Loading...
2015 02 17 SASUCCESSOR AGENCY To The La Quinta Redevelopment Agency AGENDA CITY HALL COUNCIL CHAMBERS 78-495 Calle Tampico, La Quinta SPECIAL MEETING ON TUESDAY, FEBRUARY 17, 2015 AT 4:00 P.M. CALL TO ORDER ROLL CALL: Agency Members: Franklin, Osborne, Peña, Radi, Chairperson Evans CLOSED SESSION - NONE PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA At this time, members of the public may address the Successor Agency on any matter not listed on the agenda. Please complete a "request to speak" form and limit your comments to three minutes. The Successor Agency values your comments; however in accordance with State law, no action shall be taken on any item not appearing on the agenda unless it is an emergency item authorized by GC 54954.2(b). CONFIRMATION OF AGENDA ANNOUNCEMENTS, PRESENTATIONS AND WRITTEN COMMUNICATIONS NONE CONSENT CALENDAR NOTE: Consent Calendar items are routine in nature and can be approved by one motion. PAGE 1. APPROVE MINUTES OF OCTOBER 21, 2014 4 2. ADOPT RESOLUTION APPROVING A RECOGNIZED OBLIGATION 6 PAYMENT SCHEDULE OF THE FORMER LA QUINTA REDEVELOPMENT AGENCY FOR THE PERIOD OF JULY 1 THROUGH DECEMBER 31, 2015 \[RESOLUTION SA 2015-001\] Special SUCCESSOR AGENCY TO RDA AGENDA 1 FEBRUARY 17, 2015 1 3. ADOPT RESOLUTION APPROVING THE SUCCESSOR AGENCY 20 ADMINISTRATIVE BUDGET FOR THE PERIOD OF JULY 1 THROUGH DECEMBER 31, 2015 \[RESOLUTION SA 2015-002\] BUSINESS SESSION - NONE STUDY SESSION - NONE REPORTS AND INFORMATIONAL ITEMS NONE DEPARTMENTAL REPORTS - NONE CHAIR AND BOARD MEMBERS' ITEMS NONE PUBLIC HEARINGS NONE ADJOURNMENT ************************************* For information about the next special meeting of the City as Successor Agency to the La Quinta Redevelopment Agency 760-777-7000. DECLARATION OF POSTING I, Teresa Thompson, Deputy City Clerk of the City as Successor Agency to the La Quinta Redevelopment Agency, do hereby declare that the foregoing agenda was posted near the entrance to the Council Chambers at 78-495 Calle Tampico and on the bulletin boards at the La Quinta Cove Post Office at 51-321 Avenida Bermudas and at the Stater Brothers Supermarket at 78-630 Highway 111, on February 13, 2015. DATED: February 13, 2015 SUSAN MAYSELS, Agency Secretary Successor Agency to the La Quinta Redevelopment Agency Special SUCCESSOR AGENCY TO RDA AGENDA 2 FEBRUARY 17, 2015 2 Public Notices The La Quinta City Council Chamber is handicapped accessible. If special equipment is needed for the hearing impaired, please call the -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 Successor Agency, 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 Successor Agency during a 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 Successor Agency 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. Special SUCCESSOR AGENCY TO RDA AGENDA 3 FEBRUARY 17, 2015 3 CONSENT :1 SUCCESSOR AGENCY TO THE LA QUINTA REDEVELOPMENT AGENCY MINUTES TUESDAY, OCTOBER 21, 2014 A regular meeting of the La Quinta City Council in their capacity as Successor Agency to the La Quinta Redevelopment Agency ( 5:53 pm by Chairperson Adolph. PRESENT: Agency Members Evans, Franklin, Henderson, Osborne, Chair Adolph ABSENT: None CLOSED SESSION None PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA None CONFIRMATION OF AGENDA Confirmed PRESENTATIONS None WRITTEN COMMUNICATIONS None CONSENT CALENDAR 1. APPROVE MINUTES OF SEPTEMBER 16, 2014 MOTION A motion was made and seconded by Agency Members Evans/Henderson to approve the Consent Calendar as recommended. Motion passed unanimously. DEPARTMENT REPORTS None BUSINESS SESSION None STUDY SESSION None ADJOURNMENT There being no further business, it was moved and seconded by Agency Members Henderson/Franklin to adjourn at 5:54 p.m. Motion passed unanimously. Respectfully submitted, SUSAN MAYSELS, Agency Secretary CITY AS SUCCESSOR AGENCY TO RDA 1 OCTOBER 21, 2014 4 SA MEETING DATE: February 17, 2015 ITEM TITLE: ADOPT RESOLUTION APPROVING A RECOGNIZED OBLIGATION PAYMENT SCHEDULE OF THE FORMER LA QUINTA REDEVELOPMENT AGENCY FOR THE PERIOD OF JULY 1 THROUGH DECEMBER 31, 2015 AGENDA CATEGORY: BUSINESS SESSION: CONSENT CALENDAR: 2 STUDY SESSION: PUBLIC HEARING: RECOMMENDED ACTION: Adopt a Resolution approving a Recognized Obligation Payment Schedule for the period of July 1 through December 31, 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 ROPS to the Department of Finance (DOF), Administrative Officer, and the County