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1993 04 20 RDAT H E C I T Y 0 F 1 as #008 1A62 AL La,Quinta f982 - 1 92 Ten Carat Decade IIEDEVELOPMENT AGENCY AGENDA CrrY COUNCEL CHAMBERS 78-105 Calle Estado La Quintaq California 92253 Regular Meeting April 20, 1993 - 3:00 P.M. CALL TO ORDER Beginning Res. No. RA 93-2 a. Roll Call APPROVAL OF MINUTES a. Approval of Minutes of April 6, 1993. PUBLIC COMMENT BUSINESS SESSION Consideration of an Agreement for Implementation of the Disposition and Development Agreement Between the Agency and WES development Company (Stockman), to Provide Additional Financial Assistance for Six Very Low, Low and Moderate Income Households. a) Minute Order Action. 000001 2. Consideration of Resolution Accepting the Preliminary Plan for the Merger of Redevelopment Project Area No. 1 and No. 2 and Authorizing the Interim Executive Director to Transmit the Necessary Documents to Initiate the Project Merger Process. a) Resolution Action. 3. Consideration of an Implementation Agreement Between the Agency and Desert Sands Unified School District Implementing Certain Provisions of the Cooperation Agreement Between the Agency and District for Project Area No. 2. a) Resolution Action. 4. Consideration of an Agency Resolution Making Certain Findings in Connection with the Affordable Housing Agreement by and Among the Agency and Coachella Valley Land. a) Resolution Action. CONSENT CALENDAR Approval of Demand Register Dated April 20, 1993. DEPARTNOW REPORTS PUBLIC HEAWNGS - None CLOSED SESSION a. Discussion of negotiations pursuant to Government Code Section 54956.8 La Quinta, Canyon Center County of Riverside - Project Area No. I and No. Agreement and Merger Artes De La Quinta 000002', DECLARATION OF POSTING 1, Saundra L. Juhola, Secretary of the La Quinta Redevelopment Agency, do hereby declare that the foregoing agenda for the Redevelopment Agency Meeting of April 20, 1993 was posted on the outside entry to the Council Chamber, 78-105 Calle Estado and on the bulletin board at the La Quinta Chamber of Commerce on Friday, April 16, 1993. ;DatApril 16, 1993. t pril S S AUN�DRA L. JUEt&A, Secretary La Quinta Redevelopment Agency 000003 78-105 CALLE ESTADO - LA QUINTA, CALIFORNIA 92253 - (619) 564-2246 REDEVELOPMENT AGENCY MEETINGDATE: Apri120,1993 AGENDA CATEGORY PUBLIC HEARING: ITEM TITLE: Second Agreement for Implementation of the Disposition and BUSINESS SESSION: Development Agreement with WES Development CONSENT CALENDAR: STUDY SESSION: SUMMARY: At the February 16, 1993 meeting, the Agency Board agreed to provide additional per household subsidy amounts for six households that are purchasing WES Development dwellings; this was contingent on WES Development matching the Agency's increased assistance amount. The attached agreement implements this direction. FISCAL INIPLICATIONS: Will involve the allocation of an additional $18,707 to six participating households; these funds will not result in additional Agency spending for this project, but instead will result in a reduction in funding available for future dwellings to be constructed under the Disposition and Development Agreement. APPROVED BY: ®r RECOMMENDATION: That the La Quinta Redevelopment Agency approve the Second Agreement. Submitted by: Approved for submission to the Chair and members of the La Quinta Redevelopment Agency: Signature Thomas P. Genovese, Interim Executive Director laquinta\420fom3 MAILING ADDRESS - P.O. BOX 1504 - LA QUINTA, CALIFORNIA 92253 nn.n r) f) + DATE: TO: FROM: TWIVI 4 4 a" 78-105 CALLE ESTADO - LA QUINTA, CALIFORNIA 92253 - (619) 564-2246 April 20, 1993 CHAIR AND MEMBERS OF THE AGENCY INTERIM EXECUTIVE DIRECTOR SUBJECT: SECOND AGREEMENT AND DEVELOPMENT COMPANY ISSUES: FOR IMPLEMENTATION OF DISPOSITION AGREEMENT - WES DEVELOPMENT At your February 16, 1993 meeting, the Agency Board reviewed a request by Walter Stockman of WES Development to have the Agency increase the allotted assistance set forth in the Disposition and Development Agreement ("DDA") for very low and low income households. Mr. Stockman indicated that he had six households that were qualified for first trust deed mortgages, but their total housing costs exceeded affordable housing cost parameters delineated in the DDA. After considerable discussion, the Agency and WES Development agreed to split the difference and fund 50 percent of the additional needed assistance, with WES Development concurrently reducing sales price of each dwelling by a like amount. The attached Second Agreement ("Agreement") implements this direction. BACKGROUND: On April 26, 1992, the Agency entered into a DDA with WES Development to facilitate the construction of single family dwellings affordable to very low, low, and moderate income households. The DDA was subsequently amended on October 28, 1992 to clarify certain DDA provisions, which resulted in a reduction in the total number of assisted dwellings from 40 to 36. To date, WES Development has completed a total of 10 dwellings; 3 units have been sold to qualified households (one of the units [Saldvar] is the subject of this Agreement), the sale of 5 dwellings is pending final document execution and Agency approval of this Agreement, the sale of I unit is awaiting final tender and Agency staff applicant approval, and the final unit would be released from the project upon approval of this agreement. WES Development is requesting that this unit be released in order to facilitate its sale to a nonmoderate income household. Agency staff believes that it is prudent to embody these program modifications in this Agreement, in order to document a hopefully one-time increase in required Agency financial assistance, and document that the funds used for this purpose are within the total funding allotment established in the DDA. 0 0 0 0 MAILING ADDRESS - P.O. BOX 1504 - LA QUINTA, CALIFORNIA 92253 Chair and Members of the Agency April 20, 1993 Page 2 ANALYSIS/FISCAL IMPACT: The table below presents the original Agency assistance, the increased Agency assistance, and the total amount of funds that will be allocated to these units in lieu of assisting other units later in this project. Further, this table sets forth the current sales price reduction that WES Development has or will incur in order to provide the 50 percent matching funding level that was agreed to on February 16th. The DDA provided that the 4 low and 2 very low income units would qualify for a total of $254,572 in Agency second trust deed financial assistance; this Agreement will provide an additional $18,707 for a total funding allotment of $273,279 for these 6 households. WES Development has concurrently reduced the sales price for these dwellings by a total of $18,707. The table below itemizes the per -household allotment of additional Agency/WES Development assistance. Original Additional Total WES Income Agency Agency Agency Development Homeowner Cateeory Assistance Assistance Assistance Contribution Saldvar L $34,632 $3,375 $38,007 $3,375 Rigney L 34,632 3,434 38,066 3,434 Bliss L 34,632 3,459 38,091 3,459 Perez L 34,632 3,459 38,091 3,459 Rodriguez - Aguilar VL 58,022 3,641 61,663 3,641 Ferro VL 58,022 1,339 59,361 1 TOTAL $254,572 $18,707 $273,279 $18,707 RECOMMENDATION: That the Agency approve the attached Second Agreement for the Implementation of the Disposition and Development Agreement with VVES Development Company, that institutionalizes the allocation of an additional $18,707 of Agency housing assistance to these 6 households. These additional funds will not result in additional Agency spending on this project, but instead will result in a reduction of funds available for future dwellings to be constructed under this DDA. The total of $900,000 of Agency assistance, as provided for in this DDA, will not be increased by this action. Finally, this Agreement will allow VVES Development to remove I of the dwelling units from this project for final sale to a non -very low, low, or moderate income household. 1aq=ta\smesd& 00000G T4ht 4 4 Q" 78-105 CALLE ESTADO - LA QUINTA, CALIFORNIA 92253 - (619) 664-2246 REDEVELOPNIENT AGENCY MEETING DATE: April 20, 1993 ITEM TITLE: Acceptance of the Preliminary Plan for the Merged La Quinta Redevelopment Project AGENDA CATEGORY: PUBLIC BEARING: BUSINESS SESSION: Z-X CONSENT CALENDAR: STUDY SESSION: SUNWARY: At their meeting held on April 13, 1993, the Planning Commission approved and transmitted the enclosed Preliminary Plan for the Merged La Quinta Redevelopment Project. The Agency is requested to accept the Preliminary Plan in order to proceed with the merger of Project Area No. I and Project Area No. 2. FISCAL IMPLICATIONS: This action will initiate the redevelopment and environmental review processes for the merger. The total projected Agency cost to process this merger is $120,000. APPROVED BY: 77-10-e RECOMNENDATION: That the La Quinta. Redevelopment Agency adopt Resolution No. accepting the Preliminary Plan and ratifying all prior acts taken with respect to the Notice of Preparation for the merged La Quinta Redevelopment Project. Submitted by: Approved for submission to the Chair and members of the La Quinta Redevelopment Agency: Signature Thomas P. Genovese, Interim Executive Director laquintaA.-Of.m MAILING ADDRESS - P.O. BOX 1504 - LA QUINTA, CALIFORNIA 92253 00000"t 78-105 CALLE ESTADO - LA QUINTA, CALIFORNIA 92253 - (619) 564-2246 DATE: April 20, 1993 TO: CHAIR AND MEMBERS OF THE AGENCY FROM: INTERIM EXECUTIVE DIRECTOR SUBJECT: RESOLUTION ACCEPTING THE PRELIMINARY PLAN FOR THE MERGED LA QUINTA REDEVELOPMENT PROJECT ISSUE: The California Community Redevelopment Law requires that the Redevelopment Agency cooperate with the Planning Commission in the selection of project area boundaries and in the preparation of a Preliminary Plan. The enclosed Preliminary Plan, approved by the Planning Commission at their meeting held on April 13, 1993, outlines the reasons for merging the Agency's two existing Project Areas, and establishing a single Project Area to be known as the La Quinta Redevelopment Project Area (the "Project Area"). Because the merger of these Project Areas is not proposed to incorporate any modifications to the Project Area boundaries, the Agency is only requested to accept the Preliminary Plan for the merged La Quinta Redevelopment Project (the "Project"). BACKGROUND: At the March 16, 1993 meeting, the Agency Board authorized the Interim Executive Director to proceed with the merger of the Agency's two redevelopment project areas, establishing the La Quinta Redevelopment Project Area that would encompass Project Area No. I and No. 2. The process to merge these Project Areas essentially follows many of the procedures involved in plan adoptions, including the preparation of a Preliminary Plan. 000008 MAILING ADDRESS - P.O. BOX 1504 - LA QUINTA, CALIFORNIA 92253 Chair and Members of the Agency April 20, 1993 Page 2 ANALYSIS/FISCAL IMPACT: The contents of the Preliminary Plan are prescribed by the Redevelopment Law. Generally, the Preliminary Plan must include a description of the boundaries of the Project Area, a general description of the existing land uses, layout of principal streets, proposed population densities and building intensities, the general objectives of the Preliminary Plan, a Statement of Conformity to the General Plan, and a discussion of any potential impacts of the project to surrounding neighborhoods. A public hearing is not required prior to the approval of a Preliminary Plan. Acceptance of the Preliminary Plan does not obligate the Agency to approve a proposed merger. In order to afford the maximum review time, the Notice of Preparation ("NOP") of an Environmental Impact Report for the Project has been completed and transmitted to all identified taxing/responsible agencies pursuant to the California Environmental Quality Act. The Resolution also provides for Agency ratification of the preparation and dissemination of the NOR RECOMMENDATION: For the Agency to adopt Resolution No. accepting the Preliminary Plan and ratifying all prior acts taken with respect to the Notice of Preparation for the merged La Quinta Redevelopment Project. laq=taxs�p 000001 RESOLUTION NO. A RESOLUTION OF THE LA QUINTA REDEVELOPMENT AGENCY APPROVING AND AUTHORIZING TRANSMITTAL OF THE PROPOSED PRELIMINARY PLAN FOR THE MERGER OF THE LA QUINTA REDEVELOPMENT PROJECT AND REDEVELOPMENT PROJECT NO. 2 AND RATIFYING PRIOR ACTS WHEREAS, the City of La Quint& (the "City") has previously established Redevelopment Plans for the Le Quinta Redevelopment Project ("Project No. 10) and La Ouinta Redevelopment Project No. 2 (OProject No. 20). which provide for the redevelopment of the project areas therein described (OProject Area No. 1" and *Project Area No. 20, respectively); and WHEREAS, the City and the La Quinta Redevelopment Agency (the wAgencyw) have commenced proceedings for the merger of Project Area No. I and Project Area No. 2 (collectivelyt the 'Merged Project Areae); and WHEREAS, no boundary changes are contemplated with respect to the proposed merger; and WHEREAS, a Preliminary Plan for the Merged Project Area has been formulated; and WHEREAS, the Planning Commission has submitted a Preliminary Plan (the "Preliminary Plan"), which has been reviewed by the Agency; and WHEREASo the Agency desires to authorize the transmittal of the Preliminary Plan in accordance with Section 33327 of the California Community Redevelopment Law should that Section be applicable; and WHEREAS, the Agency desires to ratify all prior acts taken with respect to the proposed merger, including without limitation the preparation and dissemination of a Notice of Preparation in connection with the proposed merger. NOWl THEREFOREt THE LA QUINTA REDEVELOPMENT AGENCY DOES RESOLVE AS FOLLOWS: Section 1: The Preliminary Plan is approved, and is hereby authorized and approved for transmittal as may be required by law. 000010 Section 2: The Agency ratifies all prior acts taken with respect to the proposed merger, including without limitation the preparation and dissemination of a Notice of Preparation in connection with the proposed merger. Section 1: The Interim Executive Director is authorized and directed to transmit the Preliminary Plan together with a COPY of this Resolution to the each affected taxing entity, as defined in Section 33353.2 of the California Health and Safety Code. The Executive Director of the Agency, or his designee, is hereby authorized and directed to make such transmittals. ADOPTED this _ day of ATTEST: Secretary o 1993. Chairman of the La Quinta Redevelopment Agency I hereby certify that the foregoing Resolution was duly and regularly adopted by the of La Quint& Redevelopment Agency at R regular meeting thereof held on the _ day of 19931 by the following vote: AYES: NOES: ABSENT: ABSTAIN: Secretary 04/14/93 000011 52360/2338/040 PRELIMINARY PLAN FORTHE MERGED LA QUINTA REDEVELOPMENT PROJECT April 6, 1993 Prepared for: La Quinta Redevelopment Agency 78-105 Calle Estado La Quinta, California 92253 619/564-2246 Prepared by: Rosenow Spevacek Group, Inc. 540 North Golden Circle, Suite 305 Santa Ana, California 92705 714/541-4585 000012 PRELIMINARY PLAN FOR THE MERGED LA QUINTA REDEVELOPMENT PROJECT TABLE OF CONTENTS SECTION1. INTRODUCTION .................................................................................. I SECTION H. PROJECT AREA LOCATION AND DESCRIPTION ........................ 