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01-12-2010 FILE COPY °RAM TERR CE January 12,2010 - GD 22795 Barton Road Grand,Terrace California 92313-5295 Civic Center -CITY OF GRAND TERRACE (909)824-6621 Fax(909)783-7629 Faz.(909)783-2600 CRAXITY COUNCIL Maryetta Ferr6 Mayor REGULAR MEETINGS - Lee Ann Garcia 2� AND 4' TUeSday - 6:00 p.m. ' Mayor Pro Tem , Bea Cortes. Jim Miller Walt Stancldewitz Council Members ' Betsy M.Adams City Manager - Council Chambers Grand Terrace Civic Center 22795 Barton Road Grand Terrace, CA 92313-5295 CITY OF GRAND TERRACE COUNCIL MEETING AGENDA CITY COUNCIL CHAMBERS January 12,2010 GRAND TERRACE CIVIC CENTER 6:00 p.m. 22795 Barton Road THE CITY OF GRAND TERRACE COMPLIES WITH THE AMERICANS WITH DISABILITIES ACT OF 1990. IF YOU REQUIRE SPECIAL ASSISTANCE TO PARTICIPATE IN THIS MEETING,PLEASE CALL THE CITY CLERK'S OFFICE AT (909)824-6621 AT LEAST 48 HOURS PRIOR TO THE MEETING. IF YOU DESIRE TO ADDRESS THE CITY COUNCIL DURING THE MEETING,PLEASE COMPLETE A REQUEST TO SPEAK FORM AVAILABLE AT THE ENTRANCE AND PRESENT IT TO THE CITY CLERK. SPEAKERS WILL BE CALLED UPON BY THE MAYOR AT THE APPROPRIATE TIME. ANY DOCUMENTS PROVIDED TO A MAJORITY OF THE CITY COUNCIL REGARDING ANY ITEM ON THIS AGENDA WILL BE MADE AVAILABLE FOR PUBLIC INSPECTION IN THE CITY CLERK'S OFFICE AT CITY HALL LOCATED AT 22795 BARTON ROAD DURING NORMAL BUSINESS HOURS. IN ADDITION,SUCH DOCUMENTS WILL BE POSTED ON THE CITY'S WEBSITE AT WWW.CITYOFGRANDTERRACE.ORG * Call to Order- * Invocation- * Pledge of Allegiance- * Roll Call- STAFF COUNCIL AGENDA ITEMS RECOMMENDATION ACTION CONVENE COMMUNITY REDEVELOPMENT AGENCY 1. Approval of 12-08-2009 Minutes Approve 2. Engineering and Design Contract for the New Baseball Field Approve/Appropriate Northwest of Pico Park 3. A Resolution Approving the Draft Redbvelopment Plan, Approve Preliminary Report and Draft Amended Owner Participation Rules, the Proposed Sixth Amendment to the Redevelopment Plan for the Grand Terrace Community Redevelopment Project and Directing that Such Documents be Made Available for Public Inspection, Review and Comment 4.. FY 2008-2009 Annual Report to the Legislative Body Accept ADJOURN COMMUNITY REDEVELOPMENT AGENCY CONVENE CITY COUNCIL 1. Items to Delete 2. SPECIAL PRESENTATIONS-None 3. CONSENT CALENDAR The following Consent Calendar items are expected to be routine and I noncontroversial. They will be acted upon by the Council at one time without discussion. Any Council Member,Staff Member,or Citizen may request removal of an.item from the Consent Calendar for discussion. A. Approve Check Register Dated 01-12-2010 Approve COUNCIL AGENDA 01-12-2010 PAGE 2 OF 2 AGENDA ITEMS STAFF COUNCIL RECOMMENDATIONS ACTION B. Waive Full Reading of Ordinances on Agenda C. Approval of 12-08-2009 Minutes Approve D. CEC Energy Efficiency and Conservation Block Grant Approve Application E. Planning.Commission Procedures Handbook Approve/Adopt F. Historical and Cultural Activities Committee Minutes of 12-07- Accept 2009 G. Community Emergency Response Team(C.E.R.T.)Minutes of Accept 11-03-2009 f 4. PUBLIC'COMMENT This is the opportunity for members of the public to comment on any items not appearing on the regular agenda. Because of restrictions contained in CalifomiaLaw,the City Council may not discuss or act on any item not on the agenda,but may briefly respond to statements i made`or ask a question for clarification. The Mayor may also request a brief response from staff to questions raised during public comment or may request a matter be agendized for a future meeting. 5. COUNCIL REPORTS 6. PUBLIC HEARINGS A. An Ordinance of the City Council of the City of Grand Terrace, Continue California, Amending Chapter 8.112 of the Grand Terrace Municipal Code Regulating the Sale and Discharge of Fireworks 7. UNFINISHED BUSINESS-None 8. NEW BUSINESS A. Animal Housing Services Agreement Between the City of Grand Approve Terrace and City of San Bernardino 9. CLOSED SESSION A. Conference with Legal Counsel - Existing Litigation GC54956.9(a)-Michael Grove dba California Exteriors v.City of Grand Terrace(Case 9809432) B. Potential Litigation ADJOURN THE NEXT CRA/CITY COUNCIL MEETING WILL BEHELD ON TUESDAY,JANUARY 26,2010,.AT. ..6:00..P.M. .. . . ....... ............................................. AGENDA ITEM REQUESTS MUST BE SUBMITTED IN WRITING TO THE CITY CLERK'S OFFICE NO LATER THAN 14 CALENDAR DAYS PRECEDING THE MEETING. PENDING CRA APPROVAL CITY OF GRAND TERRACE COMMUNITY REDEVELOPMENT AGENCY MINUTES i REGULAR MEETING-DECEMBER 8,2009 A regular meeting of the Community Redevelopment Agency, City of Grand Terrace, was held in the Council Chambers,Grand Terrace Civic Center,22795 Barton Road,Grand Terrace,California, on December 8,2009 at 7:30 p.m. PRESENT: Maryetta Ferre, Chairman Lee Ann Garcia, Vice-Chairman Bea Cortes,Agency Member Jim Miller, Agency Member Walt Stanckiewitz,Agency Member Betsy M. Adams, City Manager Brenda Mesa, City Clerk Bernie Simon, Finance Director Joyce Powers, Community&Economic Development Director Richard Shields, Building& Safety Director John Harper, City Attorney Sgt. Hector Gomez, Sheriff's Department John Salvate, San Bernardino County Fire Department ABSENT: None CONVENE COMMUNITY REDEVELOPMENT AGENCY AT 7.30 P.M. APPROVAL OF 11-10-2009 MINUTES CRA-2009-52 MOTION BY AGENCY MEMBER CORTES,SECOND BY AGENCY MEMBER STANCKIEWITZ, CARRIED 4-0-0-1 (VICE-CHAIRMAN GARCIA ABSTAINED), to approve the November 10, 2009 Community Redevelopment Agency Minutes. COMMUNITY REDEVELOPMENT AGENCY (DRAFT) FINANCIAL STATEMENTS FY 2008-2009 CRA-2009-53 MOTION BY VICE-CHAIRMAN GARCIA, SECOND BY AGENCY MEMBER STANCKIEWITZ, CARRIED 5-0, to receive and file the Comm�nity Redevelopment Agency(Draft) Financial Statements FY 2008-2009 RESOLUTION TO CHANGE AUTHORIZED SIGNATURES FOR THE LOCAL AGENCY INVESTMENT FUND (LAIF) CRA AGENDA ITEM NO. Community Redevelopment Agency Minutes December 8,2009 Page 2 CRA-2009-54 MOTION BY AGENCY MEMBER MILLER,SECOND BY AGENCY MEMBER CORTES,CARRIED 5-0,to approve a Resolution to Change Authorized Signatures for the Local Agency Investment Fund (LAIF) NOTICE OF COMPLETION - DEMOLITION OF 22747 BARTON ROAD AND 22720 VISTA GRANDE WAY (BECKCO INC.) CRA-2009-55 MOTION BY AGENCY MEMBER STANCKIEWITZ, SECOND BY AGENCY MEMBER CORTES, CARRIED 5-0, to accept the Demolition Projects of 22747 Barton Road and 22720 Vista Grande Way that was completed by Beckco Inc. and to direct the City Clerk to record the Notices of Completion. PUBLIC HEARING-2010-2014 IMPLEMENTATION PLAN FOR THE GRAND TERRACE REDEVELOPMENT PROJECT Joyce Powers Community and Economic Development Director, stated that California Community Redevelopment Law requires Redevelopment Agencies to hold a public hearing and adopt an Implementation Plan every five years. The Agency's 2010-2014 Implementation Plan must be adopted before December 31, 2009,when the 2005-2009 Plan expires. An Agency's Redevelopment Plan outlines general actions and goals. The Implementation Plan provides a method for measuring success,and is reviewed mid-term. The draft 2010-2014 Implementation Plan presents the Agency's anticipated programs, projects, revenue, and expenditures, as well as a summary of the Agency's accomplishments during the 2005-2009 program years. She indicated that the adoption of the draft Implementation Plan does not constitute an approval of any specific program,project, or expenditure described in the Plan, and all proposed projects are still subject to Agency approval. She stated that the Implementation Plan itself is not a project under the California Environmental Quality Act (CEQA) requiring environmental documentation and that a Notice of Exemption is being presented to the Agency for adoption. Agency Member Stanckiewitz, referred to the Implementation Plan- Site assembly and public infrastructure improvements for the Outdoor Adventure Center and he questioned how much money has been spent on that project. Community and Economic Development Director Powers,responded that she can get that information to him. Sheiindicated that the Agency still owns the parcel that were acquired for the Outdoor Adventure Center and is available for another project. Agency Member Stanckiewitz, questioned if the proposed Michigan Street Improvements are being driven by the High School or the Grand Crossings Project. .OJ4143TI A0030A 1493 Community Redevelopment Agency Minutes December 8,2009 Page 3 Community and Economic Development Director Powers , responded that it was neither one of those projects. She stated that She and the Public Works Director have discussed over the past year at some length the need to acquire the right of way and achieve the General Plan width for Michigan Avenue. Chairman Ferre opened the Public Hearing for discussion, there being none she returned discussion to the Agency Members. Agency Member Cortes, referred to the Mobile Home Park Upgrade and/or Expansion Program and stated that she believes that all of the City's have given the Mobile Home inspections to the State. Community and Economic Development Director Powers,responded that the Mobile Home Parks are now registered through the State, however, they can use Redevelopment Funds to upgrade the quality of the parks. CRA-2009-56 MOTION BY AGENCY MEMBER CORTES,SECOND BY AGENCY MEMBER STANCKIEWITZ, CARRIED 5-0, to approve a Resolution of the Grand Terrace Community Redevelopment Agency Adopting the 2010-2014 Five-Year Implementation Plan for the Grand Terrace Redevelopment Project Area and Finding the Implementation Plan Exempt from the Provisions of the California Environmental Quality Act(CEQA) Chairman Ferrd adjourned the Community Redevelopment Agency Meeting at 8:30 p.m., until the next CRA/City Council Meeting that is scheduled to be held on Tuesday,January 12,2010 at 6:00 p.m. SECRETARY of the Community Redevelopment Agency of the City of Grand Terrace CHAIRMAN of the Community Redevelopment Agency of the City of Grand Terrace . L • S iALi'FORYIA AGENDA REPORT MEETING DATE: January 12, 2010 Council Item( ) CRA Item ( X ) TITLE: Engineering and Design Contract-for the New Baseball Field Northwest of Pico Park PRESENTED BY: Joyce Powers, Community and Economic Development Director RECOMMENDATION: 1. Approve the attached Professional Consultant Services Agreement in the amount of $46,740 between the Agency and Fraco Enterprises, Inc., for the Engineering and Architectural Design of the new Baseball Field. 2. Approve a CRA budget appropriation in the amount of$51,414 to fund design, plus a 10% contingency for any unforeseen work items. BACKGROUND: When construction began on the Grand Terrace High School, two of the three existing baseball fields at Pico Park were demolished. The Grand Terrace Little League has expressed the need for at least one more field to play regulation games. On October.27, 2009, the Agency approved a recommended location for the new field, northwest of the remaining field, and authorized staff to issue a Request for Proposals (RFP) for the engineering and architectural design. DISCUSSION: The RFP was issued on October 28, 2009, and twenty-two responses were received from firms } interested in designing the new baseball field. After identifying the most experienced firms that met the RFP requirements, the review committee interviewed three area engineering and architectural teams on December 9, 2009. The proposed fees were all within a range of$36,000 to $45,000, depending on the engineering approach and the ADA recommendations for path of travel to the new field by the disabled. The interview team of the City Manager, CED Director, and Public Works Director, • recommends the Grand Terrace firm of Fraco Enterprises, Inc. for the project. Fraco's team includes landscape architect Richard Pope, who has designed other Grand Terrace park sites. Staff has subsequently requested that Fraco Enterprises identify ADA compliance deficiencies at CRA AGENDA ITEM NO. L f the existing field and parking lot, and those recommended design modifications are contained in the attached Agreement Scope of Work. The total fee is now $46,740, which includes specifications for public bidding. Based on the proposed schedule, the final design and specifications will be complete in approximately ten weeks, and the project advertised for public bidding by March 25, 2010. A more comprehensive schedule is included in Attachment "A" of the Agreement, which also details the progress payments based on specific milestone deliverables. The costs to construct the baseball field and all ADA improvements will be approximately - $165,000 - $195,000; with the electrical system installed for future lighting. Staff recommends approval of the attached design Agreement and the requested budget appropriation of $51,414, which includes a 10% contingency for any unforeseen work. The City Attorney has reviewed and approved the Agreement, and all proof of insurance documents are on tile. It is expected that the construction contract will be.presented to the Agency for approval in Ma'y 2010. Staff will provide.interim updates-to the Agency to track progress. FISCAL IMPACT: Sufficient funds for the design and specifications are available in the CRA 80% undesignated fund balance. The Agency now has approximately $4.1 million available for new non-housing projects. In addition, the Agency has $2.7 million reserved for future debt service, pending approval of the Redevelopment Plan Amendment now in progress. Redevelopment funds are also available to complete project,construction, subject to Agency approval. Respectfully submitted, Jdyce owers Community and Economic Development Director Manager Approval: !� Betsy . Adams CRA Executive Director ATTACHMENTS A. 'Professional Consultant Services Agreement between the Agency-and Fraco Enterprises, Inc. B. Map of the proposed Baseball Field ATTACHMENT #1 PROFESSIONAL CONSULTANT SERVICES AGREEMENT BETWEEN THE AGENCY AND FRACO ENTERPRISES, INC. l i 7 3 { PROFESSIONAL CONSULTANT SERVICES AGREEMENT Company a Project Design and Engineering Services THIS PROFESSIONAL CONSULTANT SERVICES AGREEMENT ("Agreement") is made and entered into this ' day of January, 2010, ("Effective Date") by and between the COMMUNITY REDEVELOPMENT AGENCY ("Agency"), a public entity, and Fraco Enterprises, Inc., ("Consultant"). 1. Scope of Services. Agency agrees to retain and;does hereby retain Consultant and Consultant agrees to provide the services more particularly described in Exhibit "A", "Scope of Services, Project Schedule, and Fees", attached hereto and incorporated herein by reference, in conjunction with the Baseball Field Design and Specifications ("Project"). 2. Term. This Agreement shall be effective on the date first written above unless otherwise provided in Exhibit "A" and the Agreement shall remain in effect until.December 31, 2010, unless `otherwise terminated pursuant to the provisions herein. 3. Compensation/Payment. Consultant shall perform the Services under this Agreement for the total sum not to exceed Forty-six Thousand Seven Hundred Forty Dollars ($46,740.00) payable in accordance with the terms set forth in Exhibit "A". Said payment shall be made in.accordance with Agency's usual accounting procedures upon receipt and approval of an itemized invoice setting forth the services performed. The invoices shall be delivered to Agency at the address set forth in Section 4 hereof. 4. Notices. Any notices required to be given hereunder shall be in writing and shall be personally served or given by mail.- Any notice given by mail shall be deemed given when deposited in the United States Mail, certified and postage prepaid, addressed to the party to be served as follows: To Agency: To Consultant: Community Redevelopment Agency Maria Fraser, Fraco Enterprises, Inc. Attn: Joyce Powers 12139 Mr. Vernon Ave., Suite 210 22795 Barton Road Grand Terrace, Cali-fomia 92313 Grand Terrace, California 92313 1 5. Prevailing Wage. If applicable, Consultant and all subcontractors are required to pay the general prevailing wage rates of,per diem wages and overtime and holiday wages determined by the Director of the Department of Industnal Relations tinder Section 1720 et seq. of the California Labor Code and implemented the City Council of the City of Grand Terrace. The Director's determination is on File and open to inspection in the office of the City Clerk and is Page 1 of 11 referred to and made a part hereof; the wage rates therein ascertained, determined, and specified are referred to and made a part hereof as though fully set forth herein. 6. Contract Administration. A designee of the Agency,will be appointed to adrpinister this Agreement on behalf of the Agency and shall be referred to herein as Contract Administrator. 7. Standard of Performance. While performing the Services, Consultant shall exercise the reasonable professional care and skill customarily exercised by reputable members of Consultant's profession practicing in the Metropolitan Southern California Area, and shall use reasonable diligence and best judgment while exercising its professional skill and expertise. 8. Personnel. Consultant shall furnish all personnel necessary to perform the Services and shall be responsible for their performance and compensation. Consultant recognizes that the qualifications and experience of the personnel to be used are vital to professional and timely completion of the Services. The key personnel listed in Exhibit "B" attached hereto and incorporated herein by this reference and assigned to perform portions of the Services shall remain assigned through completion of the Services, unless otherwise mutually agreed by the parties in writing, or caused by hardship or resignation in which case substitutes shall be subject to Agency approval. 9. Assignment and Subcontracting. Neither party shall transfer any right, interest, or obligation in or under this Agreement to any other'entity without prior written consent of the --, other party. In any event,no assignment shall be made unless the assignee expressly assumes the obligations of assignor under this Agreement, in a writing satisfactory to the parties. Consultant shall not subcontract any portion of the work required by this Agreement without prior written approval by the responsible Agency's Contract Administrator. Subcontracts, if any, shall contain a provision making them subject to all provisions stipulated in this Agreement, including without limitation, the insurance obligations set forth in Section 12. Consultant acknowledges that any transfer of rights may require Agency Executive Director and/or City Council approval. 10. Independent ,Contractor. In the performance of this Agreement, Consultant, and Consultant's employees, subcontractors and agents, shall act in an independent capacity as independent contractors, and not as officers or employees of the City of Grand Terrace. Consultant acknowledges and agrees that Agency has no obligation to pay or withhold state or federal taxes or to provide workers' compensation or unemployment insurance to Consultant, or to Consultant's employees, subcontractors and agents. Consultant, as an independent contractor, shall be responsible for any and all taxes that apply to Consultant as an employer. 11. Indemnification. } 11.1 Indemnity. Except as to the sole negligence or willful misconduct of the Agency, Consultant shall defend, indemnify and hold the Agency, and its officers, employees and agents, harmless from any and all loss, damage, claim for damage, liability, expense or cost, including Page ? of 11 attorneys' fees, which arises out of or is in any way connected with the performance of work under this Agreement by Consultant or any of the Consultant's employees, agents or subcontractors and from all claims by Consultant's employees, subcontractors and agents for compensation for services rendered to Consultant in the performance of this Agreement, notwithstanding that the City and/or Agency may have benefitted from their services. This indemnification provision shall-apply to any acts or omissions, willful misconduct or negligent conduct, whether active or passive, on the part of Consultant or of Consultant's employee's, subcontractors or agents. 11.2 Attorney's Fees. The parties expressly agree that any payment, attorneys' fees, costs or expense that the Agency incurs or makes to or on behalf'of an injured employee under the Agency's self-administered workers' compensation is included as a loss, expense or cost for the purposes of this Section, and that this Section shall survive the expiration or early termination of the Agreement. 12. Insurance. 12.1 General Provisions. Prior to the Agency's execution of this Agreement, Consultant shall provide satisfactory evidence of, and shall thereafter maintain during the term of this Agreement, such insurance policies and coverages in the types, limits, forms and ratings required herein. The rating and required insurance policies and coverages may be modified in writing by. the Agency's Risk Manager or Agency Attorney, or a designee, unless such modification is prohibited by law. 12.1.1 Limitations. These minimum amounts of coverage shall not constitute any limitation or cap on Consultant's indemnification obligations under Section 11 hereof. 12.1.2 Ratings. Any insurance policy or coverage provided by Consultant or subcontractors as required by this Agreement shall be deemed inadequate and a material breach of this Agreement, unless such policy or coverage is issued by insurance companies authorized to transact insurance business in the State of California with a policy holder's rating of B+ or higher and a Financial Class of VII or higher. 12.1.3 Cancellation. The policies shall not be canceled unless thirty (30) days prior written notification of intended cancellation has been given to Agency by certified or registered mail, postage prepaid. 12.1.4 Adequacy. The Agency, its officers, employees and agents make no representation that the types or limits of insurance specified to be carried by Consultant pursuant to this Agreement are adequate to protect Consultant. If Consultant believes that any required insurance coverage is inadequate, Consultant will obtain such additional insurance coverage as Consultant deems adequate, at Consultant's sole expense. t Page 3 of 1 1 12.2 Workers' Compensation Insurance: By executing this Agreement, Consultant certifies that Consultant is aware of and will comply with Section 3700 of the Labor Code of the State of California requiring every employer to be insured against liability for workers' compensation, or to undertake self-insurance before commencing any of the work. Consultant shall carry the insurance or provide for self-insurance required by California law to protect said Consultant from claims under the Workers' Compensation Act. Prior to Agency's execution of this Agreement, Consultant shall file with Agency either (1) a certificate of insurance showing that such insurance is in effect, or that Consultant is self-insured for such coverage, or (2) a certified statement that Consultant has no employees, and acknowledging that if Consultant does employ any person, the necessary certificate of insurance will immediately be filed with Agency. -- Any certificate filed with Agency shall provide that Agency will be given ten (10) days prior written notice before modification or cancellation thereof. 12.3 Commercial General Liability and Automobile Insurance. Prior to Agency's execution of this Agreement, Consultant shall obtain, and shall thereafter maintain during the term of this Agreement, commercial general liability insurance and automobile liability insurance as required to insure Consultant against damages for personal injury, .including accidental death, as well as from claims for property damage, which may arise from or which may concern operations by anyone directly or indirectly employed by, connected with, or acting for or on behalf of Consultant. The Agency, and its officers, employees and agents, shall be named as additional insureds under the Consultant's insurance policies. 12.3.1 Consultant's commercial general liability insurance policy shall cover both bodily injury (including death) and property damage (including, but not limited to, premises operations liability, products-completed operations liability, independent Consultant's liability, personal injury liability, and contractual liability) in an amount not less than $1,000,000 per occurrence and a general aggregate limit in the amount of not less than $2,000,000. 12.3.2 Consultant's automobile liability policy shall cover both bodily injury and property damage in an amount not less than $500,000 per occurrence and an aggregate limit of not less than $1,000,000. All of Consultant's automobile and/or commercial general liability insurance policies shall cover all vehicles used in connection with Consultant's performance of this Agreement, which vehicles shall include, but are not limited to, Consultant owned vehicles, Consultant leased vehicles, Consultant's employee vehicles, non-Consultant owned vehicles and hired vehicles. 12.3.3 Prior to Agency's execution of this Agreement, copies of insurance policies or original certificates and additional insured endorsements evidencing the coverage required by this Agreement, for both commercial general and automobile liability insurance, shall be filed with the Agency and shall include the Agency and its officers, employees and agents, as additional insureds. Said policies shall be in the usual form of commercial general and automobile liability insurance policies, but shall include the following provisions: Page 4 of 11 It is agreed that the Community Redevelopment Agency and its officers, employees and agents, are added as additional insureds under this policy, solely for work done by and on behalf of the named insured for the Community Redevelopment Agency. 12.4 Errors and Omissions Insurance. Prior to Agency's execution of this Agreement, Consultant shall obtain, and shall- thereafter maintain during the term of this Agreement, errors and omissions professional liability insurance in the minimum amount of$1,000,000 to protect the Agency from claims resulting from the Consultant's activities. 12.5 Subcontractors' Insurance. Consultant shall require all of its subcontractors to carry insurance, in an amount sufficient to cover the risk of injury, damage or loss, that may be caused by the subcontractors' scope of work and activities provided in furtherance of this Agreement, including, but without limitation, the following coverages: Workers Compensation, Commercial General Liability, Errors and Omissions, and Automobile liability. Upon Agency's request;Consultant shall provide the Agency with satisfactory evidence that Subcontractors have obtained insurance policies and coverages required by this section. .13. Business Tax. Consultant understands that .the Services performed under this Agreement constitutes doing business in the City of Grand Terrace, and Consultant agrees that Consultant will register for and pay a business tax pursuant to Chapter 5.04 of the Grand Terrace Municipal Code and keep such tax certificate current during the term of this Agreement. 14. Time of Essence. Time is of the essence for each and every provision of this ` Agreement. 15. Agency's Right to Employ Other Consultants. Agency reserves the right to employ other Consultants in connection with the Project. 16. Accounting Records. Consultant shall maintain complete and accurate records with respect to costs incurred under this Agreement. All such records shall be clearly identifiable. Consultant shall allow a representative of Agency during normal business hours to examine,- audit, and make transcripts or copies of such records and any other documents created pursuant to this Agreement. Consultant shall allow inspection of all work, data, documents, proceeding's, and activities related to the Agreement for a period of three (3) years from the date of final payment under this Agreement. 17. Confidentiality. All ideas, memoranda, specifications, plans, procedures, drawings, descriptions, computer program data, input record data, written information, and other materials either created by or provided to Consultant in connection with the performance of this Agreement shall be held confidential by Consultant, except as otherwise directed by Agency;s Contract Administrator. Nothing furnished to Consultant which is otherwise known to the Consultant or is generally known, or has become known, to the related industry sha 1 be deemed confidential. Consultant shall not use Agency's name or insignia, photographs of the Project, or any publicity pertaining to the Services or the Project in any magazine, trade paper, newspaper, f television or radio production, website, or other similar medium without the.prior written consent of the Agency. 18. Ownership of Documents. All, reports, maps, drawings and other contract deliverables prepared under this•Agreement by Consultant shall be and remain the property of Agency upon Agency's compensation to Consultant for its services as herein provided. Consultant shall not release to others information furnished by Agency without prior express written approval of Agency. 19. Conflict of Interest. Consultant, for itself and on behalf of the individuals listed in Exhibit `B", represents and warrants that by the execution of this Agreement, they have no interest, present or contemplated, in the Project affected by the above-described Services. Consultant further warrants that neither Consultant, nor the individuals listed in Exhibit`B"have any real property, business interests or income interests that will be affected by this project or, alternatively, that Consultant will file with the Agency an affidavit disclosing any such interest. 20. Solicitation. Consultant warrants that Consultant has not employed or retained any person or Agency to solicit or secure this Agreement, nor has it entered into any agreement or understanding for a commission, percentage, brokerage, or contingent fee to be paid to secure this Agreement. For breach of this warranty, Agency shall have the right to terminate this Agreement without liability and pay Consultant only for the value of work Consultant has actually performed, or, in its sole discretion, to deduct from the Agreement price or otherwise recover from Consultant the full amount of such commission, percentage, brokerage or commission fee. The remedies specified in this section shall be in addition to and not in lieu of i J those remedies otherwise specified in this Agreement. J 21. General Compliance with Laws. Consultant shall keep fully informed of federal, state and local laws and ordinances and regulations which in any manner affect those employed by Consultant, or in any way affect the performance of services by Consultant pursuant to this Agreement. Consultant shall at all times observe and comply with all.such laws, ordinances and regulations, and shall be solely responsible for any failure to comply with all applicable laws, ordinances and regulations. 22. Amendments. This Agreement may be modified or amended only by a written Agreement and/or change order executed by the Consultant and Agency. 23. Termination. Agency, by notifying Consultant in writing, shall have the right to terminate any or all of Consultant's services and work covered by this Agreement at any time. In the event of such termination, Consultant may submit Consultant's final written statement of the amount of Consultant's services as of the date of such termination based upon the ratio that the work completed bears to the total work required to make the report complete, subject to the Agency's rights under Sections 15 and 24 hereof. In ascertaining the work actually rendered through the termination date, Agency shall consider completed work, work in progress and complete and incomplete reports and other documents only after delivered to Agency. Page 6 of 11 I I 23.1 Other than as stated below, Agency shall give Consultant thirty (30) days prior written notice prior to termination. 23.2 Agency may terminate this Agreement upon fifteen (15) days written 'notice to Consultant, in the event: - 23.2.1 Consultant substantially fails to perform or materially breaches the Agreement; or 23.2.2 Agency decides to abandon or postpone the Project. 24. Offsets. Consultant acknowledges and agrees that with respect to any business tax or penalties thereon, utility charges, invoiced fee or other debt which Consultant owes or may owe to the Agency, Agency reserves the right to withhold and offset said amounts from payments or refunds or reimbursements owed by Agency to Consultant. Notice of such withholding and offset shall promptly be given to Consultant by Agency in writing: In the event of a dispute as to the amount owed or whether such amount is owed to the Agency, Agency will hold such disputed amount until either the appropriate appeal process has been completed or until the dispute has been resolved. a - I 25. Successors and Assigns. This Agreement shall be binding upon Agency and its successors and assigns, and upon Consultant and its permitted successors and assigns, and shall not be assigned by Consultant, either in whole or in part, except as otherwise provided in paragraph 9 of this Agreement. 26. Venue and Attorneys' Fees. Any action at law or in equity brought by either of the parties hereto for the purpose of enforcing a right or rights provided for by this Agreement shall be tried in a court of competent jurisdiction in the County of San Bernardino, State of California, and the parties hereby waive all provisions of law providing for a change of venue in such proceedings to any other county. In the event either party hereto shall bring suit to enforce any term of this Agreement or to recover any damages for and on account of the breach of any term or condition of this Agreement, it is mutually agreed that the prevailing party in such action shall recover all costs thereof, including reasonable attorneys' fees, to be set-by the court in such action. 27. Nondiscrimination. During Consultant's performance of this Agreement, Consultant shall not discriminate on the grounds of race, religious creed, color, national origin, ancestry, age, physical disability, mental disability, medical condition, including the medical condition of Acquired Immune Deficiency Syndrome (-AIDS) or any condition related thereto;marital status, sex, or sexual orientation, in the selection and retention of employees and subcontractors and the procurement of materials and equipment, except as provided in Section 12940 of the California Government Code. Further, Consultant agrees to conform to the requirements of the Americans with Disabilities Act in the performance of this Agreement. Page7of11 I a I q� 28. Severability. Each provision, term, condition, covenant and/or restriction, in whole and in part, of this Agreement shall be considered severable. In the event any provision, term, condition, covenant and/or restriction, in whole and/or in part, of this Agreement is declared invalid, unconstitutional, or void for any reason, such provision or part thereof shall be severed ¢from this Agreement and shall not affect any other provision, term, condition, covenant and/or restriction of this Agreement, and the remainder of the Agreement shall continue in full force and effect. 29. Authority: The individuals executing this Agreement and the instruments referenced herein on behalf of Consultant each represent and warrant that they have the legal power, right and actual authority to bind Consultant to the terms and conditions hereof and thereof. 30. Entire Agreement: This Agreement constitutes the final, complete, and exclusive statement of the terms of the agreement between the parties pertaining to the subject matter of this Agreement, and supersedes all prior and contemporaneous understandings or agreements of the parties. Neither party has been induced to enter into this Agreement by, and neither party is relying on, any representation or warranty outside those expressly set forth in this Agreement. 31. Interpretation. Agency and Consultant acknowledge and agree that this Agreement is the product of mutual arms-length negotiations and accordingly, the rule of construction, which provides that the ambiguities in a document shall be construed against the drafter of that document, shall have no application to the interpretation and enforcement of this Agreement. - 31.1 Titles and captions are for convenience of reference only and do not define, describe or limit the scope or the intent of the Agreement or any of its terms. Reference to section numbers are to sections in the Agreement unless expressly stated otherwise. 31.2 This Agreement shall be governed by and construed in accordance with the laws of the State of California in effect at the time of the execution of this Agreement. 31.3 In the event of a conflict between the body of this Agreement and Exhibit "A" hereto, the terms contained in Exhibit"A" shall be controlling. 32. Exhibits. The following,exhibit's attached hereto are incorporated herein to this Agreement by this reference: Exhibit"A"- Scope of Services, Project Schedule, and Fees Exhibit"B"-Personnel IN WITNESS WHEREOF Agency and Consultant have caused this Agreement to be duly executed the day and year first above written. Page 8 of 11 11 COMMUNITY REDEVELOPMENT AGENCY, A Public Entity By: Company Betsy M. Adams FFhief s, In . Agency Executive Director B er Attest: cutive Officer and Secretary -- Agency Secretary/City Clerk APPROVED AS TO FORM: By: Agency Attorney 9 Page 9 of 11 1r EXHIBIT "A" SCOPE OF SERVICES, PROJECT SCHEDULE, AND FEES 1 i Page 10 of I I 13 Standard Services and Work Approach �. Project Meetings 4 a. Kick off meeting ' Prior to commencing work a "lick off" meeting with the design .team members and the city will be held to solidity the project goals and identify ' any potential challenges. b. Project Coordination and Meetings Coordination of work will be carried out throughout the design. The continuous coordination will ensure that the project is designed in accordance with the City,of Grand Terrace's criteria and standards. 2. Aerial Topography,Survey&Mapping Aerial Topography to serve as base map. During the review of the Grand Terrace High School grading plans we intentionally searched for the name of the aerial. Because of the proximity or the baseball site we were sure that topographic aerial information would be available at a small cost,and could be obtained to be used as a "Base"for the plans and augmented by ground surveys(more precise) since aerial topography is only accurate to approximately 0.50' (t) to complete the precise grading, utility and drainage design of the baseball field and the ADA path. The ! ability to have aerial topography between Pico Street and Van Buren Street would have allowed us to cut cost in survey as the only area where we would then need a more precise survey is where we tie into the existing areas surrounding the field.The r_ additional area covered will facilitate the layout of utilities specifically the water line as it does not need the survey to be that exact. However, after contacting the aerial company and discussing the costs it was determined that it would be more cost ! effective to perform ground surveys, along the the water line alignment area once . determined. It is our understanding that the City owns the 9.24 acre parcel where the baseball field is proposed(no. 61)the adjacent 8.92 acre parcel to the west(no.62)as well as the southerly contiguous parcel(no. 73).The proposal requests that either a Parcel Map or a lot line adjustment be prepared in order to create a separate parcel because it is the City's intent to sell parcel 62 and remainder of parcel 61, and keep the ball field area as City Property once the sell takes place. Per the subdivision map act a City can not create a parcel because agencies are not considered to be in the subdivision business, so to create "stand alone" Parcel Map its timing has to coincide with the time of the land sale. If the City chooses, to separate the ball field prior to the selling the remainder adjacent parcels that the most efficient way will be to prepare a Lot Line Adjustment using either parcels 61 and 62 or parcels 61 and 73• i The scope and fee has been organized in accordance with the City's criteria as. ' follows: Topographic Survey r - rah•,,:, ., . , ,_; _ u l •• i I a. Provide field Topo of the proposed ball field area, tie the survey into the street and existing benchmark,process and convert field shots into AutoCAD format to be used for grading design. - Preparation and Approval of Lot Line adjustment a. Prepare lot Line Adjustment for approval by the City of Grand Terrace. b. Prepare Record of Survey for new parcel for approval by San Bernardino County. Additional Survey Work ADA Access at Pico Park Provive survey sufficent survey shots along the area that will accommodate the new sidewalk. Survey will extend from Pico street along the west side to the property to the area where it will connect to the originally proposed path of travel. The survey work will also include shots along the current ADA stalls to check if they currently meet the ADA maximum slope requiremtns and to be used if re-design of some areas is necessary to bring them into compliance. 3. Research,Record Data and,field verifleation Fraco in collaboration with Dawson Survey will research the record map information. Fraco will also research existing underground water line and other infrastructure. 4. Utility Coordination Coordination with Utility Agencies Fraco will coordinate witl`the local water agency,,the Highland Water Company to obtain records of the existing infrastructure as required by the project and will assist the City in processing the plans. 5. Civil Design Initial Design 5.1 Base Drawing Preparation of the base drawing will be developed utilizing the -following information: Topographic survey, site grades and surface features plotting existing nearby utilities and baseball field layout, as agreed upon with the city subsequent to the Kick off meeting. The base map will show the areas past the project limits, i.e. Pico Park and the Grand Terrace High School necessary to match the existing Pico Park grades and future Grand Terrace High School grades. 5.2 Conceptual Field Layout Fraco will collaborate with Richard Pope and Associates in the preparation of the Little League size ball field. Preliminary plan(5o%complete),and i00%complete plans. i Utilizing the information developed in the preliminary phase. Fraco, Inc. will prepare a conceptual plans. This plan will show proposed ADA path alignment preliminary grades, anticipated minor drainage features, and preliminary lighting standard locations. _r+r ! r 2 After completion of the above tasks, Fraco, Inc. will submit a set of prints along with a"Estimated Cost of Construction"to the City for review and approval and will schedule a meeting to discuss the design and any other design criteria and/or concerns that the City may have prior embarking onto final design. Fraco, Inc will prepare the base construction drawings on 24"x 36"sheets with the City's Standard title block. The base drawings will include. a plan view at either 1"=40 or 1"=20' depending on the intent of the design to, be conveyed to the contractor. All plans will be prepared in AutoCAD land development 2006. Construction Documents Final Design Construction documentation shall include preparation of documents necessary to fully and completely convey the design, which shall be used for bidding and construction. In particular,the following items will be included: A title sheet with all the required standard general notes,project construction notes and removal notes, clearly legible location map, the number of improvement sheets in the set and the title of each sheet. Precise Grading, and drainage Plan During the preparation of this proposal Fraco obtained a copy of the proposed Grand Terrace High School Grading Plan,and was informed that the grading in the north east corner of the property was completed in that area. Subsequent to this, the plan and the current field conditions were concurrently reviewed and noticed that the top of the slope had not been built per plan. The top of the slope as designed on the plans was to be built at the property line bewteen Pico Park and the school site. However it appears that the top of the slope along this area was shifted west and to the south along a portion of the notherly corner away from the fence up to a point (see sketch atttched) which allows the ADA path possible to go around the exisiting fence and thru the school site. This would not have been possible would the plans had been built as designed and approved.Therefore,the ADA path is possible and challenges due to the grades in this area are not anticipated. FRACO, Inc will prepare and submit a final grading plan for the onsite improvements. This plan will indicate proposed site elevations,graded slopes,wall locations and height(if applicable),onsite drainage devices,appropriate elevations and sections, construction notes based on the City of Grand Terrace requirements and standard plans, supplemented with Standard Specifications for Public Works Construction as necessary. 3 Additional Scone of Work — ADA access to Pico Park and renovate current ADA stalls and Path of Travel from the Parking lot to current field and Proposed field, Fraco will design an ADA ` Path of Travel(P.O.T) from Pico Street to site along the south west corner of the site. The P.O.T will extend along the westerly property line U consequently the existing AC adjacent to the exiting r ;curb will will require removal and replacement with a concrete sidewalk. The proper curb ramps will `1- be designed to allow ADA r compliant access from the ADA parking PROPER {! i]C, p g stalls to ,Je t the new P.O.T sidewalk. -,j►- ---- -1- - `'� ,, The survey shots will be h _ examined to ensure thatthe current parking stalls, ,,• / „�� 4, ,r._ -- slopes conform with the �� t current ADA design criteria and standards. / xM9T u's In order to accommodatethe P.O.T from the street to, the site the removal and relocation of the `existing storage facility will be required. Fraco will coordinate with City staff to explore a new location for the storage facility and will design a level pad to accommodate it at the new location once it is established. In addition, the new sidewalk design will extend from the parking lot to the new base ball field along the westerly property line to provide P.O.T that is ADA accessible. P.O.T will also be identified between the ADA parking stalls and the existing field. This will -be accomplished by specifying on the plan a concrete path that will connect the proposed sidewalk from the parking lot to the sidewalk located behind the existing trash enclosure.The appropriate ADA pavement markings will also be - specified. Pedestrians will be guided to the existing field via the existing facility walk ways. Erosion Control Plan Prepare Erosion Control Plan in Accordance with the City of Grand Terrace requirements. Storm Water Pollution Prevention Plan A Storm Water Pollution Prevention Plan will be prepared according to California Storm Water Best Management Practice guidelines and techniques to meet site 1 development standards for storm water quality. Water Quality Management Plan Based on the San Bernardino County guidelines, Fraco Inc will prepare a project specific report. The plan will identify Target Pollutants; Conditions of Concern such as the potential for the site to cause erosive conditions select, and design Best'Management Practices(BMP)for Site Specific project category. Hudrologu Calculations Upon completion of the layout and the ground surveys FRACO Inc will prepare hydrology calculations to properly quantify and subsequently size the drainage improvements at the ADA path crossings. This scope of work does not include a formal drainage study or a hydrology. The calculations will include the io -year and 25-year storm frequency runoff, based on the current conditions and proposed project features.. Utility Plan During the Pico Park demolition, a two (2)inch pipe branching out from the Pico Park system that used to irrigate the fields was capped. This line will be located with the assistance of City staff and will be extended to irrigate the proposed field. Richard Pope and Associates will provide irrigation calculations to ensure that flows from this line are adequate to irrigate the new field. Quality AssuranceLQualitu Control CQALM To ensure'the City the best project Quality, Fraco, Inc will use our "in-house" QA/QC manual to ensure the plans are in conformance with the appropriate criteria and specifications. Electronic files (AutoCAD land development_aoo6 drawings and MS Word 2000 ' for text file) to be submitted to City's Engineering Department, when plans are l00%complete. Final ME Submittal Final design plans will be plotted on Mylar sheets using the City's standard format and information. AutoCAD design files will be submitted to the City for review and file. Contract&ec fications and Cost Estimates Contract specifications and cost estimate will be completed and submitted both with the draft design plans set and the final plans set to the City for review. Architectural Specifications will be in accordance CSI format signed by a registered , architect with. The latest edition of the "Green Book", the most current editions of Caltrans Standard Plans and Specifications, the County of San Bernardino, and Grand Terrace Standard Plans and Specifications will be used for bidding purposes where applicable. Cost,estimates will be prepared in standard bid format for submittal to the City. Final Utility Letter A final utility letter will be sent to Riverside Highland Water(if appropriate)andl any other agencies that may be affected or involved. This last letter will advise the agency on the approximate preconstruction bid date and the letter will include a set of improvement plans for final review as required. 5 i 6. Onsite Lighting Design 1) Coordination Coordinate with Power Company for acquiring new or upgrading existing electrical services as necessary. 2) Lighting and Electrical Design' a. Develop lighting and electrical designs for a maximum of seven (7) future light poles for the baseball field. b. Develop lighting and electrical designs for walkway lighting between Pico Park and baseball field. C. Perform voltage calculations, conduit fill calculations, and illumination calculations if requested. d. The lighting/electrical design plans will depict the proposed lighting fixtures and the pertinent conduits; pull- boxes, cables, service feed and lighting controls with the required schedules and notes. e. Construction cost opinion and technical provisions will be developed and submitted for review and approval. Assumptions: a. Two full-size(24"x36")plans and detail sheets are assumed,and construction cost estimates. b. All the required plan check fees will be paid by others if required 7. Architectural Landscape Design Prepare regulation Little League Baseball Field construction layout plans,details, and specifications with dimensions and callouts addressing: a. Regulation Little League Field b. Player dugouts on each side of field with cover as required C. Fencing Field Surfacing 1.Backstop 2.Safety fencing along field g.Outfield fencing 4•"may' 5.Turf d. Field Surfacing i.Clay 2.Turf Prepare irrigation construction plans,details,and specifications for baseball field and surrounding landscaping. Additional Work—ADA Access at Pico Park Provide a landscape and irrigation and demolition plan and reconstruction Plan for the f landscape along the area that will be disturbed to be accommodate the new sidewalk from the street to Pico Park. io.o Construction Support These services will be provided upon the City's request _i iri r 1 .r.r i ••! I .iiJ ..•li _ r! r .1'i •r 1 I _ i 1 L 19 i.MLE LEAGUE BASBALL FIELD PROJECT SCHEDULE b Task Milestone Milestone Deliverable Payment Date Notice to Proceed January 13,2010 and kick-off meeting January 20, 2010 Preliminary Layout Survey Survey and Preliminary Ball 30% of Total Fee + January 28, 2010 Project Meeting Field Layout reimbursable charges incurred 50% Plans for Grading Plan, 30% of Total Fee + Utility Plan, Landscape Plan, reimbursable charges February 04, 2010 50% Plan submittal Lighting plan,Preliminary incurred WQMP and SWPPP, Preliminary Cost estimate February 18,2010 Project Meeting, Review/comments Final grading Plan, Utility Plan, 30 % of Total Fee + 100% Plans Landscape& Irrigation Plan, reimbursable charges March 2,2010 Specifications & Lighting plan,Final WQMP' incurred Estimates (PS&E) and SWPPP, Final Cost Estimate and Specifications Mylars , Final Signed Mylars of Grading Plan, March 16, 2010 Electric Utility Plan, Landscape& Specifications & Irrigation Plan, Lighting plan, Cost Estimates Electric specs and estimates 10 % of Total Fee+ March 23,2010 Bid Advertisement reimbursable charges incurred April 22, 2010 Bid opening 12139 Mount Vernon Avenue.Suite 210 Grand Terrace. California. 92313 �r� Design Fee a Services or tasks identified and outside this scope of work will be performed on a time a material basis as. requested and in accordance with our rate schedule. This estimate is based on the assumption that the limits of improvements are the same as the limits of the project. TASK DESCRIPTION FEE Preliminary work i Project Meetings $1,200.00 Z 2.1 Survey&topographic Mapping necessary $2,950.00 for Base map 2.2 Lot Line Adjustment $5,550.00 3 Research, Record Data and Field Verification $500.00 4 Utility Coordination $500.00 5 Civil Design Precise Grading Plan $7,500.00 Erosion Control Plan $1,000.00 Hydrology Calculations $1,200.00 Utility Plan $2,200.00 !� Construction Specifications S Estimates $1,100.00 6 Onsite Lighting Design Ball field Lighting $9,350.00 Walkway Lighting $2,750.00 7 Architectural Design Layout, Details and specifications $3,900.00 Irrigation and landscape plans $2,750.00 Original Scope fee $42,450.00 8 Additional Scope Services-Pico Park ADA Pico Park ADA P.O.T and ADA Stalls.design $1,790.00 Landscape $1,500.00 Survey $1,000.00 Additonal Scope Total $4,290.00 Grand Total S46,740.00 1 12139 Mount Vernon Avenue,Suite 110 Grand Terrace, California, 91313 Tel.•(909)814-7130 Far:(909)814-7385 raco 71 EXHIBIT "B" PERSONNEL w Page 11 of 11 V Arty �r 4 ' slim Community and Economic Joyce Powers Project Manager MwIn I From PE Frawinc Civil Design am*Dow Underground Pipeline Topographic Map1 And running QAIQC Ground Survey 1LegalslParcel Maps I. I Lighting Landscape Architecture Field Layout I Mw Un i December2009 ATTACHMENT #2 MAP OF THE PROPOSED BASEBALL FIELD i gMF;F li�s;'�C' '�a '. ,• ._ _ y „� � {..1�„�; i[�''' !' ,•.... �'` - '`.53"a°S�.tD�_,a' � !t.�.rat� 'SS `x' "tl r>S.n N�h�,' 'r - Li,'- ;"kr tTi' •'��_`",TC""�' s`.t4�47i�F^r; F r"'r �L' va""' ;5„t;<'.".'••; r^:'+w.sk...t'�.'�?!t '-S�,f" �.*'� t .r'�."Tt•?^;p �w, ,. .�^' \ J ` } `i t M..- » r > r —6 11 r r ,� ,.,y. Ft�t-^"'^f�CF-+^`Q'. 'n1 .� f '1 o , r+K3paft�-�' •«! 1 J `� r ' ``ti � t"�v-�''`z'h� ti''�`L l��'.�r �• •[ rsi --f.''.-' ' ,�`a�" , I .t, '�'--.t `.. ,, `m§�'f7} k"l 'J .'J1�A ,b�t, k T'.•` . . •�'}1r ± - • �' 4 nr ,h''4(w n•.Ivy,- ^� 4 •r Z" +,4 ._ ._.�.._ �- , ��'�3��,�3 klrt trS �� � � va�� uY w .. J�t '� t •' .' {� ' `afz.�1=kC"yrT�-�7f.!}r � + -.�" � ' s•. ,. ,� � e S 6* +' � �'x�M,,,a�F � '"�,'°'tl r+•s � k bn.:i�uSYc�`3. �,��"�:""'o;:tv f '+�4 1 T. now rICA ' rt r Ye r'fI Proposeei Ilk � EDI Easement EE I f�W+...��- M1� �'rCJ_'T ■��,�r�,,�iy�` .�r C.. ,".Q�` ��Y' i ,} •11. x _,s4sy F'• Jr �?, 7�' ) ��•'fF4N"�a t 'g. ��f' _ Y..� .t o 'r eA y .aµ• o , ' u. ., k_5 •' 2,qy�, rt. h` op ie c Den o hc ci .+ Pico PC-IrI< ik 4I T CALIFORNIA AGENDA REPORT MEETING DATE: January 12,2010 Council Item ( ) CRA Item (X) TITLE: A RESOLUTION OF THE GRAND TERRACE COMMUNITY REDEVELOPMENT AGENCY APPROVING THE DRAFT REDEVELOPMENT PLAN, PRELIMINARY REPORT AND DRAFT AMENDED OWNER PARTICIPATION RULES, THE PROPOSED SIXTH AMENDMENT TO THE REDEVELOPMENT PLAN FOR THE GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT AND DIRECTING THAT SUCH DOCUMENTS BE MADE AVAILABLE FOR PUBLIC INSPECTION, REVIEW AND COMMENT PRESENTED BY: Joyce Powers, Community and Economic Development Director RECOMMENDATION: Staff recommends that the Redevelopment Agency approve and direct staff to make available, the Draft Amended and Restated Redevelopment Plan, Preliminary Report, and Draft Amended Owner Participation Rules for the proposed'Sixth Amendment to the Redevelopment Plan for the Grand Terrace Community Redevelopment Project. BACKGROUND: The City's Community Redevelopment Agency collects property tax increment revenue and directs it toward public improvements throughout the City, which is a redevelopment project area. Based on the existing Redevelopment Plan and revenues since its adoption in 1979, the Agency may reach its $70 million revenue cap by 2011-2012, and would no longer have funds for capital projects or housing projects and programs. To address these constraints, the Agency has prepared the Sixth Amendment to the Redevelopment Plan for the Grand Terrace Community Redevelopment Project Area ("Project Area"). The proposed Sixth Amendment would result in several changes to the existing Redevelopment Plan: r 1. Increase the cumulative tax increment revenue limit in the redevelopment plan from $70 million (net of taxing agency payments) to approximately $225 jmillion (net of taxing agency payments); 1 2. Increase the limit on the amount of bonded debt that may be outstanding at any one time in the redevelopment plan from $15 million to approximately $75 million; CRA AGENDA ITEM NO.3 3. Extend the effectiveness of the redevelopment plan and time limit to collect-tax increment revenue by the following time frames: a. Original Grand Terrace Community Redevelopment Project Area ("Original Area") — extend plan effectiveness from July 15, 2017, to September 27, 2022, and time limit to collect tax increment from July 15, 2027,to September 27, 2032; b. Area added by the first amendment to the Grand Terrace Community Redevelopment Project Area("Added Area")—extend plan effectiveness from July 15, 2017, to July 15, 2024, and time limit to collect tax increment from July 15, 2027, to July 15, 2034; 4. Rescinding Agency's authority to commence eminent domain within the Project Area, effective immediately following the effectiveness of the ordinance adopting the Sixth Amendment. Under the current Plan,the authority would expire in July 2011. 5. Replace the description of land uses in the redevelopment plan with language that directly refers to the City's General Plan, zoning ordinance, and other applicable land use policies and standards, as they exist today or are hereafter amended; and 6. Amend and restate the redevelopment plan to incorporate the prior amendments into a single document. Several documents must be circulated for public review prior to consideration by the Agency and City Council. The Agency and City Council are tentatively scheduled to conduct a joint public hearing on the Sixth Amendment in April 2010. In preparation for that hearing, staff requests that the Agency i now consider a resolution approving the following documents'for public review: 1. A 'Draft Amended and Restated Redevelopment Plan for the Grand Terrace Community Redevelopment Project ("Redevelopment Plan" or '`Plan") prepared pursuant to the California Community Redevelopment Law, California Health and Safety Code 33000 et seq. ("CRL"). The proposed Plan amends, restates, supercedes, and replaces the previously adopted redevelopment plan and all amendments; 2. A Preliminary Report which analyzes the Sixth Amendment including preliminary documentation of the reasons for amending the current Redevelopment Plan and a description of physical and economic blighting conditions remaining in the Project Area; and 3. Draft Amended Owner Participation Rules for Property Owners, Operators of Businesses, and Business Tenants ("Owner Participation Rules") for the Project Area, which update the Agency's current rules established in 1979. DISCUSSION: f The proposed Sixth 1 Amendment is necessary for the Agency to continue funding redevelopment projects in the City. The CRL requires that redevelopment agencies must establish debt to collect tax increment for redevelopment project areas. Additionally, the CRL requires that the amount of tax increment a redevelopment agency can collect in a given year cannot exceed the amount necessary to pay established debt pursuant to the Agency's annual Statement of Indebtedness. Presently, the Agency is constrained by the relatively low current bonded indebtedness limit of$15 million and $70 million in cumulative tax increment. It is estimated that the Agency will reach the cumulative tax increment limit or cap in less than two years. Without amending these limits, the Agency cannot establish new debt required to collect tax increment, or continue to collect tax increment for future projects and programs. As the primary source of reoccurring revenues dedicated for public improvements and economic development, redevelopment tax increment revenue is the preferred alternative to deferring projects over the long-term, or possibly never having funds available for new infrastructure. Resolution No. 2010-_approves the Draft Plan, the Preliminary Report, and Draft Amended Owner Participation Rules and authorizes staff to make the documents available for public review. Redevelopment Plan The original redevelopment plan for the Grand Terrace Community Redevelopment Project Area was, adopted by the City Council of the City of Grand Terrace on September 27, 1979 by Ordinance No. 25, and encompassed a small portion of central Grand Terrace. The redevelopment plan was subsequently amended five times: 1. Amendment No. 1 was adopted on March 20, 1980 by Ordinance No. 31, to authorize the Agency to collect tax increment revenue within the Project Area.- 2. Amendment No. 2 was adopted on July 15, 1981 by Ordinance No. 52 which added the rest of the City limits(approximately 1,615 acres)to the original Project Area boundaries, and adopted a new, amended Redevelopment Plan applicable to both the Original and Added Areas. 3. Amendment No. 3 was adopted on July 22, 1999 by Ordinance No. 187 to authorize the use of eminent domain to acquire certain non-residential property for a 12-year period, which expires in July 2011. 4. To clarify the language and original intent of the Agency to make the limit net of pass through payments, the City Council adopted Amendment No. 4 by Ordinance No. 202 on September 12, 2002. 5. Most recently, Amendment No. 5 was adopted on July 22, 2004, by Ordinance No. 212, which eliminated the previous time limit to incur debt. Amendment No. 5 also extended the time limit of the effectiveness of the Redevelopment Plan to July 15, 2017, and extended the time limit for payment of indebtedness and receipt of taxes to July 15, 2027. Attached to the resolution is the Draft Amended and Restated Redevelopment Plan for the Project Area. The Draft Plan provides the Agency with powers, duties, and obligations to implement the program generally formulated in this Plan for the redevelopment, rehabilitation, and revitalization of the Project Area. This Plan does not present a specific plan or establish priorities for specific projects, but rather presents a basic framework within which specific development plans will be presented, priorities established, and solutions foj-implementation are proposed. The following table presents a schedule of major milestones in the plan amendment process. Date Action Responsibility January 12, Approve and Transmit Draft Plan, Preliminary Report and Agency 2010 Amended Owner Participation Rules February 4 Finding of Conformity to City's General Plan Planning Commission February 23 Transmit Report to City Council and Consent to Joint Public City Council Hearing and Agency April 27 Joint City Council/Agency Public Hearing City Council and Agency May 11 - First Reading of Amending Ordinance City Council May 25 Second Reading of Amending Ordinance City Council June 24 Ordinance Effective, Amended and Restated Plan takes Effect Preliminary Report • The CRL also requires the preparation of a Preliminary Report containing the following information: 1. Reasons for the amendments; 2. Description of physical and economic conditions remaining in the project area; 3. Urbanization analysis; 1 4. Preliminary assessment of the proposed.method of financing the redevelopment of the project area, including,an assessment of the economic feasibility of the project and the reasons f6r the continued use of tax increment financing and the proposed increase in tax increment and bonded indebtedness caps; and 5. Description of projects proposed by the Agency and how these projects will address continued redevelopment of the project area. The Preliminary Report will be transmitted to all eleven (11) affected taxing entities within the Project Area pursuant to CRL Section 33344.5 and 33344.6. All of these taxing entities currently collect a share of the tax increment revenue from the Agency, which would continue under the 'Sixth Amendment, without exception. A summary of these obligations is presented below: Taxing Entity Current Tax Increment Payments Proposed Tax i Increment a County of San Bernardino, Fiscal mitigation agreement provides No change Flood Control, Library, Fire for full (100%) pass through of County's share of all tax increment revenue Riverside-Corona Resource Same as above Same as Conservation District _ above i County Superintendent of Same as above Same as Schools above San Bernardino Valley Same as above Same as MWD above d Colton Joint Unified School Fiscal mitigation agreement provides No change District for a full 000%) pass through of the tax increment revenue generated by increased values over the Project Area's base year value San Bernardino Community Statutory payments required by CRL No change t— College Section 33607.5-.7 paid by Agency Educational Revenue Same as above No change Augmentation Fund City of Grand Terrace Same as above No change Owner Participation Rules The CRL requires the Agency to adopt rules governing the participation of property owners and businesses in the redevelopment process. In some instances it is necessary for the Agency and private property owners to cooperatively engage in the redevelopment of property in a project area; this process is known as owner participation. Additionally, businesses may be temporarily displaced as a result of a redevelopment project, and this process would provide a means for such businesses to have the first right to relocate permanently back to their former location once the redevelopment project is —} complete. The Owner Participation Rules set up a procedure to provide P property owners and business tenants a reasonable opportunity to identify their interest in owner participation, to submit development proposals, to receive good faith consideration by the Agency, and to participate in the redevelopment of the Project Area. The Rules also allow for timely consideration by the Agency, sets standards for the submittal of development proposals, and allow for negotiations for the redevelopment and participation in the Project Area by persons and entities other than property owners. Staff recommends updating the previously adopted Owner Participation Rules for the Project Area with a new version that incorporates all changes to the CRL over the years, in accordance with Section 33345. FISCAL IMPACT: Costs for the Amendment have been budgeted in the Agency's 2009-10 budget, and include redevelopment consultant services (contract amount of$70,860), legal services, and other incidental costs, such as noticing and staff time. More importantly, the Sixth Amendment modifies financial and time limitations as necessary to expand the Agency's capacity to collect tax increment revenue and fund additional projects. Section D of the Preliminary Report includes projections of.such revenues, and indicates that the Agency could generate approximately $96 million in net funds for redevelopment/non-housing projects and another $50 million in affordable housing funds between 2011-12 and 2033-34. 5 Respectfully submitted, Joycd Powers Community Development Director Manager Approval: Betsy . Adams CRA Executive Director/City Manager ATTACHMENTS: 1. Resolution - 2. Draft Amended and Restated Redevelopment Plan for the Grand Terrace Community Redevelopment Project 3. Preliminary Report on the Amended and Restated Redevelopment Plan for the Grand Terrace Community Redevelopment Project 4. Draft Amended Owner Participation Rules for Property Owners, Operators of Businesses; and Business Tenants in the Grand Terrace Community Redevelopment Project 4 a ATTACHMENT#1 RESOLUTION 1 ' RESOLUTION NO. CRA-2010-0 4 ! A RESOLUTION OF THE GRAND TERRACE COMMUNITY REDEVELOPMENT AGENCY APPROVING THE DRAFT REDEVELOPMENT PLAN, PRELIMINARY REPORT AND DRAFT AMENDED OWNER PARTICIPATION RULES THE PROPOSED SIXTH AMENDMENT TO THE REDEVELOPMENT PLAN FOR THE GRAND TERRACE ,COMMUNITY REDEVELOPMENT PROJECT AND DIRECTING THAT SUCH DOCUMENTS BE MADE AVAILABLE FOR PUBLIC INSPECTION, REVIEW AND COMMENT WHEREAS, the City of Grand Terrace Community Redevelopment Agency ("Agency") has prepared an Amended and Restated Plan in, connection with the Sixth Amendment to the Redevelopment Plan for the Grand Terrace Community Redevelopment Project ("Redevelopment Plan"); and WHEREAS, the purpose of the proposed Redevelopment Plan is to alleviate economic and physical blighting conditions in the Grand Terrace Community Redevelopment Project and to promote economic development; and t WHEREAS, Section 33344.5 of the California Community Redevelopment Law, Health and Safety Code Section 33000, et. seq. ("CRL") requires the Agency to transmit a Preliminary Report on the proposed Redevelopment Plan to all affected taxing entities within the Grand Terrace Community Redevelopment Project; and WHEREAS, the CRL Section 33345 provides that the Agency shall adopt and make available for public inspection rules to implement the operation of owner participation in connection with the Redevelopment Plan; and t WHEREAS, the Agency has prepared Draft Amended Owner Participation Rules for Property Owners, Operators of Businesses and Business Tenants ("Owner Participation Rules") pursuant to CRL Section 33345; and WHEREAS, a Draft Environmental Impact Report ("EIR") is being prepared in connection with both the proposed Redevelopment Plan and the City's General Plan Update in accordance with the provisions of the California Environmental Quality Act ("CEQA"). Tfie Draft -Elk will be available to the public and transmitted to the affected taxing agencies in accordance with the provisions of the Health and Safety Code Section 33333.3 on , 2010; and WHEREAS, the Agency desires to accept and approve the Redevelopment Plan, Preliminary Report, and Draft Owner Participation Rules applicable to the Grand Terrace Community Redevelopment Project Area. Page 2 of 3 f NOW, THEREFORE, THE GRAND TERRACE COMMUNITY REDEVELOPMENT AGENCY DOES HEREBY RESOLVE AS FOLLOWS: SECTION 1. The Agency approves the Amended and Restated Redevelopment Plan for the Grand Terrace Community Redevelopment Project, the Preliminary Report, and Draft Owner Participation Rules, attached as Exhibit A, Exhibit B and Exhibit C, respectively. SECTION 2. The Executive Director of the Agency shall make the Redevelopment Plan, Preliminary Report, and Draft Owner Participation Rules for the Grand Terrace Community Redevelopment Project Area available for public inspection, review and comments. SECTION 3. Staff is authorized and directed to make such transmittals as may be required pursuant to Sections 33344.5, 33346, and 33451.5 of the CRL. SECTION 3. Staff is hereby authorized to prepare a Report to City Council and the final text of the Amended and Restated Redevelopment Plan and other documents as required by Section 33352 and 33457.1 of the CRL. PASSED, APPROVED AND ADOPTED this 121h day of January, Chairman of the Community Redevelopment Agency ATTEST: City Clerk of the City of Grand Terrace I, BRENDA MESA, City Clerk of the City of Grand Terrace, do hereby certify that Resolution No. CRA-2010-0_was introduced and adopted at a regular meeting of the Grand Terrace Community Redevelopment Agency held on the 12`h day of January, 2010, by the following vote. AYES: NOES: ABSENT: - ABSTAIN: 4 Page 3 of 3 Brenda Mesa, City Clerk Approved as to form: City Attorney f 1a ATTACHMENT#2 DRAFT AMENDED AND RESTATED REDEVELOPMENT PLAN t 11 CITY OF (-',RANo i•ERRACE REDEVELOPMENT AGE'NCY 22795 BARTON ROAD, GRAND TERRACE, CA 9:2313 DRAFT AMENDED AND RESTATED REDEVELOPMENT PLAN City of Grandlbrrace RedtVsloolnent Ag.9ncy Adopted September 27, 1979(Ordinance No. 25) Amendment No. 1-January 17, 1980(Ordinance No. 31)� Amendment No. 2-July 15, 1981 (Ordinance No. 52) Amendment No. 3-July 22, 1999 (Ordinance No. 187) Amendment No.4-September 19,2002 (Ordinance No.,202) Amendment No. 5-July 22 2004(Ordinance No. 212) Amendment No. 6- 2010(Ordinance No. AMENDED AND RESTATED REDEVELOPMENT PLAN GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT TABLE OF CONTENTS SECTION I: (100) INTRODUCTION 1 SECTION 11. (2001 GENERAL DEFINITIONS 2 SECTION Ill. (300) PROJECT AREA BOUNDARIES 3 SECTION IV. (4001 REDEVELOPMENT PLAN GOALS 3 SECTION V. (500) REDEVELOPMENT PLAN ACTIONS 4 (501) GENERAL (502) PROPERTY ACQUISITION 4 5 (503) ACQUISITION OF REAL PROPERTY 5 (504) ACQUISITION OF PERSONAL PROPERTY,ANY OTHER INTEREST IN REAL PROPERTY,OR ANY IMPROVEMENTS IN REAL PROPERTY 5 (505) PARTICIPATION BY OWNERS AND PERSONS ENGAGED IN BUSINESS 6 (506) OWNER PARTICIPATION 1 6 (507) REENTRY PREFERENCES FOR PERSONS ENGAGED IN BUSINESS IN THE PROJECT AREA 7 (508) OWNER PARTICIPATION AGREEMENTS 7 (509) IMPLEMENTING RULES 7 (510) COOPERATION WITH PUBLIC BODIES 7 (511) PROPERTY MANAGEMENT 8 (512) PAYMENTS TO TAXING AGENCIES 8 (513) RELOCATION OF PERSONS DISPLACED BY A PROJECT 8 (514) RELOCATION PROGRAM 8 (515) RELOCATION BENEFITS AND ASSISTANCE 8 (516) DEMOLITION,CLEARANCE, PUBLIC IMPROVEMENTS,SITE PREPARATION AND REMOVAL OF HAZARDOUS WASTE 8 (517) DEMOLITION AND CLEARANCE 8 (518) PUBLIC IMPROVEMENTS 9 (519) PREPARATION OF BUILDING SITES 9 (520) REMOVAL OF HAZARDOUS WASTE 9 (521) REHABILITATION, MOVING OF STRUCTURES BY THE AGENCY,AND SEISMIC REPAIRS 9 (522) REHABILITATION AND CONSERVATION 9 (523) CLEARING OR MOVING STRUCTURES 10 (524) SEISMIC REPAIRS 10 (525) GRAFFITI REMOVAL 10 (526) PROPERTY DISPOSITION AND DEVELOPMENT 10 (527) REAL PROPERTY DISPOSITION AND DEVELOPMENT 10 (528) GENERAL 10 (529) PURCHASE AND DEVELOPMENT DOCUMENTS 11 (530) PERSONAL PROPERTY DISPOSITION 11 (531) PREVENTION OF DISCRIMINATION 12 A'f ArAENDED ,AND RESTATED REDEVELOPMENT PLAN GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT (532) REDEVELO',AAENT 12 (533) DEEDS, LE.'SES,AND CONTRACTS 12 (534) LOW-AND :''aODERATE-INCOME HOUSING 13 SECTION VI. USES PERMITTED IN THE PROJECT AREA 13 (601) MAPS AND JSES PERMITTED 13 (602) PUBLIC U?i S 13 (603) PUBLIC ST'; ET LAYOUT, RIGHTS-OF-WAY, AND EASEMENTS 13 (604) OTHER PU'aLIC AND OPEN SPACE USES 14 (605) NONCONF 4AMING USES 14 (606) INTERIM UZES 14 ,- (607) GENERAL&;CONTROL AND LIMITATIONS 14 (608) NEW CONS :5-FRUCTION 14 (609) REHABILITATION 14 (610) NUMBER 0.'