RA1991/02/12211
Anaheim Civic Center, ANAHEIM REDEVELOPMENT AGENCY
February 12, 1991, 5:00 P.M.
PRESENT: AGENCY MEMBERS: Simpson, Daly,
ABSENT: AGENCY MEMBERS: None
PRESENT: CITY MANAGER: James Ruth
CITY ATTORNEY: Jack White
SECRETARY: Leonora N. Sohl
EXECUTIVE DIRECTOR OF COMMUNITY
PARKS, RECREATION AND COMMUNITY
Pickler, Ehrle and Hunter
DEVELOPMENT: Lisa Stipkovich
SERVICES DIRECTOR: Chris Jarvi
A complete copy of the agenda for the meeting of the Anaheim Redevelopment
Agency was posted at 3:50 p.m. on February 8, 1991 at the Civic Center kiosk,
containing all items as shown herein.
Chairman Hunter called the regular meeting of the Anaheim Redevelopment Agency
to order at 5:30 p.m.
MINUTES: Agency Member Pickler moved to approve the minutes of the regular
meeting held December 18, 1990. Agency Member Hunter seconded the motion.
MOTION CARRIED.
FINANCIAL DEMANDS AGAINST THE ANAHEIM REDEVELOPMENT AGENCY in the amount of
$78,390.83 for the week ending February 8, 1991, in accordance with the 1990 -91
Budget, were approved.
CONSENT CALENDAR ITEMS: On motion by Agency Member Hunter, seconded by Agency
Member Ehrle, the following actions were authorized in accordance with the
reports and recommendations furnished each Agency Member and as listed on the
Consent Calendar Agenda:
1. 123: Approving a request from King of California for a championship boxing
event to be held at Freedman Forum on March 27, 1991, on the condition that
they enter into a Conditional Use Agreement, and authorizing the Executive
Director to execute said agreement.
2. 123: Approving an agreement with Child Care Planning Associates, Inc., in
the amount of $1,200 for professional services for the preparation of a child
care needs assessment in central Anaheim. This item was removed from the
Consent Calendar for separate discussion and action.
3. 123: Approving an agreement with Walker Parking Consultants /Engineers, in
the amount of $9,000 for professional consultant services in connection with
the selection of a parking control system and a potential parking structure
operator and parking equipment for the Center Street and Civic Center parking
structures, and authorizing the Chairman and Secretary to execute said
agreement.
4. 161: Rejecting all bids for parking control equipment and drop safes for
the Agency -owned parking structure associated with the Pacific Bell
development.
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Anaheim Civic Center, ANAHEIM REDEVELOPMENT AGENCY
February 12, 1991, 5:00 P.M.
5. 137: RESOLUTION NO. ARA91 -3: Authorizing the issuance of tax allocation
refunding bonds, authorizing and directing execution and delivery of an
indenture of trust and an escrow agreement, and authorizing preparation of an
official statement, authorizing sale of bonds and authorizing official action
related thereto. This item was removed from the Consent Calendar for separate
discussion and action.
End of Consent Calendar. MOTION CARRIED.
1. 123: AGREEMENT - CHILD CARE NEEDS ASSESSMENT:
Approving an agreement with Child Care Planning Associates, Inc., in the amount
of $13,200 for professional services for the preparation of a Child Care Needs
Assessment in central Anaheim. Submitted was joint report dated February 12,
1991 from the Community Development Department and Parks, Recreation and
Community Services recommending approval of the subject agreement.
Agency Member Daly. Relative to the recommendation, he believes the previous
city -wide study done about 1 1/2 years ago adequately captured the situation of
child care in Anaheim; therefore, he intends to vote no on the proposed study.
Additional study of child care needs is not necessary. Instead it is necessary
to move ahead with the program.
Chairman Hunter. The other child care consortium he was involved in was more
of a city -wide consortium with school districts, the corporate sector and large OMMO
employers involved. The subject proposal is for Central Anaheim as it relates
to the Redevelopment Agency. He noted the Pac Bell Building is under
construction and the Lincoln Plaza Project is getting under way. When they
went forward with Pac Bell, he attended meetings where the issue of child care
was discussed and whether or not the City was going to look into doing a study
or assisting in child care. That was one of the reasons, in his opinion, that
Pac Bell decided to move 1,000 or so employees from Orange into Anaheim rather
than other cities. He asked to hear from staff.
