RA1976/01/06ANAHEIM COMMUNITY DEVELOPMENT C01 IISSION 76_1
January 6, 1976, (1:00 P.M.)
Council Chamber
Anaheim City Hall
PRESENT: COMMISSIONERS: Kaywood, Seymour, Pebley (entered 1:08 P.M.)
Sneegas and Thom
ABSENT: COMMISSIONERS: None
PRESENT: EXECUTIVE DIRECTOR: Keith A. Murdoch
ASSISTANT CITY MANAGER: William 0. Talley
-- CITY ATTORNEY: Alan R. Watts
DEPUTY CITY CLERK: Linda D. Roberts
COMMUNITY DEVELOPMENT DIRECTOR: Knowlton Fernald
INTERIM ASSISTANT DIRECTOR- REDEVELOPMENT: Dan D'Urso
HOUSING DIRECTOR: Rosario Mattessich
ASSOCIATE PLANNER: Ron Contreras
COMMUNITY DEVELOPMENT ECONOMIST: Sybil Silverman
Chairman Thom called the Regular Meeting of the Anaheim Community
Development Commission,to order at 1 :00 P.M. for the purpose of
sitting as the Anaheim Redevelopment Agency and the Anaheim
Housing Authority.
MINUTES Approval of the minutes of the Community Development Commission
Regular Meetings held December 23 and 30, 1975, and Adjourned Regular
Meeting held December 23, 1975, was deferred to the next meeting.
REPORT -FINANCIAL DEMANDS AGAINST THE COMMUNITY DEVELOPMENT COMMISSION:
Demands against the Redevelopment Agency and the Housing Authority,
in the amounts of $8,878.50 and $836.83 respectively, in accordance
with the 1975 -76 Budget, were approved.
I. ANAHEIM REDEVELOPMENT AGENCY: The following matter was considered
by the Anaheim Redevelopment Agency:
EMPLOYMENT OF EIR CONSULTANT - DOWNTOWN PROJECT ALPHA REDEVELOPMENT PLAN
AMENDMENT Community Development Director Knowlton Fernald briefed his
memorandum report dated January 2, 1976 (copies furnished each Com-
missioner), advising that the recommendation of the Redevelopment
Staff and the Community Redevelopment Commission was that Envista,
an Anaheim firm, be selected to prepare the Environmental Impact
Report (EIR) for the downtown Project Alpha redevelopment area, as
approved in concept by the Redevelopment Agency on December 23, 1975.
Also noted was an alternate selection, Ultrasystems, Inc., of Irvine,
California. He further reported that out of the 7 firms making a
proposal for the consulting services required, 3 were selected by the
Redevelopment Staff to make presentations to the Community Redevelop-
ment Commission with the resulting recommendation to the Redevelopment.
Agency today. He noted the rather critical time schedule projected
calls for the EIR and a General Plan Amendment to be considered in
February, and a Redevelopment Plan Amendment in March.
In reply to question raised by Commissioner Kaywood, City Attorney
Alan Watts called attention to the report mentioned earlier, wherein
it was noted that the Deputy City Attorney had suggested an alternate
selection be recommended, and he advised that the principal owners
of Envista, Tyr. Dan W. Heil and Mr. William C. Stookey are also
principal owners of Willdan Associates, the engineering firm which
owns the building at 125 South Claudina Street, and property at the
corner of Anaheim Boulevard and Broadway, both located within down -
town Project Alpha. The concern was whether, under the Political
Reform Act, there might be a potential conflict of interest if
Envista were retained by the City as consultants for preparation of
the EIR which probably would include land owned by another company
with the same majority owners.
(Commissioner Pebley entered the meeting, 1 :08 P.M.)
For these purposes, the Political Reform Act defines a consultant
as a public official, and the Act basically provides that a public
official is not to participate in, nor make any recommendation on any
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Community Development Commission Minutes- January 6, 1976,1:00 P.M.
Anaheim Redevelopment Agency, Continue
decision concerning something in which he may have a direct or indirect
financial interest. The ownership of real property in excess of
$100,000 value would constitute "financial interest ", so prohibited.
ivir. watts rurtner aavi.sed that the issue is raised by the City
Attorney's Office because, should any litigation be filed as a re-
sult of the selection of Envista, it could hamper the extremely
close time schedule for preparation of the EIR.
