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HomeMy WebLinkAboutRedevelopment Agency - Financial Statements/Reports - RDA Re f C3 /0 , 3-0 7 _1 ad o Ouvc, / ' CITY.-:OF HUNTINGTON BEA, INTER-DEPARTMENT COMMUNICATION � � HUNTINGTON BEACH To Michael T. Uberuaga, From Robert J. Franz, City Administrator City Administrator Subject FUNDING SOURCE-MUSHROOM Date May 7, 1990 FARM DEMOLITION Agenda Item F-12, on tonight's City Council agenda, indicates that the funding source for this $400,000 project is "Certification of Participation Issues of 1988/89". This statement in the RCA has caused some confusion as to the intended funding source. Therefore, following is the recommended source of funding for this project: Funding Source Main-Pier Redevelopment Project Area Capital Improvement Funds - The Mushroom Farm ss property has been purchased with a combination of General Funds, Redevelopment Funds, and Park Acquisition and Development Funds. The intended use of the land is for Central Park. Redevelopment Funds have been used because the interim use of the land is for a mobile home relocation park related to the Main Pier Redevelopment Project Area. :.- Therefore, the use of Redevelopment Funds for the demolition is recommended. RJF:paj 4341a FC F L i� � A 1 1 1 � 2) Complete Gothard-Hoover extension review by the Public Utilities Commission and, if approved, finalize construction plans and specifications. 3) Complete plans and specifications for Center Avenue widening and initiate construction of the project. 4) Complete the specific plan of street alignment for Edinger corridor and request City Council adoption. 5) Subject to the availability of financing, secure City Council/Agency approval for landscape concept plan for the I-405/Beach Boulevard/Center Avenue freeway access area. 6) Cooperate with the Orange County Transportation Authority toward construction of the Golden West Transportation Terminal. 7) Complete the Auto Mall Feasibility Analysis and implement recommendations regarding signage, marketing, and land acquisition. 8) Work cooperatively with the Huntington Beach Mall toward future expansion. 9) Actively recruit high-volume retail businesses to the Project Area. 10) Prepare and present for the Agency's consideration a Disposition and Development Agreement for the Agency-owned site between McFadden and Center Avenues. 11. HUNTINGTON CENTER REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1990/91 The following is a review of the goals and achievements for fiscal year 1990/91: 1) Complete traffic signal studies on Center Avenue and install lights where necessary. 2) Acquire parcels from McFadden Avenue to Bolsa Avenue for the Gothard-Hoover realignment. 3) Develop conceptual development plans for Huntington Center and the commercial area south of Edinger and begin implementation of the development plans. 4) Construct OCTD Transportation terminal/office project at Gothard Street and Center Avenue. 5) Complete Edinger corridor study and begin implementation of recommended transportation improvements. -6- 1 1 6) Complete engineering and construction drawings for the Gothard Street realignment. 7) Underground utilities on Edinger Avenue within the project area. YORKTOWN-LAKE REDEVELOPMENT PROJECT AREA I. YORKTOWN-LAKE REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1991/92 The following is a summary of the Agency's Work Program for the Yorktown-Lake Redevelopment Project Area for fiscal year 1991/92: 1) Prepare a financial plan for long-term improvements to the Civic Center. 2) If financing is identified, hire an architect and other services to conduct a space utilization study of the Civic Center and prepare design feasibility drawings of desired improvements. 3) Monitor completion of the construction of the private residential project. II. YORKTOWN-LAKE REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1990/91 The following is a summary of the goals and achievements for fiscal year 1990/91: 1) Prepare a financial plan for improvements to the Civic Center and parking facilities. 2) Complete final design and construction drawings for Civic Center expansion and parking facilities. 3) Complete construction of the residential portion of the project area. -7- RECOMMENDED LEGISLATION TO ENHANCE REDEVELOPMENT The Huntington Beach Redevelopment Agency, through its participation in various statewide organizations, is currently assessing and reviewing the need for new legislation that would assist the City in its redevelopment activity. DESCRIPTION OF THE HUNTINGTON BEACH REDEVELOPMENT AGENCY'S ACTIVITIES AFFECTING HOUSING AND DISPLACEMENT: HUNTINGTON BEACH REDEVELOPMENT AGENCY 1) During fiscal year 1990/91, approximately 1 business and 50 individual households were relocated from all project areas. 2.) During these fiscal years, approximately 50 housing units for very low, low and moderate income families were removed due to Redevelopment Agency activity. 0408 R —8— ANNUAL REPORT OF FINANCIAL TRANSACTIONS PAGE 0 2 OF COMMUNITY REDEVELOPMENT AGENCIES t. ACHIEVEMENT INFORMATION (UNAUDITED) FISCAL YEAR ENDED 1! , 19 LI� AGENCY NAME 46i7 T// 74 13PLT e—' INDICATE ONLY THOSE ACHIEVEMENTS COMPLETED DURING THE FISCAL YEAR OF THIS REPORT AS A DIRECT RESULT OF THE ACTIVITIES OF THE REDEVELOPMENT AGENCY. ENTER THE AMOUNT OF SQUARE SQUARE FOOTAGE COMPLETED PLEASE PROVIDE A DESCRIPTION OF THE AGENCY'S ACTIVITIES/ FOOTAGE COMPLETED THIS YEAR ACCOMPLISHMENTS DURING THE PAST YEAR. USE ADDITIONAL FORMS BY BUILDING TYPE AND A AS NEEDED. SEGREGATED BY NEW OR NEW PLEASE BE SPECIFIC;AS THIS INFORMATION WILL BE THE BASIS REHABILITATED CONSTRUCTION. CONSTRUCTION REHABILITATED FOR POSSIBLE INCLUSION RV 7YIE PUBLICATION. COMMERCIAL BUILDINGS 1 lei DO 0 INDUSTRIAL BUILDINGS 2 ACHIEVEMENT INFORMATION: The Agency has five project areas: Main-Pier, Yorktown-Lake, PUBS C�BUILDI '� S 3 Talbert-Beach, Oakview, and Huntington Center. The majority of activities were in OTHER BOILDINGS 'sue 4 3 7 SDO the two anchor areas: Main-Pier, located in the downtown area, and Huntington Center, TOTAL SQUARE FOOTAGE 5 7 5-00 �, D O which features a 969,000 sf retail facility • �•�::4.•., v +,K+'+• + :?, ..K Ax.:{•::•>:.>:r:;2<: •<•:::r;"i:::::::ii:i;:;`< •:5::........ii is near the I-405 freeway. ,�.�'::<::•>� {.>:<->;<:>•:,:;•>r:: In Main-Pier, the ;::::z:•>,,, . ;:.>:>< »::: ENTER THE NUMBER OF JOBS ��;:,:sw,•. :.�.�hxh�.,;x::::::::;>:;.; :.;;;:•;:;•;::•;:.;::;.;:;::;::::::::::.:::.:... Agency consolidated properties for main-PierPhase IIprovided funding for commercial CREATED FROM TH E ACTIV ITIES h: :^•>: : S•i::n'i•>:t•:4+:= A OF THE AGENCY EITHER 5'0 rehabilitation c orne w con struction ruc 'do n on mai n y D. 6 and completed O L OR ESTIMATE ACTUAL Street, A public improvements. APPROPRIATE CODES .{<�::•....;•.::::r:::•;•:.x.:.:�••:s;:z�>�:::»:<:<:::>:>.:::;•<:;>:z>:::»::>:;>::::>::>::»::>:::>:>:><::>::> In Huntington ENTER THE AP < :.,..,,.,,,•,..;.,,y,.,,,...,, n Center, the Agency �>::4:>w.k::�,•:.;;;::y- 4�:.��:<::::::::�::::::::::>::::>::>::::>;>::::>::: �:.:>::::>::»::::>::::: g g ncy worked on ............. INDICATE EACH TYPE OF s. �;>..,.,,: ;a{ '<;:>•'::<>?>:::::;:»>«::?.>.:::<:::>•.>:>?::>:::::= < :::: the transportation c' TO :::::>::>::»:::: p circulation needs, reion PUBLIC FACILITY COMPLETED : ;:,;:_::.:_.:.;;:,:•::,.,.:::r g al transportation needs retail �� •:� :<::<:. }h(;>;;: : THIS YEAR. s i na a and other programs . :>>:>::> > g g p grams to bolster this c .7� major ret ail 1 area The Agency initiated i ^ negotiations for affordable housing in TYPES COMPLETED (A-F ONLY 7 C several project areas. Administratively, the Department of Economic Development was A=UTILtTIES C=LANDSCAPING E=STREETS&ROADS reorganized and some staff was relocated from B=RECREATION D-SEWER&STORM F=BUS/TRANSIT the downtown area to the Civic Center. ANNUAL REPORT OF FINANCIAL TRANSACTIONS PROJECT AREA OF COMMUNITY REDEVELOPMENT AGENCIES COVER SHEET PROJECT AREA REPORT PAGE 0 1 STATE USE ONLY STATE USE ONLY PROJECT AREA m* PLEASE AFFIX LABEL AND CORRECT IF NECESSARY GENC'Y AND PROJECT AREA NAME 30376048 MAIN PIER PROJECT AREA REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH REVIEWED ICIZARM PLEASE PROVIDE A BRIEF DESCRIPTION OF THE ACTIVITIES FOR THIS DATE PROJECT AREA WAS ESTABLISHED c PROJECT AREA DURING THE REPORTING YEAR. (MM-DD-YYI (1) MOST RECENT DATE PROJECT AREA AS AMENDED. (Mnw)-Yn 2 - �� - MAIN-PIER: Completed negotiations and MOST RECENT DATE PROJECT AREA approved an Owner Participation Agreement for WAS MERGED. (MM-DD-YrI 3 - - the development of a 48,000 sf mixed use ESTIMATED COMPLETION DATE retail/office complex and a 36,000 sf mixed (YEAaoNLYj 4 p�0/ use project including 68 residential units ESTABLISHED LIMIT FOR BONDED P 7 g r INDEBTEDNESS (IF APPLICABLE). 33 of which will be made available to first MWTH AND SAFM CODE SEMON33334.1. 6 $ 77.500 OOU time buyers at below market interest rates. ESTABLISHED LIMIT FOR TAX INCREMENT Construction will begin in 1992. Continued REVENUES. (IF APPLICABLE). the commercial facade rehabilitations in the HEALTH AND SAFETY CODE SECTION 33333.2 AND 33333.4. 6 $ DOG 2nd block of Main Street Demonstration SIZE OF PROJECT AREA IN ACRES. 7 33s° Project, as well as began constructing the PERCENTAGE OF LAND VACANT AT THE public improvements (e.g. undergrounding INCEPTION OF THE PROJECT AREA. utilities, paving of new alley, enhancement HEALTHAND SAFETY CODE SEMON33320.1 (XX.X%) 8 . e)% of the pedestrian pass thrus. Began PERCENTAGE OF LAND DEVELOPED AT construction of a new two-story, 9,000 sf THE INCEPTION OF THE PROJECT AREA. retail/office structure as part of the HEATH AND SAFETY CODE SECTION 33320.1 (XX.X%) 9 Demonstration Project. Authorized the OBJECTIVES OF THE PROJECT AREA rehabilitation of the U.S. Post Office AS SET FORTH IN THE PROJECT 10 AREA downtown, in conjunction with the federal Pam' R RESIDENTIAL j THE APPROPRUTE CooE(Si I - INDUSTRIAL government. Began negotiations with a IN smxm4a AS SHOWM. C - COMMERCIAL developer and property owners for the P = PUBIC development of a mixed use project consisting o = OTHER of 100 residential units and 40,000 sf of commercial/retail/office space. YORKTOWN-LAKE REDEVELOPMENT PROJECT AREA I. YORKTOWN-LAKE REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1985/86: The work program for the Yorktown-Lake Redevelopment Project Area for fiscal year 1985/86 represents the fourth year of a multi-year program of implementation. Projects for the coming fiscal year detail planning and feasibility studies to determine possible development alternatives. The following is a summary of the Agency's work program for the Yorktown-Lake Redevelopment Project Area of 1985/86: PROJECT DESCRIPTION ESTIMATED COST Appraisals $ 330.00 Legal Services/DDA H.B. Company $ 500.00 Printing Services $ 29580.00 Implementation of Private Improve. N/A H. YORKTOWN-LAKE REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1984/85: A work program budget was adopted by the Huntington Beach Redevelopment Agency for this upcoming fiscal year. This budget called for planning studies concerning the development of the Yorktown-Lake Redevelopment Project Area. The City has been working closely with the Huntington Beach Company in the coordination of a suitable plan. The following is a review of the goals and achievements for the 1984/85 fiscal year: PROJECT-DESCRIPTION STATUS COST Development Proposals To be Completed -0- FY 85/86 8. HUNTINGTON CENTER REDEVELOPMENT PROJECT AREA I. HUNTINGTON CENTER REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR-1985/86: The Work Program for the Huntington Center Redevelopment Project Area for fiscal year 1985/86 represents the first year of a multi-year program of implementation projects for the coming fiscal year, including a planning study to determine potential development alternatives. The following is a summary of the Agency's work program for the Huntington Center Redevelopment Project Area of 1985/86. PROJECT DESCRIPTION ESTIMATED COST Appraisals $ 3,300.00 Legal Services $ 2,000.00 Planning Study $ 30,000.00 Feasibility Study $ 82,000.00 DDA and OPA Private and Public Improvements N/A II. HUNTINGTON CENTER REDEVELOPMENT PROJECT AREA: REVIEW' OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1984/85: The following is a review of the goals and achievements for the 1984/85 fiscal year: PROJECT DESCRIPTION STATUS COST Adoption of Completed $ 30,122 Redevelopment Plan 11/84 RECOMMENDATION FOR NEEDED LEGISLATION TO ENHANCE REDEVELOPMENT: The Huntington Beach Redevelopment Agency, through its participation in various statewide organizations, is currently assessing and reviewing the need for legislation. 9. I DESCRIPTION OF THE HUNTINGTON BEACH REDEVELOPMENT AGENCY'S ACTIVITIES AFFECTING HOUSING AND DISPLACEMENT: HUNTINGTON BEACH REDEVELOPMENT AGENCY 1) During the 1984/85 fiscal year, no households were relocated from any project area. 2) During the 1985/86 fiscal year, two households are expected to be relocated from the Talbert-Beach Project Area. It is not anticipated that any other area will experience any displacement. 3) During the 1984/85 fiscal year, no housing for low-and-moderate income families was destroyed due to redevelopment agency activity. 4) During the 1984/85 fiscal year, 164 units of housing was constructed for citizens of low-to-moderate income level in the Talbert-Beach Redevelopment Project Area. 0425 H 10. REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH �01, ,. i q � II 11llllll_ hti I * I - tiI ;I I II nlllN7 Illi� ,I,III g. �1, .I"I yf B'i Ni�lN'II,°1ax'I,IlIhI l i'y�11,IT 7,1�11.w;" Ir 41 � rrlyjfxl�l l���1l i'A'ilIlI�I�.�iNppy��x IIylI�Ph'lIIh I.'��I11I�I,f.7�I1I+Igk6pI1NA1'i!i. to oij I; I.�.Ig4I��1111x{ I,l'lIp7 , p I pI'"1�'I II'+Ih IY;igI II 41II'np�;ti1' 1 1.,.'� f l I.nl Ih Iqh j�iNlLy �I,d rl.-jl �x . IA dm 41 S I�lill'y�ll �I I'� I it 111 II I1�11 ' III 1 nl II'Ii,IIII�IIII�III�If III If II�III�If II�I��III�l.i�IIIIIII�I���II Ilil111 n11'I'Ilf"'nlil'N 11'n I I i'p II'Ij'lllil lIl'll III-� 'll�l I II,�IIIII',II'il�h li llll'II II�I{I�I III�I li I+�I III III II I'll II 'IIL�I I I hll, ' h III �;i41� If li r4 �; II 41 . I M 1 , I C �1 YIh I Y FOR THE FISCAL YEAR ENDED JUNE 30, 1988 1 1 REDEVELOPVWNT AGENCY OF THE CITY OF HUNTINGTON BEACH FINANCIAL STATEMENTS WITH REPORT Oa EZ MKATI0N BY CERTIFIED PUBLIC ACCOUNTANTS JUNE 30, 1988 1 i 1 DIEHL EVANS D NALDPETER E. ERER, PA CPA ([\`� T L.PETER SCHEREA,CPA `7(,COMPL 11 \ 1 RODNEY K.McDANIEL,CPA RALPH H.WEINTRAUB,CPA CERTIFlED PUBLIC ACCOUNTANTS MICHAEL R.LUDIN,CPA ROBER A PARTNERSHIP INCLUDING ACCOUNTANCY CORPORATIONS PHILIP R.WINE,CPA ' HILIP H.HOLTKAMP,CPA 1910 NORTH BUSH STREET THOMAS M.PERLOWSKI,CPA SANTA ANA•CALIFORNIA 92706-2894 PHONE(714)542-4453 FAX(714)5424218 September 9, 1988 1 ACCOUNTANTS' REPORT i Agency Members Redevelopment Agency of the 1 City of Huntington Beach Huntington Beach, California We have examined the general purpose financial statements of the Redevelopment Agency of the City of Huntington Beach, as of and for the year ended June 30, 1 1988, as listed in the table of contents . Our examination was made in accordance with generally accepted auditing standards and, accordingly, included such tests of the accounting records and such other auditing procedures as we considered necessary in the circumstances. In our opinion, the general purpose financial statements referred to above present fairly the financial position of the Redevelopment Agency of the City of Huntington Beach at June 30, 1988, and the results of its operations for the year then ended, in conformity with generally accepted accounting principles applied on a basis consistent with that of the preceding year. Our examination was made for the purpose of forming an opinion on the general purpose financial statements taken as a whole. The supplementary information listed in the table of contents is presented for purposes of additional analysis and is not a required part of the general purpose financial statements of the Redevelopment Agency of the City of Huntington Beach. The information has been subjected to the auditing procedures applied in the examination of the general purpose financial statements and, in our opinion, is fairly stated in all material respects in relation to the general purpose financial statements taken as a whole. -1- OTHER OFFICES AT: 2%5 ROOSEVELT ST. 120 WEST WOODWARD AVE. , CARLSBAD,CA 92008-2389 ESCONDIDO,CA 92025-9990 (619)729-2343 (619)741-3141 REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH COMBINED BALANCE SHEET - ALL FUND TYPES AND ACCOUNT GROUP June 30, 1988 Account Group Lease Payments Governmental Receivable Fund Types and Debt Capital General Totals Service Projects Long-term (Memorandum ASSETS Funds Funds Debt Only) Cash and investments (Notes 1B and 3) $ 29527,634 $ 18,579,161 $ - $ 21,106,795 Cash with fiscal agent (Notes 1B, 3 and 5B) 682,806 - - 682,806 Interest receivable 19,390 82,574 - 101,964 Taxes receivable 100,395 23,621 - 124,016 Land held for resale - 4,854,111 - 4,854,111 Lease payments receivable (Note 5B) - - 6,426,000 6,426,000 Unearned finance charges (Note 5B) - - (2,585,583) (2,585,583) Amount available in debt service funds - - 3,330,228 3,330,228 Amount to be provided for repayment of debt - - 35,755,065 35,755,065 TOTAL ASSETS $ 3,330,225 $ 23,539,467 $ 42,925,710 $ 69,795,402 LIABILITIES AND FUND BALANCES LIABILITIES: Accounts payable $ - $ 78,104 $ - $ 78,104 Accrued payroll - 16,841 - 16,841 Current note payable - 817,717 - 817,717 Due to City of Huntington Beach and Public Financing Authority (Note 5) - - 36,917,663 36,917,663 Owner participation agreement r) (Notes 5, 7 and 10) - - 1,408,047 1,407,047 Certificates of participation payable (Note 5B) - - 4,600,000 4,600,000 TOTAL LIABILITIES - 912,662 421925,710 43,838,372 FUND BALANCES (NOTE 10): Reserved for debt service 3,330,225 - - 3,330,225 Reserved for low-income housing - 3,747,137 - 3,747,137 Reserved for capital projects - 14,025,557 - 14,025,557 Reserved for land held for resale - 4,854,111 - 4,854,111 TOTAL FUND BALANCES 3,330,225 22,626,805 - 25,957,030 TOTAL LIABILITIES AND FUND BALANCES $ 3,330,225 $ 23,539,467 $ 42,925,710 $ 69,795,402 See accountants' report and notes to financial statements. C9 -2- REDEVELOPMENT AGENCY OF THE � CITY OF HUNTINGTON BEACH COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ALL GOVERNMENTAL FUND TYPES For the year ended June 30, 1988 Debt Capital Totals Service Projects (Memorandum Fund Fund Only) REVENUES: Tax increment revenue (Note 40 $ 1,573,300 $ 393,325 $ 1,966,625 From use of money and property 226,981 523,182 750,163 Lease payments and related fees (Note 5B) 483,000 - 483,000 TOTAL REVENUES 2,283,281 916,507 3,199,788 EXPENDITURES: Interest and letter of credit fees (Note 5) 743,763 - 743,763 ' Housing and community development - 2,983,836 2,983,836 Capital outlay - 1,118,208 1,118,208 Repayment of advances from City 674,500 1,690,788 2,365,288 TOTAL EXPENDITURES 1,418,263 5,792,832 7,211,095 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES 865,018 (4,876,325) (4,011,307) OTHER FINANCING SOURCES (USES): Advances from City of Huntington Beach (Note 5) - 6,238,896 6,238,896 4 Advances from Public Financing Authority debt (Note 5) - 14,869,123 14,869,123 Gain on sale of land - 726,864 7261864 TOTAL OTHER FINANCING SOURCES - 21,834,883 2128349883 EXCESS OF REVENUES AND OTHER SOURCES OVER EXPENDITURES 865,018 16,958,558 17,823,576 FUND BALANCES - BEGINNING OF YEAR 2,465,207 5,668,247 8,133,454 FUND BALANCES - ENDING OF YEAR $ 3,330,225 $ 22,626,805 $ 25,957,030 See accountants' report and notes to financial statements. -3- �1. REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH NOTES TO FINANCIAL STATEMENTS June 30, 1988 1. SIGNIFICANT ACCOUNTING POLICIES: A. Basis of Accounting: The modified accrual basis of accounting is followed by the Redevelopment Agency of the City of Huntington Beach (the Agency) . Revenues are recognized when they become measurable and available to finance expenditures of the current period. Expenditures are recorded at the time liabilities are incurred, except that principal and interest payments on long-term debt are recorded as expenditures when due. B. Investments: Investments are stated at cost, which was equal to market value at June 30, 1988. If market value declines below cost, no loss is recorded if such declines are considered temporary. C. General Fixed Assets: The Agency has no capitalized general fixed assets. Project costs incurred such as roads and streets, curbs , gutters , drainage systems, lighting systems and other similar project costs are recorded as expenditures of the Capital Projects Fund. D. Financial Reporting: Total columns in the accompanying financial statements are captioned "Memorandum Only" to indicate that they are presented only to facilitate financial analysis. The totals are not comparable to a consolidation in that interfund eliminations have not been made in combining the data. E.. Budgetary Reporting: The budgets of the Agency are primarily "long-term" budgets which emphasize capital outlay plans extending over one year. Because of the long-term nature of redevelopment projects, "annual" budget comparisons are not considered meaningful and accordingly, no budgetary information is included in the accompanying financial statements. F. Administrative and Overhead Charges: Pursuant to the California Community Redevelopment Law, Chapter 6, Article 2, Section 33610, a city may elect to allocate administrative and overhead expenses to a redevelopment agency, either as a grant or a loan. During the fiscal year ended June 30, 1988 , the City of Huntington Beach incurred certain salary and overhead expenses in behalf of the Agency and elected to allocate these expenses to the Agency. See accountants' report. -4- C'� REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH NOTES TO FINANCIAL STATEMENTS (Continued) June 30, 1988 1 2. DESCRIPTION OF FUNDS: A. Debt Service Funds - Tax increment revenue and related interest income are placed in these funds. The funds are then used to repay principal and interest on indebtedness of the Agency. Any fund balance is 1 reserved for debt retirement. Under provisions of the Health and Safety Code, such a fund is referred to as a "Special Fund". B. Capital Projects Funds - A separate capital projects fund is used to account for all revenues and expenditures, other than those related to debt service of each project, including costs of site improvements and ' an allocation at administrative expenditures incurred in sustaining Agency activities. Under provisions of the Health and Safety Code such a fund is referred to as a "Redevelopment Fund". C. Lease Payments Receivable and General Long-Term Debt Account Group - Agency debt which is not payable from currently held assets is recorded for memorandum purposes in this account group. As more fully described at Note 5, the terms of repayment on debt to the City are indefinite. Thus, all debt to the City is classified as long-term, even though it may be repaid shortly after balance sheet date. The account group is also used to account for lease payments receivable (See Note 5) . 3. CASH AND INVESTMENTS: The following disclosures are made in accordance with GASB Statement No. 3: Cash and investments at June 30, 1988 consisted of the following: Cash and investments $ 21,106,795 Cash with fiscal agent 682,806 Total $ 21,789,601 The Agency's investments are categorized as follows: Market Cost Value Category 1: Insured or unregistered, or securities held by the Agency or its agent in the Agency's name $ - $ - Category 2: Uninsured and unregistered with securities held by the counterparty's ' trust department or agent in the Agency's name - - Category 3: Uninsured and unregistered with securities held by the counterparty, or by its trust department or agent, but not in the Agency's name 682,806 682,806 Cash and investments pooled with the City of Huntington Beach 21,106,795 21,106,795 Total $ 21,789,601 $ 21,789,601 See accountants' report. -5- REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH NOTES TO FINANCIAL STATEMENTS (Continued) June 30, 1988 3. CASH AND INVESTMENTS (CONTINUED) : Safekeeping Arrangements: C) First Interstate Bank acts as fiscal agent for the Certificates of Participation holders and holds all revenues received in trust . All securities and demand deposits held by the trustee are in the trustee's name and are held in their trust department. The Agency does not own specifically identifiable securities in the City of Huntington Beach Pool. Allocation of Interest Among Funds: Interest income is allocated monthly on the various funds based on the month-end cash balances. Interest income .from restricted cash is recorded directly in the fund earning the income. See the City of Huntington Beach annual report as of and for the year ended June 30, 1988 for additional GASB 3 disclosures on investments. 4. ORGANIZATION AND TAX INCREMENT FINANCING: The Redevelopment Agency of the City of Huntington Beach was created by City Council Ordinance Number 1785 adopted on January 1, 1967 . The primary purpose of the Agency is to encourage private redevelopment of property and to rehabilitate those areas suffering economic disuse arising from poor and inadequate planning, inadequate street layout and street access, lack of open space or landscaping, and provide other improvements and facilities necessary to establish and maintain the economic growth of the City. The Agency's primary source of revenue comes from property taxes, referred to in the accompanying financial statements as "tax increment revenue". The assessed valuation of all property within the project area is determined on the date of adoption of the Redevelopment Plan. Property taxes related to the incremental increase in assessed values after the adoption of the Redevelopment Plan are allocated to the Agency; all taxes on the "frozen" assessed valuation of the property are allocated to the City and other districts. The Agency currently has five project areas and a low income housing program. The Talbert-Beach project includes approximately 50 acres and its anticipated land use is an industrial park. The Main Pier project includes approximately 300 acres within the downtown area adjacent to the pier and beach. The anticipated land uses includes commercial, office and See accountants' report. -6- 1 REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH NOTES TO FINANCIAL STATEMENTS (Continued) 1 June 30, 1988 4. ORGANIZATION AND TAX INCREMENT FINANCING (CONTINUED): residential mixed use projects and a variety of public facilities. The 1 Oakview project, comprising 68 acres, includes the Charter Centre Office building, a commercial and theatre complex and rehabilitation of existing residential properties. The Yorktown-Lake project includes 30 acres of single-family housing and public facilities. The Huntington Center project provides parking and traffic circulation improvements. 5. CHANGES IN LONG-TERM DEBT: Net Balance Additions Balance July 1, 1987 (Repayments) June 30, 1988 Due to the City of Huntington Beach and Public Financing Authority: From sale of land to the Agency by the City's Park Acquisition and Development Fund for $1,917,570 plus interest at 10% per annum $ 2,807,551 $ (698,224) $ 2,109,327 From sale of land to the Agency by the City's General Fund for $405,536, plus interest at 10% per annum 593,745 59,375 653,120 From sale of land by the City General Fund for $1,228,381 plus interest at 10% per annum 1,228,381 122,838 1,351,219 Cash advances from the City's General Fund plus accrued interest at 10% per annum 9,448,419 4,596,142 14,044,561 Cash advances from the City's Other Grants Fund 1,064,483 - 1,064,483 Cash advances from the City's Water Fund plus accrued interest at 10% per annum 144,900 1,114,490 1,259,390 Unpaid developers fees payable to various City funds, to be subsidized by the Agency plus accrued interest at 10% per annum 835,298 88,527 923,825 See accountants' report. -7- REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH NOTES TO FINANCIAL STATEMENTS (Continued) June 30, 1988 5. CHANGES IN LONG-TERM DEBT (CONTINUED) : Net Balance Additions Balance July 1, 1987 (Repayments) June 30, 1988 Cash advances from the Public Financing Authority in June 1988 totalling $14,869,123 plus accrued interest of $367,615 computed at varying rates $ - $ 15,236,738 $ 15,236,738 Cash advances from the Drainage Fund totaling $250,000 plus interest of $25,000 computed at 107. per annum - 275,000 275,000 Total Amount Due to the City of Huntington Beach and Public Financing Authority 16,122,777 20,794,886 36,917,663 Amount due under "Owner Participation Agreement" (See Note 7) 1,408,047 - 1,408,047 Certificates of Participation 4,600,000 - 4,600,000 Total Long-Term Debt $ 22,130,824 $ 20,794,886 $ 42,925,710 A. Since payment by the Agency to the City and Public Housing Authority on the various transactions will be made from tax increment revenues in future years, the debt is classified as long-term. B. In 1984 the Agency sold $4,600,000 of Certificates of Participation at a discount of $126,500 to finance the construction of the Emerald Cove senior citizens housing project. The certificates bear interest at 9.5% per annum, which is payable semi-annually. Principal is payable at maturity on May 1, 1994. The land upon which the project was built was sold to the Agency by the City. The City is leasing back the project and is operating it as an enterprise. Lease payments, of $40,250, equal to interest and insurance are payable monthly until the final payment, equal to principal of $4,600,000, is due May 1, 1994. The holders of the certificates have a proportionate interest in the lease payments to be made by the City. The certificates are secured by the land and the buildings constructed, an assignment of rents, and an irrevocable letter of credit issued by a bank. A discount of $126,500 on the sale of the certificates is being ' amortized through maturity. The unamortized discount at June 30, 1988 is $76,777. See accountants' report. -8- 1 REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH NOTES TO FINANCIAL STATEMENTS (Continued) 1 June 30, 1988 5. CHANGES IN LONG-TERM DEBT (CONTINUED): The assets of the Emerald Cove Housing project are recorded by the City 1 and not the Agency, as the Agency is only involved in "pass-through" financing, except for the cash with fiscal agent of $682,806 which represents amounts reserved to pay the debt. C. Below is a schedule of debt service requirements to maturity on the Certificates of Participation: 1 Year Ending June 30, Principal Interest Total 1988 $ - $ - $ - 1989 - 437,000 437,000 1990 - 437,000 437,000 1991 - 437,000 437,000 1992 - 437,000 437,000 1993 - 437,000 437,000 1994 4,600,000 400,583 5,000,583 Totals $ 4,600,000 $ 2,585,583 $ 7,185,583 6. LOANS-TO-LENDER REVENUE BONDS: The Agency has issued through the City of Huntington Beach Loans-to-Lenders 1 Revenue Bonds of $16,000,000 for the purpose of providing the issuer with funds to make a deposit with Home Federal Savings and Loan Association, San Diego, California. The proceeds of the deposit have been used by the Lender to make a mortgage loan to the developer at the Huntington Breakers Apartment Project. These Bonds are not an obligation of the Agency or City, and are payable solely from the deposit and certain other funds, all pledged under the indenture. Accordingly, the bonds are not reflected in the accompanying financial statements. 7. OWNER PARTICIPATION AGREEMENT: The Agency and City have entered into an agreement with the owner-developer of the Charter Centre Project in the Oakview Redevelopment Project Area, whereby the Agency purchased capital improvements from the owner in the amount of $1,408,047. Under this agreement, the City has deferred its receipt of normal building permit, plan check and similar fees which would be payable from the Charter Centre construction. The Agency has agreed to be responsible to make payment of these fees to the City, constituting an See accountants' report. -9- REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH NOTES TO FINANCIAL STATEMENTS (Continued) June 30, 1988 7. OWNER PARTICIPATION AGREEMENT (CONTINUED) : Agency debt. (See Note 5) . The developer will repay this advance of fees to the Agency over five years including interest at 11%. The Agency, in turn, is obligated to pay the developer from tax increment revenues the lesser of 65% of the tax increment revenues attributable to the Charter Centre for the first 10 years after the issuance of a Certificate of Occupancy, or the purchase price of $438,930 and the cost of improvements plus interest at 11% per annum. The Agency has the right to offset the deferred development fees described above against the amounts due to Mola Development Corporaiton for the public improvements and right of way. On July 1, 1987 the Agency paid $125,000 to Mola Development Corporation as the first installment payment. The amount represented interest on the $1,408,047 cost of public improvements and right of way. On July 6, 1988, subsequent to year-end, the City and Mola Development Corporation entered into agreeement which discharged the prior financial commitments of both the City and the Agency (see Note 10) . 8. CONTINGENCY: Commencing with fiscal year 1990-91 , and each year thereafter , the Redevelopment Agency will pay the Orange County Superintendent of Schools one-fourth of the tax increment revenues received by the Huntington Center (1" Redevelopment Project Area. 9. RESERVES: Under generally accepted accounting principles, a municipal entity may set up "reserves" of fund equity to segregate fund balances which are not (7) appropriable for expenditure in future periods , or which are legally set aside for a specific future use. Reserved for Debt Service This reserve sets aside fund balance to meet debt service for long-term debt (See Note 5) . Reserved for Low Income Housing This reserve represents 20% of tax revenue increment received to be set aside to finance low income housing, as per California State Health and Safety Code Section 33334.2. See accountants' report. C -10- 1 REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH NOTES TO FINANCIAL STATEMENTS (Continued) 1 June 30, 1988 9. RESERVES (CONTINUED) : Reserved for Capital Projects 1 These funds are reserved for future capital improvements of the Agency. Reserved for Land Held for Resale The reserve represents land held by the Agency that is legally committed for 1 resale, and will not be converted into cash or other liquid assets soon enough after year end to be considered "available" to meet current expenditures. 10. SUBSEQUENT EVENTS: On July 6, 1988, the Redevelopment Agency and Mola Development Corporation agreed on terms that satisfied the Owner Participation Agreement which originated in 1983. The terms of the agreement are described in Note 7. The agreed upon payment for the construction of right-of-way and public improvements was $1,200,000 which was paid on July 7, 1988. The agreed upon amount of deferred development fees due to the City was $300,000. Mola 1 advanced the Agency $100,000 on July 7, 1988 for its first installment on the deferred development fees. The balance of $200,000 will be paid in three installments of $81,843 beginning June 30, 1989 at 11% interest. Both the Agency and Mola agreed that this would satisfy all financial terms of the Owner Participation Agreement. 