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HomeMy WebLinkAboutR01-Redevelopment Agency RE~ELOPMENT AGENCY.~UEST FOR cCMMISSION/COUNCIL AcQoN from: R. E. Goblirsch, Deputy Director Qt: Redevelopment Agency Date: May 1, 1985 Subject: ENTERPRISE ZONE 12>=/ ~ Synopsis of Previous Commission/Council lICtion: 3-19-85 Approval of application UDder AB 40 3-20-85 & 3-21-85 Review by Ways md Means Coaittee 3-25-85 4-15-85 Council/Commission approved boundaries for the Enterprise Zone. Itell continued md referred to Ways md Mems CoIIImittee. 4-29-85 Item continued and referred to Ways and Means Committee. 5-2-85 . Item continued to meeting of 5/6/85. MAYOR AND roMMON roUNCIL ACXION Recommended motion: . a.) MOVE 1'0 ADOPT RFSOLUTION OF THE CITY OF SAN BERNARDINO DESIGNATING THE AREA roNTAINED IN THE ENTERPRISE ZONE BOUNDARIES TO BE A DEPRESSED AREA AND IN NEED OF " DESIGNATION AS AN ENTERPRISE ZONE IN ORDER TO AT'l'RACX 1'll.IVATE BUSINESS FOR FUTURE ,., DEVEIDPMENT. G1WlTING CERTAIN INCENTIVES IN TIlE ENTERPRISE ZONE, AND AIlTHORIZING APPLICATION FOR DESIGNATION TO BE FILED. COMMUNITY DEVELOPKENT COMMISSION b.) MOVE 1'0 ADOPT RFSOLUTION OF THE COMMUNITY DEVELOPKENT COMMISSION OF THE CITY OF SAN BERNARDINO AIlTHORIZING CERTAIN INCENTIVES FOB. AN ENTERPRISE ZONE, AND AUTHORIZING ANDD DIRECXING STAFF OF THE REDEVELOPKENT AGENCY TO FILE AN APPLICATION FOB. ENTERPRISE ZONE DESIGNATION WITH THE STATE. OF CALIFORNIA. ~~/~ Signature Contact person: Dick Goblirsch Supporting data attached: Phone: 383.5081 Ward: FUNDING REQUIREMENTS: Amount: S Project: Date: May 6, 1985 No edverse Impact on City: Oneil Notes: . Agenda Item No: 7, Ra:QvELOPMENT AGENCY.AO..uEST FOR QMMISSION/COUNCIL AQ.c. c STAFF REPORT Attached for Council and Commission approval is the draft of the preliminary app11cation for the, City's Enterprise Zone. On April 29, 1985, following the Commission meeting, the Ways and Means Committee recommended several. changes to the Enterprise Zone preliminary application. The attached copy 1ncorporates these changes. The only substantial change is on page 4, C. Industrial. Upon approval of the resolutions, staff will submit the final application to the State by the deadline of May 17, 1985. 0335T o o . C) 0 1 2 3 4 S 6 7 8 9 10 11 12 13 14 IS 16 17 18 19 20 21 22 23 24 25 26 27 28 C) c o o o RESOLUTION NO. RESOLUTION OF THE CITY OF SAN BERNARDINO DESIGNATING THE AREA CONTAINED IN E ENTBlU'RISE ZONE BOUNDARIES TO BE A DEPRESSED AREA AND NEED OF DESIGNATION AS AN ENTERPRISE ZONE IN ORDER TO ATTRACT VATE BUSINESS FOR FUTURE DEVELOPMENT, GRANTING CERTAIN INCE IVES IN THE ENTERPRISE ZONE, AND AUTHORIZING APPLICATIO FOR DESIGNATION TO BE FILED. BE IT RESOLVED BY ~E MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AS FOL~OWS: \ SECTION 1. Reci~alB~ \ A. The Mayor and co~n Council of the City of San Bernardino have thoroughly searched the issues involved in establishment of an Enterpri e Zone within the City limits of the City of San Bernardino, and a e satisfied that establishment of an Enterprise Zone will be ben ficial to the City of San Bernardino. B. The Mayor and Common C uncil,' after due deliberation, have found and determined that t e neighborhoods contained within the boundaries of the proposed En erprise Zone are in need of special assistance, and have agre to adopt incentives for the Zone. C. The Mayor and Common Counc 1 have established an . En~erpriBe Zone wherein tax advanta es and other incen~iveB will be used to help stimulate economic d velopment. D. It is an~icipated that the nterprise Zone will preserve existing jobs and create new jobs in he Zone, encourage exis~ing businesses to remain in the Zone ado expand, cause the , . location of new commercial~developmen within the Zone, and in other ways will serve to revitalize t e Zone. SECTION 2. . (a. .) 0 1 C 2 3 4 5 6 7 8 9 10 11 12 13 14 0 15 16 17 18 19 20 21 22 I I 23 I ; 24 I I 25 26 I Ji " ., 27 II C 28 Ii 'I o o o The Mayor and Common COuncil of the City of San Bernardino find and determine that the area contained in the Enterprise Zone boundaries is a depressed area and in need of designation as an Enterprise Zone in order to attract private business for future development. SECTION 3. Incentives. The Mayor and Common Council hereby approve and commit the City to providing those incentives to development within the Enterprise Zone as are set forth in detail in the Application for Enterprise Zone Designation, a copy of which is attached hereto as Exhibit -1-, and incorporated herein by reference. SECTION 4. Filing of ~plication. The Mayor and Common Council hereby authorize the staff of the Redevelopment Agency of the City of San Bernardino to submit an Application for Enterprise Zone Designation to the State of California Department of Commerce, for and on behalf of the City of San Bernardino. I HEREBY CERTIFY that the foregoing resolution was duly adopted by the Mayor and Common Council of the City of San Bernardino at a meeting thereof, held on the , 1985, by the following vote, to day of wit: AYES: Council Members NAYS: ABSENT: CITY CLERK -2- o o o o 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 II I 28 o o The foregoing resolution is hereby approved this , 1985. of Approved as to form: ~C~ C Y A torney o day Mayor of the City of San Bernardino -3- c 0 1 2 3 4 S 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 2S 26 . 