HomeMy WebLinkAbout2003-265
(See Companion Resolution'CDC/2003-29)
RESOLUTION NO. 2003-265
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A RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE
CITY OF SAN BERNARDINO AUTHORIZING THE MAYOR TO EXECUTE
A REDEVELOPMENT COOPERATION AGREEMENT BY AND AMONG
THE INLAND VALLEY DEVELOPMENT AGENCY, THE
REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO
("AGENCY") AND THE CITY OF SAN BERNARDINO RELATING TO THE
INITIATION OF STUDIES FOR THE REDEVELOPMENT OF LANDS
PREVIOUSLY ACQUIRED BY THE AGENCY AND RELATING TO
TRANSFER OR DELEGATION OF REDEVELOPMENT AUTHORITY TO
THE AGENCY RELATIVE TO PROPERTIES IN THE NORTH ARDEN-
GUTHRIE AREA ("ARDEN-GUTHRIE IMPLEMENTATION AREA")
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WHEREAS, for the past many years the City of San Bernardino (the "City") and th
Redevelopment Agency of the City of San Bernardino (the "Agency") have been engaged i
efforts to address blighting conditions in a portion of the City known as the Arden-Guthri
neighborhood; and
WHEREAS, the Arden-Guthrie neighborhood has been afflicted with a number 0
physical and economic conditions of blight over the years, as these terms are defined in Healt
and Safety Code Section 33032, including without limitation, conditions of substandar
structures and dwellings, residential overcrowding, substandard property maintenanc
conditions, inadequate design of improvements, abandonment of property, depreciating an
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stagnant property values, and criminal activity which has occurred at rates substantially highe
than crime rates in other neighborhoods of the City; and
WHEREAS, the Agency, in cooperation with the City, has previously embarked on
program to acquire properties in the Arden-Guthrie neighborhood and to relocate the persons an
households occupying such property into safe, sanitary and decent housing in other suitabl
locations; and
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WHEREAS, as of June 30, 2003, the Agency has incurred a redevelopment indebtednes
in excess of $1 0,000,000 in connection with its previous efforts to address conditions of blight i
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2003-265
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the Arden-Guthrie neighborhood and to prevent the spread of blight from the Arden-Guthri
neighborhood into nearby neighborhoods and communities; and
WHEREAS, the City believes it is necessary and appropriate for the Agency to acquir
additional lands in the Arden-Guthrie neighborhood in order the fDster a commercially viabl
and economically sustainable plan of redevelopment and reuse of the Arden-Guthri
neighborhood and to prevent the spread of blight in the Arden-Guthrie neighborhood into othe
surrounding neighborhoods and communities; and
WHEREAS, the Arden-Guthrie neighborhood IS situated within the redevelopmen
project area of the Inland Valley Development Project which is a special redevelopment projec
area administered by the Inland Valley Development Agency (the "IVDA"); and
WHEREAS, the IVDA has been established pursuant to a joint exercise of power
agreement in January 1990, for the purpose of assisting in the conversion, redevelopment an
civilian reuse of the former Norton Air Force Base located within the City of San Bernardino'
and
WHEREAS, the member governmental entities of the IVDA include the County of S
Bernardino, a political subdivision of the State of California, and the City of Colton, a municipa
corporation, and the City of Loma Linda, a municipal corporation, and the City; and
WHEREAS, the IVDA has been granted specific powers by the State Legislature in 198
(Slats, 1989 c,545 and See Now Stats 1997, c,580 and Health and Safety Code Section 33492.40
et seq,) to assist in the redevelopment of the former Norton Air Force Base and the lands i
proximity thereto pursuant to the Community Redevelopment Law (Health and Safety Cod
Section 33000, et seq" hereinafter referred to as the "CRL"); and
WHEREAS, the IVDA has adopted the Redevelopment Plan for the Inland Valle
Redevelopment Project Area (the "Redevelopment Plan") in accordance with the provisions D
the CRL, and the Redevelopment Plan provides for certain redevelopment activities to b
undertaken within the redevelopment project area as more fully described in the Redevelopmen
Plan (the "Project Area"); and
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2003-265
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WHEREAS, the Arden-Guthrie neighborhood is located within the Project Area; and
WHEREAS, at the present time, substantially all the financial and administrative staf
resources available to the IVDA are devoted to the implementation of certain agreement
affecting the former Norton Air Force Base including an agreement entitled "Agreemen
Between the Department of the Air Force and the Inland Valley Development Agency," date
March 7, 1995, as amended, and an agreement entitled "Master Disposition and Developmen
Agreement", dated November 6, 2002, both of which specifically relate to the civilian reuse an
redevelopment of the lands comprising the former Norton Air Force Base; and
WHEREAS, the Agency seeks to initiate certain plans, studies and redevelopmen
activities affecting the Arden-Guthrie Implementation Area as defined in Exhibit "B" of the 2003
Redevelopment Cooperation Agreement ("Agreement") which are situated within the Projec
Area but which are not part of the former Norton Air Force Base; and
Whereas, the IVDA, the City and the Agency deem that the approval and
implementation of this Agreement are consistent with the Redevelopment Plan and the
purposes and intent of the CRL and in particular Health and Safety Code Section 33492.40, et
seq" to expeditiously accomplish the redevelopment of certain lands located in the City of San
Bernardino which are also within the Project Area.
