Loading...
HomeMy Public PortalAboutA1993-12-21LRALYNWOOD REDEVELOPMENT AGENCY 11330 BULLIS ROAD LYNWOOD, CALIFORNIA 90262 (310) 603.0220 AGENDA LYNWOOD REDEVELOPMENT AGENCY DECEMBER 21, 1993 REGULAR MEETING 7:30 P.M. LYNWOOD CITY HALL, 11330 BULLIS ROAD PAUL H. RICHARDS, II CHAIRMAN LOUIS BYRD VICE CHAIRMAN ROBERT HENNING MEMBER EXECUTIVE DIRECTOR FAUSTIN GONZALES OPENING CEREMONIES: A. Call Meeting to Order. B. Roll Call (RICHARDS- BYRD - HEINE - HENNING -REA) C. Certification of Agenda Posting by Secretary PUBLIC ORAL COMMUNICATIONS (Regarding Agenda Items Only) ITEMS FOR CONSIDERATION 1. MINUTES OF PREVIOUS MEETING Regular Meeting of December 7, 1993 F CITY OF LY;'Jt!OO:) CITY CLERKS OFFICE 1 193 AM PM 718191100111211121314 LOUIS J. HEINE MEMBER ARMANDO REA MEMBER AGENCY COUNSEL WILLIAM RUDELL 2. A RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF LYNWOOD, CALIFORNIA, ALLOWING AND APPROVING THE DEMANDS AND WARRANTS THEREFORE. REGULAR ITEMS 3. REQUEST TO INVESTIGATE DEVELOPMENT OF MUNICIPAL PARKING LOTS AT 5150 IMPERIAL HIGHWAY AND SANBORN AVENUE ADJACENT TO LONG BEACH BOULEVARD AND OTHER PARKING FACILITIES IN CONNECTION WITH THE CITY'S COMMERCIAL REHABILITATION PROGRAM Comments: To request that the Agency authorize staff to investigate the preliminary design and development of two parking lots and other parking facilities in conjunction with the City's Commercial Rehabilitation Program. Recommendation: Staff respectfully requests that after consideration, that the Agency authorize staff to investigate the preliminary design and development of an implementation program for two parking lots and other potential parking facilities in conjunction with the City's Commercial Rehabilitation Program in Redevelopment Project Area "A ". 4. RESOLUTIONS OF THE LYNWOOD REDEVELOPMENT AGENCY AUTHORIZING BONDS, INDEBTEDNESS AND OTHER OBLIGATIONS OF THE AGENCY PAYABLE FORM TAXES ALLOCATED TO THE AGENCY FROM PROJECT AREA "A" AND THE ALAMEDA PROJECT AREA. Comments: To request that the Agency consider adopting resolutions authorizing bonds, indebtedness and other obligations of the Agency payable from taxes allocated to the Agency from Project Area "A" and the Alameda Project Area. Recommendation: Staff respectfully requests that after consideration, that the Agency adopt the attached resolutions authorizing bonds, indebtedness and other obligations of the Agency payable from taxes allocated to the Agency from Project Area "A" and the Alameda Project Area. CLOSED SESSION 54956.8 - Real Estate Negotiations 54956.9 - Pending Litigation 54956.9B - Potential Litigation 54957 - Personnel Matters 54957.6 - Employee Salaries/Benefits AGENCY ORAL AND WRITTEN COMMUNICATION None PUBLIC ORAL COMMUNICATION None ADJOURNMENT Motion to adjourn to a Regular Meeting of the Lynwood Redevelopment Agency to be held January 4. 1994, at 7:30 p.m., in the Council Chambers of City Hall, 11330 Bullis Road, Lynwood. California. LYNWOOD REDEVELOPMENT AGENCY DECEMBER 7 1993 The Redevelopment Agency of the City of Lynwood met in a Regular Session in the City Hall, 11330 Bullis Road on the above date at 8:10 p.m. Chairman Richards in the chair. Members Byrd, Heine, Henning, Rea and Richards answered the roll call. Also present were City Manager Gonzales, Interim Counsel Rudell, Secretary Hooper and Treasurer Pygatt. Secretary Hooper announced the agenda had been duly posted in accordance with The Brown Act. PUBLIC ORAL COMMUNICATIONS Jose Legaspi, Representative of K.V. Properties spoke on behalf of the Central Plaza Exclusive Negotiations Agreement for the property located at Abbott & Atlantic. Stated K. V Properties is a developer that also owns, Valu -Plus. Also stated K. V. has been working on a master plan with Central Electric. Is requesting approval from the Agency. Robert Downs 3920 Carlin Ave. questioned the time frame of the Exclusive Negotiation. Director of Community Development stated the term is sixty days, with an option for a sixty day renewal. Robert Downs also asked whether or not the agency has the responsibility of notifying the Public of any changes. City Manager Gonzales stated the Exclusive Negotiation process leads to a D.D.A. with other parties, for which there are Public Hearing notice requirements. ITEMS FOR CONSIDERATION It was moved by Member Rea, seconded by Member Byrd and carried to approve the following minutes: a) November 16, 1993 It was then moved by Member Heine, seconded by Member Byrd to adopt: LRA RESOLUTION NO. 93 -39 ENTITLED: "A RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF LYNWOOD, CALIFORNIA, ALLOWING AND APPROVING THE DEMANDS AND WARRANTS THEREFORE". ROLL CALL: AYES: • MEMBER BYRD, HEINE, HENNING, REA, RICHARDS NOES: NONE ABSENT: NONE It was then moved by Member Byrd, seconded by Member Rea to RECEIVE AND FILE, STATUS UPDATE ON THE COMMERCIAL REHABILITATION PROGRAM. ROLL CALL: AYES: MEMBER BYRD, HEINE, HENNING, REA, RICHARDS NOES: NONE ABSENT: NONE It was then moved by Member Byrd, seconded by Member Heine to adopt: LRA RESOLUTION NO. 93 -40 ENTITLED: "A RESOLUTION OF THE LYNWOOD REDEVELOPMENT AGENCY APPROVING AN EXCLUSIVE NEGOTIATION AGREEMENT ( "ENA") BETWEEN THE LYNWOOD REDEVELOPMENT AGENCY AND R.V. PROPERTIES CORP. AND AUTHORIZING THE CHAIRMAN TO EXECUTE THE AGREEMENT ". ROLL CALL: AYES: MEMBER BYRD, HEINE, HENNING, REA, RICHARDS NOES: NONE ABSENT: NONE Having no further discussion, It was moved by Member Rea, seconded by Member Byrd and carried to adjourn at 8:25. [N9*FA8Ciu►�I CITY CLERK RESOLUTION NO. LRA A RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF LYNWOOD LYNWOOD, CALIFORNIA ALLOWING AND APPROVING THE DEMANDS AND ORDERING WARRANTS THEREFOR The Redevelopment Agency of the City of Lynwood does hereby resolve as follows: Section I. That the demands presented, having been regularly audited, are hereby allowed and approved, and that warrants ordered drawn therefor by the Agency Treasure to the payee and in the amounts indicated. WARRANT# /DATE PAYEE --- - - - - -- -------- ---- - - -- -- DESC AMOUNT AREA A ALAMEDA ---- ------------- ------- - - - - -- --------- - - - - -- ----- -- - - - - -- ------- - - - - -- 3944 12 -21 -93 ALFRED NOBLE /EDUARDO MEDINA CONTRACTUAL SERVICES 3,330.00 3,330.00 0.00 3945 1221 -93 ALFRED NOBLE /EDWARD ELLIS CONTRACTUAL SERVICES 4,950.00 4,950.00 0.00 3946 12 -21 -93 SOUTHERN CALIFORNIA GAS CO GAS SERVICES 105.69 0.00 105.69 3947 12 -21 -93 FULLER & COMPANY, INC. PROFESSIONAL SERVICES 4,734.00 0.00 4.734.00 3948 12 -21 -93 SOUTHERN CALIFORNIA EDISON CO. ELECTRICITY SERVICES 499.59 0.00 499.59 3949 12 -21 -93 DEE -MAR, INC. TEMPORARY SERVICES 2,220.00 1, 110. 