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HomeMy WebLinkAbout65 - PH-3 - Attachment 5 - 6/17/2014Attachment 5 RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COSTA MESA 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. ATTEST: James M. Righeimer, Mayor APPROVED AS TO FORM Brenda Green, City Clerk Thomas Duarte, City 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-xx 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: NOES: COUNCIL MEMBERS: /_1:�y2101�19011J0us] l0kVA l2 1 VA 1:1212601 IN WITNESS WHEREOF, I have hereby set my hand and affixed the seal of the City of Costa Mesa this 18th day of June, 2014. BRENDA GREEN, CITY CLERK PARK DEVELOPMENT LOAN AMORTIZATION SCHEDULE FY 13/14 INPUT AREA = D1,D2,D3,D4 PRINCIPAL INTEREST RATE PER YEAR TERM (IN YEARS) TERM/W ADD'L PRINCIPAL BALANCE 0.50% 20 0.0 TOTAL PMTS 1/► 1 $4,285,268.56 $225,689.89 0.50% PER YEAR 20 YEARS 0 ADDITIONAL PRINCIPAL 513,797.82 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