HomeMy WebLinkAboutCC ORD 2011-2365 Participate in Alternative Voluntary Redevelopment ProgramORDINANCE NO. 2011 — 2365
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY
AUTHORIZING THE CITY OF NATIONAL CITY TO PARTICIPATE IN
THE ALTERNATIVE VOLUNTARY REDEVELOPMENT PROGRAM,
PURSUANT TO PART 1.9 OF DIVISION 24 OF
THE CALIFORNIA HEALTH AND SAFETY CODE, SUBJECT
TO CERTAIN CONDITIONS AND RESERVATIONS
WHEREAS, the City Council of the City of National City ("City") approved and
adopted the Redevelopment Plan for the National City Redevelopment Project ("Redevelopment
Plan") covering certain properties within National City (the "Project Area"); and
WHEREAS, the Community Development Commission of the City of National
City ("Agency") is engaged in activities to execute and implement the Redevelopment Plan
pursuant to the provisions of the California Community Redevelopment Law (Health and Safety
Code Section 33000, et seq.) ("CRL"); and
WHEREAS, since adoption of the Redevelopment Plan, the Agency has
undertaken redevelopment projects in the Project Area to eliminate blight, to improve public
facilities and infrastructure, to renovate and construct affordable housing, and to enter into
partnerships with private industries to create jobs and expand the local economy; and
WHEREAS, over the next few years, the Agency hopes to implement a variety of
redevelopment projects and programs to continue to eliminate and prevent blight, stimulate and
expand the Project Area's economic growth, create and develop local job opportunities, and
alleviate deficiencies in public infrastructure, to name a few; and
WHEREAS, as part of the 2011-2012 State budget bill, the California Legislature
has recently enacted, and the Governor has signed, companion bills AB1x 26 and AB1x 27,
requiring that each redevelopment agency be dissolved unless the community that created it
enacts an ordinance committing it to making certain payments; and
WHEREAS, AB1x 26 prohibits agencies from taking numerous actions, effective
immediately and purportedly retroactively, and additionally provides that agencies are deemed
to be dissolved as of October 1, 2011; and
WHEREAS, AB1x 27, which will be codified as Part 1.9 of the California Health
and Safety Code ("Part 1.9"), provides that a community may participate in an "Alternative
Voluntary Redevelopment Program," in order to enable a redevelopment agency within that
community to remain in existence and carry out the provisions of the CRL, by enacting an
ordinance agreeing to remit specified annual amounts to the County auditor -controller in
compliance with Part 1.9 of Division 24 of the Health and Safety Code ("Part 1.9); and
WHEREAS, ABx1 27 requires the City to notify the County Auditor -Controller
("County"), the State Controller, and the State Department of Finance on or before November 1,
2011, that the City will comply with Part 1.9; and
WHEREAS, ABx1 27 authorizes the City to enter into an Agreement with the
Agency, whereby the Agency shall transfer a portion of its tax increment to the City for the
purpose of financing certain activities within the City's redevelopment areas, as specified in Part
1.9; and
WHEREAS, ABx1 27 imposes specified sanctions on the City in the event that
the City fails to make the required remittances, as determined by the Director of Finance; and
WHEREAS, under the threat of dissolution pursuant to ABx1 26, and upon the
contingencies and reservations set forth herein, the City shall make the Fiscal Year 2011-2012
community remittance, currently estimated to be Four Million Eight Hundred Thousand Dollars
($4,800,000), based on 2008-2009 data and subject to change, as well as the subsequent
annual community remittances as set forth in Part 1.9; and
WHEREAS, the City reserves the right to appeal the California Director of
Finance's determination of the Fiscal Year 2011-12 community remittance, as provided in
Health and Safety Code Section 34194; and
WHEREAS, the City understands and believes that an action challenging the
constitutionality of ABx1 26 and ABx1 27 will be filed on behalf of cities, counties and
redevelopment agencies; and
WHEREAS, the City reserves the right, regardless of any community remittance
made pursuant to this Ordinance, to challenge the legality of ABx1 26 and ABx1 27; and
WHEREAS, the City Council does not intend, by enactment of this Ordinance, to
waive any constitutional and/or legal rights by virtue of the enactment of this Ordinance, and
therefore, reserves all of its rights under Laws to challenge the validity of any or all provisions of
ABx1 26 and ABx1 27 in any administrative or judicial proceeding and/or repeal of this
Ordinance, without prejudice to the City's right to recover any amounts remitted under Part 1.9;
and
WHEREAS, while the City currently intends to make these community
remittances, they shall be made under protest and without prejudice to the City's right to recover
such amounts and interest thereon, to the extent there is a final determination that ABx1 26 and
ABx1 27 are unconstitutional; and
WHEREAS, 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
contemplated by Part 1.9, it being understood by the City Council that any remittance payments
will be funded solely from Agency funds and/or assets transferred to the City in accordance with
Part 1.9; and
WHEREAS, to the extent a court of competent jurisdiction enjoins, restrains or
grants a stay on the effectiveness of the Alternative Voluntary Redevelopment Program's
payment obligation of ABx1 26 and ABx1 27, the City shall not be obligated to make any
community remittance for the duration of such injunction, restraint or stay; and
WHEREAS, the City Council does not intend, by enactment of this Ordinance to
waive any rights of appeal regarding the amount of any remittance established by the
Department of Finance, as provided in Part 1.9; and
WHEREAS, all other legal prerequisites to the adoption of this Ordinance have
occurred.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF NATIONAL CITY
DOES ORDAIN AS FOLLOWS:
August 2, 2011 2 Ordinance No. 2011-2365
Alternative Voluntary Redevelopment Program
Section 1. Recitals. The Recitals set forth above are true and correct and
incorporated herein by reference.
