HomeMy WebLinkAboutOB_2016-01-28_Agenda Packet
OVERSIGHT BOARD FOR SUCCESSOR
AGENCY TO THE COMMUNITY
REDEVELOPMENT AGENCY OF
ATASCADERO FOR REDEVELOPMENT
AND HOUSING PURPOSES1
SPECIAL MEETING
AGENDA
Thursday, January 28, 2016
3:00 P.M.
Atascadero City Hall, Conference Room 306
6500 Palma Avenue
Atascadero, California
CALL TO ORDER:
ROLL CALL: Chairperson Fonzi
Board Member Rickard
Board Member Arnold
Board Member Weathers
Board Member Escobedo
Board Member Clemens
APPROVAL OF AGENDA: Roll Call
1 On January 10, 2012, the Atascadero City Council adopted Resolution No. 2012-002, electing to serve as the
successor to the Community Redevelop ment Agency of Atascadero for redevelopment purposes, and also elected to
retain the housing assets and functions previously performed by the Community Redevelopment Agency of
Atascadero.
PUBLIC COMMENT: (This portion of the meeting is reserved for persons wanting to
address the Board on any matter not on this agenda and over which the Board has
jurisdiction. Speakers are limited to three minutes. Please state your name for the
record before making your presentation. The Board may take action to direct the staff
to place a matter of business on a future agenda. A maximum of 30 minutes will be
allowed for Public Comment, unless changed by the Board.)
A. CONSENT AGENDA:
1. Oversight Board Special Meeting Draft Action Minutes of September 24,
2015
Recommendation: Board approve the Oversight Board Special Meeting
Draft Action Minutes of September 24, 2015
B. BUSINESS ITEMS: None
C. MANAGEMENT REPORTS:
1. Approval of Recognized Obligation Payment Schedule 16-17July 1, 2016
through June 30, 2017
Fiscal Impact: None for this action.
Recommendation: Oversight Board adopt Draft Resolution A approving
Recognized Obligation Payment Schedule (ROPS) for the period of July 1,
2016 through June 30, 2017 (ROPS 16 -17), including the Administrative
Budget, pursuant to Health and Safety Code. [Administrative Services]
2. Approval of Bond Proceeds for Historic City Hall Project Exceeding
Department of Finance Authorized Amount
Fiscal Impact: None for this action.
Recommendation: Oversight Board adopt Draft Resolution Approving
Payment of $38,059 in Bond Funds as listed on the Recognized
Obligation Payment Schedule 15-16A, Report of Prior Period Adjustments,
Line Item Number 128, in Excess of Department of Finance Authorized
amount. [Administrative Services]
D. BOARD COMMENTS:
E. STAFF COMMENTS:
F. ADJOURNMENT:
In compliance with the Americans with Disabilities Act, if you need special assistance to participate in
an Oversight Board meeting, please contact the City Clerk’s Office at (805) 470-3400. Notification at
least 48 hours prior to the meeting or time when services are needed will assist the City staff in assuring
that reasonable arrangements can be made to provide accessibility to the meeting.
ITEM NUMBER: A-1
DATE: 01/28/16
Atascadero Oversight Board
September 24, 2015
Page 1 of 3
OVERSIGHT BOARD FOR SUCCESSOR
AGENCY TO THE COMMUNITY
REDEVELOPMENT AGENCY OF
ATASCADERO FOR REDEVELOPMENT
AND HOUSING PURPOSES1
SPECIAL MEETING
DRAFT MINUTES
Thursday, September 24, 2015
3:00 P.M.
Atascadero City Hall, Conference Room 106
6500 Palma Avenue, Atascadero, California
CALL TO ORDER:
In the absence of the Chair and Vice Chair, Board Member Arnold called the meeting to
order at 3:03 p.m.
ROLL CALL:
Present: Board Members Rickard, Arnold, Clemens, and Escobedo
Absent: Board Member Weathers, Vice Chairperson Jarvis, and
Chairperson Fonzi
Staff Present: Administrative Services Director Jeri Rangel, and Deputy City Clerk
Lisa Cava
1 On January 10, 2012, the Atascadero City Council adopted Resolution No. 2012-002, electing to serve as the
successor to the Community Redevelopment Agency of Atascadero for redevelopment purposes, and also elected to
retain the housing assets and functions previously performed by the Community Redevelopment Agency of
Atascadero.
ITEM NUMBER: A-1
DATE: 01/28/16
Atascadero Oversight Board
September 24, 2015
Page 2 of 3
APPROVAL OF AGENDA:
MOTION: By Board Member Rickard and seconded by Board Member
Clemons to approve the agenda.
Motion passed 4:0 by a roll-call vote.
PUBLIC COMMENT: The following citizens spoke during Public Comment:
Charles Bourbeau asked about the status and timeline for the demolition of the former
Main Street building, answered by Staff Member Rangel and Board Member Rickard.
Board Member Arnold closed the PUBLIC COMMENT period.