27 c 28 o o o RESOLUTION NO. RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO AUTHORIZING CERTAIN INCENTIVES FOR AN ENTERPRISE ZONE, AND AUTHORIZING AND DIRECTING STAFF OF THE REDEVELOPMENT AGENCY TO FILE AN APPLICATION FOR ENTERPRISE ZONE DESIGNATION WITH THE STATE OF CALIFORNIA. BE IT RESOLVED BY THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO AS FOLLOWS: SECTION 1. Reci~als. A. The Redevelopment Agency has been designated as the lead agency in administering the proposed Enterprise Zone program for the City of San Bernardino and for the Redevelopment Agency of the City of San Bernardino. B. The Enterprise Zone as established by the Mayor and Common Council of tbe City of San Bernardino is located predominantly witbin previously adopted redevelopment boundaries. C. The Community Development Commission commits itself to promote economic growth within ~he boundaries of the Zone, and to accomplisb such purpose, bas jointly developed with the Mayor and Common Council, a series of incentives whicb will assure economic expansion within tbe Enterprise Zone. Those incentives are specified in tbe Application for Enterprise Zone Designation to be submitted to the State of California. SECTION 2. Grantin~ of Incentives. The Redevelopment Agency of the City of San Bernardino shall grant within an approved Enterprise Zone those incentives as specifically detailed within the Application for Enterprise Zone Designation, a copy of which is attached hereto as Exhibit -l- and incorporated herein by reference. Said application shall be ~ I submitted on behalf of the City of San Bernardino and on behalf I of the Redevelopment Agency by the staff of the Redevelopment i ( I ~ ii 0 1 C 2 3 4 5 6 7 8 9 10 11 12 13 14 C 15 16 17 18 19 20 21 22 23 II 24 25 26 I I () 27 Ii II 28 o o () Agency. All such incentives shall be used to further the economic development of the Enterprise Zone. SECTION 3. Authorization to Submit A~lication. The staff of the Redevelopment Agency is hereby authorized and directed to file a preliminary application with the State of California Department of Commerce for the purpose of having an Enterprise Zone designated within the City of San Bernardino. The application to be filed is attached hereto as Exhibit -1- and incorporated herein by reference. ADOPTED: Approved as to form: AGENCY COUNSEL By, ~/~ -2- ,I "or. .~-~. -- I. ,! :1 '," o 0 CALIFORNIA DEPARTMErrr OF CO~~RCE ENTERPRISE ZONE ACT AB 1&0 CHAPTER 1&5 . o 'i~ ' .- PRELIMINARY APPLICATION A GENERAL INFORMATION Information provided in the application ~t be typewritten. .One application is aubmitted for each eligible area. A1 APPLICAN'1'(S) Date 1lay 3, 1985 II1 Ci ty (name) City of San Bernardino - C7 County (name) N/A . Cl Joint Application (names) N/A Q \ A2 ,. DESIGNATED CONTACT PERSON Name Richard E. Goblirsch Telephone (714\ 't83-5081 Address 300 North "0" Street, Ropm 320, San Bernardino, CA 92418 NOTE: City's Redevelopment Agency 15 lead agent. EXHIBIT 1 Q ~.'" o o o o c 'B' THE DlDUST1UAL AND BUSINESS GB.0W.rB PLAN * * * o c c o o o B.1. lMPEDIHEIlTS TO GR.0VlH o 1. With the development of the 1-15 Freeway in the late 1950's and the resultant abandonment of Route 66, the designated cODllllercia1 area suffered a predictable decline. Once thriving businesses, motels, service stations and convenience stores, did not survive in the absence of transient tourist dollars, and a liadted local population base prevented a transition to localized neighborhood shopping. As a result, the cOlIIBercial area has become characterized by depreciated property values, structural deterioration and abandonment, non-conforming and incompatible land uses and a general appearance of neglect and disuse. 2. Viable businesses w1thin the commercial area are not distinquishable due to problems of structural age, deferred maintenance, lack of landscaping and signage abuse. 3. Reuse conversion of many existing structures is liadted due to age, costs associated w1th renovation and/or expansion and the scarcity of off street parking. 4. The numerous undeveloped parcels, scattered throughout the commercial area, are subject to the overgrowth of weeds, illegal dumping and rodent infestation. o 5. The relatively low cost of property is offset by costs of demolition and rehabilitation, as well as limitations on reuse and expansion potential. 6. The post Proposition 13 liadtations on municipal revenues and the absence of a focused comprehensive plan for the area have resulted in reduced public expend1tures on needed capital improvements and ma1ntenance, lack of long term pred1ctabi1ity of public services, disfunctional policies, heightened economic uncertainty and a lack of investment incentives. 7. The commercial area is not buffered from adjacent residential neighborhoods. Hence, the condition of housing, generally old and deteriorated, has a direct negative influence on the image and esthetics of the commercial area. In the overall zone, approximately 50% of the housing is deteriorated and/or dilapidated. The average valuation of a single faadly dwelling is $46,000, compared to a City average of $70,000. 8. Highland Avenue, Baseline and Fifth Street, the major east/west streets through the zone, present unsightly gateways to the commercial area. Abandoned structures, deteriorated building facades, lack of streetscaping and a cohesive land use pattern heighten impressions of a high risk area. o o o o o o The cODllllercial area has not been within a redevelopment project, thereby limiting investment incentives otherwise available in the competing cODllllercial areas to the east. 10. The absence of any major commercial tenant, (e.g. supermarket) inhibits efforts to attract and to retain the smaller convenience retailer within the commercial area. 9. 11. The commercial area lacks an identity as a market unit, thereby losing consumer dollars to the competitive edge of clearly identified, active commercial areas and shopping centers. 12. Roughly, a third of the area within the overall zone is reSidentially zoned vacant land. The continued underutilization of this land inhibits the establishment of a population base sufficient in size to demand and support the commercial area. 13. During the past year, two savings and loan associations and a major bank have terminated their branch operations, leaving the cODllllercial area and the major portion of the zone without any banking facilities. 14. Relatively high rates of unemployment and crime, coupled with serious problems of vandalism, grafitti and idle youth enhance the high risk image and poor reputation of the area. Consequently, access to venture capital and long term financing is difficult, if not impossible. 