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2014 09 17 OBoSep f�ti OVERSIGHT BOARD OF THE SUCCESSOR AGENCY TO THE LA QUINTA REDEVELOPMENT AGENCY AGENDA La Quinta City Council Chambers 78-495 Calle Tampico, La Quinta, CA Regular Meeting on Wednesday, September 17, 2014 at 2:00 p.m. CALL TO ORDER Roll Call: Board Members: Howell, Marshall, Maysels, Nelson, Novak, Osborne, Chairperson Pena PLEDGE OF ALLEGIANCE PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA At this time, members of the public may address the Oversight Board on any matter not listed on the agenda. Please complete a "request to speak" form and limit your comments to three minutes. When addressing the Oversight Board, please state your name and address. CONFIRMATION OF AGENDA PRESENTATIONS - NONE APPROVAL OF MINUTES 1 . MINUTES OF August 6, 2014 WRITTEN COMMUNICATIONS - NONE CONSENT ITEMS - NONE BUSINESS ITEMS 1. ADOPT RESOLUTION OF THE OVERSIGHT BOARD OF THE SUCCESSOR AGENCY TO THE LA QUINTA REDEVELOPMENT AGENCY APPROVING RECOGNIZED OBLIGATION PAYMENT SCHEDULE FOR THE PERIOD OF JANUARY 1, 2015 THROUGH JUNE 30, 2015 (Resolution No. OB 2014-007) 2. ADOPT RESOLUTION OF THE OVERSIGHT BOARD OF THE SUCCESSOR AGENCY TO THE LA QUINTA REDEVELOPMENT AGENCY APPROVING THE SUCCESSOR AGENCY ADMINISTRATIVE BUDGET FOR THE PERIOD OF JANUARY 1, 2015 THROUGH JUNE 30, 2015 (Resolution No. OB 2014-008) STUDY SESSION - NONE REPORTS AND INFORMATIONAL ITEMS - NONE CHAIR AND BOARD MEMBERS' ITEMS EXECUTIVE DIRECTOR ITEMS VERBAL UPDATE ON SUCCESSOR AGENCY MATTERS ADJOURNMENT The next regular meeting of the Oversight Board will be held on October 8, 2014, commencing at 2:00 p.m. at the La Quinta City Hall Council Chambers, 78-495 Calle Tampico, La Quinta, CA 92253. DECLARATION OF POSTING I, Pam Nieto, Oversight Board Secretary, of the City of La Quinta, do hereby declare that the foregoing Agenda for the Oversight Board of the Successor Agency to the La Quinta Redevelopment Agency meeting of August 6, 2014 was posted on the outside entry to the Council Chamber at 78-495 Calle Tampico, and the bulletin boards at the Stater Brothers Supermarket at 78-630 Highway 1 1 1 , and the La Quinta Cove Post Office at 51-321 Avenida Bermudas, on September 12, 2014. Dated: September 12, 2014 PAM NIETO Oversight Board Secretary oil Public Notices The La Quinta City Hall Council Chambers is handicapped accessible. If special equipment is needed for the hearing impaired, please call the City Clerk's office at (760) 777-7103, twenty-four (24) hours in advance of the meeting and accommodations will be made. If special electronic equipment is needed to make presentations to the Oversight Board, arrangements should be made in advance by contacting the City Clerk's office at (760) 777-7103. A one (1) week notice is required. If background material is to be presented to the Oversight Board during a meeting, please be advised the ten (10) copies of all documents, exhibits, etc., must be supplied to the Oversight Board Secretary for distribution. It is requested that this take place prior to the beginning of the meeting. Any writings or documents provided to a majority of the Oversight Board regarding any item on this agenda will be made available for public inspection at the City Clerk's counter at City Hall located at 78- 495 Calle Tampico, La Quinta, CA 92253, during normal business hours. OVERSIGHT BOARD OF THE SUCCESSOR AGENCY TO THE LA QUINTA REDEVELOPMENT AGENCY MINUTES WEDNESDAY, AUGUST 6, 2014 A meeting of the Oversight Board of the Successor Agency to the La Quinta Redevelopment Agency was called to order at 2:00 p.m. by Chairperson Pena. PRESENT: Board Members Marshall, Maysels, Nelson, Novak, Osborne, Chair Pena. ABSENT: Board Member Howell, Frank J. Spevacek, Executive Director of the Successor Agency STAFF PRESENT: William Ihrke, City Attorney, Tim Jonasson, Acting City Manager PUBLIC COMMENT - None CONFIRMATION OF AGENDA - Confirmed PRESENTATIONS - None APPROVAL OF MINUTES Motion - A motion was made by Board Members Maysels/Osborne to approve the Oversight Board Minutes of March 19, 2014, as submitted. Motion passed with Board Member Novak abstaining. BUSINESS SESSION 1. ADOPT RESOLUTION APPROVING AMENDED LONG RANGE PROPERTY MANAGEMENT PLAN GOVERNING DISPOSITION AND USE OF REAL PROPERTIES ACQUIRED BY THE DISSOLVED LA QUINTA REDEVELOPMENT AGENCY RESOLUTION NO. OB 2014 - 006 A RESOLUTION OF THE OVERSIGHT BOARD OF THE SUCCESSOR AGENCY TO THE LA QUINTA REDEVELOPMENT AGENCY APPROVING THE LONG RANGE PROPERTY MANAGEMENT PLAN PURSUANT TO HEALTH AND SAFETY CODE SECTION 34191.5(c) MOTION — A motion was made by