HomeMy WebLinkAbout2005-04-05; City Council; 18060; Amend Village Area Redevelopment Plan To Extend20
AB# 18,060
MTG. 4/5/05
DEPT. Hsn & Red
CITY OF CARLSBAD - AGENDA BILL
TITLE:
Amendment to Carlsbad Village Area Redevelopment
Plan to Extend Effectiveness Time Limit
CITY ATTY. 32%
CITY MGR
RECOMMENDED ACTION:
INTRODUCE Ordinance No. NS-751, amending the Carlsbad Village Area Redevelopment Plan to
extend certain time limits.
ITEM EXPLANATION:
In 1981, the Carlsbad City Council (“City Council”) adopted the Carlsbad Village Area
Redevelopment Plan (“Village Redevelopment Plan”). The Village Redevelopment Plan provides the
framework for all of the activities undertaken by the Carlsbad Redevelopment Commission
(“Commission”). The original Village Redevelopment Plan was effective for 25-years (until July 7,
2006).
Over the last several years the State of California (“State”) has experienced significant budget
shortfalls and the Legislature has elected to take funds from all redevelopment agencies throughout
the State to fill a portion of the shortfall on two occasions. Originally, Senate Bill 1045 (“SB 1045”)
required each redevelopment agency make a special one-time payment in an amount determined by
the State Director of Finance to the County Auditor for deposit in the Education Revenue
Augmentation Fund (“ERAF”).
In an effort to reduce the financial impact to the redevelopment agencies, SB 1045 included language
that allows a redevelopment agency to extend the effective date of their respective redevelopment
plans by one (1) year. On December 2, 2003 the City Council extended the redevelopment plans for
both the Carlsbad Village and the South Carlsbad Coastal redevelopment areas by one year, or until
July 7, 2007 and August 17, 2031 respectively. By extending the effectiveness date, a redevelopment
agency will have one additional year to collect tax increment for its programs and projects. The
Legislature believed this action would allow a redevelopment agency to recoup some or all of the
funding lost through the State budget process.
Due to continued budget shortfalls the Legislature has again elected to take funds from all
redevelopment agencies throughout the State to fill a portion of the shortfall. Senate Bill 1096 (“SB
1096”) requires each redevelopment agency make two special payments on May 10, 2005 and 2006
for the fiscal years 2004-05 and 2005-06 respectively. The amount will be determined by the State
Director of Finance and will be made with the County Auditor for deposit in the ERAF. SB 1096
allows some agencies that are required to make an ERAF payment to extend redevelopment plans by
one year for each of the two ERAF payments made. The Village Redevelopment Area is eligible for
the additional time extensions because it has less than 10 years remaining for its effectiveness. The
SCCRA is not eligible for the extensions because it has more than 20 years remaining for its
effectiveness.
By adopting the attached ordinance, the City Council will extend the effectiveness date of the Village
Redevelopment Plan until July 7, 2009. Under normal circumstances, amending a redevelopment
PAGE 2 OF AGENDA BILL NO. 18,060
plan is quite complex and time consuming, but SB 1096 simplifies the extension process for eligible
redevelopment plans.
SB 1096 only requires that the affected taxing agencies be notified, of the two year extension, at least
30 days prior to the public hearing. It also requires that a notice be published at least 10 days prior to
the date of the public hearing to consider the ordinance.
Based upon the above facts, staff recommends approval of the attached proposed ordinance.
ENVIRONMENTAL REVIEW
In 1981, the City Council certified Environmental Impact Report 567 for the Village Redevelopment
Plan. The extension of the effectiveness date will not result in any changes to the Village
Redevelopment Plan. Therefore, no further environmental review is required.
FISCAL IMPACT
For fiscal years 2004-05 and 2005-06, it is estimated that the Village Redevelopment Area will make
payments of $502,000 and the South Carlsbad Coast Redevelopment Area (“SCCRA”) will make
payments of $41,000 respectively into the ERAF. The two year extension of the Village
Redevelopment Plan allows the Commission two additional years to collect tax increment revenue to
retire post 1994 debt while continuing to receive tax increment revenue after the two year 1096
extension to retire the pre-1994 debt. The extension of the Village Redevelopment Plan will allow
the Commission to recover costs that were not received due to the payments required by SB 1096.
SB 1096 also exempts redevelopment agencies that elect to extend their redevelopment plans from
the requirement of revising existing tax sharing agreements with other taxing entities as is currently
required by redevelopment law. Therefore, there will be no impact to the City’s General Fund.
