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2004 06 01 RDA Minutes . LA QUINT A REDEVELOPMENT AGENCY r-- ì MINUTES : JUNE 1,2004 . A regular meeting of the La Ouinta Redevelopment Agency was called to order by Chairperson Henderson. PRESENT: Board Members Adolph, Osborne, Perkins, Sniff, Chairperson Henderson ABSENT: None PUBLIC COMMENT - None CLOSED SESSION 1. Conference with Agency's real property negotiator, Mark Weiss, pursuant to Government Code Section 54956.8 conceming potential terms and conditions of acquisition and/or disposition of real property located at the northwest corner of Avenue 48 and Dune Palms Road - (APN: 649-030-034). Property Owner/Negotiator: Stan Rothbart. 2. Conference with Agency's real property negotiator, Jerry Herman, pursuant to Government Code Section 54956.8 concerning potential terms and conditions of acquisition and/or disposition of real property located east of Dune Palms Road and 650 fe~t south of Highway 111, which includes or is a portion of APNs: 649-030-016, 017, and 040, for an Affordable Housing Agreement. Property Owner/Negotiator: Urban Property Communities. . Redevelopment Agency recessed to Closed Session to and until the hour of 3:00 p.m. 3:00 P.M. The Redevelopment Agency meeting reconvened with no decisions being made in Closed Session which require reporting pursuant to Section 54957.1 of the Government Code (Brown Act). ¡- PUBLIC COMMENT - None Redevelopment Agency Minutes 2 June 1, 2004 CONFIRMATION OF AGENDA - Confirmed APPROVAL OF MINUTES MOTION - It was moved by Board Members Sniff/Adolph to approve the Redevelopment Agency Minutes of May 17, 2004 as submitted. Motion carried unanimously. MOTION - It was moved by Board Members Adolph/Sniff to approve the Redevelopment Agency Minutes of May 18, 2004 as submitted. Motion carried unanimously. CONSENT CALENDAR 1. APPROVAL OF DEMAND REGISTER DATED JUNE 1, 2004. 2. APPROVAL TO AWARD A CONTRACT TO DENBOER ENGINEERING FOR THE SILVERROCK RESORT GOLF CART BRIDGES, PROJECT NO. 2002-07E. MOTION - It was moved by Board Members Sniff/Adolph to approve the Consent Calendar as recommended. Motion carried unanimously. Board Member Perkins referenced the need to be consistent in the spelling of SilverRock. BUSINESS SESSION 1. CONSIDERATION OF ADOPTING A RESOLUTION OF THE LA QUINT A REDEVELOPMENT AGENCY CERTIFYING A NEGATIVE DECLARATION OF ENVIRONMENTAL IMPACT FOR ENVIRONMENTAL ASSESSMENT 2004-506 AND APPROPRIATION OF $50,000 FROM THE PROJECT AREA NO.1 HOUSING FUND UNALLOCATED RESERVES FOR LAND SURVEY AND PLANNING STUDIES RELATED TO THE DEVELOPMENT OF PROPERTY LOCATED AT THE NORTHWEST CORNER OF AVENUE 48 AND DUNE PALMS ROAD. Community Development Director Herman presented the staff report. ~- --- ~-- -. --- --------- -- -- - Redevelopment Agency Minutes 3 June 1, 2004 RESOLUTION NO. RA 2004-09 r-- A RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF . LA QUINT A, CALIFORNIA, CERTIFYING A NEGATIVE DECLARATION OF ENVIRONMENTAL IMPACT FOR THE ACQUISITION OF THE HAMMER PROPERTY (ENVIRONMENTAL ASSESSMENT 2004-506). It was moved by Board Members Adolph/Osborne to adopt Resolution No. RA 2004-09 as submitted. Motion carried unanimously. MOTION - It was moved by Board Members Sniff/Adolph to appropriate $50,000 from the Project Area No.1 Housing Fund Unallocated