=DWELLING UNITS 15 (611) OPEN SPACE AND LANDSCAPING 15 (612) LIMITATIOK31a ON TYPE, SIZE, HEIGHT, NUMBER,AND PROPOSED USE OF BUILDINGS 15 (613) SIGNS 15 (614) UTILITIES 15 (615) SUBDIVISION OF PARCELS 15 (616) VARIATIONS 15 (617) DESIGN FOR DEVELOPMENT 16 (618) BUILDING PERMITS 16 SECTION VII (700) METHODS FOR FINANCING THE PROJECT 16 (701) GENERAL DESCRIPTION OF THE PROPOSED FINANCING METHODS 16 (702) TAX INCREMENT REVENUE 17 (703) AGENCY BONDS 17 (704) OTHER LOANS AND GRANTS 18 (705) REHABILITATION LOANS,GRANTS,AND REBATES 18 SECTION Vlll. (800) ACTIONS BY THE CITY 18 SECTION IX. (900) ADMINISTRATION AND ENFORCEMENT 19 SECTION X. (1000) PLAN LIMITATIONS 19 (1001) AMOUNT OF CUMULATIVE TAX INCREMENT REVENUE 19 (1002) AMOUNT OF BONDED INDEBTEDNESS OUTSTANDING AT ANY ONE TIME 19 (1003) TIME FRAME TO INCUR INDEBTEDNESS 19 (1004) DURATION OF THIS PLAN 19 (1005) TIME FRAME TO COLLECT TAX INCREMENT REVENUE 20 I SECTION XI. (1100) PROCEDURE OF AMENDMENT 20 EXHIBIT A— PROJECT AREA MAP 21 1s AMENDED AND RESTATED REDEVELOPMENT PLAN GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT EXHIBIT B-LEGAL DESCRIPTION 22 STATEMENT AND DESCRIPTION OF LAND WITHIN THE ORIGINAL AREA 22 AREA 1 23 AREA 2 23 AREA 3 24 AREA 4 24 AREA 5 24 AREA 6 25 AREA 7 25 EXHIBIT C- LISTING OF PROPOSED PUBLIC FACILITIES AND INFRASTRUCTURE PROJECTS 26 PUBLIC INFRASTRUCTURE PROJECTS 26 COMMUNITY FACILITIES 28 EXHIBIT D- DIAGRAM OF CURRENT PERMITTED LAND USES 29 1S GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT SECTION I. (100) INTRODUCTION This is the Amended and Restated Redevelopment Plan for the Grand Terrace Community Redevelopment Project ("Plan"), located in the city limits of the City of Grand Terrace, California. It consists of the; text (Sections 100 through 1100); the Map of the Grand Terrace Community Redevelopment Project Area ("Project Area") (Exhibit A), the legal description of the Project Area boundaries (Exhibit B), a listing of the proposed public facilities and infrastructure improvement projects (Exhibit C), and a diagram of current permitted land uses(Exhibit D). The Project Area consists of two constituent redevelopment project areas: • The original Grand Terrace Community Redevelopment Project Area adopted by the City Council of the City of Grand Terrace on September 27, 1979 by Ordinance No. 25 (hereinafter defined as the "Original Area"); and • The territory added to the Original Area in 1981 by Ordinance No. 52 adopted on July 15, 1981 ("Added Area"). The Redevelopment Plan for the Grand Terrace Community Redevelopment Project has previously been amended on five occasions since its adoption. Amendment No. 1 was adopted on March 20, 1980 by Ordinance No. 31, to authorize the Agency to collect tax increment revenue within the Project Area. Amendment No. 2 was adopted on July 15, 1981 by Ordinance No. 52 which added the rest of the City limits (approximately 1,615 acres) to the original Project Area boundaries, and adopted a new, amended Redevelopment Plan applicable to both the Original and Added Areas. Amendment No. 3 was adopted on July 22, 1999 by Ordinance No. 187 to authorize the use of eminent domain to acquire certain non-residential property for a 12 year period. To clarify the language and original intent of the Agency to make the limit net of pass through payments,the City Council adopted Amendment No.4 by Ordinance No. 202 on September 12, 2002. Most recently, Amendment No. 5 was adopted on July 22, 2004, by Ordinance No. 212, which, rescinded the previous time limit to incur debt making it essentially the same as the duration of the Redevelopment Plan and is dependent on the Agency's ability to collect tax increment to repay any incurred debt. Amendment No. 5 also extended the time limit of the effectiveness of the Redevelopment Plan (to July 15, 2017), and extended the time limit for payment of indebtedness and receipt of taxes (to July 15, 2027) for both the Original and the Added Area. If adopted by the City Council,Amendment No. 6 to the Redevelopment Plan would result in the following: 1. Increase the cumulative tax increment revenue limit in the redevelopment plan from $70 million (net of taxing agency payments)to approximately$225 million(net of taxing agency payments); 2. Increase the limit on the amount of bonded debt that may be outstanding at any one time in the redevelopment plan from$15 million to approximately$75 million; 3. Pursuant to California Community Redevelopment Law, Health and Safety Code Section 33000, et. seq. ("CRL") Sections 33333.6(a), 33333.6(b), and 33333.6(e)(2)(C), extend the effectiveness of the redevelopment plan and time limit to collect tax increment revenue by the following time frames:- a. Original Area - extend plan effectiveness from July 15, 2017, to September 27, 2022, and time limit to collect tax increment from July 15, 2027, to September 27, 2032; b. Added Area-extend plan effectiveness from July 15, 2017, to July 15, 2024, and time limit to collect tax increment from July 15, 2027, to July 15, 2034; 4. Rescinding Agency's authority to commence eminent domain within the Project Area, effective immediately following the effectiveness of the ordinance adopting the Sixth Amendment. a 1 1E GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT 5. Replace the description of land uses in the redevelopment plan (as previously contained in Section IV. Uses Permitted in the Project Area, pp. 33-42) with language that directly refers to the City's General Plan, zoning ordinance, and other applicable land use policies and standards, as they exist today or are hereafter amended; and d 6. Amend and restate the redevelopment plan to incorporate the, prior amendments into a single document. This Plan has been prepared by the City of Grand Terrace Redevelopment Agency("Agency") pursuant to the California Community Redevelopment Law (Health and Safety Code Section 33000, et seq.), the California Constitution, and all applicable laws and ordinances. This Plan provides the Agency with powers, duties, and obligations to implement the program generally formulated in this Plan'for the redevelopment, rehabilitation, and revitalization of the Project Area. This Plan does not present a specific plan or establish priorities for specific projects for the redevelopment, rehabilitation, and revitalization of any particular area within the Project Area. Instead, this Plan presents a process and a basic framework within which specific development plans will be presented, priorities for specific projects will be established, and specific solutions will be proposed, and by which tools are provided to the Agency to fashion, develop, and proceed with such specific plans, projects,and solutions. Many of the requirements contained in this Plan are necessitated by and in accordance with statutory provisions in effect at the time of adoption of this Plan. Such statutory provisions may be changed from time to time. In the event that any such statutory changes affect this Plan's terms, and would be applicable to the Agency, the Project Area, or this Plan, the terms of this Plan that are so affected shall be automatically superseded by such statutory changes, to the extent necessary to be in conformity with such statutory changes(and all other terms of the Plan shall remain in full force and effect). SECTION II. (200) GENERAL DEFINITIONS The following definitions will be used generally in the context of this Plan unless otherwise specified herein: 1. "Added Area" means the territory added to the Project Area by Ordinance No. 52 adopted on July 15, 1981. 2. "Agency"means the City of Grand Terrace Redevelopment Agency. 3. Annual Work Program"means that portion of the Agency's annual budget that sets forth programs and goals to be accomplished by the Agency during the fiscal year. '4. "City"means the City of Grand Terrace;California. 5. "City Council" means the legislative body of the City. 6. "County"means the County of San Bernardino,California. 7. "Disposition and Development Agreement"means an agreement between a developer and the Agency that sets forth terms and conditions for improvement and redevelopment. 1 8. "General Plan"means the General Plan of the City, the comprehensive and long-term general plan for the physical development of the City, as it exists today or is hereafter amended. 9. "Legal Description" means the metes and bounds legal description of the Project Area attached hereto as Exhibit B. 10. "Map" means the map of the Project Area attached hereto as Exhibit A. a 2 17 GRAND TERRACE COMMUNITY REDEVELOP"JENT PROJECT 11. "Method of Relocation"means the methods or plans adopted by the Agency pursuant to Sections 33352(f)and 33411 of the Redevelopment Law for the relocation of families, persons, and businesses to be temporarily or permanently displaced by,actions of the Agency. 12. "Original Area'f means the original Grand Terrace Community Redevelopment Project Area established on September 27, 1979 by City of Grand Terrace City Council Ordinance No. 25. 13. "Owner'means any person owning fee title to, or a long-term leasehold interest in, real property within the Project Area. 14. "Owner Participation Agreement"means an agreement between the Agency and an Owner, which -. sets forth terms and conditions for use of property., and/or its improvement and/or its redevelopment as to a specific property. 15. "Participant"means an Owner who has entered into a Participation Agreement with the Agency. 16. "Person"means an individual(s), or any public or private entities. 17. "Plan"means this Amended and Restated Redevelopment Plan for the Redevelopment Project, as amended by Amendment No.6 adopted by City Council Ordinance No._on 2010. 18.. "Project"means the Grand Terrace Community Redevelopment Project. 19. "Project Area"means the Grand Terrace Community Redevelopment Project Area, collectively the Original Area and the Added Area,which is the territory1his Plan applies to, as shown on ExhibitA. 20. "Redevelopment Law" means the California Community Redevelopment Law(Health and Safety Code, Sections 33000, et seq.)as it now exists or may be hereafter amended. 21. "State"means the State of California. 22. "State Law" means an enactment of State of California, and includes such regulations as have the force of law. i SECTION Ill. (300) PROJECT AREA BOUNDARIES The boundaries of the Project Area are illustrated on the map attached hereto and incorporated herein as Exhibit A. The legal description of the boundaries of the Project Area is as described in Exhibit B attached hereto and incorporated herein. SECTION IV. (400) REDEVELOPMENT PLAN GOALS This Plan is intended to achieve the following goals; 1. Eliminate and prevent the spread of blight and deterioration and to conserve, rehabilitate', and redevelop the Project Area in accordance with this Plan and future Annual Work Programs. 2. Provide for the enhancement,and renovation of businesses within the Project Area to promote their economic viability. 3. Stimulate investment of the private sector in the full development of the Project Area. 3 1� GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT 4. Promote public improvement facilities, which are sensitive to the unique environmental qualities of the Project Area. 5. Provide adequate roadways to correct street alignment problems,to provide adequate circulation and access to highways. t 6. Encourage cooperation and participation of property owners, business persons, public agencies, and community organizations in the revitalization of the Project Area. 7. Provide needed improvements to the community's recreational,cultural, and other community facilities to better serve the Project Area. 8. Expand the resource of developable land by making underutilized land available for development. 9. Renovate and restore sites characterized by deficiencies including, but without limitations, conditions of soil that render private development infeasible or impractical. 10. Achieve an environment reflecting a high level of concern for architectural, landscape, and urban design principles appropriate to the objectives of this Plan. ' 11. Create physical buffers,which ameliorate the adverse effects of changing land uses along interfaces. 12. Provide low and moderate income housing as is required to satisfy the needs and desires of the various age and income groups of the community, maximizing the opportunity for individual choice, and meeting the requirements of State Law. SECTION V. (500) REDEVELOPMENT PLAN ACTIONS (501) GENERAL The Agency proposes to alleviate and prevent the spread of blight and deterioration in the Project Area through: 1. The acquisition, installation,construction, reconstruction, redesign, or reuse of streets, utilities, curbs, gutters,sidewalks,traffic control devices,flood control facilities, buildings, structures, parks, playgrounds,and other public improvements. 2. The rehabilitation, remodeling,demolition,or removal of buildings,structures, and improvements. 3. The rehabilitation,development, preservation, provision,or construction of affordable housing in compliance with State Law. 4. Providing the opportunity for participation by owners and tenants presently located in the Project Area and the extension of preferences to persons engaged in business desiring to remain or relocate within the redeveloped Project Area. 5. Providing relocation assistance to displaced occupants in accordance with applicable State Law. 6. The development or redevelopment of land by private enterprise or public agencies for purposes and a uses consistent with the objectives of this Plan. 7. The acquisition of real property, personal property, any interest in property, and improvements on the property by purchase, lease, option, grant, bequest, gift, devise, or any other lawful means. 4 10 GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT 8. Site preparation and development and construction of necessary off-site improvements. 9. Improving open space. 4 10. Managing property acquired by the Agency. 11. Providing financing for the assistance of commercial and industrial development that increases the -economic base of both the Project Area and the City, and the number of temporary and permanent jobs. 12. The disposition of real property, personal property, any interest in property, and improvements on the , property through methods such as sale, lease, exchange, subdivision, transfer, assignment, pledge, encumbrance,or any other lawful means of disposition. 13. Recommending standards to ensure that property will continue to be used in accordance with this Plan. 14. The closure or vacation of certain streets and the dedication of other areas for public purposes. 15. Providing replacement housing, as required. 16. Applying for, receiving, and utilizing grants and loans from federal or state governments or any other source. 17. Clearing or moving buildings, structures, or other improvements from any real property acquired by the Agency. To accomplish these actions and to implement this Plan,the Agency is authorized to use the powers provided, in this Plan, and the powers now or hereafter permitted by the Redevelopment Law and any other State Law. (502) PROPERTY ACQUISITION (503) Acquisition of Real Property Except as specifically prohibited by this Plan, the Agency may acquire real property by any means authorized by law, including by purchase, lease, obtain option upon, acquire by gift, grant, bequest, devise, exchange, cooperative negotiations, or any other means authorized by law, except by eminent domain. The Agency rescinded eminent domain authority by the adoption of the Sixth Amendment adopting this Amended and Restated Redevelopment Plan. (504) Acquisition of Personal Property, Any Other Interest in Real Property, or Any Improvements in Real Property Where necessary in the implementation of this Plan, the Agency is authorized to acquire personal property, any other interest in real property, and any improvements on real property including repurchase of developed property previously owned by the Agency by any lawful means. ® 5 GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT (505) PARTICIPATION BY OWNERS AND PERSONS ENGAGED IN BUSINESS (506) Owner Participation This flan provides for opportunities for participation in the redevelopment of property in the Project Area by the owners of all or part of such property if the owners agree to participate in the redevelopment in conformity with this Plan. Participation methods include: (i) remaining in substantially, the same location either by retaining all or portions of the property, or by retaining all or portions of the property and purchasing adjacent property from - the Agency or joining with another person or entity for the rehabilitation or development of the Owner's property and, if appropriate, other property, or (ii) submitting to the Agency for its consideration another method of participation proposal pursuant to these Rules. An-Owner who participates in the same location may be required, among other actions, to rehabilitate or demolish all or a part of his/her existing buildings. The Agency may also acquire the buildings only and then remove or demolish the buildings. Participation methods also include, but are not limited to, the Agency buying land and improvements at fair market value from Owners and offering other parcels for purchase and rehabilitation or development by such Owners, or offering an opportunity for such Owners to rehabilitate or develop property jointly with other persons or entities. Owner Participation opportunities shall be subject to and limited by factors and requirements including: The Participant must demonstrate to the satisfaction of the Agency that the Participant is financially capable and has the qualifications and experience to perform any and all development, construction,'modffication,. rehabilitation, modernization, construction, land assembly, and/or acquisition of the subject property or properties in order that it will conform to the Plan, any specific plan or design guide, applicable zoning, building, and safety laws and regulations, and the redevelopment proposal, if any, contemplated by the Agency with respect to the subject property. The Participant's proposed improvements and/or redevelopment conform or will conform to: the goals and objectives established by the Agency; the Plan; any applicable specific plan or design guide; applicable zoning, building, and safety laws and regulations; and the redevelopment proposal for the development site approved by the Agency. The Agency retains its authority to determine in its sole. discretion whether the Participant's proposed development conforms to and furthers the goals and objectives of the Plan and-any specific redevelopment proposals on the basis of all the facts and circumstances pertaining to the Participant's proposed development. The Agency shall consider- whether the proposed owner participant development necessitates that the Participant and/or the Agency shall remove, relocate, and/or install public utilities and public facilities determined necessary by the Agency for the proposed development. Consideration of the elimination and/or change of land uses, particularly nonconforming land uses as specified in City codes. The Agency shall consider the need to realign, abandon, vacate, widen, or open public rights-of-way and the indirect effects of such acts. Consideration of any reduction in the total number of individual parcels in the Project ea. Consideration of whether the proposal involves land assembly and development 7 private development in accordance with the Plan. P nt of areas for public and/or a GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT (507) Reentry Preferences for Persons Engaged in Business in the Project Area The Agency shall extend reasonable preferences to persons who are engaged in business in the Project Area to relocate and reenter in business in the redeveloped area, if they otherwise meet the requirements prescribed by this Plan and the Agency's rules governing owner participation and re-entry. (508) Owner Participation Agreements Under an Owner Participation Agreement, the participant shall agree to rehabilitate, develop, or use the property in conformance with this Plan and be subject to the provisions hereof. In the Owner Participation Agreement, participants who retain real property shall be required to join in the recordation of such " documents as are necessary to make the provisions of this Plan applicable to their properties. Owner Participation Agreements shall include appropriate remedies such as the ability of the Agency to declare the Owner Participation Agreement terminated and acquire the real property or any interest therein, and sell or lease such real property or interest therein for rehabilitation or development,in accordance with this Plan in the event a participant breaches the terms of such Owner Participation Agreement. If conflicts develop between the desires of participants for particular sites or land uses, the Agency is authorized to establish reasonable priorities and preferences to persons who are engaged in business in the Project Area re-entering in business within the redeveloped area if they otherwise meet the requirements prescribed by the Plan. Where the Agency determines that a proposal for participation is not feasible, is not in the best interests of the Agency or City, or that redevelopment can best be accomplished without affording a participant an opportunity to execute an Owner Participation Agreement, the Agency shall not be required to execute an Owner Participation Agreement. (509) IMPLEMENTING RULES The provisions of Sections 505 through 508 of this Plan shall be implemented according to the rules adopted by the Agency prior to the approval of the Ordinance, which may be amended from time to time by. the Agency. Such rules allow for Owner Participation Agreements with the Agency. (510) COOPERATION WITH PUBLIC BODIES Certain public bodies are authorized by State Law to aid and cooperate, with or without consideration, in the planning and implementation of activities authorized by this Plan. The Agency shall seek the aid and cooperation of such public bodies and shall attempt to,coordinate the implementation of this Plan with the activities of such public bodies in order to accomplish the purposes of redevelopment and to achieve the highest public good. Property of a public body shall not be acquired without its consent in accordance with State Law. The Agency shall seek the cooperation of all public bodies that own or intend to acquire property in the Project Area. The Agency may impose on all public bodies the planning and design controls contained in and authorized by this Plan to ensure that present uses and any future development by public bodies will conform to the requirements of this Plan. The Agency is authorized, to the extent permissible by law, to financially (and otherwise) assist public bodies] in the cost of public land, buildings, facilities, structures, or other improvements (within or outside the Project Area) where such land, buildings, facilities, structures, or other improvements are of benefit to the Project Area. 7 7' GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT (511) PROPERTY MANAGEMENT During such time as property, if any, in the Project Area is owned by the Agency, such property shall be under the management and control of the Agency. Such properties may be rented or leased by the Agency pending their disposition. (512) PAYMENTS TO TAXING AGENCIES The Agency may pay, but is not required to pay, in any year during which it owns property in the Project Area directly to any City, County, or district, including, but not limited to, a school district, or other public corporation for whose benefit a tax would have been levied upon such property had it not been tax exempt, an amount of money in lieu of taxes. In addition, to the extent required by State Law, the Agency shall remit payments to the affected taxing agencies in a manner consistent with Section 33607.5, Section 33676(b), and any other pertinent and applicable sections of the Redevelopment Law. All such amounts shall be calculated-after the amount,required to be deposited in the Low and Moderate Income Housing Fund has been deducted from the total amount of tax increment funds received by the Agency in the applicable fiscal year. Such payments shall be reduced in accordance with the provisions of Section 33607.5 of the Redevelopment Law or any,,other applicable statute. Such payments shall be the exclusive payments that are required to be made by the Agency to affected taxing entities for the duration of this Plan. Such payments may be subordinated to loans, bonds, or other Agency indebtedness as provided by the Redevelopment Law. The Agency may also pay to any affected taxing agency any amounts of money, which the Agency has found are necessary and appropriate to alleviate financial burden or detriment caused by the Project pursuant to an agreement executed prior to January 1, 1994. (513) RELOCATION OF PERSONS DISPLACED BY A PROJECT (514) Relocation Program, In accordance with the provisions of the California Relocation Assistance Law (Government Code Section 7260, et seq.) ("Relocation Assistance Act"), the Relocation Assistance and Real Property Acquisition Guidelines adopted and promulgated by the California Department of Housing and Community Development ("Relocation Guidelines") and the Agency shall provide relocation benefits and assistance to all "displaced" persons (including families, business concerns, and others) as may be required by law. Such relocation assistance shall be provided in the manner required by the Method of Relocation. (515) Relocation Benefits and Assistance The Agency shall provide all relocation benefits required by law and in conformance with the Method of Relocation, Relocation Guidelines, Relocation Assistance Act, the Redevelopment Law, and any other applicable rules and regulations. (516) DEMOLITION,CLEARANCE, PUBLIC IMPROVEMENTS, SITE PREPARATION AND REMOVAL OF HAZARDOUS WASTE (517) Demolition and Clearance The Agency is authorized, for property acquired by the Agency or pursuant to an agreement with the owner of property, to demolish, clear or move buildings, structures, or other improvements from any real property as necessary to carry out the purposes of this Plan. 0 8 21 GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT (518) Public Improvements To the greatest extent permitted by law, the Agency is authorized to install and construct, or to cause to be installed and constructed, the public improvements and public utilities (within or outside tt a Project to necessary to cant'out the purposes of this Plan. Specifically, the Agency may pay for, install, or construct the buildings, facilities, structures, and other improvements identified in Exhibit C, attached hereto, and may acquire or pay for land required therefore. Additionally, the Agency is authorized to install and construct;or to cause to be installed and constructed, within or without the Project Area, for itself or for any public body or entity for the benefit of the Project Area, public improvements and public facilities, including, but not limited to: over or underpasses; bridges; streets; bikeways;curbs; gutters; sidewalks; street lights; sewers; storm drains; traffic,signals; electrical distribution systems; natural gas distribution systems; wastewater treatment facilities;r' cable TV and fiber optic communication systems;water distribution systems; parks; windbreaks; trails; plazas; playgrounds; motor vehicle parking facilities; landscaped areas; schools; civic, cultural and recreational facilities;camping facilities; and pedestrian improvements. The Agency, as it deems necessary to carry out the Plan and subject to the consent of the City Council, as may be required by the Redevelopment Law, may pay all or part of the value of the land for and the cost of the installation and construction of any building, facility, structure or-other improvement that is publicly owned either within or outside the Project Area, upon both the Agency and the City Council making the applicable determinations required pursuant to the Redevelopment Law. When the value of such land or the cost of the installation and construction of such building, facility, structure or other improvement, or both, has been, or will be, paid or provided for initially by the City or other public corporation, the Agency may enter into a contract with the City or other public corporation under which it agrees to reimburse the City or other public corporation for all or part of the value of such land or all or part of the cost of such building,facility, structure or other improvements, or both, by periodic payments over a period of years. Any obligation of the Agency under such contract shall constitute an indebtedness of the Agency for the purposes of carrying out this Plan. (519) Preparation of Building Sites Any real property owned or acquired by the Agency may be developed as a building site. In connection with such development it may cause, provide, or undertake or make provisions with other agencies for the installation or construction of streets, utilities, parks, playgrounds, and other public improvements necessary for carrying out this Plan. r ' (520) Removal of Hazardous Waste To the extent legally allowable, the Agency may, in its sole discretion, take any actions, which the Agency determines are necessary, and which are consistent with other State and federal laws, to remedy or remove a release of hazardous substances on, under, or from property within the Project Area. (521) REHABILITATION, MOVING OF STRUCTURES BY THE AGENCY, AND SEISMIC REPAIRS (522) Rehabilitation and Conservation The Agency is authorized to rehabilitate and conserve, or to cause to be rehabilitated and conserved, any pIroperty, building, or structure owned by the Agency. The Agency is also authorized to advise, encourage, a�d assist (through a loan program or otherwise) in the rehabilitation and conservation of property, buildings, or structures in the Project Area not owned by the Agency to the extent permitted by the Redevelopment Law. The Agency is authorized to acquire, restore, rehabilitate, move, and conserve buildings of historic or architectural significance. e 9 2L GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT The Agency is authorized to conduct a program of assistance and enforcement to encourage owners of property within the Project Area to upgrade and maintain their property consistent with this Plan and such standards as may be developed for the Project Area. The extent of rehabilitation in the Project Area shall be subject to the discretion of the Agency based uporO such objective factors as: Compatibility of rehabilitation with land uses as provided for in this Plan. Economic feasibility of proposed rehabilitation and conservation activity. Structural feasibility of proposed rehabilitation and conservational activity. The undertaking of rehabilitation and conservation activities in an expeditious manner and in conformance with the requirements of this Plan and such property rehabilitation standards as may be adopted by the Agency. The need for expansion of public improvements, facilities,and'utilities. The assembly and development of properties in accordance with this Plan. The Agency may adopt property rehabilitation standards for the rehabilitation of properties in the Project Area. (523) Clearing or Moving Structures As necessary in carrying out this Plan, the Agency is authorized to move, or to cause to be moved, any building structures or other improvements from any real property acquired. (524) Seismic Repairs For any project undertaken by the Agency within the Project Area for building rehabilitation or alteration in construction, the Agency may, by following all applicable procedures that are consistent with local, State, and federal law,take those actions which the Agency determines are necessary to provide for seismic retrofits. (525) Graffiti Removal Within the Project Area, the Agency after making the required findings may take any actions that it determines are necessary to remove graffiti from public or private property. (526) PROPERTY DISPOSITION AND DEVELOPMENT (527) Real Property Disposition and Development (528) General For the purposes of this Plan, the Agency is authorized to sell, lease for a period not to exceed 99 years, exchange, subdivide, transfer, assign, pledge, encumber by mortgage, deed of trust, or otherwise dispose of any interest in real property. To the extent permitted by law, the Agency is authorized to dispose of real property by negotiated lease or sale without public bidding after a noticed public hearing. Except as otherwise permittedi,by law, before any interest in property of the Agency acquired in whole or in part, directly or indirectly, with tax increment moneys is sold or leased for development pursuant to this Plan, such sale or lease shall be first approved by the City Council by resolution after a noticed public hearing, together with such findings as may then be required by State Law. s 10 ' �S �3RAND TERRACE COMMUNITY ;IEDEVELOPMENT PROJECT The real property acquired by the Agency in the Project Area, except property conveyed by it to the City or any other public body, shall be sold or leased to public or private persons or entities for improvement and use of the property in conformance with this Plan. Real property may be conveyed by the Agency to the City,;.and .where beneficial to the Project'Area, to any other public body without charge or for an amount less than fair market value. All purchasers or lessees of property from the Agency shall be obligated to use the property for the purposes designated in this Plan, to begin and complete improvement of such property within a period of time which the Agency fixes as reasonable, and to comply with other covenants, conditions, or restrictions to prevent speculation or excess profit taking in undeveloped land, including right of reverter to the Agency and to comply with other conditions which the Agency deems necessary to carry out the purposes of this Plan. ; During the period of redevelopment in the Project Area, the Agency shall ensure that all provisions of this Plan,and other documents formulated pursuant to this Plan, are being observed, and that development of the Project Area is proceeding in accordance with applicable development documents and time schedules. All development, whether public or private, must conform to this Plan and all applicable federal, State, and local laws, including without limitation the General Plan and zoning ordinance, and all other state and Iocal building codes, guidelines, or specific plans as they now exist or are hereafter amended. Such development must receive the approval of all appropriate public agencies. (529) Purchase and Development Documents To provide adequate safeguards to ensure that the provisions of this Plan will be carried out and to prevent the recurrence of blight, all real property sold, leased, or otherwise disposed of by the Agency, as well as all property subject to Owner Participation Agreements and Disposition and Development Agreements, shall be made subject to the provisions of this Plan by leases, deeds, contracts, agreements, declarations of restrictions, provisions of the General Plan and zoning ordinance, and all other state and local building codes, guidelines, or master or specific plans as they now exist or are hereafter amended,conditional use permits, or other means. Where appropriate, as determined by the Agency, such documents or portions thereof shall be recorded in the office of the Recorder of the County. Leases,deeds, contracts, agreements, and declarations of restrictions of the Agency may contain restrictions, covenants, covenants running with the land, rights of reverter, conditions subsequent, equitable servitudes, or any other provisions necessary to carry out this Plan; The Agency shall reserve such powers and controls in Disposition and Development Agreements or similar agreements as may be necessary to prevent transfer, retention, or use of property for speculative purposes and to ensure that redevelopment is carried out pursuant to this Plan. The Agency shall obligate lessees and purchasers of real property acquired in the Project Area and owners of property improved as part of a redevelopment project to refrain from restricting the rental, sale, or lease of the property on the basis of race, color, religion, sex, marital status, ancestry, or national origin of any person. All deeds, leases, or contracts for the sale, lease, sublease, or other transfer of land in the Project Area shall contain or be subject to such nondiscrimination and non-segregation clauses as are required by Redevelopment Law. (530) Personal Property Disposition For the purposes of this Plan, the Agency is authorized to sell, lease for a period not to exceed 99 years, exchange, subdivide, transfer, assign, pledge, encumber, or otherwise dispose of personal property or any other interest in property by any lawful means. � 11 GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT (531) PREVENTION OF DISCRIMINATION (532) Redevelopment The redeveloper shall comply with all State and local laws, in effect ifrom. time to time, prohibiting discrimination or segregation by reason of race, color, creed, religion, sex, marital status, national origin, or ancestry, in the sale, lease, or occupancy of the property. Pursuant to the Redevelopment Law (Sections 33337 and 33435-33436), contracts entered into by the Agency relating to the sale, transfer, or leasing of land, or any interest therein acquired by the Agency within any survey area or redevelopment project, shall comply with the provisions of said sections in substantially the form set forth therein. All such contracts shall further provide that the provisions of said sections shall be binding upon and shall obligate the contracting party or parties and any subcontracting party or parties, or other transferees under the instrument. (533) Deeds, Leases, and Contracts All deeds, leases, and contracts which the Agency proposes to enter into with respect to the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of any land in the Project Area shall contain the following nondiscrimination and non-segregation clauses as prescribed by Redevelopment Law, Section 33436: In deeds the following language shall appear: "The grantee herein covenants by and for himself or herself, his or her heirs, executors, administrators and assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of any person or group of persons on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1,-subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer,, use, occupancy, tenure, or enjoyment of the premises herein conveyed, Unor shall the grantee or any person claiming under or through him or her, establish or permit any practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy of tenants, lessees, subtenants, sub-lessees, or vendees in the premises herein conveyed. The foregoing covenants shalf run with the land." , In leases,the following language shall appear. "The lessee herein covenants by and for himself or herself, his or her heirs, executors, administrators, and assigns, and all persons claiming under or through him or her, and this lease is made and accepted upon and subject to the following conditions: "That there shall be no discrimination against or segregation of any person or group of persons, on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the leasing, subleasing, transferring, use, occupancy, tenure, or enjoyment of the premises herein leased nor shall the lessee himself or herself, or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy, of tenants, lessees, sub- lessees, subtenants,or vendees in the premises herein leased." In contracts,the following language shall appear: "There shall be no discrimination against or segregation of any person or group of persons on account of any basis listed in subdivision (a) or(d) of Section 12955 of the Government Code, as those bases are defined in i Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of.Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the land, nor shall the transferee itself or any person claiming under or through it, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy of tenants, lessees, subtenants, sub-lessees, or vendees of the land. The s 12 GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT foregoing provision shall be binding upon and shall obligate the contracting party or parties and any subcontracting party or parties,or other transferees under the instrument." (534) LOW-AND MODERATE-INCOME HOUSING The Agency shall comply with all of the low- and moderate-income housing requirements of the Redevelopment Law, which are applicable to this Plan, including applicable expenditure, replacement,-and inclusionary housing requirements, including but not limited to the following: No less than twenty percent of all tax increment funds allocated to the Agency shall be used for the purposes of increasing, improving, and preserving the supply of low- and moderate-income housing available at affordable housing costs to persons and families of low- or moderate-income and very low-income households that is occupied by these persons and families, unless the Agency makes annual findings by resolution as required under Redevelopment Law. The tax increment funds that are required to be used for increasing and improving the supply of low-;and moderate-income housing shall be held in a separate Low- and Moderate-Income Housing Fund until used. The moneys in the Low- and Moderate-Income Housing Fund shall be used to increase, improve, and preserve the supply of low-and moderate-income housing. Whenever dwelling units housing persons and families of low-or moderate-income are destroyed or removed from the low- and moderate-income housing market as part of a redevelopment project, the Agency shall within four years of such destruction or removal, rehabilitate, develop, or construct, or cause to be rehabilitated, developed, or constructed, for rental or sale to persons and families of low-or moderate-income an equal number of replacement dwelling units at affordable housing costs within the Project Area or within the jurisdiction of the Agency in accordance with Redevelopment Law. SECTION VI. (600)USES PERMITTED IN THE PROJECT AREA (601) MAPS AND USES PERMITTED The Map attached hereto as Exhibit A and incorporated herein illustrates the location of the Project Area boundaries. The land uses permitted by this Plan shall be those permitted by the General Plan and zoning ordinance, and all other state and local building codes, guidelines, or specific plans as they now exist or are hereafter amended. A diagram of current permitted uses is presented on Exhibit D. (602) PUBLIC USES (603) Public Street Layout, Rights-of-Way, and Easements The public street system and street layout for the Project Area is illustrated on the Map identified as Exhibit A. The street system in the Project Area shall be developed in accordance with the General Plan, and all other state and local codes, guidelines,or master or specific plans as they now exist or are hereafter amended. Certain streets and rights-of-way may be widened, altered, realigned, abandoned, vacated, or closed by the City as necessary for proper development of the Project Area. Additional easements may be created by the Agency and City in the Project Area as needed for proper development and circulation. The public rights-of-way shall be used for vehicular, bicycle, and/or pedestrian traffic as well as for public improvements, public and private utilities and activities typically found in public rights-of-way. In addition; all necessary easements for public uses, public facilities, and public utilities may be-retained or created. 13 GRAND TERRACE COi4 MUNITY REDEVELOPMENT PROJECT (604) Other Public and Open Space Uses Both within and outside of the Project Area, where an appropriate finding has been determined, the Agency may take actions to establish or enlarge public, institutional, or non profit uses, including, but not limited to, schools, Community centers, auditorium anil civic center facilities, theatres and cultural facilities, criminal justice facilities, park and recreational. facilities, parking facilities, transit facilities-, libraries, hospitals, educational, fraternal, philanthropic and charitable institutions, or other similar associations or organizations. All such uses shall be deemed to conform to the provisions of this Plan provided that such uses conform to all other applicable laws and ordinances and that such uses are approved by the City. The Agency may impose such other reasonable restrictions as are necessary to protect development and uses in the Project Area. (605) NONCONFORMING USES The Agency is authorized, but not required, to permit an existing use'to remain in an existing building in good condition if the use does not conform to the provisions of this Plan, provided that such use is generally compatible with existing and proposed developments and uses in the Project Area. The Agency may take actions, but is not required, to authorize additions, alterations, repairs or other improvements in the Project Area for buildings which do not conform to the provisions of this Plan where, in the determination of the Agency, such improvements would be compatible with surrounding Project Area uses and proposed development. (606) INTERIM USES Pending the ultimate development of land by developers and participants, the Agency is authorized to use or permit the use of any land in the Project Area for interim uses. Such interim use, however, shall conform to General Plan and zoning1ordinance, and all other state and local building codes, guidelines, or specific plans ( y as they now exist or are hereafter amended. (607) GENERAL CONTROL AND LIMITATIONS All real property in the Project Area is hereby made subject to the controls and requirements of this Plan. No real property shall be subdivided, developed, redeveloped, rehabilitated, or otherwise changed after the date of the adoption of this Plan except in conformance with the goals and provisions of this Plan and the regulations and requirements of the General Plan and zoning ordinance, and all other state and local building codes, guidelines, or master or specific plans as they now exist or are hereafter amended. The land use controls of this Plan shall apply for the periods set forth in Section 1000 below. The type, size, height, number, and use of buildings within the Project Area will be controlled by the General Plan-and applicable zoning ordinance, and all other state and local building codes, guidelines, or master or specific plans as they now exist or are hereafter amended. (608) New Construction All construction in the Project Area shall comply with all applicable State and local laws in effect from time to time. In addition to the City land use regulations and requirements in the Project Area, additional specific performance and development standards may be adopted by the Agency to control and direct improvement activities in the Project Area. (609) Rehabilitation Any existing structure within the Project Area which the Agency enters into an agreement for retention and rehabilitation shall be repaired, altered, reconstructed, or rehabilitated in accordance with the applicable law 9 14 �Q GRAND TERRACE COMMUNITY REDEVELOP-MENT PROJECT and in such a manner that it will meet the following requirements: be safe and sound in all physical respects, be attractive in appearance, and not detrimental to the surrounding uses. # (610) Number of Dwelling Units l The General Plan shall regulate the total number of dwelling units in the Project Area. As of the date of adoption of the Ordinance amending this Plan, there are approximately 4,458 dwelling units in the Project Area. (611) Open Space and Landscaping The approximate amount of open space to be provided in the Project Area is the total of all areas so designated in the General Plan and zoning ordinance, and all other state and,local building codes, guidelines, or specific plans as they now exist or are hereafter amended, and those areas in the public rights-of-way or provided through site coverage limitations on new development as established by the City and this Plan. Landscaping shall be developed in the Project Area to ensure optimum use of living plant material in conformance with the standards of the City. (612) Limitations on Type,Size,Height,Number,and Proposed Use of Buildings The limits on building intensity, type, size, height, number, and proposed use shall be established in accordance with the provisions of the General Plan and zoning ordinance, and all other state and ;local building codes, guidelines, or master or specific plans as they now exist or are hereafter amended. (613) Signs All signs shall conform to the requirements of the City. Design of all proposed new signs shall be subject to the review of the City and any additional standards that may be.adopted by the Agency to implement the ' goals of this Plan. (614) Utilities The Agency, in conformity with the City municipal code and City policies, shall require that all utilities be placed underground whenever physically possible and economically feasible. (615) Subdivision of Parcels No parcels in the Project Area, including any parcel retained by a participant, shall be consolidated, subdivided or re-subdivided without the approval of the City. (616) Variations The Agency is authorized to permit variations from the limits, restrictions, and controls established l y this Plan. In order to permit any such variation,the Agency must determine all of the following: The application of certain provisions of this Plan would result in practical difficulties or unnecessary hardships inconsistent with the general purposes and intent of this Plan. i There are exceptional circumstances or conditions applicable to the prop?rty or to the intended development of the property, which do not apply generally to other properties having the same standards, restrictions, and controls. Permitting a variation will not be materially detrimental to the public welfare or injurious to property or improvements in the area. 15 - � 3[ GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT Permitting a variation will not be contrary to the objectives of this Plan. No such variation shall be granted other than a minor departure from the provisions of this Plan. In permitting any such variation, the Agency shall impose such conditions as are necessary to protect the public health, safety, and welfare, and to assure compliance with the purposes of this Plan. (617) DESIGN FOR DEVELOPMENT One of the objectives of this Plan is to create an attractive and pleasant environment in the Project Area. Therefore, such plans shall give consideration to good design, open space, and other amenities to enhance r the aesthetic quality of the Project Area. The Agency shall not approve any plans that do not comply with this Plan except as permitted by Section 616 of this Plan. Within the limits, restrictions, and controls established in this Plan, and subject to the provisions of Sections 601 and 607 herein, the Agency is authorized to establish land use, heights of buildings, land coverage, setback requirements, design criteria, traffic circulation, traffic access, and other development and design controls necessary for proper development of both private and public areas within the Project Area. No new improvement shall be constructed and no existing improvement shall be substantially modified, altered, repaired, or rehabilitated except in accordance with this Plan and any such controls approved by the Agency. In the case of property, which is the subject of a Disposition and Development Agreement or an Owner Participation Agreement with the Agency, such property shall be developed in accordance with the provisions of such Agreement. (618) BUILDING PERMITS Any building permit that is issued for the rehabilitation or construction of any new building or any addition, construction, moving, conversion, or alteration to an existing building in the Project Area from the date of adoption of this Plan must be in conformance with the provisions of this Plan, any design for development adopted by the Agency, any restrictions or controls established by resolution of the Agency, and any applicable participation or other agreements. SECTION VII. (700)METHODS FOR FINANCING THE PROJECT (701) GENERAL DESCRIPTION OF THE PROPOSED FINANCING METHODS Upon adoption of this Plan by the City Council, the Agency is authorized to finance implementation of this Plan with assistance from local sources, the State and/or the federal government, property tax increment, interest income, Agency bonds, donations, loans from private financial institutions, or any other legally available source. The Agency is also authorized to obtain advances, borrow funds, issue bonds or other obligations, and create indebtedness in carrying out this Plan. The principal and interest on such indebtedness may be paid from tax increment revenue or any other funds available to the Agency. Advances and loans for survey and planning and for the operating capital for administration of this Plan may be provided*by the City until adequate tax increment revenue or other funds are available to repay the advances and loans. The City or other public agency, as it is able, may also supply additional assistance through issuance of bonds, loans and grants, and in-kind assistance. Any assistance shall be subject to terms established by an agreement between the Agency, City, and/or other public agency providing such assistance. i The Agency may issue bonds or other obligations and expend their proceeds to carry out this Plan. The Agency is authorized to issue bonds or other obligations as appropriate and feasible in an amount sufficient to finance all or any part of Plan implementation activities. The Agency shall pay the principal and interest on bonds or other obligations of the Agency as they become due and payable. s 16 GRAND TERRACE COMMUNITY ;ZEDEVELOPMENT PROTECT (702) TAX INCREMENT REVENUE For the purposes of the collection of property tax revenue pursuant to this Plan, the effective date of the ordinance shall mean and refer to: Original Area: October 27, 1979, which is 30 days following adoption of the Ordinance No. 25 on September 27, 1979 Added Area: August 15, 1981, which is 30 days following adoption of Ordinance No. 52 on July 15, 1981., All taxes levied upon taxable property within the Project Area each year by or for the benefit of the State, County, City, district, or other public corporation (hereinafter called'Taxing Agency"or"taxing agencies") after the effective date of the ordinance,shall be divided as follows: 1. That portion of the taxes which would be produced by the rate upon which the tax is levied each year by or for each of said Taxing Agencies upon the total sum of the assessed value of the taxable property in the Project Area as shown upon the assessment roll used in connection with the taxation of such property by such Taxing Agency, last equalized prior to the effective date of the ordinance, shall be allocated to and when collected shall be paid to the respective Taxing Agencies as taxes by or for said Taxing Agencies on all other property are paid (for the purpose of allocating taxes levied by or for any Taxing Agency or Agencies which did not include the territory in the Project Area on the effective date of the ordinance but to which such territory has been annexed or otherwise included after such effective date,the assessment roll of the County last equalized on the effective date of the ordinance shall be used in determining the assessed valuation of the taxable property in the Project Area on said effective date). 2. That portion of said levied taxes each year in excess of such amount shall be allocated to and ,when collected shall be paid into a special fund of the Agency to pay the principal of and interest on loans, monies advanced to, or indebtedness (whether funded, refunded, assumed, or otherwise) incurred by the Agency to finance or refinance, in whole or in part,-the Project and this Plan. Unless and until the ' total assessed valuation of the.taxable property in the Project Area exceeds the total assessed value of the taxable property in the Project Area as shown by the last equalized assessment roll referred to in paragraph (1.) hereof, all of the taxes levied and collected upon the taxable property in the Project Area shall be paid to the respective Taxing Agencies. When said loans, advances, and indebtedness, if any, and interest thereon, have been paid, all monies thereafter received from'taxes upon the taxable property in the Project Area shall be paid to the respective Taxing Agencies as taxes on all other property are paid. i 3. That portion of the taxes in excess of the amount identified. in paragraph (1.) above which is attributable to a tax rate levied by a Taxing Agency for the purpose of producing revenues in an amount sufficient to make annual repayments of the principal of and interest on any bonded indebtedness for the acquisition or improvement of real property shall be allocated to, and when collected shall be paid into, the fund of that Taxing Agency. This paragraph (3.) shall only apply to taxes levied to repay bonded indebtedness approved by the voters on or after January 1, 1989. The Agency is authorized to make pledges as to specific advances, loans and indebtedness as appropriate in carrying out the Project. The portion of taxes allocated and paid to the Agency pursuant to subparagraph (2.) above is irrevocably pledged to pay the principal of and interest on loans, monies advanced to, or indebtedness (whether funded, refunded, assumed, or otherwise) incurred by the Agency to finance or refinance, in whole or in part,the redevelopment program for the Project Area. (703) AGENCY BONDS i The Agency is authorized to issue bonds and other obligations from time to time, if it deems it appropriate to do so, in order to finance all or any part of Plan implementation activities. s 17 3: GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT Neither the members of the Agency nor any persons executing the bonds are liable personally on the bonds or other obligations by reason of their issuance. The bonds and other obligations of the Agency are not a debt of the City, County, or the State; nor are any of its political subdivisions liable for them; nor in any event shall the bonds or obligations be payable,out of any funds or properties other than those of the Agency; and such bonds and other obligations shall so state on their face. The bonds and other obligations do not constitute an indebtedness within the meaning of any constitutional or statutory debt limitation or restriction. (704) OTHER LOANS AND GRANTS �) Any other loans, grants, guarantees, or financial assistance from the federal government, the State, or any other public or private source will be utilized, if available, as appropriate in carrying out this Plan. In addition, the Agency may make loans as permitted by law to public or private entities for any of its redevelopment purposes. (705) REHABILITATION LOANS,.GRANTS,AND REBATES To the greatest extent allowed by State Law, the Agency and the City may commit funds from any source to rehabilitation programs for the purposes of loans, grants, or rebate payments for self-financed rehabilitation work. The rules and regulations for such programs shall be those which may already exist or which may be developed in the future. The Agency and the City shall seek to acquire grant funds and direct loan allocations from State and federal sources, as they may be available from time to time, for the carrying out of such programs. SECTION VIII. (800)ACTIONS BY THE CITY The City shall aid and cooperate with the Agency in carrying out this Plan and shall take all reasonable actions necessary to ensure the, continued fulfillment of the purposes of this Plan and to prevent the recurrence or spread in the Project Area of conditions of blight. Actions by the City may include, but shall not be limited to, the following: 1. Institution and completion of proceedings for opening, closing,_vacating, widening,-or changing the grades of streets, alleys, and other public rights-of-way, and for other necessary modifications of the streets, the street layout, and other public rights-of-way in the Project Area. Such action by the City - shall include the requirement of abandonment and relocation by the utility companies of their operations in public rights-of-way as appropriate to carry out this Plan, provided that nothing in this Plan shall be deemed to require the cost of such abandonment, removal, and relocation to be borne by others than those legally required to bear such costs. 2. Institution and completion of proceedings necessary for changes and improvements to publicly- owned parcels and utilities in the Project Area. 3. Performance of the above and of all other functions and services relating to public health, safety, and physical development normally rendered in accordance with a schedule which will permit the redevelopment of the Project Area to be commenced and carried to completion without unnecessary delays. 4. Imposition, whenever necessary pp and applicable, of Jppropriate design controls within the limits of this Plan in the Project Area to ensure proper development and,use of land. 5. Provisions for administration/enforcement of this Plan by the City after completion of development. a 18 aRAN D TERRACE COMMUNITY REDEVELOPMENT PROJECT 6. The undertaking and completion of any other proceedings necessary to carry out the Project. 7. The expenditure of any City funds in connection with redevelopment of the Project Area pursuant to this Plan. S. Revision of the City zoning ordinance, adoption of master or specific plans or execution of statutory development agreements to permit the land uses and facilitate the development authorized by'this Plan. SECTION IX. (900)ADMINISTRATION AND ENFORCEMENT F • Upon adoption, the administration and enforcement of this Plan or other documents implementing this Plan shall be performed by the City and/or the Agency, as appropriate. The provisions of this Plan or other documents entered into pursuant to this Plan may also be enforced by litigation or similar proceedings by either the Agency or the City. Such remedies may include, but are not limited to, specific performance, damages, re-entry onto property, power of termination, or injunctions. In addition, any recorded provisions, which are expressly for the benefit of owners of property in the Project Area, may be enforced by such owners. SECTION X. (1000)PLAN LIMITATIONS - The following financial and time limitations shall apply to this Plan: (1001) AMOUNT OF CUMULATIVE TAX INCREMENT REVENUE The portion of taxes divided and allocated to the Agency for the Project Area pursuant Section 33670'of the Redevelopment Law shall not exceed a cumulative total of Two Hundred and Twenty Five Million Dollars ($225,000,000), being the net of total taxes allocated less taxes passed through to affected taxing agencies pursuant to such reimbursement agreements. (1002) AMOUNT OF BONDED INDEBTEDNESS OUTSTANDING AT ANY ONE TIME The amount of bonded indebtedness, to be repaid in whole or in part from the allocation of taxes pursuant to Section 33670 of the Redevelopment Law, which can be outstanding at one time, shall not exceed $75 million. (1003) TIME FRAME TO INCUR INDEBTEDNESS I The previous time limits to incur debt in the Original Area and Added Area were rescinded by Ordinance No. 212 on July 22, 2004; as such there are no time limits for incurring debt. (1004) DURATION OF THIS PLAN Except for the nondiscrimination and non-segregation provisions of this Plan, and recorded covenants implemeriting the same,which shall remain in effect in.perpetuity, and except as otherwise expressly provided herein, the provisions of this Plan shall be effective, and the provisions of other documents formulated pursuant to this Plan shall be effective until September 27, 2022 for the Original Area and July 15, 2024 for the Added Area. i 19 r GRAND TERRACE COMMUNITY REDEVEL(DPPJENT PROJECT After the expiration of the effective term of the Plan, the Agency shall have no authority to act pursuant to the Plan except to pay previously incurred indebtedness and to enforce existing covenants or contracts. However, if the Agency has not completed its housing obligations pursuant to Section 33333.8 of the Redevelopment Law, the Agency shall retain its authority to implement requirements under 33333.8, including the ability to incur and pay indebtedness for this purpose, and shall use this authority to complete these housing obligations as soon as is reasonably possible. (1005) TIME FRAME TO COLLECT TAX INCREMENT REVENUE Except as otherwise provided,herein or by Redevelopment Law, the time limitation for the receipt of tax ' increment and the payment of indebtedness with the tax increment pursuant to Section 33670 of the Redevelopment Law, shall be September 27, 2032 for the Original Area and July 15, 2034 for the Added Area. SECTION XI. (1100) PROCEDURE OF AMENDMENT This Plan may be amended by means of the procedure established in Sections 33450-33458 of the Redevelopment Law or by any other procedure hereafter established by law. 1 120 • �S GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT EXHIBIT A-PROJECT AREA MAP GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT AREA EXHIBIT A CEN �hCy0R0 44 a1NG �1� 4 _, LA r -- ...--. Legend QGrar,d Taman Radavabpnwnt PM"Aran-Onanai Araa ANVIS4(i i i _ _-.ZAtjpWAl1T--• . Added Arm VAN WjREW, t RR I i LARKST -LMW-ST-121/ - �, > , - T !AG � r3. N m I A - 'Note The Grand Terrace Convnunny Redevelopment Project Area boundary comprises the entire City boundary. 0 0.125 0.25 0.5 0.75 1 Miles - - -- e - - - ounces. rry fS pe nt end Meta scan-- - - -- - - _S- - .C G De 21 W GRAND 'TERRACE CCIPAMUNITY REDEVELOPMENT PROJECT EXHIBIT B—LEGAL DESCRIPTION As revised by Amendment No. 2 adopted by City Council Ordinance No. 52 on July 15, 1981, the boundaries of the Project Area are described as follows: That portion of Townships 1 and 2 South, Range 4 West, San Bernardino Meridian, in the County of San Bernardino, State of California, described as follows: Beginning at the intersection of the West line of Terrace Avenue with the Westerly prolongation of the center line of Walnut Avenue, said point being also in the existing city limits of Colton; Thence leaving said city limits Westerly along said prolongation of the center line of Walnut Avenue to the center line of the Atchison, Topeka and Santa Fe Railroad; ' Thence Northerly along said center line to the existing city limits of Colton; Thence Easterly along said city limits and continuing along said city limits following all of its various courses to the West line of Lot 2, Subdivision of the Poole Tract, as per map recorded in Book 11 of Maps, page 40, records of said County; Thence leaving said city limits Southerly along said West line of Lot 2 to the center line of the Gage Canal; Thence Easterly along said center line to the South line of said Poole Tract; Thence Easterly along said South line to the existing city limits of Colton; Thence Southwesterly along said city limits and continuing along said city limits, following all of its various courses to the San Bernardino and Riverside County line; Thence leaving said city limits Westerly along said county line to the existing city limits of Colton; Thence Northeasterly along said city limits and continuing along said city limits, following all of its various courses, to the POINT OF BEGINNING,and; ' That portion of Section. 31, Township 1 South, Range 4 West, San Bernardino Meridian and Section 6, Township 2 South, Range 4 West, San Bernardino Meridian, in the County of San Bernardino, State of California, described as follows: Beginning at a point in the existing city-limits of Grand Terrace, said point being the intersection of the West line of Terrace Avenue with the Westerly prolongation of the center line of Walnut Street, said point being also in the existing city limits of Colton; Thence Southerly along said city limits of Colton to'the Easterly prolongation of the center line of Palm Avenue; Thence leaving the city limits of Colton Westerly along said prolongation and center line to a point which is Easterly 287.39 feet from the center tine intersection of Palm and Rosedale Avenues, said point being also the Northerly prolongation of the East line of Parcel Map No. 844, as per map recorded in Book 8 of Parcel. Maps, page 86, records of said County; Thence South 100 50' 50" West, along said prolongation and East line, a distance of 313.72 feet to the Southeast corner of Parcel 2,said Parcel Map No. 844; Thence West 286.69 feet along the South line of said Parcel 2 and its prolongation to the center line of Rosedale Avenue, said point being also in the existing city limits of Colton; Thence Northerly along said city limits and continuing along said city limits, following all of its various courses, to the center line intersection of Litton and Rosedale Avenues; Thence Easterly along said center line of Litton Avenue, a portion of which is in, the city limits of Colton, and its prolongation to the existing city limits of Grand Terrace; Thence Southerly and Easterly along said city limits to the POINT OF BEGINNING. Contains approximately 2,255.66 acres. 22 17 i GRAND TERRACE COMMUNITY REDEVELOPPI"JENT PR0jE(.T STATEMENT AND DESCRIPTION OF LAND WITHIN THE ORIGINAL AREA Within the Project Area as described above, the boundaries of the Original Area are described as follows: Area 1 A portion of the Southwest 1/4 of Section 34, Township 1 South, Range 4 West, San Bernardino Meridian and a portion'of the Northwest 1/4 of Section 3, Township 2 South, Range 4 West, San Bernardino Meridian, County of San Bernardino, State of California, more particularly described as follows: BEGINNING at the Southwest Corner of Lot 5, Tract 6311, as recorded in Map Book 94, Pages 18 , and 19 of Maps as recorded in the Office of the Recorder, County of San Bernardino, said point also being , the Intersection of Sections 3 and 4, Township 2 South, Range 4 West, San Bernardino Meridian; and Sections 33 and 34, Township 1 South, Range 4 West; thence South along the Easterly boundary of said Section 4 1530 feet to a point, said point being on the City boundary of the City of Colton; thence East, North and West along the City limits of the City of Colton, through all its various courses to a point, such point also being the Northwest corner of Lot 37, Tract 6610, as recorded in Map Book 88, Pages 7 and 8 of Maps, County of San Bernardino; thence West 827.76 feet to a point; thence North 38.40 feet to a point; thence 556.50 feet to a point, said point also being on the Easterly line of Section 33, Township 1 South, Range 4 West; thence South 100 feet along said Easterly line to a point, said point being the most Northerly point of Lot 15, Tract 6311, as recorded in Map Book 94, Pages 18 and 19 of Maps, Office of County Recorder, San Bernardino County;thence Southeast, South and West along the Easterly and Southerly limits of Tract 6311, to the point of beginning. Area 2 That portion of Lots 1 to 6 inclusive and Lots 15 to 18 inclusive of Hermosa Rancho, in the County of San Bernardino, State of California , as per map recorded in Book 13 of Maps, Page 25, Records of said County, and a portion of Lots 9 and 10, Dixon Tract, in the City of Grand Terrace, County of San Bernardino, State of California, as per map recorded in Book 13 of Maps, Page 8, in the.office of the County Recorder.of said County, and that portion of the West 1/2 of the Northeast 1/4 of Section 4, Township 2 South, Range 4 West, San Bernardino Meridian according to the Official Plat there-of, described as follows: BEGINNING at the Northeast comer of Lot 19, Tract 5921, as per map recorded in Book 74, Pages 62 and 63 of Maps, Records of said County, such point also being the intersection of the Southerly right-of- way line of Palm Avenue, 66 feet wide, and the Westerly right-of-way line of Canal Drive, 48 feet wide;thence Southerly and Westerly along the Westerly right-of-way of said Canal Drive to the intersection of the Westerly right-of-way of Canal Drive and the Northerly right-of-way of DeBerry Street, said point also being the Southeasterly comer of Lot 10, Tract 9545, as per map recorded in Book 132, Pages 51 and 52 of Naps, Records of said County; thence Southeasterly�to the Northeast comer of Lot 45, Tract 9625, as per map recorded in Book 145, Pages 94 and 95 of Maps, Records said County, said- point also being ;at the intersection of the Westerly right-of-way line of Canal Drive and the Southerly right-of-way line of DeBerry Street, 66 feet wide; thence West along said Southerly right-of-way line of DeBerry Street 796.45 feet to a' point, said point also being the Westerly boundary of said Tract 9625; thence South along the West boundary of Tract 9625 on bearing of S 00 12' 00" E a distance of 628.67 feet to a point; thence N 891 46'; 30" E 1030.68 feet to a point, said point being on the North-South centerline of Section 4,Township 2 South,'Range 4 West, San'Bernardino Meridian; thence South along said centerline 661 feet to a point, said point being on the East-West centerline of Section 4, Township 2 South, Range 4 West; thence East along said centerline 1322 feet to a point, said point being on the East line of the Northeasterly Quarter of Section 4, Township 2 South, Range 4 West, San Bernardino Meridian; thence North along said Easterly line of said Section 4 and its prolongation a distance of 2700 feet +/- to a point, said point being on the centerline of Palm Avenue, 66 feet wide; thence North and West along the Easterly and Northerly boundaries and their prolongation of Tract 9483, as recorded.in Map Book 135, Pages 80-82 of Maps, San Bernardino County, a distance of 1,659 feet, plus or minus to the centerline of Barton Road, 100 feet wide; thence Southerly and Westerly along said 23 GRAND TERRACE COMMUNITY REDEVELOPP41ENT PROJECT centerline to its intersection with the centerline of Preston Street, 60 feet wide; thence Southerly along said centerline of Preston Street 890 feet, more or less, to a point, said point being the intersection of said centerline of Preston Street and the centerline of Palm Avenue, 66 feet wide; thence Easterly along said centerline of Palm Avenue,200 feet,to a point; thence Southerly 33 feet to the point of beginning. Area 3 A portion of Lot 14, Section 5,Township 2 South, Range 4 West, San Bernardino Meridian, according to Map Showing Lands of the East Riverside Land Company, as per plat recorded in Book 6 of Maps, Page 44, Records of County of San Bernardino, State of California, and more particularly described as follows: BEGINNING at the intersection of the East boundary of said Lot 14, and the Northerly right-of-way line of DeBerry Street, 66 feet wide; thence N 00 07' 36"W along said East boundary of Lot 14 629.66 feet to a point, said point being the Northeast comer of said Lot,14; thence West along the Northerly boundary of said Lot 14 576.63 feet to a point, said point being the Northwesterly comer of said Lot 14; thence South along the West boundary of said Lot 14 629.76 feet to a point, said point being the intersection of the West boundary of Lot 14, and the Northerly right-of-way line of DeBerry Street, 66 feet wide; thence East along the Northerly right-of-way line of said DeBerry Street 577.47 feet to the point of beginning. Area 4 Being a portion o Lot 45, Section 5, Township 2 South, Range 4 West, San Bernardino Meridian, in the County of San Bernardino, State of California, Per Map of East Riverside Land Company, as Recorded in Book 6, Page 44 of Maps, Records of said County, and Parcel 2, of Parcel Map 3502 in the County of San Bernardino, State of California, Per Map Recorded in Book 31, Page 43 of Parcel Maps, Records of said County, and more particularly described as follows: BEGINNING at the intersection of the Westerly line of Gage Canal right-of-way, 50 feet wide, and the Northerly right-of-way of Pico Street, 66 feet wide, thence N 430 43' 57' E 197.41 feet; thence 117.94 feet through a curve concave Northwesterly and having a radius of 208.20 feet; thence N 1111 17' 03' E 390.51 feet, to a point, said point being at the intersection of,the Southerly line of Tract 9251, as recorded in Map Book 129, Pages 59 and 60, of Maps, Records of San Bernardino County; thence West along said Southerly line of Tract 9251 and the Southerly line of Tract 9495, as recorded in Map Book 133, Pages 78 and 79 of Maps, Records of San Bernardino County, a distance of 1163.92 feet to a point; thence S 00° 03' 53" W 629.28 feet to a point, said point being on the Northerly right-of-way line of Pico,Street, 66 feet wide; thence East along the Northerly right-of-way of said Pico Street 321.82 feet to a point; thence N 000 00' 25" F 289.00 feet; thence S 890 53' 02' E 139.00 feet; thence S 00' 00' 25"W 289.00 feet to the Northerly right-of-way line of Pico Street; thence East along the Northerly right-of-way line of Pico Street 436.98 feet to the point of beginning. Area 5 All that portion of Lot 29, East Riverside Land Company, in the County of San Bernardino, State of California, as per Map recorded in Book 6 of Maps, Page 44, Records of said County, described as follows: BEGINNING at the Southwest comer of said Lot 29, being the intersection of the North line of Van Buren Street, 66 feet wide, and the East line of Michigan Avenue, 66 feet wide; thence North 00 00' 08" East along the East line of said Michigan Avenue a distance of 111.40 feet to the true point of beginning: thence North 89° 59'08"East a distance of 355.0 feet; thence North 00 00' 08" East a distance of 386.39 feet; thence North 89' 59' 27"West a distance of 355.00 feet to the said East line of Michigan Avenue; thence South 00 06'08"West a distance of 386.54 feet to the true point of beginning. 9 24 �o GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT Area 6 A portion of Lot 3, Grand Terrace Tract, as recorded in Map, Book 11, Page 4 of Maps, San Bernardino County Recorder's Offices, and more particularly described as follows: BEGINNING at the intersection of tie Southerly lot line of said Lot 3, and the Easterly right-of-way of Gage Canal, 50 feet wide; thence East along said Southerly line of Lot 3, 1483 feet, more or less, to the Westerly right-of-way line of Mount Vernon Avenue, 66 feet wide; thence North, West and North along the Westerly right-of-way of Mount Vernon Avenue, 66 feet wide and 87 feet wide, 242.32 feet to a point; thence West along a line parallel to the Southerly lot line of said Lot 3, 612.20 feet to a point; thence North 19° 50' 00"West 187.62 feet to a point; thence West along a line parallel to the Southerly lot line of Lot 3, 661.68 feet to the Easterly right-of-way of Gage Canal, 50 feet wide; thence South along the Easterly right-of-way line of Gage Canal 438.47 feet to the point of beginning. Area 7 A portion of the South 1/2 of Section 4, Township 2 South, Range 4 West, San Bernardino Meridian, more particularly described as follows: .BEGINNING at the intersection of the North - South centerline, of Section 4, Township 2 South, Range 4 West, San Bernardino Meridian, and the dividing line between the Counties of Riverside and San Bernardino, thence North 00 14' 41" East 810 feet to a point, said point being the true point of beginning; thence North 00 14' 41" East 317.38 feet; thence South 890 41' 32"West 239.00 feet to a point; thence North 00 14' 41" East 227.65 feet; thence North 890 41' 32" East 295.3 feet; thence North 211 04' 12" East 50.78 feet;thence North 100 04' 12" East 44.08 feet;thence North 290 31'48"West 45.90 feet;thence North 32°06' 48"West 295.63 feet; thence North 06 56' 48"West 173.82 feet; thence North 290 33' 49"West 120.25 feet; thence South 890 44' 12" West 488.5 feet.; thence South 0 15' 27' East 659.89 feet;thence South 0° 11' 02" West 683.10 feet; thence North 890 51' 42" East 260.33 feet; thence North 00 08' 18" West 180.00 feet; thence North 300 51' 23" East 122.53 feet; thence 96.89 feet through a curve concave Northeasterly end having a radius of 200 feet; thence 221.51 feet through'a curve concave Southwesterly and having a radius 160 feet;thence North 79° 33' 22" East 83.46 feet to the point of beginning. 