Successor Agency to the Redevelopment Agency of the City of Riverside TO: HONORABLE MAYOR AND CITY COUNCIL DATE: DECEMBER 20, 2022 FROM: COMMUNITY & ECONOMIC DEVELOPMENT WARDS: ALL
DEPARTMENT
SUBJECT: RECOGNIZED OBLIGATION PAYMENT SCHEDULE FOR JULY 1, 2023, THROUGH JUNE 30, 2024 ISSUE:
Recommend that the Countywide Oversight Board adopt a resolution approving the Recognized Obligation Payment Schedule (ROPS) for the expenditures of July 1, 2023, through June 30, 2024 (ROPS 23-24).
RECOMMENDATION:
That the Successor Agency:
Adopt the attached resolution (Attachment 1) approving the ROPS 23-24 (Attachment 2); and Recommend that the Countywide Oversight Board adopt a separate resolution approving the same ROPS 23-24 for the Department of Finance’s final consideration and approval.
BACKGROUND:
In 2016, Health and Safety Code Section 34177 requires the Successor Agency to the Redevelopment Agency of the City of Riverside (Successor Agency) to prepare an annual ROPS for each fiscal year. It stipulates that each ROPS must include the amount and funding source for all of the Successor Agency’s enforceable obligations. The first annual ROPS was due to the Department of Finance (DOF) on February 1, 2016.
The draft ROPS presented today includes all enforceable obligations required for the ROPS 23-24 year pursuant to Health and Safety Code Section 34186(a). The variance between the estimated enforceable obligations and actual payments will be offset by the Redevelopment Property Tax Trust Fund (RPTTF) next distribution for the period of July 1, 2024, through June 30, 2025.
DISCUSSION:
In 2018, Senate Bill 107 (SB 107) necessitated the appointment of the Countywide Oversight Board.
It is required that the Countywide Oversight Board approval and submittal of the ROPS 23-24 to the DOF be completed by February 1, 2023. Furthermore, the draft ROPS must be submitted to the County Administrative Officer, the County Auditor-Controller, and the DOF for review at the same time that the Successor Agency submits it to the Countywide Oversight Board for approval.
Funding for the ROPS 23-24 enforceable obligations will come first from the RPTTF, which is administered by the County Auditor-Controller, and secondly from bond funds and cash on hand.
In accordance with SB 107, once the Countywide Oversight Board approves the ROPS 23-24, it will be submitted to the County Controller’s Office, the State Controller’s Office, and the DOF. Additionally, the approved ROPS will be posted on the Successor Agency website.
STRATEGIC PLAN ALIGNMENT:
The draft ROPS contributes to Strategic Priority 3 – Economic Opportunity and Goal 3.4: Collaborate with key partners to implement policies and programs that promote local business growth and ensure equitable opportunities for all.
Approval of the draft ROPS 23-24 also aligns with each of the following five Cross-Cutting Threads as follows:
Community Trust: Approving the draft ROPS in a public forum demonstrates that Riverside is committed to community trust. For transparency purposes, the draft ROPS will be certified by an external audit, which is overseen by the County Auditor-Controller’s Office. The approved ROPS will be submitted to the County Auditor-Controller, State Controller's Office and DOF for review and approval, and the approved ROPS will be posted on the Successor Agency website for easy access by the public.
Equity: Approving the draft ROPS demonstrates that Riverside is committed to equal access and equity for the benefit of Riverside residents. The draft ROPS comprises of real estate properties and economic development projects, which represent redevelopment opportunities throughout the City for the betterment of residents, visitors, and businesses.
Fiscal Responsibility: Approving the draft ROPS demonstrates that Riverside is committed to fiscal responsibility. To preserve the City's General Fund, staff have requested sufficient funding on the draft ROPS to pay for economic development projects, property maintenance, and related costs; therefore, the City’s General Fund will not be impacted by the ROPS.
Innovation: Approving the draft ROPS demonstrates that Riverside is committed to innovation. The draft ROPS funds innovative economic development projects, which will provide investment to the City and produce a positive impact to residents, visitors, and businesses.
Sustainability and Resiliency: Approving the draft ROPS demonstrates that Riverside is committed to sustainability and resiliency. The draft ROPS includes funding for economic development projects, which promotes sustainable communities while encouraging community engagement and resiliency for the overall health and well-being of all Riverside residents.
FISCAL IMPACT:
There is no fiscal impact associated with this report to the City since expenditures will come from the RPTTF, bond funds, and cash on hand.
Prepared by: Jennifer Lilley, Community & Economic Development Director Certified as to
availability of funds: Edward Enriquez, Interim Assistant City Manager/Chief Financial Officer/Treasurer
Approved by: Rafael Guzman, Assistant City Manager
Approved as to form: Phaedra A. Norton, City Attorney
Attachments:
Resolution
ROPS 2023-2024
Annual ROPS 2023-2024 • Page 2