HomeMy WebLinkAboutRDA Minutes 1981-11-30 THE REDEVELOPMENT AGENCY
OF THE
CITY OF SOUTH SAN FRANCISCO
November 30, 1981
NOTICE IS HEREBY GIVEN, pursuant to the Government Code of the. State Of
California, that the Redevelopment Agency of the City of South San'Francisco will
hold a Joint Study Session. with the South San Francisco City Council on Monday,
November. 30,.1981, 4:30 p.m~ in the Conference Room, City'Hall, 400 Grand Avenue,
South San Francisco, California,
The purpose of the meeting:
Review of Gateway Project
- Precise Plan - Phase I
- Assessment Proceedings for Off Site Improvements
- Scope of Development.- Modifications
/s/ Gus Nicolopulos
Gus Nicolopulos, Chairman
The Redevelopment Agency of the
City of South San FranciSco
Dated: November 20, 1981
Mayor Gus Nicolopulos M I N U T E S
Vice Mayor Roberta Cerri Teglia
Council: CITY COUNCIL
Ronald G. Acosta
Mark N. Addiego City Hall Conference Room
Emanuele N. Damonte
November 30, 1981
AGENDA ACTION TAKEN
ADJOURNED REGULAR MEETING ADJOURNED REGULAR MEETING
PLEDGE OF ALLEGIANCE Recited.
CALL TO ORDER - CITY COUNCIL 4:42 p.m. Mayor Nicolopulos presiding.
(Side 2 TF-OO1) Council present: Damonte, Acosta,
Teglia and Nicolopulos.
Council absent: Addiego.
CALL TO ORDER - REDEVELOPMENT AGENCY 4:43 p.m. Chairman Nicolopulos presiding.
~embers present: Damonte, Acosta,
Teglia and Nicolopulos.
Members absent: Addiego.
City Manager Birkelo explained that
this was a joint meeting of the
City Council and the Redevelopment
Agency to discuss the following items:
1) Precise Plan - Phase I; 2) Assessment
Proceedings for Off Site Improvements;
3) Scope of Development - Modifications.
He requested that the matter of the
Assessment Proceedings be discussed
fi rst.
Consensus of Council-Redevelopment
Agency Members to discuss the Assessment
Proceedings for Off Site Improvements
fi rst.
City Manager Birkelo indicated that
there were slides covering the trip
taken by two Members of the Agency and
two Staff members to Atlanta and Dallas
to investigate site developments in
relation to the City's development.
1. Assessment Proceedings for Off-Site City Manager Birkelo stated that
Improvements. the matter of Assessment District
proceedings had been discussed during
negotiations with Homart and was in-
cluded in the Owner Participation
Agreement; and that the City would con-
sider the use of Assessment District
proceedings to construct off-site
, 11/30/81
Page 1
AGENDA ACTION TAKEN
1. Assessment Proceedings for Off Site improvements related to 'the project.
Improvements - Continued. He commented that the summary sheets
which had been given to Council con-
tained information on the types of
improvements which would be necessary
and which costs would be the Agency's
and which would be Homart',s.
Director of Public Services Yee
commented on the street, sanitary
sewer, storm drain, undergrounding
of existing overhead utilities and
of~ site traffic improvements.
An in-depth discussion followed on
the cost of the undergrounding of
the utilities relative to the amount
which had been agreed upon to be paid
by the City and the estimate which had
been received from PG&E which was ex-
ceedingly higher.
Further discussion followed relative
to the of~ site improvement costs
with City Manager Birkelo stating
that "with the exception of $160,000
in sanitary sewers and the $500,000
in undergrounding, that we would ex-
pect all the City's of~site costs to
be included within the assessment pro-
ceedings, so that they could be con-
structed at the same time that Homart
is constructing theirs. But that our
payment for our share would be worked
out on a schedule that would take tax
increment funds when they became avail-
able and plug them into a repayment pro-
gram to take care of our share."
