Agenda Item No. 6A September 24, 2013

Transcription

1 Agenda Item No. 6A September 24, 2013 TO: FROM: SUBJECT: Honorable Mayor and City Council Members, Acting as the Governing Board of the Successor Agency of the Redevelopment Agency of the City of Vacaville Attn: Laura C. Kuhn, City Manager/Executive Director Emily Cantu, Interim Director of Housing Services RESOLUTION OF THE SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF VACAVILLE APPROVING THE JANUARY 1 JUNE 30, 2014 RECOGNIZED OBLIGATION PAYMENT SCHEDULE AND SUCCESSOR AGENCY ADMINISTRATIVE BUDGET DISCUSSION: Every six months, the City, acting as the Successor Agency, must approve the Recognized Obligation Payment Schedule (ROPS) and Successor Agency Administrative Budget. The ROPS lists the financial obligations of the former Redevelopment Agency of the City of Vacaville: Payments related to contracts and agreements, projectspecific costs, bonds, and other miscellaneous financial obligations for a specific six month period. These payments and the allowed Administrative Budget amount are made using net property tax revenues (Redevelopment Property Tax Trust Fund RPTTF) and other revenues (such as rent or loan payments). The Successor Agency is requested to approve the January June, 2014 ROPS (ROPS 13 14B) (Attachment 1) and corresponding Administrative Budget (Attachment 2). Contents of these documents are described below. In accordance with AB 1484: The ROPS must be prepared on a format provided by the Department of Finance (DOF). The DOF issued a new required format on August 15, 2013 that includes a new form to report Fund Balances. If the ROPS is not submitted to the DOF by October 1, 2013, the City of Vacaville may be charged $10,000 per day in civil fines. If the ROPS is not submitted within 10 days of the due date, the allowed Administrative Budget amount is reduced by 25%. A. January June, 2014 ROPS (ROPS 1314B) Page 1: Page 2: Summary of Recognized Obligation Payment Schedule Overview of obligations to be paid during the 1/1/146/30/14 period. Reconciles ROPS 1314B RPTTF request with unexpended funds received for the 1/1/136/30/13 period and available Fund Balances. The current period RPTTF request has been offset by $2,339,098 based on unexpended funds from the prior period. Report of Fund Balances Reports other revenues received with actual and anticipated expenditures and reserves through 12/31/13.

2 Page 34: ROPS 1314B Bond related expenditures including payments and proceeds, Administrative Allowance, and Expenditures for contracts, leases, and agreements. One new payment has been added to the ROPS VUSD Settlement: This is a onetime payment to correct former redevelopment agency pass through distributions for fiscal year and based on an incorrect withholding from the fiscal year pass through and a correction in the pass through calculation for the pass through. VUSD has agreed with this settlement amount: Fiscal Year Reason Amount Incorrect withholding $ 54, Recalculation on pre Education Revenue Augmentation Fund basis $193, Total Under Payment: $247, Page 5: Page 6: Prior Period Estimated Obligations versus Actual Payments Reconciliation of 1/1/136/30/13 expenditures against RPTTF received by the Successor Agency. RPTTF not expended is adjusted from the current period RPTTF request. Notes (Optional) B. January June, 2014 Administrative Budget The January June, 2014 Administrative Budget is attached for consideration. This budget provides for staffing of the Successor Agency, legal counsel, services/supplies, Oversight Board meeting support, and other related costs to wind down the former Redevelopment Agency over the sixmonth ROPS period. The allowed Administrative Budget amount is limited to the greater of $250,000 each fiscal year or 3% of the RPTTF request. Based on the requested RPTTF, the allowable Administrative Budget for this ROPS period is $223,161. The level and amount of staff work required for the Successor Agency to wind down the former Redevelopment Agency is not adequately supported by this allocation, so the City s General Fund supplements this budget. Per AB 1484, the balance remaining after ROPS obligations are paid, including the Administrative Allowance, will be deemed surplus and distributed to the taxing entities (Solano County, City of Vacaville, Vacaville Unified School District, etc.). In order to meet the AB 1484 mandated deadline, the Oversight Board of the Successor Agency of the City of Vacaville will consider approval of the January 1 June 30, 2014 ROPS at its September 25, 2013 meeting, with submittal to DOF prior to the October 1, 2013 deadline.

