CDC - 2010-16 - Apprpriating $280, 000 for Expenditure ChangesRESOLUTION NO. 2010-16
A RESOLUTION OF THE ROSEMEAD COMMUNITY DEVELOPMENT
COMMISSION, ROSEMEAD, CALIFORNIA APPROPRIATING $280,000 FOR
EXPENDITURE CHANGES
Whereas, the FY 2009-10 budget was passed and adopted by the
Community Development Commission on June 23, 2009; and
Whereas, appropriations are the legal authority for redevelopment
agencies to spend; and
Whereas, as program and project plans change throughout the year,
specific appropriations need to be amended to accommodate the changes; and
Therefore, the following list amends the original budget to authorize
spending for newly identified projects and program needs as well as
implementation of inter-fund transfers:
Increase/
Fund Organization Account Description (Decrease)
APPROPRIATIONS
CDC
Cap Proj 4720 8995 Transfer to City Capital Projects Fund
Total CDC Capital Projects Fund
Total appropriations
FUNDING SOURCE (MEMO)
CDC
Cap Proj Fund Balance (2006A bond procceds)
280,000
•280,000
$280,000
280,000
(Signatures on next page)
PASSED, APPROVED AND ADOPTED this 11th day of May 2010.
G TAYLOR
CHAIRMAN
ATTEST:
\o~1t!, U~, I9
GLORIA MOLLEDA
COMMISSION SECRETARY
APPROVE AS TO FORM:
JOSEPH M. MONTES
COMMISSION ATTORNEY
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) SS.
CITY OF ROSEMEAD )
I, Gloria Molleda, Commission Secretary of the City of Rosemead, do hereby certify that the
foregoing Resolution No. 2010.16 being: ,
A RESOLUTION OF THE ROSEMEAD COMMUNITY DEVELOPMENT COMMISSION ,
ROSEMEAD, CALIFORNIA APPROPRIATING $280,000 FOR EXPENDITURE
CHANGES
was duly and regularly approved and adopted by the Rosemead Community Development
Commission on the 11th of May, 2010, by the following vote to wit:
Yes: Armenta, Clark, Low, Ly,
No: Taylor
Abstain: None
Absent: None
Gloria Molleda
Commission Secretary
ROSEMEAD CITY COUNCIL &
COMMISSION STAFF REPORT
TO: THE HONORABLE MAYOR AND CHAIRMAN AND MEMBERS OF THE
CITY COUNCIL AND COMMUNITY DEVELOPMENT COMMISSION
FROM: JEFF ALLRED, CITY MANAGER/EXECUTIVE DIRECTOR
DATE: MAY 11. 2010
SUBJECT: PUBLIC HEARING ON THE CONSENT TO USE COMMUNITY
DEVELOPMENT FUNDS FOR FUTURE CAPITAL IMPROVEMENT
PROJECTS PURSUANT TO HEALTH & SAFETY CODE SECTIONS 33445
AND 33679
SUMMARY
On March 9, 2010, the City Council unanimously approved the project list component of the
Parks, Recreation and General Facilities Master Plan. Contained in the list are thirty-two
identified projects within the City that are to be considered. There are ten projects that
require the use of Commission funds.
Redevelopment Law (Health and Safety Code Sections 33445 and 33679) requires that, if
redevelopment funds are to be used to pay for improvements which will be publicly owned,
both within and adjacent to the project area, the City Council and the Community
Development Commission must list and describe the improvements and the costs
associated therewith, as well as make the following findings: a) that the proposed
improvements are of benefit to the Project Areas or the immediate neighborhood in which
the projects are located; b) that there are no other reasonable means of financing for the
proposed projects available to the community; c) that the projects will assist in the
elimination of blighting conditions in the Project Areas and are consistent with the adopted
5-year Implementation Plan.
Staff Recommendation
Staff recommends the following:
1. That the Community Development Commission and City Council adopt Joint
Resolution No. 2010-29 and CDC 2010-15 (Attachment A) making the appropriate
findings under Health and Safety Code Section 33445; and
That the Community Development Commission and City Council adopt Resolutions
No. 2010-30 (Attachment B) and_CDC_No_20T0=T6](Attachment C) appropriating
$280,000 from the existing 2006A Bond proceeds to fund the three urgent
playground equipment projects listed as priorities 1 through 3 in this report.
