09/27/1979CITY OF GRAND TERRACE
COUNCIL MINUTES
ADJOURNED REGULAR MEETING - SEPTEMBER 27, 1979
An adjourned regular meeting of the City Council of the City of Grand Terrace was
called to order at 12354 Mt. Vernon, First Baptist Church of Grand Terrace, Grand
Terrace, California, at 6:06 p.m. on September 27, 1979.
PRESENT: Tony Petta, Mayor
Thomas A. Tillinghast, Mayor Pro Tempore
Jack Allen, Councilman
Hugh J. Grant, Councilman
Seth Armstead, City Manager
John Harper, representing Ivan Hopkins, City Attorney
Myrna Lindahl, Executive Secretary/Deputy City Clerk
ABSENT: Doug Erway, Councilman
Ivan Hopkins, City Attorney
Joe Kicak, City Engineer
The meeting was opened with invocation by
Baptist Church of Grand Terrace, followed
Floyd Rinehart.
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David Burckhardt, Minister of Music, First
by the Pledge of Allegiance, led by
CONTINUED JOINT PUBLIC HEARING - CRA & CITY COUNCIL
Continued Joint Public Hearing of the Community Redevelopment
Agency and the City Council on the proposed Redevelopment Plan
and Draft Environmental Impact Report for the Grand Terrace
Community Redevelopment Project.
Mayor Tony Petta opened the Joint Public Hearing, and the
following citizens addressed the Agency and Council: Gary
Walker, 12788 Fremontia; Dolores Kossman, 22735 DeSoto; Roy
Nix, 12173 Country Club Lane; Steve Kiacz, 11809 Holly St.;
and B. E. Gigandet, 22743 Miriam Way.
The following citizens spoke against the project: Don Reeder,
12474 Vivienda Avenue; Tom Ogden, 22130 Tanager St.; Mel
Lynn, 11798 Kingston St.; Ed O'Neal, 22608 Minona Drive, stated
that he had petitions against the project with 65 citizen
signatures; and Darlene Stormes, 12218 Warbler Avenue.
The following citizens spoke in favor of the project: John
Lotspeich, 22111 Newport Avenue; and Barney Karger, 11668
Bernardo Way.
Mayor Petta temporarily closed the Joint Public Hearing and
asked Marshall Linn, Urban Futures Incorporated, to review the
program. Mr. Linn stated that, due to recent legislation, the
City of Grand Terrace could be limited to a $20,000,000.00 bond
issue, and the mortgage money would have to be used within
nine months. Mr. Linn also reviewed the SB 99 process and tax
increment financing.
RECESS
Mayor Petta called a Recess at 8:04 p.m. Council reconvened at
8:27 p.m., with all members present.
RECEIPT OF STATE CLEARINGHOUSE CORRESPONDENCE
Don Otterman, Urban Futures Incorporated, reported that a
letter dated September 21, 1979 from the State Clearinghouse
was received stating that none of the State agencies have
comments, and verifying compliance with environmental review
requirements of the California Environmental Quality Act. This
letter is on file in the Office of the Secretary of the
Community Redevelopment Agency. The Environmental Impact Report
is now complete and ready for final action.
RECEIPT OF STATE BOARD OF EQUALIZATION REPORT
Don Otterman, Urban Futures Incorporated, reported that a report
dated September 25, 1979 was received from the State Board of
Equalization showing the various utility agencies in the project
area and the assessed valuation of their improvements which
total $243,690.00. He stated that this is a technical requirement
of the Redevelopment Plan. This report is on file in the Office
of the Secretary of the Community Redevelopment Agency.
Mayor Petta asked why it is critical to take immediate action
on the redevelopment project. Marshall Linn and Don Otterman,
Urban Futures Incorporated, stated the following reasons for
the urgency: (1) State Legislature enacted AB1355, which changes
the whole aspect of mortgage revenue bond financing; (2) H R3712
will be passed for low and moderate income housing only; (3)
bonds cannot be sold for 60 days after final adoption of the
ordinance; this would allow 3 weeks in December to sell the
bonds. Waiting until January to sell the bonds involves the
risk of further restrictive legislation being passed. A
reasonable period of time needs to be given in selling the
bonds in order to get the best possible interest rate.