15. A sizeable portion of the industrial area (560 acres) lacks essential infrastucture. In the absence of publiC assistance in the installation of water and sewer lines, streets, flood control facilities and utilities, the area cannot be in a competitive mode for private investment with the various industrial parks throughout the region. The disposition of finished industrial sites within the balance of the industrial area, (210 acres) is impeded by relatively high land costs and the absence of a cohesive marketing strategy. o 16. The overall unemployment rate for the zone is 12.5 percent, with unemployment among black males reaching 16.9 percent. In addition, the drop-out rate among high school youth within the zone is substantially higher than that for the balance of the community. o - 2 - c c c o o o o B.2 LOCAL INCEIlTIVBS: 1. Redevelopment: The City has adopted the Northwest Redevelopment Project which encompasses most of the proposed zone area. As a result, a redevelopment plan for the area is in place, and the Redevelopment Agency, through the provisions for tax increment financing, will be able to provide private investment incentives through funding for land acquisition, clearance, assembly and write-down as well as for off-site improvements and direct business loans. Industrial Development Bonds (IDBs), UDAGs, HODAG and Rental Rehab loans will also be available in the zone. 2. City Rebates: A. Commercial For new and/or expanding business within the designated commercial area of the Enterprise Zone, the City will provide the following rebate incentives during the first three years of the life of each such business: 1. 2. 3. 100% rebate of the utility tax 100% rebate of the business license fee 25% rebate of the water fee - for new businesses only B. An expansion of an existing cODllllercial business shall be eligible for the City benefits only within the designated Enterprise Zone commercial area, as identified on Exhibit C, and if one or more of the following criteria are met: 1. A physical move of an existing business into a new location within the designated commercial area that results in at least a 50% increase of permanent, full-time employees, (or two employees, whatever is larger), within three years, from date of move. 2. A physical expansion of existing facilities which results in at least a 50% increase of permanent, full-time employees (or two employees, whatever is larger), within three years from date of completion of expansion. 3. Said business cannot qualify more than once. Employees hired must be San Bernardino residents and have been on the job for at least nine (9) months. - 3 - c c c o o o o 4. For expanding business located within the designated commercial area, the amount of rebate to be granted will be that amount over and above a base. The base being the amount of taxes the business paid for the past 12 montha prior to the move or expansion. 5. A "new business" is any business which is start-up in nature or an existing business which has relocated to San Bernardino from another area. A business which has been sold, resulting in a change of ownership, will not be considered a new business. C. Industrial For new industrial firms located within the designated industrial area of the Enterprise Zone, the City will provide the following rebate incentives during the first year of operation. 1. 25% rebate of the utility tax. 2. 25% rebate of the business license tax. 3. Fee Waiver: During the first three years of zone designation, for each new and/or expanding business in the designated commercial area, the City will waive all engineering fees, planning fees, building permit fees, and mechanical fees. The City and Redevelopment Agency are not waiving storm drain or sewer fees. - 4. Beautification: Within the eligible area, funds will be granted on a dollar for dollar basis, up to a maximum of $5,000 per building, for improvements to commercial or industrial property. Funds may be used to pay for materials, supplies, and 50% of labor costs for exterior improvements. For improvements exceeding the $5,000, an additional 20% (up to $10,000) may be granted based on need. . 5. Job Linkage: New or expanding businesses, locating within the zone, who agree to enter into a First Source Referral Agreement with the Agency and the Private Industry Council for the hiring of San Bernardino residents for new, entry-level permanent positions, will receive a cash bonus of up to $500 per employee hired under the agreement. Employees will receive referrals from the San Bernardino Employment and training Agency. Businesses located within speCified target areas within the Enterprise Zone, can receive an additional $1,000 per employee hired under the Agreement. The City has approved a start-up budget of $300,000 for this program. - 4 - o o o o c 6. Small Business Loans: The City has established a small business loan progrSlll which makes full or partial loans (with bank participation) for high risk small businesses. The progrSll is funded by the City by charging a 1% fee on IDB's with the fee going into a revolving loan fund. Further, UDAG repayments also are used to fund the revolving fund in addition to CDBG funding. Since its inception, the City has contributed one million to stimulate new businesses in the City. 25% of the 1% IDB development fees will be placed in a separate loan fund to provide working capital for new and/or expanding businesses in the Enterprise Zone. 7. Technical Assistance: The Agency will work with the San Bernardino Area Chamber of Commerce and the local university, cODllllunity college and neighborhood organizations such as Operation Second Chance under the terms of a Memorandum of Understanding (to be developed) to provide technical, management, and financial assistance to small and medium sized businesses located within the zone. 8. ErR Processing: o The Environmental Impact Report for the City's Enterprise Zone shall be in sufficient detail so that any new development occuring within the zone shall be grandfathered in through a negative declaration, thus accelerating the approval process and reducing development cost. 9. Streamlining: The Agency and City will guarantee to reduce review and approval time for developments located within the zone. A staff member will be designated as a contact for developers to assist in speeding the approval process and