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HomeMy WebLinkAbout1983-26 CRA . . 4t RESOLUTION NO. 83-26 A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA DENYING THE CLAIM OF GREEN'S FURNITURE, INC. FOR RELO- CATION ASSISTANCE PAYMENTS WHEREAS, a claim for relocation assistance payments in the amount of $237,170.00 was filed with the Community Redevelopment Agency of the City of Santa Ana (the "Agency") on or about August 3,1982, in the name of Green's Furniture, Inc.~ and WHEREAS, said claim was denied by the Community Development Director of the City of Santa Ana on behalf of this Agency on or about September 1, 1982~ and WHEREAS, Green's Furniture, Inc. appealed to this Agency from said denial~ and WHEREAS, prior to being heard by this Agency, said claim was submitted to the Community Redevelopment Commission for review and recommendation~ and WHEREAS, based upon its review of the claim, the Community Redevelopment Commission, at its meeting of July 5, 1983, recommended its denial~ and WHEREAS, this Agency, at its meeting of July 18, 1983, reviewed the said claim and all written materials pertaining thereto, and gave hearing to the oral arguments and evidence of the claimant and Agency staff~ and WHEREAS, at the conclusion of said review and hearing, on the basis of all the evidence, written and oral, presented to it, this Agency has determined to deny said claim, and does now desire to set forth such determination in writing in accordance with section 42.705(e) of Title 24 of the Code of Federal Regulations~ NOW, THEREFORE, BE IT RESOLVED BY THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA AS FOLLOWS: 1. The above said claim of Green's Furniture, Inc. for relocation assistance payments is denied in its entirety. '1-1D 6A . . . RESOLUTION NO. 83-26 PAGE TWO 2. The factual and legal basis upon which said denial is based is as follows: a. The factual background to the relocation upon which said claim is based is truly and accurately represented in the remarks of the Assistant Director of Redevelopment & Real Estate to the Community Redevelopment Commission as reported in the minutes of the July 5, 1983 meeting of said Commission, incorporated herein by reference. b. In the time preceding and during the rehabilitation work on the Grand Central Building, leading up to and including the letter agreement of February 18, 1981, Mr. William Greenberg represented himself to Agency staff as speaking on behalf of Green's Furniture, Inc. Agency staff acted reasonably in assuming Mr. William Greenberg had such authority. At the time it was negotiated, the letter agreement of February 18,1981, was understood by Agency staff and Mr. William Greenberg to extend to all business operations conducted by Mr. and Mrs. William Greenberg in that portion of the Grand Central Building leased by Green's Furniture Store, Inc. That letter agreement reflected Mr. William Greenberg's own estimate of the expenses he and his wife would incur, either directly or through their corporation, for such relocation of their businesses, or portions thereof, as was necessitated by the rehabilitation of the Grand Central Building. It was accepted by Agency staff, in lieu of an estimate of such expenses by an independent source, in order to accommodate Mr. and Mrs. William Greenberg in their desire to proceed quickly with a staggered self-move out of the Grand Central Building to minimize adverse impacts on their business operations. The letter agreement represents a valid contract through which Green's Furniture, Inc. received substantial consideration in return for its promise to limit its claim for relocation assistance payments. Green's Furniture, Inc. has, therefore, legally waived its right to claim such payments in excess of the amounts stipulated in the letter agreement. c. As a separate and independent basis, the claim of Green's Furniture, Inc. must de denied on the basis of insufficient substantiation of the items and amounts claimed as relocation costs and expenses. The claim of Green's Furniture, Inc. fails to provide any detailed explanation of the items for which claims are made, or the necessity of incurring costs and expenses with respect thereto, or the amounts of the costs and expenses alleged. The amounts claimed are unsupported by any independent documentation in the nature of bids, estimates, appraisals, receipts, or statemènts of disinterested third A-ÎJ 6A . . . RESOLUTION NO. 83-26 PAGE THREE parties. While such documentation is not ordinarily required or available for moving expenses in the case of a self-move, the Agency would have been entitled to obtain independent bids or estimates of moving expenses in lieu of such documentation (or an agreed-upon estimate such as the February 18 letter agreement) on which to base a determination of proper relocation assistance payments. In this case, however, this Agency was precluded from doing so by reason of Green's Furniture, Inc.'s failure (apart from the discussions leading up to the February 18,1981 letter agreement) to consult with Agency staff on the relocation of Green's Furniture, Inc. As