City of Brentwood
Home PageContact Us!Back

City Administration
Redevelopment Agency
City Council Members | Calander of Events | Council Current Agenda
Council Past Agendas | Council Meeting Minutes | Council Voting Log
RDA Current Agenda | RDA Past Agendas | RDA Meeting Minutes
RDA Voting Log | Elections
Meeting Minutes
MINUTES
CITY OF BRENTWOOD
REDEVELOPMENT AGENCY MEETING
June 10, 2003

A regular meeting of the Redevelopment Agency of the City of Brentwood was called to order at 8:50 p.m. in the Council Chambers located at 734 Third Street, with Chairman Swisher presiding.

Present: Members Beckstrand, Gutierrez, Hill, Petrovich, Chairman Swisher
Absent: None

AGENDA REVIEW – None.

CITIZEN COMMENTS – None.

CONSENT CALENDAR

1. Approve Minutes of May 13, 2003.

2. Approve Warrant Nos. 71674, 71895, 71904, 71913, 71943, 71949, 71954, 71997, 72017, 72016, 72023, 72034, 72049, 72202, 72347, 72335, 72348, 72262, 72326, 72481, 72563, 72666, 72669, 72701, 72709, 72779, 72783, 72800.

3. Authorize the Executive Director to execute a Professional Services Agreement for redevelopment consulting services with Seifel Consultants, Inc., in an amount not to exceed $45,000 for the 2003 04 fiscal year. Pulled for discussion

4. Authorize the Executive Director to terminate existing and execute a new Professional Services Agreement for Legal Services with McDonough, Holland & Allen in an amount not to exceed $70,000 for the 2003-2004 fiscal year. Pulled for discussion

5. Approve a temporary use of Agency-owned property for CornFest 2003 parking from July 9 through July 13, 2003.

It was moved/seconded by Hill/Beckstrand to approve Consent Calendar items 1, 2 and 5 as recommended by staff. Motion carried unanimously.

Item 3 Authorize the Executive Director to execute a Professional Services Agreement for redevelopment consulting services with Seifel Consultants, Inc., in an amount not to exceed $45,000 for the 2003 04 fiscal year.

Agency Member Petrovich said he did not approve of the $45,000 retainer.

Redevelopment Analyst, Gina Rozenski, stated that as the Agency would ask the consultant to perform as needed services. When the Agency began to use Seifel Consulting, they entered into a retainer type of agreement for as needed services such as proforma and market analysis, tax increment projection and other redevelopment functions. It prevented entering into individual agreements throughout the year when the Agency needed services.

Agency Member Petrovich asked if the $45,000 was paid up front and Analyst Rozenski said it was not and the Agency was billed on a monthly basis. If only $35,000 worth of services were used during the year, then only $35,000 would be billed to the Agency.

Agency Member Gutierrez asked how the Housing Manager position would tie in and Analyst Rozenski responded that in looking at a development budget, Redevelopment wanted an outside consultant to verify that those were the costs that were market driven and that they were not being made up by the developer to show a larger affordability gap and larger request for Agency assistance. The Housing Manager would be using Seifel and Associates for those types of services and a $45,000 per year agreement would be for both Redevelopment and Housing.

It was moved/seconded by Hill/Petrovich to strike the retainer phrase from the contract and use it as a professional service contract. Motion carried unanimously.

Item 4 Authorize the Executive Director to terminate existing and execute a new Professional Services Agreement for Legal Services with McDonough, Holland & Allen in an amount not to exceed $70,000 for the 2003-2004 fiscal year.

Agency Member Petrovich expressed his opposition to Item 4.

It was moved/seconded by Gutierrez/Hill to approve the Professional Services Agreement with McDonough, Holland & Allen. Agency Member Petrovich opposed. Motion carried.

PUBLIC HEARINGS

6. Approve Resolution to Adopt the Redevelopment Agency of the City of Brentwood’s 2003/04 and 2004/05 Budget and Authorize Expenditures for Fiscal Years 2003/04 and 2004/05.

Redevelopment Analyst, Gina Rozenski, stated that the fund balance for the Redevelopment Agency for June 30, 2003, was $14,394,000, which was comprised of bond proceeds of $10.5 million; general fund administration $1.2 million; debt service fund of approximately $900,000 and the Housing fund balance was $1.8 million. Increasing had historically ranged from 11 to 18 percent in tax increment revenues and she projected a 10.7 percent increase over the next two years and the increases were related to the two percent inflationary increase allowed by Proposition 13. Ownership changes and property within the project area or new construction or rehabilitation would change property values and changed the tax increment revenues. Other revenues received by the Agency were investment income and revenue from land sale proceeds directly related to the Sunset Industrial Complex and as the properties were being sold, the Redevelopment Agency would be reimbursed $3 million for the investment in infrastructure.

