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HomeMy WebLinkAboutRDA Minutes 042899n Approved as submitted DATE: 05/25/99 MINUTES REDEVELOPMENT AGENCY WORKSHOP WEDNESDAY, APRIL 28,1999 Chairman Johnson called the Workshop to order at 7:02 p.m. and Board Member Luna led the Pledge of Allegiance. ROLL CALL: Present: Board Members Arrambide, Clay, Lerno, Luna and Chairman Johnson Absent: None Others Present: Board Secretary Marcia Torgerson Staff Present: Executive Director Wade McKinney, Community and Economic Director Paul Saldana, and City Attorney Roy Hanley. INTRODUCTION: Executive Director Wade McKinney explained how the workshop would proceed. HISTORY OF REDEVELOPMENT IN ATASCADERO: •. Agency established in 1986 no plan or project area • Historic timeline where redevelopment has surfaced • Council goal workshop with Don Duckworth and the last two annual Strategic Plans • Strategic Plan goals cited redevelopment as an action plan for the Downtown and Funding City Services priorities. Mr. McKinney gave a history of redevelopment in Atascadero as follows: March 27, 1986 City Council and Planning Commission hold joint meeting to discuss redevelopment, the process and implementation, with a focus on downtown. May 12, 1986 City Council adopt Ordinance 130 establishing the Redevelopment Agency and declaring that the City Council will act as the Agency. RA Workshop 4/28/99 Page 1 of 8 Approved as submitted DATE: 05/25/99 March 16, 1990 City Council receives Redevelopment Feasibility Report by John Deweerd which discuss the basic law of redevelopment identification of specific areas in Atascadero that may qualify for redevelopment Jan. 14, 1992 Land Use Element of the general Plan adopted with an implementation program that encourages the investigation of redevelopment as a "tool to implement the general plan". (Resolution 1-92) December 1992 City's Economic Roundtable "Downtown revitalization Committee" completes Redevelopment Study that recommends that a redevelopment Agency should be pursued. And outline a number of issues that would need to be addressed in the process. December 14, 1993 City Council approves Fiscal Element of the General Plan which identifies an implementation program for the City to: consider the creation of a redevelopment district" to fund improvements "to City Hall, to streets and drainage infrastructure and to enhance commercial properties". (Resolution 115-93) March 31, 1994 City Council Holds Workshop to discuss the basics of redevelopment law and the advantages and disadvantages of redevelopment. September 12. 1995 City Council approves Economic Development Element of the General Plan listing implantation of a redevelopment agency as a "mechanism to promote its (City) economic success and obtain finding for economic development programs". February 26. 1997 City Council holds priority -planning workshop, which develops, as a vision statement, "an effective redevelopment program has been implemented, focusing on downtown and "brownfield" areas. February 17-18, 1998 City Council holds strategic planning session, which prioritizes downtown revitalization as a top priority of the council, and that implementation is important tool for downtown revitalization and "funding city services". May 12, 1998 City Council receives report on the establishment of the Redevelopment Agency and directs staff to complete the "activation" of the redevelopment agency Mqy 26, 1998 City Council, acting as the Agency, adopt By-laws that set the meeting date and other organizational functions. (Resolution RA 1998-001) RA Workshop 4/28/99 Page 2 of 8 Approved as submitted DATE: 05/25/99 �%ft"` June 23, 1998 City Council establishes a survey area, consisting of all property in the USL and all Property within the City east of Highway 101, for the purpose of establishing a project area (Resolution 1998-029) City Council approves City Budget for Fiscal Year 1998-99 that allocates a "loan" from the Wastewater Fund to the redevelopment Agency Agency Board adopts Agency Budget for Fiscal Year 1998-99 (resolution RA 1998-002) July 28, 1998 Agency Board adopts CEQA Guidelines (RA 1998-003) Agency Board authorizes a contract with Quad Knopf for the preparation of the Redevelopment Plan. September 8, 1998 Agency Board receives report on the scheduling of the redevelopment process and the items involved in the plan creation process. Board directs staff to provide public education so residents understand the redevelopment law. December 1, 1998 Planning Commission selects the redevelopment project area boundaries and