noted previously, Green's Furniture, Inc. never represented to the Agency that it was incurring additional expenses that were not addressed or anticipated in the letter agreement until this claim was filed, long after the move took place. Agency staff were thereby deprived of the opportunity to evaluate (or reevaluate) the actuality and reasonableness of any additional expenses on the basis of either independently-derived or agreed-upon estimates. If Green's Furniture, Inc. did in fact incur moving and related expenes other than those addressed in the letter agreement, it acted unreasonably in failing to communicate with Agency staff in a timely manner. Their present inability to provide any meaningful substantiation for the amounts they now claim is primarily their own responsibility. d. As a separate and independent basis for denial of that portion of the said claim pertaining to "Loss of Personal Property," the claimant failed to establish its eligibility for payment for any actual loss of any items of tangible personal property incurred as a result of the claimant's move. The claimant made no good faith effort to sell such property, nor did it transfer ownership of such property to the Agency as required by 24 CFR §§ 42.307 and 42.309. e. As a separate and independent basis for the denial of that portion of the said claim pertaining to "Theft Loss," the governing federal relocation assistance guidelines do not allow payment of such costs. Rather it was the responsibility of the claimant to protect itself from such costs through appropriate insurance. f. As a separate and independent basis for the denial of that portion of the said claim pertaining to "storage costs," no evidence, description, or explanation of storage exists by which the Agency could determine that any storage of claimant's personal property was necessary. A"~ ~ 6A . . . RESOLUTION NO. 83-26 PAGE FOUR 3. Pursuant to 24 CFR S 42.707, the claimant has the right to appeal this determination to the U.S. Department of Housing and Urban Development (HUD). The applicable HUD office is located at the following address: U.S. Department of Housing and Urban Development, Los Angeles Area Office, Region IX, 2500 Wilshire Blvd., Los Angeles, CA 90057. ADOPTED this ~ day of following vote: August , 1983 by the AYES: MEMBERS: NOES: MEMBERS: ABSENT: MEMBERS: ATTEST: R.~Ç Executive Director/ Recording Secretary APPROVED AS TO FORM: Acosta, Griset, Luxembourger, Johnson, McGuigan None Bricken, Young R{£T Chairman A..")8 6A . MINUTES REGULAR MEETING COMMUNITY REDEVELOPMENT COMMISSION SANTA ANA. CALIFORNIA JULY 5, 1983 The Regular Meeting of the Community Redevelopment Commission of the Ci ty of Santa Ana was called to order by Chairman Newcomb at 3:35 P.M. in Room 335. 20 Civic Center Plaza, Santa Ana. California, There being no Flag present in the room, the Pledge of Allegiance was omitted, after which the roll was called: PRESENT ABSENT Victor C. Alleman John Coil Bill Mack Alexander Nalle Robert Newcomb Alber ta D. Chr isty Kathleen Rosenow Others in attendance: . Thomas Hammill, Ass't. Director of Redevelopment and Real Estate Richard Lay, Assistant City Attorney Nancy Dean. Assistant Clerk of the Council Richard Dominguez, Financial Services Manager Alex Sanchez, Director of Housing Ralph Campbell, Commercial Loan Officer Edward Henning. Project Area Manager Robyn Simpson. Project Area Manager Cynthia Nelson, Project Area Manager Mellmary McNeely, Secretary Douglas S. Honig, Developer Terry Martin. Gibraltar Savings MINUTES It was moved by Commissioner Coil. seconded by Commissioner Nalle and carr ied unanimously (4: 0) that the Minutes of the Regular Meeting held on June 21. 1983 be approved as received, OATH OF OFFICE The Assistant Clerk of the Council administered the Oath of Office to Mr. Bill Mack. newly appointed Commissioner to serve Ward 17. Chairman Newcomb welcomed Commissioner Mack on behalf of the Commission and Staff. Ms. Kathleen Rosenow. newly appointed Commissioner to serve Ward 16, was unable to attend and receive the Oath of Office due to prior commitments out of town. ELECTION OF OFFICERS . Chairman Newcomb announced that, since the By-Laws of the Commission called for the election of officers at the first meeting in July, he would ask the Assistant Director of Redevelopment. who was the Acting Secretary for the Commission, to assume the chair for the purpose of electing a new Chairman and Vice Chairman for the Commission. The Assistant Director of Redevelopment called for nominations for the office of Chairman of the Commission for the ensuing year. Commissioner Newcomb nominated Com- missioner Nalle to serve as Chairman of the Commission; the ft -1.