5 i 0 25 ar GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT EXHIBIT C—LISTING OF PROPOSED PUBLIC FACILITIES AND INFRASTRUCTURE PROJECTS PUBLIC INFRASTRUCTURE PROJECTS Improvements to Project Area public infrastructure are intended to alleviate traffic congestion and improve public safety, remove costly impediments to development, and upgrade infrastructure to contemporary standards to stimulate private development. The proposed traffictcirculation improvement projects shall include, but are not limited to, roadways, landscape, street lights, pedestrian walkways, bridges, interchanges, curbs, gutters, sidewalks, parking, street widening, traffic signals,over or underpasses, utility undergrounding, bicycle paths, street medians, trails, and trolley crossings. The proposed sewer and drainage improvement projects shall include, but are not limited to, monitoring systems, sewer parallels, drainage, sewer lines, wastewater treatment facilities, flooding systems, floor control dikes, and sewer systems. The proposed utility and communication improvement projects shall include, but are not limited to, electrical distribution systems, natural gas distribution systems; cable TV and fiber optic communication systems,water distribution systems, and windbreaks. Further compliance with General Plan, zoning standards, and environmental review may be necessary for these proposals to come forward. Projects include, but are not limited to,the following: 1. Sanitary Sewer System Improvements: Regional Wastewater Control Facility Modification and Replacements Regional Wastewater Control Facility Plant Expansion ` Sanitary Pump Station Rehabilitation/Modification Sanitary Separation Sanitary System Deficiency Improvements Sanitary System Repairs Sanitary Telemetry Sludge Removal and Reuse/Disposal 2. Storm Drain*Projects Storm Drain Alleviation-Repairs Storm Pump Station Rehabilitation Storm System Rehabilitation/Street Improvements Storm System Improvements Storm-water Telemetry 3. Street Projects Alley Abandonment 26 a1 RAND TERRACE COMMUNITY REDEVELOPMENT dROJECT Street Tree Planting Railroad Crossing Protection Street Construction and Replacement ' i Sidewalk, Curb, and Gutter Steel Street Light Pole Replacement Street Light Installation Street Lighting Upgrade Street Name Sign Installation Street Repair Program Street Resurfacing Program Traffic Signal Control System Traffic Signals-Modification Traffic Signals-New Utility Underground i Wheel Chair Ramps 4. Water Projects Central Control System Pipelines Project i Service System Additions Service System Replacements Aqueducts t Groundwater Monitoring Wells Water Supply-New Wells Water Supply Facilities-Well Rehab/Repair Water System Expansions Water Transmission Mains Water Treatment Equipment Well Replacement o 27 4� GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT Well/Reservoir Site Improvements Minor Infrastructure Improvements 5. Public Facility Programs Roof Replacement Program Infrastructure Improvements Park Reconstruction and Construction L_ Community Center Construction, Rehabilitation, and Expansion Pool Reconstruction and Construction Library Construction Repairs/Rehabilitation Play Equipment Replacements Recreational Facilities Construction and Reconstruction Tot Lots Full Replacements COMMUNITY FACILITIES The proposed Community facilities improvement projects shall include, but are not limited to, parks, open spaces, schools, school facilities, fire and police facilities, communication systems, libraries, fire protection, cultural centers, Community centers, city maintenance facilities, plazas, recreational facilities, playgrounds, and civic center. Further compliance with General Plan, zoning standards, and environmental review may be necessary for these proposals to come forward. f 28 Al • •- • • • _ • INu �. 3 c•TSse •,j r . 1•�� A Los .93 �•�� � Sl111\111•. ti �=��5 ` �Iur��*�?��`'����:c� Dui 111/rF3a a�.�b� 'nnunn . •I• - II�IN;I^II'11 -.IINII�Al fli1�� �� iIV � ..�Ilttiltlll I�ccl,.�"ulur�• 1.11, :lu ,Ir,,, I •Alp.. • IF .;,idlYbl ��l�l� = vamp- i..iinj:a■l,itll,. .0 ,i... 1 iupr T;�nP• • `�i� !;T... .�-un�.....�. I ■ ;rla•tinnll L1111' ,� �.1}1111�i1.• 1 III11�•11. •// 4 f i/ F�hyi AaL�Kt t/ .y •j i OWL: p v ?iJ,�;� I � � c�.:+ Lt�s ••I=I:�' t,illlllllllllp' � I== ram^ � h K•^YL{j�}F (I I. � ; ( a ��:iiw :��iq—r{.�� a��,�Tc•'+�'�:�''�'��'°'*��I'���7 I.M I .tli���i I:liil .,. ..� 444 • ■ l ATTACHMENT#3 PRELIMINARY REPORT as CITY OF GRAND TERRACE COMMUNITY REDEVELOPMENT AGENCY 22975 BARTON ROAD, GRAND TERRACE. CA PRELIMINARY REPORT ON THE PROPOSED SIXTH AMENDMENT TO THE REDEVELOPMENT PLAN FOR THE GRAND •� TERRACE COMMUNITY REDEVELOPMENT PROJECT City of Grand Terrace Community Redevelopment Agency December 21, 2009 tj INTRODUCTION ReportContents......................................................................:....:.................................................2 PlanAmendment Process.............................................................................................................2 SECTION A: REASONS FOR AMENDING THE REDEVELOPMENT PLAN.:................................3 Project Area Location and Land Use.. Project Area History and Background................................. 3 ........................... Goals of the Redevelopment Plan.................................................:..............................................4 CurrentConditions........................................................................................................................4 Reasons for Amending the Redevelopment Plan................. 5 .............................. Increasing the Tax Increment Limit.......................... .................................................................... Increasing the Bonded Indebtedness Limit....................... 6 Rescinding Agency's Eminent Domain Authority...................................................................... Extending the Duration of the Redevelopment Plan Replacing the Description of Land Uses.....................................:....................................................6 ......... Amended and Restated Redevelopment Plan..................................................................................7 SECTION B: A DESCRIPTION OF THE BLIGHTING CONDITIONS PRESENT IN THE PROJECT AREA.............................................................:................................................................................8 Introduction..........:..........................................................................................................................8 Methodologyand Approach........................................................................................................ 10 Findings........................................................................................................................................ 10 Obsolete Design or Construction............................................ Laying Out of Lots in Disregard to Physical Characteristics .........................................................:.21 Deteriorated and Dilapidated Buildings..........................................................................................22 CrimeRates.............................................................................................. ....... 30 .............................. SECTION C: A DETERMINATION AS TO WHETHER THE PROJECT AREA-IS PREDOMINANTLY URBANIZED..................................................................................................32 SECTION D: A PRELIMINARY ASSESSMENT OF THE PROPOSED METHOD OF FINANCING, INCLUDING ECONOMIC FEASIBILITY OF THE PLAN AMENDMENT AND THE REASONS FOR THE CONTINUED INCLUSION OF TAX INCREMENT.................................................................33 Introduction..................................................................................................................................33 Financial Assistance from City, State and/or the Federal Government...................................33 Participation in Development........................... Lease or Sale.of Agency-Owned Property............................... .............33 ..................................................................... PropertyTax Increment...............................................................................................................34 PBondedDebt......................................................................... Other Available Sources.........:.................................................... Tax Increment Revenue Projections...........................................................................................35 Economic Feasibility Analysis....................................................................................................35 n7 _ f r 1 CITY OF GRAND TERRACE COMMUNITY REDEVELOPMENT AGENCY PRELIMINARY REPORT FOR THE SIXTH AMENDMENT i Reasons for the Allocation of the TaxIncrement......................................................................40 SECTION E: A DESCRIPTION OF SPECIFIC PROJECTS THE AGENCY MAY PURSUE AND A DESCRIPTION OF HOW THE PROPOSED PROJECTS WILL IMPROVE OR ALLEVIATE BLIGHTING,CONDITIONS IN THE PROJECT AREA...................................................................41 i Non Housing Fund........... ....................................................................................41 Public Facilities and Infrastructure..................................................................................................41! Obsolete Design or Construction........................................................:...........................................42E Physical Characteristics Remediation .......................................... ..............................................42i Deterioration and Dilapidation........................................................................................:...............43 CrimeRates...................................................................................................................................43, HousingFund.............................................................................................................................. ProjectCosts................................................................................................................................44 Summary.......:............................................................................................................................. SECTIONF: IMPLEMENTATION PLAN.......................................................................................45 SECTION G: NEIGHBORHOOD IMPACT REPORT.....................................................................46 - Relocation.....................................................................................................................:..............46 TrafficCirculation...............................................................................:........................................46 EnvironmentalQuality.................................................................................................................46- Availability of Community Facilities and Services Effect on School Population and Quality of Education.............................................................47 PropertyTaxes and Assessments............................................................:.................................47 Lowand Moderate Income Housing Program.......................:................,....................................47 APPENDIX A: IMPLEMENTATION PLAN ..........................:.........................................................49 r r CITY OF GRAND TERRACE COMMUNITY REDEVELOPMENT AGENCY INTRODUCTION The City of Grand Terrace Community Redevelopment Agency("Agency")is proposing a Sixth Amendment to the Redevelopment Plan for the Grand Terrace Community Redevelopment Project ("Sixth Amendment" or Plan Amendment"). If approved, the Sixth Amendment will modify time and financial limits of the Redevelopment Plan for the Grand Terrace Community Redevelopment Project Area("Redevelopment Plan") by: 1. Increasing the cumulative tax increment revenue limit in the redevelopment plan from $70 million (net of taxing agency payments)to approximately$225 million(net of taxing agency payments); 2. Increasing the limit on the amount of bonded debt that may be outstanding at any one time in the redevelopment plan from$15 million to approximately$75 million; 3. Pursuant to California Community Redevelopment Law, Health and Safety Code Section 33000, et. seq.2("Redevelopment Law") Sections 33333.6(a), 33333.6(b), and 33333.6(e)(2)(C), extending the effectiveness of the redevelopment plan and time limit to collect tax increment revenue by the following time frames: a. Original Grand Terrace Community Redevelopment Project Area ("Original Area") — extending plan effectiveness from July 15, 2017, to September 27, 2022, and time limit to collect tax increment from July 15,2027, to September 27,2032; b. Area added by the first amendment to the Grand Terrace Community Redevelopment Project Area("Added Area")—extending plan effectiveness from July 15, 2017, to July 15, 2024, and time limit to collect tax increment from July 15,2027,to July 15,2034; 4. Rescinding Agency's authority to commence eminent domain within the Project .Area, -effective immediately following the effectiveness of the ordinance adopting the Sixth Amendment. 5. Replacing the description of land uses in the redevelopment plan (as previously contained in Section IV. Uses Permitted in the Project Area, pp. 33-42) with language that directly refers to the City's General Plan, zoning ordinance, and other applicable land use policies and standards, as they exist today or are hereafter amended;and 6. Amending and restating the redevelopment plan to incorporate the prior amendments into a single document. This Sixth Amendment is being proposed because the current limits will not allow the Agency to implement the projects and programs necessary to alleviate blight within the Project Area as described herein. It is estimated that the current financial limits of the Redevelopment Plan will only allow the Agency to collect tax increment revenue until fiscal year 2011-12 (based on conservative projections of assessed value growth)and all of that revenue Is already pledged to outstanding obligations. Without this Sixth Amendment, the Agency'will be unable to fund the projects and programs'that are necessary to , eliminate remaining blight. The increase in the bonded indebtedness limit and extension of the time limits for the Redevelopment Plan effectiveness and collection of tax increment are necessary to enable the Agency to issue bonds.secured by future revenues to fund these projects and programs when they are needed, rather than waiting to collect sufficient revenue to fund them. Based on the revenue projections presented in Table D-1, it would take the full duration of the extension of the time limits to the Plan, described above, for the Agency to collect sufficient revenue to complete the proposed projects listed in Table E-1. Replacing the description of land uses in the Redevelopment Plan, as described above, will allow the Redevelopment Plan to stay current with the City's land use policies and standards without the need for further amendment of the Redevelopment Plan. 9 1 nQ i i CITY OF GRAND TERRACE COMMUNITY REDEVELOPMENT ,AGENCY This document is the Preliminary Report ("Report") on the proposed Sixth Amendment. It provides background on the Grand Terrace Community Redevelopment Project Area("Project Area")and a description of the Sixtfi Amendment. It explains why the Sixth Amendment is being proposed and what it will accomplish. This Report is one of several documents prepared as part of the plan amendment process required by the Redevelopment Law. REPORT CONTENTS This Report has been prepared by the Agency in accordance with Redevelopment Law. Consistent with Sections 33344.5 and 33451.5 of Redevelopment Law, this Report contains the following: Section A: Reasons for Amending the Redevelopment Plan Section B: A Description of the Blighting Conditions Present in the Project Area; Section C: A Determination as to Whether the Project Area is Predominantly Urbanized;.' Section D: A Preliminary Assessment of the Proposed Method of Financing the-Plan Amendment, Including the Economic Feasibility of the Plan and the Reasons for the Inclusion of Tax Increment Authority; Section E: A Description of the Projects the Agency May Pursue in the Project Area and a Description;'of How the Proposed Projects Will Improve or Alleviate the Blighting Conditions in the Project Area; Section F: Implementation Plan; and Section G: Neighborhood Impact Report PLAN AMENDMENT PROCESS -- Redevelopment Law dictates a specific process for redevelopment plan amendments. This Report is one of several documents that Redevelopment Law requires the Agency to prepare during the plan amendment process, and is intended to aid the general understanding of the proposed Sixth Amendment. Over the next several months, the City Council, the Planning Commission, affected taxing agencies, and the community at large will have an opportunity to study and comment on the proposed Sixth Amendment. This Report will be considered by the Agency Board; if approved, the Agency will send a copy of this Report and draft text of the Amended and Restated Redevelopment Plan to the affected taxing entities,the California Department of Housing and Community Development, the California Department of Finance, and the Planning Commission. Later, the Agency will prepare a final Report to the City Council pursuant to Sections 33352, 33451.5 and 33457.1 of the Redevelopment Law. In addition, an Environmental Impact Report will,be prepared .and circulated for,review in accordance with the requirements of the California Environmental Quality Act.The Sixth Amendment and all supporting documents will be considered by the Agency Board and City Council at a joint public hearing that is anticipated to occur in April 201.0.All Project Area property owners and affected taxing agencies will receive notice of this public hearing by mail and through the publication of public notices in local newspapers.Adoption of the Sixth,Amendmentis anticipated to occur in May 2010. - a 2 ri(i SECTION A: REASONS FOR AMENDING THE REDEVELOPMENT PLAN Without the Sixth Amend Tent, the Agency will be unable to conduct any further redevelopment activities in the Project Area. Nearl�all of the tax increment revenue the Agency will receive under the current Redevelopment Plan limits is already committed to existing obligations. Because the City's general fund revenue is insufficient to fund the projects and programs described herein, the remaining blight in the Project Area cannot be remedied without the Sixth Amendment. PROJECT AREA LOCATION AND LAND USE The Project Area includes the entire city limits of City of Grand Terrace.A map of the Project Area'is provided as Exhibit A-1. According to the City's General Plan, the Project Area is approximately 2,255 acres and is comprised of two parts: an initial 640-acre Project Area established by City Council on September 27, 1979 and the remainder of the City which was added into the Project Area by an amendment adopted on July 15, 1981.The Project Area is primarily residential and undeveloped property.Table A-1 displays.the types of land uses with the Project Area by acreage. Grand Terrace CommunitItRedevelo ment Pro'ect Area Lan Use % � of Totaf. Single Family Residential 838.8 37.30/4 Multiple Family Residential 113.1 5.0% Commercial 67.2 3.0% Industrial 144.0 6.4% Institutional 32.2 1.4% Public 103.3 4.6% Open S aceNacant 604.0 26.8% Streets and Railroad R/W 353.0 15.5% 2 55:11i. 100.W% Source:Administrative Draft Grand Terrace General Plan, 1/1 712 0 0 8 PROJECT AREA HISTORY AND BACKGROUND Development of Grand Terrace began with the construction of the Gage Canal in 1896 (the area was known as East Riverside at the time). This 22-1/2 mile canal, built at a cost of 2 million dollars, brought water from the Santa Ana River marshlands below The Terrace. With plenty of irrigation water, Grand Terrace rapidly became an agricultural community featuring fine, quality citrus. However,the severe freeze of 1913 destroyed many groves. Walnuts, a hardier tree, were planted as replacements along with.peaches as a quick-profit crop. In 1962, the Grand Terrace Chamber of Commerce was organized. From the very beginning the Chamber was interested in preserving the local identity of the area, and therefore, was a strong supporter of cityhood. The city was officially formed November 30, 1978, when the City Council had its first meeting at Terrace Hills Middle School and became the 16th City in San Bernardino County. The 2,255-acre Project Area is comprised of two parts: an initial 640-acre Project Area established by City Council Ordinance No. 25 on September 27, 1979 and the remainder of the City which was placed into the Project Area by an amendment to the Redevelopment Plan enacted by Ordinance No. 52 on July 15, 1981, As the entire City limits are located within the Project Area, the Grand Terrace Community Development§ Agency can embark on infrastructure, economic development, affordable housing, and other initiatives to mitigate blight in the community. o 3 S1 i Redevelopment in the Project Area has assisted in the development of much of the City's public infrastructure, preservation of the community's supply of affordable housing and development of new affordable residential properties, and expansion of recreational and community facilities.The Agency provided funding for the renovation of Rollins Park, realignment and a traffic signal for the intersection of Iowa Avenue and Main Street, city street sign replacement, and acquisition of 60 acres of land for construction of a high school and commercial retail development A description of additional Agency accomplishments is included in the Implementation Plan in Appendix A. i GOALS OF THE REDEVELOPMENT PLAN This Plan is intended to achieve the following goals: p 1. Eliminate and prevent the spread of blight and deterioration and to conserve,rehabilitate,and redevelop the Project Area in accordance with this Plan and future Annual Work Programs. 2. Provide for the enhancement and renovation of businesses within the Project Area to promote their.I economic viability. 3. Stimulate investment of the private sector in the full development of the Project Area. 4. Promote public improvement facilities,which are sensitive to the unique environmental qualities of the Project Area. 5. Provide adequate roadways to correct street alignment problems,to provide adequate circulation and access to highways. 6. Encourage cooperation and participation of property owners,business persons, public agencies, and community organizations in the revitalization of the Project Area. 7. Provide needed improvements to the community's recreational,cultural,and other community facilities to better serve the Project Area. 8. Expand the resource of developable land by making underutilized land available for development. 9. Renovate and restore sites characterized by deficiencies including, but without limitations, conditions of soil that render private development infeasible or impractical. 10. Achieve an environment reflecting a high level of concern for architectural, landscape, and urban design principles appropriate to the objectives of this Plan. 11. Create physical buffers,which ameliorate the adverse effects of changing land uses along interfaces. 12. Provide low and moderate income housing as is required to satisfy the needs and desires of the various age and income groups of the community, maximizing the opportunity for individual choice, and meeting the requirements of State Law. i CURRENT CONDITIONS Despite the Agency's efforts, the Project Area continues to suffer from physical and economic blighting conditions,including: ■ Inadequate Public Improvements ■ Obsolete Design or Construction ■ Laying Out of Lots in Disregard to Physical Characteristics ■ Deteriorated and Dilapidated Buildings ■ Areas of High Crime These blighting conditions are described in detail in Section B of this Report. Redevelopment is necessary to alleviate these blighting conditions. 9 14 5; REASONS FOR AMENDING THE REDEVELOPMENT PLAN Since the Project Area's adoption in 1979, the Agency has completed many successful redevelopment 0 projects but further redevelopment is necessary to address significant remaining blight within the Project Area. Vacant and undeveloped property in the southwestern portion of the Project Area remain due to inadequate public infrastructure and physical conditions that hinder development, as well as the presence of obsolete buildings that must be demolished before the site can be reused. Deterioration and dilapidation have rendered some buildings in the Project Area unsafe or unfit for use. The presence of numerous crime hotspots in the western portion of the Project Area creates a burden on the rest of the community by demanding a disproportionate share of-police and code enforcement resources. A detailed description of remaining blight is contained in Section B of this Report. The Sixth Amendment is necessary to secure the financial and administrative tools that will enable the Agency to implement proposed projects that are necessary for the elimination of.blight. The proposed Sixth Amendment is necessary to give the Agency the financial and administrative resources necessary to alleviate blight and cant' out the goals of the Redevelopment Plan. Increasing the Tax Increment Limit The current limitation on the amount of tax increment revenue that may be allocated to the Agency leaves virtually no revenue for additional projects and programs. The Agency will be unable to undertake any redevelopment activities unless this limit is increased. The cost of proposed projects, which total approximately $27 million, exceeds the available revenue within the Redevelopment Plan's current financial limits (estimated at $3.3 million), by approximately $23.7 million (not accounting for inflation, financing or administration costs). The existing Redevelopment,Plan permits the Agency to collect $70 million in tax increment generated by the Project Area, net of pass through payments to affected taxing agencies pursuant to reimbursement agreements. The existing Redevelopment Plan also establishes the time limit to collect tax increment (July 15, 2027 for both the Original and Added Areas, pursuant to Amendment No. 5). As described in Section D of this Preliminary Report, it-is estimated.that cumulative tax increment for the Project Area will reach this $70 million cap in fiscal year 2011-12, which is approximately 15 years prior to the time limit to collect tax increment pursuant to the existing Redevelopment Plan. The chart below illustrates this shortfall in revenue available to fund proposed projects based on current Redevelopment Plan limits and the estimated cost of proposed projects and programs that will help eliminate blight. Exhibit A4: Revenue Shortfall for Proposed Projects $30,000,000 $27,021,000 ;Ra $20,000.000 r <a�^ i' '•' 7r $15,000,000 s, $10,000,000 e $5,000,000 i $0 Projected Revenue with Current Lim its Total Costof Proposed Projects e 5 A more detailed financial analysis is included in Section D of this Report. Increasing the limit on the amount of tax increment the Agency may collect to $225 million, net of pass through payments to affected taxing 4 agencies pursuant to reimbursement agreements, will ensure that sufficient funding may be received to fund proposed projects. Increasing the Bonded Indebtedness Limit The Agency needs to increase the Redevelopment Plan's bonded indebtedness limit in order to secure advanced funding to implement redevelopment projects in a timely manner. The,current bonded indebtedness limit is $15 million. The Sixth Amendment would increase this limit to $75 million, commensurate with the increase in the amount of tax increment that may be received: Bonds give the Agency maximum financial capacity and flexibility to fund redevelopment projects at the time they are needed, rather than wait for tax increment revenue to accumulate over a long period of time.Without the capacity to issue additional debt, the Agency's ability to eliminate remaining blight in the Project Area will be severely hindered. Bonds and all other forms of Project Area indebtedness are,repaid with tax increment revenues generated from the Project Area up to ten years after the effectiveness of the Redevelopment Plan expires. The Agency currently has $8 8 million of outstanding bonded indebtedness. Rescinding Agency's Eminent Domain Authority The proposed Sixth Amendment would also rescind and eliminate the current authority of the Agency to commence eminent domain within the Project Area. The Agency does not foresee the need to retain eminent domain in the Project Area as there are no plans to acquire any property by eminent domain over the duration of the Redevelopment Plan. The rescinding of this authority would be effective immediately following the effectiveness of the ordinance adopting the Sixth Amendment. Extending the Duration of the Redevelopment Plan The Agency is proposing to extend the effectiveness of the Redevelopment Plan in the Original and Added Areas by the following time periods: • Original Area— Extend Plan effectiveness by five years from July 15, 2017 to September 27, 2022, and the duration to collect tax increment revenue within the Original Area to September 27, 2032; and • Added Area—Extend Plan effectiveness by seven years from July 15, 2017 to July 15, 2024, and the duration to collect tax increment revenue within the Added Area to July 15, 2034. The Agency is extending the duration of the Redevelopment Plan for the Original Area and the Added Arealas allowed under different provisions of the Redevelopment Law. In 1993, twelve years after the Agency established the July 15, 2016 termination of the then-Redevelopment Plan's effectiveness for both the Original and Added Areas, Redevelopment Law was amended to allow existing redevelopment plans to have a duration of 40 years from the date the project area (or added area) was established. Statewide, many redevelopment plans were amended to this longer duration, but in the Agency's case, the constraining tax increment limit made such time limit extensions virtually useless without an increase in financial limits;as proposed now with the Sixth Amendment. Subsequently, the Redevelopment Law's limits on many redevelopment plans were modified twice as a result of the state's taking of redevelopment funds over a three year period. As a result of these amendments redevelopment plans eligible for these extensions could be amended by simple ordinance, resulting in first.the addition of one yea; to the plan's effectiveness, and again by up to two additional years. Of these two additional time limit opportunities, the Agency has only taken advantage of the first one-year extension when the Fifth Amendment was adopted by Ordinance No.212 on July 22, 2004. Consequently, the duration of.the existing Redevelopment Plan's effectiveness may be amended a second time for the state's taking of redevelopment funds by two additional years for both the Original and Added Area. 6 1 5' The effectiveness of the Amended Plan would therefore be a total of 43 years from the date the Original Area and Added Area were established, or to September 27, 2022 and July 14,2024, respectively. Redevelopment Law also allows redevelopment agencies to collect tax increment revenue for ten additional years beyond the effectiveness of a redevelopment plan. With the extensions to the Plan effectiveness described above, the Sixth Amendment establishes longer periods to collect tax increment revenue for the Original and Added Areas,to September 27,2032 and July 14, 2034, respectively. Without the extension of the Redevelopment Plan duration described above, the Agency will not be able to undertake any of the projects planned to eliminate blight in the Project Area r(as described in Section E)that have not already been completed. Additionally, the Agency's ongoing programs will cease and any City �} programs that rely on Agency funding (such as code enforcement and economic development)will lose that funding. Any blight in the Project Area as of the expiration date .will remain until the City can generate the necessary funds through other revenue sources. Replacing the Description of Land Uses The Agency needs to modify the description of land uses in the Redevelopment Plan to eliminate any conflicts between the Redevelopment Plan and the City's General Plan,zoning ordinance, or other applicable land use policies and standards. Currently, the Redevelopment Plan includes a list of the land uses allowed in the Project Area and the development standards associated with each land use. Any changes to the City's General Plan, zoning ordinance, or other applicable land use policies and standards could result in a conflict between the land uses and standards allowed by the City and the land uses and standards allowed by the Redevelopment Plan. The only way to change the land uses and standards allowed by the Redevelopment Plan is to amend it. By directly referring to the City's General Plan and land use policies and standards within the Redevelopment Plan, as they exist today or are hereafter amended, the Agency can eliminate the potential need to further amend the Redevelopment Plan to comply with the City's General Plan. Amended and Restated Redevelopment Plan The Agency is proposing an Amended and Restated Redevelopment Plan in order to incorporate the original Redevelopment Plan and all subsequent amendments into one document. All of the previous redevelopment plans and_6amendments will be amended and superseded by the proposed Amended and Restated Redevelopment Plan. a 7 SECTION B: A DESCRIPTION OF THE BLIGHTING CONDITIONS PRESENT IN THE PROJECT AREA I INTRODUCTION Many of the properties in the Project Area are no longer blighted. These non-blighted parcels are still necessary to be included in the Project Area because the blighted areas alone do not generate sufficient revenue to fund the projects and programs necessary to eliminate the'remaining blight in the Project Area. The entire Project Area will benefit from the removal of the remaining blight. I - While the Agency has successfully alleviated blight in the Project Area, physical and economic blighting conditions still exist—primarily concentrated in the western portion of the-Project Area. Inadequate public streets and storm drain improvements impair the development of the Southwest Commercial Site (described later in this report) and will lead to high traffic volume and unsafe pedestrian access when the new high school is completed on Main Street. Obsolete design and construction is most evident in the closed Highgrove Generation Station but is also present in other buildings in the weste_m portion of the Project Area. There are deteriorated and dilapidated buildings in the western portion of the Project Area that are unfit or.- unsafe for use. The laying out of lots in disregard for physical characteristics has resulted in public improvement deficiencies related to stormwater storage requirements on the Southwest Commercial Site. In addition, certain hotspots of crime in the Project Area are a burden on the City by demanding a disproportionately large portion of police and code enforcement resources. The blighting conditions still remaining in the Project-Area include: ■ Inadequate Public Improvements ■ Obsolete Design or Construction ■ Laying Out of Lots in Disregard to Physical Characteristics ■ Deteriorated and Dilapidated Buildings ■ High.Crime Rates The Redevelopment Plan was adopted in 1979 to address the blighting conditions present in the Project Area as defined by Redevelopment Law at the time. The Redevelopment Plan was amended in 1981 to add the remainder of the City to the Project Area. The definition of a blighted area at the time the Redevelopment Plan was adopted was as follows(Redevelopment Law Section numbers provided): 33031. A blighted area is characterized by the existence of buildings and structures, used or intended to be used for living, commercial, industrial, or other purposes, or any combination of such uses, which are unfit or unsafe to occupy for such purposes and are conducive to ill health, transmission of disease, infant mortality, juvenile delinquency, and crime because of any one or a combination of the following factors: (a) Defective design and character of physical construction. (b) Faulty interior arrangement and exterior spacing. (c) High density of population and overcrowding. (d) Inadequate provision for ventilation, light, sanitation, open spaces, and recreation facilities. (e) Age,obsolescence, deterioration,dilapidation, mixed character,or shifting-of uses. 33032. A blighted area is characterized by properties which suffer from economic dislocation, deterioration; or disuse because of one or more of the following factors which cause a reduction of, or lack of, proper utilization i of the area to such an extent that it constitutes a serious physical, social, or economic burden on the S community which cannot reasonably be expected to be reversed or alleviated by private enterprise action alone: (a) The subdividing and sale of lots of irregular form and shape and inadequate size for proper usefulness and development. 8 5 (b) The laying out of lots in disregard of the contours and other topography or physical characteristics of the ground and surrounding conditions. (c) The existence of inadequate public improvements, public facilities, open spaces, and utilities which cannot be remedied by private or governmental action without redevelopment. (d) A prevalence of depreciated values, impaired investments, and social and economic maladjustment. Article 12 of the Redevelopment Law, which grants the Agency authority to amend its Redevelopment Plan, requires a description of the blight remaining in the Project Area. Blight findings may be made pursuant to the Redevelopment Law as it read when the Redevelopment Plan was adopted (described above) or based on the current definition of blight.The current definition of blight is as follows: 33031. Physical and economic blight. (a) This subdivision describes physical conditions that cause blight: 1. Buildings in which it is unsafe or unhealthy for persons to live or work.These conditions may be caused by serious building code violations, serious dilapidation and deterioration caused by long-term neglect,construction that is vulnerable to serious damage from seismic or geologic hazards,and faulty or inadequate water,or sewer utilities. 2. Conditions that prevent or substantially hinder the viable use or capacity of buildings or lots.These conditions may be caused by buildings of substandard,defective, or obsolete design or construction given the present general plan,zoning,or other development standards. 3. Adjacent or nearby incompatible land uses that prevent the development of those parcels or other portions of the project area. 4. The existence of subdivided lots that are in multiple ownership and whose physical development has been impaired by their irregular shapes and inadequate sizes,given present general plan and zoning standards and present market conditions. (b) This subdivision describes economic conditions that cause blight: 1. Depreciated or stagnant property values. 2. Impaired property values,due in significant part,to hazardous wastes on property where the agency may be eligible to use its authority as specified in Article 12.5(commencing with Section 33459). 3. Abnormally high business vacancies,abnormally low lease rates,or an abnormally high number of abandoned buildings. 4. A serious lack of necessary commercial facilities that are normally found in neighborhoods, including grocery stores,drug stores, and banks and other lending institutions. 5. Serious residential overcrowding that has resulted in significant public health orsafety problems.As used in this paragraph, "overcrowding"means exceeding the standard referenced in Article 5 (commencing with Section 32)of Chapter 1 of Title 25 of the California Code of Regulations. 6. AA excess of bars, liquor stores,or adult-oriented businesses that has resulted in significant public health,safety,or welfare problems. 7. A high crime rate that constitutes a serious threat to the public safety and welfare. Pursuant to Section 33368 of the Redevelopment Law, the decision of the City Council to pass the Ordinances adopting and amending the Redevelopment Plan was final and conclusive and thereafter the Project Area shall be conclusively presumed to be a blighted area as defined by Section 33031 or Section 33032. 9 S7 i 6 METHODOLOGY AND APPROACH Several data sources were used to determine whether blight remains in the Project Area. This Report utilizes many quantitative and qualitative research tools developed by RSG to make determinations for the formation of,and amendments to, redevelopment project areas throughout the state. Specifically,the methodology used to determine blighting conditions are as follows:, ■ Field Reconnaissance: Trained staff conducted a parcel-by-parcel field survey of the Project Area 'on January 14, 2009, documenting and photographing examples of blighting conditions that could be observed from the public right-of-way. Both physical and economic indicators of blight were noted, such as deterioration and dilapidation, possible abandoned buildings,and crime such as vandalism and graffiti. • Property Tax Research: RSG searched the County Department of Tax Collection and Licensing's Property Tax Bill Information System to use as an indicator that a vacant and neglected building.is abandoned. . ■ Investigation of Development Standards: RSG reviewed the City's General Plan and Zoning Code;to identify development standards. This information was used as a basis to determine whether properties have conditions that hinder economically viable use or have irregular shapes and sizes for proper usefulness and development. ■ Investigation of Infrastructure Deficiencies: RSG met with City and Building and Safety Department staff to determine if any infrastructure deficiencies or other conditions are hindering development in the Project Area.The General Plan and the Environmental Impact Report for the General Plan were also reviewed to determine if any significant infrastructure deficiencies exist in the Project Area. ■ Analysis of Property Information: RSG used First American Title Metroscan Information Service to obtain County Assessor's data on property information such as parcel shape, size, ownership, assessed value and land use. Parcel location, shapes, sizes and other information was also available from GIS files provided by the City. RSG utilized this information in the analysis of existing.Project Area conditions. ■ Land Use Analysis: RSG analyzed existing land uses and spoke to local real estate brokers to identify adjacent or nearby incompatible land uses within the Project Area that prevent economic development., ■ Crime Analysis: RSG collected information from the San, Bernardino County Sheriffs Department ("Sheriff')and interviewed Lieutenant Newcombe of the Sheriffs Department to assess how crime may be affecting the'Project Area. i FINDINGS Blighting conditions that were originally identified at the time of the adoption of the redevelopment plans.for the Original and Added Areas that were found to 'remain in the Project Area at the time of this Sixth Amendment include: ■ Inadequate Public Improvements ■ Obsolete Design or Construction • Laying Out of Lots in Disregard to Physical Characteristics • Deteriorated and Dilapidated.Buildings . ■ High Crime Rates Pursuant to the Redevelopment Law, the location of these conditions is illustrated in Exhibit B-1. Exhibit B-1 also depicts parcels within the Project Area that are no longer blighted. I 0 10 S1 Y i .,J •`ll:� ! '._, i' ,c l,i.i,;'i;",11J1 ii 1 r C,E J :L ,W 112 1 i (i.,i_( zf _ EXHIBITS-1 J Inadequate IMrasbucture Substandard Building Maten" Poorly Constructed Addlicns 1 4d Garbage,Debrrs,Stegner*H2O 6 Combustible Matter Outdoor St Me Production Multiple F; ' ric 8lghting Cond'dions, Converted Lmrq Spam . J Faulty Weather Production Broken Wlndova . Exposed W nng Broken Detarrated Reding Der aged Exterwr Budding Materets Multiple Phy"Bbghbv Curiftons Unbkghted Parcels I N i 0 0.15 0.3 0.6 Miles u 11 59 r Inadequate Public Improvements The existence of inadequate public improvements, public facilities; open spaces, and utilities which cannot be remedied by private. or government action without redevelopment is a condition of economic blight per Redevelopment Law Section 33032(c) as it read in 1979 and in 1981, when the Original and Added Areas were adopted. The southwest portion of the Project Area has numerous properties that are unlikely to see development'without the Agency investing in public improvements. Southwest Commercial Site For more than two decades, the City has been trying to develop a number of vacant properties in the southwestern portion of the Project Area adjacent to Interstate 215 ("Southwest Commercial Site"). However, significant infrastructure needs have contributed to the lack of development. The City's 1988 General Plan update changed the land use designations of the site to allow a large portion of the Southwest Commercial Site to be developed with light industrial uses. This change from the 1983 General Plan was made because the shopping center project originally considered for this area did not prove to be a viable project as it was hampered by market and access deficiencies. Within the past eight years, the City tried to implement the Outdoors Adventure Center specific plan on this site. The City Council approved the specific plan but the developer withdrew from the project because the freeway access to the site was insufficient. { r - i a 12 6t �' .i• '4`'>+','�- C.. r ,p0-'.;,�g,,a" '�T• ,,. ,tt... . 1�lt.,f.o�; - n�'!If s t -k1 - De Berry st �°e 9*"s' 8mry St I$. r� 'tilN�Jjut: { �, 1 ,(yt.f J•t' err.• " '�Iu¢.` ^•,;_-.;' '`�1�F1.^��e t MnvvsQ An � .r _��'''�`�'••::;,' -'�-� •tr !`.,�'D7le�• "( ; Vi ' °f �:;fir++, eY.3✓',ti^:�;, d:':�'^1• I -4 �j3ir '<� .. 'd'<'rr�' :�'JU+k•iN �y'.S.' k''� i.� ' ° •. ,,•{,y, `•f �,,r D 5. ` ( �Mr � Y�.�'J.�"r-:�,ry�i'!^ F,41` ,��•�Y•\•�•••l •j.�l'y r • i � '3.. .s aWe[?•' 4. •r.• n° �}- •±*���3•`i�-� a p.. ;1 •i•., � _ i y�p� Ertw/tld SI r�i, tea; ��H ���' <6 �" 1r�l,yryo(1' 'N„ •� S, -, ti. •li1>C:As.• ...•, � )1'�F�tJ "� •RQ r•i r:y ' C� �Vl• 'j NVI�,� <��� ff �-n4}. <•+•t:r:.aL'Y--1r':.�-.� t e.. :?•-r• t r.- '�>/' �' F�f j 4 34 j• nk }P i X �..Fr.:�"�'•�:�'a:-P;tt '7�'i� `�� r' s �� < '•�. •� i ^'if�}:K7�;'.f7�°_•_:6f"��.lt i+, Yl f. �� •C� .t•.'y� __ - .E.c l".c,r<ijl'�`3l^ J"•3j-t'•:. iC; - pg"i L J;Mt Z.,,/ �� 4 < �y_ "►a" Y' .;cam _ ,� ,} '( ice t -t _ } � •r."�` N l''�"d-�`'g^„ •�•' yYk' I` `,` RR If Tang,SI Yen waySt �Mecl St• +.•r2 ......-.y?�f-:.ii•�•ir��,y,�F"+,cy,,,,yY:7=._ .�_:NF.Ir^w zsftttt°� �iE�-�e�?� ii.0:ate.rir+aeG.lfa�icv��$)• .. __ _ —J.�j f:��i'T Photo B-1:An aerial view of the Southwest Commercial Site According to the City's Building and Safety department, the Southwest Commercial Site contains approximately 4 acres of wetlands that will need to be maintained onsite. In addition, development of the Southwest Commercial Site will require retention basins on the site and significant storm drain improvements along De Berry, Van Buren, and Pico Streets. The retention basins and wetlands areas will reduce the amount of developable land on the site by approximately four acres; land which must be purchased but which cannot be resold. A private developer would be unlikely to assume this loss and therefore public investment would likely be required. However, the City does not have the financial capacity to purchase these undevelopable areas or to provide developer subsidies to make the site viable and therefore, redevelopment assistance is vital.While the storms drain improvements would be constructed underneath roadways, the cost of the improvements would need to be funded by the Agency. l 5 13 �1 Another infrastructure need impeding the development of the Southwest Commercial Site is lack of access. San Bernardino Association of Governments, Caltrans, and the City are working to replace the Interstate 215 interchange at Barton Road, but the local streets that would provide access to the site are inadequate to accommodate the increased traffic volume that would result from the development of the site. Van Buren Street and Pico Street are both currently two lane roadways and, according to the City's Building and Safety Director, would need to be upgraded to their ultimate cross section, which includes curb, gutter and storm drain improvements to accommodate the increased traffic volume that would result from development of the Southwest Commercial Site. Traffic signals would be required where Van Buren Street and Pico Street intersect Michigan Street. Additionally, primary access to the Southwest Commercial Site is proposed to be an extension of Commerce Way from its current terminus to Main Street. These infrastructure deficiencies result in a significant deterrent to development. According to an analysis performed by RSG, there is a significant funding gap between the actual cost of developing the Southwest Commercial Site and the expected return on investment to a private developer. To assess the likely funding gap, RSG conducted a pro forma analysis of building costs and project value under two hypothetical development scenarios: a regional shopping center and an industrial flex development. In both scenarios, a 60-acre site was identified for the development. Access to the site was assumed to be along Van Buren Street and Pico Street from within the City and along the proposed extension of Commerce Way to Main Street from Interstate 215. Off-site improvements include widening and improving Van Buren and Pico Streets, the Commerce Way extension, traffic signals where Michigan Street intersects Van Buren Street and Pico Street, storm drains and retention basins to mange the flow of runoff, and wetlands mitigation. On-site improvements include parking, landscaping, and loading areas, and the cost is based on Marshall & Swift average construction costs in San Bernardino. Direct construction costs are also based on Marshall &Swift costs. Market value of land and gross scheduled rents are based on lease rates for comparable properties listed on Loopnet. The site design is hypothetical and not based on any City or developer plan or document. Exhibit B-2 provides a summary of assumed development standards and costs. r' 14 D 62 Exhibit B-2: • • , . • • • PROJECT DESCRIPTION Regional Shopping Center Gross Site Area Square Feet 2,623,183 Gross Site Area Acres (excluding right-of-way) 60.22 Nonbuildable Square Feet (See B-2) 418,612 Nonbuildable Acres (See B-2) 9.61 Developable Site'Area (Square Feet) 2,204,572 Developable Site Area (Acres) 50.61 Lot Coverage 0.25 Gross Building Area(GSF) 551,143 Net Building Area 551,143 On Site Landscaping, Parking& Loading Area 1,653,429 Landscaping Area 0 RESIDUAL LAND VALUE Assumptions Totals $Per GSF Development Costs Direct Construction $103.69/gsf $ 57,149,330 $ 103.69 On-Site Improvements $4.55/sf 7,522,429 13.65 Off-Site Improvements $3.33/sf 7,340,000 13.32 Indirect Costs (including.Financing)@15% $17.60/gsf 9,700,764 17.60 Total Development Costs Excluding Land $ 81,712,523 $ 148.26 Capitalized Project Value Gross Scheduled Rents $2.00lsf(nnn) $ 13,227,430 $ 24.00 (Less)Vacancy and Bad Debt 8.50% (1,124,332) (2.04) Effective Gross Income(EGI) $ 12,103,098 $ 21.96 (Less)Operating Expenses Management Expense& Fees 4.50% EGI $ (544,639) $ (0.99) Reserves $0.15/gsf (82,671) (0.15) Total Operating Expenses (627,311) (1.14) Net Operating Income(NOI) $ 11,475,787 $ 20.82 Capitalized Project Value 11% Cap Rate $ 104,325,339 $ 189.29 (Less)Cost of Sale 3% Value (3,129,760) (5,68) (Less)Developer Profit 10% Value (10,432,534) (18.93) Total Warranted Investment ' 90,763,044 ' 164.68 (Less)Development Costs $ (81 712,23) $$ (148.26) Residual Warranted Investment $ 9,05,0 522 $ 16.42 Residual Value per SF Land $ 3.45 Source: Marshall&Swift, City of Grand Terrace, Loopnet 15 F2 r The Residual Value per SF Land shown at the bottom of Exhibit B-3 is the projected value of the underlying land after the proposed project is complete. This is well below the market value of the land based on real estate listings in the City (approximately $14 per square foot according to comparable real estate listings on Loopnet.com as of March 10,2009).As a result, this project is likely not economically feasible without Agency assistance. Exhibit B-3 provides a summary of assumed development standards and costs of an alternate development scenario.This second scenario includes the development of industrial flex space. a I I I I 16 6d Exhibit B-3: • • , . • • • PROJECT DESCRIPTION lndush lal Flex Buildings Gross Site Area Square Feet 2,623,183 Gross Site Area Acres (excluding right-of--way) 60.22 Nonbuildable Square Feet (See B-2) 418,612 Nonbuildable Acres (See B-2) 9:61 Developable Site Area (Square Feet) 2,204,572 -' Developable Site Area (Acres) 50.61 Lot Coverage 0.40 Gross Building Area(GSF) 881,829 Net Building Area 881,829 On Site Landscaping, Parking& Loading Area 1,322,743 Landscaping Area 0 RESIDUAL LAND VALUE Assumptions Totals $Per GSF Development Costs Direct Construction $49.42/gsf $ 43,576,444 $ 49.42 On-Site Improvements $4.55/sf 6,017,943 6.82 Off-Site Improvements $3.33/sf 7,340,000 8.32 Indirect Costs (including Financing)@15% $8.44/gsf 7,439,158 8.44 Total Development Costs Excluding Land $ 64, 337 ,545 $ 73.00 Capitalized Project Value Gross Scheduled Rents $1.00/sf(nnn) $ 10,581,944 $ 12.00 (Less)Vacancy and Bad Debt 8.50% (_899_465) (1.02) Effective Gross Income(EGI) $ 9,682,478 $ 10.98 (Less)Operating Expenses Management Expense& Fees 4.50% EGI $ (435,712) $ (0.49) Reserves $0.15/gsf (132,274) (0.15) Total Operating Expenses (567,986) (0.64) Net Operating Income(NOI) $ 9,114,493 $ 10.34 Capitalized Project Value 11% Cap Rate $ 82,859,024 $ 93.96 (Less)Cost of Sale 3%Value (2,485,771) (2.82) (Less)Developer Profit 10% Value (8,285;902) (9.40) Total Warranted Investment 72,087.351 ' 81.75 (Less)Development Costs $$ (64 ,545) $ (73.00) Residual Warranted Investment $ 7,713,806 $ 8.75 Residual Value per SF Land $ 2.94 Source: Marshall &Swift, City of Grand Terrace, Loopnet i 17 �r; i The residual land value in Exhibit B-2 Is slightly less than in Exhibit B-3 and therefore significantly below the market value for land in Grand Terrace. Without redevelopment investment, this land is likely to remain undeveloped. 9 In addition to the infrastructure deficiencies of the Southwest Commercial Site, portions of the'site contain wetlands. According to the Building and Safety Department, the wetlands would require mitigation that would increase the costs of developing the site and therefore be a disincentive to prospective developers and contribute to the lack of development of the property. The City has been attempted to encourage development on the Southwest Commercial Site for more than twenty years, but market conditions and insufficient site access'have made all previous projects non-viable. Without the ability to invest redevelopment funds to facilitate the development of the site, it.is likely to remain vacant and underutilized. Main Street and Michigan Street Improvements The current condition of Main and'Michigan Streets presents a safety hazard to pedestrians walking alongside or crossing Main Street and Michigan Street. Currently, both streets are two lane roadways with intermittent sidewalks. There is not sufficient. separation between vehicular traffic and pedestrians along the roadway except in the few sections with sidewalks, and there are no crosswalks where Main Street and Michigan Street intersect with each other and with other local roads. The Colton Joint Unified School District ("CJUSD") will soon be building a new high school on Main Street near Taylor Street with a planned enrollment capacity of 2,500 students. When complete, the school will exacerbate a number of traffic concerns with both increased vehicle traffic and problems caused by intermittent curbs, gutters and sidewalks. CJUSD will fund a portion of the installation of a traffic signal at the intersection of Main Street and Michigan Street but all other street improvements will be the City's responsibility. Improvements to Main 'Street and Michigan Street (from Barton Road to Van Buren Street) to secondary highways (four lanes, undivided) with curbs, gutters, and sidewalks on both sides of each are needed 'to accommodate the increased volume of vehicle traffic`and to provide safe pedestrian access to the new school. In addition, full installation of right of way, curbs, gutters and sidewalks are still needed on Michigan Street between Van Buren and Main Streets. The City's Building and Safety Department estimates the need for$3 million of Agency investment to fund the necessary improvements. The City does not have the revenue necessary to fund these improvements without redevelopment and it does not have the authority to obligate CJUSD to provide any assistance. Barton Road/Union Pacific Overhead Bridge The Building and Safety Department identified the Barton Road/Union Pacific Overhead Bridge as another infrastructure project requiring Agency assistance. While currently in use, the bridge is structurally deficient and seismically unsafe, requiring approximately $500,000 of Agency investment to match the contribution from the City of Colton to replace the bridge with one that is up to current development standards.This bridge is outside but immediately adjacent to the City and Project Area and therefore provides a direct benefit to the Project Area. Approximately ten years ago, the City approached the California Department of Transportation ("Caltrans") requesting a contribution for retrofitting the bridge, but Caltrans preferred to replace the bridge. Agency investment would cover the acquisition.right of way and a hazardous materials study along with any other identified remediation needs. Obsolete Design or Construction Conditions that prevent or substantially hinder the viable use or capacity of buildings or lots are a condition of physical blight as defined.by the current Redevelopment Law Section 33031(a)(2). These conditions may'be caused by buildings of obsolete design or construction. While not prevalent throughout the entire Project Area, this condition is evident in the western portion of the Project Area as described below. 18 ' tii Highgrove Generation Station This power plant located on Taylor Street in the southwest portion of the Project Area has been closed since 2001 due to a lack of environmental controls. Built in the 1950s, the plant is not up to current electricity production standards. The gas generates more pollutants and is not as efficient as modem power generation facilities. The cost required to upgrade the plant to current environmental regulations would most likely significantly outweigh the revenue that would be generated by reopening the retrofitted plant. Additionally, the plant's proximity to a sensitive land use (the new CJUSD high school described previously) would likely prevent the plant from reopening. In 2006, an application was filed with the California Energy Commission ("CEC") to reuse the site for a new �I power plant (docket number 06-AFC-02). This project included the demolition of the old gasoline-powered plant in favor of a modem, natural gas-powered plant. However, the California Department of Toxic Substance Control ("DTSC") concluded that the investigation into hazardous material on the site was insufficient and that further investigation was needed to determine the nature and extent of any release of hazardous waste or hazardous waste constituents at the project site. According to the CEC, the project remains on hold due to environmental concerns. There is currently no schedule for completing the application process for this project. Due to long term vacancy resulting from the plant's obsolescence, the site appears unmaintained and shows signs of deterioration and vandalism.The following photographs depict examples of these conditions. f k t, r' Photo B-2: 12700 Block of Taylor Street,APN 1167 151 66. This is the closed Highgrove Generation Station. I 19 97 ..ti��._ 1`r� •K' l�-rM�",/:'_a,.. ,• ...:`,� � ♦^y� � C' .ram •. � \ i\_!j'\,. ,F ` :n '.fi' �`_'.• - �'+'F8" ±a,'.. _ f«_:r+:.i �=air._.. :..7+•`°yd K'Wi��jy'_�X^ 'V wi.•^�'. 1 ` V• �•if � T S Y d i lk "'' � r ��:fit '" .x�c-: _'° ty. ,'�� � �= ;':;�.`". • Photo B-3: 12700 Block of Taylor Street, APN 1167 151 66. The siding of this structure on the plant site is failing away, revealing bare framing materials underneath. 20 Fia .'y ?h•. r f, k ;w.,;_, ' .i: '?TV"_x;Q)-Y'p^'_ g°'• e—,...<'.`�_.'� t'ahtis'�' �h�y )?:.�,t' I Vie_.. ,,a �d4'.'t�Y i `:L.••�' `'$zl�".•,•k�:' �y%;: ., `� � E:. ,(pfdvAr � rs NTL • y*t; " L'fir i` �V',.w�' g �• `�'�`..s,..'i;�::*T" � :fit J Photo 64: 12700 Block of Taylor Street, APN 1167 151 66.Another structure on the plant site with damaged building materials. It is unlikely that this obsolete facility will be reused due to the fact that it has been dormant for 8 years. Attempts to reuse the facility have been unable to secure the necessary environmental clearance and permits. The high cost of clearing the site and potentially remediating any contaminants will likely require Agency involvement for this site to be redeveloped. Several environmental investigations were conducted- incorporating the plant between 1996 and 2004 revealing low,levels of contamination in localized areas.This contamination included elevated concentrations of cadmium and arsenic in some soil samples, a minor concentration of total petroleum hydrocarbons adjacent to an oil/water separator pond, and areas of soil with containing low or high pH. Some of the studies also concluded that the demolition of the structures on the site could reveal additional contamination. The DTSC concluded in 2006 that further investigation into possible hazardous material on the site was required. Laying Out of.Lots in Disregard to Physical Characteristics According to the City's Building and Safety Department, the Southwest Commercial Site requires significantly sized retention basins on site and significant storm drain improvements along De Berry, Van Buren, and Pico Streets. As described previously, the retention basins will reduce the amount of developable land on the site by approximately four acres; land which must be purchased but which cannot be resold. Additionally, there are jurisdictional wetlands on the site,which must be retained on site.The jurisdictional area is approximately 4 acres of land, which must be purchased but cannot be resold or built upon. A private developer would be unlikely to assume this loss so public investment would likely be required and the City does not have the means to fund it without redevelopment. While the storm drain improvements would be constructed underneath roadways, the cost of the improvements would need to be funded by the Agency. 21 A Deteriorated and Dilapidated Buildings Buildings that are unsafe or unfit for use due to age, deterioration, dilapidation, mixed character, or shifting of uses are blighted per Redevelopment Law Section 33031(e) as it read when the Project Area was adopted. Only a few properties in the Project Area exhibit this condition but several properties in the western portion,of the Project Area are deteriorated or dilapidated enough as to pose a health and safety hazard. Conditions include: ■ Roofs, eaves and overhangs that are sagging, broken, cracking, rotted, peeling, and/or otherwise deteriorated to a point of endangering the health and safety of occupants. ■ Damaged exterior building materials such as cracking and chipped walls, rotting wood, buckling columns, wood panels out of alignment, rusting metal roofs and walls, and other conditions that endanger health and safety of building occupants. ■ Substandard building materials and poorly constructed additions that do not comply with current building standards. ■ Faulty weather protection that could accelerate the deterioration of the building or pose a health and safety hazard. The following photographs illustrate these conditions of deterioration and dilapidation.The photographs depict both residential and non-residential properties. - •r; ,i.: - .:yx' .i,-x^'r-•C' .lo -�..'�i`=�'',;;iJ ,:Y'R'SY��{f. 4.1 �_ 'ii. ''i ''•}jii'fcy •.�?'i..p•'.rr - �.�.t.,;•;r': _ '%i�A's"•"4 ``� t`'�'.."_'�'�s4Y. +c= .74y. ,c.Y'?4+;2»Y. �-'.i';�F• - _:!jr•-FY•'o ';.}" �:;��fi,�'d •:fl:�.'y .�:�`„� }T?•;a= :.r--C � F�•''iF�'.'. w..r t.vT..'t."'^ ^i �-j .4��c+t'e �� ,ems h,-�'i .: ;.r+"i -z✓_ ryy ':,F•-,,,s Y•#.''v-'t'•1�-''YirG.. zF tf4 "t4,.+' sue' _, •-'. ham.t-%- _Si i.�,yt - `+' f.. + .-,nl�r. '.. Lis •�•. { ,4�,.� -.+•-✓""_yam ,.j_ _ _ s.3 - L... V ': - a-F!,w 2. ?'.T'f4.='L-T...:•- - . �p+� ,,fi�tt ... 'a .,.-• ... _,--,.f.-_ ... - 'f't..i',1'k'•r'�' 'f- :'-.S;`•ti:�_ !' " <{:,:- - - �-,.. <, -. ;�_ sty ::'¢. _,u �•''�: '•• '`'d i-' . is -rz�t:' ;-r.. "�`-:'_- «?•�•r`--�«,. - .:=�„'� . +,,:�_�'�'•_:�%-s,-;,«!,'�,-.`'�.".��, +sr.' n i �';{ _ _+�.' - i• - ~.�:.:).� _ 'i -_ 'F'S...•.' +;3!`Ns..- A Cri4 R -':V`Y.�''.�_.7yy�rrr ..w. .�:. �?.}.' .:y.,�_'.i._:io f.:'s_ ..F�.r�'� _ •its. � t• _�,.`:..:-:.:. - -i-- _ `ai.' '+r�•�+,� ,W.y ,':�y.;4; {.r.t,. �,_:..,...�•, ;�.�,_ a. -.;^t ';;;"�'::.�,;..,`r�`,r»,'-r;::.:azi'; i`e.4.4.3F��;; :-{Sp^ -9}' .`' '•i�•i::.'�,'.n..t'�r.�'-wY't'''�a � r.�,� .:7,�i: Z �' `,Ya.,.�'_...:ar'Y,S J,°hn !?n.;��'�a.� di.zc yl•!:..,w'bN.�t7•jIG { :<. i' •'!�}' rs.j-��>�':�..�v,�''^`c�.,^i' !r' 't: {+ _ .-.Lt•lt. ;_. i• t�;'I`u..:'y+ }}:LL``�ly�t 4. � .. . _ ��' �;?t i:,S.t.v,.•_P�f �! t: >.a•�'�.d'i.�[t Z: ...+i^Y t.-+� F'1 T�".� :ice�' ��� ��•Y•` ,�,. �;;ri. -iti,.•�:'�i�Y"r"•- .l ' ,_r, Y'+"�'_"- -w `�i.-_w .�:..,� - .. ;};-.,r.• � �; r• f M'y F' � r :` 4 k+.. ..y,-,-•,[��}y3t i��;: "`<.r,;�t•��-+�i,�i'�.•w.+.' - 9 pN, F*'_ yy!!liy.F; ra^ J•Bi:.�► Y.•,.'y 7L t,� >. J •� ;fir -.,t• *7f c`-'`-s:.:,3.+ ;� � h "'tY.;, '.FDA aI, Photo B-5: 12600 Block of Sandburg Way, APN 1167 201 103. This dilapidated building on a vacant lot adjacent to residential properties has collapsed and presents a safety hazard. A gap in the fence around the property makes it ineffective at preventing access to a building clearly unsafe for use. 5 a 22 7r 7. • � `• 1 1 t _ `.¢1�'•�w ,� aye 41 _•;�t'>�y�' t ,i., s�.i rl••�.i.��•� P ••�• `i3a�' �y.' t"r ',s^ •�v�} -''-�N.y, '`",`',is�A i. y-�'••��.1 �. .'J�+f�,��.t..'-t - � r�..., v.• ,_. •. 1w •:�'-i f_:aA �"- ++iw�rla'�r,�����"�y... �, �'L,�,�.,':�w�:�Lj--.. ',; .. ty .�- :r- _ ••.;,,.��,� �i _•�.. •'3 d`� t• y, y`�� �;^'• d mac.'-, .�� Photo B-6: 12600 Block of Sandburg Way,APN 1167 201 103. This dilapidated building appears to be at risk ( of collapsing. a 23 71 ,1v t ,� f s F•° s iY -4. �.� :.,� f .','�,F' "w�+.'" 4 yp... IRT•{S�?jY?!:`f'a�p-''�f -'•`�`�'>�.4yRrsai, ` '•�5Nk ,lif t r�. f r ' E � r. o q•`i,,,7s�"�'r`,�'xt y'�+'�' yr' w"'i9 a��'',�'� ��r,�E.ra; �• y,�> +�'�b"i'�, r,»{c.- 'r ri 41r;.ts i y` 1 r�cfe't�' � yr,+�x�^+f ��i`�rt•�r +i%s�ys�,�� ri�, �" � `iy�y� �Y4 s ��'"' � �'L-t'�� y��.,- ff% *�` ts� 44 r Yf�d�J��'s!k�Tttii'���i��" �'`d r+/'t *� ,•.���tiy; <Y'C �'�`� ����a� ^ ,.�?,� .�'k'"•�+'� °4� � ,� 4 � R` ""�r`i 'ri ,��+.pyS •�� rk'is-•ice r '��Y �d S ;�,�?��y�t�rs��j�'�'F,�,,�„ •4`� 7��tri,• }„Fm4t�+f����*�+� � �s< Zf��7t�' � !, ��L.�`�l�"'"�£%�''�i6��:+�• ., � .�� �� i 4�. ",,��n f.�•r�3 r�,9 k"�'-i ���t.J�. } a "rr,, ,fir"`.��i�''�`�e'' tFS+y y►f� ,r►�.,- �i`y�i �` .a � •F-�'+�rj„-. �! .lE* tC3a Cbl4�y+,�f'r .V .. �l�"y''y�5"'i ��'}emu•`w`�1��'�J s' .Me.- •�'' �� ��'"'t`'r,�� '�� �,:�.7'e'.3�. .._.e Sir�'•s�p,�::r rj�,� •..�. .� .,��e. �..'�.E .fir r r =� �a' • � t [''�kn er .""s 'cw�+1 10 Aft ,M `tea-1•". }S✓„nyR-r++t'S o�"!?Jr'�. ..;� .,1'"+�`s;rC,�..i� �ry',; s;a f.:,g ,y * „�,+. " ,. „ :+roar r�v,a.�'tj,�" :4�'�sr ,sF1 4q 7 �ZtaY� ! =ry�•�i�..� ,�'r' , �"'�• .',�' `Yw`- ° ;i;S'�-•�� ,,,�.� �{ � /: s .� 1`''i.id '' ttp14.� �"a• ",4}.E.�r ; �; �•.: � ��c•h,r�jt�,..,�-•+'r R.+,akr ,.s^-T4'*.A�..4' .y*. � -'�`F �y �� �, �+ �=� .r'.'�'. Ai+1' i "� r }� ,y,► c.r�'f" • `.. .: tc Zz 4A 'a 1AIA -10 Y. Sx W.4 leh NOMI .m nx- kims, cgs Gt TRW VC Photo B-9: 21700 Block of Vivienda Avenue, APN 275 191 02. The roof of one of these buildings is partially collapsed and all three show significant signs of deterioration. 26 74 1 01 ,t �� �7;'}s'_,•.'t�� "" 'ir��y-7m=t+<''-3.t%•>'� �,.~w .rY�i W5, -�f�?y4f'•+uhr.''r!4'�,:� uv`"fL::.f 1_:"• Y w ' tyt'?w' '4`pi;3.:n ice, �'*3.44:: ��. �I,-• l•7e+ 1 ,./,. 8 - L.�. r Photo B-10: 12500 Block of Michigan Street, APN 1167 191 04. This residence has a poorly constructed second story addition and damaged exterior building materials.'The unfinished portions of the wood siding are J showing signs of deterioration. According to City staff, the deterioration is caused by termites. The City has repeatedly attempted to encourage the owner to replace the siding but the owner has refused. b i • 27 75 �" 4 t CI j= l '• 'F j ` 4 f' ,���" +.�� l��y"�r���'�b�� •:yi.� �Ze.>�F i�J��x y, st Xe.'tSc. l Hsu y� �, a _ Photo 11 Block' of Michigan1 _ damaged roof of garage •• to have been •• patched with a tarp that has also deteriorated. Inadequate weather proofing on side of building deterioration }.x � '.�•'.'r '�> '!y.rr�l'.' ".�.,''��=�^,:,i.f'> ::���;i^s f 1� :�''�",`�an•` t v.�'...,, af}J 1'� +,$y" �t ��•.v,•.� : Nlw s' y� .,�,',i yt*,�Y:S�•_'.'Y.�1;$;:;F,.�s;;i;•-�a. 3"'.v._a�:�d�.,r5�s•t.. �i.Y•' 'g - t:,.f:%'.$•'1a."-=i` '3".d=t'i'v�' .:f q, `,:a,vt,;r C.ri:. 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' �' .......: .. 3ks C i EIS M)!r. y. -TN'b. -3, ,•I i , •:.ta ��r ?FR'v:".��y�.fitxL.Yre33'3Qiitf�r>�' _ ./�., �� '�j f :c I Photo B-13: 12700 Block of Taylor Street, APN 1167 151 41. The roofing materials on this structure are damaged and do not appear to adequately protect the interior against the elements.The sides of the building show signs of past vandalism. Crime Rates An area with a high crime rate that constitutes a serious threat to the public safety and welfare of a community is an economic condition that causes blight according to current-statutes of the Redevelopment Law(Section 33031(b)(7)). In order to assess how crime may be affecting the Project Area, information was collected from the San Bernardino Sheriff's Department. According to Lieutenant Newcombe, certain areas in the Project Area experience a much greater volume of service calls compared to the rest of the City. Criminal activity hotspots are concentrated in the western portions of the Project Area where the Agency has identified the greatest need for redevelopment. These areas of heightened' criminal activity in the Project Area include areas with high density housing, property adjacent to the railroad tracks, and at the closed Highgrove Generation Station located at Taylor and Pico. Exhibit B-5, provided by the Sheriffs Department, clearly indicates areas of higher and lower concentrations of criminal activity. Section E of this Report includes a list of projects and programs that may be undertaken by the Agency in order to eliminate remaining blight from the Project Area. Projects such as Town Center, which is planned;for the south east comer of Barton Road and Michigan_Street, would serve to alleviate crime. This project is located in the heart of a cluster area for high criminal activity and bringing business and resources to the area would reduce vacant properties and provide an economic boost. This area is currently characterized Eby mixed-character, and without redevelopment will likely continue to experience higher levels of crime as City resources are not available to address this problem. I s 30 F 1 75 ICITY OF GRAND TERRACE � 2008 Calls for Set-vice *N, 44, Hot Spot of Concentration of Incidents Very High High Moderate Low None Y, P Fk;(,;.r Cry AnairA 3 -A-42 87 Cex.4 On 2 4 Exhibit B-4: Concentration of Sherriff calls for service in 2008. 31 y SECTION C: A DETERMINATION AS TO WHETHER THE PROJECT AREA IS PREDOMINANTLY URBANIZED Because the Sixth Amendment is'not changing the boundaries of the Project Area, a determination as to whether the Project Area is predominantly urbanized is not required at this time. Such determinations were made by the Agency when the Original Project Area and Added Project Area were established in 1979 and 1981, respectively. 32 8( SECTION D: A PRELIMINARY ASSESSMENT OF THE PROPOSED METHOD OF FINANCING, ' INCLUDING ECONOMIC FEASIBILITY OF THE PLAN AMENDMENT AND THE REASONS,FOR THE CONTINUED INCLUSION OF TAX INCREMENT Section 33344.5 of Redevelopment Law requires that this Report include information on the proposed method of financing, including information on the economic feasibility of the Project Area and the reasons for including tax increment financing. INTRODUCTION The current financial limits of the Redevelopment Plan result in a shortfall in revenue that leaves the Agency without the financial resources to fund proposed projects necessary to alleviate blight. The Sixth Amendment will increase the cumulative limit on net tax increment that may be collected by the Agency from $70 million to $225 million, net of pass through payments to affected taxing agencies pursuant to reimbursement agreements, to address this shortfall. Without the Sixth Amendment, it is projected that the Agency would reach its tax increment limit in fiscal year 2011-12 and.have no further ability to collect tax increment revenue after this time. However, the current Redevelopment Plan time limits, established by Amendment No. 5, allow the Agency to continue to collect tax increment revenue, if the cap has not been reached, until July 15, 2027 . In addition to raising the tax increment cap to$225 million,the proposed Sixth Amendment would also extend the effectiveness of the Plan and the time limit on collecting tax increment revenue from July 15, 2027 for both the Original and Added Areas,to September 27, 2032 for the Original Area and July 15, 2034 for the Added Area.The Sixth Amendment also increases the limit on amount of bonded indebtedness that may be collected from $15 million to $75 million in order to ensure that advanced funding can be secured to implement redevelopment projects in a timely manner. The Sixth Amendment will allow taxes attributable to the Project Area, which are allocated to the Agency pursuant to Section 33670(b)of Redevelopment Law,to be used within the Project Area. The Agency intends to finance redevelopment of the Project Area from the following resources: ■ Tax Increment Revenues; ■ Bonded Debt; ■ Financial Assistance from the City,County, State of California and/or Federal Government; ■ Proceeds from lease or sale of Agency-owned property; • Loans from private financial institutions; and ■ Any other legally available source. The more typical sources of redevelopment financing may be employed as described below. FINANCIAL ASSISTANCE FROM CITY, STATE AND/OR THE FEDERAL GOVERNMENT The Agency may obtain loans and advances from the City for planning, construction, and operating capital. The City may also defer payments on the Agency loans for land purchases, benefiting the Agency's cash flow. Such assistance may be employed to meet short term cash flow needs. As available, other funds such as state-apportioned road funds, state housing and infrastructure bond funds, state and federal transportation funds, and federal Community Development Block Grants will be appropriately utilized in conjunction with the Agency funds for costs of project implementation. LEASE OR SALE OF AGENCY-OWNED PROPERTY Under the proposed Redevelopment Plan, the Agency may sell, lease, or otherwise encumber its property holdings to pay the costs of'project implementation. 