2002-05-07 Special CIC MinutesMINUTES OF THE SPECIAL COMMUNITY IMPROVEMENT COMMISSION MEETING
TUESDAY- -MAY 7, 2002- -7:25 P.M.
Chair Appezzato convened the Special Meeting at 7:28 p.m.
Commissioner Johnson led the Pledge of Allegiance.
ROLL CALL - Present: Commissioners Daysog, DeWitt, Johnson,
Kerr, and Chair Appezzato.
Absent: None.
M T T\TT T'T' F..q
(02 -011) Minutes of the Special Community Improvement Commission
(CIC) Meeting of March 19, 2002; the Special Joint City Council and
CIC Meeting (Closed Session) and the Special CIC Meeting (Closed
Session) of April 16, 2002. Approved.
Commissioner DeWitt moved approval of the minutes.
Commissioner Johnson seconded the motion, which carried by
unanimous voice vote - 5.
AGENDA ITEM
(02 -012) Recommendation to authorize the Executive Director to
enter into an Owner Participation Agreement with Alameda
Hospitality LLC.
The Development Services Management Analyst stated that two years
ago Alameda Hospitality Owner, Sandip Jariwala, requested
permission to construct a 50 -room hotel at 628 Webster Street;
since then, a new Community Facilities fee was established; due to
the hotel's location, the project is subject to Traffic Control
Management Plan (TCMP) fees; additional fees resulted in a $121,000
increase in mitigation fees; Mr. Jariwala is requesting financial
assistance for additional, unanticipated project costs; staff is
proposing a deferred fee payment schedule over a four -year period
after tax increment is generated by the project.
Commissioner Kerr inquired whether the developer indicated that the
project would not go forward if financial assistance was not
provided, to which the Development Service Management Analyst
responded the owner indicated that going forward would be
difficult.
Commissioner Kerr stated looking at traffic in the West End is
important; developers should be expected to pay fees.
Special Meeting
Community Improvement Commission
May 7, 2002
The Development Service Management Analyst stated the project was
initiated before fees were established; therefore, Mr. Jariwala did
not estimate said cost; the project would generate a significant
amount of increased tax increment.
Commissioner Kerr stated after TCMP passed, developers should be
expected to pay fees.
Commissioner Johnson inquired whether the fees are being paid by
the Community Improvement Commission for Alameda Hospitality.
The Development Service Management Analyst responded the
unanticipated fees will be reimbursed after the project shows an
increase in tax increment; regular development fees would not be
reimbursed.
Commissioner Johnson inquired if said [regular development] fees
are being paid.
The Development Service Management Analyst responded in the
affirmative; stated the property owner will pay after construction
is completed; over four years, fees would be reimbursed based on
the tax increment.
Commissioner Johnson inquired if reimbursement comes out of the
traffic fund or out of tax increment money.
The Development Service Management Analyst responded the money
would be generated by the project itself in increased tax
increments.
Commissioner Johnson inquired if fees would be fully paid, to which
the Development Service Management Analyst responded in the
affirmative and stated the fees are being paid by the project
itself.
Commissioner Kerr stated the Community Improvement Commission is
paying $121,000.
The Development Service Management Analyst stated said money will
be paid only out of the increase in tax increment generated by the
project.
Commissioner Daysog inquired whether there are any other similar
projects, to which the Executive Director responded in the
negative.
Special Meeting
Community Improvement Commission
May 7, 2002
Commissioner Johnson stated the applicant started the process
before fees were approved; the action does not set a precedent.
Chair Appezzato inquired whether the West Alameda Business
Association supports the project, to which the Development Service
Management Analyst responded in the affirmative.
Commissioner DeWitt stated the business will bring revenue to the
City through taxes; money will be paid back through a deferred
payment over a four year period.
Commissioner Johnson moved approval of the staff recommendation.
Commissioner DeWitt seconded the motion, which carried by the
following voice vote: Ayes: Commissioners DeWitt, Johnson and Chair
Appezzato - 3. Noes: Commissioners Daysog and Kerr - 2.
ADJOURNMENT
There being no further business, Chair Appezzato adjourned the
Special Meeting at 7:41 p.m.
Respectfully submitted,
Lara Weisiger, Secretary
Community Improvement Commission
The agenda for this meeting was posted in accordance with the
Brown Act.
Special Meeting
Community Improvement Commission
May 7, 2002