NOW, THEREFORE, IT IS HEREBY RESOLVED, DETERMINED AND ORDERE
BY THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO, A
FOLLOWS;
Section 1, The Recitals of this Resolution are true and correct.
Section 2, The Mayor and Common Council hereby request that the governmg
board of the IVDA provide assistance and cooperation to the City and the Agency in connection
with the study of a specific plan for redevelopment of the Arden-Guthrie Implementation Area.
The Mayor and Common Council hereby respectfully request the governing board of the IVDA
to consider the approval of a 2003 Redevelopment Cooperation Agreement (Arden-Guthrie) by
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and among the IVDA, the Agency and the City in the form as attached to this Resolution as
Exhibit "A", Subject to the approval by the governing board of the IVDA of the
Redevelopment Cooperation Agreement, the Mayor is further authorized and directed to
execute the final form of the Agreement on behalf of the City together with such technical and
conforming changes as may be approved by the City Attorney,
Section 3, This Resolution shall take effect upon its adoption and execution in the manner
as required by the City Charter.
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2003-265
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A RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE
CITY OF SAN BERNARDINO AUTHORIZING THE MAYOR TO
EXECUTE A REDEVELOPMENT COOPERATION AGREEMENT BY AND
AMONG THE INLAND V ALLEY DEVELOPMENT AGENCY, THE
REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO
("AGENCY") AND THE CITY OF SAN BERNARDINO RELATING TO
THE INITIATION OF STUDIES FOR THE REDEVELOPMENT OF LANDS
PREVIOUSLY ACQUIRED BY THE AGENCY AND RELATING TO
TRANSFER OR DELEGATION OF REDEVELOPMENT AUTHORITY TO
THE AGENCY RELATIVE TO PROPERTIES IN THE NORTH ARDEN-
GUTHRIE AREA ("ARDEN-GUTHRIE IMPLEMENTATION AREA")
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I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and
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Common Council of the City of San Bernardino at a j t. reg. meeting thereof, held on the
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15th day of September, 2003, by the following vote to wit:
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Council Members: Ayes Navs Abstain Absent
ESTRADA X
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LONGVILLE X
MCGINNIS X
DERRY X
SUAREZ X
ANDERSON X
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MC CAMMACK --.lL
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19 b ~aChel ~ Clark Ci~ Clej:k ,
20 The foregoing resolution is hereby appro~hls n~ '(llJ-~~,)::;ifJ-li~003,
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23 Approved as to form and Legal Content:
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(Jty Attorney
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2003
REDEVELOPMENT COOP ERA TION AGREEMENT
BY AND AMONG THE
INLAND V ALLEY DEVELOPMENT AGENCY,
THE
CITY OF SAN BERNARDINO,
AND THE
REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO
(Arden-Guthrie)
Dated as of September _' 2003
Exhibit "A"
2003
REDEVELOPMENT COOPERATION AGREEMENT
(Arden-Guthrie)
This 2003 Redevelopment Cooperation Agreement (the "Agreement") is dated as of
September _, 2003 by and among the Inland Valley Development Agency, a joint powers
authority established under the laws of the State of California (the "IVDA"), the City of San
Bernardino, a charter city (the "City"), and the Redevelopment Agency of the City of San
Bernardino, a body corporate and politic (the "Agency") and is entered into with respect to the
following facts set forth in the Recitals;
-- RECITALS --
WHEREAS, for the past many years the City of San Bernardino (the "City") and the
Redevelopment Agency of the City of San Bernardino (the "Agency") have been engaged in
efforts to address blighting conditions in a portion of the City known as the Arden-Guthrie
neighborhood; and
WHEREAS, the Arden-Guthrie neighborhood has been afflicted with a number of
physical and economic conditions of blight over the years, as these terms are defined in Health
and Safety Code Section 33032, including without limitation, conditions of substandard
structures and dwellings, residential overcrowding, substandard property maintenance
conditions, inadequate design of improvements, abandonment of property, depreciating and
stagnant property values, and criminal activity which has occurred at rates substantially higher
