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
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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
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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
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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.
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"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
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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.
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