2 SECTION 111. GENERAL STATEMENT OF PROPOSED PLANNINGELEMENTS ...................................................................... 3 A. Land Use ...................................................................................... 3 B. General Statement of Proposed Layout of PrincipalStreets ............................................................................ 4 C. General Statement of Proposed Population Densities ..................... 4 D. General Statement of Proposed Building Intensities ....................... 4 E. General Statement of Proposed Building Standards ................ ...... 5 SECTION IV. ATTAINMENT OF THE PURPOSES OF THE LAW ........................ 5 SECTION V. CONFORMANCE TO THE GENERAL PLAN OF THE CITY ......... 7 SECTION VI. GENERAL IMPACT OF THE PROPOSED PROJECT UPON THE RESIDENTS OF THE PROJECT AREA AND SURROUNDING NEIGHBORHOODS.............................................................................. 7 EXHIEBIT I CITY OF LA QUINTA REGIONAL LOCATION EXHIBIT 2 PROJECT AREA NO. I MAP EXHIBIT 3 PROJECT AREA NO. 2 MAP 000013 PRELMNARY PLAN FORTHE MERGED LA QUINTA REDEVELOPMENT PROJECT 1. INTRODUCTION This is the Preliminary Plan (the "Plan") for the proposed merger of La Quinta Redevelopment Project No. I and La Quinta Redevelopment Project No. 2 into one Redevelopment Project (the "Merged Project"). The adoption of this Preliminary Plan, prepared under the authorization of the La Quinta Redevelopment Agency (the "Agency"), initiates the proceedings that would result in: (1) the merger of the Agency's two Redevelopment Project Areas (the "Merger"), (2) an increase in the tax increment and bond indebtedness financial limits to provide comprehensive financial limits for the Merged Project, (3) establishing a forty -year time period within which the Agency may incur indebtedness and implement redevelopment programs/projects, and (4) expand the public projects list embodied in the Redevelopment Plan. Once merged, the Redevelopment Plan for the Merged Project (the "Redevelopment Plan") will establish a single project area, known as the La Quinta Redevelopment Project Area (the "Project Area"). The City Council of the City of La Quinta activated the Agency on July 5, 1983. Shortly thereafter, in November 1983, the Agency adopted Redevelopment Project No. 1, which includes land designated for commercial, office, residential, retail, institutional, recreational and public uses. On May 16, 1989, the Agency established its second redevelopment project, Redevelopment Project No. 2. Located in the northern area of the City, Project Area No. 2 includes commercial and residential land uses. Neither Project Area has been modified nor amended since their respective adoption. 000014 6qMta*ePi_ 1 04/06193 In the summer of 1992, Agency staff initiated discussions with the Agency Board regarding the current limitations with the Redevelopment Plan for Project No. 1. These limitations will constrain the Agency's ability to correct blighting conditions, promote economic development, and facilitate the development of affordable housing within Project Area No. 1. These limitations include: 9 An unworkable public projects list which does not accord with the broader statutory authority and enabling provisions of the Redevelopment Plan for Project Area No. L In pursuing economic development, affordable housing, and other redevelopment activities in Project Area No. 1, the Agency finds that the development of public facilities and/or infrastructure is necessary to their success. The existing language within the Redevelopment Plan for Project Area No. I may frustrate the provision of funding for these projects. * Financial limitations which constrain the Agency's ability to pursue further redevelopment activities. Should this limit be reached, the Agency will not receive tax increment revenue necessary to finance future Agency and taxing agency redevelopment projects. 9 As separate project areas, revenues from one project area typically cannot be used in the other project area. Although the Agency deals with many programs and activities which have benefits and applications outside of one project area, the Agency is generally constrained from utilizing the revenues from one project area in the other project area. A merger would provide greater flexibility, and would enhance the ability of the Agency to better focus and concentrate its efforts on these matters of greatest importance during a given time period. 0 1 � 9100 Z) 2 04/06/93 0 Expiration of the power of eminent domain will inhibit future consolidation on a selective basis in promoting beneficial projects and eradicating blighting conditions. Although this task has been sparingly applied, it has been a necessary adjunct to negotiations and may be critical if the Agency is to implement powers and redevelopment programs at such time as the State and the region experience economic recovery. Given the constraints featured in the existing Redevelopment Plan for Project No. 1, combined with the infrastructure and economic development needs in Project No. 2 and the desire to set forth redevelopment plans in the existing Project Areas which are consistent and uniform in application, the Agency is proceeding with the merger of the two Redevelopment Projects. The Merger would address the limitations inherent in the Project No. I Redevelopment Plan, and, with its adoption, would provide the Agency with the maximum flexibility to utilize available tax increment revenue funds throughout both Project Areas. This Preliminary Plan has been prepared in accordance with Section 33324 of the Redevelopment Law which states that a preliminary plan should: (a) describe the boundaries of the project area; (b) contain a general statement of land uses, layout of principal streets, population densities, and building intensities and standards, (c) show how the purpose of the Law would be attained by such implementation of the redevelopment plan; (d) show how the proposed redevelopment plan conforms to the general plan; and (e) describe, generally, the impact of a redevelopment project upon residents of the project area and surrounding neighborhoods. 000016 3 04/06/93 U. PROJECT AREA LOCATION AND DESCRIPTION The Project Area is located in the City of La Quinta, Riverside County, California. Located in the Coachella Valley, the City of La Quinta is 20 miles southeast of Palm Springs and 237 miles from Los Angeles. The City was incorporated in 1982 and encompasses an area of 23 square miles. The regional location of the City is depicted on Exhibit 1. Project Area No. I is bounded generally by Avenue 50 to the north, Jefferson Street to the east, Avenue 60 to the south, and the City limit boundary on the west. The boundaries of Project Area No. I are shown on Exhibit 2. Located in the northern area of the City, Project Area No. 2 is bounded by Avenue 50 to the south, Fred Waring Drive (Avenue 44) to the north, Washington Street to the west and Jefferson Street to the east. Project Area No. 2 also includes property west of Washington Street, north of the prolongation of the future alignment of Avenue 48; property surrounding Point Happy, north of Highway I I I and west of Washington Street; and property easterly of Jefferson Street and north of Highway I I I . Project Area No. 2 is depicted on Exhibit 3. As merged, the Project Area would encompass all terfitories of Project Area Nos. I and 2. The Merger does not propose to either add or delete property from the existing Project Areas. 000017 4 04/06/93 h"t4mian III. GENERAL STATEMENT OF PROPOSED PLANNING ELEMENTS A. LAND USES The land uses pen-nitted in the Project Area shall be in conformance with the City of La Quinta General Plan (the "General Plan"), the Zoning Ordinance of the City, and all other state and local building codes and guidelines as they now exist or are hereafter amended. The following uses are presently permitted by the General Plan: RESIDENTIAL Very Low Density Low Density Medium Density High Density COMMERCIAL Village Commercial Tourist Commercial Special Commercial Mixed Commercial General Commercial Commercial Park - OPEN SPACE - WATER COURSE/FLOOD CONTROL B. GENERAL STATEMENT OF PROPOSED LAYOUT OF PRINCIPAL STREETS The principal streets within the Project Area include State Highway I 11, Avenue 50, Washington Street, and Jefferson Street. The layout of principal streets and those that may be developed in the future shall conform to the Circulation Element of the General Plan as currently adopted or as hereafter amended. 000018 1aqinta\p-p1- 5 04106/93 Existing streets within the Project Area may be closed, widened or otherwise modified, and additional streets may be created as necessary for proper pedestrian and/or vehicular circulation provided they are consistent with the General Plan. C. GENERAL STATEMENT OF PROPOSED POPULATION DENSITIES Permitted densities within the Project Area shall conform to the General Plan as currently adopted or as hereafter amended, and applicable ordinances and local codes. D. GENERAL STATEMENT OF PROPOSED BUILDfNQ I[NTENSITIES Building intensity shall be controlled by limits on: (1) the percentage of the building site covered by the building (land coverage); (2) the ratio of the total floor area for all stories of the building to the area of the building site (floor area ratio); (3) the size and location of the buildable area on the building site; and (4) the heights of the building. The limits on building intensity shall be established in accordance with the provisions of the General Plan, Zoning Ordinance, and local codes and ordinances, as they now exist or are hereafter amended. The land coverage, sizes and location of the buildable areas will be limited, as is feasible and appropriate, to provide adequate open space and parking. E. GENERAL STATEMENT OF PROPOSED BUILDING STANDARDS Building standards shall conform to the building requirements of applicable local codes and ordinances. The Agency may consider more restrictive requirements and may incorporate such requirements into the Redevelopment Plan in the interest of the public health, safety and welfare. 000010 6 04/06/93 IV. ATTAINMENT OF THE PURPOSES OF THE REDEVELOPMENT LAW The purposes of the California Community Redevelopment Law, Health and Safety Code Section 33000 et seg. (the "Redevelopment Law") are to protect and promote the sound development and redevelopment of economically, socially and physically deficient areas, and to protect the general welfare of the inhabitants of the communities in which they exist. These purposes would be attained more extensively through the Merger by allowing the Agency to alleviate conditions of blight in the Project Area, revitalize commercial and industrial areas, protect residential uses and neighborhoods, incorporate additional public improvement and facilities projects and provide funds necessary to finance them. Procedurally, the Merger would be accomplished by amending both Redevelopment Plans for Project Area Nos. I and 2. Public Proiect The Redevelopment Law requires that public facility and infrastructure projects are to be provided for in the redevelopment plan in conjunction with the redevelopment agency's funding said projects. As stated above, the Redevelopment Plan for Project Area No. I includes an unworkable public projects list which does not accord with the broader statutory authority and enabling provisions of the Redevelopment Plan for Project Area No. 1. Certain language in the existing Redevelopment Plan for Project Area No. I may frustrate the ability of the Agency to gain outside support for or to provide needed funding to address particular public improvements which are identifiable as community development needs, and the provision of which would alleviate such conditions of blight as poor traffic circulation, inadequate street construction, flooding conditions, and traffic safety problems. J ) 000020 1&qinU%Vcp1sn 7 04106/93 Bonded Indebtedness and Tax Increment Revenue Limits The Redevelopment Law states that a redevelopment plan shall contain a limitation of the total tax increment an agency may receive and total dollar amount of bonds outstanding at one time. By modifying the limitations as contemplated by the Agency, the Agency will have an ongoing capability to meaningfully address and support economic development programs, programs to remedy deficiencies of public improvements, and programs for the promotion of affordable housing. Although Project Area No. 2 has the greater development potential, which could result in significant tax increment revenue, the existing tax sharing agreements with affected taxing entities have resulted in the Agency retaining only 50% of all tax increment revenue generated within this Project Area. Of these funds, the Agency must allocate 20% to increase and improve the supply of affordable housing within the community. As a result, for every dollar of tax increment revenue generated within Project Area No. 2, the Agency is left with only $0.30 to facilitate nonhousing redevelopment activities. In addition, activities concerning the taxing of Agency revenue from Project Area No. I have resulted in the frustration of planning and implementation which would be alleviated in part by the Merger. The Redevelopment Law generally does not allow the transfer of tax increment revenue from one project area to another project area. However, through the merger process, all of the resources of Project Area No. I and Project Area No. 2 can be pooled to better focus upon these programs needed from time to time, and generating wider benefit. V. CONFORMANCE TO THE GENERAL PLAN OF THE CITY This Preliminary Plan conforms to the City of La Quinta General Plan. The Plan proposes a consistent pattern of land uses and includes all highways and public facilities as indicated by the General Plan as it now exists or is hereafter amended. 