1 1 See accountants' report. -11- REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH COMBINING BALANCE SHEET ALL DEBT SERVICE FUNDS June 30, 1988 Talbert - Beach Project ASSETS Cash and investments $ 268,708 Cash with fiscal agent 682,806 Interest receivable 7,492 Taxes receivable 9,712 TOTAL ASSETS $ 968,718 • LIABILITIES AND FUND BALANCES LIABILITIES $ - FUND BALANCES: • Reserved for debt service 968,718 TOTAL LIABILITIES AND FUND BALANCES $ 968,718 • • • • See accountants' report. -12- Main - Yorktown - Huntington Pier Oakview Lake Center Project Project Project Project Totals $ 860,388 $ 543,352 $ 128,901 $ 726,285 $ 7,527,634 - - - - 682,806 4,515 2,989 777 3,617 19,390 18,745 - 8,977 62,961 100,395 $ 883,648 $ 546,341 $ 138,655 $ 792,863 $ 3,330,225 883,648 546,341 138,655 792,863 3,330,225 $ 883,648 $ 5462341 $ 138,655 $ 792,863 $ 3,330,225 i i I I -13- REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ALL DEBT SERVICE FUNDS For the year ended June 30, 1988 Talbert Beach Project REVENUES: Property taxes $ 133,608 From use of money and property 17,607 Lease payments and related fees 483,000 Interest income 64,558 TOTAL REVENUES 698,773 EXPENDITURES: Project improvements 135,763 Interest and letter of credit fees 483,000 Repayment of advances from City 100,000 TOTAL EXPENDITURES 718,763 EXCESS OF REVENUE OVER (UNDER) EXPENDITURES (19,990) FUND BALANCES - JULY 1, 1987 988,708 FUND BALANCES - JUNE 30, 1988 $ 968,718 See accountants' report. -14- t SUPPLEMBNTARY INFORMATION 1 1 Main - Yorktown - Huntington Pier Oakview . Lake Center 1 Project Project Project Project Totals $ 369,683 $ 280,000 $ - $ 790,009 $ 1,573,300 55,146 42,002 3,160 44,508 162,423 - - - - 483,000 - - - - 64,558 1 424,829 322,002 3,160 834,517 2,283,281 - - - - 135,763 125,000 - - 608,000 1 - - 574,500 674,500 - 125,000 - 574,500 1,418,263 424,829 197,002 3,160 260,017 865,018 1 458,819 349,339 135,495 532,846 2,465,207 $ 883,648 $ 546,341 $ 1381655 $ 7922863 $ 3,330,225 1 1 1 -15- 1 REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH COMBINING BALANCE SHEET ALL CAPITAL PROJECT FUNDS June 30, 1988 Talbert - Beach Project ASSETS Cash and investments $ 1,249,165 Taxes receivable - Interest receivable 4,069 Land held for resale - TOTAL ASSETS $ 1,253,234 C LIABILITIES AND FUND BALANCES LIABILITIES: Accounts payable $ 17,559 Accrued payroll 829 Note payable - TOTAL LIABILITIES 18,388 FUND BALANCES: Reserved for low-income housing - Reserved for capital projects 1,234,846 Reserved for land held for resale - TOTAL FUND BALANCES 1,234,846 TOTAL LIABILITIES AND FUND BALANCES $ 1,253,234 C� f See accountants' report. CO -16- 1 1 Main - Yorktown - Huntington Low Pier Oakview Lake Center Income 1 Project Project Project Project Housing Total $ 4,767,097 $ 2,989,675 $ 91,091 $ 5,773,199 $ 3,708,934 $ 18,579,161 - - - - 23,621 23,621 1 22,755 15,358 856 23,973 15,563 82,574 2,156,793 395,185 - 2,302,133 - 4,854,111 $ 61946,645 $ 3,400,218 $ 91,947 $ 8,099,305 $ 3,748,118 $ 23,539,467 1 $ 60,125 $ - $ - $ - $ 420 $ 78,104 8,184 2,460 422 4,385 561 16,841 817,717 - - - - 817,717 1 886,026 2,460 422 4,385 981 912,662 - - - 3,747,137 3,747,137 3,903,826 3,002,573 91,525 5,792,787 - 14,025,557 1 2,156,793 395,185 - 2,302,133 - 4,854,111 6,060,619 3,397,758 91,525 8,094,920 3,747,137 22,626,805 $ 6,946,645 3,400,218 91 947 $ 8,099,305 $ 3,748,118 $ 23,539,467 1 1 1 -17- 1 REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ALL CAPITAL PROJECT FUNDS For the year ended June 30, 1988 Talbert - Beach Project REVENUES: Tax increment revenue $From use of money and property 12,279 TOTAL REVENUES 12,279 EXPENDITURES: Housing and community development 155,668 Capital outlay - Repayment of advances 1,690,788 TOTAL EXPENDITURES 1,846,456 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES (1,834,177) OTHER FINANCING SOURCES: (7) Advances from City of Huntington Beach 137,105 Advances from Public Financing Authority 973,583 Gain on sale of land 726,864 TOTAL OTHER FINANCING SOURCES 1,837,552 EXCESS OF REVENUES AND OTHER SOURCES OVER EXPENDITURES 3,375 FUND BALANCE - JULY 1, 1987 1,231,471 FUND BALANCE - JUNE 30, 1988 $ 1,234,846 See accountants' report. -18- 1 1 Main - Yorktown - Huntington Low Pier Oakview Lake Center Income 1 Project Project Project Project Housing Total $ - $ - $ - $ - $ 393,325 $ 393,325 291,456 89,519 12,483 70,703 46,742 523,182 291,456 89,519 12,483 70,703 440,067 916,507 1 1,643,252 675,258 85,391 391,865 32,462 2,983,836 1,116,532 - - 1,676 - 1,118,208. - - - - - 1,690,788 1 2,759,784 675,258 85,391 393,481 32,462 5,792,832 2,463,328 (585,739) (72,908) (32,778) 407,605 (4,876,325) 4,281,782 938,027 123,488 758,494 - 6,238,896 2,707,016 2,478,878 - 5,735,821 2,973,825 14,869,123 - - - - - 726,864 6,988,798 3,416,905 123,488 6,494,315 2,973,825 21,834,883 4,520,470 2,831,166 50,580 6,171,537 3,381,430 16,958,558 1,540,149 566,592 40,945 1,923,383 365,707 5,668,247 $ 6,060,619 $ 3,397,758 $ 911525 $ 8,094,920 $ 3,747,137 $ 22,626,805 1 1 1 -19- 1 REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH ACCOUNTANTS' REPORT ON COMPLIANCE WITH AUDIT GUIDELINES FOR CALIFORNIA REDEVELOPMENT AGENCIES September 9, 1988 In connection with our examination of the financial statements of the Huntington Beach Redevelopment Agency as of and for the year ended June 30, 1988, we have performed, to the extent applicable, the tasks contained in Section I through V of the "Guidelines for Compliance Audits of California Redevelopment Agencies" published by the State Controller. Based on the above procedures, we are of the opinion that the Agency complied in all material respects with criteria established in the State Controller' s guidelines referred to above. C� -20- REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH FINANCIAL STATEMENTS June 30, 1988 TABLE OF CONTENTS 1 Page Number Accountants' Report 1 General Purpose Financial Statements: Combined Balance Sheet - All Fund Types and Account Group 2 Combined Statement of Revenues, Expenditures and Changes in Fund Balances - All Governmental Fund Types 3 Notes to Financial Statements 4 - 11 Supplementary Information: Combining Balance Sheet - All Debt Service Funds 12 - 13 Combining Statement of Revenues, Expenditures and Changes in Fund Balances - All Debt Service Funds 14 - 15 Combining Balance Sheet - All Capital Project Funds 16 - 17 Combining Statement of Revenues, Expenditures and Changes in Fund Balances - All Capital Project Funds . 18 - 19 Accountants' Report on Compliance with Audit Guidelines for California Redevelopment Agencies 20 — 316 . 30 REQUEST FOR REDEVELOPMENT AGE ACTION " APPROVED BY CITY CODNCz:�- 9I/S I- � HC 4D ED 90-21 4. Date September 17, 1990 CITY a i i Honorable Chairman and Reddvelopfnent Agency Members Submitted to: Michael T. Uberuaga, Chief Executive Officer �� Submitted by: Barbara A. Kaiser, Deputy City Administrator/Economic Development ( Prepared by: APPROVAL OF ANNUAL REPORT OF THE HUNTINGTON BEACH Subject: REDEVELOPMENT AGENCY FOR FISCAL YEAR 1988/89 Consistent with Council Policy? pQ Yes [ J New Policy or Exception Statement of Issue, Recommendation, Analysis, Funding Source, Alternative Actions, AttachOntsr 't7 2 � 7 m rn STATEMENT OF ISSUE: a o N T, Z ., In accordance with provisions of Section 33080.1 of the State of California's Healtliand Safety Code, the Redevelopment Agency is required to prepare an annual report toao 7n forwarded to the State of California Department of.Housing and Community Development (HCD). Attached for your review is the annual report for Fiscal Year 1988/89. RECOMMENDATION:. Approve attached annual report and direct staff to forward necessary copies of both the Agency's annual report and audit to the State of California, Department of Housing and Community Development. ANALYSIS: In accordance with the State Redevelopment Law, the Redevelopment Agency is required to submit an annual report pursuant to the provisions.of Section 33080.1 of the Health and Safety Code. State Law mandates that the annual report contain the following elements: an independent financial audit report for the previous fiscal year (1988-89); a_work program for the coming year (1989-90) including goals; an examination of the previous year's achievements; a comparison of those achievements with the goals and objectives of the previous year; recommendations for needed legislation to carry on a program of housing and community development in California, and a description of the Agency's activities affecting housing and displacement during the 1988-89 fiscal year. The annual report describes and analyzes the Main—Pier, Oakview, Talbert—Beach, Yorktown-Lake, and Huntington Center Redevelopment Project Areas in terms of the above referenced reporting requirements. PI O/1/85 ED 90-21 September 17, 1990 Page Two FUNDING SOURCE: Not applicable. ALTERNATIVE ACTION: The annual Report is a mandatory requirement of the State of California and must be submitted to the Department of Housing and Community Development. ATTACHMENTS: 1. 1988/89 Annual Report. 2. Redevelopment Agency Audit PEC/DLB/EN:sar 0408 R 1 X� ANNUAL REPORT OF THE HUNTINGTON BEACH REDEVELOPMENT AGENCY 1989/1999 In accordance with the provision of Section 33080.1 of the State of California Health and Safety Code, this report has been prepared for the Huntington Beach Redevelopment Agency for Fiscal Year 1988/89. The "audit report," as defined in subsection (a) 33080.1, was prepared by the Agency's independent financial auditors, Diehl Evans. As of July 1, 1989, the Huntington Beach Redevelopment Agency had five project areas: Talbert-Beach, Yorktown-Lake, Oakview, Main-Pier, and Huntington Center. The Main-Pier Redevelopment Project Area was amended in June of 1983, and the Oakview RPA was amended in July of 1989. The following pages outline the work programs and discuss the accomplishments of each project area. -1- MAIN-PIER REDEVELOPMENT PROJECT AREA I. MAIN-PIER REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1989/90 The work program for the Main-Pier Redevelopment Project Area for Fiscal Year 1989/90 represents the third year of a five year redevelopment program of implementation and reinvestment for the downtown area. Activity generated by the 1988/89 work program consists of the preparation of several development plans and the consolidation and acquisitions of properties by private developers. The Main-Pier Redevelopment Project Area is broken down into seven (7) subareas: Town Square, Main-Pier, Downtown Core, Beach-City, Blufftop, Huntington-Lake, and Atlanta-Beach. It is anticipated that the majority of activity for Fiscal Year 1989/90 will occur in the Town Square and Main-Pier Subareas. The following is a summary of the Agency's Work Program for the Main-Pier Redevelopment Project Area for 1989/90: Project Description/Goals • Prepare a marketing study and commence a marketing program for downtown. • Complete north of the pier resource documentation and State Beach General Plan. • Implement concepts identified in the Historic Resources Survey. • In conjunction with the developer, complete Pierside Restaurant Development Plan and begin construction. • Continue downtown property acquisitions and owner/tenant relocations. • Complete engineering and design of parking structure at north side of pier and begin construction. Complete construction of- - Second Block Parking Structure (Main Promenade) - Retail portion of Town Square. • Commence negotiations for a Disposition and Development Agreement for the Third Block West Project. • Prepare a downtown retail leasing study. -2- e Complete negotiations for a Disposition and Development Agreement for Lake Street/PCH. i Complete negotiations for a Disposition and Development Agreement for Main-Pier Phase U. • Complete negotiations for a Disposition and Development Agreement for Block 101. II. MAIN-PIER REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1988/99 A Work Program for the Main-Pier area was adopted by the Huntington Beach Redevelopment Agency in December of 1986. This program outlined several goals and objectives which consists mostly of the preparation of several master plans and the consolidation of properties by private developers. The following is a review of the goals and achievements for the Fiscal Year 1988/89: Project Description: • Continued DDA negotiations for Main-Pier Phase II • Completed Historic Resources Survey • Completed construction of Huntington Bayshore (a 159 unit condominium project) • Plans completed for the 200 block retail/parking structure • Construction commenced on Pierside Pavilion, which contains a six-plex cinema, a restaurant, night club, and visitor serving retail and office space; and on Pier Colony, a 130 unit condominium project. -3- OAKVIEW REDEVELOPMENT PROJECT AREA I. OAKVIEW REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1989/90 The work program for the Oakview Redevelopment Project Area for Fiscal Year 1989/90 represents the third year of a five year redevelopment plan of implementation and reinvestment for the Oakview Neighborhood. The work program focuses primarily on the implementation of the Oakview Land Use and Circulation elements. The following is a summary of the Agency's Work Program for the Oakview Redevelopment Project Area for Fiscal Year 1989/90: Project Description/Goals • Rehabilitate 6 to 8 existing four-plexes in the southern Oakview neighborhood using Community Development Block Grant (CDBG) funds. • Install water lines in North Oakview area. • Initiate street improvement plans in North Oakview. • Underground utilities on Cypress Avenue. • Traffic signal installation at Warner Avenue and Ash Street. • Initiate construction of facility (south of Charter Centre to Cypress Avenue) of additional office use and parking with National Glass. • Implementation of carport conversion project in southern Oakview. • Complete the Queens Lane Neighborhood Enhancement Project. 11. OAKVIEW REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1988/89 The project area goal has been primarily to maximize the economic potential of commercial areas along Beach Boulevard and Warner Avenue; to improve and protect the integrity of Oakview's residential areas; and to implement street and public improvements for the area. -4- Project Description • Jacquelyn Lane Neighborhood Enhancement project completed. • Prepared Redevelopment Plan amendment to raise the level of tax increment financing. • Rehabilitated 60 multi-family housing units in South Oakview • Completed Koledo Lane off site improvements (CDBG) • Neighborhood Improvements (CDBG) • Undergrounding of Utilities • Traffic Signal Installations: Warner Avenue at Ash Street • Proceed with rights-of-way dedications for North Oakview Street improvments • Develop plans for the installation of water lines in the North Oakview area. • Consulted with the Public Works Department on the feasibility of installing traffic signals at Warner Avenue and Ash Street. -5- TALBERT BEACH REDEVELOPMENT PROJECT AREA I. TALBERT-BEACH REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1989/90 The work program for the Talbert-Beach redevelopment project area represents the third year of a five year program of implementation and reinvestment in that area. Located within this project area are three sub areas: Conventional Housing, Terry Park, and the Industrial Park. Development within the Conventional Housing subarea and the Terry Park subarea has commenced. The Industrial Park subarea will be developed with light industrial uses. The success that the Agency has had in bringing about redevelopment in this area and the use of the Industrial site as stated are reflective of what can and will be accomplished through public-private cooperation. The following is a summary of the Agency's Work Program for the Talbert-Beach Redevelopment Project Area for 1989/90. Project Description/Goals • Develop a specific design plan for a proposed housing development (145 units) site which is architecurally compatible with adjacent residential projects. U. TALBERT BEACH REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1988/89: A Work Program budget was adopted by the Huntington Beach Redevelopment Agency for Fiscal Year 1988/89. The budget outlined several goals related to the development of a 145 unit housing development for the Talbert-Beach Redevelopment Project Area, primarily focusing on the acquisition of property and the establishment of development agreements. The following is a review of the goals and achievements for the 1988/89 fiscal year: Project Description • Completed construction of an 120,000 square foot single tenant industrial building. • Initiated legal services and property acquisitions for the future development of several vacant parcels adjacent to the Emerald Cove senior housing project. -6- HUNTINGTON CENTER REDEVELOPMENT PROJECT AREA I. HUNTINGTON CENTER REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1989/90 The Work Program for the Huntington Center Redevelopment Project Area for Fiscal Year 1989/90 represents the third year of a five year plan. The focus of the Work Program is on coordinating various planning activities with the City of Westminster, the County of Orange and the State of California which will lead to effective traffic circulation within the project area. The following is a summary of the Agency's Work Program for the Huntington Center Redevelopment Project Area for 1989/90: Project Description • Gothard-Hoover Extension: - Revise O.C. Master Plan of Arterial Highways. - Begin IWA Gothard extension feasiblity study. - PBQ & D Gothard Extension Traffic Study. • Continue discussions on right-of-way needs with property owners - (Southern Pacific, Edison, OCTD). • Negotiate contract for concept development and feasibility for additional westbound through lane on Center Drive at I-405 off ramp. • Work with the Orange County Transit District (OCTD) to implement a joint development project for Goldenwest Transportation Center located at Gothard and Center Drive. • Acquire parcels from I-405 to Bolsa Avenue. -7- II. HUNTINGTON CENTER REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1988/89 The following is a review of the goals and achievements for the 1988/89 fiscal year: Project Description • Gothard-Hoover Extension: - Seek approval from Westminster for Gothard extension. - Revise O.C. Master Plan of Arterial Highways as joint effort with Westminster. - Complete IWA Gothard extension engineering - Started PBQ&D Gothard Extension Traffic Study. - Discuss right-of-way needs with property owners (Southern Pacific, Edison, OCTD). • Conducting Feasiblity analysis of new driveway from I-405 off-ramp into Huntington Center Drive. Drive at I-405 off-ramp. • IWA contract for concept development and feasibility analysis for an addtional westbound "through" lane on Center Drive at I-405 off ramp approved. • The Orange County Transit District requested proposals to implement a joint development project for Goldenwest Transportation Center located at Gothard and Center Drive with developer selection scheduled for 1989-90. • I-405 off-ramp/Center Drive plans under study. • Finalized plans for the Edinger Underground Utility Project - from Beach to Gothard on Edinger and on Beach from I-405 to Holt. -8- YORKTOWN-LAKE REDEVELOPMENT PROJECT AREA I. YORKTOWN-LAKE REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1989/90 The work program for the Yorktown-Lake Redevelopment Project Area for Fiscal Year 1989/90 represents the third year of a five year plan of implementation. Projects for the coming fiscal year include detail planning studies for the implementation of a development plan for the entire project area. The following is a summary of the Agency's Work Program for the Yorktown-Lake Redevelopment Project Area for 1989/90: Project Description/Goals: • Prepare a financial plan for improvements to the Civic Center and its parking facilities. • Complete final design and construction drawings for Civic Center expansion and parking facilities. • Approve a development plan for the residential portion of the project area and commence construction of 86 single-family detached homes. Ii. YORKTOWN-LAKE REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1988/89 A work program for the past fiscal year was adopted in December of 1988. This budget called for various actions which would result in possible development alternatives. The following is a summary of the goals and achievements for the 1988/89 fiscal year: Project Description • Completed a land exchange agreement with Huntington Beach Company. • Prepared a conceptual site plan for the Civic Center and additional parking facilities. • Constructed approximately 80 additional surface parking spaces. -9- RECOMMENDED LEGISLATION TO ENHANCE REDEVELOPMENT The Huntington Beach Redevelopment Agency, through its participation in various statewide organizations, is currently assessing and reviewing the need for new legislation that would assist the City in its redevelopment activity. DESCRIPTION OF THE HUNTINGTON BEACH REDEVELOPMENT AGENCY'S ACTIVITIES AFFECTING HOUSING AND DISPLACEMENT: HUNTINGTON BEACH REDEVELOPMENT AGENCY 1) During the 1988-89 fiscal year, approximately 33 businesses and 65 individual households were relocated from all project area. 2.) During these fiscal years, approximately 68 housing units for very low, low and moderate income families were removed due to Redevelopment Agency activity. 0408 R -10- RFF JEWPMERr AGENCY OF CITY OF HUNrINGION MACH FINANCIAL 5 WEM MICRT ON AUDIT BY C�� PUBZIC ACCOURLAWS J= 30, 1989 :.l J 1 REDEVELOPMENr AGENCY OF THE C= OF HUNTING ON BEACH FIlNANCIAT, SIM 14ENIS June 30, 1989 TABLE OF CWTE N S Page Number Independent Auditors' Report 1 General Purpose Financial Statements: Combined Balance Sheet - All Fund Types and Account Group 2 Combined Statement of Revenues, Expenditures and Changes in Fund Balances - All Govenmtiental Fund Types 3 Notes to Financial Statements 4 - 14 Supplementary Information: Combining Balance Sheet - All Debt Service Funds 15 - 16 Combining Statement of Revenues, Expenditures and Changes in Fund Balances - All Debt Service Funds 17 - 18 Combining Balance Sheet - All Capital Project Ftinzds 19 - 20 Combining Statement of Revenues, Excpenditures and Changes in Ru-d Balances - All Capital Project Funds 21 - 22 Accountants' Report on Compliance with Audit Guidelines for California Redevelopment Agencies 23 D1EHL,EVANS &COMPANY OTHER OFFICES AT: CER77FlEDPUBLIC ACCOUNTAN75 2965 ROOSEVELT ST. CARLSBAD.CA 9 2008-2 38 9 A P"TNFRSHIP INCLVDMO•CCDUNTANCY CORPORATIONS (6191 729-2343 18401 VON KARMAN.SUITE 200 120 WEST WOODWARD AVE. IRVINE • CALIFORNIA 92715-1542 ESCONDIDO.CA 42025-9990 PHONE(714) 757-7700 1619) 741.3141 FAX(714) 757-2707 September 14, 1989 l INDEPIIQDIIII' AUDITORS REPORT 7 Agency Numbers Redevelopment Agency of the City of Huntington Beach Huntington Beach, California We have audited the general purpose financial statements of the Redevelopment Agency of the City of Huntington Beach, as of and for the year ended June 30, 1989, as listed in the table of contents. These financial statements are the responsibility of the Agency's management. Our responsibility is .to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the general purpose financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit :) also includes -assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall general purpose financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the general purpose financial statements referred to above J present fairly, in all material respects, the financial position of the Redevelopment Agency of the City of Huntington Beach as of June 30, 1989, and the results of its operations for the year then ended in conformity with generally accepted accounting principles. Our audit was made for the purpose of forming an opinion on the general purpose financial statements taken as a whole. The financial statements of the individual funds listed in the table of contents are presented for purposes of additional analysis and are not a required part of the general purpose financial statements of the Redevelopment Agency of the City of Huntington Beach. The information has been subjected to the auditing procedures applied in the audit of the general purpose financial statements and, in our opinion, is fairly 1 stated in all material respects in relation to the general purpose financial statements taken as a whole. -1- ,.i REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH COMBINED BALANCE SHEET - ALL FUND TYPES AND ACCOUNT GROUP June 30, 1989 Account Group Lease Governmental Payments Fund Types Receivable Debt Capital and General Totals Service Projects Lang-term (MemorandLun ASSETS Funds Funds Debt Only) Cash and investments (Notes 1B and 3) $ 3,713,779 $ 18,179,135 $ - $ 21,892,914 Cash with fiscal agent (Notes 1B, 3 and 5B) 322,474 - - 322,474 Interest receivable 16,967 81,848 - 98,815 Taxes receivable 34,062 8,515 - 42,577 Accounts receivables - 81,843 - 81,843 Land held for resale - 19,549,202 - 191549,202 Lease payments receivable (Note 5D) - - 6,362,127 6,362,127 Unearned finance changes (Note 5D) - - (2,148,583) (2,148,583) Amount available in debt service funds - - 4,087,282 4,087,282 Amount to be provided for repayment of debt - - 83,886,590 83,886,590 TOTAL ASSETS $ 4,087,282 $ 37,900,543 $ 92,187,416 $134,175,241 LIABILITIES AND FUND BALANCES LIABILITIES: Accounts payable $ - $ 981,722 $ - $ 981,722 Accrued payroll - 11,436 - 11,436 Notes payable (Note 5C) - - 2,874,500 2,874,500 Due to City of Huntington Beach_ and Public Financing Authority (Note 5A) - - 82,937,367 82,937,367 Owner participation agreement (Notes 5B and 7) - - 1,775,549 1,775,549 Certificates of participation payable (Note 5D) - - 41600,000 4,600,000 TONAL LIABILITIES - 993,158 92,187,416 93,180,574 FUND BALANCES (NOTE 9) : Reserved for debt service 4,087,282 - - 4,087,282 Reserved for low-income housing - 5,273,275 - 5,273,275 Reserved for land held for resale - 19,549,202 - 19,549,202 Reserved for capital projects - 12,084,908 - 12,084,908 Tl7TAL FUND BALANCES 4,087,282 36,907,385 - 40,994,667 TOTAL LIABILITIES AND FUND BALANCES $ 4,087,282 $ 37,900,543 $ 92,187,416 $134,175,241 See independent auditors' report and notes to financial statements. -2- REDE.'VELOPME Rr AGENCY OF THE CITY OF HUNTINGTON BEACH COED STATEMENT OF REVENUES, EXPENDITURES AND CHNNGES IN FUND BALANCES - ALL GO FUND TYPES 7 For the year erred June 30; 1989 Debt Capital Totals Service Projects (Memorandum Fund Fund Only) REVENUES: Tax increment revenue (Note 4) $ 1,966,362 $ 493,015 $ 2,459,377 Fx n use of money and property 709,184 1,504,226 2,213,410 Lease payments and related fees (Note 5D) 58,326 - 58,326 TOTAL REVENUES 2,733,872 1,997,241 4,731,113 EXPENDITURES: Interest and letter of credit fees (Note 5) 2,227,443 - 2,227,443 Housing and cmmanity development - 3,853,751 3,853,751 Capital outlay - 29,376,516 29,376,516 Debt service: Repayment of advances from City 212,000 6,247,275 6,459,275 Interest expense - 155,051 155,051 Principal payments - 1,206,793 1,206,793 TOTAL EXPENDITURES 2,439,443 40,839,386 43,278,629 EXCESS OF REVENUES OVER (UNDER) EXP MITURES 294,429 (38,842,145) (38,547,716) OTHER FINANCING SOURCES (USES) j Advances from City of Huntington Beach (Note 5) - 40,009,783 40,009,783 Advances frcan Public -Financing Authority debt (Note 5) 462,628 5,796,581 6,259,109 Proceeds from joint venture loan (Note 7A) - 1,711,629 1,711,629 Proceeds frcen long-tern debt - 5,604,832 5,6041832 TOTAL OTHER FIN1ANCING SOURCES 462,628 53,122,725 53,585-,353 EXCESS OF REVENUES AND OTHER SOURCES OVER EXPENDITURES 757,057 14,280,580 15,037,637 FUND BALANCES - BEGINNING OF YEAR 3,330,225 22,626,805 2519571,030 FUND BALANCES - ELIDING OF YEAR $ 4,087,282 $ 36,907,385 $ 40,994,667 See independent auditors' report and notes to financial statements. -3- REDEVELOPMENT AGENCY OF THE CITY OF HUNTING'IION BEACH N= TO FINANCIAL STATEIMIS June 30, 1989 1. SIGNIFICANT ACCOUNTING POLICIES: A. Basis of Accounting: The modified accrual basis of accounting is followed by the Redevelopment Agency of the City of Huntington Beach (the Agency) . Revenues are recognized when they become measurable and available to finance expenditures of the current period. Expenditures are recorded at the time liabilities are incurred, except that principal and interest payments on long-term debt are recorded as expenditures when due. B. Investments: Investments are stated at cost, which was equal to market value at June 30, 1989. If market value declines below cost, no loss is recorded if such declines are considered temporary. C. General Fixed Assets: The Agency has no capitalized general fixed assets. Project costs incurred such as roads and streets, curbs, gutters, drainage systems, lighting systems and other similar project costs are recorded as expenditures of the Capital Projects Fund. D. Financial Reporting: Total columns in the accompanying financial statements are captioned "Memorandum Only" to indicate that they are presented only to facilitate financial analysis. The totals are not comparable to a consolidation in that interf nd eliminations have not been made in combining the data. E. Budgetary Reporting: The budgets of the Agency are primarily "long-term" budgets which emphasize capital outlay plans extending over one year. Because of the long-term nature of redevelopment projects, "annual" budget comparisons are not considered meaningful and accordingly, no budgetary information is included in the accompanying financial statements. See independent auditors' report. -4- REDEVELOPMENT AGENCY OF THE CITY OF HUNI'INGTON BEACH NOTES TO FINANCIAL SMIM TI'S (Continued) June 30, 1989 1. SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) : F. Administrative and Overhead Charges: Pursuant to the California Community Redevelopment law, Chapter 6, Article 2, Section 33610, a city may elect to allocate administrative and overhead expenses to a redevelopment agency, either as a grant or a loan. During the fiscal year ended June 30, 1989 , the City of Huntington Beach inured certain salary and overhead expenses in behalf of the Agency and elected to allocate these expenses to the Agency. 2. DESCRIPTION OF 'FUNDS: A. Debt Service Funds - Tax increment revenue and related interest income are placed in these funds. The funds are then used to repay principal and interest on indebtedness of the Agency. Any fund balance is reserved for debt retirement. Under provisions of the Health and Safety Code, such a fiend is referred to as a "Special Fund". B. Capital Projects Funds - A separate capital projects fund is used to account for all revenues and expenditures, other than those related to debt service of each project, including costs of site improvements and an allocation at administrative expenditures incurred in sustaining Agency activities. Under provisions of the Health and Safety Code such a fund is referred to as a "Redevelopment Rind". C. Lease Payments Receivable and General Long-Term Debt Account Group - Agency debt which is not payable from currently held assets is recorded for.memorandum purposes in this account group. As more fully described at Note 5, the terms of repayment on debt to the City are indefinite. Thus, all debt to the City is classified as long-term, even though it My be repaid shortly after balance sheet date. The account group is J also used to account for lease payments receivable (See Note 5) . 3. CASH AND INVESIMM: The following disclosures are made in accordance with GASB Statement No. 3: Cash and investments at June 30, 1989 consisted of the following: Cash and investments $ 21,892,914 Cash with fiscal agent 322,474 Total $ 22,215,388 See independent auditors' report. -5- J REDEVEUJPMF.Nr AGENCY OF THE CITY OF HUNrINGION BEACH WIES TO FIIWCTAT• STATIIERM (Continued) June 30, 1989 3. CASH AND (CWrINUM) : The Agency's investments are categorized as follows: Market Cost Value Category 1: Insured or unregistered, or securities held by the Agency or its agent in the Agency's name $ - $ - Category 2: Uninsured and unregistered with securities held by the counterparty's trust department or agent in the Agency's name - - Category 3: Uninsured and unregistered with securities held by the counterparty, or by its trust department or agent, but not in the-Agency's name 322,474 322,474 Cash and investments pooled with the City of Huntington Beach 21,892,914 21,892,914 Total $ 22,215,388 $ 22,215,388 Safekeeping Arrangements' First Interstate Bank acts as fiscal agent for the Certificates of Participation holders and holds all revenues received in trust. All securities and demand deposits held by the trustee are in the trustee's name and are held in their trust department. The Agency does not own specifically identifiable securities in the City of Huntington Beach Pool. Allocation of Interest Among Funds: Interest income is allocated monthly on the various funds based on the month-end cash balances. Interest income from restricted cash is recorded directly in the fund earning the income. See the City of Huntington Beach annual report as of and for the year ended June 30, 1989 for additional GASB 3 disclosures on investments. See independent auditors' report. -6- REDEVELOPMENT AGENCY OF THE CITY OF HUNI'.IIN= BEACH NOTES TO FINANCIAL STIATE[IENM (Continued) June 30, 1989 4. ORGANIZATION AND TAX INCTREMERr FINANCING: The Redevelopment Agency of the City of Huntington Beach was created by City Council Ordinance Number 1785 adopted on January 1, 1967. The primary purpose of the Agency is to encourage private redevelopment of property and to rehabilitate those areas suffering economic disuse arising from poor and inadequate planning, inadequate street layout and street access, lack of open space or landscaping, and provide other improvements and facilities necessary to establish and maintain the economic growth of the City. The Agency's primary source of revenue comes from property taxes, referred to in the ac=q:)anying financial statements as "tax increment revenue". The assessed valuation of all property within the project area is determined on the date of adoption of the Redevelopment Plan. Property taxes related to the incremental increase in assessed values after the adoption of the Redevelopment Plan are allocated to the Agency; all taxes on the "frozen" assessed valuation of the property are allocated to the City and other districts. The Agency currently has five project areas and a low income housing program. The Talbert-Beach project includes approximately 50 acres and its anticipated land use is an industrial park. The Main Pier project includes approximately 300 acres within the downtown area adjacent to the pier and beach. The anticipated land uses includes commercial, office and residential mixed use projects and a variety of public facilities. The Oakview project, comprising 68 acres, includes the Charter Centre Office building, a canm ercial and theatre complex and rehabilitation of existing residential properties. The Yorktown-Lake project includes 30 acres of single-family housing and public facilities. The Huntington Center project Provides parking and traffic circulation improvements. 5. C:IUMES IN IDNGJIEI DEBT: Net Balance Additions Balance July 1, 1988 (Repayments)_ June 30, 1989 Due to the City of Huntington Beach and Public Financing Authority: From sale of land to the Agency by the City's Park Acquisition and Development Fund for $1,740,834 plus accrued interest at 10% per annum $ 2,109,327 $ (194,410) $ 1,914,917 See independent auditors' report. -7- i1 REDEVEMPMM AGENCY OF THE CrrY OF HUN ING ON BEACH NOT`E5 TO FINANCIAL, STATEMENTS (Continued) June 30, 1989 5. CHANGES IN IONG-rERK DEBT (CONTINUED) : Net Balance Additions Balance July 1, 1988 (Repayments) June 30, 1989 From sale of land to the Agency by the City's General Fund for $405,536, plus accrued interest at 10% per annum $ 653,120 $ 31,695,170 $ 32,348,290 From sale of land by the City General Fund for $1,228,381 plus interest at 10% per annum 1,351,219 - 1,351,219 Cash advances from the City's General Fund plus accrued interest at 10% per annum 14,044,561 357,647 14,402,208 Cash advances from the City's Other Grants Fund 1,064,483 108,094 1,172,577 Cash advances from the City's Water Fund plus accrued interest at 10% per annum 1,259,390 125,939 1,385,329 Unpaid developers fees payable to various-City funds, to be subsidized by the Agency plus accrued interest at 10% per annum 923,825 (178,276) 745,549 Cash advances from the Public Financing Authority in June 1989 totalling $14,869,123 plus accrued interest of $367,615 ccuputed at varying rates 15,236,738 6,103,040 21,339,778 Cash advances from the Drainage Fund totaling $250,000 plus interest of $25,000 computed at 10% per annum 275,000 27,500 302,500 Cash advances from the Gas Tax Fund totaling $500,000 plus interest of $50,000 computed at 10% per annum - 550,000 550,000 Cash advances from Parking Structure Fund totaling $6,750,000 plus interest of $675,000 computed at 10% per annum - 7,425,000 7,425,000 Total 36,917,663 46,019,704 82,937,367 Amount due under Owner Participation Agreements (See Note 7) 1,408,047 367,502 1,775,549 Notes payable - 2,874,500 2,874,500 Certificates of Participation 4,600,000 - 4,600,000 Total Long-Term Debt $ 42,925,710 $ 491261,706 $ 92,187,416 See independent auditors' report. -8- REDEVELOPMENT AGENCY OF THE CITY OF HUN INGTON BEACH NC7TFS TO F 4ANCLkL STATEMM (Continued) June 30, 1989 5. CHANGES IN L NG-TMA DEBT (CONTINUED) : A. Since payment by the Agency to the City and Public Financing Authority on the various transactions will be made from tax increment revenues in future years, the debt is classified as long-term. B. Beginning in 1983, the Redevelopment Agency entered into various agreements with outside parties to facilitate redevelopment activities. In 1983, the Redevelopment Agency agreed to purchase certain public improvements from Mola Development Corporation for $1,408,047. The amount carried interest at 11% per annum. The amount was to be repaid to Mola by a pledge of tax increment revenues generated by other improvements constructed by Mola. In July 1988, the Agency and Mola agreed to settle the debt for $1,200,000. In 1988, the Redevelopment Agency was loaned $2,730,332 by a private corporation to relocate tenants of a mobile home park. The advance carries no stated interest and will be repaid with a pledge of tax increment revenues and transient occupancy tax received by the Agency. At June. 30, 1989, $1,775,549 is shown as principal owed. This amount represents the net present value of payments totalling $2,730, 332 expected to be made from 1992 to 1998 at a discount rate of 8 percent. C. In 1988 the Redevelopment Agency purchased property in the Main/Pier project area and assumed three separate mortgages. The mortgages bear interest at 11% with debt service payable monthly according to the j mortgage contract. Below is a schedule of debt service requirements to maturity. Fiscal Year wing June 30 Principal Interest Total 1990 $ 13,500 $ 321,000 $ 334,500 1991 1,050,000 200,000 1,250,000 1992 1,014,000 134,000 1,148,000 1993 18,000 87,000 105,000 1994 21,000 85,000 106,000 1995 758,000 759,000 1,517,000 Total $ 2,874,500 $ 1,586,000 $ 4,460,500 See independent auditors' report. -9- dd elf • HASEKO(California),Inc. re- ��^i e� �• �° �u 6�c '�° �� Suite 240 World Trade Center �✓j + I��; �i HASEKO 350 So. Figueroa Street Los Angeles,CA 90071 I�.1 l � September 30, 1991 Tel:213/617'1414 Fax 213i680'4184 City of Huntington Beach: Mayor Peter Green Councilman Don Mac Allister Councilwoman Linda Moulton-Patterson Councilwoman Grace Winchell Councilman Jim Silva Councilman Jack Kelly ' G Councilman Earle Robitaille a - ' 4 rr, _<Cn Subject: Unused Certificates of Participation Bonds L. lR,m This letter is in reference to the 10. 