HomeMy WebLinkAboutAGENDA REPORT 2020 0205 REG CCSA ITEM 09ACITY OF MOORPARK, CALIFORNIA
City Council Meeting
of February 5, 2020
ACTION Direction was Provided to Staff
Regarding the Projects to be Considered
for the Use of Remaining 2006 Tax
Allocation Bond Proceeds, and to Return to
Council for Further Consideration and
Approval. BY B.Garza.
A. Consider Use of Remaining Proceeds in the Amount of $2,023,324 from Tax
Allocation Bonds Issued in 2006 and Authorize Staff to Allocate Funding to
Projects that Benefit the Former Redevelopment Agency Project Area. Staff
Recommendation: Approve recommended uses of remaining proceeds from 2006
Tax Allocation bonds or discuss and provide direction to staff on the use of
remaining tax allocation bond funds. (Troy Brown)
Item: 9.A.
Item:
9.A.
MOORPARK CITY COUNCIL
AGENDA REPORT
TO: Honorable City Council
FROM: Troy Brown, City Manager
DATE : 02/05/2020 Regular Meeting
SUBJECT: Consider Use of Remaining Proceeds in the Amount of $2,023,324 from
Tax Allocation Bonds Issued in 2006 and Authorize Staff to Allocate
Funding to Projects that Benefit the Former Redevelopment Agency
Project Area
BACKGROUND
On March 28, 2017, the Successor Agency to the Redevelopment Agency of the City of
Moorpark (the “Successor Agency”) entered into a Bond Proceeds Funding Agreement
with the City of Moorpark (“City”) for the purpose of transferring and using the remaining
proceeds of 2006 Tax Allocation Bond (“Bond”), as was sold, on the projects of benefit to
the Project Area that are consistent with the bond covenants.
Subject to the provisions and execution of this Agreement and through the filing of fiscal
year (FY) 2017/18 Recognized Obligation Payment Schedule (“ROPS”), the Successor
Agency requested $4,500,000 of the proceeds be transmitted to the City, and although this
petition along with ROPS was ratified at the Oversight Board, Department of Finance
(“DOF”), however, partially approved $1,938,073 as the available unencumbered balance
for the transfer.
Since then, this amount has been accruing interest and the available balance now is
$2,023,324. The City intends to use these remaining proceeds in a manner consistent with
the covenants in the Indenture, and allocate it in the Project Area as previously identified in
the said Agreement.
DISCUSSION
Pursuant to Section 34191.4 of the Health and Safety Code, after the former Successor
Agency’s receipt of a Finding of Completion issued by DOF, any unspent proceeds of the
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Bond shall be used for the purposes for which the Bond was sold, in a manner consistent
with the bond covenants.
The 2006 bond issuance provided flexibility in the use of bond proceeds but required that
the funds be expended in the former project area. The Official Statement outlines
allowable uses of bond proceeds and states: “While the Agency does have flexibility
related to the expenditure of its bond proceeds, it is expected that the 2006 Bond proceeds
will be expended on public improvements in the Project Area. The Agency currently
anticipates using proceeds of the 2006 Bonds primarily for the construction of a planned
Human Services Center on land owned by the City in the Project Area, which upon
completion is expected to be leased to public entities and/or to charitable organizations
qualified as exempt from income tax under Section 501(c)(3) of the Internal Revenue Code
(the "Code").”
The Official Statement goes further to state: “Notwithstanding the anticipated Section
501(c)(3) related uses of proceeds of the 2006 Bonds, the Agency may elect to use
proceeds of the 2006 Bonds for other projects unrelated to such charitable
organization uses, including, but not limited to: parks, streets, alleys, landscaping,
street lights, drainage, undergrounding of utility lines, public parking lots, a library
facility, land acquisition, relocation assistance, or clean up of sites adversely
impacted by hazardous materials.” (emphasis added).
Proceeds of the 2006 bond were primarily used to construct the Ruben Castro Services
Center. The project was completed in 2013 at a total cost of $12.6 million. Additionally, in
2015, $729,129 of the proceeds was also used to partially fund the installation of a
neighborhood park, known as Walnut Acres Park, at 161 Second Street. Upon completion
and approval of FY 2017/18 ROPS, $1.9 million of the remaining proceeds was transferred
from Successor Agency to the City. This amount is now available for use in the former
agency’s project area.
