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Home My WebLink AboutResolution - City Council - 82-548 - 1982-12-07• • RESOLUTION NO. A RESOLUTION OF THE COUNCIL OJ? THE CITY OF FRESNO, CALIFORNIA, SUBMITTIN(~ TO THE ELECTORS THEREOF ADOPTION OF J\N ORDINANCE TO BAR THE PROPOSED CONVENTION C:l~NTER HOTEL COMPLEX. Elections City Attorney WHEREAS, on March 5, 1982, the Fr.esno County Clerk certified the sufficiency of a petitioin proposing adoption of an ordinance to bar the proposed convention center hotel complex; and WHEREAS, said petition was signed by at least ten percent {10%) of the electors of the City; and WHEREAS, the Elections Code requires the Council to submit the proposed ordinance to the electors of the City at the next regular municipal election. NOW, ~rHEREFORE, BE IT RESOLVED by the Council of thE~ City of Fresno, California, as follows: SECTION 1.. The Co1.1ncil, by petition signed by tE~n percent (10%) of the registered electors., subx11its to the electors of the City of Fresno, to be consolidated with the direct primary election to be held on March 8, 1983, adoption of an ordinance to bar the proposed convention center· hotel complex as hereinafter in this Resolution set foJcth. SECTION 2. The ordinance to be :submitted to the electors shall read: AN ORDINANCE TO BAR THE CITY OF FRE;SNO h-.ROM. ACQUIRING ADDI~l1IONAL LAND FOR PROPOSED CONVENTION CENTER HOTEL COMPLEX; REQUIRl:NG THB CITY TO SELL LAND PREVIOUSLY ACQUIRED FOR SAID HOTEL COMPLEX, AND TO BAR THE CITY COUNCIL ACTING AS THE REDEVELOPMENT AGENCY FROM USING PROPERTY TAXES II'OR SUCH COMPLEX. SECTION 1 .. Legislative Findings. The people of the City of Fresno hereby find and declare as follows: (a) The City, acting in its capacity as a municipality, has acquired land and/or buildings, located adjacent to the present Fresno Convention Center in the designated area bounded by L, M, Ventura and Inyo StrE~ets, anfd prop1::>ses to expend more funds to acquire additlonal land and/or buildings in the same area f'.or dev1elopment of a major downtown expanded con\1•ention complex, including possibly a hotel, an exhibition hall, ballroom, kitchens and parking facilities, which will cQnsume approximately tJ;. 4 acres. • • (b) 1rhe City tentatively proi;1oses to sell, lease, transfer, or otherwise convey a portion of the designated area to a privat(~ developer for construction of a major hotel; the remaining area would be sold, leased, transferred,' or otherwise conveyed to a private or public entity to develop an expanded convention center, which may include a ballroom, meeting rooms, kitcbens and parking facility and, which may u.itimately be leased in whole or part to the priv,iate hot.el developer. ( c) City has allom~ted $2,. 5 million from the Central Area Reserve irund to the Convention Center Hotel Fund, for u.s•:~ to acqui.rer parcels within the two city block area, relocate businesses and utilities, and to demolish existing buildings. ~otal costs for this portion, estimated at $2 .51 million in September, 1980, have risen to an estimated $5.l million in July, 1981, and may increase further. {d) Additional costs as of July, 1981, include an estimated $J~4 million for other convention center support facilities, possibly including but not. limited to a parking facility, pedestrian bridge, design and construction costs, and management fees, bringing the Julyf 1981, estimat~d total City commitment tc~ $8.5 1nillion. ( e) To complete ·the,se proposals, City may sell and/or authorize f:inancing instruments, including but not limited to industrial development bonds, tax-exempt securities, or revenue bonds, and loan or otherwise utilize the proceeds for the direct or indirect benefit of the devE~loper s, who would agree to make paymei1ts to the City over a fixed term (e.g., 30 years). In the event of default or insufficient proceeds, the City could be obligated to nearly $40 million of lease payments, for which the City's general fund could be liable« (f) Other private hc1,tel facilities and accommodations are available for public use within a reasonable distance from the designated area. (g} A previous hotel complex near the designated area has failed on thre~~ occasions. Ch) By abandoning the designated area as a site for the proposed complex, the City will avoid the commitment of public funds for a development which contains risk, will save further land