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RA1992/07/14Anaheim Civic Center, ANAHEIM REDEVELOPMENT AOENCY JULY 14~ 1992~ 5:00 P.M. PRESENT ABSENT: PRESENT AGENCY MEMBERS: Simpson, Ehrle, Pickler and Daly AGENCY MEMBERS: Hunter CITY MANAGER: James Ruth CITY ATTORNEY: Jack White SECRETARY: Leonora N. Sohl EXECUTIVE DIRECTOR OF COMMUNITY DEVELOPMENT= Lisa Stipkovich A complete copy of the agenda for the meeting of the Anaheim Redevelopment Agency was posted at 3:00 p.m. on July 10, 1992 at the Civic Center kiosk, containing all items as shown herein. Vice Chairman Daly called the regular meeting of the Anaheim Redevelopment Agency to order at 5:23 p.m. FINANCIAL DEMANDS AGAINST THE ANAHEIM REDEVELOPMENT AGENCY in the amount of $885,219.66 for the period ending June 26, 1992; $1,208,032.64 for the period ending July 2, 1992; and $208,330.90 for the period ending July 10, 1992, in accordance with the 1991-92 Budget, were approved. PUBLIC COMMENTS - AGENDA ITEMS: Mr. John Rodenbauer, Dianne Horn and Father Soto spoke under Agency Item No. 5 (see discussion under that item). ITEMS OF PUBLIC INTEREST: No items of public interest were addressed. CONSENT CALENDAR ITEMS 1 THROUGH 4: On motion by Agency Member Pickler, seconded by Agency Member Simpson, the following actions were authorized in accordance with the reports and recommendations furnished each Agency Member and as listed on the Consent Calendar Agenda. Agency Member Pickler offered Resolution No. ARA92-16 for adoption. Agency Member Hunter was absent. Refer to Resolution Book. 1. 123: Approving a Second Amendment to Agreement with Barton-Aschman Associates, Inc., in the amount of $100,000 for technical assistance in traffic engineering and transportation planning services, extending the term of the Agreement to June 30, 1993; and authorizing the Chairman and Secretary to execute said Agreement. 2. 155: RESOLUTION NO. ARA92-16: A RESOLUTION OF THE ANAHEIM REDEVELOPMENT AGENCY AMENDING PROCEDURES FOR IMPLEMENTATION OF THE CALIFORNIA ENVIRONMENTAL QUALITY ACT AND THE STATE CEQA GUIDELINES. Roll Call Vote on Resolution No. ARA92-16 for adoption: AYES: NOES: ABSENT: AGENCY MEMBERS: Simpson, Ehrle, Pickler and Daly AGENCY MEMBERS: None AGENCY MEMBERS: Hunter The Vice Chairman declared Resolution No. ARA92-16 duly passed and adopted. 3. 123: Approving a Second Amendment to Agreement with Linda S. Congleton and Associates to continue to provide professional retail marketing services through June 30, 1993. 123: Approving a Third Amendment to Agreement with Elbasani & Logan Architects to provide professional architectural and planning services through June 30, 1993. 92-49 Anaheim Civic Cen~er, ANAHEIM REDEVELOPMENT AGENCY JULY 14t 1992t 5~00 P.M. 123: Approving a Second Amendment to Agreement with Sedway Cooke and Associates to continue to provide professional urban planning services through June 30, 1993. 123: Approving a Second Amendment to Agreement with the SWA Group to continue to provide professional architecture and planning services through June 30, 1993. 4. 161: Approving minutes of the Redevelopment Agency meetings held May 19, and June 2, 1992. End of Consent Calendar. MOTIONS CARRIED. 5. 156: REPORT - USE OF REDEVELOPMENT FUNDS FOR THE GANG AND DRUG PROGRAM: Submitted was joint report dated July 8, 1992 from the City Attorney and General Council to the Agency, Jack White, Agency Executive Director, Lisa Stipkovich, James Armstrong, Assistant City Manager and Thomas Clark, Agency Special Counsel - Subject: Potential use of Agency Funds for Gangs/Drug Task Force Program. Vice Chairman/Mayor Pro Tem Daly noted the large group present in the Chamber audience and asked to hear from a spokesman. Mr. John Rodenbauer, 604 N. Clementine, Anaheim, member of Orange County Congregation of Community Organizations (OCCCO) from Saint Boniface's Church, Anaheim. He noted that with him were Diane Horn, First Presbyterian Church and Monsignor Hymie Soto, President of Orange County Sponsoring Committee, the OCCCO parent organization. Having received the subject report, they feel very positive especially with the last three or four pages which set out some suggestions where Redevelopment monies can be used directly or indirectly for the gang and drug strategy. They would like to see the Council direct staff to pursue this as soon as possible in order to come up with the funds for the program. In the next two weeks, they would like the City Manager to come back to the Council and inform the Council and the Community as to what amounts and what programs would be funded. There are about 200 people present on the issue this evening asking for help in dealing with the gang problem. Diane Horn, First Presbyterian Church. She is asking that they accept the report. It states specifically that direct and indirect funds can be used for the Gang and Drug Task Force programs. She is urging that they do that. Farther Soto, President, Orange County Sponsoring Committee - OCCCO. His work brings him to Anaheim. His residence is