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HomeMy WebLinkAboutRDA Min 2002-04-22 4-22-02 Seal Beach, California April 22, 2002 _I The Redevelopment Agency of the City of Seal Beach met in regular session at 6:45 p.m. with Chairman Yost calling the meeting to order. ROLL CALL Present: Chairman Yost Agencymembers Boyd, Campbell, Larson Absent: Agencymember Doane It was the consensus of the Agency to excuse the absence of Agencymember Doane from this meeting. Also present: Mr. Bahorski, Executive Director Mr. Barrow, City Attorney Mr. Whittenberg, Director of Development Services Ms. Yeo, City Clerk I Chairman Yost advised those present that they would be allowed to speak at the time the items on the agenda were considered, staff will make a presentation, those present may respond to the reports from staff, thereafter staff will have the opportunity to respond to questions raised by the public, and for those wishing to speak to items not listed on the agenda they may do so at the Public Comment period. APPROVAL OF AGENDA Boyd moved, second by Campbell, to approve the order of the agenda as presented. AYES: NOES: ABSENT: Boyd, Campbell, Larson, Yost None Doane Motion carried Chairman Yost announced that the Agency would recess at approximately 7:00 p.m. to convene the City Council meeting and receive a presentation by Supervisor Silva. _I PUBLIC COMMENTS Chairman Yost declared Public Comments to be open. Ms. Lita Donnelly stated on April 8th she received a letter from the City which she thought was a thank you note for her services directing traffic at the recent lOK, 5K, lK Run, instead it was a bill for $732.56 which stated slie had not paid the correct refuse bill, there are likely about sixty people who received similar bills, she called the refuse company in an attempt to find out the reason for the bill, she then went to the Police Department and Recreation Department requesting to work off the bill to which the answer was no. Ms. Donnelly said when the City needed help due to their tight budget she volunteered yet when she went to the City to ask for help for a mistake that the City made in the amount of $732.56 the .. 4-22-02 request was denied. In June of 2001 she received a notice advising that the refuse would be increased, of which she has a copy, she pays her bills on time but was told she now owes this amount, her request is that that be canceled. Chairman Yost suggested that the issue, with documentation, be provided the City Clerk for the City Manager, with a copy to her Council representative or the Mayor as well. Mr. Jim Gibson stated that there have been problems with police enforcement in the northern area of the downtown, 1st, 2nd and 3rd Streets, the Rivers End Cafe have been hit with graffiti, there are gang type persons in the vicinity at night, break-ins and attempted break-ins of cars numerous times, they are being stripped on the street, to which he suggested some night patrols, it is felt it could be patrolled more effectively in the evenings, there has been graffiti on Main Street, windows being etched, painted, etc., this is new and not nice. Agencymember Larson requested that the City Manager report back with regard to the policing issue. Chairman Yost declared Public Comments to be closed. I CITY CHARTER AMENDMENT - RENT CONTROL Agencymember Boyd made reference to the recent discussions relating to affordable housing and rent control, the opinion of some members of the public is that the City should not be involved in free enterprise that involves private property. This is an Agency item that would direct staff to bring to the Council consideration of a Charter Amendment as a pro property rights initiative that would prohibit any Council in the future from establishing any unilateral citywide rent control, that could be accomplished"by the voters enacting a measure to amend the Charter, which can only be amended by the entire electorate, that means that rent control would be taken out of the hands of a City Council and placed in the hands of the voters. Agencymember Boyd provided a sample of such measure language recently passed in the City of Huntington Beach, and read an excerpt of the justification that 'the result of social experimentation of rent control in Southern California produces the following conclusion...rent control does not provide more or better affordable housing for anyone, especially the elderly or young families, those who need it most, the imposition of rent control forces some property owners to change the use of their property and to change the use can often result in more development and pressures which cause the destruction of neighborhoods.' Councilman Boyd moved that the Agency direct staff to bring back Charter Amendment language for Council consideration to be placed on the November ballot. Chairman Yost seconded the motion. I AYES: NOES: ABSENT: Boyd, Campbell, Larson, Yost None Doane Motion carried I STATUS REPORT - RENOVATION/RENTAL ASSISTANCE - 1119 OCEAN AVENUE The Director of Development Services noted that this issue was brought to the Agency at its March 25th meeting to consider a proposal received from a firm proposing to acquire 4-22-02 I the property at 1119 Ocean Avenue through a probate sale, the firm made an inquiry to the Agency that if they were successful in that effort would the Agency be interested in providing up to $150,000 of rehabilitation funds to assist in rehabilitating the premises and up to $250,000 for long term rental assistance to provide two units within the development for moderate income persons or families and one unit for low income persons or families, this being a four unit building, the remaining unit would have no restrictions. The Director reported that the Agency gave direction to proceed with that effort, there were resolutions approved by both the Agency and Council finding that the use of Agency funds outside the project area were a benefit to the project area, "a number of citizens expressed concerns with that program at the April 8th meeting, to that the Council requested a staff report for this meeting. The Director noted that since then the probate sale has occurred, the purchaser of the property is not the firm that made the proposal to the City therefore at this point in time the City has no proposal from anyone for any type of rental assistance or rehabilitation program within the community. I The Director said however that based upon the concerns expressed on April 8th staff prepared an agenda report relating to those concerns and sets forth some thoughts of staff. To the public comment that 'low cost housing should not be provided in the most expensive area of the City, the residents of Old Town do not deserve this type of program,' staff responded that the provision for low- and moderate- income housing should be provided in those areas where low- and moderate- income persons and families reside currently, and where the appropriate type of housing exists, this type of program is seen as one that would assist existing residents of the community, not a program trying to attract residents into the community. He said based upon 2000 census information it was not possible at this point in time to provide the numbers of low, moderate, and above moderate income persons or families that reside in the City, income statistics from the 2000 census will likely not be available until about mid-2003, however staff has tried to provide information based on projections and estimates from the 1990 . census up to the current time, there are some 1998 estimates compiled by the Southern California Association of Governments as part of their Regional Growth Program for the Los Angeles, Orange, San Bernardino, Riverside counties, fifty percent of median income is considered very low, their estimates show that thirty and a half percent of all households in Seal Beach, about four thousand households, are within that income range, it is likely that a majority of those reside in Leisure World, in the low category, which is fifty-one to eighty percent of the median income, about seventeen hundred households or twelve and a half percent of the households fall into that category, in the moderate category, of the eighty-one to one hundred twenty percent of the median income there are approximately two thousand two hundred fifty households, about seventeen percent, forty percent of the households in the City are above the moderate category, these 1998 projections show that approximately I 4-22-02 sixty percent of all households in the City fall within the low to moderate income categories, and if those persons were renters they could potentially receive assistance through the programs that