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HomeMy WebLinkAbout75B - ORD MERGED REDEVE PLANSREQUEST FOR COUNCIL ACTION CITY COUNCIL MEETING DATE: JUNE 4, 2007 TITLE: PUBLIC HEARING - ORDINANCE AMENDING THE MERGED REDEVELOPMENT PLANS TO EXTEND CERTAIN TIME LIMITS ~~_ ITY MANAGER CLERK OF COUNCIL USE ONLY: APPROVED ^ As Recommended ^ As Amended ^ Ordinance on 1" Reading ^ Ordinance on 2ntl Reading ^ Implementing Resolution ^ Set Public Hearing For_ CONTINUED TO FILE NUMBER RECOMMENDED ACTION Adopt an ordinance extending time redevelopment plans and extending increment to repay indebtedness by and making certain required findings, limits on the effectiveness of the the time limit on the use of tax one year for eligible project areas DISCUSSION As a result of Senate Bi11 1096 (SB 1096) implementing the California State Budget for FY 2004-2005, the Community Redevelopment Agency was required to make a $3,330,894.37 payment to the County Educational Revenue Augmentation Fund (ERAF) on May 10, 2006. SB 1096 also included a provision that allows the legislative body to adopt an ordinance to amend the redevelopment plan extending the time limit on the use of tax increment to repay indebtedness and extend the plan effectiveness by one year for a redevelopment agency making an ERAF payment. For Redevelopment Plans with 10 to 20 years remaining, the legislation requires that the legislative body finds that the Agency is in compliance with the major housing requirements. These include the requirement to deposit twenty percent of the gross tax increment into the housing set- aside fund, the adoption of a housing implementation plan, compliance with housing replacement and inclusionary obligations, and certification that no excess surplus exists. Redevelopment plans with 20 years or more remaining cannot be extended. 75B-1 P. H. - Ordinance Amending the Merged Redevelopment Plans to Extend Certain Time Limits June 4, 2007 Page 2 The City of Santa Ana has a merged redevelopment project area consisting of Central City, Inter-City, North Harbor, South Harbor, South Main and Bristol Corridor. The following time limits are proposed for amendment: TIME LIMIT ON TIME LIMIT ON TIME LIMIT ON TII~ZE LIMIT ON PLAN PLAN PLAN RECEIPT OF TALC RECEIPT OF TAX EFFECTIVENESS EFFECTIVENESS INCREMENT INCREMENT (CURRENT DATE) (PROPOSED (CURRENT DATE) (PROPOSED DATE) DATE) Central City July 2, 2015 July 2, 2016 July 2, 2025 July 2, 2026 Inter-City July 6, 2024 July 6, 2025 July 6, 2034 July 6, 2035 North Harbor July 6, 2024 July 6, 2025 July 6, 2034 July 6, 2035 South Harbor July 6, 2029 July 6, 2025 July 6, 2034 July 6, 2035 South Main July 6, 2029 July 6, 2025 July 6, 2034 July 6, 2035 *Bristol December 4, December 4, December 4, December 4, 2030 2030 2040 2040 *Not eligible for one year extension under SB1096. Notice of this public hearing was mailed to the governing body of each affected taxing entity on May 3, 2007, or prior to the first reading of the proposed ordinance on June 4, 2007, and published in the Orange County Register on May 24, 2007, 10 days prior to the hearing. FISCAL IMPACT There is no fiscal impact associated with this action. J ~~ Ste en G. Ha ding Deputy City nager for Development Services Community Development Agency SGH/NTE/mlr H:\ACTIONS\2007 CC\P. H. OrdAmendMergedRe devPlanExtCertTimeLimts 6-9-07.doc 75B-2 5/24/07 LES ORDINANCE NO. NS- AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA ANA AMENDING THE MERGED REDEVELOPMENT PLANS TO EXTEND CERTAIN TIME LIMITS AND MAKING CERTAIN REQUIRED FINDINGS THE CITY COUNCIL OF THE CITY OF SANTA ANA DOES ORDAIN AS FOLLOWS: Section 1. The City Council of the City of Santa Ana hereby finds, determines and declares as follows: A. As a result of Senate Bill 1096 (SB 1096) implementing the California State Budget for fiscal year 2004-2005, the Community Redevelopment Agency ("Agency")was required to make a $3,330,894.37 payment to the County Educational Revenue Augmentation Fund ("ERAF") by May 10, 2006. B. The legislation also included a provision that allows the legislative body to adopt an ordinance to amend the redevelopment plan extending the time limit on the use of tax increment to repay indebtedness and extend the plan effectiveness by one year for a redevelopment agency making an ERAF payment. C. For Redevelopment Plans with 10 to 20 years remaining, the legislation requires that the legislative body find that the Agency is in compliance with the major housing requirements. These include the requirement to deposit 20% of the gross tax increment into the housing set-aside fund, the adoption of a housing implementation plan, compliance with housing replacement and inclusionary obligations, and certification that no excess surplus exists. Plans with 20 years or more remaining cannot be extended. D. The City of Santa Ana has a merged redevelopment project area consisting of Central City, Inter-City, North Harbor, South Harbor, South Main and Bristol Corridor. 75B-3 Section 2. The following time limits are proposed for amendment: TIME LIMIT ON TIME LIMIT ON TIME LIMIT TIME LIMIT PLAN PLAN PLAN ON RECEIPT ON RECEIPT EFFECTIVENESS EFFECTIVENESS OF TAX OF TAX (CURRENT {PROPOSED INCREMENT INCREMENT DATE) DATE) (CURRENT (PROPOSED DATE DATE Central July 2, 2015 July 2, 2016 July 2, 2025 July 2, 2026 Cit Inter-Cit Jul 6, 2024 Jul 6, 2025 Jul 6, 2034 Jul 6, 2035 North July 6, 2024 July 6, 2025 July 6, 2034 July 6, 2035 Harbor South July 6, 2024 July 6, 2025 July 6, 2034 July 6, 2035 Harbor South July 6, 2024 July 6, 2025 July 6, 2034 July 6, 2035 Main "Bristol December 4, 2030 December 4, 2030 December 4, December 4, 2040 2040 *Not eligible for one year extension under SB1096. Section 3. Notice of the public hearing was mailed to the governing body of each affected taxing entity thirty days prior to the first reading of the proposed ordinance and published as required by law, ten days prior to the hearing. Section 4. If any sections, subsections, sentences, clauses, phrases or portions of this Ordinance are for any reason held invalid or unconstitutional, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council hereby declares that it would have passed this and each section, subsection, sentence, clause, phrase or portion of this Ordinance whether or not any one or more sections, subsections, sentences, clauses, phrases or portions may be declared invalid or unconstitutional on their face or as applied. 2 75B-4 ADOPTED this day of , 2007 Miguel A. Pulido Mayor APPROVED AS TO FORM: Joseph W. Fletcher, City Attorney By: Lisa E. Storck Assistant City Attorney AYES: Councilmembers NOES: Councilmembers ABSTAIN: Councilmembers NOT PRESENT: Councilmembers CERTIFICATE OF ATTESTATION AND ORIGINALITY I, PATRICIA E. HEALY, Clerk of the Council, do hereby attest to and certify that the attached Ordinance No. NS- to be the original ordinance adopted by the City Council of the City of Santa Ana on ,and that said ordinance was published in accordance with the Charter of the City of Santa Ana. Date: Clerk of the Council City of Santa Ana 3 75B-5 75B-6