00 1, 110. 00 3950 12 -21 -93 PRO IMAGE. INC. FILM DEVELOPMENT 11.90 11.90 0.00 3951 12 -21 -93 SIMPSON & SIMPSON AUDITING SERVICES 1,800-00 900.00 900.00 e* TOTAL 17, 651.18 10, 301. 90 7,349.28 sss :ssssssss sz :szssssssa: sszs :zasasszm Section 2. That the Agency Secretary shall certify to the adoption of the resolution and shall deliver a certified copy to the Agency Treasure and shall retain a copy thereof for the record. PASSED, APPROVED AND ADOPTED THE day of 1993 ATTEST: ANDREA L. HOOPER PAUL H. RICHARDS II SECRETARY CHAIRMAN, Lynwood Redevelopment Agency � y n z d I( H I DATE: December 21, 1993 TO: HONORABLE CHAIRMAN AND MEMBERS OF THE AGENCY FROM: Faustin Gonzales, City Manager BY: Sol Blumenfeld, Director Community Development Depaa ment SUBJECT: Request to Investigate Development of Municipal Parking Lots at 5150 Imperial Highway and Sanborn Avenue adjacent to Long Beach Blvd. In Connection with the City's Commercial Rehabilitation Program Purpose: To request that the Agency authorize staff to investigate the preliminary design and development of an implementation program for two parking lots and the development of other parking facilities in conjunction with the City's Commercial Rehabilitation Program. Background: Staff has been working with business and property owners within Project Area " A " in connection with the City's Commercial Rehabilitation Program. During the course of marketing the program, it was noted by many business and property owners that the commercial corridors are severely undersupplied with parking. Most commercial buildings in the City occupy 100% of the commercial lot area and do not provide off - street parking required under the Municipal Code. Current parking problems have dissuaded many owners from rehabilitating property. Many owners indicate that it is not possible to attract quality tenants to the City's commercial areas because it is not possible to legally operate a business in the City which does not conform to the City's parking standards. Analvsis: In order to carry out a successful commercial rehabilitation program it is necessary to work with business and property owners to assist in the provision of needed off -site parking facilities. The City's parking standards can be satisfied with alternative parking arrangements which locate parking in proximity to shops and businesses along commercial corridors. Staff is currently working within two target areas of the City's Commercial Rehabilitation Program which provide the opportunity to supply needed off -site parking at two sites. The property located on 5150 Imperial Highway is privately owned and would require lease arrangements with the property owner and the property located on Sanborn Avenue adjacent Long Beach Blvd. is Agency owned. Both properties are poorly maintained and their improvement will upgrade the adjacent neighborhood while providing necessary area parking. Upon Agency direction, staff will prepare plans and an implementation program for the subject parking lots and other potential parking facilities within Project Area "A" as part of a coordinated parking program along the City's commercial corridors. Recommendation: Staff respectfully requests that after consideration, that the Agency authorize staff to investigate the preliminary design and development of an implementation program for two parking lots and other potential parking facilities in conjunction with the City's ,cmmerci al Rehabilitation Program in Redevelopment Project Area "A" a:z part_ of a coordinated parking program along the City's - =e­ cial corridors. AGEN7A ?iE.;V: `I DATE: December 21, 1993 TO: HONORABLE CHAIRMAN AND MEMBERS OF THE AGENCY FROM: Faustin Gonzales, City Manager BY: Sol Blumenfeld, Directcr4qtt, Community Development Depment SUBJECT: Resolutions of the Lynwood Redevelopment Agency Authorizing Bonds, Indebtedness and Other Obligations of the Agency Payable from Taxes Allocated to the Agency from Project Area " A " and the Alameda Project Area. Purpose: To request that the Agency authorizing bonds, indebtedness payable from taxes allocated to and the Alameda Project Area. consider adopting resolutions and other obligations of the Agency the Agency from Project Area " A " Background: The State Legislature recently enacted extensive amendments to the Community Redevelopment Law. Effective January 1, 1994 AB 1290 will require that the Lynwood Redevelopment Agency amend the redevelopment plan for Redevelopment Project Area "A" and the Alameda Project Area to bring the redevelopment plan into conformance with the restrictions in AB 1290 relative to the length of time the Agency may receive tax increment revenue to repay indebtedness. Currently, there are no limitations in the redevelopment plan as to the length of time the Agency may receive tax increment to repay indebtedness. The restrictions under AB 1290 would effectively cut off the receipt of tax increment for Redevelopment Project Area " A " and the Alameda Project Area 50 years after the date the redevelopment plan was adopted. (40 years for the duration of the plan and 10 additional years to service debt in connection with the Project Areas.) Analysis: Under AB 1290, if a redevelopment agency authorizes bonded indebtedness prior to the end of this calendar year, the 50 year limitation would not apply to that bonded indebtedness. The attached Resolutions authorize bonded indebtedness with a term to December 1, 2050 and will permit the Agency to issue bonds in the future and continue to receive tax increment until that date to repay the indebtedness thereby avoiding the time limitations. As discussed above, adoption of the attached Resolution will insure that the Agency has the legal right to issue bonds and repay them with tax increments; however, the Resolution in no way obligates the Agency to incur bond debt. Thus, adoption of the Resolution is a good strategy which allows the Agency to keep its options open relative to issuance of bonds, should it wish to do so in the future. Recommendation: Staff respectfully requests that after consideration, that the Agency adopt the attached resolutions authorizing bonds, indebtedness and other obligations of the Agency payable from taxes allocated to the Agency from Project Area "A" and the Alameda Project Area. Attachments 1. Resolutions AGENDA ITEM RESOLUTION