than crime rates in other neighborhoods of the City; and
WHEREAS, the Agency, in cooperation with the City, has previously embarked on a
program to acquire properties in the Arden-Guthrie neighborhood and to relocate the persons and
households occupying such property into safe, sanitary and decent housing in other suitable
locations; and
WHEREAS, as of June 30, 2003, the Agency has incurred a redevelopment indebtedness
in excess of $ 10,000,000 in connection with its previous efforts to address condjtions of blight in
the Arden-Guthrie neighborhood and to prevent the spread of blight from the Arden-Guthrie
neighborhood into nearby neighborhoods and communities; and
WHEREAS, the City believes it is necessary and appropriate for the Agency to acquire
additional lands in the Arden-Guthrie neighborhood in order the foster a commercially viable
and economically sustainable plan of redevelopment and reuse of the Arden-Guthrie
neighborhood and to prevent the spread of blight in the Arden-Guthrie neighborhood into other
surrounding neighborhoods and communities; and
WHEREAS, the Arden-Guthrie neighborhood is situated within the redevelopment
project area of the Inland Valley Development Project which is a special redevelopment project
area administered by the Inland Valley Development Agency (the "IVDA"); and
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Exhibit "A"
P:\Clcncal Services Dept\MargarelIAgrccmenls-AmendmenlslAgrmls-Amend 2003\03-09-15 [VDA Agrecmcnl.DOC
WHEREAS, the NDA has been established pursuant to a Jomt exercise of powers
agreement in January 1990, for the purpose of assisting in the conversion, redevelopment and
civilian reuse of the former Norton Air Force Base located within the City of San Bernardino;
and
WHEREAS, the member governmental entities of the NDA include the County of San
Bernardino, a political subdivision of the State of California, and the City of Colton, a municipal
corporation, and the City of Lorna Linda, a municipal corporation, and the City; and
WHEREAS, the NDA has been granted specific powers by the State Legislature in 1989
(Stats. 1989 c,545 and See Now Stats 1997, c.580 and Health and Safety Code Section 33492.40,
et seq.) to assist in the redevelopment of the former Norton Air Force Base and the lands in
proximity thereto pursuant to the Community Redevelopment Law (Health and Safety Code
Section 33000, et seq" hereinafter referred to as the "CRL"); and
WHEREAS, the NDA has adopted the Redevelopment Plan for the Inland Valley
Redevelopment Project Area (the "Redevelopment Plan") in accordance with the provisions of
the CRL, and the Redevelopment Plan provides for certain redevelopment activities to be
undertaken within the redevelopment project area as more fully described in the Redevelopment
Plan (the "Project Area"); and
WHEREAS, the Arden-Guthrie neighborhood is located within the Project Area; and
WHEREAS, at the present time, substantially all the financial and administrative staff
resources available to the NDA are devoted to the implementation of certain agreements
affecting the former Norton Air Force Base including an agreement entitled "Agreement
Between the Department of the Air Force and the Inland Valley Development Agency," dated
March 7, 1995, as amended, and an agreement entitled "Master Disposition and Development
Agreement", dated November 6, 2002, both of which specifically relate to the civilian reuse and
redevelopment of the lands comprising the former Norton Air Force Base; and
WHEREAS, the Agency seeks to initiate certain plans, studies and redevelopment
activities affecting the Arden-Guthrie ImplementatiDn Area, as defined herein, which are situated
wilhin the Project Area but which are not part of the former Norton Air Force Base; and
WHEREAS, the NDA, the City and the Agency deem that the approval and
implementation of this Agreement are consistent with the Redevelopment Plan and the purposes
and intent of the CRL and in particular Health and Safety Code Section 33492.40, et seq., to
expeditiously accomplish the redevelopment of certain lands located in the City of San
Bernardino which are also within the Project Area,
NOW, THEREFORE, THE INLAND DEVELOPMENT AGENCY, THE CITY OF
SAN BERNARDINO AND THE REDEVELOPMENT AGENCY OF THE CITY OF SAN
BERNARDINO DO HEREBY MUTUALLY AGREE AS FOLLOWS:
Section I. Recitals. The parties acknowledge and agree that the recitals as set forth
above are accurate and correct in all respects.
