HomeMy WebLinkAbout08 RDA STATUS REPORTAgenda Item 8
• Reviewed:
AGENDA REPORT City Manager
Finance Director N/
MEETING DATE: SEPTEMBER 6, 2011
TO: WILLIAM A. HUSTON, INTERIM CITY MANAGER
FROM: REDEVELOPMENT AGENCY
SUBJECT: STATUS REPORT ON REDEVELOPMENT AGENCY PROJECTS
SUMMARY
Redevelopment Agency staff provides on a monthly basis an update of redevelopment
related projects.
RECOMMENDATION
Receive and File.
FISCAL IMPACT
There is no fiscal impact associated with this agenda item.
BACKGROUND/DISCUSSION
The attached status report focuses on the status of projects that Agency staff and Board
members are working on and other Agency items of interest.
Christine A. Shingleto
Assistant City Manag
Attachments:
I. September 2011 Status Report on Redevelopment Agency Projects
Tustin Community Redevelopment Agency
September 2011 Status Report
Town Center & South Central Redevelopment Project Areas
ACTIVITY STATUS
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Newport Avenue Extension
Continued coordination with Public Works on Phase 2 design work and a potential property acquisition
strategy.
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The Agency continues to manage two occupied four-plexes at 14741 and 14751 Newport Avenue that were
purchased for required right-of-way in Phase 2. Currently, there are two vacant units that are being
marketed for month-to-month rental. No change in status.
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Tustin Town Center – New
A Request for Proposal (RFP) was released, seeking proposals from Environmental consulting firms for the
Beginnings Study
preparation of a Program Environmental Impact Report (PEIR) that supports proposed General Plan
amendments, amendments to the Tustin City Code, a proposed Overlay District Zoning, and other zoning
modifications to the City’s Zoning Ordinance. Four (4) proposals were received. Based on a review of the
proposals, staff will be bringing forward a contract to the City Council for approval.
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Two (2) property owners of Key Opportunity Sites in the study have indicated interest in participating in
redevelopment opportunities. Follow-up meetings are being scheduled.
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Public Works is preparing a Request for Proposals (RFP) for the engineering Project Study Reports for
certain right-of-way and gateway improvements in the Center City Neighborhood and for streetscape
improvements along McFadden Avenue in the West Village Neighborhood. These reports will include
specific design and evaluation of installation of improvements and amenities in these Neighborhoods as
recommended in the Study as Short Term Actions.
Commercial Rehabilitation With the recent changes to Redevelopment as a result of the passage of the State of California’s 2011-2012
Program budget and trailer bills AB1X 26 and AB1X 27, staff anticipates bringing forward program revisions to the City
Council in early fall. The revisions will include expanded boundaries that will provide funding flexibility with
RDA funding in RDA Project Areas and CDBG funding within CDBG Target Areas.
Town Center Refunding Project may no longer be feasible, but Finance Department is reviewing.
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Tustin Community Redevelopment Agency
September 2011 Status Report
Town Center & South Central Redevelopment Project Areas
ACTIVITY STATUS
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Pacific Center East
Staff continues to field numerous broker and developer calls and inquiries regarding the former AAE
properties and potential interest in development.
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On July 5, 2011, the City Council approved DDA 2011-01 (Tustin Gateway) with R.D. Olson Development
for development of 2 hotels (300 rooms) and ancillary restaurant/retail/conference space on the west side of
Newport Avenue, north of the new SR-55 eastside ramps, south of Edinger Avenue. City staff has opened
escrow with First American Title and the Developer has made a $250,000 earnest money deposit. RDA staff
will be coordinating the entitlement process with all operating departments.
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Effective June 1, 2011, National Office Liquidators leased 28,000 square feet at the 15171 Del Amo Avenue
facility. Lee & Associates continues to market the remaining 57,000 sq. ft. for short term uses only.
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Redevelopment staff and Public Works staff are working with RBF Consulting on the design of a
comprehensive Gateway and Landscape Concept Plan that will enhance the streetscape within the Newport
Avenue/SR-55 Freeway northbound ramp area including landscape, hardscape, landscape signage, irrigation
systems, lighting, and gateway monumentation within the median islands, corner cut out areas, and the
CalTrans ramps along Newport Avenue between Edinger Avenue and Valencia Avenue.
