HomeMy WebLinkAboutR40-Economic Development Agency
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ECONOMIC DEVELOPMENT AGENCY
OF -TBECITY OFSANJlERNAllDINO
REOUEST FOR COMMlSSIONICOUNCIL ACTION
FROM: GARY VAN OSDEL
~Y"""'ntiv.o DirPMnr
SUBJECT:
BDL COREN" CONE AGREEMENT
DATE: December 9. 1999
ORIGINAL
Swomis or Previous CommlssioulCouDelIICommlttee AetIon(s):
On December 9. 1999. the Redeve1c!pment CommiUee recommended l!(!proval of an qgreement with Hdl Coren "
Con~. in association with C~ Associates. for JlrQpet\y tax audits and MaIaki ana!ysis.
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R_mellded Motionlsl:
(CommunitY DeveloDmellt ComlDiolon)
MOno~
1lESOLU'I'1ONOF THE.coMMUNlTY DEVELOPMEJilT .coMMISSIDN OF THE CITY OF
SAN BERNARDINO. CALIEORNIA, APPROVING AN AGREEMENT. AND AUTHORIZING
EXECUTION THEREOF. WITH HDL COREN" CONE. IN ASSOCIATION WITH CITY
ASSOCIATES. TO PERFORM PROPERTY TAX AUDITS AND MALAKI ANALYSIS FOR THE
SAN BERNARDINO REDEVELOPMENT AGENCY.
Contact Person(s): Garv V an Osd~lIBarbaraLind.~
Phon~:
5081
Project Area(s):
AU
Ward(s): All
Supporting Data Attached:1lD Staff Report 0 Reso1ution(s) 0 Agreemm(s)/Contract(s) 0 Map(s) 0 LtrlMemo
FUNDING REQUIREMENTS: Amount: C'.nntin"ent
Source: Tax Increment
SIGNATURE:
Reauested
<--' C~" ~~irf
Barbara Lindseth
Admin Services Director
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CommissionlCoucl1 Notes:
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BL:Agenda CDC Hdl Coren
COMMISSION MEETING AGENDA
.MEETING DATE: 1212l11l999
Apnds Item Number: RI.JO
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ECONOMIC DEVELOPMENT AGENCY
STAFF REPORT
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Rdl Coren" Cone A2reement
Background
Each year the Redevelopment Agency receives from the County of San Bernardino secured and
unsecumtprQperty assessed values for each of the ten (10) redevelopmentproject areas. From
the assessed property values provided by the County, staffprojects the estimAted amount of tax
increment to be received. While the projected tax increment and the actual tax increment received
by the Agency are within reasonable limits, taking into consideration account tax payer
delinquencies, staffis re!yiJ!g on the accuracy of the CountY's total secured and unsecured
assessedproperty value nwnbers as provided.
Cul'ftDUssue
Staff desires to audit property tax and perform MaIaki analysis for the Agency by utilizing the
services of a l.)UA1ifiM consulting firm. A Request fur Proposal was issued by the Agency to three
(3) firms that specialize in property tax audits and MaIaki analysis. The Request fur Proposal
required that the Response cover the following scope of work:
1. A historical review of each redevelopment project area assessed values to
determine accuracy.
2. Verification by parcel of the accuracy of secured assessed values.
3. Verification ofnn"""nred assessed values.
4. A review of government owned parcels that have been acquired fur public use
since the adoption of each redevelopment project area and a calculation of the
appropriate reduction of the base year values fur the parcels in public use.
S. Preparation of appropriate finding with recommendations fur corrective actions as
necessary.
The three (3) consulting firms contacted are: The Hdl Coren & Cone Companies, in association
with City Associates; Keyser Marston Associates, Inc.; and Rosenow Spevacek Group, Inc. One
(1) response, from Hdl Coren & Cone, was received.