NO. A RESOLUTION OF THE LYNWOOD REDEVELOPMENT AGENCY AUTHORIZING BONDS, INDEBTEDNESS AND OTHER OBLIGATIONS OF THE AGENCY PAYABLE FROM TAXES ALLOCATED TO THE AGENCY FROM THE ALAMEDA PROJECT AREA RECITALS: A. The Agency is a public body, corporate and politic, duly organized and validly existing pursuant to the Constitution and laws of the State, and authorized to transact business and exercise its powers under and pursuant to the provisions of the Redevelopment Law, including the power under Section 33601 of the Redevelopment Law to borrow money for any of its corporate purposes; and B. The Agency has determined to authorize the issuance of bonds, indebtedness or other obligations for the purpose of financing and refinancing certain redevelopment projects. NOW, THEREFORE, THE LYNWOOD REDEVELOPMENT AGENCY HEREBY FINDS, DETERMINES, RESOLVES AND ORDERS AS FOLLOWS: Section 1. Definitions Unless the context requires otherwise or unless otherwise defined herein, the capitalized terms used in this Resolution shall have the respective meanings herein specified. "Annual Debt Service" means, for each Obligation Year, the sum of (i) the interest payable on the outstanding Obligation, and (ii) the principal amount of the outstanding Obligation scheduled to be paid or prepaid from principal account payments or sinking account payments in such Obligation Year, excluding the prepayment premiums (if any) thereon. "City" means the City of Lynwood. "Date of Delivery" means the date upon which the Agency physically delivers the Obligations in exchange for the proceeds thereof. "Event of Default" means any of the events described in Section 10 hereof. "Maximum Annual Debt Service" means the largest of the sums obtained for any Obligation Year after totaling the following for each such Obligation Year: A. The interest payable on the outstanding Obligations; B. The principal amount of the Outstanding Obligations scheduled to be paid or prepaid from principal account payments or sinking account payments in such Obligation Year, excluding the prepayment premiums (if any) thereon. "Obligations" means bonds, indebtedness or any other obligation of the Agency, including without limitation, a loan agreement with the Lynwood Financing Authority or any other entity. "Obligation Year" means each twelve -month period beginning on the first day of the month in which the proceeds of the Obligation are delivered to the last day of the preceding month in the next year. 1 "Parity Obligations" means any bonds, indebtedness or other obligations of the Agency payable from Tax Revenues on a parity with the Obligations to finance or refinance redevelopment projects, heretofore issued or incurred or hereafter issued or incurred pursuant to and in accordance with the provisions of this Resolution and any resolution supplementary to this Resolution. "Project Area" means Alameda Project Area, more particularly described in the Redevelopment Plan. "Redevelopment Law" means Part 1 of Division 24, commencing with Section 33000, et sea ., of the Health and Safety Code of the State. "Redevelopment Plan" means the Redevelopment Plan for Project Area "A ", approved and adopted by ordinance of the City together with any amendments thereof heretofore or hereafter duly authorized pursuant to the Redevelopment Law. "State" means the State of California. "Tax Revenues" means that portion of taxes levied upon taxable property within the Project Area and received by the Agency on or after the effective date of the ordinance approving the Redevelopment Plan, allocated to and paid into a special fund (as created hereunder) of the Agency pursuant to Article 6 of Chapter 6 of the Redevelopment Law and Section 16 of Article XVI of the Constitution of the State, exclusive of amounts payable to taxing agencies pursuant to Section 33401 of the Redevelopment Law and exclusive of amounts as may be hereafter designated by the Agency by resolution supplementary to this Resolution to be deposited into the low and moderate income housing fund pursuant to Section 33334.2 and Section 33334.3 of the Redevelopment Law. Section 2. Amount of Indebtedness The Agency hereby authorizes the issuance of Obligations in an aggregate principal amount of $100,000,000. The Obligations may be payable in installments and may be serial, term or any combination thereof. The final maturity date or principal payment date of such Obligations shall be not later than December 1, 2050. The rate or rates of interest on such Obligations shall not exceed 12 percent per annum or such higher amount as may be permitted by law and shall be established on the sale of such obligations or at such time as may hereafter be set forth by the Agency in a resolution supplementary to this Resolution. Section 3. Defeasance Nothing in this Resolution shall preclude the payment of the Obligations from any legally available funds. Nothing in this Resolution shall prevent the Agency from making advances of moneys, howsoever derived to any of the uses and purposes mentioned in this Resolution. If the Agency shall pay or cause to be paid, or shall have made provision to pay upon maturity or upon redemption prior to maturity, the principal and interest to become due thereon, together with the applicable premium, through setting aside in trust funds or setting apart in a reserve fund or special trust account created in connection with this Resolution or otherwise, or through the irrevocable segregation for that purpose in some sinking fund or other fund or trust account with a responsible bank or trust company, moneys sufficient to pay the Obligations or federal securities, the principal of and interest on which when due will be sufficient therefor, then, as to the Agency, this Resolution, and all rights granted hereby, shall thereupon case, terminate and become void and be discharged and satisfied, and the Obligations and interest thereon and any applicable prepayment premium shall no longer be deemed to be outstanding and unpaid; provided, however, that nothing in this Resolution shall require the deposit of more than such federal securities as may be sufficient, taking into account both the principal amount of such federal securities and the interest to become due thereon, to implement any refunding of the Obligations. 