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1964/04/107697 City Hall, Anaheim, California - COUNCIL MINUTES - April 10, 1964, 1:00 P.M. ADJOURNED REGULAR MEETING Joint Meeting of the Orange County Board of Supervisors and the Anaheim City Council was called to order by Mayor Coons. PRESENT: ABSENT: PRESENT: ABSENT: PRESENT: COUNCILMEN: Dutton, Chandler, Schutte, Krein and Coons COUNCILMEN: None SUPERVISORS: William 3. Phillips - Chairman, C. M. Featherly, David L. Baker, William 3. Hirstein, Alton E. Allen SUPERVISORS: None CITY MANAGER: Keith A. Murdoch CITY ATTORNEY: 3oseph Geisler CITY CLERK: Dena M. Williams ORANGE COUNTY DIRECTOR OF ADMINISTRAIIVE COORDINATION: David Hitchcock COUNTY COUNSEL: George Holden DEPU/Y COUNTY COUNSEL: Adrian Kuyper CLERK OF THE BOARD OF SUPERVISORS: Mabel L. Casteix Mayor Coons introduced Mr. Cedric Tallis, General Manager of the Los Angeles Angels Baseball Club, and Mr. Del Webb, President and Mr. Bob 3ohnson~ Vice President of the Del Webb Construction Company, who were present for the purpose of answering any questions concerning the construction of the stadium. Mr. Tallis addressed the Council, calling attention to an error~ cor- rected on the duplicated copies, of page seven of the proposed stadium lease~ advising that the figure "Two Million"' refers to people, and not dollars. Further~ one clause to be omitted, on page six, pertaining to a "one-year layoff". Also to be omitted is the provision concerning a percentage share of parking revenue to the club on other events. Mr. Tallis stated that they recognize the necessity of a multiple- purpose stadium, and would do everything possible to attract other permanent tenants; further, in their opinion, there will be no problem in constructing the stadium with sufficient seating capacity to open the 1966 season, and they knew from experience with the Del Webb Construction Company that they will go to any lengths to fulfill their agreement° In answer to a question raised by Supervisor Allen, concerning their contract with the Dodgers, Mr. Tallis advised that their contract provides that they must renew the contract by September 30, 1964, for the seasons 1966, 1967 and 1968, and if this is not done, they are automatically terminated at the end of the 1965 season; further, it could be assumed that if the present contract is renewed, they would probably stay a~ Dodger Stadium indefinitely, as it was fairly obvious that the land will not be available at this particular location for this period of time° Coug.cilman Krein asked if they anticipated any problems in moving the franchise from Los Angeles County to Orange County° Mr. Tallis replied that they felt certain that there would be no problem as far as the American League was concerned. Mayor CQons advised that the question was raised as to whether the project could be completed within the time limit established; also asked were questions concerning a construction-management type contract. To answer these questions~ the contractor previously referred to was asked to be present to clarify some of these points. Mayor Coons further advised that the reason the Del Webb Construction Company was contacted was first, Mr. Del Webb is an owner in the American League, being part-owner of the New York Yankees. He is Chairman of the Expansion Com- mittee and Relocation Committee of the American League. Secondly, the Del Webb Construction Company is internationally known, and has all the facilities to complete such a project. Although no committments have been made, the Del Webb Construction Company, at their own expense, has prepared ~chematic drawings of the facility, 7698 City Hgll, .A~aheim, California - COUNCIL MINUTES - April 10, 1964, 1:00 Mr. Del Webb addressed the Joint Meeting and advised that regarding the move of the franchise, he also felt there would be no problem in securing approval from the American League. Mr. Webb reported that their company has analyzed every stadium in the United States, and some in other countries, and felt that they were well-qualified in this field. Further, in their opinion, this would not be a "crash program", if the program can get started immediately° Mr. Bob Johnson addressed the Joint Meeting, reporting on a tentative schedule of construction, advising that upon the approval of schematic drawings, approximately thirty days will be required to accomplish preliminary drawings. Working drawings normally require five or six months~ however, after approximately ninety days~ there should be enough accomplished to begin excavation and the foundations. At this point, they could expect to be in a position to submit a top price of construction. The total construction would be approximately eighteen months, which to them could not be considered a crash program, and no premium time would be anticipated. Discussion and questions by the City Council and Board of Supervisors followed, and answers to certain questions