Future of Urban Renewal by mirit35

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									 Future of Urban Renewal




                        - November 19, 2007 1
      Community MeetingURA
  PDC/City Council Work Group Meeting: Phase II
DOWNTOWN WATERFRONT
                                Meeting Goals
   Introduce the Future of Urban Renewal Initiative
   Provide an Overview of Urban Renewal
       How does it work?
       Who pays?
       What has been accomplished?

   Provide an Update on the Westside Study
       Why does it matter to you?
       What are the emerging issues?

   Start the Community Conversation

 PDC/City Council Budget Work Group Meeting: Phase II   2
FUTURE OF URBAN RENEWAL
                            Future of Urban
                            Renewal Initiative


              Over the next two years,
  the Portland Development Commission will host a
   number of community conversations to help set
  the future course for our agency and our work in
                   the community.




 PDC/City Council Budget Work Group Meeting: Phase II   3
FUTURE OF URBAN RENEWAL
                          Why Now?
                          The Next Fifty Years

  In 2008 PDC celebrates the 50-year anniversary of
  its partnership with the community.
  We want to recognize our accomplishments and
  reflect on lessons learned.
  Many Urban Renewal Areas are facing critical
  junctures and plans need to be updated.
  Our goal is to work with the community to set the
  course for the next 50 years.

 PDC/City Council Budget Work Group Meeting: Phase II   4
FUTURE OF URBAN RENEWAL
                               Lents Town Center Plan
                                    Amendments

                                        Possible Boundary Expansion
                                            Foster Blvd: 50th – 79th St
                                            Powell Blvd & 122nd Ave:


                                        Maximum Indebtedness
                                            Complete Lents Town Center
                                            Revitalization
                                            Freeway Land
                                            Johnson Creek mitigation
                                            partnership
 PDC/City Council Budget Work Group Meeting: Phase II                     5
FUTURE OF URBAN RENEWAL
                                 Part I




             How Urban Renewal
                   Works?



 PDC/City Council Budget Work Group Meeting: Phase II   6
HOW URBAN RENEWAL WORKS?
                                 Some Basic Rules and
                                 Key Terms
  15% Rule: Total Acreage/Assessed Value

  Urban Renewal Area Plans & Plan Amendments

  Frozen Base & Tax Increment

  Maximum Indebtedness (credit card limit)

  20% Rule: An Urban Renewal Area can be expanded by no
  more than 20% of its original size

  Expiration Date v. District Close-Out

 PDC/City Council Budget Work Group Meeting: Phase II     7
HOW URBAN RENEWAL WORKS?
                                          Creating An Urban
                                          Renewal District

                                             Adopted: July 1985
                    South Park
                      Blocks
                                             Expanded: May 1991

                                             Current Last Date to
                                             Issue Debt: July 2008

                                             Maximum indebtedness:
                                             $144 million

                                             Size: 161 Acres


 PDC/City Council Budget Work Group Meeting: Phase II                8
HOW URBAN RENEWAL WORKS?
                                                              URA Plan Operation:
                                                              Two Primary Models
                       Portland URA’s revenue-sharing characteristics were determined in
                       response to Measures 47-50.
                                Pre 1997 URAs:                                                 Post 1997 URAs




                                                                Assessed Value ($$$)
Assessed Value ($$$)




                           Taxes on Growth Released:
                           To Taxing Jurisdictions --
                           City, Cty, Metro, Port, Schools,
                        Special Levy – Citywide Tax to
                                Urban Renewal

                        Taxes on Growth (fixed):                                       Taxes on Growth:
                        To Urban Renewal Area                                          To Urban Renewal Area

                         Frozen Base:                                                   Frozen Base:
                         To Taxing Jurisdictions                                        To Taxing Jurisdictions


                       PDC/City Council Budget Work Group Meeting: Phase II                                         9
HOW URBAN RENEWAL WORKS?                                                                                    Years
                                Return On Our
                                Community Investments

    Because of PDC’s work in these areas, taxing
    jurisdictions realized $36M of tax revenue in 2006.

    This $36M represents 60% of the property taxes
    generated in those districts.