33 R1 PARTICIPATION IN DEVELOPMENT a If the Agency enters into agreements with property owners, tenants, and/or other developers that provide for revenues to be paid or repaid to the Agency, such revenues may be used to pay project implementation costs. l PROPERTY TAX INCREMENT The Agency will continue to collect property tax increment as provided for in Section 33670(b) of Redevelopment Law, and as authorized in the Redevelopment Plan, to employ tax increment financing to fund redevelopment activities. Tax increment revenue is intended to fund ongoing redevelopment activities and to pay indebtedness incurred by the Agency. Indebtedness includes principal and interest on loans, monies advanced, or debts (whether funded, refunded, assumed,, or otherwise) incurred by the Agency to finance or refinance, in whole or in part, redevelopment activities. The current Redevelopment Plan allows the Agency to cumulatively collect$70 million in net tax increment for the Project Area, net of pass through payments to affected taxing entities. Based on revenue projections provided in Table D-1, this cumulative limit will be reached in approximately 2 years (fifteen years prior to the expiration of the Agency's authority collect tax increment), which will preclude the Agency from funding proposed projects necessary for the elimination of blight and preventing it from implementing any new projects at this time. The proposed Sixth Amendment would increase the cumulative tax increment collection limit to$225 million, net of pass through payments to affected taxing entities. Consistent with Redevelopment Law, the Redevelopment Plan incorporates certain time limits that affect the Agency's ability to use and collect tax increment revenue.The time limit regulating how long the Agency may collect tax increment revenue is currently 10 years after the termination of the effectiveness of the redevelopment plan, or July 15, 2027 for both the Original and Added Areas. However, the proposed Sixth Amendment would alter the effectiveness of the Redevelopment Plan and therefore the time limit on collecting tax increment revenue. Pursuant to the Sixth Amendment, the Agency's time limit to collect tax increment would change to 10 years after the new plan effectiveness dates (September 27, 2032 for the Original Area and July 15, 2034 for the Added Area). Tax increment revenues are distributed to address an array of obligations.As required by Section 33334.2 of Redevelopment Law, a minimum of 20 percent of the Project Area's tax increment revenue will be deposited into the Agency's Low and Moderate Income Housing Fund for the purposes of increasing, improving, and preserving the community's supply of low and moderate income housing and debt service related to funding housing projects. The remaining 80 percent of the tax increment revenue will be used to pay for pre-existing and future Agency obligations to taxing entities, debt service related to funding non-housing projects, and other program expenditures such as infrastructure, capital facilities, and economic development programs within the Project Area. BONDED DEBT Under the proposed Redevelopment Plan, the Agency would continue to have the capacity to issue bonds and/or notes for any of its corporate purposes, payable in whole or in part from tax increment revenue generated from the Project Area. Any bonds issued by the Agency are the responsibility of the Agency, and neither the City nor its taxpayers are liable for debt service on the bonds. Redevelopment bonds are typically issued based on current cash flows,-without regard to the potential increase in revenues that may lie ahead. a 34 8; The current Redevelopment Plan includes a $15 million limit on the amount of bonded debt that may be outstanding at any one time. The Agency currently has $8.8 million of bonded debt outstanding, leaving only $6.2 million available for additional financing. The Redevelopment Plan's previous time limit to incur bonded debt was rescinded in 2004 so the Agency has the authority to issue bonded debt throughout the duration of the Redevelopment,Plan's effectiveness. However, without the Sixth Amendment, the Agency has very little financial capacity to issue new debt to finance the projects and programs necessary to eliminate the remaining blight in the Project Area. The Sixth Amendment proposes increasing this limit to$75 million, net of payments to affected taxing agencies pursuant to reimbursement agreements, to increase the Agency's financial capacity to fund redevelopment projects in a timely matter. �J OTHER AVAILABLE SOURCES r Any other loans, grants, or financial assistance from the federal government, or-any other public or private source will be utilized, as available and appropriate.The Agency will also consider use of the powers provided by Redevelopment Law to provide construction and other funds for appropriate projects.Where feasible and appropriate,the Agency may use assessment district and/or Mello-Roos bond financing to pay for the costs of public infrastructure,facilities,and operations. TAX INCREMENT REVENUE PROJECTIONS The primary source of project financing for the Project Area is the collection of tax increment revenues. Table D-1 presents a detailed preliminary forecast of tax increment revenues for the Project Area based on the assumptions noted below: ■ Base Year Values:the Agency receives property tax increment revenue from the Original Area assessed value growth in excess of the 1979-80 base year value of$51729,360 and from the Added Area assessed value growth in excess of the 1980-81 base year value of$132,105,951. The Sixth Amendment does not alter the base year values of the component areas. ■ Assessed Value Growth Rates: Projections constructed for the Project Area have conservatively applied a 3.5 percent annual growth rate on secured assessed values within the Project Area. ■ Taxing Agency Payments.Pursuant to Section 33401 of Redevelopment Law(as it read when the Project Area was adopted), the Agency entered into pass through agreements with the following taxing agencies: San Bernardino County (including the Free Library, Flood Control, Superintendent of Schools, and CSA 38 Fire), Riverside-Corona Resource Conservation District, San Bernardino Valley Municipal Water District, and Colton Joint Unified School District. Additionally, the Fifth Amendment to the Redevelopment Plan obligated the Agency to make payments pursuant to Section 33607.7 of the Redevelopment Law ("Statutory Payments") to the City of Grand Terrace, the San Bernardino County Community College District,and the Education Revenue Augmentation Fund. For the first ten years since the Statutory Payments commenced (fiscal years 2004-05 to 2013-14), the Statutory Payments are equal to 25 percent of the Project Area's annual non-housing•tax increment revenue (for only the tax increment generated above the 2003-04 adjusted base year). Beginning in the eleventh year (2014-15), in addition to the first 25 percent share, the Agency would be required to pay an additional 21 percent of the incremental increase in non-housing tax increment revenues exceeding amounts in the tenth payment year(2013-14). A forecast of Taxing Agency Payments has been included in Table D-1. Should actual tax increment revenues exceed or fall'below these projections, actual Taxing Agency Payments would be higher or lower. (See Colton Join Unified School District Agreement below for more information about the pass through payments to that taxing agency.) i ■ Housing Set-Aside Revenues:As required by Section 33334.2 of Redevelopment Law, the Agency would deposit not less than 20 percent of Project Area tax increment revenues into the'Agency's Housing Fund for the purposes of increasing, improving, and preserving the community's supply of affordable housing. 0 35 S� I ■ Nonhousing Revenues: Finally, the tax increment revenue remaining after County administrative fees,, taxing agency payments, existing debt service, and housing set aside deposits, would be available for eligible'redevelopment projects, such as infrastructure improvements, seismic retrofitting, development incentives, remediation costs, and other non-housing uses. I i k 1 I I I � I ' I I t4r I l 36 I 1 84 2009-10 TAX INCREMENT PROJECTIONS(WITH PROPOSED AMENDMENT) F LYnit b: TABLE D-1 GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT I S 223,000,000 SUN 4WY Fiscal Year Total Pass Through Payments by Agency Cumulative Housing Housing Not Nonhotshrg Bard Debt Service Not Tax Tax Increment Set Bond DS Housing Nonhousing Increment County CJUSD Statutory Pml Total Not of Pass Aside 2004 TA Revenue 20D4 TA 1997 COP Total Revenue (pd by County) (pd byAgency) (pd byAgency) Ttrough Payments 33.35% 66.65% As of 6130r09: <-RSG estimate 60,117.095 1 2009-10 6,686,075 1,990.630 - 185,168 1,990,630 64,627,372 1,337.215 619,301 717,914 1.237,674 273,525 1.511.199 1,661.863 2 2010-11 6,959,510 2,072,039 235,719 209,064 2,307,758 69,070.060 1.391,902 619268 772,634 1237,607 275,623 1.513230' 1,537,556 3 2011-12 7,242.515 2,156.297 316.904 233.796 2.473,201 73,605,578 1,448,503 667.792 780.711 1,334,583 272,311 1,606.894 1,480.120 4 2012-13 7,535,425 2.243,505 295,083 259,395 2,538.588 78,343,020 1,507.085 1,507,085 273.691 273,591 2.956.767 5 ,2013-14 1,838,588 2.333.764 307.932 285,889 2.641.696 83.254,023 1,567.718 1,567,718 269.463 269.463 3.073,822 6 2014-15 8.152.360 2,427,183 321.038 329266 2.748,221 88.328.696 1,630,472 1,630,472 269,925 269.925 3.174.476 7 2015-16 8.477.115 2.523,871 334,406 374,162 2.858.277 93.573,573 1.695,423 1,695,423 269.843 259,843 3,279,411 , 8 2016-17 8.813237 2,623,944 348.041 420,629 2,971.985 98,994.196 1,762,647 1.762,647 269215 269215 3.388.761 4 9 2017-18 9,161,123 2,727,519 361,949 468.722 �3,089,468 104.597,129 1.832225 1,832225 272.906 272,906 3,497,802 10 2018-19 9.521,184 2.834.719 376,135 618.499 3210.854 110,388,960 1.904237 1.904,237 270,916 270,916 3.616.678 11 2019-20 9.893,848 2.945,671 390.605 570,017 3,336,276 116,376,514 1,978,770 1,978,770 263.518 263.518 3.745,267 12 2020-21 10279,555 3,060.507 405,364 623.339 3,465,871 122,588,a59 2,055,911 2,055.911 265,574 265.574 3,868.860 13 2021-22 10,678,762 3,179,362 420.418 678,528 3,599,780 128,967,313 2.135,752 2,135,752- 261,949 261,949 4.002,753 14 2022-23 11,091.941 3.302,377 435.774 735.647 3.738.150 135.585,457 2218,388 2.218.388 - - 4,399,755 15 2023-24 11.519.581 3.429,697 451,437 794,766 3.881.133 142,422,139 2,303,916 2,303,916 4.539,766 16 2024-25 11,962.189 3,561.473 467.412 855,954 4,028,886 149.506,488 2.392.438 2,392,438 4,684,911 17 2025-26 12.420.288 3.697,862 483,708, 919284 4.181.569 156,825,923 2,484,058 2,484,058 4,835.377 18 2026-27 12.894,421 3,839.024 500.329 984,830 4.339,353 164,396.100 2,578.884 2.578.884 4,991,353 19 2027-28 13,385.148 3,985,127 517,283 1,052,671 4,502,410 172.226,228 2,677.030 2.677.030 - 5.153.038 20 2028-29 13.893.050 4.136,343 534.576 1,122.885 4,670,919 180,325,474 2.778.610 2,778,610 5.320,636 21 2029-30 14,418,729 4,292,852 552,214 1,195.558 4.845.067 188,703.579 2,883,746 2.883,746 5,494.359 22 2030-31-- 44,962,807 4.454.839 570.206 1270,774 5.025,045 197.370,568 2.992,561 2,992.561 5.674,428 23 2031-32 15.525,928 4,622,496 586,557 1.348,622 5,211,052 206,336.922 3.105,186 3.105.186 5.861.068 24 2032-33 13,991,650 4,165,647 584,705 1,136516 4,750.351 214,441,604 2,798.330 2.798.330 5,306,452 25 2033-34 14,518,849 4,322,605 603,095 1209,399 4,925,702 222.825,352 2,903.770 2,903,770 5,479,979 Total 271,823.879 80,929.354 10,402.888 17,783,380 91,332.242 54.364.776 1,906,361 52,458,415 3,809,864 3,508.358 7,318221 101,025,260 ri 37 >o n Table D-1 presents annual estimates of assessed values, new,development, gross tax increment revenue, taxing agency payments, and net revenues to the Agency's housing and non-housing funds. A summary of these annual projections delineating the cumulative total of these figures is presented in Table D-2 below. Summary of Project Tax Increment Revenues Table D-2 Grand Terrace Community Redevelopment Project Area Assumptions Current Year Assessed Value (2009-10) $ 806,442,769 Annual Assessed Value Growth Rate 3.5% Time Limit on Receipt of Tax Increment 7/15/2033 Forecast Cumulative Gross Tax Increment Revenue $ 271,823,879 Less:20% Gross Tax Increment Revenue to Housing Fund 54,364,776 Non-Housing Fund Total Revenue to be Deposited into the Non-housing Fund 211,459,103 Less:Taxing Agency Payments (per Agreements) 91,332,242 Less: Statutory Payments (per HSC 33607.7) 17,783,380 Less: Non-housing Debt Service, 7,318,221 101,025,260 Housing Fund Total Revenue to be Deposited into the Housing Fund 54,364,776 Less: Housing Debt Service 1,906,361 52,458,415 Total to Agency for Future Projects 153,483,675 Non-Housing Fund 101,025,260 Housing Fund 52,458,415 Net Present Value of Non-Housing Fund 45,128,663 The total projected revenue that may be available to the Agency to fund project costs is approximately$153.5 million, consisting of $52.5 million for affordable housing purposes and $101 million. for non-housing purposes. As shown above, the net present value of the non-housing fund as a result of the amendments;or the value of these future revenues in 2010 dollars, has been estimated at $45 million. These projected revenues are compared to total project costs in the following section. ECONOMIC FEASIBILITY ANALYSIS Redevelopment of the Project Area may involve hundreds of millioris of dollars of public investment in order to stimulate private investment and remove blight in the Project Area. Section E of this Report includes a proposedilist of the potential range of projects associated with this effort, based on the information available at this time. a 38 RF Table D-3 below documents the projected sources and uses of tax increment revenue projected from the Project Area without the Sixth Amendment and illustrates the Agency's need to extend and increase financial limits in the Redevelopment Plan. Sources and Uses Table D-3 Grand Terrace Community Redevelopment Project Area Housing Non-Housing Total Sources' Tax Increment Revenue2 1,119,750 2,225,472 3,345,221 Total Sources 1,119,750 2,225,472 3,345,221 Uses Affordable Housing Programs 5,616,000 5,616,000 Public Infrastructure 17,000,000 17,000,000 Developmental Remediation 500,000 500,000 Niscellaneous Revitalization Programs 3,905,000 3,905,000 Total Uses 5,616,000 21,405,000 27,021,000 ' Excluding funding from other potential sources,City of Grand Terrace funds and other regional, state,and federal funds. 2 Cumulative tax increment revenue projected to be received between fy2009-10 and fy2011-12 based on current Redevelopment Plan Limits. The amount of funds expended on projects would exceed the $3.3 million of revenue expected to be generated by the Project Area under the current Redevelopment Plan limits,but would not exceed the amount of revenue generated if the Redevelopment Plan limits were amended to allow the Agency to collect net'tax increment revenue up to the proposed cumulative $225 million tax increment limit and extension of the time period for the Agency to collect tax increment. As described in Section E when inflation interest and administration costs to implement proposed promects are applied to the $21.4 million in non-housinq costs above the total cost for non-housin ro'ects and r rams to re mediate remainin bli htini in the Project Area is approximately $44 million which is very close to the net present value of tax increment revenues received under the amended time and financial limits. When housing costs are added to this figure, total project and program costs increase to $49.6 million including these extra cost factors. Project costs will be adjusted depending on available revenue over time. f 39 R7 REASONS FOR THE ALLOCATION OF THE TAX INCREMENT Section B provides evidence that significant blight remains in the Project Area. Tax increment is necessary to fund redevelopment projects to address blight because the governrpent and private sector cannot be expected to alleviate blighting conditions on their own. Tax increment is a. financial tool that enables the government to assist residents with property improvements. Tax increment is also used to provide incentives for the private sector to invest in the area and revitalize the local economy. The physical and economic impairments on the Southwest Commercial Site have prevented the development of the property. The City's General Fund revenue is insufficient to alleviate the blight within the Project Area. The Sixth Amendment is necessary to fund redevelopment projects that the City cannot fund without tax increment. Tax increment gives the Agency the financial resources to foster new development by improving infrastructure, reconfiguring lots, negotiating with property owners, providing assistance to developers, building and rehabilitating property, and soliciting new development. The projects proposed to alleviate blight within the Project Area are discussed in the next section. Table D-4 presents a comparison of the funds that-could be available to the City and Agency,with and without the proposed amendment. Projected Property Tax Revenues with Existing Limits vs.Proposed Limits Table D-4 Grand Terrace Community Redevelopment Project Year With Existing Limits(No Amendment) With Proposed Limits(After Amendment) To Agency /1 To City l2 Total To Agency To City Total 2009-10 $ 2,379,777 $ 301,068 $ 2,680,846 $ 2,379,777 $ 301,068 $ 2,680.846 2010-11 2,310,190 305,670 2,615,860 2,310.190 305,670 2,615,860 2011-12 (1,344,746) 1,383,305 38,559 2,260.831 310,432 2,571,263 2012-13 (273,591) 1,716,419 1,442,828 4,463,852 315,361 4,779,213 2013-14 (269,463) 1,774,796 1,505,333 4,641,540 320,463 4,962,003- 2014-15 (269.925) 1.835,215 1,565.290 4,804.948 328,816 5,133,764 2015-16 (269,843) 1,897,749 1,627,907 4.974,834 337,461 5,312,295 ^i 2016-17 (269,215) 1.962,472 1,693,257 5,151,408 346,408 5.497,817 2017-18 (272,906) 2,029,460 1,756,554 5,330,026 355,669 5,685,695 2018-19 (270,916) 2,098,793 1,827,877 5,520.915 365,254 5,886,169 2019-20 (263,518) 2,170,553 1,907,035 5,724,037 375,174 6,099,211 2020-21 (265,574) 2,244.824 1,979,250 5,924,771 385,442 6,310,213 2021-22 (261.949) 2,321,694 2,059,745 6,138,506 396,069 6,534,574 2022-23 - 2,401,255 2,401,255 6,618,143 407,068 7,025,211 2023-24 - 2,483,600 2,483,600 6,843,682 418,452 7,262,133 2024-25 - 2,568,828 2,568,828 7,077,349 430,234 7.507,583 2025-26 - 2,657,039 2,657,039 7,319,435 442,428 7,761,863 2026-27 - 2,833.480 2,833,480 7,570,237 455,050 8,025,287 2027-28 - 2,842,830 2,842,830 7,830,068 468,113 8,298,181 2028-29 - 2,940,631 2,940,631 8,099,246 481,633 8,580,880 2029-30 - 3,041,855 3,041,855 8,378,105 495,627 8,873,732 2030-31 - 3,146,621 3,146,621 8,666,989 510,111 9,177,100 2031-32 - 3,255,055 3,255,055 8,966,254 525,101 9,491,355 2032-33 - 2,959,617 2,959,617 8,104,782 484,258 8,589,040 2033-34 - 3,061,133 3,061,133 8,383,748 498,292 8,882,041 Cumulative 658,322 56,233,962 56,892,285 153,483,675 10,059,655 163,543,330 NPV Q 6% 1,508,913 24,921,052 26,429,965 68,431,477 4,782,067 73,213,544 Notes: 1/ Consists of both housing set aside funds and nonhousing tax increment after taxing agency payments and bond debt service. Negative figures reflect scheduled bond debt service payments that must be accrued from remaining tax increment revenue unless plan 2/ Tax increment to City reflects:a)City's 19.2558%share of taxes from Project Area base year value, b)City's share of statutory payments from redevelopment tax increment revenue,and c)City'share of property taxes after existing limits expire. a 40 $E SECTION E: A DESCRIPTION OF SPECIFIC PROJECTS THE AGENCY MAY PURSUE AND A DESCRIPTION OF HOW THE PROPOSED PROJECTS WILL,IMPROVE OR ALLEVIATE BLIGHTING CONDITIONS IN THE PROJECT AREA t The following section identifies and discusses unfunded projects the Agency may consider to complete as a part of the revitalization.efforts of the Project Area. Specific projects and programs anticipated from fiscal year 2010 through 2014 are also identified in the Five Year Implementation Plan contained in Appendix A of this Report. NON-HOUSING FUND Proposed projects and programs require $21.4 million in funding from the non-housing fund, or $44 million after accounting for interest and administrative costs.These projects will provide needed public improvements and infrastructure improvements, remediate physical characteristics impeding development, assemble inadequately-sized lots and encourage economic development in the Project Area. Proposed projects are described .below; the cost listed next to each project is the amount anticipated- before interest and administrative costs are added. Public Facilities and Infrastructure The following projects are proposed to remedy conditions of inadequate public improvements and infrastructure identified in Section B. Southwest Commercial Site($6.9 million) J In order for development of this vacant site to be economically feasible for private sector development, the City must undertake a number of off-site improvements adjacent to the site. These improvements include improving Van Buren Street and Pico Street to their full cross sections, the extension of Commerce Way to Main Street, the installation of two traffic signals where Michigan Street intersects with Van Buren Street and �1 Pico Street,the installation of storm drains along De Berry,Van Buren, and Pico Streets, and the construction of retention basins adjacent to the site.Without this redevelopment investment, the residual value of the land after development would be less than half the cost of purchasing the land in the current real estate market (based on a comparison of estimated development costs and capitalized project value as shown in Exhibit B- 2 and Exhibit B-3 to current market prices for undeveloped retail, commercial, and industrial land within the City). Development of this site will provide the City with additional sales and property tax revenue to fund essential City services. Main Street and Michigan Street Widening and Improvements($4.6 million) When the planned CJUSD high school on Main Street near Taylor Street is complete the vehicle and traffic volume will increase significantly. To accommodate the increase in vehicular traffic and to provide safe and adequate pedestrian routes to the school site, the City plans to widen Michigan Street from Barton Road to Main Street to its full cross-section, widen Main Street from Michigan Street to Taylor Street to its full cross section, and install a traffic signal at the intersection of Main Street and Michigan Street. The $4.6 million project cost is the funding gap remaining after the CJUSD contribution to mitigate the infrastructure impact of the new school. Without redevelopment contribution, the City lacks the funds necessary to finance these improvements. Barton Road/Union Pacific Overhead Bridge($500,000) This bridge immediately adjacent to the Project Area, while unsafe, is currently in use. Although the improvements are currently partially funded, this project requires a redevelopment contribution of$500,000 to close the funding gap. 41 89 Additional Public Facilities and Infrastructure($5 million) Additional public improvement projects may be implemented that would aid current revitalization efforts and eliminate deficiencies in the existing infrastructure systems in the Project Area. These improvements may include, but are not limited to, street, water, utility, sewer, parking, public facilities and other improvements to improve traffic flow, provide better access, increase public safety, and improve surrounding property values and attract investment from the private sector. By implementing this and other types of programs to address blighting conditions affecting the Project Area, the public sector will signal its confidence in the area and will provide a springboard for private investment and reinvestment. Obsolete Design or Construction The following project is proposed to remedy conditions of obsolete design or construction. Highgrove Generation Station Demolition(cost to be determined) The Highgrove Generation Station is an obsolete power plant in the Project Area. It will need to be demolished and any contaminants on the site will need to be remediated before this property can be redeveloped.The DTSC is expected to close their investigation into the presence of any soil contamination in the near future,so an estimate of the cost of this project is unavailable at this time. Physical Characteristics Remediation Southwest Commercial Site Wetlands($500,000) In addition to the infrastructure needs identified for the Southwest Commercial Site, the wetland areas also act as a physical constraint to redeveloping the property. The wetlands areas will need to be retained onsite which limits the development area and*potential of the Southwest Commercial Site. Deterioration and Dilapidation Purchase/Rehabilitate/Resale Program ($2.5 million) The Agency will continue this ongoing program to acquire and rehabilitate dilapidated homes throughout the community. Once rehabilitation is complete, homes are sold to eligible low and moderate income households. The projected cost is based on using this program to rehabilitate approximately 15 homes during the remaining duration of the Redevelopment Plan. Home Improvement Loan Program($3.1 million) This ongoing program provides low interest loans to fund minor rehabilitation expenses. It provides incentive for homeowners to repair damage or deterioration by providing low interest loans to fund the repairs. The projected cost is based on providing loans to approximately 100 households during the remaining duration of the Redevelopment Plan. Commercial Improvement Grant Program This ongoing program is available to property owners and/or business owners as an economic incentive to rehabilitate existing commercial structures. Implementation of the program is expected to,eliminate blight, yield a stronger commercial presence, and increase the likelihood of new business development. The program focuses on the exterior improvement of commercial buildings, including new paint/stucco, new doors and windows,decorative awnings, signage, landscaping and lighting. ` 42 9( Commercial and Economic Development Program ($3.6 million) This program is designed to encourage improvement of commercial properties and to encourage economic development throughout the Project Area. This program will include Agency assistance to property owners and businesses to upgrade properties and facilitate the` redevelopment of blighted properties. These programs will address and/or eliminate blighting conditions such as deterioration and dilapidation. In addition, rehabilitating and modernizing the building stock in this area will also positively effect property values to enhance the economic viability of commercial properties. Neighborhood Improvement Grant Program The ongoing program grants up to$1,000 per household to purchase landscaping and irrigation materials for front yard improvements and exterior paint. The goal of this program is to reduce blight and property depreciation caused by deteriorated exterior paint, poor front yard maintenance and the lack.of front yard landscaping. Though this program would not result in substantial rehabilitation to'assist in meeting long-term affordable housing production goals, these efforts are critical to reducing the number of deteriorating and/or at-risk housing units in the City. Crime Rates Town Center Land Assembly($300,000) The City has a 20-acre retail project planned on Barton Road that would provide a grocery store, restaurants, City library, and other retail uses in an area with a high crime rate. However, the project cannot proceed without Agency assistance to assemble all the land for the project. Completion of this project would assemble 14 vacant or under-utilized parcels into a coordinated retail commercial center which provides retail sales opportunities, and jobs. Bringing businesses and resources to the area would reduce vacancies and stimulate the local economy. HOUSING FUND The Agency's continuing housing fund projects require an estimated $216,000 annually. These projects include a home improvement loan program and the purchase, rehabilitation, and sale of homes to qualified low-and moderate-income households. Additionally, the Sixth Amendment would.give the Agency the ability to fund additional housing projects to meet its inclusionary housing requirements. 43 01 PROJECT COSTS As shown in Table D-3 previously, Agency resources under current Redevelopment Plan limits are significantly less than the costs for projects and programs to remediate blight in the Project Area. It is estimated that the Agency will collect approximately $3.3 million in tax increment revenue until fiscal year 2011-12 when it is estimated that the.•cumulative tax increment limit of$70 million will be reached. However, as shown in Table E-1 below, after applying inflationary factors such as financing and administrative costs, the total non-housing cost of the redevelopment projects and programs needed to remediate blightirig conditions is estimate at$44 million, and the total housing costs are $5.6 million, resulting in a grand total of $49.6 million in project and program costs. After applying the $3.3 million in tax increment revenues that may be collected until fiscal year 2011-12, the Agency will be left with a $46.3 million shortfall for funding the remaining project costs without the proposed Sixth Amendment. Unfunded Projects Table E=1 Grand Terrace Community Redevelopment Project Area Direct Financing Administrative Total Project Cost Interest' Cost Cost Non-Fbusing Funds $21,405,000 $20A56,073 $ 2,140,500 $44,001,573 Public Infrastructure Southwest Commercial Site Improvements 6,900,000 6,594,109 690,000 14,184,109 Main Street Widening and Improvements 1,600,000 1,529,069 160,000 3,289,069 Mchigan Street Widening and Improvements 3,000,000 2,867,004 300,000 6,167.004 Barton Road/Union Pacific Overhead Bridge Improvements 500,000 477,834 50,000 1.027,834 Additional Public Infrastructure Projects 5,000,000 4,778,340 500,000 10,278,340 Developmental Remediation Southwest Commercial Site Wetiands Remediation 500,000 477,834 50,000 1,027,834 Adscellaneous Revitalization Programs Town Center Land Assembly 300,000 286,700 30,000 616,700 Additional Commercial and Economic Development Programs 3,605,000 3,445,183 360,500 7,410.683 Housing Funds $ 5,616,000 Ongoing Programs PurchaselRehabilitate/Resale Program 2,496,000 Home Improvement Loan Program 3,120,000 Total Unfunded Projects $49,617,573 'Assumes 25 year financing with 6%annual percentage rate. SUMMARY Proposed non-housing projects require $44 million in funding, after accounting for financing interest and administrative costs, and housing projects require $5.6 million (because the housing projects are ongoing programs, no financing is assumed). The proposed projects will alleviate blight by providing public infrastructure improvements, remediating physical conditions that hinder development, improving commercial and residential properties, and assembling inadequately-sized lots. 44 • 9; SECTION F: IMPLEMENTATION PLAN The Agency recently adopted a new Implementation Plan for the 2010 through 2014 planning period (included as Appendix A) on becember 8, 2009 by Resolution 2009-11. The Implementation Plan would remain effective if the Sixth Amendment is adopted. a 45 01 SECTION G: NEIGHBORHOOD IMPACT REPORT Redevelopment Law requires that a Neighborhood Impact Report discuss the impact the Sixth Amendment will have on low and moderate persons or families in the following areas: relocation, traffic circulation, environmental quality, availability of community facilities and services, effect on school population and quality of education, property assessments and taxes, and other matters affecting the physical and social quality of the neighborhood. Additional issues that the neighborhood impact report must address include: the number of low or moderate- income dwelling units to be removed or destroyed;the number of low or moderate income persons or families expected to be displaced; the general location of.housing to be rehabilitated, developed or constructed; the number of dwelling units planned for construction or rehabilitation to house persons and families of low or moderate income (other than replacement housing); the projected means of financing the aforementioned dwelling units; and the projected timetable for meeting a redevelopment plan's.relocation, rehabilitation, and replacement housing objectives. RELOCATION The Redevelopment Plan authorizes the Agency to acquire certain non-residential property using eminent domain before July 22, 2011. However, the Sixth Amendment will rescind the Agency's eminent domain authority. Therefore, no relocation is anticipated in connection with this Sixth Amendment and Amended and Restated Redevelopment Plan. TRAFFIC CIRCULATION The Redevelopment Plan permits the Agency to implement projects to improve traffic circulation, some of which are mentioned in Section E of this Report. The proposed Sixth Amendment will allow the Agency,.to fund improvements such as widening roads, adding parking, completing bridge improvements, and creating ' roads and sidewalks, among other things. The projects proposed by the Agency will improve circulation, mitigate traffic deficiencies, and provide general benefits to the Project Area consistent with the circulation element of the General Plan and other related documents. An Environmental Impact Report for the General Plan Update and the Sixth Amendment has been prepared and will be reviewed by the Agency and City Council in April 2010. It will explain traffic circulation impacts in more detail. ENVIRONMENTAL QUALITY The Sixth Amendment will modify the Redevelopment Plan to comply with the General Plan or other related land use policy documents. Adherence to adopted land use policies will ensure that implementation of,the Redevelopment Plan will lessen or avoid potential impacts. Future development will be reviewed by the City and the Agency to ensure that architectural, landscaping, and urban design principles are adhered to and that compatibility in land uses is maintained. If required, more specific environmental analysis will take place for future development as required by the California Environmental Quality Act("CEQA"). The Environmental Impact Report for the Sixth Amendment will provide greater detail on the Sixth Amendment's impacts on environmental quality. 5 ' 46 ' g� AVAILABILITY OF COMMUNITY FACILITIES AND SERVICES The Sixth Amendment will modify the Redevelopment Plan to provide that any redevelopment activity shall be subject to, and consistent with, the policies set forth in the City's General Plan, Zoning Ordinance, and local codes and ordinances, as they now exist or are hereafter amended.The General Plan incorporates policies to mitigate impacts on public services and facilities. Implementation of the Redevelopment Plan and its proposed projects are expected to improve the City's existing community facilities and services. The Sixth Amendment will allow the Agency to utilize increased tax increment revenues to provide for the upgrading of existing,and construction of new, community facilities,which will be of benefit to the Project Area. t EFFECT ON SCHOOL POPULATION AND QUALITY OF EDUCATION The Project Area is served by the Colton Joint Unified School District. Future redevelopment in the Project Area would be consistent with the City's General Plan and could result in the generation of additional school-age children and raise demand for educational services. Pursuant to existing California law, any future development, including non-residential uses, will be required to pay statutory fees, which fully mitigate potential impacts on school facilities. Therefore, no significant impacts are anticipated and no mitigation measures are required. The Colton Joint Unified School District ("District") receives pass through payments pursuant to an existing fiscal mitigation agreement that provides for a full (100%) pass through of the tax increment revenue generated from inflationary adjustments to the Project Area's base year value. The District also receives mandatory statutory pass through payments pursuant to the Redevelopment Law, as explained in Section D of this Preliminary Report. These statutory payments are made to all taxing agencies (including school districts), irrespective of whether the district suffers impacts from the Redevelopment Plan. This revenue may be used for capital and operational purposes,including school facilities. E PROPERTY TAXES AND ASSESSMENTS The Redevelopment Plan calls for various methods of financing its implementation. Because'redevelopment agencies do not have the constitutional authority to impose taxes, implementation of the Redevelopment Plan does not cause an increase in property tax rates. Rather, the principal method of financing redevelopment is the utilization of tax increment revenues generated by the Project Area. Tax increment financing reallocates property tax revenues generated by increases in the assessed value of property in the Project Area. Improvement to Project Area property may result in higher assessed valuation in the same way that improving property in any area may result in increased assessed value. LOW AND MODERATE INCOME HOUSING PROGRAM A. Number of Dwelling Units Housing Low and Moderate Income Households Expected to be Destroyed or Removed Over the Remaining Life of the Redevelopment Plan The Agency currently does not have any plans to destroy or remove dwelling units housing low and moderate income households over the remaining life of the Redevelopment Plan. B. Number of Persons and Families of Low and Moderate Income Expected to be Displaced Over;the Remaining Life of the Redevelopment Plan The Agency currently does not have any plans to displace low and moderate income individuals over the remaining life of the Redevelopment Plan. C. General Location of Replacement Low and Moderate Income Housing to be Rehabilitated, Developed and Constructed 47 QS The Agency currently does not have any plans that would remove or destroy any housing units as a result of implementation of the Redevelopment Plan. It is important to note that the Agency is rescinding its eminent domain authority as part of this Sixth Amendment. However, if any destruction or removal occurs as a result of an Agency project pursuant to applicable sections of Redevelopment Law, it is the Agency's intention that ` any replacement housing units be located within the Project Area or in nearby areas that permit residential uses.Any new units may be constructed in areas within the Project Area where such uses are permitted. D. Number of Dwelling Units Housing Persons of Low and Moderate Income Planned for Construction or Rehabilitation Other than Replacement Housing The Agency is required to allocate 20% of the tax increment generated by the Project Area to increase, improve and preserve the community's supply or low and moderate income housing. The Agency intends to use these funds to construct, rehabilitate and improve low and moderate income housing within the Project Area. The exact number of dwelling units that will be constructed or rehabilitated cannot be estimated at this time; however the Agency will implement a housing program that addresses the housing needs and problems of the Project Area pursuant to the Housing Element of the City's General Plan. The Implementation Plan contained in Section E of this Report lists specific affordable housing activities proposed from 2010-2014. E. Projected Means of Financing Rehabilitation and New Construction of Housing for Low and Moderate Income Households The Agency intends to utilize not less than 20 percent of its tax increment revenues to finance the rehabilitation, construction and purchase of, and mortgage assistance to, housing for low and moderate income households, in accordance with the provisions of Redevelopment Law as it now exists or may hereafter be amended. The Agency will also cooperate with the City to pool funds and resources beyond the tax increment set aside funds if it is determined to be necessary by both legislative bodies in order to improve the City's affordable housing stock. F. Projected Timetable for Meeting the Redevelopment Plans'Relocation, Rehabilitation and Replacement Housing Objectives The Agency has no plans to remove any housing units at this time. As stated previously, the proposed Sixth Amendment includes the removal and elimination of the Agency's eminent domain authority in the Project Area. However, if any units are destroyed or removed as a result of an Agency project, pursuant to applicable sections of Redevelopment Law, replacement housing would be completed within four years following the demolition of any occupied affordable unit. The time frame for rehabilitating units-pursuant to the Redevelopment Plan will be subject to the availability of housing fund revenues. Rehabilitation activities will be gradually phased over the duration of the Redevelopment Plan. �a 48 i 96 APPENDIX A: IMPLEMENTATION PLAN Attached as a separate document. '• J �q 49 97 9 ctrr City of Grand Terrace Community Redevelopment Agency 2010-2014 Implementation Plan Grand Terrace Redevelopment Project Area Adopted: December 8, 2009 Resolution No. CRA-09-11 9' Grand Terrace Redevelopment Project Area Five-Year Implementation Plan 2010 through 2014 Contents Page Introduction 1 About the Redevelopment Plan and Project Area 2 Proposed Amendment to the Redevelopment Plan 3 Recent Accomplishments 4 Redevelopment Plan Goals 6 Projected Tax Increment Revenues 7 Proposed Redevelopment Program 8 Housing Set-Aside Requirements 9 Proposed Affordable Housing Program 11 Housing Program Compliance Objectives 12 Housing Compliance Plan 14 Available Low/Mod Housing Funds 14 Housing Production 15 Replacement Housing 17 Proportionality Requirements 17 Proportionality Expenditures Based on Household Income Groups 18 Proportionality Expenditures Based on Senior and Non-Senior Population 19 Housing Units Constructed Without Low/Mod Funds 20 Housing Production Goals 21 4 Plan Administration 22 i Grand Terrace Redevelopment Project Area Five-Year Implementation Plan 2010 through 2014 INTRODUCTION This document is the Five-Year Implementation Plan for the Grand Terrace Community Redevelopment Project of the City of Grand Terrace Community Redevelopment Agency (Agency). In fulfillment of Article 16.5 of California Community Redevelopment Law (CRL), the Agency has, prepared the Implementation Plan for the Grand Terrace Redevelopment Project Area, and this Implementation Plan was adopted by the Agency following a duly noticed public hearing held on December 8, 2009. The Implementation Plan presents the Agency's goals and objectives, anticipated projects and programs, and estimated expenditures for the five-year planning period., 2010 to 2014. It also addresses the Agency's affordable housing production and replacement housing needs and achievements. The Implementation Plan conforms to the City's General Plan and has been prepared according;to guidelines established in the programs and goals outlined in the Housing Element of the General Plan. Page Vof 22 Adopted December 8, 2009 10! Grand Terrace Redevelopment Project Area Five-Year Implementation Plan 2010 through 2014 ABOUT THE REDEVELOPMENT PLAN AND PROJECT AREA The Redevelopment Plan for the Grand Terrace Community Redevelopment Project was originally adopted by the City Council in 1979 via Ordinance No.25 and comprised a 640-acre Project Area. In accordance with California Community Redevelopment Law (CCRL; California Health and Safety Code Section 33000, et seq.), it provides the Agency of the City of Grand Terrace with powers, duties and obligations to implement a program for the redevelopment, rehabilitation, and revitalization of areas within the Redevelopment Plan boundaries. The Redevelopment Plan has since undergone additional amendments. Ordinance No. 31 was adopted on March 20, 1980 and it provided for allocations to affected taxing agencies. Ordinance No. 52 was adopted on July 16, 1981, which expanded the Project Area to include all lands within the City thereby increasing the limits of the Project Area. City Council approval of Ordinance No. 187 in 1999 authorized the use of eminent domain to acquire non-residentially zoned property, or with the owner's consent. A fourth amendment was adopted via Ordinance No. 202 in September 2002 to clarify the description of the Redevelopment Plan's dollar limit on tax revenue. The fifth and most recent amendment occurred in 2004 when the City Council adopted Ordinance No. 212 to extend the duration of the Redevelopment Plan and the time limit on paying indebtedness or receiving property taxes pursuant to the Plan to July'15, 2027. Table 1: Revised Grand Terrace Community Redevelopment Project Adoption date 1979, amended 1981 Expiration of Plan 2017 No time limit for non-residentially Time Limit for Use of Eminent Domain zoned properties, no authority for residentially zoned properties Time Limit to Incur Debt 2017 Time Limit to Repay Debt 2027 The entire City limits are located within the Project Area, which allows the Agency to embark on infrastructure, economic development, affordable housing, and other initiatives to mitigate blight in the community. Redevelopment in the Project Area has been responsible for development of much of the City's public infrastructure, preservation of the community's supply of affordable housing and development of new affordable residential properties, and expansion of recreational and community facilities. The Redevelopment Plan provides the Agency the resources to finance and complete these projects without burdening property owners. The Agency has the authority to complete redevelopment projects for the next seven and one-half(7%) years, until the Redevelopment Plan's effectiveness expires in July of 2017. Page 2 of 22 Adopted December 8. 2009 101 Grand Terrace Redevelopment Project Area Five-Year Implementation Plan 2010 through 2014 PROPOSED AMENDMENT TO THE REDEVELOPMENT PLAN 9 , An amendment to the Redevelopment Plan is currently underway, and is expected to be considered for adoption in 2010, subsequent to the adoption of this Implementation Plan. The proposed amendments to the Redevelopment Plan include: Extending the duration of the Redevelopment Plan and time limit to collect tax increment revenue by seven years, pursuant to Section 33333.6 of Community Redevelopment Law; Increasing the limitation on the amount of tax increment that can be allocated to the Agency from the Project Area from $70 Million to $225,000 Million; • Increasing the limitation on the amount of bonded indebtedness that can be outstanding at one time from $15 Million to $65 Million; Replacing the description of land uses in the Redevelopment Plan with language that directly refers to the City's General Plan, Zoning Code, and other applicable land use policies and standards, as they currently exists and may be hereafter amended; and Amending and restating the Redevelopment Plan to incorporate prior amendments into a single document. If approved, the amendment will modify time and financial limits on the Redevelopment Plan for the f~' Project Area. The amendment is being proposed because the current limits will not allow the Agency to implement projects and programs necessary to alleviate blight and provide affordable', housing within the Project Area. The current financial cap of$70 Million over the life of the Plan will only allow the Agency to collect tax increment revenue approximately through fiscal year 2011-2012, at which time the Agency's debt will not have been completely paid off and the Agency's housing obligations will not have been completed. The Agency will not have revenue to implement any programs or projects beyond the 2011-12 fiscal year. If the amendment is approved, it is anticipated that the mid-term review of this Implementation Plan will be updated to reflect the Redevelopment Plan Amendment. F Page 3 of 22 Adopted December 8. 2009 10; Grand Terrace Redevelopment Project Area Five-Year Implementation Plan 2010 through 2014 RECENT ACCOMPLISHMENTS In the last five years, the Agency,has championed many successful projects and programs in the Project Area. Public Infrastructure J • High School and Public Infrastructure Improvements. Through a partnership with the Colton Joint Unified School District, property was assembled for the new high school and businesses were relocated. A City of Riverside 48-inch water line was relocated and water line easements were transferred to the City of Riverside for maintenance. Negotiations continue with Riverside County Transportation Agency and Union Pacific Railroad to complete improvements to Main Street. • Property Acquisition for Project Site Assembly. Property acquisition for both the freeway- oriented 100-acre project(former Outdoor Adventure Center) and the Town Square Commercial Project has been underway in partnership with private development partners. In addition, the Agency is pursuing additional opportunities while sales prices are low to assemble property for projects at other locations that will provide new jobs and services for residents. • Commercial Improvement Grant Program. This program is available to property owners and/or business owners as an economic incentive to rehabilitate existing commercial structures. Implementation of the program is expected to eliminate blight, yield a stronger commercial presence, and increase the, likelihood of new business development. The program focuses on the exterior improvement of commercial buildings, including new paint/stucco, new doors and windows, decorative awnings, signage, landscaping and lighting. One major project is underway and a second has been submitted. Both are shopping center rehabilitations. • Completed design plans to underground overhead utility lines along a segment of Barton Road. • Completed design of community signs to strengthen civic and cultural functions. • Acquired property along Barton Road and demolished abandoned on-site structures. • Acquired property along Vista Grande Avenue and demolished abandoned on-site structures for a future park facility. • Updated the BRSP design policies. • Initiated design to reconstruct Grand Terrace Road, west of the 1-215. • Started the preliminary design for a new baseball field. Housing Page 4 of 22 Adopted December 8 2009 103 Grand Terrace Redevelopment Project Area Five-Year Implementation Plan 2010 through 2014 • Blue Mountain Senior Villas and Senior Center. This project includes the construction of 120 affordable rental apartment units, a 7,000 square foot senior center, and a 2-acre passive park. The project will house 72 very low income, 36 low income, and 12 moderate income senior households. • Neighborhood Improvement Grant Program. The program grants up to $1,000 per household to purchase landscaping and irrigation materials for front yard improvements and exterior paint. The goal of this program is to reduce blight and property depreciation caused by deteriorated exterior paint, poor front yard maintenance and the lack of front yard landscaping. Though this program would not result in substantial rehabilitation to assist in meeting long-term affordable housing production goals, these efforts are critical to reducing the number of deteriorating and/or at-risk housing units in the City. Forty-five projects have been completed. • Canal Street Project. The Agency is continuing to work with a developer to construct approximately 23 rental units affordable to low income families, and purchased property in the R3 (Medium Density) zoning district. 4 Page 5;of 22 Adopted December 8, 2009 104 Grand•Terrace Redevelopment Project Area Five-Year Implementation Plan 2010 through 2014 REDEVELOPMENT PLAN GOALS Adopted in 1979 and amended in 1981, the Redevelopment Plan establishes a variety of goals for redevelopment of the Project Area. These goals frame the near term redevelopment objectives for the 2010-2014 Implementation Plan period. _ 1. Eliminate Blight: The elimination of blighting influences and the correction of environmental deficiencies in the Project Area. 2. Strengthen Commercial Use: Strengthen retail and other commercial functions. 3. Strengthen Economic Base: The strengthening of the economic base of the Project Area and the community by the installation of needed site improvements. 4. Improve Parking and Open Space: The provision of adequate land for parking and open spaces. 5. Civic and Cultural Enhancement: Enhance the role of the City by strengthening civic, community and cultural functions. 6. Historical Preservation: Preserve artistically, architecturally, and historically worthwhile structures and sites. 7. Design Criteria: The establishment and implementation of performance criteria to assure high site design standards and environmental quality and other design elements that provide unity and integrity to the entire Project. 8. Strengthening Existing Housing: Strengthen and upgrade existing residential uses. 9. Improve Utilities: Provide adequate streets, curbs, gutters, drainage facilities, and street lights and permit improved pedestrian and/or vehicular circulation in the Project Area. Cause the undergrounding of unsightly overhead utility lines. Page 6 of 22 Adopted December 8. 2009 1 n; Grand Terrace Redevelopment Project Area Five-Year Implementation Plan 2010 through 20114 PROJECTED TAX INCREMENT REVENUES ; Table 2, below, reflects projected gross tax increment revenues that are anticipated during the 2010-2014 Implementation Plan period, which does not include deductions for pass through payments, debt services or administrative costs. As previously indicated, the Redevelopment Area is expected to reach its limit on the amount of tax increment during the Implementation Plan period and no tax increment will be generated in the last two years of the Implementation Plan planning - period. This will limit the Agency's ability to reach the goals established when the Redevelopment Plan was adopted. Table 2: Projected Tax Increment Revenues 2010-2014 (Without Amendment) 2009-10 2010-11 2011-12 2012-13 2013-14 Tax Increment $7,288,333 $7,457,636 $4,486,796 $0 $0 Revenue Non-Housing $5,830,656 $5,966,109 $3,589,437 ' $0 $0 Revenue (Gross) Housing Set-Aside' $1 457,667 $1,491,527 $897,359 $0 $0 Revenue(Gross) - The Agency is currently processing an amendment to the Redevelopment Plan that would, among " other things, increase the amount of tax increment revenue that could be collected during the life of the Redevelopment Plan. Provided that the amendment to the Redevelopment Plan is adopted,' tax increment revenues could be collected during the life of the Implementation Plan to allow the, Agency to.address the goals of the Redevelopment Plan. Table 3 reflects projected tax increment revenues that could be collected during the 2010-2014 Implementation Plan period with the adoption of the amendment to the Redevelopment Plan. Table 3: Projected Tax Increment Revenues 2010-2104 (With Amendment) 2009-10 2010-11 2011-12 2012-13 2013-14 Tax Increment $7,371,325 $7,62„770 $7,891,908 $8,163,971 $8,444,195 Revenue Non-Housing $5,897,060 $6,102,216 $6,313,556 $6,532,794 $6,755,356 Revenue(Gross) Housing Set-Aside $,147,4265 $1,525,554 $1,578,382 $1,63,2794 $1,688,839 Revenue(Gross) Page 7 of 22 Adopted December 8, 2009 106 Grand Terrace Redevelopment Project Area Five-Year Implementation Plan 2010 through 2014 PROPOSED REDEVELOPMENT PROGRAM The list of potential non-housing redevelopment program activities scheduled for the next five years is shown in Table 4 below. The purpose of this list is to identify which blighting condition(s) a particular project is expected to address and is not intended as a complete or final list of needed improvements within the Project Area. The completion of identified redevelopment program activities will ensure continued progress toward the alleviation of existing blighting conditions by: Table 4: Proposed 2010-2014 Non-housing Redevelopment Projects Project Description Preliminary Cost Estimate Goals Achieved Mixed Use Specific Plan-Continue land assembly $2,000,000 1, 2, 3, 9 Barton Road Infrastructure Improvements $500,000 1, 2, 3, 5 High School Storm and Signal Improvements $230,000 1, 5, 9 Senior Center Commercial Kitchen Improvements $80,000 5 Grand Terrace Road Reconstruction $150,000 1, 3, 9 Grand Terrace Road Landscaping $40,000 1, 3 Land Assembly on Barton Road $500,000 1, 2, 3, 7 Barton Road Utility Undergrounding $275,000 1, 2, 3, 7, 9 Michigan Street Improvements $400,000 1, 2, 9 Update of the BRSP $150,000 1, 2, 4, 6, 9 Commercial Improvement Grant Projects $300,000 1, 2, 3, 7 Public Message Sign Project $70,000 2, 3, 5 Baseball Park Project $175,000 4, 5 Vista Grande Park Project $70,000 4, 5 Page 8 of 22 Adopted December 8. 2009 107 Grand Terrace Redevelopment Project Area Five-Year Implementation Plan 2010 through 2014 HOUSING SET-ASIDE REQUIREMENTS 9 The Grand Terrace Redevelopment Agency is required to set-aside twenty percent (20%) of its annual tax increment into a low- and moderate-income housing fund. This set-aside is referred to as the Low/Mod Housing Fund within the Implementation Plan. The purpose of the Low/Mod Housing Fund is to produce, increase, improve and preserve the community's supply of low- and moderate-income housing. In carrying out the annual housing set-aside requirements, the Agency — may exercise any or all of its powers, including the following: ; • Acquire real property or building sites subject to the provisions of H&S Code § 33334.16. • Improve real property or building sites with on-site or off-site improvements, but only if the improvements directly and specifically improve or increase the community's supply of low or moderate income housing. • Donate real property to private or public persons or entities. • Finance insurance premiums. • Construct buildings or structures. • Acquire buildings or structures. • Rehabilitate buildings or structures. • Provide subsidies to, or for the benefit of, very low-income households, as defined by H&S Code § 50105, lower income households, as defined by H&S Code § 50079.5, or persons and families or low or moderate income, as defined by H&S Code § 50093, to the extent those households cannot obtain housing at affordable costs on the open market. (Housing units available on the open market are those units developed without direct government subsidies) • Develop plans; pay principal and interest on bonds, loans,,advance, or other indebtedness or pay financing or carrying charges. • Maintain the community's supply of mobile homes. • Preserve the availability to lower income households of affordable housing units in housing developments which are assisted or subsidized by public entities and which are threatened with imminent conversion to market rates. • The agency may use these funds to meet, in whole or in part, the replacement housing provisions of state redevelopment law. • The Low/Mod Housing Fund can also be used for planning and general administrative costs, when directly related to programs and activities associated with H&S Code § 33334 2(e). This includes the following activities: Page 9 of 22 Adooted December 8. 2009 108 Grand Terrace Redevelopment Project Area Five-Year Implementation Plan 2010 through 2014 o Costs incurred for salaries, wages, and related costs of the Agency's staff or for services provided through inter-agency agreements, and agreements with contractors, including usual indirect related costs. o Costs incurred by a non-profit corporation, which are not directly attributable to a special project. o Legal, architectural, and engineering costs and other salaries, wages, and costs directly related to the planning and execution of a specific project which are authorized under subdivision (3) of H&S Code § 33334.2 and which are incurred by a non-profit housing sponsor and are not planning and administrative costs for the purpose of this Section, but are, instead, project costs. j r Page 10 of 22 Adopted December 8, 2009 i nq Grand Terrace Redevelopment Project Area Five-Year Implementation Plan 2010 through 2014 PROPOSED AFFORDABLE HOUSING PROGRAM The list of potential affordable housing program activities scheduled for the next five years is shown in Table 5, below. The purpose of this list is to.identify which blighting condition(s) a particular project is expected to address and is not intended as a complete or final list of needed improvements within the Project Area. Table 5: Proposed 2010-2014 Affordable Housing Program Project Description Preliminary Cost Estimate Goals Achieved Canal Street Rental Housing $1,000,000 8 Neighborhood Improvement Grant Program $150,000 8 Purchase, Rehab and Re-sell Program $400,000 8 Home Improvement Loan Program $150,000 8 Mobile Home Park Upgrade and/or $150,000 8 Expansion Program Senior Home Repair Program $100,000 8 Page 11 of 22 Adopted December. 8,2009 11( Grand Terrace Redevelopment Project Area Five-Year Implementation Plan 2010 through 2014 HOUSING PROGRAM COMPLIANCE OBJECTIVES a This section of the Implementation Plan addresses specific requirements in State law with respect to prior affordable housing activities and the anticipated housing program in the future. Redevelopment agencies use implementation plans to establish ten-year objectives to achieve compliance with State law in its affordable housing programs. These housing goals generally fall into three categories: Housing Production—based on the number of housing units constructed or substantially rehabilitated over a ten year period, a redevelopment agency is to ensure that a percentage of these units are affordable to very low, low and moderate income households. Replacement Housing —another legal obligation for redevelopment agencies is to ensure that any housing units destroyed or removed as a result of an Agency redevelopment project that housed low to moderate income households be replaced within four years at the same household income levels. Expenditures by Household Types—specific requirements on the amount of housing set-aside funds an agency must spend over a 10-year period on housing affordable to very low income households, low,income households, and housing for residents under the age of 65. Household Income Limits -Area median income is established by the Secretary of Housing and Urban Development, and adopted by the California Department of Housing. The Income limits are generally adjusted annually, and are based on the Section 8 income limits for the Riverside-San Bernardino-Ontario, CA SMA. Extremely low income households are defined as families and persons whose income does not exceed 30% of area median income. Very low income households are defined as families and persons whose income does not exceed 50% of area median income. While low income households are defined as families and persons whose income does not exceed 80% of area median income. Lastly, moderate income households are defined as families and persons whose income does not exceed 120% of area median income. Page 12 of 22 Adopted December 8, 2009 111 Grand Terrace Redevelopment Project Area Five-Year Implementation Plan 2010 through 2014 Table 6 represents the 2009 income thresholds for the various target housing populations in the City. Table 6: Income Table" Extremely Low Very Low _Low Income Moderate Household Income Income Income Area Media Size 30% of Area (50%of A Meth% of Arean Income) (120%of Area ( Median Income) Median Income) Median Income) 1 14,000 23,300 37,300 54,200 2 16,000 26,650 42,650 61,900 3 18,000 29,950 47,950 69,650 4 20,000 33.,300 53,300 77,400 5 21,600 35,950 57,550 83,600 6 23,200 38,650 61,850 89,800 7 24,800 41,300 -66,100 96,000 8 26,400 43,950 70,350 1,02,150 *2009 Median Income$64,500 for a household size of four persons. Source: California Department of Housing i Page 13;of 22 Adopted December 8. 2009. 1t Grand Terrace Redevelopment Project Area Five-Year Implementation Plan 2010 through 2014 HOUSING COMPLIANCE PLAN Health and Safety Code § 33490(a)(2)(A) requires that the Agency develop a Compliance Plan to ensure that the required number of very low, low and moderate income housing units will be produced or substantially rehabilitated within the Project Area. Available Low/Mod Housing Funds As of July 1, 2009, the Agency had approximately $998,000 available in its Low/Mod Housing Fund. To estimate the Agency's ability to develop and preserve low and moderate income housing, a projection of Housing set-aside revenue was developed for the Five-Year - Implementation Plan planning period (Table 7). Projections were based on anticipated tax increment revenue and known fixed fund obligations. These monies are allocated towards the preservation, development and/or rehabilitation of very low, low and moderate income housing units Table 7: Projected Net Annual Low/Mod Housing Fund Revenue 2010-2014 2010 2011 2012 2013 2014 Gross Set-aside $1,457,667 $1,491,527 $897,359 $0 $0 Estimated Service Debt $619,301 $619,268 $667,792 $0 $0 Estimated Residual for Administration and $838,365 $872,259 $229,567 $0 $0 Programs Based on the above income projection table, and the current balance of$998,000 in the Low/Mod Housing Fund, the Agency anticipates that it will have approximately$2,938,191 in Low/Mod Housing Funds available during the planning period. This amount is net of anticipated debt service, and prior to consideration of operational and personnel expenses. However, as indicated the Agency will no longer be able to collect tax increment revenue beyond 2012, and no housing set aside revenue will be collected to implement housing programs and meet the Agency's housing obligations within the last two years of the planning period. This $2,938,191 constitutes the funds that are available to provide housing program and assist the City in meeting its inclusionary housing requirements. Although it would be difficult to meet its housing obligations with less than $3 Million for program funding, the Agency is still expected to meet its housing obligation throughout the planning period and the life of the Redevelopment Plan. The Agency would need to seek other funding sources to produce affordable housing units, such as, but not limited to, Federal HOME Funds, State Low Income Housing Tax Credits, Multi-Family Mortgage Revenue Bonds. Page 14 of 22 Mooted DecemhPr R 9nna 1 1'� Grand Terrace Redevelopment Project Area Five-Year Implementation Plan 2010 through 2014 Housing Production d To estimate the number of housing units that need to be affordable to very low, low and moderate income households the Agency estimated the total number of units to be constructed or substantially rehabilitated in the Project Area and applied formulas established in State law. Prior to the time limit on the effectiveness of the redevelopment plan, at least 15 percent of all new and substantially rehabilitated units developed within a project area under the jurisdiction of an Agency, by public or private entities or persons other than the Agency, shall be available at affordable housing cost to households of low or moderate income. Not less than 40 percent of the 15 percent the dwelling units must be affordable to very low income households. Table 8 summarizes the production goals over various time periods as required by Redevelopment Law. The number of affordable units required is based on statutory thresholds, and the Agency is responsible for ensuring that the appropriate number of affordable units is created during a ten-year period. Table 8: Actual and Projected Housing Production Needs by Time Period Actual/Assumed Housing Units Required Affordable Units, Time Period Constructed and Substantially Rehabilitated in Project Area Total Very Low Plan Adoption to 1995 1,336 200 80 Previous 10-Year Period 1995 to 2004 123 18 7 10-Year Planning Period 2005 to 2009 (Actual)2 172 26 10 2010 to 2014(Forecast)3 45 7 3 2015 to 2017 (Forecast)3 25 4 2 Redevelopment Plan Duration 1981-20174 1,701 255 102 Notes: All required units based on 15 percent of actual/assumed units developed by entities other than the Agency. No units developed by the Agency. 2 Total units produced within the Project Area based on actual units per City planning department or projections by Agency Staff. Includes 120 units at the Blue mountain Senior Villas. 3 Affordable units produced based on estimated affordable units produced (or covenants purchased) during each planning period inside or outside the Project Area. 4 The surplus affordable units in a ten year period may be applied against the unit production requirements during the following ten-year compliance periods while any deficit affordable units must be first produced during the following ten-year compliance period. As shown above, based on actual housing production from adoption of the Redevelopment Plan to 2009, the Agency has an affordable housing production need of 244 affordable housing units, ' including 97 low income units. It is also forecasted that within this Five-year Implementation Plan planning cycle (2010 to 2014) another 4 affordable units (including two 2 low income units) will be Page 15 of 22 Adopted December 8, 2009 114 Grand Terrace Redevelopment Project Area Five-Year Implementation Plan 2010 through 2014 required. In total, the Agency's inclusionary housing obligation over the life of the Redevelopment Plan is 255 affordable housing units with at least 102 of those units affordable to low income households. Fulfillment of these production goals is shown in Table 9. Table 9: Fulfillment of Affordable Housing Production Requirements by Time Period Time Period Units Required Units Produced Additional Units Net Surplus (see Table 8) Required Units Produced Total VL' Total VL Total VL Total VL Plan Adoption to 1995 200 80 0 0 200 80 0 0 Previous 10 Year Period 18 7 118 7 0 0 100 0 1995 to 2004' 10-Year Planning Period 2005 to 2009(Actual)4 26 10 113 29 0 0 87 19 2010 to 2014(Projected) 7 3 15 8 0 0 8 5 2015 to 2017 4 2 Redevelopment Plan 255 102 246 44 9 58 Duration (1981-2017)5 Notes: ' VL=Very low income 2 Affordable Units Required based on actual total Units Produced duringthe planning P g period and includes 111 units produced at Highland Apartments and 7 units produced from Blue Mountain Senior Apartments. 3 The surplus affordable units in a ten-year period may be applied against the unit production requirements during the following ten-year compliance period,while any deficit affordable units must be first produced during the following ten-year compliance period. a Affordable units required based on actual total units produced duringthe planning 113 units produced at Blue Mountain Senior Apartments. P 9 Period and includes 5 The Redevelopment Plan's effectiveness currently expires July 15, 2017. As shown in Table 9, the Agency has been able to fulfill the majority of its obligation through the construction of the Blue Mountain Senior Villas. However, it is also anticipated that at the end of the term of the Redevelopment Plan there is the potential for a deficiency of 9 low income units, and 58 very low income units. As described earlier in this Implementation Plan, the Agency is actively engaged in programs to provide additional affordable units in the Project Area. At present, the Canal Street Rental Housing project is expected to be constructed within this Implementation Plan period and will fulfill the Agency's affordable housing obligation during the Five-Year planning period, s well as provide a surplus of 13 affordable units. However, as indicated, at the end of the Redevelopment Plan (2017) the Agency may still have an outstanding housing production obligation of 67 units. Therefore, the Agency will continue to work diligently to fulfill the remaining affordable housing production deficit on an annual basis by facilitating the creation of projects that feature long-term affordability covenants. Page 16 of 22 Adopted December 8. 2009 ' 11S Grand Terrace Redevelopment Project Area Five-Year Implementation Plan 2010 through 2014 Replacement Housing Pursuant to Section 33413 of CRL, whenever dwelling units for persons or families of low or moderate income are displaced or removed from the low and moderate income housing market as part of an Agency assisted redevelopment project, the Agency must replace the same number of units affordable to the same income levels of those removed within four years of their removal. During the Implementation Plan period, the Agency does not anticipate that any Agency-assisted: - projects will result in the displacement or removal of affordable housing units. Consequently, the Agency does not anticipate that any housing will need to be replaced. Proportionality Requirements At the beginning of the Implementation Plan period on July 1, 2009, the Agency's Low/Mod Housing Fund had an available balance of$998,000. Over the five-year period ending on June 30, 2014, staff conservatively estimates that the Project Area will generate approximately $1,940,181, in 20-percent housing set aside revenue. Pursuant to Section 33334.4(a) of the Law, Low/Mod Housing Fund expenditures on low and very low income housing projects must be at least in proportion.to the City's fair share of the Regional Housing Need Assessment (RHNA). The number of units required in each income category may; be adjusted for units not assisted by the Agency that feature 55 year(for tenant-occupied units) or 45 year (for owner-occupied units) covenants. s i According to the City's 2006-2014 Draft Housing Element, the current RHNA figures for the City indicate a Citywide need for 80 very low income units, 55 low income units, and 63 moderate income units. Based on these figures and the proportionality requirements of CRL, at least 40%,of Agency's Low/Mod Housing Fund expenditures must target very-low income households, 20% must target low income households, and at least 32% must target moderate income households. Section 33334.4(b) requires that Low/Mod Housing Fund expenditures for senior housing also be in proportion to the community's population of seniors according to the most recent Census. Based on the 2000 Census, 1,245 (10.7%) of the City's 11,626 residents were over the age of 65. As such, not more than 10.7% of the Agency's available Low/Mod Housing Fund revenues may be; expended on senior housing projects. The remaining 89.2% must be expended on non-senior housing projects. i Page 17'of 22 Adopted December 8, 2009 11f Grand Terrace Redevelopment Project Area Five-Year Implementation Plan 2010 through 2014 Proportionality Expenditures based on Household Income Groups Table 10 presents the expenditure requirements based on proportionality requirements for the 2010 to 2014 Implementation Plan period. Table 10: Thresholds for Housing Program Expenditures Household Type Census/RHNA Allocation Minimum Percentage of Housing Set- Household Aside Expenditures over Implementation Plan period Total Population of the City 11,626 Total Population Under Age 65' 10,381 89.3% Total Population Over Age 65 1,245 10.7% Very Low Income Households 80 40%2 Low Income Households 55 20%2 Moderate Income Households 63 32%2 Total 198 100% Notes: ' Percentage of total households under the age of 65 based on the 2000 census data (www.census.aov). 2 Percentage of households in each income-level based on the City of Grand Terrace Regional Housing Needs Assessment for 2007 through 2014. Expenditures after 2006 are subject to new RHNA numbers as shown above.Targeting requirements prior to 2006 based on prior RHNA Housing Needs Allocation (31%for Very low-income and 24%for Low-income Housing Units). Using the data in Table 10, Table 11 reflects the established.thresholds for the use of Low/Mod Housing Funds for programs and capital expenditures based on the Agency's estimated $2,938,191 in the Low/Mod Housing Fund through the Implementation Plan planning period, and based on the City's RHNA allocation for affordable housing units. Table 11: Low Mod Housing Fund Expenditures Based on Income Category Income Category RHNA Allocation Minimum Projected Expenditure Required Very Low Income 80 $1,175,276 Low Income 55 $587,638 Moderate Income 163 $940 221 Above Moderate Income 1131 N/A Total 329 $2,703,135 Page 18 of 22 Adopted December 8. 2009 117 Grand Terrace Redevelopment Project Area Five-Year Implementation Plan 2010 through 2014 These proportionality requirements affect expenditures over a ten-year period, although the law permits the compliance initially for a period beginning in January 2002 and ending in June 2014. Table 12 documents the amount of low and moderate income housing fund revenue used since January 2002 for these income categories. Table 12: Housing Expenditures and Proportionality since 2002' Time Household Income Category Period Very Low Low Moderate Total Expenditures 2002 through $4,125 0.7% $3,975 0.7% $600,204 98.7% $608.304 20004 2005 $176,964 40.5% $170,529 39.5% $89,244 20.4% $436,738 2006 $1,128,155 45.8% $1,087,132 44.2% $246,143 10.0% $2,461,430 2007 $410,543 45.8% $395,614 44.2% $89,573 10.0% $895,730 2008 $1,561,742 45.8% $1,504,951 44.2% $340,744 10.0% $3,407,436 2009 $1,171,313 45.8% $1,128,720 44.2% $255,559 10.0% $2,555,593 Total $4,452,843 -43% $4,290,921 41% $1,621,467 16% $10,365,231 Notes: Based on Agency's Annual Housing and Community Development Reports. 