2012 03 20 SACITY AS SUCCESSOR ACIENCY
TO THE LA QUINTA REDEVELOPMENT A4ENCY
Agendas and staff reports are
available on the City's web page:
www.la-quinta.org
AGENDA
CITY COUNCIL CHAMBERS
78-495 Calle Tampico
La Quinta, California 92253
Regular Meeting
TUESDAY, MARCH 20, 2012 AT 4:00 P.M.
Beginning Resolution No. SA 2012-003
CALL TO ORDER
ROLL CALL
Successor Agency Members:
Evans, Franklin, Henderson, Osborne and Chairperson Adolph
CLOSED SESSION - NONE
PUBLIC COMMENT
At this time members of the public may address the City Council acting as the legislative
body for the City as Successor Agency to the La Quinta Redevelopment Agency on any
matter not listed on the agenda. Please complete a "request to speak" form and limit your
comments to three minutes.
CONFIRMATION OF AGENDA
APPROVAL OF MINUTES
1 . APPROVAL OF MINUTES OF MARCH 6, 2012
CONSENT CALENDAR
NOTE: Consent Calendar items are routine in nature and can be approved by one motion.
41 001
CITY AS SUCCESSOR AGENCY TO RDA 1 MARCH 20, 2012
I . APPROVAL OF DEMAND REGISTER DATED MARCH 20, 2012
2. RECEIVE AND FILE TREASURER'S REPORT DATED JANUARY 31, 2012
3. RECEIVE AND FILE REVENUE AND EXPENDITURE REPORT DATED
JANUARY 31, 2012
4. ADOPTION OF A RESOLUTION APPROVING AN AMENDED RECOGNIZED
OBLIGATION PAYMENT SCHEDULE OF THE FORMER LA QUINTA
REDEVELOPMENT AGENCY FOR THE PERIOD OF JANUARY 2012
THROUGH JUNE 2012
BUSINESS SESSION
CONSIDERATION OF SUCCESSOR AGENCY ADMINISTRATIVE BUDGET
FOR THE PERIOD OF FEBRUARY 1, 2012 THROUGH JUNE 30, 2012
2. CONSIDERATION TO NEGOTIATE A NEW CONTRACT WITH ROSENOW
SPEVACEK GROUP FOR ECONOMIC DEVELOPMENT AND HOUSING
SERVICES FOR THE CITY / SUCCESSOR AGENCY / HOUSING AUTHORITY
STUDY SESSION — NONE
ADJOURNMENT
The next regular meeting of the City as Successor Agency to the La Quinta Redevelopment
Agency will be held on April 3, 2012 commencing with closed session at 3:00 p.m. and
open session at 4:00 p.m. in the City Council Chambers, 78-495 Calle Tampico, La Quinta,
CA 92253.
DECLARATION OF POSTING
1, Susan Maysels, Interim City Clerk of the City as Successor Agency to the La Quinta
Redevelopment Agency, do hereby declare that the foregoing agenda was posted on the
outside entry to the Council Chamber at 78-495 Calle Tampico and on the bulletin boards
at 51-321 Avenida Bermudas and 78-630 Highway 111, on March 16, 2012.
DATED: March 16, 2012
V
SUSAN MAYSELS , IntenrnWy C41erk
City of La Quinta, California
.0 002
CITY AS SUCCESSOR AGENCY TO RDA 2 MARCH 20, 2012
Public Notices
The La Quinta City Council Chamber is handicapped accessible. If special equipment is
needed for the hearing impaired, please call the City Clerk's Office at 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 City Council,
arrangement should be made in advance by contacting the City Clerk's Office at 777-7103.
A one (1) week notice is required.
• If background material is to be presented to the City Council during a City Council meeting,
please be advised that eight (8) copies of all documents, exhibits, etc., must be supplied to
the City Clerk 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 City Council regarding any item on
this agenda will be made available for public inspection at the City Clerk counter at City Hall
located at 78-495 Calle Tampico, La Quinta, California, 92253, during normal business
hours.