2 In such event, upon the request of the Agency, accompanied by a certificate of an independent certified public accountant regarding such deposit and an opinion of legal counsel as to the defeasance, this Resolution shall be released and all such instruments as may be desirable to evidence such release, discharge and satisfaction, and all moneys or securities held pursuant to this Resolution which are not required for the payment or redemption of the Obligations shall be delivered to the Agency. Section 4. Validity of Obligations The validity of the Obligations shall not be dependent upon the completion of any redevelopment project or upon the performance by any person of such person's obligation with respect to any redevelopment project. Section 5. Establishment of Redevelopment Account The Agency shall establish and maintain a separate account to be known as the Redevelopment Account, and shall deposit therein Obligation proceeds. Amounts in the Redevelopment Account shall be used and disbursed by the Agency as provided herein and in accordance with the Redevelopment Law. Section 6. Repayment The Agency shall pay the principal of, premium, if any, and interest on the Obligations at the times, in the manner, in the amount and at the rate or rates of interest as set forth by the Agency in a resolution supplementary to this Resolution. Section 7. Pledge of Tax Revenues The Obligations and the payment of other amounts due hereunder shall be and are hereby secured by a pledge of Tax Revenues. The pledge of Tax Revenues is for the benefit of the holders of the Obligations and shall be irrevocable until the Obligations and other amounts due hereunder have been paid or until moneys have been set aside irrevocable for that purpose. Other than Obligations issued solely for the purpose of refunding, the Agency shall not issue any (i) bond, indebtedness or other obligation or security superior to the Obligations or (ii) Parity Obligations, except as authorized pursuant to this Resolution. Section 8. Surplus If the repayments of the Obligations have been timely made and the Tax Revenues to be received during the next Obligation Year by the Agency are at least equal to 110 percent of Maximum Annual Debt Service on the Obligations, and any Parity Obligations, then after the payment of any other amounts due hereunder, the balance of the Tax Revenues may be used and applied by the Agency for any lawful purpose, including without limitation the redemption of the Obligations as set forth above. Section 9. A. Comolete Redevelopment Project; Amendment to Redevelopment Plan The Agency covenants and agrees that it will diligently carry out and continue to completion, with all practicable dispatch, the redevelopment of the Project Area, in accordance with the Redevelopment Law and the Redevelopment Plan and in a sound and economical manner. The Redevelopment Plan may be amended as provided in the Redevelopment Law, but no amendment shall be made which would impair the security of the Obligations or the rights of the holders of the Obligations. B. Use of Proceeds; Management and Operation of Properties The Agency covenants and agrees that the proceeds of the Obligations shall be deposited and used as provided in this Resolution and that it will cause all properties owned by it and operated in a sound and businesslike manner. C. Punctual Payment The Agency covenants and agrees that it will duly and punctually pay or cause to be paid the principal of and interest on the Obligations and all other amounts due hereunder on the dates and in the manner provided herein and in any 3 resolution supplementary to this Resolution. D. Payment of Taxes and Other Charges The Agency covenants and agrees that it will from time to time pay and discharge, or cause to be paid and discharged, all payments in lieu of taxes, service charges, assessments or other governmental charges which may lawfully be imposed upon the Agency or any of the properties then owned by it in the Project Area, or upon the revenues and income therefrom, and will pay all lawful claims for labor, material and supplies which if unpaid might become a lien or charge upon any of such properties, revenues or income or which might impair the security of the Obligations or the use of Tax Revenues or other legally available funds to pay the principal thereof and interest thereon, all to the end that the priority and security of the Obligations shall be preserved; provided that nothing herein shall require the Agency to make any such payment so long as the Agency in good faith shall contest the validity thereof. E. Books and Accounts: Financial Statements The Agency covenants and agrees that it shall at all times keep, or cause to be kept, proper and current books and accounts, separate from all other records and accounts, in which complete and accurate entries shall be made of all transactions relating to the redevelopment of the Project Area and the Tax Revenues, and other funds relating to such redevelopment, and will prepare with 180 days after the close of each of its Fiscal Years a complete financial statement or statements for such year in reasonable detail covering such redevelopment, the Tax Revenues and other funds, certified by a certified public accountant or firm of certified public accounts selected by the Agency. F. Further Redevelopment Covenants The proceeds of the Obligations shall be used only for a "redevelopment activity" or for costs associated with financing a "redevelopment activity" as that term is defined in Section 33678 of the Redevelopment Law. G. Statement of Indebtedness The Agency covenants and agrees to cause to be filed on a timely basis any and all statements of indebtedness pursuant to Section 33678 of the Redevelopment Law. Section 10. Events of Default The following events shall constitute Events of Default hereunder: A. If default shall be made in the due and punctual payment of the principal of or interest or prepayment premium (if any) on the Obligations when and as the same shall became due and payable, whether at maturity, by declaration or otherwise; B. If default shall be made by the Agency in the observance of any of the covenants, agreements or conditions on its part contained in this Resolution, other than a default described in the preceding paragraph A, and such default shall have continued for a period of 60 days following receipt by the Agency of written notice from the holder of an Obligation of the occurrence of such default; or C. If the Agency shall commence a voluntary action under Title II of the United States Code or any substitute or successor statute. If an Event of Default has occurred under this Section 10 and is continuing, subject to the provisions of any resolution supplementary to this Resolution, a holder may (i) declare the principal of the Obligations, together with accrued interest thereon, to be due and payable immediately, and upon any such declaration the same shall become immediately due and payable and (ii) exercise any other remedies available to the holder in law or at equity. 