Tustin Library The Library CIP Project has not been completely closed out yet pending additional work not part of the
gkkworks’ contract, including, but not limited to, IT connections and installations. City also continues to work
on warranty issues related to HVAC systems that are still unresolved. No change in status.
Neighborhood Improvement Agency staff continues to participate in these Task Forces on an ongoing basis.
Task Force & Tustin Against
Graffiti
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Tustin Community Redevelopment Agency
September 2011 Status Report
Town Center & South Central Redevelopment Project Areas
ACTIVITY STATUS
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Stevens Square Parking
Agency staff was contacted regarding development on an underutilized property fronting on Main and El
Structure
Camino Real (the Radan property) which is adjacent to the Stevens Square Parking Structure. The owner
has placed the project on hold for the time being given the owner’s other financial commitments.
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Staff is working with Community Development and the City Attorney to address the condition of the
parking structure as well as ongoing maintenance issues. The City Council approved Critical Structures,
Inc. to conduct a structural engineering assessment and provide a report identifying any immediate repairs
and associated costs necessary to bring the structure into compliance. Critical Structures has submitted the
necessary insurance documentation and a notice to proceed has been issued.
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The owner of the Steven’s Square commercial properties and parking structure is attempting to sell the
commercial properties. The City Attorney’s office, Community Development and Agency staff are
attempting to meet with the property owner to discuss the sale of the individual parcels and buildings in
relation to the parking requirements tied to the entitlements on the subject property.
The City Attorney has also prepared a draft Participation Agreement that will identify how costs addressing
the current condition of the parking structure are to be shared by the property owner and the Agency since
the Agency has a 1/3 ownership interest in the parking structure. The City Attorney will also work with the
property owner to revive the required Community Association for the structure that will be responsible for
collecting association fees and overseeing ongoing maintenance. After staff meets with the property owner
and obtains support for the Participation Agreement, it will be brought to the Agency for approval.
Prospect Village Project The Agency has awaited information from the Developer (Prospect Village LP) required to issue a Partial
Certificate of Compliance on the Live/Work portion of the project in accord with the DDA. Applicant has
informed staff that it will not provide the necessary information in order for the City to issue the Certificate of
Compliance. No change in status.
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Tustin Community Redevelopment Agency
September 2011 Status Report
MCAS Tustin Redevelopment Project Area
ACTIVITY STATUS
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Coordinated with Public Works on status of public improvement obligations, Vestar/Kimco obligations and
The District at Tustin Legacy
City reimbursement obligations under the DDA and Infrastructure Construction and Reimbursement
Agreement.
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Agency staff continues to explore options that might facilitate land exchange between the Army and Vestar
and/or the City on the 14.5 acre Army Reserve site adjacent to the District; however, Vestar has indicated
they are in discussions with the Army regarding a potential land exchange of approximately 3 acres of
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property to be used for parking purposes. Agency staff is drafting a 6 Amendment to the Disposition and
Development Agreement between the City and Vestar to accommodate this exchange, and continues to
coordinate with other operating departments in review of preliminary plans submitted by Vestar for the
proposed improvements.
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Agency staff is conducting its current validation of the percentage rent due the City under the terms and
conditions of the DDA with Kimco/Vestar Tustin, LLC. The validation was completed in July 2011 and the
City received approximately $12,200 for 2010 in participation rents.
The County has retained a consultant (Tait and Associates) to review the preparation of a Concept Plan for the
County of Orange
urban regional park and the feasibility of retaining and reusing the blimp hangar for public use. Agency and
City operational departments have continued to respond to requests for various City documents to support the
County’s planning efforts.
Provided a monthly status report to the California Department of Housing and Community Development (HCD)
Local Agency Military Base
and continue to respond to periodic inquiries from tax consultants representing potential and existing businesses.
Recovery Area (LAMBRA)
The Governor’s 2011-2012 budget did not eliminate LAMBRAs, as initially proposed. An updated and revised
LAMBRA policies and procedures manual and updated LAMBRA marketing plan will be implemented shortly.
In conjunction with the implementation, staff will submit a recommended hiring tax credit application fee for
City Council consideration.