Auditor-Controller every six months. The attached ROPS (Attachment 1) identifies $15,221,032 of Enforceable Obligations that must be funded during the first half of Fiscal Year 2015/2016. FISCAL IMPACT: The Successor Agency requests authorization to expend $2,672,038 from bond proceeds, and an allocation of $12,548,994 of property tax revenue from the Redevelopment Property Tax Trust Fund (RPTTF). The $12,548,994 of RPTTF funding includes $365,505 of administrative expenses (for the six-month period). The remaining $12,183,489 of the RPTTF allocation 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 first six months of FY 2015/2016. These obligations include 5 tax allocation bond debt service payments, third party contracts and administrative costs. The ROPS must be submitted to the above-mentioned entities by March 1, 2015. 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 ROPS 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. ROPS 15-16A for July 1 through December 31, 2015 6 RESOLUTION NO. SA 2015- A RESOLUTION OF THE SUCCESSOR AGENCY TO THE LA QUINTA REDEVELOPMENT AGENCY ADOPTING RECOGNIZED OBLIGATION PAYMENT SCHEDULE 15- 16A FOR THE PERIOD OF JULY 1, 2015 THROUGH DECEMBER 31, 2015 WHEREAS, the City Council of the City as applicable) previously approved and adopted (i) the Redevelopment Plan for La velopment ; and (ii) the Redevelopment Plan for La Quinta Redevelopment as applicable); WHEREAS, the former La Quinta Redevelopment 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, Redevelopment Law (Health and Safety Code § 33000, et seq.) ; and WHEREAS, as part of the 2011-12 State budget bill, the California Legislature enacted and the Governor signed, ABx1 26 requiring that each redevelopment agency be dissolved and Assembly Bill 27 at 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 adopted City Council Resolution No. 2012-successor a the Agency; and WHEREAS, on June 27, 2012, the California Legislature enacted, and the 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, 7 Resolution No. SA 2015- Adoption of Recognized Obligation Payment Schedule Adopted: February 17, 2015 Page 2 of 3 that lists all obligations of the former redevelopment agency that are enforceable within the meaning of subdivision (d) of Section 34171; and WHEREAS, Successor Agency to the La Quinta Redevelopment Agency staff have prepared ROPS 15-16A for the period of July 1, 2015 through December 31, 2015; and WHEREAS, all other legal prerequisites to the adoption of this Resolution have occurred. NOW THEREFORE, BE IT RESOLVED, by 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 15-16A In order to enable the Successor Agency to strictly comply with ABx1 26, and based on the Recitals set forth above, the Successor Agency hereby approves ROPS 15-16A attached hereto as Exhibit A as the Recognized Obligation Payment Schedule for the period of July 1, 2015 through December 31, 2015. Pursuant to Health & Safety Section 34173(e), the 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 Executive Director to submit ROPS 15-16A to the Oversight Board of the City to submit a copy of the approved ROPS 15-16A 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 Successor Agency hereby declares that it would have adopted this Resolution irrespective of the invalidity of any particular portion thereof. SECTION 5. The Successor Agency Secretary shall certify to the adoption of this Resolution. 8 Resolution No. SA 2015- Adoption of Recognized Obligation Payment Schedule Adopted: February 17, 2015 Page 3 of 3 PASSED, APPROVED, AND ADOPTED at the meeting of the Successor Agency to the La Quinta Redevelopment Agency held this 17th of February 2015, by the following vote, to wit: AYES: NOES: ABSENT: ABSTAIN: __________________________________________ LINDA EVANS, Chairperson City of La Quinta Acting as Successor Agency to the La Quinta Redevelopment Agency ATTEST: _____________________________________________ 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, Successor Agency Counsel City of La Quinta Acting as Successor Agency to the La Quinta Redevelopment Agency 9 10 11 14 18 SA MEETING DATE: FEBRUARY 17, 2015 ITEM TITLE: ADOPT RESOLUTION APPROVING THE SUCCESSOR AGENCY ADMINISTRATIVE BUDGET FOR THE PERIOD OF JULY 1 THROUGH DECEMBER 31, 2015 AGENDA CATEGORY: BUSINESS SESSION: CONSENT CALENDAR: 3 STUDY SESSION: PUBLIC HEARING: RECOMMENDED ACTION: Adopt a resolution approving the Successor Agency Administrative