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HomeMy WebLinkAbout16 - CC-17 - Review and Approval of Recognized Obliga - 2/17/2015SUCCESSOR AGENCY TO THE COSTA MESA REDEVELOPMENT AGENCYAGENDA REPORT MEETING DATE: February 17, 2015 ITEM NUMBER: CC -17 SUBJECT: REVIEW AND APPROVAL OF RECOGNIZED OBLIGATION PAYMENT SCHEDULE FOR THE 15-16A SIX-MONTH FISCAL PERIOD OF JULY 1, 2015 TO DECEMBER 31, 2015 ("ROPS 15-16A") DATE: February 2, 2015 FROM: FINANCE DEPARTMENT PRESENTATION BY: COLLEEN O'DONOGHUE, CPA, ASSISTANT FINANCE DIRECTOR CONTACT: COLLEEN O'DONOGHUE, CPA, ASSISTANT FINANCE DIRECTOR (714) 754-5219 RECOMMENDED ACTION Adopt Successor Agency Resolution No. 15 -XX Approving the Recognized Obligation Payment Schedule for the 15-16A six-month fiscal period of July 1, 2015 to December 31, 2015 ("ROPS 15-16A"), subject to submittal to and review by the Oversight Board and then by the State Department of Finance ("DOF"). Further, the Assistant Finance Director, in consultation with legal counsel, shall be authorized to request and complete meet and confer session(s) with the DOF and authorized to make augmentations, modifications, additions or revisions as may be necessary or directed by DOF. BACKGROUND AND DISCUSSION The Successor Agency to the Costa Mesa Redevelopment Agency is performing its functions under the Dissolution Law, Parts 1.8 and 1.85 of the Health and Safety Code, as amended by Assembly Bill 1484 and other subsequent legislation (together, the "Dissolution Law"), to administer the enforceable obligations and otherwise unwind the former Agency's affairs, all subject to the review and approval by the seven -member Oversight Board. At previous meetings of the Successor Agency, pursuant to the Dissolution Law prior Recognized Obligation Payment Schedules I, II, III, 13-14A, 13-14B, 14-15A and 14-15B were approved and thereafter submitted to the DOF, and ultimately approved with modifications. Pursuant to Section 34171(g) of Part 1.85, a "Recognized Obligation Payment Schedule" ("ROPS") means the document setting forth the minimum payment amounts and due dates of payments required by enforceable obligations for each six-month fiscal period as provided in subdivision (m) of Section 34177. Under the dates in the Dissolution Law, the Successor Agency is required to consider and adopt the ROPS for the 15-16A six-month fiscal period of July 1, 2015 to December 31, 2015 and submit such approved ROPS 15-16A to the DOF on or before March 1, 2015. Section 34177(1) of Part 1.85 requires the Successor Agency to take actions with regard to each ROPS as follows: "(1)(1) Before each six-month fiscal period, prepare a Recognized Obligation Payment Schedule in accordance with the requirements of this paragraph. For each recognized obligation, the Recognized Obligation Payment Schedule shall identify one or more of the following sources of payment: (A) Low and Moderate Income Housing Fund. (B) Bond proceeds. (C) Reserve balances. (D) Administrative cost allowance. (E) The Redevelopment Property Tax Trust Fund, but only to the extent no other funding source is available or when payment from property tax revenues is required by an enforceable obligation or by the provisions of this part. (F) Other revenue sources, including rents, concessions, asset sale proceeds, interest earnings, and any other revenues derived from the former redevelopment agency, as approved by the oversight board in accordance with this part. (2) A Recognized Obligation Payment Schedule shall not be deemed valid unless all of the following conditions have been met: (A) A