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CCDA Budget - FY2014-2015 City Center Development Agency City of f Tigard Fiscal Year 2014-2015 CITY CENTER DEVELOPMENT AGENCY BUDGET COMMITTEE Bill Bigcraft Mayor John L. Cook Don Fisher Councilor Gretchen Buehner Melody Graeber Councilor Marland Henderson Julie Plotz Councilor Jason Snider Clifford Rone Councilor Marc Woodard Timothy Esau,Alternate CITY CENTER DEVELOPMENT AGENCY BOARD John L. Cook, Chair Gretchen Buchner Jason Snider Marland Henderson Marc Woodard EXECUTIVE DIRECTOR Marty Wine COMMUNITY DEVELOPMENT DIRECTOR Kenny Asher REDEVELOPMENT PROJECT MANAGER for DOWNTOWN Sean Farrelly FINANCE and INFORMATION SERVICES DIRECTOR Toby LaFrance i a r TIGARD CITY CENTER DEVELOPMENT AGENCY City of Tigard 13125 SW Hall Blvd. Tigard,OR 97223 Message to the Budget Committee and the Residents of Tigard I am pleased to present the 2014-15 budget for Tigard's City Center Development Agency (CCDA). The City Center Development Agency is charged with the revitalization of downtown Tigard and implementation of the Urban Renewal Plan,approved by voters in May of 2006. The district's source of funding is (property) tax increment financing,which represents a financing tool to assist with redevelopment.When the CCDA was established,the assessed valuation of the district was frozen. Property taxes collected on any growth in assessed value above the frozen base (called the tax increment) go to the CCDA. Tigard's Urban Renewal District is modestly sized geographically, and in terms of its debt capacity. The district's redevelopment depends on public and private investment that will contribute to revitalizing downtown and create a foundation for continued growth in the tax increment.As in prior years, the 2014-15 budget year includes public investments using other funds planned on Main Street, and acquisition funds are available for future park or public space development in downtown. The district will take ownership of at least one land purchase completed in 2013-14 using the tax increment to secure private financing. There is a potential second property purchase that may occur in 2014-15 that is also included in the adopted budget. 2013-14 saw several accomplishments by Tigard's Urban Renewal District. The Brownfields Initiative was established to facilitate the inventory, assessment and cleanup of potential environmental contamination to encourage property redevelopment. The city secured a grant from Business Oregon to inventory potential brownfield sites within the urban renewal area and perform three environmental assessments for interested business owners.Two workshops highlighted the initiative and opportunities for partnership.Also,Tigard voters approved Measure 34-207 in November 2013,which clarified the city charter relative to voter-approved changes in the property tax system to allow the agency to continue to implement the Urban Renewal Plan. Voter approval of the measure allows the district to do more than fund only public infrastructure improvements,and allows financing and purchase of private property for redevelopment.Urban renewal funds funded the installation of decorative lighting for the undercrossing of the Fanno Creek Trail at Pacific Highway. Look for the agency to contribute funding to complete design for gateway and public art improvements at each end of Main Street in 2014-15. The agency will pause its Targeted Improvement Program and Facade Improvement programs in 2014-15 in order to use fund balances for property purchase. During the 2013-14 fiscal year, these matching grants went to assist eight businesses,including the Jeffrey Allen Home Interiors which will support its relocation to downtown Tigard. Looking ahead to 2014-15, the agency plans to advance the development partnership for a residential mixed-use development at privately-owned sites and also the city-owned Ash Avenue. Investment prospects have warranted the possibility to explore private financing for purchase of up to two properties by the agency in the urban renewal district,with debt issuance to begin in 2015. This is the first step to redeveloping as the agency seeks redevelopment partners. In addition, the Strolling Street Landscaping program will be launched in 2014-15 to encourage the beautification of spaces between buildings and public space. All CCDA projects are paid for by loans from the City of Tigard of$254,000, to be fully repaid in the same fiscal year. Tigard's redevelopment efforts are possible due to the contributions and commitment of volunteers on the City Center Advisory Commission,who serve to advance the vision for downtown redevelopment.That partnership is strengthened with the support of the Chamber of Commerce, which coordinates downtown events with city support, and the 2014 creation of the non-profit Tigard Downtown Affiance,in which business and property owners advocate for their interests. These efforts combine for a positive partnership and change happening on the ground in Downtown Tigard. Respectfully submitted, Marty Wine Executive Director j. a .. os 0 LOMI7A City of Tigard - 1>l' _ Urban Renewal District --� II CIUrban Renewal District Boundary I cRF o' =o Ayc� co— _ _ 'c� 0 / ;c�\ L \___, .. ��S GO ,. 