4 Section 11. Application of Funds Upon Default All of the Tax Revenues pledged hereunder and all moneys held hereunder, subject to the provisions of this Resolution and any resolution supplementary to this Resolution, shall be applied in the following order: First to the payment of the fees, costs and expenses of any third party administering this Resolution in declaring such Event of Default and in exercising the rights and remedies set forth herein, including reasonable compensation to its agents, attorneys and counsel; and Second to the payment of the whole amount then owing and unpaid upon the Obligations for principal and interest, with interest on the overdue principal and installments of interest (to the extent that such interest on overdue installments of principal and interest shall have been collected), and in case such moneys shall be insufficient to pay in full the whole amount so owing and unpaid upon the Obligations, then to the payment of such principal and interest without preference or priority of principal over interest, or interest over principal, or of any installment of interest over any other installment of interest, ratably to the aggregate of such principal and interest. Section 12. Non - waiver A waiver of any default shall not affect any subsequent default or impair any rights or remedies on the subsequent default. No delay or omission to exercise any right or power accruing upon any default shall impair any such right or power or shall be construed to be a waiver of any such default or an acquiescence therein, and every power and remedy conferred by law or by this Resolution may be enforced and exercised from time to time and as often as shall be deemed expedient. Section 13. Remedies Not Exclusive No remedy herein conferred upon or reserved is intended to be exclusive of any other remedy. Every such remedy shall be cumulative and shall be in addition to every other remedy given hereunder or now or hereafter existing, at law or in equity or by statute or otherwise, and may be exercised without exhausting and without regard to any other remedy conferred by the Redevelopment Law or any other law of the State or the United States of America. Section 14. Benefits Limited to Parties Nothing in this Resolution, expressed or implied, is intended to give to any person other than the Agency and the holder of the Obligations, any right, remedy, or claim under or by reason of this Resolution. Any covenants, stipulations, promises or agreements in this Resolution contained by or on behalf of the Agency shall be for the sole and exclusive benefit of the holder of the Obligations. Section 15. Successor is Deemed Included in All References to Predecessor Whenever in this Resolution the Agency is named or referred to, such reference shall be deemed to include the successors or assigns thereof, and all the covenants and agreements in this Resolution contained by or on behalf of the Agency shall bind and inure to the benefit of the respective successors and assigns thereof whether so expressed or not. Section 16. Discharge of Resolution If the Agency shall pay and discharge the entire indebtedness on the Obligations in any one or more of the following ways: A. By paying or causing to be paid the principal of, interest on and prepayment premiums, if any, on the Obligations, as and when the same become due and payable, together with any fees and expenses of any third party administering this Resolution; B. By irrevocable depositing with a third party administering this Resolution, in trust, at or before maturity, cash in an amount which, is fully sufficient in the opinion of an 5 independent certified public account, to pay al principal of and interest and prepayment premiums, if any, on the Obligations, together with any fees and expenses of a third party administering this Resolution, or; C. By irrevocable depositing with a third party administering this Resolution, in trust, federal securities in such amount as an independent certified public accountant shall determine will, be fully sufficient to pay and discharge the indebtedness on the Obligations (including all principal, interest and prepayment premiums) at or before maturity; Then, at the election of the Agency, the pledge of moneys provided for in this Resolution and all other obligations of the Agency under this Resolution with respect to the Obligations shall cease and terminate, except only the obligation of the Agency to pay or cause to be paid all sums due thereon and thereafter Tax Revenues shall not be payable under this Resolution. Section 17. Prior Indebtedness The Obligations may be issued on a parity with any indebtedness of the Agency incurred prior to the date hereof. In such event, the Agency shall set forth in a resolution supplementary to this Resolution governing the issuance of such prior indebtedness. Section 18. Waiver of Personal Liability No member, officer, agent or employee of the Agency shall be individually or personally liable for the payment of the principal of or interest on the Obligations; but nothing herein contained shall relieve any such member, officer, agent or employee from the performance of any official duty provided by law. Section 19. Partial Invalidity If any section, paragraph, sentence, clause or phrase of this Resolution shall for any reason be held illegal, invalid or unenforceable, such holding shall not affect the validity of the remaining portions of this Resolution. The Agency hereby declares that it would have adopted this Resolution and each and every other section, paragraph, sentence, clause or phrase hereof and authorized the Obligations irrespective of the fact that any one or more sections paragraphs, sentences, clauses, or phrases of this Resolution may be held illegal, invalid or unenforceable. PASSED, APPROVED AND ADOPTED this day of 1993. PAUL H. RICHARDS, CHAIRMAN ATTEST: Andrea L. Hooper, Secretary Faustin Gonzales Executive Director APPROVED AS TO FORM: Agency Special Counsel APPROVED AS TO CONTENT: Sol Blumenfeld, Director Community Development Dept. C