Agenda - 06/08/2009C ITY O F W OO D B U I\ N KATHRYN FIGLEY, MAYOR
DICK PUGH, COUNCILOR WARD 1
.I. MEL SCHMIDT, COUNCILOR WARD II
URBAN RENEWAL AGENCY PETER MCCALLUM, COUNCILOR WARD III
JAMES COX, COUNCILOR WARD IV
e C FRANK LONERGAN, COUNCILOR WARD V
JUNE $~ ZOO7 ~ 6. ~.7 P.M. KRISTEN BERKEY, COUNCILOR WARD VI
CITY HALL COUNCIL CHAMBERS - 27O MONTGOMERY STREET
1. CALL TO ORDER
2. ROLL CALL
3. CONSENT AGENDA
A. Urban Renewal Agency minutes of June 9, 2008 1
Recommended Action: Approve the minutes.
4. PUBLIC HEARINGS
A. Public Hearing to Consider the Woodburn Urban Renewal 3
Agency's 2009-10 Budget
Recommended Action: Conduct a public hearing and
receive public comment on the Budget Committee's recom-
mendation, including allowable budget adjustments that do
not change the tax levy requirement.
5. GENERAL BUSINESS
A. Resolution adopting a budget for fiscal year 2009-10, making 5
appropriations and levying taxes
Recommended Action: Adopt the resolution.
B. Reimbursement Agreement for Services, Materials and 7
Projects
Recommended Action: Approve and authorize the Chair of
the Agency to execute the attached reimbursement
agreement between the Woodburn Urban Renewal Agency
and the City of Woodburn for fiscal year 2009-10.
6. PUBLIC COMMENT
7. ADJOURNMENT
June 8, 2009 Urban Renewa/ Agency Page i
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URBAN RENEWAL AGENCY MEETING MINUTES
JUNE 9, 2008
DATE. COUNCIL CHAMBERS, CITY HALL, CITY OF WOODBURN,
COUNTY OF MARION, STATE OF OREGON, JUNE 9, 2008.
CONVENED. The Urban Renewal Agency meeting convened at 6:53 p.m. with Chair
Figley presiding.
ROLL CALL.
Chair Figley Present
Member Bjelland Present (6:55 pm)
Member Cox Present
Member Lonergan Present
Member McCallum Present
Member Nichols Present
Member Sifuentez Absent
Staff Present: Interim City Administrator Russell, City Attorney Shields, Assistant City
Administrator Stevens, Finance Director Gillespie, Public Works Director Brown,
Community Development Director Allen, Police Capt. Tennant, City Recorder Tennant
CONSENT AGENDA.
A) approve the Urban Renewal Agency minutes of March 10, 2008.
MCCALLUM/COX... adopt the Consent Agenda as presented. The motion passed
unanimously.
PUBLIC HEARING TO CONSIDER THE WOODBURN URBAN RENEWAL
AGENCY'S FISCAL YEAR 2008-09 BUDGET.
Chair Figley declared the public hearing open at 6:55 p.m..
Finance Director Gillespie stated that following the May 19, 2008 hearing, the Urban
Renewal Budget Committee recommended a budget for fiscal year 2008-09 in the amount
of $3,022,548. The recommended budget will fund the Front Street improvement project
from Cleveland Street to Highway 214, pay the debt service due on the bank loan,
reimburse the City for special administrative, legal, and auditing services, and provide for
adequate reserves for bond indebtedness.
No one in the audience spoke either for or against the proposed budget.
Chair Figley declared the public hearing closed at 6:56 p.m.
RESOLUTION 08-02 ADOPTING A BUDGET FOR FISCAL YEAR 2008-09,
MAKING APPROPRIATIONS, AND LEVYING TAXES.
LONERGAN/NICHOLS.... adopt Resolution 08-02 as presented.
On roll call vote, the motion passed unanimously. Chair Figley declared Resolution 08-
02 duly passed.
Page 1- Urban Renewal Agency Minutes, June 9, 2008
,, f .
URBAN RENEWAL AGENCY MEETING MINUTES
JUNE 9, 2008
REIMBURSEMENT AGREEMENT FOR SERVICES. MATERIALS. AND
PRO TECTS FOR FISCAL YEAR 2008-09.
Staff recommended the approval and authorization to sign a reimbursement agreement
with the City for payments made out of City funds for urban renewal projects and
miscellaneous expenses. Under Urban Renewal law, tax receipt revenues received are to
be used for debt retirement such as bonds, loans from public or private agencies, or by
contractual arrangement.
COX/LONERGAN... approve and authorize the Chair of the Agency to execute the
attached reimbursement agreement between the Woodburn Urban Renewal Agency and
the City of Woodburn for fiscal year 2008-09.
The motion passed unanimously.
