HomeMy WebLinkAboutStaff Report 3.A 01/25/2016Agenda Item #3.A
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DATE: January 25, 2016
TO: Honorable Mayor and Members of the City Council through City Manager
Honorable Chair and Members of the Petaluma Community Development
Successor Agency Board through Executive Director
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FROM: Ingrid Alverde, Economic Development / Redevelopment Manager )) — --
SUBJECT: Resolution Adopting a July 1, 2016 — June 30, 2017 Recognized Obligation
Payment Schedule (ROPS 16 -17) and Administrative Budget Pursuant to Health
and Safety Code Section 34177 (1)
RECOMMENDATION
It is recommended that the Petaluma Community Development Successor Agency (PCDSA)
approve the Resolution Adopting a July 1, 2016 — June 30, 2017 Recognized Obligation Payment
Schedule (ROPS 16 -17) and Administrative Budget Pursuant to Health and Safety Code Section
34177(l).
BACKGROUND
On December 29, 2011, the California Supreme Court upheld the constitutionality of ABxl 26
dissolving redevelopment agencies statewide as of February 1, 2012. The Council established
the Petaluma Community Development Successor Agency (PCDSA) as a separate legal body to
oversee the dissolution of the former Petaluma Community Development Commission (PCDC).
DISCUSSION
Until now the Successor Agency has been required to adopt a list of enforceable obligations
called a Recognized Obligation Payment Schedule (ROPS), together with an administrative
budget every six months. New legislation passed last summer changes the timeframe for the
ROPS from every six months to every year. The upcoming RODS period is July 1, 2016 — June
30, 2017 and is referred to as the ROPS 16 -17 because it covers obligations for fiscal year 16 -
17. The attached ROPS requests funds to pay for ongoing debt service and administration. It
also includes a request for funds to pay for interchange projects at Old Redwood Highway, East
Washington and the future Rainier interchange crossing. We are able to request these funds as a
result of newly adopted legislation that allows cities to recapture previous obligations related to
State highway projects.
The ROPS and the administrative budget are due to the DOF by February 1, 2016 and must first
be reviewed and approved by the Oversight Board. The Oversight Board is scheduled to review
the ROPS and administrative budget on January 27, 2016. The early due date provides sufficient
time for DOF to review the listed items and confer with Successor Agencies in time for the June
distribution of property taxes. The attached resolution includes the ROPS 16 -17 and the
administrative budget for your review and consideration (Exhibit A & B of the Resolution).
FINANCIAL IMPACTS
The ROPS 16 -17, once approved by the Oversight Board and the State Department of Finance,
will provide for the needed funds to administer the PCDSA and pay for enforceable obligations
of the PCDSA from July 1, 2016 — June 30, 2017.
ATTACHMENTS
1. Resolution Adopting the Fiscal Year 16 -17 Recognized Obligation Payment Schedule
2
Attachment 1
RESOLUTION NO.
A RESOLUTION OF THE PETALUMA COMMUNITY DEVELOPMENT SUCCESSOR
AGENCY ADOPTING A JULY 1, 2016 — JUNE 30, 2017 RECOGNIZED OBLIGATION
PAYMENT SCHEDULE ( "ROTS 16 -17 ") AND ADMINISTRATIVE BUDGET
PURSUANT TO HEALTH AND SAFETY CODE SECTION 34177 (1)
WHEREAS, the City of Petaluma (City) resolved to act as the Petaluma Community
Development Commission Successor Agency (PCDSA or Successor Agency) to, and assumed
all rights and obligations of, the former Petaluma Community Development Commission
(PCDC), by Resolution No. 2012 -03; and
WHEREAS, the City Council established the PCDSA as an independent public entity
pursuant to Health and Safety Code Section 34173(g), on August 6, 2012, by Resolution No.
2012 -118 N.C.S.; and
WHEREAS, the liability of the PCDSA is limited pursuant to Health and Safety Code
Section 34173(e) and other applicable law; and
WHEREAS, the PCDSA was required to adopt a six month enforceable obligation
payment schedule referred to as the Recognized Obligation Payment Schedule (ROPS), and an
administrative budget, which it has done for each of the initial six -month periods of the newly
formed PCDSA; and
WHEREAS, newly adopted legislation requires a yearlong period for the ROPS; and
WHEREAS, the ROPS 16 -17 and administrative budget, covering the period from July
1, 2016 — June 30, 2017, are due to the State Department of Finance (DOF) by February 1, 2016;
and
WHEREAS, the Oversight Board for the PCDSA must review and approve the ROPS
16 -17 and administrative budget prior to their submission to DOF; and
WHEREAS, in adopting ROPS 16 -17, the PCDSA will comply with all applicable
posting and notification requirements, including posting the ROPS 16 -17 on the Successor
Agency's website and providing a copy thereof to the Oversight Board for the PCDSA, the
County Administrative Officer, the Department of Finance, and the Sonoma County Auditor -
Controller; and
WHEREAS, a draft ROPS 16 -17 and administrative budget for the period July 1, 2016 —
June 30, 2017, a copy of which is attached as Exhibit A & B, has been presented to the PCDSA,
the PCDSA is familiar with the contents thereof, and the Executive Director has recommended
approval of the same, subject to the contingencies and reservation of rights set forth in this
Resolution; and
WHEREAS, the PCDSA reserves the right to challenge the legality of Assembly Bill xl
26, AB 1484 and /or any implementing regulations, and to rescind its acceptance of Successor
Agency rights and obligations, and reserves any and all rights concerning Assembly Bill xl 26
and AB 1484 pursuant to applicable law; and
WHEREAS, the PCDSA reserves the right to further amend the ROPS 16 -17 and
administrative budget; and
WHEREAS, in adopting the ROPS 16 -17 and administrative budget, the PCDSA does
not intend to waive, nor shall the PCDSA be deemed to have waived, any rights the PCDSA may
have pursuant to or in connection with any obligation listed on the ROPS 16 -17 and
administrative budget, including without limitation, the right to modify, amend, terminate or
challenge any obligation listed on the ROPS 16 -17 or the administrative budget.
