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Home My Public Portal About2021.06.29 Resolution No. 02-2021 RESOLUTION NO. 02-2021 BY THE BOARD OF COMMISSIONERS OF THE URBAN RENEWAL AGENCY OF THE CITY OF McCALL, IDAHO: A RESOLUTION OF THE BOARD OF COMMISSIONERS OF THE URBAN RENEWAL AGENCY OF THE CITY OF McCALL, IDAHO, ALSO KNOWN AS THE McCALL REDEVELOPMENT AGENCY, MAKING CERTAIN FINDINGS THAT REVENUES ARE SUFFICIENT TO COVER ALL ESTIMATED AGENCY EXPENSES FOR FUTURE YEARS FOR THE URBAN RENEWAL AREA AND REVENUE ALLOCATION AREA KNOWN AS THE RAILROAD AVENUE PROJECT AREA; ESTIMATING THE REMAINING PROJECT OBLIGATIONS AND COSTS; RECOMMENDING TO THE CITY COUNCIL THAT THE REVENUE ALLOCATION PROVISION FOR THE RAILROAD AVENUE PROJECT AREA BE TERMINATED; RECOMMENDING FURTHER THAT THE CITY COUNCIL PASS AN ORDINANCE TERMINATING THE REVENUE ALLOCATION PROVISION FOR THE RAILROAD AVENUE URBAN RENEWAL PROJECT PLAN AND RETURNING THE REVENUE ALLOCATION AREA TO THE REGULAR TAX ROLL EFFECTIVE TAX YEAR 2021; PROVIDING FOR THE PAYMENT OF DELINQUENT PROPERTY TAXES FOLLOWING TERMINATION; PROVIDING FOR PAYMENT OF CERTAIN EXPENSES FOR FUTURE FISCAL YEARS; AND PROVIDING AN EFFECTIVE DATE. THIS RESOLUTION, made on the date hereinafter set forth by the Urban Renewal Agency of the City of McCall, Idaho, also known as the McCall Redevelopment Agency, an independent public body, corporate and politic, is an urban renewal agency created by and existing under the authority of the Idaho Urban Renewal Law of 1965, Chapter 20, Title 50, Idaho Code, as amended (the"Law"), a duly created and functioning urban renewal agency for McCall, Idaho, hereinafter referred to as the"Agency." WHEREAS, the City Council ("City Council") of the City of McCall, Idaho ("City"), after notice duly published, conducted a public hearing on the 1990 Urban Renewal Plan for the Railroad Avenue Area(the"Railroad Avenue Plan"); WHEREAS, following said public hearing the City Council adopted its Ordinance No. 578 on December 13, 1990, approving the Railroad Avenue Plan,making certain findings and establishing the Railroad Avenue revenue allocation area(the"Project Area"); WHEREAS, in 2006,pursuant to Section 900 of the Railroad Avenue Plan, the Agency prepared the 2006 Updated Urban Renewal Plan(the"Amended Railroad Avenue Plan"); RESOLUTION NO. 02-2021 - 1 WHEREAS, the Railroad Avenue Plan, as amended in 2006, collectively will be referred to as the"Railroad Avenue Plan" and the corresponding revenue allocation area will be referred to as the Project Area; WHEREAS, the Railroad Avenue Plan contained a revenue allocation financing provision pursuant to the Local Economic Development Act, Title 50, Chapter 29, Idaho Code, as amended (the"Act"); WHEREAS, the termination date for this revenue allocation area, as set forth in the Railroad Avenue Plan, is December 31, 2020, except for revenues to be received in 2021, as authorized pursuant to Idaho Code § 50-2905(7); WHEREAS, a substantial portion of identified improvements and/or projects have been completed in the Project Area; WHEREAS, the Agency expects all of the expenses from any remaining projects and/or improvements to be completed under the Railroad Avenue Plan, and as identified in the Railroad Avenue Termination Budget (FY2021) attached hereto as Exhibit B, to be incurred and satisfied by the Agency's current fiscal year ending September 30, 2021, with the exception of(1) possible cost overruns from current projects; and/or(2)unexpected construction delays. An estimate of the remaining project costs and other administrative fees and costs are set forth in the Termination Plan attached hereto as Exhibit A; WHEREAS, the Agency will request the County Treasurer to not distribute to the Agency any Railroad Avenue Plan revenue allocation funds from delinquency tax payments in calendar year 2022, or subsequent years, generated from the 2020 assessed values, or earlier. To the extent any Railroad Avenue Plan revenue allocation funds are received by the Agency in calendar year 2021, or later, the Agency will return those funds to the County Treasurer for distribution to the taxing districts; WHEREAS, the Agency will have sufficient funds on deposit for payment of all final project costs and administrative fees; WHEREAS, the Agency has reviewed