CCMIN120688 - Laserfiche WebLink

351 adopted the monies from the incremental taxes and the additional sales tax will go to the CDA versus going into the City's general fund. The CDA Attorney advised that with tax increment financing, at the time the redevelopment plan is adopted the assessed valuation in the project area at that time forms the "frozen base". Taxes which are levied on that assessed valuation continue to go to all the taxing agencies. Taxes levied on increases in assessed valuation go to the redevelopment agency and are not considered part of the City's Prop 4 Gann limit. Those property taxes are not subject to the Gann limit. As to the sales tax, however, the sales tax works differently and is considered a transfer of financial responsibility from the City to the Agency and therefore to the extent that a redevelopment agency levies a sales tax, there has to be a corresponding decrease in the City's appropriations limitation. The property tax is not part of the Gann limit but the sales tax really is. Mr. Fernandez urged support of the redevelopment plan, and is willing to help in any way possible. Mr. Brad Hirst, 2456 Minivet Court, stated as a 21 year resident of Pleasanton and 13 year business person he would like to encourage Council and CDA to support the plan as a funding mechanism for a Specific Downtown Plan for three reasons. The most important reason is that the people of Pleasanton care about the downtown and community. This has been expressed emotionally and financially; the Council and the Pleasanton people have put millions of dollars into items such as senior citizen housing, a library, performing arts, school bond issue, and all of that money is appropriately allocated. He stated that tax money, which is generated downtown, should be used in the downtown area. He stated it should be done for a financial reason because there is going to be substantial property tax increase within the proposed plan area, with the Connolly Shopping Center in Mission Park, a proposed shopping center in the northeast portion of the plan, the sale of a large office building downtown, a couple of new buildings being constructed downtown. Property taxes are a substantial item. He stated as a downtown property owner and a property owner in North Pleasanton, he wants his money to be spent in the area where he is being taxed. Another reason to support the plan is because in his judgement there is blight within the proposed plan area; both on private property and public property. The City is going to be improving water and sewer lines and streets in one of two methods; either by doing it in a planned organized budget agonizing way or in a unplanned unbudgeted chaotic way. He expressed hope that aid would be given to downtown property owners with regard to the Earthquake Safety Statute requirements. He stated there has been a substantial amount of private investment in the downtown area which are indications that the private investments have confidence in the future of downtown. He cited his proposed building to replace the Round-up. He urged Council to spend the tax money that is generated downtown and stated it would be a signal to private - 30 - 12-6-88