2008-07-01 Special ARRA MinutesAPPROVED
MINUTES OF THE REGULAR MEETING OF THE
Present: Chair Beverly Johnson
Boardmember Doug deHaan
Boardmember Frank Matarrese
Boardmember Marie Gilmore
Vice Chair Lena Tam
(Chair Johnson was absent at the time of roll call, returned at approximately 12:50 a.m.,
during Item 3-A)
2. CONSENT CALENDAR
2 -A. Approve the minutes of the Regular Meeting of June 4, 2008.
2 -B. Approve a Sublease for Stafford Stafford Sent Packing at Alameda Point.
2 -C. Accept a $128,000 Grant from the Federal Office of Economic Adjustment in Support of
the North Housing Parcel Screening Process and Authorize the Executive Director to
Execute Related Documents.
Approval of the Consent Calendar was motioned by Member Gilmore, seconded by
Member Matarrese and passed by the following voice votes: Ayes: 4, Noes: 0, Abstentions:
0.
3. REGULAR AGENDA ITEMS
3 -A. Alameda Point Update
Debbie Potter, Base Reuse and Community Development Manager, gave a brief update on
Alameda Point activities. She stated that the highlight was the meeting that SunCal and ARRA
staff had with Navy staff in San Diego on June 5th. Discussions included talking to Navy staff
about beginning a process to kick off renegotiation of the term sheet, and the Navy has embraced
a schedule that will get us to a term sheet by July 2009. SunCal has been working over past 6 -8
weeks on land use and infrastructure assumptions, and the costs associated with the infrastructure
proposals. Staff has also been working on the Federal legislation which was the focus of the
update at the last meeting. Not much has changed, legislation was passed by the House in May,
and is now awaiting activity in Senate. The Senate has not yet addressed the authorization bills,
but we expect that it will happen in the next couple of weeks. Ms. Potter introduced Pat Keliher,
SunCal's project manager on the Alameda Point project, to answer questions from the Board.
Member deHaan asked whether the language revisions on the legislation had been ironed out.
Ms. Potter explained that the revisions were made reflective of the direction from the ARRA and
that the Navy and the VA are currently reviewing the proposed changes.
Member Matarrese requested, for the public, that Ms. Potter comment and describe the letter the
Navy sent to the ARRA in response to the ARRA's request for fiends to provide services to
Alameda Point. Ms. Potter explained that the Navy sent the ARRA a response that there is a 50
year Lease in Furtherance of Conveyance ( LIFOC) Agreement that allows us to lease the
property, collect revenue, and use the lease revenues for maintenance of the property. The Navy
further stated that they did not anticipate revisiting the terms of the LIFOC for maintenance
activities.
Member Tam asked if the Navy is implying we increase our lease rates in order to generate the
necessary fiinds we were requesting. Ms. Potter replied that that was the conclusion the Navy
has eluded to, but that they were not offering to step in, nor did they offer any options to
augmenting anything.
Member deHaan expressed his concern and dissatisfaction with the Navy's response - given that
the property is in a state of deterioration and does not make economic sense - and requested
further discussion. Chair Johnson agreed and requested the item be agendized and brought back
for discussion at the next ARRA meeting.
Pat Keliher gave a brief update on the high level topics, including infrastructure, baseline
assumptions, and mitigation on some of the issues. He stated SunCal's goal for their consultants
and City Staff to agree on baseline assumptions, which affect the entire land plan. He's
optimistic that progress is being made to achieve that goal. The number one issue that SunCal
and City staff has agreed on was what to assume for global warming, sea level rise and the
design parameter, which is 18 inches - a reasonable baseline to set design standards. All of the
land plan will be based on that assumption. Another important issue is the Floodplain and
mitigation. SunCal is evaluating the pros and cons of three main options: 1) elevate everything,
2) levy systems, or 3) a combination of the both. Mr. Keliher further discussed that their
Environmental consultants are working with the Department of Toxic Substances Control
(DTSC) and the Environmental Protection Agency (EPA) to agree upon what these agencies will
allow SunCal to build — housing? housing over retail? What are the requirements? SunCal is
slowly getting answers from the agencies. Another high level topic is the Sports Complex —
Nick Kosla of SunCal has been working with Dale Lillard, Recreation and Parks Director, to
identify and interview three master planners for the Sports Complex. They are hoping, that in
the next week or two, to select a master planner and begin the public process. The next
community meeting is scheduled on August 7th° which will include a summary of the last
meeting and new information to date, as well as information on the Sports Complex. There is
also a plan to schedule the next meeting with the Navy at the end of July to discuss the Business
Model and Plan.
Mr. Keliher informed the Board that SunCal has conducted a survey on most of the existing
historic buildings to determine if their floor is above floodplain. Some hangars are still in the
floodplain, but most are out, including City Hall West. The survey gave SunCal an important and
good datapoint which is useful in evaluating their adaptive reuse formula.
Mr. Keliher concluded by informing the Board that SunCal has a new capital partner, which they
will bring back to the Board in August.
There was one speaker on this item, Bill Smith, who discussed several topics, including the 18-
inch baseline.
4. ORAL REPORTS
4 -A. Oral report from Member Matarrese, Restoration Advisory Board (RAB)
representative.
Member Matarrese did not have a report, as the next RAB meeting in on Thursday, July -1
5. ORAL COMMUNICATIONS, NON - AGENDA (PUBLIC COMMENT)
There were no speakers.
6. COMMUNICATIONS FROM THE GOVERNING BODY
Chair Johnson reported that she attended the Spring Meeting for U.S. Conference with Mayors,
and that it was very good. Member Tam asked if Chair Johnson had the opportunity to meet
Senator Obama. Chair Johnson said she heard and saw Senator Obama speak, but did not meet
him. She did, however, get Bill Clinton's autograph.
7. ADJOURNMENT
Meeting was adjourned at 1:00 a.m. (7/2/08) by Chair Johnson.
Respectfidly submitted,
Irma Glidden
ARRA Secretary