On January 18, 2017, the Successor Agency to the Redevelopment Agency approved a
Funding Agreement to provide for the transfer of remaining bond proceeds for projects.
The Funding Agreement for the bonds identified broad uses for proceeds and provides the
following Description of Projects which are eligible uses per the bond covenants and
Official Statement:
1. High Street Streetscape Project
2. Los Angeles Widening Project
3. Princeton Avenue Widening Project
4. Any other programs, projects and activities of benefit to the Project Area, so long as
the program or project is determined by the City to be consistent with the bond
covenants under the indenture. See the attached January 18, 2017, staff report
identifying these uses.
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The remaining bond proceeds were neither allocated nor designated for the above uses as
other funding sources became available, or delays resulted in programs and projects not
moving forward. Therefore, bond proceeds remain available to fund projects that benefit
the former RDA project area. Below is a funding summary of the previously identified
Description of Projects listed as items 1 – 3:
1. High Street Streetscape Project
In 2009 the City completed a plan to improve High Street by installing a number of features
that enhance pedestrian mobility and vehicular traffic, and create a sense of place by
integrating functional and artistic features on the street. Some of the improvements
contemplated are: improved trash receptacles, bus stop cut outs, stamped concrete
pedestrian crosswalks, tree grates, kiosks, benches and additional sidewalk improvements.
Historical budget documents and preliminary design work surveyed the costs in the amount
of $3.5 million to complete all projects identified in the High Street Streetscape Plan.
Adjusting that figure for inflation by a factor of 1.6% over 10 years estimates the costs of
construction and improvements to be approximately $4.2 million.
2. Los Angeles Avenue Widening
Widening of Los Angeles Avenue (State Route 118) from Spring Road to Moorpark Avenue
includes street widening and addition of travel lanes, an emergency lane, and curb/gutter
and sidewalk along the south side of Los Angeles Avenue from a point east of Spring Road
west to Moorpark Avenue. The project will also include construction of a storm drain along
the south side of Los Angeles Avenue and installation of a traffic signal at Millard Street. It
should be noted that the project is not anticipated to begin construction until all right-of-way
has been obtained. Currently, the City does not possess all required right-of-way to
construct the project.
The total cost to construct the project is estimated at $4.3 million and the project is
currently underfunded. The below table shows the funding sources available to construct
this project.
Los Angeles Avenue Widening – Spring Road to Moorpark Avenue – Project C0021
Funding Sources:
Los Angeles Area of Contribution $1,019,688.00
TEA 21 Federal Grants $796,770.00
Total Appropriated – FY 2019/20 $1,816,458.00
The City previously spent $2,472,776 on land purchase and $842,073 on professional
service designs related to the right-of-way acquired. Until the project is completely
designed and full right-of-way is obtained, the actual costs for the improvements are only
an estimate. Bond proceeds are not recommended to be allocated to this project at this
time due to the additional right-of-way needing to be purchased. The project is not shovel-
ready.
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3. Princeton Avenue Widening Project
The Princeton Avenue Widening project is fully funded using the following sources:
Princeton Avenue Widening – Project C0020
Funding Sources:
Los Angeles Area of Contribution $5,699,191.00
Federal & State Grants $1,287,244.00
Total Appropriated – FY 2019/20 $6,986,435.00
However, construction costs have likely risen since the original project engineer’s estimate,
and the project has not been formally bid. Staff recommends allocating $520,000 of bond
proceeds to the Princeton Avenue Widening Project to account for increases in
construction costs. This amount represents 7% of the total project estimate.
Allocation of Remaining Proceeds
The funding agreement gives broad discretion to the City in the use of remaining bond
proceeds. The funds must be used on projects that benefit the former redevelopment
area, and consistent with uses identified in the Funding Agreement between the City and
the Successor Agency, which allow allocations toward “any other programs, projects and
activities of benefit to the Project Area, so long as the program or project is determined by
the City to be consistent with the bond covenants under the indenture.”
