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Resolution Number SJCOB 14-02-25-02 OVERSIGHT BOARD RESOLUTION NO. 14-02-25-02 U A RESOLUTION OF THE OVERSIGHT BOARD TO THE SAN JUAN CAPISTRANO COMMUNITY REDEVELOPMENT AGENCY APPROVING THE SUCCESSOR AGENCY ADMINISTRATIVE BUDGET FROM JULY 1, 2014 TO DECEMBER 31, 2014, PURSUANT TO HEALTH AND SAFETY CODE SECTION 341770). WHEREAS, the San Juan Capistrano Community Redevelopment Agency ("Agency") was established as a community redevelopment agency duly organized and existing under the California Community Redevelopment Law, Health and Safety Code Section 33000, et seq. ("CRL"), and has been authorized to transact business and exercise the power of a redevelopment agency pursuant to action of the City Council ("City Council") of the City of San Juan Capistrano ("City"); and WHEREAS, Assembly Bill X1 26 added Parts 1.8 and 1.85 to Division 24 of the California Health and Safety Code, which laws cause the dissolution and wind down of all redevelopment agencies (the "Dissolution Act"); and WHEREAS, the Agency is now a dissolved redevelopment agency pursuant to the Dissolution Act; and WHEREAS, by Resolution No. 12-01-10-01 approved by the City Council at an open meeting on January 10, 2012, the City chose to become and serve as the successor agency to the dissolved Agency under the Dissolution Act; and WHEREAS, as of and on and after February 1, 2012, the City serves and acts as the "Successor Agency" and will perform its functions as the successor agency under the Dissolution Act to administer all enforceable obligations of the Agency and otherwise unwind the Agency's affairs, all subject to the review and approval by a seven-member oversight board ("Oversight Board"); and WHEREAS, pursuant to Health and Safety Code Section 34179 the Successor Agency's Oversight Board has been formed and the initial meeting has occurred on April 9, 2012; and WHEREAS, Section 34179 provides that the Oversight Board has fiduciary responsibilities to holders of enforceable obligations and the taxing entities that benefit from distributions of property tax and other revenues pursuant to Section 34188 of Part 1.85 of the Dissolution Act; and WHEREAS, Health and Safety Code Section 341770) requires the Successor Agency to prepare a proposed Administrative Budget covering the upcoming six month period and submit it to the Oversight Board for approval; and WHEREAS, pursuant to Section 341770), the Successor Agency's "Administrative Budget" is to include all of the following: (a) estimated amounts of the Successor Agency's administrative costs for the upcoming six month fiscal period; (b) the proposed sources of payment for the administrative costs; and (c) proposals for arrangements for administrative and operations services provided by the City as Successor Agency; and WHEREAS, pursuant to Section 34180(h) the Successor Agency may request authorization from the Oversight Board for the Successor Agency and the City of San Juan Capistrano to enter into an agreement to ensure provision of the necessary services from the City to support Successor Agency responsibilities in winding down the activities of the former Agency, including the estimated costs set forth in the Administrative Budget; and WHEREAS, the Oversight Board adopted Resolution No. 12-05-02-01 on May 2, 2012, to authorize the Successor Agency to enter into an "Agreement for Reimbursement of Costs and City/Successor Agency Operations Loan" ("Costs Reimbursement Agreement"), which agreement authorizes the reimbursement of costs incurred by the City to support Successor Agency operations and obligations; and WHEREAS, the Oversight Board adopted Resolution No. 12-05-02-01 on May 2, 2012, to approve the Administrative Budget for the period from February 1, 2012, to June 30, 2012; and WHEREAS, the Oversight Board adopted Resolution No. 12-06-20-01 on June 20, 2012, to approve the Administrative Budget for the period from July 1, 2012, to December 31, 2012; and WHEREAS, the Oversight Board adopted Resolution No. 12-12-19-01 on December 19, 2012, to approve the Administrative Budget for the period from January 1, 2013, to June 30, 2013; and WHEREAS, the Oversight Board adopted