NOW, THEREFORE, BE IT RESOLVED BY THE PETALUMA COMMUNITY
DEVELOPMENT SUCCESSOR AGENCY PURSUANT TO HEALTH AND SAFETY
CODE 34171(1), that the Petaluma Community Development Successor Agency hereby:
1. Finds that the Recitals set forth above are true and correct, and are incorporated
herein by reference.
2. Approves the Recognized Obligation Payment Schedule for the July 1, 2016 — June
30, 2017 (ROPS 16 -17) and the administrative budget, attached hereto as Exhibit A &
B, pursuant to Health and Safety Code section 34177(1), subject to all reservations of
rights and contingencies set forth above.
3. Authorizes and directs the Executive Director or his designee to take all actions
necessary to implement this Resolution, including without limitation, the submission
of the draft ROPS 1647 simultaneously to the Oversight Board for the PCDSA, the
Sonoma County Administrative Officer, the Sonoma County Auditor - Controller, and
the State Department of Finance; and the posting of this Resolution and the
Recognized Obligation Payment Schedule 16 -17 on the Successor Agency's website.
4. Declares that if any provision, sentence, clause, section, or part of this Resolution is
found to be unconstitutional, illegal or invalid, such finding shall affect only such
provision, sentence, clause, section or part, and shall not affect or impair any of the
remainder.
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EXHIBIT A
Recognized Obligation Payment Schedule (RODS 16 -17) - Summary
Filed for the July 1, 2016 through June 30, 2017 Period
Successor Agency: Petaluma
County: Sonoma
Current Period Requested Funding for Enforceable Obligations (ROPS Detail)
Enforceable Obligations Funded with Non - Redevelopment Property Tax Trust Fund ( RPTTF) Funding
A Sources (B +C +D):
B Bond Proceeds Funding
C Reserve Balance Funding
D Other Funding
E Enforceable Obligations Funded with RPTTF Funding (F +G):
F Non - Administrative Costs
G Administrative Costs
H Current Period Enforceable Obligations (A +E):
Certification of Oversight Board Chairman:
Pursuant to Section 34177 (o) of the Health and Safety code, I
hereby certify that the above is a true and accurate Recognized
Obligation Payment Schedule for the above named successor
agency.
ROPS 16 -17
16 -17A Total 16 -17B Total Total
$ 5,884,349 $
i
-
$ 5,884,349
5,884,349
-
5,884,349
$ 125,000 $
r
5,573,495
$ 5,698,495
-
5,448,495
5,448,495
125,000
125,Q00
250,000
$ 6,009,349 $
5,573,495
$ 11,582,844
Name Title
/s/
Signature Date
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Petaluma Recognized Obligation Payment Schedule (ROPS 16 -17) - ROPS Detail
Petaluma Recognized Obligation Payment Schedule (ROPS 16 -17) - ROPS Detail
July 1, 2016 through June 30, 2017
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R
S
T
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V
W
A
8
C
D
E
F
G
H
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L
M
N
16 -17A
16 -17B .
Non - Redevelopment Property Tax Trust Fund
Non - Redevelopment Property Tax Trust Fund
Nor t-RP
RPTTF
Non -RP
RPTTF
ContracVAgreement
ContracUAgreemenl
Total Outstanding
16-17A
item#
Project Name /Debt Obligation
Obligation Type
Execution Date
Termination Date
Payee
Descdption/Projecl Scope
Project Area
Debt or Obligation
Retired
ROPS16-17Total
Bond Proceeds
Reserve Balance
Other Funds
Non - Admin
Admin
Total
!Bond Proceeds
Reserve Balance
Other Funds
Non -Adman
Admin
16-178
Total
56
January 31, 2011 Cooperative
Reentered Agreements
4/25/2012
6118/2047
City of Petaluma
January 31, 2011 Cooperative
PCDC Merged
-
N
$ -
$ _
Agreement by and between the
Agreement by and between the
$ _
Petaluma Community Development
Petaluma Community Development
Commission and the City of
Commission and the city of Petaluma
Petaluma as to Item 3 on Exhibit A,
the'101/East Washington
_
Interchange Project.'