Lisa Stipkovich, Executive Director of Community Development. Agency staff has
been working with Parks, Recreation and Community Service's staff regarding
child care needs in the downtown area. Part of the City's obligation to Pac
Bell was the establishment of a child care center. They have been looking at
potential sites, one of which is the old train station location. As part of
the negotiations with Pac Bell to come to Anaheim was the issue of day care.
One of the provisions staff assured was a child care facility within one mile
of their site. This was compatible with the City's needs as well. They have
agreed to provide some kind of child care opportunity at least one year after
Pac Bell occupies the building.
Chris Jarvi, Director of Parks, Recreation and Community Services. One of the
things that came out of the child care consortium was a recommendation that
there be a child care center in the downtown area either run privately or in
linkage with the Pac Bell operation. When the recommendation came out, a mmme
number of child care providers in Anaheim went public with the feeling there
was adequate child care in the downtown area and there was no need for
additional care. Staff feels there is still a need but staff does not want to
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Anaheim Civic Center, ANAHEIM REDEVELOPMENT AGENCY
February 12, 1991, 5:00 P.M.
be the party to qualify that need but instead have a consultant take a look and
make the determination. That is the reason for the recommendation. They did
not want to have a shouting match take place at a future Council meeting.
There are child care providers who will come to a meeting right now that would
say the City should not proceed with this project and that there is adequate
child care in the downtown area at this time. A study will determine if that
is the case. If the Council /Agency feels there is a great enough need and
staff should proceed, they would be more than happy to proceed. The
recommendation is to ensure the need is there.
Agency Member Ehrle. He is not opposing the establishment of a child care
center and feels that one should be established without spending $13,000 +
dollars on a study to determine if there is a need. There is a need and the
money could be better spent perhaps for playground equipment for the center.
Agency Member Daly. He respects staff's goal to bring in an outside expert to
verify what they believe to be true and what the previous study city -wide
determined was the need downtown. Looking at the quality child care operators,
they are overburdened. He is certain the city will be contracting with the
private sector for child care. He respects staff's recommendation in bringing
in one more expert but the City has the information it needs and he is ready to
move ahead without an additional study.
Chairman Hunter. Rather than a study the next action should be to send out
requests for proposals.
Agency Member Pickler. He feels staff is trying to determine if a center is
needed. There may be centers in the downtown area now where another center may
not be required. He thereupon moved that before proceeding, that this matter
be continued until the next Council meeting to give the Council /Agency an
opportunity to look at the issue more in depth. The motion died for lack of a
second.
MOTION: Agency Member Hunter moved the Agency has determined a study for a
Child Care Needs Assessment in Central Anaheim is not warranted since the need
is apparent in the downtown area and that staff should proceed with the program
by sending out requests for proposals. Agency Member Ehrle seconded the
motion. MOTION CARRIED.
5. 137: REDEVELOPMENT TAX ALLOCATION REFUNDING BONDS AND FINANCIAL ADVISOR
FOR THE REFUNDING:
Agency Member Daly. He believes the Agency /City relies too heavily on the
consultant assistance of a few particular firms in the area of financing. He
has nothing but the utmost respect for those firms but it is relying too
heavily on one or two points of view when there is a great deal of expertise in
the market. He prefers to see solicitation of proposals as part of the regular
process - other Bond Counsels and Financial Advisors. He will, therefore, be
voting no on the second portion of the subject item hiring the financial team
and Bond Counsel but he does support moving ahead with the proposed financing.
George Ferrone, Finance Director. Last Wednesday, it came to his attention
there was a major drop in the tax exempt interest rates. Currently, there is a
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Anaheim Civic Center, ANAHEIM REDEVELOPMENT AGENCY
February 12, 1991, 5:00 P.M.
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bond issue outstanding in Redevelopment at 8.2 %. Interest rates dropped last
Tuesday /Wednesday one quarter percent or about 140 basis points below the
current rate on that bond issue. In order to take advantage of the low
interest rate market, it was his judgement they should pull together the team
that did the latest refunding for the Redevelopment Agency - Seidler- Fitzgerald
and Jones Hall Hill and White. In order to bring this to the Agency today, he
needed to have that team do that over the weekend. Otherwise it could not have
been accomplished. Relative to the concern to go to competitive bidding on the
financing team, he will do so on the next financing issue. He would have done
it on this one if there had been time. His recommendation is to move forward
today if economics continue as they are and then come back to the Council on
March 5 with the lowest competitive bid which he believes will be in excess of
a 3 million dollar savings to the Redevelopment Agency.
Agency Member Daly asked if this was the only time refinancing could take place
over the next 30 year period; Finance Director George Ferrone answered no.
They would have the right to refinance any time over the 30 years when market
rates got this low.
