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HomeMy WebLinkAbout07.F- Successor Agency RESOLUTION (ID #2950) DOC ID: 2950 A CITY OF SAN BERNARDINO—REQUEST FOR COUNCIL ACTION Budget From: Lisa Connor M/CC Meeting Date: 04/07/2014 Prepared by: Lisa Connor, (909) 663-1044 Dept: Successor Agency Ward(s): All Subject: Resolution of the Mayor and Common Council of the City of San Bernardino Acting as the Successor Agency to the Redevelopment Agency of the City of San Bernardino Approving a Comprehensive Property Maintenance Budget for the Period of January 1, 2014 through June 30, 2014 and Authorizing Certain Related Actions. (#2950) Current Business Registration Certificate: Not Applicable Financial Impact: The Comprehensive Property Maintenance Budget proposes the use of$946,693 of RPTTF and $882,307 of rental income for a total of$1,829,000 during the period of January 1, 2014 through June 30, 2014. Adoption of the attached Resolution will have the effect of confirming the use of the RPTTF, as depicted in Exhibit"A"to the attached Resolution and concurring in the SBEDC's contribution of rental income. Account Description: <<Insert Account Description Balance as of. <<Insert Date>> Balance after approval of this item: <<Insert Amount>> Please note this balance does not indicate available funding. It does not include non-encumbered reoccurring expenses or expenses incurred,but not yet processed. Motion: Adopt the Resolution. Synopsis of Previous Council Action: None. Background: Pursuant to Health and Safety Code ("HSC") § 34172 (a)(1), the Redevelopment Agency of the City of San Bernardino was dissolved on February 1, 2012. Consistent with the provisions of the HSC, the Mayor and Common Council of the City of San Bernardino previously elected to serve in the capacity of the Successor Agency to the Redevelopment Agency of the City of San Bernardino (the "Successor Agency"). Per HSC § 34177 (1)(1), the Successor Agency is required to prepare a Recognized Obligation Payment Schedule ("ROPS") before each six-month fiscal period, which corresponds to equal halves of a fiscal year (i.e., July through December and January through June). A ROPS is the basis for the Successor Agency's authority to make payments due for enforceable obligations. Each ROPS must also be approved by the Oversight Board("OS Board")to the Successor Agency. On September 30, 2013,the OS Board adopted Resolution SBOB/2013-03, approving ROPS 13-14B. On December 17, 2013, the California Department of Finance approved the ROPS with certain conditions Updated:4/3/2014 by Linda Sutherland A Packet Pg.503 2950 and restrictions. On February 3, 2014, the Successor Agency adopted a resolution approving ROPS 13- ~ 14B and its plan for use of RPTTF and non-RPTTF for ROPS 13-14B. Among other things, the Successor Agency's plan for use of RPTTF and non-RPTTF for ROPS 13-14B authorized the use of $946,693 of RPTTF for property maintenance related purposes. The property affected by the Successor Agency's plan for use of RPTTF and non-RPTTF for ROPS 13- 14B is owned by the San Bernardino Economic Development Corporation ("SBEDC"). A comprehensive budget for the use of both RPTTF and rental income for property maintenance related purposes has been prepared and is appended to the attached Resolution as Exhibit "A" (the "Comprehensive Property Maintenance Budget"). In addition, a summary of the assumptions and the basis for the Comprehensive Property Maintenance Budget is attached to the attached Resolution as Exhibit"B". On February 20, 2014, the Board of Directors of the SBEDC adopted the Comprehensive Property Maintenance Budget, which had the effect of approving the use of rental income as depicted in Exhibit "A"to the attached Resolution and concurring in the Successor