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RA1994/08/02Anaheim Civic Center, ANAHEIM REDEVELOPMENT AGENCY August 2. 1994, 5 :00 P.N. PRESENT: AGENCY MEMBERS: Feldhaus, Simpson, Pickler, Hunter, Daly ABSENT: AGENCY MEMBERS: None PRESENT: CITY MANAGER: James Ruth CITY ATTORNEY: Jack White SECRETARY: Leonora N. Sohl EXECUTIVE DIR. OF COMMUNITY DEVELOPMENT: Lisa Stipkovich COMMUNITY REDEVELOPMENT COMMISSION MEMBERS PRESENT: McMillan, Bostwick, Holguin, Linn, Perreira, Renner COMMUNITY REDEVELOPMENT COMMISSION MEMBERS ABSENT: Pinson A complete copy of the agenda for the meeting of the Anaheim Redevelopment Agency was posted at 2:20 p.m. on July 29, 1994 at the Civic Center kiosk, containing all items as shown herein. Chairman Daly called the regular meeting of the Anaheim Redevelopment Agency to order at 5:35 p.m. FINANCIAL DEMANDS AGAINST THE ANAHEIM REDEVELOPMENT AGENCY in the amount of $131,091.27 for the period ending July 25, 1994 and $60,553.50 for the period ending July 29, 1994, in accordance with the 1994 -95 Budget, were approved. ADDITIONS TO THE AGENDA: There were no additions to agenda items. ITEMS OF PUBLIC INTEREST: No items of public interest were addressed. PUBLIC COMMENTS - AGENDA ITEMS: There were no public comments on Redevelopment Agency agenda items. Mayor /Chairman Daly called the joint meeting of the Redevelopment Agency and City Council to order; Chairman Paul McMillan called the adjourned regular meeting of the Community Redevelopment Commission to order, all Commission Members being present with the exception of Commissioner Pinson (5:36 p.m.) 1. 161: 5:00 P.M. JOINT PUBLIC HEARING - REDEVELOPMENT AGENCY /CITY COUNCIL /COMMUNITY REDEVELOPMENT COMMISSION TO CONSIDER AND ACT UPON THE PROPOSED RECOVERY PLAN FOR THE ANAHEIM STADIUM EARTHQUAKE DISASTER RECOVERY PROJECT: 161: REDEVELOPMENT AGENCY: Approving and adopting the Recovery Plan for the Anaheim Stadium Earthquake Disaster Recovery Project; and finding that the use of taxes allocated from the project for improving and increasing the supply of low and moderate - income housing outside the project will be of benefit to the project. Community Redevelopment Commission: Approving and adopting the Recovery Plan for the Anaheim Stadium Earthquake Disaster Recovery Project. COUNCIL: Receiving the Report to the City Council on the Proposed Recovery Plan for the Anaheim Stadium Earthquake Disaster Recovery Project; and finding that the use of taxes allocated from the project for improving and increasing the supply of low- and moderate - income housing outside the project will be of benefit to the project; and approving and adopting the Recovery Plan for the Anaheim Stadium Earthquake Disaster Recovery Project. 94 -53 Anaheim Civic Center, ANAHEIM REDEVELOPMENT AGENCY August 2, 1994, 5 :00 P.M. Submitted were reports dated August 2, 1994 from the Community Development Department to the Redevelopment Agency, Redevelopment Commission and City Council recommending approval of the subject Recovery Plan and related actions. Also submitted was binder entitled - Proposed Recovery Plan for the Anaheim Stadium Earthquake Disaster Recovery Plan under date of July 29, 1994, containing all of the documentation involved. Lisa Stipkovich, Executive Director of Community Development. She first gave a brief overview of the proceedings in terms of the required documents to be approved by the Agency /Council /Commission explaining that this is a unique situation and not a typical redevelopment project due to the 6.8 earthquake that occurred on January 17, 1994, in Southern California. (See report dated August 2, 1994 to the City Manager /Redevelopment Agency from the Community Development Department.) Significant damage was sustained in the Southern California area and specifically in Orange County at Anaheim Stadium. The Stadium's 17 ton scoreboard collapsed on 1,000 seats, some rest rooms facilities and a concession area. The Governor declared Orange County a disaster area and there is a specific section in the Health and Safety Code which allows for the adoption of a recovery plan when there has been a disaster documented by the State and Federal Government. Consultants and City staff have prepared the necessary documents and are present to answer questions of the Agency, Council, Commission or the community. The Community Redevelopment Commission took steps towards adopting the project area on July 6, 1994 when they received a draft Recovery Plan. On August 1, 1994, the Commission approved the report to the Council and have submitted it to the Council /Agency. The joint public hearing is being held tonight and if no written comments are received, staff is recommending that the Council /Agency /Commission approve the items tonight. One written objection has been received (see letter dated August 2, 1994 from Augustini & Wheeler) and that letter will be entered into the record. Therefore, the Council /Agency /Commission will not be taking action tonight. Instead, the public hearing will be held to receive testimony, the public hearing will then be closed and final consideration by the Council /Agency /Commission to be at the meeting of Tuesday, August 9, 1994. Mrs. Stipkovich then briefed all of the documents that will need to be acted upon. She explained the highest priority for the Redevelopment area is to assist in the cost of repair of earthquake