HomeMy WebLinkAboutOrd 1292 North Highway Urban Renewal District Termination Ordinance Final/
ORDINANCE NO. 1292
Termination of the North Highway Urban Renewal District
BY THE COUNCIL:
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF REXBURG, IDAHO, IMMEDIATELY TERMINATING THE REVENUE ALLOCATION AREA FOR THE NORTH HIGHWAY PROJECT AREA, AS AMENDED; REQUIRING DISTRIBUTION
OF ANY NON-OBLIGATED SURPLUS DETERMINED TO EXIST AS OF SEPTEMBER 30, 2022, PURSUANT TO SECTION 50-2909, IDAHO CODE; AUTHORIZING THE CITY CLERK OR URBAN RENEWAL AGENCY OF REXBURG, IDAHO,
ALSO KNOWN AS THE REXBURG REDEVELOPMENT AGENCY, TO FILE THE ORDINANCE, TOGETHER WITH THE BOUNDARY MAP, WITH THE OFFICE OF THE COUNTY RECORDER, THE COUNTY ASSESSOR, AND THE IDAHO STATE
TAX COMMISSION AS PROVIDED IN SECTION 63-215, IDAHO CODE; PROVIDING THAT A COPY OF THIS ORDINANCE SHALL BE GIVEN TO EACH OF THE TAXING ENTITIES AFFECTED BY SAID REVENUE ALLOCATION AREA;
APPROVING THE SUMMARY OF THE ORDINANCE; AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, the City Council and Mayor of the city of Rexburg respectively on or about November 6, 1991, adopted and approved a resolution creating the urban renewal agency for the City
of Rexburg, also known as the Rexburg Redevelopment Agency (the “Agency”), authorizing the Agency to transact business and exercise the powers granted by the Idaho Urban Renewal Law
of 1965, chapter 20, title 50, Idaho Code, as amended (hereinafter the “Law”), and the Local Economic Development Act, chapter 29, title 50, Idaho Code, as amended (hereinafter the
“Act”) upon making the findings of necessity required for creating the Agency;
WHEREAS, the City Council (“City Council”) of the city of Rexburg, Idaho (“City”), after notice duly published, conducted a public hearing on the Urban Renewal Plan, North Highway Urban
Renewal Project (the “North Highway Plan”);
WHEREAS, following said public hearing the City Council adopted its Ordinance No. 728 on December 27, 1991, approving the North Highway Plan, making certain findings and establishing
the North Highway revenue allocation area (the “Project Area”);
WHEREAS, the City Council, after notice duly published, conducted a public hearing on the Amended and Restated Urban Renewal Plan, North Highway Urban Renewal Project (the “Amended and
Restated North Highway Plan”);
WHEREAS, following said public hearing, the City Council adopted its Ordinance No. 815 on December 30, 1998, approving the Amended and Restated North Highway Plan and making certain
findings;
WHEREAS, the City Council, after notice duly published, conducted a public hearing on the Second Amended and Restated Urban Renewal Plan, North Highway Urban Renewal Project, Including
South Addition (the “Second Amended and Restated North Highway Plan”);
WHEREAS, following said public hearing, the City Council adopted its Ordinance 950 on December 21, 2005, approving the Second Amended and Restated North Highway Plan, which amends and
restates in its entirety the North Highway Plan and the Amended and Restated North Highway Plan and making certain findings;
WHEREAS, the City Council, after notice duly published, conducted a public hearing on the First Amendment to the Second Amended and Restated North Highway Plan (the “First Amendment
to the Second Amended and Restated North Highway Plan”), which amendment deannexed parcels from the existing revenue allocation area;
WHEREAS, following said public hearing the City Council adopted its Ordinance No. 1230 on June 17, 2020, approving the First Amendment to the Second Amended and Restated North Highway
Plan and making certain findings;
WHEREAS, the North Highway Plan, as amended, collectively will be referred to as the “North Highway Plan” and the corresponding North Highway revenue allocation area, as amended, will
be referred to as the “Project Area”;
WHEREAS, the North Highway Plan contained a revenue allocation financing provision pursuant to the Local Economic Development Act, Title 50, Chapter 29, Idaho Code, as amended (the “Act”);
WHEREAS, the termination date for the Project Area, as set forth in North Highway Plan, is December 31, 2021, except for revenues to be received in 2022, as authorized pursuant to Idaho
Code § 50-2905(7);