Expenditures over the next two years supported upcoming redevelopment programs, she said, which included $4.2 million in capital improvements in the redevelopment project area and included initiation of planning for the redevelopment of Oak and Walnut; implementation of a business assistance program to the Sunset Industrial Complex; Phase II of the downtown retail parking structure study and, if approved, implement a parking structure project to negotiate a reimbursement agreement for roadway improvements at the Central Business Park and the reimbursement agreements for the Sand Creek Business Park and Gregory Ranch and to formulate and implement long term strategies to expand the commercial/industrial retail and housing opportunities in the project areas. There were two different pass-through payments that were statutory and negotiated and the negotiated pass-throughs would be increasing substantially and the ERAF payment would increase. The current Senate version of the State budget included a $250 million pass-through from the Redevelopment Agency and would be $280,000 for the Agency. Debt obligations were for the 2001 tax allocation bond proceeds as well as certificates of participation and the certificates of participation payment would expire next year.

Chairman Swisher opened the public hearing.

It was moved/seconded by Swisher/Hill to close the public hearing. Motion carried unanimously.

RESOLUTION NO. RA-69

A RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF BRENTWOOD ADOPTING ITS 2003/04 and 2004/05 BUDGET AND AUTHORIZING EXPENDITURES FOR FISCAL YEAR 2003/04.

It was moved/seconded by Hill/Gutierrez to waive full reading of Resolution No. RA-69 and approve as recommended by staff. Motion passed by the following vote:

AYES: Agency Members Beckstrand, Gutierrez, Hill, Chairman Swisher
NOES: Agency Member Petrovich
ABSENT: None
ABSTAIN: None

7. Approve Resolution to Authorize the Executive Director to execute the Affordable Housing Contribution Agreement for the development of an eight-unit apartment complex in the Downtown Redevelopment Project Area.

Chairman Swisher declared a potential conflict and left the Chamber.

Redevelopment Analyst, Gina Rozenski, explained that Mr. and Mrs. Arteaga had applied for and received Planning Commission approval for an eight-unit complex on First Street. In accordance with the Health and Safety Code, it required a 15 percent affordable housing restriction on any houses or dwelling units built within the project area, which resulted in two of the eight units being affordable; one for very low income and the other for low income and would be restricted for a period of 55-years. Approximately 20 percent of annual tax increment revenues were deposited into the Agency housing fund and used for improving, preserving and increasing affordable housing and were the primary funding source to assist the financial burden that was placed on housing developers when dwelling units were built within a project area. A financial analysis was performed to determine the potential loss of value imposed on the project by the 25 percent affordability restriction. After meeting with the representative of the owner, it was agreed that by the Agency paying for the City and delta expressway fees, in an amount not to exceed $87,000, the financial burden of the 25 percent affordability restriction would be reduced giving the owners a return on costs similar to the market rate scenario. To secure the Agency contribution to the project and to ensure that the units were built, several conditions had been placed on the project and if the conditions were not met by the owners, the owner and the Agency staff had agreed that the contribution of $87,000 would convert to a loan immediately, with a term of four years at five percent simple interest and the owners had agreed to the terms.

AGENCY RESOLUTION NO. RA-70

RESOLUTION OF THE REDEVELOPOMENT AGENCY OF THE CITY OF BRENTWOOD APPROVING AND AUTHORIZING THE EXECUTION OF AN AFFORDABLE HOUSING CONTRIBUTION AGREEMENT BETWEEN THE REDEVELOPMENT AGENCY AND ROBERTO AND ESTHER ARTEAGA

It was moved/seconded by Gutierrez/Hill to waive full reading of Resolution No. RA-70 and approve as recommended by staff. Motion passed by the following vote:

AYES: Agency Members Beckstrand, Gutierrez, Hill Petrovich
NOES: None
ABSENT: None
ABSTAIN: Chairman Swisher

Chairman Swisher returned to the Chamber.

8. Authorize the Executive Director to negotiate and execute a Professional Services Agreement with Watry Design, Inc., and CHS Consulting Group to perform parking studies and to develop parking management strategies and policies for the Downtown Specific Plan Parking Element, in an amount not to exceed $45,000, and approve a Resolution authorizing the Agency Treasurer to use funds from the Redevelopment Agency of the City of Brentwood Tax Allocation Bonds, Series 2001, to fund this Agreement.

Community Development Director, Mitch Oshinsky, stated that the Agency had recently approved a contract to prepare a specific plan for the downtown area, Brentwood Boulevard corridor and the Empire Triangle and Watry had been working on the downtown. The intent was to rely on a consultant that was already working on the parking structure analysis for the downtown and a separate contact would be executed for them. Staff had previously done analysis for existing downtown parking conditions and there had never been a detailed analysis of future or current parking needs as generated by different types of land uses and that analysis was critical to understanding and successfully providing adequate parking over the long term for the downtown. Staff recommended that the Agency authorize the Executive Director to negotiate and execute the agreement for the parking study.

