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HomeMy WebLinkAboutReso 2006-119 - Oasis Rd Bridge e RESOLUTION NO. 2006 - 119 e l A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING APPROVING THE USE OF TAX INCREMENT FUNDS TO CONSTRUCT THE OASIS ROAD BRIDGE WATER MAIN PROJECT. WHEREAS, the Redding Redevelopment Agency desires to contribute tax increment funds from the Buckeye Redevelopment Project to install an eight-inch ductile iron water line between two existing eight-inch lines and a new fire hydrant on the Oasis Road Bridge over Chum Creek located within the Buckeye Redevelopment Project Area; and WHEREAS, Section 33445 ofthe Health and Safety Code states that the Agency may pay all or part of the costs of a public improvement if the legislative body determines that the improvement will benefit the project area from which the funds are derived, that there are no other reasonable means of financing the improvement, and that the project will assist in the elimination of blight; and WHEREAS, Section 33678 of the Health and Safety Code states that use oftax increment funds for public improvements must primarily benefit the project area; and WHEREAS, the City Council is the legislative body for the City of Redding. NOW, THEREFORE, the City Council FINDS, RESOLVES, and ORDERS as follows: 1. The Analysis of Findings, attached and incorporated herein, are hereby adopted in satisfaction of the requirements set forth in Health and Safety Code Sections 33445 and 33678. 2. The public improvement is of primary benefit to the Buckeye Redevelopment Proj ect Area. 3. to the community. There are no other reasonable means of financing the public improvement available 4. The payment of funds for the public improvement will assist in the elimination of one or more blighting conditions in the Project Area and is consistent with the adopted implementation plan. I HEREBY CERTIFY that the foregoing resolution was introduced and read at a regular meeting of the Redding City Council on the 18th day of July, 2006, and was duly adopted at said meeting , by the following vote: AYES: NOES: ABSENT: ABSTAIN: COUNCIL MEMBER: COUNCIL MEMBER: COUNCIL MEMBER: COUNCIL MEMBER: Dickerson, Mathena, Pohlmeyer, Stegall, and Murray None None None <\ ~J'~, ,.I, "ll-)' ~~ ':',' (ir.,., (Q)i~~_. .:i::'(/,,";- ,:,\'uj- ... ,. ,- ...... " .' " _ .... .' ~ 'l1 ~ '0:1' 9"';"-)"" - ATTEST: \' i""'J/U', ~" 'v APPROVED AS TO FORM: ~~erk ~~Attorney C:IDocurrl~nts ari,4 ~etting!}~Rowr:Q)I1Y;0?~ment~\Resolulions & OrdinanceslResolutions\Council ResoslResos 06-119 thru 140IR-2006-119.wpd " ....."';.,..... - .... ........ ""-,. , , " : '...' :"'" '"' ' e e ANALYSIS OF FINDINGS Oasis Road Bridge Water Main Project The Redding Redevelopment Agency (Agency) desires to utilize tax increment funds to install an eight- inch ductile iron waterline and a new fire hydrant on the Oasis Road Bridge that crosses over Churn Creek, located within the Buckeye Redevelopment Project Area (Project Area). The Project Area encompasses approximately 1,060 acres within the territorial jurisdictions ofthe City of Redding and the County of Shasta. The presence of ailing or inadequate water-service facilities has been identified as an infrastructure deficiency within the Project Area. Throughout the Project Area are waterlines that cannot meet fire-flow requirements. The proposed proj ect will connect together the ends of two existing eight-inch water main lines, thereby increasing fire flows in the area which will provide adequate water flow to existing services and support new service line connections. The project also includes the installation of a fire hydrant. Health and Safety Code Section 33445 stipulates that before the Agency can pay all or part of the costs of any public improvement, the City Council must determine that the improvement is of benefit to the project area from which the funds are derived or to the immediate neighborhood in which the project is located, that no other reasonable means of financing the improvement is available to the community, and that the payment of funds for the improvements will assist in elimination of one or more blighting conditions in the project area, and is consistent with an adopted implementation plan. Health and Safety Code Section 33678 adds to the above that if tax increment money is used, the improvement must be of primary benefit to the project area. Is the proposed improvement of primary benefit to the Project Area? One of the reasons for the subject area being included within the boundaries of the Buckeye Redevelopment Plan is to help improve and expand the water supply to existing residents and businesses and to encourage the development ofunderutilized parcels. The project is of primary ~enefit to the Project Area in that the water main will improve water service to nearby residences and businesses, improve fire-flow, and enable new residential and commercial development. Installation of a fire hydrant will also improve fire protection. Are any other reasonable means offinancing available to the community to fund the improvements? There are two large projects proposed to be undertaken in or near the Project Area within the next four . years. The first is a 30-inch waterline extension along Keswick Dam Road from Oasis Road to Lake Boulevard scheduled to be constructed in the current fiscal year at a cost of $4 million. The second is a 24-inch line extension along Oasis Road from Lake Boulevard to Beltline Road. This project is scheduled for development in fiscal year 2008-09 at an approximate cost of$1.2 million. Both of these projects will be paid from water connection fees. There are no funds from water connection fees for this project. The only other source of funds are from rate fees. These fees have been primarily assigned to projects in other parts of the City through fiscal year 201 0-11, leaving less than the amount of available funds needed for this project. Without redevelopment assistance, there are no other reasonable means at this time to finance the water improvements. e e t Oasis Road Bridge Water Main Page 2 Will the proposed project assist in the elimination of one or more blighting conditions within the Buckeye Project Area? Is the proposed project consistent with the Implementation Plan adopted for the Project Area? The Redevelopment Plan and the Report to the Legislative Bodies (Preliminary Report) for Buckeye identify numerous water distribution and fire-flow problems within the Project Area. Many of the waterlines providing service to residents and businesses are undersized and fire flows are not adequate. Development or redevelopment of these areas is impaired by the inadequate capacity of these lines. Section 330330 (c) of California Redevelopment Law states that a blighted area may be one that contains physical and economic conditions that cause blight and is, in addition, characterized by the existence of inadequate public utilities. The deficient public infrastructure system in the Project Area contributes to stagnation of the area's development. Installation of the eight-inch waterline and a fire hydrant will assist in eliminating blight by addressing a fire-safety issue, reducing the risk of current investments, and encouraging future investments in the area. The Buckeye Five- Year Implementation Plan adopted in June 2005 by the Redevelopment Agencies of the City of Redding and the County of Shasta specifically identifies the need to improve the water-delivery system to residences and businesses, thereby addressing existing water-flow needs and encouraging development ofunderutilized parcels. Thus, the proposed project is consistent with the Implementation Plan adopted for the Project Area and will assist in the elimination of one or more blighting conditions as identified in the Redevelopment Plan for Buckeye. . 'jr" ~ ~l I --- ~ ". Ii ,. \ -1 ~L e e i . .I .' \ \ "" D ~ ) \ e ~ . ~~ c.- I r UP AMIIt CI) ~ /$ ~ Jg ~ 10 \! :;0 % ) ~ .1J ICI I~ \ \ G o ~. Ul ~\ \ \ \ \ \ \ \ " , ~ ~ ,. ........ \ \ i --.::,t I \ I \ i I ROAD !::-, / ,I / / j /- --. i -~ 1-- i ! I -y i ----- ../ ----1 i , i , I \ \ I WATER LINE OASIS ., OLD OASIS ROAD TO WEST OF CHURN CREEK APRIL 200