assuring that the developer has the requisite material submitted. A flowchart specifying departments involved in review, length of review time, elements required, and departmental contacts will be developed and published. The City will correct inconsistencies existing between zoning and the general plan. 10. Incubator Project: The Agency, with the cooperation of the Chamber of Commerce and Economic Development Corporation will provide an incubator project for the creation of new business within the zone. It is intended to utilize an existing vacant building and have the Agency write down the cost to the point where it will assist small businesses to get started. Businesses being assisted will be joined with the job linkage program previously described. c - 5 - o o o o C 11. In-Fill Housing: Agency staff has prepared, and will submit to Council, an in-fill housing program intended to encourage residential development on the several hundred vacant buildable lots in the zone. The program will offer a number of incentives to owners and/or developers to build, such as: Pre-approved construction drawings at a reduced cost Financing at reduced rates Reduced brokerage fees Pre-approved variances when required List of potential and qualified buyers Agency assistance to construct curbs, gutters and sidewalks Waiver of certain fees. 12. Housing Rehab: The Agency will target use of its CDBG housing rehab program for low to moderate income residents, in those residential neighborhoods within the zone with emphasis on those iDllllediately adjacent to the commercial area. 13. Housing Development Financing: o Agency will promote the use of Mortgage Revenue Bond and Industrial Bond financing for residential development within the zone, and will give consideration, under these financing vehicles, to developers proposing multi-family or single family residential projects within the zone. 14. Demolition: The Agency will concentrate use of its CDBG funded demolition program within the zone. 15. Land Database: The Agency, in concert with the State University, will develop and maintain a database on all available land within the zone. Information will include: size, ownership, value, zoning, use, location and tax information. o - 6 - c o c c o o o 16. Capital Improvements: The City's Capital Improvement Program for the period 1984/85 to 1988/89 includes a number of projects that are currently in construction or planned for construction in the Enterprise Zone area. The capital improvement plan is reviewed on an annual basis. Following is a list of projects by the seven (7) general construction categories icluded in the capital improvement plan: General Buildings $1,752,339 Streets/Street Lighting $334,200 Sewers $2,429,800 Storm Drains $2,970,000 Traffic Control $323,000 Street/Recreational $83,500 Parks & Recreational $960,775 The grand total figure for the capital improvement projects planned for construction within the Enterprise Zone is $8,853,614. 17. Parking Relief: The City will grant relief from parking and set back requirements within the cODllllercially designated area of the zone on a case by case basis. 18. Retail Food Market: The City and Redevelopment Agency have identified a viable site for the location of a supermarket. The City and Agency will assist in marketing the site and to provide financial incentives e.g. land acquisition, assembly and write down as well as off site improvements; job linkage, as necessary to secure a prime retail food market user. 19. Crime Prevention: The City has recently established eight police sub-stations with three located within the zone and is initiating a neighborhood crime watch program. Sixty additional Policemen have been hired. The City has experienced an 8% crime reduction this year and will continue their committment to further reduce crime. 20. Education: The City, through its CDBG program, has committed up to $100,000 for planning and implementation of a program aimed at reducing the school dropout rate. - 7 - C INCENTA BY LAND VSE CAGo..y 0 COMMERCIAL INDUSTRIAL HOUSING C lle4evelopaent . . . Tax Incr_t . . . x.D4 AcqubitiOD . . . C1earaace . . . Asa_bl,. . . . Write cIcnm .. . . blocatiOD . . . Offait.. . . . LoaDs . . . IDJa . . . lJDAG'. . . .- City bbatea (Taraet. Area 0111,.) . . K/i.. Pee Waiver . H/'- H/A "aut1fieatiOD (Taraet. Area 0111,.) . . H/A Job T.h,lr_.e . . H/A C Small Busineaa LoaDs . . H/A Technical Aasiataace . . H/A ... Ell. Proceaaing . . . Stream11n1ng .. . . Incubator . . H/A In-Fill HO\lBing . (abed aae) H/'- . Houaing bhab. . (aized aae) H/A . Housing Develop. Pinm. . (mud \lBe) H/'- . Deaol1tiOD . . . Data llaDIt . . . Capital Iaprov_ta . . . Parking aellef . . . aetall Pood Harket . . . Crl.. PreventlOD . . . EdueatlOD . . . c Legend: . '-vailab1e H/'- Hot Available 7a. c c o c o o o B. 3 EFFICACY OF INCENTIVES 1. Redevelopment Since the Enterprise Zone is located within a redevelopment project area, it will benefit from the existing redevelopment plan which governs property maintenance, landscaping and signage standards. Through the provisions of the increment financing, the Agency has the ability to finance the installation of necessary infrastucture in the 560 acre industrial area, thereby enabling the marketing of industrial parcels at competitive prices. Agency assistance will be provided, as needed, to assist in the development of 2 major food markets, including land cost write-downs and infrastructure improvements. In addition, these financing tools will be utilized as needed to encourage and provide incentives to businesses developing in the balance of the commercial area and to assist the Community Hospital with its plan to rebuild and expand into two new medical office buildings. The City has combined its redevelopment, community development and housing programs under one department. Thus, all necessary legal, financial and staff resources are coordinated, resulting in a more efficient zone administration. 