HomeMy WebLinkAboutCity Council Meeting of 2012-06-12 Agenda Item No.SA4 CITY OF '.
LAU OLSINORT
DREAM EATREM
REPORT TO CITY COUNCIL
OF THE CITY OF LAKE ELSINORE, AS SUCCESSOR AGENCY OF THE
REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE
TO: HONORABLE MAYOR
AND MEMBERS OF THE CITY COUNCIL
FROM: JAMES RILEY, DIRECTOR OF ADMINISTRATIVE SERVICES
DATE: JUNE 12, 2012
SUBJECT: SECOND AMENDED RECOGNIZED OBLIGATION PAYMENT
SCHEDULE FOR THE PERIOD OF JANUARY 2012 THROUGH
JUNE 2012 AND FIRST AMENDED RECOGNIZED OBLIGATION
PAYMENT SCHEDULE THE PERIOD OF JULY 2012 THROUGH
DECEMBER 2012
Recommendation
Approve the Second Amended Recognized Obligation Payment Schedule of the
Successor Agency of the Redevelopment Agency of the City of Lake Elsinore for the
period of January 2012 through June 2012.
Approve the First Amended Recognized Obligation Payment Schedule of the
Successor Agency of the Redevelopment Agency of the City of Lake Elsinore for the
period of July 2012 through December 2012.
Discussion
On April 10, 2012 the Oversight Board ( "OB ") approved the Recognized Obligation
Payment Schedule ( "ROPS ") adopted by the Successor Agency on February 28,
2012 for expenditures of the Successor Agency of the Redevelopment Agency of the
City of Lake Elsinore ( "Successor Agency ") from January 1, 2012 to June 30, 2012.
On that same day, the Successor Agency adopted and the OB approved a First
Amended ROPS dated April 10, 2012.
As required by Assembly Bill x1 26 ( "ABx1 26 "), the First Amended ROPS was
submitted to the State Department of Finance ( "DOF ") and the County Auditor
Controller ( "CAC ") by April 15, 2012. On April 19, 2012, the Director of
Administrative Services received an email from the Department of Finance (DOF)
indicating it was reviewing certain items listed on the Successor Agency's
AGENDA ITEM NO. SA4
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Approval of Second Amended ROPS
June 12, 2012
Page 2
Recognized Obligation Payment Schedule (ROPS), as approved by the OB on April
10, 2012.
On April 27, 2012, the Director of Administrative Services received a letter from the
Department of Finance indicating that DOF determined the administrative cost
budget for fiscal 2012 to exceed that permitted by statute and denying the excess
administrative costs as enforceable obligations on the First Amended ROPS for
January through June 2012.
On May 8, 2012, the Oversight Board approved the ROPS for July through
December 2012 with reduced amounts of project related legal fees on page 1 of the
ROPS and revised descriptions for other project costs. A response was submitted to
DOF on May 9, 2012 with the July through December ROPS in an effort to address
DOF's comments.
On May 17, 2012, after a telephone discussion with DOF, the Director of
Administrative Services submitted hand - written changes on the ROPS for January
through June 2012. The transmittal indicated that the changes had not been
approved by the Successor Agency or the OB. The change requested by DOF
clarifies that certain payments due to the Riverside County Flood Control are not to
be made from current or future receipts of Real Property Tax Trust Fund monies.
The Director of Administrative Services received a letter from DOF dated May 24,
2012 approving the ROPS for January through June 2012 submitted with hand-
written changes and the ROPS for July through December 2012. The changes
incorporated in the Second Amended ROPS for January through June 2012
incorporate those handwritten changes previously approved by DOF.
The First Amended ROPS for July though December 2012 does not include any
substantive changes, but does correct the mathematical errors in the column marked
"Total Due During Fiscal Year 2012 - 2013" to reflect the full fiscal year obligations.
Prepared By: Barbara Leibold, City Attorney
James Riley, Director Administrative Services
Approved By: Thomas P. Evans, Interim City Manager
Attachments:
1) Second Amended Recognized Obligation Payment Schedule of the Successor
Agency of the Redevelopment Agency of the City of Lake Elsinore for the
period of January 2012 through June 2012
2) First Amended Recognized Obligation Payment Schedule of the Successor
Agency of the Redevelopment Agency of the City of Lake Elsinore for the
period of July 2012 through December 2012
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