HomeMy WebLinkAboutItem No.SA7City of Lake Elsinore
REPORT TO THE REDEVELOPMENT AGENCY
TO: REDEVELOPMENT AGENCY CHAIR AND BOARD
From: RON MOLENDYK, EXECUTIVE DIRECTOR
Date: FEBRUARY 23, 1993
Subject: EPNA - EASTLAKE COMMUNITY BUILDERS
BACKGROUND
The RDA & Eastlake Community Builders (ECB) entered into an
exclusive Planning & Negotiation Agreement in April 1991. The
agreement calls for a 50% - 50% split on the costs of the
development planning, EIR and the coordination of the project.
The original estimate for this processing was $1,000,000.
.DISCUSSION'
Due to various data, the cost to completerthis information
$1,300,000.0otechnical
To keep the process on schedule and fulfill our commitment to the
project an additional $200,000.00 is requested.
FISCAL IMPACT:
An additional appropriation of $200,000 from the RDA is estimated
to complete the specific plan process for all 3,000 acres.
These funds
excess of available ease of additional
our original estimate.
RECOMMENDATION•
By motion, authorize an additional appropriation of $200,000.00 for
processing the EPNA with ECB.
PREPARED BY:
APPROVED FOR
AGENDA LISTING:
AGENDA t e
EASTLAKE
COMMUNITY
BUILDERS
February 8, 1993
Mr. Bob Boone
CITY of LAKE ELSINORE
130 South Main Street
Lake Elsinore, CA 92330
Re: East Lake Budget
Dear Bob:
0'ado,
650 TOWN CENTER DRIVE, SUITE 1900
COSTA MESA, CA 92626
(714) 753 -5030 FAX (714) 735 -8290
This letter is in response to your
billings. As background,
letter dated
January 14, 1993,
regarding
ECB
ECB and
third
the Agency
split evenly (50%
. 50 %) certain
party costs, until such time
project. This is done in
as local
entitlements are granted
for
the
accordance
with the EPNA signed in April
of 1991.
In the beginning, we estimated these costs to
this figure
be approximately
$1,000,000
but
was only an estimate.
entitlement period (hopefully May
As we move towards the completion
1993)
of
this
original budget.
of
we are reasonably
close to
the
Our estimation of final costs of this entitlement phase will be $1,300,000.
However, it should be carefully noted that we have not begun the public
hearings and the final processing. This last step could increase this budget
again.
In any event, our reconciliation indicates that we should be credited an
additional $34,000 due to payments made to our attorneys for the LEA
settlement issue. In our EPNA we are held harmless from costs associated with
LEA. This would more than reconcile our sharing of costs. Therefore, we
would ask for immediate release of the last months reimbursement.
With respect to the $300,000 budget overages, they are due to direction from
various people for data not originally contemplated. Examples are provided
below.
• Councilman
Alongi
expressed
great
concern over the quality of the
soil in Eastlake.
This
caused us
to do
$44,000 worth of tests normally not
required for an
EIR or
Specific
Plan.
AGENDA ITrI:," NO.
Mr. Bob Boone
February 8, 1993
Page 2
• The Specific Plan doubled in cost from its original estimate of $100,000,
due to city direction to process all 3,000 acres at one time. In the
original budget we anticipated processing only Phase I (Lehr).
• Processing all 3,000 acres at one time also had the effect of increasing
the cost of the Master Planning process by $80,000.
• Engineering costs are $30,000 to $50,000 over the original budget
estimate due to the City Council's and Water District's concern over
hydrology (flooding) issues. These issues are normally dealt with in
this detail during engineering process, subsequent to the Specific Plan
entitlement process.
These are just some examples of the areas that cause budget increases to the
our current estimate. Even though the budget increased, there are
tremendous efficiencies in completing analysis of all 3,000 acres at once and
answering policy questions now rather than later.
We will be happy to meet with you to answer any additional questions you may
have, if you so desire.
Sincerely yours,
Z - J
Daniel H. Young
For EASTLAKE COMMUNITY BUILDERS, L. P.
Enclosures
cc: Ron Molendyk - City of Lake Elsinore
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