have been suggested for consideration. To the question as to what is the median income, the Director stated he did not have a median figure for 1998 however for 2002 the I median income for a family of four is $75,600, that is the standard number. The Director said if one looks at all of the households in the City, and assume that all of the households in Leisure World, about sixty-five hundred, are either a low or moderate income households, there remains about one thousand four hundred eighty-two households outside of Leisure World that would fall within one of the income qualifying ranges of the low or moderate income. He mentioned a recent Orange County news article which reported, based on some State estimates, that there are four hundred forty-six households in the City that pay more than fifty percent of their gross income for rent, the standard criteria for a renter is thirty percent of income, when there are numbers greater than fifty percent those persons are paying an inordinate amount for rent and they do not have money for food, clothing, medical necessities, etc., if some of those households could be reached with the rental assistance programs it would provide more spendable income for the renter yet still provide the landlord with the market rent for an apartment unit. with reference to 1990 census information relating to owner occupied housing versus renter I occupied housing within Old Town, again not having the 2000 data, there were just over one thousand owner occupied living units, two thousand three hundred fifty-nine renter occupied units, the renter occupied units is about sixty percent, there has been some change in those numbers however not thought to be a substantial change between 1990 and 2000. It was the order of the Chair, with consensus of the Agency, to recess the meeting at 7:04 p.m. in order to call to order the City Council meeting and to accommodate a presentation of Supervisor Silva. The Agency reconvened at 7:15 p.m. with Chairman Yost calling the meeting to order. 1119 OCEAN AVENUE - RENOVATION/RENTAL ASSISTANCE - continued The Development Services Director offered that the other information staff was able to derive regarding income levels, in particular the Old Town area, is the result of the Center for Demographic Research at Cal State Fullerton, they have a contract with the County of Orange to do housing and employment type of projections, they work with cities in that effort also, staff was able to obtain some 1997 information from them, again based on estimates from the 1990 income figures for Old Town directly, which is one census tract that exists between Pacific Coast Highway and the ocean, it does not include Surfside as it is a different census tract, their projections based on the income levels in 1997 as compared to the low and moderate income ceilings at that time as prepared by the State, within Old Town there was one thousand one hundred seven residential occupants of structures, thirty- three percent of all Old Town residential units, who would qualify as lower income, that is the fifty percent and lower I 4-22-02 I level, moderate income in 1997 was estimated to be nine hundred thirty-six households, twenty-eight percent of all Old Town households, and above moderate income was estimated to be thirty-nine percent, in comparison to the 1998 numbers from SCAG it was forty percent above moderate and sixty percent below, therefore the numbers are fairly consistent based upon available information at this time. He noted that if the same general trends are still appropriate in 2000 it would be staffs estimate of the thirty-three hundred households in Old Town that about two thousand are either low or moderate income, those are felt to be existing residents within the City that made a commitment to live in this community, and it is the opinion that those people deserve to be provided assistance if they qualify under the criteria that is set forth within the various programs and the Agency has funds that could be used to assist those people in reducing their demands on their total income for rental purposes, it continues to be felt that the program is one that could be viable for the community. I The Director noted that a second concern heard was that the project that was before the Agency and Council was public housing. The Director stated that is incorrect, public housing is housing that is owned and managed by a public entity whether it be a Redevelopment Agency, Housing Authority, Non-Profit Housing Corporation, the Agency has not imposed any mandate on any property to participate in any type of housing assistance program, and it can not do that, any participation between the Agency and an owner of a property would be at the desire of the property owner to come to the Agency and make a proposal, the Agency can not force participation in any program that would be made available within the community. A third concern was that the project would be mandating rent control, and pointed out that the Agency has just taken an action that would deal with that concern. The Director stated that the assertion of rent control is incorrect, explaining that rent control is a formally adopted program by a city that puts an artificial cap on the rents that a landlord can charge to rent his units, Santa Monica and West Hollywood are examples of areas that have had rent control for a number of years, this City has never envisioned such a program, it has never been discussed in his years with the City. What has been proposed is a rental assistance program that allows rental units to be rented at a fair market rent, which is what a willing renter would pay to a willing landlord, rates are determined on a yearly basis so rent fluctuates as the demand for rental housing fluctuates up or down. The second component of the program is that the rental assistance is an amount that would be paid directly to the landlord by the Agency to make up the gap of what the fair market rent of the unit is as opposed to what the occupant should be paying if it is assumed they are going to pay only thirty percent of their gross income per month for rent, an example would be if a unit rented for $1,500 per month, the income of the person or family in that unit would only allow them to pay $1,300, thirty percent, then the Agency would fund the $200 per month gap directly to the landlord, therefore the landlord still receives the full I 4-22-02 market rent. Another comment was the Redevelopment funds cannot be utilized outside the project area. The Director advised that there are specific provisions of redevelopment law that mandate that if the Agency wants to spend its low and moderate income housing funds outside the project area both the Agency and Council have to make findings that it is in accordance with and a benefit to the Redevelopment Plan to spend the funds outside the project area, at the March 25th meetings both the Agency and Council made those determinations for the 1119 Ocean Avenue project, and now it must be kept in mind that there is no longer a proposal for that particular property. As a point of information he mentioned that the Agency has undertaken other projects outside the project area, acquisition of land and development of the City Yard and Police Station facilities, the Zoeter Place land leases and conversion of Zoeter Field as examples. Concern was expressed that there was no notification of the proposed projects, specifically 1119 Ocean Avenue, explaining that under redevelopment law there is no noticing requirement, City requirements are State law, however if the Council has concern with this issue a policy statement could be prepared as to what type of notification would be desired for adjoining residents if the City were to consider future rehab/rental assistance projects in the future. I There was a concern also that the program would extend the life of existing non-conforming multi-family residential properties over and above what would happen if the assistance was not provided. It seems to be clear that that would occur, particularly with rehabilitation assistance to improve and upgrade a structure. In current Code there are several sections that allow existing legal non-conforming multiple family residential properties to do rehabilitation work and in some cases to expand the living units within the non- conforming structure, Section 28-2407 of the Code sets forth a number of types of improvements and expansions to non- conforming properties that occur either at an administrative review process at the department level, a minor plan review, or conditional use permit hearing at the Planning Commission, the plan review process requires notice