City Council - Regular Meeting

Good afternoon. I'd like to call the City Council meeting to order for closed session.

Is there any public comment? I don't have any written speaker slips. I don't see anybody in the audience. I don't see anybody on Zoom at this moment. Madam City Attorney, what do we have on our agenda?

Thank you, Mayor. We have three items. Conference of Legal Counsel, Existing Litigation, Pursuant to Government Code Section 54956.91, and three cases. Coyote Aviation, Inc. v. City of Redlands et al., San Bernardino County Superior Court, case number CIVSB2418252. The second item is Simpson v. City of Redlands, San Bernardino Superior Court, case number CIVSB2435099. And the last item is Orozco v. City of Redlands, San Bernardino Superior Court, case number CIVSB2527564.

All right, thank you. We'll now recess the City Council meeting to close session.

Thank you.

Good afternoon, everybody. I would like to reconvene the regular meeting of the Redlands City Council and call to order the special meeting of the Redlands Housing Corporation. And at this time, we will recess their special meeting of the Redlands Housing Corporation and the Housing Corporation will reconvene immediately following the conclusion of the regular City Council meeting. So at this time, I'll ask for Council Member Tejeda to do our invocation, and then the Pledge of Allegiance will be done by our E-Academy RISE elementary students.

Please rise. Lord, we give you thanks for this day. Thank you for the opportunity to be here with each other, to do the city's business, and to celebrate one another. We also ask that we think of our brothers and sisters who are not with us anymore, our brothers and sisters who are probably not feeling well and seeking medical attention, our brothers and sisters who just need the support of prayer. We ask you to hear our prayer on their behalf. We thank you for our first responders, our public safety officers, police and fire. We thank you for every individual who works for the city of Redlands and does an outstanding job for this community. And we ask that they be allowed by your grace to return home every single day and back to their families. And we say this in your name. Amen. And I'll call for, okay, go ahead.

If we could have the Pledge of Allegiance by our E-Academy Rise Elementary students.

Good evening, everyone. Please remain standing and face the flag. Put your right hand on your heart. Ready? Begin. I pledge allegiance to the flag of the United States of America, to the republic for which it stands, one nation under God, indivisible, with liberty and justice for all. We got the principal here. We got one more. We got one more. One of them.

Great job, students.

Okay, great job, students. Let's give them a round of applause. Okay, we have four presentations on our agenda. I'm sorry. Closed session report, Madam City Attorney.

Thank you, Mayor. There were three items on the closed session agenda, and for each of them there was no reportable action. And that ends the closed session report.

Thank you. Now we'll go into our presentations. We have four of them this afternoon, this evening. The first one is in recognition of Hispanic Heritage Month, a proclamation to Lucille Saldana. Let me just give a little bit of background as to why we are presenting Lucille a proclamation for Hispanic Heritage Month. In 1970, some of us grew up in the 70s and 60s, so you'll remember this, but it's good to always remember what's happened in the past because sometimes history has a way of repeating itself. On August 29, 1970, 20,000 to 30,000 demonstrators formed the National Chicano Moratorium against the Vietnam War and marched through East Los Angeles with thousands of individuals organized by the local Chicano moratoriums of the Southwest and California. The National Coalition was one of the largest Mexican-American anti-war demonstrations including the Brown Berets and student activists who expressed lament over the disproportionate number of Mexican-American troops drafted and killed or injured during the Vietnam War. Disparities in public education, systematic exclusion from higher education, and high unemployment rates among Mexican-Americans was fueled also fueled the demonstration because they contributed to the Mexican-Americans dying at twice the rate than any other group in Vietnam. The demonstration commenced as a peaceful march, but erupted into violence as the Los Angeles County Sheriff Department arrived on scene. injuring and even killing three individuals, including Los Angeles Times journalist Ruben Salazar. Fearful that the demonstrators who entered the Green Mill liquor store to purchase cold beverages might loot the store, its owner called the Los Angeles Sheriff's Department. Brutality ensued and 1,500 police officers arrived at Laguna Park, shooting tear gas canisters into the crowd and beating the protesters. The Mexican-American community mourned the death of Salazar, ultimately the city of Los Angeles, and ultimately the city of Los Angeles. So to this evening, we're going to recognize one of our own who was over there at the young age of 17 representing the Redlands at this demonstration in East Los Angeles. If I could have Lucille Saldana come up and let me give you the presentation of the Hispanic Heritage Award. If we could put that... Okay, so, you know, sometimes people walk across the path and we don't know that there may be an ultimate reason why people come across our paths. And ultimately, I met Lucille some months ago and come to find out she was somebody who was instrumental in standing up for injustices here. in Los Angeles, but representing Redlands. So I want to take this opportunity as we celebrate Hispanic Heritage Month to acknowledge one of our local heroes who is standing up for social injustice, and she still does to this day. So I'll give her an opportunity to say a few words.

