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HomeMy WebLinkAboutAgenda Bill 5.A 05/17/2004687265 -1 CITY OF PETALUMA, CALIFORNIA AGENDA BILL 4 • Agenda Title Meeting Date Discussion And Action Adopting yOrdinances Amending The May 17, 2004 Redevelopment Plans For The Community Development Project Area And The Central Business District Project Area Meeting Time ®3:00 PM To Extend The Plan Effectiveness Date And The Time ❑ 7:00 PM Limitation On Receipt Of Property, Tax Increment And Debt Repayment By One Year Category (check one) ❑Consent Calendar Z Public Hearing New Business ❑ Unfinished Business ❑.Presentation Department Director Contact Person , Phone; Number ED & Redevelopment Paul.Marang llVlarangella 7784581 Cost of Proposal 0 Account Number NA Amount Budgeted 0 Name of Fund NA Attachments to Agenda Packet:Item m i 1. 'Ordinance Amending Com' Area RedevelopmentPlan 11 unii Development Proeet 2. Ordinance Amending Central Business District Project Area Redevelopment Plan 3. Summaries of PCDC Redevelopment Plan Limits Summary Statement Recent legislation (SB 1045) authorizes redevelopment agencies that are required to make ERAF payments to extend certain redevelopment plan limitations' by adoption of an ordinance without following the procedures typically required for plan 'amendments. The proposed ordinances amend the redevelopment plans for the Community Development Project Area,-and the Central Business District Project Area to add one year to the Plan Effectiveness Date , and to the time period within which the Agency may receive property tax increment revenue and repay °indebtedness. Recommended Cit _ Council Action /Su' ested Motion: It is recommended that the City Council. receive the staff report, .open the public hearing, receive public testimony, deliberate, close -the public hearing waive the reading and introduce the ordinances. ev ewed b. YinaneeDirector: ; Reviewed' by City Attorney Approved'WCiii Mana er: D ate• Date: Date: od s Date: Revision #;and Date Revised: File Code. * May 5, 2004 687265 -1 J' CITY OF PETALUMA,, CALIFORNIA May 17, 2004 AGENDA RE PORT FOR DISCUSSION AND .,ACTION ADOPTING ORDINANCES AMENDING THE REDEVELOPMENT PLANS FOR.THE COMMUNITY DEVELOPMENT PROJECT AREA AND THE CENTRAL BUSINESS .DISTRICT PROJECT AREA TO EXTEND THE PLAN EFFECTIVENESS-DATEA ND THE' TIME LIMITATION ON RECEIPT OF PROPERTY TAX INCREMENT AND DEBT REPAYMENT BY ONE YEAR 1. EXECUTIVE SUMMARY Recent legislation (SB * 1045) authorizes redevelopment agencies that are required ordinance without fol w p Ym ing thets; to extend certain redevelopment plan limitations by adoption of an procedures typically required for plan amendments. The proposed ordinances amend the redevelopment plans for the Community Development Project Area and the Central Business District Project Area to add one .year to the Plan Effectiveness Date and to the time period within which the Agency rriayt'eceive property'tax increment revenue and repay indebtedness. 2. BACKGROUND California Community Redevelopment Law requires that all redevelopment plans include: (i) a limitation on the period within which the redevelopment agency may undertake activities within the project area (the `Plan Effectiveness Date "), and (ii) a;limitation on the period within which the agency may collect property increment revenue and repay indebtedness. Pursuant to SB 1045, effective September 1; 2003, ,the .Redevelopment Agency of the City of Petaluma is required to make a payment during fiscal year. 2003 -04 into the Sonoma County Educational Revenue Augmentation Fund ( "ERAF "). SB 1045 provides that the legislative body of redevelopment agencies which are required g q to make ERAF payments may amend ° redevelopment plans to extend both the Plan Effectiveness Date and the time limit on receipt of tax increment /repayment of debt by one year. The legislation provides that the foregoing amendments may be adopted by ordinance rather than the usual plan amendment If the Redeve Agency adopts Agenc adopts the proposed ordinances: (i) for the Community Development Project Area, the Plan Effectiveness Date will be extended by one year to August 18, 2029, and the time limitation on receipt of tax increment /debt repayinen't will' - be extended by one year to August 18, 2039; (ii) for the original territory icov.ered by 'the. Central : Business District Project Area, the Plan Effectiveness Date will be extended by one year to - ctober 27, 2017, and the time limitation on receipt of tax increment /debt repayment will be extended by one year to October 27, 2027; and (iii) for the territory added to the Central Business District,Project Area in 2001, the Plan Effectiveness Date will be extended by one, year to July 18, 2032, and the time limitation on receipt of tax increment /debt repayment`will be extended by one year to.July 8, 2047. ALTERNATIVES If the Agency does not adopt the proposed amendments, the redevelopment plan limitations' will remain as currently stated in the plans. W FINANCIAL IMPACTS Adoption of the proposed ordinances will enable the Redevelopment property tax increment revenue for the u o Agency to p rp se of repaying indebtedness for one additional year 6s7z6s -1 for the Central' Business District Project Area and the J Community Development Project Area. 5. CONCLUSION It is recommended that the City Council adopt the proposed ordinances extending thV Plan Effectiveness Date and the limitation on receipt of tax increment revenue /debt repayment by one year. 6. OUTCOMES OR PERFORMANCE MEASUREMENTS THAT Adoption of ordinances. 