to all property owners and occupants within one hundred feet of the property and the CUP requires notice within three hundred feet, the major thrust of those provisions was to establish guidelines for maintenance and improvements, and under certain conditions the expansion of existing multiple family housing inventory within the City, those provisions were determined appropriate to encourage the retention of existing multi- family inventory to provide a diverse base of available housing opportunities, that was adopted around 1991/1992. I I An additional concern was that the proposal would require the City to allow the same structure to be rebuilt because of the agreements that would be in place if the building were damaged or destroyed. The response was that under existing Code, 28-2406, rebuilding of damaged non-conforming buildings, allows for the complete rebuilding of an existing 4-22-02 I non-conforming structure to its current condition if the damage is less than fifty percent, to his knowledge this has been utilized on a couple of occasions where there has been damage due to fire, etc., and if the structure is damaged more than fifty percent there are also Code provisions that either allow a minor plan review or conditional use permit approval to allow the structure to be built in its exact same condition or in a condition that would allow the same number of units but may require additional parking on the property depending on the ratio of parking to the number of housing units. To the issue of expansions and rebuilding the Code already allows that type of work to occur whether or not the Agency proceeds with this program or not. Another comment was that the Agency debts should be paid and the Agency abolished, in response the Director offered that staff could not obtain all answers to that issue within the two week period of time, it is complicated given the commitment to bond issues over the years, there are also housing commitments that exist, to this issue staff would need more time to provide additional information if the Agency so directs. Also this issue, Agencymember Boyd mentioned that there have been comments in the community that the City could take private property by eminent domain, to that the Agency or Council could amend the by-laws to remove that provision as an option of the Agency. Chairman Yost noted that that has been looked at, in fact the Code specifies that eminent domain can not be done if it was residentially zoned prior to 1969 and used as such. The city Attorney advised that there are ways to amend bhe plans and to change the ordinance, under the current state of the law it is difficult to amend Redevelopment Plans, a lengthy process that could take up to a year. He noted that at the present time no residential property within the project areas could be condemned, the exercise of eminent domain is not permitted, those areas are Bridgeport, Oakwood Apartments, the Trailer Park, and Riverbeach Condos. I I The Director noted another comment was to pay the low/moderate set aside penalty and provide no housing, to that he stated that the process is not that simple, State law does not allow an Agency to merely pay the penalty and relieve the Agency of its responsibilities, the penalty is actually a payment from non-housing setaside funds into the housing setaside fund to do more housing assistance, if the program gets to a penalty situation it actually increases the amount of funds that needs to be expended. He offered that additional information could be provided at the direction of the Agency. Another comment was that the project would impact adjoining properties, believed to be directly related to 1119 Ocean however a concern that would be appropriate should any other projects come to the Agency. The feeling of staff is that no adverse impact can be seen in doing a project if the owner of the property is intending to keep his building as an apartment building and if the Agency provides money for its rehabilitation where it may not have been rehabilitated otherwise, and if the tenants within the project are ones that would qualify for assistance, therefore the tenants would be those that currently reside there. The. 4-22-02 Director mentioned that the City did receive one e-mail message from an individual expressing an interest in participating in this type of program, this was a current resident having an income of $21,000 per year, a single mother and a child, requesting help. It is believed there are people who would take advantage of the program if the Agency were to proceed with that activity. I The Director showed the current income limits in Orange County for low, very low, and moderate income persons and families by the number of persons who reside in a particular household, an example, a four person household, that household can makeup to $90,700 per year and be considered a moderate income family, for a two person family it is $72,550, for low income in a two person household it is $43,500, a four person household is $54,400. He stated again that the City as yet does not have the 2002 census income information however when these types of family income levels are seen that would qualify for low and moderate income, it is felt that the large majority of persons who currently reside in rental apartment units in the City do qualify under the income criteria at this time, it is believed that the programs being proposed recognize that fact and tries to provide a program to provide those persons some assistance, if those residents are paying more than thirty percent of their gross income for rent they are eligible, if they are currently not paying more than thirty percent now then they are not eligible for assistance, the numbers show that there are at least four hundred forty-six families that are paying more than fifty percent of their income for rent, it is felt one could immediately determine that those persons could use some assistance. I To a question from the Agency, the Director confirmed that the property subject to discussion is no longer available, the firm that made the proposal to the Agency for rehabilitation/rental assistance was not the purchaser of the property, and there has been no contact by the purchaser. Chairman Yost mentioned that at this point the consideration lies with the direction to staff, is this or something similar to this type of program what the Agency wants to do in the future. Mr. Jim Caviola, 1117 Ocean Avenue, stated that the person who purchased the 1119 Ocean property was at his home the prior day, felt the Agency proposal was ludicrous, he paid $800,000 for the property, is from San Marino. Mr. Caviola made reference to the recent Orange County news article as well, said he took excerpts from the article, noted that Mr. Dunn, Santa Ana, is sponsoring a bill to make it a penalty to not comply with affordable housing. He said at present there are no penalties for cities who do not comply, it is because there is a Redevelopment Agency is the reason that there is a penalty, his position is to disband the Agency, pay the penalty, borrow the money to pay the debt. From the news article there are 1999 statistics from the Southern California Association of Governments and from the listing of all affordable housing statistics it says that Seal Beach has I 4-22-02 I fifteen residents who live in overcrowded conditions, one hundred forty-six people pay more than fifty percent of income in rent, and the City is short 1.9 percent, in calculating he used a thirty thousand figure even though the population is twenty-six thousand, that would be six hundred people according to State statistics, again, there is no penalty for not having low income housing unless there is a Redevelopment Agency. With regard to the Trailer Park, before the purchase there was a forty year restriction on those rents, after the purchase there was a thirty year restriction, so after the purchase there was a ten year loss of affordable housing in the Park, prior to the sale all but five lots in the Park were restricted, after the purchase twenty-five lots are unrestricted, net loss is twenty lots of affordable housing. What happens in thirty years, there will be no affordable housing at all in the Trailer Park, he is not certain who owns the park, someone should research LINC, but the owners of the Park, which it appears is not the residents, will be able to sell with no restriction on the use, conclusion, the Council approved $7.5 million for the Trailer Park, approved $400,000 for 1119 Ocean, that is $7.9 million on low income housing for six hundred people, that is $133,000 per person according to the State 1999 statistics, he wants this