2 million dollars in � bond funding that may be available to the downtown area and-'__ other City projects. , Haseko (California) , Inc. and our partner, California Resorts International, developed the Pierside Pavilion entertainment center and the Pier Colony condominium project in downtown Huntington Beach. Our commitment to the downtown area exemplifies our concern for the future redevelopment of the area. The downtown area has the potential to be a major destination point for Huntington Beach residents and visitors. The impact of the slower than anticipated redevelopment of the areas around Main Street and the Pier have greatly impacted our Pierside Pavilion entertainment center and other area retailers. The reduced customer traffic and the poor downtown image directly effects the retail sales in the area. Therefore, On behalf of Haseko (California) , Inc. , we are requesting that the unused bond funding be allocated to the redevelopment of downtown Huntington Beach, specifically, 1st through 5th Streets. Sincerely, HASEKO (CALIFORNIA) , INC. 6� ` 4�4, Jim Shaw Director of Asset Management and Acquisitions 3O P REQUEST FOR REDEVELOPMENT AGENCY ACTION°"' `'' RH 91-83 Date December 16, 1991 Submitted to: Honorable Chairman and Redevelopment Agency Members Michael T. Uberuaga, Executive Director. ` �/� . Submitted by: ., �_ �C4 Prepared by: Barbara A. Kaiser, Deputy City Administrator/Economic Developme t Subject: APPROVAL OF ANNUAL REPORT AND STATE CONTROLLER'S REPORT OF 1THE HUNTINGTON:BEACH REDEVELOPMENT AGENCY FOR FISCAL YEAR Consistent with CoU1i�q�MOLly? [ ] Yes [ ] New Policy or Exception Statement of Issue, Recommendation, Analysis, Funding Source, Alternative Actions, Attachment APPROVED BY CITY COUNCIL 19-u STATEMENT OF ISSUE: cilry cL xx In accordance with provisions of Section 33080.1 of the State of California's Health and Safety Code, the Redevelopment Agency is required to prepare an Annual Report to be forwarded to the State of California Department of Housing and Community Development (HCD). Attached for your review are the Annual Report and State Controller's Report for fiscal year 1990/1991. RECOMMENDATION: Approve attached Annual Report and State Controller's Report, and direct staff to transmit required documents to the State of California, Department of Housing and Community Development. ANALYSIS: In accordance with the State Redevelopment Law, the Redevelopment Agency is required to submit an Annual Report pursuant to the provisions of Section 33080.1 of the Health and Safety Code. State Law mandates that the Annual Report contain the following elements: an independent Financial Audit Report for the previous fiscal year (1990-1991); a work program for.the coming year (1991-1992) including goals; an examination of the previous year's achievements; a comparison of those achievements with the goals and objectives of the previous year; recommendations for needed legislation to carry on a program of housing and community development in California, and a description of *the Agency's activities affecting housing and displacement during the 1990-1991 fiscal year. The Annual Report describes and analyzes the Main-Pier, Oakview, Talbert-Beach, Yorktown-Lake, and Huntington Center Redevelopment Project Areas in terms of the above referenced reporting requirements. PIO/1/85 r, 3 i FUNDING SOURCE: Not applicable. ALTERNATIVE ACTION: The Annual Report is a mandatory requirement of the State of California and must be submitted to the Department of Housing and Community Development within six months of the end of the fiscal year. ATTACHMENTS: 1) 1990/1991 Annual Report. 2) State Controllers Report. MTU/BAK:sar 0626y r ANNUAL REPORT OF THE HUNTINGTON BEACH REDEVELOPMENT AGENCY 1990/1991 In accordance with the provision of Section 33080.1 of the State of California Health and Safety Code, this report has been prepared for the Huntington Beach Redevelopment Agency for Fiscal Year 1990/91. The "Audit Report," as defined in subsection (a) 33080.1, was prepared by the Agency's independent financial auditors, Diehl Evans. As of July 1, 1990, the Huntington Beach Redevelopment Agency had five project areas: Talbert-Beach, Yorktown-Lake, Oakview, Main-Pier, and Huntington Center. The Main-Pier Redevelopment Project Area was amended in June of 1983, and the Oakview RPA was amended in July of 1989. The following pages outline the work programs and discuss the accomplishments of each project area. -1- MAIN-PIER REDEVELOPMENT PROJECT AREA I. MAIN-PIER REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1991/92 The following is a summary of the Agency's Work Program for the Main-Pier Redevelopment Project Area for fiscal year 1991/92: 1) Complete Disposition and Development Agreement negotiations for the Main-Pier Phase II mixed use project, incorporating a two-block site at Main and Pacific Coast Highway. 2) Conclude negotiations, approve amended documents, entitlements, and financing for the Waterfront Phase II including the Sheraton Hotel and health/tennis facility. 3) Commence construction of: * Third Block West * US Post Office Renovation * Abdelmuti Development Company Retail/Office/Commercial * The Waterfront Phase II * The Art Center Renovation And complete construction of: * Second Block Alley Renovation 4) Complete a plan for the Pier Plaza area, incorporating either a new restaurant or a renovated Maxwell's restaurant that is consistent with the South Beach Improvement Master Plan. 5) Continue downtown property acquisitions for the purpose of site assembly for future redevelopment. 6) Continue negotiations on the Standard Market site at Main Street and Walnut Avenue for redevelopment of the property. 7) Prepare a document interpreting the development potential of the amended Downtown Specific Plan. 8) Develop a plan for the renovation of the shopping center at Atlanta Avenue and Beach Boulevard. 9) Supervise and/or cooperate in the leasing of commercial space in Town Square and office and commercial space in Main Promenade, Pierside Pavilion, and the future Abdelmuti building. 10) Explore the development of affordable housing projects within the Main-Pier Project Area and citywide (See Affordable Housing section). -2- I � II. MAIN-PIER REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1990/91 The following is a review of the goals and achievements for fiscal year 1990/91: 1) Complete plans for Pierside restaurants, Pier Plaza, and the new municipal pier. 2) Complete construction of Pierside Village restaurants. 3) Complete construction of Pier Plaza and new municipal pier. 4) Design and commence construction of the north of the pier parking structure. 5) Continue downtown property acquisitions and owner/tenant relocations, as appropriate. 6) Adopt a development plan for Main-Pier Phase II, and commence construction. 7) Complete construction of: * Town Square * Municipal Art Center * 200 Block Retail/Parking Structure (Main Promenade) * Rehabilitation Block * Main-Pier Phase I (Pier Colony and Pierside Pavilion) * Waterfront Hilton * Celebration Plaza, adjacent to Main Street Library * Post Office Renovation and Plaza 8) Process entitlements and commence construction of Waterfront Phase II (health club) and Phase III (second hotel), and the Walnut Avenue extension. 9) Develop a plan for the consolidation of downtown oil operations. 10) Develop the downtown tram system. 11) Renovate the retail shopping center at Beach Boulevard and Atlanta Avenue. 12) Continue construction of: * Underground utilities * Main Street public improvements * Public plaza areas 13) Complete public relations brochure and "Fact Book." 14) Select developers and approve development plans for the three blocks northwest of Lake Street and Pacific Coast Highway and the 300 block of Main Street - West side. 15) Commence Agency staff participation in marketing and tenancy process in project area. Maintain liaison with Conference & Visitors Bureau, and organize a Central Retail Management (CRM) organization with property owners. -3- r 1 OAKVIEW REDEVELOPMENT PROJECT AREA I. OAKVIEW REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1991/92 The following is a summary of the Agency's Work Program for the Oakview Redevelopment Project Area for fiscal year 1991/92: 1) Continue the multi-family rehabilitation loan program with a production goal of 30-40 units annually. 2) Continue the Housing Code Enforcement Program. 3) Continue to implement circulation improvements identified in the Oakview Neighborhood Plan. 4) Complete the enhancement of landscape/hardscape on Queens Lane and Slater Avenue. 5) Increase street lighting intensity to enhance safety in the neighborhood. 6) Continue to analyze the feasibility of land purchases by the Agency for the development of affordable housing. 7) Monitor construction of the Zisakis commercial building expansion project. H. OAKVIEW REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1990/91 The following is a review of the goals and achievements for fiscal year 1990/91: 1) Consider zone changes to high density residential area adjacent to Guardian Center. 2) Study options to provide additional parking opportunities at Guardian Center. 3) Continue to implement circulation improvements identified in the Oakview Neighborhood Plan to include reconstruction of streets and right-of-way improvements in the north Oakview area. 4) Complete agreements with the three property owners in Guardian Center Phase III and implement development plans. 5) Continue to rehabilitate 30 to 40 housing units per year in the south Oakview area. 6) Implement Enhancement Project for Queens Lane and Slater Avenue in conformance with Jacquelyn Lane Enhancement Project. -4- 1 1 S TALBERT-BEACH REDEVELOPMENT PROJECT AREA I. TALBERT-BEACH REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1991/92 The following is a summary of the Agency's Work Program for the Talbert-Beach Redevelopment Project Area for fiscal year 1991/92. 1) Consolidate Agency-owned parcels with adjacent private parcels and negotiate a Disposition and Development Agreement with Seaview Enterprises that provides additional affordable housing within the project area. 2) Invest Agency funds to improve the Emerald Cove senior housing project. 3) Complete refinancing of the Emerald Cove project to achieve long-term financial stability. 4) Monitor maintenance of street and other public improvements constructed by the Agency/City. IL TALBERT-BEACH REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1990/91: The following is a review of the goals and achievements for fiscal year 1990/91: 1) Encourage Agency consolidation of parcels, the submittal of a plan for development of remaining residential land, and work to commence construction. 2) Upgrade, as needed, Agency investments and commitments to the Emerald Cove senior housing project. 3) Maintain street and other public improvements constructed by the Agency/City. HUNTINGTON CENTER REDEVELOPMENT PROJECT AREA I. HUNTINGTON CENTER REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1991/92 The following is a summary of the Agency's Work Program for the Huntington Center Redevelopment Project Area for fiscal year 1991/92: 1) Install traffic signal on Center Avenue in the area of One Pacific Plaza and Huntington Beach Mall. -5- ANNUAL REPORT OF FINANCIAL TRANSACTIONS PROJECT AREA OF COMMUNITY REDEVELOPMENT AGENCIES COVER SHEET PROJECT AREA REPORT PAGE 0 1 STATE USE ONLY STATE USE ONLY W AREA ID* PLEASE AFFIX LABEL AND CORRECT IF NECESSARY GENCY AND PROJECT AREA NAME _ 303T60S4 ZOARVIEW PROJECT AREA REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH REVIEWED CLEARED PLEASE PROVIDE A BRIEF'DESCRIPTION OF THE ACTIVITIES FOR THIS DATE PROJECT AREA WAS ESTABLISHED PROJECT AREA DURING THE REPORTING YEAR. P►AM4)D-YY) (1) ' MOST RECENT DATE PROJECT AREA _ AS AMENDED. (r w DD-YY► 2 29 MOST RECENT DATE PROJECT AREA AS MERGED. (MM•O)•YYI 3 - - OAKVIEW: The Agency conveyed land to Phil ESITMATED COMPLETION DATE Zisakis on Beach Blvd. north of Cypress to (YEAR ONLY) 4 D/ complex. An ESTABLISHED LIMIT FOR BONDED expand an existing commercial com P INDEBTEDNESS(IF APPLICABLE). Exclusive Negotiation Agreement between_ the HEALTHAND SAFETY CMSECTMN33334.1. 8 a �OQ ODG� Agency and Gaurdian Savings was terminated ESTABLISHED LIMIT FOR TAX INCREMENT due to a take over of Guardian by the federal REVENUES. (IF APPLICABLE). Resolution Trust Corporation. The Agency HEALTHANDSAIVYCMSECTION33333.2MD33333.4. 6 $ DOG 00 provided funds for a police substation to be placed into an existing community center. SIZE PERCENTAGE PROJECT AREA IN ACRES. T CENTAGE OF LAND VACANT AT THE INCEPTION OF THE PROJECT AREA. HEALTH AND SAFETY CODE SECTION 33320.1 (XX.X%) 8 PERCENTAGE OF LAND DEVELOPED AT HE INCEPTION OF THE PROJECT AREA. HEALTH AND SAFETY CODE SECTION 33320.1 (XX.X%) 9 % OBJECTIVES OF THE PROJECT AREA AS SET FORTH IN THE PROJECT 10 K AREA PLAN. R - RESIDENTIAL (ENTER THE APPROPRIATE CODE(S) 1 = INDUSTRIAL ---� — IN SEOUENCE AS SHOWN). C = COMMERCIAL P = PUBLIC O OTHER LGFA•80 (REV 5/90) 1 ANNUAL REPORT OF FINANCIAL TRANSACTIONS PROJECT AREA OF COMMUNITY REDEVELOPMENT AGENCIES COVER SHEET PROJECT AREA REPORT PAGE 0 1 STATE USE ONLY STATE USE ONLY Lmra AREA ID* PLEASE AFFIX LABEL AND CORRECT IF NECESSARY AGENCY AND PROTECT AREA NAME 30376067 TA&ERT/BEACH PROJECT AREA REDEVELOPMENT AGENCY OF THE CITY REVIEWED CLEARED OF HUNTINGTON BEACH PLEASE PROVIDE A BRIEF DESCRIPTION OF THE ACTIVITIES FOR THIS DATE PROJECT AREA WAS ESTABLISHED p PROJECT AREA DURING THE REPORTING YEAR. (MMMYY) (1) - - CJ MOST RECENT DATE PROJECT AREA AS AMENDED. (MMA).Yq 2 - - MOST RECENT DATE PROJECT AREA TALBERT-BEACH: The Agency entered WAS MERGED. nM.Do-rn a - - negotiations for a 92 unit project composed ESITMATED COMPLETION DATE of 50 flats and 42 townhomes known as the HEAR oNLh 4 D Seaview project. Preliminaryagreements ESTABLISHED LIMIT FOR BONDED a g INDEBTEDNESS(IF APPLICABLE). suggest 25 units will be affordable. HEALTH AM SAFETY CODE SECTION33334.1. $ $ ,5"v(> &1O<) ESTABLISHED LIMIT FOR TAX INCREMENT REVENUES. (IF APPLICABLE). HEALTH AND SAFETY CODE SECTION 33333.2 AND 33333.4. 6 $ C? IZE OF PROJECT AREA IN ACRES. 7 PERCENTAGE OF LAND VACANT AT THE INCEPTION OF THE PROJECT AREA. HEALTH AND SAFETY CODE SECTION 33320.1. (XX.X%) 8 PERCENTAGE OF LAND DEVELOPED AT HE INCEPTION OF THE PROJECT AREA. HEALTH AND SAFETY CODE SECTION 33320.1 (XX.X%) 9 OBJECTIVES OF THE PROJECT AREA � ? AS SET FORTH IN THE PROJECT 10 1 AREA PLAN. R = RESIDENTLAL (ENTER THE APPROPRIATE CODE(S) I = INDUSTRIAL IN SEQUENCE AS SHOWN). C = COMMERCIAL P = PUBLIC O a OTHER LGFA-80 (REV 5/90) - ANNUAL REPORT OF FINANCIAL TRANSACTIONS PROJE(,'T AREA OF COMMUNITY REDEVELOPMENT AGENCIES COVER SHEET PROJECT AREA REPORT PAGE 0 1 STATE USE ONLY STATE USE ONLY PROJECT AREA ID* PLEASE AFFIX LABEL AND CORRECT IF NECESSARY AGENCY AND PROJECT AREA NAME - - 30376085 YORKTOWN/LAKE PROJECT AREA REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH REVIEWED ICIZARED PLEASE PROVIDE A BRIEF DESCRIPTION OF THE ACTIVITIES FOR THIS DATE PROJECT AREA WAS ESTABLISHED PROJECT AREA DURING THE REPORTING YEAR (MM-Mr'l (1) - MOST RECENT DATE PROJECT AREA AS AMENDED. (MM.D)-YY) 2 -MOST RECENT DATE PROJECT AREA YORKTOWN-LAKE: Construction of the AS MERGED. (MM.DD.YY) a - - Huntington Classics, a 86 unit single family ESITMATED COMPLETION DATEMR ONLY) 4 detached home project, began. Fifteen units ESTABLISHED LIMIT FOR BONDED were completed. Civic Center improvements INDEBTEDNESS(IF APPLICABL.E). and the design criteria for the expansion of HEALTH AND SAFETY CODE SECTION 3333A.1. 8 the center were prepared. ESTABLISHED LIMIT FOR TAX INCREMENT REVENUES. (IF APPLICABLE). �7 HEALTH AND SAFETY CODE SECTION 33333.2 AND 33333.A. 6 $ SIZE OF PROJECT AREA IN ACRES. 7 PERCENTAGE OF LAND VACANT AT THE INCEPTION OF THE PROJECT AREA. HEALTH AND SAFETY CODE SECTION 33320.1 (XX.X%) 8 ✓!�. tr6 PERCENTAGE OF LAND DEVELOPED AT HE INCEPTION OF THE PROJECT AREA. HEALTH AND SAFETY CODE SECTION 31320.1 (XX.X%) 9 OBJECTIVES OF THE PROJECT AREA AS SET FORTH IN THE PROJECT 10 AREA PLAN. R = R ENTIAL (ENTER THE APPROPRIATE CODES) I = INDUSTRIAL IN SEQUENCE AS SHOWN). C - COMMERCIAL P = PUBLIC O - OTHER WFA•80 (REV 5/90) ANNUAL REPORT OF FINANCIAL TRANSACTIONS PROJECT AREA OF COMMUNITY REDEVELOPMENT AGENCIES COVER SHEET PROJECT AREA REPORT PAGE 0 I STATE USE ONLY STATE USE ONLY PROTECT AREA ID* PLEASE AFFIX LABEL AND CORRECT IF NECESSARY AGENCY A• 30376030 .`HUNTINGTON CENTER PROJECT AREA REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH iREVIEWED ICLEARED PLEASE PROVIDE A BRIEF DESCRIPTION OF THE ACTIVITIES FOR.THIS DATE PROJECT AREA WAS ESTABLISHED PROJECT AREA DURING THE REPORTING YEAR. MOST RECENT DATE PROJECT AREA AS AMENDED. (M c," 2 -MOST RECENT DATE PROJECT AREA AS MERGED. (MM-0D-YY) 3 - - HUNTINGTON CENTER: The Agency and the Orange ESITMATED COMPLETION DATE g Y g (YEAR ONLY) 4 County Transportation Authority agreed to ESTABLISHED LIMIT FOR BONDED develop a transportation terminal only. The INDEBTEDNESS(IF APPLICABLE). Agency and property owners agreed to traffic HEATH AND SAFETY CODE SECTION 33334.1. 8 $ 'Q� OD signal placement on Center Avenue. The ESTABLISHED LIMIT FOR TAX INCREMENT Agency participated in the Orange County REVENUES. (IF APPLICABLE). Transportation Commissions countywide Rail HEALTH AND SAFETY CODE SECTION 33333.2 AND 33333.4. 6 $ Study and the Central Orange County Fixed SIZE OF PROJECT AREA IN ACRES. T Guideway Project and recommended that the PERCENTAGE OF LAND VACANT AT THE Huntington Beach Mall be included in the INCEPTION OF THE PROJECT AREA. system. The plans for the Hoover-Gothard HEALTH AND SAFETY CODE SECTION 33320.1 (xxx%) S Extension were completed and the first phase PERCENTAGE OF LAND DEVELOPED AT of preparing a Specific Plan for Edinger THE INCEPTION OF THE PROJECT AREA. Corridor Street Alignment was completed. HEALTH AND SAFETY CODE SECTION33320.1 (XX.X%) 9 D . d% CALTRANS ranted conceptual a OBJECTIVES OF THE PROJECT AREA g p approval for the AS SET FORTH IN THE PROJECT 10 widening of Center Avenue, near the I-405 AREA PLAN. R = RESIDENTIAL access r amps. (EMER THE APPROPRIATE CODES) I = INDUSTRIAL IN SEQUENCE AS SHOWN). C = COMMERCLAL P = PUBIC O a OTHER LGFA-80 (REV 5/90) 1 REPORT FOR FISCAL YEAR ENDING ON __�L/ 30 / 91 3tEDEVEIAPIDOfT aff—cY XX=/ADDRZ88: COUNWA of JURISDICTIOX: Huntington Beach 2000 Main Street Orange Huntington Beach, CA 92648 t t (Name of Person Preparing Report) (Telephone Number of Preparer) NUMB= OF ACTIVE PROJECT AREAS AD?=STERED BY THIS AGENCY: NMI IT AG NCT OPERATES NORE TEM ONE PROJECT AREA, COXPLETS ABODE PORTION OF M TORTS. TMM lQM INOUGE COPIES OF PAGER 1 MM220 5 TO PROVIDE .A ATE BCEEDULZ ECD-A REPOBZrNG TORTS FOR EACH PROJECT AREA, SCREDIILE BCD - A BCD's reporting mandate, contained in Health. and Safety Code Section 33080.6, refers to,Sections 33080.1, 33334.2, 33413, and 33488. Questions 1 through 6 address the mandates in Sections 33080.1 and 33334.2. 1. `- Project Name: MAIN-PIER If new, give year adopted: 2. Year(s) Merged: , Year(s) areas were added: 3. Percentage of project's tax increments set aside for housing And A22osited in the IAK Fund: (Show exact t if possible; otherwise show 0, 20t, less than 20%, or more than 20t.) 20 t 4. If set-aside is being deferred, or is less than 20t of the total tax increments allocated to the entire project, when were the necessary : findings adopted? (Show month/day/year) S. The Health and Safety Code authorizes types of findings which can be made to exempt a project from the set-aside requirement. Indicate types) -of findings adopted by checking appropriate Health and Safety -Code Section designation(s): [ ] Section 33334.2(a) (1) (No need in community to increase/improve supply of low/moderate-income housing.) [ ] Section 33334.2(a) (2) (Less than 20% set-aside is sufficient to meet the need.) [ ] Section 33334.2(a) (3) (community is making substantial effort IS in value to 20% set-aside.) [ ] Section 33334.6(d) (Project was adopted prior to 1977 and tax increments are needed to most existing debts.) [ ] Section 33334.6(e) (Project was adopted prior to 1977 and tax increments are needed for timely completion of projects to which agency was committed prior to 1986.) G. A finding pursuant to Section 33334.6(d) or (e) triggers a requirement in 33334.6(g) to create an indebtedness to the L&M Fund representing the amount of the set-aside being deferred. What is the amount of the indebtedness resulting from the deferral of all or a portion of the set- aside during the reporting period? 6A: $ Section 33334.6(9) specifies that the indebtedness due to deferrals of the set-aside authorized in Sections 33334.6(d) or 33334.6(e) is to be retroactive to fiscal year 1985-86. Indicate the cumulative total of that indebtedness (including the amount reported in item 6, above) . 6B: $ (Continued - See Reverse) agency's annual report to its legislative body (required in Section 33080.1.) . Section 33080.5 specifies fiscal information to be included. The following questions address that portion of the reporting mandate: 7. If Item 3, above, indicates agency is setting aside tax increments and no figure is entered in Item 7A, below, please indicate the reason for that inconsistency: [ ] Project has not yet generated tax increments. [ ) Tax increments are used to pay debt service on debt proceeds added to L&M Fund. [ ) Other (explain) : The following questions relate to this project area only and the actual (not deferred) revenues it has contributed to the.agency's L&M Fund. P-o not include interest. Interest will be shown on SCHEDULE HCD-C. Any income related to agency-assisted housing located outside project areas should be reported as "Other Revenues Added" (Item 7C, below) for the project named as beneficiary in the authorizing resolution. A. Tax Increments Added: $ B. Debt Proceeds Added: $ C. Other Revenues *Added (excluding:,interest)- $ D. A+B+C - Total Revenues Added (excluding interest) : $ 8. Pursuant to Sections 33080.4(a) (1) 'and (a) (3) , complete the chart below to report the number of dwelling units destroyed or removed from this project area as a result of redevelopment activities during the fiscal year; the type and -income category of households served by those units; the number of those units the agency is not required to replace; and the type and income category of households displaced from the project area during the fiscal year. INFORMATION ON UNITS REMOVED INFORMATION ON HOUSEHOLDS OR DESTROYED DISPLACED Household Total Households Lost Units Total Income/Type Income Units Served not'Required Number Households and Type Lost (Type): to be Replaced Displaced Displaced Veit' Low 8 0 20 Elderly Family (non-elderly) other (not family/ 8 . not elderly) _ Very low Low 3 0 0 Elderly Family (non-elderly) other (not family/ 3 Low not elderly) Moderate 0 0 0 Elderly _ Family (non-elderly) r other (not family/ not elderly) Above Mod 0 0 0 Elderly Family (non-elderly Other (not family/ not elderly) 2 y. ws requarea In seczlon 33080.4(a) (2), estimate the type and number of housebold.s, by income category, to be displaced from this project area during the next reporting period: Subtotal for subtotal for Total_Dnits Elderly Households other Hovaeh ldfi Very Low 0 Low 0 Moderate 0 Above Mod 0 Sections 33413(d) and 33413.5 specify that project areas adopted or amended to add areas after 1975 are required to adopt replacement housing plans at least 30 days prior to entering certain agreements affecting properties from which low- and moderate-income dwelling units will be removed. Other project areas Vy adopt such plans. 10. If the agency adopted a replacement housing plan, report the date it was adopted: _�_� 84 11. Pursuant to Section 33080.4(a) (4) and (a) (5), complete the following chart to report agency-assisted units with occurancv restrictions based on household type or income level. It asks for information on units located in this project area, or located outside redevelopment areas for the benefit of this project area. (Under redevelopment law, "elderly household" means one in which the head of the household is 60 years of age or older, or handicapped; as specified in Section 50067.) NOTZs Mort units built or rehabilitated only if the Worlt was completed during the reporting period. Income Rehabbed with Built with Receiving Acquired Level Agency Help Agency► Help Subsidies by Agency Total Very Low 0 0 0 0 For Elderly For Other Total Low 0 0 0 0 For Elderly For other Moderate 0 - 0 0 0 For Elderly For other Above Moderate 0 0 0 0 For Elderly. For other 12. Indicate how many of the units listed in item 11 are replacements for units removed through redevelopment activities, as required in Section 33080.4(d) (4): - Income Built with Rehabbed with Receiving Acquired bevel Aagncv Hely Agency Hel]2 Subsidies by Agency; Total Very Low 0 0 0 0 Subtotal (Elderly) Subtotal (Other) Total Low 0 0 0 0 Subtotal (Elderly) Subtotal (other) Total Moderate 0 0 0 0 Subtotal (Elderly) Subtotal (Other) r 3 13. -Plesse use the space below for information you wish to add to further - explain the housing activities conducted by the agency or the use of its I,ow and Moderate Incase Housing Fund. Negotiations are in progress with the Newcomb Tillotson Development Group to provide 33 affordable units. 14. The attached housing inventory report sheets (pages 5 and 6) were prepared by BCD to assist your agency in sooting requirements added to Health and Safety Code Section 33080.4 by AB 2080, Chapter 1140, Statutes of 1989 (Sections 33080.4(a) (7) and 33418). The information is to be provided for all housing units in a redevelopment project area which have occupancy or affordability restrictions imposed by- agreements or recorded conditions, covenants, and restrictions. (Use a separate copy of pages 6 and 7 for each project area.) NOTE: In the column headed *Units Occupied by Ineligible Households," eater the number of units with occupancy or affordability restrictions which were occupied by households not meeting the criteria for occupancy. imposed by the CC6Rs or agreements. 4 - inL K1.IIfiY6lNYnt..­ .1V.L.V& - __- -- -- '-- ---... _-_•- -- -- ..... .. IT FOR SUBMISSION IN FUTURE REPORTS- , � _• Redevelopment Agency Huntington Beach COUNTY: Orange SCHEDULE HCD-A (Continued) for the Main-Pier project (Information Compiled Pursuant to Health and Safety Code Section 33418) INVENTORY of OWNER-OCCUPIED HOUSING UNITS IN THIS PROJECT AREA WITH RESTRICTIONS ON OCCUPANCY/AFFORDABILITY IMPOSED BY RECORDED AGREEMENTS OR CONDITIONS, COVENANTS, AND RESTRICTIONS . asaaeaaaaaaaaa�aaaaaa=aaaaaaaaaaaaaaaae*ats>stssaaasaaasevaysvasesrfaasa»Qavasaeeaaaaaassaaaaaasaaaaaxaaaaavxaaas=sssaaa=esaev-= Project Name/ Owner Name/ Total No. Reserved for Restricted by Units Occupied Subsidy Earliest Address: Address: Units in Elderly Income Only by Ineligible Sources Affordability (IF AGENCY DEVELOPED Project VLO LOW MOD OTH VLO LOW MOD Households Used Termination PROJECT, CIRCLE NAME) VLO LOW MOD ELDERLY Date --------------------------------------------------------------------------------------------------------------------------- None NOTEt This sheet is to contain information only for OWNER-OCCUPIED units. Under SOURCES OF SUBSIDIES, use the following codes to identify sourcest RDA a Redevelopment agency provided financing DB City provided density bonus FmHA, followed by program number a Farmers Home Administration financing CDBG a Federal CDBG financing HUD, followed by appropriate program number s HUD construction or rehab financing UDAG - Federal Urban Development Grant HCD s State Departmbnt of Housing and Community Development financing MRB a Local Mortgage Revenue Bond financing CHFA California Housing and Finance Agency financing TAXC a Federal Tax Credits PRIV. a Private sources (i.e. foundation grants, corporate contributions, etc.) OTH a Any other source (explain with note) r,... 1^....♦ 1 .. .�I 1.1 It 11... .......�.f.... �..• n-1. n ... .. r.n.n a .. 1.. . ....11 .. -..1,t....1- .. ,... /.. ........ ._ IT FOR SUBMISSION IN FUTURE REPORTS. Redevelopment Agency Huntington Beach COUNTY: Orange SCHEDULE HCD-A (Continued) for the Main-Pier Project (information Compiled Pursuant to Health and Safety Code Section 33418) INVENTORY OF ER NTAl1 ROUSINO UNITS ZN TEIS PROJECT AREA WITH RESTRICTIONS ON OCCUPANCY/AFFORDABILITY IMPOSED BY RECORDED AGREEMENTS OR CONDITIONS, COVENANTS, AND RESTRICTIONS a���=s=aavva�asaaa�aastevaaaavamaas�aaa as4 aaaaa-gags=saa�xa�v�=�_--vava��=-v====v====� Project Name/ Owner Name/ Total No. Reserved for Restricted by Units Occupied Subsidy Earliest Address: Address: Units in Elderly Income Only by Ineligible Sources Affordability (IF AGENCY DEVELOPED Project VLO LOW MOD OTH VIA LOW MOD Households Used Termination PROJECT, CIRCLE NAME) VLO LOW MOD ELDERLY Date --------------------------------------------------------------------------------------------------------------------------- None NOTE: This sheet is to contain information only for RENTAL units. under SOURCES OF SUBSIDIES, use the following codes to identify sources: RDA - Redevelopment agency provided financing DB - City provided density bonus FmHA, followed by program number - Farmers Home Administration. financing CDBG - Federal CDBG financing HUD, followed by appropriate program number - HUD construction or rehab financing UDAG - Federal Urban Development Grant HCD - State Department of Housing and Community Development financing MRB - Local Mortgage Revenue Bond financing CHFA - California Housing and Finance Agency financing TAXC - Federal Tax Credits PRIV. - Private sources (i.e. foundation grants, corporate contributions, etc.) OTH - Any other source (explain with no*e) Use "HUD V" or "HUD-C" to indicate units subsidized through federal Section 8 vouchers or certificiates. REPORT FOR FISCAL YEAR ENDING ON 30 / 9 REDEOEL0PX313rT AMMCY XX=/3DDRE881 COUWrY OT JURISDICTION3 Huntington Beach 2000 Main Street Orange Huntington Beach, CA 92648 t t (Name Of Person Preparing Report) (Telephone !lumber of Preparer) NOMBZR OF ACTIVE "DJECT AREAS ADMINISTERED BY THIS AGENCY: 19S=t IT AGENCY OPERATES KQRE TE" ONE PROJECT AREA, COMPLETS ABOVE PORTION OF THIS FORK, THEM k= EMODGH COPIES OF PAGES I THROUGH 5 TO PROVIDE 7► SEPMTE 8CHSDVL•E BCD-A REPORTING PORK FOR EACH PROJECT AREA. SCHEDULE BCD - A BCD's reporting mandate, contained in Health and Safety Code Section 33080.6, refers to,Sections 33080.1, 33334.2, 33413, and 33488. Questions 1 through 6 address the mandates in Sections 33080.1 and 33334.2. 1. Project Name: OAKVIEW If new, give year adopted: 2. Year(s) Merged: , Year(s) areas were added: , , 3. Percentage of project's tax increments set aside for housing And deposited in the 1AM Fund: (Show exact t if possible; otherwise show 0, 20%, less than tot, or more than 20t.) 20 t 4. If set-aside is being deferred, or is less than 20% of the total tax increments allocated to the entire project, when were the necessary : findings adopted? (Show month/day/year) S. The Health and Safety Code authorizes-types of findings which can be made to exempt a project from the set-aside requirement. Indicate type(s) of findings adopted by checking appropriate Health and Safety Code Section designation(s): { ] Section 33334.2(a) (1) (No need in community to increase/improve supply of low/moderate-income housing.) { ] Section 33334.2(a) (2) (Less than 20% set-aside is sufficient to meet the need.) ] Section 33334.2(a) (3) (Community is making substantial effort equivalent in value to 20% set-aside.) { Section 33334.6(d) (Project was adopted prior to 1977 and tax increments are needed to meet existing debts.) i ] Section 33334.6(e) (Project was adopted prior to 1977 and tax crements are needed for timely completion of projects to which agency was committed prior to 1986.) 6. A finding pursuant to Section 33334.6(d) or (a) triggers a requirement in 33334.6(g) to create an indebtedness to the L&M Fund representing the amount of the set-aside being deferred. What is the amount of the indebtedness resulting from the deferral of all or a portion of the set- aside during the reporting period? 6A: S Section 33334.6(g) specifies that the indebtedness due to deferrals of the set-aside authorized in Sections 33334.6(d) or 33334.6(e) is to be retroactive to fiscal year 1985-86. Indicate the cumulative total of that indebtedness (including the amount reported in item 6, above) . 6B: $ (Continued - See Reverse) agency's annual report to its legislative body (required in Section 33080.1.) • „ Section 33080.5 specifies fiscal information to be included. The following • questions address that portion of the reporting mandate: �►. 7. If Item 3, above, indicates agency is setting aside tax increments and no figure is entered in Item 7A, below, please indicate the reason for that inconsistency: [ ] Project has not yet generated tax increments. ( ) Tax increments are used to pay debt service on debt proceeds added to LAM Fund. ( ) Other (explain) : The following questions relate to this project area only and the actual (ngt deferred) revenues it has contributed to the.agency's L&M Fund. ps not include interest. Interest will be shown on SCHEDULE HCD-C. Any income related to agency-assisted housing located outside project areas should be reported as "Other Revenues Added" (Item 7C, below) for the project named as beneficiary in the authorizing resolution. A. Tax Increments Added: $ B. Debt Proceeds Added: $ C. Other Revenues -Added (excludincr-faterest): S D. A+B+C a Total Revenues Added (excluding interest) : $ S. Pursuant to Sections 33080.4(a) (1) 'and (a) (3), complete the chart below to report the number of dwelling units destroyed or removed from this project area as a result of redevelopment activities during the fiscal year; the type and .income category of households served by those units; the number of those units the agency is not required to replace; and the type and income category of households displaced from the project area during the fiscal year. INFORMATION ON UNITS REMOVED INFORMATION ON HOUSEHOLDS OR DESTROYED DISPLACED " Household Total Households Lost Units Total Income/Type Income Units Served not•Required Number Households and Type Lost (Type) : to be Replaced Displaced Displaced Very Low 0 Elderly Family (non-elderly) Other (not family/ . not elderly) Low 0 0 0 Elderly Family (non-elderly) Other (not family/ not elderly) Moderate 0 0 0 Elderly Family (non-elderly) f other (not family/ not elderly) Above Mod 0 0 0 Elderly Family (non-elderly other (not family/ not elderly) 2 � . 9. As required in Section 33080.4(a) (2), estiaate the type and number of households, by income category, to be displaced from this project area during the next reporting period: Subtotal for Subtotal for Total Units Elderly Households Other Households Very Low 0 Low 0 Moderate 0 Above Mod 0 Sections 33413(d) and 33413.5 specify that project areas adopted or amended to add areas after 1975 are required to adopt replacement housing plans at least 30 days prior to entering certain agreements affecting properties from which low- and moderate-income dwelling units will be removed. other project areas XW adopt such plans. 10. If the agency adopted a replacement housing plan, report the date it was adopted: 11. Pursuant to Section 33080.4(a) (4) and (a) (5), complete the following chart to report agency-assisted units with occupancy restrictions based on househ id type or income level. It asks for information on units located in this project area, or located outside redevelopment areas for the benefit of this project area. (Under redevelopment law, "elderly household" means one in which the head of the household is 60 years of age or older, or handicapped, as specified in Section 50067.) NOTE: Report units built or rebabilitated only it the cork ras completed during the reporting varied. Income Rehabbed with Built with Receiving Acquired Level Agency Help Agency Help subsidies by Agency Total very Low 0 0 0 0 For Elderly For Other Total Low 0 0 0 0 For Elderly For Other Moderate 0 0 0 0 For Elderly For Other Above Moderate 0 0 0 0 For Elderly For Other 12. Indicate how many of the units listed in item 11 are replacements for units removed through redevelopment activities, as required in Section 33080.4(d) (4) : - Income Built with Rehabbed with Receiving Acquired Level Agency Help Agency Help Subsidies by Agency Total very Low 0 0 0 0 Subtotal (Elderly) Subtotal (Other) Total Low 0 0 0 0 Subtotal (Elderly) Subtotal (Other) Total Moderate 0 0 0 0 Subtotal (Elderly) Subtotal (other) r 3 13. Tlease use the space below for information you wish to add to furthar explainthe housing activities conducted by the agency or the use of its Low and Moderate Income Housing Fund. This project area is overlayed by a CDBG Neighborhood Enhancement Area. The CDBG Program has made 30 -single family rehabilitation and multifamily loans in this area•covering . 45 units. In addition, there are two Joint Agency-CDBG capital improvement projects in progress. 14. The attached housing inventory report sheets (pages .5 and 6) were prepared by BCD to assist your agency in meeting requirements added to Health and Safety Code Section 33080.4 by AB 2080, .Chapter 1140, Statutes Of 1989 (Sections 33080.4(a) (7) and 33418). The information is to be Provided for all housing units in a redevelopment project area which have occupancy or affordability restrictions imposed by agreements or recorded conditions, covenants, and restrictions. (Use a separate copy of pages 6 and 7 for each project area.) NOTE: In the column headed "Units Occupied by Ineligible Households," enter the number of units with occupancy or affordability restrictions which were occupied by households not meeting the criteria for occupancy imposed by the CCSRs or agreements. 