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Exhibit "A"
P:\Clerical Services Depl\MargarcllAgreements-Amendments\Agrmls-Arncnd 2003\03-09-15 IVDA Agreemcnt.DOC
Section 2. Accomplishment of Public Purposes, The parties acknowledge and agree
that this Agreement provides the IVDA, the City and the Agency with a means to foster the
redevelopment of a portion of the Project Area located within the municipal boundaries of the
City of San Bernardino which could not otherwise be accomplished within the foreseeable future
unless the parties to the Agreement agree to exercise certain responsibilities as set forth herein,
This Agreement is intended to be consistent with the intent and legal requirements of the CRL
and in particular Health and Safety Code Section 33492.40, et seq" and shall be considered as an
agreement entered into by the IVDA, the City and the Agency to accomplish the removal of
blighting conditions within the Project Area and to compliment the civilian reuse and
redevelopment of certain lands nearby the former Norton Air Force Base in the Project Area.
This Agreement shall provide the IVDA with additional assistance from the City and the Agency
to undertake studies and redevelopment activities in the portion of the Project Area commonly
known as the Arden-Guthrie neighborhood, as more fully depicted in Exhibit "A" attached
hereto. The lands depicted in Exhibit "A" are referred to herein as the "Arden-Guthrie Study
Area", The parties presently anticipate that a specific program ofredevelopment shall hereafter
be formulated by the City and the Agency potentially involving third-party landowners and/or
developers within a portion of the Arden-Guthrie Study Area depicted in Exhibit "B" attached
hereto. The area designated in Exhibit "B" is referred to herein as the "Arden-Guthrie
Implementation Area."
Section 3, Grant of Redevelopment Powers to the Citv and the Agencv/Arden-
Guthrie Implementation Area.
(a) Except as set forth in Section 3(b) and Section 3(c) of this Agreement, the IVDA
hereby grants to the Agency, acting by and through the Community Development Commission
of the City of San Bernardino (the "Commission") and to the legislative body of the Agency
acting by and through the Mayor and Common Council of the City of San Bernardino (the
"City"), as applicable, the right, power and authority to act fDr and on behalf of the IVDA for the
purpose of exercising all redevelopment powers legally available to the IVDA as set forth in the
Redevelopment Plan, the CRL and in particular the provisions of Health and Safety Code
Section 33492.40, et seq., affecting any lands and property situated within the Arden-Guthrie
Implementation Area,
In addition to any other powers which the City and/or the Agency may have, the Agency
may, either in its name or on behalf of the IVDA, exercise all of the powers, rights and
authorities of the IVDA as set forth in the Redevelopment Plan with respect to the lands and
property situated within the Arden-Guthrie Implementation Area, including, but not limited to,
the right to acquire and dispose of real and personal property, to either exercise the power of
eminent domain directly on behalf of the IVDA or request the IVDA to consider the exercise of
such powers in support of the Agency and at the sole discretion of the IVDA, sue and be sued,
enter into agreements and undertake such other actions as appropriate to the intent of this
Agreement.