stopped, wants to know where the money is going, he wants no unnoticed behavior related to deed restrictions, also said you can not rebuild a building if it burns down more than fifty percent, said people are noticed for a CUP, etc. but the 1119 Ocean had none, that is outrageous. Mr. Gene Stegman, 13th Street, stated that he is a fourth generation resident, his great grandparents bought here when it was Bay City, and has a son who is a fifth generation Seal Beach person. He asked why the Council is trying to undo one of the great beach towns on the planet, every time one turns around there is something going on, Trailer Park, money, things people do not know, this is a small town and should be treated like a small town, Old Town is Seal Beach, it provides a great amount of sales tax, property tax, use taxes, the Council works for the people, serves at' the pleasure of the people. He would like to see Old Town secede from Seal Beach and become its own city, the Council would not have a job because they would not be needed. Mr. Dan Smith, Trailer Park, believed to be a designated area for low to moderate income housing, his comments relate to a better utilization of the funds being discussed. Mr. Smith mentioned having heard the proposal to spend $400,000 for three low to moderate income housing units, that amount in an area that is already designated for low to moderate housing would buy eight two to three bedroom mobile homes, eight units available for families, the units being discussed are one bedroom which are studios. Ms. Cynthia Metzger, Main Street business person, stated she appreciates the conciliatory nature of the Council, it is good to see that with reexamination there will be an attempt to deal with the issue, as an owner of income property in Long Beach for many years she knows that when people received subsidized housing it went with them and not the property, it is true it is not a form of rent control but it is a form of property destruction because everyone who has a Section 8 I I . 4-22-02 tenant has property destroyed, that is believed to be without exception. The way this is being approached now it does give the property owner the option of having a contract and redevelopment for their property and when the contract expires they would have their choice then as to what to do with their property. It may not be a good idea to keep the Agency yet she did not know that issue well. Ms. Metzger stated she does feel that the City fails a great deal, because of being the small city it is, to communicate to the people and they do exercise their own will. She said she would like to see in the local paper the City Council agenda, future issues to be addressed, she feels that is not a difficult thing to request, there have been so many things where people spend hundreds of thousands of hours, dollars, and energy on things learned after the fact. With regard to the Trailer Park it is understood that the City has reneged on allowing the residents to purchase the Park and that persons residing there are being subsidized for their rent, she understands there are people in the Park that are afraid to speak up to ask the Council to adhere to the promises made, that issue should be addressed and keep the commitments made to the Trailer Park, let the residents purchase it, do the improvements, and make the best of that situation. Chairman Yost noted that the Council agendas are on the City website, posted at City Hall and in the libraries. Mr. Bill Ayres, Seal Beach, asked if the population of Leisure World is part of the equation of the total population of Seal Beach, are they eligible to participate in low income housing. Chairman Yost clarified the question, is Leisure World counted as part of the low to moderate income housing, if not, why. The Director said the questions may be two separate issues, there is provision in the City's Housing Element for goals for construction of new low to moderate income housing to accommodate future demand for people moving into the City of Seal Beach, the Housing Element criteria does not count existing populations and housing units, it is a forward looking plan looking only at anticipated new development to which you then need to plan for a certain percentage of the new development as low/moderate housing, so in that regard Leisure World does not qualify for anything. With regard to any type of rental subsidy program or rehabilitation loan programs for owners of residential units or tenants of residential units Leisure World could be qualified to participate in those programs depending upon the criteria that the Agency ultimately approves for those loan or grant programs that will come before the Agency at some future time. Mr. Ayres said his point is that if they are considered in the total equation for population, according to the news article that should be 1.9 percent of the people for this type of housing, if Leisure World could be taken out the remainder of the City likely would already meet the criteria, if there were a census of the Old Town area, including bootlegged units, the City might be close to complying. With regard to rental assistance, and at some point everyone present would likely have qualified, it takes the owners of apartments out of the free enterprise system because they do not have to keep their units up as much because of the subsidy, he too owns rental units and he spends considerable I I I . 4-22-02 I money to keep the property up in order to obtain a good rent, it is somewhat an issue of competition. Mr. Paul Jeffers, Trailer Park, Vice President of the Seal Beach OWners Association, said the Board asked that he speak to the now twenty from five spaces under the new regulatory agreement, the Board is in favor of the twenty spaces as they like the low to moderate income housing in the Park. Ms. Sue Corbin, Seal Beach, spoke to development agreements and low income housing requirements, then money transferred instead of housing, to that she asked what happened to the money, all of this needs to be put together to let people make a decision as to what is going on, the Council does not know where things stand. On the Hellman property apparently it is back to fifty acres rather than one hundred and fifty acres, not contiguous, the low income housing is not being done and that was the basis for the lawsuit to begin with, what happens to that money, low income housing belongs on the Hellman property. Mr. Loren Washer stated he recently bought a property one block east of 1119 Ocean, they paid a fair price, in the process of improving the property, they need their renters to be in, this is a unique community, the 1119 issue is something that should not come up, it should not have even been discussed, it should be sold as a property, the rents should be kept up, no one is going to help him with his rents, he expects his renters to be able to afford the rent otherwise they will not take care of the property and he will have more repair. Mr. Chi Kredell, Seal Way, asked where these types of proposals come from, the apartments at 1119 are believed to be one bedroom, mention was made of a person paying $1,300 per month rent, a third of the persons paycheck, that is some $40,000 per year bracket, will that person be alone in the one bedroom apartment, unlikely, there will be three persons in the one bedroom unit, this area does not deserve that. Old Town seems to be the playground area for four districts, anything they can not have or do not want in their districts comes to Old Town, this is the most expensive area of Seal Beach, 1119 sold for about $800,000 for a twenty-five to thirty foot lot, where does one get low cost housing on that expensive property. Mr. Kredell expressed appreciation to the City for doing a great job on the beach this year, the best it has ever been done. He also asked what happened to all of the trees that were to be put in with the Bixby development. He asked if this is a City proposal or is it the requirement of the federal government. Chairman Yost responded there are two issues, one is the Redevelopment Agency under which there is a requirement for low to moderate income funds, the other is the City's Housing Element requirement under State and federal law, the last time the City was out of compliance with that it could not issue building permits for anything, again, these are two separate issues, the discussion is with regard to the issues and what to do to fit within the guidelines. With regard to the Charter Amendment suggestion, the Chairman stated that will come back to the Council as it has the authority to recommend a Charter Amendment restriction to not have rent control, to the suggestion that