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CCDA Minutes - 10/18/2005 Agenda Item No. -3,;), For Agenda of )a, 13, OS CITY CENTER DEVELOPMENT AGENCY - AN URBAN RENEWAL AGENCY- AND TIGARD PLANNING COMMISSION MEETING MINUTES OCTOBER 18, 2005 1. CITY CENTER DEVELOPMENT AGENCY (CCDA) MEETING 1.1 Chair Dirksen called the meeting to order at 7:00 p.m. 1.2 CCDA Members present: Chair Dirksen, Directors Harding, Sherwood, Wilson (arrived at 7:14 p.m.), and Woodruff. 1.3 Planning Commission Members present: President Padgett; Commissioners Buehner, Caffall, Haack, Inman. Also present: Planning Commissioner Alternate Walsh. 2. CONSIDER AN URBAN RENEWAL PLAN AND REFER THE PLAN AND REPORT TO THE PLANNING COMMISSION Consultant Jeff Tashman reviewed the key aspects of the Plan and Report: o Represents years of planning. o Extensive outreach was conducted. o The Urban Renewal Plan is a way to implement the Downtown Improvement Plan. o Tax increment financing is a tool contained in the Urban Renewal Plan. o The City Center Advisory Commission (CCAC) held a series of meeting. The CCAC proposed including more area in the urban renewal district than what was proposed in the Downtown Improvement Plan. o Functions of the Plan and Report were reviewed: • Budget process is same process as required for a City. • Funds to be borrowed; decisions on expenditures need to be made. • Goals and objectives are outlined. • The County Assessor will measure the value of the property within the urban renewal boundary. This initial valuation will be used to determine the growth in value of the district over time. • Projects are defined in a general way; details will change. CITY CENTER DEVELOPMENT AGENCY—OCTOBER 18, 2005 page 1 • Moans and grants will be available to property and business owners, which is a key component of urban renewal. • The Plan contains policy analyses required by state law. Director Wilson arrived at 7:14 p.m. • The Urban Renewal Plan allows limited authority for acquiring property. It is anticipated that some initiative measures will be before Oregon voters in the 2006 General Election to change the State Constitution regarding condemnation when a private developer is involved. • The maximum indebtedness over the life of the Plan is $22 million. • Impacts of tax increment financing were mentioned including the indirect impacts on K-12 schools. • Urban Renewal Plan has a 20-year life, expiring in 2027. Cost recovery is estimated to occur within ten years; debts would be paid off within two years; tax increment financing would continue until financing is paid off. • City Charter and State Law govern the Urban Renewal District. Substantial changes must be submitted to the Tigard voters. Area changes greater than one percent would be considered "substantial." • Reviewed structure and authority of the CCDA for considering amendments. • Reviewed how the $22 million amount was determined. This amount was derived by looking at the proposed urban renewal plan area and evaluating which parcels are vacant or likely to be redeveloped. The CCAC wanted to make sure the debt cap is high enough to get the job done, yet not so high that the impact is over- estimated. • Financing sources outside of tax increment financing include state and foundation grants. • Funding allocations among projects are flexible under the $22 million cap. • The City's Finance Department staff would assist with the development of the first year's budget for the CCDA. • Comments were made by CCDA members and Planning Commissioners about initial projects. Initial projects will be conservative and selected to stimulate growth in the urban renewal area. City Attorney Ramis presented information on the urban renewal approval process and standards. A copy of the presentation viewed by the CCDA and Planning Commission members is on file in the Agency Recorder's office. CITY CENTER DEVELOPMENT AGENCY—OCTOBER 18, 2005 page 2 It was determined that Legal Counsel will be present at the Planning Commission's hearing on the Urban Renewal Plan. CCDA members then commented on the proposed Urban Renewal Plan and Report: Chair Dirksen noted on Page 14 of the Report, Section E. — Municipal Services — (third line down) the words "...is described in section IX of this Report" should be changed to "..Js described in section X of this Report." Chair Dirksen referred to Page 7 of the Report. The first two paragraphs refer to existing uses of the downtown that do not conform to the goals