EXHIBITS:
1. City Council Ordinance No. NS-751, APPROVING an Ordinance of the City Council of the
City of Carlsbad, amending the Carlsbad Village Area Redevelopment Plan to extend certain time
limits.
DEPARTMENT CONTACT: Debbie Fountain, (760) 434-2935 or dfoun @ci.carlsbad.ca.us
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CITY COUNCIL ORDINANCE NO. NS-751
AN ORDINANCE OF THE CARLSBAD CITY COUNCIL,
AMENDING THE CARLSBAD VILLAGE AREA
REDEVELOPMENT PLAN TO EXTEND CERTAIN TIME
LIMITS PURSUANT TO SENATE BILL 1096 AS CODIFIED IN
HEALTH AND SAFETY CODE SECTION 33333.6
WHEREAS, the City Council of the City of Carlsbad (“City Council)
adopted Ordinance No. 9591 on July 7, 1981, approving and adopting the Carlsbad Village
Redevelopment Plan (hereinafter referred to as the “Redevelopment Plan”); and
WHEREAS, Health and Safety Code Section 33333.6 applies to every
redevelopment plan adopted on or before December 3 1,1993; and
WHEREAS, Section 33333,6(e)(2)(D)(i) of the Health and Safety Code as enacted
by Senate Bill 1096 provides that when an agencykommission is required to make a payment to
the Educational Revenue Augmentation Fund during fiscal years 2004-05 and 2005-06 pursuant to
Section 33681.12, the legislative body may extend the effectiveness of the redevelopment plan by
up to two years, provided the City Council can make certain findings.
WHEREAS, the City Council desires to amend the Redevelopment Plan pursuant to the
authority granted in Section 33333.6(e)(2)(D)(i) to receive funds used to make payments to the Educational
Revenue Augmentation Fund that would have otherwise been used to pay for the costs of projects and
xtivities necessary to carry out the goals and objectives of the Redevelopment plan; and
WHEREAS, the time limit for the effectiveness of the Redevelopment Plan is July 7, 2007,
which is less than 10 years from the last day in fiscal years 2004-05 and 2005-06 in which the payment
Yequired by Section 33681.12 of the Health and Safety Code must be made; and
WHEREAS, the Carlsbad Housing and Redevelopment Commission
:“Commission”) is in compliance with the requirements of Section 33334.6(c), which generally
requires that not less than 20 percent of the taxes allocated to the Commission beginning in fiscal
1985-86 be used to increase, improve and preserve the community’s supply of affordable housing;
ind
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WHEREAS, the Commission has adopted an implementation plan in accordance
with the requirements of Section 33490 of the Health and Safety Code on December 14, 1999
(“Implementation Plan”) ; and
WHEREAS, as demonstrated in the Implementation Plan, the Commission is in
compliance with Section 33413 of the Health and Safety Code; and
WHEREAS, the Commission is not subject to sanctions pursuant to subdivision (e)
of Section 33334.12 for the failure to expend, encumber, or disburse an excess surplus; and
WHEREAS, pursuant to Section 33333.6(e)(3)(A), a public hearing has been
conducted and duly noticed.
NOW, THEREFORE, the City Council of the City of Carlsbad, California
does ordain as follows:
SECTION 1. Amendment of the Redevelopment Plan for the Carlsbad
Village Redevelopment Project. In accordance with Health and Safety Code Section
33333.6(e)(2)(D)(i), and notwithstanding any other provision in the Redevelopment Plan,
the City Council hereby amends the Redevelopment Plan as stated herein by adoption of
this Ordinance, and establishes the following limitations, subject to all other provisions of
this Ordinance:
A. In accordance with Health and Safety Code Section
33333.6(e)(2)(D)(i), the effectiveness of the Redevelopment Plan shall terminate July 7,
2009, after which time the Commission shall have no authority to act pursuant to the
Redevelopment Plan, except to pay previously incurred indebtedness, to enforce existing
covenants, contracts, unless the Commission has not completed its housing obligations
pursuant to subdivision (a) of Health and Safety Code Section 33333.8, including its ability
to incur and pay indebtedness for this purpose, and shall use this authority to complete
these housing obligations as soon as it is reasonably possible.
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B. In accordance with Health and Safety Code Section
33333.6(e)(2)(D)(i), except as provided in subdivisions (g) and (h) of Health and Safety
Code Section 33333.6, the Commission shall not pay indebtedness or receive property
taxes pursuant to Health and Safety Code Section 33670 after ten (10) years from the
termination of the effectiveness of the Redevelopment Plan pursuant to Paragraph B.,
above (July 7,2019).