A. CONSENT AGENDA:
1. Oversight Board Regular Meeting Draft Action Minutes of June 18, 2015
Recommendation: Board approve the Oversight Board Special Meeting Draft
Action Minutes of June 18, 2015.
MOTION: By Board Member Escobedo and seconded by Board Member
Rickard to approve the Consent Calendar.
Motion passed 4:0 by a roll-call vote.
B. BUSINESS ITEMS: None.
C. MANAGEMENT REPORTS
1. Approval of Recognized Obligation Payment Schedule 15-16B – January 1,
2016 – June 30, 2016
Fiscal Impact: None for this action.
Recommendation: Oversight Board adopt Draft Resolution A approving
Recognized Obligation Payment Schedule (ROPS) for the period of
January 1, 2016 through June 30, 2016 (ROPS 15-16B), including the
Administrative Budget, pursuant to Health and Safety Code.
[Administrative Services]
Administrative Services Director Jeri Rangel gave the staff report and answered
questions from the Board.
ITEM NUMBER: A-1
DATE: 01/28/16
Atascadero Oversight Board
September 24, 2015
Page 3 of 3
PUBLIC COMMENT: The following citizens spoke during Public Comment:
Charles Bourbeau asked a question which was answered by Staff Member Rangel.
Board Member Arnold closed the PUBLIC COMMENT period.
MOTION: By Board Member Clemons and seconded by Board Member
Arnold to adopt Draft Resolution A approving Recognized
Obligation Payment Schedule (ROPS) for the period of January
1, 2016 through June 30, 2016 (ROPS 15-16B), including the
Administrative Budget, pursuant to Health and Safety Code.
Motion passed 4:0 by a roll-call vote.
D. BOARD MEMBER COMMENTS: None.
E. STAFF COMMENTS:
Director Rangel stated that a request for authorization of overspending of the previously
approved 14-15 ROPS will come before the Board at the next meeting.
F. ADJOURNMENT:
Board Member Arnold adjourned the meeting at 3:42 p.m.
MINUTES PREPARED BY:
______________________________________
Lisa Cava
Deputy City Clerk
ITEM NUMBER: C-1
DATE: 01/28/16
Oversight Board for Successor Agency
to the Community Redevelopment Agency
of Atascadero
Staff Report – Administrative Services
Approval of
Recognized Obligation Payment Schedule 16-17
July 1, 2016 through June 30, 2017
RECOMMENDATION:
Oversight Board adopt Draft Resolution A approving Recognized Obligation Payment
Schedule (ROPS) for the period of July 1, 2016 through June 30, 2017 (ROPS 16-17),
including the Administrative Budget, pursuant to Health and Safety Code.
DISCUSSION:
On December 29, 2011, the California Supreme Court delivered its decision in the
California Redevelopment Association v. Matosantos case. The decision upheld AB1x
26, the Dissolution Act, and found AB1x 27, the Alternative Redevelopment Program
Act, unconstitutional. AB1x 26 dissolved the Redevelopment Agency as of February 1,
2012, the new dissolution date established by the Supreme Court. On January 10,
2012 the City of Atascadero elected to become the Successor Agency to the
Community Redevelopment Agency of Atascadero. AB 1484 was signed by the
Governor on June 27, 2012 and further changed the process for dissolving
redevelopment agencies.
Pursuant to Health and Safety Code (HSC) section 34177(o)(1), commencing with the
ROPS covering the period July 1, 2016 to June 30, 2017 and thereafter, agencies shall
submit an oversight board approved annual ROPS to the Department of Finance (DOF)
and the County Auditor-Controller by February 1, 2016 and each February 1 thereafter.
The Successor Agency must report all expected obliga tions for the one year period
starting the following July. The attached ROPS covers the period of July 1, 2016
through June 30, 2017, and is referred to as ROPS 16-17.
HSC section 34171 provides an administrative cost allowance for the successor
agencies to carry out wind-down activities of the former redevelopment agencies and to
administer the Oversight Board. The annual amount shall be not less than $250,000,
unless certain conditions apply.
ITEM NUMBER: C-1
DATE: 01/28/16
HSC 34171 (in part) states:
“(b) (3) Commencing July 1, 2016, and for each fiscal year thereafter, the
administrative cost allowance shall be up to 3 percent of the actual property tax
distributed to the successor agency by the county auditor-controller in the
preceding fiscal year for payment of approved enforceable obligations, reduced
by the successor agency's administrative cost allowance and loan repayments
made to the city, county, or city and county that created the redevelopment
agency that it succeeded pursuant to subdivision (b) of Section 34191.4 during
the preceding fiscal year. However, the administrative cost allowance shall not be
less than two hundred fifty thousand dollars ($250,000) in any fiscal year, unless
this amount is reduced by the oversight board or by agreement between the
successor agency and the department.”
An administrative allowance of $250,000 is proposed for the period July 1, 2016 through
June 30, 2017. The Successor Agency will use the administrative costs, such as staff
time, to carry out the Successor Agency and Oversight Board activities, printing and
publication expenses, liability insurance, technology and website support, special legal
costs, training, audit services and general overhead.