Agency's contribution of RPTTF. Fiscal Impact: The Comprehensive Property Maintenance Budget proposes the use of$946,693 of RPTTF and$882,307 of rental income for a total of$1,829,000 during the period of January 1, 2014 through June 30, 2014. Adoption of the attached Resolution will have the effect of confirming the use of the RPTTF, as depicted in Exhibit"A"to the attached Resolution and concurring in the SBEDC's contribution of rental income. City Attorney Review: Supporting Documents: reso 2950 (PDF) Reso Exhibit A (PDF) Reso Exhibit B (PDF) Updated:4/3/2014 by Linda Sutherland A Packet Pg. 504 7.Fa 1 RESOLUTION NO. 2 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF 3 SAN BERNARDINO ACTING AS THE SUCCESSOR AGENCY TO THE 4 REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO APPROVING A COMPREHENSIVE PROPERTY MAINTENANCE BUDGET FOR 5 THE PERIOD OF JANUARY 1, 2014 THROUGH JUNE 30, 2014 AND AUTHORIZING CERTAIN RELATED ACTIONS. 6 T N WHEREAS, pursuant to Health and Safety Code ("HSC") § 34172 (a)(1), the 8 Redevelopment Agency of the City of San Bernardino was dissolved on February 1, 2012; and s WHEREAS, consistent with the provisions of the HSC, the Mayor and Common 10 m Council of the City of San Bernardino previously elected to serve in the capacity of the 3 L) 11 Successor Agency to the Redevelopment Agency of the City of San Bernardino (the"Successor _ 12 Agency"); and 13 WHEREAS, pursuant to HSC § 34177 (1)(1), the Successor Agency is required to 14 fl. prepare a Recognized Obligation Payment Schedule ("ROPS") before each six-month fiscal ° 15 a. period, which corresponds to equal halves of a fiscal year (i.e., July through December and '- V! 16 = January through June); and 17 Q WHEREAS, a ROPS is the basis for the Successor Agency's authority to make o 18 U r 19 payments due for enforceable obligations; and LO LO { WHEREAS, each ROPS must also be approved by the Oversight Board("OS Board") N- 20 0 to the Successor Agency; and N 21 0 22 WHEREAS, on September 30, 2013,the OS Board adopted Resolution SBOB/2013- .. 23 03, approving ROPS 13-14B; and 24 WHEREAS, on December 17,2013,the California Department of Finance approved r a 25 the ROPS with certain conditions and restrictions; and 26 WHEREAS, on February 3, 2014, the Successor Agency adopted a resolution 27 approving ROPS 13-14B and its plan for use of RPTTF and non-RPTTF for ROPS 13-14B; and 28 1 Packet Pg.- 1 WHEREAS, among other things,the Successor Agency's plan for use of RPTTF and 2 non-RPTTF for ROPS 13-14B authorized the use of$946,693 of RPTTF for property 3 maintenance related purposes; and 4 WHEREAS, the property affected by the Successor Agency's plan for use of RPTTF s and non-RPTTF for ROPS 13-14B is owned by the San Bernardino Economic Development T 6 N Corporation("SBEDC"); and = 7 WHEREAS, a comprehensive budget for the use of both RPTTF and rental income for 8 property maintenance related purposes has been prepared and is attached to this Resolution as 9 Exhibit"A" (the "Comprehensive Property Maintenance Budget"); and m 10 WHEREAS, a summary of the assumptions and basis for the Comprehensive Property 11 c Maintenance Budget is attached to this Resolution as Exhibit"B"; and 12 WHEREAS, the Comprehensive Property Maintenance Budget proposes the use of 13 14 $946,693 of RPTTF and$882,307 of rental income for a total of$1,829,000 during the period c CL 5 of January 1, 2014 through June 30, 2014; and 0 .N 16 WHEREAS, On February 20, 2014, the Board of Directors of the SBEDC adopted the a� 17 Comprehensive Property Maintenance Budget, which had the effect of approving the use of E 0 18 rental income as depicted in Exhibit "A" to the attached Resolution and concurring in the 0 19 Successor Agency's contribution of RPTTF; and N 20 WHEREAS, to implement