Loading...
HomeMy WebLinkAbout11 TOWN CTR RDA PLANS 10-03-05AGENDA REPORT OCTOBER 3, 2005 FROM: WilLIAM A. HUSTON, CITY MANAGER REDEVELOPMENT AGENCY STAFF TO: SUBJECT: TIME LIMIT EXTENSIONS FOR THE TOWN CENTER AND SOUTH CENTRAL REDEVELOPMENT PLANS SUMMARY Time limit extensions of the Redevelopment Plans are needed for effectiveness of each Plan and the ability to collect tax increment for the Town Center and the South Central Redevelopment Project Areas, RECOMMENDATION It is recommended the Tustin City Council take the following action: 1. Adopt Ordinance No. 1306 to extend by one year the Plan Effectiveness and Time Limit to Receive Tax Increment in the Town Center Redevelopment Project Area; and, 2. Adopt Ordinance No. 1307 to extend by one year the Plan Effectiveness and Time Limit to Receive Tax Increment in the South Central Redevelopment Project Area. FISCAL IMPACT Adopting the ordinances will extend by one year the Agency's ability to collect tax increment in the Town Center and South Central Project Areas. Staff estimates that the Agency would receive approximately $6,330,000 of gross tax increment in the Town Center project Area in FY 2027-2028, and approximately $5,585,000 of gross tax increment from the South Central Project Area in FY 2026-2027. BACKGROUNDIDISCUSSION In August, 2003 the California legislature (SB 1045) amended the California Health and Safety Code Section 33333.6 (e)(2)(C) of the Community Redevelopment law ("CRl") to permit a city council, as the legislative body of a redevelopment agency, to extend by City Council Report Town Center & South Central Project Areas Time Limit Extensions October 3, 2005 Page 2 one year both the period of effectiveness of a redevelopment plan and the ability of the redevelopment agency to collect tax increment from a project area when the redevelopment project area is required to make payment to the Educational Revenue Augmentation Fund (ERAF) pursuant to Health and Safety Code Section 33681.9. , The SB 1045 amendment was intended to mitigate the effects of ERAF transfers imposed on redevelopment agencies as part of the solution to the State's FY 2003-2004 budget crisis. Per SB 1045, the time extensions may be adopted by simple ordinance of the City, thus need not comply with Section 33354.6, Article 12, (commencing with Section 33350) or any other provision of that part relating to the amendment of redevelopment plans. In FY 2004-2005, the Agency made ERAF payments pursuant to CRL Section 33681.9 in the amounts of $206,474 and $217,341 from the Town Center and South Central Project Areas respectively. ANALYSIS The Town Center Redevelopment Plan was adopted November 22,1976 and amended to incorporate legislative changes in 1981, 1989, 1994, and 2005. Currently, the Plan's expiration date is November 22, 2017, while the last date to receive tax increment is November 22,2027. The South Central Redevelopment Plan was adopted August 1, 1983 and amended to incorporate legislative changes in 1985, 1994, 1999, and 2005. Currently the Plan's expiration date is July 15, 2016, while the last date to receive tax increment is July 15, 2026. The proposed ordinances would extend the effectiveness of the Town Center Redevelopment Plan to November 22, 2018 and the South Central Redevelopment Plan to July 15, 2017. The ordinances would also extend the time limits for the Agency to receive tax increment to November 22, 2028 from the Town Center Redevelopment Project Area and July 15, 2027 from the South Central Project Area. The proposed amendments are exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15378(b)(4) because they are a fiscal activity that does not involve the commitment to a specific project which may result in a City Council Report Town Center & South Central Project Areas Time Limit Extensions October 3, 2005 Page 3 potentially significant physical impact the environment. Agency staff will be available to respond to any questions at the City Council's meeting of October 3,2005. Ø?:fy Redevelopment Program Manager Attachments: Ordinance No. 1306 Ordinance No. 1307 5:IRDAICC reportlOct 3, 2 nd 581045 Time Limit