and objectives. Those two paragraphs make reference to specific businesses and since the CCDA does not intend to target any particular businesses, Chair Dirksen suggested that this is not appropriate. He said the two paragraphs should be rewritten as follows: in particular, automobile-oriented uses and manufacturing and industrial facilities do not support the City's goal to create a vibrant, pedestrian friendly atmosphere downtown. These are examples of area businesses that play a valuable role in the local economy but are not appropriate uses of the CBD. (then continue with the rest of the paragraph). Director Sherwood said on Page 26 of the Report there is no budget item identified for property acquisition for willing sellers. After discussion, Consultant Tashman indicated an estimate could be made for property acquisition for willing sellers as well as another budget item for public facilities. Interim Community Development Director Coffee noted typographical corrections will be made. For example, the page breaks in the tables of the Report need to be adjusted. Director Wilson referred to a comment he made before about the fact that some of the auto-oriented uses in the urban renewal area are government uses. He suggested that the zoning code review consider whether fleet storage is appropriate. He also commented that he hoped the federal government would consider a retail postal outlet in the downtown area rather than a distribution center. Director Woodruff said he was comfortable with adopting the resolution. He said he thinks "we are really just moving it along in the process..." He added that he was anxious to get more official public input from the upcoming Planning Commission and City Council hearings. CITY CENTER DEVELOPMENT AGENCY—OCTOBER 18, 2005 page 3 In response to a question from Chair Dirksen, City Attorney Ramis advised he would give a qualified "yes" answer that the Urban Renewal Plan document addresses all legal requirements. City Attorney Ramis advised that his office has reviewed the documents against the requirements of the statute and has had conversations with staff and the consultant about some things that should be clarified. He said that he would expect that by the time the City Center Development Agency/City Council sees this document again, there will be some evolution of it. City Attorney Ramis said he thought "we are 95 percent there." Chair Dirksen noted the Plan refers to the area as "blighted." He noted the term "blight" might cause some concern among some members of the community. Chair Dirksen said, in his opinion, the term "blight" applied to this area only because it has not achieved its highest and best use and it needs some help in order to do so. Because this area has not lived up to its development potential, it has caused an extra burden on other areas of the City. He gave housing as an example -- since there is very little housing downtown and there is no opportunity for housing development in the area, greater demands are being placed on Tigard's traditional neighborhoods to take on capacity required in the Urban Growth Boundary. Including a high density residential component to the Downtown Plan, helps alleviate some of that pressure on existing neighborhoods. Consideration of CCDA Resolution No. 05-01: Director Sherwood moved for adoption of the proposed Resolution No. 05-01. Director Woodruff seconded the motion. CCDA RESOLUTION 05-01 —A RESOLUTION PROPOSING AN URBAN RENEWAL PLAN AND REFERRING THE PROPOSED URBAN RENEWAL PLAN AND REPORT TO THE PLANNING COMMISSION, DIRECTING DISTRIBUTION OF THE URBAN RENEWAL PLAN AND REPORT TO TAXING DISTRICTS AND DELEGATING AUTHORITY TO THE AGENCY MANAGER The motion was approved by a unanimous vote of City Center Development Agency members present: Chair Dirksen: Yes Director Harding: Yes Director Sherwood: Yes Director Wilson: Yes Director Woodruff: Yes CITY CENTER DEVELOPMENT AGENCY—OCTOBER 18, 2005 page 4 3. Motion by Director Wilson, seconded by Director Sherwood, to adjourn the meeting at 8:13 p.m. The motion was approved by a unanimous vote of City Center Development Agency members present: Chair Dirksen: Yes Director Harding: Yes Director Sherwood: Yes Director Wilson: Yes Director Woodruff: Yes Catherine Wheatley, Recorder Attest: City Center Development Agency 14F "e'�2f Craig irk en, Chairperson City Center Development Agency Date: /�'/3 4�S- hadm1calhylc=200%051011 ccda.dac CITY CENTER DEVELOPMENT AGENCY—OCTOBER 18, 2005 page 5