Loading...
HomeMy WebLinkAboutContracts & Agreements_22-1973lelgrs agenda use Location only Item (To be completed by person submitting) AGENDA ITEIM for Council Meeting of July 17, 1973 Date SUBJECT: Withdrawal of VFW Bid to Purchase Hall of Justice SUBMITTED BY: Name City Manager _ Address EXPLANATION: The VFW has requested, by letter dated July 14, 1973, to withdraw its bid submitted on May 29, 1973, under an official. "Invitation to Bid." The VFW bid was the only one submitted. Televents, the only other prospective bidder declined to bid, as the VFW stated at the Council meeting of May 15, 1973, that it was proposing to offer $40,000 for the property. The terms of the "Invitation to Bid" stated that a 90-day escrow will be completed by the successful bidder, otherwise the 10% deposit required by the bid will be forfeited. The city has devoted much administrative time to the VFW bid, which originated subsequent to the public announcement on April 26, 1973, that the Hall. of Justice was to be sold to Televents on a negotiated basis. A subsequent public offer to buy by the VFW at the May 15, 1973, Council meeting caused the Council to advertise for bids, and not approve the negotiated sale to Televents for $37,000 on a 15-year basis with 6% interest on the unpaid balance, as recommended by the Parking Place Commission. __._.__...._-- --Tlwiaa aZ�rTs use only) _____-----_..,,..,__..... The VFW withdrawal action has lost the sale of the property to '°ky-N-Ts: Televents, cost much administrative time, and a loss of interest earned on the money which would have been due from Televents. It is estimated that this cost and loss is as follows: Administrative cost to handle VFW offer .......... $263.32 Liquidated damages (loss of interest due from Televents over a 15-year period) .................................... $17,287.00 Total .............. $17,550.32 REC01 ENDATION: (See attached sheet) e Withdrawal of VFW Bid to Purchase Hall of Justice page 2 RECOMMENDATION: it is recommended that the VFW deposit of $4,000 with the city be charged as follows: Administrative cost to city ................ $ 263,32 Liquidated damages (loss of interest for one year on sale of property sale of which was Lost by VFW bid and subsequent withdrawal.) ............... $ 1.150.00 Total ................ $ 1,413.32 It is also recommended that the remaining balance of $2,586.68 be refunded to the VFW, provided they agree, in writing, to accept this balance in full payment of refund of deposit and payment of all claims against the city in this matter. In the event that the Hall of Justice is sold within 1 year, a pro -rates refund of this liquidated damage (Loss of interest) charge will be made by the city to the VFW. TRUST DEPOSIT RECEIPT 4171 ` OFFICE OF THE CITY TREASURER, CITY OF REDLANDS, CALIFORNIA tv a y Date----.. hkay..2q.9------........... 19-15----. ry Received from . $ ------ �-rQ131�a�Q.... Redlands Post No. 2062 Address ----------- ---------------- ........... .............. Z CITY TREASURE C ontrol Dept. Clerk m m, --- > Deposit Classification: C9 misc. ❑ Perf/B ❑ Bid/B Pq B/L ❑ P/M Hood ❑ C.I.I. El .. ti ca Detail -.mne_.aza..�2_x?_qsa_.?az� �'7..Jx�i?--.. ba . CD d CD The amount acknowledged by this receipt will not be deposited in City Funds, CD l department. CD but will be held in trust pending disposition order by the contro TRUST DEPOSIT RECEIPT 4-16 9 C OFFICE OF THE CITY TREASURER, CITY OF REDLANDS, CALIFORNIA rya � Date ------------ 114,Y--20------------- 19--- U---- n Received fromVeteran's--o ...'"o re z r].. i art-+-------------- $ 2.10.0.00 --------- �, Redlands Pori No. 2062 Address z t" e Control Debt. CITY TREASURER Clef by------ ---- `•-,........ = Deposit Classification: ' YMisc. ❑ Perf/B ❑ Bid/B ® B/L ❑ P/M Hood ❑ C.T.I. ❑ b Detail .... ...__erne------mone-- duos 4 ._p--`��--=21--N^.._- fth• ,5t. -� t7 bid. The amount acknowledged b this receipt will not be deposited in City Funds, �. � 7' p _ p Y but will be held in trust pending disposition order by the control department. 90-127 1222 NO 340223 PROVIDENT FEDERAL SAVINGS and Loan Association • 37S6 CenlralA venue • Riverside, California DATE 2000.00 a-` To r" PROVIDENT FEDERAL SAVINGS o�o�'� o>` ���'-� OFMLA AND LOAN ASSOCIAT;DN BANKOFAMERICA ;L VIM :.IA1N,T. RP4IKti IGI CA W7,01 Ru VETERtiN lS OF FOREIGN W!,RS AUTHORIZED SIGNATURE RrDLANDS POST vO. 2062 wr0340 2 23W' i. L 2 2 2...0 1.2?o. OI3 280l--DG9�0n' r 1 . �No 00561428 _ Y .Uri I 3 Ya DAiE. REDS ANDS BRANCH AY 23, 1973 90-171 220 E, State St., Redlands, Calif. 