No such action of the City or the Agency, as applicable with respect to the exercise of
such redevelopment powers affecting the Arden-Guthrie Implementation Area, need be
consented to, ratified or confirmed by the IVDA unless such ratification, consent or confirmation
by the IVDA is otherwise requested at the discretion of the City or the Agency. In the event the
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Exhibit "A"
P:\Clerical Services DcpIWargaret\Agrcemenls-Amendmenls\Agrmts-Amcnd 200)\03-09-15 IVDA Agreement,DOC
NDA is so requested in writing by either the City or the Agency to ratify, consent or confirm
any action or intended action of the City or the Agency with the respect to the Arden-Guthrie
Implementation Area pursuant to this Agreement, the NDA shall consider such matter as soon
as practicable after receipt of such written request.
The City and the Agency shall be solely responsible for the payment of all costs and
expenses as may be associated with the implementation of any redevelopment activity as may
hereafter be undertaken by the City and the Agency in the Arden-Guthrie Implementation Area
as authorized by this agreement.
(b) Notwithstanding the provisions of Section 3(a), the City and the Agency shall not
initiate any amendment of the Redevelopment Plan or any amendment or supplement to the
Implementation Plan for the Inland Valley Redevelopment Project Area without first obtaining
the written approval of the NDA in its sole and absolute discretion.
(c) Notwithstanding the provisions of Section 3(a) or any other part of this
Agreement, the City and the Agency shall take no action under this Agreement which causes the
NDA to incur an indebtedness which is payable from any funds, revenues or assets of the
NDA, except from "Transfer Revenues", if any as this term is defined in Section 4,
Section 4. Transfer of a Certain Portion of the NDA Tax Increment Funds for the
Redevelopment of the Arden-Guthrie Implementation Area.
(a) In addition to the meaning of certain words and phrases as set forth in the
preceding Recital paragraphs and sections of this Agreement, the following definitions shall
apply to usage of the terms set forth in this Agreement:
. "Arden-Guthrie Properties Base Year" means and refers to the secured property tax roll
assessed valuation of the Arden-Guthrie Properties for ad valorem property tax purposes,
for the 2002-03 fiscal year of the IVDA as shown on the secured property tax assessment
rolls of the County Assessor.
. "Arden-Guthrie Properties Indebtedness" means and refers 10 Ihe indebtedness which the
Agency may incur on or after the date of this Agreement with respect to the Arden-
Guthrie Reuse Project.
. "Arden-Guthrie Properties" means and refers to the approximately thirteen (13) acres of
land in the Arden-Guthrie Implementation Area which is also depicted in Exhibit "B".
. "Arden-Guthrie Reuse Project" means and refers to a community redevelopment project
of the Agency, and the related activities which may hereafter be undertaken by the
Agency in the Arden-Guthrie Implementation Area, The Arden-Guthrie Reuse Project
shall be more particularly identified in the written notice provided to the NDA by the
Agency under Section 4( e),
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Exhibit "A"
P:IClerical Services Dcpt\Margarel\Agreements-Amendrnenls\Agrmts-Amend 2003\03-09-15 IVDA Agrcemcnl.DOC
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. "Tax Increment Revenue" mean and refer to those revenues, if any, received by the
IVDA under Article VII, Section B(702) of the Redevelopment Plan as relate to the
Arden-Guthrie Properties;
. "Transfer Revenue" means and refers to a portion of the tax increment revenue of the
IVDA attributable to the Arden-Guthrie Properties described in Section 4(b) which the
IVDA shall pay to the Agency each year during the term of this Agreement with respect
to indebtedness incurred by the Agency in connection with the redevelopment of the
Arden-Guthrie Properties subject to the conditions set forth in Section 4,
(b) Transfer Revenue is a portion of the tax increment revenue of the IVDA
generated by the Arden-Guthrie Properties by virtue of the Arden-Guthrie Reuse Project, if any,
each fiscal year, in excess of such tax increment revenue of the IVDA attributed to the Arden-
Guthrie Properties Base Year, net of the low- and moderate-income housing set-aside obligation
of the IVDA with respect to such tax increment revenue in each such fiscal year, and further net
of the portion of such tax increment revenue of the IVDA with respect to the Arden-Gutherie
Properties which is payable by the IVDA in such fiscal year under the School District
Agreements as set forth in Section 4(f),
(c) Provided the Agency has given the IVDA the notice described in Section 4( e),
commencing no sooner than the 2005-06 fiscal year of the IVDA, and for each fiscal year of the
IVDA thereafter during the term of this Agreement, the IVDA hereby agrees to pay to the
Agency the Transfer Revenue attributable to the Arden-Guthrie Properties (if any) for each such
fiscal year following the Arden-Guthrie Properties Base Year. The obligation of the IVDA to
pay the Transfer Revenue to the Agency is a special fund obligation of the IVDA payable solely
from the portion of the tax increment revenue of the IVDA generated by the Arden-Guthrie
Properties by virtue of the Arden-Guthrie Reuse Project, if any, in the amount as calculated each
fiscal year under the formula set forth in Section 4(b), No Transfer Revenues shall be payable by
the IVDA to the Agency for any fiscal year of the IVDA after June 30, 2040, Any unpaid
balance of the Arden-Guthrie Properties Indebtedness as may exist as of July I, 2040, shall be
discharged, released and forgiven by the Agency.
