OSURE OF PRINGLE CREEK URBAN RENEWAL PLAN

Transcription

1 FUTURE REPORT: September 24, 2012 FOR COUNCIL MEETING OF: October AGENDA ITEM NO.: 8.1 (~) October 22, (a) SUBJECT: OSURE OF PRINGLE CREEK URBAN RENEWAL PLAN ISSUE: Shall the City Council hold a public hearing on October 22, 2012, to consider Ordinance No to terminate the Pringle Creek Urban Renewal Plan and then advance to second reading for enactment? RECOMMENDATION: Staff recommends the City Council hold a public hearing on October 22, 2012, to consider Ordinance No , to terminate the Pringle Creek Urban Renewal Plan (Plan), and then advance to second reading for enactment. BACKGROUND: The Pringle Creek Urban Renewal Area (Area) was created in December 1971 and amended eleven times over the life of the Plan (Map Attachment A). The primary objective of the Plan was to eliminate blight by improving the overall appearance, condition, and function within the URA. Projects in the Plan included: eliminating substandard structures; removing blighting influences or incompatible land uses; providing land to facilitate expansion and development for public agencies, major institutions and private sector developments; while preserving and enhancing the natural greenbelt along existing waterways for public use. The Area encompasses approximately 80 acres located southeast of Salem's downtown core. Over the last 40 years, the Agency has spent nearly $20 million to carry out the projects in the Plan. Major projects included acquiring land, and preparing the sites, then soliciting redevelopment opportunities such as SAIF and North bank Plaza, while supporting the growth ofwillamette University to the east. Property was acquired to develop a portion of Pringle Parkway, the Mill Race Plaza, and the walkways along the three enhanced creeks running through the area from Commercial Street east to the bridge just south of Winter Street. New building design guidelines, extensive landscaping, interpretive signs, and public art set a new image for the area Closing Pringle - Future Report Page 1 of 3 September 24, 2012

2 that was previously comprised of industrial, commercial uses, and some residential units, where creeks were contained or covered by concrete. Before and after photos are available at this link: ments/pringleaccomplishments.pdf The Urban Renewal Agency paid for, or participated in, the construction of the Salem Public Library's expansion and parking garage; reconstruction of Mirror Pond; a portion of Robert Lindsay Tower Senior Apartments (owned and operated by Salem Housing Authority); the Salmon Run Mixed-Use development along Pringle Creek; the 295 Church Street mixed use project; Pringle Community Hall restoration in Pringle Park; streetlight conversions, and bus stops and streetscape improvements throughout the Area. FACTS AND FINDINGS: On September 10, 2012, the Agency Board adopted Resolution No URA to formally close the Plan (Attachment B). A complete copy of the Plan is available at this link: ments/pc-pian-june-2011.pdf. Although the Plan does not require Neighborhood Association action, on September 20, 2012, staff noticed the Central Area Neighborhood Development Organization and the South Central Association of Neighbors, the two neighborhoods in the Area, of the Public Hearing planned for October 22, 2012, to terminate the Plan. Staff offered to answer any questions regarding the proposed termination; however, no comments or questions were received as of the date of this report. On September 20, 2012, the affected taxing districts of Marion County, Salem Area Mass Transit District, Salem/Keizer Public Schools, Chemeketa Community College, Willamette Education Service District, City of Salem, and the Marion County Soil and Water District were noticed of the Council Public Hearing scheduled for October 22, 2012, (Attachment C). Staff offered to meet with them, but as of the date of this report, no comments were received. Impact to Taxing Districts The Plan has accomplished its main purpose of improving the Area. In 1971 the assessed value was $18,977,000. As of April 2012 the assessed value was $73,766,630, with a Real Market value of just under $108,945,000. All property within the Area has been returned to the general tax rolls, as tax increment collection from within the Area was discontinued in FY The Agency received its last tax increment revenue in the form of prior years' past due tax payments in FY , and the last tax increment bonds issued for the Area were fully repaid in August of Closing Pringle- Future Report Page 2 of 3 September 24, 2012

3 On September 10, 2012, the Agency Board passed Resolution 12-5 to initiate termination of the Plan. There is no outstanding bonded indebtedness, and the closing date of December 30, 2011, has passed. Should Council terminate the Plan, staff will record the ordinance formally closing the Plan with the Marion County Clerk. Any funds remaining in the Area at the time of closing will be turned over to the Marion County Treasurer to reallocate it the eight taxing jurisdictions as required by Oregon Revised Statute The Area has approximately $4,915 as of the end of this August. A final financial report will then be filed with the State. Attachment A: Map Attachment B: Resolution 12-5 URA Attachment C: Sample Taxing Jurisdiction Notice Report Prepared By: Jill Corcoran, Project Coordinator G:IURBANDEV\ADMINISTRATION\Final Council Staff Reports\2012\Sep 24\Pringle Futurelfuture rpt.docx Closing Pringle -Future Report Page 3 of3 September 24, 2012

