SUCCESSOR AGENCY
City of California City
DATE: January 10, 2023
TO: Members of the Successor Agency Board to the dissolved California City Redevelopment Agency
FROM: Dr. Jim Hart, Interim City Manager
SUBJECT: Adopt Resolution No. SA 01-23-2964 of the Successor Agency of the California Redevelopment Agency Approving the Recognized Obligation Payment Schedule (ROPS 23-24) for the period July 1, 2023 – June 30, 2024.
Background / Discussion
The City of California City Redevelopment Agency was dissolved on February 1, 2012 pursuant to ABx1 26. Subsequently, the City Council elected to become the Successor Agency to the Redevelopment Agency in order to ensure that projects underway at the time of dissolution were completed, to retain control over the disposition of assets, and to make obligation payments identified in a Recognized Obligation Payment Schedule (ROPS). The ROPS serves to identify all of the enforceable obligations of the former RDA including debt service payments, loans, contracts, projects, employee and other administrative costs, etc.
Each ROPS is prepared by the Successor Agency and presented to the City Council and the Countywide Oversight Board for approval. The ROPS is then submitted to the Department of Finance (DOF) for approval.
Pursuant to Health and Safety Code Section 34179.7(o)(1), the Successor Agency must submit an Oversight Board-approved annual ROPS to DOF and the County Auditor Controller by February 1st of each year for the following fiscal year. However, the County Oversight Board requires that they receive the ROPS by January 16, 2023 in order for the Board to approve it before the February 1, 2023 deadline. Upon submitting and obtaining ultimate approval of the ROPS, fund distributions to pay enforceable obligations are made by the County in January and June each year.
The ROPS 23-24 has been prepared by staff and provides a list of obligations and amounts due to the period July 1, 2023 through June 30, 2024. The estimated twelve-month funding requirement to satisfy identified obligations is $1,020,383. Obligations listed on the ROPS 23-24 include required debt service for an outstanding redevelopment bond issue; the fifth year (out of five) of a Housing SERAF Loan payment; an RPTTF cash shortfall; and an administrative allocation. Upon approval of the City Council and Oversight Board, the ROPS 23-24 will be submitted to the DOF and County Auditor-Controller for review and approval.
FISCAL IMPACT
In summary, the following obligations are listed on the ROPS 23-24:
• Administrative Allocation - $75,000. Covers administrative costs for City Manager’s Office; Finance Department and City Clerk’s Office, including any supplies, materials and consultant costs necessary to carry out Successor Agency Operations for FY 2023-24.
• 2014 Tax Allocation Bond Debt Service payment - $744,613 • 2014 Tax Allocation Bond Debt Service Fees - $3,500
• Payback of loan (payment no. 5 out of 5) related to Housing SERAF - $197,000 • Unexpected Prior RPTTF Shortfall - $270
Total RPTTF Requested $971,781
Other Funds* $48,602
• Other funds represent revenues generated from lease of property owned by the former redevelopment agency at the City of California City Airport.
RECOMMENDATION
Staff recommends that the City Oversight Board adopt Resolution No. SA 01-23-2964 approving the Recognized Obligation Payment Schedule (ROPS 22-23) for the period July 1, 2023 through June 30, 2024 for submittal to the Countywide Oversight Board for their scheduled meeting on January 26th, 2023. All ROPS are due to the Department of Finance by February 1, 2022.
ATTACHMENTS
Resolution No. SA 01-23-2964
Cal City 23-24 Recognized Obligation Payment Schedule (ROPS) RESOLUTION NO. SA 01-23-2964
A RESOLUTION OF THE SUCCESSOR AGENCY TO THE CALIFORNIA CITY
REDEVELOPMENT AGENCY APPROVING THE RECOGNIZED OBLIGATION PAYMENT SCHEDULE FOR JULY 1, 2023 TO JUNE 30, 2024 PURSUANT TO HEALTH AND SAFETY CODE SECTION 34177(I)
RECITALS:
A. The City Council of the City of California City (the “City”) adopted Resolution No. 01-23-2964 on January 10, 2023 pursuant to Part 1.85 of the California Health and Safety Code electing for the City to serve as the successor agency for the City of California City Redevelopment Agency (the “Successor Agency”) upon the dissolution of the California City Redevelopment Agency.
