMENT BETWEEN THE AGENCY AND CARLOS ORTIZ FOR PROPERTY LOCATED AT 110 W. FOURTH AND PROVIDING FOR THE EXEMPTION OF SAID PROPERTY FROM ACQUISITION BY THE AGENCY BY EMINENT DOMAIN UPON CERTAIN CONDITIONS. . Resolution 81-68: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A COMMERCIAL REHABILITATION AGREEMENT BETWEEN THE AGENCY AND DICK BEEM AND SUE L. BEEM FOR PROPERTY LOCATED AT 112/113 W. FOURTH AND PROVIDING FOR THE EXEMPTION OF SAID PROPERTY FROM ACQUISITION BY THE AGENCY BY EMINENT DOMAIN UPON CERTAIN CONDITIONS. Resolution 81-69: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A COMMERCIAL REHABILITATION AGREEMENT BETWEEN THE AGENCY AND DICK BEEM AND SUE L. BEEM FOR PROPERTY LOCATED AT 209/213 W. FOURTH AND PROVIDING FOR THE EXEMPTION OF SAID PROPERTY FROM ACQUISITION BY THE AGENCY BY EMINENT DOMAIN UPON CERTAIN CONDITIONS. Resolution 81-70: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A COMMERCIAL REHABILITATION AGREEMENT BETWEEN THE AGENCY AND DICK BE EM AND SUE L. BEEM FOR PROPERTY LOCATED AT 223 W. FOURTH AND 405/411 N. BROADWAY AND PROVIDING FOR THE EXEMPTION OF SAID PROPERTY FROM ACQUISITION BY THE AGENCY BY EMINENT DOMAIN UPON CERTAIN CONDITIONS. . Resolution 81-71: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A COMMERCIAL REHABILITATION AGREEMENT BETWEEN THE AGENCY AND CARL WOOD, MOZELLE WOOD, ROBERT HUMMELL AND LORRAINE HUMMELL FOR PROPERTY LOCATED AT 118/120 W. FOURTH AND PROVIDING FOR THE EXEMPTION OF SAID PROPERTY FROM ACQUISITION BY THE AGENCY BY EMINENT DOMAIN UPON CERTAIN CONDITIONS. 3. . Resolution 81-72: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A COMMERCIAL REHABILITATION AGREEMENT BETWEEN THE AGENCY AND ELIZABETH PHILLIPS, LOUISE HUTTON AND AUDREY E. PHILLIPS FOR PROPERTY LOCATED AT 301/305 W. FOURTH AND 410 N. BROADWAY AND PROVIDING FOR THE EXEMPTION OF SAID PROPERTY FROM ACQUISITION BY THE AGENCY BY EMINENT DOMAIN UPON CERTAIN CONDITIONS. Resolution 81-73: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A COMMERCIAL REHABILITATION AGREEMENT BETWEEN THE AGENCY AND VELMA FREEMAN FOR PROPERTY LOCATED AT 311/315 W. FOURTH AND PROVIDING FOR THE EXEMPTION OF SAID PROPERTY FROM ACQUISITION BY THE AGENCY BY EMINENT DOMAIN UPON CERTAIN CONDITIONS. . Resolution 81-74: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A COMMERCIAL REHABILITATION AGREEMENT BETWEEN THE AGENCY AND MASAO M. UYESUGI AND MARY M. UYESUGI FOR PROPERTY LOCATED AT 221 W. FOURTH AND PROVIDING FOR THE EXEMPTION OF SAID PROPERTY FROM ACQUISITION BY THE AGENCY BY EMINENT DOMAIN UPON CERTAIN CONDITIONS. Resolution 81-75: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A COMMERCIAL REHABILITATION AGREEMENT BETWEEN THE AGENCY AND MASAO M. UYESUGI AND MARY M. UYESUGI FOR PROPERTY LOCATED AT 317 W. FOURTH AND PROVIDING FOR THE EXEMPTION OF SAID PROPERTY FROM ACQUISITION BY THE AGENCY BY EMINENT DOMAIN UPON CERTAIN CONDITIONS. Resolution 81-76: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A COMMERCIAL REHABILITATION AGREEMENT BETWEEN THE AGENCY AND OTIS BUILDING PARTNERSHIP #1 FOR PROPERTY LOCATED AT 101/103 W. FOURTH AND PROVIDING FOR THE EXEMPTION OF SAID PROPERTY FROM ACQUISITION BY THE AGENCY BY EMINENT DOMAIN UPON CERTAIN CONDITIONS. . Resolution 81-77: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A COMMERCIAL REHABILITATION AGREEMENT BETWEEN THE AGENCY AND ALTERRA, INC. GENE MAYO, HARRY E. GABRIEL, AND GENE M. HILL FOR PROPERTY LOCATED AT 415 N. SYCAMORE AND PROVIDING FOR THE EXEMPTION OF SAID PROPERTY FROM ACQUISITION BY THE AGENCY BY EMINENT DOMAIN UPON CERTAIN CONDITIONS. Resolution 81-78: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A COMMERCIAL REHABILITATION AGREEMENT BETWEEN THE AGENCY AND ROBERT C. THEEL, dba RCT DEVELOPMENT FOR PROPERTY LOCATED AT 309 N. MAIN AND PROVIDING FOR THE EXEMPTION OF SAID PROPERTY FROM ACQUISITION BY THE AGENCY BY EMINENT DOMAIN UPON CERTAIN CONDITIONS. Resolution 81-79: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A COMMERCIAL REHABILITATION AGREEMENT BETWEEN THE AGENCY AND ROBERT FAINBARG FOR PROPERTY LOCATED AT 201 W. FIRST AND PROVIDING FOR THE EXEMPTION OF SAID PROPERTY FROM ACQUISITION BY THE AGENCY BY EMINENT DOMAIN UPON CERTAIN CONDITIONS. . Resolution 81-80: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA AUTHORIZING THE CHAIRMAN TO EXECUTE A COMMERCIAL REHABILITATION AGREEMENT BETWEEN THE AGENCY AND SANTORA PARTNERSHIP FOR PROPERTY LOCATED AT 207 N. BROADWAY AND PROVIDING FOR THE EXEMPTION OF SAID PROPERTY FROM ACQUISITION BY THE AGENCY BY EMINENT DOMAIN UPON CERTAIN CONDITIONS. 