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Tigard Urban Renewal Agency - 1983-1984 T igard Urban Renewal Agency 1983-84 B UDGET TIGARD URBAN RENEWAL AGENCY BUDGET MESSAGE FISCAL YEAR 1983 -84 BUDGET The requested annual budget for the Tigard Urban Renewal Agency (TURA) for fiscal year 1983 -84 is herewith delivered to the Budget Committee. The requested budget of $120,250 exceeds that approved for fiscal year 1982 - -83 substantially due to the inclusion of a $100,000 bond sale, or short term note, which would be utilizied to begin the actual capital improvements in the TURA area. The coming year of the program, only the second with funds generated from tax increments, represents the start of the renewal process. The budget was developed to allow for initiation of program activities limited to the realistic expectations of tax increment fund generation. The TURA proposes to incur a debt of $100,000 during the program year. This, coupled with an estimated $17,595 in tax increment generated funds as well as prior year taxes and interest earned will generate approximately $120,250. The funds will be used to fund materials and services of $18,000 in the form of contractual services and interest payments. The remaining $100,000 would be combined with storm drainage funds and System Development Charge /Bikeway monies to cover the costs of renovations to the Main Street Bridge and the provision of new parking /bikeway facilities. In terms of financial policy, the TURA program is operated with the same philosophy as the City of Tigard. The program policy is to initiate specific activities only as anticipated revenues appear to be sufficient to pay off short term debt in a period of only a few years. Since the program is so new, the TURA is cautious to incur significant debt until a strong tax increment flow is generated. The most important feature of the budget doucment is the inclusion of a $100,000 bond sale. This sale could end up as a short term note, again due to the fiscally conservative stand of TURA. Bond sale or short term note funds would begin the physical activities of the program. Changes from the previous year in appropriation and revenue stem from initiation of capital improvements and an anticipated increase in tax increment funds. As economic development takes place in the TURA area, the tax increment fund flow will increase accordingly. The program also includes a change in policy to utilize contractual services for legal services, planning assistance, and a financial consultant. The TURA feels that the proposed budget represents a realistic picture of the revenues which can be initiated. In coming years, as the spinoff effects of the agency investments become evident, the budget will expand to accomodate the completion of those projects identified in its TURA plan. Within ten years, the physical appearance and the economic vitality of the area should be dramatically improved. Robert W! Jean, City Administrator (RWJ:WAM;lw /0018F) CITY OF TIGARD, OREGON ► SENT,' REVENUE SUMMARY 44\ ®983 -84 ANNUA BUDGET CC UN CO TI URBAN A CCO[/NT CODE: RENEWAL AGENCY (TURA) t. ACTUAL ACTUAL 8U DIETED REQUESTED REVENUE 0 PROPOSED RECOMMENDED ADOPTED 1980 -81 1901-12 1982 -83 1983- 84 MISCELLANEOUS 19 ea -8 4 1983- 84 19 83- 84 - 0- -0- -0- -0- 295 Fund Balance -0- -0- -0- -0- -0- 5,300 17,595 300 Taxes 17,595 7,595 7,595 301 Taxes - 0- -0- -0- 405 Prior Year Taxes 405 405 405 -0- -0- 15,000 100,000 Bond Sale /Short Term Note 100,000 100,000 100,000 -0- 0- 200 2,250 Interest Earned 2,250 2,250 2,250 -0- -0- 15,000 120,250 TOTAL - TURA 120,250 110,250 110,250 Tax increment increase of $850,000 from new construction in FY 82 -83 x $23 total tax rate = $19,550...