1 , 1 • CENT ../ jDt� - 98T / Sp L. , �aOP G ate, --- ')..1'' ' .' ..-' • 4"• C \ - / -- - / , F� i a5 ' .4,�tis s T KN0 OR F c �K P` N/ 1'4 s.... / I c' ,> • o Ilk,. �� ♦ A °r off a \ ..*4'sli). ./# . ti�yNSON .` /- rrFRsT 7 1 BG i '. Z\ ,--f' -4:5,\ \/ l' \ \ \ V@ •\. ' '$>'' \ 1 1 / , " \ \ \\I I \ -"o \ m 7.. 1 \ ' 01" S\'' , / ,\ \ - % '' P. Ny, P> �\ ti Creek 9� N. �(ST�j Park m .. V ,A-r` Cz1.- s p\ ' \\ 1'0:- `(0) ___ Ili , , CITY CENTER URBAN RENEWAL AGENCY FACTS District Formation Date May 2006 District Size (acres) 193.71 District Tax Lot Area (acres). 144.14 District Right-of-Way Area (acres) 49.57 Base Assessed Value $69,207,378 Assessed Value (2014) $96,205,944 Annual taxes levied (projected 2015) $351,139 Maximum Debt Limit: $22,000,000 Debt Issued (2006-2013)• $1,329,382 Remaining Debt Limit (2013) $20,670,618 Debt Outstanding (2013) $806,941 Adopted FY 2014-15 CCDA Budget Urban Renewal Project Description Budget Professional and Technical Services Business Technical Technical assistance to downtown businesses for economic $18,000 Assistance/Events development activities such as events and marketing. Legal Services Legal services for urban renewal agency $15,000 Total Professional and Technical Services $33,000 Strolling Street Landscape architecture services and funding to complete $65,000 Landscaping improvements on semi-public areas adjacent to public streets. Improvements Public forks Yard Funding for site preparation and other redevelopment expenses $56,000 Development Total Planning and Development Assistance $121,000 Public Spaces Fanno Creek Public Design&Engineering for area potential public space fronting $25,000 Space Design & Fanno Creek at Main Street. Engineering Total Public Spaces $25,000 Streetscape Improvements Main Street Gateway Funding to complete public art installation,gateway design,lighting, $75,000 landscaping,grading,and stone work at Main and Pacific Hwy. Total Streetscape $75,000 Potential Land Purchase Potential Land Funding from fund balance set aside to potentially purchase $675,000 Purchase property in the district Total Potential Land Purchase $675,000 Total New Requests $929,000 Debt Service Funds - Urban Renewal Debt Service FY 2012 FY 2013 2014 2015 2015 2015 Adopted vs Description Actual Actual Revised Proposed Approved Adopted FY 14 Revised Resources 40000-Beginning Fund Balance 494,991 826,448 726,448 789,500 789,500 789,500 8.7% Total Beginning Fund Balance 494,991 826,448 726,448 789,500 789,500 789,500 8.7% 40100-Current Property Taxes 315,080 287,345 300,940 351,139 351,139 351,139 16.7° 40101-Prior Year Property Taxes 2,692 4,651 0 0 0 0 0.0°h Total Taxes 317,772 291,996 300,940 351,139 351,139 351,139 16.7°'0 45320-Rental Income 0 0 0 84,000 84,000 84,000 100.0°.o Total Charges for Services 0 0 0 84,000 84,000 84,000 100.0% 47000-Interest Earnings 13,684 4,283 0 1,000 1,000 1,000 100.0% Total Interest Earnings 13,684 4,283 0 1,000 1,000 1,000 100.0% 48001-Recovered Expenditures (1 -60 0 0 0 0 0.0%/% Total Miscellaneous 0 -60 0 0 0 0 0.0°0 Total Resources 826,448 1,122,668 1,027,388 L225,639 1,225,639 1,225,639 19.3°0 Requirements Program Expenditures Program Expenditures 0 0 0 0 0 0 0.0% Total Debt Service 0 285,156 361,000 455,000 455,000 455,000 26.0"%° Total Transfers Out 0 0 0 675,000 675,000 675,000 100.0% Total Budget 0 285,156 361,000 1,130,000 1,130,000 1,130,000 213.0°0 Reserve for Future Exp 826,448 837,512 666,388 95,639 95,639 95,639 -85,640 Total Requirements 826,448 1,122,668 1,027,388 1,225,639 1,225,639 1,225,639 19.3% Capital Project Funds - Urban Renewal Capital Improvements FY 2012 FY 2013 2014 2015 2015 2015 Adopted vs Description Actual Actual Revised Proposed Approved Adopted FY 14 Revised Resources 40000-Beginning Fund Balance 42,445 302,272 220,000 0 0 0 -100.0% Total Beginning Fund Balance 42,445 302,272 220,000 0 0 0 -100.0°0 44501-Intergovernmental Revenue 375,000 280,000 361,000 254,000 254,000 254,000 -29.6% Total Intergovernmental 375,000 280,000 361,000 254,000 254,000 254,000 -29.6"o 47000-Interest Earnings 0 97 0 0 0 0 0.0% Total Interest Earnings 0 97 0 0 0 0 0.0°0 48001-Recovered Expenditures 0 1,803 0 0 0 0 0.0"io Total Miscellaneous 0 1,803 0 0 0 0 0.000 49930-Transfer In from Urban Renewal Debt Svc 0 0 0 675,000 675,000 675,000 100.0% Fund 49940-Transfer In from Urban Renewal Cap Imp 0 0 0 0 0 0 0 00/, Fund Total Transfers In 0 0 0 675,000 675,000 675,000 100.0"o Total Resources 417,445 584,172 581,000 929,000 929,000 929,000 59.9°0 Requirements Program Expenditures Program Expenditures 0 0 0 0 0 0 0.0% Total Work in Progress 115,173 383,710 581,000 929,000 929,000 929,000 59.9% Total Transfers Out 0 0 0 0 0 0 0.0% Total Budget 115,173 383,710 581,000 929,000 929,000 929,000 59.9°o Reserve for Future Exp 302,272 200,462 0 0 0 0 0.0°o Total Requirements 417,445 584,172 581,000 929,000 929,000 929,00 59.9°o