1987-0901_ORANGE, COUNTY OF_Agreement0 a
ORIGINAL
AGREEMENT
This Agreement is made and entered into this 41� day
of ,,� . 1987 by and between the County of Orange,
the Or nge County Flood Control District, the Orange County
harbors, beaches and Parks District (hereinafter collectively
referred to as "County Taxing Entities"), the San Juan
Capistrano Redevelopment Agency (hereinafter referred to as the
"Agency"), and the City of San Juan Capistrano (hereinafter
referred to as the "City"):
R E C I T A L S
WHEREAS, the Agency is a redevelopment agency existing
pursuant to the provisions of the Community Redevelopment Law
(California Health and Safety Code Section 33000 et seq.) which
has been authorized to transact business and exercise the
powers of a redevelopment agency pursuant to action of the City
Council of the City; and
WHEREAS, the Agency has prepared, and the City Council of
the City has adopted by Ordinance No. 488, a redevelopment plan
entitled "San Juan Capistrano Central Redevelopment Project"
(the "Redevelopment Plan") which delineated a redevelopment
project area (the "Project Area,); and
WHEREAS, the Redevelopment Plan as approved by Ordinance
No. 488 contains provisions for the distribution and allocation
of property tax revenues derived from property located within
the Project Area, as described in the attached Exhibit "A", to
the Agency pursuant to California Health and Safety code
Section 33670(b) (hereinafter referred to as "Original Area Tax
Increment"); and
WHEREAS, Fiscal Review Committee meetings were held by
representatives of the County and other affected taxing
entities to determine the fiscal impact of the Project and the
anticipated allocation of tax increment money to implement the
Redevelopment Plan; and
WHEREAS, on June 24, 1983 the Fiscal Review Committee found
that the use of tax increment financing would have an adverse
fiscal impact on the County Taxing Entities; and
WHEREAS, the parties agree that the redevelopment project
will cause a financial burden and detriment to the affected
County Taxing Entities, in that there will be a net increase in
the services provided by the County Taxing Entities; and
WHEREAS, by ordinance No. 509 of the City, the
Redevelopment plan was amended by the "1984 Amendment", which
1984 Amendment increased the total amount of tax increment
which could be allocated to the Agency but which did not change
the territory included within the Project Area; and
WHEREAS, the parties hereto previously entered into an
agreement dated as of July 10, 1984 concerning the allocation
of taxes with respect to the Project Area (the "1984 County
Agreement"); and
WHEREAS, by Ordinance No. 547 of the City, the
Redevelopment Plan was amended by the "1985 Amendment", which
1985 Amendment increased the territory included within the
Project Area but did not increase the amount of tax increment
which could be allocated to the Agency, and the Project Area as
amended by the 1985 Amendment is described in the attached
Exhibit "B"; and
WHEREAS, the parties thereafter entered into a second
agreement dated as of December 10, 1985 (the "1985 County
Agreement") providing for an allocation of taxes with respect
to the territory included within the Project Area by virtue of
the 1985 Amendment (the "1985 Added Area Tax increment"); and
WHEREAS, by Ordinance No. 582 of the City, the
Redevelopment Plan was further amended by the "1986 Amendment',
which 1986 Amendment further increased the territory included
within the Project Area but did not increase the total amount
of tax increment which could be allocated to the Agency; and
WHEREAS, the original Project Areas (as approved by
ordinance No. 488), and the area added to the Project Area by
Ordinance No. 547 (the "1985 Added Area"), and the area added
to the Project Area by Ordinance No. 582 (the "1986 Added
Area") shall together be referred to herein as the "Amended
Project Area", and said Amended Project Area is described in
the attached Exhibit "C"; and
WHEREAS, upon adoption of the 1986 Amendment, provisions
for the distribution and allocation of property tax revenues,
in conformity with California Health and Safety Code Section
33670(b), shall be applicable to the Amended Project Area; and
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WHEREAS, the parties have conducted informal meetings and
discussions to exchange information concerning the 1966
Amendment and its impacts and, based upon such discussions,
have determined that the receipt of tax increment by the Agency
from the 1986 Added Area the "1986 Added Area Tax Increment"
would have an adverse impact on the County Taxing Entities; and
WHEREAS, the parties agree that the 1986 Amendment will
cause a financial burden and detriment to the affected County
Taxing Entities, in that there will be a net increase in the
quality and quantity of services provided by the County Taxing
Entities; and
WHEREAS, the parties agree that the payments provided for
under this Agreement are necessary to alleviate the above
financial burdens and detriments; and
WHEREAS, the total original Project Area Tax Increment, the
1985 Added Area Tax Increment and the 1986 Added Area Tax
Increment together, shall be referred to as the "Combined Tax
Increment"; and
WHEREAS, pursuant to California Health and Safety Code
Section 33401, the Agency may pay to the County Taxing