92373 1222 PAY TO THE ORDER OF �` ��tlti l {fliljl 1F JIfll Aa1 I 11 .. I n1 `LLIiI AI !�#0!i i fl:fi I qI jjsY�ll !I I„i .IESitI I III r 1 >nk � 11 `--'t w :a AUTHORIZED SIGNATURE 0 0 0 5 6 i 4 213 nm 1: 1 2 2 2:-, 0 1? 11, 3 2 41i1 5 6 0 2 4 3 I1` ` .c VETERANS OF FOREIGN WARS OF THE UNITED STATES AN ASSOCIATION OF MEN FOUNDED 1899 WHO HAVE FOUGHT AMERICA'S FOREIGN WARS �r4rS . ON LAND AND SEA i AND IN THE AIR Q OFFICIAL FROIR R.J. WETTED COM -4ANDER V.F.W. POST 2062 FROM MINUTES OF REGULAR MEETING OF VINEUS M. HOLLINRA.KE POST t,L2062 VETERANS OF FOREIGN WARS HELD ON MAY 10� 19730 POST VOTED IN REGULAR SESSION TO PROCEED WITH NEGOTIATIONS FOR THE PURCH&SE OF SHE HALL OF JUSTICE BUILDING LOCATED AT 215 5th STREET FROM THE CITY CF REDLANDS. THIS ACTION TO BE C010UCTED BY Thal ColayL NDER/PRESIDE T R.J. WHITED AND OTHER OFFICERS OF TH.E POST. THIS DOCUZIENT IS HEREBY ATTESTED TO BY THE FOLLOWING OFFICERS OF THE POST. J 0 HA101ER UARTMI ASTER VFW POST 2062 S�IANDE VFL+I POST 2062 Rp,��SR. VICE C011aNDEPI iM4 POST 2062 IN CONJUNCTIOi4 WITH THE ABOVE ACTION THE POST AUTHORIZED A DOLLAR AMOUNT OF $401000.00 TO BE SUBMITTED ITITH THE BID. ROI;,A1ND J VJHTe '! � a C O1� fAND , POST 2o62 ` �;EAG ESTATE PURCHASE CONTRACT AND RECEIPT FOR DEPOSI-T' THIS IS MORE THAN A RECEIPT FOR MONEY. IT MAY BE A LEGALLY BINDING CONTRACT. READ IT CARMLLY. Redlands California,' May 23 19 73 Received from Veterans of Foreign Wars Post 2062 Redlands CA a Calif ernia Cor , herein called'Buyer, the sum of Four Thousand and no/100 ollars ($ 4 000,00 ) evidenced by cash ❑, personal check ❑, cashier's check or as deposit on account of Fort Thousand and na 100 - ollars, ($ 40, 000, 00 purchase price of .� for the purchase of property, situated in laity of Redlands County of San Bernardino California, described as follows: Old Hall of Justice Bldg, located at 215 Fifth Street consistin of approximately 7500 Sq, Ft. Le al'descri tion to be furnished in Escrow, 1. Buyer will deposit in escrow with Austin -Smith -Gorman the balance of purchase price as follows: 4 000.00 total cash down paymenb.-including the above deposit, Buyer to execute a Note payable in one year,`H . .- ■. •tl. r •r■ .r Buyer to pay a S21,000,00 RQal Eatate i to Austin, Smith, Gorman &Assualates, Realto for realty Ege. Set forth above any terms and conditions of a factual nature applicable to this sale, such as financing, prior sale of other property, the matter of structural pest control inspection, repairs and personal property to be included in the sale. 2. Title is to be free of II,e t1s encvmbragces, pa�ements, restrictions, rig�.Ij pnd conditions,of record or known tq Seller., other than the following: 11he is su Sec o covenants, con 1 ions, restrictions, reservations and easements of record Seller shall furnish to Buyer at Sellers expense a standard California 'Land Title Association policy issued by Security Title Company, showing title vested in Buyer subject only to liens, encum- brances, easements, restrictions, rights and conditions of record as set forth above, If Seller fails to deliver title as herein provided, Buyer at his option may terminate this agreement and any deposit shall thereupon be returned to him. 3. Property taxes, premiums on insurance acceptable to Buyer, rents, interest, and -------------------------- --,,,,,-„---------------„-,....,...--------------- [insert in blank any other items of income or expense to be prorated] shall be prorated as of (1) the date of recordation of deed or (2) Close Qf Escrow [Strike (1) if (2) is used]. The amount of any bond or assessment which is a lien shall be paw [Strike one] by Sellers Seller shall pay cost of documentary stamps on deed. 4. Possession shall be delivered to Buyer (Strike inapplicable alternatives] (a) on close of escrow, or (b) sa�Ibc oc Jxxx Xdf)wxyamycjSx*xo xxv,K) 5. Escrow instructions signed by Buyer and Seller shall be delivered to the escrow holder within 10 days from the Seller's acceptance hereof and shall provide for closing within 90 days from the Seller's acceptance hereof, subject to written extensions signed by Buyer and Seller. b. Unless otherwise designated in the escrow instructions of Buyer, title shall vest as follows: To be furnished in Escrow. [The manner of taking title may have significant legal and tax consequences. Therefore, give this matter serious consideration.] 7. If the improvements on the property are destroyed or materially damaged prior to close of escrow, then, on demand by Buyer, any deposit made by Buyer shall be returned to him and this contract thereupon shall terminate. 