(TF-095) Mr. Ken Jones, Attorney at Law,
stated that "the financing program
that your moving into here is based
on the premise that the development
itself is going to generate the means
of financing. As Homart procedes with
their construction program they are
going to be generating assessed valu-
ation which is taxable property, that
in turn will generate tax increment
money which as it materializes will bE
11/30/81
Page 2
A6ENDA ^CTION T^K£N
1. Assessment Proceedings for Off-S.ite plowed back in to help finance the
Improvements - Continued. project. That will happen in two
ways; one is for that money to be
used directly to repay tax allocation
notes and/or bonds which the Agency
will issue to finance the East Grand
Overpass, that will be the first
call on those bonds; the second method
of using them would be to apply them
to the payment of the Agency's share of
the cost of the public improvement pro-
gram. In effect the Special Assessment
District which is a direct charge to
the property owner - the Homart property
owner, that mechanism will be used as a
means for the Agency to finance its
share of costs right along with Homart
financing its share of the cost. The
desirable thing from the point of view
of the Agency is that your commitment
to use that financing method is limited
to the amount that is generated." He
indicated that the revenues to be re-
ceived from the bonds would be in the
area of $12,000,000.
Discussion followed relative to the
information which had been provided
to PG&E concerning the undergrounding
of the existing utilities in the pro-
ject from which the costs were based.
Members of Council expressed concern
with the costs as presented by PG&E
for the undergrounding.
(TF-176) Mr. Herman Fitzgerald stated that
"Depending upon the nature of the
relocation and what utilities are
relocated from the existing street,
which is abandoned by PG&E to a
new street, I feel under the law
and based upon some litigation
we had and some reported cases --
that PG&E would be liable to re-
locate utilities that are above
ground to underground when the
street is vacated and abandoned
..... and subsequently relocated to
provide that same service."
Mayor Nicolopulos inquired if PG&E
was being kept apprised of the status
of the development so that they would
be prepared'for the undergrounding.
1 ¥/30/81
Page 3
AGENDA ACTION TAKEN
1. Assessment Proceedings for Off-Site Director of Public Services Yee
Improvements - Continued. responded that the City had met with
PG&E on numerous occasions and that
they were aware of the project.
Mayor Nicolopulos then presented slides
from the trip taken by Councilman Acosta,
Director of Con~nunity Development
Dell'Angela, City Manager Birkelo and
himself to Atlant~ Georgia and Dallas,
Texas to inspect other Homart developments.
2. Precise Plan - Phase I Mr. John Aguilar, Homart Development
Company, stated that a summary pre-
sentation of the Precise Plan would
be given. He then introduced Mr.
Tom Gerfen, Architect; Mr. Paul Rhimer,
Environmental Consultant; Mr. George
Homolka, Engineer; and Mr. Dio Shaumi,
Project Engineer.
Mr. Aguilar con~nented on the three
major activities in the overall master
schedule. He indicated that the
schedule was revised about every two
weeks and explained the progress being
made presently with relation to the
demolition and grading of the area
for Phase I. He commented on the
East Grand Overcrossing opening and
indicated that the first building
would be scheduled for opening at
approximately the same time. He
stated that once approval had been
given on the Precise Plan, that the
next phase would be to apply for a
building permit and working drawings.
He said that the architects and
engineers had been working with
Staff to resolve some of the building,
fire and security measures.
(TF-332) Mr. Tom Gerfen then presented the
Precise Plan. He commented that
there were two basic elements: one
was Gateway Boulevard and that would
be landscapped as part of the first
development in the project. He stated
that it would be landscapped so that
it would act as a funnel and carry the
cars through the project and indicated
that the areas would be flat grades and
11/30/81
Page 4
AGENDA ACTION TAKEN
2. Precise Plan - Phase I hydroseeded with various colors of
Continued. natural grasses. The inside along
Gateway Boulevard would be developed
with a six foot raised area with a row
of pappas that would contain a view
and the other side would have a natural
mound containing flowering trees. The
second part is how to deal with a wide
open area with one road going through.
He stated that there would be three
major green zones, the first would be
out on Gateway Boulevard where a .hotel
or one of the office complexes may be
developed in the future, the center site
would contain most of the office pro-
jects, and the third would be along
Oyster Point Boulevard with parking in
between eucalyptus trees.
Mr. Gerfen continued to explain that
Phase I consists of 21 acres and
embodies three major intersections
coming into Gateway Boulevard. He
commented on the parking capacity
and the constructual design of the
buildings.
Vice Mayor Teglia requested further
information regarding the landscapping
which would be visible from the
highway.
Mr. Gerfen responded that presently
there were railroad tracks and a
drainage ditch in the area, he pro-
ceeded to explain that there would
be a fence approximately 6 to 8 feet
tall planted with a series of ivy
and vines. He stated that trees
would be planted which would be
similar to those planted by CALTRANS.
