Resolve
Redevelopment
Agency Asset
Transfer Review
Report Finding
February 8, 2022
Item 15.1
Overview
The City sees value in participating in the
Mossdale Tract Enhanced Infrastructure
Finance District (EIFD).
To participate in the EIFD, the State
requires that Redevelopment Agency
Asset Transfer Review Findings be
resolved.
The City has an unresolved finding from
the August 2013 report by the State
Controller’s Office (SCO).
The finding says the City needs to repay
$1.3 million to the Successor Agency.
Background
In February 2011, the Redevelopment
Agency approved the use of Low and
Moderate Income Housing Funds for the
repayment of two California Housing
Finance Authority loans.
The State dissolved Redevelopment
Agencies effective January 31, 2012.
The SCO deemed this use of Low and
Moderate Income Housing funds
ineligible in the August 2013 Asset
Transfer Review Report.
The City disagreed with the finding and
the SCO order included repayment of an
amount greater than the amount used.
Resolving the
Finding
The City cannot prove that the finding
has been resolved.
The SCO has agreed that repayment can
match the $1,261,913.52 used to repay
the loans.
$1,261,913.52 would be transferred from
the General Fund Contingency budget to
the Successor Agency.
These funds may be disbursed by the
County Auditor‐Controller to various
taxing entities or may be directed back
to the Low and Moderate Income
Housing Fund for use on affordable
housing projects.
Recommended Actions
City Action
Authorize the repayment of $1,261,913.52 from the
General Fund Contingency to the Successor Agency to
resolve Finding #1 in the Stockton Redevelopment
Agency Asset Transfer Review Report.
Successor Agency Action
Authorize the appropriate disbursement of
$1,261,913.52 in accordance with Health & Safety
Code sections 34176, 34177(d) and (e), and 34181 as
necessary to resolve Finding #1 in the Stockton
Redevelopment Agency Asset Transfer Review Report.