SA Resolution 2016-003RESOLUTION NO. SA 2016 - 003
A RESOLUTION OF THE SUCCESSOR AGENCY TO LA
QUINTA REDEVELOPMENT AGENCY APPROVING A BOND
EXPENDITURE AGREEMENT
WHEREAS, the Successor Agency to the La Quinta Redevelopment Agency
(Successor Agency) received its Finding of Completion under Health and Safety Code
Section 34179.7 from the California Department of Finance on November 6, 2013; and
WHEREAS, Health and Safety Code Section 34191.4(c) allows a successor
agency that has received a finding of completion to use bond proceeds from "non -
housing" bonds issued prior to 2011, and a prescribed percentage of "non -housing"
bond proceeds for bonds issued between January 1, 2011 and June 28, 2011, for
purposes for which the bonds were sold, provided that such proceeds in excess of
amounts needed to satisfy approved enforceable obligations shall be expended in a
manner consistent with the original bond covenants, and further provides that such
expenditures shall constitute "excess bond proceeds obligations" that shall be listed
separately on the successor agency's Recognized Obligation Payment Schedule
("ROPS"); and
WHEREAS, Health and Safety Code section 34176(g) allows a housing successor
to use 100% excess bond proceeds secured by the former La Quinta Redevelopment
Agency's Low and Moderate Income Housing Fund ("LMIHF"), as long as the "housing"
bonds were issued prior to June 28, 2011; and
WHEREAS, the Successor Agency will have so-called "excess bond proceeds,"
i.e., tax allocation bond proceeds, from both "non -housing" and "housing" bonds, that
are not otherwise obligated for a project or other enforceable obligation. The
Successor Agency wishes to use such proceeds for redevelopment and affordable
housing purposes consistent with applicable bond covenants; and
WHEREAS, the California Community Redevelopment Law (Health and Safety
Code Section 33000, et seq.) provides for a cooperative relationship between cities and
their redevelopment agencies, as well as their successor agencies who have assumed
the duties and obligations of the former redevelopment agencies. Under Health and
Safety Code Section 33220, a city may aid and cooperate in the planning, undertaking,
construction, or operation of redevelopment projects. Health and Safety Code
Section 33220(e) specifically authorizes a city to enter into an agreement with its
redevelopment agency or any other public entity to further redevelopment purposes.
Health and Safety Code Section 34176(g)(1)(A) [for housing bond proceeds] and
Sections 34191.4(c)(1)(A) and 34191.4(c)(2) [for non -housing bond proceeds] allow a
housing successor, successor agency, and sponsoring city to enter into agreements
with the approval of the oversight board; and
Resolution No. SA 2016-003
Bond Expenditure Agreement
Adopted: July 5, 2016
Page 2
WHEREAS, the Successor Agency desires to provide "non -housing" excess bond
proceeds to the City of La Quinta (City) to enable the City to use such funds in a
manner consistent with the original "non -housing" bonds' covenants, and the
Successor Agency desires to provide "housing" excess bond proceeds to the La Quinta
Housing Authority (Housing Authority) to enable the Housing Authority to use such
funds in a manner consistent with the original housing bonds' covenants; and
WHEREAS, in order to facilitate the use of excess bond proceeds consistent
with the bond covenants, the Successor Agency, City, and Housing Authority have
negotiated an agreement requiring the transfer of current and future excess bond
proceeds by the Successor Agency to the City and Housing Authority, respectively, and
the use of such excess bond proceeds consistent with applicable bond covenants. If
approved by the Oversight Board for the La Quinta Successor Agency (Oversight
Board), the Successor Agency will list the agreement, and the requirement to transfer
excess bond proceeds herein on a ROPS as an obligation to be funded with excess
bond proceeds.
NOW, THEREFORE, BE IT RESOLVED by City of La Quints Acting as the
Successor Agency to La Quinta Redevelopment Agency, does hereby resolve as
follows:
SECTION 1. The foregoing recitals are true and correct and are incorporated into the
approval of this Resolution.
SECTION 2. The Successor Agency hereby approves the Bond Expenditure Agreement
substantially in the form attached as Exhibit A.
SECTION 3. The City Manager shall have the authority to execute the Agreement on
behalf of the City, the Housing Authority's Executive Director shall have the authority
to execute the Agreement on behalf of the Housing Authority, and the Successor
Agency's Executive Director shall have the authority to execute the Agreement on
behalf of the Successor Agency. The City Manager or designee shall have the
authority to take any and all implementing actions to effectuate the terms and
conditions of this Agreement.