RESOLUTION NO. A RESOLUTION OF THE LYNWOOD REDEVELOPMENT AGENCY AUTHORIZING BONDS, INDEBTEDNESS AND OTHER OBLIGATIONS OF THE AGENCY PAYABLE FROM TAXES ALLOCATED TO THE AGENCY FROM PROJECT AREA " A " RECITALS: A. The Agency is a public body, corporate and politic, duly organized and validly existing pursuant to the Constitution and laws of the State, and authorized to transact business and exercise its powers under and pursuant to the provisions of the Redevelopment Law, including the power under Section 33601 of the Redevelopment Law to borrow money for any of its corporate purposes; and B. The Agency has determined to authorize the issuance of bonds, indebtedness or other obligations for the purpose of financing and refinancing certain redevelopment projects. NOW, THEREFORE, THE LYNWOOD REDEVELOPMENT AGENCY HEREBY FINDS, DETERMINES, RESOLVES AND ORDERS AS FOLLOWS: Section 1. Definitions Unless the context requires otherwise or unless otherwise defined herein, the capitalized terms used in this Resolution shall have the respective meanings herein specified. "Annual Debt Service" means, for each Obligation Year, the sum of (i) the interest payable on the outstanding Obligation, and (ii) the principal amount of the outstanding Obligation scheduled to be paid or prepaid from principal account payments or sinking account payments in such Obligation Year, excluding the prepayment premiums (if any) thereon. "City" means the City of Lynwood. "Date of Delivery" means the date upon which the Agency physically delivers the Obligations in exchange for the proceeds thereof. "Event of Default" means any of the events described in Section 10 hereof. "Maximum Annual Debt Service" means the largest of the sums obtained for any Obligation Year after totaling the following for each such Obligation Year: A. The interest payable on the outstanding Obligations; B. The principal amount of the Outstanding Obligations scheduled to be paid or prepaid from principal account payments or sinking account payments in such Obligation Year, excluding the prepayment premiums (if any) thereon. "Obligations" means bonds, indebtedness or any other obligation of the Agency, including without limitation, a loan agreement with the Lynwood Financing Authority or any other entity. "Obligation Year" means each twelve -month period beginning on the first day of the month in which the proceeds of the Obligation are delivered to the last day of the preceding month in the next year. 1 "Parity Obligations" means any bonds, indebtedness or other obligations of the Agency payable from Tax Revenues on a parity with the Obligations to finance or refinance redevelopment projects, heretofore issued or incurred or hereafter issued or incurred pursuant to and in accordance with the provisions of this Resolution and any resolution supplementary to this Resolution. "Project Area" means Project Area "A ", more particularly described in the Redevelopment Plan. "Redevelopment Law" means Part 1 of Division 24, commencing with Section 33000, et sea ., of the Health and Safety Code of the State. "Redevelopment Plan" means the Redevelopment Plan for Project Area " A " , approved and adopted by ordinance of the City together with any amendments thereof heretofore or hereafter duly authorized pursuant to the Redevelopment Law. "State" means the State of California. "Tax Revenues" means that portion of taxes levied upon taxable property within the Project Area and received by the Agency on or after the effective date of the ordinance approving the Redevelopment Plan, allocated to and paid into a special fund (as created hereunder) of the Agency pursuant to Article 6 of Chapter 6 of the Redevelopment Law and Section 16 of Article XVI of the Constitution of the State, exclusive of amounts payable to taxing agencies pursuant to Section 33401 of the Redevelopment Law and exclusive of amounts as may be hereafter designated by the Agency by resolution supplementary to this Resolution to be deposited into the low and moderate income housing fund pursuant to Section 33334.2 and Section 33334.3 of the Redevelopment Law. Section 2. Amount of Indebtedness The Agency hereby authorizes the issuance of Obligations in an aggregate principal amount of $100,000,000. The Obligations may be payable in installments and may be serial, term or any combination thereof. The final maturity date or principal payment date of such Obligations shall be not later than December 1, 2050. The rate or rates of interest on such Obligations shall not exceed 12 percent per annum or such higher amount as may be permitted by law and shall be established on the sale of such obligations or at such time as may hereafter be set forth by the Agency in a resolution supplementary to this Resolution. Section 3. Defeasance Nothing in this Resolution shall preclude the payment of the Obligations from any legally available funds. Nothing in this Resolution shall prevent the Agency from making advances of moneys, howsoever derived to any of the uses and purposes mentioned in this Resolution. If the Agency shall pay or cause to be paid, or shall have made provision to pay upon maturity or upon redemption prior to maturity, the principal and interest to become due thereon, together with the applicable premium, through setting aside in trust funds or setting apart in a reserve fund or special trust account created in connection with this Resolution or otherwise, or through the irrevocable segregation for that purpose in some sinking fund or other fund or trust account with a responsible bank or trust company, moneys sufficient to pay the Obligations or federal securities, the principal of and interest on which when due will be sufficient therefor, then, as to the Agency, this Resolution, and all rights granted hereby, shall thereupon case, terminate and become void and be discharged and satisfied, and the Obligations and interest thereon and any applicable prepayment premium shall no longer be deemed to be outstanding and unpaid; provided, however, that nothing in this Resolution shall require the deposit of more than such federal securities as may be sufficient, taking into account both the principal amount of such federal securities and the interest to become due thereon, to implement any refunding of the Obligations. In such event, upon the request of the Agency, accompanied by a certificate of an independent certified public accountant regarding such deposit and an opinion of legal counsel as to the