HomeMy WebLinkAboutMINUTES - 02232010 - SD.12RECOMMENDATION(S):
HOLD Public Hearing and ADOPT the Contra Costa County Redevelopment Agency
FY 2010-15 Implementation Plan in compliance with California Community Redevelopment
Law.
FISCAL IMPACT:
No general funds are involved.
BACKGROUND:
California Redevelopment Law (Health & Safety Code Section 33490), requires all
redevelopment agencies administering redevelopment plans adopted prior to January 1,
1994, to adopt an Implementation Plan every five years. The Implementation Plan has a
non-housing and housing component which, in total, must describe the following: (1)
specific goals and objectives for the next five years; (2) specific projects, including a
program of activities and expenditures to be made within the five years of the plan; (3) an
explanation of how the goals, objectives, projects and expenditures will eliminate blight; (4)
an explanation of how the goals, objectives, projects
APPROVE OTHER
RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE
Action of Board On: 02/23/2010 APPROVED AS RECOMMENDED OTHER
Clerks Notes:
VOTE OF SUPERVISORS
AYE:John Gioia, District I
Supervisor
Gayle B. Uilkema, District II
Supervisor
Mary N. Piepho, District III
Supervisor
Susan A. Bonilla, District IV
Supervisor
Federal D. Glover, District V
Supervisor
Contact: Vincent Manuel,
335-7232
I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board
of Supervisors on the date shown.
ATTESTED: February 23, 2010
David J. Twa, County Administrator and Clerk of the Board of Supervisors
By: June McHuen, Deputy
cc:
SD.12
To:
From:Jim Kennedy, County Redevelopment Director
Date:February 23, 2010
Contra
Costa
County
Subject:HEARING on the Adoption of the County Redevelopment Agency FY 2010 - FY 2015 Implementation Plan.
BACKGROUND: (CONT'D)
and expenditures will implement the low- and moderate-income housing set-aside and
housing production requirements; (5) the number of housing units to be rehabilitated,
price-restricted, assisted or destroyed; (6) plans for using annual deposits to the Housing
Fund; (7) if a planned project will result in the destruction of existing affordable housing,
an identification of proposed locations for the replacement housing the Agency will be
required to produce, and (8) the project area affordable housing production plan.
The Agency adopted its first Implementation Plan in December 1995, and subsequently
in 1999 and 2006. The prior Implementation Plans included a five-year capital program
and a ten-year housing program as required by California Redevelopment Law (CRL).
This new Implementation Plan will provide for Agency activities for the years 2010
through 2015.
The Health & Safety Code requires that prior to adoption, the Redevelopment Agency
conduct a public hearing for the Implementation Plan for the Agency’s five existing
redevelopment areas; (1) The North Richmond Redevelopment Project Area; (2) The
Montalvin Manor Redevelopment Project Area; (3) The Rodeo Redevelopment Project
Area; (4) The Contra Costa Centre Redevelopment Project Area; and (5) The Bay Point
Redevelopment Project Area. This Implementation Plan has been reviewed by the various
local Committees, and incorporates their comments.
ATTACHMENTS
Implementation Plan
Contra Costa RDA Implementation Plan, FY 2009/10 to FY 2014/15
January 2010
i
January 2010
Contra Costa County
Redevelopment Agency
Five-Year Implementation Plan
FY 2009/10 to FY 2014/15
Contra Costa County RDA Implementation Plan, FY 2009/10 to FY 2014/15
January 2010
i
RREEPPOORRTT CCOONNTTRRIIBBUUTTOORRSS
Contra Costa County Redevelopment Agency
James Kennedy Redevelopment Director
Vincent Manuel Project Manager
Gabriel Lamus, Project Manager
Maureen Toms, Project Manager
D’Andre Wells, Project Manager
Wahlstrom & Associates
Stephen Wahlstrom, Principal
Yve Susskind, Associate
Claudette Carr, Production Manager
Vernazza Wolfe Associates
Lucina Vernazza, Principal
Contra Costa
January 2010
RDA Implementation Plan, FY 2009/10 to FY 2014/15
ii
TTAABBLLEE OOFF CCOONNTTEENNTTSS
1. Background Information Common to all Five Project Areas......................1
1.1 Organization of the Implementation Plan ..................................................2
1.2 Description of Five Project Areas Administered by the
Redevelopment Agency.............................................................................3
1.3 Non-Housing Redevelopment Goals..........................................................4
1.4 Affordable Housing Goals..........................................................................5
1.5 Agency Obligations to Improve Access to Affordable Housing...............5
1.6 Housing Programs Utilized by the Agency................................................9
1.7 Consistency with the Housing Element ...................................................10
1.8 Tax Increment Financing and Other Resources Available to
Fund Project Area Improvements............................................................11
2. Rodeo Project Area Implementation Plan...................................................14
2.1 Agency’s Accomplishments Since FY 2003/04 ......................................14
2.2 Project Area Goals and Objectives...........................................................15
2.3 Projected Revenues Available to Fund
Non-Housing Improvements ...................................................................16
2.4 Projected Five Year Non-Housing Projects and Activities ....................19
2.5 Projected Five-Year Non-Housing Expenditures....................................20
2.6 How Improvement Project and Redevelopment Activities
will Reduce Blight in Rodeo ...................................................................21
2.7 Affordable Housing Projects and Activities ............................................22
2.8 Housing Fund Revenues Available for Affordable Housing
Projects and Programs .............................................................................26
2.9 Affordable Housing Production Plan.......................................................25
2.10 Replacement Housing Requirements.....................................................27
2.11 Targeting of Housing Fund Expenditures in Rodeo..............................28
3. Montalvin Manor Project Area Implementation Plan................................30
3.1 Agency’s Past Non-Housing Accomplishments
and Expenditures.......................................................................................30
3.2 Project Area Goals and Objectives...........................................................32
3.3 Projected Revenues Available to Fund
Non-Housing Improvements ...................................................................34
3.4 Projected Five Year Non-Housing Projects and Activities .....................36
3.5 Projected Five-Year Non-Housing Expenditures ...................................37
3.6 How Improvement Project and Redevelopment Activities
will Reduce Blight in Montalvin Manor.................................................38
3.7 Affordable Housing Projects and Activities ...........................................39
3.8 Housing Fund Revenues Available for Affordable Housing
Projects and Programs ............................................................................42
3.9 Affordable Housing Production Plan.......................................................42
3.10 Replacement Housing Requirements.....................................................44
3.11 Targeting of Housing Fund Expenditures in Montalvin Manor............44
Contra Costa
January 2010
RDA Implementation Plan, FY 2009/10 to FY 2014/15
iii
4. North Richmond Project Area Implementation Plan.................................46
4.1 Agency’s Accomplishments Since FY 2003/04 ......................................46
4.2 Project Area Goals and Objectives...........................................................49
4.3 Projected Revenues Available to Fund Non-Housing
Improvements............................................................................................50
4.4 Projected Five Year Non-Housing Projects and Activities .....................52
4.5 Projected Five-Year Non-Housing Expenditures....................................54
4.6 How Improvement Projects and Redevelopment Activities
will Reduce North Richmond’s Blight....................................................56
4.7 Affordable Housing Projects and Activities ............................................57
4.8 Housing Fund Revenues Available for Affordable Housing
Projects and Programs .............................................................................62
4.9 Affordable Housing Production Plan.......................................................63
4.10 Replacement Housing Requirements.....................................................65
4.11 Targeting of Housing Fund Expenditures in North Richmond .............66
5. Contra Costa Centre Project Area Implementation Plan..........................67
5.1 Agency’s Past Accomplishments, FY 2003/04 – FY 2008/09................67
5.2 Project Area Goals and Objectives...........................................................69
5.3 Projected Revenues Available to Fund Non-Housing
Improvements...........................................................................................71
5.4 Projected Five Year Non-Housing Projects and Activities .....................74
5.5 Projected Five-Year Non-housing Expenditures.....................................76
5.6 How Improvement Project and Redevelopment Activities
will Reduce Blight at Contra Costa Centre.............................................77
5.7 Affordable Housing Projects and Activities ............................................78
5.8 Housing Fund Revenues Available for Affordable Housing
Projects and Programs .............................................................................80
5.9 Affordable Housing Production Plan.......................................................81
5.10 Replacement Housing Requirements.....................................................83
5.11 Targeting of Housing Fund Expenditures in
Contra Costa Centre...............................................................................84
6. Baypoint Project Area Implementation Plan..............................................85
6.1 Agency’s Accomplishments Since FY 2003/04 ......................................86
6.2 Project Area Goals and Objectives...........................................................88
6.3 Projected Revenues Available to Fund Non-Housing Improvements.....90
6.4 Projected Five Year Non-Housing Projects and Activities .....................93
6.5 Projected Five-Year Non-Housing Expenditures.....................................95
6.6 How Improvement Projects and Redevelopment Activities
will Reduce Bay Point's Blight...............................................................96
6.7 Affordable Housing Projects and Activities ............................................97
6.8 Housing Fund Revenues Available for Affordable Housing
Projects and Programs ............................................................................98
6.9 Affordable Housing Production Plan.....................................................101
6.10 Replacement Housing Requirements...................................................103
6.11 Targeting of Housing Fund Expenditures in Bay Point......................104
Contra Costa
January 2010
RDA Implementation Plan, FY 2009/10 to FY 2014/15
iv
TTAABBLLEE OOFF FFIIGGUURREESS
1-1 Contra Costa County Redevelopment Areas............................................. 4
1-2 Regional Housing Needs Allocation (RHNA),
Unincorporated Contra Costa County...................................................... 8
2-1 Rodeo Project Area Fiscal Limits............................................................ 17
2-2 Project Revenues Available to Fund Non-housing Improvement
Projects in the Rodeo Project Area, FY 2009/10 to 2013/14................ 18
2-3 Estimates of Future Non-housing Expenditures in the Rodeo
Project Area, FY 2009/10 to 2014/15.................................................... 21
2-4 Low and Moderate Income Housing Fund Summary ............................ 23
2-5 Projected Housing Expenditures in Rodeo Project Area
FY 2009/10 to 2013/14........................................................................... 25
2-6Housing Production and Affordable Housing Obligation in Rodeo...... 26
3-1 Montalvin Manor Project Area Fiscal Limits.......................................... 34
3-2 Project Revenues Available to Fund Non-housing Improvement
Projects in the Montalvin Manor Project Area
FY 2009/10 to FY 2013/14.................................................................... 36
3-3 Estimates of Future Non-housing Expenditures in Montalvin Manor
Project Area, FY 2009/10 to FY 2014/15.............................................. 38
3-4 Low and Moderate Income Housing Fund Summary ............................. 40
3-5 Projected Housing Expenditures Montalvin Manor Project Are
FY 2009/10 to 2013/14........................................................................... 42
3-6 House Production and Affordable Housing Obligation in
Montalvin Manor.................................................................................... 43
4-1 North Richmond Project Area Fiscal Limits ........................................... 51
4-2 Project Revenues Available to Fund Non-housing Improvement
Projects in the North Richmond Project Area
FY 2009/10 to 2013/14........................................................................... 52
4-3 Estimates of Future Non-housing Expenditures in the
North Richmond Project Area, FY 2009/10 to 2013/14........................ 55
4-4 Low and Moderate Income Housing Fund Summary ............................ 60
4-5 Projected Housing Expenditures in North Richmond Project Area
FY 2009/10 to 2013/14........................................................................... 63
4-6 House Production and Affordable Housing Obligation in
North Richmond ..................................................................................... 65
5-1 Contra Costa Centre Project Area Fiscal Limits..................................... 72
5-2 Project Revenues Available to Fund Non-housing Improvement
Projects in the Contra Costa Centre Project Area
FY 2009/10 to 2013/14........................................................................... 74
5-3 Estimates of Future Non-housing Expenditures in the
Contra Costa Centre Project Area, FY 2004-5 to 2008-09................... 77
Contra Costa
January 2010
RDA Implementation Plan, FY 2009/10 to FY 2014/15
v
5-4 Low and Moderate Income Housing Fund Summary ............................ 79
5-5 Projected Housing Expenditures in Contra Costa Centre Project Area
FY 2009/10 to 2013/14........................................................................... 81
5-6 House Production and Affordable Housing Obligation in
Contra Costa Centre Project Area.......................................................... 83
6-1 Bay Point Project Area Fiscal Limits....................................................... 90
6-2 Project Revenues Available to Fund Non-housing Improvement
Projects in the Bay Point Project Area, FY 2009/10 to 2013/14.......... 93
6-3 Estimates of Future Non-housing Expenditures in the Bay Point
Project Area, FY 2004-5 to 2008-09...................................................... 96
6-4 Low and Moderate Income Housing Fund Summary ............................. 99
6-5 Projected Housing Expenditures in Bay Point Project Area
FY 2009/10 to 2013/14......................................................................... 101
6-6 House Production and Affordable Housing Obligation in
Bay Point Project Area........................................................................... 99
* * *
Contra Costa RDA Implementation Plan, FY 2009/10 to FY 2014/15
January 2010 1
CRL requires the Implementation Plan to include the Agency’s goals and
objectives, as well as the specific programs and expenditures proposed
for each Project Area during the next five years. The Implementation
Plan also explains how the planned improvements will eliminate blight
and implement the low- and moderate-income housing requirements. The
housing section of the plan must contain:
The financial resources presently available in the housing fund;
Estimates of the housing fund deposits during the next five years;
Estimated number of housing units that have been developed in each
Project Area since plan adoption;
Estimated number of housing units that will be developed within each
Project Area over the life of the plan and during the next ten years;
Replacement plan for low and moderate-income housing units that are
removed by redevelopment activities.
Beyond the legal requirements, the Implementation Plan is intended to
inform policy makers and the general-public about the Agency’s
activities. The plan is constructed to be flexible so that the Agency can
adjust to changing circumstances and new opportunities. This plan will
California Redevelopment Law (CRL)
requires Redevelopment Agencies to
adopt an Implementation Plan every five
years.
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Contra Costa
January 2010
RDA Implementation Plan, FY 2009/10 to FY 2014/15
2
guide the Agency’s activities for the next five years, FY2009/10 through
FY2014/15.
1.1 ORGANIZATION OF THE IMPLEMENTATION PLAN
This section provides the overall context for the Implementation Plan.
The introduction includes:
•A physical description of the Project Area;
•The Agency’s non-housing and affordable housing goals
and objectives;
•The obligations to improve access to affordable housing;
•The housing programs utilized by the Agency;
•A summary of the funding available to make Project Area
improvements.
This Implementation Plan is then subdivided into a chapter for each
Project Area due to the separate and distinct nature of each community.
All five chapters include the following components:
•Agency accomplishments during the past five years;
•Project Area goals and objectives;
•Projected revenues available for non-housing improvements;
•Projected five-year non-housing projects and activities;
•Projected five-year non-housing expenditures;
•Linkage between Project Area improvements and the elimination of
remaining blight;
•Affordable housing projects and activities;
•Housing Fund revenues available for affordable housing projects
and programs;
•Affordable housing production plan;
•Targeting of Housing Fund expenditures.
Contra Costa
January 2010
RDA Implementation Plan, FY 2009/10 to FY 2014/15
3
1.2 DESCRIPTION OF FIVE PROJECT AREAS
ADMINISTERED BY THE REDEVELOPMENT AGENCY
The Redevelopment Agency administers improvement activities within
five Project Areas located in unincorporated areas of Contra Costa
County. The socioeconomic setting, the blight removal challenges, and
the improvement projects are distinctly different for each Project Area.
North Richmond, Montalvin Manor, and Rodeo are West County
communities with direct access to San Pablo Avenue and nearby
Interstate 80. Contra Costa Centre surrounds the Pleasant Hill BART
Station, which is located in the heart of the county’s I-680 growth
corridor. Bay Point is an East County community located between the
City of Pittsburg and the former Concord Naval Weapons Station. Below
is a brief description of each Project Area.
North Richmond is a residential and industrial area surrounded by the
cities of Richmond and San Pablo. The residential neighborhood has a
high concentration of low- and moderate-income households living in
older homes in need of repair. The community lacks commercial services
and needs a significant amount of new investment in new housing and
neighborhood infrastructure such as sidewalks, lighting, utilities,
drainage, and roadways. Backbone infrastructure is needed to support
more employment by expanding light industrial and commercial uses.
Rodeo is a residential community mixed with commercial, industrial,
and waterfront related uses. The Project Area is located next to a large oil
refinery, and adjacent to the City of Hercules between Interstate 80 and
San Pablo Bay. The Rodeo Old Town area suffers from disinvestment
and the loss of commercial service to nearby shopping centers. The
neighborhoods lack sidewalks, gutters and curbs, and suffer from an
antiquated public infrastructure. The housing stock is older than average
and in need of investment.
Montalvin Manor is a Project Area formed in 2003 located east of the
City of Richmond near San Pablo Avenue and west of the Tara
Hills/Bayview community. The neighborhood can be accessed from
Interstate 80 through the Richmond Parkway, and from San Pablo
Avenue through Kay Road, Shamrock Avenue, and Tara Hills Drive.
The community lacks commercial services and neighborhood amenities.
The housing stock is in need of upgrade and repair.
Bay Point is an East County residential area nestled between the City of
Pittsburg and the former Concord Naval Weapons Station. Access to the
Project Area is via Highway 4 and BART. Except for the Orbisonia
Heights area, the freeway separates the Project Area from the City of
Pittsburg to the south Commercial services are scattered along Willow
Pass Road, which is the community’s primary thoroughfare. The
community lacks commercial services, and suffers from inadequate and
obsolete utilities, drainage, sewers, and streets. Bay Point has an older
housing stock in need of upgrading. Infill housing opportunities also
exist.
Contra Costa Centre is a very different Project Area because of its
location adjacent to the Pleasant Hill BART Station, in the center of the
County’s I-680 growth corridor. The Project Area was created to
implement the Specific Plan to achieve transit-oriented development next
to a regional transportation hub.
FIGURE 1-1
Contra Costa County
Redevelopment
Areas
So u rce: Contra Costa County Redevelopment A g ency
1.3 NON-HOUSING REDEVELOPMENT GOALS
The establishment of the Redevelopment Agency is a commitment to use
tax increment revenues to fund revitalization programs, development
plans, improve infrastructure, and form public/private partnerships to
create jobs and remove blight. Improvement projects and programs for
each project area will attract new private investment to remove blight by
improving buildings, infrastructure, and community facilities. The
specific goals for each project area are included in the applicable plan.
Contra Costa RDA Implementation Plan, FY 2009/10 to FY 2014/15
January 2010 4
1.4 AFFORDABLE HOUSING GOALS
The County recently updated its Housing Element. Part of that process
was a review of the County’s housing goals and policies, including
redevelopment. Six of the County’s eight housing goals are applicable to
redevelopment and supported by redevelopment activities, including the
following:1
Maintain and improve the quality of the existing housing stock and
residential neighborhoods in Contra Costa County;
Preserve the existing affordable housing stock in Contra Costa
County;
Increase the supply of affordable housing with a priority on the
development of affordable housing;
Increase the supply of appropriate and supportive housing for
special needs populations;
Improve housing affordability for both renters and homeowners;
Promote equal opportunity for all residents to reside in the housing of
their choice.
1.5 AGENCY OBLIGATIONS TO IMPROVE ACCESS TO
AFFORDABLE HOUSING
The Agency is required by the California Community
Redevelopment Law (CRL) to meet certain obligations to
provide expanded access to affordable housing, replace housing
that is removed as a result of redevelopment activities, and
spend 20 percent of its tax increment revenues to serve
population segments that are targeted by age and income.2 One
purpose of the Implementation Plan is to document how the
Agency intends to meet its obligations to improve access to
affordable housing, and how it will do so in the future. The basic
legal requirements that the Agency must meet are described
below.
Contra Costa RDA Implementation Plan, FY 2009/10 to FY 2014/15
January 2010 5
1 Contra Costa County, Draft Housing Element Revised in Response to HCD Comments-June
2009, pp. 6-90 – 6-94.
2 The housing production obligation applies to redevelopment plans adopted on or after
January 1, 1976, and territory added to project areas by amendment adopted on or after
January 1, 1976.
Contra Costa
January 2010
rea.
RDA Implementation Plan, FY 2009/10 to FY 2014/15
6
HOUSING FUND EXPENDITURE REQUIREMENTS
The Agency must set aside at least 20 percent of tax increment revenues
into a Housing Fund, and spend the Housing Fund revenues to improve,
preserve, and/or produce more affordable housing for low- and
moderate-income residents.
AB 637 added a provision that prohibits Agencies from using their
Housing Funds to develop affordable housing if sufficient private
financing is available to produce new units, or rehabilitate the same
number of affordable units that Agency financing would support.
Agencies are required to use their housing set-aside funds to fill the gap
when conventional financing is not available, and not to take the place of
conventional financing. In fact, an Agency and its private development
partners must document that private financing was unavailable to
develop affordable housing if an Agency’s Housing Funds comprise
more than 50 percent of the cost of producing the affordable units.
AFFORDABLE HOUSING PRODUCTION AND
COMPLIANCE REQUIREMENT
The CRL requires that very-low, low or moderate-income households
have access to 15 percent of new housing developed in each Project
Area, and that 40 percent of the affordable units be occupied by very-
low-income households at a legally defined affordable housing cost.3
The Agency can meet this requirement by producing affordable units
within the Project Area; or two units produced outside the Project Area
can be counted as one unit produced within the Project A
The legislation requires the Agency to comply with the production
requirements throughout a series of ten-year periods, as well as through
the life of the Plan. If the Agency has fallen behind in its legal
requirements to produce affordable housing, then all new Project Area
housing developments built by private or non-profit developers must
meet the affordable housing production requirement. Conversely, if the
Agency has produced more housing than is legally required, then future
requirements to build more Project Area affordable housing units will be
reduced.
3 The CRL currently defines substantially rehabilitated units as all units
substantially rehabilitated with Agency assistance. Substantial rehabilitation means
rehabilitation, the value of which constitutes at least 25 percent of the after
rehabilitation value of the dwelling, inclusive of land value (33416(b)(2)(A)(iii)).
The definition also included multifamily units that did not receive Agency assistance
prior to January 1, 2002.
Contra Costa
January 2010
RDA Implementation Plan, FY 2009/10 to FY 2014/15
7
The Contra Costa RDA has been addressing its affordable housing
obligations by forming partnerships with, and providing financial
assistance to affordable housing developers.4 The Agency is required to
monitor housing production in each Project Area.
REQUIREMENT TO TARGET HOUSING FUND EXPENDITURES
FOR LOW AND VERY-LOW INCOME HOUSEHOLDS
AB 637 and SB 701 added two requirements for targeting the use of
housing set-aside funds every ten years and over the duration of the
redevelopment plan.
