MINUTES OF THE CITY COUNCIL

SAN JOSE, CALIFORNIA

 

TUESDAY, JUNE 22, 1999

 

The Council of the City of San Jose convened in Adjourned Regular Session at 4:59 P.M. to consider Items 8a and 8b in a joint meeting with the Redevelopment Agency Board.

 

               Present:      Council Members -  Chavez, Dando, Diaz, Diquisto, Fiscalini, LeZotte, Matthews, Powers, Shirakawa, Jr., Woody; Gonzales.

 

               Absent:       Council Members -  None.

 

ORDERS OF THE DAY

 

               Upon motion by Council Member Fiscalini, seconded by Council Member Shirakawa, and unanimously carried, the Orders of the Day and the Amended Agenda were approved. Vote: 10-0-1-0. Absent: Diaz.

 

JOINT REDEVELOPMENT/CITY COUNCIL AGENDA ITEMS

 

8a           Adoption of resolutions by the City Council and the Agency Board:

               (1)        Accepting the summary of costs and findings of the revised Summary Report and Reuse Value pursuant to the California Health and Safety Code 33433 for the 17.000 square foot retail/office rehabilitation project located at 35 – 49 East Santa Clara Street; and,

               (2)        Approving the Termination and Settlement Agreement relating to the Disposition and Development Agreement dated January 6, 1998, including the related Ground Lease and Purchase Agreement, between the Agency and Dr. James Kim-Tzong Eu and Ling Yu Eu regarding the acquisition, lease and rehabilitation of the property; and,

               (3)        Approving the Owner Participation and Loan Agreement with Dr. James Kim-Tzong and Ling Yu Eu, providing for Agency assistance in an amount up to $808,000; a loan of funds borrowed by the Agency from the U.S. Department of Housing and Urban Development in the principal amount of $1,350,000 with interest subsidized by the Agency; and an Economic Development Initiative Grant of $200,000 for rehabilitation of the property; and,

               (4)        Authorizing the Executive Director to execute other related documents and approve minor and technical changes to those documents.

               CEQA: Resolution No. 68839 [MERGED]

 

               Documents filed: None.

 

               Discussion/Action: This item was deferred to June 29, 1999.

 

8b           Adoption of resolutions:

               (1)        By the Agency Board approving an agreement with the Rotary Club of San José and the San José Rotary Club Endowment for the Agency to include a banquet facility on the roof of the planned 4th and San Fernando Street parking garage in exchange for a $1,000,000 contribution guaranteed by the Club from the Endowment; and,

               (2)        By the City Council approving an agreement with the Rotary Club of San José relating to reservation of the use of the banquet and related parking facilities for weekly luncheon meetings and certain other events during a 35-year period.

               CEQA: Resolution No. 68839.

 

               Documents filed: Memorandum from Acting City Manager Debra J. Figone and Redevelopment Executive Director Frank M. Taylor, dated June 9, 1999, recommending adoption of said resolutions.

 

               Discussion/Action: The following speakers addressed the Council. Marshall “Randy” Hall and Terry Graff, Rotary Clubs of San José, spoke in support of the proposal and William Garbett spoke in opposition. Mayor Gonzales stated he is concerned about the cost of the project and requested Agency Staff work with the Rotary Club to ensure the project is completed with reasonable costs. Upon motion by Vice Mayor Fiscalini, seconded by Council Member Powers, and unanimously carried, Redevelopment Agency Resolution No. 4722, authorizing the execution of an agreement with the Rotary Club of San José and the San José Rotary Club Endowment for the Agency to include a banquet facility on the roof of the planned 4th and San Fernando Street parking garage in exchange for a $1,000,000 contribution guaranteed by the Club from the Endowment, and City Resolution No. 68970.1, entitled: “A Resolution of the Council of the City of San José Authorizing the City Manager to Execute an Agreement with the Rotary Club of San José Relating to Reservation of the Use of the Banquet and Related Parking Facilities for Weekly Luncheon Meetings and Certain Other Events During a 35 Year Period”, were adopted. Vote: 10-0-1-0. Absent: Diaz.

 

ADJOURNMENT

 

               The City Council portion of the meeting was adjourned at 5:04 p.m.

 

 

RON GONZALES, MAYOR

 

ATTEST:

PATRICIA L. O’HEARN, CITY CLERK