93-0706_CRA_Minutes_Regular Meeting199
JULY 6, 1993
REGULAR NCE ETING OF THE SAN JUAN CAPLSTRANO
COMMUNM REDEVEWPbCff?r AGENCY
BOARD OF DIRECTORS
The Regular Meeting of the Board of Directors of the City of San Juan Capistrano Redevelopment Agency was
called to order by Chairman Nash at 9:25 p.m. in the City Council Chamber.
ROLL CALL PRESENT: Carolyn Nash, Chairman
Jeff Vasquez, Vice Chairman
Collene Campbell, Director
Gary L. Hausdorfer, Director
Gil Jones, Director
ABSENT: None
STAFF PRESENT: George Scarborough, Executive Director; Thomas Tomlinson, Deputy Director; Richard K
Denhalter, Agency Counsel/City Attorney; Cynthia L. Pendleton, Interim Finance Officer; Cheryl Johnson,
Agency Secretary, William Huber, Director of Engineering and Building Services; Ronald C. Sievers, Director
of Public Lands and Facilities; Al King, Jr., Director of Community Services; Nancy Bernardi, Recording
Secretary.
MIIVUTFS
The Minutes of the Regular Meeting of June 1, 1993, and the Adjourned Regular Meeting of June 8, 1993, were
approved as submitted as part of the City Council Consent Calendar.
PUBLIC HEARINGS
The following Public Hearings were conducted jointly with the City Council:
1. JOINT PUBIC _]-TEARING - CONSIDERATION OF PROPOSED AMENDMENT TO
LEME AUREEMENT FOR VAQUERO WEST MERCANTILE LOCATED AT 26755
VERDUGO STREET60 M
Director Jones indicated he had a potential conflict of interest in this matter because of the proximity of his
residence to the subject property, and Director Campbell presided.
PrgRoW
Consideration of an amendment to the lease agreement between the Community Redevelopment Agency
and Vaquero West Mercantile which would defer the start of lease payments to the CRA to August 1,
1993.
AMD11Cant:
Vaquero West Mercantile
26755 Verdugo Street
San Juan Capistrano, CA 92675
CRA Minutes -1- 7/6/93
Written Communication:
Report dated July 6, 1993, from the Finance Officer, recommending that the Lease Agreement between
the CRA and Vaquero West Mercantile be amended to delay the receipt of lease payments to the CRA
by eight months to accommodate the unanticipated delay in the opening of the business.
Ms. Pendleton made an oral presentation.
Publi H
Notice having been given as required by law, Director Campbell opened the Public Hearing, and there
being no response, closed the hearing with the right to reopen at any time.
A o of ResolutionA h Amendment Vaquero W—gst Mercantile:
It was moved by Director Hausdorfer, seconded by Chairman Nash, that the following Resolution be
adopted:
RESOLUTION NO, CRA_93-7-6-1, APPROVING LEASE AMENDMENT WITH
VAQUERO WEST MERCANTILE, 26755 VERDUQO STREET. SAN JUAN
CAPISTRANO. CALIFORNIA - A RESOLUTION OF THE SAN JUAN
CAPISTRANO CONY REDEVELOPMENT AGENCY, APPROVING THE
LEASE OF CERTAIN PROPERTY WITHIN THE SAN JUAN CAPISTRANO
CENTRAL. REDEVELOPMENT PROJECT AREA TO VAQUERO WEST
MERCANTILE AND APPROVING THE LEASE AMENDMENT PERTAINING
THERETO
The motion carried by the following vote:
AYES: Directors Campbell, Hausdorfer, Vasquez, and Chairman Nash
NOES: None
ABSTAIN: Director Jones
ABSENT: None
The Resolution authorized the Chairman and Executive Director to execute the Lease Amendment on
behalf of the Agency. Lease payments shall begin August 1, 1993, at $1,295 per month, then increase
on February 1, 1994, to $4,265 per month, with the last increase on February 1, 1995, to $4,665 per
month. The total estimated rent to be paid to the Agency during the initial 10 -year period is S460,140.
