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Home My WebLink AboutAGENDA REPORT 2011 1019 CC REG ITEM 10H ITEM 10.H. i-1.13ORPS'Ah.C.41 ._ city council ioeetint} MOORPARK CITY COUNCIL a�T�°": � - AGENDA REPORT /` _ To: Honorable City Council From: David C. Moe II, Redevelopment Manager ')� 41— Date: October 4, 2011 (CC Meeting of 10/19111) Subject: Consider Resolution Amending the Fiscal Year 2011/2012 Budget Allocating Funds to Complete Several Redevelopment Agency Projects Halted Due to the California Supreme Court Issued Stay and Properly Maintain Former Agency Properties until March 31, 2012 BACKGROUND On Monday, January 10, 2011, Governor Brown released his Fiscal Year 2011-12 State budget proposal. It included a proposal to eliminate redevelopment agencies. On June 29, 2011, the Governor signed Assembly Bill (AB)X1 26 eliminating redevelopment agencies and ABX1 27 which allows cities to resurrect their redevelopment agencies for a large payment in Fiscal Year 2011-12 and by continuing payments for the life of the agency. On February 2, 2011, the Redevelopment Agency of the City of Moorpark ("Agency") Board of Directors and the City of Moorpark ("City") City Council approved an option agreement that allows the City to purchase the Agency's land held for resale. The intent of the option agreement was to allow completion of planned Agency activities consistent with the Five-Year Implementation Plan. These activities include affordable housing and economic development objectives that could not be accomplished without the acquisition and public ownership of the land. The activities, when completed, would return the land to private ownership or hold it for general public benefit such as street widening, parking facilities, and parks. DISCUSSION The City exercised its option to purchase the Agency's land held for resale on July 6, 2011. Funding is now needed to remove improvements on property located at 780 Walnut Street, 124 First Street, 450 High Street, and any further miscellaneous demolition activities that may be needed, buy appliances and complete landscaping for the First Time Home Buyer program house located at 81 First Street, fund the General 231 Honorable City Council October 19, 2011 Page 2 Manager's contract for High Street Arts Center and partial FY 2010/11 advertising expenses; and remove weeds and conduct maintenance activities on various properties. Staff is requesting $222,900.00 to complete the activities mentioned above. Of the total amount requested, $98,750.00 would be funded by the City Affordable Housing Fund (2201) and $124,150.00 would be funded from the General Fund (1000). This funding would complete several Agency projects that were halted due to the California Supreme Court issued stay and allow the City to properly maintain the former Agency properties until March 31, 2012. The California Supreme Court is expecting to rule on the CRA v. Matosantos lawsuit on January 15, 2012. Staff is proposing to include additional funding to provide sufficient funds to maintain the properties until March 31, 2012, in case the California Supreme Court fails to make a decision by January 15, 2012. Staff intends to use Agency funds to repay the City $222,900.00 plus the LAIF rate once the California Supreme Court makes a decision on the lawsuit. FISCAL IMPACT A budget amendment in the amount of $222,900.00 is needed to complete the activities mentioned in the staff report. Of the total amount requested, $98,750.00 would be funded by the City Affordable Housing Fund (2201) and $124,150.00 would be funded from the General Fund (1000). Staff intends to use Agency funds to repay the City $222,900.00 plus the LAIF rate once the California Supreme Court makes a decision on the lawsuit. STAFF RECOMMENDATION (ROLL CALL VOTE REQUIRED) Adopt Resolution No. 2011 - amending the Fiscal Year 2011/12 budget and authorizing City funding to complete several Agency projects that were halted due to the California Supreme Court issued stay and to properly maintain the former Agency properties until March 31, 2012. Attachment "A" Resolution No. 2011 - 232 ATTACHMENT A RESOLUTION NO. 2011 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MOORPARK, CALIFORNIA, AMENDING THE FISCAL YEAR 2011/2012 BUDGET BY APPROPRIATING $124,150.00 FROM THE GENERAL FUND (1000) AND $98,750.00 FROM THE CITY AFFORDABLE HOUSING FUND (2201) TO COMPLETE SEVERAL REDEVELOPMENT AGENCY PROJECTS WHEREAS, on June 15, 2011, the City Council adopted the Operating and Capital Improvement Projects Budget for Fiscal Year 2011/2012; and WHEREAS, on February 2, 2011, the Redevelopment Agency of the City of Moorpark (Agency) Board of Directors and the City of Moorpark (City) City Council approved an option agreement granting the City an option to purchase all property owned by the Agency; and WHEREAS, Governor Brown signed ABX1 26 and ABX1 27 on June 29, 2011, eliminating redevelopment agencies throughout California and allowing cities to participate in a voluntary redevelopment program; and