HomeMy WebLinkAboutAgenda Statement 1985/04/16 Item 12 COUNCIL AGENDA STATEMENT
Item 12
Meeting Date 4/16/85
ITEM TITLE: Resolution // 7;6/Making certain findings relative to the
proposed State enterprise zone areas and authorizing the
submission of the enterprise zone ''application
SUBMITTED BY: Community Development DirectorC
�� 4VSths Vote: Yes No x )
REVIEWED BY: City Manager ,2
At its March 19, 1985, meeting, the City Council directed staff to prepare an
application for assistance under the State-sponsored enterprise zone program.
The proposed enterprise zone areas are the Otay Valley Road industrial area
and the proposed Bayfront tourist-commercial area. Prior to submission of the
application to the State by April 17, 1985, the City must make certain
findings relative to these areas.
RECOMMENDATION: That the City Council find that the application areas are
depressed and that designation of those areas as enterprise zones is necessary
in order to assist in attracting private sector investment, and authorize
submission of the application to the State.
BOARDS/COMMISSIONS RECOMMENDATION: The Downtown Committee believes that the
program would be of greater benefit to developing or undeveloped areas and
would not be of great advantage to small business and merchants in the Town
Centre area.
The Otay Valley Road Project Area Committee is supportive of the inclusion of
the project area in an application to the State.
DISCUSSION:
The State Department of Commerce has demarcated eligible areas for proposed
enterprise zone applications throughout the State. Under State guidelines, if
a jurisdiction has an eligible area, it may apply to establish a commercial
area and/or an industrial area as a sanctioned enterprise zone. The
commercial area must be within or directly contiguous to the eligible area.
The industrial area may be within or outside the eligible area. However, if
the industrial area is outside the eligible area, it must be in close
proximity so that residents of the eligible area may reasonably be expected to
find employment in the industrial area.
In consideration of our eligible areas and the requirements of the State,
staff has selected the proposed commercial area adjacent to Tidelands Avenue
within the Bayfront Redevelopment project area, and the Otay Valley
Redevelopment project area (with the exception of the County landfill ) as the
industrial area. The proposed Bayfront commercial area adjacent Tidelands
Boulevard is within the eligible area and thus qualified for application. The
provision of State tax benefits will help attract developers and commercial
users to this area by adding additional financial inducements.
Page 2, Item 12
Meeting Date 4/16/85
The Otay Valley Road Redevelopment project area, although approximately five
miles from the eligible area, is beginning to develop and presents the City's
best opportunity to develop industrial job opportunities in the near future.
Although it is not within or contiguous to the eligible area, it is likely
that many residents of the eligible area will find employment with emerging
industries in the Otay Valley.
In addition to identifying one commercial and/or industrial area, the State
requires that the City stipulate the impediments to growth and development
within these areas, and indicate what measures the City is undertaking to
remove some of these impediments.
Because both of these areas are located within redevelopment project areas,
there is ample documentation of the impediments to development and the City's
efforts to overcome those impediments through the provision of redevelopment
planning, financing, infrastructure improvements, design review, and public
participation. Although it is anticipated that the selection process will be
very competitive, staff feels that the two areas chosen will be competitive
based upon our past efforts and activities in these areas. A copy of the
application is attached to the resolution for your information.
FISCAL IMPACT: The program does not include any reimbursement for staff
expenses, nor does it provide funds for planning and capital improvements
within the eligible areas.
WPC 1502H
by tile,. O1f.y Ccd,-,cil of
C�iu.a V ivia' California
Dated '/— 7
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