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HomeMy WebLinkAboutCVRC Agenda Packet 2006/10/26 .. .. il,'!-"r- I I" '.' ;'dJ)[__ J' i" I CORPORATION CHULA VISTA BOARD OF DIRECTORS Stephen C. P,HiiH,l, Chairman ~teve Castaneda Patricia Ch':l\l'L P.HlI Desrochers Chris l.ewis lohn tvkC1nn Doug P.llll Jerry Rindone Chri~topher Rooney OFfICERS Jim Thol11<.;on, lntt'rilll CEO :\l,Hia Kachadoorian, ern Ann M.oore, Ceneral Counsel [),lI1.l M. Smith, Secretary Council Chambers Table AGENDA REGULAR MEETING OF THE CHULA VISTA REDEVELOPMENT CORPORATION (CVRC) AND REDEVELOPMENT AGENCY OF THE CITY COUNCIL AND ADJOURNED REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA Thursday, October 26, 2006, 4:00 p.m. COUNCIL CHAMBERS 276 FOURTH AVENUE CHULA VISTA, CA 91910 CALL TO ORDER CVRC ROLL CALL Board Members Castaneda, Chavez, Desrochers, Lewis, McCann, Paul, Rindone, Rooney and Chairman Padilla REDEVELOPMENT AGENCY ROLL CALL Agency Members Castaneda, Chavez, McCann, Rindone, and Chair Padilla CITY COUNCIL ROLL CALL Council Members Castaneda, Chavez, McCann, Rindone, and Mayor Padilla PLEDGE OF ALLEGIANCE, MOMENT OF SILENCE CVRC AND REDEVELOPMENT AGENCY CONSENT CALENDAR (Items 1 thru 3) 1. APPROVAL OF MINUTES Staff Recommendation: a. That the CVRC and Redevelopment Agency approve the minutes of September 14, 2006, and October 5,2006. b. That the Redevelopment Agency approve the minutes of July 25, 2006, August 1, 2006, August 22, 2006, September 19, 2006, September 26, 2006, and October 10, 2006. 2. WRITTEN COMMUNICATIONS Memorandum from Patricia E. Chavez requesting an excused absence from the CVRC meeting of September 14, 2006. Staff recommendation: That the CVRC excuse the absence. 3. CONSIDERATION OF THE DISSOLUTION OF THE TOWN CENTRE PROJECT AREA COMMITTEE (TCPAC) - (Continued from the meeting of September 14, 2006) The Town Centre Project Area Committee (TCPAC) was established under the California Health and Safety Code, in 1976, when the Town Centre I Redevelopment Project Area was adopted. After the TCPAC's three-year, state-mandated term expired, the City Council and Redevelopment Agency maintained the TCPAC by local policy and redefined its role and functions as a broader, local advisory group that made recommendations on redevelopment projects in Town Centre I, in addition to acting as the Parking Place Commission for the Downtown Parking District. Recently, the Redevelopment Advisory Committee (RAC) was established through the Chula Vista Redevelopment Corporation (CVRC) and will serve as an advisory body that will have broad community representation and will provide recommendations to the CVRC on projects in all redevelopment project areas, including Town Centre I. To avoid multiple committees with similar functions, and to provide a clear and consistent process of public participation through the RAC, staff recommends the dissolution of the TCPAC. Staff Recommendation: That the City Council and Redevelopment Agency adopt the following resolution: JOINT RESOLUTION OF THE CITY COUNCIL AND REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA APPROVING THE DISSOLUTION OF THE TOWN CENTRE I PROJECT AREA COMMITTEE PUBLIC COMMENTS Persons speaking during Public Comments may address the Council, CVRC and/or RDA on any subiect matter within the Council, CVRC and/or RDA's iurisdiction that is not listed as an item on the agenda. State law generally prohibits the Council, CVRC and/or RDA from taking action on any issue not included on the agenda, but, if appropriate, the Council, CVRC and/or RDA may schedule the topic for future discussion or refer the matter to staff. Comments are limited to three minutes. ACTION ITEMS The items listed in this section of the agenda will be considered individually and are expected to elicit discussion and deliberation. If you wish to speak on any item, please submit a completed "Request to Speak" form (available in the lobby) prior to the meeting. Page 2 of 4 CVRORDA - Agenda - 10/26/06 4. CONSIDERATION OF APPROPRIATION OF REDEVELOPMENT AGENCY TAX INCREMENT FUNDS TO THE REDEVELOPMENT AGENCY'S LOW AND MODERATE HOUSING FUND FOR AGENCY PROPERTY LOCATED WITHIN THE LOWER SWEETWATER VALLEY Section 33334.16 of the California Health and Safety Code stipulates that within five years from the date the Agency acquires real property using monies from the Low and Moderate Income Housing Fund, it shall initiate activities consistent with the development of affordable housing. In the event that development of the property for the intended purpose has not begun within the allowed timeframe, the Agency's Low and Moderate Income Housing Fund must be reimbursed for the expenditure less any costs that may be associated from the disposition of the property. Staff Recommendation: That the CVRC adopt the following resolution (4.a.): a. RESOLUTION OF THE CHULA VISTA REDEVELOPMENT CORPORATION RECOMMENDING THAT THE CHULA VISTA REDEVElOPMENT AGENCY AUTHORIZE THE REPAYMENT OF THOSE LOW AND MODERATE INCOME HOUSING FUNDS USED TO ACQUIRE REAL PROPERTY WITHIN THE LOWER SWEETWATER VAllEY AREA FROM THE REDEVELOPMENT AGENCY'S MERGED PROJECT FUND IN THE AMOUNT OF $290,687 That the Redevelopment Agency adopt resolution (4.b.) - (4/5ths Vote Required): b. RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA AUTHORIZING THE REPAYMENT OF THOSE LOW AND MODERATE INCOME HOUSING FUNDS USED TO ACQUIRE REAL PROPERTY WITHIN THE LOWER SWEETWATER VALLEY AREA FROM THE REDEVElOPMENT AGENCY'S MERGED PROJECT FUND IN THE AMOUNT OF $290,687 5. INFORMATIONAL REPORT REGARDING THE PREPARATION OF A PARKING MANAGEMENT STUDY AND SELECTION OF A PARKING CONSULTANT Staff Recommendation: This item is informational only. No action is required. 