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REDEVELOPMENT AGENCY AGENDA ITEM NO. 24

Meeting Date: December 9, 2008

Subject/Title: Acceptance of Redevelopment Agency’s Blight Progress Report, Property
Report and Housing Activities Report for Fiscal Year Ending 2008

Prepared by: Gina Rozenski, Redevelopment Manager

Submitted by: Casey McCann, Community Development Director

RECOMMENDATION
Accept the Blight Progress Report, Property Report and Housing Activities Report for fiscal year ending 2008 as required by the Health & Safety Code.

PREVIOUS ACTION
These annual reports are brought to and accepted by the Agency at the end of each calendar year, the last being December 11, 2007.

BACKGROUND
The Community Redevelopment Law, as contained in the Health & Safety Code Section 33080.1, requires that in addition to the routine annual audit report, four additional annual reports be submitted to and accepted by the Redevelopment Agency within six months after the end of each fiscal year. The four reports include the following:

1. Blight Progress Report specifying the Agency’s progress in alleviating blight during the previous fiscal year.
2. Property Report describing properties owned by the Agency and those acquired in the previous fiscal year.
3. Loan Report identifying any loans made by the Agency that are $50,000 or more and which are in default or not in compliance with the terms of the loan.
4. Housing Activities Report identifying the Agency’s housing activities during the past fiscal year.
5. A list of fiscal years the Agency expects each of its time limits expire.

Attached for the Agency’s review and acceptance are the Blight Progress Report, the Property Report (identified as “Land Holdings”), the Housing Activities Report, and Plan Limits Summary Sheet. During the fiscal year ending 2008, no Agency loans exceeding $50,000 were in default, consequently the preparation of a Loan Report is unnecessary.

FISCAL IMPACT
None.

Attachments:
1) Blight Progress Report
2) Land Holdings Report
3) Housing Activities Report
4) Plan Limits Summary Sheet
BRENTWOOD REDEVELOPMENT AGENCY
Brentwood and North Brentwood Redevelopment Project Areas

PROJECTS AND PROGRAMS LINK TO BLIGHT ALLEVIATION
Fiscal Year Ending June 30, 2008

PROJECTS AND PROGRAMS
BLIGHT REMOVAL NEXUS

Affordable Housing Obligation
Unfit/Unsafe
Buildings Incompatible Uses Depreciated
Values &
Impaired Investments Underutilized Properties Inadequate Public Improvements
Sunset Industrial Complex. This 28-acre, 17-parcel industrial complex, developed by the City and Agency, includes a reimbursement agreement between the Agency and the City for the Agency to fund public improvements for the Sunset Industrial Complex in the amount of $3.7M. As parcels are sold, the Agency is reimbursed 86% of the proceeds for its proportionate share of the development costs. This project will generate a minimum of 550 jobs within 25 (+/-) industrial businesses. This on-going project will voluntarily relocate four industrial users from Brentwood Blvd. to the Sunset Industrial Complex for future redevelopment of the Brentwood Blvd. corridor. During FYE 2007/8, the Agency managed the sale and closing of 2 parcels and 1 building permit was issued. √ √ √ √
Brentwood Boulevard Specific Plan.
The Brentwood Boulevard Corridor Specific Plan is currently being prepared by city and redevelopment staff. As part of this preparation, permitted and conditional uses are being defined by use category, and procedures to address legally established uses that may be non-conforming after adoption of the plan are being developed. The Agency funded the land use economic study which provided useful date in guiding land use models and funded $240,000 for the EIR to analyze the impacts of the Specific Plan. Three workshops were held in 2008 with stakeholders to discuss land uses and to receive public comments. EIR was circulated in May 2008. The Specific Plan is progressing to approvals by the Planning Commission and Council. √ √ √ √ √
Health & Safety Grant Program – The Health & Safety Grant Program is designed to provide very low and low income owner-occupant residents within the City of Brentwood with grant funds to address home repairs to correct dangerous health and safety conditions, code violations and disabled inaccessibility which, without the repair or replacement, would result in imminent unsafe or hazardous conditions for the occupant(s). This program receives an annual budget of $35,000. During 07/08 fiscal year, three households received grants for household repairs. √ √ √
Façade Improvement Program – This Program is designed to eliminate blight and stimulate private investment in high-quality building improvements that contribute to the overall strength of Downtown. Through this program, the Agency will share the costs of improving building exteriors, thereby promoting joint public/private action and investment, which will complement and enhance Downtown revitalization efforts. All façade improvements must be consistent with the City of Brentwood Downtown Specific Plan. This program receives an annual budget of $25,000. During 07/08 fiscal year, four businesses received grants for façade improvements. √
Downtown Infrastructure – Installation of new water and sewer facilities, rehabilitation or the removal and replacement of existing facilities to accommodate future redevelopment and to correct existing operations and maintenance constraints due to age of facilities. The Agency has contributed $433,810 in 07/08 for this project, and expects to fund additional costs as the work is phased. √
200 Sunset Road – Closed escrow in December 2007; successfully relocated three households, one of which purchased home. Property has substandard dwelling units, excessive building code violations, and inadequate water supply from a well system delivered from a separate parcel causing physical and economic blight. Asbestos survey is complete and demolition of defective buildings is forthcoming. √ √ √
7030 Brentwood Blvd. – Executed Purchase Agreement in November 2007. Property has substandard and defective buildings, an abandoned but exposed wastewater system, and excessive building code violations causing physical and economic blight. Relocated nine households, three of which purchased homes. Asbestos survey is complete; demolition is forthcoming. √ √ √
Villa Amador – 96 very low income apartment units developed by Mercy Housing and funded with $1.4M of Agency Housing Set Aside Funds and $600,000 of City Affordable Housing Trust Funds. Construction began in 2006; 100% occupied in June 2008. √



















