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Home My WebLink About114-2016SARESOLUTION NO.114-2016SA APPROVING AND ADOPTING RECOGNIZED OBLIGATION PAYMENT SCHEDULE BOPS 17-18 FOR THE SUCCESSOR AGENCY TO THE FORMER COMMUNITY DEVELOPMENT AGENCY OF THE TOWN OF DANVILLE AND APPROVING THE ADMINISTRATIVE BUDGET FOR THE SUCCESSOR AGENCY FOR THE PERIOD FROM JULY 1, 2017 THROUGH JUNE 30, 2018 WHEREAS, pursuant to the California Community Redevelopment Law (Health and Safety Code Section 33000 et sec .), the Town Council of the Town of Danville adopted the Redevelopment Plan for the Downtown Danville Redevelopment Project (the "Redevelopment Plan"); and WHEREAS, the Redevelopment Plan had been implemented by the Community Development Agency of the Town of Danville (the "CDA"); and WHEREAS, ABx1 26 was enacted on June 28, 2011 and was subsequently amended with the adoption of AB 1484 and SB 107 (collectively, the "Dissolution Act"); and WHEREAS, on January 10, 2012, acting in accordance with Health and Safety Code Sections 341710) and 34173, the Danville Town Council adopted Resolution No. 6-2012, accepting the designation to serve as the Successor Agency to the CDA; and WHEREAS, pursuant to the Dissolution Act, the CDA was dissolved as of February 1, 2012, at which time the assets and payment obligations (defined in the Dissolution Act as "Enforceable Obligations") of the CDA were transferred to the Successor Agency; and WHEREAS, pursuant to the Dissolution Act, the Successor Agency is required to adopt a Recognized Obligation Payment Schedule ("ROPS") yearly, setting forth the Enforceable Obligations of the Successor Agency for the coming twelve month period; and WHEREAS, the Successor Agency is required to adopt a ROPS covering the period from July 1, 2017 through June 30, 2018 (BOPS 17-18); and WHEREAS, pursuant to Health and Safety Code Section 341770), the Successor Agency must prepare an administrative budget for its general administrative costs and expenses for each twelve month period (the "Administrative Budget"). Pursuant to Health and Safety Code Section 34171(b)(3), the administrative budget for the fiscal year shall be up to three percent (3%) of the actual property taxes paid to the Successor Agency but not less than $250,000, unless reduced by the Oversight Board or a lower amount is agreed to by the Successor Agency; and WHEREAS, both ROPS 17-18 and the Administrative Budget must be submitted to the Oversight Board for approval; and WHEREAS, acting pursuant to Health and Safety Code Section 34178(a) of the Dissolution Act, the Successor Agency and the Town of Danville approved an Agreement Reentering into Cooperation Agreement (the "Reentered Agreement), which was subsequently approved by the Oversight Board to the Successor Agency as an Enforceable Obligation on ROPS 1 and all subsequent BOPS; and WHEREAS, after the California Department of Finance ("DOF") disapproved the Reentered Agreement as an Enforceable Obligation, the Successor Agency and Town filed suit against DOF challenging their determination regarding the Reentered Agreement; and (Sacramento County Superior Court Case No. 34-2014-80001738). Judge Michael Kenny of the Superior Court ruled that the Successor Agency and Town had properly entered into the Reentered Agreement and that it was, in fact, an enforceable obligation under the Dissolution Act; and WHEREAS, at the conclusion of the litigation, the DOF sent a letter to the Successor Agency (dated May 15, 2015) recognizing for the first time the Reentered Agreement as an Enforceable Obligation and beginning with ROPS 15-16A, the Successor Agency has received payment for the Reentered Agreement; and WHEREAS, as a result of this history, the Successor Agency did not receive payment under the terms of the Reentered Agreement on ROPS 1, 2, 3, 13-14A, 13-14B, 14-15A and 14-15B, for a total of $3,150,000; and WHEREAS, paragraph 3 of the Cooperation Agreement (the original agreement which was the subject of the Reentered Agreement) provides that "[t]o the extent the Agency is unable to make payments as provided for in Exhibit 1 due to state takeaways or other factors beyond the