Discussion followed concerning the
use of eucalyptus trees in the area
and the virtues and possible alter-
natives to their use. Also discussed
were the types of materials to be used
in the construction of the buildings.
Vice Mayor Teglia requested information
regarding the installation of ponds
and lakes in the development in the
future.
11/30/81
Page 5
AGENDA ACTION TAKEN
2. Precise Plan - Phase I Discussion followed relative to the
Continued. possibility of salt water intrusion
affecting the fibrous root trees,
the effect of the court yard being
shaded all year long, and the amount
of glass which could be used in con-
struction.
RECESS: Mayor Nicolopulos declared a recess
at 6:23 p.m.
RECALL TO ORDER: The meeting was recalled to order at
6:35 p.m., all Council present.
City Manager Birkelo asked if Council
had any questions concerning the
building design and features.
Councilman Acosta con~nented that
he felt that those who had visited
the other Homart developments had
a reasonable idea of the projected
construction.
Vice Mayor Teglia expressed concern
that the building was not unusual
in design. She stated that she had
expected something out of the "common
mode."
Mayor Nicolopulos asked if a decision
had been made by the architect as to
the way the buildings would be con-
structed.
Mr. Aguilar replied that yes, a decision
had been made. He stated that in order
to obtain prices to estimate the cost
a decision as to the types of materials
and design had to be made. He indicated
that minor modifications could be made
without changing the cost dramatically.
Discussion followed concerning the
overall design of Phase I followed
with a suggestion by Mr. Aguilar
that Council hold a session at the
site office and view the overall
Gateway model.
11/30/81
Page 6
AGENDA ACTION TAKEN
2. Precise Plan - Phase I Discussion followed concernin§ the
Continued. use of sculpture or other pieces
of art for focal points within the
development. City Manager Birkelo
commented that a memo, which had
been written after returning from
the tour of other Homart developments,
had stated that the City had not reached
a decision as to the design of the
proposed buildings.
Director-of Community Development
Dell'Angela stated that he had
been under the impression that
there would be connecters joining
the individual buildings, however
plans which had been presented
did not represent this'idea.
Mr. Gerfen stated that because of
the earthquake code certain types of
design would not be considered.
Discussion followed on the time
needed to prepare perspectives
showing the proposed plans.
Further discussion followed rel-
ative to the City's approval of
the plan and other areas of concern
to members of Council and Homart.
Councilman Acosta questioned the
concerns expressed by others and
indicated that he found no prob-
lem with the design of the building,
but with the textures to be used
in the construction.
Vice Mayor Teglia stated that her
concerns had to do with the design as
well as the materials proposed for
use and indicated that she would like
to see the design and materials all
together.
Mr. Aguilar commented that if Council
was not going to make a decision re-
garding the precise plan until January
then he would like at least two weeks
to prepare the display for Council.
11/30/81
Page 7
AGENDA ACTION TAKEN
2. Precise Plan - Phase I Vice Mayor Teglia asked what problems
Continued. Staff would have with respect to the
consideration of the Plan by the
16th of December.
Director of Community Development
Dell'Angela stated that Staff would
not be able to complete their reviews
of the Plan by that time. He explained
the process of review and comment by the
various departments involved, and in-
dicated that this would take at least
two weeks.
3. Scope of Development - Modifications. City Manager Birkelo explained that
this involved the increase in the
R & D parcel, a 22 acre parcel which
needed to be increased. He stated that
this presented a problem in terms of
whether any significant change in the
total scope of development, in terms of
density, would require the reopening of
the EIR process. He indicated that
this would not be desirable at this
point in the development. He said
that Homart and the prospective buyer
of that parcel were still negotiating.
He further related that Homart would be
coming in with a proposal, assuming the
negotiations had gone well, and ask for
an amendment to the Owner Participation
Agreement which might ask Council to
agree with an "intent" to meet the
needs of the R & D parcel without
guaranteeing them in the absence of
an Environmental Impact Report which
would justify the amendment.
Vice Mayor Teglia indicated that she
did not mind modifications as long as
when you change one set of variables
you indicate in some other report how
the other things are affected. She
stated that she wanted to know how the
changes would flow with the rest.
Mayor Nicolopulos mentioned the factor
of public transportation. He commented
that he felt the development would cau-
an increase in traffic flow.