B. Health and Safety Code section 34177(1)(2) requires the Successor Agency to submit a Recognized Obligation Payment Schedule (ROPS) by February 1, 2020, listing outstanding obligations of the Agency to be performed by the Successor Agency during the time period from July 1, 2023 through June 30, 2024; and
NOW, THEREFORE, THE SUCCESSOR AGENCY TO THE CALIFORNIA
CITY REDEVELOPMENT AGENCY HEREBY FINDS, DETERMINES,
RESOLVES, AND ORDERS AS FOLLOWS:
Section1. The above recitals are true and correct and are a substantive part of this Resolution.
Section2. This Resolution is adopted pursuant to Health and Safety Code Section 34170.5.
Section 3. The Successor Agency hereby approves and adopts the ROPS 23-24, as shown in Exhibit “A” pursuant to Health and Safety Code Section 34177.
Section 4. The Secretary is hereby authorized and directed to file a certified copy of this Resolution to the Countywide Oversight Board.
Section 5. Pursuant to Health and Safety Code Section 34179(h), all actions taken by the Successor Agency may be reviewed by the Countywide Oversight Board and the State of California Department of Finance, and therefore, this Resolution shall not be effective for three (3) business days, pending a request for review by the Countywide Oversight Board and the State of California Department of Finance PASSED AND ADOPTED this ___ day of _______ 2023 by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
____________________________________
Kelly Kulikoff, Chairman
ATTEST:
___________________________
Socorro Chavez, Secretary
I hereby certify that the foregoing resolution was duly and regularly adopted by the Successor Agency Board at their Special Meeting thereof held on ______, 2023. ___________________________
Socorro Chavez, Secretary
Recognized Obligation Payment Schedule (ROPS 23-24) - Summary Filed for the July 1, 2023 through June 30, 2024 Period Successor Agency: California City
County: Kern
Current Period Requested Funding for Enforceable
Obligations (ROPS Detail)
23-24A Total
(July -
December)
23-24B Total
(January -
June)
ROPS 23-24
Total
A Enforceable Obligations Funded as Follows (B+C+D) $ 24,602 $ 24,000 $ 48,602 B Bond Proceeds - - -
C Reserve Balance - - -
D Other Funds 24,602 24,000 48,602
E Redevelopment Property Tax Trust Fund (RPTTF) (F+G) $ 582,350 $ 389,431 $ 971,781 F RPTTF 569,452 375,931 945,383
G Administrative RPTTF 12,898 13,500 26,398
H Current Period Enforceable Obligations (A+E) $ 606,952 $ 413,431 $ 1,020,383 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
California City
Recognized Obligation Payment Schedule (ROPS 23-24) - ROPS Detail July 1, 2023 through June 30, 2024
A B C D E F G H I J K L M N O P Q R S T U V W
Item
# Project Name Obligation Type
Agreement
Execution
Date
Agreement
Termination
Date
Payee Description Project
Area
Total
Outstanding
Obligation
Retired
ROPS
23-24
Total
ROPS 23-24A (Jul - Dec)
23-24A
Total
ROPS 23-24B (Jan - Jun)
23-24B
Total
Fund Sources Fund Sources
Bond
Proceeds
Reserve
Balance
Other
Funds RPTTF Admin RPTTF
Bond
Proceeds
Reserve
Balance
Other
Funds
RPTTF
Admin
RPTTF
$7,886,145 $1,020,383 $- $- $24,602 $569,452 $12,898 $606,952 $- $- $24,000 $375,931 $13,500 $413,431 6 Federal Court
Stipulated
Judgment
Litigation 09/27/
1993
07/26/2038 California
City SDI
Fund
Loan for
commercial/
housing
project.
