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HomeMy WebLinkAbout05. Minutes-OB-Special Meeting 01-26-17Oversight Board Minutes Special Meeting January 26, 2017 - 1 - Minutes of the Oversight Board to the Successor Agency to the Dissolved Downey Community Development Commission January 26, 2017 – Special Meeting The Oversight Board to the Successor Agency to the Dissolved Downey Community Development Commission held a Special Meeting at 1:02 p.m., January 26, 2017, in the Council Chamber of the Downey City Hall, 11111 Brookshire Avenue, Downey, California. PRESENT: Donald LaPlante, Downey Unified School District - Chair Aldo Schindler, Community Development Director – Vice-Chair Dave Blumenthal, Downey Employee Association Frederick W. Latham, LA County Board of Supervisors, District 4 Alex Saab, LA County Sanitation Districts #2 & #18 EXCUSED: Ali Delawalla, Community Colleges ALSO PRESENT: Adria M. Jimenez, MMC, Oversight Board Secretary Jessica Flores, Economic Development Manager, City of Downey 3. PLEDGE OF ALLEGIANCE The Pledge of Allegiance was led by Board Member Saab. 4. PUBLIC COMMENT Chair LaPlante opened Public Comment at 1:03 p.m. Having no one come forward, Public Comment was closed. 5. APPROVED THE MINUTES OF THE OVERSIGHT BOARD FOR THE REGULAR MEETING OF JANUARY 26, 2016: Secretary. It was moved by Chair LaPlante, seconded by Board Member Blumenthal, and unanimously carried 4-0-2, with Board Member Saab abstaining and Board Member Delawalla excused, to approve the Minutes of the Regular Meeting of January 26, 2017. 6. ADOPTED RESOLUTION NO. OB 17-0026, A RESOLUTION OF THE OVERSIGHT BOARD TO THE DOWNEY SUCCESOR AGENCY APPROVING THE RECOGNIZED OBLIGATION PAYMENT SCHEDULE FOR THE PERIOD OF JULY 1, 2017 THROUGH JUNE 30, 2018: Community Development. Ms. Flores provided an overview of the Recognized Obligation Payment Schedule (ROPS), which covers the applicable twelve month period of July 1, 2017 through June 30, 2018. The Successor Agency is requesting approval of $1,453,482 for enforceable obligations due in the applicable one-year period. 1997 Tax Allocation Bonds - There are two debt payments in the amount of $494,525 and $135,536 required for the next two scheduled bond payments due in August and January. The payment obligation was established by the Commission in 1997 when it issued $9,925,000 in Refunding Tax Allocation Bonds to decrease an outstanding balance on its 1990 Bonds to repay accrued principal and interest on note obligations to the City. Oversight Board Minutes Special Meeting January 26, 2017 - 2 - In regards to Development Agreements, this ROPS includes $25,000 for a payment on an agreement recognized as an enforceable obligation: Bob’s Big Boy. The current unpaid obligation balance is $75,000. Administrative costs are also included in this ROPS for a total of $250,000, which are used for personnel salaries and benefits, legal services, contract and professional services. This ROPS also includes a $280,323 payment for a loan agreement towards the outstanding principal on City Loan Agreement No. 25. The outstanding principal on this loan as of January 2017 is $944,729. The Successor Agency is responsible or continuing payment to CALPERS for unfunded pension obligations for Commission employees in service prior to the dissolution of redevelopment. The total of $253,078 is included in this ROPS for that payment. Lastly, the Successor Agency is responsible to complying with the requirements of the 1997 Tax Allocation Bonds by providing Annual Disclosure Reports every year. In order to maintain compliance with disclosure requirements, staff has procured consultant services to generate the required report. The cost to prepare the reports is project at $50,000 over the remaining 20 year term of the tax allocation bonds. This ROPS includes $15,000 for the preparation of these reports for FY 17-18. Board Member Latham confirmed there are no new items in the ROPS not approved by the Board. Mr. Flores confirmed there is nothing different in this ROPS. It was moved by Board Member Saab, seconded by Board Member Latham, and approved 5-0- 1, with Board Member Delawalla excused, to Adopt Resolution No. OB 17-0026, A Resolution of the Oversight Board of the Downey Successor Agency Approving the Recognized Obligation Payment Schedule for the Period of July 1, 2017, through June 30, 2018. ADJOURNMENT Chair LaPlante adjourned the meeting at 1:10 p.m. MARIA ALICIA DUARTE, CMC DONALD LAPLANTE Oversight Board Secretary Oversight Board Chair