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Tustin Community Redevelopment Agency
September 2011 Status Report
MCAS Tustin Redevelopment Project Area
ACTIVITY STATUS
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Tustin Unified School District
Awaiting direction from City Council/Agency Board on quitclaim deeds and conveyance agreements
previously transmitted to TUSD in June 2008. No specific modifications provided to date from TUSD. No
change in status.
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TUSD is taking action to relocate Hillview and Sycamore High School campuses to the recently completed
Heritage School Site.
Lennar/Marble Partners/Meta Staff is continuing to meet with Meta Housing and its property management firm to discuss the City’s
Housing marketing, leasing and compliance requirements for Coventry Court. Staff has approved Meta Housing’s
request to utilize the California Utility Allowance Calculation when determining the affordable rent. Staff met
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with Meta Housing on June 22and is currently reviewing their marketing plan for future rentals.
Fire Station 37 Relocation The City and OCFA are currently finishing review of the recently resubmitted Construction Documents and
Specifications. It is anticipated that all outstanding comments will be addressed in this final submittal. On June
21, 2011, the City Council approved Amendment #3 to the Consultant Services Agreement with Griffin
Structures, Inc. authorizing additional services post plan completion as the construction manager for the project.
Pre-Qualification process for the bidding on the project is being brought to the City Council for approval.
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25-Acre Community Park Site
Agency staff continues to work with the Parks and Recreation Department and a design consultant to finish
master park design of the future 25-acre community park site. The final approved “Project Environmental
Review Form” (PERF) requesting authorization to complete the necessary geotechnical investigation was
received on July 27, 2011. Agency staff is working with design and geotechnical consultants to commence
with field activities.
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Agency staff and the Parks and Recreation Department prepared and submitted a revised “Federal Lands to
Parks” application to the National Park Service on March 29, 2011 as required for conveyance of the future
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community park site. The National Park Service informed the City the week of June 6 that the submittal
was acceptable and they will be requesting assignment of the park site to their office by the Department of
the Navy once the Navy issues a Finding of Suitability to Transfer the site. The National Park Service will
then convey the site in one or more phases to Tustin.
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Tustin Community Redevelopment Agency
September 2011 Status Report
MCAS Tustin Redevelopment Project Area
ACTIVITY STATUS
Navy (DoN) Reviewed, disseminated to applicable stakeholders, including the DoN, the Environmental Protection Agency
(EPA), the Department of Toxic Substances Control (DTSC), and the Regional Water Quality Control Board
(RWQCB), and followed-up with the City’s special Washington D.C. counsel on the following documents, as
needed:
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Draft Finding of Suitability to Transfer (FOST) #9: RDA staff and special counsel, in cooperation with
representatives from the County of Orange and SOCCCD, reached resolution of outstanding issues with the
Navy. Issuance of a Final FOST #9 will facilitate conveyance of certain properties to various parties,
including the City, SOCCCD, and County of Orange. RDA staff has been working with engineering
consultant, PSOMAS, in preparation of required legal descriptions. However, on March 10, 2011, the Navy
informed the City that the FOST #9 efforts have now been placed on hold pending resolution of issues raised
by DTSC as part of the Draft CRUP review related to OU-1A. DTSC has raised issues regarding potential
risks to residents through the vapor intrusion pathway. The Navy has agreed to further evaluate potential
risks during the 5-year review prior to finalizing the FOST. The 5-year review had just begun and is
scheduled to be completed by October 2011. Based on this schedule, the best case scenario for moving
forward with FOST #9 is late summer. A worst case scenario could push the schedule back an additional 6-
9 months for additional required documentation. The City is awaiting an update from the Navy/DTSC
regarding this new evaluation and the resulting delay in the schedule for property conveyances. No change
in status.