00002l hqznt*\pi"L&n 8 04/06/93 VL GENERAL IMPACT OF THE PROPOSED PROJECT UPON THE RESIDENTS OF THE PROJECT AREA AND SURROUNDING NEIGHBORHOODS The impact of the Merged Project will generally be in the areas of improved public infrastructure, facilities and services, improved living environment, increased and improved supply of affordable housing, and enhanced employment and economic activity. Redevelopment activities within the Project Area will provide for the improvement, development, replanning, redesign, reconstruction and rehabilitation of the area and the provision of commercial, industrial, public and other structures and open spaces in the interest of the general welfare of the community. It is also anticipated that redevelopment activities orchestrated by the Agency will provide additional employment opportunities and enhance the environmental quality of the community. Thus, the impact of the Merged Project upon the entire City will be positive. Implementation of the Redevelopment Plan will occur as sufficient financial resources are available. Redevelopment projects are intended to be phased over a period of time, with only a limited amount of direct activity at any one time. Redevelopment projects will be subject to future review and approval by the City Council, Agency, Planning Commission and other appropriate bodies after input has been solicited from affected residents, property owners and other interested parties. 0 0 0 0 2 bqint&*cp1- 9 04/06/93 ;1 DESERT HOT SPRING$ 0 A(VERSIDE old* PALM 11KING3 LA Ou" y r-1 EXHIBIT 11111 CITY OF LA QUINTA REGIONAL LOCATION -i--- - 1 000023 ROSENOW S PEVACEK GROUP INC. It I ML 'Ell ?In S9113 'Fill MEW immIommIIIi = IIImIImma Project Area Boundaries m mmommmomll EXHIBIT 11211 PROJECT AREA NO. 1 MAP ROSENOW SPEVACEK GROUP INC. 00,3024 a AVENUE Immmemand 1�006 AVENUE FL V*-.* 7llIl T.�,l f.4 'S AVENUI -amm J2 Ell m m a � m � a Project Area Boundaries EXHIBIT 11311 PROJECT AREA NO. 2 MAP maul ;7.", '1 AVENUE 50., RoSENOW SPEVACEK GROUP INC. 000025 Notice of Preparation To: (Agency) (Address) F/A Subject: Notice of Preparation of a Draft Environmental Impact Report Lead Agency: Consulting Firm (if applicable): AgencyName City of La Quinta FirmName Stevenson, Porto & Pierce, Inc StreetAddress 78-105 Calle Estado City/State/Zip La Quinta, Ca 92253 Contact Jerry Herman StreetAddresJ8195 McDurmott East Suite C City/State/Zip Irvine, Ca 92714 Contact Phil Martin The City of La Quinta _ will be the Lead Agency and will Prepare an environmental impact report for the project identified below. We need to know the views of youragencyas to the scope and contentof theenvironmental information which is germane to your agency's statutory responsibilities in connection with the proposed project. Your agency will need to use the EIR prepared by our agency when considering your permit or other approval for the project. The project description, location, and the potential environmental effects are contained in the attached materials. A copy of the Initial Study ( [Z is E] is not) attached. Due to the time limits mandated by State law, your response must be sent at the earliest possible date but not Zater than 30 days after receipt of this notice. Please send your response to Mr. Jerry Herman at the address shown above. We wal need the name for a contact person in your agency. ProlectTltle: Merger of Redevelopment Plans for La Quinta Redevelopment Project Area Nos. i a—n—d-2. Project Location: City of La Quinta Riverside Project Description: (brieo cky (nearen) Coln" Merge the existing redevelopment plans for two seloarate redevelopment project areas into one plan and one project area. Please refer to Section 4.0 of the attached information for a complete project description. Date—Apri.1 16, 1993 Signature -1 J / Z".,�- Tide 76?an!n!itnand Development Director Telephone (619) 564-2246 000026 Reference: Califorrua Administrative Code, Tide 14, (CEQA Guidelines) Sections 15082(a), 15103, 15375. Revised October 1989 INTRODUCTION 1.0 Overview of Project The City of La Quinta is located in the Coachella Valley southwest of Interstate 10 as shown on Figure 1. Regional Map. The existing La Quinta Redevelopment Project Area Nos. 1 and 2 are located generally throughout the entire City as shown on Figure 2, Vicinity Map. The Environmental Assessment/Initial Study analyzes the potential environmental impacts that could be associated with merging Project Area Nos. I and 2 (the "Merger") in the City of La Quinta. A copy of the Environmental Assessment/ Initial Study is attached for review. 2.0 Purpose of the Environmental Assessment and Initial Study The La Quinta Redevelopment Agency ("Agency") has determined that a Program Environmental Impact Report (11EIR11) is required to be prepared for the proposed merger. A Program EIR is required to be prepared for the merger of a redevelopment plan in accordance with the Community Redevelopment Law of the State of California (Health and Safety Code §33000 et. seq.). The enclosed Environmental Assessment/ Initial Study provides a basis for initially determining the nature and scope of the environmental review that will be conducted for the proposed merger. The Environmental Assessment/Initial Study identifies to date the environmental issues and subjects that will be addressed in the Program EIR. 3.0 Summary of Preliminary Environmental Assessment This Environmental Assessment/Initial Study for the proposed merger indicates that adoption and implementation of the proposed Redevelopment Plan for the Merged La Quinta Redevelopment Project (the "Merged Plan") may have potential environmental effects on air quality, hydrology and drainage, population and housing, transportation and circulation, biota, land use, public services including police protection services, fire protection, schools, parks and recreational facilities, maintenance of public facilities and public utilities including sewer, water, storm drain and solid waste and cultural resources. Adoption and implementation of the Merged Plan is not anticipated to have significant effects on other environmental disciplines. The proposed merger does not propose to change existing land use or zoning designations with adoption of the Merged Plan. An EIR will be prepared to analyze the potential environmental impacts associated with adoption and implementation of the Merged Plan as identified above. The Program Environmental Impact Report 1 000027 will focus on those issues where potential impacts could occur as identified by the Environmental Assessment/ In it ial Study and as identified by comments received during the 30 day Notice of Preparation public review period. In addition, the Program EIR will also evaluate and discuss all other topics and subjects in compliance with the California Environmental Quality Act ("CEQA") . 4.0 Project Description The La Quinta Redevelopment Agency currently has two redevelopment project areas in the City as shown previously on Figure 2. The Agency is proposing to merge the two project areas and the associated redevelopment plans for the project areas into one project area and plan. The merged project area would consist of the same area as included in the existing project areas. The Agency does not propose to add or remove area to either of the existing project areas with this proposed merger. The Agency proposes to adopt a new redevelopment plan for the merged project area that would guide the future redevelopment of the project area. The new redevelopment plan, if adopted, would supersede the existing redevelopment plans. The reasons for the proposed merger is to facilitate the reduction and mitigation of existing blighted conditions in order to improve the economic viability of both project areas. Although the Agency has accomplished a number of redevelopment projects in both project areas to date, the Agency has more specifically defined the projects listed in the existing redevelopment plans that need to be constructed and/or implemented to remove blight and encourage redevelopment within the project areas. The proposed merger would allow the Agency forty years from the date of adoption to accomplish the goals and objectives of the Merged Plan. The merger would establish new time limits for the Agency to incur debt to finance public improvement projects while consolidating and establishing new limits for the amount of bond indebtedness that can be outstanding at one time and the amount of tax increment that can be allocated to the Agency. The Merged Plan would also allow the Agency the authority to use eminent domain to acquire private property for public use in certain circumstances. The Agency would have eminent domain authority for twelve years from the date of adoption of the Merged Plan. Adoption of the merger would preserve the ability of the Agency to construct public improvement projects which are still needed in the project areas to improve and upgrade existing infrastructure. The Agency proposes to include in the merger redevelopment plan those public improvement projects that have not been completed to date, but are listed in the existing two redevelopment plans. Therefore, the Agency proposes to include public improvement projects that are needed to remove existing blight and encourage economic viability in the City. K 0 0 0 0 A2 8 The types of projects included in the proposed merger are storm drain improvements, street improvements, installation of traffic signals, upgrade sewer and water lines, provide community facilities and improve public services. The Agency would also have revenues available to be used to facilitate low and moderate income housing in the City. As required by redevelopment law, the Agency must set aside at least 20 percent of all tax increment revenues allocated to the Agency to be used towards increasing, improving and preserving the community's supply of low and moderate income housing. 5.0 Discretionary Approvals The proposed Redevelopment Plan Merger will require the following discretionary approvals by the City Council and the Redevelopment Agency of the City of La Quinta: A. Certification of the Final Environmental Impact Report. B. Approval of the Redevelopment Plan Merger for Project Area Nos. 1 and 2. 