Hdl Coren & Cone was established in 1992 to provide property tax data base management
analytical and auditing services to California cities and counties. The Company currently is
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BL:Agenda CDC HdI Coren
COMMISSION MEETING AGENDA
MEETING DATE: 1211011999
Agenda Item Number: R.l/ 0
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Economic Development Agency Staff Report
HdI Coren & Cone
December 9, 1999
Page - 2-
providing on-going property tax analytical and auditing services for 104 cities, counties,
redevelopment agencies and ~ districts, includiQg Fontana, Rialto, CohoD, Ontario,
Montclair and Upland. The Company audits County allocation procedures, researches property
tax related issues, and provides revenue estimates. The Company bas specially i1.,qigJVXl software
for the management of large property tax data bases, including having on-line the complete
secured and unsecuredpropert.y tax rolls for San Bernardino County since 1990.
The Company will establish a data base for each redevelopment project area and for each
amendment to the project areas, which will include all of the 10caUy assessed va1ues for the
current year and a minimum of the four (4) previous years. The Company will provide all services
as outlined in the attached Sco.,pe of Services to be completed within an estimHted 90 ~ys of the
authorization to proceed.
Fiscal Imj)llct
The Company's tee for the audit of the redevelopment project areas will be 25% of the Net
Revenue recovered for the Agency in the three (3) futures years beginning with the first.year in
which correction is made. For MaIaki adjustments the tee is based on increases in revenues due to
the a4justments in future years as follows: fustyear 30"A.; second year 25%; thirdyear 20%; and,
fourthyear 10"A.. Fees will only be paid based upon revenues recovered.
Recommeadatioa
That the Community Development Commi...,ion adopt the attached Resolution approving an
agreement with HdI Coren & Cone, in association with City Associates, to perform property tax
audits and MaIaki . for the San Bernardino Redevelopment Agency.
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BL:Agenda CDC HdI Coren
COMMISSION MEETING AGENDA
MEETING DATE: 12I1Gn999
A&enda Item Number: . R. I/fJ
(G(Q)[?))1
1 RESOLUTION NO.
0 2 RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION
OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APROVING AN
3 AGREEMENT, AND AUTHORIZING EXECUTION THEREOF, WITH
4 HDL COREN & CONE, IN ASSOCIATION WITH CITY ASSOCIATES,
TO PERFORM PROPERTY TAX AUDITS AND MALAKI ANALYSIS
5 FOR THE SAN BERNARDINO REDEVELOPMENT AGENCY.
6 WHEREAS, the Community Development Commission ("Commission")
7 desires to enter to an agreement with Hdl Coren & Cone, in association with
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City Associates, to perform property tax audits and MaIaki analysis for the San
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10 Bernardino Redevelopment Agency.
11 NOW, THEREFORE, BE IT RESOLVED BY THE COMMUNITY
12 DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO,
13 AS FOLLOWS:
14 Section 1. The Commission hereby approves and authorizes the
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Chairperson of the Commission to execute an agreement with Hdl
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17 Coren & Cone, in association with City Associates, to perform property tax
18 audits and MaIaki analysis for the San Bernardino Redevelopment Agency, as
19 attached hereto.
20 Section 2. This Resolution shaI1 take effect upon the date of its adoption.
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RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION
OF THE CITY OF SAN BERNARDINO, CALIFORNIA,APPROVING AN
AGREEMENT, AND AUTHORIZING EXECUTION THEREOF, WITH
HDL COREN & CONE, IN ASSOCIATION WITH CITY ASSOCIATES,
TO PERFORM PROPERTY TAX AUDITS AND MALAKI ANALYSIS
FOR THE SAN BERNARDINO REDEVELOPMENT AGENCY.
I HEREBY CERTIFY that the foregoing Resolution was duly adopted by
the Community Development Commission of the City of San Bernardino at a
meetingthereot;heldonthe_dayof ,1999.
by the following vote, to wit:
Commission Members
Aves
Navs
Abstain Absent
ESTRADA
LIEN
MCGINNIS
SCHNETZ
SUAREZ
ANDERSON
MILLER
Secretary
The foregoing Resolution is hereby approved this _day of
,1999.