6. CHIEF EXECUTIVE OFFICER'S REPORTS 7. CHAIRMAN'S REPORTS 8. DIRECTORS' COMMENTS Page 3 of 4 CVRC - Agenda - 10/26/06 CLOSED SESSION Announcements of actions taken in Closed Session shall be made available by noon on Friday following the CVRC and RDA meeting at the City Attorney's office in accordance with the Ralph M. Brown Act (Government Code 54957.7) 9. PUBLIC EMPLOYEE APPOINTMENT PURSUANT TO GOVERNMENT CODE 54957(b) Executive Director of the Redevelopment Agency/CEO of the Chula Vista Redevelopment Corporation 10. CONFERENCE WITH LABOR NEGOTIATORS PURSUANT TO GOVERNMENT CODE 54957.6 Designated representative: Agency Member/Director to be determined Employee: Executive Director of the Redevelopment Agency/CEO of the CVRC ADJOURNMENT The City Council will adjourn to its regularly scheduled meeting on November 7, 2006, at 4:00 p.m. The Chula Vista Redevelopment Corporation and Redevelopment Agency will adjourn their regularly scheduled meetings on November 9, 2006, at 6:00 p.m. In compliance with the AMERICANS WITH DISABILITIES ACT The Chula Vista Redevelopment Corporation requests individuals who require special accommodations to access, attend, and/or participate in a eVRe meeting, activity, or service request such accommodation at least forty-eight hours in advance for meetings and five days for scheduled services and activities. Please contact the Community Development Department for specific information at (619) 691-5047, or Telecommunications Devices for the Deaf (TOO) at (619) 585- 5655. California Relay Service is also available for the hearing impaired. Page 4 of 4 CYRC - Agenda - 10/26/06 MAYOR & CITY COUNCIL CITY OF CHULA VISTA 276 Fourth Avenue Chula Vista, CA 91910 VOICE: 619-691-5044 FAX: 619-475-5379 OFFICE OF COUNCILMEMBER Patricia E. Chavez Memorandum To: Honorable Mayor & Councilmembers From: JoAnn Fieldsf CC: City Cieri<, City Attorney and Natalie Flores Date: Thursday, September 14, 2006 Re: Request to be excused from the CVRC Sept. 14, 2006 meeting On behalf of Councilmember Patricia E. Chavez, please excuse her absence from the Chula Vista Redevelopment Corporation September 14, 2006 meeting due to illness. 2 . .. City Council/Redevelopment Agency Staff Report - Page 1 Item No.3 ( ")I;>I:>(')P '\1" 'Y" J,,J,, ,',,' Il, \ 'l,) ST DATE: October 26, 2006 SUBJECT: The Honorable Mayor and City Council The Honorable Chair and Redevelopment Agency Members / Jim Thomson, Interim City Manager/Chief Executive Off~~~ II Ann Hix, Acting Director of Community DevelopmentW\ Eric Crockett, Redevelopment Manager C Consideration of the Dissolution of the Town Centre Project Area Committee (TCPAC), CONTINUED FROM SEPTEMBER 14, 2006 CVRC MEETING. TO: VIA: FROM: Project Area: Project Description: Town Centre I and Town Centre II Dissolution of the Town Centre Project Area Committee (TCPAC) On September 14, 2006, the CYRe, City Council and Redevelopment Agency were asked to consider the dissolution of the Town Centre Project Area Committee (TCPAC). The CYRC Board of Directors passed Resolution 2006-037 recommending that the Chula Vista City Council and the Chula Vista Redevelopment Agency approve the dissolution of the TCPAC. The City Council and Redevelopment Agency were unable to consider this recommendation at that time because of a lack of a majority vote due to conflicts of interest and absences. Therefore, staff requested that this item be continued to a future meeting. The complete staff report from the September 14th meeting follows. A revised Resolution of the City Council and Redevelopment Agency that reflects the CVRe's recommendation is also attached. RECOMMENDATION: Staff recommends that the Chula Yista City Council and the Redevelopment Agency of the City of Chula Yista adopt a joint resolution approving the dissolution of the Town Centre Project Area Committee (TCPAC). DECISION MAKER CONFLICTS: Staff has reviewed the property holdings of the City Council and RDA Members and has found a conflict exists, in that Steve Castefieda (Town Centre I) and Jerry Rindone (Town Centre II) have property holdings within 500 feet of the boundaries of the Project Areas which are the subjects of this action. PREPARED BY: Sarah Johnson, Community Development Specialist 3-1 "'."0"". ~r~ 'O!.)mO'.g i. (n CYRC Board Staff Report - Page 1 Item No..K ,-,' , CORPORATION (HULA VISTi\ DATE: Septf'rnberl '+, 2006 /0 (;;..J.P I 0 (p TO: CVRC Board of Directors The Honorable Mayor and City Council The Honorable Chair and Redevelopment Agency Members ~ VIA: Jim Thomson, Interim Chief Executive Officer ;I FROM: Eric Crockett, Redevelopment Manage~; _.V Ann Hix, Acting Director of Community Development~ SUBJECT: Consideration of the Dissolution of the Town Centre Project Area Committee (TCPAC) Project Area: Town Centre I Project Type: Dissolution of the Town Centre Project Area Committee (TCPAC) BACKGROUND: The Town Centre Project Area Committee (TCPAC) was established under the California Health and Safety Code in 1976 when the Town Centre I Redevelopment Project Area was adopted. The primary legislative charge of the TCPAC focused on housing concerns for low- and moderate-income residents in the project area. After the TCPAC's three-year state- mandated term expired, the City Council and the Redevelopment Agency maintained the TCPAC by local policy and redefined its role and functions as a broader, local advisory group that made recommendations on redevelopment projects in Town Centre I. The Council and Agency also authorized the TCPAC to act as the Parking Place Commission for the Downtown Parking District. The TCPAC has functioned as a valuable advisory body for thirty years, providing important recommendations on redevelopment projects in the Town Centre I Project Area. Recently, a community-wide mechanism for public participation-the Redevelopment Advisory Committee (RAC)-was established through the Chula Vista Redevelopment Corporation (CRVC). The RAC is an advisory body that will have broad community representation and will provide recommendations to the CVRC on projects in all redevelopment project areas, including Town Centre I. To avoid multiple committees with similar functions, and to provide a clear and consistent process of public participation through the RAC, staff recommends the dissolution of the TCPAC. 3-2 Staff Report - Item No.4 Page 2 RECOMMEN DA liON: Staff recommends that: a) The Chula Vista Redevelopment Corporation adopt a resolution recommending that the Chula Vista City Council and the Chula Vista Redevelopment Agency approve the dissolution of the Town Centre I Project Area Committee. b) The Chula Vista City Council and the Chula Vista Redevelopment Agency adopt a joint resolution approving the dissolution of the Town Centre I Project Area Committee. DISCUSSION: Project Area Committees California Health and Safety Code requires the formation of a Project Area Committee when adopting or amending a redevelopment plan, if a substantial number of low- or moderate-income persons live within the project area and may be displaced. The PAC acts as an advisory board to the redevelopment agency, which must consult the PAC on the provision of residential facilities for persons displaced by the project, and on other project- related policy matters affecting residents. The agency must consult with the PAC for a minimum of three years after the plan is adopted. One year extensions may be made by the legislative body thereafter (Sections 33385-33388). . Town Centre Project Area Committee The Town Centre