HomeMy WebLinkAbout05.C- Community Development RESOLUTION (ID #2485) DOC ID: 2485
CITY OF SAN BERNARDINO—REQUEST FOR COUNCIL ACTION
Agreement/Contract
From: Tony Stewart M/CC Meeting Date: 05/20/2013
Prepared by: Lisa Sherrick, (909) 384-5057
Dept: Community Development Ward(s): All
Subject:
Resolution of the Mayor and Common Council of the City of San Bernardino Adopting the
Census Tracts Comprising the Targeted Employment Areas for the San Bernardino Valley
Enterprise Zone. (#2485)
Current Business Registration Certificate: Not Applicable
Financial Impact:
Account Budgeted Amount: <<Insert Amount>>
Account No. <<Insert Account No.>>
Account Description: <<Insert Account Description
Balance as o£ <<Insert Date>>
Balance after approval of this item: <<Insert Amount»
Please note this balance does not indicate available funding. It does not include non-encumbered
reoccurring expenses or expenses incurred,but not yet processed.
There is no fiscial impact, only inkind donation of time by the Administrative Analyst II in the
Comminity Development Department.
Motion: Adopt the Resolution.
Synopsis of Previous Council Action:
On August 21, 2006,the Mayor and Council approved a Memorandum of Understanding among
the Cities of Colton and San Bernardino, the County of San Bernardino, and the Inland Valley
Development Agency("IVDA"), as parties to the San Bernardino Valley Enterprise Zone
("SBVEZ").
On January 22, 2008, the Mayor and Council authorized the submittal of a boundary
modification to Housing and Community Development("HCD")to modify the original SBVEZ
application boundary. The boundary modification, along with HCD's conditions of approval,had
to be approved by HCD prior to the signing of the Memorandum of Understanding("MOU")
with HCD to obtain final designation of the SBVEZ.
On November 17, 2008, the Mayor and Council authorized the Resolution approving a MOU
with the HCD to receive final designation for the SBVEZ.
On April 9, 2009, Redevelopment Committee Members Johnson, Baxter, and Brinker
unanimously voted to recommend that the Community Development Commission consider this
action for approval.
Updated: 5/16/2013 by Georgeann"Gigi"Hannaa �
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On April 14, 2009, the Mayor and Council approved the proposed Targeted Employment Area
("TEA")boundries for the SBVEZ.
Background:
On August 23, 2006, the Inland Valley Development Agency ("IVDA") adopted Resolution No.
2006-05, authorizing the submittal of a multi jurisdictional application to the California State
Department of Housing and Community Development ("HCD") for designation of the San
Bernardino Valley Enterprise Zone("SBVEZ" or"Zone"). Participating jurisdictions include the
City of San Bernardino ("City"), the City of Colton ("Colton"), the County of San Bernardino
("County"), and the IVDA. The SBVEZ will sunset on October 14, 2021.
The SBVEZ is one of 40 existing enterprise zones established by the HCD to encourage
investment, economic growth and job creation in economically distressed areas of the state by
allowing employers to reduce their operating costs by taking advantage of various tax incentives
offered through the Program.
The Employee Tax Credit is the most lucrative incentive for businesses within the Zone.
Employers that hire individuals who meet specific criteria at the time of hire may receive state
tax incentives up to $37,440 over a five-year period. This criterion includes,but is not limited to:
• Dislocated workers
• Disabled individuals
• Veterans
• A person eligible for, or a recipient of, Public Assistance
• A Native American or a member of another group of Native American descent
• A resident of a Targeted Employment Area
Targeted Employment Areas ("TEAs") are areas within a city and/or county comprised of census
tracts with at least 51 percent of its residents at low- or moderate-income levels. Since inception
of the program, census data was derived from the 10-year U.S. Census. On November 13, 2012,
the HCD released Management Memorandum 12-03 (Exhibit A) stating census data necessary to
update TEAs will now be compiled using the United States Census Bureau's Annual American
Community Survey Five Year Averages.