-
51
January 31,2011 Coop Agreement
Reentered Agreements
4/25/2012
6/18/2047
City of Petaluma
January 31,2011 Cooperative
PCDC Merged
5,568,573
N
$ 640,117
640,117
by and between the Petaluma
Agreement by and between the
$ 640,117
$ -
Community Development
Petaluma Community Development
Commission and the City of
Commission and the City of Petaluma
Petaluma as to Item 5 on Fx A,
'Rainer Avenue Cross -town
Connector/Interchange Proj.'
52
January 31, 2011 Coop Agreement
Reentered Agreements
4/25 /2012
6/18/2047
City of Petaluma
January 31, 2011 Cooperative
PCDC Merged
1,808,787
N
$ 658,787
658,787
by and between the Petaluma
Agreement by and between the
$ 658,787
$. -
Community Development
Petaluma Community Development
Commission and the City of
Commission and the City of Petaluma
Petaluma as to Item 1 on Ex. C.
'Staffing and Adminitralive
Expenses'
53
55
$ -
$5.,-
-
56
N
N
$_.
$
$
$' -
57
N
$.:
$
$ -
$
56
N
$... _
- $
-. -
59
N
$
$
-
60
N
$
$
611
N
-
$
62
63
N
$
$
6
N
$
§
S
N
$
$
67
N
$
68
N
$ -_
-
$ -
$ 7 717
$
69
N
$
- v
71
$$.
72
N
N
$ _
$
$
'$
73
74
N
$
$
$ -
,$. .
$,.� -
N
$
766
N
$.
$
-
79
80
N
N
$
$
$
81
N
$
$
$
$ ,.
82
N
$
$
$
83
84
N
$ -
j _
$ -
85
1
N
$
$
N
Petaluma Recognized Obligation Payment Schedule (ROPS 16 -17) - Report of Cash Balances
(Report Amounts in Whole Dollars)
Pursuant to Health and Safety Code section 34177 (1), Redevelopment Property Tax Trust Fund ( RPTTF) may be 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 CASH BALANCE TIPS SHEET -
A
B
C-7
D
I E
F
I G
I H
I
Fund Sources
Bond Proceeds
Reserve Balance
Other
RPTTF
Prior ROPS
Prior ROPS
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
period(s)
interest, etc.
Admin
Comments
ROPS 15 -16A Actuals 07/01/15 - 12/31/15)
1
Beginning Available Cash Balance (Actual 07101115)
203,160
11,171, 039
13,371
2
Revenue /Income (Actual 12/31/15)
RPTTF amounts should tie to the ROPS 15 -16A distribution from the
County Auditor - Controller during June 2015
72
1
2,002,514
3
Expenditures for ROPS 15 -16A Enforceable Obligations (Actual
12/31/15)
-
-
1,974,282
4
Retention of Available Cash Balance (Actual 12131115)
RPTTF amount retained should only include the amounts distributed as
reserve for future period(s)
5
ROPS 15 -16A RPTTF Balances Remaining
No entry required
6
Ending Actual Available Cash Balance
C to G = (1 + 2 - 3 - 4), H = (1 + 2 - 3 - 4 - 5)
$ 203,232
$ 11,171,040
$ -
$ -
$ -
$ 41,603
i
ROPS 15 -16B Estimate (01/01/16 - 06130116)
7
Beginning Available Cash Balance (Actual 01/01116)
(C, D, E, G = 4 + 6, F = H4 + F4 + F6, and H = 5 + 6)
$ 203,232
$ 11,171,040
$ -
$ -
$ -
$ 41,603
8
Revenue /Income (Estimate 06/30116)"
RPTTF amounts should tie to the ROPS 15 -16B distribution from the
County Auditor - Controller during January 2016
5,560,097
9
Expenditures for ROPS 15 -16B Enforceable Obligations (Estimate
06/30/16)
3,525,648
10
Retention of Available Cash Balance (Estimate 06/30116)
RPTTF amount retained should only include the amounts distributed as
reserve for future period(s)
2,077,229
11
Ending Estimated Available Cash Balance (7 + 8 - 9 -10)
$ 203,232
$ 11,171,040
$ -
$ -
$ -
$ 1,177)
9
Petaluma Recognized Obligation Payment Schedule (ROPS 16 -17) - Notes July 1, 2016 through June 30, 2017
Item # I Notes /Comments
10
EXHIBIT B
PETALUMA COMMUNITY DEVELOPMENT SUCCESSOR AGENCY
Administrative Budget FY 2016 -2017
ROPS 16 -17
Admin charges (wages, etc)
Professional Service /Audit
Utilities /Maintenance /Repairs
Legal Services
Office Supplies
Cell Phone
Office Rent
Bank/Trustee fees /Financial oversight
FY 16 -17A FY 16 -17B
$ 95,290 $
95,290
8,000
8,000
4,000
4,000
5,000
5,000
250
250
460
460
3,000
3,000
9,000
9,000
Total for Year
$ 125,000 $ 125,000 $ 250,000
11