Project Area Committee (TCPAC) was established in 1976 when the Town Centre I Redevelopment Project Area was formed. During its three-year statutory term, the TCPAC functioned in accordance with the California Health and Safety Code, primarily focusing on issues affecting low- and moderate-income residents in the project area. After the TCPAC's state-mandated term expired, the City Council and the Redevelopment Agency maintained the TCPAC as a local advisory group that made recommendations to the Council and the Agency regarding redevelopment projects in the project area. The TCPAC was charged with evaluating discretionary land use permits and project proposals in the Town Centre I and II redevelopment areas; housing concerns were no longer the committee's sole focus. Additionally, the TCPAC took on a unique role as the Parking Place Commission, evaluating parking improvements, procurement, regulations, fee structure, enforcement, and revenues and expenditures related to parking facilities in the 3-3 Staff Report - Item No.4 Page 3 Town Centre I Project Area. In performing these various functions, the TCPAC has provided valuable advice and recommendations on various aspects of redevelopment in the Town Centre I Project Area. The TCPAC last met in September 2005 and has not met regularly since due to a lack of development items for review and difficulty maintaining a quorum. The Chula Vista Redevelopment Corporation and Redevelopment Advisory Committee The Chula Vista Redevelopment Corporation (CVRC) was formed by the City Council and Redevelopment Agency on May 24, 2005 as a 501 c3 nonprofit, public benefit corporation to support and carry out planning and redevelopment activities within redevelopment project areas in Chula Vista. An essential element of the CVRe's project review process is public involvement. To facilitate this, significant staff research and public input led to the creation of the Redevelopment Advisory Committee (RAC) by the CVRC on July 13, 2006. The primary purposes of the RAC are to gather public input and advise the CVRC on development applications that require CVRC approval or action, with particular emphasis on design. RAC review of individual development projects will focus on conformity with adopted plans, ordinances, and guidelines. The RAC will provide a means for stakeholders to advise the CVRC on development applications and keep the community informed of redevelopment activities for Chula Vista. Additionally, the RAC will provide a forum for developers and their design teams to obtain clarification on community concerns about their specific projects during the initial design phases. The RAC has assumed responsibility for broad review of redevelopment projects in all project areas, including the Town Centre I Project Area. Therefore, the primary functions of the TCPAC are duplicative of the RAe's and could create confusion and conflicts within the public participation process. Dissolution of the TCPAC would provide the public greater clarity and consistency in the redevelopment process. Parking Management Study The City is currently beginning a Parking Management Study for the Third Avenue Village District and the E Street and H Street Transit Focus Areas. The study will assess current and future parking needs in the Downtown area and develop strategies for the long-term planning and management of public parking, including the potential administration of the City's Parking District through entities such as a Parking Place Commission. 3-4 Staff Report - Item No.4 Page 4 CONClUSION: Over the past 30 years, the TCPAC has served as both a state-mandated redevelopment PAC and a valuable local advisory body that has provided important recommendations on redevelopment projects in the Town Centre I Project Area. Recently, the RAC has assumed responsibility for the advisory review of projects in all redevelopment project areas, including Town Centre I, and will provide a community-wide forum for public participation in the redevelopment process. Functions of the Parking Place Commission will be analyzed in the ongoing Parking Management Study, which will provide strategic recommendations for parking in the Downtown Parking District. Therefore, to avoid committees with similar or duplicate functions, and in order to focus redevelopment- related public participation through the RAC, staff recommends dissolution of the TCPAC. PREPARED BY: Sarah Johnson, Community Development Specialist 3-5 CITY COUNCIL RESOLUTION NO. 2006- (Redevelopment Agency Resolution No. 2006--.----J JOINT RESOLUTION OF THE CITY COUNCIL AND THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA APPROVING THE DISSOLUTION OF THE TOWN CENTRE I PROJECT AREA COMMITTEE WHEREAS, California Health and Safety Code Sections 33385-33388 authorize and direct the Redevelopment Agency of the City of Chula Vista (the "Agency") to convene a Project Area Committee (PAC) for a period of three (3) years when adopting or amending a redevelopment plan, if a substantial number of low- or moderate-income persons live within the project area and may be displaced; and WHEREAS, the Town Centre Project Area Committee ("TCPAC") was formed in 1976 in accordance with the California Community Redevelopment Law (Health and Safety Code 9933000 et seq.) upon the adoption of the Town Centre I Project Area and Redevelopment Plan; and WHEREAS, the TCPAC served as a state-mandated PAC and subsequently a local advisory committee to the City Council and Agency during various periods over the last thirty (30) years; and WHEREAS, the primary function of the TCP AC is to provide advisory recommendations to the City Council and the Redevelopment Agency on redevelopment projects in the Town Centre I Redevelopment Project Area; and WHEREAS, on May 24, 2005, the City Council and Agency jointly approved various legal and operating documents creating and establishing the Chula Vista Redevelopment Corporation ("CVRC") as a 50lc3 nonprofit, public benefit corporation to serve as a support entity to the City and Agency on planning and redevelopment activities in the City's redevelopment project areas; and WHEREAS, on July 13, 2006, the CVRC approved the formation of a Redevelopment Advisory Committee ("RAC") to gather public input and provide recommendations to the CYRC on development projects within adopted redevelopment project areas, including Town Centre I, and to act as the primary, community-wide forum for public participation in the redevelopment process; and WHEREAS, the primary functions of the TCP AC are duplicative of the established duties and responsibilities of the RAC; and WHEREAS, the dissolution of the TCPAC would avoid redundancy and confusion in the redevelopment process; and WHEREAS, on September 14, 2006 the Chula Vista Redevelopment Corporation adopted Resolution 2006-037 recommending that the Chula Vista City Council and the Chula 3-6 Resolution No. 2006-_ Page 2 Vista Redevelopment Agency approve the dissolution of the Town Centre I Project Area Committee. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CHULA VISTA AND THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA DO RESOLVE AS FOLLOWS: 1. The City Council and the Redevelopment Agency of the City of Chula Vista hereby approve the dissolution of the Town Centre I Project Area Committee. PRESENTED BY APPROVED AS TO FORM BY Ann Hix Acting Director of Community Development f~~dlW 3-7 ,I. .. \ : j CORPORATION CHULA VISTA CVRC Board Staff Report - Page 1 Item No. 4 DATE: October 26, 2006 FROM: CVRC Board of Directors The Honorable Chair and Redevelopment Age~ Members Jim Thomson, Interim Chief Executive Officer ~ Ann Hix, Acting Director of Community Development~ Eric Crockett, Redevelopment Manager (f) TO: VIA: SUBJECT: Appropriation of Redevelopment Agency Tax Increment Funds to Reimburse the Redevelopment Agency's Low and Moderate Income Housing Fund for Agency Property Located within the Lower Sweetwater Valley. Project Area: Merged Chula Vista Redevelopment Project Area (Added Area) Project Site: Lower Sweetwater Valley Project Description: Appropriation of funds - 4/5 Vote of Agency Required BACKGROUND: In 1986, the Redevelopment Agency of the City of Chula Vista purchased 14.3 acres of land located in the Lower Sweetwater Valley using its Low and Moderate Income Housing Funds. California Health and Safety Code Section 33334.16 stipulates that if an Agency uses its Housing Fund to acquire property, it must develop that property for affordable housing within five years of the purchase date. Since acquisition, several development proposals for the site have been received, but past attempts to develop the site failed due to the location of the property, financial infeasibility, and issues related to open space/park lands. In order to comply with State law, staff recommends that Agency Tax Increment funds be allocated to replenish the Agency's Low and Moderate Income Housing Fund for this expenditure. Staff is recommending the repayment in the amount of $290,687 to the Low and Moderate Income Housing Fund. This amount reflects the total acquisition cost when originally purchased, $166,107, plus 5 percent interest since 1991, when the Agency's five-year time limit to develop affordable housing on the site expired. 4-1 Staff Report - Item No.4 Page 2 RECOMMENDATION: Staff recommends that: a) The Chula Vista Redevelopment Corporation adopt a resolution recommending that the Chula Vista Redevelopment Agency authorize the repayment of those Low and Moderate Income Housing Funds used to acquire real property within the Lower Sweetwater Valley area from the Redevelopment Agency's Merged Project Fund in the amount of $290,687. b) The Redevelopment Agency of the City of Chula Vista adopt a resolution authorizing the repayment of those Low and Moderate Income Housing Funds used to acquire real property within the Lower Sweetwater Valley area from the Redevelopment Agency's Merged Project Fund in the amount of $290,687, and appropriating funds therefore. DISCUSSION: In 1986, the Redevelopment Agency purchased two parcels (APN numbers 563-350-1300 and 566-131-0100), totaling 14.3 acres of land located in the Lower Sweetwater Valley, adjacent to the KOA Campground, as shown on the site map in Attachment 1. These parcels were purchased for a total cost of $166,107 with the Agency's Low and Moderate Income Housing Funds. The properties were acquired for the purpose of developing affordable housing on the site. Despite several development proposals for the site, development has proven difficult in the past given the site's location, and concerns raised from surrounding residents regarding open space/park lands. To date, the properties remain undeveloped, leaving the Agency in noncompliance with the California Community Redevelopment Law for the acquisition of real property using Low and Moderate Income Housing Funds. California Community Redevelopment law Section 33334.16 of the California Health and Safety Code provides that within five years from the date the Agency acquires real property using monies from the Low and Moderate Income Housing Fund, it shall initiate activities consistent with the development of affordable housing. In the event that development of the property for the intended purpose has not begun within the allowed timeframe, the Agency's Low and Moderate Income Housing Fund must be reimbursed for the expenditure less any costs that may be associated from the disposition of the property. 4-2 Staff Report - Item No.4 Page 3 Compliance with California Community Redevelopment law (CRl) Staff is recommending that the Agency allocate funds from its general Tax Increment Revenue to replenish the Low and Moderate Housing Funds used for the purchase of these properties. This will bring the Agency into compliance with Section 33334.16 and demonstrate its good faith effort to rectify th is issue. Additionally, the Agency will be able to maintain ownership of the parcels, and will have no time limit on the disposition or development of the land. Maintaining Agency ownership will allow the Agency to have control over future development of the site, ensuring that development will be in line with the City's redevelopment goals. The use of Redevelopment Agency funds to reimburse the Agency's Low and Moderate Income Housing Fund will continue to further the goals of redevelopment as stated in the Merged Chula Vista Redevelopment plan. DECISION MAKER CONFLICTS: Staff has reviewed the property holdings of the CVRClRDA Directors and has found no property holdings within 500 feet of the boundaries of the property which is the subject of this action. FISCAL IMPACT: To replenish the Agency's Low and Moderate Income Housing Fund and immediately bring the Agency into compliance with the California Health and Safety Code, a total of $290,687 from the available balance of the Merged Project Fund must be appropriated to repay the Low and Moderate Income Housing Fund. The total amount is based on the total acquisition cost when the parcels were originally purchased, $166,107, plus 5 percent simple interest since 1991, when the Agency's five-year time limit to develop affordable housing on the site expired. The interest rate is based on the annual average interest rate from the State Treasurer's Local Agency Investment Fund for the period July 1991 to July 2006. ATTACHMENTS: 1. Site Map PREPARED BY: Leilani Hines, Senior Community Development Specialist Sarah Johnson, Community Development Specialist 4-3 Lower Sweetwater Valley Site ..)wner: Redevelopment Agency N ~_"_.m"" A ~l!?