HomeMy WebLinkAboutAG RPTS 1999 0217 RDA REGJ ESTAB.18HD
NARM it
' OF
MOORPARK REDEVELOPMENT AGENCY
REGULAR MEETING AGENDA
WEDNESDAY, FEBRUARY 17, 1999
7:00 P.M.
Resolution No. 99 -76
Moorpark Community Center 799 Moorpark Avenue
1. CALL TO ORDER:
2. ROLL CALL:
3. PUBLIC COMMENT:
4. PUBLIC EEARINGS:
5. PRESENTATION /ACTION /DISCUSSION:
A. Consider an Amendment to the Disposition and Development Agreement
with Cabrillo Economic Development Corporation Related to Attachment
No. 4, "Schedule of Performance ". Staff Recommendation: Approve
Amendment No. 1 to the Disposition and Development Agreement between
the Moorpark Redevelopment Agency and Cabrillo Economic Development
Corporation revising Attachment No. 4 "Schedule of Performance."
B. Consider a Loan Repayment Schedule for Loans from the City of
Moorpark to the Moorpark Redevelopment Agency; and Resolution No. 99-
Amending the Redevelopment Agency Operating Budget Related to
Repayment of Loans to the Agency Capital Fund from the City General
Fund; and Resolution No. 99- Amending the Redevelopment Agency
Operating Budget Related to Repayment of Loans to the Agency Housing
Set -Aside Fund from the City General Fund. Staff Recommendation: 1)
Approve the loan repayment schedule as recommended by the Council
Budget and Finance Committee; 2) Adopt Resolution No. 99- amending
the Moorpark Redevelopment Agency's FY 1998/99 budget by
appropriating $1.5 million from the Agency's Capital Projects Fund
for loan principal repayment; and 3) Adopt Resolution No. 99-
amending the Moorpark Redevelopment Agency's FY 1998/99 budget by
appropriating $46,202 from the Agency's Housing Set -Aside Fund for
loan principal repayment (ROLL CALL VOTE REQUIRED).
C. Consider Action for Removal of Billboard. Staff Recommendation:
Direct staff as deemed appropriate.
Redevelopment Agency Agenda
February 17, 1999
Page 2
5. PRESENTATION /ACTION /DISCUSSION: (Continued)
D. Consider Refunding of the 1993 Tax Allocation Bonds with a New Money
Component. Staff Recommendation: 1) Direct staff and the financing
team to proceed with the preparation of financing documents and to
submit said documents to both Standard & Poor and to various bond
insurers; 2) Price the bonds after formal approval of the financing
documents by both the Agency and the City Council at a meeting to be
held in March; 3) Instruct the financing team that the `anew money"
portion is to be at least $1,900,000 prior to pricing the bond issue;
4) Engage the law firm of Quint & Thimmig to serve as Bond Counsel;
and 5) Engage the firm of Miller & Schroeder Financial, Inc. to serve
as Underwriter.
6. CONSENT CALENDAR:
A. Consider Approval of Minutes of the November 18, 1998 Regular
Redevelopment Agency Meeting.
Consider Approval of Minutes of the December 2, 1998 Regular
Redevelopment Agency Meeting.
Staff Recommendation: Approve the minutes as processed.
B. Consider the FY 1997 -98 Annual Financial Report. Staff
Recommendation: Receive and file the City's Annual Financial Report
for the year ending June 30, 1998.
C. Consider Resolution No. 99- Amending the Redevelopment Agency's
Annual Budget related to expenditures for Accounting Software
Purchase Adjustments for the City's Gas Tax Audit. Staff
Recommendation: Adopt Resolution No. 99- approving an amendment
to the FY 1998/99 Agency budget related to the City Gas Tax audit and
the purchase of accounting software (ROLL CALL VOTE REQUIRED).
7. CLOSED SESSION:
a. ADJOURNMENT:
----------------------------------------------------------------------------------------------
Any member of the public may address the Agency during the Public Comments portion of the Agenda,
unless it is a Public Hearing or a Presentation /Action /Discussion item. Speakers who wish to
address the Agency concerning a Public Hearing or Presentations /Action /Discussion item must do so
during the Public Hearing or Presentations /Action /Discussion portion of the Agenda for that item.
Speaker cards must be received by the City Clerk for Public Comment prior to the beginning of the
Public Comments portion of the meeting and for Presentation /Action /Discussion items prior to the
beginning of the first item of the Presentation /Action /Discussion portion of the Agenda. Speaker
Cards for a Public Hearing must be received prior to the beginning of the Public Hearing. A
limitation of three minutes shall be imposed upon each Public Comment and
Presentation /Action /Discussion item speaker. Written Statement Cards may be submitted in lieu of
speaking orally for open Public Hearings and Presentation /Action /Discussion items. Copies of each
item of business on the agenda are on file in the office of the City Clerk and are available for
public review. Any questions concerning any agenda item may be directed to the City Clerk at 529-
6864.
In compliance with the Americans with Disabilities Act, if you need assistance to participate in
this meeting, please contact the City Clerk's Department at (805) 529 -6864. Notification 48 hours
prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility
to this meeting (CFR 35.102 - 35.104 ADA Title II).
STATE OF CALIFORNIA )
COUNTY OF VENTURA ) ss
CITY OF MOORPARK )
AFFIDAVIT OF POSTING
I, Lisa Pope, declare as follows:
That I am the Deputy City Clerk of the City of Moorpark and that a notice for a Regular meeting of
the Moorpark Redevelopment Agency to be held February 17, 1999, at 7:00 p.m. in the Council
Chambers of the Moorpark Community Center, 799 Moorpark Avenue, Moorpark, California, was
posted on February 12, 1999, at a conspicuous place at the Moorpark Community Center, 799
Moorpark Avenue, Moorpark, California.
I declare under penalty of perjury that the foregoing is true and correct.
Executed on February 12, 1999.
cY4 — PdrC
Lisa Pope, DeputyCity De ut Clerk
ITEM 5• A•
CITY OF MOORPARK, CAI.IFORNTIA
Redevelopment Agenev Meeting
Of _--) t -1 -qCl
ACTION: Appvcveca - -ta-f4
MOORPARK REDEVELOPMENT AGENL'.V� reco�me��� hon
AGENDA REPORT
I3Y: i�tGv1CCh G c;,YZp
TO: Honorable Board of Directors
FROM: John E. Nowak, Assistant Executive Director u
DATE: 04 February 1999 (Agency Meeting of 02- 17 -99)
SUBJECT: Consider an Amendment to the Disposition and
Development Agreement with Cabrillo Economic
Development Corporation Related to Attachment No.
4, "Schedule of Performance ".
BACKGROUND: On July 8, 1998 the Moorpark Redevelopment
Agency approved a Disposition and Development Agreement
(DDA) with Cabrillo Economic Development Corporation (CEDC)
for the construction of housing on the Gisler Field site
(Project RPD -98 -7) The DDA called for a set Schedule of
Performance to be followed by CEDC for the development
process. Due to delays last year in the Agency and City
taking certain actions, partially the result of meetings
being cancelled, the schedule cannot be met.
DISCUSSION: On July 8, 1998 the Redevelopment Agency Board
of Directors approved a DDA with Cabrillo Economic
Development Corporation to construct 59 single family
residential units at the Gisler Field site. Fifteen of the
units are to be affordable for low and very -low income
households. The DDA contained Attachment No. 4, which set
forth a "Schedule of Performance" that CEDC must adhere to
in developing the project. Failure to meet the schedules
could result in the Agency imposing penalties.
There were delays last year in meeting some of the required
actions. The delay was partially the result of the Council
and Agency meetings being cancelled. Staff feels that it
is appropriate for the Agency to revise the schedule to
000001
Amendment to DDA
Meeting of 17 February 1999
Page 02
reflect those delays. A redline version showing the
proposed changes and the Amendment to the DDA with the
revised Attachment are attached to this report. This would
give CEDC a clear schedule to follow and would provide a
sound basis should the Agency need to impose a penalty in
the future. The proposed schedule has been reviewed by
CEDC.
RECOMMENDATION: Staff recommends the Agency Board of
Directors approve Amendment No. 1 to the Disposition and
Development Agreement between the Moorpark Redevelopment
Agency and Cabrillo Economic Development Corporation
revising Attachment No. 4 "Schedule of Performance."
Attached: Attachment No. 4 - redline
Amendment No. 1 to DDA
000002
ATTACHMENT NO.4
SCHEDULE OF PERFORMANCE
Amended
1. Schedule of Performance by Developer
Unless extended as a result of an enforced delay, as provided for in Section 13.04 of the
Agreement, or otherwise agreed to by Agency, Developer shall be required to perform in
accordance with the following schedule. Failure to perform shall result in assessment of
penalties as provided for in Section 04.08 of the Agreement, and may, at the option of
Agency, result in a default of the Agreement.
June 1998 Good faith payment due
june 19 Q Disposition and Development Agreement executed
Y!
july 1998 Submittal of basic concept and schematic drawings for Agency
liwt�t;'19J$ approval (Sec. 04.02)
August Agency approval of concept and schematic drawings (Sec.
04.05)
August ^x^ Submittal of waiver requests
1
SeptembeF 1998 Application for entitlements submitted (Sec 04.07)
Popember� 49'98
NevembeF 1998 Applications submitted to Planning Commission and /or Council
1`98P for review and action
january 1999 Entitlements approved
999
januaFy 1999 Begin final engineering and architectural design
Civil engineering plans submitted to engineering
.iun��1'9
Page 1 of 3
000003
March 1 Grading plans submitted to engineering
9
March 1 Building plans submitted for plan check
00
jury 1999 Civil engineering plans approved
jury- 999 Building plans approved
ffctciber,.'T99
duly -999 Other government agencies' approvals obtained
duty -999 Submit proof of financing (Sec. 03.14)
Septemer,�19
August Escrow opens (Sec. 03.02)
ofa ...i!i
August Submit copy of Developer's executed contract documents
P00 _ I' (Sec. 03.14)
August Promissory Note prepared for Agency review (Sec. 03.07)
OMPOO
Deeernbe_ 1999 Final Map recorded / Interest begins to accrue
March 2000
December 19A9 HOA recorded
E� ;Y!c7idfi�T�S'.
�/I�rchf'20�1
Beeer ber 1999 Escrow closes within 30 days of recordation, title conveyed to
Apnl Z + CEDC (Sec. 03.03)
DeeembeF 1999 Construction loan closes
ll1 ZID
january 9 Interest payments begin
AI ?"
Page 2 of 3
000004
January y2000 Phase One construction begins
,p �-
'fflj'�2 p 00
dare -2000 Interest begins to accrue if Final Map not yet recorded
qW2qPq
june -2090 Marketing begins
Sepfietiber ,Q0,0
10"
X090 Payment of Site Purchase Price begins with sale of market
/
'" AWWW"09. value units
August 2000 Phase Two construction begins
hove E 41 , 0
'rP, ... P. "
GetebeF 2909 Sales completed, Phase One
FebrdsFy 2001 Phase Three construction begins
i,
A "'I 1?qpl!