8. If Buyer fails to complete said purchase as herein provided by reason of any default of Buyer, Seller shall be released from his obligation to sell the property to Buyer and may proceed against Buyer upon any claim or remedy which he may have in law or equity; provided, however, that by placing their initials here Buyer; ( ) Seller: i j Buyer and Seller agree that it would be impractical or extremely difficult to fix actual damages in case of Buyer's default, that the amount of the deposit is a reasonable estimate of the damages, and that Seller shall retain the deposit as his sole right to damages. 9. Buyer's signature hereon constitutes an offer to Seller to purchase the real estate described above. Unless acceptance hereof is signed by Seller and the signed copy delivered to Buyer, either in�I on or by mail to the address shown below, within 15 days hereof, this offer shall be deemed revoked and the posit shall be returned; to Buyer. 10. Time is of the essence of this contract. Real Estate Broker Austin, Smith, Gorman & Assoc. By 'r•,e Address elephone-i93-334fi ,..___..._. The undersigned Buyer offers and agrees to buy the above described property on the terms and conditions above stated and acknowledges receipt of a copy hereof. Address Buyer Telephone Buyer ACCEPTANCE The undersigned Seller accepts the foregoing offer and agrees to sell the property described thereon on the terms and conditions therein set forth. The undersigned Seller has employed ------------------------------- as Brokers) and for the Brokers) services agrees to pay Brokers) as a commission, the sum of none Dollars ($ none ) payable as follows: (a) On recordation of the deed or other evidence of title, or (b) if completion of sale is prevented by default of Seller, upon Seller's default, or (c) if completion of sale is prevented by default of Buyer, only if and when Seller collects the damages from Buyer, by suit or otherwise, and then in an amount not to ex- ceed one half that portion of the damages collected after first deducting title and escrow expenses and the expenses of collection, if any. The undersigned acknowledges receipt of a copy hereof and authorizes Brokers) to deliver a signed copy of it to Buyer. Dated: Address Seller. Telephone Seller Broker(s) consent to the fore of Austin -Smith --Gorman ��g+ Broker Broker Dated. 5'-23-73 By !�- �� / � � � Dated: By A REAL ESTATE BROKER IS THE PERSON' OUALIFIED TO ADVISE ON REAL ESTATE- IF YOU DESIRE LEGAL ADVICE CONSULT YOUR ATTOW49Y_ NEW BUSINESS On motion of Councilman DeMirjyn, seconded by Councilman Miller, Resolution No, 3046, declaring real property Resolution (the old Hall of Justice) no longer needed for municipal No. 3046 purposes, was unanimously adopted. Consideration of sale ,Sale of of this property was advertised for June 19, 1973 at 7n00 Old Hall P.M. Mr, Merritt brought the additional recommendation of Justice from the Board of Parking Place Commissioners that prior to Council consideration of the bid of the VFW on the Hall. of Justice, a written commitment from a bona fide lender be furnished to City Council. CITY MANAGER On motion of Councilman Sewall, seconded by Councilman SANBAO Miller, unanimous approval was given to the modification Amendment of the SANBAC Agreement, by permitting the Board of Supervisors and the city officials to have alternate delegates attend the meetings City Manager Merritt presented a detailed study report and a recommendation for acquisition of land for an alter- nate disposal site for Redlands upon the closure of the Califor-nia Street Land Fill. Alternative methods and sites were extensively studied and described, and Council, members and staff were pro- vided opportunity to tour this site and study the 182- acre property at first hand. Disposal This matter was discussed by Council from all aspects, Site including cost comparisons. Land prices from $50.00 to $3,500.00 per acre were mentioned. Director of Sanitation Mead urged Council to acquire this property now, and warned of escalating land prices and equipment costs, increase in number of regulatory agen- cies, and scarcity of sizable parcels of property. Attorney Brunick stated that condemnation procedure could be used but would require three to five years. Council discussion continued, 'Ultimately, Councilman Miller moved to approve the following requests as out- lined by the City Manager to Purchase of the property subject to approval of applicable regulatory agencies, including approval of an Environmental Impact Report (EIR). 