4. ..... . . . . Resolution 81-81: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A COMMERCIAL REHABILITATION AGREEMENT BETWEEN THE AGENCY AND ROSALIND K. ROBBINS AND A. LEONARD ROBBINS FOR PROPERTY LOCATED AT 215/217 W. FOURTH AND PROVIDING FOR THE EXEMPTION OF SAID PROPERTY FROM ACQUISITION BY THE AGENCY BY EMINENT DOMAIN UPON CERTAIN CONDITIONS. Resolution 81-82: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A COMMERCIAL REHABILITATION AGREEMENT BETWEEN THE AGENCY AND Y.M.C.A. OF ORANGE COUNTY FOR PROPERTY LOCATED AT 205 W. CIVIC CENTER AND PROVIDING FOR THE EXEMPTION OF SAID PROPERTY FROM ACQUISITION BY THE AGENCY BY EMINENT DOMAIN UPON CERTAIN CONDITIONS. Resolution 81-83: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A COMMERCIAL REHABILITATION AGREEMENT BETWEEN THE AGENCY AND RAYMOND C. KLEMP FOR PROPERTY LOCATED AT 217 N. MAIN STREET AND PROVIDING FOR THE EXEMPTION OF SAID PROPERTY FROM ACQUISITION BY THE AGENCY BY EMINENT DOMAIN UPON CERTAIN CONDITIONS. Resolution 81-84: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A COMMERCIAL REHABILITATION AGREEMENT BETWEEN THE AGENCY AND KEITH B. HENDERMAN FOR PROPERTY LOCATED AT 501 N. MAIN STREET AND PROVIDING FOR THE EXEMPTION OF SAID PROPERTY FROM ACQUISITION BY THE AGENCY BY EMINENT DOMAIN UPON CERTAIN CONDITIONS. Resolution 81-85: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A COMMERCIAL REHABILITATION AGREEMENT BETWEEN THE AGENCY AND THE PACIFIC BUILDING, INC. FOR PROPERTY LOCATED AT 225 N. BROADWAY AND PROVIDING FOR THE EXEMPTION OF SAID PROPERTY FROM ACQUISITION BY THE AGENCY BY EMINENT DOMAIN UPON CERTAIN CONDITIONS. Resolution 81-86: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A COMMERCIAL REHABILITATION AGREEMENT BETWEEN THE AGENCY AND ARCADE PARTNERSHIP FOR PROPERTY LOCATED AT 515 N. MAIN STREET AND PROVIDING FOR THE EXEMPTION OF SAID PROPERTY FROM ACQUISITION BY THE AGENCY BY EMINENT DOMAIN UPON CERTAIN CONDITIONS. Resolution 81-97: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A COMMERCIAL REHABILITATION AGREEMENT BETWEEN THE AGENCY AND RONALD L. ROELOFS AND JUDY M. ROELOFS FOR PROPERTY LOCATED AT 307/309 W. FOURTH AND PROVIDING FOR THE EXEMPTION OF SAID PROPERTY FROM ACQUISITION BY THE AGENCY BY EMINENT DOMAIN UNDER CERTAIN CONDITIONS. MAJOR COMMERCIAL REHABILITATION LOAN PROGRAM - OFFICIAL ACTION - KLEMP, HENDERMAN, ARCADE, PACIFIC, Y.M.C.A., MC CULLOCH, BEEM, ROBBINS, SHANE, UYESUGI AND MC CULLOCH It was moved by Mr. Luxembourger, seconded by Mr. Griset and carried by a vote of 6:1 (Mr. Markel Doted "NO") that the Agency adopt Resolution 81-87: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING BOND ISSUES FOR THE FUNDING OF PERMANENT LOANS FOR REHABILITATION OF SPECIFIED PROPERTIES AND MAKING CERTAIN FINDINGS IN CONNECTION THEREWITH. 5. . . . . EXTENSION OF EXCLUSIVE DEPARTMENT STORES, INC. AGREEMENT WITH NEGOTIATION FEDERATED The City Manager outlined the progression of negotiations between Federated Department Stores and the Agency and added that staff recommended this extension so that the Environmental Impact Report could be properly prepared. It was moved by Mr. Griset, seconded by Mr. Acosta and carried by a vote of 6:1 (Mr. Markel voted "NO") that the Agency adopt Resolution 81-89: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A SIXTH AMENDMENT TO THE EXCLUSIVE NEGOTIATION AGREEMENT BETWEEN THE AGENCY AND FEDERATED DEPARTMENT STORES, INC. AMENDMENT ASSOCIATES AGENCY RALPH ALLEN OF BETWEEN AND AGREEMENT THE The City Manager advised