2. City Rebates and Fee Waiver This incentive will help reduce direct development and start up costs for new business ventures within the commercial and industrial designated areas of the zone. 3. Beautification Under this program, the provision for $5,000 in matching grants will be used to correct problema such as unsightly cODllllercial building facades, unsightly wooden and chain link fences, poor signage, landscaping and the blighted appearance of the area. 4. Job Linkage This program provides multiple benefits through its cash bonus inducement. The private sector will be able to take advantage of on-the-job training funds to train and hire unemployed zone residents for new jobs created within the zone. By targeting the maximum bonus to key areas, the Agency can assure that the most depressed areas receive maximum benefits. - 8 - c c c o o o o 5. Small Business Loans This program will provide, in part, the necessary risk venture capital and long term financing so desperately needed by small businesses proposing to develop in the zone. In addition, this program will provide the necessary infusion of operating capital for expanding businesses in the commercial area. 6. Technical Assistance Implemention of this program will result in the training of existing as well as new small business ventures in proper accounting procedures, tax preparation, business plan development and business management. This will help reduce the number of business closures and help assure the continued success of the many small businesses currently located or planning to locate in the area. 7. EIR Processing This program will assist every new development locating within the zone by expediting processing time, saving pre-development costs and creating a pro-business atmosphere. 8. Streamlining It is anticipated that this incentive will reduce processing time of any major development through City departments by 50-75%, or approximately three weeks, thereby reducing preliminary development costs. 9. Incubator This program will provide employment opportunities for area residents (est. 10 incubator businesses, 100 jobs) through assistance to viable start up businesses by reducing rent, providing common office support, technical assistance, flexible space and lease agreements. The program will also assist in the occupation and upgrading of existing vacant industrial andlor commercial buildings. 10. Infill housing, housing rehab, housing development financing Through the active marketing and implementation of the infill housing, single family mortgage revenue bond and multi-family Mortgage Revenue Bond financing programs, the Agency will correct the impediment of a 33% vacancy rate in the residential area. The single family rehab and multi-family rental rehab programs will address the dilapidated conditions of many of the owner occupied and rental structures. The programs will create construction jobs and increase the population base necessary to support commercial activities. _ 0 _ o o o o ell. Demolition This program will help eradicate the problem of vacant and abandoned substandard structures within the zone, thereby eliminating detractive nuisances and blighted structures within the area. 12. Available Land The proposed data bank informaton will, as a follow up to the marketing program, be sent to prospective businesses. The Redevelopment Agency and the EDC have already established a marketing program and follow-up procedures (including paying potential business travel and accoDllllodation costs) . The creation of a computer based data bank will expand the program by sharing more timely information with the local real estate community and out-of-city prospective users. The final result will be an accurate and timely data base of available sites, matched to specific user needs. 13. Capital Improvement The five year program to upgrade public facilities will resolve several impediments in the area. It will bring employment opportunities to residents and suppliers located within the zone and correct long standing public improvement deficiencies which have lead to the deteriorated appearance of the area. It will further provide evidence to the business community the city's firm commitment to create a healthy business environment. c 14. Parking Relief Granting of variances for parking and set-back requirements will materially assist small businesses in locating in or expanding within the existing built-up commercial area. Due to the parcel size and lot coverage, the blanket application of current parking standards would restrain many viable businesses from locating or expanding in the commercial area. The City's intent to review variances on a case by case basis, rather than imposing a blanket variance or waiver, is in of itself, a commitment to provide assistance to achieve the equally desired goal of up-grading the entire zone. 15. Retail Food Market The successful development of this anchor tenant will attract satellite convenience stores, generate increased consumer volume and generally stimulate economic growth in the area. c - 10 - o o o o o 16. Crime Prevention The continuation of the police substation and Neighborhood Crime Watch Program will contribute to a reduction in crime within the area and help establish a safe and secure business environment. o c -11- o o o o c 'e' APPLICATION AREA DESCRIPTION * * * c c o o o o o o o e.l CENSUS TRACTS AND BOlJ)IMDTR$ Census Tracts are identified on Exhibits A and B. They include Tract Numbers 42, 47, 48, 49, 57, 56, 55 and 41 per the U.S. Census. Boundaries are identified in Exhibit C and encompass the following: Area A Beginning at the intersection of 2nd Street and D Street; thence west to E Street; thence North to 5th Street (including Andreson Bldg., H Bldg., and old Woolworth Bldg.); thence west to 1-215; thence south to R1alto Avenue; thence west to Mt. Vernon Avenue; thence north to 4th Street; thence west to the southerly prolongation of Herrington Avenue; thence northerly along said prolongation of Herrington Avenue to 9th Street; thence west to Lytle Creek Wash; thence northerly along Lytle Creek Wash to Highland Avenue; thence east to 1-215; thence south to 13th Street; thence east to D Street; thence south to the point of beginning. Area B Beginning at the intersection of 1-215 and 16th Street; thence northwesterly