Land (2)
One - N $- - - - - - $- - - - - - $-
10 Employees/
Operating
Admin
Costs
02/01/
2012
07/26/2038 Staff/
Operations
Annual
Admin/
Operations
Successor
Agency
One 75,000 N $75,000 - - 24,602 - 12,898 $37,500 - - 24,000 - 13,500 $37,500 18 Legal
Services
Legal 02/19/
2013
07/28/2038 Jones &
Mayer
Legal
Counsel
Services
One - Y $- - - - - - $- - - - - - $-
19 2014 Tax
Allocation
Refunding
Bonds
Bonds
Issued
After 12/
31/10
08/24/
2014
09/01/2034 U S Bank Bond
Refinance
One 7,610,375 N $744,613 - - - 370,432 - $370,432 - - - 374,181 - $374,181 21 Loan from
Low/Mod
Housing Fund
SERAF/
ERAF
02/01/
2010
06/30/2015 California
City
Housing
Loan to
fund
SERAF
Payment
197,000 N $197,000 - - - 197,000 - $197,000 - - - - - $- 26 Debt Service
Administration
Bonds
Issued
After 12/
31/10
08/24/
2014
09/01/2034 U.S. Bank Debt
Service
Wire Fees
for 2014
TARB
3,500 N $3,500 - - - 1,750 - $1,750 - - - 1,750 - $1,750 27 Unexpected
Prior RPTTF
Shortfall
RPTTF
Shortfall
07/01/
2022
06/30/2023 Successor
Agency
RPTTF
Shortfall
270 N $270 - - - 270 - $270 - - - - - $-
California City
Recognized Obligation Payment Schedule (ROPS 23-24) - Report of Cash Balances July 1, 2020 through June 30, 2021
(Report Amounts in Whole Dollars)
Pursuant to Health and Safety Code section 34177 (l), 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.
A B C D E F G H
ROPS 20-21 Cash Balances
(07/01/20 - 06/30/21)
Fund Sources
Comments
Bond Proceeds Reserve Balance Other Funds RPTTF
Bonds issued
on or before
12/31/10
Bonds issued
on or after
01/01/11
Prior ROPS
RPTTF and
Reserve
Balances retained
for future
period(s)
Rent, grants,
interest, etc.
Non-Admin
and Admin
1 Beginning Available Cash Balance (Actual 07/01/20)
RPTTF amount should exclude "A" period distribution
amount.
23 795,378 61,637 E1 - Undistributed Admin Costs ($511,767 for 17-18, 18-19, and 19-20) + $197,000 (Line 21
ROPS) + $5,968 (18-19 & 19-20 PPAs) +
$22,161 (Line 22 19-20 ROPS) + $102,839
(Line 22 19-20 ROPS) - $44,087 (RPTTF
Shortfall 22-23 ROPS) - $270 (Miscellaneous
Transposed Error in 19-20 PPA)
2 Revenue/Income (Actual 06/30/21)
RPTTF amount should tie to the ROPS 20-21 total
distribution from the County Auditor-Controller
52,603 906,600
3 Expenditures for ROPS 20-21 Enforceable Obligations
(Actual 06/30/21)
22 708,767 42,087 941,214 E3 - Undistributed Admin Costs ($511,767 for 17-18, 18-19 and, 19-20), + $197,000 (Line
21 ROPS) F3 - Admin Costs
4 Retention of Available Cash Balance (Actual 06/30/21) RPTTF amount retained should only include the amounts
distributed as reserve for future period(s)
1 130,968 5,914 27,000 E4 - $22,161 (Line 22 19-20 ROPS) + $102,839 (Line 22 19-20 ROPS, Both Paid in
21-22) F4 - Admin Costs (Check written in
22-23) G5 - Admin Costs (Check Written in
22-23)
Pursuant to Health and Safety Code section 34177 (l), 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.
A B C D E F G H
ROPS 20-21 Cash Balances
(07/01/20 - 06/30/21)
Fund Sources
Comments
Bond Proceeds Reserve Balance Other Funds RPTTF
Bonds issued
on or before
12/31/10
Bonds issued
on or after
01/01/11
Prior ROPS
RPTTF and
Reserve
Balances retained
for future
period(s)
Rent, grants,
interest, etc.
Non-Admin
and Admin
5 ROPS 20-21 RPTTF Prior Period Adjustment
RPTTF amount should tie to the Agency's ROPS 20-21 PPA
form submitted to the CAC
No entry required 23
6 Ending Actual Available Cash Balance (06/30/21)
C to F = (1 + 2 - 3 - 4), G = (1 + 2 - 3 - 4 - 5)
$- $- $(44,357) $4,602 $- E6 - $44,087 Shortfall Requested in 22-23 + $270 Shortfall requested in 23-24
California City
Recognized Obligation Payment Schedule (ROPS 23-24) - Notes July 1, 2023 through June 30, 2024
Item # Notes/Comments
6 10
18 19
21 26
27 Per our records, the 19-20 PPA was $2,690, but was $2,960 per the DOF, resulting in a cash shortfall of $270.