approves Preliminary Redevelopment Plan. (Resolution PC 1998-040) December 8, 1998 Agency Board adopts Preliminary Redevelopment Plan (Resolution 1998-003) PUBLIC COMMENT Eric Greening, 6600 Lewis Ave., asked that the Agency address throughout the evening how redevelopment will affect Atascadero if there is a recession. Mayor Johnson asked the staff to make note of and comply with the request. Ann Quinn, 7200 Toro Creek Road, a reporter for the Atascadero News. She reported to the public that the article in the paper today was incorrect. She had reported a $100 million budget for this year and that figure was really for the life of the redevelopment plan. Chairman Johnson closed the Public Comment period. RA Workshop 4/28/99 Page 3 of 8 Approved as submitted DATE: 05/25/99 WHAT WE HOPE TO ACCOMPLISH WITH REDEVELOPMENT: • Upgrade of the Civic Center Area and revitalization of the downtown. • Assistance to projects to help attract new employment opportunities and resultant income and economic activity to the project area and City of Atascadero. • Improvement and revitalization of the community's service commercial and industrial areas. • Improvement of traffic circulation throughout the project area including better access to developable properties. • Improvement of local housing stock and provision of very low, low- and moderate income housing opportunities. • Creation/enhancement of recreational and cultural opportunities available to the residents of the Project Area and of the community at large • Improvement of infrastructure including street pavement, curb, gutter, sidewalk, sewer, water and storm drainage. Mr. McKinney presented the goals hoped to be accomplished by Redevelopment. PUBLIC COMMENT David Graham, 7350 Santa Ysabel, asked where the tax increment would come from to pay for projects. Mr. McKinney explained that the projects that do develop tax increment would pay for all projects. Raymond Jansen, 6655 Country Club Drive, asked why the Vons remodel is a top priority when it isn't in the Downtown. Mr. McKinney explained that the Vons project applied as a private project to the City. The City has a responsibility to respond to all applications. Rush Kolemaine, P.O. Box 1990, asked how much of the $30 million could be offset with grant fiends. Mr. McKinney answered that there is very little chance of grant funds offsetting redevelopment funds. Mr. Kolemaine asked if funding for the library included the funds to be received from the county. Mr. McKinney affirmed that the cost shown did not include the finds to be received from the county and Friends of the Library. Alan Thomas, 9520 Marchant Way, asked how much of the budgeted monies for redevelopment will be coming back as tax increment vs. borrowed money. Mr. McKinney said that all of the money would be tax increment money. Eric Greening, 6600 Lewis Ave., asked how housing would be dealt with: would a good house be forced into redevelopment because the neighborhood is blighted? Mr. McKinney said that Atascadero would not condemn any neighborhoods. John McGoff, 9192 Maple St., asked for clarification of the impact on housing for the redevelopment plan. Mr. McKinney explained the distribution of the funds for housing. Mike Ryan, 51" District Supervisor SLO County, stated that the County's concern is the tax increment that would normally go to the County and will now be going to the City. They are also concerned with the health of the cities in the County. RA Workshop 4/28/99 Page 4 of 8 Approved as submitted DATE: 05/25/99 John McGoff, 9192 Maple St., asked Mr. Ryan if he was aware that of the $51 million that the County will use over the life of this project, only $16 million would be returned. Mr. Ryan stated that he was aware the County would see a decrease in percentage return, however, the redevelopment will, over the long course, create higher returns for the County. Eric Greening, 6600 Lewis Ave., asked whether the $51 million takes in account the realignment that back fills the schools from local government or would that be an additional hit. Mr. McKinney stated that there would be no hit. Dennis Schmidt, 8675 Santa Rosa Road, stated that the EIR depends on the previous EIR and other documents. He suggested that we also have to look at the project area to gain information. Chairman Johnson closed the Public Comment period. Board Member Luna asked if the RDA and the Downtown plan are on a parallel five-year time- line. Community and Economic Director Paul Saldana confirmed the time -lines are parallel. FINANCING REDEVELOPMENT: • Tax Increment