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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. ITEM TITLE: bA resolution of the City Council of the City of National City authorizing the Mayor to execute a Property Management Agreement by and between the Community Development Commission and City of National City. (Tax Increment Fund, Low -Mod Set Aside Fund). PREPARED BY: Patricia Beard ' DEPARTMENT: Redevelopment Division PHONE: 42551 APPROVED BY: EXPLANATION: Since its formation in 1969, the CDC has acquired several properties (land and structures) for three primary purposes: development and operation of affordable housing (for example Morgan and Kimball Towers), redevelopment for economic development purposes (for example Marina Gateway sites), and to be protected as historical and cultural assets (for example, the Stein Farm). In order to provide on- going maintenance, protection and security for these sites, staff is recommending the attached Property Management Agreement between the CDC and City be approved. The Agreement establishes funding for the required property management services for eight years, to be extended at the desire of either entity until 2036. The payment to the City is established at an amount considered to be adequate currently and could be adjusted by the parties in the future, should costs either increase or decrease. The initial amount is based on costs incurred by the CDC for its properties over the past three years, excluding capital improvement costs and/or administrative costs for staff time. A list of the properties to be managed is attached, as Exhibit B, to the Agreement. FINANCIAL STATEMENT: APPROVED: Finance ACCOUNT NO. (This Agreement would provide $556,468 annually in tax increment funds and low - moderate housing set aside funds to the City to maintain CDC owned properties. These costs are funded through operating accounts of the City.j ENVIRONMENTAL REVIEW: Not applicable, 1 ORDINANCE: INTRODUCTION: 1 FINAL ADOPTION: STAFF RECOMMENDATION: Adopt the resolution BOARD / COMMISSION RECOMMENDATION: 1 ATTACHMENTS: Proposed Agreement. 1