M-1/7/1969 (3)
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REDEVELOPMENT AGENCY
OF THE
CITV OF SANTA HONICA, CALIFORNIA
January 7. 1969
4:30 P.M.
The Redevelopment Agency of the City of Santa Monica, California, met in
adjourned regular session in the City Council chambers, on January 7, 1969,
at 4:30 P.M.
The Secretary reported that a Notice of Adjournment was posted on the Council
Chamber door on December 18, 1968 and that the affidavit of posting was on
file in the offices of the Redevelopment Agency.
PRESENT:
MEMBERS: J. Lee Schi~mer, Chairman
B. Thomas Barnard
C Ii fford Conne" y
Ted Fach
L. Wayne Harding
Mortimer T. Richey
Philip E. Whiting
ABSENT:
MEMBERS: None
ALSO PRESENT:
J. D. Weaver, Tenneco, Inc.
~illiam T. Balch, Executive Vice President, Kern
County Land Company
Jack Fox, Manager. Special Projects, Kern County
Land Company
Joseph Martin, Jr., Attorney for Kern County
Land Company
Eugene B. Jacobs, General Counsel
Robert B. Filley. Consultant
Arnie Friedman, Evening Outlook Reporter
Ray Ripton, Los Angeles Times Reporter
Grace Themas, Executive Director-Secretary
Gary G. Jones, Assistant Executive Director
May Palfrey, Stenographer
APPROVAL OF MINUTES:
The minutes of November 26, 1968 were approved
as mai led.
APPROVAL OF BILLS:
The Secretary reviewed the bills as follows:
John Gray
. $270.00
Eugene B. Jacobs.
$87.50
Shu i rman-Rogoway & Associ ates . . $925.25
Filley Analyses. . . . . . . ~120.00
TOTAL BILLS. . ~!,402.75
Mr. Fach moved, seconded by Mr. Richey, that the bills be paid as
submitted, in the amount of $1,402.75. The motion carried with the
following roll call vote:
AYES:
NOES:
ABSENT:
5chimmer, Barnard, Connelly, Fach. Harding, Richey. wniting
None
None
MEMBERS:
MHtBERS:
MEMBERS:
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Minutes - 1/7/69.
Page Two
PROJECT ACTIONS AND REPORTS:
project I (a):
Financial and Budget Stateme~t
The Secretary submitted to the Members the Financial Statement and Budget
Status Report for Project I(a) for the period ending December 31, 1968.
A corrected Financial Statement reflecting an increase in the total amount
of non-cash grants-in-aid approved was also presented to the Members for
informational purposes.
Project I (a):
Assessed Valuation Increment - Fiscal Year 1968-69
The Secretary presented a report from the Auditor-Controller of the
County of Los Angeles showing that 79.5635% of all taxes collected from
the Ocean Park project I(a) will be paid to the Agency for the fiscal year
1968-69. This apportionment of the increased tax increment represents an
amount of $181,220.83 which will be used to retire outstanding Tax AIloca-
t i on Bond s .
Project I (al:
Authorization of Signatures on Subdivision Tract No. 26598
The Secretary introduced Resolution No. 269, authorizing the Chairman
and the Secretary to execute SubdivIsion Tract Map No. 26598 on behalf of
the Redevelopment Agency. The preparation of the new subdivision tract on
Project I(a) was previously authorized by the Agency in order to remove the
252 parcels, the 10 interior streets, the realign~nt and widening of Ocean
Park Boulevard and Barnard Way, and to designate the new easements for
public utilities. Mr. Barnard moved, seconded by Mr. Harding, that Reso-
lution No. 269 (R.A.S.), '~ RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE
CITY OF SANTA MONICA APPROVING TRACT NO. 26598 AND AUTHORIZING THE CHAIRMAN
AND SECRETARY TO EXECUTE SAID TRACT MAP ON BEHALF OF THE REDEVELOPMENT AGENCY
OF THE ~ITY OF SAI'ITA MONICA, CALIFORNIA", be adopted and that further reading
be waived. The motion carried with the followtng roll call vote:
AYES:
NOES:
ABSENT:
MEMBERS:
MEMBERS:
MEMBERS:
Schimmer, Barnard, Connelly, Fach, Harding, Richey, Whiting
None
None
pro;ect I(a):
Annual Report - Santa Monica Shores
Mr. Jack Fox, Manager, Special projects for Kern County Land Company,
reported to the Members on the recent changes In the operations of Santa
Monica Shores. He stated that KCL had recently contracted with the property
management firm of Carlton-Ney Company to assume all of the management
functions of Santa Monica Shores for a period of one year. He further
noted that numerous property Improvements and maintenance programs were
to be implemented in the near future. He concluded the report by noting
that the present occupancy rate at Santa Monica Shores was 82%.
Project I (a):
~eport 9n Development - Kern County Land Companr
The Secretary read the following letter of proposal from Kern County
Land Company:
"Mrs. Grace Thomas
Executive Director
Redevelopment Agency of the
City of Santa Monica
1685 Main Street, Room 302
Santa Monica, California 90401
Kern County Land Company (KCL) engaged the Investment Research
Corporation to undertake a feasibility study of Ocean Park Pro-
jects I(a), I(b) and the surrclJ'1':ling i'rS5. "'-f,is <c+,';,y h~.', k,'-;
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Minutes - 1/7/69
Page Three
completed and the report of findings has been furnished to all
Members of the Redevelopment Agency.
