HomeMy WebLinkAboutRDA Minutes 1993-01-27Chairwoman Roberta Cerri Teglia M I N U T E__ S V 0/- · 3
Boardmembers:
Jack Drago Redevelopment Agency ~. ] 8 7
' Joseph A. Fernekes
lohn R. Penna Municipal Services Building
Robert Yee
Community Room
January 27, 1993
_A ~i I~ !~! D A ACTION TAKEN
CALL TO ORDER: 7:06 p.m. Chairwoman Teglia presiding.
ROLL CALL: Boardmembers Present: Drago, Fernekes, Penna,
Yee, and Teglia.
Boardmembers Absent: None.
ADMINISTRATIVE BUSINESS ADMINISTRATIVE BUSINESS
(JOINT MEETING WITH SOUTH SAN FRANCISCO Joined in with the Capital Improvements Authority
CAPITAL IMPROVEMENTS AUTHORITY) Meeting already in progress.
Resolution authorizing issuance of tax allocation Director of Finance Margolis presented the staff
bonds related to the Gateway Redevelopment Project, report: bonds could not be sold in a straight corn-
and approving execution of indenture of trust related petifive bid because of the decline in assessments,
thereto, authorizing sale of such bonds; Resolution and pending assessment appeals from property own-
authorizing the 1993 amendment to the amended ers, State taking redevelopment funds from cities
Owner Participation and Development Agreement that frightened away bidders; questions on
with Homart Development Corporation, and approvo security of the bond issue now and in the furore, and
ing repayment agreement, whether the City could pay the debt service;
issued request for proposals from underwriters, and
A RESOLUTION OF THE REDEVELOPMENT had received four, and had selected Prager, McCar-
AGENCY OF THE CITY OF SOUTH SAN FRAN- thy, and Sealy; advised of the need to go through
CISCO AUTHORIZING THE ISSUANCE OF NOT another public agency to purchase the bonds, and the
TO EXCEED $11,000,000 TAX ALLOCATION financing was available; the Agency will sell the
BONDS RELATING TO THE GATEWAY REDE- bonds to the Authority which will immediately sell
VELOPMENT PROJECT, APPROVING AND AU- them to the underwriters there was no jeopardy of
THORIZING AND DIRECTING EXECUTION OF ending up being responsible for the bonds and was
INDENTURE OF TRUST RELATING THERETO, the middle man; this method provides fluidity in
AUTHORIZING SALE OF SUCH BONDS, AP- setting the amount of the bonds to sell; intent was to
PROVING OFFICIAL STATEMENT AND PRO- repay Homart to the greatest degree; resolutions
VIDING OTHER MATTERS PROPERLY RELAT- from each Agency authorizing the purchase and sale
ING THERETO of bonds; this would provide $8.7 million with a
bond sale of $10.4 million; term of the bonds;
A RESOLUTION ADOPTING THE 1993 interest rates; one Agency resolution finalizes the
AMENDMENT TO THE AMENDED RESTATED Owner Participation Agreement with Homart, etc.
OWNER PARTICIPATION AND DEVELOPMENT
AGREEMENT WITH HOMART DEVELOPMENT Discussion followed: whether the City was paying
CORPORATION AND APPROVING THE REPAY- higher discounts or premiums by this methods; that
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A~_ENDA ACTION TAKEN
,. !88
--~DMINISTRATIVE BUSINESS ADMINISTRATIVE BUSINESS
Resolution o Continued. was not thought to be the case; there was no liability
to the Authority, and the only pledge made was
MENT AGREEMENT available tax increment available to pay the debt;
why this method had not been tried before, rather
competitive bidding; there was an advantage in using
the competitive market; the Agency had difficulty
selling.bonds before which' had indicated~the market
was reluctant to buy the bonds, and now we were
going to have a third party when nothing had
changed; the disadvantage was that the City did not
have a means to compare the bond market through
the absence of bidders; the reason this was being
done was the Agency could not do a negotiated sale;
the argument could be made that a lower rate could
be negotiated in competitive bidding; Laura
Stillwell, Bartel Wells, responded to questioning; it
was unethical to get the bids and turn around and
negotiate; this would not come back to the Agency;
the underwriters fee was 1.6%; David Oster, Jones,
Hall, Hill and White responded to questions on the
legal aspects; the Agency was not pledging any
- assets, only tax increments, Boardmember Yee
wanted the results of the negotiations to come back
to the Agency; City Manager to come back with the
information, etc.
S.S.F. CAPITAL IMPROVEMENTS AUTHORITY M/S Femekes/Drago - To adopt the Resolution.
ACTION:
RESOLUTION SSF-1-93
Carried by unanimous roll call vote.
REDEVELOPMENT AGENCY ACTION: M/S Femekes/Drago - To adopt the resolution on
bonds, and the resolution on the amended OPA.
RESOI.UTION NO. 2-93
RI~,SOLUTION NO. 3-93
Carried by unanimous voice vote.
AGENDA REVIEW AGENDA REVIEW
Executive Director Annas stated that there were no
...... changes to the Agenda.
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I l~
AGENDA ACTION TAE~_N
,. 18i
.-~ONSENT CALENDAR CONSENT CALENDAR
Motion to approve Minutes of the Regular Meeting of Approved.
1/13/93.
2. Motion to ~nfirm expense claims of 1/9.7/93. Approved in the amount of $1,918.25.
3. Resolution authorizing transmittal of Draft Redevelop-
merit Plan and Draft Environmental ~ Impact Report to
affegted taxing agencies for the El Camino Corridor
Redevelopment Projext.
A RESOLUTION AUTHORIZING TRANSMITTAL RESOLUTION NO. 4-93
OF THE DRAFT REDEVELOPMENT PLAN FOR
THE EL CAMINO REDEVELOPMENT PROJECT
AND DRAFT ENVIRONMENTAL IMPACT RE-
PORT PREPARED THEREFOR
M/S Fernekes/Drago - To approve the Consent
Calendar.
Carried by majority voice vote, Boardmembers
Penna and Teglia abstained.
--~OOD AND WELFARE GOOD AND WELFARE
No one chose to speak.
CLOSED SESSION C!.OSED SESSION
5. Closed Session for the purpose of the discussion The Agency chose not to hold a Closed Session.
of personnel matters, labor relations, property
negotiations and litigation.
M/S Penna/Fernekes - To adjourn the
Redevelopment Agency meeting.
Carried by unanimous voice vote.
ADJOURNMENT: Time of adjournment was 7:32 p.m.
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A~_END_A ACTION T A_X]~_N
~ESPECTFULLY SUBMITTED, APPROVED.
Barbara A. Battaya, Clerk (f .../ Roberta Cerri Teglia, Cha'~6man
Redevelopment Agency Redevelopment Agency
City of South San Francisco City of South San Francisco
The entries of this Agency meeting show the action taken by the Redevelopment Agency to dispose of an item. Oral
communications, 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~
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