Apfil 2004 Sales completed, Phase Two
January 2002 Full construction of new public street completed
January 2002 Sales completed, Phase Three
MO.' F, 0. A190?
Page 3 of 3
0000 0S
AMENDMENT NO. 1
DISPOSITION AND DEVELOPMENT AGREEMENT
by and between
CITY OF MOORPARK REDEVELOPMENT AGENCY,
"AGENCY"
and
CABRILLO ECONOMIC DEVELOPMENT CORPORATION.
"DEVELOPER"
for the
GISLER FIELD PROJECT
WHEREAS, on July 8, 1998 the City of Moorpark
Redevelopment Agency approved a Disposition and Development
Agreement (DDA) related to the construction of single
family residential units on the site referred to as "Gisler
Field ", and
WHEREAS, said DDA contained therein Attachment No. 4
"Schedule of Performance" specifying dates by which the
Developer was require to perform certain tasks, and
WHEREAS, certain delays have occurred in the
implementation of the DDA; and
WHEREAS, the Agency deems it appropriate to amend the
DDA to revise certain dates contained in said Attachment
No. 4.
NOW, THEREFORE, both parties to the Disposition and
Development Agreement approved on July 8, 1998 for the
Gisler Field Project do agree as follows:
Section 1. That Attachment No. 4 to the Disposition and
Development Agreement for the Gisler Field Project is
hereby amended to appear as attached to this Amendment No.
1.
Amendment No. 1
DDA Gisler Field Project
Page 02
Approved by both parties hereto this day of February
1999.
CITY OF MOORPARK REDEVELOPMENT AGENCY
Patrick Hunter, Chairman
ATTEST:
Deborah S. Traffenstedt, Agency Secretary
CABRILLO ECONOMIC DEVELOPMENT CORPORATION
Rodney Fernandez, President
()® ()()Q7
ATTACHMENT NO. 4
SCHEDULE OF PERFORMANCE
Amended
1. Schedule of Performance by Developer
Unless extended as a result of an enforced delay, as provided for in Section 13.04 of the
Agreement, or otherwise agreed to by Agency, Developer shall be required to perform in
accordance with the following schedule. Failure to perform shall result in assessment of
penalties as provided for in Section 04.08 of the Agreement, and may, at the option of
Agency, result in a default of the Agreement.
June 1998 Good faith payment due
July 1998 Disposition and Development Agreement executed
August 1998 Submittal of basic concept and schematic drawings for Agency
approval (Sec. 04.02)
September 1998 Agency approval of concept and schematic drawings (Sec.
04.05)
November 1998 Submittal of waiver requests
December 1998 Application for entitlements submitted (Sec 04.07)
March 1999 Applications submitted to Planning Commission and /or Council
for review and action
April 1999 Entitlements approved
April 1999 Begin final engineering and architectural design
June 1999 Civil engineering plans submitted to engineering
June 1999 Grading plans submitted to engineering
June 1999 Building plans submitted for plan check
Page 1 of 3
October 1999
Civil engineering plans approved
October 1999
Building plans approved
September 1999
Other government agencies' approvals obtained
September 1999
Submit proof of financing (Sec. 03.14)
October 1999
Escrow opens (Sec. 03.02)
October 1999
Submit copy of Developer's executed contract documents
(Sec. 03.14)
October 1999
Promissory Note prepared for Agency review (Sec. 03.07)
March 2000
Final Map recorded / Interest begins to accrue
March 2000 HOA recorded (if needed)
April 2000 Escrow closes within 30 days of recordation, title conveyed to
CEDC (Sec. 03.03)
April 2000 Construction loan closes
April 2000 Interest payments begin
April 2000 Phase One construction begins
July 2000 Interest begins to accrue if Final Map not yet recorded
September 2000 Marketing begins
September 2000 Payment of Site Purchase Price begins with sale of market
value units
November 2000 Phase Two construction begins
January 2001 Sales completed, Phase One
April 2001 Phase Three construction begins
July 2001 Sales completed, Phase Two
Page 2 of 3
000009
January 2002 Full construction of new public street completed
March 2002 Sales completed, Phase Three
Page 3 of 3
000010
MOORPARK REDEVELOPMENT
AGENDA REPORT
— i(oo), •aC,
ITEM C7
CITX OF MOORPARK, CALIFORNIA
Redevelopment Agency Meeting
of z - I -I -C) 1-i
ACTION: H PO -ovfd
--A
AGE
AGE rb , qcq --1 c0 + q c) -1-�
. c7ca � zai
TO: Honorable Board of Directors
FROM: John E. Nowak, Assistant Executive Director
DATE: 04 February 1999 (Agency Meeting of 02- 17 -99)
SUBJECT: Consider A Loan Repayment Schedule for Loans from
the City of Moorpark to the Moorpark
Redevelopment Agency; and Resolution No. 99-
Amending the Redevelopment Agency Operating
Budget Related to Repayment of Loans to the
Agency Capital Fund from the City General Fund;
and Resolution No. 99- Amending the
Redevelopment Agency Operating Budget Related to
Repayment of Loans to the Agency Housing Set -
Aside Fund from the City General Fund.
BACKGROUND: The City of Moorpark has provided loans from
the City's General Fund to the Moorpark Redevelopment
Agency to assist in funding certain projects and to cover
administrative costs of the Agency. These loans carried a
ten- percent interest rate and had no defined repayment
schedule. The Agency currently has sufficient funds to
repay portions of the loan principal.
DISCUSSION: From the time of formation of the Moorpark
Redevelopment Agency, the City of Moorpark has been
providing loans from the City's General Fund to the Agency
for administrative costs and to fund projects while the tax
increment funds to the Agency were growing. From fiscal
year 1993/94 to fiscal year 1997/98 a total of $8,719,967
was loaned to the Agency. These loans carried a ten
percent (10 %) interest rate payable to the City and had no
defined repayment schedule. A total of $1,691,396 of that
total has been repaid. Interest payments have been made to
0®001,.
Budget Amendments - Loan Repayment
Meeting of 17 February 1999
Page 02
the City during this period. No loans are being made in
fiscal year 1998/99.
Of the $7,028,571 loan principal outstanding, $163,202 was
made to the Agency's Housing Set -Aside fund and $6,865,369
was made to the Agency's Capital Project Fund. The current
budget has $1,000,000 appropriated for loan principal
repayment for the Capital Project Fund and $117,000
repayment for the Housing Set -Aside Fund.
The Council Budget and Finance Committee requested staff to
review loan repayment schedules that would accelerate the
monies being returned to the City's General Fund. Staff
provided five (5) scenarios with repayments ranging from $1
million per year to $3 million per year until the full
principal was paid. Based on the projected tax increment
revenues and estimated Agency expenditures, and maintaining
a prudent Agency reserve amount, the Committee is
recommending the Agency adopt a repayment schedule in which
the Agency repays in FY 1998/99 the full loan balance to
the Housing Set -Aside Fund ($163,202) and $2.5 million be
repaid on the Capital Projects Fund loan, for a total of
$2,663,202 in loan principal repayments. Next fiscal year
an additional $2.5 million would be repaid and in FY
2000/01 the balance of $1,865,369 would be repaid to the
City's General Fund. Interest would continue to be paid to
the City on the outstanding balance. The payment
transactions would take place around June 1 of each fiscal
year.
The Budget and Finance Committee's recommendation is for a
larger repayment amount than in the adopted budget.
Resolution No. 99- would appropriate an additional $1.5
million from the Capital Project Fund for the loan
repayment this fiscal year. Resolution No. 99- would
appropriate $46,202 from the Housing Set -Aside Fund for the
loan repayment this fiscal year.
RECOMMENDATION: (ROLL CALL VOTE) Staff recommends the
Agency Board of Directors: (1) Approve the loan repayment
000012
Budget Amendments - Loan Repayment
Meeting of 17 February 1999
Page 03
schedule as recommended by the Council Budget and Finance
Committee; (2) Adopt Resolution No. 99- amending the
Moorpark Redevelopment Agency's FY 1998/99 budget by
appropriating $1.5 million from the Agency's Capital
Projects Fund for loan principal repayment; and (3) Adopt
Resolution No. 99- amending the Moorpark Redevelopment
Agency's FY 1998/99 budget by appropriating $46,202 from
the Agency's Housing Set -Aside Fund for loan principal
repayment.
Attached:
Resolution No. 99- : Capital Projects Fund
Resolution No. 99- : Housing Set -Aside Fund
000013
RESOLUTION NO. 99-
A RESOLUTION OF THE CITY OF MOORPARK
REDEVELOPMENT AGENCY, CALIFORNIA, AMENDING THE FY
1998/99 BUDGET TO APPROPRIATE RESERVE FUNDS FOR
THE REPAYMENT OF PRINCIPAL ON THE CAPITAL
PROJECTS LOAN FROM THE City OF MOORPARK.
WHEREAS, on July 15 1998 the Redevelopment Agency
Board of Directors adopted the Budget for Fiscal Year 1998-
1999; and
WHEREAS, the Redevelopment Agency Board of Directors
has approved a schedule for the repayment of loan principal
from the City of Moorpark to the Agency Capital Projects
Fund; and
WHEREAS, the Agency has budgeted $1,000,000 in the
current fiscal year for loan principal repayment and an
additional $1,500,000 appropriation is required to cover
the repayment schedule; and
WHEREAS, Exhibit "A" hereto describes said budget
amendment and resultant impacts to the current budget.
NOW, THEREFORE, THE BOARD OF DIRECTORS OF THE CITY OF
MOORPARK REDEVELOPMENT AGENCY DOES HEREBY RESOLVE AS
FOLLOWS:
SECTION 1. A budget amendment in the amount of
$1,500,000 be appropriated from the Agency's Capital
Project Reserve Fund to the "Debt Service Principal -
Loans" account, as more particularly described in Exhibit
"A" attached hereto and made a part hereof.
PASSED AND APPROVED this 17th day of February 1999.
ATTEST:
Deborah S. Traffenstedt, Secretary
Patrick Hunter, Chairman
000014
Resolution No. 99-
Exhibit "A"
Current
Accoun t ABpropri a ti on
Capital Project
Reserve Fund
410.000.0000.000.5101
Debt Service Principal
Loans $1,000,000
410.510.0000.000.9706
Proposed Revised
Adjustment Budget
($1,500,000)
$1,500,000 $2,500,000
000015
RESOLUTION NO. 99-
A RESOLUTION OF THE CITY OF MOORPARK
REDEVELOPMENT AGENCY, CALIFORNIA, AMENDING THE FY
1998/99 BUDGET TO APPROPRIATE RESERVE FUNDS FOR
THE REPAYMENT OF PRINCIPAL ON THE HOUSING SET -
ASIDE LOAN FROM THE CITY OF MOORPARK.