Approv
Judith Valles, Chairperson
Community Development
Commission of the City of
San Bernardino
By:../
Agency Counsel
,
,
CDC 1999-52
AGREEMENT FOR PROFESSIONAL SERVICES
Agreement Number EDA
TInS AGREEMENT made and entered into this 20th day of Dec&Bber , 1999,
by the REDEVELOPMENT AGENCY OF 1HE CITY OF SAN BERNARDINO, a
public agency ("Agency"), and Hdl Coren & Cone, in association with City Associates
("Consultant'').
RECITAL
1. PURPOSE
The purpose of this Agreement is the allow the Agency to procure the services of
a qualified Consuhant to provide to the Agency property tax audit and MaIak.i analysis
services.
TERMS AND CONDmONS
2. MISSION
The Agency hereby retains the Consuhant in the capacity of Consuhant for
provision of services descnbed in Exlnbit "A" (the "Scope of Services"), attached hereto
and incorporated herein by reference. Consultant hereby accepts such responsibilities as
descnbed herein.
3. TERMS
a) This Agreement shall commence as the day and year first shown above
and shall remain in full force and effect until such time as all work as
descnbed in the Scope of Services has been completed in the time frame
indicated in Exhibit "A", unless terminated sooner for the convenience of
either party as provided in Section 24 herein.
b) The Consultant shall complete all work as descnbed in the Scope of
Services and promptly report all findings to the Agency, along with
recommendations to the San Bernardino County Assessor for corrective
actions as necessary.
4. CONSULTANT RESPONSmlLITIES
Upon the request of the Executive Director, or designee, the Consultant shall
perfonn each element of the work descnbed in the Scope of Services. Consultant
conunits the principal personnel as listed in Exlnbit "A" to the Scope of Service for its
duration.
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CDC 1999-52
5. REPLACEMENT OF NAME PERSONNEL
It has been determined that the individual( s) named in this Agreement is ( are)
necessary fur the successful performance of this Agreement. No diversion or
replacement of this (these) individua1(s) sball be made by the Consuhant without the
written consent of the Executive Director or designee.
6. RELEASE OF NEWS INFORMATION
No news release, including photographs, public announcements or confirmation
of same, of any part of the subject matter of this Agreement or any phase of any program
hereunder sbaIl be made without prior written approval of the Executive Director or
designee.
7. CONFIDENTIALITY OF REPORTS
Consultant sbaIl keep confidential all reports, information and data received,
prepared or assembled pursuant to performance hereunder and that the Agency designates
as confidential. Such information sbaIl not be made available to any person, firm, .
corporation or entity without the prior written consent of the Executive Director or
designee.
8. COMPENSATION
The maximum compensation for services, including all ConsuItant's costs and
expenses, sbaIl be as outlined in Exhibit "A". All fees are on a contingency basis as
follows:
a) Audit of the project areas will be performed fur a fee of25% of the Net
Revenues recovered for the Agency in three (3) future years beginning
with the first year in which the correction was made. ''Net Revenues"
means revenues actually received by the Agency after deductions for the
City of San Bernardino's share of property tax revenues derived from
parcels shifted from the City to the Agency, and net of tax-sharing
amounts.
b) For Malaki adjustments the fee is based on increases in revenues due to
the adjustments in future years as follows:
First Year 30%
Second Year 25%
Third Year 20%
Fourth Year 10"10
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CDC 1999-52
Consultant sha1l provide an itemized invoice to the Agency. Said compensation
sha1l be considered full and complete compensation fur Consultant's costs associated
with the services provided hereunder.
Consultant sha1l be paid in accordance with the Agency's standard accounts
payable system. Invoices sha1l be approved by the Executive Director or designee.
9. USE OF FUNDS
Any funds paid to Consultant sha1l be used solely for the purposes set forth in
Paragraph I of this Agreement and in accordance with Exln"bit "A".
Consultant sha1l remain in compliance with all state, federal and local laws prior
to receipt of any compensation hereunder. This includes, but is not limited to, all laws
and regulations relative to the form of organization. local business licenses and any Jaws
and regulation specific to the business and activity carried out by the Consultant.