(d) The IVDA shall only remit the Transfer Revenues calculated pursuanl to Seclion
(b) to the extent that the Agency has incurred on or after July I, 2003, funds, or incurred
indebtedness in connection with the redevelopment of all or any portion of the Arden-Guthrie
Properties Indebtedness, including without limitation indebtedness incurred under one or more
separate agreements by and between the Agency and the City of San Bernardino or indebtedness
to a noteholder, bondholder, trustee or other creditor of the Agency related to costs incurred or
paid by the Agency for the redevelopment of the Arden-Guthrie Reuse Project. The Agency
shall, as a condition precedent to the receipt of Transfer Revenue on each May I, commencing
on May I, 2005, submit to the IVDA a suitably detailed written statement of the outstanding
unpaid balance of Arden-Guthrie Properties Indebtedness incurred by the Agency, including the
relevant terms ofrepayment of such Arden-Guthrie Properties Indebtedness.
(e) By a date not later than June 30, 2007, the Agency shall give notice to the IVDA
that the Agency entered into one or more written agreements with third-parties for the acquisition
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Exhibit "A"
P:\Clerical Services Dept\MargarellAgreemcnls-Amcndmcnls\Agrmts-Amend 2003\03-09-15 IVDA Agreement,DOC
or redevelopment of at least seven (7) acres of land included in the Arden-Guthrie
Implementation Area, Such notice shall contain a suitably detailed description of the Arden-
Guthrie Reuse Project and the current balance, as of the date of such notice of the Arden-Guthrie
Properties Indebtedness, Concurrently with such notice, the Agency shall alsD deliver to the
IVDA a copy of such written agreements, In the event that such notice is not given by the
Agency, then in such event, no Transfer Revenues shall be payable to the Agency by the IVDA
under this Agreement.
(f) This Agreement and the amounts of Transfer Revenue to be remitted by the
IVDA to the Agency shall at all times be subject to the provisions of the various school district
pass-through agreements between the IVDA and the San Bernardino City Unified School
District, Colton Joint Unified School District, Redlands Unified School District, County
Superintendent Df Schools and the San Bernardino Valley College District (collectively, the
"School District Pass-Through Agreements") as the same are applicable to the increases in the
tax increment revenues generated by the Arden-Guthrie Properties. The calculation of the
amount of the Transfer Revenue to be remitted by the IVDA to the Agency shall be net of all
amounts required to be paid by the IVDA to the various school districts pursuant to the School
District Pass-Through Agreements. The IVDA shall be solely responsible for the administration
ofthe School District Pass-Through Agreements,
(g) The IVDA has established the Low and Moderate Income Housing Fund for the
Inland Valley Redevelopment Project, and twenty percent (20%) of tax increment revenues
received by the IVDA are deposited into such fund each year, subject to certain decreases
authorized under applicable law, Said twenty percent (20%) figure may be decreased pursuant to
Health and Safety Code Section 33334.2(a)(l) and (2) from time-tD-time by the IVDA. If the
IVDA determines for the entire Project Area, inclusive of the Arden-Guthrie Properties, to
deposit less than said twenty percent (20%) figure for a particular fiscal year, as permitted by
Health and Safety Code Section 33492.40(e) and 33334.2(a)(2)(A), or if the IVDA determines to
make no deposit into the Low- and Moderate-Income Housing Fund for the entire Project Area,
inclusive of the Arden-Guthrie Properties, as permitted by Health and Safety Code Section
33334,2(a)(l)(A), then in any such event, the Transfer Revenue calculation as set forth in
Section 4(b) of this Agreement for the particular fiscal year(s) in which such a finding is made
by the IVDA, shall not be subject to any off-set or adjustment corresponding to any amounts of
such tax increment revenue that the IVDA has not deposited into the IVDA Low and Moderate
Income Housing Fund.