Targeting Low- and Very Low-Income Households
Redevelopment Agencies are now required to target their housing set-
aside funds to low and very-low-income households as determined by the
regional fair share allocation.5 The percentage of Housing Fund
expenditures for each income category (very-low, low and moderate) is
based on the percentage of units needed within each category. The
percentages apply to each Project Area. The most recent Regional
Housing Needs Allocation (RHNA) for the County is for 2007-2014. The
County used these needs numbers to guide the recent Housing Element
update. The total RHNA allocation is 3,508 housing units, with 1,408 of
the units designated for above-moderate income households and 2,100
units needed as affordable units.
Figure 1-2 shows that 815 units (39 percent) are needed for very low-
income families. Nearly 600 units (28 percent) are needed for low-
income households, and approximately 700 units (33 percent) are
targeted for moderate-income households.6 The percentages shown are
the targets for expenditure of the housing set-aside funds for each income
category.
4 If the Contra Costa RDA became a housing developer, then thirty percent (30%) of all
Agency developed units must be made available to very-low, low- or moderate-income
households. Occupancy of affordable housing for very-low-income residents would be
restricted occupancy to households with incomes up to 50 percent of area median.
Affordable housing for moderate-income residents would be restricted to occupancy by
households with incomes up to 110 percent of the area median.
5 See CCRL Section 33334.4(a).
6 With the updated RHNA numbers, the targeted percentage for very-low income
households has increased from 35 percent to 39 percent.
Contra Costa
January 2010
RDA Implementation Plan, FY 2009/10 to FY 2014/15
8
FIGURE 1-2
Regional Housing Needs Allocation
(RHNA), Unincorporated
Contra Costa County
2007-2014
Income Gr o up A rea Median Inc ome Total Uni ts Perc en t ag e
Very Low 50% or less 815 39%
Low 50% to 80% 598 28%
Moderate 80% to 120% 687 33%
Total s 2,100 100%
Data Sou rce: ABAG
Analy s is : Vernazza Wolfe Associates
Not e: Total does not include 1,408 above-moderate units
Targeting Non-Seniors
Beginning January 1, 2006, agencies are required to spend their Housing
Fund over each ten-year compliance period of the housing production
plan to assist housing available to persons regardless of age. Housing
funds must be spent proportionately by age group (under and over
age 65).7
Based on the number of low-income households in the unincorporated
area of Contra Costa County in 2000, 70 percent of these households
were non-senior households. This is based on special tabulations of 2000
census data provided by HUD.8 Thus, no more than 30 percent of the
Housing Fund expenditures should benefit seniors, with the rest to
benefit non-seniors.
Housing Replacement Requirement
If redevelopment activities reduce the number of Project Area housing
units, then the Agency must replace all housing units that were
previously occupied by low- and moderate-income persons. These
housing units must be replaced with new units that are affordable to
households at the same income categories of the units that were removed.
The Agency’s description of how the housing units will be replaced
should include the following items:
7 Data reported in the most recent US. Census as required by CRL Section 33334.4(b).
This provision replaces a similar requirement in effect from 2002 through 2005 that
provided a different method for calculating the senior and non-senior targeting
percentages. The initial period to assess compliance with this targeting requirement
ends in 2014.
8 SOCDS CHAS Data: Housing Problems Output for All Households, Union City
(http://socds.huduser.org/chas/reports)
General location of new housing units targeted for low and moderate-
income persons;9
The number of low and moderate units to be developed, and the
number of low- and moderate-income persons to be served by the new
replacement units;
Methods of financing affordable housing.
Contra Costa RDA Implementation Plan, FY 2009/10 to FY 2014/15
January 2010 9
1.6 HOUSING PROGRAMS UTILIZED BY THE AGENCY
The Agency supports and participates in a number of housing programs,
some of which operate in all five Project Areas, and some in selected
areas only. The basic programs for the next five years include the
following:
Multifamily Rental Housing
The Agency can provide assistance with the new construction and/or
substantial rehabilitation of multi-family rental housing that is affordable
and can be occupied by low- and moderate-income households. The
multi-family rental program is appropriate in all Project Areas.
Senior Housing New Development
The Agency can promote the development of new rental multi-family
housing affordable to low- and moderate-income senior households.10
First-Time Homebuyer Program for Home Ownership
The Agency can assist developers to construct single-family housing that
is affordable to low- and moderate-income households. This can be
accomplished through a first-time homebuyer program, where Agency
assistance is structured as a second loan and the homebuyer can defer the
principal and interest on the second loan until the
property is resold or transferred.
Mortgage Credit Certificate Program
The County manages a program that provides qualified
homebuyers with a 20 percent Federal tax credit, based
upon the amount of interest on the homebuyer’s loan.
9 The rehabilitation of existing housing units can substitute for new housing units.
Comment [LKV1]: The
programs need to be updated by
Agency staff or from the new
Housing Element.
10 This program is active in Rodeo, but not active in Montalvin Manor or Contra Costa
Centre.
Contra Costa
January 2010
RDA Implementation Plan, FY 2009/10 to FY 2014/15
10
Substantial Rehabilitation Program
The Agency has a Housing Rehabilitation Loan Program in place that
can help finance the rehabilitation of existing housing units as a
substitute for the development of new housing units. The program offers
subsidized loans for the maintenance and rehabilitation of housing
owned and/or occupied by low- and moderate-income households.
Homebuyer Assistance-Foreclosed Properties
The Agency has developed a program to acquire foreclosed homes in
Rodeo and other Project Areas. The Program may work in coordination
with the Neighborhood Stabilization Program (NSP), which is funded by
the Department of Housing and Urban Development and administered by
the Contra Costa County Housing Program. The County plans to use the
NSP funds to acquire foreclosed properties, rehabilitate the homes where
needed, and then resell to other homebuyers. NSP funds may also be
used to assist with closing costs, down payments, and land banking for
future development. Agency funds will be used to compliment the
Neighborhood Stabilization Program (NSP) Funds.
New Construction of Affordable Housing
Working with nonprofit and for-profit developers, the Agency provides
direct financial assistance and land write-downs to assist in the
development of ownership and rental housing for extremely-low, very-
low and low-income and special needs households. The Housing Fund is
a major source for this assistance.
1.7 CONSISTENCY WITH THE HOUSING ELEMENT
Part of the County’s recent Housing Element update process was a
review of County’s housing goals and policies. The Agency’s housing
programs are consistent with the County Housing Element and support
its goals. Many of the existing affordable housing units identified in the
Housing Element were developed in redevelopment project areas with
redevelopment assistance. The Housing Element identifies the Agency
and redevelopment housing set-aside funds as an important component in
the County’s efforts to provide financial assistance for the development
of affordable housing. One of the County’s program objectives is to
assist in the financing and development of 650 affordable units over five
years, many of which will be supported with redevelopment housing set-
aside funds.
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January 2010
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1.8 TAX INCREMENT FINANCING AND OTHER
RESOURCES AVAILABLE TO FUND IMPROVEMENTS
The Agency’s ability to borrow and raise funds for improvement projects
is limited by the current state of the economy, the California State
budget, the legal parameters that determine the total amount of tax
increment that can be collected, and the total amount of indebtedness that
can be assumed at any one time.
Property tax increment revenues provide the bulk of the Agency’s
funding that can be invested for infrastructure and other Project Area
improvements—without which private investment could not be expected.
Tax increment financing allows the Agency to borrow against the
projected property tax increment revenues by issuing bonds or other debt
service obligations to finance Project Area improvements, and to expand
the supply of affordable housing. The Agency’s ability to borrow is
based on the assumption that future property values will increase.
The projected tax increment revenues for four of the County’s five
Project Areas do not allow the Agency to issue bonds and invest the
proceeds of those bonds in Project Area improvements. The bond sale
proceeds are forms of borrowing against projected tax increment
revenues. When the Agency can issue bonds it will prioritize projects
using state of readiness and effectiveness in addressing blight as the
major criteria. Activities to be funded from bond proceeds will be
coordinated with the County’s Capital Improvement Program.
It is important to note that the tax increment projections incorporated into
this Implementation Plan assume that property values will be constant
even with Project Area improvements. This flat line projection of
property values adjusts to the recession that we are currently
experiencing, led by falling real estate prices. The anticipated Project
Area improvements should keep land values steady rather than in
decline. The property value assumptions utilized by Fraser & Associates
are a significant departure over past Redevelopment Agency and
Implementation Plan assumptions that land values will always increase at
an annual rate of 6 to 8 percent.
In addition, the Agency will use its powers of tax increment financing to
leverage other sources of funding to achieve each Project Area’s goals
and objectives. Additional funding may be leveraged from grants and
loans, interest, property leasing, or developer impact fees. The types of
economic development assistance that the Agency can deliver through
tax increment financing and the leveraging of other resources are listed
below.
Transportation, circulation and parking improvements;
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January 2010
RDA Implementation Plan, FY 2009/10 to FY 2014/15
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Land cost write-downs or the issuance of below market land leases to
Project Area businesses;
Off-site improvements to facilitate business expansion;
Construction financing assistance;
Purchasing of undeveloped land parcels and existing commercial
buildings;
Clean up of contaminated land parcels and buildings;
Establishment of a business loan program that could be used to
finance façade or other commercial real estate improvements;
Providing low-interest loans or tax exempt financing to reduce
business expansion financing costs through certificates of
participation, lease revenue bonds, industrial development bonds or
various forms of tax-exempt notes.
The Agency’s powers of tax increment financing encourages real estate
improvements to be implemented through public/private partnerships
that achieve both the public goals of the Agency and the goals and needs
of the private sector. For example, the Agency can finance the cleanup of
a site, or make off-site improvements that are not feasible to privately
finance. The Agency can then achieve its Project Area goals and earn a
positive financial return on investment by entering into a public/private
partnership agreement with a private developer to develop or redevelop a
site.
Current economic conditions limit the use of
tax increment financing
The ability to borrow against future tax increment revenues is severely
constrained by the national and state recession, and the unprecedented
decline of real estate values within four of five Redevelopment Project
Areas administered by the Contra Costa RDA. For decades,
Redevelopment Agencies and local governments have fiscally benefited
from non-stop increases in the assessed value of residential and
commercial properties. There have been times when Agencies could
anticipate a 6 to 8 percent per year increase in assessed values. The past
expansion of property values easily leads one to conclude that such
increases would continue.
Any assumption about non-stop increases of real estate values
fundamentally changed during the Fall of 2008, when the recession
became visible and some of the nation’s most important financial
institutions were either dissolved or placed under Federal receivership.
Since that time, housing prices are in steep decline, millions of jobs have
disappeared, trillions of dollars of household net worth has been lost, and
Contra Costa
January 2010
RDA Implementation Plan, FY 2009/10 to FY 2014/15
13
housing foreclosures have become a significant economic and social
problem. And it is unknown when national economic conditions will
improve, when consumers will resume spending, or when banks will
resume lending. Consequently, Contra Costa County’s economy is under
a cloud of uncertainty.
Due to declining real estate prices, the Agency’s tax increment revenues
are projected to stagnate or decline during the next five years. This
unprecedented change in the real estate market will limit the Agency’s
ability to borrow to make improvements during the next five years.
1.9 STATE OF CALIFORNIA PROPOSED TAKE OF
REDEVELOPMENT REVENUE
On July 24, 2009, the State Legislature passed Assembly Bill (AB) 26
4x, which requires all redevelopment agencies to deposit a total of $2.05
billion of property tax increment in county “Supplemental” Educational
Revenue Augmentation Funds (SERAF) to be distributed to meet the
State’s Proposition 98 obligations to schools. The SERAF revenue shift
will be made over two years: $1.7 billion should be deposited in fiscal
year 2009-2010 and $350 million should be deposited in fiscal year
2010-2011. The SERAF would then be paid to school districts and the
county offices of education which have students residing in
redevelopment project areas, or residing in affordable housing projects
financially assisted by a redevelopment agency, thereby relieving the
State of payments to those schools.
The Contra Costa County Redevelopment Agency’s share of this revenue
shift is approximately $6.3 million in fiscal year 2009-2010 and $1.3
million in fiscal year 2010-2011. Payments are to be made by May 10 of
each respective fiscal year. In response to AB 26 4x, the Agency has
reprogrammed funds from previously funded initiatives in order to make
the required payments.
On October 20, 2009, the California Redevelopment Association (CRA)
together with two redevelopment agencies have filed a lawsuit in
Sacramento Superior Court challenging the constitutionality of AB 26x
4. The lawsuit asserts that the transfer of property tax increment to the
SERAF is not permitted under Article XVI, Section 16 of the California
Constitution. The complaint also asserts impairment of contract and gift
of public funds arguments. The Implementation Plan expenditure plans
do not include the SERAF obligation because the Agency believes it to
be unconstitutional.
* * *
Contra Costa RDA Implementation Plan, FY 2009/10 to FY 2014/15
January 2010 14
The Rodeo Project Area includes a mix of single-family homes, commercial
strips, an Old Town area, former industrial buildings, and a waterfront location
with an old marina that needs new investment. Rodeo is also the location of a
ConocoPhillips Oil Refinery that is located outside of the Project Area but
influences the community’s character.
Many of the commercial buildings within the Project Area are vacant and have
been underutilized for a long period. A number of the Old Town area’s
commercial buildings have become substandard, and the deteriorating structures
are in need of new investment. In addition, large parts of the Project Area have
antiquated public infrastructure and lack neighborhood amenities such as
sidewalks, gutters, and curbs.
2.1 AGENCY’S ACCOMPLISHMENTS SINCE FY 2003/04
RODEO NON-HOUSING ACTIVITIES
The Agency has funded many improvement projects and activities in Rodeo that
were designed to improve public safety, infrastructure, urban design, and access
to affordable housing. Some projects and programs were completed, while other
projects and activities are ongoing, and efforts will be continued during the
current Implementation Plan period. The Agency’s accomplishments during the
past five years are described below.
The 650-acre Rodeo Redevelopment
Project Area was established in 1990.
22 RRooddeeoo PPrroojjeecctt AArreeaa
IImmpplleemmeennttaattiioonn PPllaann
Contra Costa
January 2010
RDA Implementation Plan, FY 2009/10 to FY 2014/15
15
• Completed the planning, design and construction of the Parker Avenue
improvements including placing utilities underground and reconstructing
Parker Avenue from 7th Street to San Pablo Avenue;
• Collaborated with Public Works to plan the funding of ongoing public
improvement maintenance efforts;
• Funded the development of a website that identifies available sites for
residential or business uses, and promotes economic development
in Rodeo;
• Completed marketing materials to be used for business attraction
and retention;
• Initiated the Rodeo Town Square Mixed-Use Plan, including a programming
study, planning process, site acquisition, developer procurement, and
preparation as a downtown revitalization catalyst project;
• Continued a Façade Improvement Program that offers rebates and low interest
loans for business and property owners in Rodeo to improve storefronts and
commercial building façades;
• Established a Community Preservation-Abatement and
Revolving Loan Fund;
• Sold Bonds in 2007 to continue improvements to the Rodeo Redevelopment
Area;
• Rehabilitated the façade of 189/199 Parker Avenue, which houses the Rodeo
Senior Center, the sheriff substation and the local jobs program;
• Supported the construction of new and affordable housing;
• Worked with the R-10 Citizen’s Advisory Committee and the Contra Costa
County Department of Public Works to conduct a Rodeo Creek Watershed
Study;
• Initiated discussions with Public Works to design, plan, and execute a
comprehensive infrastructure program for downtown/waterfront Rodeo.
2.2 PROJECT AREA GOALS AND OBJECTIVES
The Project Area’s long-term goals, which were established during the Plan
adoption, are intended to guide Agency actions toward reducing physical and
economic blight. These goals will continue to guide the direction of all future
development through 2030. The Agency’s long-term goals and the five-year
goals that will guide the Implementation Plan are listed below.
Long-Term Goals
•Fund circulation and transportation improvements in appropriate locations in
the Project Area;
•Improve Project Area infrastructure systems;
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January 2010
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•Improve or replace inadequate utilities and other community facilities;
•Upgrade existing older residential neighborhoods through rehabilitation of a
substantial number of existing housing units, the facilitation of infill housing
construction, and development of neighborhood amenities such as landscaping
and parks;
•Stabilize neighborhoods through the acquisition and the rehabilitation of
foreclosed properties;
•Stimulate new employment through the rehabilitation of existing structures in
the Project Area.
Five-Year Implementation Plan Goals and Objectives
•Implement the Downtown/Waterfront Improvements in Rodeo’s
historic area;
•Create a business attraction marketing program;
•Improve Rodeo’s entryways and other community amenities;
•Continue to facilitate career development programs for Rodeo residents,
industries, and businesses;
•Plan the redevelopment of specific infill sites;
•Initiate a commercial/retail attraction program for underutilized sites;
•Preserve and improve the existing housing stock through the Redevelopment
Housing Rehabilitation Loan Program.
2.3 PROJECTED REVENUES AVAILABLE TO FUND
NON-HOUSING IMPROVEMENTS
The Agency can collect a maximum of $125 million in tax increment revenue
over the life of the Redevelopment Plan and issue $60 million of outstanding
debt through the sale of bonds and other loans at any one time. Project
improvement activities will be allowed through 2031, after which the
Redevelopment Plan will expire (See Figure 2-1). The revenues that will be
available to fund non-housing improvements in the Rodeo Project Area are
described below.
[This space intentionally left blank]
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January 2010
RDA Implementation Plan, FY 2009/10 to FY 2014/15
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FIGURE 2-1
Rodeo Project Area
Fiscal Limits
Plan Adoption...............................................................................July 10, 1990
Year that Plan was Last Amended................................................2006
Expiration date to Start Eminent Domain ......................................July 10, 2014
Time Limit for Project Activities.....................................................July 10, 2030
Debt Repayment...........................................................................July 10, 2041
Plan Effectiveness........................................................................July 10, 2031
Cumulative Tax Inc.......................................................................$125,000,000
Bond Debt Limit ...........................................................................$60,000,000
Data Source: Contra Costa County Redevelopment Agency
Projected Tax Increment Revenues
Tax increment revenues have been and will continue to be the primary source of
revenue available to the Agency to fund improvement projects and activities.
Fraser & Associates projects that the Rodeo Project Area will earn $1.03 million
of net tax increment revenues during FY 2009/10, but the revenues will
significantly decline to approximately $860,000 during FY 2010/11(See Figure
2-2).11 Given the lack of property value appreciation, the net tax increment
revenues will stagnate during the remainder of the IP period. Consequently, only
$4.5 million of cumulative tax increment revenues are anticipated to accrue to the
Agency through FY 2013/14.
Other Revenue Sources
Other revenue sources available to the Agency to make Project Area
improvements in Rodeo include $10.3 million of unexpended capital proceeds
and bond balances plus a small amount of interest earned on the unexpended
funds.
The Agency does not anticipate issuing any new bonds to fund Project Area
improvements during the next five years. In addition, no additional sources of
grant funding or developer fees are included in the revenue projections.
11 The net tax increment estimates represent the revenue that will remain with the Agency
after debt service payments, pass through payments, administration fees, and other Agency
obligations have been met.
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January 2010
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Debt Service on Past Non-Housing Improvements
In order to fund Project Area improvements with bond proceeds the Agency is
obligate to commit approximately $760,000 per year to service the debt of past
borrowing for non-housing Project Area improvements.
Total Revenues Available to Fund Non-Housing
Improvements
The unexpended capital proceeds and bond balances provide the Rodeo Project
Area with capital to fund Project Area improvements during the next five years.
By FY 2013/14 the Agency can anticipate $11.3 million of revenues available
from all sources to fund Rodeo’s Project Area improvements.
FIGURE 2-2
Project Revenues Available
to Fund Non-housing
Improvement Projects in the
Rodeo Project Area
FY 2009/10 to 2013/14
($ Thousand)
FY
09-10
FY
10-11
FY
11-12
FY
12-13
FY
13-14 TOTA L
Total Tax In c rem en t $1,990 $1,718 $1,742 $1,765 $1,789 $9,004
Housing Set-Aside $363 $307 $311 $314 $318 $1,613
33676 Adjustment $176 $182 $188 $194 $201 $941
Property Tax Administrative fees $19 $16 $16 $17 $17 $85
AB 1290 tax sharing $0 $0 $0 $4 $9 $13
Taxing Entity Share $405 $352 $358 $363 $368 $1,846
Net Tax In crement Rev enu es $259 $97 $104 $107 $111 $678
A ddi t i onal Revenues
Unexpended Capital and Available Bond
Proceeds (2)
$10,284 $0 $0 $0 $0 $10,284
New Bonds Anticipated for Non-Housing $0 $0 $0 $0 $0 $0
Interest Earnings on Capital Funds $65 $65 $65 $65 $65 $325
Other Revenue Sources $0 $0 $0 $0 $0 $0
Debt Service Paid from Non-Housing Fund $768 $764 $765 $766 $765 $3,828
Tot al Revenu es A v ailab l e t o Fu nd No n-
Hou sin g Pro ject s an d Activi ties
$10,610 $160 $170 $170 $180
Cumu l at i v e Revenu es A v ailabl e to Fu nd
Non-Housin g Proj ec ts and A c ti vi ties
$10,610 $10,770 $10,940 $11,110 $11,290 $11,290
Data Sou rce: Fraser and Associates and CCRDA
Analysis : Wahlstrom & Associates
Notes
- Data is rounded to the nearest $1,000. Cumulative revenues are rounded to the nearest $10,00
- Other Revenue Sources may include grants and loans, revenues from the lease of Agency owned property, and developer fees
2.4 PROJECTED FIVE YEAR NON-HOUSING PROJECTS
AND ACTIVITIES
The Agency will form partnerships with property owners and
potential investors to reduce blight and realize the Rodeo
Redevelopment Plan goals and objectives. Land development
assistance will be provided through business incentives, loans,
land write-downs, and other tools that can reduce the cost of
business operations. The Agency will pursue grant applications
to help the Agency implement the Redevelopment Plan. The
agency will also encourage projects and activities that expand
the job base and improve the quality of life for residents.
Projects and activities that the Agency may fund during the
next five years are listed below.
