HomeMy WebLinkAboutRDA COMPLIANCE AB 265 02-04-91DATE:
FEBRUARY 4, 1991
RDA N0. 4
2-4-91
Inter - Com
TO: WILLIAM A. HUSTON, EXECUTIVE DIRECTOR
FROM: COMMUNITY DEVELOPMENT DEPARTMENT
SUBJECT: COMPLIANCE WITH AB 265 CONCERNING "SET ASIDE11 FUNDS FOR
LOW AND MODERATE INCOME HOUSING
RECOMMENDATION
It is recommended that the Redevelopment Agency:
1. Adopt Resolution No. RDA 91-1, b titl on y.
2. Adopt Resolution No. RDA 91-21 y t' le ly.
BACKGROUND
Section 33334.6 of the California Health and Safety Code (Chapter
1135, Statutes of 1985) requires redevelopment projects including
those adopted prior to January 1, 1978 to set aside a minimum of
20% of tax increment into a low and moderate income housing fund.
Previously, this 20% set aside provision applied only to
redevelopment projects adopted after 1977. Since the Town Center
Redevelopment Project was adopted prior to 1977, it was not
previously subject to this 20% set aside requirement. Provisions
of Section 33334.6 require that all projects, regardless of their
adoption date, comply with the requirement.
State law recognizes that, in certain project areas, pre-existing
obligations and programs could render the 20% set aside infeasible.
Thus, the statute allows an agency to set aside less than the 20%
funds to carry out existing projects or programs. However, if an
agency wishes to set aside less than the 20%, it must take certain
action prior to January 1, 1986 and annually.
The legislation states that an agency may deposit less than the 20%
required set aside if, in any fiscal year prior to 1996, the agency
finds:
(a) that all or a portion of these funds are needed to meet
existing obligations, that is obligations incurred prior to January
11 1986; or
(b) that all or a portion of these funds are necessary to
provide for the orderly and timely completion of public and private
projects, programs and activities, on which there is evidence of an
Redevelopment Agency Report
AB 2 65
February 4, 1991
Page 2
intent to carry out the projects, programs or activities, prior to
January 1, 1986.
The Agency previously adopted a Statement of Existing Obligation
and Programs on August 18, 1986 by the adoption of Resolution Nos.
RDA 86-10 and RDA 86-11; on August 17, 1987 with adoption of
Resolution Nos. RDA 87-11 and RDA 87-12 and on September 19, 1988
by adoption of Resolutions 88-10 and 88-11 and on February 20, 1990
by adoption of Resolutions 90-4 and 90-5.
It is our reading of Section 33334.6 that a finding that the
housing set-aside may be reduced or eliminated should tax increment
revenues be necessary to make payments toward Existing Obligations,
must be made each fiscal year for this action to be warranted.
Appropriately, Resolution No. RDA 91-1 reaffirms the list of Town
Center existing obligations and programs. The second attached
Resolution No. RDA 91-2 makes a finding that no deposit of set-
aside funds will be necessary for fiscal year 1990-91.
As required by law, the State Department of Housing and community
Development were forwarded copies of draft Resolution No. RDA
91-1 and RDA 91-2.
Christine A. Shingleto
Director of Community evelopment
CAS:kbc/ab265.cas
Attachments: Resolution No. RDA 91-1
Resolution No. RDA 91-2
Community Development Department
9
V
3
4
5
G
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
RESOLUTION NO. RDA 91-1
A RESOLUTION OF THE COMMUNITY REDEVELOPMENT
AGENCY OF THE CITY OF TUSTIN REGARDING THE
READOPTION OF A STATEMENT OF EXISTING
OBLIGATIONS OR PROGRAMS OR BOTH IN CONNECTION
WITH THE IMPLEMENTATION OF THE TOWN CENTER
REDEVELOPMENT PROJECT
WHEREAS, the Redevelopment Plan ("Redevelopment
Plan") for the Tustin Town Center Redevelopment Project
Area ("Project") in the City of Tustin was approved by
the Redevelopment Agency and the City Council of the City
of Tustin on November 22, 1976 by Ordinance No. 701 and
amended by Ordinance 89-27, on March 20, 1989.
