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HomeMy WebLinkAboutRDA SO CENTRAL RDA 07-01-85 REDEVELOPMENT AGENCY 7-1-85 Inter- Com DATE: JLILY 1, 1985 TO: FROM: SUBJECT: HONORABLE CHAIRNAN AND W_NBERS OF REDEVELOPMENT R. KENNETH FLEAGLE, CONSULTANT SOUTH/CENTRAL REDEVELOPMENT PROJECT PLAN ANENi)NENT AND REPORT BACKGROUND: Sections 33351 and 33352 of the Health and Safety Code require the Redevelopment Agency to approve a redevelopment plan and to submit it to the City Council, accompanied by a report. The content of the report is specifically delineated to provide information for the City Council to make a determination on the feasibility of the Redevelopment Plan. The plan amendment and report have been prepared in compliance with the law. Upon receipt of the plan and report, the City Council schedules a joint public hearing before the council and Redevelopment Agency. A public hearing must be advertised for four successive weeks prior to the hearing date. The hearing date for the Enviornmental Impact Report and South/Central Redevelopment Project Amendment has been advertised for July 15, 1985. RECO~qENDED ACTION: Approve the South/Central Redevelopment Project Plan Amendment and Report and transmit it to the City Council by adoption of RDA Resolution No. 85-8. R. KENNETH FLEAGLE~/ Community Development Consultant RKF:ts 1 t 5 6 7 8 9 10 11 13 1i 17 18 20 ~.7 RDA RESOLUTION NO. 85-8 A RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF TUSTIN ADOPTING A REPORT AND TRANSMITTING REPORT, PROPOSED AMENDMENT, AND EIR 85-1 FOR THE SOUTH/CENTRAL REDEVELOPMENT PROJECT AMENDMENT. The Redevelopment Agency of the City of Tustin hereby resolves as follows: The Redevelopment Agency hereby finds and determines the following: Ae Pursuant to Section 33352 of the Health and Safety Code, a report has been prepared for evaluation of the proposed SouthTCentral Redevelopment.Project Plan Amendment. The Planning Commission conducted a public hearing on the Draft EtR 85-1 for the proposed amendment and by Resolution No. 2241, recommends certification of the EIR and approval of the proposed South/Central Redevelopment Project Plan Amendment. Ce A public hearing on Draft EIR 85-1 and the proposed plan amendment for the South/Central Redevelopment Project has been duly advertised in the Tustin News and by certified mail to all property owners within the amended area boundaries, for said hearing to be conducted on July 15, 1985. II. The Redevelopment Agency hereby: A. Adopts and transmits its Report and Environmental Impact Report 85-1 to the City Council. B. Approves the proposed Redevelopment Plan Amendment and submits it to the City Council for hearing and adoption. Requests a joint public hearing on the Redevelopment Plan Amendment and EIR to be scheduled for July 15, 1985 at 7:00 p.m. in the City Council Chambers. PASSED AND ADOPTED at a regular meeting of the Tustin Redevelopment Agency held on the day of , 1985. FRANK H. GREINKE Chairman MARY WYNN Secretary RE PO RT SOUTH/CENTRAL REDEVELOPMENT PROJECT' AMENDMENT C~Y OF TUSTIN REDEVELOPMENT AGENCY I JULY 1985 REPORT TO THE CITY COUNCIL AND REDEVELOPMENT AGENCY Amendment No. I To The South/Central Redevelopment Project Area July 1985 TABLE OF CONTENTS I. INTRODUCTION II. REASONS FOR SELECTION OF PROPOSED PROJECT AREA III. PROPOSED PROJECTS AND BENEFITS. A. Transportation Improvements B. Storm Drain Improvements C. Resulting Benefits IV. DESCRIPTION OF PHYSICAL, SOCIAL AND ECONOMIC CONDITIONS A. Existing Physical Conditions B. Existing Social Conditions C. Existing Economic Conditions V. PROPOSED METHOD OF FINANCING REDEVELOPMENT OF PROJECT AREA A. General Financing Methods Available to the Agency B. Estimated Project Costs C. Proposed Financing Methods D. Tax Increment Limitations and Requirements VI. PLAN AND METHOD OF RELOCATION VII. ANALYSIS OF PRELIMINARY PLAN VIII. REPORT AND RECOMMENDATIONS OF THE PLANNING COMMISSION IX. PROJECT AREA COMMITTEE RECORD X. PROJECT AREA ENVIRONMENTALIMPACT REPORT XI. REPORT OF COUNTY FISCAL OFFICER XII. ANALYSIS OF COUNTY FISCAL OFFICER'S REPORT XIII. CONSULTATIONS WITH COUNTY AND AFFECTED TAXING AGENCIES APPENDIXES A. FINANCIAL REPORT, STANLEY HOFFMAN ASSOCIATES B. DRAFT EIR 85-1 AND RESPONSES C. SOUTH/CENTRAL REDEVELOPMENT PLAN AND AMENDMENT NO. I EXHIBITS A. MAP AND LEGAL DESCRIPTION B. PHOTOGRAPHS OF THE SUBJECT AREA C. TRAFFIC VOLUMES D. PLANNING COMMISSION REPORT E. ADVISORY COMMITTEE REPORT AND MINUTES F. REPORT OF COUNTY FISCAL OFFICER G. NOTICE AND INVITATION FOR CONSULTATION REPORT SOUTH/CENTRAL REDEVELOPMENT PROJECT AMENDMENT REDEVELOPMENT AGENCY TUSTIN, CALIFORNIA JULY 1, 1985 I. INTRODUCTION Section 33352 of the Health and Safety Code (Community Redevlopment Law) requires the Redevelopment Agency to submit a report, to accompany the proposed redevelopment plan, to the City Council prior to the joint hearing for adoption of the plan. This report satisfies the requirement of law and is in justification of the proposed project amendment. II. REASONS FOR SELECTION OF PROPOSED PROJECT AREA The area proposed for the South/Central Project area amendment is contiguous to the existing South/Central project area. Proposed public improvements for the South/Central area (Newport overpass) extend into the amendment area. Land and improvements must be acquired within the amendment area to implement public improvements related to the South/Central project. Blight exists within the amendment area caused by mixed land uses, lack of adequate development standards, inadequacy of public improvements, deficient circulation system, transition of the character of land uses, and irregular shaped lots. Public improvements required to enable the area to develop or