WHEREAS, on July 15 1998 the Redevelopment Agency
Board of Directors adopted the Budget for Fiscal Year 1998-
1999; and
WHEREAS, the Redevelopment Agency Board of Directors
has approved a schedule for the repayment of loan principal
from the City of Moorpark to the Agency Housing Set -Aside
Fund; and
WHEREAS, the Agency has budgeted $117,000 in the
current fiscal year for loan principal repayment and an
additional $46,202 appropriation is required to cover the
repayment schedule; and
WHEREAS, Exhibit "A" hereto describes said budget
amendment and resultant impacts to the current budget.
NOW, THEREFORE, THE BOARD OF DIRECTORS OF THE CITY OF
MOORPARK REDEVELOPMENT AGENCY DOES HEREBY RESOLVE AS
FOLLOWS:
SECTION 1. A budget amendment in the amount of
$46,202 be appropriated from the Agency's Housing Set -Aside
Reserve Fund to the "Debt Service Principal - Loans"
account, as more particularly described in Exhibit "A"
attached hereto and made a part hereof.
PASSED AND APPROVED this 17th day of February 1999.
ATTEST:
Deborah S. Traffenstedt, Secretary
Patrick Hunter, Chairman
Resolution No. 99-
Exhibit "A"
0000..7
Current Proposed Revised
Account
Appropriation Adjustment Budget
Housing Set -Aside
Reserve Fund
($46,202)
232.000.0000.000.5202
Debt Service Principal
Loans
$117,000 $46,202 $163,202
232.512.0000.000.9706
0000..7
MOORPARK REDEVELOPMENT
AGENDA REPORT
-�a5, z
ITEM •C •
CITY OF MOORPARK, CALIFORNIA
Redevelopment Agency Meeting
of -q Cl
AGE�N: D+rec -red Sta-Ef -Ftu .,uvi �-2-ca
to VIGTG re< �1�SteY1� t4 y r�C3i-
re,.� .5 +VIP lease -(or' -t V)O- ��� i V"A rd .
BY: 13rc: r-� fir„ v-o, ►��
TO: Honorable Board of Directors
FROM: John E. Nowak, Assistant Executive Director
DATE: 04 February 1999 (Agency Meeting of 02- 17 -99)
SUBJECT: Consider Action for Removal of Billboard
DISCUSSION: The property
Railroad tracks at Moorpark
structure is located is
Transportation Commission.
management of the Moorpark
early 19901s.
adjoining the Union Pacific
Avenue on which the billboard
owned by the Ventura County
It has been under the
Redevelopment Agency since the
Council member Wozniak requested that the matter of
removing the billboard be placed on the agenda for the
Agency Board of Director's consideration.
RECOMMENDATION: Direct staff as deemed appropriate.
()®001,6
TO:
FROM:
DATE:
SUBJECT:
SUMMARY
MOORPARK REDEVELOPMENT
AGENDA REPORT
Honorable Board of Directors
ruri", --I e a . 3 G (H ")
STEM 7- 0 0
�WftWANIWW
CITY OF MOORPARK, CALIFORNIA
Redevelopment Agency Meeting
Of ;;,A- \-` -qq
ACTION: c'v - -+t r" v c G
AGENCY
BY: C1-7 k CW-I Gca r Z G
John E. Nowak, Assistant Executive Director
February 11, 1999 (Agency Meeting of 2/17/99)
CONSIDER REFUNDING OF THE 1993 TAX ALLOCATION BONDS WITH
A NEW MONEY COMPONENT
With interest rates at a 20 -year low, the Redevelopment Agency of
the City of Moorpark has a unique opportunity to issue refunding
bonds relative to the Redevelopment Agency of the City of Moorpark
Moorpark Redevelopment Project 1993 Tax Allocation Bonds (the
'Bonds") $10,000,000. By taking advantage of the lowest tax exempt
interest rates we have seen since the inception of the Agency, and
by extending out the maturities of the Bonds 10 more years, the
Agency could raise approximately $2,000,000 of new Project money
without increasing the Agency's annual debt service.
BACKGROUND
In June of 1993, the Redevelopment Agency of the City of Moorpark
issued its Moorpark Redevelopment Project 1993 Tax Allocation Bonds
in the amount of $10,000,000. The Bonds are an indebtedness of the
Agency and are secured solely by tax increments generated by
increases in the assessed valuation of property within the Moorpark
Redevelopment Project (the Project Area ") which was approved by
Ordinance No. 110 adopted by the City Council on July 5, 1989. The
Project Area consists of approximately 1,217 acres and is comprised
of primarily commercial and industrial land uses.
DISCUSSION
With interest rates at near -term, historical lows, the Agency can
economically refund its existing 1993 Bonds and, by extending out
the maturity 10 additional years, raise approximately $2,000,000 in
new money which can be used for any lawful Agency purpose.
() ®G(A19
Refunding of the 1993 Tax Allocation Bonds
Page 2
Staff is recommending that the Agency engage the law firm of Quint
& Thimmig to serve as Bond Counsel. Staff is also recommending
that the Agency engage the underwriting firm of Miller & Schroeder
Financial, Inc. to serve as Underwriter. Quint & Thimmig provided
bond counsel services for the City's last public offering, a
Community Facilities District bond issue, and did a highly
professional job. Miller & Schroeder Financial, Inc. was the
Underwriter of the 1993 Bonds and also served as Underwriter of the
Community Facilities District bond issue.
STAFF RECOMMENDATION
1. Direct staff and the financing team to proceed with the
preparation of financing documents and to submit said
documents to both Standard & Poor and to various bond
insurers;
2. Price the bonds after formal approval of the financing
documents by both the Agency and the City Council at a meeting
to be held in March;
3. Instruct the financing team that the 'new money" portion is to
be at least $1,900,000 prior to pricing the bond issue;
4. Engage the law firm of Quint & Thimmig to serve as Bond
Counsel; and
5. Engage the firm of Miller & Schroeder Financial, Inc. to serve
as Underwriter.
000020
ITEM
CITY OF MOORPARK, CALIMRNiA
Redevelopment Agency Meeting
of �- I -t -Gl CA
ACTION: ' 1' - Proved Sra -F
MOORPARK REDEVELOPMENT AGE
AGENDA REPORT BV: 8t c� -,cc l
TO: Honorable Board of Directors
FROM: John E. Nowak, Assistant Executive Director 4:�ro
DATE: 04 February 1999 (Agency Meeting of 02- 17 -99)
SUBJECT: Consider the FY 1997 -98 Annual Financial Report.
BACKGROUND: The Redevelopment Agency is required to
conduct an annual independent audit of its financial
statements. The firm of KPMG conducted the audit for the
Agency in conjunction with the City audits.
DISCUSSION: The firm of KPMG Peat Marwick LLP conducted
the independent audits of the City of Moorpark
Redevelopment Agency's general financial states for the
fiscal year ending June 30,1998. No objections were found
in the report (unqualified opinion).
STAFF RECOMMENDATION: That the Redevelopment Agency Board
of Directors receive and file the City's Annual Financial
Report for the year ending June 30, 1998.
Attached: Annual Financial Statement
® () G0
KP
REDEVELOPMENT AGENCY OF
THE CITY OF MOORPA.RK, CALIFORNIA
(A Component Unit of the City of Moorpark, California)
Annual Financial Report
June 30, 1998
(With Independent Auditors' Report Thereon)
0000 7
REDEVELOPMENT AGENCY OF
THE CITY OF MOORPARK, CALIFORNIA
(A Component Unit of the City of Moorpark, California)
Annual Financial Report
June 30, 1998
Table of Contents
Independent Auditors' Report
Combined Financial Statements:
Page
Combined Balance Sheet — Governmental Fund Types and Account Groups 2
Combined Statement of Revenues, Expenditures and Changes in Fund Balances —
All Governmental Fund Types 3
Statement of Revenues, Expenditures and Changes in Fund Balances —
Budget and Actual — Special Revenue Fund and Capital Projects Fund 4
Notes to Combined Financial Statements
Independent Auditors' Report on the Redevelopment Agency of the City of Moorpark,
California's Compliance Based on the Audit of the Combined Financial Statements 12
000028
Peat Marwick LAP
725 South Figueroa Street
Los Angeles, CA 90017
Independent Auditors' Report
The Honorable Board of Directors
Redevelopment Agency of
the City of Moorpark, California:
We have audited the accompanying combined financial statements of the Redevelopment Agency of the
City of Moorpark, California (Agency), a financial reporting component unit of the City of Moorpark,
California, as of and for the year ended June 30, 1998, as listed in the accompanying table of contents.
These combined financial statements are the responsibility of the Agency's management. Our
responsibility is to express an opinion on these combined financial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards. Those standards
require that we plan and perform the audit to obtain reasonable assurance about whether the combined
financial statements are free of material misstatement. An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the combined financial statements. An audit also
includes assessing the accounting principles used and significant estimates made by management, as well
as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable
basis for our opinion.
In our opinion, the combined financial statements referred to above present fairly, in all material respects,
the financial position of the Redevelopment Agency of the City of Moorpark, California as of June 30,
1998 and the results of its operations for the year then ended in conformity with generally accepted
accounting principles.
As discussed in note 3 of the notes to the financial statements, the City adopted the Governmental
Accounting Standards Board Statement No. 31, "Accounting and Financial Reporting for Certain
Investments and External Investment Pools," effective July 1, 1997.
-k-)P-m fX -Reat -71a4Ui44A?r P
October 23, 1998
00002
Member F:rm of KPVG M:e —vcoal
Assets and Other Debits
Cash and investments (note 3)
Restricted cash and investments (note 3)
Accounts and interest receivable, net
Taxes receivable
Notes receivable
Land held for resale (notes 2 and 8)
Property and equipment (note 4)
Amount available for debt service
Amount to be provided for retirement of general long -term debt
Total assets and other debits
Liabilities, Fund Balances and
Other Credits
Liabilities:
Accounts payable and accrued liabilities
Compensated absences payable (note 5)
Advance from the City of Moorpark
Tax allocation bonds payable (note 5)
Total liabilities
Fund balances and other credits:
Investment in general fixed assets
Fund balances:
Reserved for receivables due after one year, net
Reserved for land held for resale (note 8)
Reserved for debt service (note 5)
Reserved for low /moderate income housing (note 6)
Reserved for encumbrances
Unreserved — designated for business incentives
Unreserved — designated for capital projects
Total fund balances and other credits
Total liabilities, fund balances and other credits
See accompanying notes to combined financial statements.
