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HomeMy WebLinkAboutOversight Board Special Meeting Agenda Packet 12-15-2015CITY 1,-)I" LAKELSI OKE 1-4 DREAM FyXrlu-,ME uAg"1111111ky, SPECIAL OVERSIGHT BOARD AGENDA CITY OF LAKE ELSINORE Tuesday, December 15, 2015 at 4:00 p.m. Cultural Center, 183 N. Main Street, Lake Elsinore This agenda contains a summary of each item if business which the Council may discuss or act on at this meeting. The agenda packet consisting of the staff reports and all other documentation relating to each item on this agenda are on file in the office of the City Clerk located at City Hall, 130 South Main Street, at the front counter, during normal business hours, will be posted on the City's website www.lake-elsinore.org. Any writings or documents provided to the Oversight Board regarding any item on this agenda subsequent to distribution of the agenda packet will be made available for public inspection in the office of the City Clerk at City Hall located at 130 South Main Street, during normal business hours. If you have a question about any matter on the agenda, please call the office of the City Clerk at (951) 674-3124 Ext. 269. The City Council is disabled accessible. Auxiliary aids and services are available for individuals with speech, vision or hearing impairments (48 -hours notice is required). A. The "CALL TO ORDER — 3:45 P.M." should read as follows: CALL TO ORDER — 4:00 P.M. C ri' ter L.IEC. LSIM71 E - City of Lake Elsinore Special Meeting Agenda Oversight Board DAVE OSTER, CHAIR GENIE KELLEY, VICE CHAIR GEORGE LANDON, BOARD MEMBER NANCY LASSEY, BOARD MEMBER MICHAEL WILLIAMS, BOARD MEMBER BRIAN TISDALE, BOARD MEMBER PHIL WILLIAMS, BOARD MEMBER LAKE-ELSINORE.ORG (951) 874-3124 PHONE CULTURAL CENTER 183 N. MAIN STREET LAKE ELSINORE, CA 92530 Tuesday, December 15, 2015 4:00 PM Cultural Center The agenda is posted 72 hours prior to each meeting outside of the Lake Elsinore City Hall located at 130 South Main Street and is available at each meeting. The agenda and related reports are also available at the Lake Elsinore City Clerk's Department on the Friday prior to the Oversight Board meeting and are available on the City's website at www.lake-elsinore.org. Any writing distributed within 72 hours of the meeting will be made available to the public at the time it is distributed to the Oversight Board. In compliance with the Americans with Disabilities Act, any person with a disability who requires a modification or accommodation in order to participate in a meeting should contact the Community Development Department at (951) 674 -3124, ext. 289, at least 48 hours before the meeting to make reasonable arrangements to ensure accessibility. CALL TO ORDER - 3:45 P.M. PLEDGE OF ALLEGIANCE ROLL CALL PRESENTATIONS PUBLIC COMMENTS - NON AGENDIZED ITEMS - 3 MINUTES (Please read & complete a a form Request to address the Oversight Board prior to the start of the Oversight Board meeting and submit it to the Clerk. The Chairperson or Clerk will call on you to speak when your item is called.) CONSENT CALENDAR ITEM(S) 1) ID# 15-863 Investment Report - June 2015 Recommendation: That the Oversight Board receive and file the attached June 2015 Successor Agency Investment Report Summary. City of Lake Elsinore Page 1 Printed on 1211512015 Oversight Board Special Meeting Agenda December 15, 2015 Attachments: OB SR- Investment Report 121515 SA RDA Investment Staff Report 2015-06 SA RDA Investment Report 2015-06 2) !D# 15-864 Warrant Lists Recommendation: That the Oversight Board receive and file the Successor Agency September, October and November 2015 Warrant Lists. Attachments: OB SR- Warrant Lists 121515 SA RDA Staff Report 9-22-15 WL 091015 SA RDA Warrant List 09 10 15 SA RDA Warrant Summary 09 10 15 SA RDA Staff Report 10-13-15 WL 092415 SA RDA Warrant List 09 24 15 SA RDA Warrant Summary .09_24...15 SA RDA Staff Report 10-27-15 WL 101515 SA RDA Warrant List 10 15 15 SA RDA Warrant Summary 10 15 15 SA RDA Staff Report 11-10-15 WL 102915 SA RDA Warrant List 10 29 15 SA RDA Warrant Summary 10 29 15 SA RDA Staff Report 12-08-15 WL 1112 & 113015 SA RDA Warrant List 11 12 15 SA RDA Warrant Summary 11 12 15 SA RDA Warrant List 11 30 15 SA RDA Warrant Summary 11 30 15 BUSINESS ITEMS) 3) ID# 15-865 Legislative Update on Redevelopment Dissolution Bill SB 107 Recommendation: That the Oversight Board receive and file the legislative update report. Attachments: OB SR- SB107 121515 League Analysis SB 107 4) ID# 15-866 Reconsideration of Third Amendment 2016 To Stadium Interim Mana ement A reement Recommendation: It is recommended that the Oversight Board adopt Resolution No. OB -2015-006 A Resolution of the Oversight Board to the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore Finding the Third Amendment (2016) to Stadium Interim Management Agreement is in the Best Interests of the Taxing Entities and Confirming Its Approval of the Third Amendment (2016). City of Lake Elsinore Page 2 Printed on 12115/2015 Oversight Board Special Meeting Agenda December 15, 2015 5} 6) 7) Attachments: Ola SR Third Amend to Interim Stadium Management Agreement 121515 3.0 OB Reso #2015-0 Approving Third Amendment Stadium Interim Mgmt Agf 12 Third Amendment to Stadium Interim Management AW Final Lake Elsinore OB Action 2015-004 ID#'15-867 Long Range Property Management Plan Recommendation: It is recommended that the Oversight Board to the Successor Agency receive a status report and consider requested clarifications and revisions to the Long Range Property Management Plan for Successor Agency Properties. Attachments: OB Staff Report Property Management Plan 121515 OB Staff Report Property Management Plan Approval 102213 Successor Agency Property Management Plan Final ID# 15-868 Date and Time for Regular Meetings of the Oversight_ Board to the Successor Agency of the Redevelopment Agencv of the CitV of Lake Elsinore Recommendation: It is recommeded that the Oversight Board Members discuss the Board's meeting schedule and, if changes to the date and time for regularly scheduled meetings are desired, adopt Resolution No. OB -2015-008 to reflect such changes. Attachments: OB SR -Consideration of a Reso Changinq Date & Time for Meetings 121515 OB Reso 2015-00 Changing Date & Time for Meetings 121515 ID# 15-869 Reorganization of Oversight Board; Selection of Chair and Vice Chair Recommendation: it is recommended that the Oversight Board elect one member to serve as Chairperson and one member to serve as Vice Chairperson of the Oversight Board to the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore. Attachments: OB SR -Election of Chai erson and Vice Chai erson 121515 PUBLIC COMMENTS - NON AGENDIZED ITEMS - 3 MINUTES STAFF COMMENTS BOARD MEMBER COMMENTS ADJOURNMENT The next regular Oversight Board meeting will be held on Tuesday, January 26, 2016, at the Cultural Center, 183 N. Main Street, Lake Elsinore, CA 92530. AFFIDAVIT OF POSTING City of Lake Elsinore Page 3 Printed on 12/15/2015 Oversight Board Special Meeting Agenda December 15, 2415 I, Susan M. Domen, Clerk of the Oversight Board, do hereby affirm that a copy of the foregoing agenda was posted at City Hall, 72 hours in advance of this meeting. Susan M. Domen, MMC Clerk of the Oversight Board City of Lake Elsinore Page 4 Printed on 1211512015 a Agenda Date: 12/15/2015 In Control: Oversight Board Agenda Number: 1) City of Lake Elsinore Text File File Number: ID# 15-863 Version: 2 130 South Main Street Lake Elsinore, CA 92530 w lake-elsinore.org Status: Approval Final File Type: Report City of Lake Elsinore Page 7 Printed on 12/1412015 OVERSIGHT BOARD OF THE SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE TO: VICE CHAIR KELLEY AND MEMBERS OF THE OVERSIGHT BOARD FROM: BARBARA LEIBOLD, SUCCESSOR AGENCY COUNSEL DATE: DECEMBER 15, 2015 SUBJECT: Investment Report -June 2015 Recommendation: That the Oversight Board receive and file the attached June 2015 Successor Agency Investment Report Summary. Discussion: Attached is the Investment Report Summary of Pooled Cash and Investments of the Successor Agency for June 2015. Prepared by: Barbara Leibold, Successor Agency Counsel Attachment: Investment Report Summaries — June 2015 CITY QF 'W LADE �LSINOKE 1 = DRrAM EXTREME. REPORT TO SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE TO: HONORABLE AGENCY CHAIRMAN AND MEMBERS OF THE SUCCESSOR AGENCY FROM: GRANT M. YATES EXECUTIVE DIRECTOR DATE: DECEMBER 8, 2015 SUBJECT: SUCCESSOR INVESTMENT REPORT —JUNE 2015 Recommendation Staff recommends that the Members of the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore receive and file the Investment Report for June 2015. Discussion The Investment Report is a listing of all funds invested for the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore as of the date shown on the report. Prepared By: Nancy L. Lassey Finance Administrator Approved By: Jason P. Simpson Director of Administrative Services Approved By: Grant M. Yates Executive Director Attachments: Investment Report for June 2015 SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE INVESTMENT REPORT OF POOLED CASH AND INVESTMENTS AS OF JUNE 30, 2015 ACTIVE ACCOUNTS Bank of America - Successor Agency General Total Active Accounts INVESTMENTS Successor: Successor Local Agency Investment Fund Successor CAMP Pool Account Successor U.S. Treasury Bond / Notes Successor Municipal Bond / Notes Successor Federal Agency Collateralized Mortgage Successor Federal Agency Bond / Notes Successor Corporate Notes Successor Certificate of Deposit Sub -total Investments Unrealized Gain/ (Loss) at 6-30-15 (LAIF SUC) Unrealized Gain/ (Loss) at 6-30-15 (CAMP SUC) BANK DEPOSITS OUTSTANG, BOOK BALANCE IN TRANSIT CHECKS BALANCE $ 6,838,596 $ - $ - $ 6,838,596 6,838,596 - - 6,838,596 89,788 - - 89,788 60,201 - - 60,201 2,283,119 - - 2,283,119 30,084 - - 30,084 25,250 - - 25,250 1,163,811 - - 1,163,811 1,418,196 - - 1,418,196 200,000 - - 200,000 5,270,448 - - 5,270,448 34 34 13,598 - - 13,598 Total Unrealized Gain/ (Loss) at 6-30-15 per GASB 31 13,632 13,632 Total Investments 5,284,080 - - 5,284,080 $ 12,122,675 $ $ $ 12,122,675 Cashier Drawers #1 & #2 City of Lake Elsinore Petty Cash Fund TOTAL POOLED CASH AND INVESTMENTS 0.00 0.00 $ 12,122,675 I certify that this report accurately reflects all pooled investments and it is in conformity with the investment policy as approved by the Members of Successor Agency of the Redevelopment Agency on June 9, 2015. A copy of this policy is available in the office of the City Clerk. The pooled investments shown above provide sufficient cash flow liquidity to meet the next six months estimated expenditures. Jason P. Simpson November 17, 2015 Director of Administrative Services Date SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE LOCAL AGENCY INVESTMENT FUND TRANSACTION SUMMARY FOR THE MONTH ENDING JUNE 30, 2015 Interest Rate Purchase Date Maturity Rate 0.299% Daily 24 -Hour Beginning Balance Net Increase/Decrease Ending Balance $ 89,788 $ $ 89,788 SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE POOLED CASH AND INVESTMENTS BY FUND AS OF JUNE 30, 2015 FUND NAME Area I Area 11 Area III Stadium Trust Fund Total Pooled Cash & Investments AMOUNT 3,035,102 5,293,157 1,750,137 2,044,280 $ 12,122,675 11 rihili411�I_ Agenda Date: 12/15/2015 In Control: Oversight Board Agenda Number: 2) City of Lake Elsinore Text File File Number: ID# 15-864 Version: 1 130 South Main Street Lake Elsinore, CA 92530 w .lake-elsinore.org Status: Approval Final File Type: Report City of Lake Elsinore Pago 1 Printed on 1211412015 OVERSIGHT BOARD OF THE SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE TO: VICE CHAIR KELLEY AND MEMBERS OF THE OVERSIGHT BOARD FROM: BARBARA LEIBOLD, SUCCESSOR AGENCY COUNSEL DATE: DECEMBER 15, 2015 SUBJECT: Warrant Lists Recommendation: That the Oversight Board receive and file the attached Successor Agency September, October and November 2015 Warrant lists. Discussion: The warrant list is a listing of all general checks issued by the Successor Agency. Attached are warrant lists for all disbursements made by the Successor Agency from September 2015 through November 2015. All checks issued are for items reflected on the Recognized Obligations Payment Schedule (ROPS) adopted by the Successor Agency and the Oversight Board and do not represent expenditures for any new items. Prepared by: Barbara Leibold, Successor Agency Counsel Attachments: Warrant Summary/List dated September 10, 2015 Warrant Summary/List dated September 24, 2015 Warrant Summary/List dated October 15, 2015 Warrant Summary/List dated October 29, 2015 Warrant Summary/List dated November 12, 2015 Warrant Summary/List dated November 30, 2015 Crry Cot LS NOU. TRL REPORT TO SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE TO: HONORABLE AGENCY CHAIRMAN AND MEMBERS OF THE SUCCESSOR AGENCY FROM: GRANT YATES EXECUTIVE DIRECTOR DATE: SEPTEMBER 22, 2015 SUBJECT: WARRANT LIST DATED SEPTEMBER 10, 2015 Recommendation It is recommended that the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore receive and file the Warrant List dated September 10, 2015. Discussion The warrant list is a listing of all general checks issued by the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore since the prior Warrant List. Prepared By: Frances Ramirez Account Specialist II Reviewed By: Jason Simpson Administrative Services Director Approved By: Grant Yates City Manager Attachments: Warrant List 9-10-15 ST PTT M, B ER 10, 2015 WARRANT LIST' SUCCESSOR AGENCY OF Tl-lE REDEVELOPMENT AGENCY OF 7rHE G;IT" �' O F 1LA1K1E 1E1LSINORE CHECK# VENDOR NAME AMOUNT 123289 L_EIBOLD, MCCLENDON & MANN, LLP 5,329.51 123309 -- URBAN FUTURES, INC 6,650.00 123402 LAKE ELSINORE STORM LP 103 422 00 123418 SOUTHERN CALIFORNIA EDISON CO. 93g,gg 123446 UNION BANK OF CALIFORNIA 634.18 123455 WILMINGTON TRUST, NATIONAL ASSOCIATION a Ann nn GRAND TOTAL $ 131,759.98 9/15/2015 Warrant 09 10 15 SA RDA 1 of 1 SEPTEMBER 10, 2015 1NAB RANT SUMMARY SUCCESSOR AGENCY OF FH]E REDEVELOPMENT AGENCY OF TI-'1E- CITY -'1CCITY OF ;LAKE ;E;LS',I N OR E FAUND# FUND ;DESCRIPTION 'I OTAL 510 SUCCESSOR TO RDA AREA 1 $ 7,096.74 520 SUCCESSOR TO RDA AREA 2 8,582.32 530 SUCCESSOR TO RDA AREA 6,734.63 540 _3 SUCCESSOR STADIUM CAPITAL 109,346.29 GRAND TOTAL $ 131,759.98 9/15/2015 Warrant 09 10 15 SA RDA 1 of 1 CITY 01' LATE UISMORT �'\'- L�RCAM 1�Y'I'12EM1 REPORT TO SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE TO: HONORABLE AGENCY CHAIRMAN AND MEMBERS OF THE SUCCESSOR AGENCY FROM: GRANT YATES EXECUTIVE DIRECTOR DATE: OCTOBER 13, 2015 SUBJECT: WARRANT LIST DATED SEPTEMBER 24, 2015 Recommendation It is recommended that the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore receive and file the Warrant List dated September 24, 2015. Discussion The warrant list is a listing of all general checks issued by the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore since the prior Warrant List. Prepared By: Frances Ramirez Account Specialist II Reviewed By: Jason Simpson Administrative Services Director Approved By: Grant Yates City Manager Attachments: Warrant List 9-24-15 S,E1''1,EIYBER 2�, 2015 WARRANTLIST SUCCESSOR AGENCY OF THE REDEVELOPMENT HENT AGi[l' CY OF THE CITY OF LAKE C;LSINO RAE CIAECK# VENDOR NAME AMOUNT 123478 HDL COREN & CONE $ 9,157.50 123482 LEIBOLD, MCCLENDON & MANN 7,081.30 GRAND TOTAL $ 16,238.80 10/6/2015 Warrant 09 24 15 SA RDA 1 of 1 S3 TEM BER 24, 2015 WARRANT SUMMARY SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THEE CITY OF LAKE E LSINO;RE PUNK# FUND D SCR=10N TOTAL 510 SUCCESSOR TO RDA AREA 1 $ - 502.36 520 - --.. SUCCESSOR TO RDA AREA 2 _ 12,446.97_ 530 SUCCESSOR TO RDA AREA 3 s 9aa A7 GRAND TOTAL $ 16,238.80 10/6/2015 Warrant 09 24 15 SA RDA 1 of 1 Crry ou LAKE 1r LSINO Dju.-AM E,)TIZEME REPORT TO SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE TO: HONORABLE AGENCY CHAIRMAN AND MEMBERS OF THE SUCCESSOR AGENCY FROM: GRANT YATES EXECUTIVE DIRECTOR DATE: OCTOBER 27, 2015 SUBJECT: WARRANT LIST DATED OCTOBER 15, 2015 Recommendation It is recommended that the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore receive and file the Warrant List dated October 15, 2015. Discussion The warrant list is a listing of all general checks issued by the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore since the prior Warrant List. Prepared By: Frances Ramirez Account Specialist II Reviewed By: Jason Simpson Administrative Services Director Approved By: Grant Yates City Manager Attachments: Warrant List 10-15-15 OCTOBER 15, 2015 WARRAN 1' LIS SUCCESSOR AGENCY OF ir]H E REDEVELOPMENT AGENCY OF 'r]HLE carry OF ]LAKE ELSINORE C13ECK# VENDOR NAME AMOUNT lLVA lto] WW 123669 CITY OF LAKE ELSINORE 123686 LAKE ELSINORE STORM, LP 123767 WILMINGTON TRUST, NATIONAL ASSOCIATI 1 79,646.52 682.95 GRAND TOTAL$ 119,602.63 10/20/2015 Warrant 10 15 15 SA RDA 1 of 1 OCTOBER AE, 201E WA;RRA1`>l"1 SUMMARY SUCCESSOR AGENCY CY O F THE R EiC➢EV ELOPMEN i AGENCY OF THI;E 0TY OF ]LAKE lEILSTNO R]E FUND# FUND DESCRIPTION TO'EAL 510 SUCCESSOR TO RDA AREA 1 $ 20,866.28 520 SUCCESSOR TO RDA AREA 2 307.33 540 SUCCESSOR STADIUM CAPITAL 98,429.02 GRAND TOTAL $ 119,602.63 10/20/2015 Warrant 10 15 15 SA RDA 1 of 1 C['1'Y Cil-' f LTL LSINOKE 1: i .AM EXI-I l'.ML REPORT TO SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE TO: HONORABLE AGENCY CHAIRMAN AND MEMBERS OF THE SUCCESSOR AGENCY FROM: GRANT YATES EXECUTIVE DIRECTOR DATE: NOVEMBER 10, 2015 SUBJECT: WARRANT LIST DATED OCTOBER 29, 2015 Recommendation It is recommended that the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore receive and file the Warrant List dated October 29, 2015. Discussion The warrant list is a listing of all general checks issued by the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore since the prior Warrant List. Prepared By: Frances Ramirez Account Specialist II Reviewed By: Jason Simpson Administrative Services Director Approved By: Grant Yates City Manager Attachments: Warrant List 10-29-15 OCTOBER 29, 2015 WA:RRAN C LIST SUCCESSOR AGENCY OF THE REIDEVELO]EM ENT AGENCY OF 7CHE CITY OF ]LAKE ELSINORE CHECK## VENDOR NAME AMOUNT 123798 LAKE ELSINORE STORM, LP $ 51,/11.00 123859 LAKE ELSINORE STORM LP 14 118.88 129864 MICHAEL PAUL MAPLES 4,350.00 129874 1911 GRAND TOTAL $ 80,642.38 11/2/2015 Warrant 10 29 15 SA RDA 1 of 1 OCTOBER 29, 2015 WAiRRAN'T SUMMARY SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE EILSINOR]E TUND# FUND DESCRIPTION TOTAL 540 SUCCESSOR STADIUM CAPITAL $ 80,642.38 GRAND TOTAL $ 80,642.38 111212015 Warrant 10 29 15 SA RDA 1 of 1 CITY OF LAKE LS111 KE " DR .AM CXTttt.,b1L REPORT TO SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE TO: HONORABLE AGENCY CHAIRMAN AND MEMBERS OF THE SUCCESSOR AGENCY FROM: GRANT YATES EXECUTIVE DIRECTOR DATE: DECEMBER 8, 2015 SUBJECT: WARRANT LIST DATED NOVEMBER 12 & 30, 2015 Recommendation It is recommended that the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore receive and file the Warrant List dated November 12 & 30, 2015. Discussion The warrant list is a listing of all general checks issued by the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore since the prior Warrant List. Prepared By: Frances Ramirez Account Specialist II Reviewed By: Jason Simpson Administrative Services Director Approved By: Grant Yates City Manager Attachments: Warrant List 12-12 & 30-15 NOVEl BER 12, 20T5 WA RANTLIS'l SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF ']['HSE CITY OF ]LAKE ELSINO RE C}]FCl # VLNDOR NAML AMOUNT 123951 RANCHO REPROGRAPHICS, INC. $ 46.58 123944 LEIBOLD MCCLENDON &MANN - _ 3,267.17 124014 -- LEIBOLD, MCCLENDON & MANN - 3,6k07 07 124037 SOUTHERN CALIFORNIA EDISON 1,517.28 GRAND TOTAL$ 8,735.10 12/3/2015 Warrant 11 12 15 SA RDA 1 of 1 NOVEMBER 12, 20,15 WARRANT SUMMARY SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OFTHE arry OF LAKE ELSINORE FUND# FUND DESCRIPTION TOTAL 510 SUCCESSOR TO RDA AREA 1 $ 874.02 520 SUCCESSOR TO RDA AREA 2 3,148.62 530 SUCCESSOR TO RDA AREA 3 3,148.60 540 SUCCESSOR STADIUM CAPITAL 1,563.86 GRAND TOTAL $ 8,735.10 12/3/2015 Warrant 11 12 15 SA RDA 1 of 1 NOVEMBER 30, 2015 VA RRAN Y LIST SUCCESSOR AGENCY OF THEREDEVELOPMENT AGENCY OF SHE CITY OF LAKE ELSINORE CHECK# VENDOR NAME AMO'UN"T 124089 HDL COREN & 124102 PROSTAFF, LLC 124169 LAKE ELSINORE STORM, 51 GRAND TOTAL $ 63,206.00 12/3/2015 Warrant 11 30 15 SA RDA 1 of 1 NOVEMBER 30, 2015 WARRANT SUMMARY SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF ]LAKE EILSINORE FUND# FUND DESCRIPTION TOTAL. 