Board Members Maysels/Marshall to adopt Resolution No. OB 2014-006 with amendments. Motion passed 6 ayes, 0 noes, 1 absent. REPORTS AND INFORMATION ITEMS - None ADJOURNMENT There being no further business, it was moved by Board Members Nelson/Maysels to adjourn this meeting at 2:31 p.m. Motion passed unanimously. Respectfully submitted, Pam Nieto Oversight Board Secretary OVERSIGHT BOARD MEETING 2 August 5, 2014 u, of OVERSIGHT BOARD MEETING DATE: September 17, 2014 ITEM TITLE: ADOPT RESOLUTION OF THE OVERSIGHT BOARD OF THE SUCCESSOR AGENCY TO THE LA QUINTA REDEVELOPMENT AGENCY APPROVING RECOGNIZED OBLIGATION PAYMENT SCHEDULE FOR THE PERIOD OF JANUARY 1 THROUGH JUNE 30, 2015 RECOMMENDED ACTION: AGENDA CATEGORY: BUSINESS SESSION: CONSENT CALENDAR: STUDY SESSION: PUBLIC HEARING: Adopt a Resolution approving a Recognized Obligation Payment Schedule for the period of January 1 through June 30, 2015. EXECUTIVE SUMMARY: A Recognized Obligation Payment Schedule (ROPS) identifies the obligations of the former Redevelopment Agency (RDA) that must be paid. The Successor Agency to the former RDA must submit a BOPS to the Department of Finance, State Controller's Office, the County Administrative Officer, and the County Auditor -Controller every six months. The attached BOPS (Attachment 1) identifies $40,374,437 of Enforceable Obligations that must be funded during the second half of Fiscal Year 2014- 2015. FISCAL IMPACT: The Successor Agency requests authorization to expend $25,781,482 from bond proceeds, and an allocation of $14,592,955 of property tax revenue (RPTTF). The $14,592,955 of RPTTF funding includes $425,038 of administrative expenses (for the six-month period) and $602,644 to repay the City General Fund loan. The remaining $13,565,273 is to pay bond interest and principal payments. BACKGROUND/ANALYSIS: The ROPS identifies the obligations of the former RDA that the Successor Agency must fund during the second six months of FY 2014-2015. These obligations include tax allocation bond debt service payments, third party contracts, administrative costs and repayment of the City General Fund loan. The ROPS must be submitted to the above -mentioned entities by October 3, 2014. The DOF then has 45 days to make its final determination regarding the enforceable obligations, the dollar amounts, and funding sources. The Successor Agency would then have five business days to request additional DOF review and an opportunity to meet and confer on disputed items. If the BOPS is submitted late, the City will be subject to a civil fine of $10,000 per day. ALTERNATIVES: As this is a requirement of the DOF, staff does not recommend an alternative. Report prepared by: Rita Conrad, Finance Director Report approved for submission by: Frank J. Spevacek, City Manager Attachment: 1. BOPS for January 1 through June 30, 2015 RESOLUTION NO. OB 2014 - A RESOLUTION OF THE OVERSIGHT BOARD OF THE SUCCESSOR AGENCY TO THE LA QUINTA REDEVELOPMENT AGENCY ADOPTING RECOGNIZED OBLIGATION PAYMENT SCHEDULE 14-15B FOR THE PERIOD OF JANUARY 1, 2015 THROUGH JUNE 30, 2015 WHEREAS, the Oversight Board of the Successor Agency to the La Quinta Redevelopment Agency ("Oversight Board") has been established to direct the Successor Agency to La Quinta Redevelopment Agency ("Successor Agency") to take certain actions to wind down the affairs of the former La Quinta Redevelopment Agency ("Agency") in accordance with the California Health and Safety Code; and WHEREAS, the Agency was engaged in activities to execute and implement the Project Area No. 1 Redevelopment Plan and the Project Area No. 2 Redevelopment Plan (collectively, the "Redevelopment Plans") pursuant to the provisions of the California Community Redevelopment Law (Health and Safety Code § 33000, et seg.); and WHEREAS, as part of the 201 1-12 State budget bill, the California Legislature enacted and the Governor signed, Assembly Bill 26 ("ABx1 26") requiring that each redevelopment agency be dissolved and Assembly Bill 27 ("ABx1 27") that would have allowed redevelopment agencies to remain in existence if certain remittance payments were made; and WHEREAS, an action challenging the constitutionality of ABx1 26 and ABx1 27 was filed in the California Supreme Court; and WHEREAS, on December 29, 2011, the Court upheld ABx1 26 and struck down ABx1 27 as unconstitutional; and WHEREAS, on January 2, 2012, the City Council of the City of La Quinta adopted City Council Resolution No. 2012-002, affirmatively electing to be the "successor agency" to the Agency; and WHEREAS, on June 27, 2012, the California Legislature enacted, and the Governor