4 003
CITY AS SUCCESSOR AGENCY TO RDA 3 MARCH 20, 2012
T-itf 4 4 a"
COUNCIL/SA MEETING DATE: March 20, 2012
ITEM TITLE: Approval of Demand Register Dated
March 20, 2012
AGENDA CATEGORY:
BUSINESS SESSION:
CONSENT CALENDAR:
STUDY SESSION:
PUBLIC HEARING:
RECOMMENDATION:
It is recommended the Successor Agency of the La Quinta Redevelopment Agency:
Receive and File the Demand Register Dated
March 20, 2012 of which $6,802,516.77
Represents Successor Agency Expenditures as detailed below:
Vendor:
Account #:
Amount:
Purpose:
US Bank
232-9002-472.83-40
$239,383.75
Debt Svc Pyrnent
US Bank
232-9002-472.83-42
$727,542.03
Debt Svc Pyrnent
US Bank
231-9001-472.83-42
$358.341.60
Debt Svc Pyrnent
US Bank
231-9001-472.83-38
$1,359,800.60
Debt Svc Pyrnent
US Bank
232-9002-472.83-38
$669,752.53
Debt Svc Pyrnent
US Bank
231-9001-472.83-23
$719,377.50
Debt Svc Pyrnent
US Bank
231-9001-472.83-22
$871,340.63
Debt Svc Pyrnent
US Bank
231-9001-472.83-19
$1,215,360.00
Debt Svc Pyrnent
US Bank
232-9002-472.83-16
$141,703.13
Debt Svc Pyrnent
US Bank
232-9002472.83-16
$409,760.00
Debt Svc Pyrnent
004
US Bank . 231-9001-472.83-07 $90,155.00 Debt Svc Pyrnent
By adoption of Resolution No. 2012-002, the City of La Quinta has affirmatively elected to
be the Successor Agency of the La Quinta Redevelopment Agency. Pursuant to Health
and Safety Code Section 34177(a), the Successor Agency of the La Quinta
Redevelopment Agency shall continue to make payments required pursuant to an adopted
enforceable obligations payment schedule. The payments above are required pursuant to
the enforceable obligations payments schedule adopted by the La Quinta Redevelopment
Agency on January 17, 2012.
Pursuant to Health and Safety Code Seciton 34173(e), the liability of the Successor
Agency of the La Quinta Redevelopment Agency, when acting pursuant to the powers
granted under ABX1 26, are limited to the extent of the total sum of property tax revenues it
receives pursuant to part 1.85 of ABX1 26 (e.g., Health and Safety Code Sections 34170 —
374190) and the value of assets transferred to it as Successor Agency forthe dissolved La
Quinta Redevelopment Agency.
submitted,
John M. Falconer, Finance Director
Approved for submission by:
Mark Weiss, Interim Executive Director
005
(,�- � I -� witit 4
c3b41'r 0 E *Vvre,*�4, I
COUNCIL/RDA METING DATE: March 20, 2012 . AGENDA CATEGORY:
ITEM TITLE: Receive and File Treasurer's Report
dated January 31, 2012
RECOMMENDATION:
BUSINESS SESSION:
CONSENT CALENDAR:
STUDY SESSION:
PUBLIC HEARING:
It is recommended the Successor Agency to the La Quinta Redevelopment Agency:
Receive and file.
PLEASE SEE RELATED BUSINESS SESSION ITEM ON CITY COUNCIL AGENDA
ter OF
COUNCIL'RDA MEETING DATE: March 20, 2012 AGENDA CATEGORY:
ITEM TITLE: Receive and File Revenue and BUSINESS SESSION:
Expenditure Report dated January 31, 2012 CONSENT CALENDAR: 3
STUDY SESSION:
PUBLIC HEARING:
RECOMMENDATION:
Receive and File
BACKGROUND AND OVERVIEW:
Receive and File the January 31, 2012 Statement of Revenue and Expenditures for
the Successor Agency to the La Quinta Redevelopment Agency.