control of the Town and Agency, those unpaid amounts shall be added to remaining payments."; and WHEREAS, as part of ROPS 16-17 (submitted as Exhibit 3 to ROPS 16-17), the Successor Agency proposed and its Oversight Board and DOF approved a repayment schedule for the Reentered Agreement that accounted for repayment of the $3,150,000 within the available RPTTF funds, thereby allowing the Successor Agency and Town of Danville to fulfill the stated purposes of the Reentered Agreement while providing certainty to all taxing entities; and WHEREAS, the Successor Agency has reviewed and duly considered the Staff Report, ROPS 17-18, the Administrative Budget and documents and other evidence presented at the meeting; now, therefore, be it RESOLVED, that the Successor Agency to the former Community Development Agency of the Town of Danville, finds that the above Recitals are true and correct and have served, together with the supporting documents, as the basis for the findings and approvals set forth below; and, be it further PAGE 2 OF RESOLUTION NO.114-2016SA RESOLVED, that the Successor Agency hereby approves and adopts Recognized Payment Obligation Payment Schedule ROPS 17-18, attached hereto as Exhibit 1 and the administrative budget for the period from July 1, 2017 through June 30, 2018, attached hereto as Exhibit 2; and, be it further RESOLVED, that the Successor Agency authorizes and directs Town staff to: (1) present ROPS 17-18 and the administrative budget to the Successor Agency's Oversight Board for consideration of approval; (2) provide a copy of ROPS 17-18 and the administrative budget to the County Administrator, County Auditor -Controller and the State Department of Finance at the same time as presented to the Oversight Board; (3) once approved by the Oversight Board, provide an approved copy of ROPS 17-18 and administrative budget to the County Auditor -Controller, the State Department of Finance, and the State Controller and to post ROPS 17-18 on the Town website; and (4) to take such other actions and execute such other documents as are necessary to implement ROPS 17-18 on behalf of the Successor Agency. APPROVED by the Successor Agency to the former Community Development Agency of the Town of Danville, at a regular meeting on December 20, 2016, by the following vote: AYES: NOES: Arnerich, Blackwell, Morgan, Stepper, Storer None ABSTAINED: None ABSENT: None APPROVED AS TO FORM: CITY ATTORNEY PAGE 3 OF RESOLUTION NO.114-2016SA � ■ E § m co e k O / / 0) o 0 c) \ \ \ / \ / ƒ e / k \ \ _ 10. $I I i 119 � � + � -gam 0 F- / 'k \ .. o=» 7 2 + ( ) o r aLL g U) c $$2 � 7/ m k 2 = o c 0 2)$=G x 7 a § [ƒb\ � e L E ® q / f =5 IL% / " /\M\ . ;/ m £ \ moW 2 ° a w coI® -0 3k Egm� / \ 0 k\k\ ° k B ° LL 2 % § / ' f n= m = % % e /CL 4 / « \ \ W \ i k { \ / \ #m R ■ e c =eeI w = .2 £gam\ «= 0 2 w= o= m f E 7 E o = G = _ eE=o= \ _ 10. $I I i 119 Danville Recognized Obligation Payment Schedule (ROPS 17-18) - ROPS Detail July 1, 2017 through June 30, 2018 IRenort Amounts in Whnla nnllaral A B C D E F G H I J K L M N O P Q R S T U v W 17-18A Jul -December 17-188(January -June Fund Sources Fund Sources Contract/Agreement Contract/Agreement Total Outstanding ROPS 17-18 17-1 SA 17-18B Item # Project Name/Debt Obligation Obligation Type Execution Date Termination Date Payee Description/Project Scope Project Area Debt or Obligation Retired Total Bond Proceeds Reserve Balance Other Funds RPTTF Admin RPTTF Total Bond Proceeds Reserve Balance Other Funds RPTTF Admin RPTTF Total $ 24,333,007 $ 2,181,597 $ - $ - $ 193,132 $ 1,026,775 $ 8,000 $ 1,227,907 $ - $ r - $ - $ :: 937,790 $ 115,900 $ -:. 953,690. 