4 � Ttin "UGVGWFnZ0A: Aubtgk;l nnuuL.0 Ar4KAitl A I:uPI ve' ltlttl_ tlGt;XAUA AF11CR 1T HAS ISIUM l:UtfYI.tTED AND ESTABLISH A PROCEDURE FOR UPDAtINd' IT FOR SUBMISSION IN FUTURE REPORTS. Redevelopment Agency Huntington Beach COUNTY: Orange SCHEDULE HCD-A (Continued) for the Oakview Project (Information Compiled Pursuant to Health and Safety Code Section 33418) INVENTORY OF OWNER-OCCUPIED HOUSING UNITS IN THIS PROJECT AREA WITH RESTRICTIONS ON OCCUPANCY/AFFORDABILITY IMPOSED BY RECORDED AGREEMENTS .OR CONDITIONS, COVENANTS, AND RESTRICTIONS aaa=aaaaaarzaaaa=aaaaaaasaaaaaaaataeteaaasaaaaaaaeeaaaaaaeaaaaaa>xaaaaas�aaaraae=aav=a-Qaaaaaa=a=aaaac=axv=as====m==a======_== Project Name/ owner Name/ Total No. Reserved for Restricted by Units Occupied Subsidy Earliest Address: Address: Units in Elderly Income Only by Ineligible Sources Affordability (IF AGENCY DEVELOPED Project VLO LOW MOD OTH VIA LOW MOD Households Used Termination PROJECT, CIRCLE NAME) VLO LOW MOD ELDERLY Date '9850 Garfield Williams 1 N/A. VLO/LOW N/A CDBG 2005 9850 Garfield,Sp.55 Salmond 1 N/A VLO/LOW N/A CDBG 2006 10012 Kamula Lasswell 1 N/A VLO/LOW N/A CDBG 2006 80 Huntington Sisker 1 N/A VLO/LOW N/A CDBG 2005 19391 Mauna South 1 N/A VLO/LOW N/A CDBG 2005 80 Huntington Magee 1 N/A VLO/LOW N/A CDBG 2005 16902 Ross Green 1 N/A VLO/LOW N/A CDBG 2005 20701 Beach Sims 1 N/A VLO/LOW - N/A CDBG 2005 10161 Edye Dr. Florentine 1 N/A VLO/LOW N/A CDBG 2005 17261 Garfield #48 Bowman 1 N/A VLO/LOW N/A CDBG 2005 9850 Garfield #110 Huenger 1. N/A VLO/LOW N/A CDBG 2005 19322 Jerrilun Anthony 1 N/A VLO/LOW N/A CDBG 2005 19071 Swan Dalton 1 N/A VLO/LOW I N/A CDBG 2005 21291 Seasprite Kaplan 1 N/A VLO/LOW N/A CDBG 2006 9850 Garfield #117 Wright 1 N/A VLO/LOW N/A CDBG 2006 7850 Slater Naylor 1 N/A VLO/LOW N/A CDBG 2006 19361 Mauna Dalot 1 N/A VLO/LOW N/A CDBG 2006 9850 Garfield #9 Peck 1 N/A VLO/LOW N/A. CDBG 2006 9850 Garfield #5 Barker 1 N/A VLO/LOW N/A CDBG 2006 9350 Ward Davis 1 N/A VLO/LOW N/A CDBG 2006 6301 Warner #60 Hinkle 1 N/A VLO/LOW N/A CDBG 2006 9850 Garfield #19 Stritzinger 1 N/A VLO/LOW N/A CDBG 2006 9850 Garfield #32 Husson 1 N/A VLO/LOW N/A CDBG 2006 9622 Flounder Files 1-. N/A VLO/LOW . NNN/A�AAA CDBG .222006 NOTEs01 This sheetto contain information only/cor OWNER-OCCUPIED/units. Under SOLMS OF SUBSIDIES, use the follow&g codes to Identify sources: RDA s Redevelopment agency provided financing DB a City provided density bonus FmHA, followed by program number d Farmers Home Administration financing CDBG - Federal CDBG financing HUD,-followed by appropriate program number - HUD construction or rehab financing UDAG - Federal Urban Development Grant HCD State Departmbnt of Housing and Community Development financing MRS - Local Mortgage Revenue Bond financing CHFA California Housing and Finance Agency financing TAXC - Federal Tax Credits PRIV. a Private sources (i.e. foundation grants, corporate contributions, etc.) OTH - Any other source (explain with note) It...t..r nF�rl {nnh 11FfAYr�1T��1{f•.• Tnrmtn�l•.Inft nnhn.n ton^ „nrtt fn tv"It., e:tt{+-4nr}• hn rn.-nln �nr•��Mnn!-r• .. ..... oaunaooavn an LVA;UltB llt:YU!lTB. ---- -. r vn uYUATINd Redevelopment Agency Huntington Beach COUNTY: Orange SCHEDULE HCD-A (Continued) for the Oakvew project (Information Compiled Pursuant to Health and Safety Code Section 33418) INVENTORY OF RE= HOUSING UNITS JECT AREA WITH RESTRICTIONS ON OCCUPANCY/AFFORDABILITY IMPOSED BY RECORDED AGREEMENTS OR CONDITIONS, COVENANTS, AND RESTRICTIONS s�=nv�xa�aaaatmaas�aassvaa�avaaaaasa�sa ��sLs�aaemaaas��=�----_a==av=e=========� Project Name/ Owner Name/ Total No. Reserved for Restricted by Units Occupied Subsidy Earliest Address: Address: Units in Elderly Income Only by Ineligible Sources Affordability (IF AGENCY DEVELOPED Project VLO LOW MOD OTH VLO LOW MOD Households Used Termination PROJECT, CIRCLE NAME) VLO LOW MOD ELDERLY Date 7801 Mandrell Baney 4 N/A VIA/LOW N/A CDBG 2005 7811 Mandrell Baney 4 N/A VLO/LOW . N/A CDBG 2005 17381 Jacquelyn Cooley 4 N/A VLO/LOW N/A CDBG 2005 17371 Jacquelyn Qaqundah 4 N/A VIA/LOW N/A CDBG 2005 17362 Queens Bracken 4 N/A VLO/LOW N/A CDBG 2006 NOTE: This sheet is to contain information only for RENTAIe units. under SOURCES OF SUBSIDIES, use the following codes to identify sources: RDA - Redevelopment agency provided financing DB a City provided density bonus FmHA, followed by program number s Farmers Home Administration. financing CDBG s Federal CDBG financing HUD, followed by appropriate program number a HUD construction or rehab financing UDAG - Federal Urban Development Grant HCD State Department of Housing and Community Development financing MRB a Local Mortgage Revenue Bond financing CHFA n California Housing and Finance Agency financing TAXC a Federal Tax Credits PRIV. s Private sources (i.e. foundatXon grants, corporate contributions, etc.) OTH s Any other source (explain with n&-e) Use "HUD V" or 11HUD-C" to indicate units subsidized through federal Section 8 vouchers or certificiates. ; 1 • REPORT FOR FISCAL YEAR ENDING ON _ 6 / 30/ 91 3LEDE4EWP2= AGZNCY mma/1DDRE88: COUNTY Or _n7U=6DICTIOX: Huntington Beach 2000 Main Street Orange Huntington Beach, CA 92648 L � (Name Of Person Preparing Report) (Telephone Number of Preparer) NUMBER OF LCTM PROJECT AREAS ADMI ISTERED BY THIS AGENCY: MOTE: SF Ammey OPE2ATE8 MORE THAN ONE PROJECT AREA, COMPLETE ABODE PORTION OF THIS FORM, THEN I= ENOUGH COPrZ8 OF PAO'ES i THROUGH 5 TO PROOIDB 1 832%MTE BCHEDVL•E HCD-A RxPORPING FORK FOR RACE PRWZCT AREA, SCHEDULE HCD - A BCD's reporting mandate, contained in Health and Safety Code Section 33080.6, refers to,Sections 33080.1, 33334.2, 33413, and 33488. Questions 1 through 6 address the mandates in Sections 33080.1 and 33334.2. 1. Project Name: TALBERT-BEACH If new, give year adopted: 2. Year(s) Merged: , Year(s) areas were added: 3. Percentage of project's tax increments set aside for housing A= deposited in the TAM Pund: (Show exact t if possible; otherwise show 0, 20%, less than 20%, or more than 20t.) 20 t 4. If set-aside is being deferred, or is less than 20t of the total tax increments allocated to the entire project, when were the necessary .- - findings adopted? (Show month/day/year) S. The Health and Safety Code authorizes types of findings which can be made to exempt a project from the set-aside requirement. Indicate type(s) of findings adopted by checking appropriate Health and Safety Code Section designation(s): [ ] Section 33334.2(a) (1) (No need in community to increase/improve supply of low/moderate-income housing.) ( 3 Section 33334.2(a) (2) (Less than 20% set-aside is sufficient to meet the need.) [ ] Section 33334.2(a) (3) (Community is making substantial effort equivalent in value to 20% set-aside.) [ ] Section 33334.6(d) (Project was adopted prior to 1977 and tax increments are needed to meet existing debts.) i ] Section 33334.6(e) (Project was adopted prior to 1977 and tax crements are needed for timely completion of projects to which agency was committed prior to 1986.) 6. A finding pursuant to Section 33334.6(d) or (e) triggers a requirement in 33334.6(g) to create an indebtedness to the L&M Fund representing the amount of the set-aside being deferred. What is the amount of the indebtedness resulting from the deferral of all or a portion of the set- aside during the reporting period? 6A: $ Section 33334.6(g) specifies that the indebtedness due to deferrals of the set-aside authorized in Sections 33334.6(d) or 33334.6(e) is to be retroactive to fiscal year 1985-86. Indicate the cumulative total of that indebtedness (including the amount reported in item 6, above) . 6B: $ (Continued - See Reverse) agency's annual report to its legislative body (required in Section 33080.1.) . • Section 33080.5 specifies fiscal information to be included. The following y. questions address that portion of the reporting mandate: 7. If Item 3, above, indicates agency is setting aside tax increments and no figure is entered in Item 7A, below, please indicate the reason for that inconsistency: ( ) Project has not yet generated tax increments. [ ) Tax increments are used to pay debt service on debt proceeds added to LAM Fund. [ Other (explain) : The following questions relate to this project area only and the actual (Dot deferred) revenues it has contributed to the.agency's LAM Fund. go not include interest Interest will be shown on SCHEDULE HCD-C. Any income related to agency-assisted housing located outside project areas should be reported as "Other Revenues Added" (Item 7C, below) for the project named as beneficiary in the authorizing resolution. A. Tax Increments Added: $ B. Debt Proceeds Added: $ C. Other Revenues •Added (excluding•-interest): $ D. A+B+C a Total Revenues Added (excluding interest) : $ 8. Pursuant to Sections 33080.4(a) (1) 'and (a) (3) , complete the chart below to report the number of dwelling units destroyed or removed from this project area as a result of redevelopment activities during the fiscal year; the type and .income category of households served by those units; the number of those units the agency is not required to replace; and the type and income category of households displaced from the project area during the fiscal year. INFORMATION ON UNITS REMOVED INFORMATION ON HOUSEHOLDS OR DESTROYED DISPLACED Household Total Households Lost Units Total Income/Type Income Units served not'Required Number Households and Type Lost (Type) : to be -Replaced Displaced Displaced Veit' Lost 0 Elderly Family (non-elderly) Other (not family/ not elderly) 0 0 0 Low Elderly Family (non-elderly) Other (not family/ not elderly) Moderate 0 0 Elderly Family (non-elderly) f Other (not family/ , not elderly) Above Mod 0 0 0 Elderly Family (non-elderly Other (not family/ not elderly) 2 , 9. As required in Section 33080.4(a) (2) , estiaate the type and number of households, by income category, to be displaced from this project area during the next reporting period: Subtotal for subtotal for Total pnits Elderly Households Other Households Very Low 0 Low n Moderate 0 Above Mod 0 Sections 33413(d) and 33413.5 specify that project areas adopted or amended to add areas after 1975 are required to adopt replacement housing plans at least 30 days prior to entering certain agreements affecting properties from which low- and moderate-income dwelling units will be removed. Other project areas may adopt such plans. 10. If the agency adopted a replacement housing plan, report the date it was adopted: 11. Pursuant to Section 33080.4(a) (4) and (a) (5), complete the following chart to report AUncv-assisted units with occupancy restrictions based on household tvpe or income level. It asks for information on units located in this project area, or located outside redevelopment areas for the benefit of this project area. (Under redevelopment law, "elderly household" means one in which the head of the household is 60 years of age or older, or handicapped, as specified in Section 50067.) 31=t Report units built or rehabilitated only if the work ran completed durina the r000rtina period. Income Rehabbed with Built with Receiving Acquired j�evel Agency Help Aaencv Help Subsidies by AaengM Total Very Low 0 0 0 0 For Elderly For Other Total Low 0 0 0 0 For Elderly For Other Moderate 0 0 0 0 For Elderly For Other Above Moderate 0 0 0 0 For Elderly For other 12. Indicate how many of the units listed in item 11 are replacements for units removed through redevelopment activities, as required in Section 33080.4(d) (4) : - income Built with Rehabbed with Receiving Acquired 1evel Aaencv Help Agency Help Subsidies by Aaency Total Very Low 0 0 0 0 Subtotal (Elderly) Subtotal (Other) Total Low 0 0 0 0 Subtotal (Elderly) Subtotal (Other) Total Moderate 0 0 0 0 Subtotal (Elderly) Subtotal (other) 3 13. -please use the space below for information you wish to add to further lain the housing activities conducted '• a� by the agency or the use of its - I,ow and Roderate Income Housing Fund. Negotiation are still pending on a 92 unit project that will have 25 affordable units. We provide an annual subsidy to a 164 unit. seniors apartment complex. 14. The attached housing inventory report sheets (pages 5 and 6) were prepared by BCD to assist your agency in meeting requirements added to Health and Safety Code Section 33080.4 by AB 2080, Chapter 1140, Statutes of 1989 (Sections 33080.4(a) (7) and 33418). The information is to be provided for all housing units in a redevelopment project area which have occupancy or affordability restrictions imposed by agreements or recorded conditions, covenants, and restrictions. (Use a separate copy of pages 6 and 7 for each project area.) NOTE: In the column headed "Units occupied by Ineligible Households," enter the number of units with-occupancy. or affordability restrictions which were occupied by households not meeting the criteria for occupancy imposed by the CC&Rs or agreements. 4 , ]111: riLU6V6WCA GIH .1.r•n .A uiiy Vu4 �♦LA�t A1 LycA v. �iuu YYYAAV.1 nS�Ma1. ^ •uw �.�. �• 5--h-4 •41- a.0�L{tu�y'� •• �w,�y....0 ve�� Xvit U!'UA'l A1fiJ IT FOR SUBHIBBION IN FUTURE REPORTS. Redevelopment Agency Huntington Beach COUNTY: Orange SCHEDULE HCD-A (Continued) for the Talbert Beach Project (Information Compiled Pursuant to Health and Safety Code Section 33418) INVENTORY OF OWNER-OCCUPIED HOUSING UNITS Iff THIS PROJECT AREA WITH RESTRICTIONS ON OCCUPANCY/AFFORDABILITY IMPOSED BY RECORDAD AGREEMENTS OR CONDITIONS, COVENANT8, AND RESTRICTIONS . aaa=::n===s�aaasxt-aaaaaaaaaaax�x veaaaavaarZ�ataa�aavateaysfaaaaa=naaaa aarvve=evae=aa�aaasa�aaa�x=e=-=-eee==v=-v=v--e= Project Name/ owner Name/ Total No. Reserved for Restricted by Units Occupied Subsidy Earliest Address: Address: Units in Elderly Income Only by Ineligible Sources Affordability (IF AGENCY DEVELOPED Project VLO LOW MOD OTH VW LOW MOD Households Used Termination PROJECT, CIRCLE NAME) VLO LOW MOD ELDERLY Date --------------------------------------------------------------------------------------------------------------------------- None NOTE: This sheet is to contain information only for OWNER-OCCUPIED units. Under SOURCES OF SUBSIDIES, use the following codes to Identify sources: RDA - Redevelopment agency provided financing DO a City provided density bonus FmHA, followed by program number - Farmers Home Administration financing CDBG a Federal CDBG financing HUD, followed by appropriate program number - HUD construction or rehab financing UDAG s Federal Urban Development Grant "CD = state Department of Housing and Community Development financing MRS a Local Mortgage Revenue Bond financing CIIFA California Housing and Finance Agency financing TAX a Federal Tax Credits PRIV. - Private sources (i.e. foundation grants, corporate contributions, etc.) OTH = Any other source (explain with note) t t...t,, ttr�rltn.•� t•f Fnr•1�1,ItiF.• Tw r.w 1..�7-inn 71n F'. it tt•:n •tn* •-•11'-�nr4- ar RUA 6uvn1bbAUn ♦n rUTURS REPORTS. "" ""••��•`� Redevelopment Agency Huntington Beach COUNTY: Orange SCHEDULE HCD-A (Continued) for the Talbert Beach Project (Information Compiled Pursuant to Health and Safety Code Section 33418) INVENTORY OF REM HOUSING UNITS ZN T8I8 PROJECT AREA WITH RESTRICTIONS ON OCCUPANCY/AFFORDABILITY IMPOSED BY RECORDED AGREEMENTS OR CONDITIONS, COVENANTS, AND RESTRICTIONS aaaaa�xsaaaaaavvaaaaaavaaazaaaaaansaaaaaexaaaasaa�eaaavvae�eaaaaveas=veavasaaasaaa=aaaaaaaaaaaaaaaaaaaveaaaavanva=vax-xev=v Project Name/ Owner Name/ Total No. Reserved for Restricted by Units Occupied Subsidy Earliest Address: Address: Units in Elderly Income Only by Ineligible Sources Affordability (IF AGENCY DEVELOPED Project VLO LOW MOD OTH VLO LOW MOD Households Used Termination PROJECT, CIRCLE NAME) VLO LOW MOD ELDERLY Date Emerald Cove ------------------164------- Elderly/Low-----------N- -------------_.---------------T----------2D'21----- 18111, 18131, & 18151 Jolly Lane Oth* 18142, 18162, & 18222 Parkview Lane 18191, 18201, & 18202 Parktree Circle Huntington Beach, CA 92648 * Senior Housing Zoning. NOTEc This sheet is to contain information only for RENTAL units. Under SOURCES OF SUBSIDIES, use the following codes to identify sources: RDA a Redevelopment. agency provided financing DB a City provided density bonus FmHA, followed by program number s Farmers Home Administration. financing CDBG a Federal CDBG financing HUD, followed by appropriate program number a HUD construction or rehab financing UDAG a Federal Urban Development Grant HCD Q State Department of Housing and Community Development financing MRB a Local Mortgage Revenue Bond financing CHFA a California Housing and Finance Agency financing TAXC a Federal Tax Credits PRIV. s Private sources (i.e. foundation grants, corporate contributions, etc.) OTH a Any other source (explain with note) t Use "HUD v" or "HUD-C" to indicate units subsidized through federal Section 8 vouchers or certificiates. REPORT FOR FISCAL YEAR ENDING ON - 6 /__3V 91 MWVVELOP30XT =xxcr 3a30;/ADDRESS: COUNTS OT J RISDICTIO>i: Huntington Beach 2000 Main Street Orange Huntington Beach, CA 92648 � t (Name Of Person Preparing Report) (Telephone Number of Preparer) KOKM OF ACTH P=ZCT AREAS ADMINISTERED BY THIS AMMCY: NMI Ty AGENC7 OPERATES MORE TMLV OM PROJECT AREA. COMPLETE ABODE PORTION OF '1' M8 FORK. TEEN MAZE ENOUGH COP3E8 OF PAGES 1 THROUGH 5 TO PROVIDE a 892 TE SCHEDtW HCD-A R_MPORUNG FORK FOR EACH PROJECT AREA, SCHEDULE HCD - A HCD's reporting. mandate, contained in Health and Safety Code Section 33080.6, refers to,Sections 33080.1, 33334.2, 33413, and 33488. Questions 1 through 6 address the mandates in Sections 33080.1 and 33334.2. I. ; Project Name: YORKTOWN-LAKE If new, give year adopted: 2. Year(s) Merged: , Year(s) areas were added: 3. Percentage of project's tax increments set aside for housing And deposited in the L&K Fund: (Show exact 2 if possible; otherwise show 0, 20%, less than 20%, or more than 20t.) 20 % 4. If set-aside is being deferred, or is less than 202 of the total tax increments allocated to the entire project, when were the necessary .-_ findings adopted? (Show month/day/year) 5. The Health and Safety Code authorizes types of findings which can be made :to exempt a project from the set-aside requirement. Indicate type(s) of findings adopted by checking appropriate Health and Safety Code Section designation(s) : [ ) Section 33334.2(a) (1) (No need in community to increase/improve supply of low/moderate-income housing.) ( ) Section 33334.2(a) (2) (Less than 20% set-aside is sufficient to meet the need.) [ ) Section 33334.2(a) (3) (Cc=unity is making substantial effort equivalent in value to 20% set-aside.) [ Section 33334.6(d) (Project was adopted prior to 1977 and tax increments are needed to meet existing debts.) [ ) Section 33334.6(e) (Project was adopted prior to 1977 and tax increments are needed for timely completion of projects to which agency _ vas committed prior to 1986.) 6. A finding pursuant to Section 33334.6(d) or (e) triggers a requirement in 33334.6(g) to create an indebtedness to the L&M: Fund representing the amount of the set-aside being deferred. What is the amount of the indebtedness resulting from the deferral of all or a portion of the set- aside during the reporting period? 6A: 5 Section 33334.6(g) specifies that the indebtedness due to deferrals of the set-aside authorized in Sections 33334.6(d) or 33334.6(e) is to be retroactive to fiscal year 1985-86. Indicate the cumulative total of that indebtedness (including the amount reported in item 6, above) . 6B: $ (Continued - See Reverse) agency's annual report to its legislative body (required in Section 33080.1.) . Section 33080.5 specifies fiscal information to be included. The following questions address that portion of the reporting mandate: 7. If Item 3, above, indicates agency is setting aside tax increments and no figure is entered in Item 7A, below, please indicate the reason for that inconsistency: [ ) Project has not yet generated tax increments. [ ] Tax increments are used to pay debt service on debt proceeds added to L&M Fund. [ ] other (explain) : The following questions relate to this project area only and the actual (not deferred) revenues it has contributed to the agency's L&M Fund. P-o not include interest. Interest will be shown on SCHEDULE HCD-C. Any income related to agency-assisted housing located outside project areas should be reported as "Other Revenues Added" (Item 7C, below) for the project named as beneficiary in the authorizing resolution. A. Tax Increments Added: $ B. Debt Proceeds Added: $ C. Other Revenues *Added (excludiav-•interestj: $ D. A+B+C - Total Revenues Added (excluding interest) : $ S. Pursuant to Sections 33080.4(a) (1) 'and (a) (3) , complete the chart below to report the number of dwelling units destroyed or removed from this project area as a result of redevelopment activities during the fiscal year; the type and .income category of households served by those units; the number of those units the agency is not required to replace; and the type and income category of households displaced from the project area during the fiscal year. INFORMATION ON UNITS REMOVED INFORMATION ON HOUSEHOLDS OR DESTROYED DISPLACED " Household Total Households Lost Units Total Income/Type Income Units Served not'Required Number Households and Type Lost (Type) : to be Replaced Displaced Displaced Very Low 0 0 0 Elderly Family (non-elderly) Other (not family/ not elderly) Low 0 0 0 Elderly Family (non-elderly) Other (not family/ not elderly) Moderate 0 0 0 Elderly Family (non-elderly) j Other (not family/ not elderly) Above Mod 0 0 0 Elderly Family (non-elderly Other (not family/ not elderly) 2 . . 9. As required in Section 33080.4(a) (2), estimate the type and number of households, by income category, to be displaced from this project area during the next reporting period: Subtotal for Subtotal for Total Units Elderly Households Other Households Very Low 0 Low 0 Moderate 0 Above Mod 0 Sections 33413(d) and 33413.5 specify that project areas adopted or amended to add areas after 1975 are required to adopt replacement housing plans at least 30 days prior to entering certain agreements affecting properties from which low- and moderate-income dwelling units will be removed. other project areas Dy adopt such plans. 10. If the agency adopted a replacement housing plan, report the date it was adopted: 11. Pursuant to Section- 33080.4(a) (4) and (a) (5) , complete the following chart to report agency-assisted units with occupancy restrictions based on household tyme or income level. It asks for information on units located in this project area, or located outside redevelopment areas for the benefit of this project area. (Under redevelopment law, "elderly household" means one in which the head of the household is 6o years of age or older, or handicapped, as specified in Section 50067.) YME: R=rt units built or rehabilitated only if the work was cozzleted during the reporting period. Income Rehabbed with Built with Receiving wired Level Agency Heip Agency Help Subsidies by Acencv Total Very Low 0 0 0 0 For Elderly For Other Total Low 0 0 0 0 For Elderly For other Moderate 0 0 0 0 For Elderly For other 0 0 0 0 Above Moderate For Elderly For Other 12. Indicate how many of the units listed in item 11 are replacements for units removed through redevelopment activities, as required in Section 33080.4(d) (4) Income Built with Rehabbed with Receiving Acquired revel Agency Help Agency Help Subsidies by Agency Total Very Low 0 0 0 0 Subtotal (Elderly) Subtotal (Other) Total Low 0 0 0 0 Subtotal (Elderly) Subtotal (Other) Total Moderate 0 0 0 0 Subtotal (Elderly) Subtotal (Other) ' 3 13. -Please use the space below for information you wish to add to furthar explain the housing activities conducted by the agency or the use of its Low and Moderate Income Housing Pund. Fifteen new market rate single family homes were built within this project area during the reporting period_ An..additional phase is currently under construction. The Agency will cause to be built 2 affordable units to meet the production requirement generated by the first phase. 14. The attached housing inventory report sheets (pages 5 and 6) vere Prepared by SCD to assist your agency in meeting requirements added to Health and Safety code Section 33080.4 by AB 2080, Chapter 1140, Statutes Of 1989 (Sections 33080.4(a) (7) and 33418). The information is to be Provided for all housing units in a redevelopment project area vhich have occupancy or affordability restrictions imposed by agreements or recorded conditions, covenants, and restrictions. (Use a separate copy of pages 6 and 7 for each project area.) NOTE: In the column headed "Units Occupied by Ineligible Households," enter the number of units with occupancy or affordability restrictions vhich vere occupied by households not meeting the criteria for occupancy imposed by the CC&Rs or agreements. 4 IT FOR SUBMISSION IN FUTURE REPORTS. _ + Redevelopment Agency Huntington Beach COUNTY: Orange SCHEDULE HCD-A (Continued) for the Yorktown-Lake project (Information Compiled Pursuant to Health and Safety Code Section 33418) INVENTORY OF Q R1ER-OCCUPIED HOUSING UNITS IN THIS PROJECT AREA WITH RESTRICTIONS ON OCCUPANCY/AFFORDABILITY IMPOSED BY RECORDED AGREEMENTS OR CONDITIONS, COVENANTS, AND RESTRICTIONS . a��vafla=�aaaaaxe=vv=a==aaaaa=es vaaaaaaaavvaaaaaasaaaa aaaaaeaav=aa�ve=vas=ate=aavaaaaav�va=�==v=ev=a=tee=v=====. Project Name/ Owner Name/ Total No. Reserved for Restricted by Units Occupied Subsidy Earliest Address: Address: Units in Elderly Income Only by Ineligible Sources Affordability (IF AGENCY DEVELOPED Project VLO LOW MOD OTH VLO LOW MOD Households Used Termination PROJECT, CIRCLE NAME) VLO LOW MOD ELDERLY Date --------------------------------------------------------------------------------------------------------------------------- None. :6 NOTES This sheet is to contain information only for OWNER-OCCUPIED units. Under SOURCES OF SUBSIDIES, use the following codes to identify sources: RDA m Redevelopment agency provided financing DB city provided density bonus FmHA, followed by progr m number a Farmers Home Administration financing CDBG = Federal CDBG financing HUD, followed by approptiate program number d HUD construction or rehab financing UDAG a Federal Urban Development Grant HCD State Departmbnt of Housing and Community Development financing MRB s Local Mortgage Revenue Bond financing CHFA California Housing and Finance Agency financing TAXC = Federal Tax Credits PRIV. s Private sources (i.e. foundation grants, corporate contributions, etc.) OTH = Any. other source (explain with note) trnrinr "Farl {ont AffordAhll ltv TPrr lfwthinn OAtn," "'.r "P11" f n In1tt.of r nnit.z crrhinrt to re+cnln Anr�^m�nf n. �..v..a.u.:nr, IT FOR BUBHI88ION IN FUTURE REPORTS. t#JK UPDATING Redevelopment Agency Huntington Beach COUNTY: Orange SCHEDULE HCD-A (Continued) for the Yorktown-Lake project (Information Compiled Pursuant to Health and Safety Code Section 33418) INVENTORY OF RENTAL HOUSING UNITS IN THIS PROJECT AREA WITH R89TRICTIONG ON OCCUPANCY/AFFORDABILITY IMPOSED BY RECORDED AGREEMENTS OR CONDITIONS, COVENANTS, AND RESTRICTIONS s�sssesasvaesaasssa=sss=sssasa=sasavaysssaasssaessss�aaevasegav�assysassam a s=�s=sss=sassyssasssav==ass=sv=ssv======sue Project Name/ Owner Name/ Total No. Reserved for Restricted by Units Occupied Subsidy Earliest Address: Address: Units in Elderly Income Only by Ineligible Sources Affordability (IF AGENCY DEVELOPED Project VLO LOW MOD OTH VLO LOW MOD Households Used Termination PROJECT, CIRCLE NAME) VLO LOW MOD ELDERLY Date --------------------------------------------------------------------------------------------------------------------------- None. NOTE: This sheet is to contain information only for RENTAL units. Under SOURCES OF SUBSIDIES, use the following codes to identify sources: I RDA s Redevelopment agency provided financing DB - City provided density bonus FmHA, followed by program number s Farmers Home Administration. financing CDBG - Federal CDBG financing HUD, followed by appropriate program number - HUD construction or rehab financing UDAG - Federal Urban Development Grant HCD a State Department of Housing and Community Development financing MRB a Local Mortgage Revenue Bond financing CFKFA s California Housing and Finance Agency financing TAXC - Federal Tax Credits PRIV. Private sources (i.e. foundation grants, corporate contributions, etc.) OTH s Any other source (explain with nof-e) Use "HUD V" or "HUD-C" to indicate units subsidized through federal section 8 vouchers or certificiates. 1 REPORT FOR FISCAL YEAR ENDING ON 30/ 91 REDEPELOFYEYT ==CT X2XX/1DDRE88: COUYTS or JQRIBDICTIOY2 Huntington Beach 2000 Main Street Orange Huntington Beach., CA 92648 1 t (Name Of Person Preparing Report) (Telephone Number of Preparer) NUMBER OF ACTH PROJECT AREAS ADMINISTERED BY THIS AGENCY: Imi IF AG NC! OPERATES MORE TEAK 0JgE :A. COKZLEU ABOVE PORTIO OF TENS FORK, TEEN MM ENOUGH COPIES OF PAGER i THROUGH S TO PROVIDE A BEPMTE BCHEDULE HCD-A REPORTING FORK FOR EACH PROJECT AREA, SCHEDULE BCD - A BCD's reporting -mandate,. contained in Health and Safety Code Section 33080.6, refers to,Sections 33080.1, 33334.2, 33423, and 33488. Questions 1 through 6 address the mandates in Sections 33080.1 and 33334.2. 1.= Project Name: HUNTINGTON CENTER ; If nev, give year adopted: 2. Year(s) Merged: , Year(s) areas were added: , 3. Percentage of project's tax increments set aside for housing And de2gs1ted in the L&m Pond: (Show exact t if possible; otherwise show 0, 20%, less than 20%, or more than 20t.) 20 t 4. If set-aside is being deferred, or is less than 20% of the total tax increments allocated to the entire project, when were the necessary findings adopted? .(Sbov month/day/year) S. The Health and Safety Code authorizes types of findings vbieh can be made --to exempt a project from the set-aside requirement. Indicate type(s) of findings adopted by checking appropriate Health and Safety Code Section designation(s): ( ] Section 33334.2(a) (2) (No need in community to increase/improve supply of low/moderate-income housing.) ( ] Section 33334.2(a) (2) (Less than 20% set-aside is sufficient to meet the need.) ( ] Section 33334.2(a) (3) (Community is making substantial effort equivalent in value to 20% set-aside.) ( Section 33334.6(d) (Project was adopted prior to 1977 and tax increments are needed to meet existing debts.) in ] Section 33334.6(e) (Project was adopted prior to 1977 and tax crements are needed for timely completion of projects to which agency was committed prior to 1986.) 6. A finding pursuant to Section 33334.6(d) or (a) triggers a requirement in 33334.6(g) to create an indebtedness to the L&M Fund representing the amount of the set-aside being deferred. ghat is the amount of the indebtedness resulting from the deferral of all or a portion of the set- aside during the reporting period? GA: $ Section 33334.6(g) specifies that the indebtedness due to deferrals of the set-aside authorized in Sections 33334.6(d) or 33334.6(e) is to be retroactive to fiscal year 1985-86. Indicate the cumulative total of that indebtedness (including the amount reported in item 6, above). 6B: $ (Continued - See Reverse) agency's annual report to its legislative body (required in Section 33080.1.) . a l Section 33080.5 specifies fiscal information to be included. The following questions address that portion of the reporting mandate: 7. If Item 3, above, indicates agency is setting aside tax increments and no figure is entered in Item 7A, below, please indicate the reason for that inconsistency: [ ] Project has not yet generated tax increments. [ ] Tax increments are used to pay debt service on debt proceeds added to L&M Fund. [ ] other (explain) : The following questions relate to this project area only and the actual (not deferred) revenues it has contributed to the. agency's L&M Fund. P-o not ,include interest. Interest will be shown on SCHEDULE BCD-C. Any income related to agency-assisted housing located outside project areas should be reported as "Other Revenues Added" (Item 7C, below) for the project named as beneficiary in the authorizing resolution. A. Tax Increments Added: $ B. Debt Proceeds Added: $ C. Other Revenues -Added (excludiperinterest): $ D. A+B+C a Total Revenues Added (excluding interest) : $ S. Pursuant to Sections 33080.4(a) (1) 'and (a) (3) , complete the chart below to report the number of dwelling units destroyed or removed from this project area as a result of redevelopment activities during the fiscal year; the type and .income category of households served by those units; the number of those units the agency is not required to replace; and the type and income category of households displaced from the project area during the fiscal year. INFORMATION ON UNITS REMOVED INFORMATION ON HOUSEHOLDS OR DESTROYED DISPLACED Household Total Households Lost Units Total Income/Type Zncome Units Served not•Required Number Households and Type Lost (Type) : to be Replaced Displaced Displaced Very. Low 0 0 0 Elderly Family (non-elderly) Other (not family/ not elderly) Low 0 0 0 ' Elderly Family (non-elderly) Other (not family/ not elderly) Moderate 0 0 0 Elderly - Family (non-elderly) f Other (not family/ not elderly) Above Mod 0 0 0 Elderly Family (non-elderly other (not family/ not elderly) 2 9. As required in Section 33080.4(a) (2) , astiaate the type and nuabnr of r) ' households, by income category, to be displaced from this project area during the next reporting period: Subtotal for Subtotal for Total Units Elderly Households Other Households Very Low 0 L*w 0 Moderate 0 Above Mod 0 Sections 33413(d) and 33413.5 specify that project areas adopted or amended to add areas after 1975 are required to adopt replacement housing plans at least 30 days prior to entering certain agreements affecting properties from which low- and moderate-income dwelling units will be removed. Other project areas .may adopt such plans. 10. If the agency adopted a replacement housing plan, report the date it was adopted: 11. Pursuant to Section 33080.4(a) (4) and (a) (5) , complete the following chart to report agency-assisted units with occupancy restrictions based on household type or income level. It asks for information on units located in this project area, or located outside redevelopment areas for the benefit of this project area. (Under redevelopment law, "elderly household" means one in which the head of the household is 60 years of age or older, or handicapped, as specified in Section 50067.) HOTEs Report units built or rebabilitated eniv it the work was completed during the reporting period. Income Rehabbed with Built with Receiving Acquired javel Aaencv Help Aaencv Help Subsidies by Aaencv Total very Low 0 0 - 0 0 For Elderly For Other Total Low 0 0 0 0 For Elderly For Other Moderate 0 0 0 0 For Elderly For Other Above Moderate 0 0 0 0 For Elderly For Other 12. Indicate how many of the units listed in item 11 are replacements for units removed through redevelopment activities, as required in Section 33080.4(d) (4) : Income Built with Rehabbed with Receiving Acquired T-.val Agency Help Agency Help Subsidies by Agency Total Very Low 0 0 0 0 Subtotal (Elderly) Subtotal (Other) Total Low 0 0 0 0 Subtotal (Elderly) Subtotal (Other) Total Moderate 0 0 0 0 Subtotal (Elderly) Subtotal (Other) 3 13. -Please use the space below for information you vish to add to further explain the housing activities conducted by the agency or the use of its Low and Moderate Income Housing Fund. At the time of adoption there was no housing in this project area. A potential mixed use opportunity has been identified and it will be pursued in subsequent years. otherwise Set Aside Funds generated from this commercial project area will be used outside the project area. 14. The attached housing inventory report sheets (pages 5 and 6) were Prepared by BCD to assist your agency in meeting requirements added to Health and Safety Code Section 33080.4 by AB 2080, Chapter 1140, Statutes of 1989 (Sections 33080.4(a) (7) and 33418). The information is to be provided for all housing units in a redevelopment project area which have occupancy or affordability restrictions imposed by agreements or recorded conditions, covenants, and restrictions. (Use a separate copy of pages 6 and 7 for each project area.) NOTE: In the column headed "Units Occupied by Ineligible Households," enter the number of units with occupancy or affordability restrictions which were occupied by households not meeting the criteria for occupancy imposed by the CC6Rs or agreements. IT MR SUBMISSION IN FUTURE REPOR r Redevelopment Agency Huntington Beach COUNTY: Orange SCHEDULE HCD-A (Continued) for the Huntington Center Project (Information Compiled Pursuant to Health and Safety Code Section 33418) INVENTOR? OF OWNER-OCCUPIED HOUSING UNITS IN THIS PROJECT AREA WITS RESTRICTIONS ON OCCUPANCY/AFFORDABILITY IMPOSED BY RECORDED AGREEMENTS OR CONDITIONS, COVENANTS, AND RESTRICTIONS aaaaaaaaavaaaaraaaaaaaaaaaaaaaaaaaaaaaaearsaga asaaaaaa gaga-aaaaaaa>=na=aaa=aaaaaavaaa==a=====�r•v=====ve====a=== Project Name/ Owner Name/ Total No. Reserved for. Restricted by Units Occupied Subsidy Earliest Address: Address: Units in Elderly Income Only by Ineligible Sources Affordability (IF AGENCY DEVELOPED Project VLO LOW MOD OTH VLO LOW HOD Households Used Termination PROJECT, CIRCLE NAME) VLO LOW MOD ELDERLY Date --------------------------------------------------------------------------------------------------------------------------- None. NOTE: This sheet is to contain information only for OWNER-OCCUPIED units. Under SOURCES OF SUBSIDIES, use the following codes to Identify sources: RDA a Redevelopment agency provided financing DB a City provided density bonus FmHA, followed by program number a Farmers Home Administration financing CDBG a Federal CDBG financing HUD, followed by appropriate program number a HUD construction or rehab financing UDAG a Federal Urban Development Grant tiCD a State Department of Housing and Community Development financing MRB a Local Mortgage Revenue Bond financing CHFA California Housing and Finance Agency financing TAXC a Federal Tax Credits PRIV. Private sources (i.e. foundation grants, corporate contributions, etc.) OTH a Any other source (explain with note) ttnAnr "rnrllent AffnrAAhllity Termtnnf:inn nAtn." i-- "TflN" 1-n ltaf-ntn rrnit� errhier71-. to rncnln -- - - a......u� :r, t'Jtl UNUATINU IT FOR SUBMISSION IN FUTURE REPORTS. ..