Mayor Jones resumed his duties.
2. JOINT PUBLIC HEARING - REEEW OF THE CAPITAL IMPRQKF
MENT BUDGET
FOR THE SEVEN YEARS BEGINNING JULY 1. 1993, AND ENDING JUNE 30,_2(1QQ
(330�A01
Propo&
Consideration of the Capital Improvement Program for the seven-year period beginning July 1, 1993,
and ending June 30, 2000. The intent of the seven-year program is to provide consistency with the
requirements of the State Congestion Management Program and the County's Measure M Program.
Written Communication:
Report dated July 6, 1993, from the Director of Engineering and Building, forwarding the seven-year
Capital Improvement Program (CIP) as submitted, reviewed, and prioritized by the CIP Committee.
CRA Minutes -2- 7/6/93
The Report included comments and recommendations forwarded by the Planning Commission, Traffic
and Transportation Commission, Parks and Recreation Commission, and Recreation and Equestrian
Trails Commission.
Mr. Huber made an oral presentation, noting that the total budget over the seven years was
approximately 520.9 million; of that the Agency portion was approximately $1.1 million. The estimated
budget for 1993-94 was $7.2 million in City projects and $219,000 in Agency projects. He reviewed the
1993-94 highlights, including the continued design of the railroad realignment project, the multi -modal
parking deck, the railroad platform, library parking lot, basketball court lighting, Kinoshita sports field
project, Little Hollywood Housing rehabilitation, and various sewer and drainage projects. He noted
the Planning Commission had found the proposed capital improvement program to be consistent with
the General Plan, but had commented regarding the number of projects and amount of funds proposed
for the Los Rios District and the Little Hollywood area, proposed installation of street lights for Country
Hills Road, and purchase of new banner poles. He further advised that the amount budgeted for the
Multi -Modal Parking Deck under Circulation Improvements for 199495 should be corrected to
$1,091,500.
Public Hearing:
Notice having been given as required by law, Director Jones opened the Public Hearing, and the
following persons responded:
(1) George Gajdos, 31391 Via Las Palmas, requested that the $20,000 budgeted for 199495 for
Lacouague Park be funded in 1993-94. He noted that since the previous budget hearings, he
has received checks totaling more than $6,000 and pledges from residents to fund the balance
of $30,000 for the project. He stated that some residents were waiting for the City to take a
position in this matter. He noted a recent article in the Metro section of the Orange County
Register regarding do-it-yourself parks and felt that this project should take precedence over the
Library's parking lot.
(2) Pamela Murray, 31422 Corte Azul, requested that the $20,000 budgeted for Lacouague Park
be funded in 1993-94. She noted that the park would be passive and would include a tot lot and
a workout trail. She noted that the president of Warmington Homes expressed an interest in
making a significant financial contribution toward the park but is waiting to learn of the City's
position in this matter.
(3) Nancy Tall, 28522 Via Primavera, spoke in favor of the City's funding for Lacouague Park in
the 1993-94 fiscal year. She also expressed appreciation to the City for the installation of a stop
sign at Camino Lacouague and San Juan Creek Road.
(4) Dave Tall, 28522 Via Primavera, spoke in favor of the City's funding for Lacouague Park in the
1993-94 fiscal year and cited the residents' willingness to work with City staff in getting the park
implemented as soon as possible.
(5) Pauline Doleshal, 29716 Woodley Court, requested that the $28,000 budgeted for 1997-98 for
the Village Road Stamped Concrete project be funded in 1993-94 instead. She submitted a
map of homes in the area that are affected by this project, a petition dated July 6, 1993, signed
by 44 residents in the area in support of this project, and a letter dated July 6, 1993, from
Thomas H. Cannon of Associated Realtors regarding the impact of noise on property sales in
the area. She played a tape of the noise from the road.
(6) Chris Cotter, 27802 Horseshoe Bend, requested that the Golden Ridge Drainage project be
completed before the next rainy season and that staff investigate and repair damage to his
property. He summarized the history of drainage problems and slope failures that have
CRA Minutes -3- 7/6/93
W?