Extensions.doc ORDINANCE NO. 1306 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, EXTENDING THE TIME LIMIT OF THE EFFECTIVENESS OF THE REDEVELOPMENT PLAN FOR THE TOWN CENTER REDEVELOPMENT PLAN; EXTENDING THE TIME LIMIT FOR PAYMENT OF INDEBTEDNESS AND RECEIPT OF PROPERTY TAXES UNDER THE REDEVELOPMENT PLAN FOR THE TOWN CENTER REDEVELOPMENT PROJECT AREA; AND MAKING OTHER FINDINGS IN CONNECTION THEREWITH The City Council does hereby resolve as follows: I. The City Council finds and determines as follows: A. The Tustin Redevelopment Agency ("Agency") is a community redevelopment agency duly created, established and authorized to transact business and exercise its powers, all under and pursuant to the California Community Redevelopment Law (Part 1 of Division 24, commencing with Section 33000, of the Health and Safety Code of the State of California) ("CRL"); and B. The Agency is engaged in activities necessary and appropriate to carry out the Redevelopment Plan ("Redevelopment Plan") for the Town Center Redevelopment Project ("Project Area") which was adopted by the Agency's legislative body, the City Council of the City of Tustin ("City Council"), by Ordinance No. 701 on November 22, 1976, and thereafter amended by Ordinance No. 855 on September 8, 1981 (Amendment No.1), and thereafter by Ordinance No. 1021 on March 20, 1989; and thereafter by Ordinance No. 1141 on November 21, 1994 per legislative requirements of AB1290, and thereafter by Ordinance No. 1291 on February 7, 2005; and C. Pursuant to CRL Section 33333.6, a time limit on the effectiveness of the Redevelopment Plan and a time limit on the period for payment of indebtedness and receipt of property taxes under the Redevelopment Plan have been established; and D. By and through Senate Bill 1045, California Health and Safety Code Section 33333.6(e)(2)(C) was amended to provide when an redevelopment agency is required to make a payment to the Educational Revenue Augmentation Fund (ERAF) pursuant to CRL Section 33681.9, the City Council, as the legislative body of the Agency, may enact an ordinance to extend by one (1) year the time limit on the effectiveness of the Redevelopment Plan and the time limit for payment of indebtedness and receipt of property taxes under the Redevelopment Plan, each and respectively; and Ordinance No. 1306 Page 2 E. CRL Section 33333.6(e)(2)(C) further provides that such ordinance may be adopted without compliance with the normal procedures for redevelopment plan amendments; and F. In FY 2004-2005 the Tustin Redevelopment Agency made ERAF payments pursuant to CRL Section 33681.9 in the amount of $206,474; and G. The City Council desires to adopt this ordinance to amend and extend certain time limitations of the Town Center Redevelopment Plan, as more particularly set forth below, in accordance with Section 33333.6, as amended by SB 1045; and H. The enactment of this Ordinance is exempt from the California Environmental Quality Act (Public Resources Code Section 21000 et seq.) ("CEQA") pursuant to CEQA Guidelines Section 15378(b)(4) because it is a fiscal activity which does not involve any commitment to any specific project which may result in a potentially significant physical impact on the environment. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, HEREBY ORDAIN AS FOLLOWS: Section 1. The current time limit on the effectiveness of the Town Center Redevelopment Plan is hereby extended by one (1) year (from the existing time limit of November 22,2017) to November 22,2018, and the Tustin Redevelopment Agency is hereby authorized to act with respect to the Redevelopment Plan at any time during which the Redevelopment Plan is effective. Section 2. The current time limit on paying indebtedness or receiving property taxes pursuant to the Town Center Redevelopment Plan and CRL is hereby extended by one (1) year (from the existing time limit of November 22, 2027) to November 22, 2028, and the Tustin Redevelopment Agency is hereby authorized to act with respect thereto during such extended period. Section 3. Except with respect to the amendments set forth herein, the Redevelopment Plan, as