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At the Mayor's request, staff gave its presentation on amendment to the Redevelopment Plan, its changes and ORDINANCE NS-1258. the Executive Director Goblirsch provided the Council with a brief history of the Redevelopment Plan in order to put the hearing in proper perspective. He stated that the reason for the hearing is to request an amendment to the existing Project Area; that the area proposed by the amendment is generally bounded on the east by Main and Bush Streets, on the west by Broadway, on the south by Washington Street. The Executive Director divided his presentation into two parts, the first dealing with the amendment itself, and the second defining the blighting influences in the area. He described staff negotiations to create a major shopping center in the downtown area, and the reluctance encountered because of lack of freeway access and visibility. He stated that the proposed amendment recognizes the strong interdependence between the downtown commercial core area, which constitutes the existing Project Area, and the northern retail center surrounding Fashion Square; that these two areas constitute the primary centers of business and commercial activity in the City; that the plan proposes to develop these areas as complementary, rather than competing, centers of business and shopping, and to strengthen the interdependence of the two areas. He stated that there are developers and tenants interested in developing the Fashion Square shopping center on North Main Street, which would provide a shopping center with over one million square feet of retail~space; that the interested par- ties need help; and that the Redevelopment Agency proposes to assist by providing a parking structure for the expanded shopping complex, representing an initial investment of five million dollars, which he calculated would be returned ten fold over in terms of new development and jobs for Santa Ana residents; and that this will materially assist in the rede- velopment of the older central district downtown. Mr. Goblirsch continued by stating that the financing would be by tax increment bonds; that the project itself would generate the funds to pay off the bonds; and that the bonds would not be general obligation bonds, nor a burden to the taxpayer. He added that the project is estimated to generate more funds than the cost of the parking structure, $900,000 annually in increased property taxes; that in addition it will generate some $400,000 a year in increased sales-tax to the community. For the record, Mr. Goblirsch stated that staff has submitted an amendment and changes to the Redevelopment Plan, a report, an Environmental Impact Report, and owner participation rules; that staff has received two letters in opposition, one from the Board of Education of the Santa Ana Unified School District, and one from Adela Salinas, 1142 West Brook; and one letter from the Chamber of Commerce in support of the amendment; that he understands another letter of support will be presented by the Civic Center Association. He concluded that the plan is a good one; that some of the funds will be used to improve north-south access into the downtown community, and to improve the shopping center; that there will be a minimum impact on the residents of the area; that it is estimated that there will be less than fifty resi- dences that will be affected by the plan; and that adequate resources are available for relocation. He further stated that some preliminary planning and survey work had been done in the area; that the Director of Building Safety will speak to these points; that the retail exodus from Santa Aha could continue if something positive is not done, and soon; that staff proposes to keep the retail trade in the City, and to CITY COUNCIL MINUTES 212 MAY 15, 1975