WHEREAS, Section 33334.5 (c) of the California
Community Redevelopment Law (Health and Safety Code,
Section 33000 et. seq.) provides that unless the
Redevelopment Agency by resolution makes one of the
findings described in paragraphs (1) to (3), inclusive,
of subdivision (a) of Section 33334.2, not less than 20
percent of the Project tax increment revenues allocated
to the Agency pursuant to Section 33670 for the 1985-86
fiscal year and each succeeding fiscal year shall be
deposited into a Low and Moderate Income Housing Fund for
the Project established pursuant to Section 33334.3 to be
used for the purposes set forth in Section 33334.2,
except that:
A) In any fiscal year, the Agency may deposit less
than 20 percent of such Project tax increment revenues
into the Project Low and Moderate Income Housing Fund if
the Agency finds that the difference between the amount
deposited, or to be deposited, and the amount required to
be deposited (20 percent of Project tax increment
revenues) is necessary to make payments of amounts due or
required to be committed, set aside, or reserved by the
Agency during the fiscal year under existing obligations
incurred by the Agency to finance or refinance, in whole
or in part, the Project ("Existing Obligations") which
Existing Obligations are contained in a statement of
Existing Obligations adopted by resolution of the Agency
prior to September 1, 1986; and
B) In each fiscal year prior to July 1, 1996, the
Agency may deposit less than the amount required to be
deposited (20 percent of Project tax increment revenues,
less payments of amounts due or required to be committed,
set aside, or reserved during the fiscal year under
Existing Obligations) into the Low and Moderate Income
Housing Fund if the Agency finds that the deposit of such
lesser amount is necessary in order to provide for the
orderly and timely completion of public and private
1
9
14
15
16
17
18
A
20
21
22
23
24
25
26
27
28
RDA Resolution No. 91-1
Page 2
projects, programs, or activities approved by the Agency
prior to January 1, 1986 and which are contained in a
Statement of Existing Programs adopted by resolution of
the Agency prior to September 1, 1986; and
WHEREAS, the Agency approved existing projects,
programs and activities by Resolution No. 85-18 of the
Agency adopted on December 16, 1985; and
WHEREAS, such existing projects, programs, and
activities were described in Exhibits A and B attached
and incorporated to Agency Resolution No. 85-18.
WHEREAS, the Agency readopted a Statement of
Existing Obligations and Programs by Resolution No. RDA
86-10 on August 18, 1986 and Resolution RDA 87-11 on
August 17, 1987; on August 17, 1987 with adoption of
Resolution No. 87-11 and 87-12; on September 19, 1988 by
adoption of Resolutions 88-10 and 88-11; and on February
20, 1990 by adoption of Resolution 90-4 and 90-5.
NOW, THEREFORE, THE COMMUNITY REDEVELOPMENT AGENCY
OF THE CITY OF TUSTIN does hereby resolve as follows:
Section 1. The Agency hereby readopts a
Statement of Existing Obligations for the Tustin
Redevelopment Project No. 1 attached hereto and marked
"Attachment 1" and Statement of Existing Programs for the
Tustin Town Center Redevelopment attached hereto and
marked "Attachment 2" as the statements required by
Section 3334.6(c) of the California Community
Redevelopment Law for those obligations incurred prior to
January 1, 1986.
. Section 2. The Agency Secretary is authorized
and directed to send a copy of this resolution to the
State Department of Housing and Community Development.
3
4
5
6
8
9
1 c�
11
12
13
14
15
16
17
18
i9
20
21
22
23
24
25
26
27
28
RDA Resolution No. 91-1
Page 3
PASSED AND ADOPTED at a regular meeting of the Community
Redevelopment Agency at Tustin, California, held on the
4th day of February, 1991.