- 1- aw~ CH.J.AVlSrA CVRC RESOLUTION NO. 2006-xxx RESOLUTION OF THE CHULA VISTA REDEVELOPMENT CORPORATION RECOMMENDING THAT THE CHULA VISTA REDEVELOPMENT AGENCY AUTHORIZE THE REPAYMENT OF THOSE LOW AND MODERATE INCOME HOUSING FUNDS USED TO ACQUIRE REAL PROPERTY WITHIN THE LOWER SWEETWATER VALLEY AREA FROM THE REDEVELOPMENT AGENCY'S MERGED PROJECT FUND IN THE AMOUNT OF $290,687. WHEREAS, the Redevelopment Agency of the City of Chula Vista (the "Agency") is a public body, organized under the California Community Redevelopment Law (California Health and Safety Code Sections 33000 et seq.); and WHEREAS, in 1986, the Agency purchased two parcels ofland, APN 563-35-1300 and 566-31-0100, located within the Lower Sweetwater Valley area and the Agency's Merged Chula Vista Redevelopment Project Area (the "Agency Property") with Low and Moderate Income Housing Funds for the purpose of providing affordable housing; and WHEREAS, California Health and Safety Code Section 33334.16 requires the Agency to initiate activities within five years of acquiring an interest in real property consistent with the development of housing for Low and Moderate Income households; and WHEREAS, the Agency has received and worked on several development proposals for the site, but past attempts to develop the site failed due to the location of the property, fmancial infeasibility, and issues related to open space/park lands; and WHEREAS, the Agency has not successfully initiated actions consistent with the development of affordable housing on that Agency property within the prescribed time period because of access issues and concerns from surrounding property owners and residents; and WHEREAS, to comply with the requirements of California Redevelopment Law regarding the initiation of development of affordable housing on real property purchased with Low and Moderate Income Housing Funds the Agency now seeks to reimburse the Low and Moderate Income Fund; and WHEREAS, the Agency may retain ownership of the Agency Property by repayment of the Low and Moderate Income Housing Fund with general Tax Increment funding; and WHEREAS, the Agency desires to retain ownership of the Agency Property until it can appropriately dispose of such property in a manner that meets the goals of the Agency as set forth in the Agency's Amended and Restated Redevelopment Plan for the Merged Chula Vista Redevelopment Project Area; and 4-5 CYRC Resolution No. 2006- Page 2 WHEREAS, the Agency Property was purchased in 1986 for a total of$166,107, including the sales price plus all associated acquisition fees; and WHEREAS, fifteen years have elapsed since the five year time period from the acquisition of the Agency Property to its development (1991); and WHEREAS, the Agency has determined that it is appropriate to repay the Low and Moderate Income Fund the original purchase price of the Agency Property ($166,107) and compounded annual interest based on the annual average interest rate from the State Treasurer's Local Agency Investment Fund since 1991 ($124,580). NOW, THEREFORE, THE CHULA VISTA REDEVELOPMENT CORPORATION DOES RESOLVE AS FOLLOWS: 1. The Chula Vista Redevelopment Corporation (the "CVRC") hereby finds that the use of funds from the Agency's Merged Project Fund for the acquisition of real property for purposes of redevelopment will continue to be of benefit to the Agency's redevelopment project areas, and will continue to further the goals of redevelopment as stated in the Merged Chula Vista Redevelopment Plan; and 2. The CVRC hereby recommends that the Agency approve the payment of $290,687 from the Agency's Merged Project Fund to reimburse the Low And Moderate Income Housing Fund for the acquisition of the two parcels of land, APN 563-35-1300 and 566-31-0100, referred to herein as Agency Property; and 3. The CVRC hereby recommends that the Agency appropriate $290,687 from the unappropriated balance in the Merged Project Fund for the repayment of the Low And Moderate Income Housing Fund for those expenditures and accrued interest resulting from the Agency's acquisition of the Agency Property. PRESENTED BY APPROVED AS TO FORM BY Ann Hix Assistant Director of Community Development ^ , , If ,^~ 1 l1ux.. Anrr'Moore , I Agency Attorney 4-6 RDA RESOLUTION NO. 2006-xxx RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA AUTHORIZING THE REPAYMENT OF THOSE LOW AND MODERATE INCOME HOUSING FUNDS USED TO ACQUIRE REAL PROPERTY WITHIN THE LOWER SWEETWATER VALLEY AREA FROM THE REDEVELOPMENT AGENCY'S MERGED PROJECT FUND IN THE AMOUNT OF $290,687. WHEREAS, the Redevelopment Agency of the City of Chula Vista (the "Agency") is a public body, organized under the California Community Redevelopment Law (California Health and Safety Code Sections 33000 et seq.); and WHEREAS, in 1986, the Agency purchased two parcels of land, APN 563-35-1300 and 566-31-0100, located within the Lower Sweetwater Valley area and the Agency's Merged Chula Vista Redevelopment Project Area (the "Agency Property") with Low and Moderate Income Housing Funds for the purpose of providing affordable housing; and WHEREAS, California Health and Safety Code Section 33334.16 requires the Agency to initiate activities within five years of acquiring an interest in real property consistent with the development of housing for Low and Moderate Income households; and WHEREAS, the Agency has received and worked on several development proposals for the site, but past attempts to develop the site failed due to the location of the property, fmancial infeasibility, and issues related to open space/park lands; and WHEREAS, the Agency has not successfully initiated actions consistent with the development of affordable housing on that Agency property within the prescribed time period because of access issues and concerns from surrounding property owners and residents; and WHEREAS, to comply with the requirements of California Redevelopment Law regarding the initiation of development of affordable housing on real property purchased with Low and Moderate Income Housing Funds the Agency now seeks to reimburse the Low and Moderate Income Fund; and WHEREAS, the Agency may retain ownership of the Agency Property by repayment of the Low and Moderate Income Housing Fund