7. RECOMMENDATION It is recommended that the City Council receive the staff report, open the public hearing, receive public testiriiony, deliberate, close the public hearing, waive the reading and introduce the ordinances. • 687265 -1 Attachment 1 Ordinance Amending Central Business District Project Area Redevelopment Plan 687265 -1 ORDINANCE NO lentroduced by Seconded by N.C.S. AN ORDINANCE OF THE COUNCIL ORTHE CITY OF PETALUMA BE IT ORDAINED BY THE COUNCIL OF THE CITY OF PETALUMA AS FOLLOWS: WHEREAS, the City Council of the City of Petaluma. (the `City Counci originally approved and adopted a redevelopment plan for the CentrO.Business District Project Area (the "Project Area") on September 2,7 1976, by Ordinance No. 1221 N.C.S. ;and WHEREAS, the Redevelopment Plan was amended by •Ordinance No. 1973 N'C.S. adopted November 21, 1994, by Ordinance No. 2092 N.C.S. adopted July 21, ,1999 and by Ordinance No. 2116 N.C.S. adopted June 18, 2001 (as so amended hereafter the "Redevelopment Plan"; and WHEREAS, Ordinance No. 211 i'.C.S. adopted June 18, 2001, added territory ( ",the Added Area ") to the Project Area ; and WHEREAS, the Redevelopment.Plan.contains certain time limitations on the effectiveness of the 'Redevelopment Plan and the Agency's ability to receive tax increment revenue to repay Agency indebtedness incurred to carry out redevelopment activities within the Project Area and the Added Area; and WHEREAS, the :Redevelopment Agency of the City of'Petaluma, California (the "Agency "), has been designated as the official redevelopment agency in the City of Petal . carry out the functions and of the. Community Redevelopment Law of the State of California (Health and Safety'Code Section 33000 et; seq) and to implement the Redevelopment °Plan; and WHEREAS, effective September 1, 2003; SB' 1:045 added Section 33'681,9 , to the Health and Safety Code, pursuant to which the Agency is required to make a payment during: the'2003 -04 fiscal year for deposit in the Sonoma County Educational Revenue Augmentation Fund; and WHEREAS, SB 1045 amends Section 33333:2 of the Health and Safety Code: to provide that when a redevelopment agency is required to make a payment pursuant to Section 33681.9, the legislative body _may, by adoption of an ordinance, amend a redevelopment plan to extend by one year the 'time limit on the effectiveness of the plan and the time limit for repayment of agency indebtedness with tax increment funds and' WHEREAS, SB 1045 further amends Section 33333.2 of the Health and. Safety Code to provide that in adopting an ordinance pursuant to the foregoing. authority, neither' the legislative body nor the'redevelopment agency is required to follow the procedural requirements .ordinarily require&for the amendment of redevelopment plans. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PETALUM CALIFORNIA, DOES HEREBY ORDAIN AS FOLLOWS: Section 1 . ' The time`limit on the effectiveness of the Redevelopment Plan shall be extended by one year to October 27, 2017 for the original Project Area and to. July 18, 2032 for the Added.-Area. Section 2 . The time linut on the receipt of property taxes and repayment of indebtedness pursuant to Health and Safety Code Added Area_ section 33 670 shall be extended one year to October 27, 2027 •for'the original Project Area and to July 18, 2047 for the Section 3 .. Ordinance Nos. 122`1, 1973, 2092 and 21.16 are continued in full force and effect;except as amended by this Ordinance. Section 4 . The City Clerk is hereby directed to send•a certified copy of this Ordinance to the Agency. Section 5 . If any section subsection, sentence, clause or phrase or word of this ordinance is for any reason held to be unconstitutional, unlawful or otherwise invalid by a court of competent jurisdiction, such decision shall not affect the validity of the 687265 -1 remaining portions of this ordinance. The City Council of the City of Petaluma hereby declares that'it would have passed and adopted this ordinance and each and all provisions thereof irrespective of the fact that any one or more of said provisions be declared unconstitutional, unlawful or other -wise invalid. • Council: Section 6 . This ordinance shall become effective thirty (30) days after the date of its adoption by the Petaluma City Charter. Section 7 . 