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Home My WebLink About2011 CC RESO 2011-187 CDCRESOLUTION NO. 2011 — 187 RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY ADOPTING THE ENFORCEABLE OBLIGATION PAYMENT SCHEDULE PURSUANT TO SECTION 34169 (g) OF THE CALIFORNIA HEALTH AND SAFETY CODE WHEREAS, the Community Development Commission of the City of National City ("CDC") is a public body, corporate, politic, formed, organized, and exercising its powers and existing pursuant to the California Community Redevelopment Law, Health and Safety Code Section 33000, et seq., (the "CRL"), and specifically formed by the City Council of the City of National City; and WHEREAS, continued redevelopment to eliminate blight, improve public facilities and infrastructure, renovate and construct affordable housing, and enter into partnerships. with private industries to create jobs and expand the local economy is vital to the health, safety and welfare of the City; and WHEREAS, Parts 1.8, 1.85 and 1.9 of Division 24 of the CRL were added by Assembly Bill x1 26 and Assembly Bill x1 27 (together the "2011 Redevelopment Legislation"), which laws purported to become effective immediately; and WHEREAS, the 2011 Redevelopment Legislation is a part of multiple trailer bills to the Fiscal Year 2011-2012 California budget bills that were approved by both houses of the State Legislature on June 15, 2011, and signed by the Governor on June 28, 2011; and WHEREAS, part 1.85 of the CRL (the "Dissolution Act") added by the 2011 Redevelopment Legislation ("Part 1.85") provides for the statewide dissolution of all redevelopment agencies, including the CDC (but not dissolution of the housing authority thereof), as of October 1, 2011, and provides that, thereafter, a successor agency will administer the enforceable obligations of the redevelopment agency of the CDC and otherwise wind up the CDC's affairs, all subject to the review and approval of an oversight committee; and WHEREAS, Part 1.8 of the CRL added by the Redevelopment Legislation ("Part 1.8") provides for the restriction of activities and authority of the CDC in the interim period prior to dissolution to certain "enforceable obligations" and to actions required for the general winding up of affairs, preservation of assets, and certain other goals delineated in Part 1.8; and WHEREAS, as part of this wind up process, all redevelopment agencies are required to file a schedule of those "enforceable obligations" that require payments to be made through the end of the calendar year 2011 ("Enforceable Obligations Payment Schedule"); and WHEREAS, the dissolution of the CDC would be detrimental to the health, safety and economic well-being of the residents of the City, and would cause irreparable harm to the community because, among other reasons, the redevelopment activities and projects made possible, implemented and funded by the CDC are highly significant and of enduring benefit to the community and the City and are a critical component of the City's future; and WHEREAS, Part 1.9 of Division 24 of the CRL added by the 2011 Redevelopment Legislation ("Part 1.9") provides that a redevelopment agency may continue in operation if a city or county that includes a redevelopment agency adopts an ordinance agreeing to comply with and participate in the Alternative Voluntary Redevelopment Program established in Part 1.9; and Resolution No. 2011-187 August 24, 2011 Page Two WHEREAS, pursuant to Part 1.9, Parts 1.8 and 1.85 of Division 24 of the CRL, which include the Enforceable Obligations Payment Schedule requirement, will not apply to the CDC if the City enacts the ordinance to participate in the Alternative Voluntary Redevelopment Program, which allows a community's redevelopment agency to continue operating, without the constraints of California Health and Safety Code Section 34161, et seq.,; and WHEREAS, on August 2, 2011, the City Council of the City of National City adopted Ordinance No. 2011-2365 (the "Ordinance") authorizing the City to participate in the Alternative Voluntary Redevelopment Program in order to allow the CDC to continue in operation and performing its functions; and WHEREAS, on July 18, 2011, the California Redevelopment Association, League of California Cities, City of Union City, City of San Jose, and John F. Shirey filed a petition for Writ of Mandate; Application for Temporary Stay, and supporting memorandum and declarations with the Supreme Court of the State of California (the "Petition"); and WHEREAS, on August 11, 2011, the California Supreme Court agreed to review the Petition challenging the constitutionality of the 2011 Redevelopment Legislation and ordered a stay (the "Supreme Court Stay") relative to specified portions of the2011 Redevelopment Legislation; and WHEREAS, on August 17, 2011, the California Supreme Court revised the Supreme Court Stay; and WHEREAS, the Supreme Court Stay postponed certain provisions of the 2011 Redevelopment Legislation indefinitely, but left in place provisions prohibiting redevelopment agencies from making any payments after the date that is sixty (60) days from the effective date of the Dissolution Act, other than debt service payments and payments listed on an adopted Enforceable Obligation Payment Schedule; and WHEREAS, subject to the contingencies and reservations set forth herein, the CDC nevertheless desires to adopt an Enforceable Obligations Payment Schedule, and to amend it from time to time as necessary; and WHEREAS, the CDC, by adoption of this Resolution, does not represent, disclaim, or take any position whatsoever on the issue of the validity of the 2011 Redevelopment Legislation, but rather the CDC seeks to comply with the Constitution and the laws of the State of California, including the 2011 Redevelopment Legislation, in order to preserve the ability of the CDC to continue to operate and perform its obligations and thereby benefit the community; and NOW, THEREFORE, BE IT RESOLVED by the Community Development Commission of the City of National City as follows: Section 1. The foregoing Recitals are true and correct, and incorporated into this Resolution by this reference, and constitute a material part of this Resolution. Resolution No. 2011-187 August 24, 2011 Page Three Section 2. Pursuant to California Health and Safety Code Section 34169, the CDC hereby adopts the Enforceable Obligations Payment Schedule attached hereto as Exhibit "A". The attached Enforceable Obligations Payment Schedule is that "Enforceable Obligations Payment Schedule" referred to in Health and Safety Code Section 34169(g) and shall be interpreted and applied in all respects in accordance with such section and the California Redevelopment Law, to the fullest extent permitted by law. However, the Enforceable Obligations Payment. Schedule shall only be applicable to and binding on the CDC to the extent that Part 1.8 of the 2011 Redevelopment Legislation is applicable to the CDC. To the extent that Part 1.8 is not applicable to the CDC, whether because of the City's enactment of the Ordinance or for any other reason, the Enforceable Obligations Payment Schedule shall not be binding on or control the CDC's payments on or performance of its obligations. Section 3. The Executive Director, or designee, is hereby authorized and directed to: (i) post the Enforceable Obligations Payment Schedule on the City's website; (ii) notify the County Auditor -Controller, the State Controller and the State Department of Finance concerning this Resolution, in accordance with the applicable provisions of the California Community Redevelopment Law; and (iii) take such other actions and execute such other documents as are necessary to effectuate the intent of this Resolution and to implement the Enforceable Obligation Payment Schedule on behalf of the CDC. Section 4. The Executive Director of the CDC is hereby authorized and directed to evaluate potential amendments to the Enforceable Obligations Payment