AD.TOURNMENT.
NICHOLS/MCCALLUM... meeting be adjourned. The motion passed unanimously.
The meeting adjourned at 6:58 p.m..
APPROVED
ATTEST
Mary Tennant, Recorder
City of Woodburn, Oregon
KATHRYN FIGLEY, CHAIR
Page 2- Urban Renewal Agency Minutes, June 9, 2008
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June 8, 2009
TO: Mayor and City Council through City Administrator
FROM: Ben Gillespie, Finance DirectoC
SUBJECT: Public Hearing to Consider the Woodburn Urban Renewal Agency's
2009/10 Budget
RECOMMENDATION:
Conduct a public hearing and receive public comment on the Urban Renewal
Agency's Budget Committee's recommendation, including allowable budget
adjustments that do not change the tax levy requirement.
BACKGROUND:
On April 18, 2009, the URA Budget Committee concluded a hearing on the
Woodburn Urban Renewal Agency's 2009/10 budget and unanimously
recommended that the budget document be forwarded to the Board of the
Urban Renewal Agency for the next phase of the budget process.
As required by Oregon Budget Law, the notice of this hearing date, along with
the financial summary, was published in The Woodburn Independent on June 3,
2009. The financial summary documents an Agency budget totaling $2,031,000.
DISCUSSION:
No changes to the Budget Committee's Recommended Budget are proposed.
FINANCIAL IMPACT:
The proposed budget is consistent with the budget policies adopted by the
Budget Committee in January 2009.
Agenda Item Review: City Administrator City Attorney~~~~=~ Finan
Beginning Fund Balance 2,443,548 2,447,797 1,486,000 -957,548 -39.2%
Property Taxes 460,301 494,436 524,000 519,000 530,000 6,000 1.1%
Interest Income 96,937 96,226 55,000 49,203 15,000 -40,000 -84.4%
TOTAL EXPENDITURE 557,238 590,662 3,022,548 3,016,000 2,031,000 •991,548 -32.8%
By Object Class
2006-07 2007-08 2008•09 2008•09 2009-10 Change Change
Object Class Expended Expended Amended Yr End Est Recommed ($) (%)
Principle 196,920 163,638 2,230,000 1,471,000 956,407 -1,273,593 57.1%
Interest Expense 70,812 64,094 63,000 59,000 50,000 -13,000 -22.0%
Endin Fund Balance 729,548 1,024,593 295,045 #DIVIO!
TOTAL EXPENDITURE 267,732 227,732 3,022,548 1,530,000 2,031,000 •991,548 -32.8%
By Program
2006-07 2007-08 2008-09 2008-09 2009•10 Change Change
Program Expended Expended Amended Yr End Est Recommend ($) (%)
Debt Service 267,732 227,732 3,022,548 1,530,000 2,031,000 -991,548 -32.8%
TOTAL EXPENDITURES 267,732 227,732 3,022,548 1,530,000 2,031,000 -991,548 •32.8%
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June 8, 2009
TO: Urban Renewal Agency Board thr ugh City Administrator
FROM: Ben Gillespie, Finance Director
SUBJECT: Adoption of Woodburn Urban Renewal Agency's 2009/10 Budget
RECOMMENDATION:
That the Urban Renewal Agency Board adopt the attached resolution setting
the budget for 2009/ 10.
BACKGROUND 8~ DISCUSSION:
On April 18, 2009, the Budget Committee concluded their hearing on the
Woodburn Urban Renewal Agency's 2009/10 budget and unanimously
recommended that the budget document be forwarded to the Board of the
URA for the next phase of the budget process.
As required by Oregon Budget Law, the Board conducted a pub~ic hearing
earlier this evening to consider a URA budget of $2,031,000. The Board
accepted the Budget Committee's recommendation and made no changes.
FINANCIAL IMPACT:
The attached resolution is consistent with the budget policies adopted by the
Budget Committee in January 2009.
Agenda Item Review: City Administrator City Attorney ~v'!`.l Fi
RESOLUTION NO. 09-01
A RESOLUTION ADOPTING A BUDGET FOR FISCAL YEAR 2009-2010, MAKING
APPROPRIATIONS AND LEVYING TAXES.
THE WOODBURN URBAN RENEWAL AGENCY RESOLVES AS FOLLOWS:
Section 1. That the budget for fiscal year 2009-2010 is hereby adopted as set forth
below.