Section 2. Participation in the Alternative Voluntary Redevelopment Program. In
accordance with Health and Safety Code Section 34193, and based on the Recitals set forth
above, the City Council hereby determines that the City shall comply with the provisions of Part
1.9 of Division 24 of the Health and Safety Code, as enacted by AB1x 27.
Section 3. Authorization to Continue Agency. Subject to Sections 5 and 6, herein,
the City hereby commits to comply with and make the remittances required by Part 1.9, and
authorizes the continuation of the Agency in accordance with the provisions of ABx1 27.
Section 4. Implementation. The City Council hereby authorizes and directs the City
Manager to take any action and execute any documents necessary to implement this
Ordinance, including but not limited to notifying the San Diego County Auditor -Controller, the
Controller of the State of California, and the California Department of Finance of the adoption of
this Ordinance and the City's agreement to comply with the provisions of Part 1.9 of Division 24
of the Health and Safety Code, as set forth in AB1x 27.
Section 5. Reservation of Rights. Neither the adoption of this Ordinance, nor the
acknowledgment of or references to any provisions of ABx1 26 and ABx1 27, nor the City's
payment of any remittances contemplated by ABx1 27, shall be deemed to be, nor are they
intended as, an acknowledgment of the validity of ABx1 26 and ABx1 27, and the City reserves
all rights in its sole discretion to challenge the validity of any or all provisions of ABx1 26 and
ABx1 27 in any administrative or judicial proceeding and/or repeal of this Ordinance, without
prejudice to the City's right to recover any amounts remitted under Part 1.9.
Section 6. Effect of Stay or Determination of Invalidity. The City shall not make any
community remittance in the event a court of competent jurisdiction either grants a stay on the
enforcement of AB1x 26 and AB1x 27, or determines that AB1x 26 and AB1x 27 are
unconstitutional and therefore invalid, and all appeals therefrom are exhausted or unsuccessful,
or time for filing an appeal therefrom has lapsed. Any community remittance shall be made
under protest and without prejudice to the City's right to recover such amount and interest
thereon in the event that there is a final determination that AB1x 26 and AB1x 27 are
unconstitutional. If there is a final determination that AB1x 26 and A AB1x 27 are invalid, this
Ordinance shall be deemed to be null and void and of no further force or effect.
Section 7. Additional Understandings and Intent. It is the understanding and intent
of the City Council that, once the Agency is again authorized to enter into agreements under the
CRL, the City will enter into an agreement with the Agency as authorized pursuant to Section
34194.2, whereby the Agency will transfer annual portions of its tax increment to the City in
amounts not to exceed the annual community remittance payments to enable the City, directly
or indirectly, to make the annual remittance payments. The City Council does not intend, by
enactment of this Ordinance, to pledge any of its general fund revenues or assets to make the
remittance payments.
Section 8. 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,
August 2, 2011
3
Ordinance No. 2011-2365
Alternative Voluntary Redevelopment Program
therefore, directs that a Notice of Exemption be filed with the County Clerk of the County of San
Diego in accordance with CEQA Guidelines.
Section 9. Custodian of Records. The documents and materials that constitute the
record of proceedings on which these findings are based are located in the City Clerk's office
located at 1243 National City Boulevard, National City, CA 91950.