3 0 9 0 0 2 9 LEGEND: PROJECT AREA No. 1 (11,200 ACRES) 0 c PROJECT AREA No. 2 z, (3,116 ACRES) rq CITY LIMITS 2000' SCALE: I --"Z- JL 0 imr �2.2 c w2w.Hi , :" Z; INDIO I .1a ;-FkM-1 Q kh L 2, t _Q V m 33 41 4 �4 14 1 c, 2, lc 2' 28 32 33 — — — — — — — — — — - —71 —7 It I — < T r L g� 'n ttl 0 3 0 No COUNTY COUNTY JOSMA TREE -NATIONAL MONUME14T DESERT INICNO Pow Sp I g 0 Sky Valley ffi H lom 10 Thouseffli Pakne DINA, DR. CATHEDRAL CIT RANCHO MIRAGE PALM DESERT on wi LA Pinyon(;4n@s I SAN WJWARDINO NATIONAL FOREST. SOURCE THOMAS BROTHERS MAPS PROJECT AREA COACHELLA Th*r"Mli nwmg 7 L SCALE: 10 w 4 112 MILES TITLE : REGIONAL MAP. 000031 Environmental Assessment No. Case No. ENVIRONMENTAL CHECKLIST FORM Background 1. Name of Proponent: City of La Quinta Redevelopment Agency 2. Address and Phone Number of Proponent: 78-105 Calle Estado La Quinta, California 92253 (619) 564-2246 3. Date of Checklist Submitted: April 9, 1993 4. Agency Requiring Checklist: City of La Quinta Community Development Department S. Name of Proposal, if applicable: Merger of Redevelopment Plans for La Quinta Redevelopment Project Area Nos. I and 2 Environmental Impacts (Explanations of all "yes", "maybe" and "no" answers are provided below each discipline.) Yes Maybe No 1. Earth. Will the proposal result in: a. Unstable earth conditions or changes in geologic substructures? X Discussion: The Project Area is not located in an area that is known to be geologically unstable. The construction of public work improvement projects, as envisioned at this time, would not require extensive or significant excavation in order for public improvement projects to be constructed. The street improvements, storm drain construction and other public improvement projects anticipated to be constructed by the Agency would not require extensive excavation below existing surface elevations. The construction of public buildings is also not anticipated, at this time, to require significant excavation below existing grade. As a result it is not anticipated that there would be a potential for unstable earth conditions or changes in the existing geologic substructure with construction of the public improvement projects. The potential for future private development in the Project Area as a result of the construction of public improvement projects is also not anticipated to result in significant impacts to geologic substructures. b. Disruptions, displacements, compaction or overcovering of the soil? X Discussion: The construction of some of the public improvement projects would require the short-term disruption, displacement, compaction and overcovering of soil in order for the facilities to be constructed. Soil would have to be graded, trenched and excavated in order for new facilities to be constructed underground. Once the 4 0 0 0 0 3 40! facilities are constructed trenches would have to be filled in and the soil would have to be compacted to meet building code and/or grading and compaction requirements. The types of public buildings and facilities proposed to be constructed by the Agency are not anticipated to require significant quantities of soil disruptions, displacements or compactions because they are not large-scale projects. Since excavation, trenching, compaction, grading, etc. would be limited to providing utility trenches, curbs and gutters, building pads, foundations, etc., it is not anticipated that the soil excavation associated with these types of projects would result in significant soil compaction or overcovering impacts. Construction associated with new development would be required to submit both a geotechnical soils investigation and a grading plan to the City prior to issuance of grading or building permits. The grading plan would include those measures identified in the soils investigation that will reduce potential geotechnical impacts including soil displacement and compaction. c. Change in topography or ground surface relief features? X Discussion: Construction of public utility improvement projects would mostly occur within existing road right-of-way. As a result there would not be a change in existing topography or ground surface relief with construction of public improvements within existing streets. The construction of storm drain improvements would require grading. The amount of grading and whether or not there would be a significant change in the topography or ground surface relief features would depend upon the scope of the storm drain facilities to be constructed and the location. It is anticipated at this time that future storm drain improvements would be constructed along existing storm drain channels and consist of either lining existing channels with concrete or installing storm drain pipes and culverts. The construction of storm drain pipes and lining flood control channels should not result in significant changes to existing topography or ground surface relief features if new facilities are constructed within existing storm channels. The future construction of public and private buildings would require a change in the existing topography and ground surface to provide building pads, parking areas, streets, etc. Although the existing topography and surface relief features would be changed it is not anticipated that significant topographic changes would be required in order to provide buildable sites. d. The destruction, covering or modification of any unique geologic or physical features? X Discussion: There are not any known existing unique geologic or physical features in the Project Area. The Project Area is urbanized and developed. Construction of the public improvement projects and private development would not impact geologic or physical features since there are not any identified geologic features in the Project Area. e. Any increase in wind or water erosion of soils, either on or off the site? X_ 000033 Discussion: The construction of the public improvement projects would not increase long-term wind or water erosion of soils. These facilities, once constructed, would not have the potential to increase wind or water erosion since the facilities would be located underground and covered with either concrete or asphalt. There could be short-term erosion effects during the construction of public improvement facilities due to excavated soil and sand being stockpiled for backfilling and compaction once the projects have been completed. The City and the State have erosion control methods that must be incorporated into all construction projects to reduce and prevent erosion. These erosion control methods would be part of the plans for constructing the public improvement projects and would help reduce and mitigate the short-term erosion effects during project construction. The majority of the City is generally not considered subject to significant wind or water erosion due to the predominance of low sloped topography and the existence of adequate flood control facilities. The existing wind erosion potential is considered low to moderate for the majority of the native soils due to the presence of abundant agricultural improvements including vegetative windbreaks and irrigation facilities. The construction of public and private buildings would decrease the long-term potential for water erosion. The construction of buildings, in conjunction with on - site storm drainage facilities to collect and divert stormwater collected on the site, would reduce existing water erosion associated with each respective site. f. Changes in deposition or erosion of beach sands, or changes in siltation, deposition or erosion which may modify the channel of a river or stream or the bed of the ocean or any bay, inlet or lake? X Discussion: Construction of the public improvement projects would not have the potential to cause erosion that could modify any rivers or streams in the area. As discussed in "e" above, the types of projects to be constructed by the Agency would not change or increase area erosion that would result in the modification of any area streams or rivers. g. Exposure of people or property to geologic hazards such as earthquakes, landslides, mudslides, ground failure, or similar hazards? X Discussion: There are existing active faults in the region that currently affect development within the Project Area. The merger of the Project Area would not increase or decrease accordingly the number of people or the amount of property presently exposed to existing regional geologic hazards. People and property within the Project Area are presently exposed to these hazards and the exposure level would be the same with adoption of the Redevelopment Plan. The Agency could use tax increment revenue f rom the merger area to construct public buildings and structures. All public buildings, structures, etc. constructed with Agency revenue would be constructed in compliance with the Uniform Building Code to meet all applicable earthquake standards. 9 000034 Construction of the public improvement projects listed in the Plan would not expose people or property to geologic hazards. The public improvement projects consist of street improvements, upgrading existing public facilities, upgrading or construction of storm drain facilities, etc. The construction of these types of improvements would not expose people or property to geologic hazards that don't presently exist. 2. Air. Will the proposal result in: a. Substantial air emissions or deterioration of ambient air quality? X Discussion: The construction of public improvement projects would result in the short-term emission of air emissions due to the operation of construction equipment and construction workers commuting to the construction site. Should implementation of the Plan result in private development within the Project Area there would be long-term air emissions associated with increased vehicular traffic, natural gas combustion to heat homes and off -site electrical generation emissions associated with the generation of electricity used in the Project Area. b. The creation of objectionable odors? X Discussion: There could be some odors associated with the construction of street improvements such as odors generated during the resurfacing of streets or laying of asphalt pavement, but these would be short-term odors that would occur only during the period of construction. None of the public improvement projects would generate any long-term objectionable odors because there are no odors associated with the types of projects proposed to be constructed. Private sector development that could occur in the Project Area due to implementation of the Plan also is not anticipated to create objectionable odors. c. Alterations of air movement, moisture or temperature, or any change in climate, either locally or regionally? X Discussion: The construction of the type of public improvement projects proposed to be constructed by the Agency would not change the existing climate or temperature in the Project Area. The construction of street improvements, installation of traffic signals, storm drain facilities and public and private buildings are not the types of projects that would change local climate or temperatures. 3. Water. Will the proposal result in: a. Changes in currents, or the course of direction of water movements, in either marine or fresh waters? X Discussion: None of the public improvement or private development projects anticipated to be constructed at this time would result in a change in existing water courses. The Agency may assist the City in constructing storm drain facilities that are needed in the Project Area to protect people and property from flooding. The storm drain facilities that may be constructed would be constructed along existing drainage 7 0 0 0 0 3J0 courses and would not change, alter or divert stormwater from its existing major direction of flow. b. Changes in absorption rates, drainage patterns, or the rate and amount of surface runoff? X- Discussion: The construction of public improvement projects within existing paved street right-of-way would not increase surface water runoff. The construction of public improvement projects that would cover the ground with an impervious surface would change absorption rates by increasing surface water runoff. The amount of additional runoff that would be generated and its impact would depend upon the area covered by impervious material and the ability of area storm drain facilities to adequately accommodate the increased runoff. Private development within the Project Area would also increase the amount of surface water runoff. Construction of buildings, streets, parking area, etc., would decrease stormwater absorption and increase runoff. An increase in stormwater runoff could impact existing storm drain facilities in the area and the City. c. Alterations to the course or flow of flood waters? X Discussion: At this time it is not anticipated that the public storm drain improvement projects the Agency may assist the City in constructing would result in changing or alternating existing course of flood waters. All future storm drain improvements are anticipated, at this time, to be constructed within existing flood water courses. d. Change in the amount of surface water in any water body? X— Discussion: An increase in development would reduce the amount of land available to absorb rainfall. A significant increase in development in the Project Area would increase the amount of water directed to area drainage facilities. Depending upon the amount of development and the resulting increase in runoff, the additional water runoff could increase the amount of surface water in area storm drain facilities and water bodies such as the Whitewater Channel. e. Discharge into surface waters, or in any alterations of surface water quality, including but not limited to temperature, dissolved oxygen or turbidity? X Discussion: The construction of public work projects is not anticipated to impact local water quality. The construction of the public work projects would not discharge materials that could impact local surface water quality. There could be some discharge of sediments into local water bodies during project construction if projects are constructed during the winter months when rainfall occurs. It is not anticipated that public improvement projects would be constructed during the rainy season, therefore, impacts to local surface water quality are not anticipated to occur. 