Section 2. That the budget amounts for the fiscal year beginning July 1, 2009, and for the
purposes shown below, are hereby appropriated:
DEBT SERVICE FUND:
Debt Service
Operating Contingency
TOTAL APPROPRIATIONS
Unappropriated Requirements:
Reserve for Urban Renewal Agency Debt
TOTAL UNAPPROPRIATED REQUIREMENTS
TOTAL 2008-09 URBAN RENEWAL BUDGET
$ 1,006,407
682,593
$ 1,689,000
$ 342,000
$ 342,000
$ 2,031,000
Section 3. That the Woodburn Urban Renewal Agency hereby resolves to certify to the
County Assessor a request for the Woodburn Urban Renewal Plan Area for the maximum
amount of revenue that may be raised by dividing the taxes under Section 1 c, Article IX of the
Oregon Constitution and ORS Chapter 457.
Approved as to Form
Legal Counsel
APPROVED
Date
KATHRYN FIGLEY, CHAIR
Passed by the Agency
Submitted to the Chair
Approved by the Chair
ATTEST
Mary Tennant, Recorder
City of Woodburn, Oregon
Page 1 - Resolution No.09-O1
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WOODBURN
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June 8, 2009
TO: Woodburn Urban Renewal Agency
Honorable Mayor and City Council
FROM: Ben Gillespie, Finance Director
SUBJECT: Reimbursement Agreement for Services, Materials and Projects
RECOMMENDATION:
It is recommended that the Urban Renewai Agency and the City Council
approve and authorize, respectively, the Chair of the Agency and the City
Administrator to execute the attached reimbursement agreement between the
Woodburn Urban Renewal Agency and the City of Woodburn for fiscal year
2009/10.
BACKGROUND:
Urban Renewal law requires tax receipts received by an urban renewal agency
to be used to retire debt. Indebtedness can be established by issuing bonds,
through loans from public or private agencies, or by contractual arrangement.
In April 2005 the City Council and Urban Renewal Agency authorized the
execution of a reimbursement agreement for fiscal years 2004-06. Subsequent
annual extensions have extended the agreement to June 30, 2009.
DISCUSSION:
Tax receipts of $530,000 and interest of $15,000 are estimated to be received in
2009/10, and Beginning Fund Balance is forecast to be $1,486,000 , providing
total resources of $2,031,000 for FY 2009/10. Of that amount, $342,000 must be
reserved for debt service. The balance ($1,689,000) can be used only to retire
debt.
In September 2005, the Agency issued $1,850,000 in debt, through a private
borrowing. Debt service on this amount is $228,000 in 2009/10.
Agenda Item Review: City Administrator City Attomey ~~~ Fi
Honorable Mayor and City Council
June 8, 2009
Page 2
In 2009/10, the City will concentrate on completing the Front Street
reconstruction and widening project. The Agency's share of the remaining cost
of the project is $771,907. Budgeting for 2009/10 also requires the Agency to
support the cost of an annual audit ($6,500). Expenses continue to be
budgeted in City accounts, and reimbursed by the Agency pursuant to this
agreement. Funds necessary to reimburse the City will be provided from the
urban renewal funds on hand.
The attached agreement facilitates the Agency's reimbursement of costs
advanced by the City for the fiscal year. This is the same agreement format
approved by the Council and Agency for the previous four years.
FINANCIAL IMPACT:
The attached agreement facilitates, consistent with the schedule provided in
Exhibit A to the Agreement, debt of the agency, and repayment to the City of a
total for Fiscal 2009/10 of $778,407.
AGREEMENT FOR SERVICES BETWEEN WOODBURN URBAN RENEWAL
AGENCY AND CITY OF WOODBURN
This Agreement for Services (Agreement) is entered into between the City of Woodburn
(City), an Oregon municipal corporation, and the Woodburn Urban Renewal Agency
(the Agency), the urban renewal agency of the City of Woodburn, created pursuant to
ORS 457.035 through ORS 457.460.
Recitals
Whereas, by Ordinance No. 2283 the City activated its urban renewal agency pursuant
to ORS 457.055, and designated the City Council of the City of Woodburn to exercise
the urban renewal powers pursuant to ORS 457.045 (3); and
Whereas, by Ordinance No. 2298 the City Council adopted the Woodburn Urban
Renewal Plan (Plan), Section 1100 of which states, in part:
"...the Agency may borrow money from, or lend money to a public agency in
conjunction with a joint undertaking of a project authorized by this plan."; and
Whereas, Section 600 of the Plan identifies as projects which may be undertaken
pursuant to the Plan in the urban renewal area: A) Public Improvements including
construction and repair of parks, streets, and sidewalks; and C) Plan Administration
including personnel and other administrative costs incurred in management of the
renewal plan; and
Whereas, the City and the Agency work in partnership to accomplish the provisions of
the Plan adopted by the City Council and put before the Agency for implementation, and
Whereas, the City and the Agency wish to clarify the relationship between the City and
the Agency with respect to services to be provided by the City to the Agency, and the
Agency's obligation to pay the City for those services, and
NOW THEREFORE, the City and the Agency agree as follows:
Terms of Agreement
In consideration for reimbursement for the costs of services and materials and projects
according to the terms of this Agreement, the City will provide the following services and
materials to the Agency according to the terms of this Agreement:
Personnel Services.