the remaining improvements and/or projects and based on projected revenues and expenses of the Railroad Avenue Plan, has determined there are sufficient funds for payment of all final project costs and Agency expenses and has further determined the revenue allocation area can be terminated on or before December 31, 2021; WHEREAS, pursuant to Exhibit A, the Agency estimates a minimal surplus will be available for remittance to the County Treasurer for distribution to the taxing districts on or before September 30, 2 02 1; WHEREAS,pursuant to Exhibit A, and as identified on Exhibit C, the Agency intends to dispose of certain Agency owned parcels located within the Project Area to the City. RESOLUTION NO. 02-2021 -2 NOW,THEREFORE, BE IT RESOLVED BY THE MEMBERS OF THE BOARD OF COMMISSIONERS OF THE URBAN RENEWAL AGENCY OF THE CITY OF McCALL, IDAHO, AS FOLLOWS: Section l: That the above statements are true and correct. Section 2: That the Termination Plan attached hereto as Exhibit A is hereby approved and adopted by the Agency Board. Section 3: That the revenue allocation area contained in the Railroad Avenue Plan shall be terminated on or before December 31, 2021, consistent with the termination provisions set forth in the Act, allowing certain taxing entities to use the 2021 estimated assessed values above the adjusted base assessment roll for the Railroad Avenue Project Area for their budgetary purposes, and further, pursuant to Idaho law, as amended, those certain taxing entities may, for their budgetary purposes, take into account a portion of the increment value that exceeds the incremental value as of December 31, 2006, for the Project Area, which portion of the increment value shall be added to the 2021 new construction roll, pursuant to Idaho Code § 63-301A(3)(g), as amended. Section 4: That the Agency does not intend to take revenue allocation funds in calendar year 2022, generated from the 2021 assessed values, and the allocation of revenues under section 50-2908, Idaho Code, shall cease effective January 1, 2022. Section 5: That all financial obligations have been provided for, and any outstanding obligations will be paid in full on or before September 30, 2021, with the exception of any reimbursement agreements or notes that have expired, terminated or cancelled on their own terms,project cost overruns from current projects, project costs for unexpected construction delays, and an allocation of administrative fees and costs. Section 6: That any delinquent property taxes due to the Agency that were levied for calendar year 2020, or earlier, shall not be paid to the Agency, but shall be distributed by the County Treasurer to the taxing districts in the same manner and proportion as the most recent distribution to the taxing districts of the taxes on the taxable property located within the revenue allocation area. Section 7: That any non-obligated surplus deemed by the Agency to exist will be remitted to the County Treasurer for distribution to the taxing districts prior to the end of the Agency's 2021 fiscal year on or before September 30, 2021, in the same manner and proportion as the most recent distribution to the taxing districts of the taxes on the taxable property located within the revenue allocation area. See I.C. 50-2909(4). Section 8: That the Agency does hereby request that the City Council,pursuant to 50-2903(5), Idaho Code, adopt an Ordinance providing for the termination of the revenue allocation area in the Railroad Avenue Plan, to be effective on or before December 31, 2021, and RESOLUTION NO. 02-2021 - 3 declaring that the tax year 2021 revenues' from the increment value as levied upon within the revenue allocation area are not needed for the payment of any Agency indebtedness or Agency projects to be completed before September 30, 2021, and should flow to the respective taxing districts pursuant to Idaho law. Section 9: That certain real property owned by the Agency on the Termination Date shall be transferred to the City on or before September 30, 2021, but in no event later than December 31, 2021. The Agency hereby authorizes the Agency Chair to execute any and all documents required to effectuate the transfer. Section 10: That a copy of this Resolution be sent to the Valley County Assessor's Office, the