The Draft ROPS 16-17 estimates that $ 2,181,145 in Redevelopment Property Tax
Trust Fund (RPTTF) funding will be needed for the July 1, 2016 through June 30, 2017
period.
Once the Oversight Board reviews and approves the Draft ROPS, it will then be
submitted to the DOF for review and approval. The DOF will have until April 15th to
review the ROPS and to object to items that do not meet the definition of an
Enforceable Obligation.
FISCAL IMPACT:
None for this action. The purpose of approving the Draft Recognized Obligation
Schedules is to ensure that the City acting as Successor Agency will be able to make
certain payments for obligations of the former RDA.
ATTACHMENTS:
1. Draft Resolution A approving Recognized Obligation Payment Schedule (ROPS) for
the period of July 1, 2016 through June 30, 2017, with the Draft Recognized
Obligation Payment Schedule (ROPS 16-17) for the period of July 1, 2016 through
June 30, 2017, attached as Exhibit A
2. Successor Agency Proposed Administrative Allowance Budget - July 1, 2016 through
June 30, 2017
ITEM NUMBER: C-1
DATE: 01/28/16
ATTACHMENT: 1
DRAFT RESOLUTION A
RESOLUTION OF THE OVERSIGHT BOARD FOR SUCCESSOR
AGENCY TO THE COMMUNITY REDEVELOPMENT AGENCY
OF ATASCADERO, APPROVING THE RECOGNIZED
OBLIGATION PAYMENT SCHEDULE FOR JULY 1, 2016
THROUGH JUNE 30, 2017 (ROPS 16-17) PURSUANT TO SECTION
34177 OF THE CALIFORNIA HEALTH AND SAFETY CODE
WHEREAS, pursuant to Section 34177(l), (m), and (o) of the California Health and Safety
Code, the City Council of the City of Atascadero, as Successor Agency to the Community
Redevelopment Agency of Atascadero (“Successor Agency”), has prepared a proposed
Recognized Obligation Payment Schedule for the period of July 1, 2016 through June 30, 2017
(ROPS 16-17), for purposes of submission to the Oversight Board of the Successor Agency for
approval, the State Department of Finance (“DOF”), the San Luis Obispo County Administrative
Officer (“County Administrative Officer”), and the San Luis Obispo County Auditor -Controller
(“County Auditor”); and
WHEREAS, the Oversight Board of the Successor Agency to the Community
Redevelopment Agency of Atascadero has reviewed the proposed Recognized Obligation
Payment Schedule for the period of July 1, 2016 through June 30, 2017 (ROPS 16-17), for
purposes of submission the DOF, the County Administrative Officer, and the County Auditor;
and
WHEREAS, the Successor Agency to the Community Redevelopment Agency has
requested and approved an Administrative Allowance Budget as presented on the ROPS 16-17;
NOW, THEREFORE, BE IT RESOLVED by the Oversight Board of the Successor
Agency to the Community Redevelopment Agency of Atascadero as follows:
Section 1. The Oversight Board hereby approves the proposed Recognized Obligation
Payment Schedule for July 1, 2016 through June 30, 2017, attached hereto as Exhibit A (“ROPS
16-17”).
Section 2. The City Manager is hereby directed to submit the approved ROPS 16-17 to DOF,
the County Administrative Officer, and the County Auditor, and to take any other actions that
may be required in order to obtain DOF approval of the ROPS 16-17, including, without
limitation, making amendments to the ROPS 16-17 required by the DOF.
ITEM NUMBER: C-1
DATE: 01/28/16
ATTACHMENT: 1
PASSED AND ADOPTED by the Oversight Board of the Successor Agency to the
Community Redevelopment Agency of Atascadero on the 28th day of January 2016, by the
following vote:
AYES:
NOES:
ABSENT:
ADOPTED:
OVERSIGHT BOARD OF THE
SUCCESSOR AGENCY TO THE
COMMUNITY REDEVELOPMENT
AGENCY OF ATASCADERO
By: ________________________________
Roberta Fonzi, Chairperson
ATTEST:
___________________________________
Lori M. Kudzma, Board Secretary
Successor Agency:Atascadero
County:San Luis Obispo
Current Period Requested Funding for Enforceable Obligations (ROPS Detail) 16-17A Total 16-17B Total
ROPS 16-17
Total
A 853,715$ 441,615$ 1,295,330$
B 50,000 - 50,000
C 603,715 241,615 845,330
D 200,000 200,000 400,000
E 1,045,810$ 1,135,335$ 2,181,145$
F 920,810 1,010,335 1,931,145
G 125,000 125,000 250,000
H Current Period Enforceable Obligations (A+E):1,899,525$ 1,576,950$ 3,476,475$
Name Title
/s/
Signature Date
Administrative Costs
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.