along 1-215 to 24th Street; thence west to Muscott Avenue; thence north to Cajon Blvd.; thence northwesterly along Cajon Blvd. (including industrial area) to California Street; thence northwesterly along city limits to 1-215 and Palm Avenue; thence southwesterly along 1-215 to Highland Avenue; thence east to Crosstown Freeway (Highway 30); thence south to point of beginning. Area C Beginning at the intersection of Mt. Vernon Avenue and 4th Street; thence west to the southerly prolongation of Herrington Avenue; thence northerly along said prolongation of Herrington Avenue to Highland Avenue; thence east to the Amtrak and Santa Fe right-of-way; thence southerly along said right-of-way to Turrill Avenue; thence south along Turrill Avenue and its prolongation to the easterly prolongation of 4th Street; thence west to the point of beginning. NOTE: All descriptions above shall include properties abutting both sides of the right-of-ways. - '2 - o c o o o o o C.2 STATEMENT FOR APPLICATION AREA The applicant hereby certifies: 1. That the area designated complies with Section 5603(c) of the regulations. a. The average rate of unemployment for 1980 was 5.64% or higher per 1980 census data and; b. The percent of persons below the poverty level in 1980 was 12.4% or more per the 1980 census data. 2. That the application consists of one commercial area and one industrial area. As shown in Exhibit "A", the commercial area is within the eligible Enterprise Zone area as designated by the State's Department of Commerce and has continuous boundaries. As shown in Exhibit "A", the industrial area is within the eligible Enterprise Zone area as designated by the State's Department of Commerce and has continuous boundaries. Commercial The commercial area was selected after several workshops with City Council and key neighborhood and community leaders. After several other sites were analyzed, final decision was to select a commercial strip in zone that needed the most assistance due to numerous problems such as vacancies, lack of parking, lack of working capital and market incentives. Area is approximately 150 acres and maximum City incentives are only available for commercial business in this targeted area. Industrial The industrial area was originally selected in 1983 as part of the City's business Development Zone, prepared in anticipation of Enterprise zones. The 1983 area contained the industrial and much of the residential commercial area designated in this Enterprise Zone application and subsequent designated City-adopted redevelopment plans. The planning process by City and cODllllunity groups to designate the targeted industrial area took months of effort, after which there was general agreement that the areas close proximity to west side zone residents would achieve maximum job creation benefits. The designated area was zoned industrial as well as being part of two redevelopment plans. Therefore, its size and boundaries are considered reasonable. Due to a complete lack of infrastructure however, the vacant undeveloped area will need maximum public aid to ensure its success. _ 1"2 _ c o c C.3 NOT APPLICABLE ~ o - 14 - o o o o o 0785L c o o o C.4 DESCRIPTION OF LARGER BUSINESSES AND RESIDENTIAL All.EAS WITHIN THE APPLICATION AREA A list of "larger, stable businesses is attached.. seasonal, and all have established unemployment resources and rating experience. None are insurance The residential areas are shown on the attached zoning maps (Exhibits "D", "E" and "F"). The City has historically recognized the area contained in this application as the most economically depressed area of the City; according to the census date, the proposed area contains the most blight, highest unemployment, lowest incomes, highest school drop out rates and crime rates. City records indicate the majority of CDBG funds have been spent in this area (80%), and that the zone encompasses five (5) separate adopted redevelopment project areas which meet the State definition of blight. Final correction of problema contained in the proposed zone will allow the City to use its limited resources to correct smaller pockets of economically or distressed areas elsewhere in the City. For a general description of problems contained in the zone, please see Impediments section. - 15 - o c o c o o o D4 U.TTACBMEt."TS) Enterpri.e Zone BOI1nc!arle. a. designated by State City'. Iropo.ed Zoae....................................Ezh. A Clt,. of San Berardino Censu. Tract. City'. Propo.ed ZODe....................................lsh. B Designated Industrial and eo-erclal Enterprise Zoa..........................................Ezh. C Ez1.tlDa ZODiD& Map.........................................Ezh. D Izl.tiaa Laud Va. Kap.................:.....................Izh. E MediaD 1Dco.e for ...ldeDt1a1 Area..........................Izh. p Larae lDdllBtr,y'. - 100 or More E.plo,.ee.....................~ G Applicatlon for 1ll.........................................Ezh. B lte.olut1ODB : Cit,. lle.olutlOR De.ignating EnteEpri.e ZODe.................Ix~ I Agency Ile.olutlons Mopting Agency lDcelltly................lxh. J .. , .. -.__ .E'I. H I JH T A o o , :...... I ..- I I "/ ; II: c SAN BERf~,~RDINO CCITY OF & ErlVIRD:IS) I Ii l! ::::::;~IIIIIIII!IIII!llllllr ! t .... - - o " II .. f II < i ;.\ , " . . II " - I. .. Ii I I 11: ! ! - II II . ~ , II . I :.:.: .}~~f~ :ifj~j!~~1~@~1~~ = ~- I II . "" . .' ,M' c :: . I I -.. ~ ~ ?.. -:J E1t\ I '!II 'l> o CITY OF SAN BERNARDINO Census Tracts 1980 1 _ (",.. ....'t ? , ''.,! .-. ~__I I L__, t___, L, r-' I , I I ----\.. 101 45 {e r'--.., I I I I , . _J--, . L_____-, : 101 I . 't ---, ____J _r-....~, 74.01. .. 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'I'd -'- '''- .: ".........i~~ Illi+1r J -. i\of"~ t..... f}!. -::- ... rt].. ., I~~ ~; : ~~, I - - ~ OF SAN BERNARDINO Census Tracts 1980 MeP/AN INCOMe ~~ 1~60 aN~lJ~ IN~MAl1ctl ~~ 1'l2'A&,of ~ ., ~ IO,~~ .~ Ao . CITY . . - (.,~-- "'l , " I ........! m_\ -. .... ~__I I L__, t___, L.i r-' I , , , {e ...---, . L_____-, : 101 , . . .._-, ____J .~" ... "., ,'-,1 ; I ..;~-} .. ~ as L"- '" . -, L~ --- , I , , " ....... l , .