•Continue to upgrade public infrastructure in the Project Area, and develop a
strategic plan to fund the maintenance of public infrastructure improvements
such as roads, drainage, utilities and parks;
•Continue utilizing the P-1 Rezoning Program to improve consistency between
the General Plan and the Zoning Ordinance, streamline the permitting process,
and encourage orderly growth and enhancement of the character of Rodeo's
Old Town;
•Offer low interest loans and other forms of financial assistance for property
owners in order to improve their storefronts and commercial building façades,
and to improve the community’s substandard and unsafe structures that must
be brought up to code to ensure the health and safety of the community;
•Maintain the Agency website to promote economic development
in Rodeo;
•Continue to implement the Rodeo Waterfront/Downtown
Specific Plan;
•Complete an assessment of the environmental, regulatory, and economic
constraints to redeveloping the Rodeo waterfront area;
•Continue environmental testing in the Project Area where appropriate and
necessary;
•Continue to pursue waterfront improvement agreements with property owners,
businesses, Contra Costa County, the East Bay Regional Park District, and
other local and regional agencies;
•Continue to support the Town Square Mixed-Use project by identifying and
selecting a master developer, funding public improvements, and providing
financial support for pre-development and site preparation;
Contra Costa RDA Implementation Plan, FY 2009/10 to FY 2014/15
January 2010 19
Contra Costa
January 2010
RDA Implementation Plan, FY 2009/10 to FY 2014/15
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•Continue efforts to attract private developers who may invest in the
community and help implement the Project Area goals and objectives;
•Continue to support community-based efforts to prevent crime, empower
youth, and revitalize the neighborhood, including the consideration of interim
financial support for a resident Sheriff Deputy.
2.5 PROJECTED FIVE-YEAR
NON-HOUSING EXPENDITURES
The Agency anticipates spending $11.3 million on improvement projects
between FY 2009/10 and FY 2013/14 Expenditures will be targeted for the
following types of projects and activities:
Capital Projects: Projects and activities within this category include utility, road
and other infrastructure improvement projects, urban design and streetscape
improvements, property acquisition and site improvements particularly related to
public/private real estate development partnerships, transit-oriented and
mixed-use facilities, and other physical development projects.
Community Improvement Activities: Projects and activities within this
category include parks & recreation, beautification programs, hazardous waste
and other garbage remediation programs, code enforcement support, and other
initiatives that enhance the appearance of the Project Area as well as the quality
of life for residents.
Economic Development Promotion: Projects and activities within this category
include job creation and retention initiatives; policies or programs that enhance
the local economy; marketing programs; and other promotional projects, events,
or activities.
Planning Activities: Projects and activities within this category include those
that implement, modify or enforce zoning and land use policies, design future
capital improvement projects, strategize economic development and community
improvement programs, and plan for urban design and streetscape improvements.
Unallocated Expenditures: The Agency intends to reserve $655,400 of
unallocated expenditures to fund future improvement projects.
[This space intentionally left blank]
FIGURE 2-3
Estimates of Future Non-housing
Expenditures in the
Rodeo Project Area
FY 2009/10 to 2014/15
Pr o j ec ts and Activit i es Pr ojec ted Ex pend i tures
Capital Projects........................................................... $3,674,200
Community Improvement Activities.............................. $164,300
Economic Development Activities................................ $6,471,000
Planning Activities....................................................... $325,100
A nt icip at ed Exp en ditu res b y Category $10,634,600
Unallocated Expenditures............................................ $655,400
Tot al A nti cipat ed Exp en di tu res $11,300,000
Data Source: Contra Costa County Redevelopment Agency
Analys is: Wahlstrom & Associates
2.6 LINKAGE BETWEEN PROJECT AREA IMPROVEMENTS AND
BLIGHT REDUCTION IN RODEO
At the time of plan adoption, the Rodeo Project Area was characterized by
numerous physical and economic blighting conditions that included obsolete,
vacant, dilapidated, and deteriorated buildings;
inadequate infrastructure and public improvements;
open storage of abandoned equipment and vehicles;
poor traffic and circulation patterns; and residential
and industrial land-use conflicts. These blighting
conditions created a “self-perpetuating” condition of
declining property values that makes it difficult to
attract new business investment.
A significant amount of blight remains in the Rodeo Project Area even though
the improvements and activities funded by the Agency have made significant
strides towards breaking this cycle of disinvestment. The Agency continues to
face many challenges to reduce blighting conditions such as properties with
hazardous materials, the continued presence of unsafe and unhealthy buildings,
inadequate public improvements in the downtown/waterfront area, and
incompatible land uses.
Contra Costa RDA Implementation Plan, FY 2009/10 to FY 2014/15
January 2010
Accordingly, tax increment financing continues to present the most realistic
long-term financing vehicle for removing blight in Rodeo given the cost
associated with improvement projects and activities. The Agency’s proposed
programs and expenditures will help reduce Project Area blight. Projects and
activities that will identify and remove hazardous materials will help make the
area safe for new business investment. Economic development and business
assistance initiatives like the Façade Improvement Program will also support
private investment and an improved building stock. The Community
21
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January 2010
RDA Implementation Plan, FY 2009/10 to FY 2014/15
22
Preservation-Abatement and Revolving Loan Program will address unsafe and
unhealthy buildings by enabling rehabilitation. The P-1 Rezoning Program will
help eliminate blight caused by incompatible land uses. Finally, the variety of
road and streetscape improvements will address the lack of public improvements
in Old Town Rodeo.
2.7 AFFORDABLE HOUSING PROJECTS AND ACTIVITIES
RODEO AFFORDABLE HOUSING PLAN
The Agency’s housing activities for the past five years are described below,
followed by a discussion of planned activities and expenditures for the next five
years.
Accomplishments Since Adoption of the 2004/05
Implementation Plan (FY 2004/05 to FY 2008/09)
During the past five years, the Agency continued to work with private developers
interested in residential, mixed-use, and commercial development within the
Rodeo Project Area. In 2006, the Agency completed the assemblage of property
for a mixed-use project referred to as the Town Plaza. Approximately $1.9
million has been expended to purchase the site. In April 2007, staff initiated a
Request for Qualifications/Request for Proposals for the Development of a
mixed-use Town Plaza site that includes 24 residential units. The Olson
Company submitted a proposal and was selected to implement the project.
However, the Olson Company was unable to finance the project due to the
recession, and negotiations were terminated. Consequently, no Disposition and
Development Agreement (DDA) has been signed, and project implementation is
delayed until housing market conditions improve.
In addition, the Agency has worked with a developer proposing to build 17 units
in the Project Area (Laurel Court Estates). The Agency is not providing financial
assistance to this project and none of the units are planned to be affordable.
However, the developer will be subject to an in-lieu housing fee pursuant to the
County’s Inclusionary Housing Ordinance.12
In 2007-2008, Agency staff and the Building Inspection-Neighborhood
Preservation Program developed and began implementing a housing
rehabilitation program within the Rodeo Project Area.
12 The two potential developments are included in the projections of housing
production, which are discussed later.
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January 2010
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Revenues Available to fund Affordable Housing Projects
and Programs
The Agency is projected to have approximately $3.3 million in housing set-aside
funds and fund balance available to support affordable housing projects within
the Rodeo Project Area during the five-year period, as shown in Figure 2-4.
Another $3.7 million of bond proceeds are reserved. This gives the Agency
approximately $7 million of funding available for affordable housing projects
and programs. The Housing Fund resources are used by the Agency to facilitate
the expansion, improvement, and preservation of the affordable housing supply
within the Project Area.
FIGURE 2-4
Low and Moderate Income Housing
Fund Summary
YEAR AMOUNT
Balance, August 2009............ $1,672,100
2009-2010............................... 363,000
2010-2011............................... 307,000
2011-2012............................... 311,000
2012-2013............................... 314,000
2013-2014............................... 318,000
Unexpended Bond Proceeds $3,703,800
Tot al $6,988,900
Sourc e: Contra Costa Redevelopment Agency and Fraser & Associates
A n al y si s: Vernazza Wolfe Associates
Planned Housing Activities, FY 2009/10 to 2013/14
The Agency’s housing plans for the Rodeo Project Area over the next five years
constitute a continuation of past activities and priorities, as well as initiation of
new programs. The specific goals and objectives to implement the
Redevelopment Plan are listed below.
•Monitor and provide support as appropriate for private development within the
Project Area;
•Initiate the Rodeo Town Square Mixed-Use Plan, including a planning process,
site acquisition, and preparation as a downtown revitalization catalyst project;
•Implement affordable housing programs such as the housing rehabilitation
program or an affordable housing component of the Town Square Mixed-Use
project;
•Seek to acquire and/or rehabilitate existing multifamily properties to maintain
existing affordability;
•Complete the collateral materials to market residential sites in the Rodeo
Redevelopment Project Area and develop marketing tools including a land
database available to interested parties via the Internet.
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January 2010
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Projected Housing Expenditures, FY 2009/10 to 2013/14
The estimated expenditures for future housing activities are shown in Figure 2-5.
The planned programs are described below.
Housing Rehabilitation Loan Program
The establishment of a Housing Rehabilitation Loan Program for low and
moderate-income owner-occupied residential properties in Rodeo is a stated
Agency goal. The Agency is now funding a housing rehabilitation loan program
targeted for households with less than 120 percent of the Area Median Income
(AMI). Loans to low-income households will be made to improve interior and
exterior conditions that cause a unit to fail housing quality standards and threaten
the health and safety of the occupants. The program, which is administered by
the Building Inspection Neighborhood Preservation Program, offers loans with
interest rates that range from zero to three percent simple interest depending on
household income. The program was recently initiated and the Agency has
reserved $1.9 million for housing rehabilitation loans over the next five years.
Homebuyer Assistance-Foreclosed Properties
The Agency is developing a program to acquire foreclosed homes in Rodeo and
other Project Areas. The Program may work in coordination with the
Neighborhood Stabilization Program (NSP), which is funded by the Department
of Housing and Urban Development and administered by the Contra Costa
County Department of Conservation and Development. The County plans to use
the NSP funds to acquire foreclosed properties, rehabilitate the homes where
needed, and then resell to other homebuyers. NSP funds may also be used to
assist with closing costs, down payments, and land banking for future
development. The Agency has reserved more than $300,000 to supplement the
federal funds allocated for assisting the owners of foreclosed properties.
Housing Development Fund
The Agency has programmed $1.6 million to be used to assist in the development
or acquisition and rehabilitation of affordable housing.
Town Plaza Mixed-Use Development
The Agency has programmed approximately $2.4 million to support the
residential component of the planned Town Plaza mixed-use development.
Unallocated Expenditures
Nearly $800,000 of funds are unallocated, and the Agency’s decisions about
future expenditures will be made at a later date.
Contra Costa
January 2010
RDA Implementation Plan, FY 2009/10 to FY 2014/15
25
FIGURE 2-5
Projected Housing Expenditures in
Rodeo Project Area
FY 2009/10 to 2013/14
Pl anned Expen d itu r es
Ho u s ing Progr am
A mount Per c ent
Housing Rehabilitation ..................................................$1,856,000 26.6%
Homebuyer Assistance Foreclosed Properties ..............$322,800 4.6%
Housing Development Fund ..........................................$1,613,900 23.1%
Town Plaza Mixed Use Development ............................$2,420,800 34.6%
Unallocated Expenditures .............................................$775,500 11.1%
Tot al $6,988,900 100.0%
So urce: Contra Costa Redevelopment Agency
Analysis : Vernazza Wolfe Associates
2.8 AFFORDABLE HOUSING PRODUCTION PLAN
This section describes the production of new housing in the Project Area and
how the Agency is meeting its legal obligations to develop and rehabilitate
additional affordable housing units. The Agency’s efforts to develop new
affordable housing units are guided by the County’s most recently adopted
Housing Element, the County’s regional fair share housing needs allocation and
various County policies and programs that promote affordable housing.13 Within
this context, the Rodeo Project Area is mostly built out. Only a few infill housing
units are constructed each year, and only two small (25 units or less)
development projects are planned.
The Agency has made good progress with producing affordable housing units in
Rodeo. The Agency has complied with the housing production requirements,
and, in fact, more affordable housing units have been developed than required by
redevelopment law. At the beginning of the Implementation Plan period, there
was a surplus of 36 affordable units overall, with 12 of these units for very
low-income households. As shown in the bottom row of Figure 2-6, at the
beginning of 2008/09, there was still a projected surplus of affordable units (30
total affordable units with 10 for very low-income) based on production through
2008/09, the end of the Implementation Plan period.
13 The County submitted its Draft Housing Element Revised in Response to HCD Comments in June
2009.
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26
FIGURE 2-6
Housing
Production and
Affordable Housing
Obligation
in Rodeo
TOTALS FOR PERIOD
Through
FY
2003/04
FY
2004/05
FY
2005/06
FY
2006/07
FY
2007/08
FY
2008/09
FY2009/10-
FY2013/14
(Projected)
Beginning
FY 2008/09
FY2004/05
to
FY2013/14
(a)
Total
Over Life
of Plan
(b)
Percent
Ho u s i n g Pro ducti on i n Pro j ec t A rea (c )
New Units 157 25 4 4 4 1 42 195 80 257
Substantial
Rehabilitation 30 0 0 0 0 2 10 32 12 62
Total 187 25 4 4 4 3 52 227 92 319
CRL A ffordab l e Housing Obligat i on (d)
Very Low 12 2 1 1 1 1 4 14 6 20 6%
Very Low,
Low or
Moderate
29 4 1 1 1 1 8 35 14 48 15%
Pro d uctio n of A ffo rdab l e Housing (Actu al t hr u 2007/08) (e)
Very Low 2400000 224 226
Very Low, Low
or Moderate 65 0 0 0 0 0 4 65 4 69
Af fordable Pr oducti on Sur pl us (Def i c i t) (f)
Very Low 12 (2) (1) (1) (1) (1) (2) 10 (4) 6
Very Low, Low
or Moderate 36 (4)(1)(1)(1)(1)(4)30 (10)21
Notes: Percentages may not add exactly due to rounding. CRL affordable housing production requirements are rounded up to the nearest whole unit.
a. As required by CRL, total units over ten year compliance period (Section 33490(a)(2)(B)).
b. As required by the CRL, total units over the life of the Redevelopment Plan (Section 33490(a)(2)(B)). Includes projected production after 2013/14.
c. Total units produced in the Project Area during the specified time period.
d. Number of affordable units required based on units produced. Affordable housing production obligation for non-Agency developed housing requires 15% of total units
to be available at affordable cost. Of those units, at least 40% must be affordable to very low income households (6% of the total units). Agency developed housing
has higher inclusionary requirements. The Agency has not, and does not anticipate, directly developing units.
e. Number of units satisfying CRL affordable housing production obligation. Affordable units produced outside Project Area counted on a one for two basis.
f. Remaining affordable housing surplus or obligation at the end of the period.
Source: Contra Costa Redevelopment Agency
Analys is: Vernazza Wolfe Associates
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27
Figure 2-6 shows projected housing production for the next five years
and over the life of the Redevelopment Plan. Depending on how
development activity proceeds over the next five years, there may be a
temporary deficit in the required affordable units for the ten-year period
ending 2013/14. However, over the life of the Redevelopment Plan, the
Project Area is expected to meet its housing production requirements
with a surplus in required affordable units.
Historical Housing Production and Affordable
Housing Obligations
Housing production in the Project Area is summarized in Figure 2-6.
During the past five years (FY 2004/05 through FY 2007/08), 38 housing
units were built in the Project Area. None of these units are affordable
units. Most of the housing production in the Project Area occurred earlier
(157 new units and 30 substantially rehabilitated units).14 Of these units,
65 were affordable units, of which 24 were affordable to very
low-income households.
Future Housing Production
The Laurel Court Estates development (17 housing units) has been
approved. It is expected that development will be delayed until
economic conditions improve and the developer is able to obtain
financing. The developer plans to pay the County’s Inclusionary Housing
in-lieu fee rather than including affordable units in the project. This is
expected to produce a shortfall of affordable units for the Project Area
for the year. However, the surplus of affordable units from earlier years
will compensate for this shortfall.
Projections for future housing production in the Project Area through
2013/14 (42 units) include the 24 housing units that would be part of the
proposed Town Plaza development and the Laurel Court Estates units
(17 units). The projections assume that the Town Plaza project would
meet its affordable housing obligations by including at least the
minimum number of affordable units (four units).
2.9 REPLACEMENT HOUSING REQUIREMENTS
The Agency is required to replace within four years after removal any
housing units in the Project Area that have been removed. No housing
units in the Project Area have been removed, and there are no planned
14 2004/05 Implementation Plan.
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28
projects that would require replacement units. However, if future projects
result in relocation and removal, the Agency will prepare a replacement
housing plan to ensure that it meets its obligations.
2.10 TARGETING RODEO’S HOUSING FUND
EXPENDITURES
There are two requirements regarding targeting of housing fund
expenditures, one related to the income groups served and one to age.
Targeting Low- and Very Low-Income Households
Through 2004-05, the Agency spent $437,600 of its Housing Fund to
assist the production of affordable housing.15 All of these funds were
used to assist development of the Rodeo Senior Housing project
(51 units). There have been no other expenditures to assist in the
development of affordable housing in the Project Area. This expenditure,
which has benefited very low-income seniors, represents 100 percent of
the housing funds to assist housing production in the Project Area, and
exceeds the required 39 percent indicated in Figure 1-2 that represents
the target percentage for assistance to very low-income households based
on the RHNA numbers for the County.
Through 2008-09, the Agency spent an additional $796,600 in housing
funds for the Town Plaza development, bringing the total spent to
approximately $1.2 million. Thirty-nine percent of the expenditures have
been for very-low-income households, with 55 percent for low-income
households. Thus, the Agency meets CRL’s targeting requirements to
expend at least 39 percent of the available funds for low-income
households, and 28 percent for very-low-income households.
Targeting Non-Seniors
During the past five years, the housing expenditures have been targeted
for non-seniors. However, prior to 2005, nearly all of the Agency’s
Housing Fund expenditures provided financial assistance to the Rodeo
Senior Housing project. Thus, the Agency expended nearly 35 percent of
the available affordable housing funds for seniors, somewhat exceeding
the 30 percent targeting requirement. The Agency anticipates being in
compliance by 2014, after financial assistance is provided to develop the
new Town Plaza housing units.
15 2004/05 Implementation Plan.
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29
Furthermore, redevelopment law allows an Agency to meet its
age-related targeting requirement in combination for all project areas.
Combining housing assistance expenditures for all five project areas, less
than five percent have been for senior households—thus not exceeding
the allowed targeted percentage of 30 percent.
* * *
Contra Costa RDA Implementation Plan, FY 2009/10 to FY 2014/15
January 2010 30
The neighborhood is located in an attractive natural setting with direct
views to San Pablo Bay; it can be accessed from Interstate 80 through the
Richmond Parkway, and from San Pablo Avenue through Kay Road,
Shamrock Avenue, and Tara Hills Drive. The housing stock includes
small single family homes, and a mobile home park.
The neighborhood lacks commercial services, which consists of a
visually unappealing self-storage facility along San Pablo Avenue and a
gas station anchored retail strip center. Walgreen's, which is located on
the outskirts of the project area, functions as the neighborhood general
merchandise store.
3.1 AGENCY’S PAST NON-HOUSING
ACCOMPLISHMENTS AND EXPENDITURES
The Montalvin Manor Project Area has been established for less than six
years and it takes time for the Agency to accumulate funds and actually
make Project Area improvements. The Agency has completed a number
of planning, fund raising, and project implementation accomplishments
since the Redevelopment Plan was adopted in 2003; these are listed
below.
The 211-acre Montalvin Manor
Redevelopment Project Area was
established in 2003. The community is
bounded by the Union Pacific Railroad
tracks to the north, San Pablo Avenue to
the south, Pinole’s Tara Hills/Bayview
community to the east, and the City of
Richmond to the west.
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•Completed the Redevelopment Plan adoption process;
•Completed the Pedestrian and Transit Access Improvement Planning
Strategy;
•Restructured an Advisory Committee to help with decision making
for various planning efforts;
•Secured County Regional Transportation for Livable Communities
funds to make pedestrian and transit accessibility improvements along
San Pablo Avenue and Kay Road;
•Facilitated the creation of a new drop off point that connects Kay
Road and Rachel Road with Montalvin Manor Elementary School;
•Completed a Planned-Unit District (P-1) Rezoning and established a
Building Permit Amnesty Program to aid and alleviate Code
Enforcement issues;
•Completed installation of bicycle route signage along San Pablo
Avenue between Tara Hills Drive and the Richmond Parkway;
•Budgeted funds for future projects, including the Montalvin Park
Lighting and Landscape District, Montalvin Park Improvements, San
Pablo Avenue and Kay Road Sidewalk Improvements, and Montalvin
Sidewalk/frontage Improvements;
•Established a Redevelopment Housing Rehabilitation Loan Program;
•Funded the legal steps to establish a maintenance assessment district;
•Issued bonds and invested the proceeds of those bonds (approximately
$2.9 million) in Project Area improvements;
•Created a volunteer effort to raise funding from the existing
community groups and local volunteers.
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January 2010 31
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32
3.2 PROJECT AREA GOALS AND OBJECTIVES
The Project Area’s long-term goals, which were established during the
Plan adoption, are intended to guide Agency actions toward reducing
physical and economic blight, and they will continue to guide the
direction of all future development through 2033. The Implementation
Plan also establishes five-year goals that complement the long-term goals
and objectives listed below.
LONG TERM REDEVELOPMENT AND COMMUNITY
IMPROVEMENT GOALS
•Eliminate or improve substandard and other buildings that conflict
with the County General Plan and other County standards and
guidelines;
•Install public improvements and utilities in parks, community centers,
and schools and other public spaces within the Project Area;
•Expand housing affordability through rehabilitation and new
construction to create residential opportunities for all segments of the
community, including low and moderate-income households;
•Develop a strong commercial incentive program to encourage an
upgrading of commercial buildings and to attract new commercial
users in the area;
•Make improvements to promote walking and the use of bicycles;
•Adopt improvement projects and programs to expand employment
opportunities for Project Area residents;
•Improve traffic and vehicular circulation;
•Improve parking conditions;
•Strengthen pedestrian and bike access;
•Improve the overall image of Montalvin Manor;
•Initiate access to public transit;
•Develop opportunity sites;
•Improve community infrastructure;
•Ensure community involvement in the redevelopment process.
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33
FIVE-YEAR IMPLEMENTATION PLAN GOALS
AND OBJECTIVES
The Agency will undertake projects and activities, and will partner with
property owners and potential investors to implement projects during the
next five years in order to reduce blight and achieve the long-term goals
and objectives. Land development assistance will be provided through
business incentives, loans, land write-downs, and other tools that can
reduce business costs. The Agency will also apply for grants when so
doing furthers the Redevelopment Plan. Projects and activities that the
Agency may help fund during the five year Implementation Plan period,
which are intended to expand the job base and improve area resident’s
quality of life are listed below.
•Continue the Community Information Program and community
meetings to educate and update residents about redevelopment tools
and processes;
•Continue to work with the Redevelopment Advisory Committee to
develop a long-term strategic plan for achieving Redevelopment Plan
goals;
•Continue to work with the County to fund the rehabilitation and
upgrading of community park & recreation facilities including
improvements such as bathrooms, lighting, landscaping, drainage, and
building improvements;
•Continue to work with the County and City of Richmond to
create/improve sidewalks along San Pablo Avenue and Kay Road that
will improve pedestrian and transit safety accessibility;
•Work with the City of Richmond and the West Contra Costa Unified
School District to improve sidewalks, the Kay Road entryway, and
other entryways into Montalvin Manor Elementary School;
•Work on projects that will implement the Montalvin Manor Pedestrian
and Transit Access Improvement Strategy;
•Continue to work with the County in implementing Code Enforcement
including the Amnesty Program to legalize illegal building activity;
•Improve neighborhood-parking options;
•Attract new commercial businesses and encourage the development of
new commercial real estate on vacant and/or underutilized properties at
the intersection of Tara Hills and San Pablo Avenue.