3 FISCAL IMPACT: Adoption of the ROPS allows the City, as Successor Agency, to pay enforceable obligations of the former Redevelopment Agency. However, the level and amount of staff work required for the Successor Agency to wind down the former Redevelopment Agency is not adequately supported by the 3% administrative allocation; which has a direct impact on the General Fund. RECOMMENDATION: By simple motion, that the City Council, in its capacity as Governing Board of the Successor Agency to the former Redevelopment Agency, adopt the subject resolution. ATTACHMENTS: Attachment 1: Attachment 2: January June, 2014 ROPS (ROPS 1314B) Administrative Budget

4 RESOLUTION NO. SA 2013 RESOLUTION OF THE SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF VACAVILLE APPROVING THE JANUARY 1 JUNE 30, 2014 RECOGNIZED OBLIGATION PAYMENT SCHEDULE AND SUCCESSOR AGENCY ADMINISTRATIVE BUDGET WHEREAS, the California State Legislature enacted Assembly Bill1X 26 (the "Dissolution Act") to dissolve redevelopment agencies formed under the Community Redevelopment Law (Health and Safety Code Section et seq.); and WHEREAS, on January 10, 2012 and pursuant to Health and Safety Code Section 34173, the City Council of the City of Vacaville (the "City Council") declared that the City of Vacaville, a municipal corporation (the "City"), would act as successor agency (the "Successor Agency") for the dissolved Redevelopment Agency of the City of Vacaville (the "Former RDA") effective February 1, 2012; and WHEREAS, on February 1, 2012, the Former RDA was dissolved pursuant to Health and Safety Code Section 34172; and WHEREAS, the Dissolution Act provides for the appointment of an oversight board (the "Oversight Board") with specific duties to approve certain Successor Agency actions pursuant to Health and Safety Code Section and to direct the Successor Agency in certain other actions pursuant to Health and Safety Code Section 34181; and WHEREAS, on June 27, 2012 the California State Legislature enacted Assembly Bill 1484 ( AB 1484 ) to provide technical and substantive amendments and clarifications to AB1X 26; and WHEREAS, Health and Safety Code Section 34177(l)((1) and (2)) is amended by AB 1484 requiring the Successor Agency to submit a fifth Recognized Obligation Payment Schedule (January 1 June 30, 2014 ROPS) to the State of California Department of Finance and make associated notifications and distributions after approval by the Oversight Board, no later than October 1, NOW, THEREFORE, BE IT RESOLVED, that the City Council, acting as the Governing Board of the Successor Agency, hereby adopts the January 1 June 30, 2014 ROPS (copy on file with the City Clerk). BE IT FURTHER RESOLVED, that the City Council, acting as the Governing Board of the Successor Agency, hereby authorizes and directs the City Manager or the City Manager's designee, acting on behalf of the Successor Agency, to file, post, mail or otherwise deliver via electronic mail, internet posting, and/or hardcopy, all notices and transmittals necessary or convenient in connection with the adoption of the January 1 June 30, 2014 ROPS.

5 I HEREBY CERTIFY that the foregoing resolution was introduced and passed by the City Council, acting as the Governing Board of the Successor Agency of the Redevelopment Agency of the City of Vacaville, at its regular meeting of September 24, 2013, by the following vote. ATTEST: AYES: NOES: ABSENT: Michelle A. Thornbrugh, Successor Agency Secretary