ITEM NO. _I
APPROVED FOR CITY COUNCIL AGENDA:
City Council/Community Development Commission Meeting
May 11, 2010
Page 2 of 6
ANALYSIS
The following is a detailed list of the projects included in the master plan that require funding
through the Commission. As required under the Code, the detailed section for each project
includes the total anticipated cost of the project including assumed interest of 6.0% for a
term of 13 years. The cost estimate provided in the project title are the anticipated
construction costs that have been discussed previously.
1. Replace equipment at Klingerman Park - $50,000
This project includes the removal of an existing playground (excluding swings) to
be replaced with a new ADA accessible system and safety surfacing. This project
will be completed as soon as possible to ensure that all safety concerns are
resolved. A contract for the repairs and replacement will be brought to the
Commission on May 25, 2010. The project estimate including all financing costs
is $73,400
2. Replace northern equipment at Zapopan Park - $50,000
This project includes the removal of an existing playground to be replaced with a
new ADA accessible system and safety surfacing. This project will be completed
as soon as possible to ensure that all safety concerns are resolved. A contract
for the repairs and replacement will be brought to the Commission on May 25,
2010. The project estimate including all financing costs is $73,400.
3. Replace playground equipment at Rosemead Park - $180,000
Project includes the removal of the existing hilltop and southern playgrounds to
be replaced with new ADA accessible systems and safety surfacing. This project
will be completed as soon as possible to ensure that all safety concerns are
resolved. A contract for the repairs and replacement will be brought to the
Commission on May 25, 2010. The project estimate including all financing costs
is $264,300.
4. Construct Aquatic Center at Rosemead Park - $6,520,000
The project is a complete renovation of Rosemead Pool to include demolition of
the entire existing facility and construction of new pool, deck area, shade
structure and covered bleachers, turf area, chemical and mechanical systems,
and bath house. Schematic design development is underway. The next phase of
the project would include design development and construction documents,
followed by construction. The project would take approximately six months to
complete once design development is approved. The project estimate including
all financing costs is $9,574,500.
City Council/Community Development Commission Meeting
May 11, 2010
Page 3 of 6
5. Expand Rosemead Community Center and parking Lot - $2.5 to $3.5 Million
This project includes the creation of a civic center campus with increased and
unified parking between City Hall, the library, and Rosemead Community
Recreation Center, expanded pedestrian areas, landscape and lighting
improvements, and a 2500 square foot expansion of the RCRC to include offices,
teen center, and community computer lab as well as roof/HVAC repairs. Only
such portions of the project as allowable under Redevelopment Law would be
charged to the Community Development Commission. The project estimate
including all financing costs are between $3,671,200 to $5,139,700.
Develop a new neighborhood park at Rush and Walnut Grove - $500,000
Acquisition and development of a parcel currently owned by SCE as a
neighborhood park to include turf and landscaped areas, playground, walking
path, and benches. The project estimate including all financing costs is $734,250.
Construct new restrooms at Zapopan Park - $212,000
Project includes the demolition and removal of the existing modular restroom at
the park to be replaced with a 650 square foot structure. The project estimate
including all financing costs is $310,200.
Develop and install 10th Anniversary of 9/11 Memorial at Civic Center - $50,000
The project includes design, creation, and installation on the City Hall Plaza of a
public art sculpture to commemorate the 10`h Anniversary of 9/11 using an
artifact from the World Trade Center. The project estimate including all financing
costs is $73,400.
9. Renovate fields at Rosemead Park - $196,000 to $784,000
The project includes grading and soil preparation of 400,000 square feet of turf
area. To hydro-seed the area, the estimate is $196,000; the estimate to sod the
same area is $784,000. The project estimate including all financing costs is
between $287,850 and $1,151,400.
10. Replace/construct new preschool playground at Rosemead Park - $100,000
Project includes the removal of an existing preschool playground to be replaced
with a new ADA accessible system, safety surfacing, and fencing. The project
estimate including all financing costs is $146,850.
In addition, the proposed Aquatics Center at Garvey Park can be constructed at an
estimated cost of $3,320,000. The primary anticipated source of these funds is the
repayment of an outstanding loan to the City's General Fund from the Community
Development Commission's proposed bond proceeds.
City Council/Community Development Commission Meeting
May 11, 2010
Page 4 of 6
Health and Safety Code Sections 33445 and 33679 Findings and Requirements
As stated above, Health and Safety Code Section 33445 requires that the City Council
consent to the Commission expenditures for public improvement projects and that the
Commission and Council find that:
1) The use of Commission funds is of benefit to the project areas.