Recognized Obligation Payment Schedule (ROPS 16-17) - Summary
Filed for the July 1, 2016 through June 30, 2017 Period
Enforceable Obligations Funded with Non-Redevelopment Property Tax Trust Fund (RPTTF) Funding
Sources (B+C+D):
Non-Administrative Costs
Enforceable Obligations Funded with RPTTF Funding (F+G):
Bond Proceeds Funding
Reserve Balance Funding
Other Funding
ITEM NUMBER: C-1
DATE: 01/28/16
ATTACHMENT: 1
EXHIBIT: A
A B C D E F G H I J K L M N O P Q R S T U V W
Bond Proceeds Reserve Balance Other Funds Non-Admin Admin Bond Proceeds Reserve Balance Other Funds Non-Admin Admin
$ 49,802,845 $ 3,476,475 $ 50,000 $ 603,715 $ 200,000 $ 920,810 $ 125,000 $ 1,899,525 $ - $ 241,615 $ 200,000 $ 1,010,335 $ 125,000 $ 1,576,950
1 2010 Reimbursement/ Bond Bonds Issued On or Before 9/1/2010 10/1/2040 City of Atascadero (then Debt Service on 2010 Bonds 29,500,715 N $ 972,315 600,345 $ 600,345 371,970 $ 371,970
2 2010 Reimbursement/ Bond
Financing agreement with City of
Atascadero
Bonds Issued On or Before
12/31/10
9/1/2010 10/1/2040 City of Atascadero (then
passed through to BNY)
Trustee services for the life of the 2010
Bonds
75,000 N $ 2,500 2,500 $ 2,500 - $ -
3 2004/2005 Redevelopment Bonds Bonds Issued On or Before
12/31/10
11/1/2004 9/1/2034 Bank of New York Mellon Debt Service on 2004/2005 Bonds 16,142,955 N $ 1,685,710 603,715 241,615 $ 845,330 241,615 598,765 $ 840,380
5 2004/2005 Redevelopment Bonds Bonds Issued On or Before
12/31/10
11/1/2004 9/1/2034 Bank of New York Mellon Trustee services for the life of the
2004/2005 Bonds
57,000 N $ 2,750 2,750 $ 2,750 $ -
6 City Loan #1 entered into in 1998 City/County Loans On or
Before 6/27/11
11/1/1998 1/1/2099 City of Atascadero Loan for Start-up costs 155,175 N
7 City Loan #2 entered into in 2001 City/County Loans On or
Before 6/27/11
6/28/2001 1/1/2099 City of Atascadero Revolving Loan 500,000 N
8 City Loan #3 entered into in 2002 Dissolution Audits 6/12/2002 1/1/2099 City of Atascadero Loan for purchase of building housing
an adult store
720,000 N
10 Administration Allowance Admin Costs 1/1/2014 6/30/2014 City of Atascadero Administrative expenses for successor
agency in accordance with AB1X26
through June 2016 including - office
expense, postage, legal notices,
computer costs, phone costs,
operations, professional development,
direct staff time, general overhead
1,700,000 N $ 250,000 125,000 $ 125,000 125,000 $ 125,000
11 Colony Square Conditions,
Covenants and Restrictions
Property Maintenance 6/10/2008 1/1/2099 Colony Square, LLC Contract for required participation in
maintenance of common areas for
Colony Square (estimated cost is listed
for 3 years, however required as long
as RDA owns the lot)
150,000 N $ 30,000 15,000 $ 15,000 15,000 $ 15,000
12 Maintenance of Creekside Building Property Maintenance 2/23/2010 1/1/2099 Various vendors Maintenance of Creekside Building 326,000 N $ 57,200 32,600 $ 32,600 24,600 $ 24,600
123 Sale of Creekside Building Property Dispositions 1/1/2014 1/1/2099 Unknown Costs associated with marketing and
sale of Creekside Building in
accordance with PMP
400,000 N $ 400,000 200,000 $ 200,000 200,000 $ 200,000
124 Historic City Hall Earthquake
Repair/Rehab Project
Improvement/Infrastructure 1/1/2014 1/1/2099 FEMA FEMA grant adjustments N
125 Historic City Hall Earthquake
Repair/Rehab Project
Improvement/Infrastructure 1/1/2014 1/1/2099 CalOES Cal OES grant adjustments N
126 Demolition of RDA portable building Property Dispositions 1/1/2099 1/1/2099 Unknown Demolition of RDA portable building 20,000 N 20,000 20,000 20,000
127 Lease for former Chamber building Property Maintenance 5/1/2009 1/1/2099 City of Atascadero Lease of Land that RDA portable sits
on
1,000 N 1,000 1,000 1,000
128 Historic City Hall Earthquake
Repair/Rehab Project
Bonds Issued On or Before
12/31/10
1/1/2099 1/1/2099 Unknown Historic City Hall Earthquake
Repair/Rehab Project: Exterior Lighting
Package
- N $ - $ - $ -
129 Master Agreement with City Bonds Issued On or Before
12/31/10
1/1/2099 1/1/2099 City of Atascadero Remaining Bond Funds including
activity related to Historic City Hall
Earthquake Repair/Rehab
50,000 N $ 50,000 50,000 $ 50,000 $ -
130 Maintenance of former Chamber
Building