signed, Assembly Bill 1484 ("AB 1484"), which, among other things, made certain revisions to certain of the statutes added by ABx1 26; and WHEREAS, Health and Safety Code Section 34177 requires successor agencies to prepare and adopt, on a semi-annual basis, a "Recognized Obligation Resolution No. OB 2014- Adoption of Recognized Obligation Payment Schedule Adopted: September 17, 2014 Page 2 of 3 Payment Schedule" ("ROPS") that lists all obligations of the former redevelopment agency that are enforceable within the meaning of subdivision (d) of Section 34171; and WHEREAS, the Successor Agency has prepared and approved BOPS 14-15B for the period of January 1, 2015 through June 30, 2015; and WHEREAS, all other legal prerequisites to the adoption of this Resolution have occurred. NOW THEREFORE, BE IT RESOLVED, by the Oversight Board of the Successor Agency to the La Quinta Redevelopment Agency, as follows: SECTION 1. Recitals. The Recitals set forth above are true and correct and incorporated herein by reference. SECTION 2. Approval of ROPS 14-15B. In order to enable the Successor Agency to strictly comply with ABx1 26, and based on the Recitals set forth above, the Oversight Board hereby approves ROPS 14-15B attached hereto as Exhibit A as the Recognized Obligation Payment Schedule for the period of January 1, 2015 through June 30, 2015. Pursuant to Health & Safety Section 34173(e), the Successor Agency's liability, including, but not limited to, its liability for the obligations on the attached schedule, is limited to the total sum of property tax revenues it receives pursuant to Part 1.85 of AB x1 26. SECTION 3. Implementation. The Oversight Board hereby authorizes and directs the Executive Director to take any action and execute any documents necessary to implement this Resolution, and further authorizes the Executive Director to forward ROPS 14-15B to the Department of Finance, State Controller, County Administrative Officer, and County Auditor -Controller. SECTION 4. Severability. If any provision of this Resolution or the application thereof to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications of this Resolution which can be given effect without the invalid provision or application, and to this end the provisions of this Resolution are severable. The Oversight Board hereby declares that it would have adopted this Resolution irrespective of the invalidity of any particular portion thereof. SECTION 5. The Oversight Board Secretary shall certify to the adoption of this Resolution. Resolution No. OB 2014- Adoption of Recognized Obligation Payment Schedule Adopted: September 17, 2014 Page 3 of 3 PASSED, APPROVED, AND ADOPTED at the meeting of the Oversight Board of the Successor Agency to the La Quinta Redevelopment Agency held this 17th day of September, 2014, by the following vote: AYES: NOES: ABSENT: ABSTAIN: JOHN PENA, Chairperson Oversight Board of the Successor Agency to the La Quinta Redevelopment Agency ATTEST: Pam Nieto Oversight Board Secretary ATTACHMENT 1 Recognized Obligation Payment Schedule (ROPS 14-1513) - Summary Filed for the January 1, 2015 through June 30, 2015 Period Name of Successor Agency: La Quinta Name of County: Riverside Current Period Requested Funding for Outstanding Debt or Obligation Enforceable Obligations Funded with Non -Redevelopment Property Tax Trust Fund (RPTTF) Funding A Sources (B+C+D): B Bond Proceeds Funding (ROPS Detail) C Reserve Balance Funding (ROPS Detail) D Other Funding (ROPS Detail) E Enforceable Obligations Funded with RPTTF Funding (F+G): F Non -Administrative Costs (ROPS Detail) G Administrative Costs (ROPS Detail) H Current Period Enforceable Obligations (A+E): Six -Month Total $ 25,781,482 25,781,482 $ 14,592,955 14,167,917 425,038 $ 40,374,437 Successor Agency Self -Reported Prior Period Adjustment to Current Period RPTTF Requested Funding I Enforceable Obligations funded with RPTTF (E): 14,592,955 J Less Prior Period Adjustment (Report of Prior Period Adjustments Column S) (3,015,467) K Adjusted Current Period RPTTF Requested Funding (W) $ 11,577,488 County Auditor Controller Reported Prior Period Adjustment to Current Period RPTTF Requested Funding L Enforceable Obligations funded with RPTTF (E): 14,592,955 M Less Prior Period Adjustment (Report of Prior Period Adjustments Column AA) - N Adjusted Current Period RPTTF Requested Funding (L-M) 14,592,955 Certification of Oversight Board Chairman: Pursuant to Section 34177 (m) of the Health and Safety code, I hereby certify that the above is a true and accurate Recognized Obligation Payment Schedule for the above named agency. /s/ Name Signature Title Date Recognized Obligation Payment Schedule (ROPS 14-15131; January 1, 2015 through June 30, 2015 (Report Amounts in Whole Dollars) A B C D E F G H Contract/Agreement Contract/Agreement Item # Project Name / Debt Obligation Obligation Type Execution Date Termination Date Payee Description/Project Scope Project Area 2 1998 Tax Allocation Bonds - Tax Bonds Issued On or 6/20/2005 9/1/2033 US Bank Bonds to fund prolects 1 and 2 3 2001 Tax Allocation Bonds - Tax Bonds Issued On or 6/23/2005 9/1/2031 US Bank Bonds to fund projects 1 Exempt Before 12/31/10 4 2002 Tax Allocation Bonds - Tax Bonds Issued On or 6/24/2005 9/1/2037 US Bank Bonds to fund projects 1 Exempt Before 12/31/10 5 2003 Tax Allocation Bonds - Bonds Issued On or 6/25/2005 9/1/2032 US Bank Bonds to fund projects 1 Taxable Before 12/31/10 6 2004 Tax Allocation Bonds - Tax Bonds Issued On or 6/26/2005 9/1/2034 US Bank Bonds to fund projects 1 and 2 Exempt Before 12/31/10 7 2011 Tax Allocation Bonds - Taxable Bonds Issued After 7/3/2005 9/1/2036 US Bank Bonds to fund projects 1 and 2 12/31/10 8 2011 Tax Allocation Bonds - Taxable Bonds Issued After 7/3/2005 9/1/2039 US Bank Bonds to fund projects 1 and 2 12/31/10 9 Annual Continuing Disclosure Fees 1/17/2012 9/1/2039 Willdan Financial Services Preparation of annual continuing 1 and 2 Statements disclosure reports per Federal regulations 10 Bond Holder Fees Fees 6/16/2005 9/1/2039 US Bank Fees for holding administration and 1 and 2 distribution of bond proceeds 11 SilverRock Infrastructure Design Professional 8/16/2006 12/31/2014 RBF Consulting Infrastructure design and engineering 1 Services to support development of SilverRock 12 Construction of Washington Street OPA/DDA/Constructi 10/1/2008 11/30/2032 La Quinta Housing Authority Written commitment to US Department 2 Apartments Site Improvements & on of Agriculture -Rural Development to Rehabilitation Project rehabilitate & construct improvements to Washington Street Apartments 13 Construction of Washington Street Professional 7/3/2011 7/31/2015 Altum Group Engineering for Washington Street 2 Apartments Site Improvements & Services Apartments Site Improvements & Rehabilitation Project Rehabilitation Project 14 Construction of Washington Street Property 7/3/2011 7/31/2015 RGA Landscape Landscaping for Washington Street 2 Apartments Site Improvements & Maintenance Apartments Site Improvements & Rehabilitation Project Rehabilitation Project 15 Construction of Washington Street Professional 7/3/2011 7/31/2015 Tall Man Group Project & Construction Management for 2 Apartments Site Improvements & Services Washington Street Apartments Site Rehabilitation Project Improvements & Rehabilitation Project 16 Construction of Washington Street Professional 8/7/2011 7/31/2015 Studio E Architects Architecture Services for Washington 2 Apartments Site Improvements & Services Street Apartments Site Improvements Rehabilitation Project & Rehabilitation Project 17 Washington Street Apartments Project Management 1/1/2014 9/1/2032 City of La Quinta Project Management Costs - Staff 2 Rehabilitation Project Costs Time, Non Personnel to administer rehab of 72 affordable units and addition of 24 senior units 18 Washington Street Apartments Project Management 7/1/2012 7/1/2015 Rutan & Tucker Project Management Costs - Legal 2 Rehabilitation Project Costs Recognized Obligation Payment Schedule (ROPS 14-15131; January 1, 2015 through June 30, 2015 (Report Amounts in Whole Dollars) A B C D E F G H Contract/Agreement Contract/Agreement Item # I Project Name / Debt Obligation Obligation Type Execution Date Termination Date Payee Description/Project Scope Project Area 19 Coral Mountain Partners Disposition Project Management 1/4/2011 1/1/2066 City of La Quinta Project Management Costs - Staff 2 and Development Agreement Costs Time to administer development of 176- unit affordable apartments 20 Coral Mountain Partners Disposition Project Management 7/1/2012 9/1/2032 Rutan & Tucker Project Management Costs - Legal 2 and Development Agreement Costs 21 Water and Sewer Agreement for Improvement/Infrastr 6/11/2005 12/31/2020 Coachella Valley Water Future infrastructure improvements 1 future development at SilverRock ucture District required for future development of SilverRock by Domestic Water & Sanitation System Installation and Irrigation Agreement 22 Administrative Allowance Admin Costs 1/1/2014 9/1/2039 City of La Quinta Administrative Allowance per ABx1 26 1 and 2 (3% of ROPS) 23 Series A 2013 TARB Bonds Issued After 12/23/2013 9/1/2033 US Bank Refund 1998, 2001, 2002, 2003 TABs 12/31 /10 24 Series B 