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Final 2010 Annual Long-Term Monitoring Report OU-3
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Draft CERCLA Five-Year Review OU-1A and OU-1B, OU-3
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Draft Amended Site Management Plan FY 2012 Update
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Final 2011 First and Second Quarter Groundwater Monitoring Data Package UST 222
?Draft 2010 PCAP Annual Report UST Site 222
?Draft 2010 Annual Performance Evaluation, Groundwater Remedy at OU-1A and OU-1B
?Final 2011 First Quarter Groundwater Monitoring Data Package OU-1A and OU-1B
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Tustin Community Redevelopment Agency
September 2011 Status Report
MCAS Tustin Redevelopment Project Area
ACTIVITY STATUS
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Former Master Developer
The final PERF version (13 Version submitted June 16, 2011) was approved by the Navy for the Master
Footprint (820 acres)
Development Footprint on July 27, 2011. Under this PERF, staff submitted Tustin Ranch Road Plans
(Rough Grading, Storm Drain Plans and Construction Specifications) to the Navy and DTSC staff at the
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Navy’s office in San Diego on June 7. Navy and DTSC approval of the Tustin Ranch Road plans and
specifications are not required; however, the Agency is working with Public Works staff in receiving
approval of required groundwater modeling performed to demonstrate no impact from construction activities
associated with the Tustin Ranch Road Project, including ensuring all other applicable PERF conditions of
approval are satisfied (Health and Safety Plans, Environmental Work Plans, Well Modification Plan, Field
Notifications, etc.)
?Coordinated with Public Works and Irvine Ranch Water District (IRWD) for the installation of a new well
(Well TL-1) at the northeast corner of Barranca Parkway and future Aston Avenue. RDA staff has prepared
an access and construction license and exclusive easement for well purposes. The license has been tendered
to IRWD for execution and a draft exclusive easement has been transmitted to IRWD for review. The
exclusive easement will require approval by the City Council once accepted by IRWD.Also coordinated
with Public Works and IRWD for the preparation of a temporary license for access and excavation purposes
on Agency property located between Peters Canyon Channel and Tustin Field I. The work is necessary for
IRWD’s Wells 21 and 22 Desalter Project within Edinger Avenue.
?Agency staff is working with our environmental special counsel and designated environmental insurance
broker on preparation of a solicitation package for a new environmental insurance policy for Tustin Legacy
since the current policy expires December 31, 2011. The City Council authorized the solicitation at its
meeting on June 21, 2011.
?Agency staff is working with City departments, City consultants, and First American Title Company in
review and approval of Tentative and Final Tract Maps 17144 and 17404 for Conveyance Purposes as they
affect Neighborhood E (TTM and FTM 17144) and Neighborhoods B, D, and G (TTM and FTM 17404).
Legislation – Federal The Association of Defense Communities (ADC) commented on proposed legislation by Governor Brown to
abolish redevelopment agencies throughout the state and the negative impact approval of such legislation will
have on the redevelopment of former military bases in the creation of jobs.
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Tustin Community Redevelopment Agency
September 2011 Status Report
MCAS Tustin Redevelopment Project Area
ACTIVITY STATUS
Tustin Legacy Disposition On April 25th, the City Council adopted a Disposition Strategy for the former Master Developer Footprint.
Strategy Implementation With the approved Disposition Strategy, the City will assume the role as the Executive Master Developer by
subdividing the former master developer site into development packages that will be acquired and developed by
private sector developers, including on-site and off-site infrastructure improvements. Over the next few months,
City staff will solicit developer interest on “Early Development Opportunity Sites” that tie in with the
construction of the Tustin Ranch Road extension from Warner Avenue to Walnut Avenue. These packages are
also located in close proximity to The District at Tustin Legacy. The disposition packages were selected because
of their proximity to existing infrastructure and adjacent development. A developer selection process has been
put in place to assist the City in determining the most qualified developers for each disposition package. The
overall selection of a developer for each individual disposition package was approved by the City Council on
July 19, 2011.
On August 15th, the City qualified 9 apartment developers expressing interest in being interviewed for Parcel
1A (Apartments) and 8 apartment developers expressing interest in being interviewed for Parcel 2A
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(Apartments). These developers will be interviewed on August 31 and September 1 by a panel of experts that
will narrow this list to three developers to advance to the next step in the developer selection process for these
two sites. The three developers selected for each site will be invited to respond to a Request for Proposal (RFP)
including the developer’s business and development proposal for Parcel 1A or Parcel 2B or both parcels. These
responses to the RFP will be brought back to the City Council for consideration.
On August 19th, the City qualified 12 for-sale residential developers expressing interest in being interviewed for
Parcel 1B (For-Sale Residential). These developers will be interviewed on September 15th and 16th by an
expert panel that will narrow the list to three firms to advance to the next stage in the selection process as
previously described.
