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HomeMy WebLinkAboutDCP011416 Meeting time, date, or location may be subject to change. Please contact the City Recorder at 541-423-1026 for additional information. I. MEETING CALLED TO ORDER – 6:00 p.m. II. ROLL CALL III. APPROVAL OF MINUTES IV. DISCUSSION ITEMS A. Jackson County Fire District 3 Letter dated September 18, 2015 B. Update, East Pine Street Streetscape Engineering Project V. BUSINESS A. Consideration of Resolution No. 2016-01 accepting the FY14-15 Annual Financial Report. VI. ADJOURNEMENT City of Central Point Development Commission Meeting Thursday, January 14, 2016 6:00 P.M. Central Point Council Chambers 140 S. 3rd Street Central Point, Oregon Members: Hank Williams Allen Broderick Bruce Dingler Taneea Browning Mike Quilty Brandon Thueson Rick Samuelson Staff Liaison: Chris Clayton CITY OF CENTRAL POINT Development Commission Minutes November 12, 2015 I. REGULAR MEETING CALLED TO ORDER Chair, Mayor Hank Williams called the meeting to order at 6:00 p.m. II. ROLL CALL: Chair: Mayor Hank Williams Commission Members: Bruce Dingler, Rick Samuelson, Brandon Thueson, Taneea Browning and Mike Quilty were present. Allen Broderick was excused. City Manager Chris Clayton; Community Development Director Tom Humphrey; Police Chief Kris Allison; Planning Manager Don Burt; Information Technology Director Jason Richmond; Finance Director Bev Adams; and City Recorder Deanna Casey were also present. III. APPROVAL OF MINUTES A. Approval of August 13, 2015 Development Commission Minutes. Mike Quilty moved to approve the minutes as presented. Taneea seconded. Roll Call: Mayor Williams, yes; Bruce Dingler, yes; Rick Samuelson, abstain; Brandon Thueson, yes; and Mike Quilty, yes. Motion approved. IV. DISCUSSION ITEMS A. Certified Tax Increment Revenue, FY 15-16 Planning Manager Don Burt explained the committed obligations for the city. The Tax Increment came in lower than projected but we don’t foresee any problems. The Commission has two options; they can reduce expenditures, or they can borrow funds equivalent to the reduction in revenue. If the Commission wishes to reduce expenditures the most obvious cost reduction would be to postpone the East Pine Street Engineering project which is approximately $315,000. Other expenses in the budget could be reduced, but not in an amount sufficient to cover the projected revenue reduction. The Commission could borrow $100,000 from the City which is within the authority of the Commission. It is anticipated that the loan would be short-term (1 to 2 years) to be paid back with a larger loan of approximately $2,000,000 which will primarily be used to construct the first phase of the East Pine Streetscape project in 2016/2017. He explained there has not been any action on the Façade Improvement Program. They have had several businesses ask about it, but no one has applied. If there is an application it would come before the Commission before any action is taken. City of Central Point Development Commission Minutes November 12, 2015 Page 2 Staff recommends proceeding with budget as approved, with a line of credit or short term loan from the City. The consensus was to continue as planned with the current projects. B. East Pine Street Streetscape Project, Engineering Plans Mr. Burt explained that the Fiscal Year 2015-2016 Budget includes funding for the preparation of engineered plans for the East Pine Streetscape and Signalization Improvements. The estimated cost for preparation of the engineered plans is $315,000. The objective is to complete the engineered plans, including a phasing option this year, and to commence construction of the first phase late next year. As mentioned earlier in the meeting in order to complete the engineered plans it will be necessary for the Commission to borrow additional funds to cover the cost of the project. The purpose of this agenda item is to confirm the direction that the Commission wishes to proceed. He explained that the City would need to prepare a Request for Qualifications and notices. After reviewing them the Commission would approve a selection, then borrow the funds and award the contract. There was discussion regarding the qualifications and the plans that would be required. The final design would have phases so that they could be done as the budget allows. Finance Director Bev Adams stated that the City had a larger carry over this year than expected. The Development Commission could take out a loan from the city. We could have a Study Session to explain the different financing options for the projects the Commission plans to do. Staff recommends moving forward with this project. The recommendation would be to start the first phase in the vicinity of the Post Office so we could get the pedestrian light installed. There was discussion of trees along the sidewalks. We have to be careful where located and the tree species so the roots don’t push up the sidewalks or street as they grow. The Commission indicated that staff should move forward and get RFQ’s. Mr. Burt stated that the first payment to Walgreens is due in January. VI. ADJOURNMENT Brandon Thueson moved to adjourn, Rick Samuelson seconded, all said “aye” and the meeting was adjourned at 6:28 p.m. Dated: _______________________ Chair Mayor Hank Williams ATTEST: __________________________ City Recorder Page 