2013 TARB Bonds Issued After 12/23/2013 9/1/2032 US Bank Refund 1998, 2001, 2002, 2003 TABs 12/31 /10 25 Advances from City General Fund City/County Loans 6/30/1994 9/1/2030 City of La Quinta Loans made from the General Fund to approved for repayment by Oversight On or Before 6/27/11 the former RDA Board 26 Long-range Property Management Professional 9/24/2013 6/30/2014 Tall Man Group Appraisals and professional consulting Plan Implementation Services Services fees to administer the long-range property management plan 27 2014 Bonds Bonds Issued After 7/9/2014 9/1/2034 US Bank Refund 2004 Bonds 1 and 2 12/31 /10 28 SilverRock Infrastructure Professional 6/11/2005 12/31/2020 Various Roadwork and improvements to 1 Services support development 29 30 - ROPS Detail I J K L M N O P Total Outstanding Debt or Obligation Retired Funding Source Six -Month Total Non -Redevelopment Property Tax Trust Fund Non-RPTTF) RPTTF Bond Proceeds Reserve Balance Other Funds Non-Admin Admin $ 401,491,235 $ 25,781,482 $ $ $ 14,167,917 $ 425,038 $ 40,374,437 N N N N N 58,157,798 N 1,616,134 1,616,134 15,153,833 N 277,503 277,503 60,000 N 10,000 10,000 15,140 N 15,140 15,140 742,543 N 25,000 25,000 18,529,580 N 18,529,580 18,529,580 140,415 N - 32,605 N - 756,780 N 100,000 100,000 228,373 N - 300,000 N 50,000 50,000 30,000 N 30,000 30,000 - ROPS Detail I J K L M N O P Total Outstanding Debt or Obligation Retired Funding Source Six -Month Total Non -Redevelopment Property Tax Trust Fund Non-RPTTF) RPTTF Bond Proceeds Reserve Balance Other Funds Non-Admin Admin 133,098 Y 16,902 16,902 30,000 Y 30,000 30,000 16,625,644 N - - 6,500,000 N 425,038 425,038 141,526,588 N 7,843,260 7,843,260 34,319,624 N 1,901,618 1,901,618 35,534,214 N 602,644 602,644 75,000 Y - 65,600,000 N 1,901,618 1,901,618 7,000,000 N 7,000,000 7,000,000 N N Recognized Obligation Payment Schedule (ROPS 14-15B) - Report of Cash Balances (Report Amounts in Whole Dollars) Pursuant to Health and Safety Code section 34177 (1), Redevelopment Property Tax Trust Fund (RPTTF) may be listed as a source of payment on the ROPS, but only to the extent no other funding source is available or when payment from property tax revenues is required by an enforceable obligation. For tips on how to complete the Report of Cash Balances Form, see https://rad.dof.ca.gov/rad- sa/pdf/Cash Balance Agency Tips Sheet.pdf. A B C D E F G H I Fund Sources Bond Proceeds Reserve Balance Other RPTTF Prior ROPS Prior ROPS period balances RPTTF Bonds Issued Bonds Issued and DDR RPTTF distributed as Rent, Non-Admin on or before on or after balances reserve for Grants, and Cash Balance Information by ROPS Period 12/31/10 01/01/11 retained future period(s) Interest, Etc. Admin Comments ROPS 13-14B Actuals 01/01/14 - 06/30/14 1 Beginning Available Cash Balance (Actual 01/01/14) 2,568,830 31,279,316 30,918 6,880,787 2 Revenue/Income (Actual 06130/14) RPTTF amounts should tie to the ROPS 13-14B distribution from the County Auditor -Controller during January 2014 81 526 42,228 20,011,681 Includes ROPS 14-15A $15,765,674 3 Expenditures for ROPS 13-14B Enforceable Obligations (Actual 06130/14) RPTTF amounts, H3 plus H4 should equal total reported actual expenditures in the Report of PPA, Columns L and Q 1,430,540 4 Retention of Available Cash Balance (Actual 06/30/14) RPTTF amount retained should only include the amounts distributed for debt service reserve(s) approved in ROPS 13-14B 1,937,653 5 ROPS 13-14B RPTTF Prior Period Adjustment RPTTF amount should tie to the self -reported ROPS 13-14B PPA in the No entry required Report of PPA, Column S 3,015,467 6 Ending Actual Available Cash Balance C to G = (1 + 2 - 3 - 4), H = (1 + 2 - 3 - 4 - 5) 2,568,911 31,279,842 d 73,146 20,508,808 ROPS 14-15A Estimate (07/01/14 - 12/31/14) 7 Beginning Available Cash Balance (Actual 07101/14) (C, D, E, G = 4 + 6, F = H4 + F4 + F6, and H = 5 + 6) 2,568,911 31,279,842 1,937,653 73,146 23,524,275 8 Revenue/Income (Estimate 12131/14) RPTTF amounts should tie to the ROPS 14-15A distribution from the County Auditor -Controller during June 2014 100 1,000 9 Expenditures for ROPS 14-15A Enforceable Obligations (Estimate 12/31/14) 16, 933, 801 10 Retention of Available Cash Balance (Estimate 12/31/14) RPTTF amount retained should only include the amount distributed for debt service reserve(s) approved in ROPS 14-15A 11 Ending Estimated Available Cash Balance (7 + 8 - 9 -10) 2,569,011 31,280,842 1,937,653 73,146 6,590,474 Recognized Obligation F Reported for the ROPS 13-14B (January 1, 2C ROPS 13-14B Successor Agency (SA) Self -reported Prior Period Adjustments (PPA): Pursuant to