2009-03-17 Joint CC CIC MinutesMINUTES OF THE SPECIAL JOINT CITY COUNCIL AND
COMMUNITY IMPROVEMENT COMMISSION (CIC) MEETING
TUESDAY- -MARCH 17, 2009- -7:27 P.M.
Mayor/Chair Johnson convened the Joint Meeting at 8:02 p.m.
ROLL CALL – Present: Councilmembers/Commissioners deHaan,
Gilmore, Matarrese, Tam, and Mayor/Chair
Johnson - 5.
Absent: None.
MINUTES
(09-12 CIC) Minutes of the Special Community Improvement Commission
Meeting held on March 3, 2009.
Commissioner Gilmore moved approval of the minutes.
Commissioner Tam seconded the motion, which carried by unanimous
voice vote – 5.
AGENDA ITEM
(09-105 CC) Recommendation to approve a $3 million loan from the
City Sewer Fund to the Community Improvement Commission for
matching funds for construction of the Webster Street/Wilver
“Willie” Stargell Avenue Intersection Project, No. P.W. 10-08-26;
and
(09-13 CIC) Recommendation to approve funding and award a Contract
in the amount of $6,923,869, including contingencies, to Top Grade
Construction for the Webster Street/Wilver “Willie” Stargell Avenue
Intersection Project, No. P.W. 10-08-26.
The Base Reuse and Community Development Manager gave a brief
presentation.
Mayor/Chair Johnson requested clarification on the State
Transportation Improvement Program (STIP) funding timeline.
The Base Reuse and Community Development Manager stated funding was
allocated in September; the City has six months to award a
Contract; after the Contract is awarded, the first invoice needs to
be processed within the following six months; construction needs to
commence shortly after the award of the Contract; overall
construction needs to be completed in one year.
Special Joint Meeting
Alameda City Council and Community Improvement Commission
March 17, 2009
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Mayor/Chair Johnson inquired what would happen if timelines are not
met, to which the Base Reuse and Community Development Manager
responded the $4 million would be forfeited.
Mayor/Chair Johnson inquired whether staff is watching to see
whether the project would qualify for stimulus funding, to which
the Base Reuse and Community Development Manager responded in the
affirmative.
Councilmember/Commissioner Matarrese inquired: 1) whether the City
would be paid back the $3 million in Sewer Fund money if stimulus
funding were received; 2) what would happen if Catellus does not
move forward; and 3) whether the City would only receive $2 million
back from Catellus or whether the $2 million is the down payment on
the obligation.
The Base Reuse and Community Development Manager responded the City
would receive $2.2 million for the Stargell Avenue project if
Catellus moved forward with Target only; stated Catellus would be
100% responsible for the local match if the rest of the project
moves forward; that she is not sure whether the City would be able
to be reimbursed with stimulus funding.
Councilmember/Commissioner Matarrese inquired whether the City
could lose $3 million, which is the delta between the estimate and
the actual bid, in addition to the $4 million, to which the Base
Reuse and Community Development Manager responded in the
affirmative.
Mayor/Chair Johnson inquired whether thought should be given to
phasing the project.
The Interim Finance Director responded the Stargell Avenue project
would not qualify for stimulus funding; stated the federal
government is talking about a second, third, and fourth recovery;
the City needs to look to the State because the State may be
offering some incentives for ready projects; the City would draw
down on the loan amount based on actual needs; not having some
opportunity to repay the Sewer Fund in the next five years is less
than 3%.
Vice Mayor/Commissioner deHaan inquired how much money is in the
Sewer Fund.
The Interim Finance Director responded the true cash fund balance
is approximately $18 million.
Special Joint Meeting
Alameda City Council and Community Improvement Commission
March 17, 2009
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Vice Mayor/Commissioner deHaan inquired where the money came from,
to which the Interim Finance Director responded the money
accumulated over time.
Vice Mayor/Commissioner deHaan inquired what are the funding
projections for the next five years.
The Public Works Director responded existing projects would
continue without needing to access any of the money that would be
part of the loan; stated staff is currently embarking on a Sewer
Master Plan to identify a twenty-year capital improvement project
plan which would indicate whether property tax fees should remain
the same or change.
Vice Mayor/Commissioner deHaan inquired whether some of the funding
would be used for Alameda Point infrastructure.
The Public Works Director responded typically, developers pay
improvement costs.
Vice Mayor/Commissioner deHaan inquired what would be the funding
stream if Catellus does not move forward.
The Base Reuse and Community Development Manager responded the CIC
would be the promissory note holder; stated funding could come from
tax increment, bonds, or lease revenues from Alameda Reuse and
Redevelopment Authority (ARRA) or Fleet Industrial Supply Center
(FISC).
Vice Mayor/Commissioner deHaan inquired how other tax increment
projects would be impacted.
The Base Reuse and Community Development Manager responded staff
would start budgeting for the loan repayment; stated other
redevelopment projects may have to be postponed.
Councilmember/Commissioner Tam stated the staff report notes that
the $2.2 million pro rata share would be triggered within 120 days
of Catellus finalizing a Purchase and Sale Agreement with Target;
inquired whether getting some type of entitlement before the $2.2
pro-rata share moves into City funds is not necessary, to which the
Base Reuse and Community Development Manager responded in the
affirmative.
Councilmember/Commissioner Tam stated other revenue sources are
listed in addition to the Sewer Fund; there has been an on-going
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Alameda City Council and Community Improvement Commission
March 17, 2009
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impression that revenue sources are not sufficient to meet all
capital needs and maintenance costs in the long run; inquired
whether funds would be compromised by trying to move funding from
accounts to pay for the Willie Stargell project.
The Base Reuse and Community Development Manager responded the
Public Works Director noted that the Sewer Fund would not be
impacted; ARRA and FISC lease revenue funds are available and
sufficient; funds are still available for water system upgrades.
Councilmember/Commissioner Matarrese moved approval of the staff
recommendations.
Councilmember/Commissioner Matarrese stated the extension is needed
regardless of whether Alameda Landing goes forward within the
timeline.
Councilmember/Commissioner Tam seconded the motion.
Under discussion, Vice Mayor/Commissioner deHaan stated that he is
extremely supportive of the staff recommendation; that he has
concerns with potentially impacting future projects; Catellus might
not move forward with Alameda Landing.
Mayor/Chair Johnson stated the extension is necessary whether
Catellus goes forward with Alameda Landing or not.
On the call for the question, the motion carried by unanimous voice
vote – 5.
ADJOURNMENT
There being no further business, Mayor/Chair Johnson adjourned the
Special Joint Meeting at 8:23 p.m.
Respectfully submitted,
Lara Weisiger, City Clerk
Secretary, Community Improvement
Commission
The agenda for this meeting was posted in accordance with the Brown
Act.
Special Joint Meeting
Alameda City Council and Community Improvement Commission
March 17, 2009
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