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34
3.3 PROJECTED REVENUES AVAILABLE TO FUND
NON-HOUSING IMPROVEMENTS
The Agency can issue $50 million of outstanding debt through the sale of
bonds and other loans at any one time. Project improvement activities
will be allowed through 2034, after which the Redevelopment Plan will
expire (See Figure 3-1). The revenues that will be available to fund non-
housing improvements in the Montalvin Manor Project Area are
described below.
FIGURE 3-1
Montalvin Manor Project
Area Fiscal Limits
Plan Adoption...............................................................................................July 8, 2003
Year that Plan was Last Amended................................................................2006
Expiration date to Start Eminent Domain......................................................July 8, 2015
Debt Repayment..........................................................................................July 8, 2049
Plan Effectiveness........................................................................................July, 8 2034
Cumulative Tax Inc.......................................................................................Not Required
Bond Debt Limit............................................................................................$50,000,000
Data So u rce: Contra Costa County Redevelopment Agency
Projected Tax Increment Revenues
Tax increment revenues have been and will continue to be the primary
source of revenue available to the Agency to fund improvement projects
and activities. Fraser & Associates projects that the Montalvin Manor
Project Area will earn $112,000 of net tax increment revenues during FY
2009/10, but the revenues will significantly decline to $35,000 during FY
2010/11. Given the lack of property value appreciation, the net tax
increment revenues will stagnate during the remainder of the IP period.
Consequently, the Agency can anticipate accruing only $252,000 of
cumulative tax increment revenues that can be reinvested for non-
housing improvements through FY 2013/14 (See Figure 3-2).16
In contrast, the current Implementation Plan projected $1.7 million of
cumulative tax increment revenues that the Agency could use to fund
Montalvin Manor’s non-housing improvements between FY 2004/05 and
FY 2008/09.17 The recession and the decline of property values that
16 The net tax increment estimates represent the revenue that will remain with the
Agency after pass through payments, administration fees, and other Agency obligations
have been met, not counting debt service.
17 See Contra Costa County Implementation Plan FY 2004/05 to FY 2008/09. Table IV-2
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January 2010
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35
started in 2007 will reduce the revenues available to fund Project Area
improvements during the next five years.
Other Revenue Sources
Other revenue sources available to the Agency to make Project Area
improvements in Montalvin Manor include $1 million of unexpended
capital project fund bond proceeds, plus a small amount of interest
earned on the unexpended funds.
The Agency does not anticipate issuing any new bonds to fund Project
Area improvements during the next five years. In addition, no additional
sources of grant funding or developer fees are included in the revenue
projections.
Debt Service on Past Non-Housing Improvements
In order to fund Project Area improvements with bond proceeds the
Agency is obligated to commit $130,000 per year to service the debt of
past borrowing for non-housing Project Area improvements.
Borrow to Cover Negative Returns
The negative debt service caused by declining property values and tax
increment revenues will counter-balanced by other sources or from new
bond revenues.
Total Revenues Available to Fund Non-Housing
Improvements
The unexpended capital proceeds and bond balances provide Montalvin
Manor with capital to fund Project Area improvements during the next
five years. By FY 2013/14, the Agency can anticipate a cumulative total
revenue of only $1.02 million to fund Project Area improvements.
Montalvin Manor’s revenues will be reduced by the projected annual
deficits during each year of the IP.
[This space intentionally left blank]
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RDA Implementation Plan, FY 2009/10 to FY 2014/15
36
FIGURE 3-2
Project Revenues
Available to Fund
Non-housing
Improvement
Projects in the
Montalvin Manor
Project Area
FY 2009/10
to FY 2013/14
($ thousand)
FY
09/10
FY
10'11
FY
11/12
FY
12/13
FY
13/14
Tot al
Total Tax Increment $187 $57 $57 $57 $57 $409
Housing Set-Aside $36 $11 $11 $11 $11 $80
33676 Adjustment $0 $0 $0 $0 $0 $0
Property Tax Administrative fees $2 $1 $1 $1 $1 $6
AB 1290 tax sharing $31 $10 $10 $10 $10 $71
Taxing Entity Share $0 $0 $0 $0 $0 $0
Net Tax Inc rem en t Rev en ues $112 $35 $35 $35 $35 $252
A d diti onal Revenues
Unexpended Capital and Available Bond Proceeds $1,025 $0 $0 $0 $0 $1,025
New Bonds Anticipated for Non-Housing $0 $0 $0 $0 $0 $0
Interest Earnings on Capital Funds $11 $2 $2 $2 $2 $19
Other Revenue Sources $0 $0 $0 $0 $0 $0
A d dit i o nal Cos ts
Debt Service on Past Non-Housing Improvements $130 $130 $130 $130 $130 $650
Total Revenues A vailab l e t o Fund No n -Hous i ng
Pro jec ts and Ac tiv i t i es
$1,020 ($93)($93)($93)($93)
B o r r owi ng t o Co v er Negat iv e Return s $93 $93 $93 $93
Cumulativ e Revenues A vai l ab l e to Fu nd Non-Hou s in g
Pro jec ts and Ac tiv i t i es
$1,020 $1,020 $1,020 $1,020 $1,020 $1,020
Data Source: Fraser and Associates and CCRDA
A n aly si s: Wahlstrom & Associates
No tes
Data is rounded to the nearest $1,000. Cumulative revenues are rounded to the nearest $10,000.
Other Revenue Sources may include grants and loans, revenues from the lease of Agency owned property, and developer fees
3.4 PROJECTED FIVE YEAR NON-HOUSING
PROJECTS AND ACTIVITIES
The Agency will form partnerships with property owners and potential
investors to implement projects, and will undertake projects and
activities during the next five years to reduce blight and achieve the
Montalvin Manor Project Area’s goals and objectives. Land development
assistance will be provided through business incentives, loans, land
write-downs, and other tools that can reduce the cost of business
operations. Grant applications that help the Agency implement the
Redevelopment Plan will be submitted. Projects and activities that
expand the job base and improve the quality of life for residents will be
Contra Costa
January 2010
RDA Implementation Plan, FY 2009/10 to FY 2014/15
37
encouraged. Projects and activities that the Agency may fund during the
next five-years are listed below.
•Continue the Community Information Program and community
meetings to educate and update residents about redevelopment tools
and processes;
•Develop a long-term strategic plan to implement the Redevelopment
Plan goals through on-going collaborations with the Redevelopment
Advisory Committee;
•Fund the rehabilitation and upgrading of community parks &
recreation facilities such as bathrooms, lighting, landscaping, drainage,
and building facilities through ongoing collaborations with the County;
•Improve pedestrian and transit safety accessibility by creating new and
improving existing sidewalks along San Pablo Avenue and Kay Road
through continued collaborations with the County and City of
Richmond;
•Improve sidewalks and entryways into Montalvin Manor Elementary
School, primarily along Kay Road, through ongoing collaborations
with the City of Richmond and the West Contra Costa Unified School
District;
•Implement the Montalvin Manor Pedestrian and Transit Access
Improvement Strategy;
•Implement Code Enforcement including the Amnesty Program to
legalize unpermitted building activity;
•Improve neighborhood-parking options;
•Attract new commercial businesses and encourage the development of
new commercial real estate on vacant and/or underutilized properties at
the intersection of Tara Hills and San Pablo Avenue.
3.5 PROJECTED FIVE-YEAR
NON-HOUSING EXPENDITURES
The Agency anticipates spending $1 million on improvement projects
between FY 2009/10 and FY 2013/14. Expenditures will be targeted for
the following types of projects and activities:
Capital Projects: Projects and activities within this category include
utility, road and other infrastructure improvement projects, urban design
and streetscape improvements, property acquisition and site
improvements particularly related to public/private real estate
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January 2010
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38
development partnerships, transit and mixed-use facilities, and other
physical development projects.
Community Improvement Activities: Projects and activities within this
category include beautification programs, hazardous waste and other
garbage remediation programs, code enforcement support, and other
initiatives that enhance the appearance of the Project Area as well as the
quality of life for residents.
Economic Development Promotion: Projects and activities within this
category include job creation and retention initiatives, policies or
programs that enhance the local economy, marketing programs, and
other promotional projects, events, or activities.
Planning Activities: Projects and activities within this category include
those that modify or enforce zoning and land use policies, design future
capital improvement projects, strategize economic development and
community improvement programs, and plan for urban design and
streetscape improvements.
Unallocated Expenditures: The Agency intends to reserve $450,700 of
unallocated expenditures to fund future improvement projects.
FIGURE 3-3
Estimates of Future Non-housing
Expenditures in
Montalvin Manor Project Area
FY 2009/10 to FY 2014/15
Pr o j ects and A ctivi ti es Pr oj ect ed Ex pen di tu r es
Capital Projects................................... $550,000
Community Improvement Activities ..... $14,100
Economic Development Activities........ $0
Planning Activities............................... $3,200
A n ti c i pated Exp endi tur es by
Cat eg ory $567,400
Unallocated Expenditures ................... $450,700
Tot al Anti cipat ed Ex pend i t ures $1,018,000
Data Source: Contra Costa Redevelopment Agency
A n aly si s: Wahlstrom & Associates
3.6 LINKAGE BETWEEN PROJECT AREA
IMPROVEMENTS AND BLIGHT REDUCTION IN
MONTALVIN MANOR
Blighted buildings and underutilized and vacant properties that need new
private investment characterized the Montalvin Manor Project Area at
the time of plan adoption. The Agency’s actions since 2003 have been
focused on the planning and fundraising efforts that will be needed to
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January 2010
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39
eliminate blight. The Agency has not had enough time or funding to
make much progress in alleviating blight thus far.
The Agency’s capital projects will facilitate the redevelopment of
blighted, underutilized, and vacant properties by investing resources in
property acquisition, demolition, and site preparation, as well as public
infrastructure projects. Community improvement activities will improve
the supply and quality of community services, beautify the
neighborhoods, rehabilitate the housing stock, and remove hazardous
materials and garbage.
Economic development promotion activities will help attract more
private investment to the Project Area, which will help create new jobs
and increase the local tax base and economy, all of which will counteract
blighting conditions remaining in the Montalvin Manor Project Area.
Accordingly, the projects and activities described in this Implementation
Plan will help reduce and eliminate Project Area blight, consistent with
the Redevelopment Plan
Tax increment financing provides the most realistic long-term financing
vehicle for removing blight in Montalvin Manor given the cost
associated with improvement projects and activities. This source may be
significantly impaired during the term of this IP. The Agency’s proposed
programs and expenditures will help reduce Project Area blight.
3.7 AFFORDABLE HOUSING PROJECTS
AND ACTIVITIES
MONTALVIN MANOR AFFORDABLE HOUSING PLAN
The Agency’s housing activities for the past five years are discussed
below, followed by a discussion of planned activities and expenditures
for the next five years.
Accomplishments Since Adoption of the 2004/05
Implementation Plan (FY 2004/05 to FY 2008/09)
During the past five years, Agency staff has worked on two major
projects affecting housing, development of a housing rehabilitation
program, and a code enforcement “Amnesty Program.” Agency staff and
the Building Inspection-Neighborhood Preservation Program developed
and implemented a housing rehabilitation program that can be used
within the Montalvin Manor Project Area.
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Revenues Available to fund Affordable Housing
Projects and Programs
The Agency has approximately $476,500 in housing set-aside funds and
the housing fund balance available to support affordable housing projects
within the Montalvin Project Area during the five-year period as shown
in Figure 3-4. Another $$233,000 of bond proceeds is also available for
housing improvements. This leaves the Agency with approximately
$709,500 to fund affordable housing projects and programs. The
Housing Fund resources are used by the Agency to facilitate the
expansion, improvement and preservation of the affordable housing
supply within the Project Area.
FIGURE 3-4
Low and Moderate Income
Housing Fund Summary
Year Amount
Balance, June 2009....... $396,500
2009-2010..................... 36,000
2010-2011..................... 11,000
2011-2012..................... 11,000
2012-2013..................... 11,000
2013-2014..................... 11,000
Bond Proceeds $233,000
Total $709,500
Sourc e: Contra Costa Redevelopment Agency and Fraser & Associates
Analys is . Vernazza Wolfe Associates
Note: Fund balance and bond proceed numbers are rounded to the nearest $100.
Planned Housing Activities, FY 2009/10 to 2013/14
The Agency’s housing plans for the Montalvin Manor Project Area over
the next five years are a continuation of past activities and priorities. The
specific goals and objectives to implement the Redevelopment Plan are
listed below:
•Proactively assist in the development of new commercial and mixed-
use projects on vacant/under-utilized properties at Tara Hills and San
Pablo Avenue and Tara Hills Drive intersection, including identifying
financial assistance tools required to achieve public goals;
•Continue to work with the Department of Conservation and
Development, and others to implement a proactive Code Enforcement
Program and assess site development requirements and on-site parking
issues, particularly with respect to garage conversions and lack of off
street parking.
Projected Housing Expenditures, FY 2009/10 to
2013/14
The estimated expenditures for future housing activities are shown in
Figure 3-5. The programs available to support affordable housing
in the Project Area are described below in more detail.
Contra Costa RDA Implementation Plan, FY 2009/10 to FY 2014/15
January 2010 41
Housing Rehabilitation Loan Program
Montalvin Manor residents may participate in the Agency’s
Housing Rehabilitation Loan Program. The Program is for low-
and moderate-income owner-occupants of residential properties.
Loans to low- and moderate-income households will be made to
improve interior and exterior conditions that cause a unit to fail
housing quality standards and threaten the health and safety of the
occupants. The program, which is administered by the Building
Inspection Neighborhood Preservation Program, offers loans with
interest rates that range from zero to three percent simple interest
depending on household income. The program was recently initiated and
the Agency has reserved $448,400 million from bond proceeds for
housing rehabilitation loans in Montalvin Manor over the next five years.
Homebuyer Assistance-Foreclosed Properties
The Agency is developing a program to acquire foreclosed homes in
Montalvin Manor and other Project Areas. The Program may work in
coordination with the Neighborhood Stabilization Program (NSP), which
is funded by the Department of Housing and Urban Development and
administered by the Contra Costa County Department of Conservation
and Development. The County plans to use the NSP funds to acquire
foreclosed properties, rehabilitate the homes where needed, and then
resell to other homebuyers. NSP funds may also be used to assist with
closing costs, down payments, and land banking for future development.
Amnesty Program Implementation
An allocation of approximately $27,100 is projected to cover staff costs
to implement the temporary amnesty program for specific housing code
issues as discussed above.
Housing Development Fund
The Agency has set aside funds to be used in the future to assist in the
development of affordable housing ($203,800).
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FIGURE 3-5
Projected Housing Expenditures
Montalvin Manor Project Area
FY 2009/10 to 2013/14
Housing Prog r am Pl an ned Exp endi tur es
Am ou nt Per c en t
Housing Rehabilitation........................................ $448,400 66%
Housing Development Fund................................ $203,800 30%
Amnesty Program Implementation...................... $27,100 4%
Total $679,300 100.0%
Sourc e: Contra Costa Redevelopment Agency
Analys is : Vernazza Wolfe Associates
3.8 AFFORDABLE HOUSING PRODUCTION PLAN
This section describes the production of new housing in the Project Area
and how the Agency is meeting its legal obligations to develop and
rehabilitate more affordable housing units. The Agency’s efforts to
develop more affordable housing units are guided by the County’s most
recent adopted Housing Element, the County’s regional fair share
housing needs allocation, and various County policies and programs that
promote affordable housing.18
Because the Project Area is small (211 acres) and mostly built out, with
only a few vacant parcels, there are limited opportunities for new
housing development. Approximately 750 small single family homes and
a 179-unit mobile home park are established in the Project Area. Thus
far, there has been only one housing unit constructed in the Project Area.
[This space intentionally left blank]
18 The County submitted its Draft Housing Element Revised in Response to HCD Comments
in June 2009.
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FIGURE 3-6
House
Production and
Affordable
Housing
Obligation in
Montalvin Manor
TOTA L S FOR PERIOD
Through
FY
2003/04
FY
2004/05
FY
2005/06
FY
2006/07
FY
2007/08
FY
2008/09
FY2009/10-
FY2013/14
(Projec ted)
B eg in n ing
FY 2008/09
FY2004/05
to
FY2013/14
(a)
Total
ov er L ife
o f Plan
(b)
Per cent
Hou sing Pro duction in Proj ect A r ea (c)
New Units 0 0 0 0 0 0 25 0 25 45
Substantial
Rehabilitation 0 0 0 0 0 0 0 0 0 0
Tot al 0 0 0 0 0 0 25 0 25 45
CRL Aff ord ab l e Ho u sing Obli gation (d )
Very Low 0 0 0 0 0 1 2 1 2 3 6%
Very Low, Low
or Moderate 0 0 0 0 0 1 4 1 4 7 15%
Pr odu ct i o n of A ff ordable Hou sing (Actual thr u 2007/08) (e)
Very Low 0 0 0 0 0 0 0 0 0 0
Very Low, Low
or Moderate 0 0 0 0 0 0 0 0 0 0
A ff ordable Pr odu cti on Su rplus (Def i cit) (f )
Very Low 0 0 0 0 0 0 (2) 0 (2) (3)
Very Low, Low
or Moderate 0 0 0 0 0 0 (4)0 (4)(7)
Not e: Percentages may not add exactly due to rounding; CRL affordable housing production requirements are rounded up to the nearest whole unit.
a. As required by CRL, total units over ten year compliance period (Section 33490(a)(2)(B)).
b. As required by the CRL, total units over the life of the Redevelopment Plan (Section 33490(a)(2)(B)); includes projected production after 2013/14.
c. Total units produced in the Project Area during the specified time period.
d. Number of affordable units required based on units produced. Affordable housing production obligation for non-Agency developed housing requires 15% of total
units to be available at affordable cost. Of those units, at least 40% must be affordable to very low-income households (6% of the total units). Agency developed
housing has higher inclusionary requirements. The Agency has not, and does not anticipate, directly developing units.
e. Number of units satisfying CRL affordable housing production obligation; affordable units produced outside Project Area counted on a one for two basis.
f. Remaining affordable housing surplus or obligation at the end of the period.
So u rce: Contra Costa County Redevelopment Agency
Analys is : Vernazza Wolfe Associates
Figure 3-6 shows projected housing production for the next five years
and over the life of the Redevelopment Plan. Over the life of the
Redevelopment Plan, the Project Area is expected to meet its housing
production requirements, by mandating that any new development
incorporates affordable housing as well. Currently, there are no active
plans to build any new housing in the Project Area, although a few sites
do exist.
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Historical Housing Production and
Affordable Housing Obligations
Housing production in the Project Area is summarized in Figure 3-3.
During the past five years, only one housing unit was built in the Project
Area. Thus, there is no affordable housing obligation for this period.
Future Housing Production
Based on the downturn in the real estate market, a minimum level of
housing development activity in the Project Area (25 units) is projected
through 2013/14. An additional 20 units are projected for the remaining
life of the Project Area, or a total of 45 units. This would result in an
inclusionary requirement for seven affordable units, with at least three of
the units for very-low-income households.
3.9 REPLACEMENT HOUSING REQUIREMENTS
The Agency is required to replace within four years after removal any
housing units in the Project Area that have been removed. No housing
units in the Project Area have been removed, and there are no planned
projects that would require replacement units. However, if future projects
result in relocation and removal, the Agency will prepare a replacement-
housing plan to ensure that it meets its obligations.
3.11 TARGETING MONTALVIN MANOR’S HOUSING
FUND EXPENDITURES
There are two requirements regarding targeting of housing fund
expenditures, one related to the income groups served and one to age.
Targeting Low- and Very Low-Income Households
Thus far, the Agency has spent little of its Housing Fund to assist the
affordable housing. Instead, it has been accumulating funds in a Housing
Development Fund to assist future affordable projects. All of the funds
that have been spent ($90,987) have assisted very-low-income
households, meeting the targeting requirement. The Agency will
continue to assess how it is meeting the income-targeting requirement (at
least 39 percent of the funds spent to benefit very-low-income
households). See Figure 1-2, which shows the target percentages for
assistance to very-low, low- and moderate-income households based on
the RHNA numbers for the County.
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Targeting Non-Seniors
Because the Agency has not provided financial assistance for any
developments, the targeting requirement for non-senior households is not
applicable as well. Once the Agency begins to assist affordable housing
development, it will assess its compliance. Based on HUD’s special
tabulations of census data, no more than 30 percent of the Housing Fund
expenditures should benefit seniors, with the rest to benefit non-seniors.
Furthermore, redevelopment law allows an Agency to meet its age-
related targeting requirement in combination for all project areas.
Combining housing assistance expenditures for all project areas to date,
less than five percent have been for senior households, thus not
exceeding the allowed percentage of 30 percent.
* * *
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January 2010 46
The 900-acre North Richmond
Redevelopment Project Area,
surrounded by the City of Richmond
was established in 1987 in order to
improve neighborhood conditions,
attract commercial services, and
take advantage of industrial
development opportunities. 44 NNoorrtthh RRiicchhmmoonndd PPrroojjeecctt
AArreeaa IImmpplleemmeennttaattiioonn PPllaann
The North Richmond Project Area has a high concentration of low and
moderate-income households and an abundance of substandard housing,
as well as vacant and dilapidated commercial structures. The community
lacks commercial services and needs a significant amount of new
investment in new housing and neighborhood infrastructure such as
sidewalks, lighting, and roadways.
North Richmond remained an economically stagnant community for
many years, in part due to its regional isolation. However, the 1991
opening of the Richmond Parkway enhanced the area’s access by placing
North Richmond in the middle of a new transportation corridor between
Interstate 80 and I-580 at the Richmond/San Rafael Bridge. The Parkway
has facilitated some improvements within the industrial area; nonetheless
it remains underdeveloped and in need of improvements to underlying
infrastructure.