RICHARD B. EDGAR
Chairman
MARY WYNN
City Clerk
CAS:kbc/91-1.cas
STATE OF CALIFORNIA )
COUNTY OF ORANGE )
CITY OF TUSTIN )
CERTIFICATION FOR RDA RESOLUTION NO. 91-1
MARY E. WYNN, City Clerk and ex -officio Clerk of the City
Council of the City of Tustin, California, does hereby
certify that the whole number of the members of the City
Council of the City of Tustin is five; that the above and
foregoing Resolution was duly and regularly passed and
adopted at a regular meeting of the City Council held on
the 4th day of February, 1991 by the following vote:
COUNCILPERSONS AYES:
COUNCILPERSONS NOES:
COUNCILPERSONS ABSTAINED:
COUNCILPERSONS ABSENT:
MARY E. WYNN
City Clerk
ATTACHMENT 1
TO RDA 91-1
STATEMENT OF EXISTING OBLIGATIONS
Town Center Redevelopment Project
1989-90
Description of Existing
obligations
Tustin Community Redevelopment
Agency Town Center Area
Redevelopment Project Tax
Allocation Bonds - Series 19821
Total Amounts
of Remainin
Obligations
Range of
Annual
Payments2
Date
obligations
Will Be
Discharged
$13,653,400 $801,020 1-1-06
Undetermined amount of funds required to implement projects approved prior to
January 1, 1986.
1 As refinanced on July 1, 1981 with bonds sold on August 5, 1987.
2 See attached debt service schedule.
..�..,,,� vLOI
I 0+111.111 vULL
00-' 93
Attachment I
111nter colu.as
U t
peck nual-e1
Page 2
of Aonths
in rel, 1154.
Miller Jsl
pavAent yr:
1900
1US1111 REPEYELOM.fi1 Ar.fllcy
80HOS DATED 711187
--� 30.060,000
1987 Dull C1.HICR
AN I'RnJCCT
80110S SOLD 815107
• SEMI-A1111UAL
PCII SCRVICI
SCHEDULE
t1SCAL YR
ItAY 1
IOfAt.
[IIU111C
11111 HI SI
1111[H(ST
PRINC1PAl
TOTAL
A1111UAL
J11i11• JO
WHIM
PA111E111
PA111CN1
PArnENt
PAYI1F.Hf '
1903
6453,875.00
6272,J25.0o
25,000
(2978325.00
5151,200:00
!9119
211,175.00
211,175.00
255,000
526,715.00
798,550.00
1990
265,910.00
265,910.00
210,000
535,910.00
8016020.00
1991
259.M.00
259,295.00
2051(+(10
544,295.00 :'
003,590.00
1992
251.0:15.00
251.005.00
300,1100
551,065.00.
00J,710.00
9?J747,
71+5.1111
243. )15.011
31 .5,000
5506 7115. UO
0026570.00
ly?4
2.340001..50
234 11101.50
335,000
5691001.50
804,615.00
1°Q•S
224,925.011
;124 6,125. 0U
35S1WIN
579,92.5.00
004,050.00
1996
213,920.00
213.920.011
315.000
500,920.00
802,840.00
1791
201.9211,110
201.920. 011
400, 000
6011 9211. UO
110, 040.00
1990
18.1.5?0.00
1^U.S70.UU
425,000
613,520.00
802,040.01)
I�'��
113.b45.U(1
173,645.t111
455,0110
42.01645.00
002,290.00
2000
157,4 2.50
15),492..50
4906000
641,492.50
0041945.00
2001
139,052.50
1�9,G5?,SU •
S?5,000
664,852.50
804,705.00
20112
12.004.90.00
129,690.00
500,000
6000690.00
801,3+)0.00
2110.1100,250.00
100.160.110
MAN
1056250.00
005,500.00
2004
17,865.00
11,do5.ua
415,000
122,065.011
` 300,130.00
2016
�
54,0011.00
54,voil.Oil
t►95,UIlU
)49,090,00
UO3,OUO.OU
- 2006
27,931.50
22 So
145,0110
712,')31.50
800,015.00 .