Director of Community Development
Dell'Angela stated that the Transportation
Management Plan was a mitigation measure
11/30/81
Psge 8
AGENDA ~ACT I ON TAKEN ~8~
3. Scope of Development - Modifications. to the project, and indicated that it
was in the process of being prepared
by the developer.
Mr. Aguilar commented on the Transportation
Management Plan. He stated that within
the scope of the development there were
certain goals, objects that had been
agreed upon in terms of usage.
Mr. Rheimer stated that the transportation
systems management program addressed
three main categories of improvement
on the site: l) flexible work hours;
2) encouragement of ride sharing; and
3} improvement of accessibility to
public transit.
Vice Mayor Teglia stated that she
would want to know more about the
flexible work hours and if there
was a way to guarantee the hours.
Mr. Rheime? responded that high fuel
costs and congestion were negative
motivations which will be prime mo-
tilvators of change. He stated that
one of the risk implications was
identified along the Airport Boulevard
and various intersections. The pro-
jections are in terms of mitigation
from the Gateway project that are
going to influence traffic to reduce
the impact on those intersections.
Vice Mayor Teglia asked if SAMTRANS
had considered servicing the area
in the advent of the development.
Director of Community Development
Dell'Angela replied that SAMTRANS
had been supplied with a list of
businesses within the area by the
Finance Department and they were
investigating various possibilities.
He further commented on the concerns
of staff with the development in the
area in conjunction with the traffic
flow, the relationship to Oyster
Point Boulevard, and the potential
redevelopment of the U.S. Steel site
and Healy Tibbits.
11/30/81
Page 9
AGENDA ACTION TAKEN
3. Scope of Development - Modifications. Discussion followed on the inclusion
of existing traffic flow in the EIR,
placing a sealing on the amount of
development in the area, use of
buses by United Airline employees, etc.
City Manager Birkelo stated that
Staff would be ready to make a
recommendation for the selection of
a fiscal consultant who would be
required to prepare the prospectus
for the slae of the tax allocation
notes and to also assist in the
legal validation of those notes and
subsequent bonds at the next Redevelopment
meeting.
Mr. Fitzgerald stated that once the
consultant is selected, it is the
consultant who makes the calculations
as to the amount of money necessary to
service the sale of a bond issue in
a certain amount. Thereafter, we will
ask the Agency to adopt a resolution
directing the Executive Director to
proceed with the sale of bonds as
the first step. The City Manager
will in his capacity as the Director,
refuse to do this on the advice of
bond counsel Mr. Jones. In that
Proposition 4 may require or may involve
this process, we will then file as the
Agency to authorize the filing of a
lawsuit to validate this in effect.
In other words, to direct Mr. Birkelo
to proceed with financing the bonds.
The lawsuit will be in effect a friendly
law suit in order to have the court
rule that Proposition 4 does not include
Redevelopment Agencies. We will then
have removed a taint or question to a
bond purchaser that Proposition 4 does not
involve the Redevelopment Agency bonds
in the City of South San Francisco.
Discussion followed relative to the
length of time for this action. Mr.
Fitzgerald indicated that it would
take approximately 90 to 120 days.
Also discussed was the possibility
of a third party intervening in the
11/30/81
Page l0
AGENDA ACTION TAKEN
lawsuit, etc.
M/S Damonte/Acosta - That the Redevelopment
Agency meeting be adjourned.
Carried by unanimous voice vote.
REDEVELOPMENT ADJOURNMENT: Time of adjournement 7:30 p.m.
CLOSED SESSION: Council adjourned to a Closed Session at 7:31 for purposes of litigation.
RECALL TO ORDER: The meeting was recalled to order at
7:55 p.m., all Council present, no
action taken.
M/S Damonte/Acosta - That the City
Council meeting be adjourned.
Carried by unanimous voice vote.
CITY COUNCIL ADJOURNMENT: Time of adjournment 7:56 p.m.
RESPECTFULLY SUBMITTED, APPROVED:
[~arDara A. Battaya, ~l~y'c~er~ Gus Nicolopulos, Mayor
City of South San Francisco ~ City of South San Francisco
The entries of this Council meeting show the action taken by the City Council to
dispose of an item. Oral presentations, arguments, and comments are recorded
on tape. The tape and documents related to the items are on file in the office
of the City Clerk and are available for inspection, review and copying.
11/30/81
Page 11