West Sacramento Liberty Specific Plan EIFD Analysis, 2016-2017
Decision Point: The City of West Sacramento had created Enhanced Infrastructure Financing District No. 1 (EIFD No. 1) to provide funding from property tax revenues for capital improvements in key areas of the City. The City sought analysis that explored the potential for creating another EIFD to support the proposed Liberty Specific Plan (LSP), a greenfield master plan community in the City’s Southport Framework Plan that envisions development of 1,503 residential units near the Sacramento River Project.
Assignment: New Economics prepared an analysis showing how this proposed master-planned community might be able to implement an EIFD. (Although the City is implementing an EIFD for former redevelopment areas, the proposed project is not within a former redevelopment area.) The analysis evaluated the available property tax increment to ensure that the City would have sufficient funding on an ongoing basis to provide necessary public services at the City’s current levels of service. The analysis quantified the remaining amount of property tax increment available to fund projects in the EIFD and showed how key infrastructure projects would be financed without an EIFD, with an EIFD on a “pay-as-you-go” basis, and with an EIFD that includes a bond issuance.
Outcome: New Economics presented this analysis to City staff, and the concept was considered internally by the City. New Economics also prepared and submitted a separate analysis showing how the maintenance for all landscape corridors, streets, and other greenways would be managed and funded through a combination of homeowners’ dues, a community facilities district, and property tax increment.