According to a letter sent to SunCal by the City of Alameda, SunCal’s failed February 2, 2010 Measure B ballot measure election cost the City $279,629.61. The Interim City Manager Ann Marie Gallant is asking SunCal to make good on an offer to pay for the special election.
In the April 20, 2010 letter, Interim City Manager Ann Marie Gallant writes “during various negotiation meetings last fall, payment for this special election was discussed with the SunCal negotiation team, but the City received no final confirmation that SunCal would reimburse the City for these costs. The purpose of this correspondence is to request SunCal’s final decision in this regard.” The letter documents a breakdown of expenses for the election totaling $279,629.61.
At a Measure B forum earlier this year, sponsored by the League of Women Voters, SunCal representative Pat Keilher told the audience that SunCal would pay for the election if the Measure passed. Measure B failed with 85% of the electorate voting against it. No word yet from SunCal on whether or not they will foot the bill.
Also sent to SunCal this week by the Interim City Manager was a letter that, among other things, deemed as “insufficient” SunCal’s estimate of roughly $17 million in mitigation for negative fiscal impacts on the City’s general fund as a result of their Modified Optional Entitlement Application plan for Alameda Point. The negative fiscal impacts would violate the City’s fiscal neutrality policy, which requires all development projects to contribute to the City’s General Fund as much money as they take out.
The letter also questioned how SunCal translated a 35% density bonus on a 21.78 dwelling unit per acre plan into a 50 dwelling unit per acre plan, and SunCal’s “aggressive assumptions” for finished unit price increases, land value increases, and residential sale prices.
In a third letter, from the City Attorney, the City acknowledges that SunCal has cured their default under their Exclusive Negotiation Agreement (ENA) with the City, but refutes SunCal’s previous “letter of reservations” sent to the City.
All three letters are reproduced below.