8 00003G f. Alteration of the direction or rate of flow of ground waters? X Discussion: None of the public improvement projects are anticipated to result in the alteration or direction of flow of existing ground water. The public improvement projects listed in the Plan do not include altering existing ground water. g. Change in the quantity of ground waters, either through direct additions or withdrawals, or through interception of an aquifer by cuts or excavations? X Discussion: As stated in 'If" above, none of the public improvement projects would affect ground waters through either additions or withdrawals. The construction of projects such as the upgrading of sewer and water lines, construction of storm drain improvements or construction of public buildings should not require cuts or excavations into local aquifers. The excavation associated with construction of the public improvement projects should be shallow and not require extensive dirt removal that could extend into an aquifer. h. Substantial reduction in the amount of water otherwise available for public water supplies? X Discussion: The construction of public improvement projects would not substantially reduce public water supplies. If construction of public improvement projects results in private development, public water supplies would be reduced, however. The significance of the reduction in public water supplies due to private development would depend upon the amount and type of development and the ability of the existing water supply to adequately serve the new development. i. Exposure of people or property to water related hazards such as flooding or tidal waves? X Discussion: The adoption and implementation of the Plan would not expose people or property to any greater flooding hazards than presently exist. Implementation of the Plan could reduce the number of people and property exposed to existing flooding if the Agency is able to assist the City in constructing needed storm drain improvements that would reduce flooding potential in the Project Area. 4. Plant Life. Will the proposal result in: a. Change in the diversity of species, or number of any species of plants (including trees, shrubs, grass, crops and aquatic plants)? X Discussion: The construction of public improvement projects could change the diversity or number of plant species if projects are constructed on property with existing vegetation. Should the Merger encourage private development it also could result in the change in both the diversity and number of plant species in the Project Area if the private development occurs on property with existing vegetation. VJ 000037 b. Reduction of the numbers of any unique, rare or endangered species of plants? X Discussion: There is an endangered plant species in the Project Area. Development within the Project Area, either through the construction of public or private development, could reduce the number of the endangered plant species which is the California Ditaxis. c. Introduction of new species of plants into an area, or in a barrier to the normal replenishment of existing species? X_ Discussion: New plant species could be introduced to the area in association with landscaping that may be planted in conjunction with new development. Development within the Project Area could serve as a barrier to the replenishment of existing plant species, including endangered and non -endangered plants. d. Reduction in acreage of any agricultural crop? X Discussion: The construction of public improvement projects is not anticipated to reduce existing acreages of agricultural crops. However, adoption and implementation of the Merger could encourage private development in the Project Area. The private development of property in the Project Area could result in the reduction of agricultural crops if agricultural land is developed. 5. Animal Life. Will the proposal result in: a. Change in the diversity of species, or numbers of any species of animals (birds, land animals including reptiles, fish and shellfish, benthic organisms or insects)? X_ Discussion: The construction of public improvement projects is not anticipated to change either the diversity or numbers of animal species in the Project Area because construction of public improvements is anticipated to occur within developed areas. If construction of public improvement projects results in the private development of property in the Project Area, there could be a change in the diversity and number of animals due to a loss of habitat. b. Reduction of the numbers of any unique, rare or endangered species of animals? X Discussion: Since there are endangered animal species in the Project Area the construction of public improvement projects and private development could reduce the number of endangered animal species if endangered animal species are present. The construction of public improvements such as storm drain facilities could result in the loss of both habitat and animal species. The fringe -toed lizard, an endangered species, could be impacted by development in the Project Area. The City currently collects a fee of $600 per acre for private development that is used to preserve and acquire fringe -toed lizard habitat. Future private development in the Project Area will be required to pay the fees as applicable. Public projects are exempt from the fee. 10 000033, c. Introduction of new species of animals into an area, or result in a barrier to the migration or movement of animals? X_ Discussion: The adoption and implementation of the Merger does not propose and would not result in the introduction of new animal species. The private development of property in the Project Area could serve as a barrier to animal migration, depending upon the location of the development and whether or not a site is used as a migration route by animals. d. Deterioration to existing fish or wildlife habitat? X Discussion: The construction of public improvements would not impact fish habitat since there is not any fish habitat in the Project Area. The construction of storm drain improvements and private development could remove existing wildlife habitat. The fringe -toed lizard, an endangered species, could be impacted by development in the Project Area. The City currently collects a fee of $600 per acre for private development that is used to preserve and acquire fringe -toed lizard habitat. Future private development in the Project Area will be required to pay the fees as applicable. Public projects are exempt from the fee. 6. Noise. Will the proposal result in: a. Increases in existing noise levels? X Discussion: The construction of public improvements would not result in long-term increases in existing noise levels. The construction of public improvements could result in the private development of property which would increase vehicular traffic with a subsequent increase in traffic noise. There would also be an increase in short- term noise levels during construction of both public and private projects. The increase in noise levels during construction would be due to the operation of construction equipment on site and the delivery of supplies to the site. b. Exposure of people to severe noise levels? X_ Discussion: It is not anticipated at this time that implementation of the Plan would result in people being exposed to severe noise levels. None of the public improvement projects anticipated to be constructed at this time would result in people being exposed to severe noise levels. 7. Light and Glare. Will the proposal produce new light or glare? X_ Discussion: The construction of most of the public improvement projects would not generate new light or glare. However, the construction of public buildings and the installation of traffic signals would produce new light and glare to the area. Should the Agency construct new low and moderate income housing, new sources of light and glare would also be generated. The development of additional uses in the Project Area by the private sector would also produce new sources of light and glare due to lighting associated with new development. 000033 8. Land Use. Will the proposal result in a substantial alteration of the present or planned land use of an area? X— Discussion: The proposed Merger would not change land use designations for land in the Project Area as identified by the City's General Plan. The construction of public improvement projects could encourage the private development of property in the Project Area. The Merger could encourage development of property sooner than without the adoption of the Merger. If development occurs sooner than anticipated the existing land use characteristics of the Project Area could substantially change from the existing land use characteristics, but the land use designations currently designated by the General Plan would not change with Merger adoption. 9. Natural Resources. Will the proposal result in: a. Increase in the rate of use of any natural resources? X Discussion: The construction of the public improvement projects listed in the Plan would not increase the rate of use of natural resources. There would be some natural resources consumed during the construction of the public works projects. However, the amount of the resources consumed during construction would not significantly impact existing natural resource supplies or the rate of their use, either during construction or after project completion. b. Substantial depletion of any nonrenewable natural resource? X Discussion: Based on the types of both public and private projects anticipated to be constructed in the Project Area, there would not be a substantial depletion of nonrenewable resources. The construction of projects would result in the consumption of nonrenewable resources, but consumption is not anticipated to be any greater than typically associated with similar projects. 10. Risk of Upset. Will the proposal involve: a. A risk of an explosion or the release of hazardous substances (including but not limited to, oil, pesticides, chemicals, or radiation) in the event of an accident or upset conditions? X Discussion: There would not be hazardous substances associated with the construction of the public improvement projects listed in the Plan or development of private projects as envisioned at this time. There would not be any risk of explosions associated with the construction of public improvement or private projects as well. b. Possible interference with an emergency response plan or an emergency evacuation plan? X 12 000040 Discussion: The types of public improvement projects listed in the Plan are not anticipated to have impacts on any emergency response plans. Adoption of the Plan and construction of public improvements could possibly improve emergency response if streets and other City facilities are improved and allow better emergency response throughout the Project Area. 11. Population. Will the proposal alter the location, distribution, density or growth rate of the human population of an area? X Discussion: The Agency must set aside at least 20 percent of all tax increment received from Project Area to preserve and provide housing for low and moderate income families. If the Agency uses the tax increment to construct new housing there could be increase in the number of people moving into the City to occupy these units, Although it is anticipated that there would not be a large number of low and moderate income residential units constructed there could be an increase in the number of people moving into the Project Area if new units are constructed. 12. Housing. Will the proposal affect existing housing, or create a demand for additional housing? X— Discussion: The use of tax increment from the Project Area by the Agency to increase, improve and preserve housing for low and moderate income families will affect housing in the Project Area, In order to provide additional housing for low and moderate income families, the Agency could subsidize existing housing rents, convert existing units to low and moderate units or construct new units. Depending upon the number and the type of units the Agency provides, there could be impacts on the existing housing stock in the City. 13. Transportation/Circulation. Will the proposal result in: a. Generation of substantial additional vehicular movement? X— Discussion: The construction of the public improvement projects listed in the Plan is not anticipated to generate additional traffic trips or impact existing transportation systems. The resurfacing of existing streets and other street improvements that would improve traffic and circulation flow and reduce congestion would actually have positive impacts to the City and traff ic in the Project Area. If the Agency constructs additional low and moderate income housing either in the Project Area or the City, there would be additional traffic generated. The construction of public improvement projects could encourage the private development of property in the Project Area. Development would result in the generation of traffic that could be substantial, depending upon the amount and type of new development. b. Effects on existing parking facilities, or demand for new parking? X Discussion: The construction of public improvement projects would not affect existing parking facilities or create a demand for new parking. The subsequent development of property in the Project Area by the private sector would increase the 13 00004l demand for parking which could affect existing parking or create a demand for new parking. c. Substantial impact upon existing transportation systems? X Discussion: The construction of the public improvements projects listed in the Plan is not anticipated to generate additional traffic trips or impact existing transportation systems. The resurfacing of existing streets and other street improvements that would improve traffic and circulation flow and reduce congestion would actually have positive impacts to the City and the Project Area. However, if the construction of public improvement encourages the development of property in the Project Area by the private sector the increased traffic that may result could impact the existing transportation system. d. Alterations to present patterns of circulation or movement of people and/or goods? X Discussion: The construction of the public improvements projects listed in the Plan is not anticipated to generate additional traffic trips or impact existing transportation systems. The resurfacing of existing streets and other street improvements that would improve traffic and circulation flow and reduce congestion would actually have positive impacts to the City and the Project Area. The construction of the street improvement projects could result in some people changing present circulation patterns to travel roadways that may become less congested after construction of street improvements. The development that could occur in the Project Area by the private sector could result in a change in present traffic patterns by residents. e. Alterations to waterborne, rail or air traffic? X Discussion: There are not waterborne, rail orairtraffic transportation facilities in the Project Area or in the immediate vicinity that would be impacted with adoption and implementation of the Plan. f. Increase in traffic hazards to motor vehicles, bicyclists or pedestrians? X Discussion: The construction of the public improvement projects listed in the Plan is not anticipated to generate additional traffic trips or impact existing transportation systems. The resurfacing of existing streets and other street improvements that would improve traffic and circulation flow and reduce congestion would actually have positive impacts to the City and the Project Area. There could be short-term traffic hazards during the construction of public improvements within street rights -of -way. Construction within street rights -of -way could require the temporary closure of bicycle paths and sidewalks requiring bicyclists and pedestrians to find alternative routes during construction which could increase potential traffic hazards. The alternative routes could increase the traffic hazards to people using the alternative routes. 