6 Recognized Obligation Payment Schedule (ROPS ) 1314B ROPS Detail January 1, 2014 through June 30, 2014 (Report Amounts in Whole Dollars) A B C D E F G H I J K L M N O P Contract/Agreement Contract/Agreement Total Outstanding Item # Project Name / Debt Obligation Obligation Type Execution Date Termination Date Payee Description/Project Scope Project Area Debt or Obligation Retired Bond Proceeds Reserve Balance Other Funds NonAdmin Admin SixMonth Total $ 148,568,660 $ 11,460,304 $ $ 72,436 $ 7,438,688 $ 223,161 $ 19,194, Tax Allocation Bonds Revenue Bonds Issued 8/1/2001 9/1/2031 US Bank Trust Services Bond issue to fund infrastructure I50580/VACA 37,040,200 N 42, ,224 $ 600, Tax Revenue Bonds ABAG Revenue Bonds Issued A Multifamily Mortgage Revenue Bonds Issued Taxable Housing Bonds Bonds Issued On or Before 12/31/ Taxable Housing Bonds Proceeds Tax Allocation Bonds Proceeds Tax Revenue Bonds ABAG Proceeds Bonds Issued On or Before 12/31/10 Revenue Bonds Issued Revenue Bonds Issued 8 Community Facilities District Fees OPA/DDA/Constructio n 9 VYSL Agreement OPA/DDA/Constructio n 10 Auto Mall Special Assessments Business Incentive Honda 4/1/2006 9/1/2026 US Bank Trust Services Bond issue to fund infrastructure I ,585,744 N 40,984 $ 40,984 6/28/ /1/2024 US Bank Trust Services Bond issue to fund housing projects I50580/VACA 2,025,720 N 43,342 $ 43,342 8/1/2006 9/1/2032 US Bank Trust Services Bond issue to fund housing projects I50580/VACA 28,340,641 N 509,858 $ 509,858 8/1/2006 9/1/2032 City of Vacaville (Housing Successor) 11 Auto Mall Special Assessments Business Incentive 12/31/1991 Upon payoff of Mazda 12 Auto Mall Special Assessments Business Incentive 5/6/1993 Upon payoff of Dodge/Chrysler/Jeep/Nissan 13 Auto Mall Special Assessments Business Incentive 11/3/1992 Upon payoff of Chevy 14 Auto Mall Special Assessments Business Incentive 11/3/1992 Upon payoff of Toyota 15 Auto Mall Special Assessments Business Incentive 3/15/2000 Upon payoff of Bartase 16 SERAF Loan SERAF/ERAF 12/1/2009 Upon payment of balance due Per H&S Section 34176(g)(1), $6,214, bond proceeds to fulfill legal obligations of tax allocation bond covenants secured with a pledge of Low and Moderate Income Housing Funds. Proceeds to be spent on housing projects as required by bond covenants. I50580/VACA 5,701,918 N 5,701,918 $ 5,701,918 8/1/2001 9/1/2031 Per H&S Section (c )(1), $175,000 (I50580) and $1,390,000 (VACA) bond proceeds derived from bonds issued on or before December 31, 2010 shall be used for the purposes for which the bonds were sold. Proceeds to be spent on infrastructure as required by bond covenants. I50580/VACA 1,492,697 N 1,492,697 $ 1,492,697 4/1/2006 9/1/2026 Per H&S Section (c )(1), $92,000 I ,623 N 91,623 $ 91,623 bond proceeds derived from bonds issued on or before December 31, 2010 shall be used for the purposes for which the bonds were sold. Proceeds to be spent on sewer main extensions and other redevelopment projects as required by bond covenants. 6/28/2011 6/28/2025 City of Vacaville Community Facilities District Fees I50580/VACA Y $ 6/3/1998 6/3/2013 Disposition and Development Agreement monitoring 10/15/1991 Upon payoff of Vacaville Honda Vacaville Mazda Dodge Chrysler Jeep Nissan Vacaville Chevrolet Vacaville Toyota Bartase City of Vacaville (Housing Successor) Funding Source NonRedevelopment Property Tax Trust Fund (NonRPTTF) VACA Y $ I ,048 N 10,048 $ 10,048 I ,056 N 10,056 $ 10,056 I ,982 N 10,982 $ 10,982 I ,012 N 10,012 $ 10,012 I ,270 N 18,270 $ 18,270 I ,459 N 17,459 $ 17,459 Loan for 2010 SERAF payment I50580/VACA 3,118,743 N $ RPTTF