510 SUCCESSOR TO RDA AREA -1 678.33 520 SUCCESSOR TO RDA AREA 2 678.33 530 SUCCESSOR TO RDA AREA 3 678.34 540 SUCCESSOR STADIUM CAPITAL 61,171.00 GRAND TOTAL $ 63,206.00 12/3/2015 Warrant 11 30 15 SA RDA 1 of 1 C fth—":511 (tip; Agenda Date: 12/15/2015 In Control: Oversight Board Agenda Number: 3) City of Lake Elsinore Text File File Number: ID# 15-865 Version: 1 130 South Main Street Lake Elsinore, CA 92530 vAm.lake-elsinore.org Status: Approval Final File Type: Report City o/ Lake Elsinore Page l Printed on 1211412015 OVERSIGHT BOARD OF THE SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE TO: VICE CHAIR KELLEY AND MEMBERS OF THE OVERSIGHT BOARD FROM: BARBARA LEIBOLD, SUCCESSOR AGENCY COUNSEL DATE: DECEMBER 15, 2015 SUBJECT: LEGISLATIVE UPDATE ON REDEVELOPMENT DISSOLUTION BILL SB 107 Recommendation: That the Oversight Board receive and file the legislative update report. For additional detail on SB 107, see attached "Summary of SB 107 (Budget and Fiscal Review) Chapter 325, Statutes of 2015" prepared by the League of California Cities. Background: Existing law dissolved redevelopment agencies as of February 1, 2012, and provides for the designation of successor agencies to wind down the affairs of the dissolved redevelopment agencies, including performance of obligations required pursuant to any enforceable obligations. SB 107, signed by Governor Jerry Brown on September 22 and effective immediately, creates additional requirements and deadlines for the dissolution of former redevelopment agencies. This report highlights the most significant of those changes. Discussion: A new provision targets successor agencies that have outstanding payments due under a Due Diligence Review. SB 107 mandates that those successor agencies must either pay the balance in full or enter into a payment plan with Department of Finance (DOF) no later than December 31, 2015. Failure to pay the balance in full or enter into a payment plan by this deadline will prohibit a successor agency from ever receiving a finding of completion. Without a finding of completion, a successor agency cannot adopt a long range property management plan (LRPMP) or re-enter into loan agreements between the former redevelopment agency and city. Note: The Successor Agency of the Redevelopment Agency of the City of Lake Elsinore completed its Housing and Non -Housing DDRB and received a Finding of Completion — this provision does not affect Lake Elsinore. Legislative Update On Redevelopment Dissolution Bill SB 107 December 15, 2015 Page 2 Amended definition of "administrative cost allowance." SB 107 redefines the term to make the successor agency's administrative cost allowance the sole source of funding for the successor agency's legal expenses. A city may loan money to successor agencies for litigation, but if litigation is unsuccessful the money becomes a "grant" rather than an enforceable payment obligation. Additional restrictions on allowable successor agency expenses. The bill expands the definition of "enforceable obligation" to include the repayment of federal grants or loans made to a city or county that loaned those funds to a redevelopment agency. Recognized Obligation Payment Schedules (ROPS) will be submitted only once per year beginning February 1, 2016 for fiscal year July 1, 2016—June 30, 2017. DOF will issue determinations on the annual ROPS by April 15. Annual ROPS can only be amended once no later than October 1. Countywide oversight board takes effect on July 1, 2018. Local oversight boards will continue to review successor agency actions for an additional two years until July 1, 2018, after which time countywide oversight boards will provide direction and approval to local successor agencies. Definition of "governmental purpose properties" expanded to include public parking garages and lots. If a successor agency has an approved LRPMP, it may be amended to add these governmental use properties, so long as the revenue from these properties does not exceed operation and maintenance costs. Successor agencies with a finding of completion may still re-enter into loan agreements previously entered into between the redevelopment agency and city, but SB 107 narrows the definition of loan agreements. Reimbursement agreements in which the city contracted with a third party on behalf of the former redevelopment agency are now limited to only those agreements for the development of infrastructure in connection with a redevelopment project as identified in a redevelopment project plan, and SB 107 caps reimbursement repayments at $5 million. SB 107 excludes from the definition of "winding down" work associated with design, demolition, construction and site remediation, unless such work is required by a pre -dissolution enforceable obligation. DOF is not subject to the Administrative Procedures Act. As such, DOF is not required to adopt regulations governing its involvement with the wind -down process. Instead, DOF may continue its current practice of adopting informal policies and frequently -asked -questions to provide guidance to successor agencies. Prepared by: Barbara Leibold, Successor Agency Counsel Attachment: Summary of SB 107 (Budget and Fiscal Review) Chapter 325, Statutes of 2015 Brief Analysis of SB 107 Below is a brief summary of SB 107, the redevelopment dissolution bill, compiled by the League's Attorneys, and reflects input from city attorneys representing agencies across the state Given that this 104 page bill is being placed into print on the last day of session, affected cities and legislators are being given little time to review and understand its full impact. The details and nuances of the language and how they will later be interpreted by DOF matter immensely. Loan Repayment 1. Third -Party or "Reimbursement Agreements" The maximum amount of reimbursement under this type of loan is $5,000,000 per agency for all loan agreements. COMMENT: The $5,000,000 limit applies per agency, even if there was more than one loan agreement. Many cities are owed much more than this. This is the issue that has been most hotly contested, and was the subject of the Watsonville case, where a city contracted with a third party. The lannuase also requires that the city's agreement with a third party was made "on behalf of the RDA." This language will give DOF an opportunity to limit these types of loans to agreements that explicitly provide that they are made "on behalf of" the RDA. Many agreements do not include this language. Some city attorneys have commented that the obligation to reimburse was documented with a resolution rather than "an agreement" and that DOF may adopt a narrow definition of "agreement" and limit repaying loans on that basis. 2. Transfers of Real property: City transfers real property to CRA for use by CRA and CRA is required to pay city for real property interest. COMMENT. It is unclear how widely applicable this provision is. City attorneys reviewing the bill this morning identified Santa Monica, Daly City and Hayward as potentially benefitting. The bill requires that there was a transfer of an interest in real property to the redevelopment agency. This type of loan does not include agreements between a city and its redevelopment agency in which the interest in real property remained with the city. 3. Cash: This is DOF's original proposal in AB 113. While cash loans will supposedly be recognized the interpretation of "required repayment schedule" (page 80, line 3) by DOF will make the difference in whether such loans are recognized or must be further litigated. COMMENT. DOF will have the opportunity to interpret the phrase "repayment schedule." Loans of cash do not include a "repayment schedule" as that phrase is ultimately interpreted by DOF will not qualify for repayment. 4. Interest rate on these loans: Recalculated from origination at 3% simple interest. COMMENT: This interest rate would be less than what local agencies could otherwise recover based on existing law and the Glendale decision. Due Process & Legal costs: DOF is exempted from the Administrative Procedures Act. Local agencies are restricted to the administrative cost allowance as the sole funding source for legal costs. City may loan funds to successor agency but may only recoup funds if litigation is successful. New types of enforceable obligations Two new types of enforceable obligations are created by the bill: 1. "State highway infrastructure improvements" (funded pursuant to Health & Safety Code 33445). 2. Loan from city to CRA of federal grant/loan funds (e.g. CDBG/Section 108 funding) Changes affecting housing successor 1. Increases from 2% of value of property to 5% of value of property amount that can be spent by housing successor on administrative costs. 2. Allows use of 100% of housing bonds. Countywide Oversight Boards do not begin until 2018 (instead of July 2016) Other provisions of the legislation: As previously provided in AB 113 1. Interest rate on loans from cities to successor agencies calculated from date of OB approval at LAIF rate in effect for the previous fiscal quarter. 2. Use of 2010 bond proceeds require Oversight Board approval only. 3. 2011 bonds may be used as previously provided in AB 113. 4. DOF may require compensation agreements for transfer of property from successor agency to city for future development. 5. A public parking facility that produces revenue in excess of "maintenance costs" is not considered a public parking facility. 6. Validation of re-entered agreements prior to AB 1484, 7. May create limited enforceable obligations for "winding down" activities as defined (no maintenance of property included). 1 r41�C:�till,, i71�[: Agenda Date: 12/15/2015 In Control: Oversight Board Agenda Number: 8) City of Lake Elsinore Text File File Number: ID# 15-866 Version: 1 130 South Main Street Lake Elsinore, CA 92530 wwev.lake-elsinore.org Status: Approval Final File Type: Report City of Lake Elsinore Page 1 Printed on 1211412015 REPORT TO OVERSIGHT BOARD TO THE SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE TO: VICE CHAIR KELLEY AND MEMBERS OF THE OVERSIGHT BOARD FROM: BARBARA LEIBOLD, SUCCESSOR AGENCY COUNSEL DATE: DECEMBER 15, 2015 SUBJECT: Reconsideration of the Third Amendment (2016) To Stadium Interim Manaqement Agreement Recommendation It is recommended that the Oversight Board approve and adopt Resolution No. OB -2015-0_ A RESOLUTION OF THE OVERSIGHT BOARD TO THE SUCCESSOR AGENCY CF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE FINDING THE THIRD AMENDMENT (2016) TO THE STADIUM INTERIM MANAGEMENT AGREEMENT IN THE BEST INTERESTS OF THE TAXING ENTITIES AND CONFIRMING APPROVAL OF THE THIRD AMENDMENT (2016) Background In 2001 and 2002, the Redevelopment Agency entered into certain agreements involving the operation and maintenance of the Lake Elsinore Diamond Stadium, including a License Agreement, a Stadium Field And Maintenance Agreement, and a Concession License Agreement (collectively, the "Stadium Operations Contracts"). Pursuant to the Stadium Operations Contracts, the Storm licensed and maintained the Stadium for baseball games and other Storm events. An affiliate of the Storm, Golden State Concessions and Catering, Inc. ("Golden State"), operated the concessions at the Stadium. Under the Stadium Operations Contracts, the Agency's management, operation and maintenance costs were significant and the Stadium operated at a loss. In 2005, the Agency commenced negotiations with Diamond Stadium Group (DSG) to undertake all of the Stadium operations, maintenance and management responsibilities. Storm LP, Golden State and DSG share common controlling ownership. Negotiations between the Agency and DSG resulted in June 2007 amendments to the Stadium Operations Contracts and a new Stadium License, Lease and Management Agreement (the "2007 Management Agreement"). DSG fulfilled all aspects of the 2007 Management Agreement which reduced the Agency's Stadium -related costs. However, DSG reported annual losses under the 2007 Management Agreement and in June 2011 chose to exercise its right to terminate the Reconsideration of Third Amendment To Stadium Interim Management Agreement December 15, 2015 Page 2 2007 Management Agreement effective December 31, 2012. Upon termination of the 2007 Management Agreement, the rights and responsibilities for Stadium management, operations and maintenance were again divided in accordance with the Stadium Operations Contracts; however, at that time, the Successor Agency did not have the resources to satisfactorily perform its obligations. On December 11, 2012, the Successor Agency approved the Stadium Interim Management Agreement ("Interim Agreement") to provide for the efficient and cost effective management, maintenance and operation of the Stadium by the Storm through 2013. A First Amendment to the Interim Agreement was approved in September 2013. A Second Amendment to the Interim Agreement was approved in September 2014. The State Department of Finance has approved the allocation of Real Property Tax Trust Funds for Stadium obligations in accordance with the Successor Agency Recognized Obligations Payment Schedules (ROPS). The Interim Agreement and the First and Second Amendments have been successfully implemented to provide for efficient and cost effective management, maintenance and operation of the Diamond Stadium. However, the Second Amendment expires on December 31, 2015 at which time the burden of maintaining, managing and operating Diamond Stadium under the Stadium Operations Contracts would fall onto the Successor Agency. Pursuant to the Dissolution Act and provisions of AB 1484, the Successor Agency prepared a Recognized Obligation Payment Schedule for the period from January 1, 2016 through June 30, 2016 (the "ROPS 15-1613") which lists, among other things, as enforceable obligations of the Successor Agency, the obligations related to the (i) License Agreement; (ii) Maintenance Agreement; (iii) Concession Agreement; (iv) Stadium operations and maintenance obligations, and (v) the Interim Agreement. 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, a Third Amendment to the Interim Agreement was prepared to provide for the continued, efficient and cost effective management, maintenance and operation of the Stadium through 2016 (Third Amendment (2016)). On September 22, 2015, the Oversight Board adopted Resolution No. OB 2015-004 approving the Third Amendment (2016) and following such approval by the Oversight Board and the Successor Agency, the Third Amendment (2016) was submitted to and reviewed by the State Department of Finance (DOF). On November 18, 2015, the Successor Agency was notified by DOF that Oversight Board Resolution No. OB -2015-004 related to the approval of the Third Amendment (2016) was not approved by DOF. While DOF acknowledged that Health & Safety Code section 34171(d)(1)(F) allows contracts or agreements necessary for the maintenance of assets prior to disposition, DOF expressed its reservations about the Third Amendment (2016)'s increase in the estimated Capital Repair Schedule costs by $1,921,912 to a total of $3,286,912. [Note: DOF misinterpreted the monetary provisions of the Third Amendment which was Reconsideration of Third Amendment To Stadium Interim Management Agreement December 15, 2015 Page 3 addressed by Successor Agency staff at its Meet and Confer meeting with DOF discussed below.] DOF concluded this increase would not be in the best interests of the taxing entities and directed the Oversight Board to reconsider the matter. That reconsideration is now before the Oversight Board. In addition to referring the action back to the Oversight Board, DOF denied the Successor Agency the requested allocation of Real Property Tax Funds on the ROPS 15-16B for the Third Amendment. The Successor Agency Executive Director, Director of Administrative Services and Agency Counsel attended a Meet and Confer with DOF on December 3, 2015 appealing that determination. The matter in presently under consideration and DOF is expected to issue its findings by December 17, 2015. As part of that evaluation, DOF will look to the Oversight Board action upon reconsideration. Discussion The Stadium Operations Contracts are in full force and effect and constitute enforceable obligations of the Successor Agency. Successor Agency staff continues to believe that approval of the attached Third Amendment (2016) to the Stadium Interim Management Agreement is critical to ensuring the Successor Agency can meet its legal obligations under the Stadium Operations Contracts to operate, manage and maintain the Stadium in first class condition and to ensure that the "Lake Elsinore Storm" can continue to play its home baseball games at the Stadium. Failure to meet those obligations exposes the Successor Agency to the possibility of litigation. Moreover, the Successor Agency lacks the resources both in staffing and expertise to otherwise comply with those obligations. Contracting with the Storm to perform the Agency's obligations provides for the efficient and cost effective management, maintenance and operation of the Stadium which is in the best interest of the taxing entities. DOF has questioned the necessity of certain capital expenditures. But DOF has fundamentally failed to recognize that certain capital facilities and equipment at the Stadium have simply worn out or are in a condition of disrepair. The Stadium is 22 years old, and despite the ongoing maintenance being performed in accordance with applicable agreements, certain structural elements, capital components, operational systems and equipment require replacement in order to maintain the Stadium in accordance with the Stadium Operations Contracts and to protect the safety of the players and the spectators consistent with applicable laws and standards. Because these other repairs/replacements are necessary to continue to meet the Successor Agency's obligation under the Stadium Operations Contracts, Successor Agency staff believe that the Third Amendment (2016) should, again, be approved by the Oversight Board. As noted in the prior staff report on the Third Amendment (2016), The Storm continues to possess the experience, capabilities and qualifications to best carry out these Reconsideration of Third Amendment To Stadium Interim Management Agreement December 15, 2015 Page 4 obligations. The terms of the Interim Management Agreement and Third Amendment (2016) are discussed below. Interim Management Agreement - The Interim Stadium Management Agreement as amended by the proposed Third Amendment (2016) incorporates the obligations under the Stadium Operations Contracts and provides for a Capital Improvement Schedule. During the 2016 term of the Third Amendment (2016), compensation to the Storm for the performance of the maintenance, management and operations services shall be as follows: (a) Assignment of GRCS Concession Fee. Successor Agency assigns Successor Agency's right to payment of the GRCS Concession Fee under the Concession Agreement to the Storm during the 2016 term, estimated at $34,000 annually; and (b) Waiver of License Fee. Successor Agency waives Successor Agency's right to payment of the License Fee in the amount of $497,297 under the License Agreement during 2016 as an offset against the payments due by the Successor Agency to the Storm; and (c) Payment of Maintenance Fee. Successor Agency shall pay the Annual Maintenance Fee in the amount of $232,159 under the Stadium Field And Maintenance Agreement during 2016; and (d) Payment of Additional Interim Management Fee. Successor Agency shall pay to Storm $435,589, payable in equal monthly installments ("Additional Interim Management Fee"). The Maintenance Fee along with the Additional Interim Management Fee will result total cash payment from the Successor Agency to the Storm of $667,752 as consideration for services provided under the Stadium Operations Contracts and the Interim Stadium Management Agreement as amended by the Third Amendment (2016), which aggregate amount shall be payable in equal monthly installments of $56,646. The Successor Agency continues to be responsible for all Capital Repairs and alterations consistent with the Stadium Operations Contracts, which are expected to be significant over the next few years. In connection with the preparation and negotiation of the Third Amendment (2016), the City's Building Official surveyed the Stadium with representatives of The Storm and agreed upon necessary Capital Repairs. Quotes or estimates for the costs of such Capital Repairs were also obtained. Capital repairs for 2016, as included in the Third Amendment (2016), reflect that the Stadium is twenty two (22) years old and include, without limitation, replacement of Stadium seating, improvements to comply with revisions to the Americans with Disabilities Act (ADA), retrofitting of plumbing, containment of run-off to comply with the National Pollutant Discharge System imposed by the Environmental Protection Agency Reconsideration of Third Amendment To Stadium Interim Management Agreement December 15, 2015 Page 5 (EPA), improvements to and replacement of the heating, ventilation and air condition (HVAC) system, repaving of the parking lots and replacement of old equipment. The Third Amendment (2016) provides for proposed 2016 Capital Repairs of approximately $3,286,912. The Third Amendment (2016) includes a Capital Repair schedule, which will be updated annually or, if necessary, semi-annually in accordance with future ROPS. Capital Repairs for the ROPS 15-16B period (January 1, 2016 through June 30, 2016) are estimated to be $1,580,912, which includes (but is not limited to) beginning the replacement of Stadium seating, improvements to comply with revisions to the ADA, retrofitting of plumbing, containment of run-off to comply with the National Pollutant Discharge System imposed by the EPA, improvements to and replacement of the HVAC system, and replacement of old equipment. Fiscal Impact The ROPS 15-16B allocates Real Property Tax Trust Funds to cover the Successor Agency obligations for the period of January 1, 2016 through June 30, 2016. In addition, the attached Resolution authorizes the Executive Director to comply with any findings of the Department of Finance in connection with its review of the ROPS 15- 166 or the attached Resolution, and make such changes as necessary so that the Third Amendment (2016) can be implemented in accordance with the ROPS approved by DOF. The ROPS 16-17A (for the second half of calendar year 2016) will be prepared to similarly reflect these obligations which will be presented to the Oversight Board and DOF and upon approval will provide funds for the second six months of the term of the Third Amendment. Prepared by: Barbara Leibold, Successor Agency Counsel Attachments: Resolution No. OB -2015-0 Third Amendment (2016) DOF November 18, 2015 Letter RESOLUTION NO. OB -2015-0— A RESOLUTION OF THE OVERSIGHT BOARD TO THE SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE FINDING THE THIRD AMENDMENT (2016) TO THE STADIUM INTERIM MANAGEMENT AGREEMENT IS IN THE BEST INTERESTS OF THE TAXING ENTITIES AND CONFIRMING APPROVAL OF THE THIRD AMENDMENT (2016) WHEREAS, the Oversight Board to the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore ("Oversight Board") has been established to direct the Successor Agency to take certain actions 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, by adoption of its Resolution No. OB 2012-013 on December 11, 2012, 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 (the "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, by adoption of its Resolution No. OB 2013-007 on September 24, 2013, 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 (the "First Amendment') and following such approval by the Oversight Board and the Successor Agency, the First Amendment was submitted to and reviewed by the State Department of Finance; and WHEREAS, by adoption of its Resolution No. OB 2014-005 on September 23, 2014, 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 (the "Second Amendment') and following such approval by the Oversight Board and the Successor Agency, the Second Amendment was submitted to and reviewed by the State Department of Finance; and WHEREAS, by adoption of its Resolution No. OB 2015-004 on September 22, 2015, the Oversight Board approved the Third Amendment (2016) to the Stadium Interim Management by and between the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore and the Lake Elsinore Storm LP (Third Amendment (2016)) and following such approval by the Oversight Board and the Successor Agency, the Third Amendment (2016) was submitted to and reviewed by the State Department of Finance; and OVERSIGHT BOARD RESOLUTION NO. OB 2015-0_ Page 2 WHEREAS, the Department of Finance has returned Oversight Board Resolution 2015-04 approving the Third Amendment (2016) to the Oversight Board for its reconsideration; and WHEREAS, the Oversight Board has reconsidered the Third Amendment (2016), and given the Successor Agency's pre -dissolution enforceable obligations to operate and maintain the Stadium as set forth in the Stadium Operations Contracts, given the Successor Agency's lack of resources to otherwise comply with those obligations, and given the possibility of litigation were the Successor Agency to fail to meet such obligations, the Oversight Board finds it to be in the best interest of the Taxing Entities to approve the entry by the Successor Agency into the Third Amendment (2016); and WHEREAS, the Interim Agreement and the First and Second Amendments have been successfully implemented to provide for efficient and cost effective management, maintenance and operation of the Diamond Stadium but, absent a third amendment, the Interim Amendment will expire on December 31, 2015; 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 calendar year 2016 in accordance with the proposed Third Amendment (2016) to the Interim Agreement; and WHEREAS, pursuant to Health and Safety Code Section 34169 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 six month period January 2016 — June 2016 (the "ROPS 15-1613") which lists, among other things, as enforceable obligations of the Successor Agency, the following obligations related to the Lake Elsinore Diamond Stadium (the "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 Third Amendment (2016) was approved by the Successor Agency and the Oversight Board on September 22, 2015. NOW, THEREFORE, THE OVERSIGHT BOARD TO 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. Based on the information presented in the staff reports and testimony received, the Oversight Board finds (i) that the proposed Third Amendment OVERSIGHT BOARD RESOLUTION NO. OB 2015-0 Page 3 (2016) 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 ROPS 15-16B include funds necessary to meet the Successor Agency's enforceable obligations with respect to the Stadium, including the proposed Third Amendment (2016) to the Interim Agreement, and (iii) that the Third Amendment (2016) to the Interim Agreement is in the best interests of the taxing entities. Based on the above findings, the Oversight Board approves the Third Amendment (2016) 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 SECTION 3. The Executive Director is hereby authorized to enter into the Third Amendment and, if required to comply with any findings of the Department of Finance in connection with its review of Recognized Obligation Schedule (ROPS) 15-16B or this resolution, make such changes as necessary such that the Third Amendment can be implemented in accordance with the ROPS approved by the Department of Finance. The Executive Director is further authorized to take such additional actions as he deems necessary to effectuate the foregoing. SECTION 4. 