BREA : Settlement OKd on Relocation Funds

Members of the Brea Small Business Coalition have ratified a settlement with the Redevelopment Agency that provides for financial assistance to property and business owners who are negotiating with the city.

Twenty business owners signed the agreement earlier this week that settles a court case brought by the coalition against the agency for its failure to provide for a relocation plan in two downtown redevelopment areas.

Under the agreement, the business owners may be reimbursed up to $6,500 to cover fees for attorneys, appraisals and other expenses that arise during negotiations with the agency.

Residents displaced by the projects are also entitled to $5,200 in relocation fees while businesses may be reimbursed up to $10,000 for relocation.

However, several business owners remain dissatisfied.

“The city is paying us for the trouble it’s causing us,” said Jim Cook, a property owner in the 50-acre downtown area where the city hopes to build a multimillion-dollar commercial and residential project. “But, hopefully, we can get a fair price for our properties now.

As a result of the lawsuit, a Superior Court judge has ordered the agency to complete a relocation plan that addresses the needs of businesses and residents displaced by its redevelopment projects.

Last week, the agency approved such a relocation plan, paving the way for the settlement with the business coalition.

The coalition’s lawyer, Mike Leifer, was unavailable for comment. His assistant, Roland Reynolds, declined to comment, except to confirm that coalition members had signed the agreement.

Bill Vega, one of the coalition’s leaders, said the agreement was not actually a settlement.

“People need to know it is not a settlement,” he said. “It is only an agreement to put into place a structure of presenting grievances to the city.” he said.

He said that if the agency and the property owner do not reach agreement, the mediation process that will ensue will cost the city “tons of money.”