14. Public Services. Will the proposal have an effect upon, or result in a need for new or altered 14 0 0 0 0 42! governmental services in any of the following areas: a. Fire protection? X Discussion: The adoption of the Plan could improve the existing fire protection services for residents and businesses in the Project Area. The receipt of tax increment revenue from the Project Area would allow the Agency the ability to provide additional fire protection facilities and/or equipment, depending upon the revenuethe amount of Agency has and the need for additional fire protection facilities. The Plan could have a positive impact on fire protection services if the Agency is able to provide additional needed fire protection facilities and/or equipment and improve the level of fire protection for residents and businesses. The private development that could indirectly occur in the Project Area due to adoption of the Plan could impact fire protection services by increasing the demand on fire protection facilities. b. Police protection? — X . Discussion: The adoption of the Plan could improve the existing police protection services for residents and businesses in the Project Area. The receipt of tax increment revenue from the Project Area would allow the Agency the ability to provide additional police protection facilities and/or equipment, depending upon the revenue the Agency has and the need for additional police protection facilities. The Plan could have a positive impact on police protection services if the Agency is able to provide additional needed police protection facilities and/or equipment and improve the level of police protection for residents and businesses. The private development that could indirectly occur within the Project Area due to adoption of the Plan could impact police protection services by increasing the demand on police facilities. c. Schools? X - Discussion: The use of set -aside revenue to increase, improve and preserve low and moderate income housing could generate additional students to area schools. If the Agency constructs new units the families occupying the new units could have children that would attend area schools. However, if the set -aside revenue is used to subsidize existing units or convert existing residential units to low and moderate units, there may not be additional students generated to area schools. Should private development occur in the Project Area due indirectly to adoption of the Plan, there would be additional students generated to area schools. The generation of additional students could impact the ability of area schools to adequately serve those students. d. Parks or other recreational facilities? _X Discussion: The merger of the Project Area and adoption of the Plan could allow the Agency the ability to provide funding towards developing additional park or recreational facilities that could serve Project Area residents. The tax increment the Agency would receive from the Project Area would allow the Agency the ability to upgrade and improve existing park and recreational facilities that currently serve the residents or provide new facilities resulting in positive impacts for residents. The development of additional low and moderate income housing units could create a demand for additional park facilities in the Project Area. If new units are constructed the residents occupying the units could create the demand for additional 15 000043 recreational facilities or impact existing facilities. The private development of property in the Project Area due indirectly to adoption of the Plan could result in an increased demand on public park and recreational facilities. e. Maintenance of public facilities, including roads? X Discussion: The adoption of the Plan could provide revenues that could be used by the Agency to improve maintenance of existing public facilities. The Agency could assist the City in providing a better level of service and maintenance of public facilities serving the Project Area due to adoption of the Plan. f. Other governmental services? — - X Discussion: Other governmental services such as libraries, community programs and services, etc. could be improved by providing facilities with the revenue that could be generated from the Project Area. Depending upon the amount of revenue available and the types of governmental services needing assistance, the Agency may be able to improve some governmental services. 15. Energy. Will the proposal result in: a. Use of substantial amounts of fuel or energy? X Discussion: The adoption of the Plan would not result in the use of substantial amounts of energy. Most of the public improvement projects would not use energy over the long-term. Some fuel and electricity would be used during the construction of the public improvement projects, but the consumption would be insignificant and only occur during the short-term construction period. The development of public and private buildings would result in increased consumption of fuel and energy but the additional consumption is not anticipated to be substantial because new construction is not anticipated to be different than the existing development in the Project Area. b. Substantial increase in demand upon existing sources of energy, or require the development of new sources of energy? X Discussion: None of the public improvement projects included in the Plan would significantly increase the demand for existing energy or create a need to develop new sources of energy. The projects listed in the Plan include street paving, upgrading sewer and water lines, construction of storm drain facilities and public buildings and other public work projects. These types of projects would not substantially increase demands on existing energy sources or require new energy sources to be developed. 16. Utilities. Will the proposal result in a need for new systems, or substantial alterations to the following utilities: a. Power or natural gas? X Discussion: The construction of public improvement projects would not require the need for new systems of electricity or natural gas. The private development of 16 00004-1 property in the Project Area due to adoption of the Plan could require the extension of existing facilities to serve some new development. b. Communication systems? X Discussion: The construction of public improvement projects would not require the need for new or substantial alterations to existing communication systems. The public improvement projects listed in the Plan would not require communication systems as part of the project. The future development of private projects in the Project Area could require the extension of existing facilities or the construction of new facilities if development occurs in an area where facilities presently are not available. c. Water? X Discussion: The public improvement projects listed in the Plan include upgrading of existing water lines in the Project Area. The construction of new water lines and the upgrading of existing lines would result in positive impacts to residents and businesses in the Project Area. The benefits would be improved water availability and fire flow. Upgrading the water distribution system in the Project Area could encourage private development. Increased private development could require the need to construct new water distribution systems or extend the existing system to the development projects. d. Sewer or septic tanks? X Discussion: The public improvement projects listed in the Plan include the upgrading of existing sewer lines. The upgrading of existing sewer lines or the construction of new sewer lines would have positive impacts to both residents and businesses in the Project Area by improving sewer services. The upgrading and extension of the sewer collection system could encourage private development within the Project Area. Increased private development could create a need to construct additional sewer collection systems by extending the existing system to serve new development. e. Storm water drainage? X . Discussion: The proposed Plan for the merger includes projects to upgrade and construct new storm drain facilities to protect people and property from flooding. The construction of storm drain facilities that would protect people and property from the threat of flooding would have positive impacts. The construction of storm drain improvements that removes property from the threat of floods could encourage development of property that is not prone to floods. Therefore, the construction of storm drain facilities could indirectly encourage development within the Project Area. f. Solid waste and disposal? X . Discussion: Adoption and implementation of the Plan would not directly result in an impact on solid waste service or increase the amount of solid waste taken to area landfills. However, indirectly there would be additional solid waste taken to area landfills. One source would be construction debris due to the construction of public improvement projects. The types of construction debris would include dirt, rocks, chunks of pavement, wood, etc. The second source would be household and business 17 00004) solid waste due to the potential increased development of these types of uses anticipated to occur in the Project Area. The development of additional residential and business uses would generate increased volumes of solid waste taken to area landfills. Although the City has curbside recycling and participates in the Coachella Valley Association of Governments regional Source Reduction Waste Element, the City would have to reduce the solid waste volume accordingly to comply with State of California solid waste reduction laws. 17. Human Health. Will the proposal result in: a. Creation of any health hazard or potential health hazard (excluding mental health)? X Discussion: Adoption and implementation of the proposed Plan would not include projects that could create health hazards. The activities proposed in the Plan include the potential development of needed public improvements, construction of public buildings and the possible assistance to various governmental agencies with improving their respective services. There would not be potential health hazards associated with constructing the public improvement projects or improving governmental services. b. Exposure of people to potential health hazards? X Discussion: Adoption and implementation of the proposed Plan would not include projects that could create health hazards. The activities proposed in the Plan include the potential development of needed public improvements and assistance to various governmental agencies with improving their respective services. There would not be a potential for exposure of people to health hazards with implementation of the Plan based on the types of public projects listed in the Plan. 18. Aesthetics. Will the proposal result in the obstruction of any scenic vista or view open to the public, or will the proposal result in the creation of an aesthetically offensive site open to public view? X Discussion: The construction of the public improvement projects listed in the Plan is not anticipated to obstruct scenic vistas or create aesthetic impacts. The types of projects listed in the Plan that could be constructed in the Project Area by the Agency include street improvements, sewer and water line improvements, storm drain facilities, construction of public buildings, etc. Most of these types of projects could be constructed within existing street right-of-ways and in many cases the facilities would be constructed underground and would not have aesthetic impacts. The construction of public improvements could encourage private development of property in the Project Area. Private development could have potential aesthetic impacts, depending upon the project, its location and the type of structures developed. The City currently reviews all development plans for potential aesthetic impacts and incorporates appropriate measures into projects as necessary to reduce aesthetic impacts. The City will continue this procedure for all development with Plan adoption. 