1966 191-219 6-8 to 6-20-1966 - Laserfiche WebLink

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206 Minutes of Adjourned Regular Meeting Redwood City Council June 17, 1966 7:00 A. M. City Manager's Office Meeting called to order at 7:00 A. M. by Mayor Herkner. ON ROLL CALL the following were noted present: Councilmen Robert H. Bury, Floyd D. Granger, Mary W. Henderson, Paul C. Keckley, Herbert G. Petersen, John S. Rosselli, _ Mayor Sidney D. Herkner, and City Clerk Helen C. Moore. Also noted present were City Manager Howard C. Ullrich, City Attorney Richard E. Gardella, Assistant City Manager Henry V. Burget, and Auditor -Accountant Jack Ference. The City Manager requested a few moments of the Council's time before Budget Study was commenced to brief the Council on the most recent happenings concerning Marine World. He stated that on Thursday evening, June 16th, he and the City Attorney met with representatives of Marine World and Leslie Properties, and as a result a letter of intent has been worked out showing the participation of each of the three principals, ABC, Leslie and the District. He explained that the District's commitment involved going to bid for the dredging of Belmont Slough and the award of the bid, if it is within reasonable engineer's estimate, secured by the faith- ful performance bond of the contractor and subject to permits from the State and other agencies. In explaining the extent of the Marine World project, Leslie Properties' negotiations to acquire the Scavenger Property were discussed. City Manager stated if it becomes necessary to initiate a suit for condemnation, Leslie has agreed to guar- antee condemnation costs to the City. At the time of the award of bids, ABC will deposit $200,000 in cash with a banking depositary to remain there until Marine World project is opened in May of 1968. This is to guarantee the schedule of events shown in the letter of intent which outlines the commitments of each of the principals. Leslie has agreed to build the freeway pad which will provide access from the Ralston Overchange. The City Manager stated that certain risks are involved and asked that the City Attorney explain the City's liability since he had assisted in working out the details. The City Attorney stated that it is legally possible for the City and the District to enter into an agreement with Leslie, but that his preference would be to go no further than a letter of intent. He stated that it is a legal situation but does commit the District to approximately $600,000 worth of dredging in Belmont Slough, and the condemnation of approximately five acres from the Scavenger Company for water ways and drainage purposes. The City Attorney detailed the items for which the District would obligate itself as shown in the letter of intent. Further dis- cussion on the letter of intent pointed out that we will do the dredging and install the utilities, such as water and sewer in any event, whether Marine World goes in or not. The letter of intent involves an acceleration of this work. The District's commitment would be chiefly, therefore, the acceleration of dredging, all to be done out of District funds. The City Attorney pointed out that in order to adhere to the time schedule, the condemnation suit must be entered immediately to meet the proposed opening date.