HSC Section 34186 (a), SAs are required to report the differences between their actual available funding and their actual expenditures for the ROPS 13-1, ROPS 14-15B (January through June 2015) period will be offset by the SA's self -reported ROPS 13-14B prior period adjustment. HSC Section 34186 (a) also specifies that the prior period adjustments self -reported by SAs are subject to audit by the county at A B C D E I F G H I J K L M Non-RPTTF Expenditures Bond Proceeds Reserve Balance Other Funds Non-Admin Available RPTTF (ROPS 13-14B Difference distributed + all other Net Lesser of (If K is less than L, Project Name / Debt available as of Authorized / the difference is Item # Obligation Authorized Actual Authorized Actual Authorized Actual Authorized 01/1/14) Available Actual zero) $ 18,996,482 $ 106,001 $ 5,528,529 $ 1,937,653 $ $ $ 4,155,487 $ 4,155,490 $ 4,155,487 $ 1,332,437 $ 2,823,050 1 1994 Tax Allocation Bonds 2 1998 Tax Allocation Bonds 600,390 - 337,113 337,113 337,113 337,113 3 2001 Tax Allocation Bonds -TaxExem t 1,978,298 - 4 2002 Tax Allocation Bonds -TaxExem t - 1,200,328 1,200,328 1,200,328 1,200,328 5 2003 Tax Allocation Bonds -Taxable - - 991,079 991,079 991,079 991,079 6 2004 Tax Allocation Bonds -Tax Exempt 2,949,841 1,937,653 - 7 2011 Tax Allocation Bonds -Taxable - 1,345,884 1,345,884 1,345,884 1,076,134 269,750 8 2011 Tax Allocation Bonds -Taxable - 255,943 255,946 255,943 237,503 18,440 9 Annual Continuing Disclosure Statements 10,000 10,000 10,000 8,550 1,450 10 Bond Holder Fees 15,140 15,140 15,140 10,250 4,890 11 SilverRock Infrastructure Design 150,000 76,596 12 Construction of Washington Street Apartments Site Improvements & Rehabilitation Project 18,529,580 13 Construction of Washington Street Apartments Site Improvements & Rehabilitation Project 25,000 1,850 14 Construction of Washington Street Apartments Site Improvements & Rehabilitation Project 10,000 15 Construction of Washington Street Apartments Site Improvements & Rehabilitation Project 125,000 27,555 16 Construction of Washington Street Apartments Site Improvements & Rehabilitation Project 60,000 Recognized Obligation F Reported for the ROPS 13-14B (January 1, 2C ROPS 13-14B Successor Agency (SA) Self -reported Prior Period Adjustments (PPA): Pursuant to HSC Section 34186 (a), SAs are required to report the differences between their actual available funding and their actual expenditures for the ROPS 13-1, ROPS 14-15B (January through June 2015) period will be offset by the SA's self -reported ROPS 13-14B prior period adjustment. HSC Section 34186 (a) also specifies that the prior period adjustments self -reported by SAs are subject to audit by the county at A B C D E I F G H I J K L M Non-RPTTF Expenditures Bond Proceeds Reserve Balance Other Funds Non-Admin Available RPTTF (ROPS 13-14B Difference distributed + all other Net Lesser of (If K is less than L, Project Name / Debt available as of Authorized / the difference is Item # Obligation Authorized Actual Authorized Actual Authorized Actual Authorized 01/1/14) Available Actual zero) $ 18,996,482 $ 106,001 $ 5,528,529 $ 1,937,653 $ $ $ 4,155,487 $ 4,155,490 $ 4,155,487 $ 1,332,437 $ 2,823,050 17 Washington Street Apartments Rehabilitation Project 40,000 18 Washington Street Apartments Rehabilitation Project 10,000 19 Coral Mountain Partners Disposition and Development Agreement 16,902 20 Coral Mountain Partners Disposition and Development Agreement 30,000 21 Water and Sewer Agreement for future development at SilverRock 22 Administrative Allowance 'ayment Schedule (ROPS 14-1513) - Report of Prior Period Adjustments 114 through June 30, 2014) Period Pursuant to Health and Safety Code (HSC) section 34186 (a) (Report Amounts in Whole Dollars) IS (January through June 2014) period. The amount of Redevelopment Property Tax Trust Fund (RPTTF) approved for the editor -controller (CAC) and the State Controller. N 1 O P Q R S T RPTTF Expenditures SA Comments Admin Net SA Non-Admin and Admin PPA (Amount Used to Offset ROPS 14-15B Requested RPTTF) Authorized Available RPTTF (ROPS 13-14B distributed + all other available as of 01/1/14) Net Lesser of Authorized / Available Actual Difference (If total actual exceeds total authorized, the total difference is zero) Net Difference (M+R) $ 290,520 $ 290,520 $ 290,520 $ 98,103 $ 192,417 $ 3,015,467 337,113 1,200,328 991,079 269,750 18,440 1,450 4,890 'ayment Schedule (ROPS 14-1513) - Report of Prior Period Adjustments 114 through June 30, 2014) Period Pursuant to Health and Safety Code (HSC) section 34186 (a) (Report Amounts in Whole Dollars) IS (January through June 