~ 6A . nomination was seconded by Commissioner Coil. Commissioner Mack then moved that the nominations be closed and that a unanimous ballot be cast for Commissioner Nalle to serve as Chairman of the Commission for the ensuing year, The motion carried unanimously (5:0), and Commissioner Nalle, having been declared Chairman, assumed the chair. Chairman Nalle then nominated Commissioner Coil to serve as Vice Chairman of the Commission. Commissioner Newcomb seconded the nomination and further moved that the nominations be closed and that a unanimous ballot be cast for Commissioner Coil to serve as Vice Chairman of t'he Commission for the ensuing year. The latter motion was seconded by Commissioner Mack and carried unanimously (5:0), Commissioner Coil was then declared to be Vice Chairman of the Commission for the ensuing year. DOUGLAS HONIG DEVELOPMENT/B-2 SITE Chairman Nalle pointed out that Mr. Ibuglas Honig, Developer of the B-2 Site, was present, together with Mr. Terry Martin of Gibraltar Savings and that they wished to make a status report on the closing of the escrow for the B-2 Site as prescribed by the Disposition and Development Agreement between the Agency and Mr. Honig. . Mr. Honig gave a brief update on the various steps that had been accomplished to bring the negotiations to the point of being ready to close the escrow for the B-2 Site. He pointed out that there was a problem which had arisen in the financing of the project which had necessitated a re- appraisal of the property to satisfy the requirements of Gibralter Savings. He added that Gibralter Savings was still most enthusiastic about financing the project and that Mr. Terry Martin, who handled major loans for Gibraltar, was present to verify that Gibraltar had every intention of proceeding with the project. He added that there had also been some difficulty with the legal description of the property but that this too would soon be resolved. Mr. Honig stated further that he did not receive the final loan commitment letter until June 15th which delayed the publishing of the purchase agreement. He added that there had been numerous inquir ies regard ing the 79,000 square feet which was available in the B-2 Site and that approximately 65,000 square feet had been reserved by attorneys. He stated further that they had received $35,000 in down payments and that they expected to receive several thousands more within the next week. He added that he expected to have the remainder of the financing problems solved wi thin the next thirty days, perhaps sooner. Mr. Honig pointed out that he was committed to over $1 million in materials and that he had invested over $250,000 of his own funds in the project and that he felt this showed his good intent toward the closing of the escrow as soon as these few remaining problems could be resolved. Mr, Terry Martin of Gibraltar Savings then addressed the Commission and assured them that Gibraltar Savings intended to honor their commitment and that everything that Mr. Honig had said was essentially correct. . The Assistant Director of Redevelopment stated that, if the escrow was not closed by August 5th, staff would recommend an interest payment for the time beyond that date. Mr. Honig answered that he felt this would be acceptable. He then thanked the Commission for their time and Chairman Nalle thanked him for his report. GRIEVANCE FOR RELOCATION ASSISTANCE PAYMENT Chairman Nalle asked the Assistant Director of Redevelopment to make staff's presentation supporting the recommendation A-15 2, 6A for denial of the appeal of Green's Furniture to receive additional funds for relocation assistance. . The Assistant Director following statement: of Redevelopmen t then read the "In August 1982, we received a assistance from Mr. Richard L. Green's Furniture in the amount of of the claim is in your packet. Attorney Riemer's request to each claim and reasons for our denial," claim for relocation Riemer represen ting $237,170.00. A copy We have responded to of the issues in the . "Several years agc the Redevelopment Agency began planning for the development of the Second Street Mall. This effort resul ted from concepts prov ided by Bissell and August in their 1976 plan for the redevelopment of the Downtown. Beginning in approximately 1976-77, the Agency staff began discussions wi th Mr. Billy Greenberg regarding the rehabilitation of the Grand Central building which would face the southern half of the mall. 'lt1ese discussions led to the actual drafting of an agreement between the Agency and Billy. Subsequently, we found that the property was actually owned by Harry and Evelyn Greenberg, the parents of Billy Greenberg. In 1979, the Agency proceeded to construct the Second Street Mall and formulated a Major Commercial Rehabilitation Loan Program with Wells Fargo. In addition, Agency staff proceeded to assist Mr. and Mrs. Greenberg in getting a 312 HUD loan in the amount of $250,000 to add to the Wells Fargo loan of approximately $650,000. The major impediment to the Greenberg's moving ahead with their planned rehabili- tation of the Grand Central building was a long-term lease wi th the ir son, Billy, which called for a low rate of return which would not sustain the debt serv ice on the cost of rehabilitation. In order to make the mcnthly payments on the new loans, Billy would have to pay a higher monthly rent than his lease called for or vacate the portion of the Grand Central building which he occupied so that it could be reoccupied by a tenant who was willing to pay a higher rent. We felt this was a matter between the father and son who we had worked with for several years on this project and left it as str ictly a family matter, In December of 1980, the Greenbergs decided to proceed with the rehabilitation of the building with loan funds provided from Wells Fargo Bank and HUD." "Because Federal funds were available from HUD for a portion of the project, the residential tenants in the twenty-nine (29) apartments upstairs were eligible for relocation benefits. In addition, staff determined that the commercial tenants downstairs may be eligible for certain relocation benefits. D.