HomeMy WebLinkAbout0007_2_SA Reso 2016-0___ Re Findings With Respect to Loans 062816RESOLUTION NO. SA 2016-0
A RESOLUTION OF THE SUCCESSOR AGENCY OF THE
REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE
SETTING FORTH CERTAIN FINDINGS WITH RESPECT TO A LOAN
FROM THE LOW AND MODERATE INCOME HOUSING FUND TO THE
PROJECT AREAS OF THE FORMER REDEVELOPMENT AGENCY IN
ACCORDANCE WITH HEALTH &SAFETY CODE SECTION
34171(D)(1)(G) AND APPROVING A REPAYMENT SCHEDULE FOR THE
LOAN IN ACCORDANCE WITH HEALTH & SAFETY CODE SECTION
34176(e)(6)(B)
WHEREAS, the Successor Agency of the Redevelopment Agency of the City of Lake
Elsinore (the “Successor Agency”) has been established to wind down the affairs of the former
Redevelopment Agency of the City of Lake Elsinore (the “Agency”) in accordance with the
California Health & Safety Code Section 34179; and
WHEREAS, in 1995, the Agency issued bonds, deposited the proceeds of approximately
$18,897,437 into its Low and Moderate Income Housing Fund (LMIHF) and authorized a loan to
the Project Areas of the former Redevelopment Agency from the LMIHF (the “Interfund Loans”);
and
WHEREAS, the Successor Agency’s Interfund Loan obligation, less any payments made
to date and increased by any interest accrued to date, has been reported on the Successor
Agency’s Recognized Obligation Payment Schedules (ROPS); and
WHEREAS, the Successor Agency has read and considered the Agency’s Staff Reports
and related materials and applicable statutes; and
WHEREAS, the Successor Agency finds that the Interfund Loans constitute amounts
borrowed from, or payments owing to, the Low and Moderate Income Housing Fund of a
redevelopment agency, which had been deferred as of the date of dissolution of the Agency in
accordance with subdivision (d)(1)(G) of Health & Safety Code section 34171; and
WHEREAS, the Successor Agency desires to approve a repayment schedule for the
Interfund Loans in accordance with subdivision (d)(1)(G) of Health & Safety Code section 34171
and subdivision(e)(6)(B) of Health & Safety Code section 34176; and
WHEREAS, all other legal prerequisites to the adoption of this Resolution have
occurred.
NOW, THEREFORE, THE SUCCESSOR AGENCY OF THE REDEVELOPMENT
AGENCY OF THE CITY OF LAKE ELSINORE, DOES HEREBY RESOLVE, DETERMINE
AND ORDER AS FOLLOWS:
SECTION 1.The Recitals set forth above are true and correct and incorporated
herein by reference.
SECTION 2.The Successor Agency finds that the Interfund Loans to the Project
Areas from the Low and Moderate Income Housing Fund in the original principal amount of
approximately $18,897,437 plus any interest accrued to date and less any payments made to
date, constitute amounts borrowed from, or payments owing to, the Low and Moderate Income
RESOLUTION NO. SA 2016-0
Page 2
Housing Fund of a redevelopment agency, which had been deferred as of the date of
dissolution of the Agency in accordance with subdivision (d)(1)(G) of Health & Safety Code
section 34171 and therefore constitute an enforceable obligation of the Successor Agency in
accordance with Health & Safety Code Section 34171(D)(1)(G).
SECTION 3.The Successor Agency finds that the Interfund Loans to the Project
Areas from the Low and Moderate Income Housing Fund were made for legitimate
Redevelopment purposes.
SECTION 4.In accordance with Health & Safety Code Section 34171(D)(1)(G), the
Successor Agency approves a repayment schedule for the Interfund Loans in an annual amount
equal to the lesser of (i) the maximum repayment calculated in accordance with Section 2.05(c)
of that certain Housing Fund Loan Agreement dated as of December 1, 1995, by and between
the Lake Elsinore Public Financing Authority and the Agency; (ii) the maximum amount allowed
for repayment calculated in accordance with Health & Safety Code Section 34176(e)(6)(B), or
(iii) available real property tax trust funds (RPTTF) remaining for any given annual recognized
obligation payment schedule (ROPS) after payment of all other enforceable obligations.
SECTION 5.Repayments made on the Interfund Loans shall be transferred to the
Low and Moderate Income Housing Asset Fund established pursuant to subdivision (d) of
Section 34176 as a housing asset and shall be used in a manner consistent with the affordable
housing requirements of the Community Redevelopment Law (Part 1 (commencing with Section
33000)).
SECTION 6.If any provision of this Resolution or the application thereof to any
person or circumstance is held invalid, such invalidity shall not affect other provisions or
applications of this Resolution which can be given effect without the invalid provision or
application, and to this end the provisions of this Resolution are severable. The Successor
Agency hereby declares that it would have adopted this Resolution irrespective of the invalidity
of any particular portion thereof.
SECTION 7.The Agency Secretary shall certify to the passage and adoption of this
Resolution and enter it into the book of original resolutions.
SECTION 8.This Resolution shall take effect immediately upon its adoption.
PASSED AND ADOPTED 28th day of June 2016.
Robert E. Magee, Vice Chair
ATTEST:
Susan M. Domen, MMC
Agency Secretary
APPROVED AS TO FORM:
Barbara Leibold
Agency Counsel
RESOLUTION NO. SA 2016-0
Page 3
STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss.
CITY OF LAKE ELSINORE )
I, Susan M. Domen, MMC, Secretary of the Successor Agency of the Redevelopment Agency of
the City of Lake Elsinore, California, do hereby certify that Resolution No. ______ was adopted
by Successor Agency of the Redevelopment Agency of the the City of Lake Elsinore, California,
at the regular meeting of _________, and that the same was adopted by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
Susan M. Domen, MMC
Agency Secretary