Section 2. Application. The limitations established by this Ordinance shall apply to the
Carlsbad Village Redevelopment Project and may only be amended in the manner required
and to the extent permitted by law.
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;ection 3. If any provisions of this Ordinance or the
ipplication thereof is held to be invalid for any reason, the remainder of this Ordinance and
he application of provisions thereof shall not be affected thereby.
Ser>arability of Provisions.
EFFECTIVE DATE: This Ordinance shall be effective thirty (30) days after its
idoption and the City Clerk, City of Carlsbad, shall certify to the adoption of this
lrdinance and cause it to be published at least once in a newspaper of general circulation
n the City of Carlsbad within fifteen (15) days after its adoption.
INTRODUCED AND FIRST READ at a regular meeting of said City Council
ield on the5a day of April ,2005, and thereafter,
PASSED, APPROVED AND ADOPTED at a regular meeting of the Carlsbad
Zity Council held on the - day of ,2005 by the following vote, to wit:
AYES:
NOES:
ABSENT.:
CLAUDE A. LEWIS, Mayor
4TTEST:
LORRAINE M. WOOD, City Clerk
4PPROVED AS TO FORM AND LEGALITY:
3ONALD R. BALL, City Attorney
A
PROOF OF PUBLICATION
(2010 6% 2011 C.C.P.)
STATE OF CALIFORNIA
County of San Diego
I am a citizen of the United States and a resident of
the County aforesaid: I am over the age of eighteen
years and not a party to or interested in the above-
entitled matter. I am the principal clerk of the
printer of
North County Times
Formerly known as the Blade-Citizen and The
Times-Advocate and which newspapers have been
adjudicated newspapers of general circulation by
the Superior Court of the County of San Diego,
State of California, for the City of Oceanside and
the City of Escondido, Court Decree number
171349, for the County of San Diego, that the
notice of which the annexed is a printed copy (set
in type not smaller than nonpariel), has been
published in each regular and entire issue of said
newspaper and not in any supplement thereof on
the following dates, to-wit:
March 25'h , 2005
I certify (or declare) under penalty of perjury that
the foregoing is true and correct.
This space is for the County Clerk's Filing Stamp
Proof of Publication of
Dated at SAN MARCOS California
This 25'h Day of March, 2005
/-
Signature
Jane Olson
NORTH COUNTY TIMES
Legal Advertising
NOTICE OF PUBLIC HEARING
OF THE CITY COUNCIL OF THE CITY OF CARLBAD
FOR THE PROPOSED AMENDMENT TO THE REDEVELOPMENT PLAN
FOR THE VILLAGE REDEVELOPMENT PROJECT AREA
NOTICE IS HEREBY GIVEN that a public hearing will be held by the City Council of the
City of Carlsbad (“City Council”) at the Council Chambers of the City of Carlsbad, 1200
Carlsbad Village Drive, Carlsbad, California, on April 5, 2005, at 6:OO p.m., or as soon as
possible thereafter, to consider the proposed Amendment (“Amendment“) to the
Redevelopment Plan for the Village Redevelopment Project Area. If adopted, the Amendment
would extend the duration of the Redevelopment Plan by two years pursuant to Section
33333.6 (e) (2) (D)(i) of the California Community Redevelopment Law, Health and Safety Code
Section 33000 et seq., (as authorized by Senate Bill 1096).
At the public hearing, the City Council will consider all evidence and testimony for and
against the Amendment. All persons having any objections to the Amendment may appear
before the City Council and show cause why the Amendment should not be adopted. If unable
to attend the public hearing, written comments on any aspect of the proposed Amendment are
invited and should be addressed to Debbie Fountain, Director of the Carlsbad Housing and
Redevelopment Department, 2965 Roosevelt St., Suite B, Carlsbad, CA 92008-2389.
You may also visit the Carlsbad Housing and Redevelopment Development at the same
address noted above between the hours of 7:30 a.m. and 530 p.m. on weekdays, telephone
(760) 434-2810 or e-mail dfoun@ci.carlsbad.ca.us.
If you plan to attend the public hearing and need a special accommodation because of a
sensory or mobility impairmenffdisability, please contact the City Clerk’s office at (760) 434-
2808 to arrange for those accommodations to be made.
ISABELLE PAULSEN, CMC
Deputy Clerk
PUBLISH: March 25, 2005