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Home My WebLink About10/20/1999 - STAFF REPORTS (21) RESOLUTIONNO. 19573 OF THE CITY OF PALM SPRINGS. CALIFORNIA, APPROVING A LOAN TO THE COMMUNITY REDEVELOPMENT AGENCY IN THE AMOUNT OF SDLTY THOUSAND DOLLARS ($60,000) FOR SITE ACQUISITION COSTS BY UNSU DEVELOPMENT COMPANY,L.L.C. WHEREAS,the Comturnityltedevelopment Agency ofthe City offtrn Springs,California("Agency) is constituted under the Community Redevelopment Law(California Health and Safety Code Section 33000 et. seq.)to carry out the purpose as the redevelopment agency in the City ofPalm Springs ("Ciw);and WHEREAS,on December 13, 1995,the Conaramby Redevelopment Agency entered into an Owner Participation Agreement with Lirw Development Company,LLC("Project');and WHEREAS,on December 14, 1996,the Community Redevelopment Agency approved the First Amendment to the Owner Participation Agreement with Linsu Development Company,LLC;and WHEREAS,pursuant to California Health and Safety Code Sections 33132 and 33601,the Agency is authorized to borrow money from other public agencies to fu166 its obligations;and WHEREAS,the Agency shall execute a"Financing Agreement and Promissory Note"m the amount of SIXTY THOUSAND DOLLARS($60,000);and WHEREAS,the Agency has considered all the information,testimony and evidence provided during the public hearings on December 13, 1995 and December 4, 1996. NOW,THEREFORE,BE IT RESOLVED by the City of Palm Springs that a loan for SD(TY THOUSAND DOLLARS($60,000)from the City of Palm Springs to the Community Redevelopment Agency to reimburse Linsu Development Company,L.L.C.for site acquisition costs is hereby approved in the form of an"Agreement and Promissory Note,"as on file in the Office of the City Clerk,and shall accrue interest at the rate of 6%per annum and be repayable from net tax increment accrued from the Proje ADOPTED this 20th day of October , 1999. ,AYES: Members Barnes, Hodges Reller-Spurgin and Mayor Kfeindi ne st NOES: None ABSEUr, Member Oden ATTEST: CITY OF PALM SPRINGS, CALIFORNIA A Municipal Corporation By city Clerk City Manna REVIEWED&APPROVED •�i RESOLUTION NO. 19674 OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, AMENDING THE BUDGET FOR THE 1999-00 FISCAL YEAR. WHEREAS Resolution 19541, approving the budget for the fiscal year 1999-00 was adopted on June 16, 1999; and WHEREAS the City Manager has recommended, and the City Council desires to approve, certain amendments to said budget; NOW THEREFORE BE IT RESOLVED that the Director of Finance is authorized to record inter-fund cash transfers as required in accordance with this Resolution, and that Resolution 19541, adopting the budget for the 1999-00 fiscal year is hereby amended as follows: SECTION 1. ADDITIONS FUND Activity Account Amount No. 803 8183 65120 Title: $60,000 North Palm North Palm Cnyn. Desert Shadows Canyon Project Project OPA Purpose: Reimbursement of property acquisition costs, per OPA. SECTION 2. SOURCE City loan to be repaid at 68 interest. FUND Activity Account Amount No. 001 12416 $60,000 Title: General CRA Loans Fund Receivable Adopted this 20th day of OctnhPr , 1999. AYES: Members Barnes, Hodges, Reller-Spurgin and Mayor Kleindienst NOES: None ABSENT: Member Oaen ATTEST: CITY OF PALM SPRINGS, CALIFORNIA gy C ty Clerk City Mager REVIEWED AND APPROVED AS TO FORM CRA - Financing Agr & Promissory Note AGREEMENT #4169 - R1086, #397C R19673, 10-20-99 related FINANCING AGREEMENT AND PROMISSORY NMM -- -- THIS FINANCING AGREEMENT PROMISS ("Agreement") made and entered into this(day O N of , 19 ("Effective Date") , by and between the CITY OF PALM SPRINGS ("City") , and the COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF PALM SPRINGS ("Agency") . R Z Q i I A L A A. City is a municipal corporation and a charter city of the State of California. B. Agency is a public body, corporate and politic, organized and existing under the California Community Redevelopment Law (Health & Safety Code S33000 et sec. ("CRL") , C. City is authorized by the CRL to provide financial assistance to the Agency, including in the form of a loan, and Agency is authorized by the CRL to obtain loans from the City. D. City and Agency mutually desire to enter into this Agreement to effect a loan from the City to the Agency on the terms hereinafter provided. NOW, THEREFORE, in consideration of the mutual covenants and promises hereinafter contained, and for good and valuable consideration, the sufficiency and receipt of which are hereby acknowledge, City and Agency agree as follows: 1. City Loan: Interest Rate. City'hereby loans to Agency the principal amount of SIXTY THOUSAND Dollars ($60,000.00) ("Loan Principal") . Interest shall accrue on the outstanding Loan Principal at the rate of six percent (6%) per annum from and after the Effective Date. Interest shall be compounded annually. 2. Agency Repayment. The Loan Principal and accrued interest shall be repaid by Agency out of tax increment funds allocated to and received by Agency. Agency shall make such repayment(s) when feasible in the sole discretion of Agency; provided, however, that the outstanding principal balance and accrued interest shall be repaid in full no later than June 30, 2002• All amount due shall be payable at the office of City at 3200 E. Tahquitz Canyon Way, Palm Springs,. CA 92262, or at such other address as City may designate to Agency. 3. Indebtedness of Agency. The Loan Principal and accrued interest described in this Agreement shall constitute an indebtedness of Agency. 4. Subordination. The repayment of Loan Principal and accrued interest by Agency shall be junior and subordinate to (i) 394/014084-0006/3034575.1 a09/28/99 CR4- 3 all Agency tax allocation bonds or other direct long-term indebtedness of Agency, (ii) all pledges by Agency of tax increments for tax allocation bonds or other direct long-term indebtedness of Agency, (iii) Agency financing agreements and other contractual obligations of Agency whether entered into prior to or after the Effective Date hereof, (iv) any contingent obligations of Agency, and (v) all statutorily required or imposed payments, repayments, charges, fees, penalties, and the like. 5. Non-Recourse Obligation. No officer, official, member, employee, agent, or representative of Agency shall be liable for any amounts due hereunder, and no judgment or execution thereon entered in any action hereon shall be personally enforced against such officer, official, member, employee, agent, or representative. 6. Entire Agreement: Amendment. This Agreement shall constitute the entire agreement of the parties with respect to the subject matter hereof. This Agreement may be amended or modified only by an agreement in writing signed by the parties after authorization by the parties' respective governing bodies as may be required by law. [and - signature page follows] 394/014084-0006/3034575.1 a09/UM -2- IN WITNESS WHEREOF, the parties hereto have entered into this Agreement as of the date first above written. "CITY" CITY OF PALM SPRINGS By. •� 111Mayor ATTEST: APPROVED BY THE CITY COUNCIL BYRES. NO. /y q • /4-do 9 City Clerk -- --�._� APPROVED AS TO FORM 'City 2!% Attorney "AGENCY" COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF PALM SPRINGS By. Chairman ATTEST: QLaLL:L= Sa1'PX0VED by IHE COMMUP YY REDEV. Assistant Secretary AGE14CY BY RES. HQ � APPROVED AS TO FORM Agency Counsel 394/014084-0006/3034575.1 a09/28/99 -3- � — 5