The March 22 cover letter attaches a document titled "Draft Terms and Conditions of Potential Mixed Use Development" and recites that it is "non-binding, and any definitive agreements and all documents evidencing such agreements that may result from future negotiations will be subject to the review and approval of the City Council of the City of Long Beach in open session at a future meeting." .

The City hasn't disclosed the draft Term Sheet itself. The March cover lette was among 540+ pages of documents sought and obtained by LBREPORT.com under the CA Public Records Act. Dated two days after the City Council held a "closed session" (allowable if restricted to discussing "price and terms" in real estate negotiations), the letter was emailed to Chip Carey of "Shoreline Investments,LLC" who indicated in response eleven minutes later that he had conveyed the document to "Arte" (presumably Arte Moreno, owner of the CA Angels) and "John" (believed to be John Carpino) attaching "Draft Terms and Conditions of Potential Mixed-Use Development" of the area commonly known as the "Elephant Lot" and its immediately adjacent parcels.

The March 22 West-Garcia cover letter recites that the Term Sheet "is meant to provide an initial framework around which the parties may negotiate towards a definitive agreement."

[Scroll down for further.]

The March 22 West-Garcia letter states:

As you know, the draft Term Sheet is non-binding, and any definitive agreements and all documents evidencing such agreements that may result from future negotiations will be subject to the review and approval of the City Council of the City of Long Beach in open session at a future meeting.

Based on preliminary discussions, the City of Long Beach has developed these preliminary non-binding terms to enable the potential development of a new mixed-use sports and entertainment focused coastal development on City-owned real property located in PD-6, to contribute to the ongoing development and vitality of downtown Long Beach, in particular enhancing our harbor area and the surrounding region.

We anticipate that the mixed-use sports and entertainment-focused coastal development will strive to achieve a number of shared objectives, including:

• The creation of a dynamic entertainment destination that enhances Long Beach's regional, national and international recognition;

• The development of a financially-feasible world-class Major League baseball ("MLB") ballpark ("Ballpark") that is activated by professional baseball games and events year-round and is well-maintained into the future;

• Support for Long Beach's economic and tourism assets, including the Long Beach Convention and Entertainment Center ("Convention Center") and other nodes of activity at the waterfront and in downtown Long Beach;

• The creation of housing for a diversity of current and future Long Beach residents;

• The creation of both economic opportunity and community benefits for Long Beach residents and workers;

• Enhancement of access to the Long Beach water front for all;

• Excellence in design and environmental sustainability;

• And a positive net fiscal impact on City's finances.

We look forward to our ongoing discussions about this project. Tom Modica, Assistant City Manager, will serve as the City['s main contact during these discussions and we ask that your team direct all comments on the draft terms and conditions document to his attention.

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Eleven minutes after its March 22 transmittal by email by Mr. Modica, Mr. Carey responded with an email stating: "Thank you Tom, confirming receipt and also letting you know that I have sent it to Arte and John."

On May 3, the City sent a cover letter titled "Follow-Up to Draft Term and Conditions of Potential Mixed Use Development." signed by City Manager West and Mayor Garcia, attaching further information not disclosed in documents released by the City. On Saturday May 4, Mr. Carey responded "Thank you, Tom. I'll get this to our team and we will promptly follow up with you..."

The Follow-Up document (and possibly other communications in the chain of communications) have been withheld by the City. In its transmittal letter releasing documents to LBREPORT.com and others, the City stated: "These are the available and responsive records of the formal correspondence with the Angels regarding draft terms and conditions of a proposed project, as authorized by the City Council in closed session on March 19, 2019. Specific draft documents concerning draft terms and conditions are being withheld as this is an active negotiation. Recommended terms and conditions of a proposed project would be brought to the City Council in open session for public debate and direction at the appropriate time."

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As previously reported by LBREPORT.com, on March 19, 2019, the Long Beach City Council held a closed session (from which the public and press were barred) publicly agendized as follows:

Pursuant to Section 54956.8 of the California Government Code regarding a conference with the City's real property negotiator:

1. Property: That certain real property bounded on the north by East Seaside Way, on the west by Pine Avenue, and on the south and east by East Shoreline Drive and the Pacific Ocean, major portions of which are commonly known as the Elephant Lot and the Marina Green.

City's Negotiator: Patrick H. West, City Manager

Negotiating Parties: City of Long Beach and

Shoreline Investments LLC

Under Negotiation: Price and Terms of Purchase and/or Lease

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CA Government Code section 54956.8 provides in pertinent part:

Notwithstanding any other provision of this chapter, a legislative body of a local agency may hold a closed session with its negotiator prior to the purchase, sale, exchange, or lease of real property by or for the local agency to grant authority to its negotiator regarding the price and terms of payment for the purchase, sale, exchange, or lease.

However, prior to the closed session, the legislative body of the local agency shall hold an open and public session in which it identifies its negotiators, the real property or real properties which the negotiations may concern, and the person or persons with whom its negotiators may negotiate. [CA Gov't Code § 54956.8]

Further to follow on LBREPORT.com.

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