AGENDA
ITEM
27 AGENDA
CALEXICO California ITEM
WHERE CALIFORNIA AND MEXICO MEET
27 CITY COUNCIL
AGENDA STAFF REPORT
(Successor Agency)
DATE: February 5, 2025
TO: Successor Agency Board Members
APPROVED BY: Juan Contreras, Acting City Manager/Acting Fire ChiefJAc PREPARED BY: Karla Chaparro, Finance Director
SUBJECT: Approval of the Recognized Obligation Payment Schedule 25-26 A and B of the Successor Agency to the Community Redevelopment Agency of the City of Calexico for the period of July 2025 through June 2026 Recommendation:
It is recommended that the Board of Directors adopt the attached resolution approving the Recognized Obligation Payment Schedule ("ROPS") 25-26 A and B of the Successor Agency to the Community Redevelopment Agency of the City of Calexico ("Successor Agency") for the period of July 2025 through June 2026.
Background:
Pursuant to Health and Safety Code ("HS") § 34172 (a) (1), the Community Redevelopment Agency of the City of Calexico was dissolved on February 1, 2012. Consistent with the provisions of the HSC, the City Council of the City of Calexico previously elected to serve in the capacity of the Successor Agency. Per HSC § 34179, the Successor Agency previously established the Calexico Oversight Board to assist in winding-down the former redevelopment agency through June 30, 2018, at which time it was dissolved by operation of law. Consistent with HSC § 34179 (i), on July 1, 2018, the Imperial Countywide Oversight Board (the "CWOB") was established to assist in winding-down the dissolved redevelopment agencies within the County of Imperial
Discussion & Analysis:
- 1-
Per HSC § 34177 (o) (1), the Successor Agency is required to prepare a ROPS before each twelve-month fiscal year period. The purpose of the ROPS is to request authorization for Redevelopment Property Tax Trust Fund ("RPTTF*) money (formerly known as tax increment funding) to meet the Successor Agency's enforceable obligations. Pursuant to HSC § 34180 (g), CWOB approval is required for the establishment of each ROPS. Pursuant to HSC § 34177 (o) (1), a CWOB-approved ROPS 25-26 A and B for the period of July 2025 through June 2026 must be submitted to the State Department of Finance ("DOF") and to the County Auditor- Controller ("CAC") not later than February 1st for each ROPS cycle ("Submission Deadline").
The CWOB has approved Calexico's ROPS 25-26 A and B during its January 27, 2025, meeting.
It is, therefore, proposed that the Successor Agency adopt the attached Resolution approving ROPS 25-26 A and B, which is included as Exhibit "A" to the Resolution.
Fiscal Impact:
Pursuant to HSC § 34177, the Successor Agency is legally required to continue to make payments due for enforceable obligations. The Successor Agency's and the WOB's approval of the ROPS 25-26 A and B will ensure that the Successor Agency has the authority to continue to pay its enforceable obligations. ROPS 25-26 A and B will be submitted to DOF and the CAC by the Submission Deadline.
In addition, the CAC is responsible for distributing RPTTF, which occurs in two tranches: one by the first week of January and the other by the first week of June each year. The CAC divides the RPTTF into three parts. The first part is for pass-through funding to eligible taxing entities that are required by an agreement or statute. The second part is for successor agencies to fund approved enforceable obligations included within an approved ROPS. The third part is for the distribution of any remaining surplus funding to the taxing entities that are entitled to a share of the general tax levy (GTL") in proportion to their respective shares of the GTL. The City is entitled to a portion of any surplus RPTTF and has received such funding for the last several years. In that regard, the City includes an estimate of surplus RPTTF within its annual revenue budget for its general fund.
Coordinated With:
Steven H. Dukett, Managing Director, Development Services Division, TKE Engineering, Inc.