BRENTWOOD REDEVELOPMENT AGENCY
LAND HOLDINGS
November 2008

Address & APN Acquisition Date Purchase Price Acquisition Costs Total Current Land Use, Zoning and
Parcel Size Comments
10’ Wide Parcel
Southeast Corner of Oak St. & Walnut Blvd.
No APN August 15, 2002 $12,050 -0- $12,050 Vacant Parcel;
Western Gateway
Residential
4987 sf. (assemblage site, not full r.r. row)
Purchased with funds from Brentwood Project Area. Held for possible assemblage and conveyance for future residential development
Southeast Corner of
Oak St. & Walnut Blvd.
013-232-006
March 31, 1988 $226,300 Unknown $226,300 Vacant Parcel;
Western Gateway Retail/Residential
(PD 37);
1.68 Acres Corrected ownership from City to Agency by Council Res. No. 2345 dated 8/28/01; new Grant Deed recorded 9/18/01; purchased with funds from Brentwood Project Area. Held for possible assemblage and conveyance for future retail/residential development.
604 First Street
013-110-010 April 21, 2000 $125,000 $1,263 $126,263 Parking Lot;
Downtown Core;
.17 acres (7405 sf);
20 parking spaces CIP #336-3118; RA-30 $159,000 for construction of parking lot to serve DTN area; purchased and constructed using funds from Brentwood Project Area.
8436 Brentwood Blvd.
013-100-009 January 19, 2001 $150,000 $1,455 $151,455 Parking Lot
Downtown Boulevard;
.17 acres (7405 sf);
17 parking spaces CIP #336-3125; Res. RA-34 $172,000 for construction of parking lot to serve DTN area; purchased and constructed using funds from Brentwood Project Area.


1909 Jane Way (formerly 140 Jane Way/Sunset Road)
APN: 016-010-013-7 August 5, 2004 $360,000 $2,175 $362,175 Vacant;
Residential
Zoned PD-23
.8940 acres Purchased with funds from 20% Housing set-aside. Approved 7-13-04 by Council/Agency. Hold for assemblage with 200 Sunset for future housing development. RDA-84.
1000 Central Blvd.
APN: 017-160-004 March 22, 2005 $0 $0 $0 Vacant;
Western Gateway
Residential/Office;
3.7 acres City conveyed property to Agency for future development of property by Resolutions No. 2005-53 and RD – 96.
400 Guthrie Lane
APN: 010-160-033