Respectfully submitted,
a �r -- -
John �MFalc In
Approved for submission by:
Mark Weiss, Interim Executive Director
Attachment: 1. Revenue and Expenditures Report, January 31, 2012
of 007
A 1 1 All.Frilvirim 1 1
SUCCESSORAGENCY
REVENUE SUMMARY
PROJECT AREA NO. i �In
County of Riverside
Pooleol Cash Allocated Interest
Non Allocated Interest
Transfers In
TOTAL PA 2
PROJECT AREA NO. 2 Admin
County a Riverside
Pooleol Cash Allo�atad Interest
Non Allocated Interest
Transfers In
TOTAL PA 2
TOTAL SUCCESSOR AGENCY - ADMIN
PROJECT AREA NO. 1 Prograin
County of Riverside
Pooled Cash Allocated Interest
Non Aflocarted Interest
Transfers In
TOTAL PA 2
OW0112011 - 01131/2012
ADJUSTED REMAINING %
BUDGET RECEIVED BUDGET RECEIVED
286,540 C0
000
286,540 W
0 OW%
0'00
0,00
000
0,0)0%
0,00
0,00
0 w
0.030%
000
O.w
000
0�1)00%
286,540,00
(100
2W 540 00
0,000%
141 131 00
000
141.131,00
0 m%
0,00
0 w
0 oo
0,000%
0,00
O'�
0 DO
0,030%
0,00
000
0 x
0.030%
141 13100
000
141J31.00
0 WO%
DOW%
5.43244800
0,00
5�432,44&00
0 DW%
o'W
o'W
0 Do
0,0)0%
0.03
O.W
000
0,000%
8 976,� 00
8,976,263.�
0.44
1W.000%
14,408,712.W
8 976 263 56
643244844
- 62300%
PROJECT AREA NO, 2 Prograin
County a Riveraide
1.493,269,00
0'W
1,493,269 W
O'�%
Pooled Cash Allocateof Interest
0'W
0,00
0 w
0,000%
Non Allocated Interest
om
0.03
000
0.030%
Transfers In
555,17800
555,17767
0.33
100,OW%
TOTAL PA 2
2 048 W 00
55517767
1 49326933
27 100%
TOTAL SUCCESSOR AGENCY - PROGRAM
16,457 159,00
91531,441 23
6,925,717,77
57.920%
TOTAL SUCCESSOR AGENCY
16,IM,1�830,00
9,531,44123
7,353,388,77
WA50%
008
SUCCESSOR AGENCY AIXIUSTED 01131112
EXPENDITURE SUMMARY REMAINING
BUDGET EXPENDITURES ENCUMBERED BUDGET
237 PROJECT AREA NO. 1,
238 PROJECT AREA NO, 2-
231 PROJECTAREANI
232 PROJECT AREA NO, 2-
SERVICES
REIMBURSEMENT TO GEN FUND 99,WD0 000 0.00 99.Woo
TRANSFERS OUT IW6%M 000 0 m 186.655m
TOTAL PA I - Ad.In ------ 0 . 00 000 000 o.W
SERVICES
49,198 W
0,00
O.W
49,1% W
REIMBURSEMENT TO GEN FUND
91,935,00
000
om
91.93500
TRANSFERS OUT
0 w
00,
000
0 w
TOTALPA2-Ad.iI
37W
TOTAL SUCCESSOR AGENCY - Admin
SERVICES
W.4W W
000
om
W.400,00
BOND PRINCIPAL
o.W
O.W
000
o.W
BONDINTEREST
5,393.338 W
o.m
0,00
5.393 3W.M
REIMBURSEMENT TO GEN FUND
2,710,00
0.00
0�w
2.710 ao
TRANSFERS OUT
000
000
om
0,00
TOTAL PA I - P.g.m
SERVICES
BOND PRINCIPAL
51,6w w
000
O.W
51.60000
BOND INTEREST
1,409,179 W
0�m
000
1.409 179,W
REIMBURSEMENT TO GEN FUND
32.4W 00
om
0.00
32,4000
TRANSFERS OUT
0 00
a 00
0,00
TOTAL PA 2 - Pmgmm
.
TOTAL SUCCESSOR AGENCY - P"m.
TOTAL SUCCESSOR AGENCY
009
0710112011 - 0113112012
LA QUINTA REDEVELOPMENT AGENCY
ADJUSTED
REMAINING
%
REVENUE SUMMARY
BUDGET
RECEIVED
BUDGET
RECEIVED
PROJECT AREA NO. I I
LOWIMODERATE TAX FUND:
Tax Increment
4,123.224 W
4,123,224,39
(039)
100.000%
Allocated Interest
�,600 w
1.792%
42,80704
4020%
Non Allocated Interest
0 N
878 4D
(87840)
0 NO%
Miscellaneous revenue
0,00
1,2M 22
(1,22622)
O'(XK%
Non Allocate<1 Interest
0,00
000
O,w
0000%
How Sales proceeds
0,00
0.00
O,w
OC00%
Sale of Land
D.00
0.00
O,(N
0000%
Sanver Subsidy Reimbursements
0�00
1,46784
0.000%
Rehabilitation Loan Repayments
0,00
0.00
O,w