Thank you. Good evening. Thank you so much. And I'm very grateful for this award, this proclamation. It's very special and dear to my heart. I also want to thank David Sanchez, PhD, that is a Bromberet, currently was a founder of the Bromberets, that he included me the day of that protest. Yes, I was 17 years old, and it was still very memorable to this day. So we have a Mexican saying that says, si se puede, which means you can do it. With this phrase here, I want to just say and end with a thought for the day. Many people dream of goals, but others stay awake and accomplish them. Okay? So stay awake and accomplish them. Thank you so much.

Thank you. Congratulations. Thank you.

Just leave it up there. As part of Hispanic Heritage Month, the City of Redlands, along with the vendors and a car show will be holding Hispanic Heritage Month event this Saturday at Ed Hales Park from 10 to 4 o'clock. There's a car show, there'll be vendors. In fact, the University of Redlands will bring us mariachi, student mariachi group, and so we're really grateful to see them here to participate in an event that's welcome to everybody. So we hope you come down Saturday the 19th from 10 to 4, downtown State Street, Redlands at Ed Hales Park. Thank you. The next presentation we have is for California Native American Day, and this proclamation will be presented to Assemblymember James Ramos. But let me give you a little bit of background on who Mr. Ramos is and why we're acknowledging him today. Mr. Ramos is a proud Serrano Cahuilla from the Yuhaviatam and San Manuel Nation. He made history in 2018 as the first Native American elected to the California State Legislature. Representing the 45th Assembly District, he serves diverse communities across San Bernardino County. In his early life, shaped by hard work, supporting his family through jobs and fast food, and as a school janitor, he went on to graduate from local schools and earn degrees in businesses and accounting, including two honorary doctorate degrees. He is a proud alum of the University of Redlands. Ramos built a strong record of public service before his time in the legislature, including serving on the San Bernardino County Board of Supervisors. He also contributed to higher education leadership through the San Bernardino Community College School. District Board of Trustees. His historic appointment to the California State Board of Education further extended the Native American representation and state leadership. In office, he has championed initiatives to uplift the Native communities and protect cultural traditions. His leadership reflects a deep commitment to community, culture, and creating pathways for future generation. He and his wife, Terry, have been married for more than 35 years and are proud parents of four children and grandparents of four grandchildren. Please come on up, Mr. Ramos, and accept this proclamation. Again, thank you for being here. And we want to hear what you have some remarks for us today. And I know you've been doing a lot of work on behalf of your people. And it's very rewarding to know that we have somebody like you representing your people and representing the rest of our community. So give us a little bit of what you've been doing.

Well, thank you so much. And today, you know, honoring the diverse culture in our community. There was a time when we wouldn't be able to accept these certificates here, not only here in Redlands, but throughout the state of California. when the first governor put out bounties on our people, shooting and killing Indian people throughout the state. San Manuel also suffered that here in our local area, where a militia was formed to go into the San Bernardino Mountains, and it was in 1866 that that took place. Thirty-two-day battle, where our clan, Yohavitim clan, we dwindled down to less than 30 members. And so being able to be here today and accept this proclamation on behalf of our elders and our ancestors is nothing short of an accomplishment from the diversity of the city of Redlands. And to be the representative in the state legislature, representing each and every one of you in the state legislature on issues that we continue to champion on mental health, domestic violence, making sure that our firefighters and law enforcement officers have the equipment that they need to continue to keep our community safe. It's because of that and because of the diversity of our elders and our ancestors and the resiliency that runs deep within the blood that we're still here today. So accepting this proclamation and recognizing California Native American Day, which is celebrated the fourth Friday in September, that we're going to be able to honor California's first people and to be able to move forward. So on behalf of our tribe and the Indian people from the state of California, we accept this proclamation from the city of Redlands.