at 501 E. Central, Santa Ana. OCCCO has been about building a partnership with the City. He assured that the organization will be firmly committed to making the strategy happen. They see this as a viable way of proceeding. They will be constantly working with the City to make sure it does happen. Vice Chairman Daly asked City Attorney White to summarize the contents of the joint report. City Attorney Jack White. Redevelopment law concentrates upon structures and buildings and recycling of those by the Redevelopment process. The thrust of the law does not direct itself towards services or labor intensive programs. The Gang/Drug Citizens Task Force report of June, 1992 is very labor intensive and service oriented. Through several creative mechanisms identified in the joint July 8, 1992 report, it is his belief as well as the other members that 92-50 Anaheim Civic Center~ ANAHEIM REDEVELOPMENT AGENCY JULY 14t 1992t 5500 P.M. have cooperated in the effort that the Redevelopment Agency may have the ability to fund portions of the Gang and Drug Task Force report service levels through use of funds from the Redevelopment Agency either directly or indirectly. By directly - portions of Redevelopment Agency funds may be useable for services that are provided within or benefit Redevelopment project areas which is a severe limitation. By indirectly - that means to the extent that there are capital improvement projects or other types of projects funded either through General Fund sources or other earmarked sources that could be funded legally through the use of Redevelopment money, then there is the ability to free up money through the indirect means by financing projects that otherwise would take away money from the General Fund. The City of Anaheim for the past eighteen years has been involved in programs to use Redevelopment Funds in this indirect way to free up General Fund money for other purposes. There is a limited ability subject to doing further research to find a certain amount of money, approximately $650,000 at most, which could be diverted on an annual basis from other projects if the Agency and Council chose to do that. This would be with the caveat that this is only an interim progress report and there is a great deal of additional work and information that would need to be provided and done before staff could bring back any type of action item to the Council/Agency. Finally, there are abilities to use Redevelopment bond money subject again to confirmation and further research to fund Capital Improvements that have not been identified in the current Gang and Drug report to the extent that those would be deemed beneficial to the effort such as building youth centers or drug rehabilitation centers that would be of benefit both to the project area and at the same time satisfy concerns relating to doing a greater effort in the City relating to drugs and gangs. In conclusion, while they have spent collectively over 100 to 150 hours in presenting the report tonight, there is still a great deal of work that would have to be done before they are in a position to come back with a particular implementation plan if that is the desire of the Agency and Council. Vice Chairman/Mayor Pro Tem Daly commended the four people who worked on the report and for presenting it in such a short period. City Attorney White answering Council Member Ehrle clarified that relative to the $650,000, in the best case he believes after concluding their research they think they can identify up to a maximum of $650,000 in on-going yearly funds that could be used for this purpose unless the Council chose to go into an area significantly different from the material contained in the report. The funds would be limited to either being spent on activities benefitting or within the project area or to the extent that CDBG (Community Development Block Grant) money ends up being usable that would be spent in the target areas, they believe up to $650,000 may be useable subject to confirming various legal and technical issues that have not yet been resolved. A lot of this money is currently tied up in bond issues and involves a very detailed analysis by outside bond council to be sure that what they do with the proceeds does not result in the bond payments received by bond holders converting from non-taxable to a taxable basis. MOTION: Vice Chairman Daly. He thereupon moved that staff pursue all the available opportunities outlined in the July 8, 1992 report which might be used legally to fund the Gang and Drug strategy. Additionally, he would like to see extra work done by staff in terms of dollar estimates and the legalities involved in funding a community center or a youth center project or a combination community center with emphasis on youth. In the past, a study was done on a youth center in the downtown area. Staff's next report should 92-51 Anaheim Civic Center, ANAHEIM KEDEVSLOPMENT AGENCY JULY 14, 1992, 5500 P.M. include an extra effort put into the possible location, size and cost and the