Entities, which taxing agencies have territory located in the
Amended Project Area, an amount of money which, in the Agency's
determination, is appropriate to alleviate any financial burden
or detriment caused to the County Taxing entities by the
Redevelopment Project as amended by the Amendment; and
WHEREAS, for the above reasons, and to amicably resolve any
differences regarding the Amended Redevelopment Plan and any
activities previously taken thereunder, the parties hereto
enter into this Agreement;
NOW, THEREFORE, In consideration of the foregoing and
the mutual covenants and conditions contained herein, the
parties hereto agree as follows:
SECTION 1:
A. In each year, commencing with fiscal year 1983-84,
that property taxes are allocated to and paid into the special
fund of the Agency from the Amended Project Area pursuant to
Health and Safety Code Section 33670(b), the Agency will pay or
cause to be paid to Orange County Structural Fire Fund, the
Orange County General Fund, and the Orange County Flood Control
district the corresponding percentages of the amount so
allocated to and paid into said special fund as follows:
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5857k/2299/03 -3-
0
a
Orange County General Fund
Orange County food control District
Orange County Structural Fire fund
4.0%
2.2%
10.9°%
B. Each fiscal year commencing the first fiscal year
after the Agency has received a total of Three Hundred Fifteen
Million dollars ($315,000,000) in Combined Tax Increment from
the Amended Project Area, instead of those percentages set
forth in Part A of this Section 1, the Agency shall pay to the
County General Fund, Orange County Structural Fire Fund, Orange
County Library Fund, Orange County harbors, Beaches and parks
District Fund, and Orange County Flood Control district Fund an
amount equal to one hundred percent (100%) of the amount which
would have been received by each of the above taxing entities
in that fiscal year if all property tax revenues from the
Amended Project Area were allocated to all the affected taxing
agencies without regard to the diversion of taxes required by
Health and Safety Code Section 33670, or its successor.
C. As used in this Agreement, the terms "property tax
revenues" and "Combined Tax Increment" shall only include all
ad valorem property taxes allocated and paid to the special
fund of the Agency pursuant to Health and Safety Code Section
33670(b), or its successors.
D. Notwithstanding the foregoing, the obligation of the
Agency to make those payments described in Part A and part B of
this Section 1 shall be subject to the following adjustments:
(1) In the event that the City terminates its use of
County fire protection services, the obligation of the Agency
to pay funds to the County for the Orange County Structural
Fire Fund shall be terminated effective the first full fiscal
year following said termination; and
(2) All funds paid by or on behalf of the Agency
which are to be paid to the Orange County Structural Fire Fund
and the Orange County Flood Control District shall be deposited
into the orange County Structural Fire Fund and the Orange
County Flood control District Fund, respectively, for use only
for fire protection purposes and Flood Control District
purposes respectively as allowed by statute.
SECTION 2:
Payments to County Taxing entities as set forth in
Section 1 above are subject to the following conditions and
limitations:
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A. The Agency's obligations under this Agreement are
deemed to constitute "an indebtedness" within the meaning of
Health and Safety Code Section 33675.
B. The Agency shall pay to the County Taxing Entities
amounts due pursuant to this Agreement during each fiscal year
within a reasonable period after the Agency receives the tax
increment allotment from the County Auditor -Controller,
provided that payments in relation to allotments received
between July 1 and December 31, of any fiscal year shall be
made no later than the following February 28; and that payments
in relation to allotments received between January 1 and
June 30 of any fiscal year shall be made no later than the
following August 30.
C. Except as otherwise provided in this Section 2.C. the
Agency's obligation to make the payments referenced in Section
1 shall not be subordinated to any pledge of or other
obligation by the Agency, including but not limited to the
Agency's obligation under Health and Safety Code Section
33334.2 and any reimbursement agreements with other taxing
agencies receiving taxes from the Amended Project Area;
provided that, notwithstanding the foregoing, the Agency may
pledge on a first and senior basis all amounts referred in
Section 1: (i) with the consent of the County; or (ii) upon
the payment by the Agency to the County (or commitment by a
trustee or fiscal agent in connection with the issuance of
bonds to cause to be annually paid) from the proceeds of such
issue or other revenues available to the Agency such revenues
as would be payable to the County in any year in which pledged
revenues would be payable tot he County pursuant to this
Agreement. It is the mutual intention of the parties that this
clause (ii) shall neither increase nor decrease the amounts
payable annually to the County by the Agency pursuant to this
Agreement.