The HCD compiled a list of new tracts to comprise TEAs for each zone. The list includes tracts
with boundaries within the jurisdictional area of the City of San Bernardino, as well as any
segment of a tract that shares its boundaries with another participating agency. The revised list
eliminates 11 tracts and adds 41; a breakdown by jurisdiction is identified in Exhibit B. A map of
the new TEAs by ward is attached for your reference (Exhibit Q.
Enterprise zones are required to update their TEAs within 180 days of new census data becoming
available. The revised tracts were received in December, thus requiring each agency in the
SBVEZ to adopt the revised TEA before May 30, 2013. In following years, if no changes are
necessary the Zone can send a letter to the HCD stating that no boundary changes are required.
Staff recommends approval of the attached Resolution authorizing adoption of the designated
eligible census tracts as San Bernardino Valley Enterprise Zone Targeted Employment Areas.
Updated: 5/16/2013 by Georgeann"Gigi"Hanna'
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2485
City Attorney Review:
Supporting Documents:
Resolution (PDF)
ManagementMemo 12-03 Exhibit A (PDF)
Copy of TEA Data Exhibit a to Resolution(Exhibit B to Staff Report) (XLSX)
ExistingNewTeas Wards Exhibit C (PDF)
Updated: 5/16/2013 by Georgeann"Gigi" Hanna Packet Pg. 82
1 RESOLUTION NO.
2 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF
SAN BERNARDINO ADOPTING THE CENSUS TRACTS COMPRISING THE
3 TARGETED EMPLOYMENT AREAS FOR THE SAN BERNARDINO VALLEY
4 ENTERPRISE ZONE.
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WHEREAS, the purpose of the San Bernardino Valley Enterprise Zone (SBVEZ)
6 program is to stimulate business and industrial growth in depressed areas of the State of
7 California by providing monetary incentives to businesses that create economic activity within
the SBVEZ and relaxing regulatory controls that impede private investment; and
8 WHEREAS, on August 23, 2006, the Inland Valley Development Agency ("IVDA")
9 adopted Resolution No. 2006-05, authorizing the submittal of a multi jurisdiction application
to the California State Department of Housing and Community Development ("HCD") for a`
10 designation of the San Bernardino Valley Enterprise Zone ("SBVEZ"), with identified
11 jurisdictions including the City of San Bernardino ("City"),the City of Colton, ("Colton"),the E,
County of San Bernardino ("County"), and the Inland Valley Development Agency("IVDA") c
12 (individually referred to as"Party" and collectively referred to as the"Parties"); and E
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13 WHEREAS, the HCD issued the SBVEZ final designation status on March 5, 2009,
14 with a retroactive effective date of October 15, 2006; and
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15 WHEREAS, upon designation, Parties within the Enterprise Zone are required to co
16 identify,by Resolution, Targeted Employment Areas for each entity in the Zone; c
17 WHEREAS, Targeted Employment Areas (TEA) are areas within a city are identified o
by the 10-year U.S. Census as being composed solely of those census tracts designated by the
18 HCD as having at least 51 percent of its residents of low-or moderate-income levels; and
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19 WHEREAS,the purpose of a TEA is to encourage businesses in an enterprise zone to s
20 hire eligible residents of certain geographic areas within a city and/or county.
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21 WHEREAS, on November 13, 2012, the HCD released Management Memorandum
12-03 stating that rather than utilizing 10-year U.S. Census data, the HCD will now recognize
22 averages from the annual American Community Survey, redefining the process of identifying
23 TEAs,and providing updated date for each zone; and
24 WHEREAS, within 180 days of updated data becoming available, each local
governmental entity of each city, county, or city and county that has jurisdiction of an
25 enterprise zone shall approve, by resolution or ordinance, boundaries of its targeted
26 employment area reflecting the new census data; and
27 WHEREAS, it has been determined that accepting the new TEAs is in the best
interest of the City of San Bernardino and all Parties of the San Bernardino Valley Enterprise
28 Zone; and
Packet Pg.83
1 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF
2 SAN BERNARDINO ADOPTING THE CENSUS TRACTS COMPRISING THE
TARGETED EMPLOYMENT AREAS FOR THE SAN BERNARDINO VALLEY
3 ENTERPRISE ZONE.
4 WHEREAS, each of the Parties shall adopt by Resolution the TEAS specific to their
5 jurisdictional boundaries within the zone.