Compensation sha1l not be made to the Consultant, which is not operating in compliance
with all applicable Jaws. Compensation may be subsequently paid, at the direction of the
Executive Director or designee, when compliance is achieved, provided that said amount
is included in Section 8 of this Agreement.
10. ACCOUNTING/AUDIT
Financial and other records applicable sha1l be maintained by the Consultant in
accordance with Genera1ly Accepted Accounting Principles, and in a manner which
permits the Agency to trace financial transactions to source documentation. All books
and records of the Consultant are to be kept open for inspection at any time during the
business day by the Agency, its officers or agents.
Financial records, supporting documents, statistical records, and all other records
pertaining to this Agreement sha1l be retllined by the Consultant until such time as any
and all compensation has been paid to the Consultant, and in the event of litigation. claim
or audit, the records sha1l be retained until all litigation. claim or audit finding involving
the records have been fully resolved.
11. NONDISCRIMINATION. MONITORING AND REPORTING PROGRAM
PERFORMANCE
Consultant sha1l not discriminate because of race, color, national origin, creed,
religion. sex, marital status or physical handicap. At the request of the Executive
Director or designee, the Consultant sha1l submit written reports to the Executive
Director or designee. Failure to provide such reports may prevent payment of request for
compensation. and may justify the temporary withholding as provided herein. Agency
reserves the right to waive such breach, without prejudice to any other of is rights
bereunder, upon a finding by the Executive Director or designee that such fuilure was due
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c,oc 1999-52
to extraordinary circumstances and that such breach has been timely cured without
prejudice to the Agency.
12. CONFLICT OF INTEREST
Consultant sball D1AintaID a code or standard of conduct which sball govern the
perfurmance of its officers, employees or agents. Consultant's officers, employees or
agents sball neither solicit nor accept gratuities, :Iilvors, or anything of monetary value for
work completed under the Scope of Services. To the extent pennissible by state laws,
rules and regulations, the standards adopted by the Consultant sball provide for penalties,
sanctions or other disciplinary actions to be applied for violations of such standards by
either the Consultant's officers, employees or agents.
13. AGENCY SUPPORT
The Agency sball provide the Consultant with any documentation, records,
reports, statistics or other data or information pertinent to the Scope of Services, which
are reasonably available to the Agency.
14. INDEPENDENT CONTRACTOR
Consultant shall perform each element of the work set forth in the Scope of
Services as an independent contractor and sball not be considered an employee of the
Agency. This Agreement is by and between Consultant and Agency, and is not intended,
and shall not be construed, to create the relationship or agent, servant, employee,
partnership, joint venture, or association, between Agency and Consultant.
15. SUCCESSOR AND ASSIGNMENT
The services as contained herein are to be rendered by Consultant whose name is
as appears first above written and said (;onsultant shall not assign nor transfer any
interest in this Agreement without the prior written consent of Agency.
16. INDEMNIFICATION
Consuhant agrees to indemnifY, defend and save harmless Agency,
its agents, officers and employees from and against any and all liability, expense,
including defense costs and legal fees, and claims for damages of any nature whatsoever,
including, but not limited to, bodily injury, death, personal injury or property damage
arising from or connected with Consultant's operations, or its services hereunder,
including any workers' compensation suit, liability or expense, arising from or connected
with the services performed by or on behalf of the Consultant by any person pursuant to
this Agreement. The costs, salary and expenses of the Agency's legal counsel in
enforcing this Agreement on behalf of the Agency shall be considered as "legal fees" for
the purpose of this Section.
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CDC 1999-52
17. INSURANCE
WIthout limiting Consultant's indemnification of Agency, Consultant
sball provide and maintain at its own expense during the term of this Agreement the
following program(s) ofinsurance covering its operating heretmder.
Comprehensive General and Automobile Liability Insurance. Consultant sball
obtain general liability insurance on a per occurrence basis with a combined single limit
of one million dollars ($1,000,000); and automobile liability insurance for owned, hired
and non-owned vehicles on a per occurrence basis with a combined single limits of one
million dollars ($1,000,000). Additional insured endorsements are required for general
and automobile liability policy coverage.
