CC Resolution 2014-027RESOLUTION NO. 2014 - 027
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF LA QUINTA, CALIFORNIA, APPROVING THE
SUBORDINATION OF STATUTORY PASS -THROUGH
PAYMENTS ALLOCATED TO THE CITY OF LA
QUINTA IN CONNECTION WITH THE DESERT
COMMUNITIES REDEVELOPMENT PROJECT AREA
NO. 4 TO THE SUCCESSOR AGENCY FOR THE
COUNTY OF RIVERSIDE PAYMENT OBLIGATIONS
FOR REFUND OF BOND ISSUE 2010A AND 2010B
WHEREAS, AB 1484 added Health and Safety Code section 34177.5,
which provides, among other provisions, that a successor agency has the
authority, rights, and powers of redevelopment agencies for the purpose of
issuing bonds or.,incurring other indebtedness for specified purposes, including
but not limited to refunding existing bonds or other indebtedness of the former
redevelopment agency; and
WHEREAS, the Successor Agency for the County of Riverside (Agency)
intends to issue a series of refunding bonds to be secured by the Agency's tax
increment revenue, and .
WHEREAS, California Health and Safety Code Section 33607.5(e)
provides that the Agency may, with a taxing entity's approval, subordinate
amounts payable from tax increments of a redevelopment project area
(Statutory Pass -Through Payments) to bonds issued by the Agency; and
WHEREAS, the Agency has requested that the City of La Quinta agree to
subordinate the Statutory Pass -Through Payments it receives from the County
of Riverside Redevelopment Project Area No. 4 to the debt service- on the
Bonds.
WHEREAS, the Agency has provided a tax revenue projection summary
that includes debt service analysis showing sufficient funds available to pay
both debt service on the Bonds and the Statutory Pass -Through Payments
required to pay the City of La Quinta.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
La Quinta, California, as follows:
Resolution No. 2014-027
Subordination of Statutory Pass -Through Payments
Adopted: June 17, 2014
Page 2 of 2
The City Manager is authorized to execute the attached Acknowledgement
(Exhibit A) and submit the Acknowledgement to the Agency by July 18, 2014.
PASSED, APPROVED, and ADOPTED at a regular meeting of the La
Quinta City Council held on this 17th day of June 2014 by the following vote:
AYES: Council Members Evans, Franklin, Henderson, Osborne, Mayor Adolph
NOES: None
ABSENT: None
ABSTAIN: None 4, -1
DON ADO PH, Mayor
City of La Quinta, California
ATTEST:
SUSAN MAYSELS, City Jerk
City of La Quinta, California
(CITY SEAL)
APPROVED AS TO FORM:
, Ulty Attorney
City of La Quinta
EXHIBIT A
ACKNOWLEDGEMENT
(Successor Agency for the County ofRiverside Redevelopment Proiect Area No. 41
In response to the request by Successor Agency for the County of Riverside (the "Agency") set forth in a
letter dated May 28, ,2014 from , the Agency's (the "Subordination
Request"), to approve the.Agency's subordination of Statutory Pass -through Payments, the. City of La Quinta
hereby confirms its approval of the subordination of the Agency's obligation ° to pay Statutory Pass -through
Payments to City of La Quinta in connection with the Redevelopment Project Area No. 1 to the Agency's payment
obligations for the Bonds.
The governing board of the City of La Quinta has taken formal_ action on , 2014, to
acknowledge and approve this subordination. A copy of the related [resolution % minute order] is enclosed.
All capitalized terms used but not defined in this"Acknowledgement have the meaning ascribed to them in
the Subordination Request.
IN WITNESS WHEREOF, the undersigned has caused this Acknowledgement to be signed by its authorized
representative on this day of , 2014.
City of La Quinta