the Comprehensive Property Maintenance Budget it is Ln N 21 recommended that the Successor Agency adopt the Comprehensive Property Maintenance L 22 Budget, which will have the effect of confirming the use of the RPTTF, as depicted in Exhibit d E 23 "A"to the attached Resolution and concurring in the SBEDC's contribution of rental income.; r 24 and a 25 WHEREAS, this Resolution has been reviewed with respect to applicability of the 26 California Environmental Quality Act("CEQA"), the State CEQA Guidelines (California Code 27 of Regulations, Title 14, §§ 15000 et seq., hereafter the "Guidelines"), and the City's 2 s environmental guidelines; and 2 Packet Pg.506 1 WHEREAS, this Resolution is not a "project" for purposes of CEQA, as that term is 2 defined by Guidelines § 15378, because this Resolution is an organizational or administrative 3 activity that will not result in a direct or indirect physical change in the environment, per § 4 15378(b)(5) of the Guidelines; and 5 WHEREAS, all of the prerequisites with respect to the approval of this Resolution 6 N have been met. 7 3 NOW,THEREFORE,be it resolved by the Successor Agency to the Redevelopment 8 Agency of the City of San Bernardino, as follows: 9 -� SECTION 1. The foregoing recitals are true and correct and are a substantive part of m 10 y this Resolution. _ 11 12 SECTION 2. The Comprehensive Property Maintenance Budget, which is attached l 13 hereto as Exhibit "A" and as described within the recitals, is approved and such approval will 14 have the effect of confirming the use of the RPTTF and concurring in the SBEDC's o � a` 15 contribution of rental income. .N 16 SECTION 3. The City Manager, as Executive Director of the Successor Agency, or 5 17 designee, is authorized to implement the Comprehensive Property Maintenance Budget on 0 18 behalf of the Successor Agency and take such necessary actions and execute such documents as 19 are necessary to effectuate the intent of this Resolution, inclusive of authorizing ministerial CD 20 revisions to the Comprehensive Property Maintenance Budget. Ln N 21 SECTION 4. This Resolution is not a "project" for purposes of CEQA, as that term is 00 L 22 defined by Guidelines § 15378, because this Resolution is an organizational or administrative E 23 activity that will not result in a direct or indirect physical change in the environment, per § 24 15378(b)(5) of the Guidelines. a 25 SECTION 5. This Resolution shall take effect upon its adoption and execution in the 26 manner as required by the City Charter. 27 28 111 3 packet Pg.507 Elio 1 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN .r.. BERNARDINO ACTING AS THE SUCCESSOR AGENCY TO THE REDEVELOPMENT 2 AGENCY OF THE CITY OF SAN BERNARDINO APPROVING A COMPREHENSIVE PROPERTY MAINTENANCE BUDGET FOR THE PERIOD OF JANUARY 1, 2014 3 THROUGH JUNE 30,2014 AND AUTHORIZING CERTAIN RELATED ACTIONS. 4 I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and 5 Common Council of the City of San Bernardino, acting as the Successor Agency to the o 6 N Redevelopment Agency of the City of San Bernardino, at a meeting thereof,7 3 _ 8 held on the day of , 2014, by the following vote,to wit: c; aD 9 Council Members: AYES NAYS ABSTAIN ABSENT m 10 MARQUEZ 11 c d BARRIOS c 12 c� 13 VALDIVIA a 14 SHORETT ° 15 NICKEL _ 16 JOHNSON a 17 E 18 MULVIHILL v 0 Ln 19 N Georgeann Hanna, City Clerk o 20 The foregoing Resolution is hereby approved this day of ,2014. N 21 m L 22 = R. Carey Davis, Chairman E 23 Successor Agency to the 24 Redevelopment Agency of the Q City of San Bernardino 25 Approved as to form: 26 Gary D. 