legalities involved in funding a youth center and/or community center. Council Member Simpson stated if that implies acceptance of the report, he will second the motion. Before further action was taken, Council Member Pickler asked if there was anything that could be done immediately recognizing that a lot is going to depend on what the State legislature does relative to the State budget. Perhaps the City Manager could look into the situation and put something in place in addition to what is being proposed. He is interested in what can be done now. City Manager James Ruth. Concurrent with the financial analysis of the Redevelopment funding possibilities, staff has also been working on the feasibility of a facilitator which is recommended in the Gang and Drug Task Force report to coordinate all the various groups and activities within the City to deal with the gang and drug problem. He is prepared to make a recommendation recognizing the City is under "terrrible" financial constraints but recognizes it is also the Council's top priority, it is appropriate to recommend that Steve Swaim, Community Services Superintendent, be appointed the facilitator on an interim basis for approximately one year. They would need to backfill his position in the Parks, Recreation and Community Services Department. The recommendation would be to use some CDBG moneyv approximately $40,000, and they would have to go back to the Community Services Board to have them recommend the use of the funding for the back fill. Mr. Swaim is someone thoroughly familiar with all the organizations in the community and could begin to move the activity forward and capture the momentum in the community. It is imperative to make this decision and this move. The recommendation is to proceed immediately to make the reassignment. Vice Chairman/Mayor Pro Tem Daly asked if it was Mr. Ruth's intention to have the Gang and Drug Coordinator position housed in the City Manager's Office and report directly to him; Mr. Ruth answered yes. This person will be working out of the City Manager's Office. City Attorney White confirmed that changing Mr. Swaim's work assignment could be done tonight. He believes it is the Agency/Council consensus that the City Manager is authorized to proceed and make the change in that work assignment. Agency/Council Members unanimously agreed to the proposal by the City Manager. Vice Chairman Daly clarified his motion to accept the staff report and all the recommendations in the report and to ask staff to pursue as quickly as possible all of the funding possibilities mentioned to assist in the Gang and Drug Strategy and in addition, include a possible site, cost and operating budget for the youth/community center in the downtown area. Agency Member Simpson had previously seconded the motion. Agency Member Hunter was absent. MOTION CARRIED UNANIMOUSLY. Discussion then followed between Agency Members and staff upon a request by Ms. Horn for a timeline on when they could expect to hear from staff. City Attorney White and Lisa Stipkovich both indicated that they would need approximately 30 days to come back with a meaningful report. Ms. Horn stated that they would like a progress report in two weeks; Vice Chairman Daly asked that the City Manager and the new Gang and Drug 92 -52 Anaheim Civic Center, ANAHEIM REDEVELOPMENT AGENCY JULY 14, 1992, 5500 P.M. Coordinator to meet with the leadership of OCCCO in approximately two weeks to give a progress report. City Manager Ruth. He emphasized there is still great concern over what is going to happen relative to the State budget and its impact on the City. Until the City knows what the State is going to do, he does not feel there should be a precipitous decision before they have something definitive from the State. Vice Chairman Daly reiterated that in two weeks, City Manager Ruth will be able to tell them the status of the State budget, but that there may be no change. In that case, the meeting with the leadership of the group may be a five minute meeting. He feels they owe the group the courtesy of meeting with them but also owe staff time to do the solid staff work necessary for a report back in 30 days. He asked that the City Manager and the new Drug Coordinator, Mr. Swaim meet with the leaders of the group in two weeks for a status report. Keith Olesen, 321 N. Philadelphia, Chairman - Gang and Drug Task Force. He appreciates all the efforts especially from Redevelopment staff. What he found most encouraging in something that could be done right away was the idea of having Redevelopment replace Rehab programs that Block Grant currently funds which is about $500,000 of the $600,000 available for other projects. The only problem that has not been mentioned, a lot of the public service aspects and programs needed are not going to be able to be paid for by the freed up money because of the 15% cap attached to Block Grant money. Block Grant operates every year with that 15% maxed out. In fact, $200,000 of the available $330,000 for this years