What is the CRA?
Published on October 01, 2023
Community Redevelopment Agency (CRA) uses redevelopment funds, for a limited period of time, within a deteriorating area, to transform it into one that again contributes to the community's overall health. Community Redevelopment Agency | Dunedin, FL (dunedingov.com)
CRA [SEE-R-A], noun: A dependent special district in which any future increases in property values are set aside to support economic development projects within that district.
Community Redevelopment Agencies: What, When, and How
CRAs, as they are known, are quite common, but often there are many questions in the minds of those who don't work with them every day. How are they authorized? Who oversees them? What is involved in their operation? How are they funded? This article is intended to answer those questions.
What is a Community Redevelopment Area or District?
Since all the monies used in financing CRA activities are locally generated, CRAs are not overseen by the state, but redevelopment plans must be consistent with local government comprehensive plans. Under Florida law (Chapter 163, Part III), local governments are able to designate areas as Community Redevelopment Areas when certain conditions exist. Examples of conditions that can support the creation of a Community Redevelopment Area include, but are not limited to: the presence of substandard or inadequate structures, a shortage of affordable housing, inadequate infrastructure, insufficient roadways, and inadequate parking. To document the required conditions exist, the local government must survey the proposed redevelopment area and prepare a Finding of Necessity. If the Finding of Necessity determines that the required conditions exist, the local government may create a Community Redevelopment Area to provide the tools needed to foster and support the redevelopment of the targeted area.
There are currently over 220 Community Redevelopment Areas in the State of Florida. To obtain a current list, visit the Florida DEO website.
What is a Community Redevelopment Agency?
The activities and programs offered within a Community Redevelopment Area are administered by the Community Redevelopment Agency. A five- to seven-member CRA "Board" created by the local government (city or county) directs the agency. The Board can be comprised of local government officials and or other individuals appointed by the local government. Although one local government may establish multiple CRA districts, there generally may be only one CRA Board. Each district must maintain separate trust funds and expend those funds only in that district.
What is a Community Redevelopment Plan?
The Community Redevelopment Agency is responsible for developing and implementing the Community Redevelopment Plan that addresses the unique needs of the targeted area. The plan includes the overall goals for redevelopment in the area and identifying the types of projects planned for the area.
The redevelopment plan is a living document that can be updated to meet the changing needs within the Community Redevelopment Area; however, the boundaries of the area cannot be changed without starting the process from the beginning. Examples of traditional projects include streetscapes and roadway improvements, building renovations, new building construction, flood control initiatives, water and sewer improvements, parking lots and garages, neighborhood parks, sidewalks, and street tree plantings. The plan can also include redevelopment incentives such as grants and loans for such things as façade improvements, sprinkler system upgrades, signs, and structural improvements.
How does the CRA Process Work?
A public meeting begins the designation process. Several steps will have to be accomplished before the Community Redevelopment Area becomes a reality. These steps are briefly outlined below.
- Adopt the Finding of Necessity. This will formally identify the blight conditions within the targeted area and establish the area boundary.
- Develop and adopt the Community Redevelopment Plan. The plan addresses the unique needs of the targeted area and includes the overall goals for redevelopment in the area and identifying specific projects.
- Create a Redevelopment Trust Fund. The establishment of the Trust Fund enables the Community Redevelopment Agency to direct the increase in real property tax revenues back into the targeted area.
https://redevelopment.net/cra-resources/q-a-for-cras/