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CC Resolution 2011-011RESOLUTION NO. 2011 — 011 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA AUTHORIZING THE CITY MANAGER TO ACCEPT CONVEYANCES OF CERTAIN REAL PROPERTY FROM THE LA QUINTA REDEVELOPMENT AGENCY AND TO FORGIVE A PORTION OF THE AGENCY'S DEBT TO THE CITY AS CONSIDERATION FOR CERTAIN OF THE PROPERTIES WHEREAS, the La Quinta Redevelopment Agency ("Agency") is a redevelopment agency organized and existing under the California Community Redevelopment Law ("Health & Safety Code § 33000 et seq.) ("CRL") and has been authorized to transact business and exercise the powers of a redevelopment agency pursuant to action of the City Council of the City of La Quinta ("City Council" or "City," as applicable); and WHEREAS, with the legislative body's consent and the satisfaction of certain specified requirements set forth in Health and Safety Code Sections 33445 and 33679, the CRL authorizes redevelopment agencies to expend tax increment funds to acquire real property for, and to fund the cost of the installation and construction of, publicly owned buildings, facilities, and improvements; and WHEREAS, pursuant to the provisions of Health and Safety Code Sections 33445 and 33679, the Agency has acquired ownership of several parcels of real property developed with public buildings, facilities and/or improvements (collectively, the "Public Facilities Properties"); and WHEREAS, the Public Facilities Properties are among the properties listed on Attachment 1 to this Resolution, which is incorporated herein by this reference; and WHEREAS, the Agency has also acquired certain properties that are intended to be redeveloped by private parties, including the approximately 85 acres of commercial development pads at SilverRock Resort, and the approximately 10 acres of commercial property located south of Highway 111 and east of Dune Palms (collectively, the "Private Redevelopment Properties"); and WHEREAS, the Agency has commissioned appraisals of the current fair market value of the Private Redevelopment Properties which have not yet been completed; and WHEREAS, if the City wishes to accept the Private Redevelopment Properties, it must pay the Agency the fair market value for the properties; and Resolution No. 2011-011 Accept the Transfer of NON -Housing Properties from RDA Adopted: February 15, 2011 Page 2 WHEREAS, the Agency currently has over $39 million in debt owed to the City; and WHEREAS, the Agency has authorized its Executive Director, if and when the Executive Director deems is appropriate, to transfer ownership to the Public Facilities Properties to the City; and WHEREAS, City desires to accept such conveyances by the Agency of the Public Facilities Properties, if and when such conveyances are effectuated; and WHEREAS, the Agency has authorized its Executive Director, if and when the Executive Director deems is appropriate, to sell the Private Redevelopment Properties to the City for their fair market value; and WHEREAS, City desires to accept such conveyances by the Agency of the Private Redevelopment Properties, if and when such conveyances are effectuated, and wishes to provide consideration to the Agency for the Private Redevelopment Properties at their current fair market value by cancelling a portion of the Agency's debt to the City in an amount equal to said fair market value. NOW, THEREFORE, the City Council of the City of La Quinta does hereby resolve as follows: SECTION 1. The City hereby accepts the conveyances of the Public Facilities Properties listed on Attachment 1, at such time as any or all of the conveyances are effectuated. SECTION 2. The City hereby accepts the conveyance of the Private Redevelopment Properties listed on Attachment 1, at such time as any or all of the conveyances are effectuated, authorizes the City Manager to take the steps necessary to reduce the Agency's debt to the City in an amount corresponding to the fair market value of the Private Redevelopment Properties as determined by the updated appraisals, and further authorizes the City Manager to accept a deed of trust in favor of the City on the Highway 1 1 1 /Dune Palms property to secure the City's remaining principal on the loan it made for that property ($7,185,498). SECTION 3. The City Manager is authorized to accept the conveyances described in Section 1 and Section 2, at such time as any or all of the conveyances are effectuated, and to take such other actions and execute such other documents as may be necessary to implement and effect this Resolution on behalf of the City. SECTION 4. The City Clerk shall certify to the adoption of this Resolution -2- Resolution No. 2011-011 Accept the Transfer of NON -Housing Properties from RDA Adopted: February 15, 2011 Page 3 PASSED, APPROVED and ADOPTED at a regular meeting of the City Council of the City of La Quinta held this 15" day of February, 2011. AYES: Council Members Evans, Franklin, Henderson, Sniff, Mayor Adolph NOES: None ABSENT: None ABSTAIN: None ATTEST: VERONICA J/MONTECINO, CMC City Clerk City of La QWnta (CITY SEAL) APPROVED AS TO M jkATHE�INE JE City of La Quinta -3- i DON ADO PH, M or City of La Quinta Resolution No. 2011-011 Accept the Transfer of NON -Housing Properties from RDA Adopted: February 15, 2011 Page 4 RDA NON -HOUSING PROPERTY Description Vacant Land: Remainder lot purchased to widen Avenue 52 at Calle Sinaloa/Eisenhower Drive Street Easement located at the SWC Hwy 1 1 1 and Dune Palms Road Vacant land for future development on Hwy 111 east of Dune Palms Road Public Properties: Pioneer Park (Park Centre Pointe on Seeley Drive) North La Quinta Park Library parking lot and landscaped lot west of Senior Center Village Parking lot La Quinta Museum Parking lot behind Police Substation ME ATTACHMENT1 Use Public Improvement Public Improvement Private Development Public Improvement Public Improvement Public Improvement Public Improvement Public Improvement Public Improvement Resolution No. 2011-011 Accept the Transfer of NON -Housing Properties from RDA Adopted: February 15, 2011 Page 5 SilverRock Resort Redevelopment Agency- Owned Parcels by Parcel Number Parcel Number Acreage Use Lot A 7.41 Public Improvement Lot B .47 Public Improvement Lot C 4.54 Public Improvement Lot D 2.95 Public Improvement Lot E .85 Public Improvement Lot F 3.44 Public Improvement Lot G 2.77 Public Improvement Lot H 3.48 Public Improvement Lot 9 .59 Public Improvement Lot 10 55.78 Public Improvement Lot 12 31.27 Public Improvement Lot 13 1.17 Public Improvement Lot 14 3.72 Public Improvement Lot 15 31.63 Public Improvement Lot 16 8.94 Public Improvement Lot 18 73.43 Public Improvement Lot 20 2.43 Public Improvement Lot 21 7.15 Public Improvement Lot 22 1.46 Public Improvement Total 243.48 Lot 3 19.65 Private Development Lot 4 .78 Private Development Lot 5 11.84 Private Development Lot 6 9.93 Private Development Lot 8 18.51 Private Development Lot 11 8.63 Private Development Lot 19 13.79 Private Development Lot 23 3.82 Private Development Total 86.95 Parcel Map Number 33367 -5-