damage totaling $10 to $12 million. The City has sought always to recover costs including Federal assistance, insurance loans from the Sony Corporation and other items still being pursued. About $500,000 is still currently unfunded. That is the main purpose of putting this into a redevelopment area. The City has also had to proceed to correct the damage prior to this being adopted. Staff also believes there are larger issues to be addressed in the future and even today in terms of the obsolescence of Anaheim Stadium which was built in 1966 for baseball (see binder - Part I. - A thru F - Reasons For Selection Of Project Area - page 1 -1 which was briefed by Mrs. Stipkovich). Issues of outdated and obsolescence of the Stadium have been cited as some of the reasons why the Rams are moving and there are also other issues with the Angels on what they would like to see done. 94 -54 Anaheim Civic Center. ANAHEIM REDEVELOPMENT AGENCY August 2, 1994, 5:00 P.N. The project area boundaries are very specific including only the Stadium and surrounding parking and only the property owned by the City. They do feel the damage to the Stadium and the sign is eligible for adoption as an earthquake disaster recovery project. The design and functionality of the Stadium and public improvement deficiencies, particularly circulation and parking, threatens its economic viability. The adoption of the Recovery Project would address both short term disaster mitigations and long -term design and public improvement deficiencies. Staff would work toward the preservation and development of affordable housing as well. Mrs. Stipkovich then clarified for the Mayor /Chairman, because they did receive a written objection, staff will need time to respond in writing which they believe can be done prior to the next meeting of August 9, 1994. Mayor /Chairman Daly opened the public hearing. Jeff Kirsch, 2661 W. Palais, Anaheim. He expressed his opposition to the proposed Recovery Plan noting that tax increments are not free money. He referenced portions of the reports submitted and expressed his specific concerns in several areas. He noted that the report states that the $500,000 is already being lent by the City and the real purpose of the project is explained further in the report where it states the teams currently resident at the Stadium view the modifications made to accommodate two teams (baseball and football) as not having met their expectations. They are being asked to use $9.5 million of tax increment to cover $1.5 million of repair expense. It is an inefficient overhead. Taxpayers cannot afford anymore subsidies of what private development is more than equipped to handle. Phil Knypstra, 2520 Gelid Avenue, Anaheim. If not for the earthquake, it seems it would have been impossible for this to become a redevelopment area. A question he would like to have answered - is the City /Agency using the disaster because of a flaw or technicality in the law that allows establishment of a redevelopment project area and then developing it as the City sees fit for the benefit of the Rams or Angels. That is what he feels is happening. Mayor /Chairman Daly. The questions have been noted and there will be a response before final action is taken. Mayor /Chairman Daly closed the public hearing. Mayor /Chairman Daly. Staff is not recommending any formal action this evening. All procedures are in compliance with state law which governs redevelopment activities. City Attorney Jack White. It would be staff's recommendation since the public hearing has been closed that this matter before the Community Redevelopment Commission, Redevelopment Agency and City Council be continued to a continued joint public hearing at 5:00 p.m. one week from today (August 9, 1994). Lisa Stipkovich. It would be in order to ask the City Clerk the names of the people who have submitted written objections. As far as the motion for continuance, that is what staff recommends. At that time, staff will be responding to any written comments and oral comments made tonight. 94 -55 Anaheim Civic Center, ANAHEIM REDEVELOPMENT AGENCY August 2, 1994, 5 :00 P.M. City Clerk, Lee Sohl. She confirmed one written objection has been received to the proposed redevelopment project area. Letter dated August 2, 1994 was received at 4:09 this afternoon from Alfred E. Augustini, Augustini and Wheeler, 523 W. 6th Street, Suite 330, Los Angeles 90014. He is representing Anaheim Stadium Associates (ASA). That is the only written objection received. MOTION: Agency Member Daly moved to continue subject public hearing to Tuesday, August 9, 1994 at 5:00 p.m. Agency Member Simpson seconded the motion. MOTION CARRIED. MOTION: Council Member Daly moved to continue subject public hearing to Tuesday, August 9, 1994 at 5:00 p.m. Council Member Hunter seconded the motion. MOTION CARRIED. MOTION: (Community Redevelopment Commission). Commissioner McMillan moved to continue the subject public hearing to Tuesday, August 9, 1994 at 5:00 p.m. Commissioner Renner seconded the motion. MOTION CARRIED. Commissioner McMillan moved to adjourn the meeting of the Community Redevelopment Commission. Commissioner Renner seconded the motion. Commissioner Pinson was absent. MOTION CARRIED. ADJOURNMENT: Agency Member Daly moved to adjourn, Agency Member Pickler seconded the motion. MOTION CARRIED. (6:01 p.m.) LEONORA N. SOHL, SECRETARY 94 -56