Loading...
HomeMy WebLinkAboutOrdinance 1899 (Alternate Redevelopment Program)CLERK'S CERTIFICATE I, ESTHER C. BEIRNE, Clerk of the City of San Rafael, and Ex -Officio Clerk of the Council of said City, do hereby certify that the foregoing Charter Ordinance No. 1899 entitled: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SAN RAFAEL ENACTED PURSUANT TO HEALTH AND SAFETY CODE SECTION 34193 TO ELECT AND IMPLEMENT PARTICIPATION BY THE CITY OF SAN RAFAEL AND THE SAN RAFAEL REDEVELOPMENT AGENCY IN THE VOLUNTARY ALTERNATIVE REDEVELOPMENT PROGRAM PURSUANT TO PART 1.9 OF THE CALIFORNIA COMMUNITY REDEVELOPMENT LAW is a true and correct copy of an Ordinance of said City and was introduced at a REGULAR meeting of the City Council of the City of San Rafael, held on the 6 1 day of September, 2011, a SUMMARY of Ordinance No. 1899 was published as required by City Charter in the MARIN INDEPENDENT JOURNAL, a newspaper published in the City of San Rafael, and passed and adopted as an Ordinance of said City at a REGULAR meeting of the City Council of said City, held on the 19th day of September, 2011, by the following vote, to wit: AYES COUNCILMEMBERS: Brockbank, Connolly, Heller, Levine & Mayor Boro NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None WITNESS my hand and the official seal of the City of San Rafael this 21 st day of September, 2011 ESTHER C. BEIRNE City Clerk SUMMARY OF ORDINANCE NO. 1899 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SAN RAFAEL ENACTED PURSUANT TO HEALTH AND SAFETY CODE SECTION 34193 TO ELECT AND IMPLEMENT PARTICIPATION BY THE CITY OF SAN RAFAEL AND THE SAN RAFAEL REDEVELOPMENT AGENCY IN THE VOLUNTARY ALTERNATIVE REDEVELOPMENT PROGRAM PURSUANT TO PART 1.9 OF THE CALIFORNIA COMMUNITY REDEVELOPMENT LAW This Summary concerns a proposed ordinance of the City Council of the City of San Rafael, designated as Ordinance No. 1899, by which the City Council elects to opt into the "Voluntary Alternative Redevelopment Program" recently established by the State Legislature, thus allowing the San Rafael Redevelopment Agency to continue operations, continue existing projects, and undertake additional redevelopment projects. Until the ordinance is adopted, new redevelopment agency initiatives are suspended. Ordinance No. 1899 is scheduled for adoption by the San Rafael City Council at its regular meeting of September 19, 2011. The City Clerk has been directed to publish this Summary pursuant to City Charter and California Government Code section 36933(c)(1). SUMMARY OF ORDINANCE The State Legislature recently enacted Assembly Bill ABxl 26 ("the Dissolution Act"), which immediately suspended all new redevelopment activities and incurrence of indebtedness, and dissolves redevelopment agencies effective October 1, 2011. The Legislature also enacted ABx1 27 ("the Voluntary Program Act"), which allows redevelopment agencies to avoid dissolution under ABx1 26 by opting into a "Voluntary Alternative Redevelopment Program" requiring specific, annual contributions to local schools and special districts. The Ordinance provides that the City, on behalf of itself and the San Rafael Redevelopment Agency ("Agency"), elects to be governed by and comply with the Voluntary Alternative Redevelopment Program, thereby avoiding dissolution of the Agency pursuant to the Dissolution Act. ABx1 26 and 27 have been stayed by the California Supreme Court pending resolution of a lawsuit challenging their constitutionality. The Ordinance states the City's intention to enter into an agreement with the Agency, as authorized under ABx1 27, whereby the Agency will agree to transfer a portion of its tax increment to the City to make the remittance payments required under the Voluntary Alternative Redevelopment Program, so as to avoid any remittance payments from the City's general fund. Once adopted, the ordinance will become effective only if the Supreme Court lifts the current stay and determines that the new legislation is constitutional. For a copy of the complete text of Ordinance No. 1899, please contact the City Clerk at (415) 485-3066. Copies of Ordinance No. 1899 will also be available for public review as of Wednesday, September 14, 2011, at the San Rafael City Clerk's Office, 1400 Fifth Avenue, 2"d Floor, Room 209 during regular business hours, 8:30 a.m. to 5:00 p.m. X�.gteza-2 --:f-roes ESTHER C. BEIRNE San Rafael City Clerk Dated: September 14, 2011 ORDINANCE NO. 1899 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SAN RAFAEL ENACTED PURSUANT TO HEALTH AND SAFETY CODE SECTION 34193 TO ELECT AND IMPLEMENT PARTICIPATION BY THE CITY OF SAN RAFAEL AND THE SAN RAFAEL REDEVELOPMENT AGENCY IN THE VOLUNTARY ALTERNATIVE REDEVELOPMENT PROGRAM PURSUANT