7/23/13. CITY OF ALAMEDA Memorandum. Honorable Mayor and Members of the City Council. John A. Russo City Manager. From: Date: July 23, 2013

Transcription

1 CITY OF ALAMEDA Memorandum To: From: Honorable Mayor and Members of the City Council John A. Russo City Manager Date: July 23, 2013 Re: Adopt a Resolution Authorizing the Commencement of Proceedings for the Formation of a Community Facilities District, Designating Consultants, Approving an Acquisition Agreement and Authorizing and Directing Certain Related Actions With Respect Thereto - Alameda Landing BACKGROUND The City of Alameda is a party to various agreements related to the development of the Alameda Landing project. Under those agreements, the City has agreed with Catellus Alameda Development, LLC (the "Developer") that it would cooperate with the Developer in the formation of a community facilities district (CFD), when requested by the Developer, to finance various public infrastructure improvements necessitated by development occurring as part of the Alameda Landing project. The Developer has now requested that a community facilities district be formed. DISCUSSION On December 5, 2006, in connection with the development of Alameda Landing, the former Community Improvement Commission of the City of Alameda (CIG) entered into.a Disposition and Development Agreement (Alameda Landing Mixed Use Project) with Palmtree Acquisition Corporation (Palmtree). On January 2, 2007, the City entered into a Development Agreement (Alameda Landing Mixed Use Residential Project) with Palmtree, and on January 16, 2007, the City entered into a Development Agreement (Alameda Landing Mixed Use Commercial Project) with Palmtree (such agreements are collectively referred to below as the Development Agreements). Under and pursuant to State law related to the mandatory dissolution of all California redevelopment agencies, the City is the successor agency to the CIC, and Catellus Alameda Development, LLC (Developer) is the successor to Palmtree under the Development Agreements. In the time since the Development Agreements were executed, the City has been working with the Developer to ensure that the development of the Alameda Landing project occurs in compliance with the requirements of the Development Agreements. The City agreed in the Development Agreements that it would cooperate with the Developer in the formation of a CFD as and when requested by the Developer in order to finance public infrastructure improvements incident to the development of the land to which the Development Agreements pertain. A CFD is a defined geographic area in which the City is authorized to levy annual special taxes to be used to either finance Agenda Council Item #6-F 7/23/13

2 Honorable Mayor and Members of the City Council July 23,2013 Page 2 of 3 directly the costs of specified public improvements or to pay debt service on bonds issued to finance the public improvements, as well as to pay costs of administration of the CFD. In this case, all or a portion of the planned residential and commercial areas within the Alameda Landing project may be included in the CFD, as determined by the Developer. The Developer has now requested that the City commence the proceedings to form a CFD for the Alameda Landing project. In that regard, and in order to begin the process, staff recommends that the City Council now adopt a resolution directing staff to take the actions needed to present to the City Council for its review and approval the proceedings needed to form the CFD. Moreover, City staff has been working with various consultants and representatives of the Developer to determine the facilities that will be eligible to be financed by the proposed CFD, and the process by which the City would use CFD funds to pay for the facilities when constructed by the Developer. There has now been prepared an Acquisition Agreement (on file with the City Clerk's office) that sets forth the expected facilities to be financed and the manner in which they must be constructed to comply with relevant State law and City requirements (including compliance with all applicable City bidding and prevailing wage requirements). City Council approval of the Acquisition Agreement is necessary for the Developer to move forward with the construction of the public improvements while the City forms the CFD. The proposed resolution also designates the consultants required to assist the City in forming the CFD and issuing bonds, as well as preparing and implementing of the Acquisition Agreement. Those consultants include the firm of Harris & Associates to assist in matters related to the Acquisition Agreement, and the firms of NBS and Quint & Thimmig LLP to assist in the forming of the CFD and with the issuing of any bonds. For those consultants not already under contract with the City for their services, the resolution authorizes the City Attorney or City Manager to execute agreements with the firms in forms acceptable to the City Manager following consultation with the City Attorney. FINANCIAL IMPACT There is no impact on the General Fund to forming an Alameda Landing CFD. All costs related to the formation of the CFD are being paid by the Developer in connection with its obligations under the Development Agreements, or will be paid from the proceeds of bonds that the City may issue for the CFD. The annual costs to administer the CFD and any bonds issued for the community facilities district will be paid for from annual special taxes levied on property included within the boundaries of the CFD, which will include only land within the Alameda Landing project.

