HomeMy WebLinkAboutCity First Amendment to the Second Amended and Restated Plan
FIRST AMENDMENT TO THE
SECOND AMENDED AND RESTATED URBAN RENEWAL PLAN
NORTH HIGHWAY URBAN RENEWAL PROJECT,
INCLUDING SOUTH ADDITION
REXBURG URBAN RENEWAL AGENCY
(also known as the Rexburg Redevelopment Agency)
CITY OF REXBURG, IDAHO
Ordinance No. 728
Adopted December 27, 1991
Effective December 31, 1991, publication
Amended and Restated Plan
Ordinance No. 815
Adopted December 27, 1998
Effective December 30, 1998, publication
Second Amended and Restated Plan
Ordinance No. 950
Adopted December 31, 2005
Effective December 23, 2005, publication
First Amendment to the Second Amended and Restated Plan
Ordinance No. ____
Adopted ________, 2020
Effective _______________, 2020, publication
BACKGROUND
This First Amendment (“First Amendment”) to the Second Amended and Restated Urban Renewal Plan, North Highway Urban Renewal Project, Including South Addition (the “Plan”) deannexes
certain parcels from the plan area/revenue allocation area created by the Plan commonly referred to as the “North Highway District Project Area,” adopted by Rexburg City Council Ordinance
No. 728, on December 27, 1991, and as subsequently amended and restated to add geographic area by Rexburg City Council Ordinance No. 815, on December 27, 1998, and by Rexburg City Council
Ordinance No. 950, on December 21, 2005. The scope of this First Amendment is limited to addressing the deannexation of certain parcels from the North Highway District Project Area.
It is important to note this First Amendment to the Plan does not extend the Plan’s duration. The Plan terminates on December 31, 2021; however, revenue allocation proceeds will be
received in 2022 pursuant to Idaho Code § 50-2905(7).
As a result of the deannexation, in 2020 through the remaining years of the Plan, the Urban Renewal Agency of the City of Rexburg, Idaho, also known as the Rexburg Redevelopment Agency
(the “Agency”) will cease receiving an allocation of revenues from the deannexed parcels. The increment value of the parcels deannexed from the North Highway District Project Area
shall be included in the net taxable value of the taxing district when calculating the subsequent property tax levies pursuant to section 63-803, Idaho Code. The increment value shall
also be included in subsequent notification of taxable value for each taxing district pursuant to section 63-1312, Idaho Code, and subsequent certification of actual and adjusted market
values for each school district pursuant to section 63-315, Idaho Code. The Madison County Assessor’s Office maintains the value information, including the increment value, if any,
included on the new construction roll for new construction associated with the deannexed parcels. The amount added to the new construction roll will equal the amount by which the December
31, 2019, increment value exceeds the increment value as of December 31, 2006.
Currently, the revenue allocation proceeds from the deannexed parcels secure repayment of that certain Revenue Allocation Refunding Bond, Series 2016 (North Highway District Project)
in the principal amount of up to $2,553,070.03, with a maturity date of September 1, 2022 (the “Bond”), purchased by The Bank of Commerce, Ammon, Idaho (the “Bank”). The deannexation
of certain parcels within the boundaries of the North Highway District Project Area by adoption of the First Amendment results in a reduction in the revenue allocation proceeds received
by the Agency and pledged to the Bank in that certain Bond Purchase and Security Agreement, dated October 13, 2016 (the “Bond Purchase Agreement”). The Bank has consented to the deannexation
in writing by letter to the Agency dated April 8, 2020.
House Bill 606, effective July 1, 2016, amended the Local Economic Development Act, Chapter 29, Title 50, Idaho Code, as amended (the “Act”) firmly establishing “[f]or plans adopted
or modified prior to July 1, 2016, and for subsequent modifications of those urban renewal plans, the value of the base assessment roll of property within the revenue allocation area
shall be determined as if the modification had not occurred.” Idaho Code § 50-2903(4). Though the provisions of Idaho Code § 50-2903A do not apply to the Plan, a plan amendment or
modification to accommodate a de-annexation in the revenue allocation boundary is a specifically identified exception to a base reset. Idaho Code § 50-2903A(1)(a)(iii). This highlights
the legislative support for these types of amendments.
AMENDMENTS TO THE PLAN
Definitions. Capitalized terms not otherwise defined herein shall have the respective meanings ascribed to such terms in the Plan.
