COMMUNITY DEVELOPMENT COMMISSION
MISSION STATEMENT: To enhance the economic base of the City through
the elimination of blight, the revitalization of existing properties, and the
attraction of new businesses.
The Community
Development
Commission (CDC)
was established by
the City of West
Covina to eliminate blight, develop
affordable housing, and vitalize the
economic environment of the City. The City
Council serves as the Community
Development Commission, with the Mayor
as the Chairman and the Mayor Pro Tem as
the Vice Chairman of the Commission.
Pursuant to California Redevelopment Law,
the CDC establishes project areas with the
adoption of redevelopment plans. The CDC
works with developers, property owners,
and businesses to develop new projects and
rehabilitate and/or expand existing
developments. This public/private joint
venture may involve the construction of new
infrastructure and/or the assemblage of land
or alternatives for project financing.
The fiscal year 2006-2008 budget for CDC
is, among other things, a reflection of
implementing the Five-Year Housing and
Redevelopment Implementation Plan
adopted in December 2004. The budget also
allows for the continuation of the CDC's
efforts to pursue housing projects and
programs, and develop alternatives for
several key sites within the City. Once
"redeveloped," these projects will improve
the City's economic base while concurrently
meeting the CDC's mission to remove
blight.
COMMUNITY DEVELOPMENT COMMISSION
FY 2005-2006 ACCOMPLISHMENTS
- Administering a Disposition and
Development Agreement with West
Covina Heights LLC (Eclipse
Development) for the development of a
first-class commercial center at the
southern portion of the West Covina
Sportsplex site (commercial site).
- Administered a Disposition and
Development Agreement with McIntyre
Companies for the development of a
Nissan Dealership (Phase 1) and
commercial center (Phase 2) at the
corner of Citrus Street and Workman
Avenue.
- Closed escrow on the 8.6-acre Citrus
Street and Workman Avenue site.
- Commenced construction on the Nissan
Dealership.
- Administered a Disposition and
Development Agreement for the
construction and development of four
restaurants (Johnny Carino's, Islands,
Chipotle, Pick-Up-Stix) on the
Development Opportunity Parcel by the
Eastland Shopping Center (The Curve
Project). Project is now open and
completed.
- Entered into an Exclusive Negotiations
Agreement with Charles Company for a
commercial development on the K-
Mart/Credit Union site.
- Monitored the Planning, Design and
Construction Consulting Services
Agreement, Maintenance and Operations
Agreement, and License Agreement with
Big League Dreams (BLD), for the West
Covina Sportsplex project.
- Monitored the Design Services
Agreement and Construction Managing
Services Agreement with Rossetti
Architects and Heinbuch Golf
Construction, for the West Covina
Sportsplex project.
- Entered into and monitored a Sportsplex
Environmental Site Assessment
Agreement with Geomatrix Consultants
for the West Covina Sportsplex Project.
- Monitored and completed a Soil
Remediation Contract with Camp,
Dresser, & McKee for the West Covina
Sportsplex Project.
- Obtained regulatory agency approval for
soil remediation on West Covina
Sportsplex Project site.
- Assisted in facilitating interim closure of
Class III landfill of BKK site.
- Administered an Owner Participation
Agreement for the construction and
development of six new restaurants
(Macaroni Grill, Red Brick Pizza,
Ohana's Hawaiian Grill, Vieta Coffee,
Juice It Up, and Dono Sushi) at the
Edward's Entertainment Center
(Hillcrest Development Project). Project
is now open and completed.
- Executed several Lease Agreements with
various tenants for occupation of several
CDC owned properties.
- Monitored the ongoing construction of
the Clippinger Chevrolet Dealership
permanent facility at the Auto Plaza.
- Assisted the following businesses
through the City entitlement process:
- Crazy Horse Steakhouse, located at
1360 E. Garvey Avenue S. (formerly
National's Bar & Grill site). Project
development soon to commence.
- Penske Audi, located at 2016 E.
Garvey Avenue South. Project
development soon to commence.
- Penske Mercedes Benz expansion
project, located at 1829 E. Garvey
Avenue S.
- Brighton Management for the
development of a 109-room Marriott
Fairfield Suites & Inn, located at
3211 E. Garvey Avenue S.
- Starbucks located at 101 N. Barranca
Avenue.