3 Honorable Mayor and Members of the City Council July 23, 2013 Page 3 of 3 MUNICIPAL CODE/POLICY DOCUMENT CROSS REFERENCE The Municipal Code currently contains, in Section 3-70, the City of Alameda Special Tax Financing Improvement Code pursuant to which the proposed community facilities district will be formed. ENVIRONMENTAL REVIEW On December 5,2006, the City Council certified the Final Environmental Impact Report for the Alameda Landing Mixed Use Development project (a Supplement to the 2000 Catellus Mixed-Use Development Project EIR) in accordance with the California Environmental Quality Act (CEQA) (State Clearinghouse # ). The City approved two Addenda to the 2006 SEIR in 2007 and On January 9, 2012, the Planning Board approved a Third Addendum to the 2006 SEIR. RECOMMENDATION Adopt a resolution authorizing the commencement of proceedings for the formation of a community facilities district, designating consultants, approving an Acquisition Agreement and authorizing and directing certain related actions with respect thereto - Alameda Landing. Respectfully submitted, Financial Impact section reviewed, Fred Marsh Finance Director Exhibit: 1. Acquisition Agreement - on file with the City Clerk's office

4 CITY OF ALAMEDA RESOLUTION NO. rl c... $ ~ U ~~~"~",'~,I '~ $, ~... AUTHORIZING THE COMMENCEMENT OF PROCEEDINGS FOR THE FORMATION OF A COMMUNITY FACILITIES DISTRICT, DESIGNATING CONSULTANTS, APPROVING AN ACQUISITION AGREEMENT AND AUTHORIZING AND DIRECTING CERTAIN RELATED ACTIONS WITH RESPECT THERETO - ALAMEDA LANDING J;:::\ -, -;r :J WHEREAS, the Community Improvement Commission of the City of Alameda (the "CIC") has entered into a Disposition and Development Agreement (Alameda Landing Mixed Use Project) with Palmtree Acquisition Corporation ("Palmtree"), dated as of December 5, 2006, the City of Alameda (the "City") has entered into a Development Agreement (Alameda Landing Mixed Use Residential Project) with Palmtree, dated as of January 2, 2007, and the City has entered into a Development Agreement (Alameda Landing Mixed Use Commercial Project) with Palmtree, dated as of January 16, 2007 (collectively, and as each such agreement has been amended and is in effect on the date hereof, the "Development Agreements"); and WHEREAS, under and pursuant the State law related to the dissolution of redevelopment agencies, the City is the successor agency to the CIC; and WHEREAS, Catellus Alameda Development, LLC (the "Developer") is the successor to Palmtree under the Development Agreements; and WHEREAS, the City has agreed in the Development Agreements to cooperate with the Developer in the formation of a community facilities district as and when requested by the Developer in order to finance infrastructure improvements incident to the development of the land to which the Development Agreements pertain (the "Alameda Landing Area"); and WHEREAS, the Developer has requested that the City commence the proceedings to form a community facilities district; and WHEREAS, the City Council now desires to direct City staff to take the actions necessary to present to the City Council the resolutions and other documents needed to form a community facilities district to include all or a portion of the Alameda Landing Area, to designate the consultants needed to assist the City in the formation of the community facilities district, and to approve and authorize the execution and delivery by the City of an Acquisition Agreement with the Developer related to the construction by the Developer, and funding by the community facilities district, of infrastructure improvements, all as contemplated by the Development Agreements. that: NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Alameda 1. City staff are hereby authorized and directed to take all actions necessary or advisable to present to the City Council for its review and approval all proceedings necessary to create a community facilities district and issue bonds of the City therefor, as requested by the Developer and as contemplated by the Development Agreements. Resolution #6-F

5 However, the passage of this Resolution shall in no way obligate the City Council to form any community facilities district or issue bonds of the City for any community facilities district on terms other than as are fully acceptable to the City Council consistent with the provisions of the Development Agreements and applicable law. 2. The Acquisition Agreement, in the form on file with the City Clerk, is hereby approved. The City Manager is hereby authorized to execute and deliver the Acquisition Agreement in said form, with such additions thereto or changes therein as the City Manager, upon consultation with the Public Works Director, the City Attorney and Bond Counsel, shall deem necessary, desirable or appropriate, the approval of such additions or changes to be conclusively evidenced by the execution and delivery by the City Manager of the Acquisition Agreement. 3. The firm of Harris & Associates is hereby designated as engineering consultant to the City with respect to the facilities to be funded by the community facilities district and the preparation and implementation of the Acquisition Agreement. The firm of NBS is hereby designated as special tax consultant to assist the City in the formation of the community facilities district. The firm of Quint & Thimmig LLP is hereby designated as bond counsel and disclosure counsel to assist the City with the formation of the community facilities district and the issuance of bonds of the City for the community facilities district. To the extent the City does not already have contracts with said firms for their services, the City Manager or City Attorney is hereby authorized and directed to execute agreements with said firms for their services, each in a form acceptable to the City Attorney or the City Manager upon consultation with the City Attorney. 4. The Mayor, the City Manager, the Public Works Director, the City Controller, the Community Development Director, the City Attorney, the City Clerk and all other appropriate officials of the City are hereby authorized and directed to take all actions necessary or advisable in furtherance of the purposes of this Resolution. 5. This Resolution shall take effect upon its adoption. * * * * * * * I, the undersigned, hereby certify that the foregoing Resolution was duly and regularly adopted and passed by the Council of the City of Alameda in a special meeting assembled on the 23 rd day of July, 2013, by the following vote to wit: AYES: NOES: ABSENT: ABSTENTIONS: -2-

6 IN WITNESS, WHEREOF, I have hereunto set my hand and affixed the official seal of said City this 24th day of July, Lara Weisiger, City Clerk City of Alameda -3-