financing • Financial tools • How an issuance works • Caps on debt • Who is responsible Mr. McKinney explained in detail the issue of financing a Redevelopment Plan. Board Member Luna, using overheads, showed the different incomes to taxing agencies between redevelopment and without redevelopment. PUBLIC COMMENT Alan Thomas, 9520 Marchant Way, asked how much growth would need to take place to make redevelopment successful. Mr. McKinney answered that as improvements take place, all property values are improved. The estimated 2.2% growth rate will continue, not increase. John McGoff, 9192 Maple St., asked about funds the Agency can borrow per year. Mr. McKinney explained that the City cannot borrow more than the tax increment will cover. Board Member Luna asked that there be wording in the implementation plan to protect the General Fund from being raided by the Agency. Jennifer Hageman, 8005 Santa Lucia, asked who pays the costs of selling the bonds. Mr. McKinney answered that the Agency would pay those costs. She also asked for clarification of the discussion of the improvement of property values. Mr. McKinney explained that is the RA Workshop 4/28/99 Page 5 of 8 Approved as submitted DATE: 05/25/99 property is reassessed (whether for market or expansions/improvements), and the new value would represent the improvement of property value. Sara Rah, 6407 Portola Road, stated that the California Main St. Program records the dollars invested in the program and the return on investment. She asked if the Redevelopment Agency has a similar comparison. Mr. McKinney stated that he did not know the answer and neither did Mr. Saldana. Chairman Johnson closed the Public Comment period Board Members Arrambide and Clay stated that the Agency would not get the bonds unless they can be paid off. Mr. McKinney confirmed the statement to be true. Chairman Johnson called for a 10 -minute recess from 8: SS p.m. to 9:05 p.m. THE PROCESS AND HOW IT WORKS: • What has occurred Next steps Mailings and notices Community and Economic Director Paul Saldana gave a detailed explanation about the process of redevelopment. PUBLIC COMMENT Donna Porter, 5095 Sycamore Road, manager of No. County Christian Thrift Shop, stated that she's concerned about what she read in the newspaper. She read that the Redevelopment Agency might want to move thrift shops out of the Downtown. Mr. McKinney explained that there are many ideas being discussed for the Downtown but none are set yet. Rush Kolemaine, P.O. Box 1990, asked Mr. Saldana to explain the maps on display. John McGoff, 9192 Maple St., asked for clarification of the time -line. Mike Ryan, 5th District Supervisor SLO County, explained what the County is reviewing concerning blight and tax increment. Chairman Johnson closed the Public Comment period RA Workshop 4/28/99 Page 6 of 8 Approved as submitted DATE: 05/25/99 PUBLIC PARTICIPATION: • Now that we have a project area we will begin neighborhood meetings • Continued public meetings • Newsletter • Town Hall meeting • Required Public Hearings • Meeting times Community and Economic Director Paul Saldana explained the process of public participation. PUBLIC COMMENT: None BLIGHT: • What is the definition • How is it used • What is the impact on your property • What disclosure is required Community and Economic Director Paul Saldana explained what qualifies an area to be considered blight. PUBLIC COMMENT John McGoff, 9192 Maple St., asked for clarification on the irregular lot issue. Mr. Saldana replied that many of the irregular lots shown are commercial. He stated that this would allow for owner participation when deciding the future of the lot. Chairman Johnson closed the Public Comment period. EMINENT DOMAIN: • What the law allows • How it works • Why it is used • Options • What we are proposing Mr. McKinney explained the use of eminent domain. PUBLIC COMMENT: None RA Workshop 4/28/99 Page 7 of 8 Approved as submitted DATE: 05/25/99 PRIVATE PROJECTS: How can an agency be involved Are there any private involvement projects currently contemplated? How will projects be assessed? Community and Economic Director Paul Saldaiia explained the involvement the Agency has in private projects and the current status of the any private projects. PUBLIC COMMENT: None ADJOURNMENT: Chairman Johnson adjourned the Workshop Session at10:35 p.m. to the next Regular Session scheduled on May 11, 1999. MEETING RECORDED BY: LIW4;'-Ar V�4m�- Marcia McClure Torgerson, City glerk MEETING MINUTES PREPARED BY: Melanie Whaley, Deputy City Cle RA Workshop 4/28/99 Page 8 of 8