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HomeMy WebLinkAbout2011 CC RESO 2011-179 CDCRESOLUTION NO. 2011 — 179 RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY (CDC) AUTHORIZING THE CHAIRMAN TO EXECUTE A REMITTANCE AGREEMENT BETWEEN THE CDC AND THE CITY OF NATIONAL CITY PURSUANT TO CALIFORNIA HEALTH AND SAFETY CODE SECTION 3414.2, WHICH REMITTANCE IS CURRENTLY ESTIMATED AT $4.8 MILLION FOR FISCAL YEAR 2011-2012 WHEREAS, Assembly Bill No. X1 27 ("ABx1 27") was passed by the State legislature on June 15, 2011, and signed by Governor Brown on June 28, 2011; and WHEREAS, upon enactment, ABx1 27 is to be codified as Part 1.9 of the California Health and Safety Code, commencing with Section 34192 ("Part 1.9"); and WHEREAS, ABx1 27 establishes a voluntary alternative redevelopment program whereby the City may choose to continue redevelopment pursuant to Part 1.9, upon the enactment of an ordinance by the City to comply with the provisions of Part 1.9, and make certain remittance described in Health and Safety Code Section 34194 to the County Auditor - Controller; and WHEREAS, the City Council is adopting an ordinance to comply with Part 1.9 (the "Ordinance") committing to comply with and make the remittances required by Part 1.9, and authorizing the continuation of the Community Development Commission of the City of National City ("CDC") after the enactment of ABx1 27; and WHEREAS, pursuant to Section 34194.1, in making remittances to the County Auditor -Controller pursuant to Section 34194 or 34194.5, the City may use any available funds not otherwise obligated for other uses; and WHEREAS, pursuant to Section 34194.2, the City may enter into a remittance agreement with the CDC, whereby the CDC will transfer a portion of its tax increment to the City, in an amount not to exceed the annual remittance required that year pursuant to Chapter 3 of Part 1.9, for the purpose of financing activities within the redevelopment area that are related to accomplishing the redevelopment agency project goals; and WHEREAS, the purpose of the Remittance Agreement is to provide for the transfer of funds by the CDC to the City in an amount sufficient for the City to make the remittances required by Part 1.9., with net available tax increment in this current fiscal year and forthcoming fiscal years; and WHEREAS, the term "Net Available Tax Increment" is defined as any tax increment funds allocated to the CDC, net of existing debt service payments and existing third - party contractual obligations, not including any funds on deposit in the CDC's Low and Moderate Income Housing Fund; and WHEREAS, the obligations of the CDC under this Remittance Agreement shall constitute an indebtedness of the CDC for the purpose of carrying out the redevelopment plan for each of the CDC's redevelopment project areas. Resolution No. 2011 — 179 Page Two NOW, THEREFORE, BE IT RESOLVED by the Community Development Commission of the City of National City that the Chairman is hereby authorized to execute a Remittance Agreement between the Community Development Commission of the City of National City and the City of National City pursuant to California Health and Safety Code section 34194.2. PASSED and ADOPTED this 2nd day of August, 2011. Ron Morrison, Chairman Passed and adopted by the Community Development Commission of the City of National City, California, on August 2, 2011, by the following vote, to -wit: Ayes: Commissioners Morrison, Natividad, Rios, Sotelo-Solis, Zarate. Nays: None. Absent: None. Abstain: None. AUTHENTICATED BY: RON MORRISON Chairman, Community Development Commission y Development Commission By: Deputy I HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of RESOLUTION NO. 2011-179 of the Community Development Commission of the City of National City, California, passed and adopted on August 2, 2011. Secretary, Community Development Commission By: Deputy