1 of 2 STAFF REPORT January 14, 2016 AGENDA ITEM: V-A Discussion, Jackson County Fire District 3 Letter dated September 18, 2015 STAFF SOURCE: Don Burt, Planning Manager BACKGROUND: Back in September 2015 the Fire Chief for Fire District No. 3 submitted a letter to the Board of Directors regarding the relationship between the Development Commission and Fire District No. 3. The point of the letter has to do with funding options for the Urban Renewal Plan’s project 14, Fire Safety (approximately $1.5 M). A consideration posed by the Fire District is whether or not to establish an agreement between the Fire District and the Development Commission that addresses scheduling and funding for Project 14, or; at the Fire District’s recommendation, abandon Project 14 allowing the Development Commission to focus on projects that will improve the economic viability of the area, thus generating more tax increment revenue sooner. In the last paragraph of the letter the Fire District staff is recommending that the Fire District not request funding for Project 14 in the next 15 years and that in exchange the Development Commission will consider terminating the urban renewal agency 5 to 10 years early. On January 7, 2016 City staff will meet with the Fire Chief to discuss the Fire District’s proposal in advance of the Development Commission meeting. At the January 14th meeting this item will be introduced. Because of the scope and complexity of the request it is unlikely that any decisions will be made other than general direction and further discussion. Presently, staff has not analyzed the financial implications of the proposal. EXHIBITS/ATTACHMENTS: Attachment “A” – Jackson County Fire District No. 3 Letter dated September 18, 2015 ACTION: Discussion RECOMMENDATION: Page 2 of 2 Discussion and direction Page 1 of 1 STAFF REPORT January 14, 2016 AGENDA ITEM: V-B Consideration of Resolution Accepting the Annual Financial Report for Fiscal Year 2015-16. STAFF SOURCE: Don Burt, Planning Manager BACKGROUND: Oregon Revised Statute (ORS) 457.460 Financial Report Required for Agency establishes that all urban renewal agencies prepare an annual financial report for the preceding and current fiscal year. Per ORS 457.460 the annual financial report is required to contain five (5) elements, including an analysis of the impact, if any, of carrying out the urban renewal plan on the tax collections for the preceding year for all affected tax districts. When completed a notice shall be published acknowledging that the Financial Report (Report) has been prepared and available to interested parties. The deadline for filing the Financial Report is January 31st of each year. As noted in the attached Report tax increment revenue collections have been increasing, but are still negligible when placed in the context of property tax collections by all affected taxing districts. The overall impact on affected taxing districts for FY14-15 amounted to $0.0013 per dollar of property tax revenue (Table 5) collected by affected taxing districts. The most significantly impacted taxing district is the City of Central Point at approximately $0.0069 per dollar of property tax revenue collected, followed by the School District and the Fire District at approximately $0.0033 and $0.0020 per dollar of property tax collected. EXHIBITS/ATTACHMENTS: Attachment “A” – Central Point Development Commission Annual Financial Report, Fiscal Year 2015-16. Attachment “B” – Resolution No. 2016-01. ACTION: Consider resolution accepting the Annual Financial Report for Fiscal Year 2015-16. RECOMMENDATION: Adopt Resolution No. 2016-01 accepting the Annual Financial Report for Fiscal Year 2015-16. Page 1 of 4 Exhibit "A"City of Central Point Downtown & East Pine Street Corridor Revitalization Plan Annual Fiscal Report for FY2015-16 January 14, 2016 SUMMARY This fiscal report is for FY15-16 and has been prepared per ORS 457.460. The purpose of this report is to address the costs and fiscal impacts on other affected taxing districts of carrying out the City of Central Point Downtown & East Pine Street Corridor Revitalization Plan (Urban Renewal Plan). The source of information used in this report is from the Jackson County Assessor’s Office (Summary of Assessment & Levies, Tables 4a-4e dated October 2, 2014), and the Urban Renewal Plan’s budget (FY14-15 and FY15-16). FY2013-14 was the first fiscal year that the Urban Renewal Plan was eligible to collect tax increment revenue. The amount collected was very small at $6,194. For FY14-15 the amount collected increased to $119,074. The impact of the Urban Renewal Plan’s tax increment revenue on the property tax collections of the affected taxing districts remains very minimal. For FY14-15 the average fiscal impact was less than $0.0013 per tax dollar received by the affected taxing districts (See Table 5, Tax Revenues Received). Overall the fiscal impact ranged between $0.0004 per dollar received in property tax revenue to approximately $0.0069 per dollar received in property tax revenue (City of Central Point). REPORT REQUIREMENTS In accordance with ORS 457.460 there are five (5) requirements that the financial report must address: 1.The amount of money received during the preceding fiscal year under ORS 457.420 to 457.460 and from indebtedness incurred under ORS 457.420 to 457.460.Table 1 identifies the amounts and sources of monies received by the Central PointDevelopment Commission (Commission) during FY14-15. The total amount of moneyavailable to the Urban Renewal Plan was $254,096. Page 2 of 4 2.The purpose and amounts for which any money received under ORS 457.420 to 457.460 and from indebtedness incurred under ORS 457.420 to 457.460 were expended during the preceding fiscal year.Table 2 identifies the actual expenditures and purpose of expenditures by the Commissionfor the preceding fiscal year (FY14-15). 