D. The Agency's obligation to make payments hereunder
shall be limited to and be paid only from Combined Tax
Increment from the Amended Project Area received by the
Agency. The City shall have no financial obligation by virtue
of this Agreement, and shall not be responsible for the
discharge of obligations of the Agency herein. The Agency
shall be deemed to be fully discharging its obligations under
this Agreement if it pays or causes the payment of those
amounts payable pursuant to Section 1 of this Agreement.
E. Notwithstanding any other provision of this Agreement
to the contrary, the Agency's obligation to make payments to
any County Taxing entity under this Agreement in any single
year shall not exceed the amount of property tax revenues which
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would have been received by that County Taxing Entity if all
the property tax revenues from the Amended Project Area had
been allocated to all the affected taxing agencies without
regard to the division o taxes required by Health and Safety
Code Section 33670.
F. The 1985-86 assessment roll shall be the base year
assessment roll for the 1986 Added Area. The base roll for
territory included within the Project Area by virtue of
Ordinance No. 488 and Ordinance No. 547 shall not be changed
from the base roll applicable to such territory and in effect
prior to the execution of this Agreement.
SECTION 3:
The County Taxing Entities consent to and approve the 1986
Amendment, which has been reviewed by the County Taxing
Entities and provides for the inclusion of the 1986 Added Area
to the Amended Project Area and the use of tax increment
financing with respect to such Added Area. The County Taxing
Entities agree that they will not file any lawsuit attacking or
otherwise questioning the validity of the 1986 Amendment or the
adoption or approval of such Amendment, or any other findings
or determinations previously made by the Agency or the City
Council in connection with such Amendment, or any actions
previously taken by the Agency or the City to implement the
Redevelopment Plan, the 1984 Amendment, the 1985 Amendment, or
the 1986 Amendment.
SECTION 4:
This Agreement constitutes the entire agreement between the
Agency and the County Taxing entities with respect to the
matters set forth herein, and supersedes any prior agreements
by the parties in connection with the Redevelopment Plan or the
Amendments thereto (including without limitation the 1984
County Agreement and 1985 County Agreement); any changes,
modifications or amendments thereto shall be legally binding
and effective only upon duly executed written amendment hereto.
SECTION 5:
This Agreement shall become effective the date last
executed below and shall continue in effect until the Agency is
deactivated pursuant to Section 33141 of the California Health
and Safety Code or its successor.
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IN WITNESS WHEREOF, the parties hereto have executed
this Agreement on the day and year first above written.
Dated: SEP 1 jNpO,"V I
APPROVED AS TO FORM:
ADRIAN KUYPER, COUNTY COUNSEL
By:
Depu y
SIGNED AND CERTIFIED THAT A COPY OF
THIS DOCUMENT HAS BEEN DELIVERED TO
THE CHAIRMAN OF THE BOARD.
LINDA D. ROBERTS Clerk QQf
the Board of SupervisorsSEP 1 1987
Dated: July 21. 1987
APPROVED AS TO FORM*
Agency Legal Counsel
Thomas Clark
Dated: ,July 21, 1987
APPROVED AS TO FORM:
Attorney John Shaw
City Clerl gency Sec etary
Diary Ann Hanover
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COUNTY OF ORANGE, ORANGE
COUNTY FLOOD CONTROL DISTRICT
and ORANGE COUNTY HARBORS,
BEACHES AND PARKS DISTRICT
By j u
airman, Board of
upervisors
SAN JUAN CAPISTRANO
REDEVELOPMENT AGENCY
By:
Cha rman Gary L. Hausdor /or
CITY OF SAN JUAN CAPISTRANO
By:
Mayor, ty Council
Anthony Bland
0
October 6, 1987
wr OF
N G E
COUNTY ADMINISTRATIVE OFFICE
Mr. Stephen Julian, City Manager
City of San Juan Capistrano
32400 Paseo Adelanto
San Juan Capistrano, CA 92675
Dear Mr. Julian,
i
LARRY PARRISH
COUNTY ADMINISTRATIVE OFFICER
ROBERT E. THOMAS HALL OF AOMINISTRATION
10 CIVIC CENTER PLAZA. SANTA ANA. CA 82701
(714) 834-2345
The Orange County Board of Supervisors has approved the tax increment reim-
bursawnt agreement negotiated between the City and the Canty for the
San Juan Capistrano Redevelopment Project kwO ment No. 86-1.