redevelop are so extensive and costly that it is not reasonably expected that the disuse and abandonment of sites could be reversed or alleviated nor could new development take place by private enterprise acting alone. The project area was thus selected for the purpose of eliminating and preventing blight, the extension of public improvements, and the logical extension of the South/Central project area to contiguous properties. III. PROPOSED PROJECTS AND BENEFITS A. Transportation Improvements The arterial highway system serving the South/Central Rdevelopment Project area is inadequate to serve existing local and regional traffic demands. Projections to the year 2,000 show that the average daily traffic volumes within the area will increase by 564 percent. Even with improvements to Red Hill and Edinger to six travel lanes, the projected traffic demands will exceed their capacity. In the interest of finding a feasible solution to the existing and projected traffic problems, Austin-Foust Associates, Inc. were commissioned to design feasible strategies to accomodate the demands. The proposed circulation plan is shown by Fig. 1. ,,mr--. AUSTIN-POUST ASSOCIATES, lNG, Figure -1 PROPOSED CIRCLU.~TION PLAN Report Page Two The transportation improvements included in this section of the preliminary report are feasible alternatives extracted from the draft report of Austin-Foust Associates, and will be further refined upon adoption of the Project Amendment and the submission of plans and specifications for approval of the City Council, Redevelopment Agency, and responsible transportation agencies. Newport Avenue Southerly Extension Newport Avenue is proposed for southerly extension by grade separation over the Santa Aha (F-10) Flood Control Channel, ATSF Railroad mainline, and Edinger Street to interconnect with Valencia. 2. Relocation of Costa Mesa Freeway (SR-55) Ramps The Northbound off-ramp to Edinger Avenue would be deleted and replaced by a northbound on and off ramp at Valencia. 3. Internal Circulation Improvements Circulation improvements southerly of £dtnger will vary depending upon the alternative design that is selected. All alternatives will require a connection to the Valencia freeway ramp. Amoung the alternatives are a new roadway parallel to Del Amo and the realignment of a section of Edinger Street. Edinger Street Improvement Edinger will be widened to full six-lane arterial from Red Hill to SR-55 with public improvements consisting of street lights, fire hydrants, sidewalks, median and parkway landscaping. 5. Red Hill Avenue Improvement Red Hill Avenue will be widened to full six-lane arterial within the project limits. 6. Traffic Signals Traffic signals will be replaced at Red Hill intersection with Edinger and Valencia and a new signal will be required at Red Hill and Industrial Drive. B. Storm Drain Improvements Storm drains will be constructed to carry flood waters from the interior of the project area to the Redhill storm drain (FO 9 P15) to the Barranca Channel (F 09). Report page three C. Resulting Benefits The following benefits will accrue to the city of Tustin, its residents, and the region as a result of the proposed amendment to the South/Central Redevelopment Project: Abandoned industrial sites will be redeveloped and placed back into productive use, thereby creating employment opportunities and increased values. Land areas that cannot be developed due to the inadequacy of public improvements related to traffic circulation and storm drainage can be developed as a result of governmental assistance by the redevelopment agency. Funds can be acquired for housing assistance to low income families. Regional benefits will accrue by providing increased traffic capacity for Redhill Avenue and Edinger Street and by providing an alternative north/south arterial. The extension of Newport Avenue will relieve congestion at freeway interchanges and reduce the traffic demand on Redhill Avenue. Emergency services can be more readily provided to the project area by the construction of a grade separation for Newport Avenue and the ATSF Railroad. The elimination of blight, due to the disuse of the land within the project amendment area caused by inadequate public improvements, and the construction of major traffic circulation improvements that could not be reasonably expected to be made by private enterprise acting alone. IV. DESCRIPTION OF PHYSICAL, SOCIAL AND ECONOMIC CONDITIONS A. EXISTING PHYSICAL CONDITIONS Project Location. The area under consideration is depicted by the map shown as Exhibit A. It is bounded on three sides by major traffic arterials - Redhill Avenue, Edinger Street and the Costa Mesa {Route 55) freeway, as further defined by the attached legal description. Land Uses and Acreage. The total acreage of the area is + 137.746 acres of which + 110 acres are in private ownership with the~emaining acreage in pubic right-of-way. The area is urbanized with 63 acres developed or previously occupied for urban uses in accordance with the zoning ordinance. AM~NDM~N'I' 6t7¥ ~F' 'ru~TiH LEGAL DESCRIPTION FOR 7~ME~'~MENT TO THE SOUT[4/CEN?PAL AEDEVELOPM_ENT PROJECT AREA iN T?iE CITY OF TUSTIN That portion of Lots 65, 66, 67, 78, 79, 80, 81, 82 and 83 in B..ocR 10 of the Irvine~,~u~d~ision,~ _ as shown, on a map recorded Book 1, Page 88, of Miscellaneous Maps, records of Orange County, and that portion of Section 16, Township 5 South, Range 9 k'est, San ~ernardino ~eridian, all being in the City of Tustin, County of Orange, State of California, described as follows: B.