Let's give a round of applause for Assemblymember Ramos. All right, next up on our agenda, I'll turn it over to Councilmember Davis.

Thank you so much. I would like to invite the University of Redlands Women's Softball Champions to join me up front, please, as well as any of you of our leadership. Come on up front. And bring that big trophy.

Yeah, I guess we can go. Yeah, go ahead. Let's go.

As a proud University of Redlands Bulldog alum, it is my honor to celebrate you all here today. I'm going to read a little bit of this proclamation. Whereas the University of Redlands women's softball team won the NCAA Division III National Championship on Wednesday, June 3, 2026, And whereas a national championship represents the highest possible achievement in collegiate athletics, and whereas the women's softball team has had a long and very distinguished history, their win marks the first time they have been crowned national champions in program history. Now, therefore, be it resolved that the City Council of the City of Redlands hereby congratulates the coaching staff and student athletes of the University of Redlands Bulldogs women's softball team on their outstanding achievement. Congratulations, everyone. I have to say... On my social media feed that day, I saw nothing but pictures of you all, and there's so much pure joy. Julie Michaels is here, and she texted me immediately, and she said, Denise, we need to celebrate them at City Hall. We had to wait all summer, but I'm really glad we're getting this moment now. President Newkirk, thank you so much for being here. Would you like to say a few words, and then we'll hand it over to the coach?

Of course. What an honor it is to have the city recognize the hard work of this team and their resilience. They just came together in the most powerful way, and their sweep of the series was really incredible. honored to be there to watch this in salem virginia as they did it and they showed such grit even when they were behind they were never down in spirits and they just supported each other i really want to thank coach ortega and the assistant coaches they just did a tremendous job and i could not be prouder of this team coach do you want to say a few words

I want to thank the city of Redlands for this awesome recognition. We're so excited. It takes a full year of work. We actually just had our first practice for this upcoming 2027 season yesterday. So it's a full year of work. The bond that these ladies have to be able to do it, it's not just a testament of what their hard work and what the coaching staff is doing, but also just on how they were brought up and just the work ethic that they possess. Thank you, everybody. We appreciate being here and appreciate the recognition. Awesome. Thank you.

All right, congratulations. We are so proud of you all. Thank you.

Thank you. Thank you.

Congratulations again, thank you all. It is now my pleasure to invite up Jenny Davidson, the head of school for Montessori in Redlands. We are so honored to celebrate Montessori in Redlands and their 50th year, 50th anniversary. I'll read a bit of this, and then I'll hand it over to you, Jenny. Whereas Montessori and Redlands was founded in 1976 by a group of local families who believed in education that nurtures a life journey of self-realization, love of learning, and global responsibility, And whereas for 50 years Montessori and Redlands has loyally served the children and families of Redlands, helping thousands of young people grow into thoughtful, compassionate, and engaged members of our community. And whereas guided by the educational philosophy of Dr. Maria Montessori, the school recognizes that education has the power to build understanding, respect, and peace by helping every child develop their unique potential. And now, therefore, be it resolved that the City Council of the City of Redlands hereby proclaim September 21, 2026, as Montessori and Redlands' 50th anniversary day, and extend our sincere gratitude to the founders, educators, staff, volunteers, families, alumni, and supporters whose dedication has made 50 years of service to children possible. I have to say, I have a youth council made up of high school students. We're about to start our sixth year. And I've had a lot of students who are former Montessori students who have gone on to the Grove and other places, and they are extraordinary. I think that the teachings of compassion and empathy and kindness really shine through, not only in those young years, but as they get older as well. And I've spoken to people who are Aware of Montessori and the reputation that Montessori and Redlands has, not even just nationally, but globally, we are so proud to have you in our community. So Jenny, congratulations.