��,�.. Redevelopment Agency Huntington Beach COUNTY: Orange 9 SCHEDULE HCD-A (Continued) for the Huntington Center Project (Information Compiled Pursuant to Health and Safety Code Sect on 33418) INVENTORY OF Eft NTAL ROUSING UNZ78 IN HXS PROJECT AREA WITH RESTRICTIONS ON OCCUPANCY/AFFORDABILITY IMPOSED BY RECORDED AGREEMEN78 OR CONDITION8, COVENANTS, AND RESTRICTIONS s���av�aaflas�avaaa�aaaa3aavaaaaaaeva�aaaoa�avasvasa�aea�afs��assaasea=�eeaasa�eanv�v�--a..v�=r_v=�=va-v-��==�============� Project Name/ Owner Name/ Total No. Reserved for Restricted by Units Occupied Subsidy Earliest Address: Address: Units in Elderly Income only by Ineligible Sources Affordability (IF AGENCY DEVELOPED Project VLO LOW MOD OTH VLO LOW MOD Households Used Termination PROJECT, CIRCLE NAME) VLO LOW MOD ELDERLY Date --------------------------------------------------------------------------------------------------------------------------- None. NOTE: This sheet is to contain information Only for RENTAL units. finder SOURCES OF SUBSIDIES, use the following codes to identify sources: RDA Q Redevelopment agency provided financing DB a City provided density bonus FmHA, followed by progra number a Farmers Home Administration. financing CDBG a Federal CDBG financing HUD, followed by appropriate program number a HUD construction or rehab financing UDAG a Federal Urban Development Grant HqD s State Department of Housing and Community Development financing MRB a Local Mortgage Revenue Bond financing ` CHFA California Housing and Finance Agency financing TAXC a Federal Tax Credits PRIV. n Private sources (i.e. foundation grants, corporate contributions, etc.) OTH s Any other source (explain with no*e)Use "HUD V" or "HUD-C" to indicate units subsidized through federal Section 8 vouchers or certificiates. I ' r REPORT FOR FY ENDING ON June 30, 19 91 SCHEDULE HCD - B (ONLY ONE COPY NFFnF,n PFR AC-ENCY) Section 33080.4 requires redevelopment agencies to report on all their housing activities. Section 33334.2(g) authorizes the use of Low and Moderate Income Housing Funds in areas outside adopted redevelopment project areas to assist housing affordable and available to very low-;-, low-, and moderate-income households. This reporting form solicits information on the housing and households affected by only redevelopment housing activities conducted outside adopted project areas. REPORT ON REDEVELOPMENT ACTIVITIES CONDUCTED OUTSIDE OF ADOPTED PROJECT AREAS�,IIIRING THIS FISCAL YEAR 1. Sow many households at the following income levels were displaced from areas outside adopted redevelopment project areas during the reporting period. as a result of redevelopment activities? 0 Very Low 0 Low 0 Moderate 0 Above Moderate 2. How many units were destroyed or removed from the market in areas outside of adopted redevelopment project areas during the reporting period as a result of redevelopment activities? Please indicate numbers for the following income levels: 0 Very Low 0 Low 0 Moderate 0 Above Moderate 3. How many agency assisted units affordable to households at each of the following income levels were constructed in areas outside adopted redevelopment project areas during the reporting period? (Count only those units which were completed during this reporting period.( 0 Very Low 0 Low 0 Moderate 0 Above Moderate 4. Now many units for households at each of the following income levels were rehabilitated with agency assistance in areas outside of adopted redevelopment project areas during the reporting period? (Count only lbosg units on which the work was completed during this reporting period.( 0 Very. LOW 0 Low 0 Moderate 0 Above Moderate S. How many agency assisted units outside of adopted redevelopment project areas, affordable to each of the following income levels, were receiving subsidies during the reporting period? 0 0 Very Low 0 Low 0 Moderate Above Moderate 6. If the agency acquired any units of housing in areas outside of adopted redevelopment project areas durina the reuorting period, please indicate how many were for each of the following household income levels: 0 Very Low 0 Low 0 Moderate 0 Above Moderate 7. If the agency anticipates displacing any households from areas that-_- are not in adopted redevelopment project areas, please indicate the number of households in each income category: 0 Very Low 0 Low 0 Moderate 0 Above Moderate PLEASE USE THE SPACE BELOW FOR ANY COMMEM YOU WISH TO MAID? WHICH WILL FURTHER EXPLAIN YOUR INVOLVEMENT IN HOUSING ACTIVITIES OUTSIDE OF REDEVELOPMENT PROJECT AREAS. 7 i Huntington Beach Orange (NAME OF REDEVELOPMENT AGENCY) (COUNTY IN WHICH LOCATED) REPORT FOR FY ENDING ON June 30, 19 91 (NAME OF PERSON PREPARING REPORT) (PREPARER'S TELEPHONE NUMBER) SCHEDULE ECD - C Section 33080.6 requires HCD to report on the "status and use of the agency's Low and Moderate Income Housing Fund," including information developed to comply with Section 33080.4(a) (6) and (a) (6) related to its use for onsite/offsite improvements and for planning and administrative costs. STATUS OF IOW AND MODERATE INCOME HOUSING FUND (INFORMATION SHOULD BE BASED ON THAT REPORTED TO STATE CONTROLLER.) sym= ONLY ONE COPY OF THIS sm mT, RSGARDLSso OF wumnER Or PRAJSCT ARzu ADMINIBTERED BY THE REPORTING AGENCY 1. . Beginning Balance:- $ NOTE: IF BEGINNING BALANCE IS NOT THE SAME AS TOTAL ENDING BALANCE REPORTED FOR LAST FISCAL YEAR, INDICATE REASON: [ ] Auditor's adjustment (or prior period adjustment) [ ] Correction of error in agency's calculations of past expenditures • [ ] Correction of past miscalculation of tax increments received j ] Correction of HCD's error in prior report 2. Total revenues added during the reporting period: S (Total of amounts on line D of all SCHEDULE HCD-A forms submitted) 3. Interest added during the reporting period: $ 4. Total expenditures during reporting period: $ 5. Amount of total in item 4, above, representing expenditures for onsite/offsite improvements: S Humber of very low-, low-, and moderate-income households directly benefitted by expenditures for onsite/offsite improvements: 6. Amount of total in Item 4, above, representing. expenditures for planning and administrative costs as defined in Section 33334.3(d) and (a): $. None 7. Balance at end of reporting period: $ S. Amount included in Item 7, above, representing accounts receivable: $. 8. Amount of balance shown in Item 7,- above, representing commitments made by the agency through written agreements or contracts for which payment has not yet been made: $ 9. Amount included in Item 7, above, representing funds reserved for special purposes which prohibit '~ their use in the immediate future: $ Purpose(s) for which reserved: 10. Amount included in Item 7, above, representing the value of land held for development of housing 395,185 for low- and moderate-income households: $ • 8 � , L.I. Number or housing units alroraable ror each oS the iollowir1y •+�"a�""�� income levels assisted by expenditures from the L&M fund during the reporting period: (Newly constructed or rehabilitated units should be reported only in the year in which they are completed. They may be included here as well as in other sections of the report.) 0 very Low 0 Low 0 Moderate 0 Above Moderate 12. Agencies with an identified "excess surplus" (as defined in Health and Safety Code Section 33334.12) are required, pursuant to Health and Safety Code Section 33080.7, to report the amount of the excess to BCD. If your agency had an "excess surplus" in the L&M Pund at the end of the 1990-91 fiscal year, please report the amount of the excess here: $ 745,573 13. If you reported an excess surplus in item 12, please briefly summarize the agency's plan (authorized in Section 33334.10) for encumbering that amount: On November 18, 1991 the Agency Board approved a project for 164 senior units of which 48 will be affordable. The Agency contribution to the project is a $500,000 grant and a $250,000 loan. This eliminates the excess surplus. 14. If the plan described in Item 13, above, vas adopted, please report the date of the adoption. N/H Health and Safety Code Section 33334.13 requires agencies which have used the Lida Fund to assist mortgagors in a homeownership mortgage revenue bond program, or home financing program described in that Section, to provide the following information: 1S. Has your agency used the authority related to definitions of income or family size adjustment factors provided in Section 33334.13(a)? Yes [ ] No C{X] Not Applicable ( J 16. Has the agency complied with requirements in Section 33334.13(b) related to assistance for very low-income households equal to twice that provided for above moderate-income households? Yes [ ] No ( ] Not Applicable JXXJ 9 e. ' r FILE GUIDE Please file this document in: .Category: Label : V Established file New file — see Other: 0846I oe CITY OF HUNTINGTON BEACH Lo. COUNCIL - ADMINISTRATOR COMMUNICATION HUNTINGTON BEACH Honorable Mayor and City Michael T. Uberuaga /j (� To Council Members From City Administrator V ` Second Round of May 28, 1991 Subject Redevelopment Budget Review/ Date City Council Work Study Session On May 28, 1991, staff will present its second-round of budget information related to the Redevelopment Agency. As you may recall, City Council Members had several questions after the first-round presentation on February 25, 1991. Information to be presented includes the following: 1) A review of the "impact" of redevelopment on the General Fund, and listing the indirect overhead charges to the Agency by other city departments. 2) An assessment of the debt repayment capacity of the Agency under three different scenarios. This presentation is intended to show in three different scenarios how soon the Agency can repay its debt to the city. It should be noted that the Agency needs to have debt to continue to collect tax increment revenue. In addition, it should be noted that the Agency is now self sufficient and is no longer borrowing funds from the city. MTU/BAK/MJG:ls 9059r { RECEVELOF)hEXTJ AGENCY CF TIE CITY OF HFJTINGTON BEACH ANALYSIS OF I'OEBTEDtfSS (9"ARY OF EIGHT YEARS ACTIVITY) JILY 1, 1982 .0 JUNE 3), 1990 MAIN/PIER TALBERT/BEACH OAKVIEW YORKTOWN/LAKE HNNTINGTON CTR LOW INC HSG TOTAL PROJECT FUC , CASH ADVANCES 5,686,893 1,051,344 108,958 541,755 7,388,950 LAM SALES 32,902,917 37,902,917 DEFERRED DE:E_OPh£ FEES 0 48,548 48,548 ACCRUED INTExST 8,341,789 32,190 463,332 235,100 115,268 0 9,187,679 INDIRECT LOSS 4,351,471 248,337 1,7(4,877 335,768 820,510 7,520,963 TOTAL PROJECT FWD 51,283,070 280,527 3,328,101 679,826 1,477,533 0 57,049,057 OTHY FURS CDBG .108,094 1,048,845 15,638 1,172,577 WATER FUZ 1,523,862 33,623 2,528 1,560,213 SERER FUND 192,500 61,151 5,435 259,086 DRAINAGE FUND 332,750 86,404 18,748 437,902 GAS TAX FUND 605.000 605,000 PARK ACQ AND DEVELOP�ENT 2,395,273 2,395,273 CAPITAL IFPRCVE4 NT 0 0 0 220,000 0 0 220,000 PARKING STRLCC;RE 17,043,426 17,043,426 TOTAL OTHER PN)S 19,805,632 3,625,497 42,349 220,000 0 0 23,693,478 TOTAL DLE TO CITY 71,088,702 3,906,024 3,370,450 899,826 1,477,533 0 80,742,535 DUE TO OUTSIDE PARTIES WATERFROM LOAN 1,775,549 1,775,549 H.HT NATIONAL BANK 830,000 830,000 OMAAgM TRUST DEED 597,500 597,500 GOS EY TRUST DEED 1,035,000 1,035,000 FEPFA 6,848,927 1,385,391 2,450,982 0 6,582,730 4,850,278 24,118,298 EhERALD COVE 4,600,000 4,600,000 TOTAL DUE TC _UTSIDE ?ART 11,OB6,976 5,985,331 2,450,982 0 8,582,730 4,850,278 32,956,347 TOTAL PROJECT AREA DEBT 82,175,678 9,891,405 5,821,432 899,826 10,060,263 4,850,278 U3,698,882 REDEVELOPMENT AGENCY Indirect Charges From City By Project Area Fiscal Year 1989-90 Main-Pier $ 1 ) 159,318 Oakview 595,956 Huntington Center 229,941 Talbert/Beach 138,053 Yorktown/Lake 462532 $231695800 REDEVELOPMENT AGENCY Indirect Charges From City By Department Fiscal Year 1989 - 90 City Council $ 51 ,586 Building Usage 2,766 City Administration 2982437 City Attorney 5962776 Non-Departmental 13,435 City Treasurer 1 ,718 City Clerk 117;068 Administrative Services Administration 150,607 Accounting 117,638 Budget & Research 79043 Purchasing 89603 Real Property Management 147,087 Central Warehouse 11687 Civic Center Building Maintenance 5,851 Claims Processing 14,369 Development Services Administration 115,546 Current Planning 150,206 Public Works Engineering Services 53,457 Public Works Engineer Inspection 832223 Engineering Design 184,951 Traffic Engineering 471746 TOTAL $2,1692800 REDEVELOPMENT AGENCY INDIRECT CHARGES FROM CITY 1986 — 87 $ 1,709,000 1987 — 88 2,148,151 1988 — 89 2,370,560 1989 — 90 2,169,800 1990 — 91 2,186,136 TOTAL (1986 — 1990) $ 10,583,647* * Accrues interest at 10% per year. OPTION 1 Assumptions: 1) Shut down all operations on June 30, 1991. 2) All debt carries interest at 8% 3) All tax increment revenue is used to repay debt. 4) Emerald Cove debt (Talbert-Beach Project Area), will be reduced $4.6 million in 1994, when COP issue becomes due. 5) Land held by the Agency in the Main-Pier Project Area is transferred back to the city on June 30, 1991: Main Promenade $20 Million Waterfront $22.4 Million Other land $ 5.3 Million TOTAL: $47.7 Million 6) Potential Waterfront bond debt and potential increased assessed valuation (tax increment revenue) not included in this analysis. OPTION 1 TOTAL AGENCY 120 DEBT IN MILLIONS 100 80 60 40 20 0 1991 1995 1999 2003 2007 2011 2015 2019 FISCAL YEAR OPTION 2 Assumptions: 1) Shut down all operations on June 30, 2000. 2) Agency operating costs will increase by 5% per year. 3) All tax increment used to repay debt. 4) Emerald Cove debt (Talbert-Beach Project Area), will be reduced by $4.6 million in 1994 when COP issue becomes due. 5) Land held by the Agency in the Main-Pier Project Area is transferred back to the city on June 30, 1991. Main Promenade $20 Million Waterfront Commercial Parcel $13.8 Million Other land $ 5.3 Million TOTAL: $39.1 Million 6) Potential Waterfront bond debt and potential increased assessed valuation (tax increment revenue) not included in this analysis. OPTION 2 TOTAL AGENCY DEBT IN MILLIONS 140 120 100 80 60 40 20 0 1991 1995 1999 2003 2007 2011 2015 2019 FISCAL YEAR OPTION 3 Assumptions: 1) Shut down all operations on June 30, 2019. 2) Agency operating costs will increase 5% per year. 3) All tax increment revenue is used to repay debt. 4) Emerald Cove debt (Talbert-Beach Project Area), will be reduced $4.6 million in 1994, when COP issue becomes due. 5) Land held by the Agency in the Main-Pier Project Area is transferred back to the city on June 30, 1991: Main Promenade $20 Million Waterfront Commercial Parcel $13.8 Million Other land $ 5.3 Million TOTAL: $39.1 Million 6) Tax increment revenue will increase by 5% per year after 2019. 7) Potential Waterfront bond debt and potential increased assessed valuation (tax increment revenue) not included in this analysis. OPTION 3 TOTAL AGENCY 500 DEBT IN MILLIONS 450 400 350 300 250 $ 200 150 --- 100 50 1991 1996 2001 2006 2011 2016 . 2021 2026 2031 2036 2041 FISCqL;YEAR HCITY OF HUNTINGTON BEACH �f / COUNCIL - ADMINISTRATOR COMMUNICATION HUNTINGTON BEACH To Honorable Mayor/Chairman From Michael T. Uberuaga �- and Council/Agency Members City Administrator l REDEVELOPMENT February 25, 1991 Subject AGENCY BUDGET Date PRESENTATION On February 25, 1991, staff will present its first-round of budget information regarding the Redevelopment Agency. Information to be presented includes the following: 1) A definition of tax increment financing and an explanation as to why debt is important to the Agency. 2) A review of the tax increment growth in redevelopment areas, including housing set-aside funds. 3) Analysis of current Agency indebtedness by General Fund, other funds, and funds generated by outside parties. Details will be available for some expenditures, such as land sales. 4) A review of the budget detail of each redevelopment area for the next three fiscal years. This presentation is intended to explain past, current, and future budget information as it relates to the redevelopment areas. Additional funds generated to the city, such as sales tax, are not included. General community benefits, such as revitalization and job creation, are also not addressed. It should be noted that there are insufficient resources available to be complete all proposed projects. MTU/BKK:ls Attachment: Budget Information 8526r ,� R REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH • The Redevelopment Agency of the City of Huntington Beach was created by City Council Ordinance No. 1785, adopted on January 1 , 1967. • The primary purpose of the Redevelopment Agency is to iden- tify deteriorated areas within a city and encourage private rede- velopment of property for residential, commercial and industrial uses. The Agency may assist by providing financial assistance, acquiring property, providing public improvements, etc. REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH • The Agency's primary source of revenue comes from property taxes collected within a project area, referred to as "tax incre- ment revenue." • The assessed valuation of all property within the project area is determined on the date of adoption of the Redevelopment Plan. This is known as the base year assessed valuation. Property taxes related to the incremental increase in assessed values after the adoption of the Redevelopment Plan are allo- cated to the Redevelopment Agency; all taxes on the "frozen" assessed valuation of the property are allocated to the city and other districts. Before tax revenues are paid to the Redevelopment Agency, the County Auditor-Controller must certify for each project area that the amount of tax increment does not exceed bonded in- debtedness. Existing legislation requires that all redevelopment agencies set aside 20% of tax increment revenues for a low and moder- ate-income housing fund, unless certain findings are made. REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH • The Redevelopment Agency has five project areas and a low- income housing program: - The Talbert-Beach Project Area includes approximately 50 acres and its anticipated use is an industrial park. - The Main-Pier Project Area includes approximately 300 acres within the downtown area adjacent to the pier and beach. The anticipated land uses include commercial, office and residential mixed-use projects and a variety of public facilities. - The Oakview Project Area, comprising 68 acres, includes the Guardian Centre office building, a commercial theatre complex and rehabilitation of existing residential proper- ties. - The Yorktown-Lake Project Area includes 30 acres of single-family housing and public facilities. - The Huntington center Project Area provides parking and traffic circulation improvements. K ti Y �. REVIEW OF TAX INCREMENT REVENUE 1984 TO PRESENT EXPRESSED IN THOUSANDS YEAR INCREMENT TOTAL 1984 17 Y 1985 87 1986 572 1987 1,126 C. 1988 1,774 1989 2,189 i 1990 2,917 TOTAL INCREMENT 8,682 C. RECEIVED TO DATE f. f I f PROJECTIONS OF TAX INCREMENT REVENUE 1990 TO 2021 EXPRESSED IN THOUSANDS 1990 2,916 1991 4,002 �. 1992 5,038 1993 6,444 1994 8,103 1995 9,810 f 1996 10,096 1997 10,297 �. 1998 10,504 1999 10,714 2000 10,925 ¢: 2005 12,066 2010 13,321 2015 15,002 2020 16,238 t " - -. i_s •4.- tY+ ,:.��' ���" :5=.;-.-.�, '-a�xFt+rr"'e""�`�."�"3`�'sdrv�,��`�,��a-,�..'.,a^�-':'�?'..",5::.-.__..... ..,: 20% SET-ASIDE FUNDS AVAILABLE AT YEAR END EXPRESSED IN THOUSANDS 1984 $15 1985 $40 1986 $124 1987 $366 1988 $3,747 1989 $5,273 1990 $6,717 t: f: E f f. C ( r r REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH ANALYSIS OF INDEBTEDNESS (SUMMARY OF EIGHT YEARS ACTIVITY) JULY 1, 1982 TO JUNE 30, 1990 r TALBERT YORKTOWN HUNTINGTON LOW INC TOTAL MAIN/PIER BEACH OAKVIEW LAKE CENTER HSG PROJECT FUND CASH ADVANCES 5,686,893 1,051,344 108,958 541,755 7,388,950 LAND SALES 32,902,917 32,902,917 DEFERRED DEVELOPMENT FEES 0 48,548 48,548 ACCRUED INTEREST 8,341,789 32,190 463,332 235,100 115,268 0 9,187,679 INDIRECT COSTS 4,351,471 248,337 1,764,877 335,768 820,510 7,520,963 TOTAL GENERAL FUND 51,283,070 280,527 3,328,101 679,826 1,477,533 0 57,049,057 OTHER FUNDS CDBG 108,094 1,048,845 15,638 1,172,577 WATER FUND 1,523,862 33,823 2,528 1,560,213 SEWER FUND 192,500 61,151 5,435 259,086 DRAINAGE FUND 332,750 86,404 18,748 437,902 GAS TAX FUND 605,000 605,000 PARK ACQ AND DEVELOPMENT 2,395,273 2,395,273 CAPITAL IMPROVEMENT 0 0 0 220,000 0 0 220,000 PARKING STRUCTURE 17,043,426 17,043,426 TOTAL OTHER FUNDS 19,805,632 3,625,497 42,349 220,000 0 0 23,693,478 TOTAL DUE TO CITY 71,088,702 3,906,024 3,370,450 899,826 1,477,533 0 80,742,535 DUE TO OUTSIDE PARTIES WATERFRONT LOAN 1,775,549 1,775,549 HUNT NATIONAL BANK 830,000 830,000 OMAHANDRO TRUST DEED 597,500 597,500 GOSNEY TRUST DEED 1,035,000 1,035,000 HBPFA 6,848,927 1,385,381 2,450,982 0 8,582,730 4,850,278 24,118,298 EMERALD COVE 4,600,000 4,600,000 TOTAL DUE TO OUTSIDE PARTIES 11,086,976 5,985,381 2,450,982 0 8,582,730 4,850,278 32,956,347 TOTAL PROJECT AREA DEBT 82,175,678 9,891,405 5,821,432 899,826 10,060,263 4,850,278 113,698,882 Analysis of Main-Pier Redevelopment Funds (inthousands) Income 90/91 91/92 92/93 Tax Increment (80%) 918 1 ,280 1 ,793 Rental 50 75 75 Interest 500 300 300 Property Sales: Town Square 0 1 ,100 Terry Body Shop 500 Project Advances: Third Block West 4,620 Third Block West (contingency) 250 250 Driftwood Mobilehome Buyouts 1,125 Restricted Income Certificates of Participation 8,742 Koury 1 ,235 Redevelopment Bond Proceeds 3,320 13,297 TOTAL INCOME 7,463 3,505 2,168 Page 1 i Analysis of Main-Pier Redevelopment Funds Budgeted Expenses 90/91 91/92 92/93 Operating Costs 700 917 962 Property Acquisition 400 Main Street Rehabilitation 6th Street/Walnut Storm Drain 300 Ocean View Mobile Home (Phase II) 55 Beach Maintenance Facility 250 Second Block Rehab Relocation, etc. 200 Driftwood Mobilehome Buyouts 1 ,125 Main Street Improvements 200 Debt Service Bond Debt 692 692 692 Debt Service General Fund 250 250 250 June 30, 1990 Encumbrances: Main Street Improvements 41 Ocean View Mobilhome Park 327 Contract Services 230 Second Block Rehab 598 Second Block Parking Structure 4,400 PCH Sewer 157 North of the Pier Design 250 835 Walnut Extension 37 Gosney Trust 1,035 Projects: Third Block West 4,620 Third Block West (cont.) 108 Pierside Restaurants (to city) 400 400 Terry (Huntington National Bank) 830 Terry Body Shop 200 Omahundro Trust 600 Phase I Offsites 200 North of Pier Parking Structure 11,500 Total Expenses 16,017 31894 29412 Excess of Rev. over Exp. -8,554 -389 -244 Funds Available, Beginning of Year 9,336 782 393 Funds, End of Year 782 393 149 Page 2 Analysis of Redevelopment Funds PROPOSED PROJECTS (in thousands) Restricted Income: Certificates of Participation 8,742 Koury Proceeds 1,235 Redevelopment Bond Proceeds 3,320 Total Income 13,297 Proposed Projects: Third Block West Parking/Contingencies 3,000 Pierside Restaurants 6,000 Pier 2,000 Pier Plaza 3,350 Phase II - Site Acquisition - Block 101 - Main Street Improvements 1,000 Post Office 170 Celebration Plaza 625 Art Center 350 Sub-Total (Main-Pier) 16,495 *Hoover/Gothard Extension 8,000 *Edinger Corridor 7,000 *McFadden Overpass 6,000 Sub-Total (Transportation/Huntington Center) 219000 Proposed Projects - Total 379495 *Transportation improvements may be eligible for Measure M funds. Page 3 Analysis of Huntington Center Redevelopment Funds (in thousands) Income 90/91 91/92 92/93. Tax Increment (80%) 1,089 1 ,152 1 ,231 Interest 340 496 456 Berge (Lease Option) Total Income 19429 19648 19687 Budgeted Expenses Operating Costs 166 174 183 Hoover/Gothard (R.O.W. Acq.) 500 $8,000K Edinger Corridor 75 200 $7,000K McFadden Overpass $6,000 K Beach/405 Landscaping 450 Beach/405 Signage 200 Center Avenue 400 Center Avenue Signal 11 Debt Service General Fund 250 864 864 June 30, 1990 Encumbrances Hoover/Gothard Design 308 Edinger Underground Utilities 56 Total Expenses 2,130 29663 11380 Excess of Rev. over Exp. -701 -1 ,015 1 ,380 Funds Available, Beginning of Year 5,132 4,431 3,416 Funds, End of Year 49431 39416 31723 Analysis of Yorktown-Lake Redevelopment Funds (in thousands) Income 90/91 91/92 92/93 Tax Increment (80%) 36 200 200 Interest 30 38 52 Total income 66 238 252 Budgeted Expenses Operating Costs 33 75 36 Civic Center Parking 75 75 75 June 30, 1990 Encumbrances: Contractual Services 22 Civic Center Parking 32 Total Expenses 162 '150 111 Excess of Rev. over Exp. -96 88 141 Funds Available, Beginning of Year 348 252 340 Funds, End of Year 252 340 481 Analysis of Talbert-Beach Redevelopment Funds (in thousands) Income 90/91. 91/92 92/93 Tax Increment (80%) 163 336 385 Interest 58 68 82 Total Income 221 404 467 Budgeted Expenses Operating Costs 66 69 73 Debt Service City 100 100 100 Debt Service Bonds 142 142 142 June 30, 1990 Encumbrances: Contractual Services 2 Total Expenses 310 311 315 Excess of Rev. over. Exp. -89 93 152 Funds Available, Beg. of Year 1,137 1,048 1,141 Funds, End of Year 19048 19141 11293 I. Analysis of Oakview Redevelopment Funds (in thousands) Income 90/91 91/92 92/93 Tax Increment (80%) 699 - 737 818 Interest 94 113 136 Zisakis (Land Payment) 250 Total Income 19043 850 954 Budgeted Expenses Operating Costs 133 140 147 Elm Keelson Street Improvements 175 Land Acquisitions 800 Debt Service Bonds 256 256 256 June 30, 1990 Encumbrances Warner/Ash Traffic Signal 106 Contract Services 18 Total Expenses 495 11371 403 Excess of Rev. over Exp. 548 -521 551 Funds Available, Beginning of Year 1,952 2,500 1 ,979 Funds, End of Year 29500 19979 23531 3 11 "vv. 33 �` REQUEST FC REDEVELOPMENT aENC TION ' RH 86-85 Date November 21, 1986 Submitted to: Honorable Chairman and Redevelopment Agency M[gfnbers Charles W. Thompson, Chief Executive Officer vED gy GITY CO CIL Submitted by: A�PRO Prepared by: glas N. La Belle, Deputy City Administrator/Redevel pment Subject: 1APROVAL OF ANNUAL REPORT OF THE HU TINGTON B ITY' Cyi:•� REDEVELOPMENT AGENCY FOR FISCAL YEAR 1985/8 Consistent with Council Policy? Yes [ ] New Policy or Exception Statement of Issue, Recommendation, Analysis, Funding Source, Alternative Actions, Attachments: STATEMENT OF ISSUE: In accordance with provisions of Section 33080.1 of the State of California's Health and Safety Code, the Redevelopment Agency is required to prepare an Annual Report to be- forwarded to the State of California Department of Housing and Community Development. Attached for your review is the Annual Report for Fiscal Year 1985/86. RECOMMENDATION: It is recommended that the attached Annual Report be received and filed and that staff be directed, in accordance with provisions of the Healthy and Safety Code, to forward necessary copies of both the Agency's Annual Report and Audit to the State of California Department of Housing and Community Development. ANALYSIS: In accordance with the State Redevelopment Law, the Redevelopment Agency is required to submit an Annual Report pursuant to the provisions of Section 33080.1 of the State of California Health and Safety Code. State Law dictates that the' Annual Report contain an independent financial audit report for the previous fiscal year; a work program for the coming year including goals; an examination of the previous year's achievements; and a comparison of the achievements with the goals of the previous year's work program's recommendations for needed legislation to carry on properly a program of.housing and community development in California, and a description of the Agency's activities affecting housing and displacement. The Annual Report outlines and analyzes Main-Pier, Oakview, Talbert-Beach, Yorktown-Lake, and Huntington Center Redevelopment Project Areas in terms of the above-mentioned reporting requirements. Pf O/1/85 1 RH 86-85 November 21, 1986 Page Two FUNDING SOURCE: Previously budgeted Redevelopment funds to reimburse the State Department of Housing and Community Development for the cost of processing and reviewing the report as required by Setion 33080. ALTERNATIVE ACTION: The Annual Report is a mandatory requirement of the State of California and must be submitted to the Department of Housing and Community Development no later than December 31, 1986. ATTACHMENTS: 1. 1985/86 Annual Report. C WT/DLB/SJH:sar 0 500r ANNUAL REPORT OF THE HUNTINGTON BEACH REDEVELOPMENT AGENCY 1985/1986 In accordance with the provision of Section 33080.1 of the State of California Health and Safety Code, this report has been prepared for the Huntington Beach Redevelopment Agency for Fiscal Year 1985/86. The "Audit .Report," as defined in subsection (a) 33080.1, was prepared by the Agency's independent financial auditors, Diehl Eva ns. At the closing of fiscal year 1985/86, the Huntington Beach Redevelopment Agency had five project areas: Talbert-Beach, Yorktown-Lake, Oakview, Main-Pier, and Huntington Center. The Main-Pier Redevelopment Project Area was amended on June 20, 1983. The following are reports for each of the above mentioned project areas. - 1 - MAIN-PIER REDEVELOPMENT PROJECT AREA I. MAIN-PIER REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1985/86 The work program for the Main-Pier Redevelopment Project Area for fiscal year 1986/87 represents the fifth year of a multi-year program of implementation and reinvestment for the downtown area. Activity generated by the 1986/87 work program consists mostly of the preparation of several master plans and the consolidation of properties by private developers. The Main-Pier Redevelopment Project Area is broken down into seven subareas: Town Square, Main-Pier, Downtown Core, Beach-City, Blufftop, Huntington-Lake and Atlanta-Beach. It is anticipated that the majority of activity for fiscal year 1986/87 will occur in the Town Square and Main-Pier subareas. The following is a summary of the Agency's work program for the Main-Pier Redevelopment Project Area for 1986/87: PROJECT DESCRIPTION ESTIMATED COST Legal Services and Master Plan Preparation $ 200,000.00 Audit $ 18,000.00 Appraisals $ 100,000.00 Printing $ 7,400.00 Public Improvements Preliminary Estimates/Phase I $ 10,000,000.00 DDA for Main-Pier $ 20,000.00 DDA for Town Square $ 2,200.00 H. MAIN-PIER REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1985/86 A work program budget was adopted by the Huntington Beach Redevelopment Agency in June, 1985. This budget outlined several projects for the Main-Pier Redevelopment Project Area to facilitate the initial development activity. The following is a review of the goals and achievements for the 1985/86 Fiscal Year. - 2 - PROJECT DESCRIPTION STATUS COST Exclusive Negotiation Completed Agreement/Town Square Exclusive Negotiation Completed Agreement/Main-Pier (Site 1) Exclusive Negotiation Completed Agreement/Main-Pier (Site 2) Planning Study/Tax Completed Increment Financing Precise Plan of Street Completed Alignments Establish Appropriate Completed Relocation Plan Land Acquisition Completed $ 405,536 Interest Debt Ongoing Request for Developer To be Completed Proposals (Main-Pier FY 1985/86 Site 3) Exclusive Negotiation To be Completed Agreement (Main-Pier FY 1985/86 Site 3) Downtown Parking Study Completed and Implementation Recommendations Historic Resources To be Completed $ 15,000 Survey FY 1986/87 Appraisal To be Completed Contracts FY 1986-87 3DI Master Plan To be Completed $ 90,000 FY 1986-87 - 3 - OAKVIEW REDEVELOPMENT PROJECT AREA I. OAKVIEW REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1986/87: The work program for the Oakview Redevelopment Project Area for fiscal year 1986/87 represents the fourth year of a multi-year program of implementation and reinvestment for the Oakview Neighborhood Activity, generated by the 1986/87 work program, focuses primarily on the implementation of the Oakview Land Use and Circulation Analysis. Scheduled projects also include a feasibility study of the remainder of the Oakview neighborhood. Cypress-Beach. The following is a summary of the Agency's work program for the Oakview Redevelopment Project Area for 1986/87: PROJECT DESCRIPTION ESTIMATED COST Koledo Lane Offsite Improvements $ 586,000 (CDBG) Audit $ 1,300 Appraisals $ 2,000 Neighborhood Improvements $ 200,000 (CDBG) Legal $ 5,500 Property Acquisitions $ 340,000 Street Improvements $ 600,000 Charter Center Debt $ 247,366 Printing $ 2,700 II. OAKVIEW REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1985-86 A work program budget was adopted by the Huntington Beach Redevelopment Agency in June, 1985. Construction was completed this fiscal year for the Charter Centre project - a commercial venture located at the northeast section of the Oakview Redevelopment Project Area. - 4 - The following is a review of the goals and achievements for the 1985/86 Fiscal Year. PROJECT DESCRIPTION STATUS COST Koledo Lane Demonstration Completed Project Program to upgrade pro- To be Completed perty on Jacquelyn and FY 86/87 Queens Streets Engineering & Planning Completed Study for Public Improvements Cypress/Beach Develop- To be Completed ment Plan FY 86/87 Secure Development Pro- To be Completed posals Cypress/Beach FY 86/87 Acquisition of Completed $141,393 Robertson parcel Acquisition of Completed $249,558 Walker parcel - 5 - TALBERT-BEACH REDEVELOPMENT PROJECT AREA I. TALBERT-BEACH REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1986/87: The work program for the Talbert-Beach Redevelopment Project Area represents the fourth year of a multi-year program of implementation and reinvestment in that area. Located within this project area are three subareas: Conventional Housing, Terry Park, and the Industrial Park. Development within the Conventional Housing subarea and the Terry Park subarea has commenced. The Industrial Park subarea will be developed with light industrial users. The success that the Agency has had in bringing about redevelopment in this area and the use of the Industrial Site as stated are reflective of what can and will be accomplished through public-private cooperation. The following is a summary of the Agency's work program for the Talbert-Beach Redevelopment Project Area of 1986/87: PROJECT DESCRIPTION ESTIMATED COST Contractual Services $ 10,250.00 Appraisal $ 2,000.00 Legal Services $ 10,250.00 Property Acquisition $ 225,000.00 Interest Payment $ 306,000.00 Development Agreements $ 3,000.00 II. TALBERT-BEACH REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1985/86: A work program budget was adopted by the Huntington Beach Redevelopment Agency for fiscal year 1985/86. The budget outlines several projects for the Talbert-Beach Redevelopment Project area, primarily focusing on the Emerald Cove Senior Housing Project which provides 164 units of low-and-moderate income housing for seniors. Emerald Cove was officially dedicated on May 3, 1985. - 6 - The following is a review of the goals and achievements for the 1985/86 Fiscal Year: PROJECT DESCRIPTION STATUS COST Land Acquisition To be Completed FY $ 286,632 Legal Fees Completed $ 9,800 Solicited Request for Ongoing N/A Qualifications for Industrial Site Acquisition of To be Completed $ 121,408 Ara nda property 86/87 Acquisition of To be Completed $133,000 Warner property 86/87 - 7 - YORKTOWN-LAKE REDEVELOPMENT PROJECT AREA I. YORKTOWN-LAKE REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1986/87: The work program for the Yorktown-Lake Redevelopment Project Area for fiscal year 1986/87 represents the fifth year of a multi-year program of implementation. Projects for the coming fiscal year detail planning and feasibility studies to determine possible development alternatives. The following is a summary of the Agency's work program for the Yorktown-Lake Redevelopment Project Area of 1986/87: PROJECT DESCRIPTION ESTIMATED COST Appraisals $ 1,000.00 Legal Services/Land Exchange $ 12,500.00 Agreement with Huntington Beach Co. Implementation of Private Improve. N/A II, YORKTOWN-LAKE REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1985/86: A work program budget was adopted by the Huntington Beach Redevelopment Agency for this upcoming fiscal year. This budget called for planning studies concerning the development of the Yorktown-Lake Redevelopment Project Area. The City has been working closely with the Huntington Beach Company in the coordination of a suitable plan. The following is a review of the goals and achievements for the 1985/86 fiscal year: PROJECT DESCRIPTION STATUS COST Development Proposals To be Completed -0- FY 86/87 - 8 - HUNTINGTON CENTER REDEVELOPMENT PROJECT AREA I. HUNTINGTON CENTER REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1986/87: The Work Program for the Huntington Center Redevelopment Project Area for fiscal year 1986/87 represents the second year of a multi-year program of implementation projects for the coming fiscal year, including a planning study to determine potential development alternatives. The following is a summary of the Agency's work program for the Huntington Center Redevelopment Project Area of 1986/87. PROJECT DESCRIPTION ESTIMATED COST Appraisals $ 500.00 Legal Services $ 15,000.00 Planning Study $ 30,000.00 Feasibility Study $ 82,000.00 DDA and OPA Private and Public Improvements N/A IWA Engineers $ 30,000.00 II. HUNTINGTON CENTER REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL.YEAR 1985/86: The following is a review of the goals and achievements for the 1985/86 fiscal year: PROJECT DESCRIPTION STATUS COST Traffic Engineering Analysis Complete $30,000 Gothard-Hoover, Center Drive, and I-40 5 of f-ramp. Council approved Precise Plan Preparing for N/A of Street Alignment for appraisal of Gothard Ave. between needed right-of-way. McFadden Ave. & Center Dr. RECOMMENDATION FOR NEEDED LEGISLATION TO ENHANCE REDEVELOPMENT: The Huntington Beach Redevelopment Agency, through its participation in various statewide organizations, is currently assessing and reviewing the need for legislation. - 9 - DESCRIPTION OF THE HUNTINGTON BEACH REDEVELOPMENT AGENCY'S ACTIVITIES AFFECTING HOUSING AND DISPLACEMENT; HUNTINGTON BEACH REDEVELOPMENT AGENCY 1) During the 1985/86 fiscal year, three (3) households were relocated from any project area. 2) During the 1986/87 fiscal year, no households are expected to be relocated from the Talbert-Beach Project Area. It is not anticipated that any other area will experience any displacement. 