HomeMy Public PortalAbout2011.013 - LRA (03-01-11) RESOLUTION NO. 2011.013
A JOINT RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LYNWOOD AND
THE LYNWOOD REDEVELOPMENT AGENCY APPROVING A COOPERATION
AGREEMENT AND MAKING CERTAIN DETERMINATIONS AND FINDINGS
RELATED THERETO
WHEREAS, the City Council ("City Council") of the City of Lynwood ("City")
adopted Redevelopment Project Area A on July 10, 1973 by Ordinance No. 945 of the
City Council, as said plan has been amended from time to time ("Project Area "A""),
which results in the allocation of taxes from Project Area "A" to the Lynwood
Redevelopment Agency (the "Agency") for purposes of redevelopment; and
WHEREAS, the City Council of the City adopted the Alameda Redevelopment
Project Area on November 3, 1975 by Ordinance No. 993 of the City Council, as said
plan has been amended from time to time (the "Alameda Project Area" and, together
with Project Area "A", the "Project Areas"), which results in the allocation of taxes from
the Alameda Project Area to the Lynwood Redevelopment Agency (the "Agency") for
purposes of redevelopment; and
WHEREAS, the intent of the Redevelopment Plans are, in part, to provide for
the construction and installation of necessary public infrastructure and facilities and to
facilitate the repair, restoration and/or replacement of existing public facilities and to
perform specific actions necessary to promote the redevelopment and the economic
revitalization of the Project Areas; and to increase, improve and preserve the
community's supply of low and moderate income housing, some of which may be
located or implemented outside the Project Areas; and to take all other necessary
actions to implement the Redevelopment Plans for the Project Areas and to expend tax
increment to accomplish the goals and objectives of the respective redevelopment
projects; and
WHEREAS, the Agency has adopted its Five-Year Implementation Plan for the
Project Areas, as amended from time to time (the "Implementation Plan") with
established goals to support affordable housing, economic development, community
revitalization, commercial revitalization, and institutional revitalization. To implement the
programs and activities associated with each goal, the Agency has made
redevelopment fund commitments based on estimated available tax increment revenue
and debt financing structures; and
WHEREAS, the Agency and the City wish to cooperate with one another to
bring about the redevelopment of the Project Areas and accomplish various tasks set
forth in the Redevelopment Plans and the Implementation Plan; and
WHEREAS, pursuant to Section 33220 of the California Community
Redevelopment Law (Health and Safety Code Section 33000 et seq.) (the "CRL")
certain public bodies, including the City may aid and cooperate in the planning,
undertaking, construction, or operation of redevelopment projects; and
WHEREAS, the Agency and the City have prepared a Cooperation Agreement
(the Agreement ) to provide for implementation of certain projects set forth in the
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"Schedule of Project's" attached thereto as Exhibit A(the "Projects"), and to make
payments by the Agency to the City in accordance with the "Payment Schedule"
attached thereto as Exhibit B and as otherwise necessary to reimburse the City for the
cost to the City of performing its obligations thereunder in accordance with the
"Schedule of Performance" attached thereto as Exhibit C, subject to all of the terms and
conditions of the Agreement) all of such exhibits being incorporated herein by
reference); and
WHEREAS, the programs and activities associated with the Projects include,
but are not limited to, acquisition and disposition of property, development of design
criteria, design, planning, preparation of construction bid documents, financial analysis,
financing and new construction or rehabilitation. To carry out the Projects in
accordance with the objectives and purposes of the Redevelopment Plans for the
Project Areas and the Implementation Plan, the Agency desires assistance and
cooperation in the implementation and completion of the Projects. The City wishes to
enter into the Agreement with the Agency to aid the Agency and cooperate with the
Agency to expeditiously implement the Projects in accordance with the Redevelopment
Plans for the Project Areas and the Implementation Plan and undertake and complete
all actions necessary or appropriate to ensure that the objectives of the Redevelopment
Plans for the Project Areas and the Implementation Plan are fulfilled within the time
effectiveness of the Project Areas; and
WHEREAS, in considering the Agency's desire to ensure timely implementation
and completion of the Projects, the Agency wishes to enter into the Agreement with the
City for the pledge of net available tax increment to finance the Projects. The purpose of
the Agreement is to facilitate the implementation of the Projects and to provide funding
necessary to effectuate the completion of the Projects with net available tax increment
in this current fiscal year and forthcoming fiscal years; and
WHEREAS, net available tax increment is defined as any tax increment, net of
existing and future debt service payments (and contractual obligations related thereto),
and existing contractual obligations received by the Agency or any lawful successor of
the Agency and/or to any of the powers and rights of the Agency pursuant to any
applicable constitutional provision, statute or other provision of law now existing or
adopted in the future. The pledge of net available tax increment will constitute
obligations to make payments authorized and incurred pursuant to Sections 33445 and
33445.1 of the CRL and other applicable statutes. The obligations set forth in the
Agreement will be contractual obligations that, if breached, will subject the Agency to
damages and other liabilities or remedies; and
WHEREAS, by approving and entering into the Agreement, the Agency will
approve the pledge of net available tax increment from the Project Areas to pay for the
Projects; and
(b) Said Projects and the programs and activities associated therewith
benefits each of the project areas by helping to eliminate blight within the project area,
or will directly assist in the provisions of housing for low- or moderate-income persons;
(c) No other reasonable means of financing the Projects and the
programs and activities associated therewith are available to the community in
accordance with Section 33445.1(a)(3) of the CRL;
(d) The payment of funds for said Projects and the programs and
activities associated therewith is consistent with the Implementation Plan adopted
pursuant to Section 33490 of the CRL; and
(e) Said Projects and the programs and activities associated therewith
are provided for in the respective Redevelopment Plans.