SECTION 4. The Bond Expenditure Agreement and ROPS on which the Bond
Expenditure Agreement is listed shall become effective when the Oversight Board and
California Department of Finance render their respective approvals as required by the
dissolution law, Health and Safety Code Section 34170 et seq.
PASSED, APPROVED, and ADOPTED at a regular meeting of the Successor
Agency to the Dissolved La Quinta Redevelopment Agency held on this 5TH day of
July, 2016, by the following vote:
Resolution No. SA 2016-003
Bond Expenditure Agreement
Adopted: July 5, 2016
Page 3
AYES: Agency Members Franklin, Osborne, Pena, Radi, Chair Evans
NOES: None
ABSENT: None
ABSTAIN: None
LINDA EVANS, Chairperson
City of La Quinta Acting as Successor
Agency to the La Quinta
Redevelopment Agency
ATTEST:
OtAA
SUSAN MAYSELS, Secretary
City of La Quinta Acting as Successor
Agency to the La Quinta Redevelopment Agency
(AGENCY SEAL)
APPROVED AS TO FORM:
WILLIAM H. IHRKE, Counsel
City of La Quinta Acting as Successor
Agency to the La Quinta Redevelopment Agency
Resolution No. SA 2016-003
Bond Expenditure Agreement
Adopted: July 5, 2016
Page 4
EXHIBIT A
BOND EXPENDITURE AGREEMENT
(La Quinta Housing & Non -Housing Tax Allocation Bonds)
This Bond Expenditure Agreement (the "Agreement") is entered into and effective
, 2016, by and between the City of La Quinta, a California municipal
corporation (the "City"), the La Quinta Housing Authority, in its capacity as the housing
successor pursuant to Health and Safety Code Section 34176(a)(3) ("Housing Authority"), and
the Successor Agency to the La Quinta Redevelopment Agency, a public agency, corporate and
politic, pursuant to Health and Safety Code Section 34173 ("Successor Agency").
Recitals
A. The Successor Agency received its Finding of Completion under Health and
Safety Code Section 34179.7 from the California Department of Finance on November 6, 2013.
B. Health and Safety Code Section 34191.4(c) allows a successor agency that has
received a finding of completion to use bond proceeds from "rion-housing" bonds issued prior to
2011, and a prescribed percentage of non -housing bond proceeds for bonds issued between
January 1, 2011 and June 28, 2011, for purposes for which the bonds were sold, provided that
such proceeds in excess of amounts needed to satisfy approved enforceable obligations shall be
expended in a manner consistent with the original bond covenants, and further provides that such
expenditures shall constitute "excess bond proceeds obligations" that shall be listed separately on
the successor agency's Recognized Obligation Payment Schedule ("ROPS").
C. Health and Safety Code section 34176(g) allows a housing successor to use 100%
excess bond proceeds secured by the former La Quinta Redevelopment Agency's Low and
Moderate Income Housing Fund ("LMIHF"), as long as the "housing" bonds were issued prior to
June 28, 2011.
D. The Successor Agency will have so-called "excess bond proceeds," i.e., tax
allocation bond proceeds, from both "non -housing" and "housing" bonds, that are not otherwise
obligated for a project or other enforceable obligation. The Successor Agency wishes to use
such proceeds for redevelopment and affordable housing purposes consistent with applicable
bond covenants.
E. The California Community Redevelopment Law (Health and Safety Code
Section 33000, et seq.) provides for a cooperative relationship between cities and their
redevelopment agencies, as well as their successor agencies who have assumed the duties and
obligations of the former redevelopment agencies. Under Health and Safety Code
Section 33220, a city may aid and cooperate in the planning, undertaking, construction, or
operation of redevelopment projects. Health and Safety Code Section 33220(e) specifically
Resolution No. SA 2016-003
Bond Expenditure Agreement
Adopted: July 5, 2016
Page 5
authorizes a city to enter into an agreement with its redevelopment agency or any other public
entity to further redevelopment purposes. Health and Safety Code Section 34176(g)(1)(A) [for
housing bond proceeds] and Sections 34191.4(c)(1)(A) and 34191.4(c)(2) [for non -housing bond
proceeds] allow a housing successor, successor agency, and sponsoring city to enter into
agreements with the approval of the .oversight board.
