HomeMy WebLinkAbout2013 003 CC RESO RESOLUTION NO. 2013-003
A RESOLUTION OF THE CITY OF BALDWIN PARK PROVIDING A
LOAN TO THE SUCCESSOR AGENCY OF THE COMMUNITY
DEVELOPMENT COMMISISON TO PAY A PORTION OF THE FISCAL
YEAR 2013-2014 ENFORCEABLE OBLIGATIONS
WHEREAS, On May 2, 2012, the Successor Agency to the Baldwin Park
Community Development Commission (the "Successor Agency") approved the Fiscal
Year (FY) 2012-2013 Administrative Budget and on May 8, 2012, the Oversight Board
approved the Administrative Budget for FY 2012-2013; and
WHEREAS, On May 8, 2012, the second Recognized Obligation Payment
Schedule (ROPS) for the Successor Agency for the period of June 30, 2012 through
December 31, 2012 was adopted by the Oversight Board; and
WHEREAS, AB 1484 Section 34173(h) of the Health and Safety Code authorizes
the Successor Agency to borrow money or accept grants for administrative costs,
enforceable obligations, or project-related expenses at the city's discretion, but the
receipt and use of these funds shall be reflected on the Recognized Obligation Payment
Schedule or the administrative budget and therefore are subject to the oversight and
approval of the oversight board. An enforceable obligation shall be deemed to be
created for the repayment of those loans; and
WHEREAS, due to timing issues, the Successor Agency is requiring a loan from
the City of Baldwin Park to meet its FY 2013-2014 enforceable obligations; and
WHEREAS, the Fiscal Year 2013-2014 Loan Agreement documenting such loan
is attached hereto as Exhibit "A" and by this reference incorporated herein (the "Loan
Agreement")
NOW, THEREFORE, BE IT HEREBY RESOLVED, DETERMINED AND
ORDERED BY THE CITY OF BALDWIN PARK AS FOLLOWS:
SECTION 1. The City agrees to loan the Successor Agency up to $250,000
which is the amount approved in the Administrative Budget by the Successor Agency
and the Oversight Board, to cover a portion of the Enforceable Obligations for 2013-
2014;
SECTION 2. The Successor Agency agrees to repay the loan from property tax
received from the County of Los Angeles by June 30, 2014, or as soon as enough
property tax monies are made available to the Successor Agency.
SECTION 3. The Successor Agency agrees to pay interest to the City of Baldwin
Park per annum at rate equal to the California Local Agency Investment Fund (LAIF)
annual rate
SECTION 4. The Chief Executive Officer is hereby authorized to execute the
Loan Agreement attached hereto as Exhibit "A" and all necessary documents to carry
out the purpose and effect of this resolution.
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PASSED AND ADOPTED this 20th day of Februa '. 2013.
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ilt"Fozano, Mayor
ATTEST: f
kfrill ALEJAND A A ILA, SECRETARY, OVERSIGHT BOARD
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) SS
CITY OF BALDWIN PARK )
I, Alejandra Avila, Secretary of the Successor Agency to the Community
Development Commission, do hereby certify that the foregoing resolution was duly and
regularly approved and adopted by the Successor Agency at a regular meting thereof,
held on the 20th day of February, 2013.
AYES: BOARD MEMBERS: Marlen Garcia, Mayor Pro Tern Monica Garcia, I
Mayor Manuel Lozano, Ricardo Pacheco, Susan Rubio
NOES: BOARD MEMBERS:
ABSENT: BOARD MEMBERS:
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ALEJA 4D' • AVILA,
CITY CLERK
EXHIBIT"A"
FISCAL YEAR 2013-14
LOAN AGREEMENT
SUCCESSOR AGENCY TO THE COMMUNITY DEVELOPMENT COMMISSION
THIS AGREEMENT is entered into effective February 20, 2013 by and between
the City of Baldwin Park, municipal corporation, (the "City"), and the Successor Agency to
the Community Development Commission ("Successor Agency"), a public body,
corporate and politic (the "Commission").
RECITALS
WHEREAS, AB 1484 Section 34173(h) of the Health and Safety Code authorizes
the Successor Agency to borrow money or accept grants for administrative costs,
enforceable obligations, or project-related expenses at the city's discretion, but the
receipt and use of these funds shall be reflected on the Recognized Obligation Payment
Schedule or the administrative budget and therefore are subject to the oversight and
approval of the oversight board. An enforceable obligation shall be deemed to be created
for the repayment of those loans.
NOW, THEREFORE, in consideration of the foregoing and the mutual covenants
contained herein, the parties hereto agree as follows:
COVENANTS
SECTION 1. Amount of Loan. The City and Successor Agency acknowledge the
City will loan the Successor Agency up to $250,000 to cover the administration cost for
fiscal year 2013-14, in order to allow the Successor Agency to wind down the affairs of
the Successor Agency and pay its enforceable obligations.
SECTION 2. Disbursement of funds. The City acknowledges that will disburse
the Loan as requested by the Successor Agency during the fiscal year 2013-14. The
Successor Agency will use such proceeds only for the purposes provided for in the
Administrative Budget and/or ROPS adopted by both the Successor Agency and the
Oversight Agency.
SECTION 3. Interest. The Successor Agency agrees to pay the City interest per
annum at rate equal to the California Local Agency Investment Fund (LAIF) annual rate.
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SECTION 4. Repayment. The Successor Agency agrees to repay the Loan from
monies disbursed by the County of Angeles from the Redevelopment Property Tax Trust
Fund (RPTTF) by June 30, 2014, or as soon as enough of such monies are made
available to the Successor Agency.
City of Baldwin Park Successor Agency to the City of
Baldwin Park
c7 I I _ o I . /
By �� By:
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iii V"-y Sing ief Executive Officer ijay Sing Director
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