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HomeMy WebLinkAboutCC RES 81-094 RESOLUTION NO. 81-94 A JOINT RESOLUTION OF THE REDEVELOPMENT AGENCY AND CITY COUNCIL OF THE CITY OF TUSTIN RECOMMENDING AMENDING THE FINANCIAL PLAN FOR THE TOWN CENTER AREA REDEVELOPMENT PROJECT The Redevelopment Agency and City Council of the City of Tustin does hereby resolve as follows: I. The Redevelopment Agency and City Council finds and determines as follows: a. A Redevelopment Plan was approved and adopted by the City Council of the City of Tustin by Ordinance No. 701 on November 12, 1976 for the Town Center Area Redevelopment ' Project. b. Title VI (Sec. 600) LIMITATION ON FINANCES of said plan establ i shed a 1 imi taxi on of- $6'0'o,ooo.oo 'i'n" the average yearly tax increment which may be collected and allocated to projects and programs within the project area. c. Title VII (Sec. 700) LIMITATION ON BONDED INDEBTEDNESS of said pl an establ i shed a maXimUm-of $6.5 mi l'l i6n' 6f ..... outstanding bonded indebtedness to be paid for through tax increment funds .... · d. The Redevelopment Plan for the Town Center project Area is for the purpose of eliminating and preventing the spread of blight and deterioration in the project area by the acquisition and development of properties and the construction of public buil dings and improvements. e. The redevelopment plan was adopted prior to Proposition 13 when tax increments bore a relationship to increasing property values. The Redeveloment Plan was adopted when land within the project area could be purchased for $1.00 per square foot and redevelopment bonds could be marketed at 6 1/2% interest. The first years property tax increment from the project area amounted to $210,320. Subsequent to the original adoption of the redevelopment plan the market value of land has increased 20 times and interest rates have increased three-fold thereby making obsolete the financing limitations for tax incremental revenues and the amount of bonded indebtedness to achieve the objectives of the redevelopment plan. f. An amendment to the financing plan for the Town Center Project Area is essential to carry out the intent and purpose of the redevelopment plan. g. The Redevelopment Plan as adopted satisfies the requirements of Section 33367 of the Health and Safety Code of the State of California. Resolution No. 81-92 Page Two h. A public hearing was duly noticed and jointly held by the Redevelopment Agency and City Council at 7'30 p.m. on August 17, 1981. II. The Redevelopment Agency and City Council of the City of Tustin, pursuant to Section 3345 of the Health and Safety Code of the State of California, hereby resolves that Titles VI and VII of the Redevelopment Plan for the Town Center Area Redevelopment Project should be amended to read as follows' VI. {Sec. 600) LIMITATIONS ON FINANCES , , , , , 1. As required by law the Agency establishes a limitation on itself as to the amount of tax increment dollars which it may collect' and allocate to projects and programs within the project area. The average yearly tax increment which may be collected shall not exceed $3 million. Dollar amounts in excess of this average yearly figure shall revert back to the individual taxing agencies who are col lecting those 'taxes generated below the incremental level. This limitation does not apply to funds received by the Agency in the fora of gifts, loans; from the sale of property or services or from funds obtained from services other than tax increment financing. 2. The length of time that the Town Center Project Area exists shall not exceed thirty years. No loans, advances, bonds, and other forms of indebtedness necessary to finance this plan, shall be incurred or established by the agency beyond the period of 30 years from the adoption of the Ordinance approving the Redevelopment Plan. This limitation on the time of indebtedness shall not be construed to place any 1 imitation on the formation or financing of another Redevelopment Project Area. VII. (Sec. 700) LIMITATION ON BOND INDEBTEDNESS The Town Center Redevelopment Area may not exceed $20 million of outstanding bonded indebtedness, to be paid for through tax increment funds. This limitation may not be exceeded unless there is an amendment to the Redevelopment Plan. PASSED AND ADOPTED at a joint meeting of the Redevelopment Agency and City Council held on the 17th day of August, 1981. · ....... James B. Sharp ~/ ATTEST' Chairman and Mayor City Clerk STATE OF CALIFORNIA ) COUNTY OF ORANGE ) SS CITY OF ~JSTIN ) MARX 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 No'. 81-94 was duly and regularly introduced, passed and adopted at a regular meeting of the City Council held on the 17th day of August, 1981 by the following vote: AYES : COUNCILPERSONS: Sharp, Hoesterey, Edgar, Kennedy, Saltarelli NOES : COUNCILPERSONS: None ABSENT: COUNCILPERSON S: None City of Tustin, Cal-lfornia