On August 31st, commercial developers expressing interest in being interviewed for Parcel 1C (Retail/Office)
and Parcel 2B (Office/Hotel/Retail) will have submitted applications. Those developers qualifying will be
interviewed on September 21 and 22 by an expert panel that will narrow the list to three firms to advance to the
next stage in the selection process as previously described.
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Tustin Community Redevelopment Agency
September 2011 Status Report
MCAS Tustin Redevelopment Project Area
ACTIVITY STATUS
Tustin Legacy Website An updated website is online. The website includes information for the general public related to current and
future residential developments, public services and utilities, business opportunities, leisure activities,
educational institutions, relevant news, documents and plans impacting Tustin Legacy. The Commercial
Property Search and Tools for Business Success features from the City website have also been incorporated into
the website. Staff continues to update the website on an as-needed basis and respond directly to comments and
questions received from the public via the “Questions/Comments” portal on the homepage. The latest postings
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include the Summer 2011 Tustin Legacy newsletter, the Mid-Term Report for the 2 Implementation Plan for
MCAS Tustin, and the Disposition Strategy for the Master Development Footprint.
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South Orange County
Staff continued to monitor SOCCCD compliance with the Conveyance Agreement and Sublease in
Community College District
coordination with Public Works, Community Development, the City Attorney and the City’s Washington
(ATEP Campus)
D.C. special legal counsel, Kutak Rock. Staff continues to meet and discuss potential future amendments to
the Conveyance Agreement with SOCCCD.
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Coordinated with SOCCCD on insurance renewals pursuant to the LIFOC.
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Staff is coordinating with SOCCCD and the Navy on the demolition of existing structures on the SOCCCD
properties and the LIFOC property, including submitting and receiving approval from the Navy of an
amendment to PERF T-014 to including demolition of Building 26 (chapel). Demolition is nearing
completion on the deeded property; demolition on the LIFOC properties commenced Spring 2011. Staff
also reviewed and provided comments on plans for demolition, utility severance, and grading activities
associated with the demolition of Building 524 near future Warner Avenue.
?The County and SOCCCD entered into a Memorandum of Understanding regarding a potential land
exchange and the City is reviewing the documentation as may be necessary for the proposed exchange.
City and Agency staff have continued to meet with SOCCCD and County representatives to discuss Specific
Plan Amendments necessary to support potential land exchanges. Staff continues to review and comment on
the draft Exchange Agreement between the County and SOCCCD, and is currently reviewing the
environmental information provided by SOCCCD.
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Tustin Community Redevelopment Agency
September 2011 Status Report
Housing
ACTIVITY STATUS
Affordable For Sale Housing
Resales
?There are currently twelve (12) affordable re-sale homes on the market: seven (7) moderate-income homes at
Tustin Field I, one (1) low-income home at Tustin Field II, one (1) moderate-income home at Clarendon in
the Villages of Columbus, one (1) moderate-income home at Camden in the Villages of Columbus and two
(2) moderate-income homes at Arbor Walk. Staff is working with existing homeowners to process
paperwork as needed. One (1) moderate-income at Tustin Field I and one (1) low-income home at Tustin
Field II are anticipated to close escrow at the end of August. One (1) moderate- income home at Tustin
Field I, one (1) low-income home at Tustin Field II, and one (1) moderate-income home at Camden in the
Villages of Columbus closed escrow at the end of July. In addition, staff has received an initial submittal for
the purchase of another moderate-income home at Tustin Field I. Staff is currently working with the lender
on this submittal. Staff will continue to review the documentation submitted for future purchase transactions
as received.
Lenders
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Staff has been working with eight (8) lenders who have knowledge of the documentation and requirements
related to the program. Recently, one (1) additional lender reviewed the required documentation and
approved the program. A list of all nine (9) lenders can be found on the City’s website and is intended to be
used only as a resource document by potential buyers and is not meant as a recommendation or endorsement
by the Agency or City. Staff will continue its outreach efforts to additional lenders that may be interested in
being added to the list. Staff is also working with the Neighborhood Housing Services of Orange County
(NHSOC) to identify lenders who support its program and who would be interested in working with the
City’s Affordable Housing Program. To date, one lender has reviewed and approved the program
documentation. Staff will continue to work with NHSOC in its efforts to reach out to additional lenders.