To identify programs and projects where funding could be allocated staff analyzed first,
programs and projects within the boundaries of the former redevelopment area, second,
previously identified priority projects per the City Councils’ Strategies, Goals and Objectives
and third, projects listed in the City’s Capital Improvement Program. A number of projects
have already been identified as the City typically identifies more projects than funding is
available for. The following projects are suitable for forward-funding and are eligible uses
for the remaining bond proceeds:
High Street Streetscape Project – $1,000,000
Funding has not been identified for any High Street improvements. Staff recommends
allocating $1 million in bond proceeds to implement a number of improvements on High
Street. The improvements could include: additional sidewalk improvements, stamped
concrete crosswalks, benches, improved signage and wayfinding for parking and improved
trash receptacles on High Street. The implementation of the High Street Streetscape Plan
serves as a vital tool in economic development to incentivize additional investment from the
private sector, in addition to making significant progress on Downtown Specific Plan.
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Millard Drain – $573,000
This project is identified in the Capital Improvement Program and has an approximate cost
of $510,000. The project consists of construction of a storm drain to serve the residential
area north of the intersection of Los Angeles Avenue and Shasta Avenue, as identified in
the City’s Master Plan of Drainage. No funding source has been identified for this project.
The 1995 cost estimate for this project was $188,000. However the full scope and cost of
this has never been determined. This funding would be used for design of the drainage,
and assist with funding construction. Overall project costs will be funded in future fiscal
years dependent on final costs obtained through design and available funds for
construction.
Modify and Upgrade Wall Treatment (Los Angeles Avenue) – $200,000
This project is identified in the City Council Strategies, Goals and Objectives as part of
Strategy V – Enhance Quality of Life for Moorpark Residents, Goal 5 – Enhance municipal
service delivery through property maintenance and improvement of City facilities and
programs.
The project entails modifications and upgrading of wall treatment and enhancing
landscaping on the north side of Los Angeles Avenue (SR 118) between Millard Avenue
and Spring Road. This project is not contemplated in the current two-year planning cycle
and funding for the project has not been identified.
ADA Improvements – $100,000
The City recently completed an ADA Transition Plan that identifies a number of
accessibility projects that need to be completed. The plan estimates a total cost of
$23,711,114 to complete all projects citywide. To address projects in the Transition Plan,
the City budgets $25,000 per year toward improvements already identified in the Plan.
Funds allocated toward ADA improvements in the former redevelopment area would
facilitate capital improvements to: bus stops, facilities and parks, streets and curbs, and
signalized intersections. The City’s ADA Transition Plan contains a number of projects in
each of the aforementioned categories and the use of funds will be allocated to specific
projects during the fiscal year 2020/21 budget process.
Spring Road/Charles Street Bus Turnout – $150,000
This project is identified in the Capital Improvement Program and has an approximate cost
of $150,000. The project consists of construction of a bus turn out on Charles Street at
Spring Road. Funding in the project is anticipated to occur in FY 2021/22 and use Traffic
Systems Management (TSM) fund. Staff recommends this project to be forward funded
using bond proceeds allowing TSM funds to be allocated to other future projects.
FISCAL IMPACT
There is no fiscal impact in FY 2019/20 budget. Appropriations to the proposed project will
be included in the FY 2020/21 budget development.
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COUNCIL GOAL COMPLIANCE
This action is consistent with City Council Strategy 3, Goal 2, Objective 3 (3.2.1):
“Develop Spending Plan for use of former Moorpark Redevelopment Agency 2006 Tax
Allocation Bonds for Presentation to City Council by December 31, 2019.”
STAFF RECOMMENDATION
Approve recommended uses of remaining proceeds from 2006 Tax Allocation bonds or
discuss and provide direction to staff on the use of remaining tax allocation bond funds.
Attachment: January 18, 2017, Staff Report considering Resolution Approving the City's
Execution and Delivery of a Bond Proceeds Funding Agreement to Provide
for the Transfer of Remaining Bond Proceeds for Projects
6
ATTACHMENT
TO:
From:
Date:
Subject:
MOORPARK CITY COUNCIL
AGENDA REPORT
Honorable City Council
Ron Ahlers, Finance Director~
ITEM 10.K.