Attachment:
Resolution (including its Exhibit A, which is ROPS 25-26). -2-
ATTACHMENT NO. 1
RESOLUTION NO. 2025-_-SA
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE SUCCESSOR AGENCY TO
THE COMMUNITY REDEVELOPMENT AGENCY TO THE CITY OF CALEXICO APPROVING THE RECOGNIZED OBLIGATION PAYMENT SCHEDULE 25-26 A & B FOR THE PERIOD OF JULY 2025 THROUGH JUNE 2026 AND APPROVING CERTAIN
RELATED ACTIONS
WHEREAS, pursuant to Health and Safety Code (the "HS) § 34172 (a) (1), the Community Redevelopment Agency of the City of Calexico was dissolved on February 1, 2012; and WHEREAS, consistent with the provisions of the HSC, the City Council of the City of Calexico previously elected to serve in the capacity of the Successor Agency to the Community Redevelopment Agency of the City of Calexico (the "Successor Agency"); and WHEREAS, pursuant to HSC § 34179, the Successor Agency previously established the Calexico Oversight Board to assist in winding-down of the former redevelopment agency through June 30, 2018, at which time it was dissolved by operation of law; and WHEREAS, consistent with HSC § 34179 (i), on July 1, 2018 the Imperial Countywide Oversight Board (the "CWOB") was established to assist in winding-down the dissolved redevelopment agencies within the County of Imperial; and WHEREAS, per HSC § 34177 (o) (1), the Successor Agency is required to prepare a Recognized Obligation Payment Schedule (the "ROPS) before each twelve-month fiscal year period; and
WHEREAS, pursuant to HSC § 34180 (g), CWOB approval is required for the establishment of each ROPS; and
WHEREAS, pursuant to HSC § 34177 (o) (1), a CWOB-approved ROPS 25-26 A and B for the period of July 2025 through June 2026 must be submitted to the State Department of Finance and to the County Auditor-Controller not later than February 1st for each ROPS cycle (the "Submission Deadline"); and
WHEREAS, pursuant to HSC § 34177, the Successor Agency is legally required to continue to make payments due for enforceable obligations; and WHEREAS, approval of this Resolution will establishment of ROPS 25-26 A and B and will ensure that the Successor Agency has the authority to continue to pay its enforceable obligations; and
WHEREAS, it is proposed that the Successor Agency approve the establishment of the Successor Agency's ROPS 25-26 A and B, which is attached hereto as Exhibit "A"; and WHEREAS, the CWOB approved Calexico's ROPS 25-26 A and B during its January 2025 meeting and it has been filed with the State Department of Finance and the County Auditor- Controller by the Submission Deadline; and
WHEREAS, this Resolution has been reviewed with respect to applicability of the California Environmental Quality Act (the "CEQA"), the State CEQA Guidelines (California Code of Regulations, Title 14, § 15000 et seq., hereafter the "Guidelines"), and the City's environmental guidelines; and
WHEREAS, this Resolution does not constitute a "project" for purposes of CEQA, as that term is defined by Guidelines § 15378, because this Resolution is an organizational or administrative activity that will not result in a direct or indirect physical change in the environment, per § 15378 (b) (5) of the Guidelines; and
WHEREAS, all the prerequisites with respect to the approval of this Resolution have been met.
NOW, THEREFORE, BE IT RESOLVED by the Board of Directors of the Successor Agency to the Community Redevelopment Agency of the City of Calexico, as follows:
Section 1. The foregoing recitals are true and correct and are a substantive part of this Resolution.
Section 2. The Successor Agency's ROPS 25-26 A and B, which is attached hereto as Exhibit "A", is approved, inclusive of each enforceable obligation.
Section 3. The amount requested for enforceable obligation No. 16, the Successor Agency's Administrative Cost Allowance, is consistent with the provisions of HSC § 34171 (b) and is thus considered fair and reasonable.
Section 4. The Interim City Manager, in his capacity as the Executive Director of the Successor Agency, or designee, is authorized to: i) post that ROPS 25-26 A and B on the City's website, ii) transmit the ROPS 25-26 A and B to the State Department of Finance, the State Controller's Office and the County Auditor-Controller for their review within the timeframe and in the manner prescribed by the HSC; and ill) make ministerial revisions to ROPS 25-26 A and B, which may include, but are not limited to restating the information included within ROPS 25-26 A and B in any format that may be requested by the State Department of Finance, take such other actions and execute such other documents as are necessary to effectuate the intent of this Resolution, and to implement ROPS 25-26 A and B on behalf of the Successor Agency, including authorizing and causing such payments.
Section 5. This Resolution is not a "project" for purposes of CEQA, as that term is defined by Guidelines § 15378, because this Resolution is an organizational or administrative activity that will not result in a direct or indirect physical change in the environment, per § 15378 (b) (5) of the Guidelines.
Section 6. This Resolution shall take effect upon the date of its adoption.
PASSED, APPROVED AND ADOPTED this 5l' day of February 2025.