'
t1,6r;2,150
4:111,000
10,040,000
111,540,800 ---=15,203,150.
11,141,150.110
.
� M ,. � ����";Ob'�,'�lZi.�:t�i.1:.c�dXL�'�F�',Y�'3'tst�,��'alk,�r�et�+►�.xa�u,U,x..........,..._�.. .._ .. ... �........d
ATTACHMENT 2
TO RDA 91-1
STATEMENT OF EXISTING PROGRAMS
Town Center Redevelopment Project
1. Potential expansion and renovation of commercial centers to include:
expansion of existing lease space; construction of new, mixed use,
structures; construction of parking structure(s); and the possible
abandonment of public streets. Agency assistance may be required for
construction of necessary off-site improvements or other financing
assistance and restoration and expansion of an adjacent residential
apartment complex.
2. The five year capital improvement program budget adopted in fiscal year
1986-87 totalling $4,926,192.
3. Undetermined costs associated with street improvement plans recommended
by the Planning Commission in conjunction with the First Street Specific
Plan.
4. Negotiations underway for acquisition of real property within the
project area for the purposes of redevelopment of non -conforming
structures and sites. Such acquisition is consistent with the goals and
objectives of the adopted Redevelopment Plan.
5. "Policy of the Redevelopment Agency for the Allocation of Housing
Assistance Funds" as adopted on January 7, 1985.
6. Agency participation in the construction and operation of a Senior
Citizen Center.
7. The commitment of Agency funds to the expansion of civic center
facilities as recommended by space needs study commissioned by the
Agency.
8. Formulation and implementation of a multi -phase strategy plan for the
redevelopment of the downtown business district.
CAS:kf\resos\rda91-2.att
9
3
4
5
G
7
8
9
10
11
12
13
14
15
16
17
18
D
20
21
22
23
24
25
26
27
28
RESOLUTION NO. RDA 91-2
A RESOLUTION OF THE COMMUNITY REDEVELOPMENT
AGENCY OF THE CITY OF TUSTIN RELATING TO THE
TOWN CENTER PROJECT AREA LOW AND MODERATE
INCOME HOUSING FUND DEPOSITS PURSUANT TO
SECTION 33334.6 OF THE COMMUNITY REDEVELOPMENT
LAW
WHEREAS, the Redevelopment Plan ("Redevelopment
Plan") for the Tustin Town Center Redevelopment Project
Area ("Project") in the City of Tustin was approved by
the Redevelopment Agency and the City Council of the City
of Tustin on November 12, 1976 and amended on March 20,
1989; and
WHEREAS! Section 33334.6(c) of the California
Community Redevelopment Law (Health and Safety Code,
Section 33000 et. sem.) provides that unless the
Redevelopment Agency by resolution makes one of the
findings described in paragraphs (1) to (3), inclusive,
of subdivision (a) of Section 33334.2, not less than 20
percent of the Project tax increment revenues allocated
to the Agency pursuant to Section 33670 for the 1985-86
fiscal year and each succeeding fiscal year shall be
deposited into a Low and Moderate Income Housing Fund for
the Project established pursuant to Section 33334.3 to be
used for the purposes set forth in Section 33334.2,
except that:
A) In any fiscal year, the Agency may deposit less
than 20 percent of such Project tax increment revenues
into the Project Low and Moderate Income Housing Fund if
the Agency finds that the difference between the amount
deposited, or to be deposited, and the amount required to
be deposited (20 percent of Project tax increment
revenues) is necessary to make payments of amounts due or
required to be committed, set aside, or reserved by the
Agency to finance or refinance, in whole or in part, the
Project ("Existing Obligations") which Existing
Obligations are contained in a statement of Existing
Obligations adopted by resolution of the Agency prior to
September 1, 1986; and
B) In each fiscal year prior to July 1, 1996, the
Agency may deposit less than the amount required to be
deposited (20 percent of Project tax increment revenues,