defeasance, this Resolution shall be released and all such instruments as may be desirable to evidence such release, discharge and satisfaction, and all moneys or securities held pursuant to this Resolution which are not required for the payment or redemption of the Obligations shall be delivered to the Agency. Section 4. Validity of Obligations The validity of the Obligations shall not be dependent upon the completion of any redevelopment project or upon the performance by any person of such person's obligation with respect to any redevelopment project. Section 5. Establishment of Redevelopment Account The Agency shall establish and maintain a separate account to be known as the Redevelopment Account, and shall deposit therein Obligation proceeds. Amounts in the Redevelopment Account shall be used and disbursed by the Agency as provided herein and in accordance with the Redevelopment Law. Section 6. Repayment The Agency shall pay the principal of, premium, if any, and interest on the Obligations at the times, in the manner, in the amount and at the rate or rates of interest as set forth by the Agency in a resolution supplementary to this Resolution. Section 7. Pledge of Tax Revenues The Obligations and the payment of other amounts due hereunder shall be and are hereby secured by a pledge of Tax Revenues. The pledge of Tax Revenues is for the benefit of the holders of the Obligations and shall be irrevocable until the Obligations and other amounts due hereunder have been paid or until moneys have been set aside irrevocable for that purpose. Other than Obligations issued solely for the purpose of refunding, the Agency shall not issue any (i) bond, indebtedness or other obligation or security superior to the Obligations or (ii) Parity Obligations, except as authorized pursuant to this Resolution. Section 8. Surplus If the repayments of the Obligations have been timely made and the Tax Revenues to be received during the next Obligation Year by the Agency are at least equal to 110 percent of Maximum Annual Debt Service on the Obligations, and any Parity Obligations, then after the payment of any other amounts due hereunder, the balance of the Tax Revenues may be used and applied by the Agency for any lawful purpose, including without limitation the redemption of the Obligations as set forth above. Section 9. A. Complete Redevelopment Project: Amendment to Redevelopment Plan The Agency covenants and agrees that it will diligently carry out and continue to completion, with all practicable dispatch, the redevelopment of the Project Area, in accordance with the Redevelopment Law and the Redevelopment Plan and in a sound and economical manner. The Redevelopment Plan may be amended as provided in the Redevelopment Law, but no amendment shall be made which would impair the security of the Obligations or the rights of the holders of the Obligations. B. Use of Proceeds: Management and Operation of Properties The Agency covenants and agrees that the proceeds of the Obligations shall be deposited and used as provided in this Resolution and that it will cause all properties owned by it and operated in a sound and businesslike manner. C. Punctual Payment The Agency covenants and agrees that it will duly and punctually pay or cause to be paid the principal of and interest on the Obligations and all other amounts due hereunder on the dates and in the manner provided herein and in any 3 resolution supplementary to this Resolution. D. Payment of Taxes and Other Charges The Agency covenants and agrees that it will from time to time pay and discharge, or cause to be paid and discharged, all payments in lieu of taxes, service charges, assessments or other governmental charges which may lawfully be imposed upon the Agency or any of the properties then owned by it in the Project Area, or upon the revenues and income therefrom, and will pay all lawful claims for labor, material and supplies which if unpaid might become a lien or charge upon any of such properties, revenues or income or which might impair the security of the Obligations or the use of Tax Revenues or other legally available funds to pay the principal thereof and interest thereon, all to the end that the priority and security of the Obligations shall be preserved; provided that nothing herein shall require the Agency to make any such payment so long as the Agency in good faith shall contest the validity thereof. E. Books and Accounts: Financial Statements The Agency covenants and agrees that it shall at all times keep, or cause to be kept, proper and current books and accounts, separate from all other records and accounts, in which complete and accurate entries shall be made of all transactions relating to the redevelopment of the Project Area and the Tax Revenues, and other funds relating to such redevelopment, and will prepare with 180 days after the close of each of its Fiscal Years a complete financial statement or statements for such year in reasonable detail covering such redevelopment, the Tax Revenues and other funds, certified by a certified public accountant or firm of certified public accounts selected by the Agency. F. Further Redevelopment Covenants The proceeds of the Obligations shall be used only for a "redevelopment activity" or for costs associated with financing a "redevelopment activity" as that term is defined in Section 33678 of the Redevelopment Law. G. Statement of Indebtedness The Agency covenants and agrees to cause to be filed on a timely basis any and all statements of indebtedness pursuant to Section 33678 of the Redevelopment Law. Section 10. Events of Default The following events shall constitute Events of Default hereunder: A. If default shall be made in the due and punctual payment of the principal of or interest or prepayment premium (if any) on the Obligations when and as the same shall became due and payable, whether at maturity, by declaration or otherwise; B. If default shall be made by the Agency in the observance of any of the covenants, agreements or conditions on its part contained in this Resolution, other than a default described in the preceding paragraph A, and such default shall have continued for a period of 60 days following receipt by the Agency of written notice from the holder of an Obligation of the occurrence of such default; or C. If the Agency shall commence a voluntary action under Title II of the United States Code or any substitute or successor statute. If an Event of Default has occurred under