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 Oversight Board hereby declares that it would have adopted this Resolution irrespective of the invalidity of any particular portion thereof. OVERSIGHT BOARD RESOLUTION NO. OB 2015-0_ Page 4 SECTION 5. This Resolution shall take effect from and after the date of its passage and adoption in accordance with applicable law. PASSED, APPROVED AND ADOPTED at a special meeting of the Oversight Board to the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore, held this 15th day of December, 2015 by the following vote: AYES: NOES: ABSENT: ABSTAIN: Genie Kelley, Vice -Chairperson Oversight Board to the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore ATTEST: Susan Domen, , Oversight Board Secretary THIRD AMENDMENT (2016) TO STADIUM INTERIM MANAGEMENT AGREEMENT THIS THIRD AMENDMENT (2016) TO STADIUM INTERIM MANAGEMENT AGREEMENT (the "Third Amendment"), dated for identification as of September 22, 2015, is made by and between the SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE ("Successor Agency"), and the LAKE ELSINORE STORM LP, a California limited partnership ("Storm"). RECITALS The following recitals are a substantive part of this Amendment: A. The Successor Agency and the Storm entered into that certain Stadium Interim Management Agreement dated January 1, 2013 (the "Interim Agreement") to provide for the performance by the Storm of certain maintenance, upkeep, and operations of the Premises (as defined in the Interim Agreement). Capitalized terms used herein which are not otherwise defined herein shall have the meaning ascribed to them in the Interim Agreement. B. The Interim Agreement was successfully implemented during calendar year 2013 to provide for efficient and cost effective management, maintenance and operation of the Premises. C. In order to provide for the efficient and cost effective management, maintenance and operation of the Premises for calendar year 2014, the Successor Agency and the Storm entered into that certain First Amendment (2014) to Stadium Interim Management Agreement dated September 24, 2013 (the "First Amendment"). D. In order to provide for the efficient and cost effective management, maintenance and operation of the Premises for calendar year 2015, the Successor Agency and the Storm entered into that certain Second Amendment (2015) to Stadium Interim Management Agreement dated September 23, 2014 (the "Second Amendment"). E. The obligations set forth in the Interim Agreement, First Amendment, and Second Amendment have been included in prior Recognized Obligation Payment Schedules approved by the Successor Agency, the Oversight Board of the Successor Agency ("Oversight Board") and the Department of Finance ("DOF"). F. The Second Amendment will expire on December 31, 2015 and the parties desire to enter into this Third Amendment to provide for the efficient and cost effective management, maintenance and operation of the Premises for calendar year 2016. G. Capital repairs for 2016 of approximately $3,286,912, as included in this Third Amendment, reflect that the Stadium is twenty two (22) years old and in need of significant capital repairs, including, without limitation, replacement of Stadium seating, improvements to comply with revisions to the Americans with Disabilities Act, retrofitting of plumbing, Third Amendment to Sladium Interim Management Agl Final containment of run-off to comply with the National Pollutant Discharge System imposed by the Environmental Protection Agency, improvements to and replacement of the heating, ventilation and air condition (HVAC) system, repaving of the parking lots and replacement of old equipment. H. In accordance with AB 1484, a Recognized Obligation Payment Schedule will be adopted for the period from January I, 2016 through June 30, 2016 (herein referred to as the "ROPS 15-1613") and for all subsequent Recognized Obligation Payment Schedule periods. AB 1484 sets forth the review period and authority of DOF to review and approve Recognized Obligation Payment Schedules. I. On September 22, 2015, the Oversight Board and the Successor Agency will consider approval and adoption of the ROPS 15-16B which includes the obligations set forth in this Amendment and lists, among other things, as enforceable obligations of the Successor Agency, the following obligations related to the Premises as more fully described and referenced therein: (i) Concession License Agreement, as amended ("Concession Agreement"); (ii) License Agreement, as amended ("License Agreement'); (iii) Stadium Field and Maintenance Agreement, as amended ("Maintenance Agreement'); (iv) Stadium operations and maintenance obligations; and (v) The Stadium Interim Management Agreement. J. Following approval of the ROPS 15-16B by the Oversight Board and the Successor Agency, the ROPS 15-16B will be transmitted to the DOE for its review and approval. K. 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 seeks to provide for the continued efficient and cost effective management, maintenance and operation of the Premises for calendar year 2016 and to retain the Storm which possesses the experience and qualifications to carry out such continuing obligations on an interim basis so as to ensure that the "Lake Elsinore Storm," a single "A" baseball team which is a member of the California League of the National Association of Professional Baseball and owned by Storm LP, continue to play its home baseball games at the Stadium. L. In furtherance of the purpose and intentions of the parties as with respect to the Interim Agreement, the parties hereto agree to amend the Interim Agreement as provided herein. AGREEMENT NOW THEREFORE, in consideration of the foregoing Recitals and the terms contained herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties do hereby agree as follows: Third Amendment to Stadium hVenm Management Agt Pinar - 2 - I . Term of Agreement; Termination. Section 6 of the Interim Agreement, entitled "Term of Agreement; Termination," is hereby deleted in its entirety and replaced with the following: 6. Tenn of Agreement; Termination 6.1. Term. The term of the Interim Agreement (hereinafter the "Tenn") shall commence on the Effective Date and shall, unless earlier terminated in accordance with Sections 6.2, 19, or 20 hereof, automatically terminate on December 31, 2016. 6.2. Rights of Termination Prior to Corn men cement and Expiration of the Term (a) January 1, 2016 Termination. Successor Agency may terminate this Interim Agreement prior to the Commencement Date, by giving written notice thereof to the Storm no later than November 30, 2015. (b) June 30, 2016 Termination. Successor Agency may terminate this Interim Agreement effective as of June 30, 2016, by giving written notice thereof to the Storm no later than May 30, 2016. (e) Default. The Successor Agency and Storm shall have the right to terminate this Interim Agreement as a result of an uncured Default hereunder. Any such termination shall be made in accordance with Sections 19 or 20. (d) Party's Property and Offset. Upon termination of this Interim Agreement under this Section 6.2, all materials and equipment purchased by either party hereunder in connection with this Interim Agreement shall remain that party's properly. In addition, the Storm shall be entitled to an offset for all of the Storm's services rendered hereunder through the effective date of any such termination. (e) Effect of Termination. Notwithstanding the termination of this Interim Agreement pursuant to this Section 6.2, the provisions of Stadium Operations Contracts shall remain in full force and effect. 2. Compensation. Section 7 of the Interim Agreement, entitled "Compensation," is hereby deleted in its entirety and replaced with the following: 7. Compensation 7.1. Stadium Operations Contracts Compensation Recap. pursuant to the Stadium Operations Contracts, the Storm and/or the Successor Agency are entitled to compensation during the Term as follows: (a) 2016 License Fee: Under the License Agreement, the Storm is required to pay to the Successor Agency a License Fee in the amount of $497,297 for 2016. Third Amendment to Stadium interim Management Agt Final -3 - (b) Percentage of Concessions: Under the Concession Agreement, the Storm's affiliate, Golden State, is required to pay Successor Agency a percentage of the GRCS pursuant to Section 6 thereof (the "GRCS Concession Fee."). (c) Annual Maintenance Fee: Under the Maintenance Agreement, Successor Agency is required to pay Storm an Annual Maintenance Fee of $232,159 for 2016. 7.2. Storm Compensation January I, 2016 — December 31, 2016. Commencing upon the Commencement Date (January 1, 2016) and continuing through the expiration of the Term (December 31, 2016) and as consideration for the performance of the services set forth herein, the Storm shall be compensated as follows: (a) Assignment of GRCS Concession Fee. Successor Agency hereby assigns Successor Agency's right to payment of the GRCS Concession Fee under the Concession Agreement to the Storm during the Term, estimated at $34,000 annually; and (b) Waiver of License Fee. Successor Agency hereby waives Successor Agency's right to payment of the License Fee under the License Agreement during the Term as an offset against the payments due by the Successor Agency to the Storm hereunder; and (c) Payment of Maintenance Fee. Successor Agency shall continue to pay the Annual Maintenance Fee as identified in Section 7.1(d) (i.e., $232,159). (d) Payment of Additional Interim Management Fee. Successor Agency shall pay to Storm $445,589, payable in equal monthly installments ("Additional Interim Management Fee"). The Maintenance Fee along with the Additional Interim Management Fee will result total cash payment from the Successor Agency to the Storm of $667,752 as consideration for services provided under the Stadium Operations Contracts and this Interim Agreement, which aggregate amount shall be payable in equal monthly installments of $56,646. The Storm acknowledges and agrees that in no event will the Agency be required to provide the Storm with any other form of payment for performance of the services as provided in this Interim Agreement. The parties acknowledge that the historic operating costs of the Stadium equal or exceed the compensation due to Storm hereunder and that it is in each of the party's best interests to enter into this Agreement for the efficient use and operation of the Stadium. 3. Capital Repairs. Section 8 of the Interim Agreement, entitled "Capital Repairs," is hereby deleted in its entirety and replaced with the following: 8. Capital Repairs. Capital Repairs shall be governed by the applicable provisions of the Stadium Operations Contracts. A Capital Repair Schedule with estimated costs budgeted for ROPS 15-16B and 16-17A is set forth in Exhibit "C" attached hereto and incorporated by reference herein. Third Amendment to Stadium Interim Management Agt Final - 4,- The Successor Agency's Executive Director or designee (`Executive Director") will designate certain Capital Projects that shall be subject to the Department of Public Works' direct administration of the bid process and award of contract consistent with the applicable legal requirements. The Storm will undertake and complete such other Capital Repairs as set forth in Exhibit "C" as are mutually agreed. To the extent that The Storm undertakes such other Capital Repairs not undertaken by the Successor Agency, The Storm shall obtain not less than three (3) bids from qualified contractors unless otherwise excused by the Executive Director. Without limiting the Executive Director's discretion, the bidding requirement herein may be excused in situations involving emergencies and sole source contractors. In addition, The Storm acknowledges the general requirement that certain Capital Repairs are subject to the requirements of California Labor Code Section 1720, et seq., and 1770, et seq., as well as California Code of Regulations, Title 8, Section 16000, et seq., ("Prevailing Wage Laws"), which require the payment of prevailing wage rates with respect to certain capital improvements, repairs and maintenance work paid for in whole or in part out of public funds. Accordingly, The Storm agrees to, in the administrative of the bidding and contractor selection process, inform prospective bidders of the requirement to comply with the Prevailing Wage Laws. The Storm may confer with the Executive Director and seek direction with respect to whether or not a certain Capital Repair is subject to the Prevailing Wage Law. Prior to The Storm awarding a contract for a Capital Repair to a qualified contractor, the Executive Director shall: (i) confirm that The Storm has followed the proper bidding procedures for selection of a contractor; and (ii) approve the selection of the contractor and the form of any agreement between The Storm and the contractor. Upon completion of the Capital Repair (or a component thereof supporting a deposit or in -progress reimbursement), The Storm shall deliver to the Executive Director a written reimbursement request and supporting documentation (such as third party invoices, lien releases and cancelled checks). To the extent that the reimbursement request is for a completed Capital Repair, The Storm shall, if applicable, submit as -built drawings or similar plans and specifications for the items to be reimbursed. 4. Accuracy of Recitals. The Parties acknowledge the accuracy of the foregoing Recitals, which are incorporated herein by this reference. Third Amendment to Stadium Interim Management Agt Final - 5 - 5. Authority; Priority of Amendment. This Amendment is executed by the Parties' authorized representatives. Except as expressly modified herein, all of the terms of the Interim Agreement shall remain unchanged and in full force and effect, and the Parties shall continue to fulfill their respective obligations under the Interim Agreement as amended by this Amendment. To the extent of any conflict between the terms of the Interim Agreement and the terms of this Amendment, the terns of this Amendment shall control. 8. Captions. The captions appearing in this Amendment are for convenience only and are not a part of this Amendment and do not in any way limit, amplify, define, construe, or describe the scope or intent of the terms or provisions of this Amendment. 9. Counterparts. This Amendment may be executed in counterparts, each of which shall be deemed an original, and all of which together shall constitute but one and the same document. 10. Commencement Date. Unless earlier terminated in accordance with Section 6.2(a), the provisions of this Amendment shall commence on January 1, 2016 (the "Commencement Date"). Third Amendment to Stadium Interim Management Agt Final - 6 - IN WITNESS WHEREOF, the parties have executed this Amendment on the respective dates set forth below. "SUCCESSOR AGENCY" SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE Dated: By: Grant Yates, Executive Director ATTEST: SUCCESSOR AGENCY ACTING SECRETARY By: Diana Gir6n APPROVED AS TO FORM: LEIBOLD McCLENDON & MANN, P.C. Successor Agency Counsel By: Barbara Leibold "STORM" Dated: Third Amendment to Stad min Interim Management Agt Final - % LAKE ELSINORE STORM LP, a California limited partnership By: GJJ STORM MANAGEMENT, LLC, a California limited liability company Its: General Partner By: Gary E. Jacobs, Manager EXHIBIT "C" CAPITAL REPAIR SCHEDULE See Attached EXHIBIT "C" LAKE ELSINORE STORM -DIAMOND STADIUM CAPITAL REPAIR SCHEDULE THIRD AMENDMENT TO THE INTERIM MANAGEMENT AGREEMENT CAPITALREPAIR Reirofil FIVAC system Repaving parking lots A & B Stadium sealing Repaiming stadium green (teruaiuing steeland pipes) Diamond Club furniture Desen h ndscaping stadium Sewerl.ifi Station Concessions/Phimbiug Retio fit Diamond Cbnb Lights Home/visitor Locker Room Carpel Diamond Club Reliu'bishmenl Electrical Upgrade- Pan Zone Replace Wall Padding Stadium backstop netting Souvenir Lighting & Ceiling Tiles Flooring & Painting (Visitors side/Home Side/Press Box) Press Box renovation Toilets, Trash Cans, fables First Aid Room Upgrade Media Room Upgrade Bathroc rus (Epoxy - OPS/Family) Refurbish Counting Room Diamond Club Wood & Cabinet-lieOnish Security Room Carpet/Wood. Replacement Outfield Fencing Equipment Replacement: Forklift John Deere Pm Gator maintenance lolnil)eere Aerator Polaris Ranger Cleaning Cart Honda Plat Compactor Honda FC600 Walk Behind Tiller Two Generators Fairtendei Conditioners Shaft Blades (,unf Drive EXHIBIT "C" HOPS 15-168 ROPS 16-17A 103,234.06 $ - - 345,000.00 350,000.00 075,000.00 - 100,000.00 29,500.00 - - 40,000.00 350,000.00 - 230,500.00 275,000.00 22,000.00 - 30,000.00 - - 14,000.00 - 24,000.00 55,000.00 - 45,000.00 - 20,000.00 - 64,000.00 - 28,500.00 - 59,600.00 - 17,500.00 - - 12,00(1.00 - 21,000.00 16,000.00 - 14,000.00 - 4,667.00 15,000.00 - 30,000.00 27,500.00 19,800.00 - 15,000.00 - 15,000.00 - 3,010.00 2,150.00 2,100.00 4,050,14 7,000.00 $ 1,580,912.00 $ 1,706,000.00 gN7 4 p� ^ T� ate`- i W IIII M .� DEPARTMENT OF C'4C/F'CRNP F I N A N C E November 18, 2015 EDMUND G. BROWN JR, 91 5 L STREET ■ SACRAMENT. CA ■ 95B Mr. Jason Simpson, Director of Administrative Services City of Lake Elsinore 130 South Main Street Lake Elsinore, CA 92530 Dear Mr. Simpson: Subject: Objection of Oversight Board Action GOVERNOR W W W... F. CA..;Z The City of Lake Elsinore Successor Agency (Agency) notified the California Department of Finance (Finance) of its September 22, 2015 Oversight Board (OB) resolution on October 2, 2015. Pursuant to Health and Safety Code (HSC) section 34179 (h), Finance has completed its review of the OB action. Based on our review and application of the law, the Agency's OB Resolution No. OB -2015-004, related to the approval of the Third Amendment to the Stadium Interim Management Agreement between the Agency and the Lake Elsinore Storm, LP, is not approved. HSC section 34181 (e) allows an oversight board to determine whether any contract, agreement, or other arrangement between the dissolved redevelopment agency and private parties should be terminated or renegotiated to reduce liabilities and increase net revenues to the taxing entities. The oversight board is also allowed to approve any amendments to or early termination of those agreements if it finds that amendments or early termination would be the best interests of the taxing entities. This amendment, however, would increase the estimated Capital Repair Schedule costs by $1,921,912 to a total of $3,286,912, and therefore would not be in the best interests of the taxing entities. Although HSC 34171 (d) (1) (F) allows contracts or agreements necessary for the maintenance of assets prior to disposition, the type of costs identified in relation to the increased contract amount are capital repairs that go beyond the scope of maintaining the property, such as purchase of replacement stadium seating and equipment (e.g., Forklift and Polaris Ranger), media room upgrade, and Diamond Club wood and cabinet refinishing. As authorized by HSC section 34179 (h), Finance is returning your OB action to the board for reconsideration. Mr. Jason Simpson November 18, 2015 Page 2 Please direct inquiries to Cindie Lor, Supervisor, or Satveer Ark, Lead Analyst, at (916) 445-1546. Sincerely, t JJ)TYN O�VARD 'Program, udget Manager cc: Mr. Grant Yates, Executive Director, City of Lake Elsinore Ms. Pam Elias, Chief Accountant Property Tax Division, Riverside County !