0
occurred on his property since the grading of the Hunt Club H project. He submitted a copy
of his comments, including related letters from his attorney and other documentation, and noted
that he has met with City staff regarding the City's responsibility in this matter.
Mr. Huber stated that the drainage issue is the City's responsibility; however, the responsibility
for the slope failures has yet to be determined. He noted that $48,000 was budgeted to install
the storm drain only, and $5,000 was needed for the investigation of the slope failures.
(7) Lon Stevens, 27792 Horseshoe Bend, noted that water also runs across his property and
concurred with the comments made by Mr. Cotter regarding the Golden Ridge Drainage
project.
There being no further input, the hearing was declared closed with the right to reopen at any time.
Board D' n:
Director Hausdorfer felt that the Golden Ridge Drainage project needed to be included in the 1993-94
budget and that City staff should investigate the reason for the slope failures. He recommended that
staff work with representatives of the Lacouague Park and Village Road Stamped Concrete projects to
provide recommendations regarding possible funding for these projects earlier than currently budgeted.
Director Jones concurred and suggested that another project be given a lower priority to be able to fund
the Village San Juan Stamped Concrete project earlier. Director Campbell urged that the Golden Ridge
Drainage project be completed immediately. Director Vasquez felt that the $20,000 for the City's
funding of Lacouague Park should be made available in the 1993-94 fiscal year because of the need for
passive parks in the community. Director Nash agreed that Lacouague Park should be funded as soon
as possible and concurred with the statements made on the other two items.
AAgption of Resolution Agj rovin_ the 1993-2000 Capital Imiprrovement Program for the_City
It was moved by Director Hausdorfer, seconded by Director Campbell, that the following Resolution
be adopted:
RESOLLMON NO, CRA ADOPTING ITAL
IMPROVEMENT PROGRAM AND AIMIORIZING EXPENDEMRES - A
RESOLUTION OF THE SAN JUAN CAPISTRANO COMMUNITY
REDEVELOPMENT AGENCY, ADOPTING APPROPRIATIONS AND
AUTHORIZING EXPENDITURES RELATED TO THE 1993-2000 SEVEN-YEAR
CAPITAL IMPROVEMENT PROGRAM
The motion carried by the following vote:
AYES: Directors Campbell, Hausdorfer, Jones, Vasquez, and Chairman Nash
NOES: None
ABSENT: None
Staff was directed to:
(1) Include funding for the Golden Ridge Drainage project in the 1993-94 fiscal year and to
complete the project before the nead rainy season.
(2) Investigate the slope damage at the Cotter property.
CRA Minutes
-4-
7/6/93
2 0f.
(3) Work with representatives of Village San Juan regarding the Stamped Concrete project and
residents regarding the Lacouague Park project to provide recommendations to the Council
regarding possible funding alternatives to complete these projects earlier than currently
budgeted.
3. JOINT PUBLIC HEARING - ADOPTIQN OF THE FISCAL BUDGET FOR THE FIVE
YEARS BEGINNING JULY 1. 1993, AND ENDING JUNE 30.1998 (CONTINUED FROM
JUNE 15. 1993) !330.241
Prg=al
Consideration of a proposed balanced budget for fiscal years 1993-94 through 1997-98 for adoption. The
Public Hearing was continued from the hearings of June 8 and June 15, 1993.
Written mm i
Report dated July 6, 1993, from the Executive Director, forwarding the proposed five-year balanced
budget for adoption by the Board.
Mr. Scarborough provided a brief overview of the budget. Ms. Pendleton noted that staff was awaiting
the State's decision regarding the allocation of sales tax revenues to cities.
Public Hearing:
Notice having been given as required by law, Director Jones opened the Public Hearing, and there being
no response, closed the hearing with the right to reopen at any time.