with general Tax Increment funding; and WHEREAS, the Agency desires to retain ownership of the Agency Property until it can appropriately dispose of such property in a manner that meets the goals of the Agency as set forth in the Agency's Amended and Restated Redevelopment Plan for the Merged Chula Vista Redevelopment Project Area; and WHEREAS, the Agency Property was purchased in 1986 for a total of$166,107, including the sales price plus all associated acquisition fees; and 4-7 RDA Resolution No. 2006- Page 2 WHEREAS, fifteen years have elapsed since the five year time period from the acquisition of the Agency Property to its development (1991); and WHEREAS, the Agency has determined that it is appropriate to repay the Low and Moderate Income Fund the original purchase price of the Agency Property ($166,107) and compounded annual interest based on the annual average interest rate from the State Treasurer's Local Agency Investment Fund since 1991 ($124,580). NOW, THEREFORE, THE REDEVELOPMENT AGENCY OF THE CITY OF CHULA VISTA DOES RESOLVE AS FOLLOWS: 1. The Agency hereby finds that the use of funds from the Agency's Merged Project Fund for the acquisition of real property for purposes of redevelopment continue to be of benefit to the Agency's redevelopment project areas, and will continue to further the goals of redevelopment as stated in the Merged Chula Vista Redevelopment Plan; and 2. The Agency hereby approves the payment of $290,687 from the Agency's Merged Project Fund to reimburse the Low And Moderate Income Housing Fund for the acquisition of the two parcels ofland, APN 563-35-1300 and 566-31-0100, referred to herein as Agency Property; and 3. The Agency hereby appropriates $290,687 from the unappropriated balance in the Merged Project Fund for the repayment of the Low And Moderate Income Housing Fund for those expenditures and accrued interest resulting from its acquisition of the Agency Property. PRESENTED BY APPROVED AS TO FORM BY AnnHix Assistant Director of Community Development JLp 4-8 ..~"'. ,:-.,.""..- ,:,.,;j> . .. : i ( CORPORATION CHULA VISTA CVRC Board Staff Report - Page 1 Item No. 5 DATE: October 26, 2006 FROM: CVRC Board Directors and Redevelopment Ag~ Board Members Jim Thomson, Interim Chief Executive Officer .1 { Ann Hix, Acting Director of Community Development # Eric Crockett, Redevelopment Manager W TO: VIA: SUBJECT: Informational Report Regarding the Preparation of a Parking Management Study and Selection of a Parking Consultant BACKGROUND: As the City grows and there is renewed interest in development, parking issues continue to be of importance to the City's residents, business owners, development community and local government. To address these issues the recently adopted General Plan Update (GPUl, approved on December 13,2005, includes four parking principles, which are: . Use parking management to better utilize existing parking facilities and implement policies to reduce parking demand before considering public expenditures for additional parking facilities; . Ensure that parking facilities are appropriately sited and well-designed in order to minimize adverse effects on the pedestrian-oriented environment, and to enhance aesthetic qualities; . Provide parking facilities that are appropriately integrated with land uses; maximize efficiency; accommodate alternative vehicles; and reduce parking impacts; and . Evaluate the use and applicability of various strategies to provide parking. In addition, the proposed Urban Core Specific Plan (UCSPl, more specifically acknowledges that vehicle use will likely remain the primary means of access to the urban core. However, the UCSP recommends that alternative modes of transportation be considered and that existing City policies and programs, including the boundaries of the Downtown Parking District and the amount of the In-lieu Parking Fee, be reviewed. The proposed UCSP recommends that parking structures may be warranted to address long- term parking needs as existing surface parking lots may only be sustainable in the short term. 5-1 Staff Report - Item No.5 Page 2 In accordance with the recommendations of the General Plan, and in anticipation of future development in Downtown Chula Vista, it is necessary to conduct a comprehensive parking management study to evaluate the City's parking needs and develop strategies for addressi ng those needs. During the past few months, staff has worked closely with the Third Avenue Village Association (T A V A) to develop a scope of work for a proposed Parking Management Study, and to form a selection committee to review proposals and interview and select a Parking Consultant to conduct the Study. The Committee has selected and is recommending Rich & Associates, Inc., and staff is bringing forward this informational report to highlight this important activity and hear input from Board members. DISCUSSION: History In 1963 the City Council established the Downtown Parking District by Resolution 3115/0rdinance 847 to address community concerns regarding parking. This Parking District encompasses the area surrounding Third Avenue from E Street to G Street (Attachment A). In addition to the creation of the Parking District, the City Council also passed Resolution 3040 to install and maintain parking meters on designated streets within the District. As the City continued to grow, new concerns were raised regarding parking. In 1980 the City approved Resolution 9943 establishing an In-lieu Parking Fee for Sub-Area 1 of the Town Centre I Redevelopment Project Area (Attachment A) to address concerns from existing retail owners and tenants. The purpose of establishing the In-lieu fee was to provide an option for developers to pay a fee instead of constructing on-site parking, which might render projects economically infeasible. The fee is calculated based upon 25 percent of the cost of the land necessary to provide the required number of parking spaces. The most recent land value adjustment occurred in 1987 when the City Council approved an increase in the value to $20 per square foot and authorized staff to review this value annually. It has now been more than 25 years since the establishment of both the Downtown Parking District and the In-lieu Parking Fee. Modifications of the existing regulations may be necessary to address growing parking concerns related to deferred maintenance and the growth of the downtown core contemplated by the adopted General Plan and the proposed Urban Core Specific Plan. The proposed scope of the Parking Management Study will include a full review of the Parking District, including its boundaries, administration, financing, and the In-lieu Fee. 5-2 Staff Report - Item No.5 Page 3 ENA Projects Since 2005, the CVRC and Redevelopment Agency have approved six Exclusive Negotiating Agreements (ENAs) with various developers for sites located in the Third Avenue Village Area (Attachment B). Three of those ENA sites involve City/Agency-owned land currently used as metered public parking lots. The four affected lots are located at: . 