HomeMy WebLinkAbout14-38 - Repayment of Loan from the Park Development Fee to General FundRESOLUTION NO. 14-38
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COSTA MESA,
CALIFORNIA, RESTRUCTURING THE TERMS OF REPAYMENT OF THE
LOAN FROM THE PARK DEVELOPMENT FEE TO THE GENERAL FUND
WHEREAS, on or about February 20, 2007, the City Council approved the
acquisition of the property located at 261 Monte Vista Avenue also identified by
Assessor's Parcel Number 439-333-01 ("Property"); and
WHEREAS, on or about February 20, 2007, the City Council authorized the
appropriation of City of Costa Mesa General Fund Reserves ("General Fund
Reserve") in the amount of $3,571,045 to the City of Costa Mesa Park
Development Fees ("Loan" & "Park Development Fees") for the acquisition of the
Property as set forth in Attachment A; and
WHEREAS, the terms of the Loan required repayment to be based upon
the amount of the City's annual operating budget that could be reasonably
accommodated until the Loan is fully repaid; and
WHEREAS, the Loan remains outstanding in the amount of $4,285,268.56
outstanding; and
WHEREAS, the City proposes restructuring the loan based on the
amortization schedule set forth in Attachment B by considering current and future
reserves to ensure consistent repayment of the Loan going forward.
NOW THEREFORE THE CITY COUNCIL OF THE CITY OF COSTA MESA
DOES HEREBY RESOLVE AS FOLLOWS:
Section 1. The City Council finds the foregoing is true and correct.
Section 2. The City Council hereby approves a restructuring of the Loan
from the Park Development Fees to the General Fund Reserves. The Park
Development Fees shall make two -hundred twenty-five (225) payments over
twenty (20) years at one-half percent (.005%) rate of interest based on the Local
Agency Investment Fund (LAIF). The payments shall be based upon the
amortization schedule set forth in Attachment B.
PASSED AND ADOPTED this 17th day of June, 2014.
Resolution No. 14-38 Page 1 of 2
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ATTEST: APPROVED TO FORM
EXIOCI& QUM,
Brenda Green; ity Clerk Thomas buarfe, Ci y Attorney
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss
CITY OF COSTA MESA )
I, BRENDA GREEN, City Clerk of the City of Costa Mesa, DO HEREBY
CERTIFY that the above and foregoing is the original of Resolution No. 14-38 and
was duly passed and adopted by the City Council of the City of Costa Mesa at a
regular meeting held on the 17th day of June, 2014, by the following roll call vote,
to wit:
AYES: COUNCIL MEMBERS: Monahan, Mensinger, Righeimer
NOES: COUNCIL MEMBERS: Genis, Leece,
ABSENT: COUNCIL MEMBERS: None
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Seal of
the City of Costa Mesa this 18th day of June, 2014.
BRENDA GREEN, CITY CLERK
Resolution No. 14-38 Page 2 of 2
Attachment'A
RESOLUTION NO. 07-21
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF COSTA MESA, CALIFORNIA, AUTHORIZING THE
GENERAL FUND TO LOAN THE PARK DEVELOPMENT
FEES FUND TO COSTS RELATED TO THE
ACQUISITION OF 261 MONTE VISTA AVENUE IN
COSTA MESA.
THE CITY COUNCIL OF THE CITY OF COSTA MESA DOES HEREBY
RESOLVE AS FOLLOWS:
WHEREAS, the acquisition of 261 Monte Vista Avenue in the city of Costa Mesa
has been found by the City Council to be an important addition to the City parkland
acreage;
WHEREAS, the City Council has directed staff to structure a loan from the
General Fund to the Park Development Fees Fund to pay for all of the costs associated
with the acquisition of the property;
WHEREAS, the General Fund has sufficient reserves to provide for this loan and
the Park Development Fees Fund is anticipated to have sufficient funding in future
revenues to repay this loan within the next three to five years;
WHEREAS, the City Council authorizes the Director of Finance to take the
necessary steps to appropriately account for this loan with interest including making the
necessary transfers of funds to provide for the expenditures related to the following:
• The purchase price of the property;
• All necessary reports including the appraisal report and all necessary
inspection reports;
• The closing costs related to close of escrow; and
• The related Attorney Fees.