>r ing the several years we discussed this rehabilitation project with the Greenbergs, the question of relocation benefits to Billy was explored with him. Agency staff determined that he should receive $4,000.00 for moving expenses on what he was moving out of the Grand Central building into the Green's Furniture building next door, In addition, staff authorized a payment of $2,100.00 for the relocation of a sign on the Broadway side of the building to the First Street side of the building, as well as a payment of $600.00 for the moving and reinstalling of shelving. Mr. Riemer, the attorney for Mr, Greenberg has stated that we did not properly advise Mr. Greenberg of his relocation rights by not . 3. A,,") '6 6A . supplying him with the proper written information. It is our belief that over the course of our many discussions with Billy, we did provide him with all pertinent information, however, so much time has lapsed that we are unable to docwnent in wr iting that he received this information. In order to ensure that Billy received the proper relocation assistance, we had our original findings reviewed by the leading relocation consul tants in Southern Cal Hornia, Port and nor, Inc. Billy accepted our offer of $6,700.00 for wha twas pr imar ily a self-move and appeared to be satisfied that he had received proper compensation. Billy acknowledged acceptance to our offer by signing a letter dated February 18, 1981 in which he acknowledged the payment to be his maximwn entitlement, Billy also executed all the required BUD forms required to receive such a payment," "We have received no information or docwnentation to support the Greenberg Assistance Claim, We have always stated that we would be willing to review any docwnentation to substantiate their claim, We hope that it is not the intention of Mr. Riemer to withhold any docwnentation from the staff, Commission and/or Agency and later present it to BUD or the courts,' "We welcome the opportunity to study any additional information they wish to submit, however, it will be necessary for them to: 1. specify items in detail as to what expense was incurred, when it was incurred, and how it was incurred; . 2, explain the items; and necessity of incurring loss on these 3. provide docwnentation of the amounts claimed ," "Fact: Billy's decision to move and give up his low lease rate was voluntary, Be moved so that his family could receive a low interest 9% Agency loan for $650,000 and a 3% BUD loan for $250,000." "Fact: the I\gency had to payout of pocket over $50,000 in relocation payments to tenants in the building so that the Greenberg family could use the $250,000 3% loan," "Fact: the I\gency spent over $350,000 on the Second Street Mall which substantially increased the Greenberg family's property value," "Fact: the I\gency loaned the Greenbergs $154,211 at 0% interest for three years to help them finish their rehabil itation ," . "Fact: the I\gency paid Billy $6,700 for a self-move, sign relocation and shelf installation, This payment was made based on Billy's own estimate of his cost to move, We did not ask him to further docwnent this estimate. Billy's acceptance is in your packet as Exhib it "A", Chairman Nalle noted that Mr, Will iam Riemer, attorneý for Mr. Greenberg, was not present at the meeting as promised, In response to questions from Commissioner Newcomb, the Assistant Director of Redevelopment stated that Port and 4. 11.11 6A ~ Flor reviewed the relocation payment made to Billy Greenberg in August of 1982 and that Port and Flor was considered to be one of the most outstanding consultants in this field in the State of California. . After further discussion, it was moved by Commissioner Newcomb, seconded by Commissioner Coil and carried unanimously (5:0) that the Commission recommend denial of the appeal of Green's Furniture to receive additional funds for Relocation Assistance, FIRST AMENDMENT TO THE MANAGEMENT AGREEMENT DATED APRIL 20, 1981 - OCTD PARKING GARAGE AT BROADWAY AND FIFTH STREET . The Assistant Director of Redevelopment explained that the Management Agreement between the OCTD parking Garage at Broadway and Fifth Street and the Agency provides that the management fee shall be adjusted after the first fourteen months of the Agreement. He added that for the remaining term of the agreement, the management fee is determined by a percentage of the monthly net income and that this percentage is derived by dividing the monthly flat fee ($767.00) by the average