amended, is and shall remain unchanged and in full force and effect in accordance with its terms. Section 4. The City Clerk is hereby authorized to file a Notice of Exemption with the County of Orange pursuant to CEQA Guidelines Section 15094. Section 5. This Ordinance shall go into effect and be in full force and operation from and after thirty (30) days after its final passage and adoption. The City Clerk shall certify to the passage and adoption of this Ordinance and shall cause this Ordinance to be published as set forth below. Ordinance No. 1306 Page 3 Section 6. At least five (5) days prior to its final adoption, copies of this Ordinance shall be posted in at least three (3) prominent and public locations in the City; and a notice shall be published once in the Tustin News, a newspaper of general circulation in the City of Tustin, setting forth the title of this Ordinance, the date of its introduction and the places where this Ordinance is posted in accordance with Government Code Section 36933. Within fifteen (15) days following final adoption, a summary of the Ordinance with the names of the council members and votes shall be published in a newspaper of general circulation. PASSED AND ADOPTED at a regular meeting of the City Council for the City of Tustin on this third day of October. 2005. Lou Bone Mayor PAMELA STOKER City Clerk STATE OF CALIFORNIA) COUNTY OF ORANGE) CITY OF TUSTIN) SS CERTIFICATION FOR ORDINANCE NO. 1306 PAMELA STOKER, 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 5; that the above and foregoing Ordinance No. 1306 was duly and regularly introduced and read at a regular meeting of the Tustin City Council, held on the - day of , 2005 and was given its second reading, passed, and adopted at a regular meeting of the City Council held on the - day of , 2005 by the following vote: COUNCILMEMBER AYES: COUNCILMEMBER NOES: COUNCILMEMBER ABSTAINED: COUNCILMEMBER ABSENT: PAMELA STOKER City Clerk S:IRDAIOrdinancesIOrd. 1306 S81 045 Town Center Time Extension.doc ORDINANCE NO. 1307 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, EXTENDING THE TIME LIMIT OF THE EFFECTIVENESS OF THE REDEVELOPMENT PLAN FOR THE SOUTH CENTRAL REDEVELOPMENT PLAN; EXTENDING THE TIME LIMIT FOR PAYMENT OF INDEBTEDNESS AND RECEIPT OF PROPERTY TAXES UNDER THE REDEVELOPMENT PLAN FOR THE SOUTH CENTRAL REDEVELOPMENT PROJECT AREA; AND MAKING OTHER FINDINGS IN CONNECTION THEREWITH The City Council does hereby resolve as follows: I. The City Council finds and determines as follows: A. The Tustin Redevelopment Agency ("Agency") is a community redevelopment agency duly created, established and authorized to transact business and exercise its powers, all under and pursuant to the California Community Redevelopment Law (Part 1 of Division 24, commencing with Section 33000, of the Health and Safety Code of the State of California) (the "CRL"); and B. The Agency is engaged in activities necessary and appropriate to carry out the Redevelopment Plan ("Redevelopment Plan") for the South Central Redevelopment Project ("Project Area") which was adopted by the Agency's legislative body, the City Council of the City of Tustin ("City Council"), by Ordinance No. 890 on August 1, 1983, (the "Original Project Area"), and thereafter amended by Ordinance No. 939 on August 5, 1985 (Amendment No.1) including adding new area to the Project Area (the "added Area"), and thereafter by Ordinance No. 1142 on November 21, 1994 per legislative requirements of AB1290; and thereafter by Ordinance No. 1223 on November 1, 1999 re-establishing the Agency's eminent domain authority in the Project Area for a twelve-year period, and thereafter by Ordinance 1290 on February 7,2005; and C. Pursuant to CRL Section 33333.6, a time limit on the effectiveness of the Redevelopment Plan and a time limit on the period for payment of indebtedness and receipt of property taxes under the Redevelopment plan have been established; and D. By and through Senate Bill 1045, California Health and Safety Code Section 33333.6(e)(2)(C) was amended to provide when an redevelopment agency is required to make a payment to the Educational