2014) period. The amount of Redevelopment Property Tax Trust Fund (RPTTF) approved for the editor -controller (CAC) and the State Controller. N 1 O P Q R S T RPTTF Expenditures SA Comments Admin Net SA Non-Admin and Admin PPA (Amount Used to Offset ROPS 14-15B Requested RPTTF) Authorized Available RPTTF (ROPS 13-14B distributed + all other available as of 01/1/14) Net Lesser of Authorized / Available Actual Difference (If total actual exceeds total authorized, the total difference is zero) Net Difference (M+R) $ 290,520 $ 290,520 $ 290,520 $ 98,103 $ 192,417 $ 3,015,467 290,520 290,520 98,103 Recognized Obllgation Paymem Schedule (ROPS 7475B) - Notes Jenu 1 2015 hmu X June 50 2015 Xemtl NolesX:ammeMs 1, z OF ik�k OVERSIGHT BOARD MEETING DATE: September 16, 2014 AGENDA CATEGORY: ITEM TITLE: ADOPT RESOLUTION OF THE BUSINESS SESSION: OVERSIGHT BOARD OF THE SUCCESSOR AGENCY TO THE LA QUINTA REDEVELOPMENT AGENCY CONSENT CALENDAR: APPROVING THE SUCCESSOR AGENCY STUDY SESSION: ADMINISTRATIVE BUDGET FOR THE PERIOD OF JANUARY 1 THROUGH JUNE 30, 2015 PUBLIC HEARING: RECOMMENDED ACTION: Adopt a resolution approving the Successor Agency Administrative Budget for the period of January 1 through June 30, 2015. EXECUTIVE SUMMARY: The La Quinta Successor Agency (SA) administers the former Redevelopment Agency's wind -down activities and the Oversight Board (OB). ABx126 (Dissolution Act) provides for an administrative allowance to carry out these wind -down activities (three percent of the property tax allocation listed on the Recognized Obligation Payment Schedule, subject to change based on review and approval by the Department of Finance (DOF)). The Dissolution Act requires the SA to prepare an administrative budget every six months. Once the budget is approved by the SA, the OB is required to review and approve it. FISCAL IMPACT: For the period of January 1 through June 30, 2015, the property tax allocation for non -administrative costs totals $14,167,917. Three percent of this total is $425,038 and the total expected administrative costs for the period are $425,038. BACKGROUND/ANALYSIS: The Dissolution Act provides an administrative allowance for all successor agencies to carry out wind -down activities of the former redevelopment agencies and to administer the oversight boards. The estimates below include staff time required to carry out SA and OB activities: SA Administrative Budget Personnel Costs 233,088 Professional Contract Services 161,950 Supplies & Publications 4,000 Printing/Mailing/Advertising 1,000 Information Technology Costs 8,000 Office & Equipment Costs 17,000 Total Administrative Costs $425,038 The two major cost components are Personnel Costs and Professional Contract Services. Personnel costs are related to City staff time required to manage SA affairs. The contract services costs are legal counsel, audit, and consulting services (as may be required). The detailed administrative budget for this time period is included as Attachment 1 . Once the SA reviews and approves the administrative budget, the budget must be reviewed and approved by the OB. While the Dissolution Act does not require the administrative budgets be submitted to the DOF, the DOF does review the actions of oversight boards the day after the oversight board meeting takes place. Therefore, the DOF may question an Oversight Board's approval of a Successor Agency's administrative budget. ALTERNATIVES: As this is a requirement of the DOF, staff does not recommend an alternative. Report prepared by: Rita Conrad, Finance Director Report approved for submission by: Frank J. Spevacek, City Manager Attachment: 1. Administrative Budget for January 1 through June 30, 2015 RESOLUTION NO. OB 2014 - A RESOLUTION OF THE OVERSIGHT BOARD OF THE SUCCESSOR AGENCY TO THE LA QUINTA REDEVELOPMENT AGENCY APPROVING THE SUCCESSOR AGENCY ADMINISTRATIVE BUDGET FOR THE PERIOD OF JANUARY 1, 2015 THROUGH JUNE 30, 2015 WHEREAS, the Oversight Board of the Successor Agency to La Quinta Redevelopment Agency ("Oversight Board" or "Successor Agency," as applicable) has been established to direct the Successor Agency to take certain actions to wind down the affairs of the former La Quinta Redevelopment Agency ("Agency") in accordance with the California Health and Safety Code; and WHEREAS, the Agency was engaged in activities to execute and implement the Project Area No. 1 Redevelopment Plan and the Project Area No. 2 Redevelopment Plan (collectively, the "Redevelopment Plans") pursuant to the provisions of the California Community Redevelopment Law (Health and Safety Code § 33000, et sec.) ("CRL"); and