net income for the thirteenth and fourteenth months of the agreement ($542.00), He stated further that this calculation would produce 141% which would result in Systems Parking, Inc. receiving 100% of the net income and would not produce any income to the Agency for the remaining term of the agreement. He said that as a result of this situation, Agency had negotiated an agreement wi th Systems Parking, Inc. whereas they will continue to receive the $767.00 management fee plus 25% of the net income with the remaining 75% being retained by the Agency in a separate interest bearing trust account. He added that this money will be used by the Agency to finance expenses incurred at any time during the first five years of operation to the extent that the expenses are greater than the revenues. He pointed out that Systems parking, Inc. had agreed to this proposed amendment and that since it is beneficial to the Agency, staff recommended its approval. After a brief discussion, it was moved by Commissioner Alleman, seconded by Commissioner Coil and carried unanimously (5: 0) that the Commission recommend that the Agency approve an amendment to the Management Agreement dated April 20, 1981 between the Agency and Systems Parking, Inc, for the management of the OCTD Parking Garage structure. . ACCEPTANCE SITE The Assistant Director of Redevelopment pointed out that this property was orig inally acquired by the City for park purposes and that it is now proposed that it be developed for moderate housing, He added that the only way that the Agency can proceed is to convey the property from the City to the Agency, after which the Agency will issue a Request for Proposal for market-rate housing. He pointed out that the cost of acquiring the property would not be paid to the Ci ty until such time as the Agency has reached an agreement wi th the developer, and a resale of the property to the developer has occurred. OF CITY OWNED SURPLUS PROPERTY - WEST RESERVOIR After a Ienghty discussion in which the Commissioners were assured by the Director of Housing that: the project will serve towards the satisfaction of the Agency requirement to use 20% of tax increment funds to provide housing within the City; 5. 6A Iì-il . he did not anticipate encountering difficulty in obtaining $3.19 per square foot (the appraised price) for the land as soon as the Ci ty assisted with the rezoning: there would be 10 to 15 single-family units per acre: one developer would handle the entire development: the Agency has a list of 70 developers who have expressed interest and that approximately 200 developers would receive the Request for Proposal; any profit on the transaction would go to the Agency. It was then Commissioner Commission: moved Mack by Commissioner Newcomb, seconded by and carried unanimously that the 1. Recommend that the Redevelopment Agency accept the conveyance of the West Reservoir development site from the City for the consideration of $1,235,000, to be paid upon resale of the property by Agency: and authorize the Chairman and Executive Director to execute all necessary documents for acceptance of title. 2, Recommend that the Redevelopment Agency authorize staff to solicit proposals for the residential development of the West Reservoir site. . REMOVAL OF DEBRIS WITHIN THE AMERICAN NATIONAL PROPERTIES PHASE II DEVELOPMENT SITE, ASSESSOR PARCEL NO'S. 002-301-09. 14 & IS The Assistant Director of Redevelopment stated that during the past year unknown persons have been dumping various materials on the subject property. that on May 7, 1983. staff had the property fenced in order to eliminate the dumping, and that this measure has been successful. He added that due to the final alignment of the Broadway Overpass and the impending transfer of the subject property to American National Properties for the second phase of their development. it is now necessary to have this debris removed. After a brief discussion, it was moved by Commissioner Newcomb. seconded by Commissioner Alleman and carried unanimously that the Commission authorize the Executive Director of the Redevelopment Agency to issue a purchase order for the removal of debris located on Assessor Parcel No's. 002-201-09, 14 and IS to the lowest responsive bidder. Hintz wrecking Co., Inc. in the amount of $8,500.00. PROPOSED DIRECT COMMERCIAL LOAN PROGRAM . The Assistant Director of Redevelopment asked the Financial Services Manager to make a brief presentation of staff's posi tion regard ing the proposed Direct Commercial wan Program . The Financial Services Manager pointed out that 9uring the past three years, the Redevelopment Agency, in conjunction with Wells Fargo Bank and the downtown property owners, has implemented a $15.000.000 Commercial Rehabilitation Program involving 29 projects encompassing over 500,000 square feet 6. ft-r¡q 6A . of commercial space and that the Agency, in cooperation with the Economic Development Corporaticn, has succeeded the Wells Fargo program with a highly successful program with Mercury Savings and wan for projects in the $50,000 to $250,000 range. He added that for projects