~GINNING at the Southerly corner of the existing boundary of the South-Central Redevelopment Project Area adopted by the City of Tustin per Resolution No. 81-13 on December 7, 1981, said Southerly corner being the intersection of the Southwesterly prolongation of the Southeasterly line of.Red Hill Avenue (60 foot half-street) and the Southeasterly prolongation of the Southwesterly line of Edinger Avenue (formerly Moulton Parkway, ~0 foot half-street); Thence leaving said ex,sting South-Central Redevelopment /ro~ect Area boundary along said Southeasterl~ line of Red Hill Avenue ~nd its Southwesterly prolongation, South 39o53, 23" West 890.57 feet to an angle point in said Southeasterly line; Thence continuin~ alon~ said Southeasterly line of ~ed Hill Avenue North 50006' 07 West to an angle point on said South- easterly line of ~ed Hill Avenue. (50 foot half-street); Thence contiDuing along said Southeasterly. line of Red Hill Avenue an'd its Southwesterly prolongation South 39053'23'' ~est 1360~95 feet to a point on the Southeasterly prolongation of the Southwesterly line of Valencia'Avenue (40 foot half-street); _ T~e~ce along said Southwesterly line and said Southeasterly prolongation of Valencia Avenue North 5~ 05' 12" %'est 2660.97 feet to a point on the existing City of Tustin '~oundary 'created by the Warner-Sycamore Annexation adopted eS Ordinance No. .245, d~ted Pecember 2, 1963 and the Irvine-Myford Annexation ~o. 81 adopted as 0rdin%nce No. 716, dated April 4, 1977, said City of Tustin 3oundary also being the Southeasterly line of 01d Newport Avenue (30 foot half-street); Thence along said existing City o~ T~stin ~oun~ary through the following courses and distances: ~orth 39053'38'' East 22~0.81 feet, more or !~ss, North 50006'22" '/est 60.00 feet, ~orth 39053'38,' East 20.00 feet to a point on said existing boundary of,. the South-Central Redevelopment Project Area, also being on the Northwesterly prolongation of the previo~s!y said Southwesterly line of. Edinger Street (40 foot half-street); Thence along said existing boundary of the South-Central Redevelopment Project Area South 50006'07" East 2730.77 feet to the POINT OF BEGINNinG The above described ].and contains 137.746 acres, more or ]ess. Report page four Structures and Conditions. The subject parcels were previously reserved for rail uses by the Santa Fe Railroad and were developed by industries requiring large amounts of outside storage area and small capital investments in improvements. Typical of the users which have abandoned the sites are Boise-Cascade prefabrication facilities and other lumber and building products industries. Upon expiration of leases, a demand no longer existed for the typical uses within the area. Neither does a market demand exist for the vacant parcels reserved for rail users. As a consequence, former building sites are abandoned and serve as trash deposits. Existing development consists of a variety of industrial type users, with some limited commercial orientation, outdoor storage areas, and vacant land. The predominant commercial activities are a building products store and a retail landscape nursery. A beer distributor is the primary warehouse facility. Primary industrial tenants are manufacturers of plastic products and a small chemical distribution facility. The inclusionary character of the industrial zone has authorized a mixture of commercial and industrial land uses characterized by minimum site improvements. There is no continuity nor theme within the area and a blighting condition results from the abandonment of outdoor storage sites. The character of the area is depicted by Exhibit B. The vacant parcels that have not been previously developed are leased for truck farming, which mitigates against the appearance of blight for undeveloped areas. 4. Properties (A) Inadequacies of Public Improvements and Facilities (1) Traffic Circulation Deficiencies Edinger Street is the major east-west arterial extending through the northern part of the site and connecting with the Costa Mesa {Route 55) freeway on the west and extending to Moulton Parkway in an easterly direction to the city of Irvine. Redhill Avenue provides access along the easterly project boundary. This is a major arterial highway with the limited capacity of a four-lane arterial. Valencia Avenue forms the southerly boundary of the site. Del Amo bisects the site between Valencia and Edinger. Existing average daily traffic volumes for the area are shown by Exhibit C. The transportation system comprises a major constraint upon the development of the property. Report page five North-south traffic congestion is the prime factor of concern for city residents. Related to the project area are the improvement of Redhill Avenue and the extension of Newport Avenue southerly to interconnect with the Costa Mesa Freeway southerly of Edinger Street. Preliminary findings indicate that the extension of Newport Avenue from its southerly terminus will require a grade separation and elevated roadway crossing the ATSF RR mainline and the F-lO Flood Control Channel and extending into the amended project area. At the present, Newport Avenue terminates at the F-lO channel. The inadequacy of the circulation system to accommodate existing traffic demands and the inordinate expense to accommodate existing and future demands resulting from new developments is a major justification for inclusion of the area in a redevelopment project. (2) Drainage Deficiencies The terrain is level with no major grading required for development. With truck farming and cultivation of large areas of vacant land, sheet flood occurs without damage to existing structures within the area. Drainage flows in a southerly direction to the F 09 (Barranca) channel. The F 09 P 15 storm drain extends to the F 09 channel along Redhill Avenue from a point 350 feet southerly of Edinger. With the