3) During the 1985/86 fiscal year, two (2) housing units for low-and-moderate income families was destroyed due to redevelopment agency activity. 4) During the 1985/86 fiscal year, 15 units of housing was constructed for citizens of low-to-moderate income level in the Oakview Redevelopment Project Area. f 0500r - 10 - 31 REQUEST FG, REDEV MENT .-..aENCY ACTION &ov �Y C GO UN �� �� 19•�-' 1 RH 85-62 Date December 6, 1985 GI1 r Submitted to: Honorabl rman and Redevelopment Agency Members Submitted by: Charles W. Thompson, Chief Executive Officer C' Prepared by: Douglas N. LaBelle, Deputy Director of Redevelop ent Subject: APPROVAL OF ANNUAL REPORT OF THE HUNTINGTON BEACH REDEVELOPMENT AGENCY FOR FISCAL YEAR 1994/85 Consistent with Council Policy? �] Yes [ ] New Policy or Exception Statement of Issue, Recommendation, Analysis, Funding Source, Alternative Actions, Attachments: STATEMENT OF ISSUE: In accordance with provisions of Section 33080.1 of the State of California's Health and Safety Code, the Redevelopment Agency is required to prepare an Annual Report to be. forwarded to the State of California Department of Housing and Community Development. Attached for your review is the Annual Report for Fiscal Year 1984-85. RECOMMENDATION: It is recommended that the attached Annual Report be received and filed and that staff be directed, in accordance with provisions of the Health and Safety Code, to forward necessary. copies of both the Agency's Annual Report and Audit to the State of California Department of Housing and Community Development. ANALYSIS• In accordance with the State Redevelopment Law, the Redevelopment Agency is required to submit an Annual Report pursuant to the. provisions of Section 33080.1 of the State of California Health and Safety Code. State Law dictates that the Annual Report contain an independent financial audit report for the previous fiscal year; a work program for the coming year including goals; an examination of ' the previous year's achievements; and a comparison of the achievements with the goals of the previous year's work program's recommendations. for needed legislation to carry on properly a program of housing and community development in California, and a description of the Agency's activities affecting housing and displacement. The Annual Report outlines and analyzes Main-Pier, Oakview, Talbert-Beach, Yorktown-Lake, and Huntington Center Redevelopment Project Areas in terms of the above-mentioned reporting requirements. 3 PI O/1/85 RH 85-62 December 6, 1985 Page Two FUNDING SOURCE: Previously budgeted Redevelopment funds to reimburse the State Department of Housing and Community Development for the cost of processing and reviewing the report as required by Section 33080. ALTERNATIVE ACTION: The Annual Report is a mandatory requirement of the State of California and must be submitted to the Department of Housing and Community Development no later than December 31, 1985. ATTACHMENTS: 1. 1984/85 Annual Report CWT/DLB/SAJ:sar 1638h ANNUAL REPORT OF THE HUNTINGTON BEACH REDEVELOPMENT AGENCY 1984/1985 In accordance with the provision of Section 33080.1 of the State of California Health and Safety Code, this report has been prepared for the Huntington Beach Redevelopment Agency for Fiscal Year 1984/85. The "Audit Report," as defined in subsection (a) 33080.1, was prepared by the Agency's independent financial auditors, Diehl Evans. At the closing of fiscal year 1984/85, the Huntington Beach Redevelopment Agency had five project areas: Talbert-Beach, Yorktown-Lake, Oakview and Main-Pier, and Huntington Center. The Main-Pier Redevelopment Project Area was amended on June 20, 1983. The following are reports for each of the above mentioned project areas. MAIN-PIER REDEVELOPMENT PROJECT AREA I. MAIN-PIER REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1985/86 The work program for the Main--Pier Redevelopment Project Area for fiscal year 1985/86 represents the fourth year of a multi-year program of implementation and reinvestment for the downtown area. Activity generated by the 1985/86 work program consists mostly of the preparation of several master plans and the consolidation of properties by private developers. The Main-Pier Redevelopment Project Area is broken down into seven subareas- Town Square, Main-Pier, Downtown Core, Beach-City, Blufftop. Huntington-Lake and Atlanta-Beach. It is anticipated that the majority of activity for fiscal year 1985/86 will occur in the Town Square and Main-Pier subareas. The following is a summary of the Agency's work program for the Main-Pier Redevelopment Project Area for 1985/86: PROJECT DESCRIPTION ESTIMATED COST Legal Services/Disposition & Development Agreements other than Main-Pier $ 30,000.00 Appraisals $ 10.000.00 Public Improvements Preliminary Estimates/Phase I $ 10,000,000.00 DDA for Main-Pier $ 20,000.00 DDA for Town Square $ 2,200.00 RFP for Lake Street $ 500.00 II. MAIN-PIER REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1984/85 A work program budget was adopted by the Huntington Beach Redevelopment Agency in June. 1984. This budget outlined several projects for the Main-Pier Redevelopment Project Area to facilitate the initial development activity. The following is a review of the goals and achievements for the 1984/85 Fiscal Year. 2. PROJECT DESCRIPTION STATUS COST Exclusive Negotiation To be Completed Agreement/Town Square FY 1985/86 Exclusive Negotiation To be Completed Agreement/Main-Pier (Site 1) FY 1985/86 Exclusive Negotiation To be Completed Agreement/Main-Pier (Site 2) FY 1986/87 Planning Study/Tax To be Completed Increment Financing FY 1985/86 Approval of Circulation Completed $ 32,000 Plan Precise Plan of Street To be Completed Alignments FY 1986/87 Establish Appropriate To be Completed Relocation Plan FY 1985/86 Blufftop Park Improvements Completed $ 358,000 Land Acquisition Completed $ 405,536 Interest Debt Ongoing $ 14,351 Request for Developer To be Completed Proposals (Main-Pier FY 1985/86 Site 3) Exclusive Negotiation To be Completed Agreement (Main-Pier FY 1985/86 Site 3) Downtown Parking Study To be Completed and Implementation FY 1985/86 Recommendations Historic Resources To be Completed Survey FY 1985/86 3. OAKVIEW REDEVELOPMENT PROJECT AREA I. OAKVIEW 'REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1985/86: The work program for the Oakview Redevelopment Project Area for fiscal year 1985/86 represents the third year of a multi-year program of implementation and reinvestment for the Oakview Neighborhood Activity, generated by the 1985/86 work program, focuses primarily on the second phase of the Koledo Lane Demonstration Project. Scheduled projects also include a feasibility study of the remainder of the Oakview neighborhood. Plans for the Charter Centre project are underway, with construction already commencing. The following is a summary of the Agency's work program for the Oakview Redevelopment Project Area for 1985/86: PROJECT DESCRIPTION ESTIMATED COST Koledo Lane Offsite Improvements $ 586,000 (CDBG) Planning Study $ 40,000 (CDBG) Appraisals $ 3,300 Neighborhood Improvements $ 188.410 (CDBG) Property Acquisitions $ 340,000 Street Improvements $ 600.000 -H. OAKVIEW REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1984-85 A work program budget was adopted by the Huntington Beach Redevelopment Agency in June, 1984. This budget outlines several projects for the Oakview Redevelopment Project Area, primarily focusing on the second phase of the Koledo Lane Demonstration Project which called for the street and landscape improvements. Construction commenced this fiscal year for the Charter Centre project - a commercial venture located at the northeast section of the Oakview Redevelopment Project Area. 4. The following is a review of the goals and achievements for the 1984/85 Fiscal Year. PROJECT DESCRIPTION STATUS COST Koledo Lane Demonstration To be Completed Project FY 85/86 Execute the DDA with Completed $ 2,000 Mola Development Corp. for Charter Centre Program to upgrade pro- To be Completed perty on Jacquelyn and FY 85/86 Queens Streets Engineering & Planning To be Completed Study for Public FY 85/86 Improvements Cypress/Beach Develop- To be Completed ment Plan FY 85/86 Secure Development Pro- To be Completed posals Cypress/Beach FY 85/86 Charter Centre Completed $ 80,572 Administrative Costs FY 84/85 5. TALBERT-BEACH REDEVELOPMENT PROJECT AREA I. TALBERT-BEACH REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1985/86: The work program for the Talbert-Beach Redevelopment Project Area represents the third year of a multi-year program of implementation and reinvestment in that area. Located within this project area are three subareas: Conventional Housing, Terry Park, and the Industrial Park. Development within the Conventional Housing subarea and the Terry Park subarea has commenced. The Industrial Park subarea will be developed with light industrial users. The success that the Agency has had in bringing about redevelopment in this area and the use of the Industrial Site as stated are reflective of what can and will be accomplished through public-private cooperation. The following is a summary of the Agency's work program for the Talbert-Beach Redevelopment Project Area of 1985/86: PROJECT DESCRIPTION ESTIMATED COST Appraisal/Industrial Site $ 3,300.00 Legal Services $ 9,800.00 Property Acquisition $ 225,000.00 Interest Payment $ 306,000.00 Development Agreements $ 3,000.00 H. TALBERT-BEACH REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1984/85: A work program budget was adopted by the Huntington Beach Redevelopment Agency for fiscal year 1984/85. The budget outlines several projects for the Talbert-Beach Redevelopment Project area, primarily focusing on the Emerald Cove Senior Housing Project which provides 164 units of low-and-moderate income housing for seniors. Emerald Cove was officially dedicated on May 3, 1985. 6. The following is a review of the goals and achievements for the 1984/85 Fiscal Year: PROJECT DESCRIPTION STATUS COST Land Acquisition To be Completed FY 85/86 $ 286,632 Legal Fees Completed $ 9,000 Solicited Request for Ongoing N/A Qualifications for Industrial Site 7. REDEVELOPME Rr AGENCY OF THE CTTY OF HUNrINGr0N BEACH NC7rES TO FINANCIAL STATEZUIM (Continued) June 30, 1989 5: CHANGES IN LONG-TERM DEBT (CONTINUED) : D. In 1984 the Agency sold $4,600,000 of Certificates of Participation at a discount of $126,500 to finance the construction of the Emerald Cove senior citizens housing project. The certificates bear interest at 9.5% per annum, which is payable semi-annually. Principal is payable at maturity on May 1, 1994. The land upon which the project was built was sold to the Agency by the City. The City is leasing back the project and is operating it as an enterprise. Lease payments, of $40,250, equal to interest and insurance are payable monthly until the final payment, equal to principal of $4,600,000, is due May 1, 1994. The holders of the certificates have a proportionate interest in the lease payments to be made by the City. The certificates are secured by the land and the buildings constructed, an assignment of rents, and an irrevocable letter of credit issued by a bank. A discount of $126,500 on the sale of the certificates is being amortized through maturity. The unamortized discount at June 30, 1989 _ is $63,982. The assets of the Emerald Cove Housing project are recorded by the City and not the Agency, as the Agency is only involved in "pass-through" financing, except for the cash with fiscal agent of $322,474 which represents amounts reserved to pay the debt. Below is a schedule of -debt service requirements to maturity on the Certificates of Participation: Year Ending June 30, Principal Interest Tbtal 1990 $ - $ 437,000 $ 437,000 1991 - 437,000 437,000 1992 - 437,000 437,000 1993 - 437,000 437,000 1994 4,600,000 400,583 5,000,583 Totals $ 4,600,000 $ 2,148,583 $ 6,748,583 See independent auditors' report. -10- REDEVELOPMDIT AGENCY OF THE CITY OF HUNTINGTON BEACH NUTES TO FINANCIAL STA EMM (Continued) June 30, 1989 6. IDANS-'rO-IEMER REVENUE BONDS: The Agency has issued through the City of Huntington Beach Loans-to-Lenders •� Revenue Bonds of $16,000,000 for the purpose of providing the issuer with funds to make a deposit with Home Federal Savings and Lean Association, San Diego, California. The proceeds of the deposit have been used by the Lender to make a mortgage loan to the developer at the Huntington Breakers Apartment Project. These Bonds are not an obligation of the Agency or City, and are payable solely fram the deposit and certain other funds, all pledged under the indenture. Accordingly, the bonds are not reflected in the acccupanying financial statements. 7. OWNER PARTICIPATION AND DISPOSITION AND DEVELOPMENT . A. 1988 Owner Participation Agreement - Mola Development Corporation: In July, 1988, the Redevelopment Agency, the City and Mola Development Corporation (Mola) entered into an owner participation agreement for the Townsquare project (a residential and commercial development in the Maip/Pier project area of the Redevelopment Agency) . Certain property which was owned by -third parties was acquired by both the Agency and Mola. This property was combined with adjacent property owned by Mola, property owned by the Agency and property sold to the Agency by the City for $1,956, 000. The resultant configuration was used for the development. During the year, Mola obtained a land draw to construct the project. The Agency received $1,250,094 of this land draw representing its share of the total proceeds which was computed based upon the relative value of the Redevelopment Agency's land to the total land value in the project. This amount is recorded as an "other financing source" in the Redevelopment Agency's Capital Projects Fund. The total value of Redevelopment Agency owned land in the project is $1,956,000 which is recorded as "Land Held for Resale" on the balance sheet of the Agency's Capital Projects Fund. Chien the individual residential units are completed and sold, proceeds will be distributed which will reimburse the Redevelopment Agency for the. remaining value of its land which was not reimbursed by the land draw ($1,250,000) and pay a 9% developers fee to Mola. The remaining proceeds will be divided between the Agency and Mola based on the value of the respective land contributed by each party. One year after the commercial units are completed, Mola will be obligated to pay to the Agency 50% of the net operating income of the commercial units for the proceeding year and on a monthly basis thereafter. See independent auditors' report. -11- REDEVELOPMENT AGENCY OF THE C1TrY OF HUNTINGTON BEACH NOTES TO FINANCIAT, STATEMENTS (Continued) June 30, 1989 7. OWNER PARTICIPATION AND DISPOSITION AND DEVELOPMENT AG=4ENTS (COVrINUED) : B. 1983 Owner Participation Agreement - Mola Development Corporation: In 1983, the City, the Redevelopment Agency and Mola entered into an owner participation agreement relating to certain improvements in the Oakview project area of the Redevelopment Agency. The Agency agreed to purchase certain public improvements from Mola for $1,408,047 plus interest at 11% per annum. The purchase price was to be paid by a pledge of certain tax increment revenues in the project area. The Agency agreed to advance to the City $211,394 plus interest at 11% per annum of building fees normally due at the time of occupation. In July; 1988, the Agency and Mola agreed that the Agency would pay Mola $1,200,000 to settle the liability for the public improvements. It was also agreed that the amount of deferred development fees plus interest was $300,000. Mola paid $100,000 in July, 1988 and agreed to pay $81,843 annually on June 30th 1989, 1990 and 1991 to settle the deferred development fees. The $81,843 due at June 30, 1989 was not paid until a later date and is reported as an account receivable in the accompanying financial statements. C. Owner Participation Agreement - Koury: In November, 1988, the City, the Redevelopment Agency and Robert Koury, an individual, entered into an owner participation agreement which will provide for the development of a parking structure and related commercial and retail space in the Main/Pier project area of the Redevelcp ment Agency. The Redevelopment Agency purchased land from the City valued at $3,133,500. This sales price will be paid to the City by future tax increment revenues of the Main/Pier project area. This land was combined with other Redevelopment Agency owned land and land owned by Koury to provide the space for the development. The Agency purchased the land held by Koury for $1,235,000 and secured the performance of the agreement by issuing Koury a deed of trust. The Agency agreed to construct a parking garage and 32,000 square feet of retain/commercial space. When the construction is completed the Agency will sell interest in the retail/commercial space for $1,235,000. The Agency will retain title to the parking structure. See independent auditors' report. -12- REDEVELOPMENT AGENCY OF THE C1TTY OF-HUNTINGTON BEACH NOTES TO F'INANC kL STAT!EMEN S (Continued) June 30, 1989 7. OWNER PARTICIPATION AND DISPOSITION AND DEVEIIJPMENT (OONTINUED) : D. Disposition and Development Agreement - Robert L. Mayer Corporation: In August, 1988, the Redevelopment Agency, the City and Robert L. Mayer Corporation (Mayer) entered into a disposition and development agreement for the development of hotels, residential and ccaniercial parcels in the Main/Pier project area. The development will take place in three different residential and six different ammercial phases. Mayer agreed to loan to the Agency $4,800,000 to relocate residents of a mobilehcme park in the area. As of. June 30, 1989, $2,730,332 of the costs have been incurred and $461,535 cash has been received from Mayer. Mayer will be repaid by the Agency pledging a portion of the tax increment and transient occupancy tax revenues that the improvements generate. After the indebtedness is repaid, the Agency will also be liable to rebate to Mayer additional tax increment and transient occupancy tax revenue generated by the project when the project is ccupleted. The Agency purchased land from the City for $22,400,000. This purchase price will be repaid to the City by future tax increment revenues of the Main/Pier project area. The land purchased from the City which will be used for the commercial portion of the development will be leased by the Agency to Mayer for 99 years. The remaining land will be used for the residential development. When the residential units are sold, the Agency will receive revenue based on a specific schedule in the agreement. At June 30, 1989, $8,377,000 of the land representing the residential Portion is recorded as "Land Held for Resale" on the balance sheet of the Redevelopment Agency's Capital Projects Fund. 3 E. Disposition and Development Agreement - California Resorts: In August, 1988, the Redevelopment Agency, the City and California Resorts entered into a disposition and development agreement. The City sold the Redevelopment Agency certain land for $1,512,500. This will be j repaid from future tax increment revenues. This land was combined with land owned by California Resorts and other third parties to construct a hotel. See independent auditors' report. -13- REDEVELOPMENT AGENCY OF THE CITY OF HL9?Ir1 1Gr`ON BEACH NOTES TO FINANCIAL STATEMENM (Continued) June 30, 1989 8. CONTINGENCY: Commencing with fiscal year 1990-91, and each year thereafter, the Redevelopment Agency will pay the Orange County Superintendent of Schools one-fourth of the tax increment revenues received by the Huntington Center Redevelopment Project Area. 9. RESERVES: o Under generally accepted accounting principles, a municipal entity may set up "reserves" of fund equity to segregate fund balances which are not appropriable for expenditure in future periods, or which are legally set aside for a specific future use. Reserved for Debt Service This reserve sets aside fund balance to meet debt service for long-tern debt (See Note 5) . Reserved for Low Income Housirx� This reserve represents 20% of tax revenue increment received to be set aside to finance low income housing, as per California State Health and Safety Code Section 33334.2. Reserved for Capital B ojects These funds are reserved for future capital improvements of the Agency. Reserved for Land Held for Resale The reserve represents land held by the Agency that is legally =matted for resale, and will not be converted into cash or other liquid assets soon enough after year end to be considered "available" to meet current expenditures. See independent auditors' report. -14- 7 �l SUPPIEMENnW INTURMATION i REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH CIMBINING BALANCE SHEET ALL DEBT SERVICE FUNDS June 30, 1989 Talbert - Beach Project ASSETS Cash and investments $ 355,959 Cash with fiscal agent 322,474 Interest receivable 1,545 Taxes receivable 2,757 TOTAL ASSETS $ 682,735 LSABII1fiIFS AND FUND BALANCES LIABILITIES $ - FUND BALANCES: Reserved for debt service 682,735 TOTAL LIABILITIES AND FUND BALANCES $ 682,735 See independent auditors' report. -15- Main - Yorktown - Huntington Pier Oakview Lake Center Project Project Project Project Totals $ 1,096,726 $ 643,410 $ 157,119 $ 1,460,565 $ 3,713,779 - - - - 322,474 5,957 2,887 803 5,775 16,967 11,746 - 15,879 3,680 34,062 $ 1,114,429 $ 646,297 $ 173,801 $ 1,470,020 $ 4,087,282 7 1,114,429 646,297 173,801 1,470,020 4,087,282 $ 1,114,429i 646,297 $ 173,801 $ 1,470,020 $ 4,087,282 -16- i REDEVELOPMENT AGENCY OF THE CITY OF HUN rI NGTON BEACH COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ALL DEBT SERVICE FUNDS For the year ended June 30, 1989 Talbert - Beach Project REVENUES: Property taxes $ 138,342 Fran use of money and property 55,390 Lease payments and.related fees 58,326 Interest incmv-- 64,111 TOTAL REVENUES 316,169 E)a)ENDrIURES: Interest and letter of credit fees 609,471 Repayment of advances from City 16,000 TOTAL EXPENDITURES 625,471 EXCESS OF REVENUE OVER (UNDER) EXPENDITURES (309,302) OTHER FINANCING SOURCES: Advances fran Public Financing Authority 23,319 EXCESS OF REVENUES AND OTHER SOURCES OVER (UNDER) EXPENDITURES (285,983) FUND BALANCES - JULY 1, 1988 968,718 FUND BALANCES - JUNE 30, 1989 682,735 See independent auditors' report. -17- Main - Yorktown - Huntington -� Pier Oakview Lake Center Project Pro-jeat . Project Project Totals $ 471,350 $ 279,777 $ 15,871 $ 1,061,022 $ 1,966,362 313,241 76,130 19,275 181,037 645,073 - - - - 58,326 - - - - 64,111 784,591 355,907 35,146 1,242,059 2,733,872 617,618 227,951 - 772,403 2,227,443 :. 76,000 28,000 - 92,000 212,000 693,618 255,951 - 864,403 2,439,443 90,973 991956 35,146 377,656 294,429 139,808 - - 299,501 462,628 230,781 99,956 35,146 677,157 757,057 883,648 546,341 138,655 792,863 3,330,225 $ 1,114,429 646 297 $ 173,801 $ 1,4701020 $ 4,087,282 J -18- :_t REDEVELOPMENT AGENCY OF THE CITY OF HUNTING ON BEACH COMBINING BALANCE SHEET ALL CAPITAL PROTECT FUNDS June 30, 1989 Talbert - Beach Project ASSETS Cash and investYnents $ 546,456 Taxes receivable - Accounts receivable - Interest receivable 2,182 Land held for resale - TOTAL. ASSETS $ 548,638 LIABILSTIFS AND FUND BALANCES LIABILITIESS: Accounts payable $ - Accrued payroll 572 TONAL LIABILI'I'IFS 572 FUND BALANCES: Reserved for low-income housing - Reserved for land held for resale - Resexved for capital projects 548,066 TOTAL FUND BALANCES 548,066 TOTAL LIABILITIES AND FUND BALANCES $ 548,638 See independent auditors' report. -19- Main - Yorktown - Huntington IOW Pier Oakview Lake Center Income ^' Project Project Project Project Housing Total $ 6,430,583 $ 686,189 $ 114,283 $ 5,150,936 $ 5,250,688 $ 18,179,135 8,515 - - - - 8,515 81,843 - - - 81,843 33,137 1,647 - 22,295 22,587 81,848 16,187,301 395,185 - 2,966,716 - 19,549,202 $ 22,741,379 $ 1,083,021 $ 114,283 $ 8,139,947 5,273,275 $ 37,900,543 $ . 981,722 $ - $ - $ - $ - $ 981,722 5,261 2,745 388 2,470 - 11,436 986,983 2,745 388 2,470 - 993.,158 - - - - 5,273,275 5,273,275 16,187,301 395,185 - 2,966,716 - 19,549,202 5,567,095 685,091 113,895 5,170,761 - 12,084,908 21,754,396 1,080,276 113,895 8,137,477 5,273,275 36,907,385 $ 22,741,379 $ 1,083,021 $ 114,283 $ 8,139,947 $ 5,273,215 $ 37,900,543 -20- REDEVELOPNEN'r AGENCY OF TE CITY OF HUNLING` ON BEACH M4BINING STATEMENT' OF REVENUES, EXPENDITURES AND C!F�S IN FUND BALANCES - ALL CAPITAL PRQTECT FUNDS For the year ended June 30, 1989 Talbert - Beach Project REVENUES: Tax increment revenue $ - Fran use of money and property 31,149 TOTAL REVENUES 31,149 EXPENDITURES: Housing and ocnunity development 1620,801 Capital outlay - Repayment of advances 933,584 Interest expense - Principal payments - TOTAL EXPENDITURES 1,096,385 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES (1,065,236) OTHER FINANCING SOURCES: Advances from City of Huntington Beach 191,301 Advances from Public Financing Authority 187,155 Proceeds from joint venture loan (Note 7A) - Proceeds from long-term debt - TOTAL OTHER FINANCING SOURCES 378,456 EXCESS (DEFICIENCY) OF REVENUES AND OTHER SOURCES OVER EXPENDITURES (686,780) FUND BALANCE - JULY 1, 1988 1,234,846 FUND BALANCE - JUNE 30, 1989 $ 548,066 See independent auditors' report. -21- l Main - Yorktown - Huntington Iaw Pier Oakview Lake Center Income Project Project Proj eat Project Housing 'Ibtal $ - $ - $ - $ - $ 493,015 $ 493,015 712,353 144,006 47,789 145,689 423,240 1,504,226 712,353 144,006 47,789 145,689 916,255 1,997,241 1,940,011 790,312 - 113,684 350,530 496,413 3,853,751 29,351,291 - - 25,225 - 29,376,516 1y557,016 1,174,609 - 2,529,066 53,000 6,247,275 155,051 - - - - 155,051 6,793 1,200,000 - - - 1,206,793 33,010,162 3,164,921 .113,684 2,904,821 549;413 40,839,386 (32,297,809) (3,020,915) (65,895) (2,759,132) 366,842 38 842 145) 38,833,594 703,433 88,265 193,190 - 40,009,783 1,841,531 - - 2,608,499 1,159,296 5,796,481 1,711,629 - - - - 1,711,629 5,604,832 - - - - 5,604,832 47,991,586 703,433 88,265 2,801,689 1,159,296 53,122,725 15,693,777 (2,317,482) 22,370 42,557 1,526,138 14,280,580 6,060,619 3,397,758 91,525 8,094,920 3,747,137 22,626,805 $ 21,754,396 $ 1,080,276 $ 113,895 $ 8,137,477 $ 5,273,275 $ 36,907,385 -22- REDEVELOPMENT AGENCY OF THE CITY OF HUN INGTON BEACH September 14, 1989 INDEPENDENT AUDITORS' REPORT ON =aDIZANCE WITH AUDIT GUIDELINES FOR CA121ORNIA REDEVELOPMENT AGENCIES In connection with our audit of the financial statements of the Redevelopment Agency of the City of Huntington Beach as of and for the year ended June 30, 1989, we have performed, to the extent applicable, the tests of compliance as required by Health and Safety Code Section 33080.1 and Sections I through V of the "Guidelines for Compliance Audits of California Redevelopment Agencies" published by the State Controller's Office. Based on the above procedures, we noted no instances of noncompliance with the laws, regulations and administrative requirements governing special activities of the Agency for the year ended June 30, 1989. -23- REQUEST FC 7 REDEVELOPMENT " GEN CTIOQNN_T , ' off/•� �,� L e�- Fi)vawe E Date January 27, 1988 --- CITY Cod ® L Submitted to: Mayor and City Council Appg'®�F1�BY Submitted by: Donald L. Watson, City Treasurer Prepared by: Donald L. Watson, City Treasurer CITY Subject: AUTHORIZATION TO ESTABLISH LOCAL AGENCY INVESTMENT FUND. (LAIF) Consistent with Council Policy? [ X[ Yes [ ] New Policy or Exception Statement of Issue, Recommendation, Analysis, Funding Source, Alternative Actions, Attachments: STATEMENT OF ISSUE The State of California, Local Agency Investment Fund (LAIF) ; has an investment maximum- of $5,000,000 per agency. The City is frequently .•at .this maximum with our General Fund account and we are forced to use other lower interest paying investments. However, there is a provision for the City to authorize a separate account for .the Redevelopment Agency. RECOMMENDATION Authorize the City Treasurer to set up a separate account for the Redevelopment Agency. ANALYSIS By adopting this Resolution, the City Treasurer can optimize the return to the City by having another option for short term investments. Our maximum investment and number of transactions allowed will be doubled. FUNDING SOURCE Not required. ALTERNATIVE ACTIONS Reject resolution. ATTACHMENT New Resolution. • RESOLUTION 148 .' A RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH AUTHORIZING INVESTMENT OF REDEVELOPMENT AGENCY MONIES IN THE LOCAL AGENCY INVESTMENT FUND WHEREAS, Pursuant to California Government Code § 16429 . 1, a Local Agency Investment Fund was established in the State Treasury for the deposit of money of a local agency for purposes of investment by the State Treasurer. ; and The Redevelopment Agency hereby finds that the deposit and withdrawal of money in the Local Agency Investment Fund for the purpose of investment as stated in California Government Code § 16429 . 1 is in the best interest of the Redevelopment Agency of the City of Huntington Beach, NOW, THEREFORE, BE IT RESOLVED that the Redevelopment Agency of the City of Huntington Beach does hereby authorize the deposit and withdrawal of Redevelopment Agency monies in the Local Agency Investment Fund in the State Treasury in accordance with California Government Code § 16429 . 1 for the purpose of investment as stated therein. BE IT FURTHER RESOLVED that the Agency Treasurer- of the Redevelopment Agency of the City of Huntington Beach shall be authorized to order the deposit or withdrawal of monies in the Local Agency Investment Fund . PASSED AND ADOPTED by the Redevelopment Agency of the City of Huntington Beach at a regular meeting thereof held on this 16th day of February , 1988 . Chairman ATTEST : A /VED S TO FORM: Agency Clerk/City Clerk Agency to V ey/City Attorney R E ND�PPROVED: INITIATED AND APPROVED: � J Executive Director./City Agency Treasurer/City Tr. easur- er. Administrator rf ►._ �. No. 148 STATE OF CALIFORNIA ) COUNTY OF ORANGE ) CITY OF HUNTINGTON BEACH) I , ALICIA M. WENTWORTH, Clerk of the Redevelopment Agency of the City of Huntington Beach, California, DO HEREBY CERTIFY that the foregoing resolution was duly adopted by the Redevelopment Agency of the City of Huntington Beach at a meeting of said Redevelopment Agency held on the 16th day of February 19 88 , and that it was so adopted by the following vote: AYES: Members: Kelly, Green, Finley, Erskine, Mays. winnhall NOES: Members: None ABSENT: Members: Bannister 01 � erk of t e Re eve opment gen the City of Huntington Beach, Ca. REQUEST FO" REDEVELOPMENT A9ENCY ACTION RH 89-05 January 3, 1989 Date Submitted to: Honorable Chairman and Redevelopment Agency Members Paul E. Cook, Chief Executive Officer Submitted by: Douglas N. La Belle, Deputy City Administrator/Economic Develop n Prepared by: 4 APPROVAL OF ANNUAL REPORT OF THE HUNTINGTON BEACH Subject: REDEVELOPMENT AGENCY FOR FISCAL YEAR 1987/88 Consistent with Council Policy? K Yes [ ] New Policy or Exception Statement of Issue, Recommendation, Analysis, Funding Source, Alte L 19=. STATEMENT OF ISSUE: CITY CLI. In accordance with provisions of Section 33080.1 of the State of California's Health and Safety Code, the Redevelopment Agency is required to prepare an Annual Report to be forwarded to the State of California Department of Housing and Community Development. Attached for your review is the Annual Report for Fiscal Year 1987/88. RECOMMENDATION: It is recommended that the attached Annual Report be received and filed and that staff be directed, in accordance with provisions of the Health and Safety Code, to forward necessary copies of both the Agency's Annual Report and Audit to the State of California Department of Housing and Community Development. ANALYSIS: In accordance with the State Redevelopment Law, the Redevelopment Agency is required to submit an Annual Report pursuant to the provisions of Section 33080.1 of the State of California Health and Safety Code. State Law dictates that the Annual Report contain an independent financial audit report for the previous fiscal year; a work program for the coming year including goals; an examination of the previous year's achievements; and a comparison of the achievements with the goals of the previous year's work program's recommendations for needed legislation to carry on properly a program of housing and community development in California, and a description of the Agency's activities affecting housing and displacement. The Annual Report outlines and analyzes Main-Pier, Oakview, Talbert-Beach, Yorktown-Lake, and Huntington Center Redevelopment Project Areas in terms of the above-mentioned reporting requirements. PIO/1/85 RH 89-05 January 3, 1989 Page Two FUNDING SOURCE: No funding source is required to submit this report. ALTERNATIVE ACTION: The Annual Report is a mandatory requirement of the State of California and must be submitted to the Department of Housing and Community Development no later than December 31, 1988. ATTACHMENTS: 1. 1987/88 Annual Report. 