Property Maintenance 5/1/2009 1/1/2099 Various vendors Securing/repairing building from
vagrants and grafitti
N
131 Historic City Hall Earthquake
Repair/Rehab Project
Bonds Issued On or Before
12/31/10
12/22/2003 6/30/2014 Various vendors Historic City Hall Earthquake
Repair/Rehab Project: FEMA
determination of eligible costs
reclassification from "Other" invoices to
"Bond Proceeds"
- N $ - $ - $ -
132 2010 Reimbursement/ Bond
Financing agreement with City of
Atascadero1
Bonds Issued On or Before
12/31/10
11/1/2015 6/30/2017 Wildan Financial Arbitrage calculation required by bond
covenants
5,000 N $ 5,000 5,000 $ 5,000 $ -
Atascadero Recognized Obligation Payment Schedule (ROPS 16-17) - ROPS Detail
July 1, 2016 through June 30, 2017
(Report Amounts in Whole Dollars)
Item #Payee Description/Project Scope Project Area
Total Outstanding
Debt or Obligation Retired
16-17A
16-17B
Total Project Name/Debt Obligation Obligation Type
Contract/Agreement
Execution Date
RPTTF
Non-Redevelopment Property Tax Trust Fund
(Non-RPTTF)
Contract/Agreement
Termination Date
ROPS 16-17
Total
16-17B
Non-Redevelopment Property Tax Trust Fund
(Non-RPTTF) RPTTF
16-17A
Total
ITEM NUMBER: C-1
DATE: 01/28/16
ATTACHMENT: 1
EXHIBIT: A
A B C D E F G H I
Other RPTTF
Bonds issued on
or before
12/31/10
Bonds issued on
or after 01/01/11
Prior ROPS
period balances
and DDR RPTTF
balances
retained
Prior ROPS
RPTTF
distributed as
reserve for future
period(s)
Rent,
grants,
interest, etc.
Non-Admin
and
Admin
ROPS 15-16A Actuals (07/01/15 - 12/31/15)
1 Beginning Available Cash Balance (Actual 07/01/15)
2,154,539 846,643 (744,178) 44,031
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 5,950 249,069 2,976 965,805
Column F includes transfer from RPTTF to
reserve to 2004 Bond reserve fund in accordance
with Bond Covenants
3 Expenditures for ROPS 15-16A Enforceable Obligations (Actual
12/31/15)
15,364 595,511 15,948 967,123
Column F includes debt service payment on 2004
Bonds from proceeds transferred to this fund in
accordance with bond covenants as part of 14-
15B ROPS
4 Retention of Available Cash Balance (Actual 12/31/15)
RPTTF amount retained should only include the amounts distributed as
reserve for future period(s)876,434
5 ROPS 15-16A RPTTF Balances Remaining
No entry required
9,839
6 Ending Actual Available Cash Balance
C to G = (1 + 2 - 3 - 4), H = (1 + 2 - 3 - 4 - 5) 1,268,691$ -$ -$ 500,201$ (757,150)$ 32,874$
ROPS 15-16B Estimate (01/01/16 - 06/30/16)
7 Beginning Available Cash Balance (Actual 01/01/16)
(C, D, E, G = 4 + 6, F = H4 + F4 + F6, and H = 5 + 6)2,145,125$ -$ -$ 500,201$ (757,150)$ 42,713$
8 Revenue/Income (Estimate 06/30/16)
RPTTF amounts should tie to the ROPS 15-16B distribution from the
County Auditor-Controller during January 2016 596,612 1,044,799
Column F includes transfer from RPTTF to
reserve to 2004 Bond reserve fund in accordance
with Bond Covenants
9 Expenditures for ROPS 15-16B Enforceable Obligations (Estimate
06/30/16)1,268,691 248,711 (949,410) 1,079,462
Column F includes debt service payment on 2004
Bonds from proceeds transferred to this fund in
accordance with bond covenants as part of 14-
10 Retention of Available Cash Balance (Estimate 06/30/16)
RPTTF amount retained should only include the amounts distributed as
reserve for future period(s)876,434
11 Ending Estimated Available Cash Balance (7 + 8 - 9 -10)
-$ -$ -$ 848,102$ 192,260$ 8,050$ Column F balance is to meet bond covenants on 2004 bonds
Atascadero Recognized Obligation Payment Schedule (ROPS 16-17) - Report of Cash Balances
(Report Amounts in Whole Dollars)
Pursuant to Health and Safety Code section 34177 (l), 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
Fund Sources
Comments
Bond Proceeds Reserve Balance
Cash Balance Information by ROPS Period
ITEM NUMBER: C-1
DATE: 01/28/16
ATTACHMENT: 1
EXHIBIT: A
Item #Notes/Comments
ROPS 11
The Successor Agency is supposed to be billed annually for the CC&Rs/common maintenance areas related to Colony Square and the
Creekside building. These billings have historically been inconsistent and SA staff does not have a good idea of when these expenditures
will be billed and paid by the SA. The expense is currently listed in both halves of the year.
