HomeMy WebLinkAbout2011-08-23 - AGENDA REPORTS - SCRDA ENFORCEABLE OBLIGATIONAgenda Item: 12
CONSENT CALENDAR
DATE:
SUBJECT:
DEPARTMENT:
CITY OF SANTA CLARITA
AGENDA REPORT
City Manager Approval:
Item to be presented by:
August 23, 2011
Armine Chaparyan
ADOPTION OF AN ENFORCEABLE OBLIGATION PAYMENT
SCHEDULE AS REQUIRED BY SECTION 34169 OF THE
HEALTH AND SAFETY CODE
Community Development
RECOMMENDED ACTION
Redevelopment Agency Board adopt the attached Enforceable Obligation Payment Schedule
(EOPS) and direct Agency Staff to comply with the reporting and posting requirements of the
EOPS statute.
BACKGROUND
On June 29, 2011, as part of adopting the State of California Fiscal Year 2011-12 budget, the
Governor signed two trailer bills: AB X1 26 ("Dissolution Act") and AB X1 27 ("Voluntary
Alternative Redevelopment Program" or WARP"), into law. The legislation became effective on
June 29, 2011. The Dissolution Act eliminates redevelopment agencies as of October 1, 2011,
and requires all agencies to adopt an Enforceable Obligations Payment Schedule (`BOPS") for
payments to be made between October 1 and December 31. The Voluntary Alternative
Redevelopment Program provides an opportunity for cities to voluntarily "opt -in" to a new
statutory payment scheme that will allow their redevelopment agencies to continue to operate and
function "upon the enactment of an ordinance enacted by the community to comply with this part
on or before November 1, 2011". An opt -in ordinance under AB X1 27, if adopted by a City,
would eliminate the requirement that its Agency adopt an EOPS.
The Dissolution Act immediately suspended all new redevelopment activities and incurrence of
indebtedness and dissolves redevelopment agencies ("RDAs") effective October 1, 2011. The
VARP avoids dissolution but requires specified substantial annual contributions to local schools
and special districts. If all cities and counties were to opt -in to the VARP, these contributions
would amount to $1.7 billion for FY 2011-2012 and appear intended to amount to $400 Million
in each succeeding year (subject to increasing adjustments annually for the life of the
redevelopment project area).
If the City were to opt -in to the VARP, the contribution for FY 2011-2012 would be $714,756,
(subject to potential reduction based on the outcome of an appeal), and is projected to be
$169,374 for FY 2012-2013. Under the opt -in, the City would make the semi-annual payments
to the County Auditor -Controller, but could then be reimbursed by the Redevelopment Agency
for an amount not to exceed the amount paid to the County. The Agency's property tax
increment funds sent to the City under this reimbursement regime would be used for activities
"related to" the purposes of redevelopment.
The California Redevelopment Association ("CRA") and the League of California Cities filed a
lawsuit in the California Supreme Court challenging the constitutionality of AB X1 26 and AB
X1 27. On August 11, 2011, the California Supreme Court announced it would hear the lawsuit,
which requests that the Court declare AB X1 26 and AB Xl 27 unconstitutional. The court
established an expedited briefing schedule designed to facilitate oral argument as early as
possible in 2011, and a decision before January 15, 2012.
The Court also issued a partial stay regarding suspension of the effectiveness of AB X1 26 and
AB X1 27 until it can rule on the constitutionality of these two bills. The Court allowed the first
statute to remain in effect insofar as it precludes existing redevelopment agencies from incurring
new indebtedness, transferring assets, acquiring real property, entering into new contracts or
modifying existing contracts or entering into new partnerships, adopting or amending
redevelopment plans, but it stayed enforcement of both statutes in all other respects. On August
17, the Court modified its stay to clarify that the statute requiring the EOPS was to also remain in
effect. Due to this modification, the Agency must adopt an EOPS listing all enforceable
obligations that would need to be paid for the months following the adoption of the EOPS
through December of 2011 as required by AB Xl 26.
The stay does create a conflict in regard to making tax -sharing payments. Tax -sharing obligations
are not Enforceable Obligations under the stay. Under the dissolution scheme of AB X1 26 the
tax sharing payments are to be made by county auditor -controllers rather than by the
redevelopment agencies. With the stay in place there is no legal authorization to make the
tax -sharing obligations.