- I 2:' . -'. ,74.0 . r-' .. . I 176 I .. , .. , -", .J. p' l'\ 'wi lila' . 77 r'" , . ' . ea... r---"\ r- ...' ... "'..... .. r__ .J 72 : . r--J ....---, . ---'0 LOS ANIlLIS . ,"., IINI.II 1 ,.. [OLAND>> .LYD , 73: .' " po--.... , I , I . - - - --, I I ro' 71 !...!, . .,' , t..---' ........' l I I I I I I I I I ~ . .. ! I .. . c o , o o t,"""bIT G c SURVEY OF ENTERPRISE lONE BOUNDERIES Employers with 100 or IIOre Employees COMPANY STREET ADDRESS lIP TELEPHONE NUMBER OF EMPLOYEES J. Bank of Amerlce 303 North -Oil Street -------~----------------------~----------------------------------------------------------- SOD 2. The Sun/U.S.A. Todey 399 North -0- Street ------------------------------------------------------------------------------------------ 500 3. Generel Telephone (Tnls includes the totel number of employees of all four locetlons 660 North -E- Street 799 North -E- street . . 1796 North . I - Street Centrel City Mill 92410 383-6242 206 92401 889-9666 884-4264 112401 112401 112405 4. Peclflc Sevings Benk (Includes employees at Pleza Branch] 701 North -E- Street ------------------------------------------------------------------------------------------ 170 112401 889-0231 ------------------------------------------------------------------------------------------ , 5. Sante Fe Railway 1170 West 3re1 Street 112410 884-2111 2,300 --- Senta Fe ReUwey Shops . 470 North L Sloreet 92410 884-3733 650 ------------------------------------------------------------------------------------------ O. Adelpnl Business 798 West 4tn Street 112410 381-6565 100 School 7., Conmunlty HospItal 1,050, 1500 west 17th Street 92411 887-6333 8. Crest ChevroJ~ 1109 west 21st Strget ----------------------------------------------------------------------------------------- 110 112405 883-8833 ------------------------------------------------------------------------------------------ . I. A.T.T. Conmunicltions 455 West 2nd Street (they ere not permitt- ed to give exect num- uer Of employees) 1124Ul 884-6441 100+ ------------------------------------------------------------------------------------------ o o . c c 0 0 EV.HJ'!.ITO H r- CITY OF SAN BERNARDINO PLANNING DEPARTMENT ~ ENVIRONMENTAL REVIEW COMMITTEE PRELIMINARY ENVIRONMENTAL DESCRIPTION FORM r- "'I A. GENERAL INFORMATION 1. Appl1cant/Deve1oper 2. Contact Person Redevelopment Agency-City of San Bernardino Individual's/Firm's Name Name Glenda Slul 100 N. D Street Room 120 Street Address 300 N. D Street Room 320 Street Address San Bernardino. CA City State 92lilB Zip San Bernardino, CA 92lilB City State Zip 3. Address/General Location of Project SEE ATTACHED 4. Assessor'& Parcel Number(s) SEE ATTACHED s. Description of Project EnterDrtse Zone: p".pl"~:II..tn" n' a t:+lltfy an"tY7ing land uses within the Enterprise Zone and culminating on a business and Indus~rlal arowth plan. B. PHYSICAL SITE 6. Indicate any unique topographic features prior to any grading: Nnn_. Ar_~ Ie gp-n_rAl1 ftAt with th@ ex~eDtton of Little Htn. 7. Describe the general type and extent of development within one-quarter (~) mile of the project: R~~ld~n~lal. commercial. Industrial. admlnistratl Drof~s!iionRll puhlir And v.~.I!Int land uSes. The Droiect Is located on an older. urbanized section of the city. and development Is reflective of this. '-.: ~ EIlC. FORIII I "AGE I Of 4 c c c o o o o ~ .., C. FLORA AND FAUNA u. 8. List types of vegetation and trees in project area: Ind;a~nous flOrA has been displaced by urbanization. Existing vegetation consists of species used in tVDical urban lAnds~aD@s. 9. List types of wildlife found in project area: Fauna Is also reflective of urban uses: domestic dOQS and cats. various birds. and rodents. 10. Types of wildlife to be displaced by the project: Vacant lots mav hp- dev eJoDed thereby dlsDl.ctna rodents. D. LANDFORM U. If appliCable, estimate cubic yards of grading involved in project: cut . N/A fill . N/A 12. Maximum height and grade of constructed slopes: N/A 13. Methods used to prevent soil erosion in project area: N/A E. PROJECT DEVELOPMENT 14. Zoning 15. General Plan Designation: General Commercial, Multiple Family a. Present MJv."" Residential. Admlnlstratlve-Profes- lonal, Llghf Industrial, and Educa- b. Proposed Not known at this time tlonal. 16. Present Land Use: Residential. admlnlstratlve-orofesslonal. commercIal. Industrial, public, and vacant. 17. Site Area: S~II!! Attat":led 18. No. of Units:to be determined 19. Parking Provided Appropriate parklnQ requirements and Implementation measures to be determined by the Environmental Impact Report. 20. Surrounding Land Uses/Zoning: Land Use Zoninlt North: * -- * South: * * East: * SEE ITEM B 17l ABOVE * West: * ~ * ~ MAy 'II lAC. 'ORM . .Q 0 ,. c'" F. ARCHAELOGlCAL/HISTORlCAL . 21. Is there any known archaelogical or historical aignificance of the site area or within Is lIlile from the proposed site? If ao. explain: No.known archleloglcal slte(s) present wIthIn the area. Presence of hlstorlce structures/sites has not been determlnea, however, some olaer. turn OT tne . century structures are located wtlhln the project and wIthIn a 1/2 mile radius . G. HUMAN SAFETY POTENTIAL 22. Will the project produce silnif1cant increa.es in either noise levels, dust, odors, fumes, vibration, or radiation either during construction or when completed? Explain: Some Increase durIng the development stege; Impacts are unknown at thIs tIme but wIll be addressed In the Draft EnvIron- mental Impact Report. B. FACILITY AND SERVICE IMPACTS * 23. If applyinl for a Conditional Development Permit, Tentative Subdivision Map or Change of Zone, describe: a. Distance to nearest municipal facility from project: 1. Fire S. . Libral'7. 2. Police 6. Sewer 3. Schools 7. Watar 4. Pa!'ks 8. Flood Channel b. How will the proposed project disrupt or affect the capabilities of the following services and facilities: vater suppl,.. sewage disposal, solid waste disposal. electrical power, natural la. and telephone: * Number 23(a) and (b) to be addressed In the Draft EnvIronmental Impact Report. J o Q o o c r o o o .... C> I. MITIGATION MEASURES (Attach additional sheets, if necessary). Describe type and anticipated effect of any measures proposed to mitigate or eliminate potentislly significant adverse environmental impacts: Appropriate mitigation measures will be provided In Draft EIR o c UY'aI J. CERTIFICATION 24. I hereby certify that the statements furnished above and in the attached exhibits present the data and information required for this initial eval- uation to the best of my ability, and that the facts, statements, and information presented are true and correct to the best of my knOWledge and belief. April '. 