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HomeMy WebLinkAboutCity Council Meeting 1/24/2014 - RDA Agenda Item 5 - Amendment to Enforceable Obligations Pay Sch CITY OF Li41(E oLSI11.01U, DREAM EXTREME. REPORT TO REDEVELOPMENT AGENCY TO: HONORABLE CHAIRMAN AND MEMBERS OF THE REDEVELOPMENT AGENCY FROM: ROBERT A. BRADY EXECUTIVE DIRECTOR DATE: JANUARY 24, 2012 SUBJECT: AMENDMENT TO ENFORCEABLE OBLIGATIONS PAYMENT SCHEDULE Background On June 29, 2011, the State of California enacted Assembly Bill x1 26 and Assembly Bill x1 27 which bills eliminated redevelopment but also allowed agencies to remain in existence so long as certain voluntary payments were made to the State. However, on December 29, 2011, the California Supreme Court delivered its decision in the California Redevelopment Association v. Matosantos case, finding ABx1 26 largely constitutional and ABx1 27 unconstitutional. As a result, the Redevelopment Agency will be dissolved effective February 1, 2012. As part of the ABx1 26 and pursuant to an earlier Supreme Court order, agencies were required to adopt an "Enforceable Obligations Payment Schedule" or "EOPS" not later than August 28, 2011. In compliance with these directives, on August 23, 2011, the Redevelopment Agency adopted an EOPS which has been submitted to the State. After reconciling additional financial data, on December 13, 2011, the Agency approved an amended EOPS which was then forwarded to the State. Discussion The EOPS list includes bonded indebtedness, loans and money borrowed by the Redevelopment Agency and enforceable contracts, including loan agreements, pass through agreements and disposition and development agreements, and other enforceable obligations such as statutory pass through payments. In the course of completing the Agency's year -end financial statement and implementing the dissolution provisions of the legislation, the Agency Finance Team has identified further revisions that should be made to the EOPS. AGENDA ITEM NO. 5 Page 1 of 4 Adoption Of Revised Enforceable Obligations Payment Schedule January 24, 2012 Page 2 A revised EOPS is attached for the Agency Board's consideration. In the event that any additional revisions are identified prior to the Agency Board's consideration of this item on January 24, 2012, Agency staff will submit such further revised EOPS to the Agency Board and make it available to the public. Fiscal Impact None. Adoption of the revised EOPS will assure that the Agency's financial obligations have been properly submitted to the State as required by ABx1 26. Recommendation That the Agency Board adopt the attached revised Enforceable Obligations Payment Schedule and direct Agency staff to forward the schedule in accordance with ABx1 26. Prepared by: Barbara Leibold, Agency Counsel Approved by: Robert A. Brady, Executive Director' 0/ Attachments: 1. 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