City Council Agenda Report
June 17, 2025
TO: Honorable City Council
FROM: Jesus M. Gomez, City Manager
BY: Alex Hamilton, Interim Director of Community Development SUBJECT: APPROVAL OF APPOINTMENTS TO THE NORWALK ENHANCED
INFRASTRUCTURE FINANCING DISTRICT PUBLIC FINANCE AUTHORITY Background:
On March 18, 2025, the City Council unanimously adopted Resolution No. 25-09 authorizing the formation of an Enhanced Infrastructure Financing District (EIFD). Said resolution allowed for the establishment of the Norwalk EIFD Public Finance Authority (PFA) and member appointments.
On April 15, 2025, the County Board of Supervisors (County) adopted a Resolution of Intent expressing the County’s intent to participate in the City’s EIFD.
Typically, PFA’s are comprised of five members (two City Council members and can include an alternate Councilmember), one member of the local community, and the County appoints a representative of the Supervisorial District serving Norwalk and a public member. In this case Mr. Andy Perez is the County supervisorial district representative and former Councilmember Mr. Leonard Shyrock is the community member on behalf of the County.
Analysis:
Pursuant to Government Code section 53398.51.1, if the Board of Supervisors approves the County’s participation in the Norwalk EIFD, at least two City Councilmembers shall be appointed as members. It is recommended that City Council appoint the Mayor and Vice Mayor along with a Councilmember (appointed in alphabetical order by last name) as an alternate. In addition, one member of the public shall be appointed at City Council’s discretion. The appointment of the member of the public is required to be at today’s meeting to convene a meeting of the PFA on July 1st, 2025.
City Council June 17, 2025
EIFD PHA Appointments Page No. 2
May 6, 2025
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Upon completion of the necessary appointments, the next steps in the process for the completion of the Norwalk EIFD are as follows:
•Convene the fully appointed Public Financing Authority - it is recommended that the PFA meeting occur immediately prior to the regularly scheduled City Council meetings (much like the Successor Agency), this is anticipated to be July 1, 2025. •Also, at the July 1, 2025, meeting it is recommended that a series of actions be taken: the Bylaws governing the activities of the PFA be presented, reviewed and adopted by the PFA; review of the fundamentals of the EIFD/review of Norwalk EIFD analysis to date (for the new members); and formal direction for staff and Kosmont to prepare the Draft Infrastructure Financing Plan (IFP).
Environmental:
City Council’s actions to appoint members of the PFA are exempt from the California Environmental Quality Act (CEQA) as it is solely an action related to the creation of a government funding mechanism and the administrative or organizational activities of the City. Therefore, these actions do not constitute a “project” pursuant to CEQA Guidelines Sections 15378(b)(4) and 15378(b)(5).
Fiscal Impact:
There is no immediate fiscal impact for establishing the Norwalk EIFD or PFA. If ultimately established, the EIFD would create the opportunity to use tax increment financing to fund targeted infrastructure investments in the IFP. Further information regarding fiscal impact will be analyzed as part of the development of the EIFD, which will be presented to the PFA.
Citizens Advised:
N/A
Strategic Plan 2023 Implementation:
The EIFD is a tool to invest in public facilities supporting the development of communities, which would contribute to Objective 4 – maintain the City’s financial resiliency.
Recommended Action:
Staff recommends City Council appoint the Mayor and Vice Mayor along with a Councilmember (appointed in alphabetical order by last name) as an alternate, and one member of the public.
Attachments:
County CEO Staff Report and Resolution No. 79659