Diana Nuricumbo, Chair
Successor Agency to the Community
Redevelopment Agency of the City of
Calexico
ATTEST:
Veronica L. Alvarado, Secretary to the
Successor Agency to the Community
Redevelopment Agency of the City of Calexico
APPROVED AS TO LEGAL FORM:
City Attorney
CERTIFICATION:
1, Veronica L. Alvarado, Secretary for the Successor Agency to the Community Redevelopment Agency of the City of Calexico, do hereby certify that the foregoing Resolution No. 2025-_-SA was duly adopted by the Successor Agency to the Community Redevelopment Agency of the City of Calexico at a meeting thereof held on the 5'" day of February, 2025, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
Veronica L. Alvarado, Secretary to the
Successor Agency to the Community
Redevelopment Agency of the City of
Calexico
EXHIBIT "A"
SUCCESSOR AGENCY TO THE
COMMUNITY REDEVELOPMENT AGENCY
OF THE CITY OF CALEXICO
RECOGNIZED OBLIGATION PAYMENT SCHEDULE 25-26 A and B
(JULY 2025 THROUGH JUNE 2026)
(See Attachment)
Recognized Obligation Payment Schedule (ROPS 25-26) - Summary Filed for the July 1, 2025 through June 30, 2026 Period Successor Agency: Calexico
County: Imperial
25-26A Total 25-26B Total ROPS 25-26
Current Period Requested Funding for Enforceable
Obligations (ROPS Detail) (July - (January - Total
December) June)
A Enforceable Obligations Funded as Follows (B+C+D) $ 2,329,501 $ 8,625 $ 2,338,126 B Bond Proceeds
Reserve Balance 2,026,795 : 2,026,795
D Other Funds 302,706 8,625 311,331
E Redevelopment Property Tax Trust Fund (RPTTF) (F+G) $ 90,544 $ 2,245,281 $ 2,335,825 RPTTE 27,000 2,245,281 2,272,281
G Administrative RPTTF 63,544 63,544
H Current Period Enforceable Obligations (A+E) $ 2,420,045 $ 2,253,906 $ 4,673,951 Certification of Oversight Board Chairman:
Name Title
Pursuant to Section 34177 (o) of the Health and Safety
code, I hereby certify that the above is a true and
accurate Recognized Obligation Payment Schedule for
the above named successor agency. /s/
Signature Date
Calexico
Recognized Obligation Payment Schedule (ROPS 25-28) - ROPS Detail July 1, 2025 through June 30, 2026
I =
ROPS 25-26A (Jul - Dec) ROPS 25-26B (Jan - Jun)
Obligation Areton Termination Project Total ROPS Fund Sources Project Name Payee Description Outstanding Retired 25-26 25-26A Fund Sources 25-26B Area Obligation Reserve Total Total
Total RPTTF Bond Reserve Other RPTTF Admin
Proceeds Balance Funds RPTTF Proceeds Balance Funds RPTTF $13,906,460 $4,673,951 S-$2,026,795 S302,706 $27,000 $63,544 $2,420,045 S- $8,625 $2,245,281 $- $2,253,906 Securities Fees 02/221 02/01/2034 Bank of New Annual Merged 7,000 $7,000 $7,000 Servicing 2011 York, Mellon Securities Project
Trust Co.. Servicing for
N.A. all TABS
9 Continuing Fees 06/30/ 02/01/2034 Kosmont Annual Merged 7,700 $7,700 7,700 $7,700 Disclosure 2004 Transactions Disclosure Project
Services, Services for
Inc. all TABs
16 Successor Admin 02/01/ 02/01/2034 City of Successor Merged 250,000 $250,000 186.456 63.544 $250,000 Agency Costs 2012 Calexico Agency
Administrative Administrative Project
Cost Allocation Cost
Allocation
2014 Refunding Refunding 11/18/ 08/01/2028 Bank of New Refunding of Merged 182,875 $112,375 44,375 $44,375 68,000 $68,000 TABs (Interest " Bonds 2014 York, Mellon the 2003A Project Only)(Successor Issued After Trust Co., and 2003C
Agency Only) 6/27/12 N.A. TABS
(Successor
08/01/2028 Bank of New Refunding of Merged 1,775,000 $845,000 415,000 $415,000 430,000 $430,000 Bonds York, Mellon the 2003A Project
Reduction Trust Co., and 2003C
Only)(Successor 6/27/12 N.A. TABS
Agency Only) (Successor
Agency
Principal
Reduction
Only)
24 2014 Refunding Refunding 11/18/ 08/01/2028 Bank of New Refunding of Merged 46,250 $19,875 11,250 $11,250 8,625 $8,625 TABS (CUSD sued After 2014 York, Mellon the 2003Ă Project Interest Only) Trust Co., and 2003C
6/27/12 N.A. TABS (CUSD
Interest Only)