263-311 Landis Avenue, between Davidson and F Street . 354 Church Avenue, north of Madrona . Northwest corner of Church Avenue and Davidson Street . Southwest corner of Church Avenue and Davidson Street These lots collectively contain 214 of the 1,205 public parking spaces currently located in 11 different lots in the Downtown Parking District. The Downtown Parking District contains an additional 504-metered on-street parking spaces. The proposed scope of the Parking Management Study will include Consultant review of the anticipated Urban Core Specific Plan to better understand and analyze the potential loss of parking spaces based on the short and long-term parking needs of Downtown, including the redevelopment of the parking lots. Parking Management Study In May 2006, the Community Development Department issued a Request for Proposals (RFP) for a comprehensive Parking Management Study for the Third Avenue Village and Urban Core areas of the community. Six quality proposals were received from local and national firms, which were reviewed by a Parking Selection Committee comprised of two T A V A Board members and three City staff representing different disciplines. The review and selection process undertaken by the Parking Committee was a collaborative partnership between City staff and TAVA representatives. On October 4,2006, staff, along with the TAVA representatives, presented information at the monthly TA V A Board Meeting regarding the Parking Management Study. TAVA conveyed its continued commitment to working closely with staff and the Consultant. Of the six firms that submitted proposals, two parking consultant firms were selected for interviews. A three-member panel representing the Parking Selection Committee conducted the interviews. After careful consideration, the Committee selected Rich and Associates. Rich and Associates, founded in 1963, has more than 43 years experience in the study, planning and design of parking and have completed more than 2,000 parking projects nationwide. They have experience with more than 300 municipalities assessing current parking needs, projecting future needs, analyzing current and future development plans, performing revenue bond studies, and analyzing financing alternatives. They also develop 5-3 Staff Report - Item No.5 Page 4 programs for long term parking improvements, and their parking demand studies have resulted in a high level of accuracy in the long-term demand projections. Rich and Associates is also experienced in the development and implementation of marketing and public relations programs for downtown parking systems, including signage and wayfinding, accessibility to parking areas, park and shop programs. Their key personnel includes 7 professionals with an average of more than 17 years of experience in the field of parking planning and design. Scope of Work The Scope of Work has been crafted in partnership with TAVA, including parking statements that the TAVA Board prepared and forwarded to the City. The Interview Committee reviewed each of the vision statements and issues outlined in the TAVA document to ensure that they were addressed in the Scope of Work. The project scope is more fully defined in the Two-Party Agreement, but the four main objectives of the Study are to: . Analyze the current and future parking needs and review the current parking system policies and procedures; . Formulate options for addressing parking needs, including parking management, shared use opportunities and transportation modality; . Develop a parking management plan for efficiently and effectively utilizing parking resources in a growing community where land values are at a premium; and . Provide education and information to the public about public parking, including the cost of providing and maintaining parking. The Study will be completed within 90 to 120 days from the approval date and will include a minimum of two stakeholder meetings, interviews with local businesses, organizations and employees, and a two-day interactive planning session between City staff and stakeholders. Conclusion As the City moves forward in evaluating development opportunities and promoting a pedestrian-friendly "park-oncelwalk-often" environment, it is critical to consider our parking and traffic challenges and be proactive in planning for our projected needs. Without a comprehensive parking study, the City will be ill equipped to effectively implement parking strategies that support both existing businesses and new development while upholding the City's vision for a walkable livable community. 5-4 Staff Report - Item No.5 Page 6 Based upon the contract amount, and in accordance with the Purchasing Guidelines, no action is required by the CVRC and Redevelopment Agency at this time. The two-party agreement may be entered into with authority from the City's Purchasing Agent. FISCAL IMPACT: No appropriation is required. The Redevelopment Agency FY 2006-2007 budget includes money for professional consulting services. The not-to-exceed contract amount of $50,000 would be disbursed from this line item. ~ ATTACHMENTS: A. Parking District Map B. ENA Site Map C. Scope of Work PREPARED BY: Diem Do, Senior Community Development Specialist 5-5 DOWNTOWN CHULA VISTA PUBLIC PARKING 1. 14 SPACES 2. 78 SPACES 3. 121 SPACES 4. 700 SPACES 5. 46 SPACES 6. 29 SPACES 7. 70 SPACES 8. 54 SPACES 9. 30 SPACES 10.34 SPACES 11.29 SPACES Subtotal lots: 1,205 spaces Subtotal on-street: 509 spaces Total parking: 1,714 spaces SOURCE: Third Ave. Village Association City of Chula Vista Resolution 9943 Town Centre I In-Lieu Parking Area Downtown /0' Parking /'V District 11 N CEOCRAPHIC INFORMATION SYSTEM o 0.025 0.1 0.15 0.2 Miles 0.05 - . . E Merged Bayfront / Town Centre I Project Area Merged Chula Vista 5 - 7 Project Area lit 1. 3rd & E Northeast Corner / CityMark Development 2. 3rd & E Southeast Corner / A vion Development 3. Church & Davidson West / Douglas Wilson 4. Landis South / CityMark Development 5. Church & Madrona Northwest / Public 6. 