Agenda Date: 3/17/15
Subject:
Title
A Resolution denying a substantial modification to the "Santa Fe Urban Renewal Plan"
Body
Presented By: |
Jim Rees, Executive Director of LIFT |
POLICY QUESTION:
Does city council support the recommendation of LIFT to not approve the pending substantial modification to the Santa Fe Urban Renewal Plan?
BACKGROUND:
At the February 17, 2015 Council meeting, LIFT requested that Council amend the Santa Fe Urban Renewal Plan to commence the time frame for the use of the tax increment financing for the entire URA for 25 years. The City Council did not take final action at the meeting and tabled the vote until March 17, 2015. On March 3, 2015, a ballot issue was approved by the voters that would require a substantial modification involving tax increment financing be submitted for approval of the registered electors. Since the proposed substantial modification would require a vote by the electorate and the cost to hold a special election would be substantial along with the fact that there is no impending development proposal located outside TIF Area 1 at this time, LIFT does not believe the plan should be amended at this time.
STAFF ANALYSIS:
Since there are no impending development proposal being considered by LIFT outside of TIF Area 1, it would be premature to start the 25 year tax increment clock at this time. An amendment will need to be considered at a future date when a development has justified the need for tax increment financing. At that time, if Council agrees with the recommendation to grant TIF for a development area, then an election can be scheduled to allow the use of tax increments in the area being considered.
FISCAL IMPACTS:
By approving the resolution denying a substantial modification, the need to hold a special election to consider the inclusion of tax increment financing will be avoided.
STAFF RECOMMENDATION:
Staff recommends that Council approve the resolution denying a substantial modification to the Santa Fe Urban Renewal Plan that was continued from the February 17, 2015 City Council meeting.
PROPOSED MOTION:
Proposed Motion
I move to approve the resolution denying a substantial modification to the "Santa Fe Urban Renewal Plan."