4 City of Salem Pringle Creek Urban Renewal Area Established: December 1971 Acreage: 81.1 Acres Map Legend C Pringle Creek Urban Renewal Area Boundary ~Water Creek\URA_Pringle_Creek_b-w02.mxd ATTACHMENT A

5 RESOLUTION NO, 12-5 URA A RESOLUTION INITIATING THE TERMINATION OF THE PRINGLE CREEK URBAN RENEWAL PLAN Whereas, the Pringle Creek Urban Renewal Area (Area) was established with the adoption of the Pringle Creek Urban Renewal Area Plan (the Plan) on December 31, 1971, under the provisions of the Oregon Revised Statutes Chapter 457; and Whereas, the primary objective of the creation of the Area and adoption of the Plan was to eliminate blight by improving the overall appearance, condition, and function within the Area; and Whereas, the Plan was most recently amended June 27, 2011 to change the closing date in Section 800 (C) from December 30,2016 to December 30, 2011; and Whe1 eas, the Plan objectives have been met and projects within the Plan have been completed; and Whereas, the effective period of the Plan expired December 30, 2011; NOW, THEREFORE, THE BOARD OF THE URBAN RENEWAL AGENCY OF THE CITY OF SALEM, OREGON RESOLVES AS FOLLOWS: Section 1. The Pringle Urban Renewal Area is hereby declared to be complete; and except for non-discrimination provisions prohibiting the sale, lease, use or occupancy of propetty to be restricted upon the basis of race, religion, color, sex, or nation origin; and except as the proceeds of that certain loan commonly known as "The Salmon Run Loan" assigned to the City of Salem are encumbered as to their expenditure for pmposes set forth in the Plan, the Plan shall be terminated upon approval of such tetmination by the City Council of the City of Salem, as provided in Section 2 of this resolution. Section 2. This resolution is hereby refened to the City Council of the City of Salem for approval oftermination ofthe Plan by ordinance. ADOPTED by the Urban Renewal Agency Board this 10' 11 day of September, ATTEST: j{~vtj~ Clerk of the Agency Approved by City Attomey:~ Checked by: J. Corcoran c:\docum~l\rtosh\locals~l\lemp\xpgrpwise\ pringle creek ura tctminntion rcso 12-5 ura.docx I ATTACHMENT B

6 URBAN RENEWAL AGENCY OF THE CITY OF SALEM, OREGON September 20, 2012 Mr. John Lattimer, Chief Admin. Officer Marion County Commission PO Box Salem, OR RE: Termination of Pringle Urban Renewal Plan Dear Mr. Lattimer: This letter is to convey notice of a public hearing regarding the termination of the Pringle Creek Urban Renewal Plan (Plan). Your organization is receiving these documents as an affected Marion County taxing district. Please note the Pringle Creek Urban Renewal Area no longer collects any tax increment. If approved, the current schedule would close the Plan by the end of this calendar year. A public hearing has been scheduled for comment to the City Council on October 22"d to consider terminating the Plan. I would be pleased to attend a meeting to answer questions you may have. You may reach me at or jlcorcoran@cityofsalem.net. Thank you for the important services you provide to Salem. Sincerely, Jill Corcoran Project Coordinator Exhibit A: Notice URBAN DEVELOPMENT DEPARTMENT 350 Commercial St. NE I Salem, OR I I FAX ATTACHMENT C