Schedule from time to time as may be appropriate, and to recommend to the Board of the CDC the adoption of those amendments necessary for the continued payment on and performance of enforceable obligations. Section 5. This Resolution shall in no way be construed as requiring the City to abide by the 2011 Redevelopment Legislation in the event either,or both, bills are found unconstitutional or otherwise legally invalid in whole or in part, nor shall this Resolution effect or give rise to any waiver of right or remedies the City may have, whether in law or in equity, to challenge the 2011 Redevelopment Legislation. This Resolution shall not be construed as the City's willing acceptance of, or concurrence with the 2011 Redevelopment Legislation, either ABx1 26 or ABx1 27; nor does this Resolution evidence any assertion or belief whatsoever on the part of the City that the 2011 Redevelopment Legislation is/are constitutional or lawful. Section 6.. The City Clerk shall certify to the adoption of this Resolution, which shall take effect upon the date of its adoption. -- Signature Page to Follow --- Resolution No. 2011-187 August 24, 2011 Page Four PASSED and ADOPTED this 24th day of August, 2011. Ron Morrison, Chairman ATTEST: APP" l ED AS TO FORM: III A Cl.i •:��Wcitua eneral Co Passed and adopted by the Community Development Commission of the City of National City, California, on August 24, 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 Secreta , unity Development Commission By: Deputy I HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of RESOLUTION NO. 2011-187 of the Community Development Commission of the City of National City, California, passed and adopted on August 24, 2011. Secretary, Community Development Commission By: Deputy City of National City Enforceable Obligations Schedule Deadline Date: August 28, 2011 Project Nanie/Obligation Payee(s) Description Total Payment Amount Payment Date Thru December 31, 2011 August September October November December 1 WI-TOD (DDA for 201-unit Affordable Transit -Oriented Housing project) Paradise Creek Housing Partners Pre -development loan $ 3,741,600.00 $60,000.00 $ 60,000.00 $75,000.00 WI-TOD Kimley-Horn Public Works relocation $ 61,901.50 $ 15,475.38 $15,475.38 $ 15,475.38 $ 15,475.38 $15,475.38 WI-TOD E2 ManageTech Remediation planning $ 29,004.38 $ 3,000.00 $6,004.38 $ 3,000.00 5 10,000.00 $7,000.00 WI-TOD DTSC Environmental oversight $ 16,552.64 $16,552.64 WI-TOD Opper & Varco, LLP Environmental outside counsel $ 5,000.00 $ 1,200.00 $2,000.00 $ 1,500.00 $ 300.00 2 SR54 and National City Blvd Infrastructure Improvements City of National City Off ramp and street improvements necessary to redevelop "RCP Site" APN #562-321-08 $ 2,500,000.00 3 Capital Improvement Projects 8th St Safe Routes to School City of National City (Harris & Associates) Matching funds -federal grant $ 250,000.00 $ 13,175.69 $13,175.69 $ 13,175.69 $ 13,175.69 $13,175.69 D Ave Roundabout & Pedestrian Enhance City of National City (Kimley-Horn) Street improvement design $ 202,684.50 $ 33,780.85 $33,780.85 $ 33,780.85 $ 33,780.85 $33,780.85 Coolidge Avenue Safe Routes to School City of National City (Kimley-Horn) Design -federal grant match $ 184,159.00 $ 30,693.17 $30,693.17 $ 30,693.17 $ 30,693.17 $30,693.17 Las Palmas Park Facilities Plan City of National City (Kimley-Horn) Design - park improvements $ 166,260.40 $ 27,770.07 $27,770.07 $ 27,770.07 $ 27,770.07 $27,770.07 Pacific Steel GeoSyntecConsultants Environmental engineering 1500 Cleveland Ave $ 60,000.00 Kimball Park Improvements City of National City (Kimley-Horn) Park improvements - design $ 156,998.10 $ 26,166.35 526,166.35 $ 26,166.35 $ 26,166.35 $26,166.35 Aquatic Center Safdie Rabines Architects Architectural services $ 17,616.50 $17,616.50 Aquatic Center Project Professionals Corporation Project Management, bid support $ 12,000.00 $12,000.00 Aquatic Center Port of San Diego Rent $ 30.00 $30.00 Aquatic Center City of National City Building