Sunday, March 10, 2013

Half Moon Bay to pay down debt on lawsuit bonds

This is the Beachwood property lawsuit.  See the related article, the photograph was taken on the property.  

Half Moon Bay Review/Mark Noak, "Half Moon Bay wins $3.15 million more from insurer."

"Half Moon Bay will receive an additional $3.15 million as part of a final settlement with the city's former liability insurer. City officials announced they had approved the settlement deal with the Insurance Company of the West in a press release sent out Friday evening. 

Beachwood still a money magnet
"Gee, in Pacifica a path might be an official trail." *
The new money comes as the elected leaders prepare to hear recommendation from consultants on how they should pay down the city's long-term bond debt. The city initially intended that meeting to discuss plans for a $10 million award from the same insurance firm as part of legal arbitration.

The two awards come as a result of the city’s losses resulting from the Beachwood lawsuit. Five years ago in that case, a federal judge ordered Half Moon Bay to pay a developer $41 million as part of a longstanding land-use battle. The city ultimately agreed to pay $18 million through a settlement, and officials raised most of that money by issuing bonds.

.... City officials announced Friday they would use the lump sum as part of a “comprehensive debt reduction analysis”."   Read article.

RelatedHalf Moon Bay Review/Mark Noack,10/14/09. "Beachwood still a money magnet."  "Half Moon Bay has paid the bill and taken possession of the Beachwood property, but determining what to do with the embattled property continues to be costly. Last week, the City Council amended its annual budget to include $3.7 million for bonding and ownership expenses associated with a new stewardship plan to prepare the 24-acre property for future sale. That is primarily due to a $3 million payment the city made from its own general fund to pay the settlement obligation. Recouping as much as possible of the city’s expenses from that $18 million payment has become the top priority for the council as it decides how to manage the new property.   Trivia note: *The photograph caption refers to citizen comments at the last Pacifica Planning Commission meeting, (3/4/13). Pedro Point neighbors said they hope the city will make a possible private property path an official trail. After all,"everyone uses the path".

Posted by Kathy Meeh 

1 comment:

Anonymous said...

Ask yourself what would Pacifica do with an extra $3.15 million? Would it be better to hit the casinos or let council manage the money?

You gotta ask?