2007-07-18 Special Joint ARRA CC CIC MinutesApproved
Minutes of the Special Joint Meeting of the
City Council, Alameda Reuse and Redevelopment Authority, and
Community Improvement Commission
Wednesday, July 18, 2007
The meeting convened at 7:53 p.m. with Mayor/Chair Johnson presiding.
1. ROLL CALL
Present: Mayor/Chair Beverly Johnson
Councilmember/Boardmember/Commissioner Marie Gilmore
Councilmember/Boardmember/Commissioner Doug deHaan
Councilmember/Boardmember/Commissioner Frank Matarrese
Vice Mayor/Boardmember/Commissioner Lena Tam
2. REGULAR AGENDA ITEMS
Item 2-A. Recommendation to Approve Exclusive Negotiation Agreement (ENA) between
ARRA, CIC, City of Alameda (Alameda) and SCC Alameda Point, LLC (SunCal).
Leslie Little, Development Services Director, introduced staff and those involved in the ENA
process: for SunCal was Bill Myers, Amy Freilich, their Counsel, and Steve Elieff, President of
SunCal. For ARRA was Matt Fragner, Real Estate transaction attorney and special Counsel to
the ARRA, and Jim Musbach Financial Consultant from EPS.
Ms. Little gave a powerpoint presentation as an overview of the ENA process, citing the purpose
of the ENA:
- Define redevelopment and entitlement process for Alameda Point
- Provide a framework for negotiation of a Disposition and Development Agreement
- Establish a process for negotiating and executing various other transaction
documents.
Included in the presentation was a summary of the major terms of the ENA, including the length
of term, schedule of performance, initial payment and cost recovery, project labor agreement,
fiscal neutrality, project pro forma, existing city leases, and transfers.
Next steps included:
- SunCal to provide a pre-development schedule for achieving mandatory and non-
mandatory milestones within 30 days to be updated quarterly
- SunCal, in conjunction with ARRA staff, to commence project planning and
negotiations
At the conclusion of the presentation, there was concern by all Councilmembers/Boardmembers/
Commissioners of three issues included in the ENA, specifically regarding: 1) the financial
structure and knowledge of who the financial partners are before the DDA process, including the
reference to the 5% contribution relative to the DDA; 2) the liability of the acquisition price of
$108.5M ; and 3) prohibiting transfers during the ENA period.
At 9:50 p.m., Mayor/Chair Johnson called a recess so that the SunCal team could discuss these
issues with their principals. The meeting reconvened at 10:22 p.m.
2-A
Matt Fragner, with the Councilmember’s/Boardmember’s/Commissioner’s approval, revised and
recited the precise language modifying the three specific issues of the ENA.
Councilmember/Boardmember/Commissioner deHaan motioned to approve the ENA with
the modifications to the specific sections in the ENA. Motion was seconded by Vice
Mayor/Boardmember/Commissioner Tam and passed by the following voice votes: 5 Ayes,
0 Noes, 0 Abstentions.
3. ADJOURNMENT
Meeting was adjourned at 11:27 by Mayor/Chair Johnson.
Respectfully submitted,
Irma Glidden
ARRA Secretary