Loading...
R-394 . . . ,- RESOLUTION NUMBER 394 (RAS) A RESOLUTION OF THE SANTA MONICA REDEVELOPMENT AGENCY DETERMINING CERTAIN PUBLIC FACILITIES AND IMPROVEMENTS TO BE OF BENEFIT TO THE OCEAN PARK REDEVELOPMENT PROJECT AREA AND DETERMINING THAT NO OTHER REASONABLE MEANS OF FINANCING SAID PUBLIC IMPROVEMENTS IS AVAILABLE TO THE CITY OF SANTA MONICA AND AUTHORIZING THE PAYMENT BY THE AGENCY OF THE COST OF CONSTRUCTION AND INSTALLATION OF SUCH PUBLIC IMPROVEMENTS WHEREAS, the Agency desires to use Agency funds, lncluding proceeds of tax allocatlon bonds, for payment of the value and cost of certain publIc Improvements which will be of benefIt to the Ocean Park Redevelopment Project Area; and WHEREAS, California Health and Safety Code Section 33445 requires that said public the to determine Agency improvements, whether inSide or outside a redevelopment proJect area, are of benefit to such redevelopment project area, or the lmmedlate neIghborhood in which such proJect is located, prior to authorizlng said payments, and that no other reasonable means of financing said public Improvements IS available to the community; and WHEREAS, Health and Safety Code Section 33679 requires that prior to the commitment by the Agency to use tax increment funds or bond proceeds for those public improvements consisting of installation or construction of publICly owned buildlngs Cother than parking facilities), the City Council hold a public hearing to consider the making of such payments by the Agency, the benefit of such improvements to the 1 . . . redevelopment project area} and the availabilIty to the community of alternative means of financing such imp~ovements; WHEREAS, on October 23, 1984, the CIty Council and the Agency held a duly noticed public hearing on the proposed payments by the Agency; WHEREAS, pursuant to a judgment entered in the Superior Court of Los Angeles on August 12, 1983, Agency and City are legally obligated to fulfill the terms of an Amended Sales Agreement for Private Development C"Amended Sales Agreement") pertaining to the completion of development of the Ocean Park Redevelopment Project Areaj and WHEREAS, certain public beach improvements and an on-site publIC park are among the legal obligations reqUired to be fulfIlled by City and Agency pursuant to said Amended Sales Agreement; and WHEREAS, the issue of benefit to the Project Area, and the alternative means of finanCIng such public improvements have been cons idered in the Report ent 1 tied "Summary Report PertaIning to the Proposed Payment by the Santa Monica Redevelopment Agency for the Cost of CertaIn PubliC Beach Improvements for the BenefIt of the Ocean Park Redevelopment Project," attached hereto as ExhIbIt "A," and Incorporated herein by reference; NOW, THEREFORE, THE SANTA MONICA REDEVELOPMENT AGENCY DOES HEREBY RESOLVE AS FOLLOWS: SECTION 1. It IS hereby determined for the reasons set forth In Part IlIA of ExhibIt "A"} that the publiC faCilIties 2 . . . and improvements to be constructed and installed by the Agency as described in Exhibit "A" hereto, are of benefit to the Ocean Park Redevelopment Project Area. SECTION 2. The Agency hereby determines that, for the reasons set forth In Part IIIB of Exhibit "A," no other reasonable means of financing said public improvements is available to the community. SECTION 3. The Agency hereby authorIzes and approves payment of $4,743,600.00 by It for the value and cost of the Installation and construction of the publIC Improvements set forth in ExhIbit "A" hereto. SECTION 4. The Agency Secretary shall certify to the adoption of this ResolutIon, and thenceforth and thereafter the same shall be in full force and effect. APPROVED AS TO FORM: -;;, ~..... ~ By: Agency Counsel 3 e . . Adopted and approved thIS 23rd day of October 1984. ~(j ChaIrperson I hereby certify that the foregoing ResolutIon No. 394(RAS) was duly adopted by the Redevelopment Agency of the CIty of Santa MonIca at a meetIng thereof held on October 23, 1984 by the follOWIng Agency vote: Ayes: Agency Members: Noes: Agency Members: AbstaIn: Agency Members: Absent: Agency