F. The Successor Agency desires to provide "non -housing" excess bond proceeds to
the City to enable the City to use such funds in a manner consistent with the original "non -
housing" bonds' covenants, and the Successor Agency desires to provide "housing" excess bond
proceeds to the Housing Authority (if not already provided) to enable the Housing Authority to
use such funds in a manner consistent with the original housing bonds' covenants. The non -
housing and housing bonds' covenants are summarized in the Official Statements for the
"Bonds," identified below in this Agreement, and the Official Statements and all bond
documents governing the authorized spending of the "Bond Proceeds," as defined below in this
Agreement, are incorporated by reference and generally referred to as the "Bond Spending Plan."
The Bond Spending Plan is intended to advance the City's community development goals and
Housing Authority's affordable housing goals, while maximizing fiscal and social benefits
flowing to the taxing entities from successful development. The La Quinta Successor Agency's
Oversight Board ("Oversight Board") has determined that the expenditure of excess bond
proceeds in accordance with this Agreement will benefit the affected taxing entities, and has
approved the execution of this Agreement and the provision of excess bond proceeds to the City
and Housing Authority for the purposes described herein.
G. In order to facilitate the use of excess bond proceeds consistent with the bond
covenants, the Successor Agency, City, and Housing Authority have negotiated this Agreement
requiring the transfer of current and future excess bond proceeds bythe Successor Agency to the
City and Housing Authority, respectively, and the use of such excess bond proceeds consistent
with applicable bond covenants. The parties intend that this Agreement shall constitute an
excess bond proceeds obligation within the meaning of Health and Safety Code
Sections 34176(g)(1)(A) and 34191.4(c) to be paid from excess bond proceeds. With Oversight
Board approval, the Successor Agency has listed or will list this Agreement, and the requirement
to transfer excess bond proceeds herein, on its Recognized Obligation Payment Schedule
("ROPS") as an obligation to be funded with excess bond proceeds.
NOW, THEREFORE, the parties hereto do mutually agree as follows:
1. RECITALS.
The recitals above are an integral part of this Agreement and set forth the intentions of
the parties and the premises on which the parties have decided to enter into this Agreement.
2. DEFINITIONS.
For purposes of this Agreement, the following terms shall have the indicated meaning:
"Bonds" means all of the following bond issuances:
Resolution No. SA 2016-003
Bond Expenditure Agreement
Adopted: July 5, 2016
Page 6
• Successor Agency to the La Quinta Redevelopment Agency La Quinta
Redevelopment Agency Project Areas No. 1 and 2 Refunding Bonds, 2014
Series A (used for refinancing 2004 Tax Allocation Housing Bonds), and
any refinancing or refunding thereof authorized by the Dissolution Law
(referred to in this Agreement as the "2004 Housing Bonds").
• Successor Agency to the La Quinta Redevelopment Agency La Quinta
Redevelopment Project Areas No. 1 and 2 Subordinate Tax Allocation
Refunding Bonds, 2013 Series A (used for refinancing 2002 Tax
Allocation Bonds), and any refinancing or refunding thereof authorized by
the Dissolution Law (referred to in this Agreement as the "2002 Non -
Housing Bonds").
• La Quinta Financing Authority Local Agency Subordinate Taxable
Revenue Bonds, 2011 Series A, and any refinancing or refunding thereof
authorized by the Dissolution Law (referred to in this Agreement as the
"2011 Housing Bonds").
• La Quinta Redevelopment Agency Project Area No. 2 Subordinate
Taxable Tax Allocation Bonds, Series 2011, and any refinancing or
refunding thereof authorized by the Dissolution Law (referred to in this
Agreement as the "2011 Non -Housing Bonds").
"Bond Proceeds" means (1) proceeds remaining from the Bonds secured by a pledge of
the Redevelopment Agency's tax increment, (2) rents, sale proceeds and other revenues
generated by properties acquired and/or improved with proceeds from the Bonds, (3) interest and
principal paid on loans funded by proceeds from the Bonds, and (4) other income or revenues
generated from assets acquired or funded with proceeds from the Bonds. As of the date of this
Agreement, the Bond Proceeds remaining from the Bonds described in clause (1) are
approximately: $2,200,000 from the 2004 Housing Bonds; $6,600,000 from the 2002 Non -
Housing Bonds; $25,500,000 from the 2011 Housing Bonds; and $2,400,000 from the 2011
Non -Housing Bonds, with the exact amounts of Bond Proceeds remaining set forth in the
spreadsheet entitled "City of La Quinta — Bond Proceeds" attached to this Agreement as
Exhibit A and incorporated herein by reference (collectively, the "Remaining Bond Proceeds").