0 ON%
2nd Trust Deed Repayment
0.00
0�00
0 IN
0000%
Williams Note Payment
0,00
0,00
0.00
0.000%
Transfer In
COO
COO
000
0,000%
TOTAL LOW/MOO TAX
4J67,824.00
4,128,589A1
39�23,1 19
99.ON%
DEBT SERVICE FUND:
Tax Increment
16,506 087.00
16 N5,08735
(035)
100,000%
Allocated Interest
3000,00
(13.12295)
16,122.95
437430%
Non Allocated Interest I
0�00
000
0,00
0 O(X%
Interest - County Loan
000
000
000
0 ODO%
Interest Advance Proceeds
0 N
000
000
0 OW%
Trarefs. In
1 l'w'5go'co
11,847,590 28
(028)
IN NQ%
TOTAL DEBT SERVICE
28,355,677 W
2S339,5&1,68
16,12232
99,940%
CAPITAL IMPROVEMENT FUND
Pooled Cash Allocated Interest
25.700,00
(13 ON 17)
39599 17
-54080%
Non Allocated Interest
18.80000
4423,55
1437645
23,5M%
Developer Agreement Fundmg
D.00
0,00
000
0000%
Sale of Land Proceeds
000
000
D.(M
O.wO%
Rental Income
0�00
000
000
0 NO%
Litigation Proceeds
0,00
0.00
0,00
0000%
Transfers; In
5,000,000,00
0.00
5 N0,ONCO
0 NO%
TOTAL CAPITAL IMPROVEMENT
5,0" � 00
(9,47562)
5 053,975,62
_0 190%
"11 TAXABLE HOUSING BOND FUND:
Pooled Cash Allocated Interest
0 DO
0 DO
000
0 NO%
Non Allocated Interest
5.00000
3,13400
1,8613 00
62.680%
Developer Agreement Funding
O,w
0 w
0,00
0,000%
Sale of Land Proceeds
000
O,w
000
0,00%
Rental Income
000
0,00
0,00
0,000%
Litigation Proceeds
0,00
0,00
O'w
OC00%
Tramsters In
0,00
D,00
O'N
O.Ow%
TOTAL 2011 TAXABLE HOUSING BOND
5,WD.00
3,1�1.00
1,aSlt.N
62,15W%
010
U QUINTA REDEVELOPMENT AGENCY ADJUSTED 113112012 REMAINING
EXPENDITURE SUMMARY BUDGET EXPENDITURES ENCUMBERED BUDGET
PR9JECT AREA NO, I I
LOINIMODERATE TAX FUND:
SERMCES
522.S50 DO
251,81159
0 w
271,038A1
2,,d TRUST DEED PROGRAM
520,000�00
81 ow 00
Bw
439,M 00
HABITAT FOR HUMANITY-
3w,16I) 00
5 1W 00
0,00
295.060,00
I-ANDACQUISITION
000
000
0.0
000
LOW MOD HOUSING PROJECTS
0 w
000
000
Bw
FORECLOSURE
aw,wo.w
Bw
000
800 000'm
REIMBURSEMENT TO GEN FUND
461,741.M
413,550�03
000
4SIN, 94
TRANSFERS OUT
1146165600
76M 671
3Q�l 21
TOTAL LOW/MOD TAX
1036159 00
a, 11!4"73,44
a
Hm,
5 �,�,�,u .
DEBT SERVICE FUND:
SERVICES
429 212 00
428.524,W
0 OD
687.70
BOND PRINCIPAL
3,5`10 wo 00
3.540.000.00
000
0 w
BONDINTEREST
3.418,315 W
3,418.315 63
000
(0,63)
PASS THROUGH PAYMENTS
9,820.486 W
9 820.4U 57
000
1,43
ERAF SHIFT
0 w
000
Bw
0 w
TRANSFERS OUT
11,171:5137411
101 8747
1.
1!016100!M 34
TOTAL DEBT SERVICE
5 7�06
2 08 � 61g163 T666
�
a M1
5 04
CAPITAL IMPROVEMENT FUND:
SERVICES
205 7W 00
5783181
000
147.N8,19
REIMBURSEMENT TO GEN FUND
27198500
21373921
000
58 245 79
2011 TAXABLE HOUSING BOND(249)
SERVICES 11,001)�oo 8,67822 0,00 2,321 78
TRANSFERS OUT 25 11!51617 11 102,M.537 I.M1 251!1 1,;K 463,
TOTAL 20il TAXABLE HOUSING BOND 7 706 2 g D 2 516
oil
LA QUINTA REDEVELOPMENT AGENCY
REVENUE SUMMARY
PROJECT AREA NO. 2-
LOVIYMODIERATE TAX FUND:
Tax Increment
Allocated Interest
Non AlloWed Interest
Developer funding
2nd Trust Deed Repayment
Sale of Land
Transfer In
TOTAL LOWYMOD TAX
2004 LOW/MODERATE BOND FUND:
Allocated Interest
Home Sale P..c.
Non Allocated Interest
Transfer In
TOTAL LOWIMOD BOND
DEBT SERVICE FUND:
Tax Increment
Allocated Interest
Non Allocated Interest
Interval Advance Proceed.