it be worded so that there can never be rent control, the Chairman suggested that the forthcoming report could be reviewed with staff when it comes I I 4-22-02 back to the Council. Mr. Kredell said he has always felt that City staff works against the residents of this community. He noted again that this is the most expensive area of the town, in 1970 it was rezoned for single family dwellings rather than multi-family, there had been a Code enforcement officer until another Council took the officer out of this district and there were more than three hundred Code violations in just a short time, and now even though duplexes are not allowed things are being built upwards such as the doghouses. Agencymember Boyd mentioned that staff will have a proposed Charter Amendment relating to rent control on the next agenda. Ms. Geri West, stated that she and her husband live on Electric Avenue, they qualify under the moderate income category, they could rent a unit and the Agency could then subsidize them $400 per month. Mr. Reva Olson, Seal Beach, stated she wants to abolish the Redevelopment Agency, can not understand why this City is on such a tight budget that it has to have the highest utility users tax in the nation while the Agency has so much money it can subsidize developers and investors for millions, $150,000 for 1119 Ocean for an exterior paint job. Ms. Becky Jancs, Spinnaker Way, said her comments were to rental assistance, while it may be true that the renters living in Seal Beach are probably higher low income people, if the rental assistance is enacted as proposed, then as these properties turn over there will be more people of lesser income coming into the community, lowering the caliber of people in Seal Beach and the quality of the town as a whole. Ms. Sylvana Leon mentioned that she purchased a home is Seal Beach about two years ago, a relatively low crime and gang free area, she works in jails for juvenile delinquents, what she has found is that when these youth live in subsidized housing they trash the facility because they have no respect for property, she would not want to see gangs and taggers in Seal Beach. Mr. Jim Caviola said he likes living here, bottom line is that the State wants this and that, City employees want things, he wants a volunteer fire department, in the fall there will be another party, the funds will be used to buy trees and to buy a fire truck, which he heard the Authority will not let them do, but that is a fire and safety issue, that is not socialization, there are people who want to give back to the community, doing away with the volunteer firefighters is dismantling the moral fabric about which people live. He recalled the bed and breakfast issue, his address was identified as a possible bed and breakfast yet it is not an antique house, now the rental assistance is being considered next to his house, therefore it is a personal thing with him, he understands history and culture, people do not want deed restrictions on property in their neighborhood and there is a due process right to notice. I I I The Development Services Director explained that when staff brings an issue to the Councilor the Agency it is because they are responding to something mandated by another agency in this regard, the Agency has certain requirements mandated by Redevelopment law, a certain amount of funds that the Agency obtains on a yearly basis to assist low and moderate income housing within the community. He noted that this 4-22-02 I issue did not come up in the City until about 1999 because prior to that time the Agency had pre-existing debts that had to be paid first so there were no monies going to the housing setaside fund, said he understands the emotions and concerns of the community, it is thought that programs can be proposed that the Agency can deal with that may not involve rehabilitation and rental assistance within this particular area of the community, staff can come back to the Agency at some future date with alternatives to those programs. He said several comments asked that the project at 1119 Ocean Avenue not be done, there is no project at 1119, there was never any imposition of a project at 1119 Ocean by the City, that project came to the City from a potential purchaser of the property, if that person had not come to the City there never would have been any discussion of the issue, the City is not trying to mandate programs and force something to occur on a persons property. I Agencymember Campbell emphasized her preference that the format of meetings were such that questions could be answered when asked rather than waiting until all comments are made, this is because the Council is not allowed to take part in a dialog. She offered that it is the option of a property owner as to whether or not they want to apply for rental assistance for their units, no one says that owner has to take Section 8, a deed restriction is only if an owner wants one, low income residents currently exist in the City, could be one's neighbor and it is possible that they could apply for assistance. Agencymember Campbell noted questions raised regarding the Trailer Park and who owns it, it was Linc Housing that bought the Park, the City issued bonds, the residents are paying off the bonds, when the bonds are paid the residents will own the Park, at that time the residents/owners will need to decide what they want to do with the Park, that is in writing, and a meeting will be held the following week with Linc at City Hall. To a question relating to what happened to the trees in her area as a result of the Bixby project, said she too would like to know, and offered that it would be nice if when votes are taken on significant projects that there be more cooperation between districts. Agencymember Larson said he would assume that should any other proposition come before the Council involving a parcel of property such as was under consideration that there will be some means in place to let the residents know what is going to be considered, there seems to be a feeling that the people and the Council are on opposite sides, his desire is that everyone be notified whether they like a particular proposal or not, nonetheless that would be in keeping with the rights under the Constitution. Agencymember Boyd noted that the 1119 Ocean property is now a mute point, in that regard staff requested direction to either discontinue the negotiation process, continue the negotiation process, or investigate alternative site locations. To that he pointed out that there is an affordable housing need by mandate, the people in the downtown area are saying they understand that there is a mandate however are asking that the City not concentrate the effort to meet the affordable housing need in anyone I 4-22-02 particular area of the City. Agencymember Boyd mentioned that an upcoming item on the agenda is adoption of an AB 1290 Implementation Plan, mandated by law, which is how the City is going to implement goals and encumber funds to promote affordable housing over the next five years, by law one hundred fifty-eight new units need to be built, the question is where does one do that, concentrate it in Old Town to rehab existing units, the answer is obviously not, with the limited amount of land does the City zone it for multi-family apartment use that would be restricted to low income, that is a strong potential, there is Boeing, Bixby, Old Ranch Tennis Club, there is land in this City that is going to have to be looked at to meet these needs. He suggested that the public not jump on just one particular issue, the Council does hear that the people want their property rights protected, that is why a proposed Charter amendment will be on the next Council agenda for consideration. Chairman Yost agreed that there needs to be more notice to the public, although it complies with the law that is not enough, it is obvious that people were not noticed properly, he would request staff to return to Council with some means of doing that whether it be within five hundred feet or whatever. His belief is that what bothers most people is the issue of deed restrictions for low to moderate income housing for some number of years, he does not favor that, feels there are other ways to spend low to moderate income funds. Chairman Yost stated that the Housing Element is the first issue, there is a requirement that the City provide so many new low to moderate income units, to that a statement was made that the City should do nothing then there would not be a penalty, Chairman Yost countered however that that statement is not true, citing the fact that the last time that the City was not in compliance no building permits could