HomeMy WebLinkAbout2003-10-07; Housing & Redevelopment Commission; 362; Village Redevelopment Area Operations Strategy4B# 362
rllTG. 10-7-03
IEPT. H/RED
RECOMMENDED ACTION:
TITLE:
WORK PLAN FOR THE DEVELOPMENT OF A VILLAGE
REDEVELOPMENT AREA OPERATIONS STRATEGY
ADOPT Resolution No. 373 , APPROVING the Work Plan for the Development of
a Village Redevelopment Operations Strategy and authorizing staff to proceed with appropriate
actions to implement the Work Plan.
ITEM EXPLANATION:
In July of 1981, the City of Carlsbad adopted the Redevelopment Plan for the Carlsbad Village
Redevelopment Area. The Redevelopment Plan will expire on July 7, 2006.
As one of the City Council Goals for 2002-2003, a management team goal was set forth to
research the feasibility of extending the effectiveness time limit for the Redevelopment Plan
(Plan) beyond the existing July, 2006 expiration date. In order to extend the effective date of
the Plan, the Housing and Redevelopment Commission is required by Health and Safety Code
Section 33354.5 to find that sufficient blight currently exists to allow for the Plan to be
extended. Consultants from the Rosenow Spevacek Group and special legal counsel assisted
staff in conducting a feasibility study to determine if the Redevelopment Plan could be
extended and meet the required blight findings. Based on the feasibility study, it has been
determined that the Redevelopment Agency would be unable to make the necessary blight
findings to extend the effectiveness time limit for the Redevelopment Plan.
In light of the finding that it is not feasible to extend the Village Redevelopment Plan due to the
success of the redevelopment activities to date, the management goal team has prepared a
Work Plan for Development of a Village Redevelopment Area Operations Strategy (Exhibit 2)
to outline activities and required actions prior to and/or following the expiration of the
effectiveness time limit for the Redevelopment Plan. The Work Plan is divided into two
redevelopment functions: Land Use and Finance. These functions are explained in further
detail below.
Land Use
The Land Use section of the Work Plan outlines the steps that will be necessary to develop
appropriate documents to regulate land uses that are currently covered by the Carlsbad Village
Redevelopment Master Plan and Design Manual. This section will examine whether the City
should 1) continue to utilize the existing Master Plan; 2) develop a new Master Plan to guide
development in the area; 3) develop an overlay zone with development standards and other
appropriate land use regulations; or 4) to re-zone all properties in the Village Area and apply
Municipal Code regulations as appropriate.
Financial Strateqv
The Financial Strategy will develop a repayment plan for existing and potential future debt. The
Redevelopment Agency currently has existing debt of approximately $21 million for the 1993
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Tax Allocation Bonds, and debt of approximately $13 million that was previously advanced
from the City’s General Fund to the Redevelopment Agency for projects in the Village Area.
The Work Plan outlines the steps to collect documentation necessary to substantiate the
amount of debt to the City’s General Fund to be repaid by the Redevelopment Agency. The
Work Plan will also study potential new capital projects that will be of benefit to the project area
that could be undertaken prior to the expiration of the Redevelopment Plan.
Next Steps
The final land use plan and financial strategy will be returned to the Housing and
Redevelopment Commission/City Council for review and further direction. Portions of the
Financial Strategy have statutory requirements that must be acted upon prior to December 31,
2003. Therefore, this portion of the Work Plan will be the first section to be reviewed by the
Housing and Redevelopment Commission/City Council. For the Land Use section, staff will
identify recommended actions and then complete the appropriate tasks to discuss the
recommendations with the public as appropriate and then to submit the recommendations to
the Housing and Redevelopment Commission/City Council for final adoption.
Summaw
If the Commission concurs with the decision to allow the Village Redevelopment Plan to expire
due to the results of the feasibility study, staff is requesting that the Housing and
Redevelopment Commission approve the attached Work Plan that will allow for staff to begin
the necessary steps to develop the Redevelopment Operations Strategy for the Village
Redevelopment Project Area. Staff will begin efforts with the implementation of a Financial
Strategy and then proceed to the Land Use portion of the work plan.
FISCAL IMPACT:
The Work Plan will not require any additional funding outside of the current Housing and
Redevelopment Department budget. Therefore, there will be no additional fiscal impact as a
result of the Housing and Redevelopment Commission’s approval of the attached Work Plan.
EXHl BITS:
1. Housing and Redevelopment Commission Resolution No. 373 approving the Work
Plan for the Development of a Village Redevelopment Area Operations Strategy and
authorizing staff to proceed with appropriate actions to implement the Work Plan.