2 Targeting requirements prior to 2006 based on prior RHNA Housing Needs Allocation(31%for Very low- income and 24%for Low-income Housing Units). Expenditures after 2006 subject to new RHNA numbers as shown in prior table. Proportionality Expenditures based on Senior and Non-Senior Population Based on the distribution of the City's senior and non-senior population, a minimum of$2,623,805 (89.3%) of the estimated Low/Mod Housing Fund available for housing programs and capital expenditures must benefit persons and households under the-age of 65. Table 13: Proportionality Expenditure for Senior and Non-Senior Population r Age Category %of Total Population Minimum Projected Expenditure Required Under 65 89.3% $2,623,805 65 and Over 10.7% $314,386 S Page 19�of 22 Adopted December 8, 2009 11f Grand Terrace Redevelopment Project Area Five-Year Implementation Plan 2010 through 2014 State law also requires a recap of the number of projects assisted by the Low/Mod Housing Fund over the past implementation period, divided by family projects (under age 65) and senior projects 4 (restricted to residents age 65 and older). Table 14 summaries these statistics from the last planning period (2005 to 2009). This Table shows that 100% of the Low/Mod Housing Funds expended by the Agency during the previous Implementation Plan were used for senior housing. Table 14: Proportionality Expenditures Based on Senior and Non-senior Population Housing Units Assisted by Housing Set-Aside Fund Set-Aside (July 2005 to June 2009) Expenditures Extremely Very Low Low Moderate Total Low Family Projects $0 0 0 0 0 0 (Non-Senior) 0% Senior Projects $9,320,189 0 55 53 12 120 Total $9,320,189 0 55 53 12 120 (100%) Housing Units Constructed Without Low/Mod Housing Funds No other funding source was used by the Agency to construct affordable units featuring long-term covenant restricted units (affordable units with covenants of at 45 years for ownership housing or 55 years for rental housing) during the.2005-2009 Implementation Plan. However, because the Agency will not generate any revenue past 2012, it is likely that the Agency will need to seek other funding sources to meets is affordable housing obligation. Page 20 of 22 Adopted December 8. 2009 114 Grand Terrace Redevelopment Project Area Five-Year Implementation Plan 2010 through 2014 HOUSING PRODUCTION GOALS d CRL requires that the Agency provide a Ten-Year Housing Compliance Plan that depicts the Agency's housing he goals. The Ten-Year Compliance Plan began with the previous 2005 to 2009 Implementation Plan and continues through to 2014. Table 15 shows the actual number of affordable housing units developed, rehabilitated, or assisted by the Agency between 2005-2009, while Table 16 represents a projection of the housing units to be developed, rehabilitated, or assisted by the Agency over the five-year period of the 2010-2014 Implementation Plan. Table 15: 2005-2009 Housing Production Housing Units Year Low/Mod Income Very Low Income 2005 0 0 2006 0 0 2007 0 0 2008 0 0 2009 65 55 Total 65 55 Table 16: 2010-2014 Production Goals' Housing Units Year Low/Mod Income Very Low Income 2010 0 0 2011 7 5 2012 8 3 2013 2 1 2014 2 1 Total 19 10 Notes: The degree to which the stated five-year housing production goals can be met is dependent on market conditions and the availability of supplemental funding from identified resources. Page 21 of 22 Adopted December 8, 2009 12( Grand Terrace Redevelopment Project Area Five-Year Implementation Plan 2010 through 2014 PLAN ADMINISTRATION The Agency of the City of Grand Terrace shall be responsible for administering this Implementation Plan and for monitoring redevelopment activities or programs undertaken pursuant to the Redevelopment Plan and this Implementation Plan. PLAN REVIEW At least once during the five-year term of this Implementation Plan, the Agency shall conduct a public hearing and hear testimony of all interested parties for the purpose of reviewing the Implementation Plan, and evaluating the progress of Agency Activities. The public hearing shall be held no earlier than two years and no later than three years after the date of adoption of this Implementation Plan. Notice of the public hearing to review the Redevelopment Plan and Implementation Plan shall be published pursuant to Section 6063 of the Government Code and posted in at least four permanent places within the Merged Project Area for a period of at least three weeks. Publication and posting of the notice shall be completed not less than 10 days prior to the date set for hearing. Pursuant to Article 16.5, this Implementation Plan may from time to time be amended after holding a public hearing on the proposed amendment. l ` r Page 22 of 22 Adopted December 8. 2009 121 d ATTACHMENT #4 DRAFT AMENDED OWNER PARTIPATION RULES 122 GRAND TERRACE REDEVELOPMENT AGENCY 22795 Barton Rd, Grand Terrace, CA 92313 d DRAFT OWNER PARTICIPATION RULES FOR PROPERTY OWNERS, OPERATORS OF BUSINESS AND ' BUSINESS TENANTS Grand Terrace Community Redevelopment Project Area As Amended on January 12, 2010 ROSENOW SPEVACEK GROUP, INC. www.webrsg.com 1�� GRAND TERRACE REDEVELOPMENT AGENCY Owner Participation Rules TABLE OF CONTENTS I. (100) PURPOSE AND INTENT .............................................................................................1 II. (200) DEFINITIONS..............................................................................................................1 III. (300) PROCEDURES FOR OWNER PARTICIPATION .........................................................3 (301) Solicitation of Participation by the Agency to Owners; Submissionof Statement of Interest by Owners....................................................3 (302) Submission and Form of Development Proposals.................................................3 (303) Agency Board Evaluation of Development Proposals Submitted by Owners.....4 (304) Unsolicited Submittal of Statements of Interest and Development Proposals by Owners.................................................................6 (305) Concurrent Consideration of Development Proposal(s)Submitted by Non-Owners...................................................................6 (306) Negotiations Toward Execution of Owner ParticipationAgreement or Other Agreement.........................................................6 (307) Failure to Respond Waives and Relinquishes Owner Participation Rights.........7 (308) Agency Action on Agreement for Development with Non-Owner; Limitations on Re-Opening Owner Participation Process.......7 (309) Additional Regulations Pertaining to Owner Participation and Non-Owner Participation.............................................................................................................................8 (310) Solicitation of Owner Participation Not Required in Development of Owner's Property by an Owner and Certain Other Instances ...8 IV. (400) REENTRY PREFERENCES FOR DISPLACED BUSINESSES....................................8 (401) Notice to Displaced Businesses...............................................................................8 (402) Agency Extension of Preferences............................................................................9 V. (500) PROCEDURE FOR AMENDING OWNER PARTICIPATION RULES...........................9 EXHIBITA............................................................................................................................................10 EXHIBITB.......................................................................................8....................................................12 EXHIBITC -Project Area Map........................................................................................................... 14 (( )1 R S G i 124 GRAND TERRACE REDEVELOPMENT AGENCY Owner Participation Rules I. (100) PURPOSE AND INTENT These Owner Participation Rules have been promulgated to implement the requirements of the Community Redevelopment Law, California Health and Safety Code Section 33000, et. seq., and to implement the provisions of the Amended and Restated Redevelopment Plan ("Amended Plan") for the Grand Terrace Community Redevelopment Project Area, particularly with respect to participation by property owners ("Owner") and extension of reentry preferences to businesses in the Grand Terrace Community Redevelopment Project Area. The Grand Terrace Community Redevelopment Project Area ("Project Area") incorporates all the territory within the boundaries of the original Grand Terrace Community Project Area ("Original Area") as adopted on September 27, 1979, and the area added to the Original Area on July 15, 1981. These Owner Participation Rules shall be applicable to the Project Area, as it is currently proposed and as may be amended in the future. These rules have been formulated to provide a consistent and uniform procedure and process for owner participation and business reentry for the Project Area. The objectives of these Owner Participation Rules are: (i) to implement the owner participation process in connection with the Project Area by encouraging, soliciting, and, as to participants selected by the City of Grand Terrace Redevelopment Agency("Agency"), carrying out by Agreement, participation in redevelopment of the Project Area, and (ii) to extend and establish reasonable preference to persons who are engaged in business in the Project Area, if they are displaced by the Agency, to reenter in business within the Project Area should they be required to move as a result of a redevelopment project undertaken by the Agency. These Owner Participation Rules provide to Owners a reasonable opportunity to identify their interest in owner participation, to submit Development Proposals, to receive good faith consideration by the Agency of complete Development Proposals, and, as selected by the Agency, to participate in the redevelopment of the Project Area. These Owner Participation Rules also allow for negotiations for the redevelopment and participation in the Project Area by persons and entities other than Owners. I1. (200) DEFINITIONS For the purposes of these Owner Participation Rules, the following terms shall have the following definitions: A. "Agency" means the City of Grand Terrace Redevelopment Agency, a public body, corporate and politic. B. "Agency Activities" means the acquisition of real property-by the Agency or by a private party pursuant to an Agreement with the Agency. C. "Agreement" means and includes any Owner Participation Agreement, Disposition and Development Agreement, Affordable Housing Agreement, or any other agreement approved by the Agency Board of Directors under which the Agency commits to participate and/or provide financial assistance to a proposed redevelopment project. D. "Amended Plan" means the Amended and Restated Redevelopment Plan for the Grand Terrace Community Redevelopment Project Area. I E. 'Business" or"Businesses" mean any person, persons, corporation, association, partnership, limited liability company, or other entity lawfully engaged in business within the Project Area. F. "City" means the City of Grand Terrace, California, a municipal corporation. no R S G 1 17S GRAND TERRACE REDEVELOPMENT AGENCY Owner Participation Rules G. "City Council" means the legislative body of the City of Grand Terrace. H. Development Proposal means a complete and detailed proposal for a development or redevelopment project or other participant proposal which is timely submitted to the Agency, in accordance with, and meeting the requirements of, Section 302 hereof. I. "Displaced Business" means a Business, which has been displaced by Agency notice and action in implementation of a public program or project in conformance with applicable laws. J. "Executive Director" means the Executive Director of the Agency, or his/her designee. ,-- K. "Implementation Plan' means the effective Five-Year Implementation Plan adopted by the City of Grand Terrace Redevelopment Agency, as may be further amended from time to time. L. "Non-Owner' means any person or entity who is not an Owner in the Project Area, but is interested in the submittal and consideration of a Development Proposal by the Agency. M. 'Owner" or "Owners' mean any person, persons, corporation, association, partnership, limited liability company or other entity (a) holding fee title of record to real property in the Project Area, or (b) holding a proprietary interest in a cooperative housing project within the Project Area which includes the right to occupy a dwelling unit within the cooperative housing project. N. "Owner Participation Agreement' means a type of Agreement, which is entered into between the Agency and an Owner in accordance with the provisions of the Amended Plan and the Owner Participation Rules as set forth herein. O. 'Owner Participation Rules' means these rules governing owner participation and reentry �^ preferences in the Project Area. P. "Participant' means an Owner, which has entered into an Owner Participation Agreement with the Agency. a. "Project Area" means the territory within the boundaries of the Grand Terrace Community Redevelopment Project Area including the original Grand Terrace Community Redevelopment Project Area adopted September 27, 1979, and the area added to the original Grand Terrace Community Redevelopment Project Area on July 15, 1981. R. "Statement of Interest" means a statement by an Owner that such Owner is interested in participating in the development or redevelopment of property or other form of participation within the Project Area. A Statement of Interest, whether solicited by the Agency or submitted by an Owner on its own initiative, must be in writing, and substantially in the form of the Owner's Statement of Interest to Participate which is attached and incorporated as Exhibit "A' to these Owner Participation Rules, and which may be updated from time to time by the Executive Director. S. "Statement of Interest in Business Reentry' means a statement by a displaced or potentially displaced Business that such Business is interested in reentry into the Project Area. A Statement of Interest in Business Reentry, whether solicited by the Agency or submitted by a Business on its own initiative, must be in writing, substantially in the form of the Statement of Interest in Business Reentry which is attached and incorporated as Exhibit "B" to these Owner Participation Rules, and which may be updated from time to time by the Executive Director. n R�� 2 17 F. GRAND TERRACE REDEVELOPMENT AGENCY Owner Participation Rules III. (300) PROCEDURES FOR OWNER PARTICIPATION Owners within the Project Area who desire to exercise their participation rights shall follow the procedures which are set forth in this Section III. (301) Solicitation of Participation by the Agency to Owners; Submission of Statement of Interest by Owners. A. Prior to entering into an Agreement with a Non-Owner, or with another Owner who has submitted an unsolicited proposal, for the development or redevelopment of a particular site = within the Project Area, the Agency, through its staff, shall notify those Owners within the Project Area on whose property the project site is proposed, of the opportunity to submit a Statement of Interest for the development of the site, or other participation proposal. The Agency shall send written notice via certified or registered United States mail to those Owners whose property, within the Project Area, is the subject of the proposed development. Owners so notified by mail shall be given thirty(30) days, or any longer period as the Agency may specify in the notice, from the date the notice is mailed by the Agency to submit a Statement of Interest to the Agency. B. Not later than thirty (30) days after the end of the period set forth above in Section 301 for timely submittal of Statements of Interest, the Agency staff shall acknowledge receipt of the Statements of Interest by sending confirming letters to the Owners who have submitted such Statements of Interest. Such written acknowledgment does not and shall not obligate the Agency to select an Owner/applicant, or to ultimately reach agreement with any Owner/applicant, or to exclusively negotiate with any Owner/applicant. (302) Submission and Form of Development Proposals i A. Owners who have timely submitted a Statement of Interest may submit a more detailed Development Proposal subject to the following time periods and procedures: i. Within forty-five (45) days after the date of mailing of the Agency confirmation letter acknowledging receipt of the Statement of Interest, any Owner who has timely submitted a Statement of Interest must submit to the Agency a Development Proposal if such Owner wishes to continue with the process. B. Development Proposals shall include the following: i. Construction and development pro forma, a site plan, a business/operating plan, developer qualifications, a narrative description of the market support for the proposed'project, an operating pro forma, as applicable, and an explanation of the economic benefits of the proposed project to the Agency, the City, and the community. ii. The proposed uses must conform with the requirements, intent, goals, and objectives of the Amended Plan, the Implementation Plan, the City General Plan, any applicable redevelopment criteria specified by the Agency in the notice sent to Owners as provided in Section 301, zoning, other applicable development standards, and other applicable federal, state and local laws, codes and regulations. i C. The Development Proposal submitted by an Owner may provide for an Owner to participate in substantially the same location as the Owner's present use, may provide for expansion of the Owner's present use by retaining all or portions of Owner's property and acquiring adjacent property, may provide for the Owner's participation in a location within the Project Area different from the location in which the Owner's property is currently located, or may G)R S G 3 117 GRAND TERRACE REDEVELOPMENT AGENCY Owner.Participation Rules propose some other form of participation by the Owner in the redevelopment of the proposed development site. D. Owners shall provide such additional information as may be reasonably requested{by the Executive Director and Agency staff. E. The Agency's staff will be available prior to the end of the 45 day deadline for submissions of Development Proposals to discuss owner participation, respond to questions, and assist Owners in the preparation of Development Proposals; provided that the Owner in all instances (and not the Agency staff) shall be responsible for the content, form,' and preparation of any Development Proposal. F. The Agency, through its staff, will review Development Proposals upon receipt thereof, and shall notify Owners whether the Development Proposals submitted comply with the requirements of these Owner Participation Rules and have been determined to be complete or incomplete. In the event the Agency staff notifies an applicant submitting a Development Proposal that the Development Proposal is incomplete or that additional information is required, such applicant may be allowed fifteen (15) days from such Agency staff notification to complete and resubmit its Development Proposal. The failure to provide such additional information and resubmit the revised Development Proposal in a timely manner shall automatically disqualify such Development Proposal from any further consideration and shall be deemed a rejection by the Agency of such proposal. Notwithstanding the foregoing, initial Development Proposal submissions which do not include or address all of the required items may, in the discretion of the Agency Staff, be rejected without. an opportunity for resubmission. (303) Agency Board Evaluation of Development Proposals Submitted by Owners A. The Agency Board shall consider in good faith and without discrimination all Development Proposals timely submitted by Owners (who previously also timely submitted a Statement of Interest), and determined by Agency staff to be complete, at a regular or special Agency meeting held at the earliest feasible time but not later than sixty (60) days after the conclusion of the Development Proposal submission period described in Section (302)(A) above and as may be extended pursuant to Section 302 (F). After consideration of the Development Proposals, the Agency Board may, in the exercise of its discretion, accept, conditionally accept, continue the item for additional review, or reject any or all Development Proposals submitted by Owners, and/or may select, if at all, a Development Proposal in accordance with this Section 303 and these Owner Participation Rules. B. In the exercise of its discretion, the Agency acknowledges that its primary purpose, objective, and duty is to carry out and implement the Amended Plan and to eliminate blight in.the interest of the health, safety and welfare of the community. The Agency's decision to accept,conditionally accept, or reject any Development Proposal will be made in consideration of such purpose, objective, and duty. C. Development Proposals shall be evaluated by the Agency with consideration of factors determined by the Agency to be relevant in carrying out its duties to implement the i Amended Plan and the Implementation Plan, which may include, but are not limited to, some or all of the following factors (the following factors are not listed in any particular order of ranking): i. Conformity of the Development Proposal, including proposed uses, with the requirements, intent, goals, and objectives of the Amended Plan, the Implementation Plan, the City General Plan, the Specific Plans, applicable I o R1;G 4 17� GRAND TERRACE REDEVELOPMENT AGENCY Owner Participation Rules redevelopment criteria specified by the Agency in the notice sent to Owners as provided in Section 301, zoning, other development standards, and other applicable federal, state and local laws,codes and regulations; ii. Quality of design and project concept; iii. Whether the Owner has proposed participation in the same location as the proposed development site or in a different location; iv. The employment opportunities and economic benefits to the Agency and to the City which can be reasonably expected to result from the implementation of the Development Proposal; v., The qualifications of the Owner/applicant or its developer entity team proposed to develop the project described in the Development Proposal, including financial capacity to undertake the project, prior experience with similar development, quality of prior development projects, degree of site control, ability to obtain financing, ability to abide by Agency design standards and development controls, and readiness to proceed; vi. The estimated cost, if any, of City and/or Agency financial involvement, including the provision of City and/or Agency public services, subsidies, or public improvements required if the Development Proposal is accepted, and the availability of sufficient Agency and/or City funds to pay such costs; vii. The economic benefits to the Agency, the City, and the community, as determined by a cost/benefit analysis, if the Development Proposal were to be approved and the proposed project is implemented; viii. The effect of the Development Proposal on elimination of blighting conditions within the Project Area and the upgrading of uses; ix. The,probability of successful implementation of the Development Proposal; X. The time schedule for completion of the proposed project; A. _ The potential for displacement of persons and/or businesses and the need for relocation of Project Area residents, tenants, owners, or business operators in the implementation of the Development Proposal, and the need to create replacement housing for destroyed or removed housing units or projects; xii. The need for acquisition of interests in real property for the implementation of the Development Proposal, and the willingness of existing owners and holders of other property interests to sell such property; xiii. The environmental benefits or impacts of the proposed development, and evaluation of the cost and method of mitigation of such impacts, if any; xiv. iThe impact of the Development Proposal on existing buildings and improvements; and xv. The merits of the Development Proposal relative to the merits of other Development Proposals for the same proposed development site or for other sites in the Proposed Merged San Jacinto Project Area. (C" R S G ��a GRAND TERRACE REDEVELOPMENT AGENCY Owner Participation Rules D. Nothing in the Owner Participation Rules shall obligate the Agency to select any Development Proposal. All costs associated with submitting a Statement of Interest and any subsequent Development Proposal shall be borne solely by the Owner or Non- Owner submitting such document(s). 9 (304) Unsolicited Submittal of Statements of Interest and Development Proposals by Owners A. Under these Owner Participation Rules, Owners may submit Statements of Interest to the Agency on their own initiative, rather than through the solicitation of interest by the Agency as described in Section 302 above,even if the Agency has not notified Owners of a development opportunity on a proposed development site. B. Owners who have submitted a Statement of Interest under Section 304 (A) above will be notified by Agency staff within thirty (30) days of submittal of the Statement of Interest that such Owner may submit a Development Proposal to the Agency also at their own initiative, even if the Agency has not notified Owners of a development opportunity-for a proposed development site. Except as otherwise provided in this Section 304, Development Proposals submitted pursuant to an unsolicited Statement of Interest shall be processed and evaluated in accordance with and subject to Sections 302 and 303. C. The Agency will not accept or consider untimely or unsolicited Statements of Interest and/or Development Proposals concerning real property in the Project Area for which the Agency has already selected an Owner or a Non-Owner for development or redevelopment of such particular site in conformity with these Owner Participation Rules. D. Submission of an unsolicited Statement of Interest or follow-up Development Proposal shall not obligate the Agency to select or approve any development plan, proposal or application. (305) Concurrent Consideration of Development Proposal(s)Submitted by Non-Owners A. Any Non-Owner may submit to the Agency a Development Proposal for the proposed development of property within the Project Area at the same time that Owners are submitting Development Proposals solicited by the Agency pursuant to these Owner Participation Rules. B. The Agency may, but is not required to, evaluate, consider, and take action on, such Development Proposal(s) from one or more Non-Owners concurrently with its evaluation, consideration, and action on the Development Proposals solicited by the Agency and submitted by Owners under these Owner Participation Rules. (306) Negotiations Toward Execution of Owner Participation Agreement or Other Agreement The Agency shall use good faith efforts to negotiate toward and enter into a mutually acceptable Owner Participation Agreement (or other Agreement, as applicable) with the selected Owner or Non-Owner, as the case may be, whose Development Proposal has been selected or conditionally selected by the Agency Board, if any. Each Agreement shall contain provisions necessary to ensure that the Development Proposal will be carried out with such covenants, conditions and restrictions as the Agency reasonably requires. Each Agreement will require the selected Owner or Non-Owner, as applicable, to execute and record such further documents as the Agency may require in order to ensure conformance with the Community Redevelopment Law and other applicable laws, to provide record notice of covenants, conditions and restrictions which are imposed by the Agreement, and to provide security for the obligations of the selected Owner or Non-Owner. All Agreements with an Owner shall become effective only when executed by the Owner/Participant and duly approved by the Agency Board. If negotiations with the selected Owner or Non-Owner does �1R1c;1; 6 in GRAND TERRACE REDEVELOPMENT AGENCY Owner Participation Rules not lead to an Agreement within a reasonable time, the Agency may, in its discretion, select a different Development Proposal from among the prior submissions, may solicit new Development Proposals from those previously submitting Development Proposals, or may start the process anew. d (307) Failure to Respond Waives and Relinquishes Owner Participation Rights Subject to the notice requirements of these Owner Participation Rules, an Owner who does not submit a Statement of Interest or a Development Proposal meeting the requirements of Section 302 and Section 303 above within the required time periods shall be deemed to have conclusively waived and relinquished any right of the Owner to be considered as an Owner or Participant with respect to a proposed development site pursuant to the Amended Plan and these Owner Participation Rules. (308) Agency Action on Agreement for Development with Non-Owner; Limitations on Re- Opening Owner Participation Process A. The Agency may enter into an Agreement with any Non-Owner for the development or rehabilitation of property implementing a Development Proposal submitted by a Non- Owner, after one of the following has occurred:- i. The Agency has given notice of a development opportunity as set forth in Section 301 hereof and has received no Statements of Interest from Owners during the time period set forth in Section 301 for submission of Statements of Interest; or ii. The Agency has given notice of a development opportunity as set forth in Section 301 hereof and has received one or more Statements of Interest from Owners during the time period set forth in Section 301 for submission of Statements of Interest, but has received no Development Proposals during the time period set forth in Section 301 for submission of Development Proposals;or iii. The Agency has given notice of a development opportunity as set forth in Section 301 hereof and has received one or more Development Proposals from Owners for the specified site, and the Agency has considered and rejected all such Owner-submitted Development Proposals pursuant to Section 303 hereof. B. Any substantial changes in a Development Proposal from. an Owner or a Non-Owner selected by the Agency subsequent to the selection of such Development Proposal shall not require or be construed to require the Agency to re-notify any Owners of property within the Project Area of the opportunity to submit or re-submit a Statement of Interest or a Development Proposal for the development of the site. Once the Agency has selected a Development Proposal from and entered into an Agreement with an Owner or a Non- Owner, or if negotiations with such Owner or Non-Owner do not lead to an Agreement, the Agency shall not be under any obligation or continuing obligation to re-offer the development opportunity to any Owner not selected by the Agency or to any other Owners or Non-Owners. The Agency advises and acknowledges that Development Proposals commonly are revised during the process of negotiating and implementing an Agreement, as further analysis is performed of the legal, economic, design, and other aspects of the proposed project. Such revisions do not re-open the Owner participation process under these Owner Participation Rules and do not entitle any other Owner or y Non-Owner to'receive an additional opportunity to participate in the development. O R S G 7 121 GRAND TERRACE REDEVELOPMENT AGENCY Owner Participation Rules (309) Additional Regulations Pertaining to Owner Participation and Non-Owner Participation A. An Owner's or Non-Owner's opportunity to participate under these Owner Participation Rules is not and shall not be construed to constitute a right of first refusal or a right of first negotiation of any proposal or agreement. B. Time is of the essence in the submission of Statements of Interest and Development Proposals by Owners, and the Agency may enter into Agreements for the development and/or redevelopment of property without the need to consider Statements of Interest and Development Proposals which have not been timely submitted in accordance with the time periods set forth above and/or which do not meet the requirements for a complete r^ Development Proposal as set forth herein. C. Nothing herein shall prevent or preclude the Agency from entering into an Exclusive Negotiation Agreement ("ENX) or similar agreement with any Owner and Non-Owner with respect to a development site, whether prior to or during the Owner Participation process. The entering into an ENA or similar agreement by the Agency shall not be, or construed to be, a prejudgment or pre-commitment concerning any Development Proposal or the selection of any Owner or Non-Owner for a development site. (310) Solicitation of Owner Participation Not Required in Development of Owner's Property by an Owner and Certain Other Instances A. If an Owner desires to develop or rehabilitate its own property, no solicitation of Statements of Interest or Development Proposals from other Owners shall be required prior to the Agency entering into an Owner Participation Agreement(or other Agreement) with such Owner for the development or rehabilitation of the Owner's own property. , B. No solicitation of Statements of Interest or Development Proposals from Owners shall be 'mil required prior to the Agency entering into an agreement for the development of Agency- owned property. C.. No solicitation of Statements of Interest or Development Proposals from Owners shall be required prior to the Agency entering into an Agreement for the development or rehabilitation of real property outside of the Project Area. D. No solicitation of Statements of Interest or Development Proposals from Owners or Non- Owners shall be required prior to the Agency entering into a non-exclusive negotiation agreement or similar agreement with an Owner or Non-Owner. The entering into a non- exclusive negotiation agreement or similar agreement by the Agency"shall not be, or constructed to be, a prejudgment or pre-commitment concerning any Development Proposal or the selection of any Owner or Non-Owner for a development site. IV. (400) REENTRY PREFERENCES FOR DISPLACED BUSINESSES Persons who are engaged in businesses in the Project Area which have been displaced by Agency Activities and who have not otherwise been relocated pursuant to the Agency's Method of Relocation who desire to exercise their reentry preferences shall follow the procedures which are set forth,in this Section IV. 5 (401) Notice to Displaced Businesses The Agency shall notify any Businesses which are to be displaced by Agency Activities ("Displaced Businesses ) of their right of reasonable preference to reenter in business within the Project Area. Such written request from the Business to re-enter shall be in writing and, substantially in the form of [� a RSG GRAND TERRACE REDEVELOPMENT AGENCY Owner Participation Rules the Statement of Interest in Business Reentry in the Project Area which is attached and incorporated as Exhibit "B" to these Owner Participation Rules. Businesses so notified shall be given thirty (30) days from the date the notice is given by the Agency to submit a Statement of Interest to the Agency. (402) Agency Extension of Preferences d The Agency shall exercise reasonable efforts to secure preferential rights for Displaced Businesses in Owner Participation Agreements or Disposition and Development Agreements which provide for the development of structures in which a Displaced Business might re-enter. Displaced Businesses which desire to pursue such reentry opportunities may negotiate directly with the owner of the property in which the reentry opportunity is located. The ability of a Displaced Business to re-enter will depend, in part, upon the ability of the Displaced Business to participate on the basis proposed by the owner of the property, including such factors as the ability to pay the requisite rent, the suitability of the proposed use of the Displaced Business for the development under consideration, the Displaced Business's readiness to proceed, and other factors. The Displaced Business also must conform to all applicable requirements of the Amended Plan. The preferences established by this Section IV shall not be construed to require the Agency to provide a subsidy or other financial assistance to such Displaced Businesses to enable them to reenter business in the Project Area. V. (500) PROCEDURE FOR AMENDING OWNER PARTICIPATION RULES The Agency may amend these Owner Participation Rules at a regular or special meeting. no R S G 9 122 GRAND TERRACE REDEVELOPMENT AGENCY Owner Participation Rules EXHIBIT A ° CITY OF GRAND TERRACE REDEVELOPMENT AGENCY OWNER'S STATEMENT OF INTEREST TO PARTICIPATE I hereby express my interest in participating in development or redevelopment of the following site (the "Site") within the Grand Terrace Community Redevelopment Project Area (the "Project Area") (See attached map) Please print or type information below: 1. Name: Telephone: 2. Fax: Email: 3. Address: 4. 1 am the record fee owner of the following property within the Site (Please provide street address of property): 5. 1 wish to participate in the proposed project on the Site as follows: ❑ 1 wish to construct a new building or other improvements on my present property. ❑ I wish to acquire property within the Project Area and construct a new building or other improvements on the property I acquire. (Identify proposed property below) ❑, 1 wish to acquire property within the Project Area for expansion of my current business or other use. (Identify proposed property and existing business/use below) ❑ 1 wish to rehabilitate/remodel my present property. ❑ 1 wish to acquire property within the Project Area and rehabilitate/remodel an existing building or other improvements on the property I acquire. (Identify proposed property below) ❑ 1 wish to sell my present property. ❑ Other- Please Describe: Location and description of property proposed to be acquired (If applicable): a 6. Background, experience, and information concerning you and your proposal (you may include further information, including a site plan, construction and operating pro formas, business plan and other information relevant to your'proposed activity, on additional sheets if you desire to do so, but such additional information is not required at this time): (G)R S G 10 GRAND TERRACE REDEVELOPMENT AGENCY Owner Participation Rules a) Generally describe your background and experience, particularly with respect to development of real property: b) Describe the development and redevelopment activities you propose and indicate your experience relevant to your proposal: Other remarks: 7. By my signature below: I acknowledge receipt of a copy of the Owner Participation Rules. The Owner Participation Rules and Reentry Preferences describe in detail when and how I may participate in the Project and the Agency's obligations with respect to my proposal. I understand that after I timely submit this Statement of Interest I will be required to submit a ' detailed "Development Proposal" within the time period specified in and conforming to the requirements of the Owner Participation Rules in order for my Development Proposal to be considered by the City of Grand Terrace Redevelopment Agency. I understand that submission of this Statement of Interest does not in any way obligate me to participate in the Project, or obligate the City of Grand Terrace Redevelopment Agency to approve my proposal. I understand that I have no absolute right to participate in development or redevelopment of the Project Area. This Statement of Interest is presented to the Agency pursuant to the Owner Participation Rules and Reentry Preferences on the day of , 2 Signed:, Print Name: Title (if applicable): j p R S G „ liq GRAND TERRACE REDEVELOPMENT AGENCY Owner Participation Rules EXHIBIT B CITY OF GRAND TERRACE REDEVELOPMENT AGENCY STATEMENT OF INTEREST IN BUSINESS REENTRY IN THE GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT AREA I hereby express my interest in reentering business within the Grand Terrace Community Redevelopment Project Area (the "Project Area") 1. Name: Telephone: 2. Fax: Email: 3. Address: 4. 1 am the owner of the following Business which may be or was displaced from the following site within the Project Area (the "Site")` by notice and action of the City of Grand Terrace Redevelopment Agency (Identify name and address of displaced Business and location of the Site; attach map of the Site): 5. 1 wish to reenter business in the Project checked below as follows: ❑ 1 wish to be notified by the Agency of opportunities to lease finished rental space within the Project Area. ❑ 1 wish to be notified by the Agency of opportunities to purchase property within the Project Area. ❑ Other. Please Describe: 6. Background, experience, and information concerning you and your interest in reentering business within the Project Area. a) Generally describe business back''ground and experience: R S G 12 13E GRAND TERRACE REDEVELOPMENT AGENCY Owner Participation Rules a b) -Describe the business activities you propose and indicate your experience relevant to your proposal: c) Other remarks: 7. By my signature below: I acknowledge receipt of a copy of the Owner Participation Rules. My reentry in business in the Project Area, and the Agency's obligations with respect to my reentry, are subject to the requirements of and set forth in detail in the Owner Participation Rules. I understand that submission of this Statement of Interest in Business Reentry does not in any way obligate me to reenter business within the Site or the Grand Terrace Community Redevelopment Project Area, or obligate the City of Grand Terrace Redevelopment Agency to obtain a business opportunity for me. I understand that I have no absolute right to reenter business within the Project Area. Signed: Print Name: Title (if applicable): Date: <05)R S G 13 117 GRAND TERRACE REDEVELOPMENT AGENCY Owner Participation Rules EXHIBIT C - PROJECT AREA MAP GRAND TERRACE COMMUNITY REDEVELOPMENT PROJECT AREA EXHIBIT C 09. ,?I,vc 4Q� > F- OR J LIT LA J L Legend OE liEtifi C3Grano Terrace RedwelopmeM PFOJGd Area Oug,nal Area Added Area -- LARKST -------- t 21 IT F4 N WON@- 'Note. The Grand Terrace Community Redevelopment Project Area boundary comprises the entire City boundary. - 0 0.125 0.25 0.5 0.75 1 71 Miles Sources:City GIS Department and Metroscan 14 Lv aq iALIFORYIA -AGENDA REPORT MEETING DATE: January 12, 2010 Council Item( ) CRA Item (X) TITLE: ANNUAL REPORT TO THE LEGISLATIVE BODY PRESENTED BY: Bernie Simon, Finance Director RECOMMENDATION: Accept and file the 2008-09 Annual Reports for the Community Redevelopment Agency BACKGROUND: EXECUTIVE SUMMARY: Section 33080.1 of the Health and Safety Code requires that each redevelopment agency within the State of California present an annual report to its legislative body within six months of the end of the agency's fiscal year. As required by Section 33080.1, the independent financial audit, the fiscal statement for the 2008-09 fiscal year, the Housing and Community Development ("HCD")Report, and the State Controller's Report have been completed and are submitted for approval to the City Council. DISCUSSION: The annual report for fiscal year 2008-09 consists of financial and project information as summarized below: Housing and Displacement Activities Section 33080.1(c)requires a description of certain affordable housing and redevelopment activities in the 2008-09 fiscal year. Accordingly, the following has been identified: Displacement: There were no non-elderly or elderly households that were displaced or moved from their dwelling units as part of a redevelopment project of the Agency during the 2008-09 fiscal year. - Blue Mountain Senior Housing Project: The Agency is working with the developer to construct a 120 unit senior citizen rental project located at the former Webster House at 22645 Grand Terrace Road. In addition to the affordable units, the project will also feature a senior citizens center. Of the 120 units, 108 will be restricted for very low and low income seniors; the CRA AGENDA ITEM NO. 1 r In addition, the Agency is pursuing additional opportunities while sales prices are low to assemble property for projects at other locations that will provide new jobs for residents. Completion of this project would assemble a large number of un-utilized or under utilized s parcels into a coordinated retail commercial center with improved circulation to and from the ' freeway and the creation of a new road, Commerce Way, to allow alternate access to the project area. Code Enforcement Program—The Agency has continued its support of the Code Enforcement Program to ensure the preservation of both residential and commercial neighborhoods and eliminate substandard housing. In addition to complaint response, during 2006, a residential inspection program was established for rental housing. Each unit is inspected on an annual basis, and any substandard housing and property maintenance violations observed are required to be corrected. Agency Owned Property Finally, Section 33080.1(f)requires a description of the total number of and nature of properties that the Agency owns and those properties the Agency acquired during the 2008-09 fiscal year. The Agency currently owns fourteen(14)parcels as listed below: . Parcel No Site Address Acquired Acres 1167-141-08 W.Commerce Dr. 10/Z5/2005 0.94 1167-151-61 None 11 22 2000 9.21 1167-151-68 None 11/22/2000 7.45 1167-151-62 None 11/22/2000 8.92 1167-151-71 None n a 4.97 1167-151-73 None n a 0.47 1167-161-03 21992 De Berry St. 8 19 2005 2.80 1167-231-01 22293 Barton Rd. 5 23 2001 1.38 1167-161-04 21974 DeBerrV St. 7 21 2005 0.25 0275-251-04 11695 Canal St. 05 2 09 0.66 i 0276-246-10 22720 Vista Grande 06 09 09 0.25 0275-242-10 22100 Barton Road 08 1 09 0.87 .014 113ri ACIM-30A, Afi3 0275-242-11 22100 Barton Road 01 27 09 0.44 0276-202-54 22747 Barton Road 01 13 09 0.34 f Reports filed with the State On file with the Finance Director are the independent financial audit and the fiscal statement for the fiscal year 2008-09, draft of the HCD Report, and draft of the State Controller's Report. The �- final reports were submitted to the State Controller's Office by December 31, 2009. FISCAL IMPACT: None by this report. Respectfully submitted, Bernie Simon, Finance Director Manager Approval: Betsy . Adam City Manager ATTACHMENTS: FY 2008-09 Audited Financial Statements FY 2008-09 Annual Report of Financial Transactions FY 2008-09 HCD Report f 1 3 June 30, 2009 Final Audited Financial Report Community Redevelopment Agency L COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF GRAND TERRACE, CALIFORNIA ANNUAL FINANCIAL AND COMPLIANCE REPORT JUNE 30, 2009 5 Community Redevelopment Agency of the City of Grand Terrace Table of Contents PAGE Independent Auditor's Report 1 Management's Discussion and Analysis 3 Basic Financial Statements Government-Wide Financial Statements Statement of Net Assets 11 Statement of Activities 12 Fund Financial Statements Balance Sheet - Governmental Funds 13 Reconciliation of the Balance Sheet of Governmental Funds to the Statement of Net Assets 14 Statement of Revenues, Expenditures, and Changes in Fund Balances - Governmental Funds 15 Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of Governmental Funds to the Statement of Activities 16 Notes to Financial Statements 17 Required Supplementary Information Budgetary Comparison Schedule - Major Special Revenue Fund 31 Report on Internal Control over Financial Reporting and on Compliance and Other Matters Based on an-Audit of Financial Statements Performed in Accordance with Government Auditing Standards 32 f ) ^ ' ' Q|nCF«S/ /�NV�KS0N/ NIAiqDY �� [[{» '^r~/ |r, ��� ^'°`'^"°~" ` ^ ^. ^ C'.i".� '. ~ .^ °rIE L "~N. '^ MIADF. 1)'11)L -0i'=11^1N,-, .^ Governing Board /^" '�W.-I ' ~^ Community Redevelopment Agency -- of the City ofGrand Terrace Grand Terrace, California - INDEPENDENT AUDITOR'S REPORT We have audited the accompanying financial statements of the governmental activities and each ma/or fund or the Community Redevelopment Agency of the City of Grand Terrace, California (the "Agency"), m component unit of the City of Grand Terrace, California, as of and for the year ended June 30. 2009. which collectively comprise the Agency's basic financial statements as listed in the table of contents. These component unit financial statements are the responsibility of the Agency's management, Our responsibility is to express opinions on theme financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards naqu)na that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatements. An audit includes examining, ono test baoia evidence supporting ' the amounts and disclosures in the financial statements. An audit also includes-assessing the accounting principles used and significant estimates made by mmnagement, as well as evaluating the We financial statement presentation � beUevathat our audit id '' provides reasonable basis for our opinions. - in our opinion, the financial statements /ahsrrad to above present b*ir|y, in all material respects, the respective financial position of the governmental activities and each major fund of the Community Redevelopment Agency of the City of Grand Terrace. California, as -of^ June 30 2009 and the respective changes in financial position for the )year than ended in conformity with accounting generally accepted in the United States of America In accordance with Government Auditing 8tandanty, we have also issued our report dated December 10. 2008 on our consideration of the Community Redevelopment Agency of the City of Grand Terrace, California's internal control over financial reporting and on our tests of its compliance with certain provisions of |evvm, regu|ationo, contracts and grant agreements and other matters. The purpose of that report isto describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the internal control over financial reporting or on compliance. That report is in an integral part of audit performed in accordance with Government Auditil7g Standards and should bm considered in assessing the 'e"ou|to of our audit. .. . .� . . '.. ' . ` ' � The management's discussion and analysis and budgetary comparison information on pages 3 through 10, and 31 are not a required part of the basic financial statements, but are supplementary information required by accounting principles generally accepted in the United States of America. VVe have applied certain limited procedures, which consisted principally of inquiries of management regarding the methods of measurement and presentation of the required supplementary information However, we did not audit the information and express no opinion on it. %t'�'�r°,�r �l•�*-�-icy-r-r. �.11.r•td� December 10, 2009 -2- Management's Discussion and Analysis Our discussion and analysis of the Community Redevelopment Agency of the City of Grand Terrace (the "Agency') financial performance for the fiscal year ended June 30, 2009 provides an overview of year ending results based on the government-wide statements, an analysis on the Agency's overall financial position, and results of operations to assist users in evaluating the Agency's financial position. In addition, it shows the result of the activities during the year for capital assets and long term debt. Please read it in conjunction with the Agency's financial statements. FINANCIAL HIGHLIGHTS The Agency spent $14,674,163 on programs and projects, including. High School and public infrastructure improvements — Through a partnership with the Colton Unified School District, property was assembled for the new high school and businesses were relocated The City of Riverside's 48-inch water line was relocated and the water line easements were transferred to the City of Riverside for maintenance. Negotiations continue with Riverside County Transportation Agency and Union Pacific Railroad to complete improvements to Main Street. Senior Center and Senior Housing — This project was reviewed for entitlements, the EIR completed, constructions plans completed, and construction is now underway. The project includes a new 7,000 square foot senior center (up from the existing 4,500 square feet) and 120 one- and two- bedroom units for seniors. One-hundred and eight (108) units are restricted for household incomes at or below 60% of the area median income adjusted for family size. Affordable Housing Programs — At an average of $30,000 per unit, the Agency's Home Improvement Program provides eligible low- and moderate-income households loans to fund minor rehabilitation expenses. One homeowner has been assisted during this Plan period, and additional projects may occur before the end of the period. The Agency is now reviewing foreclosed homes for future rehabilitation projects. Property Acquisition For Project Site Assembly — Property acquisition for both the freeway- oriented, 120-acre project (former Outdoor Adventure site) and the Town Square commercial project has been underway in partnership with private development partners In addition, the Agency is pursuing additional opportunities while sales prices are low to assemble property for projects at other locations that will provide new jobs for residents. Economic Development and Redevelopment Website — To offer better access to information about the City's and Redevelopment Agency's programs and projects, staff is in the process of upgrading the City's website. This effort includes providing links to outside agency programs that are available, such as small business loans and marketing plan assistance. Code Enforcement Program — The Agency has continued its support of the Code Enforcement Program to ensure the preservation of both residential and commercial neighborhoods and eliminate substandard housing. In addition to complaint response, during 2006, a residential inspection program was established for rental housing. Each unit is inspected on an annual basis, and any substandard housing and property maintenance violations observed are required to be corrected t 334 rental homes and 112 multi-family units are inspected each year, and the compliance rate to date is 95% Commercial Exterior Improvement Program — The Agency is working with property owners to I!r(jviL;e financial assistance to improve building facades -3- 9 Neighborhood Improvement Grant Program - The Agency is providing limited financial assistance to improve the exterior of older homes-in the City Landscape Beautification Projects — The Agency is assisting, median landscaping projects along major arterials in the City 4 Other • Assessed values in the project area increased 4 0% over the prior year • On the economic financial resources (government-wide) basis, the Agency's total net assets were in surplus position of $11,471,457 and on the current resources (fund financial statements) basis the Agency's fund balances were in a surplus position of$20,613,360 at the end of the year. The lower net assets position on the government wide basis derives from the fact that the Agency produces no capital assets yet reduces net assets for current and future indebtedness under existing bond agreements. The non-current portion of these liabilities is not shown under the fund financial statements. • On the economic financial resources (government-wide) basis, the Agency reported a change in net assets of ($5,463,852) and on the current resources (fund financial statements) basis reported a change in fund balance of $111,034 for the year This difference is due primarily to the construction on the senior housing project. It is also important to note that payments to retire bond principal reduce liabilities and therefore increase net assets on the government-wide basis, whereas payments to retire bond principal are considered expenditures and decrease fund balances under the fund financial statements. USING THIS ANNUAL REPORT This annual report consists of three parts — management's discussion and analysis (this portion), the basic financial statements, and required supplementary information The basic financial statements include the statement of net assets and statement of activities These provide information about the activities of the Agency as a whole and present a long-term view of the Agency's finances Fund financial statements explain how these services were financed in the short-term as well as what remains for future spending. Fund financial statements also report the Agency's operations in more detail than the government-wide statements by providing information about the Agency's most significant funds and other funds REPORTING THE AGENCY AS A WHOLE The Statement of Net Assets and the Statement of Activities: One of the most important questions asked about the Agency's finances is, 'Is the Agency as a whole better off or worse off as a result of the year's activities?" The statement of net assets and the staternent of activities report information about the Agency as a whole and about its activities in a way to answer this question These statements include all assets and liabilities of the Agency using the accrual basis of accounting, which is similar to the accounting used by most private-sector companies. All of the current year's revenues and expenses are taken into account regardless of when cash is received or paid -4- 1C -1 hese two statements report the Agency's net assets and Changes in not assets Net assets are the difference between assets (resources) and liabilities (obligations), which is one way to measure the Agency's financial health, or financial positron. Over time, increases or decreases in the Agency's net assets are an indication of whether its financial health is improving or deteriorating. However, consideration of other non-financial factors such as changes in the Agency's tax increritent to assess the overall health of the Agency, is necessary. REPORTING THE AGENCY'S MOST SIGNIFICANT FUNDS Fund Financial Statements: The fund financial statements provide detailed information about the most significant funds. Some funds are required to be established by State law and by bond covenants. However, management established other funds to help control and manage money for particular purposes or to show that it is meeting legal responsibilities for using certain taxes, grants and other resources. The Agency only has governmental type funds. Governmental funds - the Agency's basic services are reported in governmental funds, which focus on how money flows in and out of those funds and the balances left at year-end that are available for spending. These funds are reported using the modified accrual basis of accounting, which measures cash and all other financial assets that can readily be converted to cash. The governmental fund statements provide a detailed short-term view of the Agency's general government operations and the basic services it provides. Governmental fund information helps determine whether there are more or fewer financial resources that can be spent in the near future to finance the Agency's programs The differences of results in the governmental fund financial statements to those in the government-wide financial statements are explained in a reconciliation following each governmental fund financial statement. The statement of net assets and the statement of activities present information about the following: • Governmental activities - All of the Agency's basic services are considered to be governmental activities, including salaries and wages, community development, and public works Tax increment and investment income finance most of these activities. -5- 11 FINANCIAL ANALYSIS OF THE GOVERNMENT-WIDE STATEMENTS The government-wide statements provide long-term and short-term information about the Agency's overall financial condition. The analysis addresses the financial statements of the Agency as a whole TABLE 1 Net Assets Governmental Activities 2009 2008 Current and restricted assets $ 18,267,675 $ 18,742,826 Land held for resale 3,886,391 3,078,374 Capital assets - 7,159,159 Total assets 22,154,066 28,980,359 Long-term liabilities outstanding 7,452,506 9,120,007 Other liabilities 3,230,103 2,925.043 Total liabilities 10,682,609 12,045,050 Invested in capital assets - 7,159,159 Restricted 20,486,472 20,357,141 Unrestricted (9,015,015) (10.580,991) Total net assets $ 11,471,457 $ 16,935,309 TABLE 2 Changes in Net Assets Governmental Activities 2009 2008 GENERALREVENUES Property tax increment $ 8,942,753 $ 7,089,612 Investment earnings 231,858 592,850 Gain on sale of land held for resale - 314,190 Miscellaneous 35,700 290,589 Total revenues 9,210,311 8,287,241 PROGRAM EXPENSES. Community development 1,939,409 1,124,393 Pass-through payments 2,341,265 2,181,328 Project improvement costs 9,925,158 293,031 Interest on long-term debt 468,331 510,737 Total expense 14,674,163 4 109 489 Change in net assets $ (5,463.852) S 4,1Y77,752 -6- 12 Revenues - Statement of Activities The Agency's total revenue from governmental activities was $9;210,311 Redevelopment tax increment comprised $8,942,753 or 97 1 percent of the total revenue of the Agency Twenty percent of gross increment is restricted to low and moderate income housing programs After pass-through to other agencies, the Agency realized net increment of $6,688,980, an increase of 36 2% over last year. d Expenses - Statement of Activities Overall expenses of the Agency totaled $14,674,163. Project Improvement costs amounted to $9,925,158, which includes $7,159,159 of prior year costs included in construction in progress for the Senior Center, or 72.1 percent of the total. Expenses specific to other community development /^ activity, including planning, code enforcement and housing activities, totaled $1,939,409 or 13 2 percent of total expenses. Pass-through agreements consist of tax increment that is deducted from our gross increment and distributed to other agencies by the County of San Bernardino. The agency is required to report tax increment at the gross amount so that the calculations for the 20 percent set aside restricted for low and moderate income housing activities is distinguishable. This pass-through amount to $2,341,265 or 15 9 percent of total expenses Making up the remainder of expenses were interest on debt service ($468,331 or 3 2 percent). Net Assets-Statement of Activities The Agency's net assets decreased $5,463,852 during the year as a result of the transfer of the construction in progress amount of $7,159,159 on the Senior Center to the Developer. This change is reflected in the statement of activities FINANCIAL ANALYSIS OF THE FUND STATEMENTS The Agency uses fund accounting to assure and demonstrate compliance with finance-related legal ?, requirements. The fund financial statements focus on the individual parts of the Agency's government, reporting the Agency's operations in more detail than-the government-wide financial statements. The Agency's governmental funds provide information on near-term inflows, outflows and balances of spendable resources The Agency's governmental funds reported combined fund balances at June 30, 2009 of$20,613,360, an increase of less than 1% from last fiscal year TABLE 3 Fund Financial Statements - Fund Balances 2009 2008 Reserved for: Encumbrances $ 147,574 $ 316,518 Debt service 1.300,546 1,311,615 Long-term advances receivable 4.606.950 4,606,950 Long-term notes receivable 713,000 741,000 Land held for resale 3.886,391 3,078,374 Total reserved fund balances 10,654,461 10,054,457 Unreserved, reported in: Special revenue fund 1 517,653 3,990,580 1 Debt service fund 8,298,948 7,029,755 Capital projects fund 142.298 (,572,466) Total unreserved fund balances - 9.958.899 _ 10,447 869 Total fund balances 3 20,613 360 3 20,502,326 -7- 13 Fund Balance Analysis by Fund The Special Revenue Fund revenues were $1,825,693, and expenditures and financing uses were S4 155,751. Fund balance decreased by $2,330,058 to $3,171,432. The decrease primarily related to project costs of the Senior Housing project. The Debt Service Fund revenues and financing sources were $7,293,888, and expenditures and financing uses were $6,035,356 Fund balance increased $1,258,532 to $13,906,647 The Capital Projects Fund revenues and financing sources were $1.845,024 and expenditures and financing uses were $662.464 Fund balance increased $1,182,560 to $3,535,281. Major Special Revenue Fund Budgetary Highlights Over the course of the year, the Agency revised the Agency budget with adjustments that fall into the following two categories- - Changes made in the midyear review to adjust revenues, augment current year expenditure appropriations, adjust appropriations for prior year department carryover, and establish or increase designations of fund balance. • Other revenue adjustments and expenditure appropriations approved after the original budget is adopted, and before or after midyear report is approved. Actual revenues in the Housing Fund were $272,818 above revised estimates This is primarily due to increase in tax increment. Actual tax increment exceeded the estimate by $382,265, while investment earnings were $108,847 under final projections. Program expenditures were under final budget by $20,267, resulting in a budgeted surplus of $293,085 and an actual decrease to fund balance of $2,330,058. CAPITAL ASSETS The Agency's investment in capital assets for its governmental activities as of June 30. 2009, amounts to $0 Construction was completed on the Senior Housing Project, and the construction in progress amount at the beginning of the fiscal year and additional costs during the current year were expensed as the asset was transferred to the Developer 7 -8- 1• DEBT ADMINISTRATION At year-end, the Agency's governmental activities had $9,202.506 in outstanding bonds, loans and notes TABLE.4 Outstanding Debt, at Year-End _ Governmental Activities 2009 2008 Refunding tax allocation bonds $ 6,930,000 $ 8,495,000 Certificates of participation 2,520,000 2,655,000 Premium on bonds 71,699 95,598 Deferred charges (319,193) (425,591) Note payable - 10,972 Total outstanding debt $ 9,202,506 $ 10,830,979 ECONOMIC FACTORS Although delayed by legal challenges, the Agency is progressing with projects in 2008-09 Work is continuing on the Town Center Project and Freeway Project. The general economy of the Inland Empire region and especially the housing industry continued to decline and the foreclosures trend that began last year is accelerating. San Bernardino County's median new home price was down 13% compared to the previous year. New home sales fell 49.7% countywide, while existing home sales fell 144 3% The Inland Empire regional unemployment rate•was at 13% in May 09 The general economy for Grand Terrace approximates the regional statistics. Taxable sales at September 2009 decreased 11.8% compared to the previous year Assessed values for 2009-10 decreased 5.1%. The community was proud to be recognized by Money Magazine as No 92 out of 100 in their annual "Best Places to Live" article in 2007. The .continuing State of California budget crisis continues to have a potential effect on all cities, special districts and redevelopment agencies. The State of California passed the FY 2009-10 budget which includes ABx4-26 which will raid $2.05 billion from redevelopment funds this year A lawsuit has been filed by the Community Redevelopment Association challenging the constitutionality of ABx4-26 as part of the 2009 state budget. This is the second straight year that the Community Redevelopment Agency has participated in lawsuits against the state for ERAF transfers from agencies. Last year's challenge was successful and an appeal was not pursued by the state. The lawsuit seeks both to invalidate sections of AB 1389 and prohibit the State from forcing county auditors to divert redevelopment funds to the Educational Revenue Augmentation Funds (ERAF), now called SERAF in the current budget. The lawsuit contends that State takes of redevelopment funds to balance the State's budget violate Article XVI, Section 16 of the Constitution on multiple counts For one, the Constitution requires that redevelopment funds can be used only to finance specified redevelopment activities Second, taking of redevelopment funds could also unconstitutionally impairlcontracts, particularly covenants pledging future tax revenues to repay bonds -9- • 1S CONTACTING THE AGENCY'S FINANCIAL MANAGEMENT This financial report is designed to provide our citizens, taxpayers, customers, investors and creditors with a general overview of the Agency's finances and to show the Agency's accountability for the money it receives. If you have questions about this report or need additional financial information, contact the City's Finance Department. at the City of Grand Terrace, 22795 Barton Road, Grand, Terrace, California, 92313, or call 909-824-6621. -10- 1r Government-Wide Financial Statements 1 17 Community Redevelopment Agency of the City of Grand Terrace Statement of Net Assets June 30, 2009 ASSETS Cash and investments $ 11,107,450 Cash and investments with fiscal agents 12300,546 Interest receivable 31,090 Accrued revenue 419 Due from other governments 208,801 Due from City of Grand Terrace 4,606,950 Loan receivable 111,928 Land held for resale 3,886,391 Notes receivable 713,000 Deferred charges 187,491 Total assets 22,154,066 LIABILITIES Accounts payable and other current liabilities 442,929 Accrued interest payable 126,888 Due to other governments 530,736 Due to City of Grand Terrace 267,622 Deferred revenue 111,928 Non-current liabilities. Due within one year 1,750,000 Due in more than one year 7,452,506 Total liabilities 10,682,609 NET ASSETS Restricted for: Community development 3,171,432 Capital projects 3,535,281 Debt service 13,779,759 Unrestricted (deficit) (9,015,015) Total net assets $ 11,471,457 -Cie zac,companying iuti�s are an integral part of these tinancial statem,�nts 1F Community Redevelopment Agency of the City of Grand Terrace Statement of Activities For the Year Ended June 30, 2009 d PROGRAM EXPENSES Governmental activities: Community development $ 1,939,409 Pass-through payments 2,341,265 Project improvement costs 9,925,158 Interest on long-term debt 4618,331 Total program expenses 14,674,163 GENERAL REVENUES Taxes: Incremental property taxes 8,942,753 Investment earnings 231,858 Miscellaneous 35,700 Total general revenues 9,210,311 Change in net assets (5,463,852) Net assets, beginning of year 16.935,309 Net assets, end of year $ 11,471,457 Fhe accompanying notes are an integral part of these financial statements -12- 19 Fund Financial Statements i c 2i' Community Redevelopment Agency of the City of Grand Terrace Balance Sheet Governmental Funds June 30, 2009 Total .Special Capital Governmental ASSETS Revenue Debt Service Projects I Funds Cash and investments $ 1,625,815 $ 8,813,453 S 668,182 S 11,107.450 Cash with fiscal agents - 1,300,546 - 1,300.546 Interest receivable 5,800 24,846 444 31,090 Accrued revenue 419 - - 419 Due from other governments 41,480 167,321 - 208,801 Due from City of Grand Terrace 300,205 4,306,745 - 4,606,950 Loans receivable 111,928 - 111,928 Property held for resale 640,166 - 3,246,225 3,886,391 Notes receivable 713,000 - - 713,000 Total assets S 3,438,813 $ 14,612,911 S 3,914,851 S 21,966,575 LIABILITIES AND FUND BALANCES Liabilities: Accounts payable $ 155,453 $ 175,528 S 111,948 $ 442.929 Due to other governments - 530,736 - 530,736 Due to-City of Grand Terrace - - 267,622 267,622 Deferred revenue 111,928 - - 111,928 Total liabilities 267,381 706,264 379,570 1,353,215 Fund Balances. Reserved for: Encumbrances 408 408 146,758 147,574 Debt service 1,300,546 - 1,300,546 Long-term advances receivable 300.205 4,306,745 - 4,606,950 Long-term notes receivable 713,000 - - 713,000 Property held for resale 640,166 - 3,246,225 3,886,391 Unreserved, reported in. Special revenue fund 1,517,653 - - 1,517.653 Debt service fund - 8.298,948 - 8,298,948 Capital projects fund - - 142,298 142,298 Total fund balances 3,171,432 13,906,647 3,535,281 20,613,360 Total liabilities and fund balances $ 3,438.813 $ 14,612,911 S 3,914.851 S 21.966,575 The accompanying notes are an integral part of these financial statements -13- 21 Community Redevelopment Agency of the City of Grand Terrace Reconciliation of the Balance Sheet of Governmental Funds to the Statement of Net Assets For the Year Ended June 30, 2009 Total fund balances of governmental funds $ 20,613,360 Amounts reported for governmental activities in the statement of net assets are different because: Long-term liabilities applicable to the Agency's governmental activities are not due and payable in the current period and accordingly are not reported as fund liabilities. Interest on long-term debt is not accrued in governmental funds, but rather is recognized as an expenditure when due. All liabilities -- both current and long-term -- are reported in the statement of net assets. Balances at June 30, 2009 are: Bonds payable (9,450,000) Deferred charge on refunding 319,193 Costs of issuance 187,491 Premium received on issuance (71,699) Accrued interest payable (126,888) Net assets of governmental activities $ 11,471,457 The accompanying notes are an integral part of these financial statements -14- Ze Community Redevelopment Agency of the City of Grand Terrace Statement of Revenues, Expenditures, and Changes in Fund Balances Governmental Funds For the Year Ended June 30, 2009 Total Special Capital Governmental REVENUES Revenue Debt Service Projects Funds Fax increment S 1,788,550 S 7 154,203 S S 8,942,753 Use of money and property 37,143 139,685 55,030 231,858 Miscellaneous _ - - 35,700 35,700 Total revenues 1,825.693 7,293,888 90,730 9,210,311 EXPENDITURES Current: Economic development 642,830 - 271,763 914,593 Pass-through payments - 2,341,265 - 2,341,265 Capital outlay: Project improvement costs 2,555,593 - 210,406 2,765.999 Debt service. Principal - 1,700,000 10,972 1,710,972 Interest and other charges - 684,234 221 684,455 Total expenditures 3,198,423 4,725,499 493,362 8,417.284 Excess of revenues over,(under) expenditures (1.372,730L 2,568,389 (402,632) 793,027 OTHER FINANCING SOURCES (USES) Transfers in (out) (613,577) (1,140,717) 1,754,294 - Transfers to the City of Grand Terrace (343,751) (169,140) (169,102) _ (681,993) Total other financing sources (uses) (957,328) (1,309,857) 1,585,192 (681,993) Net change in fund balances (2,330,058) 1,258,532 1,182,560 111,034 Fund balances, beginning of year 5,501,490 12,648.115 2,352,721 20:502,326 Fund balances, end of year $ 3,171,432 $ 13,906.647 $ 3.535,281 $ 20,613,360 me=,ccompanying notes are an integral part of these financial statements 15- 23 Community Redevelopment Agency of the City of Grand Terrace Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of Governmental Funds to the Statement of Activities For the Year Ended June 30, 2009 Net change in fund balances of governmental funds $ 111,034 Amounts reported for governmental activities in the statement of activities are different because* Donations of capital assets decrease net assets in the statement of activities, but do not appear in the governmental funds because they are not financial resources. (7,159,159) The issuance of long-term debt provides current financial resources to governmental funds, while the repayment of the principal of long-term debt consumes the current financial resources of governmental funds. Neither transaction, however, has an effect on net assets. Also, governmental funds report the effect of issuance costs, premiums, discounts, and similar items when debt is first issued, whereas these amounts are deferred and amortized in the statement of activities Principal payments on debt 1,710,972 Some expenses reported in the statement of activities do not require the use of current financial resources and, therefore, are not reported as expenditures in governmental funds. Amortization of deferred charge on refunding (106.398) Amortization of costs of issuance (62,497) Amortization of premium 23,899 Change in accrued interest expense 18,297 Change in net assets of governmental activities $ (5,463,852) The accornpanyrng notes are an integral part of these financial statements -16- 24 Notes to Financial Statements 25 Community Redevelopment Agency of the City of Grand Terrace Notes to Financial Statements June 30, 2009 I. SIGNIFICANT ACCOUNTING POLICIES Note 1: Summary of Significant Accounting Policies The accounting policies of the Community Redevelopment Agency of the City of Grand Terrace (the "Agency") conform to accounting principles generally accepted in the United States of America as applicable to governments The Governmental Accounting Standards Board (GASB) is the primary standard setting body for governmental accounting and financial reporting principles. The following is a summary of the significant accounting policies. Description of the reporting entity The Agency is a component unit of a reporting entity which consists of the following oversight and component units: Reporting Entity: Oversight Unit: City of Grand Terrace Component Units. Community Redevelopment Agency of the City of Grand Terrace City of Grand Terrace Public Financing Authority The component unit financial statements contain information relative only to the Agency as a component unit which is an integral part of the total reporting entity. They do not contain financial data relating to the other reporting unit. The Agency was formed under Section 33000 et. Seq. of