be issued, and there is currently pending legislation to fine cities upwards of $500,000 if they do not comply, that is not law as yet however there are requirements that the City must abide by. The second issue is the Redevelopment Agency and how that functions, that is an entity that was established many years ago, the funds that go to the Agency come from the property taxes of the properties that are within the Redevelopment zone, that is the property tax that is above the baseline value at the time those properties were placed in the Redevelopment zone, primarily the Trailer Park, Oakwood, Riverbeach Town Homes, some of the Hellman units will be in the Agency zone, mentioned that several things have been done through the Agency, the funding of the greenbelt that runs through the downtown, the rehab of Zoeter Field, Zoeter Place, the City Yard, and Police Station, all accomplished with Agency funds. The Chairman noted that at present the Agency has mostly bond debt whereby Agency monies paid for those improvements, yet as part of the Agency twenty percent of the funds that come in, approximately $1 million a year, have to be spent on low to moderate income housing, that is where the issue is, explaining that the Agency is not flush with funds, it is fairly tight and with debt, nonetheless there is the requirement to spend twenty percent on low/moderate income housing, if it is not spent by a certain date a fine is imposed, and that fine comes from the general revenues of the I I I 4-22-02 I City which are the monies from which the various departments, City employees, maintenance, etc. is paid, the fine itself is sizeable, an amount in excess of $400,000 needs to be encumbered by June or a penalty will be imposed. Chairman Yost assured those present that the Agency has heard their concerns, the objection to the deed restriction with which he agrees, yet there are requirements that must be fulfilled which will be done as best they can, his preference is that there not be negotiations, he does not support the City being in the business of rehabilitation of existing units, also, when something similar to this comes forth there should be adequate notice. Agencymember Campbell offered that the City is trying to work within the mandates on the City. Chairman Yost mentioned that there are units behind the Rossmoor Center, the Trailer Park which is the bulk of the low/ moderate income housing, units in Leisure World, the Navy housing, and stated that the most logical solution to him is the next agenda item which is providing assistance to persons who already reside in the community with a certain amount of funds to help them get to a certain level, there are a number of people on limited incomes, this would be assistance to encumber sufficient funds so that the City does not face a penalty, that does not address the Housing Element issue, yet the most pressing issue at this point is the $400,000 of Agency funds that must be expended or be subject to a fifty percent penalty by June 30th, that is $200,000 of General Fund revenue, money that the City does not have. The Executive Director confirmed the direction of the Agency to discontinue negotiations although there are none, and bring back no other such projects. The Chairman said specifically anything having a deed restriction, and that staff report back as to how to increase the notification process. Chairman Yost also requested staff to look into the process for dissolving the Redevelopment Agency, the positive of doing that is that the Agency no longer has funds of which twenty percent is required to be spent for low/moderate income housing, yet on the other side it does not relieve the responsibility of the Housing Element to provide low to moderate income housing in some manner, there could be financial penalties with that as well. Agencymember Boyd noted again the upcoming Implementation Plan, suggested that a noticing plan and guidelines for projects the Agency would like to look at should be incorporated in that Plan so that there is a consistent policy as to how those issues are addressed in the future. There was an indication of a consensus agreement with the direction. .1 -I APPROVAL OF MINUTES Boyd moved, second by Larson, to approve the minutes of the March 25th, 2002 Agency meeting,. AYES: NOES: ABSENT: Boyd, Campbell, Larson, Yost None Doane Motion carried . It was the order of the Chair, with consent of the Agency, to declare a recess at 8:25 p.m. the Agency reconvened at 8:38 p.m. with Chairman Yost calling the meeting to order. 4-22-02 PUBLIC HEARING 1 RESOLUTION NUMBER 02-2 - AB 1290 IMPLEMENTATION PLAN Chairman Yost declared the public hearing open to consider the AB 1290 Implementation Plan for 2000/2005. The City Clerk certified that notice of the public hearing had been advertised as required by law, posted, and reported no communications received. The Director of Development Services presented the staff report, explained that the AB 1290 Implementation Plan is a State mandate initially adopted in 1993 which requires the City on a five year time schedule to adopt a plan indicating how it intends to spend its Redevelopment Agency funds over the five year term of the Plan. He noted that the basic purpose of the Plan is to allow the public to understand what projects the Agency intends to utilize its Redevelopment funds for, both from the housing setaside fund and non-housing setaside funds. The Plan before the Agency does go through the different project areas within the Riverfront Project Area, the current status of each. The Director mentioned that during the 2001/2003 fiscal year period the current capital improvement program for the City shows three projects that would be funded by the non-housing set aside funds, improvements to the Library which are primarily rehabilitation and upgrade improvements, $42,000, there is $350,000 allocated for on-going maintenance and monitoring activities for NPDES water quality compliance issues at the City Yard facility, and a capital improvement project of $2.3 million to upgrade the west end pump station facility to deal with flooding situations that Old Town experiences during storm events, those projects extend over the five year period, all of the anticipated non-housing set aside funds that would come to the Agency, for the twenty percent housing set aside funds, which the Agency receives approximately $200,000 per year, and with the current funds on hand and the eventual reimbursement to the Agency of the bridge loan for the Trailer Park acquisition project, the IMPOP loan funds, there will be approximately $2.8 million available in the housing set aside fund over that five year period of time. He directed attention to Table 3 of the staff report which sets forth the proposal as to how the $2.8 million in housing assistance funds would be allocated to the different projects, one of the programs was that which has just been discussed, the housing rehabilitation loan and renter assistance program, which the Agency has indicated they do not want to consider, staff would recommend that that program be eliminated which is an allocation of $925,000 and that the funds be reallocated to the other programs. He reviewed each of the programs, the Home Improvement Loanl Grant Program which assists current owners of homes, a program offered by the Agency since 1998, $600,000 was initially proposed, it is now recommended to increase the amount to $800,000, the next program is improvements to units within the Trailer Park to replace existing travel trailers, initially $500,000 was proposed, it is suggested that that be increased to $1 million, last is a mortgage assistance program, basically a first time home buyer program to assist moderate income people purchasing within the City, as indicated in the staff report, the only areas that could likely use that program is the various units within the I I r 4-22-02 I Trailer Park and various condominium projects that exist throughout the community, however given that the price of homes in the City is so high that program would not be applicable to single family homes, for this program the funding is recommended to be increased from $175,000 to $400,000, this would eliminate any rehabilitation/renter assistance program. I Agencymember Boyd stated his opposition to adding any additional funds to the Trailer Park project however would support a new category for new construction which could be how the affordable housing issue could be solved as there are land use issues that are yet to be determined where a developer could purchase a piece of land that would be large enough for the City to contribute funds for new construction whereby it would