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Tustin Community Redevelopment Agency
September 2011 Status Report
Housing
ACTIVITY STATUS
Mortgage Credit Certification In December 2009, the California Debt Limit Allocation Committee (CDLAC) awarded Orange County an
(MCC) Program additional $14,000,000 in mortgage credit certificates. The National Homebuyers Fund, Inc. (NHF) is now
administering the program for the County. Only NHF-approved lenders can participate in issuing mortgage
credit certificates to qualified first-time homebuyers. Staff has submitted a list of lenders who currently work
with the Agency for NHF to contact. To date, three (3) lenders have been approved by the NHF to participate in
issuing mortgage credit certificates. The Agency website has been updated with the new administrator’s (NHF)
MCC program information.
In July, we had our first homeowner utilize a Mortgage Credit Certificate for the purposes of purchasing a
property. The program allowed the owner to save approximately $179 on their monthly mortgage payment. An
additional homeowner is attempting to utilize the program as well; it is anticipated that this transaction will
finalize in late August.
Monitor Foreclosure Activity Assembled, prepared and submitted the monthly foreclosure report to the City Council. The reports are used to
monitor trends and spot potential issues regarding pre-foreclosure and foreclosure activity among residential and
commercial uses.
Preservation of At-Risk Discussions are ongoing with Tustin Gardens and Irvine Company Apartments: Rancho Alisal, Rancho Maderas;
Affordable Housing Units and Rancho Tierra, regarding the extension of affordability restrictions as part of Housing Element
implementation activities.
Neighborhood Stabilization The Agency is monitoring the County’s application with the State and will retain the right to participate in the
Program (NSP) county-wide program once additional information is made available from the County. No change in status.
Tustin Housing Authority On April 19, 2011, the Housing Authority Commissioners approved Resolution No. HA 11-01 adopting By-
Laws for the Tustin Housing Authority, which was established on March 15, 2011. No change in status.
Senior Housing Project Agency and Community Development staff met with the Affordable Housing Developer proposing a Senior
Housing Project in the Town Center Redevelopment Project Area and discussed the comments previously
provided by staff to the Developer. The Developer is working on refining the proposal and identifying
additional funding sources.
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Tustin Community Redevelopment Agency
September 2011 Status Report
Housing
ACTIVITY STATUS
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Affordable Housing Revolving
On May 25, 2011, the Agency closed escrow on 14554 Newport Avenue, #3, a moderate income affordable
Default Fund
housing unit at risk of foreclosure. The City Council had previously authorized the Agency on March 1,
2011, to take the necessary actions to cure the homeowner default in order to insure the unit remains in the
City’s affordable housing inventory. The home is currently being painted in preparation for listing.
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Staff solicited interest from selected Real Estate Brokers and Agents in representing the City in the sale of
City-owned affordable housing units. Staff has identified an Agent to market 14554 Newport Avenue, #3
and will be entering into a listing agreement with the Agent.
Homeless Prevention and The County awarded funds to Families Forward, Mercy House and Friendship Shelter to administer this county-
Rapid Re-Housing Program wide program. Funded under the American Recovery and Reinvestment Act of 2009, the program provides
financial assistance to households at risk of becoming homeless and who need temporary rent or utility
assistance. Staff meets bi-monthly with TEAM to insure Tustin residents, who risk eviction, access the program.
No change in status.
Orange County The Agency continues to participate with these programs and initiatives on an ongoing basis. No change in
Homeownership Preservation status.
Collaborative (OCHOPC) &
OCBC Workforce Housing
Committee
Residential Rehabilitation With the recent changes to Redevelopment as a result of the passage of the State of California’s 2011-2012
Program budget and trailer bills AB1X 26 and AB1X 27, staff anticipates bringing forward proposed revisions to the
Rehabilitation Program in early fall for City Council review and approval.
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Affordable Homeowners
One (1) refinance transaction was approved by the Agency on behalf of affordable owners.
Refinancing
?Initial documents for one (1) refinance transaction from a lender on behalf of an affordable owner have been
submitted. Staff expects to receive final documents in the near future.