I am enclosing a copy of that agreement for the city's files.
RAK:dr
Enclosure
rk5
i
y,
chard Keefe
Manager, InteYgwPr„RwT,t al Relations
OCT 0 7 IF?
0 i
MINUTES OF THE BOARD OF SUPERVISORS
OF ORANGE COUNTY, CALIFORNIA
SEPTEMBER 1, 1987
TAX INCREMENT REIMBURSEMENT AGREEMENT WITH SAN JUAN CAPISTRANO REDEVELOPMENT
AGENCY: County Administrative Office requests approval of negotiate
agreement with the City of San Juan Capistrano Redevelopment Agency which
provides for the pass-through of certain tax increments to the County family
of funds impacted by the San Juan Capistrano Redevelopment Project Amendment
No. 86-1.
MOTION: On motion by Supervisor Riley,
Board moved to: 1. Authorize execution
Clerk of the Board to cause the original
sent to the City of San Juan Capistrano.
CARRIED.
®F1013-2.3 (12/76)
seconded by Supervisor Wieder, the
of the agreement. 2. Direct the
executed copy of the agreement to be
Supervisor Roth was absent. MOTION
•
July 24, 1987
Mr. Richard Keefe
County Administration Office
10 Civic Center Plaza
Santa Ana, California 92701
Re:
Dear Mr. Keefe:
for
MEMBERS OF THE CITY COUNCIL
ANTHONY L. BLAND
LAWRENCE F. BUCHHEIM
KENNETH E. FRIESS
GARY L. HAUSOORFER
PHILLIP R. SCHWARTZE
CITY MANAGER
STEPHEN R JULIAN
The City Council of the City of San Juan Capistrano and the Board of Directors of the
San Juan Capistrano Community Redevelopment Agency at their respective regular
meetings held July 21, 1987, approved the Tax Increment Pass Through Agreement with
the County of Orange for Redevelopment Project Amendment No. 86-1.
Three copies of the Agreement executed by the City and the Agency are enclosed. Upon
approval of the Board of Supervisors, please return one fully -executed copy to this
office.
Thank you for your cooperation. If we can be of further assistance, please call.
Very truly yours,
Mary Ann Hinover, CMC
City Clerk
MAH/mac
Enclosures
cc: Director of Community Planning and Development
32400 PASEO ADELANTO. SAN JUAN CAPISTRANO. CALIFORNIA 92675 • (714) 4931171
0 0
JULY 21, 1987
REGULAR MEETING OF THE SAN JUAN CAPISTRANO
COMMUNITY REDEVELOPMENT AGENCY
BOARD OF DIRECTORS
The Regular Meeting of the Board of Directors of the San Juan Capistrano Community
Redevelopment Agency was called to order by Chairman Hausdorfer at 7:16 p.m., in the
City Council Chamber.
ROLL CALL PRESENT: Gary L. Hausdorfer, Chairman
Kenneth E. Friess, bice Chairman
Anthony L. Bland, Director
Lawrence F. Buchheim, Director
Phillip R. Schwartze, Director
ABSENT: None
STAFF PRESENT: Stephen B. Julian, Executive Director; Thomas G. Merrell, Deputy
Director; Mary Ann Hanover, Agency Secretary; Robert G. Boone, Finance Officer;
Glenn Southard, Assistant City Manager; John R. Shaw, City Attorney; William D.
Murphy, Director of Public works; Thomas L. Baker, Director of Community Services;
Cheryl Johnson, Recording Secretary.
MTNIITFS
Adjourned Regular Meeting of June 30, 1987:
It was moved by Director BuChheim, seconded by Director Bland, that the Minutes of the
Adjourned Regular Meeting of June 30, 1987, be approved as submitted. The motion
carried by the following vote:
AYES: Directors Bland, Buchheim,
and Chairman Hausdorfer
NOES: None
ABSTAIN! Directors Schwartze and Friess
ABSENT: None
Regular Meeting of July 7, 1987:
It was moved by Director Buchheim, seconded by Director Bland, that the Minutes of the
Regular Meeting of July 7, 1987, be approved as submitted. The motion carried by the
following vote:
-1-
7/21/87
AYES:
Directors Friess,
nd Chairman Ha
one
>AACTIONS
irector Schwart
one
BOARD
1. APPROVAL OF
WARRANTS(300.