covenant that some of the units be set aside, during the Bixby project he did propose a five acre plus site that is currently yet to be built that is to be an assisted living facility for seniors which could be considered a multi-family apartment project site that could have up to one hundred twenty units a certain percentage of which could be set aside for affordable families, those funds should be programmed for that, if no one uses them that is fine, his point is that all of these funds should not be put into just trying to preserve existing stock, putting more money into the Trailer Park, or offering mortgage assistance, as was said it is believed that mortgage assistance will be limited, it is likely there are few that would even qualify for a condo, even the units behind Rossmoor Center are close to $300,000, again suggesting that consideration be given to a category for construction of new units. Chairman Yost likened the suggestion to what was the subject of discussion earlier in the meeting, a deed restriction on new construction to be low to moderate income housing for forty or fifty years versus rehabilitation. Agencymember Boyd questioned the difference between that and the Trailer Park, there would be units owned by people, there has already been a charge that there are people in the Park that are in what is called a key money situation where they have owned a unit that is affordable and has now been converted to market, there are units in the Park that are for sale for $250,000. The issue is how do you preserve long term affordable housing within guidelines that the community finds acceptable in a large enough scale, an example is that the County of Orange issues a notice of funding availability, they will offer to a developer that is interested in building apartment units up to $30,000 per unit one time as assistance for construction costs, loan defeasance, etc., it is a loan to be repaid, that could be a guideline for the Council to propose how these monies will be spent, it allows the community to say they do not want the focus to be in only one area, what would be done is limiting the amount of money that can be spent on each unit, you would not see someone coming to the City when buying an $800,000 fourplex and requesting $400,000 in assistance, it also eliminates rental assistance and subsidy, he believes that is the issue heard from the community at this meeting, no rental assistance and subsidy. He noted too the Trailer Park is being subsidized for rental assistance in I 4-22-02 the amount of $600,000 for five years for twenty-five units and have programmed $500,000 to replace ten aging trailers, that brings forth the question as to why houses are being bought for people in lieu of creating long term affordable housing. The Chairman invited members of the public to speak to this I issue if so desired. Mr. Jim Caviola, Seal Beach, expressed his belief that government getting involved with subsidized housing is unconstitutional. His belief is that the Redevelopment Agency needs to be disbanded, as was said it is all debt, if at some point the State determines to penalize the cities then it will be dealt with at that time, if the City wants affordable housing then do like Huntington Beach where a developer is allowed to build a certain number of houses to be sold at a certain price, referring to the Cal State Fullerton statistics quoted by the Director he stated that someone making between $50,000 to $70,000 per year can afford to buy a house in the $300,000 to $400,000 range, not deed restricted apartments, Boeing as an example could accommodate a tract of two to three hundred detached homes of various sizes that could be sold at market price, that is affordable housing and would be better than a Costco. Mr. Chi Kredell, Seal Beach, made reference to the 1119 Ocean property and asked if these monies can be allocated outside of the Agency area. The response was that they can citing the City Yard, Police Station, Zoeter Field, greenbelt. Mr. I Kredell inquired if the Navy housing, Rossmoor condos, and Oakwood Apartments would qualify, his feeling is that they do not, or, would the owners even consider accepting a subsidy for a certain number of units. The Development Services Director said what is envisioned under the first time homebuyer program would allow, as an example, a condominium in the Rossmoor area to be subject to someone making application under the City program to help them acquire a unit if their income level was in need of adjustment in order to qualify to buy such unit, it could be likened to a silent second trust deed on the property and should they remain in the property for a certain period of time it would then be forgiven over a twenty year period of time. Mr. Kredell offered that it sounds as if the City has no choice, yet how can $400,000 be spent when the areas mentioned are not likely to be included. Ms. Rita Brenner, Trailer Park, stated that the discussion relates to the plans and monies that the Agency is thinking of using to redo things in the Park, the City did not have to get into the situation with this money because at the same time, without public input, the City issued bonds that will now need to be paid back with the I money of the citizens, at the same time there were many news articles reporting there were thousands of dollars of federal and Orange County funds allotted to help people of low and moderate incomes to buy their homes, even those on welfare. Ms. Brenner noted the proposal to use $500,000 to buy ten new trailer homes, to that she expressed resentment stating that many of the Park residents worked hard over they years for their homes, many have been kept up beautifully, the Agency should not buy homes, rather, develop a program that will make them feel good, many of the residents are former school 4-22-02 I teachers, persons from the medical field, etc., what is really needed in the Park is restructuring, the money could be used for infrastructure, the streets, sewers, water, electrical all need to be redone, the City is not looking at the right issues. Mr. Fred Denny, Beachcomber Drive, stated he is in commercial real estate, he sees the Redevelopment issue somewhat from the other side, said that most people in real estate, brokers, owners, developers, etc. look at this type of situation somewhat as a way to manipulate money out of government, a rather unhealthy kind of situation, when you take money from a government agency it comes with strings attached. His suggestion would be to find a way to get out of the loop that the City finds itself in with the State and federal governments, pay the couple of thousand dollars to get out of this, is that something that is worth spending the money on, if it is not possible to get out he would say worthy recipients of low/moderate income assistance would be seniors, veterans, etc. rather than a young person that just wants to live in Seal Beach, this is like a modern day socialism, a lot of the problems come down to demographics. Mr. David Rosenman, Seal Beach, said he wished to focus the comment that the City get out of this or find more creative ways of how the City meets its low income housing, and whether the City stays with a Redevelopment Agency. He stated that if the internal staff is requested to produce a report relating to this the City is setting itself up for failure, in no way meant to demean staff capability but there are people that are brighter and could look at ways that are more creative, that could generate more options. Ms. Joyce parque, 6th Street, asked where the twenty lots were lost for affordable housing in the Trailer Park, prior to the purchase deal all but five lots were restricted, who got them, someone has them, someone is not paying their fair share. MS. parque thanked Agencymember Boyd for suggesting a Charter amendment for rent control, appreciation for the suggestion for noticing requirements, and asked that a resolution be placed on the agenda to cancel the contract of the Development Services Director so that the people can see who is with them or against them. Mr. Al Kamin, Palos Verdes Estates, stated he recently purchased a property on Dolphin, he frequently attends meetings in Palos Verdes, they have not gotten themselves entangled in this type of situation, possibly they could be contacted to see if they have encountered similar problems and if so what have they done. He mentioned that there is a high number of rental units in Old Town, possibly the property owners could be mailed notices of issues as a courtesy, he is in the community about three times a week but was not aware of a pending issue of this type. Mr. Kamin said what he