Loading...
HomeMy WebLinkAbout2012 CC RESO 2012-26 CDCRESOLUTION 2012 — 26 RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY ADOPTING THE JANUARY 24, 2012 AMENDMENT TO THE ENFORCEABLE OBLIGATIONS PAYMENT SCHEDULE FOR THE TIME PERIOD OF AUGUST 1, 2011 THROUGH DECEMBER 31, 2011 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 xl 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 as a redevelopment agency,.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, 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 Resolution No. 2012 — 26 January 24, 2012 Page Two 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 the 2011 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, on August 24. 2011, the CDC approved its Enforceable Obligation Payment Schedule ("EOPS"); and WHEREAS, on December 29, 2011, the California Supreme Court issued its ruling which upheld ABx1 26 as valid and invalidated ABx1 27; and WHEREAS, consistent with and pursuant to the 2011 Tax Allocation Bond issuance, a Disposition and Development Agreement, and the Cooperation Agreement for the tnrests!de !dill Transit Oriented Development (W!-TOD) affordable housing project, between the CDC and the City, the City approved a contract and insurance payment related to the WI-TOD project; and WHEREAS, consistent with and pursuant to the 2011 Tax Allocation Bond issuance and a Cooperation Agreement between the CDC and City, payments were made on various contracts now detailed related to various bond projects such as the 8'h Street Safe Routes to School project, the 81' Street Corridor Safety Enhancements project, the Park Improvements projects, and the Aquatic Center project; and WHEREAS, two additional governmental agencies and related payments are identified; and WHEREAS, previously identified property management obligations, such as temporary power poles and fire alarm monitoring, and environmental investigation administrative expenses have more specificity regarding payments; and WHEREAS, approximately eight various obligations under administrative expenses have been additionally identified and detailed; and WHEREAS, it is desirable to amend the EOPS to identify these obligations and payments; and WHEREAS. subject to the contingencies and reservations set forth herein, the CDC nevertheless desires to adopt an amended Enforceable Obligations Payment Schedule, and to amend it from time to time as necessary; and Resolution No. 2012 — 26 January 24, 2012 Page Three 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. Section 2. Section 3. Section 4. Section 5. The foregoing Recitals are true and correct, and incorporated into this Resolution by this reference, and constitute a material part of this Resolution. Pursuant to California Health and Safety Code Section 34169, the CDC hereby adopts an amended Enforceable Obligations Payment Schedule, as described herein, and subject to all the reservations set forth in that resolution adopting the EOPS on August 24, 2011. The 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 for any reason, the amended Enforceable Obligations Payment Schedule shall not be binding on or control the CDC's payments on or performance of its obligations. The Executive Director, or designee, is hereby authorized and directed to: (i) post the amended Enforceable Obligations Payment Schedule on the Citys website; (ii) notify the County Auditor -Controller, the State Controller, and the State Department of Finance; 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 amended Enforceable Obligation Payment Schedule on behalf of the CDC. 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. This Resolution shall in no way be construed as requiring the CDC to abide by the 2011 Redevelopment Legislation in the event it is found unconstitutional or otherwise legally invalid in whole or in part, nor shall Resolution No. 2012 — 26 January 24, 2012 Page Four this Resolution effect or give rise to any waiver of right or remedies the CDC may have, whether in law or in equity, to challenge the 2011 Redevelopment Legislation. This Resolution shall not be construed as the CDC'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 CDC that the 2011 Redevelopment Legislation is/are constitutional or lawful. Section 6. The Secretary shall certify to the adoption of this Resolution, which shall take effect upon the date of its adoption. PASSED and ADOPTED this 24th day of January, 2012. on Morrison, Chairman ROVED s. TO FORM: .1 '!udia acit Silva CDC General nsel Passed and adopted by the Community Development Commission of the City of National City, California, on January 24, 2012, 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 Secretary, Community Development Commission By: Deputy I HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of RESOLUTION NO. 2012-26 of the Community Development Commission of the City of National City, Califomia, passed and adopted on January 24, 2012. Secretary, Community Development Commission By: Deputy