HomeMy WebLinkAbout7195_CCv0001.pdf RESOLUTION NO. 7195
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDLANDS
TAKING CERTAIN ACTIONS WITH RESPECT TO THE PROVISION OF A
LOAN TO THE SUCCESSOR AGENCY TO THE FORMER
REDEVELOPMENT AGENCY OF THE CITY OF REDLANDS
RECITALS
WHEREAS, on November 1, 2011, the City Council of the City of Redlands (the "City")
approved Resolution 7089 electing to serve as a successor agency to the former redevelopment
agency of the City of Redlands (the "Successor Agency") pursuant to Section 341.73 of the
Health and Safety Code; and
WHEREAS, Assembly Bill No. 1484 was signed by the Governor of California on June
27, 2012, adding among other things, Chapter 9 (commencing with Section 34191.1) to Part
1.85 of Division 24 of the California Health and Safety Code; and
WHEREAS, on July 9, 2012 the Successor Agency received a demand for payment in the
amount of Two Million Eight Hundred Sixty Seven Thousand Fifty Two Dollars ($2,867,052)
from the San Bernardino County Auditor-Controller/Treasurer/Tax Collector pursuant to Section
34183.5(b)(2)(A) of Assembly Bill No. 1484; and
WHEREAS, On July 11, 2012 the Successor Agency received a revised demand for
payment in the amount of Two Million Six Hundred One Thousand Two Hundred Sixty Nine
Dollars ($2,601,269) (the "Payment") from the San Bernardino County Auditor-
Controller/Treasurer/Tax. Collector pursuant to Section 34183.5(b)(2)(A) of Assembly Bill No.
1484; and
WHEREAS, pursuant to Section 34183.5(b)(2)(C) of Assembly Bill No. 1484, if the
Successor Agency fails to make the Payment by July 12, 2012, the Successor Agency will be
subject to a penalty of 10% of the amount owed, plus 1.5% for each additional month that the
Payment is late, and the City shall not receive its distribution of sales and use tax scheduled for
July 18, 2012, or any subsequent distribution, until the required Payment is made; and
WHEREAS, the Successor Agency does not have sufficient funds in its Redevelopment
Obligation Retirement Fund to make the payment and, pursuant to Section 34173(h) of the
Health and Safety Code, the city that authorized the creation of a redevelopment agency may
loan or grant funds to a successor agency for administrative costs, enforceable obligations, or
project-related expenses at the city's discretion; and
WHEREAS, it is in the best interest of the City that the Successor Agency make the
Payment to the San Bernardino County Auditor-Controller/Treasurer/Tax Collector so that the
City shall receive its distribution of sales and use tax scheduled for July 18, 2012; and
WHEREAS, the loan would be evidenced by a promissory note requiring repayment of
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the loan by the Successor Agency including interest accrued at the current State of California
Local Agency Investment Fund interest rate of 0.38%, and the receipt of the fimds shall b
reflected on Recognized {obligation Payment Schedule or the administrative budget of the
Successor Agency and therefore subject to the oversight and approval of the{oversight Board.
NOW,THEREFORE,BE IT RESOLVED by the City Council of the City of Redlands as
follows.
Section 1 The above recitals are true and: correct and are a substantive part of this
Resolution.
Section 2. This Resolution is adopted pursuant to Health and Safety Code Section
34173.
Section 3. The City Council hereby authorizes a loan to the Successor Agency in the
amount of Sixty Five Thousand Six Hundred Seven and Thirty Seven One Hundredths Dollars
($65,6(}7.37) and authorizes the Mayor of City of Redlands, or any City Councilmernber, to
execute loan documents.
Section 4. The adoption of this Resolution is not intended and shall not constitute a
waiver by the City or the Successor Agency of any right the City or Successor Agency may have
to challenge all or any portion of Assembly Bill No. 1454, or the demand for the Payment,
through administrative or judicial proceedings.
Section 5. This Resolution has been reviewed with respect to applicability of the
California:Environmental Quality Act ("CEQA"), the State CEQA Guidelines(California Code
of Regulations, Title 14, Sections 15000 et seq., hereafter the "Guidelines"), and the City's
environmental guidelines.The City Council has determined that this Resolution is not a"project"
for purposes of CEQA, as the term is defined by Guidelines Section 15378, because this
Resolution is an administrative activity that will not result in a direct or indirect physical change
in the environment(Guidelines Section 15378(b)(5)).
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ADOPTED, SIGNED AND APPROVED this I I'day of July, 2012.
Peter Aguilar, Mayor
ATTEST:
Sam Ir�ttyv
1, Sam Irwin, City Clerk of the City of Redlands, hereby certify that the foregoing Resolution was duly
adopted by the City Council at a special meeting thereof, held on the 11th day of July, 2012, by the
following vote:
AYES: Councilmembers Foster, Harrison, Gardner; Mayor Aguilar
NOES: None
ABSTAIN: None
ABSENT: Councilmember Bean
Sam Irwin,City Clerk
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