�K[. — II,SS) Agenda Date: 12/15/2015 In Control: Oversight Board Agenda Number: 5) City of Lake Elsinore Text File File Number: ID# 15-867 Version: 1 130 South Main Street Lake Elsinore, CA 92530 w .lake-elsinore.org Status: Approval Final File Type: Report City o/ Lake Elsinore Page 1 Printed on 1211412015 OVERSIGHT BOARD TO THE SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE TO: VICE CHAIR KELLEY AND MEMBERS OF THE OVERSIGHT BOARD FROM: BARBARA LEIBOLD, SUCCESSOR AGENCY COUNSEL DATE: DECEMBER 15, 2015 SUBJECT: LONG RANGE PROPERTY MANAGEMENT PLAN Recommendation It is recommended that the Oversight Board to the Successor Agency receive a status report and consider requested clarifications and revisions to the Long Range Property Management Plan for Successor Agency Properties. Background On October 22, 2013, the Oversight Board approved the Long Range Property Management Plan for Successor Agency Properties (LRPMP). A copy of the October 2013 staff report and the LMPMP are attached Discussion Following review of the LRPMP, the Department of Finance requested additional information, clarification and revision. Successor Agency staff is finalizing those discussions with the DOF and will present a summary to the Oversight Board at its December 15, 2015 meeting. Prepared by: Attachments: Barbara Leibold, Successor Agency Counsel October 22, 2013 OB Staff Report Long Range Property Management Plan AGENDA ITEM 3 . Page 1 OVERSIGHT BOARD TO THE SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE TO: CHAIRMAN WILLIAMS AND MEMBERS OF THE OVERSIGHT BOARD FROM: BARBARA LEIBOLD, SUCCESSOR AGENCY COUNSEL DATE: OCTOBER 22, 2013 SUBJECT: LONG RANGE PROPERTY MANAGEMENT PLAN Recommendation It is recommended that the Oversight Board to the Successor Agency adopt Resolution OB 2013-009, A Resolution of the Oversight Board to the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore Approving a Long Range Property Management Plan for Successor Agency Properties. Background On December 29, 2011, the California Supreme Court issued its decision in the California Redevelopment Association v. Matosantos case, finding ABx1 26 (the "Dissolution Act") largely constitutional. The Court's decision dissolved the Redevelopment Agency of the City of Lake Elsinore (the "Redevelopment Agency") along with all other redevelopment agencies in the state effective February 1, 2012. The City of Lake Elsinore (the "City") elected to be the "Successor Agency" to the former Redevelopment Agency in accordance with the Dissolution Act. On June 27, 2012, AB 1484 was signed by Governor Brown and took immediate effect. AB 1484 made technical and substantive amendments to the Dissolution Act and required successor agencies to conduct a due diligence review to determine the unobligated cash balances available for transfer to taxing entities in both the housing fund and all other non -housing funds of the former Redevelopment Agency. Both the housing fund and non -housing fund due diligence reviews have been completed and accepted by the State Department of Finance (DOF). As part of AB 1484, those agencies who have received approval of their due diligence reviews are granted a "Finding of Completion". On April 26, 2013, the DOF issued a Finding of Completion to the Successor Agency. Pursuant to Health and Safety Code Section 34191.5(b), within six months after receiving a Finding of Completion from the DOF, the Successor Agency is required to submit for approval to the Oversight Board and the DOF a Long Range Property Management Plan (Management Plan) that addresses the disposition and use of the real properties owned by the Successor Agency. AGENDA ITEM 3 Page 1 Long Range Property Management Plan October 22, 2013 Page 2 The Management Plan includes an inventory of all non -housing real property assets of the former Redevelopment Agency now held by the Successor Agency. The Management Plan does not include housing real property that was transferred to the City as Housing Successor. The properties acquired by the former Redevelopment Agency for low and moderate income housing purposes are exempt from the Management Plan and are not required to be disposed of pursuant to the requirements of AB 1484. The Successor Agency held a Study Session on October 8, 2013 discussing the forty eight (48) separate legal parcels owned by the Successor Agency and the proposed characterization of each property or grouping of parcels in the Management Plan. Discussion Overview of Management Plan: As of the date of dissolution, the former Redevelopment Agency owned 55 parcels, 7 of which were acquired for affordable housing purposes and are not addressed in this report or included as part of the Management Plan. In accordance with Section 34191.5(c)(1) of the California Health & Safety Code, the Management Plan includes an inventory of the remaining 48 parcels owned by the Successor Agency. The inventory consists of the following information: • The date of the acquisition of the property and the value of the property at that time, and an estimate of the current value of the property. • The purpose for which the property was acquired. • Parcel data, including address, lot size, and current zoning in the former agency redevelopment plan or specific, community, or general plan. • An estimate of the current value of the parcel including, if available, any appraisal information. • An estimate of any lease, rental, or any other revenues generated by the property, and a description of the contractual requirements for the disposition of those funds. • The history of environmental contamination, including designation as a brownfield site, any related environmental studies, and history of any remediation efforts. • A description of the property's potential for transit -oriented development and the advancement of the planning objectives of the successor agency. • A brief history of previous development proposals and activity, including the rental or lease of property. AGENDA ITEM 3 Page 2 Long Range Property Management Plan October 22, 2013 Page 3 The Management Plan also addresses the proposed use or disposition of all of the properties within one of four categories as follows: • Governmental Purpose Use — properties used for a governmental purpose such as roads, school buildings, parks, police and fire stations, libraries, and local agency administrative buildings to be retained by the Successor Agency or conveyed to the City or appropriate public agency • Enforceable Obligation Use - properties to be held by the Successor Agency to fulfill an enforceable obligation • Properties to be Held for Future Development — properties to be transferred to the City for future development for a project identified in an approved redevelopment plan and for advancement of the planning objectives of the Successor Agency • Properties to be Sold — properties to be sold for development in a manner consistent with the Dissolution Act and the proceeds from the sale distributed as property tax to the taxing entities The Management Plan separately identifies and lists properties dedicated to governmental use and properties retained for purposes of fulfilling an enforceable obligation (HSC Section 34191.5(c)(2)). Property designated for governmental purpose can be transferred to the City for that purpose in accordance with any existing agreements. Properties transferred to a private or public agency may be subject to compensation requirements and distribution of income to affected taxing entities in proportion to their respective property tax shares. If a property is not being used for a governmental purpose (per HSC Section 34181(a)) and will not be used to pay enforceable obligations, but instead will be used or liquidated to complete a project in an approved redevelopment plan, then the property must be transferred to the City per HSC Section 34191.5(c)(2)(A). After the transfer is complete, the City may determine how to use the asset. Properties shall not be transferred to a city, county, or city and county, unless the Management Plan has been approved by the Oversight Board and the Department of Finance. Summary of Management Plan: The Management Plan indicates that eighteen (18) parcels should be transferred to the City for a governmental use and that three (3) parcels should be retained by the Successor Agency to satisfy enforceable obligations. The remaining twenty seven (27) parcels are recommended for sale either immediately or in the future, with the proceeds to be used to pay enforceable obligations or distributed to the taxing entities. Of the properties to be sold, the Management Plan states that twenty two (22) properties are to be held for future development pursuant to a Request for Proposal (RFP) process in order to advance the planning objectives of the City and the Redevelopment Plans. The remaining five (5) properties are to be sold upon approval by the Department of Finance of the Management Plan. AGENDA ITEM 3 Page 3 Long Range Property Management Plan October 22, 2013 Page 4 Properties to be Retained for Governmental Use: The Successor Agency considers the properties listed below to be dedicated to governmental purposes. The Management Plan includes a detailed discussion about each property and why it should be retained as a governmental purpose property. The Management Plan recommends that title to these properties be transferred to the City so that they can be retained by the City for the appropriate governmental purpose. • Lake Elsinore Senior Activities Center • Lake Elsinore Cultural Center • Downtown Parking/Alley (6 parcels) • Conservation Easement (2 parcels) • Floodway (2 parcels) • Gazebo Property/Historic Preservation • Cultural Center Parking/Business Incubator Properties (5 parcels) Properties to be Retained for Purposes of Fulfilling an Enforceable Obligation: The Management Plan must separately identify and list properties retained for purposes of fulfilling an enforceable obligation (HSC Section 34191.5(c)(2)). Only the two properties comprised of three individual legal parcels owned by the Successor Agency as listed below are subject to enforceable obligations: • Exchange Parcel to be Conveyed pursuant to Summerly DDA • Lake Elsinore Diamond Stadium (2 parcels) The former Redevelopment Agency of the City of Lake Elsinore entered into an Amended and Restated Disposition and Development Agreement dated as of March 8, 2011 with McMillin Summerly LLC and Civic Partners -Elsinore LLC (Summerly DDA). The Summerly DDA has been listed as an enforceable obligation on each Recognized Obligation Payment Schedule (ROPS) submitted by the Successor Agency. The Summerly DDA requires the conveyance of the Exchange Parcel, subject to a number of conditions set forth in the DDA. The Lake Elsinore Diamond Stadium is currently subject to five (5) contracts which constitute enforceable obligations of the Successor Agency and were listed on previous ROPS (as applicable) as well as on lines 29 through 33 of the ROPS 13-14B. Further, the Diamond Stadium property was donated to the Agency subject to a restrictive covenant requiring the property to be developed and operated as a professional minor league baseball stadium. As a result, the Diamond Stadium is required to be retained by the Successor Agency to fulfill its enforceable obligations under the Stadium Operations Contracts and the covenant that the property be operated as a baseball stadium. AGENDA ITEM 3 Page 4 Long Range Property Management Plan October 22, 2013 Page 5 Properties To Be Held for Future Development: If a property is not being used for a governmental purpose (per HSC Section 34181(a)) and will not be used to satisfy enforceable obligations, but instead will be used or liquidated to complete a project in an approved redevelopment plan, then the property must be transferred to the City per HSC Section 34191.5(c)(2)(A). After the transfer is complete, the City may determine how to use the asset. The Management Plan lists twenty two (22) properties as held for future development subject to an RFP process in order to advance the planning objectives of the City and the Redevelopment Plan. The Management Plan discusses the potential for each parcel. The proceeds from the sale of these properties will either be used to pay enforceable obligations or be distributed as property tax to the taxing entities. Properties to be Sold and the Proceeds from the Sale distributed as Property Tax to the Taxing Entities: The Management Plan lists five (5) properties to be sold upon approval by the Department of Finance of the Management Plan. The proceeds from the sale of these properties will be distributed as property tax to the taxing entities. Further Actions: Following approval by the Successor Agency and the Oversight Board, the Management Plan will be submitted to the DOF. There is no time frame specified by AB 1484 for DOF's review and approval of the Management Plan. Fiscal Impact Approval of the Management Plan will have no immediate fiscal impact on the Successor Agency. Costs associated with conveyance of properties to the City will include document recordation and processing. The actual costs are unknown at this time. Costs associated with the proposed merger of properties and the conveyance of properties to private entities will include City processing and recording fees, appraisal fees, RFP preparation, document preparation, escrow, title, legal and recording fees. The Successor Agency's share of these costs will be paid for from the proceeds of the sales. The balance of the property sale proceeds will be allocated to pay enforceable obligations or paid to the County for distribution to affected taxing entities. Prepared by: Barbara Leibold, City Attorney/Successor Agency Counsel Attachments: Resolution No. OB -2013-009 Successor Agency Property List and Maps Long Range Property Management Plan DOF Checklist Long Range Property Management Plan — distributed under separate cover to the Oversight Board and available for public review at the City Clerk's office AGENDA ITEM 3 Page 5 TABLE OF CONTENTS A. Overview of Properties Introduction List of Properties Map of Properties B. Governmental Purpose Properties Map of Governmental Purpose Properties Parcels #1 & #2 - Conservation Easements Parcels #3 through #7 — Cultural Center/Downtown Parking Parcels #13 & #16 — Floodway Parcels Parcel #17 — Senior Activities Center Parcel #24 — Historic Preservation Parcel #37 — Cultural Center Parcels #38 & #39 — Downtown Parking Parcel #40 — Downtown Parking Parcel #41 - Downtown Parking Parcel #42 — Downtown Parking Parcel #43— Downtown Parking C. Enforceable Obligation Use Map of Enforceable Obligation Use Properties Parcel #12 — Exchange Parcel per DDA Parcels #14 & #15 — Lake Elsinore Diamond Stadium D. Properties to be Held For Future Development Map of Properties To Be Held for Future Development Parcels #18 through #21 — Pottery/Spring (adjacent to Flood Control Channel) Parcels #25 through #36 — Spring Street (adjacent to Flood Control Channel) Parcels #44 through #48 — Spring/Limited Parcel #56 — Silver/Minthorn E. Properties to be Sold Map of Properties To Be Sold Parcels #8 & #11 — Franklin & Ellis Parcels #9 & #10 — Franklin & Ellis Parcel #57 — Sumner & Ellis INTRODUCTION On December 29, 2011, the California Supreme Court issued its decision in the California Redevelopment Association v. Matosantos case, finding ABx1 26 (the "Dissolution Act") largely constitutional. The Court's decision dissolved the Redevelopment Agency of the City of Lake Elsinore (the "Redevelopment Agency") along with all other redevelopment agencies in the state effective February 1, 2012. The City of Lake Elsinore elected to be the "Successor Agency" to the former Redevelopment Agency in accordance with the Dissolution Act. On June 27, 2012, Governor Brown signed into law Assembly Bill 1484 that made technical and substantive amendments to the Dissolution Act. One of the key components of AB 1484 is the requirement that the Successor Agency submit for approval to the Oversight Board and the Department of Finance (DOF) a Long Range Property Management Plan (Management Plan) that governs the disposition and use of all non -housing real properties owned by the Successor Agency. As of the date of dissolution, the former Redevelopment Agency owned 48 parcels which are inventoried in this Management Plan in accordance with Section 34191.5(c)(1) of the California Health & Safety Code. The inventory consists of the following information: • The date of the acquisition of the property and the value of the property at that time, and an estimate of the current value of the property. • The purpose for which the property was acquired. • Parcel data, including address, lot size, and current zoning in the former agency redevelopment plan or specific, community, or general plan. • An estimate of the current value of the parcel including, if available, any appraisal information. • An estimate of any lease, rental, or any other revenues generated by the property, and a description of the contractual requirements for the disposition of those funds. • The history of environmental contamination, including designation as a brownfield site, any related environmental studies, and history of any remediation efforts. • A description of the property's potential for transit -oriented development and the advancement of the planning objectives of the successor agency. • A brief history of previous development proposals and activity, including the rental or lease of property. The Management Plan includes a map of each of the Successor Agency properties followed by individual property data sheets, parcel maps, aerials and photographs depicting each of the properties. 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Mmmmme vvva<r �rvvv�n .n �n �n u� Governmental Purpose Use — properties used for a governmental purpose such as roads, school buildings, parks, police and fire stations, libraries, and local agency administrative buildings to be retained by the Successor Agency or conveyed to the City or appropriate public agency The Successor Agency's Governmental Purpose properties include a senior activities center, a cultural center, conservation and floodway properties, a historic site and 11 parcels comprising approximately 2.21 acres of downtown public parking. A map of the properties followed by individual property data sheets, parcel maps, aerials and photographs depicting each of the Governmental Purpose properties listed below are included in this Section. Parcel # references correspond to the Maps. Governmental Purpose Properties: Parcels #1 & #2 - Conservation Easements Parcels #3 through #7 — Cultural Center/Downtown Parking Parcels #13 & #16 — Floodway Parcels Parcel 417 — Senior Activities Center Parcel #24 — Historic Preservation Parcel #37 — Cultural Center Parcels #38 & #39 — Downtown Parking Parcel #40 — Downtown Parking Parcel #41 - Downtown Parking Parcel #42 — Downtown Parking Parcel #43— Downtown Parking 5� �241!U4f�5k f� GI?U v N0 9w 13 UTO�\ Cn BANCRO6 ��7 4�!ft..... 4! ROGL'R f 42 rnr3n �- , p1 V �'` \�.�A,�� Y�yV/� �• N Q4'l ri9CJsL.. .. ! V /G ACACIA -IAKE .. a W W w \ �. / ..._ �' PARK W a 17 �� !'FKGSfi01 7gyL0� 13< 2 A 0 N `P r 0 0-125 0.25 MILES 1 1 SOURCES: CITY OF LAKE ELS INORE, COUNTY OF RIVERSIDE CITY OF LAKE ELSINORE LADE 61 LSFK)R � � � SUCCESSOR AGENCY PROPERTIES �� PROPERTIES TO BE RETAINED FOR GOVERNMENT PURPOSE Map ID #1 & #2: .._.._-.__._.._-- Governmental Purpose — Conservation Easement APN: --it : 371-030-024 ._ #2: 373-030-051 Address: Vacant land Lot Size: #1:.14 acres #2: 5.02 acres _ Land Use/Zoning: Eastlake Specific Plan; Open Space The Parcels provide mitigation for development impacts of the East Lake Specific Plan pursuant to requirements of the ACOE Section 404 Permit No. 2004-00748-RRS (the "Section 404 Permit") and CDFG Section 1602 Streambed Alteration Agreement No. 1600-2004-0130-R6 ("Section 1600 Agreement"). The Conservation Easements are granted to satisfy Special Condition D of the Section 404 Permit and Condition 12 of the Section 1600 Agreement. Pursuant to the Conservation Easement, the properties are and will be preserved in their natural, scenic, open condition to maintain its ecological, historical, visual and educational values (collectively, "Conservation Values"). The Conservation Values are consistent with the habitat conservation purposes of the Western Riverside County Multiple Species Habitat Conservation Plan ("MSHCP"). Acquisition Date (AD): Unknown Acquisition Purpose: Properties were likely acquired as part of the Lake Management Project, Purchase Price/Value @ AD: Unknown Est. Current Value: Unknown Est. revenues & contract None obligations re revenues: Environmental Unknown Contamination History: Potential transit oriented No development potential. development (TOD) and advancement of Successor _Agency tannin ob'ectives: History Previous A portion of the properties are subject to a Grant of Easement by the Development Successor Agency to McMillin Summerly LLC for golf cart access, Proposals/Activity: maintenance and utility. This easement was contemplated as part of the Summerly Project entitlements and is essential to the operation of the Golf Course and consistent with the conservation easement affecting the balance of these and adjacent City -owned properties, Proposed Use/Disposition: The properties should be retained for Governmental Purpose and conveyed to the City of Lake Elsinore subject to the Conservation Easement in favor of Western Riverside County Regional Conservation Authority (RCA) and subject to that portion affected by the access, maintenance and utility easement in favor of McMillin Summerly. Habitat conservation/mitigation and flood storage are governmental purposes pursuant to Section 1600 of the California Fish and Game Code, Section 404 of the Clean Water Act, the California Environmental Quality Act and the MSHCP. Notes: In accordance with applicable laws, permits and agreements, the Conservation Easement affecting these and adjacent City -owned properties has been submitted for approval by the RCA and ACCE. `i M { lye • X13, p 5 J� Yi W .