TO PART 1.9 OF THE CALIFORNIA COMMUNITY REDEVELOPMENT LAW THE CITY COUNCIL OF THE CITY OF SAN RAFAEL DOES ORDAIN AS FOLLOWS: SECTION 1. RECITALS AND BACKGROUND INFORMATION a. Pursuant to the California Community Redevelopment Law (Health and Safety Code Section 33000 et sec.; the "Redevelopment Law"), the City Council (the "City Council") of the City of San Rafael (the "City") adopted Ordinance No. 1055, on May 1, 1972, declaring the need for the San Rafael Redevelopment Agency (the "Agency") to function in the City. b. Also in accordance with the Redevelopment Law, the City Council adopted the Redevelopment Plan for the Central San Rafael Redevelopment Project Area by Ordinance No. 1079, adopted on November 20, 1972, as amended by Ordinance No. 1534, adopted on January 5, 1987, as amended and restated by Ordinance No. 1572, adopted on October 16, 1989, as further amended by Ordinance No. 1669, adopted on November 21, 1994, as further amended and restated by Ordinance No. 1732, adopted on October 5, 1998, as amended by Ordinance No. 1776, adopted on March 4, 2002, as amended by Ordinance No. 1786, adopted on August 19, 2002, as amended by Ordinance No. 1822, adopted on March 15, 2004, as amended by Ordinance No. 1850, adopted on June 4, 2007 and as further amended by Ordinance No. 1852 adopted on June 18, 2007 (the "Redevelopment Plan"). C. The Agency is responsible for implementing the Redevelopment Plan pursuant to the Redevelopment Law. d. ABxl 26 (the "Dissolution Act") and ABxl 27 (the "Voluntary Program Act"; and together with the Dissolution Act, the "Redevelopment Restructuring Acts") have been enacted to significantly modify the Redevelopment Law generally as follows: 1. The Dissolution Act first immediately suspends all new redevelopment activities and incurrence of indebtedness, and dissolves redevelopment agencies effective October 1, 2011; and 2. The Voluntary Program Act, through the addition of Part 1.9 to the Redevelopment Law (the " Voluntary Alternative Redevelopment Program"), then allows a redevelopment agency to avoid dissolution under the Dissolution Act by opting into a voluntary alternative redevelopment program requiring specified annual contributions to local school and special districts. 141 \01 \1 022855.2 e. Specifically, Section 34193(a) of the Redevelopment Law (as added to the Redevelopment Law by the Voluntary Program Act) authorizes the City Council to enact an ordinance to comply with Part 1.9 of the Redevelopment Law, thereby exempting the Agency from the provisions of the Dissolution Act, and enabling the Agency to continue to exist and function under the Redevelopment Law, so long as the City and the Agency comply with the Voluntary Alternative Redevelopment Program set forth in Part 1.9 of the Redevelopment Law. f. Through the adoption and enactment of this Ordinance, it is the intent of the City Council to enact the ordinance described in Section 34193(a) of the Redevelopment Law and to participate for itself and on behalf of the Agency in the Voluntary Alternative Redevelopment Program set forth in Part 1.9 of the Redevelopment Law. g. Pursuant to Section 34193.2(b) of the Redevelopment Law, the City Council understands that participation in the Voluntary Alternative Redevelopment Program requires remittance of certain payments as set forth in the Voluntary Program Act (as further described below), and also constitutes an agreement on the part of the City, in the event the City fails to make such remittance payments, to assign its rights to any payments owed by the Agency, including, but not limited to, payments from loan agreements, to the State of California. h. The City Council does not intend, by enactment of this Ordinance, to waive any rights of appeal regarding the amount of any remittance payments established by the California Department of Finance, as provided in the Voluntary Program Act. i. On August 11, 2011, the California Supreme Court agreed to review the California Redevelopment Association and League of California Cities' petition challenging the constitutionality of the Redevelopment Restructuring Acts and issued an order granting a partial stay on specified portions of the Redevelopment Restructuring Acts, as modified on August 17, 2011 (the "Stay"), including a stay of provisions of the Voluntary Program Act. j. Accordingly, the City Council intends to adopt this Ordinance understanding that it will be effective only upon the lifting of the Stay and the Court's determination that the Voluntary Program Act is constitutional. SECTION 2. ENACTMENT OF ORDINANCE PURSUANT TO REDEVELOPMENT LAW SECTION 34193(a) To the extent required by law to maintain the existence and powers of the Agency under