Community Redevelopment Areas (CRAs) are a commonly used redevelopment tool. There are currently over 140 CRAs in the State of Florida. Following are brief answers to common questions regarding CRAs.
How are CRAs Created?
Under Florida law (Chapter 163, Part III), local governments are able to designate areas as Community Redevelopment Areas when certain conditions exist. Examples include: the presence of substandard or inadequate structures, a shortage of affordable housing, and inadequate infrastructure.
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" is created by the local government, which directs the Agency. The Board can be comprised of local government officials and or other individuals appointed by the local government.
What is a Community Redevelopment Plan?
The Community Redevelopment Agency is responsible for developing and implementing a Community Redevelopment Plan that addresses the unique needs of each targeted area (CRA). The plan includes the overall goals for redevelopment in the area, as well as identifying the types of programs and projects planned for the area.
What is Tax Increment Financing?
After approval of a community redevelopment plan, a redevelopment trust fund is established for the CRA. Revenue deposited to this fund results from the incremental growth in taxable value within the area subsequent to establishment of the CRA. All funds received from a tax increment financing area must be used for specific redevelopment purposes within that area.