4.1 AGENCY’S PAST NON-HOUSING
ACCOMPLISHMENTS AND EXPENDITURES
The Agency has undertaken numerous housing, public safety, health,
infrastructure, urban design, and economic and community development
projects as part of its efforts to attract jobs, remove blight, and improve
access to affordable housing. The Agency’s accomplishments since
FY 2004-2005 within the North Richmond Project Area are listed below:
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•Constructed road and streetscape improvements to 3rd Street and
connector roads;
•Completed a comprehensive community planning process to identify a
Preferred Alternative Truck Route around the North Richmond
neighborhood to divert big rig truck traffic from the residential
neighborhood;
•Continued a First-Source Hiring Program with the Workforce
Development Board that promotes the hiring of local residents by area
businesses;
•In conjunction with the Community Housing Development
Corporation and the Housing Authority, created a Youthbuild program
that provides GED completion and construction industry training to
young people between the ages of 16 and 22 who have dropped out of
high school. Participants work with qualified contractors to rehabilitate
substandard units in the North Richmond area, which are then sold to
qualified low-income and first-time homebuyers;
•Facilitated development to re-establish a restaurant eatery and
commercial sites along 3rd Street;
•Promoted economic development in North Richmond through a site
selection website that helps potential investors and business prospects
identify residential or commercial development opportunities;
•Created business attraction and retention marketing materials;
•Created a Comprehensive Economic Development Strategy for the
North Richmond Project Area in conjunction with other County
departments and community members;
•Established the Community Preservation-Abatement and Revolving
Loan Fund;
•Initiated a comprehensive infrastructure planning program for the
industrial area north of Wildcat Creek;
•Established a Mello-Roos Community Facilities District to finance the
maintenance of community infrastructure;
•Formed a partnership with the City of Richmond to address
cross-jurisdictional issues such as code enforcement, abandoned
vehicle abatement, trash collection, graffiti removal, and other
community clean-up activities;
•Completed construction of KB Home’s Bella Flora Subdivision that
includes 173 single-family residential and 35 affordable housing units
for low-income, first-time homebuyers;
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•Utilized Agency and Federal funds to assist first-time homebuyers by
initiating the First-Time Homebuyer and Individual Deposit Account
Programs;
•Financed the construction of the Young Adult Empowerment Center to
provide youth with job development as an alternative to gang and
criminal activities;
•Applied to the National Transportation, Community, and System
Preservation Program for Federal assistance to construct the North
Richmond Truck Route Project;
•Assisted a major home accessory manufacturer to establish facilities in
North Richmond;
•Secured a community facilitator to provide conflict resolution and
mediation services to the residents of Bella Flora, Parkway Estates, and
Las Deltas Public Housing Development;
•Continued to support resident deputy positions to combat ongoing
blight, vehicle abatement, and other safety related activities;
•Initiated North Richmond’s Neighborhood Preservation Program, in
conjunction with the National Stabilization Program, to acquire and
redevelop foreclosed residential properties that otherwise might
contribute to abandonment and blight;
•Formed a partnership with the Contra Costa County Housing Authority
to develop a feasibility study and revitalization plan for the re-use of
the 224-unit Las Deltas Public Housing Development;
•Provided financial support to the Community Housing Development
Corporation of North Richmond (a non-profit housing developer) for
project based capacity building and initiatives;
•Created a Unified Development Area known as Grove Point to
facilitate land assemblage for a residential mixed-use redevelopment
project along the eastern portion of 3rd Street;
•Amended the Redevelopment Plan to raise the fiscal cap permitting the
Agency to continue to expand its redevelopment activities in the
future;
•Initiated preparation of a North Richmond Specific Plan to guide future
land use changes and urban design investments;
•Secured an additional $3 million in Tax Allocation Bond revenues by
releasing them from an escrow account. The Agency’s ability to
implement redevelopment activities and initiatives is bolstered by this
action.
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January 2010 49
4.2 PROJECT AREA GOALS AND OBJECTIVES
The goals and objectives are intended to guide Agency actions toward
eliminating the Project Area’s physical and economic blight. As part of
the Redevelopment Plan adoption process, community residents worked
with the Agency to establish an original set of long-term goals that, along
with the zoning regulations, will continue to direct future actions within
the Project Area for the life of the Redevelopment Plan. Since the
adoption of the Redevelopment Plan, other long-term goals were
articulated through documents such as the 2000 Implementation Plan and
Midterm Review. The Agency also established short-term goals and
objectives to guide efforts during the Five-Year Implementation Plan
period, as required by Community Redevelopment Law. The
Redevelopment Plan goals and the Five-Year Implementation Plan goals
and objectives are listed below.
Long-Term Redevelopment Goals
•Revitalize the northern portion of the Project Area through light
industrial infrastructure improvements and land-use policy changes via
the North Richmond Specific Plan;
•Strengthen the existing residential neighborhood in the southern
portion of the Project Area through the development of a neighborhood
commercial district, street improvement and landscaping, expansion of
community facilities, infill residential development, and improvement
of parks and open space;
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•Stabilize foreclosed properties, upgrade the housing stock, and
stimulate the construction of new affordable housing through infill
development.
Long-Term Community Improvement and
Economic Development Goals
•Improve road, drainage, and sewer infrastructure and construct public
utility facilities in the industrial section of the Project Area (these
improvements are required to provide full and safe access to industrial
land made developable by the completion of the Richmond Parkway);
•Encourage and support public-private partnerships that address
community needs;
•Encourage and support citizen participation through the North
Richmond Municipal Advisory Council and Young Adult
Empowerment Center;
•Capitalize on existing and future financing resources and opportunities;
•Provide the framework to restore economic and social health through
public and private actions.
Five-Year Implementation Plan Goals and
Objectives
•Continue to facilitate employment programs for North Richmond
residents, industries, and businesses;
•Implement a marketing program to promote industrial lands and
improve the Project Area’s image to attract new businesses and
generate revenue;
•Initiate a development planning process to reuse specific sites;
•Initiate a program to attract commercial and retail businesses to
specific sites in the Project Area.
4.3 PROJECTED REVENUES AVAILABLE TO FUND
NON-HOUSING IMPROVEMENTS
The Agency can collect a maximum of $60 million in tax increment
revenue over the life of the Redevelopment Plan and issue $30 million of
outstanding debt through the sale of bonds and other loans at any one
time. Project improvement activities will be allowed through 2028, after
which the Redevelopment Plan will expire (See Figure 4-1). The
revenues that will be available to fund non-housing improvements in the
North Richmond Project Area are described below.
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FIGURE 4-1
North Richmond Project Area
Fiscal Limits
Plan Adoption ...............................................................................July 14, 1987
Year that Plan was Last Amended................................................2008
Expiration date to Start Eminent Domain.......................................July 14, 2011
Debt Repayment...........................................................................July 14, 2038
Plan Effectiveness ........................................................................July 14, 2028
Cumulative Tax Inc.......................................................................$60,000,000
Bond Debt Limit............................................................................$30,000,000
Data Source: Contra Costa County Redevelopment Agency
Projected Tax Increment Revenues
Tax increment revenues have been and will continue to be the primary
source of revenue available to the Agency to fund improvement projects
and activities. Fraser & Associates project that the North Richmond
Project Area will earn $1.7 million of net tax increment revenues for FY
2009/10, but the net revenues will decline to approximately $1.5 million
during each year of the remaining IP period. Thus, it is anticipated that
the Agency will accrue $7.9 million of cumulative tax increment
revenues through FY 2013/14 (See Figure 4-2).19
Other Revenue Sources
Other revenue sources available to the Agency to make Project Area
improvements in North Richmond include $15.4 million of unexpended
capital proceeds and bond balances plus a small amount of interest
earned on the unexpended funds. This balance of unexpended funds
provides the Agency with some significant funds that can be invested in
the Project Area.
The Agency does not anticipate issuing any new bonds to fund Project
Area improvements during the next five years. In addition, no additional
sources of grant funding or developer fees are included in the revenue
projections.
Debt Service on Past Non-Housing Improvements
In order to fund Project Area improvements with bond proceeds the
Agency is obligated to commit $1.2 million per year to service the debt
of past borrowing for non-housing Project Area improvements.
19 The net tax increment estimates represent the revenue that will remain with the
Agency after pass through payments, administration fees, and other Agency obligations
have been met, not counting debt service.
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Total Revenues Available to Fund Non-Housing
Improvements
The unexpended capital proceeds and bond balances provide North
Richmond with most of the available capital to fund Project Area
improvements during the next five years. Relatively small amounts of
new funding are projected to accrue to the Agency during the remainder
of the IP period. By FY 2013/14 the Agency can anticipate $17.6 million
of revenues available from all sources to fund North Richmond’s Project
Area improvements.
FIGURE 4-2
Project Revenues Available
to Fund Non-housing
Improvement Projects in the
North Richmond Project Area
FY 2009/10 to 2013/14
($ Thousand)
FY
09-10
FY
10-11
FY
11-12
FY
12-13
FY
13-14 To tal
Tot al Tax In crement $2,447 $2,183 $2,220 $2,258 $2,297 $11,405
Housing Set-Aside $438 $383 $388 $394 $399 $2,002
33676 Adjustment $256 $267 $278 $289 $300 $1,390
Property Tax Administrative fees $22 $20 $20 $20 $21 $103
AB 1290 tax sharing $0 $0 $0 $0 $0 $0
Taxing Entity Share $0 $0 $0 $0 $0 $0
Net Tax Increm ent Revenu es $1,731 $1,513 $1,534 $1,555 $1,577 $7,910
A ddi t i onal Revenues
Unexpended Capital and Available Bond
Proceeds $15,399 $0 $0 $0 $0 $15,399
New Bonds Anticipated for Non-Housing $0 $0 $0 $0 $0 $0
Interest Earnings on Capital Funds $50 $50 $50 $50 $50 $250
Other Revenue Sources $0 $0 $0 $0 $0 $0
Add i ti onal Costs
Debt Service Paid from Non-Housing Fund $1,195 $1,192 $1,187 $1,193 $1,191 $5,958
Tot al Rev enu es Av ailable to Fund No n-
Housing Pro j ec ts an d Ac tiv i ti es $15,985 $371 $397 $412 $436
Cum ul ati ve Revenu es Av ailabl e t o Fun d
Non-Ho u s in g Pr oject s and A ct i vities $15,980 $16,360 $16,750 $17,160 $17,600 $17,600
Dat a Sourc e: Fraser & Associates and CCCRDA
Analysis: Wahlstrom & Associates
Notes:
Data is rounded to the nearest $1,000. Cumulative revenues are rounded to the nearest $10,000.
Other Revenue Sources may include grants and loans, revenues from the lease of Agency owned property, and developer fees
4.4 PROJECTED FIVE YEAR NON-HOUSING
PROJECTS AND ACTIVITIES
The Agency will form partnerships with property owners and potential
investors to implement land development projects, and will undertake
projects and activities during the next five years to reduce blight and
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achieve the North Richmond Project Area’s goals and objectives. Land
development assistance will be provided through business incentives,
loans, land write-downs, and other tools that can reduce the cost of
business operations. The Agency will pursue grant applications to help
implement the Redevelopment Plan. The Agency will also encourage
projects and activities through FY 2013/14 that expand the job base and
improve the quality of life for residents. Projects and activities that the
Agency may fund during the next five-years are listed below.
•Initiate efforts to attract new commercial and neighborhood-serving
businesses to North Richmond—Efforts may lead to the construction
of new commercial space or the occupancy and the revitalization of
existing space, including mixed-use developments along 3rd Street;
•Maintain the business attraction and site selection website that was
developed for the Project Area;
•Continue efforts to provide Project Area businesses with access to low
interest business loans;
•Continue streamlining the permitting process for developers,
businesses, and local property owners;
•Continue evaluating the potential impact of an Indian gaming facility
within the Project Area, and identify appropriate mitigations that
should be adopted if the proposed facility is implemented;
•Plan and implement roadway, drainage, and utility improvements
within the industrial portion of the Project Area to facilitate
development and establish mechanisms for maintenance;
•Continue to pursue funding to improve circulation and streetscapes
along 3rd Street;
•Develop and implement a plan for industrial lands infrastructure
improvements north of San Pablo Creeks and west of the Richmond
Parkway;
•Continue to monitor status of North Richmond relative to FEMA
designated Flood Zone districts;
•Continue efforts to enforce the existing land-use codes, remove junk
vehicles, improve trash collection, and implement other community
clean-up activities. Efforts to coordinate these activities with
community safety and crime prevention initiatives will also be
facilitated through the provision of interim financial support for a
resident Sheriff’s Deputy;
•Continue to implement a Specific Plan adoption process to
re-designate and transform the underutilized industrial area between
Wildcat and San Pablo Creeks, the Union Pacific Railroad, and
Richmond Parkway into a new residential community complete with
new housing, commercial space, parks, and open space.
Implementation will follow the Specific Plan adoption.
•Continue predevelopment activities, preliminary design, and
environmental clearances to develop a Precise Alignment for the North
Richmond Truck Route Project. Also, pursue project financing from
Federal, State, and local government funding sources;
•Continue Grove Point implementation to construct a mixed-use
development of residential housing adjacent to North Richmond’s
commercial district;
•Prepare a feasibility study to transform the 224-unit Las Deltas Public
Housing Development into a new neighborhood of affordable and
market rate housing.
4.5 PROJECTED FIVE-YEAR
NON-HOUSING EXPENDITURES
The Agency anticipates spending $17.6 million on improvement projects
during the next five years (see Figure 4-3). Expenditures will be targeted
for the following type of projects and activities.
Capital Projects: Projects and activities within this category include
utility, road and other infrastructure improvement projects, urban design
and streetscape improvements, property acquisition and site
improvements particularly related to public/private real estate
Contra Costa RDA Implementation Plan, FY 2009/10 to FY 2014/15
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55
development partnerships, transit and mixed-use facilities, and other
physical development projects.
Community Improvement Activities: Projects and activities within this
category include beautification programs, hazardous waste and other
garbage remediation programs, code enforcement support, resident
deputy, and other initiatives that enhance the appearance of the Project
Area as well as the quality of life for residents.
Economic Development Promotion: Projects and activities within this
category include job creation and retention initiatives, policies, or
programs that enhance the competitiveness of local residents—including
job training and skills development, marketing programs, and other
promotional projects, events, or activities;
Planning Activities: Projects and activities within this category include
those that modify or enforce zoning and land use policies, design future
capital improvement projects, strategize economic development and
community improvement activities, and plan for urban design and
streetscape improvements.
Unallocated Expenditures: The Agency intends to reserve $2.2 million
to be used for future improvement projects to be determined.
FIGURE 4-3
Estimates of Future Non-housing
Expenditures in the North
Richmond Project Area
FY 2009/10 to 2013/14
Pr o j ec ts and A ctivi ties Pr oj ect ed Ex pen di tu r es
Capital Projects..................................................... $9,000,000
Community Improvement Activities........................ $1,500,000
Economic Development Activities.......................... $3,500,000
Planning Activities................................................. $1,400,000
A n tic i p ated Exp en di tures b y Cat eg ory $15,400,000
Unallocated Expenditures...................................... $2,201,000
Total Ant i ci pated Ex pendit u res $17,601,000
Data Sourc e: Contra Costa County Redevelopment Agency
A n aly si s: Wahlstrom & Associates
4.6 LINKAGE BETWEEN PROJECT AREA
IMPROVEMENTS AND BLIGHT REDUCTION IN
NORTH RICHMOND
A substantial number of blighting conditions continue to exist in the
North Richmond Project Area—including a lack of public infrastructure,
a weak local economy, a lack of commercial facilities, a high crime rate,
and abnormally high business vacancies and turnover rates. While the
Agency’s actions have eliminated a significant amount of blight,
persistent physical blight remains, including the presence of unsafe and
unhealthy buildings, incompatible adjacent and/or nearby land uses, and
inadequate flood and drainage infrastructure.
Tax increment financing continues to present the most realistic long-term
financing vehicle for removing blight in North Richmond, given the cost
associated with improvement projects and activities. The proposed
programs and expenditures described below will help reduce North
Richmond’s remaining blight.
•Capital projects reduce blight by investing in circulation, drainage,
and other public infrastructure improvements. These improvements
attract new job-creating businesses, as well as private investors to
revitalize deteriorated buildings.
•Community improvement activities will reduce blight by improving
the supply and quality of community services, public safety services,
and through neighborhood beautification and housing stock
rehabilitation. Agency efforts will support attempts to reduce illegal
dumping, cooperate with the CDBG program, work with developers to
attract and retain commercial facilities, and lower business vacancies
and turnover rates.
•Economic development promotion programs and activities will
reduce blight by attracting and facilitating business start-ups that
expand local economic activity, which in turn results in reduced crime
rate.
•Planning activities will reduce blight by streamlining the permitting
process and preparing long-term plans for growth. The planning
activities will address unsafe and unhealthy buildings by encouraging
new construction and rehabilitation.
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January 2010 56
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4.7 AFFORDABLE HOUSING PROJECTS AND
ACTIVITIES
NORTH RICHMOND AFFORDABLE HOUSING PLAN
The Agency’s housing activities for the past five years are described
below, followed by a discussion of planned activities and expenditures
for the next five years.
Accomplishments Since Adoption of the 2004/05
Implementation Plan (FY 2004/05 to FY 2008/09)
The Agency’s primary housing-related activities during the past five
years are listed below.
•Agency staff, in collaboration with the Housing Authority, continued
to supervise the Youthbuild Program described above.
•Agency staff worked with several private and nonprofit developers to
facilitate infill housing on scattered sites. Staff worked with KB Home
to secure approval of plans for a major subdivision near the Richmond
Parkway (Bella Flora) and to complete construction of the project.
•The Agency funded an urban design firm to prepare a North Richmond
Specific Plan for the area bounded by Wildcat Creek, San Pablo Creek,
Richmond Parkway and the Union Pacific railroad tracks
(approximately 200 acres of land);
•The Agency provided funding, and assisted in leveraging federal funds,
to initiate the First-Time Homebuyers and Individual Deposit Account
Programs.
Revenues Available To Fund Affordable Housing
Projects and Programs
The Agency is projected to have approximately
$6.4 million in housing set-aside funds, bond
proceeds, and fund balance available to support
affordable housing projects within the North
Richmond Project Area during the five-year period, as
shown in Figure 4-4. Approximately $3.4 million of
that amount comprises bond proceeds reserved for
housing activities. In addition, the Agency applies for
and receives grant funds for some of its projects. The
Housing Fund resources are used by the Agency to
facilitate the expansion, improvement, and
preservation of the affordable housing supply within
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January 2010 58
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January 2010
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the Project Area through the activities and programs discussed above.
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FIGURE 4-4
Low and Moderate Income
Housing Fund Summary
YEAR AMOUNT
Balance, August 2009 (1)........ $934,300
2009-2010............................... 438,000
2010-2011............................... 383,000
2011-2012............................... 388,000
2012-2013............................... 394,000
2013-2014............................... 399,000
Unexpended Bond Proceeds $3,449,800
Tot al $6,38 ,1006
Source: Contra Costa Redevelopment Agency
Anal ysis: Vernazza Wolfe Associates
Not e: Balance and unexpended bond proceeds are rounded to the nearest $100.
Planned Housing Activities, FY 2009/10 to 2013/14
The Agency’s housing plans for the North Richmond Project Area over
the next five years continue past activities and priorities. The Affordable
Housing Program promotes residential and mixed-use development on
vacant and underutilized sites in the North Richmond Project Area. The
Agency’s Housing Fund revenues will be used in a flexible manner to
respond to favorable development, substantial rehabilitation, and grant
opportunities. The affordable housing goals and objectives as stated in
the most recent Agency budget are listed below:
Continue to work with appropriate private, public, and nonprofit
organizations to develop affordable housing, such as
lease-to-own and mutual housing project concepts, and to
implement the Agency’s inclusionary housing requirement for
new home subdivisions, such as KB Home;
Facilitate affordable homeownership opportunities through the
resale of the Parkway Estates units, completed Youthbuild
homes, and Bella Flora homes (KB Home); and through the
First-Time Homebuyer Program, and the IDA (Individual
Deposit Account) Program;
Continue to work with the Housing Authority to substantially
rehabilitate the Las Deltas Public Housing Development,
including the numerous scattered sites and vacant public housing
units;
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Support the continued growth of Community Housing
Development of North Richmond by providing project-based
capacity building financial assistance.
These Project Area housing activities support the goals adopted in the
County’s Housing Element. The Agency’s planned programs and
activities for the next five years include the following.
•Continue to assemble parcels to redevelop the eastern portion of Third
Street;
•Continue to implement the North Richmond Specific Plan to create a
new residential community north of Wildcat and south of San Pablo
Creeks;
•Continue implementing its housing rehabilitation program, in
conjunction with scattered site development and infill housing
opportunities;
•Implement the Neighborhood Stabilization Program to address
foreclosed properties;
•Facilitate construction of Grove Point to develop residential housing
adjacent to the commercial district;
•Complete the Re-Use and Revitalization Plan to transform a 224-unit
public housing development into a new mix of affordable and market
rate housing;
•Complete the Specific Plan Process to transform 200 acres of
underutilized land into a new community of residential housing,
commercial, parks, and open space;
•Implement the Housing Rehabilitation Program to upgrade and
preserve the existing housing stock.
Additional programs available to support affordable housing in the
Project Area are described below in more detail.
Housing Rehabilitation Loan Program
North Richmond residents may participate in the Agency’s Housing
Rehabilitation Loan Program. The Program is for low- and moderate-
income owner-occupants of residential properties. Loans to low- and
moderate-income households will be made to improve interior and
exterior conditions that cause a unit to fail housing quality standards and
threaten the health and safety of the occupants. The program, which is
administered by the Building Inspection Neighborhood Preservation
Program, offers loans with interest rates that range from zero to three
percent simple interest depending on household income.
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Homebuyer Assistance-Foreclosed Properties
The Agency is developing a program to acquire foreclosed homes in
North Richmond and the other Project Areas. The Program may work in
coordination with the Neighborhood Stabilization Program (NSP), which
is funded by the Department of Housing and Urban Development and
administered by the Contra Costa County Department of Conservation
and Development. The County plans to use the NSP funds to acquire
foreclosed properties, rehabilitate the homes where needed, and then
resell to other homebuyers. NSP funds may also be used to assist with
closing costs, down payments, and land banking for future development.
Amnesty Program Implementation
North Richmond property owners would be eligible to participate in the
County’s temporary amnesty program for specific housing code issues.
Housing Development Fund
The Agency has set aside funds to assist in the development of affordable
housing.
Projected Housing Expenditures, FY 2009/10 to
2013/14
The Project Area housing activities support the goals adopted in the
County’s Housing Element. The estimated expenditures for future
housing activities are shown in Figure 4-5.
Approximately 55 percent of the Project Area’s housing funds will be
spent on the Grove Point development. Another 33 percent, or
$2.1 million, is allocated to the Neighborhood Stabilization Program,
Infill and Housing Rehabilitation Programs.
The unallocated expenditures of $386,100 allow the Agency to take
advantage of various opportunities as they are presented. The Agency
will initiate actions as necessary, consistent with the CRL and the
County’s Housing Element, to preserve and facilitate the development of
housing affordable to households whose basic needs are not met by the
private housing market.
