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the gchool ]Sis~ct has up to 42 months to pay for the propet~y, lJnt½~ Ponderosa has money, there is no deal and the credits are tied to that event. The contract with the School District was written to allow the school district to exercise its option, but in reality, the School District has three and a half years to pay for the property. When the School District exercises their option and agrees to move forward, the School District will pay one million dollars, and up to three and a half years later, it will pay Ponderosa the balance. If the School District does not pay Ponderosa the balance, the District would loose its one million dollars. Mayor Pico noted that the School District entered into this agreement willingly. Mr. Sweeney mentioned that Ponderosa had revisited the agreement with the School District and continues to keep an open dialogue with the District. He believed the School District is happy with the agreement. As previously mentioned, Ms. Ayala referred to the 40 community uses for the Bernal property. Council is now aware that there will not be enough acreage available for all 40 uses. Since Ponderosa is asking Council to make changes to an agreement to which it previously made changes, which change allowed Ponderosa the opportunity to receive the tax credits, she asked Mr. Sweeney how he would feel if Council changed its mind and would now like the oppommity to take a secondary position on the property?. Mr. Sweeney pointed out that a lot of time has been allowed to discuss this issue and this is the first he has heard of the City stepping into the School District's position. If the City wanted to fill the School Districts position, Mayor Pico thought the City could ultimately negotiate with the school district after it exercises its option. The School District could acquire the property or it could exercise its option to pay the one million dollars. If the School District decided within the next 42 months that this was an option it did not want to pursue, the School District could potentially negotiate a deal with the City. Mr. Sweeney concurred with comments previously made by Ms. McKeehan and pointed out the best discount on land designated public and institutional is 10 percent. The School District has a built in 20 percent break. Again, he reminded Council that Ponderosa has the first option to buy the propeay back if the School District chooses to sell it. In response to an inquiry by Mr. Brozosky, Mr. Sweeney reported the property is being graded and will be maintained over the next five years until the School District decides if it needs the property. Mr. Brozosky asked if there would be an opportunity to have the 23-acre site available as a temporary location for a BMX Park? Pleasanton City Council 12 11/4/03 Minutes