WHEREAS, as part of the 201 1-12 State budget bill, the California Legislature enacted and the Governor signed, ABx1 26 requiring that each redevelopment agency be dissolved; and WHEREAS, an action challenging the constitutionality of ABx1 26 and companion bill ABx1 27 was filed in the California Supreme Court by the California Redevelopment Association, the League of California Cities, and two individual cities; and WHEREAS, on December 29, 2011, the Court upheld ABx1 26; and WHEREAS, Health and Safety Code Section 34177(j) requires each Successor Agency to prepare a proposed administrative budget every six months setting forth the Successor Agency's estimated administrative costs of carrying out the wind -down activities of the former redevelopment agency, proposing sources of payment for such estimated administrative costs, and proposing for arrangements for administrative and operations services provided by a city, county and/or other entity; and WHEREAS, the Successor Agency has prepared a proposed administrative budget for the six-month period January 1, 2015 - June 30, 2015 (the "Administrative Budget"); and Resolution No. OB 2014- Adoption of SA Administrative Budget Adopted: September 17, 2014 Page 2 WHEREAS, on September 16, 2014 the Successor Agency reviewed and approved the Administrative Budget; and; WHEREAS, all other legal prerequisites to the adoption of this Resolution have occurred. NOW THEREFORE, BE IT RESOLVED, by the Oversight Board of Successor Agency to La Quinta Redevelopment Agency, does hereby resolve as follows: SECTION 1. Recitals. The Recitals set forth above are true and correct and incorporated herein by reference. SECTION 2. Approval of Administrative Budget. The Oversight Board hereby approves the Administrative Budget, which is on file with the Secretary of the Successor Agency. SECTION 3. Severability. If any provision of this Resolution or the application thereof to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications of this Resolution which can be given effect without the invalid provision or application, and to this end the provisions of this Resolution are severable. The Oversight Board hereby declares that it would have adopted this Resolution irrespective of the invalidity of any particular portion thereof. SECTION 4. The Oversight Board Secretary shall certify to the adoption of this Resolution. PASSED, APPROVED, AND ADOPTED at the meeting of the Oversight Board of the Successor Agency to La Quinta Redevelopment Agency held this 17th day of September, 2014, by the following vote: AYES: NOES: ABSENT: ABSTAIN: John Pena, Chairperson Oversight Board of the Successor Agency to La Quinta Redevelopment Agency Resolution No. OB 2014- Adoption of SA Administrative Budget Adopted: September 17, 2014 Page 3 ATTEST: PAM NIETO Oversight Board Secretary SUCCESSOR AGENCY/OVERSIGHT BOARD JANUARY - JUNE 2015 ADMINISTRATIVE BUDGET PERSONNEL $233,088 Includes base salary plus benefits. Successor Agency Administration $168,088 Oversight Board Administration $65,000 SUPPLIES & SERVICES CONTRACT SERVICES $161,950 This account provides for legal, consulting, and audit services plus a portion of League of California Cities and California Redevelopment Agency dues related to technical assistance and training. Audits as required by ABx1 26 $10,000 League of California Cities Dues & Seminars/Webinars related to ABx1 26 $1,950 Legal Services for Successor Agency $75,000 Consulting Services for Successor Agency $75,000 SUPPLIES AND PUBLICATIONS $4,000 This account provides for various office supplies and publications to be used by SA and OB staff and board members Successor Agency Supplies & Publications $2,500 Oversight Board Supplies & Publications $1,500 PRINTING/MAILING/ADVERTISING $1,000 $1,000 This account provides for required mailings, agenda printing, and legal advertising INFORMATION TECHNOLOGY $8,000 This account provides for annual replacement charges for information technology items such as computers, printers, and computer related items attributable to SA/OB; and support/hosting for SA/OB web pages, which are required by ABx1 26 $5,500 Computer Document Storage related to Successor Agency $2,000 On -Line Muni Code related to Successor Agency $500 OFFICE & EQUIPMENT $17,000 This account provides for office space rental and equipment usage in City Hall Rent $15,000 Equipment $2,000 TOTAL ADMINISTRATIVE BUDGET $425,038 FUNDING SOURCES: Total Administrative Costs $425,038 3% Administrative Allowance per ROPS 14-15B $ 425,038 Excess Administrative costs $0 F:\ROPS\La Quinta ROPS 14-15B\Admin Budget Jan -Jun 2015 FINAL