2.
3.
nd,Buchheim,
orfer
It was moved by Director Sch rtze, econded �
carried to approve the List Deman dated July
the total amount of $1,29 , 66.84.
ANNUAL REPORT ( 0.10)
Written Comm tcations:
Report date July 21, 1987, from th Depu
Report fo Fiscal Year 1986-87, \hic set foi
project nd accomplishments over th p st y ar.
or Friess, and unanimously
', Warrant Nos. 526-545, in
Director, forwarding the
th the status of redevel
as moved by Councilman Buch seconded by Councilman Bland and
imously carried to receive and file t Annual Report for Fiscal Year 1986-87.
Written Communications:
Report dated July 21, 1987, from the Deputy Director, forwarding an agreement
between the County, the City, and the Community Redevelopment Agency to set
1985-86 as the base year assessment roll for the 1986 Added Area of the
Redevelopment Plan (Great Western/Price Club property). The base year for the
remaining territory in the Project Area will remain 1984-85. The total percentage
of tax increment to be passed through to the County for the taxing agencies
remained at 17.196. This agreement constituted the entire agreement between the
Agency and the County Taxing entities and superseded prior agreements in
connection with the Redevelopment Plan or amendments thereto. The agreement
will become effective upon execution by the Board of Supervisors.
Approval of Agreement:
It was moved by Director Schwartze, seconded by Director Bland and unanimously
carried to approve the tax increment agreement and to authorize the Chairman and
Agency Secretary to execute the agreement on behalf of the Agency for forwarding
to the Orange County Board of Supervisors.
-2-
7/21/87
AGENDAITEM
TO: Stephen B. Julian, City Manager
FROM: Thomas G. Merrell, Director
Community Planning and Development
SUBJECT: County Tax Increment Pass Through Agreement for
Redevelopment Project Amendment No. 86-1
SITUATION
July 21, 1987
A. Summary and Recommendation - Redevelopment Plan Amendment 86-1 was adopted
on August 19, 1986. As part of that amendment, the Agency and City agreed to
enter into an agreement with the County of Orange to mitigate potential fiscal
impacts to the County arising from new development within the project area.
Therefore, it is now appropriate for the City to approve the attached agreement and
forward it to the County for its execution.
B. Background - The Redevelopment Plan Amendment adopted on August 19, 1986,
consisted of a map change to add the Great Western (Price Club) property
(23.032 acres) into the project area. The County determined that the addition of
this area would impact the services the County provides to the City.
The proposed agreement does not change the percentages to be passed to the County
from the Agency from the affected taxing agencies (Orange County General Fund,
Flood Control District and Fire Protection Fund) provided for in the existing
agreement between the County/City/Agency. The only change in the agreement is
that the base year for the assessed roll is to be 85-86 instead of 84-85 for this
particular property. The total percentage of tax increment to be passed through to
the County for the taxing agencies is 17.1%.
The County requests the Agency and City execute the agreement prior to the
County Board of Supervisors acting on the matter.
PUBLIC NOTIFICATION
None.
COMMUNITY REDEVELOPMENT AGENCY
The Redevelopment Agency is considering this matter at its meeting of July 21, 1987.
COMMISSION/BOARD REVIEW, RECOMMENDATION
Not applicable.
FINANCIAL CONSIDERATIONS
The agreement continues to obligate the Agency to 17.1% of the total tax increment to
be generated by the project area. Payment to the County taxing agencies would occur
upon receipt of funds by the County Au r/Controller.
i':)R Cmc`,'4 OONC1L pC ? . ,
C's
Agenda Item
ALTERNATE ACTIONS
0
-2- July 21, 1987
1. Approve the agreement and forward it to the Orange County Board of Supervisors
for execution.
2. Do not approve the agreement and authorize staff to negotiate changes to it.
RECOMMENDATION
By motion, approve the proposed tax increment agreement and authorize its execution
and forward to the County Board of Supervisors for execution.
Respectfully submitted,
Thomas G. Merrell, Director
Community Planning and Development
TGM:PAD:dh
Attachment
GPDAI721971