Transfer In
TOTAL DEBT SERVICE
CAPITAL IMPROVEMENT FUND:
Atlocasdl Interest
Non Allomted Interest
M,sc Revenue
Sale of land
Transfers In
TOTAL CAPITAL IMPROVEMENT
07MI12011 - 01/3112012
ADJUSTED REMAINING %
BUDGET RECEIVED BUDGET RECEIVED
2,341481
2,U1,482,34
(034)
100000%
60,8D0.00
8,42949
52,37051
13,860%
0 w
000
coo
0 000%
0 w
0 DO
000
0 000%
0,w
8,74,199
(8,7",N)
0,000%
000
0,00
000
0.000%
0.00
coo
0.w
0000%
2 402t28Z00
2,358,656,82
43,625,18
98,100%
0,00
0�00
0.00
0�000%
0,00
0�00
0,00
0�000%
500.00
25500
24500
51.000%
000
0,00
0�00
0,014%
61,000%
9,W5,929 00
9,365,929.37
(037)
100.0DD%
200.00
(15,788,12)
15,98812
-7894,060%
0,00
218 00
(218 00)
0 00(1%
0.00
0 w
(),w
0,000%
1,453,098 00
1,338,W7.38
114,49062
92.120%
10�819,227.00
10,688,%&63
130,260.37
%.NO%
0 X)
(5,58587)
5.68587
0 ODO%
76,802 M
44,67804
32,123 96
58170%
0,00
0,00
0,w
0.000%
000
D.00
0 w
0,000%
1,6M,000 00
0,00
0000%
1 726.80200
38 W2.17
1,687,11
2260%
2011 TAXABLE NON -HOUSING BOND FUND:
PwIed Cash Allocated Interest
89 3M 00
0�00
89,35600
0,000%
Non Allo�ated Interest
000
000
0.00
0000%
Developer Agreement Funding
000
000
000
0 000%
Sale a Land Proceeds
0 OD
000
000
0000%
Rental Inwe
0 00
0,00
000
0 ODO%
Litigation Prcceeds
0 w
0,00
0 N
0,(XIi
Transfers In
0.00
0 w
0 w
0.000%
TOTAL 2011 TAXABLE NON -HOUSING BOND
89,35600
0.00
89 3%,W
0000%
012
Lj
LA QUINTA REDEVIELOPMENT AGENCY
ADJUSTED
1131/2012
REMAINING
EXPENDITURE SUMMARY
BUDGET
EXPENDITURES
ENCUMBERED
BUDGET
PROJECT AREA NO. 21
LOWINIODERATE TAX FUND:
SERVICES
325,390.00
135,71172
O.w
189,67828
2NO TRUST DEEDS
000
OOD
am
000
LOW MOD HOUSING PROJECTS
3 ON 00
0 w
0 Do
3.WO 00
FORECLOSURE ACQUISITION
4SOOW 00
0,00
COO
45D.00O 00
REIMBURSEMENT TO GEN FUND
261620,00
2M.5�1,62
0,00
27.075,38
TRANSFERS OUT
11.112:IM222]ODI
2!626353!426081.11
5
"IN,
TOTAL LOWIMOD TAX
2 0
2 1 .
R000,
6
RG's 5
2004 LOINIMODERATE 13OND FUND
HOUSING PROGRAMS 0,00 000 O'Do 0 w
LAND a w 000 DDO O.D)
TRANSFERS OUT 3 307 155 �00 220,537,53 000 3 083,617,47
TOTAL LOMMMOD BONO __SM
,u u" .3,01
DEBT SERVICE FUND:
SERVICES
2,16,068 00
241542,80
0 Do
4.52520
BOND PRINCIPAL
300 ON 00
l3O,NOOO
ON
250.000 00
BONDINTEREST
25275700
252,75707
0 w
(007)
PASS THROUGH PAYMENTS
8 215 043 00
8,019,032 65
0,00
196.01035
ERAF SHIFT
000
0 w
000
0,00
TRANSFERS OUT
3.65561600
200561547
000
1 5 3
TOTAL DEBT SERVICE
12.149!484 W
To 64U wN
000
2 ;� 503060
CAPITAL IMPROVEMENT FUND:
SERVICES
99.845,DO
55.739.75
O,w
44,105,25
CAPITAL
coo
000
0 w
000
REIMBURSEMENT TO GEN FUND
91,59200
6307411
O.w
28.51789
TRANSFERS OUT
1 905451 00
117 ll� IFI
� 1�
I .�, .11 1.
2011 RDA 2 TAXA13LE BOND FUND:1417)
SERVICES 1 1.�O DO, 6.49131 000 300869
ECONOMIC DEVELOPMENT 1,5w,000,00 O�w 0.00 1.500,000 00
---T99r4W7F — — — — — — — TT15TT3 8
TRANSFERS OUT 2 422,M 00 2659,82 11 2!g4231,72' 17
TOTAL RDA NO. 2 TAXABLE BOND � a M —2 94B
Tit�p 4 4 a"
AGENDA CATEGORY:
COUNCIL/SA MEETING DATE: March 20, 2012 ]BUSINESS SESSION:
ITEM TITLE: Adoption of a Resolution Approving an
Amended Recognized Obligation Payment Schedule of CONSENT CALENDAR:
the Former La Quinta Redevelopment Agency for the STUDY SESSION:
Period of January 2012 through June 2012
PUBLIC HEARING:
RECOMMENDATION:
Adopt a Resolution approving the amended Recognized Obligation Payment Schedule
for the period of January 2012 through June 2012.
FISCAL IMPLICATIONS:
Approval of the amended Recognized Obligation Payment Schedule ("ROPS") will
result in a decrease in the administrative allowance (5% of total ROPS for this period)
of approximately $250,000. This is a preliminary estimate only — staff is working to
finalize this estimate.
BACKGROUND AND OVERVIEW:
The Successor Agency initially approved a Recognized Obligation Payment Schedule
for the period of January 2012 through June 2012 at its February 21, 2012 meeting.
However, based on recent communication from the State Department of Finance
("DOF"), staff has made amendments to the ROPS for this period. The changes are
being recommended by staff to avoid the DOF's threat that the payments to the City
as Successor Agency could be delayed due certain items being included in the ROPS.