the Agency that, after final plans for the Ralph Allen Associates building were complete, it was found that there was a slight problem of overhang which required a redefinition of the lines. It was moved by Mr. Serrato, seconded by Mr. Acosta and carried by a vote of 6:1 (Mr. Markel voted "NO") that the Agency adopt Resolution 81-90: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN OF THE AGENCY TO EXECUTE AN AMENDMENT TO THE DISPOSITION AND DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND RALPH ALLEN ASSOCIATES. TERMINATION OF AGREEMENT BETWEEN THE AGENCY AND MOHLER-VISTA It was moved by Mr. Serrato, seconded by Mr. Griset and carried by a vote of 6:1 (Mr. Markel voted "NO") that the Agency adopt Resolution 81-91: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A TERMINATION OF AGREEMENT BETWEEN THE AGENCY AND MOHLER-VISTA. TERMINATION OF AGREEMENT BETWEEN THE AGENCY AND JONES DEVELOPMENT CORPORATION AND RETENTION OF $25,000 GOOD FAITH DEPOSIT ----------- The City Manager stated that the Jones Development Corporation had not met the criteria required to continue its exclusive right to negotiate with the Agency for the site known as Participation Plans B-1. It was moved by Mr. Griset, seconded by Mr. Acosta and carried by a vote of 6:1 (Mr. Markel voted "NO") that the Agency adopt Resolution 81-92: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN TO EXECUTE A TERMINATION OF AGREEMENT BETWEEN THE AGENCY AND JONES DEVELOPMENT CORPORATION; terminate the Participation Agreement between the Agency and Jones Development Corporation and retain the good faith deposit in the amount of $25,000 as liquidated damages pursuant to the Agreement; and authorize the Executive Director to request proposals for development of the site. TERMINATION OF AGREEMENT BETWEEN THE AGENCY AND SANTA ANA OFFICE PLAZA AND RETENTION OF $50,000 GOOD FAITH DEPOSIT Milton Burkes, the managing partner of the Santa Ana Office Plaza, addressed the Agency and pointed out drawings and plot plans posted on the display board. He stated that the project was well-defined, organized and planned by a well-known architect and that, in his opinion, the City would not be at a tremendous disadvantage if this agreement was extended for an additional 90 to 180 days. He added that he had two other developers who were interested in this project as a joint venture, one of whom was seeking funding, while the other was planning to come to Santa Ana for further discussions. 6. . . . . The City Manager advised the Agency that there was no "Good Faith Deposit" made on this project, merely a "Letter of Credit" which had now expired. He added that Anaheim Savings and Loan, formerly a partner in this venture, was willing to pay the $50,000 Good Faith Deposit in lieu of liquidated damages and that, if this agreement was extended, they would no longer be a partner and, therefore, not liable for the $50,000. It was for this reason, he stated, that staff was recommending that this agreement be terminated at this time. In response to a question from Chairman Bricken, the Community Development Director stated that the Agency had approximately $1.6 million dollars invested in this project. After further discussion, it was moved by Mr. Griset, seconded by Mr. Luxembourger and carried by a vote of 6:1 (Mr. Markel voted "NO") that the Agency adopt Resolution 81-93: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA TERMINATING THE DISPOSITION AND DEVELOPMENT AGREEMENT BETWEEN THE AGENCY AND SANTA ANA OFFICE PLAZA; authorize the Executive Director to execute a release of all claims against Santa Ana Office Plaza arising out of said Agreement in exchange for payment of $50,000 as liquidated damages; authorize the Executive Director to request proposals for development of the site. ACQUISITION OF PROPERTY BROADWAY STREETS AT THE NORTHWEST OF FIRST AND CORNER -- The Community Development Director gave a brief outline of the negotiations between the Agency and Joe R. Crider for property located at the northwest corner of First