HomeMy WebLinkAboutReso 1996-18196 COUNCIL RESOLUTION 18196
(Agency Resolution 1484)
JOINT RESOLUTION OF THE CITY COUNCIL/REDEVELOPMENT
AGENCY OF THE CITY OF CHULA VISTA ESTABLISHING THE
FUNDING LEVEL FROM REDEVELOPMENT TAX INCREMENT
REVENUE AT 31.63 PERCENT FOR THE CITY'S ECONOMIC
DEVELOPMENT PROGRAM FOR FISCAL YEAR 1995-96, AND
ESTABLISHING A RETROACTIVE FUNDING LEVEL FROM
REDEVELOPMENT TAX INCREMENT REVENUE AT 38,53
PERCENT FOR FISCAL YEARS 1989-90 THROUGH 1994-95
WHEREAS, as part of the 1994-95 mid-year budget report, staff identified a necessary
task of re-evaluating the appropriate level of funding for the city's economic development
program from redevelopment agency tax increment revenue; and
WHEREAS, this re-evaluation was necessary in light of the passage of AB 1290 (Health
and Safety Code Section 33490, effective January 1,1994) which strengthened and clarified
existing law relative to establishing a nexus between "extra-territorial" spending of tax
increment revenue and the elimination of blight within the respective project areas; and
WHEREAS, AB 1290 required, for the first time, Project Area Implementation Plans to
be adopted every five years in order to demonstrate and document the nexus between
redevelopment project areas' expenditures and the elimination of blight within the respective
project areas; and
WHEREAS, the redevelopment agency is reimbursing the city's general fund for 65
percent of the cost for the economic development program for fiscal year 1995-96; and
WHEREAS, the redevelopment agency reimbursed the city's general fund for 85
percent of the cost for the economic development program for fiscal year 1991-92 through
fiscal year 1994-95; and
WHEREAS, the redevelopment agency reimbursed the city's general fund for 75
percent of the cost for the economic development program for fiscal year 1989-90.
NOW THEREFORE, THE CITY COUNCIL/REDEVELOPMENT AGENCY OF THE CITY OF
CHULA VISTA does hereby find, order, determine and resolve as follows:
1. To establish the funding level from redevelopment tax increment revenue at
31.63 percent for the current fiscal year (FY 95-96).
2. To establish the funding level from redevelopment tax increment revenue,
retroactively, at 38.53 percent for fiscal year 1989-90 through fiscal year 1994-95.
3. To authorize city and agency staff to take all necessary and appropriate steps
to reduce the agency's economic development program budget obligation for fiscal year 1995-
96 to the general fund by S214,447 to a total of $203,265.
Resolution 18196
Page 2
4. To authorize city and agency staff to take all necessary and appropriate etepa
to reduce the agency's economic development program budget obligation for fiscal year 1989-
90 through fiscal year 1994-95 to the general fund by 61 ,162,278 (not including interest) by
making the below listed five adjustments:
[1] Record a loan from the general fund to Southwest in the amount of
6229,353.
[2] Retire long-term debt owed by Otay Valley Road (OVR) to the general
fund paid on behalf of Otay Valley by Town Centre I (TC I) in the amount of 6415,476
(which will result in shifting debt that currently is owed by OVR to the general fund
and shifting it so that OVR will owe it to Bayfront/TC I.
[31 Retire long-term debt owed by QVR to the general fund as paid on behalf
of OVR by Bayfront in the amount of $818,912, Result is the same "shifting" as
described in [2] above.
[4] Retire long-term debt from Town Centre II to the general fund in the
amount of 6117,808.
[5] Retire long-term debt from QVR to the general fund in the amount of
639,434.
Presented by
Chris Salomone / { Bruce M. Boogaard
Community Development Director City Attorney/Agen I
Resolution 18196
Page 3
PASSED, APPROVED, and ADOPTED by the city council of the City of Chula Vista,
California, this 20th day of February, 1996, by the following vote:
AYES: Councilmembers: Alevy, Moot, Padilia, Rindone, Horton
NAYES: Councilmembers: None
ABSENT: Councilmembers: None
ABSTAIN: Councilmembers: None
S~y Hotton, Mayor
ATTEST:
· Authelet, City Clerk
STATE OF CALIFORNIA )
COUNTY OF SAN DIEGO ) ss.
CITY OF CHULA VISTA )
I, Beverly A. Authelet, City Clerk of the City of Chula Vista, California, do hereby certify that
the foregoing Resolution No. 18196 was duly passed, approved, and adopted by the City
Council at a regular meeting of the Chula Vista City Council held on the 20th day of February,
1996.
Executed this 20th day of February, 1996.
~Authelet, City Clerk