County Auditor/Recorder and the Idaho State Tax Commission to provide notice of termination of the revenue allocation area in the Railroad Avenue Plan. Section 11: That this Resolution shall be in full force and effect immediately upon its adoption and approval. PASSED AND ADOPTED by the Urban Renewal Agency of the city of McCall, Idaho, on June 29, 2021. Signed by the Chair of the Board of Commissioners and attested by the Secretary to the Board of Commissioners, on this 29th day of June, 2021. APPROVE ; Chair ATTEST: By: S retary 1 The Agency will receive its allocation of tax year 2020 revenues in calendar year 2021. RESOLUTION NO. 02-2021 -4 EXHIBIT A (Termination Plan) RESOLUTION NO. 02-2021 - 5 EXHIBIT A THE URBAN RENEWAL AGENCY OF THE CITY OF McCALL, IDAHO, ALSO KNOWN AS THE McCALL REDEVELOPMENT AGENCY TERMINATION PLAN FOR THE REVENUE ALLOCATION AREA SET FORTH IN THE 1990 URBAN RENEWAL PLAN FOR THE RAILROAD AVENUE AREA THE "RAILROAD AVENUE PLAN" The Urban Renewal Agency of the City of McCall, Idaho, also known as the McCall Redevelopment Agency ("Agency") intends to terminate the revenue allocation area adopted at the time of the original adoption of the 1990 Urban Renewal Plan for the Railroad Avenue Area, by the McCall City Council on December 13, 1990, by Ordinance No. 578, as amended in 2006, pursuant to Section 900 of the Railroad Avenue Plan, and currently referred to as the Railroad Avenue Plan(the "Plan") for the Railroad Avenue revenue allocation area or project area (the "Project Area"). The termination date for this revenue allocation area as set forth in the Plan is December 31, 2020; except for revenues to be received in 2021, as authorized pursuant to Idaho Code § 50-2905(7). The Agency has reviewed the projected revenues and expenses of the Plan and Project Area and has determined the revenue allocation area can be terminated by December 31, 2021, effective retroactive to January 1, 2021, as it relates to assessed values within the Project Area. As a result, the Agency will not receive revenue allocation funds in calendar year 2022, generated from the 2021 assessed values, and the allocation of revenues under § 50-2908, Idaho Code, shall cease effective January 1, 20211. Based on updated budget information, this Termination Plan is prepared in order to describe the Agency's plan to pay its financial obligations, to specifically addresses the payment of certain obligations on or before September 30, 2021, and the reservation of revenue allocation proceeds to pay certain obligations after September 30, 2021, and the disposition of Agency real property assets. Intent Regarding Delinquencies: The Agency requests the County Treasurer to not distribute to the Agency any Railroad Avenue revenue allocation funds from delinquency tax payments in calendar year 2022, or subsequent years, generated from the 2020 assessed values, or earlier. The County Treasurer shall distribute any delinquency tax payments due to the Agency to the taxing districts in the same manner and proportion as the most recent distribution to the taxing districts of the taxes on the taxable property located within the revenue allocation area. Fiscal Year 2021 Termination Budget Summary: As further set forth below, the Agency expects to pay its certain contractual obligations pursuant to an agreement with the City, as may be amended, and related to the E. Lake Street Waterfront & Brown Park Improvements Project on or before September 30, 2021. It is 1 The Agency does intend to receive its allocation of revenues generated from the 2020 assessed values in 2021. The allocation of revenues is anticipated to be received by the Agency in February and July 2021. Resolution No. 02-2021 Railroad Avenue RAA Termination)—EXHIBIT A 1 issues are avoided in the future roadway design. No carryover or cost overruns requiring funding in FY22 are anticipated to occur at this time. The improvements contemplated under the E. Lake Street &Brown Park Improvements Project are focused on the area along the shoreline north of Mile High Marina to Brown Park, and include shoreline stabilization to remediate wave erosion caused by boat traffic, waterfront improvements increasing non-motorized access to Payette Lake, improvements to Brown Park, improvements to the pathways