Members: Conn, EpsteIn, JennIngs, Press, Reed, Zane and Mayor Edwards None None None ATTEST: tL~A~ Secretary ~ .ATTACHMENT TO RESOLUTION 394 (RAS) and RESOLUTION 6928(CCS) , OCEAN PARK REDEVELOPMENT PROJECT SANTA MONICA] CALIFORNIA SUMMARY REPORT PERTAINING TO THE PROPOSED PAYMENT~ BY THE SANTA MONICA REDEVELOPMENT AGENCY FOR THE COST OF CERTAIN PUBLIC BEACH IMPROVEMENTS FOR THE BENEFIT OF THE OCEAN PARK R~DEVE~OPMENT p~OJECT . SANTA MONICA REDEVELOPMENT AGENCY October 9, 1984 . . . . TAB~E OF CONTENTS paqe I. Introduction 1 II. Estimated Tax Increment Funds Proposed to Be Used to Pay Costs of Ocean Park Beach Improvements 2 III. Facts Supporting Findings 2 A. The Ocean Park Beach Improvements Are of Benefit to the ProJect Area 2 B. Financing Alternatives: No Other Reasonable Means of FinanCing the Ocean Park Beach Improvements is Available to the Community IV. The Redevelopment Purpose for which Tax Increment Funds are Belng Used to Pay fo~ the Ocean Park Beach Improvements Exhibit A - Site Hap Exhlblt B - Excerpt of City Staff Report Dated August 14, 1984 ExhIbit C - Construction Cost Estimates (for Off-Site Public Improvements) As Of August 20, 1984 Exhlbit D - Construction Cost Estimates (for Public On-Site Public Improvements - Excerpt from January 24, 1984 City Staff Report) ~ 3 4 . . . I. INTRODUCTION. The Santa Monica Redevelopment Agency C"Agency") has prepared thIs summary report pursuant to Section 33445 of the CalIfornIa Community Redevelopment Law [Health and Safety Code Sections 33000 et ~~q.). ThIS summary report sets forth certain details of the Ocean Park Revised Beach Plan (the "Plan") whIch pertaIns to the development of certaIn public faCIlities and improvements for the benefit of the community as a whole, and Ocean Park Redevelopment Project Area lCa) and l(b)(hereinafter collectIvely "Project Area"), In particular. ~ Pursuant to the Plan, the Agency wlll make arrangements to deSign, construct and install publlc improvements which include the following major components: A. A new separated beachfront bikepath and pedestrian promenade with a seatwall allowing rest and viewlng are~; B. Expansion of an existing park located at the foot of Ocean Park Boulevard, and creatIon of an additional 1.5 acres of park spacej C. AddItion of a new 3.5 acre linear park along Barnard Way (extending from Crescent Bay Park to the South City limits)j D. Improvements to Beach ParKlng Lots, includIng redeSIgn, repaving and improved vehicle and pedestrIan access; E. Improvements to ~xisting pedestrian access paths and landscaping; F. restroom, Redesign and constructIon of food concession, publlC shower and changing room faCilitIes; G. Addition of plcnic areas, shade pavilIons and a chlldrens' play area. H. Various street and traffic Improvements for purposes of lncreased traffic and pedestrian safety, facilitation of trafflc flow and increased public access to beach areas. The location of the proposed publ1C improv~ments 1S shown on the Site Map, Exhibit "A." Attached hereto as Exhibit "B," and Incorporated hereln by reference, is the relevant portion of the City Staff Report of August 14, 1984 settIng forth the specific detaIls of the Ocean Park ReVIsed Beach Plan and proposed public improvements to be deSIgned, constructed and Installed uSlng tax Increment funds or proceeds of tax lncrement bonds. 1 . . . In addition to the public beach Improvements described above} the Agency will make arrangements to design, construct and install an on-site public park. Sa1d park shall occupy 5.89 acres InsIde the boundaries of the Redevelopment ProJect Area and will contain six tenniS courts, two paddle tenniS courts, one basketball court, a play area and pedestrian paths. II. ESTIMATED TAX INCREMENT FUNDS OR PROCEEDS OF BONDS TO BE USED FOR PAYMENT OF ~ONSTRUCTION OF PUBLIC FACILITIES AND IMPROVEMENTS. Attached hereto as ExhIbi~ "C,~ and made a part hereof, are the August 20, 1984 Construction Cost Estimates concernIng the Ocean Park beach improvements whlch are outslde of the Project Area ("Off-Slte~ Improvements). AdditIonally attached hereto as Exhibit "D,u and made a part hereof, are construction cost estimates for ~publlc improvements whIch are inside the Project Area C~On-Site~ Improvements), consisting of a 5.69 acre on-site public park which shall contain SIX tennis courts, two paddle tennis courts, one basketball court, a play area and pedestrian paths. Estimated interest costs are also included. Such costs pertain to interest arising on that portion of tax allocation bond proceeds used for the described beach improvements. III. FINDINGS. A. THE PUBLIC FACILITIES AND ~HPROVEMENTS ARE v: BENEFIT TO THE OCEAN PARK REDEVELOPMENT PROJECT AREA. The proposed publlC faCIlities and improvements referred to in Section II above and the attachments hereto will benefit the Ocean Park Redevelopment Project Area in that they will: ( 1 ) upgrading areas; Aid in the elimination of blight by replaCing or deteriorated walkways, landscaping and recreational (2) Attract lmprovementsj private development by aesthetiC (3) Increase recreational opportunIties for reSIdents of the Project Areas; (4) Fulfill Agency oblIgations to improve traffiC circulation, beach access and pedestrian safety for the Ocean Park Redevelopment Project Area; (5) Fulfill Agency obligations to comply with Coastal Commlssion permit approval requIrementsj 2 . . . (6) To the extent that such publIC Improvements are outsIde the Project areas, the Improvements wIll provIde a healthy and safe environment which attracts users In a posItive way, and the presence of such users will provide a better economIC climate and more jobs for residents of the ProJect Area. (7) Pursuant to a judgment entered in the SuperIor Court of Los Angeles on August 12, 1983, the Redevelopment Agency of the City of Santa Monica, the City CounCil of the CIty of Santa Monica, and the City of Santa Monica are legally bound to comply with the terms and condItions of an Amended Sales Agreement for Private D~velopment (the "Amended Sales Agreement") between the City, the Agency and PaCific DominIon Property Company for the completion of Phase II of the development of Ocean Park Redevelopment Projects l(a) and lCb) (hereinafter "Redevelopment Project Area"). SaId Amended Sales Agreement set forth a choice of two permissible development plans. The plan selected by the City and Agency legally obligates CIty and Agency to develop an on-site~public park and the public beach Improvements descrIbed herein. Accordingly, the payment of such publIC improvements by the Agency is of benefIt to the Redevelopment Project Area SInce It fulfills legal obligations arisIng out of the development of such Redevelopment ProJect Area. B. NO OTHER REASONABLE MEANS OF FINANCING THE PUBLIC FACILITIES AND IMPROVEMENTS IS AVAILABLE TO THE COMMUNITY. In CalIfornIa, munIcipal or tax-exempt fInanCIng has tradltlonally taken one of two basic forms: general oblIgation bonds or revenue bonds. General obligatIon bonds pledge ad valorem property taxes without lImit as to rate or amount; hence} they were highly regarded by investors and commanded the lowest borrowing rate because of their minimal credIt risk. However, ArtIcle XIIIA of the CalIfornia constItution, adopted In 1978, prohibits issuance of such general oblIgation bonds. Revenue bonds are payable from a speCIfIC revenue source other than property taxes. These bonds have been used extensively for financing water, sewer, or other utility systems, toll bridges and airports, where revenues of the enterprises are reasonably well assured. Issuance of conventIonal revenue bonds generally requires a SImply majority vote. However, the proposed improvements' Will not generate any revenueJ so such financing is not feaSIble. of the the from The City's general revenues are another possible source revenue for the proposed improvements. However, follOWIng passage of Propositlon 13} severe straIns were placed on City's revenues because of the curtaIlment or withholding CItIes by the State of CalIfornIa of revenues 3 . . . ~radltionally subvented to local government. While some of these sources have been returned to cities in the State's FY 1984-85 