Thank you so much for the recognition. It truly does mean a lot to be recognized by the city for the years of service that this school has provided. Dr. Maria Montessori believed very much that peace is something that could be learned, and it was something that children could learn from a very young age, how to share resources, how to solve problems, how to be kind to each other. And so it's appropriate that our anniversary day will be falling on International Day of Peace We're incredibly grateful for the recognition and grateful for all of the families who have helped build this incredible school and continue to keep it thriving every single day. So thank you so much for that.

Let's get a photo.

All right, thank you ma'am councilmember Davis for that I Don't have any request to pull anything from the consent calendar. Oh I'm sorry. I don't have any public comment.

I don't see anybody on zoom I Move we approved the consent calendar a second of a motion a second madam city clerk.

I

Council Member Baric.

Yes.

Council Member Tejeda.

Yes.

Council Member Davis. Yes. Mayor Pro Tem Shaw. Yes. Mayor Sacito.

Yes. Moving on to agenda item under new business J1. This is a consideration of resolution 8833, naming of plaza at the new city hall in honor of former city attorney Dan McHugh. Council Member Baric.

Thank you very much, Mayor. This is really quite an honor. A couple of our members served on him, but I guess he was, I had the privilege of working with him for over six years. And anytime I needed anything, but he was really, really on the spot. And not only did he give me advice, he also put it in writing, so people didn't believe what I was saying. I said, here it is in writing. So I'm going to real quick go over a few highlights, and then I have a couple of other things I'd like to share with you. After 28 years as principal legal advisor city council, the city manager in all the city operations, Dan McHugh has announced that he retired as city attorney effective in the fiscal year. Dan was appointed as city attorney in 1994 and has served over 18 separate city councils, seen more than 20 council members sworn in over the time. Dan holds a tremendous amount of institutional knowledge says city manager, Charlie Duggan. He is not only seen tremendous changes over the past 3 decades, but he is initially involved in many of the most important involvements in the city. It's hard to overstate the role in the recent history of the city. City attorney is appointed by the city council to serve as a legal advisor. He reviews, reports, studies, proposes policies, resolutions, contracts, basically anything we do that's formally he had to do, and that's what our current city attorney is doing as well. He served as legal counsel for city managers, city departments. various city boards, commissions, and during decisions that are made this time. Dan, work habit is well known to everybody in City Hall. City staff would frequently find him at work well before dawn and on weekends. It wasn't unusual to receive a memo or revision to a contract or staff late at night or find two o'clock in the morning email waiting for you on Monday morning. I was one of those recipients. So was Eddie and Denise as well. In December of 2021, Dan informed the city council and the city manager his intent to retire in order to spend more time with his family, seeking to work with the city to effectively smooth transition. He said his retirement date is sometime in spring of 2022. And he went right to the last day. On February 7th, the city began advertising for an application for new city attorney. And on April 6th, the city council met in closed session during the special meeting, reviewed the finalist. And I'd like to say that Yvette knows big shoes to fill, but she's doing a fantastic job. So we're very, very pleased to have her. And people don't know this, but Dan's wife was sick a long time. So not only did he take care of us, he had to take care of his wife. This was not known. He never really told anybody, never made any excuses. But, you know, his wife was in a wheelchair for some time, and Dad had some stress problems as well. But he still stayed in there, unless you knew firsthand. his dedication to the city, and we were very, very lucky to have him. So that being said, I'd like the city council to consider Resolution 8833, naming the plaza at the new city hall in honor of former city attorney Damocue. Thank you.

Before we do that, I'd like to comment as well on Dan. One thing I'd like to add to the conversation or to the comments that you made about Dan was that he always was in a good mood. Maybe there were days where he wasn't, but I never saw him. And he treated each and every single council member with the respect and dignity that we deserve. Whether you were an experienced council member or a brand new council member, He gave you the same amount of time and the same type of, I'd like to believe, the same type of advice as he would anyone else. He didn't have any favorites. He didn't believe in a hierarchy or anything like that. So I'd like to say that I support this motion by Council Member Baric, pending what everyone else says.

I completely agree. Dan was such a kind and thoughtful man and obviously very dedicated to the city of Redlands. And I am really excited that we get to honor him and his legacy in this way. Thank you for bringing this forward.