•t s to CY W +i � �� is •' �� � � t> t ux N �k t R �.S s 0 4� v E 0 w c 0 a� c 0 U I N �k Map ID #3, #4 #5 #6 & #7: Governmental Purpose — Cultural Center/Downtown Parking APNs — #3:373-023-011 #4:373-023-012 #5: 373-023-015 #6:373-023-024 #7:373-023-025 #5 — 132 E. Heald, Lake Elsinore Address: #6 — 154 N. Main, Lake Elsinore #7— 150 N. Main, Lake Elsinore Lot Size: #3 - .13 acre 44- .16 acre #5 - .19 acre #6 — 1.06 acre #7 - .12 acre Land Use/Zoning: Downtown Master Plan #3; #4; #5 High Density Residential; #6; #7 Commercial Mixed Use Acquisition Date (AD): 3/20/09 Acquisition Purpose: Business Incubator / Lake Elsinore Technology Center Site Purchase Price/Value @ AD: $1,238,000 Est. Current Value: Unknown Est. revenues & contract None obligations re revenues: Environmental Phase I environmental assessment conducted in 2009 — no history of Contamination History: environmental contamination. Potential transit oriented The property is located at the boundary of the Cultural and Historic development (TOD) and Districts of the Downtown Master Plan across from the Cultural Center advancement of Successor as part of the "Key to Downtown" Implementation Plan. These planning Agency planning objectives: tools were funded in part by the former Redevelopment Agency and federal and state grants. Development and rehabilitation pursuant to the Downtown Master Plan and implementing documents are important goals and objectives of the former Redevelopment Agency under the Redevelopment Plan for the Rancho Laguna Redevelopment Project Area No. I and the Agency's 2009-2014 Redevelopment & Housing Implementation Plan, History Previous Prior to acquisition by the Agency in 2009, the property was leased by Development the Agency for public parking for the Cultural Center and other Proposals/Activity: downtown uses. The property has for more than 20 years and continues to be the designated parking area for all public meetings conducted at the Cultural Center. The property was acquired for the Business Incubator/Lake Elsinore Technology Project which was subsequently tabled in the wake of the Dissolution Act and loss of tax increment funds. Prior to the dissolution of the Redevelopment Agency, plans were prepared and approved for parking lot improvements to the property as an interim improvement pending construction funding for the Business Incubator/Lake Elsinore Technology Center Project. Proposed Use/Disposition: The Site is strategically located across from the Cultural Center and offers public parking critical to the success of the downtown and the viability of the Cultural Center as the City's meeting facility. Public parking in the Historic Downtown District is essential to achieving the overall redevelopment goals of revitalizing the downtown area consistent with the Redevelopment Plan for the Rancho Laguna Redevelopment Project No. I and the Downtown Master Plan. The implementation of the Downtown Master Plan and the acquisition, rehabilitation and expansion of downtown parking are projects listed in the Redevelopment Plan for the Rancho Laguna Redevelopment Project Area No. I and the Agency's 2009-2014 Redevelopment & Housing Implementation Plan. The Business Incubator/Lake Elsinore Technology Center Project is also identified in the Agency's 2009-2014 Redevelopment & Housing Implementation Plan as an Agency project in the Rancho Laguna Redevelopment Project Area No.1. Although the dissolution of the Redevelopment Agency and consequential loss of tax increment funding led to the suspension of this project, the parcels should be retained for governmental purpose and conveyed to the City to complete the interim parking improvements and to conduct land use study and feasibility analyses consistent with the Downtown Master Plan to optimize development of the property while ensuring continuity of downtown/Cultural Center parking. Notes! As part of the land use and feasibility study, the City should evaluate whether the parcels should be merged into a single parcel to promote a cohesive development opportunity. Consideration should also be given to whether the parcels should be designated as "Public/Institutional." d N , ,?M t� 50CW � b h + ,2(r•,a � i 5`S 5 n r w� ,�� ,� � is � i• `� � ' n .1 � 'e � t �: IB p2�•t- Baa � ^M i AVFN U£ �. Oz� s r.P® «''�'® �� 18 IB N 10 t9 id � r3 }e m yy PFCK zi •� i .. i � _ J � � � 0 0 g 10 tF } $° 8B 19 it �a 8 : �2�•.... ' — � i r c E CL 0 cu a� 0 L 0 LL cu Map ID #13 & #16: Y Governmental Purpose - Floodway`� APN: #13: 373-210-032 #16:373-210-045 Address: N/A Lot Size: #13: 2.37 acres #16: 5.74 acres Land Use/Zoning: Floodway; Inlet Channel Acquisition Date (AD): Unknown. At least a portion of the properties were acquired on 1/31/94. Acquisition Purpose: Redevelopment Purpose Consistent with Diamond Stadium, 404 Permit conditions and Lake Elsinore Management Project - Inlet Channel Purchase Price/Value @ AD: Unknown. Parcel #13 was part of a 36.99 acre property acquisition by the Agency for $1,149,933.65. Based on per acre cost, the purchase price for this property was approximately $73,678. It is unknown whether Parcel #16 was included in this or a separate acquisition. Est. Current Value: Unknown. Based upon County Tax Assessor records, assessed value = #13 (373-201-032): $17,601 #16 373-210-045: $ 1,701 Est. revenues & contract None obligations re revenues: Environmental Unknown Contamination History: Potential transit oriented These properties are located within the Floodway and have no development (TOD) and development potential, advancement of Successor Agency planning objectives: History Previous Inlet Channel, Lake Elsinore Management Project Development Proposals/Activity: Proposed Use/Disposition: The properties should be retained for Governmental Purpose and conveyed to the City of Lake Elsinore for ongoing maintenance consistent with Lake Management Project and Final Mitigation Plan. Notes: These Floodway Parcels are part of the Inlet Channel and cannot be developed. LD rH 4t W rH U N Jt c _ a vov�byy � �lY JUd n E bad'wj t S+'Mh_t � t 1 l � 011 ✓� �. 1 Y 4 s3 r {S � Y W 'L - 5Zr4W yyd tO �Yfll t � `t ----------- ••HNis H til mora _. r � � i �tiv✓ ave >' t14 i3�#i' � 1 38 LD rH 4t W rH U g Gly � i w Jr. Map ID #17: Governmental Purpose - Lake Elsinore Senior Activities Center APN: 373-300-027 Address: 420 East Lakeshore Drive, Lake Elsinore Lot Size: 2.64 acres; 114,998 sq. ft. Land Use/Zoning: Public Institutional - Lake Elsinore Senior Activities Center Acquisition Date (AD): December 1982 Acquisition Purpose: — -- - - — Rancho Laguna Redevelopment Project Area No. 1 was established in response to severe flooding in early 1980 which caused millions of dollars of damage and threatened public health and safety. This property was damaged in the 1980 flood. While FEMA acquired adjacent flooded properties, this property remained in private ownership until it was acquired by the Agency for redevelopment purposes in December 1982 in an effort to mitigate the blighted conditions of flood damaged properties. After acquisition by the Agency, the buildings were renovated and converted to the community's Senior Activities Center. Purchase Price/Value @ AD: Unknown Est. Current Value: Unknown. Based upon County Tax Assessor records, assessed value = $124,149 (Land Value $48,890; Improvement value $75,259). However, like most governmental purpose properties, the property is a negatively performing asset with ongoing costs of operation/maintenance/repair. Est, revenues & contract None obligations re revenues: Environmental Unknown Contamination History: Potential transit oriented The majority of the property is located within the 500 year flood zone development (TOD) and and adjacent to Lakepoint Park which is restricted to open space use, advancement of Successor The parcel cannot support the density required nor is it located adjacent Agency planning objectives: to transit centers necessary to support TOD. The Senior Activities Center is consistent with the Agency's planning objectives. History Previous The existing structures were built in 1971. After acquisition by the Development Agency, the flood damaged structures were renovated and converted to Proposals/Activity: the Lake Elsinore Senior Activities Center. The property is designated as "Public Institutional" in the City's General Plan and Zoning Map and incorporated as such in the Amended and Restated Redevelopment Plan for the Rancho Laguna Redevelopment Project Area I. There are no other applicable development proposals or activity. Proposed Use/Disposition: The Senior Activities Center is an important public recreational and cultural resource. The property should be retained for Governmental Purpose and conveyed to City of Lake Elsinore for ongoing operation as the Senior Activities Center. Administrative and recreational uses are permissible governmental purposes (see for example, Gov't Code Section 37361; Education Code Section 10902). Notes: While the property was acquired by the Redevelopment Agency and title is vested accordingly, the City of Lake Elsinore has historically paid for all operating and maintenance expenses of the Senior Activities Center as a municipal facility. pI�1 1� a t.YtP r "iy x;a iu .. W ry-t W ry-t ryp } i.: V O cu r -I Map ID #24: Governmental Purpose - Historic Preservation APN: 374-162-036 Address: N/A Lot Size: .53 acres Land Use/Zoning: Medium Density Residential Acquisition Date (AD): 07/19/89 Acquisition Purpose: Unknown Purchase PriceNalue @ AD: Unknown Est. Current Value: Unknown Est. revenues & contract None obligations re revenues: Environmental Unknown Contamination History: Potential transit oriented Not appropriate for TOD. Future use should recognize the historic development (TOD) and significance of the existing gazebo structure and be compatible with the advancement of Successor City's Riverwalk. Agency planning objectives: History Previous Based on information provided by the Lake Elsinore Historical Society, Development Mrs. Mary Julia Ledlie McDonald commissioned Mr. Graham to drill Proposals/Activity: wells in different locations of Elsinore. A fresh water well at a depth of some 200 feet was discovered on this property at the corner of Heald and Riley Streets. Sometime around 1931, Mrs. McDonald had a' gazebo building erected to cover the water fountain and a flower garden planted around the structure. Mrs. McDonald wanted the public to freely drink from the fresh water fountain and fill their water bottles. The Historical Society has prepared a Historic Landmark Application to ensure the preservation of the gazebo and historically significant property. No other development exists on the site. Proposed Use/Disposition: The parcel should be conveyed to the City for governmental purpose and further evaluation of the historical significance of the gazebo and potential development. Historic preservation and park/recreation uses are permissible governmental purposes (see for example, Gov't Code Section 37361). Notes: Additional research will assist the City/Successor Agency in determining the appropriate use of this parcel consistent with its historical significance and proximity to the City's Riverwalk. 91 NIM � � \: . � \ � C: 0 4_ L N Q) L U 0 4- Q) N 0 0- CL n. Q) C L > /0 V N Map ID #37: – Governmental Purpose – Lake Elsinore Cultural Center APN: 374-173-005 — Address: 183 North Main Street, Lake Elsinore Lot Size: .17 acres/7,500 sq. ft. v Land Use/Zoning: Public Institutional – Lake Elsinore Cultural Center Acquisition Date (AD): 05/04/92 Acquisition Purpose: This property was acquired for governmental purposes from the Methodist Episcopal Church. The purchase evidenced the Agency's investment in and commitment to the historic downtown area, providing an assembly hall for City Council and Commission meetings and other civic gatherings, while preserving the historically significant structure. Purchase Price/Value @ AD: $189,000 Est. Current Value: Unknown. However, like most governmental purpose properties, the property is a negatively performing asset with ongoing costs of operation/maintenance/repair. Est. revenues & contract The Lake Elsinore Historical Society leases the basement of the obligations re revenues: Cultural Center for $1/year for use as a historical museum. The remaining lease term expires January 2017, Environmental Unknown Contamination History: Potential transit oriented The property is not near transportation nodes and is already developed; development (TOD) and thus, not capable of supporting the density associated with TOD. The advancement of Successor existing governmental use is consistent with the Agency's land use Agency planning objectives: objectives. The property is located at the boundary of the Cultural and Historic Districts of the Downtown Master Plan and is included in the "Key to Downtown" Implementation Plan. These planning tools were funded in part by the former Redevelopment Agency and federal and state grants. Development and rehabilitation pursuant to the Downtown Master Plan and implementing documents are important goals and objectives of the former Redevelopment Agency under the Redevelopment Plan for the Rancho Laguna Redevelopment Project Area No. I and the Agency's 2009-2014 Redevelopment & Housing Implementation Plan. History Previous Prior to the Agency's acquisition in 1992, the building was operated as Development a church. The building is now designated as the Lake Elsinore Cultural Proposals/Activity: Center. All City Council, Planning Commission and Public Safety Advisory Commission meetings are held at the Cultural Center as are other municipal meetings and events. The building is presently undergoing a seismic retrofit. There are no other applicable development proposals or activity. Proposed Use/Disposition: The Cultural Center is a significant cultural resource to the community. The property should be retained for Governmental Purpose and conveyed to City of Lake Elsinore for ongoing operation as the Lake Elsinore Cultural Center. Historic preservation and government administrative uses are permissible governmental purpose (see for example, Gov't Code Section 37361). Notes: While the property was acquired by the Redevelopment Agency and title is vested accordingly, the City of Lake Elsinore has historically paid for all operating and maintenance expenses of the Cultural Center as a municipal facility. �s r ' ,VIYi4 I E a n ,6 N €r j s i u F m Map ID #38 & #39: Governmental Purpose - Downtown parking/alley — AP N: #38: 374-174-014 #39: 374-174-015 Address: 114 W. Peck St., Lake Elsinore Lot Size: #38:.05 acres #39:.14 acres Land Use/Zoning: The property is improved as downtown parking and alleyway/service delivery to Main Street properties. The property is designated General Commercial in the Downtown Master Plan. Acquisition Date (AD): #38: 01/02/91 #39:01/02/91 Acquisition Purpose: Unknown Purchase Price/Value @ AD: $150,000 Est. Current Value: Unknown. However, like most governmental purpose properties, the property is a negatively performing asset with ongoing costs of operation/maintenance/repair. Est. revenues & contract None obligations re revenues: Environmental Unknown Contamination History: Potential transit oriented Public parking in the Historic Downtown District is essential to achieving development (TOD) and the overall redevelopment goals of revitalizing the downtown area advancement of Successor consistent with the Redevelopment Plan for the Rancho Laguna Agency planning objectives: Redevelopment Project No. I and the Downtown Master Plan. The implementation of the Downtown Master Plan and the acquisition, rehabilitation and expansion of downtown parking are projects listed in the Redevelopment Plan for the Rancho Laguna Redevelopment Project Area No. I and the Agency's 2009-2014 Redevelopment & Housing Implementation Plan. No opportunities for TOD are present. History Previous The property is improved as parking, alleyway and service delivery to Development Main Street properties. The property has no development potential. Proposals/Activity: Proposed Use/Disposition: The properties should be retained for Governmental Purpose and conveyed to City of Lake Elsinore for ongoing maintenance for downtown public parking. The land use designation should be changed to "Public Institutional" to match the existing and intended future use of the property. Maintenance and operation of public parking lots are permissible governmental purposes (see for example, Streets & Highways Code Section 32501). Notes: While the property was acquired by and title is vested in the Agency, the City of Lake Elsinore has historically paid operating and maintenance expenses for all public downtown parking. rs N/Yyy i ot .3 sin a ,,i, o A �£ cA J ( CO 00 _ x M �# IS s r Y HY153.NY7 b.0 �o L 0 4- 0 m C-6 00 m Map ID #40: Governmental Purpose - Downtown parking/alley APN: 374-262-003 Address: 118 W. Graham Ave., Lake Elsinore Lot Size: .09 acres Land Use/Zoning: The property is improved as downtown parking and alleyway/service delivery to Main Street properties. The property is designated General Commercial in the Downtown Master Plan. Acquisition Date (AD): 01/22/90 Acquisition Purpose: Unknown Purchase Price/Value @ AD: $79,500 Est. Current Value: Unknown. However, like most governmental purpose properties, the property is a negatively performing asset with ongoing costs of operation/maintenance/repair. Est. revenues & contract None obligations re revenues: Environmental Unknown Contamination History: Potential transit oriented Public parking in the Historic Downtown District is essential to achieving development (TOD) and the overall redevelopment goals of revitalizing the downtown area advancement of Successor consistent with the Redevelopment Plan for the Rancho Laguna Agency planning objectives: Redevelopment Project No. I and the Downtown Master Plan. The implementation of the Downtown Master Plan and the acquisition, rehabilitation and expansion of downtown parking are projects listed in the Redevelopment Plan for the Rancho Laguna Redevelopment Project Area No. I and the Agency's 2009-2014 Redevelopment & Housing Implementation Plan. No opportunities for TOD are present. History Previous The property is improved as downtown parking, alleyway and service Development delivery to Main Street properties. The property has no development Proposals/Activity: potential. Proposed Use/Disposition: The property should be retained for Governmental Purpose and conveyed to City of Lake Elsinore for ongoing maintenance for downtown public parking. The land use designation should be changed to "Public Institutional" to match the existing and intended future use of the property. Maintenance and operation of public parking lots are permissible governmental purposes (see for example, Streets & Highways Code Section 32501), Notes: While the property was acquired by and title is vested in the Agency, the City of Lake Elsinore has historically paid operating and maintenance expenses for all public downtown parking. Map ID #41: _ Governmental Purpose — Downtown parking/alley APN: 374-262-004 e Address: 110 W. Graham Ave, Lake Elsinore Lot Size: .09 acres Land Use/Zoning: The property is improved as downtown parking and alleyway/service delivery to Main Street properties. The property is designated General Commercial in the Downtown Master Plan. Acquisition Date (AD): 06/19/09 _ AcquisitionPurpose: .------------ -----Acquisition Downtown Public Parking Purchase PriceNalue @ AD: $42,262.55 Est. Current Value: Unknown. However, like most governmental purpose properties, the property is a negatively performing asset with ongoing costs of operation/maintenance/repair. Est. revenues & contract None obligations re revenues: Environmental Unknown _ Contamination History: Potential transit oriented Public parking in the Historic Downtown District is essential to achieving development (TOD) and the overall redevelopment goals of revitalizing the downtown area advancement of Successor consistent with the Redevelopment Plan for the Rancho Laguna Agency planning objectives: Redevelopment Project No. I and the Downtown Master Plan. The implementation of the Downtown Master Plan and the acquisition, rehabilitation and expansion of downtown parking are projects listed in the Redevelopment Plan for the Rancho Laguna Redevelopment Project Area No. I and the Agency's 2009-2014 Redevelopment & Housing Implementation Plan. No opportunities for TOD are present. History Previous The property is improved as downtown parking, alleyway and service Development delivery to Main Street properties. The property has no development Proposals/Activity: potential. Proposed Use/Disposition: The property should be retained for Governmental Purpose and conveyed to City of Lake Elsinore for ongoing maintenance for downtown public parking. The land use designation should be changed to 'Public Institutional" to match the existing and intended future use of the property. Maintenance and operation of public parking lots are permissible governmental purposes (see for example, Streets & Highways Code Section 32501). Notes: The property was acquired by the Agency from the County of Riverside as tax -defaulted property. The purchase price was paid by the Agency but the original tax deed vested title in the City of Lake Elsinore. A corrected Deed conveying title to the Agency was recorded on 10/23/09. While the property was acquired by and title is vested in the Agency, the City of Lake Elsinore has historically paid operating and maintenance expenses for all public downtown parking. Map 1D #42: �^ Governmental Purpose — Downtown parking/alley APN: 374-262-010 Address: N/A Lot Size: .14 acres Land Use/Zoning: The property is improved as downtown parking and alleyway/service delivery to Main Street properties. The property is designated General Commercial in the Downtown Master Plan. Acquisition Date (AD): 04/79 Acquisition Purpose: Unknown Purchase PriceNalue Q AD: $12,500 Est. Current Value: Unknown. However, like most governmental purpose properties, the property is a negatively performing asset with ongoing costs of operation/maintenance/repair. Est. revenues & contract None obligations re revenues: Environmental Unknown Contamination History: Potential transit oriented Public parking in the Historic Downtown District is essential to achieving development (TOD) and the overall redevelopment goals of revitalizing the downtown area advancement of Successor consistent with the Redevelopment Plan for the Rancho Laguna Agency planning objectives : Redevelopment Project No. I and the Downtown Master Plan. The implementation of the Downtown Master Plan and the acquisition, rehabilitation and expansion of downtown parking are projects listed in the Redevelopment Plan for the Rancho Laguna Redevelopment Project Area No. I and the Agency's 2009-2014 Redevelopment & Housing Implementation Plan. No opportunities for TOD are present. History Previous The property is improved as downtown parking, alleyway and service Development delivery to Main Street properties. The property has no development Proposals/Activity: potential. Proposed Use/Disposition: The property should be retained for Governmental Purpose and conveyed to City of Lake Elsinore for ongoing maintenance for downtown public parking. The land use designation should be changed to "Public Institutional" to match the existing and intended future use of the property. Maintenance and operation of public parking lots are permissible governmental purposes (see for examp)e, Streets & Highways Code Section 32501). Notes: _ While the property was acquired by and title is vested in the Agency, the City of Lake Elsinore has historically paid operating and maintenance expenses for all public downtown parking. Map ID #43: Governmental Purpose - Downtown parking/alley APN: 374-262-011 Address: N/A Lot Size: .04 acres Land Use/Zoning: The property is improved as downtown parking and alleyway/service delivery to Main Street properties. The property is designated General Commercial in the Downtown Master Plan. Acquisition Date (AD): 06/19/09 Acquisition Purpose: Downtown Public Parking Purchase Price/Value@ AD: $5,625.07 Est. Current Value: Unknown. However, like most governmental purpose properties, the property is a negatively performing asset with ongoing costs of operation/maintenance/repair. Est. revenues & contract None obligations re revenues: Environmental Unknown Contamination History: Potential transit oriented Public parking in the Historic Downtown District is essential to achieving development (TOD) and the overall redevelopment goals of revitalizing the downtown area advancement of Successor consistent with the Redevelopment Plan for the Rancho Laguna Agency planning objectives: Redevelopment Project No. I and the Downtown Master Plan. The implementation of the Downtown Master Plan and the acquisition, rehabilitation and expansion of downtown parking are projects listed in the Redevelopment Plan for the Rancho Laguna Redevelopment Project Area No. I and the Agency's 2009-2014 Redevelopment & Housing Implementation Plan. No opportunities for TOD are present. History Previous The property is improved as downtown parking, alleyway and service Development delivery to Main Street properties. The property has no development Proposals/Activity: potential. Proposed Use/Disposition: The property should be retained for Governmental Purpose and conveyed to City of Lake Elsinore for ongoing maintenance for downtown public parking. The land use designation should be changed to "Public Institutional" to match the existing and intended future use of the property. Maintenance and operation of public parking lots are permissible governmental purposes (see for example, Streets & Highways Code Section 32501). Notes: The property was acquired by the Agency from the County of Riverside as tax -defaulted property. The purchase price was paid by the Agency but the original tax deed vested title in the City of Lake Elsinore. A corrected Deed conveying title to the Agency was recorded on 10/23/09. While the property was acquired by and title is vested in the Agency, the City of Lake Elsinore has historically paid operating and maintenance expenses for all public downtown parking. 