"Bond Spending Plan" is defined in Recital F. In further explanation and not limitation
of the definition in Recital F, the "Bond Spending Plan" includes but is not limited to the
following projects that would use the following Excess Bond Proceeds:
• Use of Housing Excess Bond Proceeds from the 2004 Housing Bonds for
that certain affordable housing project known as the "Washington Street
Apartments" project located at 42-800 Washington Street in the City; and
• Use of Non -Housing Excess Bond Proceeds from the 2002 Non -Housing
Bonds for the construction of SilverRock Way.
Resolution No. SA 2016-003
Bond Expenditure Agreement
Adopted: July 5, 2016
Page 7
"Dissolution Law" means Parts 1.8 and 1.85 of Division 24 of the California Health and
Safety Code, commencing with Section 34170, and other statutes governing the dissolution of
redevelopment agencies and the wind -down of redevelopment activities.
"Enforceable Obligations" mean enforceable obligations, other than Excess Bond
Proceeds obligations, as defined under the Dissolution Law.
"Excess Bond Proceeds" means Bond Proceeds that are not needed to satisfy Enforceable
Obligations (other than this Agreement) approved on a ROPS. As of the date of this Agreement,
the Remaining Bond Proceeds qualify as Excess Bond Proceeds.
"Housing Excess Bond Proceeds" mean Excess Bond Proceeds tied to the 2004 Housing
Bonds or 2011 Housing Bonds, or both.
"Non -Housing Excess Bond Proceeds" mean Excess Bond Proceeds tied to the 2002
Non -Housing Bonds or 2011 Non -Housing Bonds, or both; provided, however, that "Non -
Housing Excess Bond Proceeds" from the 2011 Non -Housing Bonds may not exceed the
percentage of the Remaining Bond Proceeds from the 2011 Non -Housing Bonds authorized to be
expended pursuant to Health and Safety Code section 34191.4(c)(2) (or successor statute). At
the time of this Agreement, 5% of the Remaining Bond Proceeds from the 2011 Non -Housing
Bonds may be expended without a Last and Final ROPS, as the 2011 Non -Housing Bonds were
issued June 14, 2011. If the percentage of allowable expenditure from the Remaining Bond
Proceeds of the 2011 Non -Housing Bonds increases after the date of this Agreement, then any
Remaining Bond Proceeds from the 2011 Non -Housing Bonds that may be expended under an
amendment to the Dissolution Law shall be deemed Non -Housing Excess Bond Proceeds and
will be governed by the terms and conditions of this Agreement without need for further
amendment of this Agreement.
"ROPS" means Recognized Obligation Payment Schedule as defined in the Dissolution
Law. For purposes of this Agreement, ROPS includes the Last and Final ROPS (and any
allowable amendments thereto) pursuant to the Dissolution Law.
3. SUCCESSOR AGENCY'S OBLIGATIONS.
The Successor Agency shall have the following obligations under this Agreement:
3.1 CURRENT NON -HOUSING EXCESS BOND PROCEEDS. The Successor
Agency shall transfer to the City, no later than 30 days after the approval of this Agreement (or
Oversight Board Resolution approving this Agreement) by the California Department of Finance
("DOF"), Non -Housing Excess Bond Proceeds currently held by the Successor Agency.
3.2 CURRENT HOUSING EXCESS BOND PROCEEDS. The Successor Agency
shall transfer to the Housing Authority, no later than 30 days after the approval of this
Agreement (or Oversight Board Resolution approving this Agreement) by the DOF, Housing
Excess Bond Proceeds currently held by the Successor Agency.