Staff therefore recommends that the Agency Board adopt the attached schedule, which identifies
the Agency's enforceable obligations, and direct Agency Staff to comply with the reporting and
posting requirements of the EOPS statute.
ALTERNATIVE ACTIONS
Other actions as determined by the Redevelopment Agency Board.
FISCAL IMPACT
No fiscal impact as a result of this item.
ATTACHMENTS
Enforceable Obligation Payment Schedule
Name of Redevelopment Agency: The City of Santa Claris Redevelopment Agency Page 1 of 2 Pages
Project Area(s) Newhall Redevelopment Project Area
ENFORCEABLE OBLIGATION PAYMENT SCHEDULE
Per AB 26 - Section 34167 and 34169 (•)
Project Name I Debt Obligation
Payee
Description
Total Outstanding
Debt or Obligation
Total Due During
Fiscal Year
Payments by month
Aug"
Sept
Oct
Nov
Dec
Total
12
Tax Allocation Bonds Series 2008
Bank of New York
Bonds issued to fund redevelopment projects
57,154,069.61
1.781,648.00
1,112,673.75
$ 1.112,673.75
2
Housing Set -Aside Tax Allocation Bonds Series
2008
Bank of New York
Bonds issued to fund low and moderate
income homing projects and programs
17,090,289.63
530,256.00
328,878.13
$ 328,878.13
3)jCny,
Loan amended and restated on 3/8/11
City of Santa Clarta
Loan for public works project
12,736,964.19
823,778.41
403,721.43
$ 403,721 A3
__42
City Loan entered into on 12/08/09
City of Santa Clarita
Loan for public works project
2,651,721.20
0.00
$
5
City Loan entered into on 622/10
City of Santa Clarita
Loan for public works project
2*367,229174
0.00
$
6
Statutory Payment - Est based on 2010-11 "'
Los Angeles Co. Gen.Fund 8 Cap Outlay
Payments per CRL 33607.5
184,868.18
27,527.68
43,418.42
$ 70,946.10
7
Statutory Payment - Est based on 2010-11 "'
LA County Library
Payments per CRL 33607.5
12,598.14
12,598.14
$ 12,598.14
8
Statutory Payment - Est based on 2010A 1 "-
Consolidated Fee Protection District OF
Payments per CRL 33607.5
79,609.15
79,609.15
$ 79,609.15
9
Statutory Payment - Est based on 2010-11 "-
Los Angeles County Fee - FFW
Payments per CRL 33607.5
2,226.01
2,226.01
$ 2,226.01
10
Staturtory Payment - Est based on 2010-11 "'
LA County Flood Control Imp, District Maint
Payments per CRL 33607.5
1,160.74
1,160.74
$ 1,160.74
11
Statuto Payment - Est based on 2010-11 "'
LA County Flood Control Maim.
Payments per CRL 33607.5
6,566.43
6,566.43
$ 6,566.43
12
Statutory Payment - Est based on 2010A 1 "-
Greater LA County Vector Control
Payments per CRL 33607.5
240.18
240.18
1
$ 240.18
13
Statutory Payment - Est based on 2010-11 "'
County Sanitation District No. 32 operating
Payments per CRL 33607.5
16,412.45
16,412A5
$ 16.412.45
14
Statutory Payment - Est based on 2010-11 "'
City -Santa Clarita TD 41
Payments per CRL 33607.5
31,015.41
31,015.41
$ 31,015.41
15
Statutory Payment - Est based on 2010-11 '-'
Santa Clarita Street Light Maintenance
Payments per CRL 33607.5
10,239.86
10,239.86
$ 10,239.86
16
Statutory Payment - Est based on 2010-11 "-
Castaic Lake Water Agency
Payments per CRL 33607.5
51,982.46
51,982.46
$ 51,982.46
17
Statutory Payment - Est based an 2010A 1 "'
Newhall County Water District
Payments per CRL 33607.5
659.68
659.68
$ 659.68
18
Statutory Payment - Est based on 2010-11 "'
County School Services
Payments per CRL 33607.5
612.20
612.20
$ 612.20
19
Statuto Payment - Est based on 2010-11 "'
Children's Institutional Tuition Fund
Payments per CRL 33607.5
1,215.02
1,215.02
$ 1,215.02
20
