INGLEWOOD – The Inglewood Finance department is requesting the City acknowledge the possible Community Facilities District (CFD) formation to provide financing for public improvements on the Hollywood Park property under an agreement dated March 31, 2015, a month after the council approved the SoFi Stadium project.
The accompanying staff report states the CFD’s are created through the Mello-Roos Community Facilities Act of 1982. The City has already attached the Mello-Roos designation to the newly constructed townhomes on Prairie Ave called Grace Park across from Inglewood Park Cemetery.
Typically, Mello-Roos is assessed to new home purchases to finance a newly created City, not an existing one.
It’s like an undeveloped swath of land in Antelope Valley being developed into a new city and the homeowners finance the sewer lines, public space, parks, schools, and police. All of these things already exist in Inglewood.
In fact, Inglewood isn’t building new schools, they’re closing them and infrastructure on the Hollywood Park site was financed by the City’s former redevelopment agency under the initial Hollywood Park Specific Plan before it was amended under the stadium initiative.
The documents submitted to officials in Inglewood, where the stadium would be built, say that if annual tax revenue to the city from the completed project exceeds $25 million as expected, the developers, including a company controlled by the owner of the St. Louis Rams, would be entitled to reimbursements for funds they invested in streets, sewers, parks and other projects deemed dedicated to the public.LA-area stadium developers expect $100M in public paybacks
To pass the special assessments, CFD’s require two-thirds of the votes of property owners as long as no more than 12 registered voters live within the proposed district with one vote per acre of land owned.
It appears the action is simply a formality considering Grace Park property listings indicate the tax is already being assessed.
It is unclear why property owners will be financing the infrastructure of the public portion of the Hollywood Park site after the developer is expecting to be reimbursed for those same costs. The project was marketed to the community as “100% privately financed”.
Hollywood Park has not kept their end of the arrangement of the stadium initiative which called for them to pay for signage for the citywide permit parking program nor do they promote civic events on the many digital billboards along the perimeter of the 233 acre site.
This action is scheduled for approval on the July 26 regular city council agenda.13663