City of Culver City, California
Agenda Item Report
Meeting Date: 01/14/2013 Item Number: A-1
CITY COUNCIL AGENDA ITEM: Approval of a Budget Amendment for Economic
Development Activities.
Contact Person/Dept.: Todd Tipton, CDD Phone Number: 310-253-5783
Fiscal Impact: Yes [X] No [] General Fund: Yes [X] No []
Public Hearing: [] Action Item: [X] Attachments: [X]
Commission Action Required: Yes [] No [X] Date: _______________
Public Notification: (Email) Meetings and Agendas – City Council (01/09/13)
Department Approval:
Sol Blumenfeld (01/07/13)
City Attorney Approval:
Carol Schwab (by H. Baker) (01/09/13)
Chief Financial Officer Approval:
Jeff Muir (by M. Noller) (01/08/13)
City Manager:
John Nachbar (01/09/13)
RECOMMENDATION:
Staff recommends the City Council approve an amendment to the Fiscal Year (FY)
2012/2013 budget in order to appropriate funds for Economic Development
activities.
A Budget Amendment requires a 4/5
ths
vote.
BACKGROUND:
For almost 30 years, the former Culver City Redevelopment Agency provided
significant funding for the elimination of blight, including economic development
activities. In 2011, the State of California enacted legislation that resulted in the
dissolution of redevelopment agencies throughout the State effective on February 1,
2012. As a result of this legislation, the Culver City Redevelopment Agency was
dissolved, including the funding for economic development activities.
As a result of the financial uncertainty created by the State Legislature’s elimination
of redevelopment, funds were not appropriated in the City Council Adopted Budget
for Fiscal Year 2012/2013 for Economic Development activities.
DISCUSSION:
Following the dissolution of the former Culver City Redevelopment Agency, seven
staff members whose activities related to redevelopment activities were re-assigned
to other City departments. Five staff members remained to provide staffing for the
Successor Agency to the Culver City Redevelopment Agency, and the Culver City
Parking Authority in order to oversee parking and property management and carry
out Economic Development activities, including preparation of an Economic
Development Strategy. City of Culver City, California
Agenda Item Report
On-going Economic Development activities include business
retention/attraction/assistance efforts, staffing the City’s Business Resource Center,
coordinating work with the Culver City Chamber of Commerce and Culver City
Downtown Business Association, managing the Farmer’s Market, formation of
Community Facility Districts in order to create new parking opportunities, conducting
outreach to City businesses and the real estate community, and overseeing
Downtown parking structure operations.|1010|
In order to fully implement these activities prior to the Fiscal Year 2013/2014 budget
process, staff is recommending that the City Council Adopted Budget for Fiscal Year
2012/2013 be amended to provide the following appropriations from the General
Fund:
• $10,000 for fiscal analysis consultant services to assist with real estate
related transactions, construction cost estimating, project pro forma
evaluation, real estate/business negotiations and for special projects such as
former Fire Station No. 3.
• $25,000 for bond counsel and Community Facilities District consultant
services to potentially form Community Facility Districts (most of these costs
are reimbursable if the CFD is ultimately approved and formed).
• $1,000 for mailing, office supplies and related expenses.
• $2,500 for business outreach related expenses.
• $2,500 for membership in the Los Angeles Economic Development
Corporation.|1010|
• $4,000 for on-going marketing and business attraction.
Total: $45,000
FISCAL ANALYSIS:
Appropriating these funds will reduce the unappropriated fund balance in the City’s
General Fund by $45,000. Funds will be appropriated to the above mentioned
accounts in 10150150 – Economic Development.
ATTACHMENTS:
1. Map of proposed Community Facility Districts.
MOTION:
That the City Council:
City of Culver City, California
Agenda Item Report
Approve a budget amendment appropriating $45,000 from the General Fund as
outlined in this report.
Notes:
|1010| Other Economic Development activities currently undertaken by staff include:
? Business Improvement District implementation in the Art District;
? Attraction of new commercial uses to activate the Media Park;
? Commercial attraction in the Hayden Tract to support existing businesses;
? Coordinate bike sharing to facilitate business tenant needs;
? Community Facility District* implementation to provide additional parking in downtown, on
Jefferson Boulevard in the area near the Virginia Parking Lot and College Boulevard
(secondary entrance to West L.A. Community College), in the Smiley/Blackwelder area, and
in the Hayden Tract. See attached map for specific locations.
? Additional downtown parking on P1 in City Hall;
? Bond funded project implementation upon resolution with State. Implement projects include
Parcel B parking, Town Plaza Expansion, Washington/Centinela parking structure, Hayden
Tract Spur parking, Phase IV of the west Washington Boulevard Area Improvement Plan and
the parking structure in the Hayden Tract constructed in partnership with Hackman Capital;
? Production of Long Range Property Asset Plan to dispose of former RDA properties
accordance with AB 1484 that will be used to determine how former Redevelopment Agency
property will be developed. The plan will be presented to the Successor Agency, Oversight
Board and the State’s Department of Finance in April;
? On-going Meet and Confer with State DOF on property disposition;
*A CFD is a Mello-Roos District where a special property tax on real estate, in addition to
the normal property tax, is imposed on those real property owners within a Community
Facilities District. These districts seek public financing through the sale of bonds for the
purpose of financing public improvements and services.
[3]
These services may include
streets, water, sewage and drainage, electricity, infrastructure, schools, parks and police
protection to newly developing areas. The tax paid is used to make the payments of
principal and interest on the bonds.
|1010| The Los Angeles County Economic Development Corporation (LAEDC) is the region’s leading
provider of economic development services. Since 1981, the LAEDC’s mission is to attract,
retain and grow businesses and jobs for the regions of Los Angeles County. The LAEDC serves
the 88 cities and more than 100 unincorporated communities of L.A. County through its free
business assistance and attraction programs, economic research, fee-supported economic and
policy analysis, and public policy leadership.
MEETING DATE: 13.01.14
AGENDA ITEM: Approve a Budget Amendment for Economic Development
Activities
ATTACHMENTS
Pages
1. Proposed Communities Facilities District Map 1
PARKING COMMUNITY FACILITIES DISTRICTS
ATTACHMENT 1|1013|