Commissioner Kaywood was of the opinion it would be prudent to
omit Envista from consideration for the reasons just expressed. m om
In response to question by Commissioner Kaywood, Mr. Fernald
reported that the amounts quoted were as follows: Envista $8,400.00,
and Ultrasystems, Inc., up to a maximum of $13,650.00. The depth of
the study should be the same, regardless of which firm does the work.
It had been his recommendation to the Community Redevelopment Com-
mission that Ultrasystems, Inc., be selected based on their record
and on his personal familiarity with their work on similar projects.
Commissioner Kaywood asked whether subject EIR would be the
fundamental report on which all redevelopment projects in the area
would be based.
Mr. Fernald advised that subject report actually would constitute
a supplement to the present EIR for Project Alpha, and completion
within a 30 -day time period is very important, as was promised by
each consultant submitting a proposal. Equally important is that
the report be prepared in such a manner so as to protect the Re-
development Agency from a successful challenge to the EIR. The
concept presented by Envista and by Ultrasystems, Inc., was to
prepare a master EIR along the lines of "worst case ", so that all
projects should fit into the basic plan and probably proceed under
a negative declaration or with a minor supplemental EIR.
In response to question by Commissioner Seymour, Mr. Fernald
advised that the third consulting firm which made a presentation to
the Redevelopment Commission, Phillips Brandt Reddick (PBR) sub -
mitted the low quotation, $6,300.00; however, he personally rated
that firm third inasmuch as he felt they did not have specific
experience with redevelopment projects, although they had expertise
in master planning projects. Out of 14 firms solicited, 7 responded
with quotations.
Sybil Silverman, Community Development Economist, advised that
each of the 3 firms selected made presentations to the Community
Redevelopment Commission, answering extensive questions, and the
Commission also ranked PBR third. This company had no experience
in redevelopment areas, and only limited experience in terms of
urban or downtown'areas; however, they had extensive experience in
planning new areas, master planning and general planning. Envista
and Ultrasystems, Inc., have been involved in numerous redevelopment
and master planning projects.
Commissioner Seymour pointed out that PBR submitted the low
quotation, and there was no potential conflict of interest involved;
Ultrasystems, Inc., submitted a quotation in an amount more than
double that of the PBR quotation.
Mr. Fernald stated he felt very strongly that in the employment
of a professional consultant, the City should take the position of
selecting the firm which will do the kind of job that is desired.
A really good document can save the City a great deal of trouble as
well as speed up the redevelopment process in the future. He reiter-
ated support of Ultrasystems, Inc.
Ms. Silverman called attention to the fact that although there
is available considerable information on the downtown area, there
is no developed information on noise and air pollution as they re-
late to downtown. Ultrasystems, Inc., has in -house capabilities
in these areas, while it would be necessary for PBR to employ out-
side consultants for these services.
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Community Development Commission Minutes- January 6, 1976, 1 :00 P.M,
Anaheim Redevelopment Agency, Continued
Commissioner Kaywood referred to Mr. Fernald's report to the
Redevelopment Commission where benefits of the proposed master EIR
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costs for the developer by precluding the preparation of a costly
environmental, impact report. She inquired whether this would be of
any benefit to the City.
Mr. Fernald replied that in the past developers have contracted
for preparation of necessary environmental impact reports, and in
attempting to accelerate projects in these areas, it was realized
that a significant amount of time would be saved by utilizing a
master EIR, which would be beneficial.
At the request of Commissioner Sneegas, Associate Planner Ron
Contreras reported that quotations received from the other four
firms amounted to $7,098.00, $12,000.00, $10,650.00 and $35,902,00,
respectively.
Ms. Silverman pointed out that a master EIR such as is proposed,
is significant for the redevelopment area, and if individual reports
are required for each project, costs to the City will range from
$3,000 to $5,000 or more for each. If the master EIR is not of
excellent quality, additional reports will be necessary, also in-
creasing costs.
In answer to questions by Chairman Thom and Commissioner Seymour,
she further reported that the reason PBR was included on the report
was to reflect the fact that they were rated third out of the three
firms which made a presentation.
Commissioner Thom moved to instruct the City Attorney to prepare
an agreement with PBR of Irvine, California, to provide consulting
services for the preparation of an EIR for the downtown Project Alpha
redevelopment plan in the amount of $6,300.00.