REDEVELOPMENT AGENCY OF
THE CITY OF MOORPARK, CALIFORNIA
(A Component Unit of the City of Moorpark, California)
Combined Balance Sheet —
Governmental Fund Types and Account Groups
June 30, 1998
2
Account
groups
Governmental fund types
General
Special
e t
ap to
Fixed Assets
Long -Term
Total
Revenue
Service
Projects
Account
Debt Account
(memorandum
Fund
Fund
Fund
Group
Group
only)
$ 1,194,455
—
8,316,494
—
—
9,510,949
834,293
—
—
834,293
152,518
11,428
294,713
—
—
458,659
—
—
8,182
—
—
8,182
—
3,833,464
—
—
3,833,464
1,500,000
—
—
—
—
1,500,000
—
—
—
1,151,080
—
1,151,080
—
—
—
—
845,721
845,721
—
—
—
—
15,346,771
15,346,771
$ 2,8®
8®
12,4,853
1,11511,00880
16,19249®
33,489,119
$ 29,367
—
16,999
—
—
46,366
—
—
—
—
13,921
13,921
—
—
—
—
7,028,571
7,028,571
—
—
—
—
9,150,000
9,150,000
29,367
—
16,999
—
16,192,492
16,238,858
—
—
—
1,151,080
—
1,151,080
136,977
—
3,921,286
—
—
4,058,263
1,500,000
—
—
—
—
1,500,000
845,721
—
—
—
845,721
1,045,437
—
—
—
—
1,045,437
135,192
—
17,542
—
—
152,734
—
—
233,678
--
—
233,678
—
—
8,263,348
—
—
8,263,348
2,817,606
845,721
12,435,854
1,151,080
—
17,250,261
$ 2,8�s46845,721
12,4®
1,151,080
16,192,492
33,489,119
2
REDEVELOPMENT AGENCY OF
THE CITY OF MOORPARK, CALIFORNIA
(A Component Unit of the City of Moorpark, California)
Combined Statement of Revenues, Expenditures and Changes in Fund Balances -
All Governmental Fund Types
Year ended June 30, 1998
Revenues:
Property taxes
Maintenance assessments
Charges for current services
Interest
Miscellaneous
Total revenues
Expenditures:
Current:
General government
Public services
Capital outlay
Debt service:
Principal retirement (note 5)
Interest and fiscal charges
Total expenditures
(Excess) deficiency of
revenues over
expenditures
Other financing sources (uses):
Operating transfers in
Operating transfers out
Advances from City (note 5)
Total other financing
sources
Excess of revenues and other
sources over expenditures
and other uses
Fund balances, July 1
Fund balances, June 30
Governmental fund types
Special Debt api
Revenue Service Projects
V. -A V -11 V -A
58,336
122
58,458
64,790
424
ECG 71 A
1,574,393
65,431
- 114,030
80,935 431,630
- 21
4n 02C 7 1 41q SAG
225,000
550,294
77G 70A
497,369
374,598
493,410
1,365,377
Total
(memorandum
only)
1,574,393
65,431
114,030
570,901
143
2,324,898
497,369
64,790
375,022
225,000
1,043,704
2,205,885
(6,756) (694,359) 820,128 119,013
204,820 751,825 - 956,645
- - (956,645) (956,645)
47,064 - 678,305 725,369
251,884 751,825 (278,340) 725,369
245,128
2,572,478
$ 2,817,606
See accompanying notes to combined financial statements.
3
57,466
541,788
844,382
788,255
11,894,066
15,254, 799
845,721
12,435,854
16,099,181
REDEVELOPMENT AGENCY OF
THE CITY OF MOORPARK, CALIFORNIA
(A Component Unit of the City of Moorpark, California)
Statement of Revenues, Expenditures and Changes in
Fund Balances - Budget and Actual -
Special Revenue Fund and Capital Projects Fund
Year ended June 30, 1998
See accompanying notes to combined financial statements
C
2J
4
Special Revenue Fund
Capital Projects Fund
Total (memorandum only)
ar ante -
favorable
ar ance -
favorable
Variance Z'_
Budget
Actual
(unfavorable)
Budget
Actual
(unfavorable)
Budget
Actual
favorable
(unfavorable)
Revenues:
Property taxes
Charges for current services
$ -
-
-
1,312,347
1,574,393
262,046
1,312,347
1,574,393
262,046
Maintenance assessments
-
-
-
107,424
114,030
6,606
107,424
1 14,030
6,606
Interest
Miscellaneous
38,000
58,336
20,336
_
65,431
431,6
6.5,431
431,630
-
38,000
65,431
489,966
65,431
451,966
Total revenues
-
38,000
122
58,458
122
20,458
-
1,419,771
21 21
2,185,505
21
765,734
-
1,457,771
� 143
2,243,963
143
786,192
Expenditures:
Current:
General government
Public services
-
673,703
-
64,790
608,913
442,532
497,369
(54,837)
442,532
497,369
(54,837)
Capital outlay
Debt service - Interest
650
-
424
226
145,608
374,598
(228,990)
673,703
146,258
64,790
375,022
c
608,913
(228,764)
-
-
500,000
493,410
6,590
500,000
493,410
6,590
Total expenditures
674,353
65,214
609,139
11088,140
1,365,377
(277,237)
1,762,493
1,430,591
331,902
Excess (deficiency) of revenues over
expenditures
(636,353)
(6,756)
629,597
331,631
820,128
488,497
(304,722)
813,372
1,118,094
Other financing sources (uses):
Operating transfers in
Operating transfers out
371,837
-
204,820
(167,017)
-
371,837
204,820
(167,017)
Advances from City (note 5)
79,183
-
47,064
(32,119)
(1,104,286)
431,382
(956,645)
678,305
147,641
246,923
(1,104,286)
510,565
(956,645)
147,641
Total other financing sources
451,020
251,884
(199,136)
(672,904)
(278,340)
394,564
(221,884)
725,369
(26,456)
214,804
195,428
Excess (deficiency) of revenues and
other sources over expenditures
and other uses
(185,333)
245,128
430,461
(341,273)
541,788
883,061
(526,606)
786,916
1,313,522
Fund balances, July I
2,572,478
2,572,478
-
11,894,066
11,894,066
-
14,466,544
14,466,544
-
Fund balances, June 30
$ 2,3� 8 145
2,8� 1606
430,461
11,552,793
12,435,854
883,061
13,939,938
15,253,460
1,313,522
See accompanying notes to combined financial statements
C
2J
4
REDEVELOPMENT AGENCY OF
THE CITY OF MOORPARK, CALIFORNIA
(A Component Unit of the City of Moorpark, California)
Notes to Combined Financial Statements
June 30, 1998
(1) Nature and Operations of the Agency
The Redevelopment Agency of the City of Moorpark, California (Agency) was created by the City of
Moorpark (City) City Council Ordinance No. 87, adopted on March 18, 1987. The City Council appointed
the Board of Directors and established bylaws of the Agency on May 20, 1987, by Resolution No. 87 -387.
The City Council sits as the Board of Directors of the Agency. The Agency was established pursuant to the
Community Redevelopment Law of the State of California Health and Safety Code.
For financial reporting purposes, the Agency is considered to be a component financial reporting unit of the
City; however, for operational and financing purposes, the Agency functions as a separate legal entity,
distinct from the City of Moorpark. In accordance with generally accepted accounting principles, the
financial activities of the Agency are included in the Annual Financial Report of the City of Moorpark
because of the financial and administrative oversight aspects of the City Council's involvement in the
Agency's activities.
(2) Summary of Significant Accounting Policies
(a) Funds and Account Groups
Each fund and account group is considered a separate accounting entity as discussed below:
• dial Revenue Fund — This fund is used to account for revenues derived from specific sources
that are usually required by law or administrative regulation to be accounted for in separate
funds.
• Debt Service Fund — This fund is used to account for the payment of interest and principal on its
long -term obligations. Principal sources of revenue for this fund are property taxes and
investment earnings.
• Cayital Proiects Fund — This fund is used to account for all revenues and expenditures which are
not accounted for by the Debt Service Fund and Special Revenue Fund, including acquisition of
properties, costs of site improvements and other costs of benefit to project areas and
administrative expenditures incurred in sustaining Agency activities.
• General Fixed Assets Account Group — This account group is used to account for property and
equipment purchased or received by the Agency.
• Long -Term Debt Account Group — This account group is used to account for the Agency's
outstanding long -term indebtedness in a separate self - balancing group of accounts.
(b) Basis of Accounting
The modified - accrual basis of accounting is followed by all funds of the Agency. Under the
modified - accrual basis, expenditures (other than interest and principal on long -term debt which is
recorded when due, unless paid early in a subsequent period) are recorded when the liability is
incurred, and revenues are recorded when received in cash unless susceptible to accrual (i.e.,
5 Cony ed)
c�� 03t
REDEVELOPMENT AGENCY OF
THE CITY OF MOORPARK, CALIFORNIA
(A Component Unit of the City of Moorpark, California)
Notes to Combined Financial Statements
June 30, 1998
measurable and available to finance the Agency's operations in the current period or of a material
amount and not received at the normal time of receipt). Revenues considered susceptible to accrual
include investment earnings and incremental property taxes.
(c) Budgetary Data
The Board of Directors approves each year's budget submitted by the Executive Director prior to the
beginning of the new fiscal year. Public hearings are conducted prior to its adoption by the Board of
Directors. Supplemental appropriations, where required during the period, are also approved by the
Board of Directors. In most cases, expenditures may not exceed appropriations at the function level.
At fiscal year -end, all operating budget appropriations lapse. Overall, budgets are adopted on a basis
consistent with generally accepted accounting principles (GAAP).
(d) Total (Memorandum Only) Columns
The combined financial statements include certain "memorandum only" totals which represent
mathematical summations of account totals by fund type and account group and do not reflect the
elimination of interfund transactions. Such totals are for information purposes only and do not
present consolidated financial information.
(e) Land Held for Resale
Land held for resale in the Low -and Moderate - Income Housing Special Revenue Fund represents
land purchased by the Agency for redevelopment projects. Such land is valued at the lower of cost or
estimated net realizable value (as determined by a disposition and development agreement between
the Agency and a developer) and has been offset by a reservation of fund balance to indicate that
assets constitute future capital projects and are not available spendable resources.
(fl Property and Equipment
General fixed assets are recorded as expenditures in the Governmental Fund Types at the time of
purchase. These assets are stated at cost in the General Fixed Assets Account Group. No
depreciation is provided on general fixed assets
(g) Property Taxes
The Agency receives incremental property taxes on property within its project area over a base -
assessed valuation on the date the project area was established.
The duties of assessing and collecting property taxes are performed by the Ventura County Assessor
and Tax Collector, respectively. Tax levies cover the period from July 1 to June 30 of each year. All
tax liens attach annually on the first day in March preceding the fiscal year for which the taxes are
levied. Taxes are levied on both real and personal property as it exists on that date.