A jgplio of Resolution Approving the O rpe sting Bu et for Fiscal Years 1993-94 through 1997-98
It was moved by Director Hausdorfer, seconded by Director Campbell, that the following Resolution
be adopted:
RESOLUTION NO. CRA 93-7-6-3. ADOPTION OF FISCAL BUDGET. 1993-98 -A
RESOLUTION OF THE SAN JUAN CAPISTRANO COMMUNITY REDEVEL-
OPMENT AGENCY, ADOPTING A FIVE-YEAR FISCAL PROGRAM AND
OPERATING BUDGET AND AUTHORIZING EXPENDITURES AND
APPROPRIATIONS RELATED THERETO
The motion carried by the following vote:
AYES: Directors Campbell, Hausdorfer, Jones, Vasquez, and Chairman Nash
NOES: None
ABSENT: None
1. RECEIVE AND FILE WARRANTS OF JUNE 25. 1993 (340.34)
It was moved by Director Jones, seconded by Director Hausdorfer, and unanimously carried that the
List of Demands dated June 25, 1993, in the total amount of $322,525.15 be received and filed.
2. RECEIVE AND FILE CASH BALANCES BY FUND FOR MAY 1993 (330.50)
The Finance Officer's Report of Cash Fund Balances for the month of May 1993 in the total amount
of S-17,603.12 was received and filed.
CRA Minutes -5- 7/6/93
1~04
5,
Written Communication:
Report dated July 6, 1993, from the Finance Officer, recommending that the Agency/City rotate auditors
every five years and summarizing the proposals received from five firms that met the criteria outlined
in the Report. Staff recommended that the firm of Diehl, Evans & Company be retained to conduct
the annual audits of the Agency/City for a five-year period.
Ms. Pendleton made an oral presentation.
Director Vasquez inquired about the term of the contract and was advised that the 5 -year term allows
a period for orientation of the new auditors to the City's system, after which more time would then be
spent by the auditors in evaluating the City's system and providing input. Ms. Pendleton noted that a
five-year contract is considered standard in the industry. Director Vasquez suggested that a three-year
contract with a two-year renewal option be considered in order to create opportunities for the less
experienced firms. Director Hausdorfer concurred with the contract revision in order to review the
auditors' performance sooner than five years, noting the problems encountered by the Cities of Newport
Beach and Orange.
Aar v of —Agreement i Evans & Coinguyr Annual Auditing Services,:
It was moved by Director Campbell, seconded by Director Jones, and unanimously carried that the
Agreement for Annual Audit Services be approved between the Community Redevelopment Agency and
Diehl, Evans &. Company, as amended, for a three-year period (fiscal years 1992-93 through 199495),
with a two-year renewal option; and, that a policy be adopted requiring the mandatory rotation of the
Agency's independent auditors every five years. The Chairman and Agency Secretary were authorized
4. ACCEPTAKE OF 1991-92 &UDIT AND FINANCIAL REPORT U10.4%
Written Communication:
Report dated July 6, 1993, from the Finance Officer, forwarding the Annual Financial Report for the
period ending June 30, 1992, for acceptance.
Acceplance of1991- Financial R
It was moved by Director Hausdorfer, seconded by Director Jones, and unanimously carried that Audit
and Financial Report for the period ending June 30, 1992, by the Agency's independent auditors,
Moreland and Associates, be accepted.
A
The Board recessed to the Council meeting at 9:35 p.m. and reconvened in Closed Session at 10:25 p.m. for
discussion of property matters per Government Code Section 54956.8 (26832 Ortega Highway, Darnold/EI Peon;
31762 Camino Capistrano, Don Julian Imports; AP 666-30-107, Gary Pfleger), the Agency Secretary being
excused therefrom, and reconvened at 11:45 p.m.
CRA Minutes
-6-
7/6/93
There being no further business before the Board, the meeting was adjourned at 11:45 p.m. to the next regular
meeting date of Tuesday, July 20, 1993, at 7:00 p.m. in the City Council Chamber.
Respectfully submitted,
CHERYL JOHN N, 4VENCY SECRETARY
ATTEST:
OLYN ASH, CHAIRMAN
CRA Minutes -7- 7/6/93