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CDC - Item 2A - Minutes 06-10-08• 0 Minutes of the Regular COMMUNITY DEVELOPMENT COMMISSION MEETING June 10, 2008 Chairman Tran called the regular meeting of the Rosemead Community Development Commission to order at 6:07 p.m. in the Rosemead Community Recreation Center, 3936 N. Muscatel Avenue, Rosemead, California. FLAG SALUTE: Commissioner Clark INVOCATION: Commissioner Low ROLL CALL OF OFFICERS PRESENT: Commissioner's Clark, Low, Taylor, Vice-Chairman Nunez, Chairman Tran. OFFICIALS PRESENT: Executive Director Chi, Agency Attorney Montes, Assistant City Manager Saeki, Assistant City Manager Hawkesworth, Director of Finance Brisco, Public Affairs Manager Flores, Director of Parks and Recreation Montgomery-Scott, Economic Development Administrator Ramirez, and Commission Secretary Molleda. 1. PUBLIC COMMENTS FROM THE AUDIENCE: None 2. CONSENT CALENDAR A. Minutes May 27, 2008 - Regular Meeting B. Resolution No. 2008-17 Claims and Demands Recommendation: Adopt Resolution No. 2008-17 for payment of Commission expenditures in the amount of $162,693.97 demands no. 8236 through 8243 and 8940 through 8941 and 9376 through 9380. Vice-Chairman Nunez made a motion, seconded by Commissioner Low to approve the Consent Calendar. Vote resulted in: Yes: Clark, Low, Nunez, Taylor, Tran No: None Abstain: None Absent: None 3. MATTERS FROM THE CHAIRMAN & COMMISSIONERS Community Development Commission Meeting Minutes of June 10, 2008 Page 1 3 • C 4. MATTERS FROM THE EXECUTIVE DIRECTOR & STAFF A. Adoption of the Rosemead Community Development Commission's ("RCDC") Fiscal Year 2008-09 Annual Operating and Capital Improvement Budget The RCDC's fiscal year 2008-09 Annual Operating and Capital Improvement Budget is as follows: Total Appropriations FY 2008-09 $5,964,450 Recommendation: That the RCDC Commissioners adopt Resolution No. 2008- 16 approving the fiscal year 2008-09 Annual Operating and Capital Improvement Budget in the amount of $5,964,450. Vice-Chairman Nunez made a motion, seconded by Commissioner Low to approve the Rosemead Community Development Commission's Fiscal Year 2008-09 Annual Operating and Capital Improvement Budget. Vote resulted in: Yes: Low, Nufiez, Tran No: Clark, Taylor Abstain: None Absent: None B. Rosemead Inn Purchase On December 11, 2007, the City Council authorized staff to purchase the Rosemead Inn located at 8832 Glendon Way for $4.4 million. At that time, the Agency did not have the available funds to purchase the property. Therefore, the City Council approved a $4.4 million loan from the general fund to the Agency to pay for the property. It should be noted that the property appraised for $4.5 million. The motel is now in escrow and is scheduled to close on June 27, 2008. Over the last several weeks, staff has been preparing for the close of escrow and in doing so, has been researching other potential funding sources available to purchase the hotel. After much vetting and research, it has been determine that there are non- restricted tax increment dollars available in the CDC to fund the transaction. Therefore, a loan from the general fund to the Agency is no longer required. In fact, the general fund will not need to contribute a single dollar toward the purchase of the hotel. Recommendation: That the Community Development Commission approve Resolution No. 2008-18 appropriating $ 4.4 million of unrestricted tax increment dollars to purchase the Rosemead Inn. Community Development Commission Meeting Minutes ofJune 10, 2008 Page 2 of 3 • 0 Juan Nunez - spoke against the purchase of the Rosemead Inn. Vice-Chairman Nunez made a motion, seconded by Commissioner Low to approve Resolution No. 2008-18 appropriating $4.4 million of unrestricted tax increment dollars to purchase the Rosemead Inn. Vote resulted in: Yes: Low, Nunez, Tran No: Clark, Taylor Abstain: None Absent: None 5. ADJOURNMENT The meeting adjourned at 6:23 pm. The next Community Development Commission meeting will take place on July 8, 2008 at 6:00 pm. John Tran Chairman ATTEST: Gloria Molleda Commission Secretary Community Development Commission Meeting Minutes o/June 10, 2008 Page 3 of 3