less payments of amounts due or required to be committed,
set aside, or reserved during the fiscal year under
Existing Obligations) into the Low and Moderate Income
Housing Fund if the Agency finds that the deposit of such
lesser amount is necessary in order to provide for the
orderly and timely completion of public and private
projects, and which are contained in a Statement of
1
3
4
5
G
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
RDA Resolution No. 91-2
Page 2
Existing Programs adopted by resolution of t:,e Agency
prior to September 1, 1986; and
WHEREAS, the Agency adopted Resolution No. 87-11 on
August 17, 1987 reaffirming a Statement of Existing
Obligations or Programs or Both of the Tustin. Town Center
Redevelopment Projects and listing obligations incurred
and programs approved prior to January 1, 1986; and
WHEREAS, the payments required for the obligations
adopted in the Statement of Existing Obligations or
Programs or Both in Resolution No. 90-6 are in excess of
2.2 million dollars during the fiscal year 1989-90; and
WHEREAS, 1989-90 revenues allocated or to be
allocated to the Town Center Project pursuant to Section
33670 of the Health and Safety Code are estimated to be
$2,216,474; and
WHEREAS, of the taxes allocated for the Project
pursuant to Section 33670 of the CRL for tie 1989-90
fiscal year an estimated minimum of $502,934 is to be
deposited into the Low and Moderate Income Housing Fund
pursuant to Section 33334.6(c) of the Community
Redevelopment Law except as otherwise permitted by
subdivisions (d) and (e) of said Section.
NOW, THEREFORE, THE REDEVELOPMENT AGENCY OF THE CITY
OF TUSTIN does hereby resolve as follows:
Section 1. The Agency hereby finds that the
difference between the amount deposited, or to be
deposited into the Low and Moderate Income Housing Fund
of the Tustin Town Center Project Area for the 1989-90
fiscal year and the amount required to be deposited
pursuant to Section 33334.6(e) of the Community
Redevelopment Law is approximately $502,934 and further
finds that such amount is necessary to make payments of
amounts due or required to be committed, set aside, or
reserved by the Agency during the 1989-90 fiscal year
under existing obligations incurred and adopted by the
Agency to finance or refinance, in whole or in part, the
Project and to provide for the orderly and timely
completion of the prograr.s which existing obligations and
programs are contained in the "Statement of Existing
Obligations or programs or Both" adopted by Resolution of
the Agency on February 4, 1991.
1
4
5
G
7
8
0
10
11
12
13
14
15
16
17
18
D
20
21
22
23
24
25
26
27
28
RDA Resolution No. 91-2
Page 3
Section 2. The Agency directs that pursuant to the
above finding no deposits are to be made to the Low and
Moderate Income Housing Fund for the Tustin Town Center
Redevelopment Project Area for the 1990-91 fiscal year.
Section 3. The Agency Secretary is authorized and
directed to send a copy of this resolution to the State
Department of Housing and Community Development
Department.
PASSED AND ADOPTED at a regular meeting of the Community
Redevelopment Agency at Tustin, California, held on the
4th day of February, 1991.
RICHARD B. EDGAR
Chairman
MARY WYNN
City Clerk
STATE OF CALIFORNIA )
COUNTY OF ORANGE )
CITY OF TUSTIN )
CERTIFICATION FOR RDA RESOLUTION NO. 91-2
MARY E. WYNN, City Clerk and ex -officio Clerk of the City
Council of the City of Tustin, California, does hereby
certify that the whole number of the members of the City
Council of the City of Tustin is five; that -the above and
foregoing Resolution was duly and regularly passed and
adopted at a regular meeting of the City Council held on
the 4th day of February, 1991 by the following vote:
COUNCILPERSONS AYES:
COUNCILPERSONS NOES:
COUNCILPERSONS ABSTAINED:
COUNCILPERSONS ABSENT:
MARY E. WYNN
City Clerk