6 NOW, THEREFORE, BE IT RESOLVED, FOUND AND DETERMINED THAT
7 THE MAYOR AND COMMON COUNCIL HEREBY RESOLVES:
8 SECTION 1. The Recitals contained herein are true and correct and are incorporated
herein by this reference. _
9 M
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SECTION 2. The City of San Bernardino approves the Targeted Employment Areas 4
10 within the SBVEZ, attached hereto as Exhibit A and made a part hereof by this reference, and
11 authorizes the execution thereof by the Mayor and Council. E,
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12 SECTION 3. This Resolution shall become effective immediately upon its adoption. E
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Packet pg.84
1 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF
SAN BERNARDINO ADOPTING THE CENSUS TRACTS COMPRISING THE
2 TARGETED EMPLOYMENT AREAS FOR THE SAN BERNARDINO VALLEY
ENTERPRISE ZONE.
3
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5 I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and
6 Common Council of the City of San Bernardino at a meeting
7 thereof,held on the day of , 2013, by the following vote,to wit:
8 Council Members: AYES NAYS ABSTAIN ABSENT
9
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11 JENKINS a
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19 Georgeann Hanna, City Clerk E
20 The foregoing resolution is hereby approved this day of ,2013. a
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22
Patrick J. Morris, Mayor
23 City of San Bernardino
24 Approved as to form:
25 JAMES F. PENMAN,
26 City Att rney
27 By.
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Packet Pg.85
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STATE OF CALIFORNIA-BUSINESS,TRANSPORTATION,AND HOUSING AGENCY Edmund G.Brown Jr.,Governor
DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT
DIVISION OF FINANCIAL ASSISTANCE
1800 Third Street,Suite 390
P.O'Box 952054
Sacramento,CA 94252-2054 is
(916)322-1555
FAX(9 16)319-8479
Enterprise Zone Program MANAGEMENT MEMORANDUM
Memorandum Number 12-03
Date: November 13, 2012 a
TO: All G-TEDA Administrators E
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From: John Nunn, Jr. E
Enterprise Zone Program Manager w
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SUBJECT: Targeted Employment Area Compliance
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The statutes governing the Enterprise Zone Program require that each zone update its Targeted Q
Employment Area (TEA) within 180 days of new census data becoming available. The Department
has determined that the census data necessary to update TEAs, in accordance with the relative w
statutes, will be available in December using the United States Census Bureau's American
Community Survey Five Year Averages.
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The section of the code which refers to this requirement is copied below:
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§7072 (i)(4)
(A)Within 180 days of updated United States census data becoming available, each local governmental entity
of each city, county, or city and county that has jurisdiction of an enterprise zone shall approve, by resolution or
ordinance, boundaries of its targeted employment area reflecting the new census data. If no changes are
necessary to the boundaries based on the most current census data, the enterprise zone may send a letter to
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the department stating that a review has been undertaken by the respective local governmental entities and no E
boundary changes are required
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In response to requests and in order to assist the local enterprise zone jurisdictions, the
Department will compile a spreadsheet of all qualifying census tracts, by county, within the State
of California. A sample of the spreadsheet, using data from the American Community Survey Five
Year Averages for the years 2005 - 2010, can be found on our website.
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Packet Pg. 86
5.C.b
As per the statute's requirements, each of these census tracts has been determined by the United
States Department of Housing and Urban Development to have at least 51 percent of its residents
at or below low or moderate income levels.