It was my pleasure. And it's not just me. Here's an honor to him. The following council members and former mayors proposed as well. And that's Mick Gallagher, who was on the city council from 2005-2010 and served a year in 2022. Carol Beswick was mayor and city council from 1983 to 1991. Paul Foster was mayor and council member from 2010 to 2022. John James was serving the council in 2015 and then 2016 and 2018. Casey Hawes was mayor and council from 1999 to 2003. Pete Aguilar was our mayor and council member from 2006 to 2014. John Harrison was mayor and council member from 2001 to 2018. Jerry Bean was on the city council from 2007 to 2012, and Bob Garner was on the city council from 2012 to 2014. So that's how these past members thought to honor him, and that's quite a, well, he's probably looking down. You deserve this, buddy, and hope you're having peace. What you've done to the city, naming the plows is the least we can do. It's hard to put any words into how much he meant to me personally as well. Like I said, I was one of those people that kind of bugged him quite a bit on advice. And he was always great to always return my call and, like I said, to follow up. And he's definitely missed.

I'd like to concur with all the comments that have been made up here by our city council members. And the folks that brought this to us, we really appreciate this. I think it's an honor. I'll second the motion. No public comment.

Council Member Baric.

Yes.

Council Member Tejeda.

Yes.

Council Member Davis. Yes. Mayor Pro Tem Shaw. Yes. Mayor Cecito.

Yes. Thank you. Moving on to item J2, this is a consideration of funding agreement with Redlands Housing Corporation providing a $1,650,000 non-repayable capital contribution toward the acquisition of 1675 Industrial Park Avenue for permanent supportive housing. Determine that the approval of the agreement is exempt from the environmental review pursuant to section 15061 of the state CEQA guidelines. and authorize a related additional appropriation, Assistant City Manager Garcia.

Thank you mayor and members of the council as you stated, um, this item is considering a funding agreement between the city and the housing corporation, um, to acquire the property at 1675 industrial park Avenue known as good night in. The property currently operates as a permanent supportive housing site, and we'll continue serving that purpose. Housing corporation will serve as the interim owner until long term nonprofit operators identified. State and county partners will fund approximately 95% of the $13.5 million purchase price. The city's $1.65 million contribution will cover its purchase share, property taxes, closing costs, due diligence, and contingency, which are outlined in the staff report. No city funding for ongoing operating costs is requested at this time. All acquisition funds will be handled through escrow. And that concludes my presentation.

Great. Thank you. Any questions or comments before staff? If not, I have one speaker slip, Mr. Dennis Bell.

Good evening. This agenda item is in conjunction with the Housing Corporation agenda, which is printed on pink paper. It should be on red paper. That's where this money pit will be running sooner or later when the money dries up in the red. How was the value of this property determined? What's the assessor's valuation of it? With the city buying it, it drops off the tax rolls. What's the loss of the tax? The city wants to provide housing for the homeless, that's fine, but it needs to convert a couple of floors of the new city hall money pit into housing. Thank you.

Thank you. I don't have any other speaker slips. I don't see anybody on Zoom.

OK, with no other speakers, I move that city council approve a funding agreement with Redlands Housing Corporation providing a $1,650,000 non-repayable capital contribution toward acquisition of 1675 Industrial Park Avenue for permanent supportive housing. Determine that the approval of the agreement is exempt from environmental review pursuant to section 15061 of the state's CEQA guidelines, and authorize a related additional appropriation And I move that the City Council approve an additional appropriation of $1,650,000 in the homeless solutions budget for transfer to the Redlands Housing Corporation and authorize the City Manager to increase the transfer amount by up to 5% if necessary and appropriate to complete the transaction.

Second. Motion to second. Madam City Clerk.

Council Member Baric.

Yes.

Council Member Tejeda.

Yes.

Council Member Davis. Yes. Mayor Pro Tem Shaw. Yes. Mayor Cicito.

Yes. All right, moving on to Item J3. It's consideration of a National Pollutant Discharge Elimination System, NPDES, Stormwater Permit Implementation Agreement for the Santa Ana Region, NPDES number... C-A-S-6-1-8-0-3-6, order number R-8-2-0-1-0-0-0-3-6, establishing the responsibilities with respect to compliance with NPDES stormwater regulations and shared costs associated with the order in the amount of $139,323, Municipal Utilities and Engineering Director Heredia.