Agency Member Hill disagreed and asked about additional expenses regarding the project. He said he believed that there had been some internal analysis done in support of Watry efforts and he did not agree that $45,000 more should be spent.

Agency Member Petrovich agreed with Agency Member Hill.

Agency Member Gutierrez asked if another consultant had been hired to do the work and if there were gaps that needed to be filled and noted that the downtown analysis had included a bit of parking.

Director Oshinsky said that in the scope of work for the downtown specific plan, staff relied on the availability of parking consultant services from Watry Associates and they had prepared analysis on feasibility and alternative locations for the proposed downtown parking garage. Staff would review the Watry scope of work and identify any additional tasks needed to complete the downtown plan. There was also a provision in the contract for additional scope of services on economics to come from Gruen and Gruen Associates. Director Oshinsky said he had worked with the Economic Development Sub-Committee and discussed and compared two proposals. Additional services had not been listed in the fiscal impact at that time.

Agency Member Hill asked why the additional services were not listed if it was contemplated in the scope of work and Director Oshinsky noted that staff had brought forth the one contract for the specific plan and it was raised that there would be additional expenses and he did not know at that time what the additional costs would be since the proposal from Watry had not been received.

Agency Member Hill said he was opposed to that approach and that the developer enticed the Agency to obtain the work. He had ultimately supported the vote to move forward with them and had asked if there would be additional expenses and was told that there would not be. He said he believed that Watry should absorb the costs.

Director Oshinsky said that Community Development was working with Engineering to see if there were areas of service that could be assumed and Engineering staff could assist and the cost of the scope could be reduced by between $8,000 and $12,000

Agency Member Hill said it was a $400,000 contract to begin with and he was opposed to it.

It was moved/seconded by Hill/Petrovich to deny authorization of the Executive Director to negotiate and execute a Professional Services Agreement with Watry Design, Inc., and CHS Consulting Group. Motion carried unanimously.

9. Approve a Resolution certifying that improvements have been completed on property at 450 Sand Creek Road, located within the North Brentwood Redevelopment Project Area, to be purchased for personal residential use by an Officer of the Redevelopment Agency, in accordance with Health & Safety Code Section 33130.5.

Agency Member Beckstrand declared a potential conflict.

Redevelopment Analyst, Gina Rozenski, said that according to the Health and Safety Code, an Agency Member was precluded from acquiring any interest in property in a Redevelopment Project Area. The exception to that conflict was when an Agency Member purchased a parcel or property for personal residential use, they may do so within a project area after they had disclosed that purchase and upon the Agency’s certification by Resolution that no further improvements needed to be made to the property. Vice Chair Beckstrand had provided written disclosure that she had purchased a new, primary residence located at 450 Sand Creek Road, which was within the North Brentwood Project Area. A housing inspection had been performed and it was indicated by the building inspector that no further improvements needed to be made to the property. She said that she had notified the legislative body of the Agency, which was the Council, and the Agency needed to take action by certifying by resolution that there were no further improvements that needed to be done to the property that had been purchased by the Agency Member.

RESOLUTION NO. RA-71

A RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF BRENTWOOD CERTIFYING THAT IMPROVEMENTS HAVE BEEN COMPLETED ON CERTAIN PROPERTY TO BE PURCHASED FOR PERSONAL RESIDENTIAL USE BY AN OFFICER OF THE REDEVELOPMENT AGENCY OF THE CITY OF BRENTWOOD AND MAKING FINDINGS IN CONNECTION THEREWITH

It was moved/seconded by Petrovich/Swisher to waive full reading of Resolution No. RA-71 and approve as recommended by staff. Motion passed by the following vote:

AYES: Agency Members Gutierrez, Petrovich, Chairman Swisher
NOES: None
ABSENT: None
ABSTAIN: Agency Members Hill and Beckstrand

Agency Member Beckstrand returned to the Chamber.

INFORMATIONAL REPORTS FROM AGENCY MEMBERS – None.

REQUESTS FOR FUTURE AGENDA ITEMS – None.

ADJOURNMENT

It was moved/seconded by Swisher/Hill to adjourn the Redevelopment Agency meeting. Motion carried unanimously.

There being no further business the meeting was adjourned at 9:19 p.m.

Respectfully Submitted,

Cynthia Garcia
Assistant City Clerk
City Administration
City of Brentwood City Council
150 City Park Way
Brentwood, CA 94513
(925) 516-5440
Fax (925) 516-5441
E-mail allcouncil@brentwoodca.gov