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Minutes - 05/14/2004 Hearing URBAN RENEWAL AGENCY BUDGET COMMITTEE MINUTES May 15,2004 DATE. COUNCIL CHAMBERS, CITY HALL, CITY OF WOODBURN, COUNTY OF MARION, STATE OF OREGON, MAY 15, 2004. CONVENED. The Urban Renewal Agency Budget Committee met at 10:06 a.m. with Committee Chair Jennings presiding. ROLL CALL. Grayce Higgins Richard Jennings Stan Milne Flurry Stone Bruce Thomas Cindy Vetter Absent Present Present Absent Absent Present Richard Bjelland Jim Cox Frank Lonergan Pete McCallum Walt Nichols Elida Sifuentez Present Absent Present Present Present Present Staff Present: Administrator Brown, Finance Director Gillespie, Public Works Director Tiwari, Parks & Recreation Director Westrick, Police Chief Russell, Library Director Sprauer, Management Analyst Smith, City Recorder Tennant Also present: Mayor Figley (This meeting begins on Side B of Tape 1 at tape reading 22,7) 22.7 Committee Chair Jennings declared the public hearing open at 10:06 a,m, on the Urban Renewal Budget for Fiscal Year 2004-05. Administrator Brown presented the budget message to the Committee outlining the projects proposed for funding during Fiscal Year 2004-05 along with proposed projects included in the 6-year Capital Improvement Plan for the Urban Renewal District. He stated that the proposed budget appropriations of $896,000 are all within debt service since State Statute requires expenditure from this line item, Projects proposed for funding in fiscal year 2004- 05 include $270,000 for the Warzynski Plaza project, $611,000 for Phase I of the Front Street improvement project, and $15,000 to reimburse the City for administrative costs associated with legal fees, consulting fees, and financial audit fees. Chair Jennings questioned the Front Street improvement project boundary, Administrator Brown stated that the improvement involves contributions from the Urban Renewal District and other City budgetary funds such as the CIP programs, Traffic Impact Fee funds, State Revenue Sharing, and Economic Development funds. It is unknown as of this date if there will be any local improvement district formed for this proj ect and if so, it may involve off-street parking improvements rather than the street improvement costs, Tape 2 He stated that there are no assessment revenues factored into the project costs and that will be an issue to be addressed by the City Council. Administrator Brown stated that the City will be entering into a contractual relationship between the City and Urban Renewal Agency which will create the obligation for the $270,000 and $15,000 and, most likely, the $611,000. The Agency will also need to go out for bond or private borrowing since the program relies on borrowing. The capital Page I - Budget Committee Minutes, May 15, 2004 URBAN RENEWAL AGENCY BUDGET COMMITTEE MINUTES May 15, 2004 improvement plan currently in place was based on revenue projections in place at the time the district was being developed. Since then, the County has changed the method of distributing the tax revenues to urban renewal districts which is generating more dollars into the district than originally planned, Depending upon the timing as to when funds are borrowed during the year, the Agency will be able to borrow as much as $2 million, He proceeded to review the 6-year Capital Improvement Plan list of projects. During fiscal year 2004-05, the Agency will be working on a more specific plan that will identify actual projects to be done over the next several years rather than the general framework that is currently listed in the plan. The Agency will also be working on a master plan of the overall urban renewal area and not just looking at projects, The legal fees within the administrative expense will be for attorney fees associated with getting the Agency through the bonding or borrowing process, Committee member Lonergan questioned if grant funds are available for urban renewal projects. Administrator Brown stated that staff could look for grant funds that would complement the improvements proposed for the urban renewal district. In regards to the North Front Street improvement project, funds would be available within the Urban Renewal budget to pay for costs associated with the improvement to the north district boundary located near Highway 214. No one in the audience commented on the proposed budget for fiscal year 2004-05. Committee Chair Jennings declared the public hearing closed at 10:20 a.m.. 9.7 LONERGAN/MCCALLUM... recommend to the Urban Renewal Agency approval ofthe fiscal year 2004-05 Urban Renewal debt service budget in the amount of $896,000. The motion passed unanimously. Committee Chair Jennings complimented the staff on a well-prepared budget and easy to understand budget document. 11.8 ADJOURNMENT. Committee Chair Jennings adjourned the meeting at 10:22 a.m.. Minutes prepared by: Mary Tennant, City Recorder City of Woodburn, Oregon Page 2 - Budget Committee Minutes, May 15, 2004