has learned is that this is a special and unique City and community, an easy place to get to know people unlike some of the South Bay cities, if anything is done to deny people the right to struggle to come here to live it diminishes the character of the community. There being no further comments, Chairman Yost declared the public hearing closed. I I with regard to a question relating to the referenced number of affordable spaces in the Trailer Park, the Development 4-22-02 Services Director responded that he did not have specifics relating to those numbers at hand, that was related to the bond issue, however offered to obtain the numbers for the members of the Agency. Agencymember Larson recalled the first time he knew of Seal Beach he was in the Marine Corps making seventy cents a day. Agencymember Larson recognized I that some people do not like redevelopment, yet the residents of the Trailer Park should understand that without the Redevelopment Agency the Trailer Park would be something else, it would have been sold, an apartment complex, or without rent control of some sort the rents would be very high, it took government to save the Trailer Park, that is an advantage of redevelopment, there are minuses and plusses, the issue being dealt with however is mandated by State law, one can not ignore letters from the Attorney General that warn the City of noncompliance, this issue is at the point of voting on doing the things in the limited area as mentioned. Agencymember Campbell recalled a comment of Supervisor Silva that the coastal cities like Huntington Beach, Newport Beach, and Seal Beach have a terrible time meeting their affordable housing mandates because the land costs are so high, how does one provide subsidies for a property that is valued at $800,000, it is of interest too the reference to $300,000 to $400,000 homes as being affordable yet there are houses that are $100,000 that are barely affordable to many, the numbers in this community are staggering yet it is the market, supply and demand. How can the State mandates be met especially I when there is really no land on which to put low to moderate income housing on, that is why the City went towards the rehabilitation programs, it is unbelievable too that when the Housing Element was submitted there were a couple of people in Sacramento that had the power to declare that it was not in compliance, they have the power to fine the City and that money would come from the General Fund. Agencymember Campbell said it is obvious that people resent intrusions into their neighborhood, however if there is absolutely no housing land available there is a possibility that the State could come in, buy a house and tell the city that they are taking it down and replace it with a fourplex, the local agency would have no choice, property rights is what this nation was founded on yet when the State starts meddling it does feel like socialism, people have lived the American dream in that they have worked hard for what they have, they were not given anything and resent it when someone else is just handed something especially when it is perceived that something is going to negatively impact their neighborhood, there are however many low and moderate income people in this community, there are only a few that ruin things for everyone I else. Agencymember Campbell said she has lived in Seal Beach for thirty-two years, it is her home, Old Town is her home as much as is College Park East, this is her City, everyone hates change and when the State comes in and tells the community they have to do something she personally gets incensed at someone in Sacramento impacting the General Fund, the Housing Element, etc., and it is the Council that has to explain it, deal with it, and carry it out. Agencymember Boyd acknowledged the fact that the Agency has to implement a Plan, staff has made solid recommendations, the Council has 4-22-02 I heard that the acquisition/rehab/deed restriction/ rental assistance program should be avoided, he would concur, he would also agree with the suggested guidelines for rehabilitation, there is $2.8 million that needs to be spent in five years, that has to be encumbered, even if the determination is to disband the Redevelopment Agency those monies have to be spent before that time occurs, he would concur with the recommendation to adopt the existing program as presented with the modifications as to the distribution of the additional monies in the amount of about $1 million rehab projects, however put a larger percentage into the mortgage assistance loans for first time home buyers, his feeling was that the Agency did not want to pursue assisting developers with new construction. He reviewed the modified numbers, home improvement loan grants increased to $800,000, eliminate the $925,000 for acquisition/rehab, for the Trailer Park the $600,000 would be kept for the subsidy with $500,000 for replacement/ rehab, and increase the mortgage assistance to the remaining balance, that is the $2.8 million, the mortgage assistance will bring forth people the community can embrace, people who have worked hard for home ownership yet have a moderate means of income, they will stay within the community for some time given their pride of ownership. He expressed his belief that that is what the community wants, they do not want deed restrictions for multiple family properties rather people who want to become part of the community, and if they are of low to moderate income means it would be well to assist them, noted too that there are several people who have qualified for the home improvement grant program which was implemented about four years ago. The Development Services Director confirmed that there had been thirty to thirty-five applicants however only six followed through with the program. To that Agencymember Boyd suggested that in the future the fact that there is a low and moderate income program for home improvements should be publicized. Agencymember Campbell said most of the previous applicants were adult children of residents of Rossmoor and College Park East who grew up in this area, can not afford to live here, yet looked at that as a means of getting back into the area. At the request of Member Campbell, Agencymember Boyd again reviewed the modified numbers of the Plan, of the deleted $925,000 acquisition/rehab monies apply $200,000 to the home improvement loans for a total of $800,000, take the balance of $725,000 and apply it to the mortgage assistance programs or increase the home improvement programs to $1 million and then apply the remaining $525,000 to mortgage assistance, the Trailer Park remains at $1.1 million. Agencymember Boyd asked if that will meet the objectives, the Director said it meets the program guidelines, adding that should there not be a good response to certain programs staff may request some reallocation in the future. Agencymember Boyd pointed out that this meets the objectives of the community to eliminate deed restrictions and rental subsidies, putting the focus back on ownership and rehab of existing properties. I I Agencymember Boyd moved to adopt the 2000-2005 AB 1290 Implementation Plan through the adoption of Resolution Number 02-2 entitled "A RESOLUTION OF THE REDEVELOPMENT AGENCY OF 4-22-02 / 5-28-02 THE CITY OF SEAL BEACH ADOPTING AN IMPLEMENTATION PLAN FOR THE RIVERFRONT REDEVELOPMENT PROJECT AND THE SURFSIDE REDEVELOPMENT PROJECT." Agencymember Campbell seconded the motion. By unanimous consent, full reading of Resolution Number 02-2 was waived. AYES: NOES: ABSENT: Boyd, Campbell, Larson, Yost None Doane Motion carried I Chairman Yost mentioned that in 2002 the conflict of interest laws changed and have gone to a raw distance, he has been informed by the City Attorney that he is free to vote on this matter in that it is a citywide project however when specifics come back with regards to the Trailer Park he will not be able to participate in a public way. AGENCY COMMENTS Agencymember Larson said he can share the concern of Agencymember Campbell with regard to the State telling the City what to do, he goes back to them taking away the proposed golf course and giving back a swamp on the Hellman property. ADJOURNMENT It was the order of the Chair, with consent of the Council, to adjourn the meeting at 9:25 p.m. Chairma~ I Seal Beach, California May 28, 2002 The Redevelopment Agency of the City of Seal Beach met in regular session at 6:45 p.m. with Chairman Yost calling the meeting to order with the Salute to the Flag. ROLL CALL Present: I Chairman Yost Agencymembers Antos, Campbell, Doane, Larson Absent: None Also present: Mr. Bahorski, Executive Director Mr. Pieper, Assistant City Attorney