Section 10. Enactment. This Ordinance shall only be deemed as "enacted" within the
meaning of Part 1.9 upon (i) adoption of this Ordinance, and (ii) the legally effective date of ABx1
26 and ABx1 27.
Section 11. Severability. If any provision of this Ordinance or the application thereof
to any person or circumstance is held invalid, such invalidity shall not affect other provisions or
applications of this Ordinance which can be given effect without the invalid provision or
application, and to this end the provisions of this Ordinance are severable. The City Council
hereby declares that it would have adopted this Ordinance irrespective of the invalidity of any
particular portion thereof.
Section 12. Certification; Publication. The City Clerk shall certify to the adoption of
this Ordinance and cause it, or a summary of it, to be published once within fifteen (15) days of
adoption in a newspaper of general circulation printed and published within the City of National
City, and shall post a certified copy of this Ordinance, including the vote for and against the
same, in the Office of the City Clerk in accordance with Government Code Section 36933.
Section 14. Effective Date. This Ordinance shall become effective thirty (30) days
from its adoption.
PASSED and ADOPTED this 2nd day of August
ATTEST:
Mich el R. Dalla,
Ci
ty ity Clerk
A ROVED AS • FORM:
CI ilva
ilva
Ci 'ttorney
August 2, 2011
4
R." Morrison, Mayor
Ordinance No. 2011-2365
Alternative Voluntary Redevelopment Program
Passed and adopted by the Council of the City of National City, California, on August 2,
2011 by the following vote, to -wit:
Ayes: Councilmembers Morrison, Natividad, Rios, Sotelo-Solis, Zarate.
Nays: None.
Absent: None.
Abstain: None.
AUTHENTICATED BY:
By:
RON MORRISON
Mayor of the City of National City, California
iitiAgi"
City ClClerk of the City National City, California
Deputy
I HEREBY CERTIFY that the foregoing Ordinance was not finally adopted until seven
calendar days had elapsed between the day of its introduction and the day of its final
passage, to wit, on July 19, 2011 and on August 2, 2011.
I FURTHER CERTIFY THAT said Ordinance was read in full prior to its final passage or
that the reading of said Ordinance in full was dispensed with by a vote of not less than
a majority of the members elected to the Council and that there was available for the
consideration of each member of the Council and the public prior to the day of its
passage a written or printed copy of said Ordinance.
I FURTHER CERTIFY that the above and foregoing is a full, true and correct copy of
ORDINANCE NO. 2011-2365 of the City Council of the City of National City, passed
and adopted by the Council of said City on August 2, 2011.
City Clerk of the City of National City, California
By:
Deputy
V
NOTICE OF EXEMPTION-ED {N THE OFFICE OF THE COUNTY CLERK
TO: County Clerk
County of San Diego
1600 Pacific Highway, Room 260
San Diego, CA 92112
San Diego County on AUG 0 h 71111
Posted AUG 0 B 7111 Removed SEP 12 7f111
Returned to agency on . .S 7 7 7111. y,�„
Deputy L KeSlar'
Project Title: An Ordinance Authorizing the City of National City to Participate in the Alternative
Voluntary Redevelopment Program, Pursuant to Part 1.9 of Division 24 of the California
Health and Safety Code, Subject to Certain Conditions and Reservations.
Project Location: National City Redevelopment Project Area, National City, CA
Contact:
Raymond Pe Telephone: (619) 336-4421
Description:
On August 2, 2011, the City Council enacted an ordinance pursuant to Part 1.9 of the California Health and
Safety Code ("Part 1.9") to participate in an "Alternative Voluntary Redevelopment Program" in order to enable
the Community Development Commission (redevelopment agency) to remain in existence and carry out the
provisions of the California Community Redevelopment Law (Health and Safety Code Section 33000, et seq.)
and agreeing to remit specified annual amounts to the County auditor -controller in compliance with Part 1.9.
Applicant Name and Address:
City of National City
1243 National City Boulevard
National City, CA 91950
Telephone: (619) 336--4421
Exempt Status:
® Statutory Exemption. (Title 14 of the California Code of Regulations, Section 15378(b)(4))
❑ Categorical Exemption.
LI Not a project as defined in Section 15378 of CEQA
❑ Not subject to CEQA (Sec. 15061b3)
Reasons why project is exempt:
This Ordinance is exempt from the requirements of the 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.
Raymond Pe, Principal Planner Date
05/0g?/,2_6()
Ernest 1 nronQnhyra. Jr.. Rpporder (oyon f Icrk
AU0087011
BY L. Kesian
OEPUTY