this Section 10 and is continuing, subject to the provisions of any resolution supplementary to this Resolution, a holder may (i) declare the principal of the Obligations, together with accrued interest thereon, to be due and payable immediately, and upon any such declaration the same shall become immediately due and payable and (ii) exercise any other remedies available to the holder in law or at equity. H Section 11. Application of Funds Upon Default All of the Tax Revenues pledged hereunder and all moneys held hereunder, subject to the provisions of this Resolution and any resolution supplementary to this Resolution, shall be applied in the following order: First to the payment of the fees, costs and expenses of any third party administering this Resolution in declaring such Event of Default and in exercising the rights and remedies set forth herein, including reasonable compensation to its agents, attorneys and counsel; and Second to the payment of the whole amount then owing and unpaid upon the Obligations for principal and interest, with interest on the overdue principal and installments of interest (to the extent that such interest on overdue installments of principal and interest shall have been collected), and in case such moneys shall be insufficient to pay in full the whole amount so owing and unpaid upon the Obligations, then to the payment of such principal and interest without preference or priority of principal over interest, or interest over principal, or of any installment of interest over any other installment of interest, ratably to the aggregate of such principal and interest. Section 12. Non - waiver A waiver of any default shall not affect any subsequent default or impair any rights or remedies on the subsequent default. No delay or omission to exercise any right or power accruing upon any default shall impair any such right or power or shall be construed to be a waiver of any such default or an acquiescence therein, and every power and remedy conferred by law or by this Resolution may be enforced and exercised from time to time and as often as shall be deemed expedient. Section 13. Remedies Not Exclusive No remedy herein conferred upon or reserved is intended to be exclusive of any other remedy. Every such remedy shall be cumulative and shall be in addition to every other remedy given hereunder or now or hereafter existing, at law or in equity or by statute or otherwise, and may be exercised without exhausting and without regard to any other remedy conferred by the Redevelopment Law or any other law of the State or the United States of America. Section 14. Benefits Limited to Parties Nothing in this Resolution, expressed or implied, is intended to give to any person other than the Agency and the holder of the Obligations, any right, remedy, or claim under or by reason of this Resolution. Any covenants, stipulations, promises or agreements in this Resolution contained by or on behalf of the Agency shall be for the sole and exclusive benefit of the holder of the Obligations. Section 15. Successor is Deemed Included in All References to Predecessor Whenever in this Resolution the Agency is named or referred to, such reference shall be deemed to include the successors or assigns thereof, and all the covenants and agreements in this Resolution contained by or on behalf of the Agency shall bind and inure to the benefit of the respective successors and assigns thereof whether so expressed or not. Section 16. Discharge of Resolution If the Agency shall pay and discharge the entire indebtedness on the Obligations in any one or more of the following ways: A. By paying or causing to be paid the principal of, interest on and prepayment premiums, if any, on the Obligations, as and when the same become due and payable, together with any fees and expenses of any third party administering this Resolution; B. By irrevocable depositing with a third party administering this Resolution, in trust, at or before maturity, cash in an amount which, is fully sufficient in the opinion of an 5 independent certified public account, to pay al principal of and interest and prepayment premiums, if any, on the Obligations, together with any fees and expenses of a third party administering this Resolution, or; C. By irrevocable depositing with a third party administering this Resolution, in trust, federal securities in such amount as an independent certified public accountant shall determine will, be fully sufficient to pay and discharge the indebtedness on the Obligations (including all principal, interest and prepayment premiums) at or before maturity; Then, at the election of the Agency, the pledge of moneys provided for in this Resolution and all other obligations of the Agency under this Resolution with respect to the Obligations shall cease and terminate, except only the obligation of the Agency to pay or cause to be paid all sums due thereon and thereafter Tax Revenues shall not be payable under this Resolution. Section 17. Prior Indebtedness The Obligations may be issued on a parity with any indebtedness of the Agency incurred prior to the date hereof. In such event, the Agency shall set forth in a resolution supplementary to this Resolution governing the issuance of such prior indebtedness. Section 18. Waiver of Personal Liability No member, officer, agent or employee of the Agency shall be individually or personally liable for the payment of the principal of or interest on the Obligations; but nothing herein contained shall relieve any such member, officer, agent or employee from the performance of any official duty provided by law. Section 19. Partial Invalidity If any section, paragraph, sentence, clause or phrase of this Resolution shall for any reason be held illegal, invalid or unenforceable, such holding shall not affect the validity of the remaining portions of this Resolution. The Agency hereby declares that it would have adopted this Resolution and each and every other section, paragraph, sentence, clause or phrase hereof and authorized the Obligations irrespective of the fact that any one or more sections paragraphs, sentences, clauses, or phrases of this Resolution may be held illegal, invalid or unenforceable. PASSED, APPROVED AND ADOPTED this day of 11 1993. PAUL H. RICHARDS, CHAIRMAN ATTEST: Andrea L. Hooper, Secretary Faustin Gonzales Executive Director APPROVED AS TO FORM: Agency Special Counsel APPROVED AS TO CONTENT: Sol Blumenfeld, Director Community Development Dept. 2