exception of 600 feet of storm drain on the easterly terminus of Valencia Avenue, there are no storm drain facilities serving the interior 100 acres. To enable development and redevelopment of the vacant land areas, a storm drain system will be required to transmit storm waters to the F 09 channel. (B) Configuration of Lots Lots and parcels within the subject area were designed to accommodate rail spurs. The development of the area by non rail users will eliminate the necessity for irregular shaped lots and will permit the realignment of lot lines. B. Existin~ Social Conditions There are no residential properties within the area proposed for amendment to the South/Central Project Area. Report page si x Development and redevelopment of the amended area will create employment opportunities and demand for housing accommodations. The adjoining South project area contains 2,279 dwelling units in 557 structures. There are 116 condominium units, 88 mobile homes, 1956 apartment units, and 118 single family residences. The Regional Housing Authority Model prepared by the Southern California Association of Governments shows a current need of 2,456 low and very low income households in need of housing assistance. The South/Central Project represents the highest density, lowest income, and greatest need within the city's jurisdiction for housing assistance. (See City of Tustin Housing Element) The Housing Element of the City of Tustin proposed the allocation of tax increment funds (20%) for housing assistance to low income households. With the diminishing of federal and state funds for housing assistance, the housing set-aside of tax increment revenues appears as the only viable alternative to provide housing accommodations for low income families. C. Existing Economic Conditions 1. The following industries and commercial establishments are located within the area: ASSESSORS PARCEL 430-253-03 430-251-04 430-251-03 430-251-09,10 430-251-07,08 430-253-05 430-261-02 430-261-03,05,06 430-261-09 430-262-03 OW#ERSHIP USE Amplyco Properties Champion Plywood Products Harry J. O'Donnell Wickes Building Materials Harry J. O'Donnell Nurseryland Garden Center Martin Enterprises Kerr Glass Warehouse Coors Distributing Coors Beer Distributing Santa Fe Land Vacant R&D Building Kol 1 Co. Business Center Mixed (Industrial,retail+service) E1 Paso Polyfins Co. Plastic Products Manuf. John Underwood Food Products Warehouse Foremost-McKesson Chemical Warehouse and Distribution 430-262-05 Enterprise 7 Protection Management Volunteer Health Care 430-212-06 Reed LeVecke Liquor Distribution Report page seven A portion of the area at Red Hill and Edinger has been approved as the site of a development by Pacific Bell, a public utility. The proposed 453,000 sq. ft. structure will use-up all of the capacity of the road system to accommodate the workers and will require staggered employee work hours as an interim mitigating measure. V. PROPOSED METHOD OF FINANCING REDEVELOPMENT OF PROJECT AREA General Financing Methods Available to the Agency. i. Tax Increment Revenues. The primary source of funding for Redevelopment project area is tax increment revenues pursuant Section 33670 et. seq. of the California Health and Safety Code. the to Assessment District. The high cost of public improvements will probably require the creation of an assessment district for a proportion of the costs of public improvements directly related to the properties within the project area. o Development Fees. The City Council by Ordinance No. 930 adopted on May 20, 1985, imposed a development fee upon new and redevelopment projects within the area to recoup partial costs of improvement to the circulation system. The rate imposed by type of use is as follows: Commercial/Offt ce R&D Industrial $2.60 per sq. ft. of building area $1.80 per sq. ft. of building area $1.00 per sq. ft. of building area B. Estimated Project Costs Transportation improvements alone will require as expenditure between $10.6 million and $13.2 million, depending upon the alternative design selected for the extension of Newport Avenue. (Source: Table IV-2, South Newport-Edinger Circulation Study, Austin-Foust Associates.) Flood control facilities and public improvements for existing properties are estimated at an additional $1.4 million, for a total project cost ranging from $11 to $14.6 million. C. Proposed Financing Methods The 1984-85 Value of property within the project area as assessed by the Orange County Tax Assessor is $32,373,868 and $11,714,840 as assessed by the State Board of Equalization for a total assessed value of $44,088,703 for the base year. Tax increment, less the 20% housing set-aside, will range from $631,000 to $1,262,000 over a ten year period commencing in 1986-87. Report page eight A projection of revenues to the Redevelopment Agency and city General Fund is shown by the report of Stanley R. Hoffman Associates, Appendix A. Battle-Wells Associates have been commissioned to determine the bonding capabilities of the Redevelopment Agency from the tax incremental revenue of the project area. Circulation improvement fees are projected to generate $$ million over the life of the project with the balance of improvement costs to be financed by the Redevelopment Agency. Pending further analysis, it is assumed that the net proceeds of tax increments will be required to finance public improvements. Deducted from the gross tax increment from the project area are: 1. 20~ of revenues for housing assistance 2. $2,000 per year after 1990 payable to the O.C. Water District. 