Other requirements and acceptable proof of insurance:
1. All insurance coverage must be maintained throughout the duration of this
Agreement.
2. Insurance companies must have an A.M. Best Rating ofB+vn or better.
3. Acceptable proof of insurance:
a) ACCORD Certificate of Insurance listing all coverage, limits,
deductible and insurers; and blanket endorsement for all applicable
coverage if agent bas authority to issue it; or
b) Binders of insurance for all coverage. Agents must confirm that
policy endorsements have been ordered from the respective
insurance companies. Upon issuance, policy endorsements and a
corresponding Certificate of Insurance listing all insurers and
coverage must be submitted to the Agency.
Insurance binders are only valid for 30 days and may need to be reissued if
the policy endorsements are still pending. Binders may be issued for a
maximum of three 30 day periods.
Consultant shall furnish certified copies of all policies and endorsements
to the Agency, evidencing the insurance coverage required five business
days prior to the commencement of performance of Services hereunder,
which certificates sball provide that such insurance sball not be terminated
or expire without 30 days prior written notice to the Agency, and shall
maintain such insurance from the time Consultant commences
performance of Services hereunder, until the completion of such services.
All policies, with respect to the insurance coverage required above, shall
contain additional insured endorsements naming the Agency, and its
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COC 1999-52
officers, employee, agents and volunteers as additional name insured, with
respect to liabilities arising out of the performance of Services hereunder.
18. COMPLIANCE WITH LAWS
The parties agree to be bound by applicable federal, state and 1oca11aws,
regulations and directives as they pertain to the performance of this Agreement
19. SEVERABILITY
In the event that any provision herein contained is held to be invalid, void or
illegal by any court of competent jurisdiction, the same shall be deemed severable from
the remainder of this Agreement and shall in no way affect, impair or invalidate any other
provision contained herein. If any such provision shall be deemed invalid due to its
scope or breadth, such provision shall be deemed valid to the extent of the scope or
breadth permitted by law.
20. INTERPRETATION
No provision of this Agreement is to be interpreted for or against either party
because that party or that party's legal representative drafted such provision, but this
Agreement is to be construed as ifit were drafted by both parties hereto.
21. ENTIRE AGREEMENT
This Agreement supersedes any and all other agreements, either oral or in
writing, between the parties hereto with respect to the retention of Consultant by Agency
and contains all the covenants and agreements between the parties with respect to such
retention.
22. WAIVER
No breach of any provision hereof can be waived unless in writing. Waiver of
any one breach of any provision shall not be deemed to be a waiver of any other breach
of the same or any other provision hereof.
23. CONTRACT EVALUATION AND REVIEW
The ongoing assessment and monitoring of this Agreement is the responsibility of
the Executive Director or designee.
24. TERMINATION
This Agreement may be terminated for the convenience of either party by giving
written notice at least thirty (30) days prior to the effective termination date pursuant to
Section 3 (a), terms herein.
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qx: 1999-52
25. NOTICE
Notices, herein shall be presented in person or by certified or registered U.S. mail,
as fullows:
To Consultant:
Hdl Coren & Cone
1340 Valley Vista Drive
Suite 200
Diamond Bar, Califurnia 91765
To Agency:
Executive Director
San Bernardino Redevelopment Agency
201 North "E" Street
Suite 301
San Bernardino, California 92401
Nothing in this paragraph shall be construed to prevent the giving of notice by
personal service.
26. ENTIRE AGREEMENT
This Agreement with Exlnbit "A" constitutes the entire understanding and
agreement of the parties.
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CJ?C 19!19-52
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed as of the day and year first above shown.