Resolution No. SA 2016-003
Bond Expenditure Agreement
Adopted: July 5, 2016
Page 8
3.3 FUTURE EXCESS BOND PROCEEDS. The Successor Agency shall transfer to
the City all future Non -Housing Excess Bond Proceeds held or received by the Successor
Agency, and the Successor Agency shall transfer to the Housing Authority all future Housing
Excess Bond Proceeds held or received by the Successor Agency. Such future Excess Bond
Proceeds shall include, without limitation, (1) Bond Proceeds previously obligated to a project or
other Enforceable Obligation that become unobligated for any reason, (2) Bond Proceeds that
become available in the form of rents, sale proceeds, loan repayments, or other revenues that are
generated by properties or other assets acquired and/or improved with Bond Proceeds and that
are not otherwise obligated to a project or other Enforceable Obligation, and (3) any other funds
held by the Successor Agency that qualify as Excess Bond Proceeds under this Agreement.
The parties intend that payments of future Non -Housing Excess Bond Proceeds be made
to the City and payments of future Housing Excess Bond Proceeds be made to the Housing
Authority, as soon as possible after such Excess Bond Proceeds become available. The transfer
of future Excess Bond Proceeds shall be made pursuant to an approved ROPS within 30 days of
the commencement of the relevant ROPS period, or within 30 days of the future Excess Bond
Proceeds becoming available to the Successor Agency after this Agreement has been approved
by DOF on an operative ROPS, whichever date is applicable. The Successor Agency shall be
responsible for ensuring that payments of future Excess Bond Proceeds, as such funds become
available, are included on a ROPS by identifying this Agreement.
3.4 PROJECTS FUNDED BY NON -HOUSING EXCESS BOND PROCEEDS. The
Successor Agency assigns to the City all responsibilities in relation to the administration of any
projects or programs funded by Non -Housing Excess Bond Proceeds. The Successor Agency
assigns to the City all contracts entered into by the Successor Agency or the former La Quinta
Redevelopment Agency ("Redevelopment Agency") related to activities to be funded by Non -
Housing Excess Bond Proceeds, with the exception of those contracts retained by the Successor
Agency relating to Enforceable Obligations.
3.5 PROJECTS FUNDED BY HOUSING EXCESS BOND PROCEEDS. The
Successor Agency assigns to the Housing Authority all responsibilities in relation to the
administration of any projects or programs funded by Housing Excess Bond Proceeds. The
Successor Agency assigns to the Housing Authority all contracts entered into by the Successor
Agency or the Redevelopment Agency related to activities to be funded by Housing Excess Bond
Proceeds, with the exception of those contracts retained by the Successor Agency relating to
Enforceable Obligations.
4. CITY'S OBLIGATIONS.
The City shall have the following obligations under this Agreement:
4.1 RETENTION OF NON -HOUSING EXCESS BOND PROCEEDS. The City
shall accept, hold, and disburse Non -Housing Excess Bond Proceeds transferred to the City by
the Successor Agency under this Agreement, including current Non -Housing Excess Bond
Proceeds and future Non -Housing Excess Bond Proceeds. The City shall retain any Non -
Housing Excess Bond Proceeds that it receives, such as revenue generated from properties
Resolution No. SA 2016-003
Bond Expenditure Agreement
Adopted: July 5, 2016
Page 9
acquired or improved with Non -Housing Excess Bond Proceeds or payments on loans funded
from Non -Housing Excess Bond Proceeds, without any obligation to return such funds to the
Successor Agency, and shall use such funds for uses consistent with applicable bond covenants.
4.2 USE OF NON -HOUSING EXCESS BOND PROCEEDS. The City may spend
Non -Housing Excess Bond Proceeds received or retained under this Agreement on any project,
program, or activity authorized under the Bond Spending Plan. The City must spend Non -
Housing Excess Bond Proceeds consistent with the original bond covenants applicable to the
Non -Housing Excess Bond Proceeds, and must comply with all requirements of federal tax law
and all applicable requirements of the California Community Redevelopment Law as to the use
of such funds. The City shall be solely responsible for ensuring that Non -Housing Excess Bond
Proceeds are maintained and spent in accordance with bond covenants and other applicable laws.
The City may transfer funds between approved projects, programs and activities, as long as the
transfer is within a single project area if applicable bond covenants restrict such funds to a
particular project area.
The City assumes all contracts entered into by the Successor Agency or the former
Redevelopment Agency related to activities to be funded by Non -Housing Excess Bond
Proceeds, with the exception of those contracts retained by the Successor Agency relating to
Enforceable Obligations. The City shall perform its obligations hereunder, and under such
assumed contracts, in accordance with the applicable provisions of federal, state and local laws,
and shall timely complete the work required for each project.
4.3 BOND SPENDING PLAN. The City shall be solely responsible for maintaining
and implementing the Bond Spending Plan with respect to Non -Housing Excess Bond Proceeds.