Lisa Stipkovich, Executive Director of Community Development interjected and
clarified on a Redevelopment Tax Increment Bond, that in fact this is the one
chance to refund the bonds. They will not be able to refund them again unlike
other bonds.
George Ferrone. He then clarified that was correct and he was going to address
that. The reason they are proposing this action now is that the rates
currently are at 5 -year lows. In order to bring any appreciable savings, they
would have to go back down to 10 -year lows which is optimistic.
Agency Member Hunter offered Resolution No. ARA91 -3 for adoption authorizing
the issuance of tax allocation refunding bonds, authorizing and directing
execution and delivery of an indenture of trust and an escrow agreement, and
authorizing preparation of an official statement, authorizing sale of bonds and
authorizing official actions related thereto. Refer to Resolution Book.
RESOLUTION NO. ARA91 -3: A RESOLUTION OF THE ANAHEIM REDEVELOPMENT AGENCY
AUTHORIZING THE ISSUANCE OF TAX ALLOCATION REFUNDING BONDS, AUTHORIZING AND
DIRECTING EXECUTION AND DELIVERY OF AN INDENTURE OF TRUST AND AN ESCROW
AGREEMENT, AUTHORIZING PREPARATION OF AN OFFICIAL STATEMENT, AUTHORIZING SALE
OF BONDS AND AUTHORIZING OFFICIAL ACTION RELATED THERETO.
Roll Call Vote:
AYES: AGENCY MEMBERS: Simpson, Daly, Pickler, Ehrle and Hunter
NOES: AGENCY MEMBERS: None
ABSENT: AGENCY MEMBERS: None
The Chairman declared Resolution No. ARA91 -3 duly passed and adopted.
Agency Member Hunter moved to approve and authorize the chairman to sign an
agreement employing Jones Hall Hill and White as Bond Counsel, and an agreement
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Anaheim Civic Center, ANAHEIM REDEVELOPMENT AGENCY
February 12, 1991, 5:00 P.M.
employing Seidler- Fitzgerald as Financial Advisor to the Redevelopment Agency
regarding the sale of Redevelopment Tax Allocation Refunding Bonds as
recommended in joint memorandum dated February 7, 1991 from the Community
Development Department and the Finance Department. Agency Member Ehrle
seconded the motion. Agency Member Daly voted no. MOTION CARRIED.
Lisa Stipkovich, Executive Director of Community Development. She noted that
staff will then be withdrawing Item IA14 on the City Council Agenda today so
that it would not be considered which is the same item as Consent Calendar
Item 2 above.
ITEMS OF PUBLIC INTEREST:
No items of public interest were addressed.
7. 161: PUBLIC HEARING - BIENNIAL REVIEW OF ALPHA REDEVELOPMENT PROJECT AREA
AND RIVER VALLEY REDEVELOPMENT PROJECT AREA:
Review and evaluation of Alpha Redevelopment Project Area and the
River Valley Redevelopment Project Area.
LOCATION: ALPHA REDEVELOPMENT PROJECT:
Downtown Portion - North by Cypress Street, south by Broadway, east
by East Street, west by Harbor Boulevard.
Northeast Portion - North by Orangethorpe Avenue; south by the Santa
Ana River, west by the Orange Freeway (57) and east by Imperial
Highway.
LOCATION: RIVER VALLEY REDEVELOPMENT PROJECT:
On the north and east by the Yorba Linda City Limits, on the south
by the Riverside Freeway (91), and on the west by Featherly Regional
Park.
Lisa Stipkovich, Executive Director of Community Development. State law
requires that Redevelopment Agencies hold a Biennial Public Hearing to review
their work for the preceding two fiscal years. Staff has prepared reports for
the Agency and those reports are a part of the Agency's agenda packet items.
Staff is asking that the Agency receive, review and approve the reports for
information purpoass.
Chairman Hunter opened the public hearing and asked to hear from anyone who
wished to speak on either the Alpha Redevelopment Project or the River Valley
Redevelopment Project; since there was no response he closed the public
hearing.
MOTION: Agency Member Pickler moved that having held the required Biennial
Review of Alpha Redevelopment Project Area and the River Valley Redevelopment
Project Area that the agency receive and file the reports submitted on the
Biennial Review. Agency Member Ehrle seconded the motion. MOTION CARRIED.
ADJOURNMENT: Agency Member Hunter moved to adjourn. Agency Member Pickler
seconded the motion. MOTION CARRIED. (5:50 p.m.)
LEONORA N. SOHL, SECRETARY
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