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FIGURE 4-5
Projected Housing Expenditures in
North Richmond Project Area
FY 2009/10 to 2013/14
Pl an ned
Expend it ur esHousing Pr o gram
A m ou n t Percent
Grove Point $3,500,000 54.8%
Neighborhood Stabilization Program, Infill and Housing
Rehabilitation Program $2,100,000 32.9%
Las Deltas Re-Use Feasibility Study $400,000 6.3%
Unallocated Expenditures 386,100 6.0%
Tot al $6,386,100 100.0%
So u rce: Contra Costa Redevelopment Agency and Fraser & Associates
A n aly s is : Vernazza Wolfe Associates
4.8 AFFORDABLE HOUSING PRODUCTION PLAN
This section describes the production of new housing in the Project Area
and how the Agency is meeting its legal obligations to develop and
rehabilitate additional affordable housing units. The Agency’s efforts to
develop new affordable housing units are guided by the County’s
recently adopted Housing Element, the County’s regional fair share
housing needs allocation, and various County policies and programs that
promote affordable housing.20
The Agency has made good progress in facilitating development of
affordable housing units in the Project Area. The Agency has complied
with the housing production requirements and, in fact, more affordable
housing units have been developed than required by redevelopment law.
At the beginning of the Implementation Plan period, 309 units had been
built or substantially rehabilitated in the Project Area and there was a
surplus of 50 affordable units overall, with 35 of these units for very
low-income households. As shown in the bottom row of Figure 4-6, at
the end of 2008/09, there was still a projected surplus of affordable units
(35 total affordable units with 24 for very low-income) based on
production through 2008/09, the end of the Implementation Plan period.
20 The County submitted its Draft Housing Element Revised in Response to HCD Comments
in June 2009.
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Historical Housing Production and Affordable
Housing Obligations
Housing production in the Project Area is summarized in Figure 4-6.
During the past five years (FY 2004/05 through FY 2008/09), 225
housing units were built in the Project Area. Most of this building
activity was scattered site development. In addition, the Bella Flora
development (KB Home) added 35 units—32 for low-income households
and three for very-low-income households.
Future Housing Production
Figure 4-6 shows projected housing production for the next five years
and over the life of the Redevelopment Plan. New production includes
the 54-unit Nove subdivision (32 units targeted for low-income
households and 22 for very low-income households). Agency staff
projects that, depending on market conditions, an additional 49 units will
be developed over the next three to five years, with 11 affordable units,
including 3 units targeted for very low-income residents. These units
would result from a combination of the Grove Point development, the
North Richmond Specific Plan, the Neighborhood Stabilization Program,
the Infill Program, and the Housing Rehabilitation Program.
Agency staff estimates that there is the potential to develop 2,000 new
housing units within North Richmond prior to the expiration of the
Redevelopment Plan. The projections given in Figure 4-6 provide a more
conservative estimates, which can be updated at the time of the next
Implementation Plan. It is likely that the economic and real estate market
conditions will have changed by then and that development proposals for
the area will be in process.
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FIGURE 4-6
House
Production
and
Affordable
Housing
Obligation in
North
Richmond
TOTA L S FOR
PERIOD
Th r o ugh
FY
2003/04
FY
2004/05
FY
2005/06
FY
2006/07
FY
2007/08
FY
2008/09
FY2009/10-
FY2013/14
(Pr oj ect ed )
Cu r r en t
A s of
End
FY
2008/09
FY2004/05
t o
FY2013/14
(a)
Tot al
ov er
Lif e of
Pl an (b )
Perc en t
Hou sing Pr o duct io n i n Proj ect A r ea (c)
New Units 275 57 73 90 5 0 49 500 302 927
Substantial
Rehabilitation 34 0 0 0 0 0 0 34 0 59
Total 309 57 73 90 5 0 49 534 302 986
CRL A ff ord ab l e Hou sing Obl i gati on (d)
Very Low 19 4 5 6 1 0 5 33 19 60 6%
Very Low,
Low or
Moderate
47 9 11 14 1 0 12 81 46 148 15%
Pr odu c t i o n of A ff ordable Hou sing (Actu al th r u 2008/09) (e)
Very Low 54 0 3 0 0 0 3 57 32 111
Very Low,
Low or
Moderate
97 0 32 0 5 0 8 134 84 236
Af f ordable Pr odu c ti on Surpl u s (Defi cit ) (f )
Very Low 35 (4) (2) (6) (1) 0 24 24 13 51
Very Low,
Low or
Moderate
50 (9)21 (14)4 0 35 53 38 88
Data Source: Contra Costa County Redevelopment Agency, Wahlstom & Associates.
Analy sis : Vernazza Wolfe Associates
Notes: Percentages may not add exactly due to rounding. CRL affordable housing production requirements are rounded up to the nearest whole unit.
a. As required by CRL, total units over ten-year compliance period (Section 33490(a)(2)(B)).
b. As required by the CRL, total units over the life of the Redevelopment Plan (Section 33490(a)(2)(B)). Includes projected production after 2013/14.
c. Total units produced in the Project Area during the specified time period.
d. Number of affordable units required based on units produced. Affordable housing production obligation for non-Agency developed housing requires
15% of total units to be available at affordable cost. Of those units, at least 40% must be affordable to very low-income households (6% of the total
units). Agency developed housing has higher inclusionary requirements. The Agency has not, and does not anticipate, directly developing units.
e. Number of units satisfying CRL affordable housing production obligation. Affordable units produced outside Project Area counted on a
one for two basis.
f. Remaining affordable housing surplus or obligation at the end of the period.
4.9 REPLACEMENT HOUSING REQUIREMENTS
The Agency is required to replace within four years after removal any
housing units in the Project Area that have been removed. Previous
redevelopment activities resulted in the removal in 1995 of nine housing
units (seven low-income and two moderate-income units), totaling 29
low-income bedrooms. The surplus affordable units produced by the
Parkway Estates and North Richmond Senior Housing projects replaced
the nine units that were removed. This means that the Agency does not
have a replacement housing obligation because all housing units that
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66
were removed from the Project Area have been replaced as required by
law.
The Grove Point project will remove a few units, but they will be
replaced within the Project Area. If the Agency undertakes future
projects that could result in the displacement of households, the Agency
will prepare a replacement housing plan to ensure that it meets its
obligations.
4.10 TARGETING NORTH RICHMOND’S
HOUSING FUND EXPENDITURES
California Redevelopment Law requires that affordable housing be
targeted by age and income. The targeting requirements are described
below.
Targeting Low- and Very-Low-Income Households
The Agency has spent approximately $1.1 million of its Housing Fund to
assist the production of affordable housing, including funds spent during
the preceding five-year period as well. Almost all of these funds have
benefited low-income households (93 percent), with approximately four
percent for very low-income households. While this distribution far
exceeds the targeting requirement for low-income (28 percent), it is well
below the 39 percent target for very low-income households. The
Agency plans to increase its assistance to projects for very low-income
households.
Targeting Non-Seniors
All of the housing fund expenditures for North Richmond have been for
non-seniors. Thus, the Agency meets the age-related targeting
requirement. Furthermore, redevelopment law allows an Agency to meet
its age-related targeting requirement in combination for all project areas.
Combining housing assistance expenditures for all project areas, less
than five percent have been for senior households, thus not exceeding the
targeted percentage of 30 percent.
* * *
Contra Costa RDA Implementation Plan, FY 2009/10 to FY 2014/15
January 2010 67
The redevelopment of the Contra Costa Centre Project Area will remove
blight and reduce regional traffic by locating new office and housing
development next to a regional transportation hub. The Implementation
Plan describes how the Agency will help expand the supply of housing,
spend its Housing Funds and meet its affordable housing production
obligations.
5.1 AGENCY’S PAST NON-HOUSING
ACCOMPLISHMENTS AND EXPENDITURES
The Agency has undertaken many projects and activities in the Contra
Costa Centre Project Area since its adoption in 1984. In recent years, the
Agency has invested more than $60 million for Project Area
improvement activities such as road widening, signal installations,
drainage improvements, landscaping, utility installation, BART patron
parking, site acquisition, and open space improvements. The Agency’s
investments have been consistent with the Contra Costa Centre Specific
Plan, which has helped attract another $250 million of private sector
investment that has created hundreds of thousands of square feet of
office space, hotel, and new housing units, including affordable housing.
The Agency’s sustained efforts over the past five years have resulted in a
number of accomplishments. The following set of accomplishments
directly relates the Agency’s successful business negotiations and
The 130-acre Contra Costa Centre
(CCC) Project Area was established in
1984 to take advantage of new housing
and commercial space strategically
located adjacent to the 680 Freeway
and the Pleasant Hill BART Station.
55 CCoonnttrraa CCoossttaa CCeennttrree
PPrroojjeecctt AArreeaa
IImmpplleemmeennttaattiioonn PPllaann
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agreements that permitted the BART Transit Village to proceed.
•Construction of a 1600-plus space BART patron garage to fulfill
BART’s replacement parking requirement;
•Initiated construction of the Transit Village, a mixed-use project of
residential rental and retail uses (later phases will include for-sale
housing and office/business conference center uses);
•Funded construction of the affordable housing portion of the Transit
Village;
•Provided initial financing for backbone infrastructure (roads, drainage,
public utility work);
•Provided initial funding for place-making infrastructure (parks, open
space, greenways, street furniture, etc.);
•Constructed an off-site BART patron temporary parking facility, which
was removed when the BART garage opened.
Additional accomplishments since FY 2003/04 are listed below.
•Completed business negotiations and approved business agreements
related to the construction of an office building for the California State
Automobile Association corporate headquarters—construction began
in February 2008 and occupancy was achieved in the Fall of 2009;
•Completed the installation of Walden Green, a linear green housing the
Iron Horse Trail;
•Completed the Iron Horse Trail Gap Closure project in the Hookston
Station area;
•Completed the Hookston Station landscape improvements;
•Initiated final design and awarded a construction contract for the Iron
Horse Trail Overcrossing of Treat Boulevard. Project is on schedule
for a mid-summer opening;
•Initiated a community planning program for a shortcut path to provide
a better pedestrian and bicycle link to Contra Costa Centre Area and
the BART station. Project has been delayed pending identification of
maintenance funding;
•Initiated community planning for the development of a mixed-use
income, for-sale housing project owned by the Agency on Las Juntas
Way. Construction is delayed due to current housing market
conditions;
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•Created a County Service Area to provide ongoing financing of a
Transportation Demand Management Program for the area;
•Created a Mello-Roos Community Facilities District to provide
maintenance and public improvements in the area;
•Financed the acquisition of a fire engine to enhance fire suppression
capabilities in the area.
5.2 PROJECT AREA GOALS AND OBJECTIVES
The goals and objectives are intended to guide Agency actions toward
eliminating the Project Area’s physical and economic blight. As part of
the Redevelopment Plan adoption process, community residents worked
with the Agency to establish an original set of Project Area goals that,
along with the zoning regulations, will continue to direct future actions
within the Project Area for the life of the Redevelopment Plan. The
Agency also established short-term goals and objectives to guide efforts
during the Five-Year Implementation Plan period, as required by
Community Redevelopment Law. The Redevelopment Plan goals and
the Five-Year Implementation Plan goals and objectives are listed below.
Long-Term Transit Oriented Development Goals
•Expand the supply of employment and residential land uses in order to
better utilize BART’s regional transit accessibility;
•Integrate residential and business land uses wherever environmental
constraints or overall land-use considerations do not preclude it;
•Provide sufficient retail, commercial, civic/public services, and public
open space amenities;
•Pursue the development of a business conference center to serve the
area;
•Prevent low intensity development on land better suited for more
intense development that will increase utilization of BART;
•Assemble small parcels into functionally viable sites, and/or engage in
a cooperative planning effort with property owners and other interested
parties, in order to prevent underutilization of land supply and a
discordant development pattern;
•Encourage BART and the private sector to cooperate on solving land
development challenges;
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•Protect housing within and adjacent to the Project Area from adverse
effects of intensification including noise, traffic intrusions, parking
conflicts, visual incompatibilities, and obstruction of sunlight;
•Maximize the Project Area’s strategic location next to BART, so that
new revenues from more intensive land development can be used to
support further public improvements;
•Equitably disburse the area-wide public infrastructure and program
costs among all affected Project Area property owners;
•Ensure the area is adequately served by public infrastructure and
services including water, sewer, drainage, utilities, fire facilities and
equipment, and access to libraries;
•Provide childcare services to serve the expanding population of the
Project Area;
•Provide low- and moderate-income housing as required to achieve a
balance of jobs and affordable housing for the effective redevelopment
of the entire Project Area. The new housing is expected to be
developed in the area generally bounded by Las Juntas Way, Coggins
Drive, Treat Boulevard, and Oak Road, and on an Agency owned site
on Las Juntas Way.
Long-Term Transportation and Circulation Goals
•Improve and encourage the use of public transit systems;
•Improve automobile access to the BART station particularly from
I-680 southbound, and from the neighborhoods to the west of I-680;
•Discourage auto traffic patterns that create traffic congestion around
the BART facility;
•Provide for safe and convenient pedestrian, bicycle, and other
alternative mode movement within as well as in and out of the Project
Area;
•Ensure BART parking facilities are retained in order to reduce vehicles
that are parked in nearby residential areas;
•Encourage more use of public transit and alternative modes because
current BART parking is already at planned levels;
•Continue to operate programs that encourage Project Area employees
to use public transit and reduce the demand for employee parking;
•Encourage the integration of proposed regional rail systems within the
Iron Horse Corridor into and through the Project Area.
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Long-Term Urban Design Goals
•Promote a positive image that has high regional and local identity;
•Provide for an appearance within the Project Area that contrasts with
and complements adjoining areas;
•Protect major stands and individual specimens of native oaks, make the
trees a major design feature of the Project Area, and protect other
natural environmental resources to the extent feasible;
•Provide for a network of public open spaces (parks and urban plazas)
to promote a unified sense of development and provide for other
amenities in the Project Area;
•Maintain views to Mt. Diablo and other distant but dominant natural
features from the BART platform;
•Ensure that buildings and related site improvements are well designed
and functionally and visually compatible with their surroundings.
Five-Year Implementation Plan Goals and
Objectives
•Evaluate alternative approaches to improving access to the area using
alternative transportation modes;
•Determine preferred Project Area improvements;
•Initiate infrastructure improvements through property acquisition, road,
drainage, and sewer improvements that are required to facilitate
transit-oriented development;
•Continue to undertake a Transportation Demand Management (TDM)
Program, which will reduce trip generation and facilitate the use of
public transit;
•Enhance regional pedestrian/bicycle trails;
•Establish new public facilities and open space amenities that are
consistent with the transit-oriented development concept.
5.3 PROJECTED REVENUES AVAILABLE TO FUND
NON-HOUSING IMPROVEMENTS
The Agency can collect a maximum of $423 million in tax increment
revenue over the life of the Redevelopment Plan and issue $160 million
of outstanding debt through the sale of bonds and other loans at any one
time. Project improvement activities will be allowed through 2025, after
which the Redevelopment Plan will expire. (See Figure 5-1)
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The revenues that will be available to fund non-housing improvements in
the Contra Costa Centre Project Area are described below.
FIGURE 5-1
Contra Costa Centre
Project Area
Fiscal Limits
Plan Adoption ...............................................................................July 10, 1984
Year that Plan was Last Amended................................................2006
Expiration date to Start Eminent Domain.......................................Expired
Debt Repayment...........................................................................July 10, 2036
Plan Effectiveness July 10, 2026
Cumulative Tax Inc. $423,000,000
Bond Debt Limit............................................................................$160,000,000
Data Source: Contra Costa Redevelopment Agency
Projected Tax Increment Revenues
Tax increment revenues have been and will continue to be the primary
source of revenue available to the Agency to fund improvement projects
and activities. In contrast to the other four Project Areas, which are
anticipated to experience a decline in property values, Fraser &
Associates projects that the net tax increment revenues for the Contra
Costa Centre Project Area will gain in value because of the area’s
strategic regional location and the attraction of new public and private
investments.21 The net tax increment revenue is estimated to be
$5.4 million during FY 2009/10; each subsequent year the revenues will
expand as a result of the Agency’s investments in Project Area
improvements. (See Figure 5-2). Consequently, the Agency can
anticipate having $32.0 million of cumulative total tax increment
revenues available to invest in the Project Area by FY 2013/14.
Other Revenue Sources
Other revenue sources available to the Agency to make Project Area
improvements at Contra Costa Centre include $6.6 million of
unexpended capital proceeds and bond balances plus a small amount of
interest earned on the unexpended funds.
The Agency does not anticipate issuing any new bonds to fund Project
Area improvements during the next five years. In addition, no additional
21 The net tax increment estimates represent the revenue that will remain with the
Agency after debt service payments, pass through payments, administration fees, and
other Agency obligations have been met.
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sources of grant funding or developer fees are included in the revenue
projections.
Debt Service on Past Non-Housing Improvements
In order to fund Project Area improvements with bond proceeds the
Agency is obligated to commit approximately $3.7 million per year to
service the debt of past borrowing for non-housing Project Area
improvements.
Total Revenues Available to Fund Non-Housing
Improvements
The unexpended capital proceeds, bond balances, and projected growth
of tax increment revenue provide the Contra Costa Centre Project Area
with capital to fund Project Area improvements during the next five
years. By FY 2013/14 the Agency can anticipate $19.9 million of
revenues available from all sources to fund Project Area improvements at
the Contra Costa Centre.
The Agency will also have additional funds to reinvest in the Project
Area from the Capital Fund, bond proceeds issued prior to FY 2008/09,
and interest earned on unexpended bond balances. The other revenue
sources that can be used to fund improvements in the Contra Costa
Centre Project Area are described below, and shown in Figure 5.2.
[This space intentionally left blank]
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FIGURE 5-2
Project Revenues Available
to Fund
Non-housing Improvement
Projects in the Contra Costa
Centre Project Area
FY 2009/10 to 2013/14
($ Thousand)
FY
09-10
FY
10-11
FY
11-12
FY
12-13
FY
13-14 Tot al
Total Tax In crement $7,550 $8,761 $9,607 $10,015 $10,372 $46,305
Housing Set-Aside $1,481 $1,722 $1,890 $1,970 $2,040 $9,103
33676 Adjustment $144 $151 $159 $167 $175 $796
Property Tax Administrative fees $75 $86 $95 $99 $102 $457
AB 1290 tax sharing $318 $560 $732 $816 $890 $3,316
Taxing Entity Share $121 $124 $126 $129 $131 $631
Net Tax In c r emen t Rev en u es $5,411 $6,118 $6,605 $6,834 $7,034 $32,002
Add i tion al Rev en ues
Unexpended Capital and Available Bond Proceeds $6,630 $0 $0 $0 $0 $6,630
New Bonds Anticipated for Non-Housing $0 $0 $0 $0 $0 $0
Interest Earnings on Capital Funds $80 $80 $80 $80 $80 $400
Other Revenue Sources $0 $0 $0 $0 $0 $0
Ad di tion al Co st s
Debt Service Paid from Non-Housing Fund $3,747 $3,739 $3,739 $3,731 $3,735 $18,691
Total Rev en ues A vai l abl e to Fu nd No n-Hou s in g
Pr oj ect s and A ct i vities $8,290 $2,380 $2,870 $3,103 $3,300
Cum ulativ e Revenues A vail abl e to Fu nd No n-
Hou sin g Pr oject s and A ct ivi ties $8,290 $10,670 $13,540 $16,640 $19,940 $19,940
Data Sourc e: Contra Costa RDA and Fraser and Associates and CCRDA
Analy s is : Wahlstrom & Associates
Notes
- Data is rounded to the nearest $1,000. Cumulative revenues are rounded to the nearest $10,000.
-Other Revenue Sources may include grants and loans, revenues from the lease of Agency owned property, and developer fees
5.4 PROJECTED FIVE YEAR NON-HOUSING
PROJECTS AND ACTIVITIES
The Agency will undertake projects and activities during the next five
years that will reduce blight and achieve the Project Area’s long-term
goals and objectives. These projects and activities, as with the
Redevelopment Plan Goals, are grouped into three program categories,
which are mutually supportive but they also overlap. The projects and
activities that the Agency will initiate during the next five years are
described below.
Transit-Oriented Development Projects and
Activities
The Agency will continue to invest in projects and activities that
encourage job creation, improve the jobs/housing balance, and reduce the
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need to commute elsewhere to work. The Agency will partner with
property owners and potential investors to implement land development
projects that are consistent with the long-term goal of creating a model,
transit-oriented community in the Project Area. Agency staff will also
apply for federal and state grants that can help achieve the long-term
goals and objectives. Accordingly, projects and activities that the Agency
may support during the five year Implementation Plan are listed below.
•Sewer, water, and storm drain systems improvements;
•Transit Village Development Plan implementation projects— which
may include infrastructure improvements, property transfers, and/or
public/private partnerships with land developers and property owners;
•A marketing strategy to attract new business prospects and identify
new development opportunities;
•An ongoing effort to market and promote the Project Area as a place to
do business and visit—marketing activities may include programs and
events that attract activity to the streets and invite people to linger in
public places;
•Development of a business conference center;
•Development of an appropriate civic use space for the area.
Transportation and Circulation Projects and
Activities
The Agency will help fund improvement projects that are designed to
upgrade, repair, and improve the transportation and circulation systems.
Potential transportation and circulation projects and activities that the
Agency may support are listed below.
•Roadway and street improvements that improve access to and
circulation within the Project Area;
•Sidewalks and trails for improved pedestrian and bicycle circulation
and safety;
•Additional traffic and pedestrian signalization;
•Circulation improvements that enhance the appearance, safety, and
access within the Project Area—including a wayfinding program;
•Pedestrian/bicycle overpass above Treat Boulevard for users of the
Iron Horse Trail;
•Implementation of a Transportation Management (TDM) Program.
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Urban Design Projects and Activities
The Agency will help fund urban design and streetscape projects to
improve the appearance of the Project Area. Potential urban design and
streetscape activities that the Agency may fund are listed below.
•Placement of utilities underground;
•Additional lighting, landscaping, parks, and trails, including extension
of Walden Green;
•Public beautification improvements;
•Place-making amenities, including parks, plaza, civic uses, etc.
5.5 PROJECTED FIVE-YEAR
NON-HOUSING EXPENDITURES
The Agency anticipates spending $19.9 million on improvement projects
between FY 2009/10 and FY 2013/14. Expenditures will be targeted for
the following types of projects and activities:
Capital Projects: Projects and activities within this category include
utility, road and other infrastructure improvement projects, urban design
and streetscape improvements, property acquisition and site
improvements particularly related to public/private real estate
development partnerships, transit and mixed-use facilities, and other
physical development projects.
Community Improvement Activities: Projects and activities within this
category include beautification programs, placemaking improvements
including parks, plazas, and civic uses , and other initiatives that enhance
the appearance of the Project Area as well as the quality of life for
residents.