19. Recreation. Will the proposal result in an impact upon the quality or quantity of existing 18 000046 recreational opportunities? X— Discussion: The adoption and implementation of the Plan could have positive impacts on park and recreational facilities in the Project Area. If the Agency is able to assist the City in providing additional park and recreational facilities in the Project Area or improve the maintenance of existing facilities, there could be a positive impact for area residents. The use of tax increment revenue to increase low and moderate income housing in the City could have indirect impacts on existing park facilities. If the Agency constructs units and new residents occupy these units, the increased demand on existing recreational facilities could have an impact on those facilities. Should the construction of public improvements listed in the Plan encourage the development of private projects in the Project Area, there would be increased demand on existing recreational facilities. 20. Cultural Resources. a. Will the proposal result in the alteration of or the destruction of a prehistoric or historic archaeological site? X Discussion: There are known cultural resources in the Project Area. The construction of public improvements could alter or destroy existing archaeological resources. The private development of property that could occur in the Project Area with Plan adoption could also result in an alteration or destruction of archaeological resources during excavation and grading of new projects. b. Will the proposal result in adverse physical or aesthetic effects to a prehistoric or historic building, structure, or object? X— Discussion: There are known historical buildings within the Project Area. The construction of public improvement projects is not anticipated at this time to require the demolition or relocation of existing historically significant buildings. However, future private development within the Project Area could potentially impact historical buildings if private development proposes new development on sites that include historical buildings. c. Does the proposal have the potential to cause a physical change which would affect unique ethnic cultural values? X Discussion: If construction of either public or private projects would result in the removal of existing archaeological artifacts or historically significant buildings, there could be a potential for cultural values to be affected. d. Will the proposal restrict existing religious or sacred uses within the potential impact area? X Discussion: It is not anticipated at this time that the list of public improvement projects, if constructed, would restrict existing sacred or religious uses in the Project 19 000047 Area. At this time it is not anticipated that private development within the Project Area would restrict existing religious or sacred uses. 21. Mandatory Findings of Significance. a. Does the project have the potential to degrade the quality of the environment, substantially reduce the habitat of a fish or wildlife species, cause a fish or wildlife population to drop below self sustaining levels, threaten to eliminate a plant or animal community, reduce the number or restrict the range of a rare or endangered plant or animal or eliminate important examples of the major periods of California history or prehistory? X Discussion: The construction of public improvement projects listed in the Plan are not anticipated to substantially impact the plant and animal communities that presently exist in the Project Area. However, increased private development could occur due to construction of public improvements which could result in the removal of plant and animal species and habitat that could be impacted. b. Does the project have the potential to achieve short-term, to the disadvantage of long-term, environmental goals? (A short-term impact on the environment is one which occurs in a relatively brief, definitive period of time while long-term impacts will endure well into the future). X Discussion: The adoption of the Plan would allow the Agency the ability to assist the City in constructing needed public improvements which would achieve short-term Agency and City goals. However, the construction of the public improvements could encourage private development in the Project Area which could have long-term impacts extending into the future. c. Does the project have impacts which are individually limited, but cumulatively considerable? (A project may impact on two or more separate resources where the impact on each resource is relatively small, but where the effect of the total of those impacts on the environment is significant). X Discussion: The construction of some of the public improvement projects could cumulatively have environmental effects on the environment. The improvement of roadways, upgrading and/or extension of sewer and water lines, construction of storm drain facilities, etc. could encourage additional redevelopment in the Project Area. Should the construction of Agency sponsored improvement projects encourage additional development in the Project Area, the cumulative impacts that could occur with additional redevelopment could result in various types of cumulative environmental impacts. Ituf 0.00048 d. Does the project have environmental effects which will cause substantial adverse effects on human beings, either directly or indirectly? X Discussion: The construction of public works projects and improved public services in the Project Area should have positive effects an Project Area residents and the City. The construction Of street improvements, storm drain facilities, improved governmental services, etc. would reduce the adverse environmental effects that may currently exist for residents at this time and arc not anticipated to directly or indirectly affect human beings. Ill. Discussion of Environmental Evaluation (Narrative description of environmental impacts is provided above) IV. Determination On the basis of this initial evaluation: I find that the proposed project COULD NOT have a significant effect on the environment and a NEGATIVE DECLARATION will be prepared. I find that although the proposed project could have a significant effect on the environment, there will not be significant effect in this case because the mitigation measures described on an attached sheet have been added to the project. A NEGATIVE DECLARATION will be prepared. I find the proposed project MAY have a significant effect on the environment, and an ENVIRONMENTAL IMPACT REPORT is required. EJ il 14, 1993 A , 0 Date nat r e'of Preparer 21 00o049 78-105 CALLE ESTADO REDEVELOPMENT AGENCY MEETINGDATE: Apri120,1993 LA QUINTA, CALIFORNIA 92253 - (619) 564-2246 ITEM TITLE: Implementation Agreement between the Agency and Desert Sands Unified School District AGENDA CATEGORY: PUBLIC HEARING: BUSINESS SESSION CONSENT CALENDAR: STUDY SESSION: -3 X- SUMMARY: On July 5, 1989, the Agency entered into an agreement with the Desert Sands Unified School District ("District/Agency Agreement") that provided for the payment of tax increment revenue from Project Area No. 2 to the District. The attached Implementation Agreement provides a payment of $ 180,000 to the District which represents the first installment of Agency payments. This revenue will be used to pay certain water district fees that are associated with the District's construction of the new high school in La Quinta. FISCAL IWLICATIONS: This action would result in a payment of $180,000 to the District; payment of funds is required pursuant to the July 5, 1989 District/Agency Agreement. � 6 APPROVED BY: RECOMN[ENDATION: That the La Quinta Redevelopment Agency approve the Implementation Agreement., and the attached Resolution for the Agreement. Submitted by: Approved for submission to the Chair and members of the La Quinta Redevelopment Agency: Signature Thomas P. Genovese, Interim Executive Director ],.�WM.A MAILING ADDRESS - P.O. BOX 1504 - LA QUINTA, CALIFORNIA 92253 000050 78-105 CALLE ESTADO - LA QUINTA, CALIFORNIA 92253 - (619) 564-2246 DATE: April 20, 1993 TO: CHAIR AND MEMBERS OF THE AGENCY FROM: INTERIM EXECUTIVE DIRECTOR SUBJECT: IMPLEMENTATION AGREEMENT BETWEEN THE AGENCY AND DESERT SANDS UNIFIED SCHOOL DISTRICT ISSUES: On July 5, 1989, the Agency entered into an agreement with the Desert Sands Unified School District ("District/Agency Agreement") that provided for the payment of tax increment revenue from Project Area No. 2 to the District. This revenue is a portion of the tax increment revenue generated by the District's property tax levy. The attached Implementation Agreement provides a payment of $180,000 to the District which represents the first installment of Agency payments. This revenue will be used to pay certain water district fees that are associated with the District's construction of the new high school in La Quinta. BACKGROUND: The July 5, 1989 District/Agency Agreement was negotiated when the Agency was formulating Redevelopment Project Area No. 2. This Agreement provides for the Agency to retain 50 percent of the District's share of property tax increment revenue, and the payment of the remaining 50 percent share of District -generated revenue to the District for projects that would benefit Project Area No. 2. In order to receive this payment, the District/Agency Agreement provides that the District shall submit a formal request to receive ftinds; until such a request is received, the District/Agency Agreement provides that the Agency may retain these funds for use on non - District redevelopment projects. MAILING ADDRESS - P.O. BOX 15G4 - LA QUINTA, CALIFORNIA 92253 000051 Chair and Members of the Agency April 20, 1993 Page 2 ANALYSIS/FISCAL IMPACT: The attached Implementation Agreement provides for the first payment by the Agency to the District pursuant to the District/Agency Agreement. It provides that the Agency will pay a total of $180,000 by June 30, 1994 in two installments of $90,000 each. The funds will come from that portion of the tax increment revenue generated by the District's property tax levy, that the District/Agency Agreement requires the Agency to set aside for this purpose. RECOMMENDATION: That the Agency approve the Implementation Agreement by and between the Desert Sands Unified School District and the La Quints Redevelopment Agency, that will provide for the first pass -through payment to the District pursuant to the July 5, 1989 District/Agency Agreement. 1. 00005" 04—t'4-93 11:57AM ESYC&R Newport Beach CA P 0 6/07 RESOLUTION NO. A RESOLUTION OF THE LA QUINTA REDEVELOPMENT AGENCY AUTHORIZING EXECUTION OF AN AGREEMENT BY AND BETWEEN THE LA OUINTA REDEVELOPMENT AGENCY AND THE DESERT SANDS UNIFIED SCHOOL DISTRICT (REDEVELOPMENT PROJECT NOS. I AND 2) WHEREAS, the La Quints Redevelopment Agency ("Agency*) and the Desert Sands Unified School District ("District-) Previously entered into an Agreement dated as of July s, 1989 (the *District/Agency Agreement"), which provides for the Agency to make certain payments to the District; and WHEREAS, the Agency is in the process of implementing the Redevelopment Plan for the La Quinta Redevelopment Project ("PrOject No. 1�): and WHEREAS, the Agency is in the process of implementing the Redevelopment Plan for the La Quints Redevelopment Project No. 2 (-Project No. 20); and WHEREAS, the Agency is in the process Of Putting into place a merger (the "Merger") of Project No. I with Redevelopment Project No. 2; and WHEREAS, the Agency is prepared to continue the existing arrangement with the District, as generally set forth in the District/Agency Agreement; and WHEREAS, the District supports the District/Agency Agreement, Project No. 1, Project No. 2 and the Merger, Collectively (the "Projects"); and WHEREAS, the parties mutually desire to amend the District/Implementation Agreement as provided pursuant to the Implementation Agreement; NOW, THEREFORE, the LA QUINTA REDEVELOPMENT AGENCY DOES RESOLVE AS FOLLOWS: S%9IJIL2": The Agency finds that the payments as provided for in the Implementation Agreement are necessary to alleviate the financial burden or detriment of the District. Section 2: The Chairman and the Clerk of the Agency are authorized to execute the Implementation Agreement, and to cause payments to be made to the District pursuant to the Implementation Agreement. 00005� 04-14-93 11:58AM ESYC&R Newport Beach CA P07/07 ADOPTED this day of # 1993. ba Quint* Radev- Auency eTopment ATTEST: --l"CarY, ba Quinta Redevelopment Agency I hereby certify that the foregoing Resolution was duly and regularly adopted by the La Quints Redevelopment Agency at a regular Meeting thereof held on the day of * 1993, by the following vote; AYES: DIRECTORS, NOES- DIRECTORS: ABSENT: DIRECTORS: ABSTAIN: DIRECTORS: �Uv&eLdry, LA Quinta Redeve�lopment Agency 000054 04-14-93 02:32PM ESYC&R Newport Beach CA P02/03 IMPLEMENTATION AGREEMENT BY AND BETWEEN THE DESERT SANDS UNIFIED SCHOOL DISTRICT AND THE LA QUINTA REDEVELOPMENT AGENCY This Implementation Agreement ("Implementation Agreement") is entered into as of this _ day Of April, 1993 by and between the Desert Sands Unified School District ("District") and the La Quinta Redevelopment Agency ('Agency"). The City of La Quinta (OCity"), the District and the Agency agree as follows: WHEREAS, the AgenQy is in the process of implementing the Redevelopment Plan for the La Quinta Redevelopment Project (-Project No. I-); and WHEREAS, the Agency is in the process of implementing the Redevelopment Plan for the La Quinta Redevelopment Project No. 2 ("Project No. 2"); and WHEREAS, the Agency and the District have entered into an Agreement dated as of July 5, 1989 (the "DistriCt/Agency Agreement"), which provides for the Agency to make certain payments to the District; and WHEREAS, the Agency is in the process of putting into place a merger (the "Merger") of Project No, I with Redevelopment Project No. 2; and WHEREAS, the Agency is prepared to continue the existing arrangement with the District, as generally set forth in the DigtriCt/Agency Agreement; and WHEREAS, the District supports the District/Agancy Agreement, Project No. 1, Project No. 2 and the Merger, collectively (the "Projects"); and WHEREAS, the District and the Agency have a cooperative relationship which they desire to maintain; and WHEREAS, the parties desire to restate their support for the projects and the Agreement; NOW, THEREFORE, parties agree as follows; 1. As its payments to be made to the District pursuant to the DistriCt/Agency Agreement for the period of years ending with June 30, 1994, the Agency agrees to pay to the District the amount of Ninety Thousand Dollars ($90,000) on or before February 28, 1994, and Ninety Thousand Dollars ($90,000) on oT before February 28, 1995, such as the first anniversary of the initial payment date. 0 0 0055 04—,14-93 02:33PM ESYC&R Newport Beach CA P03/03 2. rn the event the duration of one or more of the Projects is modified, or if Project Nos. 1 and 2 are merged, the DistriCt/Agency Agreement shall remain in effect and will control as to all periods following the making of those payments provided for pursuant to Section I of this Agreement. The Agency shall thereafter make payments pursuant to the District/Agency Agreement throughout the term of the merged project. 