Fort Walton Beach Council agenda — 04-10-12 cra — reading text

formform ofof indebtedness;indebtedness; AllAll expensesexpenses incidentalincidental toto oror connectedconnected withwith thethe issuance,issuance, sale,sale, redemption,redemption, retirement,retirement, oror purchasepurchase ofof allall bonds,bonds, bondbond anticipationanticipation notes,notes, oror otherother formform ofof indebtedness,indebtedness, includingincluding 20122012 CommunityCommunity RedevelopmentRedevelopment PlanPlan PacketPacket Pg.Pg. 2929  8. 1. a funding of any reserve, redemption, or other fund or account provided for in the ordinance or resolution authorizing such bonds, notes, or other form of indebtedness; The development of affordable housing within the CRA; The development of community policing innovations; At the end of each fiscal year of the CRA, any funds that remain in the Redevelopment Trust Fund after the payment of expenses for the fiscal year shall be: Returned to each taxing authority which paid the increment in the proportion that the amount of the payment of such taxing authority bears to the total amount paid into the Trust Fund by all taxing authorities for that year; Used to reduce the amount of any indebtedness to which TIF revenues are pledged; Deposited into an escrow account for the purposes of later reducing any indebtedness to which TIF revenues are pledged; or Appropriated to a specific redevelopment project pursuant to an approved CRA Plan that will be completed within three ( 3) years from the date of such appropriation. 2. 3 The Fort Walton Beach CRA TIF Fund The original Fort Walton Beach Redevelopment Trust Fund began with a base year assessed value of $15, 309, 825 in FY 1980 -81. At the time of the CRA expansion in FY 1999 -2000, the assessed value of the original CRA area had increased to $ 75, 326, 886, an increase of 60, 017, 061. The projected assessed value of the original CRA area in FY 2011 - 12 is 163, 380, 136, and increase of $ 148, 070, 311. The highest assessed value of the original CRA area occurred in FY 2008 -09, when the assessed value reached $ 203, 719, 445. The economic downturn began in the original CRA area in FY 2009 -10 and has decreased in assessed value each year since. Assessed value within original CRA boundaries FY 1980 -81 FY 1999 -00 FY 2008 -09 FY 2011- 12 projected) M 2012 Community Redevelopment Plan Packet Pg. 30  8. 1. a The base year assessed value of the expanded area of the Fort Walton Beach CRA is 37, 439, 782 in FY 1999 -00. The projected assessed value of the expanded portion of the CRA in FY 2011 - 12 is $ 75, 810, 333, an increase of $38, 370, 551. The highest assessed value of the expanded portion of the CRA area occurred in FY 2007 -08, when the assessed value reached 111, 800,011. The economic downturn began in the expanded CRA area in FY 2008 -09 and has decreased in assessed value each year since at a higher rate than the original CRA area. Assessed value within expanded CRA boundaries 110, 000, 000 100, 000, 000 60, 000, 0o0 60, 000, 000 i ®b Assessed Value p 40, 000, 000 20, 000, 000 0 o m m4 m m N N p LL LL LL d The TIF revenues of the CRA after the expansion in 1998 steadily increased until capping out in FY 2007 -08 and FY 2008 -09. Since FY 2008 -09, there has been a steady decrease in the TIF revenues due to the economic downturn. 17 2012 Community Redevelopment Plan Packet Pg. 31  alit The revenue collected in the Redevelopment Trust Fund is reinvested into the CRA within the guidelines established by the Community Redevelopment Act and in accordance with the goals and objectives set forth in the CRA Plan. The increment is determined annually and is equal to 95 percent of the difference between: a) The amount of ad valorem lazes levied each year by each taxing authority, exclusive of any amount from any debt service millage, on taxable real property contained within the geographic boundaries of a community redevelopment area; and b) The amount of ad valorem taxes which would have been produced by the rate upon m which the tax is levied each year by or for each taxing authority, exclusive of any debt ' service millage, upon the total of the assessed value of the taxable real property in the n community redevelopment area as shown upon the most recent assessment roll used in connection with the taxation of such property by each taxing authority prior to the m a effective date of the ordinance providing for the funding of the trust fund. 2. 4 Hie CRA Budget Process UNO N Budget development begins early each year, usually in February or March. Each year, CRA staff begins to develop and compile an annual plan of programs and projects that meet the goals of the e Community Redevelopment Area Plan. During this time, the City will solicit participation from = residents and businesses located within the boundaries of the CRA. This is the opportunity each year for the public to contribute to the development of the CRA budget and provide valuable input on CRA programs and projects. Budget items must be consistent with the goals and ' m objectives of the CRA Plan and be consistent with the overall mission of the Community LL Redevelopment Area. For this reason, all submission, requests, and staff generated budget items A n must be evaluated against the primary purpose of the CRA, which is to eliminate blight and slum. More specifically, programs and projects focus on three general areas as identified in the Florida Statutes: 1. Encouraging private enterprise. This shall include the consideration of certain development and job creation incentives as well as the acquisition and transfer of real property in the CRA in order to promote revitalization and redevelopment ( Sections 163. 345, 163. 370, and 163. 380, F. S.). 2. Installation of necessary public improvements. This shall include installation, construction, or reconstruction of streets, utilities, parks, playgrounds, and other public areas as well as famishing and repair of these facilities ( Section 163. 370( e)( 3), F. S.) 3. Provision of affordable housing. This shall include the acquisition of property, demolition/ removal of buildings and improvements, transfer of property, and other 18 2012 Community Redevelopment Plan Packet Pg. 32  8. 1. a activities for purposes of meeting the housing goals and objectives of the CRA Plan Section 163. 370, F. S.). Once developed, the draft annual budget will be submitted to the Community Redevelopment Agency Board of Commissioners in April or May and finalized in June or July. The CRA Board and City Council will then adopt the final budget in September for the fiscal year of October 1" through September 30's. CRA expenditures must be balanced with CRA revenues each year. z1 ... A Fort V 'P Ch CRA Bu January February Budget Development Begins Public Input March Sought April Draft Programs and Project presented to CPA Board May June Annual Budget presented to CRA Board July August Annual Budget Finalized Fiscal Year Ends September Annual Budget Adopted September 30 October November Fiscal Year Begins October I` December The Fort Walton Beach CRA is a tool which will benefit not only those in the blighted area, but the community as a whole. Throughout the budget process it is essential to remain focused on the primary function of the CRA, and to ensure that CRA goals and objectives are being met, at least in part, in every project or program. The remainder of this document will describe the goals, objectives, and strategies of the Fort Walton Beach CRA in more detail. 19 2012 Community Redevelopment Plan Packet Pg. 33  8. 1. a Goals, Objectives, & Strategies