41 an I m 0 4•f 0 E. an I m 0 4•f 0 Enforceable Obligation Use - properties to be held by the Successor Agency to fulfill an enforceable obligation The Successor Agency owns three parcels that are subject to enforceable obligations. Two parcels comprise the Lake Elsinore Diamond Stadium which is home to the Storm minor league professional baseball team. The third parcel is adjacent to the Stadium and has been identified by the Master Developer under an enforceable obligation DDA as an exchange parcel. A map of the properties followed by individual property data sheets, parcel maps, aerials and photographs depicting each of the Enforceable Obligation properties listed below are included in this Section. Parcel # references correspond to the Maps. Enforceable Obligation Use Properties: Parcel #12 — Exchange Parcel per DDA Parcels #14 & #15 — Lake Elsinore Diamond Stadium SOURCES: CITY OF LAKE ELSINORE. COUNTY OF RIVERSIDE. CITY OF LAKE ELSINORE (hK1:LSl19C>I�E SUCCESSOR AGENCY PROPERTIES PROPERTIES TO BE RETAINED FOR ENFORCEABLE OBLIGATION Map ID #12: Enforceable Obligation — Exchange Parcel To Be Conveyed Per DDA APN: 373-210-030 — Address: N/A Lot Size: 7.26 acres Land Use/Zoning: Diamond Specific Plan; Mixed Use Acquisition Date (AD): 1/31/94 Acquisition Purpose: Redevelopment Purpose Consistent with Diamond Stadium and 404 Permit conditions Purchase PriceNalue Q AD: Property was only part of a 36.99 acre property acquisition by the Agency for $1,149,933.65. Based on per acre cost, the purchase price for this property was approximately $225,697. Est. Current Value: Unknown. A 2008 preliminary appraisal estimated property value at $635,000 which did not reflect deductions for flood zone impacts and/or easements limiting development. Est. revenues & contract None obligations re revenues: Environmental Unknown Contamination History: Potential transit oriented The northernmost portion of this "Channel Edge" parcel is in the development (TOD) and floodway and the 500 year floodplain and cannot be developed, The advancement of Successor remainder of the northern portion of the parcel to the weir is in the 100 Agency planning objectives: year floodplain and a key element to the Inlet Channel/Lake Management Project. The southern portion of the parcel can be developed with a use compatible with the Stadium and consistent with the General Plan Ballpark District, the Diamond Specific Plan and the Redevelopment Plan for the Rancho Laguna Redevelopment Project Area No. III. History Previous The parcel includes a portion of the Inlet Channel and is otherwise Development unimproved vacant property. Proposals/Activity: Proposed Use/Disposition: Pursuant to the Civic McMillin DDA, the Master Developer has certain rights to exchange properties it owns within the East Lake Specific Plan project area for Agency owned property. Civic Partners has identified this property as an exchange site pursuant to the DDA. The Agency should continue discussions with the Master Developer to exchange the parcel consistent with the DDA requirements. Discussions should include the recordation of an easement in favor of the City for that portion of the property subject to severe development constraints due to the Inlet Channel and flood zone elevations. Notes: The DDA is an enforceable obligation of the former Agency per BOPS I, II, 13-14A and 13-14B. The property identified by the Master Developer to be exchanged for the Agency's Channel Edge parcel is located in the East Lake Specific Plan and is currently proposed to be devoted to a governmental purpose as conservation in accordance with the conservation goals and objectives of the Western Riverside County Multiple Species Habitat Conservation Plan. lVtt lu LU H MIS -�W k E ------ LU As uo"93)4vl v U i f6 4. N bA C L v x LU c O m a,o O a� v U L- 0 O 4- c LU I N Map ID #14 & #15: Enforceable Obligation - Lake Elsinore Diamond Stadium APN: #14: 373-210-040 #15: 373-210-042 Address: 500 Diamond Drive, Lake Elsinore Lot Size: #14 - .14.46 acres / 629,878 sq. ft #15 - 4.60 acres / 200,376 sq. ft. Land Use/Zoning: Diamond Specific Plan; Stadium/Mixed Use Acquisition Date (AD): 01/20/94 Acquisition Purpose: Parcels were donated to the for the purpose of constructing a minor league professional baseball stadium/amphitheater and access road. Purchase Price/Value @ AD: Properties were donated to the Agency without monetary consideration. The Offer of Donation recites that if the property were purchased, the purchase price would be $637,297.64. Est. Current Value: Unknown. However, like most governmental purpose properties, the property is a negatively performing asset with ongoing costs of operation/maintenance/repair. Est. revenues & contract Pursuant to existing Stadium operations contracts and the existing obligations re revenues: Interim Management Agreement (BOPS obligations), revenues due to the Agency for Stadium use are offset by the Agency's operations, maintenance and management expenses. The Agency is also financially responsible for capital repairs. Environmental Unknown Contamination History: Potential transit oriented The property is located within the General Plan's Ballpark District and is development (TOD) and the focal point of the Diamond Specific Plan. The Stadium is the anchor advancement of Successor to the District's sports theme and is consistent with the land use and Agency planning objectives: redevelopment objectives of the Redevelopment Plan for the Rancho Laguna Project Area No, III. Commercial mixed use is proposed around the Stadium and surrounding properties may have potential for TOD, but the subject properties are devoted to Stadium use. History Previous Property is developed as the Lake Elsinore Diamond Stadium and is Development restricted pursuant to the "Irrevocable Offer To Donate Stadium Site Proposals/Activity: and Stadium Access Parcel and Unconditional Acceptance Subject to Covenants, Conditions, Restrictions and Reservations" to Stadium purposes for 50 years until December 2043. The Storm has existing rights to use the Stadium pursuant to the Stadium License Agreement. Proposed Use/Disposition: The properties must be maintained by the Agency in accordance with the existing Stadium operations contracts and thereafter in accordance with the Stadium use restrictions imposed as a condition to the donation. The enforceable obligations evidenced by the Stadium operations contracts and the Offer of Donation must be satisfied by the Agency through allocation of RPTTF. The ongoing operation of the Stadium is a recreational use consistent with permissible governmental purposes (see for example, Gov't Code Section 37361). Notes: Stadium Operations Contracts and Interim Stadium Management Agreement are enforceable obligations of the former Agency per HOPS I, II, 13-14A and 13-14B. fV 1 1 m I , E r r 1 Y A'W Ha•1 � (� 1 i 1 I �.krx ayD f pY•voo 1 a' &XC Avaf 1(T � I 1 WP � • -. e N 5 _-I WdII _� a ,__. sto�0. vet '''�M6aJ ,� ,n 1•- cl a - Ln a y t i18 06 Wd 7 t 1 1 1 1 � I]j r , t b 4 t uni t t 10Y a0a ,�,� u I 1 � aYp (p ; ro +J c 0 E ro W Properties to be Held for Future Development — properties to be transferred to the City for future development for a project identified in an approved redevelopment plan and for advancement of the planning objectives of the Successor Agency The Successor Agency owns four properties comprised of 22 individual parcels that are designated for future development. The first area is comprised of four parcels totaling 1.41 acres near the Pottery Court affordable housing project adjacent to the Flood Control Channel. The second area is comprised of 12 parcels totaling approximately 1.31 acres also adjacent to the Flood Control Channel on Spring Street. The third area is comprised of 5 parcels totaling approximately 6.91 acres on Spring and Limited and is a key development site to connect the Historic Downtown to the Lake as envisioned by the Downtown Master Plan. The fourth area is a single 2.11 acre parcel at Silver and Minthorn that is designated for public institutional uses. The parcels within each of the four areas should be merged to create larger developable parcels in order to maximize the development potential for each of the four areas. Each of the properties represents a special need and/or opportunity for development in furtherance of the Successor Agency planning objectives and consistent with the Redevelopment Plan for the Rancho Laguna Redevelopment Project No. I. A map of the properties followed by individual property data sheets, parcel maps, aerials and photographs depicting each of the properties to be held for future development as listed below are included in this Section. Parcel # references correspond to the Maps. Properties To Be Held For Future Development: Parcels #18 through #21 — Pottery/Spring (adjacent to Flood Control Channel) Parcels #25 through #36 — Spring Street (adjacent to Flood Control Channel) Parcels #44 through #48 — Spring/Limited Parcel #56 — Silver/Minthorn i F C? 56 t el 21 18 1 � 201po . Hlyl 25 ..; tt 2826 _ 30233' a 35 M 36 O j` z ^\ 46 W L N 4748 44/ 4iir �� SIL Ke 457k) RIi�CE Ar�i 0125 025 Mut5 SOURCES' CITY OF LAKE ELSINORE, COUNTY OF RIVERSIDE (1 112CITY OF LAKE ELSINORE LAKLQLSIHORL SUCCESSOR AGENCY PROPERTIES u PROPERTIES TO BE HELD FOR DEVELOPMENT Map ID #18, #19, #20 & #21: Held For Development - RFP APN: #18:374-062-005 #19: 374-062-006 #20:374-062-015 #21:374-062-020 Address: _ 401 N. Spring St., Lake Elsinore Lot Size: #18:.17 acres #19:.17 acres #20:.51 acres #21:.51 acres Land Use/Zoning: Residential Mixed Use Acquisition Date (AD): #18: Unknown #19, #20: 9/17/90 #21: 11/28/89 Acquisition Purpose: Unknown Purchase PriceNalue @ AD: #18, #19, #20: combined purchase price $399,000 #21: $169,000 purchase price Est. Current Value: Unknown Est. revenues & contract None obligations re revenues: Environmental Unknown Contamination History: Potential transit oriented Parcels are located near the Pottery Court affordable housing project development (TOD) and and may offer an opportunity for a compatible residential project, advancement of Successor' Agency planning objectives: History Previous Unknown. Development Proposals/Activity: Proposed Use/Disposition: The properties should be conveyed to the City of Lake Elsinore and sold pursuant a carefully developed RFP to maximize the development potential and purposes in furtherance of the Dissolution Act and consistent with applicable land use regulations. Prior to conveyance, the parcels should be merged and sold for development as a single parcel. Notes: The Parcels should be merged into a single developable parcel to maximize the development potential. 9 4, c v CL 0 v v 0 0 LL a� r -I N 00 r-1 Map ID #25 through #36: Held for Development - RFP APN: #25:374-162-039 ---i—- #26:374-162-041. #27: 374-162-043 #28:374-162-045 #29: 374-162-047 #30:374-162-049 #31: 374-162-051 #32:374-162-053 #33:374-162-055 #34:374-162-057 #35:374-162-059 #36:374-162-061 Address: N/A Lot Size: #25:.11 acres #26:.10 acres #27:.10 acres #28:.10 acres #29:.10 acres #30:.10 acres #31:.11 acres #32:.11 acres #33:.11 acres #34:.11 acres #35:.12 acres #36:.12 acres Land Use/Zoning: Commercial Mixed Use Acquisition Date (AD): Unknown Acquisition Purpose: Unknown Purchase Price/Value @ AD: Unknown Est. Current Value: Unknown Est. revenues & contract None obligations re revenues: Environmental Unknown Contamination History: Potential transit oriented Not appropriate for TOD. development (TOD) and advancement of Successor Agency planning objectives: History Previous The parcels are contiguous and are adjacent to the flood control Development channel. They are likely remnant parcels from the Flood Control Proposals/Activity: Channel Project and may have associated development constraints. Proposed Use/Disposition: The parcels should be conveyed to the City for a land use study and feasibility analysis to determine the best potential for development consistent with the purposes of the Dissolution Act and the applicable land use regulations. The parcels should be held by the City for development pending the completion of such study and pursuant to a carefully developed RFP consistent with the Downtown Master Plan. Notes: Especially given the potential for development constraints, these parcels should be merged into a single developable parcel to allow flexibility in siting future development. 5i 3 Nor" 04 1 I I tY LL LL r1r) U) 00 F, it tY LL LL r1r) U) +1 OL ^O W L O U- 110I m I Ln N u T` } i t 1 f i y S f f y 3 j E s 3 +1 OL ^O W L O U- 110I m I Ln N u Map ID.#44; #45; #46; #47 & Held For Development - RFP #48: #44: 374-271-003 APN. #45: 374-271-004 #46:374-271-007 #47:374-271-013 #48:374-271-015 _ Address: N/A Lot Size: #44:.38 acres #45:.76 acres #46: 4.64 acres #47:.09 acres #48:.23 acres _ Land Use/Zoning: Residential Mixed Use Acquisition Date (AD): 02/27/08 Acquisition Purpose: Potential Civic Center Site Purchase Price/Value @ AD: $4,150,000 Est. Current Value: Unknown Est. revenues & contract None obligations re revenues: Environmental Unknown Contamination History: Potential transit oriented Parcels represent key connector between Historic Downtown and Lake development (TOD) and and should be developed consistent with the Downtown Master Plan advancement of planning and the Successor Agency's land use objectives aimed at revitalizing objectives of Successor the Downtown and emphasizing the Lake as a focal point/feature of the Agency: City's landscape and sports related economic and tourism activity. History Previous Previous residential development proposals stalled and were not Development pursued by previous owner or potential buyers. Agency acquired for Proposals/Activity: redevelopment purposes as a key site for connecting the Downtown to the Lake. Proposed Use/Disposition: The Site offers key economic development potential and should be held for development pursuant to a carefully developed RFP consistent with the Downtown Master Plan. Notes: The Parcels should be merged into a single developable parcel and adjacent City-owned property should be evaluated for inclusion in the RFP. z 041, I !p Map ID #56 Held For Development APN: 377-180-037 Address: Silver/Minthorn Lot Size: 2.15 acres Land Use/Zoning: Public Institutional Acquisition Date (AD): 5/18/05 Acquisition Purpose: Public/redevelopment purpose. Purchase PriceNalue @ AD: $468,000 Est. Current Value: Unknown Est. revenues & contract None obligations re revenues: Environmental Unknown Contamination History: Potential transit oriented The Agency acquired the property for public/redevelopment purposes to development (TOD) and be more specifically determined consistent with the Redevelopment advancement of planning Plan for the Rancho Laguna Redevelopment Project Area No. I and objectives of Successor applicable City land use designations. Agency: History Previous Unknown Development Proposals/Activity: Proposed Use/Disposition: The parcel should be conveyed to the City for a land use study and feasibility analysis to determine the best potential for development which may be a governmental purpose consistent with neighboring County Social Services facility and consistent with the "Public Institutional' land use designation. Notes: Properties to be Sold — properties to be sold for development in a manner consistent with the Dissolution Act and the proceeds from the sale distributed as property tax to the taxing entities The Successor Agency owns five parcels that are designated to be sold. Four of these parcels can be combined to create 2 larger parcels of approximately .34 and .24 acres, respectively. The properties should be marketed together given their close proximity and the potential for combining with adjacent properties should be considered. The fifth parcel is approximately .21 acres designated as high density residential and may offer an opportunity for affordable housing development. A map of the properties followed by individual property data sheets, parcel maps, aerials and photographs depicting each of the properties to be sold as listed below are included in this Section. Parcel # references correspond to the Maps. Properties To Be Sold: Parcels #8 & #11 — Franklin & Ellis Parcels #9 & #10 — Franklin & Ellis Parcel #57 — Sumner & Ellis : _ ^ {w } � . v 1 � } ^ . - \^ ~ ! } } \ z ® { ©. � ® ! } } 9 10 © � / §� { ! � . . } , } SOURCES: CITY / LAKE rmwomcu*m macecl IV OF QTY OF GwzGaeR>\} \\ / 1i a SUCCESSOR AGENCY 3#e5 i:« as , « . PROPERTIES TO BE ;om i Map ID #8 & #11: Parcels to Be Sold APN: # 8: 373-025-007 #11: 373-025-027 Address: N/A Lot Size: #8:.17 acres #11:.17 acres Land Use/Zoning: Residential Mixed Use Acquisition Date (AD): #8 - 02/92 #11 —01/92 Acquisition Purpose: Unknown Purchase Price/Value @ AD: Unknown Est. Current Value: Unknown Est. revenues & contract None obligations re revenues: Environmental Unknown Contamination History: Potential transit oriented Not appropriate for TOD. Development should be consistent with City's development (TOD) and General Plan and zoning designations. advancement of Successor Agency planning objectives: History Previous None Development Proposals/Activity: Proposed Use/Disposition: The properties should be conveyed to the City of Lake Elsinore and sold pursuant to the Dissolution Act. Prior to sale, the parcels should be merged and sold for development as a single parcel in order to optimize development potential. Notes: Parcels #8 and #11 are adjacent parcels that should be merged into a single developable parcel, �zac e, N p,. a0 ,• � 1� Z B lB 1 \l Q � r 1 J i_, jjj m i. 00 w_ - to w ca 04 qj V� J r '+a O ,r W I '. co 00 it is ra i< e � i f eB u �j -T, _ • ° cl l :U. ® oio 0 0 0 ®� 317 I ,• -y' i � s a s C e + a s� iQ ,r � ^ _ pFCK -4�TW - — gY 41 to A to t t} 004 ? ! h to 19 i is i4 Y T—/vN IYII.. T.t.J l�B _ '➢i—V /P E 1 — a: I I Map ID #9 & #10: Parcels to Be Sold APN: #9: 373-025-014 #10: 373-025-024 Address: 238 N. Main St., Lake Elsinore Lot Size: #9:.21 acres #10:.03 acres Land Use/Zoning: Commercial Mixed Use Acquisition Date (AD): 02/08 Acquisition Purpose: Public/redevelopment purpose Purchase Price/Value @ AD: $179,000.00 total purchase price for both parcels Est. Current Value: Unknown Est. revenues & contract None obligations re revenues: Environmental Phase I environmental assessment conducted in 2007 — no history of Contamination History: environmental contamination noted. Potential transit oriented Not appropriate for TOD. Development should be consistent with City's development (TOD) and General Plan and zoning designations. advancement of Successor Agency planning objectives: History Previous The former property owner offered the properties for sale to the former Development Redevelopment Agency. The Agency acquired the properties for Proposals/Activity: public/redevelopment purposes to be more specifically determined consistent with the Redevelopment Plan for the Rancho Laguna Redevelopment Project Area No. I and applicable City land use designations. Proposed Use/Disposition: The properties should be conveyed to the City of Lake Elsinore and sold pursuant to the Dissolution Act. Prior to sale, the parcels should be merged and sold for development as a single parcel. Notes: Parcels #9 and #10 are adjacent parcels that should be merged into a single developable parcel in order to optimize development potential. N +e0 KI �. • 6 �6 ya 1 1 i •� >,-f'FFX-._.. _-(-BSB/--- �..__� -.� . 11 J to Br N rs N a es tt H W 19 �B 02, t .fl �) (1) 6 9 d 8 _7 1 G' A—FG— 0 co C ri W 0*1u �. 1 1 i •� >,-f'FFX-._.. _-(-BSB/--- �..__� -.� . 11 J to Br N rs N a es tt H W 19 �B 02, t .fl �) (1) 6 9 d 8 _7 1 G' A—FG— 0 co C ri W 0*1u Map ID #57: Parcel To Be Sold APN: 377-292-017 Address: 284 Ellis St., Lake Elsinore Lot Size: .21 acres Land Use/Zoning: High Density Residential Acquisition Date (AD): 04/07/94 Acquisition Purpose: Unknown Purchase Price/Value @ AD: Unknown Est. Current Value: Unknown Est, revenues & contract None obligations re revenues: Environmental Unknown Contamination History: Potential transit oriented Not appropriate for TOD. Development should be consistent with City's development (TOD) and General Plan and zoning designations. advancement of Successor Agency planning objectives: History Previous None. Development Proposals/Activity: Proposed Use/Disposition: The property should be conveyed to the City of Lake Elsinore and sold pursuant to the Dissolution Act. Notes: City may evaluate whether the parcel is suited for a potential affordable housing development consistent with the City's Housing Element and General Plan. If affordable housing is determined to be an appropriate use, the property should be sold for such use with affordability restrictions, if appropriate. If not, the property should be sold without restrictions. 