Statutory Payment - Est based on 2010-11 "'
Newhall School District
Payments per CRL 33607.5
33,945.56
33,945.56
$ 33,945.56
21
Statutory Payment - Est based on 2010-11 "-
County School Services Fund - Newhall
Payments per CRL 33607.5
3,254.88
3,254.88
$ 3.254.88
22
Statutory Payment - Est based on 2010-11 "'
Dev. Center Handicapped Minor - Newhall
Payments per CRL 33607.5
358.31
358.31
$ 358.31
23
Statutory Payment - Est based on 2010.11 "'
Saugus Union School District
Payments perCRL 33607.5
1,208.33
1,208.33
$ 1,208.33
24
Statutory Payment - Est based on 2010-11 "-
County School Services Fund - Saugus U
Payments per CRL 33607.5
174.06
174.06
$ 174.06
25
Statutory Payment - Est based on 2010-11 -^
Dev. Center Handicapped - Saugus Univ
Payments per CRL 33607.5
19.94
19.94
$ 19.94
26
Statutory Payment - Est based on 2010-11 "-
Han William S Union High
Payments per CRL 33607.5
34,950.49
34,950.49
$ 34,950.49
27
Statuto Payment - Est based on 2010-11 "'
County School Services Fund - Han William
Payments per CRL 33607.5
145.68
145.68
1
$ 145.68
28
Statutory Payment -Est based on 2010-11 "'
Han William S - Elementary School
Payments per CRL 33607.5
18,382.85
18,389.85
$ 18,389.85
29
Statutory Payment - Est based on 2010-11 "' •
Santa Clarita Community College
Payments per CRL 33607.5
16,051.48
16,051.48
$ 16,051.48
30
Sec 33607.8 Payment -Est based on 2010-11 '••
Castaic Lake Water Agency
Payments per CRL 33607.8 Debt Service
157,471.51
157,471.51
$ 157,471.51
$
Totals - This Page
Totals - Page 2
Totals - Page 3
Totals - Page 4
Totals - Other Obligations
Grand total - All Pages
$ 92,000,274.37
1E 3,801,058.41
E
$ 1,845,273.31
$ 480,507.82
$ 27,527.68
$ 43,418.42
$ 2,396,727.23
$ 1,135,193.15
1 $ 1,135,193.15
$ 56,603.90
$ 102,113.90
$ 137,644.90
$ 262,386.71
$ 126,553.86
$ 685,303.27
$
$
$
8
E
S
$
$
$
E
$
$
$
E
$
$
$
E
$
$
$
$
$
$
$ 93,135,467.52
11 $ 4,936,251.56
$ 56,603.90
$ 1,947,387.21
$ 618,152.72
Q $ 289,914.39
$ 169,972.28
$ 3,082,030.50
• This Enforceable Obligation Payment Schedule (EOPS) is to be adopted by the redevelopment agency no later than late August It is valid through 12131111. It is the basis for the Preliminary Draft
Recognized Obligation Payment Schedule (ROPS), which must be prepared by the dissolving Agency by 9130111. (The draft ROPS must be prepared by the Successor Agency by 11130111.)
If an agency adopts a continuation ordinance per ABX1 27, this EOPS will not be valid and there is no need to prepare a ROPS.
" Include only payments to be made after the adoption of the EOPS.
-The Agency will make the statutorily -required payments unless they are determined to be the obligation of the County of Los Angeles pursuant to Sections 341 67(d)(3) and 34183 of the Health and Safety Code as set forth in ABx1 26.
Name of Redevelopment Agency: The City of Santa Clanta Redevelopment Agency
Project Area(s) Newhall Redevelopment Project Area
ENFORCEABLE OBLIGATION PAYMENT SCHEDULE
Per AB 26 - Section 34167 and 34169 (•)
Page 2 of 2 Pages
Project Name / Debt Obligation
Payee
Description
Total Outstanding
Debt or Obli ation
Total Due During
Fiscal Year
Payments by month
Aug—
Sept
Oct
Nov
Dec
Total
1
Contract for Relocation Services
California Property Specialists,
Property management and relocation services
8,312.50
8,312.50
179.00
693.00
693.00
693.00
693.00
$ 2,951.00
2
Contract for Consulting Services
Rosenow S acek Group, Inc.