Recognized Obligation Payment Schedule is prepared by the successor agency for the enforceable obligations of the former redevelopment agency.... (B) The Recognized Obligation Payment Schedule is submitted to and duly approved by the oversight board. The successor agency shall submit a copy of the Recognized Obligation Payment Schedule to the county administrative officer, the county auditor -controller, and the Department of Finance at the same time that the successor agency submits the Recognized Obligation Payment Schedule to the oversight board for approval. (C) A copy of the approved Recognized Obligation Payment Schedule is submitted to the county auditor -controller and both the Controller' s office and the Department of Finance and be posted on the successor agency's Internet Web site. (3) The Recognized Obligation Payment Schedule shall be forward looking to the next six months...." The draft ROPS 15-16A, Attachment 1 to this agenda report, includes listings comparable to the Enforceable Obligations in the DOF-approved ROPS I, 11, III, 13-14A, 13-14B, 14-15A and 14-15B in addition to the Section 34191.4 City/Agency reinstated loan approved by the DOF in May 2014. During the presentation of this agenda item, Successor Agency staff will explain the ROPS 15-16A and update the Successor Agency about its communications with the DOF and CAC in implementation of the Dissolution Law. Staff recommends that the Successor Agency adopt the attached Resolution approving the ROPS 15-16A and authorize the Successor Agency's Assistant Finance Director and her authorized designee(s) to transmit to the Oversight Board for its review and approval, and concurrently to send a copy of the ROPS 15-16A to the State Department of Finance ("DOF"), the County Auditor -Controller ("CAC"), the County Administrative Officer ("CAO"), and State Controller's Office ("SCO"). In the event the ROPS 15-16A is directed to be changed by the DOF, then the Assistant Finance Director and her designees, in consultation with legal counsel, shall be authorized to request and complete meet and confer session(s) with the DOF and authorized to make augmentations, modifications, additions or revisions as may be necessary or directed by DOF, and changes, if any, will be reported back to the Successor Agency and the Oversight Board. Pursuant to the Dissolution Law, the Successor Agency staff will transmit again the ROPS 15-16A after it is approved by the Oversight Board to the SCO, CAC, and DOF. Section 34177(m) provides that for each ROPS submitted to the DOF, the DOF shall make its determination of the enforceable obligations and the amounts and funding sources of the enforceable obligations on each ROPS submitted no later than 45 days after submittal. If an item or items on ROPS 15-16A are disallowed by the DOF, then the Successor Agency may request a formal "meet and confer" meeting with DOF staff, in which event, Successor Agency staff will update the board on this matter. FISCAL AND LEGAL REVIEW The Finance Department staff has worked with the Successor Agency's special counsel Stradling Yocca Carlson & Rauth in preparation of this ROPS 15-16A pursuant to the Dissolution Law. CONCLUSION Staff recommends adoption of the attached resolution approving the Successor Agency's ROPS 15-16A for the period July 1, 2015 to December 31, 2015. Thomas R. Hatch Chief Executive Officer and Executive Director Attachments: Colleen O'Donoghue Assistant Finance Director 1. Recognized Obligations Payment Schedule 15-16A for the Six -Month Fiscal Period July 1, 2015 to December 31, 2015 