$19,550 -10 . delinquent taxes = $17,595... Interest on 3 months of $100,000 @ 9 %... 1 • r CITY O F TI G A R OREGON PROGRAM : { COMMUNITY DEVELOPMENT DEPARTMENT (TURA) i L A /983 84 ANNUAL. auDGET" BUDGET UNIT < ACCOUNT CODE : Planning & Development Planning i The Tigard Urban Renewal Agency is responsible for implementing the renewal program established for the Tigard Urban Renewal Area (downtown). The agency formulates policy, develops capital improvement recommendations, and coordinates all activities directed toward the economic revitalization of the area. An advisory committee assists the agency in initiating discussions of policy alternatives as well as development standards. ACTUAL ACTUAL BUDGETED REQUESTED EXPENDITURE PROPOSED RECOMMENDED ADOPTED 1980 -81 1981 -82 1982 -83 1983 -84 SUMMARY 1983-84 1983 -84 1983 -84 - 0- -0- -0- -0- PERSONAL SERVICES: -0- -0- -0- MATERIALS 8 SERVICES: - 0 - - 16,250 18,000 18,000 18,000 18,000 - 0- -0- -0- 100,000 CAPITAL OUTLAY 100,000 90,000 90,000 - 0- -0- 4,250 2,250 Contingency: 2,250 2,250 2,250 -0- -0- 20,500 120,250 TOTAL - COMM. DEV. 120,250 110,250 110,250 During 1983 -84, the agency will initiate capital improvement activities by undertaking renovations for the expansion of the Main Street Bridge as well as an evaluation of the parking situation on Main Street. A proposal will be formulated to provide a better system of parking for the entire TURA area. Other capital projects will be prioritized for implementation in future years in accordance with the revised TURA plan. 2 P ROGRAM : COMMUNITY DEVELOPMENT A CITY OF TIG OREGON DEPARTMENT (TUBA) ,.� 1983 -84 ANNUAL ACCOUNT CO UA L BUDGET U Plan & Development ACCOUNT CODE Planning ACTUAL ACTUAL BUDGETED REQUESTED EXPENDITURE PROPOSED RECOMMENDED ADOPTED 1980 -81 1981 -82 1982 -83 1983-84 DETAIL 1983 -84 1983 -84 1983 -84 -0- -0- -0- -0- PERSONAL SERVICES: -0- -0- -0- -0- -0- -0- -0- TOTAL - PERSONAL SERV. -0- -0- -0- 3 PROGRAM : COMMUNITY DEVELOPMENT A CITY OF TIGARD, OREGON DEPARTMENT : (TURA) =IA 1983-84 ANNUAL BUDGET BUDGET CO Planning & Development ACCOUNT CODE Planning - .1.1m, ACTUAL ACTUAL BUDGETED REQUESTED EXPENDITURE PROPOSED RECOMMENDED ADOPTED 1980 -81 1981 -82 1982 -83 1983 - 84 DETAIL 1983 -84 1983 -84 1983- 84 MATERIALS & SERVICES: - 0- -0- 16,250 4,540 621 Contractual Services 4,540 4,540 4,540 (FY 82 -83) -0- -0- -0- 9,858 621 Contractual Services 9,858 9,858 9,858 (FY 83 -84) - 0- -0- -0- 3,602 851 Interest on Bond Sale 3,602 3,602 3,602 - 0- -0- 16,250 18,000 TOTAL - MATERIALS & SERV. 18,000 18,000 18,000 621 - Principal and Interest on $6,500 for Financial Consultant and $2,500 for Legal Services in FY 82 -83 @ 12% for 6 months = $9,000 + $540 = $9,540 - $5,000 repaid in FY 82- 83...621 - Principal and Interest on 25% Associate Planner @ $33,250 full cost - $8,300...and Legal Services at $1,000...Contract Services from City...$9,300 @ 12% for 6 months = $9,858...822 - Interest only on Bond Sale...Principal and in FY 84- 85...$100,000 Interest and Bond... L 4 • i CITY OF .rIG OREGON PROGRAM • COMMUNITY DEVELOPb1ENT DEPARTMENT : (TUBA) '.� /983-84 AN uAL BUDG ACCOUN CO T CODE : ET E Planning & Development ACCOUN Plannin4. ACTUAL ACTUAL BUDGETED REQUESTED EXPENDITURE PROPOSED RECOMMENDED ADOPTED 1980 -81 1981 -82 1982 -83 1983 - 84 DETAIL 1983 -84 1983-84 1983 - 84 - 0-- - 0 - - 0-- 100,000 CAPITAL OUTLAY: 100,000 90,000 90,000 -0- -0- -0- 100,000 TOTAL - CAPITAL OUTLAY 100,000 90.000 90.000 #1) $ 65,000 TURA Bond /Note #2) $ 25,000 1URA Bond /Note 35,000 Storm Drainage 25,000 SDC /Bikeway $100,000 Main Street Bridge $ 50,000 Parking /Bikeway Los.