REDEVELOPMENT AGENCY
of the CITY OF SAN BERNARDINO
By: j/IT/I-'-'~/-? 1M /~/f~./
Horine Mi11er
Vice Chairman
Approved as to form and
legal CO
By: I
Agency Counsel
CONSULTANT
By:
Hdl Coren & Cone
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CDC 1999-52
111I :Hcllj
COi\ IP,\:\ I E S
Re\-enue ~Ianagement for Local Government
Hinderliter. de Llamas & Associates
HdL Coren & Cone
HdL Software. LLC
November29,1999
Mr. Gary Van Osdel
Executive Director
City of San Bernardino Economic Development Agency
201 North E Street, Suite 301
San Bernardino, CA 92401-5081
Dear Mr. Van Osdel:
HdL Coren & Cone, in association with City Associates, is pleased to present this
proposal to perform property tax audits and Malaki analysis for the San Bernardino
Redevelopment Agency.
HdL Coren & Cone (HdLCC) currently is providing on-going property tax analytical and
auditing service for 104 cities, counties, redevelopment agencies and special districts.
For these cities we serve as adjunct staff on all property tax matters, including auditing
county allocation procedures, researching property tax related issues, providing revenue
estimates to assist in the budget process, and preparing updated tables for continuing
disclosure.
Our services are based upon the firm's large investment in computers and specially
designed software for the management of large property tax data bases. We currently
have on line more than 120 gigabits of property tax data, including the complete secured
and unsecured property tax rolls for San Bernardino County since 1990. Our software
capability gives us the ability to audit an entire county for the benefit of our clients. We
have corrected the allocation of $3.2 billion in assessed values resulting in the recovery of
more than $29 million for our clients. We have extensive experience working with cities
and redevelopment-agencies in San Bernardino County, including Fontana, Rialto,
Colton, Ontario, Montclair and Upland.
HdLCC was established in 1992 to provide property tax data base management analytical
and auditing services to California cities and counties. HdLCC, along with Hinderliter de
Llamas & Associates and HdL Software, comprise the HdL Companies. Hinderliter de
Llamas & Associates provides sales tax auditing and analytical services to California
cities and counties. HdL Software develops software to assist cities and counties with
their administrative and financial services. The business license software is now in
1340 Valley VIsta Drive 1 Suite 200 1 Diamond Bar. CA 1 91765 I 19091 861-4335 I F\.\ 19091 861-7726
www.hdlcompanles.com I E-mail: hdlcomps@earthllnk.netI18881 861-0220
Exhibit "A"
CDC 1999-52
City of San Bernardino Economic Development Agency
Assessed Values Verification Proposal
November 29.1999, pg. 2
operation in more than 70 cities. A new softwar.e program for managing the permiIting
process has recently been released and is now operating in five cities.
Personnel
The HelL Companies are located. in Diamond Bar, California. HdLCC has nine
employees, led by its principals, Martin Coren and Paula Cone. Ms. Cone worked for 24
years with the City of Lawndale prior to joining the HelL Companies, including ten years
as assistant city manager. She joined Hinderliter de llamas & Associates in 1990 to
develop the property tax data base software now utilized by HdLCC. Martin Coren
joined the firm in 1992 after spending 15 years as a redevelopment consultant, and five
years as a legislative assistant with the California State Assembly. Mr. Coren specializes
in redevelopment fmance and has participated in the issuance of more than $3 billion of
tax increment supported debt.
Both Mr. Coren and Ms. Cone will participate in providing the services under this
proposal. The secured audits will be performed by Cynthia Robinson, an analyst with
more than seven years experience performing parcel audits. Other members of the
HdLCC staff will assist as needed.
City Associates, Inc. will assist with contact work with the Agency and the County.
Richard Powers and Louis Shepard of City Associates combine more that 40 years'
experience as city and redevelopment managers. Mr. Shepard and Mr. Powers are
familiar with the Agency having served with it as consultants.
Examnles
In January 1999 HdLCC completed a secured and unsecured audit of all the
redevelopment project areas for the Ontario Redevelopment Agency. Among the fmdings
was the discovery of a 266-parcel area with more than $11 million of assessed value had
never been properly coded as part of Redevelopment Project #2.
In 1999 HdLCC assisted the Vernon Redevelopment Agency with the recovery of
$1,249,657 of unsecured property tax revenue from two fiscal years. The majority of the
recovery came from 'unsecured billings that were erroneously recorded to areas outside
the City of Vernon.