7 Recognized Obligation Payment Schedule (ROPS ) 1314B ROPS Detail January 1, 2014 through June 30, 2014 (Report Amounts in Whole Dollars) A B C D E F G H I J K L M N O P Funding Source NonRedevelopment Property Tax Trust Fund (NonRPTTF) Contract/Agreement Contract/Agreement Total Outstanding Item # Project Name / Debt Obligation Obligation Type Execution Date Termination Date Payee Description/Project Scope Project Area Debt or Obligation Retired Bond Proceeds Reserve Balance Other Funds NonAdmin Admin SixMonth Total 17 Administrative Costs Admin Costs 2/1/2012 Upon final Payroll and other Successor Agency I50580/VACA 3,481,306 N 223,161 $ 223,161 termination of the costs Successor Agency 18 Employee Separation Costs Unfunded Liabilities 2/1/2012 Upon final termination of the Successor Agency 19 Genentech Participation Agreement Business Incentive 20 Nut Tree Participation Agreement DIF 21 Nut Tree Participation Agreement Project OPA/DDA/Constructio n OPA/DDA/Constructio n Contract Agreement Expenses I50580/VACA 49,925 N 83,485 $ 83,485 6/23/1995 6/23/2025 Genentech Reimbursement of property tax I ,554,768 N 3,000,000 $ 3,000,000 11/10/2010 Upon payment of $2.1 mill or issuance of certificate of completion for each parcel, whichever comes first 11/10/2010 Upon issuance of Certificate of Completion for each parcel Nut Tree Partners Reimbursement of Development Impact Fees Legal, Professional, Technical Services, mailing services, project expenses I ,100,000 N 2,100,000 $ 2,100,000 I ,645,328 N 175,021 $ 175, Nut Tree TIF Agreement Business Incentive 6/16/ /1/2015 City of Vacaville Traffic Impact Fee Agreement I ,961 N 1,469 $ 1, Property Tax Assessments Miscellaneous Upon acquisition of Upon disposition of Solano County Property Tax Assessments I50580/VACA 54,029 N $ property property 24 Property Maintenance Property Maintenance Upon acquisition of property Upon disposition of property Weed abatement, Fencing, Graffitti Abatement, maintenance of owned properties/assets I50580/VACA 279,646 N 30,413 17,926 $ 48, Post Retirement Benefits Unfunded Liabilities 2/1/2012 Upon final termination of the Successor Agency Tax Allocation Bonds Revenue Bonds Issued Tax Allocation Bonds Revenue Bonds Issued Tax Allocation Bonds Revenue Bonds Issued Post employment retirement and health costs I50580/VACA 119,590 N 7,666 $ 7,666 2/1/1996 9/1/2022 US Bank Trust Services Bond issue to fund infrastructure VACA 4,567,903 N 95,228 $ 95,228 3/1/2000 9/1/2031 US Bank Trust Services Bond issue to fund infrastructure VACA 6,299,433 N 129,649 $ 129,649 3/1/2000 9/1/2031 US Bank Trust Services Bond retirement to meet tax increment cap VACA 4,565,000 N $ Tax Allocation Bonds Revenue Bonds Issued 3/1/2000 9/1/2031 Per H&S Section (c )(1), VACA 4,174,066 N 4,174,066 $ 4,174,066 Proceeds $4,450,000 bond proceeds derived from bonds issued on or before December 31, 2010 shall be used for the purposes for which the bonds were sold. Proceeds to be spent on infrastructure as required by bond covenants. 30 Beck & Clark Loan ThirdParty Loans 2/24/1999 3/1/2020 Beck & Clark Financed land purchase VACA 252,080 N 22,243 $ 22, Klotz Loan ThirdParty Loans 7/16/2004 2/1/2015 Klotz, Albert R Financed land purchase VACA 117,568 N 49,075 $ 49, Babington Loan ThirdParty Loans 11/13/ /15/2016 Babington, Richard Financed housing land purchase VACA 187,165 N $ 33 Capitalized Lease Miscellaneous 9/27/ /14/2025 Willington Trust Securitization of Vacaville Skating Center VACA 1,707,020 N 96,201 $ 96, Carnegie Library Miscellaneous 12/17/ /16/2022 Solano County Property Assessments VACA 43,876 N $ 35 AB1484 Requirements Dissolution Audits 9/1/2012 2/28/2013 Badawi & Associates AB1484 review of Low and Moderate Income Housing Fund and other funds by independent licensed accountant I50580/VACA Y $ 36 Real Property Disposition Plan Property Dispositions 1/1/2013 Upon disposition of properties Plan development and implementation including: Successor Agency staff, professional services, title, closing costs, etc. 37 Commercial Lease Marsh Litigation 12/15/2001 6/30/2013 Wayne Marsh Settlement under investigation litigation forthcoming I50580/VACA 551,091 N 183,697 $ 183,697 VACA Y $ RPTTF

8 Recognized Obligation Payment Schedule (ROPS ) 1314B ROPS Detail January 1, 2014 through June 30, 2014 (Report Amounts in Whole Dollars) A B C D E F G H I J K L M N O P Funding Source NonRedevelopment Property Tax Trust Fund (NonRPTTF) Contract/Agreement Contract/Agreement Total Outstanding Item # Project Name / Debt Obligation Obligation Type Execution Date Termination Date Payee Description/Project Scope Project Area Debt or Obligation Retired Bond Proceeds Reserve Balance Other Funds NonAdmin Admin SixMonth Total 38 Commercial Lease Creekside Litigation 3/1/2005 6/30/2013 Creekside Bar & Grill, LLC Settlement under investigation litigation VACA Y $ forthcoming 39 VUSD Settlement Litigation FY , /30/2014 Vacaville Unified School Settlement related to calculation of I50580/VACA 247,793 N 247,793 $ 247, District ERAF payments RPTTF

9 Attachment 2 ADMINISTRATIVE BUDGET Jan. 1 Jun. 30, 2014 LINE ITEM AMOUNT Salaries/Benefits $ 140,325 Legal Services $ 8,750 Audit Services $ 10,000 Other Professional Svcs $ 650 Other Technical Svcs $ 1,275 Printer/Copier $ 900 Financial Management Fees $ 44,445 General Liability $ 4,345 PGE $ 2,600 Phone $ 400 Water/Sewer $ 700 Software $ 125 General Supplies $ 1,778 Advertising $ 150 Postage $ 50 Mailing Services $ 50 Cleaning/Custodial $ 3,220 Land and Building Rental $ 750 Equipment Maintenance $ 1,000 Pest Control $ 350 Cleaning Supplies $ 150 Small Tools/Equipment $ 1,098 Mileage $ 50 TOTAL $ 223,161