MINUTES OF THE
A regular meeting of the City of San Ramon Redevelopment Agency was held on June 12, 2007 at 6:05 p.m. in the Council Chamber at City Hall, 2222 Camino Ramon, Chair Perkins presiding.
PRESENT: Agency Members Hudson, Rowley, Wilson, Vice Chair Livingstone and Chair Perkins.
STAFF PRESENT: Agency Counsel By Athan, Executive Director Herb Moniz, Deputy Executive Director Marc Fontes, Agency Fiscal Officer Greg Rogers, Engineering Manager Joye Fukuda, Housing Programs Manager Brooke Littman, Agency Secretary Patricia Edwards, and Deputy City Clerk Renee Beck.
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PLEDGE OF ALLEGIANCE
Chair Perkins led the Agency Board, staff, and the audience in the pledge of allegiance.
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The Agency Secretary reported that there were no announcements or special presentations.
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The Agency Secretary reported there were no requests for public comment.
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APPROVAL OF MINUTES
Mbr. Hudsonís motion to approve the minutes of the May 22, 2007 meeting was seconded by Mbr. Rowley and passed 5-0.
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The Agency Secretary stated that there were no items on the consent calendar.
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The Agency Secretary reported that no written communications have been received.
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The Agency Secretary stated that there were no items of unfinished business.
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Housing Advisory Committee Appointment
Housing Programs Manager Brooke Littman reported that a vacancy exists on the Housing Advisory Committee due to the resignation of Michael Gwynn. The opening was posted and advertised. Anthony Chang and Shelli Kravitz submitted applications by the May 11, 2007 deadline. Candidates were interviewed by the Board on May 22, 2007.
Agency Chair Perkins provided voting instructions. Agency Secretary Edwards counted the votes. Chair Perkins announced that Shellie Kravitz was selected by the Board.
Mbr. Hudsonís motion to appoint Shellie Kravitz to the Housing Advisory Committee for a term to run through July 2008 was seconded by Mbr. Wilson and passed 5-0.
Study Session - Consideration and Discussion of Redevelopment Bond Proceeds Spending Priorities
Deputy Executive Director Fontes provided the Redevelopment Agency (RDA) with a status report on the bond funding obligations and the priority uses for the remaining bond funds. The September 2006 bond issue was approximately $54 million: $42.9 million is designated for Redevelopment Project funds; and $11 million for affordable housing uses. The Project funds have two components: taxable bond proceeds and tax-exempt bond proceeds. Chair Perkins asked for clarification of these two funds. Mr. Fontes responded the tax-exempt funds are used for public facilities. Taxable proceeds are more flexible and can be used for debt service, administration, and contributions to specific projects. There is $33.4 million available in tax-exempt funds and $9.5 million available in taxable funds. The Five Year Plan focuses on public improvements and Capital Improvement Programs (CIP). Mr. Fontes detailed the identified projects and discussed the funding packages.
Chair Perkins asked if the funds for the proposed 10,000 square feet police facility would be located inside the proposed City Hall. Mr. Fontes indicated that this is a possibility.
Mr. Fontes reported that the $39.1 million in tax exempt projects is more than the amount of tax exempt funds available. The $5.7 million difference would be realized by converting taxable bond funds. Chair Perkins asked for clarification. Mr. Fontes responded that the taxable funds are used in a tax-exempt way. Chair Perkins asked if it is preferable to do this early in the funding timeline. Fiscal Officer Rogers stated the strategy is to spend the tax-exempt bonds first due to the restrictions on the interest earned. No such restrictions exist on the taxable bond funds. Mr. Fontes pointed out that project cost increases are not covered but that bond interest will be available annually. The possible sale of two buildings in the Crow Canyon Specific Plan area could increase RDA earnings.
Mbr. Wilson requested the bond rates. Fiscal Officer Rogers stated the earnings are about 5.2%. The tax-exempt bonds are about 4.6-4.7% net interest cost and the taxable bonds are about 5.4%. The RDA is currently earning money on the bonds.
Mbr. Hudson asked why the Norris Canyon on-ramp project is not on the list of project priorities. Chair Perkins asked Ms. Fukuda if there is CIP money allocated for this project. Ms. Fukuda indicated that it is not currently included as a CIP. The project is under study with the Contra Costa Transportation Authority and may be included next year. Chair Perkins indicated that it would have to be determined if RDA funds could be used.
Chair Perkins asked if the Package 5 Housing Projects are funded from the bonds. Mr. Fontes indicated they are not. The housing projects are reviewed separately.
Chair Perkins indicated that Project Packages 1 and 3 (Old Crow Canyon Road Reconstruction and San Ramon Valley Blvd. Between Sierra Suites and Crow Canyon Road) require advance planning and engineering in order to start in 13 months. He asked if funding was allocated to initiate these Projects. Director Moniz indicated the Engineering Department will assume the planning and preliminary responsibilities of handling these projects as regular CIPs.
Mbr. Hudson stated that there may be options on the Borell property. He is interested in Danvilleís plans and the impact on the Crow Canyon Specific Plan and Fostoria Way.
Mbr. Wilson asked whether Package 5 (Mixed Use Affordable Housing Catalyst Project) had adequate funding and whether the RDA can make it a reality. Mr. Fontes indicated that the funding is available through the affordable housing fund.
Chair Perkins asked if developers had inquired about the Catalyst Project. Mr. Fontes indicated that no inquiries have been received and that the status of the recycling center is currently under review by Public Services.
Mbr. Wilsonís motion to accept the Study Session report was seconded by Mbr. Hudson and passed 5-0.
There being no further Agency business, Chair Perkins adjourned the meeting at 6:26 p.m.
Scott Perkins, Chair
Patricia Edwards, Agency Secretary
Approved at the August 28, 2007 Agency meeting, 5-0.
Agenda History | Annotated Agenda | Current Redevelopment Agenda | Minutes of the Meeting