2. Successor Agency Resolution Approving ROPS 15-16A ATTACHMENT 1 Recognized Obligations Payment Schedule 15-16A for the Six -Month Fiscal Period July 1, 2015 to December 31, 2015 (attached) Recognized Obligation Payment Schedule (ROPS 15-16A) -Summary Filed for the July 1, 2015 through December 31, 2015 Period Name of Successor Agency: Costa Mesa Name of County: Orange Current Period Requested Funding for Outstanding Debt or Obligation Six -Month Total Enforceable Obligations Funded with Non -Redevelopment Property Tax Trust Fund (RPTTF) Funding A Sources (B+GD): $ 111,595 B Bond Proceeds Funding CROPS Detail) - C Reserve Balance Funding (ROPS Detail) - D Other Funding (ROPS Detail) 111,595 E Enforceable Obligations Funded with RPTTF Funding (F+G): $ 1,105,405 F NonAdministrativeCosts (BOPS Detail) 980,405 G Administrative Costs (ROPS Detal) 125,000 H Current Period Enforceable Obligations (A-E): $ 1,217,000 Successor Agency Self -Reported Prior Period Adjustment to Current Period RPTTF Requested Funding I Enforceable Obligations funded with RPTTF (E): 1,105 405 J Less Prior Pernod Adjustment (Report of Prior Period Adjustments Column S) (83,970) K Adjusted Current Period RPTTF Requested Funding (I -J) $ 1,021,435 County Auditor Controller Reported Prior Period Adjustment to Current Period RPTTF Requested Funding L Enforceable Obligations funded with RPTTF (E): 1,105,405 M Less Prior Period Adjustment (Report of Prior Period Adjustments Column AA) N Adjusted Current Period RPTTF Requested Funding (L -M) 1,105,405 Certification of Oversight Board Chairman. Pursuant to Section 34177 (m) of the Health and Safety code, I hereby certify that the above is a true and accurate Recognized Name Title Obligation Payment Schedule for the above named agency. /s/ Signature Date Recognized Obligation Payment Schedule (ROPS 15-16A) - ROPS Detail July 1, 2015 through December 31, 2015 (Report Amounts in Whole Dollars) A B C D E F G H 1 a K L M N O P Funding Source Non -Redevelopment Property Tax Trust Fund (Non-RPTTF) RPTTF Contract/Agreement Contract/Agreement Total Outstanding Item # Project Name / Debt Obligation Obligation Type Execution Date Termination Date Payee Description/Project Scope Project Area Debt or Obligation Retired Bond Proceeds Reserve Balance Other Funds Non -Admin Atlmin Six -Month Total $ 14,074,166 5 - $ - $ 111,595 $ 980,405 $ 125,000 $ 1,217,000 1 TAB Refunding 2003 Bonds Issued On or 9/25/2003 10/1/2017 Bank of New York Bonds issued for non-housin ouriects Downtown 2 058,575 N 111,595 543 230 $ 654 825 2 Contract for consulting services Fees 9125/2003 10/1/2017 Bank of New York Farefl Agent Services -Annual Downtown 2,500 N 2,500 $ 2,500 3 Contract for consulting services Fees 9125/2003 12/31/2018 Bank of New York Arbitrage Calculation- every 5 yrs Downtown - N $ - 4 Contract for consulting services Fees 3/1/2011 12/3112018 Harrell & Company Advisor Prep Continuing Disclosure Report- Downtown N $ - C Annual §County ProperlyJaxAomin Fee - Fees 1!12012 - 6(}02024 County of Orange r Charge for Adral..g property tax Downtown`- N '- $ - system 6 Promissory Note Payable City/County Loans 9/3011971 6/30/2024 City of Coats Mesa Original Loan to establish RDA Downtown 11,813,091 N 359,675 $ 359,675 On or Before 6/27111 37 Administrative Cost Atlmin Costs 1/1/2012 6/30/2024 Not provided Not provided Downtown 125,000 N 125,000 $ 125,000 52 Litigation Against DOF & County of Litigation 71112013 6/30/2018 Enterprise Counsel Group Litigation against DOF & County of Downtown 75,000 N 75,000 $ 75,000 Orange Auditor Controller Orange Auditor Controller denying the RDA loan and action denying certain prior payments. 