The City may amend the Bond Spending Plan, with respect to use of Non -Housing Excess Bond
Proceeds, as the City deems necessary in its sole discretion. Any amendments to the adopted
Bond Spending Plan shall consider uses that advance the City's community development goals
while maximizing fiscal and social benefits flowing to the taxing entities from successful
development. The Bond Spending Plan shall conform to applicable bond covenants and all
applicable requirements of federal tax law and the California Community Redevelopment Law.
Notwithstanding any contrary provision hereof, unless the City expressly agrees otherwise, the
City shall not be obligated to provide funding for any program or project in an amount exceeding
the Non -Housing Excess Bond Proceeds provided to the City pursuant to this Agreement.
5. HOUSING AUTHORITY'S OBLIGATIONS.
The Housing Authority shall have the following obligations under this Agreement:
5.1 RETENTION OF HOUSING EXCESS BOND PROCEEDS. The Housing
Authority shall accept, hold, and disburse Housing Excess Bond Proceeds transferred to the
Housing Authority by the Successor Agency under this Agreement, including current Housing
Excess Bond Proceeds and future Housing Excess Bond Proceeds. The Housing Authority shall
retain any Housing Excess Bond Proceeds that it receives, such as revenue generated from
properties acquired or improved with Housing Excess Bond Proceeds or payments on loans
Resolution No. SA 2016-003
Bond Expenditure Agreement
Adopted: July 5, 2016
Page 10
funded from Housing Excess Bond Proceeds, without any obligation to return such funds to the
Successor Agency, and shall use such funds for uses consistent with applicable bond covenants.
5.2 USE OF HOUSING EXCESS BOND PROCEEDS. The Housing Authority may
spend Housing Excess Bond Proceeds received or retained under this Agreement on any project,
program, or activity authorized under the Bond Spending Plan. The Housing Authority must
spend Housing Excess Bond Proceeds consistent with the original bond covenants applicable to
the Housing Excess Bond Proceeds, and must comply with all requirements of federal tax law
and all applicable requirements of the California Community Redevelopment Law as to the use
of such funds. The Housing Authority shall be solely responsible for ensuring that Housing
Excess Bond Proceeds are maintained and spent in accordance with bond covenants and other
applicable laws. The Housing Authority may transfer funds between approved projects,
programs and activities, as long as the transfer is within a single project area if applicable bond
covenants restrict such funds to a particular project area.
The Housing Authority assumes all contracts entered into by the Successor Agency or the
former Redevelopment Agency related to activities to be funded by Housing Excess Bond
Proceeds, with the exception of those contracts retained by the Successor Agency relating to
Enforceable Obligations. The Housing Authority shall perform its obligations hereunder, and
under such assumed contracts, in accordance with the applicable provisions of federal, state and
local laws, and shall timely complete the work required for each project.
5.3 BOND SPENDING PLAN. The Housing Authority shall be solely responsible
for maintaining and implementing the Bond'Spending Plan with respect to Housing Excess Bond
Proceeds. The Housing Authority may amend the Bond Spending Plan, with respect to use of
Housing Excess Bond Proceeds, as the Housing Authority deems necessary in its sole discretion.
Any amendments to the adopted Bond Spending Plan shall consider uses that advance the
Housing Authority's affordable housing goals while maximizing fiscal and social benefits
flowing to the taxing entities from successful development. The Bond Spending Plan shall
conform to applicable bond covenants and all applicable requirements of federal tax law and the
California Community Redevelopment Law. Notwithstanding any contrary provision hereof,
unless the Housing Authority expressly agrees otherwise, the Housing Authority shall not be
obligated to provide funding for any program or project in an amount exceeding the Housing
Excess Bond Proceeds provided to the Housing Authority pursuant to this Agreement.
6. ENTIRE AGREEMENT; WAIVERS; AND AMENDMENTS.
6.1 This Agreement constitutes the entire understanding and agreement of the parties
with respect to the transfer and use of Excess Bond Proceeds. This Agreement integrates all of
the terms and conditions mentioned herein or incidental hereto, and supersedes all negotiations
or previous agreements between the parties with respect to the subject matter of this Agreement.