3.An estimate of the moneys to be received during the current fiscal year under ORS 457.420 to 457.460 and from indebtedness incurred under ORS 457.420 to 457.460.Table 3 identifies the monies to be received and their source. For fiscal year 2015-16 it wasestimated that the Commission would begin the year with a $125,150 beginning cashbalance1. Total tax increment revenues budgeted to be received was $287,800. Moneysplanned to be received totaled $414,300. 1 The FY14-15 Beginning Fund Balance was estimated and not based on actual expenditures. Table 1. MONEY RECEIVED, FY14-15 Source Description Amount Beginning Fund Balance 134,038$ Tax Increment Revenue, FY14-15 119,074$ Tax Increment Revenue, Prior Years 94$ Interest 890$ Indebtedness -$ Total Amount Received 254,096$ Table 2. PURPOSE AND AMOUNTS OF MONEY SPENT, FY14-15 Expenditure Description Amount Personal Services -$ Materials and Services 1,265$ Capital Outlay 108,314$ Debt Service 2,500$ Contingency -$ Total Expenditures 112,080$ Page 3 of 4 4.A budget setting forth the purpose and estimated amounts for which the moneys which have been or will be received under ORS 457.420 to 457.460 and from indebtedness incurred under ORS 457.420 to 457.460 are to be expended during the current fiscal year.Table 4 identifies the budget and purpose of expenditures by the Commission for thecurrent fiscal year (FY15-16). 5.An analysis of the impact, if any, of carrying out the urban renewal plan on the tax collections for the preceding year for all taxing districts included under ORS 457.430.Within the City of Central Point there are a total of eleven (11) affected taxing districts witha FY14-15 combined tax rate of $17.0321/$1,000 of assessed value. The Urban Renewal’sbase value was set in FY2012-13 at $139,787,170. The FY14-15 incremental value for theUrban Renewal Plan District was $772,850. During FY14-15 the impact of implementationof the Urban Renewal Plan on the affected taxing districts is illustrated in Table 5, both interms of property tax dollars diverted and a percentage of total property tax dollarscollected for each taxing district. As illustrated in Table 5 the impact of the Urban RenewalPlan’s tax increment for FY14-15 collections was ($119,168). The most significantlyimpacted taxing district is the City of Central Point at approximately $0.0069 per dollar of Table 3. MONEY PLANNED TO BE RECEIVED, FY15-16 Source Description Amount Beginning Fund Balance 125,150$ Tax Increment Revenue, FY14-15 287,800$ Tax Increment Revenue, Prior Years 150$ Interest 1,200$ Indebtedness -$ Total Amount Planned to be Received 414,300$ Table 4. PURPOSE AND AMOUNTS PLANNED TO BE SPENT, FY15-16 Expenditure Description Amount Personal Services 18,000$ Materials and Services 18,900$ Capital Outlay 360,000$ Debt Service 7,400$ Contingency 10,000$ Total Expenditures 414,300$ Page 4 of 4 property tax revenue collected, followed by the School District and the Fire District at approximately $0.0033 and $0.0020 per dollar of property tax collected. Table 5. TAX REVENUES RECEIVED FY14-15 BY AFFECTED TAXING DISTRICTS Tax District Affected Taxing Districts Property Taxes to be Received Property Taxes Diverted to Urban Renewal Percentage of Toal Property Taxes Diverted to Urban Renewal 1 City of Central Point 4,820,942$33,323$ 0.69% 2 Jackson County 38,390,967$16,313$ 0.04% 3 Fire District No. 3 11,909,282$23,259$ 0.20% 4 RVTD 2,332,956$1,310$ 0.06% 5 Vector Control 747,674$313$ 0.04% 6 Water Conservation 871,936$370$ 0.04% 7 Jackson County Library 9,063,985$5,196$ 0.06% 8 4-H Ag Extension 871,936$370$ 0.04% TOTAL LOCAL GOVERNMENT 69,009,678$80,454$ 0.12% 9 School District No. 6 12,703,999$42,379.96 0.33% 10 RCC 10,811,879$3814.8748 0.04% 11 ESD 5,099,390$2619.1734 0.05% TOTAL SCHOOLS 28,615,268$48,814.01 0.17% GRAND TOTAL PERMANENT 97,624,946$129,267.94 0.13% Development Commission Resolution No. 2016-01 RESOLUTION NO. 2016-01 A RESOLUTION OF THE CENTRAL POINT DEVELOPMENT COMMISSION ACCEPTING THE ANNUAL REPORT FOR THE DOWNTOWN AND EAST PINE STREET CORRIDOR PLAN FOR FISCAL YEAR 2015-16 WHEREAS, the Development Commission has reviewed the Annual Report for the Downtown and East Pine Street Corridor Plan (Annual Report); and WHEREAS, the Annual Report has been prepared in accordance with ORS 457.460. NOW, THEREFORE, BE IT RESOLVED that the City of Central Point Development Commission by Resolution No. 2016-01 hereby accepts the Annual Report per attached Exhibit “A” and directs the Urban Renewal Director to file the Annual Report with the City Council of the City of Central Point and properly publish notice of availability per ORS 457.460(2). PASSED by the Development Commission and signed by me in authentication of its passage this 14th day of January 2016. __________________________________ Hank Williams, Chair ATTEST: _______________________________ City Representative