ORDINANCE relating to the Fiscal Affairs of the MEMORIAL-HEIGHTS REDEVELOPMENT AUTHORITY on behalf of REINVESTMENT ZONE NUMBER FIVE, CITY OF HOUSTON, TEXAS (MEMORIAL HEIGHTS ZONE); approving the Fiscal Year 2016 Operating Budget for the Authority and the Fiscal Years 2016-2020 Capital Improvement Projects Budget for the Zone - DISTRICTS C - COHEN; G - PENNINGTON and H - GONZALEZ

SUBJECT:  Ordinance approving the Fiscal Year 2016 Operating Budget for the Memorial-Heights Redevelopment Authority and the Fiscal Years 2016 - 2020 Capital Improvement Projects (CIP) Budget for Reinvestment Zone Number Five (Memorial Heights Zone). 

RECOMMENDATION: (Summary)

City Council adopt an ordinance approving the Fiscal Year 2016 Operating Budget for the Memorial-Heights Redevelopment Authority and the Fiscal Years 2016 - 2020 CIP Budget for Reinvestment Zone Number Five (Memorial Heights Zone).

SPECIFIC EXPLANATION:

The Administration has undertaken a comprehensive review of proposed FY16 TIRZ budgets and recommends approval of the FY16 Operating Budget for the Memorial-Heights Redevelopment Authority (the Authority) and approval of the FY16 – FY20 CIP Budget for Tax Increment Reinvestment Zone Number Five (Zone).

• Total Operating Budget for FY16 is $7,983,700 which includes $2,143,442 for required fund transfers and $5,840,258 for Project Costs.

• The FY16 – FY20 CIP Budget totals $11,517,000, and includes provisions for the design and construction of pedestrian bridges, hike and bike trails, park improvements and flood remediation infrastructure on the White Oak Bayou.

• The FY16 Budget provides for the transfer of $1,053,058 to the City’s Housing and Community Development Department for Affordable Housing.

• The FY16 Operating Budget includes $5,437,000 for capital expenditures and $96,050 for administration and overhead.  The Authority must advise the Chief Development Officer of any budget amendments.  Adjustments to the budget of $400,000 or more require City Council approval.

• The budget includes a municipal services cost payment in FY16 of $440,000 to pay for the incremental cost of providing services to the area.

The Department of Public Works and Engineering has reviewed the budget information and has provided input and recommendations accordingly.  The five year CIP is consistent with last year’s CIP. 

Gwendolyn Tillotson                                Phone: (832) 393-0937