6 (Continued)
000,034
REDEVELOPMENT AGENCY OF
THE CITY OF MOORPARK, CALIFORNIA
(A Component Unit of the City of Moorpark, California)
Notes to Combined Financial Statements
June 30, 1998
Secured property taxes are levied against real property and are due and payable in two equal
installments. The first installment is due on November 1 and becomes delinquent if not paid by
December 10. The second installment is due on February 1 and becomes delinquent if not paid by
April 10. Unsecured personal property taxes are due on July 1 each year. These taxes become
delinquent if not paid by August 31.
The Agency records incremental property tax revenues in the fiscal year to which they are due rather
than at the related lien date. Delinquent property taxes at year -end (June 30), if any, are reserved to
the extent they are deemed to be uncollectible within 60 days thereafter.
(3) Cash and Investments
Effective July 1, 1997, the Agency adopted the provisions of GASB Statement No. 31, "Accounting and
Financial Reporting for Certain Investments and External Investment Pools." Implementation of this
statement requires governmental entities, including external investment pools, to report certain investments
at fair value in the balance sheet and recognize the corresponding change in the fair value of investments in
the year in which the change occurred. In accordance with GASB Statement No. 31, the Agency has stated
certain investments at fair value. At July 1, 1997, the cost of the Agency's investment portfolio
approximated fair value. Thus, no adjustment to the Agency's beginning fund balances to properly
implement the statement was required.
At June 30, 1998, the Agency's investments are stated at fair value. The Agency's cash, investments and
restricted cash and investments consist primarily of investments in the State Treasurer's Local Agency
Investment Fund, certificates of deposit and other money market investments. Interest income earned on
cash and investments is allocated to the various funds based on each fund's average cash and investment
balance.
(a) Cash and Investments with Fiscal Agent
The Agency's funds are also held by trustees or fiscal agents and pledged to the payment or security
of certain bonds. The California Government Code provides that these monies, unless otherwise
required by statute, may be invested in accordance with the ordinances, resolutions or indentures
which specify the types of investments the trustees or fiscal agents may make.
(b) Cash and Investments
Cash and nonnegotiable certificates of deposit are classified in three categories of custodial risk as
follows:
Category 1 — insured or collateralized with securities held by the entity or by its agent in the
entity's name
Category 2 — Collateralized with securities held by pledging financial institution's trust
department or agent in the entity's name
• Category 3 — Uninsured and uncollateralized.
7 (Continued)
G ® () U3:5
REDEVELOPMENT AGENCY OF
THE CITY OF MOORPARK, CALIFORNIA
(A Component Unit of the City of Moorpark, California)
Notes to Combined Financial Statements
June 30, 1998
Investments are also classified in three categories of custodial risk as follows:
• Category 1 — Insured or registered, or securities held by the entity or its agent in the entity's
name
• Category 2 — Uninsured and unregistered, with securities held by the counterparty's trust
department or agent in the entity's name
• Category 3 — Uninsured and unregistered, with securities held by the counterparty, or by its trust
department or agent but not in the entity's name. Investments in pools managed by other
governments or in mutual funds are not required to be categorized.
The Agency's investments at June 30, 1998 are categorized in the following table:
Carrying
Bank amount at
Description Category 1 Category 2 Category 3 balance fair value
Cash S 569,887 — — 569,887 401,513
Investments held intrust by fiscal agents on behalf of
the Agency (restricted assets) — investment
agreement — — 834,293 834,293 834,293
Investments not required to be categorized — State
Treasurer's Local Agency Investment Fund' — — — 9,109,436 9,109,436
Total cash and investments S 569,887 — 834,293 10,513,616 10,345,242
' Not required to be categorized.
(4) Property and Equipment
A summary of changes in general fixed assets during the year ended June 30, 1998 is as follows:
Land
Building and structures
Equipment
Balance,
July 1,1997
$ 1,051,409
78,558
17,569
$ 1,147,536
8
Additions
3,544
3,544
Deletions
Balance,
June 30, 1998
1,051,409
78,558
21,113
1,151,080
(Continued)
(0)(30 -36
REDEVELOPMENT AGENCY OF
THE CITY OF MOORPARK, CALIFORNIA
(A Component Unit of the City of Moorpark, California)
Notes to Combined Financial Statements
June 30, 1998
(5) Long -Term Debt
The following is a summary of changes in the Agency's long -term debt account group during the year
ended June 30, 1998:
Tax Allocation Bonds are secured by all tax increment revenue which is deposited directly with the fiscal
agent and recorded in the Debt Service Fund. Cash and investments in the custody of the fiscal agent are
restricted by the bond resolutions for payment of principal and interest on the Tax Allocation Bonds. In
addition, the bond resolutions require retention of funds held by the fiscal agent prior to use for other than
debt service.
The Agency is in compliance with the covenants contained in debt indentures, which require the
establishment of certain specific accounts for the Tax Allocation Bonds.
(a) Employee Compensated Absences Payable
In accordance with generally accepted accounting principles, the Agency recognizes the long -term
portion of accumulated employee compensated absences in the Long -Term Debt Account Group.
(b) 1993 Tax Allocation Bonds
In June 1993, the Agency issued $10,000,000 aggregate principal amount of the Agency's Moorpark
Redevelopment Project, 1993 Tax Allocation Bonds (the Bonds). The purpose of the Bonds was to
finance a portion of the costs of implementing the Redevelopment Plan, including the redevelopment
of low -and moderate - income housing projects. The Bonds bear interest at rates ranging from 3.30%
to 6.00% per annum, payable semiannually on April 1 and October 1 of each year commencing on
October 1, 1993 and are subject to mandatory sinking fund redemption commencing on October 1,
2008 and on each October 1 thereafter. The Bonds are payable from and secured by the tax revenues
to be derived from the project area.
9 (Continued)
Balance,
Balance,
July 1, 1997 Additions
Deletions
June 30, 1998
Employee compensated
absences payable $
17,825 —
3,904
13,921
Tax Allocation Bonds
9,375,000 —
225,000
9,150,000
Advances from the City
6,303,202 725,371
—
7,028,571
$
15,696,027 725,371
228,904
16,192,492
Tax Allocation Bonds are secured by all tax increment revenue which is deposited directly with the fiscal
agent and recorded in the Debt Service Fund. Cash and investments in the custody of the fiscal agent are
restricted by the bond resolutions for payment of principal and interest on the Tax Allocation Bonds. In
addition, the bond resolutions require retention of funds held by the fiscal agent prior to use for other than
debt service.
The Agency is in compliance with the covenants contained in debt indentures, which require the
establishment of certain specific accounts for the Tax Allocation Bonds.
(a) Employee Compensated Absences Payable
In accordance with generally accepted accounting principles, the Agency recognizes the long -term
portion of accumulated employee compensated absences in the Long -Term Debt Account Group.
(b) 1993 Tax Allocation Bonds
In June 1993, the Agency issued $10,000,000 aggregate principal amount of the Agency's Moorpark
Redevelopment Project, 1993 Tax Allocation Bonds (the Bonds). The purpose of the Bonds was to
finance a portion of the costs of implementing the Redevelopment Plan, including the redevelopment
of low -and moderate - income housing projects. The Bonds bear interest at rates ranging from 3.30%
to 6.00% per annum, payable semiannually on April 1 and October 1 of each year commencing on
October 1, 1993 and are subject to mandatory sinking fund redemption commencing on October 1,
2008 and on each October 1 thereafter. The Bonds are payable from and secured by the tax revenues
to be derived from the project area.
9 (Continued)
REDEVELOPMENT AGENCY OF
THE CITY OF MOORPARK, CALIFORNIA
(A Component Unit of the City of Moorpark, California)
Notes to Combined Financial Statements
June 30, 1998
The Bonds are subject to optional redemption on any interest payment date on or after October 1,
2003, by lot within a maturity, at the option of the Agency at a redemption price equal to the
principal amount to be redeemed together with accrued interest to the redemption date (expressed as
a percentage of the principal amount of Bonds to be redeemed) as follows:
Redemption
Redemption dates price
October 1, 2003 102%
October 1, 2004 101
October 1, 2005 and thereafter 100
A reserve fund is required to be maintained in an amount equal to the lesser of (i) the maximum
annual debt service ($788,200) or (ii) the maximum amount permitted to be deposited in the Debt
Service Reserve Account ($1,000,000). The balance of the reserve fund at June 30, 1998 is
$834,293.
Debt service payments on the 1993 Tax Allocation Bonds payable will be made from the Debt
Service Fund. Annual debt service requirements to maturity are as follows:
Total
Fiscal year Principal Interest debt service
1998 -1999
1999 -2000
2000 -2001
2001 -2002
2002 -2003
Thereafter
$ 240,000
250,000
260,000
275,000
290,000
7,835,000
539,239
526,984
513,784
499,534
484,061
4,430,102
779,239
776,984
773,784
774,534
774,061
12,265,102
Total $ 9,150,000 6,993,704 16,143,704
(c) Advances from the City of Moorpark
The City of Moorpark, through its general fund, has paid for services and start-up expenditures
incurred by the Agency. Amounts advanced by the City to the Agency during the fiscal year ended
June 30, 1998 totaled $725,370 and is due over an indeterminate period of time and accrues interest
at 10 %. During the 1994 fiscal year, the City also advanced $3.5 million to the Agency which the
Agency used, together with $1.5 million of Low -and Moderate- Housing Funds and $.5 million of
City Park Development Funds, to purchase certain properties within the Agency's redevelopment
project area. This advance also accrues interest at 10% and is to be repaid over an indeterminate
period. The balance of advances from the General Fund totaled $7,028,571 at June 30, 1998.
10 (Continued)
000035
REDEVELOPMENT AGENCY OF
THE CITY OF MOORPAW CALIFORNIA
(A Component Unit of the City of Moorpark, California)
Notes to Combined Financial Statements
June 30, 1998
(6) Low- and - Moderate- Income Housing Set Aside
The California Health and Safety Code Section 33334.2 requires a redevelopment agency to use at least
20% of tax increment revenues generated by a redevelopment project area to increase and improve the
supply of low- and - moderate - income housing in the community. Accordingly, the Agency's unspent
commitment for its low- and - moderate- income housing program amounted to $1,045,437 and has been
reflected as a reservation of fund balance in the Agency's Special Revenue Fund.
(7) Pass - Through Agreements
The Agency has entered into agreements with various governmental agencies to pass through a portion of
tax increment received in the project area. Such transactions are recorded within the Agency's special
revenue fund. The various agencies and the tax increment passed through to those agencies for the year
ended June 30; 1998 are as follows:
Ventura County Superintendent of Schools $ 1,847
Moorpark Mosquito Abatement District 23,637
Moorpark Unified School District 124,637
Ventura County Community College District 18,103
$ 168,224
In addition, the Agency was not subject to transfer any tax increment to the State's Education Revenue
Augmentation Fund (ERAF) for the year ended June 30, 1998.