Reserves for land survey and planning studies. Motion carried unanimously. STUDY SESSION. - None CHAIR AND BOARD MEMBERS' ITEMS - None - , PUBLIC HEARINGS 1. JOINT PUBLIC HEARING BETWEEN THE LA QUINT A CITY COUNCIL AND THE REDEVELOPMENT AGENCY TO CONSIDER ADOPTION OF: 1) A RESOLUTION OF THE .CITY COUNCIL APPROVING A LOAN BETWEEN THE LA QUINT A REDEVELOPMENT AGENCY AND THE LA QUINT A FINANCING AUTHORITY; AND 2) A RESOLUTION OF THE LA QUINT A REDEVELOPMENT AGENCY APPROVING THE ISSUANCE OF ITS FIRST SUPPLEMENTAL LOAN AGREEMENT, ESCROW DEPOSIT AND TRUST AGREEMENT, OFFICIAL STATEMENT, A PURCHASE CONTRACT, AUTHORIZING THE EXECUTIVE DIRECTOR TO SET THE FINAL TERMS OF THE APPROVAL OF THE AGENCY LOAN, APPROVING THE PAYMENT OF COSTS OF ISSUING THE AGENCY LOAN, APPROVING THE PAYMENT OF COSTS OF ISSUING THE AGENCY LOAN AND MAKING CERTAIN DETERMINATIONS RELATING THERETO. Finance Director Falconer presented the staff report. r-- In response to Board Member Osborne, Robin Thomas, Senior Vice President of Wedbush Morgan Securities, advised the 3D-year interest rate is .in the low 5% and the front end should be as low as 2%. Mr. Redevelopment Agency Minutes 4 June 1, 2004 Falconer confirmed 100% of the funds are to be used for low and moderate-income housing. In response to Chairperson Henderson, Mr. Falconer stated there is an interest expense of $81,071,297 in addition to the principal amount, making the total $171,071,297. He indicated the 1995 Housing bond amount referenced on Page 2 was approximately $26.5 million originally. In response to Board Member Osborne, Mr. Falconer advised the $1 million savings in interest will be savings to the Redevelopment Agency. Board Member Sniff asked about early payment penalties. Mr. Falconer indicated the bonds cannot be called until 10 years have elapsed, at which time there would be a penalty. Ms. Thomas explained the bonds are amortized over the 30-year period, and the principal is balanced with the interest so there will be a substantially-level debt service in each year. Although there is a 10- year call protection on the bonds, the City could defuse them by putting money in an escrow fund with a trustee. She confirmed the bonds are not taxable, and can be refinanced at a lower interest rate during the 1 O-year call protection period. The Chair declared the PUBLIC HEARING OPEN at 7: 17 p.m. There being no requests, the Chair declared the PUBLIC HEARING CLOSED at 7: 17 p.m. RESOLUTION NO. RA 2004-010 A RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF LA QUINT A, CALIFORNIA, APPROVING ITS FIRST SUPPLEMENTAL LOAN AGREEMENT, ESCROW DEPOSIT AND TRUST AGREEMENT, OFFICIAL STATEMENT, PURCHASE CONTRACT, AUTHORIZING THE EXECUTIVE DIRECTOR TO SET THE FINAL TERMS OF THE APPROVAL OF THE AGENCY LOAN, APPROVING THE PAYMENT OF COSTS OF ISSUING THE AGENCY LOAN AND MAKING CERTAIN DETERMINATIONS RELATING THERETO. It was moved by Board Members Sniff/Adolph to adopt Resolution No. RA 2004-010 submitted. Motion carried unanimously. --.¡----- --- -------- ------- -- - -~- -- Redevelopment Agency Minutes. 5 June 1, 2004 ADJOURNMENT ¡- There being no further business, it was moved by Board Members . Adolph/Sniff to adjourn. Motion carried unanimously. Respectfully submitted, ~-Ø.~ JUNE S. GREEK, Secretary City of La Quinta, California :0-- ¡ I i . r--