The Projects are of benefit to the Redevelopment Project Areas as they will
improve community amenities for businesses and residences within the
project areas. The ability to provide amenities to the community will help to
improve property values and assist with the sale and resale of new and
existing homes. Projects such as the development of the Aquatics Center or
the expansion of the Rosemead Community Center will enhance the Project
Area and will provide new resources. These projects will also assist in the
growth of existing and new businesses by attracting additional patrons and
residents to the project areas, thereby helping to reduce stagnant economic
conditions.
2) There is no other reasonable means of financing the improvements.
At this time, no other reasonable means of financing the Projects are
available from the City as the City is using its funds to undertake other
projects, services and public improvements throughout the City. The City's
budget does not currently project any surplus which could be utilized for these
improvements. Accordingly, bonding against current City revenues is also
not an option. Further, given the current economic condition of California, the
City believes that all fund reserves must be utilized for emergencies and
further reductions in tax and other revenues to ensure that the City can
continue to fund its basic ongoing services and maintain its existing facilities.
Finally, given the current economic conditions in California, the City does not
believe that any new taxes or assessments would receive the appropriate
voter approval levels to finance these improvements. The only available
funding source for the improvements is bonding which does not require that
additional taxes be levied or additional assessments imposed.
3) Funding the project will assist in the elimination of one or more blighting
conditions inside the project areas.
The payment of funds for the Projects will assist in the elimination of blighting
conditions inside the Redevelopment Project Areas by improving the
appearance of community amenities and facilities in the City of Rosemead
and Redevelopment Project Area. It is anticipated that such improved
appearance and enhanced facilities will attract additional new investment into
the project areas in terms of new businesses and improvements to existing
businesses in light of additional residential patronage and use of these
nearby public facilities-or at least minimize the likelihood of any continued
City Council/Community Development Commission Meeting
May 11, 2010
Page 5 of 6
decline of the project areas as a result of decreased patronage resulting from
deteriorating public facilities in the project areas.
4) Consistency with 5-Year Plan
The use of Commission funds for these Projects is consistent with the
Commission's 5-year Implementation Plan (2009-2014). The Plan indicates
the goal of eliminating blighting influences, including deteriorating buildings,
incompatible land uses, obsolete structures, and other environmental,
economic, and social deficiencies; improve the overall appearance of existing
buildings, streets, parking areas and other facilities, public and private; and
assure that all buildings, new and old, are safe for persons and business to
occupy. Additional plan goals include providing new or improved public
improvements and facilities, the absence or inadequacy of which constitute
an economic liability of the City, are impediments to development, and which
cannot be remedied by private or governmental action without
redevelopment.
The Implementation Plan also specifies capital improvement projects to
improve the public infrastructure and facilities in the Project Areas. The plan
specifically indentifies that the Commission may also assist in funding the
construction of new and rehabilitated public facilities within or serving the
Project Areas. Projects are intended to stimulate the growth of existing and
new businesses and reduce stagnant economic conditions. Development of
the Parks, Recreation, and General Facilities master plan has aided in
identifying the public projects requiring rehabilitation.
Section 33679 requires that a public hearing be held on the funding of the improvements.
This staff report satisfies the requirements of section 33679 that a report be prepared and
available prior to the public hearing. The report contains the required list of improvements,
the costs associated therewith, the findings required by section 33445, and, as stated
above, the redevelopment purpose for the funding of such facilities is the elimination of
blight within the project areas.
FISCAL IMPACT
A request to appropriate $280,000 from the existing 2006A bond proceeds is included to
expedite the work necessary to complete the work for the first three projects listed. Staff is
not recommending a specific allocation for any others projects at this time, but will be
bringing back the items individually for an allocation of funds and specific project approval.
It is anticipated that there will be approximately $7 million of proceeds from the proposed
2010 Tax Allocation Bonds for the funding of the improvements described in this report.
PUBLIC NOTICE PROCESS
This item has been noticed as required by Health and Safety Code section 33679 and
through the regular agenda notification process and a copy of this report has been available
with the City Clerk's office since the date of the first public notice publication.
City Council/Community Development Commission Meeting
May 11, 2010
Page 6 of 6
Submitted by:
vY-~
Matthew E. Hawkesworth
Assistant City Manager
Attachments: A - Joint City Council/Community Development Commission Resolution No. 2010-29 and
CDC 2010-15
B - City Council Resolution No. 2010-30
C - Community Development Commission Resolution No. 2010-16