(h) The obligation of the IVDA to remit any portion of the Transfer Revenue to the
Agency pursuant to this Agreement is, at all times, subordinate to the obligations of the IVDA
incurred pursuant to any and all tax allocation bonds, notes or other forms of indebtedness, and
all refinancings of any of these, issued or incurred by the IVDA to the holders of publicly issued
bonds, notes or other forms of indebtedness considered municipal securities sold in the municipal
bond market.
(i) The IVDA and the Agency will cooperate in each year during the term of this
Agreement in the preparation of the Statement of Indebtedness for the IVDA as relates to the
Arden-Guthrie Properties Indebtedness and the Transfer Revenue payable by the IVDA to the
Agency for the Arden-Guthrie Properties Indebtedness, The IVDA and the Agency further
agree, upon thirty (30) days written request, to exchange suitably detailed and written accounting
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Exhibit "A"
P:IClerical Services Depl\Margarel\Agreemenls-Amcndmenls\Agnnls-Amend 2003\03-09.15 IVDA Agreement,DOC
and audit records related to the Arden-Guthrie Properties Indebtedness and the Transfer
Revenue, including the estimates and final remittance amounts of Transfer Revenue each fiscal
year as calculated by the IVDA, and the Arden-Guthrie Properties Indebtedness amounts
incurred by the Agency with respect to the redevelopment of the Arden-Guthrie Properties.
(j) Except as set forth in this Agreement as relates to Transfer Revenues, no other tax
increment revenue or other funds or assets of the IVDA are subject to this Agreement. The
IVDA may, but shall not be required, unless subsequently approved by the IVDA on a case-by-
case basis, advance, loan or otherwise transfer to the Agency other tax increment revenue as may
then be available to the IVDA from the Project Area, subject to applicable law,
Section 5. Pre-June 30. 2003 Indebtedness of the Agencv Relating to the Arden-
Guthrie Implementation Area, As of June 30, 2003, the Agency has incurred the sum of
$10,000,000 in redevelopment indebtedness with respect to its efforts to address conditions of
blight in the Arden-Guthrie ImplementatiDn Area, including indebtedness incurred for the
acquisition of the property, No cost, expense or indebtedness incurred by the Agency with
respect to the Arden-Guthrie Implementation Area prior to June 30, 2003 shall be deemed to be
an eligible cost or indebtedness of the Agency for purposes of calculating the Arden-Guthrie
Properties Indebtedness.
Section 6, Notices, Formal notices, demands and communications among the IVDA,
the Agency and the City shall be deemed sufficiently given if (i) dispatched registered or
certified mail via United State Postal Service, postage prepaid, return receipt requested, as
designated in this Section II, (ii) by personal deliver, (iii) express delivery service with written
verification of deliver, or (iv) by electronic transmittal including fax transmissions with
telephonic verification of receipt. Such written nDtices, demands and communications may be
sent in the same manner to such other addresses as any party may from time to time designate by
written notice to the other parties.
Copies of all notices, demands and communications shall be sent as follows:
IVDA;
Inland Valley DevelDpment Agency
294 South Leland Norton Way
San Bernardino, California 92408
Attention; Executive Director
Agency;
Redevelopment Agency of the City
of San Bernardino
201 North "E" Street, Third Floor
San Bernardino, California 92401
Attention; Executive Director
City;
City of San Bernardino
San Bernardino City Hall
300 North "D" Street, Sixth Floor
San Bernardino, California 92418
Attention; City Administrator
7
Exhibit "A"
P:IClerical Services Depl\Margaret\Agreements-Amendmcnls\Agrmls-Amend 2003\03.09-1 5 IVDA Agreemenl.DOC
Notices which are dispatched by registered or certified mail through the United Slate
Postal Service shall be deemed to be given three (3) business days after deposit with the United
States Postal Service, and notices which are given by personal delivery shall be deemed given
upon such personal deliver. Notices dispatched by express delivery service shall be deemed to
have been given upon receipt by the party receiving such notice and execution of the deliver
receipt, and notices dispatched through electronic transmittals shall be deemed to have given
upon telephonic verification of receipt.