53 N $ 54 N $ 55 N $ 56 N $ 57 N $ 58 N $ 59 N $ 60 N $ 61 N $ 62 N $ 63 N $ 64 N $ 651 N $ 661 N $ 671 N $ 681 N $ 69 N $ 70 N $ 71 N $ 72 N $ 73 N $ 74 N $ 75 N $ 76 N $ 77 N $ 78 N $ 79 N $ N $ PN $ 02 N $ 83 N $ Recognized Obligation Payment Schedule (ROPS 15-16A) - Report of Cash Balances (Report Amounts in Whole Dollars) Pursua nt to Health and Safety Cade section 34177(1), Redevelopment Property Tax Trust Fund (RPTTF) maybe listed as a source of payment on the ROPS, but only to the extent no other funding source is available or when payment from property tax revenues is required by an enforceable obligation. For tips on how to complete the Report of Cash Balances Form, see https://rad.dof.ca. Fov/rad- sa/pdf/Cash Balance Agencv Tips Sheet.odf. A B C D E F G H I Fund Sources Bond Proceeds Reserve Balance Other RPTTF Prior ROPS Prior POPS period balances RPTTF Bonds Issued on and DDR RPTTF distributed as Rent, Non -Admin or before Bonds Issued on balances reserve for future Grants, and Cash Balance Information by ROPS Period 12/31/10 or after 01/01/11 retained periods) Interest, Etc. Admin Comments POPS 14-15A Actuals (07/01/14 -12/31/14) 1 Beginning Available Cash Balance (Actual 07/01114) 704,300 55,301 2 Revenue/income(Actual 12/31/14) RPTTF amounts should tie to the ROPS 14-15A distribution from the County Auditor -Controller during June 2014 1,649,822 3 Expenditures for ROPS 14-15A Enforceable Obligations (Actual 12/31/14) RPTTF amounts, H3 plus H4 should equal total opened actual expenditures in the Repod of PPA, Columns L and O 1,S7Z 401 4 Retention of Available Cash Balance (Actual 12/31114) RPTTF amount retained should only include the amounts distributed as reserve for future pericd(s) 5 POPS 14-15A RPTTF Prior Period Adjustment RPTTF amount should lie to the self-reported POPS 14-15A PPA in the No entry required Report of PPA, Column S 83,970 6 Ending Actual Available Cash Balance C toG=(1+2-3-4),H=(1+2-3-4-5) $ 704,300 $ - $ - $ - $ - $ 48,752 ROPS 14-15B Estimate (01101/15 - 06/30/15) 7 Beginning Available Cash Balance (Actual 01/01115) (C, D, E, G=4+6,F=H4+F4+F6, and H=5+6) $ 704,300 $ - $ - $ - $ - $ 132,722 8 Revenue/lncome(Estimate 06/30115) RPTTF amounts should tie to the ROPE 14-156 distribution from the County Auditor- Controller during January 2015 198,760 9 Expenditures for ROPS 14-15B Enforceable Obligations (Estimate 06/30/15) 247,825 10 Retention of Available Cash Balance (Estimate 06130115) RPTTF amount retained should only include the amounts distributed as reserve for future period(s) 11 Ending Estimated Available Cash Balance (7+8-9-10) $ 704,300 $ - $ - $ - $ - $ 83,657 Recognized Obligation Payment Schedule (ROPS 15-16A) -Report of Prior Period Adjustments Reported for the POPS 14-15A (July 1, 2014 through December 31, 2014) Period Pursuant to Health and Safety Code (HSC) section 34186 (a) (Report Amounts In Whole Dollars) ROPS 14-15A Successor Agency (SA) Self-reported Prior Period Adjustments (PPA): Pursuant to HSC Section 34186 (a), SAs are required to report the differences between their actual available funding and their actual expenditures forthe POPS 14-15A (July through December 2014) period. The amount of Redevelopment Property Tax Trust Fund (RPTTF) approved for the POPS 15-16A (July through December 2015) period will be offset by the SA's self-reported POPS 14-15A prior period adjustment. HSC Section 34186 (a) also specifies that the prior period adjustments self-reported by SAs are subject to audit by the