HomeMy WebLinkAboutRDA Minutes 1983-09-28 MINUTES
THE REDEVELOPMENT AGENCY OF THE
CITY OF SOUTH SAN FRANCISCO
Adjourned Regular Meeting
September 28, 1983
TIME: 6:30 p.m.
PLACE: City Council Conference Room, City Hall
CALL TO ORDER: Vice Chairman Damonte called the South San Francisco Redevelopment Agency
to order at 6:40 p.m.
ROLL CALL: Present: Vice Chairman Emanuele N. Damonte, Members Gus Nicolopulos
and Roberta Cerri Teglia
Absent: Chairman Mark N. Addiego and Member Ronald Acosta
Also present: Executive Director/Secretary C. Walter Birkelo, Assistant
Secretary Louis Dell'Angela, Agency Treasurer Barry Lipton,
Agency Counsel Herman Fitzgerald, City staff; representatives
...... from Homart Development Company and counsel
AG )A REVIEW: Executive Director Birkelo stated that there was nothing to add to the agenda.
APPROVAL OF Member Nicolopulos moved, seconded by Vice Chairman Damonte, that the
MINUTES: Minutes of the adjourned regular meeting of August 24, 1983; the regular
meeting of September 7, t983; the adjourned regular meeting of
September 14, 1983; and the regular meeting of September 21, 1983;
be approved. Motion, as made and seconded, was regularly carried;
Chairman Addie§o and Member Acosta, absent.
APPEARANCE OF' Chairman Addie§o and Member Acosta appeared present at 6:42 p.m.
CHAIRMAN ADDIEGO &
MEMBER ACOSTA Executive Director Birkelo stated that the Board and City Council have
before them this evening' the~same resolution which would authorize the
fourth amendment to the Owner Participation Agreement. He remarked
that the Bord had received a draft of the agreement but that last
minute changes had been made and would be explained by counsel.
Member Nicolopulos expressed his concern about the brevity of time
in which to authorize the agreement. It was explained by Mr. Birkelo
that since the legal changes in wording were subject to the interpre-
tation by the attorneys, the Board Would have to rely on their indica-
tions that the proposed changes would not change the essense of the
agreement the Board had received.
FOURTH AMENDMENT Member Acosta asked for an explanation of the payments as expressed
TO OWNER PARTICI- on page 8, paragraph (c).
P/~-~ON AGREEMENT
(( tinued) Mr. Birkelo stated that the bonus payment only relates to Homart's share
up to $4 million;, and~the amount between $4 million and $5 million, their
share, is refundable without regard to the bonus provision.
Member Acosta next addressed page 6, paragraph (i) and inquired what
the coupon rate would be. It was answered that the bond rate would be
extablished when the bonds are sold, and the maximum is 12%.
Discussion followed among members of the Board and the Executive Director
concerning the construction of the southbound auxiliary lane on Highway 101
between Linden Avenue and Grand Avenue. It was pointed out that this
matter had been discussed; and in the agreement with the State, the
Agency is obliged to do this when Homart is 50% built out.
In response to the Board's request, Mr. Birkelo capsulated the parti-
cipation in the funding of the Oyster'Point Interchange and the modi-
fication of the railroad crossing project, including the merging lane,
and the proposed future participation in the Gateway connector. He
stated that should the Gateway connector prove to be a worthwhile
project, cost sharing would be allocated according to .the number of hotels
constructed within the project.
The Agency Board next addressed pages 15 and 16 and asked about the
change in the Average Daily Trips (ADT).
Mr. William Mackey, attorney for Homart Development Company, briefly
explained that Genentech and Granada Royale Hotel are not covered by
the terms of this agreement and that they do have the opportunity to
use some of the density of the development that Homart has allocated
to the total project. Mr. Mackey stated that the changes try to
anticipate ways in which Homart's obligations for contributions, based
on ADT, will balance the responsibilities of the developers, their
successors, Genentech, or Granada Royale Hotel.
In answer to the Board, City Attorney Rogers explained the usage of
the number of 50,000 ADT to establish an example, and not a fixed number.
He further explained thatwhen the precise plan is approved, these
figures will be adjusted.
Mr. Charles Berling, Homart Development Company, confirmed the City
Attorney's statement; and he remarked that as long as the forumula
is equal and consistent, they would choose to accept it. He remarked,
also, that the adjustments have to be made.
Member Acosta moved, seconded by Member Teglia, that the resolution
entitled, "A RESOLUTION AUTHORIZING EXECUTION OF A FOURTH AMENDMENT
TO THE OWNER PARTICIPATION AND DEVELOPMENT AGREEMENT."
Mr. Birkelo indicated that there were some changes in the exhibits to
the resolution and that the City Attorney would explain them.
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9/28/83
FOURTH AMENDMENT Mr. Rogers noted the changes to be made in the attached exhibits:
(Cr--~.inued) Exhibit B-3, page 2, paragraph F, first line, the world "located" is
eliminated and installed in the blank space, the following words,
"by installing reinforced concrete pipe and structures"; Exhibit 4-B,
page 3, Item~I, "Contingencies (5% of Total Construction Cost),"
including the astericks, should be eliminated; Exhibit C, ~ster
Point Contribution Summa~, page 2, Item "General Office Building,"
the wording "and~related supportservices" should be added to the
RESOLUTION NO. 43 end of the definition.
A RESOLUTION AUTHO-
RIZING EXECUTION OF Roll call vote was as follows: Wes, Members Ronald G. Acosta,
A FOURTH AMENDMENT Mark N. Addiego, Emanuele N. Damonte, Gus Nicolopulos, and Roberta
TO OPA Cerri Teglia. Noes, none. Absent, none.
GOOD AND WELFARE: Chairman Addiego invited anyone to speak under Good and Welfare.
Mr. Mack~ expressed the thanks of Homart Development Company and
himself to the Executive Director and staff for their fairness and
efforts, for the ti~ and ener~ spent in negotiating this agreement.
He stated it was a complex and complicated agreement but a fair one.
MINUTE CORRECTION Vice Chairman Damonte requested that the Minute ent~ in the Minutes of
August 24, 1983, showing his absent, be corrected. He stated that he
appeared present during the meeting and asked that the Minutes so reflect
this change.
It was so noted.
ADC__RNMENT: Member Acosta moved, seconded by Member Teglia, that the meeting be
adjourned. Motion, as made and seconded was unanimously approved.
Time of adjournment: 7:20 p.m.
APPROVED:
City of South San Francisco
RESPECTFULLY SUBMITTED,
~ irKe/O, Lxecu~lve uirector/Secreta~
The entries of the REdevelopment Agency meeting show the action taken by the Board to dispose
of~-~, item. Oral presentations, arguments, and comments are recorded on tape. The tape and
doc ~nts related to the items are on file in the office of 'the City Manager and available
for lspection, review, and copying.
9/28/83
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