Senate Bill 2915

AN ACT TO AUTHORIZE THE GOVERNING AUTHORITIES OF THE CITY OF PASCAGOULA, MISSISSIPPI, TO ESTABLISH COMMUNITY REDEVELOPMENT AREAS WITHIN EXISTING URBAN RENEWAL AREAS IN THE CITY; TO REQUIRE REDEVELOPMENT TRUST FUNDS TO BE CREATED FOR SUCH AREAS; TO PROVIDE THE PURPOSES FOR WHICH FUNDS IN SUCH TRUST FUNDS MAY BE UTILIZED, INCLUDING THE AWARDING OF GRANTS TO PRIVATE REAL PROPERTY OWNERS TO PAY THE COST OF EXTERIOR AND INTERIOR IMPROVEMENTS TO PROPERTY IN THE COMMUNITY REDEVELOPMENT AREA THAT WILL RESULT IN THE IMPROVED APPEARANCE AND FUNCTIONALITY OF THE PROPERTY; TO PROVIDE THAT ANY INCREASE IN THE SALES TAXES COLLECTED IN THE COMMUNITY REDEVELOPMENT AREA AND DIVERTED TO THE CITY SHALL BE DEPOSITED INTO THE REDEVELOPMENT TRUST FUND FOR THE COMMUNITY REDEVELOPMENT AREA TO FUND THE GRANTS AUTHORIZED BY THIS ACT; AND FOR RELATED PURPOSES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1. (1) As used in this section:

(a) "City" means the City of Pascagoula, Mississippi.

(b) "Governing authorities" means the governing authorities of Pascagoula, Mississippi.

(2) Upon the request of any person or agency, public or private, or upon its own motion, the governing authorities may, by resolution, create a community redevelopment area within an existing urban renewal area. Upon the establishment of a community redevelopment area, the city shall establish a redevelopment trust fund for the community redevelopment area. The city shall deposit the funds specified in subsection (8) of this section into the trust fund and may deposit funds from any other source into the trust fund. Any funds so deposited shall be utilized only for the purposes authorized in this section. Any funds in a redevelopment trust fund that are not required for immediate disbursement, may be invested in the same manner as urban renewal project funds are under Chapter 35, Title 43, Mississippi Code of 1972.

(3) The city shall adopt a community redevelopment plan for the each community redevelopment area that it establishes. Funds in the redevelopment trust fund may be expended for:

(a) Administrative and overhead expenses necessary or incidental to the implementation of a the community redevelopment plan for the area;

(b) Costs of redevelopment planning, surveys and financial analysis for the community redevelopment area;

(d) Costs related to the clearance and preparation of the community redevelopment area for redevelopment and relocation of the occupants in the redevelopment area;

(e) Costs related to the execution of development agreements to directly incentivize developers to renovate existing privately owned buildings in the community redevelopment area; and

(f) Funding the grants authorized in subsection (3) of this section.

(4) The creation of a community redevelopment area within an existing urban renewal area shall entitle the owners of private real property in the area to apply for grants from the redevelopment trust fund created for the community redevelopment area in order to pay the cost of exterior and interior improvements to the property that will result in the improved appearance and functionality of the property. The application shall include, but not be limited to:

(a) A description of the property to be redeveloped;

(b) A detailed description of the exterior and interior improvements to the property that will result in the improved appearance and functionality of the property;

(d) The estimated cost of the redevelopment plan.

(5) If the city approves the application, the city and the owner of the property shall enter into a redevelopment agreement that, at a minimum, specifies the obligations of the owner and the city, the maximum amount of the grant and the period of time over which the grant will be paid.

(6) Once a redevelopment plan has been completed by the owner, the owner shall submit to the city the actual cost of the redevelopment plan. The city shall verify the cost and approve a grant amount in an amount not to exceed the verified cost or the amount agreed to in the redevelopment agreement, whichever is less. The grant amount shall be paid from the redevelopment trust fund over the period of time specified in the redevelopment agreement and the obligation to pay grants shall be limited to amounts in the redevelopment trust fund. Grant payments to the owner shall begin twelve (12) months after completion of the improvements. The grant shall be paid from the community redevelopment trust fund established by the city over the period of time agreed to in the redevelopment agreement; however, such period not to exceed twenty (20) years from the date of completion of the plan.

(7) Grants authorized under this section may be utilized by a property owner, upon approval by the city, to make interior and exterior improvements to private real property that will result in the improved appearance and functionality of the property. Grants may not be utilized for furniture, fixtures, equipment, general maintenance or other work which does not improve the appearance or functionality of the property. Grants may not be used to incentivize the relocation of tenants already located in the primary market area.

(8) The Department of Revenue shall certify the amount of sales tax collected by the state within the boundaries of the community redevelopment area and diverted to the city in the twelve-month period ending on the last day of the month before the establishment of the community redevelopment area. Any increase in the amount of sales taxes collected within the boundaries of the community redevelopment area shall be set aside by the city and deposited into the community redevelopment trust fund created for the community redevelopment area.

(9) Accounting for receipts and expenditures of redevelopment trust funds shall be made separately from the accounting of receipts and expenditures of the general fund of the city. The records reflecting the receipts and expenditures of redevelopment trust funds shall be audited annually by an independent certified public accountant, and the accountant shall make a written report of his audit to the governing authorities. The audit shall be made and completed as soon as practicable after the close of the fiscal year, and expenses of the audit shall be paid from the redevelopment trust fund being audited.

(10) The city may itself exercise the powers authorized in this section, or may, if the governing authorities by resolution determine such action to be in the public interest, elect to have such powers exercised by the urban renewal agency created by Section 43-35-33. In the event the local governing body makes such determination, the urban renewal agency shall be vested with all of the powers authorized in this section in the same manner as though all such powers were conferred on the agency instead of the city. If the governing authorities do not elect to make such determination, the city, in its discretion, may exercise powers authorized in this section through a board or commissioner or through such officers of the city as the local governing body may by resolution determine.

SECTION 2. This act shall take effect and be in force from and after its passage.