Resolution No. 13-06-25-02 on June 25, 2013, to approve the Administrative Budget for the period from July 1, 2013, to December 31, 2013; and WHEREAS, the Oversight Board adopted Resolution No. 13-09-24-02 on September 24, 2013, to approve the Administrative Budget for the period from January 1, 2014, to June 30, 2014; and WHEREAS, the Successor Agency's proposed Administrative Budget for the period from July 1, 2014, to December 31, 2014 has been submitted to the Oversight Board for its review and approval; and WHEREAS, the Administrative Budget, as approved by the Oversight Board, will be provided to the County of Orange Auditor-Controller pursuant to Health and Safety Code Section 34177(k) so that the Successor Agency's estimated administrative costs in the approved Administrative Budget will be paid from available property tax revenues deposited into the Redevelopment Property Tax Trust Fund first, then reserves for the upcoming six-month period. 2 NOW THEREFORE, BE IT RESOLVED, that the Oversight Board to the Successor Agency of the San Juan Capistrano Community Redevelopment Agency, does hereby resolve as follows: Section 1. The foregoing recitals are incorporated into this Resolution by this reference, and constitute a material part of this Resolution. Section 2. Pursuant to CRL Section 341770), the Oversight Board approves the Successor Agency's proposed Administrative Budget, attached hereto as Exhibit A and incorporated by this reference. Section 3. The Oversight Board authorizes the Executive Director and/or the Finance Officer of the Successor Agency to transmit the Administrative Budget to the County Administrative Officer, County of Orange Auditor-Controller, the California State Department of Finance, and the State Controller's Office, and to cause the approved Administrative Budget to be posted on the Successor Agency's website, all in accordance with Section 34177(I)(2)(C) of the Dissolution Act. Section 4. This Resolution shall take effect immediately upon adoption. Section 5. The Secretary of the Oversight Board Secretary shall certify to the adoption of this Resolution. U PASSED, APPROVED and ADOPTED this 25th day of February 2014. Laura Freese, Chair ATTEST: , ovT ari Morris, O rsight Board Secretary 3 STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ss. CITY OF SAN JUAN CAPISTRANO ) I, MARIA MORRIS, appointed Oversight Board Secretary of the Oversight Board to the Successor Agency of the San Juan Capistrano Community Redevelopment Agency, do hereby certify that the foregoing Oversight Resolution 14-02-25-02 was duly adopted by the Board Members of the Oversight Board to the Successor Agency of the San Juan Capistrano Community Redevelopment Agency at a regular meeting thereof, held the 251h day of February, 2014, by the following vote: AYES: BOARD MEMBERS: Doll, Hampton, McCord, Tatarian, and Chair Freese NOES BOARD MEMBERS: None ABSENT: BOARD ME ERS: Kerr, Thomas MAR M RRIS, O E SI HT BOARD SECRETARY SUCCESSOR AGENCY ADMINISTRATIVE BUDGET July 1,2014 throurth December r Funding Source Bond Obligation Type Description Total RPTTF 1 Proceeds Successor Agency share of City employee's salaries and Administrative Costs benefits as well as utilities, supplies, legal and bond $125,000 $125,000 $0 administration costs associated with outstanding debt of the former redevelopment agency City staff costs associated with the Implementation of the The Groves Affordable Housing project expected to be Projected Management Costs incurred during this period. These services are provided 50,000 50,000 pursuant to the Agreement for the Reimbursement of Costs approved by the Oversight Board on May 2, 2012, (Resolution 12-05-02-01). Total Administrative Expenses 2 $175,000 1 $125,000 $50,000 (1) For Fiscal Year 2013-2014, the City, as the Successor Agency, is entitled to receive up to 3% of the portion of its Redevelopment Property Tax Trust Fund (RPTTF), but not less than $250,000, to meet the administrative expenses of serving as the Successor Agency. This amount represents one-half of the minimum annual amount for this six-month period. (2)Administrative costs are identified on Lines 28,29, and 30 of the Successor Agency's ROPS 14-15A. EXHIBIT A