7 Exhibit A TERMINATING PRINGLE CREEK URBAN RENEWAL AREA The Pringle Creek Urban Renewal Area (PCURA) was created in December 1971 under Oregon Revised Statutes Chapter 457. The primary objective of the Pringle Creek Urban Renewal Plan (Plan) was to eliminate blight by improving the overall appearance, condition, and function within the area. Projects included: eliminating substandard structures; removing blighting influences or incompatible land uses; providing land to facilitate expansion and development for public agencies, major institutions as well as private sector developments; and preserving and enhancing the natural greenbelt along existing waterways for public use. The PCURA is approximately 80 acres located southeast of Salem's downtown core area. The Urban Renewal Agency (Agency) has spent nearly $20 million to carry out the projects in the Plan. Major projects included acquiring land, preparing the sites, and soliciting redevelopment opportunities such as SAIF and Northbank Plaza, while supporting the growth of Willamette University to the east. Property was acquired to develop a portion of Pringle Parkway, Mill Race Plaza, and the walkways along the three enhanced creeks running through the area from Commercial Street to the bridge just south of Winter Street. New building design guidelines, extensive landscaping, interpretive signs, and public art set a new image for the area previously containing industrial, commercial, and some residential units where creeks were contained or covered by concrete. A link to the map of the Area with before and after photos is available here. The Agency also paid for, or participated in, the construction of the Salem Public Library and parking expansion; Windows to the West parking lot; reconstruction of Mirror Pond; Peace Plaza; Lindsay Tower Senior Apartments; Pringle Community Hall restoration; the 295 Church Street SE and Salmon Run mixed use projects. Tax increment funds were used for streetscape improvements, including street light conversions, the stairwell connection up to Liberty Street from pathways, and some bus stop improvements. The Plan accomplished its purpose of improving the area. In 1971 the assessed value was $18,977,000, and in 2012 it rose to $73,766,630, with a Real Market value of just under $108,945,000. Tax increment collection from within the PCURA was discontinued in FY The Agency received its last tax increment revenue in the form of prior years' past due tax payments in FY , and the last tax increment bonds issued for the URA were fully repaid in August On September 10, 2012, the Agency Board directed staff to begin the process of terminating the PCURA since its closing date has passed. Proceeds of a Salmon Run Loan have been assigned to the City. As of August 31, 2012, there was $4,915 in PCURA's fund balance. These funds will be used to close the Area. Any funds remaining after the Plan is terminated, will be turned over to the Marion County Assessor for distribution to the eight taxing jurisdictions. A public hearing is scheduled for October 22, 2012 in Council Chambers, located in the Civic Center, 555 Liberty Street SE in Salem for City Council to receive comments. G:\URBANDEV\REVITALIZAT!ON\Pringle Creek URA\Ciosing URA\Ciosing\Notice to TJ & NA 9_20_12\CLOSING Notice Rpt.doc

8 1 ORDINANCE BILL NO October 8, (a) October 22, (a) 2 AN ORDINANCE RELATING TO URBAN DEVELOPMENT; DECLARING THE 3 EXPIRATION AND TERMINATING THE PRINGLE CREEK URBAN RENEWAL PLAN 4 The City of Salem ordains as follows: 5 Section 1. Findings. 6 (a) On December 30, 1971, Salem City Council adopted the Pringle Creek Urban 7 Renewal Plan (Plan). The Plan is an urban renewal plan prepared and adopted pursuant to 8 the provisions of Oregon Revised Statures (ORS) Chapter 457. The primary objectives 9 of the Plan were to improve the overall appearance, condition, and function of the Pringle 10 Creek Urban Renewal Area (Area). The objectives were reached through increasing the 11 housing supply, developing green belts, providing sites for public agencies, preventing 12 fragmentation of core area retailing activity, increasing off street parking spaces, and 13 relieving traffic congestion. 14 (b) Section 800(C) of the Plan provides that the provisions and requirements contained 15 in the Plan shall be in effect through December 30, 2011, except that the non- 16 discrimination provisions shall be in effect in perpetuity. 17 (c) On September 10,2012, the Board of the Urban Renewal Agency of the City of 18 Salem adopted Resolution No URA transferring all assests of the Plan to the City 19 of Salem, terminating all Plan provisions, except for non-discrimination provisions 20 prohibiting cliscrimination based upon race, religion, color, sex, or nation origin in the 21 sale, lease, use or occupancy of property, and referring the resolution to the City Council 22 for approval of the termination, and except the proceeds of that certain loan commonly 23 known as "The Salmon Rnn Loan" assigned to the City of Salem are encumbered as to 24 their expenditure for purposes set forth in the Plan, the Plan shall be terminated upon 25 approval of such termination by the City Council of the City of Salem, as provided in 26 Section 3 of this ordinance. 27 Section 2. The City of Salem hereby accepts assignment of all Plan assets. 28 Section 3. The Pringle Creek Urban Renewal Plan is hereby terminated, such termination to be 29 retroactive to the expiration date of the Plan. 30 ORDINANCE Page 1 COUNCIL OF THE CITY OF SALEM, OREGON

9 1 Section 4. Severability. Each section of this ordinance, and any part thereof, is severable, and 2 if any part of this ordinance is held invalid by a court of competent jurisdiction, the remainder of 3 this ordinance shall remain in full force and effect. 4 PASSED by the City Council this day of, ATTEST: City Recorder Approved by City Attomey:_j(/L~~{k~~l 11 Checked by: J. Corcoran 12 g:\group\legall\council\2012\ pringle creek urban renewal plan tennination ord 28-l2.doc ORDINANCE Page 2 COUNCIL OF THE CITY OF SALEM, OREGON