CITY OF LOS ANGELES CALIFORNIA

Transcription

1 JUNELAGMAY City Clerk HOLLY L. WOLCOTT Executive Officer When making inquiries relative to this matter, please refer to the Council File No. CITY OF LOS ANGELES CALIFORNIA ANTONIO R. VILLARAIGOSA MAYOR Office of the CITY CLERK Council and Public Services Room 395, City Hall Los Angeles, CA General Information- (213) Fax: (213) SHANNON HOPPES Council and Public Services Division January 26, 2012 To All Interested Parties: The City Council adopted the action(s), as attached, under Council File No , at its meeting held January 20, City Clerk vm An Equal Employment Opportunity -Affirmative Action Employer

2 DM9XJ:Jf'~) ' '. D r~ c r:! ~,. ::, JAN 24 PM 12: OS CITY OF LOS!YiT',. '' -... "''',. 2012JAN24 PM12:0$ CITY CLEJ;i< BY----- ~~ LJt:'.n)l SUBJECT TO THE MAYOR'S APPROVAL COUNCIL FILE NO S1 COUNCIL DISTRICT ~----- COUNCIL APPROVAL DATE JANUARY RE: AMENDING THE FISCAL YEAR (FY) COMMUNITY REDEVELOPMENT AGENCY OF LOS ANGELES (CRAILA) BUDGET FOR ADDITIONAL CARRYOVER RESOURCES OF $212.4 MILLION, AND RELATED ACTION feb 1).3 20\t LAST DAY FOR MAYOR TO ACT -,--,---., (10 Day Charter requirement as per Charter Section 341) DO NOT WRITE BELOW THIS LINE - FOR MAYOR USE ONLY *DISAPPROVED *Transmit objections in writing pursuant to Charter Section 341 MAYOR 10 lld rn ~ p ~ () ;:::; =1. k z N en ""' -:c CJ ':\, r-~. L},:,t. ~~ ::r;: -a,.r, g ~..;. ;;-:' 'CJ'I r:

3 TO THE COUNCIL OF THE CITY OF LOS ANGELES File No S1 Your HOUSING, COMMUNITY AND ECONOMIC DEVELOPMENT Committee reports as follows: HOUSING, COMMUNITY AND ECONOMIC DEVELOPMENT COMMITTEE REPORT relative to amending the Fiscal Year Community Redevelopment Agency of Los Angeles (CRA/LA) budget for additional carryover resources of $212.4 million, and related action. Recommendations for Council action: 1. AMEND the CRA/LA Fiscal Year Budget and Work Program by $212,385,624 which consists of $85,660,825 in prior year carryover resources plus $126,724,799 in encumbrances. 2. UNENCUMBER $2,743,900 in funds set aside for the Voluntary Alternative Redevelopment Program payments to the State of California and reprogram the funds as General Revenue reserves. Fiscal Impact Statement: The City Administrative Officer (CAO) reports that there is no impact on the City General Fund. Approval of the proposed actions will increase the CRA/LA Fiscal Year Adopted Budget and Work Program by $212.4 million, for a total amended Budget of $671.4 million, unencumber $2.7 million in funds set aside for the Voluntary Alternative Redevelopment Program payments to the State of California and reprogram the funds as Agency General Revenue reserves. The proposed changes involve Agency General Revenues, Tax Increment, Low and Moderate Income Housing Funds and Taxable Bond Proceeds. The use of these funds is in compliance with the CRA/LA's Financial Policies in that the recommended actions are consistent with the CRA/LA Budget and Work Program. The City's Financial Policies are not applicable to the CRA/LA. The CRA/LA is bound only by the disclosure provisions of the City's Debt Management Policies. Community Impact Statement: None submitted. SUMMARY At a regular meeting held on December 14, 2011, the Housing, Community and Economic Development Committee considered a transmittal from the CRA/LA dated December 1, 2011 and a report from the CAO dated December 14, 2011 relative to amending the Fiscal Year Community Redevelopment Agency of Los Angeles (CRA/LA) budget for additional carryover resources of $212.4 million and unencumbering $2.7 million in funds set aside for the Voluntary Alternative Redevelopment Program (VARP) payments and reprogramming the funds as General Revenue reserves. Representatives of the CAO and the CRA/LA provided a brief overview to the Committee and responded to related questions. During discussion of this matter, the Committee inquired about possible options for reallocating the $2.7 million in VARP funds once they are unencumbered and reprogrammed as General Revenue reserves. The CAO and CRA/LA advised the Committee that

4 $750,000 of the $2.7 million VARP savings would be allocated toward correcting an imbalance in the Fiscal Year budget, however the Court's stay does not affect the ability of the CRA/LA to allocate the remaining $1.9 million in funds towards other projects provided that it does not enter into any new contracts. The CRA/LA suggested that it would be prudent for it to allocate some portion of the savings toward its reserves to cover unanticipated expenses and funding shortfalls. The Vice Chair of the Committee recommended that the Committee move to allocate $1 million of the $1.9 million VARP savings towards Los Angeles River projects in the River corridor throughout the region. However, after further discussion the Committee Chair instead recommended that CRA/LA staff consult with the offices of the members of the Committee, prior to Council consideration of this matter, regarding various options for allocating the $1.9 million in VARP savings so that specific recommendations can then be brought forth and discussed in Council at the time it considers this matter. After providing an opportunity for public comment, the Committee recommended that Council approve the recommendations contained in the GAO report. This matter is now forwarded to the Council for its consideration. Respectfully submitted, HOUSING, COMMUNITY AND ECONOMIC DEVELOPMENT COMMITTEE MEMBER CARDENAS: REYES: ALARCON: PERRY WESSON: VOTE YES YES YES ABSENT ABSENT REW 12/19/ S1_rpt_hced_ Not Official Until Council Acts JAN 1 a CONTINUED TO C) C'M'\ 2o 1 to \2.. < Page 2 of 2