25 2014 Refunding Refunding 11/18/ 08/01/2028 Bank of New Refunding of Merged 450,000 $105,000 - 105.000 - $105,000 is TABS (CUSD Bonds 2014 York, Mellon the 2003A Project
Principal Issued After Trust Co., and 2003C
Reduction Only) 6/27/12 N.A. TABS (CUSD
Principal
Reduction
Only)
28 LRPMP Property 06/171 06/30/2026 Selected Customary Merged 20,000 $20,000 - 20,000 $20,000 Implementation Dispositions 2015 vendors for Project
LL I - z
ROPS 25-26A (Jul - Dec) ROPS 25-26B (Jan - Jun)
Obligation Agreement Agreement Total
Item Project Name Execution Termination Project Outstanding Retired Fund Sources 25-26A Fund Sources 25-26B # Type Payee Description Area 25-26 Total
Date Date Obligation •Total Bond Reserve Other Admin Bond Reserve Other Admin Total Proceeds Balance Funds RPTTF Proceeds Balance Funds RPTTF RPTTF RPTTF
appraisals, costs related
Legal, costs. to sale of real
fees, etc. property per
30 2020A Bonds 01/221 08/01/2033 Bank of New Refunding of Merged 1,067,635 $407,001 147,420 - $147,420 $259,581 259.581
Refunding TABs Issued After 2020 York, Mellon the 2000, Project (Interest Only) 12/31/10 Trust Co., 2006 and
N.A. 2011 TABS
(Interest
Only)
31 2020A Bonds 01/22/ 08/01/2033 Bank of New Refunding of Merged 10,100,000 $2,900,000 - 1,420,000 - $1,420,000 - 1,480,000 - $1,480,000 Refunding TABs Issued After 2020 York, Mellon the 2000. Project (Principal Only) 12/31/10 Trust Co., 2006 and
NA. 2011 TABS
(Principal
Only)
Calexico
Recognized Obligation Payment Schedule (ROPS 25-26) - Report of Cash Balances July 1, 2022 through June 30, 2023
(Report Amounts in Whole Dollars)
Pursuant to Health and Safety Code section 34177 (I), Redevelopment Property Tax Trust Fund (RPTTF) may be listed as a source of payment on the ROPS, but only to the extent no other funding source is available or when payment from property tax revenues is required by an enforceable obligation.
Fund Sources
Bond Proceeds Reserve Balance Other Funds RPTTF
ROPS 22-23 Cash Balances Prior ROPS
(07/01/22 - 06/30/23) Bonds issued Bonds issued RPTTF and Comments on or before Reserve Rent, grants, Non-Admin
12/31/10 0102/7 Balances retained interest, etc. and Admin for future
period(s)
1 Beginning Available Cash Balance (Actual 07/01/22) 2,032,649 1,779,144 493,526 55,142 RPTTF amount should exclude "A" period distribution
amount.
Revenue/Income (Actual 06/30/23) 43,220 391,399 2,166,384 distribution from she dinto Anior 22-23 totall
Expenditures for ROPS 22-23 Enforceable Obligations 1,640,687 1,779,144 640,950 368,234 Reported expenditures include the (Actual 06/30/23) redemption of the 2011 tax allocation bonds, as authorized by DOF, which were not
reported on the PPA since that ROPS line
had been retired.
4 Retention of Available Cash Balance (Actual 06/30/23) 435,182 57,519 1,826,301 RPTTF amount retained should only include the amounts
distributed as reserve for future period(s)
5 ROPS 22-23 RPTTF Prior Period Adjustment 26,991
RPTTF amount should tie to the Agency's ROPS 22-23 PPA No entry required form submitted to the CAC
6 Ending Actual Available Cash Balance (06/30/23) $186,456 $- Pursuant to Health and Safety Code section 34177(I), Redevelopment Property Tax Trust Fund (RPTTF) may be listed as a source of payment on the ROPS, but only to the extent no other funding source is available or when payment from property tax revenues is required by an enforceable obligation.
Fund Sources
Bond Proceeds Reserve Balance Other Funds RPTTF
ROPS 22-23 Cash Balances Prior ROPS
(07/01/22 - 06/30/23) Bonds issued Bonds issued RPTF and Comments on or before on or after Reserve Rent, grants, Non-Admin 12/31/10 01/01/11 Balances retained interest, etc. and Admin for future
period(s)
C to F = (1 + 2 - 3-4), G= (1 + 2-3-4 - 5)
Calexico
Recognized Obligation Payment Schedule (ROPS 25-26) - Notes July 1, 2025 through June 30, 2026
Item # Notes/Comments
7 9
25 28
30 31