2. Annual Audit of Redevelopment Agency. PEC/DLB/EN:jar 4060r ANNUAL REPORT OF THE HUNTINGTON BEACH REDEVELOPMENT AGENCY 1987/1988 In accordance with the provision of Section 33080.1 of the State of California Health and Safety Code, this report has been prepared for the Huntington Beach Redevelopment Agency for Fiscal Year 1987/88. The "Audit Report," as defined in subsection (a) 33080.1, was prepared by the Agency's independent financial auditors, Diehl Evans. At the closing of fiscal year 1987/88, the Huntington Beach Redevelopment Agency had five project areas: Talbert-Beach, Yorktown-Lake, Oakview, Main-Pier, and Huntington Center. The Main-Pier Redevelopment Project Area was amended on June 20, 1983. The following are reports for each of the abovementioned project areas. -1- MAIN-PIER REDEVELOPMENT PROJECT AREA I. MAIN-PIER REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1988/89: The Work Program for the Main-Pier Redevelopment Project Area for Fiscal Year 1988/89 represents the second year of a five year redevelopment program of implementation and reinvestment for the downtown area. Activity generated by the 1988/89 work program consists of the preparation of several development plans and the consolidation and acquisitions of properties by private developers. The Main-Pier Redevelopment Project Area is broken down into seven (7) subareas: Town Square, Main-Pier, Downtown Core, Beach-City, Blufftop, Huntington-Lake, and Atlanta-Beach. It is anticipated that the majority of activity for Fiscal Year 1988/89 will occur in the Town Square and Main-Pier Subareas. The following is a summary of the Agency's Work Program for the Main-Pier Redevelopment Project Area for 1988/89: Project Description/Goals Prepare a marketing study and commence a marketing program for downtown. Complete north of the pier resource documentation and State Beach General Plan. Implement concepts identified in the Historic Resources Survey. In conjunction with the developer, complete Pierside Village Development Plan with substantial alterations. Continue downtown property acquisitions and owner/tenant relocations. Complete engineering and design of parking structure at north side of pier. Begin construction of: Second Block Parking Structure. Townsquare Project Complete construction of: Huntington Bayshore. -2- II. MAIN-PIER REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1987/88: A Work Program for Fiscal Year 1987/88 was adopted by the Huntington Beach Redevelopment Agency in December of 1987. This program outlined several goals and objectives which consists mostly of the preparation of several master plans and the consolidation of properties by private developers. The following is a review of the goals and achievements for the Fiscal Year 1987/88: Project Description Status DDA for Main-Pier Complete DDA for Town Square Complete Historic Resources Survey On-going Villas Del Mar (64 unit condominium project) Complete Huntington Bayshore (159 unit condominium project) Under construction -3- OAKVIEW REDEVELOPMENT PROJECT AREA I. OAKVIEW REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1988/89: The Work Program for the Oakview Redevelopment Project Area for Fiscal Year 1988/89 represents the second year of a five year redevelopment plan of implementation and reinvestment for the Oakview Neighborhood. The work program focuses primarily on the implementation of the Oakview Land Use and Circulation analysis. The following is a summary of the Agency's Work Program for the Oakview Redevelopment Project Area for Fiscal Year 1988/89: Project Description/Goals Rehabilitate 10 to 12 existing 4-plexes in the southern Oakview neighborhood using Community Development Block Grant Funds. Implement the Oakview Neighborhood Plan for circulation and land use within the project area. Implement Zone changes in the northern Oakview neighborhood. Initiate implementation of Charter Centre Phase III (south of Charter Centre to Cypress Avenue) for construction of additional office use and parking. Amend the Redevelopment Plan to raise the tax increment limit. Complete Jacquelyn Lane Enhancement Project. II. OAKVIEW REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1987/88: The project area goal has been primarily to maximize the economic potential of commercial areas along Beach Boulevard and Warner Avenue; to protect the integrity of Oakview's residential areas; and to implement street and public improvements for the area. -4- Project Description Status Neighborhood Improvements (CDBG) On-going Legal On-going Property acquisitions On-going Street improvements Pending completion of plans and specifications Charter Centre Debt On-going Alley Reconstruction in South Oakview Complete -5- TALBERT-BEACH REDEVELOPMENT PROJECT AREA I. TALBERT-BEACH REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1988/89: The Work Program for the Talbert-Beach Redevelopment Project Area represents the second year of a five year program of implementation and reinvestment in that area. Located within this project area are three subareas: Conventional Housing, Terry Park, and the Industrial Park. Development within the Conventional Housing subarea and the Terry Park subarea has commenced. The Industrial Park subarea will be developed with light industrial uses. The success that the Agency has had in bringing about redevelopment in this area and the use of the Industrial site as stated are reflective of what can and will be accomplished through public-private cooperation. The following is a summary of the Agency's Work Program for the Talbert-Beach Redevelopment Project Area for 1988/89: Project Description/Goals Develop a specific design plan for the assembled residential site which is architecturally compatible with the adjacent residential projects. Construction to commence on the residential development project. II. TALBERT-BEACH REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1987/88: A Work Program budget was adopted by the Huntington Beach Redevelopment Agency for Fiscal Year 1987/88. The budget outlines several projects for the Talbert-Beach Redevelopment Project Area, primarily focusing on the acquisition of property as establishment of development agreements. The following is a review of the goals and achievements for the 1987/88 fiscal year: Project Description Status Contractual services On-going -6- Project Description Status (Continued) Legal services On-going Property acquisition Complete 120,00 square foot industrial building Complete -7- a HUNTINGTON CENTER REDEVELOPMENT PROJECT AREA I. HUNTINGTON CENTER REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1988/89: The Work Program for the Huntington Center Redevelopment Project Area for Fiscal Year 1988/89 represents the second year of a five year plan. The focus of the Work Program is essentially planning elements which will lead to better traffic circulation within the project area. The following is a summary of the Agency's Work Program for the Huntington Center Redevelopment Project Area for 1988/89: Project Description Gothard-Hoover: Revise O.C. Master Plan of Arterial Highways to include Gothard extension. Obtain approval from City of Westminster on Gothard extension. Acquire parcels from 1-405 to Bolsa for Gothard extension. Traffic signal installation at Center Drive and One Pacific Plaza/Huntington Center (cost of $85,000 to be shared by two developers and Redevelopment Agency). Prepare Specific Plan including traffic circulation improvements for future development within project area. Work with OCTD to implement a joint development project for the Goldenwest Transportation Center located at Gothard and Center Drive. Establish underground utility district on Edinger between Beach and Holt. Project construction in 1988-89. Begin planning for Beach-Edinger intersection widening. Estimated cost is $1 million, which is to be funded via Super Streets Program. Schedule for construction is 1990. -8- II. HUNTINGTON CENTER REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1987/88: The following is a review of the goals and achievements for the 1987/88 fiscal year: Project Description Status Gothard-Hoover Extension: Seek approval from Westminster On-Going for Gothard extension. Revise O.C. Master Plan of Arterial Pending Highways as joint effort with Westminster. IWA Gothard extension engineering Complete feasibility. PBQ & D Gothard Extension Traffic Study. Complete Discuss right-of-way needs with property Ongoing owners (Southern Pacific, Edison, OCTD). IWA Contract for concept and feasibility for Complete additional westbound through lane on Center Drive at I-405 off-ramp. Construction continuing on One Pacific Plaza Complete Holiday Inn. Construction continuing on One Pacific Tower Complete in One Pacific Plaza. Work with OCTD to implement a joint On-Going development project for Goldenwest Transportation Center located at Gothard and Center Drive with developer selection scheduled for 1988-89. -9- YORKTOWN-LAKE REDEVELOPMENT PROJECT AREA I. YORKTOWN-LAKE REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1988/89: The Work Program for the Yorktown-Lake Redevelopment Project Area for Fiscal Year 1988/89 represents the second year of a five year plan of implementation. Projects for the coming fiscal year include detail planning studies for the implementation of a development plan for the entire project area. The following is a summary of the Agency's Work Program for the Yorktown-Lake Redevelopment Project Area for 1988/89: Project Description/Goals Complete Conceptual Plan for Civic Center and additional parking facilities. Prepare and approve a joint development plan for the entire project area in cooperation with the Huntington Beach Company for residential uses. II. YORKTOWN-LAKE REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1987/88: A Work Program for the past fiscal year was adopted in December of 1987. This budget called for various actions which would result in possible development alternatives. The following is a summary of the goals and achievements for the 1987/88 fiscal year: Project Description Status Legal services/land exchange agreement Pending with Huntington Beach Company. Implementation of private improvements. Pending -10- RECOMMENDATION FOR NEEDED LEGISLATION TO ENHANCE REDEVELOPMENT: The Huntington Beach Redevelopment Agency, through its participation in various statewide organizations, is currently assessing and reviewing the need for new legislation that would assist the City in its redevelopment activity. DESCRIPTION OF THE HUNTINGTON BEACH REDEVELOPMENT AGENCY'S ACTIVITIES AFFECTING HOUSING AND DISPLACEMENT: HUNTINGTON BEACH REDEVELOPMENT AGENCY 1) During the 1987/88 fiscal year, two households were relocated from all project areas. 2) During the 1988/89 fiscal year, approximately eighty households are expected to be relocated from all project areas. 3) During the 1987/88 fiscal year, two housing units for low and moderate income families were destroyed due to Redevelopment Agency activity. 4) During the 1988/89 fiscal year, it is anticipated that twenty units for low and moderate income households will be destroyed due to Redevelopment Agency activity. 5) The Huntington Beach Redevelopment Agency has completed a comprehensive Replacement Housing Plan for the Main-Pier Project Area which has recently been approved by the Project Area Committee and approved by the Agency. 0253R -11- ANNUAL REPORT OF THE HUNTINGTON BEACH REDEVELOPMENT AGENCY 1987/1988 In accordance with the provision of Section 33080A of the State of California Health and Safety Code, this report has been prepared for the Huntington Beach Redevelopment Agency for Fiscal Year 1987/88. The "Audit Report," as defined in subsection (a) 33080A_ was prepared by the Agency's independent financial auditors, Diehl Evans. At the closing of fiscal year 1987/88, the Huntington Beach Redevelopment Agency had five project areas: Talbert-Beach,- Yorktown-Lake, Oakview, Main-Pier, and Huntington Center. The Main-Pier Redevelopment Project Area was amended on June 20, 1983. The following are reports for each of the abovementioned project areas. -1- MAIN-PIER REDEVELOPMENT PROJECT AREA I. MAIN-PIER REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1988/89: The Work Program for the Main-Pier Redevelopment Project Area for Fiscal Year 1988/89 represents the second year of a five year redevelopment program of implementation and reinvestment for the downtown area. Activity generated by the 1988/89 work program consists of the preparation of several development plans and the consolidation and acquisitions of properties by private developers. The Main-Pier Redevelopment Project Area is broken down into seven (7) subareas: Town Square, Main-Pier, Downtown Core, Beach-City, Blufftop, Huntington-Lake, and Atlanta-Beach. It is anticipated that the majority of activity for Fiscal Year 1988/89 will occur in the Town Square and Main-Pier Subareas. The following is a summary of the Agency's Work Program for the Main-Pier Redevelopment Project Area for 1988/89: Project Description/Goals Prepare a marketing study and commence a marketing program for downtown. Complete north of the pier resource documentation and State Beach General Plan. Implement concepts identified in the Historic Resources Survey. In conjunction with the developer, complete Pierside Village Development Plan. Continue downtown property acquisitions and owner/tenant relocations. Complete engineering and design of parking structure at north side of pier. Begin construction of: Second Block Parking Structure. Complete construction of: Huntington Bayshore. -2- II. MAIN-PIER REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1987/88: A Work Program for Fiscal Year 1987/88 was adopted by the Huntington Beach Redevelopment Agency in December of 1987. This program outlined several goals and objectives which consists mostly of the preparation of several master plans and the consolidation of properties by private developers. The following is a review of the goals and achievements for the Fiscal Year 1987/88: Project-Description Status DDA for Main-Pier Complete DDA for Town Square Complete Historic Resources Survey On-going Villas Del Mar (64 unit condominium project) Complete Huntington Bayshore (159 unit condominium project) Under construction -3- OAKVIEW REDEVELOPMENT PROJECT AREA I. OAKVIEW REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1988/89: The Work Program for the Oakview Redevelopment Project Area for Fiscal Year 1988/89 represents the second year of a five year redevelopment plan of implementation and reinvestment for the Oakview Neighborhood. The work program focuses primarily on the implementation of the Oakview Land Use and Circulation analysis. The following is a summary of the Agency's Work Program for the Oakview Redevelopment Project Area for Fiscal Year 1988/89: Project Description/Goals Rehabilitate 10 to 12 existing 4-plexes in the southern Oakview neighborhood using Community Development Block Grant Funds. Implement the Oakview Neighborhood Plan for circulation and land use within the project area. Implement Zone changes in the northern Oakview neighborhood. Initiate implementation of Charter Centre Phase III (south of Charter Centre to Cypress Avenue) for construction of additional office use and parking. Amend the Redevelopment Plan to raise the tax increment limit. Complete Jacquelyn Lane Enhancement Project. II. OAKVIEW REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1987/88: The project area goal has been primarily to maximize the economic potential of commercial areas along Beach Boulevard and Warner Avenue; to protect the integrity of Oakview's residential areas; and to implement street and public improvements for the area. -4- Project Description Status Neighborhood Improvements (CDBG) Ongoing Legal Ongoing Property acquisitions Ongoing Street improvements Pending completion of plans and specifications Charter Centre Debt Ongoing Alley Reconstruction in South Oakview Complete -5- TALBERT-BEACH REDEVELOPMENT PROJECT AREA I. TALBERT-BEACH REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1988/89: The Work Program for the Talbert-Beach Redevelopment Project Area represents the second year of a five year program of implementation and reinvestment in that area. Located within this project area are three subareas: Conventional Housing, Terry Park, and the Industrial Park. Development within the Conventional Housing subarea and the Terry Park subarea has commenced. The Industrial Park subarea will be developed with light industrial uses. The success that the Agency has had in bringing about redevelopment in this area and the use of the Industrial site as stated are reflective of what can and will be accomplished through public-private cooperation. The following is a summary of the Agency's Work Program for the Talbert-Beach Redevelopment Project Area for 1988/89: Project Description/Goals Develop a specific design plan for the assembled residential site which is architecturally compatible with the adjacent residential projects. Construction to commence on the residential development project. II. TALBERT-BEACH REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1987/88: A Work Program budget was adopted by the Huntington Beach Redevelopment Agency for Fiscal Year 1987/88. The budget outlines several projects for the Talbert-Beach Redevelopment Project Area, primarily focusing on the acquisition of property as establishment of development agreements. The following is a review of the goals and achievements for the 1987/88 fiscal year: Project Description Status Contractual services On-going -6- Project Description Status (Continued) Legal services On-going Property acquisition Complete 120,00 square foot industrial building Complete -7- HUNTINGTON CENTER REDEVELOPMENT PROJECT AREA I. HUNTINGTON CENTER REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1988/89: The Work Program for the Huntington Center Redevelopment Project Area for Fiscal Year 1988/89 represents the second year of a five year plan. The focus of the Work Program is essentially planning elements which will lead to better traffic circulation within the project area. The following is a summary of the Agency's Work Program for the Huntington Center Redevelopment Project Area for 1988/89: Project Description Gothard-Hoover: Revise O.C. Master Plan of Arterial Highways to include Gothard extension. Obtain approval from City of Westminster on Gothard extension. Acquire parcels from I-405 to Bolsa for Gothard extension. Traffic signal installation at Center Drive and One Pacific Plaza/Huntington Center (cost of $85,000 to be shared by two developers and Redevelopment Agency). Prepare Specific Plan including traffic circulation improvements for future development within project area. Work with OCTD to implement a joint development project for the Goldenwest Transportation Center located at Gothard and Center Drive. Establish underground utility district on Edinger between Beach and Holt. Project construction in 1988-89. Begin planning for Beach-Edinger intersection widening. Estimated cost is $1 million, which is to be funded via Super Streets Program. Schedule for construction is 1990. -8- II. HUNTINGTON CENTER REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1987/88: The following is a review of the goals and achievements for the 1987/88 fiscal year: Project Description Status Gothard-Hoover Extension: Seek approval from Westminster On-Going for Gothard extension. Revise O.C. Master Plan of Arterial Pending Highways as joint effort with Westminster. IWA Gothard extension engineering Complete feasibility. PBQ & D Gothard Extension Traffic Study. Complete Discuss right-of-way needs with property On-going owners (Southern Pacific, Edison, OCTD). IWA Contract for concept and feasibility for Complete additional westbound through lane on Center Drive at I-405 off-ramp. Construction continuing on One Pacific Plaza Complete Holiday Inn. Construction continuing on One Pacific Tower Complete in One Pacific Plaza. Work with OCTD to implement a joint On-Going development project for Goldenwest Transportation Center located at Gothard and Center Drive with developer selection scheduled for 1988-89. -9- YORKTOWN-LAKE REDEVELOPMENT PROJECT AREA I. YORKTOWN-LAKE REDEVELOPMENT PROJECT AREA: WORK PROGRAM FOR FISCAL YEAR 1988/89: The Work Program for the Yorktown-Lake Redevelopment Project Area for Fiscal Year 1988/89 represents the second year of a five year plan of implementation. Projects for the coming fiscal year include detail planning studies for the implementation of a development plan for the entire project area. The following is a summary of the Agency's Work Program for the Yorktown-Lake Redevelopment Project Area for 1988/89: Project Description/Goals Complete Conceptual Plan for Civic Center and additional parking facilities. Prepare and approve a joint development plan for the entire project area in cooperation with the Huntington Beach Company for residential uses. II. YORKTOWN-LAKE REDEVELOPMENT PROJECT AREA: REVIEW OF GOALS AND ACHIEVEMENTS FOR FISCAL YEAR 1986/87: A Work Program for the past fiscal year was adopted in December of 1987. This budget called for various actions which would result in possible development alternatives. The following is a summary of the goals and achievements for the 1987/88 fiscal year: Project Description Status Legal services/land exchange agreement Pending with Huntington Beach Company. Implementation of private improvements. Pending -10- RECOMMENDATION FOR NEEDED LEGISLATION TO ENHANCE REDEVELOPMENT: The Huntington Beach Redevelopment Agency, through its participation in various statewide organizations, is currently assessing and reviewing the need for new legislation that would assist the City in its redevelopment activity. DESCRIPTION OF THE HUNTINGTON BEACH REDEVELOPMENT AGENCY'S ACTIVITIES AFFECTING HOUSING AND DISPLACEMENT: HUNTINGTON BEACH REDEVELOPMENT AGENCY 1) During the 1987/88 fiscal year, two households were relocated from any project area. 2) During the 1988/89 fiscal year, three to six households are expected to be relocated from any project area. 3) During the 1987/88 fiscal year, two housing units for low and moderate income families were destroyed due to Redevelopment Agency activity. 4) During the 1988/89 fiscal year, it is anticipated that three to six units for low and moderate income households will be destroyed due to Redevelopment Agency activity. 5) The Huntington Beach Redevelopment Agency has completed a comprehensive Replacement Housing Plan for the Main-Pier Project Area which has recently been approved by the Project Area Committee and approved by the Agency. 0130R -11- REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH III. 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FOR THE FISCAL YEAR ENDED JUNE 30, 1988 • • • BEDEVEXAMMBNT AGENCY OF THE CITY OF HUMNGTON BEACH FINANCIAL STATEMENTS oil WITH REPORT ON EXAMINATION BY CBRTIFISD PUBLIC ACCOUNTANTS JUNE 30, 1988 • • • • REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH FINANCIAL STATEMENTS June 30, 1988 • TABLE OF CONTENTS f Page Number Accountants' Report 1 General Purpose Financial Statements: Combined Balance Sheet - All Fund Types and Account Group 2 Combined Statement of Revenues, Expenditures and Changes in Fund Balances - All Governmental Fund Types 3 Notes to Financial Statements 4 - 11 Supplementary Information: Combining Balance Sheet - All Debt Service Funds 12 - 13 Combining Statement of Revenues, Expenditures and Changes in Fund Balances - All Debt Service Funds 14 - 15 Combining Balance Sheet - All Capital Project Funds 16 - 17 Combining Statement of Revenues, Expenditures and Changes in Fund Balances - All Capital Project Funds . 18 - 19 Accountants' Report on Compliance with Audit Guidelines for California Redevelopment Agencies 20 CALLA DTEHT 7A NS DONALD E.HERER, PA CPA 1 L,��/L"1L v L.PETER SCHERER,CPA &COMPANY RODNEY K.MCDANIEL,CPA RALPH H.WEINTRAUB,CPA CERTIFIED PUBLIC ACCOUNTANTS MICHAEL R.LUDIN.CPA ROBER • A PARTNERSHIP INCLUDING ACCOUNTANCY CORPORATIONS PHILIP R.WINE,CPA - HILIP H.HOLTKAMP,CPA 1910 NORTH BUSH STREET THOMAS M.PERLOWSKI,CPA SANTA ANA•CALIFORNIA 92706-2894 PHONE(714)542-4453 FAX(714)5424218 September 9, 1988 ACCOUNTANTS' REPORT Agency Members Redevelopment Agency of the City of Huntington Beach Huntington Beach, California We have examined the general purpose financial statements of the Redevelopment Agency of the City of Huntington Beach, as of and for the year ended June 30, 1988, as listed in the table of contents . Our examination was made in accordance with generally accepted auditing standards and, accordingly, included such tests of the accounting records and such other auditing procedures as we considered necessary in the circumstances. In our opinion, the general purpose financial statements referred to above present fairly the financial position of the Redevelopment Agency of the City of Huntington Beach at June 30, 1988, and the results of its operations for the year then ended, in conformity with generally accepted accounting principles applied on a basis consistent with that of the preceding year. Our examination was made for the purpose of forming an opinion on the general purpose financial statements taken as a whole. The supplementary information listed in the table of contents is presented for purposes of additional analysis and is not a required part of the general purpose financial statements of the Redevelopment Agency of the City of Huntington Beach. The information has been subjected to the auditing procedures applied in the examination of the general purpose financial statements and, in our opinion, is fairly stated in all material respects in relation to the general purpose financial statements taken as a whole. -1- • OTHER OFFICES AT: 2%5 ROOSEVELT ST. 120 WEST WOODWARD AVE. CARLSBAD,CA 92008-2399 ESCONDIDO,CA 92025.9990 (619)729-2343 (619)74W141 REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH COMBINED BALANCE SHEET - ALL FUND TYPES AND ACCOUNT GROUP June 30, 1988 • Account Group Lease Payments Governmental Receivable Fund Types and Debt Capital General Totals Service Projects Long-term (Memorandum ASSETS Funds Funds Debt Only) Cash and investments (Notes 1B and 3) $ 2,527,634 $ 18,579,161 $ - $ 21,106,795 Cash with fiscal agent (Notes 1B, 3 and 5B) 682,806 - - 682,806 Interest receivable 19,390 82,574 - 101,964 Taxes receivable 100,395 23,621 - 124,016 Land held for resale - 4,854,111 - 4,854,111 Lease payments receivable (Note 5B) - - 6,426,000 6,426,000 . Unearned finance charges (Note 5B) - - (2,585,583) (2,585,583) Amount available in debt service funds - - 3,330,228 3,330,228 Amount to be provided for repayment of debt - - 35,755,065 3557555065 TOTAL ASSETS $ 3,330,225 $ 23,539,467 $ 42,925,710 $ 69,795,402 . LIABILITIES AND FUND BALANCES LIABILITIES: Accounts payable $ - $ 78,104 $ - $ 78,104 Accrued payroll - 16,841 - 16,841 Current note payable - 817,717 - 817,717 Due to City of Huntington Beach and Public Financing Authority (Note 5) - - 36,917,663 36,917,663 Owner participation agreement (Notes 5, 7 and 10) - - 1,408,047 1,407,047 Certificates of participation payable (Note 5B) - - 4,600,000 4,600,000 TOTAL LIABILITIES - 912,662 42,925,710 43,838,372 FUND BALANCES (NOTE 10): Reserved for debt service 3,330,225 - - 3,330,225 Reserved for low-income housing - 3,747,137 - 3,747,137 Reserved for capital projects - 14,025,557 - 14,025,557 Reserved for land held for resale - 4,854,111 - 4,854,111 TOTAL FUND BALANCES 3,330,225 22:626,805 - 25,957,030 TOTAL LIABILITIES AND FUND BALANCES $ 3,330,225 $ 23,539,467 $ 42.925,710 $ 69,795,402 See accountants' report and notes to financial statements. -2- • REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ALL GOVERNMENTAL FUND TYPES • For the year ended June 30, 1988 Debt Capital Totals Service Projects (Memorandum Fund Fund Only) REVENUES: Tax increment revenue (Note 40 $ 1,573,300 $ 393,325 $ 1,966,625 • From use of money and property 226,981 523,182 750,163 Lease payments and related fees (Note 5B) 483,000 - 483,000 TOTAL REVENUES 2,283,281 916,507 391999788 EXPENDITURES: Interest and letter of credit fees (Note 5) 743,763 - 743,763 Housing and community development - 2,983,836 2,983,836 Capital outlay - 1,118,208 1,118,208 Repayment of advances from City 674,500 1,690,788 21365,288 TOTAL EXPENDITURES 1,418,263 5,792,832. 7,211,095 • EXCESS OF REVENUES OVER (UNDER) EXPENDITURES 865,018 (4,876,325) (49011,307) OTHER FINANCING SOURCES (USES): Advances from City of Huntington Beach (Note 5) - 6,238,896 6,238,896 Advances from Public Financing Authority debt (Note 5) - 14,869,123 14,869,123 Gain on sale of land - 726,864 7269864 TOTAL OTHER FINANCING SOURCES - 21,834,883 21,834,883 EXCESS OF REVENUES AND OTHER SOURCES OVER EXPENDITURES 865,018 16,958,558 17,823,576 FUND BALANCES - BEGINNING OF YEAR 2,465,207 5,668,247 8,133,454 FUND BALANCES - ENDING OF YEAR $ 3,330,225 $ 22,626,805 $ 25,957,030 • See accountants' report and notes to financial statements. -3- • REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH NOTES TO FINANCIAL STATEMENTS June 30, 1988 1. SIGNIFICANT ACCOUNTING POLICIES: A. Basis of Accounting: The modified accrual basis of accounting is followed by the Redevelopment Agency of the City of Huntington Beach (the Agency) . Revenues are recognized when they become measurable and available to finance expenditures of the current period. Expenditures are recorded at the time liabilities are incurred, except that principal and interest payments on long-term debt are recorded as expenditures when due. B. Investments: Investments are stated at cost, which was equal to market value at June 30, 1988. If market value declines below cost, no loss is recorded if such declines are considered temporary. C. General Fixed Assets: The Agency has no capitalized general fixed assets . Project costs incurred such as roads and streets, curbs , gutters, drainage systems, lighting systems and other similar project costs are recorded as expenditures of the Capital Projects Fund. D. Financial Reporting: Total columns in the accompanying financial statements are captioned "Memorandum Only" to indicate that they are presented only to facilitate financial analysis. The totals are not comparable to a consolidation in that interfund eliminations have not been made in combining the data. E.. Budgetary Reporting: The budgets of the Agency are primarily "long-term" budgets which emphasize capital outlay plans extending over one year. Because of the long-term nature of redevelopment projects, "annual" budget comparisons are not considered meaningful and accordingly, no budgetary information is included in the accompanying financial statements. F. Administrative and Overhead Charges: • Pursuant to the California Community Redevelopment Law, Chapter 6, Article 2, Section 33610, a city may elect to allocate administrative and overhead expenses to a redevelopment agency, either as a grant or a loan. During the fiscal year ended June 30, 1988 , the City of Huntington Beach incurred certain salary and overhead expenses in behalf of the Agency and elected to allocate these expenses to the Agency. See accountants' report. -4- • REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH NOTES TO FINANCIAL STATEMENTS (Continued) June 30, 1988 2. DESCRIPTION OF FUNDS: A. Debt Service Funds - Tax increment revenue and related interest income are placed in these funds. The funds are then used to repay principal • and interest on indebtedness of the Agency. Any fund balance is reserved for debt retirement. Under provisions of .the Health and Safety Code, such a fund is referred to as a "Special Fund". B. Capital Projects Funds - A separate capital projects fund is used to account for all revenues and expenditures, other than those related to • debt service of each project, including costs of site improvements and an allocation at administrative expenditures incurred in sustaining Agency activities. Under provisions of the Health and Safety Code such a fund is referred to as a "Redevelopment Fund". C. Lease Payments Receivable and General Long-Term Debt Account Group - • Agency debt which is not payable from currently held assets is recorded for memorandum purposes in this account group. As more fully described at Note 5, the terms of repayment on debt to the City are indefinite. Thus, all debt to the City is classified as long-term, even though it may be repaid shortly after balance sheet date. The account group is also used to account for lease payments receivable (See Note 5). 3. CASH AND INVESTMENTS: The following disclosures are made in accordance with GASB Statement No. 3: Cash and investments at June 30, 1988 consisted of the following: Cash and investments $ 21,106,795 Cash with fiscal agent 682,806 Total $ 21,789,601 The Agency's investments are categorized as follows: Market Cost Value Category 1: Insured or unregistered, or securities held by the Agency or its agent in the Agency's name $ - $ Category 2: Uninsured and unregistered with • securities held by the counterparty's trust department or agent in the Agency's name - - Category 3: Uninsured and unregistered with securities held by the counterparty, or by its trust department or agent, but not in the Agency's name 682,806 682,806 Cash and investments pooled with the City of Huntington Beach 21,106,795 21,106,795 Total $ 21,789,601 $ 21,789,601 See accountants' report. -5- REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH NOTES TO FINANCIAL STATEMENTS (Continued) June 30, 1988 3. CASH AND INVESTMENTS (CONTINUED) : Safekeeping Arrangements: First Interstate Bank acts as fiscal agent for the Certificates of Participation holders and holds all revenues received in trust . All securities and demand deposits held by the trustee are in the trustee's name and are held in their trust department. The Agency does not own specifically identifiable securities in the City of Huntington Beach Pool. Allocation of Interest Among Funds: Interest income is allocated monthly on the various funds based on the month-end cash balances. Interest income .from restricted cash is recorded • directly in the fund earning the income. See the City of Huntington Beach annual report as of and for the year ended June 30, 1988 for additional GASB 3 disclosures on investments. 4. ORGANIZATION AND TAX INCREMENT FINANCING: The Redevelopment Agency of the City of Huntington Beach was created by City Council Ordinance Number 1785 adopted on January 1, 1967 . The primary purpose of the Agency is to encourage private redevelopment of property and to rehabilitate those areas suffering economic disuse arising from poor and inadequate planning, inadequate street layout and street access, lack of . open space or landscaping, and provide other improvements and facilities necessary to establish and maintain the economic growth of the City. The Agency's primary source of revenue comes from property taxes, referred to in the accompanying financial statements as "tax increment revenue". The assessed valuation of all property within the project area is determined 0 on the date of adoption of the Redevelopment Plan. Property taxes related to the incremental increase in assessed values after the adoption of the Redevelopment Plan are allocated to the Agency; all taxes on the "frozen" assessed valuation of the property are allocated to the City and other districts. The Agency currently has five project areas and a low income housing program. The Talbert-Beach project includes approximately 50 acres and its anticipated land use is an industrial park. The Main Pier project includes approximately 300 acres within the downtown area adjacent to the pier and beach. The anticipated land uses includes commercial, office and See accountants' report. -6- • REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH NOTES TO FINANCIAL STATEMENTS (Continued) June 30, 1988 4. ORGANIZATION AND TAX INCREMENT FINANCING (CONTINUED): • residential mixed use projects and a variety of public facilities. The Oakview project, comprising 68 acres, includes the Charter Centre Office building, a commercial and theatre complex and rehabilitation of existing residential properties. The Yorktown-Lake project includes 30 acres of single-family housing and public facilities. The Huntington Center project provides parking and traffic circulation improvements. 5. CHANGES IN LONG-TERM DEBT: Net Balance Additions Balance July 1, 1987 (Repayments) June 30, 1988 Due to the City of Huntington • Beach and Public Financing Authority: From sale of land to the Agency by the City's Park Acquisition and Development Fund for $1,917,570 plus interest at 10% per annum $ 2,807,551 $ (698,224) $ 2,109,327 From sale of land to the Agency by the City's General Fund for $405,536, plus interest at 10% per annum 593,745 59,375 653,120 From sale of land by the City General Fund for $1,228,381 plus interest at 10% per annum 1,228,381 122,838 1,351,219 Cash advances from the City's General Fund plus accrued interest at 10% per annum 9,448,419 4,596,142 14,044,561 Cash advances from the City's Other Grants Fund 1,064,483 - 1,064,483 Cash advances from the City's Water Fund plus accrued interest at 10% per annum 144,900 1,114,490 1,259,390 Unpaid developers fees payable to various City funds, to be subsidized by the Agency plus accrued interest at 10% per annum 835,298 88,527 923,825 See accountants' report. -7- REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH NOTES TO FINANCIAL STATEMENTS (Continued) June 30, 1988 5. CHANGES IN LONG-TERM DEBT (CONTINUED) : Net Balance Additions Balance • July 1, 1987 (Repayments) June 30, 1988 Cash advances from the Public Financing Authority in June 1988 totalling $14,869,123 plus accrued interest of $367,615 computed at varying rates $ - $ 15,236,738 $ 15,236,738 Cash advances from the Drainage Fund totaling $250,000 plus interest of $25,000 computed at 107. per annum - 275,000 275,000 Total Amount Due to the • City of Huntington Beach and Public Financing Authority 16,122,777 20,794,886 36,917,663 Amount due under "Owner Participation Agreement" (See Note 7) 1,408,047 - 1,408,047 Certificates of Participation 4,600,000 - 4,600,000 Total Long-Term Debt $ 22,130,824 $ 20,794,886 $ 42,925,710 A. Since payment by the Agency to the City and Public Housing Authority on the various transactions will be made from tax increment revenues in future years, the debt is classified as long-term. B. In 1984 the Agency sold $4,600,000 of Certificates of Participation at a discount of $126,500 to finance the construction of the Emerald Cove senior citizens housing project. The certificates bear interest at 9.5% per annum, which is payable semi-annually. Principal is payable at maturity on May 1, 1994. The land upon which the project was built was sold to the Agency by the City. The City is leasing back the project and is operating it as an enterprise. Lease payments, of $40,250, equal to interest and insurance are payable monthly until the final payment, equal to principal of $4,600,000, is due May 1, 1994. The holders of the certificates have a proportionate interest in the lease payments to be made by the City. The certificates are secured by the land and the buildings constructed, an assignment of rents, and an irrevocable letter of credit issued by a bank. A discount of $126,500 on the sale of the certificates is being amortized through maturity. The unamortized discount at June 30, 1988 is $76,777. See accountants' report. -8- REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH NOTES TO FINANCIAL STATEMENTS (Continued) June 30, 1988 5. CHANGES IN LONG-TERM DEBT (CONTINUED): The assets of the Emerald Cove Housing project are recorded by the City and not the Agency, as the Agency is only involved in "pass-through" financing, except for the cash with fiscal agent .of $682,806 which represents amounts reserved to pay the debt. C. Below is a schedule of debt service requirements to maturity on the Certificates of Participation: Year Ending June 30, Principal Interest Total 1988 $ - - 1989 - 437,000 437,000 1990 - 437,000 437,000 1991 - 437,000 437,000 1992 - 437,000 437,000 1993 - 437,000 437,000 1994 4,600,000 400,583 5,000,583 Totals $ 4,600,000 $ 2,585,583 $ 7,185,583 6. LOANS-TO-LENDER REVENUE BONDS: The Agency has issued through the City of Huntington Beach Loans-to-Lenders Revenue Bonds of $16,000,000 for the purpose of providing the issuer with funds to make a deposit with Home Federal Savings and Loan Association, San Diego, California. The proceeds of the deposit have been used by the Lender to make a mortgage loan to the developer at the Huntington Breakers Apartment Project. These Bonds are not an obligation of the Agency or City, and are payable solely from the deposit and certain other funds, all pledged under the indenture. Accordingly, . the bonds are not reflected in the accompanying financial statements. 