20 Sales contract or agreement based upon the terms and conditions as presented, to be finalized between the City .Attorney and the seller of the property. Page seven - June 5, 1973 CITY MANAGER (Continued) 3. Approval of revenue sharing funds totaling approxi- mately $121,500 for the down payment on land, road construction, fencing, required testing and site studies, and miscellaneous .items, 4. Authorize contract with the firm of Neste, Brudin & Stone, Inc., San Bernardino, for the purpose of developing the Environmental :impact Report. Resolution No. 3048 5. Adopt Resolution. No. 3048 indicating the Council's Intent to intention to annex property to the City of Redlands. Annex Motion was seconded by Councilman Sewall and adopted by the following roll call vote AYES.- Councilmen Miller, Sewall, Mayor Cummings NOES: Councilmen DeMirjyn, Knudsen ABSENT2 None On motion of Councilman Knudsen?, seconded by Councilman Grant Deed Sewall, the City .Manager was unanimously authorized to Dearborn execute the certificate of acceptance in behalf of the City for a grant deed of easement from Dearborn Acres for Acres pipeline and right-of-way purpose to construct a large diameter inlet main to Dearborn Reservoir. On motion of Councilman DeMirjyn, ;seconded by Councilman Claim Miller, a claim against the City by Lealisa Suzanne Burton Burton was denied in routine manner and referred to the City's insurance carriers. On motion of Councilman. Knudsen, seconded by Councilman Transfer DeMirjyn, unanimous approval was given to the transfer Funds - of $300,000 from Sewer Rental Fund and $500,000 from regal Sewer and Capital Fund to the Sewer Construction Fund to fund constriction in progress, with the understanding that the advance on the :Segal and Capital Fund will be repaid upon receipt of the grant funds. Emergency The request by the Howard Ambulance Company to be per - Gasoline mitted to obtain gasoline from the city supply when their regular supplier is out, was approved on motion of Coun- cilman DeMirjyn, seconded by Councilman Knudsen, with Ambulance authority for this emergency use to continue for the Company balance of this year, by AYE votes of all present. Bills and salaries were ordered paid as approved by the Finance Committee. There being no further business, on motion, Council adjourned. at 10:25 P.M. .Next regular meeting, June 19, 1973. Respectfully submitted, Page eight - June 5, 1973 q7# ter7� PUBLIC HEARINGS (Continued) Resolution No. 3046, a resolution declaring real prop- erty (the old Hall of Justice) no longer needed for municipal purposes, which was adopted at the Council meeting of June 5, set this time and place for public hearing upon any protests to the proposed sale of this property, Mayor Cummings at this time declared the meeting agar: open as a public hearing for the purpose of hearing protests or comments on the sale of the old Hall of justice. No comments being forthcoming, the public hearing was declared closed. Unanimous approval was given, on motion of Councilman Miller, seconded by Councilman DeMirjyn, to the sale of the Property speci- fied At this time City Manage.r. Merritt presented the bid from the Veterans of Foreign Wars, Post ##2062 of Redlands, which was as follows? Bid Total bid price, $40,000; 10% deposited with bid in the Hall of form of two cashier's checks. Bidder proposes to pay Justice the balance of Q36, QC0 within one year; interest at 7%. Bidder will also make monthly payments of $323.62 per month or more, including interest, during the one-year period. City Manager Merritt recommended that the bid be accepted as follows: 1. That. the 10% deposit be forfeited if escrow fails to close; escrow to be for 90 days or less, 2. That the $36,000 balance be paid over a twelve-month period. 3. That monthly payments delinquent more than 30 days be penalized by a charge of 1% on the unpaid balance 4. That: the Council accept the one-year First Trust Deed Note with interest at 7/ 5. That the letter from C. W, Kelly, Jr., of -Investment - Mortgage Corpa ny, San Bernardino, fulfills the re- quirement of a loan commitment as stated in Council minutes of :rune 5, provided that it be amended to Sale show validUy to August 1, 1974. Hall of Reaffirming that no protests to the sale had been regis- Justice tiered, Council unanimously approved this sale, on motion of Councilman: Miller, seconded by Councilman Sewall, and authorized the Mayor and City Clerk to sign the documents in behalf of the City. Page two - June 19, 1973 ORAL PETITIONS FROM THE FLOOR (Continued) appointed by Council; and requested a date