HomeMy WebLinkAbout102103-RDA_CCv0001.pdf MINUTES nforegular meeting ofthe Board ofDirectors ofthe RedevelopmentAgency of
the City VfRedlands held inthe City Council Chambers, Civic Center, 35Cajon
Street, at 5:28 P.M. on October 21, 2003.
PRESENT Karl N. (Kanev) Haws, Chairman
Susan Peppier, Vice Chairman
Pat Gilbreath, Member
Gary George, Member
Jon Harrison, Member
ABSENT None
STAFF John Davidson, Executive Director; Daniel J. McHugh, Agency Attorney; Jeffrey
L. Ghavv. Community Development Director; James R. 0uegrmann, Police
Chief; and Beatrice Sanchez, Acting Agency Secretary.
The minutes of the regular meeting of October 7. 2003. were unanimously
approved as submitted on motion of Mrs. Gilbreath, seconded by Mrs. Peppier.
JOINT MEETING - REDEVELOPMENT AGENCY, REDLANDS FINANCING AUTHORITY AND
CITY COUNCIL
From the audience, Finance Director KundiQ introduced K4ornha| Linn.
President, Urban Futures, Inc.; Robert FzVrr, Sr. Vice President, {]'Connor
Southwest Securities; and John F|ottenhaefer Bond Finance Director
. �
Kundig then explained that the purpose of the Redevelopment Agency Tax
Allocation bond issue in to take advantage of the |ovv rates available in today's
financial market and to allow the Agency to generate funds for needed capital
improvements in the Project Area; maximize proceeds to meet anticipated
expenditures in connection with the Redevelopment Plan; and generate
proceeds to meet anticipated expenses for projects associated with low and
moderate income housing needs. |norder tosell the Redevelopment Agency's
proposed Tax Allocation Bonds Series 2003A on o negotiated boeis, it will be
necessary for the Redlands Financing Authority topurchase the bonds from the
Redevelopment Agency. The Redlands Financing Authority will immediately
ae|| the bonds tothe underwriter, O'Connor Southwest Securities, Inc. Based
on Fiaoo| Year 2003-04 Son Bernardino County Tax Roll and projections of
anticipated growth within the Project Area, the Redevelopment Agency COU|d
issue $18.895.000 of Tax Allocation Bpnde, with on underwriter's discount of
not more than 1.5 p8[C8Dt of the principal 8mOOUDt of bonds. The Agency will
have immediate ooneso to approximately $5.1 million of the proceeds for non-
housing related projects. Approximately 8DOthO[ $2.1 n0i||iOD will be placed in
on escrow account which will be released over the next two years, as the
assessed valuation iOthe Project A[e8iDCng@S8S. Additionally, the Agency will
have immediate access toapproximately $7.8 million in proceeds that can be
used for low and moderate-income housing-related purposes. The Tax
Allocation Bonds Series 2003A will be issued on a parity basis with the Agency
1998 Tax Allocation Bond |SSUS and will have GO 6qU@| right tOtax inCPgD18OtS
Redevelopment Agency
October 21. 2803
Page
generated in the Project Area. By escrowing a small portion of the bonds'
proceeds, the Agency will achieve significant cost savings by not paying
additional cost of issuance for a near-term new-money issuance in the future.
With long and short-term bond rates at a 25-year low, the Agency can access
the market place and expect to pay between 4.80 percent and 5.15 percent on
its term bonds. Mrs. Gilbreath inquired if there are any projects in mind for the
issuance of the bonds. City Manager Davidson listed a parking structure, hotel
and the expansion of infrastructure. Mrs. Gilbreath expressed concern that the
City does not have a definite plan but we are incurring debt. Chairman Haws
stated that if funding is in place we are better able to make plans for the area.
Mr. Harrison moved to approved Resolution No. 366, a resolution of the Board
of Directors of the Redevelopment Agency approving the issuance of Redlands
Redevelopment Project Tax Allocation Bonds, Series 2003A, by the
Redevelopment Agency, approving a first supplement to indenture, an official
statement, a bond purchase agreement setting the maximum final terms of the
sale of bonds, and making certain determinations related thereto. Motion
seconded by Mr. George and carried with Mrs. Gilbreath voting NO. (Also see
Redlands Financing Authority and City Council minutes dated October 21,
2003.)
Chairman Haws called for a recess at 5:43 PM. The meeting reconvened at
5:49 PM
NEW BUSINESS
Public Parking Facility in the Core Block - Community Development Director
Shaw reported the Redevelopment Agency adopted a Five-Year
Implementation Plan identifying future programs and expenditures that
implement the Agency's goals and objectives. The parking structure project
was included in the Plan and this project was reaffirmed during our mid-term
review at the Redevelopment Agency meeting of September 16, 2003. The
Redevelopment Agency also previously approved a development strategy and
planning project in cooperation with the Redlands Chamber of Commerce for
the core block -- generally bounded by Pearl Avenue, Orange Street, Redlands
Boulevard and Eureka Street -- in downtown Redlands. The Economic
Development Advisor and staff are recommending that the current work on the
Core Block be immediately expanded to include predevelopment planning and
engineering for a new public parking garage. This work would be performed
under the auspices of the Redlands Chamber of Commerce's Core Block
project. Staff is also proposing that the cost of this work -- estimated to be
approximately $40,000.00 be funded by the Redevelopment Agency. Other
stakeholders in the Core Block, such as Krikorian Theatres, may be willing to
participate in this planning and engineering effort that could reduce the
Agency's financial commitment. Agency members then had a discussion on
pedestrian traffic between the movie theatre and State Street. On motion of
Mrs. Gilbreath, seconded by Mrs. Peppler, the Agency unanimously authorized
the Executive Director to amend the Agency's Core Block Development
Strategy Agreement with the Redlands Chamber of Commerce to include
Redevelopment Agency
October 21, 2003
Page 2
m0dplanning and engineering for @new public parking facility to be
constructed in conjunction with CO[8 Block development. On [DObOD of Mrs.
Gilbreath, seconded by Mrs. Peppier, the Agency unanimously appropriated up
to $40.000.00 in funding for the p[8dev8|OpOO8Dt p|@DOiDg and 8OgiO8e[iDQ for
the parking garage project.
PUBLIC COMMENTS
None forthcoming.
ADJOURNMENT
There being no further business, the Board of Directors' rnemiinQ of the
Redevelopment Agency adjourned a18:29 P.M. The next regular meeting will
beheld onNovember 4. 2O03.
Acting Secretary
Redevelopment Agency
October 21. 2803
Page