Block Grant money is funding two members of the Police Gang Unit. He would assume that the $40,000 to back fill Mr. Swaim's position might have to come out of public service monies in which case it probably isn't there. One place it can be done and done immediately is if the rehab program and loan money is returned to Block Grant to be reprogrammed and can be devoted to Code Enforcement and Code Enforcement related activities which can include the City Attorney's assistance which is unfunded at this time. They can put more and more money into Code Enforcement and Police which needs to be done, but the prosecution section needs to be beefed up as well. Relative to the Community Center, the City has already done not only a feasibility study but also work on the actual programs and departments to be involved in the center which was originally intended to be built out in the adjacent parking lot. He does not believe there is as much work to be done as thought. Mark Deven, from the Parks and Recreation Department held meetings two years ago and that building and a place for it conceptually exist. It would be advantageous to revisit the original plan. Vice Chairman Daly. The Planning effort for the previous community center concept concluded there were seven or eight major potential uses competing for space. They where trying to accommodate everybody. He believes a better solution is to not try to do that. There may be a location for a youth oriented center separate and distinct from cultural arts, senior citizens or other uses. Given the state of the City's finances and the current state of downtown redevelopment, there are a couple of possibilities to look at including existing buildings that could be rehabilitated. Keith Olesen. The problem with all the monies that have been identified and shifted back and forth, the biggest chunk is still in the service oriented areas where no revenues have been identified - 99.9% is in bricks and mortar 92-53 Anaheim Civic Center, ANAheIM REDEV~_.T~P~_.NT AGENCY JULY 14m 1992~. 5:00 P.M. and money is only available for that. The real challenge is to free up some kind of funding that will be available for the service aspects. Vice Chairman Daly. They may have to call upon non-profit organizations to see if they are willing to run programs in buildings built by Redevelopment funds. RECESS: Agency Member Pickler moved to recess the Agency for a biennial review of the Plaza Redevelopment Project Area under the public hearing portion of the agenda. Agency Member Ehrle seconded the motion. Agency Member Hunter was absent. MOTION CARRIED. (6:05 p.m.) Vice Chairman Daly reconvened the Anaheim Redevelopment Agency, all Agency Members being present with the exception of Agency Member Hunter. (6:58 p.m.) PUBLIC HEARING - BIENNIAL PUBLIC HEARING FOR THE PLAZA REDEVELOPMENT PROJECT AREA: Review of the Plaza Redevelopment Project Area Plan and Evaluation of the progress. Submitted was report dated July 2, 1992 from the Community Development Department recommending that the Agency conduct the hearing. Attached to the report was a summary of major activities completed in the project area during fiscal year 1990-91 and 1991-92 (Exhibit A). PUBLIC NOTICE REQUIREMENTS MET BY: Publication in Anaheim Bulletin - June 11, 1992 Mailing to property owners within 300 feet - June 18, 1992 Posting of property - June 25, 1992 and posted in four locations in the Plaza Project Area. Lisa Stipkovich, Executive Director of Community Development. State law requires that all project areas have a biennial hearing to give the opportunity to inform the public as to the status of the project. No action is required other than receiving the report and filing it. She then briefed Exhibit A of the subject report. Relative to the Redevelopment of the Plaza, negotiations are going well. An owner - participation agreement is out in draft to the representatives of CALSTRS (California State Teacher's Retirement System) and both the Donohue-Schrieber and the O'Connor Group. The only thing holding up the process is the requirement that they do a focused or supplemental EIR regarding that project. That process has started and is under way and being done currently with the negotiations for the agreement. Vice Chairman/Mayor Pro Tem Daly opened the public hearing and asked to hear from anyone who wished to speak; there being no response he closed the public hearing. Agency Member Pickler moved to close the hearing thus completing the review of the Redevelopment Plan and evaluating its progress including receiving the reports submitted by the Executive Director dated July 2, 1992. Agency Member Ehrle seconded the motion, Agency Member Hunter was absent. MOTION CARRIED. 92-54 Anahe£m C£v£c Center, ANAHEIM REDEVE/.A)PMEIT£ AGENCY J~J'LY 14, 1992, 5:00 P.M. ADJOURNMENT: Agency Member Pickler moved to adjourn the Anaheim Redevelopment Agency, Agency Member Simpson seconded the motion. Agency Member Hunter was absent. MOTION CARRIED. (7:02 p.m.) LEONORA N. SOHL, SECRETARY 92-55