13 u a Y, M g I City of Lake Elsinore 930 South Main Street Lake Elsinore, CA 92530 __. www, lake-elsinore.org rift; �'. tillYc_?1:,1_ Text File File Number: ID# 15-868 Agenda Date: 12/15/2015 Version: 1 Status: Approval Final In Control: Oversight Board - - File Type: Report Agenda Number: 6) City of Lake Elsinore Page 1 Printed on 1211412015 OVERSIGHT BOARD TO THE SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE TO: VICE CHAIR KELLEY AND MEMBERS OF THE OVERSIGHT BOARD FROM: BARBARA LEIBOLD, SUCCESSOR AGENCY COUNSEL DATE: DECEMBER 15, 2015 SUBJECT: DATE AND TIME FOR REGULAR MEETINGS OF THE OVERSIGHT BOARD TO THE SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE Recommendation It is recommended that the Oversight Board Members discuss the Board's meeting schedule and, if changes to the date and time for regularly scheduled meetings are desired, adopt Resolution No. OB -2015-0_ to reflect such changes. Background The Oversight Board to the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore is charged with specific oversight, approval and monitoring activities relating to the winding down of the former Redevelopment Agency's obligations. With the passage of SB 107, the Oversight Board will continue to perform these functions through 2017, when the oversight boards within each county will be consolidated into one county -wide Oversight Board. Pursuant to the meeting requirements of the Ralph M. Brown Act, the Oversight Board adopted Resolution No. OB -2012-001 originally establishing its regular date, time and location for meetings as 3:30 pm on the second and fourth Tuesdays of every month at the Lake Elsinore Cultural Center. In order to better accommodate Oversight Board Member schedules, the Board adopted Resolution No. OB -2013-001 changing the regular meeting time to 3:45 pm. Regular meeting dates remained unchanged as the second and fourth Tuesday of every month. By Resolution No. OB -2014-003 adopted on February 25, 2014, the Oversight Board changed its regular meetings to a quarterly schedule as follows: 1) fourth Tuesday of every February; 2) second Tuesday of every June; 3) fourth Tuesday of every September; 4) second Tuesday of every December. Resolution Changing the Date and Time for Meetings December 15, 2015 Page 2 of 2 The quarterly schedule was coordinated with the Successor Agency's ROPS cycle Discussion Prior to SB 107, ROPS were due twice each year to the State Department of Finance (DOF) on the first of March and October. SB 107 changes the ROPS schedule for all successor agencies. Commencing January 2016, Successor Agencies are required to prepare and submit ROPS annually on February 1. To meet this deadline, it will be necessary for the Oversight Board to meet in January 2016. In addition to the review and approval of ROPS, the Oversight Board will be required to approve any dispositions of real property and any new or amended Successor Agency obligations/contracts. The timing of these transactions is unknown, but staff anticipates that quarterly meetings will be sufficient. The Oversight Board may instead want to establish a bi-annual schedule such as the 4th Tuesday of every January and July. As has been often the case, if Oversight Board action is required prior to the next regularly scheduled meeting date, a special meeting can be called. Given the new ROPS schedule and recognizing the changes in the Board's membership since it was first formed, staff recommends the Oversight Board members discuss its meeting schedule. If changes to the dates and/or times are desired, the Oversight Board should adopt the attached Resolution confirming the changes. Prepared By: Barbara Leibold, City Attorney/Successor Agency Counsel Attachment: Resolution No. OB -2015-00_ - A Resolution of the Oversight Board to the Successor Agency of the Redevelopment Agency of the City Of Lake Elsinore Changing the Date, and Time of Oversight Board Meetings RESOLUTION NO. OB -2015-00 A RESOLUTION OF THE OVERSIGHT BOARD TO THE SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE CHANGING THE DATE AND TIME OF OVERSIGHT BOARD MEETINGS WHEREAS, the Oversight Board to the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore ("Oversight Board") adopted Resolution No. OB - 2012 -001 establishing a regular date, time and location for its meetings as 3:30 pm on the second and fourth Tuesdays of every month at the Lake Elsinore Cultural Center located at 183 North Main Street, Lake Elsinore; WHEREAS, in order to better accommodate Oversight Board Member schedules, the Board adopted Resolution No. OB -2013-001 changing the regular meeting time to 3:45 pm. and temporarily changing the meeting location to Lake Elsinore City Hall during the seismic retrofit of the Cultural Center, WHEREAS, by Resolution No. OB -2014-003 adopted on February 25, 2014, the Oversight Board changed its regular meetings to a quarterly schedule as follows: 1) fourth Tuesday of every February; 2) second Tuesday of every June; 3) fourth Tuesday of every September; and 4) second Tuesday every December. The regularly scheduled meeting time remained 3:45 pm; WHEREAS, SB 107 changed the ROPS schedule to an annual submittal due to the State Department of Finance on February 1 thereby necessitating an Oversight Board meeting in January; WHEREAS, the Oversight Board desires to change its regular meeting schedule in response to the revised ROPS cycle and anticipated business requiring Oversight Board consideration. NOW, THEREFORE, THE OVERSIGHT BOARD TO 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. Regular meetings of the Oversight Board shall be changed to a [quarterly, bi-annuall meeting schedule on the [datesl at ftb2ej at the Lake Elsinore Cultural Center located at 183 Main Street in the City of Lake Elsinore. 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 OVERSIGHT BOARD RESOLUTION NO. 2015-00 Page 2 Oversight Board hereby declares that 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. PASSED, APPROVED AND ADOPTED at a special meeting of the Oversight Board to the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore, held this 15th day of December, 2015 by the following vote: AYES: NOES: ABSENT: ABSTAIN: Genie Kelley, Vice Chair Oversight Board to the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore ATTEST: Oversight Board Secretary I rt— Kt �Ptillil;�l' Agenda Date: 12/15/2015 In Control: Oversight Board Agenda Number: 7) City of Lake Elsinore Text File File Number: ID# 15-869 Version: 1 130 South Main Street Lake Elsinore, CA 92530 www.lake-elsi nore. org Status: Approval Final File Type: Report City of Lake Elsinore Page 1 Printed on 1211412015 OVERSIGHT BOARD TO THE SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE TO: VICE CHAIR KELLEY AND MEMBERS OF THE OVERSIGHT BOARD FROM: BARBARA LEIBOLD, SUCCESSOR AGENCY COUNSEL DATE: DECEMBER 15, 2015 SUBJECT: REORGANIZATION OF OVERSIGHT BOARD; SELECTION OF CHAIR AND VICE CHAIR Recommendation It is recommended that the Oversight Board elect one member to serve as Chairperson and one member to serve as Vice Chairperson of the Oversight Board to the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore. Background Pursuant to the provisions of Health & Safety Code Section 34179(a), the adopted Bylaws of the Oversight Board provide for election by the Board Members of a Chairperson and a Vice Chairperson. On February 25, 2014, the Board elected Member Dave Oster and Member Genie Kelley to serve as Chair and Vice Chair, respectively. Traditionally, the Chair and Vice Chair serve a one-year term, but the Oversight Board Bylaws do not specify the term and the reorganization of the Board has been postponed to December 2015. Discussion The Secretary of the Board will open and close nominations to the Oversight Board for the Chairperson. Upon closing the nominations and taking a roll call vote, the Secretary will declare the Board Member selected by a majority of the voting Board Members to serve as Chairperson. The newly elected Chairperson will conduct the same process for the selection of a Vice Chairperson. Prepared and approved by: Barbara Leibold, Successor Agency Counsel City of Lake Elsinore 130 South Main Street Lake Elsinore, CA 92530 w .lake-elsinore.org I nKi Slht'ii1. Text File File Number: ID# 15-866 Agenda Date: 12/15/2015 Version: 1 Status: Approval Final In Control: Oversight Board File Type: Report Agenda Number: 8) City of Lake Elsinore Page 1 Printed on 12/14/2015 REPORT TO OVERSIGHT BOARD TO THE SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE TO: VICE CHAIR KELLEY AND MEMBERS OF THE OVERSIGHT BOARD FROM: BARBARA LEIBOLD, SUCCESSOR AGENCY COUNSEL DATE: DECEMBER 15, 2015 SUBJECT: Reconsideration of the Third Amendment (2016) To Stadium Interim Management Agreement Recommendation It is recommended that the Oversight Board approve and adopt: Resolution No. OB -2015-0 A RESOLUTION OF THE OVERSIGHT BOARD TO THE SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE FINDING THE THIRD AMENDMENT (2016) TO THE STADIUM INTERIM MANAGEMENT AGREEMENT IN THE BEST INTERESTS OF THE TAXING ENTITIES AND CONFIRMING APPROVAL OF THE THIRD AMENDMENT (2016) Background In 2001 and 2002, the Redevelopment Agency entered into certain agreements involving the operation and maintenance of the Lake Elsinore Diamond Stadium, including a License Agreement, a Stadium Field And Maintenance Agreement, and a Concession License Agreement (collectively, the "Stadium Operations Contracts"). Pursuant to the Stadium Operations Contracts, the Storm licensed and maintained the Stadium for baseball games and other Storm events. An affiliate of the Storm, Golden State Concessions and Catering, Inc. ("Golden State"), operated the concessions at the Stadium. Under the Stadium Operations Contracts, the Agency's management, operation and maintenance costs were significant and the Stadium operated at a loss. In 2005, the Agency commenced negotiations with Diamond Stadium Group (DSG) to undertake all of the Stadium operations, maintenance and management responsibilities. Storm LP, Golden State and DSG share common controlling ownership. Negotiations between the Agency and DSG resulted in June 2007 amendments to the Stadium Operations Contracts and a new Stadium License, Lease and Management Agreement (the "2007 Management Agreement"). DSG fulfilled all aspects of the 2007 Management Agreement which reduced the Agency's Stadium -related costs. However, DSG reported annual losses under the 2007 Management Agreement and in June 2011 chose to exercise its right to terminate the Reconsideration of Third Amendment To Stadium Interim Management Agreement December 15, 2015 Page 2 2007 Management Agreement effective December 31, 2012. Upon termination of the 2007 Management Agreement, the rights and responsibilities for Stadium management, operations and maintenance were again divided in accordance with the Stadium Operations Contracts; however, at that time, the Successor Agency did not have the resources to satisfactorily perform its obligations. On December 11, 2012, the Successor Agency approved the Stadium Interim Management Agreement ("Interim Agreement") to provide for the efficient and cost effective management, maintenance and operation of the Stadium by the Storm through 2013. A First Amendment to the Interim Agreement was approved in September 2013. A Second Amendment to the Interim Agreement was approved in September 2014. The State Department of Finance has approved the allocation of Real Property Tax Trust Funds for Stadium obligations in accordance with the Successor Agency Recognized Obligations Payment Schedules (ROPS). The Interim Agreement and the First and Second Amendments have been successfully implemented to provide for efficient and cost effective management, maintenance and operation of the Diamond Stadium. However, the Second Amendment expires on December 31, 2015 at which time the burden of maintaining, managing and operating Diamond Stadium under the Stadium Operations Contracts would fall onto the Successor Agency. Pursuant to the Dissolution Act and provisions of AB 1484, the Successor Agency prepared a Recognized Obligation Payment Schedule for the period from January 1, 2016 through June 30, 2016 (the "ROPS 15-1613") which lists, among other things, as enforceable obligations of the Successor Agency, the obligations related to the (i) License Agreement; (ii) Maintenance Agreement; (iii) Concession Agreement; (iv) Stadium operations and maintenance obligations, and (v) the Interim Agreement. 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, a Third Amendment to the Interim Agreement was prepared to provide for the continued, efficient and cost effective management, maintenance and operation of the Stadium through 2016 (Third Amendment (2016)). On September 22, 2015, the Oversight Board adopted Resolution No. OB 2015-004 approving the Third Amendment (2016) and following such approval by the Oversight Board and the Successor Agency, the Third Amendment (2016) was submitted to and reviewed by the State Department of Finance (DOF). On November 18, 2015, the Successor Agency was notified by DOF that Oversight Board Resolution No. OB -2015-004 related to the approval of the Third Amendment (2016) was not approved by DOF. While DOF acknowledged that Health & Safety Code section 34171(d)(1)(F) allows contracts or agreements necessary for the maintenance of assets prior to disposition, DOF expressed its reservations about the Third Amendment (2016)'s increase in the estimated Capital Repair Schedule costs by $1,921,912 to a total of $3,286,912. [Note: DOF misinterpreted the monetary provisions of the Third Amendment which was Reconsideration of Third Amendment To Stadium Interim Management Agreement December 15, 2015 Page 3 addressed by Successor Agency staff at its Meet and Confer meeting with DOF discussed below.] DOF concluded this increase would not be in the best interests of the taxing entities and directed the Oversight Board to reconsider the matter. That reconsideration is now before the Oversight Board In addition to referring the action back to the Oversight Board, DOF denied the Successor Agency the requested allocation of Real Property Tax Funds on the ROPS 15-16B for the Third Amendment. The Successor Agency Executive Director, Director of Administrative Services and Agency Counsel attended a Meet and Confer with DOF on December 3, 2015 appealing that determination. The matter in presently under consideration and DOF is expected to issue its findings by December 17, 2015. As part of that evaluation, DOF will look to the Oversight Board action upon reconsideration. Discussion The Stadium Operations Contracts are in full force and effect and constitute enforceable obligations of the Successor Agency. Successor Agency staff continues to believe that approval of the attached Third Amendment (2016) to the Stadium Interim Management Agreement is critical to ensuring the Successor Agency can meet its legal obligations under the Stadium Operations Contracts to operate, manage and maintain the Stadium in first class condition and to ensure that the "Lake Elsinore Storm" can continue to play its home baseball games at the Stadium. Failure to meet those obligations exposes the Successor Agency to the possibility of litigation. Moreover, the Successor Agency lacks the resources both in staffing and expertise to otherwise comply with those obligations. Contracting with the Storm to perform the Agency's obligations provides for the efficient and cost effective management, maintenance and operation of the Stadium which is in the best interest of the taxing entities. DOF has questioned the necessity of certain capital expenditures. But DOF has fundamentally failed to recognize that certain capital facilities and equipment at the Stadium have simply worn out or are in a condition of disrepair. The Stadium is 22 years old, and despite the ongoing maintenance being performed in accordance with applicable agreements, certain structural elements, capital components, operational systems and equipment require replacement in order to maintain the Stadium in accordance with the Stadium Operations Contracts and to protect the safety of the players and the spectators consistent with applicable laws and standards. Because these other repairs/replacements are necessary to continue to meet the Successor Agency's obligation under the Stadium Operations Contracts, Successor Agency staff believe that the Third Amendment (2016) should, again, be approved by the Oversight Board. As noted in the prior staff report on the Third Amendment (2016), The Storm continues to possess the experience, capabilities and qualifications to best carry out these Reconsideration of Third Amendment To Stadium Interim Management Agreement December 15, 2015 Page 4 obligations. The terms of the Interim Management Agreement and Third Amendment (2016) are discussed below. Interim Management Agreement - The Interim Stadium Management Agreement as amended by the proposed Third Amendment (2016) incorporates the obligations under the Stadium Operations Contracts and provides for a Capital Improvement Schedule. During the 2016 term of the Third Amendment (2016), compensation to the Storm for the performance of the maintenance, management and operations services shall be as follows: (a) Assignment of GRCS Concession Fee. Successor Agency assigns Successor Agency's right to payment of the GRCS Concession Fee under the Concession Agreement to the Storm during the 2016 term, estimated at $34,000 annually; and (b) Waiver of License Fee. Successor Agency waives Successor Agency's right to payment of the License Fee in the amount of $497,297 under the License Agreement during 2016 as an offset against the payments due by the Successor Agency to the Storm; and (c) Payment of Maintenance Fee. Successor Agency shall pay the Annual Maintenance Fee in the amount of $232,159 under the Stadium Field And Maintenance Agreement during 2016; and (d) Payment of Additional Interim Management Fee. Successor Agency shall pay to Storm $435,589, payable in equal monthly installments ("Additional Interim Management Fee"). The Maintenance Fee along with the Additional Interim Management Fee will result total cash payment from the Successor Agency to the Storm of $667,752 as consideration for services provided under the Stadium Operations Contracts and the Interim Stadium Management Agreement as amended by the Third Amendment (2016), which aggregate amount shall be payable in equal monthly installments of $56,646. The Successor Agency continues to be responsible for all Capital Repairs and alterations consistent with the Stadium Operations Contracts, which are expected to be significant over the next few years. In connection with the preparation and negotiation of the Third Amendment (2016), the City's Building Official surveyed the Stadium with representatives of The Storm and agreed upon necessary Capital Repairs. Quotes or estimates for the costs of such Capital Repairs were also obtained. Capital repairs for 2016, as included in the Third Amendment (2016), reflect that the Stadium is twenty two (22) years old and include, without limitation, replacement of Stadium seating, improvements to comply with revisions to the Americans with Disabilities Act (ADA), retrofitting of plumbing, containment of run-off to comply with the National Pollutant Discharge System imposed by the Environmental Protection Agency Reconsideration of Third Amendment To Stadium Interim Management Agreement December 15, 2015 Page 5 (EPA), improvements to and replacement of the heating, ventilation and air condition (HVAC) system, repaving of the parking lots and replacement of old equipment. The Third Amendment (2016) provides for proposed 2016 Capital Repairs of approximately $3,286,912. The Third Amendment (2016) includes a Capital Repair schedule, which will be updated annually or, if necessary, semi-annually in accordance with future ROPS. Capital Repairs for the ROPS 15-16B period (January 1, 2016 through June 30, 2016) are estimated to be $1,580,912, which includes (but is not limited to) beginning the replacement of Stadium seating, improvements to comply with revisions to the ADA, retrofitting of plumbing, containment of run-off to comply with the National Pollutant Discharge System imposed by the EPA, improvements to and replacement of the HVAC system, and replacement of old equipment. Fiscal Impact The ROPS 15-16B allocates Real Property Tax Trust Funds to cover the Successor Agency obligations for the period of January 1, 2016 through June 30, 2016. In addition, the attached Resolution authorizes the Executive Director to comply with any findings of the Department of Finance in connection with its review of the ROPS 15- 16B or the attached Resolution, and make such changes as necessary so that the Third Amendment (2016) can be implemented in accordance with the ROPS approved by DOF. The ROPS 16-17A (for the second half of calendar year 2016) will be prepared to similarly reflect these obligations which will be presented to the Oversight Board and DOF and upon approval will provide funds for the second six months of the term of the Third Amendment. Prepared by: Barbara Leibold, Successor Agency Counsel Attachments: Resolution No. OB-2015-0— Third Amendment (2016) DOF November 18, 2015 Letter RESOLUTION NO. OB -2015-0 A RESOLUTION OF THE OVERSIGHT BOARD TO THE SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE FINDING THE THIRD AMENDMENT (2016) TO THE STADIUM INTERIM MANAGEMENT AGREEMENT IS IN THE BEST INTERESTS OF THE TAXING ENTITIES AND CONFIRMING APPROVAL OF THE THIRD AMENDMENT (2016) WHEREAS, the Oversight Board to the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore ("Oversight Board") has been established to direct the Successor Agency to take certain actions 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, by adoption of its Resolution No. OB 2012-013 on December 11, 2012, 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 (the "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, by adoption of its Resolution No, OB 2013-007 on September 24, 2013, 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 (the "First Amendment') and following such approval by the Oversight Board and the Successor Agency, the First Amendment was submitted to and reviewed by the State Department of Finance, and WHEREAS, by adoption of its Resolution No. OB 2014-005 on September 23, 2014, 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 (the "Second Amendment') and following such approval by the Oversight Board and the Successor Agency, the Second Amendment was submitted to and reviewed by the State Department of Finance; and WHEREAS, by adoption of its Resolution No, OB 2015-004 on September 22, 2015, the Oversight Board approved the Third Amendment (2016) to the Stadium Interim Management by and between the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore and the Lake Elsinore Storm LP (Third Amendment (2016)) and following such approval by the Oversight Board and the Successor Agency, the Third Amendment (2016) was submitted to and reviewed by the State Department of Finance: and OVERSIGHT BOARD RESOLUTION NO. OB 2015-0_ Page 2 WHEREAS, the Department of Finance has returned Oversight Board Resolution 2015-04 approving the Third Amendment (2016) to the Oversight Board for its reconsideration; and WHEREAS, the Oversight Board has reconsidered the Third Amendment (2016), and given the Successor Agency's pre -dissolution enforceable obligations to operate and maintain the Stadium as set forth in the Stadium Operations Contracts, given the Successor Agency's lack of resources to otherwise comply with those obligations, and given the possibility of litigation were the Successor Agency to fail to meet such obligations, the Oversight Board finds it to be in the best interest of the Taxing Entities to approve the entry by the Successor Agency into the Third Amendment (2016); and WHEREAS, the Interim Agreement and the First and Second Amendments have been successfully implemented to provide for efficient and cost effective management, maintenance and operation of the Diamond Stadium but, absent a third amendment, the Interim Amendment will expire on December 31, 2015; 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 calendar year 2016 in accordance with the proposed Third Amendment (2016) to the Interim Agreement; and WHEREAS, pursuant to Health and Safety Code Section 34169 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 six month period January 2016 — June 2016 (the "ROPS 15-168") which lists, among other things, as enforceable obligations of the Successor Agency, the following obligations related to the Lake Elsinore Diamond Stadium (the "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 Third Amendment (2016) was approved by the Successor Agency and the Oversight Board on September 22, 2015. NOW, THEREFORE, THE OVERSIGHT BOARD TO 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. Based on the information presented in the staff reports and testimony received, the Oversight Board finds (i) that the proposed Third Amendment OVERSIGHT BOARD RESOLUTION NO. OB 2015-0_ Page 3 (2016) 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 ROPS 15-16B include funds necessary to meet the Successor Agency's enforceable obligations with respect to the Stadium, including the proposed Third Amendment (2016) to the Interim Agreement, and (iii) that the Third Amendment (2016) to the Interim Agreement is in the best interests of the taxing entities. Based on the above findings, the Oversight Board approves the Third Amendment (2016) 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 SECTION 3. The Executive Director is hereby authorized to enter into the Third Amendment and, if required to comply with any findings of the Department of Finance in connection with its review of Recognized Obligation Schedule (ROPS) 15-16B or this resolution, make such changes as necessary such that the Third Amendment can be implemented in accordance with the ROPS approved by the Department of Finance. The Executive Director is further authorized to take such additional actions as he deems necessary to effectuate the foregoing. SECTION 4. 