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HomeMy WebLinkAboutMinutes - City Council - 2000-05-04 - Special Meeting 88 City Council, Special Meeting Council Chambers 777 Cypress Avenue Redding, California May 4, 2000 11 :00 a.m. The meeting was called to order by Mayor Anderson with the following Council Members present: Cibula, Kight, and McGeorge. Council Member Pohlmeyer was absent. I Also present were City Manager Warren, Assistant City Manager Perry, Deputy City Manager Starman, City Attorney Wingate, Economic Development Director Mitchell, and City Clerk Strohmayer. RESOLUTION - re Purchase and Sale Agreement to Chatsworth Products, Incorpoorated (CPI) (E-050) Economic Development Director Mitchell provided an overview of the Report to City Council dated May 4, 2000, relating to a proposal for land acquisition and job credit and fee deferral program pertaining to CPI. Mr. Mitchell related that, as City Council is aware, staff has been in discussions with CPI regarding the possibility of the manufacturer locating its fifth nationwide facility in the City of Redding. CPI, an employee-owned company with an average earnings per worker of$35,000 annually, would employ one hundred to two hundred people. He indicated that an Industrial Development Bond was approved by the California Debt Allocation Committee on April 26, 2000. I Mr. Mitchell stated that CPI representatives have indicated an interest in 13 acres of undeveloped City-owned property to the north of the Airport Business Park. The estimated total value of this land is $208,234, or $16,018 per acre. He related that after taking into account the necessary infrastructure improvements and lot preparation at a total cost of $641,000, the actual value of improvements exceed the value of the land. The Purchase and Sale Agreement would require CPI to construct all off-site and on-site improvements to City standards at their cost, including the oversizing of utilities to the north, in exchange for the "as is" 13-acre project site. It is the recommendation of the Economic Development Director ,that City Council adopt resolutions approving the Purchase and Sale Agreement for 13 acres of City-owned property with Chatsworth Products, Incorporated. MOTION: Made by Council Member Kight, seconded by Council Member McGeorge, that Resolution No. 2000-87 be adopted, a Resolution of the City Council of the City of Redding approving the sale of approximately 13 acres of industrial land north of the Redding Airport Business Park to Chatsworth Products, Incorporated, for certain consideration generally described as the parcel map development including installation of all on-site and off-site improvements, such as streets, utilities, and associated infrastructure, at the sole expense of Chatsworth Products, Incorporated. Voting was as follows: I Ayes: Noes: Absent: Abstain: Council Members - Cibula, Kight, McGeorge, and Anderson Council Members - None Council Members - Pohlmeyer Council Members - None Resolution No. 2000-87 is on file in the office of the City Clerk. 05/04/2000 89 I RESOLUTION - re Job Credit and Fee Deferral Program with Chatsworth Products, Incorporated (CPI) (E-050) Mr. Mitchell, noting that the CPI project qualifies under the City Council's established Job Credit and Fee Deferral Program, said that under the terms ofthe proposed agreement, CPI will have to create a minimum of 1 00 full-time jobs within one year of occupancy in the new manufacturing facility. In turn, the City will credit or defer the development-related fees amounting to an estimated $124,000. In addition, Mr. Mitchell noted that the project also qualifies for the Electric Utility's Economic Attraction Service Rate. It is the recommendation of the Economic Development Director that City Council approve a Job Credit and Fee Deferral Program with Chatsworth Products, Incorporated. MOTION: Made by Council Member McGeorge, seconded by Council Member Kight, that Resolution No. 2000-88 be adopted, a Resolution of the City Council of the City of Redding approving the Jobs Credit and Fee Deferral Payment Agreement for Chatsworth Products, Incorporated. Voting was as follows: Ayes: Noes: Absent: Abstain: Council Members - Cibula, Kight, McGeorge, and Anderson Council Members - None Council Members - Pohlmeyer Council Members - None Resolution No. 2000-88 is on file in the office ofthe City Clerk. Mr. Mitchell thanked City Council for supporting the project. I Council Members praised Mr. Mitchell for attracting Chatsworth Products to the City, stating that it will be a great benefit. ADJOURNMENT There being no further business, at the hour of 11: 17 a.m., Mayor Anderson declared the meeting adjourned. APPROVED :z;//ee;LL~ Mayor ATTEST: ~~(~~ City Clerk / I 05/04/2000