The following defined terms are amended throughout the Plan as follows:
(a) Delete “Project Area” and replace with “Amended Project Area” except where specifically referenced in this First Amendment.
(b) Delete references to “Attachment 5” and replace with “Attachment 5, as supplemented by Attachment 5D” except where specifically referenced in this First Amendment.
3. Amendment to List of Attachments. The List of Attachments on page iii is amended by deleting the list of attachments and replacing it as follows:
Attachment 1 Project Area-Revenue Allocation Area Boundary Map
Attachment 1A Boundary Map of the Deannexed Area
Attachment 2 Legal Description of the Project Area and Revenue Allocation Area
Attachment 2A Legal Description of the Boundary of the Deannexed Area
Attachment 3 Properties Which May be Acquired by the Agency
Attachment 4 Map Depicting Expected Land Uses and Current Zoning Within the Amended Project Area
Introduction to
Attachment 5 Introduction
Attachment 5 Statement of Proposed Public Improvements, Costs, Revenues, Tax Impacts and Financing Methods (and) Implementation Plan
Attachment 5A Net Value of Private Development in Revenue Allocation Area
Attachment 5B Estimated Annual Tax Revenue Allocations
Attachment 5C Estimated Annual Revenues and Costs
Attachment 5C-1 Financial History North Highway Project Area 1993-2005
Attachment 5C-2 Bond Amortization Schedule
Attachment 5D Supplement to Attachment 5: Financial Analysis Related to the 2020 Deannexation
4. Amendment to Section 100 of the Plan. Section 100 is amended by deleting the list of attachments and replacing it as follows:
Project Area-Revenue Allocation Area Boundary Map (Attachment 1)
Boundary Map of the Deannexed Area (Attachment 1A)
Legal Description of the Project Area and Revenue Allocation Area (Attachment 2)
Legal Description of the Boundary of the Deannexed Area (Attachment 2A)
Properties Which May be Acquired by the Agency (Attachment 3)
Map Depicting Expected Land Uses and Current Zoning Within the Amended
Project Area (Attachment 4)
Introduction to Attachment 5 (Attachment 5)
Statement of Proposed Public Improvements, Costs, Revenues, Tax Impacts and Financing Methods (and) Implementation Plan (Attachment 5)
Net Value of Private Development in Revenue Allocation Area (Attachment 5A)
Estimated Annual Tax Revenue Allocations (Attachment 5B)
Estimated Annual Revenues and Costs (Attachment 5C)
Financial History North Highway Project Area 1993-2005 (Attachment 5C-1)
Bond Amortization Schedule (Attachment 5C-2)
Supplement to Attachment 5: Financial Analysis Related to the 2020 Deannexation (Attachment 5D)
5 Amendment to Section 101.1 of the Plan.
(a) Section 101.1 entitled “CONFORMANCE WITH STATE OF IDAHO URBAN RENEWAL LAW OF 1965, AS AMENDED” is amended by adding new paragraphs to the end of the existing language as follows:
This First Amendment to the Plan (the “First Amendment”) deannexes certain parcels from the existing Project Area, resulting
in an “Amended Project Area” as further described and shown in Attachments 1, 1A, 2 and 2A.
In accordance with the Law, this First Amendment was submitted to the Planning and Zoning Commission of the City of Rexburg. After consideration of the First Amendment, the Commission
filed a Resolution dated ________ __, 2020, with the City Council stating that the First Amendment is in conformity with the City of Rexburg 2020 Comprehensive Plan, adopted on November
19, 2008, by Resolution No. 2008-19.
Pursuant to the Law, the City Council, having published due notice thereof, held a public hearing on the First Amendment. Notice of the hearing was duly published in a newspaper having
general circulation. The City Council adopted the First Amendment on ______, 2020, pursuant to Ordinance No. _____.
6. Amendment to Section 200 of the Plan.
(a) Section 200 entitled “DESCRIPTION OF PROJECT AREA” is deleted and replaced as follows:
DESCRIPTION OF THE AMENDED PROJECT AREA
The boundaries of the Second Amended and Restated Project Area and of the Amended and Restated Revenue Allocation Area are depicted in Attachment 1, the boundary map, which is attached
hereto and incorporated herein by reference, and are more particularly described in the Legal Description of the Project Area and Revenue Allocation Area, attached hereto as Attachment
2 and incorporated herein by reference.
For purposes of boundary descriptions and use of proceeds for payment of improvements, the boundary shall be deemed to extend to the outer boundary of rights-of-way.
