CDC - Item 2A - Minutes 10-14-08Minutes of the
Community Development Commission Meeting
October 14, 2008
Chairman Tran called the regular meeting of the Rosemead Community Development Commission
to order at 6:05 p.m. in the City Hall Chamber, 8838 E. Valley Blvd, Rosemead, California 91770.
FLAG SALUTE: Commissioner Taylor
INVOCATION: Chairman Tran
ROLL CALL OF OFFICERS PRESENT: Chairman Tran, Vice-Chairman Nunez, Commissioner
Low, Commissioner Taylor, Commissioner Clark
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-Scoff, Economic Development Administrator
Ramirez, and Commission Secretary Molleda.
1. PUBLIC COMMENTS FROM THE AUDIENCE - None
2. CONSENT CALENDAR
A. Minutes
September 9, 2008 - Regular Meeting
September 23, 2008 - Regular Meeting
Minutes were differed to the next Community Development Commission meeting.
B. Resolution No. 2008.29 Claims and Demands
Recommendation: Adopt Resolution No. 2008-29 for payment of Commission
expenditures in the amount of $1,695,357.25 demands Nos. 9941 through 9948 and 11042
through 11044.
Commissioner Low made a motion, seconded by Vice-Chairman Nunez, to approve
Resolution No. 2008-29. Vote resulted in:
Yes: Clark, Low, Nunez, Taylor, Tran
No: None
Abstain: None
Absent: None
Rosemead Community Development Commission ITEM NO. 9q:~4-
Minutes of October 14, 2008
Page I Q1'3
•
3. MATTERS FROM THE CHAIRMAN & COMMISSIONERS - None
4. MATTERS FROM THE EXECUTIVE DIRECTOR & STAFF
A. Rosemead Inn Hotel Operating Agreement
On August 26, 2008, the Rosemead Community Development Commission
selected Rosemead Inn Hotel Partners, LLC as the operator for the Commission
owned Rosemead Inn Hotel. The following are the deal points to the draft
operating agreement between the Commission and the Rosemead Inn Hotel
Partners, LLC:
• Two year operating term;
• The Commission may terminate the Agreement without just cause and
without penalty at any time upon giving at least sixty (60) days notice to
the Operator;
• The Commission will contribute $100,000 towards the renovation of the
hotel;
• The Operator must complete the renovation and open the hotel for
business no later than ninety (90) days from the day the agreement is
executed;
• The Operator agrees to compensate the City 60% of any excess profits
not less than $6000 per month during the first year of operation and 60%
of any excess profits not less than $10,000 per month during the second
year of operation. It should be noted that does not include any transient
occupancy tax (TOT) which is estimated to be an additional $50,000 per
year.
Recommendation: That the Community Development Commission authorize the
Executive Director to enter into an operating agreement wit the Rosemead Inn
Hotel Partners, LLC to operate the Rosemead Inn Hotel.
Juan Nunez - expressed concern that the city lost money during the transaction of the purchasing
of the hotel.
Vice-Chairman Nunez made a motion, seconded by Commissioner Low, to approve staff'
recommendation. Vote resulted in:
Yes: Low, Nunez, Tran
No: Clark, Taylor
Abstain: None
Absent: None
Rosemead Community Development Commission
Minutes of October 14. 2008
Page 2 of 3
5. CLOSED SESSION
CONFERENCE WITH REAL PROPERTY NEGOTIATORS (GOVERNMENT
CODE SECTION 54956.8)
Property
8828 Glendon Way
8832 Glendon Way
8920 Glendon Way
3520 Ivar Avenue
3527 Ivar Avenue
Property Owner
M. Garcia
RC&IGroup
City of Rosemead
Thang Q. & Kathy T. Pham
Fifteen SAC Self Storage Corp
Negotiating Parties - Agency Executive Director
Assistant City Managers
Under Negotiation - Price and terms of payment
The Rosemead Community Development Commission recessed to closed session at 6:19 pm. and
reconvened back at 6:58 pm.
Vice-Chairman Nunez made a motion, seconded by Commissioner Low, to continue the
negotiations with property owners. Vote resulted in:
Yes: Low, Nunez, Tran
No: Clark, Taylor
Abstain: None
Absent: None
6. ADJOURNMENT
The Community Development Commission meeting adjourned at 8:30 pm. The next
Community Development Commission meeting will take place on October 28, 2008 at 6:00
pm.
ATTEST:
Gloria Molleda, City Clerk
John Tran
Mayor
Rosemead Community Development Commission
Minutes of October 14, 2008
Page 3 of 3