3. Entitlement of increases in the assessed value of taxable property in the project area (2~) as of the base year, pursuant to Section 33676 of the Community Redevelopment Law. D. Tax Increment Limitations and Requirements Due to the potential time lag between the construction and financing of public improvements and the development and redevelopment of private properties, tax increment revenues will not accrue to the Agency at an equal or constant rate. Only upon ultimate development will tax revenues be adequate to finance public improvements. For the above stated reason, the maximum tax increment that could be realized from the project upon ultimate potential development is established as the tax increment limitation of $2.5 million per year. It is also noted that the tax increment is reduced by the obligations listed in Section C, above, and by an understanding between the Executive Director of the Redevelopment Agency and the County Administrative Office whereby funds in excess of those required for debt service and housing set-aside would revert to the County of Orange for allocation to County governed taxing districts and agencies. The South/Central Redevelopment Project was adopted on August 1, 1983 with a thirty year life. this limitation upon bonded indebtedness is determined to be adequate for the amended project area. VI. PLAN AND METHOD OF RELOCATION Minimal displacement is anticipated within the project amendment area due to the transitional nature of businesses and the availability of vacant land. There are no residential dwelling units within the area and no relocation or housing requirements for displaced families. In the event that implementation of the project requires relocation of businesses or industries, relocation assistance will be provided pursuant to existing law and Section IV of the Redevelopment Plan of the South/Central Project. Report page nine VII ANALYSIS OF PRELIMINARY PLAN There are no significant differences between the preliminary plan and the proposed redevelopment plan amendment. Further analysis of tax revenues confirm initial estimates. Area boundaries remain as initially proposed. The only significant change is the commencement of construction of an office and communications center by Pacific Bell on the northeasterly boundaries of the project area at Red Hill and Edinger. VIII REPORT AND RECOMMENDATIONS OF THE PLANNING COMMISSION The Planning Commission conducted an advertised public hearing on June 10, 1985 to consider Draft Environmental Impact Report (DEIR 85-1) for the South/Central Redevelopment Project Amendment. Communications were received from the Public Utilities Commission and the city of Santa Aha. The letters were acknowledged and staff was directed to respond to the concerns of the city of Santa Ana. The Commission's findings No. 2241 and the minutes incorporated herein. are incorporated in Planning Commission Resolution of the meeting of June 10, 1985 as extracted and The findings and recommendations are as follows: Draft EIR 85-1 adequately address the environmental impact of the proposed project; provides mitigating measures; and should be certified by the City Council. 2. The South/Central Redevelopment Project Amendment is in conformance with the applicable elements of the Tustin General Plan. 3. The Commission recommends that Section 600. Limitations on Finances, be amended to read: "The average yearly tax increment which may be collected shall not exceed 2.5 million dollars." and Section 700. Limitation on Bonded Indebtedness, be amended to read: "The South/Central Redevelopment Area may not exceed fifteen million of outstanding bonded indebtedness to be paid for through tax increment funds." 4. The Commission recommends to the Redevelopment Agency and City Council that the South/Central Redevelopment Project Plan Amendment be approved and adopted. IX PROJECT AREA COMMITTEE RECORD The Project Area Committee reviewed the Project Amendment Plan during its preparation and Draft Environmental Impact Report 85.1 Planning Commission Minutes June 10, 1985 page nine 10. VARIANCE 85-3 Applicant: Location: Request: James Needham on behalf of Basic Shelter, Inc. 510 S. "C" Street ~ Authorization to vary from the requirements for the width of the lot and the size of garages in the multi-family residential (R-3) zone Presentation: Mary Ann Chamberlain, Associate Planner Chairman White opened the public hearing at 10:35 p.m. James Needham, applicant, made himself available for questions. White closed the hearing at 10:38 p.m. Puckett moved, McCarthy second to approve Variance 85-3 by approving Resolution 22¢2. Motion carried 4-0. 11. YORBA STREET STUDY GENERAL PLAN AMENDMENT NO. 85-1 ZONE CHANGE 85-5 SPECIFIC PLAN NO. 9 Applicant: Location: Request: City of Tustin Certain properties located on Yorba Street between First Street and Irvine Boulevard. To amend the General Plan designations, zoning designations and to create a specific plan establishing development guidelines Presentati on: Jeff Davis, Associate Planner Chairman White opened the public hearing at 10:46 p.m. Seeing no one wishing to speak he closed the hearing at 10:46 p.m. Wetl moved, Puckett second to approve General Plan Amendment No. 85-1. Motion carried 4-0. Puckett moved, Well second to approve Zone Change 85-5. Motion carried 4-0. Puckett moved, Well second to approve Specific Plan No. 9. Motion carried 4-0. 