ROPS 123
The Successor Agency will incur sales costs when the Creekside building is sold, however, it is unknown at this time when the building will
be sold. The Successor Agency has hired RSG to hire a broker and prepare marketing materials for the property. Other future costs
include broker commission and some closing costs. Staff is unsure when these cost will be incurred as they may depend on the sales
date, so the expense is listed in both halves of the year.
The Successor Agency owns a portable that sits on City land. The portable building is old, vacant and past its useful life.
The recommendation for this asset in the Long Range Property Management Plan was to demolish the building.
DOF denied the estimated $15,000 line item for demolition of this building that was included on the last ROPS because a contract
was not executed prior to the ROPS. DOF further said that this portable building should be transferred to the City of Atascadero.
This City has not and will not accepted the responsibility for the building. It remains an asset of the Successor Agency.
Because of the small dollar amount and the current building economy, the Successor Agency continues to have difficulty securing
contractors willing to enter into a contract to demolish the building 5 months in the future. The SA will obtain both hazardous materials
assessment estimates and demolition estimates.
ROPS 132
In accordance with the 2010 bond covenants and IRS rules, an arbitrage calculation is required to be performed on the 2010 bond issue.
This obligation was missed as part of previous ROPS. The SA has hired Wildan to perform the calculation as soon as possible.
CASH
BALANCE
LINE 9,
COLUMN
G
As reported on all previous ROPS- the Historic City Hall Earthquake Repair/Rehabilitation Project was funded in part by bonds and in part
by reimbursement grants. While it is unknown at this time which portion of each invoice is paid for by bond proceeds or by
FEMA/CalEMA, the Successor Agency has been reporting all invoices or portions thereof that MIGHT be eligible for FEMA/CalEMA
reimbursement in the ""Other"" column. These amounts are subject to change. If the expenditure is not approved by FEMA/CalEMA it is
to be funded with the 2010 bond proceeds per the bond issuance documents.
While FEMA/CalEMA has reimbursed a significant portion of the invoices, FEMA has not completely closed out the project. It is hoped
that there will be a small amount of FEMA/CalOES funding to still be reimbursed. That being said, because FEMA does not review
invoices when incurred or paid, but instead years after the fact, it is expected that some portion of invoices listed on the ROPS under
""Other"" should in fact have been reported under ""Bond Proceeds"", causing a negative cash balance in the ""Other"" column and a
false positive balance in the ""Bond Proceeds"" column. (The SA reported to the best of their knowledge at the time, but could not in fact
know the exact amounts until after FEMA closeout.)
As part of the ROPS 15-16B, it is expected that a correction will be entered based on the FEMA closeout. It will be reflected as an
expenditure of ""Bond Proceeds"" and an equal removal of expenditures under ""Other"", correcting previous classification of invoices
based on final FEMA grant determination. The current estimate is entered as a negative expenditure in the "Other" column in the Cash
Balance tab. Final numbers will not be know until FEMA and CalOES close out the Project.
Atascadero Recognized Obligation Payment Schedule (ROPS 16-17) - Notes July 1, 2016 through June 30, 2017
ROPS 126
ITEM NUMBER: C-1
DATE: 01/28/16
ATTACHMENT: 1
EXHIBIT: A
PROGRAM BUDGETS
Successor Agency Administrative Allowance
FUND CODE
880 620.0000
EXPENSE
July 2016 -
June 2017
CLASSIFICATION DESCRIPTION BASIS AMOUNT
Office Expense Postage, printing, copying, business cards, and office
supplies
Estimated 500$
Advertising Public hearing notices for successor agency and
oversight board items
Estimated 500
Insurance- Successor
Agency activities
Allocated portion of liability insurance costs. Covers
successor agency activities, but does not include
coverage of the Oversight Board
Allocated 11,340
Operating Supplies Items needed for general successor agency and
oversight board activities
Estimated 160
Vehicle & Equipment
Operating Costs
Mileage reimbursement Estimated 200
Attorney services Attorney services for successor agency activities Estimated 30,000
Professional
Development
Successor agency and oversight board training, books,
memberships and publications
Estimated 2,000
Administrative Charges Allocation of support services including accounts
payable, receipts, general accounting, investment,
personnel, managerial and legislative services, space
rental and other general overhead items
Allocated 43,040
Staff Time:
administrative agency
and board support
Agendas, minutes, record retention, correspondence
and coordination of meetings
Allocated 16,940
Staff Time: general
management support for
successor agency and
board
Overall successor agency and oversight board
management, attendance at meetings, general staff
reports and research
Allocated 51,040
Staff Time: Project
closeout /asset
management & disposal
support
Project closeout, oversight of sales and marketing of
creekside building, creekside building management
Allocated 31,900
Staff Time: financial
management support
Preparation and documentation of ROPS, administrative
budgets, & financial reports. Support and response to
State Controller's office, Department of Finance, and
county auditor controller's reports. Financial review of
tax distributions. General financial management and
reports.