- Submitted an RFP for the sale of a 0.26-acre site located at 2533 E. Workman
Avenue.
- Executed an Encroachment Easement
Deed to allow a California Pizza Kitchen
to expand on CDC property at the
former Mattress Gallery Store site in the
Westfield Shopping Center.
- Entered into a Funding Contract
Agreement with the Chamber of
Commerce at 811 So. Sunset Avenue.
- Maintained active database of available
industrial, commercial, and vacant
properties in the city.
- The CDC completed 52 Home
Improvement Loans under the CDBG
Home Improvement Loan Program. A
total of 2,454 CDBG Home
Improvement Loans have been issued
since program inception in 1970.
- The CDC processed 10 loans under the
Housing Preservation Program during
fiscal year 2004-2005. A total of 823
Housing Preservation Loans have been
issued since program inception in 2000.
- Facilitated and coordinated ground
breaking and grand opening ceremonies
throughout the City to celebrate its
continued development (Hillcrest
Development, The Curve, West Covina
Nissan).
- Hosted Annual Business Recognition
Dinner to recognize the top businesses in
West Covina.
- Worked in collaboration with the
Chamber of Commerce in promoting
West Covina's "business friendly"
environment to retain and attract
businesses through a co-sponsorship of
events including the Business
Recognition Dinner, ground breaking
ceremonies, ribbon-cutting ceremonies,
and marketing business opportunities
throughout West Covina.
- Initiated the RFP process to negotiate
and enter into an Exclusive Negotiation
Agreement with a qualified developer
for the Civic Center site.
FY 2006-2008 GOALS AND OBJECTIVES
REDEVELOPMENT
Sportsplex Project - Commercial Site
- Resolve soil sample issue and testing
required and obtain EPA and DTSC
approvals
- Complete design of the site
(infrastructure and grading)
- Remobilize to complete grading
activity for the commercial
development
- Satisfy conditions precedent to the
close of escrow with commercial
developer
- Close escrow and obtain land sale
proceeds from commercial developer
Assist and facilitate the commercial
developer in the building entitlement
process
- Commence and complete
construction of commercial
development
- Facilitate grand opening for
commercial tenants (i.e. Target and
The Home Depot)
Redevelopment of K-Mart/Credit Union
Site
- Negotiate and enter into an
Exclusive Negotiation Agreement
with a qualified developer
- Obtain appraisals and cost estimates
- Analyze project feasibility
Citrus/Workman Site
- Assist and facilitate the building
entitlement process for Phase 1 -
Nissan Dealership
- Complete construction for Phase 1 -
Nissan Dealership
- Assist and facilitate the developer in
securing building permits to
commence Phase 2 - commercial
center construction
- Facilitate a groundbreaking
ceremony for Phase 2 - commercial
center
- Commence construction of Phase 2 -
commercial center
- Facilitate grand opening for Nissan
Dealership
Azusa/Workman Site
- Facilitate and assist the developer in
the entitlement process
- Commence construction of
expansion of Mercedes Benz
Dealership Service Center
ECONOMIC DEVELOPMENT
Business Assistance, Attraction, and Retention
- Manage the Auto Plaza Business
Improvement District
- Attend ICSC Conference in Palm
Springs
- Attend ICSC Conference in Las
Vegas
- Coordinate and host the Annual
Business Recognition Dinner
- Coordinate grand opening
ceremonies for Target, The Home
Depot, West Covina Nissan, and
Crazy Horse Steakhouse
- Conduct various fund raising events
- Print marketing material for the City
of West Covina
- Maintain available property list
database
HOUSING
Home Improvement Program
- Review and approve applicants and
provide funding for qualified home
owners
- Administer existing loans
- Continue marketing the program to
maximize its utilization
Housing Preservation Program
- Review and approve applicants and
provide funding for qualified home
owners
- Administer existing loans
- Continue marketing the program to
maximize its utilization
PERFORMANCE MEASURES
AUTHORIZED POSITIONS
BUDGET COMMENTS
CURRENT BUDGET
The CDC budget is comprised of several
different funds. The operating budget is
comprised of programmatic related funds,
which are primarily accounted for under
Funds 862, 876, and 877. In essence, Fund
862 is for housing-related programs and
projects, Fund 876 is for programs and
projects within the West Covina Project
Area (Merged), and Fund 877 is for
programs and projects within the Citywide
Project Area. All charge backs reflect prior
year actual amounts. Charge backs include
all cost related to vehicles, telephones,
pagers, reprographics, administration, and
overhead.
