90-1030_CC_Minutes_Special MeetingOCTOBER 30, 1990
SPECIAL MEETING OF THE CITY COUNCIL
OF THE CITY OF SAN JUAN CAPISTRANO, CALIFORNIA
The Special Meeting of the City Council of the City of San Juan Capistrano, California,
held jointly with the Community Redevelopment Agency, was called to order by Mayor
Hausdorfer at 8:02 a.m., in the City Council Chamber, to consider the proposed
acquisition of the Kinoshita property.
ROLL CALL PRESENT: Gary L. Hausdorfer, Mayor
Anthony L. Bland, Mayor pro tem
Lawrence F. Buchheim, Councilman
Kenneth E. Friess, Councilman
Phillip R. Schwartze, Councilman
ABSENT: None
STAFF PRESENT: Stephen B. Julian, City Manager; John R. Shaw, City Attorney;
George Scarborough, Assistant City Manager; Cheryl Johnson, City Clerk; David Bentz,
Director of Administrative Services; Thomas L. Baker, Interim Director of Community
Services.
CLOSED SESSION
Council recessed to a Closed Session at 8:04 a.m., for discussion of personnel matters and
acquisition of the Kinoshita Property, the City Clerk being excused therefrom, and
reconvened at 8:35 a.m.
COUNCIL ACTIONS
Written Communication:
Report dated October 30, 1990, from the City Manager, noting that since the
passage of Measure D, the $21,000,000 bond measure for the purchase of open space
and agricultural lands, the City and Community Redevelopment Agency had begun
negotiations with the Kinoshita family to purchase their farm located at the
northwest corner of Alipaz Street and Camino del Avion. The report advised that a
Letter of Intent had been developed to acquire the entire 56.45 -acre property at a
purchase price of $9,500,000. A 20 -year, interest only, tax exempt Promissory Note
will be issued in the principal amount of $9,500,000, with the principal due at the
end of the term. The report recommended that the Mayor, and Community
Redevelopment Agency Chairman and Director be authorized to execute the Letter
of Intent to acquire the property subject to a definitive purchase agreement and to
direct the Executive Director of the Agency to open escrow. As part of the escrow
process, an Agricultural Management Agreement will be developed with the
Kinoshita family to provide the City with ongoing farming operations.
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Mayor Hausdorfer noted the City's long-time commitment to preserving agriculture
and the work to address the economic concerns of the City's farmers. He advised
that up to $6,000,000 will be used from the Bond proceeds, with the remaining
amount to be financed through the California Coastal Conservancy, the Agricultural
Preservation Fund, the Park and Recreation funds and financing from the
Community Redevelopment Agency. He advised that the Agency will purchase the
property and transfer approximately 45 acres to the City; the remaining 10 acres
will be reserved for future relocation of the Adult Education Program facility. He
further noted that the anticipated close of escrow is the end of January 1991.
Appromval/Execution of Letter of Intent:
It was moved by Mayor Hausdorfer, seconded by Councilman Schwartze and
unanimously carried to approve the Letter of Intent to acquire the 56.45 -acre
Kinoshita property and to authorize the Mayor to execute the document on behalf of
the City subject to the definitive purchase agreement; and, to approve direction that
the Executive Director of the Agency open escrow on the property.
ADJOURNMENT
There being no further business before the Council, the meeting was adjourned at 8:42
a.m., to the next regular meeting date of Tuesday, November 6, 1990, at 7:00 p.m., in the
City Council Chamber.
ATTEST:
GAR L. HAUSDORFER, YOR
Respectfully submitted,
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CHERYLJ- OHNS , CITY CLERK
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