Section 5. Based on the evidence in the record, the Agency and City hereby
find and determine, with respect to the use of low- and moderate income funds for the
Projects located outside of the Project Areas that such use will be of benefit to the
Project Areas in accordance with Section 33334.2 of the CRL.
Section 6. The Agency hereby consents to the payments by Agency to City in
accordance with the Schedule of Payments attached to the Agreement as Exhibit B.
Section 7. The Agreement in substantially the form presented to the Agency
and City is hereby approved, a copy of which is on file with the Secretary of the Agency.
Section 8. The Agency Executive Director for the Agency and City Manager
for the City are hereby authorized to execute the Agreement on behalf of the Agency
and City, respectively, together with such non-substantive changes and amendments as
may be approved by the Agency Executive Director and Agency Counsel and City
Manager and City Attorney, respectively.
Section 9. The Agency Executive Director for the Agency and City Manager
for the City are hereby authorized, on behalf of the Agency and City, respectively, to
sign all documents necessary and appropriate to carry out and implement the
Agreement, and to administer the Agency's and City's respective obligations,
responsibilities and duties to be performed under the Agreement.
Section 10. The indebtedness of Agency under the Agreement shatl be
subordinate to the rights of the holder or holders of any existing and future bonds, loans
and other instruments of indebtedness of the Agency incurred or issued by the Agency
to finance the Project Areas and housing projects, including without limitation any
pledge of tax increment revenues from the Project Areas to pay any portion of the
principal and interest of any bonds, loans or indebtedness (including costs to comply
with the covenants in the documents). The Agency's Executive Director and City's City
Manager are hereby authorized to execute any subordination agreement for any future
financing if requested to do so by the parties involved in such financing.
WHEREAS, the obligations of the Agency under the Agreement shall constitute
an indebtedness of the Agency for the purpose of carrying out the Redevelopment
Plans for the Project Areas; and
WHEREAS, it is in the best interests of the City and for the common benefit of
residents, employees, business tenants and property owners within the Project Areas
and the City as a whole for the Projects to be developed and constructed; and
WHEREAS, the Agency's low and moderate income housing fund for the
Projects located outside of the Project Areas are in accordance with Section 33334.2 of
the CRL because the use of such funds will be of benefit to the Project Areas; and
WHEREAS, all other legal prerequisites to the adoption of this Resolution have
occurred.
NOW, THEREFORE, THE LYNWOOD REDEVELOPMENT AGENCY BOARD
DOES HEREBY RESOLVE, AS FOLLOWS:
Section 1. The Agency and City have received and heard all oral and written
objections to the proposed payments by the Agency to the City for the Projects as
described in the Agreement, and to other matters pertaining to this transaction, and all
such oral and written objections are hereby overruled.
Section 2. The Agency and City hereby find and determine that the foregoing
recitals are true and correct.
Section 3. Based on the evidence in the record, the Agency and City hereby
find and determine, with respect to the Projects that are publicly owned and are located
inside or contiguous to the respective project area as identified in Exhibit A attached to
the Agreement, that:
(a) Said Projects and the programs and activities associated therewith
are of benefit to each of the respective Project Areas by helping to eliminate blight
within the project area or providing housing for low- or moderate income persons; and
(b) No other reasonable means of financing said Projects and the
programs and activities associated therewith are available to the community; and
(c) The payment of funds by the Agency for the costs related to said
Projects and the programs and activities associated therewith is consistent with the
Implementation Plan adopted pursuant to Section 33490 of the CRL.
Section 4. Based on substantial evidence in the record, the Agency and City
hereby find and determine, with respect to the Projects that are located outside and not
contiguous to the respective project areas but is located within the community that:
(a) Said Projects and the programs and activities associated therewith
are of primary benefit to the project areas;
STATE OF CALIFORNIA )
) SS.
COUNTY OF LOS ANGELES )
I, the undersigned, Secretary of the Lynwood Redevelopment Agency, do hereby
certify that the foregoing Resolution was passed and adopted by the Agency at its
regular meeting held on the 1 day of March, 2011.
AYES: MEMBERS FLORES, RODRIGUEZ, SANTILLAN, MORTON AND
CASTRO
NOES: NONE
ABSENT: NONE
ABSTAIN: NONE
i �
Maria Quinonez, Secretary
STATE OF CALIFORNIA )
) SS.
COUNTY OF LOS ANGELES )
I, the undersigned, Secretary of the Lynwood Redevelopment Agency, do hereby
certify that the above foregoing is a full, true and correct copy of Resolution No.
2011.013 on file in my office and that said Resolution was adopted on the date and by
the vote therein stated. Dated this 1 day of March, 2011.
�
Maria Quinonez, Secretary
Section 11. This Resolution shall take effect immediately upon its adoption.
PASSED, APPROVED and ADOPTED, this 1 day of March, 2011.
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i e Castro, Chair
ATTEST:
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Maria Quinonez, ecretary Roger L. ale , xecutive Director
APPROVED AS TO FORM: APPROVED AS TO CONTENT:
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Fred Galante, Agency Counsel Robert S. Torrez, As ' a City
Manager ,j'