Only those census tracts within the boundaries of the jurisdiction(s) governing an enterprise zone
may be included in a TEA. Where a census tract is shared between a jurisdiction which is a
participant in the enterprise zone and a non-participant jurisdiction, only those areas within the
participating jurisdiction may be included in the TEA.
Creating a TEA
To establish a TEA for your enterprise zone, select the qualifying census tracts which are solely or
partially within the boundaries of the jurisdiction(s) governing the zone and list them sequentially,
from left to right, in the Excel Census Tract Template provided. Those tracts which are only a
partially within the boundaries of a participating jurisdiction should be identified with an asterisk C
(*) E
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Compile a list of street ranges corresponding to the selected census tracts and submit the listing E
using the TEA Street Ranges template provided by the Department. Only addresses that are w
entirely within the boundaries of the governing jurisdiction(s) of a zone should be included in the 0)
TEA Street Range listing.
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Your TEA approval request package must include a census tract map, a listing of partial and co
complete census tracts, and a street range listing. Electronic templates for the qualified census
tract listing, street ranges and other helpful information may be accessed from the HCD website at Q
http://www.hcd.ca.gov/fa/ez/.
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Please contact program staff or myself should you have any further questions. o
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Packet Pg. 87
Exhi
TEA's
Existing Tract Number New Tract Number Number of Vouchers Jurisdiction
38.03* City of San Bernardino
41.01 City of San Bernardino
County of San Bernardino
41.03 City of San Bernardino d
County of San Bernardino a
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41.04 City of San Bernardino
County of San Bernardino 0
42.01 42.01 42 City of San Bernardino Q-
42.02 42.02 29 City of San Bernardino W
43.01* City of San Bernardino o,
County of San Bernardino
43.02* City of San Bernardino
CO
County of San Bernardino It
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44.01 44.01 28 City of San Bernardino
44.02 84 City of San Bernardino 0
44.03 City of San Bernardino
44.04 City of San Bernardino v
45.05 City of San Bernardino Cn
0
County of San Bernardino m
45.07 City of San Bernardino
County of San Bernardino x
45.1 City of San Bernardino w
46.01 46.01 70 City of San Bernardino 0
46.02 80 City of San Bernardino 0
46.03 City of San Bernardino
46.04 City of San Bernardino 0
47 37 City of San Bernardino
48 19 City of San Bernardino
49 95 City of Colton w
City of San Bernardino
50 19 City of San Bernardino °
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51 51 48 City of San Bernardino h
52 52 14 City of San Bernardino 0
53 53 37 City of San Bernardino 0
54 54 53 City of San Bernardino v
55 55 48 City of San Bernardino
56 56 68 City of San Bernardino E
57 5 City of San Bernardino
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57.01 City of San Bernardino a
58 58 35 City of San Bernardino
59 4 City of San Bernardino
Racket°Rg,98
Exhi '-
60 22 City of Colton
City of San Bernardino
61 61 48 City of San Bernardino
County of San Bernardino
62.01 23 City of San Bernardino
County of San Bernardino d
62.02 53 City of San Bernardino a
County of San Bernardino
62.03 City of San Bernardino E,
County of San Bernardino —°a
62.04 City of San Bernardino W
County of San Bernardino
63.01 63.01 23 City of San Bernardino
County of San Bernardino
63.02* City of San Bernardino N
County of San Bernardino
64.01 64.01 9 City of San Bernardino a
County of San Bernardino
64.02* City of San Bernardino
65* City of San Bernardino CO
County of San Bernardino °
CD
City of San Bernardino
72* County of San Bernardino x
73.03* City of San Bernardino w
74.07* City of San Bernardino 0
41
74.08* City of San Bernardino 2
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74.1* City of San Bernardino
76.01* City of San Bernardino 0
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City of San Bernardino
108.02 108.02 14 County of San Bernardino
124 City of San Bernardino w
County of San Bernardino
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The highlighted tracts will no longer exist under the new guidelines W
*These are partial tracts that cross between participating and non-participating jurisdictions G
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