Allocated 63,720
Staff Time: low/moderate
income housing
administration
Annual compliance monitoring in accordance with
low/moderate income housing loan documents and
other general housing loan program support
Allocated 9,120
ITEM NUMBER: C-1
DATE: 01/28/16
ATTACHMENT: 2
PROGRAM BUDGETS
Successor Agency Administrative Allowance
FUND CODE
880 620.0000
EXPENSE
July 2016 -
June 2017
CLASSIFICATION DESCRIPTION BASIS AMOUNT
Overage Budget that exceeds legislative amount of $250,000.
These excess costs will be borne by the successor
agency.
Plugged (10,460)
ITEM NUMBER: C-1
DATE: 01/28/16
ATTACHMENT: 2
ITEM NUMBER: C-2
DATE: 01/28/16
Oversight Board for Successor Agency
to the Community Redevelopment Agency
of Atascadero
Staff Report – Administrative Services
Approval of Bond Proceeds for Historic City Hall Project
Exceeding Department of Finance Authorized Amount
RECOMMENDATION:
Oversight Board adopt Draft Resolution Approving Payment of $38,059 in Bond Funds
as listed on the Recognized Obligation Payment Schedule 15-16A, Report of Prior
Period Adjustments, Line Item Number 128, in Excess of Department of Finance
Authorized amount.
DISCUSSION:
On February 26, 2015, the Oversight Board of the Successor Agency to the Community
Redevelopment Agency of Atascadero approved the Recognized Obligation Payment
Schedule for July 1, 2015 to December 31, 2015 (ROPS 15-16A), including a Report of
Prior Period Adjustments for ROPS 14-15A. ROPS 15-16A was then submitted to the
State Department of Finance (DOF) for review and approval. The City of Atascadero
received DOF approval of ROPS 15-16A in a letter dated April 12, 2015. In the
approval letter, the DOF noted that on the ROPS 14-15A Report of Prior Period
Adjustment, line item 128 actual expenditures exceeded the DOF’s prior authorization :
“Finance noted on the ROPS 14-15A Prior Period Adjustment (PPA) worksheet,
the Agency’s expenditures exceeded Finance’s authorization for the Bond
Proceeds – Item No. 128, totaling $38,059.”
In the prior period adjustment worksheet, line item num ber 128 was for expenditures for
Historic City Hall Earthquake Repair/Rehabilitation Project, specifically for the Exterior
Lighting Package and for Republic Elevator. The DOF had authorized expenditures of
$150,000 for line item number 128 on ROPS 14-15A and actual expenditures totaled
$188,059 in ROPS 15-16A, exceeding the authorized amount by $38,059. California
Health and Safety Code Sections 34177 (a) and 34179 (h) provide mechanisms for
Oversight Board approvals of Agency payments that exceed DOF authorized amounts.
ITEM NUMBER: C-2
DATE: 01/28/16
The Successor Agency received its Finding of Completion under Section 34179.7 from
the California Department of Finance by letter dated March 8, 2013. Section 34191.4(c)
allows a successor agency that has received a finding of completion to use bond
proceeds from bonds issued prior to 2011 for any purposes for which the bonds were
sold.
The funding source for the project payment of $38,059 that exceeded DOF prior
authorization was from bond proceeds issued prior to 2011. These bonds were issued
primarily for the completion of the Historic City Hall Project.
In the abundance of transparency, staff has tried to list the estimated expenses for the
Historic City Hall project on the ROPS for each period, including all transactions funding
with bonds and other grants. However, capital projects in general do not always lend
themselves to predictable expenditure schedules. Such was the case with this
expense.
Approval of this expense does not impact the Redevelopment Property Tax Trust Fund
amounts available to Atascadero or the other affected taxing entities.
FISCAL IMPACT:
None for this action.
ATTACHMENT:
1. Draft Resolution Approving the Payment of $38,059 in Bond Funds as Listed on the
Recognized Obligation Payment Schedule 15 -16A, Report of Prior Period
Adjustments, Line Item Number 128, in Excess of Department of Finance Authorized
Amount.