1 2001 Certificates of Bond Reimbursement 10/1/2001 8/15/2026 Town of Danville COP refinancing for capital projects in 4,486,278 N $ 451,450 193,132 178,299 $ 371,431 80,019 $ I 80;019 Participation/Reimbursement Agreements project area consistent with Agreement redevelopment plan/Agency contractually obligated to reimburse Town for lease payments made on COPS 2 2001 Taxable Revenue Bonds/Loan Bond Reimbursement 12/1/2001 7/15/2028 Town of Danville Financing Bonds sold by Financing Authority to 4,361,454 N $ 365,381 255,543 $ 255,543 109,838 $ 109,838 Repayment Agreement Agreements Authority finance 74-unitaffordable housing project in project area/Agency borrowed bond proceeds and contractually agreed to repay loan to Financing Authority 3 2005 Certificates of Bond Reimbursement 4/1/2005 2/15/2035 Town of Danville COP issue to fund construction of 6,101,974 N $ 340,866 92,933 $ 92,933 247,933 $ ;: 247,933 Participation/Reimbursement Agreements public parking facility and other capital Agreement projects within the project area and consistent with the redevelopment plan/Agency contractually obligated to reimburse Town for lease payments made on COPS 4 Successor Agency Administrative Admin Costs 1/1/2012 6/30/2017 Town of Danville Staff, consultant and vendor costs 23,900 N $ 23,900 8,000 $ 8,000 15,900 $ 15,900 Costs necessary to carry out dissolution/wind down duties of Successor Agency, consistent with the Administrative Budget approved by the Oversight Board 5 Property Management Fee for 115- Property Maintenance 4/15/2011 6/30/2017 SPM Properties, Inc. Property management for multi -tenant - Y $ - $ - $ 125 Hartz Avenue commercial property owned by Successor Agency located at 115-125 Hartz Avenue. Monthly fee per contract equal to 3.5% of gross rental income for that month 6 Town Loan/Cooperation Agreement Reentered Agreements 5/1/2012 6/30/2024 Town of Danville Town loaned funds to Agency 9,359,401 N $ 1,000,000 500,000 $ 500,000 500,000 $ 500,000 necessary to make debt service payments and pay for capital projects within the Project Area, consistent with the Redevelopment Plan, in years when Agency did not have sufficient funds to make such payments. Oversight Board approved Reentered Agreement on May 7, 2012 7 N $ - $ - $ 8 N $ $ $ 9 N $ $ $ 10 N $ $ $ 11 N $ - $ - $ 12 N $ $ $ 14 N $ $ $ 15 N $ $ $ , 16 N $ - $ - $__t. 17 N $ $ $ 18 N $ $ $ 19 N $ $ $ 20 N $ - $ - $..::. 21 N $ $ $ _ 22 N $ - $ - $. 23 N $ $ $ :, 241 N $ $ $ 25 N $ $ $ 26 N $ $ $ i 27 N $ $ $ 28 N $ $ $ f 29 N $ $ $ 30 N $ $ $ l 31 N $ $ $ 32 N $ $ $ 33 N $ $ $ is 34 N $ $ $ 3 35 N $ $ $ 36 N $ $ $ j 37 N $ $ $ 38 N $ $ $ , 39 N $ $ $ 40 N $ $ $ 41 N $ $ $ 421 N $ $ $ 43 N $ $ $ 44 N $ $ $ 45 N $ $ $ I 46 - N $ $ $ si - 47 N $ $ $ 48 N $ $ $ 49 N $ - $ 50 NJ $ - $ _ $ � ] m g v 0 t CL ■ � � \ \ j k n k § IL % CD k \ k § ■ \ k @ ƒ CL / cag E _ E E _ 3 I CN C4 _ LL- #�2 (L c ° \ }k\ cli 1-7 U) ®/ ±K \f/ LL 0 e[— S))f[$ a § ]2to 0 CO) LL a ` a- Ca ��£ \ a) :fid ƒ.2 a) \ m \z _ ) \{ § CO ® \ \ ® 'D E \ ' ) k`/ ° \000 \ - 0 ca E k - g § _ § 2 ~� §E a ) / 0 k S 2 \) m 3m § f\ E E ) \ ) a4 J a) a_ 0 { \ �j ( § /�� w ?J 2/ @ ) _ - -17 s �/ \) \ai = � § ) ±5 M £ \){ S /C0) § )/ _ / �3& « )} 0 2 <c - «c °`° 0o cn )§) \J E&#17 </ r— 0 >/\ CD x /( \ 22 �m 0 wao Wk �_@ Wo « n T E p .. 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L N - N N I L T O LL oo a L O a cu ¢'U) o,' N cc a N 3 C QQ O Q ai 'o VI C O w •(L) c13) Gi N 3 U C I O U O N i I •� cn G% N fn N Q I E N N Q i li RS Er L LI pl �'I d I ER •«' O '', '', O O). 01 N C fq I, I I I II Z r 3 s Q D o H of I I I i I I I � I- I 11 I SUCCESSOR AGENCY TO THE FORMER COMMUNITY DEVELOPMENT AGENCY OF THE TOWN OF DANVILLE ADMINISTRATIVE BUDGET-ROPS 17-18 7/1/17-6/30/18 ROPS 17-18A (7/1/17-12/31/17) Budget Item Pun Group Purpose Financial audit for Successor Agency Town of Danville Staff/Overhead Costs Town Staff and overhead costs necessary to admininster Successor Agency duties related to dissolution and wind down Total for Period - ROPS 17-18A ROPS 17-18B (1/1/18-6/30/18) Budget Item Pun Group Bank of New York Willdan Financial Services Purpose Financial audit for Successor Agency Fiscal Agent for 2001 and 2005 COP's and 2001 TRB's Required annual disclosure statements for COP'S and TRB's Town of Danville Staff/Overhead Costs Town Staff and overhead costs necessary to admininster Successor Agency duties related to dissolution and wind down Total for Period - ROPS 17-18B Total for ROPS 17-18 Estimated Cost $3,000 Exhibit 2 $5,000 $8,000 $1,500 $5,400 11M $5,000 $15,900 $23,900 C:\Users\rewing\AppData\Local\Microsoft\Windows\Temporary Internet Files\Content.Outlook\MXIKBH77\SA Admin budget FY 17-18 summitted 12/13/2016