January 11, 2017 (City Council Meeting of January 18, 2017)
Consider Resolution Approving the City's Execution and Delivery of
a Bond Proceeds Funding Agreement to Provide for the Transfer of
Remaining Bond Proceeds for Projects
BACKGROUND
Before dissolution, the former Redevelopment Agency of the City of Moorpark (the
"Former Agency") issued the following (collectively, the "Bonds"): (i) its Moorpark
Redevelopment Project, 1999 Tax Allocation Refunding Bonds, in the principal amount
of $9,860,000, (ii) its Moorpark Redevelopment Project, 2001 Tax Allocation Bonds, in
the principal amount of $11,625,000, and (iii) its Moorpark Redevelopment Project,
2006 Tax Allocation Bonds, in the principal amount of $11,695,000. The Bonds were
issued and sold to finance and refinance projects of benefit to the Former Agency's
Moorpark Redevelopment Project. There remain in the Successor Agency's accounts
unspent proceeds of the Bonds.
DISCUSSION
Pursuant to Section 34191.4 of the Health and Safety Code, after the Successor
Agency's receipt of a finding of completion (the "Finding of Completion") issued by the
California State Department of Finance (the "DOF"), the unspent proceeds of the Bonds
shall be used for the purposes for which the Bonds were sold, in a manner consistent
with the bond covenants.
The Successor Agency desires to use the remaining proceeds of the Bonds for the
purpose of which the Bonds were sold, namely projects of benefit to the Project Area
that are consistent with the bond covenants. Because of the limited staffing of the
Successor Agency and the City's traditional role and established procedures for the
awarding of public works contracts, it is desirable for the Successor Agency to transfer
the remaining unspent bond proceeds to the City, for the City to implement and perform
the work required for the projects. Each transfer of bond proceeds to the City must be
listed on a Recognized Obligation Payment ("ROPS"). Under current law, the
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Page 2
Successor Agency prepares a ROPS once a year. Each ROPS must be submitted to
the Oversight Board and the DOF for approval. While the Successor Agency may
choose to transfer the bond proceeds over time based on actual contract needs for
each ROPS period, it is preferable for all of the remaining unspent bond proceeds to be
transferred to the City at once, to facilitate the effective and efficient implementation of
the projects.
Pursuant to the Bond Proceeds Funding Agreement, the Successor Agency will list the
transfer of all of the remaining bond proceeds on the next available ROPS (which
covers the 2017-18 fiscal year), and will transfer the bond proceeds to the City per the
DOF-approved ROPS.
Exhibit A of the Bond Proceeds Funding Agreement contains a list of the anticipated
projects, but also specifies that the actual projects to be funded may be different from
those currently listed, as determined by the City.
FISCAL IMPACT
Assuming the Oversight Board's and the DOF's approval of the Bond Proceeds Funding
Agreement and the relevant line item on the next ROPS, the Successor Agency will
transfer all of the remaining unspent bond proceeds to the City at the commencement of
fiscal year 2017-18. Thereafter, the City will use the bond proceeds for projects in a
manner consistent with the bond covenants and the Bond Proceeds Funding
Agreement, without additional review by the Oversight Board and the DOF.
STAFF RECOMMENDATION (Roll call vote)
Adopt Resolution No. 2017-approving the City's execution and delivery of the
Bond Proceeds Funding Agreement and taking related actions.
Attachment:
Resolution No. 2017----
Attachment A -Bond Proceeds Funding Agreement (substantial final form)
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RESOLUTION NO. --
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MOORPARK
APPROVING THE EXECUTION AND DELIVERY OF A BOND
PROCEEDS FUNDING AGREEMENT AND TAKING RELATED
ACTIONS
WHEREAS, before dissolution, the former Redevelopment Agency of the City of
Moorpark (the "Former Agency") issued the following bonds (collectively, the "Bonds"):
(i) its Moorpark Redevelopment Project, 1999 Tax Allocation Refunding Bonds, in the
principal amount of $9,860,000, (ii) its Moorpark Redevelopment Project, 2001 Tax
Allocation Bonds, in the principal amount of $11,625,000, and (iii) its Moorpark
Redevelopment Project, 2006 Tax Allocation Bonds, in the principal amount of
$11,695,000; and ,
WHEREAS, the Bonds were issued pursuant to and are governed by an
Indenture of Trust, dated as of May 1, 1999 (the "Master Indenture"), as supplemented
anq amended by a First Supplemental Indenture of Trust, dated as of December 1,
2001 (the "First Supplemental Indenture"), and a Second Supplemental Indenture of
Trust, dated as of December 1, 2006 (the "Second Supplemental Indenture"), by and
between the Former Agency and The Bank of New York Trust Company, N.A., as
trustee (the "Trustee"); and
WHEREAS, the Bonds were issued and sold to finance and refinance projects of
benefit to a project area known as the Moorpark Redevelopment Project (the "Project
Area"); and
WHEREAS, pursuant to AB X1 26 (enacted in June 2011), as modified by the
California Supreme, Court's decision in California Redevelopment Association, et al. v.
