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Home My WebLink About1968-04-29; Parking Authority; Minutes/ ! M:CNtJTBS OF : CARLSBAD PARK!NG AUTHOR!TY _April 29, 1968. -, ' Iii .. • \ ' \, '\ ', ', ', ', " ' ', ', ' ',te of M' --tin,....•. --: of M...,~ti 3:30 P.M. ''\ ', ', ', ,_ ', '\ ',°' '..,, '\ '\ '~, ' , .n ' , < N-me ' '"!., ' ·~c-Car lsbad City Hal 1 Annex, 0 ', ',Co' ', ,S). I ,/..,,,C)~, ' ,_,..', l . . . 1 b d o ':o .. ,:,~ .. , .. '\ '.:~ .. ' • .ce of Meeting: 2960 Pio Pico Drive, Car s a . , .... ,,_ . ._,-,,,,;,.,"',, , Member •fo'fo',?'•P''..0\1 ------------------------------------·------------.-----------------.-----------------'-~--,---~ . I f PRESEN'J': W.W. Rogers, D.R. Daugherty, W.D. Cannon:, : . . I I William Baldwin, E. W. Snedeker, members:. : I I I I I I Also present wer~ Charles E. Martin, : : . I I City Manager, Stuart Wilson, City Attor-: : . 4 I ney~ Wayne P. Lill, City Engineer, Joe Spano~ Assistant City Engineer and City Councilman Glenn Mccomas. Mayor tiavid Dunne was present from 4:00 P.M. to 4:15 P.M. Chairman Rogers stated the purpose of this meeting was _to review the obligations, payrnen ts, etc. , to be made on the Parking lot for the May Company. He stated an on-site ~eview_of the May Company is scheduled after this meeting. The Building Inspector, Richard Osburn, will conduct this tour. . I I I I H~ explained the original. agreement called for th~ City to finance the parking facility which would be reimbursed by the May Company by the 1% sales tax, based on the amount qf sale~ made by the stores at the site. O'Melveny and Myers approved , this method. It was planned there would be one contract for the parking facility; :however, the excavation necessitated another contract. The ' I. City was to pay for the excavation, but on the surcharge, it was finally agreed that the May Corn~ pany pay one-half and that the City pay 75% of : the drainage costs on the parking lot. ! j • : The Agreements~ Leases and Escrow Instructions were reviewed by the Committee, wherei~ it was , pointed out the City is to maintain the parking I : lot; however, the May Company will bid for such i rnaintenan6e if ihe City wishes to have someone else maintain same. All the documents go into effect the vesting date. The Parking Lot is to be completed by December 31, 1968, or the Author- ity is under no obligation for payments, etc. Attorney Wilson stated these documents do provide for an extension clause, wherein if the parking lot could not be completed for extraordinary cir- cumstances, the time limit would be extended. Chairman Rogers stated it was his understanding that the May Company gives a Grant Deed of the property to the City and the City leases it to the Parking Authority. When· completed, the Park- ing Authority grants it back to the City and the City pays the May Company for their costs. The City then pays off the bonds. The ~rchitect pians to have £he plans for the parking lot by May 15, 1968 and hopes to let the contract in July, 1968. • • V I ' I I I I I I I • I I • I I I • I I I I I 0 I I ' I • I I I I I I I I I I I I I. I I I I I I I ' I I I I I I I I• • / ( -2- I ·, ~ity Manager Martin inquired if the City will have :to obtain insurance. I . . . I I I ~hair~an Rogers stated the May Company will pay th~ ~ecessary insurance.· The maximum payment to be i :made by the Parking Authority is $2,000,000.00. : ~his is based on a square footage figure or $4.00 ~ I I :foot, not to exceed the 2 million dollar figure. : I I ~onds have to be sold when the store opens. If : :the bonds cannot be sold within 6 months, they can : ~e taken over by the May Company and the City would: I . I ~ay a 6% interest charge annually for 25 years. Th~ I :Lease is for a maximum of 50 years. The status of :the parking lot after ~0 years is to be clarified py the City Attorney. •. • I U'he City Manager pointed out the Bartle Wells Repor~t I ~tates sales could be less than anticipated. In :that case, has rental income insurance been provi- : ded? I I I I . ~hairman·~ogers stated they have 600;000 square :feet of building space now in the May Company com- wlex. They should sell $50.00 per square foot per ~ear which would be $30,000,000.00. • 1% of this :figure would be $300,000.00 or $144,000.00 more ' • . . -~hqn needed to pay off the bonds yearly, that pay- ~ent being $156,000.00. Unless a total·disaster ~appened, the City is relatively -safe. This is a_ ~alculated risk; however, May Company is investing-' :about 15 million dollars in this projec•t, and they- :are planning on. this being a money-making venture.· I I I n'he • Attorney stated he would check on the Rental . Uncome Insurance. t . • I . ~he Chairman adjourned the meeting at 4:27 P.M. The, I tommittee than took a tour of the May Company site.• Respectfully submitted, D.R. DAUGHERTY. Secretary ., t I I t ' I I ., ' • I I I I ' 1• I ' ,.