for action by August 10 Mayor Cummings replied that an Ad Ho-c Committee had been formed consisting of one representative selected by each Council member. The representatives will be: Vice Mayor DeMirjyn - Jack Nagasaka; Dr. Miller - Gloria Lee; Councilman Knudsen - Reverend Ted Hurlburt; Councilman Sewall - Reverend Hal Hudspeth; Mayor Cummings W- Leo Hernandez. Mayor Cummings further Revenue stated that a meeting would be set for July 24, at which Sharing time this group will review the proposals that have Funds for already come as of this date, and will develop ground Social rules for their activities. Mayor Cummings added that Services a private agency has requested funds, that there is some question as to the legality of this use of revenue sharing funds, and that San Bernardino County Counsel is researching the matter as relates to San Bernardino County. Following discussion of Mr. Soto°s request that funds be frozen for this purpose, on motion of Councilman Sewall, seconded by Councilman Miller, unbudgeted revenue shar- ing funds were authorized to be frozen until a report is received from the Ad Hoc Committee or until the Council meeting of September 4. Mr. Soto also reported that on Saturday, August 4, there would be a dance given by the Concerned Men°s Group for the benefit of Community Park. Mr, John Melcher, of 502 Cajon Street, briefly addressed Council with his recommendations for the preservation and protection of City Hail. Mr. Melcher expressed great admiration for the present appearance of the Mission Inn in Riverside, the Y.W.C.A. in San Bernardino and the City Hall in Redlands. Councilman Sewall announced that Mr. Armantrout had expressed a similar opinion. COMMISSION RECOMMENDATIONS Planning Commission - Council action on Planning Commis- sion recommendations will be found on attached sheets. Mayor Cummings expressed regret at the resignation of Mr. Tirso G. Serrano from the Park Commission, and requested a letter of appreciation for Mr. Serrano°s service over the Mayor's signature. In addition to this vacancy on the Park Commission there will be a student vacancy. Also there will be a student vacancy on the Traffic commission. There are two resignations and three expiring appointments on the Housing Commission. Page three - July 17, 1973 COMMISSION RECOMMENDATIONS (Continued) Councilman Knudsen announced that the Public Works Com- mission is presently exploring the criteria for selection of disposal sites and the financial operation of the Dis- posal Department. This Commission will have another meeting on Monday, July 23 at 3:00 P.M. in the City Hall Conference Room. Councilman DeMirjyn announced that the cost of purchasing of a dump site would be $165,000 in taxes over a 25-year time, plus interest, which, Mr. DeMirjyn said, adds up to a total of $675,000 in 25 years. Councilman Sewall commented on money management and reminded Council_..that. paying taxes is sometimes more reasonable than: the cost of paying interest on the same amount of money. City Manager Merritt stated that tours are being set up for Mr. Dibble and another Public Works Commission member to view potential disposal sites. City Manager Merritt added that another proposal had been received, which the staff is presently evaluating. Councilman Knudsen announced that Mr. Ralph Davis is now the Chairman of the Recreation Commission, in addition to being member -at -large Sale of Old Hall of Justice City Manager Merritt announced receipt of a letter dated July 16, 1973 from the Veterans of Foreign Wars stating that the organization wished to withdraw from their bid for purchase of the old Hall of Justice building. This bid was accepted by the Council at the meeting of June 19, 1973 and caused cancellation of the previously f Are arranged sale of this building to Televents, Inc. Mr. Merritt listed the estimated loss to the City and presented the recommendation of the Board of Parking Place Commissioners concerning a proper reimbursement for such loss, in time, financial outlay, and loss of interest from the previously finalized sale. Council- man Sewall moved acceptance of this recommendation; motion was seconded by Councilman Miller. Prior to the vote on the motion, Mr. George Sizemore requested delay of this matter due to the absence of VFW Commander Whited. Motion was withdrawn. APPLICATIONS AND PETITIONS Mrs. Shirley B. Lampton, Redlands District Chairman of the San Andreas Council of Camp Fire Girls, Inc., intro- duced some Camp Fire Girls and their leaders, and ex- plained the request for the closing of