county auditor -controller (CAC) and the State Controller. A B I J K L M N O P Q R S T RPTTF Expenditures Net SA Nan -Admin and Admin PPA (Amount used to Offset ROPS 15-16A Noun Admin Admin Requested RPTTF) Available Available Difference RPTTF RPTTF (N total actual (ROPS 1415A Difference (ROPS 1415A exceeds total distributed + all other Net Lesser of tN K is less than L, distributed + all other Net Lesser of authorized, the Project Name available as of Authorized) the difference d,vailable a as of Authorized) total difference is Net Difference hem A Debt Obligation Authorized 0711114) Available Actual zero) Authorized 071V14) Available Actualzero) (M+R) SA Comments $ 125,000 5 1531,371 $ 1,531,371 $ 1531,3]1 $ 144],401 $ 83,970 $ 125,000 $ 125,000 $ 125,000 S - $ 83,970 1 TAB Refunding 645,888 645888 S-645 888 645,888 $ _ 5 2 Contradfor 2,500 2,500 $ 2,500 1,002 $ 698 $ 698 3 Contad for _ - $ - $ S cons. 11n9 s.Nlees 4 Contact for - - 8 $ - $ consulfing services 5 County Property - $ - $ - S Tax Admin Fee 6 Promissory Note 782,983 782983 $ 782.983 ]02,983 $ $ Payable Successor Agency - $ $ - b Consulting 8 Not Provided - $ $ 9 Not Provided - $ $ $ 10 Neighborhood - - $ $ - S - Stabilization Program 11 Project Casts - $ - $ - - $ Consulting 12 Project Costs- Legal - - $ $ $ 13 1901 Newport - - $ - $ - $ - Nousing Projett 14 Project Casts- - - $ - $ - - $ Consulting 15 Project Costs Legal - - $ - S - $ Recognized Obligation Payment Schedule (ROPS 15-16A) -Report of Prior Period Adjustments Reported for the POPS 14-15A (July 1, 2014 through December 31, 2014) Period Pursuant to Health and Safety Cade (HSC) section 34186 (a) (Report Amounts in Whole Dollars) ROBS 14 -ISA Successor Agency (SA) Self-reported Prior Period Adjustments (PPAb Pursuant to HSC Section 34186 (a), SAs are required to report the differences between their actual available funding and their actual expenditures for the POPS 14-15A (July through December 2014) period. The amount of Redevelopment Property Tax Trust Fund (RPTTF) approved for the ROPS 15-16A (July through December 2015) period will be offset by the SA's self-reported ROPS 14-15A prior period adjustment. HSC Section 34186 (a) also specifies that the prior period adjustments self-reported by SAs are subject to audit by the county auditor -controller (CAC) and the State Controller. A B I J K L M N 0 P Q R S T RPTTF Expenditures Net SA Non -Admin and Admin PPA (Amount Used to Offset ROBS 15-16A NonAddedAtlmin Requested RPTTF) Available Available Difference RPTTF RPTTF (If total actual (ROPS 14-15A Difference (ROPS 14-15A a..yrds total distributed + all other Net Lesser of (Ir Kis less than L, dlsGbWed+off other Net Lesser of authorized, the Project Name Ivailable a as of Authorized I the difference is available as of Authorized I total difference is Net Difference Itek m Debt Obligation Authorized 0711/14) Available Actualzero) Authorized 07/1/14) Available Actual zero) here) SA Comments $ 125,000 $ 1531,371 $ 1,531,371 S 1,531,371 S 1,44],401 S 83,970 S 125,000 S 125,000 $ 125,000 $ - $ 03,9]0 16 First Time Home - $ - $ - - $ - Buyer Program (FTHB) 17 Protect Casts - - $ - $ - $ - Consulting 10 Protea Costs -Legal - 5 - $ - $ - 19 Single Family - $ - $ - $ Rehabilitation Program 20 Project Costs -Legal - S $ 21 Civic Center Sarno - $ $ S 22 Project Costs- - - S $ - S - Consulting 23 Project Costs -Legal - - S - $ S - 24 St John's Manor - $ $ S 25 Project Costs - - $ $ S Consulting 20 Project Cosls-Legal - $ - $ - S 27 Costa Mesa Village $ - $ - S SRO' 20 Protect Casts- - $ - $ - $ - Consaltng 29 Pro)ect Costs -Legal - $ - S _ - $ Recognized Obligation Payment Schedule (RODS 15-16A) - Report of Prior Period Adjustments Reported for the ROPS 14-15A (July 1, 2014 through December 31, 2014) Period Pursuant to Health and Safety Code (HSC) section 34186 (a) (Report Amounts in Whole Dollars) ROPS 14-15A Successor Agency (SA) Self-reported Prior Period Adjustments (PPA): Pursuant to HSC Section 34186 (a), SAs are required to report the differences between their actual available funding and their actual expenditures for the ROPS 14-15A (July through December 2014) period. The amount of Redevelopment Property Tax Trust Fund (RPTTF) approved for the POPS 15-16A (July through December 2015) period will be offset by the SA's self-reported POPS 14-15A prior period adjustment. HSC Section 34186 (a) also specifies that the prior period adjustments self-reported by SAs are subject to audit by the county auditor- controller (CAC) and the State Controller. A B I J K L M N O P O R S T RPTTF Expenditures Net SA NonAcrid and Admin PPA (Amount Used to Offset ROPS 15-16A Non-Atlmin Atlmin Requested RPTTF) Available Available Difference RPTTF RPTTF (If total actual CROPS 14-15A Difference (ROPS 14-15A exceeds total distributed + all other Net Lesser of (If K is less than L, distributed + all other Net Lesser of authorized, the Project Name / available as of a Authorized I the difference is available as of Authorized / a total difference is Net Difference Rem C Debt Obligation 0711/14) Available Actual era) Authorized 07/1/14) Available Actual ero) (M+R) SA Comments $125,000 S 1531371 $ 1531371 $ 1447,401 $ 83970 S 125,000 $ 125.000 5 125,000 $ - $ 83970 30 Costa Mesa Famil - $ - $ V ide,(ShapolQ31 Project Costs- - $ $ Consult", 32 Praject Costs- Legal - $ - $ 33 Rental - - S $ - - $ Rehabilitation Program 34 Praject Costss-Legal - $ - $ - $ - 35 Harrel for - $ $ - $ Humanity (5 antis) 36 Project CostsLegal- - $ $ - - $ 37 Adi imstratse Cost - $ $ $ 38 Successor Agency - - $ $ - , - $ Personnel Expenditures 39 Executive Secretary - S - $ $ - 40 Management - - $ $ - - 18,562 $ Analyst 41 Management - $ - $ - $ - Analyst 42 occurring - - $ $ - 17,711 $ Supervisor 43 Asst Finance _ _ $ $ 30,703 $ - Dlrector Recognized Obligation Payment Schedule (ROPS 15-16A) -Report of Prior Period Adjustments Reported for the ROPS 14-15A (July 1, 2014 through December 31, 2014) Period Pursuant to Health and Safety Code (HSC) section 34186 (a) (Report Amounts in Whole Dollars) REPS 14.15A Successor Agency (SA) Self-reported Prior Period Adjustments (PPA): Pursuant to HSC Section 34186 (a), SAs are required to report the differences between their actual available funding and their actual expenditures for the ROPS 14-15A (July through December 2014) period. The amount of Redevelopment Property Tax Trust Fund (RPTTF) approved for the ROPS 15-16A (July through December 2015) period will be offset by the SA's self-reported ROPS 14-15A prior period adjustment. HSC Section 34186 (a) also specifies that the prior period adjustments self-reported by SAs are subject to audit by the county auditor -controller (CAC) and the State Controller. A B J K L M N O P O R S T RPTTF Expenditures Net SA Non -Admin and Admin PPA (Amount Used to Offset POPS 15-16A Non -Admin Admin Requested RPTTF) Available Available Difference RPTTF RPTTF (If total actual (RODS 14-15A Difference (BOPS 14-15q exceeds total distributed +all other Net Lesser of (If K is less than L, distributed + all other Net Lesser of authorized, the Project Name Ivailable a as of Authorized I the difference is available as of Authorized I