City of Culver City, California
Agenda Item Report
RECOMMENDATION:
Staff recommends the Board of Directors of the Successor Agency to the Culver City
Redevelopment Agency (Successor Agency Board) adopt the attached proposed
Resolution creating the Redevelopment Obligations Retirement Fund.
BACKGROUND:
Pursuant to AB 1X 26 (AB 26), the Redevelopment Agency Dissolution Bill, the
Culver City Redevelopment Agency (CCRA) was dissolved effective at 12:01 AM on
February 1, 2012. As provided in AB 26, on January 9, 2012, the City Council
adopted Resolution No. 2012-R001 affirmatively electing to have the City serve as
the Successor Agency to the Culver City Redevelopment Agency.
On February 6, 2012, the Successor Agency Board adopted a Resolution which
deemed the Successor Agency to the Culver City Redevelopment Agency a
separate and distinct legal entity. As such, the Successor Agency will operate
separate and apart from the City of Culver City including having a segregated
accounting system and a separate checking account.
DISCUSSION:
Pursuant to Health and Safety Code Section 34170.5, each successor agency to a
former redevelopment agency shall create within its treasury a Redevelopment
Meeting Date: 02/13/12 Item Number: C-2
BOARD OF DIRECTORS OF THE SUCCESSOR AGENCY TO THE CULVER CITY
REDEVELOPMENT AGENCY AGENDA ITEM: Adoption of a Resolution Creating
the Redevelopment Obligations Retirement Fund.
Contact Person/Dept.:
Jeff Muir, Chief Financial Officer
Phone Number:
(310) 253-5870
Fiscal Impact: Yes [x] No [] General Fund: Yes [] No [x]
Public Hearing: [] Action Item: [] Attachments: [X]
Public Notification: Meetings and Agendas – City Council/SA (02/09/12)
Department Approval:
Jeff S. Muir (02/08/12)
City Attorney Approval:
Carol Schwab (by H. Baker) (02/09/12)
Chief Financial Officer Approval:
Jeff S. Muir (02/08/12)
City Manager Approval:
John M. Nachbar (02/09/12) City of Culver City, California
Agenda Item Report
Obligation Retirement Fund to be administered by the successor agency. The
attached Resolution will authorize the Chief Financial Officer to create such a fund
for the deposit of property tax funds from the County Auditor-Controller in the future.
FISCAL ANALYSIS:
Creation of the Redevelopment Obligation Retirement Fund will allow the Successor
Agency to the Culver City Redevelopment Agency, to receive funds from the County
Auditor-Controller to pay enforceable obligations of the former Redevelopment
Agency.
ATTACHMENTS:
Proposed Resolution.
MOTION:
That the Board of Directors of the Successor Agency to the Culver City
Redevelopment Agency:
Adopt a Resolution creating the Redevelopment Obligations Retirement Fund.
1. Proposed Resolution
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MEETING DATE: February 13, 2012
AGENDA ITEM: Adoption of a Resolution Creating the Redevelopment
Obligations Retirement Fund.
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RESOLUTION NO. 2012-SA
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE
SUCCESSOR AGENCY TO THE CULVER CITY REDEVELOPMENT
AGENCY CREATING A REDEVELOPMENT OBLIGATION RETIREMENT
FUND PURSUANT TO HEALTH AND SAFETY CODE SECTION 34170.5
AND TAKING CERTAIN ACTIONS IN CONNECTION THEREWITH.
WHEREAS, AB X1 26 and AB X1 27 were signed by the Governor of California
on June 29, 2011, making certain changes to the Community Redevelopment Law (Part
(commencing with Section 33000) of Division 24 of the California Health and Safety Code)
(the "Redevelopment Law"), including adding Part 1.8 (commencing with Section 34161)
("Part 1.8") and Part 1.85 (commencing with Section 34170) ("Part 1.85").
WHEREAS, the California Redevelopment Association and League of California
Cities filed a lawsuit in the Supreme Court of California (California Redevelopmen
Association, at a/. v. Matosantos, et al., Case No. S194861) alleging that AB X1 26 and AB
X1 27 are unconstitutional. On December 29, 2011, the Supreme Court issued its opinion in
the Matosantos case, largely upholding AB X1 26, invalidating AB X1 27, and holding that AB
X1 26 may be severed from AB X1 27 and enforced independently.
WHEREAS, the Supreme Court generally revised the effective dates and
deadlines for performance of obligations in Part 1.85 arising before May 1, 2012, to take effec
four months later.
WHEREAS, as a result of the Supreme Court's decision, the Culver City
Redevelopment Agency ("CCRA"), a redevelopment agency in the City of Culver City, created
pursuant to the Redevelopment Law, was dissolved pursuant to Part 1.85 on February 1,
2012.
WHEREAS, by its Resolution No. 2012-R001, adopted on January 9, 2012, the
City Council made an election to serve as the successor agency for the CCRA under Part
1.85 (the "Successor Agency").
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WHEREAS, by its Resolution No. 2012-SA001, adopted on January 30, 2012,
the Board of Directors of the Successor Agency established rules and regulations applicable
to the governance and operation of the Successor Agency, and pursuant to such resolution
provided that the Successor Agency will be governed by a Board of Directors (the 'Board")
consisting of the members of the City Council of the City.
WHEREAS, Health and Safety Code Section 84170.5 provides that each
successor agency shall create within its treasury a Redevelopment Obligation Retirement
Fund to be administered by the successor agency.
WHEREAS, accordingly, the Board desires to adopt this Resolution creating a
Redevelopment Obligation Retirement Fund within the treasury of the Successor Agency.
NOW, THEREFORE, the Board of Directors of the Successor Agency to the
Culver City Redevelopment Agency HEREBY FINDS, DETERMINES, RESOLVES, AND
ORDERS as follows:
SECTION 1. The above recitals are true and correct and are a substantive part
of this Resolution.
SECTION 2. This Resolution is adopted pursuant to Health and Safety Cede
Section 34170.5.
SECTION 3. The Executive Director and the Chief Financial Officer are hereby
authorized and directed to create within the treasury of the Successor Agency a
Redevelopment Obligation Retirement Fund to be administered by the Successor Agency.
SECTION 4. The Secretary is hereby authorized and directed to file a certified
copy of this Resolution with the County Auditor-Controller.
SECTION 5. The officers and staff of the Successor Agency are hereby
authorized and directed, jointly and severally, to do any and all things which they may deem
necessary or advisable to effectuate this Resolution, and any such actions previously taken
by such officers are hereby ratified and confirmed.
SECTION 6. This Resolution shall take effect immediately upon its adoption.
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ATTEST:
MARTIN R. COLE, Secretary
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APP 0 • RM:
WA."
L.4.11/4,41 •" 11 /e
R- OL A. SCHWAT, Successor Agency
ounsel
APPROVED AND ADOPTED, this day of , 2012.
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MICHEAL 0' LEARY, CHAIR
Successor Agency to the Culver City
Redevelopment Agency
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