Revenue Augmentation Fund (ERAF) pursuant to CRL Section 33681.9, the City Council, as the legislative body of the Agency, may enact an ordinance to extend by one (1) year the time limit on the effectiveness of the Redevelopment Plan and the time limit for payment of indebtedness and receipt of property taxes under the Redevelopment Plan, each and respectively; and Ordinance No. 1307 Page 2 E. Section 33333.6(e)(2)(C) further provides that such ordinance may be adopted without compliance with the normal procedures for redevelopment plan amendments; and F. In FY 2004-2005 the Tustin Redevelopment Agency made ERAF payments pursuant to CRL Section 33681.9 in the amount of $217,341; and G. The City Council desires to adopt this ordinance to amend and extend certain time limitations of the South Central Redevelopment Plan, as more particularly set forth below, in accordance with Section 33333.6, as amended by SB 1045; and H. The enactment of this Ordinance is exempt from the California Environmental Quality Act (Public Resources Code Section 21000 et seq.) ("CEQA") pursuant to CEQA Guidelines Section 15378(b)(4) because it is a fiscal activity which does not involve any commitment to any specific project which may result in a potentially significant physical impact on the environment. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, HEREBY ORDAIN AS FOLLOWS: Section 1. The current time limit on the effectiveness of the South Central Redevelopment Plan is hereby extended by one (1) year (from the existing time limit of July 15, 2016) to July 15, 2017, and the Tustin Redevelopment Agency is hereby authorized to act with respect to the Redevelopment Plan at any time during which the Redevelopment Plan is effective. Section 2. The current time limit on paying indebtedness or receiving property taxes pursuant to the South Central Redevelopment Plan and CRL is hereby extended by one (1) year (from the existing time limit of July 15, 2026) to July 15, 2027, and the Tustin Redevelopment Agency is hereby authorized to act with respect thereto during such extended period. Section 3. Except with respect to the amendments set forth herein, the Redevelopment Plan, as amended, is and shall remain unchanged and in full force and effect in accordance with its terms. Section 4. The City Clerk is hereby authorized to file a Notice of Exemption with the County of Orange pursuant to CEQA Guidelines Section 15094. Section 5. This Ordinance shall go into effect and be in full force and operation from and after thirty (30) days after its final passage and adoption. The City Clerk shall certify to the passage and adoption of this Ordinance and shall cause this Ordinance to be published as set forth below. Ordinance No. 1307 Page 3 Section 6. At least five (5) days prior to its final adoption, copies of this Ordinance shall be posted in at least three (3) prominent and public locations in the City; and a notice shall be published once in the Tustin News, a newspaper of general circulation in the City of Tustin, setting forth the title of this Ordinance, the date of its introduction and the places where this Ordinance is posted in accordance with Government Code Section 36933. Within fifteen (15) days following final adoption, a summary of the Ordinance with the names of the council members and votes shall be published in a newspaper of general circulation. PASSED AND ADOPTED at a regular meeting of the City Council for the City of Tustin on this third day of October. 2005. Lou Bone Mayor PAMELA STOKER City Clerk STATE OF CALIFORNIA) COUNTY OF ORANGE) CITY OF TUSTIN ) SS CERTIFICATION FOR ORDINANCE NO. 1307 PAMELA STOKER, 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 5; that the above and foregoing Ordinance No.1307 was duly and regularly introduced and read at a regular meeting of the Tustin City Council, held on the - day of , 2005 and was given its second reading, passed, and adopted at a regular meeting of the City Council held on the - day of , 2005 by the following vote: COUNCILMEMBER AYES: COUNCILMEMBER NOES: COUNCILMEMBER ABSTAINED: COUNCILMEMBER ABSENT: PAMELA STOKER City Clerk