Fifth Street on September loth, between 10:00 A.M. and 2:00 P.M., for Page four - July 17, 1973 APPLICATIONS AND PETITIONS (Continued) COMMUNICATIONS a Camp Fire Girls Fair. Following brief Council dis- cussion the matter was referred to the staff for co- ordination with the Chamber of Commerce. Vice Mayor DeMirjyn reported the concern of citizens on Cypress Avenue across from Gerrard's Market regarding the parking of trucks on the street. In the Council discussion which ensued, Chief Graefe was asked to look into the enforcement of Ordinance No. 1430 which limits parking of trucks on city streets in residential areas to two hours_ Mayor Cummings reported a letter from Dr. Movsesian of 1001 Cimarron Drive, which requested assistance regard- ing the noise from trucks on the upgrade on the freeway, Freeway and suggested a sound barrier wall be added, Council - Noise man Knudsen reported that the State Division of High- ways is studying plans for a truck lane in this section of the freeway to Yucaipa. He suggested that the request be sent to the District 8 Office of the Division of Highways asking for a sound barrier wall and request- ing that the members of the City Council be informed of the time of the Division meeting considering the truck lane. This was approved by the City Council and the Clerk directed to send the minutes and a request for notification of the meeting to the State Division of Highways. UNFINISHED BUSINESS Ordinance No. 1518 Bicycle License Fees Page five - July 17, 1973 Ordinance No. 1518, an ordinance of the City of Redlands, amending Chapter 63 of the City Code, and revising the initial and renewal fee for bicycle licenses, was adopted on motion of Councilman Sewall, seconded by Councilman Miller, with waiving of the reading of the ordinance in full, by the following roll call vote: AYES: Councilmen DeMirjyn., Knudsen, Miller, Sewall, Mayor Cummings NOES: None ABSENT: None Councilman Sewall commented on a request he had had from the League of Women Voters concerning better communication between the citizens and government. He suggested the possibility of establishing a Board similar to the Corporate Board of Redlands Community Hospital, which might be utilized for disseminating UNFINISHED BUSINESS (Continued) information within the community. He envisioned a 100-member board with each Councilman naming 20 people as members. City Attorney Taylor briefly explained the operation of the present hospital corporate board and stated that while this would be unique in city government, it would be possible to draw up guidelines for such a procedure. In the discussion which followed, the Council likened this to the Coalition which was established several years ago; and also considered using the commissions in this way. Following lengthy Council d scussion,a, the matter was unanimously tabled for 60 days for discussion throughout the community. Council returned to consideration of the sale of the old Hall of Justice and City Manager Merritt re --read the following recommendations from the Board of Parking Place Commissioners; �6 lrt It is recommended that the VFW deposit of $4,000 with the City be charged as follows: Administrative cost to City . . . . . . . $ 263.32 Liquidated damages (loss of interest VFW Bid for one year on sale of property, Hall of sale of which was lost by VFW bid Justice and subsequent withdrawal). $ 1,150.00 Total. . . . . . . $ 1,413.32 It is also recommended that the remaining balance of $2,586.68 be returned to the VFW, provided they agree, in writing, to accept this balance in full payment of the earnest money deposit and payment of all claims against the City in this matter. Further, that in the event the Hall of Justice is sold within one year, a pro rata refund of this liquidated damage charge will be made by the City to the VFW. Commander Whited was adamant in expressing his resent- ment at what he felt were terms and requirements placed on the sale of the Hall of Justice after the bid was accepted. The matter was discussed at length. Board of Parking Place Commissioners Chairman Malone stated that the Commission's entire concern was due to res- ponsibility for the Parking District property and to assure that the organization purchasing the property had secure financial ability to implement the agreement. Following the inference by Mr. George Sizemore that the requirements were verbal, Assistant to the City Manager Page six July 17, . 