|REDEVELOPMENT AGENCY AGENDA
ITEM NO. 5
Meeting Date: March 8, 2005
Subject/Title: Discussion and approval of revised Redevelopment Agency project priorities funded by the 2001 Tax Allocation Bond Proceeds and in coordination with Capital Improvement Program
Prepared by: Gina Rozenski, Redevelopment Manager
Submitted by: Howard Sword, Director of Community Development
Discuss and approve revised Redevelopment Agency project priorities funded by the 2001 Tax Allocation Bond Proceeds and direct staff to coordinate the approved project priorities with the Capital Improvement Program as needed.
In February 2001, the Redevelopment Agency identified several redevelopment projects it wished to pursue using the proceeds of the Tax Allocation Bond (“TAB”) issued and sold in September 2001. These projects are identified below, with Agency action shown in boldface:
• Groundfloor retail / multi-level parking facility in Downtown Area.
• Downtown and Brentwood Boulevard revitalization plans, studies & projects.
• SPA B infrastructure (Sand Creek Business Center & Gregory Ranch).
• Sunset Industrial Complex.
• e-Bart in Downtown.
• Brentwood Center façade, signage and sitework (LMC center).
• Brentwood Plaza façade, signage and sitework (Centromart center).
• Highway 4 improvements (sidewalks, curbs, roadways).
• Voluntary relocation of non-conforming businesses along Brentwood Boulevard.
• Extension an/or improvement of water and sewer services.
• Amendment to Project Area.
In addition to the above project expenditures, the Redevelopment Agency authorized the 2001 TAB proceeds be spent to repay the City for outstanding loans it made to the Agency for earlier projects. These loan repayments are identified as the first five items on Attachment A, under Approved Expenditures.
On February 11, 2003, the Redevelopment Agency considered recommendations to spend the remaining TAB proceeds to fund other redevelopment and capital improvement projects than those originally identified in 2001. The Agency agreed that the staff-recommended projects with a higher strategic value be funded, while holding the other lower strategic projects until a future bond issuance. At the Agency’s direction, staff included these projects in the Agency’s 2003-2005 operations budget as well as the 2003 Capital Improvement Program budget. These projects are identified in Attachment A, 2003 Priorities.
On April 27, 2004, the Redevelopment Agency revised its project priorities by deleting a few 2003 projects and adding newly identified, more urgent projects such as specific plans and associated studies, and improved infrastructure and improvements on Lone Oak Road, in the Downtown Area, and on Walnut Boulevard. These projects are identified on Attachment A, 2004 Priorities
Over the last three years, the Agency has annually reviewed the use of its TAB proceeds and has based its decisions to fund projects that meet the following redevelopment goals and strategies:
• Leverage the bond proceeds to increase future tax increment revenues.
• Create jobs.
• Improve existing vehicular circulation and install new infrastructure.
• Generate sales tax to the City.
• Encourage future private investment in the redevelopment project areas.
• Revitalize the Downtown and Brentwood Boulevard areas by preparing and implementing specific and strategic plans.
• Promote sustainable commercial uses.
• Encourage infill commercial and housing development.
• Promote business retention and attraction.
A year has passed since the Agency’s last priority setting discussion, and priorities have changed for a variety of valid reasons. In preparing for the upcoming Capital Improvement Program, it is timely for the Agency to revisit its project priorities and decide how it wishes to revise and spend the remaining 2001 TAB balance.
Using the same goals and strategies as above, staff recommends the following revisions and new priorities for the Agency’s review, discussion and approval (refer to Attachment A, 2005 Proposed Priorities):
1. Maintain the following priorities:
a. $50,000 for marketing activities, events and functions in the Downtown Area.
b. $388,310 for partial water system upgrades in Downtown (current CIP).
c. $245,500 partial sewer collection system upgrades in Downtown (current CIP).
d. $1,490,000 for water and sewer improvements on Lone Oak (current CIP).
e. $130,000 for Downtown safety improvements at Second & Maple Streets (current CIP).
2. Postpone the following priority at this time:
a. $4,000,000 for Retail/Parking Facility assistance (current CIP). Staff recognizes the importance of this project as it relates to the success of a potential entertainment element in the Downtown Area as conceptually approved by the Council during the specific plan workshops, and recommends this project be funded by a separate bond issued at a future date.
3. Increase funding of the following priorities:
a. $390,000 for Downtown and Brentwood Blvd. Corridor Specific Plans and Studies, such as EIR, Phase I/II, traffic, parking, economic, and other studies to implement projects and activities as approved in the Specific Plans.
b. $1,600,000 for Walnut Boulevard widening (to add utility undergrounding from McClarren Road to Oak Street) (current CIP).
4. Add the following new priorities:
a. $2,000,000 for the new police station facility (this allows the City to re-allocate $2M from the police facility to the city hall project) (current CIP).
b. $1,440,000 for a potential community playhouse or performing arts center in the Downtown.
5. Eliminate the following priority:
a. $40,000 for Downtown kiosks.
Approximately $15,000 TAB funds will remain from the original $16.3 million bond issuance if the staff recommendations, as proposed herein, are approved by the Agency. Ultimately, 100% of the bond proceeds will be used on project-related expenditures. No proceeds from the bonds were used for administrative costs or salaries, which are permitted uses.
Staff anticipates the Agency will be in a position to issue tax increment bonds in another three years, when new developments are completed within the Merged Redevelopment Project Area and, in turn, will generate increased tax increment revenues. Proceeds from a future bond will then be used for new projects as identified and approved by the Agency.
None at this time. Each of the projects identified as priorities will be brought before the Agency for consideration and official approval prior to commencement.
City of Brentwood City Council
150 City Park Way
Brentwood, CA 94513
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