were briefly as'follows~ Regarding exclusive rights, (Page 3, e, f, and g) Mro Geisler advised as to Clause "e", the landlord would not participate except as referred to.on Page 12~ where reference is made to Pay Television in a local area. Regarding sale of rights (f and g), the percentage of income to the landlord would be included in the concession rights specified on Page 8o Mro Geisler further advised that the lease in its present form is a basic concept of the lease; however, the final form and specific terminology will be worked out by the attorneys° Regarding Paragraph "e", Mr. Tallis advised that this was a normal clause :in every major league lease, because the manner in which you televise affects the drawing power. "f" is considered a basic righ%~ however in the final concept of the agreement, this might be worded a little differently. This, how- ever, is a matter of advertising in order to hold the cost of attendance to the games to a minimum. Regarding "Rent" (Page 7), and the exclusion of all-star exhibitions, charity and world series games, Mr. Tallis advised particularly in world series games~ the major part of the revenue goes to the players, and called attention to the fact that this provision would not exclude revenues tO the landlord from con- cessions or parking. Regarding "Pay Television", Mayor Coons noted that some'of the major league contracts, in the event they permit television within a fifty-mile radius, base the payment to the landlord on full attendance. Mr. Tallis stated that this was considered, however it was determined that the method set forth would be better, in that there would be no limitations to the landlord; however if the project is acceptable, in his opinion the next step would be to work out a firm lease between the parties involved, which lease could be subject to revisions of certain features. Mayor Coons announced that a Letter of Intent and a form of a proposed lease have been received, drafted on the terms which the Angels feel are equit- able to both the landlord and tenant; and if there were no other questions, the joint boards were in position to consider action. Report of necessary documents to effectuate the Angel Stadium and form a 3oint Powers Agreement was presented by Mr. Kuyper. Supervisor Baker asked Mr. Johnson how often was i% necessary, after soil tests are received, to make a change from the preliminary studies and the final draft. 7699 City Hall, Anaheim, California - COUNCIL MINU/ES - April 10, 1964, 1:00 P,M~ Mr. Johnson repliedthattheywouldnot anticipate any changes, that upon approval of the final draft, the working drawings are then completed; further, their staff includes sufficient engineers to take care of this situa- tion. Approximately sixty days after approval, excavations would be commenced, and approximately ninety days, the foundation would be started. Councilman Schutte moved that the attorneys be instructed to prepare a Resolution of Intention to enter into a Joint Powers Agreement by and between the City of Anaheim and the County of Orange, for the purpose of creating an agency to be known as "Stadium Commission", to construct and operate a stadium facility. Councilman Krein seconded the motion. Supervisor Phillips offered the same motion on behalf of the Orange County Board of Supervisors. Discussion was called for. Supervisor Allen advised that he was not ready to make a final decis- ion on this matter at the moment, because of the short period of time in which to consider the proposal and the magnitude of the expenditure; that by approving this transaction, he would be obligating the people he represented to make up any deficit that might occur. Another reasonwas that the Board of Supervisors have indicated that a bond issue would be proposed for the purpose of building a jail facility and court facility, which Were desperately needed, and he would not want to do anything that would jeopardize a favorable vote on this bond issue, For these reasons, he would like to have at least until Monday to determine the attitude of some of the people concerning this issue. Supervisor Featherly advised that he had gone over the proposal as thoroughly as possible, and felt inasmuch as the people of this County will be bound by such an agreement, they should be fully informed. As to the project, in his opinion it would be one of the finest things that could happen to Orange County; however, he was of the opinion that it was not the business of the County of Orange to place taxpayers' money in perhaps what could be termed jeopardy; that this could be properly placed with private enterprise, and until and unless the vote of the people could be obtained, as an elected representative, felt he did not have the authority of the people to proceed. Chairman Phillips referred to the discussion between the Board members held this morning, and noted that the amount of risk referred to would not amount to one cent per $100.00 assessed valuation on the County tax rate. Supervisor Phillips referred to the statistics of the area in which the Cleveland Indians are located~ as compared to the statistics of Orange County. In conclusion, Supervisor Phillips was of the opinion that this project would be a tremendous thing for Orange County, and felt that they should have the courage to forge ahead, reminding again that similar stadiums will be required by Orange State College and University of California, Irvine, and in this case,.one centrally located facility could be used by perhaps these colleges, as well as for many other purposes. Attention was also called to the publicity of Orange County that wo,~ld result from such a project. He thereupon reiterated that he was unequivocally in favor of the project, advising that he again made the motion and requested a second. Supervisor Hirstein agreed that all would like to see the ball team located in Orange County; however he felt that it was a fast move for a lot of money. Regarding obligations~ he advised that none of them have considered a sim- ilar action for less money, when considering a jail facility. Further, it was true they would welcome the people employed by the Angels to Orange County, however they, like everyone else, bring certain liabilities by their presence, and will require water, streets, school facilities, etco In his opinion, there were many things that needed more study, ones that could not make possible a quick decision; further, if he had more information and time to study the proposal, he might~ vote differently. 7700 City ~al~, Anaheim, California - COUNCIL MINUTES - April 10, 1964, 1:00 P,M, Mayor Coons related the past contacts with the'Angels, advising that as he became aware of the implications, economic and otherwise~ that were ger- mane to this question, he began to see the benefits that would be acquired by haMing a major league team here, not just to Anaheim, but to all cities in Orange County, and at this point he realized that this should be a joint powers venture between the City and County; however, he was so completely sold on having a major stadium in Orange County, would be willing %o have Anaheim proceed with this project alone. Chairman Phillips asked if the time was so critical that the Board could not have until Monday to make a final decision. Councilman Chandler stated that as far as he was concerned, if the County wanted more time to study the proposal, he would be willing to meet with them at any time, and further, as far as he was concerned, the door would be open to the County to participate in this venture at any time they make a decis- ion to do so; that apparently the City Councilwas unanimous in their decision to proceed, and he personally felt positive action should be taken at this time, Councilman Dutton stated that he has always been a champion of private enterprise, as opposed to government ownership, and as far as he was concerned, that at any time private enterprise would care to step in and take over the land- lord's position, that door would also be open. Councilman Schutte moved to approve the project and the specifications for the lease of the stadium in principle, and authorize the City Attorney and City Manager of the City of Anaheim to proceed with the acquisition of necessary property, authorizing eminent domain proceedings where necessary, and that the City Attorney's office be instructed to prepare all necessary documents to proceed with the program; further, if after further consideration by the County of Orange they d6termine to enter into the suggested joint powers agreement, they are wel- come to do so~ Councilman Krein seconded the motion. ~ Roll call vote was requested by Mayor Coons. AYES: COUNCILMEN: NOES: COUNCILMEN: ABSENT: COUNCILMEN: Dutton, Chandler, Schutte, Krein and Coons. None. None° Mayor Coons declared the foregoing MOTION CARRIED. Chairman Phillips complemented the City of Anaheim on the action taken, and advised that he hoped the County of Orange would be a part of this transac- tion, ~nd in any event, volunteered his services. ~ Supervisor Featherly complemented the City, and advised that his position did in no way reflect his personal concern; that in his opinion, the Board of Supervisors are governed under other laws, which he felt would prohibit them from putting the credit of the County of Orange into a project of this mag- nitudei without an expression from the people of the County; that this was a theory he had adhered to for many years. Mayor Coons advised that he was speaking for.the entire Council, that after further consideration, it was their sincere hope %hat the County joins the City o~ Anaheim in this venture. L /~DJOUR~ENT= Councilman Dutton moved to adjourn. Councilman Schutte seconded : the motion. MOTION CARRIED. ADJOURNMENT~ Supervisor Featherly moved to adjourn. Supervisor Hirstein seconded ~ the motion° MOTION CARRIED. (3:00 P.M.) City Clerk