6.2 This Agreement intended solely for the benefit of the City, Housing Authority,
and the Successor Agency. Notwithstanding any reference in this Agreement to persons or
entities other than the City, Housing Authority and the Successor Agency, there shall be no third
Resolution No. SA 2016-003
Bond Expenditure Agreement
Adopted: July 5, 2016
Page 11
party beneficiaries under this Agreement, except the La Quinta Financing Authority, a public
agency, corporate and politic.
6.3 All waivers of the provisions of this Agreement and all amendments to this
Agreement must be in writing and signed by the authorized representatives of the parties.
7. SEVERABILITY.
If any term, provisions, covenant or condition of this Agreement is held by a court of
competent jurisdiction to be invalid, void or unenforceable, the remainder of the provisions shall
continue in full force and effect unless the rights and obligations of the parties have been
materially altered or abridged by such invalidation, voiding or unenforceability. In addition, the
parties shall cooperate in good faith in an effort to amend or modify this Agreement in a manner
such that the purpose of any invalidated or voided provision, covenant, or condition can be
accomplished to the maximum extent legally permissible.
8. DEFAULT.
If either party fails to perform or adequately perform an obligation required by this
Agreement within thirty (30) calendar days of receiving written notice from the non -defaulting
party, the party failing to perform shall be in default hereunder. .In the event of default, the non -
defaulting party will have all the rights and remedies available to it at law. or in equity to enforce
the provisions of this contract, including without limitation the right to sue for damages for
breach of contract or to seek specific performance. The rights and remedies of the non -
defaulting party enumerated in this paragraph are cumulative and shall not limit the non -
defaulting party's rights under any other provision of this Agreement, or otherwise waive or
deny any right or remedy, at law or in equity, existing as of the date of the Agreement or
hereinafter enacted or established, that may be available to the non -defaulting party against the
defaulting party.
9. BINDING ON SUCCESSORS.
This Agreement shall be binding on and shall inure to the benefit of all successors and
assigns of the parties, whether by agreement or operation of law.
10. FURTHER ASSURANCES.
Each party agrees to execute, acknowledge and deliver all additional documents and
instruments, and to take such other actions as may be reasonably necessary to carry out the intent
of this Agreement.
11. CITY MANAGER DELEGATED AUTHORITY TO IMPLEMENT.
The City Manager shall have the authority to execute this Agreement on behalf of the
City, the Housing Authority's Executive Directors shall have the authority to execute this
Agreement on behalf of the Housing Authority, and the Successor Agency's Executive Directors
shall have the authority to execute this Agreement on behalf of the Successor Agency . The City
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Bond Expenditure Agreement
Adopted: July 5, 2016
Page 12
Manager or designee shall have the authority to take any and all implementing actions to
effectuate the terms and conditions of this Agreement.
[SIGNATURES ON NEXT PAGE]
Resolution No. SA 2016-003
Bond Expenditure Agreement
Adopted: July 5, 2016
Page 13
In witness whereof, the undersigned parties have executed this Bond Expenditure
Agreement effective as of the date first above written.
"CITY" "HOUSING AUTHORITY"
THE CITY OF LA QUINTA, LA QUINTA HOUSING AUTHORITY,
a municipal corporation in its capacity as the housing successor
pursuant to Health and Safety Code
Section 34176
By:
City Manager
Attest:
By:
City Clerk
Approved as to form:
By:
City Attorney
"SUCCESSOR AGENCY"
THE SUCCESSOR AGENCY TO THE
LA QUINTA REDEVELOPMENT
AGENCY,
a public agency, corporate and politic,
pursuant to Health and Safety Code
section 34173
By:
Executive Director
Attest:
By:
City Clerk
Approved as to form:
By:
Agency Counsel
By:
Executive Director
Attest:
By:
Agency Secretary
Approved as to form:
am
Agency Counsel
EXHIBIT A
Remaining Bond Proceeds Spreadsheet
[attached]
City of La Quinta - Bond Proceeds
5/31/16 Balance
Bonds
Issued on or
Issued on or
Issue
G/L
Account Name
before 12/31/10
after 1/1/11
2004
248-0000-10110
Claim on Pooled Cash
2,195,379.38
2011 Housing
249-0000-10273
2011 Bond Proceeds fiscal agent
25,561,073.51
2002
405-0000-10110
Claim on Pooled Cash
6,575,791.87
2011A-PA2
417-0000-10273
2011 Bond Proceeds fiscal agent
2,420,286.52
Total
8,771,171.25
27,981,360.03