CIC Resolution 03-114COMMUNITY IMPROVEMENT COMMISSON
RESOLUTION NO.0 3 —114
MAKING FINDINGS CONCERNING A PROPOSED BIO-
TECHNOLOGY INCUBATOR AT THE FORMER
FLEET INDUSTRIAL SUPPLY CENTER AND
PLEDGING CIC SUPPORT FOR THE PROJECT VIA BELOW
MARKET SALE AND PROVISION OF
BACKBONE INFRASTRUCTURE TO THE SITE
WHEREAS, the Alameda City Improvement Commission ( "CIC" or
"Commission ") has committed to sell a 3.44 acre site at the former Fleet and Industrial
Supply Center to Catellus Development Corporation, a Delaware corporation ( "Catellus ")
for the development of light industrial and office uses, including research and
development, more particularly described in that certain Development and Disposition
Agreement between Catellus and the CIC dated June 16, 2000; and as amended to date
( "the site" and "the DDA," respectively); and
'WHEREAS, Catellus has indicated that current market conditions do not support
development of that site for those uses on a non - subsidized basis at this time and that it
has agreed to sell the site to Advancing California's Emerging Technologies, a California
non -profit corporation, ( "ACET ") for the purposes referenced in this Resolution; and
WHEREAS, ACET has obtained a $6.44 million grant from the United States
Economic Development Agency ("EDA") to relocate and expand its existing
biotechnology incubator from Alameda Point to a 35,000 square foot building ACET has
agreed to construct and maintain on the site as an incubator for emergent biotechnology
businesses ( "the grant" and "the project," respectively); and
WHEREAS, development of the project will trigger the investment of the $6.44
million grant in the City of Alameda, facilitate the goal of the City and the CIC to
establish a niche market in the City for high technology and biotechnology businesses,
and will catalyze the improvement and occupancy of the nearby Enterprise Landing
Business Park, and thereby contribute to the goals of the CIC redevelopment plan for the
site, the economic development goals of the City, and the public health, safety, and
general welfare; and
WHEREAS the EDA grant requires a 20% local match; and
WHEREAS, this 20% local match may be met by the provision of backbone
infrastructure to the site, a write -down of the purchase price of the site by the CIC, and by
the City's waiver of certain development fees with respect to the construction of the
project; and
WHEREAS, ACET has agreed to repay the CIC for any cost of providing
backbone infrastructure to the site which exceeds the sum of $1.2 million and to repay the
City the amount of any development impact fee waiver granted pursuant to this resolution
in the event that ACET fails to develop the project, to operate the project for twenty (20)
years, or sells the site or loses title to the site prior to the expiration of that time by
bankruptcy, foreclosure or otherwise; and
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WHEREAS, Catellus will convey the site to ACET, and ACET will convey to the
CIC and the City a second deed of trust, junior only to any security interest provided to
the EDA pursuant to the grant, to secure the contingent repayment obligations referenced
immediately above.
NOW, THEREFORE, BE IT RESOLVED that the Commission does hereby find,
order and resolve as follows:
1. California Environmental Quality Act. The Commission makes the
following findings with respect to this project:
(a)
(b)
(c)
(d)
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The City Council previously certified a Final
Environmental Impact Report on May 31, 2000 for the
Catellus Mixed Use Development, State Clearinghouse
Number 1998112078 ( "the EIR "). The City Council made
findings regarding Catellus' proposed development,
including development of the site for uses as are proposed
by the project. The mitigation measures and mitigation
monitoring program adopted by the City Council with
respect to the Catellus proposal are applicable to the
project.
No substantial changes between Catellus' proposed use of
the site and the project exist, as both propose office and
research and development uses. Thus, there will be neither
new significant environmental impacts nor any substantial
increase in the severity of the previously identified
significant effects by virtue of the substitution of the
project for Catellus' earlier proposal for the site.
No substantial changes have occurred with respect to the
circumstances under which the project is to be undertaken
as compared to the circumstances analyzed in the EIR that
involve significant environmental effects or a substantial
increase in the severity of previously identified significant
effects.
No new information of substantial importance which was
not known and could not have been known at the time the
EIR was certified shows that the project will have
significant effects not discussed in the EIR, environmental
effects substantially more severe than shown in the EIR,
that mitigation measures previously found infeasible would
in fact be feasible and would substantially reduce one or
more significant effects of the project, or that mitigation
measures or alternatives to the project that are considerably
different than those analyzed in the EIR would substantially
reduce one or more significant effects of the project.
(e)
Accordingly, pursuant to Public Resources Code Section
21166 and Section 15162(a) and (b) of the State CEQA
Guidelines, the Commission hereby determines that no
further environmental documentation is required with
respect to the project and that the project shall be subject to
the applicable mitigation measures and the mitigation
monitoring program adopted upon certification of the EIR.
2. ACET's Consideration. The concessions granted to ACET by the CIC and
the City, namely the facilitation of sale of the site at less than its fair market value, the
provision of backbone infrastructure to the site by the CIC, the waiver of development
fees by the City, and the forgiveness of the contingent liability to repay infrastructure
costs incurred by the CIC in excess of $1.2 million and to repay the waived development
fees upon twenty (20) years' operation of the project by ACET on the site are made in
consideration of the following benefits of the project and are, for those reasons, not a gift
of public funds: (a) Development of the site for ACET's expanded incubator will trigger
the investment of the $6.44 million grant in the City of Alameda, benefiting the City,
other businesses in the City, and the residents of the City. (b) That development will
advance the goal of the City and the CIC to establish a niche market in the City for high
technology and biotechnology businesses. (c) That development will catalyze the
improvement and occupancy of the Enterprise Landing Business Park. (d) For each of
these reasons, the project will contribute to the goals of the CIC redevelopment plan for
the site, the economic development goals of the City, and the public health, safety, and
welfare.
3. Accordingly, the Commission hereby agrees, on the conditions noted in
paragraph 4 below, to consent to the transfer of the site by Catellus to ACET and to
provide backbone infrastructure to the site as detailed in the DDA. It is the
Commission's intent in so agreeing that the bargain sale of the site to ACET, the waiver
of development fees by the City, and the provision of backbone infrastructure shall
collectively constitute adequate local match for the EDA grant referenced above.
4. The Commission Secretary shall certify the passage of this resolution,
enter in the official records of the Commission, and provide a certified copy to ACET and
to the EDA.
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I, the undersigned, hereby certify that the foregoing Resolution was duly and regularly
adopted and passed by the Community Improvement Commission of the City of Alameda in a
Special Community Improvement Commission meeting assembled on the 22" day of July, 2003, by
the following vote to wit:
AYES: Commissioners Daysog, Matarrese and Chair Johnson - 3.
NOES: Commissioner Kerr — 1.
ABSENT: None.
ABSTENTIONS: None.
IN WITNESS, WHEREOF, I have hereunto set my hand and affixed the official seal of said
Commission this 23rd day of July, 2003.
verly Jo
Community
nt Commission
Lara Weisiger, Secretary
Community Improvement Commission