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Staffing Services: Includes $150,000 for Carousel Mall staff, which is one- m half of the annual cost, rounded to the nearest thousand. The balance consists of $34,000 for Successor Agency staff and $20,000 for City Finance Department expenditures. Security Services: Estimates for Carousel Mall are based on prior period actual expenses rounded to the nearest thousand. The 0 balance is based on extending the Mall averages across - the other sites and the addition a night time patrol N (vandalism deterrence). L Custodial Services: Estimates are based on the annual actual expenditures E divided in half (to equal a ROPS period) and rounded to nearest whole thousand. o N Grounds Maintenance: Estimates are based on the annual actual expenditures m experienced at the Mall divided in half (to equal a ROPS period) and extended to the balance of the sites and rounded to nearest whole thousand. W 0 N N Insurance: Estimates are based on the annual actual expenditures experienced at the Mall divided in half (to equal a ROPS period) and extended to the balance of the sites and E rounded to nearest whole thousand. a Equip., Srvs. & Supp: Estimates are based on staff estimated needs. Legal: Estimates are based on staff estimated needs. Fire, Prop. Protect. Srvs.: Estimates are based on staff estimated needs. Packet Pg.595 i Page 2 BSFMF: Estimates are based on staff estimated needs as depicted on Attachment 1. Contingency: Estimated at approximately 5% of direct costs rounded to the nearest thousand. REVENUE: o N N Category Basis RP1TF: $946,693 was approved by the Successor Agency, Oversight Board and California Department of Finance for property maintenance related purposes during ROPS 13- m 14B. c Rents: For the purposes of the budget, available rental income is projected to be $882,307. This is based on the current monthly income for the Mall equaling $123,828.92 (which when multiplied by six months equals $742,973.52) and d the current monthly income for all other rental properties 0 equaling $23,998.70 (which when multiplied by six months equals $143,992.20). Therefore, the current N monthly combined rental income amount would be $147,827.62 and the six months combined total would be L $886,965.72, which is sufficient to fund the amount E requested in the budget. 0 L0 0) N m X W O N d d' C O E V w a Packet Pg.516 7.F.c Buildings,Structures and Facilities Attachment"1" Maintenance and Repairs Summary by Site Site Items Est. Costs Carousel Mall: Roll-up Grill Replacement $10,000 Elevator Repair 30,000 A/C Compressor Replacement 10,000 _ Replace Expansion Plates in Garage 9,000 0 Miscellaneous Repairs & Hazard Abatement 38,000 CD Sub-Total Carousel Mall: $97,000 ° ° . c Performing Arts Repair Grid Wells $6,000 Theatres Replace Backing on Will Rogers Drape 10,000 a, (California) Repair Black Drapes 25,000 m Repair Electrical System in Storage Area 50,000 Replace Wiring in Light Fixtures 28,000 c� Replace Flying System Pipe with Sch. 80 23,000 House Lighting System Upgrade 20,000 = Replace Exterior Wall Protective Coverings 15,000 A Replace Exterior Security Lighting 7,000 Repair Exterior Walls Due to Water Seepage 40,000 0 L Sub-Total California Theatre: $224,000 a ° W (Sturges) Replace Damaged Doors and Door Jams 25,000 Repair Lighting Board 25,000 L Sub-Total Sturges Theatre: 50,000 °- E Sub-Total California and Sturges Theatres: $274,000 ° U 0 Stadium Replace Rotted Back-Stop Net (Fan Safety) $10,000 N Repair Broken Hardscape Hazards 30,000 m Repair Broken Handrailings to Abate Hazards 10,000 72 Repair Caulking/Flashing to Abate Leaks 15,000 = Replace Dugout Flooring to Abate Hazards 5,000 w Fire Code Repairs 10,000 Sub-Total Baseball Stadium: $80,000 r C Improved Phyiscal Hazard Repairs $35,000 E Sites HVAC Repairs 10,000 Electrical & Plumbing Repairs 5,000 a Weathertight Exterior Repairs 5,000 Sub-Total Improved Sites: $55,000 All Sites Grand Total $506,000 Packet Pg. 517