CCMIN112895 - Laserfiche WebLink

Mr. Roush stated that the City Council has the discretion to waive fees or loans. The loan agreement is written in such a way that if costs to do the mitigation based on the EIR studies are such that it is prohibitive for the project to go ahead, then the promissory note would not have to be repaid. Ms. Mohr asked if the bill is forty thousand, would the Association not have to pay anything? Mr. Roush replied that if it were going to cost $3 million to mitigate the impact that the train would have, then the thirty thousand dollars would not have to be repaid because the project would probably not go forward. Mayor Tarver said the original application had a negative declaration but there were questions on the environmental impacts, so the City asked the applicant to go through an environmental review process. In order to get the information that everyone needs to feel comfortable about the project, the City said it would loan the PRA the money it needs to do the EIR. Ms. Mohr stated that the thirty thousand dollars was for the evaluation, not the mitigation. Ms. Acosta replied that the agreement provides that it will be repaid and one circumstance where the mount would not be repaid. If for some reason the Association could not proceed with the project because of what comes out of the environmental analysis, the Association would not be held financially liable. Ms. Michelotti questioned what if it isn't related to its getting/not getting a grant? Ms. Acosta stated that it was suggested at the time the City should use all diligence to get the environmental study funded under the grant. If the study did not get funded under the grant, then the City would provide the loan. Ms. Michelotti thought the grant funds could be used to pay for the environmental study if indeed it was going to go through. If out of the environmental study it is not feasible to go forward with the project, then that is the trigger for the non-repayment but not if they don't have enough money. It's only if the environmental studies show or require the Association to do something so outrageous that it couldn't possibly do the project. Ms. Acosta stated all issues were not defined the night the project was approved but it's basically the concept that was involved. She clarified for Ms. Michelotti the City did not assume the study would be covered under the grant. If money is spent before you apply for a grant, the only way there is a possibility that the grant could cover the mount is to include in the application that the intention is for the grant to cover it. 11/28/95 -3-