WHEREAS, a substantial portion of the improvements and/or projects are in progress or have been completed in the Project Area;
WHEREAS, there are remaining projects to be completed under the North Highway Plan, which will not be fully completed and paid for by the end of the Agency’s current fiscal year ending
September 30, 2022;
WHEREAS, it is expected most of the expenses from any remaining projects and/or improvements to be completed under the North Highway Plan are to be incurred and satisfied by the Agency’s
current fiscal year ending September 30, 2022, with the exception of project carryover costs related to the on-going street improvement project. The carryover amount is included in
the budget expense line item for “Construction.” An estimate of the remaining obligations, project costs and other administrative fees and costs are set forth in the Termination Plan
attached hereto as Exhibit A to Attachment 1. The Termination Budget is attached hereto as Exhibit B to Attachment 1, as updated to reflect current circumstances;
WHEREAS, the Agency will request the Madison County Treasurer to not distribute to the Agency any North Highway Plan revenue allocation funds from delinquency tax payments in fiscal
year 2023, or subsequent years, generated from the 2021 assessed values, or earlier. To the extent any North Highway Plan revenue allocation funds are received by the Agency in fiscal
year 2023, or later, the Agency will return those funds to the County Treasurer for distribution to the taxing districts;
WHEREAS, the Agency will have sufficient funds on deposit for payment of all final bonds, obligations, project costs and administrative fees;
WHEREAS, the Agency has reviewed the remaining obligations, improvements and/or projects and based on projected revenues and expenses of the North Highway Plan, has determined there
are sufficient funds for payment of the final bond payment, all final project costs and Agency expenses, and has further determined the revenue allocation area can be terminated on
or before December 31, 2022;
WHEREAS, the Agency estimates no surplus will be available for remittance to the County Treasurer for distribution to the taxing districts on or before September 30, 2022;
WHEREAS, following the end of the Agency’s 2022 fiscal year, the Agency will conduct a final accounting of the Project Area, which may result in a minimal surplus disposition to the
County Treasurer for distribution to the taxing districts on or before September 30, 2023;
WHEREAS, the Agency on June 15, 2022, adopted Resolution No. 2022-4 recommending the City Council adopt an ordinance terminating the revenue allocation area on or before December 31,
2022. A copy of Agency Resolution No. 2022-4 is attached hereto as Attachment 1;
WHEREAS, a copy of the boundary map of the revenue allocation area is attached hereto as Attachment 2.
NOW, THEREFORE, BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF REXBURG, IDAHO:
Section 1: That the above statements are true and correct.
Section 2: That the revenue allocation area contained in the North Highway Plan, as more particularly shown in Attachment 2, is hereby terminated, consistent with the termination provisions
set forth in the Act.
Section 3: That the tax year 2022 revenues from the increment value as levied upon within the revenue allocation area are not needed for the payment of any Agency indebtedness or Agency
projects to be completed before September 30, 2022.
Section 4: That Agency has determined there are not any non-obligated surplus funds to be remitted to the County Treasurer prior to the end of the Agency’s 2022 fiscal year on or before
September 30, 2022. That any non-obligated surplus funds deemed by the Agency to exist will be remitted to the County Treasurer following the final accounting of the Agency’s 2022
fiscal year on or before April 1, 2023, but in any event no later than September 30, 2023, to be distributed to the taxing districts in the same manner and proportion as the most recent
distribution to the taxing districts of the taxes on the taxable property located within the revenue allocation area. See I.C. 50-2909(4). Further, any other remaining funds in subsequent
fiscal years received by the Agency from delinquent taxes after September 30, 2022, shall be disbursed in the same manner each fiscal year.