January 31, 2006



$0 $0 $0 20,277 sq. ft. bldg.
Zoned PD-12.
9.5 acres City conveyed property at 400 Guthrie Lane to Agency for lease of CD Bldg. by Resolution RD-110. Agency currently leases parcel to Precision Cabinets.
NEC of Second Street & Central Blvd. Remnant parcel May 8, 2006 $0 $0 $0 Vacant
High Density Residential
Zoned PD-10
0.45 acres Conveyed by Grant Deed from City to RDA. Resolution No. 2006-66 & RDA 109. DDA on hold for 14 market rate and 2 affordable units pending favorable financial proforma.
200 Sunset Court
APN 016-010-015

December 31, 2007 $512,000
$2,651 $514,651 Residential zoned parcel.
Zoned PD-23
1.12 acres Resolution RD-124 on 6-12-07. Purchased with 20% Housing Set Aside funds for future housing project with 1909 Jane Way. Relocated 3 households.
7030 Brentwood Blvd
APN 016-010-016-0

August 22, 2008 $965,000.00 $3,789.00 $968,789.00 Residential zoned parcel.
Zoned PD-23
1.12 acres Resolution RD-133 on
11-13-07.
Relocated 9 households. Hold for future commercial development after Brentwood Blvd. is widened.


BRENTWOOD REDEVELOPMENT AGENCY
Brentwood and North Brentwood Redevelopment Project Areas
Fiscal Year 2007-2008
AGENCY HOUSING ACTIVIES REPORT


• The Agency displaced and relocated two very low-, two low– and, one moderate-income households inside the Merged Redevelopment Project Areas during 2007-08. One low-income displaced household is an elderly household; and four households are non-elderly.

• Five dwelling units inside the Merged Redevelopment Project Areas were removed from the market during 2007-08 as a part of a redevelopment project of the Agency. These consisted of two very low- , two low- and one moderate-income units.

• In 2008-2009, the Agency has displaced and relocated one very low-, four low– and two moderate-income households inside the Merged Redevelopment Project Areas. One moderate-income displaced household is an elderly household, and six households are non-elderly.

• Seven dwelling units inside the Merged Redevelopment Project Areas were removed from the market during 2008-09 as a part of a redevelopment project of the Agency. These consisted of one very low- , four low- and two moderate-income units.

• The Agency continues to work with residential developers of subdivisions within the Merged Redevelopment Project Area to produce the mandated affordable housing as required by Community Redevelopment Law (15%).
o During 2007-08, the units with ongoing restrictions in favor of the Agency include:
• 9 Low income units at Town Centre Apartments; deed restricted until 2011.
• 2 Very Low income units at 540 and 544 First Street (Habitat for Humanity); 540 First deed restricted until 2029, and 544 First deed restricted until 2044.
• 40 Very Low income senior units at Sycamore Place I (Christian Church Homes); deed restricted until 2037.
• 3 Very Low income units at 504 First Street (triplex; DeNova Homes); deed restricted until 2058.
• 1 Very Low income unit and 1 L income unit at 449 and 443 First Street (Arteaga 8-plex); deed restricted until 2060.
• 4 Very Low income units, 2 L income units and 3 M income units at Arbor Village (KB Homes); deed restricted until 2050.
• 5 Moderate income units at Sycamore Square (Richmond American); deed restricted for 45 years until 2060.
• 40 Very Low income senior units at Sycamore Place II (Christian Church Homes); deed restricted until 2060.
• 6 Low income units at Pulte Rose Garden; deed restricted until 2050 (outside Merged Redevelopment Project Area).
• 17 Moderate income units at Copper Gate townhomes (Western Pacific) on Sand Creek Road; deed restricted for 45 years until 2050.
• 3 Moderate income units at California Grove; deed restricted for 45 years until 2050 (outside Merged Redevelopment Project Area).
• 36 Very Low income units at Arbor Ridge Apartments on Shady Willow Road; deed restricted for 55 years until 2060 (outside Merged Redevelopment Project Area).
• 1 Very Low income unit and 1 Low income unit at Sterling Pinnacle (Meritage), deed restricted for 45 years until 2059 (outside Merged Redevelopment Project Area).
• 3 Low income units at Brighton Station (Discovery Builders), deed restricted for 45 years until 2059 (outside Merged Redevelopment Project Area).
• 1 Very Low income unit and 3 Low income units at Magnolia Ranch/Granville Estates (Western Pacific) deed restricted for 45 years until 2059 (outside Merged Redevelopment Project Area).
• 80 restricted units at Brentwood Sr. Commons on Oak Street (Eden Housing); deed restricted for 55 years until 2062 (outside Merged Redevelopment Project Area).
• 24 Very Low and 3 Low income restricted units at Green Valley Apartments; deed restricted until 2047.
• 96 Very Low income units at Villa Amador at Shady Willow and Sand Creek Road (Mercy Housing); deed restricted until 2063 (outside Merged Redevelopment Project Area).
o The annual monitoring reports submitted to the Agency for the above units were in compliance with their respective regulatory agreements.