Ana Matosantos, et al., 53 Cal. 4th 231 (2011), the Former Agency was dissolved as of
February 1, 2012, the Successor Agency was constituted as the successor entity to the
Former Agency, and an oversight board of the Successor Agency (the "Oversight
Board") was established; and
WHEREAS, pursuant to Section 34175(b) of the California Health and Safety
Code ("HSC"), all assets, properties, contracts, books and records of the Former
Agency, including the unspent proceeds of the Bonds, transferred to the control of the
Successor Agency by operation of law; and
WHEREAS, pursuant to HSC Section 34191.4, after the receipt by the Successor
Agency of a finding of completion (the "Finding of Completion") issued by the California·
State Department of Finance (the "DOF") under HSC Section 34179.7, the unspent
proceeds of the Bonds shall be used for the purposes for which the Bonds were sold, in
a manner consistent with the bond covenants; and
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Resolution No. ---
Page2
WHEREAS, by DOF's letter, dated May 25, 2013, the DOF informed the
Successor Agency that the DOF has issued a Finding of Completion to the Successor
Agency; and
WHEREAS, the Successor Agency has determined use the remaining unspent
proceeds of the Bonds (the "Remaining Bond Proceeds") for the purpose of which the
Bonds were sold, namely projects of benefit to the Project Area that are consistent with
the bond covenants (the "Projects"); and
WHEREAS, because of the limited staffing of the Successor Agency and the
City's traditional role and established procedures with respect to the awarding of public
works contracts, the Successor Agency and the City desire to enter into a Bond
Proceeds Funding Agreement, substantially in the form attached as Attachment A (the
"Funding Agreement"); and
WHEREAS, the Funding Agreement will provide for the transfer of the Remaining
Proceeds to the City for the City to perform or cause to be performed the work required
for the Projects;
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF MOORPARK
DOES HEREBY RESOLVE AS FOLLOWS:
Section 1. The above recitals are true and correct and are a substantive part
of this Resolution.
Section 2. The Funding Agreement, in the form attached hereto as
Attachment A, is hereby approved. The Mayor (or in the Mayor's absence, the Mayor
Pro Tern), is hereby authorized to execute and deliver, for and in the name of the City,
the Funding Agreement in substantially such form, with changes therein as the Mayor
(or the Mayor Pro Tern) may approve (with such approval to be conclusively evidenced
by the execution and delivery thereof).
Section 3. The officers and staff of the City are hereby authorized and
directed, jointly and severally, to execute such documents and do any and all things
which they may deem necessary or advisable to effectuate this Resolution and the
Funding Agreement and any such actions previously taken by such officers and staff
are hereby ratified and confirmed.
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Resolution No. ---
Page3
PASSED AND ADOPTED this 18th day of January, 2017.
Janice Parvin, Mayor
ATTEST:
Maureen Benson, City Clerk
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ATTACHMENT A
BOND PROCEEDS FUNDING AGREEMENT
(in substantial final form)
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BOND PROCEEDS FUNDING AGREEMENT
This BOND PROCEEDS FUNDING AGREEMENT (this "Agreement"), dated as of
_____ , 2017, is entered into by and between the Successor Agency to the Redevelopment
Agency of the City of Moorpark (the "Successor Agency") and the City of Moorpark (the "City,"
and together with the City, the "Parties").