Pursuant to the First Amendment, the boundaries of the deannexed area are shown on the Boundary Map of the Deannexed Area in Attachment 1A and are described in the Legal Description
of the Boundary of the Deannexed Area in Attachment 2A.
The attachments referenced above are attached hereto and are incorporated herein by reference.
7. Amendment to Section 302 of the Plan.
(a) Section 302 is amended by deleting the first sentence of the second paragraph and replacing it as follows:
The Amended Project Area includes the area as described in Section 200, as amended by this First Amendment.
8. Amendment to Section 401 of the Plan.
(a) Section 401 is amended by deleting the paragraph and replacing it as follows:
The Amended Project Area includes the area as described in Section 200, as amended by this First Amendment. The proposed land uses to be permitted land uses are described in Attachment
4.
9. Amendment to Section 403.1 of the Plan.
(a) Section 403.1 is amended by deleting the first paragraph and replacing it as follows:
The major public streets within the Amended Project Area include those as shown in the area as described in Section 200 of the Plan, as amended by this First Amendment.
10. Amendment to Section 504 of the Plan.
(a) Section 504 is amended by adding a new sentence immediately following the end of the first sentence of the first paragraph as follows: Revenue allocation financing authority for
the deannexed parcels pursuant to the First Amendment will be terminated effective January 1, 2020.
(b) Section 504 is amended by adding the following at the end of the fourth paragraph as follows: No modifications to the analysis set forth in Attachment 5 through 5C-2 have been made
as a result of the First Amendment. The estimated financial impact to the Agency as a result of the deannexation of certain undeveloped and/or underdeveloped parcels from the existing
Project Area pursuant to the First Amendment is set forth in Attachment 5D.
11. Amendment to Section 504.1 of the Plan.
(a) Section 504.1 is amended by adding a new sentence at the end of the paragraph as follows: The Study has been supplemented as a result of this First Amendment. Attachment 5D includes
the estimated financial impact to the Agency as a result of the deannexation of certain undeveloped and/or underdeveloped parcels from the existing Project Area pursuant to the First
Amendment prepared by Richard Horner, Agency Administrator.
12. Amendment to Section 504.3 of the Plan.
(a) Section 504.3 is amended by adding a new sentence at the end of the paragraph as follows: The deannexation of parcels from the existing Project Area pursuant to the First Amendment
will not substantively change this analysis, but will result in a reduction in the base assessment roll.
13. Amendment to Section 504.4 of the Plan.
(a) Section 504.4 is amended by adding a new sentence at the end of the second paragraph as follows: The deannexation of parcels from the existing Project Area pursuant to the First
Amendment will reduce the amount of revenue generated by revenue allocation as set forth in Attachment 5D.
(b) Section 504.4 is amended by adding a new sentence at the end of the third paragraph as follows: Attachment 5D includes the estimated financial impact to the Agency as a result of
the deannexation of certain undeveloped and/or underdeveloped parcels from the existing Project Area. Based on the findings set forth in Attachment 5D, the conclusion is the deannexation
of certain parcels from the existing Project Area does not materially reduce revenue allocation and the Project continues to be feasible.
14. Amendment to Section 800 of the Plan.
(a) Section 800 is amended by adding a new sentence at the end of the first paragraph as follows: The deannexation of parcels from the existing Project Area pursuant to the First Amendment
has no impact on the duration of this Plan.
15. Amendment to Plan to add new Attachment 1A. The Plan is amended to add new Attachment 1A entitled “Boundary Map of the Deannexed Area,” attached hereto.
16. Amendment to Plan to add new Attachment 2A. The Plan is amended to add new Attachment 2A entitled “Legal Description of the Boundary of the Deannexed Area,” attached hereto.
17. Amendment to Plan to add new Attachment 5D. The Plan is amended to add new Attachment 5D entitled “Supplement to Attachment 5: Financial Analysis Related to the 2020 Deannexation,”
attached hereto.
18. Second Amended and Restated Urban Renewal Plan, North Highway Urban Renewal Project, Including South Addition Remains in Effect. Except as expressly modified in this First Amendment,
the Plan and the Attachments thereto remain in full force and effect.
Attachment 1A
Boundary Map of the Deannexed Area
Attachment 2A
Legal Description of the Boundary of the Deannexed Area
Attachment 5D
Supplement to Attachment 5: Financial Analysis Related to the 2020 Deannexation
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