o Upcoming restricted units in favor of the Agency include:
• 4 Very Low income units, 3 L income units and 2 M income units at Town Centre Apartments; starting 2011 deed restricted for 55 years; agreement is signed and recorded.
• 5 Very Low income units, 3 Low income units and 4 Moderate income units at Palmilla on SWC of Central & Walnut (Pinn Brothers); deed restricted for 45 years, agreement is signed and recorded.
• 3 Very Low income units, 6 Low income units and 3 Moderate income units at Barrington (DeNova Homes); deed restricted for 45 years, agreement is signed and recorded.
• 1 Very Low income unit, 1 Low Income unit and 1 Moderate income unit at Steeplechase (Richmond America), deed restricted for 45 years, agreement is signed and recorded.
• 1 Very Low income unit at Costello (DR Horton) deed restricted for 45 years, agreement is signed and recorded.
• 2 L income units at NEC of 2nd Street and Central Boulevard (to be part of the Town Centre Apartments); deed restricted for 55 years; agreement is on hold pending favorable financial proforma.

• Deposits into the Agency’s Merged Housing Fund during 2007-08 were primarily 20% of the tax increment receipts, in the amount of $1,567,568. The Agency did not accumulate “excess surplus” as defined by Section 33334.10 of the Health & Safety Code (an unencumbered amount in the Housing Fund that exceeds the greater of $1M or the total of the last four years’ deposits in the Housing Fund).



BRENTWOOD REDEVELOPMENT AGENCY
PLAN LIMITS SUMMARY SHEET



LIMITS BRENTWOOD (“DOWNTOWN”) AREA NORTH BRENTWOOD AREA
Original Area Added Area Original Area Added Area
Date of Adoption
7-13-1982
Ord. No. 333 11-29-1983
Ord. No. 358 7-9-1991
Ord. No. 496 7-9-2002
Ord. No. 708
Time Limit to Incur Debt TIME LIMIT ELIMINATED*
3-12-2002, Ord. No. 699 TIME LIMIT ELIMINATED*
3-12-2002, Ord. No. 699 7-9-2022

Time Limit for Plan Activities 7-13-2022
Ord. 621 11-29-2023
Ord. 621 7-9-2031
Ord. 548
7-9-2032
Time Limit to Receive Increment and Repay Debt 7-13-2032
Ord. 621 11-29-2033
Ord. 621
7-9-2041
Ord. 548
7-9-2047
Expiration of Eminent Domain Authority 7-9-2014
Expired in 1995; re-established in 2002 by Ord. No. 708 7-9-2014
Extended by Ord. No. 708 7-9-2014

Maximum Tax Increment $1,516,000,000 combined**
Ord. No. 632 N/A
Maximum Bonded Indebtedness $266,000,000 combined**
Ord. No. 632 N/A
Area 370 acres  810 acres  138 acres 

Ordinances are effective 30 days after adoption. The above dates reflect the plan limits from the adoption of the ordinance, not from the effective date of the ordinance.

*SB211, signed into law in October 2001 and effective January 1, 2002, repealed any time limit to incur or establish debt for pre-1994 Plans.

**The Downtown and North Brentwood Redevelopment Project Areas financially merged by Ordinance No. 632, adopted on May 9, 2000.



July 2002 grozenski\plan limits
 
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