2. Work Plan for the Development of a Village Redevelopment Area Operations Strategy.
DEPARTMENT CONTACT: Craig Ruiz (760) 434-281 7, cruiz@ci.carlsbad.ca.us
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HOUSING AND REDEVELOPMENT COMMISSION RESOLUTION NO. 373
A RESOLUTION OF THE HOUSING AND REDEVELOPMENT
COMMISSION OF THE CITY OF CAFUSBAD, CALIFORNIA
APPROVING THE WORK PLAN FOR DEVELOPMENT OF A VILLAGE
REDEVELOPMENT AREA OPERATIONS STRATEGY AND
AUTHORIZING STAFF TO PROCEED WITH APPROPRIATE ACTIONS
TO IMPLEMENT THE WORK PLAN
WHEREAS, on July 21, 1981, the City Council and Housing and Redevelopment Commission
took the necessary actions to adopt a redevelopment plan for the Village Area; and
WHEREAS, the redevelopment plan is scheduled to expire on July 21,2006; and
WHEREAS, the Redevelopment Agency has reduced or eliminated a majority of the blighting
conditions in the Village Redevelopment Area that existed when the redevelopment plan was adopted to a
level which makes it infeasible for the Housing and Redevelopment Commission to find as required by
Health and Safety Code Section 33354.5 that sufficient blight currently exists to allow for the
redevelopment plan to be extended, and
WHEREAS, as one of the City Council goals for fiscal year 2002-2003, a work plan has been
prepared for the development of a Village Redevelopment Area Operations Strategy to determine the
actions that need to take place before and after the redevelopment plan expires.
NOW, THEREFORE, BE IT RESOLVED by the Housing and Redevelopment Commission of
the City of Carlsbad as follows:
1. The Work Plan prepared for Development of a Village Redevelopment Area Operations
Strategy, attached hereto, is hereby accepted and approved, and the Executive Director of the Carlsbad
Redevelopment Agency or designee is authorized to proceed with implementation of the subject Work
Plan.
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PASSED, APPROVED AND ADOPTED at a regular meeting of the Housing and
day of Redevelopment Commission of the City of Carlsbad, California, on the 21st
October , 2003 by the following vote, to wit:
AYES: Commissioners Lewis, Finnila, Kulchin and Packard
NOES: None
ABSENT: None
ABSTAIN: Commissioner Hall
'age 2
IRC Resolution No. 373
Exhibit 2 to AB #36;
WORK PLAN FOR DEVELOPMENT OF A
VILLAGE REDEVELOPMENT AREA OPERATIONS STRATEGY
1. Introduction
In July of 2002, the Village Redevelopment Area Strategy goal team began to research
the feasibility of extending the effectiveness time limit for the Village Redevelopment
Plan beyond the existing July, 2006 expiration date. Consultants from the Rosenow
Spevacek Group (RSG) assisted City staff in conducting the feasibility study. RSG
completed a financial analysis and a “windshield survey” of the Redevelopment Area.
Based on the results of the feasibility study, a determination has been made that the
Redevelopment Agency would be unable to make the required blight findings to allow for an extension of the Village Redevelopment Plan. Therefore, the goal team has prepared
the following work plan for development of an Operations Strategy to outline activities
and required actions prior to and/or following expiration of the effectiveness time limit for
the Village Redevelopment Plan. I
II. Development of a Redevelopment Operations Strateqv
Prior to the expiration of the Village Redevelopment Plan, the following two
redevelopment functions need to be addressed: Land Use and Finance.
A. Analyze Pros and Cons of Alternative Land Use Strategies
The Carlsbad Village Redevelopment Master Plan and Design Manual currently
serves several purposes. First, the document provides the land use regulations
and design guidelines for the area. Second, the document serves as the Local
Coastal Plan for the area.
Appropriate land use documents will need to be adopted prior to expiration of the
Redevelopment Plan. For land use regulation and development purposes, staff
will analyze the pros and cons of various alternatives including, but not limited to:
1. Continue to use the existing zoning and the Village Master Plan and
Design Manual as the regulating document, with appropriate legally
required modifications.
2. Develop a new Master Plan or Specific Plan to regulate andor guide
development in the area.
3. Develop an overlay zone with development standards and other
appropriate land use regulations.
4. Re-zone all properties in the Village Area and apply Municipal Code
regulations as appropriate.
Based on the study of the alternatives noted above, staff will identify a
recommended action and then complete the appropriate tasks to submit the
recommendation to the City Council for final adoption.
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B. Financial Strategy
As a fundamental element of redevelopment operations, General Fund debt of
approximately $1 3 million has been incurred by the Carlsbad Redevelopment
Agency over the life of the Village Redevelopment Plan. The repayment of
existing and potential future debt, in conformance with California Redevelopment
Law, will be addressed through the following steps:
1.
2.
3.
4.
5.
Determine the need for new capital projects, which would require the
Agency to incur additional debt prior to the December 31, 2003 deadline
imposed by State Redevelopment Law.
Work with the Finance Department to collect documentation necessary to
substantiate the amount of debt to the City’s General Fund to be repaid
by the Redevelopment Agency as recommended by redevelopment legal
counsel.
Work with the Finance Department to develop a debt repayment
agreement and schedule.
Ensure that the City Council and Housing and Redevelopment
Commission approve the repayment agreement and schedule by the
December 31,2003 deadline.
Work with the Finance Department to develop an annual monitoring
program to ensure that the approved repayment schedule is followed and
housing set-aside funds are administered in an effective manner.
Exhibit 2 to AB #362 2