12. SOUTH/CENTRAL COMMUNITY REDEVELOPMENT DEIR AND PROJECT PLAN Review and consideration of a Draft Environmental Impact Report (EIR 85-1) for the proposed amendment to the South/Central Redevelopment Project. The subject properties are located in the territory bounded by Edinger, Redhill Avenue, Valencia, and the Costa Mesa {SR-55) Freeway. Copies of the Draft EIR are available for inspection at the Community Development Department in Tustin City Hall and the Tustin Branch of the Orange County Library. Presentation: Dr. R. Kenneth Fleagle, Consultant Chairman White opened the public hearing at ll:O0 p.m. Seeing no one wishing to speak he closed the hearing at 11:00 p.m. Well moved, McCarthy second to approve by adopting Resolution 2241. Motion carried 4-0. Puckett moved, Well second to authorize by Minute Order a response to the City of Santa Aha. EXHIBIT "D" 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 23 24 26 27 28 RESOLUTION NO. 2241 II. A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF TUSTIN RECOMMENDING APROVAL OF THE SOUTH/CENTRAL REDEVELOPMENT PROJECT AMENDMENT AND CERTIFICATION OF EIR 85-1 The Planning Commission finds and determines as follows: A Draft Environmental Impact Report (DEIR 85-1) has been prepared, circulated, and noticed for public hearing on June 10, 1985 for the purpose of evaluating the environmental impact of the proposed amendment to the South/Central Redevelopment Project Area. Oral and written comments have been received pertaining to DEIR 85-1 and have been incorporated, with responses, in the minutes of the Commission meeting and the Draft EIR. The proposed South/Central Redevelopment Project Amendment is in conformance with the Preliminary Plan as recommended for approval by the Planning Commission Resolution No. 2197. The proposed South/Central Redevelopment Project Amendment is in conformance with the General Plan of the city of Tustin. The Planning Commission hereby recommends to the City Council and Redevelopment Agency of the city of Tustin as follows: · A. That Draft EIR 85-1 be certified as having adequately addressed the environmental impacts of the proposed amendments and that mitigating measures have been proposed. B. That the proposed amendment to the South/Central Redevelopment Project Area is in conformance with the Tustin General Plan and should be adopted by the Redevelopment Agency and City Council. C. That Sections (600) Limitations on Finances and (700) Limitation on Bonded Indebtedness of the South Central Project Plan should be amended to authorize 2.5 million dollars annual increment and 15 million of outstanding bonded indebtedness to be paid for through tax increment funds. PASSED AND ADOPTED a~ a regular meA~ting of the Tustin Planning Commission held on the ,/~] day of ~/~/~,~_~--~' , 1985. D~~N~O~R~,~rn~g~Se~cretary RONALD H. WHITE, Chairman EXHIBIT "D" S'FAT~ OF CALIFORNIA) COUNTY OF ORANGE ) CITY OF TUSTIN ) DONNA ORR, :he undersigned, hereby ~ecretary of the Planning Commission ~er%ify tha: I am :he Recording ' :he City of Tusi:in, California; thai: Resolui:ion No. ~.~ was duly passed and adopi:ed~a~t a regular ~)eeting of the Tus~n_?la~nlng Commission, held on the //~] day o , 19 ~ 'DON)IA ORR Recording Secretary May 28, 1985 Honorable Chairman Frank Greinke and Members Tustin Redevelopment Agency 300 Centennial Way Tustin, CA 92680 Honorable Chairman and Members: The Advisory Committee of the South/Central Redevelopment Project has reviewed the Environmental Impact Report and the proposed amendment to the South/Central Redevelopment Project. The Committee finds that the Environmental Impact Report addresses their concerns, and by unanimous action of the Committee on May 15, 1985 endorses and recommends approval of the South/Central Redevelopment Project Amendment. Sincerely, South/Central Advisory Committee LS:RKF:do EXHIBIT "E" MINUTES OF THE MEETING OF THE ADVISORY COMMITTEE FOR THE SOUTH/CENTRAL REDEVELOPMENT PROJECT May 15, 1985 I. CALL TO ORDER The meeting was called to order by Chairman Sutherland at 7:30 p.m. in the conference room at City Hall, 300 Centennial Way. II. ROLL CALL Committee members present: Lawrence E. Sutherland, Chairman Elmo Anderson Jeffrey K. Gwin Mary Lilly Committee members absent: Jon Harrison Jeff McElderry III. APPROVAL OF MINUTES By unanimous consent, the minutes of the meeting of April 10, 1985 were approved as drafted. IV. PRESENTATION AND DISCUSSION The Draft Environmental Impact Report was reviewed and findings discussed. Questions were related to assumptions in the appendix, responses to other agencies, new employees in the area, and rate of development. V. ACTIONS The Committee determined that the Environmental Impact Report, upon initial review, addressed the concerns of the Committee. Members of the Committee were to direct individual comments to the secretary, who would share the comments with other members, and the chair would call a meeting if deemed desirable. Advisory Committee Minutes May 15, 1985 page two It was moved by Gwin, seconded by Anderson to recommend to the Redevelopment Agency and City Council approval and endorsement of the Redevelopment Plan for the South/Central Project Amendment. Ayes: Anderson Gwin Lilly Sutherland Noes: None Absent: McElderry Harrison VI. ADJOURNMENT At 8:35 p.m. the Chairman adjourned the meeting to the next meeting to be held upon call of the Chair. Secretary LAWRENCE E. SUTHERLA~,~,). Chairman MINUTES OF THE MEETING OF THE ADVISORY COMMITTEE FOR THE SOUTH/CENTRAL REDEYELOPMENT PROJECT April 10, 1985 I. CALL TO ORDER The meeting was called to order by Chairman Sutherland at 7:45 p.m. in the conference room at City Hall, 300 Centennial Way. II. ROLL CALL Committee members present: Committee members absent: Lawrence E. Sutherland, Chairman Elmo Anderson Jeffrey K. Gwin Jeff McElderry (arrived late) Staff members present: Jon Harrison Mary Lilly III. PRESENTATION AND DISCUSSION Dr. R. Kenneth Fleagle, Consultant IV. Dr. Fleagle furnished committee members with copies of the South/Central Redevelopment Plan adopted August 1, 1983 and the proposed amendments to the plan. Discussions were related to the means of financing public improvements, employment estimates for the Pac Bell project alternative traffic routes, relationship to SR 55 improvements, housing accommodations, and timing of the project. ACTION The committee requested that the Environmental impact Report for the project address the proposed Valencia on and off ramp to the SR 55 freeway in reference to other SR 55 improvements, including any proposals for modification and/or elimination of the McFadden/Sycamore ramps. 