Redevelopment consulting
28,855.00
28,855.00
621.00
2,405.00
2,405.00
21405+00
29405+00
$ 10,241.00
3)
Agency Employment Costs
Employees of Agency
Payroll costs for employees
315,424.00
315,424+00
7,632.00
26,286.00
26,286.00
261286400
269286+00
$ 112,776.00
4
Contract for Engineeri Services
HDR Engineering
Engineering services for the agency
18,524.00
1 18,524.00
1,046.00
3,923.00
4,054400
3,923.00
4,054+00
$ 17,000+00
5
Administrative Agency Costs
City of Santa Clarita
Misc. administrative agency costs
210,757.00
210.757.00
14,764.91
36,445.91
15,845.91
15,845.91
15,845.91
$ 98,748.55
6
Financial Audit
Caporicci and Larson
Annual financial audit
2,298.15
2,298A 5
2,298.15
$ 2,298.15
7
Pro Taxes
County of Los Angeles
Property Taxes
75,000600
75,000.00
37,500.00
$ 37,500.00
8
Contract for Attorney Services
Burke Williams Sorenson
legal Fees
50,000.00
50,000.00
6,000.00
6,000.00
6,000.00
6,000.00
6,000.00
$ 30,000.00
9
Newhall Streetscape PH II
Pack Coast Land Design
Landscape Design
13,881657
13,881.57
4,627.19
4,627.19
4.627.19
0.00
$ 13,881.57
10
Newhall Streetscape PH II
Bryan Smith Consulting
Landscape Design Reviewfispection
5.400.00
5,400.00
1,080.00
1,080.00
1,080.00
1,080.00
1,080.00
$ 5,400.00
11
Newhall Streetacape PH 11
County of Los Angeles
Storm Drain Inspection
34,238.00
34.238.00
0.00
20,000.00
0.00
14,238.00
$ 34,238400
12
MetrolinWSCRRA Fencing
STL Landscape
Landscape Construction
83,269.00
83,269.00
16,653.80
16,653480
16,653.80
16.653.80
16,653.80
$ 83,269.00
13
MetrolinWSCRRA Fencing
City of Santa Clarita
Administrative Costs
20,000.00
20,000.00
4.000.00
4,000.00
4.000.00
4.000.00
4,000.00
$ 20,000.00
14
Newhall Roundabout
Pacific Coast Land Design
Design Services
47,040.90
47,040.90
0.00
0.00
15,000.00
10.000.00
10,000.00
$ 35,000.00
15
Newhall Roundabout
MNS Engineering
Engineering services
92,193.03
92,193.03
0.00
0.00
20,000.00
20,000.00
20,000+00
$ 60.000.00
16
Newhall Roundabout
So. Calif. Edson
Streellight design and pole relocation
115,000.00
115,000.00
0.00
0.00
0.00
115,000.00
0.00
$ 115,000.00
17
Newhall Roundabout
City of Santa Ctanta
Administrative Costs
15,000400
15.000.00
0.00
0.00
1,000.00
3,000.00
3,000.00
$ 7,000.00
18
$
19
$
20
$
21
$
22
$
23
$
24
$
25
$
26
$
27
$
28
$
29
$
30
$
31
$
32
$
33
$
34
$
35
$
36
$
37
$
38)
$
Totals - This Page
$ 1, 135,193.15
$ 1,135,193.15
$ 56,603.90
$ 102,113.90
$ 137644.90
$ 262286.71
$ 126.553.86
$ 685,303.27
• This Enforceable Obligation Payment Schedule (EOPS) is to be adopted by the redevelopment agency no later than late August. It is valid through 12131111. R Is the basis for the Preliminary Draft
Recognized Obligation Payment Schedule (ROPS), which must be prepared by the dissolving Agency by 9130111. (The draft ROPS must be prepared by the Successor Agency by 11130111.)
If an agency adopts a continuation ordinance per ABX1 27, this EOPS will not be valid and there Is no need to prepare a ROPS.
•• Include only payments to be made after the adoption of the EOPS.