WHEREAS, on July 6, 2011, the City elected to exercise its option to purchase all property owned by the Agency; and WHEREAS, the former properties of the Agency transferred to the City require maintenance, removal of improvements, and general management services, and WHEREAS, the adopted budget does not include funding to maintain, remove improvements, and general management services (High Street Arts Center) for the properties transferred to the City; and WHEREAS, an aggregate budget increase of $222,900.00 is required, $124,150.00 from the General Fund (1000) and $98,750.00 from the City Affordable Housing Fund (2201), to continue the operations and improvements to these properties; and WHEREAS, Exhibit "A", attached hereto and made a part hereof, describes said budget amendments and the resultant impacts to the budget line items. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF MOORPARK DOES HEREBY RESOLVE AS FOLLOWS: SECTION 1. A budget amendment in the amount of $124,150.00 from the General Fund (1000) and $98,750.00 from the City Affordable Housing Fund (2201), as more particularly described in Exhibit "A", attached hereto, is hereby approved to 233 Resolution No. 2011 — Page 2 provide funding for maintenance, removal of improvements and general management services for the properties transferred to the City of Moorpark. SECTION 2. The City Clerk shall certify to the adoption of this resolution and shall cause a certified resolution to be filed in the book of original Resolutions. PASSED AND ADOPTED this 19th day of October, 2011. Janice S. Parvin, Mayor ATTEST: Maureen Benson, City Clerk Attachment: Exhibit A— Budget Amendment 234 EXHIBIT A BUDGET AMENDMENT FOR Allocation of Funds from General Fund(1000)and City Affordable Housing Fund(2201) to Cover Various Expenses Previously Paid for with Redevelopment Funds FUND ALLOCATION FROM: Fund Account Number Amount City Affordable Housing 2201 2201-5500 $ 98,750 00 Net General Fund 1000 1000-5500 $ 124.150.00 Total $ 222,900 00 DISTRIBUTION OF APPROPRIATION TO EXPENSE ACCOUNTS: Project Account Number Current Budget Revision Amended Budget 1063 Walnut Canyon 2201.2420 5054 9252 $ $ 1,10000 $ 1,100.00 1073 Walnut Canyon 2201.2420 5055.9252 $ $ 1,100.00 $ 1,100.00 1095 Walnut Canyon 2201 2420.5042.9252 $ $ 1,10000 $ 1,100.00 1113 Walnut Canyon 2201 2420.5041 9252 $ $ 1,100.00 $ 1,100.00 1123 Walnut Canyon 2201 2420 5058 9252 $ $ 1,100.00 $ 1,10000 1293 Walnut Canyon 2201.2420 5049.9252 $ $ 1,100.00 $ 1,10000 1331 Walnut Canyon 2201.2420 5050.9252 $ $ 1,10000 $ 1,100.00 282 E. Los Angeles/Fremoni 2201 2420.5066.9252 $ $ 1,500.00 $ 1,500.00 780 Walnut Street 2201 2420.5060 9252 $ $ 500.00 $ 500.00 765 Walnut Street 2201.2420 5070 9252 $ $ 2,00000 $ 2,000.00 81 Charles Street 2201.2420 5028.9252 $ $ 650.00 $ 650.00 Spring/Charles 220124205051.9252 $ $ 1,100.00 $ 1,100.00 81 First Street 2201 2420.5029.9252 $ $ 4,000.00 $ 4,000.00 81 First Street 2201 2420.5029 9613 $ $ 16,000.00 $ 16,000.00 112 First Street 2201.2420.5082.9252 $ $ 500.00 $ 50000 124 First Street 2201.2420 5083.9252 $ $ 500.00 $ 500.00 124 First Street 2201 2420 5083.9611 $ $ 13,750.00 $ 13,750.00 780 Walnut Street 2201 2420.5060.9611 $ $ 11,250.00 $ 11 250.00 FTHB Advertising 2201.2420 5025 9234 $ $ 3,000.00 $ 3,000.00 FTHB Translation Svcs 2201.2420 5025 9102 $ $ 1,200.00 $ 1,200.00 250 Los Angeles Ave 2201.2420.5065.9331 $ $ 1,100.00 $ 1,100.00 798 Moorpark Ave. 2201 2420.5071.9331 $ $ 1,50000 $ 1,500.00 798 Moorpark Ave 2201 2420.5071.9252 $ $ 500.00 $ 500.00 782 Moorpark Ave. 2201.2420 5072.9331 $ $ 1,50000 $ 1,50000 782 Moorpark Ave. 2201.2420.5072.9252 $ $ 500.00 $ 500.00 Misc Demolition Activities 2201 2420 0000 9611 $ $ 30,000.00 $ 30,000.00 Sub-Total $ $ 98,750.00 $ 98 750.00 Project Account Number Current Budget Revision Amended Bud et 347 Moorpark Ave 1000 2410.5073.9252 $ $ 1,10000 $ 1,100.00 467 High Street 1000 2410.5064.9252 $ $ 1,10000 $ 1,100.00 15404 Princeton Ave. 1000.2410.5078.9252 $ - $ 31,100.00 $ 31,100 00 192 Hi h Street 1000.2410.5038.9252 $ $ 1,00000 $ 1,00000 661 Moorpark Ave&2nd lot 1000.2410.5074.9252 $ $ 1,10000 $ 1,10000 661 Moorpark Ave&2nd lot 1000 241&5074 9331 $ $ 1,500.00 $ 1,50000 675 Moorpark Ave. 1000.2410 5075.9252 $ $ 600.00 $ 600.00 Cal Trans Yard 1000.2410.5063.9252 $ $ 1,10000 $ 1.10000 18 High Street 1000 2410 5079 9331 $ $ 850.00 $ 850.00 Second Street Demolition 11000 2410 5081.9611 $ $ 15,000.00 $ 15,000.00 Urban Futures/AB 26/27 11000 2410.0000 9103 $ $ 50000 1 $ 500.00 235 Project Account Number Current Budget Revision Amended Budget 33 High Street landscape 1000 2410 5040 9331 $ $ 1,50000 $ 1,50000 33 High Street maintenance 1000 2410 5040 9252 $ $ 2,000.00 $ 2.00000 450 High Street maintenanci 1000 2410.5084 9252 $ $ 500.00 $ 500.00 450 High Street demolition 1000 2410.5084 9611 $ $ 30,000.00 $ 30,000.00 HSAC advertising J&H) 1000 2610 5044 9234 $ $ 200.00 $ 20000 Ken Ra zor Sound Design 11000.2610 0000.9102 $ $ 35,000.00 $ 35,000 00 Sub-Total $ $ 124,150 00 $ 124,150 00 Approved as to form 236