7. OWNER PARTICIPATION AGREEMENT: The Agency and City have entered into an agreement with the owner-developer of the Charter Centre Project in the Oakview Redevelopment Project Area, whereby the Agency purchased capital improvements from the owner in the amount of $1,408,047. Under this agreement, the City has deferred its receipt of normal building permit, plan check and similar fees which would be payable from the Charter Centre construction. The Agency has agreed to be responsible to make payment of these fees to the City, constituting an See accountants' report. -9- REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH NOTES TO FINANCIAL STATEMENTS (Continued) June 30, 1988 7. OWNER PARTICIPATION AGREEMENT (CONTINUED) : Agency debt. (See Note 5) . The developer will repay this advance of fees • to the Agency over five years including interest at 11%. The Agency, in turn, is obligated to pay the developer from tax increment revenues the lesser of 65% of the tax increment revenues attributable to the Charter Centre for the first 10 years after the issuance of a Certificate of Occupancy, or the purchase price of $438,930 and the cost of improvements plus interest at 11% per annum. The Agency has the right to offset the deferred development fees described above against the amounts due to Mola Development Corporaiton for the public improvements and right of way. On July 1, 1987 the Agency paid $125 ,000 to Mola Development Corporation as the first installment payment. The amount represented interest on the $1,408,047 cost of public improvements and right of way. On July 6, 1988, subsequent to year-end, the City and Mola Development Corporation entered into agreeement which discharged the prior financial commitments of both the City and the Agency (see Note 10) . 8. CONTINGENCY: Commencing with fiscal year 1990-91 , and each year thereafter , the Redevelopment Agency will pay the Orange County Superintendent of Schools one-fourth of the tax increment revenues received by the Huntington Center Redevelopment Project Area. 9. RESERVES: Under generally accepted accounting principles, a municipal entity may set up "reserves" of fund equity to segregate fund balances which are not appropriable for expenditure in future periods , or which are legally set aside for a specific future use. Reserved for Debt Service This reserve sets aside fund balance to meet debt service for long-term debt (See Note 5). Reserved for Low Income Housing This reserve represents 20% of tax revenue increment received to be set aside to finance low income housing, as per California State Health and Safety Code Section 33334.2. See accountants' report. -10- REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH NOTES TO FINANCIAL STATEMENTS (Continued) June 30, 1988 9. RESERVES (CONTINUED) : Reserved for Capital Projects These funds are reserved for future capital improvements of the Agency. Reserved for Land Held for Resale The reserve represents land held by the Agency that is legally committed for resale, and will not be converted into cash or other liquid assets soon enough after year end to be considered "available" to meet current expenditures. 10. SUBSEQUENT EVENTS: On July 6, 1988, the Redevelopment Agency and Mola Development Corporation agreed on terms that satisfied the Owner Participation Agreement which originated in 1983. The terms of the agreement are described in Note 7. The agreed upon payment for the construction of right-of-way and public improvements was $1,200,000 which was paid on July 7, 1988. The agreed upon amount of deferred development fees due to the City was $300,000. Mola advanced the Agency $100,000 on July 7, 1988 for its first installment on the deferred development fees. The balance of $200,000 will be paid in three installments of $81,843 beginning June 30, 1989 at 11% interest. Both the Agency and Mola agreed that this would satisfy all financial terms of the Owner Participation Agreement. See accountants' report. -11- • • • • SUPPI NTABY INFORMATION • • • • • REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH COMBINING BALANCE SHEET ALL DEBT SERVICE FUNDS June 30, 1988 Talbert Beach • Project ASSETS Cash and investments $ 268,708 Cash with fiscal agent 682,806 Interest receivable 7,492 Taxes receivable 9,712 TOTAL ASSETS $ 968,718 LIABILITIES AND FUND BALANCES LIABILITIES $ - FUND BALANCES. Reserved for debt service 968,718 TOTAL LIABILITIES AND FUND BALANCES $ 968,718 See accountants' report. -12- • • Main - Yorktown - Huntington • Pier Oakview Lake Center Project Project Project Project Totals $ 860,388 $ 543,352 $ 128,901 $ 726,285 $ 2,527,634 • - - - 682,806 4,515 2,989 777 3,617 19,390 18,745 - 8,977 62,961 100,395 $ 883,648 $ 546,341 $ 138,655 $ 792,863 $ 3,330,225 • • 883,648 546,341 138,655 792,863 3,330,225 $ 883,648 $ 546,341 $ 138,655 $ 792,863 $ 3,330,225 • • • • -13- • REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ALL DEBT SERVICE FUNDS For the year ended June 30, 1988 Talbert Beach Project • REVENUES: Property taxes $ 133,608 From use of money and property 17,607 Lease payments and related fees 483,000 Interest income 64,558 TOTAL REVENUES 698,773 EXPENDITURES: Project improvements 135,763 Interest and letter of credit fees 483,000 • Repayment of advances from City 100,000 TOTAL EXPENDITURES 718,763 EXCESS OF REVENUE OVER (UNDER) EXPENDITURES (19,990) FUND BALANCES - JULY 1, 1987 988,708 FUND BALANCES - JUNE 30, 1988 $ 968,718 • • See accountants' report. -14- • Main - Yorktown - Huntington . Pier Oakview Lake Center Project Project Project Project Totals $ 369,683 $ 280,000 $ - $ 790,009 $ 1,573,300 55,146 42,002 3,160 44,508 162,423 - - - - 483,000 - - - - 64,558 424,829 322,002 3,160 834,517 2,283,281 - - - - 135,763 - 125,000 - - 608,000 - - 574,500 674,500 125,000 - 574,500 1,418,263 424,829 197,002 3,160 260,017 865,018 458,819 349,339 135,495 532,846 2,465,207 $ 883,648 $ 546,341 $ 138,655 $ 792,863 $ 3,330,225 • • • A -15- REDEVELOPMENT AGENCY OF THE • CITY OF HUNTINGTON BEACH COMBINING BALANCE SHEET ALL CAPITAL PROJECT FUNDS June 30, 1988 Talbert Beach • Project ASSETS - Cash and investments $ 1,249,165 Taxes receivable - Interest receivable 4,069 • Land held for resale - TOTAL ASSETS $ 1,253,234 LIABILITIES AND FUND BALANCES LIABILITIES: Accounts payable $ 17,559 Accrued payroll 829 Note payable - • TOTAL LIABILITIES 18,388 FUND BALANCES: Reserved for low-income housing - Reserved for capital projects 1,234,846 Reserved for land held for resale - TOTAL FUND BALANCES 1,234,846 TOTAL LIABILITIES AND FUND BALANCES $ 1,253,234 • a See accountants' report. -16- • • • Main - Yorktown - Huntington Low Pier Oakview Lake Center Income Project Project Project Project Housing Total r� $ 4,767,097 $ 2,989,675 $ 91,091 $ 5,773,199 $ 3,708,934 $ 18,579,161 • - - - - 23,621 23,621 22,755 15,358 856 23,973 15,563 82,574 2,156,793 395,185 - 2,302,133 - 4,854,111 $ 6,946,645 $ 3,4009218 $ 91,947 $ 8,099,305 $ 32748,118 $ 23,539,467 $ 60,125 $ - $ - $ - $ 420 $ 78,104 8,184 2,460 422 4,385 561 16,841 817,717 - - - - 817,717 886,026 2,460 422 4,385 981 912,662 - - - - 3,747,137 3,747,137 3,903,826 3,002,573 91,525 5,792,787 - 14,025,557 2,156,793 395,185 - 2,302,133 - 4,854,111 6,060,619 3,3979758 91,525 8,094,920 3,747,137 22,626,805 $ 6,946,645 $ 3,400,218 91 947 $ 8,099,305 $ 3,748,118 $ 23,539,467 r' • • -17- REDEVELOPMENT AGENCY OF THE • CITY OF HUNTINGTON BEACH COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ALL CAPITAL PROJECT FUNDS For the year ended June 30, 1988 • Talbert Beach Project • REVENUES: Tax increment revenue $From use of money and property 12,279 TOTAL REVENUES 12,279 • EXPENDITURES: Housing and community development 155,668 Capital outlay Repayment of advances 1,690,788 TOTAL EXPENDITURES 1,846,456 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES (1,834,177) OTHER FINANCING SOURCES: Advances from City of Huntington Beach 137,105 • Advances from Public Financing Authority 973,583 Gain on sale of land 726,864 TOTAL OTHER FINANCING SOURCES 1,837,552 . EXCESS OF REVENUES AND OTHER SOURCES OVER EXPENDITURES 3,375 FUND BALANCE - JULY 1, 1987 1,231,471 FUND BALANCE - JUNE 30, 1988 $ 1,234,846 i • See accountants' report. -18- Main - Yorktown - Huntington Low • Pier Oakview Lake Center Income Project Project Project Project Housing Total $ - $ - $ 393,325 $ 393,325 291,456 89,519 12,483 70,703 46,742 523,182 291,456 89,519 12,483 70,703 440,067 916,507 1,643,252 675,258 85,391 391,865 32,462 2,983,836 1,116,532 - - 1,676 - 1,118,208. - - - - 1,690,788 • 2,759,784 675,258 85,391 393,481 32,462 5,792,832 2,463,328 (585,739) (72,908) (32,778) 407,605 (4,876,325) 4,281,782 938,027 123,488 758,494 - 6,238,896 2,707,016 2,478,878 - 5,735,821 2,973,825 14,869,123 - - - - - 726,864 6,988,798 3,416,905 123,488 6,494,315 2,973,825 21,834,883 4,520,470 2,831,166 50,580 6,171,537 3,381,430 16,958,558 1,540,149 566,592 40,945 1,923,383 365,707 5,668,247 $ 6,060,619 $ 3,397,758 $ 91,525 $ 8,094,920 $ 3,747,137 $ 22,626,805 ti d -19- REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH ACCOUNTANTS' REPORT ON COMPLIANCE WITH AUDIT GUIDELINES FOR CALIFORNIA REDEVELOPMENT AGENCIES September 9, 1988 In connection with our examination of the financial statements of the Huntington Beach Redevelopment Agency as of and for the year ended June 30, 1988, we have • performed, to the extent applicable, the tasks contained in Section I through V of the "Guidelines for Compliance Audits of California Redevelopment Agencies" published by the State Controller. Based on the above procedures, we are of the opinion that the Agency complied in all material respects with criteria established in the State Controller's guidelines referred to above. -20- REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH FINANCIAL STATEMENTS WITH REPORT ON ESAffiINATION BY CERTIFIED PUBLIC ACCOUNTANTS JUNE 30, 1981 REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH FINANCIAL STATEMENTS June 30, 1988_ TABLE OF CONTENTS 1 ` Page Number Accountants' Report 1 General Purpose Financial Statements: Combined Balance Sheet - All Fund Types and Account Group 2 Combined Statement of Revenues, Expenditure, and Changes in Fund Balances - All Governmental Fund Types 3 Notes to Financial Statements 4 - 11 Supplementary Information: Combining Balance Sheet - All Debt Service Funds 12 - 13 Combining Statement of Revenues, Expenditures and Changes in Fund Balances - All Debt Service Funds 14 - 15 Combining Balance Sheet - All Capital Project Funds 16 - 17 Combining Statement of Revenues, Expenditures and Changes in Fund Balances - All Capital Project Funds 18 - 19 Accountants' Report on Compliance with Audit Guidelines for California Redevelopment Agencies 20 • DIEH FMANC DO PETER S ERER, PA CPA 1L1 1L)j� �J L.PETER SCHERER,CPA u` &COMPANY RODNEY K.McDANIEL,CPA RALPH H.WEINTRAUB,CPA CERTIFIED PUBLIC ACCOUNTANTS MICHAEL R.LUDIN,CPA ROBER• A PARTNERSHIP INCLUDING ACCOUNTANCY CORPORATIONS PHILIP R.WINE,CPA HILtP H.HOLTKAMP,CPA 1910 NORTH BUSH STREET THOMAS M.PERLOWSKI,CPA SANTA ANA•CALIFORNIA 92706-2894 PHONE(714)%24453 FAX(714)5424218 September 9, 1988 r ACCOUNTANTS' REPORT • Agency Members • Redevelopment Agency of the City of Huntington Beach Huntington Beach, California We have examined the general purpose financial statements of the Redevelopment Agency of the City of Huntington Beach, as of and for the year ended June 30, 1988, as listed in the table of contents . Our examination was made in accordance with generally accepted auditing standards and, accordingly, included such tests of the accounting records and such other auditing procedures as we considered necessary in the circumstances. • In our opinion, the general purpose financial statements referred to above present fairly the financial position of the Redevelopment Agency of the City of Huntington Beach at June 30, 1988, and the results of its operations for the year then ended, in conformity with generally accepted accounting principles applied on a basis consistent with that of the preceding year. Our examination was made for the purpose of forming an opinion on the general purpose financial statements taken as a whole. The supplementary information listed in the table of contents is presented for purposes of additional analysis and is not a required part of the general purpose financial statements of the Redevelopment Agency of the City of Huntington Beach. The information has been subjected to the auditing procedures applied in the examination of the general • purpose financial statements and, in our opinion, is fairly stated in all material respects in relation to the general purpose financial statements taken as a whole. • -1- • OTHER OFFICES AT: 2965 ROOSEVELT ST. 120 WEST WOODWARD AVE. CARLSBAD,CA 92008-2389 ESCONDIDO,CA 92025-9990 (619)729-2343 (619)741-3141 REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH • COMBINED BALANCE SHEET - ALL FUND TYPES AND ACCOUNT GROUP June 30, 1988 • Account Group Lease Payments Governmental Receivable Fund Types and Debt Capital General Totals Service Projects Long-term (Memorandum ASSETS Funds Funds Debt Only) Cash and investments (Notes 1B and 3) $ 2,527,634 $ 18,579,161 $ - $ 21,106,795 Cash with fiscal agent (Notes 1B, 3 and 5B) 682,806 - - 682,806 interest receivable 19,390 82,574 - 101,964 Taxes receivable 100,395 23,621 - 124,016 Land held for resale - 4,854,111 - 4,854,111 Lease payments receivable (Note 5B) - - 6,426,000 6,426,000 Unearned finance charges (Note 5B) - - (2,585,583) (2,585,583) • Amount available in debt service funds - - 3,330,228 3,330,228 Amount to be provided for repayment of debt - - 35,755,065 3517551065 TOTAL ASSETS $ 3,3309225 $ 23,539,467 $ 42,925,710 $ 69,795,402 LIABILITIES AND FUND BALANCES LIABILITIES: Accounts payable $ - $ 78,104 $ - $ 78,104 Accrued payroll - 16,841 - 16,841 Current note payable - 817,717 - 817,717 Due to City of Huntington Beach and Public Financing Authority (Note 5) - - 36,917,663 36,917,663 Owner participation agreement (Notes 5, 7 and 10) - - 1,408,047 1,407,047 Certificates of participation payable (Note 5B) - - 4,600,000 4,600,000 TOTAL LIABILITIES - 912,662 42,925,710 43,838.372 FUND BALANCES (NOTE 10): Reserved for debt service 3,330,225 - - 3,330,225 Reserved for low-income housing - 3,747,137 - 3,747,137 Reserved for capital projects - 14,025,557 - 14,025,557 Reserved for land held for resale - 4,854,111 - 4,854,111 TOTAL FUND BALANCES 3,330,225 22,626,805 - 25,957,030 TOTAL LIABILITIES AND FUND BALANCES $ 3,330,225 $ 23,539,467 $ 42,925,710 $ 69,795,402 See accountants' report and notes to financial statements. -2- REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ALL GOVERNMENTAL FUND TYPES For the year ended June 30, 1988 l� Debt Capital Totals Service Projects (Memorandum Fund Fund Only) REVENUES: Tax increment revenue (Note 4I) $ 1,573,300 $ 393,325 $ 1,966,625 From use of money and property 226,981 523,182 750,163 t' Lease payments and related fees (Note 5B) 483,000 - 483,000 TOTAL REVENUES 2,283,281 916,507 3,199,788 EXPENDITURES: Interest and letter of credit fees (Note 5) 743,763 - 743,763 Housing and community development - 2,983,836 2,983,836 Capital outlay - 1,118,208 1,118,208 Repayment of advances from City 674,500 1,690,788 2,365,288 TOTAL EXPENDITURES 1,418,263 5,792,832 7,211,095 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES 865,018 (4,876,325) (4,011,307) OTHER FINANCING SOURCES (USES): Advances from City of Huntington Beach (Note 5) - 6,238,896 6,238,896 Advances from Public Financing Authority debt (Note 5) - 14,869,123 14,869,123 Gain on sale of land - 726,864 726,864 TOTAL OTHER FINANCING SOURCES - 21,834,883 21,834,883 EXCESS OF REVENUES AND OTHER SOURCES OVER EXPENDITURES 865,018 16,958,558 17,823,576 FUND BALANCES - BEGINNING OF YEAR 2,465,207 5,668,247 8,133,454 FUND BALANCES - ENDING OF YEAR $ 3,330,225 $ 22,626,805 $ 25,957,030 See accountants' report and notes to financial statements. -3- REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH NOTES TO FINANCIAL STATEMENTS �--= June 30, 1988 • 1. SIGNIFICANT ACCOUNTING POLICIES: A. Basis of Accounting: The modified accrual basis of accounting is followed by the Redevelopment Agency of the City of Huntington Beach (the Agency) . Revenues are recognized when they become measurable and available to finance expenditures of the current period. Expenditures are recorded at the time liabilities are incurred, except that principal and interest payments on long-term debt are recorded as expenditures when due. B. Investments: Investments are stated at cost, which was equal to market value at June 30, 1988. If market value declines below cost, no loss is recorded if such declines are considered temporary. C. General Fixed Assets: The Agency has no capitalized general fixed assets . Project costs incurred such as roads and streets, curbs , gutters , drainage systems, lighting systems and other similar project costs are recorded as expenditures of the Capital Projects Fund. D. Financial Reporting: Total columns in the accompanying financial statements are captioned "Memorandum Only" to indicate that they are presented only to facilitate financial analysis. The totals are not comparable to a consolidation in that interfund eliminations have not been made in combining the data. E. Budgetary Reporting: The budgets of the Agency are primarily "long-term" budgets which emphasize capital outlay plans extending over one year. Because of the long-term nature of redevelopment projects, "annual" budget comparisons are not considered meaningful and accordingly, no budgetary information is included in the accompanying financial statements. F. Administrative and Overhead Charges: Pursuant to the California Community Redevelopment Law, Chapter 6, Article 2, Section 33610, a city may elect to allocate administrative and overhead expenses to a redevelopment agency, either_ as a grant or a loan. During the fiscal year ended June 30, 1988 , the City of Huntington Beach incurred certain salary and overhead expenses in behalf of the Agency and elected to allocate these expenses to the Agency. See accountants' report. -4- REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH NOTES TO FINANCIAL STATEMENTS (Continued) June 30, 1988 2. DESCRIPTION OF FUNDS: A. Debt Service Funds - Tax increment revenue and related interest income are placed in these funds. The funds are then used to repay principal and interest on indebtedness of the Agency. Any fund balance is reserved for debt retirement. Under provisions of the Health and Safety Code, such a fund is referred to as a "Special Fund". B. Capital Projects Funds - A separate capital projects fund is used to account for all revenues and expenditures, other than those related to debt service of each project, including costs of site improvements and an allocation at administrative expenditures incurred in sustaining Agency activities. Under provisions of the Health and Safety Code such a fund is referred to as a "Redevelopment Fund". C. Lease Payments Receivable and General Long-Term Debt Account Group - Agency debt which is not payable from currently held assets is recorded for memorandum purposes in this account group. As more fully described at Note 5, the terms of repayment on debt to. the City are indefinite. Thus, all debt to the City is classified as long-term, even though it may be repaid shortly after balance sheet date. The account group is also used to account for lease payments receivable (See Note 5). 3. CASH AND INVESTMENTS: The following disclosures are made in accordance with GASB Statement No. 3: Cash and investments at June 30, 1988 consisted of the following: Cash and investments $ 21,106,795 Cash with fiscal agent 682,806 Total $ 21,789,601 The Agency's investments are categorized as follows: Market Cost Value Category 1: Insured or unregistered, or securities held by the Agency or its agent in the Agency's name $ - $ Category 2: Uninsured and unregistered with securities held by the counterparty's trust department or agent in the Agency's name - Category 3: Uninsured and unregistered with securities held by the counterparty, • or by its trust department or agent, but not in the Agency's name 682,806 682,806 Cash and investments pooled with the City of Huntington Beach 21,106,795 21,106,795 Total $ 21,789,601 $ 21,789,601 See accountants' report. -5- REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH NOTES TO FINANCIAL STATEMENTS (Continued) June 30, 1988 3. CASH AND INVESTMENTS (CONTINUED) : Safekeeping Arrangements: First Interstate Bank acts as fiscal agent for the Certificates of Participation holders and holds all revenues received in trust . All securities and demand deposits held by the trustee are in the trustee's name and are held in their trust department. The Agency does not own specifically identifiable securities in the City of Huntington Beach Pool. Allocation of Interest Among Funds: Interest income is allocated monthly on the various funds based on the month-end cash balances. Interest income from restricted cash is recorded directly in the fund earning the income. See the City of Huntington Beach annual report as of and for the year ended June 30, 1988 for additional GASB 3 disclosures on investments. 4. ORGANIZATION AND TAX INCREMENT FINANCING: The Redevelopment Agency of the City of Huntington Beach was created by City Council Ordinance Number 1785 adopted on January 1, 1967 . The primary purpose of the Agency is to encourage private redevelopment of property and to rehabilitate those areas suffering economic disuse arising from poor and inadequate planning, inadequate street layout and street access, lack of open space or landscaping, and provide other improvements and facilities necessary to establish and maintain the economic growth of the City. The Agency's primary source of revenue comes from property taxes, referred to in the accompanying financial statements as "tax increment revenue". The assessed valuation of all property within the project area is determined on the date of adoption of the Redevelopment Plan. Property taxes related to the incremental increase in assessed values after the adoption of the Redevelopment Plan are allocated to the Agency; all taxes on the "frozen" assessed valuation of the property are allocated to the City and other districts. The Agency currently has five project areas and a low income housing program. The Talbert-Beach project includes approximately 50 acres and its anticipated land use is an industrial park. The Main Pier project includes approximately 300 acres within the downtown area adjacent to the pier and beach. The anticipated land uses includes commercial, office and See accountants' report. -6- REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH —� NOTES TO FINANCIAL STATEMENTS (Continued) June 30, 1988 4. ORGANIZATION AND TAX INCREMENT FINANCING (CONTINUED): residential mixed use projects and a variety of public facilities. The Oakview project, comprising 68 acres, includes the Charter Centre Office building, a commercial and theatre complex and rehabilitation of existing residential properties. The Yorktown-Lake project includes 30 acres of single-family housing and public facilities. The Huntington Center project provides parking and traffic circulation improvements. 5. CHANGES IN LONG-TERM DEBT: Net Balance Additions Balance July 1, 1987 (Repayments) June 30, 1988 Due to the City of Huntington Beach and Public Financing Authority: From sale of land to the Agency by the City's Park Acquisition and Development Fund for $1,917,570 plus interest at 10% per annum $ 2,807,551 $ (698,224) $ 2,109,327 From sale of land to the Agency by the City's General Fund for $405,536, plus interest at 10% per annum 593,745 59,375 653,120 From sale of land by the City General Fund for $1,228,381 plus interest at 10% per annum 1,228,381 122,838 1,351,219 Cash advances from the City's General Fund plus accrued interest at 10% per annum 9,448,419 4,596,142 14,044,561 Cash advances from the City's Other Grants Fund 1,064,483 - 1,064,483 Cash advances from the City's Water Fund plus accrued interest at 10% per annum 144,900 1,114,490 1,259,390 Unpaid developers fees payable to various City funds, to be subsidized by the Agency plus accrued interest at 10% per annum 835,298 88,527 923,825 See accountants' report. -7- REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH NOTES TO FINANCIAL STATEMENTS (Continued) June 30, 1988 5. CHANGES IN LONG-TERM DEBT (CONTINUED) : Net Balance Additions Balance July 1, 1987 (Repayments)_ June 30, 1988 Cash advances from the Public Financing Authority in June 1988 totalling $14,869,123 plus accrued interest of $367,615 computed at varying rates $ - $ 15,236,738 $ 15,236,738 Cash advances from the Drainage Fund totaling $250,000 plus interest of $25,000 computed at 10% per annum - 275,000 2751000 Total Amount Due to the City of Huntington Beach and Public Financing Authority 16,122,777 20,794,886 36,917,663 Amount due under "Owner Participation Agreement" (See Note 7) 1,408,047 - 1,408,047 Certificates of Participation 4,600,000 - 4,600,000 Total Long-Term Debt $ 22,130,824 $ 20,794,886 $ 42,925,710 A. Since payment by the Agency to the City and Public Housing Authority on the various transactions will be made from tax increment revenues in future years, the debt is classified as long-term. B. In 1984 the Agency sold $4,600,000 of Certificates of Participation at a discount of $126,500 to finance the construction of the Emerald Cove senior citizens housing project. The certificates bear interest at 9.5% per annum, which is payable semi-annually. Principal is payable at maturity on May 1, 1994. The land upon which the project was built was sold to the Agency by the City. The City is leasing back the project and is operating it as an enterprise. Lease payments, of $40,250, equal to interest and insurance are payable monthly until the final payment, equal to principal of $4,600,000, is due May 1, 1994. The holders of the certificates have a proportionate interest in the lease payments to be made by the City. The certificates are secured by the land and the buildings constructed, an assignment of rents, and an irrevocable letter of credit issued by a bank. A discount of $126,500 on the sale of the certificates is being amortized through maturity. The unamortized discount at June 30, 1988 is $76,777. See accountants' report. -8- • • REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH NOTES TO FINANCIAL STATEMENTS (Continued) June 30, 1988 5. CHANGES IN LONG-TERM DEBT (CONTINUED): The assets of the Emerald Cove Housing project are recorded by the City and not the Agency, as the Agency is only involved in "pass-through" financing, except for the cash with fiscal agent of $682,806 which represents amounts reserved to pay the debt. C. Below is a schedule of debt service requirements to maturity on the Certificates of Participation: • Year Ending June 30, Principal Interest Total 1988 $ - $ - $ - • 1989 - 437,000 437,000 1990 - 437,000 437,000 1991 - 437,000 437,000 1992 - 437,000 437,000 1993 - 437,000 437,000 1994 4,600,000 400,583 5,000,583 • Totals $ 4,600,000 $ 2,585,583 $ 7,185,583 6. LOANS-TO-LENDER REVENUE BONDS: • The Agency has issued through the City of Huntington Beach Loans-to-Lenders Revenue Bonds of $16,000,000 for the purpose of providing the issuer with funds to make a deposit with Home Federal Savings and Loan Association, San Diego, California. The proceeds of the deposit have been used by the Lender to make a mortgage loan to the developer at the Huntington Breakers Apartment Project. These Bonds are not an obligation of the Agency or City, • and are payable solely from the deposit and certain other funds, all pledged under the indenture. Accordingly, the bonds are not reflected in the accompanying financial statements. 7. OWNER PARTICIPATION AGREEMENT: The Agency and City have entered into an agreement with the owner-developer • of the Charter Centre Project in the Oakview Redevelopment Project Area, whereby the Agency purchased capital improvements from the owner in the amount of $1,408,047. Under this agreement, the City has deferred its receipt of normal building permit, plan check and similar fees which would be payable from the Charter Centre construction. The Agency has agreed to be responsible to make payment of these fees to the City, constituting an • See accountants' report. -9- REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH NOTES TO FINANCIAL STATEMENTS (Continued) June 30, 1988 7. OWNER PARTICIPATION AGREEMENT (CONTINUED) : Agency debt. (See Note 5) . The developer will repay this advance of fees to the .Agency over five years including interest at 11%. The Agency, in turn, is obligated to pay the developer from tax increment revenues the lesser of 65% of the tax increment revenues attributable to the Charter Centre for the first 10 years after the issuance of a Certificate of Occupancy, or the purchase price of $438,930 and the cost of improvements plus interest at 11% per annum. The Agency has the right to offset the deferred development fees described above against the amounts due to Mola Development Corporaiton for the public improvements and right of way. On July 1, 1987 the Agency paid $125 ,000 to Mola Development Corporation as the first installment payment. The amount represented interest on the $1,408,047 cost of public improvements and right of way. On July 6, 1988, subsequent to year-end, the City and Mola Development Corporation entered into agreeement which discharged the prior financial commitments of both the City and the Agency (see Note 10) . 8. CONTINGENCY: Commencing with fiscal year 1990-91 , and each year thereafter , the Redevelopment Agency will pay the Orange County Superintendent of Schools one-fourth of the tax increment revenues received by the Huntington Center Redevelopment Project Area. 9. RESERVES: Under generally accepted accounting principles, a municipal entity may set up "reserves" of fund equity to segregate fund balances which are not appropriable for expenditure in future periods , or which are legally set aside for a specific future use. Reserved for Debt Service This reserve sets aside fund balance to meet debt service for long-term debt (See Note 5). Reserved for Low Income Housing This reserve represents 20% of tax revenue increment received to be set aside to finance low income housing, as per California State Health and Safety Code Section 33334.2. See accountants' report. -10- • REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH NOTES TO FINANCIAL STATEMENTS (Continued) • June 30, 1988 9. RESERVES (CONTINUED) : Reserved for Capital Projects These funds are reserved for future capital improvements of the Agency. Reserved for Land Held for Resale The reserve represents land held by the Agency that is legally committed for • resale, and will not be converted into cash or other liquid assets soon enough after year end to be considered "available" to meet current expenditures. 10. SUBSEQUENT EVENTS: • On July 6, 1988, the Redevelopment Agency and Mola Development Corporation agreed on terms that satisfied the Owner Participation Agreement which originated in 1983. The terms of the agreement are described in Note 7. The agreed upon payment for the construction of right-of-way and public improvements was $1,200,000 which was paid on July 7, 1988. The agreed upon amount of deferred development fees due to the City was $300,000. Mola • advanced the Agency $100,000 on July 7, 1988 for its first installment on the deferred development fees. The balance of $200,000 will be paid in three installments of $81,843 beginning June 30, 1989 at 11% interest. Both the Agency and Mola agreed that this would satisfy all financial terms of the Owner Participation Agreement. • • • • See accountants' report. • -11- L • SUPPI NTABY INFORMATION REDEVELOPMENT AGENCY OF THE • CITY OF HUNTINGTON BEACH COMBINING BALANCE SHEET ALL DEBT SERVICE FUNDS June 30, 1988 Talbert - Beach Project • ASSETS Cash and investments $ 268,708 Cash with fiscal agent 682,806 Interest receivable 7,492 • Taxes receivable 9,712 TOTAL ASSETS $ 968,718 LIABILITIES AND FUND BALANCES LIABILITIES $ - FUND BALANCES: Reserved for debt service 968,718 • TOTAL LIABILITIES AND FUND BALANCES $ 968,718 • • • • See accountants' report. -12- • • Main - Yorktown - Huntington Pier Oakview Lake Center • Project Project Project Project Totals $ 860,388 $ 543,352 $ 128,901 $ 726,285 $ 7,527,634 - - - 682,806 • 4,515 2,989 777 3,617 19,390 18,745 - 8,977 62,961 100,395 $ 883,648 $ 546,341 $ 138,655 $ 792,863 $ 3,330,225 • rr • 883,648 546,341 138,655 792,863 3,330,225 $ 883,648 $ 546,341 $ 138,655 $ 792,863 $ 3,330,225 • • • • -13- • REDEVELOPMENT AGENCY OF THE • CITY OF HUNTINGTON BEACH COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ALL DEBT SERVICE FUNDS For .the year ended June 30, 1988 • Talbert Beach Project • REVENUES: Property taxes $ 133,608 From use of money and property 17,607 Lease payments and related fees 483,000 Interest income 64,558 • TOTAL REVENUES 698,773 EXPENDITURES: Project improvements 135,763 Interest and letter of credit fees 483,000 Repayment of advances from City 100,000 TOTAL EXPENDITURES 718,763 _ EXCESS OF REVENUE OVER (UNDER) EXPENDITURES (19,990) FUND BALANCES - JULY 1, 1987 988,708 • FUND BALANCES - JUNE 30, 1988 $ 968,718 Al • • • See accountants' report. -14- Main - Yorktown - Huntington Pier Oakview Lake Center Project Project Project Project Totals $ 369,683 $ 280,000 $ - $ 790,009 $ 1,573,300 55,146 42,002 3,160 44,508 162,423 - - - - 483,000 - - - - 64,558 424,829 322,002 3,160 834,517 2,283,281 - - - - 135,763 125,000 - - 608,000 - - - 574,500 674,500 - 125,000 - 574,500 1,418,263 424,829 197,002 3,160 260,017 865,018 458,819 349,339 135,495 532,846 2,465,207 $ 883,648 $ 546,341 $ 138,655 $ 792,863 $ 3,330,225 -15- REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH COMBINING BALANCE SHEET ALL CAPITAL PROJECT FUNDS June 30, 1988 Talbert - Beach Project ASSETS Cash and investments $ 1,249,165 Taxes receivable - Interest receivable 4,069 Land held for resale - TOTAL ASSETS $ 1,253,234 LIABILITIES AND FUND BALANCES LIABILITIES: Accounts payable $ 17,559 -ka Accrued payroll 829 Note payable - TOTAL LIABILITIES 18,388 FUND BALANCES: Reserved for low-income housing - Reserved for capital projects 1,234,846 Reserved for land held for resale - TOTAL FUND BALANCES 1,234,846 TOTAL LIABILITIES AND FUND BALANCES $ 1,253,234 ` See accountants' report. -16- • • • Main - Yorktown - Huntington Low Pier Oakview Lake Center Income • Project Project Project Project Housing Total $ 4,767,097 $ 2,989,675 $ 91,091 $ 5,773,199 $ 3,708,934 $ 18,579,161 - - - - 23,621 23,621 • 22,755 15,358 856 23,973 15,563 82,574 2,156,793 395,185 - 2,302,133 - 4,854,111 $ 6,946,645 $ 3,400,218 $ 91,947 $ 8,099,305 $ 3,7489118 $ 23,539,467 • •" $ 60,125 $ - $ - $ - $ 420 $ 78,104 8,184 2,460 422 4,385 561 16,841 817,717 - - - - 817,717 • 886,026 2,460 422 4,385 981 912,662 - - - - 3,747,137 3,747,137 3,903,826 3,002,573 91,525 5,792,787 - 14,025,557 2,156,793 395,185 - 2,302,133 - 4,854,111 6,060,619 3,397,758 91,525 8,094,920 3,747,137 22,626,805 $ 6,946,645 3,400,218 $ 91,947 $ 8,099,305 $ 3,748,118 $ 23,539,467 • • • • =17- I REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ALL CAPITAL PROJECT FUNDS For the year ended June 30, 1988 Talbert - Beach Project REVENUES: Tax increment revenue $ From use of money and property 12,279 TOTAL REVENUES 12,279 EXPENDITURES: Housing and community development 155,668 Capital outlay - Repayment of advances 1,690,788 TOTAL EXPENDITURES 1,846,456 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES (1,834,177) _ _4 OTHER FINANCING SOURCES: Advances from City of Huntington Beach 137,105 Advances from Public Financing Authority 973,583 Gain on sale of land 726,864 TOTAL OTHER FINANCING SOURCES 1,837,552 EXCESS OF REVENUES AND OTHER SOURCES OVER EXPENDITURES 3,375 FUND BALANCE - JULY 1, 1987 1,231,471 FUND BALANCE - JUNE 30, 1988 $ 1,234,846 See accountants' report. -18- Main - Yorktown - Huntington Low Pier Oakview Lake Center Income Project Project Project Project Housing Total $ - $ - $ - $ - $ 393,325 $ 393,325 291,456 89,519 12,483 70,703 46,742 523,182 291,456 89,519 12,483 70,703 440,067 916,507 1,643,252 675,258 85,391 391,865 32,462 2,983,836 1,116,532 - - 1,676 - 1,118,208 - - - - - 1,690,788 2,759,784 675,258 85,391 393,481 32,462 5,792,832 2,463,328 (585,739) (72,908) (325778) 407,605 (4,876,325) 1 4,281,782 938,027 123,488 758,494 - 6,238,896 2,707,016 2,478,878 - 5,735,821 2,973,825 14,869,123 - - - - - 726,864 6,988,798 3,416,905 123,488 6,494,315 2,9735825 21,834,883 4,520,470 2,831,166 50,580 6,1715537 3,381,430 16,958,558 1,540,149 566,592 40,945 1,923,383 365,707 5,668,247 $ 6,060,619 $ 3,397,758 $ 915525 $ 8,094,920 $ 3,747,137 $ 22,626,805 -19- REDEVELOPMENT AGENCY OF THE CITY OF HUNTINGTON BEACH ACCOUNTANTS' REPORT ON COMPLIANCE WITH AUDIT GUIDELINES FOR CALIFORNIA REDEVELOPMENT AGENCIES September 9, 1988 In connection with our examination of the financial statements of the Huntington Beach Redevelopment Agency as of and for the year ended June 30, 1988, we have performed, to the extent applicable, the tasks contained in Section I through V of the "Guidelines for Compliance Audits of California Redevelopment Agencies" published by the State Controller. Based on the above procedures, we are of the opinion that the Agency complied in all material respects with criteria established in the State Controller' s • guidelines referred to above. -20-