and Broadway Streets (a gas station, wine/beer store). He said that Mr. Crider had agreed to accept $235,000 for this property but that the Agency's appraiser did not feel that he could substantiate this amount at this time. (The Community Development Director stated further that the beer and wine license was of indeterminable value and that the best possible action seemed to be to proceed with the purchase.) In addition, he stated that staff felt that it was advisable to buy the property at this time for the $235,000 because it seemed probable that it would cost more at a later date. In response to a question from Mr. Luxembourger, the Community Development Director affirmed that the Agency did have the funds to purchase the property in the Birch Park Expansion fund and could enter escrow within two weeks, relocate the property owner and demolish the building within 90 to 120 days. The Community Development Director added that all efforts to get the property adjacent to Birch Park rehabilitated had failed and that staff would be recommending a new approach. After further discussion, it was moved by Mr. seconded by Mr. Luxembourger and carried by a vote of 6:1 (Mr. Markel voted "NO") that the Agency adopt Resolution 81-94: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA TO EXECUTE AN AGREEMENT FOR ACQUISITION OF REAL PROPERTY BETWEEN THE AGENCY AND JOE R. CRIDER FOR PROPERTY LOCATED AT THE NORTHWEST CORNER OF FIRST AND BROADWAY STREETS. Chairman Bricken declared a recess at 8:45 P.M. The meeting was reconvened at 8:55 P. M. with all those formerly present in attendance. AGREEMENT WITH HILL & KNOWLTON, INC. FOR PUBLIC RELATIONS MARKETING ASSISTANCE Chairman Bricken stated that a member of the Agency wished a continuance on this item but that, because a representative of Hill & Knowlton was present and wished to make a presentation, he would permit him to address the Agency today and if staff and the Agency wished to have a discussion of the matter, this too would be acceptable. 7. . . . . The Executive Director made a brief presentation regarding the selection of Hill & Knowlton, Inc for public relations/marketing assistance for the Agency. He stated that staff was trying to put together a program for marketing Santa Ana to investors and business corporations. He added that of the three-step program, two steps had already been accomplished (improving the image of Santa Ana and informing Orange County about the City -- this being accomplished through a recent article in Orange County Illustrated Magazine). In Staff's opinion, the third step, to establish an on- going program for marketing and reach 500 corporations and top developers throughout the United States, would be accomplished by a contract with Hill & Knowlton. He added that, in the selection process, staff had established the following criteria: Must be a premier marketing firm. Must have a relationship with national and international firms and should have successful programs with other redevelopment programs. After asking Hill & Knowlton to make a survey in which they interviewed a number of civic leaders for opinions and suggestions, they were invited to appear before the Agency. The Executive Director then introduced Mr. Ronald Hartwig, a Vice President of Hill & Knowlton. Mr. Hartwig thanked the Agency for the opportunity to speak. He then gave a brief background of the operation of Hill & Knowlton in which he pointed out that each office was an independent entity with full authority to act on behalf of a client. In addition to the Hill & Knowlton offices in 14 cities throughout the United States, the Corporation has affiliates in 27 other cities and 40 offices in 28 foreign countries. He pointed out that the Los Angeles office, which would be handling the Santa Ana account, had over 20 professional staff members with appropriate back-up staff. He said that, in his opinion, Hill & Knowlton was successful because of its ability to work closely with business and industry and help them reach the audience