Budget for the period of July 1 through December 31, 2015. EXECUTIVE SUMMARY: The La Quinta Successor Agency (SA) administers the former Redevelopment Agency-down activities and the Oversight Board (OB). ABx1 26 (Dissolution Act) provides for an administrative allowance to carry out these wind-down activities. The Dissolution Act requires the SA to prepare an administrative budget every six months, which is reviewed and approved by the OB. FISCAL IMPACT: For the period of July 1 through December 31, 2015, the Redevelopment Property Tax Trust Fund (RPTTF) allocation for non-administrative costs totals $12,183,489. Three percent of this total, $365,505, is requested from RPTTF funds for administrative costs associated with the activities of the Successor Agency. BACKGROUND/ANALYSIS: The Dissolution Act provides an administrative allowance for all successor agencies to carry out wind-down activities of their former redevelopment agencies and to administer the oversight boards. The amount is equal to three percent of the RPTTF allocation listed on the Recognized Obligation Payment Schedule, subject to change based on review and approval by the DOF. 19 The estimates below include staff time required to carry out SA and OB activities: SA Administrative Budget Personnel Costs 233,088 Professional Contract Services 102,400 Supplies & Publications 4,017 Printing/Mailing/Advertising 1,000 Information Technology Costs 8,000 Office & Equipment Costs 17,000 Total Administrative Costs $365,505 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 to be submitted to the DOF, the DOF does review the actions of oversight boards the day after the oversight board meetings take place. Therefore, the DOF may question an oversight bapproval of a successor a 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 July 1 through December 31, 2015 20 RESOLUTION NO. SA 2015- A RESOLUTION OF THE CITY OF LA QUINTA ACTING AS THE SUCCESSOR AGENCY TO LA QUINTA REDEVELOPMENT AGENCY APPROVING THE SUCCESSOR AGENCY ADMINISTRATIVE BUDGET FOR THE PERIOD OF JULY 1, 2015 THROUGH DECEMBER 31, 2015 WHEREAS, the City Council of the City of La Quinta or City, 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 o the provisions of the California Community Redevelopment Law (Health and Safety Code § 33000, et seq WHEREAS, as part of the 2011-12 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 agencys 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 of July 1, 2015 through December 31, 2015 (the Administrative Budget); and 21 Resolution No. SA 2015- Adoption of SA Administrative Budget Adopted: February 17, 2015 Page 2 WHEREAS, all other legal prerequisites to the adoption of this Resolution have occurred. NOW THEREFORE, BE IT RESOLVED, by City of La Quinta acting as the 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 Successor Agency hereby approves the Administrative Budget, which Administrative Budget 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 City of La Quinta acting as the Successor Agency to La Quinta Redevelopment Agency held this 17th day of February, 2015, by the following vote, to wit: AYES: NOES: ABSENT: ABSTAIN: ______________________________________ Linda Evans, Mayor City of La Quinta Acting as Successor Agency to the La Quinta Redevelopment Agency ATTEST: 22 Resolution No. SA 2015- Adoption of SA Administrative Budget Adopted: February 17, 2015 Page 3 ___________________________________________ SUSAN MAYSELS, City Clerk City of La Quinta Acting as Successor Agency To the La Quinta Redevelopment Agency (AGENCY SEAL) APPROVED AS TO FORM: ____________________________________________ WILLIAM H. IHRKE, Successor Agency Counsel City of La Quinta Acting as Successor Agency To the La Quinta Redevelopment Agency 23 ATTACHMENT 1 SUCCESSOR AGENCY/OVERSIGHT BOARD JULY - DECEMBER 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$102,400 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$45,250 Consulting Services for Successor Agency$45,200 SUPPLIES AND PUBLICATIONS$4,017 This account provides for various office supplies and publications to be used by SA and OB staff and board members Successor Agency Supplies & Publications$2,517 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$365,505 FUNDING SOURCES: Total Administrative Costs$365,505 3% Administrative Allowance per ROPS 15-16A$ 365,505 Excess Administrative costs $0 F:\\ROPS\\La Quinta ROPS 15-16A\\Admin Budget Jul-Dec 2015 FINAL 24