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HomeMy WebLinkAbout11/5/2015 - RESOLUTIONS - 038 RESOLUTION NO. 038 A RESOLUTION OF THE OVERSIGHT BOARD OF THE SUCCESSOR AGENCY TO THE PALM SPRINGS COMMUNITY REDEVELOPMENT AGENCY REAFFIRMING AND APPROVING THE SALE OF THE CONVENTION CENTER NORTH PARKING LOT, IDENTIFIED AS PROPERTY NO. 4 ON THE LONG RANGE PROPERTY MANAGEMENT PLAN, (APN 508-034-012, 508-034-013, 508-034-014) TO THE CITY OF PALM SPRINGS IN THE AMOUNT OF $2,211,896. The Oversight Board of the Successor Agency to the Palm Springs Community Redevelopment Agency finds: A. The Successor Agency for the Palm Springs Community Redevelopment Agency received its finding of completion from the California Department of Finance on January 2, 2014, pursuant to the Dissolution Act. B. On May 8, 2014, the Oversight Board adopted Resolution No. 25, approving the sale of the Convention Center North Parking Lot to the City of Palm Springs in the amount of $2,211,896, pursuant to the approved Long Range Property Management Plan. C. On May 15, 2014, the California Department of Finance approved the Oversight Board adoption of Resolution No. 25. D. A new Notice of Public Meeting pursuant to the sale was posted on October 22, 2015, pursuant to California Health and Safety Code Section 34181. F. The Oversight Board conducted a duly noticed meeting on November 5, 2015, for the purpose of considering the sale of the Convention Center North Parking Lot, and received and reviewed supplemental information, supporting the value of the land sale previously approved in Resolution No. 25, including the following: 1. The City of Palm Springs purchased the property in 1991 in the amount of $2,405,000. 2. In 2007 the City transferred the property to the Redevelopment Agency for $4,675,000, and the Agency provided the City with a note payable. 3. In 2011 the property was transferred to the City and the note payable was cancelled, exhausted, and forgiven, the Agency was not required to repay any principle. However, from 2007 and 2011 the Agency paid the City $716,000 in interest on the note. Resolution No. 038 Page 2 4. In implementing the Redevelopment Dissolution Act, the California Department of Finance disallowed the transfer of the property to the City, (pursuant to HRC Section 34181) and it remained property of the Agency, even though the Agency never paid for the property. 5. In July, 2006 the property was appraised for $4,675,000; in December, 2011, the property was appraised for $2, 773,000, and in February of 2014, the property was appraised for $3,400,000. 6. Prior to the Redevelopment Dissolution Act, the City had entered into a Development Agreement for the subject property. 7. The City intends to purchase the property from the Successor Agency in the amount of $2,211,896, as valued in the Long Range Property Management Plan, and subsequently sell the property to the Developer in the amount of $2,000,000. G. The sale of the property to the City, coupled with the City's sale of the property to the Developer for redevelopment purposes is consistent with the Redevelopment Dissolution Act and traditional redevelopment activities. As public parking the property does not generate tax revenue for any of the affected taxing agencies. As the proposed hotel resort development the City has estimated tax revenue of $1,450,000 annually that will be shared among the affected taxing agencies, with a twenty-year projected tax revenue to be shared by all taxing agencies of $29,000,000, and will therefore provide the maximum value and benefit to all affected taxing agencies. NOW, THEREFORE, BE IT RESOLVED BY THE OVERSIGHT BOARD OF THE SUCCESSOR AGENCY OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF PALM SPRINGS AS FOLLOWS: SECTION 1. The Oversight Board hereby finds and determines that the foregoing recitals are true and correct, and incorporates them herein by reference. SECTION 2. The Oversight Board affirms its previous finding and action, on May 15, 2014, and the adoption of Resolution No. 25. SECTION 3. All legal prerequisites to the adoption of this Resolution have been satisfied. SECTION 4. The Oversight Board approves the sale of Property No. 4 in the Long Range Property Management Plan, the Convention Center North Parking Lot, to the City of Palm Springs for the value established in the Plan in the amount of $2,211,896. Resolution No. 038 Page 3 SECTION 5. At such time as the Successor Agency receives proceeds from the sale of the property, the Successor Agency shall comply with applicable statutes regarding the distribution of these proceeds to the County Auditor Controller for dissemination to the affected taxing agencies. SECTION 6. This Resolution shall become effective in accordance with California Health and Safety Code Section 34179(h), which authorizes the California Department of Finance to review all actions taken by the Oversight Board. PASSED, APPROVED AND ADOPTED BY THE SUCCESSOR AGENCY TO THE PALM SPRINGS COMMUNITY REDEVELOPMENT AGENCY ON THIS 5T" DAY OF NOVEMBER, 2015. 1 LISA HOWEL HAIR ATTEST: mes Thompson, Clerk/Secretary Resolution No. 038 Page 3 CERTIFICATION STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss. CITY OF PALM SPRINGS ) I, James Thompson, Clerk/Secretary of the Oversight Board of the Successor Agency of the Palm Springs Community Redevelopment Agency hereby certify that Resolution No. 038 was adopted by the Oversight Board at a Special Meeting held on the 5t" of November, 2015, and that the same was adopted by the following vote: AYES: Board Members Arthur, Ready, Vice Chair Van Horn, and Chair Howell. NOES: None. ABSENT: Board Members Foat, Marshall. ABSTAIN: None. ES THOMPSON, CITY CLERK 'City of Palm Springs, California Oversight Board Clerk/Secretary