alameda point fiscal impact analysis - · pdf file17.12.2013 · alameda point...

AlamedaPoint

FiscalImpactAnalysisDRAFTReport

November20,2013

OaklandOffice:1939 Harrison Street, Suite 430Oakland,CA94612

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TableofContentsTableofContents.........................................................................................................................................iii

I. Introduction......................................................................................................................................1

II. DevelopmentDescription.................................................................................................................4

III. OverviewofMethodology............................................................................................................5

ProjectDemographics...........................................................................................................................5

EstimatedAssessedValue.....................................................................................................................6

IV. EstimatedRevenues......................................................................................................................7

GeneralFundRevenues............................................................................................................................9

PropertyTax..........................................................................................................................................9

PropertyTaxInLieuofVehicleLicenseFee(VLF)................................................................................9

PropertyTransferTax...........................................................................................................................9

SalesTax................................................................................................................................................9

UtilityUsersTax..................................................................................................................................10

NonGeneralFundRevenues..................................................................................................................10

GasTax(Fund211)..............................................................................................................................10

AlamedaCountyMeasureB(Fund215).............................................................................................10

UrbanRunoff(Fund351)....................................................................................................................10

A17SewerServiceFee(Fund602)....................................................................................................11

LibraryFund(Fund210)......................................................................................................................11

EstimatedRevenues................................................................................................................................11

V. EstimatedExpenditures..................................................................................................................13

Fire......................................................................................................................................................13

Police...................................................................................................................................................14

PublicWorks.......................................................................................................................................14

ParksandRecreation..........................................................................................................................15

Library.................................................................................................................................................15

GeneralGovernment..........................................................................................................................15

PlanningandBuildingServices...........................................................................................................15

EstimatedExpenditures......................................................................................................................15

VI. PhasingandMitigation...............................................................................................................16

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VII. SensitivityAnalysis......................................................................................................................17

SupportingTables...................................................................................................................................18

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I. IntroductionThis fiscal impactanalysisestimates thenet fiscalchange to thevarious fundsof theCityofAlamedaupon full build out of the proposed redevelopment of the Alameda Point according to the 1996CommunityReusePlan(ReusePlan).WilldanFinancialServices(Willdan)evaluatedtheimpactoftheprojectonseveraloftheCitysoperatingfunds,including:

TheCitysGeneralFund; UrbanRunoff(Fund351); A17SewerServiceFee(Fund602); GasTaxfund(Fund211); AlamedaCountyMeasureB(Fund215);and LibraryFund(Fund210).

TheGeneralFund isthemajorsourceofdiscretionaryspendingforkeyservices,suchaspublicworks,fire, police, and parks. The other funds are included in the analysis because they are impacted bypopulationandemploymentgrowthatAlamedaPointorbecausetheyprovidededicatedrevenuestofundservicesrequiredbygrowthatAlamedaPoint.

Theestimatednet fiscal impact from the redevelopmentofAlamedaPointon theCityofAlameda ispresentedinTableA.AbreakdownofrevenuesandexpendituresgeneratedbytheprojectatbuildoutisprovidedinTableBandTableC,respectively.

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TableACityofAlamedaNetFiscalImpact

AnnualImpactatBuildout

GeneralFundRevenues1

Revenues $11,031,000Expenditures $7,438,000 NetImpact $3,593,000

PublicWorksRevenues2 $1,947,000Expenditures $3,053,000 NetImpact ($1,106,000)

LibraryRevenues3 $385,000Expenditures $83,000 NetImpact $302,000

TotalRevenues $13,363,000Expenditures $10,574,000

NetImpact $2,789,000

1 See Table BandTable Hfordetai l s .2

3 LibraryTaxes

Figures are roundedtothe nearest$1,000.Figures maynotaddupdue torounding.

Includes revenues fromCitySewerService fees ,UrbanRunoffFund,Gas Tax,andAlameda CountyMeasure B.

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TableBEstimatedAnnualRevenuesbyRevenueSource

GeneralFundRevenuesAnnualImpactatBuildout

%ofTotal

1%PropertyTax $5,601,000 42%PropertyTaxInLieuofMVLF $1,451,000 11%TransferTax $1,302,000 10%UtilityUsersTax $1,067,000 8%SalesTax $959,000 7%BusinessLicenseTax $530,000 4%FranchiseFees $121,000 1%TotalAnnualRevenues $11,031,000 83%

OtherFundRevenuesCitySewerServiceFees $1,451,000 11%LibraryTaxes $385,000 3%UrbanRunoffFund $338,000 3%GasTax $81,000 1%CountyMeasureB $77,000 1%TotalAnnual'OtherFund'Revenues $2,332,000 17%

TotalAnnualBuildOutRevenues $13,363,000 100%

Figures are roundedtothe nearest$1,000.Figures maynotaddupdue torounding.1 See Table Gforassumptions andTable Hforca lculations .

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TableCEstimatedAnnualExpendituresbyDepartment

II. DevelopmentDescriptionThisanalysisevaluatestheimpactsoftheReusePlan.AsummaryofthedevelopmentproposedundertheReusePlanisprovidedonTableD.

ExpenditureCategory Total %ofTotal

Fire $3,303,000 31%PublicWorks $3,053,000 29%Police $1,960,000 19%Parks $1,900,000 18%GeneralGovernment $154,000 1%Recreation $121,000 1%Library $83,000 1%

TotalAnnualExpenditures $10,574,000 100%

Figuresareareroundedtothenearest$1,000.Figuresmaynotaddupduetorounding.1 SeeTableIforassumptionsandTableJforcalculations.

Fire,$3,303,000

PublicWorks,

$3,053,000

Police,$1,960,000

Parks,$1,900,000

GeneralGovernment,$154,000

Recreation,$121,000

Library,$83,000

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TableDProposedDevelopment1

III. OverviewofMethodologyThissectiondetailstheunderlyingmethodologyusedtoestimatethefiscalimpactoftheReusePlanonCityofAlameda.Thisanalysisusesacombinationoftechniquestoestimatethe increases inrevenuesandexpenditures.Wherepossible, the increases inrevenuesandexpendituresaremodeled followingthemanner inwhichtheyarecollectedandallocated,referredtoasthecasestudymethodology.Forexample, increases in property tax revenues are based on an estimate of the increase in assessedvaluation associated with a given project component. In other cases, where this type of detailedmodeling is not possible due to lack of adequate data, Willdan utilized revenue and expendituremultipliers that represent the current average per service population. Generally, thismethodologypresents a reasonably conservative analysis of the potential fiscal impacts of the proposeddevelopment.

Thesourcesof revenue included in theanalysisareproperty tax inlieuofmotorvehicle license fees,property transfer tax,1%property tax,business license tax,utilityusers tax,sales tax, franchise fees,finesandforfeitures,Citysewerservicefees,urbanrunofffees,librarytaxes,gastaxfund,andAlamedaCountyMeasureB tax revenues.Theexpenditures included in theanalysisare: theFireDepartment,Police,PublicWorks,ParksandRecreation,andLibrary.

Thenetmarginaltaxrevenueandservicecost impactsoftheReusePlanatAlamedaPointhavebeenestimatedonanongoingannualbasis. Allresultsoftheanalysisarepresentedincurrentdollars,ratherthaninflatedtoafuturenominalvalue.

ProjectD