above $250,000, the Agency has implemented an Industrial Development Bond (IDB) program for commercial rehabilitation for projects from $250,000 up to $10,000,000 and that the Economic Development Corporation recently funded a wcal Development Corporation providing access to small business administra- tion financing generally in the range from $250,000 to $500,000. He added that projects larger than $500,000 will be directed toward the IDB program. He stated that it had been the Agency's experience that Mercury is unwilling to fund commercial loans smaller than $50,000 and that this is one area which has not been addressed but is needed by commercial property owners who would like to renovate their property by doing basic facade work, such as sandblasting, painting, new display windows, awnings, marquees, or more attractive signage. He added that such a building face-lift can cost much less than the $50,000 minimum required by the Mercury program and that such face-lifts could have a dramatic visual impact in any given project area. He stated that to meet the needs of commercial property owners whose rehabilitation needs fall below $50,000, staff proposes a direct, in-house commercial rehabilitation loan program offering loans from $20,000 to $50,000 and that for projects costing less than $20,000 staff proposes a commercial rehabilitation rebate program, reimbursing various percent- ages of facade improvements on a graduated scale from $0 to $20,000 with the maximum overall rebate being $7,500. He added that under the loan program, Agency funds would be loaned at 10% interest per annum for commercial rehabilitation projects costing from $20,000 to $50,000 with monthly payments being based on a 20-year amortization with a seven-year maturity. He stated that revenues from a 3% loan fee, monthly principal and interest payments, and loan payoffs will be reloaned thus requiring fewer Agency funds each year with self-funding being attained within five years. He added that the loans would be serviced by an outside company and that target areas would be proposed in downtown Santa Ana, strips along South Main and Fourth Street. . After a brief discussion period in which several of the Commissioners expressed a wish to study the proposal further, it was moved by Commissioner Newcomb, seconded by Commissioner Coil and carried unanimously that consideration of the proposed Direct Commercial wan Program be continued to the Commission meeting of July 19, 1983. MARKS REHABILITATION PROJECT - 402 W, FOURTH STREET The Financial Services Manager gave a brief history of the negotiations regarding this project and pointed out that the Agency was unwill ing to expend further funds since no progress was being shown in the proposed rehabilitation of 402 West Fourth Street. . After a brief discussion in which the Commissioners ascertained that the Marks had received proper written notice of the Agency's intentions in the matter, it was moved by Commissioner Coil, seconded by Commissioner Mack and carr ied unanimously (5: 0) that the Commission authorize the Executive Director to send a notice of defaul t to Ronald A. Marks and Blanche A. Marks pursuant to the Project Agreement, dated December I, 1981, for the rehabilitation of property located at 402 West Fourth Street, 7. A-~ 6A , . PHILLIPS/HUTTON REHABILITATION PROJECT - 301 305 W. FOURTH . The Financial Services Manager stated that the proposed Phillips/Hutton Rehabilitation Project at 301/305 West Fourth Street was in the same category as the Marks Project and that Agency was also unwilling to expend further funds on it. After a brief discussion in which the Commissioners also ascertained that the Phillips/Hutton Group had received proper written notice of the Agency's intentions in the matter, it was moved by Commissioner Newcomb, seconded by Commissioner Alleman and carried unanimously (5:0) that the Commission authorize the Executive Director to send notice of default to the Phillips/Hutton Group pursuant to the Project Agreement, dated December I, 1981, for the rehabilitation of property located at 301/305 W. Fourth Street, BUILDING PERMITS/MARCH 1-31, 1983 It was moved by Commissioner Newcomb, seconded by Commissioner Mack and carried unanimously (5:0) that the report on the Building permits for the period of March 1-31, 1983 be received and filed. . ORAL COMMUNICATIONS - LETTER FROM MAS UYESUGI/A JEWEL -BOX The Commissioners discussed a letter which had been received from Mas Uyesugi, President of A Jewel Box, in which he outlined what he considered to be financial hardships resulting from the rehabilitation program being undertaken in the downtown area. The Commissioners agreed that there was no action that could be taken by the Commission on the matter. ADJOURNMENT It was moved by Commissioner Coil, seconded by Commissioner Newcomb and carried unanimously (5:0) that the meeting be adjourned at 4:30 P.M. to the meeting of the Citizens Advisory Board for the Marks Historical Rehabilitation Financing Program, e, ¿;f!-# Thomas E. HammllI, Ass't. Director of Redevelopmen t and Real Estate . 8, A..' I 6A