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DOC ID: 1576 A
CITY OF SAN BERNARDINO—REQUEST FOR COUNCIL ACTION
Agreement/Contract
From: Charles McNeely M/CC Meeting Date: 02/06/2012
Prepared by: Brandon Mims, (909) 384-5122
Dept: City Manager Ward(s): All
Subject:
Authorization to Terminate All Ancillary Employment Agreements And/Or Contracts Executed
by the Economic Development Agency(EDA) in Support of Its Programs and Projects.
Financial Impact:
None. Funds are available in the account(s) of the Successor Agency/Entity to the Economic
Development Agency to pay any contract terimination fees,where applicable.
Motion: Authorize the City Manager to terminate all existing ancillary employment
agreements and/or contracts transferred to the Successor Agency/Entity to the
Economic Development Agency (City of San Bernardino) from the former
Economic Development Agency pursuant to the cancellation provisions of those
agreements and/or contracts.
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Previous Council Action:
On January 9, 2012, the Mayor and Common Council approved Resolution No. 2012-12,
authorizing the City as the Successor Agency/Entity to the Economic Development Agency
(RDA) effective February 1,2012.
Item 9-C to be considered by the Mayor and Common Council today, if approved, would
authorize the Successor Agency/Entity to the RDA (City) to issue lay-off notices to former RDA
employees transferred to the Successor Agency(City).
Background:
On December 29, 2011, the California Supreme Court released its opinion that Redevelopment
Agencies must be dissolved per Assembly Bill X1 26. The Court set the effective date of
dissolution of RDA's as February 1, 2012; therefore, the RDA of the City of San Bernardino
ceased to exist on February 1,2012.
On January 9, 2012, Mayor and Common Council approved Resolution No. 2012-12 agreeing to
serve as the Successor Agency/Entity to the RDA to implement the provisions of AB X1 26.
Under the law,the operations of the former RDA are transferred to the Successor Agency(City).
As the Successor Agency/Entity, the City is required to meticulously preside over the "winding-
down" of all the former RDA's operations. Consistent with that expectation and pursuant to the
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California Supreme Court ruling, over the upcoming weeks and months, the City acting as the
Successor Agency will expeditiously refine the operations of the former RDA to those necessary
to wind-down existing projects. As part of that objective, certain agreements and contracts,
including employment agreements, professional services contracts, and consulting agreements,
where it has been determined by the Successor Agency/Entity that the service is not essential to
the winding down, should be eliminated pursuant to the terms of those agreements.
Recommendation
It is recommended that the City Council (as the governing board of the Successor Agency/Entity
to the RDA) authorize the City Manager to terminate, where necessary to adhere to the
requirements set forth in the California Supreme Court's ruling on AB X1 26, certain agreements
and contracts, including employment agreements, professional services contracts, and consulting
agreements,unnecessary to the winding down of the former RDA.
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Supporting Documents:
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