TO:Andrew P. Powers, City Manager
FROM:Clifford G. Finley, Public Works Director
DATE:January 14, 2025
SUBJECT: Newbury Road Redevelopment Agency Proceeds
RECOMMENDATION:
1. Approve the project design and plans for the construction of the public improvements associated with the Timber School Sanctuary Public Improvement Project.
2. Approve budget appropriation and Expenditure and Release in an amount not to exceed $3,000,000 from A/C #521-0000-311-1000 (Successor Agency Bond Proceeds Fund – Fund Balance) to A/C #521-5210-631-8300 (Successor Agency Bond Proceeds Fund – Improvements Other Than Buildings) [Reserved Redevelopment Agency Successor Agency Bond Proceeds held by US Bank pursuant to Depository Agreement and agreement with the Department of Finance (DOF)].
3. Authorize City Engineer to process the required paperwork, including construction plans and change orders, future actions, and individual payments.
4. California Environmental Quality Act (CEQA): A Mitigated Negative Declaration was approved for this project by City Council on November 9, 2021.
LEVINE ACT ITEM: Yes
FINANCIAL IMPACT:
$3,000,000 Increase to Adopted FY 2024-25 Successor Agency Bond Proceeds Fund Budget. $3,000,000 increase in budget is requested for the Public Improvements associated with the Development Agreement for the Timber School Sanctuary Project. $3,000,000 in former Redevelopment Successor Agency bond proceeds are available and have been reserved for the improvements to be constructed by the developer.
BACKGROUND:
Expenditure of Newbury Road Redevelopment Agency Proceeds January 14, 2025
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In June 2011, State ABx1 26 was signed into law, dissolving all redevelopment agencies in California. To be able to utilize the City’s Redevelopment Agency (RDA) funds and clear the legal obligations, City Council authorized the City to serve as the Successor Agency to the City’s RDA on January 10, 2012.
On September 25, 2013, City Council, acting as the Successor Agency, approved a Recognized Obligation Payment Schedule (ROPS) through a master agreement between the City and the Successor Agency to expend the excess available $14,300,000 in unspent bond proceeds. These former RDA proceeds were applicable to two specific areas of the City: the Newbury Road Project area and the Thousand Oaks Boulevard Project area.
In 2015, $10,400,000 of the Thousand Oaks Boulevard Project area funds were allocated and subsequently expended in 2017 for the undergrounding of all overhead utility lines and 53 poles along Thousand Oaks Boulevard from Duesenberg Drive to Westlake High School at Via Merida. $4,459,000 of former RDA bond proceeds remains for the Newbury Road Project area. On November 9, 2021, and via a second reading on January 11, 2022, City Council approved a Development Agreement (DAGR) 2020-70273 as part of the Newbury Road Project area per City Council Ordinance No. 1693-NS. The DAGR allocated an amount not to exceed $3,000,000 from the former RDA bond proceeds for eligible public improvements to be constructed by the developer Daylight T.O., LLC and also authorized the City Engineer to verify eligibility of improvements and expenditures. Eligible improvements include:
•Storm Drain improvements to improve interception, conveyance and detention of the Kelley Road area stormwater;
•Looped waterline improvements to enhance area water delivery reliability; •Replacement of local crosswalks and sidewalks with decorative pavers; •Roadside streetlight to enhance safety on Newbury Road; and •Placement of street trees along Newbury Road to enhance the corridor appearance.
DISCUSSION/ANALYSIS:
The proposed public improvements associated with DAGR 2020-70273 consist of new storm drain pipelines and culverts, new and replacement segments of water mains, new sidewalk and crosswalk pavers, one new streetlight, and street tree pockets. Most of these proposed improvements will be located along Newbury Road and Kelley Road (Attachment #1). The improvements will enhance existing public City-owned infrastructure (Attachment #2).
Expenditure of Newbury Road Redevelopment Agency Proceeds January 14, 2025
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Daylight Development Agreement requirements
Per the DAGR, the City may contribute an amount not to exceed $3,000,000 of Newbury Road Project area bond proceeds toward local drainage and other public benefit infrastructure being constructed by Daylight T.O., LLC. The DAGR was originally with Daylight T.O., LLC and was transferred to MBK Rental Living LLC on March 27, 2023. MBK Rental Living informed the City that the DAGR was being shared by the same two associated properties now held by Thousand Oaks Multifamily LLC and Thousand Oaks Hotel, LLC.
Construction Contract
The project plans were developed by the developer as part of their entitlement and DAGR. The developer solicited bids and forwarded them to the City for review and to ensure compliance with the Public Contract Code. Staff has determined the bid process was done in accordance with all legal requirements. All pertinent City departments, including the City Engineer, have also reviewed and approved the public improvement construction drawings.
A Mitigated Negative Declaration (MND) was prepared for the overall project in accordance with the CEQA guidelines. On November 9, 2021, City Council adopted the MND and Mitigation Monitoring Program (MND 2020-70279) for the project.
This project meets City Council’s Top Ten Priority #7, “Public Works + Infrastructure Investments”.
LEVINE ACT (California Government Code § 84308):
This item is subject to the Levine Act. City Councilmembers who have received a campaign contribution of more than $500 (aggregated) within the preceding 12 months from a party or their agent/representative, or a financially-interested participant involved in this proceeding may do either of the following: (1) disclose the contribution on the record and recuse themselves from this proceeding; or if applicable (2) return the portion of the contribution that exceeds $500 within 30 days from the time the official knew or should have known about the contribution, and participate in the proceeding.
All parties and their agents/representatives must disclose on the record of this proceeding any aggregated contribution of more than $500 made to any Councilmember within the preceding 12 months. Councilmembers are prohibited from accepting, soliciting, or directing a campaign contribution of more than $250 (aggregated) from a party, their agent/representative, or a financially-interested participant during a proceeding and for 12 months following the date a final decision is made. In addition, a party, their agent/representative, or a financially- interested participant is prohibited from contributing more than $500 (aggregated) Expenditure of Newbury Road Redevelopment Agency Proceeds January 14, 2025
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to a Councilmember during a proceeding and for 12 months following the date a final decision is made.
The Levine Act disclosure forms have been executed (Attachment #3).
COUNCIL GOAL COMPLIANCE:
Meets the following City Council goal:
F. Provide and enhance essential infrastructure to ensure that the goals and policies of the Thousand Oaks General Plan are carried out and the City retains its role and reputation as a leader in protecting the environment and preserving limited natural resources.
PREPARED BY: Jim Taylor, Sr. Civil Engineer
Mohammad Fatemi, Engineering Division Manager
Attachments:
Attachment #1 – Vicinity and Location Maps
Attachment #2 – Proposed Infrastructure Enhancements
Attachment #3 – Levine Act Disclosure Forms
DPW:420-47\ev\Council\2025\011425\ Newbury Road Redevelopment Agency Proceeds staff report.docx