Reso. No. _________
RESOLUTION NO. _______________
RESOLUTION OF THE COUNCIL OF THE CITY OF SANTA ROSA SETTING FORTH THE MAXIMUM MINIMUM PORTION OF THE CITY’S PROPERTY TAX INCREMENT
TO BE INCLUDED IN THE DOWNTOWN ENHANCED INFRASTRUCTURE FINANCING DISTRICT’S DRAFT INFRASTRUCTURE FINANCING PLAN TO FIFTY PERCENT (50%) OF THE TOTAL PROPERTY TAX INCREMENT COLLECTED WITHIN THE DISTRICT’S
BOUNDARIES
WHEREAS, An Enhanced Infrastructure Financing District (EIFD) is a financing tool that supports public infrastructure and development that in turn supports and incentivizes private investment into specific areas where mixed-use development is desired; and
WHEREAS, On April 25, 2023, pursuant to EIFD law, the Council adopted RES-2023- 076 - Resolution of Intention to form the Downtown EIFD and RES-2023-077 to establish a Public Financing Authority (PFA) as the governing board for the EIFD; and
WHEREAS, prior to finalizing the formation of an EIFD, an Infrastructure Financing Plan (IFP) consistent with Government Code Sections 53398.59 through 53398.74 shall be adopted by the PFA and all taxing entities; and
WHEREAS, the IFP shall include the maximum portion of the incremental tax revenue collected within the district that the City commits to funding eligible projects within the EIFD; and
WHEREAS, the proposed IFP will be subject to the review and approval by resolution of the City Council following a public hearing, review and approval by resolution of the Board of Supervisors of Sonoma County and adoption and implementation by the Public Financing Authority following three public hearings; and
WHEREAS, providing a commitment regarding the amount of City tax increment to be dedicated to the District is needed prior to finalizing the draft IFP and initiating the public hearing process; and
WHEREAS, the commitment of property tax increment to the EIFD will provide funding assistance to projects that may increase economic vibrancy within the downtown core and generate increases in property, sales and transient occupancy tax; and
WHEREAS, property tax is a critical revenue source for the City’s General Fund and segregating revenue growth into an EIFD must balance the need to maintain core services within the district during its lifespan; and
WHEREAS, pursuant to CEQA Guidelines Section 15378, the proposed action is not a “project” subject to the California Environmental Quality Act (CEQA) because it does not have a potential for resulting in either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment. In the alternative, the proposed action is
Reso. No. _________
exempt from CEQA pursuant to CEQA Guidelines Section 15061(b)(3) because it can be seen with certainty that there is no possibility that the project may have a significant effect on the environment.
NOW, THEREFORE, BE IT RESOLVED that the Council of the City of Santa Rosa directs staff to prepare the draft Infrastructure Financing Plan associated with the Downtown Enhanced Infrastructure Financing District (District) to include fifty percent (50%) as the maximum minimum portion of the City’s property tax increment to be committed to the District throughout the District’s lifespan.
IN COUNCIL DULY PASSED this 19th day of November, 2024.
AYES:
NOES:
ABSENT:
ABSTAIN/RECUSE:
ATTEST: _________________________ APPROVED: ______________________________ City Clerk Mayor
APPROVED AS TO FORM:________________________
City Attorney