Section 7, Indemnification and Hold Harmless. The City and the Agency hereby
agree to indemnify, defend and hold harmless the IVDA and each of its officers, officials and
employees from any and all loss, liability, claim, cost, expense or judgment, including attorney's
fees, that may result from the implementation of this Agreement by the City and the Agency.
The City and the Agency will also defend, indemnify and provide the cost of defense on behalf
of the IVDA with respect to any third party challenge to the legality or enforceability of this
Agreement pursuant to the CRL. Such indemnification and hold harmless shall apply whether or
not the City and/or the Agency, or either of them was at fault or in any manner contributed to any
such loss, liability, claim, cost, expense or judgment.
Section 8, Entire Agreement of the Parties. This Agreement represents the entire
agreement by and among the IVDA, the City and the Agency with respect to the transfer of the
redevelopment powers of the IVDA affecting the Arden-Guthrie Implementation Area,
Section 9. Invalidity of Anv Provision. In the event it is determined that any
provision of this Agreement is invalid or unenforceable as between the parties, the remaining
provislOns which are determined to be valid and enforceable shall remain in full force and
effect.
Section 10, Approval and Effective Date of Agreement. This Agreement has been
duly approved and authorized for execution and delivery by the governing board of the IVDA,
by the Council on behalf of the City and by the Commission on behalf of the Agency, and this
Agreement has been duly executed and delivered by the parties hereto. This Agreement may be
executed in counterparts and when fully executed by the parties it shall be effective for all
purposes as of Ihe date sel forth in the introductory paragraph.
8
Exhibit "A"
P:\Clerical Service, Dcpt\Margaret\Agreemenls-Amcndmenls\Agrmts-Amend 2003\03.09- J 5 IVDA AgreernenLDOC
THIS AGREEMENT HAS BEEN DULY EXECUTED BY THE AUTHORIZED
REPRESENTATIVES OF THE PARTIES HERETO AS SET FORTH BELOW,
IVDA
Inland Valley Development Agency
Date;
By:
Co-Chair
By:
Co-Chair
(SEAL)
ATTEST;
By:
Clerk of the Board
Approved as to Form;
By:
General Counsel
[2003 Redevelopment Cooperation Agreement: Arden-Guthrie]
9
Exhibit "A"
P:\Clerical Services DeptlMargarel\Agreemcnls..'-mendment,\Agrml,.Amend 2003\03.09-15IVOA AgrccmentDOC
AGENCY
Redevelopment Agency of the
City of San Bernardino
Date:
By:
Chair of the Community Development
Commission
(SEAL)
ATTEST:
By;
Secretary
Approved as to Form;
By:
Agency Counsel
[2003 Redevelopment Cooperation Agreement: Arden-Guthrie]
10
Exhibit "A"
P:IClerical SCl'Iiccs DcptIMargaretlAgreemenls.AmendmentsIAgrmls-Amend 2003\03-09.15 lVDA AgreemcnLDOC
CITY
City of San Bernardino
Date:
By:
Mayor
(SEAL)
ATTEST:
By;
City Clerk
Approved as to Form:
By:
City Attorney
[2003 Redevelopment Cooperation Agreement: Arden-Guthrie]
II
Exhibit "A"
P:\Clerical Services Depl\MargaretlAgreemenls-Amendmenls\Agrmls-Amend 2003\03-09-15 lVDA AgreemcnLDOC
EXHIBIT "A"
Map of Arden-Guthrie Study Area
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Exhibit "A"
P:\Clerical Services Dept\MargarellAgreements-Amendments\Agrmts-Amend 2003\03.09.15 IVDA Agreement.DOC
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