IN THE NEWS:

Debt increase on table for Grand Terrace redevelopment
10:00 PM PDT on Monday, March 15, 2010
By DARRELL R. SANTSCHI
The Press-Enterprise
The Grand Terrace City Council plans a public hearing April 27 on a plan to extend the life of the city's Redevelopment Agency and increase the amount of bond debt it can incur by fivefold.
At stake is $96 million in property tax revenue the city could rake in over the next 14 years rather than see it distributed among other tax recipients. Redevelopment agencies pay for projects by selling bonds repaid by property tax money that otherwise would go to other government agencies.
"I am suggesting you keep the money in the city of Grand Terrace that would go to other agencies," city Community and Economic Development Director Joyce Powers told the council last week.
The plan calls for extending the life of the agency by five years through July 15, 2024. Also, the agency's bond debt ceiling would rise from $15 million to $75 million.
Without that increase, Powers warned, the agency will reach its maximum debt sometime next year, about the same time it will have collected its maximum of $70 million in property tax revenue.
The plan also calls on the city to increase the maximum amount of money the agency can raise from $70 million to $225 million.
Powers said earlier that the total bond debt and total revenue are different because the bond money is used to pay for specific development-related projects and the rest of the money raised in property taxes pays for such expenses as housing assistance for low-income families, interest on debt and portions of city staff members' salaries.
The report boasts that redevelopment money has built a library and city hall, developed Richard Rollins and Pico parks, built a child care center and fire station, purchased land for the town's first dog park and designed a ball field for Little League games.
Future redevelopment money will provide $6.2 million for curbs, gutters and sidewalks along Michigan Avenue, $200,000 for a baseball field, $4 million for park improvements and enlargements of the library and community center.
The council learned last month that it will have to repay $2.6 million to the redevelopment agency from the city's general fund because property tax checks sent by the county to Grand Terrace had been credited to the wrong account.
Some criticized the proposed redevelopment plan.
Patricia Farley told the council last week that her family bought a house on Michigan Avenue 60 years ago and that she is dissatisfied with the city's handling of improvements in the area.
"The blight problem on Michigan (Avenue) is created by your negligence," she told council members. "I am totally opposed to you continuing this."
Sylvia Robles said money is needed for schools and other government programs that would be lost to the city's redevelopment agency.
Charles Hornsby urged the council to dissolve the agency, which he said encourages Grand Terrace to "live way beyond our means.
"California was once the golden state," he said. "Now we can't afford to be the aluminum foil state."
Reach Darrell R. Santschi at 951-368-9484 or dsantschi@PE.com

Colton council to hear briefing on Grand Terrace school
10:00 PM PDT on Monday, March 15, 2010

The Colton City Council will hear a briefing tonight on construction progress for the new high school in neighboring Grand Terrace.
Colton Joint Unified School District officials will be describing the 67.5-acre Grand Terrace High School at the Ray Abril Jr. Educational Complex, which is under construction and scheduled to open Sept. 6, 2011. The school will have 274,000 square feet of building area, 96 classrooms and an enrollment capacity of 3,008 students in grades nine through 12.
The council meets at 6 p.m. at 650 N. La Cadena Drive in Colton.
--Darrell R. Santschi dsantschi@PE.com