           PDC’s “Option 3” Plans Return of Property Taxes to “Shareholders”

 Airport Way        Downtown Waterfront    Oregon Convention Center   South Park Blocks


 $13.5 million          $9.2 million             $8.6 million            $5.5 million



 PDC/City Council Budget Work Group Meeting: Phase II                                     10
HOW URBAN RENEWAL WORKS?
                                  Property Tax Flow in
                                  Option 3 Districts
Downtown Waterfront and South Park Blocks:
                                                     To Taxing Jurisdictions: $23.6M


                                                              For 2006-7: $14.7M
                                                                          DTWF: $9.2
                  Taxes on Growth:                                         SPB: $5.5
                To Taxing Jurisdictions
                                                                  Annual Amount:
       Taxes on Growth (fixed):                                           $13.4M
                                                                          DTWF: $7.7
       To Urban Renewal Area                                               SPB: $5.7
                                           Frozen Base:     Annual Amount: $8.9M
      Frozen Base:
                                   o Taxing Jurisdictions                 DTWF: $1.4
      To Taxing Jurisdictions                                              SPB: $7.5

         Time

 PDC/City Council Budget Work Group Meeting: Phase II                              11
HOW URBAN RENEWAL WORKS?
                              Tax Increment Distribution

            Primary Distribution of the $13.4M once debt is
              paid off for the downtown option 3 districts


                   $4.14M
                  Education
                    32%                           $5.35M
                                                   City
                                                   40%




                              $3.61M
                              County
                               28%


 PDC/City Council Budget Work Group Meeting: Phase II         12
HOW URBAN RENEWAL WORKS?
                 Part II




         Westside Study:
         Downtown Urban
          Renewal Areas


                           13
WESTSIDE STUDY
                    Westside Study

                 Formed a recommending body to
                 our PDC Commission called the
                 Urban Renewal Advisory Group
                 (URAG).
                 URAG Members include:
                    Mark Rosenbaum and Charles Wilhoite,
                    PDC Commissioners
                    Erik Sten and Dan Saltzman, City
                    Commissioners
                         Cogen,
                    Jeff Cogen, Multnomah County
                    Commissioner
                    Don Hanson, Portland Planning
                    Commissioner
                    Jon Kruse, Citizen Member (served on
                    PDC/Council budget committee)


                                                           14
WESTSIDE STUDY
                                 URAG Charge:


   Extension of last date to issue debt for South Park Blocks
   and Downtown Waterfront.
   Consider expanding River District by up to 61 acres.
      State Statute limits the amount that can be added to RD to 61 acres
      (20% of district’s original size {309 acres}).
      Old Town/Chinatown is about 132 acres in size (107 north of Burnside).

   Possible increase of the Maximum Indebtedness of River
   District.
      RD has a maximum indebtedness of $225 million. That amount can be
      increased by doing a substantial amendment to the RD plan.




                                                                               15
WESTSIDE STUDY
                 Part III




        Highlights of Three
         Downtown Urban
          Renewal Areas


                              16
WESTSIDE STUDY
                                  After
                                  Before



 PDC/City Council Work Group Meeting: Phase II   17
DOWNTOWN WATERFRONT URA
                                            URA Map
                          Old Town/
                          Chinatown

                                                 Adopted: April 1974
                          Downtown
                          Waterfront             Most Recent Extension:
                                                 December 2003

                                                 Current Last Date to
                                                 Issue Debt: April 2008

                                                 Maximum Indebtedness:
                                                 $165 Million

                                                 Size: 279 Acres


 PDC/City Council Work Group Meeting: Phase II                            18
DOWNTOWN WATERFRONT URA
                                                    Accomplishments

    Development
RiverPlace: creation of new retail, office,
and 480 new housing units




                                                                          Union Station: over $4 million
                                                                          invested in renovations,
                                                                          improvements, and public space
                                              Pioneer Place: 215,000 SF   enhancements
                                              of retail and adjacent
                                              garages to spur downtown
                                              retail

     PDC/City Council Work Group Meeting: Phase II                                                   19
DOWNTOWN WATERFRONT URA
                                             Accomplishments

   Public Improvements


                                                                          Portland Classical
                                                                          Chinese Garden



        Tom McCall Waterfront Park                         Transit Mall

Salmon Street
Springs




                               Pioneer Courthouse Square


    PDC/City Council Work Group Meeting: Phase II                                              20
DOWNTOWN WATERFRONT URA
                                            Accomplishments

                                             Economic Development (since 1999)
                                                Retained/created over 800 jobs
8 NW 8th: 180 low-                              Leveraged $62.5 M of investment
income units
                     Old Town Lofts: 60         Completed over 140 Storefront grants
                     mixed-income condos
  Housing Units Completed
  (1985 to 2005)
      Affordable Preservation
                                                              Storefront Program: Golden
      or Replacement:                                         Horse Restaurant
      Approx. 1600




                                  Golden West: 76 units
     The Yards Council Work
     PDC/City at Union Station:Group Meeting: Phase II                                   21
DOWNTOWN WATERFRONT URA
      535 affordable rental units preserved
                                                               Storefront Program: 360 Vinyl
                      Broadway
                       Corridor
                                                   Work To Be Done
                              North
                            Old Town/
                            Chinatown
                                   Ankeny/
                                                    Broadway Corridor
           Burnside/Couch Transit
                           Mall
                                   Burnside             U & R Blocks
                                                        511 Building
                                                        Union Station
                  Retail Core
                                                    North Old Town/Chinatown