and access into Brown Park, and ultimately improvements to E. Lake Street, if sufficient funds exist to complete the full project. The timing of these improvements is largely driven by the short construction season and the limited access to Payette Lake for shoreline improvements. As noted above, this project is currently underway and is anticipated to be completed on or before September 30, 2021. To the extent there are unanticipated cost overruns and/or construction delays, revenue allocation proceeds will be reserved to pay costs when due, in any event on or before December 31, 2021. To the extent the Agency determines a surplus existing as of September 30, 2022, following payment of the above financial obligations, then the Agency will return those funds to the County Treasurer for distribution to the taxing districts in the same mariner and proportion as the most recent distribution to the taxing districts of the taxes on the taxable property located within the revenue allocation area. Whistle Restoration and Artwork Installation The Agency in partnership with the City selected Westover Artworks, LLC to design and install a public art piece within the boundaries of the Project Area and the parties entered into the Artwork Commission Agreement, dated July 28, 2020, as amended. Several artwork design proposals were reviewed, together with potential installation locations, and ultimately the public art piece centered around the restoration of the mill whistle was selected. The artwork will be installed in Brown Park. The restoration of the mill whistle and the fabrication of the portable boiler necessary to blow the whistle are well underway and it is anticipated the installation of the artwork will be completed on or before September 30, 2021. To the extent there are construction delays related to the improvements to Brown Park, there could be corresponding delays in the installation of the artwork on or before September 30, 2021. To the extent there are delays in the installation of the artwork, revenue allocation proceeds will be reserved to pay costs related to the artwork when due, in any event on or before December 31, 2021. No carryover or cost overruns requiring funding in FY22 are anticipated to occur at this time. To the extent the Agency determines a surplus existing as of September 30, 2022, following payment of the above financial obligations, then the Agency will return those funds to the County Treasurer for distribution to the taxing districts in the same manner and proportion as the most recent distribution to the taxing districts of the taxes on the taxable property located within the revenue allocation area. Resolution No. 02-2021 Railroad Avenue RAA Termination)—EXHIBIT A 3 EXHIBIT B (FY21 Termination Budget) RESOLUTION NO. 02-2021 - 6 LLL?= � a.L �rii.�L� jClitw�i��i'(�ty Tax Increment Revenue Fund Balance as of 06/2021 $ 580,552 Revenue Allocation Fund Receipts through 09/30/2021(Estimated) $ 204,100 Interest through 09/30/2021(Estimated) $ 3,066 Other Revenue(GPSGI) $ 16,442 Fund Balance as of 9/30/2020 $ 1,346,344 TUTAL REVENUE; $'; 2y150;504, Publication Costs $ 21 Professional Services Expense(Legal and Auditor) $ 49,980 Other Expense(RAI,ICRMP,Estimated through 09/30/21 Bank Account Fees) $ 4,707 $ 54,708 Public Art Art and Whistle Restoration $ 145,000 145,000 . Committed Proiects:Brown Park/E.Cake Street-City/Agency City-Agency Design and Engineering Agreement $ 200,000 City-Agency Construction Agreement(Project#1 Shoreline Stabilization) $ 597,696 City-Agency Construction Agreement(Project#2 E.Lake Street&Brown Park Improver $ 1,165,115 City-Agency Design and Engineering Agreement-E.Lake/Hemlock $ 35,000 LESS$111,764 grant funding re playground $ (111,764) Subtotal-Committed Projects: $ 1,886,047. TOTALEXPENSES: $_ _ 1085,755` BALANCE* $ " 64,749 *The Agency will refund the Balance to Valley County on Sept 30,2021. Valley County will distribute that amount to the affected taxing districts pro rata based on FY 2020 levy rates. i EXHIBIT C (Real Property Owned by the MRA) 1) 1614 Davis Avenue(MCCALLACREAGE TAX NO. 19 IN GOV'T. LOT 1 S9 T18N R3E INSTR. #197853 8/3/1993 FROM R.J. MANDERY) 2) 216 E. Park Street (MCCALL'S 1ST ADDITION LOTS 6, 7, 8 & 9, BLOCK 11) 4838-8569-7750,v. 1 RESOLUTION NO. 02-2021 -7