Section 5: That a copy of this Ordinance shall be sent to and/or filed with the Madison County Assessor’s Office, the County Auditor/Recorder, and the Idaho State Tax Commission, together
with a boundary map, to provide notice of termination of the revenue allocation area in the North Highway Plan by either the City Clerk or Agency representatives.
Section 6: At least one-half, plus one of the City Council members finding good cause, the City Council hereby dispenses with the rule that this Ordinance be read on three different
days; two readings of which shall be in full, and have hereby adopted this Ordinance, having considered it at one reading.
Section 7: That this Ordinance shall be in full force and effect immediately upon its adoption, approval, and publication.
Section 8: The Summary of this Ordinance, a copy of which is attached hereto as Attachment 3, is hereby approved.
Section 9: All ordinances, resolutions, orders, or parts thereof in conflict herewith are hereby repealed, rescinded, and annulled.
Section 10: SAVINGS CLAUSE: This Ordinance does not affect an action or proceeding commenced or right accrued before this Ordinance takes effect.
PASSED by the City Council of the city of Rexburg, Idaho, on this 2nd day of November 2022.
APPROVED by the Mayor of the city of Rexburg, Idaho, on this 2nd day of November 2022.
____________________________
Jerry L. Merrill, Mayor
ATTEST:
____________________________
Deborah Lovejoy, City Clerk
STATE OF IDAHO )
) ss:
County of Madison )
I, DEBORAH LOVEJOY, City Clerk of the city of Rexburg, Idaho, do hereby certify: That the above and foregoing is a full, true and correct copy of the Ordinance Entitled:
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF REXBURG, IDAHO, IMMEDIATELY TERMINATING THE REVENUE ALLOCATION AREA FOR THE NORTH HIGHWAY PROJECT AREA, AS AMENDED; REQUIRING DISTRIBUTION
OF ANY NON-OBLIGATED SURPLUS DETERMINED TO EXIST AS OF SEPTEMBER 30, 2022, PURSUANT TO SECTION 50-2909, IDAHO CODE; AUTHORIZING THE CITY CLERK OR URBAN RENEWAL AGENCY OF REXBURG, IDAHO,
ALSO KNOWN AS THE REXBURG REDEVELOPMENT AGENCY, TO FILE THE ORDINANCE, TOGETHER WITH THE BOUNDARY MAP, WITH THE OFFICE OF THE COUNTY RECORDER, THE COUNTY ASSESSOR, AND THE IDAHO STATE
TAX COMMISSION AS PROVIDED IN SECTION 63-215, IDAHO CODE; PROVIDING THAT A COPY OF THIS ORDINANCE SHALL BE GIVEN TO EACH OF THE TAXING ENTITIES AFFECTED BY SAID REVENUE ALLOCATION AREA;
APPROVING THE SUMMARY OF THE ORDINANCE; AND PROVIDING AN EFFECTIVE DATE.
____________________________________
Deborah Lovejoy, City Clerk
CITY OF REXBURG ORDINANCE NO. 1292 ATTACHMENT 1
AGENCY TERMINATION RESOLUTION NO. 2022-4
UPDATE TO EXHIBIT B TO ATTACHMENT 1
Agency may carryover an amount not to exceed $500,000 of the “Construction” expense line item of the FY22 Termination Budget to fund the final costs related to the on-going street improvement
project in coordination with the City. It is anticipated the Agency will receive an invoice by the end of the calendar year. The Agency may carryover an amount not to exceed $24,500
of the “Attorney Costs” expense line item of the FY22 Termination Budget to fund final administration and operating costs related to terminating the Project Area.
ATTACHMENT 2
REVENUE ALLOCATION AREA MAP
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ATTACHMENT 3
TERMINATION ORDINANCE SUMMARY