                                              ds
                                                       TPI Relocation
                                          hea          Dirty Duck Block
                                      dge
                                                       redevelopment
                                  Bri


                                                       Naito/Beam Master Plan
                                                    Downtown retail core
                                                    Transit Mall Redevelopment
                                                    Bridgeheads
                                                    Burnside/Couch and Ankeny
                                                    Burnside
 PDC/City Council Work Group Meeting: Phase II                                   22
DOWNTOWN WATERFRONT URA
                        URA Map


                        Adopted: July 1985
           South Park
             Blocks
                        Expanded: May 1991

                        Current Last Date to
                        Issue Debt: July 2008

                        Maximum indebtedness:
                        $144 million

                        Size: 161 Acres


                                                23
SOUTH PARK BLOCKS URA
                                                      Accomplishments

    Development                          South Park Blocks and Cultural          Public
                                         District improvements
                                                                                 Improvements




                                                                          Portland Streetcar and the PSU
                                                                                      Urban Center Plaza




Museum Place: new housing,
office, retail, and parking, including
a new downtown Safeway


                                                                                                     24
SOUTH PARK BLOCKS URA
                                          Accomplishments
                                                    YWCA: 36 transitional/ shelter
                                                    units

 Housing Units Completed
 (1985 to 2005)
     Affordable Preservation or
     Replacement: Approximately 1140
     Mixed-Income: Approx. 112


Kafoury Commons: 129 new
low-income units




                           Museum Place South:
                           142 new apartments and                 St. James: 122 low-income
                           townhouse rentals                      apartments


                                                                                          25
SOUTH PARK BLOCKS URA
                                             Accomplishments

      Economic Development (since 1999)
          Retained/created over 1,080 jobs
          Leveraged $22.4 M of investment              Telegram Building:
                                                       received $1 million
          Completed over 60 Storefront grants
                                                       seismic funds




Storefront Program:
Maloy’s Jewelry



                      Storefront Program: Finnegan’s

                                                                             26
SOUTH PARK BLOCKS URA
                     Park Avenue
                                   Work To Be Done
                        Vision
                      Retail
                       Core        Park Avenue Vision
                                       10th & Yamhill Garage
                                       Block 216
                Cultural               Streetscapes
                District
                                       O'Bryant Park
   University
    District                       University District
                                       PSU
                                       Montgomery Blocks
                                       4th Avenue Corridor
                                   Downtown retail core
                                   Cultural District
                                   Economic Development
                                   Housing
                                       Affordable, Workforce and
                                       Homeownership

                                                                   27
SOUTH PARK BLOCKS URA
                             URA Map


                             Adopted: September 1998

                             Last Date to Issue Debt:
                             October 2020
            River District
                             Maximum indebtedness:
                             $225 million

                             May reach maximum
                             indebtedness in 2010/2011

                             Size: 309 Acres

                             Capacity to grow: 61 acres


                                                          28
RIVER DISTRICT URA
                                               Accomplishments
                                                                             Jamison Square Park

     Development
     Brewery Blocks: 5-block, $350
                                           Public
     million project received PDC          Improvements
     assistance for infrastructure
     and parking
                                            Lovejoy/10th Ave
                                            Ramps




                        Macy’s/Meier &
Carl Greve                                                     Tanner Springs Park
                        Frank renovation

                                                                                            29
RIVER DISTRICT URA
                                             Accomplishments
                                                               Sitka Apartments: 210 rentals
                                   Streetcar Lofts:            with over 90% affordable to
                                   134 mixed-                  below 60% MFI
                                   income condos




Lovejoy Station: 181 new rental
units (40-80% MFI)                                                              Station Place: 175
                                                                                 senior affordable
                                                                                       apartments
  Housing Units
  Completed (since 1994)
      Total units built: 5970
      Affordable (0-80% MFI):
      1680+ new units
                                  Marshall Wells: 164 new condos in
                                  a historic preservation project

                                                                                               30
RIVER DISTRICT URA
                                         Accomplishments


  Economic Development (since 1999)
      Retained/created just under 1,000 jobs
      Leveraged $53.4 M of investment
      Completed over 60 Storefront grants              Storefront Program:
                                                               Jimmy Maks




Jive Software interior

                                                                      31
RIVER DISTRICT URA
                                   Work To Be Done

               Centennial
                                    Post Office
                 Mills
                                    Potential K-8 School Site
                   Potential K-8
                   School Site
                                    Centennial Mills
                                    Burnside/Couch
                    Post               Streetcar
                    Office
                                    Downtown Retail Core
                                    Transit Mall Redevelopment
             Burnside/Couch
                                    Economic Development
                                    Housing
                                       Affordable, Workforce and
                                       Homeownership
                  Retail Core


                                                                   32
RIVER DISTRICT URA
                                Part IV




          Where Do We Go From
                 Here?