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Tustin Community Redevelopment Agency
September 2011 Status Report
Housing
ACTIVITY STATUS
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Monitoring Tustin’s Affordable
On May 27, staff mailed 265 annual monitoring letters to homeowners, requesting documentation verifying
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Homeownership Inventory
continuing compliance with their affordability covenants. Homeowners were given until June 30 to
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respond. On July 6, staff mailed a second notice to 51 homeowners who had yet to respond. Homeowners
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were given until July 31, to provide the necessary documentation. In August, a “Failure to Respond” letter
was mailed to twelve homeowners who had not submitted any documentation and they were given until
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August 16 to provide documentation. To date, one homeowner has not responded and staff will be sending
a “Notice of Default” letter to the homeowner. In addition, there are five homeowners who submitted
incomplete information and will be receiving a “Failure to Respond” letter shortly if they do not provide the
remaining documentation.
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On May 27th, annual monitoring letters were mailed to the three (3) transitional housing providers in the
Tustin Legacy area, which account for eighteen (18) homes. Staff has received responses back from all three
providers acknowledging compliance with affordable housing requirements.
Transitional Housing There are eighteen (18) transitional housing units in Tustin Legacy with three (3) non-profit agencies managing
six (6) units each. The transitional housing units are integrated within the total Tustin Legacy development. As
part of the Agency’s annual monitoring, staff requested an annual report from each of the agencies for Program
Year 2010/2011 (7/1/10 to 6/30/11). The following is a summary of the activity occurring in PY 10/11:
?Twenty-five (25) families were served during FY 10/11. Eleven (11) men, twenty-six (26) women, and
fifty-nine children.
?As of June 30, 2011, there were seventeen (17) families, with eight (8) men, eighteen (18) women, and forty-
one children in the program.
?Ten (10) families have moved into permanent housing, five (5) of which are in unsubsidized housing.
?Twenty-nine (29) adults were employed before entering the program and an additional five (5) obtained
employment while in the program. While in the program, eight (8) individuals received a promotion and ten
(10) received raises.
?Eleven (11) adults enrolled into college or a trade school during the program. Four (4) received a college
degree or certificate during the program.
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Tustin Community Redevelopment Agency
September 2011 Status Report
Economic Development/ and Other Miscellaneous Administration Topics
ACTIVITY STATUS
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Legislation – State of
On June 30, 2011, Governor Brown signed into law the 2011-2012 state budget. Included in the passage of
California
the budget were trailer bills AB1X 26 (the “Dissolution Bill”) and AB1X 27 (the “Continuation Bill”).
AB1X 26 prescribes strict limits on what redevelopment agencies may do between its effective date of June
29, 2011 and October 1, 2011, when all redevelopment agencies will be legally dissolved unless the
legislative body (city council or county board of supervisors) enacts an ordinance pursuant to AB1X 27
committing itself to make payments to school districts and special districts. Until enactment of that
ordinance, agencies are prohibited from entering into new agreements or indebtedness, except as necessary
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to carry out “enforceable obligations” entered into prior to June 29. “Enforceable obligations” are defined
as bonds, loans, payments to the federal government or imposed by state law, judgments or settlements and
contracts, including contracts necessary for the continued administration or operation of the agency.
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On July 19, the City Council adopted Urgency Ordinance No. 1404 and introduced Ordinance No. 1405, for
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first reading by title only. On August 2, the City Council adopted Ordinance No. 1405 after the second
reading. The adoption of Urgency Ordinance No. 1404 and Ordinance No. 1405 complied with AB1X 27’s
requirement for the City to enact an ordinance indicating our intention to comply with the provisions of Part
1.9 of the Redevelopment Law, including making community remittance payments called for in Section
34194 of the Redevelopment Law (the “Remittance Payments”).
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On July 27, the California Redevelopment Association (CRA) filed suit in the California Supreme Court
challenging the legality of the Dissolution and Continuation Bills. CRA sought an immediate stay of the
Dissolution and Continuation Bills in order to preserve the status quo pending a decision on the
constitutionality of these laws. Staff will continue to monitor and keep the Council informed.