2. The committee requested an opportunity to review the draft EIR. V. ADJOURNMENT At 9:00 p.m. the Chairman adjourned the meeting to the next meeting to be held upon call of the chair, upon receipt of the draft EIR. R. KENhiETH FLEAGLE,~/ Secretary Report page ten Enclosed herewith is the report from the Committee Chairman, Lawrence E. Sutherland, stating that the Committee endorses and recommends approval of the South/Central Redevelopment Project Amendment. The minutes of the meetings held on April 10, 1985 and May 15, 1985 are attached as Exhibits. X PROJECT AREA ENVIRONMENTAL IMPACT REPORT Environmental Impact Report 85-1 for the South/Central Redevelopment Project Plan Amendment appears as Appendix B. The Planning Commission conducted an advertised public hearing on June 10, 1985 on the Draft EIR 85-1 for the project. No public testimony was received. Two letters of comment were received, one from the PUC Commission and one from the city of Santa Aha. Subsequent to the hearing, comments have been received from the County of Orange Environmental Management Agency. Comments and responses are appendixed to the Draft EIR. The Environmental Impact Report incorporates the neighborhood impact report. XI REPORT OF COUNTY FISCAL OFFICER The Auditor-Controller of the County of Orange prepared and distributed a Fiscal Impact Report for the subject project on January 30, 1985. The report is shown as Exhibit F. The report indicates a total AV within the area of $32,373,863 which generates $48,338 revenue to the city of Tustin. Based on county-wide average growth in assessed value, the 1985-86 Increment Tax Revenue Estimate is $19,880. The assessed value of property assessed by the Board of Equalization is $11,714,840. Total AV for the base year is $44,122,283. Tax revenues and incremental revenue to the Redevelopment Agency is mere fully discussed in the Financial Report contained in Appendix A. XII ANALYSIS OF COUNTY FISCAL OFFICER'S REPORT Only the city of Tustin and East Orange County Water District have a taxable value within the project area that exceeds one (1%) percent of their total assessed value. The area represents .9835 percent of the assessed value within the district boundaries of the Tustin Unified School District. In terms of tax revenue from the project area, the following agencies receive the major portion of tax receipts: Tustln Unified School District County General Fund City of Tustin $ 153,247 54,642 48,338 Report page eleven The remaining 37 (375) percent ($92,547) is shared by 14 other taxing agencies. The Orange County Water District receives $1,787 per year in taxes, based on 1984-85 base year. Whereas, their sole source of funding is derived from the property tax, the Redevelopment Agency has consented to an annual contribution of $2,000 per year effective fiscal year 1990-91. It is assumed that the school district will request, as required by law, the 2% pass through of increased value, unless an agreement provides otherwise. A Fiscal Review Committee was not created and the analysis of fiscal impact is based on the Auditor-Controller Report of January 30, 1985, previously identified as Exhibit F. XIII CONSULTATIONS WITH COUNTY AND AFFECTED TAXING AGENCIES A. NOTICE AND INVITATION By letter of February 25, 1985, copy shown as Exhibit G, all taxing agencies within the project area were furnished a copy of the Preliminary Report, South/Central Redevelopment Project Amendment, and invited to discuss the proposed amendment. B. RESPONSES AND CONSULTATIONS The Orange County Water District requested a meeting which was held on March 20, 1985, at which time an agreement was proposed for the Redevelopment Agency to pay the sum of $2,000 per year to the Orange County Water District effective FY 1990-91, in lieu of taxes or pass through agreement, in order to alleviate any financial detriment to the district caused by increased demand for services within the area. The agreement was approved by the Redevelopment Agency on April 15, 1985. A meeting was held with representatives of the County Administrative Office on March 25, 1985. An understanding was reached that the County's interest in tax increment revenue would be subservient to any annual tax increment required to finance the public improvements and housing set-aside funds. A meeting was held on May g, 1985 with Tustin Unified School District representative and the Director of Community Development to discuss the potential of a contribution from the Redevelopment Agency to the Tustin Unified School District in lieu of a pass through agreement or the entitlement to the 2~ increment upon the base year valuation. A fiscal review committee was not called for and the Redevelopment Agency proceeded on the premise that the County will be responsible for allocating its share of tax increment to County-governed taxing districts and agencies from any surplus funds not required for housing and debt service. UNTY' OF OFFICE OF AUDITOR-CONTROLLER January 30, 1985 $. E. LEWIS TELEPHONE*. 