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Councilman Allen stated he would vote in favor of the Redevelopment
Plan for the following reasons: (1) Reports have been received
from the State Board of Realtors and the League of California
Cities that the impact on the cities involved in redevelopment
projects has been favorable. The number of cities in California
who have redevelopment projects is 197; (2) It has been studied,
analyzed and implemented by the Federal Government; (3) Stimulation
of construction of better class of home developments at better
interest rates; (4) Will provide funds for the benefit of the
entire community such as park & recreation facilities, street
improvements, storm drains, better sewage facilities, improved
police protection and fire protection, street sweeping and
lighting, community service center, improved public transportation,
and more jobs; (5) Will provide substitute for city property taxes,
which we do not have, without increasing county taxes, which we do
have; (6) The benefits will make Grand Terrace a more attractive
and desirable place to live -thus enhancing the value of the
existing homes; and (7) Neither the City nor its citizens have any
liability if there is a default in bond payments.
Councilman Tillinghast stated he would support the Redevelopment
Program for the following reasons: (1) Requested Staff to check
with other cities who have redevelopment projects - to check with
boards of realtors and property assessors regarding the values
of homes in those areas. The information that was received was
that homes have increased in value; (2) Appears to have been one
process by which more homes have been sold; in one community, for
each home that was sold under the SB99 Program, there were two
homes sold that were not under the SB99 Program.
Councilman Grant stated that he supports the Redevelopment Program,
but suggested that Staff be directed to place in a newspaper of
wide circulation a legal notice in which the text of the
Redevelopment Plan would be placed for one day - one publication,
and that the second reading of the Ordinance be delayed to the
next Council Meeting.
Mayor Petta asked City Manager Seth Armstead to read a Memorandum
from Councilman Erway, dated September 21, 1979, which he
requested be read at this meeting in his absence. The Memorandum
stated that Mr. Erway is in favor of the Redevelopment Plan and
would vote approval on the matter if he were present at the
meeting. The Memorandum is on file in the City Clerk's Office.
CONTINUED JOINT PUBLIC HEARING
Mayor Petta again opened Joint Public Hearing, and the following
citizens addressed the Agency and the Council: Mel Lynn, 11798
Kingston St.; John Lotspeich, 22111 Newport Avenue; Barney
Karger, 11668 Bernardo Way; Dolores Kossman, 22735 Desoto;
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Steve Kiacz, 11809 Holly St.; Ed O'Neal, 22608 Minona Drive.
Mayor Petta then closed the Joint Public Hearing.
RECESS
Mayor Petta called a Recess at 9:22 p.m. Council reconvened
at 9:24 p.m., with all members present.
RESOLUTION NO. 79-42
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GRAND TERRACE
CERTIFYING AS TO THE REVIEW OF THE FINAL EIR WITH RESPECT TO
THE GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT AND MAKING
CERTAIN FINDINGS WITH RESPECT TO SAID PROJECT.
CC-79-305 Motion was made by Councilman Tillinghast, seconded by
Councilman Allen and carried unanimously, by all present, to
adopt Resolution No. 79-42 as presented.
ORDINANCE NO. 25 (Second Reading)
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF GRAND TERRACE
APPROVING AND ADOPTING A REDEVELOPMENT PLAN FOR THE GRAND
TERRACE COMMUNITY REDEVELOPMENT PROJECT AS THE OFFICIAL
REDEVELOPMENT PLAN FOR SAID PROJECT.
Motion was made by Councilman Grant to instruct City Staff
to publish, in a newspaper of wide circulation, the text of
the Redevelopment Plan for the Grand Terrace Redevelopment
Project, and that the matter of consideration of this
Ordinance, the second reading, be delayed for vote for one
week. The Motion died for lack of a second.
CC-79-306 Motion was made by Councilman Tillinghast, with waiver of
the reading in full, to adopt Ordinance No. 25, as presented.
Councilman Allen seconded, with AYE votes of all present.
Mayor Petta stated that Redevelopment Plans will be placed
throughout the community, and individuals will be allowed
the opportunity to speak before Council at the next meeting.
PUBLIC PARTICIPATION
The following citizens addressed Council: Barney Karger,
11668 Bernardo Way; Mel Lynn, 11798 Kingston St.; and
Dolores Kossman, 22735 DeSoto.
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ADJOURN
The adjourned regular meeting adjourned at 9:40 p.m., with
the next regular meeting to be held October 4, 1979 at 6:00 p.m.
Respectfully submitted,
C i *ty C I e -qrkMo-&A
Approved:
x",
Mayor
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