5 ITEM No.5 -A MOTION I MOVE that the matter of the Continued Consideration of Housing, Community and Economic Development Committee Report relative to amending the Fiscal Year Community Redevelopment Agency of Los Angeles (CRA/LA) budget for additional carryover resources of $212.4 million, and related action, Item No. 13 on today's Council Agenda (CF S1) BE AMENDED to adopt the following additional recommendations: 1. Approve the use of $197,695 in CRA/LA carryover resources from the Beacon Street Project Area to be used for the San Pedro Arts, Culture and Entertaimnent District (ACE) project pursuant to a Memorandum of Understanding (MOU) with the with the San Pedro Peninsula Chamber of Commerce for this purpose (ACE MOU); 2. Amend the Fiscal Year 2012 Budget and Work Program for the Beacon Street Project Area to recognize $197,695 in carryover resources be used for the ACE MOU; 3. Instruct/authorize the CAO to take any actions and to make any technical adjustments as necessary to implement the above instructions. January 18,2012 ak JAN CONTINUED TO ~~1..o, 2.01" ADOPTED JAN luis ANGELES CITY COUNCIL

6 MOTION I Move that the Continued Consideration of Housing, Community and Economic Development Committee Report and Amending Motion (Perry- LaBonge) relative to amending the Fiscal Year (FY) Community Redevelopment Agency of Los Angeles (CRA/LA) budget for additional carryover resources of$212.4 million, and related action, item10 (CF: Sl) on today's Council Agenda, BE AMENDED to include the following new recommendations: 1. AUTHORIZE the City Attorney to amend the following contracts to mcrease the following maximum compensation amounts by the following amounts: Goldfarb & Lipman, C $152,000 Meyers Nave Riback & Silver, C $250,000 Opper & Varco, C $210, AUTHORIZE the Community Redevelopment Agency to transfer fm1ds in the amount of $612,000 to the City Attorney to deposit said funds into Fund I 00, Dept 12, Revenue Account 5188, Miscellaneous Revenues to pay for the budget increases for outside counsel services through the contracts listed in Instruction 1; 3. AUTHORIZE the City Attorney to accept the transfer of funds up to $612,000 from the Community Redevelopment Agency and deposit said funds into Fund 100, Dept 12, Revenue Account 5188, Miscellaneous Revenues; 4. AUTHORIZE the Controller to recognize the revenue transferred from CRA as additional Fiscal Year 2012 revenue and appropriate same amount to Fund 100, Department 12, Account No. 9301; 5. AUTHORIZE the City Attorney to adjust allocation of amounts specified in Instruction 1; 6. AUTHORIZE the City Attorney to encumber funds within Fund 100, Department 12, Appropriation Account 9301, toward the contracts listed in instruction 1 above and expend against these encumbrances to pay for outside counsel services related to community redevelopment matters; 7. AMEND the FY City Center Budget and Work Program to transfer an amount not to exceed $3,312,397, if available, from budget lines Economic Development ($3,262,398) and Public Improvement ($49,999) to budget line Affordable Housing (CT! 090) to fund enforceable obligations related to the Permanent Supportive Housing Program;

7 8. ALLOCATE $500,000 from the CRA/LA to the Coalition for Responsible Community Development to operate the Clean and Safe Program in Council District 9; 9. ALLOCATE $1,163,030 from the CRA/LA for the Little Tokyo 3'd Street Project in Council District 9; 10. RECOGNIZE $6,933,644 of tax increment and $1,733,416 of Housing funds from the Bunker Hill cash trap release; 11. RECOGNIZE $1,900,000 million in general revenue from the Carryover Budget to COD for the repayment of 20-year Community Development Block Grant (CDBG) Loans; 12. AUTHORIZE the CLA's Office to transfer funds directly to COD for the repayment of the Slauson Central Section 108 Loan; 13. AMEND the FY Adclante Eastside Budget and Work Program to transfer an amount not to exceed $1,500,000 from budget line Public Improvements (EA3200) to budget line Economic Development (EA2170) to fund the Boyle Heights Chavez Avenue Streetscape Pedestrian Improvements Project in Council District 14; and, 14. INSTRUCT the CLA/CAO, with the assistance of the CRA, to review all existing work orders and contracts and make any technical changes and prepare any Controller instructions that may be required to maximize the use of tax increment; and authorize the Controller to implement those instructions; and, 15. AUTHORIZE the City Attorney or designee to prepare Controller instructions for any necessary technical adjustments, subject to the approval of the CAO, and authorize the Controller to implement the instructions. Janua!'y 20, 2012 MKK ADOPTED JAN LOS ANGELES CITY COUNCIL MAYOR Wll'H FILE