total difference is Net Difference Item# Debt Obligation Authorized 0711/14) Available Actual zero) Authorized 0711/14) Available Actual em) (M -R) SA Comments $ 125,000 $ 1,531,371 5 1,531371 $ 1,531371 5 1447,401 $ 83,970 $ 125,000 $ 125,000 $ 125,000 $ - $ 83,970 44 Budget Analyst - $ 5 11.078 $ 45 Administrative Cost- - 3 5 - - 7,500 $ - Aud[ng Exp 46 Administrative Cost- - 5 - $ - $ Others 47 Central Services - S 5 $ 48 Postage Charges - 5 $ $ 49 Successor Agency - 5 $ - 27,837 $ Personnel Expenditure -City Clerk 50 Successar Agency- - - 5 $ - 11,529 $ Legal Services 51 Successor Agency _ - - 5 - $ - $ - Consulting SeMces 52 Litigation Against 100,000 100,000 $ 100,000 16,728 $ 83,92 - $ 83,272 DOE & County of Orange Auditor Controller $ $ $ $ $ $ $ $ $ 8 S $ $ 5 $ $ 5 ..__ $ Is Recognized Obligation Payment Schedule (ROPS 15-16A) - Notes July 1, 2015 through December 30, 2015 Item# Notes/Comments On the ROPS detail worksheet $111,595 was listed as Other Funds under Funding Source. This amount was transferred to Costa Mesa Successor Agency from the City as of 12/31/2014 based an the State Controller's Office audit findings reported in the Costa Mesa Redevelopment Agency Asset Transfer Review Report 1 dated January 2015. ATTACHMENT 2 Successor Agency Resolution No. 15 -XX Approving Recognized Obligations Payment Schedule 15-16A for the Six -Month Fiscal Period July 1, 2015 to December 31, 2015 (attached) SUCCESSOR AGENCY RESOLUTION NO. 15 -XX A RESOLUTION OF THE SUCCESSOR AGENCY TO THE COSTA MESA REDEVELOPMENT AGENCY APPROVING THE RECOGNIZED OBLIGATION PAYMENT SCHEDULE 15-16A FOR THE SIX-MONTH FISCAL PERIOD OF JULY 1, 2015 TO DECEMBER 31, 2015, SUBJECT TO SUBMITTAL TO, AND REVIEW BY THE OVERSIGHT BOARD AND THE DOF PURSUANT TO CALIFORNIA HEALTH AND SAFETY CODE, DIVISION 24, PART 1.85; AUTHORIZE POSTING AND TRANSMITTAL THEREOF WHEREAS, the former Costa Mesa Redevelopment Agency ("former Agency") was established as a redevelopment agency that was previously organized and existing under the California Community Redevelopment Law, Health and Safety Code Section 33000, et seq., and previously authorized to transact business and exercise powers of a redevelopment agency pursuant to action of the City Council of the City of Costa Mesa ("City"); and WHEREAS, Assembly Bill x1 26 chaptered and effective on June 27, 2011 added Parts 1.8 and 1.85 to Division 24 of the California Health & Safety Code, which caused the dissolution of all redevelopment agencies and wind down of the affairs of former agencies, including as such laws were amended by Assembly Bill 1484 and other subsequent legislation (together, the "Dissolution Law"); and WHEREAS, as of February 1, 2012 the former Agency was dissolved pursuant to the Dissolution Law, and as a separate public entity, corporate and politic the Successor Agency to the Costa Mesa Redevelopment Agency ("Successor Agency") administers the enforceable obligations of the former Agency and otherwise unwinds the former Agency's affairs, all subject to the review and approval by a seven -member oversight board ("Oversight Board"); and WHEREAS, pursuant to Section 34179 the Successor Agency's Oversight Board has been formed and its initial meeting occurred on April 19, 2012; and WHEREAS, Section 34179 provides that the Oversight Board has fiduciary responsibilities to holders of enforceable obligations and the taxing entities that benefit from distributions of property tax and other revenues pursuant to Section 34188 of Part 1.85 of the Dissolution Law; and WHEREAS, Sections 34177(m) and 34179 provide that each