The changes include:
Under PA1, the DOF has questioned the enforceability of the agreement with La
Quinta Palms Realty for purchase and rehabilitation of foreclosed homes. Staff
believes this is an enforceable obligation and will leave it on the ROPS for
Oversight Board consideration. However, staff has removed the monthly
payments from the schedule as of this point in time pending a determination on
the enforceability of this agreement. is * o,14
Under PA2, the DOF has questioned the construction of Washington Street
Improvements, given there is no construction contract in place. Staff contends
this is an enforceable obligation, as the former RDA made a written commitment
to the United States Department of Agriculture -Rural Development to complete
the improvements. The USDA-RD noted that their decision to allow the transfer
of the property to the former RDA was based on this commitment, Therefore,
staff is leaving the item on the ROPS, but has removed the monthly payments
from the schedule.
Additionally, because the final disposition of housing bond funds is currently in
question, the Washington Street Apartments project has been placed on hold.
Therefore, payments originally listed in the ROPS under a contract with the
Rosenow Spevacek Group for construction and bid document preparation have
been removed from the monthly payment schedule.
On April 4, 2012, the Oversight Board will review this ROPS and the ROPS for the
period of July 201 2-December 2012. Staff will report back to the Successor Agency
the outcome of the Oversight Board's review.
FINDINGS AND ALTERNATIVES:
The alternatives available to the Successor Agency include:
1 Adopt a Resolution approving the amended Recognized Obligation Payment
Schedule for the period of January 2012 through June 2012; or
2. Do not adopt a Resolution approving the amended Recognized Obligation
Payment Schedule for the period of January 2012 through June 2012; or
3. Provide staff with alternative direction.
Respectfully submitted,
Debbie Powell
Economic Develo pment/H o using Manager
Approved for submission by:
Mark Weiss, Interim Exec jtive Director
015
RESOLUTION NO. SA 2012 -
A RESOLUTION OF THE CITY OF LA QUINTA ACTING
AS THE SUCCESSOR AGENGY TO LA QUINTA
REDEVELOPMENT AGENCY ADOPTING AN AMENDED
RECOGNIZED OBLIGATION PAYMENT SCHEDULE FOR
THE PERIOD OF JANUARY 2012 THROUGH JUNE 2012
WHEREAS, the City Council of the City of La Quinta ("City Council" or "City,"
as applicable) approved and adopted (i) the Redevelopment Plan for La Quinta Project
Area No. 1 ("Project Area No. 1" or "Project Area No. 1 Redevelopment Plan," as
applicable) on November 29, 1983, by Ordinance No. 43, as amended on December
20, 1994, by Ordinance No. 258, on August 19, 2003, by Ordinance No. 388, and on
March 16, 2004, by Ordinance No. 402; and (ii) the Redevelopment Plan for La Quinta
Redevelopment Project Area No. 2 ("Project Area No. 2" or "Project Area No. 2
Redevelopment Plan," as applicable) on May 16, 1989, by Ordinance No. 139, as
amended on December 20, 1994, by Ordinance No. 259, on February 3, 2004, by
Ordinance No. 399, on March 16, 2004, by Ordinance No. 403, and on March 16,
2004, by Ordinance No. 404; and
WHEREAS, the La Quinta Redevelopment Agency ("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, at seq.) ("CRL"); and
WHEREAS, as part of the 2011-12 State budget bill, the California
Legislature enacted and the Governor signed, companion bill ABx1 26 requiring that
each redevelopment agency be dissolved; and
WHEREAS, an action challenging the constitutionality of ABx1 26 and Al3x1
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 34169 requires successor
agencies to prepare and adopt a "Recognized Obligation Payment Schedule" that
lists all obligations of the former redevelopment agency that are enforceable within
the meaning of subdivision (d) of Section 34167 for the period of January 2012
through June 2012; and
�. 41 0,16
Resolution No. SA 2012-
Adoption of Recognized Obligation Payment Schedule
Adopted: March 20, 2012
Page 2
WHEREAS, on February 21, 2012, the City of La Quinta acting as the
Successor Agency to the La Quinta Redevelopment Agency adopted by Resolution
Number SA 2012-001 approving a Recognized Obligation Payment Schedule for
the period of January 201 2-June 2012; and
WHEREAS, the City of La Quinta acting as the Successor Agency to the La
Quinta Redevelopment Agency wishes to amend the ROPS, which is permitted
under Health & Safety Code Section 34177(a)(1); and
WHEREAS, all other legal prerequisites to the adoption of this Resolution
have occurred.
NOW THEREFORE, BE IT RESOLVED, by the City of La Quinta Acting as 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. Adoption of a Recognized Obligation Payment Schedule. In order to
enable the City of La Quinta as Successor Agency to strictly comply with ABx1 26,
and based on the Recitals set forth above, the Successor Agency hereby adopts
the Schedule attached hereto as Exhibit A as the Recognized Obligation Payment
Schedule for the period of January 2012 through June 2012. 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 Successor Agency hereby authorizes and directs
the Interim Executive Director to take any action and execute any documents
necessary to implement this Resolution, and further authorizes the Interim
Executive Director to forward the Recognized Obligation Payment Schedule to the
Oversight Board.