the Health and Safety Code. Its purpose is to prepare and carry out plans for improvement, rehabilitation and redevelopment of blighted areas within the territorial limits of the City of Grand Terrace. The City provides management assistance to the Agency and the members of the City Council also act as the governing body of the Agency. As of June 30, 2009 the Grand Terrace Project Area was the only project area formed by the Agency. Government-wide and fund financial statements The government-wide financial statements include a statement of net assets and the statement of changes in net assets which report information on all of the nonfiduciary activities of the Agency. For the most part, the effect of interfund activity has been removed from these statements Governmental aoltivities are normally supported by taxes and intergovernmental revenues -i7- 2 t' Community Redevelopment Agency of the,City of Grand Terrace Notes to Financial Statements June 30, 2009 Note 1: Summary of Significant Accounting Policies (continued) The statement of activities demonstrates the degree to which the direct and indirect expenses of a given function or segment are offset by program revenues. Direct expenses are those that are clearly identifiable with a specific function or segment. Program revenues include 1) charges to customers or applicants who purchase, use, or directly benefit from goods, services, or privileges provided by a given function or segment and 2) grants and contributions that are restricted to meeting the operational or capital requirements of a particular function or segment. Taxes and other items not properly included among program revenues are reported instead as general revenues. Separate financial statements are provided for governmental funds. Major individual governmental funds are reported as separate columns in the fund financial statements Measurement focus, basis of accounting, and financial statement presentation The government-wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting. Revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless of the timing of the related cash flows. Property taxes are recognized as revenues in the year for which they are levied. Grants and similar items are recognized as revenue as soon as all eligibility requirements imposed by the provider have been met. Governmental fund financial statements are reported using the current financial resources measurement focus and the modified-accrual basis of accounting. Revenues are recognized as soon as they are both measurable and available. Revenues are considered to be available when they are collectible within the current period or soon enough thereafter to pay liabilities of the current period For this purpose, the government considers revenues to be available if they are collected within 60 days of the end of the current fiscal period Expenditures generally are recorded when a liability is incurred, as under accrual accounting. However, debt service expenditures, as well as expenditures related to compensated absences and claims and judgments, are recorded only when payment is due. Property taxes are considered to be susceptible to accrual and have been recognized as revenues in the current fiscal period. All other revenue items are considered to be measurable and available only when cash is received by the government. The Agency reports the following major governmental funds The Special Revenue Fund is used to account for the portion of the Agency's tax increment that is required to be set aside for low and moderate income housing and related expenditures The Debt Service Fund is used to account for the accumulation of resources to be used for the repayment of Agency debt. The Capital Projects Fund isl used to account for the financial resources used in developing the project area as well as the a ministrative expenditures incurred in sustaining Agency activities. -18- 27 Community Redevelopment Agency of the City of Grand Terrace Notes to Financial Statements June 30, 2009 9 Note 1: Summary of Significant Accounting Policies (continued) Private-sector standards of accounting and financial reporting issued prior to December 1, 1989. generally are followed in the government-wide to the extent that those standards do not conflict with or contradict guidance of the Governmental Accounting Standards Board When both restricted and unrestricted resources are available for use, it is the government's policy to use restricted resources first, and then unrestricted resources as they are needed. Cash and investments The City of Grand Terrace maintains and controls cash and investment pools in which the City and, Agency share The government's cash and cash equivalents are cash or investments with original maturities of three months or less from the date of acquisition Investments are reported at fair value which is determined using selected bases. Cash deposits are reported at carrying amount which reasonably estimates fair value. Receivables and payables Activity between funds that are representative of lending/borrowing arrangements outstanding at the end of the fiscal year are referred to as either "due to/from other funds" (i e , the current portion of interfund loans) or"advances to/from other funds" (i.e., the non-current portion of interfund loans) All other outstanding balances between funds are reported as "due to/from other funds." Any residual balances outstanding between the governmental activities and business-type activities are reported in the government-wide financial statements as "internal balances." Currently, the Agency does not have any business-type activities Advances between funds, as reported in the fund financial statements, are offset by a fund balance reserve account in applicable governmental funds to indicate that they are not available for appropriation and are not expendable available financial resources Property taxes The County of San Bernardino collects property taxes for the Agency Tax liens attach annually as of 12 01 A.M on the first day in March preceding the fiscal year for which the taxes are levied. The tax levy covers the fiscal period July 1 to June 30. All secured personal property taxes and one-half of the taxes on real property are due November 1, the second installment is due February 1. All taxes are delinquent, if unpaid, on December 10 and April 10 respectively Unsecured personal property taxes become due on the first of March each year and are delinquent, if unpaid, on August 31 Land held for resale i The Agency has acquired several parcels of land as part of its primary purpose to develop or 7 redevelop blighted properties The Agency records these parcels as land held for resale in its financial records. The land is being carried in the Special Revenue Fund and Capital Projects Fund et net realizable vali_ie, which is equal to cost. At June 30, 2009 net realizable value for land held for rc%sale totaled S3 246 225 in the Capital Projects Fund and $640.166 in the Special Revenue Fund ,vgl-1 these amounts offset by a reservation of fund balance -19- 2f Community Redevelopment Agency of the City of Grand Terrace Notes to Financial Statements June 30, 2009 Note 1: Summary of Significant Accounting Policies (continued) Long-term obligations In the government-wide financial statements, long-term debt and other long-term obligations are reported as liabilities in the applicable governmental activities column in the statement of net assets. Bond premiums and discounts, as well as issuance costs, are deferred and amortized over the life of the bonds using the effective interest method. Bonds payable are reported net of the applicable bond premium or discount. Bond issuance costs are reported as deferred charges and amortized over the term of the related debt. Fund equity In the fund financial statements, governmental funds report reservations of fund balance for amounts that are not available for appropriation or are legally restricted by outside parties for use for a specific purpose. Designations of fund balance represent tentative management plans that are subject to change. Use of estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates. II. STEWARDSHIP, COMPLIANCE AND ACCOUNTABILITY A. Budgetary data General Budget Policies The Governing Board approves each year's budget submitted by the Executive Director prior to the beginning of the new fiscal year. Public hearings are conducted prior to its adoption by the Governing Board. Supplemental appropriations, where required during the period are also approved by the Board. Intradepartmental budget changes are approved by the Executive Director. In most cases, expenditures may not exceed appropriations at the function level. At fiscal year-end all operating budget appropriations lapse. Budgets are prepared on the modified accrual basis of accounting. The legal level of budgetary control is the object level within a department. Encumbrances Encumbrances are estimations of costs related to unperformed contracts for goods and services These commitments are recorded for budgetary control purposes in the governmental funds Encumbrances outstanding at year-end are reported as a reservation of fund balance They represent the estimated amount of the expenditure ultimately to result if unperformed contracts in-process at year-end are completed They do not constitute expenditures or estimated liabilities -20- t 29 Community Redevelopment Agency of the City of Grand Terrace Notes to Financial Statements June 30, 2009 A, III. DETAIL NOTES-ON ALL FUNDS Note 2: Cash and Investments Cash and Investments as of June 30, 2009 are classified in the accompanying financial statements as follows, Statement of Net Assets: Cash and investments $ 11.107,450 Cash and investments with fiscal agents 1,300,546 $ 12.407,996 Cash and Investments as of June 30, 2009 consist of the following- Deposits with financial institutions (pooled with City) 8 (3,801,288) Investments 16,209,284 $ 12,407,996 Authorized investments The table below identifies the investment types that are authorized for the Agency by the California Government Code (or the Agency's investment policy, where more restrictive) The table also identifies certain provisions of the California Government Code (or the Agency's investment policy, where more restrictive) that address interest rate risk, credit risk, and concentration of credit risk. This table does not address investments of debt proceeds held by bond trustee that are governed by the provisions of debt agreements of the Agency, rather than the general provisions of the California Government Code or the Agency's investment policy Maximum Maximum Maximum Percentage Investment in Authorized Investment Type Maturity of Portfolio One Issuer U S Treasury Obligations 5 years None None Repurchase Agreements 1 year None None Certificates of Deposit 5 years None None Negotiable Certificates of Deposit 5 years 30% None Passbook Savings Accounts N/A None None Securities Issued by Federal Agencies 5 years None None Local Agency Investment Fund N/A None None Mutual Funds N/A 20% 10% Pools and other investment structures N/A None None -21- 30 Community Redevelopment Agency of the City of Grand Terrace Notes to Financial Statements June 30, 2009 Note 2: Cash and Investments (continued) ` Investments authorized by debt agreements Investments of debt proceeds held by bond trustee are governed by provisions of the debt agreements, rather than the general provisions of the California Government Code or the Agency's investment policy. The table below identifies the investment types that are authorized for investments held by bond trustee. The table identifies certain provisions of these debt agreements that address interest rate risk, credit risk and concentration of credit risk. Maximum Maximum Maximum Percentage Investment in Authorized Investment Type Maturity Allowed One Issuer Government Obligations None None None FHLB's None None None FHLMC's None None None Farm Credit Banks None None None FNMA's None None None Financing Corp Debt Obligations None None None Resolution Funding Corp Debt Obligations None None None Certificates of Deposit 360 days None None Deposits fully insured by FDIC None None None USAID Guaranteed Notes None None None Investment Agreements None None None Bankers Acceptances 360 days None None Municipal Obligations rated Aaa None None None Commercial Paper rated P-1 270 days None None Repurchase Agreements None None None Money Market Mutual Funds rated AAAm N/A None None Disclosures relating to interest rate risk Interest rate risk is the risk that changes in market interest rates will adversely affect the fair value of an investment. Generally, the longer the maturity of an investment, the greater the sensitivity of its fair value to changes in market interest rates. One of the ways that the Agency manages its exposure to interest rate risk is by purchasing a combination of shorter and longer term investments and by timing cash flows from maturities so that a portion of the portfolio is maturing or coming close to maturity evenly over time as necessary to provide the cash flow and liquidity needed for operations. Information about the sensitivity of the fair values of the Agency's investments to market interest rate fluctuations are presented below. information about the Agency's investments pooled with the City can be found in the City of Grand Terrace's Annual Financial Report. -22- 31 Community Redevelopment Agency of the City of Grand Terrace Notes to Financial Statements June 30, 2009 i Note 2: Cash and Investments (continued) 12 Months _Investment Type _ Amount or Less Money market mutual fund $ 1,300,546 $ 1,300,546 Local Agency Investment Fund 14,908,738 14,908,738 Total $ 16,209,284 $ 16,209,284 Disclosures relating to credit risk Generally, credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of the investment. This is measured by the assignment of a rating by a nationally recognized statistical rating organization. Information about the minimum rating required by the California Government Code, the Agency's investment policy, or debt agreements, and the actual rating as of year-end for each type of investment held by the Agency can be found below, information about the Agency's investments pooled with the City can be found in the City of Grand Terrace's Annual Financial Report Currently, LAIF is not rated by an accredited rating agency. Minimum Investment Type Amount Legal Rating Actual Rating Money market mutual fund $ 1,300,546 AAAm AAA Local Agency Investment Fund 14,908,738 N/A N/A Total $ 16,209,284 Concentration of credit risk The investment policy of the Agency contains no limitations on the amount that can be invested in any one issuer beyond that stipulated by the California Government Code Investments in any one issuer (other than U S. Treasury securities, mutual funds, and external investment pools) that represent 5% or more of the Agency's investments can be found in the City of Grand Terrace's, Annual Financial Report. s -23- 3d Community Redeveloprnent Agency of the City of Grand Terrace Notes to Financial Statements June 30, 2009 Note 2: Cash and Investments (continued) Custodial credit risk Custodial credit risk for deposits is the risk that, in the event of the failure of a depository financial institution, a government will not be able to recover its deposits or will not be able to recover collateral securities that are in the possession of an outside party. The custodial credit risk for investments is the risk that, in the event of the failure of the counterparty (e.g., broker-dealer) to a transaction, a government will not be able to recover the value of its investment or collateral securities that are in the possession of another party. The California Government Code and the Agency's investment policy do not contain legal or policy requirements that would limit the exposure to custodial credit risk for deposits or investments, other than the following provision for deposits: The. California Government Code requires that a financial institution secure deposits made by state or local governmental units by pledging securities in an undivided collateral pool held by a depository regulated under state law (unless so waived by the governmental unit). The market value of the pledged securities in the collateral pool must equal at least 110% of the total amount deposited by the public agencies. California law also allows financial institutions to secure deposits by pledging first deed mortgage notes having a value of 150% of the secured public deposits. For amount of deposits held in excess of federal depository insurance limits see the City of Grand Terrace's Annual Financial Report. Investments in State Investment Pool The Agency is a voluntary participant in the Local Agency Investment Fund (LAIF) that is regulated by the California Government Code under the oversight of the Treasurer of the State of California. The fair value of the Agency's investment in this pool is reported in the accompanying financial statements at amounts based upon the Agency's pro-rata share of the fair value provided by LAIF for the entire LAIF portfolio (in relation to the amortized cost of'that portfolio). The balance available for withdrawal is based on the accounting records maintained by LAIF, which are recorded on an amortized cost basis. Pooled cash - The Agency follows the practice of pooling cash and investments of all funds except for funds required to be held by outside fiscal agents under the provisions of bond indentures. Interest income earned on pooled cash and investments is allocated to the various funds based on the cash balances. Interest income from cash and"investments with fiscal agents is credited directly to the related fund. 4 -24- 33 Community Redevelopment Agency of the City of Grand Terrace Notes to Financial Statements June 30, 2009 Note 3: Due from City of Grand Terrace In April of 1980, the Community Redevelopment Agency of the City of Grand Terrace entered into a pass-through agreement with the City of Grand Terrace which provided that certain tax increment generated by the Agency project area be allocated to the City of Grand Terrace beginning in fiscal year 1981/82. This agreement was in noncompliance with state statutes. As a result, $3,689.025 of tax increment was allocated to the City's General Fund through June 30, 1993, of which $737,805 represents amounts which should have been allocated for 20 percent low and moderate housing set- aside as required by state statutes The City and Agency agreed to the following plan for repayment of tax increment monies to the Agency's Debt Service and Capital Projects Funds: Agency Low and Moderate Income Housing Fund Unpaid 20 percent set-aside of $737,805, plus interest from fiscal year 1981/82 through June 30, 1993, of $138,948, totaling $876,753 has been recognized as an advance to the City's General fund, to be paid as funds-are available, with interest accruing at an interest rate equal to the average Local Agency Investment Fund yield. The balance at June 30, 2009 is. $ 300,205 Agency Debt Service Fund To the extent of unpaid advances made by the City to the Agency and outstanding at June 30, 1992 ($2,450,023), tax increment monies allocated to the City rather than the Agency Debt Service Fund were treated as repayment of advances owing to the City. The effect on interest paid by the Agency on outstanding advances payable to the City was adjusted, with the difference being treated as excess repayment by the Agency of outstanding advances payable. The resulting amounts owing of$1,073,846 at June 30, 1993, to the Agency by the City carry the same terms as described above. 1,073,846 Advances made to City and Agency Low Income Housing Program 3,232,899 Balance at June 30, 2009 4.306,745 Total balance at June 30, 2009 $ 4,606,950 Note 4: Loans Receivable The Agency has provided deferred rehabilitation lo�ns to qualifying .low and moderate income households from its 20 percent set-aside funds A corresponding deferred revenue is recorded accordingly The balance at June 30, 2009 is $111,928 -25- Community Redevelopment Agency of the City of Grand Terrace Notes to Financial Statements June 30, 2009 a Note 5: Property Held for Resale Special Revenue Fund This amount represents the costs associated with the purchase and renovation of low and moderate income housing held for resale. Fund balance has been reserved for this amount. The balance at June 30, 2009 is $640,166. Capital Projects Fund This amount represents the costs associated with the purchase of vacant land held for future development. Fund balance has been reserved for this amount. The balance at June 30, 2009 is $3,246,225. Note 6: Notes Receivable The amount of $713,000 in notes receivable is related to sales of low and moderate income housing. The notes are payable on or before the sale or refinance of the subject property, and are secured by second deeds of trust. Due to noncurrent nature of the above receivables, fund balance has been reserved accordingly �JI Note 7: Capital Assets Capital asset activity for the year ended June 30, 2009 was as follows: Beginning Ending Balance Additions Deletions Balance Governmental activities: Capital assets, not being depreciated Construction in progress $ 7,159,159 $ - $ 7,159,159 $ - Total capital assets, not being depreciated $ 7,159,159 $ - $ 7,159,159 $ Note 8: Long-term Debt a 1997 Refunding Certificates of Participation The Agency has accepted the responsibility of making the debt service payments for the 1997 Refunding Certificates of Participation for the past several years., The 1997 issuance was a refunding of the 1991 Lease-Revenue Bonds The proceeds of th- 1991 issuance were used to construct a childcare center, the Pico Park project, and the Grand Terrace parkside improvement project. 35 Community Redevelopment Agency of the City of Grand Terrace Notes to Financial Statements June 30, 2009 Note 8: Long-term Debt (continued) Debt service payments to maturity for the 1997 Refunding Certificates of Participation are as follows: Year Ending June 30, Principal Interest 2010 $ 140,000 $ 133,525 2011 150,000 125,623 2012 155,000 117,311 2013 165,000 105,591 2014 170,000 99,463 2015 - 2019 1,010,000 342,805 2020 - 2022 730,000 61,039 Total $ 2,520,000 $ 985 357 b. 2004 Refunding Tax Allocation Bonds In August of 2004, the Agency issued the $13,000,000 Refunding Tax Allocation Bonds, Series 2004. The Bonds were issued to refund the $3,695,000 outstanding Tax Allocation Bond Series 1993 A, the $1,290,000 outstanding Zions First National Bank loan, the $2,780,000 outstanding Tax Allocation Bond Series 1993 B, and to finance certain redevelopment activities of the Agency. Interest varies from 2.00% to 3.75% and is payable semiannually on March 1 and September 1, commencing March 1, 2005. Principal payments are due annually commencing March 1, 2005 through March 1, 2012. The Agency deposited $8,241,183 of the proceeds in an irrevocable trust and purchased U S Government State and Local Government Securities for the purpose of generating resources which will be used to call the bonds. As a result, the refunded bonds are considered to be defeased and the liability has been removed from the statement of net assets. The reacquisition price exceeded the net carrying amount of the old debt by $851,183. This amount is being netted against the new debt and amortized over the remaining life of the new debt. This advance refunding was undertaken to reduce total debt service payments over the next 14 years by $464,691 and resulted in an economic gain of$631,303 Debt service payments to maturity for the 2004 Refunding Tax Allocation Bonds are as follows- Year Ending June 30, Principal Interest 2010 $ 1,610,000 $ 215,150 2011 1,670,000 161.925 2012 1,720,000 104,625 2013 1 1930,000 36,188 Total 3 6,930 000 S 917,888 27- 36 Community Redevelopment Agency of the City of Grand Terrace Notes to Financial Statements June 30, 2009 Note 8: Long-term Debt (continued) C. Note Payable In August 2003, the Agency entered into a loan agreement in the amount of S100,000 with Alba B. DeBenedet, Trustee of the Alba B. Zampese 1988 Trust. The proceeds of the loan are to be used along with other available funds for the City of Grand Terrace maintenance building for public works. Interest on the loan is payable semi-annually on February 14 and August 14 at the rate of 4.25 percent, commencing February 14, 2005. The principal on the loan is payable semi-annually on February 14 and August 14 commencing February 14, 2005. This loan was paid off in the current fiscal year. d. The following is a schedule of changes in long-term debt of the Agency for the fiscal year ended June 30, 2009, Beginning Ending Due Within Balance Additions Deletions Balance One Year Bonds payable: 1997 Refunding Certificates of Participation S 2,655,000 S - $ (135,000) $ 2,520,000 $ 140,000 2004 Refunding Tax Allocation Bonds 8,495,000 - (1,565,000) 6,930,000 1,610,000 Less deferred amounts: On refunding (425,591) - 106.398 (319,193) - } Plus premium on issue 95,598 - (23,899) 71,699 - Total bonds payable 10,820.007 - (1,617,501) 9,202,506 1,750,000 Notes payable. Note for 22799 Barton Road 10 972 - (10,972) - - Total notes payable 10,972 - (10,972) - - Total long-term liabilities S 10.830,979 S - $ (1,628,473) S 9,202,506 S 1,750,000 -28- 37 Community Redevelopment Agency of the City of Grand Terrace Notes to Financial Statements June 30, 2009 S Note 9: Interfund Transfers Interfund transfers for the year ended June 30, 2009 are as follows- Fund Receiving Transfers Fund Making Transfers Amount Debt Service Special Revenue $ 613,577 Capital Projects Debt Service 1,754,294 $ 2,367,871 The transfer into the Debt Service fund was made for servicing the 2004 refunding tax allocation bonds. The transfer into the Capital Projects fund was made to cover a negative cash balance during the fiscal year Note 10: Agreements With Varying Taxing Agencies In order to lessen the fiscal impact of the tax increment financing of redevelopment projects on other units of local governments, the Agency has entered into pass-through agreements with various governmental agencies to pass-through portions of tax increment funds received by the Agency, attributable to the area within the territorial limits of the other agencies. The amount passed through for the fiscal year ended June 30, 2009, was $2,341,265. These payments were recorded as expenditures in the Debt Service Fund. In addition, the Agency was required to transfer tax increment in the amount of $143,430 to the State of California's Education Revenue-Augmentation Fund (ERAF) for the fiscal year ended June 30, 2009, Note 11: Joint Venture On July 16, 1991, the Community Redevelopment Agency of the City of Grand Terrace entered into a Joint Powers Agreement with the City of Grand Terrace to establish the Grand Terrace Public Financing Authority. The Authority was created to facilitate financing for public capital improvements benefiting the City and Agency. No separate financial statement data are presented, the transactions of the Authority are recorded in the governmental funds of the City of Grand Terrace. Note 12: Contingencies As of June 30 2009, in the opinion of the Agency, there are no outstanding matters; which would have a raterial effect on the financial position of the Agency The Agency has received funds for specific purposes that are subject to await by the State A,though such audits could g ererate differences under the regulations of the Health and Safety Code. it s oeueved that any required reimbursements will not be material -29- 3� Community Redevelopment Agency of the City of Grand Terrace Notes to Financial Statements June 30, 2009 Note 13: Subsequent Events < On August 28, 2009, the Agency issued $2,162,000 of refunding bonds to refund the City of Grand Terrace Refunding Certificates of Participation, Issue of 1997 The interest rate on the bonds is 4 76% and the maturity date is September 1, 2020. -30- 39 Required Supplementary Information 4( Required Supplementary Information Community Redevelopment Agency of the City of Grand Terrace Budgetary Comparison Schedule - Major Special Revenue Fund For the Year Ended June 30, 2009 z Variance with Final Budget Budgeted Amounts Actual Positive Original— Final Amounts (Negative) REVENUES Tax increment S 1,406,285 $ 1,406,285 $ 1.788.550 $ 382,265 Use of money and property 155,990 145,990 37,143 (108 847) Miscellaneous 600 600 - (600) Total revenues 1,562,875 1,552,875 1.825.693 272,818 EXPENDITURES Current: Economic development 442,558 664,690 642.830 21.860 Capital outlay Project improvement costs 880,000 2,554,000 2,555.593 (1,593) Total expenditures 1,322,558 3,218,690 3,198,423 20.267 Excess of revenues over(under) expenditures 240,317 (1,665,815) (1,372,730) 293,085 OTHER FINANCING SOURCES (USES) Transfers out (913,577) (913,577) (613,577) 300,000 Transfers to the City of Grand Terrace (166.167) (166,167) (343,751) (177,584) Total other financing sources (uses) (1,079,744) (1,079,744) (957,328) 122,416 Net change in fund balance (839,427) (2,745,559) (2,330,058) 415.501 Fund balance, beginning of year 5,501,490 5,501,490 5,501,490 - Fund balance, end of year S 4,662,063 S 2,755,931 $ 3,171,432 S 415.501 -31- 41 ^' '.A °^,".[°» `.. U�}c.;[OS/ ANnERSON, Mai0DY & SC(IDr, LLP . ,^ �~, ^w . A x"`.1Fn ,", ,mr*1. " �`^ r"J y^r° ^ JC,w ,^=, W"^ �,' nmmFOo . ^xn11i"wm,C,^ .'^r^"^`^",''^^ r. Governing Board Community Redevelopment Agency of the City of Grand Terrace Grand Tarraoe, California REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED C]NAN AUDIT OF FINANCIAL STATEMENTS PERFORMED |NACCORDANCE WITH GOVERNMENT AUDITING STANDARDS We have audited the financial statements of the governmental activbiaa, each major fund, and the aggregate remaining fund information of the Community Redevelopment Agency of the City of Grand Terrace (the Agency), m component unit of the City of Grand Terrace. California, as of and for the year ended June 30. 2009. which collectively comprise the Agency's basic financial statements and have issued our report thereon dated December 10. 2008. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing 3byndoodo' issued by the Comptroller General of the United States. Internal Control Over Financial Reporting In planning and performing our audit' we considered the Agency's internal control over financial reporting as m basis for designing our auditing procedures for the purpose of expressing our opinions on the financial atatennento, but not for the purpose of expressing an opinion on the effectiveness of the Agency's internal control over financial reporting. Aocording|v, we do not express an opinion on the effectiveness of the Agency's internal control over financial reporting. A control deficiency exists when the design or operation of control does not oUovv management or emp|oyeem, in the normal course of performing their assigned funotiono, to prevent or detect misstatements on adme\y basis /\ significant deficiency is e control dafioienoy, or combination of control daficimnciao, that adversely affects the Agency's ability to miUote, outhorize, nacord, procaoa, or report financial data reliably in accordance with generally accepted accounting principles such that there is more than a remote likelihood that a misstatement of the Agency's financial statements that is more than inconsequential will not be prevented or detected by the Agency's internal control � ,'neo M/, '32 ' A material weakness is a significant deficiency, or combination of significant deficiencies, that results in more than a remote likelihood that a material misstatement of the financial statements will not be prevented or detected by the Agency's internal control Our consideration of the internal control over financial reporting was for the limited purpose described in the first paragraph of this section and would not necessarily identify all deficiencies in internal control that might be significant deficiencies or material weaknesses. We did not identify any deficiencies in internal control over financial reporting that we consider to be material weaknesses, as defined above. Compliance and Other Matters As part of obtaining reasonable assurance about whether Agency's financial statements are free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. Such provisions included those provisions of laws and regulations identified in the Guidelines for Compliance Audits of California Redevelopment Agencies, issued by the State Controller and as interpreted in the Suggested Auditing Procedures for accomplishing Compliance Audits of California Redevelopment Agencies, issued by the Governmental Accounting and Auditing Committee of the California Society of Certified Public Accountants. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. We noted certain matters that were reported to management of the Agency in a separate letter dated December 10, 2009. This report is intended solely for the information and use of management, Agency Board, others within the entity, and federal awarding agencies and pass-through entities and is not intended to be and should not be used by anyone other than these specified parties. December 10, 2009 -33- 43 REDEVELOPMENT AGENCIES FINANCIAL TRANSACTIONS REPORT COVER PAGE Community Redevelopment Agency Of The City Of Grand Terrace Fiscal Year 2009 ID Number 13983e33700 Submitt by: Signature Title r/NR/V /30-'e1V*'ZQ SI m o 1 /V2- Name(Please Print) Date Per Healti and Safely Code section 3WW.Wft report Is due within six mantles after the end of the flacal year.The report is to Include two(2)copies of tlw agWWS componwet unit audited financial statwrwnb,and the report on the Status end use of the Low and Moderate Income Housing Fend(HCD report). To most the fiMg requirements,all portions must be received by the California State Controllers office. To file electronically. To file a paper report: t.Complete all forma as necessary. t.Complete an fortrw as necessary. 2.Transmit ttee compWad output ft using a File 2.sign this cow page.and mail Complete report to either Transfer Protocol(FTP)program or via diskette. address below with 2 audits and ft MD report. 3.Sign this cover page Bred mdl b Wtw address below with 2 audits and the HCD report. Report Wit not be considered filed unit receipt of this signed cover page. Mailing Address: Express Mailing Address: State Controllers Office State Controllers Office Division of Accounting and Reporting Division of Accounting and Reporting Local Government Reporting Section Local Government Reporting Section P. O. Box 942850 3301 C Street, Suite 700 Sacramento, CA 94250 Sacramento, CA 95816 45 A Y;7 M'�ti1'N'F1C59•'f..,4:• '�� n a'W.•. ;aWYeKiKx�,,A Flacal Year aim eme Betsy (M)�4 ii11 lmon 6emleJoe g (�)824-6fi21 x V4 ft� 0 } arch Lee IAAesa - Brenda (tt09)824-8821 5tenddewHz—1 W�'� r', a r 1 1L�'��P Ropers,Anderaon,Melody&Scott,LLP 7 rr _ o • Y 4Muir j 0 � Laduml therine 0 . , u °i',; `•» , 309 W.4th Street 00 North Q street Santa Ana Bemardno -_ — >i2701-4602 401- Strwt t F 7i Berton Road (714)316.2113 (902)BS8-0871 Street 2 - city &and Termce Stab CAA Zip pb Phone I(008)824-8021 In Address Changed? Cie t„a' f s.ti4 1F ii .i,,W w }. e ^I'' Q ht�• ssv. � f r f_yf'`_. =Tk" ..o-�z,',`�4s!'L.. °�" ,+I;"•,�'r. i , �.]fi5v76.cix':$.' 41^�J A _ 5 } 'T 10110 M.- M '+ a� 'wt 'ti.• y, ° ,� EMOM .'r.�3'',e �e.e ;` '; .ys ,_ • �' ., r.'x'a Audit Information - Fiscal Year -^--l-2009 Was the Report Prepared from Audited Financial Data, yes if compliance opinion includes exceptions, state the areas of non compliance,and and Did You Submit a Copy of the Audit? describe the agency's efforts to correct. Indicate Financial Audit Opinion Unqualified If Financial Audit is not yet Completed,What is the Expected Completion Date? If the Audit Opinion was Other than Unqualified,State Briefly the Reason Given Was a Compliance Audit Performed in Accordance with Yes Health and Safety Code Section 33080.1 and the State Controller's Guidelines for Compliance Audits,and Did You Submit a Copy of the Audit? Indicate Compliance Audit Opinion Unqualified —� If Compliance Audit Is not yet Completed,What is the Expected Completion Date? Audit Information Page 1 12MV2009 P 4 Community Redevelopment A enc Of The City Of Grand Terrace Grand Terrace Project Area Please Provide a Brief Description of the Activities for this Project Area Forwarded from Prior Year? During the Reporting Year. P Fir Code for Typo of Project Area Report YLa P•Standard Project Area Report A=Administrative Fund 1-Senior Affordable Housing Project L a Low and Moderate Income Housing Fund M.Mortgage Revenue Bond Program 2-Rehabilitadon of low and moderate O-Other Miscellaneous Funda or Programs S Proposed(Survey)Project Area Income households Does the Plan Include Tax Increment Provisions? - Yes 3-Property acquisition for freeway oriented project and Town Square Data Project Area was Establlehed (M"D-YY) e12711878 commeroisl project Most Recent Date Project Area was Amended 7/Y212004 Did Wa Amendment Add Now Territory? l o Moat Recent Date Project Area was Merged WIN this Project Area be Carried Forward to Next Year? Yes Established Time UmB: Repayment oflndabledness (Year Only) Effacdveness o1 Plan (Year Only) 2024 Now Indebtedness (Year Orgy) 2004I Size of Project Area In Acres 2.308 Percentage of Land Vacant at Be Inception of tits Project Area �- 55.0 Homo and Safety Code Sectlon 33320.1 (xx.x%) Percentage of land Developed at ffe Inception of the Project Area 85.0 Health and Safety Code Section 33M.f (xx x%) Objectives of the Project Area as Set Forth In the Project Area Plan RICPO (Enter the Appropriate Codes)In Sequence as Shown) R a Residential I a Industrial C.Commerdal P Public O=Other 00 ,..N,....::iitii:uie.'rit�i.C:i:t��i�i.� � •' a °`-Y�ti.•�=1r:+�` . a .... o .,,.•• •y i:au,:,. :,.�'�''%�,-; •tc�: •`.rta.><.;, 'a.-;`may-�1..•,1?�!Mu�•;r -k �cY:i��,:..r, m,.. ` , � Q. �1 �• �, •�. .� F Bum'! Oh ' 'fYa'.�"•-'' +'..,.,.;. ... /:i�;' Asseased Valuation Data Fiscal Year 2009 Project Area Name !Gra idr— Terrace Project Area ; I i Frozen Base Assessed Valuation �137,835,311 Increment Assessed Valuation 712,234,884 Total Assessed Valuation 850,0707195 Assessed Valuation Data Page 1 12/17/2009 z. , en �C ra[dTer '+�. •`�a�'' fy'�.'.i%`." "`a�Xi.JilzwR i����r�"�hvLYi?����Y�i���L. � 'Z s11�1� �f� ��i! t2.Li5(i«..' `3;k-S.4t'.�::�,�S.,i% �3f'�?dG,,,m..,-?71ea�K._, �`a w; - �� 4 et't ee+-,vo.C:<v ,rev ;i;!c}:�., rti- .t .• s 'i -R:i:+:., -[ r�?:' 4': "'�..rY':'h•::"•-' '•m;i, �•.{2+"Sr.'s, y,,Cn a �:,w,',x,#-i.•5,:-3'? 9{- ',� r S . _Fy?;4 y fiw f` °'4': rf" ':ni'AM�:ti" `��.gr t': g,..; � - `F:-.t - S �1. •�: 3''Jv".'aY�C�4L-,..',"� ''�+P.+- Pass-Through 1 School District Assistance Fiscal Year �009 Project Area Name Grand Terrace Project Area Tex Increment Pass Through Detail Other Payments Amounts Paid To Taxing H&S Code H&S Code H&S Code Total H&S Code H&S Code Agencies Pursuant To: Section 33401 Section 33675 Section 33607 Section 33445 Section 33445.5 County 2,170,875 .__ Gilles 138.292 §138,292 School Districts Community College District 32,098 532,088 j Special Districts Total Paid to Taxing $2,170,875 $0 .$170,390 52,341,265 $0 $0 Agencies Net Amount to Agency Gross Tax Increment 8,942,753 Generated Pass-Through/School District Assistance Page 1 12/17/2009 V1 ;s.l:a•::nv:BSiclfi SWc+r�A�. 1iti�SLti TIAt�d: � :i/fih '8n "D �'��1�1 ��,5�'G'<i:u Fi YA:'i+l:�:t;� ;:c...;1•?�ae:5;-:'1�i:S�_ .i;' -7:7'tL}l+;.k*'C _•. +:t+?^,:i >ir,^'. :�-N,,:.><'::; :,'�'�'•.f. •....�1„ , awwri"et�a .'��6�1,i1., '• �.St'� t �•• ! •;F L 4 ...�t ..'J 4+ru'SE Summary of the:Statement.of Indebtedness-Project Area Fiscal Year ^2009 Project Area Name "tei Tax Allocation Bond Debt C 3,226,563 Havenue Bonds 2,803,323 Other Long Term Debt -� City/County Debt 155,725 Low and Moderate Income Housing Fund 3,657.561 Other 9,861,222 Total $19,704,394 j Available Revenues 11,435,003 Net Tax Increment Requirements 58289,391 Summary of the Statement.of Indebtedness Project Area Page 1 12/17/20W tJ'l ' trace........... a 6 I ., .1.1 .. I .. ." . .. ........ ..... .... .... -11 " ";J''"' Agency Long-Term Debt Fiscal Year E2009::== Project Area Name Grand Terraceft9ject Area Forward from Pnor Year Bund Type [Certificates of-Participation Year of Auftrizauon 1997 Principal Amount AuthonZad 3,730,0001 Principal Amount Issued 3,730.000 Purpose of Issue FiefundIng of the 1991 Lame-Rev Bonds Maturity Date Beginning Year F- 19971 Maturity Date Ending Year 2022 Principal Amount Unmatured Beginning of Fiscal Year Adjustment Made During Year Adjustment Explanation Interest Added to Principal -71 Principal Amount issued During Fiscal Year Principal Amount Matured During Fiscal Year 135,0001 Principal Amount Defeased During Fiscal Year L-= Principal Amount Unmatured End of Fiscal Year $2,520,000 Pnncipal Amount In DelatAt Interest In Default Bond Typos Allowed: Tax Allocation Bonds;Revenue Bonds;Certificates of Participation;Tax Allocation Notes;Financing Authority Bonds;City/County Debt;US;State; Loans;Lease Obligations;Notes;Deterred Pass-Throughs;Deferred Compensation;Other Agency Long-Term Debt Page 1 17/2009 Jq ...... .......................... Agency Long-Term Debt Fiscal Year Project Area Name Grand Terrace ftqkgArea Forward from Prior Year Bond Type JCity/Courtly Debt Year of Authorization 2006 Principal Amount Authorized 267,622 Principal Amount Issued 267,622 Purpose of Issue lImprovements Maturity Date Beginning Year 20061 Maturity Date Ending Year 2010 Principal Amount Unmatured Beginning of Fiscal Year $267.622 1 Adjustment Made During Your Adjustment Explanation Interest Added to Principal Principal Amount Issued During Fiscal Year Principal Amount Matured During Fiscal Year Principal Amount Deieased During Fiscal Year Principal Amount Unmaturod End of Fiscal Year 67,622 Principal Amount In Default Interest In Default Bond Types Allowed: Tax Allocation Bonds;Revenue Bonds;Certificates of Participation;Tax Allocation Notes;Financing Authority Bonds;City/County Debt;US;State; Loans;Lease Obligations;Notes;Deferred Pass-Throughs;Deferred Compensation;Other Agency Long-Term Debt Page 2 12MV2009 U1 UU T ................. MIS �o Agency Long-Term Debt Fiscal Year 21J06 Project Area Name Grand Terrace Project Area Forward from PI Year Bond Type Notes Year of Autincrization 2_0k]3 Principal Amount Authorized 10070070] Principal Amount Issued 100,000 Purpose of Issue -- [capital Maintenance Maturity Date Beginning Year 2004 Maturity Date Ending Year 20018 Principal Amount Unmatured Beginning of Fiscal Year Adjustment Made During Year Adjustment Explanation Interest Added to Principal Principal Amount Issued During Fiscal Year Principal Amount Matured During Fiscal Year C 10—.972 Principal Amount Deteased During Fiscal Year Principal Amount Unmatured End of Fiscal Year $0 Pwmpal Amount In Default interest In Default L Bond Types Allowed: Tax Allocation Bonds;Revenue Bonds,Certificates of Participation;Tax Allocation Notes;Financing Authority Bonds;City/County Debt;US;State; Loans;Lease Obligations;Notes;Deterred Pass-Throughs;Deterred Compensation;Other Agency Long-Term Debt Page 3 211712009 Ul ;"Qua- W&r. 'ik Agency Long-Term Debt Fiscal Year 20 Project Area Name lGrand Terrace Project Area Forward from Prior Year bmki,' Bond Type JTax Allocation Bonds Year of Authorization 2004 Principal Amount Authorized 13.000,000 Principal Amount Issued I 13,000,00 TJ Purpose of Issue [Refund 93A and 93B Bonds,Zlons Bank [Loans Maturity Date Beginning Year 2004 Maturity Data Ending Year 2012, Principal Amount Unmatured Beginning of Fiscal Year -$13-795-0-0-07 Adjustment Made During Year F— I Adjustment Explanation r Interest Added to Principal Principal Amount Issued During Fiscal Year Principal Amount Matured During Fiscal Year 1,565,000 Principal Amount Dateased During Fiscal Year Principal Amount Unmatured End of Fiscal Year $6,930,000 f Principal Amount In Default Interest In Default Bond Types Allowed; I ax Allocation Bonds;Revenue Bonds;Certificates of Participation;Tax Allocation Notes;Financing Authority Bonds;City/County Debt;US;State; Loans;Lease Obligations;Notes;Deferred Pass-Throughs;Deferred Compensation;other Agency Long-Term Debt Page 4 12/17/2009 Ln Ul ........... it n Statement of Income.and Expenditures-Revenues Fiscal Year Project Area Name [Grand Terrace Project Area Low/Modarate Special Capital Project Debt Service Income Housing Revenue/Met Total Funds Funds Funds Funds Tax increment Gross 7,154,203 All Apportionments) $0 Special Supplemental Subvention Property Assessments SO Sales and Use Tax $0 Transient Occupancy Tax $160.2 Rental Income interest Income 2,969 139,685 �17,6041 - 2,061 19,539� $71,600 — —70-1 Lease Income so Sale of Real Estate Gain on Land Hold for Resale $0 Federal Giants $0 Grants from Otner Agencies $0 Bond Administrative Fees $0 Cirier Revenues 35,700 $35,700 Total Revenues $90c730 $7,293,888 $1,825.693 $9.210,311 Statement of income and Expenditures-Revenues Page 1 12/17/2D09 Ul eli�ta .� ge, if�u � ti_a+ •.:a��N�a '°���' k"''��d:'��a •.e7'`,.�.a,!:r .„`S:iBtixkA'w,s1a_�'.2"•` Ss � .+�v �roi1'S:'.3�k1���K':•�c,..::.s..<... •n 'T.r rt 'w ?!F. ';5,;, :x^ r„ 'WC sS . 4'?x•' - r l�th'�'3k:%;: .WF,.9 rk,47i",; :�j'r _ era'?!{ x',+$E�;X€.' .' '`.�`� 1 1�'. Sib Statement oUncome and Expenditures-Expenditures Fiscal Year 2CO09 Project Area Name Grand Terrace Project Area Capital Project Debt Service Low/Moderate Special Funds Funds Income Housing Revenue/Other Total Administration Costs 223,467 -_ 521,8361 $7,5,303 I Professional Services _ 48,296 _ _ 1 10,250 $58,546 Planning,Survey,and Design - _ $0 Real Estate Purchases �— S�0 Acquisition Expense 62,484 I -� S62,484 Operation of Acquired Property 2,766 I $_2,766 _ Relocation Costs Relocation Payments Site Uearance Costs SO Project Improvement/Construction Costs 1 147,9221 2,554,3171 $2,702,239 i Disposal Costs $0 Loss on Disposition of Land Hold for $0 Resale J---- - - Statement of Income and Expenditures-Expenditures Page 1 12117/2009 t,It V + pper�} f3' he�Ci Of./±rand>Terra Cali un1`y:�adf c x', ? o+.....-..• v.. .a-N- 4'S,�.-, i .—.� �.;' *�i d k "'� Ml�t�•:t' rv : '' G.}�EI} iatIns'. .�,,,,1.(* 'f^' s �p...�x.y P"i .:P ,D `C.S�??�,.y`Is ..� •'g :J 1g � t ;i�`.SR'2.'.`q.e. t_. c•r•ti,y:: ..:L2::��,f eQ�� '. s' Statement of Income and Expenditures-Expenditures Fiscal Year O09 Project Area Name lGrand Terrace Project Area _l Capital Project Debt Service Low/Moderate Special Funds Funds Income Housing Revenue/Other Total Declino in Value of Land Held for Resale Rahabtiitation Costs 1.2761 Si,276 Rehabilitation Grants _—_$0 Interest Expense —221 684,234 $684 ' 55 Fixed Asset Acgwsitions $0 Subsidies to Low and Moderate Income $0 Housing Debt Issuance Costs Other Expenditures Including Pass- _ 2.341,265 107,977 b2,449,242 Through Payment(s) Debt Principal Payments: Tax Allocation Bonds and Notes �� 1,565.000 _ $1,565,000 Revenue Bonds,Certificates of 135,0001 $135,000 ' Participation,Financing Authority Bonds City/County Advances and Loans —� $0 All Other Long-Term Debt 10,972 _ $10,972 Total Expenditures 5493,362 .54,725,499 s3,198;422 SO $8,417,283 Excess(Deficiency)Revenues over $402,632 52,568,389 ($1,372,729 $0 $783,028 (under)Expenditures Statement of Income and Expenditures-Expenditures U a Z........................ Statement of Income and.Expenditures Other Financing Sources Fiscal Year 12009 Project Area Name lGrand Terrace Project Area Capital Project Debt Service Low/Moderate Special Funds Funds Income Housing Revenua/Other Total Proceeds of Long-Term Debt Proceeds of Refunding Bonds SO Payment to Refunded Bond Escrow Agent SO Advances from City/County 1 -267,6221 (5267,622) Sale of Fixed Assets I 14111scellanaous.Flinancing Sources(Uses) 146,1021 -1-6.9,1401 :i4i._75_IT Operating Transfers In 1,764,2941 Tax Increment Transfers In Operating Transfer.,Out 1,140,717]__ 613,5771 $1754,294 i Tax Increment Transfers Out $0 (To the Low and Moderate Income Housing Fund) Total Other Financing Sources(Uses) I__ Statement of Income and Expenditures-Other Financing Sources Page 1 12/1712009 h d.'T rr, .......... M, sac LAM Statement of income and Expenditures-Other Financing Sources Fiscal Year �009 I Project Area Name lGrand Terrace Project Area Capital Project Debt Service Low/Moderate Special Funds Funds Income Housing Revenue/Other Total Excess(Deficiency)of Revenues and ._(§2,3300 _J Other Financing Sources over Expenditures and Other Financing Uses Equity.Beginning of Period $2 620 343 $12,648,115 $5,501,490 .§20,769.94a Prior Period Adjustments so Residual Equity Transfers SU Equity,End of Period $20,813,360 Statement of Income and Expenditures-Other Financing Sources Page 2 7/2009 0) ;•,�;, : .�p��.d ,C, i days p. a `�3s):'�?�`��i 'G�andeTe r -',a°:-;3f �,•;: .-• f; ...,,..; .,:. ..,d; :./'v'-.li:� z4;'�.tf'3 ,� .r ,�.>` �• �� i. Y� �+:R�+".p�•. Vic- :7i"k'-, ••,Sa�-• <,{�'',�.,:;,�J' ,�yF�n.4''y.�i.j...C:•:rYY'i.;:�4ty�:.' ; �1' tRR tea, tT� -a L •' C. .� [. •' ��, 3Y;��'T� ',;,. \�� �`^� ° "ii Y`' g�' ��,:� � ,i,fi..Zvi��k��:n�., aor:e�;'`�., p fit^ �: ` .i1h • kJ;+'.• �r4.. ..F?'" a':� -Ft •'A•��;;`:�i +14, _ - fi.„-'rc�= -..•':i".w,� �� S i �fz. ,; ^�' xi -•iF. ,.iL •` „N py .1�, .}ef'n� •r[ %�•�y�°w'4K�,55'..'.,. �` '{� ®p "-�„ eY"'c ^�!+'Y:4 } '�''..il_. "'"r f: to•1.7 Balance-Shoot-Assets and Other Debits Low/Moderato Spacial Fiscal Year 2009 Capital Projects Debt Service Income Housing Revenue/Other General Long- General Fixed Funds Funds Funds Funds Term Debt Assets Total Assets and Other Debits Cash and Imprest Cash F668,1621 8,813,453E — 1,625,815 - '•y= - ti-� - = S11,107,450 Cash with Fiscal Agent Tax increments Receivable Accounts Receivable r 4.474.0661 713,419 Accrued Interest Receivable 444 24,846� 5,800 k' k' i'��` t'"' ' $31,090 r. - - Loans Receivable Contracts Receivable c' $0 Lease Payments Receivable { ` '' "''`" $0 Unearned Finance Charge ttx= ` '�`' $0 Due from Capital Projects Fund 7 " iwirrn '' $0 Due from Debt Service Fund $0 Due from Low/Moderate $0 Income Housing Fund Due from Special i i r r ,lX '' ;a:'� �.e_.. �v � tj $0 Revenue/Other Funds Balance Sheet-Assets•and Other Debits Pagel 12/17/2009 01 , mu. F w ®: A Y ®C tp� Gtan�i Terr� .'� f i•':.:r,rr; :. } .a, idf.}�s�<: �•+�'S'�".•+'y a t. .aa .l X:, :; •�<.• I.'y�,f1�:hi�`3i, :rt'k-�::n X�w;q'�;�r,,,•r,r:`�:'-�-"� rt.,`.r� •Ji,�y Q. .,M ~`��F'..f:• .^-1T!I f^ T ` �'� i`§ lw irKM}%l?'^.'%•r�.}'. V.,>,.._ y p^- �1'::U:.' ' • a��.y�.{,�+�;',�i. I. r' Balance Shoot-Assets and Other Debits Low/Moderate Special Fiscal Year 2009 Capital Projects Debt Service Income Housing Revenue/Other General Long- General Fixed Funds Funds Funds Funds Term Debt Assets Total Investments ---- —r - �— -----� $0 --- -I ---341 BB5 '_ �u ti j' t " �'+ ii•' 41.685 Other Assets Investments:Land Held for 3.246,225 -,�.,:, - --�,t� -�t;,;�;..:>a'Kf�G��ti�' ��='�.-,�� ,ci�•�:}.;.r-_ $3�888,�391 Resale _ Allowance for Decline In , Value of Land Held for Resale Fixed Assets:Land, Structures,and Improvements EyUlprllenl V.�t '�' .21 u y" `1'a;tkitid `Ja ?w�-.`•xj,i" •tJ4:��•r�l,_.';-e-..er $0 Amount Available In Debt �_^� �'.� ��k r���'� ry�' �-:�y _ _,r_�.arotc;:.�� -- _ - ----- - Service Fund Amount to be Provided for Payment of Long-Term Debt Total Assets and Other - 717622 SO Debits $31,684,197 ia1ust Equal Total Liabilities, Other Credits,and Equities) Balance Sheet-Assets and Other Debits. Page 2 12/17/2009 Qt;.Gra 21 T, rrace. i �i:L. &k.� -�' :ic, C ,es --.�:.�..�-sSN_r:.3iti�s':•�.::vN:•t�f�yb�",p:w'dK::�n'a•.: i.\ „t 'Si ...�;- ,c:Y.<.: '� rr. .'" '+""�. .'r �5'n?~- r" -;S -''vRzi5T1.111'Q'">v .+;�.brzid' ''.,2'i;••n'�3;v�-;y1��'••�A :, a',�:'�"`u - .• �h.u��t�*�� ati �.� +'�- '' zu��4 �,��;� ri�-wtir',...�ex;;: a:•..,-' f, . 't i,rdL" _ �= �, 1. � Q �a�'" F'xi�:?Q, y q•�.'�.�*;Z•E�'='�t.9."••• "s 'Balance Sheet-Liabilities and Other Credits Low/Moderate Special Fiscal Year 2009 Capital Projects Debt Service Income Housing RevenuslOther General Long- General Fixed Funds Funds Funds Funds Term Debt Assets Total Liabilities and Other Credits Accounts Payable 111,9481 175,5281 155,453 tu_;: $442,929 Interest Payable " ' ctar $0 Tax Anticipation Notes Payable --- -- a��� `s� + rii ?.°> �`� $0 Loans Payable Other liabilities 1 267,6221 530,736 1 111,9281 $910,2.86 Due to Capital Projects Fund ="fin 1*:t�'7"-'ji't�'`' ' t" "" $0 Due to Debt Service Fund ------ -— on" { x"' '' $p Due to Low/Moderater>3 ' $0 Income Housing Fund Due to Special .:.fa:,; - _ :..',•, $0 Revenue/Other Funds Tax Allocation Bonds Payable �^ -- - + +; s... c� ;• '"— 8,930,000 - --- 6,930,0 Lease Revenue Certificates 2,520,000 32 520 000 of Participation Payable, Financing Authority Bonds All Other Long-Term Debt .. ' - - 267-622 $267,622 Total Liabilities and Other 5379,570 $706,264 $267,361 30 $9,717,622 �" " "v $11,070,837 __...,__. _... ._._.._....__M._..___. _ __�..�_..... ...... ._ $1_0 _..,.. Credits Balance Shoal-Liabilities and Other Credits Page 1 12/17/2009 W ���,,,�����e Te.��t >ace;: •. .. xmttalii6iut . ....:;u,.-c':vu.r 5: _ "4r. �a rs:"+i� "titi� ;.G '''TS )(:ri'�:I" i�:' r'•'F':;?1:•:. ,'t.;r :iir: •tG' •.r:, ga�:, :,ny�ti^;:�;S...r3°4-�,x�'�:.*1?�!:'�;�. ''�v a`. _'`�- ��-" y' '!'-•• �i"+�tStiti?'i:'•,.�.k.�.:�i'^:'J':.�;. tb.";, :p?::.'`. '�. Balance Sheet-Liabilities and Other Credits Low/Moderate Special Fiscal Year 2008 Capital Projects Debt Service Income Housing Revenue/Other General Long- General Flied Funds Funds Funds Funds Term Debt Assets Total Equities Invesunent In Ganelal Fixed Assets Fund Balance Reserved 3 392 961 5 607 699 1 853 779 Fund Balance IN Unreserved-Designated Fund Balance 142,298 8,298,948 1,5l 7,6531 $9 958 899 —�- - -- Unreserved-Undesignated Total Equities _a3,535.281 - --$13,906,647 -_53�171.432 $0 520.613.3f Total Liabilities, Other Credits, and Equities $3,914,951 $31,684,197 Balance Sheet-Llabibtles and Other Credits Page 2 12/17/2009 T - — 41�i Be ` ,. ih!: fF . , ale. ta:iz�3s` .� , •_.:. 1. ,..l,� 11.:.J• ;�: '{: 4 A i '• .:�.. •t:';7i1:.�r-'K"t._Y '• , '1 :,.Tt k J Yvk �•e yck• �s;lt�^'a., Y�' ��"•s�.x t...x •t: ri. .3i:�:D'vlaia "aa °-' - .-Q •"• ii T>Yi:-:." •.+ Statement of Income and Expenditures.- Summery,Combined Transfers In/Out Fiat:al Year 2009 Operating Transfers In Tax Increment Transfers In _ Operating Transfers Out 51,754,294 ' Tax Increment Transfers Out _ Statement of Income and Expenditures- Summary, Page 1 12/17/2009 Combined Transfers WOW lJl i i I June 30, 2009 Housing and Community Development Report 6E CALIFORNIA DHl ARTMUN'l'OF HOUSING AND COMMUNITY DEVELOPMENT REDEVELOPMENT AGENCY ANNUAL IIOUSING ACTIVITY REPORI' FY ENDING: June / 30 /2009 Agency Name and Address: County of Jurisdiction: Community Redevelopment Agency of the City of Grand Terrace San Bernardino 22759 Burton Road Grand 1'errace,CA 92313-5295 I lealth&Safety Code Section 33080.1 requires agencies(RDAs)to annually report on their Low&Moderate Income Housing Fund and housing activities for the Department of dousing and Community Development(HCD)to report on RDAs'activities in accordance with Section 33080.6. Please answer each question below. Your answers determine how to complete the HCD report. I. Check one of the items below to identity the Agency's status at the end of the reporting period: ❑ New(Agency formation occurred during reporting year. No financial transactions were completed). _ ® Active(Financial and/or housing transactions occurred during the reporting year). ❑ Inactive(No financial and/or housing transactions occurred during the reporting year). ONLY COMPLETE ITEM 7. ❑ Dismantled(Agency adopted an ordinance and dissolved itself before start of reporting year). ONLY COMPLETE ITEM 7. 2. During reporting year,how many adopted proiect areas existed? _I_ Of these,how many were merged during year? 0 If the agency has one or more adopted proiect areas.complete SCHEDULE HCD-A for each Project area. If the agency has no adopted proiect areas,DO NOT eomplete SCHEDULE HCD-A(refer to next question). 3. Within an area outside of any adopted project area(s):(a)did the agency destroy or remove any dwelling units or displace any households over the reporting period,(b)does the agency intend to displace any households over the next reporting period,(c)did the agency permit the sale of any owner-occupied unit prior to the expiration of land use controls over the reporting period,and/or (d)did the agency execute a contract or agreement for the construction orany atrordable units over the next two years? ❑ Yes(any question). Complete SCHEDULE HCD-B. ® No(all questions). DO NOT complete SCHEDULE HCD-B(refer to next question). 4. Did the agency's Low&Moderate Income Housing Fund have any assets during the reporting.period? ® Yes. Complete SCHEDULE HCD-C. ❑ No. DO NOT complete SCHEDULE HCD-C. 5. During the reporting period,were housing units completed within a project area and/or assisted by the agency outside a project area? ® Yes. Complete all applicable HCD SCHEDULES DI-D7 for each housineprolect completed and HCD SCHEDULE E. ❑ No. DO NO'I'complete HCD SCHEDULES DI-D7 or HCD SCHEDULE E. 6. Specify whether method A and/or B was used to report financial and housing activity information W HCD: ® A. Forms. All required HCD SCHEDULES A,B.C,DI-137 and E are attached. ❑ B. On-line(http:,',ivtvw.hcd.ca.gov/rdal)"Lock Report"date: . HCD SCHEDULES not required. (lock date is shown under "Admin"Area and"Report Change History') 7. 1'o the best of my knowledge: (a)the representations made above and(b)agenc inVtion reported are correct. Z O Date Signature of Authorized Agency Representative'45/✓/4NG /.QAge 70 Title C9o4 L13o-2 216, Telephone Number • IF NOT REQUIRED TO REPORT,SUBMIT ONL YA PAPER COPY OF THIS PAGE. • IF REQUIRED TO REPORT,AND REPORTING BY USING PAPER FORMS UN PLACE OF REPORTING ON-L INE),Sv8,VIT PHIS PAGE AND ALL APPLICa BLE HCD FORMS(SCHEDULES A-E)WITH.A COPY OF AGENCY'S A UDIT. • IF REPORTING ON-LINE,PRINTAND SUBMIT"CONFIXUATION LETTER"UPON LOCKING REPORT • .)L-t IL A COPY OF(a)CONFIRAIATION LETTER(IF HCD REPORT WAS ELECTRONICALLY FILED)OR(b)COMPLETED FOR,WS AND(c).AUDIT REPORT TO BOTH HCD AND THE SCO. Department of Housing& Community Development The State Controller Division of Housing Policy Division of:Accounting and Reporting Redevelopment Section Local Government Reporting Section 1800 3"r.Street,Suite 430 3301 C Street.Suite 500 Sacramento,CA 95V4 Sacramento,CA 95816 ICAO lopmentAgency:AnnualReport-hiscalYear'_008-2009 IICD-Curer Liner(7/1M)9) Page I of I 67 .\gene) .`lame: CRA of the Cit} of Grand I errace Project Area Name:Grand 1'erntce Comm.Redevelopment Project Area SCHEDULE HCD-A Inside Project Area Activity liar Fiscal Year that Ended 06/30/2009 Agency Name:CRA of the City of Grand I'errace Project Area Name:Grand'Terrace Comm.Redevelopment Project Area Preparer's Name, Title:Ladunni Ososami, RSG Inc. Preparer's E-Mail Address:lososami• ,%%ehrsg.com Preparer's 1'elephone No:714-3 16 2113 Preparer's Facsimile No: 714-541-1175 GENERAL INFORMATION 1. Project Area Information a. I. Year I"plan for project area was adopted: 1979 2. Year that plan was last amended(if applicable): 2004 3. Was plan amended after 2001 to extend time limits per Senate Bill 211 (Chapter 741,Statutes of 2001)Y Yes X No- 4 Current expiration of plan: 07 / 15 i 2017 mo day yr b. I f project area name has changed,give previous name(s)or number: c. Year(s)ofany mergers of the project area: 1981 , Identify former project areas that merged: d. Year(s)project area plan was amended involving real property that either: (1) Added property to plan: (2) Removed property from plan: 2. Affordable Housing Replacement and/or Inclusionary or Production Requirements(Section 33413). Pre-1976 project areas not subsequently amended after 1975: Pursuant to Section 33413(d),only Section 33413(a)replacement requirements apply to dwelling units destroyed or removed after 1995. Me Agency can choose to apply all or part of Section 33413 to a project area plan adopted before 1976. If the agency has elected to apply all or part of Section 33413,provide the date of the resolution and the applicable Section 33413 requirements addressed in the scope of the resolution. Date: / / Resolution Scope(applicable Section 33413 requirements): mo day yr Post-1975 prroiect areas and geographic areas added by amendment after 1975 to pre-1976 proiect areas: Both replacement and inclusionary or production requirements of Section 33413 apply. NOTE: .amounts to report on HCD-A lines 3a(1),3b-3f,and 3i.can be taken from what is reported to the State Controller's Office(SCO)on the Statement of Income and Expenditures as part of the Redevelopment Agency's Financial 1'ransactions Report,except for the reclassifying of Transfers-In from Internal Funds and the reporting of Other Sources as discussed below: Transfers-In from other internal funds: Report the amount of transferred funds on applicable HCD-A, lines 3a-j. For example,report the amount transferred from the Debt Service Fund to the Housing Fund for the deposit of the required set-aside percentage/amount by reporting gross tax increment on HCD-A, Line 3a(1)and report the Housing Fund's share of expenditures for debt service on HCD-C,Line 4c. Do not report"net"funds transferred from the Debt Service Fund on HCD-A,Line 3a(3)when reporting:debt iervice expenditures on HCD-C.Line 4c. ahloinia Rcdevclopment-\gencies -hwal Ywr 2-9118-2009 I IL D-A h \(- 1 N) rage I of 6 6�s agency Name: CRA ut'the City oTGrand Terrace Project Area Name:Grand Terruce Comm.Redevelopment Project Area other Sources: Nun-GAAP(C;enerally acceptable accounting Principles)revenues such as 11rom land sales for those agencies using the Land I leld ror Resule method to record land sales should be reported on HCD-A Line 3d. I lousing fund receipts tier the repayment of loan principal should be included on IICD-A Line A f I.,IiIonun KedoJopment \ enci.s -hiscaI Y.ar 2008-21AN FICD-A Nrh A(-,.,I 1,Q) Pav-e 2 of 69 \gene. Name: CRA of the City of Grand I'errace Project Area Name:Grand'I'errace Comm.Redevelopment Project Area Pro iect Area Housing Fund Revenues and Other Sources 3. Report all revenues and other sources of funds from this project area which accrued to the Housing Fund over the reporting year. Any income related to agency-assisted housing located outside the project area(s)should be reported as"Other Revenue"on Line 3j.(of this Schedule;\),if thisproiect area is named as beneficiary in the authorizing resolution. Any other re\enue sources not reported on lines 3u.-3i.,should also be reported on Line 3j. Enter on line 3a(1)the full i00%of rg ass'I'ux Increment allocated prior to applicable pass through of funds and deductions for tees(refer to Sections 33401.33446,&33676). Compute the required minimum percentage(%)ofgruss I'ax Increment and enter the amount on Line 3a(2)(A)or 3a(2)(B). Next,report the amount of I ax Increment set-aside betbre any exemption and/or deferral(if«mount set-aside is less than required minimum(%),explain the ditlerence). Ifany amount of I ax Increment wus exempted or deterred,in addition to completing lines 3a(4)and/or 3a(5),complete Line 4 and/or line 5. I'o determine the amount of I'ax Increment deposited to the Housing Fund[Line 3u(6)1,subtract allowable amounts exempted[Line 3u(4)j or deferred[Line 3u(5)1 from the actual amount allocated to the Housing Fund[Line 3u(3)1. a. I'ux Increment: (I) 100%of Gross Allocation: $ 8,942,753 (2) Calculate only l set-aside amount: either A or B below: (A) 20%required by 33334.2 (Line 3a(1)x 20%): $ 1,788,550 (B) 30%required by 33333.10(g)(Line 3a(t)x 30%): S (Senate Bill 211.Chapter 741.Statutes of 2001) (3) Amount of set-aside(Line 3a(2))allocated to Housing Fund S 1,788,550 * If,pursuant to Section 33334.3(i),less than the minimum%of Gross Tax Increment(see 3a(2)above)is being allocated from this project area,identity the project areas)contributing the ditterence. Explain any other reason(s): (4) Amount Exempted[I lealth&Safety Code Section 33334.2] (if there is an amount exempted,also complete question K next page): (S ) (5) .Amount Deterred[Health&Safety Code Section 33334.61 (if there is an amount deterred,also complete question#5,next page): (S ) (6) l'otal deposit to the Housing Fund [result of Line 3a(3)through 3a(5)1: S 1,788.550 b. Interest Income: $ 17,604 c. Rental/Lease Income(combine amounts separately reported to the SC'O): S d. Sale of Real Estate: S 19.539 e. Grants(combine wnounrs separately reported to the SC'O): S f. Bond Administrative Fees: S g. Deferral Repayments(also complete Line 502)on the next page): S . h. Loan Repayments: S i. Debt Proceeds: j. Other Revenue(s)[Explain and identif) amount(s)l: S S S S k I otal Project \rea Rccctpts Deposited to I lousing Fund(.Add lines 3a(6).through 3j.): S 1.825.693 i ihlor ma Rede­_6opment•\gentae+ I'I,cal l ear 2nh8-2i)()9 I IC D-A "Li, A„ 101 Page 3 ut6 70 5 ,agency Name: CRA ol'the City ol'Grand Terrace Project Area Name:Grand ferrtce Comm. Redevelopment Pnrject Area Exemption(s) 4, a. If an exemption was claimed on Page 2.Line 3a(4)to deposit less than the required amount.complete the following information: Check only one of the I lealth and Safety Code Sections below(Note: An Annual Finding is required to be submitted to HCD) ❑ Section 33334.2(a)(1): No need in community to increaseiimprove supply of louver or moderate income housing. ❑ Section 33334 2(a)(2): Less than the minimum set-aside%(20%or 30%)is sufficient to meet the need. ❑ Section 33334.2(a)(3): Community is making substantial effort equivalent in value to minimum set-aside%(20%or 30%) and has specific contractual obligations incurred before May 1. 1991 requiring continued use of this funding. Note: Pursuant to Section 33334.2(a)(3)(C),this exemption expired on June 30, 1993 but contracts entered into prior to May 1, 1991 may not be subject to the exemption sunset. ❑ Other: Specify code section and reason(s). b. For any exemption claimed on Page 2,Line 3a(4)and/or Line 4a above,identify: Date that initial(I")finding was adopted: / / Resolution# Date sent to HCD: mo day yr mo day yr Adoption date of reporting year finding: / / Resolution# Date sent to HCD: mo day yr mo day yr Deferral(s) 5. a. Specify the authority for deferring any set-aside on Line 3a(5). Check only one Health and Safety Code Section boxes: ❑ Section 33334.6(d): Applicable to project areas approved before 1986 in which the required resolution was sent to HCD before September 1986 regarding needing tax increment to meet existing obligations. Existing obligations can include those incurred after 1985,if net proceeds were used to refinance pre-l986 listed obligations. Note: The deferral previously authorized by Section 33334.6(e)expired. It was only allowable in each fiscal year prior to July 1, 1996 with certain restrictions. J� ❑ Other: Specify code Section and reason: b. For any deferral claimed on Page 2,Line 3a(5)and/or Line 5a above,identify: Date that initial(I")finding was adopted: / / Resolution# _ Date sent to HCD: mo day yr mu day yr Adoption date of reporting year finding: / / Resolution# Date sent to HCD: mo day yr mo day yr e. A deferred set-aside pursuant to Section 33334.6(d)constitutes indebtedness to the Housing Fund. Summarize the amount(s) of set-aside deferred over the reporting year and cumulatively as of the end of the reporting year: Amount of Prior Cumulative Amount Amount Deferred Deferrals Repaid Deferred(Net of Any Fiscal Year This Reporting FY During Reporting FY Amount(s) Repaid) (I)Last Reporting FY $ (2) 1 his Reporting FY $ $ $i 'The cumulative aunwrnt(/'deferred set-aside should also he shown on HCD-C. Line 8a. If the prior FY cumulative deferral shown above differs from what vvas reported on the last HCD report(HCD-A and FIC'D-C).indicate the amount of difference and the reason: Difterenee: $ Reason(s): C.�hl ttnie R.u� clupment \gcncie�-hi,��l 5'wr'_oU8-'Ou4 I IC D-A Bch \i71. i>1 Page 4 ref 6 71 i I \gency dame: CRA of the City ol'Grand'I'errace Project Area Name:Grand 1'ecrace Comm. Redevelopment Project Area Deferrals (continued) 5. d. Section 33334.6(g)requires any agency whicld deters set-asides to adopt a plan to eliminate the deficit in subsequent Nears.. f this agency has deterred set-asides,has it adopted such a plan'? Yes ❑ No❑ Ryes,by what date is the deficit to be eliminated'? mo day y r lr%es,when was the original plan adapted fur the claimed deferral? mo day yr ldentity Resolution# Date Resolution sent to HCD mo day yr When was the last amended plan adopted for the claimed deferral? mo day yr Identity Resolution 9 Date Resolution sent to HCD mo day yr Actual Project Area Households Displaced and Units and Bedrooms Lost Over Reporting Year: 6. a. Redevelopment Project Activity. Pursuant to Sections 33080.4(a)(1)and(a)(3),report by income category the number of elderly and nonelderly households permanently displaced and the number of units and bedrooms removed or destroyed,over the reporting year.(reter to Section 33413 for unit and bedroom replacement requirements). Number of Households/Units/Bedrooms Project Activity VL L M AM Total Households Permanently Displaced-Elderly 0 0 0 0 0 Households Permanently Displaced-Non Elderly 0 0 0 0 0 Households Permanently Displaced-Total 0 0 0 0 0 Units Lost(Removed or Destroyed)and Required to be Replaced 0 0 0 0 Bedrooms Lost(Removed or Destroyed)and Required to be Replaced 0 0 0 0 Above Moderate Units Lost That Agency is Not Required to Replace 0 0 ce 0 Above Moderate Bedrooms Lost That Agency is Not Required to Repla 0 b. Other Activity. Pursuant to Sections 33080.4(a)(1)and(a)(3)based on activities other than the destruction or removal of dwelling units and bedrooms reported on Line 6a,report by income category the number of elderly and nonelderly households permanently displaced over the reporting year: Number of Households Other Activity VL I L M AM Total Households Permanently Displaced-Elderly 0 0 0 0 0 Households Permanently Displaced- Non Elderly 0 0 0 0 0 Households Permanently Displaced-Total 0 0 0 0 0 e. As required in Section 33413.5.identity.over the reporting year,each replacement housing plan required to be adopted betbre the permanent displacement,destruction.and/or removal otdwelling units and bedrooms impacting the households reported on lines 6a.and 6b. Date .__/ / __ Name of Agency Custodian mu day yr Date _.__! _% Name of Agency Custodian _ MO day yr Please unach a,eparate sheet otpuper listing any additional housing plans adopted. ki,,rntu Redevelopment \gencieN Hi cal Year 2008-2009 11C'D \ h \t7.1 01)) Paue 5 ol'6 72 ;\Lcncy Name: C RA or the City ol'Grand 1'errace Project Area Nume:Grand 1'errace Comm.Redevelopment Project Area Estimated Project Area Households to be Permanently Displaced Over Current Fiscal Year: 7. a. As required in Section 33080.4(a)(2)ror a redevelopment project orthe agency, estimate,over the current fiscal\car,the number or elderly and nonelderly households,by income category,expected to be permanently displaced. (Note:actual displacements\\ill be reported ror the next reporting year on Lint,6). Number of Households Project Activity VL L M AM Total Households Permanently Displaced-Elderly 0 0 0 0 0 Households Permanently Displaced- Non Elderly 0 0 0 0 0 Households Permanently Displaced-Total 0 0 0 0 0 - b. As required in Section 33413.5. ror the eurrent fiscal\ear,identity each replacement housing plan required to be adopted before the permanent displacement,destruction,and/or removal urdwelling units and bedrooms impacting the households reported in 7a. Date / / Name of Agency Custodian mo Jay yr Date / / Name of Agency Custodian mo day yr Please attach a separate sheet or paper listing any additional housing plans adopted. Units Developed Inside the Project Area to Fulfill Requirements of Other Project Area(s) 8. Pursuant to Section 33413(b)(2)(A)(v),agencies may choose one or more project areas to fulfill another project area's requitement to construct new or substantially rehabilitate dwelling units,provided the agency conducts a public hearing and rinds,based on substantial evidence,that the aggregation of dwelling units in one or more project areas will not cause or exacerbate racial,ethnic,or economic segregation. Were any dwelling units in this project area developed to partially or completely satisfy another project area's requirement to construct new or substantially rehabilitate dwelling units? ❑ No. ❑Yes. Date initial finding was adopted? / / Resolution# Date sent to HCD:__/ / mo day yr mo day yr Number of Dwe ling Units Name of Other Project Area(s) VL L M Total Cahtorma Rcde%elopment \uncles Fi�,al Year'-008-'_UU9 IICD-A h A 17'I uy) Page 6 of 6 73 \`_cnuy Name: URA of the City of(irand l errace Proiect Area Name:Grand Terrace Comm. Itede\clopment Proiect Area s:11es of Owner-Occupied t nits Inside the Proiect area Prior to the Expiration of Land Use Controls 9. Section 33413(c)(3)(A)specilies that pursuant to an adopted program,which includes but is not limited to an equity sharing program, agencies may permit the sale uTuwner-occupied units prior to the expiration of the period of the land use controls established by the agency. Agt�ncies must deposit sale proceeds into the Low and Nloderate Income Housing Fund and within three(3)years from the !late the unit\\as sold,upend funds to make another unit equal in ullbrdability,at the same income le\el,to the unit sold. a. tiales. Did the agency permit the sale of any owner-occupied units during the reporting year? ❑No DYes +— rutal Proceeds From Sales Over Reporting Year dumber of Units SALES VL L M Eolal Units Sold Over Reporting Year 0 0 0 b. I{Dual Units. Were reporting year funds spent to make units equal in affordability to units sold over the last three reporting years? ❑No ❑Yes $ Total LMIHF Spent On Equal Units Over Number of Units Reporting Year SALES VL L M Total Units Made Equal This Reporting Yr to Units Sold Over This Reporting Yr 0 0 0 0 Units Made Equal This Reporting Yr to Units Sold One Reporting Yr Ago 0 0 0 0 Units Made Equal This Reporting Yr to Units Sold Two Reporting Yrs Ago 0 0 0 0 Units Made Equal This Reporting Yr to Units Sold Three Reporting Yrs Ago 0 0 1 0 1 0 AlFordable Units to be Constructed Inside the Proiect Area Within Two Years 10. Pursuant to Section 33080.4(a)(10),report the number of very low,low,and moderate income units to be financed by any rederal, state,local,or private source in order rur construction to be completed within two years from the date of the agreement or contract executed over the reporting year. Identity the pMiect and/or contractor,date of the executed agreement or contract,and estimated completion date. Specify the amount reported as an encumbrance on HCU-C.Line 6a.and/or any applicable amount designated on I ICU-C.Line 7a.such as for capital outlay or budgeted runds intended to be encumbered ror project use within two years from the reporting year's agreement or contract date. DO NOT REPORT ANY UNITS ON THIS SCHEDULE A THAT ARE REPORTED ON OTHER HCD-As,B,OR Ds. Col A Col B Col C Col D Col E Name of Agreement Estimated Sch C Amount Sch C Amount Project and/or Execution Completion Date Encumbered Designated Contractor Date Min 2 yrs of Col B Line 6a Line 7a VL L M Total s S ' s s s is Please attach a separate sheet of paper to list additional intbrmution. I 111turnie R--developawnt:\,metes - ti, al Ye:lr 20nK-200 I IC D-A ,J) \t7n ,rot Paue 7 u1 6 74 SCHEDULE HCD-C Agency-wide Activity for Fiscal Year landed 06/30/09 Agency Name:CRA of the City of Grand 1'errace Project Area Name:Grand'ferrace Comm.Redevelopment Proiect Area Preparer's Name, Title:Ladunni Ososami,RSG Inc. Prepurees E-,Mail Address:lososami-*t%\ebrsg.com Preparer's 1'elephone No:714-316 2113 Preparer's Facsimile No: 714-541-1175 Low &Moderate Income Housine Funds Report on the"status and use of the agency's Low and Moderate Income Housing Fund." Most information reported here should be based on informution reported to the State Controller. I. Beginning Balance(Use"Net Resources Available"from last fiscal year report to HCD) $3,997.603 u. If Beginning Balance requires adiustment(s),describe and provide dollar amount(positive/negative) making up total adjustment: Use<$>for negative amounts or amounts to be subtracted. Land Held for Resale $ 177,484 Loans Receivable $ (28,000) $ b. Adjusted Beginning Balance[Beginning Balance plus+or minus<-> I'otal Adjustments)) $3,848,119 2. Project Area(s) Receipts and Housing Fund Revenues a. Total Project Area(s)Receipts.Total Summed amount of HCD-Schedule A(s)(from Line 3k) $ 1,825,693 b. Housing Fund Resources not reported on HCD Schedule-A(s) Describe and Provide Dollar Amount(s)(Positive/Negative)Making Up Total Housing Fund Resources c. Total Housing Fund Resources $ 3• Total Resources(Line i b.+Line 2a+Line 2c.) $ 5.673.812 NOTES: Many amounts to report as Expenditures and Other Uses(beginning on the next page)should be taken from amounts reported to the State Controller's Office(SCO). Review the SCO's Redevelopment Agencies Financial Transactions Report. Housing Fund"transfers-out'to other internal Agency funds: Report the specific use of all transferred funds on applicable lines 4a.