HdLCC assisted the Monterey Park Redevelopment Agency and lrwindale Redevelopment
Agency with Malaki adjustments through the identification of properties purchased by a
public entity for street development and widening that were appropriate for Malaki
adjustments. In both cases the redevelopment agencies did not have documentation of
base year values of the properties to be able to quantify the value to be removed. For both
agencies the base year values were pro-rated on a per acre basis for reduction of the base
year.
Exhibit "A"
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CDC 1999-52
City of San Bernardino Economic Development Agency
Assessed V alues Verification Proposal
November 29, 1999, pg. 3
Scone of Services
HdLCC will establish a data base for each project area and each amendment area of the
Agency. The data base will include all of the locally assessed values for each project and
amendment area, including the secured and unsecured tax rolls for the current year and a
minimum for four previous years The data base for each project area will be reconciled
with the County reports to assure its accuracy.
Utilizing the data base, HdLCC will then provide the following services:
1. A five year history of each project area broken down by land, improvements,
personal property and exemptions on the secured and unsecured tax rolls. These
histories will be utilized to determine anomalies and discrepancies which merit
further investigation;
2. To the extent records allow, a history of the base year of each project area since its
inception to determine if the purchase of private property for public use has
resulted in any reductions of the base year pursuant to the Malaki procedure;
3. A secured parcel audit of the current year to identify any misplaced or miscoded
parcels for each project area. All misplacements and miscodings will be
investigated for at least three previous years;
4. An audit of the unsecured billings of the entire County to assure that the Agency
is receiving all unsecured revenues due form each project area;
5. A review of all publicly owned parcels in each project area to determine which
were purchased from private parties, and of those parcels, which ones would
qualify for Malaki adjustments to the project area base years;
6. Preparation of a report of audit and Malaki fmdings for submission to the San
Bernardino County Assessor for corrections as appropriate;
7. Assistance with monitoring the Assessor's and Auditor-Controller's offices to
assure appropriate audit and Malaki corrections.
Time Frame
Assuming the timely accessibility of necessary information, the scope of services should
be complete within 90 days of a written authorization to proceed.
Exhibit "A"
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CDC 1999-52
,
City of San Bernardino Economic Development Agency
Assessed V aloes Verification Proposal
November 29, 1999, pg. 4
Fees
All fees are on a contingency basis as follows:
1. Audit of the project areas will be performed for a fee of 25 percent of the Net
Revenues recovered for the Agency in three future years beginning with the ftrst
year in which the correction is made. "Net Revenues" means revenues actually
received by the Agency after deductions for the City of San Bernardino's share of
property tax revenues derived from parcels shifted from the City to the Agency,
and net of tax-sharing amounts.
2. For M~aki adjustments our fee is based on increases in revenues due to the
adjustments in future years as follows:
I"Year
2nd Year
3rd Year
4th Year
30%
25%
20%
10%
Qualification
Performance of this scope of services is dependent upon the availability of parcel
information for the respective base years from the Agency and/or the County Assessor's
Office. This proposal is valid for six months.
We would be glad to discuss any details of this proposal. Please call Martin Coren or
Paula Cone if you have any questions.
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HdL Coren & Cone
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Exhibit "A"
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CITY OF SAN BERNARDINO
Interoffice Memorandum
CITY CLER,K'S OFFICE
Records and Information Management (RIM) Program
DATE:
January 6, 2000
TO:
Gary Van Osdel
FROM:
Melanie Miller, Senior Secretary
RE:
Transmitting Documents for Signature
Attached is the following original document:
Resolution CDC 1999-52 original agreements (3)
Please obtain signature where indicated on original document.
Please return everything to the City Clerk's Office as soon as
possible to my attention. I will forward to you a copy when
fully executed.
If you have any questions, please do not hesitate to contact me at ext. 3212. Thank you.
Rachel Clark
City Clerk
By: Melanie Miller
Senior Secretary
I hereby aCknOWledgereCe~f the above me~tioned documents.
Signed: ~ - j~
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Date:
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