acquisition and development cos,ts, and can recover a substantial amount of funding by selling off allot a portion of the land previously acquired for the complex. { i) ~rhe City may rep11:ogram the monies saved and recovered in a manner it deems appropriate to meet more immediate, broad-based citizens' needs,. (j) Development of a second hotel facility and expanded convention cent~er in the designated area, whe:r:eby public funds <ltre so deeply committed, is not ad,,isabl.e or appropriate in view of the passage of state and local legislation which has imposed sever 1e budget constraints on municipalities, including Fresno, and creat~~d financial uncertsdnty for the future. -2- • • {k) The City Council, ,;acting in it:s capacity as the Redevelopment Agency of the City of Fresno, may propose to acquire and/or convey land and/or buildings in the designated area for development oj: a hotel and/or convention support facilities complex, similar tt'> that described previously in these findings, either as part of the aforedescribed complex or as a separate but supportive phased-project, all. as part of a development, rede,reloproent§ ox► re-use program .. (1) To complete such t.t'ansactions ,. the Agency may utilize tax-increroEJmt financing revenues derived from ad valorem property taxes. Development of such a complex,,with the use of tax-increment financing derive1d from taxpayers, is not now advisable or appropriate for similar reasons previously stated in these findings. SECTION 2. Implementation .. --- (a) The City shall, immediately upon this ordinance•s effective date, proceed to eliminate its involvement with and plans relating to the proposed hotel and expanded convention center complex in the designated area in the manne1~ deemed most appropriate and expeditious bys.aid City. (b) The City shall ,abandon any furthe~r action to acquire land and/or buildings for said complex. {c) The City shall not i:~ell or authox:ize any instruments of finance, rele1ted to development of said complex. (d) To the maximum extent legally permissible, the City shall cause to be sold any land and/o:r buildings heretofot~e acquired for said complex. {e) The City shall reprogram monies saved and recovered from the abandonment of said complex in a manner consistent with the best interests. of the citizens of the City of l!"'resno. (f) The City Council,, acting in its capacity of the Redevelopment Agency for the City of Fresno, shall not acquire and/or convey land and/or buildings in the designat.ed area or prepare plans related thereto, which utilize any tax-increment revenues, or financing instruments telated thereto" for said compl,ex. SECTION 3. Inconsistent LegisLi;ttion Repealed. All ordinances, resolutions, regulations, legislation and other acts authorizing the acqui~sition and development of land/or and buildings.for purposes of the development of the convention cetiter hotel complex are hereby repealed to the extent that they conflict with Section 2. SECTION 4. Severability. If .any section, sentence;' clause or phrase of this o.tdinance or any part thereof, or the application ther.·eof, is held invalid, such invalidity shall not affect the remaining portions of thi,s ordinance and to this end the provisions of the ordinance are declared severable. f_t • • SECTION 3.. The ,g:1..1estion to be submitted to the electors with respect to the foi:·egoing ordinc:.mce shall be p.tinted on the election ballot with the title and in the form hereinafter set: forth: CONVENTION C:ENTER HOTEL COMPLEX Shall an ordinanc:e be adopted which bars the City of Fresno from acquiring additional land for proposed convention center hotel complex, requires the City to sell lain.d previously· acquired for said hotel complex, and bars the City Council acting as the Rede.·srelopm~~nt Agency from using prop1erty taxes fo,r such a complex,. NO --------·~------------- SECTION 4. ~Che Ci t:y Clerk shall cause this resolution · to be filed with the F°resno County ClerJ:,,, Elections Division, on o;r before Decembe1: 10, 1982. * * * * * * * * * * * * * * STATE OF CALIFORNI.A COUNTY OF FRESNO CITY OF FRESNO CLERK ti S CERTIFICili.TION ) ) ss. ) I, JACQUELINE L. RYLE,, City Clerk of the City of FresnOt certify that tht:! foregoing resolution was adopted by the Council of tt.H= City of Fresno, California, at a reguLa.r meeting held on the 7t!:!..___day of _ Decemberit 1982 ·--" · -4-