1973 UNFINISHED BUSINESS (Continued) John Wagner read the requirements as were outlined in the advertising for bids: "Ten percent of the price offered must be in the form of a cashier's check or certified check payable to the City of Redlands, and must accompany the bid. In the case of the successful bidder, this deposit will be placed in a 90-day escrow, If escrow is not completed by the bidder in 90 days or less, the deposit will be for- feited. Deposits of unsuccessful bidders will be returned to them." City Attorney Taylor explained that legally the -City Council had accepted the VFW offer to purchase, and that technically speaking a contract was made between the City and VFW which is enforceable. Mr. Taylor added that the Council's whole approach should be in terms that the City is allowing the VFW to withdraw from a legal contract, a binding obligation, and will permit this release only under certain terms and considerations, and °if these conditions are not met, the Council should en- force the contract. Mr. Taylor added that 90 days exist in which the VFW can still purchase the Hall of Justice under the contract as outlined within the bid. Following lengthy discussion between the Council and Commander Whited, Councilman Sewall moved, seconded by Councilman DeMirjyn, that if the bid offer is not fol- lowed through, the recommendations presented by the City Manager be enforced. Motion carried unanimously. NEW BUSINESS Resolution Resolution No. 3057, a resolution of the City Council No. 3057 providing for the placement of assessment of costs resulting from the abatement of weeds on the tax roll Weed against the properties as listed in Exhibit "A" of the Abatement resolution, was unanimously adopted on motion of Council- man Miller, seconded by Councilman DeMirjyn. Vice Mayor DeMirjyn requested that Council instruct the City Attorney to draw up the necessary ordinance to pro- vide that all lease purchases over $4,000 be handled by bid procedure unless otherwise authorized by the City Council, Following brief discussion, on motion of Coun- cilman Sewall, seconded by Councilman Knudsen, the matter was tabled for sixty days for further study. Page seven - July 17, 1973 CITY MANAGER Following a brief discussion and a presentation by Mr. Gary Oldfather of Pleasant Hill, California, Coun- CATV cil unanimously set a public hearing on the matter of transfer of CATV franchise from Televents of California, Inc., on motion of Councilman Sewall, seconded by Coun- cilman Miller, for August 7, 1973 at 7:00 P.M. Following a brief discussion, on motion of Councilman Sewall, seconded by -Councilman Knudsen, unanimous approval was given to a contract with the firm of Contract Tharaldson, Matthewson, Argabright, and Doby for the Design design and preparation of plans and specifications for Plans the mechanical and electrical work in City Hall, Lincoln Shrine and security lighting behind Smiley Library. This work will be done for the maximum of 7% of the final construction contract price. Director of Building and Safety Mitchell stressed to Council the need of having detailed specifications when one is going to bid for engineering and mechanical work. Bid Call On motion of Councilman Miller, seconded by Councilman Knudsen, authorization was given to advertise for bids Ladder on one aerial ladder".truck in the approximate amount of Truck $880000, by unanimous Council vote. Authorization was also given for the purchase of a Polygraph polygraph for the Police Department, on motion of Coun- cilman Knudsen, seconded by Councilman Miller, with the City Clerk authorized to advertise for bids. Mr. Robert Mitchell stated that in his work as Director of Building and Safety he seemed to have fallen heir to stewardship of the City Hall building, that he believed the surface to be cracking and spalling off, and.that he City Hall had indeed recommended some type.of preservative treat - Building ment at this time, to be funded under Revenue Sharing. However, it is now his desire to be extricated from this situation. He further recommends that a committee not be appointed to study the matter, but that an authority on maintenance of cement buildings be called upon, such as the Portland Cement Company. On motion of. Councilman Knudsen, seconded by Councilman DeMirjyn, the matter will be tabled to the next budget session, and in the meantime, recommendation of an authority will be sought. Claim On motion of Councilman Sewall, seconded by Councilman Miller, a claim by Nicholas Santos for a fall at the Santos intersection of Kendall and Brookside Avenue was denied in routine manner and referred to the City°s insurance carriers. Page eight - July 17, 1973