 PDC/City Council Budget Work Group Meeting: Phase II   33
FUTURE OF URBAN RENEWAL
                                         Mapping Exercise

                                      Task:

                                          Determine which 61 acres to be
                                          added to the River District

                                      Working with:

                                          Neighborhood Representatives

                                          Downtown Stakeholders

                                          Community at large



 PDC/City Council Budget Work Group Meeting: Phase II                      34
FUTURE OF URBAN RENEWAL
                      And now for the twists . . .

    Our decisions need to be considered in light of
    the Central Portland Plan update.
    Possible new districts have been suggested for
    the downtown area.
    The Portland Business Alliance has proposed an
    earlier close-out strategy for DTWF and SPB.
    Commissioner Sten has proposed a satellite
    district to help David Douglas build a school.
    Commissioner Cogen wants to recognize the
    public service needs that follow development.

 PDC/City Council Budget Work Group Meeting: Phase II   35
FUTURE OF URBAN RENEWAL
                                     Downtown Waterfront
                                     T.I.F. Scenarios
                         Last Date To Issue Debt:
                                             in 2008          extended to 2010
                         in 2008 (early
                                          (maximum debt    (maximum indebtedness
                             payoff)
                                            issuance)             reached)

 Year debt is paid off   FY 2012-13        FY 2023-24           FY 2024-25

    Available TIF
                              $0          $54,217,000           $55,165,000
     resources

Expenditure        Total       Less Existing and   Equals Required     (Legally
  Period         Expenses      Other Resources          T.I.F.        Committed)
   07-08      $47,561,000          $6,191,000       $41,370,000      ($32,000,000)
  5 Year
              $73,082,000       $22,598,000         $50,484,000      ($36,348,000)
 Forecast

  PDC/City Council Budget Work Group Meeting: Phase II                             36
FUTURE OF URBAN RENEWAL
                                      South Park Blocks
                                      T.I.F Scenarios
                          Last Date To Issue Debt:
                           in 2008      in 2008
                                                        extended to    extended to
                            (early     (maximum
                                                           2010           2015
                           payoff)   debt issuance)
                            FY
 Year debt is paid off                FY 2023-24        FY 2024-25     FY 2027-28
                          2012-13
Available TIF resources      $0      $37,398,000       $40,664,000    $48,014,000

Expenditure       Total        Less Existing and   Equals Required      (Legally
  Period        Expenses       Other Resources          T.I.F.         Committed)
  07-08       $29,738,000         $13,801,000         $15,937,000     ($8,690,000)
  5 Year
              $47,933,000         $19,944,000         $27,989,000     ($8,690,000)
 Forecast

  PDC/City Council Budget Work Group Meeting: Phase II                              37
FUTURE OF URBAN RENEWAL
                                 Part V




     Future of Urban Renewal -
           What’s Next?


 PDC/City Council Budget Work Group Meeting: Phase II   38
FUTURE OF URBAN RENEWAL
    & The Future of
Before       After

  Urban Renewal…
                           Future of Urban Renewal
                           Website

  http://www.pdc.us/four
      Urban Renewal Advisory Group (URAG) meeting
      schedule
      Materials handed out at past meetings
      Presentations given at past meetings
      Videos of past meetings
      Maps and graphics of the study area




 PDC/City Council Budget Work Group Meeting: Phase II   40
FUTURE OF URBAN RENEWAL
                                Discussion Questions


   What 61 acres should be added to River District?

   Should we spend more money in the South Park
   Blocks and Downtown Waterfront URAs for
   identified projects?

   Should we create satellite districts?


 PDC/City Council Budget Work Group Meeting: Phase II   41
FUTURE OF URBAN RENEWAL
                                Upcoming Meetings

   Tuesday, November 27, 2007
       PDC Commission Room, 2-5 p.m.
       Infrastructure/ Arts & Education
   Tuesday, December 18, 2007
       PDC Commission Room, 2-5 p.m.
       Review of Draft Findings and Recommendations
   Tuesday, January 15, 2008
       PDC Commission Room, 2-5 p.m.
       Work Session and Final Adoption of Draft Findings
       and Recommendations

 PDC/City Council Budget Work Group Meeting: Phase II      42
FUTURE OF URBAN RENEWAL

								
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