budget, there is no certainty that the reduction of the subvention stream might not reoccur. The fact of historically dlminished revenue, uncertainty of future revenues, and the need to provide a suitable level of serVIce, dIctates that lf the City advances any of its general operating reserve for the proposed improvements, a means of recovering the cost be avallable from the Agency from tax increment revenues. ~ Tax 1ncrement revenues or tax allocatIon bonds proceeds are the only viable rnethoq of financing the proposed improvements. Tax allocatIon bonds are payable from and secured solely by tax revenues to be derived from the Project Area and the use of such revenues is appropriate since the ProJect Area will be benefitted. Tax increment revenues are allocated annually to the Agency to the extent of Agency indebtedness, and are paId from the portion of taxes in excess of the assessed valuation of that property In the base ~ear of the ProJect. IV. THE REDEVELOPMENT PURPOSE FOR WHICH TAX INCREMENT FUNDS ARE BEING USED TO PAY FOR THE PUBLIC FACILITIES AND IMPROVEMENTS. The Redevelopment Plans lea) and l{b) for the Ocean Park Redevelopment ProJect contemplate that a number of public improvements and facilities will ,be provided to turn the Project Area from stagnant and underutilized land to productive use and an asset to the City. Among the publIC Improvements and utilities to be provided in connection with the redevelopment of the Site as provided for in the Redevelopment Plans are traffic signals; street improvements; and similar site preparation necessities. Since the Redevelopment Plan for Project l(a) was adopted in 1960 and the Redevelopment Plan for Project lCb) was adopted in 1961, the Agency has been in the process of redeveloping the vicinity of the Site by plannIng and developing necessary publ1C improvements Csuch as streets and related faCILities) and utilities to remove the condItion of inadequate facIlities which was impeding the development of the area. The Agency now proposes to contlnue that redevelopment effort by making the beachfront area a pOSItive asset to the Project Area. A beachfront bikeway, pedestrIan paths, landscaping, and additional park and recreational areas are among the public improvements proposed to make the Project Area and the surrounding community more attractive and viable. The proposed beach improvements, WhICh are in close proximity to the ProJect Area, will encourage better use of such beachfront area which has been stagnant and lmproperly utILIzed In the past due to deteriorated conditions. The 4 . . . Agency seeks to further the purposes of redevelopment by making the area more attractive to visItors and ProJect Area residents, thus expanding employment opportunlties for Jobless and underemployed persons and to provide an environment for social, economic and psychological growth and well-belng. It 1S anticipated that the improved beach facilIties and improvements will attract residents and visltors to the Project Area, which will enhance the development of adJacent portlons of the Project Area. ~ 5 -& olr- . .,. . I I I . , . . \ I I I I \ I , I , . I: I .. ~ I . I . I . I . I i : r I I 1 I : 1I . e I : I n I .. I I I .. . : ~ .. I \....... I I I I I I I I I I I I I I I I I I I I I I , , I _ : i~ : ... :.- : ~I I ~I'l I :.- I J : I : !. I , I I I I . I 1 , I I I I I . I I I I , I I . ----1- -- ca tf \J "'" L;J f--f C\:) ~J . ~ ;S . ~ ..... ~ L-.~ . ____.-J I i 0\ - ~ ~ '. i r70'O-' I , ~ II ;g:g il] ~ ~ ~ q ~ ~~ rrJ ~ ~Ju I. ~ Ir; ~ ~ ~." gg ~rrn '" , Wl\Y , m O~~ .~L- f1H-jj drT JUi '1lJ __~D~ L II S 1# _ 10 ~ !. .. ~ I: 6 ~ o ~ ~ ,. "'iT'" l""!:T 'b}>C' ~1' ....~J. ~~. _ni--n _n . - -~+-~--- ----+---- -~-_..---- n_ ....-t --- ----r- oo tot ~ o .. l> J: 8 ~ J i I r-I ~ ~ RAY 6;"/0 .. t l ~~ N 111111::1\\11~ i ! i 111111: I! [I 1 I ,: I I ! I I' J _ ~ ~ I I ~ I ft--Jd 1111111111 lEl ! g Wllflll1lillllttl! .~ 1Illll ! i. 1I111llJ ! t=-+lll \ j! 1 U+UJJp: ,.~ II ; ~ "i I: i. II ~'l ';'1 .ll - I' !! ~', i I' i~ I It l' Ii ~ i :' tl I,; hoof f----. .~ :r ! i .... It ir .. ' j \1 I .. : ! i~ ~ I , II ! ; !