(8) Land Held For Resale
The following is a summary of changes in land held for resale during the year ended June 30, 1997:
Special Revenue Fund
Balance,
July 1, 1997
$ 1,500,000
11
Additions Deletions
Balance,
June 30, 1998
11 111
gyp'' Peat Marwick LLP
725 South Figueroa Street
Los Angeles, CA 90017
Independent Auditors' Report on the Redevelopment Agency
of the City of Moorpark, California's Compliance Based
on the Audit of the Combined Financial Statements
The Honorable Board of Directors
Redevelopment Agency of
the City of Moorpark, California:
We have audited the combined financial statements of the Redevelopment Agency of the City of
Moorpark, California (Agency), a financial reporting component unit of the City of Moorpark, California,
as of and for the year ended June 30, 1998 and have issued our report thereon, dated October 28, 1997.
We conducted our audit in accordance with generally accepted auditing standards. Those standards
require that we plan and perform the audit to obtain reasonable assurance about whether the combined
financial statements are free of material misstatement.
Compliance with laws and regulations applicable to the Agency is the responsibility of the Agency's
management. As part of obtaining reasonable assurance about whether the combined financial statements
are free of material misstatement, we performed tests of the Agency's compliance with provisions of laws
and regulations contained in the Guidelines for Compliance Audits of California Redevelopment Agencies
issued by the State Controller's Office, Division of Local Government Fiscal Affairs.
The results of our tests indicated that, with respect to the items tested, the Agency complied, in all material
respects, with the provisions referred to in the preceding paragraph. With respect to items not tested,
nothing came to our attention that caused us to believe that the Agency had not complied, in all material
respects, with those provisions.
This report is intended for the information of the Board of Directors and management of the Agency and
the State Controller's Office. However, this report is a matter of public record and its distribution is not
limited.
..eat -11a4U0
October 23, 1998
12
000040
rk � Member Firm or KPMG Inrerratwnal
I I EiIk �'
REDEVELOPMENT AGENCY OF
THE CITY OF MOORPARK, CALIFORNIA
(A Component Unit of the City of Moorpark, California)
Annual Financial Report
June 30, 1998
(With Independent Auditors' Report Thereon)
ITEM (P • d
REDEVELOPMENT AGENCY OF
THE CITY OF MOORPARK, CALIFORNIA
(A Component Unit of the City of Moorpark, California)
Annual Financial Report
June 30, 1998
Table of Contents
Page
Independent Auditors' Report 1
Combined Financial Statements:
Combined Balance Sheet — Governmental Fund Types and Account Groups 2
Combined Statement of Revenues, Expenditures and Changes in Fund Balances —
All Governmental Fund Types 3
Statement of Revenues, Expenditures and Changes in Fund Balances —
Budget and Actual — Special Revenue Fund and Capital Projects Fund 4
Notes to Combined Financial Statements 5
Independent Auditors' Report on the Redevelopment Agency of the City of Moorpark,
California's Compliance Based on the Audit of the Combined Financial Statements 12
Peat Marwick LLP
725 South Figueroa Street
Los Angeles, CA 90017
Independent Auditors' Report
The Honorable Board of Directors
Redevelopment Agency of
the City of Moorpark, California:
We have audited the accompanying combined financial statements of the Redevelopment Agency of the
City of Moorpark, California (Agency), a financial reporting component unit of the City of Moorpark,
California, as of and for the year ended June 30, 1998, as listed in the accompanying table of contents.
These combined financial statements are the responsibility of the Agency's management. Our
responsibility is to express an opinion on these combined financial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards. Those standards
require that we plan and perform the audit to obtain reasonable assurance about whether the combined
financial statements are free of material misstatement. An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the combined financial statements. An audit also
includes assessing the accounting principles used and significant estimates made by management, as well
as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable
basis for our opinion.
In our opinion, the combined financial statements referred to above present fairly, in all material respects,
the financial position of the Redevelopment Agency of the City of Moorpark, California as of June 30,
1998 and the results of its operations for the year then ended in conformity with generally accepted
accounting principles.
As discussed in note 3 of the notes to the financial statements, the City adopted the Governmental
Accounting Standards Board Statement No. 31, "Accounting and Financial Reporting for Certain
Investments and External Investment Pools," effective July 1, 1997.
-ki-m Cc .eat -1 c�cLXY.P
October 23, 1998
Member Firm o' KPMG Intomauo -1
Assets and Other Debits
Cash and investments (note 3)
Restricted cash and investments (note 3)
Accounts and interest receivable, net
Taxes receivable
Notes receivable
Land held for resale (notes 2 and 8)
Properly and equipment (note 4)
Amount available for debt service
Amount to be provided for retirement of general long -tern debt
Total assets and other debits
Liabilities, Fund Balances and
Other Credits
Liabilities:
Accounts payable and accrued liabilities
Compensated absences payable (note 5)
Advance from the City of Moorpark
Tax allocation bonds payable (note 5)
Total liabilities
Fund balances and other credits:
Investment in general fixed assets
Fund balances:
Reserved for receivables due after one year, net
Reserved for land held for resale (note 8)
Reserved for debt service (note 5)
Reserved for low /moderate income housing (note 6)
Reserved for encumbrances
Unreserved – designated for business incentives
Unreserved – designated for capital projects
Total fund balances and other credits
Total liabilities, fund balances and other credits
See accompanying notes to combined financial statements.
REDEVELOPMENT AGENCY OF
THE CITY OF MOORPARK, CALIIFORNIA
(A Component Unit of the City of Moorpark, California)
Combined Balance Sheet –
Governmental Fund Types and Account Groups
June 30, 1998
2
Governmental fund types
Account
General
groups
Special
Debt
ap to
Fixed Assets
Long -Term
Total
Revenue
Service
Projects
Account
Debt Account
(memorandum
Fund
Fund
Fund
Group
Group
only)
$ 1,194,455
—
8,316,494
—
—
9,510,949
834,293
—
—
834,293
152,518
11,428
294,713
—
—
458,659
—
—
8,182
—
—
8,182
1,500,000
—
—
3,833,464
—
—
3,833,464
—
—
1,500,000
—
—
—
1,151,080
—
1,151,080
—
—
—
—
845,721
845,721
—
—
—
—
15,346,771
15,346,771
$ 2,846,973
845,7211
12,452,853
1,151,08800
16,192,4492
33,489,119
$ 29,367
—
16,999
—
—
46,366
—
—
—
—
13,921
13,921
—
—
—
—
7,028,571
7,028,571
—
—
—
—
9,150,000
9,150,000
29,367
—
16,999
—
16,192,492
16,238,858
—
—
—
1,151,080
—
1,151,080
136,977
—
3,921,286
—
—
4,058,263
1,500,000
—
—
—
—
1,500,000
845,721
—
—
—
845,721
1,045,437
—
—
—
—
1,045,437
135,192
—
17,542
—
—
152,734
—
—
233,678
—
—
233,678
—
—
8,263,348
—
—
8,263,348
2,817,606
845,721
12,435,854
1,151,080
—
17,250,261
$ 2,8®
845,721,
12,452,853
1,1®
16,1192,492
33,489,119
2
See accompanying notes to combined financial statements.
3
REDEVELOPMENT AGENCY OF
THE CITY OF MOORPARK, CALIFORNIA
(A Component Unit of the City
of Moorpark, California)
Combined Statement
of Revenues, Expenditures and Changes in Fund Balances -
All Governmental
Fund Types
Year ended June 30, 1998
Governmental fund types
Special
Debt
Capital
Total
Revenue
Service
Projects
(memorandum
Fund
Fund
Fund
only)
Revenues:
Property taxes
$ -
-
1,574,393
1,574,393
Maintenance assessments
-
-
65,431
65,431
Charges for current services
-
-
114,030
114,030
Interest
58,336
80,935
431,630
570,901
Miscellaneous
122
-
21
143
Total revenues
58,458
80,935
2,185,505
2,324,898
Expenditures:
Current:
General government
-
-
497,369
497,369
Public services
64,790
-
-
64,790
Capital outlay
424
-
374,598
375,022
Debt service:
Principal retirement (note 5)
-
225,000
-
225,000
Interest and fiscal charges
-
550,294
493,410
1,043,704
Total expenditures
65,214
775,294
1,365,377
2,205,885
(Excess) deficiency of
revenues over
expenditures
(6,756)
(694,359)
820,128
119,013
Other financing sources (uses):
Operating transfers in
204,820
751,825
-
956,645
Operating transfers out
-
-
(956,645)
(956,645)
Advances from City (note 5)
47,064
-
678,305
725,369
Total other financing
sources
251,884
751,825
(278,340)
725,369
Excess of revenues and other
sources over expenditures
and other uses
245,128
57,466
541,788
844,382
Fund balances, July 1
2,572,478
788,255
11,894,066
15,254,799
Fund balances, June 30
$ 2,817,606
845,721
12,435,854
16,099,181
See accompanying notes to combined financial statements.
3
Revenues:
Property taxes
Charges for current services
Maintenance assessments
Interest
Miscellaneous
Total revenues
Expenditures:
Current:
General government
Public services
Capital outlay
Debt service- Interest
Total expenditures
Excess (deficiency) of revenues over
expenditures
Other financing sources (uses):
Operating transfers in
Operating transfers out
Advances from City (note 5)
Total other financing sources
Excess (deficiency) of revenues and
other sources over expenditures
and other uses
Fund balances, July I
Fund balances, June 30
REDEVELOPMENT AGENCY OF
THE CITY OF MOORPARK, CALIFORNIA
(A Component Unit of the City of Moorpark, California)
Statement of Revenues, Expenditures and Changes in
Fund Balances - Budget and Actual -
Special Revenue Fund and Capital Projects Fund
Year ended June 30, 1998
Special Revenue Fund
Capital Projects Fund
Total (memorandum only)
ar once -
favorable
ar once -
favorable
Variance -
Budget
Actual
(unfavorable)
Budget
Actual
(unfavorable)
Budget
Actual
favorable
favorable
$ -
-
--
-
1,312,347
1,574,393
262,046
1,312,347
1,574,393
262,046
-
-
107,424
114,030
6,606
107,424
114,030
6,006
38,000
58,336
20,336
-
-
65,431
431,630
65,431
431,630
38,000
65,431
489,966
65,431
451,966
-
122
122
-
21
21
-
143
143
38,000
58,458
20,458
1,419,771
2,185,505
765,734
1,457,771
2,243,963
786,192
673,703
64,790
608,913
442,532
-
497,369
(54,837)
442,532
497,369
(54,837)
650
-
424
226
145,608
374 „598
(228,990)
673,703
146,258
64,790
375,022
608,913
(228,764)
-
-
500,000
493,410
6,590
500,000
493,410
6,590
674,353
65,214
609,139
1,088,140
1,365,377
(277,237)
1,762,493
1,430,591
331,902
(636,353)
(6,756)
629,597
331,631
820,128
488,497
(304,722)
813,372
1,118,094
371,837
204,820
(167,017)
-
-
-
371,837
204,820
(167,017)
79,183
47,064
-
(32,119)
(1,104,286)
431,382
(956,645)
678,305
147,641
246,923
(1,104,286)
510,565
(956,645)
725,369
147,641
451,020
251,884
(199,136)
(672,904)
(278,340)
394,564
(221,884)
(26,456)
214,804
195,428
(185,333)
245,128
430,461
(341,273)
541,788
883,061
(526,606)
786,916
1,313,522
2,572,478
2,572,478
-
11,894,066
11,894,066
-
14,466,544
14,466,544
-
$ 2,3®
2,8®
430,461
11,5®
12,4®
883,061
13,939,938
15,253,460
1,313,522
See accompanying notes to combined financial statements.