ROPS is submitted to reviewed and approved by the Successor Agency and then reviewed and approved by the Oversight Board before final review and approval by the State Department of Finance ("DOF"); and WHEREAS, the Dissolution Law, in particular Section 34177(m), requires that the ROPS for the 15-16A six-month fiscal period of July 1, 2015 to December 31, 2015 ("ROPS 15-16A") shall be submitted to the DOF by the successor agency, after approval by the oversight board, no later than March 1, 2015; and WHEREAS, pursuant to Sections 34179.6 and 34177(k)(2)(B) of the Dissolution Law, the Successor Agency is required to submit a copy of the ROPS 15-16A to the County Administrative Officer ("CAO"), the County Auditor -Controller ("CAC"), the State Controller's Office ("SCO") and the DOF at the same time that the Successor Agency submits such ROPS to the Oversight Board for review; and WHEREAS, the Successor Agency has reviewed the draft ROPS 15-16A and desires to approve such ROPS and to authorize the Successor Agency, to transmit the ROPS to the Oversight Board for review and action and send copies of such ROPS to the CAO, CAC, SCO and DOF; and WHEREAS, the Successor Agency shall post the ROPS 15-16A on the Successor Agency website. NOW, THEREFORE, BE IT RESOLVED BY THE SUCCESSOR AGENCY TO THE COSTA MESA REDEVELOPMENT AGENCY: Section 1. The foregoing recitals are incorporated into this Resolution by this reference, and constitute a material part of this Resolution. Section 2. Pursuant to the Dissolution Law, the Successor Agency approves the ROPS 15-16A submitted herewith as Attachment 1, which schedule is incorporated herein by this reference; provided however, that the ROPS 15-16A is approved subject to the condition such ROPS 15-16A is to be transmitted to the Oversight Board for review and approval and a copy of such ROPS 15-16A shall concurrently be sent to the CAO, CAC, SCO, and DOF. Further, the Assistant Finance Director, in consultation with legal counsel, shall be authorized to request and complete meet and confer session(s) with the DOF and authorized to make augmentations, modifications, additions or revisions as may be necessary or directed by DOF. Section 3. After approval by the Oversight Board, the Successor Agency authorizes transmittal of the approved ROPS 15-16A again to the CAC, SCO and DOF. Section 4. The Assistant Finance Director of the Successor Agency or an authorized designee is directed to post this Resolution, including the ROPS 15-16A, on the Successor Agency website pursuant to the Dissolution Law. Section 5. The Secretary of the Successor Agency shall certify to the adoption of this Resolution. APPROVED AND ADOPTED this 17th day of February 2015. Stephen M. Mensinger, Chair Successor Agency to the Costa Mesa Redevelopment Agency ATTEST: Brenda Green, Secretary Successor Agency to the Costa Mesa Redevelopment Agency (SEAL) STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ss. CITY OF COSTA MESA ) I, Brenda Green, Secretary of the Successor Agency to the Costa Mesa Redevelopment Agency, hereby certify that the foregoing resolution was duly adopted by the Successor Agency at a regular meeting held on the 17th day of February 2015, and that it was so adopted by the following vote: AYES: COUNCIL MEMBERS: None NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None ABSTAIN: COUNCIL MEMBERS: None IN WITNESS WHEREOF, I have hereby set my hand and affixed the seal of the City of Costa Mesa this 17th day of February, 2015. Brenda Green, Secretary Successor Agency to the Costa Mesa Redevelopment Agency (SEAL)