Economic Development Promotion: Projects and activities within this
category include job creation and retention initiatives, policies or
programs that enhance the local economy, marketing programs, and
other promotional projects, events, or activities.
Planning Activities: Projects and activities within this category include
those that modify or enforce zoning and land use policies, design future
capital improvement projects, strategize economic development and
community improvement programs, and plan for urban design and
streetscape improvements.
Unallocated Expenditures: The Agency intends to reserve $1.4 million
to be used for future improvement projects.
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FIGURE 5-3
Est i mat es o f Fu tu r e
No n -h o u sin g Exp endit u r es
i n th e Co nt r a Co s ta Cen t r e
Pro j ec t A r ea
FY 2004-5 t o 2008-09
Proj ec t s and A c t i v i t i es Projec ted Expendit u r es
Capital Projects............................................$13,000,000
Community Improvement Activities...............$4,800,000
Economic Development Activities.................$500,000
Planning Activities........................................$200,000
A n ti c ip at ed Expendi tures b y Cat eg ory $18,500,000
Unallocated Expenditures.............................$1,441,000
Total A n tici p at ed Expen di tur es $19,941,000
Data So u rce: Contra Costa County Redevelopment Agency
A n aly sis: Wahlstrom & Associates
5.6 LINKAGE BETWEEN PROJECT AREA
IMPROVEMENTS AND BLIGHT REDUCTION AT
CONTRA COSTA CENTRE
The Agency’s actions since the Project Area was established have
eliminated a significant amount of blight. However, the lack of public
infrastructure throughout the Project Area continues to impede the
removal of additional blight and, therefore, a substantial number of
blighting conditions continue to exist in the Project Area. Blighted
conditions include the surface parking lot at the BART Station and other
underutilized and blighted sites throughout the Project Area.
Tax increment financing continues to present the most realistic long-term
financing vehicle for removing blight in the Contra Costa Centre Project
Area given the cost associated with improvement projects and activities.
The proposed programs and expenditures will help eliminate this
remaining blight throughout the Project Area.
Capital projects facilitate private and public redevelopment of
underutilized sites. These sites will then be more intensively
redeveloped, eliminating blight and indirectly creating local jobs.
Community improvement activities will improve the supply and
quality of community services, beautify the neighborhoods and
rehabilitate the housing stock.
Economic development promotion and planning activities support
these programs, and in doing so the elimination and prevention of blight.
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5.7 AFFORDABLE HOUSING PROJECTS AND
ACTIVITIES
CONTRA COSTA CENTRE AFFORDABLE
HOUSING PLAN
The Agency’s housing activities for the past five years are described
below, followed by a discussion of planned activities and expenditures
for the next five years.
Accomplishments Since Adoption of the 2004/05
Implementation Plan (FY 2004/05 to FY 2008/09)
Several of the Agency’s housing-related activities during the past five
years were described above, in section 5.1. Two additional housing
related accomplishments that were not included in that list are listed
below.
•Continued to provide financial assistance, as specified in Development
and Disposition Agreements (DDA’s), to facilitate the delivery of
affordable housing in the Park Regency project and Coggins Square;
•Developed a financing plan for the development of the BART Transit
Village, which will include mixed-income residential units.
Revenues Available To Fund Affordable Housing
Projects and Programs
The Agency has approximately $10.4 million in housing set-aside funds
and fund balance available to support affordable housing projects within
the Contra Costa Centre Project Area during the five-year period, as
shown in Figure 5-4. Most of these funds are contractually committed as
described under project housing expenditures below. In addition, the
Agency applies for and receives grant funds for some of its projects. The
Housing Fund resources are used by the Agency to facilitate the
expansion, improvement, and preservation of the affordable housing
supply within the Project Area through the activities and programs
discussed above.
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FIGURE 5-4
Low and Moderate Income
Housing Fund Summary
YEAR AMOUNT
Balance, August 2009............. $1,314,700
2009-2010............................... 1, 481,000
2010-2011............................... 1,722,000
2011-2012............................... 1,890,000
2012-2013............................... 1,970,000
2013-2014............................... 2,040,000
Tot al $10,417,700
Source: Fraser and Associates and Contra Costa Redevelopment Agency
Anal ysis: Vernazza Wolfe Associates
Not e: Fund balance numbers are rounded to the nearest $100
Planned Housing Activities, FY 2009/10 to 2013/14
During the next five years, the Agency will continue its past activities
and priorities within the Contra Costa Centre Project Area. The Agency
will carry on working to encourage development of housing affordable to
a variety of income levels combining various funding sources. The
specific goals and objectives, including those stated in the most recent
Agency budget are described below:
•Provide financial assistance, as provided for in DDA, to facilitate the
delivery of affordable housing in the Park Regency project, Coggins
Square, and the BART Transit Village;
•Undertake property transfers necessary to facilitate the delivery of
affordable housing in the area, including: (1) Implementing a plan of
finance for the development of the BART Transit Village as a
mixed-income residential/mixed-use property, and (2) Implementing a
coordinated program with the City of Walnut Creek for determining a
development type, developer, plan of finance, and schedule for the
Agency-owned property at 1250 Las Juntas Way.
These Project Area housing activities support the goals adopted in the
County’s Housing Element. The Agency’s planned programs and
activities for the next five years include the following.
•Execute the financing plan for the development of the BART Transit
Village as a mixed income residential/mixed-use property;
•In conjunction with the City of Walnut Creek, determine a
development type, developer, plan of finance, and development
schedule for the Agency owned property at 1250 Las Juntas Way.
Agency funds may be considered but are not currently programmed;
•Continue to provide financial assistance, as provided for in DDA’s, to
facilitate the delivery of affordable housing in the Park Regency
project, Coggins Square, and the BART Transit Village;
•Undertake property transfers necessary to facilitate the additional
development of affordable housing in the area.
Projected Housing Expenditures, FY 2009/10 to
2013/14
The estimated expenditures for future housing activities are shown below
in Figure 5-5. Approximately one half of the Agency’s planned housing
expenditures will be for financial assistance for affordable projects. The
expenditures for Park Regency and Coggins Square are a continuation of
earlier annual expenditures. Beginning in 2010/11, the Agency will begin
making payments (estimated at $850,000 annually) to support affordable
housing at Avalon Bay, part of the BART Transit Village.
The Agency plans to begin repaying the County for funds that were
advanced to the Agency to spend on affordable housing activities that
were completed in the 1980s and 1990s. The Agency expects to repay
approximately $200,000 to $500,000 per year to the County during the
next five years, for a total of up to $2,500,000. The Agency will add to
its Housing Development Fund as well ($1,517,700). The Agency
expects to take advantage of various opportunities as they are presented
and to initiate actions as necessary, consistent with the CRL and the
County’s Housing Element, to preserve and facilitate the development of
housing affordable to households whose basic needs are not met by the
private housing market.
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FIGURE 5-5
Projected Housing Expenditures in
Contra Costa Centre Project Area
FY 2009/10 to 2013/14
Planned Ex pendit u r esHousing Pro gram A m ount Per cent
Financial Assistance for Affordable Projects
Park Regency $2,500,000
Coggins Square 500,000
Avalon Bay (BART Transit Village) (1) 3,400,000
Su bto tal $6,400,000 61.4%
Repayment of County Debt for Housing Activities 2,500,000 24.0%
Housing Development Fund 1,517,700 14.6%
To tal $10,417,700 100.0%
Sourc e: Contra Costa Redevelopment Agency
Analys is : Vernazza Wolfe Associates
5.8 AFFORDABLE HOUSING PRODUCTION PLAN
This section describes the production of new housing in the Project Area
and how the Agency is meeting its legal obligations to develop and
rehabilitate additional affordable housing units. The Agency’s efforts to
develop new affordable housing units are guided by the County’s
recently adopted Housing Element, the County’s regional fair share
housing needs allocation, and various County policies and programs that
promote affordable housing.22
The Agency has made excellent progress in facilitating development of
affordable housing units the Project Area. The Agency has complied
with the housing production requirements, and, in fact, more affordable
housing units have been developed than required by redevelopment law.
Historical Housing Production and Affordable
Housing Obligations
Housing production in the Project Area is summarized in Figure 5-6. At
the beginning of the Implementation Plan period 1,183 units had been
built in the Project Area, including 208 affordable units. There was a
surplus of 30 affordable units overall and 93 units for very low-income
households. Because no additional housing units were built during the
22 The County submitted its Draft Housing Element Revised in Response to HCD Comments
in June 2009.
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Implementation Plan period, the surpluses still exist as the next
Implementation Plan period begins.
Future Housing Production
Figure 5-6 shows projected housing production for the next five years
and over the life of the Redevelopment Plan. There are two projects
currently underway or in planning that are expected to add 135 units to
the Project Area. There are 422 residential rental units on Blocks A, B,
and E of the BART Transit Village. Timing for these projects may be
affected by market conditions. Because of the large number of very
low-income units already developed, the Project Area is well positioned
to remain in compliance even as some market-rate development occurs in
the Project Area.
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FIGURE 5-6
House
Production and
Affordable
Housing
Obligation in
Contra Costa
Centre
Project Area
TOTA LS FOR
PERIOD
Th r o ugh
FY
2003/04
FY
2004/05
FY
2005/06
FY
2006/07
FY
2007/08
FY
2008/09
FY2009/10-
FY2013/14
(Pr oj ect ed )
Cu r r en t
A s of
End of
FY
2008/09
FY2004/05
t o
FY2013/14
(a)
To tal
o ver
Life of
Plan
(b)
Percent
Hou sin g Pr odu ct i o n i n Pr oj ect A r ea (c)
New Units 1,183 0 0 0 0 0 522 1,183 522 1,705
Substantial
Rehabilitation 0 0 0 0 0 0 0 0 0 0
Total 1,183 0 0 0 0 0 522 1,183 522 1,705
CRL A ff ord ab le Hou sing Obli gati on (d)
Very Low 71 0 0 0 0 0 32 71 32 103 6%
Very Low,
Low or
Moderate
178 0 0 0 0 0 79 178 79 256 15%
Pr odu c ti o n of A ff ordab l e Hou sin g (Actu al th r u 2007/08) (e)
Very Low 164 0 0 0 0 0 85 164 85 249
Very Low,
Low or
Moderate
208 0 0 0 0 0 85 293 85 353
Af f ordable Pr odu c ti on Surpl u s (Defi c it ) (f )
Very Low 93 0 0 0 0 0 53 93 53 196
Very Low,
Low or
Moderate
30 0 0 0 0 0 6 115 6 97
Source: Contra Costa County Redevelopment Agency, Wahlstom & Associates.
Analysis: Vernazza Wolfe Associates
Note: Percentages may not add exactly due to rounding. CRL affordable housing production requirements are rounded up to the nearest
whole unit.
a. As required by CRL, total units over ten year compliance period (Section 33490(a)(2)(B)).
b. As required by the CRL, total units over the life of the Redevelopment Plan (Section 33490(a)(2)(B)). Includes projected production
after 2013/14.
c. Total units produced in the Project Area during the specified time period.
d. Number of affordable units required based on units produced. Affordable housing production obligation for non-Agency developed housing
requires 15% of total units to be available at affordable cost. Of those units, at least 40% must be affordable to very low income households (6% of
the total units). Agency developed housing has higher inclusionary requirements. The Agency has not, and does not anticipate, directly developing
units.
e. Number of units satisfying CRL affordable housing production obligation. Affordable units produced outside Project Area counted on a
one for two basis.
f. Remaining affordable housing surplus or obligation at the end of the period.
5.9 REPLACEMENT HOUSING REQUIREMENTS
The Agency is required to replace, within four years after removal, any
housing units in the Project Area that have been removed. Previous
redevelopment activities resulted in the removal of 93 housing units
between 1984 and 1988. The housing units removed were subsequently
replaced in 1991, when the Park Regency apartment complex was
developed. This means that the Agency does not have a replacement
housing obligation because all housing units that were removed from the
Project Area have been replaced as required by law.
The Agency does not expect to undertake additional projects that could
result in the displacement of households in the next ten years. In the
event that changes and the removal of housing units occurs, the Agency
will plan for and undertake replacement of any units, and will follow all
state requirements for replacement housing and relocation.
5.10 TARGETING CONTRA COSTA CENTRE’S
HOUSING FUND EXPENDITURES
There are two requirements regarding targeting of housing fund
expenditures, one related to the income groups served and one to age.
Targeting Low- and Very Low-Income Households
The Agency has spent approximately $6 million of its Housing Fund
during the past five years to assist the production of affordable housing.
These funds were used to provide affordable housing and assist
development of Park Regency, Coggins Square, and the BART Transit
Village. Almost all of the funds were for the benefit of very low-income
households. During the prior five year period, the Agency spent an
additional $1.5 million in housing funds. For the two periods combined,
86 percent of the funds benefited very low-income households and 12
percent benefited low-income households. The Agency has significantly
exceeded its targeting requirement of 39 percent of funds for the very
low-income category.
Targeting Non-Seniors
Thus far, no Housing Fund expenditures have provided
financial assistance to projects for seniors only. All of
the expenditures have benefited non-seniors. Thus, the
Agency complies with the requirement to provide at
least 70 percent of the housing funds to benefit
non-senior households and to limit the Housing Fund
expenditures for senior housing to 30 percent of all
Housing Fund expenditures. Even if a senior housing
development is assisted during the next five years, the
Agency is expected to be in compliance in 2014, the
initial period for assessing compliance, because of the
large number of non-senior units that already have been
assisted.
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The 1,550-acre Bay Point Redevelopment
Project Area was established in 1987 in
order to improve neighborhood
conditions, attract commercial services,
and revitalize the neighborhood
66 BBaayy PPooiinntt PPrroojjeecctt AArreeaa
IImmpplleemmeennttaattiioonn PPllaann
The community has an underutilized waterfront with limited access;
lacks commercial services; and suffers from inadequate and obsolete
utilities, drainage, sewers, and streets. Redevelopment activities are
intended to remove blight by revitalizing the existing commercial spaces,
restoring the waterfront for public purposes, redeveloping properties for
new business establishments that will create jobs for local residents, and
revitalizing the residential neighborhoods. The improvement of basic
services could attract new private investment, leading to job creation and
greater access to affordable housing.
The Project Area is generally bounded on the east by the City of
Pittsburg, on the south by State Route 4, and on the west by the former
Concord Naval Weapons Station, and on the north by the Santa Fe
railroad tracks. Bay Point is a residential neighborhood with a scattered
inventory of local-serving businesses located along Willow Pass Road
and Port Chicago Highway. The neighborhood-serving Shore Acres
Shopping Center suffers from significant blight and a poor location.
Many commercial buildings are vacant and deteriorated. The Project
Area also includes a substantial number of infill sites that can be
developed for residential, commercial, and industrial uses.
6.1 AGENCY’S PAST NON-HOUSING
ACCOMPLISHMENTS AND EXPENDITURES
The Agency has funded a number of housing, public
safety, health, infrastructure, urban design, and
economic and community development projects in the
Bay Point Project Area as part of the efforts to attract
jobs, remove blight, and improve access to affordable
housing. The Agency’s accomplishments since
FY 2004/05 are listed below.
•Sponsored the preparation of a Specific Plan and General Plan
amendment for the Pittsburg/Bay Point BART Station, in collaboration
with the City of Pittsburg and the BART District—the Specific Plan
was adopted by the County in 2002 and was part of a larger joint effort
to plan the area around the BART Station for transit-oriented
development;
•Acquired 39 of the 45 parcels in the Orbisonia Heights area near the
BART station, as part of the land assembly component of the Specific
Plan—land acquired by the would then be used for
commercial/mixed-use development that is consistent with the Specific
Plan;
•Funded the Waterfront Strategic Plan (and Environmental Impact
Report), which planned urban design improvements to provide
improved pedestrian and bicycle access to the waterfront in order to
revitalize the Marina;
•Funded a community planning process to create a conceptual plan for
the development of an eight-acre site in the North Broadway
Neighborhood—the plan followed new urbanist concepts, allowing for
a mix of residential and commercial development along Willow Pass
Road;
•Facilitated the development of 69 single-family, and 49 multi-family
units, which were part of a residential and commercial mixed-use
project in the North Broadway area—an additional nine-unit project is
pending;
•Completed the infrastructure and traffic circulation improvements for
the North Broadway Neighborhood—the improvements were
implemented for portions of North Broadway, Solano, Pullman, and
Poinsettia Avenues;
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•Secured approval from the County Board of Supervisors to adopt a
Planned-Unit District Zoning (P-1) Program for the Project Area and
adjacent waterfront property;
•Funded a retail capacity study to identify and prioritize areas in Bay
Point best suited for retail development;
•Funded the creation of a website that identifies available sites within
Bay Point that could accommodate new residential or commercial
development;
•Funded economic development promotion in Bay Point by creating
business attraction and retention marketing materials;
•Secured approval from the County Board of Supervisors—on July 13,
2004—for the Bay Harbor Commerce Center Project, which allowed
Bay Point Venture One to develop a light industrial/business park at
the northeast intersection of Port Chicago Highways and Pacifica
Avenue;
•Funded the General Plan Amendment, adding the extensions of
Pacifica Avenue and Alves Lane into the Circulation Element to
provide access to the Bay Harbor Business Park, Waterfront, and
development of the Criterian property;
•Created the Community Group Funding Program to support
neighborhood beautification projects that eliminate blight and foster a
sense of community and pride among the local residents;
•Assisted the Mt. Diablo Unified School District to secure a portable
building for after school programs at Riverview Middle School;
•Established the Community Preservation-Abatement and Revolving
Loan Fund;
•Provided financial assistance to Habitat for Humanity in June 2005 to
acquire real property to expand the supply of affordable housing;
•Created a Housing Development Fund to be used for site acquisition or
predevelopment costs to expand the supply of affordable housing;
•Funded the construction of curb, gutter, and sidewalks on Willow Pass
Road, and the median landscaping on the Port Chicago Highway;
•Funded median and landscape installation at the intersection of Willow
Pass Road and Port Chicago Highway;
•Funded flood control improvements along Bailey Road, north of State
Route 4;
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•Installed frontage improvements, including curbs, gutters, and
sidewalks along Alves Lane;
•Provided loans to numerous first time homebuyers;
•Partnered with the Ambrose Recreation and Park District to fund
numerous improvements to parks and community centers;
•Worked with the Code Enforcement Division of the Building
Inspection Department to implement a dumpster program for use by
low-income property owners;
•Sponsored the Avenue Banner Program for Willow Pass Road and
Bailey Road;
•Retained ownership of 96 Enes Avenue and redeveloped 116 Solano
Avenue for long-term affordable housing uses in Bay Point;
•Initiated a study of infrastructure needs in the Bella Vista
neighborhood, between Loftus Road and Madison Avenue;
•Initiated a program to purchase and rehabilitate foreclosed homes, in
conjunction with the Neighborhood Stabilization Program;
•Developed improvement plans for Bailey Road, between State Route 4
and Leland Avenue, in collaboration with the City of Pittsburg;
•Initiated a planning program for pedestrian and bicycle improvements
on Bailey Road, between Willow Pass Road and State Route 4;
•Collaborated with the Public Works Department on the Willow Pass
Road Safety Improvement project.
6.2 PROJECT AREA GOALS AND OBJECTIVES
The goals and objectives are intended to guide Agency actions toward
eliminating the Project Area’s physical and economic blight. As part of
the Redevelopment Plan adoption process, community residents worked
with the Agency to establish an original set of long-term goals—which
will continue to direct future actions within the Project Area for the life
of the Redevelopment Plan. Subsequent to the adoption of the
Redevelopment Plan, other long-term community and economic
development goals were articulated through documents such as the 2000
Implementation Plan and Midterm Review. The Agency also established
short-term goals and objectives to guide efforts during the Five Year
Implementation Plan period, as required by Community Redevelopment
Law. The Redevelopment Plan goals and the Five-Year Implementation
Plan goals and objectives are listed below.
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Long-Term Redevelopment Development Goals
•Stimulate new light industrial development in order to help Bay Point
become a productive and attractive economic center—providing jobs
for community residents and enhancing the local tax base;
•Revitalize and expand commercial development in the area;
•Provide major infrastructure improvements in order to serve Bay
Point’s existing residents and businesses, and to accommodate future
growth;
•Upgrade the existing residential neighborhoods by rehabilitating
existing housing units, and by facilitating infill housing construction,
developing neighborhood parks, and improving neighborhood
infrastructure;
•Stimulate the construction of new affordable housing.
Long-Term Community Improvement and
Economic Development Goals
•Attract businesses to the Project Area in order to create jobs for
community residents and enhance the local tax base;
•Implement road, drainage, water, and sewer improvements;
•Encourage and support public-private partnerships that address
community needs;
•Encourage and support community participation;
•Leverage the Agency’s resources with grants, loans and other funding
opportunities;
•Improve and expand the type and quality of community facilities;
•Expand and improve the commercial/economic development
opportunities and create focal points in the existing commercial strips;
•Market the Pittsburg/Bay Point Enterprise Zone to existing and new
business prospects.
Five-Year Implementation Plan Goals and
Objectives
•Implement the Pittsburg/Bay Point BART Station Specific Plan;
•Implement a marketing program to attract new businesses, improve
jobs/housing balance, and expand the tax base;
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•Continue efforts to improve the attractiveness of Bay Point at the
community entrances and at the waterfront;
•Continue efforts to improve the Willow Pass Road, Bailey Road, and
Port Chicago Highway corridors;
•Continue to promote residential infill development and rehabilitation
of vacant and foreclosed homes.
6.3 PROJECTED REVENUES AVAILABLE TO FUND
NON-HOUSING IMPROVEMENTS
The Agency can collect a maximum of $116 million in tax increment
revenue over the life of the Redevelopment Plan and issue $60 million of
outstanding debt through the sale of bonds and other loans at any one
time. Project improvement activities will be allowed through 2027, after
which the Redevelopment Plan will expire. (See Figure 6-1) The
revenues that will be available to fund non-housing improvements in the
North Richmond Project Area are described below.
FIGURE 6-1
Bay Point Project Area
Fiscal Limits
Plan Adoption ………………………………………………………. December 29, 1987
Year that Plan was Last Amended................................................2008
Expiration date to Start Eminent Domain.......................................Dec 29, 2011
Debt Repayment...........................................................................Dec 29, 2038
Plan Effectiveness ........................................................................Dec 29, 2028
Cumulative Tax, Inc. ....................................................................$116,000,000
Bond Debt Limit............................................................................$60,000,000
Source: Contr a Cost a Redevel o p men t Agen c y
Projected Tax Increment Revenues
Tax increment revenues have been and will continue to be the primary
source of revenue available to the Agency to fund improvement projects
and activities. Fraser & Associates project that the Bay Point Project
Area will earn $1.1 million of net tax increment revenues during FY
2009/10, but the revenues will significantly decline to approximately
$770,000 during FY 2010/11. Given the lack of property value
appreciation, the net tax increment revenues will stagnate during the
remainder of the IP period. Consequently, $4.2 million of cumulative tax
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increment revenues are anticipated to accrue to the Agency through FY
2013/14 (See Figure 6-2).23
In contrast, the current Implementation Plan projected $11 million of
cumulative tax increment revenues that the Agency could use to fund
Bay Point’s non-housing improvements between FY 2004/05 and
FY 2008/09.24 The recession and the decline of property values that
started in 2007 will reduce the revenues available to fund Project Area
improvements during the next five years.