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AB1X 26 and a portion of AB1X 27 were stayed by the California Supreme Court in August 2011. In light
of a portion of AB 1X 26 being stayed, legal advisors for the California Redevelopment Association and the
City Attorney’s Office recommend that the City and Tustin Community Redevelopment Agency adopt an
Enforceable Payment Obligations Schedule for the Agency by August 27, 2011 in order for the Agency to be
able to make payments necessary for continuing day to day operations. On August 25, 2011 the City
Council took action to do the following:
1. Adopt the Enforceable Payment Obligations Schedule (“EOPS”) for the Agency and authorize its
transmittal to the California Department of Finance (“DoF”), State Controller, and County Auditor.
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Tustin Community Redevelopment Agency
September 2011 Status Report
Economic Development/ and Other Miscellaneous Administration Topics
ACTIVITY STATUS
Legislation – State of 2. Authorize the City of Tustin’s Finance Department to file with the County the required Statement of
California (continued) Indebtedness by October 1, 2011.
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Although AB1X 26 and AB1X 27 have been passed, the Legislature is still considering bills to reform
Redevelopment for those Redevelopment Agencies choosing to continue to operate after enacting an
ordinance pursuant to AB1X 27. Staff will continue to monitor.
Tools for Business Success “Tools for Business Success” with an array of information and services for businesses and potential
entrepreneurs is now functional on the City website. Visitors to the site can learn about the forms needed to
comply with federal and state laws, loans and financing programs, how to market globally, disaster planning and
recovery, making sustainable business decisions, and much more.
Mayor’s Letter to New Mailed eighty-four (84) Mayor’s letters to new businesses in July and August. One new business, responding to
Businesses the Mayor’s letter, contacted Agency staff and was referred to the Parks and Recreation Department, resulting in
the business sponsoring a “Movies in the Park” night. During FY 2010-2011, 362 letters from the Mayor were
mailed to new businesses.
Design Reviews Staff reviewed Conditional Use Permits for 654 El Camino Real and 1211 Edinger Avenue and a Tentative
Parcel Map for 13362, 13372, 13422 Newport Ave. and 1101 Bryan Avenue.
Tustin Chamber of Commerce Continued to participate in the Chamber’s Business and Economic Development Council (BEDC). The
Chamber’s member representative for the Business Outreach visits has relocated and staff is working with the
Chair of the BEDC to resume scheduling Business Outreach visits.
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Tustin Community Redevelopment Agency
September 2011 Status Report
Economic Development/ and Other Miscellaneous Administration Topics
ACTIVITY STATUS
Wireless Master Plan Staff is currently working with the City’s consultant, ATS Communications, in securing additional carriers for
Implementation locations identified in the Wireless Master Plan as being deficient in terms of coverage. Staff is currently
reviewing proposed carrier proposals at Citrus Ranch Park, Heritage Park, and Cedar Grove Park.
The following actions have occurred on license agreements and entitlements related to wireless facilities:
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On February 1, 2001, the City Council approved a license agreement between the City and MetroPCS, at the
Tustin Sports Park. The light standard will be located adjacent to a walking trail.
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On February 15, 2011, the City Council approved a license agreement between the City and STC One
(Sprint), currently located at the Tustin Sports Park. The license agreement allows for the location of two
carriers, Sprint and Clearwire. Sprint is currently operating as carrier; Clearwire is the proposed carrier for
collocation at the same site and on the same light standards.
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On April 26, 2011, T-Mobile’s revised plans (DR 09-033) for location at Cedar Grove Park were approved
by the Planning Commission. The revised design locates the antennas in three flagpole structures near the
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parking lot. A public hearing was held on the revised plans for this facility at the July 19 City Council
meeting. The item was continued for 90 days in order for staff and T-Mobile to provide additional
information to the City Council.
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AT&T is proposing to expand its existing facilities at the Tustin Sports Park. The AT&T ground lease
expires in October 2015; the license will be proposed to replace the lease as part of the expansion.
Commercial Leasing The Commercial Property Search feature on the City’s website is now operational. Users can access the
Availability Commercial Property Search feature by clicking on three different areas on the left hand column of the website:
1) under “City Departments, Redevelopment Agency;” 2) a stand-alone button entitled “Commercial Property
Search;” and 3) under “For Businesses.” Users will be able to define search parameters to distinguish between
office, retail, and industrial properties and “For Sale” and “For Lease” properties.
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