'The City Clerk is hereby directed to post this ordinance for the period and 4n the manner required by the City INTRODUCED and ordered posted/published this 17th day of May, 2004. ADOPTED this day of 2004 by the following vote: AYES: NOES: ABSENT: ATTEST: City Clerk Mayor APPROVED AS TO FORM: City Attorney I 687265 -1 U Attachment 2 Ordinance Amending Community Development Project Area Redevelopment Plan 687265 -1 ORDINANCE NO. N.C.S. i ntroduced by 'Seconded by AN" ORDINANCE OF THE COUNCIL OF THE CITY OF PETALUMA BE IT ORDAINED BY THE COUNCIL OF THE CITY OF PETALUMA AS FOLLOWS: WHEREAS, the City Council of the City of Petaluma (the "City Council "), originally approved and adopted a redevelopment plan for the Community Development Project Area (the "Project Area ") on July 18, 1988, by Ordinance No. 1725 N.C.S.; and WHEREAS, the Redevelopment,-Plan was amended by Ordinance No. 1972'. N.C.S.�.adopted November 21, 1994, and by Ordinance No. 2100 N.C.S. adopted April 3, 2000 (as so amendedhereafter the "Redevelopment Plan" and W HEREAS, the Redevelopment'Plan contains .certain time limitations ,on the effectiveness of the Redevelopment Plan and the Agency's ability to receive tax increment revenue to repay Agency indebtedness incurred to carry out redevelopment activities within the Project Area; and WHEREAS, the Redevelopment Agency of the City of Petaluma, California (the "Agency "), has been designated as the official redevelopment agency in the City of.PetAima to carryout the functions and"requirements of the Community Redevelopment Law of the State'of California (Health' and Safety Code Section 33000 et seq.) and to implement.the Redevelopment. Plan; and EREA q S, effective September 1, 2003 SB 104 "5 added Section 3368.1.9 to the Health and Safety Code, pursuant to which the Agency is re uired to make a payment during the 2003 -04 fiscal year for deposit in the Sonoma County Educational Revenue ugmentation Fund and WHEREAS, SB 1045 amends Section 33333.2 of the Health and .Safety Code to provide that when a redevelopment agency is required to make' a payment pursuant to Section 33681:9 the legislative body may, by adoption of an ordinance, amend .a redevelopment plan to extend by one year" the time limit on the +:effectiveness of the plan and the time limit for repayment of agency indebtedness with tax increment funds; and WHEREAS, SB 1045 further amends Section' 33333.2 of the Health and Safety Code to provide that in adopting an ordinance pursuant to the foregoing authority, neither the legislative body nor the redevelopment agency is required to follow the procedural requirements ordinarily required for the'amendment'of _redevelopment plans. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PETALUMA, CALIFORNIA, DOES HEREBY ORDAIN AS FOLLOWS: M LO- 2029. Section 1 . ' The time limit on the effectiveness of the Redevelopment Plan shall be extended by one year to ,Txtiy 18, Section 2 : The time limit on the receipt of property taxes and repayment of 'indebtedness pursuant to Health and Safety Code section 33670 shall be extended one year to August 18, 2039. Section 3 . Ordinance Nos. 1725, 1972 and 2100 are continued in full force and effect except as amended by this Ordinance. Section 4 . The City Clerk is;hereby directed.to send a certified copy of this Ordinance to the Agency. Section 5 . If any section,.subsection, sentence, clause or phrase or word of this ordinance is for any reason held to be unc onstitutional, unlawful or otherwise. invalid b a court ourt of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this ordinance.. The City Council of the City of Petaluma hereby declares that it would have passed and adopted 687265 -1 thi's ordinance and each and all provisions thereof irrespective of the fact that any one or more of said provisions be declared unconstitutional, unlawful or otherwise invalid. Section 6 . This ordinance `shall become effective thirty (30) days after the date of its adoption b_ y. the Petaluma Cito Council. Section 7 . The City Clerk. is hereby directed to post this ordinance for the period and in the manner required by the City Charter. INTRODUCED and ordefed'posted/published this 17th day of May, 2004. ADOPTED this day of 2004 by the following vote: AYES: NOES`. ABSENT: Mayor. ATTEST: APPROVED AS TO FORM: • City Clerk City Attorney 687265 -1 Y Summary of CBD Redevelopment,Plan'Limits Prior to 5/1.7/04 Incurring Debt I Existing Area 10/27/2011 Added Area 7/18/2021 Termination Date for Use of Eminent Domain on Non- Residentiat ' 7718/2013 Prop Plan Effectiveness Existing Area 10/27/2016 (Project Activities) Added Area 7/18/2031 Tax Increment Collection /Repayment of Debt Existing Area 10/27/2026 _! Added Area 7/18/2046 F-7-7—_ Tax Increment Cap No Limit Bond Principal Indebtedness Limit __.._.. ___...:. $50,000,000 Summary of PCD Redevelopment Plan Limits Prior to.'51.17/04 • 687265 -1 Summary of CBD Redevelopment Plan Limits With Additional Year As Per SB 104,5 e 1 -•- as ' MYRNIFFIrs • • 1 Backroundlnformahonk�' r� , , °�r� Wry4PN •1 111 � • 11 T�meL�mitsUnderrAB'a ,: � �� ,�, ��� ��, � ��� I t I ai b �"1�4 ;1;�. n r � I� t� ':r a f •�r,. �' it . �,, 12 ".,r .1, a:'�m�"., 3..� Y • • • • • . / - - 111 e � - 0 :01 111 111 1 111 111 687265 -1