4
REDEVELOPMENT AGENCY OF
THE CITY OF MOORPARK, CALIFORNIA
(A Component Unit of the City of Moorpark, California)
Notes to Combined Financial Statements
June 30, 1998
(1) Nature and Operations of the Agency
The Redevelopment Agency of the City of Moorpark, California (Agency) was created by the City of
Moorpark (City) City Council Ordinance No. 87, adopted on March 18, 1987. The City Council appointed
the Board of Directors and established bylaws of the Agency on May 20, 1987, by Resolution No. 87 -387.
The City Council sits as the Board of Directors of the Agency. The Agency was established pursuant to the
Community Redevelopment Law of the State of California Health and Safety Code.
For financial reporting purposes, the Agency is considered to be a component financial reporting unit of the
City; however, for operational and financing purposes, the Agency functions as a separate legal entity,
distinct from the City of Moorpark. In accordance with generally accepted accounting principles, the
financial activities of the Agency are included in the Annual Financial Report of the City of Moorpark
because of the financial and administrative oversight aspects of the City Council's involvement in the
Agency's activities.
(2) Summary of Significant Accounting Policies
(a) Funds and Account Groups
Each fund and account group is considered a separate accounting entity as discussed below:
• Special Revenue Fund — This fund is used to account for revenues derived from specific sources
that are usually required by law or administrative regulation to be accounted for in separate
funds.
• Debt Service Fund — This fund is used to account for the payment of interest and principal on its
long -term obligations. Principal sources of revenue for this fund are property taxes and
investment earnings.
• Capital Projects Fund — This fund is used to account for all revenues and expenditures which are
not accounted for by the Debt Service Fund and Special Revenue Fund, including acquisition of
properties, costs of site improvements and other costs of benefit to project areas and
administrative expenditures incurred in sustaining Agency activities.
• General Fixed Assets Account Group — This account group is used to account for property and
equipment purchased or received by the Agency.
• Long -Term Debt Account Group — This account group is used to account for the Agency's
outstanding long -term indebtedness in a separate self - balancing group of accounts.
(b) Basis of Accounting
The modified - accrual basis of accounting is followed by all funds of the Agency. Under the
modified - accrual basis, expenditures (other than interest and principal on long -term debt which is
recorded when due, unless paid early in a subsequent period) are recorded when the liability is
incurred, and revenues are recorded when received in cash unless susceptible to accrual (i.e.,
5 (Continued)
REDEVELOPMENT AGENCY OF
THE CITY OF MOORPARK, CALIFORNIA
(A Component Unit of the City of Moorpark, California)
Notes to Combined Financial Statements
June 30, 1998
measurable and available to finance the Agency's operations in the current period or of a material
amount and not received at the normal time of receipt). Revenues considered susceptible to accrual
include investment earnings and incremental property taxes.
(c) Budgetary Data
The Board of Directors approves each year's budget submitted by the Executive Director prior to the
beginning of the new fiscal year. Public hearings are conducted prior to its adoption by the Board of
Directors. Supplemental appropriations, where required during the period, are also approved by the
Board of Directors. In most cases, expenditures may not exceed appropriations at the function level.
At fiscal year -end, all operating budget appropriations lapse. Overall, budgets are adopted on a basis
consistent with generally accepted accounting principles (GAAP).
(d) Total (Memorandum Only) Columns
The combined financial statements include certain "memorandum only" totals which represent
mathematical summations of account totals by fund type and account group and do not reflect the
elimination of interfund transactions. Such totals are for information purposes only and do not
present consolidated financial information.
(e) Land Held for Resale
Land held for resale in the Low -and Moderate - Income Housing Special Revenue Fund represents
land purchased by the Agency for redevelopment projects. Such land is valued at the lower of cost or
estimated net realizable value (as determined by a disposition and development agreement between
the Agency and a developer) and has been offset by a reservation of fund balance to indicate that
assets constitute future capital projects and are not available spendable resources.
(fl Property and Equipment
General fixed assets are recorded as expenditures in the Governmental Fund Types at the time of
purchase. These assets are stated at cost in the General Fixed Assets Account Group. No
depreciation is provided on general fixed assets
(g) Property Taxes
The Agency receives incremental property taxes on property within its project area over a base -
assessed valuation on the date the project area was established.
The duties of assessing and collecting property taxes are performed by the Ventura County Assessor
and Tax Collector, respectively. Tax levies cover the period from July 1 to June 30 of each year. All
tax liens attach annually on the first day in March preceding the fiscal year for which the taxes are
levied. Taxes are levied on both real and personal property as it exists on that date.
6 (Continued)
REDEVELOPMENT AGENCY OF
THE CITY OF MOORPAW CALIFORNIA
(A Component Unit of the City of Moorpark, California)
Notes to Combined Financial Statements
June 30, 1998
Secured property taxes are levied against real property and are due and payable in two equal
installments. The first installment is due on November 1 and becomes delinquent if not paid by
December 10. The second installment is due on February 1 and becomes delinquent if not paid by
April 10. Unsecured personal property taxes are due on July 1 each year. These taxes become
delinquent if not paid by August 31.
The Agency records incremental property tax revenues in the fiscal year to which they are due rather
than at the related lien date. Delinquent property taxes at year -end (June 30), if any, are reserved to
the extent they are deemed to be uncollectible within 60 days thereafter.
(3) Cash and Investments
Effective July 1, 1997, the Agency adopted the provisions of GASB Statement No. 31, "Accounting and
Financial Reporting for Certain Investments and External Investment Pools." Implementation of this
statement requires governmental entities, including external investment pools, to report certain investments
at fair value in the balance sheet and recognize the corresponding change in the fair value of investments in
the year in which the change occurred. In accordance with GASB Statement No. 31, the Agency has stated
certain investments at fair value. At July 1, 1997, the cost of the Agency's investment portfolio
approximated fair value. Thus, no adjustment to the Agency's beginning fund balances to properly
implement the statement was required.
At June 30, 1998, the Agency's investments are stated at fair value. The Agency's cash, investments and
restricted cash and investments consist primarily of investments in the State Treasurer's Local Agency
Investment Fund, certificates of deposit and other money market investments. Interest income earned on
cash and investments is allocated to the various funds based on each fund's average cash and investment
balance.
(a) Cash and Investments with Fiscal Agent
The Agency's funds are also held by trustees or fiscal agents and pledged to the payment or security
of certain bonds. The California Government Code provides that these monies, unless otherwise
required by statute, may be invested in accordance with the ordinances, resolutions or indentures
which specify the types of investments the trustees or fiscal agents may make.
(b) Cash and Investments
Cash and nonnegotiable certificates of deposit are classified in three categories of custodial risk as
follows:
• Category 1 — Insured or collateralized with securities held by the entity or by its agent in the
entity's name
• Category 2 — Collateralized with securities held by pledging financial institution's trust
department or agent in the entity's name
• Category 3 — Uninsured and uncollateralized.
7 (Continued)
REDEVELOPMENT AGENCY OF
THE CITY OF MOORPARK, CALIFORNIA
(A Component Unit of the City of Moorpark, California)
Notes to Combined Financial Statements
June 30, 1998
Investments are also classified in three categories of custodial risk as follows:
• Category 1 — Insured or registered, or securities held by the entity or its agent in the entity's
name
• Category 2 — Uninsured and unregistered, with securities held by the counterparty's trust
department or agent in the entity's name
• Category 3 — Uninsured and unregistered, with securities held by the counterparty, or by its trust
department or agent but not in the entity's name. Investments in pools managed by other
governments or in mutual funds are not required to be categorized.
The Agency's investments at June 30, 1998 are categorized in the following table:
Carrying
Bank amount at
Description Category 1 Category 2 Category 3 balance fair value
Cash $ 569,887 — — 569,887 401,513
Investments held in trust by fiscal agents on behalf of
the Agency (restricted assets) — investment
agreement — — 834,293 834,293 834,293
Investments not required to be categorized — State
Treasurer's Local Agency Investment Fund* — — — 9,109,436 9,109,436
Total cash and investments $ 569,887 — 834,293 10,513,616 10,345,242
* Not required to be categorized.
(4) Property and Equipment
A summary of changes in general fined assets during the year ended June 30, 1998 is as follows:
Land
Building and structures
Equipment
Balance,
July 1,1997
$ 1,051,409
78,558
17,569
$ 1,147,536
8
Additions
3,544
3,544
Deletions
Balance,
June 30, 1998
1,051,409
78,558
21,113
1,151,080
(Continued)
REDEVELOPMENT AGENCY OF
THE CITY OF MOORPAR& CALIFORNIA
(A Component Unit of the City of Moorpark, California)
Notes to Combined Financial Statements
June 30, 1998
(5) Long -Term Debt
The following is a summary of changes in the Agency's long -term debt account group during the year
ended June 30, 1998:
Balance,
Balance,
July 1,1997
Additions Deletions June 30, 1998
Employee compensated
absences payable $ 17,825
— 3,904 13,921
Tax Allocation Bonds 9,375,000
— 225,000 9,150,000
Advances from the City 6,303,202
725,371 — 7,028,571
$ 15,696,027
725,371 228,904 16,192,492
Tax Allocation Bonds are secured by all tax increment revenue which is deposited directly with the fiscal
agent and recorded in the Debt Service Fund.
Cash and investments in the custody of the fiscal agent are
restricted by the bond resolutions for payment
of principal and interest on the Tax Allocation Bonds. In
addition, the bond resolutions require retention of funds held by the fiscal agent prior to use for other than
debt service.
The Agency is in compliance with the covenants contained in debt indentures, which require the
establishment of certain specific accounts for the Tax Allocation Bonds.
(a) Employee Compensated Absences Payable
In accordance with generally accepted accounting principles, the Agency recognizes the long -term
portion of accumulated employee compensated absences in the Long -Term Debt Account Group.