-k of Schedule C. For example,transfers from the[lousing Fund to the Debt Service Fund for the repayment of principal and interest of debt proceeds deposited to the Housing Fund should be reported on the applicable item comprising I ICD-C Line 4c,providing tax increment(gross and deposit amounts)were reported on Sch-As. External transfers out of the Agency should be reported on HCD-C Line 4j(e.g.:transfer ofexcess surplus to the County Housing Authority). Other Uses: Non-GAAP(Generally Accepted Accounting Principles)recording ofexpenditures such as land purchases for agencies using the Land Held for Resale method to record land purchases should be reported on HCD-C Line 4a(1). hunds pent resulting in loans to the Housing Fund should be included in HCD-C lines 4b.,4f.,4g.,4h.,and 4i as appropriate. The statutory cite pertaining to Community Redevelopment Law(CRL)iv provided for preparers to review to determine the appropriatenevs of Low and.Voderate Income Housing Fund(L,WHF)erpenditures and other uses. HCD does not represent that line items identifying tiny expenditures and other uses are allowable. CRL is accessible on the Internet lwebsite. hup. wv���.lr_infi�.�;t.cu� (C'ulybrrnia Lutv)l beginning with Section 33000 of the Health and Safety Code. �.ihlornia R de\elopment \gencies-Hi cal Year'_OU7-2008 1 IC'D-C Bch C 17 1,010 Page I tit 10 75 \Uency Name: CRA of the City ut'Grand 1'errace 4. Expenditures, Loans,and Other Uses a. Acquisition of Property&Building Sites 133334 2(c)(1)I& Housing 133334 2(e)(6)I: (I) Land Purchases(lnvesintent Land Held for Resale) * $ (2) housing Assets(Nixed.-Isset) * $ (3) Acquisition Expense $ (4) Operation of Acquired Property S 2.766 (5) Relocation Costs S (6) Relocation Payments (7) Site Clearance Costs S (8) Disposal Costs $ (9) Other[Explain and identity amount(s)j: $ $ S $ * Reported to JC O as part of:Issets and Other Debts (10) Subtotal Property/Building Sites/Housing Acquisition(Sum of Lines I -9) $ 2.766 b. Subsidies tom Low and Moderate Income Housing;Fund(LMIHF): (1) 1" Time Homebuyer Down Payment Assistance $ ` (2) Rental Subsidies $ (3) Purchase or Affordability Covenants 133413(b)2(B)i $ (4) Other[Explain and identify amount(s)j: Residual Receipts for Senior Programs $ 300,000 $ (5) Subtotal Subsidies from LMIHF(Sum of Lines 1 -4) $ 300.000 c. Debt Service 133334.2(e)(9)I. If paid from LMIHF',report LMIHF's share of debt service. Ifpaid tirom Debt Service Fund,ensure"gross"tar increment is reported on HCD-A(s)Line 3a(I). (1) Debt Principal Payments (a) Wax Allocution, Bonds&Notes $ 613,577 (b) Revenue Bonds&Certificates of Participation $ (c) City/County Advances&Loans $ (d) U. S. State&Other Lung-'term Debt $ (2) Interest Expense $ (3) Debt Issuance Costs $ (4) Other[Explain and identify amount(s)]: S S (5) Subtotal Debt Service(Sum of lines I -4) S 613.577 d. Planning and Administration Costs 133334.3(e)(I)I: 1 1) Administration Costs S 515.208 (2) Professional Ser%ices(non proiect specific) S 10.251) (3) Planning/Survey,Design(non proiect Specific) S (4) Indirect Nonprofit Costs 133334.3(c)(1)(B)l S (5) Other[Explain and identify amount(s)j: Code Enforcement \llucated Overhead S 16.160 County Collection Fee Allocation S 14.219 S S 50.379 (6) Subtotal Planning and administration (Sum of Lines 1 - 5) S 575.837 L-eldurnra Rede.clupment•\gencies Hxjl Ycar'_OU8.2Uu9 I "d1C(7;I:n9) 1 lage2of 10 76 \6,cnc,, Name: C'RA of the City of6rand 1'errtce 4. Expenditures, Loans,and Other Uses(continued) e. On,'Ofr-Site Improvements[33334.2(e)(2)1 Complete item 13 S f. Iloosing Construction 133334.2(e)(5)1 S 2.554.317 g. housing Rehabilitation 133334.2(c)(7)1 S 1.276 h. Maintain Supply orMobilchome Parks[33334.2(e)(10)i S L Preservation orAt-Risk Units 133334.2(c)(1111 S 1'ransfers Out of Agency (1) Fur Transit village Development Plan(33334.19) S (2) Excess Surplus[33334.12(u)(1)(A)l $ (3) Other(specify code section authorizing transfer and amount) A. Section $ B. Section Other Transfers Subtotal S (4)Subtotal Transfers Out of Agency(Sum of j(1)through j(3)) S k. Other Expenditures. Loans,and Uses[Explain and identify amount(s)]: Code Enforcement Allocated Costs $107.978 S $ Subtotal Other Expenditures,Loans,and Uses S 107,978 Total Expenditures,Loans,and Other Uses(Sum of lines 4a:k.) $ 4.155.752 5. Net Resources Available[End of Reporting Fiscal Yearl (Page I.Line 3. Total Resources minus Total Expenditures,Loans,and Other Uses on Line 4.1.1 S 1.518.061 6. Encumbrances and Unencumbered Balance a. Encumbrances. Amount orl-ine 5 reserved ror ruture payment of legal contracts) or agreement(s).See Section 33334.12(g)(2)ror definition. S 408 Refer to item 10 on Sch-:I(s)and item 4 on Sch-B. b. Unencumbered Balance(Line 5 minus Line 6a). Also enter on Page 4,Line I la. $ 1,517,653 7• Designated/Undesignated Amount of Available Funds "J a. Designated From Line 6b-Budgeted/planned to use near-term Refer to item 10 on Sch-A W and item 4 on Sch-B $ b. Undesignated From Line 6b-Portion not vet budgeted/planned to use $ 1,505,947 8. Other Housing Fund Assets(nun recurrent receivables)not included as part of Line 5 a. Indebtedness tom Deferrals ofTax Increment(See.33334.6) [refer to Sch-A(s).Line 5c(2)1. S b. Value or Land Purchased with I lousing Funds and Field for Development of Attordable Housing. Complete Sc•h-C item/4 S 640.166 c. Loans Receivable fur Housing Activities S 713.000 d. Residual Receipt Loans(periodic/fluctuating payments) S e. ERAF Loans Receivable(all years)(Sec.33681) S f. Other Assets[Explain and identify amount(s)]: Long I',=Advances $ 300.205 $ g• Total Other Housing Fund Assets(Sum or lines 8a.-I*.) S 1.653.371 `)• TOTAL FUND EQUITY(Line 5(Net Resources Available)+8g('Total Other Housing Fund Assets)S 3.171,432 Compare Line 9 to the below amount reported to the SCO(Balance Sheet of Redevelopment agencies Financial 1'ransuctions Report. [Explain difterences and identify amount(s)l: S S S EN I ER LOW-`ot)Ft.ND IOTAL.EOI.I I IES tBALANC'E ,HLE I I REPOR FED 10 SC'O S3.171.432 ,donna Rcde%clopment \_enncs-h ical Year'-Un8-2009 I IC D-C: �rh(_ 1711 fly Page 3 of 10 77 I I ;\Lcncy Hume: CRA ul'[hc City ut(.;rand I'errctce h;rcess Surplus Information Pursuant to Section 33080.7 and Section 33334.12(g)(I),report on Excess Surplus that is required to be determined on the first day of a liscal year. Excess Surplus exists when the Adjusted Balance exceeds the greater of.(1)$1.000.000 or(2)the aggregate amount ! of tax increment deposited to the Housing Fund during the prior tour fiscal years. Section 33334.12(g)(3)(A)and(B)provide that the I.;nencumbered Balance can be adjusted tier: (I)any remaining revenue generated in the reporting year from unspent debt proceeds and (2)if the land wus disposed of during the reporting year to develop atl'ordable housing,the difference between the fair market value, of land and the value received. Me Unencumbered Balance is calculated by subtracting encumbrances from Net Resources Available. "Encumbrances"are runds reserved and committed pursuant to a legally enforceable contract or agreement for expenditure for authorized redevelopment housing activities[Section 33334.12(g)(2)1. I•or Excess Surplus calculation purposes,carry over the prior year's HCD Schedule C Adjusted Balance as the Adjusted Balance on the first day ofthe reporting fiscal year. Determine which is larger:(1)SI million or(2)the total of tax increment deposited over the prior ti,ur years. Subtract the largest amount from the Adjusted Balance and,if positive,report the amount as Excess Surplus. 10. Excess Surplus: Cum lete Columns 2.3.4,&.5 to calculate Excess Surplus fir the reporting ear. Columns 6 and 7 track prior ears' Excess Surplus. Column I Column 2 Column 3 Column 4 Column 5 Column 6 Column 7 Sum or l ax Current Current Amount 4 Prior and Total I'ax Increment Reporting Y eur Reporting Year Expended/Encumbered Remaining Excess Current Increment Deposits Over I`Day I"Day Against FY Balance of Surplus for Each Reporting Deposits to Prior Four Adjusted Excess Surplus Excess Surplus as of Fiscal Year as of Years Housing Fund FYs Balance Balances End of Reporting Year End of Reporting Year 4 Rpt Yrs Ago FY 03/04 $ 1.079,383 S 331.390 S 81,327 $ 3 Rpt Yrs Ago FY 04/O5 S 1,232, 104 S 533,336 - 2 Rpt Yrs Ago FY O5106 S 1.-)92.600 r S 487.734 S 487,734 S - I Rat Yr Ago FY 06/07 S 1,417.922 S CURRENT s Sum of Column 2 Last Year's Sch C Col 4 minus:larger Reporting n AdiustedBalance ofCul3orSImm Year . (report positive S) FY 07/08 S 5,022,009 S 3.990.580 S $ - S - I I. Reporting Year Ending Unencumbered Balance and Adjusted Balance: a. Unencumbered Balance(End of Year)[Page 3.Line 6bj S 1,517,653 b. If eligible,adjust the Unencumbered Balance fir: (1) Debt Proceeds 133334 12(g)(3)(B)j: Identity unspent debt proceeds and related income remaining at end or reporting year S (2) Land Conveyance Losses[(33334.12(g)(3)(A))j: Identify reporting rear losses from sales/grants/leases of land acquired with low-mod runds. it'49%or more of new or rehabilitated units will be affordable to lower-income households S 12.Adjusted Balance(for next year's determination of Excess Surplus)(Line I la minus sum of I lb(t)and I Ib(2)j S 1.517,653 Vote: Do not enter Adjusted Balance in Col 4. It is to be reported as next year's 1st day amount to determine Excess Surplus a. If there is remaining Excess Surplus from what was determined on the first day of the reporting rear,describe the agency's plan.(as ,pLci tied in Section 33334.10)tier transferring,encumbering,or expending excess surplus: 4 h. 11 the plan de,crihed in 12a.was adopted.enter the plan adoption date: _ mo .lay r e.alifo(mu Rednelupment Axencies-hiwal Year T)09-20u0 fIC D-C Bch C i T 1 091 Page 4 of i10 7R :\Ltcncv Name: CRA orthe City of hand Terrace Miscellaneous Uses of Funds 13. Iran amount is reported in 4e..pursuant to Section 33080.4(a)(6).report the total number of very low-,low-,and moderate-income households that directly benefited fn)m expenditures for onsite/otTsite improvements which resulted in either new construction, rehabilitation.or the elimination of health and safety hazards. (Note: If Line 4e or this schedule does not show expenditures for improvements,no units should be reported here.) Households Benefiting Income Households Households from Elimination of Level Constructed Rehabilitated Health and Safety Hazard Duration of Deed Restriction Very Low Low Moderate 14. 1 f the agency is holding land for future housing development-(reter to Line 8b),summarize the acreage(round to tenths,do not report square footage).zoning,date of purchase,and the anticipated start date for the housing development. No.of Purchase Estimated Date Site Name/Location* Acres Zoning Date Available Comments 11695 Canal St. 0.66 R3 05/12/2009 Unknown Ten-unit Condominium l Please attach a separate sheet of paper listing any additional sites not reported above. 15. Section 33334.13 requires agencies which have used the Housing Fund to assist mortgagors in a homeownership mortgage revenue bond program.•or home financing program described in that Section,to provide the following information: a. Has your agency used the authority related to definitions of income or family size adjustment factors provided in Section 33334.13(a)? Yes❑ No ❑ Not Applicable b. Has the agency complied with requirements in Section 33334.13(b)related to assistance fir very lovv-income households equal to twice that provided for above moderate-income households'? Yes❑ No ❑ Not Applicable t Ad'onua Rade�clopment•\vncies -hic.tl Year 2uu8-21jUy FIC U-C ;ch C(711,09) l'age 5 of 10 79 ,\Lcncy Name: CRA of the City of Grand I erruce 16. Did the Agency use nun-LMII(F funds as matching tunds for the Federal HOME or HOPE program during the reporting period? Y l{S ❑ NO If\es.please indicate the amount of non-LMIHF funds that were used for either HOME or HOPE program support. HOMES I IOPE S 17. Pursuant to Section 33080.4(a)(11),the agency shall maintain adequate records to identity the date and amount of all L1IVIIHF deposits and withdrawals during the reporting period. To satisfy this requirement,the Agency should keep and make available upon request any and all deposit and withdrawal information. DO NOT SUBM/T ANY DOCUMENTS/RECORDS. Has your agency made any deposits to or withdrawals from the LNtlHF'? Yes ® No ❑ lfyes,identity the document(s)describing the agency's deposits and withdrawals by listing for each document,the following (attach additional pages of similar inrormution below as necessary): Name of document(e.g. ledger,journal,etc.): Trial Balance Name of Agency Custodian(person): Bernie Simon Custodian's telephone number: (909)430 2216 Place where record can be accessed: Finance DeaartmenL City of Grand Terrace Nume of document(e.g.ledger,journal,etc.): Name of Agency Custodian(person): Custodian's telephone number: Place where record can be accessed: 18. Use of Other(non Low-Mod Funds)Redevelopment Funds for Housing Please briefly describe the use of any non-LMIHF redevelopment funds(i.e.,contributions from the other 80%of tax increment revenue or other non Low-Mod funds)to construct,improve,assist,or preserve housing in the community. N/A 19. Suggestions/Resource Needs Please provide suggestions to simplify and improve future agency reporting and identity any training,information,and/or other resources,etc.that would help your agency to more quickly and eltectively use its housing or other funds to increase,improve. and preserve attordable housing? None _0 %nnual Monitoring Reports of Previously Completed Affordable Housing Projects/Programs(H&,SC 33418) Were all Annual Monitoring Reports received for all prior years'affordable housing projects/programs'? Yes ® No ❑ f i.miiorniLi Rcdoelopinent \aencics -hiNcel Ycar 2rI08-Z0U9 1 IC D-C Bch l li/I U91 Page 6 o 1 10 8� Auency Name: CRA ut'the City ut'Grand I errace 21. Excess Surplus Expenditure Plan(H&SC 33334.1O(a) d I t iIdurma Rede\,:lupment \geneies F11lal N ear_101IM-2009 I ICD-C Idh l_(7.l 09) Page 7 oI 10 81 %vency Name: C'RA Of the City 01'Grand'I crrace 22. t ootnote area to provide additional inti rmation. ` I (..iiitnrnia fte�e.elupmcnl \gencle� H,.al Year 2009-2001) 1ICD-C h C i71I,99) Paue Hot 10 82 Agency Name: CRA of the City of Grand Terrace 23. Proiect:achievement and HCD Director's award for Housing Excellence Project achievement information is optional but can serve important purposes: Agencies'achievements can inform others of successful redevelopment projects and provide instructive information for additional successful projects. Achievements may be included in IICD's Annual Report of Housing Activities of California Redevelopment Agencies to assist other local agencies in de%eloping effective and efficient programs to address local housing needs. a In addition,I ICU may seleet various projects to receive the Director's Award for Housing Excellence. Projects may be selected based on criteria such us local affordable housing need(s)met,resources utilized,barriers overcome,and project innovation/complexity,etc. Project achievement information should only be submitted for one affordable residential project that was completed within the reporting year as evidenced by a Certificate or Occupancy. Fhe project must not have been previously reported us an achievement. To publish agencies' achievements in a standard format, please complete information for each underlined category below addressing suggested topics in a narrative format that does not exceed two pages(see example, next page). In ucklition to submitting infa•mation with other HCD forms to the State Controller, please submit achievement information on a 3 5 inch diskette and identify the sofhvare type and version. I-or convenience, the diskette can be separately mailed to: HCD Policy Division, 1800 3rd Street, Sacramento, CA 95814 or data can be emailed by attaching the file and sending it to: rlerr•a hcd cu.xov AGENCY INFORMATION • Project Type(Choose one of the categories below and one kind of assistance representing the primary project type): New/Additional Units(Previously Unoccupied/Uninhabitable): Existing Units(Previously Occupied) - New Construction to own - Rehabilitation of Owner-Occupied - New Construction to rent - Rehabilitation of Tenant-Occupied - Rehabilitation to ovvn - Acquisition and Rehabilitation to Own - Rehabilitation to rent - Acquisition and Rehabilitation to Rent - Adaptive Re-use - Mobilehomes/Manufactured Homes - Mixed Use Infill - Payment Assistance for Owner or Renter - `vlobilehomes/Manufactured Homes - Transitional Housing - Mortgage Assistance - Other(describe) - Transitional Housing - Other(describe) • Agency Name: • Agency Contact and'I'elephone Number for the Project: DESCRIPTION • Project Name • Clientele served Jovvner.renter,income group,special need(e.g. large family or disabled),ete.1 • Number and type of units and location,density,and size of project relative to other projects,etc:. • Degree ot'affordability/assistance rendered to families by project,etc. • Uniqueness(land use,design features,additional services/amenities provided.funding sources/collaboration,berore/after project conversion such as re-use,mixed use,etc.) • Cost(acquisition.clean-up,infrastructure,conversion,development,etc.) HISTORY • Timeframe from planning to opening • Barriers/resistance(legal/I i nanc i al/communi ty.etc.)that were overcome • Problems and creative solutions found • Lessons learned and/or recommendations for undertaking a similar project AGENCV ROLE.AND ACHIEVENIEN'r • Degree of involvement with concept,design,approval,financing.construction,operation,and cost.etc. • Specific agency and/or community goals and objectives met.etc. .dilonna Redevelopment Wencws-1-iscal Year'-008-2009 IICD-C Bch C 17.1 091 Pace 9 of 10 83 ,\gency Name: CR.\of the City ut'(;rand 1'errace Project Tyne: NEW CONSTRUCTION-OWNER OCCUPIED Redevelopment Agency Contact: Name(Area Code)Telephone# Project/Program Name: Project or Program Description During the reporting year, construction of 12 homes was completed. Enterprises, which specializes in community self-help projects, was the developer, assisting 12 families in the construction of their new homes. The homes took 10 months to build. The families' work on the homes was converted into "sweat equity" valued at$15,000. The first mortgage was from CHFA. Families were also given an afyordable second mortgage. The second and third mortgage loans were funded by LMIHF and HOME funds. History The (City or County)of struggled for several years over what to do about the area. The tried to encourage development in the area by rezoning a large portion of the area for multi-family use, and twice attempted to create improvement districts. None of these efforts were successful and the area continued to deteriorate, sparking growing concern among city officials and residents. At the point that the Redevelopment Agency became involved, there was significant ill will between the residents of the and the(City or County). The introduced the project in with discussions of how the Agency could become involved in improving the blighted residential neighborhood centering on . This area is in the core area of town and was developed with disproportionately narrow, deep lots, based on a subdivision plat laid in 1950. Residents built their homes on the street frontages of and leaving large back-lot areas that were landlocked and unsuitable for development, having no access to either avenue. The Agency worked with 24 property owners to purchase portions of their properties. Over several years, the Agency purchased enough property to complete a tract map creating access and lots for building. Other non-profits have created an additional twelve affordable homes. Agency Role The Agency played the central role. The Project is a classic example of successful redevelopment. All elements of blight were present: irregular, land-locked parcels without access; numerous property owners; development that lagged behind that of the surrounding municipal property; high development cost due to need for installation of street improvements, utilities, a storm drain system, and undergrounding of a flood control creek; and a low-income neighborhood in which property sale prices would not support high development costs. I'he Agency determined that the best development for the area would be single-family owner-occupied homes. The Agency bonded its tax increment to fund the off-site improvements. A tract map was completed providing for the installation of the street improvements, utilities, storm drainage, and the undergrounding of E Creek. I'hese improvements cost the Agency approximately $1.5 million. In lieu of using the eminent domain process, the Agency negotiated with 22 property owners to purchase portions of their property, allowing for access to the landlocked parcels. I'his helped foster trust and good will during the course of the negutiations. ['he Project got underway once sufficient property was purchased. t ahlorma Rcdc\elupment Agencies- hiwal Ycar'_OOS-'_009 I IC D-C C (7 T 09) face 10 ut 10 U SCHEDULE HCD-D1 GENERAL PROJECT/PROGRAM INFORMATION For each different Project/Program (area/name/aav or nona-gy dev/rental or owner), complete a D1 and applicable D2-D7. Examples: 1. 25 minor rehab(Nonagy Dev):Area 1: 15 Owner, Area 2: 6 Rental; &Outside:4 Rental. Complete 3 D-1s, &Ds3-4-5. 2:20 sub rehab(nonrestricted):Area 3:4 Agy Dev. Rentals; 16 Nonagy Dev. Rentals. Complete 2 D-1s& 2 D-5s. 3: 15 sub rehab(restricted):Area 4: 15 Nonagy Dev, Owner. Complete i D-1 & 1 D-3. 10 new(Outside). 2 Agy Dev(restricted'Rental), 8 Nonagy Dev(nonrestricted Owner) Complete 2 D-ls, 1 D-4 & 1 D-5. Name of Redevelopment Agency: CRA of the City of Grand Terrace Identify Project Area or specify"Outside": Grand Terrace Redevelopment Project Area General Title of Housing ProjecVProgram: Market Rate New Constructed Units ProjecUProgram Address(optional): \ Street: City: ZIP: Various Grand Terrace 92313 Owner Name(optional): Total Project/Program Units: # 12 Restricted Units: # 0 Unrestricted Units: # 12 For projects/programs with no RDA assistance,do not complete any of below or any of HCD 132 D8 Only complete HCD D7 Was this a federally assisted multi-family rental project[Gov't Code Section 65863.10(a)(3)]? ❑YES ❑ NO Number of units occupied by ineligible households(e.g.ineligible income/#of residents in unit)at FY end # Number of bedrooms occupied by ineligible persons(e.g. ineligible income!#of residents in unit)at FY end # Number of units restricted for special needs: (number must not exceed"Total Project Units) # Number of units restricted that are serving one or more Special Needs: # ❑Check, if data not available (Note: A unit may serve multiple "Special Needs"below. Sum of all the below can exceed the "Number of Units"above) # DISABLED(Mental) # FARMWORKER(Permanent) # TRANSITIONAL HOUSING # DISABLED(Physical) # FEMALE HEAD OF HOUSHOLD # ELDERLY FARMWORKER(Migrant) # LARGE FAMILY # EMERGENCY SHELTERS (4 or more Bedrooms) (allowable use on/v with "Other Housing Units Provided-Without LMIHF"Sch-D6 Affordability and/or Special Need Use Restriction Term enter day/month/yea using digits,e.g. 07/01/2002 : Replacement Housing Units Inclusionary Housing Units Other Housin Units Provided With LMIHF Without LMIHF Restriction Start Date Restriction End Date Perpetuity Funding Sources: Redevelopment Funds: $ Federal Funds $ State Funds: $ Other Local Funds: $ Private Funds: $ Owner's Equity: $ TCAC/Federal Award: $ TCAC/State Award: $ Total Development/Purchase Cost: $ Check all appropriate form(s) below that will be used to identify all of this Project's/Program's Units: ❑ Replacement Housing Units Inclusionary Units: Other Housing Units Provided: (Sch HCD-D2) ❑ Inside Project Area (Sch HCD-D3) ❑With LMIHF (Sch HCD-05) ❑Outside Project Area(Sch HCD-D4) ❑Without LMIHF (Sch HCD-D6) ®No Agency Assistance (Sch HCD-D7) California Redevelopment Agencies-F;scal Year 2008-2009 HCD-D1 Sch DI IAI'U91 85 SCHEDULE HCD-D7 HOUSING UNITS PROVIDED (NO AGENCY ASSISTANCE) (units not claimed on Schedule D-2,3,4,5,6) Agency: CRA of the City of Grand Terrace Redevelopment Project Area Name, or"Outside": Grand Terrace Redevelopment Project Area Housing Project Name: ;VOTE. On this form,only report UNITS NOT REPORTED on HCD-D2 through HCD-D6 for projecdprogram units that have not received anv agency assistance. Agency assistance includes either frnuncial assistance(L,WHF or other agency funds) or nonfinancial assistance(design,planning,etc.)provided by agency staff. In some cases,of the total units reported on HCD D1,a portion of units In the same project/program may be agency assisted(reported on HCD-D2 through HCD-D6) whereas other units may be unassisted by the agency(reported on HCD-D7). The intent of this firm is to: (1)reconcile any difference between total projecteprogram units reported on HCD-DI compared to the sum of all the project's/progrum's units reported on HCD-D2 through BCD-D6,and(2)account fir other(nonassisted) housing units provided inside a project area that increases the agency's inclusionary obligation. Reporting nonagency assisted Proiects outside a project area is optional If units do not make-up tiny Part of total units reported on HCD-D1. HCD-D7 Reporting Examples Example I (reporting partial units): A new 100 unit project was built(reported on HCD-DI,Inside or Outside a project urea). Fifty(SO)units receiver/agency assistance 130 affordable L,NIHF units(reported on either HCD-D2,D3,D4,or D5)and 10 above moderate units were funded with other agency funds(reported on HCD-D6)/. The remaining 50(privntely financed and developed market-rate units)must be reported on HCD-D7 to make up the difference between 100 reported on DI and SU reporter/on D2-D6). Example 2(reporting all units): Inside a project area a condemned,historic property was substantially rehabilitated(muld- amily or single family),funded by tax credits and other private financing without any agency assistance. Check whether Inside or Outside Project Area in completing applicable information below: ® INSIDE Project Area Enter the number for each unit type for each applicable activity: ACTIVITY: UNIT TYPE: VLOW LOW MOD AMOD TOTAL New Construction Units: 12 12 Substantial Rehabilitation Units: Total Units: 12 12 If agency did not assist any part of project Various Various identify Building Permit Number and Date: I BUILDING PERMIT NUMBER BUILDING PERMIT DATE ❑ OUTSIDE Project Area Enter the number for each unit type for each applicable activity: ACTIVITY: UNIT TYPE: VLOW LOW MOD AMOD TOTAL New Construction Units: Substantial Rehabilitation Units: Total Units: If agency did not assist any part of project identify Building Permit Number and Date: BUILDING PE MIT NUMBER BUILDING PERMIT DATE Check all appropriate form(s) listed below that will be used to identify remaining Project Units to be reported: ❑ Replacement Housing Units Inclusionary Units. Other Housing Units Provided. (Sch HCD-D2) ❑ Inside Project Area (Sch HCD-D3) With LMIHF (Sch HCD-D5) ❑Outside Project Area (Sch HCD-04) ❑Without LMIHF (Sch HCD-D6) ' t .,;,mrma Redoclupment Agencies-Hi cal 1 ear 21J07-:00a HCD-D7 ,di D717-1 Ufii RF SCHEDULE HCD-D1 GENERAL PROJECT/PROGRAM INFORMATION For each different Project/Program (area/name/aqv or nonage dev/rental or owner , complete a 01 and applicable D2-D7. Examples: 1. 25 minor rehab(Nonagy Dev):Area 1: 15 Owner, Area 2: 6 Rental; &Outside:4 Rental. Complete 3 D-1 s, &Ds3-4-5. 2. 20 sub rehab(nonrestricted):Area 3: 4 Agy Dev. Rentals; 16 Nonagy Dev. Rentals. Complete 2 D-1s&2 D-5s. 3: 15 sub rehab(restricted):Area 4: 15 Nonagy Dev, Owner. Complete 1 D-1 & 1 D-3. 4: 10 new(Outside). 2 Agy Dev(restricted Rental), 8 Nonagy Dev(nonrestricted Owner) Complete 2 D-1s, 1 D-4, & 1 D-5. Name of Redevelopment Agency: CRA of the City of Grand Terrace Identify Project Area or specify"Outside": Grand Terrace Redevelopment Proiect Area General Title of Housing ProjecUProgram: Blue Mountain Senior Villas ProjecUProgram Address(optional): 22627 Grand Terrace Rd. Grand Terrace CA 92313 Street: City: ZIP: Various Grand Terrace 92313 Owner Name(optional): Total Project/Program Units: # 120 Restricted Units: # 120 Unrestricted Units: # 0 For proiects/programs with no RDA assistance do not complete any of below or any of HCD D2 D6 Only complete HCD D7 Was this a federally assisted multi-family rental project[Gov't Code Section 65863.10(a)(3)]? ❑YES ❑NO Number of units occupied by ineligible households(e.g. ineligible income/#of residents in unit)at FY end # Number of bedrooms occupied by ineligible persons(e.g. ineligible income/#of residents in unit)at FY end # Number of units restricted for special needs: (number must not exceed"Total Project Units) # Number of units restricted that are serving one or more Special Needs: # ❑Check, if data not available (Note: A unit may serve multiple "Special Needs"below. Sum of all the below can exceed the "Number of Units"above) DISABLED(Mental) # �FARMWORKER(Permanent) # TRANSITIONAL HOUSING # DISABLED(Physical) # FEMALE HEAD OF HOUSHOLD # ELDERLY # FARMWORKER(Migrant) # LARGE FAMILY # EMERGENCY SHELTERS (4 or more Bedrooms) (allowable use only with'Other Housing Units Provided-Without LMIHF"Sch-06 Affordability and/or S ecial Need Use Restriction Term enter da /month/ ear using digits,e.g.07101/2002 : Re lacement Housing Units Inclusionary Housing Units Other Housin Units Provided With LMIHF Without LMIHF Restriction Start Date 11/04/2004 Restriction End Date 11/01/2064 Perpetuity Funding Sources: Redevelopment Funds: $2,854,317 Federal Funds $ State Funds: $ Other Local Funds: $ Private Funds: $ Owner's Equity: $ TCAC/Federal Award: $ TCAC/State Award: $ Total Development/Purchase Cost: $ I Check all appropriate form(s) below that will be used to identify all of this Project'4,/Program's Units: ❑ Replacement Housing Units Inclusionary Units: Other Housing Units Provided: (Sch HCD-D2) Z Inside Project Area(Sch HCD-D3) ❑With LMIHF (Sch HCD-D5) ❑Outside Project Area (Sch HCD-D4) ❑Without LMIHF (Sch HCD-D6) ❑No Agency Assistance(Sch HCD-D7) 1:alifornia Redevelopment Agencies-Fiscal Year 2008-2009 HCD-D1 `cli DI 171Id09f 87 SCHEDULE HCD-D3 INCLUSIONARY HOUSING UNITS(INSIDE PROJECT AREA) (units not claimed on Schedule D-4,5,6,7) (units with required affordability restrictions that agency or community controls) Agency: CRA of the City of Grand Terrace Redevelopment Project Area Name: Grand Terrace Redevelopment Project Area Affordable Housing Project Name: Blue Mountain Senior Villas Check only one. If both apply, complete a separate form for each(with another Sch-D1): ❑ Agency Developed ® Non-Agency Developed Check only one. If both apply, complete a separate form for each (with another Sch-D1): ® Rental ❑Owner-Occupied ' Enter the number of units for each applicable activity below: Note. "INELG"refers to a household that is no longer eligible but still a temporary resident and part of the total A. New Construction Units: Elderly Units Non Elderly Units TOTAL Elderly&Non Elderly Units VLOW LOW MOD TOTAL INELG. VLOW LOW MOD TOTAL INELG. VLOW LOW MOD TOTAL INELG, 55 1 53 1 1.2 120 ❑ ❑ 55 53 12 120 Of Total,identify the number aggregated from other project areas(see HCD-A(s), Item 8): B Substantial Rehabilitation(Post'93/AB 1290 Definition of Value>25%: Credit for Obligations Since 19941: Elderly Units I Non Elderly Units TOTAL Elderly&Non Elderly Units VLOW LOW MOD TOTAL INELG. VLOW LOW MOD TOTAL INELG. VLOW LOW MOD TOTAL INELG. Of Total,identify the number aggregated from other project areas(see HCD-A(s),Item 8): C. Acquisition of Covenants (Post-'93/AB 1290 Reform: Only Multi-Family Vlow& Low&Other Restrictions): Elderly Units Non Elderly Units TOTAL Elderly&Non Elderly Units VLOW LOW MOD TOTAL INELG. VLOW LOW MOD TOTAL INELG. VLOW LOW MOD TOTAL INELG: -TOTAL UNITS(Add only'rOTAL of ail"TOTAL Elderly/Non Elderly Units"): 120 IJ'TOTAL U:yITS is less than"Total Project Units"on HCD Schedule Dl,report the remaining units as instructed below. Check all appropriate form(s)listed below that will be used to identify remaining Project Units to be reported: ❑ Replacement Housing Units ❑ Inclusionary Units (Outside Project Area) Other Housing Units Provided: (Sch HCD-D2) (Sch HCD-D4) With LMIHF (Sch HCD-D5) ❑Without LMIHF (Sch HCD-D6) ❑No Assistance (Sch HCD-D7) Identify the number of Inclusionary Units which also have been counted as Replacement Units: Elderly Units Non Elderly Units TOTAL Elderly 3 Non Elderly Units VLOW LOW MOD TOTAL INELG. VLOW LOW MOD TOTAL INELG. VLOW LOW MOD TOTAL INELG. [PF- I I I 1= I ' California Redevelopment Agencies-Fiscal,Year 2008-2009 HCD-D3 Sch D3(7,1 ryl I i SCHEDULE HCD-E CALCULATION OF INCREASE IN AGENCY'S INCLUSIONARY OBLIGATION BASED ON SPECIFIED HOUSING ACTIVITY DURING THE REPORTING YEAR Agency:_ CRA of the City of Grand Terrace Name of Project or Area (if applicable, list"Outside" or"Summary": Summary Complete this form to report activity separately by project or area or to summarize activity for the year. Report all new construction and/or substantial rehabilitation units from Forms D2 through D7 that were: ((t) developed by the agency and/or(b) developed only in a project area by a nonagency person or entity. PART I [H&SC Section 33413(b)(I)1 1' AGENCY DEVELOPED UNITS DURING THE REPORTING YEAR BOTH INSIDE AND OUTSIDE OF A PROJECT AREA I. New Units Developed by the Agency 2. Substantially Rehabilitated Units Developed by the Agency 0 3. Subtotal - Baseline of Aggncy Developed Units(add lines 1 &2) 0 4. Subtotal of Increased Inclusionary Obligation (Line 3 x 30%) (see Notes I and 2 below) 0 5. Vero-Low Inclusionary Obligation Increase Units(Line 4 x 50%) 0 PART 11 [H&SC Section 33413(b)(2)1 NONAGENCY DEVELOPED UNITS DURING THE REPORTING YEAR ONLY INSIDE A PROJECT AREA 6. New Units Developed by Any Nonasency Person or Entity 132 7. Substantially Rehabilitated Units Developed by Any Nona ency Person or Entity 0 8. Subtotal - Baseline of Nonagencv Developed Units(add lines 6&7) 132 1 9. Subtotal of Increased Inclusionary Obligation (Line 8 x 15%) (see Notes 1 and 2 below) 20 10. Vero-Low Inclusionary Obligation Increase(Line 9 x 40%) 8 PART Ill REPORTING YEAR TOTALS 11. Total Increase in Inclusionary Obligation (add lines 4 and 9) 20 12. Vero-Low Inclusionary Obligation Increase(add line 5 and 10) (Line 12 is a subset of Line 11) 8 NOTES: 1. Section 33413(b)(1), (2), and(4) require agencies to ensure that applicable percentages(30% or 15Yo) of all (market-rate and affordable) "new and substantially rehabilitated dwelling units"are made available at affordable housing cost within 10-year planning periods. Market-rate units: units not assisted with low-mod funds and jurisdiction does not control affordability restrictions. Affordable units: units generally restricted fur the longest feasible time beyond the redevelopment plan's land use controls and jurisdiction controls affordability restrictions.Agency developed units: market-rate units can not exceed 7U percent and affordable units must be at least 30 percent, however, Ell units assisted with low-mod fonds must be affordable. Nonagencv developed(project urea) units: market-rate units can not exceed 85 percent and affordable units must be at least 15 percent. 2. Production requirements may be met on a project-by-project basis or in aggregate within each 10 year planning period The percentage of ujford�ible units relative to total units required within each 10-year planning period may be calculated us follows: .4 FFORDABLE units= Market-rate x(.30 or.15) TOTAL units= Market-rate or.-I ffordable (.7U or.85) (.70 or.85) (.30 or.15) California Redevelopment Agencies-Fiscal Year 2008-2009 HCD-E ,,ch F-1 (7 01 09) 89 vchlist Voucher List Page: 1 12/22/2009 10:56:33AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64621 12/3/2009 010996 CA PUB EMPLOYEES' RET SYSTEM H2O091214930C DECEMBER EMPLOYEE HEALTH INSURANCE 10-120-142-000-000 693.53 10-125-142-000-000 54674 10-140-142-000-000 0.03 10-172-142-000-000 182.24 10-175-142-000-000 145.79 10-180-142-000-000 1,130.90 10-370-142-000-000 619.63 10-380-142-000-000 364.49 10-440-142-000-000 1,92345 10-450-142-000-000 546.74 21-572-142-000-000 437.40 32-200-142-000-000 36449 32-370-142-000-000 400.94 34-400-142-000-000 400.95 10-022-61-00 6,155.75 10-190-265-000-000 62.95 Total : 13,976.02 64622 12/8/2009 011092 METLIFE SBC KM05754034 00 DECEMBER DENTAL INSURANCE 10-180-142-000-000 5000 10-022-61-00 239.30 Total : 289.30 64623 12/8/2009 006772 STANDARD INSURANCE COMPANY Dec.160-51317C DECEMBER DENTAL INSURANCE 10-022-61-00 1,16052 10-180-142-000-000 44.08 10-370-142-000-000 44.08 Total : 1,248.68 64624 12/8/2009 006772 STANDARD INSURANCE COMPANY Dec 00607869 0 DECEMBER LIFE/DISABILITY INSURANCE COUNCIL AGENDA ITEM NO.3 jj Page: 1 vchlist Voucher List Page: 2 12/22/2009 10:56:33AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64624 12/8/2009 006772 STANDARD INSURANCE COMPANY (Continued) 32-370-142-000-000 677 34-400-142-000-000 10.33 34-800-142-000-000 2.78 32-200-142-000-000 11.10 10-185-142-000-000 695 10-022-66-00 1,231 28 10-120-142-000-000 1842 10-125-142-000-000 1042 10-140-142-000-000 15.63 10-172-142-000-000 348 10-175-142-000-000 278 10-180-142-000-000 25.09 10-370-142-000-000 1031 10-380-142-000-000 6.95 10-440-142-000-000 54.35 10-450-142-000-000 10.43 21-572-142-000-000 7.71 Total : 1,434.78 64625 12/8/2009 010737 WESTERN DENTAL SERVICES INC. Dec 002484 773 DECEMBER DENTAL INSURANCE 10-022-61-00 7362 -— Total : 73.62 64626 12/8/2009 004587 MANAGED HEALTH NETWORK 3200011987 DECEMBER MHN INSURANCE Page: 2 vchlist voucher List Page: 3 12/22/2009 10:56:33AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64626 12/8/2009 004587 MANAGED HEALTH NETWORK (Continued) 10-120-142-000-000 16.96 10-125-142-000-000 9.60 10-140-142-000-000 14.40 10-172-142-000-000 3.20 10-175-142-000-000 2.56 10-180-142-000-000 23.68 10-370-142-000-000 10.88 10-380-142-000-000 6.40 10-440-142-000-000 134.40 10-450-142-000-000 16.00 21-572-142-000-000 7.68 32-370-142-000-000 9.60 34-400-142-000-000 9.60 34-800-142-000-000 2.56 10-120-142-000-000 6.40 10-180-142-000-000 6.40 10-185-142-000-000 6.40 32-200-142-000-000 7.68 Total : 294.40 64627 12/8/2009 010764 SAFEGUARD DENTAL&VISION 2850816 DECEMBER VISION INSURANCE 10-022-61-00 143.90 Total : 143.90 64628 12/9/2009 010164 GREAT-WEST PPE 11/27/09 Def Comp Loan Pmts PPE 11/27/09 10-022-63-00 4,864.62 10-022-64-00 1,473.84 Total : 6,338.46 64629 12/16/2009 005702 PUBLIC EMPLOYEES' RETIREMENT PRend 12/11/09 CONTRIBUTIONS FOR PR END 12/11/09 10-022-62-00 18,985.87 Total : 18,985.87 64630 12/22/2009 011007 BLUE SHIELD OF CALIFORNIA J04365575-9 DEC COBRA SUBSIDY-S. BERRY 10-180-142-000-000 812.21 Total : 812.21 Page: 3 vchlist Voucher List Page: 4 12/22/2009 10:56:33AM CITY OF GRAND TERRACE Bank code: bofa Voucher Date Vendor Invoice Description/Account Amount 64631 12/22/2009 010019 5 POINT AUTO SERVICE 14731 Smoq Check-Childcare Van 10-440-272-000-000 4820 14735 CNG Van Maint/Repair 10-440-272-000-000 41.33 14739 Child Care Bus Maint/Repair 10-440-272-000-000 135.58 Total : 225.11 64632 12/22/2009 001001 AA EQUIPMENT CO INC. 8308682 Mower Maint/Repair 10-450-246-000-000 99761 9300477 2009 LAND PRIDE FDR2572-14 10-180-700-000-000 3,672.90 10-180-700-000-000 321 38 Total : 4,991.89 64633 12/22/2009 001024 ACCENT PRINT& DESIGN 254223 City Hall Stationary/Supplies 10-190-220-000-000 49971 254248 SR. CTR NEWSLETTER PRINTING 10-805-222-000-000 90.51 Total : 590.22 64634 12/22/2009 001072 ADT SECURITY SERVICES 05575819 C. CARE MONITORING 10-440-247-000-000 37500 Total : 375.00 64635 12/22/2009 010158 AMSTERDAM PRINTING 2200976 Attendance Calendars-Child Care 10-440-210-000-000 41.28 Total : 41.28 64636 12/22/2009 010678 ARCHIVE MANAGEMENT SERVICE 0085935 TAPE STORAGE 10-180-250-000-000 5527 10-140-250-000-000 55.26 Total : 110.53 64637 12/22/2009 010293 AVAYA, INC 2729532744 PHONE &VOICEMAIL MAINTENANCE 10-190-246-000-000 183.46 Total : 183.46 Page. 4 vchlist Voucher List Page: 5 12/22/2009 10:56:33AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64638 12/22/2009 010102 CALIF. ASSOC. OF CODE ENFORCE. 1025342 09/10 Membership Dues-B. Owens 34-800-265-000-000 7500 Total : 75.00 64639 12/22/2009 001740 CDW GOVERNMENT INC RBN5998 SOFTWARE PER QUOTE#BKXK318 10-808-701-000-000 345.00 10-808-701-000-000 1.67 Total : 346.67 64640 12/22/2009 010218 CHEVRON &TEXACO CARD SERVICES 22412450 Maint/Child Care Fuel charges 10-180-272-000-000 787.43 10-440-272-000-000 9733 Total : 884.76 64641 12/22/2009 011031 CINTAS CORPORATION#150 150772941 C. CARE SUPPLIES 10-440-228-000-000 107.45 150782345 C. CARE SUPPLIES 10-440-228-000-000 92.50 Total : 199.95 64642 12/22/2009 001840 CITY OF COLTON 000961 Wastewater Lab Testing Fees 21-570-802-000-000 600.00 Total : 600.00 64643 12/22/2009 010866 CIVIC PLUS 75667 WEBSITE MAINT FEE 10-125-250-000-000 615.00 Total : 615.00 64644 12/22/2009 011029 COBRA SIMPLE 53 COBRA ADMIN SERVICES 10-190-220-000-000 50.00 Total : 50.00 64645 12/22/2009 010147 CORTES, BEA DECEMBER Dec Stipend/Auto Allowance 32-200-120-000-000 150.00 10-110-120-000-000 166.49 10-110-273-000-000 200.00 Total : 516.49 Page: 5 vchlist Voucher List Page: 6 12/22/2009 10:56:33AM CITY OF GRAND TERRACE Bank code : bofa �~ Voucher Date Vendor Invoice Description/Account Amount 64646 12/22/2009 001907 COSTCO#478 2376 C CARE SUPPLIES 10-440-228-000-000 9917 10-440-220-000-000 3305 2383 C CARE SUPPLIES 10-440-228-000-000 129.85 10-440-220-000-000 43.28 2384 C. CARE SUPPLIES 10-440-228-000-000 104.01 10-440-220-000-000 34.67 Total : 444.03 64647 12/22/2009 001662 CSMFO 2009-10 Membership Renewal-B. Simon 10-140-265-000-000 110.00 Total : 110.00 64648 12/22/2009 001930 DAILY JOURNAL CORPORATION B1744120 LEGAL ADVERTISING 10-125-230-000-000 8360 Total : 83.60 64649 12/22/2009 001950 DATA QUICK BI-1659436 November Subscription Svcs 10-380-250-000-000 4350 21-572-246-000-000 4350 34-800-220-000-000 4350 Total : 130.50 64650 12/22/2009 003210 DEPT 32-2500233683 014673/702983( MAINTENANCE SUPPLIES 10-180-218-000-000 1673 10-180-245-000-000 49.50 10-440-245-000-000 23.58 102920/901328z MAINTENANCE SUPPLIES 10-180-245-000-000 615 10-450-245-000-000 96.74 108041/301416� MAINTENANCE SUPPLIES 10-180-245-000-000 125.22 10-450-246-000-000 32.73 Total : 350.65 Page. 6 O vchlist voucher List ( Page: 7 12/22/2009 10:56:33AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64651 12/22/2009 002165 DRUG ALTERNATIVE PROGRAM 7742 WEED CONTROL 10-450-245-000-000 1,000.00 �_ Total : 1,000.00 64652 12/22/2009 002301 FEDEX 943038670 Overnight Delivery Charges 10-120-210-000-000 21 36 47-100-250-001-000 2411 Total : 45.47 64653 12/22/2009 002450 FERRE', MARYETTA DECEMBER Dec Stipend/Auto Allowance 32-200-120-000-000 150.00 10-110-120-000-000 250.00 10-110-273-000-000 200.00 Total : 600.00 64654 12/22/2009 002727 FREEMAN COMPANY, J R 427005-0 MISC OFFICE SUPPLIES 10-125-210-000-000 130.23 427842-0 Misc Office Supplies 10-140-210-000-000 162.58 Total : 292.81 64655 12/22/2009 002740 FRUIT GROWERS SUPPLY 90426113 Misc Small Tools/Supplies 10-180-218-000-000 11.69 90426837 MAINTENANCE AND SUPPLIES 10-450-245-000-000 29.90 90426910 Cement for City Hall Grounds 10-180-245-000-000 9.52 90433016 Erosion Control Supplies 10-180-245-000-000 136.68 Total : 187.79 64656 12/22/2009 002901 G.T. AREA CHAMBER OF COMMERCE 5834-ADS CITY CONTRIBUTION TO JOINT NEWSLETTER 10-125-213-000-000 87000 Total : 870.00 64657 12/22/2009 002795 GARCIA, LEE ANN DECEMBER Dec Stipend/Auto Allowance A Page: 7 vchlist Voucher List Page: 8 12/22/2009 10:56:33AM CITY OF GRAND TERRACE Bank code : bofa , Voucher Date Vendor Invoice Description/Account Amount 64657 12/22/2009 002795 GARCIA, LEE ANN (Continued) 32-200-120-000-000 150.00 10-110-120-000-000 9.49 10-110-273-000-000 20000 Total : 359.49 64658 12/22/2009 010181 GOPHER PATROL 192728 GOPHER CONTROL 10-450-245-000-000 52500 Total : 525.00 64659 12/22/2009 010164 GREAT-WEST PPE 12/22/2009 Def Comp Contribution PPE 12/11/09 10-022-63-00 4,868.28 Total : 4,868.28 64660 12/22/2009 010559 GST-JAGUAR RVSA603907 MCAFEE GOLD TECHNICAL SUPPORT 10-380-249-000-000 60000 Total : 600.00 64661 12/22/2009 011097 HARRIS TRANSFER 200912-25 Silica Sand for Erosion Control 10-180-245-000-000 25665 Total : 256.65 64662 12/22/2009 010944 HERSHEY BUSINESS PRODUCTS 104062 Misc Office Supplies 10-125-246-000-000 10500 10-370-210-000-000 10500 Total : 210.00 64663 12/22/2009 010632 HIGH TECH SECURITY SYSTEMS 89718 SECURITY CAMERA MAINT. AGREEMENT 10-180-246-000-000 20.00 10-450-246-000-000 6000 Total : 80.00 64664 12/22/2009 003213 HONEYWELL ACS SERVICE 3467432 ANNUEL HVAC MAINT SRVS 10-180-257-000-000 5,735.25 Total : 5,735.25 64665 12/22/2009 003216 HOUSTON & HARRIS PCS, INC 09-15694 HYDROWASHING 21-573-602-000-000 2,750.00 Page. 8 vchlist 'Voucher List Page: 9 12/22/2009 10:56:33AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64665 12/22/2009 003216 HOUSTON & HARRIS PCS, INC. (Continued) Total : 2,750.00 64666 12/22/2009 003224 HYDRO-SCAPE PRODUCTS INC. 06195494-00 Erosion Control Supplies 13-445-710-000-000 82 63 06195520-00 Erosion Control Supplies 13-445-710-000-000 14 72 06195523-00 Erosion Control Supplies 13-445-710-000-000 65.40 06198502-00 LAN DSCAPR/MAINTENANCE SUPPLIES 10-180-245-000-000 185.90 Total : 348.65 64667 12/22/2009 003490 INMARK/VICTOR 112476 Office Door Placard-City Manager 10-120-210-000-000 14.96 Total : 14.96 64668 12/22/2009 010773 KELLAR SWEEPING INC. 4997 STREET SWEEPING SERVICES 16-900-254-000-000 4,200.00 Total : 4,200.00 64669 12/22/2009 006880 L-1 IDENTITY SOLUTIONS 360910764-SMI' Fingerprinting Services-Smith 10-440-223-000-000 92.00 Total : 92.00 64670 12/22/2009 004299 LAKESHORE LEARNING MATERIALS 036065 SCHOOL AGE SUPPLIES 10-440-223-000-000 81.00 Total : 81.00 64671 12/22/2009 004320 LAWNMOWER CENTER 4105 MOWER/BLOWER REPAIRS 10-450-246-000-000 10.85 4158 MOWER/BLOWER REPAIRS 10-450-246-000-000 32.59 Tota 1 : 43.44 64672 12/22/2009 011098 LAZETTE, JANET 12082009 Child Care Drop with credit balance 10-440-23 120.50 Total : 120.50 Page 9 vchlist Voucher List Page: 10 12/22/2009 10:56:33AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64673 12/22/2009 010812 LOWE'S COMMERCIAL SERVICES 14007 MAINT. SUPPLIES 10-180-245-000-000 50.04 14044A Misc Maint Supplies 10-450-245-000-000 31.75 27720 Misc Maintenance Supplies 10-180-246-000-000 40.92 Total : 122.71 64674 12/22/2009 010690 LSA ASSOCIATES INC. 95882F TOWN SQUARE MASTER PLAN EIR 32-600-212-000-000 3,63750 Total : 39637.50 64675 12/22/2009 010446 MILLER, JIM DECEMBER Dec Stipend/Auto Allowance 32-200-120-000-000 150.00 10-110-120=000-000 250.00 10-110-273-000-000 200.00 Total : 600.00 64676 12/22/2009 010546 MPOWER COMMUNICATIONS 387767-NOV Nov Phone Line Fees 10-440-235-000-000 257.46 10-380-235-000-000 22.54 10-450-235-000-000 59.50 10-805-235-000-000 64.61 387798-NOV November Phone Line Charqes 10-190-235-000-000 939.75 10-380-235-000-000 25751 10-808-235-000-000 57.59 Total : 1,658.96 64677 12/22/2009 010097 NEXTEL COMMUNICATIONS 410575025-087 Commty Svcs Wireless Phone Svcs 10-180-240-000-000 362.25 10-440-235-000-000 54.91 10-180-218-000-000 49.22 34-800-218-000-000 49.22 Total : 515.60 64678 12/22/2009 005400 OFFICE DEPOT 499103331001 Misc Office Supplies Page 10 vchlist Voucher List Page: 11 12/22/2009 10:56:33AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64678 12/22/2009 005400 OFFICE DEPOT (Continued) 10-120-210-000-000 53.09 499107883001 Misc Office Supplies 10-120-210-000-000 27.37 500709191001 Misc Office Suppies 10-120-210-000-000 213.62 500898917001 Misc Office Supplies 10-120-210-000-000 17.41 Total : 311.49 64679 12/22/2009 001456 OFFICE MAX CONTRACT INC. 156275 Misc. Office Supplies 10-440-210-000-000 84.11 191205 Misc Office Supplies 10-440-210-000-000 w 500 201340 Misc Office Supplies 10-440-210-000-000 19.32 Total : 108.43 64680 12/22/2009 011099 ORANGE COUNTY STRIPING SVC 42749 Siqns for Grand Terrace Road 13-445-710-000-000 62700 Total : 627.00 64681 12/22/2009 010851 PARADIGM PRESSURE WASHING NOVEMBER GRAFFITI CLEAN UP 10-180-255-000-000 50000 Total : 500.00 64682 12/22/2009 005586 PETTY CASH 12212009 Child Care Petty Cash Replenishment 10-440-220-000-000 3.98 10-440-221-000-000 60.84 10-440-223-000-000 107.20 10-440-228-000-000 89.76 Total : 261.78 64683 12/22/2009 010657 PROGRESSIVE SOLUTIONS 36041 Misc Office Supplies/Paper 10-140-210-000-000 341.41 Total : 341.41 Page: 11 vchlist Voucher List Page: 12 12/22/2009 10:56:33AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64684 12/22/2009 005688 PROTECTION ONE 2588440-3rd Qtr ALARM MONITORING 10-172-246-000-000 30.45 10-175-246-000-000 30.45 34-400-246-000-000 3045 3020955-3rd Qtr ALARM MONITORING 10-180-247-000-000 99.00 31891344 ALARM MONITORING 10-180-247-000-000 117.74 Total : 308.09 64685 12/22/2009 010420 RDO EQUIPMENT CO P81867 Cap Screws 10-450-246-000-000 -6 43 P96857 Misc Maint Supplies/Equip 10-450-246-000-000 24.46 P97285 Misc Maint Supplies/Equip 10-450-246-000-000 6.85 Total : 24.88 64686 12/22/2009 010171 REPUBLIC ELECTRIC 1109112 SIGNAL MAINT/REPAIRS 16-510-255-000-000 451 68 Total : 451.68 64687 12/22/2009 006285 RIVERSIDE HIGHLAND WATER CO 12152009 Oct-Dec Utility Charges 10-190-238-000-000 385.89 _ 10-440-238-000-000 12889 10-450-238-000-000 4,066.16 10-805-238-000-000 1,436.23 26-600-239-000-000 311.76 26-601-239-000-000 41 56 34-700-709-000-000 9.80 34-700-710-000-000 9 80 34-700-767-000-000 9.80 Total : 6,399.89 64688 12/22/2009 006310 ROADRUNNER SELF STORAGE INC 10601 STORAGE SERVICES 10-140-241-000-000 119.00 Page. 12 vchlist voucher List Page: 13 12/22/2009 10:56:33AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64688 12/22/2009 006310 ROADRUNNER SELF STORAGE INC. (Continued) "Total : 119.00 64689 12/22/2009 010249 ROGERS, ANDERSON, MALODY ET AL 27478 07/08 CITY AND CRA AUDIT 32-200-250-000-000 22725 34-400-255-000-000 227.25 33-300-250-000-000 227.25 10-140-250-000-000 1,898.25 28058 FY 08/09 AUDIT FOR CITY AND CRA 10-140-250-000-000 10,668.39 33-300-250-000-000 1,277.20 34-400-255-000-000 1,277.21 32-200-250-000-000 1,277.20 Total : 17,080.00 64690 12/22/2009 006335 ROQUET PAVING INC. 1201-09 Street Repair-Barton Road 16-900-260-000-000 2,010.00 Total : 2,010.00 64691 12/22/2009 006341 ROSENOW SPEVACEK GROUP INC. 12072009 TAX INCREMENT, PASS THROUGH, STATEMENT 34-400-251-000-000 545.00 12072009A CONSULTING SERVICES 32-370-250-000-000 361.35 Total : 906.35 64692 12/22/2009 006504 S B. FIRE DEPT./HAZ.MATERIAL GT310CC HAZARDOUS WASTE SERVICES 10-190-258-000-000 3,88825 Total : 3,888.25 64693 12/22/2009 006506 S.B. FIRE HAZARD ABATEMENT 2009-000742 Abatement @ 0275-242-11 32-600-215-000-000 398.75 Total : 398.75 64694 12/22/2009-940664 SHELL FLEET MANAGEMENT 8000209687912 November Maint Fuel 10-180-272-000-000 169.52 Total : 169.52 64695 12/22/2009 006720 SO.CA.EDISON COMPANY 12032009 November Utiliy Charges Page: 13 vchlist Voucher List Page: 14 12/22/2009 10:56:33AM CITY OF GRAND TERRACE Bank code: bofa Voucher Date Vendor Invoice Description/Account Amount 64695 12/22/2009 006720 SO CA.EDISON COMPANY (Continued) 10-440-238-000-000 73680 16-510-238-000-000 474.24 10-450-238-000-000 1,084.01 10-172-238-000-000 4343 10-175-238-000-000 34.74 34-400-238-000-000 95.53 15-500-601-000-000 23.96 10-190-238-000-000 2,43858 2011959749/Oci Oct-Nov Utility Charqes 16-510-238-000-000 5,691.26 26-600-238-000-000 49.80 26-601-238-000-000 41.50 26-602-238-000-000 58.10 Total : 10,771.95 64696 12/22/2009 006730 SO.CA.GAS COMPANY 12032009 November Utility payment 10-180-272-000-000 7.80 10-440-272-000-000 2.60 34-800-272-000-000 2.60 10-440-238-000-000 5506 10-190-238-000-000 281 90 Total : 349.96 64697 12/22/2009 010974 STANCKIEWITZ, WALT DECEMBER Dec Stipend/Auto Allowance 32-200-120-000-000 15000 10-110-120-000-000 250.00 10-110-273-000-000 200.00 Total : 600.00 64698 12/22/2009 006778 STAPLES 3129083647 OFFICE SUPPLIES 10-180-210-000-000 2020 34-800-210-000-000 48.34 10-185-210-000-000 48.34 3129083648 OFFICE SUPPLIES 10-180-210-000-000 61.95 10-808-210-000-000 9.03 Page: 14 i 1, vchlist Voucher List �l Page: 15 12/22/2009 10:56:33AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64698 12/22/2009 006778 STAPLES (Continued) Total : 187.86 64699 12/22/2009 006778 STAPLES 54748 Misc Office Supplies 10-180-210-000-000 56.66 9594716001 Misc Office Supplies 10-140-210-000-000 21 37 Total : 78.03 64700 12/22/2009 010136 SWRCB FEES WD-0010298 WATER DISCHARGE FEE 10-631-255-000-000 5,400.00 Total : 5,400.00 64701 12/22/2009 006898 SYSCO FOOD SERVICES OF L.A. 912021197 FOOD & SUPPLIES 10-440-220-000-000 637.88 912091431 FOOD & SUPPLIES 10-440-220-000-000 462.69 912161507 FOOD &SUPPLIES 10-440-220-000-000 643.96 A Total : 1,744.53 64702 12/22/2009 007102 T Y LIN INTERNATIONAL 0911254 CHG ORD#4 BARTON BRIDGE 47-100-250-001-000 75075 Total : 750.75 64703 12/22/2009 010712 TASO TECH, INC 509 Barracuda Spam Filter Subscrip 10-380-249-000-000 43912 Total : 439.12 64704 12/22/2009 010934 THE SATELLITE WORKS INC. 3008190034 MONTHLY PHONE SERVICE 10-808-235-000-000 46.66 Total : 46.66 64705 12/22/2009 010397 TIM GODDARD'S PLUMBING 16848 Drain Cleaninq at City Hall 10-180-245-000-000 514.82 Total : 514.82 64706 12/22/2009 007034 TRANSPORTATION ENGINEERING 984 Circlation Element Amend Review 10-370-255-000-000 89900 Page: 15 vchlist Voucher List Page: 16 12/22/2009 10:56:33AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64706 12/22/2009 007034 TRANSPORTATION ENGINEERING (Continued) 985 CONSULTING SERVICES 10-180-255-000-000 2,90500 985A Traffic Eng/Consulting Services 10-175-255-000-000 216.00 Total : 4,020.00 64707 12/22/2009 002239 TYLER TECHNOLOGIES, INC 21003 Eden Accounting Module Maint 10-140-246-000-000 15,560 38 Total : 15,560.38 64708 12/22/2009 007220 UNDERGROUND SERVICE ALERT 1120090276 November Dig Alert Services 16-900-220-000-000 27.00 Total : 27.00 64709 12/22/2009 011084 VELAZQUEZ, LEA 09152009 Child care tuition reimbursement 10-440-28 76.65 Total : 76.65 64710 12/22/2009 001038 VERIZON WIRELESS-LA 0818672269 Bldq/Safety Wireless Services 34-400-235-000-000 99.02 Total : 99.02 64711 12/22/2009 007880 WEST GROUP 819684987 CA CODE UPDATES 10-125-250-000-000 432.29 Total : 432.29 64712 12/22/2009 007854 WESTERN EXTERMINATORS CO 461980 PEST CONTROL 10-180-245-000-000 86.50 10-440-245-000-000 150.00 10-805-245-000-000 33.00 34-400-246-000-000 38.50 Total : 308.00 64713 12/22/2009 010455 WESTERN HIGHWAY PRODUCTS INC 640804 Roadway sign for AM Radio Freq 10-808-245-000-000 352.18 Total : 352.18 Page. 16 i ''7 vchlist Voucher List Page: 17 12/22/2009 10:56:33AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64714 12/22/2009 007920 WILLDAN 062-10433 PLAN CHECK SERVICES 10-172-250-000-000 1,54500 062-10434 PLAN CHECK SERVICES 10-175-255-000-000 8,405.00 062-10435 PLAN CHECK SERVICES 10-175-255-000-000 1,980.00 Total : 11,930.00 64715 12/22/2009 010864 WIRZ, MATT 11/2-1218/09 Mileage Reimbursement 10-370-271-000-000 8580 Total : 85.80 64716 12/22/2009 007987 XEROX CORPORATION 044670635 CC55 COPIER LEASE 10-190-700-000-000 341.45 10-190-700-000-000 29.88 044670636 CC265 COPIER LEASE 10-190-700-000-000 270.66 10-190-700-000-000 23.68 Total : 665.67 64717 12/22/2009 007984 YOSEMITE WATERS 20934963 November Bottle H2O Svc 10-190-238-000-000 60.62 10-440-238-000-000 5392 10-805-238-000-000 13.72 34-400-238-000-000 5.74 Total : 134.00 64718 12/22/2009 007995 ZUG, RICHARD 10152009 Spring 2009 Weed Abatement 10-190-257-000-000 1,580.00 34-700-710-000-000 95.00 34-700-767-000-000 90.00 34-700-780-000-000 120.00 34-700-709-000-000 95.00 Total : 1,980.00 98 Vouchers for bank code : bofa Bank total : 174,798.63 Page: 17 vchlist Voucher List Page: 18 12/22/2009 10:56:33AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 98 Vouchers in this report Total vouchers : 174,798.63 Page: 18 0, I certify that to the best of my knowledge, the afore-listed checks for payment of City and Community Redevelopment Agency liabilities have been audited by me and are necessary and appropriate for the operation of City and Agency. 4=4 Bernie Simon, Finance Director City of Grand Terrace Warrant Register Index FD No. Fund Name Dept No. Department Name General Account Numbers 10 GENERAL FUND 110 CITY COUNCIL 110 SALARIES/WAGES 11 Street Fund 120 CITY MANAGER 139 EMPLOYEES'BENEFIT PLAN 12 Storm Drain Fund 125 CITY CLERK 140 RETIREMENT 13 Park Fund 140 FINANCE 142 HEALTH/LIFE INSURANCE 14 AB 3229 COPS Fund 160 CITY ATTORNEY 143 WORKERS'COMPENSATION 15 Air Quality Improvement Fund 172 BUILDING&SAFETY 138/141 MEDICARE/SUI 16 Gas Tax Fund 175 PUBLIC WORKS 210 OFFICE EXPENSE 17 Traffic Safety Fund/TDA Fund 180 COMMUNITY SERVICES 218-219 NON-CAPITAL FURN/SMALL TOOLS 19 Facilities Development Fund 185 RENTAL INSPECTION PROGRAM 220 SPECIAL DEPARTMENTAL EXP 20 Measure I Fund 190 GENERAL GOVERNMENT(NON-DEPT) 230 ADVERTISING 21 Waste Water Disposal Fund 370 COMMUNITY&ECONOMIC DEV 235 COMMUNICATIONS 26 LSCPG/LGHTG Assessment Dist 380 MGT INFORMATION SYSTEMS 238-239 UTILITIES 44 Bike Lane Capital Fund 410 LAW ENFORCEMENT 240-242 RENTS& LEASES 46 Street Improvement Projects 430 RECREATION SERVICES 245-246 MAINT BLDG GRNDS EQUIPMNT 47 Barton Rd. Bridge Project 440 CHILD CARE 250-251 PROFESSIONAL SERVICES 32 CRA-CAPITAL PROJECTS FUND 450 PARKS MAINTENANCE 255-256 CONTRACTUAL SERVICES 33 CRA-DEBT SERVICE FUND 631 STORM DRAIN MAINTENANCE 260 INSURANCE&SURETY BONDS 34 CRA-LOW&MOD HOUSING 801 PLANNING COMMISSION 265 MEMBERSHIPS& DUES 802 CRIME PREVENTION UNIT 268 TRAINING 804 HISTORICAL&CULTURAL COMM. 270 TRAVEUCONFERENCES/MTGS 805 SENIOR CITIZENS PROGRAM 272 FUEL&VEHICLE MAINTENANCE 807 PARKS&REC COMMITTEE 570 WASTEWATER TREATMENT 808 EMERGENCY OPERATIONS PROG. 33-300 DEBT SERVICE 7XX FACILITIES IMPRV(NO CIP) 700 COMPUTER-RELATED 701 VEHICLES& EQUIPMENT vchlist Voucher List Page: 1 01/05/2010 4:13:10PM CITY OF GRAND TERRACE Bank code: bofa Voucher Date Vendor Invoice Description/Account Amount 64719 12/29/2009 001206 ARROWHEAD CREDIT UNION NOVEMBER-DEC November-December Visa Charges 10-110-210-000-000-City Council Misc. Office Supplies 49.01 10-180-245-000-000-Maintenance of Buildings/Grounds 61.45 10-190-220-000-000-Non-Departmental Expense 50.33 10-440-210-000-000-Child Care Misc. Office Supplies 29.69 10-440-228-000-000-Preschool Program Classroom Supplies 117.35 10-450-245-000-000-Park Maintenance of Bldgs./Grounds 61.44 23-200-14-00-Child Care Trust Fund Account 458.77 10-805-210-000-000-Senior Center Misc. Office Supplies 814.07 Total: 1,642.11 64720 12/29/2009 010290 KAISER PERMANENTE 00-0005559630 HEALTH INS.-L. GARCIA 10-110-142-000-000 404.86 10-110-120-000-000 267.14 Total: 672.00 '64721 12/29/2009 010998 AETNA AARP PLANS 4710331001 HEALTH INS.-B. CORTES 10-110-142-000-000 368.06 10-110-120-000-000 172.94 Total: 641.00 64722 12/30/2009 010996 CA PUB EMPLOYEES' RET. SYSTEM H2010011493000 DUENES JAN. HEALTH INS. Page: 1 vchlist Voucher List Page: 2 01/05/2010 4:13:10PM CITY OF GRAND TERRACE Bank code: bola b Voucher Date Vendor Invoice Description/Account Amount 64722 12/30/2009 010996 CA PUB EMPLOYEES'RET. SYSTEM (Continued) 10-022-55-00 -368.06 10-120-142-000-000 717.71 10-125-142-000-000 552.10 10-140-142-000-000 828.15 10-172-142-000-000 184.04 10-175-142-000-000 147.22 10-180-142-000-000 1,159.39 10-370-142-000-000 625.70 10-380-142-000-000 368.06 10-440-142-000-000 2,313.36 10-450-142-000-000 552.09 21-572-142-000-000 441.67 32-200-142-000-000 533.69 32-370-142-000-000 404.87 34-400-142-000-000 515.25 10-190-265-000-000 74.33 10-022-61-00 7,612.30 Total: 16,661.87 64723 1/5/2010 005702 PUBLIC EMPLOYEES' RETIREMENT PRend 12-25-09 CONTRIBUTIONS FOR PREND 12-25-09 10-022-62-00 18,964.63 Total: 18,964.63 64724 1/12/2010 001040 ADDINGTON, MATTHEW NOV STIPEND November Commission Stipend 10-801-120-000-000 50.00 OCT STIPEND October Commission Stipend 10-801-120-000-000 50.00 Total: 100.00 64725 1/12/2010 010678 ARCHIVE MANAGEMENT SERVICE 0086791 TAPE STORAGE 10-180-250-000-000 55.27 10-140-250-000-000 55.26 Total: 110.53 64726 1/12/2010 001213 AT&T 90982470137936 Dec Child Care dsl Services 10-440-235-000-000 7640 Page: 2 vchlist Voucher List Page: 3 01/05/2010 4:13:10PM CITY OF GRAND TERRACE Bank code: bofa Voucher Date Vendor Invoice Description/Account Amount 64726 1/12/2010 001213 AT&T (Continued) Total: 76.40 64727 1/12/2010 011082 BAILES, ROBERT NOV STIPEND November Commission Stipend 10-801-120-000-000 50.00 Total: 50.00 64728 1/12/2010 011007 BLUE SHIELD OF CALIFORNIA JANUARY 2010 January Cobra Coverage-S. Berry 10-180-142-000-000 836.55 Total: 836.55 64729 1/12/2010 001713 CA. DEPT. OF TRANSPORTATION 186836 Nov 1-215 Off/On Ramp Maint 16-510-238-000-000 117.46 Total: 117.46 64730 1/12/2010 011031 CINTAS CORPORATION#150 150791854 C. CARE SUPPLIES 10-440-228-000-000 92.50 150801244 C. CARE SUPPLIES 10-440-228-000-000 68.03 Total: 160.53 64731 1/12/2010 001840 CITY OF COLTON OCTOBER 2009 October Wastewater Treatment 21-570-802-000-000 99,793.45 Total: 99,793.45 64732 1/12/2010 010403 CITY OF REDLANDS AR125610 CNG Fuel Charges 10-440-272-000-000 11.87 10-180-272-000-000 72.03 Total: 83.90 64733 1/12/2010 010086 COMSTOCK,TOM NOV STIPEND November Commission Stipend 10-801-120-000-000 50.00 OCT STIPEND October Commission Stipend 10-801-120-000-000 50.00 Total: 100.00 64734 1/12/2010 -W1942 DATA TICKET INC. 29808 PARKING CITE PROCESSING SERVICES 10-140-255-000-000 100.00 Page: 3 vchlist Voucher List Page: 4 01105/2010 4:13:10PM CITY OF GRAND TERRACE Bank code• bofa Voucher Date Vendor Invoice Description/Account Amount 64734 1/12/2010 001942 DATA TICKET INC. (Continued) Total: 100.00 64735 1/12/2010 002740 FRUIT GROWERS SUPPLY 90435374 MAINTENANCE AND SUPPLIES 10-180-245-000-000 28.66 90437249 MAINTENANCE AND SUPPLIES 10-450-245-000-000 16.86 Total: 45.52 64736 1/12/2010 011012 G &G ENVIRONMENTAL COMPLIANCE GTWP-1209 SEWER MGT-LINE MAINT. CONSULTING 21-573-255-000-000 1,654.40 Total: 1,654.40 64737 1/12/2010 010258 GMAC PAYMENT PROCESSING CENTER 024-9103-15936 J LEASE GMAC TAHOE VIN#1 GNFC1 30X7R248904 10-120-273-000-000 559.21 Total: 559.21 64738 1/12/2010 010752 GST INC. JO1315149 Toner for Communtiy Svcs Printer 10-370-210-000-000 798.24 Total: 798.24 64739 1/12/2010 010199 HIGHLIGHTS FOR CHILDREN 92313VRE224BR(2010 Subscription Renewal 10-440-223-000-000 32.04 Total: 32.04 64740 1/12/2010 010449 KONICA MINOLTA PRINT SOLUTIONS 213618030 Qtrly Maint Agremnt Toshiba E-studio 10-172-246-000-000 25.00 10-175-246-000-000 25.00 34-400-246-000-000 25.00 Total: 75.00 64741 1/12/2010 004352 LEAGUE OF CALIFORNIA CITIES 95923 2010 Membership Dues 10-190-265-000-000 5,507.00 Total: 5,507.00 64742 1/12/2010 004350 LEAGUE OF CALIFORNIA CITIES, INLAND EM 01072010 IE Division Reception-B.Adams 10-110-270-000-000 35.00 Total: 35.00 Page: 4 vchlist Voucher List Page: 5 01/05/2010 4:13:10PM CITY OF GRAND TERRACE Bank code: bofa Voucher Date Vendor Invoice Description/Account Amount 64743 1/12/2010 010690 LSA ASSOCIATES INC. 95882F-A TOWN SQUARE MASTER PLAN EIR 32-600-212-000-000 35,792.50 Total: 35,792.50 64744 1/12/2010 010611 MCNABOE, DARCY NOV STIPEND November Commission Stipend 10-801-120-000-000 50.00 OCT STIPEND October Commission Stipend 10-801-120-000-000 50.00 Total: 100.00 64745 1/12/2010 010546 MPOWER COMMUNICATIONS 387767-JAN January Phone Line Service 10-440-235-000-000 279.30 10-805-235-000-000 69.32 10-450-235-000-000 59.52 387798-JAN January Phone Line Fees 10-380-235-000-000 200.00 10-190-235-000-000 1,005.19 10-808-235-000-000 79.19 Total: 1,692.52 64746 1/12/2010 005586 PETTY CASH 12302009 Petty Cash Replenishment A 10-440-223-000-000 10.34 10-440-228-000-000 32.30 Total: 42.64 64747 1/12/2010 006242 RIVCOMM LLC 103477 Commty Svcs Dept Radio Maint/Repair 10-180-246-000-000 507.63 Total: 507.63 64748 1/12/2010 006720 SO CA.EDISON COMPANY 12302009 December Utility Service 10-172-238-000-000 37.01 10-175-238-000-000 29.61 34-400-238-000-000 81.43 10-190-238-000-000 2,218.22 10-440-238-000-000 523.57 16-510-238-000-000 511.86 10-450-238-000-000 1,220.10 Page. 5 vchlist Voucher List Page: 6 01/05/2010 4:13:10PM CITY OF GRAND TERRACE Bank code: bofa Voucher Date Vendor Invoice Description/Account Amount 64748 1/12/2010 006720 SO.CA.EDISON COMPANY (Continued) Total: 4,621.80 64749 1/12/2010 V06685 SOFTERWARE INC W8088 2010 Software Support 10-440-228-000-000 360.00 Total: 360.00 64750 1/12/2010 006778 STAPLES 8014326385 Misc Office Supplies/Copy Paper 10-440-210-000-000 29.81 10-190-212-000-000 173.94 Total: 203.75 64751 1/12/2010 010136 SWRCB FEES WD-0010343 State Water Permit Fees 21-572-255-000-000 1,096.00 Total: 1,096.00 64752 1/12/2010 006898 SYSCO FOOD SERVICES OF L.A. 912300634 FOOD&SUPPLIES 10-440-220-000-000 460.45 Total: 460.45 64753 1/12/2010 007102 T Y.LIN INTERNATIONAL 0912330 CHG ORD#4 BARTON BRIDGE 47-100-250-001-000 11,468.96 Total: 11,468.96 64754 1/12/2010 007220 UNDERGROUND SERVICE ALERT 1220090271 December Dig Alert Services 16-900-220-000-000 22.50 Total: 22.50 64755 1/12/2010 001038 VERIZON WIRELESS-LA 960782863-00001 December Cell Services 34-400-235-000-000 10567 Total: 105.67 64756 1/12/2010 007925 WILSON, DOUG NOV STIPEND November Commission Stipend 10-801-120-000-000 50.00 OCT STIPEND October Commission Stipend 10-801-120-000-000 50.00 Total: 100.00 38 Vouchers for bank code: bofa Bank total: 205,291.26 Page: 6 vchlist Voucher List Page: 7 01/05/2010 4:13:10PM CITY OF GRAND TERRACE Bank code: bofa Voucher Date Vendor Invoice Description/Account Amount 38 Vouchers in this report Total vouchers: 205,291.26 Page: 7 I certify that to the best of my knowledge, the afore-listed checks for payment of City and Community Redevelopment Agency liabilities have been audited by me and are necessary and appropriate for the operation of City and Agency. Bernie Simon, Finance Director City of Grand Terrace Warrant Register Index FD No. Fund Name Dept No. Department Name General Account Numbers 10 GENERAL FUND 110 CITY COUNCIL 110 SALARIES/WAGES 11 Street Fund 120 CITY MANAGER 139 EMPLOYEES'BENEFIT PLAN 12 Storm Drain Fund 125 CITY CLERK 140 RETIREMENT 13 Park Fund 140 FINANCE 142 HEALTH/LIFE INSURANCE 14 AB 3229 COPS Fund 160 CITY ATTORNEY 143 WORKERS'COMPENSATION 15 Air Quality Improvement Fund 172 BUILDING&SAFETY 138/141 MEDICARE/SUI 16 Gas Tax Fund 175 PUBLIC WORKS 210 OFFICE EXPENSE 17 Traffic Safety Fund/TDA Fund 180 COMMUNITY SERVICES 218-219 NON-CAPITAL FURN/SMALL TOOLS 19 Facilities Development Fund 185 RENTAL INSPECTION PROGRAM 220 SPECIAL DEPARTMENTAL EXP 20 Measure I Fund 190 GENERAL GOVERNMENT(NON-DEPT) 230 ADVERTISING 21 Waste Water Disposal Fund 370 COMMUNITY&ECONOMIC DEV 235 COMMUNICATIONS 26 LSCPG/LGHTG Assessment Dist 380 MGT INFORMATION SYSTEMS 238-239 UTILITIES 44 Bike Lane Capital Fund 410 LAW ENFORCEMENT 240-242 RENTS&LEASES 46 Street Improvement Projects 430 RECREATION SERVICES 245-246 MAINT BLDG GRNDS EQUIPMNT 47 Barton Rd. Bridge Project 440 CHILD CARE 250-251 PROFESSIONAL SERVICES 32 CRA-CAPITAL PROJECTS FUND 450 PARKS MAINTENANCE 255-256 CONTRACTUAL SERVICES 33 CRA-DEBT SERVICE FUND 631 STORM DRAIN MAINTENANCE 260 INSURANCE&SURETY BONDS 34 CRA-LOW&MOD HOUSING 801 PLANNING COMMISSION 265 MEMBERSHIPS&DUES 802 CRIME PREVENTION UNIT 268 TRAINING 804 HISTORICAL&CULTURAL COMM. 270 TRAVEUCONFERENCES/MTGS 805 SENIOR CITIZENS PROGRAM 272 FUEL&VEHICLE MAINTENANCE 807 PARKS&REC COMMITTEE 570 WASTEWATER TREATMENT 808 EMERGENCY OPERATIONS PROG. 33-300 DEBT SERVICE 7XX FACILITIES IMPRV(NO CIP) 700 COMPUTER-RELATED 701 VEHICLES&EQUIPMENT. PENDING CRY COUNCILAPPROVAL CITY OF GRAND TERRACE CITY COUNCIL MINUTES REGULAR MEETING-DECEMBER 8 2009 A regular meeting of the City Council of the City of Grand Terrace was called to order in the Council Chambers, Grand Terrace Civic Center, 22795 Barton Road, Grand Terrace, California, on December 8, 2009 at 7:30 p.m. U PRESENT: Maryetta Ferrd, Mayor Lee Ann Garcia, Mayor Pro Tern Bea Cortes, Councilmember Jim Miller, Councilmember Walt Stanckiewitz, Councilmember Betsy M. Adams, City Manager Brenda Mesa, City Clerk Bernard Simon, Finance Director Joyce Powers, Community&Economic Development Director Richard Shields,Building& Safety Director John Harper, City Attorney Sgt. Hector Gomez, San Bernardino County Sheriff s Department John Salvate, San Bernardino County Fire Department ABSENT: None CONVENE CITY COUNCIL MEETING The City Council meeting was opened with Invocation by Logph Aguirre, Calvary, The Brook Church, followed by the Pledge of Allegiance led by Councilman Walt Stanckiewitz. ITEMS TO ADD/DELETE -None SPECIAL PRESENTATIONS Mayor Ferrd announced that she wanted to remove item 3D. Resolution Supporting the Establishment of a Public Park on the Site of Blue Mountain and from the Consent Calendar so that it can be read and voted on after Special Presentation Item 2C. 2A.j Recognition of Citizen Patrol Members Lt.Jamsen,San Bernardino County Sheriff's Department,stated that they will be recognizing members of Citizen's Patrol that have served for several years and have now decided to retire. She presented Patricia Smith,Marjorie Owens,Paul Owens,Lewis Neeb,and Robert COUNCIL AGENDA ITEM NO. Council Minutes 12/08/2009 Page 2 Stewart, each with a plaque and a letter from Sheriff Rod Hoops thanking them for their outstanding services and dedication to the City of Grand Terrace. Mayor Ferre, expressed her appreciation to the volunteers for their dedication to the City of Grand Terrace. Mayor Pro Tern Garcia, thanked all of the volunteers for the service that they have given to the City of Grand Terrace. Councilmember Cortes,thanked all of them. Councilmember Miller,thanked all of them for their hard work and dedication. He wished all of them the best. Councilmember Stanckiewitz,thanked them for everything that they have done for the City of Grand Terrace. 2B. Chamber of Commerce Business of the Month Tom Roberts, Grand Terrace Chamber of Commerce, announced that they will be ' recognizing two businesses of the Month, Sally McQuire, Helping Hands Companion Care for the month of November 2009 and Burt's Jewelry and Repair for the month of December 2009. 2C. Presentation of Checks to the Friends of Blue Mountain from the Foundation of Grand Terrace and the Sierra Club to go Toward the Purchase of Land Darcy McNaboe,Foundation of Grand Terrace,presented a check in the amount of$5,000.00 to Denis Kidd, Friends of Blue Mountain to go towards the purchase of land. Ladd Seekins, Sierra Club, presented a check in the amount of$5,000.00 to Denis Kidd, Friends of Blue Mountain to go towards the purchase of land. Denis Kidd,on behalf of Friends of Blue Mountain thanked the Foundation of Grand Terrace and the Sierra Club for their donations. It is their goal to have a 500 acre park on Blue Mountain that would be large enough to be viable to protect the plants and the animals and to have hiking and horseback riding trails and to connect by trail to other area trails. 3D. Resolution - Supporting the Establishment of a Public Park on the Site of Blue Mountain Mayor Pro Tern Garcia read the resolution Supporting the Establishment of a Public Park on Council Minutes 12/08/2009 Page 3 the Site of Blue Mountain. CC-2009-150 MOTION BY MAYOR PRO TEM GARCIA,SECOND BY COUNCILMEMBER CORTES,CARRIED 5-0,to approve a Resolution Supporting the Establishment of a Public Park on the Site of Blue Mountain. �} 3D. Proclamations Acknowledging Support in the Effort to Remove Graffiti from the Railroad Bridge Above the I-215 -Union Pacific, Cal Trans and Senator Dutton Mayor Ferre, announced that the Railroad Bridge above the I-215 is now clean and free of graffiti. She read a proclamation that was presented to Union Pacific,Cal Trans and Senator Dutton commending them for their efforts to help maintain the quality of life for the residents of the City of Grand Terrace and the region. CONSENT CALENDAR CC-2009-151 MOTION BY MAYOR PRO TEM GARCIA, SECOND BY COUNCILMEMBER CORTES,CARRIED 5-0,to approve the following Consent Calendar Items with the removal of Item 3A., 3C., 3D., 3G., and 3H.: 3B. Waive Full Reading of Ordinances on Agenda 3E. Resolution-,Change Authorized Signatures for Bank of America 3F. Resolution - Change Authorized Signatures for Local Agency Investment Fund(LAIF) 3I. Emergency Operations Committee Minutes of 11-03-2009 3J. Historical and Cultural Activities Committee Minutes of 11-02-2009 3K. Community Emergency Response Team Minutes of 09-01-2009 and 10-06- 2009 ITEMS REMOVED FROM CONSENT CALENDAR 3A. Approve Check Register Dated 12-08-2009 CC-2009-152 MOTION BY COUNCILMEMBER STANCKIEWITZ, SECOND BY MAYOR PRO TEM GARCIA, CARRIED 4-0-1-0 (COUNCILMEMBER CORTES WAS ABSENT),to approve the Check Register dated December 8, 2009. 3 C. Approval of 11-10-2009 Minutes CC-2009-153 MOTION BY COUNCILMEMBER STANCKIEWITZ, SECOND BY COUNCILMEMBER MILLER,CARRIED 3-0-1-1 (COUNCILMEMBER CORTES WAS ABSENT AND MAYOR PRO TEM GARCIA ABSTAINED,to approve the Council Minutes 12/08/2009 Page 4 November 10, 2009 City Council Minutes. G. Resolution Rescinding Resolution 92-27 and Adopting the Planning Commission Procedures Handbook CC-2009-154 MOTION BY MAYOR PRO TEM GARCIA, SECOND BY COUNCILMEMBER MILLER,CARRIED 5-0,to continue this item to the January 12,2010 City Council Meeting. 