TO:
Successor Agency
to the Redevelopment Agency of the City of Placentia
CITY COUNCIL AS SUCCESSOR AGENCY
AGENDA REPORT
VIA: CITY ADMINISTRATOR/EXECUTIVE DIRECTOR
FROM: SUCCESSOR AGENCY STAFF
DATE: JUNE 20, 2023
SUBJECT: SUCCESSOR AGENCY STAFFING SUPPORT SERVICES FOR FY 2023-24 FOR
ASSISTANCE WITH SUBMITTING LAST AND FINAL ROPS
FISCAL
IMPACT: EXPENSE: $15,000
BUDGETED: $15,000 Successor Agency Professional Services (547525-6499)
SUMMARY:
Since October 2013, Kosmont Companies (Kosmont) has provided staffing support services to the City for Redevelopment Agency (RDA) dissolution pursuant to Assembly Bill 1484 (AB 1484).
Since that time, Kosmont has assisted the City in fulfilling several requirements associated with AB 1484, including clean-up and submittal of our Recognized Obligation Payment Schedule (ROPS), Successor Agency (SA) administration, Property Management Plan (PMP) completion, Housing Successor Agency (HSA) property disposition list and obtaining a Finding of Completion (FOC) from the State Department of Finance (DOF). The City is requesting staffing support services for determining the procedure or process to submit a Last and Final ROPS to the DOF.
Staff is recommending the City enter into a new agreement with Kosmont to provide SA support services to perform several additional tasks required under AB 1484, including submitting a Last and Final ROPS.
RECOMMENDATION:
It is recommended that the City Council, acting in its sole capacity as the Successor Agency to the former Redevelopment Agency of the City of Placentia, take the following actions:
1. Approve the Professional Services Agreement with Kosmont & Associates, Inc. dba Kosmont Companies for an amount not -to -exceed $15,000 for a term ending June 30, 2024; and
2. Authorize the City Administrator to approve a one (1) year contract term extension based on Consultant's performance and at the discretion of the City; and
3. Authorize the City Administrator and/or his designee to execute all necessary documents, in a form approved by the City Attorney.
1.1. June 20, 2023
City Council/Successor Agency Agenda
June 20, 2023
DISCUSSION:
Since October 2013, Kosmont has provided staffing support services to the SA for RDA dissolution pursuant to AB 1484. Since that time, Kosmont has assisted the City in fulfilling several requirements associated with AB 1484, including submittal of our annual ROPS, completion of the PMP, HSA property disposition list, obtaining an FOC from DOF, and reinstating a multi- million -dollar loan from the former RA to the City. In addition, Kosmont has assisted with the State Controller's Office and DOF regarding the SA's Asset Transfer Review and assisted with the distribution of low and moderate -income housing funds in accordance with ABx1 26, AB 1484, and SB 107.
While these accomplishments are noteworthy, additional requirements of AB 1484 remain, including assistance with reviewing prior ROPS schedules and Redevelopment Property Tax Trust Fund (RPTTF) distribution schedules in an effort to prepare recommendations on the inclusion of the Last and Final ROPS obligations, specifically as it relates to former City and SA administrative budget loans and receiving State funds for administrative costs.
At Staff's request, Kosmont has submitted a proposal to provide SA support services needed to fulfill the requirements of AB 1484 and submitting the Last and Final ROPS. Staff is recommending the City enter into a new agreement with Kosmont to provide SA support services to perform the following tasks:
• Task 1: Preparation and Distribution of Annual ROPS 2024-25 • Task 2: Assistance with Preparation of Prior Period Adjustments Form • Task 3: Preparation and Distribution of Last and Final ROPS • Task 4: Assistance with State Controller's Office and Department of Finance • Task 5: Attend Successor Agency and County Oversight Board Meetings as needed • Task 6: Discuss viability of submitting last and final ROPS to the DOF FISCAL IMPACT:
Funds for administrative support services have been budgeted in the SA's budget and are included on the ROPS as an enforceable obligation. The proposed agreement for administrative support services will not exceed $15,000. It is important to note that over the past few years, Kosmont's services has aided the City in securing several million dollars in enforceable obligations that DOF is now recognizing and paying to the City. These support services have ensured that the City continues to receive funds for its enforceable obligations and that the City's properties are adequately positioned for future economic development. For these reasons, Staff is recommending that the City continue to contract with Kosmont for SA administrative support to assist with preparing the Last and Final ROPS. No General Fund dollars will be used for this agreement.
City Council/Successor Agency Agenda
June 20, 2023
Prepared by:
Jeannette Ortega
Assistant to the City Administrator/
Economic Development Manager
Reviewed and approved:
Damien R. Arrula
City Administrator/Executive Director
Reviewed and approved:
Jennifer Lam pm an
Director of Finance
Attachments:
1. Professional Services Agreement with Kosmont Companies
2. Kosmont Companies Proposal for Successor Agency Services