ITEM NUMBER: C-2
DATE: 01/28/16
ATTACHMENT: 1
DRAFT RESOLUTION
RESOLUTION OF THE OVERSIGHT BOARD FOR SUCCESSOR
AGENCY TO THE COMMUNITY REDEVELOPMENT AGENCY
OF ATASCADERO, APPROVING PAYMENT OF $38,059 IN BOND
FUNDS AS LISTED ON THE RECOGNIZED OBLIGATION
PAYMENT SCHEDULE 15-16A, REPORT OF PRIOR PERIOD
ADJUSTMENTS, LINE ITEM NUMBER 128, IN EXCESS OF
DEPARTMENT OF FINANCE AUTHORIZED AMOUNT
WHEREAS, on December 29, 2011, the California Supreme Court upheld Assembly
Bill x1 26 (“ABx1 26”) that dissolved all redevelopment agencies in the State as of February 1,
2012; and,
WHEREAS, on January 10, 2012, the City of Atascadero elected to become the
Successor Agency (“Successor Agency”) to the Community Redevelopment Agency of
Atascadero, and,
WHEREAS, the Successor Agency is a public body corporate and politic, organized and
operating under Parts 1.8 and 1.85 of Division 24 of the California Health and Safety Code, and
the successor for the former Community Redevelopment Agency of the City of Atascadero
(former Agency) that was previously a community redevelopment agency organized and existing
pursuant to the Community Redevelopment Law, Health and Safety Code Section 33000, et seq.;
and,
WHEREAS, the Successor Agency received its Finding of Completion under Health and
Safety Code Section 34179.7 from the California Department of Finance by letter dated March 8,
2013; and,
WHEREAS, Health and Safety Code Section 34191.4(c) allows a successor agency th at
has received a finding of completion to use bond proceeds from bonds issued prior to 2011 for
any purposes for which the bonds were sold; and,
WHEREAS, pursuant to Section 34177(l), (m) and (o) of the California Health and
Safety Code, the Successor Agency must submit a Recognized Obligation Payment Schedule
(ROPS) pursuant to the applicable subdivision of Section 34177; and,
WHEREAS, the Successor Agency lists pre-2011 lease revenue bond proceeds
separately on a successor agency’s ROPS as required by Section 34191.4(c)(2)(A) as a funding
sources for bond-eligible uses; and,
WHEREAS, the Successor Agency used such proceeds for redevelopment purposes
consistent with bond covenants; and,
ITEM NUMBER: C-2
DATE: 01/28/16
ATTACHMENT: 1
WHEREAS, on February 26, 2015, the Oversight Board of the Successor Agency to the
Community Redevelopment Agency of Atascadero (Oversight Board) approved the Recognized
Obligation Payment Schedule (ROPS 15-16A) for the period of July 1, 2015 through December
31, 2015, including a reconciliation of ROPS 14-15A prior period adjustments; and,
WHEREAS, subsequently, ROPS 15-16A was submitted to the State Department of Finance
(DOF) for review and approval; and,
WHEREAS, the City of Atascadero received DOF approval for ROPS 15-16A in a letter
dated April 12, 2015; and,
WHEREAS, in the approval letter dated April 12, 2015, the DOF noted that the ROPS 15-
16A Report of Prior Period Adjustment worksheet had one line item, line item 128, of bond
proceeds where the actual expenditures exceeded the DOF’s prior authorization; and,
WHEREAS, line item 128 on the Report of Prior Period Adjustment in ROPS 15-16A was
for expenditures for Historic City Hall Earthquake Repair/Rehab Project Exterior Lighting
Package and Republic Elevator. The DOF authorized expenditures totaling $150,000 and
expenditures actually totaled $188,059, exceeding the authorized amount by $38,059; and,
WHEREAS, the Historic City Hall Earthquake Repair/Rehab Project was a multi-year
capital project for which relevant expenses are estimated to the best of staff’s ability, but for
which timing differences often occur; and,
WHEREAS, the Notes to the ROPS 15-16A included an explanation of the Report of Prior
Period Adjustment line item 128 expenditure, indicating the difficult nature of projecting the
exact costs of large capital projects well in advance of the actual activity; and,
WHEREAS, Sections 34177 (a) and 34179 (h) provide mechanisms for Oversight Board
approvals of Agency payments that exceed DOF authorized amounts; and,
WHEREAS, the appropriate expenditure of bond proceeds will help fulfill the intent of the
dissolution laws to expeditiously wind-down the affairs of the former Redevelopment Agency.
NOW, THEREFORE, BE IT RESOLVED by the Oversight Board of the Successor
Agency to the Community Redevelopment Agency of Atascadero as follows:
Section 1. The Oversight Board hereby finds and determines that the use of bond proceeds
for expenditures consistent with the applicable bond covenants will benefit the affected taxing
entities by promoting the efficient use of such funds and thereby will result in community
benefits and increased tax revenues to the taxing entities, based on the reasons and analysis set
forth above and in the staff report accompanying this Resolution. The Oversight Board hereby
further finds and determines the expenditure of bond proceeds will help fulfill the intent of the
dissolution laws to expeditiously wind-down the affairs of the former Redevelopment Agency.
ITEM NUMBER: C-2
DATE: 01/28/16
ATTACHMENT: 1
Section 2. The Oversight Board hereby approves the full expenditure amount of $188,059 of
bond proceeds for the Historic City Hall Repair/Rehabilitation Project, as listed on line item 128
of the Report of Prior Period Adjustments, of ROPS 15-16A, which exceeded the DOF prior
authorized amount by $38,059.
PASSED AND ADOPTED by the Oversight Board of the Successor Agency to the
Community Redevelopment Agency of Atascadero on the 28th day of January 2016, by the
following vote:
AYES:
NOES:
ABSENT:
ADOPTED:
OVERSIGHT BOARD OF THE
SUCCESSOR AGENCY TO THE
COMMUNITY REDEVELOPMENT
AGENCY OF ATASCADERO
By: ________________________________
Roberta Fonzi, Chairperson
ATTEST:
___________________________________
Lori M. Kudzma, Board Secretary