3H. Appoint Alternate Member to Emergency Operations Committee - Parsons CC-2009-155 MOTION BY MAYOR PRO TEM GARCIA, SECOND BY COUNCILMEMBER STANCKIEWITZ, CARRIED 5-0, to appoint Pete Parsons as an alternate Member of the Emergency Operations Committee to fill an unexpired term continuing to June 30, 2012. PUBLIC COMMENT RA"Barney"Barnett,474 Prospect,Highgrove,requested a short letter from the Council to update their support of the Metrolink Station in Highgrove. He indicated that it doesn't need to be a resolution just a short letter of support. The original resolution of December 13,2001 is going to be 8 years old soon. If this letter isn't received there is a chance that there will be just two destinations with the new Metrolink station on the new Perris Valley line. They are looking at benefitting the entire region. They would like the Council to look at the destinations of the existing trains. They have received some recent support from the University Neighborhood Association, which is near UCR. He wished Grand Terrace a Happy Birthday. Gene Carlstrom, 12034 La Crosse, stated that he had the privilege of serving on SANBAG representing Grand Terrace during his tenure as Councilman which was when the Metrolink had its inception. They voted to buy the first route which was the right to run over the Santa Fe Line from San Bernardino to Los Angeles as a very large figure. He also voted on the first station that was purchased in the City of Montclair and he also voted on getting the order for the first cars that were produced for Metrolink that were built in Canada. At that time he envisioned a station somewhere between San Bernardino and Riverside that would serve the Grand Terrace area. He feels that the most logical place to build a station would be in Highgrove because of the way the tracks lay and the possibility of getting a train t stop and building a station that would be useable to Grand Terrace as well as the pcoming development that is going in the east end which will amount o about 2,500 people. He recommends that the Council do a letter of support to RCTC. Tony Petta, 11875 Eton Drive,stated that Barney Barnett is a crusader. He has been working Council Minutes 12/08/2009 Page 5 on this for eight years. He feels that it is favorable to the community of Grand Terrace to have the Metrolink Station in Highgrove. He encouraged the Council to send a letter of support. Hugh Grant, 22560 Eton Drive, encouraged the Council to reaffirm its previous action declaring support for a Highgrove Station to provide Metrolink service to this part of Riverside and San Bernardino County. It is his opinion that the high number of residents both now and in the future will truly benefit from this reasonable access to commuter transportation between Riverside and San Bernardino. William Addington, 12055 Westwood Lane, stated that he is a long time resident and interested in all things that happen in Grand Terrace. He feels that it is very important to have a station in Highgrove. He feels that this is the best time to take action and would like to see the Council show support of a Metrolink Station in Highgrove. JoAnn Johnson, 12723 Mt. Vernon Avenue, voiced her support of the Friends of Blue Mountain. She feels that they are a very worthwhile group trying to raise funds to turn Blue Mountain into a wilderness park system that will be the pride of Grand Terrace and urged Council and residents to get behind that project. She expressed her support for a Metrolink Station in Highgrove and would like to see it promoted. She also stated that she hopes the J senior center kitchen is still high on the Council's agenda. Betsy M.Adams,City Manager,stated that she would look to Council for direction regarding the letter request. COUNCIL REPORTS Mayor Ferre, stated that with Council's approval she will draft a letter on behalf of the Council indicating that the City of Grand Terrace, if in fact RCTC is considering building a Metrolink Station in Highgrove that the City of Grand Terrace is in full support of that project. She thanked the Historical and Cultural Activities Committee for a great birthday party. It was the consensus of the Council to send a letter to RCTC. Mayor Pro Tem Garcia, wished everyone a Merry Christmas and a Happy New Year. Councilmember Cortes,reported that over the last seven years she has been attending MHEP I (Manufactured Housing Educational Trust). At these meetings one month per year they have drawings for the elected officials that attend. She is pleased to announce that she won the drawing to donate to any organization that she feels is in need so she is donating it to the Senior Center. She also thanked Burrtec for their support of the garden project at the Senior Council Minutes 12/08/2009 Page 6 Center. Councilmember Miller,reported that the Grand Terrace Community Players will be putting on a Wonderful Life at the Lion's Center at 2:00 and 7:00 p.m.tickets are$5.00 the next two weekends. He wished everyone a Merry Christmas. Councilmember Stanckiewitz, reported that the last Market Night for the year will be held on Monday, December 21. He reported that the Grand Terrace Chamber of Commerce is having a holiday open house on Thursday, December 10 from 5:30 to 7:30 p.m. at the Bowen-Hayes School of the Arts. He reported that the Child Care Center will be having their 2009 Christmas Programs. He personally thanked Community and Economic Development Director Powers for bringing the bridge painting project to fruition. PUBLIC HEARINGS 6A. An Ordinance of the City Council of the City of Grand Terrace, California, Amending Chapter 8.112 of the Grand Terrace Municipal Code Regulating the Sale and Discharge of Fireworks Mayor Ferrd, expressed her concern with not having an agreement available for review. Councilmember Miller,also expressed his concern with not having an agreement for review and not knowing what information is in the agreement with Little League and Soccer. Mayor Ferrel opened the Public Hearing for discussion. Doug Wilson, 12168 Observation Drive,urged the Council not to legislate a way or right to celebrate our independence. If he chooses to continue a tradition of fireworks on the 4``'of July then don't rob him of that right. This has some how been made an issue about fundraising by ignoring the 99 9/10%of the population of the City that isn't involved with fundraising, little league, soccer, or boy scouts, etc. It is more than that and Council should make good decisions on good information. No where in the staff report does he see a justification for making fireworks illegal. He questioned how many fires that the City has had and how much damage, how many injuries, because of fireworks, where are the facts. We are in the United States and we have an obligation to provide the evidence. He urged the Council to preserve his right to celebrate freedom. John Kelly, Vice-President TNT Fireworks, 555 4 Gilbert, Fullerton, it was just over ten years ago this year that TNT along with Little League and Grand Terrace Community Soccer Club got together with Staff and Council and worked on the Ordinance that is in place currently,which to his knowledge has gone on quite successfully during that decade. Grand Terrace was one of the 30 cities in Southern California that elected to sell fireworks at the Council Minutes 12/08/2009 Page 7 9 one time exemption the State granted in 1999. They too ve a couple of questions with regard to the Staff Report presented to the Council, speci tally on a tentative agreement. He formally requested a copy of an executed agreement i and when one is reached. He questioned if there are any statistics available with the quote "The City Council has long expressed its concern over the significant fire dangers related to the discharge of fireworks." He stated that the way the Ordinance is written the City will never be able to have any type of aerial display of fireworks. He questioned whether the statement that this will have no fiscal impact on the City is true, they estimate with gross sale profits probably about $150,000.00 went back into the community,and questioned if there were sales tax derived from that. He questioned if there is any consideration in the tentative agreement and does that not have any fiscal impact. They feel that they have been corporate neighbor for ten years. There have been a few bumps and they have formed some task forces together and have always tried to work through the issues. They would urge the Council to stand with the other 275 communities in California that allow the sale and use of fireworks. He urged the Council to please not band the sale and use of State approved fireworks in Grand Terrace. Mayor Ferrd returned discussion to the Council. Mayor Pro Tem Garcia,expressed her concern with the lack of specifics with regards to the agreement between Little League and Soccer. She would like to see this item continued to the next Council Meeting so that Council can get some documentation in writing, address some of the questions that were raised at the meeting. She feels that they are not at the point where they need to be to make a decision. Councilmember Cortes, agreed that the item should be continued. Councilmember Stanckiewitz,also agreed that this item should be continued. He mentioned that the Council was all e-mailed a couple of letters indicating opposition to banning fireworks. He questioned what the cause was for the fire on 41h of July evening below Grand Terrace above the church. John Salvate, San Bernardino Coun, Fire , responded that the fire that Councilmember Stanckiewitz is referring to was in the City of Colton and it was a result of some type of fireworks. Mayor Ferrd, stated that she has sat in on quite a few of the meetings with the youth groups along with staff. The organizations have indicated, but not specifically, that they are no longer interested in manning the fireworks booth. If that is the casett en that is another item that needs to be addressed in the staff report. She feels strongly more information is needed and what the agreement says. She is in favor of bringing this item back once Council has received more information and some type of agreement with the Leagues. Council Minutes 12/08/2009 Page 8 CC-2009-156 MOTION BY MAYOR PRO TEM GARCIA, SECOND BY COUNCILMEMBER STANCKIEWITZ,CARRIED 5-0,to continue the Ordinance of the City Council of the City of Grand Terrace,California,Amending Chapter 8.112 of the Grand Terrace Municipal Code Regulating the Sale and Discharge ofFireworks to January 12,2010. UNFINISHED BUSINESS -None NEW BUSINESS 8A. Amendments to the Solid Waste Franchise Agreement (Burrtec) CC-2009-157 MOTION BY COUNCILMEMBER CORTES, SECOND BY MAYOR PRO TEM GARCIA, CARRIED 4-0-0-1 (COUNCILMEMBER MILLER ABSTAINED), to approve Changes to the Solid Waste Franchise Agreement hereby Identified as the Second Amendment to Franchise Agreement between the City of Grand Terrace and Burrtec Waste Industries Inc., for the Provision of Integrated Waste Management Services and Adopt a Resolution setting forth changes to the Solid Waste Franchise Agreement. 8B. Resolution Setting a Public Hearing Date of January 26, 2010 Regarding Proposed Waste and Recycling Rate Increases CC-2009-158 MOTION BY COUNCILMEMBER CORTES,SECOND BY COUNCILMEMBER STANCKIEWITZ, CARRIED 5-0, to approve a Resolution Declaring its Intention to Adjust the Residential and Commercial Solid Waste and Recycling Rates and Setting a Time and Place for a Public Hearing on January 26, 2010 at 6:00 p.m. to Persons Interested or Objecting to the Proposed Rate Adjustments. 8C. FY 2008-2009 Quarterly Financial Update - 6-30-2009 CC-2009-159 MOTION BY MAYOR PRO TEM GARCIA, SECOND BY MAYOR FERRE, CARRIED 5-0, to approve the FY 2008-2009 Quarterly Financial Update through June 30,2009. 8D. FY 2009-2010 Quarterly Financial Update - 9-30-2009 CC-2009-160 MOTION BY MAYOR PRO TEM GARCIA, SECOND BY MAYOR FERRE, CARRIED �-0, to approve the FY 2009-2010 Quarterly Financial Update through September 30, 2009. CLOSED SESSION - None Council Minutes 12/08/2009 Page 9 Mayor Ferr6 adjourned the meeting at 9:58 p.m., until the next City Council Meeting which is scheduled to be held on Tuesday, January 12, 2010 at 6:00 p.m. CITY CLERK of the City of Grand Terrace MAYOR of the City of Grand Terrace 06' A ALi'FORNIA AGENDA REPORT MEETING DATE: January 12,2010 , Council Item(X) CRA Item ( ) TITLE: CEC Energy Efficiency and Conservation Block Grant Application PRESENTED BY: Richard Shields,Director of Building and Safety/Public Works RECOMMENDATION: Approve attached Resolution declaring the City's intention to submit a grant application to the California Energy Commission for the Energy Efficiency and Conservation Block Grant authorizing the City to accept$69,649.00 in energy grant funds if awarded. BACKGROUND: The Federal Energy Independence and Security Act of 2007 (EISA) established the Energy Efficiency and Conservation Block Grant(EECBG)program to assist eligible entities in creating and implementing strategies to: 1) reduce fossil fuel emissions in a manner that is environmentally sustainable and, to the maximum extent practicable, maximizes benefits for local and regional communities; 2) reduce the total energy use of the eligible entities; and 3) improve energy efficiency in the building sector, the transportation sector, and other appropriate sectors. On February 17, 2009, President Obama signed into law the American Recovery and Reinvestment Act which appropriated funds to the U.S. Department of Energy (DOE) for the EECBG program. Under the EECBG program, DOE provides grant funds to states, for eligible projects. The EECBG provides $49,603,400.'00 to the State of California. DOE requires that no less than 60%of the funds received by states be passed through to cities and counties that did not receive a direct EECBG allocation from DOE. On June 25, 2009, the Energy Commission submitted an application to DOE to receive authority to expend EECBG funds for eligible projects. DOE awarded the EECBG grant to the Energy Commission on September 14, 2009. The California Legislature has provided the Energy Commission guidance on implementing California's EECBG program through California Public Resources Code Sections 25450 — 25450.5. This law directs the Energy Commission to prioritize projects based on cost-effective energy efficiency. Under this program, the City of Grand Terrace is eligible to receive$69,649.00 for various energy conservation measures. These include lighting retrofits which replace older inefficient fluorescent lights and the associated ballasts with more energy efficient models, replacement of COUNCIL AGENDA ITEM NO.3� 1 HVAC systems with high efficiency models, and replacement of exterior lighting with Light Emitting Diode (LED)or induction lighting technology, as well as other energy conservation measures. The City has determined that under the three options available under the CEC grant program, the Direct Equipment Purchase program is the most appropriate for the city. DISCUSSION: Staff has identified various lighting and HVAC systems that are inefficient and would benefit from this grant. These systems are located in the City Hall Annex, Public Works shop buildings, Child Care Center and Fire Station. In addition, staff has identified exterior lighting around the Civic Center complex and at the two city parks that may be replaced with LED or induction lighting. Staff conducted an energy survey to identify and quantify the lighting and HVAC systems that could be replaced under this grant program. Staff has identified the following specific projects for consideration under this grant application: Project 1 — Interior lighting retrofit including fluorescent lamps and ballasts of various city buildings, including City Hall, City Hall Annex, Child Care Center and Fire Station. Project 2 — Exterior lighting retrofit of various city buildings, parks and other facilities including walkway lighting, parking lot lighting and exterior lighting using Light Emitting Diode (LED) or Induction lighting as appropriate. Project 3 — Replacement of incandescent or fluorescent Exit signs with LED technology as appropriate. Project 4 — Replacement of HVAC systems with high efficiency systems in various buildings, including City Hall Annex, Child Care Center and Fire Station. Project 5 —Other energy efficiency systems such as occupancy sensors, vending machine controls and programmable thermostats as appropriate. Staff has determined that the project is in compliance with CEQA and that the approval of the energy efficiency project(s) described above are a"project"under CEQA that is categorically exempt under CCR Title 14, Section 15301, because it involves maintenance or repairs to existing facilities. FISCAL IMPACT: Funds for this project in the amount of$69,646.00 would be provided through reimbursement from the California Energy Commission. For assistance with the grant appication, Staff is requesting a budget appropriation transfer from account number 21-573-255, Waste Water Disposal Fund, Professional Services, in the amount of$2,500.00 to account number 10-175- 25P. General Fund, Professional/Special Services. No matching fund requirement is needed; however, staff will work with the City's energy providers, Southern California Edison and Southern California Gas Company to identify any additional incentives or rebates that may be applicable to these projects. 2 Respectfully submitted, s Richak Shields, Director of Building& Safety/Public Works 1,7 Manager Approval: Betsy . Adams City Manager ATTACHMENTS: Resolution �J 3 RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GRAND TERRACE, CALIFORNIA, DECLARING ITS INTENTION TO SUBMIT A GRANT APPLICATION TO THE CALIFORNIA ENERGY COMMISSION FOR THE ENERGY EFFICIENCY AND CONSERVATION BLOCK GRANT, AUTHORIZING THE CITY TO ACCEPT SAID BLOCK GRANT IN THE AMOUNT OF $69,649.00 IF AWARDED, AND MAKING A FINDING THAT THE PROJECTS PROPOSED UNDER THIS GRANT ARE CATEGORICALLY EXEMPT UNDER CEQA. WHEREAS,the City of Grand Terrace recognizes that it is in the interest of the regional, state,and national economy to stimulate the economy; create and retain jobs;reduce fossil fuel emissions; and reduce total energy usage and improve energy efficiency within our jurisdiction; and WHEREAS, Energy Efficiency and Conservation Block Grant(EECBG) funds are available through the California Energy Commission's EECBG Program for grants to eligible local governments for cost-effective energy efficiency projects; and WHEREAS,the City of Grand Terrace is eligible for EECBG funding under the California Energy Commission's EECBG Program; and WHEREAS, the City of Grand Terrace is proposing to implement the energy efficiency project(s)described in Exhibit"A" in order to qualify for EECBG funds from the California Energy Commission; and WHEREAS, the City of Grand Terrace has considered the application of the California Environmental Quality Act(CEQA)to the approval of the energy efficiency project(s) described in Exhibit"A"; and NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Grand Terrace as follows: Section 1. In compliance with CEQA, the City of Grand Terrace finds that the approval of the energy efficiency project(s)described in Exhibit"A" is a"project"under CEQA that is categorically exempt under CCR Title 14, Section 15301, because it involves maintenance or repairs to existing facilities. Section 2. Be it also resolved that the City of Grand Terrace authorizes the submittal of the application to the California Energy Commission's EECBG Program for funds to execute the proposed project described in Exhibit"A". Section 3. Be it also resolved, if recommended for funding by the California Energy Commission, the City of Grand Terrace authorizes the acceptance of a grant award up to the amount of this application for$69,649.00, and, that the City Manager acting for the City,of Grand Terrace is hereby authorized and empowered.to execute,in the name of City of Grand Terrace,all necessary contracts and agreements, and amendments hereto, to implement and carry out the purposes specified in the application. ADOPTED this day of January, 2010. Maryetta Ferre', Mayor ATTEST: Brenda Mesa, City Clerk Attachment: Exhibit"A" 5 EXHIBIT "A" Project 1 —Interior lighting retrofit including fluorescent lamps and ballasts of various city buildings,including City,Hall, City Hall Annex, Child Care Center and Fire Station. Project 2—Exterior lighting retrofit of various city buildings, parks and other facilities including walkway lighting,parking lot lighting and exterior lighting using Light Emitting Diode (LED)or Induction lighting as appropriate. Project 3 —Replacement of incandescent or fluorescent Exit signs with LED technology as appropriate. Project 4—Replacement of HVAC systems with high efficiency systems in various buildings, including City Hall Annex, Child Care Center and Fire Station. Project 5 —Other energy efficiency systems such as occupancy sensors,vending machine controls and programmable thermostats as appropriate. 4 E L CALI'FORYIA AGENDA REPORT MEETING DATE: January 12, 2010 Council Item (X) CRA Item ( ) TITLE: Planning Commission Procedures Handbook PRESENTED BY: Community and Economic Development Department RECOMMENDATION: Approve and Adopt the revised Planning Commission Procedures Handbook and the Resolution. BACKGROUND: It came to the attention of staff that the current Planning Commission Procedures Handbook (adopted in 1992) was outdated and did not conform to the Municipal Code. This item was continued from the December 8, 2009 meeting to allow for additional time to review. DISCUSSION: 1 Staff revised and updated the Planning Commission Procedures Handbook and the revisions were approved by the Planning Commission on November 19, 2009. FISCAL IMPACT: There is no fiscal impact other than staff time. Respectfully submitted, foyce Powers Community and Economic Development Director Manager Approval: Betsy M. Adams City Manager ATTACHMENTS: A. Planning Commission Procedures Handbook B. Resolution COUNCIL AGENDA ITEM NO. 3E 1 I RESOLUTION NO. 10- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GRAND TERRACE, CALIFORNIA RESCINDING RESOLUTION 92-27 AND ADOPTING THE PLANNING COMMISSION PROCEDURES HANDBOOK WHEREAS,the City Council of the City of Grand Terrace has deemed it desirable to amend the procedures to govern the conduct of the Planning Commission meetings and any of the other functions, activities, and regulations retaining thereto; NOW THEREFORE, the City Council of the City of Grand Terrace does hereby adopt the Planning Commission Procedures Handbook attached hereto and incorporated herein as Attachment"A"; BE IT FURTHER RESOLVED by said City Council that the intent of adopting the Planning Commission Procedures Handbook shall be to provide directory guidelines relating to the conduct of public business by or on behalf of the Planning Commission, and in the event of any noncompliance with or violation of any provision herein, such will not be deemed to affect the validity of any action taken, unless otherwise specifically provided by law. APPROVED AND ADOPTED by the City Council of the City of Grand Terrace, California, at a regular meeting held on the 12`h day of January, 2010. MAYOR ATTEST: CITY CLERK APPROVED AS TO FORM: CITY ATTORNEY r, B , e Attachment A PLANNING COMMISSION PROCEDURES HANDBOOK i 3 TABLE OF CONTENTS INTRODUCTION: The Role of the Planning Commission I. MEETINGS 53 1.1 Regular Meetings 1.2 Adjourned Meetings 1.3 Special Meetings 1.4 Quorum 1.5 Previously Determined Lack of Quorum II ORDER OF BUSINESS 66 2.1 Agenda 2.2 Agenda Deadline 2.3 Call to Order 2.4 Roll Call 2.5 Community and Economic Development Director 2.6 Planning Secretary 2.7 Preparation/Approval of Minutes 2.8 Public Hearing 2.9 Realm of Responsibility 2.10 Resolutions & Ordinances 2.11 Non-Agenda Items 2.12 Adjournment III PRESIDING OFFICER 90 3.1 Presiding Officer 3.2 Participation of Presiding Officer 3.3 Question (Motion) to be Stated 3.4 Signing of Document 3.5 Maintenance of Order 3.6 Duties and Power of the Chair and Vice- 2 q IV RULES, DECORUM, AND ORDER 112 4.1- Points of Order 4.2 Decorum and Order—Commissioners 4.3 Decorum and Order—Employees 4.4 Decorum and Order—Public _ 4.5 Personal Interest _) 4.6 Limitation of Debate 4.7 Dissent and Protest 4.8 Procedures in Absence of Rules V ADDRESSING THE COMMISSION 134 5.1 Manner of Addressing the Commission 5.2 Time Limitation 5.3 Addressing the Commission After Motion is Made 5.4 Written Communication VI MOTIONS 14- 6.1 Processing of Motions 6.2 Division of Motion 6.3 Precedence of Motions 6.4 Particular Motions, Purpose, and Criteria VII VOTING 179 7.1 Voting Procedure 7.2 Voting 7.3 Failure to Vote 7.4 Reconsideration VIII ELECTIONS 190 8.1 Elections i i 3 5 INTRODUCTION THE ROLE OF THE PLANNING COMMISSION A Planning Commission should work as a group, and each of its decisions should be linked to fundamental principles. These principles are set in the City General Plan, Zoning C'eode and other City policies. The ultimate goal of the Commission is to participate in the planning process, which determines the orderly development of the City. The Commission functions as a deliberative study committee, sending informed advice to the legislative body—the City Council. When all individuals of the Planning Commission become Iar,.,,:,.,.ion's wa,pro-active participants and begin ' the Cl , objectively and for the broader interest of the community4, rh ,., rh.", -belong" -and the Commission reaches the best level of functionality. Most +the % r: nts Ee the I. a F e i,;,,hest and rh., best - The Job of the PlanningComrnissioneF. AlbeFt 1. lnit). The Planning Commission's work has evolved from the legal abatement of nuisance uses and the Iprotection of the public from hazards such as fire, fallings buildings and diseases to many other fields_= t•` ,4,{; h :th . ., i z �i�1yi,'}r.� light, .,,aopen rtc'ic.:S. FE)FR pFeve*tlE3i�of .I.fig; Mid t', Planning is a proactive process that establishes goals and policies for directing and managing future _irmmh and development Local agencies plan to address fundamental i_»ues such as the location of urowth. housinu needs, and environmental protection. Additionally, planning prepares for future demand for services, inciudingy sewers, roads and lire pwection. 7 �(` re .r the I,a4rw`. en", FOREReElh ffHk 1 4e t:, . :L=-ffld tUitt!FR! dnIont' I ,.! the seF,--Ei6k)n .+t+4 To function properly and be as reasonable in these multiple tasks, Planning Commission procedures have been developed and will cover: I. Meetings H. Order of Business III. Presiding Officer IV. Rules, Decorum and Order 4 6 V. Addressing the Commission VI. Motions VII. Voting Procedure i VIII. Elections "I know of no safe depository of the ultimate power of society but the people themselves; and if we think them not enlightened enough to exercise their control with a wholesome discretion,the remedy is not to take it from them but to inform the their discretion by education." (Thomas Jefferson) I MEETINGS 1.1 REGULAR MEETINGS—The Regular Planning Commission Meetings are held on the first and third Thursdays of every month beginning at 6-7:3000 p.m. When the day of a FegWar- Fneetint falls oH a legal helidaY, the meeting shall be eandue-ted at o1ePe 1.2 ADJOURNED MEETINGS—Any regular or adjourned meetings may be adjourned to a time, place, and date certain, but not beyond the next regular meeting. 1.3 SPECIAL MEETINGS—S a special meetings of the Commission is any meeting that is held on any date other than a regular meeting date and may be called at any time by the Cha' ersonn+a*or three Commissioners by written notice, to be provided to Ehe Coffifnission at least 24 hours prior to the special meeting. Only matters contained in the notice may be considered. RieetA Commissioner should file consent(form available in the City Clerk's office)to holding a special meeting during his or her absence from the City. 1.4 QUORUM—A majority of the Planning Commission(#etit-three members) shall be sufficient to do business. In the absence of a4the majority of the Commission members from a regular,or adjourned meeting, the Community Development Director, authorized representative, or Planning Secretary may declare the meeting adjourned to a stated day and hour 'i 1.5 PREVIOUSLY DETERMINED LACK OF QUORUM—Each member of the Planning Commission who has knowledge of the fact that he will not be able to attend a scheduled meeting of the Planning Commission shall notify the 5 c,�nc�nuc l)e� loner.ipkrnin� Department at the earliest possible opportunity, and in any event, prior to 5:00 p.m. on the date of the meeting. i ilit ease a member misses three unexcused,consecutive meetings, the membership shall thereupon become vacant. I!a _ ,e ti�trrthree (4') out of the seve-nti,e (7�) Commissioners call to justify their absence, E the Planning Commission Secretary shall communicate the lack of quorum to the Community and Economic Development Director and subsequently process to cancel the meeting: post notice of cancellation at City Hall and two other selected public places; call other Commissioners and project applicants. The meeting in this case is automatically postponed to the next regularly scheduled meeting. II ORDER OF BUSINESS 2.1 AGENDA—The order of business of Planning Commission meetings will be listed in the Agenda prepared by the Community and Economic Development Department. The Planning Commission will follow the order of business in the prepared Agenda;; unless the Commission votes to modify the order of business in the prepared a17enda. audienee interest er- special interest maybe taken Oat of afdef by tile Chairman ar by The Agenda will be posted in three public places designated by the Commission for such purpose, and will be available for public review at the Community and Economic Development Department prior to regular meetings. All Agenda packet material will be available for review at the Community and Economic Development Department 4. Fhe designated public places tur posting the a;;enda are the Civic Center Foyer, Library }nd the Senior Center. 2.2 AGENDA DEADLINE—Any citizen may request to have an item placed on the Agenda I by advising in writing the Community find E=cotiomtc Development Director's Office no later than •h 'i' d sd *;he '' 14 calcndar days preceding the matter. The Community Development Director will provide copies of the request to Commissioners prior to the next meeting; however, it is the Community Development Director's r :r_t,.r�tti _t __�-__t t,.��` i,,n discretion whether to place the item on the next regular Agenda.^ 6 f i 2.3 CALL TO ORDER—The meeting of the Planning Commission shall be called to order by the Chairp_!�rs«n or, in hi,hisdier absence, the Vice-ChairpeKtionman, The meeting will be opened with the Pledge of Allegiance. 2.4 ROLL CALL—A roll call of Commissioners will be held by the Planning Commission Secretarymembers theffiselves and the names of those present and those absent will be recorded in the Minutes. 2.5 COMMUNITY :AND ECONOMIC DEVELOPMENT DIRECTOR a. In case the Director is absent, a representative will be acting as Director. Otherwise, the meeting will be cancelled. . F b. The Director shall be assigned as Parliamentarian. 2.6 PLANNING COMMISSION SECRETARY-A Planning Commission Secretary should be present at all meetings. In case the Planning Commission Secretary is absent, atjlannina staff planne can takeover his/her duties. [ being available to take ovef duties. the meet-ijj5 shall be eaneelled. The Planning Commission Secretary's duties include: - Takes and drafts minutes of the meeting. Gives or serves all public hearings and environmental and other notices required by law or by these by-laws. - Acts as custodian of Commission records. - Distributes Commission correspondence. - Prepares Council Chambers for the meetings. - Prepares approval letters to the applicants after Commission action. - Is responsible for procedural cancellation and/or preparation of special meetings when needed. 2.7 PREPARATION/APPROVAL OF MINUTES—It is the Community and Economic D_development Director's responsibility to maintain a record(Minutes) of Planning Commission meetings. The Community and Economic Development Director shall have exclusive responsibility for preparation of the Minutes, and any directions for changes in the Minutes may be made only by Commission action. In order to maintain a full and true Minute record, the Minutes shall consist of a clear and concise statement of every Commission action, including motions made and the vote thereon. Items may be inoluded if considered to be particularly relevant or otherwise necessary by the Commurity Development Director. Action Minutes versus the extent of discussion for inclusion in the Minutes will be upon request of the City Council, City Manager, Planning Commission and/or discretion of the Community Economic 7 A Development Director. Any Commissioner may specify reflection of statements in the Minutes by indicating "for the record". I2.8 PUBLIC HEARINGS—The following procedure is suggested lie-I •�_+ Ca 1 rte, �es, for conducting public hearings: a. Precede the hearing by a statement from the Chairp IE-soriffv&R setting forth the nature and subject of the public hearing and the rules; b. Staff presentation and recommendation; C. The public hearing is declared open by the Chairngrsonmat and the speakers are invited to address the Commission, stating name and address, in the following order: (1) Applicant, if any; (2) Speakers in support of item; (3) Speakers in opposition of item; i (4) Rebuttal, if necessary; d. All Commissioners should refrain from asking questions or in any way interfering with the"audience participation" portion of the public hearing at this time; e. After the Chairpersonma has declared that the -. I of the up blic hearing has concluded, the Planning Commission members may ask questions, and the audience will be precluded from participation other than to answer questions or to rebut new evidence introduced; r. eu Ca. Following discussion, the Chairpersontnati will ask for a motion and a second regarding the subject at hand and will open for discussion among the Commissioners. If there is no discussion, or when the discussion is complete,the Chairperson Chairp!Lrsonmaa will call for the vote. I2.9 REALM OF RESPONSIBILITY—The Planning Commission also serves-al-so as the City's Site and Architectural Review [3board and as rhea Code Enforcement and Appeals Board. Procedurally, when a case involves items to be reviewed by two or more of the ' three bodies, staff can prepare only one report and one presentation including all items,, and the Commission can proceed with only one public hearing encompassing all issues.; 2.10 RESOLUTIONS AND ORDINANCES- 8 i V h. \pproval of [Z solutlolls acid ordiilaliccs yxliell the P1,111111ng) C01111111sslon has �cclnunen�l,►u�1n,'a�h isory :►uthorlty. Approval of Resolutions and Ordinances requires majority affirmative vote and only becomes effective upon City Council adoption. The Planning Commission role is one of recommendation/advisory. It is not necessary to read resolutions and ordinances in their entirety when making a motion unless specifically requested. Resolution Not Prepared in Advance: Where a resolution has not been prepared in advance,the procedure shall be to instruct the Community and Economic Development Director to prepare a resolution for presentation at the next meeting. 2.11 NON-AGENDA ITEMS—No matters other than those appearing on the Agenda will be acted upon by the Commission except matters deemed to be of urgent nature upon r.,.,.,.,. issi n „s.. susreguirin►; action prior to the next regular meeting upon Commission action with 4/5 vote and posting 72 hours prior was not possible. 2.12 ADJOURNMENT—Adjournment of the meeting to the next regular meeting does not require a motion. A motion is required to adjourn a meeting to an adjourned meeting specifying the date,time, and place of said adjourned meeting. , r PRESIDING OFFICER 3.1 PRESIDING OFFICER—The Chairperson Chairpersonman shall be the Presiding Officer at all meetings of the Commission. In the absence of the Chai ersotir , the Vice- Chairperson shall preside. In the absence of both the Chai ersonr and the Vice- Ch ' ersoni , the Presiding Officer shall be the senior Commissioner present who shall ^ m aFaEv Pfesiding ��F��t=�tf serve until the arrival of the Chai erson and/or Vice-Chairgersonfnafl or until adjournment. The terms "Presiding Officer" and Chairperswiffifto shall be used interchangeably within this manual. 3.2 PARTICIPATION OF PRESIDING OFFICER—The Presiding Officer is primarily responsible for the conduct of the meeting; may move, second, and debate from the Chair, subject only to such limitations of debate as are imposed on all Commission members; and shall not be deprived of any such rights and privileges. t 3.3 QUESTION(MOTION) TO BE STATED—The Presiding Officer shall verbally restate each motion immediately prior to calling the vote. Following the vote, the Planning Secretary shall announce whether the motion carried or was 9 11 i defeated. In cases where the action of the Commission may be unclear for those in the audience, the Chairnersonman shall summarize the action of the Commission before proceeding to the next item of business. 3.4 SIGNING OF DOCUMENT—Subject to Planning Commission policy, the Chai erp rsonman shall sign ofklinanees, resolutions and minutes approved by the Commission at meetings at which he/she is in attendance. In the event of his,her absence, the Vicse-Chai ersonman shall sign all such documents approved by the Commission. 3.5 MAINTENANCE OF ORDER—The Chai ersonm;an is responsible for the maintenance of order and decorum at all times. No person shall be allowed to speak who I has not first been recognized by the Chai rrp�rsont . All questions and remarks shall be addressed to the Chairagsonman. 3.6 DUTIES AND POWERS OF THE CHAIRMAN AND VICE-CHAIRMAN A. Chai erp rsonma-a - Preside at all meetings of the Commission - Sign all documents -See that all actions are properly taken and that the Commission is effective-. -Be the central person to the policing and morale-building element of the group -Run the meeting by the rules in a manner fair to all - Keep discussion on main track -Bridge differences and bring matters to a decision -Be representative of the Commission to other groups B. Vice=Chai trp�rsconm During the absence, disability or disqualification of the ChairReEsonman, the Vice-Ch ' ersonm-an shall exercise or perform all the duties and be subject to all responsibilities of the Chaimersonr . 10 1� IV RULES,DECORUM AND ORDER 4.1 POINTS OF ORDER—The Presiding Officer shall determine all Points of Order subject to the right of any Commission member to appeal to the Commission. If any appeal is taken,the motion shall be, "shall the decision of the Presiding Officer be sustained?" In this event, a majority vote shall govern and conclusively determine such question of order. 4.'k DECORUM AND ORDER-COMMISSION a. Every Commission member desiring to speak shall address the Chaimersot:ri},i-R and, upon recognition by the Chair_r-cr-or::ii-dip, shall confine himself to the motion under debate. b. Every Commission member desiring to question the administrative staff shall address questions to the Community . Development Director, who 11 13 shall be entitled to either answer the inquiry or designate a member of staff of that' purpose. c. 5 A Commission member, once recognized, shall not be interrupted while speaking unless called to order by the Chai ersoii ,unless a point of order is raised by another Commission member, or the speaker chooses to yield questions from another Commission member. d. A Commission member who is called to order while speaking shall cease speaking until the question of order is determined. If ruled to be not in order, the Commission member shall remain silent or shall alter the remarks so as to comply with rules of the Commission. e. Commission members shall accord the utmost courtesy to each other, to City employees, and to the public appearing before the Commission and shall refrain at all times from rude and derogatory remarks,reflections as to integrity, abusive comments, and statements as to motives and personalities. 4.3 DECORUM AND ORDER—EMPLOYEES—Members of the Administrative staff and employees of the City shall observe the same rule of procedure and decorum applicable to members of the Commission. Any Staff member, including the City Manager and Community and Economic Development Director, desiring to address the Commission shall first be recognized by the Ch ersonma*. 4.4 DECORUM AND ORDER—PUBLIC—The members of the Planning Commission, appointed by the City Council, must be free to discuss issues confronting the City in an orderly environment. Public members attending meetings shall observe the same rules of order and decorum applicable to the Commission. -Any person making impertinent and slanderous remarks or who becomes boisterous while addressing the Commission or while attending a Commission meeting shall be requested to leave the room, and such person may be barred from further attendance before the Commission. 4.5 PERSONAL INTEREST—No Planning Commission members prevented from voting I by personal Or cunriict Ot interest shall remain at the Commission dais during such conflict, the Commission member4 shall state for the record the grounds and leave the Commission dais during debate on issues. 4.6 LIMITATION OF DEBATE —No Planning Commission member shall lie allowed to speak more than once upon any one subject until every other Commission member choosing to speak has spoken. Merely asking a question or making a suggestion is not considered as speaking. 12 14 4.7 DISSENT AND PROTEST—Any Planning Commission member shall have the right to express dissent from, or protest to, any action of the Commission and request that the reason be entered into the Minutes. 4.8 PROCEDURES IN ABSENSE OF RULES—In the absence of a rule to govern a point of procedure, Roberts Rules of Order shall govern. 4.9 PROCEDURE FOR AMENDING THIS DOCUMENT a. The document may be amended by majority vote. - b. Changes should be submitted to the Community and Fconomic Development Director in writing. C. Commissioners, staff, and City Council can submit changes. d. Director to submit document with recommended changes to the members of the Commission one month prior to the meeting for their review. V ADDRESSINGN THE PLANNING COMMISSION 5.1 MANNER OF ADDRESSING THE PLANNING COMMISSION—Any person desiring to address the Commission shall complete a Request to Speak Form and Y44 hiS Of heF ,and and wait to be recognized by the Chairpgrsotitnaft, and after being recognized shall proceed to the podium, or microphone, and state for the record his or her name and address. Remarks are to be limited to the question under discussion. 5.2 TIME LIMITATION—Any public member addressing the Planning Commission shall limit his address to three (3)minutes unless further time is granted by the ChairRers tiiaii or majority of the Planning Commission. When a group of persons wishes to address the Commission on the same subject matter, it shall be proper for the Chairacrsuili- an to request that a spokesman be chosen to represent the group, so as to avoid unnecessary repetition. _k 5.3 ADDRESSING THE PLANNING COMMISSION AFTER:MOTION IS MADE— 13 15 After a motion has been made, no person shall address the Commission without securing: permission by a majority consensus of the Planning Commission. 5.4 WRITTEN COMMUNICATION—Unless specifically requested otherwise, the Community and Economic Development Director is authorized to receive and open all mail addressed to the Planning Commission and take any immediate administrative action required between Planning Commission meetings, which does not required specific Commission action. Any communication requiring Commission action will be reported to the Commission at the next possible meeting, together with a report and recommendation of the Community and Economic Development Director. ' VI MOTIONS 6.1 PROCESSING OF MOTIONS—When a motion is made and seconded, it shall be restated by the Presiding Officer before debate. A motion shall not be withdrawn by the mover without the consent of the Commission member seconding it and the approval of the Commission as a whole. 6.2 DIVISION OF MOTION— If a motion contains two or more divisible propositions, the ChairpcLsonfflan may, upon request of a Commission member shall (unless appealed by another member), divide the motion. 6.3 PRECEDENCE OF MOTION— When a motion is before the Commission, the ordinary motions rank as follows—the lowest at the bottom and the highest at the op of the list. When any one of them is immediately pending, the motions shown above it are in order, and those below are out of order. Those marked (2/3) require a 2/3`d affirmative vote for their adoption, the others require only a majority vote. 14 1C (1) Adjourn; (2) Recess; a (3) Lay on the Table; (4) Previous Question(2/3); (5) Limit or extend debate (2/3); (6) Postpone to a certain time; (7) Refer to committee or staff; (8) Amend; (9) Postpone indefinitely; (10) Main Motion. The above order of preference is subject to the following restrictions: a. A motion shall not be in order when the previous motion has been ordered; j' b. A motion shall not be in order while a vote is being taken. 6.4 PARTICULAR MOTIONS.PURPOSE,AND CRITERIA (1) Motion to Adjourn: Purpose—To terminate a meeting. Debatable or Amendable—No, except a motion to adjourn to another time is debatable and amendable as to the time to which a meeting is to be adjourned. The motion to adjourn shall be in order at any time except as follows: (a) When repeated without intervening business or discussion; (b) When made as an interruption to a Commission member speaking; (c) When the previous motion has been made; (d) While a vote is being taken. (2) 'Motion to Recess: 15 17 Purpose—To set aside, temporarily, a pending main motion to consider other business. The intent of the motion is not meant to postpone action. A motion to "Take off the Table" must be made later in the same or next regular meeting or the motion is lost. Debatable or Aineiidable -- It is debatable, but not amendable. (3) Motion for Previous Question (Motion): Purpose—To prevent or stop discussion on the pending question or questions and to bring such question or questions to vote immediately. If the motion fails, discussion shall continue. If the motion passes, a vote shall be taken on pending motion or motions. Debatable or Amendable—No. (4) Motion to Limit or Extend Debate: Purpose—To limit or determine the time that will be devoted to discussion of a pending motion or to extend or remove limitations already imposed on its discussion. Debatable or Amendable—Not debatable; amendments are restricted to.period of time of the proposed limit or extension. (5) Postnone to a Certain Time: Purpose—To defer action to a specific subsequent meeting. Debatable or Amendable—Yes (6) Motion to Refer to Commission or Staff: Purpose—To refer the question before the Commission to the City Staff for the , purpose of investigating or studying the proposal and to make a report back to the Commission. 1f the motion fails, discussion or vote on the question resumes. Debatable or Amendable— Yes. (7) Motion to Amend: 16 1€ Purpose—To modify or change a motion that is being considered by the Commission so that it will express more satisfactorily the will of the members. If there are two amendments, the second amendment is voted upon first—if it carries, it automatically cancels the first amendment, and then the vote is taken on the amended motion. An amendment motion relating to a different matter shall not be in order. Debatable or Amendable—Yes (8) Postpone Indefinitely: Purpose—To prevent further discussion and voting on the main motion. If the motion fails, discussion and voting on the main motion resumes. If it passes, the subject of main motion shall not be brought up again for the remainder of the meeting. Debatable or Amendable—It is debatable,but not amendable. (9) Main Motion: Purpose—The primary proposal or question before the Commission for discussion and decision. 1 Debatable or Amendable - Yes VII VOTING 7.1 VOTING PROCEDURE—Motion will be adopted by either verbal or electronic vote. The results of the vote shall be entered in full in the minutes. 7.2 VOTING—All actions of the Planning Commission require a majority vote of the Commission member present, unless otherwise stated in this manual. 7.3 FAILURE TO VOTE—Every Planning Commission member should vote unless disqualified for a x-t4 conflict of interest or for cause accepted by the Planning Commission or by opinion of the City Attorney. In general, no member may attempt to influence or participate in any w y in any decision which foreseeable may have a material financial effect on the r ember, his property or any source of income. Specific questions should be addressed to the City Attorney or Fair Political Practices Commission. 17 19 Self-disqualification without cause, which results in a tie vote shall be avoided; but no Planning Commission member shall be forced to vote. A Planning Commission member who abstains shall, in effect, consent that a majority of the quorum may act for him. Tie votes shall be lost motions and may be reconsidered. 7.4 RECONSIDERATION—After motion and vote by the Commission, such action may be reconsidered or rescinded only in the following manner: Reconsideration: A motion to set aside a vote (to reconsider) on a main motion shall always be in order at the same meeting or at the next regular Commission meeting tullo\,N'inr the action. The motion to reconsider is amendable and debatable. Such motion can be made by any Commission member who voted affirmatively on the matter. If the motion to reconsider passes,the effect thereof is to overrule and cancel the prior action. I In case of reconsideration, a 12 yes/1, no/3 abstain vote may pass a motion to reconsider. The Abstaining vote(s)will count on the positive side. Rescission: A motion to rescind(repeal, cancel, mollify) prior Planning Commission action on a main motion shall be in order at any meeting of the Planning Commission. The effect of rescinding prior Planning Commission action shall operate prospectively only, and not retroactively to the date of the original action. That is, it shall not operate to adversely affect intervening legal rights which create an estoppels situation. Lost Motion: A lost motion is one that fails to receive the necessary number of votes to carry. Tie votes result in a lost motion. A tie %ote tiyhich has resulted from there being present less .'r!an a full Commission )hall be automatically reconsidered at the next 111,1nniri�, Commission meetln,, at which all members are present. To revive a lost motion at the same meeting or any subsequent meetings,the proper action is a motion to reconsider (discussed above). 18 Z( VIII ELECTIONS 8.1 ELECTIONS—Before proceeding to an election to fill an office, it is customary to nominate one or more candidates. The nomination need not be seconded. All members shall have the opportunity to make nominations. Once all nominations are made, the vote is taken on each person in the order in which they were nominated until one is elected and accepts the position of Chai ejLsonm or Vice-Chairpersunn:fl, or other representation as necessary. 19 21 ECEIVED Historical & Cultural Activities Committee , N� �0.,� Minutes for December 7, 2009 E� •' •3HAND TERRACE The meeting was called to order at 7:15 P.M: by Chairperson Pauline Grant."Y2ose,°"`Wq oEPARTMENT present were Pauline Grant, Gloria Ybarra, Frances Carter, City Clerk Brenda Mesa, Masako Gifford, Peggy Reagan, Shelly Rosenkild and Ann Petta. Secretary's Report: The minutes for November 2, 2009 were read. It was noted that the i opportunity drawing tickets for the Fair were sold at$.50 each or 3 for$1.00. After clarification,the minutes,were approved on a motion by Frances, seconded by Ann. All in favor. Motion carried. Treasurer's Report: The budget shows a balance of$936.16. The Petty Cash balance is $371.69. Receipts turned in for reimbursement were as follows: Shelly $44.45 for potluck decorations Pauline $37.55 for 221bs. Turkey breasts for potluck and$11%for 2 doz. Donuts for the Fair. Ann $ 7.98 for butter, cranberry and bagettes for potluck Masako $27.54 for paper supplies Frances $12.00 for cleaning of tablecloth as approved by the committee r Masako handed copies of the supply box inventory and the Treasurer's duties for the Fair } to each committee member. She also accepted a supplies list previously prepared by Colleen from Ann. Historical Report: Shelly accepted newspaper clippings from Frances for the scrapbook. For the historical collection,Ann contributed a"Grand Terrace City News" newspaper which featured an article on prominent City resident Betty Mason's 90`h birthday. The article also included some of Betty's many contributions to the community. Brenda's contributions were two"Foothill Journal" newspapers dated 1987 and 1989. Old Business: 28`h Annual Country Fair Ann reported that there were approximately 40 entries in the food contest which included 6 entries in the children's cookie contest. She added that there were approximately 30 applications from vendors, arts and crafts, etc. Masako informed the committee that proceeds from the food and drinks totaled $226.31. The committee was very pleased with the amount generated by the food sold. It was recommended that, in the future, a photo should be taken of the presentation board which features the food contest results in order to aid in the outcome of the contest. Gloria will send thank you cards to the judges and volunteLrs whose help and talents were greatly appreciated. 3I" INnniversary Potluck Dinner, Tuesday, December 8,2009 COUNCIL AGENDA ITEM NO. 3 }— Ann advised that approximately 107 people will be attending and that many are bringing an assortment of foods. She also showed the committee a diagram of the room layout of the placement of tables, etc. The committee approved the display of decorations, which included live goldfish, presented by Shelly. As was previously discussed, the 4-H Club will be the central theme for this year's celebration and the display case will also reflect the same theme. Some food items supplied by the committee will be scalloped potatoes, salad, vegetable dish, Spanish rice,turkey breasts, bread and butter. Burrtec will donate the ham and the City will provide the coffee and cake. Committee members will meet at 9:30 the morning of the Potluck to decorate, leave and then return at 4:00 P.M. The meeting was adjourned at 8:25 PM. The next committee meeting is scheduled for January 4, 2010. Respectfully Submitted, Gloria Yb Secretary f aECEIVED COMMUNITY EMERGENCY RESPONSE TEAM , A MINUTES NOVEMBER 3, 2009 CITY OF GRAND TERRACE < CITY CLERK'S DEPARTMENT Members present: Randy Halseth, Jeff Allen, Joe Ramos, Debra Hurst, Peggy Witt, Sandy Luckman, Barbara Smeltzer, Jim Stamm, Sue Taylor, Andrew Anaya, Jim Vert, Glenn Nichols, Lew Neeb, Vic Pfenninghausen, Matt Wirz. Members absent: Oscar Santana, Bernard Ojeda, Joanne Thoring, Helen Ramos, Milford Herman, Bill Fenn, Philomene Spisak, Ken Smith, Margie Miller, Barrie Owens, Dragos Barbu, James Monroe, Cliff Homan, Doug Von Kriegelstein, Thomas Schwab, Lynette Sandiford, Hann! Bennett, Shannon Bryant, Walt Stanchiewitz, Monique Stanchiewitz, Lee Ann Garcia, Tom Roberts, David Ortiz, Larry Boutcher, Ingrid Clark, Nick Calero, Bernie Urrea, Adele Urrea, Terri Robb, Joyce Widenauer. Meeting was called to order at 7:07 pm by Randy Halseth. Flag salute was given. Agenda for the November 3, 2009 meeting was approved by members present Minutes for the October 6, 2009 meeting was approved by members present There was no treasurers report at this time. Training in how to use rope and bags was given by Randy Halseth. New CERT classes are scheduled for Colton and Loma Linda. Many Grand Terrace residents are signed up for each class. We will be having more members joining us in the near future. The Loma Linda Parade was held on October 18, 2009. Randy, Jeff and Glenn were in attendance for this-event Still waiting for the Ham Radio Class to be scheduled. CERT T-Shirts and Hats are available for sale. There was a CERT refresher class held on 10/21/09 in Loma Linda: Sandy Luckman and Peggy Witt attended. One of the items that was re-enforced was how to mark a building that has been searched. Be sure to review your manual f for this very important information. We did not participate in the Halloween Haunt this year. COUNCIL AGENDA ITEM NO. 3& The Disaster Preparedness Class which was held on October 14, 2009 was not very well attended. We had the San Bernardino County Fire Department and the San Bernardino County Sheriffs Department in attendance. They spoke that every citizen needs to be prepared. Hand-outs were available to the public. We will try this very important program again in the future. The County Fair will be held this Saturday, November 7, 2009. We will have a table there with handouts available for the public. Randy to buy racks and install them in the trailer. When we get the new supplies for the trailer we will be marking them with some type of permanent markings. There being no further business to discuss, meeting was adjourned at 7:45 PM. NEXT MEETING DECEMBER 1, 2009 7:00 PM CITY HALL Debra Hurs Secretary [ALIFORYIA AGENDA REPORT MEETING DATE: January 12, 2010 Council Item(X ) CRA Item ( ) TITLE: An Ordinance of the City Council of the City of Grand Terrace, California,Amending Chapter 8.112 of the Grand Terrace Municipal Code Regulating the Sale and Discharge of Fireworks PRESENTED BY: Betsy M. Adams, City Manager RECOMMENDATION: Continue Discussion on a Proposed Fireworks Ordinance to the January 26, 2010 Council Meeting Agenda BACKGROUND: A proposed fireworks ordinance was presented for City Council consideration at the Council Meeting on December 8, 2009. At this meeting, the City Council did not take action on the proposed ordinance and instead directed staff to bring it back at the Council Meeting on January 12, 2010 along with the agreements with the Grand Terrace Little League and the Grand Terrace Soccer League DISCUSSION: The Grand Terrace Little League and the Grand Terrace Soccer League have independently requested that the City Council continue this agenda item to the Council Meeting on January 26, 2010. Staff concurs with this request as additional time is needed to draft the agreements with the youth sports organizations and also to allow adequate time for their respective boards to review the agreements. FISCAL IMPACT: The fiscal impact of the proposed fireworks ordinance is not yet fully known. A detailed fiscal impact will be included when the ordinance and agreements are brought forward for City Council consideration. COUNCIL AGENDA ITEM NO. � � 1 Respectfully submitted, Bets . Ad s City Manager Manager Approval: Betsy M. Adams City Manager ATTACHMENTS: Type Attachments Here ORDINANCE NO. AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF GRAND TERRACE, CALIFOkNIA, AMENDING CHAPTER 8.112 OF THE GRAND TERRACE MUNICIPAL CODE REGULATING THE SALE AND DISCHARGE OF FIREWORKS ' THE CITY COUNCIL OF THE CITY OF GRAND TERRACE DOES HEREBY ORDAIN AS FOLLOWS: Section 1. Existing Chapter 8.112 of the Grand Terrace Municipal Code is hereby repealed in its entirety and Chapter 8.112 of the Grand Terrace Municipal Code shall provide as follows: 8.112.010 Prohibition on sale of fireworks. It shall be unlawful for any person to offer for sale or sell at retail any fireworks of any kind within the City. 8.112.020 Prohibition on discharge. It shall be unlawful for any person to ignite, explode, project, or otherwise fire or use, any fireworks, or permit the ignition or projection thereof within the City of Grand Terrace. 8.112.030 Fireworks shall be defined. Fireworks shall be defined as set forth in Section 9.108 of the Uniform Fire Code and shall specifically include safe and sane fireworks, as defined by Section 12529 of the Health and Safety Code of the State of California. Section 2. Effective Date. This Ordinance shall be in full force and effect at 12:01 a.m., on the 3 1"day following its adoption. Section 3. posting. The City Clerk shall cause this Ordinance to be posted in three (3) public places within fifteen (15) days of its adoption, as designated for such purposes by the City Council. Section 4. first read at the regular meeting of the City Council of the City of Grand Terrace held on the day of , 2010 and finally adopted and ordered posted at a regular meeting of said City Council on the day of , 2010. Mayor of the City of Grand Terrace Attest: City Clerk of the City of Grand Terrace 3 CALItFORNIA AGENDA REPORT MEETING DATE: January 12, 2010 Council Item(X ) CRA Item ( ) TITLE: Animal Housing Services Agreement between the City of Grand Terrace and the City of San Bernardino PRESENTED BY: Betsy M. Adams, City Manager RECOMMENDATION: Approve Agreement and Authorize the City Manager to Execute the Contract BACKGROUND: Grand Terrace contracts with the City of Colton for animal control services. The contract with the City of Colton requires a separate agreement with the City of San Bernardino for animal housing services. On August 25, 2009, the City Council approved an agreement with the City of San Bernardino for animal housing services for the time period of July 1, 2009 through December 31, 2009. DISCUSSION: The new agreement for animal housing services with the City of San Bernardino is for a period of 18 months, January 1, 2010 through June 30, 2011. The contract cost will be $2,012 per month which includes $1,750 for animal housing and $262 for a fifteen-percent surcharge for shelter improvements. Previously, the contract cost for animal housing services was $1,150 per month. Grand Terrace will continue to receive revenue from the City of San Bernardino for fees collected on behalf of Grand Terrace. The provision of animal housing and animal control services are evolving issues for Grand Terrace. Since negotiating the new agreement for animal housing services with the City of San Bernardino, Grand Terrace has been advised that the City of Colton's need to reduce the number of days animal control services are provided in our community. Grand Terrace needs to evaluate long-term solutions for providing animal housing and animal control services. Staff is currently reviewing what service options may be available and will provide this information to the City Council when the alternatives and their costs are fully developed. COUNCIL AGENDA ITEM NO. C: 1 FISCAL IMPACT: The Fiscal Year 2009/2010 operating budget includes $8,400 for animal housing services in the Non-Department budget in account number 10.190.256. The cost for animal housing services for the first six months of the fiscal year was $6,000 under the prior agreement with the City of San Bernardino. The cost for the second six months of the fiscal year will be $12,072. A mid year budget appropriation of$10,572 will be required to fully fund animal housing services for Fiscal Year 2009/2010. Respectfully submitted, Betsy . Adam , City Manager Manager Approval: Betsy M. Adams, City Manager ATTACHMENTS: 1. Animal Housing Services Agreement between the City of Grand Terrace and the City of San Bernardino 00 Al` '1"1 r UWW) .1.A j 100U00 2 I Exhibit "C" ANIMAL HOUSING SERVICES AGREEMENT BETWEEN THE CITY OF GRAND TERRACE AND THE CITY OF SAN BERNARDINO THIS AGREEMENT ("Agreement") is made this 2n.0 day of November 20099 between the City of Grand Terrace, a municipal corporation (hereinafter "Grand Terrace") and the City of San Bernardino, a municipal corporation (hereinafter "San Bernardino"). Grand Terrace and San Bernardino are herein referred to individually as a "Party" and collectively as the "Parties." WHEREAS, Grand Terrace desires to provide for its citizens an animal housing services agreement; and WHEREAS, San Bernardino has the knowledge, skills, resources, and experience that qualify it to provide those animal housing services for Grand Terrace; NOW, THEREFORE, IN CONSIDERATION OF THE MUTUAL PROMISES, COVENANTS, AND CONDITIONS CONTAINED HEREIN, THE PARTIES MUTUALLY AGREE THAT: 1. Scope of Services. San Bernardino will impound, care for and dispose of animals delivered to the San Bernardino Animal Shelter by residents of, or official representatives of, Grand Terrace according to the provisions of this agreement. 2. Impounding and Disposal of Animals. San Bernardino shall, through its Animal Control - Department, accept, impound and dispose of dogs, cats or other animals, which are delivered to the San Bernardino Animal Shelter by an agent, officer, employee or resident of Grand Terrace. San Bernardino shall, for and on behalf of Grand Terrace, pursuant to applicable laws, release to owner, adopt, humanely destroy, or otherwise dispose of all animals received. No domesticated animal shall be disposed of without an attempt to notify the owner, if the owner is known by San Bernardino. San Bernardino shall not provide for emergency veterinary care. Grand Terrace is responsible for transporting and seeking appropriate emergency treatment for ill and/or injured animals. 3. Holding_Periods. No dog, cat, or other domesticated animal shall be disposed of before the time allotted for under state law. After the required holding period, the animal becomes the property of San Bernardino and San Bernardino is authorized to dispose of the animal in any manner permitted by law. Animals requested by Grand Terrace to be held longer than required by law, other than rabies quarantine, shall additionally be charged the prevailing Daily Board Fee, as set by City of San Bernardino Resolution (such instances shall include, but are not limited to: animals held as "evidence" in cruelty or other court cases). Rabies quarantined animals will be held for a minimum of ten (10) days following the date of the bite with no additional charge to Grand Terrace. i 4. Warranty of Lawful Apprehension. Grand Terrace warrants to San Bernardino that all animals impounded by its agents, employees or other authorized representatIN es have been apprehended and impounded pursuant to existing laws. l 4 Exhibit "C" ANIMAL HOUSING SERVICES AGREEMENT BETWEEN THE CITY OF GRAND TERRACE AND THE CITY OF SAN BERNARDINO 5. Consideration. a. Grand Terrace shall $ay to San Bernardino $1,750.00 for animal housing, and a fifteen-percent surcharge of$262.00 for shelter improvements, totaling $2,012.00 per month. San Bernardino shall present an invoice on or before the tenth day of each month for the amount due. Grand Terrace shall pay said invoice not later than the last day of the month in which billed. t b. Grand Terrace shall promptly review invoices and notify San Bernardino of any objection thereto. Absent such objection in writing within ten(10) days following the date of the invoice, the invoice shall be deemed proper and acceptable. C. If Grand Terrace fails to pay San Bernardino within thirty(30) calendar days after the invoice is submitted, Grand Terrace agrees that San Bernardino shall have the right, without further notice, to treat such default in payment as a material breach of this entire Agreement. Upon occurrence of such material breach, the duties, obligations and responsibilities of San Bernardino under this Agreement shall be immediately terminated by San Bernardino. The time for payment may be extended, or termination waived, upon written agreement of the parties. Such termination does not release Grand Terrace from the obligation to pay San Bernardino for services rendered according to Section 5(a) above. 1. Grand Terrace may withhold payment of any disputed sums until satisfaction of a bona fide dispute with respect to such payment. Grand Terrace must give written notice to San Bernardino within ten (10) days following the date of the disputed invoice if Grand Terrace is disputing any sum claimed to be due under sub-paragraph 5(a). Such withholdings shall not be deemed to constitute a failure to pay as that term is used in sub-paragraph 5(c). 2. San Bernardino shall not discontinue its service as a result of such withholding without first providing thirty(30) calendar days written notice of intent to discontinue service. 3. Before exercise of any other remedy, San Bernardino shall appeal, within thirty (30) calendar days of Grand Terrace's written notice of dispute, to the City Manager (or his/her designee) of Grand Terrace with respect to any disputed sums. 4. The City Manager (or his/her designee) of Grand Terrace shall have thirty (30) calendar days to send written notice of his or her determination to San Bernardino with respect to the disputed sum. The determination of the City Manager(or his/her designee) with respect to such matter shall be the final administrative appeal. 2 5 i Exhibit "C" ANIMAL HOUSING SERVICES AGREEMENT BETWEEN THE CITY OF GRAND TERRACE AND THE CITY OF SAN BERNARDINO 5. San Bernardino shall be entitled to receive interest on any withheld sums at the rate of seven percent (7%) simple per annum from the date of withholding of any amounts found to be improperly withheld. For any disputed sums under this Agreement, either party may resort to a civil proceeding after the conclusion of the procedures set forth herein. 6. Deputization. San Bernardino animal control officers, agents or employees are hereby authorized to collect Grand Terrace's apprehension, and related penalty fees at the Animal Shelter, as directed by Grand Terrace, for all animals received under this Agreement. San Bernardino shall provide all animal impound records and release forms to Grand Terrace as requested. 7. Funds Collected by San Bernardino. a. Apprehension Fees and related penalties collected by San Bernardino for Grand Terrace in connection with this Agreement shall be paid to Grand Terrace on or before the twentieth day of each month following collection. b. Fees for adoption, micro-chipping, daily board, vaccination, euthanasia and release shall be retained by San Bernardino. C. Rabies vaccination deposits shall be refunded to the depositor upon presentation of proof of vaccination. d. San Bernardino shall provide monthly reports of animals accepted and fees/penalties collected to Grand Terrace, on or before the tenth day of every month following acceptance/collection. 8. Grand Terrace's Indemnification. Grand Terrace agrees and promises to indemnify, defend, and hold harmless San Bernardino, its officers, employees and agents, from and against any and all actions, causes of action, claims, demands, lawsuits, costs and expenses, and liability for damages to persons or property that may be asserted or claimed by any person, firm, entity, corporation, political subdivision, or other organizations arising out of, or in connection with, Grand Terrace's performance of this Agreement, excluding such actions, claims, demands, lawsuits and liability for damages to persons or property arising from the negligence or willful misconduct of San Bernardino, its officers, employees or agents. Said sums shall include, in the event of legal action, court costs, expenses of litigation, and reasonable attorney's fees. The costs, j salary, and expenses of the San Bernardino City Attorney and members of his or her office in enforcing this Agreement on behalf of San Bernardino shall be considered as ,attorney's fees" for the purposes of this paragraph. fi 9 San Bernardino's Indemnification. San Bernardino agrees and promises to indemnify, defend, and hold harmless Grand Terrace, its officers, employees and agents, from and against any and all actions, causes of action, claims, demands, lawsuits, costs and expenses, and liability for damages to persons or property that may be asserted of 3 Exhibit"C" ANIMAL HOUSING SERVICES AGREEMENT BETWEEN THE CITY OF GRAND TERRACE AND THE CITY OF SAN BERNARDINO claimed by any person, firm, entity, corporation, political subdivision, or other jorganizations arising out of, or in connection with, San Bernardino's performance of this Agreement, excluding such actions, claims, demands, lawsuits and liability for damages to persons or property arising from the negligence or willful misconduct of Grand Terrace, its officers, employees or agents. Said sums shall include, in the event of legal action, court costs, expenses of litigation, and reasonable attorney's fees. The costs, salary, and expenses of the Grand Terrace City Attorney and members of his or her office in enforcing this Agreement on behalf of Grand Terrace shall be considered as "attorney's fees" for the purposes of this paragraph. 10. Warranty. San Bernardino makes no express or implied warranties with respect to the Agreement. 11. Worker's Compensation Insurance. San Bernardino is permissibly self-insured under the Worker's Compensation laws of the State of California and will .provide worker's compensation coverage for its employees and will ensure that the employees of any of its subcontractors are covered by worker's compensation insurance in an amount and form to meet all applicable requirements of the laws of the State of California. Grand Terrace shall not provide worker's compensation insurance for any San Bernardino employee, agent or subcontractor operating under the terms of this Agreement under any circumstances whatsoever. Furthermore, notwithstanding any other provision set forth I herein; Grand Terrace shall not indemnify, defend or hold harmless San Bernardino, its officers, employees, agents or subcontractors for worker's compensation claims. 12. Liability Insurance. a. San Bernardino shall procure and maintain for the duration of this Agreement commercial general liability insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder by San Bernardino, his agents, representatives, employees or subcontractors. The cost of such insurance shall be borne by San Bernardino. San Bernardino shall maintain general commercial liability or not less than One Million Dollars ($1,000,000.00) per occurrence for bodily injury, personal injury and property damage, employees' liability insurance and automobile insurance. Any deductibles or self-insured retention must be declared to the City and reasonably approved by the Risk Manager. The self-insured commercial liability and automobile liability are to contain the following provisions: b. San Bernardino shall maintain a self-insured program of commercial general liability to protect San Bernardino and Grand "Terrace, its officers, officials, employees, agents and volunteers from liability arising out of activities performed by or on behalf of San Bernardino, products and completed operations of San Bernardino; premises owned, occurred or used by San Bernardino: including automobile liability insurance on owned leased, hired or borrowed by San Bernardino. The coverage shall contain no special limitations on the scope of 4 7 Exhibit"C" ' I ANIMAL HOUSING SERVICES AGREEMENT BETWEEN THE CITY OF GRAND TERRACE AND THE CITY OF SAN BERNARDINO protection afforded to Grand Terrace, its officers, officials, employees, agents or volunteers. C. For any claims related to San Bernardino's insurance coverage San Bernardino's coverage shall be primary insurance as respect to Grand Terrace, its officers, employees, agents and volunteers. Any insurance or self-insurance maintained by Grand Terrace, its officers, employees, agents and volunteers shall be excess of _ San Bernardino's insurance and shall not contribute with it. d. Any failure to comply with the reporting or other provisions of the policies including breach of warranties shall not affect coverage provided Grand Terrace, its officers, officials, employees, agents or volunteers. e. San Bernardino's self-insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer's-liability. f. San Bernardino shall give Grand Terrace thirty (30) days written notice in the event of cancellation of the self-insured programs. In lieu of the foregoing policy(ies) of insurance, San Bernardino may provide a Certificate of Self-Insurance to Grand Terrace. - 13. Prohibition Against Transfers. San Bernardino shall not assign, sublease, hypothecate or transfer this Agreement or any interest therein directly or indirectly, by operation of law or otherwise without the prior written consent of Grand Terrace. Any attempt to do so without said consent shall be null and void, and any assignee, sublessee, hypothecatee or transferee shall acquire no right or interest by reason of such attempted assignment, sublease,hypothecation or transfer. 14. Anti-Discrimination. San Bernardino certifies and agrees that all persons employed by San Bernardino are and will be treated equally by San Bernardino without regard to or because of race, religion, ancestry, national origin, handicap, or sex and in compliance with State and Federal Anti-Discrimination laws. 15. Independent Contractor. San Bernardino is an independent contractor and not an employee, nor shall any of San Bernardino's employees, agents or subcontractors operating under this Agreement be an employee of Grand Terrace. 16. Conflict of Interest. a. San Bernardino or its employees may be subject to the provisions of the California Political Reform Act of 1974 (the "Act"), which (1) requires such persons to disclose financial interests that may be materially affected by the work performed under this Agreement, and (2) prohibits such persons from making or participating in making decisions that will foreseeably financially affect such interest. st Exhibit"C" ANIMAL HOUSING SERVICES AGREEMENT BETWEEN THE CITY OF GRAND TERRACE AND THE CITY OF SAN BERNARDINO b. San Bernardino shall conform to all requirements of the Act. Failure to do so constitutes a material breach and is grounds for termination of the Agreement by Grand Terrace. 17. Term. The term of this Agreement shall be for eighteen (18) months, commencing on January 1, 2010, and terminating on June 30, 2011. This Agreement may be terminated by either party without cause upon 30 days written notice. In the event of termination, San Bernardino shall be paid for the work performed under this Agreement to the date of termination. 18. Invalidation. In the event any provision of this Agreement is held to be invalid and unenforceable, the remaining provisions of this Agreement shall remain valid and binding on the Parties thereto. 19. Notices. A notice required or desired to be given pursuant to this Agreement shall be given in writing and sent by certified mail, return receipt requested, addressed as follows: Grand Terrace San Bernardino Betsy Adams Animal Control Manager City of Grand Terrace City of San Bernardino 22795 Barton Road 333 Chandler Place Grand Terrace, CA 92313 San Bernardino,.CA 92408 (909)430-2226 (909) 384-1304 Extension 1515 Any notice so given shall be considered served on the other Party three (3) days after the date of mailing with all required postage pre-paid. The address for the notice may be changed by giving written notice of such change pursuant to this paragraph. 20. Attorney Fees. In any litigation relating to this Agreement, the prevailing Party shall be entitled to reasonable attorney fees. The costs, salary and expenses of any in-house counsel and/or the City Attorney and members of his/her office shall be considered as "attorney fees" for the purpose of this paragraph. 21. Entire Agreement. This contract constitutes the entire Agreement between Grand Terrace and San Bernardino and may be modified only by further written agreement between the Parties through their respective authorized bodies. 22. Construction of Provisions and Titles. All titles or subtitles appearing in this Agreement have been inserted for convenience anq shall not be deemed to affect the meaning or construction of any of the terms or provigions of such Agreement. 6 9 ANIMA. HOUSING SERVICES AGREEMENT BETWEEN THE CITY OF GRAND TERRACE AND THE CITY OF SAN BERNARDINO i IN WITNESS WHEREOF, the Parties hereto have accepted, made and executed this Agreement upon the terms,conditions and provisions above stated, on the day and year set forth above. i CITY OF GRAN[) TERRACE CITY OF SAN BERNARDINO A Municipal Cogt1oration Zh ' ipal Corporation " I By: Betsy M. Adams,City Manager es E. c eely Cit anger Attest: Attest: City Cler s City Clerk Approved as to I.?rm: Approved as to Form: s F. Penman, City Attorney r } City Attorney �' y 1 C' ANIMAL CONTROL DEPARTMENT .333 Chandler Place•San Bernardino,CA92408-2097 909.384.1304 Fax: (909)384.5483 { www.sbcityanimal.org San Bernar -ino I mail: animalcomplaints@sbcity.org S4 I August 18, 2009 Bernie Simon Acting City Manager 22795 Barton Rd. Grand Terrace, Ca. 92313 Dear Mr. Simon, On behalf of the City of San Bernardino, I would like to extend to the City of Grand Terrace the opportunity of continuing animal housing services with our Animal Control Department. Both the cities of Fontana and Colton have asked that we continue sheltering services past the six-month extension, which expires December 30, 2009. C ; Attached you will find the breakdown of costs for each city, including a 15% shelter upgrade fee.The proposed contract would be for 18 months, January 1, 2010 to June 30, 2011. Both Fontana and Colton have shared interest in forming an Animal Sheltering JPA along with other local cities. San Bernardino is also interested in this concept for animal housing. Hopefully a "game plan" for a JPA will be set up by June 2011. Meetings will be set up in the near future with local area officials to expand on the shelter JPA idea. If you are interested in continuing sheltering services past the six-month extension, please let me know. If you have any questions, please give me a call at 909 384-1304 ext. 1515. Sincerely, Susan M. Hoak Animal Control Manager 11 i ' I 18 Month Animal Housing Contract Fontana, Colton, Grand Terrace January 1, 2010 to June 30, 2011 Fiscal Year 2008/2009 Figures Live Dead Total $65 Per + 15% TOTAL Monthly 22 % Animal Upgrade Fiscal r. Fontana 5663 1667 7330 476,450. 71,467. $547,917 Colton 2003 440 2443 158,795. 23,819. $182,614 $15,218 Grand 265 58 323 20,995 3149. $24,144. $2,012 Terrace With this contract shelter staff would be increased with two additional office staff, one shelter attendant, and a kennel supervisor. Jan. 1, 2010 to June 30, 2010 July 1, 2010 to June 30, 2011 *Grand $273,958. $547,917. $91,307. $182,614. k errace . $12,072. $24,144. 1r