the Redevelopment Law (including the Redevelopment Restructuring Acts), the City Council hereby enacts the ordinance authorized by Section 34193(a) of the Redevelopment Law, whereby the City, on behalf of itself and the Agency, elects to and will comply with the provisions of Part 1.9 of the Redevelopment Law, including the making of the community remittance payments called for in Section 34194 of the Redevelopment Law (the "Remittance Payments"), and whereby the Agency will no longer be subject to dissolution or the other prohibitions and limitations of Parts 1.8 and 1.85 of the Redevelopment Law as added by the Dissolution Act. 2 141.01', 1022855.2 SECTION 3. ADDITIONAL UNDERSTANDINGS AND INTENT It is the understanding and intent of the City Council that the City will enter into an agreement with the Agency as authorized pursuant to Section 34194.2 of the Redevelopment Law, whereby the Agency will transfer annual portions of its tax increment to the City in amounts not to exceed the annual Remittance Payments (the "Agency Transfer Payments") to enable the City, directly or indirectly, to make the annual Remittance Payments. Unless otherwise specified by resolution of the City Council, it is the City Council's intent that the City's annual Remittance Payments shall be made exclusively from the Agency Transfer Payments or from other funds that become available as a result of the City's receipt of the Agency Transfer Payments. The City Council does not intend, by enactment of this Ordinance, to pledge any of its general fund revenues or other assets to make the Remittance Payments, it being understood by the City Council that any Remittance Payments will be funded solely from the Agency Transfer Payments and/or other assets transferred to the City in accordance with the Voluntary Program Act. SECTION 4. AUTHORIZATION OF IMPLEMENTING ACTIONS The City Manager or the City Manager's designee is hereby authorized, on behalf of the City, to take any actions necessary to implement this Ordinance and comply with the Voluntary Program Act, including, without limitation, providing required notices to the County Auditor -Controller, the State Controller, and the Department of Finance, entering into any agreements with the Agency to obtain the Agency Transfer Payments, and making the Remittance Payments. SECTION 5. CEQA The City Council finds, under Title 14 of the California Code of Regulations, Section 15378(b)(4), that this ordinance is exempt from the requirements of the California Environmental Quality Act (CEQA) in that it is not a Project, but instead consists of the creation and continuation of a governmental funding mechanism for potential future projects and programs, and does not commit funds to any specific project or program. The City Council therefore directs that a Notice of Exemption be filed with the County Clerk of the County of Marin in accordance with the CEQA guidelines. SECTION 6. SEVERABILITY If any section, subsection, sentence, clause or phrase of this ordinance is for any reason held to be unconstitutional and invalid, such decision shall not affect the validity of the remaining portion of this Ordinance. The City Council hereby declares that it would have passed this Ordinance and every section, subsection, sentence, clause or phrase thereof, irrespective of the fact that any one or more sections, subsections, clauses or phrases be declared unconstitutional or invalid. SECTION 7. ENACTMENT AND EFFECTIVE DATES This Ordinance is deemed enacted as of September 19, 2011, for purposes of Section 34193(a) of the Redevelopment Law, and shall take effect and will be enforced thirty (30) days after its 3 141'.01'. 1022855.2 adoption, conditioned upon the lifting of the Stay and the Court's determination that the Voluntary Program Act is constitutional. SECTION 8. PUBLICATION This Ordinance shall be published once, in full or in summary form, before its final passage in a newspaper of general circulation, published, and circulated in the City of San Rafael, and shall be in full force and effect thirty (30) days after its final passage. I I ALBERT J. BORO, ayor ATTEST: ESTHER C. BEIRNE, City Clerk The foregoing Ordinance No. 1899 was read and introduced at a Regular Meeting of the City Council of the City of San Rafael, held on the 6th day of September, 2011 and ordered passed to print by the following vote, to wit: AYES: Councilmembers: Brockbank, Connolly, Heller, Levine & Mayor Boro NOES: Councilmembers: None ABSENT: Councilmembers: None and will come up for adoption as an Ordinance of the City of San Rafael at a Regular Meeting of the Council to be held on the 19th day of September, 2011. ESTHER C. BEIRNE, City Clerk 4 141,01' 1022855.2