Other Revenue Sources
Other revenue sources available to the Agency to make Project Area
improvements in Bay Point include $11.7 million of unexpended capital
proceeds and bond balances, plus a small amount of interest earned on
the unexpended funds.
The Agency does not anticipate issuing any new bonds to fund Project
Area improvements during the next five years. In addition, no additional
sources of grant funding or developer fees are included in the revenue
projections.
Debt Service on Past Non-Housing Improvements
In order to fund Project Area improvements with bond proceeds the
Agency is obligated to commit approximately $1.9 million per year to
service the debt of past borrowing for non-housing Project Area
improvements.
Borrow to Cover Negative Returns
The negative debt service caused by declining property values and tax
increment revenues will counter-balanced by other sources or from new
bond revenues.
Total Revenues Available to Fund Non-Housing
Improvements
The unexpended capital proceeds and bond balances provide North
Richmond with most of the available capital to fund Project Area
improvements during the next five years. Relatively small amounts of
new funding are projected to accrue to the Agency during the remainder
23 The net tax increment estimates represent the revenue that will remain with the
Agency after pass through payments, administration fees, and other Agency obligations
have been met, not counting debt service.
24 See Contra Costa County Implementation Plan FY 2004/05 to FY 2008/09. Table VI-2
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of the IP period. By FY 2013/14, the Agency can anticipate $10.8
million of revenues available from all sources to fund Bay Point’s
Project Area improvements.
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FIGURE 6-2
Project Revenues
Available to Fund
Non-housing
Improvement Projects in
the
Bay Point Project Area
FY 2009/10 to 2013/14
($ Thousand)
FY
09-10
FY
10-11
FY
11-12
FY
12-13
FY
13-14 Total
To tal Tax Incr em ent $2,490 $2,012 $2,046 $2,081 $2,115 $10,774
Housing Set-Aside $370 $271 $274 $277 $280 $1,472
33676 Adjustment $640 $659 $678 $698 $717 $3,392
Property Tax Administrative fees $21 $17 $17 $17 $18 $90
AB 1290 tax sharing $0 $0 $0 $0 $0 $0
Taxing Entity Share $367 $297 $302 $308 $314 $1,588
Net Tax In c r em en t Rev en u es $1,090 $770 $780 $780 $790 $4,200
A d dit io n al Revenues
Unexpended Capital and Available Bond
Proceeds $11,673 $0 $0 $0 $0 $11,673
New Bonds Anticipated for Non-Housing $0 $0 $0 $0 $0 $0
Interest Earnings on Capital Funds $38 $38 $38 $38 $38 $190
Other Revenue Sources $0 $0 $0 $0 $0 $0
Additional Costs
Debt Service Paid from Non-Housing Fund $1,927 $1,921 $1,918 $1,920 $1,914 $9,600
To tal Revenu es A vail ab l e to Fund Non -
Ho us i n g Pr ojec ts and A cti viti es $10,840 ($1,150)($1,140)($1,140)($1,130)
B o r r owi ng t o Co v er Negative Return s $1,150 $1,140 $1,140 $1,130
Cu mulativ e Revenues A vai l ab l e to Fund Non-
Ho us i n g Pr ojects and A cti viti es $10,840 $10,840 $10,840 $10,840 10,840 $10,840
Dat a Sourc e: Contra Costa RDA and Fraser and Associates
A n aly si s: Wahlstrom & Associates
Notes
- Data is rounded to the nearest $1,000. Cumulative revenues are rounded to the nearest $10,000.
-Other Revenue Sources may include grants and loans, revenues from the lease of Agency owned property, and developer fees
6.4 PROJECTED FIVE YEAR NON-HOUSING
PROJECTS AND ACTIVITIES
During the next five years, the Agency will form partnerships with
property owners and potential investors to implement land development
projects, and will undertake projects and activities that reduce blight and
help accomplish the Redevelopment goals and objectives for Bay Point.
The Agency will provide land development assistance through business
incentives, loans, land write-downs, and other tools that can reduce the
cost of business operations. The Agency will submit grant applications to
implement the Redevelopment Plan. Projects and activities that the
Agency may fund through FY 2013/14, intended to expand the job base
and improve the quality of life for residents, are listed below.
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•Continue to support job creation projects such as the Bay Harbor
Commerce Center Project, which is a light industrial business park
under development;
•Continue efforts to improve the infrastructure needed to attract light
industrial and other job creating businesses;
•Continue efforts to market the Bay Point Project Area through the
Agency’s website and printed marketing materials;
•Continue efforts to refer new and existing businesses to programs such
as the County CDBG Small Business and Micro-Enterprise Loan and
Grant, those offered by the Small Business Administration, and the
Recycling Market Development Revolving Loan;
•Market the Pittsburg/Bay Point Enterprise Zone to existing and new
businesses;
•Continue initiatives to implement the Pittsburg/Bay Point BART
Station Specific Plan;
•Continue initiatives to attract a land developer to plan and implement a
residential mixed-use, transit-oriented project at the Orbisonia Heights
site;
•Continue initiatives to redevelop and revitalize the marina and
waterfront in collaboration with property owners, state and regional
agencies, and other private interests;
•Continue efforts to design and construct bike lanes along Port Chicago
Highway between Pacifica Avenue and McAvoy Road/Harris Yacht
Harbor area;
•Administer the Community Group Funding Program to support
neighborhood beautification projects that eliminate blight and
encourage community pride;
•Monitor the relocation of the Contra Costa Fire District Station 86;
•Provide office space for the Pittsburg Pre-School Coordinating
Council’s Family Preservation and Support Program in the North
Broadway area;
•Design the Delta DeAnza trail gap closure project and identify
potential funding sources;
•Continue the Community Preservation-Abatement and Revolving Loan
Program to fund the repair of substandard and unsafe structures;
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•Continue revitalizing the waterfront area by implementing the
Waterfront Strategic Plan;
•Implement the urban design standards and streetscape improvements
called for by the Pittsburg/Bay Point BART Station Area Specific
Plan;
•Implement the P-1 Zoning District, which allows for more creative and
flexible design for all developments than would be permitted under
conventional residential districts;
•Initiate the Bella Vista area infrastructure improvement program.
6.5 PROJECTED FIVE-YEAR NON-HOUSING
EXPENDITURES
The Agency is projected to spend $11.7 million on improvement projects
between FY 2009/10 and FY 2013/14. Expenditures will be targeted for
the types of projects and activities described below (See Figure 6-3):
Capital Projects: Projects and activities within this category include
utility, road and other infrastructure improvement projects, urban design
and streetscape improvements, property acquisition and site
improvements particularly related to public/private real estate
development partnerships, transit and mixed-use facilities, and other
physical development projects.
Community Improvement Activities: Projects and activities within this
category include beautification programs, hazardous waste and other
garbage remediation programs, code enforcement support, and other
initiatives that enhance the appearance of the Project Area as well as the
quality of life for residents.
Economic Development Promotion: Projects and activities within this
category include job creation and retention initiatives, policies or
programs that enhance the competitiveness of local residents including
job training, and skills development, marketing programs, and other
promotional projects, events, or activities.
Planning Activities: Projects and activities within this category include
those that modify or enforce zoning and land use policies, design future
capital improvement projects, strategize economic development and
community improvement activities, and plan for urban design and
streetscape improvements.
Unallocated Expenditures
The Agency plans to reserve 1.42 million for future improvement
projects. The funds will be expended after the life of the current
Implementation Plan, which is concluded on FY 2013/14.
FIGURE 6-3
Estimates of Future Non-housing
Expenditures in the
Bay Point Project Area
FY 2004-5 to 2008-09
Pr oj ects and A ct i vities Pr oj ect ed Ex pen di tu r es
Capital Projects........................................................... $8,000,000
Community Improvement Activities ............................. $1,000,000
Economic Development Activities................................ $250,000
Planning Activities....................................................... $1,000,000
A nti c ipat ed Expend i t ures by Cat eg ory $10,250,000
Unallocated Expenditures............................................ $1,423,000
Tot al Anti cipat ed Ex pend i t ures $11,673,000
So u r ce: Contra Costa County RDA
A naly s is : Wahlstrom & Associates
6.6 LINKAGE BETWEEN PROJECT AREA
IMPROVEMENTS AND BLIGHT REDUCTION IN BAY
POINT
A substantial number of blighting conditions
continue to exist in the Bay Point Project Area—
including incompatible adjacent land uses, vacant
buildings that are obsolete or dilapidated beyond
the point of rehabilitation, and inadequate public
improvements and infrastructure. The blighting
conditions that would require more intensive
redevelopment for retail commercial and light
industrial uses continue to exist along Willow
Pass Road and Port Chicago Highway, and within
the unincorporated sites located near the
Pittsburg/Bay Point BART Station, along Bailey
Road, along the waterfront, and elsewhere in the
Project Area.
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January 2010 96
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6.7 AFFORDABLE HOUSING PROJECTS AND
ACTIVITIES
BAY POINT AFFORDABLE HOUSING PLAN
The Agency’s housing activities for the past five years are described
below, followed by a discussion of planned activities and expenditures
for the next five years.
Accomplishments Since Adoption of the 2004/05
Implementation Plan (FY 2004/05 to FY 2008/09)
The Agency’s primary housing-related activities during the past five
years are the following.
•Agency assisted nonprofit and private developers to develop more
affordable housing throughout Bay Point;
•Agency staff assisted developers to build high-density residential and
mixed-use projects;
•Staff initiated the Orbisonia Heights land assembly program—the first
step in implementing the BART Specific Plan—with 32 of 49 parcels
acquired;
•The Agency initiated and adopted a Replacement Housing Plan for the
Orbisonia Heights Project;
•Staff worked with County Counsel, District V Office, and Building
Inspection to address code enforcement and abatement activities in the
Bay Point Project Area;
•The Agency provided loans to numerous first-time homebuyers.
Revenues Available to fund Affordable Housing
Projects and Programs
The Agency is projected to have approximately $3.9 million in housing
set-aside funds and fund balance available to support affordable housing
projects within the Bay Point Project Area during the five-year period, as
shown in Figure 6-4. Another $5.2 million of remaining bond proceeds is
available for housing activities. Thus, the Agency can expect
approximately $11.4 million of funding available for affordable housing
projects and programs during the next five years.
The Agency applies for and receives grant funds for some of its projects.
The Housing Fund resources are used by the Agency to facilitate the
expansion, improvement, and preservation of the affordable housing
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supply within the Project Area through the activities and programs
discussed above.
[This space intentionally left blank]
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FIGURE 6-4
Low and Moderate Income Housing
Fund Summary
YEA R A MOUNT
Balance, June 2009 (1)............ $2,404,500
2009-2010............................... 370,000
2010-2011............................... 271,000
2011-2012............................... 274,000
2012-2013............................... 277,000
2013-2014............................... 280,000
Unexpended Bond Proceeds $5,165,700
Total $9,042,200
Sou r c e: Contra Costa Redevelopment Agency and Fraser & Associates
A n alys i s: Vernazza Wolfe Associates
No tes : Fund balance and unexpended bond proceeds are rounded to the nearest $100
Planned Housing Activities, FY 2009/10 to 2013/14
The Agency’s housing plans for the Bay Point Project Area over the next
five years constitute a continuation of past activities and priorities. The
Agency will continue to combine various funding sources to encourage
development of housing affordable to a variety of income levels. The
specific goals and objectives as stated in the most recent Agency budget
are described below:
•Work with appropriate nonprofit and for-profit organizations in
developing affordable housing and actively participate in development
activities where feasible;
•Continue to work with the nonprofit developer (Habitat for Humanity)
on the development of property and the entitlements for single-family
residences on an infill site.
These Project Area housing activities support the goals adopted in the
County’s Housing Element. The Agency’s planned programs and
activities for the next five years include the following.
•Implement the Replacement Housing Plan for the Orbisonia Heights
project;
•Assist in the relocation and replacement of the Youth Homes Facility
(formerly located in Orbisonia Heights neighborhood);
•Continue to provide financial assistance to Habitat for Humanity to
develop affordable housing projects in the Project Area;
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•Continue the Homebuyer Resale Transaction Costs Program. Funds are
used to purchase, hold and resell deed-restricted units in the Project
Area;
•Implement the Community Preservation Program to acquire foreclosed
properties, rehabilitate the homes where needed, and then resell them
to other homebuyers;
•Continue the Housing Rehabilitation Program to provide loans to low-
and moderate-income homeowners to repair and modernize single-
family homes; loans are also available to investor/owners who plan to
upgrade their rental properties;
•Continue to work with County Counsel, District V Office, and
Building Inspection to address code enforcement and abatement
activities in the Bay Point Project Area.
Additional programs available to support affordable housing in the
Project Area are described below in more detail.
Housing Rehabilitation Loan Program
Bay Point residents may participate in the Agency’s Housing
Rehabilitation Loan Program. The Program is for low- and moderate-
income owner-occupants of residential properties. Loans to low- and
moderate-income households will be made to improve interior and
exterior conditions that cause a unit to fail housing quality standards and
threaten the health and safety of the occupants. The program, which is
administered by the Building Inspection Neighborhood Preservation
Program, offers loans with interest rates that range from zero to three
percent simple interest depending on household income.
Homebuyer Assistance-Foreclosed Properties
The Agency is developing a program to acquire foreclosed homes in Bay
Point and the other Project Areas. The Program may work in
coordination with the Neighborhood Stabilization Program (NSP), which
is funded by the Department of Housing and Urban Development and
administered by the Contra Costa County Department of Conservation
and Development. The County plans to use the NSP funds to acquire
foreclosed properties, rehabilitate the homes where needed, and then
resell to other homebuyers. NSP funds may also be used to assist with
closing costs, down payments, and land banking for future development.
Amnesty Program Implementation
Bay Point property owners are eligible to participate in the County’s
temporary amnesty program for specific housing code issues.
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Housing Development Fund
The Agency has set aside funds to assist in the development of affordable
housing.
Projected Housing Expenditures, FY 2009/10 to
2013/14
The Project Area housing activities support the goals adopted in the
County’s Housing Element. The estimated expenditures for future
housing activities are shown in Figure 6-5.
Approximately 26 percent of expenditures are planned for the Housing
Rehabilitation Program, with both Community Preservation and the
Housing Development Fund having allocations of approximately
18 percent each. The Agency expects to take advantage of various
opportunities as they are presented and to initiate actions as necessary,
consistent with the CRL and the County’s Housing Element, to preserve
and facilitate the development of housing affordable to households
whose basic needs are not met by the private housing market.
FIGURE 6-5
Projected Housing
Expenditures in Bay Point
Project Area
FY 2009/10 to 2013/14
Ho u sin g Pr o g r am Plan ned Exp end i t ures Per c en t
Habitat................................................................. $553,000 6.1%
Youth Homes Predevelopment............................ $237,000 2.6%
Housing Development Fund................................ $1,579,000 17.5%
Homebuyer Resale Transaction Costs ................ $711,000 7.9%
Housing Rehabilitation Program.......................... $2,369,800 26.2%
Community Preservation (foreclosed homes)...... $1,579,900 17.5%
Low to Moderate Housing Program..................... $789,900 8.7%
Unallocated Expenditures $1,221,700 13.5%
Tot al $9,042,200 100.0%
So u r ce: Contra Costa Redevelopment Agency
A n aly s is : Vernazza Wolfe Associates
6.8 AFFORDABLE HOUSING PRODUCTION PLAN
This section describes the production of new housing in the Project Area
and how the Agency is meeting its legal obligations to develop and
rehabilitate additional affordable housing units. The Agency’s efforts to
develop new affordable housing units are guided by the County’s
recently adopted Housing Element, the County’s regional fair share
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housing needs allocation, and various County policies and programs that
promote affordable housing.25
The Agency has made good progress in facilitating development of
affordable housing units the Project Area. The Agency has complied
with the housing production requirements and is expected to continue to
do so as residential development continues in the Project Area, especially
as the mixed-use development in the BART Specific Plan proceeds.
Historical Housing Production and Affordable
Housing Obligations
Housing production in the Project Area is summarized in Figure 6 6. At
the beginning of the Implementation Plan period, 393 units had been
built or substantially rehabilitated in the Project Area, including 186
affordable units. There was a surplus of 103 affordable units overall, of
which three units were for very-low income households. There were an
additional 290 units built during the past five years.
Future Housing Production
Figure 6-6 shows projected housing production for the next five years
and over the life of the Redevelopment Plan. Rebuilding of the Orbisonia
Heights area is expected to add at least 48 homes, some of which will be
affordable units. Timing for this project may be affected by market
conditions.
[This space intentionally left blank]
25 The County submitted its Draft Housing Element Revised in Response to HCD Comments
in June 2009.
FIGURE 6-6
House
Production and
Affordable
Housing
Obligation in
Bay Point
Project Area
TOTA LS FOR PERIOD
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January 2010 103
6.9 REPLACEMENT HOUSING REQUIREMENTS
The Agency is required to replace within four years after removal any
housing units in the Project Area that have been removed. Previous
redevelopment activities resulted in the removal of 106 housing units
through 2006/07. The housing units removed were subsequently
replaced, and the Agency’s replacement housing obligation for those
units was satisfied.
The Agency is currently facilitating the Orbisonia Heights
Redevelopment Project, part of the BART Specific Plan that will include
mixed-use, residential, transit-oriented development. This project will
Throug h
FY
2003/04
FY
2004/05
FY
2005/06
FY
2006/07
FY
2007/08
FY
2008/09
FY2009/10
to
FY2013/14
(Pro jec t ed )
Cur r ent FY2004/05 Total ov er As of t0 L ife of End o f FY2013/14 Pl an (b)FY 2008/09 (a)
Perc ent
Ho usi ng Prod uction in Proj ec t Area (c)
New Units 196 254 16 10 2 8 325 486 615 1,211
Substantial 197 0 0 0 0 0 197 0 217Rehabilitation
To tal 393 254 16 10 2 8 325 683 615 1,428
CRL Afford abl e Housing Ob li gat io n (d )
Very Low 38 16 1 1 1 1 20 41 37 86 6%
Very Low, Low 83 39 3 2 1 2 49 103 93 215or Moderate 15%
Producti on of A f fo rdab l e Hous ing (Actu al t hru 2007/08) (e)
Very Low 41 0 0 0 0 0 0 41 0 116
Very Low, Low 186 180 0 10 0 0 0 376 190 376or Moderate
Affordable Prod ucti on Surplus (Def ic it ) (f)
Very Low 3 (16) (1) (1) (1) (1) (20) 0 (37) 30
Very Low, Low 103 141 (3) 8 (1) (2) (49) 273 97 361or Moderate
Source: Contra Costa County Redevelopment Agency, Wahlstom Associates.
Notes : Percentages may not add exactly due to rounding. CRL affordable housing production requirements are rounded up to the nearest whole unit.
a. As required by CRL, total units over ten year compliance period (Section 33490(a)(2)(B)).
b. As required by the CRL, total units over the life of the Redevelopment Plan (Section 33490(a)(2)(B)). Includes projected production after 2013/14.
c. Total units produced in the Project Area during the specified time period.
d. Number of affordable units required based on units produced. Affordable housing production obligation for non-Agency developed housing requires 15% of total units to be available at
affordable cost. Of those units, at least 40% must be affordable to very low income households (6% of the total units). Agency developed housing has higher inclusionary requirements.
The Agency has not, and does not anticipate, directly developing units.
e. Number of units satisfying CRL affordable housing production obligation. Affordable units produced outside Project Area counted on a one for two basis.
f. Remaining affordable housing surplus or obligation at the end of the period.
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result in displacement of 42 households. At the Agency’s request,
Overland, Pacific & Cutler, Inc. (OPC), prepared the required
Replacement Housing Plan.26 OPC interviewed occupants of the
dwelling units proposed for demolition to determine the number of
bedrooms per dwelling unit occupied and the gross household income of
each household. The survey found that the Agency must replace 39
residential units, comprising a total of 81 bedrooms. The required income
targeting for the replacement units is as follows: very low-income (36
bedrooms), low-income (38 bedrooms) and moderate-income (7
bedrooms).
The Agency plans to provide replacement units within the Bay Point
Project Area. Potential new developments that are expected to contain
affordable units include the following: Marina Townhomes, Orbisonia
Townhomes/Apartments, Driftwood-Denova, and Clearland Mixed-Use.
If the replacement units are not being developed within the time allowed,
the Agency shall identify other replacement units in order to meet the
replacement housing requirements.
The Agency does not expect to undertake additional projects that could
result in the displacement of households in the next ten years. In the
event that changes and the removal of housing units occurs, the Agency
will plan for and undertake replacement of any units and will follow all
state requirements for replacement housing and relocation as it has
already been doing.
6.10 TARGETING BAY POINT’S HOUSING FUND
EXPENDITURES
There are two requirements regarding targeting of housing fund
expenditures, one related to the income groups served and one to age
(non-senior or senior).
Targeting Low- and Very Low-Income Households
The Agency has spent approximately $895,000 of its Housing Fund to
assist the production of affordable housing during the past five-year
period, and $2.3 million in the previous period. These funds were used to
provide affordable housing and assist development of a number of
projects including DeAnza Gardens, Elaine Null Apartments, and Hidden
Cove Apartments. Approximately 27 percent of the funds have assisted
26 Overland, Pacific & Cutler, Inc., Replacement Housing Plan Relative to the Orbisonia
Heights Project, September 2008.
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very low-income households, 40 percent for low-income households, and
33 percent for moderate-income households. While the expenditures for
the low-income category exceed the target percentage, the expenditures
for the very low-income category are below the targeted amount
(39 percent). The Agency expects to increase its expenditures in this
category during the next five years as planned projects are developed.
Targeting Non-Seniors
The Agency has not assisted any seniors-only projects or units in Bay
Point and, thus, complies with the requirement to provide at least
70 percent of the housing funds to benefit non-senior households and to
limit the Housing Fund expenditures for senior housing to 30 percent of
all Housing Fund expenditures. In addition, redevelopment law allows an
Agency to meet its age-related targeting requirement in combination for
all project areas. Combining housing assistance expenditures for all
project areas, less than five percent has been spent to benefit senior
households, thus not exceeding the allowed targeted percentage of 30
percent.
* * *