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RECEIVED
161993
CLE
BOARD OF SUPERVISORS ATAP IWERNAI IONAL,INC. CONTRA COSTA CO.
FACSIMILE TRANSMISSION COVER SHEET
DATE- 2A
3 TIME:—
PLEASE DELIVER MESSAGE TO:lali_'�l
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MESSAGE, SENT BY-- Le� �=
TOTAL NUMBER OF PAGES SENT (INCLUDING COVER SIIEET)----Y—
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PLEASE CALL L1115) 231-0471 ASAP
FAX NUMBER (AI-U 231-0608
P.O. Box 663, Station A, Richmond, CA 948078 (415) 231-0471
MAR-1'6-93 TUE 17:23 ATAP INC FAX N0, 2310471 P. 02
RECEIVED
MAR 16 1993
I ! ER BOARD OF SUPERVISORS
CT P Aq CO Tr1
CJ. 1
DATE. �' �rt' ^A)
ftQUFST To SPEAK Fort
THREE (3) MINU'T'E UMrr)
Complete this form,and place it_ in the box near the speakers' rostrum before
addressing the Board.
NAME• r�_1�� �'�•_ i PHONE: 21k-CsWl I
ADDRESS: RJI). %ny �ofin ' CrrY:
Y am speaking formyself OR organization:. S N? ILL,
Check one, (NAME OF OROANVATION)
I wish to speak on Agenda Item #
My comments will be: ,general for against
I wish to speak on the sub ect of..nm�l1y„ - �fw V�Dotcn)°'
I do not wish to speak but leave these comments for the Board to consider.
. ..,.. rnn iru, c�►u�r 1
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Ll RECEIVED1
a/-N114 . 0
CUP INTERNAPONAL,1N0. EMAR199
INVOICE FOR SERVICES RENDERED CLERK BOARD-
-v,G�SUFEAV�s JhS
COr�TRa
Jung 11, 1992
Mr. Jim Kennedy
Contra costa County
651 Pine Street
Martinez, CA 94353
SEYETI UNIT SE'M ORr 0I000
Attorney Feas 15,000.00
Architect 30,000.00
General Contractor 60,000,00
ATAP Planning$ Developing a Building 196,oD4.00
TOTAL ANDUNT DUE: 1340 OQ 00
P.O. Sox 64 Station A, Richmond, CA 94800 (415) 231.0471 FAX (415) 231.0608
MAR-16-93.TUE 17:24 ATAP INR E C O, 2310471 P. 04
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MAR 16 1993 # CA
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TOPS 7524-CANARY.7525-WHITE
DATE. l
REQUEST TO SPEAK FORM
(THREE (3) MINUTE LIMIT)
Complete this form and place it in the box near the speakers' rostrum before
addressing the Board.
NAME: 1_ \�\ �` .� PHONE: lel ` A-ULi I
ADDRESS. V P)� ID(tos CIY. 9,A �kLoc 4gnz
I am speaking formyself OR organization:
Check one: (NAME OF ORGAN IJ-Xl-IOti)
I wish to speak on Agenda Item #
My comments will be: general r for against
I wish to speak on the subject of d\��tai I S �Dv � �DQL�°
I do not wish to speak but leave these comments for the Board to consider.
SPEAKERS
1. Deposit the "Request to Speak" form (on the reverse side) in the box next to the speakers'
microphone before your item is to be considered.
2. You will be called to make your presentation. Please speak into the microphone.
3. Begin by stating your name and address; whether you are speaking for yourself or as a
representative of an organization.
4. Give the Clerk a copy of your presentation or support documentation, if available.
5. Please limit your presentation to three minutes. Avoid repeating comments made by previous
speakers. (The Chair may limit-length of presentations so all persons may be heard.)
ATAP INTERNATIONAL,INC,
INVOICE FOR SERVICES RENDERED
June 17, 1892
Mr. Jim Kennedy
Contra Costa County
661 Pine Street
Martinez, CA 94563
SEVEN UNIT SFH - NORTH RICHMONL)
Attorney Fees $ 16,000.00
Architect 30,000.00
General Contractor 60,004.00
ATAP Planning, Developing & Building 196,000.00
TOTAL. AMOUNT DUE: $300.000.00
P.O. Box 663, Station A, Richmond, CA 94808 (415) 231-0471 FAX (415) 231-0608
r 67 - 3
�-L3
Redevelopment Agency Contra Commissioners
Tom Powers
County Administration Building Costa tst District
651 Pine St.4th Flr.,North Wing J Nancy C.Fander�
Martinez,California 94553 Count` , 2nd District
Y
Phil Batchelor Robert 1.Schroder Executive Director 3rd District`t r.t-.r
Harvey E.Bragdon �_' Sunne Wright McPeak
Assistant Executive Director / 41h District
James Kennedy 7. !'I Tom Torlakson
5th District
Deputy Director-Redevelopment
(510)646-4076 `�- `�
>° AMgy
April 21, 1993 8p,4
C�NtROS 1993
A
RV UPE
Larry Greer _ Tq CQ ORS
A.T.A.P. International, Inc.