834-2.450 AREA COOL 714 SUBJECT: South/Central Redevelopment Project Amendment Purs-~nt to Section 33328 et seq. of the California Health and Safety Code, you will find enclosed your copy of the Fisca~ Impact Report for the subject redevelopment agency. Fuz~cher inquiries may be directed to the: County of Orange Auditor-Controller' s Office Attn: Tax Section 630 N. Broadway P. O. Box 567 Santa Aha, CA 92702-0567 Accountant Tax Unit MTM:ei ~nclosure TABLE I - HEALTM & SAFETY - CODE 33328 (A) CITY OF TUSTIN CRA SOUTH/CENTRAL AMENDMENT 1984-85 BASE Y~AR ASSESSMENT ROLL Secured Assessed Value - Local I%oll State Board of Equalization - Public Utility R~ll Unsecured Assessed Value - Local Roll To~al Assessed Value within the Project $26,669,879 5,703,984 $32,373,863 * Not Available At This Time TABLE II - HEALTH & SAFETY CODE 33328 (B) CITY CF TUSTIN CRA SOUTH/CENTRAL AMENDmeNT .REPORT OF IDE.~TIFICATION OF TAXING DISTRICTS WITHIN THE PROJECT The District Numbers and the Taxing Agencies' Names are: 001E 002A 063B 500A 560B 600A 60lA 703A 707A 710A 713A 744A 803A 820P 863B 922A 948A 960A 961A County General (excluding CSFP) Orange County Public Library Tustin City Saddleback Coz~mlnity College District Tust. in Unified School District - Tustin Elem. Department of Education - School Modification Aid Depart/nent of Education - School Institution Tuition Tax Orange County C~tery District No. 1 Orange County Transit District Orange County Flood Control District Orange County Harbors, Beaches & Parks Orange County Vector Control District East Orange County Water District Metropolitan Water District - MWDOC - Rema{nder Area M~nicipal Water District Orange County - Orig. Area Orange County Sanitation District #7 Orange County Street Lighting Assessment Dist. %1 Orange County Water District Orange County Water - Water Reserve I I I 0 0 0 IIIIIIIIIIIIIIIIII TABLE IV - HEALTH & SAi~ETY CODE 33328 (D) CITY DF TUSTIN CPJ% SOUTH/CENTRAL AMENDMENT REPORT OF TOTAL AD VALOREM RE%rENLrE EACH DISbaR/CT HAS AVAILABLE FROM WITHIN AND OUTSIDE THE PROJECT The revenue data necessary to complete this section of the Fiscal Review Report does not currently exist because of the impact of Assembly Bill 8. An inordinate manual effort and expense would be reqLLTred of the County Auditor-Controller's staff to gather any reliable substitute data. Therefore, the Fiscal Review Report does not contain the total Ad Valorem Revenue information for the project area. There has been included, however~ a supplemental table of comparative assessed values for each taxing district to give a relative indication of Base Year Revenue percentage given up to the CRA. See Table IV (D), Supplement. ,/ ~ 0 n. n. Oo TABLE iV - HEALTH & SAFETY CODE '33328 (F) CiTY CF TUSTIN CRA SOUTH/CENTRAL AMENDMENT REPORT OF ASSESSED vALUATION BY BLOCK WITHIN THE PROJECT Health and Safety Code, Section 33328 (f) requires: "The assessed valuation of the project area, by block for the preceding five years, except for state assessed property on the board roll." The assessed valuation data necessary to complete this section of the Fiscal Review Report does not exist because the valuation files maintained by the County do not contain historical assessed values by block. A~ inordinate manual effort and expense would be required of the County Assessor's and County Auditor's staff to gather any reliable sL%bstitute data. Therefore, the Fiscal Review Report does not contain the preceding five-year assessed valuation infol~nation for the project area. We are however, providing five year assessed valuation infoz~nation for the entire city: FCV 1984-85 FCV 1983-84 FCV 1982-83 FCV 1981-82 A/V 1980-81 FCV 1980-81 Total Secured Unsecured Total $1,528,424,985 1,286,977,030 1,209,413,248 1,058,416,970 209,974,397 839,897,588 $161,082,292 171,801,766 161,959,551 112,225,148 23,295,320 93,181,280 $1,689,507,277 1,458,778,796 1,371,372,799 1,170,642,118 233,269,717 933,078,868 FCV = Full Cash Value A/V = Assessed Value FCV = 4 Times A/V A~unt TABLE VI - HEALTH & SAFETY CODE 33328 CITY OF TUSTIN CRA SOUTH/CENTRAL AMENDMENT R~PORT OF AGENCY'S REVENUE IN FIRST YEAR The Auditor-Controller has been advised by t_he T~stin Community Redevelopment Agency that no major structures and improvements will be made within the Project boundaries during the first year, so therefore we anticipate a conser- vative growth in value of the area within the Project boun- daries to increase by only 5.7 percent. Total 1984-85 Base Year Revenue $348,773.98 Total Expected Percentage Increase in Value 5.7% 1985-86 Increment Tax Revenue Estimate $ 19,880.12 March 6, 1985 Office of the City Ma.ager Municipal Water District Orange County 1950 E. 17th Street Santa Ana, Ca. 92701 SUBJECT: PRELIMINA.RY REPORT, SOUTH/CENTRAL REDEVELOPMENT PR(k)ECT AMENDMENT Ladies/Gentlemen: Pursuant to Section 33344.5 of the California Health and Safety Code, transmitted herewith is a Preliminary Report in Justification of the proposed amendment to the South/Central Redevelopment Project. A Fiscal Impact Report was prepared and distributed to the taxing entities by the Orange County Auditor-Controller on January 30, 1985. In summary, the proposed redevelopment project amendment will enable the development and redevelopment of + 64 acres of industrially zoned land by the construction of major traffic arte-Fial improvements including a grade separation of Newport Avenue extension across the ATSF Railroad and a new off and on-ramp to the Costa Mesa Freeway (Route SR-55). Development of the land area cannot be accommodated without improvements to the circulation system and the major traffic improvements cannot be constructed without the assistance of the Redevelopment Agency. I will be pleased to discuss this proposed amendment with you. Sincerely yours, WILLIAM A. HUSTON, City Manager Executive Director, Tustin Redevelopment Agency WH:RKF:do EXHIBIT "G" 300 Ce,ltem~ial [*'ay · 7i,stin, C,difornia 92680 · (714) 544-8890