RECITALS:
A. Before dissolution, the former Redevelopment Agency of the City of Moorpark
(the "Former Agency") issued the following bonds (collectively, the "Bonds"): (i) its Moorpark
Redevelopment Project, 1999 Tax Allocation Refunding Bonds, in the principal amount of
$9,860,000, (ii) its Moorpark Redevelopment Project, 2001 Tax Allocation Bonds, in the
principal amount of $11,625,000, and (iii) its Moorpark Redevelopment Project, 2006 Tax
Allocation Bonds, in the principal amount of $11,695,000.
B. The Bonds were issued pursuant to and are governed by an Indenture of Trust,
dated as of May 1, 1999 (the "Master Indenture"), as supplemented and amended by a First
Supplemental Indenture of Trust, dated as of December 1, 2001 (the "First Supplemental
Indenture"), and a Second Supplemental Indenture of Trust, dated as of December 1, 2006 (the
"Second Supplemental Indenture"), by and between the Former Agency and The Bank of New
York Trust Company, N.A., as trustee (the "Trustee").
C. The Bonds were issued and sold to finance and refinance projects of benefit to a
project area known as the Moorpark Redevelopment Project (the "Project Area").
D. Pursuant to AB XI 26 (enacted in June 2011), as modified by the California
Supreme Court's decision in California Redevelopment Association, et al. v. Ana Matosantos, et
al., 53 Cal. 4th 231 (2011), the Former Agency was dissolved as of February 1, 2012, the
Successor Agency was constituted as the successor entity to the Former Agency, and an
oversight board of the Successor Agency (the "Oversight Board") was established.
E. Pursuant to Section 34175(b) of the California Health and Safety Code ("HSC"),
all assets, properties, contracts, books and records of the Former Agency, including the unspent
proceeds of the Bonds, transferred to the control of the Successor Agency by operation oflaw.
F. Pursuant to HSC Section 34191.4, after the receipt by the Successor Agency of a
finding of completion (the "Finding of Completion") issued by the California State Department
of Finance (the "DOF") under HSC Section 34179.7, the unspent proceeds of the Bonds shall be
used for the purposes for which the Bonds were sold, in a manner consistent with the bond
covenants.
G. By DOF's letter, dated May 25, 2013, the DOF informed the Successor Agency
that the DOF has issued a Finding of Completion to the Successor Agency.
H. The Successor Agency desires to use the remaining unspent proceeds of the
Bonds (the "Remaining Bond Proceeds") for the purpose of which the Bonds were sold, namely
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projects of benefit to the Project Area that are consistent with the bond covenants, including
those listed in Exhibit A (collectively, the "Projects").
I. Because of the limited staffing of the Successor Agency and the City's traditional
role and established procedures with respect to the awarding of public works contracts, the
Successor Agency and the City desire to enter into this Agreement, for the City to perform or
cause to be performed the work required for the Projects, with payment therefor to be made from
the Remaining Bond Proceeds.
J. This Agreement provides for the transfer of Remaining Bond Proceeds to the City
for the City to perform or cause to be performed the work required for the Projects.
K. Pursuant .to HSC Section 34177(0), the Successor Agency must prepare a
Recognized Obligation Payment Schedule ("ROPS") each year, listing its expected expenditure
and disbursement of moneys during each six month period covered by such ROPS. Each ROPS
must be submitted to the Oversight Board of the Successor Agency and the DOF for approval.
L. Pursuant to HSC Section 34191.4(c)(2), the expenditure of the Remaining Bond
Proceeds for an obligation must be listed on a ROPS.
M. This Agreement is in furtherance of the winding down of the Former Agency's
affairs, with respect to the expenditure of unspent bond proceeds as permitted under HSC
Section 34191.4.
N. Resolution No. adopted by the Oversight Board on , 2017
approving the Successor Agency's execution and delivery of this Agreement was approved
[deemed approved] by the DOF pursuant to HSC Section 34179(h) on 2017.
0. In 2014 and 2016, the Successor Agency issued bonds (the "Successor Agency
Bonds") pursuant to HSC Section 34177.5 to refund a portion of the Bonds.