they wish to reach (they represent about 1/3 of the "Fortune 500" companies as well as local firms) and its ability to pioneer new methods such as helping public agencies to communicate with their constituencies. He added that helping City, State and Federal Agencies to communicate was a very complex field and that their company had been thus engaged for the past ten years. Mr. Hartwig then told of the following programs with which Hill & Knowlton had assisted: North Texas Regional (Dallas-Ft. Worth), Greater Atlanta, The Economic Council for puget Sound, the Greater Cleveland Projects and most recently the City of Long Beach. After giving a brief outline of the program Hill & Knowlton had planned for Santa Ana, he asked for questions. In response to a question from Mr. Markel, Mr. Hartwig stated that Hill & Knowlton's purpose was, very clearly, to help the Agency staff to communicate both to the people in Santa Ana and to others outside of Santa Ana about the City's accomplishments and goals. Mr. Merle Rabine, a concerned citizen, addressed the Agency briefly expressing his concerns regarding the newly proposed project areas and the possibility of minorities losing their homes. Ms. Lori Bassett, a concerned citizen, then addressed the Agency and expressed her support for any new effort, in the public relation field, that the Agency might undertake and offered her assistance. Mrs. McGuigan then asked for a continuance of this matter until the Agency's next regularly scheduled meeting so that she might have an opportunity to study in depth the material presented. In response to a question from Chairman Bricken, the City Manager stated that staff had hoped to have an agreement signed by early Fall and that, in his opinion, a 30-day delay in considering this item would not do irreparable harm to the Agency's program. 8. . . t 8 In response to a question from Mr. Acosta, the Executive Director stated that staff had been working on this proposed agreement for quite sometime but that, due to the fact that both Mr. Acosta and Mrs. McGuigan were newly elected to the Agency and had gone directly into budget considerations, they had not been briefed as thoroughly as some of the other Agency Members. He added that staff was taking steps to keep this type of situation from arising again and would see to it that both Council Members received a detailed report on everything that had transpired prior to their election. Mr. Acosta stated that he hoped that staff could tighten up their communications with the Council in the future. Mr. Griset stated that his chief concern was that the Agency should undertake a public relations campaign as soon as possible, and not necessarily who was chosen to conduct it. Chairman Bricken said that, in his opinion, if there were any issues pertaining to this agreement that were bothering any of the Agency Members, they should be brought forth at this time. Mr. Serrato said that his only concern was that there were four members of the Agency who had not been consulted during the survey. He added that he felt the Agency Members needed time to study and discuss the ultimate impact of the agreement. After further discussion, it was moved by Mrs. McGuigan, seconded by Mr. Luxembourger and carried unanimously (7:0) that the consideration of Resolution 81-95: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA TO EXECUTE AN AGREEMENT FOR CONSULTING SERVICES BETWEEN THE AGENCY AND HILL AND KNOWLTON, INC. be continued until the next regularly scheduled Agency meeting. AGREEMENT WITH FELIX ORAMAS FOR RELOCATION SERVICES --- It was moved by Mr. Acosta, seconded by Mr. Luxembourger and carried by a vote of 6:1 (Mr. Markel voted "NO") that the Agency adopt Resolution 81-96: A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AUTHORIZING THE CHAIRMAN OF THE AGENCY TO EXECUTE AN AGREEMENT WITH FELIX ORAMAS FOR RELOCATION SERVICES. ADJOURNMENT There being no further business to come before the Community Redevelopment Agency, the meeting was adjourned at 9:35 P.M. 9.