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ADOPT A RESOLUTION APPROVING JUDITH BLUMHORST AS A PUBLIC MEMBER TO THE MOSSDALE TRACT ENHANCED FINANCING DISTRICT’S PUBLIC FINANCING AUTHORITY
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RECOMMENDATION
It is recommended that the City Council adopt a Resolution approving Judith Blumhorst as a public member to the Mossdale Tract Enhanced Infrastructure Financing District’s Public Financing Authority.
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Summary
California Senate Bill 5 (SB5) requires Central Valley cities and counties to ensure progress toward 200-year flood protection before approving certain development projects. To comply, the cities of Lathrop, Manteca, and Stockton annually report their progress through the San Joaquin Area Flood Control Agency (SJAFCA) to the Central Valley Flood Protection Board. These reports describe funding and projects supported in part by the Mossdale Tract Enhanced Infrastructure Financing District (EIFD) to build the required flood protection, which is governed by representatives from the three cities and San Joaquin County.
The Mossdale Tract EIFD is governed by a 10-member Public Financing Authority board made up of elected officials from Lathrop, Manteca, Stockton, and San Joaquin County, along with two public members. One public member seat became vacant when Steve Dresser resigned after being elected to the Lathrop City Council. Based on the rotation system for appointments, it is now Manteca’s turn to fill the seat. After a recruitment process, Judith Blumhorst was selected as the top candidate and appointed by the Manteca City Council on April 1, 2025. Her two-year term will begin once the other participating agencies approve the appointment.
DISCUSSION
Background
California Senate Bill 5 (SB5) requires cities and counties in California’s Central Valley to ensure that certain development decisions account for a 200-year Urban Level of Flood Protection (ULOP) before approving projects. Specifically, local governments must make findings about flood protection before approving non-residential development or issuing building permits for new housing in areas without this level of protection. To meet this requirement, the Cities of Lathrop, Manteca, and Stockton have determined that they are making “Adequate Progress” toward achieving the required flood protection and submit annual reports documenting that progress to the Central Valley Flood Protection Board through the SJAFCA. These reports outline funding plans for the necessary flood improvements, including the use of the Mossdale Tract EIFD. In 2022, the City Council agreed to participate in this EIFD and its governing Public Financing Authority, which helps finance flood protection improvements for the Mossdale Tract area. The authority is governed by representatives from four affected taxing entities-the cities of Lathrop, Manteca, and Stockton, and San Joaquin County-along with two public members.
The Mossdale Tract EIFD is governed by a Public Financing Authority (PFA) which consists of 10-member Board of Directors. As required by EIFD Law, two seats on the board are to be occupied by members of the public chosen collectively by the legislative body of each Affected Taxing Entity (ATE). The other eight seats are occupied by two elected representatives from each of the four ATEs (Lathrop, Manteca, Stockton and the County of San Joaquin). There is currently a vacancy for a Public Member position on the Board of Directors of the PFA. The unscheduled vacancy is due to the departure of Mr. Steve Dresser who recently became a member of the Lathrop City Council. As an elected official serving on the Lathrop City Council, Mr. Dresser is precluded from occupying the Public Member position on the PFA Board. The initial selection of Mr. Dresser was made by the City of Lathrop. The PFA Board, upon its formation, adopted a policy of recruiting public member positions in the alphabetical order of the ATE’s.
The EIFD PFA is responsible for governing the Mossdale Tract EIFD, as outlined in Government Code §53398. 50 - 55398. 88 (EIFD Law). Recruitment to fill the vacant Public Member position will be initiated by the legislative bodies of the Affected Entities in alphabetical order. Lathrop City Council appointed Mr. Dresser as the first Public Member of the EIFD PFA board. As a result, the City of Manteca is responsible for selecting the next public board member to replace Mr. Dresser in compliance with the Resolution of Intention adopted by each ATE in 2022. The appointment of a person to fill the public member position must be approved by all the ATE’s, and the two-year term will commence once these actions have been taken.
EIFD Law enables jurisdictions to consider formation of EIFDs as a means of using tax increment financing to fund a variety of eligible improvements with community-wide benefit. Improvements to strengthen public safety infrastructures for withstanding flooding with a 1-in-200 chance of occurring in any given year or Urban Level of Flood Protection (ULOP) is consistent with the community-wide benefit of flood risk reduction for Mossdale Tract.
The Mossdale Tract Area EIFD is funded from property tax increment revenues. These revenues, in conjunction with revenues from SJAFCA’s Mossdale Tract Overlay Assessment approved by property owners in June 2024 will be used to implement the flood protection improvements. The combined revenues may also be used to repay bonds issued to finance the improvements needed to achieve ULOP for the Mossdale Tract Area.
Present Situation
Through a recruitment process which included in-person interviews, the most qualified candidate was determined to be Judith Blumhorst. On April 1, 2025, the Manteca City Council adopted Resolution R2025-44 to appoint Judith Blumhorst. To complete the process, each of the remaining ATE’s must take action approving the appointment. The appointment of a person to fill the public member position must be approved by all of the ATE’s, and the two-year term will commence once these actions have been taken.
FINANCIAL SUMMARY
There is no fiscal impact to the City with the appointment of Judith Blumhorst to fill the vacant public member seat on the Mossdale Tract EIFD Public Financing Authority.