(b) 1993 Tax Allocation Bonds
In June 1993, the Agency issued $10,000,000 aggregate principal amount of the Agency's Moorpark
Redevelopment Project, 1993 Tax Allocation Bonds (the Bonds). The purpose of the Bonds was to
finance a portion of the costs of implementing the Redevelopment Plan, including the redevelopment
of low -and moderate - income housing projects. The Bonds bear interest at rates ranging from 3.30%
to 6.00% per annum, payable semiannually on April 1 and October 1 of each year commencing on
October 1, 1993 and are subject to mandatory sinking fund redemption commencing on October 1,
2008 and on each October 1 thereafter. The Bonds are payable from and secured by the tax revenues
to be derived from the project area.
9 (Continued)
REDEVELOPMENT AGENCY OF
THE CITY OF MOORPARK, CALIFORNIA
(A Component Unit of the City of Moorpark, California)
Notes to Combined Financial Statements
June 30, 1998
The Bonds are subject to optional redemption on any interest payment date on or after October 1,
2003, by lot within a maturity, at the option of the Agency at a redemption price equal to the
principal amount to be redeemed together with accrued interest to the redemption date (expressed as
a percentage of the principal amount of Bonds to be redeemed) as follows:
Redemption
Redemption dates price
October 1, 2003 102%
October 1, 2004 101
October 1, 2005 and thereafter 100
A reserve fund is required to be maintained in an amount equal to the lesser of (i) the maximum
annual debt service ($788,200) or (ii) the maximum amount permitted to be deposited in the Debt
Service Reserve Account ($1,000,000). The balance of the reserve fund at June 30, 1998 is
$834,293.
Debt service payments on the 1993 Tax Allocation Bonds payable will be made from the Debt
Service Fund. Annual debt service requirements to maturity are as follows:
Fiscal year
Principal
Interest
1998 -1999
$ 240,000
539,239
1999 -2000
250,000
526,984
2000 -2001
260,000
513,784
2001 -2002
275,000
499,534
2002 -2003
290,000
484,061
Thereafter
7,835,000
4,430,102
Total
debt service
779,239
776,984
773,784
774,534
774,061
12,265,102
Total $ 9,150,000 6,993,704 16,143,704
(c) Advances from the City of Moorpark
The City of Moorpark, through its general fund, has paid for services and start-up expenditures
incurred by the Agency. Amounts advanced by the City to the Agency during the fiscal year ended
June 30, 1998 totaled $725,370 and is due over an indeterminate period of time and accrues interest
at 10 %. During the 1994 fiscal year, the City also advanced $3.5 million to the Agency which the
Agency used, together with $1.5 million of Low -and Moderate - Housing Funds and $.5 million of
City Park Development Funds, to purchase certain properties within the Agency's redevelopment
project area. This advance also accrues interest at 10% and is to be repaid over an indeterminate
period. The balance of advances from the General Fund totaled $7,028,571 at June 30, 1998.
10 (Continued)
REDEVELOPMENT AGENCY OF
THE CITY OF MOORPAW CALIFORNIA
(A Component Unit of the City of Moorpark, California)
Notes to Combined Financial Statements
June 30, 1998
(6) Low - and - Moderate- Income Housing Set Aside
The California Health and Safety Code Section 33334.2 requires a redevelopment agency to use at least
20% of tax increment revenues generated by a redevelopment project area to increase and improve the
supply of low- and - moderate- income housing in the community. Accordingly, the Agency's unspent
commitment for its low- and - moderate - income housing program amounted to $1,045,437 and has been
reflected as a reservation of fund balance in the Agency's Special Revenue Fund.
(7) Pass - Through Agreements
The Agency has entered into agreements with various governmental agencies to pass through a portion of
tax increment received in the project area. Such transactions are recorded within the Agency's special
revenue fund. The various agencies and the tax increment passed through to those agencies for the year
ended June 30, 1998 are as follows:
Ventura County Superintendent of Schools $ 1,847
Moorpark Mosquito Abatement District 23,637
Moorpark Unified School District 124,637
Ventura County Community College District 18,103
$ 168,224
In addition, the Agency was not subject to transfer any tax increment to the State's Education Revenue
Augmentation Fund (ERAF) for the year ended June 30, 1998.
(8) Land Held For Resale
The following is a summary of changes in land held for resale during the year ended June 30, 1997:
Balance,
July 1, 1997 Additions
Special Revenue Fund $ 1,500,000 —
11
Deletions
Balance,
June 30,1998
of I##
Peat Marwick LLP
725 South Figueroa Street
Los Angeles, CA 90017
Independent Auditors' Report on the Redevelopment Agency
of the City of Moorpark, California's Compliance Based
on the Audit of the Combined Financial Statements
The Honorable Board of Directors
Redevelopment Agency of
the City of Moorpark, California:
We have audited the combined financial statements of the Redevelopment Agency of the City of
Moorpark, California (Agency), a financial reporting component unit of the City of Moorpark, California,
as of and for the year ended June 30, 1998 and have issued our report thereon, dated October 28, 1997.
We conducted our audit in accordance with generally accepted auditing standards. Those standards
require that we plan and perform the audit to obtain reasonable assurance about whether the combined
financial statements are free of material misstatement.
Compliance with laws and regulations applicable to the Agency is the responsibility of the Agency's
management. As part of obtaining reasonable assurance about whether the combined financial statements
are free of material misstatement, we performed tests of the Agency's compliance with provisions of laws
and regulations contained in the Guidelines for Compliance Audits of California Redevelopment Agencies
issued by the State Controller's Office, Division of Local Government Fiscal Affairs.
The results of our tests indicated that, with respect to the items tested, the Agency complied, in all material
respects, with the provisions referred to in the preceding paragraph. With respect to items not tested,
nothing came to our attention that caused us to believe that the Agency had not complied, in all material
respects, with those provisions.
This report is intended for the information of the Board of Directors and management of the Agency and
the State Controller's Office. However, this report is a matter of public record and its distribution is not
limited.
October 23, 1998
12
Ki—ber F rm of K WG 'n'.ernancn)I
Cc �.ewt
MOORPARK REDEVELOPMENT
AGENDA REPORT
TO: Honorable Board of Directors
ITEM
(.7 rY O 1,100RP, RK2 CALTFO%NIA
RC13'N2 ft,)men4.9,genryMeeting
of ... ° .' -_" —5101
ACTi»Y. :- App'oved ----+c,*
r�comm2r.dat�cn r cidop4ed
2esof�fion �'►o• Gq -'Tg
AG
BY: i� c arzo�
FROM: John E. Nowak, Assistant Executive Director 94,
DATE: 04 February 1999 (Agency Meeting of 02- 17 -99)
SUBJECT: Consider Resolution No. 99- Amending the
Redevelopment Agency's Annual Budget related to
expenditures for Accounting Software purchase
Adjustments for the City's Gas Tax Audit.
BACKGROUND: On December 16, 1998 the City Council reviewed
findings from the City's Gas Tax Audit by the State
Controller's Office which required some reimbursements to
the Gas Tax fund. On January 20, 1999 the City Council
approved the purchase of an accounting software package
which called for an additional appropriation from the
Redevelopment fund.
DISCUSSION: At its December 16, 1998 the City Council
addressed findings related to the City's Gas Tax audit and
agreed to reimburse the Gas Tax fund from various sources.
One source was the Redevelopment Agency fund and called for
a total of $11,268 to be transferred from the Redevelopment
Agency reserves to the City's Gas Tax fund.
At its January 20, 1999 meeting the City Council approved
the acquisition of an accounting software package and
related equipment that required an additional appropriation
from the Redevelopment Agency fund in the amount of $8,000.
The Agency's concurrence in these actions is requested by
the approval of the budget amendment resolution.
00004l
Agency Budget Amendment
Meeting of 17 February 1999
Page 02
RECOMMENDATION: (ROLL CALL VOTE)
Staff recommends the Redevelopment Agency Board of
Directors adopt Resolution No. 99- approving an
amendment to the FY 1998/99 Agency budget related to the
City Gas Tax audit and the purchase of accounting software.
Attached: Resolution No. 99-
o®Qo'01
RESOLUTION NO. 99-
A RESOLUTION OF THE CITY OF MOORPARK
REDEVELOPMENT AGENCY, CALIFORNIA, AMENDING THE FY
1998/99 BUDGET TO APPROPRIATE RESERVE FUNDS FOR
PURCHASE OF FINANCIAL ACCOUNTING SOFTWARE AND TO
RESOLVE GAS TAX AUDIT FINDINGS.
WHEREAS, on July 15 1998 the Redevelopment Agency
Board of Directors adopted the Budget for Fiscal Year 1998-
1999; and
WHEREAS, on December 16, 1998 a staff report has been
presented to the City Council describing findings from the
annual State Gas Tax Audit; and
WHEREAS, the City Council identified $11,268 to be
allocated from the Redevelopment Agency Reserves to fund
expenditures made with Gas Tax funds; and
WHEREAS, on January 20, 1999 the City Council awarded
a bid for financial accounting software and related
expenses, and identified an additional $8,000 to be funded
from the Redevelopment Agency; and
WHEREAS, the Moorpark Redevelopment Agency Board of
Directors concurs with the expenditures from the Agency
funds for the above mentioned purposes and agrees to a
budget amendment to effectuate the funding; and
WHEREAS, Exhibit "A" hereto describes said budget
amendment and resultant impacts to the current budget.
NOW, THEREFORE, THE BOARD OF DIRECTORS OF THE CITY OF
MOORPARK REDEVELOPMENT AGENCY DOES HEREBY RESOLVE AS
FOLLOWS:
SECTION 1. A budget amendment in the amount of
$11,268 be appropriated from the Agency's Reserve Fund to
the City Gas Tax Fund, as more particularly described in
Exhibit "A" attached hereto and made a part hereof.
SECTION 2. A budget amendment in the amount of
$8,000 be appropriated from the Agency's Reserve Fund for
00004
Resolution No. 99-
Page 02
costs related to the acquisition of financial accounting
software and related items.
PASSED AND APPROVED this 17th day of February 1999.
ATTEST:
Deborah S. Traffenstedt, Secretary
Patrick Hunter, Chairman
()00044
Resolution No. 99 -
Exhibit "A"
BUDGET AMENDMENT DETAIL
SECTION 1. Redevelopment Aqencv Fund Balance
FUND
USE
ACCOUNT NUMBER
AMOUNT
Redevelopment
To fund
410.000.0000.000.5101
$(11,268)
Agency
expenditures
Unreserved
made with Gas
Fund Balance
Tax Monies
Redevelopment
To fund new
410.000.0000.000.5101
$(8,000)
Agency
accounting
Unreserved
software
Fund Balance
TOTAL
SECTION 2. Gas Tax
FUND
ACCOUNT NUMBER
AMOUNT
Gas Tax Miscelaneous
Revenues
240.801.1057.000.3509
$11,268
TOTAL
$11,268
SECTION 3. Computer Hardware
FUND
ACCOUNT NUMBER
AMOUNT
Redevelopment Agency
410.510.0000.000.9199
$8,000
TOTAL
$8,000
0®004'!]'