We have completed our review and consideraticn of the report and
the comments and recommendations it contained. It is clear that
the Ocean Park area can become the focus of a development that is
both economically feasible for the developer and will become the
means of rejuvenating the entire neighborhood, to the great benefit
of the City of Santa Monica. KCL wishes to cooperate with the
Redevelopment Agency In developing a long range land use plan for
the entire Ocean Park area and in working out a feasible construction
schedule for improvements to be constructed thereon.
In our opinion the best way to accomplish these ends would be to:
I. Commence negotiations between the Agency and KCl to
develop an amended Land Disposition Agreement between
the Agency and KCL to provide for:
(a) the Immediate cowmencement of construction of
economically feasible improvements upon one of
the Installment Parcels in Project I(a);
(b) the complete development as soon as feasible, of
the remaining Installment Parcels of Project lea)
and the land included in Project l(b) on a basis
which gives due credence to the optimum planning
and economic feasibility relating to this land.
2. Consider the designation of Project l(a), Project l(b)
and the Pacific Ocean Park property as parts of a major
redevelopment area.
We therefore request that, in furtherance of the Agency resolution
of Ju]y 9, ]968 wherein the Agency, among other things, determined
to give further consideration to working out the problems of the
Land Disposition Agreement, and in consideration of the matters
set forth here Tn. the Agency grant KCL an extension of time unti I
April 15, 1969. 50 that the Agency and KCL can work out appropriate
conditions for the completion of the Ocean Park Projects.
William T. Balch
Executive Vice President"
Discussion followed on the KCL proposal, with Mr. Joseph Martin, Jr.,
Attorney for Kel, answering questions posed by Agency Members. At this
point, the Agency asked Mr. Jack Morehart to address the Members in response
to his request to be heard regarding the subject of Ocean Park development.
Mr. Morehart requested the execution of a pre-disposition agreement between
the Agency and his company prior to the commencement of negotiations with
KCl. He made this request based on hIs claim to the ownership of all privately
owned fee land in the p.O.P. area. The following persons participated in
Mr. Morehart's presentation:
Mr. Jack Yeckel, Regional Manager of Dillingham Corporation
Mr. Al Martin, of Daniel. Mann. Johnson & Mendenhall
Mr. Bob Hastings, of Real Estate Research Corporation
At the request of the Agency, Mr. Morehart agreed to submit the title
policies establishing ownership on the Lick and Kay Parcels at the next
Agency meeting. The Members wil] review said title reports and give further
consideration to his request for development at that time. Mr. Barnard
moved, seconded by Mr. Whiting, (I) that KCL be granted the 90-day extension
until April IS, 1969, as requested; (2) that this be generally in accordance
with the previous extension and that the extension be without prejudice on
the rights and decisions of either the Agency or KCL during this period of
time; and (3) that the Agency appoint a negotiating team to negotiate with
KCL immediately. The motion carried with the following roll call vote:
AYES;
NOES:
ABSENT:
Schimmer, Barnard. Connelly, Fach, Harding, Richey, Whiting
None
None
MEMBERS:
MEMiJERS:
MEMBERS:
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Minutes - 117169
Page Four
The Members agreed that the negotiating team would consist of the
Chairman. Hr. Barnard and Mr. Connelly.
Mr. Connelly left the meeting at 5:50 P.M.
?r_oJ e~t ,I (I?) :
~inancial and ~u~get Statement
The Secretary submitted the Financial Statement and Budget Status
Report for Project I(b), for the period ending Oecember 31, 1968. These
reports for both Projects are submitted semi-annually for the information
of the Agency Members.
GENERAL:
Contract Amendment - Shuirman7Ro9o~ay & Associates
Upon the Secretary's recommendation and review by Agency Members.
Mr. Harding moved, seconded by Mr. Whiting, that Contract No. 69 with the
firm of Shuirman-Rogoway & Associates, for engineering consulting services,
be amended to increase the compensation in accordance with the two-year
estimate provided by this firm, not to exceed $2,400. The motion carried
with the following roll call vote:
AYES:
NOES:
ABSENT:
MEMBERS:
MEMBERS:
MEMBERS:
Schimmer, Barnard, Fach, Harding, Richey. Whiting
None
Conne Ily
Contra~t A~endment - ~jlley Analyses
The Secretary stated that Contract No. 82 with Robert B. Filley was
limited to consulting services for the I(b) Project and requested that an
amended contract be approved reflecting a broader designation of area to
be covered and include an increase in the total amount of compensation to
be made under subject contract. Mr. Barnard moved, seconded by Mr. Richey,
that Contract No. a2A with Robert B. Filtey, for market and economic consult-
ing services, be approved. The motion carried with the following roll call
vote:
AYES:
NOES:
ABSENT:
I'lEMOERS:
MEMBERS:
MEMBERS:
Schimmer, Barnard. Fach, Harding, Richey, Whiting
None
Conne lly
Contr~ct Amendmen~ - John F. Gra~
Upon the Secretary's recommendation and review by Agency Members,
Mr. Richey moved, seconded by Mr. Harding, that Contract No. 90 with John F.
Gray, for financial consulting services, be amended to increase the total
compensation to provide approximately $100.00 per month for an additional
two years. The motion carried with the following roll call vote:
AYES:
NOES:
ABSENT:
MEM:JERS:
MEMBERS:
MENDERS:
Schi~mer. Barnard, Fach, Harding, Richey, Whiting
None
Conne lly
There being no further business to be brought before the Members,
Mr. Richey moved, seconded by Mr. Whiting, that the meeting be adjourned.
The motion carried with a unanimous voice vote. The meeting adjourned at
5:55 P.M.
~L
Grace TholT1as
Secretary
mp