Thank you mayor. Good evening. Um, council members, staff and the public, this item before you is a federally mandated regulatory program administered through the Santa Ana regional water quality control board. This implementation agreement is with December Nordino county flight control district, which is the leading agency for this effort. Um. Additionally the implementation agreement provides for an equitable distribution of program program costs among the 16 participating cities All of which conduct the stormwater management activities in accordance with the requirements of the permit And I'm available for any questions

So I do have a question. So is this related to the determination of the Santa Ana River Quality Board that met September 11th in Irvine? And this is just our portion of what we have to pay into to be in compliance and still work under the permit?

That's correct. However, on September 11, a new permit was adopted, and we have an upcoming workshop on September 23rd with... in conjunction with the American Public Works Association to see what are the additional requirements or impacts to the city.

Will one of the outcomes be additional funding or higher funding to be in compliance?

Absolutely not.

Oh, good. All right. Well, thank you.

I mean, yeah, I guess it's to be determined.

Okay. Yeah. All right. Well, we'll be waiting to hear what the outcome of that is. Thank you. I don't have any speaker slips. I don't see anybody on Zoom.

I move the City Council approve the implementation agreement for the National Pollutant Discharge Elimination System, NPDES stormwater permit. Second. Second.

Council Member Baric.

Yes.

Council Member Tejeda.

Yes.

Council Member Davis. Yes. Mayor Pro Tem Shaw. Yes. Mayor Sacido.

Yes. Moving on to item J4, the consideration of professional service agreements with Hicks and Hardwick, Inc. to provide on-call general engineering services in the amount not to exceed $200,000 for the initial one year of term with options to extend for one additional year for the amount not to exceed $200,000 for the total potential not to exceed the value of $400,000 and determine the approval of the agreement

Exempt from the environmental review pursuant to section 15 0 6 1 B 3 of the state guidelines implementing the California Environmental Quality Act Municipal Union and engineering director Heredia Thank You mayor this agreement is with Hicks and Hardwick for the To assist us with engineering and professional land surveying services to deliver the city's CIP program and Additionally, they will assist with reviewing parcel maps, track maps, Eastman documents, survey records, geotechnical services, structural, and any other civil that we can't do in-house.

Okay. I don't have any speaker slips. I don't see anybody on Zoom.

I have a comment. I am sure glad that we are using a Redlands firm to do this for us. I'm extremely pleased, so... I move the City Council approve professional service agreement with Hicks and Hardwick Inc. to provide an on-call general engineering services amount not to exceed $200,000 for initial one-year term with an option to extend one of additional years in an amount not to exceed $200,000 for a total of potential not to exceed value of $400,000. And I move the City Council determine that approval of the agreement with Hicks and Hardwick Inc. is exempt from environmental pursuant to Section 15-061-B3 of the state guidelines implementing the California Environmental Quality Act.

Second.

Motion and a second. Madam City Clerk.

Council Member Baric.

Yes.

Council Member Tejeda. Yes. Council Member Davis. Yes. Mayor Pro Tem Shaw. Yes. Mayor Cicero.

Yes. We move on to item K, individual council member announcements and or reports on activities. We'll start with Council Member Baric.

Well, I can't. Well, not for the city. My wife and I were on vacation for a week in Maui, so we got the waves and a little bit of wind. But anyway, very relaxing, but there's no place like, Dorothy said, no place like home. So we're glad to be back in Redlands where it's nice and safe and sound, and we're very happy. All right. Council Member Davis.

Yeah, I did a tour of Feeding America, and while I was there meeting with their staff and touring the warehouse in Riverside, I also was meeting with staff from our local Boys and Girls Club to talk about food security and our food security task force. So that was a really productive and insightful meeting.

Okay, I attended the San Bernardino County Transportation Authority Board. attended a Hispanic Heritage Planning meeting, met with some residents that had concerns out in the canyon, and also attended on behalf of Council Member Baric's Library Board meeting, and so that concludes my report.

Mayor, I just had the Parks and Rec Commission this week. That's all I have to report. Thank you.

Okay, very good. I now adjourn this meeting. I will now reconvene the special meeting of the Redlands Housing Corporation.