Mr. Dan W. Heil, Vice President and one of the owners of Envista,
and also one of the principals of Willdan Associates, requested per-
mission to address the Agency. He advised they own the building at
125 South Claudina Street, as well as a vacant lot at the corner of
Broadway and Anaheim Boulevard, which lot they purchased during dis -'
cussion with the City for possible acquisition of their property at
125 South Claudina Street. He noted they were concerned Anaheim
residents who originally established their corporation in the City,
and stated it was their belief that there was no conflict of interest.
Chairman Thom stated that he appreciated the position of Envista.
Commissioner Seymour concurred, however, he stated that if a
qualified attorney could give the opinion that no conflict of interest
exists, he would be willing to consider the proposal by Envista.
Executive Director Keith Murdoch pointed out that even if such
a statement were to be made by an attorney, the appearance of a pos-
sible conflict would remain. The concern is that this is an area
very much open to a legal challenge, and in order to meet the time
schedule, it was felt that to select Envista would be an extremely
unwise action to take. The Community Redevelopment Commission
recommended an alternate selection, Ultrasystems, Inc.; PBR was
mentioned as having made an appearance before that Commission.
Attention was called by Commissioner Seymour to a portion of
Mr. Fernald's report to the Community Redevelopment Commission dated
December 23, 1975, which included the statement that three firms
appeared to have superior expertise in technical knowledge for the
preparation of subject environmental impact report.
Mr. Murdoch noted that said report was made prior to the verbal
presentation at the Commission meeting and today's report to the
Redevelopment Agency mentions PBR as having appeared before the
Redevelopment Commission.
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Community Development Commission Minutes -January 6, 1976, 1 :00 P.M.
An aheim Redevelopment Agency, Continue
In response to question by Commissioner Seymour, Mr. Fernald
advised that there was a split 5 to 2 vote by the Community Redevelop-
ment Commission in recommending Envista, and a similar discussion had
been held at that time pertaining to the ru5oiuiliL "f a :.f
interest.
Commissioner Seymour seconded the motion for the selection of
PBR to act as consultants for the EIR.
Commissioner Kaywood expressed the opinion that if a deficient
EIR is prepared for the project area, it will be a waste of time and
.more funds will be lost than the amount of difference between quota-
tions of PBR and the other two firms.
The motion was restated (instruct City Attorney to prepare an
agreement with PBR, Inc. for preparation of a subsequent EIR for
the Project Alpha redevelopment plan in an amount of $6,300.00). To
this motion, Commissioner Kaywood voted "no ". MOTION CARRIED.
II. ANAHEIM HOUSING AUTHORITY The following matter was considered
by the Anaheim Redevelopment Agency.
HUD SECTION 8 UPDATE -REPORT, DECEMBER, 1975 Mr. Rosario Mattessich,
Housing Director, synopsized his December Report (copies furnished
Commissioner), advising that 15 certificates of family participation
had been issued, with an expectation that 35 will be issued during
the month of January, 1976, bringing the City to 70% of its alloca-
tion. By March, it is expected that all certificates which were
allocated will have been issued, and the first year's program will
be complete by June. Inasmuch as over 400 applications for the 200
units allocated were received, he recommended that new applications
be suspended during the completion of the current year's program.
The report further outlined the accumulative breakdown of 0=4
certificate activities to date, including the percentages thereof
which involved minority families, and the percentage of low - income
families.which was considerably in excess of program requirements.
Mr. Mattessich noted that the impact of the program on the
structure of rental rates in the City has been minimal, with approved
rentals running approximately 2.6% above previous rents charged.
Landlords participating in the program make a one -year commitment
.during which rents cannot be raised.
On motion by Commissioner Sneegas, seconded by Commissioner
Kaywood, new applications for participation in the current year
Housing Assistance Program were suspended effective January 15,
1976. MOTION CARRIED.
There being no further business before the Anaheim Redevelopment
Agency or the Anaheim Housing Authority, Chairman Thom entertained
the motion to adjourn the Community Development Commission.
ADJOURNMENT Commissioner Seymour moved to adjourn. Commissioner
Kaywood seconded the motion. MOTION CARRIED.
ADJOURNED: 1:40 P.M.
ALONA M. HOUGARD, SECRETARY, ANAHEIM COMMUNITY DEVELOPMENT COMMISSION
By ��,�.�J .�• C? C.�Pea Deputy