permit $ 12,317.35 $ 12,317.35 4 Bond Obligations Duetsche Bank National Trust Co. Priniciple and Interest Payments and Disclosure 1999 $ 329,425.00 $ 164,712.00 2004 $ 491,130.00 $ 245,565.00 2005 $ 4,225,443.00 $ 2,112,721.50 2011 $ 1,055,763.00 $ 527,881.50 5 Low -Mod Housing Set -aside City of National City Allocation of 20% of property tax increment to affordable housing programs and projects 5 2,467,834.00 $1,233,917.00 6 ABX1 27 State of California Payment to State of California to reinstate RDA $ 4,869,134.00 **appeal has been filed 7 Payments to other Governments Lower Sweetwater County of San Diego County of San Diego Office of Education Southwestern College City of National City National City Elementary District Sweetwater Union District MWD SDCWA Fiscal agent fees City of National City CWA National City Admin Fees $ 1,433.00 $ 166,400.00 $ 763,264.00 $ 287,403.00 5 268,708.00 $ 609,984.00 $ 70,111.00 $ 42,899.00 $ 5,837.00 $ 10,000.00 $ 1,852,145.00 $ 5,754.00 $ 154,345.52 $154,345.52 $ 154,345.52 $ 154,345.52 $154,345.52 EXHIBIT A 1 City of National City Enforceable Obligations Schedule Deadline Date! August 28, 2011 Project Name/Obligation Payee(s) Description Total Payment Amount Payment Date Thru December 31, 2011 August September October November December 8 Loan CalREUse Loan for investigation of brownfield site - 835 Bay Marina Dr $ 32,694.00 9 Property Management CDC properties Kimball House National City Historical Society Annual payment per lease agreement $ 5,000.00 $ 5,000.00 CDC properties in perpetuity EDCO Trash hauling all RDA owned properties $ 1,895.00 $ 104.75 $104.75 $ 104.75 $ 104.75 $104.75 Temporary Aquatic Center Power Plus Rental of temporary power poles 5 3,000.00 $ 195.00 $195.00 $ 195.00 $ 195.00 $195.00 CDC properties in perpetuity SDG&E Electricity & gas for RDA properties $ 4,827.63 $ 402.30 $402.30 $ 402.30 5 402.30 $402.30 01d Library redevelopment Stanley Sonitrol Fire alarm monitoring $ 485.40 5 242.70 CDC properties Sweetwater Authority Water including irrigation RDA properties $ 14,960.64 $ 1,250.00 $1,250.00 $ 1,250.00 $ 1,250.00 $1,250.00 Palm Plaza National Construction Rental Temporary fending of RDA site $ 790.70 10 Administrative Expenses City of National City Staff and M & 0 admin charges $ 1,508,878.60 County of San Diego Environmental Oversight Remediation and Testing for Education Village, ACE, 2501 Cleveland, 835 Bay Marina Drive $ 182,415.00 $1,800.00 $1,800.00 GeoSyntec Consultants $ 15,000.00 $2,000.00 $ 500.00 $ 15,000.00 $500.00 Port of San Diego Joint Planning $ 31,696.00 $ 31,696.00 GeoSyntec Consultants PSI Environmental Investigation $ 59,946.00 Project Professionals Corporation Marina Gateway Streetscape $ 2,500.00 $ 2,500.00 Tierra West Advisors RDA Plan Amendment $ 18,059.00 Best Best & Krieger, LLP Litigation Support $ 60,000.00 $ 10,000.00 $10,000.00 $ 10,000.00 $ 10,000.00 $10,000.00 Carolyn St Clair Award Display Box $ 826.55 $826.55 Federal Express Delivery Service $ 900.00 $ 21.00 $21.00 $ 35.00 $ 35.00 $21.00 Kane, Ballmer, & Berkman Legal support for state actions on Redevelopment $ 11,248.53 $6,500.00 Keagy Real Estate Appraisal Services for Westside Amortization $ 15,000.00 $ 15,000.00 PGP $ 15,000.00 $ 15,000.00 Ken Carpenter $ 15,000.00 $ 15,000.00 Keyser Marston Associates Economic Analysis per 33433 $ 50,000.00 Highland Park, LLC Legal settlement, Purple Cow $ 64,000.00 0pper & Varco, LLP Litigation Support for Education Village $ 5,000.00 $ 1,300.00 $2,000.00 $ 1,000.00 Christensen & Spath, LLP Litigation Support for ARE Holdings $ 110,400.00 $ 9,200.00 $9,200.00 5 9,200.00 $ 9,200.00 $9,200.00 San Diego Clipping Service Record Keeping $ 706.50 City of San Diego Admin services for SO Regional Enterprise Zone $ 51,000.00 $ 51,000.00 Union Tribune Public Noticing $ 10,000.00 Yolanda Teresa Lopez Translation and Interpretation Services $ 450.00 Total All Pages $ 27,215,470.92 $ 3,496,473.43 $449,910.15 $ 328,594.08 $ 453,136.78 $1,640,797.08 EXHIBIT A -