WHEREAS, the City Council directs the Director of Finance to annually include
an update on the status of the repayment of the loan as part of the Budget
Development Process and annually include into the Proposed Budget a portion of the
repayment that the Park Development Fees Fund can reasonably accommodate each
year until the loan is fully repaid;
NOW, THEREFORE, BE IT RESOLVED that the City Council hereby
APPROVES a loan from General Fund Reserves to the Park Development Fees Fund
to provide for all costs related to the acquisition of 261 Monte Vista Avenue in Costa
Mesa for the purpose of increasing parkland acreage.
BE IT FURTHER RESOLVED that the City Council authorizes the Director of
Finance to take the steps necessary to structure this loan and provide for annual
repayments as part of the adoption of the annual City Operating Budget.
PASSED AND ADOPTED this 20th day of February, 2007.
//Z
Allan R. Mansoor, Mayor
ATTEST:
Jui Folcik, City Clerk
APPROVED AS TO FORM:
Kimberly FMII Barlow, City Attorney
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STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss
CITY OF COSTA MESA )
I, JULIE FOLCIK, City Clerk of the City of Costa Mesa, DO HEREBY CERTIFY
that the above and foregoing is the original of Resolution No. 07-21 and was duly
passed and adopted by the City Council of the City of Costa Mesa at a regular meeting
held on the 20th day of February, 2007, by the following roll call vote, to wit:
AYES: COUNCIL MEMBERS: MANSOOR, BEVER, DIXON, FOLEY, LEECE
NOES: COUNCIL MEMBERS: NONE
ABSENT: COUNCIL MEMBERS: NONE
IN WITNESS WHEREOF, I have hereby set my hand and affixed the seal of the
City of Costa Mesa this 21St day of February, 2007.
(SEAL)
J PE-ALCK, CITY CLERK
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PARK DEVELOPMENT LOAN AMORTIZATION SCHEDULE
FY 13/14
PAYMENT $225,689.89
INPUT AREA= D1,D2,D3,D4
Attachment B
PRINCIPAL BALANCE $4,285,268.56
INTEREST RATE PER YEAF 0.50% 0.50% PER YEAR
TERM (IN YEARS) 20 20 YEARS
TERM/VV ADD'L PRINCIPAL 0.0 0 ADDITIONAL PRINCIPAL
TOTAL PMTS $4,513,797.82
V_
INTEREST
PRINCIPAL
PAYMENT
ADD'L PMT
BALANCE
TOTALS-->
228,529.26
4,285,268.56
4,513,797.82
0.00
0
4,285,268.56
1
21,426.34
204,263.55
225,689.89
0.00
4,081,005.01
2
20,405.03
205,284.87
225,689.89
0.00
3,875,720.15
3
19,378.60
206,311.29
225,689.89
0.00
3,669,408.86
4
18,347.04
207,342.85
225,689.89
0.00
3,462,066.01
5
17,310.33
208,379.56
225,689.89
0.00
3,253,686.45
6
16,268.43
209,421.46
225,689.89
0.00
3,044,264.99
7
15,221.32
210,468.57
225,689.89
0.00
2,833,796.42
8
14,168.98
211,520.91
225,689.89
0.00
2,622,275.51
9
13,111.38
212,578.51
225,689.89
0.00
2,409,697.00
10
12,048.48
213,641.41
225,689.89
0.00
2,196,055.59
11
10,980.28
214,709.61
225,689.89
0.00
1,981,345.98
12
9,906.73
215,783.16
225,689.89
0.00
1,765,562.82
13
8,827.81
216,862.08
225,689.89
0.00
1,548,700.74
14
7,743.50
217,946.39
225,689.89
0.00
1,330,754.35
15
6,653.77
219,036.12
225,689.89
0.00
1,111,718.24
16
5,558.59
220,131.30
225,689.89
0.00
891,586.94
17
4,457.93
221,231.96
225,689.89
0.00
670,354.98
18
3,351.77
222,338.12
225,689.89
0.00
448,016.86
19
2,240.08
223,449.81
225,689.89
0.00
224,567.06
20
1,122.84
224,567.06
225,689.89
0.00
0.00
V_