11
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 Successor Agency hereby declares that it would
have adopted this Resolution irrespective of the invalidity of any particular portion
thereof.
017
Resolution No. $A 2012-
Adoption of Recognized Obligation Payment Schedule
Adopted: March 20, 2012
Page 3
PASSED, APPROVED, AND ADOPTED at the meeting of the City of La
Quinta Acting as the Successor Agency to the La Quinta Redevelopment Agency
held this 20th of March, 2012, by the following vote, to wit:
AYES:
NOES:
ABSENT:
ABSTAIN:
Don Adolph, Mayor
City of La Quinta
Agency to the La
Agency
ATTEST:
SUSAN MAYSELS, Interim Secretary
City of La Quinta Acting as Successor Agency
To the La Quinta Redevelopment Agency .
(AGENCY SEAL)
APPROVED AS TO FORM:
M. KATHERINE JENSON, Successor Agency Counsel
City of La Quinta Acting as Successor Agency
To the La Quinta Redevelopment Agency
Acting as Successor
Quinta Redevelopment
018
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T-af ot
COUNCIL/SA MEETING DATE: March 20, 2012
ITEM TITLE: Consideration of Successor Agency
Administrative Budget for the Period of February 1,
2012 through June 30, 2012
RECOMMENDATION:
AGENDA CATEGORY:
BUSINESS SESSION:
CONSENT CALENDAR:
STUDY SESSION:
PUBLIC HEARING:
Approve the Successor Agency Administrative Budget for the period of February 1,
2012 through June 30, 2012.
FISCAL IMPLICATIONS:
PerABx1 26, the Successor Agency will be reimbursed for administrative costs related
to Successor Agency (SA) and Oversight Board administration.
For the period of February 1, 2012 through June 30, 2012, ABx1 26 provides for an
administrative allowance of 5% of the amount listed on the ROPS covering the same
time period. At this time, the Recognized Obligation Payment Schedule (ROPS) totals
$'10,825,400. Five percent of this total is $541,270. However, this total is subject
to change based on review and approval by the Oversight Board and State Department
of Finance (DOF). The administrative budget for this time period is estimated at
$501,127 (Attachment 1)- ' This budget is still being refined; an updated version may
be handed out at the Successor Agency meeting.
It should be noted that overestimating administrative costs does not benefit successor
agencies, as Section 34186 of the Dissolution Act requires a reconciliation of the
amount distributed to successor agencies and the administrative costs actually paid.
If the successor agency has been overpaid for administrative costs, it will result in
downward adjustment to the amount distributed to the successor agency in the
following six month period.
0 031
BACKGROUND AND OVERVIEW:
ABx1 26, the "Dissolution Act," provides an administrative budget for the successor
agencies to carry out wind -down activities of the former redevelopment agencies and
to administer the Oversight Board. The Dissolution Act requires the successor
agencies to prepare an administrative budget every six months.
The estimates include staff time required to carry out Successor Agency and Oversight
Board activities and administration, the cost of IT support, supplies, printing of
agendas and agenda packets, posting, SA insurance, facility rental and associated
facility costs, and legal and consulting costs.
Once the successor agency reviews and approves the administrative budget, they are
required to be considered and approved by the Oversight Board. This will take place at
the Oversight Board's meeting on April 4, 2012.
While the Dissolution Act does not require the administrative budgets be submitted to
the DOF, the DOF does review the actions of the oversight boards the day after the
oversight board meeting takes place. Therefore, it could be assumed that the DOF
could question an oversight board's approval of a successor agency's administrative
budget.
FINDINGS AND ALTERNATIVES:
The alternatives available to the Successor Agency include:
1 Approve the Successor Agency Administrative Budgets for the period of
February 1, 2012 through June 30, 2012; or
2. Do not approve the Successor Agency Administrative Budgets for the period of
February 1, 2012 through June 30, 2012; or
3. Provide staff with alternative direction.
Respectfully submitted,
Debbie Powell
Economic Development/Housing Manager
Approved for submission by:
Mark Weiss, Interim Executive Director
Attachment: 1 . Administrative Budget for 2-1-12 through 6-30-12
of 032
ATTACHMENT I
LA QUINTA SUCCESSOR AGENCY ADMINISTRATIVE BUDGET
Feb -Jun 2012
Total Cost
Administrative Allowance Charges (Paid by Admin Allowance)
Successor Agency
Weekly Staff Meetings
$
22,350
Staff Reports & Research
$
32,722
Agendas & Minutes
$
11,818
ROPS & Administrative Budget Preparation
$
27,727
Overall SA Management
$
40,555
Records Management
$
4,195
Maintenance of SA Property Info
$
3,346
General Correspondence
$
4,859
Attend SA Meetings
$
11,401
Coordinate & Prep SA Mtgs
$
1,200
Financial Management/Budgeting/Accounts Payable
$
49,509
Annual Reporting
$
21,834
Subtotal Successor Agency
$
231,516
Oversight Board
Weekly Staff Meetings
$
12,436
Staff Reports & Research
$
32,065
Agendas & Minutes
$
9,950
Overall OB Management
$
23,669
Records Management& Website
$
3,315
Oversight Board Preparation & Meetings
$
18,719
Financial Management
$
16,886
Annual Reporting
$
19,651
General Correspondence
$
1,172
Subtotal Oversight Board
$
137,861
Infrastructure
Building Rent
SuccessorAgency Supplies & Publications
$
2,000
Oversight Board Supplies and Publications
$
750
IT Support
$
10,000
Other Consulting/Outside Services
$
50,000
Printing/Mailing
$
5,000
Risk Management/insurance
$
50,000
Edcuational Expenses Related to ABx1 26 Implementation
$
14,000
Subtotal Infrastructure
$
131,750
Total Administrative Allowance Charges
$
502,127
Successor Agency Direct Charges (individual ROPS)
Additional Staff Costs Pursuant to Agreements None
Requested this Period
Building Rental
$
1,074,348
Project Based Activities
Home Purchase and Rehab Program Management
$
-
Habitat For Humanity Program Management
$
-
Torre Nissan Project Management
$
5,216
Coral Mountain Project Management
$
11,188
Washington Street Project Management
$
-
Total Direct Charges
$
1,090,752
Administrative Support (Individual ROPS)
Legal Support Successor Agency Contract
$
513,000
Successor Agency Implementation Support Contract
$
305,000
Total Contracted Administrative Support
$
818,000
TOTAL ADMINISTRATIVE BUDGET
$
2,409,879
0 033
T-Vf 4 4 a"
AGENDA CATEGORY:
COUNCIIJSA MEETING DATE: March 20, 2012 2
BUSINESS SESSION:
ITEMTITLE: Consideration to Negotiate a New Contract
with Rosenow Spevacek Group for Economic CONSENT CALENDAR:
Development and Housing Services for the City/ STUDY SESSION:
Successor Agency/Housing Authority
PUBLIC HEARING:
RECOMMENDATION:
Authorize staff to negotiate a new contract with the Rosenow Spevacek Group for
consulting services related to Successor Agency administration and affordable housing
compliance monitoring.
FISCAL IMPLICATIONS:
Staff will negotiate a contract for Housing Authority approval; the contract amount will
be included in the Fiscal Year 2012/2013 Successor Agency budget, and will be
included on the Recognized Obligation Payment Schedule for reimbursement from
property taxes.
BACKGROUND AND OVERVIEW:
The Rosenow Spevacek Group ("RSG") has provided economic development,
redevelopment, financial management, and affordable housing services for the City and
Redevelopment Agency since 1989. RSG was originally selected upon culmination of
a request for proposals process. The contract has been extended four times based on
Chapter 3.32 of the City's Municipal Code, section 3.32.050 (C), which states, "The
City Council may authorize award and execution of service contracts with no
competitive proposals where experience with the proposed service provider has
demonstrated competence and satisfactory performance or in the renewal or
renegotiation of existing contracts for continuing services."
RSG's current contract expires in May 2012. Given the dissolution of redevelopment
in California, separate contracts must be negotiated for the City, Successor Agency,
and Housing Authority. Due to future economic uncertainty, staff is proposing one-
year terms for these contracts, with the option to renew for an additional year.
,.*'a 034
Staff is proposing RSG provide the following services:
Assistance with Successor Agency administration
Assist with monitoring of affordable housing programs to ensure residents meet
income and asset requirements
Prepare required annual reports for the California Department of Housing and
Community Development
Administer the Housing Authority's silent second trust deed program, which
was transferred upon the dissolution of redevelopment.
It should be noted that the costs for the first item can be covered by the Successor
Agency administrative budget allowance; and the costs for the next three items can be
covered by the Recognized Obligation Payment Schedule.
Staff is seeking Successor Agency authorization to negotiate a new contract with
RSG, or direction to prepare a Request for Proposals for the services listed above.
FINDINGS AND ALTERNATIVES:
The alternatives available to the Successor Agency include:
1 Authorize staff to negotiate a new contract with the Rosenow Spevacek Group
for consulting services related to Successor Agency administration and
affordable housing compliance monitoring; or
2. Do not authorize staff to negotiate a new contract with the Rosenow Spevacek
Group and direct staff to prepare a Request for Proposals for the above -listed
services; or
3. Provide staff with alternative direction.
Respectfully submitted,
�1� 11196,d�
Debbie Pow6ll
Economic Development/Housing Manager
Approved for submission by:
1�, I '� ,-:-
Mark Weiss, Interim Executive Director
110