3. The District Supports the Projects and will Participate by appearing in favor of the Merger during the process. Dated: Dated, DESERT SANDS UNIFIED SCHOOL DISTRICT BY: Dolores Ballesteros Superintendent LA QUINTA REDEVELOPMENT AGENCY UY: Thomas P. Genovese Interim Executive Director 000056 f)A/f)7/Q'2A Chair and Members of the Agency April 20, 1993 Page 2 ANALYSIS/FISCAL IMPACT: The attached Implementation Agreement provides for the first payment by the Agency to the District pursuant to the District/Agency Agreement. It provides that the Agency will pay a total of $180,000 by June 30, 1994 in two installments of $90,000 each. The funds will come from that portion of the tax increment revenue generated by the District's property tax levy, that the District/Agency Agreement requires the Agency to set aside for this purpose. RECOMMENDATION: That the Agency approve the Implementation Agreement by and between the Desert Sands Unified School District and the La Quinta Redevelopment Agency, that will provide for the first pass -through payment to the District pursuant to the July 5, 1989 District/Agency Agreement. 000057 78-105 CALLE ESTADO REDEVELOPMENT AGENCY MEETINGDATE: Apri120,1993 LA QUINTA, CALIFORNIA 92253 - M19) 564.2246 ITEM TITLE: Resolution making certain findings pertaining to the Coachella Valley Land Affordable Housing Agreement AGENDA CATEGORY: PUBLIC HEARING: BUSINESS SESSION: CONSENT CALENDAR: STUDY SESSION: -q-X-- SUMMARY: At the February 16, 1993 meeting, the Agency approved an Affordable Housing Agreement with Coachella Valley Land. This resolution makes certain findings pursuant to the California Community Redevelopment Law regarding this Agreement. FISCAL DAPLICATIONS: None. APPROVED BY: 7-0 RECOMMENDATION: That the La Quinta Redevelopment Agency adopt Resolution No. making certain findings pursuant to the Affordable Housing Agreement with Coachella Valley Land Company. Submitted by: Approved for submission to the Chair and members of the La Quinta Redevelopment Agency: Signature Thomas P. Genovese, Interim Executive Director 000056- ,—&N47"o..7 MAILING ADDRESS - P.O. BOX 1504 - LA QUINTA, CALIFORNIA 92253 78-105 CALLE ESTADO - LA QUINTA, CALIFORNIA 92253 - (619) 564-2246 DATE: April 20, 1993 TO: CHAIR AND MEMBERS OF THE AGENCY FROM: INTERIM EXECUTIVE DIRECTOR SUBJECT: RESOLUTION MAKING CERTAIN FINDINGS PERTAINING TO THF COACHELLA VALLEY LAND AFFORDABLE HOUSING AGREEMENT ISSUES: On February 16, 1993, the Agency approved an Affordable Housing Agreement ("AHA") with Coachella Valley Land. Agency legal counsel is requesting that the Agency adopt the attached resolution that makes certain findings pertaining to the AHA!s benefit to Project Area No. I and Project Area No. 2, and the need for the AHA to incorporate certain subordination clauses and remedies to facilitate first trust deed mortgage financing. BACKGROUND: The AHA provides certain Agency financial assistance to facilitate the sale of 10 single family dwellings to moderate income households, and the rental of 20 single family dwellings to very low and low income Section 8 households. Further, the AHA provides that certain affordability covenants and restrictions that the Agency must impose pursuant to the California Community Redevelopment Law are subordinated to provisions of existing or future first trust deed mortgage financings. The subordination is necessary because the existing first trust deed mortgages on the 20 rental units are FHA mortgages that prohibit the subordination of the first trust deed to any subsequent liens. Further, Coachella Valley Land is pursuing another FHA first trust deed mortgage program to facilitate the sale of the moderate income units to first-time home buyers; this FHA mortgage program also includes said subordination restrictions, 000050 MAILING ADDRESS - P.O. BOX 1504 - LA QUINTA, CALIFORNIA 92253 Chair and Members of the Agency Apri120,1993 Page 2 Section 3334.14 of the California Health and Safety Code (the California Community Redevelopment Law) provides that the covenants or restrictions imposed by the Agency pursuant to the funding of affordable housing programs may be subordinated if certain circumstances exist. These circumstances include a refusal to consent to the seniority of the Agency's covenant or restriction by federal or state agency; for this project, the F14A is refusing to consent to the seniority of the Agency's covenants or restrictions. However, Agency staff believes it is appropriate to subordinate the Agency's covenants and restrictions in order to implement the AHA. The reasons are as follows: • The 10 for -sale units will involve first-time home buyer FHA first trust deed mortgages that feature fixed -term interest rates of 61/2 to 7%� lower fixed rate, non -FHA mortgage funds cannot be secured in the current market. If the Agency were not to elect to subordinate the required covenants and restrictions, then Coachella Valley Land would be forced to secure fixed rate mortgages that may feature higher interest rates. Higher interest rates would lead to higher housing costs, and the need for greater Agency assistance, • The AHA and the recorded covenants for both the 10 for -sale units and the 20 rental units provide that the Agency may elect to exercise one or more of the following options in the event of a mortgage default on the part of a home buyer or Coachella Valley Land: - A right of the Agency to cure a default on the first trust deed loan. - A right of the Agency to negotiate a default remedy with the lender after notice of default from the lender. - A right of the Agency that prior to foreclosure of the first trust deed loan, the Agency may take title to the property and cure default on the loan, wherein the lender will not exercise any fight to accelerate the loan by selling the property. - A right of the Agency to purchase the property from the owner at any time after default on the first trust deed loan. The AHA will also increase the supply of affordable housing available to households within Project Areas No. I and No. 2 by increasing the supply of available units. The 10 for -sale units would otherwise be sold at market rates, which would feature monthly and annual housing costs that would exceed those prescribed in the California Community Redevelopment Law as affordable to moderate income households. The covenants and restrictions imposed by the ARA require that these units be sold and feature total housing costs that are affordable to moderate income households. Further, the 20 rental units would otherwise have been sold at current market prices. Current market for -sale prices vastly exceed the affordable housing costs for very low income households. The AHA provides Agency funding assistance that would allow Coachella Valley Land to rent these units to very low income households, at affordable rental rates, for a period of not less than 5 years. All of these units will increase the supply of affordable housing in both Project Areas, 000060 Chair and Members of the Agency April 20, 1993 Page 3 ANALYSISNISCAL IMPACT: None. RECOMMENDATIO : That the Agency adopt the attached resolution that makes certain findings pertaining to the AHA between the Agency and Coachella Valley Land. 000061 �-A� 04-16-93 01:34RIvi MSYC&R Newport Beach CA P 1 1 /* * RESOLUTION NO. A RESOLUTION OF THE LA QUINTA REDEVELOPMENT AGENCY MAKING CERTAIN FINDINGS IN CONNECTION WITH THE AFFORDABLE HOUSING AGRE M NT BY AND AMONG THE LA QUINTA REDEVELOPMENT AGENCY, COACHELLA VALLEY LAND, A CALIFORNIA LIMITED PARTNERSHIP AND WILLIAM J. CUSACX PERTAINING TO PROPERTY LOCATED WITHIN THE PROJECT AREA OF THE LA QUINTA REDEVELOPMENT PROJECT WHEREAS, the La Quints Redevelopment Agency (hereinafter referred to as the 'Agency-) under the provision of the California Community Redevelopment Law, is engaged in activities necessary for the execution of the Redevelopment Plan for the La Quints Redevelopment Project, as heretofore amended (hereinafter referred to as "Project No. 10); and WHEREAS, the Agency is further engaged in activities necessary for the execution of the Redevelopment Plan for Project No. 2 of the City of La Quints, as heretofore amended ("Project No. 20); and WHEREAS, COBChO118 Valley Land (the *POrtiCipant-), and William J. Cusack ("Owner*) as the owners of certain real property consisting of thirty (30) dwelling units located within the Project Area of in Project No. 1 (collectively, the 'Sites*) have entered into an Agreement (the *Affordable Housing Agreement- or -ARk-) with the Agency, pursuant to the Agency action taken by Resolution No. RA 93-1; and WHEREAS, pursuant to the Agreement, the Participant and Owner will cause twenty (20) of those dwelling units to be maintained available for rent at "Affordable Housing Cost" to Very Low Income households which qualify for Agency participation pursuant to Section 33334.2 of the California Health & Safety Code; and WHEREAS, the A)tA provides that certain covenants or restrictions imposed by the Agency pursuant to subdivision (e) of Section 33334.3 of the California Health and Safety Code may be subordinated as to the rental units in connection with conventional financing in that an economically feasible alternative method of financing, refinancing, or assisting the units on substantially comparable terms and conditions, but without subordination, is not reasonably available, and the AHA provides the Agency with the right to purchase the rental units; and 000062 04-16-93 Oi:35PM ESYC&R Newpotrt Beach CA P112/** WHEREAS. pursuant to the Agreement, the Participant and Owner will make tan (10) dwelling units available for sale to households having incomes not in excess of qualifying incomes (Moderate Income households) for affordable housing subject to long-term affordability covenants; WHEREAS, the AHA provides that certain covenants or restrictions imposed by the Agency pursuant to subdivision (e) of Section 33334.3 of the California Health and Safety Code may be subordinated as to the for -sale units in connection with conventional financing in that an economically feasible alternative method of financing, refinancing, or assisting the units or parcels on substantially comparable terms and conditions, but without subordination, Is not reasonably available; and WHEREAS, the provision of affordable housing is contemplated by Section 33334.2 and other provisions of the Community Redevelopment Law and promotes the objectives of the Redevelopment Plans for Project No, 1 and Project No. 2; and WHEREAS, the provision of affordable housing pursuant to the Agreement will benefit each of Project No. I and Project No. 2; NOW, THEREFORE, THE LA QUINTA REDEVELOPMENT AGENCY DOES RESOLVE AS FOLLOWS: Section 1: The Agency finds and determines that the use of Housing Funds pursuant to the Agreement will be of benefit to Project No. 1. section 2: The Agency finds and determines that the use of Housing Funds pursuant to the Agreement will be of benefit to Project No. 2. SArti2D_J: The Agency finds and determines, as to each of the rental units and the for -sale units that an economically feasible alternative method of financing, refinancing, or assisting the units or parcels on substantially comparable terms and 000063 03/02/93 - I - 04-15-93 01:35PM USYC&R Newpor'L Beach CA P 13/-/* conditions, but without subordination, is not reasonably available. AWPTED thin � day of 1293. 01 rftO Le Quinta Redevelopment Agency ATTEST: Secretary I hereby certify that the foregoing Resolution was duly and regularly adopted by the of La Quinta Redevelopment Agency at a regular meeting the — day of thereof held on following vote: 1993, by the AYES: NOES: ABSENT: ABSTAiN: .n -) 006 � Oiln-iza-i 01 f 'OF Tas REDEVELOPMENT AGENCY COUNCIL MEETING DATE: ITEM TITLE: Demand Register BACKGROUND: APRIL 20, 1993 Warrants 529 - 5331 FISCAL IMPLICATIONS: Demand of Cash $297,154.00 RECOMMENDATION: Approval of Demand Register Submitted by: Signature AGENDA CATEGORY: PUBLIC HEARING: BUSINESS SESSION: CONSENT CALENDAR: STUDY SESSION: $297,154.00 APPROVED BY: Approved for submission to City Council 1'1� Y� e TOM GENOVESE ACTING CITY MANAGER 000065 file: RDAWAM IS QUjntA RedWalop=nt AgOnCY Warrant Rogistar Da� ckt In ravor of Amunt Description 4/7/93 529 CASBIRANX OF AMERICA 100,000.00 �IxRls cgECE-GMUUUQ ESCROW 010-26326, #10-26305, 10-25306, 10-26307, 10-26308 4/14/93 530 Dl= ESCROW TRUST ACCOUNT 61,636.00 ESCROW #7313-OF 4/14/93 531 DIxjE ESCROW TRUST ACCOUNT 59,361.00 ESCROW #7369-CY 4/14/93 532 DIXIE ESCROW MUST ACCOUNT 38,091.00 ESCROW #7362-� 4/14/93 533 DME ESCROW TRUST ACCOUNT 38,066.00 --------------- ESCROW 07516-CY Grand T0tnl W�r&ot- $ 297,154.00 000066