HomeMy WebLinkAboutSA Reso 2018-002 Stadium Interim Management Agreement Fifth AmendmentRESOLUTION NO. 2018-002
A RESOLUTION OF THE SUCCESSOR AGENCY OF THE REDEVELOPMENT
AGENCY OF THE CITY OF LAKE ELSINORE, CALIFORNIA, APPROVING
THE FIFTH AMENDMENT TO THE STADIUM INTERIM MANAGEMENT
AGREEMENT BETWEEN THE SUCCESSOR AGENCY OF THE
REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE AND THE
LAKE ELSINORE STORM LP
Whereas, the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore
(Successor Agency) has been established to wind down the affairs of the former
Redevelopment Agency of the City of Lake Elsinore in accordance with the California Health
and Safety Code; and,
Whereas, in 2012, the Successor Agency and the Oversight Board approved the Stadium
Interim Management Agreement dated January 1, 2013 by and between the Successor Agency
of the Redevelopment Agency of the City of Lake Elsinore and the Lake Elsinore Storm LP
(Interim Agreement) and following such approval by the Oversight Board and the Successor
Agency, the Interim Agreement was submitted to and reviewed by the State Department of
Finance; and,
Whereas, in 2013, the Successor Agency and the Oversight Board approved the First
Amendment to Stadium Interim Management Agreement dated January 1, 2014 by and
between the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore and
the Lake Elsinore Storm LP (First Amendment) and following such approval by the Oversight
Board and the Successor Agency, the Interim Agreement was submitted to and reviewed by the
State Department of Finance; and,
Whereas, in 2014, the Successor Agency and the Oversight Board approved the Second
Amendment to Stadium Interim Management Agreement dated January 1, 2015 by and
between the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore and
the Lake Elsinore Storm LP (Second Amendment) and following such approval by the Oversight
Board and the Successor Agency, the Interim Agreement was submitted to and reviewed by the
State Department of Finance; and,
Whereas, in 2015, the Successor Agency and the Oversight Board approved the Third
Amendment to Stadium Interim Management Agreement dated January 1, 2016 by and
between the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore and
the Lake Elsinore Storm LP (Third Amendment) and following such approval by the Oversight
Board and the Successor Agency, the Interim Agreement was submitted to and reviewed by the
State Department of Finance; and,
Whereas, in 2016, the Successor Agency and the Oversight Board approved the Fourth
Amendment to Stadium Interim Management Agreement dated January 1, 2017 by and
between the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore and
the Lake Elsinore Storm LP (Fourth Amendment) and following such approval by the Oversight
Board and the Successor Agency, the Interim Agreement was submitted to and reviewed by the
State Department of Finance; and,
Resolution No. 2018-002
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Whereas, the Interim Agreement and the First, Second, Third and Fourth Amendments have
been successfully implemented to provide for efficient and cost effective management,
maintenance and operation of the Diamond Stadium but, absent a Fourth Amendment, the
Interim Agreement will expire on June 30, 2018; and,
Whereas, consistent with the legislative authorization contained in AB 1484 allowing successor
agencies to enter into enforceable obligations for the purpose of maintaining the assets of the
former redevelopment agency, the Successor Agency of the Redevelopment Agency of the City
of Lake Elsinore seeks to provide for the continued, efficient and cost effective management,
maintenance and operation of the Stadium and to retain the Storm to carry out such continuing
obligations on an interim basis for in accordance with the proposed Fifth Amendment to the
Interim Agreement; and,
Whereas, pursuant to Health and Safety Code Section 34177(0)(1) a "Recognized Obligation
Payment Schedule" that lists all obligations of the former redevelopment agency that are
enforceable within the meaning of. subdivision (d) of Section 34167 for the period commencing
July 1, 2018 — June 30, 2019 (ROPS 18-19) which lists, among other things, as enforceable
obligations of the Successor Agency, the following obligations related to the Lake Elsinore
Diamond Stadium (Stadium): (i) License Agreement; (ii) Maintenance Agreement; (iii)
Concession Agreement; (iv) Stadium operations and maintenance obligations, and (v) the
Interim Agreement (as amended by the proposed Fifth Amendment) has been prepared for
approval by the Successor Agency and the Oversight Board and subsequent ROPS will be
similarly prepared throughout the term of the Stadium Operations Contracts and the proposed
Fifth Amendment. ,
NOW, THEREFORE, THE SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF
THE CITY OF LAKE ELSINORE, CALIFORNIA, DOES HEREBY RESOLVE AS FOLLOWS:
Section 1. The Recitals set forth above are true and correct and incorporated herein by
reference.
Section 2. Based on the information presented in the staff report and testimony received, the
Successor Agency finds (i) that the proposed Fifth Amendment to the Interim Agreement is
reasonable and necessary to satisfy the Successor Agency's enforceable obligations and to
protect and maintain the assets of the former Redevelopment Agency, (ii) that Real Property
Tax Trust Fund (RPTTF) revenues set forth in the Amended ROPS 18-19 include funds
necessary to meet the Successor Agency's enforceable obligations with respect to the Stadium,
including the first year of the term of the proposed Fifth Amendment to the Interim Agreement,
and (iii) that the Fifth Amendment to the Interim Agreement is in the best interests of the taxing
entities. Based on the above findings, the Successor Agency approves the Fifth Amendment to
the Stadium Interim Management Agreement by and between the Successor Agency of the
Redevelopment Agency of the City of Lake Elsinore and the Lake Elsinore Storm LP in
substantially the form attached and in such final form as approved by Successor Agency
Counsel and submitted to and approved by the Oversight Board and DOF.
Section 3. 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
Resolution No. 2018-002
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it would have adopted this Resolution irrespective of the invalidity of any particular portion
thereof.
Section 4. This Resolution shall take effect from and after the date of its passage and adoption
in accordance with, and subject to, all applicable requirements of the Health & Safety Code.
Passed and Adopted by the Successor Agency of the Redevelopment Agency of the City of
Lake Elsinore, California, this 23rd day of January 2018.
Attest:
- r
Susan M. Domen, MMC
Clerk
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, hereby certify that Resolution No. 2018-002 was adopted
by the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore at a
Regular meeting held on the 23rd day of January 2018 by the following vote:
AYES: Members Hickman, Tisdale and Magee; Vice -Chair Manos and Chair Johnson
NOES: None
ABSTAIN: None
ABSENT: None
Susan M. Domen, MMC,
Clerk
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