1.1 City staff to provide all staff services required to implement and
administer the Plan and any other Agency activities. Staff assigned
to perform functions in support of the Agency will continue to be
PAGE 1- CITY/AGENCY REIMBURSEMENT AGREEMENT, 2009-1 O
employees of the City and will provide services to implement Plan
as directed by the Agency.
1.2 The City Administrator has final and exclusive authority over
decisions to hire, fire and discipline the City employees assigned to
perform functions in support of the Agency, under the City's
personnel rules and policies.
1.3 Except as specifically provided in other sections of this Agreement
or as set out in a future written agreement of the parties, charges to
the Agency for materials will be the same as any inter-departmental
City charge.
2. Insurance.
2.1 The City will procure and maintain property and liability insurance
covering the Agency's activities at such levels as the Agency
deems necessary and appropriate. The City will not charge the
Agency for insurance premiums pursuant to this Agreement.
Nothing in this Agreement, however, shall prevent the City from
requiring the Agency to pay for this coverage in future written
agreements.
3. Professional and Consulting Services.
3.1 The City and the Agency will consult with one another regarding
selection of independent contractors providing professional and
consulting services, including bond counsel and the financial
advisor for debt issuance for the Agency, if any; general or
specialized urban renewal consulting, and audit services for the
Agency.
4. Legal Services.
The Agency may obtain legal services from the City Attorney and/or
outside legal counsel as the Agency determines, in consultation
with the City, best meets the needs of the project or issue at hand.
The Agency shall not reimburse the City for legal services
requested of the City Attorney for the period of this Agreement.
Nothing in this Agreement, however, shall prevent the City from
requiring reimbursement from the Agency for these services in
future written agreements. The Agency shall be responsible for the
cost of legal services provided to the Agency by outside legal
counsel.
PAGE 2- CITY/AGENCY REIMBURSEMENT AGREEMENT, 2009-1 O
4.2 If legal services are provided jointly to the City and the Agency, the
City and the Agency will agree on a cost allocation for such
services prior to such services being rendered.
5. Accountina Services.
5.1 The City shall provide all accounting services related to the
Agency's debt service fund and investment of funds pursuant to this
Agreement. Nothing in this Agreement, however, shall prevent the
City from requiring reimbursement from the Agency for these
services in future written agreements. The City will not charge the
Agency for these accounting services pursuant to this Agreement.
6. Financial Matters.
6.1 Except as specifically provided herein, the City agrees that it will
not make any charge against any Agency account without first
obtaining the approval of the Agency.
6.2 The Agency will cooperate with providing all necessary financial
information to the City for the City to include in its annual financial
statements.
6.3 The Agency's financial records will be available for inspection by
City at all reasonable times.
7. Public Improvements.
7.1 The City will act as the lead agency for the purpose of constructing
projects in the urban renewal area, and will be responsible for
project design and engineering, obtaining any planning approvals
and permits, for forwarding payment of any standard fees, and for
construction management for construction projects.
7.2 Projects that will be constructed in the urban renewal area during
the term of this Agreement, consistent with those shown on Exhibit
A, are joint projects of the City and the Agency. The Agency and
the City shall share the costs of these projects according to the
reimbursement schedule in Exhibit A.
7.3 All public improvements constructed by the City and Agency during
the term of this Agreement shall be accepted, owned, and
maintained the City after construction is complete.
8. Compensation. Agency shall pay to the City an amount not-to-exceed
$778,407 for the services and projects described in this Agreement during
PAGE 3- CITY/AGENCY REIMBURSEMENT AGREEMENT, 2009-1 O
the term of the Agreement. Payment shall be for the amounts actually
expended by the City for the services and projects listed on the schedule
for Agency's payment for such services and projects, which is attached
hereto and incorporated as Exhibit A. Exhibit A may be amended by
mutual agreement of the parties.
9. Term and Termination.
9.1 The term of this Agreement shall be effective July 1, 2009 and shall
continue through June 30, 2010, unless terminated pursuant to this
section.
9.2 Either party may terminate this Agreement at any time by giving the
other party written notice not less than ninety (90) days prior to the
proposed termination date.
DATED this day of May, 2009.
WOODBURN URBAN RENEWAL AGENCY CITY OF WOODBURN, OREGON
Chair
City Administrator
PAGE 4- CITY/AGENCY REIMBURSEMENT AGREEMENT, 2009-1 O
EXHIBIT A
Construction of Front Street $771,907
Audit 6,500
Total 778 407
PAGE 5- CITY/AGENCY REIMBURSEMENT AGREEMENT, 2009-1 O