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HomeMy WebLinkAboutNC Council Agenda StatementCITY OF NATIONAL CITY, CALIFORNIA CITY COUNCIL AGENDA STATEMENT MEETING DATE: February 15, 2011 AGENDA ITEM NO. 1 ITEM TITLE: (/4 resohJtion of the City Council of the City of National City authorizing the City to enter into a Cooperation Agreement (SR 54 and National City Boulevard infrastructure improvement) with the Community Development Commission of the City of National City and making certain determinations and findings related thereto. (Tax Increment Fund) (Companion Item #). PREPARED BY: Patricia Beard PHONE: 42551 EXPLANATION: DEPARTMENT: Redevelopment Division APPROVED BY: jIn order to assure timely completion of public improvements necessary to the futurerdevelopment in accordance with the Redevelopment Plan for the National City Redevelopment Project of properties immediately northeast of the SR 54 and the National City Boulevard intersection, the City Council and CDC will tonight both consider entering a Cooperation Agreement. The Agreement would provide that the CDC transfer funding for the anticipated improvements (detailed in Exhibit I of the Agreement) to the City. Both a construction schedule for the City and payment schedule for the CDC are included in the Agreement as are the parcels within the Project Area to be made more economically viable by the infrastructure project and the payment schedule for the CDC payments for the work. If the Agreement is approved, title to the CDC site would transfer to the City if an Option (included) is exercised. Should the subsequently decide to resell the property to a redeveloper, a Public Hearing as required by the California Redevelopment Law (Section 33433) would be required. Please see attached Background Report. FINANCIAL STATEMENT: APPROVED: Finance [This Agreement would pledge future Tax Increment funds not to exceed $2,500,000. The Tax Increment would be paid in a lump sum of $830,000 upon completion of the improvements and thereafter in annual installments of up to $120,000 over the remaining life of the Redevelopment Plan or until the full commitment is paid, whichever comes first. The City does not have adequate funds in the General Fund or any designated funds to complete the work. ENVIRONMENTAL REVIEW: Not applicable, ORDINANCE: INTRODUCTION: 1 FINAL ADOPTION: 1 STAFF RECOMMENDATION: Adopt the resolution. BOARD / COMMISSION RECOMMENDATION: ATTACHMENTS: Background Report 1 Proposed Agreement.