Overall, the fiscal year 2006-2007 and
2007-2008 budgets present a slight increase
from the fiscal year 2005-2006 budget. The
net budget increase is a result of the
following factors:
- An increase in the cost of Personnel Services
- An increase in the cost of Materials and Services
- An increase in the cost of Legal, Consultant, and Other Contractual
PERSONNEL:
Under the current CDC organizational
structure, the personnel budget will continue
to increase in fiscal years 2006-2007 and
2007-2008 as a result of anticipated salary
increases and MOU adjustments that may
include salary increases, depending on job
classifications.
The CDC is responsible for carrying a
percentage of the cost of various indirect
personnel. The CDC carries 100% of the
cost of five (5) Elective/Appointive
positions, 50% of the cost of the City
Manager, finance director, and finance
account clerk, 35% of the cost of the finance
accounting manager, and 25% of the cost of
the Assistant City Manager, Assistant City
Clerk, controller, accountant, Executive
Assistant to the City Manager,
Administrative Assistant I to the City
Manager's Office, Deputy City Clerk, and
the finance management analyst. In
addition, it is proposed that the CDC will
carry 25% of the cost of the Assistant to the
City Manager and Executive Assistant to the
City Manager's Office. It will fund the cost
of one new senior planner position in the
planning department.
MATERIALS & SERVICES:
The Materials and Services budget will
experience an increase mainly as a result in
an increase in Consultant and Departmental
Supplies costs. The CDC will also be
responsible for carrying the cost of various
City related travel expenses.
FUND 131: HOUSING AND COMMUNITY DEVELOPMENT
Fund 131, 2242 - CDBG Home
Improvement Loan Program: The
program's budget is to remain constant for
fiscal years 2006-2007 and 2007-2008 as set
in fiscal year 2005-2006.
FUND 190: BUSINESS IMPROVEMENT DISTRICT
Fund 190 - Business Improvement District
(BID): This budget is funded entirely by the
membership of the BID. The membership
consists of all auto dealerships located in the
West Covina Auto Plaza. The BID's budget
will receive a slight continuous increase
mainly as a result of the programming,
maintenance, and operations costs of the
Auto Plaza Sign.
FUND 862: REDEVELOPMENT HOUSING SET-ASIDE
As a result of an increase in personnel,
materials, and services costs, the Housing
Set-Aside Fund reflects an increase from
fiscal year 2005-2006.
Fund 862, 2240 - Housing Preservation
Program: The program's budget is to remain
constant in fiscal years 2006-2007 and
2007-2008 as set in fiscal year 2005-2006.
Fund 862, 2241 - First Time Homebuyer
Program: The program will not carry a
budget in fiscal years 2006-2007 and 2007-
2008 due to the program's termination.
Staff will continue to manage any
outstanding loans.
FUND 876: MERGED PROJECT AREA
The Merged Project Area reflects an
increase from fiscal year 2005-2006 in large
part to an increase in personnel, materials
and services costs. Other significant factors
include:
Fund 876, 2220 - Redevelopment Project
Development: The Redevelopment Project
Development component of the budget will
remain fairly constant to cover Consultants,
Appraisals, Title, and Escrow costs in an
effort to realize target projects in the
Merged Project Area.
Fund 876, 2230 - Economic Development
Program: The Economic Development
component will remain fairly constant over
the next two fiscal years as set in fiscal year
2005-2006 with a slight increase in Other
Contractual Services and City Newsletter.
Fund 876, 2252 - BKK/West Covina
Sportsplex: The BKK/West Covina
Sportsplex development will receive an
increase in its budget from fiscal year 2005-
2006 to meet the cost of legal and various
consultant services necessary for the project.
FUND 877: CITY-WIDE REDEVELOPMENT PROJECT AREA
The City-wide Redevelopment Project
Areas will experience an increase to cover
the rising cost of Personnel, Materials and
Services. Other factors include the
following:
Fund 877, 2230 - Economic Development
Program: The Economic Development
Program section will receive an increase in
Other Contractual Services and the City
Newsletter.
ACTIVITY TREE
BUDGET SUMMARY
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