P.O. Box 663 '_ � -
Station A
Richmond. CA 94808
L
Dear Mr. Greer:
This letter is in response to your correspondence dated March 16, 1993,to the Clerk of the Board of
Supervisors that requested payment on an outstanding invoice totaling$300,000. You requested payment
for past attorney.architect. general contractor,and developer fees relative to the seven unit infill
affordable housing project in the North Richmond Redevelopment Project Area.
In addition.your letter made several allegations relative to the Redevelopment Agency's and the County's
responsibilities in this project that I would like to address. Specifically,the allegations raised were: (1)
the invoice was submitted to Jim Kennedy,Deputy Director,for payment;and(2)the County both delayed
the completion of the project and were ultimately responsible for A.T.A.P. losing the contract to complete
the homes.
1. Invoice of June 17, 1992.
An invoice dated June 17. 1992,was received by the Community Development Department on August 20,
1992,which totaled$300,000 for predevelopment related line items. Your communication of March 16,
1993.was the first formal indication of who submitted the June 17, 1992,invoice. The June 17, 1992,
invoice was not signed and did not contain the name or address of the submitter. Further,the invoice
contained no documentation substantiating the expenses. This office does not respond to invoices that are
not properly prepared, nor do we have the time to trace anonymous letters.
We also note that A.T.A.P. entered into a Disposition and Development Agreement(DDA)with the
Agency to complete the development of the seven single family homes. Pursuant to the DDA, A.T.A.P.
secured a$577.000 construction loan which was sufficient to construct the homes. Subsequently,the
Agency covered the cost overruns by increasing the selling prices by approximately$14,000 per home(for
a total of$98,000). Not only did A.T.A.P. exhaust the construction and Redevelopment Agency funds,
but the homes were only roughly 40-60%complete upon A.T.A.P.'s departure from the project, The
amount of money spent by A.T.A.P. ,given the relative incompleteness of the homes,raises many
questions about the disposition of construction funds.and the location of the materials,tools and
equipment that A.T.A.P. purchased for the project.
The construction lender foreclosed on the A.T.A.P. project on February 27, 1991. Neither A.T.A.P. nor
any of the subcontractors worked on the project since October 1990. While the Agency and A.T.A.P.
maintained constant communication throughout the foreclosure process,at no point did A.T.A.P. either
state or request payment for any past services rendered, nor were the companies providing these services
among the lien holders on the property at the time of foreclosure.
In conclusion. there is no justification for the Agency making any additional payments to A.T.A.P. for
work previously performed on the seven units housing project located in the North Richmond
Redevelopment Project Area.
2. County Delays and Responsibility for A.T.A.P. Losing the Housing Project
A.T.A.P. has leveled these same allegations previously to the Board of Supervisors as well as to the U.S.
Department of Housing and Urban Development,to which the Agency responded(attachments).
In closing,despite your continued attempts to discredit the County Redevelopment Agency,it continues to
be apparent that only A.T.A.P. was responsible for the problems experienced on the housing project.
A.T.A.P. appeared to operate under the premise,that because this was a government sponsored project,
the developer bore no responsibility and the County would invest unlimited funds to complete the project.
The developer is responsible for ensuring that construction meets all applicable building standards,
including flood plain requirements, and for curing any problems that arise. Even with increased financial
participation by the Redevelopment Agency,A.T.A.P. was unable to secure the additional funds necessary
to complete the project. For this reason,and this reason only,A.T.A.P.was foreclosed upon and
ultimately removed as developer for this housing project.
I frankly hope this is the last time that AT.A.P. will assert that the County was accountable for A.T.A.P.'s
failure to complete the seven unit infill housing project in North Richmond. A.T.A.P.'s failure to perform
has cost the Agency hundreds of thousands of dollars and threatens to undermine the North Richmond
community's confidence in improving their neighborhood.
Sin rely,
Jim Kennedy /
Deputy Director-.Redevelopment ,
i
c Board of Supervisors
North Richmond MAC
County Administrator
County Counsel
Goldfarb&Lipman
File 135.3(c)(3)