1qal; Date ~ 7? . - - Signatur For R~d~v~lnpment AQ~n~y- r.tty nf ~~n Rprn~rd Q ~ E.!LC. 'ORM . "AU. tv. 0 1 0 2 3 4 5 6 7 8 9 10 11 12 13 14 0 15 16 17 18 19 20 21 22 23 24 25 26 27 C 28 o o o RESOLUTION NO. RESOLUTION OF THE CITY OF SAN BERNARDINO DESIGNATING THE AREA CONTAINED IN THE ENTERPRISE ZONE BOUNDARIES TO BE A DEPRESSED AREA AND IN NEED OF DESIGNATION AS AN ENTERPRISE ZONE IN ORDER TO ATTRACT PRIVATE BUSINESS FOR FUTURE DEVELOPMENT, GRANTING CERTAIN INCENTIVES IN THE ENTERPRISE ZONE, AND AUTHORIZING APPLICATION FOR DESIGNATION TO BE FILED. BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS: SECTION 1. Reeitals. A. The Mayor and Common Council of the City of San Bernardino have thoroughly researched the issues involved in establishment of an Enterprise Zone within the City limits of the City of San Bernardino, and are satisfied that establishment of an Enterprise Zone will be beneficial to the City of San Bernardino. B. The Mayor and Common Council, after due deliberation, have found and determined that the neighborhoods contained within the boundaries of the proposed Enterprise Zone are in need of special assistance, and have agreed to adopt incentives for the Zon,. C. The Mayor and Common Council have established an Enterprise Zone wherein tax advantages and other incentives will be used to help stimulate economic development. D. It is anticipated that the Enterprise Zone will preserve existing jobs and create new jobs in the Zone, encourage existing businesses to remain in the Zone and to expand, cause the location of new commercial development within the Zone, and in other ways will serve to revitalize the Zone. SECTION 2. Finding and Determination. EXHIBIT "I" II 0 1 0 2 3 4 5 6 7 8 9 10 11 12 13 14 0 15 16 17 18 19 20 21 22 23 24 25 26 27 0 28 o o o The Mayor and Common Council of the City of San Bernardino find and determine that the area contained in the Enterprise Zone boundaries is a depressed area and in need of designation as an Enterprise Zone In order to attract private business for future development. SECTION 3. Incen~ives. The Mayor and Common Council hereby approve and commit the City to providing those incentives to development within the Enterprise Zone as are set forth in detail in the Application for Enterprise Zone Designation, a copy of which is attached hereto as Exhibit -1-, and incorporated herein by reference. SECTION 4. Piling of Applica~ion. The Mayor and Common Council hereby authorize the staff of the Redevelopment Agency of the City of San Bernardino to submit an Application for Enterprise Zone Designation to the State of California Department of Commerce, for and on bebalf of the City of San Bernardino. I HEREBY CERTIFY that the foregoing resolution was duly , adopted by th~ Mayor and Common Council of the City of San Bernardino at a meeting thereof, held on the day of , 1985, by the following vote, to witl AYES: Council Members NAYS: ABSENT: CITY CLERK -2- 0 1 Q 2 3 4 5 6 7 8 9 10 11 12 13 14 C 15 16 17 18 19 20 21 22 23 24 I , 25 26 I 27 I I () 'I 28 I o o o of The foregoing resolution Is hereby approved this , 1985. day Approved as to form: ~/~"' C y A torney .. .1 Ii Mayor of tbe City of San Bernardino -3- C 1 C 2 3 4 5 6 7 8 9 10 11 12 13 14 C 15 16 17 18 19 20 21 22 23 24 25 26 27 C i 28 i I I I I 11 o o o RESOLUTION NO. RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO AUTHORIZING CERTAIN INCENTIVES FOR AN ENTERPRISE ZONE, AND AUTHORIZING AND DIRECTING STAFF OF THE REDEVELOPMENT AGENCY TO FILE AN APPLICATION FOR ENTERPRISE ZONE DESIGNATION WITH THE STATE OF CALIFORNIA. BE IT RESOLVED BY THE COM11UNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO AS FOLLOWS: SECTION 1. Reci~als. A. The Redevelopment Agency has been designated as the lead agency in administering the proposed Enterprise Zone program for the City of San Bernardino and for the Redevelopment Agency of the City of San Bernardino. B. The Enterprise Zone as established by the Mayor and Common Council of the City of San Bernardino is located predominantly within previously adopted redevelopment boundaries. C. The Community Development Commission commits itself to promote economic growth within the boundaries of the Zone, and to accomplish such purpose, has jointly developed with the Mayor and Common Council, a series of incentives which will assure economic expansion within the Enterprise Zone. Those incentives are - specified in the Application for Enterprise Zone Designation to be submitted to the State of California. SECTION 2. Gran~in~ of Incen~ives. The Redevelopment Agency of the City of San Bernardino shall grant within an approved Enterprise Zone those incentives as specifically detailed within the Application for Enterprise Zone Designation, a copy of which is attached hereto as Exhibit -l- and incorporated herein by reference. Said application shall be submitted on behalf of the City of San Bernardino and on behalf of the Redevelopment Agency by the staff of the Redevelopment EXIIIBIT "J" . c Q c o 1 2 3 4 S 6 7 8 9 10 11 12 13 14 IS 16 17 18 19 20 21 22 23 il 24 2S 26 , 27 II ! 28 ! i o o o Agency. All sucb incentives sball be used to furtber tbe economic development of the Enterprise Zone. SECTION 3. Authorization to Submit Application. Tbe staff of tbe Redevelopment Agency is hereby authorized and directed to file a preliminary application witb tbe State of California Department of Commerce for the purpose of baving an Enterprise Zone designated witbin tbe City of San Bernardino. Tbe application to be filed is attacbed hereto as Exhibit -1- and incorporated berein by reference. ADOPTED: Approved as to forma AGENCY COUNSEL By'~/~ , -2- I .I