P. The Successor Agency Bonds were issued pursuant to, and are governed by, the
Master Indenture, as previously supplemented and amended, and as further supplemented and
amended by a Third Supplemental Indenture, dated as of November 1, 2014, and a Fourth
Supplemental Indenture, dated as of July 1, 2016, each by and between the Successor Agency
and the Trustee. The Master Indenture, supplemented and amended by its four supplements, is
referred to herein as the Indenture.
Q. Because the proceeds of the Successor Agency Bonds were used to refund the
Bonds, covenants set forth in the Indenture (particularly pertaining to the requirements under the
Code (as defined in the Indenture) relating to the tax-exempt status of the Successor Agency
Bonds and the remaining outstanding Bonds) continue to apply to the Remaining Bond Proceeds.
NOW, THEREFORE, THE PARTIES DO HEREBY AGREE AS FOLLOWS:
Section 1. Subject to the provisions of this Agreement and with the funding provided
pursuant to this Agreement, the City agrees to perform or cause to be performed the work
required for the Projects, including but not limited to the preparation of designs, plans -and
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specifications and all demolitions, construction and installations. The City shall perform such
work in accordance with all applicable federal, state and local laws, rules and regulations.
Subject to the covenants set forth herein, the City shall have the sole discretion with respect to
the design, planning, specification and the timing with respect to all components of the Projects.
Section 2. (a) When preparing the next ROPS after the execution and delivery of
this Agreement (being "ROPS 17-18" for the period from July 1, 2017 through June 30, 2018
(the "ROPS 17-18 Period")), the Successor Agency shall list the transfer of the Remaining Bond
Proceeds to the City.
(b) As soon as practicable after the commencement of the ROPS 16-17
Period, the Successor Agency shall transfer the Remaining Bond Proceeds, as approved on
ROPS 17-18, to the City.
Section 3. The City shall use the Remaining Bond Proceeds transferred to it pursuant
to this Agreement for costs of the Projects (or reimbursement to the City for any funds advanced
for costs of the Projects) in a manner consistent with the covenants in the Indenture.
Section 4. To the extent the City still holds unspent Remaining Bond Proceeds
transferred pursuant to this Agreement after the completion of the Projects (as determined by the
legislative body of the City), the City shall return such unspent Remaining Bond Proceeds to the
Successor Agency within a reasonable time after such determination.
Section 5. The City covenants that it shall use the Remaining Bond Proceeds in a
maJll1:er consistent with the covenants in the Indenture, including, but not limited to, any
covenants regarding the tax-exempt status of interest on the Bonds and the Successor Agency
Bonds under the Internal Revenue Code of 1986, as amended, and any regulations promulgated
thereunder.
Section 6. Each Party shall maintain books and records regarding its duties pursuant
to this Agreement. Such books and records shall be available for inspection by the officers and
agents of the other Party at all reasonable times.
Section 7. The Parties agree to take all appropriate steps and execute any documents
which may reasonably be necessary or convenient to implement the intent of this Agreement.
Section 8. This Agreement may be amended from time to time by written instrument
executed by both Parties.
Section 9. No official, agent, or employee of the Successor Agency or the City, or
members of the City Council, or members of the Successor Agency Board of Directors or
Oversight Board shall be individually or personally liable for any payment hereunder in the event
of any default or breach by the Successor Agency or the City, or for any amount which may
otherwise become due to the City or Successor Agency, or successor thereto, or on any
obligations under the terms of this Agreement.
Section 10. This Agreement is made in the State of California under the Constitution
and laws of the State of California, ancf is to be so construed.
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IN WITNESS WHEREOF, the Parties have caused this Agreement to be executed by
their duly authorized officers.
ATTEST:
Maureen Benson, Secretary
ATTEST:
Maureen Benson, City Clerk
SUCCESSOR AGENCY TO THE
REDEVELOPMENT AGENCY OF THE CITY
OF MOORPARK
By--------------
Steven Kueny, Executive Director
CITY OF MOORPARK
By--------------
Janice Parvin, Mayor
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EXHIBIT A
Description of Projects
1. High Street Streetscape Project
2. Los Angeles Avenue Widening Project
3. Princeton A venue Widening Project
4. any other programs, projects and activities of benefit to the Project Area, so long as the
program or project is determined by the City to be consistent with the bond covenants under the
Indenture.
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