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 Oversight Board hereby declares that it would have adopted this Resolution irrespective of the invalidity of any particular portion thereof. OVERSIGHT BOARD RESOLUTION NO. OB 2015-0_ Page 4 SECTION 5. This Resolution shall take effect from and after the date of its passage and adoption in accordance with applicable law. PASSED, APPROVED AND ADOPTED at a special meeting of the Oversight Board to the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore, held this 15th day of December, 2015 by the following vote: AYES: NOES: ABSENT: ABSTAIN: Genie Kelley, Vice -Chairperson Oversight Board to the Successor Agency of the Redevelopment Agency of the City of Lake Elsinore ATTEST: Susan Domen, , Oversight Board Secretary THIRD AMENDMENT (2016) TO STADIUM INTERIM MANAGEMENT AGREEMENT THIS TIIIRD AMENDMENT (2016) TO STADIUM INTERIM MANAGEMENT AGREEMENT (the "Third Amendment'), dated for identification as of September 22, 2015, is made by and between the SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE ("Successor Agency"), and the LAKE ELSINORE STORM LP, a California limited partnership ("Storm"). RECITALS The following recitals are a substantive part of this Amendment: A. The Successor Agency and the Storm entered into that certain Stadium Interim Management Agreement dated January 1, 2013 (the `Interim Agreement') to provide for the performance by the Storm of certain maintenance, upkeep, and operations of the Premises (as defined in the Interim Agreement). Capitalized terms used herein which are not otherwise defined herein shall have the meaning ascribed to them in the Interim Agreement. B. The Interim Agreement was successfully implemented during calendar year 2013 to provide for efficient and cost effective management, maintenance and operation of the Premises. C. In order to provide for the efficient and cost effective management, maintenance and operation of the Premises for calendar year 2014, the Successor Agency and the Storm entered into that certain First Amendment (2014) to Stadium Interim Management Agreement dated September 24, 2013 (the "First Amendment'). D. In order to provide for the efficient and cost effective management, maintenance and operation of the Premises for calendar year 2015, the Successor Agency and the Storm entered into that certain Second Amendment (2015) to Stadium Interim Management Agreement dated September 23, 2014 (the "Second Amendment'). E. The obligations set forth in the Interim Agreement, First Amendment, and Second Amendment have been included in prior Recognized Obligation Payment Schedules approved by the Successor Agency, the Oversight Board of the Successor Agency ("Oversight Board") and the Department of Finance ("DOF"). F. The Second Amendment will expire on December 31, 2015 and the parties desire to enter into this Third Amendment to provide for the efficient and cost effective management, maintenance and operation of the Premises for calendar year 2016. G. Capital repairs for 2016 of approximately $3,286,912, as included in this Third Amendment, reflect that the Stadium is twenty two (22) years old and in need of significant capital repairs, including, without limitation, replacement of Stadium seating, improvements to comply with revisions to the Americans with Disabilities Act, retrofitting of plumbing, I and Amendment to Stadium Interim Management Agt Final containment of run-off to comply with the National Pollutant Discharge System imposed by the Environmental Protection Agency, improvements to and replacement of the heating, ventilation and air condition (HVAC) system, repaving of the parking Tots and replacement of old equipment. H. In accordance with AB 1484, a Recognized Obligation Payment Schedule will be adopted for the period from January 1, 2016 through ,Tune 30, 2016 (herein referred to as the "ROPS 15-168") and for all subsequent Recognized Obligation Payment Schedule periods. AB 1484 sets forth the review period and authority of DOT to review and approve Recognized Obligation Payment Schedules. I. On September 22, 2015, the Oversight Board and the Successor Agency will consider approval and adoption of the ROPS 15-16B which includes the obligations set forth in this Amendment and lists, among other things, as enforceable obligations of the Successor Agency, the following obligations related to the Premises as more fully described and referenced therein: (i) Concession License Agreement, as amended ("Concession Agreement")-, (ii) License Agreement, as amended ("License Agreement'); (iii) Stadium Field and Maintenance Agreement, as amended ("Maintenance Agreement'); (iv) Stadium operations and maintenance obligations; and (v) The Stadium Interim Management Agreement. J. Following approval of the ROPS 15-16B by the Oversight Board and the Successor Agency, the ROPS 15-16B will be transmitted to the DOP for its review and approval. K. 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 seeks to provide for the continued efficient and cost effective management, maintenance and operation of the Premises for calendar year 2016 and to retain the Storm which possesses the experience and qualifications to carry out such continuing obligations on an interim basis so as to ensure that the "Lake Elsinore Storm," a single "A" baseball team which is a member of the California League of the National Association of Professional Baseball and owned by Storm LP, continue to play its home baseball games at the Stadium. L. In furtherance of the purpose and intentions of the parties as with respect to the Interim Agreement, the parties hereto agree to amend the Interim Agreement as provided herein. AGREEMENT NOW THEREFORE, in consideration of the foregoing Recitals and the terms contained herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties do hereby agree as follows: Third Amendment to Statdwm Inh m Management Agt Final - 2 - I . Term of Agreement; Termination. Section 6 of the Interim Agreement, entitled "Term of Agreement; Termination," is hereby deleted in its entirety and replaced with the following: 6. Term of Agreement; Termination 6.1. Tern. The term of the Interim Agreement (hereinafter the "Term") shall commence on the Effective Date and shall, unless earlier terminated in accordance with Sections 6.2, 19, or 20 hereof, automatically terminate on December 3l, 2016. 6.2. Rights of Termination Prior to Commencement and Expiration of the Term (a) January 1, 2016 Termination. Successor Agency may terminate this Interim Agreement prior to the Commencement Date, by giving written notice thereof to the Storm no later than November 30, 2015, (b) June 30, 2016 Termination. Successor Agency may terminate this Interim Agreement effective as of June 30, 2016, by giving written notice thereof to the Storm no later than May 30, 2016. (c) Default. The Successor Agency and Storm shall have the right to terminate this Interim Agreement as a result of an uncured Default hereunder. Any such termination shall be made in accordance with Sections 19 or 20. (d) Party's Property and Offset. Upon termination of this Interim Agreement under this Section 6.2, all materials and equipment purchased by either party hereunder in connection with this Interim Agreement shall remain that party's property. In addition, the Storm shall be entitled to an offset for all of the Storm's services rendered hereunder through the effective date of any such termination. (e) Effect of Termination. Notwithstanding the termination of this Interim Agreement pursuant to this Section 6.2, the provisions of Stadium Operations Contracts shall remain in full force and effect. 2. Compensation. Section 7 of the Interim Agreement, entitled "Compensation," is hereby deleted in its entirety and replaced with the following: 7. Compensation 7.1. Stadium Operations Contracts Compensation Recap. Pursuant to the Stadium Operations Contracts, the Storm and/or the Successor Agency are entitled to compensation during the Term as follows: (a) 2016 License Storm is required to pay to the Successor $497,297 for 2016. 'Third Amendment to Stadium Interim Management At Proal - 3 - Fee: Under the License Agreement, the Agency a License Fee in the amount of (b) Percentage of Concessions: Under the Concession Agreement, the Storm's affiliate, Golden State, is required to pay Successor Agency a percentage of the LRCS pursuant to Section 6 thereof (the "GRCS Concession Fee."). (c) Annual Maintenance Fee: Under the Maintenance Agreement, Successor Agency is required to pay Storm an Annual Maintenance Fee of $232,159 for 2016. 7.2. Storm Compensation January 1, 2016 — December 31, 2016. Commencing upon the Commencement Date (January 1, 2016) and continuing through the expiration of the Term (December 31, 2016) and as consideration for the performance of the services set forth herein, the Storm shall be compensated as follows: (a) Assignment of GRCS Concession Fee. Successor Agency hereby assigns Successor Agency's right to payment of the GRCS Concession Fee under the Concession Agreement to the Storm during the Term, estimated at $34,000 annually; and (b) Waiver of License Fee. Successor Agency hereby waives Successor Agency's right to payment of the License Fee under the License Agreement during the Term as an offset against the payments due by the Successor Agency to the Storm hereunder; and (c) Payment of Maintenance Fee. Successor Agency shall continue to pay the Annual Maintenance Fee as identified in Section 7.1(d) (i.e., $232,159). (d) Payment of Additional Interim Management Fee. Successor Agency shall pay to Storm $445,589, payable in equal monthly installments ("Additional Interim Management Fee"). The Maintenance Fee along with the Additional Interim Management Fee will result total cash payment from the Successor Agency to the Storm of $667,752 as consideration for services provided under the Stadium Operations Contracts and this Interim Agreement, which aggregate amount shall be payable in equal monthly installments of $56,646. The Storm acknowledges and agrees that in no event will the Agency be required to provide the Storm with any other form of payment for performance of the services as provided in this Interim Agreement. The parties acknowledge that the historic operating costs of the Stadium equal or exceed the compensation due to Storm hereunder and that it is in each of the party's best interests to enter into this Agreement for the efficient use and operation of the Stadium. 3. Capital Repairs. Section 8 of the Interim Agreement, entitled "Capital Repairs," is hereby deleted in its entirety and replaced with the following: 8. Capital Repairs. Capital Repairs shall be governed by the applicable provisions of the Stadium Operations Contracts. A Capital Repair Schedule with estimated costs budgeted for ROPS 15-16B and 16-17A is set forth in Exhibit "C" attached hereto and incorporated by reference herein. 'I in Amendment to Stadium Interim Management Agt Final - 4 - The Successor Agency's Executive Director or designee ("Executive Director") will designate certain Capital Projects that shall be subject to the Department of Public Works' direct administration of the bid process and award of contract consistent with the applicable legal requirements. The Storm will undertake and complete such other Capital Repairs as set forth in Exhibit "C" as are mutually agreed. To the extent that The Storm undertakes such other Capital Repairs not undertaken by the Successor Agency, The Storm shall obtain not less than three (3) bids from qualified contractors unless otherwise excused by the Executive Director. Without limiting the Executive Director's discretion, the bidding requirement herein may be excused in situations involving emergencies and sole source contractors. In addition, The Storm acknowledges the general requirement that certain Capital Repairs are subject to the requirements of California Label- Code aborCode Section 1720, et seq., and 1770, et seq., as well as California Code of Regulations, Title 8, Section 16000, et seq., ("Prevailing Wage Laws"), which require the payment of prevailing wage rates with respect to certain capital improvements, repairs and maintenance work paid for in whole or in part out of public funds. Accordingly, The Stone agrees to, in the administrative of the bidding and contractor selection process, inform prospective bidders of the requirement to comply with the Prevailing Wage Laws. The Stone may confer with the Executive Director and seek direction with respect to whether or not a certain Capital Repair is subject to the Prevailing Wage Law. Prior to The Storm awarding a contract for a Capital Repair to a qualified contractor, the Executive Director shall: (i) confirm that The Storm has followed the proper bidding procedures for selection of a contractor; and (ii) approve the selection of the contractor and the form of any agreement between The Storm and the contractor. Upon completion of the Capital Repair (or a component thereof supporting a deposit or in -progress reimbursement), The Storm shall deliver to the Executive Director a written reimbursement request and supporting documentation (such as third party invoices, lien releases and cancelled checks). To the extent that the reimbursement request is for a completed Capital Repair, The Storm shall, if applicable, submit as -built drawings or similar plans and specifications for the items to be reimbursed. 4. Accuracy of Recitals. The Parties acknowledge the accuracy of the foregoing Recitals, which are incorporated herein by this reference. Third Ainendinent to Stadium Interim Management Agt Final - 5 - 5. Authority; Priority of Amendment. This Amendment is executed by the Parties' authorized representatives. Except as expressly modified herein, all of the terms of the Interim Agreement shall remain unchanged and in full force and effect, and the Parties shall continue to fulfill their respective obligations under the Interim Agreement as amended by this Amendment. To the extent of any conflict between the terms of the hnterim Agreement and the terms of this Amendment, the terms of this Amendment shall control. 8. Captions. The captions appearing in this Amendment are for convenience only and are not a part of this Amendment and do not in any way limit, amplify, define, construe, or describe the scope or intent of the terms or provisions of this Amendment. 9. Counterparts. This Amendment may be executed in counterparts, each of which shall be deemed an original, and all of which together shall constitute but one and the same document. 10. Commencement Date. Unless earlier terminated in accordance with Section 6.2(a), the provisions of this Amendment shall commence on January 1, 2016 (the "Commencement Date"). Third Amendment to Soadium lilt eriIII Management Agl Final - 6 - IN WITNESS WHEREOF, the parties have executed this Amendment on the respective dates set forth below. "SUCCESSOR AGENCY" SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE By: Grant Yates, Executive Director ATTEST: SUCCESSOR AGENCY ACTING SECRETARY By: Diana Giron APPROVED AS TO FORM: LEIBOLD McCLENDON & MANN, P.C. Successor Agency Counsel By: Barbara Leibold "STORM" LAKE ELSINORE STORM LP, a California limited partnership By: GJJ STORM MANAGEMENT, LLC, a California limited liability company Its: General Partner Dated: Gary E. Jacobs, Manager Ihimd Amendment la Stadium Interim Management Ael I�ina1 - % - EXHIBIT "C" CAPITAL REPAIR SCHEDULE See Attached EXHIBIT "C" LAKE ELSINORE STORM -DIAMOND STADIUM CAPITAL REPAIR SCHEDULE THIRD AMENDMENT TO THE INTERIM MANAGEMENT AGREEMENT CAPITAL REPAIR Retrofit IIVAC system S Repaving parking lots &B Stadium seating Repainting stadium green (remaining steel and pipes) Diamond Chub furniture Desert landscaping stadium Sewerl.ift Station Concessions/Plumbing Rear, fit Diamond Club Lighis Home/Vidwr locker Room Ca'pet Diamond Club Refurbishment Electrical Upgrade - Pun Zone Replace Wall Padding Stadium backstop netting Souvenir lighting &Ceiling Tiles Flooring & Painting (Visitors side/Home Side/Press Box) Ptess Box renovation Toilets, Trash Cans, Tables First Aid Room Upgrade Media Room Upgrade Bathrooms (Epoxy - OPS/Family) Refurbish Counting ]loom Diamond Club Wood & Cabinet -Refinish Security Room Carpet/Wood Replacement Outfield Fencing Equipment Replacement: Forklift John Deere Pro Gator maintenance John Deere Aerator Polaris Ranger Cleaning Carl Honda Plat Compactor Honda FC600 Walk Behind Tiller Two Generators Fairtender Conditioners Shaft Blades GearDrive EXHIBIT "C" ROPS 15-16B HOPS 16-17A 103,234.06 S - - 345,000.00 350,000.00 075,000.00 - 100,000.00 29,500.00 - - 40,000.00 950,000-00 - 230,500.00 275,00090 22,000.00 - 30,000.00 - - 14,000.00 - 24,000.00 55,000.00 - 45,000.00 20,000.00 - 64,000.00 - 28,500.00 - 59,600.00 - 17,500.00 - - 12,000.00 - 21,000.00 16,000.00 - 14,000.00 - 4,667.00 15,000.00 - 30,000.00 27,500.00 19,000.00 1-5,000.00 15,000.00 3,010.00 2,150.00 2,10000 4,05014 7,800.00 $ 1,580,912.00 $ 1,706,000.00 "N7 O, dV"� Z o IIII 0 .� DEPARTMENT OF CqC/ppRN\P F I N A N y_ E November 18, 2015 EoMUNO G. BROWN JR. • GOVERNOR 915 L Slav EI ■ SACRAMCNTC MA ■ 9 561 4-3 706 � Www.00 F. cA.q CV Mr. Jason Simpson, Director of Administrative Services City of Lake Elsinore 130 South Main Street Lake Elsinore, CA 92530 Dear Mr. Simpson: Subject: Objection of Oversight Board Action The City of Lake Elsinore Successor Agency (Agency) notified the California Department of Finance (Finance) of its September 22, 2015 Oversight Board (OB) resolution on October 2, 2015. Pursuant to Health and Safety Code (HSC) section 34179 (h), Finance has completed its review of the OB action. - Based on our review and application of the law, the Agency's OB Resolution No. OB -2015-004, related to the approval of the Third Amendment to the Stadium Interim Management Agreement between the Agency and the Lake Elsinore Storm, LP, is not approved. HSC section 34181 (e) allows an oversight board to determine whether any contract, agreement, or other arrangement between the dissolved redevelopment agency and private parties should be terminated or renegotiated to reduce liabilities and increase net revenues to the taxing entities. The oversight board is also allowed to approve any amendments to or early termination of those agreements if it finds that amendments or early termination would be the best interests of the taxing entities. This amendment, however, would increase the estimated Capital Repair Schedule costs by $1,921,912 to a total of $3,286,912, and therefore would not be in the best interests of the taxing entities. Although HSC 34171 (d) (1) (F) allows contracts or agreements necessary for the maintenance of assets prior to disposition, the type of costs identified in relation to the increased contract amount are capital repairs that go beyond the scope of maintaining the property, such as purchase of replacement stadium seating and equipment (e.g., Forklift and Polaris Ranger), media room upgrade, and Diamond Club wood and cabinet refinishing. As authorized by HSC section 34179 (h), Finance is returning your OB action to the board for reconsideration. Mr. Jason Simpson November 18, 2015 Page 2 Please direct inquiries to Cindie Lor, Supervisor, or Satveer Ark, Lead Analyst, at (916) 445-1546. Sincerely, 4 J TYNm0) ARD roa,/ udget Manager cc: Mr. Grant Yates, Executive Director, City of Lake Elsinore Ms. Pam Elias, Chief Accountant Property Tax Division, Riverside County