RDA Reso 2004-005 - Laserfiche WebLink

Home

Supplemental Assessments. A bill enacted in 1983, SB 813 (Statutes of 1983, Chapter 498), provides for the supplemental assessment and taxation of property as of the occurrence of a change in ownership or completion of new construction after the January 1 lien date. The statute may provide increased revenue to redevelopment agencies to the extent that supplemental assessments as a result of new construction or changes of ownership occur within the boundaries of redevelopment projects subsequent to the lien date. The projections of Tax Revenue shown in the Projected Tax Revenues and Debt Service Coverage table above do not include revenues from supplemental assessments. Tax Collection Fees SB 2557 (Chapter 466, Statutes of 1990) authorizes county auditors to determine property tax administration costs proportionately attributable to local jurisdictions. Subsequent legislation specifically includes redevelopment agencies among the entities which are subject to a property tax administration charge. The SB 2557 charge to the Agency for fiscal year 2003-04 was $19,222, approximately 1.30% of the tax increment revenue of the Project Area. The County deducts the SB 2557 charge from gross tax increment revenues before distributing any tax increment revenues to the Agency. As a result, the amount of the SB 2557 charge in each year will not be available to pay debt service on the Bonds. Unitary Property AB 454 (Statutes of 1987, Chapter 921) modifies the distribution of Tax Revenues derived from property assessed by the State Board of Equalization. Chapter 921 provides for the consolidation of all State-assessed property, except for non-operating, non-unitary and regulated railroad property, into a single tax rate area in each county. Chapter 921 further provides for a new method of establishing tax rates on State-assessed property and distribution of property Tax Revenues derived from State-assessed property to taxing jurisdictions within each county in accordance with a new formula. Railroads will continue to be assessed and revenues allocated to all tax rate areas where railroad property is sited. Chapters 1457 and 921 provide redevelopment agencies with their appropriate share of revenue generated from the property assessed by the State Board of Equalization. Article XIIIB of the California Constitution On November 6, 1979, California voters approved Proposition 4 which added Article XIIIB to the California Constitution, subsequently amended several times. The principal effect of Article XIIIB is to limit the annual appropriations of the State and any city, county, school district, authority or other political subdivision of the State to the level of appropriations for the prior fiscal year, as adjusted for changes in the cost of living, population and services rendered by the government entity. The base years for establishing such appropriation limit is fiscal year 1986-87 and the limit is to be adjusted annually to reflect changes in population, cost of living and certain increases in the cost of services provided by these public agencies. Appropriations subject to Article XIIIB include generally the proceeds of taxes levied by the State or other entity of local government, exclusive of certain State subventions, refunds of taxes, benefit payments from retirement, unemployment insurance and disability insurance funds. Effective September 30, 1980, the California Legislature added Section 33678 to the Health and Safety Code which provides that the allocation of taxes to a redevelopment agency for the purpose of paying principal of, or interest on, loans, advances, or indebtedness will not be deemed the receipt by the agency of proceeds of taxes levied by or on behalf of the agency -32-