There's no discussion or anything else. I move approval of the minutes of the last meeting on September 1, 2026. Second.

I'm sorry, that would be on the consent calendar. So approval of the consent calendar.

Okay, I approve the consent calendar. Move approval of the consent calendar.

Second. Okay, getting caught up here. All right. Director Baric. Yes. Director Tejeda. Yes. Director Davis. Yes. Vice Chair Shaw. Yes.

And Chair Saucedo.

Yes.

Chairman, if we can go back to public comment.

Okay. I don't have any public comment. Thank you. Very good. All right. Moving on to new business D. This is D1. This is a consideration of a purchase and sale agreement at Joint Escrow Instructions with 1675 Industrial Park, REO LLC, for the acquisition of Assessor's Parcel No. 029206338000 in the amount of $13,500,000 and determine that the approval of the agreement is exempt from the environmental review pursuant to Section 15. 061-B3 of the state guidelines implementing the California Environmental Quality Act. Assistant City Manager, Garcia.

Thank you, chair and board members. This acquisition helps resolve ongoing litigation involving the city, the state, and the property owner. It preserves the state's original home key investment in Redlands. Property currently provides permanent supportive housing for people experiencing homelessness. Services will continue without interruption during the ownership transition. The corporation will purchase property for $13.5 million. The state and county partners will fund approximately 95% of the purchase price. The city will contribute 700,000 dollars towards the purchase price and additional funding for taxes and closing costs. Corporation will complete inspections and review the property before finalizing the purchase. And the corporation will serve as the interim owner while the property is stabilized. The long-term goal is to transfer the property to an independent external nonprofit that will continue operating it as permanent supportive housing. That concludes my presentation.

Thank you. Any questions? I don't have any speaker slips.

Oh, um, I move that the board determined that approval of the purchase and sale agreement and joint escrow instructions is exempt from environmental review pursuant to section 1, 5, 0, 6, 1, B, 3 of the state's sequel guidelines. I move that the board approved the purchase and sale agreement and joint escrow instructions with 1, 6, 7, 5, industrial park Avenue. R. E. O. L. C. for the acquisition of the property located at 1675 Industrial Park Avenue, assessor's parcel number 0292-063-38-0000 for $13,500,000. I move that the Board authorize the President to execute the purchase and sale agreement and joint escrow instructions and related closing documents on behalf of the Redlands Housing Corporation. And I move that the Board authorize the $135,000 escrow deposit and the actions required to proceed with the acquisition in accordance with the purchase and sale agreement and joint escrow instructions.

Second. Motion is second. Madam Secretary.

Director Baric. Yes. Director Tejeda. Yes. Director Davis. Yes. Vice Chair Shaw. Yes. And Chair Sacito.

Yes. Moving on to item D2, consideration of a funding agreement with the City of Redlands providing $1,650,000 non-repayable capital contribution toward acquisition of 1675 Industrial Park Avenue for permanent supportive housing. Assistant City Manager Garcia.

Thank you, Chair and Board Members. The funding agreement provides a corporation with $1.65 million from the city. Of that amount, $700,000 will go towards the $13.5 million purchase price. The remaining funds will cover property taxes, closing costs, due diligence, and any unexpected acquisition costs. State and county partners will fund approximately 95% of this purchase and provide $1 million in total for initial operations. No city funding for operating costs is requested at this time. If the purchase does not close, unused city funds must be returned except for pre-approved acquisition-related expenses. And that concludes my presentation.

I don't have any speaker slips for this item. I don't see anybody on Zoom. What's the wish of the council?

I move that the Board approve the funding agreement with the City of Redlands, accept the City's $1,650,000 plus up to 5% contingency non-repayable capital contribution toward the acquisition of 1675 Industrial Park Avenue and authorize the Executive Director to execute the agreement on behalf of the Corporation. And I move that the board authorize the expenditure and deposit of $135,000 into escrow within three days after the opening of escrow as required by the purchase and sale agreement.

Second. Motion second. Madam Secretary?

Director Baric. Yes. Director Tejeda. Yes. Director Davis. Yes. Vice Chair Shaw.

Yes.

And Chair Saucedo.

Yes. That concludes our housing corporation agenda. We stand adjourned. Thank you, everybody, for your attention.