3rd & G Northwest / Intergulf-Mar (park) Group 7. E Street Transit Villa e / Lennar-Inter ulf ATTACHMENT C Scope of Work (As excerpted from the 2-Party Agreement) The Consultant shall be responsible for the tasks necessary to prepare and complete a Parking Study for the Third Avenue Village area of the City of Chula Vista, with some analysis of the E Street and H Street Transit hubs and their connection to the Third Avenue Village. The puqiose of the Parking Study is to assist the City in preparing a Parking Plan to address and mitigate potential and existing parking issues, particularly in light of the proposed development of several Redevelopment Agency/City owned parking lots. The Scope of Work shall include the following tasks: I. Parking Demand Analysis. Consultant shall conduct analysis that includes quantifying and qualifying the parking needs and traffic levels and flows in the study area. This component shall include, but is not limited to, the following tasks and subtasks. Consultant shall conduct or provide: A. Field Research and Data Collection shall include parking space inventory, and use review, parking utilization analysis, regional surveys, stakeholder interviews. (how many), and transit analysis B. Parking Projections shall include current demand, future demand, and review of current and future parking projected for periods covering 5, 10, and 20 years what does this mean? C. Preliminary Report shall include a first review of compilation of data, analysis of parking and traffic system, current and future demand projects, assessment of future City parking and traffic system needs, and rate analysis II. Community Participation and Education. Consultant shall facilitate and present a minimum of 2 community meetings, a two-day interactive Planning Session, and Manager Interviews and Employee Surveys with local businesses and downtown employees. The Consultant shall work to educate stakeholders and the community on the costs of parking, the effects of not properly managing parking with emphasis on the impacts on business, on transit and parking coordination, and the importance of enforcement. The purpose of the first community meeting will be to present information to the public regarding the purpose and goals of the study, the study process, data collection tasks and a preliminary schedule. The second community meeting will be to present the findings of the data collection The two-day interactive planning session will include City staff and other invited stakeholders and community members to review the completed site analysis and solicit feedback and input. The City shall work cooperatively with the Consultant to coordinate this event. III. Parking Improvement Program. Consultant shall be responsible for the preparation, recommendation and implementation of strategies for short and long-term parking and traffic improvements that combine parking and traffic system and management improvements, along with capital improvements including, at a minimum, the following tasks and subtasks. Consultant shall provide the following: A. Parking Operations and Management including review of the eXISling organizational practices, review of existing facilities, parking policy review, current marketing of parking, parking signage and wayfinding, and enforcement 5-8 B. Rate Review Other Communities including a review of historic rates and rate increases in Chula Vista, including both public and private parking, and the researching of parking rates in other surrounding communities and benchmarking communities of similar size in the region C. Existing Parking Analysis shall include review of existing surface parking lots to evaluate and determine the feasibility of reconfiguring the areas to improve capacity and traffic flow. D. New Parking Analysis shall contemplate possible sites for the construction of new parking, if deemed necessary. This shall include the review of any downtown development strategies, including the Urban Core Specific Plan, and other approved planning documents, evaluate projected parking needs in relation to the size of any new parking areas, evaluate the long and short term user needs, review any requirements and opportunities for potential mixed use development, evaluate opportunities for multi-modal options, review timing of needs and phasing options, develop evaluation criteria and a decision matrix, and analysis of any new or potential developments, with emphasis on infill development on existing surface lots. Consultant shall place special emphasis on the development and or redevelopment of vacant and underutilized land. E. Site Analysis of New Parking shall evaluate sites for new parking lots and/or structures including design feasibility, impact on surrounding businesses, impact on relationship to existing and proposed transit operations, impact on traffic circulation and accessibility, ability of the adjacent streets to handle additional traffic volume, relationship of the parking to areas of existing and future parking demand, ability of parking to enhance future economic development, general site accessibility, location to current and potential demand generators, projected land acquisition and relocation costs, ability of site location to enhance feasibility of mixed-use opportunities, and any potential for loss of existing parking to structures. F. Cost Analysis shall include both capital costs and operating costs for any recommended parking improvements. G. Proforma Analysis shall be required to measure the sufficiency of the current parking operations and rate structure to produce the amount of revenue needed to meet current and projected operating requirements and capital improvement investments. This shall include operation cost analysis for the next 10 years, revenue analysis and projections, and a 1 D-year pro forma analysis. Consultant shall also include an analysis of the in lieu fee program and shall make recommendations for modifications based on current best practices and the development climate in Chula Vista. IV. Final Report. Consultant shall provide overall recommendations in the form of a Parking and Traffic Improvement Program by making recommendations for near-term, mid-term and long-term improvements. The near-term recommendations shall address how to improve perception of parking, increasing the parking supply through improved efficiency, parking generation rates for mixed-use and residential development, modification of the parking system space allocation, changes to parking ordinances and zoning, expansion of existing parking lots or consideration of sites for new parking opportunities, parking system management and operations improvements, parking mitigation strategies and implementation. 5-9